Richardson Announces Plans to Expand Eight Elevators in Canada on the CPKC Network

Richardson International Limited (Richardson) and Canadian Pacific Kansas City (TSX: CP) (NYSE: CP) (CPKC) announced today that Richardson plans to expand eight CPKC-served elevators in western Canada, allowing future trains to be moved from these sites under CPKC’s 8,500-foot High Efficiency Product (HEP) model. Work on the elevators in Manitoba, Saskatchewan and Alberta will start in the summer of 2023 and be complete by the end of 2024.

“Richardson is committed to Canadian farmers and providing growers with modern, high-efficiency facilities and services,” said Darwin Sobkow, Richardson’s President and Chief Operations Officer. “Expanding eight elevators will increase capacity and efficiency, enabling Richardson to further benefit from CPKC’s single-line network reaching Canada, the U.S. and Mexico. We have strongly supported the CP-KCS combination throughout the process and look forward to working with CPKC on additional future opportunities for shared growth.”

Richardson currently ships unit trains from 27 CPKC-served elevators in Canada and 1 in the northern U.S. The newest Richardson elevator at Carmichael, Sask., a greenfield grain elevator commissioned in early 2023, is their first 8,500-foot HEP site.

“CPKC is thrilled to have these Richardson elevators added to the growing list of already qualified 8,500-foot HEP sites across western Canada,” said John Brooks, CPKC’s Executive Vice-President and Chief Marketing Officer. “Richardson’s supply chain and CPKC’s operation will benefit from added efficiency, capacity and fluidity with this investment. Richardson’s ability to run longer trains will mean more grain shipped per train, tighter cycles and more Richardson trains moving across our expanded, single-line network throughout the season.”

In 2021, Richardson acquired Italgrani USA Inc., including the largest North American durum mill located in St. Louis, Mo. The CPKC single-line network creates a seamless pipeline to the Italgrani mill from the durum-rich areas in Saskatchewan, where Richardson elevators are well positioned. Furthermore, the combined network and markets in the southern U.S. and Mexico are opening new doors to Richardson for their grains, oilseeds and processed products.

About Richardson International

Richardson International Limited is Canada’s largest agribusiness and is recognized as a global leader in agriculture and food processing. Based in Winnipeg, Manitoba, the company is a worldwide handler and merchandiser of all major Canadian-grown grains and oilseeds and a vertically-integrated processor and manufacturer of oats and canola-based products. Over the past two decades, Richardson has become a significant player in the global food business, producing a wide variety of food products and ingredients for the retail, food service, and industrial markets. One of Canada’s Best Managed Companies, Richardson continues to grow, thanks to the dedication and innovative spirit of over 3,000 employees worldwide.

About CPKC

With its global headquarters in Calgary, Alta., Canada, CPKC is the first and only single-line transnational railway linking Canada, the United States and México, with unrivaled access to major ports from Vancouver to Atlantic Canada to the Gulf of México to Lázaro Cárdenas, México. Stretching approximately 20,000 route miles and employing 20,000 railroaders, CPKC provides North American customers unparalleled rail service and network reach to key markets across the continent. CPKC is growing with its customers, offering a suite of freight transportation services, logistics solutions and supply chain expertise. Visit cpkcr.com to learn more about the rail advantages of CPKC. CP-IR

Source: Canadian Pacific Kansas City Limited