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C.A. Bancorp Inc. (TSX: BKP) and Sentry Select Capital Corp. announce Change in Fees

TORONTO: C.A. Bancorp Inc.(“C.A. Bancorp”) (TSX: BKP) and Sentry Select Capital Corp. (“Sentry Select”) announce that they have reached an agreement providing for a reduction in the management fee paid to Sentry Select by C.A. Bancorp and the concurrent termination of the quarterly service fee paid by Sentry Select to registered dealers on the common shares of C.A. Bancorp.

 The annual management fee paid to Sentry Select by C.A. Bancorp will be reduced from 1.50% to 1.10% of C.A. Bancorp’s financial statement capital (net assets) under Canadian Generally Accepted Accounting Principles.

C.A. Bancorp estimates that the reduction in the annual management fee will provide a cost savings to C.A. Bancorp of approximately $320,000 per annum.

Sentry Select had been paying registered dealers a quarterly servicing fee equal to 4/15ths of the management fee paid to it by C.A. Bancorp.  The servicing fee was paid to registered dealers on a pro rata basis based upon the number of common shares held by their respective clients at the end of each quarter.  As disclosed in C.A. Bancorp’s short form prospectus dated November 17, 2006, the servicing fee may be terminated by Sentry Select at its election.

The service fee will accrue to the end of January 2009, payable at the end of the first quarter, after which it will cease.  The management fee reduction will become effective February 1, 2009.

The purpose of these changes in fees is to help reduce costs in C.A. Bancorp in order to improve C.A. Bancorp’s ability to attract high net worth and institutional investors.  Both Sentry Select and C.A. Bancorp believe that these initiatives should help create shareholder value in the long-run.

C.A. Bancorp Inc.: C.A. Bancorp is a publicly traded Canadian merchant bank and alternative asset manager that provides investors with access to a range of private equity and other alternative asset class investment opportunities. C.A. Bancorp is focused on investments in small- and middle-capitalization public and private companies, with emphasis on the industrials, real estate, infrastructure and financial services sectors.

Sentry Select: Sentry Select is a Canadian wealth management company that offers a diverse range of investment products including closed-end trusts, mutual funds, principal-protected notes and flow-through limited partnerships, covering a variety of domestic and global mandates.

More information: Investor Services (broker/investor inquiries)
Tel: 1-888-730-4623
Fax: 416-364-1197

Paolo De Luca, Chief Financial Officer
Tel: 1-866-388-5985
Fax: 416-861-8166

Certain statements included in this news release constitute forward-looking statements including those identified by the expressions, "will", "anticipate", "believe", "plan", "estimate", "expect", "intend", "should" and similar expressions. The forward looking statements are not historical facts but represent C.A. Bancorp's and Sentry Select’s current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations including the cost savings realized from the reduction in the management fee. Due to the many risks and uncertainties, C.A. Bancorp and Sentry Select cannot assure that the forward-looking statements contained in this news release will be realized. C.A. Bancorp and Sentry Select undertake no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law.

Documents (including press releases) regarding the various investment funds that are managed or advised by Sentry are provided for information purposes only and cannot be relied on to be complete, exhaustive or error-free unless the complete set of documents for any given investment fund with respect to which information is being sought is reviewed and then only on SEDAR (