Canadian Pacific responds to rail service review legislation
CALGARY, Dec. 11, 2012 /PRNewswire/ - Canadian Pacific (TSX:CP)(NYSE: CP) today commented on the federal government's Rail Freight Service Review (RFSR) amendment to the Canadian Transportation Act.
Throughout the RSR process CP has maintained there is no need for additional regulation between railways and shippers as it is the company's belief that commercial undertakings, coupled with a stable regulatory regime, remains the best approach to promote supply chain coordination and investment.
"The proposed legislation contains key elements of the Dinning Report," said CP President and CEO, E. Hunter Harrison. "We firmly agree that improvement in Canada's world class rail supply chain will best be achieved through offsetting commercial undertakings, in particular, better traffic forecasting and more certainty on traffic volumes."
"CP has been implementing various commercial agreements that were included in the Dinning Report's recommendations, including a service agreement template and a commercial dispute resolution process," said Harrison. "As such, we are confident strong commercial relationships will continue to emerge with little need for the processes described in the legislation."
"Canada is fortunate to already have the best rail system in the world from which to build upon," said Harrison. "CP continues to make across-the-board service improvements where customers are benefiting from more consistent, safe and efficient service."
About Canadian Pacific
Canadian Pacific (TSX:CP)(NYSE: CP) is a transcontinental railway in Canada and the United States with direct links to eight major ports, including Vancouver and Montreal, providing North American customers a competitive rail service with access to key markets in every corner of the globe. CP is a low-cost provider that is growing with its customers, offering a suite of freight transportation services, logistics solutions and supply chain expertise. Visit cpr.ca to see the rail advantages of Canadian Pacific.
SOURCE Canadian Pacific