Cable Viewer

Currently released so far... 11244 / 251,287

### Browse latest releases

2010/11 2010/12 2011/01 2011/02 2011/03 2011/04 2011/05
2010/11/28 2010/11/29 2010/11/30
2010/12/01 2010/12/02 2010/12/03 2010/12/04 2010/12/05 2010/12/06 2010/12/07 2010/12/08 2010/12/09 2010/12/10 2010/12/11 2010/12/12 2010/12/13 2010/12/14 2010/12/15 2010/12/16 2010/12/17 2010/12/18 2010/12/19 2010/12/20 2010/12/21 2010/12/22 2010/12/23 2010/12/24 2010/12/25 2010/12/26 2010/12/27 2010/12/28 2010/12/29 2010/12/30
2011/01/01 2011/01/02 2011/01/04 2011/01/05 2011/01/07 2011/01/09 2011/01/10 2011/01/11 2011/01/12 2011/01/13 2011/01/14 2011/01/15 2011/01/16 2011/01/17 2011/01/18 2011/01/19 2011/01/20 2011/01/21 2011/01/22 2011/01/23 2011/01/24 2011/01/25 2011/01/26 2011/01/27 2011/01/28 2011/01/29 2011/01/30 2011/01/31
2011/02/01 2011/02/02 2011/02/03 2011/02/04 2011/02/05 2011/02/06 2011/02/07 2011/02/08 2011/02/09 2011/02/10 2011/02/11 2011/02/12 2011/02/13 2011/02/14 2011/02/15 2011/02/16 2011/02/17 2011/02/18 2011/02/19 2011/02/20 2011/02/21 2011/02/22 2011/02/23 2011/02/24 2011/02/25 2011/02/26 2011/02/27 2011/02/28
2011/03/01 2011/03/02 2011/03/03 2011/03/04 2011/03/05 2011/03/06 2011/03/07 2011/03/08 2011/03/09 2011/03/10 2011/03/11 2011/03/13 2011/03/14 2011/03/15 2011/03/16 2011/03/17 2011/03/18 2011/03/19 2011/03/20 2011/03/21 2011/03/22 2011/03/23 2011/03/24 2011/03/25 2011/03/26 2011/03/27 2011/03/28 2011/03/29 2011/03/30 2011/03/31
2011/04/01 2011/04/02 2011/04/03 2011/04/04 2011/04/05 2011/04/06 2011/04/07 2011/04/08 2011/04/09 2011/04/10 2011/04/11 2011/04/12 2011/04/13 2011/04/14 2011/04/15 2011/04/16 2011/04/17 2011/04/18 2011/04/19 2011/04/20 2011/04/21 2011/04/22 2011/04/23 2011/04/24 2011/04/25 2011/04/26 2011/04/27 2011/04/28 2011/04/29 2011/04/30
2011/05/01 2011/05/02

### Browse by creation date

66 72 73 75 79 85 86 87 88 89 90 91 92 93 96 97 00 01 02 03 04 05 06 07 08 09 10
1966/12
1972/02 1972/08
1973/04
1975/03
1979/08
1985/03 1985/06
1986/05
1987/06
1988/01
1989/12
1990/01 1990/07 1990/08 1990/10
1991/05
1992/01 1992/12
1993/10
1996/11
1997/12
2000/05 2000/06 2000/09 2000/11
2001/02 2001/03 2001/06 2001/07 2001/10 2001/11
2002/01 2002/02 2002/03 2002/04 2002/07 2002/11 2002/12
2003/01 2003/02 2003/03 2003/04 2003/05 2003/06 2003/07 2003/08 2003/09 2003/10 2003/11 2003/12
2004/01 2004/02 2004/03 2004/04 2004/05 2004/06 2004/07 2004/08 2004/09 2004/10 2004/11 2004/12
2005/01 2005/02 2005/03 2005/04 2005/05 2005/06 2005/07 2005/08 2005/09 2005/10 2005/11 2005/12
2006/01 2006/02 2006/03 2006/04 2006/05 2006/06 2006/07 2006/08 2006/09 2006/10 2006/11 2006/12
2007/01 2007/02 2007/03 2007/04 2007/05 2007/06 2007/07 2007/08 2007/09 2007/10 2007/11 2007/12
2008/01 2008/02 2008/03 2008/04 2008/05 2008/06 2008/07 2008/08 2008/09 2008/10 2008/11 2008/12
2009/01 2009/02 2009/03 2009/04 2009/05 2009/06 2009/07 2009/08 2009/09 2009/10 2009/11 2009/12
2010/01 2010/02

### Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z
Embassy Athens Embassy Asuncion Embassy Astana Embassy Asmara Embassy Ashgabat Embassy Apia Embassy Ankara Embassy Amman Embassy Algiers Embassy Addis Ababa Embassy Accra Embassy Abuja Embassy Abu Dhabi Embassy Abidjan Consulate Auckland Consulate Amsterdam Consulate Adana American Institute Taiwan, Taipei
Embassy Bujumbura Embassy Buenos Aires Embassy Budapest Embassy Bucharest Embassy Brussels Embassy Bridgetown Embassy Bratislava Embassy Brasilia Embassy Bogota Embassy Bishkek Embassy Bern Embassy Berlin Embassy Belmopan Embassy Belgrade Embassy Beirut Embassy Beijing Embassy Banjul Embassy Bangkok Embassy Bandar Seri Begawan Embassy Bamako Embassy Baku Embassy Baghdad Consulate Barcelona
Embassy Copenhagen Embassy Conakry Embassy Colombo Embassy Chisinau Embassy Caracas Embassy Canberra Embassy Cairo Consulate Curacao Consulate Ciudad Juarez Consulate Chennai Consulate Casablanca Consulate Cape Town Consulate Calgary
Embassy Dushanbe Embassy Dublin Embassy Doha Embassy Djibouti Embassy Dili Embassy Dhaka Embassy Dar Es Salaam Embassy Damascus Embassy Dakar Consulate Dubai
Embassy Freetown
Embassy Guatemala Embassy Gaborone Consulate Guayaquil Consulate Guadalajara
Embassy Helsinki Embassy Harare Embassy Hanoi Consulate Ho Chi Minh City Consulate Hermosillo Consulate Hamilton Consulate Hamburg Consulate Halifax
Iran RPO Dubai Embassy Islamabad Consulate Istanbul
Embassy Jakarta Consulate Jerusalem Consulate Jeddah
Embassy Kyiv Embassy Kuwait Embassy Kuala Lumpur Embassy Kinshasa Embassy Kingston Embassy Kigali Embassy Khartoum Embassy Kathmandu Embassy Kampala Embassy Kabul Consulate Kolkata
Embassy Luxembourg Embassy Luanda Embassy London Embassy Ljubljana Embassy Lisbon Embassy Lima Embassy Lilongwe Embassy La Paz Consulate Lahore Consulate Lagos
Mission USOSCE Mission USNATO Mission UNESCO Embassy Muscat Embassy Moscow Embassy Montevideo Embassy Monrovia Embassy Minsk Embassy Mexico Embassy Mbabane Embassy Maputo Embassy Manila Embassy Manama Embassy Managua Embassy Malabo Embassy Madrid Consulate Munich Consulate Mumbai Consulate Montreal Consulate Monterrey Consulate Milan Consulate Melbourne
Embassy Nicosia Embassy New Delhi Embassy Ndjamena Embassy Nassau Embassy Nairobi Consulate Naples
Embassy Ouagadougou Embassy Ottawa Embassy Oslo
Embassy Pristina Embassy Pretoria Embassy Prague Embassy Port Of Spain Embassy Port Louis Embassy Port Au Prince Embassy Phnom Penh Embassy Paris Embassy Paramaribo Embassy Panama Consulate Peshawar
Embassy Quito Consulate Quebec
REO Basrah Embassy Rome Embassy Riyadh Embassy Riga Embassy Reykjavik Embassy Rangoon Embassy Rabat Consulate Rio De Janeiro Consulate Recife
Secretary of State Embassy Suva Embassy Stockholm Embassy Sofia Embassy Skopje Embassy Singapore Embassy Seoul Embassy Sarajevo Embassy Santo Domingo Embassy Santiago Embassy Sanaa Embassy San Salvador Embassy San Jose Consulate Strasbourg Consulate St Petersburg Consulate Shenyang Consulate Shanghai Consulate Sao Paulo
Embassy Tunis Embassy Tripoli Embassy Tokyo Embassy The Hague Embassy Tel Aviv Embassy Tehran Embassy Tegucigalpa Embassy Tbilisi Embassy Tashkent Embassy Tallinn Consulate Toronto Consulate Tijuana
USUN New York USEU Brussels US Office Almaty US Mission Geneva US Interests Section Havana US Delegation, Secretary UNVIE Embassy Ulaanbaatar
Embassy Vilnius Embassy Vienna Embassy Vatican Embassy Valletta Consulate Vladivostok Consulate Vancouver
Embassy Windhoek Embassy Wellington Embassy Warsaw
Embassy Yerevan Embassy Yaounde
Embassy Zagreb

### Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
AF AM AJ ASEC AS AFIN AMGT AU AE AR ABLD AG AY AORC ASIG AEMR APER AMBASSADOR ASEAN AA AL ASUP ABUD AMED AX APECO AID AUC ASECKFRDCVISKIRFPHUMSMIGEG ADANA AFFAIRS AND AN ADCO ARM ATRN AECL AADP ACOA APEC AGRICULTURE ACS ADPM ASCH AMEX ACAO ANET AODE ARF ACBAQ APCS AMG AQ AMCHAMS AORG AGAO ADM AFSI AFSN AINF AIT ASEX AO ATFN AROC AFGHANISTAN AFU AER ALOW AC AZ AVERY AGMT
BA BRUSSELS BR BL BM BEXP BH BTIO BIDEN BO BT BC BU BY BX BG BK BF BBSR BMGT BTIU BE BD BWC BB BP BILAT
CA CW CH CO CONDOLEEZZA CR CASC CSW CVIS CPAS CMGT CS CI CU CJUS CY CDG CE CG CBW COUNTER CN CKGR COUNTERTERRORISM CODEL CWC CJAN CIA CD CLINTON CT CARSON CONS CB CM CFED CLMT CROS CNARC CIDA CBSA CIC CEUDA CHR CITT CAC CACM CVR CDC CAPC COPUOS CBC CBE COM CDB CAN COE COUNTRY CLEARANCE CACS CF CL CIS CTM CV CICTE
DR DEA DA DOMESTIC DHS DAO DCM DEPT DTRA DPRK DEFENSE DE DJ DISENGAGEMENT DOD DEAX DOE DK DS
ENRG EPET ETRD EFIS ECON EK EAID EUN ES EFIN EWWT ECIN EINV ETTC EAGR EC ELAB ECPS EN EG ELTN EAIR EPA ER EI EU EZ ET EIND EINVECONSENVCSJA ECONOMICS EXTERNAL ELN ELECTIONS EMIN EINN EFINECONCS ETRDEINVECINPGOVCS ENIV ECUN EINT ENGR ENNP EUR EAP EEPET ETRDEINVTINTCS ENVI EFTA ETRO ESENV ECINECONCS ENVR ECONOMY ECONOMIC EUMEM EAIDS ETRA ETRN EUREM EFIM EIAR EXIM ERD EAIG ETRC EXBS EINVEFIN ECIP EINDETRD EUC EREL ECA ENERG ENGY ECONCS EINVETC ECONEFIN ESA ETC ETRDECONWTOCS EUNCH
FI FR FREEDOM FTAA FARC FAO FJ FMLN FBI FOR FTA FOREIGN FINANCE FO FISO FDA FAC FOI FM FINR
GG GT GM GV GH GOI GA GTIP GR GZ GE GCC GY GOV GAERC GANGS GL GLOBAL GERARD GF GAZA GTMO
HO HA HK HUMAN HU HR HILLARY HSTC HUMOR HEBRON HI HURI HYMPSK
IWC IR IN IZ ICAO IV IRS IC IS IT IZPREL IRAQI IO IAEA ID ITPHUM ITPGOV ITALIAN IPR INRB IMO ITALY ICRC INTERPOL IQ ICTY INTELSAT IEFIN IA INR IRC IACI ITRA IL ICJ INTERNAL ISRAELI INMARSAT ITU ILC IBRD IMF ILO IDP ITF IBET IGAD IEA IAHRC ICTR IDA INDO IIP INRA INRO IRAJ IF
JP JA JO JOSEPH JOHNNIE JM JUS JAMES
KSCA KNNP KIPR KOLY KS KPAO KMPI KDEM KZ KG KJUS KRVC KICC KTIA KISL KTIP KCRM KWMN KMDR KVPR KV KHLS KU KTFN KIRF KR KPKO KTDB KIRC KGHG KFRD KCOR KE KSUM KPAL KSEP KSTC KGIC KOMC KFLO KAWC KUNR KNPP KIDE KNEI KBIO KPRP KN KWBG KMCA KCIP KTEX KGIT KNSD KCFE KLIG KFLU KBCT KOMS KBTS KACT KCRS KGCC KDRG KWMM KAWK KHIV KSPR KRAD KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KOCI