Winnipeg - The Canadian Securities Administrators (CSA) today published for comment CSA Consultation Paper 91-405 - Derivatives: End-User Exemption. The Consultation Paper, which is part of a series of proposals designed to improve the regulatory oversight of over-the-counter (OTC) derivatives in Canada, sets out the CSA Derivatives Committee's recommendations for an exemption from specific requirements being developed to regulate over-the-counter (OTC) derivatives. This end-user exemption would be available to qualifying businesses that use OTC derivatives as a risk management tool.

The paper sets out the Committee's position on the application of the proposed end-user exemption such as what criteria would be required to qualify, what criteria were considered but excluded, and what a qualifying end-user would need to do to rely on the proposed exemption.

"The CSA's commitment to establish a comprehensive framework for OTC derivatives regulation must balance the need to meet international commitments with the needs of individual market participants in Canada," said Bill Rice, Chair of the CSA and Chair and CEO of the Alberta Securities Commission. "The proposed end-user exemption would permit a business that uses OTC derivatives to manage its own business risks to continue to use these products in a cost effective manner, without increasing risk to the overall market."

Market participants are invited to submit their comments until June 15, 2012. All responses received will be published on the Autorité des marchés financiers (www.lautorite.qc.ca) and the Ontario Securities Commission (www.osc.gov.on.ca This link will open in a new window) websites.

Copies of the Consultation Paper are available on the following websites: Alberta Securities Commission This link will open in a new window, Autorité des marchés financiers, British Columbia Securities Commission This link will open in a new window, Manitoba Securities Commission This link will open in a new window, New Brunswick Securities Commission This link will open in a new window, Nova Scotia Securities Commission This link will open in a new window, Ontario Securities Commission This link will open in a new windowand Saskatchewan Financial Services Commission This link will open in a new window.

The CSA, the council of the securities regulators of Canada's provinces and territories, coordinates and harmonizes regulation for the Canadian Capital markets.

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For more information:

Carolyn Shaw-Rimmington
Ontario Securities Commission
416-593-2361

Mark Dickey
Alberta Securities Commission
403-297-4481

Sylvain Théberge
Autorité des marchés financiers
514-940-2176

Richard Gilhooley
British Columbia Securities Commission
604-899-6713

Ainsley Cunningham
Manitoba Securities Commission
204-945-4733

Wendy Connors-Beckett
New Brunswick Securities Commission
506 643-7745

Shirley Lee
Nova Scotia Securities Commission
902-424-5441

Dean Murrison
Saskatchewan Financial Services Commission
306-787-5879

Janice Callbeck
PEI Securities Office
Office of the Attorney General
902-368-6288

Doug Connolly
Financial Services Regulation Div.
Newfoundland and Labrador
709-729-2594

Helena Hrubesova
Yukon Securities Registry
867-667-5466

Louis Arki
Nunavut Securities Office
867-975-6587

Donn MacDougall
Northwest Territories Securities Office
867-920-8984