V4-1531081-PrimeWest Mortgage Investment Corporation by by654321

VIEWS: 10 PAGES: 13

									             BRITISH COLUMBIA, ALBERTA, SASKATCHEWAN AND MANITOBA SUBSCRIBERS ONLY



                        PRIMEWEST MORTGAGE INVESTMENT CORPORATION

                                         SUBSCRIPTION AGREEMENT

Instructions to Subscriber:

1.       All Subscribers must complete all of the information in the blanks on page 1 and sign where indicated with
         an "X". If any information is not applicable, state "not applicable".

2.       If you are a resident of, or otherwise are subject to the applicable securities laws of Alberta, Saskatchewan,
         or Manitoba, you must complete and sign the certificate attached to the Subscription Agreement as
         Schedule A. You must also provide the additional documents which are identified on Schedule A. The
         purpose of this certificate is to determine whether you are eligible to participate in this offering.

3.       All Subscribers must complete and sign the certificate attached to the Subscription Agreement as Schedule
         B.

4.       Subject to specific instructions from any applicable Agent, deliver a signed and completed copy of the
         Subscription Agreement not later than 4:00 p.m. (Saskatoon, Saskatchewan) on the day that is two Business
         Days before the Closing Date to:

         MacPherson Leslie & Tyerman LLP
         1500 Saskatoon Square, 410 – 22nd Street East
         Saskatoon, SK S7K 5T6
         Attention: Dan Anderson

5.       Subject to specific instructions from any applicable Agent, forward payment for the Subscription Price no
         later than two Business Days before the Closing Date. Payment should be made by certified cheque, bank
         draft or other form of immediate funds in an amount equal to the Subscription Price, payable to
         MacPherson Leslie & Tyerman LLP in trust for PrimeWest Mortgage Investment Corporation.
               BRITISH COLUMBIA, ALBERTA, SASKATCHEWAN AND MANITOBA SUBSCRIBERS ONLY



          SUBSCRIPTION AGREEMENT FOR CLASS A SHARES (OFFERING MEMORANDUM)

TO:       PrimeWest Mortgage Investment Corporation (the "Corporation")
The undersigned (the "Subscriber") hereby irrevocably subscribes for and agrees to purchase the number of Class A shares (the
"Common Shares") of the Corporation set forth below, for the aggregate subscription price set forth below (the "Aggregate
Subscription Price"), representing a subscription price of $10 per Common Share, upon and subject to the terms and conditions
set forth in the "Terms and Conditions of Subscription for Common Shares of PrimeWest Mortgage Investment Corporation"
attached hereto (together with this page and the attached Schedules, the "Subscription Agreement"). The Common Shares are
subject to certain resale restrictions (as more particularly referred to herein) and will not be listed on any stock exchange.


Subscriber Information:                                              Number of Common Shares:
_______________________________________________
(Name of Subscriber – please print)                                  Subscription Price:
                                                                                                       (No. of Common Shares x $10.00)
By: X __________________________________________
     (Authorized Signature)
                                                                     Register the Common Share as set forth below:
_______________________________________________
(Official Capacity or Title – please print)                          Or check box   □ if this is the same as the subscriber information to the left
_______________________________________________
(Print name of individual whose signature appears above if           (Name)
different than the name of the subscriber printed above.)
                                                                     (Account reference, if applicable)
_______________________________________________
(Subscriber's Address, including Postal Code)
                                                                     (Address, including Postal Code)
_______________________________________________
(Telephone Number)
                                                                     (Telephone Number)
_______________________________________________
(E-mail Address)
                                                                     (E-mail Address)



Additional Information:                                              Deliver the Common Shares as set forth below:

_______________________________________________                      Or check box   □ if this is the same as the subscriber information above
Social Insurance Number (if an individual)

_______________________________________________                      (Name)
Business Number (if not an individual)

State whether the subscriber is an Insider (as defined herein) of    (Account reference, if applicable)
the Corporation:
          Yes     □        No        □                               (Address, including Postal Code)
_______________________________________________
(State the number and kind of securities of the Corporation
currently held)
                                                                     (Contact Name, Telephone Number and E-mail Address)


Acceptance:         The Corporation herby accepts the subscription as set forth above on the terms and conditions contained in
this Subscription Agreement, effective                   , 20___.

