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NOTICE Tuesday, 19 June 2007, 8:00 (ET)
Today, along with the release of the consumer price index (CPI) for May 2007, Statistics Canada converted the official time base reference period for the CPI (the period for which the value 100 is assigned to the index) from 1992 to 2002 . This conversion was previously announced on 23 January 2007. As indicated in the Terms and Conditions of the Real Return Bonds, changes to the official time base reference period require the Government of Canada to publish, to three decimal places, the conversion factor that is used to rebase historical CPI data. The official conversion factor, rounded to three decimal places, is 1.190. The new Reference Base CPI for each outstanding RRB, effective 19 June 2007, is given below based on the above conversion factor:
Coupon (%) | Bond Maturity | New Reference CPIBase | Previous Reference CPIBase |
4.25 | 1 December 2021 | 83.07713 | 98.86178 |
4.25 | 1 December 2026 | 87.82571 | 104.51260 |
4.00 | 1 December 2031 | 91.38249 | 108.74516 |
3.00 | 1 December 2036 | 102.99160 | 122.56000 |
2.00 | 1 December 2041 | 111.21849 | 132.35000 |
RRB index ratios calculated on and after 19 June 2007 will be based on the new official time base reference period. Historical RRB index ratios calculated prior to this date will not be revised. The Index Ratio table, for June 2007 posted on the Bank of Canada's website, has been revised to take into account the change to the official time base reference period for transactions settling on or after 19 June.
Cynthia Richardson Chief Financial Markets Division Department of Finance 613 947-3919 richardson.cynthia@fin.gc.ca |
Marc Larson Assistant Director Financial Markets Department Bank of Canada 613 782-7836 mlarson@bankofcanada.ca |