Trading – Interest Rate Derivatives Trading – Equity and Index Derivatives Back-office – Futures

Back-office - Options Technology Regulation

CIRCULAR 097-16 July 19, 2016 POSITION LIMITS STOCK AND TRUST UNIT OPTIONS EXCHANGE TRADED FUND UNIT OPTIONS SECTOR INDEX OPTIONS INDEX OPTIONS CURRENCY OPTIONS

Please be advised that the position limits for all stock and trust unit options, exchange traded fund unit options, sector index options, index options and currency options listed at Bourse de Montréal Inc. (the Bourse) are outlined in the attached list. These position limits are applicable to the aggregated option positions on the same side of the market relating to the same underlying interest (whether long or short) in accordance to article 6651 of the Rules of the Bourse. These new limits are effective as of the open of the next business day. Position limits for stock and trust unit options and Exchange Traded Fund unit options are established and published on a quarterly basis by the Bourse based on the number of shares or units outstanding and the most recent six-month trading volume of the underlying security, in accordance with article 6651 of the Rules of the Bourse. It is important to note that for any account, subparagraph D) 2 of article 6651 of the Rules of the Bourse allows to hold, for each class of options, an additional quantity of contracts not exceeding the position limit established by the Bourse for this class when such account holds either one of the hedge positions defined in subparagraphs D) 1.a) to D) 1.d) of this article. This effectively means that when options contracts are used for hedging purposes, position limits are doubled. Although it is not necessary to ask for any authorization from the Bourse to take advantage of this provision, approved participants and their clients who decide to use it must be able, upon request, to demonstrate their hedge position to the Bourse. For cases where the above-mentioned increased position limit is insufficient or where the combination used for hedging purposes is different from those that are defined in the above-mentioned subparagraphs, approved participants and their clients can take advantage of the provisions of paragraph E) of article 6651 of the Rules and of Policy C-1 of the Bourse in order to ask, on behalf of a bona fide hedger, for an exemption from the position limits set by the Bourse. Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16

Page 2

It must also be noted that article 6653 of the Rules of the Bourse provides that position limits can be adjusted following a stock split or a share consolidation of the securities underlying an option contract. In accordance with article 14102 of the Rules of the Bourse, we remind you that each approved participant must file daily with the Bourse, in the prescribed manner, no later than 9:00 a.m. (ET) on the business day following the one for which the positions must be reported, a report detailing all gross positions held for its own account or for an account or group of accounts which are all owned by the same beneficial owner in derivative instruments listed on the Bourse when these gross positions exceed the reporting thresholds prescribed by the Bourse. As per article 14102 sub-article 6 paragraph A) all approved participants must report positions in excess of 250 contracts in the case of stock and trust unit options, 500 contracts in the case of Exchange Traded Fund unit options and currency options, 15,000 contracts in the case of index options and 1,000 contracts in the case of sector index options.

Please note that an MS Excel version of this circular is available in the LOPR section of the Regulatory Division of the Bourse website http://reg.m-x.ca/en/lopr/. For further information, please contact Mr. Ricardo Pagaza, Junior Market Analyst, Regulatory Division, at 514 787-6485, or by e-mail at [email protected]

Brian Z. Gelfand

Vice-President and Chief Regulatory Officer

Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16

Page 3

POSITION LIMITS - STOCK AND TRUST UNIT OPTIONS July 2016 Underlying symbol

Company Name

Position Limit

AAV ABX AC ACO.X ACQ AD AEM AFN AGF.B AGI AGU AIM AKG ALA AP.UN AQN AR ARE ARX ASR ATA ATD.B ATH ATP AVO AX.UN AYA BAD BAM.A BBD.B BB BCB BCE BDI BEI.UN BEP.UN BIP.UN BIR BLX BMO

Advantage Oil & Gas Ltd.

