(Reuters) - Canadian Pacific Railway (CP.TO), under mounting pressure from an activist shareholder, said it is determined to accelerate the pace of change to improve its operational and financial results.
“While I am encouraged by the solid progress we have made executing the Multi Year Plan, I want to stress that we are continuing our unrelenting efforts to achieve further improvement,” Chief Executive Fred Green said in a memo to employees posted on the company’s website on Friday.
“We are determined to further accelerate the pace of change at CP and to safely deliver significantly improved operational and financial results,” the memo said.
A proxy battle planned by Pershing Square Capital Management, which wants to replace CP’s chief executive with the former CEO of Canadian National Railway (CNR.TO), has a “silver lining”, Green added.
“The situation shines a spotlight on CP as we continue with our efforts to achieve superior performance for the benefit of both our customers and shareholders,” he wrote.
Reporting By Susan Taylor in Toronto; editing by Rob Wilson