Shares of a company can only be issued in accordance with the articles of the corporation, by-laws of the corporation, shareholders agreements and their issuance are subject to any preemptive rights that may be in existence. In addition the Exchanges and Securities regulators have in place certain regulations that must be followed.

Equity will only act upon a Treasury Order when it is confirmed that the shares are fully paid and non-assessable, the direction is signed by authorized signing officers of the company that correspond to the Certificate of Incumbency on file with us and the issuance of the securities is in compliance with corporate and security laws and regulations. (See Client Forms)

Shares can only be returned to treasury for cancellation upon the receipt of the certificate with an executed Power of Attorney and a Direction for Cancellation, signed by authorized signing officers of the company that correspond to the Certificate of Incumbency in our files, stating clearly the reason the securities are being cancelled. (See Client Forms)

It is important that Equity is immediately advised of any change to the directors and officers of the corporation. This document provides us with a clear direction as to who can act on behalf of the company. The company can advise Equity of any changes to the list by executing and mailing a Certificate of Incumbency and a Certified List of Officers and Directors to Equity. (See Client Forms)

If your company is an Equity client, please call your client services officer for assistance. The list can be provided in electronic form upon receipt of your e-mail request. We will only provide the list if you are listed on the Certificate of Incumbency or a designate.

If you are not a representative of the company and wish a registered shareholders list, you must notify Equity or the company directly that you require the list. You may be required to provide a statutory declaration to Equity and to pay for the list, prior to the release of the list.

The following must be provided to shareholders:

Annual Meetings:

Quarter Financial Statements with MD&A must be sent to all shareholders, unless an Annual Request for Financial Statements Form was previously sent to shareholders, in which case, only those shareholders who reply and request are required to receive statements.

Other documents may be required to accompany the above; depending on the jurisdictions in which the company is a reporting issuer

CUSIP stands for Committee on Uniform Securities Identification Procedures. A CUSIP number is a nine digit number issued by Standard & Poors in the United States and CDS in Canada. A CUSIP number uniquely identifies the issuer and the security and is used by the financial community as an identifier for their computer systems. A CUSIP number is a requirement for eligibility for the booked based system in the United States.

ISIN stands for International Securities Identification Number. An ISIN is a 12-character alpha-numerical code which does not characterize financial instruments but serves as a uniform identifier for security trades and settlements. The Canadian Depository for Securities (CDS) has adopted the ISIN as its standard identifier for security trade and settlement in Canada.

The book based system is the term used for the shares that are traded between brokers and other financial institutions within a common depository. The Canadian Depository for Securities (CDS) maintains the book based system in Canada and for a security to become eligible. The security must have an ISIN number and be transferable in physical form by a CDS eligible transfer agent in a city where CDS has an office. There are other informational requirements and for further information contact Eligibility Coordinator, Corporate Changes at CDS.

DTCC or Depository Trust and Clearing Company is the American equivalent to CDS and operates the book-based system in the United States. They have similar eligibility requirements as CDS.

Publicly traded companies are required to have certificates representing their securities. Under corporate law, it is evidence of ownership. Generally, these certificates are produced by bank note companies to ensure that they can not be readily counterfeited.

Equity is able to offer generic certificates as a cost effective alternative to bank note paper. Generic certificates have been approved by the exchanges and Equity has a system to produce certificates using special paper that has security features. As a result, we produce securities when they are required without maintaining expensive inventories that may be ultimately destroyed. If you are interested in generic certificates, please call your client service representative.