Everyone loves Christmas train stories.
A Class I railroad hasn't placed an order this big in three years, the companies said.
It comes at a time when railroads have seen a downturn in business because of factors like decreased coal consumption, and manufacturers like GE are feeling the effects. GE sold 354 locomotives in the first three quarters of 2017, according to financial filings, a 39-percent decrease year-over-year.
"CN's steadfast commitment to serving the expanding needs of its customers across Canada and the United States is helping to turn around the North American locomotive market," said Rafael Santana, CEO of GE Transportation, in a prepared statement. "We are proud to partner with CN on this agreement to meet the needs of their future growth, and optimize and further digitize their freight rail operations."
GE's new CEO John Flannery announced plans to shed $20 billion worth of assets earlier this year as he tries to make the Boston conglomerate leaner and more focused on core competencies. Locomotive manufacturing is one of the assets the company plans on shedding, according to an investor presentation from November.