Maple Leaf Foods Inc.

Maple Leaf Foods Inc.

January 10, 2005 15:17 ET

Maple Leaf Foods Announces Convertible Debenture Redemption


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: MAPLE LEAF FOODS INC.

TSX SYMBOL: MFI

JANUARY 10, 2005 - 15:17 ET

Maple Leaf Foods Announces Convertible Debenture
Redemption

TORONTO, ONTARIO--(CCNMatthews - Jan. 10, 2005) - Maple Leaf Foods Inc.
(TSX:MFI) today reported that it has completed the redemption of its
convertible debentures. The redemption was announced on December 7th and
notice issued on December 8, 2004. On January 7th, the redemption date,
debentures with a principal amount of $79.8 million were outstanding and
were redeemed for cash at par value plus accrued interest. The cash
redemption was funded from proceeds of the Company's recent equity
offering which had previously closed on December 20, 2004.

Prior to the redemption date, debentures with a principal amount of
$11.5 million were tendered for conversion at a price of $15 per share
and settled by the issuance on January 7th of 763,933 common shares.
This brings the total number of voting and non-voting common shares
outstanding to 125.9 million.

After taking into account last month's equity issue and the shares
issued on conversion of the debentures, McCain Capital Corporation holds
33.0 % of all common shares of the Company and Ontario Teachers Pension
Plan Board holds 33.9%.

Maple Leaf Foods Inc. is a leading Canadian food processing company
committed to delivering quality food products to consumers around the
world. Headquartered in Toronto, Canada, the Company employs
approximately 23,000 people at its operations across Canada, and in the
United States, Europe and Asia. The Company reported sales of $5.0
billion in 2003.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Maple Leaf Foods Inc.
    Michael Vels
    Chief Financial Officer
    (416) 926-2048