CN announces UTU ratification of labor agreement



    Pact renews hourly rate agreement on former IC, CCP for the first time

    CHICAGO, IL, March 19 /CNW Telbec/ - CN (NYSE:  CNI) (TSX:CNR) announced
today that members of the United Transportation Union (UTU) employed on its
former Illinois Central and Chicago, Central & Pacific properties in the
Midwest and Southern U.S. have renewed -- for the first time -- an hourly rate
agreement for conductors and brakemen.
    The four-year labor pact, covering approximately 600 employees, is
retroactive to Aug. 1, 2006, and runs through July 31, 2010.
    Kim Madigan, CN vice-president of Labor Relations, said: "CN is pleased
that the UTU membership has ratified this agreement and thanks the UTU
leadership for their support of it. Both parties appreciate how this new type
of agreement not only improves CN operations and customer service, but also
our employees' compensation and quality of life."
    The hourly rate of compensation for operating employees is a break from
traditional railroad mileage- and rules-based pay systems. The hourly rate
concept enhances employee productivity while giving UTU members a better
balance between work and home lives.
    CN has hourly rate agreements in place for virtually all of its U.S.
train and engine employees.

    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
metropolitan areas 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.




For further information:

For further information: Mark Hallman (Media), Director, Communications,
Media, CN, (905) 669-3384; Robert Noorigian (Investment Community),
Vice-President, Investor Relations, CN, (514) 399-0052


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