Safeguard Real Estate Investment Fund Limited Partnerships

Safeguard Real Estate Investment Fund Limited Partnerships have been under the supervision of the Court of King's Bench of Alberta since July 29, 2009, when an initial order was granted in court file 0901-11048 on the application of Concrete Equities Inc., Wealthcrete Investment Corporation, five Concrete Associates investment corporations and El Golfo. The application invoked the Companies' Creditors Arrangements Act, R.S.C. 1985, c. C-36, section 13(2) of the Judicature Act and section 99(a) of the Business Corporations Act. Ernst & Young Inc. is Monitor. On a net book value basis as at June 9, 2009, Safeguard Real Estate Investment Fund II Limited Partnership showed assets of $22,150,170 and liabilities of $18,236,191, with secured claims including $8,780,670 to Standard Life Assurance of Canada, $5,500,000 to 934608 Alberta Ltd and $3,300,000 to Strategic Financial Corporation. The matter is active.