Front Street Capital 2004 today announced the successful completion of five mutual fund mergers. The mergers were approved by the funds’ securityholders at special meetings in Toronto on Oct. 15.

The mergers were completed by way of an amalgamation of Front Street Opportunity Funds Ltd. and Front Street Mutual Funds Ltd, effective Nov. 1.

Front Street Opportunity Funds Ltd. was merged into Front Street Mutual Funds Ltd.

Front Street Resource Opportunities Fund and Front Street Resource Fund Class were merged to become Front Street Resource Fund.

Front Street Yield Opportunities Fund and Front Street Canadian Equity Fund Class were merged to become Front Street Canadian Equity Fund.

Front Street Equity Opportunities Fund and Front Street Canadian Equity Fund Class were merged to become Front Street Canadian Equity Fund.

Front Street Cash Fund and Front Street Money Market Fund Class were merged to become Front Street Money Market Fund.

Front Street Small Cap Opportunities Fund and Front Street Small Cap Canadian Fund Class were merged to become Front Street Small Cap Fund.

In connection with the mergers, Front Street Capital was appointed manager of Front Street Mutual Funds Ltd.

The amalgamated corporation, Front Street Mutual Funds Ltd., will continue to offer a multiple share class structure (with each share class representing a separate fund) providing investors the ability to switch their investments between the different funds within the amalgamated corporation on a tax-deferred basis.

Front Street Capital believes that the mergers should benefit investors through the ability to switch tax-free between funds with different investment strategies and objectives, within the context of a more focussed and cost effective cost structure.

As a result of the mergers, each former shareholder of the mutual funds that comprised Front Street Mutual Funds Ltd. (Front Street Resource Fund Class, Front Street Diversified Income Fund Class, Front Street Canadian Equity Fund Class, Front Street Small Cap Canadian Fund Class and Front Street Money Market Fund Class) received one share of the appropriate class and series of the amalgamated corporation for each share of Front Street Mutual Funds Ltd. that they held as at the close of business on Oct. 31.

Each former shareholder of the mutual funds that comprised Front Street Opportunity Funds Ltd., with the exception of former shareholders of Front Street Small Cap Opportunities Fund, was issued a class of shares having equivalent investment objectives to the class of shares of Front Street Opportunity Funds Ltd., and the appropriate series, that they held as at the close of business on Oct. 31.

The number of shares issued to a former shareholder of Front Street Opportunity Funds Ltd. was based upon an exchange ratio determined as at Oct. 31.

Former shareholders of the Front Street Small Cap Opportunities Fund received one share of the equivalent class and series of the Amalgamated Corporation for each share of Front Street Small Cap Opportunities Fund that they held as at the close of business on Oct. 31.

Each issued and outstanding common share of Front Street Mutual Funds Limited and of Front Street Opportunity Funds Ltd. was converted into one issued common share of the Amalgamated Corporation. All such shares are held by Front Street Capital.

Front Street Opportunity Funds Ltd. also announced that shareholders received special distributions, which were paid on Oct. 31, in accordance with the fund’s automatic reinvestment plan.

Shareholders of Front Street Yield Opportunities Fund and Front Street Diversified Income Fund Class were paid the regular, quarterly fixed distribution.

IE