Canadian Pacific Railway
The Canadian Pacific Railway , also known simply as CPR or Canadian Pacific and formerly as CP Rail, is a Canadian Class I railway incorporated in 1881. The railway is owned by Canadian Pacific Kansas City Limited, known until 2023 as Canadian Pacific Railway Limited, which began operations as legal owner in a corporate restructuring in 2001.
The railway is headquartered in Calgary, Alberta. In 2023, the railway owned approximately of track in seven provinces of Canada and into the United States, stretching from Montreal to Vancouver, and as far north as Edmonton. Its rail network also served Minneapolis–St. Paul, Milwaukee, Detroit, Chicago, and Albany, New York, in the United States.
The railway was first built between eastern Canada and British Columbia between 1875 and 1885, fulfilling a commitment extended to British Columbia when it entered Confederation in 1871; the CPR was Canada's first transcontinental railway. Primarily a freight railway, the CPR was for decades the only practical means of long-distance passenger transport in most regions of Canada and was instrumental in the colonization and development of Western Canada. The CPR became one of the largest and most powerful companies in Canada, a position it held as late as 1975. The company acquired two American lines in 2009: the Dakota, Minnesota and Eastern Railroad and the Iowa, Chicago and Eastern Railroad. The company also owns the Indiana Harbor Belt Railroad, a Hammond, Indiana-based terminal railroad along with Conrail Shared Assets Operations. CPR purchased the Kansas City Southern Railway in December 2021 for. On April 14, 2023, KCS became a wholly owned subsidiary of CPR, and both CPR and its subsidiaries began doing business under the name of its parent company, CPKC.
The CPR is publicly traded on both the Toronto Stock Exchange and the New York Stock Exchange under the ticker CP. Its U.S. headquarters are in Minneapolis. As of March 30, 2023, the largest shareholder of Canadian Pacific stock exchange is TCI Fund Management Limited, a London-based hedge fund that owns 6% of the company.
History
The creation of the Canadian Pacific Railway was undertaken as the National Dream by the Conservative government of John A. Macdonald, together with mining magnate Alexander Tilloch Galt. As a condition for joining the Canadian Confederation, British Columbia had insisted on a transport link to the East, with the rest of the Confederation. In 1873, Macdonald, among other high-ranking politicians, bribed in the Pacific Scandal, granted contracts to the Canada Pacific Railway Company, which was unrelated to the current company, as opposed to the Inter-Ocean Railway Company, which was thought to have connections to the Northern Pacific Railway Company in the United States. In 1867, the year of Canada's Confederation, US Secretary of State William H. Seward surmised that the whole North American continent "shall be, sooner or later, within the magic circle of the American Union." After this scandal, the Conservatives were removed from power, and Alexander Mackenzie, the new Liberal prime minister, ordered construction of the railway under the supervision of the Department of Public Works.Enabled by the CPR Act of 1874, work began in 1875 on the Lake Superior to Manitoba section of the CPR. The ceremonial sod-turning at Westfort on June 1, 1875, was prominently reported in the June 10 edition of the Toronto Globe. It noted that a crowd of "upwards of 500 ladies and gentlemen" gathered to celebrate the event on the left bank of the Kaministiquia River in the District of Thunder Bay, about four miles upriver from Fort William.
Macdonald would later return as prime minister in 1878 and adopt a more aggressive construction policy. Bonds were floated in London and called for tenders to complete sections of the railway in British Columbia. American contractor Andrew Onderdonk was selected, and his men began construction on May 15, 1880.
In October 1880, a new consortium signed a contract with the Macdonald government, agreeing to build the railway for $25 million in credit and of land. In addition, the government defrayed surveying costs and exempted the railway from property taxes for 20 years. Once completed in 1882 with a last spike at Feist Lake, near Vermilion Bay, Ontario, the line was turned over to the newly minted private Canadian Pacific Railway company. In 1883, the first wheat shipment from Manitoba was transported over this line to the Lakehead on Lake Superior.
A beaver was chosen as the railway's logo in honour of Donald Smith, 1st Baron Strathcona and Mount Royal, who had risen from factor to governor of the Hudson's Bay Company over a lengthy career in the beaver fur trade.
Building the railway, 1881–1886
Building the railway took over four years. The Canadian Pacific Railway began its westward expansion from Bonfield, Ontario, where the first spike was driven into a sunken railway tie. That was the point where the Canada Central Railway extension ended. The CCR started in Brockville and extended to Pembroke. It then followed a westward route along the Ottawa River and continued to Mattawa at the confluence of the Mattawa and Ottawa rivers. It then proceeded to Bonfield.It was presumed that the railway would travel through the rich "fertile belt" of the North Saskatchewan River Valley and cross the Rocky Mountains via the Yellowhead Pass. However, a more southerly route across the arid Palliser's Triangle in the District of Assiniboia and via Kicking Horse Pass and down the Field Hill to the Rocky Mountain Trench was chosen.
In 1881, construction progressed at a pace too slow for the railway's officials who, in 1882, hired the renowned railway executive William Cornelius Van Horne to oversee construction. Van Horne stated that he would have of main line built in 1882. Floods delayed the start of the construction season, but over of main line, as well as sidings and branch lines, were built that year.
The Thunder Bay branch was completed in June 1882 by the Department of Railways and Canals and turned over to the company in May 1883. Construction reached Calgary in the North-West Territories' District of Alberta by August 1883, and regular service to Winnipeg, Manitoba, was established by December 1883. By the end of 1883, the railway had reached the Rocky Mountains, just east of Kicking Horse Pass. The treacherous of railway west of Fort William was completed by Purcell & Company, headed by "Canada's wealthiest and greatest railroad contractor," industrialist Hugh Ryan.
