Union Pacific and Norfolk Southern are in talks to merge, potentially forming the largest U.S. railroad.

Union Pacific and Norfolk Southern are in advanced merger talks that could create the largest U.S. railroad with coast-to-coast service. Both companies acknowledge discussions but note no guarantees of an agreement. The potential merger faces regulatory scrutiny, as it must show it will enhance competition and serve public interest. Union Pacific recently reported a second-quarter profit of $1.8 billion, surpassing expectations.