30 June 2010

CPR Rolls Again After Major Cleanup

Canadian Pacific Railway recommenced travel on the section of the main line east of
Medicine Hat on Tuesday morning, after having been shut down for more than a
week as a result of the Ross Creek flooding.

Medicine Hat Alberta - Canadian Pacific Railway recommenced travel on the section of the main line east of Medicine Hat on Tuesday morning, after having been shut down for more than a week as a result of the Ross Creek flooding on Friday, 18 Jun 2010.
 
At the time of the flood, a derailment had been narrowly avoided on the main line east when a Medicine Hat resident happened to notice the track had been washed out by flooding and flagged down an approaching CPR train with his red shirt.
 
Kevin Hrysak, a regional media spokesperson for CPR, told the News Tuesday that the eight-kilometre stretch of track near Dunmore, is the last section to be repaired, following the southern line earlier being re-opened between Lethbridge and Swift Current, Saskatchewan.
 
"It was a lot of work and a lot of people and equipment involved and I was impressed with the tremendous strides that were made," he stated. "And obviously, there's restoration work that has to be done along the right-of-way and some other repairs that have to be made."
 
During the 11-day stoppage, CPR utilized both secondary network routes and detoured trains onto other railways to minimize impacts to domestic and international supply chains. With the resumption of normal traffic Tuesday, CPR will now work with customers and other shippers to reschedule and expedite shipments that may have been delayed.
 
Although Hrysak wasn't able to release any cost estimates for the repairs, CPR did release a statement that suggested the impact of the main line closure will reduce second quarter earnings for the company by a per share amount of 10-13 cents.
 
That amount, according to calculations made with figures in the latest earnings report, would mean a loss in the $16 million to $22 million range.
 
The company also estimates a majority of the shipments deferred by the flooding will be moved in the third quarter.
 
Hrysak said about 20-25 trains a day travel CPR's main line.
 
Angus Henderson.