Corporate Properties Limited

July 08, 2005 15:40 ET

Corporate Properties Limited Private Placements

TORONTO, ONTARIO--(CCNMatthews - July 8, 2005) - The Board of Directors of Corporate Properties Limited (TSX VENTURE:CPR) (the " Company") is pleased to announce that it has approved a new debt agreement for the replacement of all existing short term debt registered against the company. The agreement allows for the Company, at its option to draw down on any part of a total commitment of $4,887,500.00 to replace existing short term debt. The new debt would be for a term of two years expiring no later than January 31, 2008 at 6% interest per annum, payable interest only monthly. The debt will be convertible into company stock at $1.10 per share for every dollar of debt at the sole option of the lender for the first year of the term expiring no later than January 31, 2007. This agreement has been previously approved by the shareholders and the TSX Venture Exchange.

The Directors also approved the stock option plan previously approved by the shareholders and have allocated 25,000 options to each of the six Directors of the Company at a price of $1.10 per share for a period of two years.

Peter Rooney, a member of the Board and President of the Company's wholly owned subsidiary SeaMiles Canada Inc., is pleased to announce the addition of Mr. Michael Vietri as the new Vice President of Marketing for the company's affinity card program for Canada. Mr. Vietri was formerly the Vice-President Travel Services & Client Relations for Carlson Marketing Group, Canada and is recognized as a thought leader in the strategic development of travel-based loyalty programs. Mr. Vietri has worked with several business verticals including financial services, hospitality and automotive providing solutions for consumer, channel and employee target audiences. Mr. Vietri will assist the Company in articulating and implementing the over-all program design along with acquisition and retention strategies. The planned launch of the program is August 15, 2005.

Thomas Sheppard, President of the Company said "that these new developments are extremely positive steps for the long term development of shareholder value". He added that "we are very pleased with the redevelopment of the Company's property in Muskoka that is home to 'Tapp's Cottage Eatery' and the impending fall commencement of two more of the Company's Muskoka properties."

The TSX Venture Exchange has neither approved nor disapproved of this press release.

Contact Information

  • Corporate Properties Limited
    Thomas Sheppard
    (416) 966-6885