PrimeWest Mortgage Investment Corporation



Per:
                    TERMS AND CONDITIONS OF SUBSCRIPTION
      FOR COMMON SHARES OF PRIMEWEST MORTGAGE INVESTMENT CORPORATION

TERMS OF THE OFFERING

 1.     The Subscriber acknowledges that this subscription is subject to rejection or allotment by the
        Corporation in whole or in part.

 2.     The Subscriber acknowledges that the Common Shares subscribed for by it hereunder from part of a
        larger issuance and sale by the Corporation (the "Offering") of up to a maximum of 600,000 Common
        Shares ($6,000,000).

 3.     The Subscriber acknowledges that the Corporation may retain one or more registered dealers (each an
        "Agent"), to assist with the Offering. The terms of such engagement, including the commission payable,
        will be agreed to by the Corporation and the Agent at the time of such engagement.

 4.     The Subscriber is responsible for obtaining (at its own expense) such legal, tax and financial advice
        as it considers necessary or appropriate in connection with the execution, delivery and
        performance by it of this Subscription Agreement and completion of the transactions contemplated
        hereby, and the Corporation shall not bear any responsibility whatsoever for any such matters.
        The Subscriber acknowledges and agrees that all costs and expenses incurred by the Subscriber
        (including any fees and disbursements of any special counsel retained by the Subscriber) relating
        to the purchase by and issuance of the Common Shares to the Subscriber shall be borne by the
        Subscriber.

REPRESENTATIONS, WARRANTIES AND COVENANTS BY SUBSCRIBER

 5.     The Subscriber hereby acknowledges and represents and warrants to, and covenants with, the
        Corporation, and any applicable Agent, and acknowledges that the Corporation, and any applicable
        Agent, and their respective counsel are relying thereon that:

      (a)     the Subscriber is resident in the jurisdiction set out on the face page of this Subscription
              Agreement. Such address was not created and is not used solely for the purpose of acquiring the
              Common Shares;

      (b)     the number and kinds of securities currently held by the Subscriber (excluding the Common
              Shares subscribed for hereunder) set out on the face page of this Subscription Agreement is the
              true and correct number and kinds of securities of the Corporation owned by the Subscriber prior
              to this subscription;

      (c)     the Subscriber:

              (i)      is resident in or otherwise subject to the applicable securities laws of Alberta, Manitoba
                       or Saskatchewan, and:

                       (A)       it fully complies with one or more of the criteria set forth in Schedule A and has
                                provided such further documents as may be required as indicated on Schedule
                                A; and

                       (B)      it has concurrently executed and delivered a Risk Acknowledgement Form in
                                the form attached to this Subscription Agreement as Schedule B; or

              (ii)     is resident in or otherwise subject to the applicable securities laws of British Columbia
                       and it has concurrently executed and delivered a Risk Acknowledgement Form in the
                       form attached to this Subscription Agreement as Schedule B;

      (d)     the Subscriber is purchasing the Common Shares as principal for its own account and not for the
              benefit of any other person, or is deemed under applicable securities laws to be purchasing as
                                                -2-
      principal, and for investment only and not with a view to the resale or distribution of all or any of
      the Common Shares;

(e)   the Subscriber is not acting jointly or in concert with any other person for the purposes of the
      acquisition of the Common Shares;

(f)   if the Subscriber is:

      (i)      a corporation, the Subscriber is duly incorporated and is validly subsisting under the laws
               of its jurisdiction of incorporation and has all requisite legal and corporate power and
               authority to execute and deliver this Subscription Agreement and to carry out and
               perform its covenants and obligations hereunder and has obtained all necessary approvals
               in respect thereof;

