Bloomberg Anywhere Login


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Canadian Pacific Paid CEO Targeted by Ackman No 2011 Bonus

March 22 (Bloomberg) -- Canadian Pacific Railway Ltd. Chief Executive Officer Fred Green, targeted for dismissal by hedge-fund investor William Ackman, received no bonus last year as the carrier failed to meet its profit targets.

Green’s total compensation dropped to C$5.29 million ($5.29 million), Calgary-based Canadian Pacific said today in a regulatory filing. That was down from C$6.58 million in 2010, when he received an annual bonus of C$1.67 million, CP said.

Ackman, whose Pershing Square Capital Management LP is the railroad’s biggest shareholder, is pushing to oust Green and install retired Canadian National Railway Co. CEO Hunter Harrison. Ackman plans a proxy battle at the May 17 annual meeting to elect six directors to the board, which backs Green.

Canadian Pacific said today it will recommend investors vote for Ackman as a director “so that a constructive board-level dialogue based on all the relevant facts and information could take place.” An earlier invitation to Ackman, 45, to join the board “remains open,” the company said.

Ackman didn’t immediately return an e-mail message seeking comment today. He offered himself as part of Pershing’s slate of nominees after declining Canadian Pacific’s offer to become a director late last year, saying in January that the terms would have stripped him of his independence in board decisions.

Canadian Pacific needs a management change after lagging behind North American peers on performance benchmarks since Green, 55, became CEO in 2006, Ackman said in February. That argument drew another rebuttal from Canadian Pacific today.

“The board strongly disagrees with Pershing Square’s demand that Canadian Pacific replace its CEO with Hunter Harrison,” the railroad said. “The board believes that Mr. Harrison is not the right leader for Canadian Pacific.”

Net income last year fell to C$570 million, or C$3.34 a share, Canadian Pacific said Jan. 26. That compares with profit of C$651 million, or C$3.85, in 2010.

Pershing Square, based in New York, held 14.2 percent of Canadian Pacific’s outstanding shares as of Feb. 22, according to data compiled by Bloomberg.

To contact the reporter on this story: Frederic Tomesco in Montreal at

To contact the editor responsible for this story: Ed Dufner at

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.