LFE Canadian Life Companies Split Corp

Canadian Life Companies Split Corp. (the "Company") previously announced that a
special resolution to reorganize the Company had been approved at the special
meeting of the shareholders (the "Shareholders") held on April 16, 2012.


As part of the capital reorganization, the Company will be creating one new
class of shares to be designated as 2012 Preferred Shares, and two series of
warrants (the "2013 Warrants" and the "2014 Warrants") to acquire one 2012
Preferred Share and one Class A Share (together, a "Unit"). It is intended that
the 2012 Preferred Shares, 2013 Warrants and 2014 Warrants will be issued on or
about June 28, 2012, and will commence trading on the TSX at the opening of
trading on such date.


Holders of the existing Preferred Shares will receive the following securities
for each Preferred Share held on or about June 28, 2012 (the "Conversion Date"):


One 2012 Preferred Share - paying fixed cumulative preferential monthly
dividends to yield 6.25% per annum on the $10.00 nominal issue price and having
a repayment objective on the termination date of $10.00;


One 2013 Warrant - each 2013 Warrant can be exercised to purchase one Unit for
an exercise price of the lesser of $13.25 and 103% of the net asset value of the
Company on the Conversion Date (the "2013 Warrant Subscription Price") on any
business day during the period commencing at market open (Eastern time) on the
day following the Conversion Date and ending at 5:00 p.m. (Eastern time) on June
3, 2013; and


One 2014 Warrant - each 2014 Warrant can be exercised to purchase one Unit for
an exercise price of 105% of the 2013 Warrant Subscription Price on any business
day during the period commencing at market open (Eastern time) on the day
following the Conversion Date and ending at 5:00 p.m. (Eastern time) on June 2,
2014.


Class A Shareholders will continue to hold their current Class A Shares and
would participate in any further increases in the net assets over $10.00 per
Unit.


In connection with the reorganization, the Company's investment manager,
Quadravest Capital Management Inc. ("Quadravest"), will be lowering its annual
management fee from 0.85% to 0.75% per annum of the net asset value of the
Company. In addition, the discount to net asset value applicable to monthly
redemptions of Shares will be decreased from 4% to 2% and the amount of this
reduced discount would be paid to Quadravest and not retained by the Company.
These measures are intended to lower ongoing expenses of the Company and improve
trading prices relative to the net asset value for the Company.


Shareholders are being given a special retraction right (the "2012 Special
Retraction Right") as a result of the approval of this capital reorganization,
which is in addition to the regular monthly retraction at the end of April 2012
and the dissent rights which Shareholders had in respect of the special meeting
under the Business Corporations Act (Ontario).


Shareholders who do not wish to remain invested in the Company under its
reorganized share structure will have until the close of business on May 17,
2012 to provide the Company with notice through their CDS participant that they
wish to have their Preferred Shares or Class A Shares redeemed pursuant to the
2012 Special Retraction Right, and to surrender their Shares for retraction. On
such a special retraction, each holder of a Preferred Share will receive the
lesser of (i) $10.00 and (ii) the net asset value per Unit calculated on May 31,
2012; while holder of a Class A Share will receive the net asset value per Unit
calculated on May 31, 2012, less $10.00. Shareholders interested in exercising
such retraction right should contact the CDS Participant through which they hold
the Shares for further information and instructions as to how to exercise this
right. Shareholders should note that the requirements of any particular CDS
Participant may vary, and that Shareholders may need to inform their CDS
Participant of any intention to exercise this retraction right in advance of the
May 17 deadline. Payment for the Class A Shares or Preferred Shares so tendered
for retraction pursuant to the 2012 Special Retraction Right will be made no
later than June 19, 2012.


If more Class A Shares are tendered for retraction under the 2012 Special
Retraction Right than Preferred Shares, the outstanding Preferred Shares will be
consolidated so that following the retraction pursuant to the 2012 Special
Retraction Right there would be an equal number of Preferred Shares and Class A
Shares outstanding. Similarly, if more Preferred Shares are tendered for
retraction than Class A Shares, the outstanding Class A shares will be
consolidated so that again there would be an equal number of Preferred Shares
and Class A Shares outstanding following implementation of the 2012 Special
Retraction Right. The Company may implement this consolidation by adjusting the
number of 2012 Preferred Shares, 2013 Warrants and 2014 Warrants to be issued to
holders of Preferred Shares, in the event a consolidation of Preferred Shares is
required.


Additional information regarding the capital reorganization is contained in the
Management Information Circular dated March 14, 2012 prepared in respect of the
special meeting, available on SEDAR at www.sedar.com or on the Company's website
www.lifesplit.com.


Certain statements included in this news release constitute forward-looking
statements, including, but not limited to, those identified by the expressions
"expect", "intend", "will" and similar expressions to the extent they relate to
the Company. The forward-looking statements are not historical facts but reflect
the Company's current expectations regarding future results or events. These
forward-looking statements are subject to a number of risks and uncertainties
that could cause actual results or events to differ materially from current
expectations. Although the Company believes that the assumptions inherent in the
forward-looking statements are reasonable, forward-looking statements are not
guarantees of future performance and, accordingly, readers are cautioned not to
place undue reliance on such statements due to the inherent uncertainty therein.
The Company undertakes no obligation to update publicly or otherwise revise any
forward-looking statement or information whether as a result of new information,
future events or other such factors which affect this information, except as
required by law.

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