FCS.PR.A : Partial Redemption

Faircourt Asset Management has announced:

In connection with the annual redemption of the Trust, 149,777 Trust Units were submitted for redemption without matching Preferred Securities. Based on the terms of the annual redemption as detailed in the Final Prospectus dated February 27, 2006, the Manager announces that $1,497,770 in aggregate principal amount of the Trust’s 5.75% outstanding Preferred Securities (the “Preferred Securities”) will be redeemed on October 22, 2008 (the “Redemption Date”) at a price of $10.4097 for each $10.00 principal amount of Securities, being equal to the aggregate of (i) $10.3750 (the “Redemption Price”), and (ii) all accrued and unpaid interest hereon to but excluding the Redemption Date. The record date of the Preferred Securities partial redemption is October 13, 2008. [later “clarified” to October 14 – JH] Unitholders who submitted unmatched Trust Units will receive $5.9142 per Trust Unit ($6.2892 Net Asset Value per Trust Unit less the $0.3750 call premium on the Preferred Securities). Payment will be made in full on October 22, 2008 (the “Payment Date”).

I love that word “clarification”! It covers so much!

On June 30, 2008, there were 1,939,730 units (a unit is one FCS.UN and one FCS.PR.A), so the number redeemed is 7.7% of the June 30 total. I am unable to determine how many FCS.PR.A disappeared due to Concurrent Retraction.

Distributions to the capital unitholders have been halted and the issue is under Review-Negative by DBRS.

FCS.PR.A is not tracked by HIMIPref™.

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