250 000 250 000 250 000 50 000 50 000 50 000 250 000 25 000 50 000 250 000 75 000 200 000 250 000 200 000 75 000 250 000 250 000 75 000 250 000 250 000 75 000 250 000 250 000 50 000 50 000 75 000 250 000 50 000 250 000 250 000 250 000 75 000 250 000 75 000 75 000 75 000 75 000 250 000 50 000 250 000

Barrick Gold Corporation Air Canada ATCO Ltd. AutoCanada Inc. Alaris Royalty Corp. Agnico Eagle Mines Ltd. Ag Growth International Inc. AGF Management Ltd. Alamos Gold Inc. Agrium Inc. Group Aeroplan Inc. Asanko Gold Inc, AltaGas Ltd. Allied Properties Real Estate Investment Trust Algonquin Power & Utilities Corp. Argonaut Gold Inc. Aecon Group Inc. ARC Resouirces Ltd. Alacer Gold Corp. ATS Automation Tooling Systems Inc. Alimentation Couche-Tard Inc. Athabasca Oil Sands Corp. Atlantic Power Corporation Avigilion Corporation Artis Real Estate Investment Trust Amaya Garming Group Inc. Badger Daylighting Ltd. Brookfield Asset Management Bombardier Inc. BlackBerry Ltd. Cott Corporation BCE Inc. Black Diamond Group Limited Boardwalk Real Estate Investment Trust Brookfield Renewable Energy Partners L.P. Brookfield Infrastructure Partner L.P. Birchcliff Energy Ltd. Boralex Inc. Class A Shares Bank of Montreal Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16 Underlying symbol

BNK BNP BNS BPY.UN BTE BXE BYD.UN CAE CAM CAR.UN CAS CCA CCL.B CCO CEU CF CFP CFW CFX CG CGG CGX CHE.UN CIG CIX CJ CJR.B CLS CM CNL CNQ CNR CP CPG CPX CR CRR.UN CSH.UN CTC.A CU CUF.UN CVE CWB

Page 4 Company Name

Position Limit

Bankers Petroleum Ltd.

250 000 250 000 250 000 75 000 250 000 250 000 25 000 250 000 50 000 75 000 75 000 25 000 25 000 250 000 250 000 75 000 75 000 250 000 25 000 250 000 200 000 50 000 50 000 25 000 250 000 250 000 250 000 75 000 250 000 200 000 250 000 250 000 200 000 250 000 75 000 250 000 75 000 200 000 75 000 75 000 200 000 250 000 250 000

Bonavista Energy Corporation Bank of Nova Scotia Brookfield Property Partners L.P. Baytex Energy Corp. Bellatrix Exploration Ltd. Boyd Group Income Fund CAE Inc. Canam Group Inc. Canadian Appartment Properties Real Est Cascades Inc. Cogeco Communications Inc. CCL Industries Inc. Cameco Corporation Canadian Energy & Technology Corp. Canaccord Genuity Group lnc. Canfor Corporation Calfrac Well Services Ltd. Canfor Pulp Products Inc. Centerra Gold Inc. China Gold International Resources Corp. Ltd Cineplex Inc. Chemtrade Logistics Income Fund Colliers International Group Inc. Subordinate Voting CI Financial Corp. Cardinal Energy Ltd CORUS Entertainment Inc. Celestica Inc. Canadian Imperial Bank of Commerce Continental Gold Limited Canadian Natural Resources Limited Canadian National Railway Company Canadian Pacific Railway Limited Crescent Point Energy Corp. Capital Power Corporation Crew Energy Inc. Crombie Real Estate Investment Trust Chartwell Retirement Residences Canadian Tire Corporation, Limited Canadian Utilities Limited Cominar Real Estate Investment Trust Cenovus Energy Inc. Canadian Western Bank Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16 Underlying symbol

CXR D.UN DC.A DDC DGC DH DHX.B DIR.UN DOL DOO DPM DRG.UN DRM DSG ECA ECI EDR EFN EFX ELD EMA EMP.A ENB ENF ERF ESI ESL EXE FCR FM FNV FR FRC FRU FTS FTT FVI G GC GEI GIB.A GIL GMP

Page 5 Company Name

Position Limit

Concordia International Corp.

250 000 75 000 25 000 75 000 250 000 75 000 75 000 50 000 200 000 50 000 75 000 75 000 25 000 50 000 250 000 75 000 75 000 250 000 75 000 250 000 250 000 200 000 250 000 75 000 250 000 75 000 25 000 75 000 200 000 250 000 250 000 250 000 75 000 75 000 200 000 250 000 250 000 250 000 50 000 200 000 250 000 250 000 25 000

