MORNING NEWS CALL REUTERS Canada Edition Wednesday, November 29, 2017

TOP NEWS • OPEC, Russia set for oil cut extension but wary of overheating market OPEC and Russia look set to prolong oil supply cuts until the end of 2018 this week while signalling that they may review the deal when they meet again in June if the market overheats. • RBC's fourth-quarter earnings beat market expectations Royal Bank of Canada reported fourth-quarter earnings that beat market expectations helped by strong growth in its retail banking, investment banking and wealth management businesses. • Bitcoin tops $10,000, marks 10-fold increase in 2017 Virtual currency bitcoin soared to an all-time high above $10,000 on major exchanges and digital currency indexes, including the widely followed Luxembourg-based trading platform BitStamp. • PSA seeks Opel refund from GM over CO2 emissions Peugeot maker PSA Group, which paid General Motors 1.3 billion euros for Opel, now wants about half of the money back after dis- covering the full extent of its CO2 emissions challenges and exposure to European fines, sources told Reuters. • Uber's third-quarter net loss widens to $1.46 billion – source Uber Technologies' quarterly losses widened, a source familiar with the matter told Reuters on Tuesday, as the ride-hailing company wades through legal troubles and faces regulatory scrutiny across the globe.

BEFORE THE BELL Stock futures pointed to a higher opening for Canada's main stock index following Royal Bank of Canada's strong quarterly results. Wall Street aimed at a higher opening as investors gauged signs of progress in U.S. President Donald Trump’s tax cut bill. Britain’s FTSE dragged European shares lower after Britain and EU reportedly reached a deal on the Brexit divorce bill. Asian markets closed mostly higher despite North Korea's latest missile launch. The U.S. dollar dipped against a basket of currencies, and gold edged higher. Oil prices dipped amid uncertainty over the outcome of the OPEC meeting and a surprise rise in crude inventories.

STOCKS TO WATCH

Results • Royal Bank of Canada (RY). The lender reported fourth-quarter earnings that beat market expectations helped by strong growth in its retail banking, investment banking and wealth management businesses. Earnings per share excluding one-off items rose to C$1.92 in the quarter from C$1.65 a year ago. Analysts had on average forecast earnings of C$1.87. Net income rose 12 percent in the quarter to C$2.8 billion. The bank's personal & commercial banking business increased net income by 19 percent to C$1.4 billion benefiting from sales growth and improved margins following recent rate hikes by the Bank of Canada. Net income at the bank's capital markets business rose by 21 percent to C$584 driven in part by the recovery of funds previously written off to cover bad loans and demand for fixed income products, the bank said.

In Others News • TransCanada Corp (TRP). Keystone crude pipeline must operate at a 20 percent pressure reduction after it restarts, the U.S. pipeline regulator said on Tuesday, nearly two weeks after the line was shut after it leaked 5,000 barrels of oil in South Dakota. The pipeline restarted on Tuesday, a spokesman said, although he added there was no timeline for when the Pipeline and Hazardous Materi- als Safety Administration would allow it to return to full capacity. It is not clear when the pressure restriction would be removed, although the order notes the Director may allow the removal or modification upon written request from TransCanada demonstrating that restoration to normal pressure is justified.

MORNING NEWS CALL - CANADIAN EDITION November 29, 2017

INSIGHT Build fast, fix later: speed hurts quality at Tesla, some workers say After Tesla’s Model S sedans and Model X SUVs roll off the company’s Fremont, California assembly line, the electric vehicles usual- ly make another stop - for repairs, nine current and former employees have told Reuters.

ANALYSTS' RECOMMENDATION • Alimentation Couche-Tard Inc (ATDb). CIBC raises price target to C$77 from C$71 saying the company’s solid Q2 results high- lights the strength of its diversified platform and evolving consumer offering. • Bank of Nova Scotia (BNS). RBC raises target price to C$91 from C$87 citing continued growth in International P&C. • Mountain Province Diamonds Inc (MPVD). RBC cuts target price to C$3.70 from C$4.40 following the company’s proposed debt refinance.

ECONOMIC EVENTS No economic indicators are scheduled for release.

COMPANIES REPORTING RESULTS Nov 29: Descartes Systems Group Inc (DSG). Expected Q3 earnings of 10 cents per share Destiny Media Technologies Inc (DSY). Expected Q4 earnings of break even per share Royal Bank of Canada (RY). Expected Q4 earnings of C$1.87 per share

Nov 30: Canadian Imperial Bank of Commerce (CM). Expected Q4 earnings of C$2.59 per share Toronto-Dominion Bank (TD). Expected Q4 earnings of C$1.39 per share

CORPORATE EVENTS 08:00 Cronos Group Inc (MJN). Q3 earnings conference call 08:00 Royal Bank of Canada (RY). Q4 earnings conference call 16:30 Golden Leaf Holdings Ltd (GLH). Q3 earnings conference call 17:00 Descartes Systems Group Inc (DSG). Q3 earnings conference call

EXDIVIDENDS Ag Growth International Inc (AFN). Amount C$0.20 Alaris Royalty Corp (AD). Amount C$0.14 Alterra Power Corp (AXY). Amount C$0.01 ARC Resources Ltd (ARX). Amount C$0.05 Atrium Mortgage Investment Corp (AI). Amount C$0.07 AutoCanada Inc (ACQ). Amount C$0.10 Automotive Finco Corp (AUV). Amount C$0.02 Badger Daylighting Ltd (BAD). Amount C$0.04 Barrick Gold Corp (ABX). Amount $0.03 Bird Construction Inc (BDT). Amount C$0.03 Boralex Inc (BLX). Amount C$0.15 Brompton Lifeco Split Corp (LCS). Amount C$0.08 Brompton Split Banc Corp (SBC). Amount C$0.10 Brookfield Asset Management Inc (BAMa). Amount $0.14 Brookfield Real Estate Services Inc (BRE). Amount C$0.11

