DBRS Rates Lifeco Split Corporation Inc. at Pfd-2

Dominion Bond Rating Service (“DBRS”) has today assigned a Preferred Shares rating of Pfd-2 to Lifeco Split Corporation Inc. (the “Company”).

The Company is a split share company, founded in June 2000, which issued preferred shares following the capital reorganization on July 31, 2005. The reorganization extended the redemption date of the Capital Shares and created preferred shares issued contemporaneously with the redemption of previously issued preferred shares.

The net proceeds of the offering after the redemption on the reorganization were used to purchase common shares (the “Portfolio”) of Great-West Lifeco Inc., Industrial Alliance Insurance and Financial Services Inc., Manulife Financial Corporation, and Sun Life Financial Inc. (collectively, the “Portfolio Companies”) to keep the Portfolio weighting the same after the reorganization. The Portfolio is managed by Scotia Capital.

As of July 21, 2005, there was a downside protection of approximately 50% available to the Preferred Shares. Holders of the Preferred Shares are entitled to receive fixed, quarterly cumulative distributions in an amount equal to an annual yield of 4%.

The rating of the Preferred Shares is based on the available downside protection, the strong credit quality of the Portfolio, and consistency of dividend distributions of the Portfolio Companies.

The main constraint to the rating is the concentration of the Portfolio in the life insurance industry and the Company’s dependence on the value and dividend policies of the Portfolio Companies.

The termination date for both classes of shares will be July 31, 2010.