30 October 2007
Canadian Pacific Building Momentum for 2008
Canadian Pacific Railway will provide information today about its
activities and plans for 2008 at its annual Investor Day. This will include an overview of CP's 2008 strategy, revenue and earnings
outlook, capital expenditures, and free cash expectations. The workshop will be webcast live from 1:15 pm to 5:00 p.m. Eastern time.
Details Here
"Canadian Pacific is in motion and our focus on execution excellence will continue to deliver results in 2008," said Fred
Green, President and Chief Executive Officer. "We are gaining momentum, and our acquisition of the Dakota, Minnesota and Eastern
Railroad, combined with our recently announced Alberta Industrial Heartland strategy, shows that Canadian Pacific is evolving to expand
the reach of our franchise. We will continue to create shareholder value as we pursue our vision to be the safest, most fluid railway
in North America."
The outlook for 2008 for diluted earnings per share before foreign exchange gains and losses on long-term debt and other
specified items is expected to be in the range of $4.70 to $4.85, an increase of nine percent to 13 percent over $4.30, the lower end
of the 2007 earnings guidance range. The 2008 estimate assumes crude oil prices averaging US$80 per barrel, an average currency
exchange rate of the U.S. dollar at par with the Canadian dollar and North American economic (GDP) growth of 2.5 percent.
CP expects to grow total revenue by four percent to six percent in 2008 and total operating expenses are expected to increase by three
percent to five percent.
Capital investment is expected to be in the range of $885 million to $895 million in 2008, essentially flat from anticipated capital
spending in 2007.
CP expects free cash to be in excess of $250 million in 2008.
A live audio webcast of today's Investor Day and all presentation slides will be available on the Investors section of CP's website,
cpr.ca. The webcast and presentation slides will also be archived on
the website.
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