BMO - Research Highlights Mar 22

Monday, March 22, 2010
*Click on title to view Comments **Click here to view Calendar of Events
Rating Changes
Atlantic Power Downgrading to Underperform on Share Price Appreciation M. McGowan
Large Cap Stocks

Highlights From Agrium Group Lunch Presentation; Outperform Rating E. Chee
Agrium
Reiterated
Manulife Financial Adjusted Earnings From Operations Restated; No Impact on Net Income J. Reucassel
Target Price Trimmed to C$16.50; EPS Reduced on Higher Than Expected D. Haughton
Eldorado Gold
Depreciation on Acquisition.
Small Cap Stocks

Armtec Infrastructure Lumpy Structural Business and Rising Competition Drive Weaker-Than- J. Granger
Income Fund Expected Q4/09
Black Diamond Group Coverage Resumed Following Equity Issue M. Mazar
Anvil Mining Q4/09 Results Exceed Expectations; Kinsevere Stage II Remains on Track J. Hayes
Southern Pacific Resource Buys Additional Land; Stake in McKay Increased R. Ollenberger
Boralex Power Income Fund Updating Valuation Approach; Increasing Target Price to $4.50 M. McGowan
Northland Power Income Updating Estimates and Target Price After Reviewing Year-End Disclosure M. McGowan
Fund Documents
Corporate Debt
Corporate Debt Research Weekly Credit Edge – IFRS Considerations B. Pham
Industry/Macro Comments
BMO CM Energy
Energy - Oil & Gas Oil & Gas Weekly: Shoulder Season Arrives
Team
North American Pipelines Natural Gas IQ: NGLs Cool as Weather Warms C. Kirst
Quantitative Analysis Relative Strength Filter — Overbought and Becoming Less So M. Steele
Quantitative Analysis Market Elements M. Steele
Economic Research A.M. Notes Economics
Disclosure Statements
To view important Disclosure Statements go to http://research-ca.bmocapitalmarkets.com/Company_Disclosure_Public.asp
Monday, March 22, 2010
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Earnings & Conference Calls

Anderson Energy (AXL) CFPS Q4/09 BMO CFPS $0.06 vs. $0.15 last year; First Call Mean $0.06
Legacy Oil + Gas (LEG) CFPS Q4/09 BMO CFPS $0.23 vs. $0.24 last year; First Call Mean $0.27
Bankers Petroleum (BNK) CFPS Q4/09 BMO CFPS US$0.05 vs. (US$0.01) last year; First Call Mean US$0.07
SouthGobi (SGQ) EPS Q4/09 BMO EPS (US$0.09) vs. (US$0.10) last year; First Call Mean (US$0.10)
 Reports after market close.
Capstone Mining (CS) EPS Q4/09 BMO EPS US$0.13 vs. US$0.59 last year; First Call Mean US$0.11
888-231-8191 or 647-427-7450 (International); Webcast: Mar. 23

www.newswire.ca/en/webcast/viewEvent.cgi?eventID=2937660 11:30 am
Today's Events & Marketing
Home Capital Group (HCG) Company presentation in Vancouver
Vermilion Energy Trust (VET.UN) Company presentation in New York. Curtis Hicks (CFO).
Andrew Kaip
Marketing in Toronto
(Precious Metals & Mining Analyst)
Peter Sklar
(Auto Parts/Food & Drug Retailing Marketing in Toronto
Analyst)
Carl Kirst
Marketing in New York
(North American Pipeline Analyst)
Redback Mining (RBI) Company presentation in Europe. Rick Clark (CEO) and Simon Jackson (VP, Corporate Development).
Upcoming Events & Marketing

Andrew Kaip
Marketing in Toronto Mar. 22-23
(Precious Metals & Mining Analyst)
Peter Sklar
(Auto Parts/Food & Drug Retailing Marketing in Toronto Mar. 22-23
Analyst)
Carl Kirst
Marketing in New York Mar. 22-23
Company presentation in Europe. Rick Clark (CEO) and Simon Jackson (VP, Corporate
Redback Mining (RBI) Mar. 22-26
Development).
Charles Brady
Marketing in New York Mar. 23
(Diversified Industrials Research)
Atul Shah
Marketing in Vancouver & Alberta Mar. 23-24
(Diversified Financials Analyst)
BMO Capital Markets Calendar of Events
Company presentation in Toronto & Montreal. Paul McElligott (President & CEO) and
TimberWest Forest (TWF.UN) Mar. 23-24
Bev Park (Executive VP & CFO; President & COO – Couverdon Real Estate).
Company presentation in the Pacific Northwest & San Francisco. Robert Weiss
The Cooper Cos. (COO) Mar. 23-24
(President & CEO) and Kim Duncan (Director, IR).
John Morris
Marketing in San Francisco Mar. 23-24
(Apparel Retail Analyst)
Ambrish Srivastava
Marketing in New York Mar. 23-24
(Semiconductor Analyst)
Edwin Chee
Marketing on the West Coast Mar. 23-25
(Chemicals & Fertilizers Analyst)
Bert Hazlett
Marketing in Boston Mar. 24
(Pharmaceuticals Analyst)
Ken Zaslow
Marketing San Francisco & Los Angeles Mar. 24-25
(Food & Agribusiness Analyst)
Company presentation in Houston, Austin and Dallas. Tom Webb (CFO), Laura
CMS Energy (CMS) Mar. 24-25
Mountcastle (VP & Treasurer) and Phil McAndrews (Investor Relations).
Company presentation in Toronto. Michael Salter (Director, Investor Relations &

MOSAID Technologies (MSD) Mar. 25
Corporate Communications).
Company presentation in New York. Dean Freeman (Sr. VP Finance & Treasurer), Kyle
Flowserve (FLS) Ahlfinger (VP, Chief Marketing Officer) and Paul Fehlman (VP, Financial Planning & Mar. 25
Analysis and IR).
Bert Powell
Marketing in Vancouver & Alberta Mar. 25-26
(Special Situations Analyst)
Christopher Brown
(Oil & Gas International Producers Marketing in Europe Mar. 25-26
Analyst)
Winn-Dixie Stores (WINN) Company presentation in New York Mar. 25-26
Peter Sklar
(Auto Parts/Food & Drug Retailing Marketing in Vancouver Mar. 26
Analyst)
Joanne Wuensch
(Medical Technology & Devices Marketing Florida Mar. 26
Research Analyst)
Company presentation in Montreal. Linda Hasenfratz (CEO) and Mark Stoddart (Chief
Linamar (LNR) Mar. 26
Technology Officer & Executive VP, Marketing).
Carl Kirst
Marketing in Montreal Mar. 29
Company presentation in Boston. Jackie Fouse (CFO) and Mark Haden (Director of
Bunge (BG) Mar. 29
Investor Relations).
Alan Laws
Marketing in Atlanta Mar. 29
(Oil Services Analyst)
Page 2 • March 22, 2010 (Back to Index)

Tim Long
Marketing in the Mid-Atlantic Mar. 29
(Communications Equipment Analyst)
Company presentation in Chicago. Armin Martens (President & CEO) and Jim Green
Artis REIT (AX.UN) Mar. 31
(CFO).
Ballard Power Systems (BLD) Company presentation in Toronto Mar. 31
Duluth Metals Company presentation in Europe. Christopher C. Dundas (Chairman and Director). Mar. 31
Mike Vinciquerra
(Exchanges & Discount Brokers Marketing in Boston Mar. 31
Analyst)
Dan Salmon
(Marketing Services & Advertising Marketing in Chicago Mar. 31-Apr. 1
Agencies Analyst)
Dan Salmon
(Marketing Services & Advertising Marketing in the Pacific Northwest Apr. 5
Agencies Analyst)
Wayne Hood
Marketing in New York Apr. 5-6
(Broadline Retailing Analyst)
Gordon Tait
Marketing in Vancouver Apr. 6
(Royalty & Income Trusts Analyst)
Meredith Bandy
Marketing in Boston Apr. 6
(Coal Analyst)
Joanne Wuensch
(Medical Technology & Devices Marketing in the Mid-West Apr. 7
Research Analyst)
Karine MacIndoe
(Real Estate & REITs Analyst)
Claude Proulx
Marketing in Toronto Apr. 7-8
(Airlines & Special Situations Analyst)
Cap REIT (CAR.UN) Company presentation in Vancouver Apr. 8
Carl Kirst
Company presentation in Europe. Kevin Crutchfield (CEO), Frank Wood (CFO) and
Alpha Natural Resources (ANR) Apr. 12-16
Allen Todd (VP, Investor Relations).
Detour Gold Corp. (DGC) Company presentation in Europe Apr. 12-16
Wayne Hood
Marketing in Europe Apr. 12-16
(Broadline Retailing Analyst)
New Gold (NGD) Company presentation in Europe Apr. 12-16

Randy Ollenberger
(Oil & Gas Producers & Integrated Oils Marketing in Toronto Apr. 13-15
Analyst)
Gordon Tait
Marketing in Montreal Apr. 14
Company presentation in the Mid-Atlantic. Don Mulligan (CFO) and Kristen S. Wenker
General Mills (GIS) Apr. 14
(VP, Investor Relations).
Carl Kirst
Marketing in the Mid-West Apr. 14-15
Jim Byrne
(Integrated Oils & Refiners Analyst)
Paul Adornato & Richard Anderson

(U.S. REITs Analysts)
Jeffrey Logsdon
Marketing in Boston Apr. 15-16
(Entertainment & Gaming Analyst)
Randy Ollenberger
(Oil & Gas Producers & Integrated Oils Marketing in Montreal Apr. 16
Analyst)
Osisko Mining (OSK) Company presentation in Europe Apr. 19-23
Gordon Tait
Marketing in Toronto Apr. 20-21
Company presentation in Europe. John A. McCluskey (President and CEO) and Jeremy
Alamos Gold (AGI) Apr. 21
Link (Investor Relations Manager).
John Morris
Marketing in the Pacific Northwest Apr. 21
(Apparel Retail Analyst)
If you are interested in any of the above events, please contact your BMO Capital Markets Institutional Equity/Fixed Income salesperson, or the following:
Toronto Events: Laura Heuff 416-359-5816
Montreal Events: Marjorie Heppell at 514-286-7231
Western Canada Events: Jennifer Crombie 604-443-1452
U.S. Events: Angela Dong 212-702-1969
Europe Events: Hannah Pead 44-207-246- 5418

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March 21, 2010

Atlantic Power Research Comment
Toronto, Ontario
(ATP-TSX)
Stock Rating: Underperform

Michael McGowan, CA, CFA
Industry Rating: Market Perform
(416) 359-5807
Michael.McGowan@bmo.com
Assoc: Mark Laing, CA
Price (18-Mar) $13.19 52-Week High $13.85

Downgrading to Underperform on Share Price Target Price $11.00 52-Week Low $8.00
Appreciation Price: High,Low,Close

Atlantic Power Corp (ATP)
Earnings/Share(US$)
3
14 2
Event 12 1
0
We are downgrading our rating for Atlantic Power Corporation to 10
-1
Underperform from Market Perform due to share price appreciation. 8
-2
6 -3
Impact 4
Volume (mln)
4
Neutral. Although there have been no new disclosures since November 27 2 2
when Atlantic Power completed a capital reorganization where all of the 0 0

ATP Relative to S&P/TSX Comp
200 200
outstanding IPS were converted into common shares, Atlantic Power’s share
price has increased by approximately 32.8%. 100 100
0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 0
Forecasts 2008 2009
Last Data Point: March 18, 2010
There are no changes to our forecasts. (FY-Dec.) 2008A 2009E 2010E 2011E
EPS $1.81 $0.28 $0.71 $0.70
P/E 45.7x 18.0x 18.3x
Valuation
CDPS $1.55 $1.12 $1.73 $1.73
Our $11 price target is consistent with our DCF valuation. Based on our 2011E 11.4x 7.4x 7.4x
estimates, our target price implies an EV/EBITDA multiple of 7.4x and a yield Dividend $0.88 $0.91 $0.96 $0.96
EV ($mm) $1,043 $1,028 $1,247 $1,205
of 10%. EBITDA ($mm) $164.0 $136.3 $145.4 $140.9
EV/EBITDA 6.4x 7.5x 8.6x 8.5x
Quarterly EPS Q1 Q2 Q3 Q4
Recommendation 2008A $0.09 -$0.65 $1.08 $1.30
At current levels, we believe the units are fully valued. We are reducing our 2009E -$0.53a $0.32a $0.39a $0.09
2010E $0.09 $0.13 $0.15 $0.34
rating to Underperform from Market Perform.
Dividend $1.09 Yield 8.3%
Book Value $8.51 Price/Book 1.5x
Shares O/S (mm) 60.5 Mkt. Cap ($mm) $797
Float O/S (mm) 53.4 Float Cap ($mm) $704
Wkly Vol (000s) 382 Wkly $ Vol (mm) $5.5
Net Debt ($mm) $424.5 Next Rep. Date 30-Mar (E)
Notes: Share price, target price, EV, EBITDA and capitalization in
C$, all other values in US$
Major Shareholders: CDPQ - 19.0%
First Call Mean Estimates: ATLANTIC POWER CORP (US$)
2009E: $0.20; 2010E: $0.76; 2011E: $0.78
Changes Rating
Mkt to Und
This report was prepared by an analyst(s) employed by BMO Nesbitt Burns Inc., and who is (are) not registered as a research analyst(s) under
FINRA rules. For disclosure statements, including the Analyst's Certification, please refer to pages 3 to 5.
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March 21, 2010

