CWB announces update on shareholder meetings
EDMONTON, March 6, 2013 – Canadian Western Bank (CWB or “the Bank") today announced its decision not to proceed with the proposed amendment to “By-law Three”, as described in its management proxy circular distributed to common and preferred shareholders in January 2013. The resolution proposed to increase the authorized First Preferred shares outstanding at any time to $2 billion.
The decision not to proceed reflects the Bank’s view that the intent and benefits of the resolution to shareholders were not clearly explained by CWB. This includes the fact that any preferred shares issued under the Basel III regulatory capital framework for federally regulated financial institutions are required to be converted to common shares upon any circumstance of non-viability. The Basel III framework became effective for Canadian banks on January 1, 2013.
Based on the foregoing, the resolution will not be presented for approval at the annual and special meeting of common shareholders to be held on March 7, 2013. Accordingly, no proxies received from common shareholders will be voted in respect of this resolution. As this resolution was the only matter to be presented at the concurrent special meeting of First Preferred shareholders (the "Preferred Shareholder Meeting"), this meeting has been cancelled. The annual and special meeting of common shareholders will proceed as scheduled. The Bank will better explain and put forth the amendment to “By-law Three” at a future date.
For further information contact:
Kirby Hill, CFA
Director, Strategy & Communications
Canadian Western Bank
Phone: (780) 441-3770