The Aristocratic Dividend Growth Newsletter is designed specifically to showcase the model portfolios designed and maintained by Seth S. Chang, Portfolio Manager, Leede Jones Gable.

The principal underlying tenet of investing in shares of companies that consistently raise dividends is that over time, all things being equal, higher dividends lead to higher share prices. Increasing dividends also mitigates the capital debilitating effects of rising interest rates. To illustrate further, if a bond were to have increasing coupon payments, all things being equal, as prevailing interest rates rose the market price of that bond would not fall as the market price of a like bond with fixed amount coupons would fall.

A new addition to the Canadian Dividend Aristocrat Portfolio is Axis Capital Holdings Ltd (AXS-NYSE), which provides a range of specialty (re)insurance in the marine, terrorism, property, aviation, credit and political risk segments. The company holds offices in Bermuda, the United States, Switzerland, Singapore, Brazil and . In the past 11 years Axis has increased the dividend from $.66 to $1.52 with an average payout ratio of 36%.

Canadian Dividend Aristocrat American Dividend Aristocrat Commodities Price Driven Portfolio Portfolio Dividend Growth Portfolio*

Altagas Proctor & Gamble 3M Company ATCO AT&T Air Products & Chemicals Algonquin Power and Utilities Carnival Corp. Archer Daniels Midland Canadian Utilities Limited Coca-Cola Canadian National Railway McCormick & Co. Exxon Mobil Cineplex Walgreen Boots Alliance (NEW) Emerson Electric CCL Industries Inc. HCP Inc. Enbridge Income Fund Fortis Hormel Foods Monsanto Company Intact Financial Corp. Clorox American States Water Keyera Lancaster Colony Corp. Keyera Corp Exco Technologies Leggett & Platt Metro Inc. Cardinal Health Axis Capital Holdings (NEW) CIBC * Investment in the Commodities Price Driven Dividend Growth Portfolio is limited to only a portion of a client’s overall portfolio.

Leede Jones Gable, Inc. Seth Chang 1800-1140 W. Pender St. Portfolio Manager Vancouver, BC Chartered Investment Manager V6E 4G1 (604) 658-3031 Page 1

Featured Canadian Dividend Aristocrats

CCL Industries Inc. (TSX: CCL.B) Price ($) 64.81 52-Week ($) 53.00 – 71.32 Dividend ($) 0.48 Yield (%) 0.80

CCL Industries Inc. (CCL.B-TSX) manufactures labels, containers, printable media products and provides systems for inventory management and loss prevention. CCL Industries Inc. recently signed an agreement to acquire Treofan Americas, the leading producer of BOPP film based in Zacapu, Mexico.

Thomson Reuters Corp (TSX: TRI) Price ($) 51.89 52-Week ($) 49.26 – 62.83 Dividend ($) 1.75 Yield (%) 3.38

Thomson Reuters Corp (Thomson Reuters) is a Canada-based provider of news and information for professional markets. Thomson Reuters is organized in three business units: Financial & Risk, Legal, and Tax & Accounting. Blackstone Group LP recently bought a 55 per cent stake in the Thomson Reuters financial and risk unit, and are now considering an initial public offering or sale of their stake of Tradeweb Markets LLC.

TELUS Corporation (TSX: T) Price ($) 46.30 52-Week ($) 42.52 – 48.94 Dividend ($) 2.02 Yield (%) 4.36

Telus is a Canadian telecommunications company that provides wireless and wireline services. The company also provides data services that include Internet protocol (IP), television, information technology (IT), and cloud-based services. Telus Ventures has begun investing in Mojio, a Vancouver-based startup specializing in developing technology that connect cars to the internet.

Leede Jones Gable, Inc. Seth Chang 1800-1140 W. Pender St. Portfolio Manager Vancouver, BC Chartered Investment Manager V6E 4G1 (604) 658-3031 Page 2

Featured American Dividend Aristocrats

Carnival Corp. (NYSE: CCL) Price ($) 67.85 52-Week ($) 57.09 – 72.70 Dividend ($) 1.80 Yield (%) 2.65

Carnival Corp. is the world’s largest cruise line based out of Miami, Florida, providing vacation services to destinations around the world. The company’s North American operations include the Carnival Cruise, Holland America Cruise and Princess Cruise Lines. In the past quarter, CCL’s net revenue jumped 11.6 percent to $4.23 billion, above analysts’ estimate of $4.11 billion.

Axis Capital Holdings (NYSE: AXS) Price ($) 52.62 52-Week ($) 47.43 – 68.51 Dividend ($) 0.36 Yield (%) 2.71

Axis Capital Holdings is the holding company for AXIS group of companies, offering insurance services including: property, professional lines, terrorism, marine, energy, environmental, and other insurance solutions. The Globe and Mail ranked Axis Capital as having the best relative performance in the Property & Casualty Insurance industry, with a gain of 3.74%.

