Mr. Stephane Lemay reports

POWER FINANCIAL ANNOUNCES RESULTS OF CONVERSION RIGHTS OF NON-CUMULATIVE 5-YEAR RATE RESET FIRST PREFERRED SHARES, SERIES P AND NON-CUMULATIVE FLOATING RATE FIRST PREFERRED SHARES, SERIES Q

Further to Power Financial Corp.'s press releases dated Dec. 2, 2025, and Jan. 2, 2026, all of the company's outstanding 1,542,484 non-cumulative floating rate first preferred shares, Series Q, will be converted on Feb. 2, 2026, on a one-for-one basis, into non-cumulative five-year rate reset first preferred shares, Series P, of Power Financial. During the conversion notice period which ran from Jan. 2, 2026, to Jan. 16, 2026, 4,200 Series P shares were tendered for conversion into Series Q shares and 856,753 Series Q shares were tendered for conversion into Series P shares. Pursuant to the terms and conditions of the Series Q shares, since there would remain outstanding on Feb. 2, 2026, after having taken into account all Series P shares and Series Q shares tendered for conversion, less than one million Series Q shares, all remaining Series Q shares will automatically be converted into Series P shares without the consent of the holders, regardless of whether they were initially tendered for conversion by holders.

In addition, despite the fact that, during the conversion notice period 4,200 Series P shares were tendered for conversion into Series Q shares, since there would be fewer than one million Series Q shares outstanding on Feb. 2, 2026, after having taken into account all Series P shares and Series Q shares tendered for conversion, holders of Series P shares who elected to tender their shares for conversion will not have their Series P shares converted into Series Q shares on Feb. 2, 2026, in accordance with the terms and conditions of the Series P shares.

Consequently, no Series Q shares will be issued on Feb. 2, 2026, and all 1,542,484 Series Q shares will be automatically converted into Series P shares on Feb. 2, 2026. As a result of the foregoing, after Feb. 2, 2026, there will be 11.2 million Series P shares outstanding and no Series Q shares outstanding.

The Series P shares and Series Q shares are currently listed on the Toronto Stock Exchange under the symbols PWF.PR.P and PWF.PR.Q, respectively.

About Power Financial Corp.

Power Financial, a wholly owned subsidiary of Power Corp. of Canada, is an international management and holding company with interests in financial services and asset management businesses in Canada, the United States and Europe. It also has significant holdings in a portfolio of global companies based in Europe.

We seek Safe Harbor.