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April 28, 2021 Industry Update

Canadian Research Review And Common

Stock Universe

The Canadian Research Review compiles the ratings, price targets and estimates for all companies under our coverage. Our Research analysts offer their three main sector takeaways and provide their current top picks.

All figures in Canadian dollars unless otherwise stated.

For required regulatory disclosures please refer to "Important Disclosures" beginning on page 42.

Canadian Research Review And Common Stock Universe - April 28, 2021 In This Issue

Company Ratings ...... 3 Economics – Avery Shenfeld and Katherine Judge ...... 6

Analyst Coverage Bryce Adams ...... 12 Robert Bek ...... 14 Jacob Bout ...... 16 Robert Catellier ...... 18 Kevin Chiang ...... 19 Cosmos Chiu ...... 21 Todd Coupland ...... 22 Dennis Fong ...... 23 Scott Fromson ...... 24 Paul Holden ...... 25 Alex Hunchak ...... 26 Mark Jarvi ...... 27 Jamie Kubik ...... 29 Hamir Patel ...... 30 Mark Petrie ...... 31 David Popowich ...... 33 Stephanie Price ...... 35 Nik Priebe ...... 37 Anita Soni ...... 39 Dean Wilkinson ...... 40

2 Canadian Research Review And Common Stock Universe - April 28, 2021 Company Ratings Ticker Company Rating Ticker Company Rating Ticker Company Rating ADN Acadian Timber Corp. UN BIP Brookfield Infrastructure Partners R CRT.UN CT Real Estate Investment Trust NT AAV Advantage Oil & Gas Ltd. OP BPY Brookfield Property Partners LP NT DSGX Descartes Systems Group Inc. NT ARE Aecon Group Inc. OP BEP Brookfield Renewable Partners LP NT DIV Diversified Royalty Corp. OP AFN Ag Growth International Inc. OP DOO BRP Inc. NT DCBO Docebo, Inc. OP AGF.B AGF Management Limited NT HOM.U BSR Real Estate Investment Trust OP DOL Dollarama Inc. NT AEM Agnico Eagle Mines Limited OP CAE CAE Inc. OP UFS Domtar Corp. NT AC Air Canada OP GOOS Canada Goose Holdings Inc. OP DIR.UN Dream Industrial REIT R BOS AirBoss of America Corp. OP CAR.UN CAP REIT NT DRM DREAM Unlimited Corp. OP AGI Alamos Gold Inc. OP CNR Canadian National Railway Co. NT DPM Dundee Precious Metals Inc. OP AD.UN Alaris Equity Partners OP CNQ Canadian Natural Resources Ltd. OP ECN ECN Capital Corp. OP CLIQ Alcanna Inc. OP CP Canadian Pacific Railway Ltd. OP EGO Eldorado Gold Corporation OP AQN Algonquin Power & Utilities Corp. OP CTC.A Canadian Tire Corporation, Ltd. OP EFN Element Fleet Management Corp. OP ATD.B Alimentation Couche-Tard Inc. OP CU Canadian Utilities Ltd. NT EMA Emera Inc. NT AP.UN Allied Properties REIT OP CWB Canadian Western Bank OP EMP.A Empire Company Limited OP ALA AltaGas Ltd. OP CFP Canfor Corporation OP ENB Enbridge Inc. OP AIF Altus Group Limited NT CFX Canfor Pulp Products Inc. NT EDV Endeavour Mining Corporation OP HOT.U AHIP REIT NT WEED Canopy Growth Corporation NT EDR Endeavour Silver Corp. NT AND Andlauer Healthcare Group, Inc. NT CWX CanWel Building Materials Group R EFX Enerflex Ltd. NT APHA Aphria Inc. OP CPX Capital Power Corporation NT ERF Enerplus Corporation OP ARX ARC Resources Ltd. OP CS Capstone Mining Corp. OP ENGH Enghouse Systems OP ATZ Aritzia Inc. OP CJT Cargojet Inc. OP ESI Ensign Energy Services Inc. NT AX.UN Artis Real Estate Investment Trust NT CAS Cascades Inc. OP EQX Equinox Gold Corp. NT ACO.X ATCO Ltd. OP CCL.B CCL Industries Inc. OP ERO Ero Copper Corp. NT ACB Aurora Cannabis Inc. NT CLS Celestica Inc. NT ERE.UN European Residential REIT OP ACQ AutoCanada Inc. NT CVE Cenovus Energy Inc. OP EIF Exchange Income Corporation R APR.UN Automotive Properties REIT OP CG Centerra Gold Inc. NT FDGE Farmers Edge Inc OP BTG B2Gold Corporation OP CDAY Ceridian HCM Holding, Inc. NT FSZ Fiera Capital Corporation NT BLDP Ballard Power Systems, Inc. NT CERV Cervus Equipment Corporation NT FTT Finning International Inc. OP BMO Bank of Montreal OP GIB.A CGI Inc. NT FCR.UN First Capital REIT OP BNS Bank of Nova Scotia OP CHE.UN Chemtrade Logistics Income Fund OP FM First Quantum Minerals Ltd. OP GOLD Barrick Gold Corporation OP CHP.UN Choice Properties REIT NT FSV FirstService Corporation OP BTE Baytex Energy Corp. NT CHR Chorus Aviation OP FTS Fortis Inc. OP BBTV BBTV Holdings, Inc. OP CIX CI Financial Corp. NT FVI Fortuna Silver Mines Inc. NT BCE BCE Inc. NT CGX Cineplex Inc. NT FNV Franco-Nevada Corporation OP BIR Birchcliff Energy Ltd. OP CCA Cogeco Communications Inc. OP FRU Freehold Royalties Ltd. OP BDT Bird Construction Inc. OP CGO Cogeco Inc. NT GATO Gatos Silver, Inc. OP BB BlackBerry Limited NT CIGI Colliers International Group Inc. OP GDI GDI Integrated Facility Services NT BEI.UN Boardwalk REIT NT CFF Conifex Timber Inc. NT WN George Weston Limited OP BBD.B Bombardier Inc. UN CSU Constellation Software Inc. OP GFL GFL Environmental Inc. OP BNE Bonterra Energy Corp. NT CMMC Copper Mountain Mining Corp. OP GEI Gibson Energy Inc. NT BLX Boralex Inc. Class A OP CJR.B Corus Entertainment Inc. OP GIL Gildan Activewear Inc. OP BYD Boyd Group Services Inc. OP CPG Crescent Point Energy Corp. OP GSS Golden Star Resources Ltd. NT BAM Brookfield Asset Management OP CRR.UN Crombie REIT OP GRT.UN Granite REIT OP BBU Brookfield Business Partners LP OP CRON Cronos Group Inc. NT GBR Great Bear Resources Ltd. OP

3 Canadian Research Review And Common Stock Universe - April 28, 2021

Company Ratings (continued) Ticker Company Rating Ticker Company Rating Ticker Company Rating GWO Great-West Lifeco Inc. OP MAXR Maxar Technologies Ltd. NT PD Precision Drilling Corporation OP GCG.A Guardian Capital Group Limited OP MEG MEG Energy Corp. NT PBH Premium Brands Holdings Corp. NT HR.UN H&R REIT OP MERC Mercer International Inc. OP PVG Pretivm Resources Inc. NT HDI Hardwoods Distribution Inc. OP MEOH Methanex Corporation NT PRMW Primo Water Corp. OP HL Hecla Mining Company NT MRU Metro Inc. NT PRB Probe Metals, Inc. OP HEXO HEXO Corp. OP MI.UN Minto Apartment REIT OP QTRH Quarterhill Inc. OP HBM Hudbay Minerals Inc. OP MRC Morguard Corp. OP QBR.B Quebecor Inc. OP H Hydro One Limited OP MRG.UN Morguard N.A. Residential REIT OP RECP Recipe Unlimited Corporation NT IAU i-80 Gold Corp. OP MSI Morneau Shepell Inc. OP RSG Republic Services Inc. NT IAG iA Financial Corporation Inc. OP MOS Mosaic Company NT RFP Resolute Forest Products OP IAG IAMGOLD Corporation NT MTY MTY Food Group Inc. OP QSR Restaurant Brands International OP IGM IGM Financial Inc. OP MTL Mullen Group Ltd. OP RCH Richelieu Hardware Ltd. NT IMO Imperial Oil Limited NT NA National Bank Of Canada NT REI.UN RioCan REIT OP ISV Information Services Corp. NT NGD New Gold Inc. NT RIV RIV Capital Inc. OP INE Innergex Renewable Energy Inc. NT NCM Newcrest Mining Ltd. NT RCI.B Rogers Communications Inc. R IFC Intact Financial Corp. R NEM Newmont Corporation OP RY Royal Bank of Canada NT IPL Inter Pipeline Ltd. NT NFI NFI Group Inc. OP RGLD Royal Gold, Inc. NT IFP Interfor Corporation OP NSR Nomad Royalty Company Ltd NT SSL Sandstorm Gold Ltd. OP IIP.UN InterRent REIT NT NWC North West Company Inc. NT SAP Saputo Inc. OP ITP Intertape Polymer Group Inc. OP NPI Northland Power Inc. OP SES SECURE Energy Services Inc. R JWEL Jamieson Wellness Inc. OP NTR Nutrien Ltd. OP SJR.B Shaw Communications Inc. R JENGQ Just Energy Group Inc. UN NVEI Nuvei Corp. OP SHOP Shopify Inc. NT KEL Kelt Exploration Ltd. OP NVA NuVista Energy Ltd. NT SMT Sierra Metals, Inc. OP KEY Keyera Corporation OP OIII O3 Mining Inc. OP SWIR Sierra Wireless Inc. UN KMP.UN Killam Apartment REIT OP OGC OceanaGold Corporation NT SGR.UN Slate Grocery REIT NT KXS Kinaxis Inc. OP ONEX Onex Corporation OP ZZZ Sleep Country Canada Holdings OP KGC Kinross Gold Corporation OP OTEX Open Text Corporation OP SRU.UN SmartCentres REIT OP KL Kirkland Lake Gold Ltd. OP ORE Orezone Gold Corporation OP SNC SNC-Lavalin Group Inc. OP KPT KP Tissue Inc. NT OGI Organigram Holdings Inc. UN TOY Spin Master Corp. OP LGO Largo Resources Ltd. OP OLA Orla Mining Ltd. OP SSRM SSR Mining Inc. OP LB Laurentian Bank UN OR Osisko Gold Royalties Ltd OP STN Stantec Inc. OP LSPD Lightspeed POS, Inc. OP OSK Osisko Mining Inc. OP SJ Stella-Jones Inc. OP LNR Linamar Corporation OP OVV Ovintiv Inc. NT RAY.A Stingray Group Inc. OP L Loblaw Companies Limited OP PAAS Pan American Silver Corp. OP SRX Storm Resources Ltd. OP LPEN Loop Energy OP POU Paramount Resources Ltd. UN SMU.UN Summit Industrial Income REIT NT LUG Lundin Gold Inc. OP PXT Parex Resources Inc. OP SLF Sun Life Financial Inc. NT LUN Lundin Mining Corporation NT PLC Park Lawn Corporation Limited OP SU Suncor Energy Inc. OP MAG MAG Silver Corp. NT PKI Parkland Corporation OP SPB Superior Plus Corp. NT MGA Magna International Inc. OP PPL Pembina Pipeline Corporation OP SGY Surge Energy Inc. R MFC Manulife Financial Corp. NT PRQ Petrus Resources Ltd. NT TVE Tamarack Valley Energy Ltd. R MFI Maple Leaf Foods Inc. OP PEY Peyto Exploration & Development NT TRP TC Energy Corporation OP MOZ Marathon Gold Corporation OP PLZ.UN Plaza Retail REIT NT TECK.B Teck Resources Limited NT MRE Martinrea International Inc. OP POW Power Corporation of Canada OP T TELUS Corporation OP MMX Maverix Metals Inc. OP PSK PrairieSky Royalty Ltd. NT TIXT TELUS International (CDA), Inc. OP

4 Canadian Research Review And Common Stock Universe - April 28, 2021

Company Ratings (continued) Ticker Company Rating TEV Tervita Corporation R TFII TFI International Inc. OP TRI Thomson Reuters Corporation OP TWM Tidewater Midstream & Infra. Ltd. R X TMX Group Limited NT TPZ Topaz Energy Corporation OP TXG Torex Gold Resources Inc. NT TIH Toromont Industries Ltd. NT TD Toronto-Dominion Bank OP TOU Tourmaline Oil Corp. OP TA TransAlta Corporation OP RNW TransAlta Renewables Inc. NT TRZ Transat A.T. Inc. UN TCL.A Transcontinental Inc. OP TCN Tricon Residential Inc. OP TSU Trisura Group Ltd. OP TNT.UN True North Commercial REIT NT VET Vermilion Energy Inc. NT WCN Waste Connections Inc. OP WM Waste Management NT WELL WELL Health Technologies Corp. OP WFG West Fraser Timber Co. Ltd. OP WEF Western Forest Products Inc. OP WTE Westshore Terminals Investment NT WPM Wheaton Precious Metals Corp. OP WCP Whitecap Resources Inc. OP WPK Winpak Ltd. NT WIR.U WPT Industrial REIT OP WSP WSP Global Inc. OP AUY Yamana Gold Inc. OP YGR Yangarra Resources Ltd. OP

Share prices, estimates, price targets and ratings in this report are as of April 26. Our latest research, published since this report was priced, is available on the CIBC World Markets Inc. Equity Research web site, http://researchcentral.cibcwm.com/.

OP – Outperformer: Stock is expected to outperform similar stocks in the coverage universe during the next 12–18 months. NT – Neutral: Stock is expected to perform in line with similar stocks in the coverage universe during the next 12–18 month. UN – Underperformer: Stock is expected to underperform similar stocks in the coverage universe during the next 12–18 months. NR — Not Rated: CIBC World Markets Inc. does not maintain an investment recommendation on the stock. R – Restricted: CIBC World Markets Inc. is restricted (due to potential conflict of interest) from rating the stock.

5 Canadian Research Review And Common Stock Universe - April 28, 2021 Economics U.S. Inflation: Could This Time Be Different? Avery Shenfeld 416 594-7356 Katherine Judge 416 956-6527

It’s been decades since we’ve seen any serious inflation in most of the major industrialized economies, and that reality has permeated central bank thinking. That’s been particularly true in the corridors of the Federal Reserve Board. Its policy committee, the FOMC, seems convinced that it can hold interest rates near zero until 2024, and despite massive fiscal stimulus, it sees nothing worse than three years of core PCE prices averaging 2.1%. Much of that is predicated on a repeat of the tame inflation trend of the prior cycle. But this time could be slightly different, given the strong rebound we see under way in the U.S., with 6% real GDP growth in 2021, as shown in the table in Exhibit 2. We say slightly, because if we tack on even a few decimal places to the Fed’s inflation projection, which would line up with our forecast (as illustrated in the bar chart in Exhibit 1), the Fed could end up hiking two years earlier than it’s now suggesting, in the latter half of 2022, as shown in the table in Exhibit 3.

Exhibit 1: A Slight Upside Surprise In Inflation Would Be Enough To Force Earlier Hikes

Source: Federal Reserve, CIBC. Chairman Powell has noted that the FOMC would be guided by what it observes in core PCE prices, and Fed behavior has often ended up wildly diverging from forecasts it made a year earlier. Failing to nudge rates higher before 2024 would raise the risk of either a more material climb in inflation down the road or the need for a sharper rate climb later in the decade that would be less well calibrated in terms of slowing growth to just the right degree.

Exhibit 2: Economic Update

Canada 20Q4A 21Q1F 21Q2F 21Q3F 21Q4F 22Q1F 22Q2F 22Q3F 22Q4F 2020A 2021F 2022F

Real GDP Growth (AR) 9.6 5.6 1.5 5.1 5.7 5.4 4.2 2.7 2.3 -5.4 5.6 4.4 Real Final Domestic Demand (AR) 3.5 1.1 3.0 5.9 6.1 4.9 4.9 3.4 2.5 -4.5 4.7 4.8 Household Consumption (AR) -0.4 0.6 2.5 7.1 6.8 5.4 6.0 2.9 1.8 -6.1 4.0 5.2 All Items CPI Inflation (Y/Y) 0.8 1.4 2.6 2.1 1.9 1.7 1.7 2.0 2.2 0.7 2.0 1.9 Unemployment Rate (%) 8.8 8.6 8.1 7.1 6.4 6.2 6.0 5.8 5.7 9.5 7.6 5.9

U.S. 20Q4A 21Q1F 21Q2F 21Q3F 21Q4F 22Q1F 22Q2F 22Q3F 22Q4F 2020A 2021F 2022F

Real GDP Growth (AR) 4.1 5.0 8.0 7.0 5.4 4.3 2.8 2.5 2.3 -3.5 6.0 4.4 Real Final Sales (AR) 3.0 5.9 7.6 6.7 5.9 4.5 2.5 2.3 2.5 -2.9 5.5 4.4 All Items CPI Inflation (Y/Y) 1.2 1.9 3.4 2.9 3.1 2.9 2.6 2.6 2.6 1.2 2.8 2.6 Core CPI Inflation (Y/Y) 1.6 1.4 2.4 2.1 2.2 2.5 2.5 2.5 2.7 1.7 2.0 2.5 Unemployment Rate (%) 6.8 6.2 5.6 4.9 4.5 4.3 4.0 3.6 3.5 8.1 5.3 3.8 Source: Haver Analytics, CIBC Economics.

