Marc Whittingham President and CEO

1. The Canadian Commercial CorporationA Risk Mitigating Platform for Taking Canadian P3 Expertise Global Marc Whittingham President and CEO April 2012

2. Agenda • About CCC • CCC customer focus and markets • Value proposition to government buyers • Mitigating risk through G to G contracting • Why P3s? • Canada’s learnings on P3s • P3s on a Government-to-Government basis • CCC as a Trusted Government of Canada Partner

3. How CCC Does Business Collaborative - A government of Canada partner in accessing foreign markets Credible - A government of Canada partner in transparent contracting and corporate social responsibility Competitive - A government of Canada partner in mitigating risk

4. About CCC • Established by an Act of Parliament in 1946 • CCC is a federal Crown corporation mandated to assist in the development of international trade • CCC’s legislation provides the Corporation with a range of powers, including the ability to export goods from Canada either as principal or as agent providing governments of other nations with simplified access to Canadian technology and expertise

5. About CCC • CCC’s mission is to provide high-quality contracting services where risk, transparency and competitiveness benefit from a Government-to-Government arrangement • CCC provides value through direct Government-to-Government contracting that streamlines procurement, reduces costs, mitigates risk, and offers a Government of Canada guarantee that the contract will be performed in accordance with its terms and conditions • CCC delivers this value through four business lines targeting specific customers world-wide

6. CCC Markets

7. CCC Customer Focus • Governments of other nations • National and sub-national • Sectors of interest to those governments • Economic and social infrastructure • Defence and security • CCC delivers this value through four business lines targeting specific customers world-wide. • US DoD Sales through DPSA • Global Defence and Security Sales • Canadian Government Procurement (aid) • International Commercial Business

8. CCC Value Proposition • Government of Canada guarantee contract performance according to the terms and conditions of the contract • Expedited, cost-effective procurement through a direct Government-to-Government contract with CCC • Custom solution from a qualified Canadian exporter can be developed to meet the Government buyer’s requirements

9. CCC Value Proposition • Technical expertise in contract structuring for successful project delivery • Robust risk mitigation process ensures that only competent suppliers are backed by CCC • Active project monitoring and quality assurance throughout project delivery • CCC commitment to ethical business practices and corporate social responsibility (CSR)

10. Why are Governments Exploring P3s? • Concerns with conventional delivery models • Cost and schedule overruns • Disappointment with the performance of the asset • Concerns over lifecycle costs of the asset • Growing demand for infrastructure • Factor driving interest in exploring alternative delivery models is the demand for significant infrastructure investment • Limited capacity of the public sector • Insufficient capacity and expertise within the public sector to deliver the volume of infrastructure that is needed • The private sector has proven itself willing and very capable of providing the necessary expertise and resources • Capacity of the domestic private sector • Limits to the capacity of the private sector to meet the marketplace demand

11. Benefits Sought from P3s • Benefitting from Private Sector Experience, Expertise, Innovation and Efficiencies • In designing, constructing and financing the facility to optimize maintenance and operation • In maintaining and operating the asset for 25 - 35 or more years

12. Benefits Sought from P3s • Risk Transfer • Transfer risk of cost and schedule overruns, asset performance, maintenance, and operation • Risks which could result in higher future costs to taxpayers are transferred • Recognition of limitations: owner cannot transfer uninsurable risks or risks over which the design professionals have no control

13. Benefits Sought from P3s • Financial • Costs savings in efficiencies/innovations from the private sector • Public money does not begin to flow until the asset is fully operational • Asset to is well-maintained and efficiently operated at the lowest cost possible • Time may be saved in the construction process through innovation and efficiency and incentive of revenue beginning to flow

14. Impact of P3s on Government Cash Flows • Traditional Procurement • Large initial capital expenditure during construction phase • Maintenance and operating expenditures • Variable costs

15. Impact of P3s on Government Cash Flows • P3 Model: Payments Deferred • Potentially no payments during the design, finance and construction phases • Predictable stream of “availability payments” over the life of the concession • Only pay when performance is being met

16. Canada: Global P3 Infrastructure Leader • Canada has a strong global track record in the P3 market • Between 1998 and 2008, more than 75 P3 projects (worth CAD$24.8 billion) were signed in Canada at both the provincial and municipal levels

17. Canada: Global P3 Infrastructure Leader • The Government of Canada recently established PPP Canada Inc., a Crown corporation with CAD$1.2 billion to help promote the development of Canada’s P3 market • Canadian expertise in the P3 market cuts across a wide variety of sub-sectors, with particular emphasis on healthcare, education and transportation

18. What has Canada Learned About P3s? • Complexity, Cost and Time • More complex than conventional delivery models • Projects need to be quite large to justify additional • Process costs of project agreement and to have the critical mass to attract private financing

19. CCC: Taking Canadian P3 Expertise Global • CCC: a risk-mitigating platform for international P3s • P3s create bilateral partnerships built on projects of mutual economic significance. This allows for: • Development and prosperity of industries surrounding the project • Opening up non-traditional sources of supply, facilitating the creation of new markets • Creating and sustaining new employment • Long-term implications on GDP

20. CCC: Taking Canadian P3 Expertise Global • Incremental benefits of a government collaborator: • Political relationship strengthens investor confidence • CCC/Government of Canada guarantee that the project will be completed in accordance with terms and conditions of the contract • Reduces risks, thereby reducing costs • Accountability of CCC to the Crown – important transparency implications

21. CCC: Taking Canadian P3 Expertise Global • Corporate Social Responsibility (CSR) • As part of the Government of Canada, CSR and corporate citizenship are important foundations of CCC’s international business • Commitment to Ethical Business Practices • CCC’s commitment to ethical business practices is enshrined in the corporate Code of Conduct and Code of Business Ethics 21

22. CCC: Taking Canadian P3 Expertise Global • Contracting Language • All domestic contracts with Canadian suppliers include language relating to corruption, bribery and international sanctions. • All suppliers working with CCC uphold business practices that are consistent with the expectations of the Government of Canada

23. CCC: Taking Canadian P3 Expertise Global • Government of Canada: • Corruption of Foreign Public Officials Act • Conflict of Interest and Post Employment Code for Public Service • Public Servant Disclosure Protection Act • Canadian Environmental Assessment Act

24. CCC as a Trusted Government of Canada Partner • Guarantee of contract performance according to the terms and conditions of the contract • Offers tailored contracting andprocurement solutions to meet the buyer’s requirements • Provides fast-track access to Canadian capability • Performs due diligence on the supplier prior to entering into the contract • Develops and delivers Canadian solutions to governments around the world

25. Contact Information: Marc Whittingham President and Chief Executive Officer T: +1.613.996.0042  E: mwhittingham@ccc.ca Address: 50 O’Connor, 11th Floor, Ottawa, Ontario, K1A 0S6 CANADA www.ccc.ca 25