October 8, 2002
FOR IMMEDIATE RELEASE
Burlington (Ontario) - AIC Limited today announced plans to merge AIC Global Advantage Fund into AIC World Advantage Fund on or before December 20, 2002, subject to investor and regulatory approval. AIC will also be merging the corresponding RSP and Corporate Class versions. The merged Funds will continue to be managed by Neil Murdoch, Executive Vice President and Portfolio Manager of AIC Investment Services Inc. ("AIS") in accordance with AIC's well-defined investment philosophy and principles. As part of its decision to consolidate certain Funds, AIC also announced it will not launch AIC International Leaders Fund or the RSP version of that Fund.
AIC offers investors a full range of Canadian, American and International equity funds investing in high growth sectors such as financial services, consumer products, media and pharmaceuticals. "AIC draws on its extensive proprietary research to fulfil the goal of having our Funds achieve above average long term performance with below average business risk. For this reason, current and future AIC investors can have confidence in our complete product offering" said Chief Investment Officer Jonathan Wellum, who oversees the team of 20 AIC portfolio managers and analysts.
Under the proposed mergers the "Terminating Funds" will be merged into the "Continuing Funds". The details of the proposal are as follows:
TERMINATING FUND
AIC Global Advantage Fund
AIC RSP Global Advantage Fund
AIC Global Advantage Corporate Class
CONTINUING FUND
AIC World Advantage Fund
AIC RSP World Advantage Fund
AIC World Advantage Corporate Class
It is proposed that the investment objective of the Continuing Funds will be changed to reflect a more global investment mandate, including investment in the United States.
AIC believes that the mergers will be beneficial to unitholders of the merging funds as investors are expected to benefit from increased economies of scale as part of a larger fund.
The mergers are subject to approval by investors holding units/shares of the Funds. For this purpose, meetings are scheduled for November 27, 2002 at AIC's head office 1375 Kerns Road, Burlington, Ontario. If approved, it is anticipated that the mergers will take place on or before December 20, 2002.
Effective as of the close of business on October 8, 2002, each of the Terminating Funds will cease distribution of new units/shares (except purchases under existing pre-authorized chequing plans). Redemptions will continue as described in the respective prospectuses of these Funds until the date of the mergers and AIC will continue to provide the daily net asset values.
AIC commenced operations in 1985 and has grown to become Canada's largest privately-held mutual fund company with assets under management exceeding $11 billion.
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Media Contact:
Terri Oswald
Director, Media Relations
AIC Limited, Burlington ON
(905) 331-4242, ext. 4345
1-888-710-4242, ext. 4345
toswald@aic.com