Canadian Research Review And Common Stock Universe - April 28, 2021

Exhibit 3: Interest And Foreign Exchange Rates

2021 2021 2022

End of period: 7-Apr Jun Sep Dec Mar Jun Sep Dec

CDA Overnight target rate 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.50 98-Day Treasury Bills 0.08 0.15 0.10 0.15 0.20 0.25 0.25 0.35 2-Year Gov't Bond 0.23 0.25 0.30 0.35 0.40 0.45 0.60 0.90 10-Year Gov't Bond 1.49 1.50 1.65 1.45 1.65 1.75 1.80 1.85 30-Year Gov't Bond 1.92 2.10 2.00 1.90 1.95 2.10 2.20 2.25

U.S. Federal Funds Rate 0.125 0.125 0.125 0.125 0.125 0.125 0.375 0.625 91-Day Treasury Bills 0.01 0.00 0.05 0.15 0.20 0.25 0.40 0.50 2-Year Gov't Note 0.15 0.15 0.15 0.25 0.40 0.50 0.85 1.15 10-Year Gov't Note 1.65 1.60 1.75 1.50 1.60 1.70 1.80 2.00 30-Year Gov't Bond 2.34 2.30 2.40 2.25 2.30 2.40 2.50 2.70

Canada - US T-Bill Spread 0.07 0.15 0.05 0.00 0.00 0.00 -0.15 -0.15 Canada - US 10-Year Bond Spread -0.17 -0.10 -0.10 -0.05 0.05 0.05 0.00 -0.15

Canada Yield Curve (10-Year — 2-Year) 1.26 1.25 1.35 1.10 1.25 1.30 1.20 0.95 US Yield Curve (10-Year — 2-Year) 1.50 1.45 1.60 1.25 1.20 1.20 0.95 0.85

Exchange Rates CADUSD 0.79 0.79 0.79 0.77 0.76 0.75 0.75 0.75 USDCAD 1.26 1.26 1.27 1.30 1.32 1.33 1.34 1.34 USDJPY 110 110 108 107 105 106 107 108 EURUSD 1.19 1.16 1.18 1.20 1.20 1.19 1.18 1.17 GBPUSD 1.37 1.38 1.41 1.42 1.42 1.40 1.39 1.39 AUDUSD 0.76 0.80 0.82 0.83 0.84 0.85 0.86 0.87 USDCNY 6.54 6.40 6.30 6.20 6.05 5.95 5.85 5.80 USDBRL 5.61 5.50 5.50 5.30 5.10 5.30 5.50 5.70 USDMXN 20.2 21.0 21.5 20.5 19.8 19.5 20.0 20.5 Source: Bloomberg, CIBC Economics

Output Gap And Inflation: Not Severely Tested In Decades Let’s start with the conventional wisdom that expectations are so firmly rooted that inflation can’t sustainably breach 2% even if the economy really powers ahead. The problem is that we can’t use recent decades to prove that point, because the central bank never ran an experiment with ultra-low rates, massive fiscal stimulus, and an extended period with a strongly positive output gap.

Obama’s fiscal stimulus package was arguably too small, and too quickly withdrawn, so the economy needed a protracted period of monetary stimulus to get back to full employment. Biden and Congress have gone the other way this time. And in the past, each time the output gap went modestly positive, rate hikes were sufficient to prevent a major overheating.

The result is that, as shown in the bar chart in Exhibit 4, you have to go back to the 1960s and 1970s to find an extended run with a strongly positive output gap. But those are the very decades in which inflation expectations did get dislodged to the upside. If the Fed failed to tighten in 2022 and 2023 to moderate growth, we could readily see the U.S. economy running a positive output gap more akin to what we saw in the 1970s than in any period since then.

Canadian Research Review And Common Stock Universe - April 28, 2021

Exhibit 4: Economy Hasn’t Run Really Hot In Decades

Source: BEA, CBO, CIBC.

What Made The Last Cycle So Special: Tame Wages Even with the Fed doing some pre-emptive hiking, the American economy seemed unusually well shielded against inflation in the last cycle, with both wage and price inflation staying lower than might have been expected given either the output gap, or the sub-4% jobless rate.

Relative to the relationship between the unemployment rate and wage inflation in past cycles, wages stayed unusually tame for an extended period after the unemployment rate had already narrowed, as illustrated in the line chart in Exhibit 5. Although pay scales finally did respond to tighter labor markets late in the expansion, in 2015, we had the rare combination of 5% unemployment and wages only advancing at a 2% clip. That not only held down business costs, but also impacted consumer purchasing power, both of which helped cushion against inflation.

Exhibit 5: Wages Saw Unusually Late Response To Job Market Tightness In The Last Cycle

Source: BLS, CIBC.

Several factors could have contributed to that atypical relationship. In part, it reflected the fact that other measures of labor market tightness, including the prime-age employment-to- population ratio, showed more slack. But it also captured the length and depth of the Great Recession. With negligible inflation, the true equilibrium wage change might have been deeply negative, but since nominal pay cuts are rare, there is downward stickiness of wage settlements at a zero percent change.

Canadian Research Review And Common Stock Universe - April 28, 2021

As the economy improves, there’s then a period in which there are sub-par wage gains as a catch-up to the missing real wage cuts during the recession. Prior recessions were not as deep and protracted, and there was room to cut real wages by having a pay gain less than inflation, which remained more positive. The COVID-19 recession was very deep, but with all the fiscal stimulus in play looks to have a much shorter duration in terms of the timeframe to get back to labour market tightness. That could allow a quicker return to rising wages.

Note that average hourly earnings gains during the COVID-19 period have been misleadingly strong, due to composition changes associated with large job losses in lower-paid service sectors. But the Atlanta Fed has a measure that tracks median wage changes for individual workers, which eliminates the impact of such compositional changes.

It’s clear that the highly concentrated nature of the adverse impacts of COVID-19 on employment have left those still working largely unaffected by the slack in some service industries. Wages for those employed through 2020 did not see anything close to the typical cyclical deceleration, as shown in the line chart in Exhibit 6. So in many sectors, we are starting from a much higher pace of wage inflation than was the case in the early years of the last cycle.

Exhibit 6: Wages Of Those Still Employed Stayed Firmer Than In Last Downturn

Source: Atlanta Fed, CIBC.

Declining unionization has also been cited as a source of tame wage gains in the prior cycle. although most of the drop in unionization rates took place in earlier decades. Summers and Stansbury found that the industries that saw the biggest drop in unemployment rates in the decades leading up to the 2008-2019 cycle were the very sectors in which unionization had a major decline. As a result, tightness in the labor market didn’t translate into the same amount of bargaining power as it otherwise would have.

We don’t expect the downward pressure from unionization to further increase. Indeed, the Biden administration appears bent on regulatory changes that will enhance the ability to organize workers. New efforts are being made to unionize some of the fastest-growing service companies. At the state level, we’re seeing demands to provide some workers who were previously deemed to be self-employed contractors with the benefits granted to employees. Add it all up, and the political tide may be turning towards greater leverage for employees.

Stagnant federal minimum wage rates have also been cited as a factor. While Biden’s $15/hour pledge had to be dropped from this year’s stimulus bill, expect a modified version to be back on the legislative calendar later this year.

Canadian Research Review And Common Stock Universe - April 28, 2021

Globalization: Less Of A New Force These Days Low inflation in recent decades hasn’t just been a U.S. story, and it was particularly tame in the goods sector. A common link to other countries was the increase in the globalization of consumer goods supply chains that had taken place in in the 1995-2007 period, including the entry of China into the WTO in 2001. But world trade began to level off in the last decade as a share of GDP, as did a more comprehensive measure for the extent of the “global value chain” in terms of its potential impacts on pricing, as shown in the line chart in Exhibit 7.

Exhibit 7: Globalization Levelled Off In The Last Cycle

Source: Kristin J. Forbes, Inflation Dynamics: Dead, Dormant, or Determined Abroad?, Brookings Papers on Economic Activity, Fall 2019.

Not surprisingly then, a study by MIT’s Forbes found that global forces played less of a role in keeping either wages or core inflation at bay in the last cycle than they did in earlier decades when the extent of global sourcing was increasing. Instead, it was largely U.S. domestic forces, including some of those we discussed above, that explained the lack of a wage or core price inflation pick-up.

With mechanization now making low labor costs less important in some sectors, and concerns about supply chain disruptions leading to business vulnerabilities, we don’t expect a turn to more globalization in the decade ahead. That should again leave domestic forces in the driver’s seat for U.S. wage and price inflation ahead.

Is Online Shopping Disinflationary? The rise of e-commerce is another factor that has been oft cited as a source of tame inflation in the last decade. While online shopping will likely give up some of the elevated share it achieved during the pandemic, its usage in the past year by new customers, particularly older Americans, could see it hold onto a greater share in the 2020s than it had pre-pandemic.

But the evidence that online buying generates savings for consumers and lowers year-to-year goods inflation rates is not compelling. A database that tracks individual prices shows no material difference between inflation in online goods versus others. Nor did we see a visible compression in retail margins due to this new source of competition, as shown in the left-hand bar chart and right-hand line chart in Exhibit 8.

Canadian Research Review And Common Stock Universe - April 28, 2021

Exhibit 8: Online Shopping Hasn’t Held Down Prices Or Profit Margins For Retailers

Source: Billion Prices Project, Census Bureau, CIBC.

Add it all up, and if the Fed doesn’t start to moderate growth by late 2022, we would risk running a test of the inflation response to a positive output gap of a scale not experienced in recent decades. We’re starting this expansion after a shorter economic downturn than we saw in 2008, one that didn’t send wage gains for those still employed as sharply lower as was the case in the prior cycle. Other forces that could lean against an inflation pick-up might not be up to that task, particularly if we see policy changes that lean towards more leverage for workers and higher minimum wages.

We still trust that the Fed, seeing the signposts of a moderate overshoot in core PCE prices in 2022, and an economy that looks to have ample momentum to tolerate an upward nudge in interest rates, will rethink its plans to hold rates near zero for several years. If so, it has more than enough firepower to prevent a sustained inflation escalation from taking hold.

Canadian Research Review And Common Stock Universe - April 28, 2021 Bryce Adams Banu Nadarajah, CPA, CA 416 594-7293 416 306-4237

Three Takeaways For This Issue Top Picks And Why 1. Copper prices are consolidating after a strong rally since the COVID-19- First Quantum is our top pick given our positive outlook for copper prices as it related meltdown in early 2020. In that time copper has rallied from provides above-average long-term leverage, and near-term elevated copper sub-US$2.50/lb to a high of US$4.20/lb in the third week of February. prices dovetail with the strong Cobre Panama ramp-up to enable aggressive While current prices are down 5% from the peak, they remain above deleveraging, after the construction cycle in Panama. Based on our 2021E US$4.00/lb. We expect copper prices will be supported over the average copper price of US$3.34/lb, we model net debt improving from $7.4B at medium term as key drivers (tight inventory, government stimulus and year-end 2020 to $6.1B at year-end 2021. At spot prices, the same metric inflation expectations) remain intact. improves to $5.6B.

2. That being said, we expect that metal price volatility could be high in the Hudbay is a preferred name for its internal growth, positive operational near term as the spread of COVID-19 variants has the potential to transitions, and optionality. We model 2021E copper growth of 10% over 2020 impact infrastructure spending and/or operations and, consequently, and a further 21% growth in 2022E over 2021E levels. The key driver for this move the industrial metals market balance in either direction. growth is the transition to Pampacancha ore feed in Peru, which recently completed the final land user agreement. In Manitoba, Hudbay is well positioned 3. We expect operational-related earnings beats/misses in the upcoming to deliver the New Britannia process facility into commercial production in reporting season to be magnified in today’s volatile macro environment. Q3/21. This transition increases gold potential, which also provides significant Over the near term, sound operational execution remains key. growth in 2021E and 2022E. We view the U.S. assets as providing longer-term optionality to copper prices.

12-18- 52-week Shares Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price O/S Mkt. Cap. Shares Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Materials Outperformer CS Capstone Mining Corp. C$ Dec. $5.03 $5.03 $0.46 408.88 US$2,056.69 302.3 US$1,223.22 US$118.79 US$272.13 US$255.20 9.8 4.5 4.9 (4.6%) $4.80 Outperformer CMMC Copper Mountain Mining Corp. C$ Dec. 3.88 3.88 0.44 207.50 805.10 197.1 764.87 101.21 159.98 60.26 - - - 3.1% 4.00 Outperformer FM First Quantum Minerals Ltd. C$ Dec. 27.57 31.06 7.40 690.32 US$19,032.03 553.6 US$12,279.60 US$2183.00 US$2954.08 US$2669.98 10.8 8.5 9.5 26.9% 35.00 Outperformer HBM Hudbay Minerals Inc. C$ Dec. 9.17 10.54 2.88 261.27 US$2,395.86 216.7 US$1,598.94 US$310.20 US$495.51 US$712.02 7.6 4.6 3.7 41.8% 13.00 Outperformer LGO Largo Resources Ltd. C$ Dec. 20.84 20.84 7.70 56.39 US$1,175.17 29.4 US$493.51 US$25.40 US$168.32 US$221.02 28.3 9.6 7.0 20.0% 25.00 Neutral LUN Lundin Mining Corporation C$ Dec. 14.85 15.87 5.83 736.25 US$10,933.33 638.3 US$7,626.01 US$856.92 US$1331.00 US$1146.13 9.5 6.5 7.6 1.0% 15.00 Neutral TECK.B Teck Resources Limited C$ Dec. 27.36 29.74 10.02 554.22 15,163.38 552.0 15,102.70 2455.00 3324.63 4114.73 7.3 5.4 4.4 17.0% 32.00 Source: FactSet and CIBC World Markets Inc.

12 Canadian Research Review And Common Stock Universe - April 28, 2021

12-18- 52-week Shares Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price O/S Mkt. Cap. Shares Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Materials Neutral GSS Golden Star Resources Ltd. US$ Dec. $3.67 $5.01 $2.32 111.31 $408.52 77.1 $283.11 $0.32 $0.72 $0.92 11.2 5.1 4.0 36.2% $5.00 Outperformer IAU i-80 Gold Corp. C$ Dec. 2.80 2.80 2.26 181.88 US$509.25 140.2 US$315.87 - US$0.01 US$0.03 - 170.6 88.9 42.9% 4.00 Outperformer LUG Lundin Gold Inc. C$ Dec. 12.04 13.11 9.27 230.60 US$2,776.47 63.0 US$609.79 US$0.46 US$0.87 US$1.17 20.5 11.0 8.3 24.6% 15.00 Outperformer OIII O3 Mining Inc. C$ Dec. 2.55 3.52 1.94 68.01 173.41 42.0 107.00 0.00 (0.19) 0.03 - NEG 79.4 135.3% 6.00 Outperformer ORE Orezone Gold Corporation C$ Dec. 0.95 1.21 0.53 326.90 US$310.55 243.2 US$185.88 (US$0.07) (US$0.01) US$0.09 NEG NEG 8.5 131.6% 2.20 Outperformer OLA Orla Mining Ltd. C$ Dec. 4.77 7.19 3.14 229.29 US$1,093.69 132.1 US$506.81 (US$0.13) (US$0.13) (US$0.05) NEG NEG NEG 57.2% 7.50 Outperformer OSK Osisko Mining Inc. C$ Dec. 3.35 4.67 2.71 370.34 1,240.63 295.9 991.26 (0.03) 0.00 (0.05) NEG - NEG 86.6% 6.25 Neutral TXG Torex Gold Resources Inc. C$ Dec. 16.58 24.73 14.99 85.53 US$1,418.11 85.1 US$1,135.16 US$1.57 US$2.24 US$2.66 8.3 5.9 5.0 59.8% 26.50 Source: FactSet and CIBC World Markets Inc.

13 Canadian Research Review And Common Stock Universe - April 28, 2021

Robert Bek, CFA Kirill Kozyar, CFA 416 594-7454 416 594-7907

Three Takeaways For This Issue Top Picks And Why 1. Long-awaited Canadian Telecom Consolidation Under Way: After a Quebecor: Our positive bias for Quebecor is shaped by the continuing decade of pause, the Canadian Telecom space is experiencing execution of its quad play strength, growing FCF profile, and still attractive consolidation pressures, with announced deals and the expectation that valuation. Further, the consolidation and spectrum positioning under way in the other asset pursuits will follow. This theme should drive the space for sector could benefit Quebecor for optionality to pursue further growth outside the next few years. Quebec.

2. Upcoming Spectrum Auction Should Be Telling: The highly coveted TELUS: Continued strong execution in its core Telecom assets, boosted by 3.5 GHz spectrum being auctioned this summer (beginning June 15) material non-traditional value creation at TELUS International, TELUS Health could further affect the Canadian Telecom space, given material and TELUS Agriculture, positions the company well for future share price investment expectations for the Big 3, in addition to potentially new appreciation. TELUS is well prepared for the consolidation under way in the regional players pursuing set-aside spectrum. space, and appears poised to benefit from this activity.

3. CRTC Rules On MVNO Are Still To Come: The CRTC is expected to rule on wholesale wireless rule changes that could potentially bring some mobile virtual network operator (MVNO) participants into the wireless market. These rules, reflecting support for the current landscape, or hybrid-MVNO opportunities, or full-on forced MVNO, should be out any time between now and the upcoming auction.

