Tuesday, June 05, 2012

CP names Paul Haggis new chairman

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Canadian Pacific Tuesday said it has named Paul Haggis as its new chairman.

Haggis, the former head of Alberta Treasury Branches, is one of seven Pershing Square Capital Management LP nominees appointed last month to CP's board of directors after a bitter proxy fight, a struggle that included the departure of CP Chairman John Cleghorn, CP President and CEO Fred Green, and other board members.

During CP's annual meeting in May, long-time director Madeleine Paquin was named acting chairwoman as an interim measure.

New York-based Pershing Square Capital Management and its CEO, William Ackman, sought to replace Green with Hunter Harrison, former CN CEO. That move is still anticipated, despite a publicized "search" now ongoing. Pershing Square last fall hired Harrison as a consultant to help the hedge fund assess investing in CP. Pershing Square has a 14.2% stake in CP.

Said Haggis in a statement, "I am proud to be part of this great company. On behalf of my fellow board members, I reiterate that the board is united in its commitment to serving the best interests of CP. We are confident in the depth and breadth of this board and its ability to work with management and all CP employees to serve our customers."