Investor FAQs

Tim Hortons is the fourth largest publicly-traded quick service restaurant chain in North America based on market capitalization, and the largest in Canada. Tim Hortons appeals to a broad range of consumer tastes, with a menu that includes premium coffee, flavored cappuccinos, specialty teas, home-style soups, fresh sandwiches, wraps, hot breakfast sandwiches and fresh baked goods, including our trademark donuts. As of October 2nd, 2011, Tim Hortons had 3,871 systemwide restaurants, including 3,225 in Canada, 645 in the United States and one in the Gulf Cooperation Council.

Tim Hortons enjoys an iconic brand status in Canada with near-universal brand recognition, and is a strong and emerging regional player in the U.S. with 645 restauants primarily located in the Midwest and Northeast U.S. A strong business platform of franchising, royalty, real estate and distribution underpins our brand reputation of quality and value.

Yes. 99.5% of all Tim Hortons restaurants in Canada and the U.S. are franchised. The Company operates restaurants for the purposes of training, product and market development.

You can contact our stock transfer agent Computershare Trust Company of Canada as follows:

Mail:
Computershare Trust Company of Canada
100 University Ave
9th Floor
Toronto, Ontario
M5J 2Y1

Phone: 
1-800-697-8078 (toll free North America)
514-982-7555   (international direct dial)

Fax:
1-888-453-0330 (toll free North America)
416-981-9800  (international direct dial)

Email:  
service@computershare.com

Internet:
www.computershare.com/service  (Investor Centre)

Yes, if you have registered your shares through Computershare Trust Company of Canada you can access your account online by going to http://www.computershare.com/service and follow the online registration process. If you are having trouble accessing your account online, contact Computershare Investor Services at 1-800-697-8078. Questions about stock not registered through Computershare should be directed to your stockbroker.

PriceWaterhouseCoopers LLP

Tim Hortons is traded on the Toronto Stock Exchange (TSX) and the New York Stock Exchange (NYSE) under the trading symbol of THI on both exchanges.

You can contact us as follows:
Investor Relations
Tim Hortons Inc. Investor Relations 874 Sinclair Road, Oakville, Ontario L6K 2Y1 (905) 845-6511
Corporate Office ( Canada ) 874 Sinclair Road Oakville, Ontario L6K 2Y1 (905) 845-6511
U.S. Office 4150 Tuller Road, Unit 236 Dublin, Ohio 43017 (614) 791-4200
Customer Service Email: customer_service@timhortons.com Toll free: 1 (888) 601-1616
Franchisee Opportunities: Canada | U.S.
Nutritional Information

All dividends paid by the Company after September 28, 2009, unless otherwise indicated, are designated as eligible dividends for Canadian tax purposes in accordance with subsection 89(14) of the Income Tax Act (Canada), and any applicable corresponding provincial and territorial provisions.

Unless otherwise indicated, all dividends paid by the Company to U.S. individual shareholders after September 28, 2009, are designated as qualified dividends for U.S. tax purposes and Form 1099-DIV reporting as that term is defined in section 1(h)(11) of the U.S. Internal Revenue Code of 1986.  The taxation of these dividends is dependent upon individual tax circumstances, including the holding period of the shares which generated the dividend.  Therefore, U.S. shareholders should consult their tax advisors regarding this or any other taxation matter.

Tim Hortons shares started trading on March 24, 2006 at an opening price of CDN$27.00 and U.S.$23.162.

Yes. The Company's dividend policy is to pay up to 30-35% of annual, normalized prior-year net income in dividends in the current year. In 2011, the quarterly dividend payout rate is CDN $0.17 per share. Future dividend payments remain subject to the approval of the Board of Directors.

Securities filings, including our Annual Report on Form 10-K, and 10-Q filings can be found within Regulatory Filings. If you require a printed copy of the annual report, please complete the Investor Request Form.

The transaction to make Tim Hortons a Canadian public company became effective on September 28th, 2009, and the close prices on September 25th, 2009 were $30.60 on the Toronto Stock Exchange and $27.99 on the New York Stock Exchange.

Dividends paid after September 28, 2009, unless otherwise indicated, are not subject to withholding taxes for Canadian resident shareholders.