KSTH KPAI KHSA KTLA KO KFSC KVIR KX KFTFN KHDP KPLS KSAF KMFO KRCM KCSY KSAC KPWR KTRD KID KWNM KMRS KICA KRIM KSEO KPOA KCHG KREC KOM KRGY KCMR KSCI KFIN KVRP KPAONZ KCGC KNAR KMOC KWAC KMIG KSEC KIFR KDEMAF KNUC KPIN KPRV KBTR KERG KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KNUP KTER KDDG KPAK KREL KCOM KNNPMNUC KRFD KHUM KDEV KCFC KWWMN KTBT KWMNCS KJUST
LE LY LU LTTE LI LO LH LG LAB LA LABOR LOG LT
MNUC MARR MASS MCAP MIL MO MOPS MU MX MEPI MR MDC MPOS MEETINGS MD MTCRE MK MUCN MY MASC MRCRE ML MA MEPP MAR MAPP MP MT MAS MTS MLS MI MERCOSUR MC MV MEDIA MILI MEPN MG MW MIK MTCR MARAD MZ MOPPS MAPS MCC MASSMNUC MQADHAFI MTRE
NZ NL NATO NO NAFTA NDP NIPP NP NS NPT NU NI NATIONAL NPG NGO NG NK NA NSSP NRR NSG NSC NPA NORAD NT NW NEW NH NSF NV NR NE NSFO NC NAR NASA NZUS
OTRA OEXC OIIP OVIP OAS OREP OSCE OPRC ODIP OSAC OPIC OPDC OFDP OIE OECD OPCW OVP OPAD OFDA OIC OSCI OMIG OBSP ON OCS OCII OHUM OTR OFFICIALS
PGOV PARM PREL PHUM PTER PINR PK PREF POL PINS PSOE PAK PBTS PHSA PAO PM PF PNAT PE POLITICS PARMS PBIO PSI POLINT POLITICAL PARTIES PL PA PROP PO PGOVLO PORG PGOVE PLN PINF PRELP PAS PPA PRGOV PUNE PG PALESTINIAN POLICY PROG PDEM PREFA PDOV PCI PRAM PTBS PSA POSTS PGOVSMIGKCRMKWMNPHUMCVISKFRDCA PBT PGIV PHUMPGOV PCUL PSEPC PREO PAHO PMIL PNG PP PS PHUH PEPR PINT PU PECON POGOV PINL PKFK PY PFOR PHALANAGE PARTY PMAR PHUMPREL PHUS PRL PGOC PNR PGGV PROV PTERE PGOF PHUMBA PEL POV
QA
RICE RUPREL RU RS RIGHTS RO RW RSP RP REACTION REPORT RCMP RSO RF RFE RM RIGHTSPOLMIL ROBERT REGION
SENV SCUL SNAR SOCI SW SMIG SP SZ SA SY SENVKGHG SU SF SAN SR SO SHUM SYR SAARC SL SI SNARCS SWE SN SARS SPCE SNARIZ SCRS SC SIPDIS SEN SNARN SPCVIS SYRIA STEINBERG SG SIPRS SH SOFA SANC SK ST SEVN
TPHY TW TC TX TU TI TN TS TT TRGY TO TH TBIO TSPL TIP TP TERRORISM TURKEY TSPA TD TZ TFIN TNGD TINT THPY TBID TF TL TV TAGS TK TR TRSY
UNSC UZ USEU US UN UK UP USTR UNGA UNMIK USUN UNESCO UNHRC UY UNO UG UNDC UAE UNAUS UNDESCO UNHCR UNEP UNCHC UNFICYP UNCHR USNC UNIDROIT UNCSD UNDP UNC UNODC USOAS UNPUOS UNCND USPS UNICEF UV UNCHS UNVIE UE USAID
VZ VT VE VTPREL VM VI VAT VN
WS WTRO WITH WHO WTRQ WBG WI WTO WHA WMD WMO WIPO WHTI WFP WB WWARD WA WEU WZ
XM XV XF XR XA XK XH XL XS XG XW XY XE XT XD XZ XX XTAG XQ XB XU XI XC
YM YI YMCS YE
ZR ZI ZANU ZU ZO ZP ZB ZL ZK ZF ZEALAND ZN ZA ZOELLICK ZJ

