Mr. Mark Redd reports

CPKC INVESTING US$800 MILLION IN AMERICAN MANUFACTURING WITH TIER 4 LOCOMOTIVES

This year, Canadian Pacific Kansas City Ltd. (CPKC) is continuing the renewal of its locomotive fleet with the world's two leading locomotive manufactures as part of a continuing multiyear $800-million (U.S.) investment in American industry.

Having completed the purchase of 100 Wabtec Tier 4 locomotives built in Texas in 2025, today, CPKC said it will add 30 additional Tier 4 locomotives from Progress Rail in 2026 to be built in Indiana. This year, CPKC also expects delivery of 70 more Texas-built Tier 4 units from Wabtec.

"Our purchase of additional new Tier 4 locomotives, proudly made in the USA, continues CPKC's commitment to renew our locomotive fleet through a more than $800-million (U.S.) investment in American manufacturing capacity," said Mark Redd, CPKC executive vice-president and chief operating officer. "We are investing in our road locomotive fleet for growth and to maintain our industry-leading service for our customers and the North American economy, powered by a fleet with improved reliability and fuel efficiency."

In January, CPKC expects to receive the first two of 70 Wabtec Evolution Series ET44AC Tier 4 locomotives being built this year for CPKC at the company's manufacturing facility in Dallas, Tex.

In the second half of 2026, CPKC expects to take delivery of 30 new EMD SD70ACe-T4 Tier 4 freight locomotives to be manufactured at Progress Rail's facility in Muncie, Ind. These locomotives are part of an order for 65 new Tier 4 locomotives to be built by Progress Rail.

These locomotive investments continue CPKC's locomotive renewal program and are part of CPKC's previously announced multiyear capital plan.

About Canadian Pacific Kansas City Ltd.

With its global headquarters in Calgary, Alta., Canada, CPKC is the first and only single-line transnational railway linking Canada, the United States and Mexico, with unrivaled access to major ports from Vancouver to Atlantic Canada to the Gulf Coast to Lazaro Cardenas, Mexico. 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.