CDP Financial’s commercial paper program increases from $5 to $7 billion

CDP Financial, a wholly owned subsidiary of the Caisse de dépôt et placement du Québec ("Caisse"), is pleased to announce that the limit for its commercial paper program, comprised of short-term notes, has been raised from $5 billion to $7 billion. It will therefore continue to provide financing at advantageous rates to the Caisse’s investment groups seeking to use financial leverage to boost their investment returns. CDP Financial issues debt securities in the markets at optimal rates thanks to its high credit rating.

The commercial paper program will henceforth include a multi-currency component making it possible to offer short-term notes in pounds sterling, euros, U.S. and Canadian dollars, yen and Swiss francs. These notes will be issued from London.

"Under this program, CDP Financial fulfills its mission to provide support to the Caisse’s investment groups," states Ghislain Parent, President, CDP Financial and Caisse Executive Vice-President, Finance, Treasury and Strategic Initiatives. "Thanks to the new multi-currency component, the investment groups will be able to borrow in the currency of their choice to finance their investments."

CDP Financial has been assigned the highest issuer credit ratings by Standard and Poor's (S&P), Dominion Bond Rating Service (DBRS) and Moody's Investors Service (Moody’s). For its short-term notes program, CDP Financial has received a rating of A-1 (high) from S&P, R-1 (high) from DBRS and P-1 from Moody's. CDP Financial’s financing programs are guaranteed by the Caisse.

The Caisse de dépôt et placement du Québec is a financial institution that manages funds primarily for public and private pension and insurance plans. As at December 31, 2006, it held CA$143.5 billion of net assets. One of the leading institutional fund managers in Canada, the Caisse invests in the main financial markets as well as in private equity and real estate.