Agrium Research Comment
Toronto, Ontario
(AGU-NYSE; AGU-TSX)
Stock Rating: Outperform

Edwin Chee
Industry Rating: Outperform
(416) 359-6193
Edwin.Chee@bmo.com
Assoc: Harriet Li, CA / Bobby Kalsi

Highlights From Agrium Group Lunch Presentation; Target Price $80.00 52-Week Low $34.72
Outperform Rating Reiterated Price: High,Low,Close(US$)

Agrium Inc. (AGU)
Earnings/Share(US$)
10
120
100 8
Event 80
6
At a group lunch hosted by BMO Capital Markets on Friday March 19, 60
4
40
Agrium's CEO, Mike Wilson, presented management's view of industry
2
20
fundamentals and the scope of the company's growth opportunities.
0 0
Volume (mln)
400 400
Impact 200 200
Slightly Positive. We were encouraged by management's decision last week to 0 0

AGU Relative to S&P 500
1000 1000
end its bid to acquire CF Industries and allow its offer to expire on March 22.
CF was unwilling to engage in a dialogue with Agrium and given the rich value 500 500
of CF's offer for Terra, the implied risk/reward profile on Agrium's bid for CF 0 0
2005 2006 2007 2008 2009
became less appealing. Nonetheless, the resulting consolidation in N.A. from Last Data Point: March 18, 2010
the merger of CF Industries and Terra Industries should benefit all producers (FY-Dec.) 2008A 2009A 2010E 2011E
over the longer term. EPS $8.33 $2.32 $4.54 $5.11
P/E 15.6x 13.8x
CFPS $13.19 $0.22 $5.82 $6.40

Forecasts P/CFPS 12.1x 11.0x
There are no changes to our estimates. Rev. ($mm) $10,031 $9,129 $9,162 $9,531
EV ($mm) $11,105 $8,698 $10,674 $9,875
EBITDA ($mm) $2,222 $814 $1,370 $1,502
Valuation EV/EBITDA 5.0x 10.7x 7.8x 6.6x
Our target price of $80 corresponds to EV/EBITDA of 9.3x and 7.9x 2010 and
2008A $1.23 $4.00 $2.31 $0.79
2011 estimates, respectively 2009A -$0.38 $2.35 $0.16 $0.19
2010E $0.39 $2.19 $1.21 $0.75
Recommendation Dividend
Book Value
$0.11
$29.06
Yield
Price/Book
0.2%
2.4x
We believe that Agrium's recent decision to drop its pursuit of CF has renewed Shares O/S (mm) 158.0 Mkt. Cap (US$mm) $11,172
Float O/S (mm) 158.0 Float Cap (US$mm) $11,172
investor confidence that management has maintained a disciplined approach on Wkly Vol (000s) 18,771 Wkly $ Vol (USmm) $959.8
Net Debt ($mm) $768.3 Next Rep. Date 05-May (E)
its acquisition strategy. Compared to the implied EV/EBITDA valuation ratios
Notes: All values in US$
of 9x and 8.2x for 2010 and 2011 First Call Mean estimates for Terra, Agrium Major Shareholders: Widely held
First Call Mean Estimates: AGRIUM INCORPORATED (US$)
stock continues to be comparatively inexpensive. We reiterate our Outperform 2010E: $4.66; 2011E: $5.72
rating on Agrium stock.
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March 22, 2010

Manulife Financial Research Comment
Toronto, Ontario
(MFC-TSX; MFC-NYSE)

John Reucassel, CFA
(416) 359-4379
Member of: Top 15 Large Cap Stock Selections John.Reucassel@bmo.com
Top 15 Value Stock Selections Assoc: John Fong, CFA, FSA

Adjusted Earnings From Operations Restated; No Target Price $24.00 52-Week Low $13.32
Impact on Net Income Price: High,Low,Close

Manulife Financial Corp. (MFC)
Earnings/Share
3
40 2
Event 30 1
MFC reclassified roughly 8% of its adjusted earnings from operations from in- 20 0
force profits to experience gains in its Japan VA operations. The shift from in-
10 -1
force profits, which are included in adjusted earnings from operations, to
0 -2
experience gains, which are excluded from adjusted earnings from operations, Volume (mln)
400 400
caused the restatement. In addition, MFC lowered its adjusted earnings from 200 200
operations outlook by roughly 8-9% for 2010. 0 0
MFC Relative to S&P/TSX Comp
150 150
Impact 100 100
Negative. While the shift had no impact on net earnings (or GAAP earnings), 50 50
2005 2006 2007 2008 2009
this announcement is unlikely to soothe investor concerns about the long-term Last Data Point: March 19, 2010
earnings potential of MFC. As a result, the negative impact may be more related (FY-Dec.) 2008A 2009A 2010E 2011E
to sentiment toward the shares as opposed to a financial impact. EPS $0.32 $0.81 $1.75 $2.00
P/E 11.5x 10.1x
BVPS $16.62 $15.59 $16.83 $18.34

Forecasts P/BVPS 1.2x 1.1x
No change to our 2010E or 2011E EPS. While adjusted earnings from ROE 1.9% 5.1% 10.7% 11.3%
operations have been useful in gauging our forecasts, they are not the foundation Payout Ratio 313% 96% 30% 26%
Gen Assets ($b) $187.5 $187.5 $202.2 $217.8
of the forecasts. Implicit in our forecasts are relatively stable equity markets Seg Funds $165.4 $191.7 $207.5 $224.4
(roughly 7% rise in 2010) and modestly higher long-term yields. Quarterly EPS Q1 Q2 Q3 Q4
2008A $0.57 $0.66 $0.33 -$1.24
2009A -$0.67 $1.09 -$0.12 $0.51
Valuation 2010E $0.41 $0.43 $0.44 $0.47
Target price of $24 is unchanged. Dividend $0.52 Yield 2.6%

Shares O/S (mm) 1,758.0 Mkt. Cap ($mm) $35,406
Float O/S (mm) 1,758.0 Float Cap ($mm) $35,406
Recommendation Wkly Vol (000s) 41,739 Wkly $ Vol (mm) $841.9
Net Debt ($mm) na Next Rep. Date 06-May (E)
MFC remains rated Outperform. The basis of our recommendation is that the
Notes: All values in C$; MCCSR ratio for the most recently reported
company has achieved fortress levels of capital, relative value on a P/B basis quarter is 240%
Major Shareholders: Widely held
remains at historical lows compared to the banks and its domestic peers, and we First Call Mean Estimates: MANULIFE FINANCIAL CORP (C$)
2010E: $1.91; 2011E: $2.22
believe that earnings predictability should improve as 2010 progresses.
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March 22, 2010

Eldorado Gold Research Comment
Toronto, Ontario
(ELD-TSX; EGO-NYSE)
Stock Rating: Market Perform

David Haughton
(416) 359-4052
David.Haughton@bmo.com
Andrew Breichmanas
Assoc: Jeffrey Schok / Steven Willis
Target Price Trimmed to C$16.50; EPS Reduced on Price (19-Mar) $12.91 52-Week High $15.89
Target Price $16.50↓ 52-Week Low $8.68
Higher Than Expected Depreciation on Acquisition.
Eldorado Gold Corp. (ELD)
Price: High,Low,Close
15 15
Event
Eldorado Gold reported net income of $33.3M or US$0.08/share for Q4/09 10 10
essentially in line with BMO Research estimates. Eldorado produced 128,593oz

5 5
gold at total cash costs of US$364/oz, including partial production from Jinfeng
(14,541oz) and White Mountain (6,148oz), acquired in December. 0 0
Volume (mln)
200 200
Impact 100 100
0 0
Slightly Negative. Depreciation/depletion guidance of US$106M was higher ELD Relative to S&P/TSX Comp
400 400
than expected due to a substantial portion of the Sino acquisition cost being
200 200
pegged to Jinfeng. The company’s tax rate guidance of 30–33% was also
slightly higher than expected. 0
2005 2006 2007 2008 2009
0
Forecasts (FY-Dec.) 2008A 2009A 2010E 2011E

EPS $0.27 $0.28 $0.28↓ $0.53↓
EPS estimates for 2010 and 2011 have been trimmed to US$0.28 and US$0.53, P/E 44.9x 24.1x
respectively. Eldorado maintained its 2010 outlook for 550,000–600,000oz gold CFPS $0.34 $0.37 $0.48↑ $0.81↑
P/CFPS 26.5x 15.7x
at a cash operating cost of US$385–400/oz. BMO Research’s forecasts for
563,100oz gold at total cash cost of US$408/oz (including royalties) remain Real'd Price ($/oz) $901 $995 $1,150 $1,150
Prod'n (000 oz.) 308.8 360.2 563.1 791.2
unchanged. Ttl. Cash Cost ($/oz) $291 $340 $408 $345
Ttl. Prod. Cost $417 $456 $619 $555
Valuation 2008A $0.07 $0.06 $0.05 $0.09
2009A $0.04 $0.08 $0.08 $0.08
The target price has been reduced to C$16.50/share following a reduction in 2010E $0.07↓ $0.07↓ $0.07↓ $0.07↓
EPS estimates and 10% nominal NPV to US$4.32/share. Eldorado is trading at
2.1x BMO Research’s 10% nominal NPV using spot commodity price Book Value $4.97 Price/Book 2.5x
Shares O/S (mm) 537.1 Mkt. Cap ($mm) $6,934
assumptions, at a 25% premium to its North American peers at 1.7x. Float O/S (mm) 505.1 Float Cap ($mm) $6,521
Wkly Vol (000s) 37,177 Wkly $ Vol (mm) $428.2
Net Debt ($mm) -$124.3 Next Rep. Date June (E)
Recommendation Notes: Share price, target and capitalization in C$, all other values in
US$
Eldorado Gold is rated Market Perform. Eldorado remains one of the lowest Major Shareholders: Fidelity Management and Research (10.79%);
cash cost producers within the BMO Research universe, but its growth outside Van Eck Associates (6.51%); Blackrock Group (5.87%)
First Call Mean Estimates: ELDORADO GOLD CORP (US$)
of China requires greater certainty. In 2010, gold production from China is 2009E: $0.28; 2010E: $0.40; 2011E: $0.69
forecast to account for over 55% of consolidated production.

Changes Annual EPS Annual CFPS Quarterly EPS Target
2010E $0.35 to $0.28 2010E $0.47 to $0.48 Q1/10E $0.09 to $0.07 $18.00 to $16.50
2011E $0.60 to $0.53 2011E $0.80 to $0.81 Q2/10E $0.09 to $0.07
Q3/10E $0.09 to $0.07
Q4/10E $0.09 to $0.07
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March 22, 2010

Armtec Infrastructure Research Comment
Toronto, Ontario
Income Fund
(ARF.UN-TSX) Jason Granger, CA, CFA
(416) 359-4293
Stock Rating: Outperform Jason.Granger@bmo.com
Industry Rating: Outperform Assoc: Devin Dodge
Lumpy Structural Business and Rising Competition Price (19-Mar)

Target Price
$22.82
$25.50
52-Week High
52-Week Low
$26.00
$15.55
Drive Weaker-Than-Expected Q4/09 Armtec Infrastructure Income Fund (ARF.UN)
Price: High,Low,Close
30 30
Event
25 25
Lower-than-expected results reflect weaker-than-expected earnings in Con-
Force, partially offset by stronger-than-expected results in Armtec and Durisol. 20 20
Q4/09 EBITDA was $17.6 million, well below the consensus forecast of $23.0 15 15
million and our estimate of $22.5 million.
10 10
Volume (mln)
4 4
Impact 2 2
Negative. A more competitive environment, particularly in the pre-cast 0 0
ARF.UN Relative to S&P/TSX Comp
structural businesses, is expected to reduce gross margins in 2010. 200 200
100 100
Forecasts
0 0
To reflect lower Q4/09 results and a more competitive environment, we are 2005 2006 2007 2008 2009
reducing our 2010 EBITDA estimate to $86.1 million from $101.3 million, and
(FY-Dec.) 2008A 2009A 2010E 2011E
our 2011 forecast goes to $103.1 million from $108.1 million. CDPU $2.06 $2.21 $2.16 $1.45
P/CDPU 10.6x 15.7x
Valuation DCPU $2.93 $3.16 $3.09 $2.77

P/DCPU 7.4x 8.2x
We are reducing our target price to $25.50 from $26.00 to reflect a reduction to
CF Payout % 64% 68% 64% 45%
our 2011 earnings forecast. Our revised target is based on 7.5x 2011E DC Payout % 71% 70% 72% 52%
EV/EBITDA and 12.2x our fully taxed 2011 EPS estimate. EBITDA ($mm) $61.2 $80.3 $86.1 $103.1
Quarterly CDPU Q1 Q2 Q3 Q4
Recommendation 2008A $0.45 $0.49 $0.53 $0.59
2009A $0.54 $0.54 $0.54 $0.59
The poor Q4 results largely related to the timing of large-scale structural 2010E $0.54 $0.54 $0.54 $0.54
projects. Although the environment in pre-cast markets has become more Dividend $2.16 Yield 9.5%
competitive for Con-Force, we expect savings from the corporate reorganization Book Value $13.62 Price/Book 1.7x
Units O/S (mm) 20.5 Mkt. Cap ($mm) $467
($6–8 million/year target), in conjunction with the benefits of lean Float O/S (mm) 20.5 Float Cap ($mm) $468
manufacturing initiatives and purchasing synergies, to provide some offset to Net Debt ($mm) $214.6 Next Rep. Date May (E)
pressure on margins. Moreover, the Armtec segment has benefitted from rising Notes: All values in C$; Special distribution of $0.05 paid in Q4/09
Major Unitholders: Widely held
demand in fast turnaround, infrastructure stimulus-funded projects and had a
record quarter. The company reiterated its positive outlook for the infrastructure
market, “noting that funds have now been allocated to the fast turnaround
projects which tend to disproportionally benefit the drainage and sound barrier
products offered by the fund.” We rate Armtec Infrastructure Outperform.
Changes Annual CDPU Annual DCPU Target
2011E $1.80 to $1.45 2010E $3.59 to $3.09 $26.00 to $25.50
2011E $2.86 to $2.77
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March 21, 2010

