Molson Coors Brewing Company
NYSE : TAP
TSX : TAP.NV

Molson Coors Brewing Company

February 08, 2005 23:59 ET

Redemption of Molson Canada 2005 (Successor to Molson Canada) Debentures

MONTREAL, Feb. 8 - Molson Canada 2005 today announced that
as a result of anticipated changes in the capital structure of Molson Inc.,
its parent corporation, Molson Canada 2005 will, on March 18, 2005, the
redemption date, redeem its outstanding Cdn$100,000,000 9.10% Debentures,
Series 2, due March 11, 2013, Cdn$150,000,000 8.40% Debentures, Series 3, due
December 7, 2018, Cdn$200,000,000 6.00% Debentures, Series A, due June 2, 2008
and Cdn$100,000,000 6.70% Debentures, Series B, due June 2, 2028 (collectively
the "Debentures").
In accordance with the trust indentures governing each series of
Debentures, the redemption price of each of Series 2, Series 3, Series A and
Series B Debentures will equal Cdn$132.151, Cdn$138.302, Cdn$107.758 and
Cdn$124.802, respectively, per Cdn$100 principal amount of each series of
Debentures, together with accrued and unpaid interest to, but not including,
the redemption date.
This redemption of Debentures is part of a general restructuring of
Molson's and its subsidiaries' debt to simplify Molson's capital structure. If
the proposed merger transaction between Molson and Adolph Coors Company is
completed as planned on February 9, 2005, Molson will become a wholly-owned
indirect subsidiary of Molson Coors Brewing Company. However, the redemption
of Debentures is not conditional on closing of the Molson and Coors merger
transaction.

About Molson Canada 2005

Upon the closing of the proposed merger transaction between Molson and
Coors, Molson Canada 2005 will be the principal operating unit of Molson Coors
Brewing Company's business operations in Canada.

About Molson Inc.

Molson is Canada's largest brewer and one of the world's leading brewers
of quality beer with operations in Canada, Brazil and the United States. A
global brewer with CAN$3.5 billion in gross annual sales, Molson traces its
roots back to 1786, making it North America's oldest beer company. Committed
to brewing excellence, Molson produces an award-winning portfolio of beers
including Molson Canadian, Molson Export, Molson Dry, Rickard's, A Marca
Bavaria, Kaiser and Bavaria. For more information on Molson Inc., please visit
the company's website at http://www.molson.com .

This press release includes "forward-looking statements". Forward-looking
statements are commonly identified by such terms and phrases as "would",
"may", "will", "expects" or "expected to" and other terms with similar
meaning indicating possible future events or actions or potential impact
on the businesses or security holders of Molson Inc. and Molson Canada
2005 (the "Companies"). There is no assurance the transaction
contemplated in this release will be completed at all, or completed upon
the same terms and conditions described. All forward-looking statements
in this press release are expressly qualified by information contained in
each company's filings with regulatory authorities. The Companies do not
undertake to update forward-looking statements, whether as a result of
new information, future events or otherwise.

Certain factors that could cause the Companies' results to differ
materially from those described in the forward-looking statements can be
found in the joint proxy statement /management information circular and
the periodic reports filed by Molson with the Canadian securities
regulators and available at the SEDAR site ( http://www.SEDAR.com ). The
Companies do not undertake and specifically disclaim any obligation to
update or revise any forward-looking information, whether as a result of
new information, future developments or otherwise.
%SEDAR: 00001968EF

Contact Information

  • Investors, Danielle Dagenais,
    (514) 599-5392; Media, Sylvia Morin, (514) 590-6345