Canadian General Investments, Limited
TSX : CGI.PR.A
TSX : CGI.WT
TSX : CGI
TSX : CGI.PR.B
LSE : CGI
LSE : CGIW

Canadian General Investments, Limited

October 18, 2005 17:37 ET

Canadian General Investments Reports 2005 Third Quarter Results

TORONTO, CANADA--(CCNMatthews - Oct. 18, 2005) - Canadian General Investments, Limited's (CGI) (TSX:CGI)(TSX:CGI.PR.A)(TSX:CGI.PR.B)(TSX:CGI.WT)(LSE:CGI)(LSE:CGIW) diluted net asset value per share (NAV) return, with dividends reinvested, for the three, nine and twelve month periods ended September 30, 2005 were 14.4%, 23.4% and 43.4%, respectively. By comparison, the returns of the benchmark S&P/TSX Composite Total Return Index (S&P/TSX) for the same periods were 11.6%, 20.7% and 29.3%. CGI's market returns, including reinvestment of dividends, to common shareholders were 21.1% for the third quarter, 46.1% year-to-date and 75.9% over the twelve months to September 30, 2005.

At September 30, 2005, net assets were $587,857,000, up 23.5% from the 2004 year-end value of $475,976,000. The corresponding NAVs at September 30, 2005 and December 31, 2004 were $25.35 and $20.71. For the first nine months of 2005, CGI had an increase in net assets resulting from operations of $126,145,000, or $5.52 per common share on a diluted basis. For the corresponding period in 2004, the increase was $41,724,000 or $1.86 per share.

The net gain on investments for the first nine months of 2005 was $125,648,000, comprised of a net realized gain of $53,973,000 and a change in unrealized gain on investments of $71,675,000. There was a net gain on investments of $39,197,000 during the comparable period in 2004. Net investment income for the nine months to September 30, 2005 was $497,000, down from the $2,527,000 recorded in the nine month period in 2004.

CGI purchased 94,800 of its warrants for cancellation during the first nine months of 2005 pursuant to its normal course issuer bid which was renewed in April 2005. Outstanding warrants continue to be exercisable on June 30 of each year until their expiration in 2007.

During each of the first three quarters of both 2005 and 2004, CGI paid regular income dividends of $0.06 per share to its common shareholders.



FINANCIAL HIGHLIGHTS
(in thousands of dollars, except per share amounts)

Three Months Ended Nine Months Ended
------------------ ----------------
Sept. Sept. Sept. Sept.
30, 30, 30, 30,
2005 2004 2005 2004
---------------------------------------------------------------------
Net investment income
(loss) for the period 3 (81) 497 2,527
Net realized gain
on investments 15,128 9,144 53,973 31,158
Change in unrealized gain
on investments 63,404 4,728 71,675 8,039
------ ----- ------ -----
Increase in net assets
resulting from operations 78,535 13,971 126,145 41,724
Increase in net assets
resulting from operations
per common share - basic 3.82 0.67 6.15 2.04
Increase in net assets
resulting from operations
per common share - diluted 3.41 0.62 5.52 1.86

As at
-----
Sept. 30, Dec. 31, Sept. 30,
2005 2004 2004
---------------------------------------------------------------------
Net assets 587,857 475,976 420,870
Net asset value per share - basic 28.57 23.22 20.53
Net asset value per share - diluted 25.35 20.71 18.40


In the United Kingdom, copies of the Corporation's quarterly report will be made available at the U.K. branch transfer agent, Computershare Investor Services PLC, P.O. Box 82, The Pavilions, Bridgwater Road, Bristol, BS99 7NH. Phone 0117-941-7781.


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