BAM Investments Corp. TSX : BNB

January 28, 2009 16:56 ET

BAM Investments Announces That It Will Redeem All of Its Previously Issued Exchangeable Debentures

TORONTO, ONTARIO--(Marketwire - Jan. 28, 2009) - BAM Investments Corp. (TSX:BNB) today announced that it will redeem all of its previously issued exchangeable debentures on January 30, 2009. The debentures were issued in January 2007 and are exchangeable into 5,301,000 Class A Limited Voting Shares of Brookfield Asset Management Inc. by either the holder or the Company. The redemption price will be satisfied entirely by the delivery of that number of Class A Limited Voting Shares to the holders of the debentures.

The debentures have been valued based on the market price of the underlying Brookfield Class A Limited Voting Shares because of the exchange right, and therefore the redemption and associated delivery of shares will have no material impact on the net book value of the Company, which continues to own a net interest in 55.1 million Brookfield Class A Limited Voting Shares.

The redemption of the debentures results in the simplification of the Company's corporate structure and a reduction in interest costs of approximately $1.5 million per annum.

Note: This news release contains forward-looking information within the meaning of Canadian provincial securities laws and "forward-looking statements" within the meaning of Section 27A of the U.S. Securities Exchange Act of 1933, as amended, Section 21E of the U.S. Securities Act of 1934 as amended, "safe harbour" provisions of the Untied States Private Securities Litigation Reform Act of 1995 and in any applicable Canadian securities regulations. The words "continues" and "results" and other expressions of similar import, or the negative variations thereof, and similar expressions of future or conditional verbs such as "will" are predictions of or indicate future events, trends or prospects and do not relate to historical matters, or identify forward-looking statements. Although the Company believes that the anticipated future results, performance or achievements expressed or implied by forward looking-statements and information are based upon reasonable assumptions and expectations, reliance should not be placed on forward-looking statements because they involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to differ materially from anticipated future results, performance or achievements expressed or implied by such forward-looking statements and information. Factors that could cause actual results to differ materially from those set forth in the forward-looking statements include general economic conditions, interest rates, availability of equity and debt financing and other risks detailed from time to time in the company's continuous disclosure documents. The company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. The company's net book value per share is derived from its quarterly financial statements and reflects its investments in Brookfield Asset Management Inc. and the exchangeable debentures based on their market value at the time.