2020 volume 30 issue 2

For three consecutive weeks leading up to the April release of first quarter earnings, Canadian National Railway (CN) communicated more broadly with investors by participating in 45-minute calls hosted by three different sell-side analysts. The analysts, who were from BMO, RBC and Citigroup, spoke with both the CEO and CFO, an unusual opportunity given that two members of the C-suite are rarely present. | Read Article |

COVID-19 and Financial Reporting

FINANCIAL REPORTING & IR

The outbreak of COVID-19 has had tragic consequences across the globe, with the full impact still unknown. Companies of all sizes and sectors are being impacted by the pandemic, either directly or indirectly, and the increased economic uncertainty may have significant financial reporting implications. | Read Article |

Disclosure Obligations in Critical Times

SECURITIES REGULATION & IR

The purpose of disclosure obligations under Canadian securities laws is to keep the public informed about material information and material developments that affect a public issuer's business, financial condition and results of operations, including external events that have a direct effect on the affairs of the issuer that is both material and uncharacteristic of the effect generally experienced by other issuers in the same industry or business. The COVID-19 pandemic has rattled markets and significantly impacted various aspects of the day-to-day operations of many issuers, such as labour force, consumer demand and supply chains. | Read Article |

Lessons on Social Media in a Post-COVID World

THE CANADIAN IR PRACTITIONER PERSPECTIVE

In general, social media is more suited to 'headlines' than to making material announcements or to getting the right 'balance' that financial disclosure requires. Outside of controversial examples of statements by Elon Musk, entrepreneur and CEO, Tesla and SpaceX, and Jack Dorsey, Co-founder and CEO of Twitter, it is unusual to find a company using social media to reset guidance or to quantify cash flow impacts of events like the COVID-19 pandemic. It is hard to imagine a company using social media to announce the suspension of dividends. | Read Article |

Most investor relations professionals are aware of cryptocurrencies like Bitcoin, have some familiarity with Blockchain and its underlying distributed ledger technology, and may have heard of an emergent new asset class called 'digital assets' or 'crypto assets.' Yet a majority of IROs dismiss the notion these will ever be part of mainstream capital markets, even while admitting to not fully understanding them. Skeptics could be missing the big picture: these inventions are here to stay, and it might be time to sharpen your knowledge. | Read Article |

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