FINSAC owns 26.5% of the ordinary shares of Island Life

FINSAC owns all of the 12.5% Cumulative Preference Shares of the Life Company.

Island Life is to set up a fund through which the preference shares are to be redeemed, 20% of the nominal amount of the preference shares will be deposited annually to the fund in order to redeem the preference shares on the 5th anniversary of their issue.

Island Life is obligated to redeem as many shares as the fund will purchase on that date.

Any shortfall in the annual fund is to be carried forward to the next year and added to the amount to be provided for the subsequent year.

No dividends can be paid on ordinary shares unless all dividends have been paid on the preferred shares.

Dividends can only be paid if the company meets the prudential solvency requirements of the Superintendent of Insurance.

First redemption date for the preference shares is July 1, 2002 and the final date is June 30, 2004

The price is $1 per share together with any arrears or accruals of the fixed cumulative preferential share dividend.

FINSAC Appointed Directors: Dr. Earl Taylor, one seat vacant.