CP RAILWAY 3RD-QUARTER INCOME UP 3%

CP RAILWAY 3RD-QUARTER INCOME UP 3%    Canadian Pacific Railway said third-quarter net income improved 3 percent to $99 million, excluding charges related to the company's recent spin-off from Canadian Pacific Ltd.
   Including these items, net income was $136 million for the third quarter of 2001.
   Operating income, before $7 million in spin-off and incentive compensation charges, was steady at $222 million compared with the third quarter last year. Freight revenues were also firm at $859 million.
   “Yield, measured as revenue per revenue ton-mile, increased a solid 1.9 percent over the previous quarter, reflecting healthy price gains in the bulk sector, modest intermodal and carload price gains and growth in short haul business,” said Robert Ritchie, president and chief executive officer of CP Railway. “Freight revenues were stable despite the softer economy, reflecting our competitive position in some key markets, and we continued to make steady gains in reducing operating expenses.”
   Year-to-date net income was $253 million, a decrease of 9 percent over the same period last year. Including these items, net income for the period was $299 million.
   Operating income for the first nine months decreased 5 percent to $580 million, excluding spin-off related and incentive compensation charges of $23 million, with all of the decrease occurring in the first quarter. The year-to-date operating ratio was 78.9 percent, up 1.4 percentage points over the same period of 2000.