TORONTO, ON, September 10, 2001 - ClaringtonFunds Inc.,
("Clarington") proposes to merge certain mutual funds. Under the
proposal, Clarington Canadian Micro-Cap Fund will merge into
Clarington Canadian Small Cap Fund. The merger will be effected
through the sale of assets of the Clarington Canadian Micro-Cap
Fund to the Clarington Canadian Small Cap Fund, and the subsequent
winding up of the Clarington Canadian Micro-Cap Fund as soon as
possible following the transfer of assets. Unitholders of the
Canadian Micro-Cap Fund will exchange their units for units of the
Canadian Small Cap Fund on a dollar-for-dollar basis. The merger
will reduce duplication in Clarington's fund family while
benefiting unitholders by creating a larger, more efficient
fund.
Unitholders of Clarington Canadian Micro-Cap Fund will be asked
to approve the fund's merger at a special meeting to be held in
Toronto on or about November 22, 2001. Subject to the foregoing,
the approved merger will take effect after the close of business on
or about December 14, 2001. The merger will occur on a tax free,
rollover basis.
Clarington is a privately-held mutual fund company in Canada
with over $2 billion in assets under management.