Quebec Railway Sells Subsidiaries to CN and Logistec

On November 1, 2008, the Canadian National Railway Company acquired the three principal railway subsidiaries of the Quebec Railway Corporation Inc. and its rail-freight ferry operation for an aggregate purchase price of $49.8 million. Prior to such transaction, Logistec Corporation and Logistec Stevedoring (Atlantic) Inc. acquired from the Quebec Railway Corporation Inc. all of the shares and inter-company debt of Sydney Coal Railway Inc. for an aggregate net cash disbursement estimated at $21 million.

The Canadian National Railway Company was represented by Olivier Chouc, assistant vice-president and general counsel, Sophie-Emmanuelle Chebin, counsel, and Mathieu Bergeron, counsel, and by Osler, Hoskin & Harcourt LLP with a team led by Christiane Jodoin and that included Etienne Massicotte, Thierry-Olivier Keable, Josée Kouri, Bastien Gauthier and Geneviève Filion (corporate), François Parent and Julien Ranger-Musiol (pension and benefits) and Mark Brender and Antoine Stébenne (tax).

Logistec Corporation and Logistec Stevedoring (Atlantic) Inc. were represented by Ingrid Stefancic, vice-president, corporate and legal services of Logistec Corporation, assisted by Fasken Martineau DuMoulin LLP with a team led by Louis Séguin and Claudette Allard and that included Pierre-Étienne Simard and Christine Anagnostou (corporate); Alain Ranger and Paul Cabana (tax); Charles Kazaz (environment) and Chloé Archambault (financing), and by McInnes Cooper with a team that included Bruce Marchand, Wayne Marryatt and Frank Hughes.

The Quebec Railway Corporation Inc. was represented in all the transactions by Lavery, de Billy, L.L.P. with a team led by André Vautour and that included Jean-Sébastien Desroches, Sarah Talpis-Guillet, Jamil Chammas and Sive Burns (corporate), and Dominique Bélisle (financial services), and by Pierre Laflamme of McCarthy Tétrault LLP as special tax counsel.