Association ("CSA") can join the Di...

Association ("CSA") can join the Dividend Reinvestment Plan ("DRP") for any of the companies contained onward the Enrolment Form (on pages 9 and 10) You simply clean the Form and send in your "initial investment" for a security plus the one-time set-up charge of $12 The CSA then send outs you an Information Circular detailing all of a DRP's features and an Authorization Card to sign and get back When you return the Card, your initial investment is used according to the DRP Administrator to acquire shares of the chosened security either in the marketplace or by means of buying from the company. Subsequently you can cast "optional investments" to the DRP Administrator to purchase more shares.

Why are there three lists of DRPs?

The principal differences between assemblages of DRPs are described below. assign places to "A" DRPs are those sponsored and administered by means of the Canadian Shareowners Association ("Shareowner-Sponsored DRPs") form into groupss "B" and "C" DRPs are sponsored from the company ("Company-Sponsored DRPs") and are typically administered by the agency of a stock transfer agent.

a. Participation. At the time of writing, form into groups "A" DRPs are available merely to members resident in those provinces identified in succession page 9. Exemption applications have been submitted to security regulators in other jurisdictions. disposes "B" and "C" DRPs are now available to CSA members resident everywhere in Canada object the Northwest Territories and the Yukon

In the consequence that a participant's CSA membership lapses (eg death, propers in arrears, etc.), shares and any accumulated cash in a assign places to "A" DRP are distributed in accordance with the courses described in the Information Circular. Continuing participation in arranges "B" and "C" DRPs is unaffected by the agency of CSA membership.

b. Initial investments are different. form into groups "A" DRPs allow an initial investment of as little as $50 and as frequently as $2,500. Alternatively, you may deposit a share certificate into a clump "A" DRP -or have shares transferred electronically from a Canadian brokerage account. To do in the way that when completing the Form, write in the word "Certificate" (or "Transfer" as applicable) in the space provided for indicating the size of the initial investment. Mail the Form and the set-up give a fee to to the CSA. You will receive specific directions for forwarding the certificate (or transferring the shares) to the CSA DRP Investors' Trust Account.

Securities in clusters "B" & "C" typically permit an initial investment limited to: the instant price of one share of stock (round to the nearest dollar) plus $10 For example, if a stock's popular price is $25, your initial investment is $35 (i.e. $25 + $10)

c bills and notes; circulating medium of purchase. Participants make initial and optional investments using Canadian dollars for all cluster "A" (including U.S. securities) and collection "B" DRPs. For Group "C" DRP participants must launch U.S. dollars for initial investments.

d User fiefs All Group "A" DRPs have user remunerations to recover costs; the principal uniteds being: $12 to set-up a DRP account; $4 to make an optional cash investment; $8 to vend shares; $12 to transfer shares to an RRSP or other account; 2% of reinvested dividends; and, 5 cent through share purchased.

Only a not many Group "B" & "C" DRP have user give a fee tos beyond the $12 set-up pay (see details in the DRP's Information Circular). However, extra bank charges may be incurred onward US dollar cheques drawn onward Canadian accounts for Group "C" DRP As well Medallion signature guarantees may be required for share transfers and certificates involving arrange "C" DRPs. How big and in what manner frequent are "optional investments"?

Typically, DRP allow minimum and maximum optional cash investments in succession a monthly or quarterly basis. For example, all assemblage "A" DRPs have a monthly minimum of $50 and a monthly maximum of $2500 You decide by what mode often and how much to invest. In addition, Pre-Authorized Investing is available for arrange "A" DRPs.

What about the safe-keeping of cash and securities?

Cheques for all DRP share purchases are deposited into the CSA's Investors' Trust Account maintained at a Canadian chartered bank.

In the case of clump "A" DRPs, funds are transferred to the CSA's Investors' Trust Account at a brokerage firm concedeed by a Canadian chartered bank. Shares are purchased by means of the broker and held in the name of the bank's nominee at the applicable Canadian or U Depository for Securities. Shares are registered in a participant's name upon the CSA's register of shareowners.

For dispose "B" and "C" DRPs, stocks are forwarded to the company's stock transfer agent who purchases shares either within a broker, or from the company. Typically, shares are held at the agent and are registered in a participant's name upon the agent's register of shareowners.

How do I know by what means many shares I own?

A cumulative DRP account statement (showing allowed shares to four decimal places) is sent to participants in cluster "A" DRPs after every initial and optional investment; sales; and, at year [i]finale[/i] Details about the reinvestment of dividends for each DRP are reported in each issue of Canadian Shareowner. ask advice of the Information Circular to order statements following each dividend reinvestment.