Canadian Life Companies Split Corp.
TSX : LFE
TSX : LFE.PR.A

Canadian Life Companies Split Corp.

May 18, 2006 09:00 ET

Canadian Life Companies Split Corp. Regular Monthly Dividend Declaration

TORONTO, ONTARIO--(CCNMatthews - May 18, 2006) - Canadian Life Companies Split Corp. ("CLC Split") declares its regular monthly distribution of $0.10 for each Class A share ($1.20 annually) and $0.04375 for each Preferred share ($0.525 annually). Distributions are payable June 9, 2006 to shareholders on record as of May 31, 2006.

Since inception Class A shareholders have received a total of $1.30 per share and Preferred shareholders have received a total of $0.59 per share inclusive of this distribution, for a combined total of $1.89.

The fund's investment objectives are:

Preferred Shares:

i. to provide holders of the Preferred Shares with fixed, cumulative preferential monthly cash dividends in the amount of $0.04375 per Preferred Share to yield 5.25% per annum on the original issue price; and

ii. on or about December 1, 2012 (termination date), to pay the holders of the Preferred Shares the original issue price of those shares.

Class A Shares:

i. to provide holders of the Class A Shares with regular monthly cash dividends initially targeted to be $0.10 per Class A Share to yield 8.0% per annum on the original issue price; and

ii. on or about December 1, 2012 (termination date), to pay the holders of Class A Shares at least the original issue price of those shares.

CLC Split invests in a portfolio of four publicly traded Canadian life insurance companies as follows: Great-West Life, Industrial Alliance, Manulife Financial and Sun Life Financial. Shares held within the portfolio are expected to range between 10-30% in weight but may vary at any time.



Distribution Details:

Class A Share (LFE): $0.10

Preferred Share (LFE.PR.A) $0.04375

Ex-Dividend Date: May 29, 2006

Record Date: May 31, 2006

Payable Date: June 9, 2006


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