Shares Mkt. Float Total 12-18- Fiscal Price 52-week Ind O/S Cap. Shares Float Fiscal Year EPS P/E Multiples ROE Implied mo. Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Consumer Discretionary Neutral CGX Cineplex Inc. C$ Dec. $12.46 $16.64 $4.54 - - 63.34 $789.25 62.8 $782.87 ($9.93) ($5.29) ($1.08) NEG NEG NEG - - - 12.4% $14.00 Outperformer CCA Cogeco Comm. C$ Aug. 118.29 122.13 91.49 $2.56 - 48.09 5,688.93 21.4 2,531.21 7.67 8.67 8.98 15.4 13.6 13.2 - - - 10.7% 131.00 Neutral CGO Cogeco Inc. C$ Aug. 98.08 100.78 77.41 2.18 - 16.00 1,569.13 8.3 810.80 7.98 9.20 9.55 12.3 10.7 10.3 - - - 16.2% 114.00 Outperformer CJR.B Corus Entertainment Inc. C$ Aug. 6.03 6.44 2.35 0.24 - 208.58 1,257.76 197.1 1,188.21 0.75 0.88 0.86 8.0 6.9 7.0 - - - 20.2% 7.25 Outperformer QBR.B Quebecor Inc. C$ Dec. 35.60 36.15 28.17 1.10 - 256.30 9,124.28 171.3 6,096.72 2.36 2.59 2.67 15.1 13.8 13.3 - - - 12.4% 40.00 Restricted SJR.B Shaw Communications C$ Aug. 34.64 35.00 21.82 - - - 17,770.32 - - - - - 26.2 ------Outperformer TOY Spin Master Corp. C$ Dec. 41.49 41.55 17.29 - - 105.60 US$4,381.34 29.5 US$984.25 US$0.51 US$1.16 US$1.41 63.9 28.6 23.5 - - - 6.0% 44.00 Outperformer RAY.A Stingray Group Inc. C$ Mar. 7.51 8.04 3.92 0.30 - 73.77 554.04 44.9 337.10 0.74 0.83 0.82 10.2 9.1 9.2 - - - 6.5% 8.00 Outperformer TRI Thomson Reuters Corp. US$ Dec. 91.88 92.59 65.36 1.62 - 499.03 45,851.07 164.2 15,082.60 1.85 1.79 2.33 48.7 51.3 39.4 - - - 3.4% 95.00

Industrials Outperformer TCL.A Transcontinental Inc. C$ Oct. 23.15 24.66 10.48 0.90 - 87.00 2,014.05 72.6 1,679.89 2.61 2.39 2.42 8.9 9.7 9.6 - - - 8.0% 25.00

Telecommunication Services Neutral BCE BCE Inc. C$ Dec. 58.13 59.77 52.93 3.33 - 904.40 52,572.77 903.7 52,529.90 3.02 3.17 3.42 19.3 18.3 17.0 - - - 4.9% 61.00 Restricted RCI.B Rogers Communications C$ Dec. 61.07 65.05 51.00 - - - 30,901.42 - - - - - 18.0 ------Outperformer T TELUS Corporation C$ Dec. 25.79 27.26 22.31 1.24 - 1,341.30 34,592.13 1294.1 33,373.90 1.06 1.09 1.25 24.3 23.7 20.7 - - - 8.6% 28.00 Source: FactSet and CIBC World Markets Inc.

14 Canadian Research Review And Common Stock Universe - April 28, 2021

12-18- 52-week Shares Mkt. Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Consumer Discretionary Outperformer BBTV BBTV Holdings, Inc. C$ Dec. $9.27 $15.00 $9.14 - - 20.50 $190.04 5.6 $52.33 ($2.64) ($9.54) ($3.90) NEG NEG NEG - - - 99.6% $18.50 Source: FactSet and CIBC World Markets Inc.

15 Canadian Research Review And Common Stock Universe - April 28, 2021

Jacob Bout, CFA Rahul Malhotra, CFA 416 956-6766 416-594-7289

Three Takeaways For This Issue Top Picks And Why 1. Solid Ag Fundamentals: U.S. corn and soybean futures have seen Nutrien: We expect NTR to post a strong H1/21, supported by solid North dramatic increases, topping US$5/bu. and US$13/bu., respectively American spring application demand and pricing. H2/21 should see continued (highest levels since 2013/2014). This will translate into higher farm strength for Retail and Potash, but Nitrogen prices could drop. We remain a income, and is positive for ag. input and farm equipment spending in buyer of NTR at current levels, considering its robust long-term growth outlook 2021. (retail M&A / greenfield, excess potash capacity, nitrogen brownfield).

2. Potash Markets Tightening: The Indian contract price was revised WSP: WSP is well positioned to return to organic growth from Q2/21 onwards higher to US$280/t from US$247/t a few months ago and the China given its solid backlog, which rose 2% organically in 2020 despite the impact of contract price could similarly increase. Brazilian prices (a key global COVID-19. We would also argue that WSP is an excellent way to invest in the benchmark) are up US$80/t since the start of the year. Global operating optionality of a potential large U.S. infrastructure plan given its solid rates could come close to 95% in 2021, which typically means a tight Transportation (acquisition of PB) and Environment (recent acquisition of supply/demand environment that is constructive for pricing. Golder) operations.

3. U.S. / Canada Infrastructure Spending Push: Both countries are Chemtrade: CHE.UN is a chemical play leveraged to an economic/oil recovery, prioritizing infrastructure to stimulate the economic recovery from with a longer-term opportunity for green hydrogen. We forecast 2021 and 2022 COVID-19. According to Biden’s proposed $2.25T infrastructure plan, EBITDA to be ~15% and ~30%, respectively, higher than in 2020. Our forecast ~$400B has been allocated to Transportation, ~$111B to Water, may be conservative should there be a quicker recovery from stay-at-home ~$325B to Buildings, and ~$100B to Power Infrastructure). orders (regen and chlorate) and in fracking (HCl) and industrial activity (caustic).

12-18- 52-week Shares Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price Ind O/S Mkt. Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Industrials Outperformer ARE Aecon Group Inc. C$ Dec. $18.63 $20.06 $13.42 $0.70 - 60.22 $1,121.89 58.9 $1,097.21 $264.40 $245.22 $282.94 5.5 5.9 5.1 $14.83 1.3 - 23.5% $23.00 Outperformer AFN Ag Growth International Inc. C$ Dec. 40.00 45.78 23.81 0.60 - 18.71 748.52 18.1 723.07 149.33 174.18 199.05 10.7 9.2 8.0 - - - 25.0% 50.00 Outperformer BDT Bird Construction Inc. C$ Dec. 8.80 9.69 4.65 0.39 - 53.04 466.74 50.3 442.94 57.14 92.30 120.39 6.4 5.2 4.3 - - - 25.0% 11.00 Neutral CERV Cervus Equipment Corp. C$ Dec. 16.00 16.61 5.55 0.44 - 16.07 257.04 12.1 194.07 61.38 69.16 72.85 5.5 4.9 4.6 - - - 3.1% 16.50 Outperformer SNC SNC-Lavalin Group Inc. C$ Dec. 27.43 29.34 18.64 0.08 - 175.55 4,815.45 175.4 4,810.63 111.43 625.95 705.65 38.9 6.9 6.1 15.93 1.7 - 24.0% 34.00 Outperformer STN Stantec Inc. C$ Dec. 58.14 59.26 37.84 0.66 - 111.95 6,508.71 110.6 6,430.61 578.90 601.94 662.20 13.0 12.5 11.4 - - - 6.6% 62.00 Neutral WTE Westshore Terminals Invest. C$ Dec. 20.16 20.40 13.30 0.80 - 63.39 1,277.97 42.0 846.02 210.38 162.63 130.00 6.6 8.6 10.7 - - - (0.8%) 20.00 Outperformer WSP WSP Global Inc. C$ Dec. 128.02 129.00 81.21 1.50 - 116.81 14,953.64 116.0 14,849.00 1053.70 1273.91 1483.15 16.6 13.8 11.8 - - 10.0% 13.3% 145.00

Information Technology Outperformer FDGE Farmers Edge Inc C$ Dec. 17.02 19.98 16.47 - - 41.85 712.22 8.4 142.44 (45.89) (13.31) 11.07 NEG NEG 53.6 3.39 5.0 - 35.1% 23.00

Materials Outperformer CHE.UN Chemtrade Logistics I.F. C$ Dec. 7.03 7.49 4.15 0.60 - 92.91 653.19 92.4 649.27 269.27 303.33 346.00 7.5 6.7 5.8 - - - 28.0% 9.00 Neutral MEOH Methanex Corporation US$ Dec. 36.47 48.00 13.45 0.15 - 76.65 2,795.34 76.0 2,770.18 341.31 705.13 729.10 14.1 6.8 6.6 - - - 15.2% 42.00 Neutral MOS Mosaic Company US$ Dec. 33.95 34.24 10.08 0.28 - 379.10 12,870.45 344.6 11,699.20 1563.00 2574.84 2288.79 10.8 6.6 7.4 - - - 3.1% 35.00 Outperformer NTR Nutrien Ltd. US$ Dec. 53.85 58.81 31.26 1.81 - 569.39 30,661.65 568.8 30,631.00 3667.00 4412.11 4622.79 11.4 9.5 9.1 - - 6.8% 20.7% 65.00

Utilities Neutral SPB Superior Plus Corp. C$ Dec. 14.92 14.92 8.91 0.72 - 206.00 3,073.52 205.0 3,058.15 495.90 408.38 446.23 8.2 10.0 9.1 - - - 0.5% 15.00 Source: FactSet and CIBC World Markets Inc.

16 Canadian Research Review And Common Stock Universe - April 28, 2021

17 Canadian Research Review And Common Stock Universe - April 28, 2021

Robert Catellier, CFA 416 956-6197

Three Takeaways For This Issue Top Picks And Why 1. Interest Rates: Government of Canada 10-year treasury yields have Pipes & Midstream – Enbridge: 1) Should it survive the current appeals increased ~65 bps in the last year, but we still characterize the interest process, placing the Line 3 replacement project into service adds material rate environment as favourable, with attractive dividend yield spreads. EBITDA by year-end; 2) While not a re-opening stock per se, the company has some exposure to a recovery in volumes as refinery utilization improves; and, 2. Policy Environment: The Supreme Court of Canada ruled the federal 3) The company trades at 8.5x our 2022E AFFO. Should it not find additional carbon tax as constitutional, but given the pass-through nature of many growth projects, share buybacks will become an increasing possibility. ENB also contracts, energy infrastructure companies are only modestly impacted. has a strong ESG profile, including a ‘net-zero’ 2050 emissions pledge. Similarly, the Biden infrastructure plan has only a modest impact but may be slightly more beneficial to gas-exposed names over liquids. Utilities – AltaGas: The company has two items under its control that can help it grow: 1) the integration of Petrogas and extracting related synergies; and, 3. Commodities: Prices have started the year on a stronger footing. 2) continued operational improvements at WGL that will close the gap between Given enough time, this may lead to improved producer activity, authorized and earned ROE. Commodity prices have also started the year although they have remained disciplined and focused on balance sheet strongly, further reducing risk to our estimates from the propane export business repair in the near term. and frac spreads beyond existing hedges.

12-18- 52-week Shares Mkt. Float AFFO P/AFFO Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Energy Outperformer ALA AltaGas Ltd. C$ Dec. $21.57 $21.59 $14.58 $1.00 - 279.90 $6,037.44 273.3 $5,894.55 $2.08 $3.09 $3.18 10.4 7.0 6.8 - - 8.4% 20.5% $26.00 Outperformer ENB Enbridge Inc. C$ Dec. 46.26 46.84 35.82 3.34 - 2,026.00 93,722.76 2016.2 93,267.70 4.67 4.74 5.48 9.9 9.8 8.4 - - 10.2% 12.4% 52.00 Neutral GEI Gibson Energy Inc. C$ Dec. 21.01 25.10 17.64 1.40 - 148.11 3,111.73 143.7 3,018.38 2.01 1.91 2.07 10.5 11.0 10.2 - - 17.9% 4.7% 22.00 Outperformer KEY Keyera Corporation C$ Dec. 25.79 27.56 17.97 1.92 - 218.86 5,644.40 218.7 5,640.50 3.26 3.17 3.44 7.9 8.1 7.5 - - 14.8% 16.3% 30.00 Outperformer PPL Pembina Pipeline Corporation C$ Dec. 36.91 38.34 26.78 2.52 - 549.59 20,285.32 546.7 20,179.60 4.16 4.08 4.12 8.9 9.1 9.0 - - 9.8% 5.7% 39.00 Restricted TWM Tidewater Midstream & Infra. C$ Dec. 1.04 1.13 0.50 - - - 348.26 - - - - - 6.2 ------

Utilities Restricted BIP Brookfield Infrastructure Part. US$ Dec. 53.75 55.09 38.43 - - - 24,983.00 - - - - - 20.7 ------Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Mkt. Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Energy Outperformer TRP TC Energy Corporation C$ Dec. $59.21 $67.49 $50.61 $3.48 - 940.00 $55,657.40 916.9 $54,288.40 $4.20 $4.21 $4.40 14.1 14.1 13.5 - - 14.0% 18.2% $70.00 Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Mkt. Float FFO P/FFO Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Energy Neutral IPL Inter Pipeline Ltd. C$ Dec. $18.05 $18.46 $10.35 $0.48 - 429.20 $7,747.06 418.1 $7,547.02 $1.85 $1.81 $1.86 9.7 10.0 9.7 - - 9.7% 2.5% $18.50 Source: FactSet and CIBC World Markets Inc.

18 Canadian Research Review And Common Stock Universe - April 28, 2021

Krista Friesen Kevin Chiang, CFA 416 956-6807 Jessica Zhang 416 594-7198 416 956-3643

Three Takeaways For This Issue Top Picks And Why 1. Signs Of Recovery: Recently released economic indicators point to Waste Connections: The company has the best-in-class financial metrics signs of a recovery as economies re-open. This should serve as a amongst peers with earnings optionality. We believe Waste Connections has tailwind for the waste and the surface transportation industries as been conservative about its outlook given the pace of re-opening. We continue economic activities drive waste volumes and freight demand. to be positive about the company’s inflation-hedged earnings and its free cash flow (FCF) conversion capabilities. 2. Pent-up Demand For Air Travel: We continue to believe there is significant pent-up demand for air travel, considering Canada’s Air Canada: We believe there are signs of pent-up demand for air travel, vaccination efforts and the high level of housing savings rates. While air considering vaccination efforts and household savings rates. Air Canada is well traffic in Canada remains suppressed, this is largely due to travel positioned to benefit from this now that it has secured sufficient financing to restrictions. rebuild its network. We believe the company will emerge from the pandemic more profitable given the structural changes made in 2020. 3. Acceleration In M&A: M&A activities in 2021 started with a bang with a number of transformative acquisitions announced in Q1/21. We expect Parkland Corporation: Parkland Corp. demonstrated the strength and another year of elevated M&A, with companies under our coverage resiliency of its earnings in 2020. We remain positive on the company given its noting their robust M&A pipeline and spending targets. robust fuel distribution platform, its growth pipeline (targeting to double its EBTIDA within the next five years), and undemanding valuation.

Energy Outperformer PKI Parkland Corporation C$ Dec. 38.49 44.48 29.31 1.24 3.1% 148.41 5,712.49 146.2 5,628.07 967.05 1173.59 1287.52 9.0 7.4 6.7 27.3% 49.00

Industrials Outperformer AC Air Canada C$ Dec. 25.07 29.80 14.10 - - 296.70 7,438.27 259.9 6,516.31 (2042.98) (545.44) 1732.16 NEG NEG 6.3 31.6% 33.00 Neutral AND Andlauer Healthcare Group, Inc. C$ Dec. 36.41 47.58 25.11 0.20 0.5% 37.77 1,375.17 33.3 1,212.90 78.91 96.75 108.05 21.6 17.6 15.8 29.1% 47.00 Underperformer BBD.B Bombardier Inc. C$ Dec. 0.92 1.01 0.28 - - 2,402.71 2,210.50 2200.0 2,024.00 (US$36.26) US$543.87 US$745.24 NEG 25.5 18.2 (45.7%) 0.50 Outperformer BYD Boyd Group Services Inc.1 C$ Dec. 224.11 240.25 184.94 0.71 0.3% 21.01 4,707.56 20.8 3,741.79 US$219.27 US$281.12 US$336.21 22.9 19.0 16.0 20.5% 270.00 Outperformer CAE CAE Inc. C$ Mar. 38.02 39.07 18.52 - - 293.00 11,139.86 292.9 11,136.06 844.90 606.25 815.32 23.9 15.8 12.3 15.7% 44.00 Outperformer CJT Cargojet Inc. C$ Dec. 179.12 245.68 128.22 0.94 0.5% 17.00 3,045.04 16.7 2,991.30 291.30 259.03 276.53 12.7 14.1 12.8 36.8% 245.00 Outperformer CHR Chorus Aviation C$ Dec. 4.28 5.22 2.17 - - 163.85 701.30 159.0 680.52 347.56 336.58 359.54 7.9 7.7 6.8 22.7% 5.25 Restricted EIF Exchange Income Corporation C$ Dec. 38.92 41.44 20.60 - - - 1,375.41 ------Outperformer GFL GFL Environmental Inc. C$ Dec. 41.04 45.59 21.42 - - 314.35 12,900.88 245.3 10,068.40 1076.77 1361.67 1614.31 16.9 13.4 11.3 14.5% 47.00 Outperformer MTL Mullen Group Ltd. C$ Dec. 13.29 13.54 5.02 0.36 2.7% 98.51 1,309.17 99.3 1,319.96 217.55 231.49 252.80 8.1 7.7 7.0 11.0% 14.75 Outperformer NFI NFI Group Inc. C$ Dec. 28.06 32.01 13.76 0.85 3.0% 62,524.84 US$1,754,447.07 54.5 US$1,229.75 US$157.69 US$235.67 US$295.92 16.4 11.6 9.4 21.2% 34.00 Neutral RSG Republic Services Inc. US$ Dec. 106.39 106.39 77.13 1.62 1.5% 319.70 34,012.88 318.4 33,870.80 2997.80 3168.11 3357.64 11.6 11.7 11.1 4.3% 111.00

19 Canadian Research Review And Common Stock Universe - April 28, 2021

Materials Outperformer BOS AirBoss of America Corp. C$ Dec. 43.20 43.88 13.82 0.28 0.6% 26.91 1,162.51 11.3 488.16 US$106.50 US$138.70 US$100.93 8.9 8.5 9.8 8.8% 47.00 1. Primary coverage of ACQ and BYD by Krista Friesen. Source: FactSet and CIBC World Markets Inc.

