CANADIAN PACIFIC 2ND-QUARTER INCOME DOWN SLIGHTLY

CANADIAN PACIFIC 2ND-QUARTER INCOME DOWN SLIGHTLY

   Canadian Pacific Railway reported second-quarter net income of Can $94.8 million ($61.5 million), down slightly from the Can $95.6 million reported in the second quarter of 2000.

   Operating income improved to Can $205.6 million ($133.4 million), from Can $204.2 million, while revenue rose to Can $931.4 million ($604.2 million) from Can $904.0 million.

   The rail unit of Canadian Pacific Ltd. said it benefited from a 3-percent increase in freight revenues, despite the impact of a soft economy, a revenue cap on the movement of Canadian grain since August 2000, and flooding in the U.S. Midwest.

Demand for coal helped boost revenues for coal, sulphur and fertilizer revenue by 14 percent Industrial products revenues rose 4 percent, intermodal revenues rose 2 percent, while automotive, grain and forest products revenue declined.

   For the first half of 2001, net income was Can $163.2 million ($105.9 million) down 9.7 percent from the first half of 2000. Operating was Can $342.0 million ($221.8 million), down 12.5 percent. Revenue rose to Can $1.85 billion ($1.20 billion), from $1.82 billion.