Budget Ontario Financing Authority. Ontario Financing Authority.

Transcription

1 Budget 2013 Ontario Financing Authority Ontario Financing Authority

2 Canada Overview Canadian economy expected to grow 1.6% in 2013, faster than most major advanced economies (G7) Ranked as having soundest banking system for six consecutive years 1 Lowest general government net debt-to-gdp ratio of any G7 country, and expected to remain so 1 World Economic Forum, Global Competitiveness Report (2008, 2009, 2010, 2011, 2012 and 2013). 1

3 Ontario Overview Located in prime area with close ties to many major U.S. cities Ontario has a diverse economy with direct taxation powers and stable growth Population of 13.4 million and nominal GDP of $655 billion in 2011, both roughly 40% of Canada 2

4 Ontario s Diverse Economy Structure of the Ontario Economy, 2011 (Per Cent Share of Ontario Nominal GDP) Finance, Insurance, Real Estate & Leasing 1 23% Government, Health & Education 21% Auto 2% Services (77% of GDP) Goods (23% of GDP) Primary & Utilities 4% Construction 6% Other Services 19% Manufacturing (non-auto) 11% Wholesale, Retail & Transportation & Warehousing 15% 1 Includes estimate of imputed rental income on owner occupied dwellings Canada s business and financial services and manufacturing centre About half of Canada s information and communication technology (ICT) employment One of the largest concentrations of biotechnology firms in North America Sources: Statistics Canada and Ontario Ministry of Finance. 3

5 Conservative Mortgage Market Resilient and stable mortgage market attributed to strong economic fundamentals Lower defaults and arrears reflect Canadian credit culture and more rigorous underwriting standards Share of total mortgages in arrears in Ontario was at 0.21% in the fourth quarter of 2012 In Canada, all high-ratio* residential mortgages issued by regulated financial institutions must be insured *Note: Down payments of 5% to 20% 4

6 Housing Market and Household Wealth Mortgage Carrying Cost: Canada and Ontario (As a share of disposable income per household) As Per Cent 40 Canada Ontario Household Net Worth: Canada $ Trillions p= Ontario Ministry of Finance planning projection Note: Carrying cost is based on the average five-year mortgage rate, a 25-year amortization and a 20% down payment. Sources: Statistics Canada, Canadian Real Estate Association and Ontario Ministry of Finance Source: Statistics Canada 5

7 Forecast for Sustained and Better Balanced Growth Average Annual Per Cent Change Average Annual Percentage Point Contribution to Real GDP Growth p (0.1) (0.1) (1.0) (1.2) (2.0) (3.0) Ontario Real GDP Growth Household Spending Government Residential Investment Plant & Equipment* Net Trade p = Ontario Ministry of Finance planning projection. * Includes intellectual property. Sources: Ontario Ministry of Finance and Statistics Canada. 6

8 Ontario Exports Shifting to New Markets Change in Exports (Per Cent) Services 17 Goods and Services to Other 11 Goods to the Rest of the World Goods -1 Goods and Services to Other Countries Goods to the U.S. Sources: Statistics Canada and Ontario Ministry of Finance. 7

9 Sustained Growth in Business Machinery and Equipment Spending ($ Billions, 2007) HST Implemented in July e 2013p 2014p 2015p 2016p p = Ontario Ministry of Finance planning projection. Sources: Statistics Canada and Ontario Ministry of Finance. 8

10 Job Recovery in Ontario Employment (Per Cent Change from Peak) OECD Ontario (1.0) (2.0) (3.0) U.S. (4.0) (5.0) (6.0) (7.0) Sources: Statistics Canada, U.S. Bureau of Labor Statistics and Organisation for Economic Co-operation and Development (OECD). 9

11 Attractive Demographics Current population growth rate of 1.0%, faster than in other G8 countries Ontario remains a desirable destination for immigrants to Canada, having received over 100,000 immigrants each year over the past decade Total population to rise by 31.4% to over 17.7 million by 2036 Net migration is projected to account for 68% of all population growth in the province over the period 10

12 Continued Outlook for Steady Growth Ontario Economic Outlook (Per Cent) p 2014p 2015p 2016p Real GDP Growth Nominal GDP Growth Employment Growth Unemployment Rate CPI Inflation Sources: Statistics Canada and Ontario Ministry of Finance. Actual Ministry of Finance planning projection 11

