EFTA01371134

31 October 2017 Railroads Canadian Rails Model updated: 24 October 2017 Punning Mo number+ North America Canada Railroads Canadian Pacific Reuters: CP.N Bloomberg: CP US Buy Price (30 Oct 17) Target Price 52 Week range L. . Market cap (m) USD 174.7 USD 209.0 USD 139.33 - 177.61 656M 25,418 EURm 21,861 Company Praik, Canaden Pacife. headquerared in Calgary. Canada, movides rei and intern/Wel freight tramocetabon sermes one 12.800 route Wes 'comma se Prcgimes in Canada and 13 states m the U.S. he netnork consists of too primary corridors Western. Eastern, Central, and Ihe Mayes. Ursa. Stan In 2016. me company generated a6 2bn el revenue and C526bn of EDT. Prmf Pitif mutant( 200 175 - .pkar, 150 k irler-a llerke 125 V ew Inn 75 Jar;'16 *4' 16 Joni/ 4.1'11 - Caudal e•t4a 1S4 Composes lat0•w4 Moulin Troadr. 60 55 50 45 10 35 30 14 15 16 18E 41a1T0A1Ydn t ■a7T lasein 19E Giowlh 6 Prortitigity -5 10 nil 14 15 is 17E DE 19E ID sew secamemU111 ♦ ROt 00410 36 30 25 20 16 Solvent), 200 150 160 5o 0 14 16 16 Mt MI menewity (UtS1 Soldon Cbiko. CFA +1 212 250-5959 wienr-ommm inmm I II 11 II I II II a III 17E 16E 19E ♦ Me ante.e avow1MM seklon clarkee484on Deutsche Bank Securities Inc a 7 6 Fool year end 31.Dec Finrin‘x9 Summitry C43 EPS (CC) Reporled EPS (CAD) DPS (CAD) SUPS (CAD) Valut0 Ica Men( s Pnee/Selse (x) PE (08) (x) PIE (RePoeter0 (x) MTN 0) FCF pad (%) Dwdend owe Ix) EVISoks EWEENTD.4 EWEEST incoirw, Siam/nee! (CADni) Sales ELUTO. EDT Proux proft Net income I Cmth Flow (CA On l) Cash Wm from operations Net Cam. Free cash flow Equity ransigbougM tock) Oedema pad Net inerkleo in botremrps 01110( ItiveStIngThIlafteni rah 0,063 Net cash flaw Change in working tepee j Beianixi Sheet (CADn0 Cash and OW eguMillentS Properly, pima ins4Pron Goodwill Outer ass Total oases Debt Other Imbibes Total batdime Total shareholders' (gutty NOON 1 14y Compnny filutratt Sales growth 0.1 0B EPS grog% (%) Payout ram (%) E131301 Margin (%) EDT Meigin (%) ROE(%) Net debVermty (%) Net inatmet 0,44/ IX) DuPont Antily-sat EDT macaw (%) Asset lumovel a FoninCial COMM° (A a Tax and other efts= (x) RO/ (mat beg (%) Frontal leveispe 0) = POE (%) annual prow.. (%J a Waltham (MD (4 • Reported EPS annual 9ortfa(%J 2014 2015 2016 2017E 2018E 2019E 852 10.09 1029 11 44 13 14 14.05 849 aao 1062 1298 13 14 14.95 000 0.00 000 [repeated 4 times] 3247 30.01 3093 4958 7064 96.11 5.0 49 4.3 50 48 45 22 4 20 2 17.5 196 17 1 150 22 5 24 3 17.0 17 3 17 1 ISO 6.7 58 6.2 45 32 24 2.2 31 3.8 35 4.6 55 0.0 00 0.0 00 0.0 00 5.8 61 5.7 63 6.0 56 13.3 127 11.0 121 11.3 104 16.4 156 13.7 15.0 13.9 127 6.620 6.712 6.232 6.543 6.831 7.265 2.891 3.215 3,218 3.407 3.643 3,945 2-339 2,620 2.578 2.747 2.903 3.226 2.050 2,215 2.096 2,271 2,492 2,743 1,480 1.352 1.598 1,893 1.832 2,016 2123 2.459 2.080 2.385 2.716 2.963 4307 -1,449 -1.066 -1215 4.275 -1.325 726 1,010 1,023 1,150 1,441 1,658 -1,988 -2.744 -1,189 -11:00 -1.115 -1.300 .244 .226 .255 -308 -320 -349 588 2.013 -46 120 120 95 668 371 .19 5 40 25 .250 424 -488 .34 158 129 .124 275 -55 11 -10 7 226 650 164 130 288 416 14.438 10,273 16,680 17.264 17,856 18,462 176 211 202 [repeated 4 times] 1,800 2.503 2.1643 4,450 8552 9.153 16840 19,837 19,221 22,052 24,928 28,233 5.793 8.957 8,681 8.804 8.924 9.019 5,237 5,884 5,911 6.038 6.176 6.420 11.030 14,1341 14,596 14,642 15.100 15.439 5,610 4.796 4.626 7.210 9.828 12,794 5,567 8,307 6,520 8.674 8,636 ft 603 nm 14 .7.2 50 44 60 na 18.5 2.0 11 2 14 8 138 00 00 0.0 00 [repeated 3 times] 43.7 479 51.6 521 53.3 543 363 390 41.4 420 433 444 284 260 33.9 320 21 5 178 092 173 2 184.2 120 3 879 872 83 66 5.5 58 63 87 353 390 41.4 420 433 44 4 04 04 0.3 03 0.3 03 0.9 08 0.8 06 08 09 07 06 0.8 06 07 07 89 75 8.2 92 78 78 30 35 4.1 35 28 23 264 260 339 320 21 5 178 na .15 30.6 .58 .32 8 .171 322 323 31.3 406 61 1 839 849 8.10 1062 12.98 13 14 14.95 ea .10 28.5 222 1.2 138 Seise* Company SEA Deutsche Setenbee **Demise Page 71 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0064341 CONFIDENTIAL SDNY_GM_00210525 EFTA01371134