Hudson's Bay Company Establishes MTN Program

Hudson’s Bay Company established a Medium Term Note Program providing for the issue of up to $300 million aggregate principal amount of MTNs pursuant to a prospectus supplement dated July 26, 2001, which was filed with the securities regulatory authorities across Canada immediately after the filing of a base shelf prospectus dated July 26, 2001, which provides for the issue of up to $500 million of debt securities by HBC during the period up to August 26, 2003.

Scotia Capital Inc. led the syndicate of dealers for the underwritten offering of the first tranche of $100 million principal amount of 7.38 per cent Medium Term Notes to mature August 3, 2005, priced for a yield to maturity of 7.46 per cent. The offering was launched by a pricing supplement dated July 31, 2001, and was completed on August 3, 2001. In addition to Scotia Capital, the syndicate of underwriter dealers included RBC Dominion Securities Inc., CIBC World Markets Inc., BMO Nesbitt Burns, Merrill Lynch Canada Inc., National Bank Financial and HSBC Securities (Canada) Inc.

Blake, Cassels & Graydon LLP acted for HBC with a team that included Sheila Murray and Andrew Pollock (securities/corporate) and Paul Tamaki (tax). McCarthy Tétrault LLP acted for the dealers in connection with the shelf prospectus, the supplements and the offering with a team that included Edward P. Kerwin, Dean C. Masse and Stephanie Haladner (securities/corporate) and James G. Morand (tax).