Union Pacific Nears Norfolk Deal to Create $200 Billion Railroad

Union Pacific Corp., North America’s largest railroad, is in advanced discussions with Norfolk Southern Corp. about a potential tie-up in what would be the industry’s largest deal ever.

Union Pacific has a market value of about $135 billion, more than twice the size of Norfolk Southern’s $64 billion. Combining the two would transform the North American rail market, marrying Union Pacific’s network across the western US with Norfolk’s East Coast routes.