In al the company spent

$404.0

million in 2021 on theve initiatives, These initiatives required a multi-ytar commitment on the part of the Board of Directors as well as the senlor management of Canadian Tire. As a result, the company plans to spend the same amount in 2022 on special projects.\ The company issued 2.6 million bonds, with a face value of $1,000 each. The bonds have a coupon rate of 10.0%, were issued at par and are parable semi annually. The bonds have a 25 year maturity and were iswued six years aga. The superior credit ratings being associated with the compary have had a positive effect on the Yield-to-Maturity rates for Canadian Tire'i debe. A St,000 Canadian Tire bond bas a nominal vield to maturity of

6,00%

(an effective yield to maturity of 6.0953).\ As of December 31, 2021 the authorized capital of Canadian Tire consisted of 20 milion preferred shares issued and outshandry and 75 milion comman shares issued and outstanding. The outstanding Common Shares and Preferred Shares of CTC are listed on the Toronto Stock Exchange ("TS

x^(**)

) and are traded under the symbols CTC and CTC.A, respretively. Preferred shares traded in a relatively narrow range in 2021 closing the year at

$90.81

per share. Common shares traded in a higher range, closing 2021 at

$10085

per share.\ Canadian Ter has consistently maintained a groath in the common share dividend of

4%

per year and they anticlpate comtinuins that trend inta the future. The dividend paid at the end of 2021 was

$5.721

per shafe. The halsers of Prefertent Shares are entitled to receive a preferential non cumulative dvidend at the rate of

$1.00

every calendar quarter.\ Nate the following additional information:\ 1 Flotakion conts for the isuance of new debt would be

4:5

of proceeds. For preferred and tummen shares flatation costs represent

10%

of the issut price.\ 2 Canadian Tire has a cupurate tax rate of

30%

.\ 3 Net Earnings (after interest, taxes and preferred share dividends) are forvcasted to be

$160

million for 2022. The company has a dividend pyyout ratio of

31.25%