Power Corporation Reports Fourth Quarter and 2022 Financial Results and Dividend Increase

Readers are referred to the sections Non-IFRS Financial Measures and Forward-Looking Statements at the end of this release. All figures are expressed in Canadian dollars unless otherwise noted.

MONTRÉAL, March 16, 2023 /CNW/ - Power Corporation of Canada (Power Corporation or the Corporation) (TSX: POW) today reported earnings results for the three and twelve months ended December 31, 2022.

Power Corporation
Consolidated results for the period ended December 31, 2022

HIGHLIGHTS

Power Corporation

• Net earnings ^[1] were $486 million or $0.73 per share ^[2] for the fourth quarter of 2022, compared with $626 million or $0.93 per share in 2021.
  Adjusted net earnings ^[1][3] were $394 million or $0.59 per share, compared with $676 million or $1.00 per share in the fourth quarter of 2021.
• Adjusted net asset value per share ^[3] was $41.91 at December 31, 2022, compared with $52.60 at December 31, 2021.
  The Corporation's book value per participating share ^[4] was $34.58 at December 31, 2022, compared with $34.56 at December 31, 2021.
• The Corporation declared a quarterly dividend of $0.5250 per participating share, an increase of 6.1%, payable on May 1, 2023.
• On January 12, 2023, the Corporation announced the closing of the transaction to combine its interest in China Asset Management Co., Ltd. (ChinaAMC) under IGM Financial Inc.
• In 2022, the Corporation purchased for cancellation 11.2 million subordinate voting shares for a total of $415 million.
• On February 27, 2023, the Corporation announced its intention to purchase for cancellation up to 30 million subordinate voting shares during a twelve-month period under a normal course issuer bid.
• Contribution to net earnings from the publicly traded operating companies was $833 million in the fourth quarter of 2022, compared with $667 million in 2021.
  Contribution to adjusted net earnings from the publicly traded operating companies was $741 million in the fourth quarter of 2022, compared with $702 million in 2021.

Great-West Lifeco Inc. (Lifeco)

• Fourth quarter net earnings were $1,026 million, compared with $765 million in the fourth quarter of 2021.
  Adjusted net earnings ^[5] were $892 million, compared with $825 million in the fourth quarter of 2021.
• Total assets were $701 billion and assets under administration ^[3] were $2.5 trillion at December 31, 2022, an increase of 11% and 9%, respectively, from December 31, 2021.
• Lifeco announced a 6.1% increase in its quarterly dividend, to $0.52 per share, payable March 31, 2023.
• Lifeco announced, on January 25, 2023, its intention to purchase for cancellation up to 20 million common shares during a twelve-month period under a normal course issuer bid.

IGM Financial Inc. (IGM or IGM Financial)

• Fourth quarter net earnings were $224.7 million, compared with net earnings of $268.5 million and adjusted net earnings of $260.8 million in 2021.
• Assets under management and advisement ^[4] were $249.4 billion at December 31, 2022, a decrease of 10.0% from December 31, 2021 and an increase of 4.7% from September 30, 2022.
• Net outflows ^[6] were $440 million in the fourth quarter of 2022, compared with net inflows of $1.2 billion in the fourth quarter of 2021. Annual net inflows ^[6] for 2022 of $1.2 billion remained strong.
• In December 2022, IGM announced a strategic agreement with nesto Inc. to provide its clients with a best-in-class mortgage experience and enhance its efforts to support growth in its mortgage business.

Groupe Bruxelles Lambert (GBL)

• GBL reported a net asset value ^[4] of €17.8 billion at December 31, 2022, or €116.18 per share, compared with €22.5 billion or €143.91 per share at December 31, 2021.
• In the fourth quarter of 2022, GBL completed €136 million of share buybacks. GBL completed €643 million of share buybacks in the twelve months ended December 31, 2022 and cancelled 3.4 million treasury shares.

Sagard Holdings Inc. (Sagard) and Power Sustainable Capital Inc. (Power Sustainable)

• Assets under management ^[4], including unfunded commitments, of the alternative asset investment platforms were $21.1 billion at December 31, 2022, an increase from $19.1 billion at December 31, 2021.
• On November 29, 2022, Power Sustainable announced the closing of Vintage II of Power Sustainable Energy Infrastructure Partnership (PSEIP), raising $600 million of additional capital commitments, increasing the committed capital of the investment platform to $1.6 billion.
• On February 8, 2023, Sagard announced the initial closing of Sagard Senior Lending Fund with commitments totalling US$315 million.
• On March 9, 2023, Power Sustainable announced the launch of its Global and European infrastructure credit platforms which will target global investments in energy, transportation, social, digital and other sustainable infrastructure.

[1]	Attributable to participating shareholders.
[2]	All per share amounts are per participating share of the Corporation.
[3]	Adjusted net earnings, adjusted net asset value and assets under administration (reported by Lifeco) are non-IFRS financial measures. Adjusted net earnings per share and adjusted net asset value per share are non-IFRS ratios. See the Non-IFRS Financial Measures section later in this news release.
[4]	See the Other Measures section later in this news release.
[5]	Defined as "base earnings" by Lifeco, a non-IFRS financial measure; see the Non-IFRS Financial Measures section later in this news release.
[6]	Related to assets under management and advisement.

FOURTH QUARTER

Net earnings attributable to participating shareholders were $486 million or $0.73 per share, compared with $626 million or $0.93 per share in 2021.

Adjusted net earnings attributable to participating shareholders ^[1] were $394 million or $0.59 per share, compared with $676 million or $1.00 per share in 2021.

Contributions to Power Corporation's Earnings

(in millions of dollars, except per share amounts)	Net Earnings			Adjusted Net Earnings
	2022	2021		2022	2021
Lifeco^[2]	683	511		594	550
IGM^[2]	140	166		140	161
GBL^[2]	(24)	(3)		(24)	(3)
Effect of consolidation^[3]	34	(7)		31	(6)
Publicly traded operating companies	833	667		741	702
Sagard and Power Sustainable^[4]	(183)	14		(183)	29
ChinaAMC	14	17		14	17
Other investments and standalone businesses^[5]	(82)	22		(82)	22
	582	720		490	770
Corporate operations and Other^[6]	(96)	(94)		(96)	(94)
	486	626		394	676
Per participating share	0.73	0.93		0.59	1.00
Average shares outstanding (in millions)	667.3	676.5		667.3	676.5

Publicly traded operating companies: contribution to net earnings was $833 million and adjusted net earnings was $741 million, representing an increase of 24.9% and 5.6%, respectively, from the fourth quarter of 2021:

Lifeco: contribution to net and adjusted net earnings increased by 33.7% and 8.0%, respectively.

IGM: contribution to net and adjusted net earnings decreased by 15.7% and 13.0%, respectively.

