Canadian Telecommunications Common Carrier Ownership and Control Regulations — 17
tinues to be controlled by the acquiring corporation that first acquired it and the acquiring corporation satisfies the criteria set out in paragraph (e), (ii) the percentage of the members of its board represented by the aggregate of the members of its board who are Canadians and the members of its board who, on July 22, 1987 were individual Canadians but are no longer individual Canadians and continue to be members of the board of the carrier has not been lower than the lesser of (A) the percentage of its board who were individual Canadians as at July 22, 1987, and (B) eighty per cent, and (iii) where any of its voting shares are not controlled by the acquiring corporation, not less than eighty per cent of those shares are beneficially owned, and controlled, by Canadians; (e) an acquiring corporation shall satisfy the following criteria respecting continuous ownership and control by Canadians since July 22, 1987, namely, that at no time since acquiring control of the carrier has (i) the percentage of the members of the acquiring corporation’s board of directors represented by the aggregate of the members of its board who are individual Canadians and the members of its board who, on July 22, 1987, were individual Canadians and members of the board of the carrier, but are no longer individual Canadians and continue to be members of the board of the carrier been lower than the lesser of (A) the percentage of the members of the board of the carrier who were individual Canadians as at July 22, 1987, and (B) eighty per cent, and (ii) the percentage of the acquiring corporation’s voting shares that are beneficially owned, and controlled, by Canadians decreased, for a period of more than one year, by more than five per cent from the percentage of the voting shares of the carrier that were beneficially owned, and controlled, by Canadians as at July 22, 1987; and (f) a successor that is a corporation referred to in paragraph (2)(c) and that operates as a telecommunications common carrier shall satisfy the following criteria respecting continuous ownership and control by Canadians since July 22, 1987, namely, (i) the acquiring corporation of which it is a subsidiary continues to satisfy the criteria set out in paragraph (e), (ii) not less than eighty per cent of the members of its board of directors are individual Canadians, and (iii) where any of its voting shares are not controlled by the acquiring corporation, not less than eighty per cent of those shares are beneficially owned, and controlled, by Canadians. (5) Where the percentage of the voting shares of a carrier that are beneficially owned, and controlled, by Canadians decreases from the percentage of those shares that were beneficially owned, and controlled, by Canadians as at July 22, 1987, the carrier may exercise the powers set out in subsection 8(1) and sections 9 to 14, in relation to those voting shares. (6) Where the percentage of the voting shares of an acquiring corporation that are beneficially owned, and controlled, by Canadians decreases from the percentage of the voting shares of the carrier that were beneficially owned, and controlled, by Canadians as at July 22, 1987, the acquiring corporation may exercise the powers set out in sections 20 to 26, in relation to its voting shares. (7) For the purpose of determining whether voting shares of the carrier were beneficially owned by persons who were Canadians as at July 22, 1987, and the number of such shares, the directors may include in their determination, without requiring further evidence that the persons are Canadian, (a) subject to subsection (8), voting shares registered in the name of a shareholder who is an individual whose address, as shown in the security register or books and records compiled as of the date closest to July 22, 1987 within a six-month period, is in Canada; (b) subject to subsection (8), voting shares registered in the name of a shareholder who is not an individual, whose holdings were not g