Dundee Real Estate Investment Trust Dundee Corporation Dominion Diamond Corporation Detour Gold Corp. Davis + Henderson Corporation DHX Media Ltd Dream Industrial Real Estate Investment Trust Dollarama inc. BRP Inc. Dundee Precious Metals Inc. Dream Global Real Estate Investment DREAM Unlimited Corp. Descartes Systems Group Inc. EnCana Corporation EnerCare.Inc. Endeavour Silver Corp. Element Financial Corporation Enerflex Ltd. Eldorado Gold Corporation Emera Incorporated Empire Company Limited Enbridge Inc. Enbridge Income Fund Holdings Inc. Enerplus Resources Fund Ensign Energy Services Inc. Enghouse Systems Limited Extendicare Real Estate Investment Trust Unit First Capital Realty Inc. First Quantum Minerals Ltd. Franco Nevada Corporation First Majestic Silver Corp. Canyon Services Group Inc. Freehold Royalties Ltd. Fortis Inc Finning International Inc. Fortuna Silver Mines Goldcorp Inc. Great Canadian Gaming Corp. Gibson Energy inc. CGI Inc. (Group) Gildan Activewear Inc. GMP Capital Inc. Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16 Underlying symbol

GRT.UN GS GTE GUY GWO H HBC HBM HCG HNL HR.UN HSE IAG IFC IFP IGM IMG IMO INE IPL ITP JE K KEL KEY KGI KXS L LB LIF LNR LTS LUN MAG MBT MDA MDI MEG MFC MFI MG MIC MNW

Page 6 Company Name

Position Limit

Granite Real estate Inc.

50 000 25 000 250 000 250 000 250 000 250 000 200 000 250 000 75 000 200 000 250 000 250 000 75 000 75 000 75 000 200 000 250 000 250 000 75 000 250 000 50 000 75 000 250 000 250 000 250 000 250 000 50 000 250 000 50 000 75 000 75 000 250 000 250 000 75 000 250 000 25 000 50 000 250 000 250 000 75 000 250 000 50 000 75 000

Gluskin Sheff + Associates Inc. Gran Tierra Energy Inc. Guyana Goldfields Inc. Great-West Lifeco Inc. Hydro One limited Hudson's Bay Company Hudbay Minerals Inc. Home Capital Group Inc. Horizon North Logistics Inc. H&R Real Estate Investment Trust Husky Energy Inc. Industrial Alliance Insurance and Financial Services Inc. Intact Financial Corporation Interfor Corporation IGM Financial Inc. IAMGold Corporation Imperial Oil Limited Innergex Renewable Energy Inc. Inter Pipeline Fund Intertape Polymer Group Inc. Just Energy Group Inc. Kinross Gold Corporation Kelt Exploration Ltd. Keyera Corp. Kirkland Lake Gold inc. Kinaxis Inc. Loblaw Companies Limited Laurentian Bank of Canada Labrador Iron Ore Royalty Corporation Linamar Corporation Lightstream Resources Ltd Lundin Mining Corporation MAG Silver Corp. Manitoba Telecom Services Inc. MacDonald, Dettwiler and Associates Ltd. Major Drilling Group International MEG Energy Corp. Manulife Financial Corporation Maple Leaf Foods Inc. Magna International Inc. Genworth MI Canada Inc. Mitel Networks Corporation Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16

Page 7

Underlying symbol

Company Name

Position Limit

MRE MRU MST.UN MTL MX NA NFI NG NGD NPI NSU NVA NWC OCX OR OSB OTC P PAA PBH PD PEY PG PGF PJC.A PKI POT POU POW PPL PPY PRE PSG PSI PSK PVG PWF PWT PXT QBR.B QSR RBA RCI.B

Martinrea International Inc.

75 000 250 000 75 000 75 000 75 000 250 000 75 000 250 000 250 000 75 000 250 000 250 000 50 000 50 000 200 000 50 000 75 000 250 000 250 000 50 000 250 000 250 000 250 000 250 000 75 000 75 000 250 000 250 000 250 000 250 000 250 000 250 000 75 000 50 000 250 000 250 000 250 000 250 000 250 000 75 000 200 000 50 000 250 000

Metro Inc. Milestone Apartments Real Estate Investment Trust Mullen Group Ltd. Methanex Corporation National Bank of Canada New Flyer Industries Inc. NovaGold Resources Inc. New Gold Inc. Northland Power Inc. Nevsun Resouces Ltd. Nuvista Energy Ltd. The North West Company Inc. ONEX Corporation Osisko Gold Royalties Ltd Norbord Inc. Open Text Corporation Primero Mining Corp. Pan American Silver Corp. Premium Brands Holdings Corporation Precision Drilling Trust Peyto Exploration & Development Corp. Premier Gold Mines Ltd Pengrowth Energy Trust Jean Coutu Group (PJC) Inc. Parkland Fuel Corporation Potash Corporation of Saskatchewan Inc. Paramount Resources Ltd. Power Corporation of Canada Pembina Pipeline Corporation Painted Pony Petroleum Ltd. Pacific Rubiales Energy Corp. Performance Sports Group Ltd. Pason Systems Inc. PrairieSky Royalty Ltd. Pretium Resources Inc. Power Financial Corporation Penn West Energy Trust Parex Resources inc. Quebecor Inc. Restaurant Brands International Ritchie Bros. Auctioneers Incorporated Rogers Communications Inc. Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16

