Manulife Mutual Funds proceeds with amalgamation, fund mergers

TORONTO, Oct. 22 /CNW/ - Manulife Mutual Funds, a division of Manulife Asset Management Limited, received securityholder approval to implement a corporate class structure amalgamation and a number of fund mergers. To meet regulatory requirements, the amalgamation and certain fund mergers required the approval of certain securityholders which was received on October 13, 2010.

"The corporate class structure amalgamation and fund mergers were recommended with the goal of providing advisors and their clients a stronger, more efficient and focused product offering. Eliminating funds with similar mandates helps us to achieve greater economies of scale and concentrate resources in other areas to better serve the interests of investors," said Jeff Ray, Assistant Vice President, Mutual Funds and Structured Products.

Amalgamation of AIC Corporate Fund Inc. and Manulife Investment Exchange Funds Corp. (MIX)     
(October 23, 2010)
In an effort to create a stronger corporate class structure and to allow for tax-deferred switching between the AIC Corporate Classes and the Manulife Corporate Classes, the two separate corporate class structures will be amalgamated on a tax-deferred basis into a single corporate entity under the Manulife Exchange Funds Corp. name. Securityholders of AIC Corporate Fund Inc. voted in favour of the amalgamation with Manulife Investment Exchange Funds Corp., which is expected to take effect on October 23, 2010. The Independent Review Committee had previously provided its recommendation for approval of the amalgamation.

Corporate Class Mergers (October 23, 2010)
Manulife Mutual Funds also received approval from securityholders of the continuing funds for the following tax-deferred corporate class mergers. Three of the corporate class mergers were also contingent upon the approval of the corporate class structure amalgamation. The Independent Review Committee had previously provided its recommendation for approval of the tax-deferred corporate class mergers, which are expected to be completed on October 23, 2010.

Terminating Fund	Continuing Fund
Manulife Value Class (formerly AIC Value Corporate Class)	Manulife U.S. Opportunities Class (formerly AIC American Focused Corporate Class)
Manulife Canadian Money Market Class* (formerly AIC Money Market Corporate Class)	Manulife Short-Term Yield Class
Manulife Global Core Class	Manulife Global Opportunities Class
Manulife Total Global Equity Class (formerly Manulife SEAMARK Total Global Equity Class)	Manulife Global Opportunities Class
Manulife U.S. Large Cap Value Class*	Manulife U.S. Opportunities Class (formerly AIC American Focused Corporate Class)
Manulife U.S. Mid-Cap Value Class*	Manulife U.S. Opportunities Class (formerly AIC American Focused Corporate Class)

*Merger was contingent upon the occurrence of the amalgamation

Taxable Trust Fund Mergers (November 19, 2010)
Securityholders of the terminating funds also voted in favour of the following taxable trust fund mergers. Manulife Mutual Funds had previously received the Independent Review Committee's recommendation to merge the trust funds listed below, which are expected to be completed on November 19, 2010. Securities regulatory approval was received on October 5, 2010.

Terminating Fund	Continuing Fund
Manulife Global Wealth Management Fund (formerly AIC Global Wealth Management Fund)	Manulife Global Advantage Fund (formerly AIC Global Advantage Fund)
Manulife American Small to Mid-Cap Fund (formerly AIC American Small to Mid-Cap Fund)	Manulife U.S. Mid-Cap Fund
Manulife Global Dividend Fund	Manulife Global Dividend Income Fund (formerly AIC Global Premium Dividend Income Fund)
Manulife U.S. Value Fund	Manulife U.S. Opportunities Fund (formerly AIC American Focused Fund)

Tax-Deferred Trust Fund Mergers (November 19, 2010)
Manulife Mutual Funds had previously received approval from its Independent Review Committee for the following trust fund mergers. While securityholders of the terminating funds listed below were not required to approve the mergers, each securityholder of a terminating fund was provided with advanced notice of the mergers in accordance with applicable securities laws. These fund mergers are expected to be completed on November 19, 2010.