Industrials Neutral CNR Canadian National Railway Co. C$ Dec. 136.68 149.44 108.78 2.48 1.8% 710.30 97,083.80 608.0 83,103.74 5.31 5.90 6.63 25.7 23.2 20.6 6.8% 146.00 Outperformer CP Canadian Pacific Railway Ltd. C$ Dec. 463.00 489.37 302.33 3.80 0.8% 133.30 61,717.90 133.2 61,656.18 17.67 20.03 21.84 26.2 23.1 21.2 21.0% 560.00 Outperformer TFII TFI International Inc. US$ Dec. 78.47 81.46 24.39 0.92 1.2% 93.40 7,329.10 83.0 6,515.57 3.30 3.58 4.74 23.8 21.9 16.6 9.6% 86.00 Source: FactSet and CIBC World Markets Inc.

20 Canadian Research Review And Common Stock Universe - April 28, 2021

Cosmos Chiu, CFA Erin Kyle 416 594-7106 416 313-9851

Three Takeaways For This Issue Top Picks And Why 1. Our gold price outlook is US$2,100/oz for 2021E, or US$2,073/oz Franco-Nevada: With a proven management team, a strong balance sheet and adjusted for Q1/21 actual prices, US$2,200/oz for 2022E and one of the industry’s best reputations, Franco-Nevada is our top pick amongst US$1,650/oz for the long term. Our silver price outlook is US$29/oz for the royalty companies under coverage. We expect key drivers of near-term 2021E, US$31/oz for 2022E and US$20/oz long term. This metal growth to be Cobre Panama’s ramp-up and the tailwind of improving oil prices. continues to offer investors greater torque than gold, but that leverage At year-end 2020, Franco Nevada realized an EBITDA margin of 82%, higher also comes with more volatility. than the peer group average of ~73%, and we expect this trend to continue.

2. With slowing global economic growth due to trade wars, global Wheaton Precious Metals: Wheaton Precious Metals remains a preferred macroeconomic uncertainty and constructive supply/demand name through which to gain exposure to silver (and gold), with ~40% of its fundamentals, plus ongoing fiscal stimulus injections and pressure on revenue generated from silver. We anticipate near-term growth at Wheaton real rates, we continue to believe that both metals are poised to snap Precious from the first deliveries on its cobalt stream from Voisey's Bay in 2021 out of their trading ranges and trend higher over the next two years. and from any continued tailwinds in the silver price given the company’s comparatively large proportion of silver-derived revenue. The new silver stream 3. We expect fiscal discipline to remain a focus for the gold producers as at Cozamin should also drive growth for the company. At spot prices, Wheaton investors hunt for stocks with free cash flow (FCF) generation, but we Precious trades at a discount to its peers, at 1.6x P/NAV compared to the peer consider growth as increasingly relevant with peak production possibly group average of 1.9x P/NAV. in sight. Stocks with a combination of FCF generation and a robust development pipeline are preferred.

12-18- 52-week Shares Mkt. Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price Ind O/S Cap. Shares Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Materials Outperformer AGI Alamos Gold Inc. C$ Dec. $10.73 $15.35 $9.02 $0.16 - 392.78 US$4,214.51 391.2 US$3,377.01 US$0.37 US$0.74 US$1.13 23.1 11.6 7.6 49.1% $16.00 Outperformer DPM Dundee Precious Metals Inc. C$ Dec. 9.40 10.60 6.19 0.15 - 182.37 US$1,714.31 142.4 US$1,076.65 US$1.05 US$1.30 US$0.72 7.0 5.8 10.5 33.0% 12.50 Outperformer EGO Eldorado Gold Corporation US$ Dec. 11.04 14.35 8.02 - - 175.23 1,934.55 173.8 1,919.22 0.98 0.91 1.24 11.1 12.1 8.9 81.2% 20.00 Neutral EDR Endeavour Silver Corp. C$ Dec. 7.19 8.51 1.92 - - 163.63 US$1,176.49 162.0 US$937.02 US$0.01 US$0.21 US$0.16 734.8 27.4 36.3 14.7% 8.25 Neutral FVI Fortuna Silver Mines Inc. C$ Dec. 9.64 12.08 3.83 - - 195.28 US$1,882.46 193.3 US$1,499.29 US$0.16 US$0.89 US$1.11 48.4 8.7 7.0 16.7% 11.25 Outperformer FNV Franco-Nevada Corporation C$ Dec. 178.04 218.69 134.46 1.30 - 190.90 US$33,987.84 155.6 US$22,284.70 US$2.71 US$3.64 US$3.67 51.6 39.2 38.8 29.2% 230.00 Neutral HL Hecla Mining Company US$ Dec. 6.37 7.36 2.49 0.03 - 531.00 3,382.46 520.4 3,314.81 0.05 0.16 0.38 122.0 38.7 16.9 6.0% 6.75 Outperformer KL Kirkland Lake Gold Ltd. C$ Dec. 48.04 74.10 40.30 0.94 - 268.10 US$12,879.42 249.3 US$9,636.19 US$3.41 US$4.08 US$4.84 11.1 9.4 7.9 61.3% 77.50 Neutral MAG MAG Silver Corp. C$ Dec. 22.51 28.57 13.63 - - 91.11 US$2,050.86 75.0 US$1,357.88 (US$0.08) US$0.05 US$1.51 NEG 329.5 11.9 19.9% 27.00 Neutral OGC OceanaGold Corporation C$ Dec. 2.27 3.96 1.62 - - 718.73 US$1,631.52 711.5 US$1,299.44 (US$0.10) US$0.13 US$0.51 NEG 14.2 3.6 25.6% 2.85 Outperformer OR Osisko Gold Royalties Ltd C$ Dec. 15.42 17.30 12.15 0.20 - 167.27 2,579.30 138.0 2,127.93 0.14 0.56 0.66 111.7 27.3 23.2 26.5% 19.50 Outperformer PAAS Pan American Silver Corp. US$ Dec. 33.77 39.15 21.24 0.28 - 210.16 7,097.10 206.0 6,955.16 1.16 1.40 2.75 28.6 24.1 12.3 33.3% 45.00 Neutral RGLD Royal Gold, Inc. US$ Dec. 118.14 145.33 102.15 1.20 - 65.62 7,752.26 65.3 7,713.50 2.90 3.34 3.02 40.0 35.3 39.2 18.1% 139.50 Outperformer SSL Sandstorm Gold Ltd. C$ Dec. 9.55 14.09 7.63 - - 191.01 US$1,824.15 188.3 US$1,446.99 US$0.07 US$0.15 US$0.15 106.8 52.0 52.2 41.4% 13.50 Outperformer SSRM SSR Mining Inc. US$ Dec. 16.39 24.50 13.80 0.20 - 221.01 3,622.39 220.6 3,615.15 1.40 2.03 2.64 11.5 8.1 6.2 57.1% 25.75 Outperformer WPM Wheaton Precious Metals Corp. US$ Dec. 42.77 56.21 35.64 0.48 - 450.07 19,249.49 449.2 19,211.00 1.13 1.73 2.13 37.2 24.7 20.1 53.1% 65.50 Source: FactSet and CIBC World Markets Inc.

21 Canadian Research Review And Common Stock Universe - April 28, 2021

Todd Coupland, CFA Valery Heckel 416 956-6025 416 594-7232

Three Takeaways For This Issue Top Picks And Why 1. We expect our top picks for 2021 to benefit from robust e-commerce, Lightspeed: The total available market for Lightspeed’s POS system is 47MM cloud-based point-of-sale (POS), and SaaS adoption due to the digital SMBs and 15MM restaurants, and it services 135,000 customer locations today. pull-forward instigated by the pandemic. Strategic acquisitions should The retail and restaurant market for POS innovation is large with a low cloud also contribute to positive results in the year. adoption rate. We expect ~50% average annual revenue growth over the next two years for Lightspeed, and the company should benefit from Payments 2. In Canada, investors now have proven global leaders that will allow adoption as it continues to roll this feature out to merchants in the U.S., Canada, them to leverage cloud POS and online payments adoption. and, most recently, the U.K. this year. 3. The themes for our top picks for 2021 continue from 2020. This Nuvei: Nuvei is exposed to numerous upside opportunities for revenue growth, continuity builds our confidence in this investment thesis. including the $4T e-commerce market which has been pulled forward by the pandemic. About 80% of the volume transactions Nuvei processed in Q4/20 were e-commerce based. Further upside opportunities derive from Nuvei’s exposure to high-growth verticals, including marketplaces, social gaming, SaaS, and U.S. regulated gaming and sports betting. From 2021 to 2023, we conservatively forecast an average of ~19% revenue growth. We expect free cash flow margins of ~34%, which should help Nuvei continue to grow its merchant base, innovate its payments stack, and pursue strategic acquisitions.

12-18- 52-week Shares Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price Ind O/S Mkt. Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Information Technology Neutral BB BlackBerry Limited US$ Feb. $8.85 $25.10 $4.07 - - 566.51 $5,013.57 547.7 $4,847.10 $0.18 ($0.23) ($0.01) 49.2 NEG NEG - - - 1.7% $9.00 Neutral CLS Celestica Inc. US$ Dec. 8.29 9.27 4.79 - - 129.10 1,070.24 108.6 900.29 0.98 1.00 1.20 8.5 8.3 6.9 - - - 20.6% 10.00 Outperformer LSPD Lightspeed POS, Inc. C$ Mar. 86.94 102.44 22.00 - - 136.76 US$11,889.91 108.3 US$7,572.42 (US$0.63) (US$0.59) (US$0.19) NEG NEG NEG - - - 49.5% 130.00 Outperformer QTRH Quarterhill Inc. C$ Dec. 2.49 3.06 1.69 $0.02 - 121.13 301.61 111.3 277.18 0.04 0.04 0.05 62.3 62.3 49.8 - - - 60.6% 4.00 Neutral SHOP Shopify Inc. US$ Dec. 1,099.03 1,474.00 613.64 - - 125.66 138,104.11 109.3 96,099.18 3.55 3.92 5.28 309.6 280.6 208.1 - - - 20.6% 1325.00 Underperformer SWIR Sierra Wireless Inc. US$ Dec. 15.14 21.50 7.80 - - 36.53 553.12 35.9 543.91 (1.10) (0.99) (0.98) NEG NEG NEG - - - 5.7% 16.00 Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price Ind O/S Mkt. Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Information Technology Outperformer NVEI Nuvei Corp. C$ Dec. $88.65 $89.48 $45.05 - - 145.14 $12,866.92 44.8 $3,971.52 $162.98 $256.93 $279.47 47.1 29.9 27.5 - - - 18.4% $105.00 Source: FactSet and CIBC World Markets Inc.

22 Canadian Research Review And Common Stock Universe - April 28, 2021

Dennis Fong, P.Eng. Paul Ryu, CPA 403 216-3400 403 216-8518

Three Takeaways For This Issue Top Picks And Why 1. OPEC+ Is One Of The Largest Factors In Balancing The Market: Suncor Energy: We continue to like the company’s balanced exposure to The recent OPEC+ meeting outlined a gradual return of volumes as upstream and downstream operations, coupled with a strong balance sheet and concerns about third COVID-19 waves and a slower vaccine rollout significant free cash flow generation. We expect free cash flow could remain hamper demand recovery. We continue to expect OECD inventories to resilient despite oil price volatility given the company’s integration and that it is reach pre-pandemic levels in early H2/21 even if Iranian sanctions are entering an inflection point, which supports potential dividend increases and lifted through a JCPOA-style nuclear deal. share buybacks.

2. Q2/21 Could Be A Record Quarter For Oil Sands Downtime Given Cenovus Energy: We view Cenovus as a turnaround story that should benefit Planned Turnarounds: Five major oil sands facilities have planned from the tailwinds of a strong oil price and a recovering downstream margin, maintenance in the second quarter, which could drive significant helping to drive an attractive free cash flow valuation. Further, with the downtime in the months of April and May of up to 500 MBbl/d of SCO company’s focus on paying down outstanding leverage, the improved balance and diluted bitumen. These absent volumes could narrow differentials sheet strength could allow for a combination of higher investor confidence and and provide a tailwind for producers like CVE and MEG. accelerated return of cash to shareholders.

3. Free Cash Flow And Balance Sheet Strength Are King: Given the price volatility observed over the past five years, we continue to prefer names with significant free cash flow and a strong balance sheet. Further, integrated operations decrease cash flow volatility.

Shares Mkt. Float Total 12-18- Fiscal Price 52-week Ind O/S Cap. Shares Float Fiscal Year CFPS P/CF Multiples ROE Implied mo. Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Energy Outperformer CNQ Canadian Natural Res. C$ Dec. $36.89 $40.43 $19.68 $1.88 - 1,180.93 $43,564.32 1136.1 $41,910.20 $4.13 $9.07 $10.01 8.9 4.1 3.7 - - - 30.1% $48.00 Outperformer CVE Cenovus Energy Inc. C$ Dec. 9.35 10.57 4.25 0.07 - 2,082.82 19,474.38 1499.6 14,021.60 0.09 3.39 3.88 100.8 2.8 2.4 - - - 71.1% 16.00 Neutral IMO Imperial Oil Limited C$ Dec. 31.71 32.29 15.31 0.88 - 734.08 23,277.58 223.0 7,071.24 1.20 5.86 6.73 26.5 5.4 4.7 - - - 10.4% 35.00 Neutral MEG MEG Energy Corp. C$ Dec. 6.45 7.79 2.21 - - 308.99 1,993.00 272.0 1,754.19 0.78 1.88 2.79 8.2 3.4 2.3 - - - 55.0% 10.00 Neutral OVV Ovintiv Inc. US$ Dec. 22.57 27.99 4.69 0.38 - 259.80 5,863.69 259.0 5,845.63 7.47 11.18 11.09 3.0 2.0 2.0 - - - 32.9% 30.00 Outperformer SU Suncor Energy Inc. C$ Dec. 25.37 29.32 15.00 0.84 - 1,525.40 38,699.36 1473.6 37,385.70 2.54 6.74 7.89 10.0 3.8 3.2 - - - 57.7% 40.00 Source: FactSet and CIBC World Markets Inc.

23 Canadian Research Review And Common Stock Universe - April 28, 2021

Scott Fromson, CFA

416 956-6728

Three Takeaways For This Issue Top Picks And Why 1. PLC produced impressive Q4/20 results – beating revenue estimates by Park Lawn Corp.: We believe PLC is a well-positioned death care company for ~10% and EBITDA estimates by ~20% – due to strong U.S. sales a post-COVID-19 world. PLC will continue to drive revenue and earnings growth (including pre-need) and good cost control. EBITDA margins of 26.1% from a combination of increased margins, accretive acquisitions and market (vs. estimates of ~23%-24%) show that acquisition integration and share gains. We believe there is a longer-term industry tailwind: the pandemic centralized operations have permanently decreased the cost structure. represents a ‘trigger event’ that has intensified consumers’ death care planning concerns. This is leading to increased PLC activity in discussions to ensure care 2. BOS continues to thrive amidst the pandemic as its defense business, of loved ones. ADG, pivots from military towards first-responder and medical end-markets. ADG clearly has strong connections with U.S. government Intertape Polymer: ITP has significantly bolstered its e-commerce product agencies, winning ~US$500MM of PPE contracts over the past year. portfolio over the past few years; thus, it has experienced the largest jump in pandemic-related demand among the Canadian packaging names. We believe 3. Two themes dominate packaging: robust pandemic-related sales (food, ITP will be less impacted by elevated resin prices as it consumes a broad range home essentials, e-commerce), offset by elevated resin prices (from of raw materials and it has some pricing power – e-commerce customers are Texas storm outages and strong pandemic demand). All our Canadian unlikely to disrupt their own supply chains to avoid minor input cost increases. packaging names (CCL.B, WPK, ITP) are set up to weather the storm.

12-18- 52-week Shares Mkt. Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Consumer Discretionary Outperformer DIV Diversified Royalty Corp. C$ Dec. $2.48 $2.61 $1.59 $0.20 - 121.19 $300.55 100.3 $248.72 $32.72 $39.23 $42.24 11.6 9.7 9.0 $1.48 1.7 9.3% 21.0% $3.00 Outperformer PLC Park Lawn Corporation Ltd. C$ Dec. 35.08 35.08 19.11 0.46 - 29.56 1,037.12 28.9 1,014.06 81.45 87.58 98.27 13.2 12.2 10.9 18.17 1.9 7.3% 5.5% 37.00

Materials Outperformer CCL.B CCL Industries Inc. C$ Dec. 71.74 71.74 40.36 0.84 - 178.60 12,812.76 146.4 10,499.90 1123.20 1175.10 1221.60 12.5 11.8 11.2 20.81 3.9 15.9% 4.5% 75.00 Outperformer ITP Intertape Polymer Group Inc. C$ Dec. 29.09 30.07 10.58 0.79 - 59.03 US$1,717.10 55.9 US$1,308.04 US$202.61 US$229.11 US$241.86 6.4 6.0 5.7 US$6.20 3.8 28.9% 22.0% 35.50 Source: FactSet and CIBC World Markets Inc.

