CP
Rail Upper Management Compensation
April 30, 2006
Brothers and Sisters,
While working with your negotiating team (for the CPR contract)
this weekend, I have repeatedly been made aware of just how poorly
we are compensated for the work we do and the skills that we have.
And I'm not just talking about our wages, but also our benefits
and our expenses. However, you'll be glad to know that not every
employee is mistreated at CPRail.
If like me, you own some shares in CPRail, then you recieved the
Canadian Pacific Railway Notice of Annual and Special Meeting of
Shareholders and Management Proxy Circular. It has CANADIAN PACIFIC
RAILWAY Ingenuity, printed across the front. Truer words have rarely
been spoken, because I think it truly is ingenius how much the
top five Executives have managed to pay themselves. If you have
the booklet, go to page 33 and start reading, under the heading
SUPPLEMENTAL DISCLOSURE: TOTAL COMPENSATION SUMMARY FOR THE NAMED
EXECUTIVE OFFICERS.
Here's the gist of it, as far as I can understand:
Rob Ritchie, the CEO (Chief Executive Officer) of CPRail was paid
a base salary for 2005 of $860,000.00 (Eight Hundred and Sixty
thousand dollars).
He also recieved a cash BONUS of $1,128,750.00 (One MILLION and
one hundred twenty eight thousand, seven hundred fifty dollars).
He also recieved stock options, pension service and other compensation
of OVER $2,600,000.00 (Two MILLION and six hundred thousand dollars)
to bring his total compensation from CPRail for 200 to a whopping
$4,725,483.00.
That's FOUR MILLION AND SEVEN HUNDRED TWENTY FIVE THOUSAND, FOUR
HUNDRED AND EIGHTY THREE DOLLARS.
In other words, this is an over 40% increase from his 2003 total
compensation of $3,363,925.00.
If you recall, you got a total increase of 8% on your meager wages,
which of course were a hell of a lot less than three and a quarter
million to begin with.
The other four didn't do quite as good as Mr. Ritchie, but their
money is none too shabby either.
Fred Green, President & COO (Chief Operating Officer) pulled
in the next highest at $3,771,478.00 in 2005, more than quadrupling
his earnings from 2003 ($701,526.00).
M.T. Waites, Executive Vice President and Chief Financial Officer
walked away with $2,815,839.00 more than doubling his take from
2003 ($1,330,445.)
M.M. Szel, Senior Vice President of Marketing and Sales pocketed
$1, 252,068.00 doubling his 2003 cut of $672,666.00.
And Neal Foot, Senior Vice President of Operations came in fifth
with a paltry $1,126,788.00, not quite doubling his 2003 figure
of $694,485.00.
This means that between these five (5) guys, they raked in $13,691,656.00.
You know, with this kind of money out there, its kind of hard to
figure out why our guys on the boarding cars are forced to eat
boiled chicken and "green" luncheon meat.
Fraternally,
Bill Brehl
President
TCRC MWED
