People Corporation Announces Acquisition of Group Benefits Business of Bryan H. Lupe and Associates

WINNIPEG, MANITOBA--(Marketwired - June 5, 2014) - People Corporation ("People" or the "Company") (TSX VENTURE:PEO) today announced the acquisition of the group benefits business of Bryan H. Lupe and Associates ("BHL") based in Winnipeg, Manitoba. BHL provides group benefits consulting and administration services to a broad range of clients, establishing a solid reputation for outstanding client service and creativity in providing group benefits solutions that best meet its clients' needs. With the addition of this leading practice, People has significantly increased its presence in the Winnipeg market.

Laurie Goldberg, Chairman and CEO of People Corporation, commented, "We are thrilled to announce our first acquisition in our home market of Winnipeg." Mr. Goldberg continued, "In addition, the opportunity to add a firm to the People Corporation family with the stature in the local market and reputation with clients that BHL has, is very exciting for us."

Mr. Bryan Lupe, founder of BHL added, "I am very pleased that BHL is joining the People Corporation group of companies. As I considered options for a transition of ownership, it was very important for me to find a partner that has the same strong focus on creative solutions and client service that is the hallmark of BHL. In addition to providing our valued clients with the same level of superior advice, products and services that is the cornerstone of our firm, we are excited about making available many of the unique and proprietary offerings that come with partnering with People Corporation."

Terms of the transaction, which closed as of May 30, 2014, are not being disclosed. The Company expects the transaction to have an immediate positive impact on revenue and EBITDA. The purchase price for the transaction will be funded through existing cash resources, including from the proceeds of the Company's recent private placement of common shares completed in April 2014.

Mr. Goldberg added, "This transaction is further affirmation of our success in attracting new firms to the People Corporation family as they recognize our unwavering focus on providing value-added products, services and advice to clients, delivered locally by consultants with in-depth knowledge of the market, and supported by the substantial resources of a large company with deep resources and national scale." This acquisition represents People's second transaction this year as part of the Company's acquisition-based growth plan, closely following the acquisition of an increased economic interest in a portfolio of group benefits clients from an Ontario-based brokerage firm in March 2014. "The momentum in the execution of our growth strategy is continuing, and we are well-positioned with a strong team, significant capital, and an attractive operating model. We look forward to continuing to report on our progress in building the leading independent national provider of group benefits, group retirement and HR consulting services, with best-in-class consultants delivering innovative and customized solutions to clients," concluded Mr. Goldberg.

About People Corporation

People is a national provider of group benefits, group retirement and human resource services. The Company has offices across Canada, each led by a team of experts and backed by the resources of a national company that is traded on the TSX-V. Our industry experts provide uniquely valuable insight while customizing our innovative suite of services to the specific needs of our clients. Whatever your sector, whatever your scale, putting our expertise and proven track record to work will make a difference to your people and your bottom line.

Further information is available at www.peoplecorporation.com.

Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable securities laws, such as information concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. Use of words such as "may", "will", "expect", "believe", or other words of similar effect may indicate forward-looking information including the completion of the transaction, the impact of that transaction on our earnings and cash flow, and the anticipated benefits of the transaction. This information is not a guarantee of future performance and is subject to numerous risks and uncertainties, including those described in our publicly filed documents (which are available on SEDAR at www.sedar.com). Those risks and uncertainties include: our ability to maintain profitability and manage growth; strong competition from other advisors and changes in the current legislation could result in significant competition from the banking industry; failure of information systems and technology; dependence on key clients; seasonality of revenues and the resulting possible impairment on working capital; reliance on key professionals; additional financing may be required and may not be available under terms favourable to us; there can be no assurance that any suitable future acquisition will be available to us or that, if available, the terms of the acquisition will be favourable to us; and a change in general economic conditions. Many of these risks and uncertainties can affect our actual results and could cause our actual results to differ materially from those expressed or implied in any forward-looking information made by us or on our behalf. Given these risks and uncertainties, investors should not place undue reliance on forward looking information as a prediction of actual results. All forward-looking information in this news release is qualified by these cautionary statements. This information is made as of the date of this news release and, except as required by applicable law, we undertake no obligation to publicly update or revise any forward looking information, whether as a result of new information, future events or otherwise. Additionally, we undertake no obligation to comment on analyses, expectations or statements made by third parties in respect of the Company, its financial or operating results or its securities.

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