Terms of Engagement

In accordance with our terms of engagement with the Company, our actuarial valuation of the Plan is based on the following material terms:

• It has been prepared in accordance with applicable pension legislation and actuarial standards of practice in Canada.

• As instructed by the Company, the going concern discount rate reflects a margin for adverse deviations of 0.90% per year.

• We have reflected the Company’s decisions for determining the solvency funding requirements, summarized as follows:

  • The same plan wind-up scenario was hypothesized for both hypothetical wind-up and solvency valuations.

  • Although permissible, no benefits were excluded from the solvency liabilities.

  • The solvency financial position was determined on a market value basis, adjusted in accordance with the regulations to the Pension Benefits Standards Act.

See the Valuation Results – Solvency section of the report for more information.

Funding Policy

Events Since the Last Valuation at December 31, 2019

Pension Plan 

There have been no special events since the last valuation date.

This valuation reflects the provisions of the Plan as at December 31, 2019. The Plan has been amended since the date of the previous valuation to reflect certain legislative requirements and modify the allowable composition of the Pension Review Committee. We are not aware of any pending definitive or virtually definitive amendments coming into effect during the period covered by this report. The Plan provisions are summarized in Appendix F.