Canadian Pacific Chairman John Cleghorn dismisses media reports that company board members are receptive to investor Ackman's suggestion of replacing CEO
January 3, 2012
– Canadian Pacific Railway Chairman John Cleghorn dismissed media reports from the week ending Dec. 30 that members of the company's board were enthusiastic about replacing its CEO Fred Green with former Canadian National Railway CEO Hunter Harrison, Reuters Canada reported Jan. 3.
Cleghorn's comments were made in a letter addressed to investor William Ackman and filed with the U.S. Securities and Exchange Commission. Ackman had made it known previously that he would like to see Green replaced with Harrison, and reports were leaked to the media last week that members of CP's board were receptive to the idea. Cleghorn's letter said that leaks of this nature are not productive for talks between the company and its largest investor in regard to moving the company forward.
Canadian National, for its part, said that Harrison has a non-compete arrangement with the Montreal-based rail company that is effective through the end of 2014.
The primary source of this article is Reuters Canada, Toronto, Jan. 3, 2011.