Mr. John Germain reports

S SPLIT CORP. ANNOUNCES YEAR END RESULTS

S Split Corp. has released its results of operations for the year ended Dec. 31, 2023. The decrease in net assets attributable to holders of Class A shares amounted to $360,000 or 81 cents per Class A share. As at Dec. 31, 2023, net assets attributable to holders of Class A shares were $940,000 or $2.28 per Class A share. Cash distributions to preferred shareholders totalling $230,000 or 53 cents per preferred share were paid during the year and nil distributions were paid to Class A shareholders during the year.

The investment objectives for the Class A shares are: (i) to provide holders of Class A shares with monthly cash distributions targeted to be 6.00 per cent per annum on the net asset value (NAV) of the Class A shares; and (ii) to provide holders of Class A shares with the opportunity for leveraged growth in NAV and distributions per Class A share.

The investment objectives for the preferred shares are: (i) to provide holders of preferred shares with fixed cumulative preferential monthly cash distributions in the amount of 4.375 cents per preferred share (52.5 cents per year), representing a yield on the issue price of the preferred shares of 5.25 per cent per annum; and (ii) to return the issue price of $10 per preferred share to holders of preferred shares upon termination of the fund.

The fund invests in The Bank of Nova Scotia shares.

The fund employs an active covered call writing strategy to enhance the income generated by the Scotiabank shares and to reduce volatility.

The fund's investment portfolio is managed by its investment manager, Mulvihill Capital Management Inc. The fund's preferred and Class A shares are listed on the Toronto Stock Exchange under the symbols SBN.PR.A and SBN, respectively.