An anonymous director reports

CANADIAN BANC CORP. COMPLETES OVERNIGHT OFFERING OF $103,200,000

Canadian Banc Corp. has completed the overnight offering of preferred shares (Toronto Stock Exchange: BK.PR.A) of the company. Total gross proceeds of the offering were $103.2-million.

The preferred shares will begin trading on the Toronto Stock Exchange under the existing symbol of BK.PR.A.

The offering was led by National Bank Financial Inc.

The net proceeds of the offering will be used by the company to invest in a portfolio consisting primarily of six publicly traded Canadian banks as shown in the attached table.

The company's preferred share investment objectives are to:

1. Provide holders with cumulative preferential floating rate monthly cash dividends at a rate per annum equal to the prevailing Canadian prime rate plus 1.50 per cent (minimum annual rate of 5.0 per cent and maximum annual rate of 8.0 per cent) based on original $10 issue price.
2. On or about the termination date, currently Dec. 1, 2028 (subject to further five-year extensions and it has been extended in the past), to pay holders the original $10 issue price of those shares.