21 February 2006
Canadian Pacific Railway Limited Declares Dividend and Announces Intention to Increase Share Repurchases
The Board of Directors of Canadian Pacific Railway Limited today declared an increase in CPR's next
quarterly dividend to eighteen and three quarter cents ($0.1875) Canadian per share on the outstanding Common Shares, from fifteen cents
($0.15) per share., an increase of 25%.
It is the third increase since July 2004, when CPR's quarterly dividend was twelve and three-quarter cents ($0.1275) per
share on the outstanding Common Shares. CPR's dividend has increased 47 percent since July 2004.
The $0.1875 dividend is payable on 24 Apr 2006, to holders of record at the close of business on 31 Mar 2006.
CPR also announces that its Board of Directors has authorized the purchase of up to 5.5 million of its outstanding Common Shares in
2006 through normal course issuer bid purchases. This represents approximately 3.5 percent of its Common Shares outstanding at
31 Dec 2005.
CPR currently has in place a normal course issuer bid under which it is permitted to purchase 2.5 million Common Shares during the 12
month period ending 5 Jun 2006. CPR purchased 1,761,000 shares under the existing bid in 2005. Subject to regulatory
approval, CPR intends to amend the existing bid and to renew the bid at the time of its scheduled expiry to enable it to purchase up to
5.5 million shares during 2006.
"The increased dividend and the expansion of the share repurchase plan demonstrate our confidence in the strength of our
franchise, our strong balance sheet and our focus on shareholder value," said Mike Waites, Executive Vice-President
and Chief Financial Officer of CPR.
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