Pacific &; Western Announces Short Form Prospectus Offering

LONDON, ON, May 17 /CNW/ - Pacific & Western Credit Corp. (TSX:PWC) is pleased to announce that it plans to raise up to $15 million in Canada through the issuance of additional Class B preferred shares, common shares, or a combination of both, by way of short form prospectus (the "Offering").

Byron Securities Limited ("Byron") will be the lead manager for the Offering and will be responsible for creating a selling group for this issue. A decision as to what securities to offer under the prospectus will be decided by PWC prior to filing the preliminary prospectus based on market demand and through discussions with Byron.

The Offering will be conducted in each province and territory of Canada (other than Quebec) and is subject to all necessary regulatory approval.

PWC's Class B Preferred shares trade on the TSX under the symbol PWC.PR.B and its common shares trade on the TSX under the symbol PWC.

This news release is not a solicitation to buy securities of PWC. The securities will only be offered for sale by prospectus and only in those jurisdictions where such sales may lawfully be made. There will not be any acceptance of an offer to buy the securities until a receipt for the final prospectus has been issued.

Pacific & Western Bank of Canada (PWBank), a Canadian Schedule I chartered bank, is a branchless financial institution. PWBank specializes in providing financing throughout Canada to well established corporations and government entities, including hospitals, school boards, universities and colleges, municipalities, provinces and territories, and federal government agencies.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons (as that term is defined under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Forward-Looking Statements Advisory

This news release contains forward-looking information that involves known and unknown risks and uncertainties, most of which are beyond the control of PWC. Forward-looking information in this news release includes, but is not limited to, information concerning the proposed public offering. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information. Accordingly, prospective investors should not place undue reliance on these forward-looking statements. These forward-looking statements are made as of the date of this news release and, other than as required by applicable securities laws, PWC does not assume any obligation to update or revise them to reflect new events or circumstances.

Please visit our website at: [ http://www.pwbank.com ].

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Pacific &; Western Announces Short Form Prospectus Offering