Information posted was accurate at the time of posting but may be superseded by subsequent disclosures.

Effective November 10, 2006, as part of a shareholder approved plan of arrangement (the "Arrangement"), Extendicare distributed Assisted Living Concepts, Inc. (ALC) to its shareholders, and converted the remainder of the operations to a Canadian Real Estate Investment Trust (Extendicare REIT). On completion of the Arrangement:

• Extendicare Subordinate Voting shareholders received for each share one ALC subordinate voting Class A common share (ALC Class A Share) and one Extendicare REIT unit (REIT Unit) or, if they have elected, one exchangeable limited partnership unit (Exchangeable LP Unit).
  
  
• Extendicare Multiple Voting shareholders received for each share one ALC multiple voting Class B common share (ALC Class B Share) and 1.075 REIT Units or, if they have elected, 1.075 Exchangeable LP Units.

The units of the Extendicare REIT began trading on the TSX on November 10, 2006, under the symbol EXE.UN, and will not be listed on any other exchange or quotation system. The ALC Class A Shares began trading on the NYSE under the symbol ALC.

The Exchangeable LP Units will not be transferable except in connection with an exchange for REIT Units or in certain other limited circumstances. The Exchangeable LP Units will not be listed on the TSX or any other stock exchange or quotation system.

The Exchangeable LP Units will be automatically exchanged for REIT Units on the fifth anniversary of the effective date of the Arrangement. In certain circumstances, Extendicare Holding Partnership will have the right to require the exchange of Exchangeable LP Units for REIT Units prior to such fifth anniversary.

Exchanges of Exchangeable LP Units into REIT Units will be permitted any time instead of ninety days after the closing of the Arrangement as originally contemplated. Extendicare expresses no view as to whether any investor should or should not convert into REIT Units. Investors should be aware that an exchange into REIT Units could result in a capital gain to the investor.