Black Diamond Group Research Comment
Calgary, Alberta
(BDI-TSX)

Michael Mazar, CFA
(403) 515-1538
Michael.Mazar@bmo.com
Assoc: Jason A. Zhang

Coverage Resumed Following Equity Issue Target Price $22.00 52-Week Low $6.67
BLACK DIAMOND GROUP LTD (BDI)
Price: High,Low,Close Earnings/Share
2.5
Event 20
2.0
We are resuming coverage of Black Diamond following the closing of its $25 15
1.5
million equity financing and concurrent $30 million capital expansion program. 1.0
0.5
10
0.0
Impact
5 -0.5
Slightly Positive. 2
Volume (mln)
2
1 1
Forecasts 0 0
BDI Relative to S&P/TSX Comp
400 400
Our estimates did not previously reflect the Paragon acquisition in early
February and the acquisition of oil sands camp assets in late February. 200 200
Incorporating these acquisitions as well as the recently closed equity issue and 0 0
2007 2008 2009
increased capital budget, our 2010 and 2011 EPS estimates are raised slightly to Last Data Point: March 18, 2010
$1.47 and $1.96 from $1.43 and $1.89, respectively. (FY-Dec.) 2008A 2009E 2010E 2011E
EPS $1.85 $1.53 $1.47↑ $1.96↑
P/E 13.0x 13.5x 10.2x
Valuation
CFPS $3.05 $3.06 $3.54↑ $4.47↑
We continue to believe Black Diamond offers attractive value at 5.9x 2010 and P/CFPS 6.5x 5.6x 4.5x
4.6x 2011E EBITDA, a discount versus the company’s small cap services peer Total Debt ($mm) $42.0 $19.7 $41.4 -$3.5
ROCE (%) 16% 12% 12% 15%
group. The company has made a series of small and accretive asset acquisitions LT Liab. (%) 26% 12% 19% -2%
over the last several months and with the increased capital budget is expected to EV/EBITDA 3.6x 7.8x 5.9x 4.6x
continue to grow its rental asset fleet, and therefore, earnings capacity. In our Quarterly EPS Q1 Q2 Q3 Q4
2008A $0.42 $0.49 $0.43 $0.51
view, the fund’s low payout ratio of 31% of 2010E cash flow and relatively 2009E $0.77a $0.29a $0.19a $0.29
2010E $0.39↑ $0.29↓ $0.37↑ $0.40↑
stable cash flows owing to a high level of contract coverage warrant a premium
valuation relative to its peer group. Dividend $1.08 Yield 5.4%
Recommendation Wkly Vol (000s) 148 Wkly $ Vol (mm) $2.1
Net Debt ($mm) $44.0 Next Rep. Date Mar (E)
We rate Black Diamond Outperform with a $22.00 target price.
Notes: All values in C$
Major Shareholders: Widely Held
First Call Mean Estimates: BLACK DIAMOND GROUP LTD (C$)
2009E: $1.52; 2010E: $1.59; 2011E: $1.86
Changes Annual EPS Annual CFPS Quarterly EPS

2010E $1.43 to $1.47 2010E $3.53 to $3.54 Q1/10E $0.38 to $0.39
2011E $1.89 to $1.96 2011E $4.43 to $4.47 Q2/10E $0.33 to $0.29
Q3/10E $0.35 to $0.37
Q4/10E $0.38 to $0.40
Back to Index
March 19, 2010

Anvil Mining Research Comment
Toronto, Ontario
(AVM-TSX)
Stock Rating: Outperform(S)

John Hayes, P.Geo.
(416) 359-6189
JohnP.Hayes@bmo.com
Assoc: David Pryor, CFA / Peter Lam, CA

Q4/09 Results Exceed Expectations; Kinsevere Target Price na  52-Week Low $0.93
Stage II Remains on Track Price: High,Low,Close

Anvil Mining Ltd. (AVM)
Earnings/Share(US$)
2
20
1
Event 15
0
Anvil reported Q4/09 headline earnings of US$10.9M or US$0.09/share. After 10
-1
adjustments for one-time items, we estimate adjusted earnings of about 5 -2
US$0.03/share, exceeding the First Call Mean estimate for a loss of
0 -3
US$0.01share and our estimate for a breakeven quarter. Volume (mln)
100 100
50 50
Impact 0 0
AVM Relative to S&P/TSX Comp
400 400
Positive. Processed grades, recoveries and, consequently, copper production of
4,970t exceeded our estimates. Construction of the Kinsevere Stage II SX/EW 200 200
project remains on track to be completed in late 2010. Anvil’s greatly improved 0 0

2005 2006 2007 2008 2009
2009 performance clearly signals that the company’s turnaround, based on Last Data Point: March 18, 2010
improved metal prices and actions by management, is complete. Based on the (FY-Dec.) 2008A 2009A 2010E 2011E
changes made to our assumptions, the 10% NAV estimate decreased by 2%. EPS -$1.94 -$0.32 -$0.04 $0.85
P/E na 4.7x
CFPS $0.46 -$0.08 $0.07 $1.15

Forecasts P/CFPS 57.1x 3.5x
BMO Research estimates Anvil could produce approximately 14,800 tonnes of Rev. ($mm) $191 $51 $43 $326
copper in 2010 (14,060 tonnes on an equity basis) at a total cash cost of EV ($mm) -$66 $379 $590 $409
EBITDA ($mm) -$111 -$5 $12 $238
US$0.66/lb Cu, rising to approximately 40,000 tonnes of copper in 2011 EV/EBITDA 0.6x na 48.8x 1.7x
(38,000 tonnes on an equity basis) at a total cash cost of US$0.89/lb Cu upon Quarterly EPS Q1 Q2 Q3 Q4
2008A $0.30 $0.12 -$0.24 -$2.12
commissioning of the SX-EW. 2009A -$0.27 -$0.13 $0.00 $0.09
2010E $0.00 $0.00 -$0.02 -$0.02
Valuation Dividend $0.00 Yield 0.0%

Using BMO Research’s metals price forecast, Anvil Mining’s shares are trading Shares O/S (mm) 150.4 Mkt. Cap ($mm) $619
at a 33% discount to the 10% NAV estimate of US$6.04/share, and at a 46% Wkly Vol (000s) 6,727 Wkly $ Vol (mm) $14.1
discount to the NAV estimate of US$7.53 per share using the spot copper price Net Debt ($mm) -$165.7 Next Rep. Date 14-May (E)
Notes: Share price and market capitalization in C$, all other values in
of US$3.38/lb. US$; (S) in rating denotes Speculative
Major Shareholders: Trafigura 35.3%; Acuity 8.5%; Oppenheimer
5.3%;
Recommendation First Call Mean Estimates: ANVIL MINING LTD (US$) 2009E: -
$0.25; 2010E: -$0.05; 2011E: $0.60
Anvil Mining is rated Outperform (Speculative).
Changes Annual EPS Annual CFPS Quarterly EPS

2010E -$0.03 to -$0.04 2011E $1.21 to $1.15 Q4/10E -$0.01 to -$0.02
2011E $0.93 to $0.85
Back to Index
March 22, 2010

Southern Pacific Research Comment
Calgary, Alberta
Resource
(STP-TSXV) Randy Ollenberger
(403) 515-1502
Stock Rating: Outperform(S) Randy.Ollenberger@bmo.com
Assoc: Matthew Brink

Target Price $1.20↓ 52-Week Low $0.15
Buys Additional Land; Stake in McKay Increased Southern Pacific (STP)
0.03
Event 4 0.02
Southern Pacific announced that it has entered into a definitive agreement to 3 0.01
acquire Bounty Developments’ entire 20% working interest in 59 sections of 2 0.00
land on the McKay block, as well as 20% of Bounty’s working interest in 32 1 -0.01
sections of land adjacent to Southern Pacific’s MacKenzie block (100% W.I.). 0 -0.02
Volume (mln)
40 40
Impact 20 20
0 0
Mixed. STP Relative to S&P/TSX Comp
1000 1000
Forecasts 500 500
0 0
We are revising our financial estimates for Southern Pacific to reflect the 2005 2006 2007 2008 2009
acquisitions. Our cash flow per share estimates decline to $0.21 from $0.23 in
(FY-Jun.) 2008A 2009A 2010E 2011E
2010 and to $0.13 from $0.16 in 2011. Our estimates assume production
EPS -$0.01 $0.05 $0.11↓ $0.10
averages 4,439 boe/d in 2010 and 4,377 boe/d in 2011. P/E 8.6x 9.5x
CFPS -$0.01 $0.08 $0.21↓ $0.13↓

Valuation P/CFPS 4.5x 7.3x
We believe that Southern Pacific is an attractive option for investors looking to NAV $1.70 $1.75 $1.44 $0.81
gain exposure to an early-stage oil sands producer, with a significant land base ROCE (%) -1% 2% 10% 5%
LT Liab. 0% 13% 37% 58%
in the core of the Athabasca oil sands, near-term commercial development plans
Quarterly CFPS (basic) Q1 Q2 Q3 Q4
and meaningful existing production that helps provide financial support through 2008A $0.00 $0.00 $0.00 $0.00
construction. Our revised $1.20 target price reflects a 17% discount to our 2009A -$0.01 $0.00 $0.00 $0.06
2010E $0.06 $0.05↓ $0.05↓ $0.04↓
risked net asset value estimate and 2010E cash flow multiple of 5.7x, which we
believe is appropriate given the company’s size, future funding requirements Book Value $0.78 Price/Book 1.2x
and execution risk associated with its McKay oil sands development. We Float O/S (mm) 225.6 Float Cap ($mm) $214
believe the shares should appreciate in value as the company gains visibility Wkly Vol (000s) 2,501 Wkly $ Vol (mm) $1.8
Net Debt ($mm) $27.4 Next Rep. Date May (E)
among investors and solidifies a financing plan to build McKay. Notes: All values in C$; EPS are diluted based on continuing
operations; CFPS is diluted discretionary; (S) in rating denotes
Speculative
Recommendation Major Shareholders: Widely Held
First Call Mean Estimates: SOUTHERN PACIFIC RESOURCE
Southern Pacific is rated Outperform (Speculative). CORP (C$) 2010E: $0.08; 2011E: $0.12
Changes Annual EPS Annual CFPS Quarterly CFPS (basic) Target

2010E $0.12 to $0.11 2010E $0.23 to $0.21 Q2/10E $0.06 to $0.05 $1.25 to $1.20
2011E $0.16 to $0.13 Q3/10E $0.06 to $0.05
Q4/10E $0.05 to $0.04
Back to Index
March 21, 2010

Boralex Power Income Research Comment
Toronto, Ontario
Fund
(BPT.UN-TSX) Michael McGowan, CA, CFA
(416) 359-5807
Stock Rating: Market Perform Michael.McGowan@bmo.com

Target Price $4.50↑ 52-Week Low $3.45
Updating Valuation Approach; Boralex Power Income Fund (BPT.UN)
Increasing Target Price to $4.50 12
0.8
0.6
10
0.4
Event 8
0.2
6 0.0
We are updating our valuation approach for Boralex Power Income Fund.
4 -0.2
2 -0.4
Impact 10
Volume (mln)
10
Slightly positive. 5 5
0 0
BPT.UN Relative to S&P/TSX Comp
Forecasts 200 200
100 100
There are no changes to our financial estimates.
0 0
2005 2006 2007 2008 2009
Valuation Last Data Point: March 18, 2010
We are increasing our target price to $4.50 from $4.00. Our revised target price (FY-Dec.) 2008A 2009A 2010E 2011E
EPU -$0.11 -$0.18 $0.14 $0.08
is based on the upper end of $3–4/unit in proceeds that we believe the fund P/E 31.9x 55.8x
could realize from a sale of its hydro facilities, plus $0.50/unit in value related CDPU $0.75 $0.70 $0.40 $0.40
to the remaining cash flow in the Kingsey Falls until 2012 when the facility’s 11.2x 11.2x
PPA expires. Previously, we assigned no value to future cash flow from Dist. Cash Avail. $0.80 $0.65 $0.55 $0.49
EV ($mm) $389 $345 $383 $385
Kingsey Falls. EBITDA ($mm) $56.9 $51.7 $46.9 $42.9
Quarterly CDPU Q1 Q2 Q3 Q4
Recommendation 2008A $0.23 $0.18 $0.18 $0.18
At current levels we believe the units are reasonably valued. Our rating is 2009A $0.18 $0.18 $0.18 $0.18
2010E $0.10 $0.10 $0.10 $0.10
Market Perform.
Units O/S (mm) 59.1 Mkt. Cap ($mm) $264
Major Unitholders: Boralex Inc. has an effective ownership interest
of 23%.
First Call Mean Estimates: BORALEX POWER INCOME FUND
(C$/DI) 2010E: $0.43; 2011E: $0.44
Changes Target
$4.00 to $4.50
Back to Index
March 21, 2010

