/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE
SERVICES/
TORONTO, May 28 /CNW/ - Shoppers Drug Mart Corporation (TSX: SC) today announced that it has priced the issuance of $450 million aggregate principal amount of 4.99% unsecured medium term notes, Series 2, due June 3, 2013 for aggregate net proceeds of $448,285,500. The notes will be offered pursuant to a pricing supplement to the Company's short form base shelf prospectus dated May 22, 2008. The pricing supplement will be filed with the securities regulatory authorities in each of the provinces of Canada. RBC Dominion Securities Inc., Scotia Capital Inc., CIBC World Markets Inc., TD Securities Inc., BMO Nesbitt Burns Inc., Merrill Lynch Canada Inc. and National Bank Financial Inc. are acting as agents with respect to this offering. The issuance of these notes is expected to close on or about June 2, 2008 and the proceeds will be used to refinance existing indebtedness. As a result of using the proceeds to refinance existing indebtedness, the consolidated debt position of the Company is expected to remain substantially unchanged.
This offering is only being made by way of prospectus. The pricing supplement and the short form base shelf prospectus, including the documents incorporated by reference therein, contain important information concerning these securities. Prospective investors should read the pricing supplement and the short form base shelf prospectus before making an investment decision.
This news release does not constitute an offer to sell or the solicitation of an offer to buy the securities in any jurisdiction. The securities being offered have not been approved or disapproved by any regulatory authority nor has any such authority passed upon the accuracy or adequacy of the pricing supplement or the short form base shelf prospectus.
The securities referred to herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws and may not be offered, sold or delivered within the United States of America and its territories and possessions except in certain transactions exempt from such registration requirements.
Copies of the short form base shelf prospectus and the pricing supplement relating to the offering of these securities may be obtained from SEDAR at www.sedar.com.
About Shoppers Drug Mart Corporation
Shoppers Drug Mart Corporation is one of the most recognized and trusted names in Canadian retailing. The Company is the licensor of full-service retail drug stores operating under the name Shoppers Drug Mart (Pharmaprix in Quebec). With more than 1,095 Shoppers Drug Mart and Pharmaprix stores operating in prime locations in each province and two territories, the Company is one of the most convenient retailers in Canada. The Company also owns and operates 65 Shoppers Home Health Care stores, making it the largest Canadian retailer of home health care products and services. In addition to its retail store network, the Company owns MediSystem Technologies Inc., a provider of pharmaceutical products and services to long-term care facilities in Ontario and Alberta.
%SEDAR: 00016987EF