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DETAILS OF CF PREFERRED SHARES:
Series A preferred shares:
| YIELD: Canaccord Financial Series A preferred shares pay fixed, cumulative, preferential dividends payable quarterly, yielding 5.50% annually for the initial period ending September 30, 2016 |
| RATING: DBRS has assigned the Series A preferred shares a rating of PFD-3 (low). |
| CONVERSION DATE: After the initial period ending September 30, 2016, the dividend rate will be reset every five years at the rate equal to the 5-year Government of Canada bond yield plus 3.21%. |
| CONVERSION OPTION: On September 30, 2016 and on every September 30th every five years after, holders of Series A preferred shares will have the right, at their option, to convert any or all of their shares into an equal number of Cumulative Floating Rate First Preferred Series B shares. |
Series B preferred shares:
| The Series B preferred shares will be entitled to receive floating rate, cumulative, preferential dividends payable quarterly, at a rate equal to the three-month Government of Canada Treasury Bill yield plus 3.21%. |
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DIVIDEND INFORMATION:
Distribution rate:
During the Initial Fixed Rate Period, cash dividends will be paid totaling an annual amount equal to $1.3750 per Series A Preferred Share.
The initial dividend of $0.37295 per Series A Preferred Share was paid on September 30, 2011. On a quarterly basis during the Fixed Rate period, dividends of $0.34375 will be distributed on the dates provided below.
The distribution rate for each quarterly distribution after the Initial Fixed Rate Period will be re-set every five years at the rate equal to the 5-year Government of Canada bond yield plus 3.21%
Payments:
Quarterly distribution payments, during the Initial and Subsequent Fixed Rate Period will be made on the following days:
- March 31
- June 30
- September 30
- December 31