### Browse by classification

CONFIDENTIAL CONFIDENTIAL//NOFORN SECRET SECRET//NOFORN UNCLASSIFIED UNCLASSIFIED//FOR OFFICIAL USE ONLY

### Community resources

Follow us on Twitter Check our Reddit Twitter this Digg this page Contact us on IRC

courage is contagious

### Viewing cable 08TORONTO13, Canadian Capital Markets Update - Free Trade in Securities

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs
Understanding cables
Every cable message consists of three parts:

- The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
- The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
- The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.

To understand the justification used for the classification of each cable, please use this WikiSource article as reference.
Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #08TORONTO13.

Reference ID | Created | Released | Classification | Origin
--- | --- | --- | --- | ---
08TORONTO13 | 2008-01-11 15:03 | 2011-04-28 00:12 | UNCLASSIFIED//FOR OFFICIAL USE ONLY | Consulate Toronto

`

    VZCZCXRO0053
    PP RUEHGA RUEHHA RUEHQU RUEHVC
    DE RUEHON #0013/01 0111511
    ZNR UUUUU ZZH
    P 111511Z JAN 08
    FM AMCONSUL TORONTO
    TO RUEHC/SECSTATE WASHDC PRIORITY 2309
    INFO RUCNCAN/ALCAN COLLECTIVE
    RUCPDOC/USDOC WASHDC
    RUEATRS/DEPT OF TREASURY WASHDC
    RUEHLO/AMEMBASSY LONDON 0038
    RUEHFR/AMEMBASSY PARIS 0029
    RUEHTC/AMEMBASSY THE HAGUE 0008
    RUEHBS/AMEMBASSY BRUSSELS 0016
    RUEHLI/AMEMBASSY LISBON 0002

` `

    UNCLAS SECTION 01 OF 02 TORONTO 000013

    SIPDIS

    SIPDIS
    SENSITIVE

    DEPT PASS USTR FOR MELLE, MENDENHALL, CHANDLER
    DEPT PASS SEC

    E.O. 12958: N/A
    TAGS: EFIN EINV PGOV PREL CA
    SUBJECT: Canadian Capital Markets Update - Free Trade in Securities
    and Toronto Montreal Exchange Merger

    REF: (A) 07 Toronto 375 (notal) (B) 07 Toronto 160 (notal)

    (C) 07 Toronto 372 (notal)

    Sensitive But Unclassified -- protect accordingly.

    ¶1. (SBU) SUMMARY:  Canadian market and regulatory officials applaud
    U.S. Securities and Exchange Commission (SEC) deliberations to allow
    U.S. investors to trade directly on foreign exchanges that have
    regulations in line with U.S. securities regulations.  Free trade in
    securities has been a priority issue under the Security and
    Prosperity Partnership (SPP).  Canadian market analysts believe
    mutual recognition of securities regulations would enable U.S.
    investors to directly access the Canadian market and would encourage
    foreign issuers to list on the Toronto Stock Exchange (TSX), the
    world's seventh largest exchange by market capitalization (almost
    US$2 trillion).  Market watchers are optimistic that the proposed
    merger of the TSX and the Montreal Exchange (MX) will increase
    cooperation among Canadian regulatory jurisdictions, effectively
    moving Canada closer to a common domestic securities regulation.
    The TSX/MX merger seems on track and awaits approvals from TSX and
    MX shareholders, Ontario and Quebec regulators, the Canadian
    Competition Bureau, and the SEC.  Canadian securities regulators are
    highly motivated and would make good partners for the SEC to ensure
    a successful transition to mutual recognition of securities
    regulation across the US/Canada border.  END SUMMARY.

    --------------------------------
    Mutual Recognition in Securities
    --------------------------------

    ¶2. (SBU) More than a dozen large U.S. brokerages, such as Merrill
    Lynch, currently allow U.S. investors to buy Canadian stocks through
    a Canadian office or partner, but existing cross-border investment
    rules are a costly barrier for small investors and securities firms.
     Canadians were pleased that the SEC is considering changing its
    approach to regulating U.S. investors' trading on foreign stock
    exchanges in order to keep pace with U.S. investors who are
    increasing their international investments as the U.S. dollar falls.
     Converging international accounting standards and securities
    regulation principles, and closer ties among exchanges in different
    countries, may have made the concept of mutual recognition more
    palatable to regulators.  The NYSE's purchase of Euronext last year
    to form NYSE Euronext Inc would be another beneficiary if U.S.
    investors can more easily trade international securities.  Canadian
    officials realize that as yet no date has been set for commission
    consideration of the proposed rule change, which SEC Chairman Cox
    previewed in a December 19th speech at Columbia University.

