CDS Broker Information

Sagicor Financial Company Ltd (Sagicor) wishes to share some important information concerning The Canadian Depository for Securities Limited (CDS) and its handling of withholding tax on declared dividends for Sagicor.

Sagicor is a Bermuda domiciled company that is tax resident in Barbados. As such, a 5% withholding tax is applied by TMX Trust, as Sagicor’s dividend paying agent, to the Gross Rate (based on Barbados withholding requirements) on declared dividends to CDS. The Net Rate is then paid to CDS for distribution to its broker Participants.

As the amount paid to CDS has already been reduced for applicable withholding taxes, no further deductions should be made from amounts credited to their clients on account of withholding taxes.

Shareholders should consult with their own tax advisors for assistance and guidance concerning their own particular situation.

The information above does not constitute legal, taxation or other advice and should not be treated as such. Shareholders should consult with their own tax advisors for assistance and guidance concerning their own particular situation.