Northland Power Income Research Comment
Toronto, Ontario
Fund
(NPI.UN-TSX) Michael McGowan, CA, CFA
(416) 359-5807
Stock Rating: Market Perform Michael.McGowan@bmo.com

Target Price $13.00↑ 52-Week Low $9.18
Updating Estimates and Target Price After Northland Power (NPI.UN)
Reviewing Year-End Disclosure Documents 18
0.9
0.8
16
0.7
14
Event 0.6
12
0.5
We have updated our model after reviewing Northland Power’s year-end
10 0.4
disclosure documents.
8 0.3
Volume (mln)
10 10
Impact 5 5
Slightly positive. 0 0
NPI.UN Relative to S&P/TSX Comp
150 150
Forecasts 100 100
We have updated our estimates to reflect disclosure in the company’s year-end 50 50

2005 2006 2007 2008 2009
disclosure documents. Notable changes to our model include: (1) revisions to Last Data Point: March 18, 2010
our unit count estimates, consistent with guidance contained in the 2009 annual (FY-Dec.) 2008A 2009A 2010E 2011E
report; (2) changes to the amortization of the company’s subordinated debt at EPU $0.79 $0.47 $0.42 $0.64↑
P/E 32.4x 21.3x
the Thorold facility; (3) the incorporation of the North Battleford facility into
CDPU $1.12 $1.08 $1.08 $1.08
our model; and (4) expected capital expenditures with respect to Spy Hill and 12.6x 12.6x
North Battleford. Dist. Cash Avail. $1.19 $1.09 $1.31 $1.56
EV ($mm) $899 $1,804 $2,340 $2,651
EBITDA ($mm) $95.5 $98.5 $159.7 $180.1
Valuation EV/EBITDA 9.4x 18.3x 14.7x 14.7x
We are increasing our target price to $13 from $12 based on the expected Quarterly CDPU Q1 Q2 Q3 Q4
2008A $0.27 $0.27 $0.27 $0.31
contribution from the North Battleford facility, which is expected to be 2009A $0.27 $0.27 $0.27 $0.27
2010E $0.27 $0.27 $0.27 $0.27
commissioned in 2013. Our $13 price target is consistent with our DCF
valuation and implies an 8.3% distribution yield. Dividend $1.08 Yield 7.9%
Units O/S (mm) 84.2 Mkt. Cap ($mm) $1,144
Recommendation Wkly Vol (000s) 929 Wkly $ Vol (mm) $10.2
At current levels, we believe the units are reasonably valued. Our rating is
Market Perform. Major Unitholders: Widely held
First Call Mean Estimates: NORTHLAND POWER INCOME-I/R
(C$/CF) 2010E: na; 2011E: na
Changes Annual EPS Target

2011E $0.55 to $0.64 $12.00 to $13.00
Weekly Credit Edge
Back to Index
March 22, 2010
Week in Review Pipelines & Utilities

Canadian Corporates The Canadian corporate market was IFRS Considerations
relatively quiet this week with most clients away for March Over the last few years, there has been considerable
break. Overall, spreads were out 1 bp in the 2-year area, discussion about International Financial Reporting
due to the weakness in deposit notes, but came in 1-2 bps in Standards (IFRS) and what the adoption of these
the mid- and long-end of the curve. In financials, sub debt standards means for Canadian regulated utility and
and hybrids were the focus of the week. Hybrids tightened pipeline companies. As the January 1, 2011, deadline
significantly as this type of funding is not expected from draws near, companies in our coverage universe have
Canadian banks in the future. While sub debt has followed accelerated the level of disclosures regarding the
a similar trend, it seems that the narrowing of the potential impact of IFRS on their financial statements.
senior/sub debt relationship has been a function of pressure While there are several differences between IFRS and
on deposit notes combined with a lack of new sub debt Canadian GAAP accounting (Appendix A), we believe
product. It is worth noting that once sub debt rolls down the lack of guidance on the recognition and measurement
into the short-end of the curve, the senior/sub debt of regulatory assets and liabilities will have the most
relationship is roughly 5 bps wider than where it trades in material consequence on reported financial statements,
the 5-year area. In non-financials, long, high-quality bonds given the potential for a significant one-time adjustment
were well bid. We also saw a flight to higher beta credit as to equity in the year of adoption and more volatile
telecom/cable spreads continued to grind. On the new issue earnings going forward.
front, Intact Financial came to the market with a $100
However, the risk of a significant one-time adjustment to
million re-opening of its November 2009 issue.
equity appears to have diminished, following the release
Generic Spread Change (bps)
of an exposure draft (Rate-regulated Activities) on July
10 Yr. WoW QTD YTD 23, 2009, by the International Accounting Standards
AA -1 -16 -16
A -1 -18 -18
Board (IASB) that proposes to set out criteria for the
BBB -3 -33 -33 recognition and measurement of regulatory assets and
Weekly Movers
Current Absolute liabilities arising from cost of service regulation. We are
2 Year Spreads (bps) Chg (bps)
TransCanada Pipelines 47 5
encouraged by this development but note that the
Alliance Pipeline Limited Partnership 112 5 exposure draft has set out more rigid rules for the
TransAlta Corp. 142 5
5 Year Spreads recognition of regulatory assets and liabilities than under
Wells Fargo 84 -6 Canadian GAAP. For example, it is our understanding
TransCanada Pipelines 62 4
Alliance Pipeline Limited Partnership 127 4 that incentive-based regulation is not currently within the
10 Year Spreads
IGM Financial 139 -5
scope of the exposure draft. Therefore, one-time
Sunlife 114 4 adjustments to equity may still be required, but the
Gaz Metropolitan Inc. 85 3
30 Year Spreads adjustments may not be as large as initially expected.
Bell Aliant Regional 250 -15
Bell Canada 200 -8
407 International Inc. 134 -4
Source: BMO Capital Markets
/….cont’d. on page 3
/….cont’d. on page 2
Jason Parker, CFA George Lazarevski, CFA

Strategy/Infrastructure/Oil and Gas 416-359-5410 Banks/Diversified Financials 416-359-7488
Ben Pham, CFA Trevor Bateman, CA, CFA
Pipelines/Utilities 416-359-4061 Telecom/Media/Retail/ABS 416-359-8238
Ewa Bzorek, CA Gaurav Dhiman
Research Associate 416-359-8333 Research Associate 416-359-4385
This report was prepared by an Analyst employed by a Canadian affiliate, BMO Nesbitt Burns Inc., and who is not registered as a research
analyst under FINRA rules. For disclosure statements, including the Analyst's Certification, please refer to pages 13 to 14.
(Back to Index)
March 21, 2010

Energy - Oil & Gas Research Comment
BMO Capital Markets Energy Team
Oil & Gas Weekly: Shoulder Season Arrives

The S&P/TSX Energy Index slid 1.9% this week, reflecting continuing Summary
concerns regarding financial turmoil in Greece and weak commodity prices. • North American oil and gas equities are
The broader S&P TSX remained essentially flat, while the S&P 500 managed roughly flat year to date, in line with the
to gain 1.0%. performance of crude oil prices. ‘Growthy’
company’s such as those chasing the Cardium
Table 1: Energy Index Performance
plays in Canada, which are predominantly the
Wk/Wk Y/Y Chg YTD Chg
Index Levels 19/03/2010 12/03/2010 Chg (%) (%) (%)
Trusts and Juniors, have performed somewhat
S&P 500 1,159.9 1,150.0 0.9% 48% 4% better, while the oil-leveraged large cap
S&P Oil Composite Index 452.8 457.7 (1.1%) 19% (0%) Producers and Integrateds have continued to
S&P E&P Index 405.5 401.9 0.9% 9% (1%)
lag, much has they did in 2009.
S&P Oil Refiners Index 361.0 365.9 (1.3%) 6% 15%
OSX Oil Services Index 203.8 212.7 (4.2%) 50% 5% • Natural gas prices are down 25–34% year to
S&P/TSX Comp 11,948.0 12,013.8 (0.5%) 37% 2% date. Last week’s disappointing gas storage
S&P/TSX Comp Energy Index 2,732.4 2,786.7 (1.9%) 27% (4%) withdrawal is a sure signal that the spring
S&P/TSX Integrated Index 2,934.2 3,004.5 (2.3%) 5% (11%)
S&P/TSX Oil & Gas E&P Index 3,116.4 3,187.8 (2.2%) 37% (1%)
shoulder season has arrived. As such, there is
S&P/TSX Oil & Gas Services Index 1,216.1 1,287.6 (5.6%) 68% (3%) expected to be little stimulus for equities from
Source: BMO Capital Markets, Bloomberg commodity prices, especially natural gas. The
West Texas Intermediate (WTI) crude prices had its largest drop in a month Canadian large cap group is generally oil
leveraged and should perform better through
on Friday and finished essentially flat this week closing at US$80.68/bbl.
the shoulder season.
NYMEX natural gas prices continued its decline closing at US$4.17/Mcf
• We are maintaining our Outperform rating for
(down 5.3%) as the winter heating season is coming to an end.
the U.S. Oilfield Services, Market Perform
Table 2: Benchmark Energy Prices rating for the Integrated Oils, Oil & Gas
Wk/Wk Y/Y Chg YTD Chg Producers and Canadian Oilfield Services and
Energy Prices 19/03/2010 12/03/2010 Chg (%) (%) (%) Underperform rating for the Independent
WTI (US$/Bbl) 1 $80.68 $81.24 (0.7%) 56% 2% Refiners. Our recommendations include
Brent (US$/bbl) $79.86 $79.39 0.6% 58% 2%
Ed Light (C$/Bbl) 2 $81.52 $81.97 (0.5%) 28% (0%)
Bankers, Baytex, Canadian Natural,
Bow River Heavy (C$/Bbl) 2 $74.26 $74.48 (0.3%) 33% 3% Crescent Point, Crew, Halliburton, Hess,
AECO (C$/GJ) $3.60 $3.95 (8.9%) 2% (34%) National Oilwell Varco, Noble, Occidental,
Nymex Gas (US$/MMbtu) 1 $4.17 $4.40 (5.3%) (0%) (25%)
PetroBakken, Schlumberger, Suncor and
UK NBP Gas (US$/MMbtu) $4.28 $4.55 (6.0%) (6%) (22%)
Henry Hub (US$/MMBtu) $4.02 $4.35 (7.6%) 10% (31%) Talisman.
Source: BMO Capital Markets, Bloomberg, Imperial Oil;
(1) NYMEX near month contract; (2) Imperial Oil posted prices
Please see pages 3-7 and 10-13 for analyst coverage.
Randy Ollenberger (403) 515-1502 Alan Laws, CFA (303) 436-1125 Gordon Tait, CFA (403) 515-1501
BMO Nesbitt Burns Inc. (Canada) BMO Capital Markets Corp. (U.S.) BMO Nesbitt Burns Inc. (Canada)
Jim Byrne, P.Eng., CFA (403) 515-1557 Mike Mazar, CFA (403) 515-1538 Dan McSpirit (303) 436-1117
BMO Nesbitt Burns Inc. (Canada) BMO Nesbitt Burns Inc. (Canada) BMO Capital Markets Corp. (U.S.)
Mark Leggett, CFA (403) 515-1508 Christopher Brown, P.Eng. (403) 515-1574
BMO Nesbitt Burns Inc. (Canada) BMO Nesbitt Burns Inc. (Canada)
This report was prepared in part by an analyst(s) employed by a Canadian affiliate, BMO Nesbitt Burns Inc., and who is (are) not registered as a
research analyst(s) under FINRA rules. For disclosure statements, including the Analyst's Certification, please refer to pages 14 to 15.
(Back to Index)
March 22, 2010

North American Pipelines Carl Kirst, CFA
BMO Capital Markets Corp.
713-546-9756
Industry Rating: Market Perform carl.kirst@bmo.com
Danilo Juvane, CFA

713-546-9741
danilo.juvane@bmo.com
Gas Industry Snapshot*

Natural Gas IQ: NGLs Cool as Weather Warms
NYMEX Natural Gas 12-Mo. Strip ($/mmbtu): $4.83
Weekly Change -3.6%
YTD Change -17.8%
The Natural Gas IQ is our weekly report aimed at developments in the natural gas
NYMEX Crude Oil 12-Mo. Strip ($/bbl): $82.29
infrastructure space, and importantly, the implications for our pipeline equities. Weekly Change -0.7%
YTD Change 0.2%
Natural gas liquids (NGLs) have pared back gains despite strengthening Natural Gas Liquids (40% ethane, $/gal): $1.05
petchem market. After surging over 30% from $0.87/gal last September to a Feb Current $ Correlation to Spot Crude Oil 56.1%
Weekly Change -1.3%
peak of $1.27, NGL prices have since fallen back 17% to the $1.05 range. On the YTD Change -11.8%
oft quoted “% of oil” relationship, NGLs averaged 54% last week versus the Feb Processing Frac-Spread (Gulf Coast, $/gal): $0.71
peak at 72% and are now back in line with the 54% average of 2009. While the Weekly Change 1.4%
YTD Change 1.9%
earlier strength raised questions of whether NGLs were returning to their historical
LNG U.S. Imports (weekly avg, Bcf/d): 1.05
65% 20-year relationship with oil, we had previously noted—given the timing— Weekly Change 17.6%
that it was unclear to us exactly how much of this price surge was due to Y-o-Y Change 29.7%
improving fundamentals (e.g., inventory destocking, higher demand) and how Natural Gas in Storage (Bcf): -11 to 1,615
Vs. this week last year -42 to 1,655
much was due to winter weather. Indeed, the petchem market has only improved Vs. this week 5-yr avg -65 to 1,542
the last six months, as indicated by chemical rail car loadings up +5% 1Q10/3Q09 Natural Gas Directed Rig Count: +12 to 939
(+14% y/y) and the climb in end-use products ethylene and propylene, up ~30% Weekly Change 1.3%
Y-o-Y Change 9.6%
YTD. Despite this strength, peaks price for ethane and propane were coincident
with some of the coldest weeks this winter, and prices for these components have Stock Performance: Weekly
US Gas Diversifieds -1.5%
led the composite retracement, down 20%-30% from early Feb (and down 15%- US Gas Utilities 1.7%
20% YTD), while at the heavy end of the NGL barrel, natural gasoline has held Canadian Pipelines 0.7%
Canadian Trusts 0.3%
firm, increasing 5% YTD. With crude oil prices potentially coming under pressure 1.6%
UTY (Philadelphia Utility Index)
again (e.g., Greece’s sovereign risk back in the headlines, India and China raising XOP (S&P E&P SPDR) -4.2%
OSX (Oil Service Index) -4.2%
interest rates), this relationship could push back to 60% near term; however, we
S&P 500 (SPX) 0.9%
remain comfortable with the 55% projection embedded in our 2010 EPS forecasts. 10-Year US Treasury Yield -0.3%
Stock Performance: YTD