GBL: negative contribution to net earnings of $24 million. Results include the Corporation's share of a charge of $18 million in the fourth quarter of 2022 for losses due to an increase in the put right liability of the non-controlling interests in Webhelp Group (Webhelp) and charges related to Webhelp's employee incentive plan, as well as a decrease in contributions from GBL's associates and consolidated operating companies.

Sagard and Power Sustainable: net earnings include a negative contribution of $160 million from Power Sustainable mainly related to a charge for the revaluation of non-controlling interests of $63 million due to fair value increases within the Power Sustainable Energy Infrastructure Partnership and operating losses in its energy infrastructure platform, as well as realized losses in the Power Sustainable China portfolio of $55 million. Sagard had a negative contribution of $23 million.

Other investments and standalone businesses: negative contribution to net and adjusted net earnings of $82 million includes a non-cash impairment charge on the Corporation's investment in The Lion Electric Company (Lion) of $109 million after tax.

Adjustments in the fourth quarter of 2022, excluded from adjusted net earnings, were a positive net impact to earnings of $92 million or $0.14 per share, mainly related to the Corporation's share of Lifeco's adjustments. Adjustments in the fourth quarter of 2021 were a negative net impact to earnings of $50 million or $0.07 per share, mainly related to the Corporation's share of Lifeco's adjustments and the Corporation's share of an impairment charge of $15 million recognized by Power Sustainable on direct investments in energy assets.

[1]	A non-IFRS financial measure; see the Non-IFRS Financial Measures section later in this news release.
[2]	As reported by Lifeco, IGM and GBL.
[3]	Refer to the detailed table in the Contribution to Net Earnings and Adjusted Net Earnings section of the Corporation's most recent Management's Discussion and Analysis (MD&A) for additional information.
[4]	Consists of earnings (losses) from the alternative asset investment platforms including controlled and consolidated subsidiaries.
[5]	Includes earnings (losses) from the Corporation's other investments and standalone businesses.
[6]	Includes operating and other expenses, dividends on non-participating shares of the Corporation and Power Financial Corporation (Power Financial) corporate operations; refer to the Earnings Summary below.

TWELVE MONTHS

Net earnings attributable to participating shareholders were $1,913 million or $2.85 per share, compared with $2,917 million or $4.31 per share in 2021.

Adjusted net earnings attributable to participating shareholders ^[1] were $1,915 million or $2.85 per share, compared with $3,230 million or $4.77 per share in 2021.

Contributions to Power Corporation's Earnings

(in millions of dollars, except per share amounts)	Net Earnings				Adjusted Net Earnings
	2022	2021			2022	2021
Lifeco^[2]	2,143	2,088			2,143	2,175
IGM^[2]	538	606			538	601
GBL^[2]	(133)	60			(133)	60
Effect of consolidation^[3]	74	(35)			66	68
Publicly traded operating companies	2,622	2,719			2,614	2,904
Sagard and Power Sustainable^[4]	(375)	311			(365)	426
ChinaAMC	57	62			57	62
Other investments and standalone businesses^[5]	(20)	259			(20)	259
	2,284	3,351			2,286	3,651
Corporate operations and Other^[6]	(371)	(434)			(371)	(421)
	1,913	2,917			1,915	3,230
Per participating share	2.85	4.31			2.85	4.77
Average shares outstanding (in millions)	670.6	676.8			670.6	676.8

[1]	A non-IFRS financial measure; see the Non-IFRS Financial Measures section later in this news release.
[2]	As reported by Lifeco, IGM and GBL.
[3]	Refer to the detailed table in the Contribution to Net Earnings and Adjusted Net Earnings section of the Corporation's most recent MD&A for additional information.
[4]	Consists of earnings (losses) from the alternative asset investment platforms including controlled and consolidated subsidiaries.
[5]	Includes earnings (losses) from the Corporation's other investments and standalone businesses.
[6]	Includes operating and other expenses, dividends on non-participating shares of the Corporation and Power Financial corporate operations; refer to the Earnings Summary below.

Great-West Lifeco, IGM Financial and Groupe Bruxelles Lambert
Results for the quarter ended December 31, 2022

The information below is derived from Lifeco and IGM's annual MD&As, as prepared and disclosed by the respective companies in accordance with applicable securities legislation, and which are also available either directly from SEDAR (www.sedar.com) or from their websites, www.greatwestlifeco.com and www.igmfinancial.com. The information below related to GBL is derived from publicly disclosed information, as issued by GBL in its fourth quarter press release at December 31, 2022. Further information on GBL's results is available on its website at www.gbl.be.

GREAT-WEST LIFECO INC.

FOURTH QUARTER

Net earnings attributable to common shareholders were $1,026 million or $1.10 per share, compared with $765 million or $0.82 per share in 2021.

Adjusted net earnings ^[1] attributable to common shareholders were $892 million or $0.96 per share, compared with $825 million or $0.89 per share in 2021.

Adjustments in the fourth quarter of 2022, excluded from adjusted net earnings, were a positive net impact of $134 million, compared with a negative net impact of $60 million in 2021. Lifeco's adjustments consisted of:

• Positive earnings impact of $49 million relating to actuarial assumption changes and other management actions;
• Positive market-related impacts on liabilities of $38 million; and
• Positive impact from tax legislative changes of $84 million.

     Partially offset by:

• Restructuring and integration costs of $32 million in the United States segment; and
• Transaction costs of $5 million related to recent acquisitions in the Europe segment.

IGM FINANCIAL INC.

FOURTH QUARTER

Net earnings available to common shareholders were $224.7 million or $0.94 per share, compared with $268.5 million or $1.11 per share in 2021.

Adjusted net earnings ^[2] available to common shareholders were $224.7 million or $0.94 per share, compared with $260.8 million or $1.08 per share in 2021.

Adjustments in the fourth quarter of 2021, excluded from adjusted net earnings, were a positive impact of $7.7 million.

Assets under management and advisement ^[3] at December 31, 2022 were $249.4 billion, a decrease of 10.0% from December 31, 2021 and an increase of 4.7% from September 30, 2022.

GROUPE BRUXELLES LAMBERT

FOURTH QUARTER

GBL reported ^[4] a net loss of €112 million, compared with a net loss of €12 million in 2021.

GBL reported a net asset value ^[3] of €17,775 million at December 31, 2022, or €116.18 per share, compared with €22,501 million or €143.91 per share at December 31, 2021.

[1]	Defined as "base earnings" by Lifeco. For additional information, please refer to the Non-IFRS Financial Measures section later in this news release.
[2]	Adjusted net earnings is a non-IFRS financial measure. For additional information, please refer to the Non-IFRS Financial Measures section later in this news release.
[3]	See the Other Measures section later in this news release.
[4]	GBL adopted IFRS 9 in 2018. Power Corporation continues to apply IAS 39; this resulted in a positive adjustment to the contribution from GBL of $72 million in the fourth quarter of 2022.