      (ii)     a partnership, syndicate or other form of unincorporated association, the Subscriber has
               the necessary legal capacity and authority to execute and deliver this Subscription
               Agreement and to carry out and perform its covenants and obligations hereunder and has
               obtained all necessary approvals in respect thereof; or

      (iii)    an individual, the Subscriber is of full age of majority and is legally competent to execute
               and deliver this Subscription Agreement and to carry out and perform his or her
               covenants and obligations hereunder;

(g)   this Subscription Agreement has been duly and validly authorized, executed and delivered by or
      on behalf of and constitutes a legal, valid, binding and enforceable obligation of the Subscriber;

(h)   the execution and delivery of this Subscription Agreement and the performance of the covenants
      and obligations hereunder will not result in a violation of, or create a state of facts which, after
      notice or lapse of time or both, would result in a violation of, any of the terms or provisions of any
      law applicable to the Subscriber, or if the Subscriber is not a natural person, any of the
      Subscriber's constating documents, or any agreement to which the Subscriber is a party or by
      which it is bound;

(i)   the Subscriber has no knowledge of a "material fact" or "material change" (as those terms are
      defined under applicable securities laws) in the affairs of the Corporation that has not been
      generally disclosed to the public, except knowledge of this particular transaction;

(j)   the Subscriber is not, and will not by virtue of the purchase of the Common Shares become, a
      "control person" within the meaning of applicable securities laws and does not intend to act in
      concert with any other person to form a "control group" of the Corporation;

(k)   the Subscriber has received and reviewed a copy of the offering memorandum (the "Offering
      Memorandum") dated December 1, 2009 prepared by the Corporation for the purpose of
      evaluating the investment in the Common Shares and that, in so evaluating the investment, has not
      relied on any other information or representation from the Corporation or the Corporation's
      directors, officers, agents or employees;

(l)   the Subscriber acknowledges that:

      (i)      no securities commission or similar regulatory authority has reviewed or passed on the
               merits of the Common Shares, there is no government or other insurance covering the
               Common Shares and there are risks associated with the purchase of the Common Shares;
               and

      (ii)     the Subscriber is aware of the characteristics of the Common Shares, the risks relating to
               an investment therein and of the fact that it may not be able to resell the Common Shares,
               except in accordance with limited exemptions under applicable securities laws. The
               Subscriber is knowledgeable and/or experienced in business and financial matters, is
                                        -3-
               capable of evaluating the merits and risks of an investment in the Common Shares and is
               capable of bearing the economic loss of the investment;

(m)   the Subscriber acknowledges that any certificates representing the Common Shares will bear a
      legend indicating that the resale of such securities is restricted in substantially the following form
      and with the necessary information inserted:

      "Unless permitted under securities legislation, the holder of this security must not trade the
      security before the date that is 4 months and a day after the [Closing Date]. "

(n)   the Subscriber has not become aware of any advertisement in printed public media, radio,
      television or telecommunications or other form of advertisement (including electronic display)
      with respect to the distribution of the Common Shares other than the Offering Memorandum;

(o)   no person has made to the Subscriber any written or oral representation:

      (i)      save as otherwise contemplated in the Offering Memorandum, that any person will resell
               or repurchase the Common Shares;

      (ii)     save as otherwise contemplated in the Offering Memorandum, that any person will
               refund the Subscription Price; or

      (iii)    as to the future price or value of the Common Shares;

(p)   the Subscriber acknowledges that it has been encouraged to consult its own advisors as it
      considers appropriate in connection with its subscription for the Common Shares, the execution
      and delivery of, and the performance of its obligations under, this Subscription Agreement and
      with respect to restrictions on trading in the Common Shares imposed by applicable securities
      laws and accordingly, has had the opportunity to acquire an understanding of the meanings of all
      terms contained herein relevant to the Subscriber for purposes of the acknowledgements,
      representations, warranties and covenants under this Subscription Agreement;

