June 28, 2016

RE: IMPORTANT NOTICE

As you may be aware, Canada Post and the Canadian Union of Postal Workers (“CUPW)”
have been in contract negotiations since late 2015 to reach a new agreement for about
50,000 workers. CUPW members are expected to have a strike vote sometime this month.
If an agreement is not reached the union estimates a legal strike or lockout date could come by July 2, 2016

What is ADS recommending?

ADS is examining alternate arrangements in the event of a service disruption. ADS will be holding cheques sent via Canada Post beginning June 29, 2016 to avoid any potential mail lost in transit. All cheques will be mailed upon resolution of this impasse. We found this worked well in the past. Cheques sent via ICS and payments via EFT will not be affected. You may wish to consider setting up EFT for all payments going forward.

What has happened in the past?

For your information, the last strike occurred in 2011 when Canada Post locked out CUPW members after rotating strikes by CUPW. The strike lasted approximately two weeks as back to work legislation was passed in the Canadian Legislature. In 1997 there was a strike by CUPW that shut down postal service for approximately two weeks. The Liberal government voted for back-to-work legislation to end the strike.

What should you do?

Please contact the ADS customer service line 1-800-268-8661 if you wish to inquire about your specific situation.

We continue to monitor the potential strike situation via our Canada Post representative, and will provide updates as they are made available. Updated information can be found at ads.scotiabank.com.

Advisor Deposit Services is committed to delivering an excellent customer service and is seeking every means to lessen the impact of a potential Canada Post work stoppage.

Sincerely,

Scotiabank Advisor Deposit Services