Sagard and Power Sustainable
Results for the quarter ended December 31, 2022

Sagard and Power Sustainable comprise the results of the Corporation's alternative asset investment platforms, which includes income earned from asset management and investing activities. Asset management activities includes fee-related earnings (a non-IFRS financial measure, see the Non-IFRS Financial Measures section later in this news release), which is comprised of management fees less investment platform expenses. Asset management activities also includes carried interest and income from other management activities. Investing activities comprises income earned on the capital invested by the Corporation (proprietary capital) in the investment funds managed by each platform and the share of earnings (losses) of controlled and consolidated subsidiaries held within the alternative asset investment platforms. For additional information, refer to the table later in this news release.

FOURTH QUARTER

Net loss and adjusted net loss ^[1] of alternative asset investment platforms were $183 million, compared with net earnings of $14 million and adjusted net earnings of $29 million in the corresponding period in 2021.

Adjustments in the fourth quarter of 2021, excluded from adjusted net earnings, were $15 million and related to the Corporation's share of an impairment charge recognized by Power Sustainable on direct investments in energy assets.

Net loss in the fourth quarter is comprised of:

• A negative contribution of $7 million from the asset management activities of Sagard and Power Sustainable;
• A negative contribution of $176 million from investing activities comprised of :
• $13 million from Sagard; and
• $163 million from Power Sustainable comprised of:
1. realized losses in the Power Sustainable China portfolio of $55 million;
2. losses before the revaluation of non-controlling interests liabilities of $45 million which mainly includes operating losses in its energy infrastructure platform due to seasonality; and
3. a revaluation of non-controlling interests liabilities ^[2] of $63 million due to fair value increases within the Power Sustainable Energy Infrastructure Partnership.

Summary of assets under management ^[3] (including unfunded commitments):

(in billions of dollars)	December 31, 2022	December 31, 2021
Sagard ^[4]	17.7	16.2
Power Sustainable	3.4	2.9
Total	21.1	19.1
Percentage of third-party and associates	87 %	81 %

[1]	Adjusted net earnings is a non-IFRS financial measure. For additional information, please refer to the Non-IFRS Financial Measures section later in this news release.
[2]	The Corporation controls and consolidates the activities of PSEIP on a historical cost basis; however, limited partner equity interests held by third parties have redemption features and are classified as a financial liability which are remeasured at their redemption value. The net asset value ^[3] of PSEIP was $1,035 million at December 31, 2022, compared with $805 million at September 30, 2022.
[3]	See the Other Measures section later in this news release.
[4]	Includes ownership in Wealthsimple Financial Corp. (Wealthsimple) valued at $0.9 billion at December 31, 2022 ($2.1 billion at December 31, 2021) and excludes assets under management of Sagard's wealth management business.

Other Investments and Standalone Businesses

Results for the quarter ended December 31, 2022

Other investments and standalone businesses includes the Corporation's investments in investment and hedge funds and the share of earnings (losses) of standalone businesses.

FOURTH QUARTER

STANDALONE BUSINESSES

Net loss of the standalone businesses in the fourth quarter of 2022 was $102 million, compared with net earnings of $12 million in 2021. The net loss in the fourth quarter of 2022 includes a non-cash impairment charge of $109 million after tax ($126 million pre-tax) on the Corporation's investment in Lion due to a decline in market value at December 31, 2022.

At December 31, 2022, the fair value of standalone businesses was $0.8 billion, compared with $1.5 billion at December 31, 2021.

Adjusted Net Asset Value and Participating Shareholders' Equity
At December 31, 2022

ADJUSTED NET ASSET VALUE

Adjusted net asset value is presented for Power Corporation and represents management's estimate of the fair value of the participating shareholders' equity of the Corporation. Adjusted net asset value is calculated as the fair value of the assets of the combined Power Corporation and Power Financial holding company (the gross asset value) less their net debt and preferred shares. Refer to the Non-IFRS Financial Measures section later in this news release for a description and reconciliation.

The Corporation's adjusted net asset value per share was $41.91 at December 31, 2022, compared with $52.60 at December 31, 2021, representing a decrease of 20.3%.

	(in millions of dollars, except per share amounts)	December 31, 2022	December 31, 2021	Variation %
Publicly Traded Operating Companies	Lifeco	19,414	23,545	(18)
	IGM	5,592	6,749	(17)
	GBL	2,388	3,157	(24)
		27,394	33,451	(18)
Alternative Asset Investment Platforms	Sagard^[1]	977	1,515	(36)
	Power Sustainable^[1]	1,478	1,654	(11)
		2,455	3,169	(23)
Other	ChinaAMC	1,150	1,150	−
	Standalone businesses^[2]	829	1,331	(38)
	Other assets and investments	559	661	(15)
	Cash and cash equivalents	1,277	1,635	(22)
		3,815	4,777	(20)
	Gross asset value	33,664	41,397	(19)
	Liabilities and preferred shares	(5,701)	(5,810)	2
	Adjusted net asset value	27,963	35,587	(21)
	Shares outstanding (millions)	667.1	676.6
	Adjusted net asset value per share	41.91	52.60	(20)

[1]	Includes the management companies of the investment platforms at their carrying value.
[2]	Includes Lion, LMPG Inc. (LMPG) and Peak Achievement Athletics Inc. (Peak).

Power Corporation's Ownership in Publicly Traded Operating Companies

		Shares held^[1] (in millions)	Share price
	Ownership^[1] (%)		December 31, 2022	December 31, 2021
Lifeco ^[2]	66.6	620.3	$31.30	$37.96
IGM	62.2	147.9	$37.80	$45.62
GBL^[3]	14.9	22.8	€74.58	€98.16

[1]	At December 31, 2022.
[2]	On January 12, 2023, subsequent to year-end, the Corporation and IGM completed a transaction in which the interest in ChinaAMC was combined under IGM. In a separate agreement, IGM sold approximately 15.2 million common shares of Lifeco, representing a 1.6% interest in Lifeco, to Power Financial.
[3]	Held through Parjointco SA (Parjointco), a jointly controlled corporation (50%).

PARTICIPATING SHAREHOLDERS' EQUITY

Book value per participating share represents Power Corporation's participating shareholders' equity divided by the number of participating shares outstanding at the end of the reporting period. Participating shareholders' equity is calculated as the total assets of the combined Power Corporation and Power Financial holding company, including investments in subsidiaries presented using the equity method, less their net debt and preferred shares.

The Corporation's book value per participating share was $34.58 at December 31, 2022, comparable with $34.56 at December 31, 2021.