13 Ontario s Outlook Compares Favourably with G7 G7 Economic Growth, 2013 G7 Economic Growth, 2014 Average Real GDP Growth (Per Cent) Average Real GDP Growth (Per Cent) Sources: Consensus Economics (April 2013), Blue Chip Economic Indicators (April 2013) and Ontario Ministry of Finance Survey of Forecasts (April 2013) 12

14 Cutting Ontario s Marginal Effective Tax Rate (Per Cent) U.S. average (2012) OECD average (2012) Note: Ontario s marginal effective tax rate (METR) includes Ontario Corporate Income Tax (CIT) rate cuts and the HST announced in Ontario s Tax Plan for Jobs and Growth, the phase-out of Ontario s Capital Tax on July 1, 2010, and the reduction in the general federal CIT rate to 15% by Ontario's METR in 2013 reflects the proposed CIT rate freeze at 11.5 per The METRs for the U.S. and OECD countries include measures announced as of January 1, 2011 Sources: Department of Finance Canada and Ontario Ministry of Finance METRs for the U.S. and OECD countries include measures announced as of January 1, Sources: Finance Canada and Ontario Ministry of Finance. 13

15 Fiscal Outlook ($ Millions) Budget Plan 1 Current Outlook In-Year Change Total Revenue 112, ,223 1,650 Expense Programs 115, ,633 (2,140) Interest on Debt 10,619 10,372 (247) Total Expense 126, ,005 (2,387) Reserve 1,000 (1,000) SURPLUS / (DEFICIT) (14,820) (9,782) 5,037 1 Reflects the 2012 Budget plan as outlined in the April 25, 2012 fiscal update Note: Numbers may not add due to rounding Source: Ontario Ministry of Finance, 2013 Ontario Budget 14

16 Improvement of $7 billion since S&P negative outlook Fiscal Balance ($ Billions) Actual Current Outlook (14.0) (13.0) (9.8) (15.0) (14.8) -20 (19.3) Performance Budget 2012 Budget Plan 2 1 For to , actual results are presented. 2 April 25 th 2012 Fiscal Update. Source: Ontario Ministry of Finance, 2013 Ontario Budget. 15

17 Composition of Revenue Plan Revenue $116.8 Billion Other Taxes $21.3B 18% Personal Income Tax $27.6B 24% Highly diversified revenue sources Growth of 2.3% projected for Sales Tax $21.9B 19% Federal Payments $22.5B 19% Corporations Tax $11.3B 10% Other Non-Tax Revenue $7.9B 7% Income from Government Enterprises $4.5B 4% Source: Ontario Ministry of Finance, 2013 Ontario Budget Note: Numbers may not add due to rounding 16

18 Composition of Total Expense Plan Total Expense $127.6 Billion Health Sector $48.9B 38% Justice Sector $4.1B 3% Postsecondary and Training Sector $7.7B 6% Interest on Debt $10.6B 8% Other Programs $17.8B 14% Children's and Social Services Sector $14.3B 11% Education Sector* $24.1B 19% The Province s fiscal plan includes action to manage growth in program expense while protecting health and education, the two largest program expense areas The Province has also taken measures to restrain wages and pension plan contribution rates in the public and broader public sector * Excludes Ontario Teachers Pension Plan. Teachers Pension Plan expense is included in Other Programs. Note: Numbers may not add due to rounding Source: Ontario Ministry of Finance, 2013 Ontario Budget. 17

19 Average Annual Growth, to Average Annual Growth (Per Cent) (2.0) (4.0) (4.3) (6.0) Health Sector Education Sector* Postsecondary and Training Sector Children's and Social Services Sector Justice Sector Other Programs Interest on Debt * Excludes Teacher s Pension Plan. Teachers Pension Plan expense is included in Other Programs. 18

20 Strong Government Fiscal Position Net Debt-to-GDP G7 Countries, 2013 Projected Deficit-to-GDP G7 Countries, 2013 Per Cent Per Cent Sources: IMF World Economic Outlook (April 2013) and Ontario Ministry of Finance, 2013 Ontario Budget Sources: IMF World Economic Outlook (April 2013) and Ontario Ministry of Finance, 2013 Ontario Budget. 19

21 Net Debt to GDP International Comparisons Canada s and Ontario s net debt-to-gdp ratios are forecast to be well below the G7 average Net Debt-to-GDP (per cent) United States France Germany Ontario Canada United States France Germany Ontario Canada Actual Outlook Sources: IMF World Economic Outlook (April 2013) and Ontario Ministry of Finance, 2013 Ontario Budget 20