AT&T Inc. (NYSE: T) Price ($) 36.34 52-Week ($) 32.55 – 42.70 Dividend ($) 2.00 Yield (%) 5.50

AT&T is a communications provider and digital entertainment services company, operating through four areas: Business Solutions, Entertainment Group, Consumer Mobility, and International. AT&T also owns and operates several regional sports networks on TV. A merger between AT&T and Tim Warner is on the horizon as the federal government tries to interfere, with a ruling likely coming early April.

Leede Jones Gable, Inc. Seth Chang 1800-1140 W. Pender St. Portfolio Manager Vancouver, BC Chartered Investment Manager V6E 4G1 (604) 658-3031 Page 3

Featured Commodities Price Driven Dividends

Exxon Mobil Corporation (NYSE: XOM) Price ($) 73.99 52-Week ($) 73.53 – 89.30 Dividend ($) 3.08 Yield (%) 4.16

Exxon Mobil is engaged in the exploration, production, transportation, and sale of crude oil and natural gas, and also the manufacture, transportation, and sale of petroleum products. The company has projects in the U.S., Canada, South America, Europe, Africa, Asia, and Australia. Exxon Mobil announced its first oil operations from Guyana Liza by March 2020.

Air Products (NYSE: APD) Price ($) 165.66 52-Week ($) 133.63 – 175.17 Dividend ($) 4.41 Yield (%) 2.66

Air Products and Chemicals Inc is a global industrial gases company providing atmospheric and process gases and related equipment to manufacturing markets. Air Products is also the world’s leading supplier of liquefied natural gas process technology and equipment. Air Products is now to provide fueling equipment to China Energy Investment Group’s first hydrogen fueling station in China, signing a deal with Shenhua New Energy Co Ltd.

3M Company (NYSE: MMM) Price ($) 215.87 52-Week ($) 188.62 – 259.77 Dividend ($) 5.44 Yield (%) 2.52 The 3M Company is an American multinational conglomerate corporation operating in more than 65 countries. 3M was formerly known as the Minnesota Mining and Manufacturing Company. 3M produces a wide range of products including: adhesives, abrasives, laminates, passive fire protection and personal protective equipment. 3M recently announced its new “Molecular Detection Assay 2 Campylobacter with Campylobacter Enrichment Broth,” which will provide more efficient testing for a key pathogen associated with poultry production.

Leede Jones Gable, Inc. Seth Chang 1800-1140 W. Pender St. Portfolio Manager Vancouver, BC Chartered Investment Manager V6E 4G1 (604) 658-3031 Page 4

All information and charts used for this newsletter, including Featured Canadian Dividends, Featured American Dividends and Featured Commodities Driven Dividends, are courtesy of QuoteStream, Bloomberg, Google Finance, Yahoo! Finance and Morningstar, Inc. Prices and other numbers associated in this newsletter are accurate as of the date of publication.

This newsletter was prepared, written and edited by Seth Chang, and the comments and opinions expressed herein reflect the personal views of Seth Chang. They may differ from the opinions of Leede Jones Gable Inc. and should not be considered representative of the research beliefs, opinions or recommendations of Leede Jones Gable Inc.

The information included in this document, including any opinion, is based on various sources believed to be reliable, but its accuracy and completeness is not guaranteed and Leede Jones Gable Inc. does not assume any liability in providing it. The information provided is current as of the date appearing on the document and Leede Jones Gable Inc. does not assume any obligation to update the information or give a description of further developments relating to the securities or material discussed. It is for information only, is subject to change at any time, and does not constitute an offer or solicitation to buy or sell any securities referred to. The information presented here and any financial service being offered is directed only at persons who are residents of a Canadian province or territory where Leede Jones Gable Inc. is licensed. Leede Jones Gable Inc. is not permitted to recommend buying, selling or holding securities of any issuer to which it is related, and in the course of a distribution, to which it is connected, unless it makes a complete statement of its relationship, if any. Leede Jones Gable Inc. is not permitted to recommend buying of any secondary market securities of an issuer for whom it is actively engaged as an underwriter of a new issue. Leede Jones Gable Inc., their affiliates, directors, officers, and employees may buy, sell, or hold a position in securities of a company mentioned herein, its affiliates or subsidiaries, and may also perform financial advisory services, investment banking or other services for, or have lending or other credit relationships with the same. Directors, officers or employees of Leede Jones Gable Inc. may serve as directors of any company mentioned herein, its affiliates or subsidiaries. © Leede Jones Gable Inc. 2016. Member CIPF and IIROC.

Leede Jones Gable, Inc. Seth Chang 1800-1140 W. Pender St. Portfolio Manager Vancouver, BC Chartered Investment Manager V6E 4G1 (604) 658-3031 Page 5