Q: I have CWB.PR.D, series 9 preferred shares. I received notice that a change is going to occur that I need to vote for or against. Would you please explain in layman’s language what the upcoming vote is about. And please recommend a vote option, either 1, 2 or 3. Following is a cut & past of the change. Thanks … Cal
5i Research Answer:
For space reasons, we cut out the long description. It is available on www.sedarplus.com.
Simply put, the exchange is a regulatory requirement involving the maintenance of adequate capital as required by Canadian financial regulators. CWB is being acquired by NA, and the exchange is one of the conditions so that Tier 1 Capital can be maintained. The proposal and proposed amendments will permit the exchange of CWB's Preferred Shares into new National Bank Preferred Shares, with the obligations to be under NA once the deal is finalized. We would choose Option 1 here.