DBRS Assigns BBB (low) to CP’s CAD Debt Issuance

DBRS has today assigned a rating of BBB (low) with a Stable trend to the $125 million 5.10% notes, maturing January 14, 2022, issued by Canadian Pacific Railway Company (CP or the Company).

CP intends to use the proceeds to fund a voluntary prepayment of the Company’s Canadian defined-benefit pension plan in 2011.

The notes are unsecured obligations that rank pari passu with all of CP’s existing and future unsecured and unsubordinated indebtedness. The debt offering has been made under the base shelf prospectus dated June 29, 2011, which allows for offerings of up to $1.5 billion of medium-term notes and is pursuant to the Company’s May 23, 2008, trust indenture.

Notes:
All figures are in Canadian dollars unless otherwise noted.

The applicable methodology is Rating Companies in the North American Railway Industry which can be found on our website under Methodologies.