22 Interest on Debt as a Share of Revenue (Per Cent) Actual Outlook Sources: Ontario Financing Authority and Ontario Ministry of Finance, 2013 Ontario Budget 21

23 Medium-Term Borrowing Outlook Current Outlook Medium-Term Outlook ($ Billions) Deficit Investment in Capital Assets Non-Cash Adjustments (3.9) (3.1) (3.0) Net Loans/Investments Debt Maturities Debt Redemptions Total Funding Requirement Decrease/(Increase) in Short-Term Borrowing (1.5) (1.5) Increase/(Decrease) in Cash, Cash Equivalents and Temporary Investments (5.8) (0.7) Maturity of Debt Buybacks (3.7) Total Long-Term Public Borrowing Note: Numbers may not add due to rounding 22

24 Domestic and International Borrowing As of March 31, 2013 ($ Billions) Canadian dollar Foreign currencies Projected Total Note: Numbers may not add due to rounding Source: Ontario Financing Authority 23

25 Borrowing Completed: $36.6 billion As of March 31, 2013 U.S. dollar Medium- Term Notes $0.6B 2% U.S. dollar Global Bonds $9.6B 26% Syndicated Bonds $23.1B 63% Ontario Savings Bonds $0.8B 2% Domestic Floating Rate Notes $2.1B 6% Domestic Medium- Term Notes $0.4B 1% Total Borrowing Requirement: $36.6B Note: Numbers may not add due to rounding Borrowing Completed: $36.6B Domestic: 72% International: 28% Average Term: 12.4 years 24

26 Domestic Borrowing Program Benchmark borrower in the Canadian bond market issuing the following types: syndicated bonds floating rate notes medium-term notes auctions real return bonds Ontario Savings Bonds to retail investors Well-defined yield curve maintained through regular issuance of 5-year, 10-year and 30-year issues, which are re-opened to achieve benchmark size Large and diverse domestic underwriting syndicate makes active markets in Ontario bonds Large Order Procedure set up to accommodate large investors (16 deals undertaken to date) Ontario bonds accounted for about 56% of Canadian provincial bond trading in Investment Industry Regulatory Organization of Canada, 12 months ending December 31, 2011 Canadian dollar Benchmark (As of May 2, 2013) Ontario Canada 5 yr (old) 1.9% September 8, 2017 $5.25B 1.5% September 1, 2017 $10.20B 5 yr (new) 2.1% September 8, 2018 $2.50B 1.25% March 1, 2018 $10.20B 10 yr (old) 3.15% June 2, 2022 $10.75B 2.75% June 1, 2022 $12.70B 10 yr (new) 2.85% June 2, 2023 $4.00B 1.50% June 1, 2023 $14.20B Long (old) 4.65% June 2, 2041 $11.65B 5.0% June 1, 2037 $14.00B Long (new) 3.5% June 2, 2043 $11.20B 4.0% June 1, 2041 $15.80B Source: Bloomberg 25

27 U.S. Dollar Market Since 1991, core market with annual issuance Increased benchmark size based on demand, starting in U.S. dollar investors diversified both geographically and by type USD 1 by Geography USD 1 by Investor Type Americas 56% Asset Managers 36% Central Banks / Sovereign Wealth Funds 24% Middle East / Africa 3% Asia Pacific 17% Europe 24% Other 8% Insurance Companies / Pension Funds 13% Banks / Trust Companies 20% 1 Ontario U.S. dollar-denominated bonds issued in Source: Ontario Financing Authority 26

28 U.S. Dollar Market U.S. Dollar Issuance Since 2011 Date Size Coupon Maturity February 7, 2013 USD 1.0 billion 1.20% February 14, 2018 January 31, 2013 USD 500 million (FRN) 3-month U.S. LIBOR + 5 basis points August 13, 2015 November 15, 2012 USD 250 million (FRN) 3-month U.S. LIBOR + 25 basis points November 23, 2017 October 18, 2012 USD 2.25 billion 1.10% October 25, 2017 September 20, 2012 USD 1.25 billion 1.65% September 27, 2019 June 22, 2012 USD 1.0 billion 2.45% June 29, 2022 May 18, 2012 USD 3.5 billion 0.95% May 26, 2015 February 21, 2012 USD 750 million (FRN) 3-month U.S. LIBOR +15 basis points April 1, 2015 September 14, 2011 USD 2.0 billion 1.60% September 21, 2016 July 7, 2011 USD 1.0 billion 3.00% July 16, 2018 May 3, 2011 USD 3.0 billion 2.30% May 10, 2016 January 21, 2011 USD 3.5 billion 1.375% January 27, 2014 Ontario has been expanding its U.S. dollar global investor base which has allowed it to increase its benchmark issue size while still offering attractive spreads and the potential of positive spread performance. Issues have tended to be oversubscribed, with some deals having more than 100 investors. Source: Bloomberg and Ontario Financing Authority, May 2,

