CALGARY, AB, Dec. 2, 2020
/CNW/ - Today Canadian Pacific (NYSE: CP) (TSX: CP) and Hapag-Lloyd
AG (XETR: HLAG) (FWB: HLG) announced they have extended their
long-term rail service agreement to the end of 2025. Additionally,
after successful calls to the Port of Saint John, N.B., this summer, Hapag-Lloyd
will begin regular service via CP and this key Atlantic Canada port starting in 2021.
"It's a special day when we get to announce the renewal of a
contract with Hapag-Lloyd, our largest customer by volume and a
world-class ocean carrier," said CP President and Chief Executive
Officer Keith Creel. "It's through
our network reach and disciplined execution of the precision
scheduled railroading model that we can offer a caliber of service
capable of winning our customers' support in this way. With our
expanded reach to the deep-water port at Saint John, we are proud to offer Hapag-Lloyd
another reason to use our services."
CP regained access to the Port of Saint John in June
2020 with the acquisition of the Central Maine & Quebec Railway and through
connections with the Eastern Maine
and New Brunswick Southern railways.
"The return of CP was a transformational development for our
region," said New Brunswick
Premier Blaine Higgs. "This
agreement with Hapag-Lloyd is another critical step for our
province. Port Saint John offers a competitive advantage, and this
will lead to more jobs and more investment in New Brunswick."
CP also serves Hapag-Lloyd through ports at Vancouver and Montréal.
"Having Hapag-Lloyd call the Port of Saint John regularly is the first step in the
port becoming a world-class gateway," Creel said. "Through the Port
of Saint John, CP enjoys about a
200-mile advantage over our competition into Montréal, Toronto and Chicago. This East Coast advantage bodes well
for businesses in Atlantic Canada,
customers across our network, and for the broader supply chain. We
are only just starting to unlock the potential that exists at the
Port of Saint John."
Note on forward-looking information
This news release
contains certain forward-looking information and forward-looking
statements (collectively, "forward-looking information") within the
meaning of applicable securities laws. Forward-looking information
includes, but is not limited to, statements concerning
expectations, beliefs, plans, goals, objectives, assumptions and
statements about possible future events, conditions, and results of
operations or performance. Forward-looking information may contain
statements with words or headings such as "will", "anticipate",
"believe", "expect", "plan", "should" or similar words suggesting
future outcomes.
This news release contains forward-looking information relating,
but not limited, to, our operations, priorities and plans, the
anticipated timely performance by us and Hapag-Lloyd AG of our
respective obligations, the anticipated timing and use of, and
impacts and benefits to, the Port of Saint John by Hapag-Lloyd AG and the
anticipated and future benefits of CP's rail network from the Port
of Saint John to businesses in
Atlantic Canada, CP's customers
and the supply chain.
The forward-looking information contained in this news release
is based on current expectations, estimates, projections and
assumptions, having regard to CP's experience and its perception of
historical trends, and includes, but is not limited to,
expectations, estimates, projections and assumptions relating to:
North American and global economic growth; commodity demand growth;
agricultural production; commodity prices and interest rates;
performance of our assets and equipment; applicable laws,
regulations and government policies; the availability and cost of
labour, services and infrastructure; the satisfaction by third
parties of their obligations to CP; the anticipated impacts of the
novel strain of coronavirus (and the disease known as COVID-19);
and capital investments by third parties. Although CP believes the
expectations, estimates, projections and assumptions reflected in
the forward-looking information presented herein are reasonable as
of the date hereof, there can be no assurance that they will prove
to be correct. Current conditions, economic and otherwise, render
assumptions, although reasonable when made, subject to greater
uncertainty.
Undue reliance should not be placed on forward-looking
information as actual results may differ materially from those
expressed or implied by forward-looking information. By its nature,
CP's forward-looking information involves inherent risks and
uncertainties that could cause actual results to differ materially
from the forward looking information, including, but not limited
to, the following factors: changes in business strategies; general
North American and global economic, credit and business conditions;
risks associated with agricultural production, such as weather
conditions and insect populations; the availability and price of
energy commodities; the effects of competition and pricing
pressures; industry capacity; shifts in market demand; changes in
commodity prices; uncertainty surrounding timing and volumes of
commodities being shipped via CP; inflation; changes in laws,
regulations and government policies, including regulation of rates;
changes in taxes and tax rates; potential increases in maintenance
and operating costs; changes in fuel prices; uncertainties of
investigations, proceedings or other types of claims and
litigation; labour disputes; risks and liabilities arising from
derailments; transportation of dangerous goods; timing of
completion of capital and maintenance projects; currency and
interest rate fluctuations; trade restrictions or other changes to
international trade arrangements; climate change; various events
that could disrupt operations, including severe weather, such as
droughts, floods, avalanches and earthquakes, and cybersecurity
attacks, as well as security threats and governmental response to
them, and technological changes; and the pandemic created by the
outbreak of the novel strain of coronavirus (and the disease known
as COVID-19) and resulting effects on economic conditions, the
demand environment for logistics requirements and energy prices,
restrictions imposed by public health authorities or governments,
fiscal and monetary policy responses by governments and financial
institutions, and disruptions to global supply chains. The
foregoing list of factors is not exhaustive. These and other
factors are detailed from time to time in reports filed by CP with
securities regulators in Canada
and the United States. Reference
should be made to "Risk Factors" and "Management's Discussion and
Analysis of Financial Condition and Results of Operations -
Forward-Looking Statements" in CP's annual and interim reports on
Form 10-K and 10-Q.
The forward-looking information contained in this news release
is made as of the date hereof. Except as required by law, CP
undertakes no obligation to update publicly or otherwise revise any
forward-looking information, or the foregoing assumptions and risks
affecting such forward-looking information, whether as a result of
new information, future events or otherwise.
About Canadian Pacific
Canadian Pacific is a
transcontinental railway in Canada
and the United States with direct
links to major ports on the west and east coasts. CP provides North
American customers a competitive rail service with access to key
markets in every corner of the globe. CP 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 CP. CP-IR
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SOURCE Canadian Pacific