Marginal note:Definitions

• 1. (1) The following definitions apply in these Regulations.

  “approved credit rating”

  « note approuvée »

  “approved credit rating”, in respect of a security or instrument of a type described in the heading of column 2 or 3 of the schedule, means a rating that has been issued by an approved credit rating organization set out in column 1 of an item of the schedule and that is at or above the rating category set out for that type of security or instrument in column 2 or 3 of that item, or that is at or above a rating category that the approved credit rating organization has adopted to replace that rating category.

  “approved credit rating organization”

  « agence de notation agréée »

  “approved credit rating organization” means

  • (a) Dominion Bond Rating Service Limited;

  • (b) Fitch, Inc.;

  • (c) Moody’s Investors Service, Inc.;

  • (d) Standard & Poor’s Corporation; or

  • (e) a successor of an organization named in any of paragraphs (a) to (d).

  “Canadian financial institution”

  « institution financière canadienne »

  “Canadian financial institution” means

  • (a) any of the following that is authorized to carry on business under the laws of Canada or a province, namely,

    • (i) a bank,

    • (ii) an authorized foreign bank,

    • (iii) a loan company,

    • (iv) a trust company,

    • (v) an insurance company to which the Insurance Companies Act applies,

    • (vi) an insurance corporation incorporated by or under an Act of the legislature of a province,

    • (vii) a central cooperative credit society,

    • (viii) a cooperative credit association, or

    • (ix) a local cooperative credit society;

  • (b) Alberta Treasury Branches, established under the Alberta Treasury Branches Act of the Province of Alberta; or

  • (c) the Fédération des caisses Desjardins du Québec.

  “cash equivalent”

  « quasi-espèces »

  “cash equivalent” means an evidence of indebtedness that has a remaining term to maturity of 365 days or less and is issued, or fully and unconditionally guaranteed as to principal and interest

  • (a) by the Government of Canada or the government of a province;

  • (b) by the government of the United States, the government of one of the states of the United States, the government of another sovereign state or a permitted supranational agency, if the evidence of indebtedness has an approved credit rating; or

  • (c) by a Canadian financial institution, or by a financial institution that is not incorporated or organized under the laws of Canada or a province, if the evidences of indebtedness of that issuer or guarantor that are rated as short-term debt by an approved credit rating organization have an approved credit rating.

  “permitted supranational agency”

  « organisme supranational accepté »

  “permitted supranational agency” means

  • (a) the African Development Bank;

  • (b) the Asian Development Bank;

  • (c) the Caribbean Development Bank;

  • (d) the European Bank for Reconstruction and Development;

  • (e) the Inter-American Development Bank;

  • (f) the International Bank for Reconstruction and Development;

  • (g) the International Finance Corporation; or

  • (h) any person that is prescribed for the purpose of subparagraph (g)(v) of the definition “foreign property” in subsection 206(1) of the Income Tax Act.

• Marginal note:Approved credit rating

  (2) For the purposes of these Regulations, a security or an instrument is considered to have an approved credit rating only if

  • (a) an approved credit rating organization has issued an approved credit rating for the security or instrument;

  • (b) the approved credit rating organization has not made any announcement that the rating of the security or instrument may be downgraded to a rating category that would not be an approved credit rating; and

  • (c) no approved credit rating organization has rated the security or instrument in a rating category that is not an approved credit rating.