29 U.S. Dollar Performance Asset Swap Spread: 5-Year U.S. Dollar Spread to ASW (bps) 70 ONT /10/16 EIB 2 1/4 03/15/16 KfW /16/ Source: Bloomberg Analytics, May 2,

30 Asset Swap Levels Bond Spread to LIBOR (bps) Z Spread to TSY (bps) ONT 4.5 per cent Feb ONT 0.95 per cent May ONT 2.7 per cent June ONT per cent Sept ONT 4.75 per cent Jan ONT 1.6 per cent Sept ONT 4.95 per cent Nov ONT 1.1 per cent Oct ONT 3.15 per cent Dec ONT 3.0 per cent Jul ONT 4.4 per cent April ONT 2.45 per cent June Source: RBC Capital Markets, May 1,

31 Euro Market Provides good opportunity to diversify investor base in Europe and extend the term of the offerings Over the past year, it has been too expensive relative to other financing options Euro uncertainty has created challenging conditions euro 1 by Geography euro 1 by Investor Type 1 Ontario euro-denominated bonds issued in fiscal Note: Numbers may not add due to rounding Source: Ontario Financing Authority 30

32 Total Debt Composition C$ Billion outstanding (as at March 31, 2013) Non Public Debt, $13.6B, 5% Treasury Bills and U.S. Commercial Paper, $19.6B, 7% Outstanding Foreign Currency Debt Currency Debt Outstanding % U.S. dollar $50.8B 74.4% Euro $9.0B 13.2% Domestic Bonds Syndicated bonds Medium-term notes Floating rate notes Ontario Savings Bonds Bond auctions Real return bonds Domestic Bonds, $181.9B, 65% International Bonds, $66.0B, 23% Swiss franc $3.3B 4.8% Japanese yen $1.7B 2.5% Australian dollar $0.9B 1.3% Norwegian kroner $0.8B 1.2% New Zealand dollar $0.6B 0.9% U.K. Pound sterling $0.6B 0.9% Hong Kong dollar $0.5B 0.7% South African rand $0.1B 0.1% Note: Numbers may not add due to rounding Source: Ontario Financing Authority 31

33 Maturity Profile of Outstanding Issues As of March 31, 2013 ($ Billions) Canadian Dollar Foreign Currencies Note: Dates represent fiscal years ending March 31 st of the following year 32

34 Risk Management Foreign exchange exposure of 0.8% of outstanding debt as of March 31, Policy limit is 5.0% of debt Floating rate exposure of 8.9% as of March 31, 2013 (i.e. net floating rate exposure plus debt maturing within one year). Policy limit is 35.0% of debt Monitor and manage debt maturity profile to limit refinancing risk High level of liquid reserves Strict credit limits for financial and investment counterparties Collateralized swap agreements in place for most swap counterparties Ontario treasury bills and U.S. commercial paper are very well received in the money markets and provide additional borrowing capacity if required Note: Excludes Ontario Electricity Financial Corporation debt 33

35 Credit Ratings Rating Agencies Current Ratings Long-Term Current Ratings Short-Term Standard & Poor's AA- (N) A-1+ Moody s Aa2 P-1 DBRS AA (low) R-1 (mid) Ontario s debt has a zero risk-weighting in Canada, U.S., Australia, Singapore, U.K., France, Germany, Italy, Luxembourg, Belgium, Norway, Finland, Denmark and Ireland 34

36 Summary Current Ontario spreads represent value for investors A highly liquid market exists for Ontario bonds We maintain a responsive and flexible approach in dealing with markets The government is taking action to manage growth in expense to overcome the fiscal challenges facing the province For up-to-date information on our borrowing program, please visit our website. To arrange a one-on-one meeting with our funding team, please visit our website to send a message to the Investor Relations Manager 35

37 APPENDIX 36

38 Federal vs. Provincial Division of Powers Expenditure responsibilities of federal and provincial governments are described in the Constitution Act, 1867 Provincial government responsible for: hospitals, health care, education (including universities and colleges), highways, social programs and municipal governments Provinces retain discretion over expense decisions and are free to modify their expenses to meet policy objectives Provinces have ability to borrow, but do not control monetary policy Provincial governments do not require a vote or supermajority, as in some American states, to raise revenues or cut expenses Unfettered access to a broad range of tax bases and the ability to alter expenditure programs provide Ontario, and all Canadian provinces, with a high degree of fiscal policy flexibility that is more akin to that of sovereign governments than to many of their international sub-sovereign peers. Moody s Investors Services 37

