13 February 2008
Canadian Pacific and Consolidated Fastfrate Sign 10-Year $500 Million Milestone Agreement
Canadian Pacific and Consolidated Fastfrate (CFF) today announced
a new $500 million agreement that extends their existing contract for an additional 10 years. This agreement brings the CP and CFF
partnership to a fifty year milestone; 1966-2016.
"The strategic relationship we have with CP, which exists at every level of their organization, has been the foundation upon which
we built our company," said Ron Tepper, President and CEO of CFF. "I am incredibly proud to sign an agreement of this
magnitude. Our long-term partnership illustrates that two companies can co-operate to increase efficiencies
and provide a better product to their customers."
CP and CFF have a historic partnership that dates back to 1966. The two companies made intermodal history when they embarked on a
national co-location program. CFF's decision to build all its centres adjacent to CP intermodal terminals has helped both
organizations achieve remarkable success in the intermodal transportation industry.
These co-location facilities provide significant service and cost efficiencies that are key to both CFF and CP's
intermodal growth. CFF is the only LTL carrier in the country to have the strategic advantage of co-location with CP.
"Over the past forty years we have seen the incredible growth and development of the intermodal industry, from a minor mode of
transportation to a multi-billion dollar global business," said Fred Green, President and CEO of Canadian Pacific.
"This is an important business for CP, and CFF has been a strategic intermodal partner from the start. With this
10-year extension to our agreement, and continued strong global demand for our services, there are great growth
opportunities for both CFF and CP."
Together, CFF and CP offer shippers the ability to combine the long-haul efficiency of railway transportation with the
speed and convenience of a dock-to-dock carrier. CFF and CP understand the demands of LTL customers. While CP depends on
CFF to provide seamless LTL service, freight consolidation, deconsolidation, warehousing, and transshipping, CFF relies on CP to
provide safe and reliable rail-based intermodal service across Canada and around the world.
About Consolidated Fastfrate
Consolidated Fastfrate is one of the largest privately owned provider of transportation and logistics in Canada, employing more then
1,600 people and transporting more then 2 billion pounds of freight annually. Fenway Partners and Westerkirk Holdings owns a combined
75% of the company while CFF management owns 25%.
Founded in 1966, CFF has grown into a diversified transportation company whose services include: LTL and truckload from any point
to any point within Canada and the northeast and mid-west United States, national drayage services, cartage, warehousing,
transloading on both the west and east coasts, special operational direct ship program for select retailers, and third party
logistics. CFF has 17 operating terminals across Canada and a sales office in Shanghai, China. CFF has been the recipient of numerous
awards, including one of Canada's 50 best managed companies for 7 years running.
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