Terminating Fund	Continuing Fund
Manulife Canadian Stock Fund (formerly AIC Canadian Equity Fund)	Manulife Canadian Value Fund
Manulife Balanced Fund (formerly AIC Canadian Balanced Fund)	Manulife Monthly High Income Fund
Manulife Global Balanced Fund (formerly AIC Global Balanced Fund)	Manulife Global Opportunities Balanced Fund
Manulife Dividend Income Fund (formerly AIC Dividend Income Fund)	Manulife Dividend Fund
Manulife Global Fixed Income Fund (formerly AIC Global Fixed Income Fund)	Manulife Strategic Income Fund
Manulife Global Bond Fund (formerly AIC Global Bond Fund)	Manulife Strategic Income Fund
Manulife Canadian Money Market Fund (formerly AIC Money Market Fund)	Manulife Money Fund
Manulife Leaders Income Portfolio (formerly Value Leaders Income Portfolio)	Manulife Leaders Balanced Income Portfolio (formerly Value Leaders Balanced Income Portfolio)
Manulife Growth & Income Fund	Manulife Monthly High Income Fund
Manulife Core Balanced Fund	Manulife Monthly High Income fund

Effective as of the close of business on October 18, 2010 in the case of a merger between two corporate classes, and on November 15, 2010, in the case of a merger between two mutual fund trusts, each Terminating Fund will cease distribution of new securities (except purchases under existing pre-authorized chequing plans and dollar cost averaging plans). Securityholders will have the right to redeem the securities of each Terminating Fund up to the close of business on the effective date of the merger in the case of a merger between two mutual fund trusts, and up to the close of business on the business day prior to the effective date of the merger in the case of a merger between two corporate classes. Following the merger, pre-authorized chequing plans, systematic withdrawal plans and dollar cost averaging plans, which had been established with respect to a Terminating Fund will be re-established with respect to the Continuing Fund unless securityholders advise otherwise. Each Terminating Fund is intended to be wound-up or formally terminated on or as soon as possible after the effective date of the merger.

Fund Closures 

Manulife Leaders Income Portfolio (formerly Value Leaders Income Portfolio) (Class T4 Only)   
Manulife Mutual Funds previously announced that it will terminate Class T4 securities of the Manulife Leaders Income Portfolio on November 19, 2010.

Manulife U.S. Money Market Fund (formerly AIC U.S. Money Market Fund)                                                                                              
Manulife Mutual Funds also capped all retail series of the Manulife U.S. Money Market Fund, including systematic transfers. The Fund will be terminated on November 19, 2010.

About Manulife Mutual Funds
Manulife Mutual Funds builds on over 120 years of Manulife Financials wealth and investment management expertise to provide Canadian investors with a diverse portfolio of forward-thinking mutual fund products. Our award-winning Portfolio Managers offer access to markets in Canada, United States and around the world, in a range of investment styles to help meet individual needs. Manulife Mutual Funds is a division of Manulife Asset Management Limited and part of Manulife Investments (the brand name describing certain Canadian subsidiaries and operating divisions of Manulife Financial Corporation that offers personal wealth management products and services in Canada).

About Manulife Investments
Manulife Investments is the brand name describing certain Canadian subsidiaries and operating divisions of Manulife Financial Corporation that offer personal wealth management products and services in Canada. As one of Canada's leading integrated financial services providers, Manulife Investments offers a variety of products and services including segregated funds, mutual funds, annuities and guaranteed investment contracts.

About Manulife Financial
Manulife Financial is a leading Canadian-based financial services group operating in 22 countries and territories worldwide. For more than 120 years, clients have looked to Manulife for strong, reliable, trustworthy and forward-thinking solutions for their most significant financial decisions.  Our international network of employees, agents and distribution partners offers financial protection and wealth management products and services to millions of clients. We provide asset management services to institutional customers worldwide as well as reinsurance solutions, specializing in life and property and casualty retrocession. Funds under management by Manulife Financial and its subsidiaries were Cdn$454 billion (US$428 billion) as at June 30, 2010. The Company operates as Manulife Financial in Canada and Asia and primarily as John Hancock in the United States. Manulife Financial Corporation trades as 'MFC' on the TSX, NYSE and PSE, and under '945' on the SEHK. Manulife Financial can be found on the Internet at www.manulife.com.

For further information:

Media contact:
Tom Nunn
Manulife Financial
1-877-782-2363
[email protected]