CN conductors walk off the job, ACR not affected

Almost 3,000 members of the United Transportation Union went on strike today against CN, but the action does not affect the CN-owned Algoma Central Railway, which is under a different collective agreement.

All ACR trains are running as usual.

The following news releases about the strike by conductors and yard service employees elsewhere were issued by CN and the United Steelworkers of America.

************************* CN Canadian conductors walk off the job CN says United Transportation Union strike illegal MONTREAL, QUEBEC -(February 10, 2007) - CN this morning put management personnel on trains and in switching yards to continue freight operations across Canada following a strike by the United Transportation Union (UTU).

CN is seeking to have the UTU's strike declared illegal after it has been informed that the certified bargaining agent of the UTU members employed at CN had not authorized the issuance of the notice.

The UTU, which represents 2,800 conductors and yard-service employees at CN in Canada, began its strike at 12:01 this morning. The strike is restricted to Canada, and CN's other unionized employees remain at work.

E. Hunter Harrison, president and chief executive officer of CN, said: "CN's comprehensive strike contingency plan will assure freight service across our network in Canada during this unfortunate labour action by the UTU."

"We are ready to negotiate with the UTU at any time to achieve a fair and equitable collective agreement, just as we have with CN's other unions," said Harrison.

"But we have the resources - and the resolve - to run the railway with management personnel filling strikers' jobs for as long as it takes to reach an economically sound settlement with the UTU," Harrison said.

"This is my commitment to customers, shareholders and employees."

CN and the UTU have agreed during the conductors' strike to maintain normal commuter rail operations on CN lines in Toronto and Montreal.

Excluded from strike action are UTU members employed on CN's Northern Quebec Internal Short Line, Algoma Central Railway in Northern Ontario, and Mackenzie Northern Railway in northern Alberta.

This news release contains forward-looking statements.

CN cautions that, by their nature, forward-looking statements involve risk and uncertainties, 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, labour 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 2005 Annual Consolidated Financial Statements and Notes thereto and Management's Discussion and Analysis (MD&A), as well as its 2006 quarterly consolidated financial statements and MD&A, for a summary of major risks.

CN - Canadian National Railway Company - spans Canada and mid-America, from the Atlantic and Pacific oceans to the Gulf of Mexico, serving the ports of Vancouver and Prince Rupert, British Columbia; Montreal; Halifax; New Orleans; and Mobile, Alabama; and the key cities of Toronto; Buffalo; Chicago; Detroit; Duluth, Minnesota/Superior, Wisconsin; Green Bay, Wisconsin; Minneapolis/St. Paul; Memphis; St. Louis; and Jackson, Mississippi, with connections to all points in North America. ************************* Steelworkers stand behind striking CN workers

TORONTO – United Steelworkers (USW) National Director Ken Neumann said Saturday that the union stands firmly behind 2,800 striking members of the United Transportation Union (UTU), who began strike action at midnight against Canadian National Railway.

"Steelworkers and the UTU signed a strategic alliance last summer," said Neumann.

"We are behind their effort to get a decent contract with CN," Neumann said.

"Our alliance with UTU means we are committed to building strength and sharing resources," he said.

"We want UTU members to know they can count on Steelworkers."

UTU represents CN conductors and yard service employees.

Their current contract expired December 31.

"These workers have been without a contract long enough," Neumann said.

"It's time for CN to take negotiations seriously and work toward a settlement rather than a strike," Neumann said.

The USW represents more than 280,000 men and women working in every sector of Canada's economy, including 4,000 track maintenance workers at CN and 1,200 clerical employees at Canadian Pacific Railway.

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