	(in millions of dollars, except per share amounts)	December 31, 2022	December 31, 2021	Variation %
Publicly Traded Operating Companies	Lifeco	16,646	15,496	7
	IGM	3,685	3,434	7
	GBL	3,314	4,278	(23)
		23,645	23,208	2
Alternative Asset Investment Platforms	Sagard	714	822	(13)
	Power Sustainable	1,134	1,389	(18)
		1,848	2,211	(16)
Other	ChinaAMC	783	766	2
	Standalone businesses^[1]	678	725	(6)
	Other assets and investments	504	611	(18)
	Cash and cash equivalents	1,277	1,635	(22)
		3,242	3,737	(13)
	Total assets	28,735	29,156	(1)
	Liabilities and preferred shares	(5,664)	(5,771)	2
	Participating shareholders' equity	23,071	23,385	(1)
	Shares outstanding (millions)	667.1	676.6
	Book value per participating share	34.58	34.56	−

[1]	Includes Lion, LMPG and Peak.

Update on Transition to IFRS 17 and IFRS 9

IFRS 17, Insurance Contracts (IFRS 17) has replaced IFRS 4, Insurance Contracts (IFRS 4) effective January 1, 2023. While the new standard will change Lifeco's recognition and measurement of insurance contracts and the corresponding presentation and disclosures in the Corporation's financial statements, it is not expected to have a material financial impact or to change Lifeco's underlying business strategy. IFRS 9, Financial Instruments (IFRS 9) has replaced IAS 39, Financial Instruments: Recognition and Measurement effective January 1, 2023 and is not expected to lead to a material change in the level of investments. Upon adoption of IFRS 17 and IFRS 9, the Corporation expects an increase in net earnings volatility.

The Corporation will report under the new standards for the first time for the quarter ended March 31, 2023. The Corporation and Lifeco continue to evaluate the impact of the adoption of these standards. The Corporation's January 1, 2022 shareholders' equity is expected to decrease by approximately 10% on the adoption of IFRS 17 on January 1, 2023 in line with original expectations, primarily due to Lifeco's establishment of the contractual service margin (CSM), partially offset by the removal of provisions no longer required under IFRS 17.

Dividend on Power Corporation Participating Shares

The Board of Directors declared a quarterly dividend of 52.50 cents per share on the Participating Preferred Shares and the Subordinate Voting Shares of the Corporation, an increase of 6.1%, payable May 1, 2023 to shareholders of record March 31, 2023.

Dividends on Power Corporation Non-Participating Preferred Shares

The Board of Directors also declared quarterly dividends on the Corporation's preferred shares, payable April 15, 2023 to shareholders of record March 24, 2023:

Series	Stock Symbol	Amount	Series	Stock Symbol	Amount
Series A	POW.PR.A	35¢	Series D	POW.PR.D	31.25¢
Series B	POW.PR.B	33.4375¢	Series G	POW.PR.G	35¢
Series C	POW.PR.C	36.25¢

Investor Information

About Power Corporation

Power Corporation is an international management and holding company that focuses on financial services in North America, Europe and Asia. Its core holdings are leading insurance, retirement, wealth management and investment businesses, including a portfolio of alternative asset investment platforms. To learn more, visit www.PowerCorporation.com.

At December 31, 2022, Power Corporation held the following economic interests:

100% – Power Financial		www.powerfinancial.com
66.6 %	Great-West Lifeco^[1] (TSX: GWO)	www.greatwestlifeco.com
62.2 %	IGM Financial (TSX: IGM)	www.igmfinancial.com
14.9 %	GBL^[2] (Euronext: GBLB)	www.gbl.be
54.3 %	Wealthsimple^[3]	www.wealthsimple.com
Investment Platforms
100 %	Sagard^[4]	www.sagard.com
100 %	Power Sustainable	www.powersustainable.com
13.9% – ChinaAMC ^[1][5]		www.chinaamc.com

[1]	On January 12, 2023, subsequent to year-end, the Corporation and IGM completed a transaction in which the interest in ChinaAMC was combined under IGM. IGM's interest in ChinaAMC is now 27.8%. In a separate agreement, IGM sold approximately 15.2 million common shares of Lifeco, representing a 1.6% interest in Lifeco, to Power Financial. Refer to the section China Asset Management Company, Ltd. (ChinaAMC) in the Corporation's most recent MD&A.
[2]	Held through Parjointco, a jointly controlled corporation (50%).
[3]	Undiluted equity interest held by Portag3 Ventures Limited Partnership (Portage Ventures I), Power Financial and IGM, representing a fully diluted equity interest of 42.5%.
[4]	The Corporation holds an 80.9% interest in Sagard Holdings Management Inc.
[5]	IGM also held a 13.9% interest in ChinaAMC.

Earnings Summary

Contribution to Adjusted Net Earnings and Net Earnings

(in millions of dollars, except per share amounts)	Three months ended December 31,		Twelve months ended December 31,
	2022	2021	2022	2021
Adjusted net earnings^[1]
Lifeco^[2]	594	550	2,143	2,175
IGM^[2]	140	161	538	601
GBL^[2]	(24)	(3)	(133)	60
Effect of consolidation^[3]	31	(6)	66	68
	741	702	2,614	2,904
Sagard and Power Sustainable^[4]	(183)	29	(365)	426
ChinaAMC	14	17	57	62
Other investments and standalone businesses^[5]	(82)	22	(20)	259
Corporate operating and other expenses	(49)	(47)	(184)	(233)
Dividends on non-participating and perpetual preferred shares	(47)	(47)	(187)	(188)
Adjusted net earnings^[6]	394	676	1,915	3,230
Adjustments^[7]	92	(50)	(2)	(313)
Net earnings
Lifeco^[2]	683	511	2,143	2,088
IGM^[2]	140	166	538	606
GBL^[2]	(24)	(3)	(133)	60
Effect of consolidation^[3]	34	(7)	74	(35)
	833	667	2,622	2,719
Sagard and Power Sustainable^[4]	(183)	14	(375)	311
ChinaAMC	14	17	57	62
Other investments and standalone businesses^[5]	(82)	22	(20)	259
Corporate operating and other expenses	(49)	(47)	(184)	(246)
Dividends on non-participating and perpetual preferred shares	(47)	(47)	(187)	(188)
Net earnings^[6]	486	626	1,913	2,917
Earnings per share – basic ^[6]
Adjusted net earnings	0.59	1.00	2.85	4.77
Adjustments	0.14	(0.07)	−	(0.46)
Net earnings	0.73	0.93	2.85	4.31

[1]	For a reconciliation of Lifeco, IGM and Sagard and Power Sustainable's non-IFRS adjusted net earnings to their net earnings, refer to the Non-IFRS Financial Measures, and Sagard and Power Sustainable sections below.
[2]	As reported by Lifeco, IGM and GBL.
[3]	Effect of consolidation reflects: i) the elimination of intercompany transactions; ii) the application of the Corporation's accounting method for investments under common control to the reported net earnings of the publicly traded operating companies, which include: a) an adjustment related to Lifeco's investment in PSEIP; and b) an allocation of the results of the fintech portfolio, including Wealthsimple, Portage Ventures I, Portag3 Ventures II Limited Partnership (Portage Ventures II) and Portage Ventures III Limited Partnership (Portage Ventures III), to the contributions from Lifeco and IGM based on their respective interest; and iii) adjustments in accordance with IAS 39 for IGM and GBL. Refer to the detailed table in the Contribution to Net Earnings and Adjusted Net Earnings section of the Corporation's most recent MD&A.
[4]	Consists of earnings of the Corporation's alternative asset investment platforms, including investments held through Power Financial.
[5]	Includes the results of Lion, LMPG, Peak and GP Strategies Corporation (GP Strategies) (up to the date of disposal in the fourth quarter of 2021).
[6]	Attributable to participating shareholders.
[7]	Refer to the detailed table of Adjustments in the Non-IFRS Financial Measures section below.