2 MORNING NEWS CALL - CANADIAN EDITION November 29, 2017

Callidus Capital Corp (CBL). Amount C$0.10 Canadian Banc Corp (BK). Amount C$0.11 Canadian Life Companies Split Corp (LFE). Amount C$0.10 Cara Operations Ltd (CAO). Amount C$0.10 Cardinal Energy Ltd (CJ). Amount C$0.04 CES Energy Solutions Corp (CEU). Amount C$0.00 Chartwell Retirement Residences (CSH_u). Amount C$0.05 Chesswood Group Ltd (CHW). Amount C$0.07 Chorus Aviation Inc (CHR). Amount C$0.04 CI Financial Corp (CIX). Amount C$0.12 Cineplex Inc (CGX). Amount C$0.14 Crescent Point Energy Corp (CPG). Amount C$0.03 Decisive Dividend Corp (DE). Amount C$0.03 Dividend 15 Split Corp (DFN). Amount C$0.10 Dividend 15 Split Corp II (DF). Amount C$0.10 Dividend Growth Split Corp (DGS). Amount C$0.10 Dividend Select 15 Corp (DS). Amount C$0.07 Enerplus Corp (ERF). Amount C$0.01 Exchange Income Corp (EIF). Amount C$0.18 Extendicare Inc (EXE). Amount C$0.04 Financial 15 Split Corp (FTN). Amount C$0.13 Firm Capital Mortgage Investment Corp (FC). Amount C$0.08 First National Financial Corp (FN). Amount C$1.25 Freehold Royalties Ltd (FRU). Amount C$0.05 Gamehost Inc (GH). Amount C$0.06 Granite Oil Corp (GXO). Amount C$0.04 High Arctic Energy Services Inc (HWO). Amount C$0.02 Holloway Lodging Corp (HLC). Amount C$0.04 Integrated Asset Management Corp (IAM). Amount C$0.02 K Bro Linen Inc (KBL). Amount C$0.10 Life & Banc Split Corp (LBS). Amount C$0.10 Mainstreet Health Investments Inc (HLPu). Amount $0.06 Medical Facilities Corp (DR). Amount C$0.09 Molson Coors Canada Inc (TPXa). Amount C$0.52 Morneau Shepell Inc (MSI). Amount C$0.07 Mullen Group Ltd (MTL). Amount C$0.03 North American Energy Partners Inc (NOA). Amount C$0.02 North American Financial 15 Split Corp (FFN). Amount C$0.10 Northland Power Inc (NPI). Amount C$0.09 Park Lawn Corp (PLC). Amount C$0.04 Peyto Exploration & Development Corp (PEY). Amount C$0.11 Pivot Technology Solutions Inc (PTG). Amount C$0.04 Pizza Pizza Royalty Corp (PZA). Amount C$0.07 PrairieSky Royalty Ltd (PSK). Amount C$0.06 Rocky Mountain Dealerships Inc (RME). Amount C$0.12 Sentry Select Primary Metals Corp (PME). Amount C$0.03 Sienna Senior Living Inc (SIA). Amount C$0.08 Stingray Digital Group Inc (RAYa). Amount C$0.05 Student Transportation Inc (STB). Amount $0.04 Superior Plus Corp (SPB). Amount C$0.06 Surge Energy Inc (SGY). Amount C$0.01 Sylogist Ltd (SYZ). Amount C$0.08

3 MORNING NEWS CALL - CANADIAN EDITION November 29, 2017

TDb Split Corp (XTD). Amount C$0.05 Timbercreek Financial Corp (TF). Amount C$0.06 TORC Oil & Gas Ltd (TOG). Amount C$0.02 Trez Capital Mortgage Investment Corp (TZZ). Amount C$0.06 Trez Capital Senior Mortgage Investment Corp (TZS). Amount C$0.05 TWC Enterprises Ltd (TWC). Amount C$0.02 Vermilion Energy Inc (VET). Amount C$0.22 Whitecap Resources Inc (WCP). Amount C$0.02

(All analysts' estimates are according to Thomson Reuters I/B/E/S)

PICTURE OF THE DAY

Canada's Prime Minister Justin Trudeau wipes away tears while delivering an apology to members of the LGBT commu- nity who were discriminated against by federal legislation and policies, in the House of Commons on Parliament Hill in Ottawa, Ontario, Canada, November 28. REUTERS/Chris Wattie

(Compiled by Erum Khaled and Nivedita Balu in Bengaluru) NEWS ACCESS MADE EASY Reuters Top News page displays a range of market and sector-specific subjects For questions or comments about this report, contact: including: US, Europe and Asian companies, fixed income, credit, the global [email protected] economy, emerging markets, corporate finance and industry sectors. To access Reuters Top News To launch a Co-branded Morning News Call from your firm, contact: -- Thomson ONE: Click News tab, Select Front Page from top right, Click Top [email protected] News.

For more information about our products: © 2017 Thomson Reuters. All rights reserved. This content is the intellectual thomsonreuters.com/products_services property of Thomson Reuters and its affiliates. Any copying, distribution or Or send us a sales enquiry at: redistribution of this content is expressly prohibited without the prior written thomsonreuters.com/products_services/financial/contactus/ consent of Thomson Reuters. Thomson Reuters shall not be liable for any errors or delays in content, or for any actions taken in reliance thereon. Thom- son Reuters and its logo are registered trademarks or trademarks of the Thom- son Reuters group of companies around the world.