AIC Global Financial Split Completes Offering

On May 31, 2004, AIC Global Financial Split Corp. (the Company), a mutual fund corporation, completed an offering of 1,600,000 class A shares at $15 per class A share and 1,600,000 preferred shares at $10 per preferred share for gross proceeds of $40 million. The Company’s investment objectives are (i) to provide holders of preferred shares with cumulative preferential quarterly cash distributions in the amount of $0.13125 per preferred share representing a yield on the issue price of the preferred shares of 5.25 per cent per annum; (ii) to provide holders of class A shares with regular monthly cash distributions targeted to be $0.10 per class A share, representing a yield on the issue price of the class A shares of 8 per cent per annum; and (iii) to return the original issue price to holders of the preferred shares and at least the original issue price to holders of the class A shares at the time of redemption of such shares on the termination date being May 31, 2011.

RBC Dominion Securities Inc. and CIBC World Markets Inc. co-led the offering, with a syndicate that included Scotia Capital Inc., BMO Nesbitt Burns Inc., National Bank Financial Inc., TD Securities Inc., Canaccord Capital Corp., Desjardins Securities Inc., Dundee Securities Corp., First Associates Investments Inc., HSBC Securities (Canada) Inc., Raymond James Ltd., Berkshire Securities Inc. and Wellington West Capital Inc.

The Company, AIC Ltd. (the Manager) and AIC Investment Services Inc. (the Investment Manager) (collectively referred to herein as AIC), were represented by Borden Ladner Gervais (BLG), with a team that included Lynn McGrade, Michael DeCosimo, Julie Mansi and Sarah Gardiner (securities/corporate) and Craig Webster and Larissa Tkachenko (tax). BLG was assisted by AIC’s in-house counsel, Marcia Stewart.

The agents were represented by Davies Ward Phillips & Vineberg, with a team that included Shawn McReynolds and Lindsay Clements (securities/corporate) and Ronald Wilson (tax).