Finance committee  I would just say that all governments and all authorities have realized how important it is to have a robust toolkit for resolution. Canada evaluated its toolkit last year and determined to add a few extra powers to CDIC. These amendments were certainly not made because one fores

Finance committee  Over a period of time, it would try to market that institution and put the viable institution back into the free market.

Finance committee  The U.S. uses this from time to time where there is an institution that they think has some value to it but they don't have a buyer on the ready, and yet they think that over time they could maintain enough value in it that it could be sold back into the market. The option would

Finance committee  If the CDIC board didn't want to close a bank that was determined to be failing.

Finance committee  So this is another tool that CDIC now has, which essentially would take a failing bank, put it into receivership, and create a new bank. CDIC would transfer assets and liabilities from the failing bank into the new bank, which is called a bridge institution.

Finance committee  Yes, it essentially protects insured depositors in the new institution and whatever other assets and liabilities it would bring in. Just to clarify with respect to derivatives, CDIC could transfer derivative agreements into the new institution.

Finance committee  It can, but there was some more clarification sought in terms of whether CDIC could choose which parts of the counterparty agreements could come in, so this essentially says if derivatives are being transferred over CDIC can't cherry-pick among the counterparty's derivatives. The

Finance committee  Sure. In budget 2009, CDIC received the power to create a bridge institution if there was a non-viable financial institution, and it was determined they didn't--

Finance committee  No, it's a new power. It has never been used in Canada but it was determined that it would fill a hole in the toolkit essentially that CDIC currently had. And in looking at how the U.S. used it, they thought that it was worthwhile adding to CDIC in last year's budget.

Finance committee  These are really technical amendments. I don't mean to say a problem is foreseen in the financial sector. As you said, the sector is well capitalized, there was no problem in the financial sector. In any event, the objective is really just to clarify the law or add a clarificatio