Société Générale de Financement du Québec Acquires Control of Alliance Films Inc.

On December 31, 2007, Société générale de financement du Québec, through its wholly-owned subsidiary SGF Cinema Inc. (“SGF”), completed the acquisition of control of Alliance Films Inc. (“Alliance Films”) for a total amount of $100 million. As a result, SGF will hold 51 per cent of the voting rights and a 38.5 per cent equity interest in Alliance Films, Canada's largest independent film distributor.

The acquisition was completed by way of subscription for shares in the share capital of Alliance Films and the transfer of shares of Alliance Films by EdgeStone Capital Partners to SGF. Alliance Films is a leading distributor of motion pictures and television shows in Canada, with an interest in distribution operations in the United Kingdom and Spain.

The SGF team was led by Legal Counsel Donna Benedek who was assisted by Fraser Milner Casgrain LLP. The FMC team included Joey Mastrogiuseppe (corporate), Charles Spector (corporate), Seon Kang (corporate), Marie-Noël Massicotte (employment), Barry Zalmanowitz (competition), Kirsten Embree (regulatory) and Brian Carr (tax).

Alliance Films was represented by McCarthy Tétrault LLP with a team led by Gary Girvan and Philip Moore, which included Lara Nathans, Aaron Klopp, Kordell Fournier (corporate), Oliver Borgers and Lorne Salzman (regulatory), Doug Cannon and Gwen Watson and Elaine Jewitt-Matthen (tax), and Robb Macpherson (employment).

EdgeStone Capital Partners was represented by Gerold Goldlist (corporate), Brett Seifred (corporate), Ian Crosbie (tax) and Raj Juneja (tax) of Davies Ward Phillips & Vineberg LLP.

Lawyer(s)

Raj Juneja Joey Mastrogiuseppe Marie-Noël Massicotte R. Ian Crosbie Garth (Gary) M. Girvan Oliver J. Borgers Charles R. Spector Lara Nathans Donna J. Benedek Brett Seifred Gwendolyn G. Watson Kirsten R. Embree Lorne P. Salzman Elaine Buzzell Robert A. MacPherson Barry Zalmanowitz Seon K. Kang A. Gerold Goldlist Philip C. Moore Brian R. Carr

Firm(s)

Dentons Canada LLP McCarthy Tétrault LLP Davies Ward Phillips & Vineberg LLP