(ROYAL GROUP LOGO)


                                                                       EXHIBIT 2


FEBRUARY 27, 2003

REPORT ON CORPORATE GOVERNANCE


We are writing this special report to advise you of the initiatives being
undertaken by Royal Group's Board of Directors in order to enhance Royal's
corporate governance.

As we advised in our 2002 Annual Report to Shareholders, we are committed to
having a majority of Independent Directors on the Board prior to the end of
fiscal 2003.

To assist us with the process of assessing candidates and nominating them to the
Board, we have formed a Nomination and Corporate Governance Committee. This
Committee is composed of a majority of Independent Directors, and includes Ralph
Brehn who is the retired former President of Hunter Douglas Canada Limited,
Irvine Hollis who is an independent management consultant and Ron Goegan who is
the Chief Financial Officer of Royal Group. This committee will also serve to
recommend other measures to enhance corporate governance.

We have also formed a Compensation Committee. The Compensation Committee is
mandated to recommend appropriate compensation levels and incentive systems for
the Senior Executives of Royal Group. The Compensation Committee is composed of
a majority of Independent Directors, and includes Ronald Slaght who is a partner
in the law firm Lenczner Slaght Royce Smith Griffin, Gregory Sorbara who is a
Member of Provincial Parliament for Vaughan-King-Aurora and Douglas Dunsmuir who
is President of Royal Group.

We view the initiatives detailed in this report as ones which will strengthen
the foundation of Royal Group and we look forward to keeping you, our valued
shareholders, appraised of our progress with enhancement of corporate
governance.

The Board of Directors
Royal Group Technologies Limited











                                   SIGNATURE



     Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be singed on its behalf by the
undersigned, thereunto duly authorized.




ROYAL GROUP TECHNOLOGIES LIMITED




Date: February 28, 2003         By:  /s/ Vic De Zen
                                    -------------------------------
                                    Name:   Vic De Zen
                                    Title:  Chairman, and C.E.O.