NGL retracement could in turn mute expectations of upside EPS surprise US Gas Diversifieds 3.4%
bias. NGL prices in 1Q10 have averaged 63% of oil year to date, but with the US Gas Utilities 3.4%
Canadian Pipelines 1.1%
recent retracement, we believe investors at this point are more likely to chalk up Canadian Trusts 8.9%
any beat in 1Q10 EPS as icing on the cake rather than anything more lasting. UTY (Philadelphia Utility Index) -3.6%
XOP (S&P E&P SPDR) 1.6%
Companies in our universe with the most exposure to NGLs are WMB, SE,
OSX (Oil Service Index) 4.6%
SUG and OKE, although we note that while WMB and SE are unhedged, both S&P 500 (SPX) 4.0%
10-Year US Treasury Yield -3.8%
SUG and OKE’s equity NGL production is heavily hedged in the 75%-90%
* A ll data priced as o f clo se M arch 19, 2010 in US$
range. (Please see page 7 for BMO quarterly EPS forecast versus consensus.) So urce: B lo o mberg, EIA , Waterbo rne, B aker Hughes, P latts, Co mpany data.
Refer to pages 21 to 22 for Important Disclosures, including Analyst's Certification.
Page 1 March 22, 2010

Back to Index
Relative Strength Filter

March 22, 2010
Research Comment
Quantitative/Technical Research
Mark Steele
(416) 359-4641
mark.steele@bmo.com
Assoc: Tiberiu Stoichita
Overbought and Becoming Less So
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 There are six major markets that were ov erbought (RSI  Markets can r emove their o verbought natu re b y moving
greater than 70) where the RS I crossed back bel ow the sideways or down. On Friday, we started to move down.
overbought level on Friday – see the RSI X-over column  It is time for markets to take a breather.
in Figure 1 below.
Figure 1: ETF\ Equity Index Futures Screen
Source: BMO Capital Markets, Bloomberg, Thomson, Markit

Back to Index
Market Elements
March 19, 2010
Research Comment
Quantitative/Technical Research
Mark Steele
(416) 359-4641
mark.steele@bmo.com
Assoc: Tiberiu Stoichita
• Equity markets took a well deserved rest / pullback today; most • The U.S. dollar advanced against all major crosses; the euro has
sectors declined; resource sectors followed commodity pullbacks. become “finely tuned” to (rising) Greek bond yields once again.
• Treasuries failed to capitalize on equity losses; U.S. breakeven rates • Commodity indices end with a weekly return of about zero; they
followed oil/gold lower; India raised its benchmark rate by 25bps (an have been treading water for a month now; lumber bucked the trend
unscheduled move and the first hike since July 2008). and rose to a new high.
Levels*
Currencies (USD per) Commodities Government 10- Yr Benchmark Equity Indices & Sentiment
Symbol H/L Level %Chg Symbol H/L Level %Chg Symbol H/L Level Chg Symbol H/L Level %Chg
DXY  80.74 0.6% DJ UBS  132.38 -0.9% U.S.  3.69 0.02 S&P 1200  1,335 -0.5%
EUR  1.3539 -0.5% WTI Oil  80.67 -1.9% Canada  3.49 0.04 S&P 500  1,160 -0.5%
CHF  0.9435 -0.2% NMX Gas 4.16 1.7% Germany  3.11 -0.02 S&P/TSX  11,948 -0.8%
GBP  1.5017 -1.5% AECO Gas 3.72 -2.4% France  3.42 -0.01 Euro STOXX  2,898 -0.5%
JPYx10  0.1105 -0.2% Gold  1,106.1 -1.9% Switzerland  1.93 0.01 FTSE 100 H 5,650 0.1%
CAD  0.9838 -0.2% Silver 16.99 -2.4% Italy  3.95 0.01 Hang Seng  21,371 0.2%
AUD  0.9163 -0.5% Platinum  1,609.0 -1.3% Spain  3.89 0.00 Topix  949 0.9%
NZD  0.7085 -0.9% Palladium  468.25 -2.3% Greece 6.35 0.08 S&P/ASX  4,872 0.2%
BRL  0.5563 -0.3% CMX Cu  337.25 -0.4% U.K.  3.96 -0.03 Shang/Shen 3,294 0.8%
MXNx10  0.7948 -0.5% LME Al 3m  1.02 -0.8% Australia  5.67 0.02 Sensex30  17,578 0.3%
ZAR  0.1366 -0.1% LME Ni 3m  10.18 -1.4% Hong Kong 2.67 0.02 CDX IG 5Yr 84.92 1.1%
KRWx10  0.8815 -0.0% LME Zn 3m 1.04 -1.7% India  7.89 0.04 TRIN 1.28 -4%
SGD  0.7153 -0.2% Lumber H 291.00 3.4% Japan 1.37 -0.00 VIX  16.97 2.1%
Moves
Currencies (spot) Commodities Government 10- Yr Benchmarks Equity Indices
KRW Lumber U.K. Topix
ZAR NMX Gas Germany
Shang/Shen
CHF CMX Cu France
LME Al 3m Japan Sensex30

JPY
DJ UBS Spain Hang Seng
SGD
Platinum Italy
CAD S&P/ASX
LME Ni 3m Sw itzerland
BRL FTSE 100
LME Zn 3m U.S.
MXN
WTI Oil Hong Kong S&P 500
AUD
Gold Australia S&P 1200
EUR Palladium India
Euro STOXX
NZD AECO Gas Canada
GBP Silver Greece S&P/TSX
2.0% 1.5% 1.0% 0.5% 0.0% 4.0% 2.0% 0.0% 2.0% 4.0% 0.10 0.05 0.00 -0.05 1.0% 0.5% 0.0% 0.5% 1.0%
Sectors
S&P Global 1200 S&P Europe 350 S&P 500 S&P/TSX Composite
Hlth Care Hlth Care Telecom Hlth Care
Telecom Info Tech Hlth Care Cons Stap

Industrials Telecom Cons Stap Industrials
Cons Disc Industrials Utilities Financials
Cons Stap Financials Industrials Cons Disc

Info Tech Cons Disc Cons Disc Telecom
Financials Energy Financials Energy
Utilities Cons Stap Info Tech Materials

Energy Utilities Energy Utilities
Materials Materials Materials Info Tech
1.5% 1.0% 0.5% 0.0% 1.5% 1.0% 0.5% 0.0% 0.5% 1.5% 1.0% 0.5% 0.0% 0.5% 1.0% 3.0% 2.0% 1.0% 0.0% 1.0%
Source for all data and graphics in this publication: BMO Capital Markets, Bloomberg, Thomson
* H/L = at a new closing 52- wk High/Low; / = within 10% of the 52- week High/Low; Colour codes are inverted for bond and sentiment indications
Market Elements
Daily Charts
3- Month View with 50- and 26- Day Moving Averages
 Euro – traded back down to the 1.35 mark; Greek Prime Minister George Papandreou plays “Lets Make a Deal” on the global stage - WSJ
Currencies Commodities Bonds Equities

Market Elements
Intra Day Charts

2- Day Tick View
 Gold: A -$20 move in 4 minutes (10:21-25) – this is liquidation; if you “expand” the view – you see that oil and copper led the decline – and gold
played catch up.
Currencies Commodities Bonds Equities

Market Elements
Daily Sector Charts

3- Month View with 50- and 26- Day Moving Averages
S&P 500
S&P/TSX Composite
S&P Europe 350