24 Canadian Research Review And Common Stock Universe - April 28, 2021

Calvin Yong, CPA, CA Paul Holden, CFA 416 956-6676 Kevin Lai, CPA, CA 416 594-8417 416 522-0889 Brian Lee 416 784-9231 Three Takeaways For This Issue Top Picks And Why 1. U.S. Recovery Is Under Way: All signs are pointing to a rapid recovery Bank of Montreal: Well positioned to benefit from commercial loan growth in of the U.S. economy, which should contribute to growth and higher fee the U.S., core fee income has started to recover, and it is demonstrating income. A quick recovery in the services sector also reduces credit risk expense discipline. We expect BMO to post higher-than-average pre-tax for those COVID-19-impacted industries. We like Canadian financials pre-provision earnings growth in the near term. BMO is trading at a 2% discount with large U.S. operations as they should post better growth near term. to the group average P/E (2022E) and that discount looks even wider when adjusting for excess capital. 2. Capital Return Will Be A Catalyst Later This Year: We expect OSFI to remove capital restrictions in calendar Q3, enabling banks and TD Bank: Consensus estimates appear too conservative, particularly on the insurers to raise dividends and repurchase stock. Given record-high U.S. Banking segment. We expect TD to benefit from a rapid recovery in the capital levels for many financials we also expect acquisition activity. U.S. consumer, including the potential to release a significant proportion of performing credit allowances. TD carries the highest CET1 ratio in the group 3. Interest Rates Now Positive For The Narrative: The steepening of and a large U.S. bank acquisition has the potential to be highly accretive. We the yield curve has removed much of the long-term worries associated also view the shares as being modestly valued when adjusting for excess with perpetually lower rates. While EPS implications are limited, it has capital and the value of its stake in Schwab). been a positive for valuation multiples.

12-18- 52-week Shares Mkt. Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Financials Outperformer BMO Bank of Montreal C$ Oct. $116.01 $116.01 $62.37 $4.24 3.6% 647.42 $75,107.59 646.9 $75,043.40 $7.71 $10.51 $11.11 15.1 11.0 10.4 $77.76 1.5 13.2% 5.2% $122.00 Outperformer BNS Bank of Nova Scotia C$ Oct. 78.00 79.55 49.97 3.60 4.6% 1,237.00 96,486.00 1212.0 94,536.00 5.34 7.22 8.19 14.6 10.8 9.5 52.30 1.5 13.9% 10.3% 86.00 Outperformer CWB Canadian Western Bank C$ Oct. 33.31 34.85 19.31 1.16 3.4% 87.19 2,904.33 87.1 2,901.33 2.93 3.26 3.61 11.4 10.2 9.2 32.24 1.0 10.0% 14.1% 38.00 Outperformer EFN Element Fleet Mgmt. C$ Dec. 14.61 14.61 8.10 0.26 1.8% 440.28 6,432.42 434.8 6,352.35 0.84 0.92 1.12 17.3 15.9 13.1 7.43 2.0 10.8% (4.2%) 14.00 Underperformer LB Laurentian Bank C$ Oct. 43.14 43.14 26.03 1.60 3.7% 43.27 1,866.80 43.3 1,869.80 2.93 3.71 4.03 14.7 11.6 10.7 54.45 0.8 6.7% (14.2%) 37.00 Neutral NA National Bank Of Canada C$ Oct. 88.04 88.78 51.38 2.84 3.2% 338.62 29,811.84 336.8 29,649.20 6.05 7.61 7.91 14.5 11.6 11.1 41.48 2.1 17.9% 1.1% 89.00 Neutral RY Royal Bank of Canada C$ Oct. 116.56 118.49 82.27 4.32 3.7% 1,425.28 166,130.64 1424.1 165,991.00 7.96 9.77 10.40 14.6 11.9 11.2 58.24 2.0 16.5% 3.0% 120.00 Outperformer TD Toronto-Dominion Bank C$ Oct. 84.21 84.21 54.75 3.16 3.7% 1,815.80 152,908.52 1816.0 152,925.00 5.45 7.20 7.66 15.5 11.7 11.0 49.44 1.7 14.2% 4.5% 88.00 Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Mkt. Float BVPS P/BVPS Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Financials Outperformer GWO Great-West Lifeco Inc. C$ Dec. $35.24 $35.24 $19.86 $1.75 4.9% 927.70 $32,692.15 229.2 $8,078.19 $22.97 $24.16 $26.00 1.5 1.5 1.4 $22.97 1.5 13.1% 3.6% $36.50 Outperformer IAG iA Financial Corporation C$ Dec. 68.87 71.05 38.30 1.94 2.8% 107.10 7,375.98 106.8 7,353.85 55.52 60.01 64.76 1.2 1.2 1.1 55.52 1.2 13.7% 3.1% 71.00 Restricted IFC Intact Financial Corp. C$ Dec. 163.51 163.51 126.35 - - - 23,384.87 ------Neutral MFC Manulife Financial Corp. C$ Dec. 26.60 27.47 15.74 1.12 4.2% 1,940.25 51,610.61 1932.5 51,404.20 25.00 26.31 28.37 1.1 1.0 0.9 25.00 1.1 12.2% (2.3%) 26.00 Neutral SLF Sun Life Financial Inc. C$ Dec. 66.27 66.27 44.79 2.20 3.3% 585.10 38,774.58 583.0 38,635.40 37.96 41.59 45.57 1.8 1.6 1.5 37.96 1.7 15.2% 4.1% 69.00 Source: FactSet and CIBC World Markets Inc.

25 Canadian Research Review And Common Stock Universe - April 28, 2021

Alex Hunchak, P.Geo. Sehaj Anand 416 594-7457 416 594-7026

Three Takeaways For This Issue Top Picks And Why 1. Our gold price outlook is US$2,100/oz for 2021E, or US$2,073/oz Great Bear Resources: Great Bear’s Dixie Project has the potential to host adjusted for Q1/21 actual prices, US$2,200/oz for 2022E and 5Moz-10Moz in high-grade, near-surface gold mineralization and is one of the US$1,650/oz for the long term. Our silver price outlook is US$29/oz for few new gold discoveries with significant scale in recent years. While early 2021E, US$31/oz for 2022E and US$20/oz long term. This metal stage, we model a hypothetical ~500koz/yr producer at a top-quartile AISC, continues to offer investors greater torque than gold, but that leverage driving a net asset value (NAV) approaching $3B. Key deliverables include a also comes with more volatility. maiden resource in late 2021 or early 2022, as well as a steady flow of drill results at the LP Fault throughout the year. Located in the Red Gold area and 2. With slowing global economic growth due to trade wars, global proximal to a highway and powerline, the Dixie Project has true Tier-1 potential macroeconomic uncertainty and constructive supply/demand that we expect will attract significant M&A interest as the project is de-risked. fundamentals, plus ongoing fiscal stimulus injections and pressure on real rates, we continue to believe that both metals are poised to snap Maverix Metals: For investors seeking a lower-risk name in the gold sector, out of their trading ranges and trend higher over the next two years. Maverix represents a true ‘pure-play’ royalty company with a diversified portfolio of well over 100 royalties and streams. More than 50% of NAV is ascribed to 3. We expect fiscal discipline to remain a focus for the gold producers as currently cash-flowing assets, the best amongst the mid-cap royalty peer group, investors hunt for stocks with free cash flow (FCF) generation, but we while the 2021E FCF yield of 5% is also well above the peer group average at consider growth as increasingly relevant with peak production possibly 4%. Maverix has $175M in available liquidity and, as a result, we expect the in sight. Stocks with a combination of FCF generation and a robust company will be active on the acquisition front in 2021. development pipeline are preferred.

12-18- 52-week Shares Mkt. Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price Ind O/S Cap. Shares Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Materials Neutral ERO Ero Copper Corp. C$ Dec. $24.09 $25.09 $14.39 - - 88.10 $2,122.37 46.0 $1,107.88 US$200.80 US$255.73 US$221.12 6.5 7.2 8.3 3.8% $25.00 Outperformer SMT Sierra Metals, Inc. C$ Dec. 4.24 4.87 0.95 - - 162.81 $690.32 111.0 $470.80 US$96.98 US$172.32 US$194.59 3.9 3.6 3.2 29.7% 5.50 Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Mkt. Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price Ind O/S Cap. Shares Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Materials Outperformer GATO Gatos Silver, Inc. US$ Dec. $11.18 $16.69 $6.08 - - 59.41 $664.19 34.3 $383.24 ($0.96) $0.66 $1.94 NEG 17.0 5.8 25.2% $14.00 Outperformer GBR Great Bear Resources Ltd. C$ Dec. 14.47 19.63 8.34 - - 52.89 765.27 45.2 654.30 (0.16) (0.13) (0.13) NEG NEG NEG 86.6% 27.00 Outperformer MOZ Marathon Gold Corporation C$ Dec. 2.53 3.30 1.46 - - 213.72 540.71 182.5 461.77 (0.03) (0.04) (0.09) NEG NEG NEG 48.2% 3.75 Outperformer MMX Maverix Metals Inc. C$ Dec. 6.96 7.67 5.42 $0.05 - 141.01 981.41 49.4 343.50 US$0.12 US$0.19 US$0.23 40.0 29.5 24.6 22.1% 8.50 Neutral NSR Nomad Royalty Company Ltd C$ Dec. 1.06 1.80 0.40 0.02 - 566.23 600.21 103.1 109.24 US$0.04 US$0.02 US$0.04 17.8 34.3 19.7 17.9% 1.25 Outperformer PRB Probe Metals, Inc. C$ Dec. 1.72 1.95 1.00 - - 130.22 223.98 88.2 151.63 (0.12) (0.13) (0.12) NEG NEG NEG 57.0% 2.70 Source: FactSet and CIBC World Markets Inc.

26 Canadian Research Review And Common Stock Universe - April 28, 2021

Mark Jarvi, CFA Ollie Primak, CFA 416 956-6429 416 956-6732

Three Takeaways For This Issue Top Picks And Why 1. Investor interest in renewable energy stocks remains strong—in our Boralex is a preferred name amongst our renewable power coverage given its view, a modest pullback in share prices/valuations from the January proven track record, tangible growth and quality asset/contract portfolio. An highs represents an opportunity for investors to selectively add to index rebalance in mid-April may create some slight near-term trading existing or new positions. The long-term outlook for the industry remains headwinds, but thereafter we see potential catalysts that could push shares strong—we prefer names with visible/differentiated growth (BLX, NPI). higher, including potential to secure new growth from RFPs in France and New York State, possibly more M&A, and new multi-year growth targets expected 2. We believe the impact of the recent rise in bond yields on regulated this summer (2023 targets are well-in-hand). Further, following a recent sell-off utility stocks has largely played out, albeit investor interest remains Boralex shares offer the highest return to target of our coverage universe. muted and we believe most share prices will be range bound. The larger-market-cap regulated utilities should deliver stable, growing Algonquin Power & Utilities remains a preferred name, providing investors earnings and dividends with possible upside from the proposed Biden with utility stability and renewable growth. It has a robust five-year capex plan infrastructure and tax plans for those with U.S. exposure (AQN, FTS). with US$9.4B of investments driven by its renewable power development pipeline, utility rate base growth, and tuck-in acquisitions. Even factoring in 3. Alberta power producers are benefitting from strong pricing YTD and external equity needs, we forecast strong per share growth ahead (forward favorable forward prices in the near term. This means TA and CPX three-year CAGRs for AFFO/share and EPS of 18% and 8%, respectively) that could post solid near-term results and the higher FCF helps fund supports a planned 10% dividend increase this year and further dividend growth investments and/or return of capital (buybacks, dividends). The thereafter. Upside could come from additional M&A and new power projects. Supreme Court ruling on carbon tax is a net positive in our view.

12-18- 52-week Shares Mkt. Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price Ind O/S Cap. Shares Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Utilities Outperformer BLX Boralex Inc. Class A C$ Dec. $43.04 $55.59 $26.91 $0.66 1.5% 102.62 $4,416.64 101.1 $4,349.79 $514.00 $533.78 $573.08 15.6 15.3 14.7 13.1% $48.00 Neutral BEP Brookfield Renewable Partners LP US$ Dec. 40.87 58.03 26.92 1.22 3.0% 645.50 26,381.59 306.3 12,518.50 1403.00 1657.86 1776.74 28.5 24.6 23.1 10.6% 44.00 Neutral CPX Capital Power Corporation C$ Dec. 38.01 38.59 24.44 2.05 5.4% 106.97 4,066.08 107.0 4,066.08 952.97 1015.51 947.80 8.5 8.4 9.4 10.6% 40.00 Neutral INE Innergex Renewable Energy Inc. C$ Dec. 22.72 32.15 18.02 0.72 3.2% 174.58 3,966.52 129.6 2,944.09 489.85 598.16 584.58 18.0 14.7 14.8 13.2% 25.00 Underperformer JENGQ Just Energy Group Inc. US$ Mar. 0.85 29.58 0.71 - - 48.23 C$38.57 34.2 C$36.32 C$185.84 (C$98.17) C$148.81 4.9 NEG 4.0 135.2% 2.00 Outperformer NPI Northland Power Inc. C$ Dec. 44.12 50.85 29.25 1.20 2.7% 224.88 9,921.89 200.5 8,845.88 1170.10 1237.20 1315.80 13.1 13.1 12.4 13.8% 49.00 Outperformer TA TransAlta Corporation C$ Dec. 12.27 12.41 7.48 0.17 1.4% 269.80 3,310.45 266.8 3,273.26 927.00 1051.00 1030.04 8.6 7.5 7.6 11.4% 13.50 Neutral RNW TransAlta Renewables Inc. C$ Dec. 19.79 23.99 13.72 0.94 4.7% 266.90 5,281.95 106.5 2,108.39 462.00 493.05 526.00 13.2 12.9 11.7 5.8% 20.00 Source: FactSet and CIBC World Markets Inc.

27 Canadian Research Review And Common Stock Universe - April 28, 2021

28 Canadian Research Review And Common Stock Universe - April 28, 2021

Jamie Kubik, CPA, CA Chris Thompson, P.Geo. 403 216-3405 403-200-3373

Three Takeaways For This Issue Top Picks And Why 1. In 2021, we expect companies to focus on capital discipline, maintaining ARC Resources: The company recently completed its acquisition of Seven flat production levels, and paying down debt. At current strip pricing we Generations and continues to look attractively valued while generating expect most companies under coverage to generate meaningful free meaningful free cash flow in 2021. The company has a strong balance sheet cash flow. and premier resource exposure in the Montney. Aggressive debt reduction, the sanctioning of Attachie, and the initiation of a share buyback program are all 2. We see growing oil sands output and declining U.S. liquids production catalysts to consider in 2021. as being beneficial for Canadian condensate prices. Producers such as ARX, KEL, NVA, POU and SRX will benefit from rising domestic Advantage Oil & Gas: The company recently announced it has launched a condensate demand and tighter foreign supply. subsidiary corporation called Entropy Inc. to scale its recently developed modular carbon capture and storage technology. Entropy is constructing 3. We maintain a preference for companies with low debt/cash flow ratios, phase 1 of Advantage’s carbon capture system at the company’s Glacier gas above-average growth on a debt-adjusted share basis, improving plant. Should AAV pursue phase 2, corporate GHG emissions would be net ROACE generation, and a weighting towards liquids as prices recover. negative, making it one of only two Canadian companies to be so.

12-18- Shares Mkt. Float Total mo. Fiscal Price 52-week O/S Cap. Shares Float Fiscal Year CFPS P/CF Multiples Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Energy Outperformer AAV Advantage Oil & Gas Ltd. C$ Dec. $3.18 $3.42 $1.56 193.01 $613.76 183.7 $584.04 $0.56 $1.01 $1.06 5.7 3.1 3.0 33.6% $4.25 Outperformer ARX ARC Resources Ltd. C$ Dec. 7.39 8.50 4.43 739.79 5,467.03 724.0 5,350.36 1.89 3.17 3.32 3.9 2.3 2.2 62.4% 12.00 Neutral BNE Bonterra Energy Corp. C$ Dec. 3.31 4.45 1.02 35.85 118.65 24.6 81.58 0.85 2.82 3.62 3.9 1.2 0.9 20.8% 4.00 Outperformer ERF Enerplus Corporation C$ Dec. 6.41 7.21 2.23 226.80 1,453.80 255.8 1,639.42 1.61 2.80 3.57 4.0 2.3 1.8 56.0% 10.00 Outperformer FRU Freehold Royalties Ltd. C$ Dec. 7.44 7.93 3.26 119.84 891.61 120.8 898.47 0.62 1.17 1.09 12.0 6.4 6.8 47.8% 11.00 Outperformer KEL Kelt Exploration Ltd. C$ Dec. 2.59 3.17 1.13 194.26 503.13 153.6 397.82 0.31 0.60 0.89 8.4 4.3 2.9 54.4% 4.00 Neutral NVA NuVista Energy Ltd. C$ Dec. 2.07 2.67 0.63 237.67 491.97 215.1 445.28 0.70 1.09 1.90 3.0 1.9 1.1 57.0% 3.25 Underperformer POU Paramount Resources Ltd. C$ Dec. 9.44 11.69 1.49 144.94 1,368.27 70.5 665.22 1.00 3.33 4.79 9.4 2.8 2.0 21.8% 11.50 Neutral PSK PrairieSky Royalty Ltd. C$ Dec. 12.58 14.50 8.01 230.10 2,894.66 230.1 2,894.71 0.64 0.96 0.95 19.7 12.7 13.2 19.2% 15.00 Outperformer SRX Storm Resources Ltd. C$ Dec. 2.99 3.06 1.24 126.53 378.33 106.5 318.36 0.47 1.06 1.47 6.4 2.8 2.0 33.8% 4.00 Source: FactSet and CIBC World Markets Inc. 12-18- Shares Mkt. Float Total mo. Fiscal Price 52-week Ind O/S Cap. Shares Float EBITDA ($MM) EV/EBITDA Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Energy Neutral ESI Ensign Energy Services Inc. C$ Dec. $1.09 $1.56 $0.46 - - 162.63 $177.27 - - $241.53 $212.60 $258.76 6.1 6.7 5.1 28.4% $1.40 Outperformer PD Precision Drilling Corporation C$ Dec. 31.29 35.08 10.00 - - 13.35 417.69 13.3 416.52 282.10 241.14 294.64 5.2 5.9 4.4 43.8% 45.00 Source: FactSet and CIBC World Markets Inc.

