Mr. Robert Blowes reports

HOME CAPITAL FULLY REPAYS $2 BILLION BERKSHIRE HATHAWAY BACKED CREDIT FACILITY; COMPLETES COMMERCIAL MORTGAGE ASSET SALE

Home Capital Group Inc. has received additional proceeds from previously announced asset sales and fully repaid the outstanding balance under the company's $2-billion credit facility provided by a wholly owned subsidiary of Berkshire Hathaway Inc.

"The full payout of all amounts owing on the Berkshire credit facility is an important next step that highlights the strength of our current liquidity position as we focus on delivering future success," said Robert Blowes, interim chief financial officer.

The full repayment of the Berkshire backstop credit facility significantly reduces interest expense for the company going forward. The company will continue to pay a standby fee of 1 per cent on undrawn funds until the Berkshire facility matures one year from the initial financing date.

The company received proceeds of approximately $662-million from the previously announced arrangement to sell certain commercial mortgage assets. The company has received an aggregate amount of approximately $1.13-billion on the sale and discharges of commercial mortgages in connection with its initiatives to increase liquidity. A final closing is expected to be completed during the company's third quarter.

As of July 25, 2017, the company's aggregate available liquidity and credit capacity stood at approximately $3.59-billion, including an undrawn amount of $2-billion under the company's credit facility agreement with Berkshire.

About Home Capital Group Inc.

Home Capital Group is a public company, traded on the Toronto Stock Exchange (HCG), operating through its principal subsidiary, Home Trust Company. Home Trust is a federally regulated trust company offering residential and non-residential mortgage lending, securitization of insured residential mortgage products, consumer lending and credit card services. In addition, Home Trust offers deposits via brokers and financial planners, and through its direct-to-consumer deposit brand, Oaken Financial. Home Trust also conducts business through its wholly owned subsidiary, Home Bank.