Canadian Pacific Railway said Thursday morning that Fred Green, its president and chief executive officer, and five other directors have resigned.
The resignations were announced hours before CP shareholders meet at 8 a.m. in Calgary, Alberta for their annual meeting, culminating a proxy fight in which the U.S. hedge fund Pershing Square Capital Management has sought control of the railroad.
William Ackman, CEO of Pershing Square, has been critical of the company complaining of “poor decision making and ineffective leadership.”
He has proposed hiring Hunter Harrison, former chief executive at Canadian National Railway – CP’s chief competitor – as CEO of the company.
In addition to Green, CP’s chairman John Cleghorn and directors Tim Faithfull, Edmond Harris, Michael Phelps and Roger Phillips have advised the company they do not intend to stand for re-election.
CP said “this decision was made after taking into account the views expressed by shareholders about the desire for board change.”
Once Pershing Square nominates all seven of its director nominees, CP said there will be only 16 candidates for the available 16 positions on the board. Following the annual meeting, tt’s expected the board will be comprised of William Ackman, Gary Colter, Richard George, Paul Haggis, Paul Hilal, Krystyna Hoeg, Tony Ingram, Richard Kelly, Rebecca MacDonald, John Manley, Anthony Melman, Linda Morgan, Madeleine Paquin, David Raisbeck, Hartley Richardson, and Stephen Tobias. – Chris Dupin
Green, 5 directors resign from CP
