Annual Report 2020 VIA Rail Management at a Glance Discussion Contents and Analysis Message from the Chairperson Financial Statements Message from the President Corporate Directory The Year at a Glance Review of Operations Key Performance Indicators Governance and Accountability 01 Via Rail at a Glance 02 VIA Rail at a Glance Our key assets reflect the breadth of our business, from our stations and maintenance centres to the fleet of locomotives and train cars we operate, the passengers we serve, the buildings we occupy and the employees who work for us. In 2020, VIA Rail’s operations and service offering were severely impacted by the effects of the railway blockades and COVID-19 pandemic. * Services on Vancouver Island and Gaspé are suspended due to infrastructure availability. Intercity Travel (in the Corridor) Long-Distance Travel and Tourism Where We In the densely populated Corridor In Western and Eastern Canada, VIA Rail’s between Québec City, QC and Windsor, trains support Canada’s tourism industry Operate 400+ ON, VIA Rail trains provide travel between by attracting travellers from around the communities served the downtown cores of major urban world. The Canadian, VIA Rail’s western centres, as well as between suburban transcontinental train, provides service across Canada centres and communities. between Vancouver and Toronto. In Service to certain communities Eastern Canada, the Ocean runs between temporarily suspended in 2020 Montréal and Halifax. Frequencies and service offering temporarily reduced in 2020 Service temporarily suspended in 2020 Frequency Regional Services 188 VIA Rail provides passenger service in several rural and remote regions of Canada. Mandated Train by the Government of Canada to meet essential transportation needs, these trains serve per week, of which 84% many communities where alternative, year-round transportation is limited or unavailable. Departures of our trains depart on time Frequencies and service offering temporarily reduced in 2020 Down from 454 weekly departures in 2019 01 Via Rail at a Glance 02 Passenger Revenues Per Train Route 92% 92% Intercity Travel of passenger revenues 6% are from intercity travel Long-Distance (in the Corridor) 2% Regional Where Where We Operate Passenger Trips Per Train Route 97% 97% Intercity Travel of passenger trips 1% 400+ consist of intercity Long-Distance communities served travel (in the Corridor) across Canada 2% Regional 02 VIA Rail at a Glance 02 Who We Are Employee Fleet VIA Rail operates Canada’s national passenger rail service on behalf of the Government of Canada. An independent Crown corporation established in 2,315 427 1977, VIA Rail provides a safe, cost-effective, and active and 1,230 inactive train cars (in and environmentally responsible service from coast to employees as of the end of out of service) coast in both official languages. Due to the impacts the calendar year of the railway blockades and COVID-19 pandemic, Employee Diversity VIA Rail recorded 1.1 million passenger trips covering nearly 227 million kilometres in 2020. This is a 37% of our employees are women 74 significant reduction when compared to the record 14% are visible minorities locomotives numbers of 2019: 5 million passenger trips covering 1% are people with disabilities nearly 1.7 billion kilometres. 2% are Indigenous People 2% are veterans Buildings Passengers 114 4 1.1M train stations of which maintenance centres: passenger trips covering close to 48 are heritage stations - Montréal - Toronto 227 million kilometres across Canada, - Winnipeg of which: 97% is intercity travel, 7 - Vancouver offices 1% is long-distance and 2% is regional. 1 head office, 6 regional Down from 5M passenger trips and nearly 1.7 billion km in 2019 01 Message from the Chairperson 02 Message from the Chairperson “The year 2020 tested our ability to respond to dramatic and rapidly evolving events. Ultimately, I think it proved that we have the people and systems needed to adapt and to come out even stronger.” – Françoise Bertrand, o.c., c.q. Chairperson of the Board of Directors, VIA Rail 02 Message from the Chairperson 02 For VIA Rail, like for the entire With a proud 44-year history, loyal Québec City-Toronto corridor, a I would also like to thank the Canadian and world economy, employees, a strong management new reservation system, and the Honourable Marc Garneau, the former 2020 was a very turbulent year. team inspired by a dedicated President renovation of its Heritage cars. The Minister of Transport, for his strong and CEO, VIA Rail has carried out High Frequency Rail (HFR) project is advocacy on behalf of VIA Rail during It began with a series of rail its mission with determination and critical and remains at the heart of his tenure. I welcome his successor, blockades that stopped us in courage. Regrettably, we were forced VIA Rail’s future ambitions. the Honourable