July 2nd, 2009
FOR IMMEDIATE RELEASE

AIC LIMITED ANNOUNCES THE COMPLETION OF THE REDEMPTION OF THE AIC DIVERSIFIED CANADA SPLIT CORP.

AIC Limited is pleased to announce the completion of the redemption of the AIC Diversified Canada Split Corp (“the Company”). As part of the redemption, shareholders received either cash in exchange for their shares in the Company, or mutual fund units of the AIC Diversified Canada Fund (“Fund Units”), an open-end mutual fund.

The conversion ratios for those shareholders who received Fund Units were:

Capital Shares (ADC): 0.560658
Preferred Shares (ADC.PR.A): 0.745601

Distributions – Capital Shares
The Company did not pay a special capital gain dividend prior to the final redemption payment.

Distributions – Preferred Shares
Immediately prior to the redemption, the Preferred shareholders of record of the Company (TSX: ADC.PR.A) as at June 29, 2009 received their regular quarterly distribution payment of $0.375/share on June 30, 2009. Such distribution was paid by way of cash to all Preferred Shareholders.

INCOME TAX CONSIDERATIONS FOR INVESTORS UPON MATURITY

For Shares Held in a Registered Plan

If Shares of the Company were held in a Registered Plan, the Redemption of Shares on the Maturity Date created a disposition for tax purposes, regardless of whether the shareholder received cash, or Fund Units upon Redemption. Capital gains from a disposition of the Shares are generally not subject to tax under the Income Tax Act until withdrawals are made from the plan (withdrawals from a TFSA are not subject to tax).

For Shares Not Held in a Registered Plan

If Shares of the Company were held outside of a Registered Plan, the Redemption of Shares on the Maturity Date created a disposition for tax purposes, regardless of whether the shareholder received cash or Fund Units upon Redemption. A capital gain (or a capital loss) will be realized to the extent that the proceeds of disposition, less any costs of disposition, are greater (or less) than the adjusted cost base of the Share. Generally, one-half of a capital gain is included in computing income for Canadian income tax purposes.

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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