Canadian Hydro Developers, Inc.
TSX : KHD

Canadian Hydro Developers, Inc.
Vector Wind Energy Inc.
TSX VENTURE : VWE

Vector Wind Energy Inc.

December 21, 2006 18:08 ET

Canadian Hydro Completes Acquisition of Vector Wind Energy Inc.

CALGARY, ALBERTA and OTTAWA, ONTARIO--(CCNMatthews - Dec. 21, 2006) - Canadian Hydro Developers, Inc. (TSX:KHD) ("Canadian Hydro" or the "Company") and Vector Wind Energy Inc. (TSX VENTURE:VWE) ("Vector") announced today that the shareholders and warrantholders of Vector have today approved the previously announced plan of arrangement (the "Arrangement") pursuant to which Canadian Hydro has acquired (the "Acquisition") all of the issued and outstanding common shares of Vector, at a price per Vector Share of $0.30 cash, for cash proceeds of approximately $5.3 million.

The Arrangement was approved by more than 99.2% of the votes cast by Vector shareholders and warrantholders voting together as a class, (98.4% of the votes exclusive of those votes cast by warrantholders and Vector management and their respective affiliates). No Vector shareholders or warrantholders exercised their dissent rights in respect of the Arrangement. The Arrangement was also approved by the Ontario Superior Court of Justice. The Vector common shares will be delisted from the TSX Venture Exchange in the near future.

Brian Barr, Graham Findlay, Ronald Benn, Donald S. Macdonald, Brian E Frank and Michael Allen have today resigned as directors and officers of Vector as contemplated by the Arrangement.

Vector, through its transfer agent, intends to mail instructions to its shareholders informing them of the procedure to tender their shares for the cash consideration payable under the arrangement.

About Canadian Hydro Developers, Inc.

Canadian Hydro is a developer, owner, and operator of 18 renewable energy generation facilities totaling net 230 MW in operation, with an additional 384 MW nearing construction. The renewable generation portfolio is diversified across three technologies (water, wind, and biomass) in the provinces of British Columbia, Alberta, and Ontario. This portfolio is unique in Canada as all facilities are certified, or slated for certification, under Environment Canada's EcoLogo(M) Program.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy securities in any jurisdiction. Neither the Toronto Stock Exchange nor the TSX Venture Exchange has reviewed nor approved this press release.

Common shares outstanding: 119,652,023 (non-diluted)

Certain statements contained in this news release constitute forward-looking statements. These statements relate to future events or the Company's future performance. All statements other than statements of historical fact may be forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "schedule", "anticipate", "plan", "estimate", "expect, "may", "will", "potential", "intend", "could", "might", "should", "believe" and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The Company believes that the expectations reflected in those forward looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. These statements speak only as of the date of this news release. The Company does not intend, and does not assume any obligation, to update these forward-looking statements.

Contact Information