Many thousands of navvies worked on the railway. Many were European immigrants. An unknown number of Stoney Nakoda also assisted in track laying and construction work in the Kicking Horse Pass region. In British Columbia, government contractors eventually hired 17,000 workers from China, known as "coolies". After months of hard labour, they could net as little as $16 Chinese labourers in British Columbia made only between 75¢ and $1.25 a day, paid in rice mats, and not including expenses, leaving barely anything to send home. They did the most dangerous construction jobs, such as working with explosives to clear tunnels through rock. The exact number of Chinese workers who died is unknown, but historians estimate the number is between 600 and 800.
By 1883, railway construction was progressing rapidly, but the CPR was in danger of running out of funds. In response, on January 31, 1884, the government passed the Railway Relief Bill, providing a further $22.5 million in loans to the CPR. The bill received royal assent on March 6, 1884.
In March 1885, the North-West Rebellion broke out in the District of Saskatchewan. Van Horne, in Ottawa at the time, suggested to the government that the CPR could transport troops to Qu'Appelle in the District of Assiniboia in 10 days. Some sections of track were incomplete or had not been used before, but the trip to Winnipeg was made in nine days and the rebellion quickly suppressed. Controversially, the government subsequently reorganized the CPR's debt and provided a further $5 million loan. This money was desperately needed by the CPR. Even with Van Horne's support with moving troops to Qu'Appelle, the government still delayed in giving its support to CPR, due to Macdonald pressuring George Stephen for additional benefits.
On November 7, 1885, the last spike was driven at Craigellachie, British Columbia by one of the CPR directors, Donald Smith. Four days earlier, the last spike of the Lake Superior section was driven in just west of Jackfish, Ontario. While the railway was completed four years after the original 1881 deadline, it was completed more than five years ahead of the new date of 1891 that Macdonald gave in 1881.
In Eastern Canada, the CPR had created a network of lines reaching from Quebec City to St. Thomas, Ontario, by 1885 mainly by buying the Quebec, Montreal, Ottawa & Occidental Railway from the Quebec government and by creating a new railway company, the Ontario and Quebec Railway. It also launched a fleet of Great Lakes ships to link its terminals. Through the O&Q, the CPR had effected purchases and long-term leases of several railways, and built a line between Perth, Ontario, and Toronto to connect these acquisitions. The CPR obtained a 999-year lease on the O&Q on January 4, 1884. In 1895, it acquired a minority interest in the Toronto, Hamilton and Buffalo Railway, giving it a link to New York and the Northeast United States.
File:LastSpike Craigellachie BC Canada.jpg|thumb|left|Donald Smith, later known as Lord Strathcona, drives the last spike of the CPR, at Craigellachie, November 7, 1885. Completion of the transcontinental railway was a condition of BC's entry into Confederation.
1886–1900
The first transcontinental passenger train departed from Montreal's Dalhousie Station, at Berri Street and Notre Dame Street, at 8 pm on June 28, 1886, and arrived at Port Moody at noon on July 4. This train consisted of two baggage cars, a mail car, one second-class coach, two immigrant sleepers, two first-class coaches, two sleeping cars and a diner.By that time, however, the CPR had decided to move its western terminus from Port Moody to Granville, which was renamed "Vancouver" later that year. The first official train destined for Vancouver arrived on May 23, 1887, although the line had already been in use for three months. The CPR quickly became profitable, and all loans from the federal government were repaid years ahead of time. In 1888, a branch line was opened between Sudbury and Sault Ste. Marie where the CPR connected with the American railway system and its own steamships. That same year, work was started on a line from London, Ontario, to the Canada–US border at Windsor, Ontario. That line opened on June 12, 1890.
The CPR also leased the New Brunswick Railway in 1891 for 991 years, and built the International Railway of Maine, connecting Montreal with Saint John, New Brunswick, in 1889. The connection with Saint John on the Atlantic coast made the CPR the first truly transcontinental railway company in Canada and permitted trans-Atlantic cargo and passenger services to continue year-round when sea ice in the Gulf of St. Lawrence closed the port of Montreal during the winter months. By 1896, competition with the Great Northern Railway for traffic in southern British Columbia forced the CPR to construct a second line across the province, south of the original line. Van Horne, now president of the CPR, asked for government aid, and the government agreed to provide around $3.6 million to construct a railway from Lethbridge, Alberta, through Crowsnest Pass to the south shore of Kootenay Lake, in exchange for the CPR agreeing to reduce freight rates in perpetuity for key commodities shipped in Western Canada.
The controversial Crowsnest Pass Agreement effectively locked the eastbound rate on grain products and westbound rates on certain "settlers' effects" at the 1897 level. Although temporarily suspended during the First World War, it was not until 1983 that the "Crow Rate" was permanently replaced by the Western Grain Transportation Act, which allowed the gradual increase of grain shipping prices. The Crowsnest Pass line opened on June 18, 1898, and followed a complicated route through the maze of valleys and passes in southern British Columbia, rejoining the original mainline at Hope after crossing the Cascade Mountains via Coquihalla Pass.
The Southern Mainline, generally known as the Kettle Valley Railway in British Columbia, was built in response to the booming mining and smelting economy in southern British Columbia, and the tendency of the local geography to encourage and enable easier access from neighbouring US states than from Vancouver or the rest of Canada, which was viewed to be as much of a threat to national security as it was to the province's control of its own resources. The local passenger service was re-routed to this new southerly line, which connected numerous emergent small cities across the region. Independent railways and subsidiaries that were eventually merged into the CPR in connection with this route were the Shuswap and Okanagan Railway, the Kaslo and Slocan Railway, the Columbia and Kootenay Railway, the Columbia and Western Railway and various others.