CANADIAN CAPITAL GAINS TAX BASIS

Canadian residents, who were also residents of Canada in 1994, and who elected to increase the cost basis of any Canadian residents, who were also residents of Canada in 1994, and who elected to increase the cost basis of any investment assets as at 1994-02-22 in connection with their 1994 income taxes, should NOT use the historical purchase cost for Canadian tax purposes. Instead, they should use the Elected Cost Basis that was claimed as of February 1994.

Please note: 1994 was the last chance to utilize the regular $100,000 capital gains exemption, or any unused portion thereof.

If United States returns are also being filed, the Elected Cost Basis is NOT applicable - the historical purchase cost, converted to US dollars at the exchange rate for the date of purchase, must generally be used, unless Treaty exemptions apply.