Sagard and Power Sustainable

(in millions of dollars)	Three months ended December 31,		Twelve months ended December 31,
	2022	2021	2022	2021
Adjusted net earnings (loss)
Asset management activities^[1]
Sagard^[2]	(10)	28	(68)	72
Power Sustainable	3	(11)	(15)	(27)
Investing activities (proprietary capital)
Sagard^[3]	(13)	32	26	122
Power Sustainable
China public equity^[4]	(55)	7	(218)	301
Energy Infrastructure
Losses before changes in non-controlling interests liabilities^[5]	(45)	(23)	(19)	(37)
Revaluation of non-controlling interests liabilities^[6]	(63)	(4)	(71)	(5)
Adjusted net earnings (loss)	(183)	29	(365)	426
Adjustments^[7]	−	(15)	(10)	(115)
Net earnings (loss)	(183)	14	(375)	311

[1]	Includes management fees charged by the investment platforms on proprietary capital and management of standalone businesses. Management fees paid by the Corporation are deducted from income from investing activities.
[2]	The first and second quarters of 2022 include a reversal of net carried interest of $13 million and $42 million, respectively, mainly due to decreases in the fair value of Wealthsimple and investments held by Portage Ventures II in the periods.
[3]	Includes the Corporation's share of earnings (losses) of Wealthsimple. The first and second quarters of 2022 include a reversal of carried interest payable of $13 million and $25 million, respectively, mainly due to decreases in the fair value of Wealthsimple and investments held by Portage Ventures II in the periods. The first quarter of 2021 included a charge of $52 million related to the Corporation's share of the carried interest payable due to increases in fair value of investments held in the Portage Ventures Funds and Wealthsimple; as well, it excluded a charge of $100 million related to the remeasurement of the put right liability held by certain of the non-controlling interests in Wealthsimple to fair value which has been included in Adjustments (see the Adjustments section below). The net decrease in fair value of the Corporation's investments, including its investments held through Power Financial, in Portage Ventures I, Portage Ventures II, Portage Ventures III, KOHO Financial Inc. and Wealthsimple was $430 million in the twelve-month period ended December 31, 2022, compared with an increase of $650 million in fair value in the corresponding period in 2021.
[4]	The fair value of the Corporation's investments was $666 million at December 31, 2022, compared with $962 million at December 31, 2021. In 2022, the Corporation realized losses of $201 million on the disposal of investments in Power Sustainable China, of which $55 million was recognized in the fourth quarter, and $16 million in impairments, of which $13 million was recognized in the first quarter due to declines in Chinese equity markets (realized gains of $311 million in 2021, of which $10 million was recognized in the fourth quarter).
[5]	The fourth quarter of 2022 includes the Corporation's share of carried interest expense of $19 million, which results from an increase in fair value of assets held in PSEIP and operating losses mainly related to seasonality. In the year ended December 31, 2022, these losses were partially offset by a gain on disposal of a portfolio of solar assets of $20 million, of which $17 million was recognized in the second quarter, and unrealized gains on derivative contracts hedging energy infrastructure projects of $46 million, of which $10 million was recognized in the fourth quarter.
[6]	The fourth quarter of 2022 includes a charge of $63 million related to the Corporation's share of the revaluation of non-controlling interests liabilities which mainly results from an increase in fair value of assets held in PSEIP. The NAV of PSEIP was $1,035 million at December 31, 2022, compared with $805 million at September 30, 2022. The Corporation controls and consolidates the activities of PSEIP on a historical cost basis; however, equity interests held by third parties have redemption features and are classified as a financial liability which are remeasured at their redemption value.
[7]	Refer to the detailed table of Adjustments in the Non-IFRS Financial Measures section below.

Other Investments and Standalone Businesses

(in millions of dollars)	Three months ended December 31,		Twelve months ended December 31,
	2022	2021	2022	2021
Net earnings (loss)
Investment and hedge funds and Other^[1]	20	10	48	34
Standalone businesses^[2]	(102)	12	(68)	225
Net earnings (loss)	(82)	22	(20)	259

[1]

Other consists mainly of foreign exchange gains or losses and interest on cash and cash equivalents. Includes a gain on disposal of a property by the Corporation of $7 million, recognized in the second quarter of 2022.

[2]

The fourth quarter of 2022 includes a non-cash impairment charge of $109 million after tax ($126 million pre-tax) on the Corporation's investment in Lion due to a decline in market value at December 31, 2022. In 2021, the contribution from Lion included a net gain of $153 million recognized in the second quarter related to its investment in Lion which was comprised of i) a gain of $62 million related to the effect of the change in ownership as a result of the completion of the merger transaction between Lion and Northern Genesis Acquisition Corp.; ii) a gain of $147 million related to the revaluation of call rights held by Power Sustainable, a portion of which were exercised during the second quarter of 2021; and iii) an expense of $56 million related to the increase in amounts payable for long-term incentive plans and deferred taxes.

NON-IFRS FINANCIAL MEASURES

Net earnings attributable to participating shareholders are comprised of:

• Adjusted net earnings attributable to participating shareholders; and
• Adjustments, which include the after-tax impact of any item that in management's judgment, including those identified by management of its publicly traded operating companies, would make the period-over-period comparison of results from operations less meaningful. Includes the Corporation's share of Lifeco's impact of actuarial assumption changes and other management actions, direct equity and interest rate market impacts on insurance and investment contract liabilities net of hedging, and related deferred tax liabilities as well as items that management believes are not indicative of the underlying business results which include those identified by a subsidiary or a jointly controlled corporation. Items that management and management of its subsidiaries believe are not indicative of the underlying business results include restructuring or reorganization costs, integration costs related to business acquisitions, material legal settlements, material impairment charges, impact of substantially enacted income tax rate changes and other tax impairments, certain non-recurring material items, and net gains, losses or costs related to the disposition or acquisition of a business.

Management uses these financial measures in its presentation and analysis of the financial performance of Power Corporation and believes that they provide additional meaningful information to readers in their analysis of the results of the Corporation. Adjusted net earnings, as defined by the Corporation, assists the reader in comparing the current period's results to those of previous periods as it reflects management's view of the operating performance of the Corporation and its subsidiaries and excludes items that are not considered to be part of the underlying business results.

