Securities

The Autorité des marchés financiers (the "AMF") has signed an agreement with Skyline Apartment Real Estate Investment Trust, Skyline Incorporated and Skyline Wealth Management Inc. (hereinafter "Skyline Group") to conclude a regularization process under which Skyline Group has agreed to pay a penalty of $26,500.

Pursuant to the agreement, Skyline Group acknowledges, in particular, having made distributions subject to the Securities Act to Québec investors between 2007 and 2010, whereas it was not registered with the AMF in any capacity whatsoever and had not filed a prospectus or had not been granted a prospectus exemption with respect to such distributions.

Skyline Group undertook the procedures necessary to regularize its situation, and one of its entities is now registered with the AMF as an exempt market dealer.