(q)   the Subscriber acknowledges and agrees that the Corporation may make any and all filings or
      disclosures required by applicable securities laws with any regulatory authority with respect to this
      Subscription Agreement and the transactions contemplated hereby;

(r)   if required by applicable securities laws or any regulatory authority, the Subscriber will execute,
      deliver, file and otherwise assist the Corporation, and the Agent if applicable, in filing such
      reports, undertakings and other documents with respect to the issue and sale of the Common
      Shares as may be required;

(s)   the funds representing the Subscription Price which will be advanced by the Subscriber to the
      Corporation hereunder will not represent proceeds of crime for the purposes of the Proceeds of
      Crime (Money Laundering) and Terrorist Financing Act (Canada) (the "PCMLA") and the
      Subscriber acknowledges that the Corporation, and the Agent if applicable, may in the future be
      required by law to disclose the Subscriber's name and other information relating to this
      Subscription Agreement and the Subscriber's subscription hereunder, on a confidential basis,
      pursuant to the PCMLA. To the best of its knowledge (a) none of the subscription funds to be
      provided by the Subscriber (i) have been or will be derived from or related to any activity that is
      deemed criminal under the law of Canada, the United States of America, or any other jurisdiction,
      or (ii) are being tendered on behalf of a person or entity who has not been identified to the
      Subscriber, and (b) it shall promptly notify the Corporation if the Subscriber discovers that any of
      such representations ceases to be true, and to provide the Corporation with appropriate information
      in connection therewith;

(t)   the Subscriber is not a "U.S. Person", as such term is defined in Rule 902(k) of Regulation S
      under the Securities Act of 1933 of the United States (the "1933 Act") nor subscribing for the
      Common Shares for the account of a U.S. Person or for resale in the United States and the
                                        -4-
              Subscriber confirms that the Common Shares have not been offered to the Subscriber in the
              United States and that this Subscription Agreement has not been signed in the United States;

      (u)     the Subscriber is aware that Common Shares have not been nor will be registered under the 1933
              Act, and that the Common Shares may be offered or sold in the United States without registration
              under the 1933 Act or compliance with requirements of an exemption from registration; and

      (v)     the Subscriber was not created and is not being used primarily for the purpose of purchasing the
              Common Shares.

REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE CORPORATION

 6.     The Corporation hereby represents and warrants to the Subscriber (and acknowledges that the Subscriber
        is relying thereon) that:

      (a)     the Corporation has the full corporate power and authority to execute and deliver this Subscription
              Agreement and to issue the Common Shares;

      (b)     the execution and delivery of, and the performance of the terms of this Subscription Agreement by
              the Corporation does, not and will not constitute a breach of or default under the constating
              documents of the Corporation or any law, regulation, order or ruling applicable to the Corporation
              or any law, regulation, order or ruling applicable to the Corporation or any agreement, contract or
              indenture to which the Corporation is a party or by which it is bound;

      (c)     it will issue as fully paid and non-assessable to the Subscriber the number of Common Shares for
              which the Subscriber has subscribed pursuant to this Subscription Agreement;

      (d)     the Corporation is now, and as at the Closing Date shall be, a valid and subsisting Corporation
              under the laws of Saskatchewan;

      (e)     as at the Closing Date, the authorized share capital of the Corporation shall include an unlimited
              number of a class of shares designated "Class A shares";

      (f)     the Corporation has been organized to qualify as a mortgage investment corporation (a "MIC") as
              defined in the Income Tax Act (Canada);

      (g)     all requisite authorizations, approvals, consents, orders, qualifications, exemptions and licenses
              required to be obtained by the Corporation under applicable Laws or any agreements or documents
              by which the Corporation is bound to permit or authorize the execution, delivery and performance
              of this Subscription Agreement by the Corporation have been obtained and are in full force and
              effect unamended. "Laws" means all statutes, codes, ordinances, decrees, rules, regulations,
              municipal by-laws, judicial or arbitral or administrative or ministerial or departmental or
              regulatory judgments, orders, decisions, rulings or awards, or any provisions of the foregoing,
              including general principles of common and civil law and equity, binding on or affecting the
              person referred to in the context in which such word is used; and "Law" means any one of them;

