Sentry Select Capital Corp.

Sentry Select Capital Corp.
Sentry Select 40 Split Income Trust

November 27, 2006 15:23 ET

Sentry Select Capital Corp. Announces Exchange Ratios for Sentry Select 40 Split Income Trust Offering

TORONTO, ONTARIO--(CCNMatthews - Nov. 27, 2006) - Sentry Select Capital Corp. is pleased to announce the exchange ratios for the Sentry Select 40 Split Income Trust (the "Trust") Exchange Option as announced in the preliminary prospectus of the Offering dated November 9, 2006.

Cash option

Prospective purchasers may still acquire the Preferred Securities and Capital Units for cash until closing at a price is $10.00 per Preferred Security and $10.00 per Capital Unit.

Exchange option

The Exchange Option was open for acceptance by holders of Eligible Securities until 5:00 pm (Toronto time) on November 24, 2006.

Investment objectives

The Trust's investment objectives are:

a) with respect to the Preferred Securities, (i) to pay fixed quarterly interest payments equal to 5.25% per annum on the principal amount of the Preferred Securities and (ii) to return to securityholders on November 30, 2008 the original subscription price of the Preferred Securities (in cash or, at the election of the holder, in Capital Units); and

b) with respect to the Capital Units, (i) to pay monthly distributions, initially expected to be equal to 10% per annum, and (ii) to preserve and enhance net asset value.

Exchange Ratio

The number of Combined Units (a Combined Unit is one Preferred Security and one Capital Unit) issuable for the Eligible Securities of an Exchange Issuer was determined by dividing the weighted average trading price of such Eligible Securities on the Toronto Stock Exchange during the three consecutive trading days ended on November 24, 2006 as adjusted to reflect distributions declared by such Exchange Issuer that will not be received by the Trust; by $20.00.

Issuers and Exchange Ratios

The following table sets out the weighted average trading price of each Eligible Security and the Exchange Ratios used to determine the number of Combined Units to be issued for each Eligible Security. The information disclosed below will be included in the final prospectus to be filed with the securities regulatory authorities across Canada. The Exchange Ratios are rounded down to four decimal places.



Exchange
Ratios Weighted
Average
Trading Exchange
Exchange Issuer Price Ratio
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RESOURCE
Fording Canadian Coal Trust $23.8387 1.1919
Noranda Income Fund $9.8339 0.4916

POWER
Algonquin Power Income Fund $9.5691 0.4784
Atlantic Power Corporation $9.9778 0.4988
Boralex Power Income Fund $8.9116 0.4455
Calpine Power Income Fund $10.3109 0.5155
Macquarie Power & Infrastructure Income Fund $9.5341 0.4767
Primary Energy Recycling Corporation $9.8437 0.4921
TransAlta Power, L.P. $7.3309 0.3665

UTILITIES & INFRASTRUCTURE
Bell Aliant Regional Communications Income
Fund $28.0898 1.4044
Fort Chicago Energy Partners L.P. $10.7282 0.5364
Inter Pipeline Fund $8.3609 0.418
Keyera Facilities Income Fund $16.5724 0.8286
Pembina Pipeline Income Fund $14.6962 0.7348
Royal Utilities Income Fund $10.7330 0.5366

CONSUMER
CI Financial Income Fund $26.6522 1.3326
CML Healthcare Income Fund $13.6262 0.6813
Teranet Income Fund $9.0128 0.4506

INDUSTRIAL
BFI Canada Income Fund $26.2895 1.3144
CanWest MediaWorks Income Fund $6.8660 0.3433
Canexus Income Fund $6.5632 0.3281
Precision Drilling Trust $28.6813 1.434
Superior Plus Income Fund $10.5881 0.5294
Westshore Terminals Income Fund $11.2079 0.5603
Yellow Pages Income Fund $12.9043 0.6452

REITS
Allied Properties Real Estate Investment Trust $20.6353 1.0317
Calloway Real Estate Investment Trust $28.7192 1.4359
Canadian Hotel Income Properties Real Estate
Investment Trust $14.0593 0.7029
Chartwell Seniors Housing Real Estate
Investment Trust $13.7686 0.6884
Dundee Real Estate Investment Trust $36.4335 1.8216
H&R Real Estate Investment Trust $24.1128 1.2056
RioCan Real Estate Investment Trust $25.7771 1.2888

OIL & GAS
ARC Energy Trust $21.9835 1.0991
Baytex Energy Trust $21.8035 1.0901
Bonavista Energy Trust $27.6751 1.3837
Crescent Point Energy Trust $16.9304 0.8465
NAL Oil & Gas Trust $13.1045 0.6552
Pengrowth Energy Trust $20.2460 1.0123
Shiningbank Energy Income Fund $15.2517 0.7625
Trilogy Energy Trust $11.4979 0.5748


Sentry Select Capital Corp.

Sentry Select Capital Corp. is a wealth management company providing investment, administrative and marketing services to 33 exchange-listed closed-end funds and corporations, including preferred securities and debentures, 19 principal-protected notes, 16 mutual funds and four flow-through limited partnerships. Sentry Select is one of the largest Canadian investment managers in the income trust sector. As of October 31, 2006, the firm had over $8.0 billion in gross assets under management.

Agents

The syndicate of agents co-led by CIBC World Markets Inc. and RBC Capital Markets, includes BMO Nesbitt Burns Inc., National Bank Financial Inc., Scotia Capital Inc., TD Securities Inc., Canaccord Capital Corporation, Dundee Securities Corporation, HSBC Securities (Canada) Inc., Raymond James Ltd., Berkshire Securities Inc., Blackmont Capital Inc., Wellington West Capital Inc., Desjardins Securities Inc., IPC Securities Corporation, Jory Capital Inc. and Research Capital Corporation.



The Exchange Tower
130 King Street West
Suite 2850, P.O. Box 104
Toronto, Ontario M5X 1A4


Contact Information

  • Sentry Select Capital Corp.
    Investor Services
    (broker/investor inquiries)
    1-888-246-6656
    (416) 364-1330 (FAX)
    or
    Sentry Select Capital Corp.
    Kinga Lam
    (media inquiries)
    1-888-246-6656
    (416) 364-1330 (FAX)
    Email: info@sentryselect.com
    Website: www.sentryselect.com