Company NewGrowth Corp

Newgrowth Corp. is a mutual fund corporation which provides holders of Class A Capital Shares with leveraged capital appreciation in the Portfolio and a dividend to the extent that dividends and distributions on the Portfolio Shares exceed the fixed dividend payable on the Series 3 Preferred Shares and the administrative and operating expenses of the Company, and holders of Series 3 Preferred Shares with a quarterly fixed cumulative preferential dividend of certain amount per Share. The Company may engage in securities lending transactions in order to generate additional returns. The Company holds a portfolio consisting of publicly listed common shares of selected Canadian chartered banks, telecommunications, oil and gas, pipeline and utility issuers. It also invests in sectors, including energy and financial services. Scotia Managed Companies Administration Inc., a subsidiary of the Company, owns all of the Class C Shares of the Company.