LSC - <span class="simulate_din_font">Lifeco Split Corporation Inc. Declares Quarterly Dividend on Preferred Shares</span> (CAD 0.3684)

Company: Lifeco Split
Stock Name: LSC
Amount: CAD 0.3684
Announcement Date: 13/01/2012
Record Date: 20/01/2012

Dividend Detail:

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TORONTO, Jan. 13, 2012 /CNW/ - The Board of Directors of Lifeco Split
Corporation Inc. ("Lifeco") has declared today dividends of $0.3684 per
Preferred Share payable on January 31, 2012 to holders of record at the
close of business on January 24, 2012. Holders of Preferred Shares are
entitled to receive quarterly fixed cumulative dividends equal to
$0.3684 per Preferred Share representing a yield of 4% on the
redemption price of $36.84.

In line with the Capital Share dividend policy, Lifeco has determined
not to pay a Capital Share dividend this quarter, as a result of the
downside asset coverage on the Preferred Shares falling below 1.3 times
during the quarter. Any excess dividends received on the underlying
portfolio securities minus the distributions payable on the Preferred
Shares and all administrative and operating expenses will be reinvested
in short-term debt securities or underlying portfolio securities.

The Capital Shares and Preferred Shares will be redeemed by the Company
on July 31, 2012 (the "Redemption Date") in accordance with the
redemption provisions as detailed in the Information circular dated
June 15, 2010. Notice of Redemption will be given by the Company at
least 45 days prior to the Redemption Date.

Lifeco is a mutual fund corporation created to hold a portfolio of
common shares of selected publicly listed Canadian life insurance
companies. Lifeco will generate a fixed quarterly dividend for the
Preferred shareholders and provide the Capital shareholders with a
leveraged investment, the value of which is linked to changes in the
market price of the portfolio shares.

Capital Shares and Preferred Shares of Lifeco are listed for trading on
The Toronto Stock Exchange under the symbols LSC and LSC.PR.C
respectively.

For further information:

Investor Relations
Lifeco Split Corporation Inc.
(416) 945-4166
E-mail:mc_lifeco@scotiacapital.com
Website:www.scotiamanagedcompanies.com