19 August 2004 Two Low-Volume Prairie Branch Lines Being Added to CPR Three-Year Network Plan for Discontinuance In accordance with the Canada Transportation Act (CTA), Canadian Pacific Railway (NYSE/TSX:CP) has added two branch lines, one in Manitoba, the other in Saskatchewan, to its three-year network plan for discontinuance.   The two branch lines are: The Arborg subdivision from north of the Agricore United facility at South Lakes, near Winnipeg, to Arborg, Manitoba - 64.4 miles; The White Fox subdivision from Nipawin to Choiceland, Saskatchewan - 27.8 miles; Rail traffic has declined significantly on these two lines due to long-term structural changes in the grain handling system, in particular the consolidation of most prairie grain handling at high-throughput terminals. As a result, CPR has decided to take the first step in the discontinuance process.   These lines are no longer viable for CPR to continue operating, however, if other parties are interested in acquiring either the Arborg or White Fox line, they now have the opportunity to assess business prospects associated with the continued operations of either line.   Adding these two lines to CPR's three-year network plan is the first step in the legislated discontinuance process. Line discontinuance will take place in accordance with the process established in the Canada Transportation Act (CTA).