CP Rail names Hunter Harrison CEO
Hunter Harrison attends a meeting in Montreal in this April 21, 2005 file photo. (REUTERS/Shaun Best/Files)
Canadian Pacific Railway Ltd, Canadaís second-biggest railroad, named Hunter Harrison as chief executive, months after its top shareholder pitched for the former CEO of rival Canadian National Railway Co.
Activist investor William Ackmanís Pershing Square Capital Management, CPís biggest shareholder with a 14.1 percent stake, had been seeking to replace Fred Green with Harrison to help improve CPís worst-in-class operating efficiency.
Green and Chairman John Cleghorn quit in May, after which the company started a CEO selection process. The company elected Paul Haggis chairman earlier this month.
CPís operating ratio, a key measure of railroad performance, has lagged CNís since the mid-1990s. In the first quarter, CPís operating ratio was 80.1 percent, while CNís was 66.2 percent.