The Canadian financial industry continues to experience significant changes. This report provides an update on recent developments and re-examines a number of issues facing financial service providers that were identified in Technical Report No. 82. In particular, this report highlights the role of economies of scale and scope as they relate to mergers and concentration, the strategies being followed by financial service providers, and how changes in information technology have affected service delivery. Developments in these areas continue to pose significant challenges for financial service providers as they attempt to develop strategies to maintain their profitability and long-run viability.