      (h)     the Corporation is conducting and has conducted its business in compliance in all material respects
              with all the applicable Laws, regulations and rules of each jurisdiction in which it carries on
              business, and the Corporation is not in the conduct of its business and operations and the use of all
              or any part of its property in breach of any Laws in any material respect;

      (i)     there are no material actions, suits or proceedings, judicial or administrative pending or threatened
              by or against or affecting the Corporation, the Corporation's business, or any of the officers or
              directors of the Corporation in connection with their affairs or their roles as such officers or
              directors, at Law or in equity, or before or by any federal, provincial, local or other court,
              department, board, bureau, or agency, and the Corporation is not aware of any existing ground on
              which any such action, suit or proceeding might be commenced with any reasonable likelihood of

                                                -5-
               success, nor is the Corporation or any property thereof subject to or affected by any existing
               judgment, order, decree or other action or proceeding;

       (j)     the Corporation is not in default or breach in any material respect of its obligations under any one
               or more contracts, agreements (written or oral), commitments, indentures or other instruments to
               which it is a party or any statute, regulation, judgment, decree, order or Law by which it is bound
               or affected, and there exists no state of facts which after notice or lapse of time or both would
               constitute such a default or breach, and all such contracts, agreements, commitments, indentures
               and other instruments are now in good standing and in full force and effect and the Corporation is
               entitled to all benefits thereunder; and

       (k)     the Subscription Agreement, when executed on behalf of the Corporation, shall constitute a legally
               binding and enforceable obligation and agreement of the Corporation, enforceable in accordance
               with its terms.

CLOSING

 7.      The closing (the "Closing") of the issuance of the Common Shares herein subscribed is to occur from
         time to time on such dates as the Corporation, and any applicable Agent, may determine. However, all
         such Closings shall occur on or before March 31, 2010 (the "Closing Date" as applicable) and shall be at
         the offices of MacPherson Leslie & Tyerman LLP, 1500 Saskatoon Square, 410 – 22nd Street East,
         Saskatoon, SK S7K 5T6. The Subscriber covenants and agrees with the Corporation that on or before
         Closing, it shall:

       (a)     deliver or cause to deliver to the Corporation, or the Agent if applicable, at Closing:

               (i)      this Subscription Agreement duly completed and executed relating to subscription,
                        registration, delivery and payment particulars;

               (ii)     if the Subscriber is resident in Alberta, Manitoba or Saskatchewan, a fully executed and
                        completed Statement attached to this Subscription Agreement as Schedule A, and such
                        further documents as may be required as indicated on Schedule A;

               (iii)    a fully executed and completed Risk Acknowledgement Form in the form attached to this
                        Subscription Agreement as Schedule B; and

               (iv)     a certified cheque or bank draft payable to MacPherson Leslie & Tyerman LLP in trust
                        for the Corporation, or payable to the Agent if applicable, for the aggregate subscription
                        price of the Common Shares subscribed for under this Subscription Agreement; and

       (b)     execute and complete such other documentation as may be reasonably required by the Corporation
               in order to complete this transaction.

 8.      The Corporation shall be entitled to rely on delivery of a facsimile copy of this executed Subscription
         Agreement and acceptance by the Corporation of such facsimile subscriptions shall be legally effective to
         create a valid and binding obligation of the Subscriber enforceable against the Subscriber in accordance
         with the terms hereof.

 9.      The Corporation, or the Agent if applicable, will hold the aggregate Subscription Price in trust until the
         later of: (1) midnight on the second business day after the day on which the funds and a properly
         completed Subscription Agreement are received by the Corporation, or the applicable Agent; and (2) the
         date the Corporation accepts the subscription.