Market Elements
Market Movers – Largest Daily Percentage Moves

• Global: Lloyds Banking Group – make a bullish impromptu statement (sees profits) which precedes next week’s investor conference – FT, WSJ
• Global: Embraer moves to new high on outlook – WSJ
• U.S. Baker Hughes, Nabors, and other drillers slip on bearish outlook and weak gas pricing – Barron’s
S&P Global 1200 ex U.S. & Canada S&P 500 S&P/TSX Composite
Name
SECURITY_NAME Symbol
TICKER % Chg
Chg Name
SECURITY_NAME Symbol % Chg
TICKER Chg Name
SECURITY_NAME Symbol Chg
TICKER % Chg
Energy Saipem SpA SPM IM 1.8% Chesapeake Energy Corp CHK 1.8% Nexen Inc NXY 2.0%
PetroChina Co Ltd 857 HK 1.3% Chevron Corp CVX 0.3% Pacific Rubiales Energy Corp PRE 1.4%
Woodside Petroleum Ltd WPL AU 1.0% Occidental Petroleum Corp OXY 0.1% Husky Energy Inc HSE 0.8%
Petroleo Brasileiro SA PBR/A US -2.4% Nabors Industries Ltd NBR -3.6% Celtic Exploration Ltd CLT -4.1%
Cairn Energy PLC CNE LN -2.6% Baker Hughes Inc BHI -3.7% Trinidad Drilling Ltd TDG -4.3%
OMV AG
SECURITY_NAME OMV AV
TICKER -2.8%
Chg Consol Energy Inc
SECURITY_NAME CNX
TICKER -4.0%
Chg Trican Well Service Ltd
SECURITY_NAME TCW -4.6%
TICKER Chg
Materials Mitsubishi Chemical Holdings C 4188 JP 3.7% Titanium Metals Corp TIE 3.4% Great Basin Gold Ltd GBG 4.0%
Yara International ASA YAR NO 3.0% Owens-Illinois Inc OI 1.1% Silvercorp Metals Inc SVM 1.3%
Sumitomo Metal Industries Ltd 5405 JP 2.6% Allegheny Technologies Inc ATI 0.6% Aurizon Mines Ltd ARZ 0.8%
Southern Copper Corp SCCO US -3.1% AK Steel Holding Corp AKS -2.6% Thompson Creek Metals Co Inc TCM -3.8%
Cia de Minas Buenaventura SA BVN US -3.8% MeadWestvaco Corp MWV -3.1% Eldorado Gold Corp ELD -4.8%
Incitec Pivot Ltd
SECURITY_NAME IPL AU
TICKER -4.3%
Chg Dow Chemical Co/The
SECURITY_NAME DOW -3.5%
TICKER Chg Lake Shore Gold Corp
SECURITY_NAME LSG -5.7%
TICKER Chg
Industrials Empresa Brasileira de Aeronaut ERJ US 4.7% Rockwell Collins Inc COL 3.0% Transat AT Inc TRZ/B 4.4%
Volvo AB VOLVB SS 3.2% Precision Castparts Corp PCP 2.0% Bombardier Inc BBD/B 1.6%
SMC Corp/Japan 6273 JP 3.0% Goodrich Corp GR 1.7% CAE Inc CAE 1.3%
ABB Ltd ABBN VX -1.8% Cummins Inc CMI -2.0% Finning International Inc FTT -2.2%
Bouygues SA EN FP -2.0% 3M Co MMM -2.0% Stantec Inc STN -2.5%
Metso OYJ
SECURITY_NAME MEO1V
TICKERFH -2.1%
Chg Masco Corp
SECURITY_NAME MAS -3.3%
TICKER Chg IESI-BFC Ltd
SECURITY_NAME BIN -2.7%
TICKER Chg
Cons Disc Hyundai Motor Co 005380 KS 3.1% Ross Stores Inc ROST 3.7% Reitmans Canada Ltd RET/A 2.0%
Sony Corp 6758 JP 2.6% AutoNation Inc AN 1.5% Yellow Pages Income Fund YLO-U 1.2%
Denso Corp 6902 JP 2.5% Kohl's Corp KSS 1.4% Magna International Inc MG/A 1.0%
OPAP SA OPAP GA -1.8% Ford Motor Co F -3.2% Dorel Industries Inc DII/B -1.5%
Nikon Corp 7731 JP -3.0% DIRECTV DTV -3.4% Groupe Aeroplan Inc AER -1.7%
Esprit Holdings Ltd
SECURITY_NAME 330 HK
TICKER -3.2%
Chg Office Depot Inc
SECURITY_NAME ODP -4.8%
TICKER Chg Cogeco Cable Inc
SECURITY_NAME CCA -3.8%
TICKER Chg
Cons Stap Kimberly-Clark de Mexico SAB d KIMBERA MM 2.9% Philip Morris International In PM 1.7% George Weston Ltd WN 1.5%
Aeon Co Ltd 8267 JP 2.4% Coca-Cola Co/The KO 1.5% Saputo Inc SAP 1.0%
Seven & I Holdings Co Ltd 3382 JP 2.3% Kellogg Co K 1.1% Empire Co Ltd EMP/A 0.7%
Tate & Lyle PLC TATE LN -1.7% SUPERVALU Inc SVU -2.4% North West Co Fund NWF-U -0.6%
Nestle SA NESN VX -1.8% Safeway Inc SWY -2.5% Jean Coutu Group PJC Inc/The PJC/A -0.8%
Cia de Bebidas das Americas
SECURITY_NAME ABV US
TICKER -2.5%
Chg Kroger Co/The
SECURITY_NAME KR -2.7%
TICKER Chg Loblaw Cos Ltd
SECURITY_NAME L -1.1%
TICKER Chg
Health Care Novo Nordisk A/S NOVOB DC 1.4% Aetna Inc AET 3.7% CML Healthcare Income Fund CLC-U 1.1%
GlaxoSmithKline PLC GSK LN 1.1% CIGNA Corp CI 3.5% SXC Health Solutions Corp SXC 1.1%
Eisai Co Ltd 4523 JP 1.1% Genzyme Corp GENZ 3.4% Biovail Corp BVF 0.6%
Nobel Biocare Holding AG NOBN VX -0.4% St Jude Medical Inc STJ -1.5% MDS Inc MDS -1.1%
Fresenius Medical Care AG & Co FME GR -0.4% Pfizer Inc PFE -1.9%
Bayer AG
SECURITY_NAME BAYN
TICKERGR -1.2%
Chg PerkinElmer Inc
SECURITY_NAME PKI -2.1%
TICKER Chg SECURITY_NAME TICKER Chg
Financials Lloyds Banking Group PLC LLOY LN 8.2% People's United Financial Inc PBCT 1.5% Primaris Retail Real Estate In PMZ-U 1.7%
EFG Eurobank Ergasias SA EUROB GA 6.8% NASDAQ OMX Group Inc/The NDAQ 1.4% Brookfield Properties Corp BPO 1.6%
Alpha B ank AE ALPHAG A 5.5% Chubb Corp CB 1.3% FirstService Corp FSV 1.1%
Segro PLC SGRO LN -2.8% Genworth Financial Inc GNW -3.8% Brookfield Asset Management In BAM/A -2.2%
DnB NOR ASA DNBNOR NO -2.8% E*Trade Financial Corp ETFC -4.3% Chartwell Seniors Housing Real CSH-U -4.7%
DBS Group Holdings Ltd
SECURITY_NAME DBS SP
TICKER -3.2%
Chg SLM Corp
SECURITY_NAME SLM -5.5%
TICKER Chg Extendicare
SECURITY_NAME Real Estate Invest EXE-U -5.5%
TICKER Chg
Technology Ricoh Co Ltd 7752 JP 3.0% FLIR Systems Inc FLIR 1.5% Open Text Corp OTC -1.1%
Nintendo Co Ltd 7974 JP 2.6% LSI Corp LSI 0.9% Celestica Inc CLS -1.5%
Hirose Electric Co Ltd 6806 JP 2.5% Corning Inc GLW 0.8% Research In Motion Ltd RIM -1.9%
Alcatel-Lucent/France ALU FP -0.7% Xerox Corp XRX -2.9% CGI Group Inc GIB/A -2.4%
Murata Manufacturing Co Ltd 6981 JP -0.8% Advanced Micro Devices Inc AMD -3.0% MacDonald Dettwiler & Associat MDA -6.5%
ARM Holdings PLC
SECURITY_NAME ARM LN
TICKER -0.9%
Chg Adobe Systems Inc
SECURITY_NAME ADBE -3.0%
Telecom Singapore Telecommunications L ST SP 1.6% MetroPCS Communications Inc PCS 1.6% TELUS Corp T 2.0%
Vodafone Group PLC VOD LN 0.8% Qwest Communications Internati Q 1.0% Bell Aliant Regional Communica BA-U -0.3%
Portugal Telecom SGPS SA PTC PL 0.7% AT&T Inc T 0.7% Manitoba Telecom Services Inc MBT -0.4%
Softbank Corp 9984 JP -1.0% CenturyTel Inc CTL -0.5% Rogers Communications Inc RCI/B -0.8%
Telenor ASA TEL NO -1.2% Sprint Nextel Corp S -1.1% BCE Inc BCE -1.5%
Tele Norte Leste Participacoes
SECURITY_NAME TNE US
TICKER -4.2%
Chg Windstream
SECURITY_NAMECorp WIN -2.7%
Utilities Hong Kong & China Gas Co Ltd 3 HK 1.9% Xcel Energy Inc XEL 0.7% Just Energy Income Fund JE-U -0.4%
Terna Rete Elettrica Nazionale TRN IM 0.9% FirstEnergy Corp FE 0.5% Northland Power Income Fund NPI-U -1.0%
AGL Energy Ltd AGK AU 0.8% Dominion Resources Inc/VA D 0.5% TransAlta Corp TA -1.1%
Cia Energetica de Minas Gerais CIG US -1.9% Questar Corp STR -1.5% Capital Power Income LP CPA-U -2.8%
Drax Group PLC DRX LN -1.9% Oneok Inc OKE -1.8% Atco Ltd ACO/X -2.9%
Centrica PLC CNA LN -2.4% EQT Corp EQT -2.4% Fortis Inc/Canada FTS -3.1%
Bold = move of more than 5%

Market Elements
Canadian Market Movers

• Transat 1st day up after a 6-session 41%(!), results driven, pummeling where the daily RSI dove below 12.
• African Barrick Gold Weakens on Debut - WSJ, FT
• Canadian Banks, BMO, CM manage to squeak out new closing highs despite the market pullback.
Energy Materials Industrials Consumer Discretionary Technology Financials

Symbol H/L Last %Chg Symbol H/L Last %Chg Symbol H/L Last %Chg Symbol H/L Last %Chg Symbol H/L Last %Chg Symbol H/L Last %Chg
PD-U 7.64 -3.2% MX  25.10 -3.0% BBD/B  5.87 1.5% MG/A  59.90 0.9% XIT  7.48 -2.3% XFN  23.65 0.0%
ESI 14.59 -0.7% POT  123.00 -1.3% CAE  9.51 1.2% LNR  18.00 -6.3% OTC  48.46 -1.0% RY  59.40 -0.1%
TDG 7.19 -4.2% AGU  71.72 0.0% RNO 6.25 0.8% MRE  9.33 0.1% MN 3.69 -2.3% TD  74.70 0.7%
SVY 7.17 -2.9% CCL/B  28.33 0.4% VIC-U 16.93 -2.1% WPT  15.80 -2.8% CX 0.97 0.0% BNS  50.29 -0.0%
TCW 13.30 -4.5% CAS 8.20 -1.9% WFI  26.11 -0.3% BLD 2.44 -1.2% MMC 0.25 2.0% BMO H 61.05 0.2%
SCL/A  27.81 -0.0% TCK/B  40.05 -2.9% SNC  50.80 -1.7% AZD 0.22 2.3% GIB/A  14.92 -2.3% CM H 75.67 0.8%
MTL  15.45 0.3% IVN  16.24 -1.0% ARE  13.71 -0.0% ZNN 2.58 -2.2% MTK  3.60 1.1% NA  63.12 0.4%
CFW 21.72 -3.6% FM 89.28 -0.2% GNV-U  27.31 -3.9% DII/B  32.42 -1.4% CTY  18.10 -0.0% CWB  24.00 -1.3%
PSI 11.35 -1.3% IMN 57.99 -1.2% BDT-U  32.55 -0.6% GIL  26.84 -0.1% MDA 38. 75 -6.4% LB  43.89 -0.6%
FES 12.46 2.8% LUN  4.86 -1.4% KHD US 13.93 -1.9% GC 7.81 1.0% CSU  41.65 0.4% MIC  26.95 -0.1%
TESO US 11.71 -2.2% EQN 3.58 -3.2% CUQ  20.37 1.5% THI  33.13 -1.1% DSG  6.38 -1.6% HCG  42.82 -0.7%
SU 31.49 -1.9% S  8.70 -0.9% SDC  14.35 -1.7% MTY  9.40 -2.0% CMG  16.94 0.1% ETC  23.96 -2.6%
IMO  38.88 -0.3% HBM 13.17 -0.2% CSIQ US 22.00 1.9% BPF-U  11.87 -0.1% ESL 7.80 0.0% FN-U H 21.49 0.0%
HSE  27.82 0.6% TCM 13.28 -3.8% TIH  29.31 -1.8% PZA-U  7.43 0.1% ENA  0.62 21.5% MKP  13.15 -0.2%
CVE  25.36 -2.1% QUA  17.12 -1.1% NFI-U H 11.13 0.0% AW-U  15.98 -1.1% MKX  11.75 -1.0% FC-U  11.14 1.2%
IOC US 67.05 -1.9% FNX  14.48 -1.4% AFN  35.32 0.6% KEG-U  12.13 0.2% RKN  1.47 0.6% HEQ 7.11 -0.5%
PVE-U  7.75 -2.8% WTN  5.04 -1.3% ATA 6.58 -1.9% CWI-U 5.26 -2.0% TWT 3 .35 -7.4% DHF-U  17.64 -0.7%
CLL 1. 34 -5.6% NDM 9.16 -2.3% ARF-U 22. 82 -8.8% AER 10.55 -1.6% ABT 5.88 -0.3% OCX  27.74 -2.1%
CNQ  73.23 -0.6% TKO 4.93 -1.4% WJX-U  25.65 -1.2% MDZ/A  10.78 -0.9% BWC  10.74 -1.4% X  30.17 -0.0%
ECA 31.37 -2.3% ORA 4.07 3.8% GLV/A  8.82 -2.3% ACM/A  34.92 -1.2% AXX 1.74 2.3% QC  1.28 0.0%
TLM 17.48 -2.8% MDI 24.60 -2.9% FTT  17.22 -2.1% CJR/B  19.38 -1.0% RIM 74.28 -1.6% CSF  14.63 -1.8%
COS-U 29.12 -0.7% GCE  7.68 -1.0% SPB  14.11 -0.2% TVA/B  15.00 -3.1% AAH  32.25 -0.1% IGM  43.57 0.2%
NXY 24.41 1.9% CTQ  8.53 0.1% RUS  19.13 -0.1% SJR/B  20.11 -0.4% DWI 10.23 -3.3% CIX  20.93 0.0%
PWT-U  21.50 -0.9% AVM  4.03 -2.1% RCH  22.28 0.7% CCA  40.48 -3.8% WIN  2.91 -2.6% AGF/B  18.12 -1.1%
CPG  38.95 0.1% ABX 40.14 -0.4% CWX  4.75 -0.2% CGO  32.25 -5.1% SW 8.90 -2.7% DC/A  12.90 0.0%
UPL US 44.24 -3.2% G 39.50 -0.8% CVL  14.12 0.8% CGX-U  19.44 -0.5% CDV 3.09 -1.5% SII  4.50 3.2%
AET-U  21.37 -0.4% K  18.20 -0.7% TCL/A  13.59 -0.1% IMX  15.79 -1.1% RCM 19.40 -1.4% U  5.87 -2.9%
PBG  56.20 -0.6% AEM 58.50 -2.3% BIN  17.80 -2.6% LGF US  6.03 1.0% SVC H 2.05 0.0% GS  21.00 -0.9%
NKO  101.44 -1.0% YRI 10.30 -0.6% NAL 8.58 -0.2% FMN 1.71 3.6% VCM  6.79 1.3% PNP 1.77 1.1%
PBN L 26.81 -0.3% ELD 12.91 -4.7% MLX  12.20 0.8% TRI  37.12 -1.1% EXF 6.00 -3.3% GCG/A  8.10 0.0%
PRE H 20.58 1.3% IMG 14.50 -1.8% RBA US 21.68 -1.1% YLO-U  6.10 1.1% TZT 1.60 3.8% DW  13.51 -1.0%
ERF-U 23.52 -0.8% RBI  20.84 -1.4% BDI  19.90 -0.2% QBR/B  34.00 -0.7% WEW  0.57 -3.3% GMP  13.80 -2.8%
BTE-U H 35.40 0.0% FNV  26.25 -1.2% GW  11.31 -0.0% TS/B  9.65 1.4% ET 13.79 0.1% CF  11.20 -0.3%
PGF-U  11.40 0.0% CG  13.14 0.7% MSI-U  10.60 -0.3% GVC 2.00 0.0% PUR 4.40 -4.3% WES  3.46 -0.5%
BNP-U  24.26 -1.8% OSK  8.59 -1.2% STN 26.09 -2.5% UNS  29.50 3.5% CTW/S 2.10 -2.3% MFC 20.14 -1.4%
PMG  31.25 -3.6% IGT 110.22 -1.6% IBG-U 14. 90 -6.7% SCC  28.70 0.3% MT 4.64 -0.2% GWO  27.95 -0.7%
VET-U  34.62 -0.9% NGD 4.54 -2.3% WJA  13.40 -1.8% CTC/A  55.13 0.6% VNP 5.29 -0.7% PWF  32.41 -1.6%
PRQ 12.63 -0.8% AGI  13.89 -2.3% TRZ/B 12.03 4.4% DOL  21.70 0.5% DSA  8.10 0.6% SLF 31.94 -0.4%
DAY-U  11.31 -0.5% GBU  4.54 0.6% JAZ-U  4.50 -0.8% RET/A  16.80 2.0% CLS  10.83 -1.4% POW  30.24 -1.4%
NAE-U 13.29 -0.9% GAM 8.81 -3.1% AC/B 1.69 -3.4% CTU/A 12.60 0.3% SO H 10.00 0.5% IAG  34.20 -2.1%
PEY-U  13.50 -0.8% SMF  4.99 -1.7% CNR H 59.99 1.1% GLN  15.05 0.1% MSD  23.07 -0.8% FFH 372.26 -1.7%
BNK  8.58 -1.1% DGC  18.74 0.4% CP  55.10 -1.0% RON  15.74 -0.4% GND  6.06 0.4% IFC  42.50 -0.5%
POU 16.51 -2.1% NG  7.52 0.0% TFI  9.96 0.8% FGL 14.02 -0.4% ZL  1.87 -3.6% XRE  12.10 -0.7%
NVA 12.81 -1.5% XGD 20.04 -0.8% STB  5.06 -0.9% IDG  17.83 -0.1% HR-U  16.30 0.5%
AAV  7.43 -1.5% EGU 6.39 0.4% CSS H 8.98 0.8% LNF  12.25 0.0% Utilities REF-U  27.33 -0.5%
UTS  2.56 -1.5% LSG 2. 65 -5.6% WTE-U  16.30 -0.3% GBT/A  35.01 -4.0% Symbol H/L Last %Chg CUF-U  18.80 -1.3%
BIR 8.72 -2.5% RMX 4.27 -1.6% Health Care Consumer Staples FTS  28.23 -3.0% CRR-U H 11.69 0.7%
CR  16.49 -0.6% SGR 3.34 -3.1% Symbol H/L Last %Chg Symbol H/L Last %Chg EMA  24.21 -1.5% AP-U  20.00 -1.5%
TNP 3.10 0.3% JAG 11.56 -1.1% IM  6.85 -2.1% SC  44.50 0.2% GZM-U  16.40 0.9% D-U  26.09 -0.5%
IE 3. 33 -10.0% GSC 3.71 1.3% EKO 1.39 -2.7% PJC/A  9.85 -0.8% CU  48.05 -1.8% WRK-U  14.89 0.2%
FRU-U  17.14 -0.0% NGX 3.16 0.3% FMD-U  9.47 -0.5% GCL  12.28 0.2% ACO/X  50.56 -2.9% BEI-U  40.20 -0.0%
CLT 20.80 -4.0% SEA  22.31 -2.2% CLC-U  12.66 1.1% L  37.55 -1.1% JE-U  14.23 -0.3% CAR-U  14.27 0.7%
QEC 4.01 -1.7% VEN 9.10 -1.0% DR-U  10.65 -0.3% WN  70.50 1.5% TA  22.65 -1.0% NPR-U  23.40 0.4%
LEG  12.26 -1.9% R  2.00 0.0% SXC H 66.46 1.0% MRU/A  42.15 0.0% BRC-U  20.68 -1.3% REI-U  19.32 -1.2%
TET 8.72 -1.5% ARZ 4.79 0.8% CNJ 4.44 -4.5% ATD/B 18.30 0.0% NPI-U  13.47 -0.9% CWT-U  20.84 -1.6%
PXX 2.53 -1.1% CRU 0.38 -1.2% TH 4.80 -1.4% EMP/A  52.49 0.7% CPA-U  17.31 -2.7% PMZ-U  17.40 1.6%
BNE  36.82 -1.3% JIN  4.50 4.8% QLT  5.18 0.0% NWF-U  17.98 -0.6% ATP H 13.74 4.1% MRT-U  13.31 -1.4%
PMT-U 4.82 -1.6% MFL 10.26 0.5% BU 8.80 -0.5% LIQ-U  16.90 -0.6% CPX  22.44 0.4% AX-U H 11.78 0.9%
GO 6.92 -3.0% XRC  7.30 -3.4% ONC 3.42 -2.0% BR-U  16.51 1.3% RPG  2.99 -2.2% CSH-U  7.25 -4.7%
CMF 7.78 1.8% HRG 0.74 -2.6% HBP 2.75 4.1% CDL/A  15.30 -0.3% AQN  4.54 -1.9% EXE-U  10.30 -5.5%
OPC 1.87 0.5% GBG  1.84 3.9% RVX 5.09 -3.9% BCB 7.58 0.0% BLX  10.39 -1.5% INN-U H 5.92 0.8%
SEO  10.89 -1.4% SLW 15.70 -2.4% NYMX US 3.75 -1.0% VT 9.55 -0.4% MXY  1.47 1.3% BAM/A  24.99 -2.1%
KEY-U  25.76 -3.4% PAA 23.65 -0.5% YM 1.15 0.8% ABC 1.40 0.7% IEF-U  12.28 0.8% FCR  22.01 0.5%
PKI-U 11.83 1.1% SSO  17.43 -3.3% TTH  2.60 0.0% SAP  28.81 0.9% MPT-U H 7.28 0.6% MRC  42.01 -1.1%
TRP  37.11 0.3% SVM 6.88 0.4% MDG 0.60 -1.6% CBY  52.00 0.0% PCC 3.60 -1.9% BPP  19.25 -1.1%
ENB  48.48 -0.5% ELR  1.43 -4.6% AEZ  0.82 -1.2% MFI 10.23 0.0% BPT-U  4.44 -0.4% PRK  5.60 0.7%
IPL-U  11.82 -0.7% HW 9.71 -3.7% BVF  16.11 0.5% AGT  34.25 -0.1% Telecom Services BPO H 15.54 1.6%
PIF-U  17.36 0.4% PPN 1.50 3.4% PLB H 22.58 3.1% RSI-U  4.84 0.6% Symbol H/L Last %Chg MIM/A 13.14 -0.8%
FCE-U  10.50 -0.4% GNA 7.79 -2.2% COM  6.60 -1.6% BXI 1.90 0.0% PIX 1.08 3.8% KMP 8.29 0.4%
ALA-U  18.69 0.0% CLM  8.83 -2.7% DDS 1.48 -0.6% PBH  13.65 -2.5% BCE  30.37 -1.5% MEQ  10.33 -1.1%
CCO 28.06 -1.4% LIF-U  51.61 -0.2% ANP 1.17 -4.8% SOY 4.01 0.5% T  36.48 1.9% MRD H 11.60 0.0%
SGQ 16.86 0.0% TRE  19.88 -0.6% NRI 0.26 1.9% HLF H 10.80 0.0% BA-U  25.89 -0.2% GDC H 3.74 8.7%
UUU 2.67 0.7% WFT  38.18 -0.8% MDS  8.40 -1.0% AG-U 3. 03 -7.9% MBT  31.60 -0.3% FSV  21.41 1.1%
DML 1.68 3.7% CFP  9.08 0.7% PTI 2.60 0.7% ATB  16.71 -2.3% WRX 0.90 -4.1% AIF-U  13.10 -2.9%
XEG  17.86 -1.1% NBD 16.58 -0.0% GLG  6.99 -1.9% RCI/B  35.37 -0.8% BRE-U  13.39 -0.4%
H/L = at a new closing 52- wk High/Low; / = within 10% of the 52- wk High/Low; Blue = S&P/TSX 60 member, Italics = ETF, Bold = move of more than 5%

