C.A. Bancorp Inc.

C.A. Bancorp Inc.
Sentry Select Total Strategy Fund

June 27, 2008 08:40 ET

Sentry Select Total Strategy Fund (TSX:TSF.UN) Announces Update on Liquidation of Assets and Termination of Fund

TORONTO, ONTARIO--(Marketwire - June 27, 2008) - C.A. Bancorp Inc. ("C.A. Bancorp" or the "Manager") (TSX:BKP) as manager of the Sentry Select Total Strategy Fund ("Total Strategy" or the "Fund") announces an update on the progress of matters in connection with the winding-up and dissolution of the Fund. As previously announced, at the special meeting of Total Strategy unitholders held on May 20, 2008, the unitholders of the Fund approved a resolution authorizing the termination of the Fund.

Termination Date

As required by the Fund's amended and restated trust agreement dated April 30, 2007 (the "Trust Agreement") the Manager provided a 90 day written notice to the Fund's Trustee of the termination date of the Fund (the "Termination Date"). The Termination Date has been set as August 21, 2008, subject to extension. Although the Termination Date has been set, unitholders should be aware that the Manager may be required to extend this date if the Manager is unable to convert all of the Fund's assets to cash and the Manager determines that it is in the best interests of unitholders to do so. Moreover, the process of winding-up the Fund and distributing proceeds to unitholders may extend beyond the Termination Date and any extension thereof.

Current mandate

The Manager and the Trustee have instructed Sentry Select Capital Corp., as investment manager (the "Investment Manager"), to sell and convert to cash, to the extent possible and in an orderly manner, the property of the Fund in an attempt to complete the conversion to cash by the Termination Date.

The Fund currently has approximately 67% of its assets invested in cash and cash equivalents, 22% in private entities and 11% in publicly traded securities.

Distribution of the Fund's net assets to unitholders

The Manager currently intends to distribute the cash portion of the liquidated net assets of the Fund to unitholders under a two-step process. Firstly, the Fund intends to declare a special distribution in July that will be paid on August 15th, 2008 to unitholders of record as of July 31st, 2008 in an amount equal to approximately $7.00 per Fund unit. Secondly, the Fund intends to issue a final distribution immediately prior to winding-up the Fund in an amount equal to the remaining net assets in the Fund. The actual amount and timing of this final distribution will depend upon the Fund's ability to liquidate its remaining assets including the private portfolio investments currently totaling approximately $3,450,000 in carrying value.

The Manager expects that the process of liquidating the private portfolio may extend beyond the Termination Date. The Manager may, in its discretion, upon not less than 30 days prior written notice to unitholders, extend the Termination Date by a maximum of 180 days if the Manager is unable to convert all of the assets of the Fund to cash and the Manager determines that it would be in the best interests of unitholders to do so.

Process to liquidate the private portfolio

The private portfolio consists of investments as set out in the
following table:

Private Entity Cost

High Fidelity HDTV Inc. $1,250,000

C.A. Bancorp Financial Corp. (holding company for
AgriFinancial Canada Corp.) 1,000,000

Bermingham Foundation Solutions 800,000

Salbro Bottling Group 400,000

Each of the private investments represents a passive non-controlling minority interest in a private entity.

The Investment Manager has received, on behalf of the Fund, an offer from C.A. Bancorp relating to the private portfolio. C.A. Bancorp's offer is to purchase the private portfolio from the Fund at cost plus any accrued distributions related to dividend or interest payments.

The Investment Manager has retained an independent third party firm (the "Independent Valuator") to provide a fairness opinion on C.A. Bancorp's offer.

The Investment Manager believes that it is in the best interest of the unitholders to terminate and liquidate the Fund in an expeditious manner and that the most prudent and cost-effective manner to maximize value to the Fund's unitholders would be to assess this offer in a timely fashion. C.A. Bancorp is the co-investor with the Fund in each of the four private investments and, as such, is in a unique position to bid on these assets and realize synergies having already performed its due diligence. This significantly increases the likelihood of closing the transaction(s) quickly and at a fair price which suits the interests of the Fund in liquidating and distributing the remaining net assets in an orderly and timely manner.

The Fund believes that the Independent Valuator will be able to complete its work by the end of July, following which the Fund will provide an update to unitholders by way of a press release.

Trading Information and Discount to NAV

The Fund's units trade on the TSX under the symbol: TSF.UN. The Fund's units closed at a market price of $9.15 per unit on June 26, 2008 which represents a 10.2% discount to the most recently reported net asset value per unit of $10.19 as of June 26, 2008.

C.A. Bancorp Inc.

C.A. Bancorp is a publicly traded Canadian merchant bank and alternative asset manager that provides investors with access to a range of private equity and other alternative asset class C.A. Bancorp is a publicly traded Canadian merchant bank and alternative asset manager that provides investors with access to a range of private equity and other alternative asset class investment opportunities. C.A. Bancorp is focused on investments in small- and middle-capitalization public and private companies, with emphasis on the industrials, real estate, infrastructure and financial services sectors.

Certain statements included in this news release constitute forward looking statements, including those identified by the expressions "expect", "believe", "intend", "will" and similar expressions. The forward looking statements are not historical facts but reflect C.A. Bancorp and Total Strategy's current expectations regarding future results or events. These forward looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations including, but not limited to, the timing of the liquidation of the Fund's assets, the timing and amount of the payment of any distributions, the timing and results of the fairness opinion, the receipt of any offer for the private investments. Readers are cautioned not to place undue reliance on forward-looking information. C.A. Bancorp and Total Strategy undertake no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law.

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130 King Street West
Suite 2810, P.O. Box 104
Toronto, Ontario M5X 1A4
Telephone: (416) 214-5985
Fax: (416) 861-8166

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