Page 8

Underlying symbol

Company Name

Position Limit

REF.UN REI.UN RFP RGL RNW RRX RUS RY SAP SCL SEA SES SGY SH SIA SJ SJR.B SLF SLW SMF SNC SOY SPB SRU.UN SSL SSO STB STN SU SVM SVY SW T TA TCK.B TCL.A TCN TCW TD TDG TET TFI TGL

Canadian Real Estate Investment Trust

50 000 250 000 25 000 25 000 200 000 250 000 75 000 250 000 250 000 50 000 50 000 250 000 250 000 25 000 50 000 50 000 250 000 250 000 250 000 250 000 75 000 25 000 200 000 75 000 200 000 250 000 75 000 75 000 250 000 250 000 50 000 25 000 250 000 250 000 250 000 50 000 75 000 250 000 250 000 250 000 75 000 75 000 50 000

RioCan Real Estate Investment Trust Resolute Forest Products Inc. Royal Gold inc. TransAlta Renewables Inc. Raging River Exploration Inc. Russel Metals Inc. Royal Bank of Canada Saputo Inc. ShawCor Ltd., Cl. A Seabridge Gold Inc. Secure Energy Services Inc. Surge Energy Inc. Shopify Inc Sienna Senior Living Inc. Stella-Jones Inc. Shaw Communications Inc. Sun Life Financial Inc. Silver Wheaton Corp. Semafo Inc. SNC-Lavalin Group Inc. SunOpta Inc. Superior Plus Corp. Smart Real Estate Investment Trust Sandstorm Gold Ltd. Silver Standard Resources Inc. Student Transportation Inc. Stantec Inc. Suncor Energy Inc. Silvercorp Metals Inc. Savanna Energy Services Corp. Sierra Wireless Inc. TELUS Corporation TransAlta Corporation Teck Resources Limited Transcontinental Inc. Tricon Capital Group Inc. Trican Well Services Ltd. Toronto-Dominion Bank Trinidad Drilling Ltd. Trilogy Energy Corp. TransForce Inc. TransGlobe Energy Corp. Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16 Underlying symbol

THO TIH TOG TOU TRI TRP TRQ U UFS UNS VET VII VRX VSN WCN WCP WFT WIN WJA WJX WN WPT WRG WSP WTE X YRI ZZZ

Page 9 Company Name

Position Limit

Tahoe Resources Inc.

250 000 50 000 250 000 250 000 250 000 250 000 250 000 75 000 50 000 50 000 200 000 250 000 250 000 250 000 75 000 250 000 75 000 250 000 75 000 25 000 50 000 50 000 50 000 75 000 50 000 25 000 250 000 50 000

Toromont Industries Ltd. TORC Oil & Gas Ltd. Tourmaline Oil Corp. Thomson Reuters Corporation TransCanada Corporation Turquoise Hill Resources Ltd. Uranium Participation Corporation Domtar Corporation Uni-Selecte Inc. Vermilion Energy Inc. Seven Generators Energy Ltd. Valeant Pharmaceuticals International inc. Veresen Inc. Waste Connections Inc. Whitecap Resources Inc. West Fraser Timber Co. Wi-Lan Inc. WestJet Airlines Ltd. Wajax Corporation George Weston Limited Westport Fuel Systems Inc. Western Energy Services Corp. WSP GlobalInc. Westshore Terminals Investments Corporation TMX Group Inc. Yamana Gold Inc. Sleep Country Canada Holdings Inc.