Omar Alghabra, and too often to deprive Canadians of their assure him of our full cooperation. our tracks by immobilizing all of Overall, promising steps forward regular train service and had to lay I also thank the entire team at our routes. No sooner had we were taken in 2020. These projects off more than 1,000 employees in the Transport Canada for their support, emerged from this situation than are continuing with a focus on wake of the crises. cooperation and trust. we were hit with the pandemic. improving services for Canadians. What an upheaval! The back-to-back disruptions to our We are indeed grateful for the On behalf of the VIA Rail family, services interrupted the momentum of consistent and ongoing support of I want to reiterate to all of our current continued growth we achieved from the Canadian government, as and future passengers that we 2015 to 2019. However, VIA Rail takes evidenced by the significant remain committed to connecting pride in the fact that every effort investments it is making in ensuring Canadians from city to city, coast was made to provide Canadians with passenger rail remains a key player to coast, and providing a safe, intercity passenger service while in Canada’s transportation network. comfortable and environmentally adhering to best practice guidelines friendly travel experience. Thanks to the dedication of our in health and safety and provincial staff, the leadership of our President, government notices. We regret that Cynthia Garneau, and the unwavering these unusual circumstances forced us support of Transport Canada, VIA Rail to temporarily discontinue our Ocean has demonstrated over the past service and reduce our Canadian year that it is a successful and service to a single, weekly round trip resilient organization. to Winnipeg. I would like to acknowledge the VIA Rail has rigorously managed its contribution of all the members of costs while pursuing its mission to the Board of Directors who have serve Canadians. During the year, supported our management team at VIA Rail continued to prepare for the every stage of an “exceptional” year. future by moving forward with its ambitious modernization program, which includes a new fleet for the 01 Message from the President 02 Message from the President “That we always continued to operate and did so safely – even in the face of monumental challenges – powerfully demonstrates the role that VIA Rail plays as an essential service for all Canadians.” – Cynthia Garneau, President and Chief Executive Officer, VIA Rail 02 Message from the President 02 This was my first full year as This agility allowed us to maintain relationship with the Joint Project Last but not least, I would like to thank VIA Rail’s CEO, and what a year it minimum service levels to and Office created by the Canada our managers for, their resilience from communities outside of major Infrastructure Bank and ourselves and creativity. Day in and day out has been—filled with challenges urban centres. and are confident that we are on the you responded effectively and I am proud to have taken on, as a precipice of positive news for our professionally to the challenges In addressing this unprecedented CEO, as a woman, as a mother and High Frequency Rail (HFR) project. we faced. situation, our goal was to develop as a Canadian. and implement a balanced approach As we look ahead, VIA Rail is My empathy extends to our We faced two crises – the blockades in order to fulfill our public service also determined to address the passengers who did not have access and the pandemic – and I am grateful mandate while carefully and cautiously issues that will shape the world to the usual frequencies on our train for the counsel and support of managing the financial impact of the my daughter inherits. We are segments, especially on our two main my colleagues on the VIA Rail team drop in ridership and revenue. committed to embracing diversity in long-haul lines, the Canadian and the our work force, to forging positive Ocean, which were out of commission throughout this difficult period. Our employees on the front lines, working relationships with all of for extended periods of time. Together, we have overcome significant in stations, in maintenance centres our stakeholders including the obstacles while continuing to provide and on board our trains have held I am looking forward to seeing all of communities along our routes and Canadian with a safe way to travel. down the fort, with the assistance you on board our trains in the very our indigenous peoples and most At the same time, we moved forward of police officers. They have near future. We will be ready and importantly to developing and with the building of a modern and continued to provide our passengers waiting to provide you with the same implementing a comprehensive accessible intercity passenger with incredibly professional service.