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Redemption of Series F First Preferred Shares

On November 3, 2021, Great-West Lifeco announced that it intends to redeem all of its outstanding 5.90% Non-Cumulative First Preferred Shares, Series F, on December 31, 2021. On November 25, 2021 the following documents were mailed to registered holders of the Series F First Preferred Shares, as applicable:

Further information regarding the adjusted cost base of the Series F First Preferred Shares for holders resident in Canada, Ireland, the United Kingdom and the United States can be found below.

For further information regarding the Canadian withholding tax that applies to a portion of the December 31, 2021 Lifeco Series F redemption proceeds please refer to the letter dated November 25, 2021, that was mailed to shareholders with the redemption materials.

The information below is general information and should not be taken as tax advice. Your situation may vary therefore you should consult a tax advisor.

For residents of Canada

Scenario

Adjusted Cost Base per Series F Preferred Share

You received your Lifeco Series F preferred shares in exchange 1  for Canada Life Financial Corporation (CLFC) shares that you had received on demutualization 2  and you filed a form T2057 (an election to defer the capital gain for 2003)

$0.00 (zero)

You received your Lifeco Series F preferred shares in exchange 1 for CLFC shares that you had received on demutualization 2 and you did not file a form T2057 (an election to defer the capital gain for 2003)

$25.00
You received your Lifeco Series F preferred shares in exchange 1 for CLFC shares that you had purchased before July 10, 2003 and you filed a form T2057 (an election to defer the capital gain for 2003)

The elected amount in your election form
You received your Lifeco Series F preferred shares in exchange 1  for CLFC shares that you had purchased before July 10, 2003 and you did not file a form T2057 (an election to defer the capital gain for 2003)

$25.00
You purchased your Lifeco Series F preferred shares after July 10, 2003

The amount you paid for those shares
For residents of Ireland

Scenario

Adjusted Cost Base per Series F Preferred Share
You received your Lifeco Series F preferred shares in exchange 1  for Canada Life Financial Corporation (CLFC) shares that you had received on demutualization 2  

$0.00 (zero)
You received your Lifeco Series F preferred shares in exchange 1 for CLFC shares that you had purchased before July 10, 2003

The cost base of those CLFC shares, prorated among the various amounts received on the takeover of CLFC
You purchased your Lifeco Series F preferred shares after July 10, 2003

The amount you paid for those shares
For residents of the United Kingdom

Scenario

Adjusted Cost Base per Series F Preferred Share
You received your Lifeco Series F preferred shares in exchange 1  for Canada Life Financial Corporation (CLFC) shares that you had received on demutualization 2  

$0.00 (zero)
You received your Lifeco Series F preferred shares in exchange 1 for CLFC shares that you had purchased before July 10, 2003

The cost base of those CLFC shares, prorated among the various amounts received on the takeover of CLFC
You purchased your Lifeco Series F preferred shares after July 10, 2003

The amount you paid for those shares
For residents of the United States

Scenario

Adjusted Cost Base per Series F Preferred Share
You received your Lifeco Series F preferred shares in exchange 1  for Canada Life Financial Corporation (CLFC) shares that you had received on demutualization 2  

$25.00 CDN per share
You received your Lifeco Series F preferred shares in exchange 1 for CLFC shares that you had purchased before July 10, 2003

$25.00 CDN per share
You purchased your Lifeco Series F preferred shares after July 10, 2003

The amount you paid for those shares
In 2003 Lifeco acquired the shares of CLFC at an agreed price of $44.50 CDN per share. The $44.50 was paid out in a variety of forms including cash, common shares of Lifeco, and Series E and Series F preferred shares of Lifeco. The value attributed to the Lifeco Series F preferred shares was $25.00 CDN per share. In 1999 The Canada Life Assurance Company (CLA) demutualized, which means it changed from being a mutual company owned by its policyholders to a company with share capital owned by its shareholders. As part of the demutualization, common shares of CLFC were issued to certain participating policyholders of CLA at no additional cost and a cost of $nil for Canadian federal tax purposes.