Mr. Jonathan Morgan reports

CANADIAN GENERAL INVESTMENTS, LIMITED REDEEMS $75 MILLION CLASS A PREFERENCE SHARES, SERIES 4 FUNDED BY MARGIN BORROWING

Canadian General Investments Ltd. today completed its $75-million 3.75 per cent cumulative redeemable class a preference shares, Series 4. This redemption was in accordance with the terms of the Series 4 shares.

The aggregate amount of $75,685,800 (including accrued and unpaid dividends from March 15, 2023, to, but excluding, June 12, 2023) was financed primarily through margin borrowing pursuant to a prime brokerage services agreement the company had entered into with a Canadian chartered bank in 2021.

CGI has engaged in a leverage strategy since its first issuance of Class A preference shares in 1998 with the intent to enhance returns to common shareholders. As at June 12, 2023, the total leverage of $175-million in margin borrowing was 15.7 per cent of CGI's net assets.