Customer Advisory:  CP Update - Legislative Process Update May 29, 2012

From Canadian Pacific Rail:

The Bill for the resumption of CP’s Canadian rail service completed the First reading in the House of Commons yesterday, and the Second reading is scheduled for today.

The next steps in passage of this legislation will be consideration by Committee, followed by the Third reading late today, or early tomorrow (May 30th). The Senate will then receive the Bill following the Third reading. The final step is the Governor General’s application of Royal Assent, and the Bill then comes into force 12 hours after Royal Assent is given.

If the current progress of this bill continues, we may see Royal Assent given as soon as 1800 on Wednesday, May 30. This would allow CP’s Canadian operation to resume as of 0600 Thursday, May 31st. This timetable may alter depending on the Bill’s movement through Parliament, but Labour minister Lisa Raitt stated yesterday that she would like to see CP back in operation by this Thursday. We are monitoring progress closely, and will provide updates as they are made known.

CP’s operations group is prepared to activate the Canadian start up plan as soon as notification of Royal Assent is given with crews being called for trains as the bill becomes law, twelve hours after Royal Assent.

CP’s start up plan has been developed to ensure that Canadian operations commence in a safe manner, making certain that fluidity and balance returns to the entire Network as soon as possible, to the benefit of all of our customers.

All components in our system are positioned for a safe and effective start-up:

•         Yards and terminals are prepared and staffed for operation
•         Locomotives and assets are placed for service resumption
•         Significant preventative track maintenance has been completed, allowing a swift and efficient
          start up

Included in this plan is resumption of all local service, following normal LSOP scheduling. This is consistent with all preparation and planning done for the return of our Canadian freight service.

While an embargo application for shipments routing to and from CP Canadian locations remains in effect, it is CP’s intent to rescind this application as soon as it is confirmed that the legislation has been successfully passed, and that CP is activating the operational start-up plan.

The embargo currently in effect applies to:
•         All shipments originating in Canada which are billed to any US destinations
•         All shipments originating in the United States which are billed to any Canadian destinations
•         The embargo can be rescinded at any time

We appreciate your understanding and patience with this issue which is beyond OOCL’s control.  Further updates will be provided as information becomes available.  Feel free to contact your OOCL Customer Service Representative at 1-888-388-6625 or Sales Representative at 1-888-888-6625.