The following are the names, office(s) held and principal occupations of the directors and officers of the Company:
Brian D. McChesney
President, Chief Executive Officer and Director
Stephen D. Pearce
Chief Financial Officer, Secretary and Director
(Director, Scotia Capital Inc.)
All Capital Yield Shares and ROC Preferred Shares were redeemed by the Company on December 16, 2010. The ROC Preferred Shares were redeemed at a price per share of $13.74. The Capital Yield Shares were redeemed at $9.86 per share.
All return of capital distributions paid to a holder of ROC Preferred Shares or Capital Yield Shares will not be included in computing the income of the holder but will reduce the holder's adjusted cost base of the shares. To the extent that the adjusted cost base of a share would otherwise be less than zero, the negative amount will be deemed to be a capital gain realized by the holder from a disposition of the shares and the holder's adjusted cost base will be increased by the amount of such deemed capital gain.
Dividends other than the capital gains dividends received by individuals on the ROC Preferred or Capital Yield Shares will be subject to the normal gross-up and dividend tax credit rules applicable to dividends received on shares of a taxable Canadian corporation.
The amount of any capital gains dividend received by a holder of ROC Preferred Shares or Capital Yield Shares will be considered to be a capital gain of the holder in the taxation year in which the capital gains dividend is received.
The Company qualifies as a "mutual fund corporation" and a "financial intermediary corporation" as defined in the Income Tax Act (Canada). As a result thereof and after deduction of expenses in computing its income, the Company does not anticipate that it will be subject to any material non-refundable income tax liability.