Canadian Addendum

• The LEAP Canadian Addendum (Amended Feb 2011) is similar in structure to the North American physical natural gas master (NAESB) Canadian Addendum which is also an Annex to ISDA.

• Key provisions include Canadian legislation for insolvency and termination requirements, i.e. CCAA, choice of law, import/export provisions, and it allows for unit and currency differences.

• The Canadian Addendum facilitates electronic matching of transactions by providing standardized terms and conditions.

• In addition, establishing an industry standard agreement can shorten negotiation periods and reduce internal costs.

• Version 2.3a of the Canadian Addendum published in March, 2010, to align with v2.1 of the LEAP Master Agreement published in April, 2009. The purpose was also to align the addendum with the ISDA Oil Annex.

Contract Automation

• Kick-off meeting of the Canadian Electronic Contract Matching Sub-Committee was held January 20,2010

• Beta-testing began on September 1st 2010.

• E–confirmation controls are more efficient, timely and robust helping mitigate potential exposures and profit leakages.

• Use of e-confirmation processes may also assist clients in meeting regulatory requirements surrounding the confirmation process.

• Adoption of common data exchange standards transmission will facilitate the use of various matching solution choices.

•Adoption of e-confirmation practices will help drive best in class practices.

For more information, you may go to the Canadian Contract Confirmations Dashboard.