39 Federal Transfers to the Provinces Federal transfers to the provinces support provincial program spending All provinces receive health and social transfers from the federal government; some provinces receive equalization payments Provinces have considerable flexibility in how transfer payments are used, in contrast to U.S. states which receive conditional transfers Transfer Canada Health Transfer Used for Supporting health care spending in provinces and territories Canada Social Transfer Supporting postsecondary education and social programs Equalization Addressing fiscal disparities among provinces 38

40 Equalization Equalization is the federal government s transfer program for addressing fiscal disparities among provinces Ontario will receive an Equalization payment of almost $3.3 billion in This is up from the $2.2-billion payment in In , Ontario will contribute approximately $6 billion to the Equalization program Ontario s entitlement is $249 per capita compared to an average per capita entitlement of $1,605 among other receiving provinces 39

41 Ontario Compared to U.S. States Credit Ratings Financing Federal Support Public Pensions ONTARIO Ontario is a strong investment grade credit and has a stable ratings outlook. Moody s credit rating relies on joint default analysis which builds in the strong likelihood of federal support. Despite higher debt levels, Ontario credit ratings are stronger than a number of U.S. states Well developed access to international capital markets. Sophisticated debt management practices fixed and floating rate debt, public and private placement. All bonds issued by the province are General Obligation Bonds Strong federal partner. Federal transfers include health, social and equalization. Transfers account for about 20 per cent of Provincial revenues, and province has considerable flexibility in how funds are used. Federal transfers more secure - multi-year formula agreements. Canada s Pension Plan is fully funded with total assets of $148 billion at the end of , increasing $20 billion last year. Joint trusteeship for Ontario Teachers Pension Plan and Ontario Public Service Union. Sole sponsor of the Public Service Pension Plans. Ontario's pension plans have net assets of $5.4 billion on a Public Sector Accounting Board accounting basis. On a valuation basis, they have a small unfunded liability with special payments being made over 15 years to fund the shortfall. U.S. Pressure on U.S. rating could negatively affect states. State and local credit ratings under pressure. Moody s - downgrade to upgrade ratio - highest in 3 years. Material differences in fiscal make-up are an important reason why the two are not considered peers by credit rating agencies. Bonds are often tied to certain revenue streams. Issuing General Obligation Bonds may require voter approval or legislative backing. Federal support could be jeopardized by cutbacks which increases uncertainty. U.S. states receive conditional transfers. No federal program aimed explicitly at reducing the disparities in state fiscal capacity. U.S. Social Security Trust Fund has a large unfunded liability. Large unfunded pension liability and growing post-employment liability. Aggressive discount rate assumptions. Governments are raiding pension funds to meet budget pressures. 40

42 Ontario Compared to U.S. States Cont d Spending Revenue Balanced Budget ONTARIO Constitutional authority over health and education spending which accounts for close to two-thirds of total program spending. Federal government provides support for health and social spending Ontario s taxation powers is akin to sovereign nations. Unfettered access to broad range of tax base including: personal and corporate income tax, sales, payroll and property taxes. Simple majority of legislature required to raise taxes which gives the province a high degree of fiscal policy flexibility Financial Transparency and Accountability Act requires the government to develop a recovery plan for achieving a balanced budget. Can use fiscal policy as shock absorber in times of economic weakness. Planning assumptions are conservative, prudence and contingency built in. Plan to return to balance by U.S. Health care and education funded by private sector and various levels of government. Dedicated tax structure funds education Limitations under state constitutions to levy and collect taxes vary widely. Voter approval required to raise taxes. Some states require super majority in legislature or even a referendum to raise taxes which severely limits flexibility. Revenue sources include: personal and corporate income tax. Most states collect sales tax and some states collect property taxes. All U.S. states, except Vermont, are prevented from planning for operating deficits, with fiscal restraints generally embedded in state constitutions or other legislation. Fiscal tightening has put strain on weak economy and reduced liquidity. Planning assumptions can be aggressive. Many states have relied on special balances/reserves to meet budget requirements and funds getting depleted. 41