29 Canadian Research Review And Common Stock Universe - April 28, 2021

Hamir Patel Roshni Luthra 604 331-3047 604 331-3069

Three Takeaways For This Issue Top Picks And Why 1. Wood Products Markets Remain Strong: The set-up is particularly West Fraser: As the largest lumber and OSB producer, WFG is well positioned strong for wood products this year given lean lumber inventories and an to benefit from the robust U.S. housing market that we expect to persist over the inability of the industry to surge capacity as COVID-19-related labor next few years. We foresee WFG generating a FCF yield of 23% in 2021E. disruptions weigh on productivity. Canfor: As one of the largest lumber producers in North America and Europe, 2. Pulp Prices On The Rise: Global pulp markets are benefiting from low Canfor is well positioned to benefit from the robust U.S. housing market as well paper producer inventories (exacerbated by container shipping as continued healthy R&R consumption. We see CFP generating a FCF yield of disruptions) and significant major maintenance outages as producers 22% in 2021E. catch up on work that was delayed last year due to the pandemic. Interfor: Interfor offers investors a pure-play way to gain exposure to lumber 3. Uncertainty For Containerboard Price Hike: Given that only one-third with relatively less exposure to high-cost British Columbia (given that over 45% of the industry’s US$60/ton hike was recognized in March, it appears as of its lumber capacity is in the U.S. South (lowest-cost timber basket). We see if the recent cyberattack on the second-largest producer (WRK) has IFP generating a FCF yield of 26% in 2021E. contributed to delaying and/or potentially stalling the industry's price hike at a lower implementation level).

Industrials Neutral BLDP Ballard Power Systems, Inc. US$ Dec. 21.91 40.99 9.31 - - 296.96 6,506.33 237.1 5,193.92 (40.00) (51.00) (30.00) NEG NEG NEG 41.5% 31.00 Restricted CWX CanWel Building Materials C$ Dec. 9.70 10.72 3.02 - - - 757.51 ------Outperformer HDI Hardwoods Distribution Inc. C$ Dec. 33.88 33.88 10.63 0.40 - 21.31 722.00 17.0 575.96 98.00 115.00 116.00 8.3 7.1 7.0 15.1% 39.00 Outperformer LPEN Loop Energy C$ Dec. 10.09 16.90 9.46 - - 33.58 338.80 6.3 63.06 (8.00) (17.00) (15.00) NEG NEG NEG 78.4% 18.00 Neutral RCH Richelieu Hardware Ltd. C$ Nov. 42.51 42.59 25.23 0.28 - 56.05 2,382.56 47.9 2,035.25 154.00 167.00 173.00 15.6 14.4 13.9 3.5% 44.00

Materials Underperformer ADN Acadian Timber Corp. C$ Dec. 19.64 20.47 12.97 1.16 - 16.69 327.73 9.2 180.69 21.00 23.00 23.00 19.9 18.2 18.2 (13.4%) 17.00 Outperformer CFP Canfor Corporation C$ Dec. 31.27 33.03 8.30 - - 125.22 3,915.61 61.5 1,923.11 970.00 2155.00 1078.00 4.6 2.1 4.2 31.1% 41.00 Neutral CFX Canfor Pulp Products Inc. C$ Dec. 9.24 10.44 4.47 - - 65.23 602.76 29.4 271.66 26.00 221.00 231.00 24.9 2.9 2.8 19.0% 11.00 Outperformer CAS Cascades Inc. C$ Dec. 14.89 18.18 12.87 0.32 - 103.41 1,539.82 67.5 1,005.08 675.00 668.00 728.00 4.9 5.0 4.6 20.9% 18.00 Neutral CFF Conifex Timber Inc. C$ Dec. 2.52 2.74 0.42 - - 47.00 118.44 36.2 91.20 14.00 53.00 37.00 11.9 3.2 4.5 19.0% 3.00 Neutral UFS Domtar Corp. US$ Dec. 39.05 39.56 19.25 - - 55.20 2,155.56 63.3 2,471.86 395.00 555.00 520.00 5.3 3.8 4.0 5.0% 41.00 Outperformer IFP Interfor Corporation C$ Dec. 33.17 34.53 7.30 - - 66.71 2,212.83 66.7 2,212.83 511.00 1194.00 602.00 4.0 1.7 3.4 50.7% 50.00 Outperformer MERC Mercer International Inc. US$ Dec. 16.86 16.86 5.89 0.26 - 65.71 1,107.87 56.0 944.16 193.00 390.00 400.00 9.8 4.9 4.7 12.7% 19.00 Outperformer RFP Resolute Forest Products US$ Dec. 15.74 15.94 1.73 - - 81.98 1,290.41 62.0 975.88 257.00 641.00 412.00 9.2 3.7 5.7 (11.1%) 14.00 Outperformer SJ Stella-Jones Inc. C$ Dec. 52.72 53.46 31.92 0.72 - 66.70 3,516.42 66.7 3,516.42 397.00 401.00 397.00 10.7 10.6 10.7 13.8% 60.00 Outperformer WFG West Fraser Timber Co. Ltd. C$ Dec. 96.87 106.42 31.03 1.00 - 122.96 US$11,911.49 86.5 US$6,743.33 US$933.00 US$4162.00 US$2257.00 10.4 2.3 4.3 39.4% 135.00 Outperformer WEF Western Forest Products Inc. C$ Dec. 2.10 2.18 0.71 0.04 - 375.43 788.41 375.4 788.41 85.00 190.00 156.00 10.3 4.6 5.6 19.0% 2.50 Neutral WPK Winpak Ltd. C$ Dec. 43.56 49.18 39.18 0.12 - 65.00 US$2,831.40 30.8 US$1,080.23 US$192.00 US$182.00 US$201.00 9.4 9.9 9.0 5.6% 46.00 Source: FactSet and CIBC World Markets Inc.

30 Canadian Research Review And Common Stock Universe - April 28, 2021

John Zamparo, CFA, CA Mark Petrie, CFA 416 956-6108 Kunaal Gidwani 416 956-3278 416 956-3277 Monica Lutz 416 594-7080 Three Takeaways For This Issue Top Picks And Why 1. Consumers formed new shopping and spending habits during the Consumer Discretionary: Aritzia Inc.: Strong exclusive brands and excellent pandemic. Companies have had to adapt to multiple rounds of store store and online experiences are driving leading same-store sales (SSS). closures and re-openings, and e-commerce penetration is expected to E-commerce growth has sustained after stores re-opened, supporting Aritzia’s normalize at significantly higher levels. We expect consumer spending plans to double SKU count and proving accretive to margins. Omni-channel and habits that emerged last summer to have legs through 2021, including leveraging customer data are both key related focuses. Most importantly, U.S. spending on the home and home entertainment. While food at home e-commerce – the single biggest revenue opportunity facing the company – is may revert somewhat, we expect a meaningful portion will remain also its most profitable channel. sticky. Consumer Staples: Maple Leaf Foods Inc.: The meat business is posting 2. Capital and operational efficiencies were particularly important during record margins, delivering on its strategic priorities of sustainable meat and 2020, and efforts introduced during the pandemic appear to be brand renovation, and is making progress on key growth drivers to achieve its sustained in 2021. These initiatives will be put to the test with margin target. Pressure in the plant protein business is significant but more than inflationary pressures mounting quickly, particularly in supply chains. offset by strength in meat and a discounted valuation. The poultry plant start-up in 2022 and a resumption of sales to China are both future potential catalysts. 3. The Canadian consumer remains in good shape, with nominal incomes after taxes and benefits surging by nearly 10% and a savings rate of roughly 15%. There is a significant amount of pent-up demand but shutdowns are holding back some of that spending.

12-18- 52-week Shares Mkt. Float EBITDA EV/EBITDA Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Consumer Discretionary Outperformer MTY MTY Food Group Inc.1 C$ Nov. $53.31 $57.95 $18.20 - - 24.71 $1,317.10 19.1 $1,016.80 $137.82 $149.83 $155.89 16.9 15.5 14.9 $25.12 2.1 11.7% 20.1% $64.00 Neutral RECP Recipe Unlimited Corp.1 C$ Dec. 20.02 20.78 9.27 - - 56.36 1,128.41 40.3 806.81 117.43 155.49 191.19 12.7 9.6 7.8 5.85 3.4 16.1% (5.1%) 19.00

Consumer Staples Outperformer CLIQ Alcanna Inc.1 C$ Dec. 7.68 8.38 2.14 - - 40.05 307.58 35.1 269.44 47.20 54.79 54.42 11.9 10.3 10.4 3.53 2.2 8.8% 13.9% 8.75 Outperformer WN George Weston Limited C$ Jan. 111.90 114.75 92.11 $2.10 - 153.30 17,154.27 72.9 8,157.06 200.00 232.77 261.65 NEG NEG NEG 81.43 1.4 8.6% 17.1% 131.00 Outperformer MFI Maple Leaf Foods Inc. C$ Dec. 28.15 30.62 23.52 0.64 - 123.20 3,468.08 77.2 2,173.21 397.81 443.37 517.47 10.2 9.2 7.9 15.63 1.8 7.7% 31.4% 37.00 Neutral PBH Premium Brands Holdings1 C$ Dec. 119.70 122.43 77.00 2.54 - 42.15 5,045.19 36.5 4,374.18 312.60 427.76 456.32 19.0 13.9 13.0 38.03 3.2 12.4% (1.4%) 118.00 Outperformer PRMW Primo Water Corp.1 US$ Dec. 17.01 17.48 9.49 0.24 - 160.25 2,725.78 144.2 2,453.21 361.50 384.35 411.17 9.6 9.6 9.1 8.78 1.9 6.7% 5.8% 18.00

Industrials Neutral GDI GDI Integrated Facility1 C$ Dec. 55.69 58.89 28.34 - - 22.02 1,226.02 11.1 616.87 104.93 119.40 120.30 13.8 12.1 12.0 17.40 3.2 13.3% 0.6% 56.00 1. Primary coverage of CLIQ, GDI, MTY, PBH, PRMW, and RECP by John Zamparo. Source: FactSet and CIBC World Markets Inc.

31 Canadian Research Review And Common Stock Universe - April 28, 2021

Consumer Staples Outperformer ATD.B Alimentation Couche-Tard C$ Apr. 41.64 47.39 36.29 0.35 - 1,112.95 US$46,343.17 1078.4 US$36,127.30 US$1.98 US$2.29 US$1.86 14.9 14.6 17.9 - - 23.1% 10.5% 46.00 Outperformer EMP.A Empire Company Limited C$ May. 39.41 40.59 29.97 0.52 - 268.10 10,565.82 263.5 10,386.20 2.18 2.52 2.79 18.1 15.6 14.1 16.88 2.3 16.9% 14.2% 45.00 Outperformer JWEL Jamieson Wellness Inc.1 C$ Dec. 38.63 43.21 31.28 0.44 - 39.74 - 39.7 1,535.22 1.16 1.29 1.49 33.2 29.9 25.9 8.31 4.7 17.3% 16.5% 45.00 Outperformer L Loblaw Companies Limited C$ Jan. 69.30 75.00 60.86 1.34 - 351.30 24,345.09 175.3 12,148.20 4.26 4.66 5.06 16.3 14.9 13.7 - - 14.4% 12.6% 78.00 Neutral MRU Metro Inc. C$ Sep. 57.25 65.57 52.83 1.00 - 245.95 14,080.35 245.5 14,052.20 3.27 3.52 3.66 17.5 16.3 15.7 - - 13.8% 6.6% 61.00 Neutral NWC North West Company Inc. C$ Jan. 36.32 36.89 25.48 1.44 - 49.34 1,792.10 49.3 1,792.10 2.86 2.34 2.40 12.7 15.5 15.1 - - 31.5% 4.6% 38.00 Outperformer SAP Saputo Inc. C$ Mar. 39.85 40.52 31.41 0.70 - 409.31 16,311.20 233.3 9,297.39 1.61 1.75 1.96 24.8 22.7 20.4 - - 11.1% 7.9% 43.00 1. Primary coverage of JWEL and ZZZ by John Zamparo. Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Mkt. Float Revenue ($MM) EV/Sales Total mo. Fiscal Price O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Health Care1 Outperformer APHA Aphria Inc. C$ May. $17.67 $33.37 $4.20 316.80 $5,597.78 312.0 $5,513.81 $543.34 $625.04 $1112.93 11.0 9.6 5.4 - - - 30.2% $23.00 Neutral ACB Aurora Cannabis Inc. C$ Jun. 10.40 24.10 0.91 198.72 2,066.67 197.1 2,050.14 278.91 279.38 372.72 8.8 8.8 6.6 - - - 44.2% 15.00 Neutral WEED Canopy Growth Corporation C$ Mar. 34.20 66.21 18.69 373.80 12,784.09 218.3 7,465.91 398.77 550.29 764.54 35.4 25.6 18.5 - - - 60.8% 55.00 Neutral CRON Cronos Group Inc. US$ Dec. 8.23 15.55 4.84 360.25 2,964.88 181.9 1,497.27 46.72 88.43 167.00 42.3 23.7 12.7 - - - 21.5% 10.00 Outperformer HEXO HEXO Corp. C$ Jul. 7.10 13.05 2.48 122.28 868.18 115.8 822.17 80.78 144.15 244.27 16.9 9.5 5.6 - - - 83.1% 13.00 Underperformer OGI Organigram Holdings Inc. C$ Aug. 3.28 7.62 1.36 293.11 961.41 291.6 956.60 86.80 70.61 100.15 12.2 14.9 10.5 - - - (0.9%) 3.25 Outperformer RIV RIV Capital Inc. C$ Mar. 2.26 3.53 0.68 191.30 432.35 170.6 385.65 11.92 1.28 5.62 34.2 319.9 72.6 - - - 43.8% 3.25 1. Primary coverage of APHA, ACB, WEED, CRON, HEXO, OGI, and RIV by John Zamparo. Source: FactSet and CIBC World Markets Inc. Legal Disclaimer Regarding U.S. Law (APHA, ACB, WEED, CRON, HEXO, OGI, RIV) The cultivation, possession or distribution of cannabis are illegal under U.S. federal law. By preparing and providing this research to institutional investors or retail clients, CIBC Capital Markets does not intend to facilitate or encourage the cultivation, possession or distribution of cannabis in the United States or to or through any U.S. person. Any unauthorized reproduction, transmission or distribution without the prior written consent of CIBC Capital Markets is strictly prohibited.

32 Canadian Research Review And Common Stock Universe - April 28, 2021

Dave Popowich Camille Gordon 403 216-3401 403 216-3402

Three Takeaways For This Issue Top Picks And Why 1. With commodity prices having improved substantially in the past Parex Resources: Parex remains a highly dependable oil growth story and has six months, most producers in our coverage universe are on a vastly built cash while growing production by ~10%/year. With a dynamic portfolio of stronger financial footing than they were at this time last year. Most free cash flowing assets and exploration prospects providing longer-term growth producers are messaging a commitment to free cash flow generation, visibility and potential NAV expansion, Parex is, we believe, well positioned to while maintaining flat production, with potential for increased return on provide strong shareholder returns over the next 12 to 18 months. capital to shareholders. Whitecap Resources: We regard Whitecap as one of the premier 2. Generally speaking, we maintain a preference for oil/liquids producers dividend-paying oil producers in Western Canada. Whitecap has clearly at this point, driven by our view that a re-opening of the economy over capitalized on the downturn to grow through accretive acquisitions, and remains the next 12 months will result in stronger demand for crude oil and well positioned to increase returns of capital to shareholders over the next 12 to related products. 18 months.

3. M&A activity has also picked up substantially as survivors seek to capitalize on what remains of the downturn. Thus far, we have favoured owning the acquirers, but transaction metrics have been improving and valuations for desirable assets appear to have become more competitive.