Fee-related earnings is presented for Sagard and Power Sustainable and includes revenues from management fees earned across all asset classes, less i) fee-related compensation including salary, bonus, and benefits, and ii) operating expenses. Fee-related earnings is presented on a gross basis, including non-controlling interests. Fee-related earnings excludes i) share-based compensation expenses, ii) amortization of acquisition-related intangibles, iii) foreign exchange-related gains and losses, iv) net interest, and v) other items that in management's judgment are not indicative of underlying operating performance of the alternative asset investment platforms, which include restructuring costs, transaction and integration costs related to business acquisitions and certain non-recurring material items. Management uses this measure to assess the profitability of the asset management activities of the alternative asset investment platforms. This financial measure provides insight as to whether recurring revenues from management fees, which are not based on future realization events, are sufficient to cover associated operating expenses.

Adjusted net asset value is commonly used by holding companies to assess their value. Adjusted net asset value represents the fair value of the participating shareholders' equity of Power Corporation. Adjusted net asset value is calculated as the fair value of the assets of the combined Power Corporation and Power Financial holding company less their net debt and preferred shares. The investments held in public entities (including Lifeco, IGM and GBL) are measured at their market value and investments in private entities and investment funds are measured at management's estimate of fair value. This measure presents the fair value of the participating shareholders equity of the holding company, and assists the reader in determining or comparing the fair value of investments held by the holding company or its overall fair value.

Adjusted net earnings attributable to participating shareholders, fee-related earnings, adjusted net asset value, gross asset value, adjusted net earnings per share and adjusted net asset value per share are non-IFRS financial measures and ratios that do not have a standard meaning and may not be comparable to similar measures used by other entities.

Presentation of Holding Company Activities

The Corporation's reportable segments include Lifeco, IGM and GBL, which represent the Corporation's investments in publicly traded operating companies, as well as the holding company. These reportable segments, in addition to the asset management activities, reflect Power Corporation's management structure and internal financial reporting. The Corporation evaluates its performance based on the operating segment's contribution to earnings.

The holding company comprises the corporate activities of the Corporation and Power Financial, on a combined basis, and presents the investment activities of the Corporation. The investment activities of the holding company, including the investments in Lifeco, IGM and controlled entities within the alternative asset investment platforms, are presented using the equity method. The holding company activities present the holding company's assets and liabilities, including cash, investments, debentures and non-participating shares. The discussions included in the sections "Financial Position" and "Cash Flows" of the Corporation's 2022 Annual MD&A present the segmented balance sheet and cash flow statement of the holding company, which are presented in Note 33 of the Corporation's 2022 Consolidated Financial Statements. This presentation is useful to the reader as it presents the holding company's (parent) results separately from the results of its consolidated operating subsidiaries.

RECONCILIATIONS OF NON-IFRS FINANCIAL MEASURES

Power Corporation

ADJUSTED NET EARNINGS

(in millions of dollars)	Three months ended December 31,			Twelve months ended December 31,
	2022	2021		2022	2021
Adjusted net earnings – Non-IFRS financial measure^[1]	394	676		1,915	3,230
Share of Adjustments^[2], net of tax
Lifeco	89	(38)		−	(89)
IGM	3	3		8	(96)
Sagard and Power Sustainable	−	(15)		(10)	(115)
Corporate operations	−	−		−	(13)
	92	(50)		(2)	(313)
Net earnings – IFRS financial measure^[1]	486	626		1,913	2,917

[1]	Attributable to participating shareholders of Power Corporation.
[2]	Refer to the Adjustments section for more detail on Adjustments from Lifeco, IGM, Sagard and Power Sustainable, and corporate operations.

ADJUSTMENTS (excluded from Adjusted net earnings)

(in millions of dollars)	Three months ended December 31,			Twelve months ended December 31,
	2022	2021		2022	2021
Lifeco^[1]
Actuarial assumption changes and other management actions (pre-tax)	33	19		59	99
Income tax (expense) benefit	−	(3)		27	(9)
Market-related impacts on liabilities (pre-tax)	31	14		(27)	23
Income tax (expense) benefit	(6)	(1)		5	(7)
Transaction costs related to acquisitions (pre-tax)	(4)	(51)		(46)	(139)
Income tax (expense) benefit	−	2		13	13
Restructuring and integration charges (pre-tax)	(28)	(14)		(118)	(60)
Income tax (expense) benefit	7	4		31	16
Tax legislative changes impact	37	−		37	−
Income tax (expense) benefit	19	−		19	(14)
Net gain (loss) on business dispositions (pre-tax)	−	(9)		−	(9)
Income tax (expense) benefit	−	−		−	−
	89	(39)		−	(87)
Effect of consolidation (pre-tax)^[2]	−	1		−	(2)
Income tax (expense) benefit	−	−		−	−
	89	(38)		−	(89)
IGM^[1]
Net gain on business dispositions (pre-tax)	−	7		−	7
Income tax (expense) benefit	−	(2)		−	(2)
	−	5		−	5
Effect of consolidation (pre-tax)^[2]	2	(2)		7	(101)
Income tax (expense) benefit	1	−		1	−
	3	3		8	(96)
Sagard and Power Sustainable
Remeasurements of Wealthsimple's put right liability	−	−		−	(100)
Impairment charges on direct investments in energy infrastructure (pre-tax)	−	(19)		(13)	(19)
Income tax (expense) benefit	−	4		3	4
	−	(15)		(10)	(115)
Corporate operations
Reorganization charges	−	−		−	(13)
	92	(50)		(2)	(313)

[1]

As reported by Lifeco and IGM.

[2]

Effect of consolidation reflects i) the elimination of intercompany transactions; ii) the application of the Corporation's accounting method for investments under common control to the Adjustments reported by Lifeco and IGM, which includes an allocation of the Adjustments related to the fintech portfolio based on their respective interest; iii) IGM's share of Lifeco's Adjustments, in accordance with the Corporation's definition of Adjusted net earnings; and iv) adjustments in accordance with IAS 39 for IGM.

ADJUSTED NET ASSET VALUE

Adjusted net asset value represents management's estimate of the fair value of the participating shareholders' equity of the Corporation. Adjusted net asset value is calculated as the fair value of the assets of the combined Power Corporation and Power Financial holding company less their net debt and preferred shares. The Corporation's adjusted net asset value per share is presented on a look-through basis.

