FirstService Announces Acquisition and Further Expands Commercial Real Estate Offerings

Acquires North America's 5th largest Mortgage Banking and Loan 
Administration Leader, Cohen Financial

TORONTO, June 8 /CNW/ - FirstService Corporation (NASDAQ: FSRV; TSX: FSV)
today announced that it has expanded its Commercial Real Estate Services
platform by acquiring a majority interest in mortgage banking and loan
administration leader, Cohen Financial. Jack Cohen, Chief Executive Officer,
and his senior management team will retain the balance of the equity. The
terms of the transaction were not disclosed.
Founded in 1978 and based in Chicago, Illinois, Cohen Financial is the
5th largest originator of commercial real estate loans in the United States,
providing commercial mortgage banking, loan administration and advisory
services to both users and providers of capital. Cohen Financial originated
more than $5 billion in commercial real estate loans in 2005 and administers a
$5 billion commercial loan portfolio. Cohen Financial has 10 offices across
the United States.
"The addition of Cohen Financial is another important step in our
strategy to provide a full suite of services to our clients in commercial real
estate," said Doug Frye, President and CEO of Colliers Macaulay Nicolls
("Colliers CMN") and Chairman of Colliers International. "Cohen Financial's
strong reputation and commercial mortgage and real estate investment banking
expertise represent a tremendous addition to our growing commercial real
estate operations and another opportunity to leverage our extensive broker
network while offering a broader portfolio of services and knowledge to our
clients."
"FirstService is the perfect partner for Cohen Financial," said Jack
Cohen, Chief Executive Officer of Cohen Financial. "With FirstService's
enviable track record of success, investment grade status and significant
investment in Colliers International, we are confident Cohen Financial will
accelerate its growth, both internally and through acquisition, while
maintaining its distinctive entrepreneurial culture. This partnership is a 
win-win for everyone involved."
"Today's acquisition represents a further investment in FirstService's
growing global real estate services platform as well as an important strategic
business initiative," said Jay Hennick, Founder and Chief Executive Officer of
FirstService. "Partnering with superb management teams, like Cohen Financial,
in specialty areas that will allow us to leverage our business, has been the
cornerstone to our success. We intend to continue investing for long-term
growth in this strong and growing industry segment."

Updated Financial Outlook
-------------------------

Based on the completion of the Cohen Financial acquisition, FirstService
is updating the outlook for fiscal 2007 previously issued on May 24, 2006.

<<
Fiscal year ending March 31, 2007(1)

(in millions of US dollars,             Outlook dated
 except per share amounts)               May 24, 2006    Updated Outlook

Revenues                              $1,145 - $1,220    $1,175 - $1,250
EBITDA(2)                                 $100 - $109        $103 - $112
Adjusted diluted earnings per
 share(3)                               $1.15 - $1.25      $1.17 - $1.27

Notes
1.  The outlook assumes: (i) no further acquisitions or divestitures
    completed during the outlook period (ii) exclusion of expected impact
    of one-time cumulative effect adjustments upon adoption of
    SFAS 123(R) on April 1, 2006 and (iii) current economic conditions in
    the markets in which the Company operates remaining unchanged and in
    particular the market for commercial real estate services. Actual
    results may differ materially. The Company undertakes no obligation
    to continue to update this information.
2.  EBITDA is defined as net earnings before minority interest share of
    earnings, income taxes, interest, depreciation and amortization.
    EBITDA is not a recognized measure of financial performance under
    generally accepted accounting principles (GAAP), and should not be
    considered as a substitute for operating earnings, net earnings or
    cash flows from operating activities, as determined in accordance
    with GAAP.
3.  Diluted earnings per share is adjusted for the impact of accelerated
    amortization of short-lived intangible assets acquired in connection
    with commercial real estate acquisitions completed during the past
    year.

About FirstService Corporation
------------------------------

FirstService is a leader in the rapidly growing property services sector,
providing services in the following areas: commercial real estate; residential
property management; property improvement; and integrated security services.
Market-leading brands include Colliers International and Cohen Financial in
commercial real estate; The Continental Group in residential property
management; California Closets, Paul Davis Restoration, Pillar to Post Home
Inspections, and Certa Pro Painters in property improvement; and Intercon
Security and Security Services & Technologies in integrated security.
FirstService is a diversified property services company with more than
US$1 billion in annualized revenues and more than 12,000 employees worldwide.
More information about FirstService is available at www.firstservice.com.

About Cohen Financial
---------------------

Cohen Financial (www.cohenfinancial.com) is the 5th largest originator of
commercial real estate loans in America, providing a variety of commercial
mortgage banking and loan administration services to both users and providers
of capital. With 10 offices across the United States, Cohen Financial
originated more than $5 billion in commercial real estate loans in 2005 and
administers and services a $5 billion commercial loan portfolio.

About Colliers CMN & Colliers International
-------------------------------------------

Colliers CMN (www.colliersmn.com) is a leading international real estate
services company that provides a full range of services to commercial real
estate users, owners and investors worldwide. With annualized revenues in
excess of US$550 million, Colliers CMN is the largest member of the Colliers
International global network, one of the top three commercial real estate
service organizations in the world with annual revenues of US$1.4 billion. The
Colliers International global network has 241 offices in 54 countries
worldwide (130 in the Americas, 65 in Europe, Middle East and Africa and 46 in
Greater Asia).

FORWARD-LOOKING STATEMENTS

Certain statements included in this release constitute "forward-looking
statements" within the meaning of the U.S. Private Securities Litigation
Reform Act of 1995. Such forward-looking statements involve known and unknown
risks, uncertainties and other factors which may cause the actual results,
performance or achievements of FirstService, or industry results, to be
materially different from any future results, performance or achievements
expressed or implied by such forward-looking statements. Such factors include,
among others, the following: general economic and business conditions, which
will, among other things, impact demand for the FirstService's services,
service industry conditions and capacity; the ability of FirstService to
implement its business strategy, including FirstService's ability to acquire
suitable acquisition candidates on acceptable terms and successfully integrate
newly acquired businesses with its existing businesses; changes in or the
failure to comply with government regulations (especially safety and
environmental laws and regulations); and other factors which are described in
FirstService's filings with the U.S. Securities and Exchange Commission and
the Canadian regulatory authorities.

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