CLCA

Canadian Listed Company Association

CLCA

CANADA’S MARKETS

Don Gordon MBA CFA

Executive Director

CANADIAN LISTED COMPANY ASSOCIATION

Vancouver

June 25, 2010

What is the CLCA?

• Formed in 1998• 400+ TSX Venture Exchange Issuers are members • Board of Directors represent BC, AB, ON• Advocates on behalf of public companies re:

policy and commission issues• Provides educational forums, newsletters • LCA website www.lcaca.com

CLCA

CLCA

CLCA PERSPECTIVE

• Two Tier System: TSE (now TSX) grade and venture grade

• Acknowledge unique Canadian market

• Achieve appropriate vs. less regulation

• Cost-effective and plain English regulation

• Empirical cost-benefit analysis

CLCA

CANADA’S MARKET

Market Cap Range Market Cap Total$Bill

# of Issuers % of Market Cap % of Issuers

> $100 M $16.1 61 42.21% 2.57%

$75M - $100M $2.0 23 5.28% 0.97%

$50M - $75M $3.6 59 9.38% 2.49%

$25M-50M $6.0 169 15.95% 7.12%

$10M-$25M $5.6 357 14.80% 15.04%

< $10 M $4.7 1,705 12.38% 71.82%

Total $38.1 2,374 100% 100%

ACTIVITIES OF THE CLCA

• Comment and opinion letters from Issuers • Plain English newsletter • Conduct surveys targeted for the public

company perspective• Participate in cost-benefit studies• Educational forums

www.lcaca.com

CLCA

CLCA

THE BIG PICTURE

• Federal Model: Single Regulator• Passport Uniform Act Model: BC, AB, ON,

QB• Status Quo: QB• US PrescriptiveModel: OSC• Principled Approach Model: BC

CLCA

THE PIPELINE

Description Purpose Cost Effect

MI 51-403 Tailoring Venture Issuer Regulation

AIF Form no Quarterlies SF Prospectus No BAR

Same or Higher

NI 31-103 Registration Requirements and Exemptions

Exempt Market Dealers: Capital and Qualification Registration procedures simplified

Much Higher

BCI 51-509 Issuers Quoted in the U.S. Over-the-Counter Markets

“Reporting Lite” for BC connected

Higher

National Instrument 43-101

Standards of Disclosure for Mineral Projects

Triggers: SF Prospectus - Delete First Time Disclose – Add Less prescriptive

Lower

PARTICIPATE IN THE CLCA• Register as a member • Attend our educational forums• www.lcaca.com: Use the website as a

informational resource, to register for our newsletter and register for our educational forums

• Participate in our surveys represent the public company perspective with Exchanges and securities commission(s)

CLCA

CLCA