A secret 1986 Canadian government task force proposed cabinet consider selling the Royal Canadian Mint (RCM), according to Blacklock’s Reporter. .“The Ministerial Task Force on Privatization at its meeting of February 12, 1986 had for consideration a memorandum from the minister of supply and services dated February 4, 1986 concerning the possible privatization of the Royal Canadian Mint,” said cabinet in a memo. .“The Task Force agreed that no further action with respect to the possible privatization of the Royal Canadian Mint be taken.”.Records obtained through an access to information and privacy request indicate the proposal was reviewed by cabinet as part of a privatization drive. The RCM has operated as a Crown corporation since 1908. .The supply minister at the time was former Progressive Conservative MP Stewart McInnes (Halifax, NS). No reason was given for maintaining it as a Crown corporation. .The RCM said in its last annual report to Parliament it had a pre-tax profit of $45 million the previous year. Net revenue on the sale of coins paid $189.6 million in five-year dividends to the Canadian government. .Former prime minister Brian Mulroney created the Office of Privatization and Regulatory Affairs to sell Crown corporations in 1985. Cabinet said the government’s strategy is “to divest itself of those assets which are no longer fulfilling public policy objectives.”.Cabinet admitted it was worried about political risks to privatization. .“A centralized process to manage the rationalization is needed to minimize political risks,” it said. .The RCM’s profits were down about 13% in the first three months of 2023, according to financial statements filed with the Canadian government in May. .READ MORE: MAKING A MINT: Royal Canadian Mint’s first quarter profits fall 13%.Total revenues fell $95.3 million from $865 million to $769.7 million from one year before. Net profits slipped $1.9 million from $14.4 million to $12.5 million. .Gross profits before taxes and special items were up about 1.5% to $17.3 million for a 2.2% gross margin. That was up from about 1.8% in the comparable period of 2022.
