Item
1
North
America’s
Railroad
NEWS
RELEASE
CN
announces US$550 million debt
offering
MONTREAL,
Sept. 19, 2007 — CN
(TSX: CNR)(NYSE: CNI) today announced
the terms of a US$550 million debt offering of US$250 million 5.85
per cent
Notes due 2017, and US$300 million 6.375 per cent Debentures due
2037. CN
expects to close the financing on Sept. 24, 2007.
CN
plans to use the estimated
net proceeds of US$544
million from the offering to repay a portion of its commercial paper
outstanding, and to reduce its accounts receivable securitization
program. The
indebtedness being repaid was incurred for general corporate purposes,
including CN’s
share repurchase program.
The
debt offering is being made in the
United States under the shelf registration statement CN filed on
May 9,
2006.
Lead
managers of the debt offering are
Citi Markets & Banking and J.P. Morgan Securities Inc. Other
managers are Banc of America
Securities LLC, BMO Capital Markets, Scotia Capital, BNP PARIBAS,
RBC Capital
Markets, and Wachovia Securities.
A
copy of the prospectus for the
offering to which this communication relates may be obtained by contacting Citigroup
Global Markets Inc. at
Prospectus Department, Brooklyn Army Terminal, 140 58th
Street, 8th
Floor, Brooklyn, NY 11220,
1-877-858-5407 (toll free) or J.P. Morgan Securities Inc. at 270
Park Avenue New
York, NY 10017 Attn: High Grade Syndicate Desk - 8th
floor, 1-212-834-4533
(collect).
This
news release contains
forward-looking statements. CN cautions that, by their nature, forward-looking
statements involve risk and uncertainties, including the assumption
that, while
CN expects there may be
continued weakness in certain segments of the North American economy
in the near
term, positive economic conditions in North America and globally
will continue,
and that its results could differ materially from those expressed
or implied in
such statements.
Important factors that could cause
such differences include, but are not limited to, industry competition,
legislative and/or regulatory developments, compliance with environmental
laws
and regulations, various events which could disrupt operations, including
natural events such as severe
weather, droughts, floods and earthquakes, the effects of adverse
general
economic and business conditions, inflation, currency fluctuations,
changes in
fuel prices, labor disruptions, environmental claims, investigations
or proceedings, other types of
claims and litigation, and other risks detailed from time to time
in reports
filed by CN with securities regulators in Canada and the United States.
Reference should be made to CN’s
most recent Form 40-F filed with
the United
States Securities and Exchange
Commission, its Annual Information Form filed with the Canadian securities
regulators, its 2006 Annual Consolidated Financial Statements and
Notes thereto
and Management’s
Discussion and Analysis (MD&A), as
well as its
2007 quarterly consolidated financial
statements and MD&A, for a summary of major risks.
CN
-- Canadian National Railway Company and its operating railway subsidiaries
--
spans Canada and mid-America, from the Atlantic and Pacific oceans
to the Gulf
of Mexico, serving the ports of Vancouver, Prince Rupert, B.C., Montreal,
Halifax, New Orleans, and Mobile, Ala., and the key cities of Toronto,
Buffalo,
Chicago, Detroit, Duluth, Minn./Superior, Wis., Green Bay, Wis.,
Minneapolis/St.
Paul, Memphis, St. Louis, and Jackson, Miss., with connections to
all points in
North America. For more information on CN, visit the company’s website
at www.cn.ca .
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Contacts: |
|
Media |
Investment
Community |
Mark
Hallman |
Robert
Noorigian |
Director,
Communications, Media |
Vice-President,
Investor Relations |
&
Eastern
Region |
(514)
399-0052 |
(905)
669-3384 |
|