Loring Ward International Ltd.
TSX : LW

Loring Ward International Ltd.

February 28, 2007 22:20 ET

Loring Ward Adopts Shareholder Rights Plan

WINNIPEG, MANITOBA--(CCNMatthews - Feb. 28, 2007) - Loring Ward International Ltd. (TSX:LW) today announced that it has received a letter suggesting that Eli Reinhard and Alan Werba (who is a registered investment advisor who has an existing business relationship with Loring Ward) have indicated that they "plan to submit an all cash bid for the remaining shares" which are not already owned by them. Mr. Reinhard has recently filed a report disclosing that he owns approximately 17.9% of the Common Stock of Loring Ward and is acting jointly with Mr. Werba, who owns an additional .8% of the outstanding Loring Ward Common Stock, based on information provided in the filing. Messrs. Reinhard and Werba further indicated that they "are hopeful that (they) can arrive at a fair price for the remaining shares so the board can support (their) bid to the shareholders". They have not specified an expected price, timetable or terms, and have not amended their early warning report to disclose these intentions. As well, given the company's U.S. mutual fund and related operations, it may be difficult from a regulatory perspective for an unsolicited bidder to acquire over 25% of the company's shares. As a result, there can be no assurance that any transaction will result or, if a bid is made, as to the price, terms or timing thereof.

In response to this letter, the board of directors has adopted a Shareholder Rights Plan and is in the process of establishing a special committee and engaging a financial advisor.

The Rights Plan has been submitted for approval by the Toronto Stock Exchange but has not been approved by it to date. The Rights Plan is designed to encourage the fair treatment of Loring Ward shareholders while providing the Board of Directors with sufficient time to assess and evaluate any unsolicited take-over bid, and to explore and develop, if appropriate, alternatives that enhance shareholder value and to give shareholders adequate time to consider any such transaction.

The Rights Plan is expected to be put forward for consideration by Loring Ward shareholders at the upcoming meeting, currently planned to be held in May, 2007. A copy of the Rights Plan will shortly be filed on SEDAR at www.sedar.com.

Under the Rights Plan, one right was issued and attached to each outstanding common share of Loring Ward at the close of business on February 28, 2007, and one right will attach automatically to each common share issued thereafter.

The Rights Plan has a 20% trigger and an exception for a "permitted bid". Under the Rights Plan, a "permitted bid" is to be made to all shareholders in Canada by way of a take-over bid circular prepared in accordance with applicable securities laws and must comply with certain other usual conditions.

About Loring Ward

Loring Ward International Ltd. provides in its core business a turnkey asset management program to some of America's most knowledgeable and successful investment advisors and their clients. These services include investment strategies and products, back office operational processing, education and training, and business development support. The Company's U.S. corporate offices are headquartered in New York. For more information, please visit www.loringward.com.

The Company, in the ordinary course of its business, may explore potential proposals or be the recipient of proposals with respect to strategic opportunities and transactions, which may include strategic joint venture relationships, significant debt or equity investments in or by the Company, the acquisition or disposition of material assets or business lines, mergers, new products or services, new distribution methods and other similar strategic opportunities or transactions. The Company's policy is generally not to publicly disclose the pursuit of a potential strategic opportunity or transaction unless and until a definitive binding agreement is reached. The public announcement of such matters could potentially materially affect the price or value of the Company's securities. As a result, there can be no assurance that investors who buy or sell the Company's securities are doing so at a time when the Company is not pursuing a particular strategic opportunity or transaction that, if publicly disclosed, could materially affect the price or value of the Company's securities.

Information in this news release that is not current or historical factual information may constitute forward-looking information within the meaning of securities laws. Forward-looking statements may include those relating to the Company's objectives and strategies, as well as statements of our beliefs, plans, expectations and intentions. Implicit in this information are assumptions regarding future revenue and expenses, economic conditions, and the results of a pending lawsuit involving the Company, as well as our business strategy, expectations, intentions, and other matters. These assumptions may prove to be incorrect, and actual outcomes and results, including the future operating results and economic performance of the Company, may differ materially because of many factors, including those discussed in this press release and in our other public filings. For more information on these risks and uncertainties you should refer to our detailed Financial Statements and Management's Discussion and Analysis, as well as a broader description of certain challenges and risks facing the Company, all of which is available at www.sedar.com. Forward-looking information contained in this news release is based on our current estimates, expectations and projections, which we believe are reasonable as of the current date. You should not place undue importance on forward-looking information and should not rely upon this information as of any other date. The Company disclaims any intention or obligation to update the information in this press release or revise any other forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by law.

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