Building on performance – the scheduled grain service plan
EDMONTON, Aug. 24, 2011 /PRNewswire/ – CN (TSX: CNR) (NYSE: CNI) grain
car unloads at Canadian west coast ports reached near-record levels in
the 2010-2011 crop year ended on July 31.
CN moved more than 125,000 grain cars to export terminals at the ports
of Vancouver and Prince Rupert during the crop year — the most in 20
years. The Vancouver movement of 6.7 million tonnes was driven by
record canola shipments of 3.9 million tonnes, while the Prince Rupert
total shipments topped 4 million tonnes for the sixth consecutive crop
year, matching another record.
“This is the most canola CN has ever moved in one crop year,” said Andy
Gonta, CN vice-president, Bulk Products. “Alberta farmers planted
record acres of canola last year, enjoyed strong yields, and harvested
a record crop. Our customers then did an excellent job of promoting and
selling the product in overseas markets.”
During the past crop year, CN fully implemented its new Scheduled Grain
Service Plan, which was launched in January 2010. The Plan achieved an
81 per cent success rate in delivering cars ordered to specific
elevators on the scheduled day.
“We are pleased with the improvement in service reliability we received
last crop year from CN,” said Bob Miller, Senior Vice President, North
American Grain for Viterra, Canada’s largest agribusiness. “CN’s
Scheduled Grain Service Plan has significantly improved the reliability
for spotting railcars in our country grain handling network, allowing
us to more effectively utilize our resources and provide additional
value to farmers by better scheduling deliveries of grain to our
Both parties are optimistic that further efficiency improvements are to
be gained in the supply chain through collaboration, communication and
the application of proper metrics.
Mike Cory, CN senior vice-president, Operations, Western Region,
underscored the grain plan’s success and the cooperation from
“We listened to what our customers were telling us, and learned some
lessons about how to better collaborate across the entire grain supply
chain,” said Cory. “CN, the marketers, the country grain elevators, the
port terminals and the shipping lines ensured that grain was handled
efficiently at each point in the chain, from prairie to port and
beyond. The fact that we were able to achieve a high rate of success
is a testament to our collective efforts.”
In the coming months, CN intends to build on the success of the
Scheduled Grain Service Plan, using superior service to help customers
grow their share of world markets. A priority for CN will be to make
the most efficient use of assets across the entire supply chain.
“We expect another big year for the West Coast, and we’re working with
our customers to ensure all available capacity is used effectively,”
In the 2010-2011 grain crop year, CN moved over 12.5 million tonnes of
grain from the Prairie provinces to export terminals in Vancouver,
Prince Rupert, and Thunder Bay.
Certain information included in this news release are “forward-looking
statements” within the meaning of the United States Private Securities
Litigation Reform Act of 1995 and under Canadian securities laws. CN
cautions that, by their nature, these forward-looking statements
involve risks, uncertainties and assumptions. The Company cautions that
its assumptions may not materialize and that current economic
conditions render such assumptions, although reasonable at the time
they were made, subject to greater uncertainty. Such forward-looking
statements are not guarantees of future performance and involve known
and unknown risks, uncertainties and other factors which may cause the
actual results of performance of the Company or the rail industry to be
materially different from the outlook or any future results or
performance implied by such statements.
Important risk factors that could affect the forward-looking statements
include, but are not limited to, the effects of general economic and
business conditions, industry competition, inflation, currency and
interest rate fluctuations, changes in fuel prices, legislative and/or
regulatory developments, compliance with environmental laws and
regulations, actions by regulators, various events which could disrupt
operations, including natural events such as severe weather, droughts,
floods and earthquakes, labor negotiations and disruptions,
environmental claims, uncertainties of investigations, proceedings or
other types of claims and litigation, risks and liabilities arising
from derailments, and other risks detailed from time to time in reports
filed by CN with securities regulators in Canada and the United States.
Reference should be made to “Management’s Discussion and Analysis” in
CN’s annual and interim reports, Annual Information Form and Form 40-F
filed with Canadian and U.S. securities regulators, available on CN’s
website, for a summary of major risks.
CN assumes no obligation to update or revise forward-looking statements
to reflect future events, changes in circumstances, or changes in
beliefs, unless required by applicable Canadian securities laws. In the
event CN does update any forward-looking statement, no inference should
be made that CN will make additional updates with respect to that
statement, related maters, or any other forward-looking statement.
CN – Canadian National Railway Company and its operating railway
subsidiaries – spans Canada and mid-America, from the Atlantic and
Pacific oceans to the Gulf of Mexico, serving the ports of Vancouver,
Prince Rupert, B.C., Montreal, Halifax, New Orleans, and Mobile, Ala.,
and the key metropolitan areas of Toronto, Buffalo, Chicago, Detroit,
Duluth, Minn./Superior, Wis., Green Bay, Wis., Minneapolis/St. Paul,
Memphis, St. Louis, and Jackson, Miss., with connections to all points
in North America. For more information on CN, visit the company’s
website at www.cn.ca.