Market Elements
Earnings Expected Next Session
Company Ticker Country Sector Industry MktCap Period Time

SouthGobi Energy Resources Ltd SGQ CN Canada Energy Coal&Uran 2,690 Q4 Aft-mkt
NovaTek OAO NVTK LI Russia Energy OG E&P 22,290 Y
Jaguar Mining Inc JAG CN Canada Materials Gold 970 Q4 Aft-mkt
Capstone Mining Corp CS CN Canada Materials DvrsMng 600 Q4 Aft-mkt
Globe Specialty Metals Inc GSM US U. S. Materials DvrsMng 820 Q2
Yunnan Chihong Zinc & Germanium Co Ltd600497 CH China Materials DvrsMng 3,220 Y
Yunnan Tin Co Ltd 000960 CH China Materials DvrsMng 2,530 Y
DXP Enterprises Inc DXPE US U. S. Industrials TrdgDist 150 Q4 16:00
Wolseley Plc WOS LN U.K. Industrials TrdgDist 7,030 S1
Meyer Burger Technology AG MBTN SW Switzerland Industrials Ind Mach 1,160 Y
Forth Ports Plc FPT LN U.K. Industrials MarineSrv 970 Y
Zenergy Power PLC ZEN LN U.K. Industrials ElcCmpEq 120 Y
Coast Wholesale Appliances Income Fund CWA.UN CN Canada CMR Disc CmpElRtl 30 Q4 Aft-mkt
Tiffany & Co TIF US U. S. CMR Disc SpecStors 5,920 Q4
Phillips-Van Heusen Corp PVH US U. S. CMR Disc Aprl&Gds 2,800 Q4 Aft-mkt
Williams-Sonoma Inc WSM US U. S. CMR Disc HmFrnsh 2,600 Q4 Bef-mkt
OPAP SA OPAP GA Greece CMR Disc Cas&Gam 7,070 Y Aft-mkt
Takkt AG TTK GR Germany CMR Disc CatalgRtl 770 Y 07:30
Tingyi Cayman Islands Holding Corp 322 HK Cayman CMR Stap PkgFdMt 14,760 Y 09:00
PureCircle Ltd PURE LN Bermuda CMR Stap PkgFdMt 550 S1
Medical Facilities Corp DR.UN CN Canada Hlth Care HCFacility 300 Q4 Bef-mkt
Alapis SA ALAPIS GA Greece Hlth Care Pharma 1,200 Y
Altus Group Income Fund AIF.UN CN Canada Financials REstSrv 220 Q4
Maguire Properties Inc MPG US U. S. Financials OfficeREIT 130 Q4 Aft-mkt
Sino-Ocean Land Holdings Ltd 3377 HK Hong Kong Financials REstDevl 5,250 Y
Mizrahi Tefahot Bank Ltd MZTF IT Israel Financials DiversBnk 210 Y
China TransInfo Technology Corp CTFO US U. S. Info Tech ApplicSwr 180 Q4
China Telecom Corp Ltd CHA US China Telecom IntegTelSrv 6,280 Y
Innergex Renewable Energy, Inc. INE CN Canada Utilities IPPTrad 190 Q4 Aft-mkt
China Resources Power Holdings Co Ltd 836 HK Hong Kong Utilities IPPTrad 9,980 Y
Red = Canadian incorporated, Blue = U.S. incorporated, Highlighted = S&P Global 1200 Index member

Back to Index
March 22, 2010

Economic Research Research Comment
Dr. Sherry Cooper (800) 613-0205

Douglas Porter (416) 359-4887
Jennifer Lee (416) 359-4092
Benjamin Reitzes (416) 359-5628
A.M. Notes
Dr. Sherry Cooper, Chief Economist

sherry.cooper@bmonb.com
416-359-4112
UNITED STATES – Benjamin Reitzes

An historic vote in the U.S. House of Representatives saw President Obama’s healthcare bill passed in a tight vote. The bill
will cost $940 bln and reduce the deficit by $143 bln over 10 years, and reduce the number of uninsured by 32 million people. The
amended changes to the bill should easily sail through the Senate likely this week and then to President Obama who will sign the
bill into law.
“Historic Vote on Health: Deal on Abortion Puts Biggest Change in Decades Over Top; Democrats Rejoice, but Republicans
Predict Electoral Gains” Wall Street Journal, page A1.
“In Reform, Boons for Hospitals and Drug Makers: With a sweeping overhaul of the nation’s health care system, Congress
would be giving the health care industry as many as 32 million additional paying customers in the next few years.” New York
Times, page B1.
Meantime, U.S. equity futures are pointing to a weak open. Worries about policy tightening in Asia, following India’s rate hike last
Friday afternoon, and ongoing concerns over Greece are weighing on global equity markets. The US$ is mildly stronger, as are
Treasuries, benefitting from the risk aversion.
No data on tap today, but Treasury Secretary Geithner addresses American Enterprise Institute in Washington, D.C. at 4:30 pm ET.
This week’s data…A major theme this week will be housing. Already showing cracks, blustery February weather didn’t help the
U.S. housing market. Existing home sales (out Tuesday) plunged 22% over December and January, but the carnage may not be
over, as January pending home sales recorded another steep decline. Look for sales to fall below the 5 mln level for the first time
since June 2009. The first homebuyer tax credit clearly brought sales forward, while the current credit is apparently providing little
boost…FHFA home prices are also due on Tuesday, and likely fell for a second straight month.
New home sales (out Wednesday) are likely to fare only marginally better, holding flat at January’s record low 309,000. While the
small increase in the NAHB index in February points to some potential gain, it was likely overwhelmed by the poor weather. And,
with the NAHB falling in March, the outlook for housing remains negative. Indeed, until the employment situation improves
markedly, new and existing home sales are unlikely to see consistent gains.
Please refer to page 5 for Disclosure Statements.

