MORGUARD CORPORATION ANNOUNCES PURCHASE UNDER NORMAL COURSE ISSUER BID

Stock Symbol:  (MRC:TSX)

TORONTO, Oct 1 /CNW/ - Morguard Corporation ("Morguard") today announced that it has purchased for cancellation 291,250 common shares ("Common Shares") of Morguard under its normal course issuer bid through the facilities of the Toronto Stock Exchange ("TSX").

Morguard had received approval from the TSX on September 20, 2010 to purchase up to 662,857 common shares, being approximately 5% of the then issued and outstanding Common Shares, during the twelve-month period commencing September 22^nd, 2010 and ending September 21^st, 2011. 

With this cancellation, as of October 1, 2010, there are 12,966,000 Common Shares outstanding.  As a result, Mr. K. (Rai) Sahi, a director and Chairman and Chief Executive Officer of Morguard, beneficially owns or exercises control or direction over approximately 51% of the issued and outstanding Common Shares of the Corporation through holdings of 6,614,399 Common Shares.

Morguard continues to believe that its Common Shares have been trading in price ranges which do not adequately reflect their value in relation to the business of Morguard and its future business prospects.  As a result, depending upon future price movements and other factors, Morguard believes that its outstanding Common Shares may represent an attractive investment.  Furthermore, the purchases are expected to benefit all persons who continue to hold Common Shares by increasing their proportionate interest in Morguard.  All Common Shares purchased by Morguard under the normal course issuer bid will be cancelled.

Morguard Corporation is a major Canadian real estate and property management company.  It has extensive retail, office, industrial and residential holdings owned directly and through its investment in Morguard REIT.  Morguard provides management services to institutional and other investors for commercial and residential real estate through Morguard Investments Limited and Morguard Residential.

      

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