Canadian General Investments, Limited issued warrants at no cost on a pro rata basis to all its common shareholders effective February 21, 1995. These were European style warrants that were exercisable on June 30 each year, commencing June 30, 2000 and ending on June 30, 2007. Pursuant to the warrant indenture, as June 30, 2007 was not a “Permitted Exercise Date” due to it not being a “Business Day”, the Permitted Exercise Date as well as the “Time of Expiry” were delayed to the next Business Day, being July 3, 2007.

The warrant indenture called for periodic decrease adjustments to the Exercise Price and, subject to TSX approval, the issue of additional warrants (so that one warrant remained exercisable for one common share) upon the occurrence of certain events including capital distributions (e.g. stock dividends). Adjustments to the exercise price were driven by the total cash amount of dividends being in excess of the net income for a particular year.

As a result of five normal course issuer bids for warrants, that allowed the Company to purchase up to 5% of the Company's warrants outstanding at the beginning of each twelve-month period, a substantial issuer bid for warrants that expired on June 30, 2006, and the exercise of warrants on June 30 of the years 2000 to 2006, CGI had 292,156 warrants outstanding immediately preceding the final exercise date. Of these remaining warrants, 269,982 were exercised for new common shares at an exercise price of $2.62 for total proceeds of $707,000. The remaining warrants expired without value.