This report supplements our research update "Canada 'AAA' Ratings Affirmed; Outlook Remains Stable," published on Nov. 2, 2016. To provide the most current information, we may cite more recent data than that stated in the previous publication. These differences have been determined not to be sufficiently significant to affect the rating and our main conclusions. The ratings on Canada reflect S&P Global Ratings' view of the country's strong public institutions, predictable policymaking, diversified economy, and fiscal and monetary flexibility. The ratings also incorporate Canada's high economic dependence on the U.S. economy, and potential asset quality problems in the financial system due to high household debt. The country's proactive approach to dealing with past fiscal issues, including pension funds at the
