Canadian Pacific (TSX:CP) (NYSE:CP) is disappointed with the results of the Teamsters Canada Rail Conference – Train & Engine (TCRC-T&E) ratification vote, which saw a majority of those who voted choosing not to approve the proposed one-year renewal of the existing collective agreement.
"We look forward to working with the union membership to better understand this result and to discuss next steps," said Keith Creel, CP President and Chief Executive Officer. "While disappointed, I have been clear that we are focused on improving our relationship with our T&E employees and that commitment remains unchanged."
CP has had a successful 2017 with its unions, negotiating a number of long-term agreements ahead of expiry. These agreements centered on a common vision that was in the best interests of the entire CP family, our customers and our shareholders. The one-year proposal to the TCRC-T&E was an early offer and consistent with that approach.
CP is meeting with the union leadership today to discuss the results of the vote and next steps leading to the renewal of the collective agreement.
"We remain optimistic that we can come to a mutually beneficial agreement with the TCRC–T&E – an agreement that meets the needs of our Canadian conductors and engineers as well as our customers and shareholders," Creel said.
TCRC-T&E represents approximately 3,000 Canadian conductors and engineers at CP.
This news release contains certain forward-looking information within the meaning of applicable securities laws relating, but not limited, to ongoing labour negotiations with CP's employee unions. This forward-looking information may also include, but is not limited to, statements concerning expectations, beliefs, plans, goals, objectives, assumptions and statements about possible future events, conditions, and results of operations or performance. Forward-looking information may contain statements with words or headings such as "financial expectations", "key assumptions", "anticipate", "believe", "expect", "plan", "will", "outlook", "should" or similar words suggesting future outcomes.
Undue reliance should not be placed on forward-looking information as actual results may differ materially from the forward-looking information. Forward-looking information is not a guarantee of future performance. By its nature, CP's forward-looking information involves numerous assumptions, inherent risks and uncertainties that could cause actual results to differ materially from the forward-looking information, including but not limited to the following factors: changes in business strategies; general North American and global economic, credit and business conditions; risks in agricultural production such as weather conditions and insect populations; the availability and price of energy commodities; the effects of competition and pricing pressures; industry capacity; shifts in market demand; changes in commodity prices; uncertainty surrounding timing and volumes of commodities being shipped via CP; inflation; changes in laws and regulations, including regulation of rates; changes in taxes and tax rates; potential increases in maintenance and operating costs; uncertainties of investigations, proceedings or other types of claims and litigation; labour disputes; risks and liabilities arising from derailments; transportation of dangerous goods; timing of completion of capital and maintenance projects; currency and interest rate fluctuations; effects of changes in market conditions and discount rates on the financial position of pension plans and investments; and various events that could disrupt operations, including severe weather, droughts, floods, avalanches and earthquakes as well as security threats and governmental response to them, and technological changes. The foregoing list of factors is not exhaustive.
These and other factors are detailed from time to time in reports filed by CP with securities regulators in Canada and the United States. Reference should be made to "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations - Forward-Looking Information" in CP's annual and interim reports on Form 10-K and 10-Q. Readers are cautioned not to place undue reliance on forward-looking information. Forward looking information is based on current expectations, estimates and projections and it is possible that predictions, forecasts, projections, and other forms of forward-looking information will not be achieved by CP. Except as required by law, CP undertakes no obligation to update publicly or otherwise revise any forward-looking information, whether as a result of new information, future events or otherwise.
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