    ¶3. (SBU) Canadian analysts believe the TSX would win mutual
    recognition approval from the SEC under the new rules, though
    investor demand for quick access to European markets and concerns
    about dealing with Canada's multiple securities regulators could put
    Canada farther down the list for mutual recognition by the SEC than
    some other regulatory jurisdictions.  If the rules change, the TSX
    expects to gain more U.S. investors, which would increase the
    exchange's trading volumes and fee revenue.  Mutual recognition
    could also make it easier to persuade global companies (especially
    in the commodities sector) to list shares on the TSX.  Mutual
    recognition of securities regulations also could help Canadian
    "snowbird" investors who winter in the U.S. to avoid technical
    violations of U.S. securities laws when they trade Canadian-listed
    securities while residing in the U.S.

    ----------------
    TSX -- MX Merger

    SIPDIS
    ----------------

    ¶4. (SBU) Market watchers are optimistic that the proposed merger
    between the TSX and the Montreal Exchange (MX), Canada's leading
    derivatives exchange (ref (B)), will be approved, creating a new
    Toronto-based market entity called the "TMX Group."  A TSX contact
    told us that the announced February departure of TSX CEO Richard
    Nesbitt will not slow the deal.  Under the terms of the C$1.3
    billion deal, the TSX Group will indirectly acquire all of the MX's
    outstanding common shares.  On November 29, the TSX Group was valued
    at around C$3.5 billion and Montreal Exchange Inc. was valued at
    about C$1.1 billion on the TSX.  The Ontario Securities Commission
    (OSC) will oversee the new Toronto-based TMX entity, while the
    derivatives piece of the business, still based in Montreal, will be
    overseen by Quebec's Autorit des marchs financiers (AMF).

    TORONTO 00000013  002 OF 002

    ¶5. (SBU) Financial sector analysts reportedly see Nesbitt's
    departure as opening the way for Luc Bertrand, the Ontario-born
    francophone head of the MX, currently slated to be deputy of the
    combined exchange, to instead be named CEO.  Analysts speculate that
    naming Bertrand to the CEO job might also allay Quebec political
    concerns about the deal.  Bertrand's previous experience with the
    Boston Options Exchange could also help the combined exchange expand
    its business south of the border.  The TSX/MX merger still requires
    approvals from TSX shareholders; a quorum of MX shareholders (a
    special MX shareholder meeting is scheduled for mid-February); the
    OSC; the AMF, which plans to hold two days of hearings in late
    February or early March; the Canadian federal Competition Bureau;
    and the SEC.

    ----------------------------------
    Single Securities Regulator Update
    ----------------------------------

    ¶6. (SBU) Critics point to Canada's fragmented capital regulatory
    system, separated by provincial and territorial boundaries (ref
    (B)), as a continuing barrier to "free trade" in securities, and
    European, Canadian, and U.S. media have speculated that European
    jurisdictions may receive SEC mutual recognition approval before
    Canada does.  An OSC contact explained to us that the mutual
    recognition initiative, while led by Ontario in partnership with
    Quebec, is actually a Canadian Securities Administrators (CSA)
    initiative.  The contact said the 13 provincial and territorial
    members of the CSA ((ref (B)) are very supportive of the efforts
    needed to position Canada for mutual recognition.  The consolidation
    of the Canadian market through the TSX/MX merger is expected to
    increase cooperation between Canadian regulatory jurisdictions,
    which the OSC believes may move Canada closer to common securities
    regulation (reftels).

    ¶7. (SBU) COMMENT:  Our OSC contact said OSC believes the SEC is
    likely to test the waters first with jurisdictions whose regulatory
    structure are most comparable to the United States.  Given the
    sectoral niche markets of North America -- large caps on the NYSE,
    tech stocks on the NASDAQ, energy and mining stocks on the TSX, and
    small-micro caps on the TSX Venture Exchange in Calgary - some here
    believe it would make sense to "streamline" North American markets
    by easing cross-border securities trading before focusing on Europe.
     Canadian market operators and regulators recognize the value of
    easing cross-border securities trade restrictions and hope Canada
    will be one of the initial jurisdictions slated for mutual
    recognition, although they recognize that the SEC has offered no
    details as to timing or likely market priority when it actually
    moves to ease the rules regarding U.S. trades on foreign exchanges.
    Canadian securities regulators are highly motivated and would make
    good partners for the SEC to ensure a successful transition to
    mutual recognition of securities regulation across the U.S.-Canada
    border. END COMMENT.

    NAY

`