News Release

Toronto - Canadian securities regulators are reviewing how well publicly-traded companies comply with their management discussion and analysis (MD&A) disclosure requirements. The Canadian Securities Administrators (CSA) review will identify areas where disclosure is deficient or could be improved.

MD&A disclosure rules require that management discuss the dynamics of the business and analyze the financial statements. Coupled with the financial statements, this information should enable readers to fully assess the issuer’s performance, position and future prospects.

“Investors are entitled to a clear, transparent discussion and analysis that guides them through the numbers,” said Doug Hyndman, Chair of the CSA. “The MD&A should give a reader the ability to see the issuer through the eyes of management. It should provide both a historical and a prospective analysis of the issuer’s business.”

“Financial statements and MD&A complement one another. The financial statements show investors and other users how funds were raised and spent; the MD&A explains why these transactions occurred and what impact they will have on future operations. The purpose of our review is to make sure companies are providing investors and other users of MD&A with the level of disclosure they're entitled to receive,” added Hyndman.

The review will examine how Canadian public companies comply with the MD&A disclosure requirements. Regulators will contact companies to discuss disclosure that falls short of the standards and, for serious deficiencies in compliance, could request that documents be refiled. Following the completion of the reviews, the CSA will publish a notice documenting major deficiencies found in the course of the reviews.

Joni Delaurier Alberta Securities Commission 403-297-4481 www.albertasecurities.com	Andrew Poon B.C. Securities Commission 604-899-6880 1-800-373-6393 (B.C. & Alberta only) www.bcsc.bc.ca
Ainsley Cunningham Manitoba Securities Commission 204-945-4733 1-800-655-5244 (Manitoba only) www.msc.gov.mb.ca	Eric Pelletier Ontario Securities Commission 416-595-8913 www.osc.gov.on.ca
Barbara Timmins Commission des valeurs mobilières du Québec 514-940-2176 1-800-361-5072 (Quebec only) www.cvmq.com