The following table presents a reconciliation of the participating shareholders' equity reported in accordance with IFRS to the adjusted net asset value, a non-IFRS financial measure:

(in millions of dollars, except per share amounts)	December 31, 2022		December 31, 2021
Participating shareholders' equity – IFRS financial measure
Stated capital – participating shares	9,486		9,603
Retained earnings	11,103		10,807
Reserves	2,482		2,975
	23,071		23,385
Fair value adjustments^[1]
Lifeco	2,768		8,049
IGM	1,907		3,315
GBL	(926)		(1,121)
Alternative asset investment platforms	607		958
ChinaAMC	367		384
Other investments and standalone businesses	206		656
Adjustments to Other liabilities ^[1]	(37)		(39)
	4,892		12,202
Adjusted net asset value – Non-IFRS financial measure	27,963		35,587
Per share^[2]
Participating shareholders' equity (book value)	34.58		34.56
Adjusted net asset value	41.91		52.60

[1]	Refer to the table below for more details on the fair value and other adjustments.
[2]	Attributable to participating shareholders.

The Corporation's adjusted net asset value per share was $41.91 at December 31, 2022, compared with $52.60 at December 31, 2021, representing a decrease of 20.3%. The Corporation's book value per participating share was $34.58 at December 31, 2022, comparable with $34.56 at December 31, 2021.

			December 31, 2022				December 31, 2021
(in millions of dollars, except per share amounts)	Holding company balance sheet	Fair value adjustment	Adjusted net asset value		Holding company balance sheet	Fair value adjustment	Adjusted net asset value
Holding company assets
Investments
Power Financial
Lifeco	16,646	2,768	19,414		15,496	8,049	23,545
IGM	3,685	1,907	5,592		3,434	3,315	6,749
GBL^[1]	3,314	(926)	2,388		4,278	(1,121)	3,157
Alternative asset investment platforms
Asset management companies^[2]
Sagard	60	−	60		116	−	116
Power Sustainable	33	−	33		21	−	21
Investing activities
Sagard^[3]	654	263	917		706	693	1,399
Power Sustainable	1,101	344	1,445		1,368	265	1,633
ChinaAMC	783	367	1,150		766	384	1,150
Other investments and standalone     businesses
Other investments	192	55	247		262	50	312
Standalone businesses^[4]	678	151	829		725	606	1,331
Cash and cash equivalents	1,277	−	1,277		1,635	−	1,635
Other assets	312	−	312		349	−	349
Total holding company assets	28,735	4,929	33,664		29,156	12,241	41,397
Holding company liabilities and    non-participating shares
Debentures and other debt instruments	897	−	897		897	−	897
Other liabilities^[5][6]	987	37	1,024		1,090	39	1,129
Non-participating shares and perpetual    preferred shares	3,780	−	3,780		3,784	−	3,784
Total holding company liabilities and non-    participating shares	5,664	37	5,701		5,771	39	5,810
Net value
Participating shareholders' equity (IFRS) /    Adjusted net asset value (non-IFRS)	23,071	4,892	27,963		23,385	12,202	35,587
Per share	34.58		41.91		34.56		52.60

[1]	The Corporation's share of GBL's reported net asset value was $3.8 billion (€2.6 billion) at December 31, 2022 ($4.7 billion (€3.3 billion) at December 31, 2021).
[2]	The management companies of the investment funds are presented at their carrying value and are primarily composed of cash and net carried interest receivable.
[3]	Includes the Corporation's investments in Portage Ventures I, Portage Ventures II and Wealthsimple, held by Power Financial.
[4]	An additional deferred tax liability of $13 million has been included in the adjusted net asset value at December 31, 2022 ($80 million at December 31, 2021) with respect to the investments in standalone businesses at fair value, without taking into account possible tax planning strategies. The Corporation has tax attributes (not otherwise recognized on the balance sheet) that could be available to minimize the tax if the Corporation were to dispose of its interests held in the standalone businesses.
[5]	In accordance with IAS 12, Income Taxes, no deferred tax liability is recognized with respect to temporary differences associated with investments in subsidiaries and jointly controlled corporations as the Corporation is able to control the timing of the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future. If the Corporation were to dispose of an investment in a subsidiary or a jointly controlled corporation, income taxes payable on such disposition would be minimized through careful and prudent tax planning and structuring, as well as with the use of available tax attributes not otherwise recognized on the balance sheet, including tax losses, tax basis, safe income and foreign tax surplus associated with the subsidiary or jointly controlled corporation.
[6]	At December 31, 2022, an additional deferred tax liability of $37 million ($39 million at December 31, 2021) has been included in the adjusted net asset value related to the investment in ChinaAMC at fair value.

This news release also contains other non-IFRS financial measures which are publicly disclosed by the Corporation's subsidiaries including adjusted net earnings, adjusted net earnings per share and Lifeco's assets under administration. The section below includes the description and reconciliation of the non-IFRS financial measures included in this news release as reported by the Corporation's subsidiaries. The information below is derived from Lifeco's and IGM's annual MD&As, as prepared and disclosed by the respective companies in accordance with applicable securities legislation, and which are also available either directly from SEDAR (www.sedar.com) or from their websites, www.greatwestlifeco.com and www.igmfinancial.com.

Lifeco
ADJUSTED NET EARNINGS ATTRIBUTABLE TO LIFECO'S COMMON SHAREHOLDERS

Adjusted net earnings (loss) ^[1] reflects Lifeco management's view of the underlying business performance of Lifeco and provides an alternate measure to understand the underlying business performance compared with IFRS net earnings. Adjusted net earnings (loss) excludes the following items:

• The impact of actuarial assumption changes and other management actions;
• The net earnings impact related to the direct equity and interest rate market impacts on insurance and investment contract liabilities, net of hedging, and related deferred tax liabilities, which includes:
• the impact of hedge ineffectiveness related to segregated fund guarantee liabilities that are hedged and the performance of the related hedge assets;
• the impact on segregated fund guarantee liabilities not hedged;
• the impact on general fund equity and investment properties supporting insurance contract liabilities; and
• other market impacts on insurance and investment contract liabilities and deferred tax liabilities, including those arising from the difference between actual and expected market movements; and
• Certain items that, when removed, assist in explaining Lifeco's underlying business performance including restructuring costs, integration costs related to business acquisitions, material legal settlements, material impairment charges related to goodwill and intangible assets, impact of substantially enacted income tax rate changes and other tax impairments and net gains, losses or costs related to the disposition or acquisition of a business.

(in millions of dollars)	Three months ended December 31,			Twelve months ended December 31,
	2022	2021		2022	2021
Adjusted net earnings – Non-IFRS financial measure^[1][2]	892	825		3,219	3,260
Adjustments
Actuarial assumption changes and other management actions (pre-tax)	49	28		88	148
Income tax (expense) benefit	−	(5)		41	(14)
Market-related impacts on liabilities (pre-tax)	46	22		(41)	35
Income tax (expense) benefit	(8)	(2)		8	(11)
Transaction costs related to acquisitions (pre-tax)	(5)	(76)		(68)	(207)
Income tax (expense) benefit	−	2		19	18
Restructuring and integration charges (pre-tax)	(43)	(21)		(178)	(90)
Income tax (expense) benefit	11	6		47	24
Tax legislative changes impact (pre-tax)	55	−		55	−
Income tax (expense) benefit	29	−		29	(21)
Net gain (loss) on business dispositions (pre-tax)	−	(14)		−	(14)
	134	(60)		−	(132)
Net earnings – IFRS financial measure^[2]	1,026	765		3,219	3,128

[1]	Defined as "base earnings" and identified as a non-GAAP financial measure by Lifeco.
[2]	Attributable to Lifeco common shareholders.

