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In late December, the Canadian Transportation Agency (CTA) announced that CN and Canadian Pacific did not exceed their western grain revenue caps for crop year 2009-10 — the first crop year since 2002-03 that the Class Is remained below their caps.

CN's grain revenue of $463.9 million was about $3.7 million under its revenue cap of $467.6 million and CP’s grain revenue of $454 million was about $1.7 million below its $455.7 million cap.

In crop year 2008-09, CN exceeded its cap but CP didn’t, according to the CTA.

The Canada Transportation Act requires the CTA to set each railroad’s revenue cap annually and determine if they exceeded the cap, which applies to revenue generated from moving Prairie-originated or imported grain to terminals in Vancouver and Prince Rupert, British Columbia; Thunder Bay, Ontario; and Churchill, Manitoba. If a railroad exceeds its cap, it must pay any excess amounts as well as penalties to the Western Grains Research Foundation, according to the CTA.