The Toronto Stock Exchange reports that the Canadian depositary receipts (CDRs) of Pepsi CDR (CAD Hedged), issued by Canadian Imperial Bank of Commerce, will be listed and posted for trading at the open on Dec. 23, 2025. According to the TSX, there will be 600,000 CDRs issued and outstanding, with no securities reserved for issuance. The CDRs will trade under the symbol PEP, in Canadian dollars and with Cusip No. 71344A 10 3. The transfer agent and registrar is TSX Trust Company at its principal office in Toronto, and the designated market-maker is CIBC World Markets Inc.

The TSX reports that the CDRs are securities that represent a beneficial ownership interest in a pool of shares of common stock of PepsiCo Inc. The underlying shares are listed on the Nasdaq Global Select Market under the symbol CVX. The CDRs are designed to provide Canadian investors with a fractional ownership interest in the underlying shares in Canadian dollars with a currency hedge. The TSX notes that the CDRs have been listed on Cboe Canada since April 29, 2025, under the symbol PEP. The CDRs will be delisted from Cboe Canada at the close on Dec. 22, 2025.

According to the TSX, each CDR is equivalent to owning a fractional interest in the underlying shares. This is represented by the CDR ratio. The CDR ratio is adjusted on a daily basis to provide a notional currency hedge. As the ratio increases or decreases, the number of underlying shares represented by one CDR increases or decreases. So, if the Canadian dollar strengthens, the CDR will represent a larger number of underlying shares. Conversely, if the Canadian dollar weakens, the CDR will represent a smaller number of underlying shares.

For example, if on a given day a CDR holder owns 100 CDRs and the CDR ratio is 0.10 on that day, then the CDR holder's interest in the pool provides entitlements that are based on the entitlements that would arise from beneficially owning 10 of the applicable underlying shares with a notional hedge into Canadian dollars of the market value in the applicable foreign currency in which such underlying shares are listed for trading on their principal securities exchange or other trading market. The CDR ratio for each series of CDRs will be calculated daily and will be available at CIBC's CDR website under the CDR directory tab.

CDR investors will be entitled to vote the underlying shares through CIBC's on-line voting portal. CIBC Mellon Trust Company, as the depositary, will then vote the underlying shares in accordance with the instructions provided on a commercially reasonable best efforts basis. The number of underlying shares that each CDR holder can vote will depend on how many CDRs they hold and how many underlying shares each CDR reflects.

The TSX notes that dividends paid on the underlying shares will be passed through to CDR investors in Canadian dollars when received by the depositary. The record date for determining which CDR holders are entitled to receive any dividends in respect of CDRs will be the record date set by the relevant underlying issuer. The depositary will notify CDR holders of any record dates via CIBC's CDR website under the corporate actions tab.

The deposit agreement (as defined below) sets out the terms of CDR holders' undivided co-ownership interests in the pool of underlying shares held for the relevant series of CDRs. Each CDR represents an equal undivided direct beneficial interest in the underlying share pool. CDR holders do not have any ownership interest in any particular underlying shares or number or fraction thereof, and CDR holders will not be considered to be shareholders of the underlying issuer for the purposes of Canadian or U.S. securities laws.

For more information, see CIBC's short form base shelf prospectus, dated Sept. 10, 2025, and U.S. CDR prospectus supplement No. 1, dated Sept. 10, 2025. Also see the deposit agreement, dated July 16, 2021, and amended and restated with effect as of May 28, 2024, among CIBC and CIBC Mellon, as the custodian, for the complete attributes of the CDRs.