43 Mortgage Default Mortgage-Backed Securities Mortgage Insurance Government Agency Canada Compared to U.S. Housing Market CANADA Canada Mortgage and Housing Corporation (CMHC) is Canada s national housing agency Established as a government-owned corporation in 1946 to address Canada s post-war housing shortage Canada s premier provider of mortgage loan insurance, mortgagebacked securities, housing policy and programs, and housing research No policy goal of increasing home ownership Bank Act prohibits federally regulated banks from providing residential mortgages without mortgage loan insurance if loan is greater than 80 per cent of the purchase price or value of the home Insurance covers the entire amount of the loan and is for the entire life of the mortgage Roughly 29 per cent of Canadian mortgages are securitized Almost all securitized Canadian mortgages are funded by mortgage-backed securities (MBS) guaranteed by CMHC under National Housing Act Over half of those MBS were held by the Canada Housing Trust, funded by CMHC-guaranteed Canada Mortgage Bonds (CMBs) Mortgages are typically full-recourse loans Borrower continues to be responsible for repaying the loan even in the case of foreclosure Lenders can take legal action to recoup money from homeowner if foreclosed home is sold for less than the amount owing on the mortgage, plus many of the costs incurred by the lender U.S. Government-sponsored enterprises, Federal Home Loan Mortgage Corporation (Freddie Mac) and Federal National Mortgage Association (Fannie Mae) National mortgage finance companies which keep money flowing to mortgage lenders to help strengthen the U.S. housing and mortgage markets and to support affordable homeownership Do not offer home loans Securitize or buy mortgage loans from originating lenders Lenders are not legally required to use mortgage loan insurance However, because Fannie Mae and Freddie Mac are prohibited from purchasing uninsured mortgages when the borrower makes a down payment of less than 20 per cent, U.S. lenders often require mortgage loan insurance Roughly 60 per cent of American mortgages are securitized In many U.S. jurisdictions, mortgages are non-recourse Borrowers can often walk away from their homes and the associated mortgage debt, leaving lenders with no recourse beyond the property Source: CMHC 42

44 Canada s Sound Pension System Canada has a well diversified, public and private pension system The proportion of Canada s retirement incomes coming from private pensions and other financial assets is one of the highest among OECD countries Canada is ranked highest for all G7 nations and 5th overall in the latest Mercer Global Pension Index The Canada Pension Plan is fully funded with total assets of $152.8 billion as at December 31,

45 Mercer Global Pension Index Canada ranks fifth among countries surveyed in the 2012 Mercer Global Pension Index Study (Delivers good benefits, is sustainable and has a high level of integrity) Overall Rankings Source: Australian Centre for Financial Studies (2012), Melbourne Mercer Global Pension Index. 44

46 Public Expenditure on Old-Age Benefits Per Cent of GDP Source: Pensions at a Glance 2011: Retirement-Income Systems in Organization for Economic Cooperation & Development (OECD)Countries (2011). 45

47 Old-Age Income Poverty Rates In An Aging Society Per Cent of population over 65 years old with incomes below half of the population median Source: Organization for Economic Co-operation & Development (OECD 2011), Pensions at a Glance: Retirement-Income Systems in OECD Countries. 46

48 Sustaining Population Growth through Migration Percentage change in population 1997 to 2009 and contribution of net migration 25 Net migration Natural increase Source: Organization for Economic Co-operation & Development (OECD 2011). Factbook 2011: Economic, Environmental and Social Statistics 47

49 Legal Notice This presentation was compiled by the Ontario Financing Authority. This information is intended for general information purposes only and does not constitute an offer to sell or a solicitation of offers to purchase securities. It has not been approved by any securities regulatory authority and it is not sufficient for the purpose of deciding to purchase securities. It may have errors or omissions resulting from electronic conversion, downloading or unauthorized modifications. Statements in this presentation may be forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of Such forward-looking statements involve uncertainties, risks, and other factors which could cause the state of Ontario s economy to differ materially from the forecasts and economic outlook contained expressly or implicitly in such statements. The province of Ontario undertakes no obligation to update forward-looking statements to reflect new information, future events or otherwise, except as may be required under applicable laws and regulations. While the information in this presentation, when posted or released, was believed to be reliable as of its date, NO WARRANTY IS MADE AS TO THE ACCURACY OR COMPLETENESS OF THIS DOCUMENT OR THE INFORMATION IT CONTAINS. 48

50 Investor Relations Ontario Financing Authority 1 Dundas Street West, Suite 1200 Toronto, Ontario M5G 1Z3 Canada Telephone: (416) Visit & subscribe to our alert service to receive the latest province of Ontario updates.