For resident U.S. shareholders, dividends paid by the Company effective after September 28, 2009 are generally subject to Canadian withholding taxes at a rate of 15% of the gross amount of dividends paid, which may be eligible as a foreign tax credit for U.S. tax purposes, depending on the individual resident shareholder's tax situation. Taxpayers should consult their own tax advisors regarding the tax implications associated with receiving dividends from the Company.

Dividends are declared and paid in Canadian dollars.

For U.S. beneficial shareholders, Clearing and Depository Services Inc. ("CDS"), and for registered shareholders, our transfer agent Computershare Investor Services, will convert the dividend amounts into U.S. dollars based on exchange rates prevailing at the time of conversion.

Yes, the reorganization as a Canadian public company is a taxable event for non tax exempt Canadian and US resident individual shareholders.  As a result of the reorganization, there was a deemed disposition at fair market value for both Canadian and US tax purposes.  Generally, the difference between the original costs basis and fair market value at time of deemed disposition is the amount of gain (U.S. and Canadian) or loss (Canadian only) to taxpayers as a result of reorganization.  Closing prices on September 25, 2009 were C$30.60 on the Toronto Stock Exchange and USD$27.99 on the New York Stock Exchange respectively.
Please refer to Tax Considerations described in more detail in Registration Statement of Form S-4.  Taxpayers should consult their own tax advisors.

Canadian Tax Considerations
Taxation of Canadian Holders. Generally, a Canadian resident holder of Tim Hortons Inc immediately prior to the merger ("THI USA") common stock will, for Canadian federal income tax purposes, realize a capital gain (or sustain a capital loss) to the extent that such holder's proceeds of disposition, net of any reasonable costs of disposition, exceed (or are less than) the adjusted cost base immediately prior to the Effective Time of the holder's THI USA common stock converted in the merger. For the purpose of computing such capital gain or capital loss, a holder will be considered to have disposed of the THI USA common stock for proceeds of disposition equal to the fair market value at the Effective Time of the common shares received therefore on the merger (herein referred to as "New THI common shares"). Such a holder will be considered to have acquired the New THI common shares at a cost equal to their fair market value as of the Effective Time.

Taxation of Non-Canadian Holders. Generally, THI USA stockholders who are non-residents of Canada for Canadian federal income tax purposes will not be subject to Canadian federal income tax in respect of any capital gain realized on the disposition of THI USA stock.

United States Tax Considerations
Taxation of U.S. Holders. The reorganization should be characterized for U.S. federal income tax purposes as a transaction in which U.S. Holders will recognize taxable gain, if any (but not loss), in an amount equal to the excess of the fair market value of the New THI common shares received in the merger over their tax basis in the THI USA common stock converted therefore. Shareholders recognizing a gain will have a basis in their New THI common shares equal to the basis in their THI USA common stock converted therefore plus the amount of gain recognized. Stockholders realizing a loss on the conversion will have a basis in the New THI common stock equal to the basis in their THI USA common stock converted therefore.

Taxation of Non-U.S. Holders. The holders of THI USA common stock who are treated as foreign persons for U.S. federal income tax purposes, including holders who hold directly and constructively more than 5% of the outstanding THI USA common stock, will not recognize taxable gain or loss on their THI USA common stock for U.S. federal income tax purposes.

Note: Impact of Wendy's spin of THI USA on Basis
Note:  Wendy's International shareholders received 1.3542759 shares of Tim Hortons common stock for every share of Wendy's common stock held at the time of the spin-off.

Your tax basis in the Wendy's shares you owned immediately before the spin-off must be allocated between your Wendy's shares and the shares of Tim Hortons common stock you received in the spin-off (including any fractional share for which you received cash). 

This allocation is based on the relative fair market values of your Wendy's shares and your Tim Hortons shares.  U.S. federal tax law does not specifically identify how you should determine the fair market values of the Wendy's shares and the Tim Hortons shares after the spin-off. 

There are several possible methods of measuring these values, including: (i) the opening trading prices of the Wendy's shares and the Tim Hortons shares on the first regular trading day after the Spin-Off (October 2, 2006); (ii) the average of the high and low trading prices of the Wendy's shares and the Tim Hortons shares on the first regular trading day after the Spin-Off (October 2, 2006); and (iii) the closing trading prices of the Wendy's shares and the Tim Hortons shares on the first regular trading day after the Spin-Off (October 2, 2006).