Responding to statements made by Pershing Square Capital Management, Canadian Pacific Railway Limited (CP,CP.TO) said that Pershing Square continues to make misleading statements that are not based on the facts. It is untrue and irresponsible for Pershing Square to accuse CP of manipulating its first quarter earnings.
Pershing Square is wrong in its comments about incentive compensation accruals. Accruals increased by $7 million, due in part to a higher share price. Incentive compensation accruals were higher by $4 million when compared to first quarter 2011, Canadian Pacific Railway said.
Canadian Pacific Railway noted that all accruals have been properly made and recorded in full compliance with US GAAP and have been disclosed in CP's first quarter earnings release and conference call and in the MD&A in CP's quarterly report.
In addition, on its earnings call on April 20, 2012, CP disclosed land sales in line with historical annual divestitures. This year CP recovered a $12 million insurance claim related to the significant mainline outage we experienced in 2010 due to flooding, the company said.
Pershing Square is wrong in its analysis and criticism of the DM&E transaction. The accretive acquisition of the DM&E has resulted in the addition of a great strategic asset enabling CP to expand its reach in North America. The DM&E transaction occurred when the DM&E put itself up for sale, not at a time of CP's choosing, Canadian Pacific Railway said.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.