MONTRÉAL, Dec. 19, 2014 /CNW Telbec/ - Caisse centrale Desjardins (CCD) announced today the signing of a new capital maintenance agreement by the Fédération des caisses Desjardins du Québec and the Fédération des caisses populaires de l'Ontario.
This agreement replaces the agreement signed in May 1993 by the eleven regional Desjardins federations in Québec and the Fédération des caisses d'économie du Québec (grouped together under the Fédération des caisses Desjardins du Québec since July 1, 2001), as well as a similar agreement signed in October 1993 by the Fédération des caisses populaires de l'Ontario, the Fédération des caisses populaires acadiennes and the Fédération des Caisses populaires du Manitoba (Caisse Groupe Financier since September 1, 2010).
Under this new agreement, the Fédération des caisses Desjardins du Québec and the Fédération des caisses populaires de l'Ontario undertake to maintain the capital base of CCD at a level that satisfies the requirements for a domestic systemically important financial institution as set out in the Ligne directrice sur les normes relatives à la suffisance du capital de base pour les coopératives de services financiers of the Autorité des marchés financiers (the AMF's guideline on adequacy of capital base standards applicable to financial services cooperatives).
This new agreement aims to integrate the new Basel III capitalization rules prescribed by the Bank for International Settlements and applicable to Desjardins Group since January 2013. The agreement also takes into account regulatory changes applicable to financial services cooperatives designated as domestic systemically important financial institutions with respect to capital base adequacy.
About Caisse centrale Desjardins
Caisse centrale Desjardins acts as treasurer for Desjardins Group and as its financial agent on Canadian and international markets. As treasurer, Caisse centrale Desjardins also develops and implements liquidities and asset liability management strategies for the Group. Caisse centrale is also responsible for meeting the liquidity needs of the Group, as well as increasing and diversifying its sources of funds on national and international markets.
About Desjardins Group
Desjardins Group is the leading cooperative financial group in Canada and the fifth largest cooperative financial group in the world with assets close to $227 billion. It has been rated one of Canada's top 100 employers by Mediacorp Canada. To meet the diverse needs of its members and clients, Desjardins offers a full range of products and services to individuals and businesses through its extensive distribution network, online platforms and subsidiaries across Canada. The group has one of the highest capital ratios and credit ratings in the industry. In 2014, Desjardins was named the fourth safest bank in North America by Global Finance magazine and the second strongest bank in the world by Bloomberg News.
A material change report will be filed by Caisse centrale Desjardins with the Canadian regulatory authorities and will be available on the website of SEDAR (www.sedar.com).
SOURCE: CAISSE CENTRALE DESJARDINS
For further information: (for journalists only): André Chapleau, Media Relations, Desjardins Group, 514-281-7229, 1-866-866-7000, ext. 5557229