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ONTARIO INSURANCE COMPANY PURCHASED

Released on June 4, 2001

SGI CANADA is proceeding to purchase Coachman Insurance Company, based in

Ontario, for $8.2 million.



SGI CANADA Insurance Services Ltd. will buy the company. It is a

subsidiary of SGI CANADA that sells property and casualty insurance in

Manitoba, Ontario and Prince Edward Island.



"SGI CANADA aims to meet three main goals when it looks at expansion

opportunities," SGI President Larry Fogg said. "First, it aims to increase

the spread of insurance risk over a larger geographic area to minimize the

impact of events such as serious storms; second, it looks to increase the

number of jobs in Saskatchewan; finally, it looks to increase profits,

thereby increasing dividends to its owners, the people of Saskatchewan.



"The Coachman purchase will meet all three goals."



Coachman Insurance Company has been in business for the past 22 years and

is a leading niche insurance writer in coverage for personal-use autos,

primarily in the Ontario market, with approximately $30 million in direct

premiums written in 2000. Through this strategic purchase, SGI CANADA also

acquires expertise in the Ontario auto insurance market, which is the

largest in Canada.



The company has 31 employees and sells its product through a network of 96

independent brokers. SGI CANADA plans to leverage the Coachman purchase to

expand its market share in Ontario with its other insurance products, such

as home and business insurance.



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For more information, contact:



Julianne Jack

SGI Communications

Regina

Phone: (306) 775-6907

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