CDS Clearing and Depository Services Inc. delivers $7 million holiday bonus
to Canada's securities industry

TORONTO, Dec. 23 /CNW/ - CDS Clearing and Depository Services Inc. (CDS) announced that it will distribute a $7 million (plus applicable taxes) rebate to participants. The rebate is due to CDS's effective containment of operating expenses and significantly higher market volumes (and corresponding revenue) in: domestic clearing services; depository, custodial and entitlement services; and international services. The rebate was credited to eligible firms on December 13, 2010.

This year's rebate is in addition to $4.6 million in participant savings due to price decreases in 2010 and a further $2.6 million in savings provided through volume discounts applied to certain services over the course of the year.

Firms who used CDS's domestic clearing services; depository, custodial and entitlement services; and international services during fiscal 2010 were recipients of the rebate.

"In an environment of exponential growth in trading activity, CDS has more than kept pace with the demand for cost-effective services," said Ian A. Gilhooley, president and CEO. 

Here are some noteworthy facts:

• In 2005, the average exchange trade cost $0.18 to clear and settle. Today, that same trade would cost less than $0.05 to clear and settle.
• Over the last five years
• CDS participants benefited from a total of $33.1 million in volume discounts
• CDS participants received a total of $48.5 million in revenue rebates.

As a cost-recovery organization, CDS is dedicated to providing value to its customers. With 40 years at the core of Canada's capital markets, CDS is proud of its legacy of delivering secure and reliable services, efficient pricing and innovative solutions.

About CDS Clearing and Depository Services Inc.
CDS Clearing and Depository Services Inc. is Canada's national securities depository, clearing and settlement hub - supporting Canada's equity, fixed income and money markets, holding over $3 trillion on deposit and handling over 320 million domestic securities trades annually.

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For further information:

Janet Comeau, Director, Corporate Communications,
The Canadian Depository for Securities Limited, [phone], [email protected]