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Maple Leaf Foods Announces $150 Million Common Share Issue

Toronto, Ontario - Maple Leaf Foods Inc. today announced that an underwriting group comprised of RBC Capital Markets, TD Securities Inc., BMO Nesbitt Burns Inc. and National Bank Financial Inc. has agreed to purchase 14.7 million treasury common shares at a price of $10.30 per share. The net proceeds to the Company from this offering will be about $149.4 million. The Company has also granted the underwriters an option to purchase up to an additional 2.0 million shares which, if exercised, would generate additional net proceeds of about $19.8 million.

Commenting on the share issue, Mr. Michael H. McCain, President and Chief Executive Officer of Maple Leaf Foods, said, "This share offering will strengthen our financial position by reducing indebtedness, and will enhance our ability to respond to investment opportunities in the future as and when they arise."

The Company expects the closing of the offering to be on or about December 14, 2001. The offering is subject to regulatory approval.

Maple Leaf Foods Inc. is a leading Canadian food processing company. Headquartered in Toronto, the Company employs more than 13,000 people at its operations across Canada, in the United States, Europe and Asia. Maple Leaf Foods Inc. had sales of more than $3.9 billion in 2000.


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