12-18- Shares Mkt. Float Total mo. Fiscal Price 52-week O/S Cap. Shares Float Fiscal Year CFPS P/CF Multiples Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Energy Neutral BTE Baytex Energy Corp. C$ Dec. $1.26 $1.50 $0.36 569.18 $717.16 556.7 $701.47 $0.56 $1.03 $1.27 2.3 1.2 1.0 38.9% $1.75 Outperformer BIR Birchcliff Energy Ltd. C$ Dec. 3.02 3.37 1.07 295.01 890.94 262.0 791.32 0.69 1.73 1.77 4.4 1.8 1.7 15.9% 3.50 Outperformer CPG Crescent Point Energy Corp. C$ Dec. 4.52 5.76 1.48 538.02 2,431.85 528.1 2,387.20 1.62 2.52 3.11 2.8 1.8 1.5 54.9% 7.00 Outperformer PXT Parex Resources Inc. C$ Dec. 22.13 23.75 12.37 141.44 US$3,130.16 126.3 US$2,248.95 US$2.13 US$4.30 US$4.66 8.2 4.1 3.8 24.3% 27.50 Neutral PRQ Petrus Resources Ltd. C$ Dec. 0.53 0.55 0.09 49.47 26.22 27.1 14.35 0.53 0.76 0.91 1.0 0.7 0.6 (24.5%) 0.40 Neutral PEY Peyto Exploration & Development Corp. C$ Dec. 5.11 6.51 1.67 164.90 842.62 160.1 818.35 1.96 1.29 2.89 2.6 4.0 1.8 37.0% 7.00 Restricted SGY Surge Energy Inc. C$ Dec. 0.53 0.71 0.16 390.20 206.81 - - - - - 3.0 - - - - Restricted TVE Tamarack Valley Energy Ltd. C$ Dec. 2.24 2.42 0.65 - 515.31 - - - - - 4.2 - - - - Outperformer TPZ Topaz Energy Corporation C$ Dec. 14.62 15.39 13.01 92.30 1,349.43 52.1 761.77 0.99 1.06 1.02 14.8 13.7 14.4 23.1% 18.00 Outperformer TOU Tourmaline Oil Corp. C$ Dec. 24.12 26.24 11.55 293.21 7,072.30 283.4 6,835.49 4.36 7.33 7.60 5.5 3.3 3.2 24.4% 30.00 Neutral VET Vermilion Energy Inc. C$ Dec. 8.27 10.90 2.99 158.85 1,313.71 153.9 1,272.95 2.35 4.15 4.31 3.5 2.0 1.9 20.9% 10.00 Outperformer WCP Whitecap Resources Inc. C$ Dec. 5.33 6.76 1.29 416.37 2,219.24 589.0 3,139.48 1.06 1.53 1.90 5.0 3.5 2.8 40.7% 7.50 Outperformer YGR Yangarra Resources Ltd. C$ Dec. 1.03 1.34 0.40 93.59 96.40 71.1 73.20 1.08 0.53 1.00 1.0 2.0 1.0 69.9% 1.75 Source: FactSet and CIBC World Markets Inc.

33 Canadian Research Review And Common Stock Universe - April 28, 2021

12-18- Shares Mkt. Float Total mo. Fiscal Price 52-week Ind O/S Cap. Shares Float EBITDA ($MM) EV/EBITDA Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Energy Neutral EFX Enerflex Ltd. C$ Dec. $7.73 $9.58 $4.62 $0.08 - 89.68 $693.22 89.2 $689.19 $210.81 $176.57 $206.22 5.2 6.2 5.3 29.4% $10.00 Restricted SES SECURE Energy Services C$ Dec. 3.95 4.42 1.02 - - - 626.87 ------Restricted TEV Tervita Corporation C$ Dec. 4.98 5.65 1.74 - - - 575.96 ------Source: FactSet and CIBC World Markets Inc.

34 Canadian Research Review And Common Stock Universe - April 28, 2021

Stephanie Price, CFA Scott Fletcher, CPA, CA 416 594-7047 416 956-3229

Three Takeaways For This Issue Top Picks And Why 1. We believe that the shift to remote work has accelerated digitization, Morneau Shepell: We see Morneau as well positioned to benefit from an with organizations that had prioritized digital strategies able to quickly increased focus on employee wellbeing. The company saw an increase in the pivot while many others were caught flat-footed. Further, we believe that number of lives on its wellbeing offering through the pandemic. Post pandemic, the pandemic has led to accelerated adoption of e-channels, driving we expect in-person work to return and new lives on the EAP platform to drive organizations to increase spending on consumer-facing digital offerings. further growth. We also foresee upside from continued expansion into the U.S.

2. The Canadian consolidators under coverage, by and large, sat on the Kinaxis: Kinaxis posted weaker-than-expected 2021 guidance, prompting the M&A sidelines in 2020. With better visibility into the post-COVID-19 stock to drop 16% in March. Subscription revenue growth guidance (17%-20%) outlook, we expect low rates and strong cash balances to drive elevated reflected a temporary slowdown in signings at the height of the pandemic and levels of M&A into 2021.The gradual expiry of pandemic-related aid we regard the issue as transitory. At these levels, the stock is trading 0.5x from programs may also increase the number of companies willing to sell its two-year average and we see upside as the company executes to meet or businesses into a historically rich valuation environment. exceed near-term guidance.

3. 2020 was a record year for IPOs, with the number of tech IPOs up 33% Constellation Software: We regard Constellation as well positioned to benefit Y/Y. The rise in IPO activity was, in part, a function of rising public from volatile markets, with M&A becoming more attractive as multiples market software valuations. Newly public tech companies saw a median compress. We expect solid revenue growth in 2021, driven by a recent three-month return of 42.7% in 2020. IPO activity has continued into acceleration in M&A. 2021 and we see a number of IPO candidates on the horizon.

12-18- 52-week Shares Mkt. Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Industrials Neutral MAXR Maxar Technologies Ltd. US$ Dec. $39.37 $54.82 $9.12 61.10 $2,405.51 - - $422.00 $445.53 $487.74 11.5 11.5 10.6 - - - 23.2% $48.50

Information Technology Outperformer CSU Constellation Software Inc. C$ Dec. 1,838.52 1,914.12 1,338.53 21.20 US$38,976.62 14.5 US$21,446.80 US$1229.00 US$1389.35 US$1520.54 20.5 19.2 17.7 - - - (4.3%) 1760.00 Neutral DSGX Descartes Systems Group Inc. US$ Jan. 63.62 65.95 39.78 84.32 5,364.18 75.0 4,771.50 141.71 157.56 177.89 31.8 30.4 27.1 - - - (0.2%) 63.50 Outperformer ENGH Enghouse Systems C$ Oct. 57.24 80.34 51.34 55.24 3,161.82 41.9 2,395.60 176.82 177.75 178.31 17.7 17.6 17.5 - - - 39.8% 80.00 Outperformer TIXT TELUS International (CDA), Inc. US$ Dec. 29.12 31.62 27.29 259.35 7,552.16 - - 394.88 530.90 634.52 20.5 16.2 13.7 - - - 27.1% 37.00

Real Estate Neutral AIF Altus Group Limited C$ Dec. 64.00 64.77 38.67 40.24 2,575.39 19.5 1,248.00 98.93 122.93 129.41 23.9 19.3 18.3 - - - (18.0%) 52.50 Neutral ISV Information Services Corp. C$ Dec. 24.91 25.87 13.60 17.50 435.93 12.0 299.48 47.50 49.99 50.88 9.6 9.1 8.9 - - - 0.4% 25.00 Source: FactSet and CIBC World Markets Inc.

35 Canadian Research Review And Common Stock Universe - April 28, 2021

12-18- 52-week Shares Mkt. Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Industrials Outperformer MSI Morneau Shepell Inc. C$ Dec. $31.34 $33.99 $26.63 66.00 $2,068.44 65.1 $2,039.49 $0.80 $1.14 $1.22 39.3 27.5 25.6 - - - 37.2% $43.00

Information Technology Neutral GIB.A CGI Inc. C$ Sep. 106.39 108.89 80.83 272.70 29,012.55 251.7 26,778.40 4.89 5.45 5.73 21.8 19.5 18.6 - - - (0.8%) 105.50 Outperformer OTEX Open Text Corporation US$ Jun. 47.65 49.92 36.40 271.99 12,960.13 256.4 12,217.50 2.89 3.26 3.33 15.2 14.6 14.3 - - - 24.9% 59.50

Real Estate Outperformer CIGI Colliers International Group Inc. US$ Dec. 106.66 110.65 43.75 39.93 4,258.93 37.4 3,990.62 4.37 4.64 5.18 24.0 23.0 20.6 - - - 5.0% 112.00 Outperformer FSV FirstService Corporation US$ Dec. 167.70 167.70 78.70 43.29 7,260.29 37.0 6,209.34 3.46 3.70 3.99 47.6 45.3 42.0 - - - (4.0%) 161.00 Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Mkt. Float Revenue EV/Sales Total mo. Fiscal Price O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Information Technology Neutral CDAY Ceridian HCM Holding, Inc. US$ Dec. $94.22 $110.16 $53.92 148.09 $13,952.74 118.6 $11,176.10 $842.50 $916.86 $1091.53 11.9 11.6 9.8 - - - 13.6% $107.00 Outperformer DCBO Docebo, Inc. C$ Dec. 60.83 82.75 15.26 28.47 US$1,732.12 5.7 US$280.96 US$62.92 US$95.28 US$133.99 21.0 14.7 10.6 - - - 36.4% 83.00 Outperformer KXS Kinaxis Inc. C$ Dec. 150.50 223.70 132.08 26.15 US$3,935.58 24.3 US$2,942.18 US$224.19 US$246.00 US$311.26 13.6 13.1 10.5 - - - 32.9% 200.00 Source: FactSet and CIBC World Markets Inc.

36 Canadian Research Review And Common Stock Universe - April 28, 2021

Calvin Yong, CPA, CA Nik Priebe, CFA 416 956-6676 Kevin Lai, CPA, CA 647 449-2855 416 522-0889 Three Takeaways For This Issue Top Picks And Why 1. Interest Rates Bouncing Off Pandemic Lows: Rising interest rates Trisura: Trisura is the top pick within our coverage universe. The Canadian (and the prospect of higher inflation) have captured headlines in early segment demonstrated resilience throughout the pandemic with accelerating 2021. Although our diversified coverage universe is less rate-sensitive growth supported by an above-average combined ratio. The ramp of the U.S. than the banks and lifecos, it remains a topical theme. Naturally, a rising business continues to impress, with gross premiums written increasing ~150% rate environment has negative implications for the private equity in 2020. We see ample runway for this momentum to continue given the industry. However, rates remain significantly below the highs in 2018. expansion of admitted licenses and plenty of excitement around specialty P&C lines in the U.S. insurance space. 2. Equity Market Momentum Propelling The Beta-sensitive Names: Public equity markets continue to advance, with key indices pushing Guardian Capital: We view Guardian as a compelling deep value opportunity new all-time highs. The strong market backdrop, combined with excess with stable management fees, a strong balance sheet and potential for consumer savings, has contributed to an improving net flows outlook for significant growth from its fundamental global equity strategy. Guardian ended the retail-oriented asset managers. Private equity returns have also 2020 with its highest net flows in over a decade and stable double-digit earnings benefitted from ascending public market valuations. growth from its Managing General Agency.

3. Vaccine Rollout: The pace of vaccine distribution will determine the Onex: Compared to the end of 2019, Onex’s stock has declined whereas NAV timeframe for a return to normalcy, including the cessation of lockdowns has increased by over 13% (in C$). The stock trades at a 15% discount to the and easing of restrictions on consumer-facing businesses. The U.S. fair market value of its own proprietary investing capital, which implies zero appears to be ahead of the curve on this front (compared to Canada). value to the stream of fees and carried interest generated on third-party capital.

37 Canadian Research Review And Common Stock Universe - April 28, 2021

12-18- 52-week Shares Mkt. Float BVPS P/BVPS Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Financials Outperformer AD.UN Alaris Equity Partners C$ Dec. $16.25 $16.69 $9.12 $1.24 7.7% 35.58 $578.24 33.4 $543.55 $15.51 $16.04 $16.65 - - - $16.04 1.0 11.4% 23.1% $20.00 Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Mkt. Float EBITDA ($MM) EV/EBITDA Total mo. Fiscal Price Ind O/S Cap. Shares Float ROE Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E BVPS P/B 2021E Return Target Financials Outperformer BBU Brookfield Business Ptrs. US$ Dec. $39.75 $43.68 $26.05 $0.25 0.6% 148.74 $5,912.32 55.8 $2,217.65 $1384.00 - - 8.4 - - - - - 25.8% $50.00 Source: FactSet and CIBC World Markets Inc.

38 Canadian Research Review And Common Stock Universe - April 28, 2021

Anita Soni, CFA Mohamed Sidibe, CPA (416) 594-7296 (416) 956-6759

Three Takeaways For This Issue Top Picks And Why 1. Despite a weak start to 2021 with nominal yields and a strengthening Agnico Eagle is a well-managed gold company with a lower-cost production US$, we believe that the outlook for gold remains bullish over the next base and low geopolitical risk, plus appealing organic growth and longer-term two years with the COVID-19 pandemic continuing to intensify around valuation potential. In the last bull cycle, AEM offered growth, a consistent the world, vaccination rates remaining slow, ramping fiscal stimulus, dividend and a disciplined M&A strategy, avoiding share dilution and balance and real rates firmly in negative territory. sheet risk. AEM has one of the strongest exploration pipelines in our coverage universe, and it will likely start to garner more value as the gold price rises. We 2. We forecast a strengthening gold price outlook in 2021 as we expect forecast an increasing FCF profile with a FCF yield of 6.7% for 2021E and 9.7% inflation to take hold into the back half of the year, thus pressuring real for 2022E based on our price deck. rates. Our 2021 gold price forecast is US$2,100/oz, or US$2,073/oz adjusted for Q1/21 actual prices, and US$1,650/oz long term. Barrick Gold, one of the world’s leading gold producers with a strong balance sheet and diversified portfolio, has sharpened its corporate strategy with a 3. We expect fiscal discipline, margin control and capital return to remain well-managed and lean decentralized operating model focused on core assets, in focus for the gold producers as investors hunt for stocks with maximizing FCF, and providing returns to shareholders (it recently announced a attractive free cash flow (FCF) generation and increased capital return special dividend of $750M to be paid in 2021). GOLD also prioritizes mineral to shareholders, but we consider growth as equally relevant with higher resource additions, as showcased by a solid reserve and resource update at Y/Y production possibly in sight. Stocks with a combination of FCF year-end 2020. Barrick has managed well through the pandemic and its generation, margin control and a robust development pipeline are diversified operational base should attract renewed interest from investors. preferred.

12-18- 52-week Shares Mkt. Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price Ind O/S Cap. Shares Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Materials Outperformer AEM Agnico Eagle Mines Limited US$ Dec. $65.85 $89.23 $54.66 $1.40 - 243.70 $16,110.68 242.9 $15,995.34 $1.86 $4.00 $5.43 35.3 16.5 12.1 57.9% $104.00 Outperformer BTG B2Gold Corporation US$ Dec. 5.07 7.55 4.16 0.16 - 1,051.80 5,332.63 1037.8 5,261.63 0.49 0.55 0.71 10.3 9.2 7.1 38.1% 7.00 Outperformer GOLD Barrick Gold Corporation US$ Dec. 22.16 31.22 18.64 $0.36 - 1,778.37 39,497.60 1767.9 39,177.04 1.15 1.52 1.64 19.3 14.6 13.6 64.7% 36.50 Neutral CG Centerra Gold Inc. C$ Dec. 11.56 19.59 10.65 0.20 - 295.86 US$2,758.98 217.8 US$2,030.56 US$1.64 US$2.13 US$3.31 5.7 4.4 2.8 42.7% 16.50 Outperformer EDV Endeavour Mining Corporation C$ Dec. 28.06 39.21 23.12 - 1.6 243.01 US$5,539.01 174.4 US$3,947.65 US$2.28 US$3.71 US$4.58 9.9 6.1 4.9 63.9% 46.00 Neutral EQX Equinox Gold Corp. C$ Dec. 10.57 17.99 9.76 - - 297.72 US$2,540.59 209.8 US$1,789.02 US$0.37 US$0.72 US$1.29 23.0 11.8 6.6 32.5% 14.00 Neutral IAG IAMGOLD Corporation US$ Dec. 3.33 5.35 2.86 - - 476.47 1,591.40 461.1 1,535.59 0.18 0.39 1.23 18.3 8.6 2.7 35.1% 4.50 Outperformer KGC Kinross Gold Corporation US$ Dec. 7.35 10.32 5.88 0.12 - 1,261.07 9,268.86 1248.0 9,173.08 0.77 0.92 1.40 9.5 8.0 5.3 63.3% 12.00 Neutral NGD New Gold Inc. US$ Dec. 1.72 2.40 0.77 - - 717.87 1,220.37 627.0 1,078.47 0.03 0.31 0.44 51.7 5.5 3.9 16.3% 2.00 Neutral NCM Newcrest Mining Ltd. A$ Jun. 27.64 38.15 23.09 0.38 - 815.67 US$17,419.54 815.6 US$17,574.01 US$0.95 US$1.49 US$2.04 22.6 14.4 10.6 8.5% 30.00 Outperformer NEM Newmont Corporation US$ Dec. 65.28 72.22 52.33 2.20 - 801.11 52,648.75 799.9 52,219.54 2.65 4.71 5.71 24.7 13.9 11.4 24.1% 81.00 Neutral PVG Pretivm Resources Inc. C$ Dec. 13.66 19.13 10.53 - - 187.78 US$2,066.54 181.1 US$1,995.76 US$0.95 US$1.21 US$1.58 11.6 9.1 7.0 17.1% 16.00 Outperformer AUY Yamana Gold Inc. US$ Dec. 4.81 7.02 3.99 0.11 - 965.54 4,605.65 960.6 4,620.54 0.33 0.60 0.75 14.6 8.0 6.4 87.1% 9.00 Source: FactSet and CIBC World Markets Inc.

