(Canadian Pacific Railway and Railway Age issued the following news release on January 8.)
NEW YORK — Robert J. Ritchie, President and Chief Executive Officer of Canadian Pacific Railway, has been named 2004 Railroader of the Year by railroad industry trade journal Railway Age.
“Canadian Pacific Railway is among the best-run of North America’s largest freight railroads,” said Railway Age Editor William C. Vantuono. “While 2003 wasn’t a stellar year for the railway industry as a whole–costs rising faster than revenues, service glitches, an economy that only began to see signs of life late in the year–there were a few bright spots. One of the brightest was the performance of the Rob Ritchie-led CPR.
“We selected Rob Ritchie for several reasons,” said Vantuono. “He led CPR through an uncertain period to higher productivity and profits and an operating ratio in the mid-70s. Under Ritchie’s leadership, CPR was successfully spun off as a separate company from Canadian Pacific Ltd. in October 2001. Since then, share price has increased by more than 60%; CPR stock in late 2003 was trading at or near a 52-week high. Ritchie instituted a major locomotive transition to alternating current (AC) traction. Today, CPR has the highest percentage of AC locomotives in service of all North American Class Is and is now routinely moving trains that exceed 10,000 feet in length.
“Over the past five years, CPR has invested almost C$4 billion to improve its 14,000-route-mile system. Last year’s capital investments exceeded C$700 million, an amount that compares favorably with that spent by some other Class Is with much larger physical plants. Ritchie also guided the railway through a successful shift from tonnage-based operations to fully scheduled operations. CPR’s Integrated Operating Plan earned the Franz Edelman Award from INFORMS (Institute for Operations Research and Management), topping entries from such companies as UPS, Hewlett-Packard, and Menlo Worldwide.” The railroad’s Integrated Operating Plan will continue to be fundamental to its overall business strategy.
Rob Ritchie is the 41st recipient of Railway Age’s Railroader of the Year Award, which was started by Modern Railroads magazine in 1964 as the “Man of the Year” award. Railway Age acquired Modern Railroads in 1992 and has presented the award annually since then. Ritchie will be presented with the award, one of the most prestigious in the railroad industry, on March 23, 2004, at Chicago’s Union League Club.
“I have always put a great deal of emphasis on a team approach to operating a railway,” Ritchie said. “Everything that happens involves many people, whether it’s planning the company’s strategic direction, bidding for a shipper’s business, maintaining the track, or moving the customer’s goods. The accomplishments at CPR that have led to the Railroader of the Year award are the accomplishments of everyone on our railway. Teamwork is in our DNA and, because of it, everyone at CPR can and should share with me in the honor of receiving the Railroader of the Year award.”