Minister comments on Ontario Securities Commission findings 
on RT Capital Management

Finance Minister Lloyd Matthews said today that the Pension Investment Committee of the province will be meeting later this week with its pension investment consultant, Frank Russell Company, to evaluate the results of the Ontario Securities Commission (OSC) ruling on RT Capital Management.

"We will be reviewing the contents of the OSC ruling over the coming days," said Minister Matthews. "The Pension Investment Committee, comprised of union and management representatives, have been monitoring the situation daily, and it will meet to determine what course of action we should take with regards to management of pension funds. That will involve reviewing the new management team at RT Capital and making a decision on whether or not to seek new managers."

Five senior officials of RT Capital Management resigned and the OSC has levied fines in excess of $3 million against RT Capital for certain stock trading irregularities. Today�s ruling comes as the result of an investigation by the OSC into certain trading irregularities by RT Capital officials in an attempt to improve investment performance.

"We are confident that the provincial pension funds managed by RT Capital are not at risk," said Minister Matthews. "The value of our fund has not been affected, and we, in conjunction with the Pension Investment Committee, will take whatever steps necessary to ensure sound management of these funds into the future."

Media contact: Paula Dyke, Communications, (709) 729-0329

2000 07 20                4:45 p.m.