LIFECO'S ASSETS UNDER MANAGEMENT AND ASSETS UNDER ADMINISTRATION

Assets under management and assets under administration are non-IFRS financial measures that provide an indicator of the size and volume of Lifeco's overall business. Total assets under administration includes total assets per Lifeco's financial statements, proprietary mutual funds and institutional assets, and other assets under administration. Please refer to the section "Glossary" of Lifeco's most recent Management's Discussion and Analysis for additional information regarding proprietary mutual funds and institutional assets, and other assets under administration.

(in billions of dollars)	December 31, 2022	December 31, 2021
Total assets per financial statements	701.5	630.5
Other assets under management	331.7	377.2
Assets under management	1,033.2	1,007.7
Other assets under administration^[1]	1,464.5	1,283.9
Assets under administration ^[1]	2,497.7	2,291.6

[1]	Comparative figures for 2021 have been restated to include Financial Horizons Group and Excel Private Wealth Inc. assets under administration in the Canada segment.

IGM Financial
ADJUSTED NET EARNINGS ATTRIBUTABLE TO IGM'S COMMON SHAREHOLDERS

Adjusted net earnings attributable to common shareholders excludes Adjustments ^[1], which includes the after-tax impact of any item that management considers to be of a non-recurring nature, or that could make the period-over-period comparison of results from operations less meaningful.

(in millions of dollars)	Three months ended December 31,			Twelve months ended December 31,
	2022	2021		2022	2021
Adjusted net earnings – Non-IFRS financial measure^[2]	224.7	260.8		867.2	971.2
Adjustments^[1]
Gain on sale of Personal Capital (pre-tax)	−	10.6		−	10.6
Income tax (expense) benefit	−	(2.9)		−	(2.9)
	−	7.7		−	7.7
Net earnings – IFRS financial measure^[2]	224.7	268.5		867.2	978.9

[1]	Described as "Other items" by IGM.
[2]	Available to IGM common shareholders.

OTHER MEASURES

This news release and other continuous disclosure documents also include other measures used to discuss activities of the Corporation's consolidated publicly traded operating companies and alternative asset investment platforms including, but not limited to, "assets under management", "assets under administration", "assets under management and advisement", "book value per participating share", "carried interest", "net asset value", and "unfunded commitments". Refer to the section "Other Measures" in the Corporation's most recent MD&A, which can be located in the Corporation's profile on SEDAR at www.sedar.com, for definitions of such measures, which definitions are incorporated herein by reference.

ELIGIBLE DIVIDENDS

For purposes of the Income Tax Act (Canada) and any similar provincial legislation, all of the above dividends on the Corporation's preferred shares (including the Participating Preferred Shares) and Subordinate Voting Shares are eligible dividends.

FORWARD-LOOKING STATEMENTS

Certain statements in this news release, other than statements of historical fact, are forward-looking statements based on certain assumptions and reflect the Corporation's current expectations, or with respect to disclosure regarding the Corporation's public subsidiaries, reflect such subsidiaries' disclosed current expectations. Forward-looking statements are provided for the purposes of assisting the reader in understanding the Corporation's financial performance, financial position and cash flows as at and for the periods ended on certain dates and to present information about management's current expectations and plans relating to the future and the reader is cautioned that such statements may not be appropriate for other purposes. These statements may include, without limitation, statements regarding the operations, business, financial condition, expected financial results, performance, prospects, opportunities, priorities, targets, goals, ongoing objectives, strategies and outlook of the Corporation and its subsidiaries, statements concerning deferred taxes, the Corporation's normal course issuer bid commenced in 2023, statements concerning the expected impact of IFRS 17 on shareholders' equity, fundraising activities by investment platforms and capital commitments by the Power group and third parties, and the strategic agreement with nesto Inc. and timing of offerings thereunder. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as "expects", "anticipates", "plans", "believes", "estimates", "seeks", "intends", "targets", "projects", "forecasts" or negative versions thereof and other similar expressions, or future or conditional verbs such as "may", "will", "should", "would" and "could".

By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. A variety of factors, many of which are beyond the Corporation's and its subsidiaries' control, affect the operations, performance and results of the Corporation and its subsidiaries and their businesses, and could cause actual results to differ materially from current expectations of estimated or anticipated events or results. These factors include, but are not limited to: the impact or unanticipated impact of general economic, political and market factors in North America and internationally, fluctuations in interest rates, inflation and foreign exchange rates, monetary policies, business investment and the health of local and global equity and capital markets, management of market liquidity and funding risks, risks related to investments in private companies and illiquid securities, risks associated with financial instruments, changes in accounting policies and methods used to report financial condition (including uncertainties associated with significant judgments, estimates and assumptions), the effect of applying future accounting changes, business competition, operational and reputational risks, technological changes, cybersecurity risks, changes in government regulation and legislation, changes in tax laws, unexpected judicial or regulatory proceedings, catastrophic events, man-made disasters, terrorist attacks, wars and other conflicts (such as the invasion of Ukraine), or an outbreak of a public health pandemic or other public health crises (such as COVID-19), the Corporation's and its subsidiaries' ability to complete strategic transactions, integrate acquisitions and implement other growth strategies, the Corporation's and its subsidiaries' success in anticipating and managing the foregoing factors and with respect to forward-looking statements of the Corporation's subsidiaries disclosed in this news release, the factors identified by such subsidiaries in their respective MD&A.

The reader is cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements. Information contained in forward-looking statements is based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including management's perceptions of historical trends, current conditions and expected future developments, as well as other considerations that are believed to be appropriate in the circumstances, including that the list of risks and uncertainties in the previous paragraph, collectively, are not expected to have a material impact on the Corporation and its subsidiaries and with respect to forward-looking statements of the Corporation's subsidiaries disclosed in this news release, the risks identified by such subsidiaries in their respective MD&A and Annual Information Form most recently filed with the securities regulatory authorities in Canada and available at www.sedar.com. While the Corporation considers these assumptions to be reasonable based on information currently available to management, they may prove to be incorrect.

Other than as specifically required by applicable Canadian law, the Corporation undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results, or otherwise.

Additional information about the risks and uncertainties of the Corporation's business and material factors or assumptions on which information contained in forward-looking statements is based is provided in its disclosure materials, including its most recent Management's Discussion and Analysis and Annual Information Form, filed with the securities regulatory authorities in Canada and available at www.sedar.com.

SOURCE Power Corporation of Canada

Stéphane Lemay, Vice-President, General Counsel and Secretary, 514-286-7400