Sector Comment Economic Research
The other major release is durable goods orders which look to rise 0.6% in February, boosted
by a jump in Boeing orders. However, lower auto production likely acted as a slight headwind.
Excluding transportation, orders are expected to retrace part of the prior month’s 1% decline.
Core capital goods orders (a good proxy for business capital spending) which were particularly
weak in January, plunging 4.1%, likely also rebounded, but probably not enough to erase the
earlier decline. The big drop in core capital goods orders in January was a tough start to the
year, but business spending is still expected to contribute to real GDP growth in Q1.
Fedspeak: Fed Chairman Bernanke testifies at a House Financial Services Committee hearing
on “Unwinding Emergency Federal Reserve Liquidity Programs and Implications for Economic
Recovery.” This is clearly policy related and we could get some monetary morsels.
Other headlines…
“Interest-Rate Deals Sting Cities, States: Hundreds of U.S. municipalities are losing money
on interest-rate bets they made during the bull market in hopes of protecting themselves from
higher rates. The deal backfired when rates fell, shrivelling the sums paid to municipalities.
Now some are criticizing Wall Street and trying to exit the contracts.” Wall Street Journal,
page A1.
“IMF Urges Advanced Economies to Pare Deficits and Debt: he International Monetary
Fund on Sunday urged countries, particularly those with advanced economies, to pare their
fiscal deficits and debt to prudent levels by carrying out pension and health entitlement
reforms.” Wall Street Journal, page A12.
CANADA – Douglas Porter

The Week Ahead: After the data blast of the past few weeks, there is little in the way of key
economic indicators in Canada this week, with leading indicators tomorrow the only semi-
important release from StatsCan. However, we will see three provincial budgets, including
Ontario on Thursday, and Governor Carney is giving a potentially important speech on
Wednesday in Ottawa.
BoC Talk: Carney’s speech will be at lunch to the Canadian Association for Business
Economics at the Chateau Laurier. (Can you say part-eee?) The topic is “Productive Virtue in a
Wicked World “…thus, like you, I have no clue what he will be talking about. This will be
followed by a press conference just after 2 pm, and both the speech and presser will be
available on an audio webcast.
Provies: We will first see the budgets from arguably the two provinces with the least fiscal
work to do (Manitoba on Tuesday, and Saskatchewan on Wednesday), and then followed by
the province with arguably the most work to do (Ontario on Thursday). Ontario is looking at a
budget deficit of $24.7 billion in the fiscal year that ends on March 31, or 4.3% of GDP, both
record highs. The news is unlikely to get much better in the coming fiscal year, as the latest
projection of the FY10/11 gap was $21.1 billion. Press reports indicate that the Province is not
planning on aiming for a balanced budget until 2017, at the earliest, and restraint will not figure
high on the list of priorities in this year’s document. Implementing the HST on July 1 will be
the top challenge.
Dollarama: There was yet another apparent U-turn in Ottawa’s take on the strong loonie on
Friday. Finance Minister Flaherty and Industry Minister Clement both seemed to green-
light further strength in the C$ with sanguine comments about the currency early last week, a

change from last year. However, Prime Minister Harper weighed in on Friday: “The governor
of the Bank of Canada has been very clear … that the excessive or premature rise in the
Canadian dollar…is a risk in terms of the recovery of the Canadian economy”. (Reuters). For
all the attention it got, the C$ actually finished the week barely ahead, rising just 0.3% to
close at 98.4 cents ($1.017/US$). However, it fared very well on the crosses, as the euro and
pound both fell more than 1%, and the yen and Aussie $ barely rose last week. The currency
begins this week essentially where it left off on Friday at 98.3 cents.
See today's Wall Street Journal on page C1: "This Time, Canada Inc. Is Set for Dollar
Parity: Across Canada, exporters are girding for the likelihood that the Canadian currency
will keep getting stronger. The loonie, as Canadians dub their dollar, has risen 23% against the
U.S. dollar during the past 12 months, and is soon expected to equal or exceed the greenback."
StockWatch: The TSX fell 0.5% last week, dropping back below the 12k mark, after hitting an
18-month high of 12,100 on Wednesday. Toronto was one of the weaker global markets, as the
S&P 500 was up 0.9% and the Dow rose 1.1%, while most of Europe edged up and most of
Asia saw solid gains. On year-to-date basis, the TSX is about in the middle of the pack at
+1.7%, but it is now markedly below the S&P 500’s 4.0% gain as we near the end of Q1
(already!). There’s no real mystery why the TSX lagged, as materials (-1.6%) and energy (-
2.0%) were both down, with tech (-3.4%) piling on.
BondWatch: The short end of Canada’s market took another hit last week amid the ongoing
wave of upbeat economic data. Two-year yields rose 8 bps to 1.67%, and are now at their
highest level since November 2008 (aside from a spike last October in the wake of the RBA’s
first rate hike). Short-term yields have climbed 50 bps from their mid-January low, as the tide
of sentiment has turned decisively. Meantime, 10-year yields are the absolute definition of
range-bound---they dipped 5 bps last week to 3.49%, and are now essentially sitting right on
their 50- and 200-day moving average.
From the headlines: “Questions about deficit loom large over Thursday's Ontario budget:
Facing a cash crunch, Dalton McGuinty's Liberals have lowered expectations in advance of
Thursday's budget. But Finance Minister Dwight Duncan doesn't have the luxury of being
entirely boring, because there are a few big questions - mostly related to the scale of the
provincial deficit, and how the Liberals will fight it. The answers will help tell the story of the
rest of Mr. McGuinty's second term.” Globe and Mail (Link to Article)
“Markets watch for any hint of rate change': Those seeking more clarity from Bank of Canada
governor Mark Carney on when interest rates are going to rise just might get some on
Wednesday. Last April, the Bank of Canada lowered its overnight target interest rate to a
record-low 0.25% and said it would more than likely keep it there until at least July this year.
At the time, it forecast Canada’s core inflation rate would fall short of the preferred 2% annual
rate until the latter part of 2011. That hasn’t exactly worked out as planned.” National Post,
page A17
OVERSEAS – Jennifer Lee

A shaky start to the week, with Japan closed and equity futures pointing to a lower open despite
little new news provided by what few economic data pieces were released. Nerves were rattled
late last week after the Reserve Bank of India surprised markets with a 25 bp rate hike to its
repo rate, from a record low 4.75%. Higher rates were expected in order to stem inflationary
pressures, but not until next month’s policy meeting, so analysts were thrown off by this
sooner-than-expected move.

In Europe, the differing views on how to handle Greece’s fiscal problems continued to rage on
over the weekend, and all ahead of the March 25-26 European summit. Angela Merkel
mused during a radio interview that “I don't see that Greece needs money at the moment and
the Greek government has confirmed that. That's why I'd urge us not to stir up turbulence in the
markets by raising false expectations for Thursday's council meeting.” Meantime, Italy’s Silvio
Berlusconi said he was “absolutely in favour” of the EU providing assistance to Greece. And
so it goes. The EUR is trading near a 3-week low this morning of just under $1.35 so far this
morning, while European equities are in the red.
In Asia, the war of words continued between China and the U.S. on the value of the yuan.
Commerce Minister Chen Deming was on the wires last night, saying “The currency is a
sovereign issue and should not be an issue to be discussed between two countries” and that “We
think the renminbi is not undervalued, but if the U.S. Treasury gave an untrue reply for its own
needs, we will wait and see. If such a reply is followed by trade sanctions, I think we will not do
nothing. We will also respond if this means litigation under the global legal framework”. What
exactly the last part means is not clear but China seems to be gearing up for a trade war.
“Europe's Stragglers Find Villain: Germany's Competitiveness: Greece and Europe's other
intensive-care economies face a threat that can't be solved by cutting public spending or raising
taxes: a loss of competitiveness. And in the eyes of those struggling economies, the villain is
Germany—the euro zone's largest economy—which has emerged in recent years as the region's
most competitive. By raising the competitive bar, Germany makes it that much harder for its
neighbors to compete to sell their goods and services at home and abroad, a factor that in turn
affects their ability to grow out of their current debt-laden holes.” Wall Street Journal, page A2
Overnight Ranges: CAD $1.0182-to-$1.0149; EUR $1.3547-to-$1.3499; GBP $1.5031-to-

$1.4934; JPY ¥90.77-to-¥90.40; AUD $0.9161-to-$0.9107; CNY 6.8267

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IMPORTANT DISCLOSURES
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Distribution of Ratings (Dec. 31, 2009)
Rating BMOCM US BMOCM US BMOCM US BMOCM BMOCM First Call

Category BMO Rating Universe* IB Clients** IB Clients*** Universe**** IB Clients***** Universe
Buy Outperform 32.2% 12.3% 38.3% 36.1% 47.9% 50%
Hold Market Perform 62.6% 10.2% 61.7% 56.9% 48.9% 43%
Sell Underperform 5.3% 0% 0% 6.9% 3.2% 7%
* Reflects rating distribution of all companies covered by BMO Capital Markets Corp. equity research analysts.
** Reflects rating distribution of all companies from which BMO Capital Markets Corp. has received compensation for Investment Banking services
as percentage within ratings category.
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We use the following ratings system definitions:
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Mkt = Market Perform - Forecast to perform roughly in line with the market;
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Page 1  March 22, 2010 (Back to Index)

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2005 (the “Order”) or (II) high net worth ent ities falling within Article 49(2)(a) to (d) of the Order (all such p ersons together referred to as “relevant
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BMO Financial Group (NYSE, TSX: BMO) is an integrated financial services provider offering a range of retail banking, wealth management, and investment and
corporate banking products. BMO serves Canadian retail clients through BMO Bank of Montreal and BMO Nesbitt Burns. In the United States, retail clients are
served through Harris N.A. Investment and corporate banking services are provided in Canada and the US through BMO Capital Markets.
BMO Capital Markets is a trade name used by BMO Financial Group for the wholesale banking businesses of Bank of Montreal, Harris N.A. and BMO Ireland Plc,
and the institutional broker dealer businesses of BMO Capital Markets Corp. (Member SIPC), BMO Nesbitt Burns Trading Corp. and BMO Capital Markets GKST
Inc. (Member SIPC) in the U.S., BMO Nesbitt Burns Inc. (Member CIPF) in Canada, Europe and Asia, BMO Nesbitt Burns Securities Limited (U.S. registered and
member of FINRA), and BMO Nesbitt Burns Ltée/Ltd. (Member CIPF) in Canada, and BMO Capital Markets Limited in Europe and Australia. “Nesbitt Burns” is a
registered trademark of BMO Nesbitt Burns Corporation Limited, used under license. “BMO Capital Markets” is a trademark of Bank of Montreal, used under license.
"BMO (M-Bar roundel symbol)" is a registered trademark of Bank of Montreal, used under license.
® Registered trademark of Bank of Montreal in the United States, Canada and elsewhere.
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©COPYRIGHT 2010 BMO CAPITAL MARKETS CORP.

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Page 2  March 22, 2010 (Back to Index)

BMO - Research Highlights Mar 22

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Monday, March 22, 2010

*Click on title to view Comments **Click here to view Calendar of Events

Large Cap Stocks

Small Cap Stocks

Earnings & Conference Calls

Today's Events & Marketing

Home Capital Group (HCG) Company presentation in Vancouver

Upcoming Events & Marketing

Company presentation in Toronto. Michael Salter (Director, Investor Relations &

Winn-Dixie Stores (WINN) Company presentation in New York Mar. 25-26

Page 2 • March 22, 2010 (Back to Index)

Ballard Power Systems (BLD) Company presentation in Toronto Mar. 31

Cap REIT (CAR.UN) Company presentation in Vancouver Apr. 8

Detour Gold Corp. (DGC) Company presentation in Europe Apr. 12-16

New Gold (NGD) Company presentation in Europe Apr. 12-16

Page 3 • March 22, 2010 (Back to Index)

Paul Adornato & Richard Anderson

Osisko Mining (OSK) Company presentation in Europe Apr. 19-23

Page 4 • March 22, 2010 (Back to Index)

March 21, 2010

Stock Rating: Underperform

Price (18-Mar) $13.19 52-Week High $13.85

Appreciation Price: High,Low,Close

when Atlantic Power completed a capital reorganization where all of the 0 0

Last Data Point: March 18, 2010

March 21, 2010

Stock Rating: Outperform

Price (18-Mar) $70.71 52-Week High $73.85

Outperform Rating Reiterated Price: High,Low,Close(US$)

Slightly Positive. We were encouraged by management's decision last week to 0 0

CFPS $13.19 $0.22 $5.82 $6.40

March 22, 2010

Stock Rating: Outperform

Price (19-Mar) $20.14 52-Week High $26.50

Impact on Net Income Price: High,Low,Close

Impact 100 100

BVPS $16.62 $15.59 $16.83 $18.34

Target price of $24 is unchanged. Dividend $0.52 Yield 2.6%

March 22, 2010

Stock Rating: Market Perform

essentially in line with BMO Research estimates. Eldorado produced 128,593oz

Impact 100 100

Last Data Point: March 18, 2010

Forecasts (FY-Dec.) 2008A 2009A 2010E 2011E

forecast to account for over 55% of consolidated production.

March 22, 2010

Lumpy Structural Business and Rising Competition Price (19-Mar)

Valuation DCPU $2.93 $3.16 $3.09 $2.77

March 21, 2010

Stock Rating: Outperform

Price (19-Mar) $19.90 52-Week High $20.00

Changes Annual EPS Annual CFPS Quarterly EPS

March 19, 2010

Stock Rating: Outperform(S)

Price (18-Mar) $4.12 52-Week High $4.27

Stage II Remains on Track Price: High,Low,Close

project remains on track to be completed in late 2010. Anvil’s greatly improved 0 0

CFPS $0.46 -$0.08 $0.07 $1.15

Valuation Dividend $0.00 Yield 0.0%

Changes Annual EPS Annual CFPS Quarterly EPS

March 22, 2010

Price (19-Mar) $0.95 52-Week High $1.20

acquire Bounty Developments’ entire 20% working interest in 59 sections of 2 0.00