39 Canadian Research Review And Common Stock Universe - April 28, 2021

Ioan Ilea Dean Wilkinson, CFA 416 956-6924 Zan Zhang, CFA 416 594-7194 416 594-7399 Three Takeaways For This Issue Top Pick And Why 1. If the vaccine rollout proves effective (i.e., it helps mitigate the pandemic We believe that Brookfield Asset Management continues to provide investors situation, and we are indeed in the final lockdown), then we believe the with a favorable risk/reward profile, especially for those with a longer-term recovery trade is well positioned to continue outperforming (there is horizon. material optionality on a reversion to pre-pandemic valuation levels). Lower For Longer: A fundamental pillar of our thesis is that BAM should 2. If, however, investor optimism in our ability to aptly overcome the benefit from the long-term tailwind of increased real asset allocations. A pandemic proves to have been premature (i.e., the longevity of the common pushback to this notion is that an increase in long-term interest rates pandemic is underestimated), then it stands to reason that downside would make fixed income assets relatively more attractive. We have long risk within the recovery trade has significantly increased over the course argued that such concerns are overblown (rates would have to be much higher), of the past few months. and indeed the company recently echoed this notion – stating that interest rates even as high as 4% would not represent a material headwind for AUM growth. 3. From an operational perspective, we note that if we are able to successfully exit the pandemic, and 2022 represents a largely ‘normal’ Positioned For A Range Of Environments: The pandemic has served to year, the cash-flow generating ability of REITs within the ‘recovery highlight the operational resiliency of the Brookfield platform, even through the trade’ would have been only modestly affected (below 10%) on most unprecedented of times. Despite some pockets of weakness (i.e., certain average, while REITs within the ‘safety trade’ would have actually asset classes within the property business), BAM managed to deliver record bolstered their cash-generating capacity. results in the most recent quarter.

12-18- 52-week Units Mkt. Float FFO P/FFO Total mo. Fiscal Price Ind O/S Cap. Units Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Financials Outperformer BAM Brookfield Asset Management US$ Dec. $45.33 $46.26 $29.78 $0.52 - 1,510.70 $68,480.03 1208.6 $54,785.80 $3.27 $3.26 $3.56 13.6 13.9 12.7 19.1% $54.00

Real Estate Outperformer AP.UN Allied Properties REIT C$ Dec. 41.05 44.80 31.94 1.70 - 127.30 5,225.67 126.9 5,209.24 2.29 2.37 2.47 17.9 17.3 16.6 7.2% 44.00 Neutral HOT.U American Hotel Income Prop. US$ Dec. 2.98 3.60 1.41 - - 78.50 233.93 76.1 226.78 (0.12) 0.29 0.48 NEG 10.3 6.2 9.1% 3.25 Neutral AX.UN Artis REIT C$ Dec. 10.80 11.58 7.10 0.60 - 133.60 1,442.88 120.2 1,298.16 1.41 1.33 1.34 7.7 8.1 8.1 11.1% 12.00 Outperformer APR.UN Automotive Properties REIT C$ Dec. 11.59 11.85 6.86 0.80 - 49.00 567.91 36.3 420.72 0.91 0.94 0.98 12.7 12.3 11.8 7.9% 12.50 Neutral BEI.UN Boardwalk REIT C$ Dec. 37.19 39.68 24.05 1.00 - 51.00 1,896.69 20.0 743.80 2.74 2.77 2.91 13.6 13.4 12.8 7.6% 40.00 Neutral BPY Brookfield Property Partners LP US$ Dec. 17.86 18.11 8.50 1.33 - 936.00 16,716.96 355.4 6,347.44 0.83 1.16 1.32 21.1 15.4 13.5 1.7% 18.17 Outperformer HOM.U BSR REIT US$ Dec. 11.25 11.45 9.20 0.50 - 51.90 583.88 27.1 304.88 0.61 0.62 0.73 18.1 18.2 15.4 15.6% 13.00 Neutral CAR.UN Canadian Apartment Prop. REIT C$ Dec. 55.30 56.50 42.65 1.38 - 172.80 9,555.84 167.9 9,284.87 2.27 2.31 2.46 24.4 23.9 22.5 1.3% 56.00 Neutral CHP.UN Choice Properties REIT1 C$ Dec. 14.18 14.36 11.95 0.74 - 722.73 10,248.29 276.1 3,914.85 0.92 0.94 1.01 15.4 15.1 14.0 (1.3%) 14.00 Outperformer CRR.UN Crombie REIT1 C$ Dec. 16.33 16.33 11.74 0.89 - 158.30 2,585.04 93.5 1,526.85 1.05 1.13 1.20 15.6 14.5 13.6 2.6% 16.75 Neutral CRT.UN CT REIT1 C$ Dec. 16.52 16.58 11.91 0.80 - 230.97 3,815.62 159.6 2,636.59 1.18 1.21 1.27 14.0 13.7 13.0 (3.1%) 16.00 Outperformer DIR.UN Dream Industrial REIT C$ Dec. 13.62 14.14 8.98 0.70 - 206.60 2,610.95 188.0 2,560.56 0.71 0.76 0.85 19.2 17.9 16.0 6.5% 14.50 Outperformer FCR.UN First Capital REIT C$ Dec. 17.45 17.66 11.81 0.43 - 219.30 3,826.79 219.3 3,826.78 1.01 1.04 1.14 17.3 16.8 15.3 6.0% 18.50 Outperformer GRT.UN Granite REIT C$ Dec. 78.73 79.65 62.65 3.00 - 61.80 4,865.51 61.7 4,857.64 3.98 4.33 4.57 19.8 18.2 17.2 8.0% 85.00 Outperformer HR.UN H&R REIT C$ Dec. 14.83 15.20 8.33 0.69 - 301.70 4,474.21 295.9 4,388.20 1.67 1.62 1.77 8.9 9.2 8.4 7.9% 16.00 Neutral IIP.UN InterRent REIT C$ Dec. 15.60 15.67 11.20 0.33 - 142.10 2,216.76 138.7 2,163.72 0.47 0.54 0.62 33.2 28.9 25.2 (0.6%) 15.50 Outperformer KMP.UN Killam Apartment REIT C$ Dec. 19.23 19.44 16.01 0.68 - 107.30 2,063.38 102.6 1,973.00 1.00 1.04 1.10 19.2 18.5 17.5 17.0% 22.50

40 Canadian Research Review And Common Stock Universe - April 28, 2021

12-18- 52-week Units Mkt. Float FFO P/FFO Total mo. Fiscal Price Ind O/S Cap. Units Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) Float ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Real Estate continued Outperformer MI.UN Minto Apartment REIT C$ Dec. $22.15 $22.38 $16.19 $0.46 - 59.00 $1,306.85 36.3 $804.05 $0.85 $0.88 $0.96 26.1 25.2 23.1 3.8% $23.00 Outperformer MRC Morguard Corp. C$ Dec. 119.97 150.01 96.01 0.60 - 11.10 1,331.67 4.3 515.87 18.35 20.16 22.32 6.5 6.0 5.4 37.5% 165.00 Outperformer MRG.UN Morguard NA Residential REIT C$ Dec. 15.61 16.72 12.88 0.70 - 56.30 878.84 31.1 485.47 1.20 1.21 1.31 13.0 12.9 11.9 28.1% 20.00 Neutral PLZ.UN Plaza Retail REIT1 C$ Dec. $3.93 $4.03 $2.80 $0.28 - 103.00 $404.79 83.0 $326.19 $0.35 $0.36 $0.38 11.2 10.9 10.3 1.8% $4.00 Outperformer REI.UN RioCan REIT C$ Dec. 20.52 20.52 13.73 0.96 - 317.75 6,520.19 317.7 6,520.19 1.60 1.60 1.67 12.8 12.8 12.3 7.2% 22.00 Neutral SGR.UN Slate Grocery REIT1 US$ Dec. 9.70 9.90 5.67 0.86 - 59.85 580.56 56.0 543.39 1.07 1.00 1.12 8.9 9.7 8.7 (2.1%) 9.50 Outperformer SRU.UN SmartCentres REIT C$ Dec. 28.08 28.25 18.50 1.85 - 172.20 4,835.38 135.4 3,802.03 2.20 2.00 2.08 12.8 14.0 13.5 (3.8%) 27.00 Neutral SMU.UN Summit Industrial Income REIT C$ Dec. 16.09 16.09 9.44 0.54 - 167.90 2,701.51 154.3 2,482.69 0.65 0.69 0.73 24.8 23.3 22.0 (6.8%) 15.00 Outperformer TCN Tricon Residential Inc. C$ Dec. 13.13 13.16 7.28 0.28 - 193.20 US$2,536.72 186.2 US$1,966.85 US$0.49 US$0.47 US$0.55 21.0 22.3 19.1 10.4% 14.50 Neutral TNT.UN True North Commercial REIT C$ Dec. 7.05 7.12 5.15 0.59 - 90.40 637.32 57.2 403.26 0.59 0.60 0.63 12.0 11.8 11.2 (4.3%) 6.75 Outperformer WIR.U WPT Industrial REIT US$ Dec. 16.78 16.95 9.96 0.76 - 85.80 1,439.72 69.9 1,172.92 0.89 1.04 1.09 18.5 16.1 15.4 1.3% 17.00 1. Primary coverage by Sumayya Syed. Source: FactSet and CIBC World Markets Inc. 12-18- 52-week Shares Mkt. Float Fiscal Year EPS P/E Multiples Total mo. Fiscal Price Ind O/S Cap. Shares Float Implied Price Stock Rating Symbol Company Curr. Year (4/26/21) High Low Div. Yield (MM) ($MM) (MM) ($MM) 2020 2021E 2022E 2020 2021E 2022E Return Target Real Estate Outperformer DRM DREAM Unlimited Corp. C$ Dec. $22.74 $23.41 $9.26 $0.28 - 45.00 $1,023.30 43.4 $986.92 $1.76 $1.21 $1.37 12.9 18.8 16.6 18.7% $27.00 Source: FactSet and CIBC World Markets Inc.

41 Canadian Research Review And Common Stock Universe - April 28, 2021

Important Disclosures

Analyst Certification: Each CIBC World Markets Inc. research analyst named on the front page of this research report, or at the beginning of any subsection hereof, hereby certifies that (i) the recommendations and opinions expressed herein accurately reflect such research analyst's personal views about the company and securities that are the subject of this report and all other companies and securities mentioned in this report that are covered by such research analyst and (ii) no part of the research analyst's compensation was, is, or will be, directly or indirectly, related to the specific recommendations or views expressed by such research analyst in this report.

Potential Conflicts of Interest: Equity research analysts employed by CIBC World Markets Inc. are compensated from revenues generated by various CIBC World Markets Inc. businesses, including the CIBC World Markets Investment Banking Department. Research analysts do not receive compensation based upon revenues from specific investment banking transactions. CIBC World Markets Inc. generally prohibits any research analyst and any member of his or her household from executing trades in the securities of a company that such research analyst covers. Additionally, CIBC World Markets Inc. generally prohibits any research analyst from serving as an officer, director or advisory board member of a company that such analyst covers.

In addition to 1% ownership positions in covered companies that are required to be specifically disclosed in this report, CIBC World Markets Inc. may have a long position of less than 1% or a short position or deal as principal in the securities discussed herein, related securities or in options, futures or other derivative instruments based thereon.

Recipients of this report are advised that any or all of the foregoing arrangements, as well as more specific disclosures set forth below, may at times give rise to potential conflicts of interest.

CIBC World Markets Inc. does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that CIBC World Markets Inc. may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision.

Analysts employed outside the U.S. are not registered as research analysts with FINRA. These analysts may not be associated persons of CIBC World Markets Corp. and therefore may not be subject to FINRA Rule 2241 restrictions on communications with a subject company, public appearances and trading securities held by a research analyst account. CIBC World Markets Inc. Stock Rating System

Rating Abbreviation Description Stock Ratings Outperformer OP Stock is expected to outperform similar stocks in the coverage universe during the next 12-18 months. Neutral NT Stock is expected to perform in line with similar stocks in the coverage universe during the next 12-18 months. Underperformer UN Stock is expected to underperform similar stocks in the coverage universe during the next 12-18 months. Not Rated NR CIBC World Markets does not maintain an investment recommendation on the stock. Restricted R CIBC World Markets is restricted (due to potential conflict of interest) from rating the stock.

Sector Ratings (note: Broader market averages refer to S&P 500 in the U.S. and S&P/TSX Composite in Canada.) Overweight O Sector is expected to outperform the broader market averages. Marketweight M Sector is expected to equal the performance of the broader market averages. Underweight U Sector is expected to underperform the broader market averages. None NA Sector rating is not applicable. "Speculative" indicates that an investment in this security involves a high amount of risk due to volatility and / or liquidity issues.

42 Canadian Research Review And Common Stock Universe - April 28, 2021

CIBC World Markets Inc. Price Chart

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Companies mentioned in the report but not listed are not covered by fundamental research at CIBC.

Ratings Distribution*: CIBC World Markets Inc. Coverage Universe (as of 28 Apr 2021) Count Percent Inv. Banking Relationships Count Percent Outperformer 177 59.8% Outperformer 177 100.0% Neutral 102 34.5% Neutral 101 99.0% Underperformer 8 2.7% Underperformer 8 100.0% Restricted 9 3.0% Restricted 9 100.0%

Important disclosures required by applicable rules can be obtained by visiting CIBC World Markets on the web at https://researchcentral.cibcwm.com/rcportal/legaldisclaimer. Important disclosures for each issuer can be found on Research Central Website by navigating through the following path: Company & Industry Research < Companies Listing < Ticker < Company page. Access to the system for our dissemination policy can be found at the bottom of each page on the Research Central website. These important disclosures can also be obtained by writing to CIBC World Markets Inc., 161 Bay Street, 4th Floor, Toronto, ON M5H 2S8, Attention: Research Disclosures Request.

43 Canadian Research Review And Common Stock Universe - April 28, 2021

Legal Disclaimer

This report is issued and approved for distribution by (a) in Canada, CIBC World Markets Inc., a member of the Investment Industry Regulatory Organization of Canada (“IIROC”), the Toronto Stock Exchange, the TSX Venture Exchange and a Member of the Canadian Investor Protection Fund, (b) in the United Kingdom, CIBC World Markets plc, is Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority, (c) in Australia to wholesale clients only, CIBC Australia Ltd, a company regulated by the ASIC with AFSL license number 240603 and ACN 000 067 256, and (d) in Japan, CIBC World Markets (Japan) Inc., a registered Type 1 Financial product provider with the registration number Director General of Kanto Finance Bureau #218 (collectively, “CIBC World Markets”) and (e) in the United States either by (i) CIBC World Markets Inc. for distribution only to U.S. Major Institutional Investors (“MII”) (as such term is defined in SEC Rule 15a-6) or (ii) CIBC World Markets Corp., a member of the Financial Industry Regulatory Authority (“FINRA”). U.S. MIIs receiving this report from CIBC World Markets Inc. (the Canadian broker-dealer) are required to effect transactions (other than negotiating their terms) in securities discussed in the report through CIBC World Markets Corp. (the U.S. broker-dealer). CIBC World Markets Corp. accepts responsibility for the content of this research report.

This report is provided, for informational purposes only, to institutional investor and retail clients of CIBC World Markets in Canada, and does not constitute an offer or solicitation to buy or sell any securities discussed herein in any jurisdiction where such offer or solicitation would be prohibited. This document and any of the products and information contained herein are not intended for the use of Retail investors in the United Kingdom. Such investors will not be able to enter into agreements or purchase products mentioned herein from CIBC World Markets plc. The comments and views expressed in this document are meant for the general interests of wholesale clients of CIBC Australia Ltd.

This report has been prepared by the CIBC group and is issued in Hong Kong by Canadian Imperial Bank of Commerce, Hong Kong Branch, a registered institution under the Securities and Futures Ordinance, Cap 571 (the “SFO”). This report is intended for “professional investors” only (within the meaning of the SFO) and has been prepared for general circulation and does not take into account the objectives, financial situation or needs of any recipient. Any recipient in Hong Kong who has any questions or requires further information on any matter arising from or relating to this report should contact Canadian Imperial Bank of Commerce, Hong Kong Branch at Suite 3602, Cheung Kong Centre, 2 Queen's Road Central, Hong Kong (telephone number: +852 2841 6111). Orders for Hong Kong listed securities will be executed by Canadian Imperial Bank of Commerce, Hong Kong Branch. Canadian Imperial Bank of Commerce, Hong Kong Branch has entered into an arrangement with its broker-dealer affiliates worldwide to execute orders for securities listed outside of Hong Kong for Hong Kong clients.

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The securities mentioned in this report may not be suitable for all types of investors. This report does not take into account the investment objectives, financial situation or specific needs of any particular client of CIBC World Markets. Recipients should consider this report as only a single factor in making an investment decision and should not rely solely on investment recommendations contained herein, if any, as a substitution for the exercise of independent judgment of the merits and risks of investments. The analyst writing the report is not a person or company with actual, implied or apparent authority to act on behalf of any issuer mentioned in the report. Before making an investment decision with respect to any security recommended in this report, the recipient should consider whether such recommendation is appropriate given the recipient's particular investment needs, objectives and financial circumstances. CIBC World Markets suggests that, prior to acting on any of the recommendations herein, Canadian retail clients of CIBC World Markets contact one of our client advisers in your jurisdiction to discuss your particular circumstances. Non-client recipients of this report who are not institutional investor clients of CIBC World Markets should consult with an independent financial advisor prior to making any investment decision based on this report or for any necessary explanation of its contents. CIBC World Markets will not treat non-client recipients as its clients solely by virtue of their receiving this report.

44 Canadian Research Review And Common Stock Universe - April 28, 2021

Legal Disclaimer (Continued)

Past performance is not a guarantee of future results, and no representation or warranty, express or implied, is made regarding future performance of any security mentioned in this report. The price of the securities mentioned in this report and the income they produce may fluctuate and / or be adversely affected by exchange rates, and investors may realize losses on investments in such securities, including the loss of investment principal. CIBC World Markets accepts no liability for any loss arising from the use of information contained in this report, except to the extent that liability may arise under specific statutes or regulations applicable to CIBC World Markets.

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