Press Releases

Shoppers Drug Mart Corporation Prices Issuance Of An Aggregate Of $500 Million Principal Amount Of Series 3 And Series 4 Medium Term Notes

Jan 14, 2009


TORONTO, Jan. 14 /CNW/ - Shoppers Drug Mart Corporation (TSX: SC) today
announced that it has priced the issuance of $250 million aggregate principal
amount of 4.80% unsecured medium term notes, Series 3, due January 20, 2012
for aggregate net proceeds of $249,312,500, as well as the issuance of $250
million aggregate principal amount of 5.19% unsecured medium term notes,
Series 4, due January 20, 2014 for aggregate net proceeds of $249,082,500. The
notes will be offered pursuant to pricing supplements to the Company's short
form base shelf prospectus dated May 22, 2008. The pricing supplements 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., National Bank Financial Inc.
and Merrill Lynch Canada Inc. are acting as agents with respect to these
offerings. The issuance of these notes is expected to close on or about
January 20, 2009 and the proceeds will be used to refinance existing
indebtedness, including repayment of all amounts outstanding under the
Company's 364 day senior unsecured credit facility. As a result of using the
proceeds to refinance existing indebtedness, the consolidated debt position of
the Company is expected to remain substantially unchanged.
These offerings are only being made by way of prospectus. The pricing
supplements 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 supplements
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 supplements 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
supplements relating to the offering of these securities may be obtained from

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
Québec). With more than 1,120 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 licenses
or owns more than 25 medical clinic pharmacies operating under the name
Shoppers Simply Pharmacy (Pharmaprix Simplement Santé in Québec) and two
luxury beauty destinations operating as Murale. As well, the Company owns and
operates 66 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 Shoppers Drug Mart Specialty Health Network
Inc., a provider of specialty drug distribution, pharmacy and comprehensive
client support services, and MediSystem Technologies Inc., a provider of
pharmaceutical products and services to long-term care facilities in Ontario
and Alberta.
Additional information about the Company can be found at

%SEDAR: 00016987EF

For further information: Media Contact: Tammy Smitham, Director, Communications & Corporate Affairs, (416) 490-2892, or, (416) 493-1220, ext. 5500; Investor Relations: (416) 493-1220, ext. 5678,