POSITION LIMITS - EXCHANGE TRADED FUND OPTIONS July 2016 Underlying symbol

CGL HED HEU HFD HFU HGD HGU HIX HND HNU

Index Participation Units

Position Limit

iShared Gold Bullion ETF

50 000 50 000 75 000 25 000 25 000 250 000 250 000 25 000 250 000 250 000

Options on Horizon BetaPro S&P Capped Energy Bear Plus ETF Options on Horizon BetaPro S&P Capped Energy Bull Plus ETF Options on Horizon BetaPro S&P Capped Financials Bear Plus ETF Options on Horizon BetaPro S&P Capped Financials Bull Plus ETF Options on Horizon BetaPro S&P/TSX 60-Global Gold Bear Plus ETF Options on Horizon BetaPro S&P/TSX 60-Global Gold Bull Plus ETF Options on Horizon BetaPro S&P/TSX 60 Inverse ETF Options on Horizon BetaPro NYMEX Natural Gas Bear Plus ETF Options on Horizon BetaPro NYMEX Natural Gas Bull Plus ETF Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16

Page 10

Underlying symbol

Index Participation Units

Position Limit

HOD HOU HXD HXU HXT XCB XDV XEG XFN XGD XIC XIN XIT XIU XMA XRE XSB XSP XSU ZCN ZDM ZDV ZEB ZEO ZEQ ZFL ZHY ZLB ZLU ZPR ZQQ ZRE ZSP ZUB ZUE ZUH ZUT

Options on Horizon BetaPro NYMEX Crude Oil Bear Plus ETF

250 000 250 000 250 000 200 000 200 000 50 000 50 000 250 000 250 000 250 000 200 000 50 000 25 000 300 000 25 000 75 000 50 000 250 000 50 000 50 000 50 000 50 000 250 000 50 000 25 000 25 000 75 000 50 000 50 000 250 000 25 000 25 000 75 000 50 000 75 000 25 000 25 000

Options on Horizon BetaPro NYMEX Crude Oil Bull Plus ETF Options on Horizon BetaPro S&P/TSX 60-Bear Plus ETF Options on Horizon BetaPro S&P/TSX 60-Bull Plus ETF Options on Horizons BetaPro S&P/TSX 60 ETF Options on iShares Canadian Corporate Bond Index ETF Options on iShares Canadian Select Dividend Index ETF Options on iShares S&P/TSX Capped Energy Index ETF Options on iShares S&P/TSX Capped Financials Index ETF Options on iShares S&P/TSX Global Gold Index ETF Options on iShares CDN S&P/TSX Capped Composite Index ETF Options on iShares MSCI EAFE Index ETF (CAD Hedged) Options on iShares S&P/TSX Capped Information Technology Index ETF Options on iShares S&P/TSX 60 Index ETF Options on iShares Index S&P/TSX Capped Materials ETF iShares S&P/TSX Capped REIT Index Fund Options on iShares Canadian Short Term Bond Index ETF Options on iShares S&P 500 Index ETF (CAD-Hedged) iShare U.S. Small Cap Index ETF (CAD-Hedged) BMO S&P/TSX Capped Composite Index ETF BMO MSCI EAFE Hedged to CAD Index ETF BMO Canadian Dividend ETF BMO S&P/TSX Equal Weight Banks Index BMO S&P/TSX Equal Weight Oil & Gas Index ETF BMO MSCI Europe High Quality Hedged to CAD Index ETF BMO Long Federal Bond Index ETF BMO High Yield US Corporate Bond Hedged to CAD Index ETF BMO Low Volatility Canadian Equity ETF BMO Low Volatility US Equity ETF BMO S&P/TSX Laddered Preferred Share Index ETF BMO Nasdaq 100 Equity Hedged to CAD Index ETF BMO Equal Weight REITs Index ETF BMP S&P 500Index ETF BMO Equal Weight US Banks Hedged to CAD Index ETF BMO S&P 500 Hedged to CAD Index ETF BMO Equal Weight US Health Care Hedged to CAD Index BMO Equal Weight Utilities Index ETF

Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca

Circular no.: 097-16

Page 11 POSITION LIMITS – SECTOR INDEX OPTIONS July 2016

Underlying symbol

Name of underlying instrument

Position Limit

TXBA TTUT

S&P/TSX Composite Index Banks (Industry Group) Options

40 000 40 000

S&P/TSX Capped Utilities Index Options

POSITION LIMIT - INDEX OPTIONS July 2016 Underlying symbol

Name of underlying instrument

Position Limit

TX60

Options on S&P/TSX 60 Index

500 000

POSITION LIMIT - CURRENCY OPTIONS July 2016 Underlying symbol

Currency

Position Limit

-

Options on the US dollar

40 000

Tour de la Bourse P.O. Box 61, 800 Victoria Square, Montréal, Quebec H4Z 1A9 Telephone: (514) 871-2424 Toll-free within Canada and the U.S.A.: 1 800 361-5353 Website: www.m-x.ca