 10.     The Subscriber hereby authorizes the Corporation, and the Agent if applicable: (a) to act as its
         representative at the Closing and to execute in its name and on its behalf any closing receipts or other
         documents required to facilitate the Closing; (b) to complete or correct any errors or omissions in any
         form or document provided by the Subscriber; and (c) to receive on the Subscriber's behalf certificates
         representing the Common Shares to be issued to the Subscriber.
                                                  -6-
 11.   Unless otherwise permitted under applicable securities legislation, and subject to the prior approval of
       the board of directors of the Corporation to any transfer of securities, a Subscriber is not permitted to
       trade its Common Shares subscribed for hereunder in any Canadian jurisdiction before the date that is
       four months and a day after the Closing Date.

GENERAL

 12.   The Subscriber acknowledges that this Subscription Agreement and the Schedules hereto require the
       Subscriber to provide certain personal information to the Corporation, and the Agent if applicable. Such
       information is being collected by the Corporation, and the Agent if applicable, for the purposes of
       completing the Offering, which includes, without limitation, determining the Subscriber's eligibility to
       purchase the Common Shares under applicable securities legislation, preparing and registering
       certificates representing Common Shares to be issued to the Subscriber and completing filings required
       by any stock exchange or securities regulatory authority. The Subscriber’s personal information may be
       disclosed by the Corporation, and the Agent if applicable, to: (a) stock exchanges or securities regulatory
       authorities; (b) the Corporation’s registrar and transfer agent; (c) Canada Revenue Agency; and (d) any
       of the other parties involved in the Offering, including legal counsel and may be included in record
       books in connection with the Offering. By executing this Subscription Agreement, the Subscriber is
       deemed to be consenting to the foregoing collection, use and disclosure of the Subscriber’s personal
       information. The Subscriber also consents to the filing of copies or originals of any of the Subscriber’s
       documents described in Section 7 hereof as may be required to be filed with any stock exchange or
       securities regulatory authority in connection with the transactions contemplated hereby.

 13.   Neither this Subscription Agreement nor any interest herein nor any of the rights arising hereunder may
       be assigned or transferred by the Subscriber in the manner, except with the prior written consent of the
       Corporation. Subject to the foregoing, this Subscription Agreement shall enure to the benefit of and be
       binding upon the heirs, executors, successors and permitted assigns of the Subscriber and on the
       successors and assigns of the Corporation.

 14.   The contract arising out of this Subscription Agreement and all documents relating thereto shall be
       governed by and construed in accordance with the Laws of the Province of Saskatchewan and the federal
       Laws of Canada applicable therein. The parties irrevocably attorn to the exclusive jurisdiction of the
       courts of the Province of Saskatchewan.

 15.   This Subscription Agreement represents the entire agreement of the parties hereto relating to the subject
       matter hereof and supersedes any prior negotiations, understandings and agreements, and there are no
       representations, covenants or other agreements relating to the subject matter hereof except as stated or
       referred to herein.

 16.   Neither this Subscription Agreement nor any provision hereof shall be modified, changed, discharged or
       terminated except by an instrument in writing signed by the party against whom any waiver, change,
       discharge or termination is sought.

 17.   The invalidity, illegality or unenforceability of any provision of this Subscription Agreement shall not
       affect the validity, legality or enforceability of any other provision hereof.

 18.   The headings used in this Subscription Agreement have been inserted for convenience of reference only
       and shall not affect the meaning or interpretation of this Subscription Agreement or any provision hereof.

 19.   Each party hereto acknowledges and agrees that the representations, warranties and covenants of the
       Subscriber herein will be true and correct both as of the execution of this Subscription Agreement and as
       of the Closing Date and will survive the completion of the issuance of the Common Shares for a period
       of two (2) years.

 20.   In this Subscription Agreement (including Schedules), references to "$" or money amounts are to
       Canadian dollars.



                                                -7-
21.   The parties hereto acknowledge and confirm that they have requested that this Subscription Agreement
      as well as all notices and other documents contemplated hereby be drawn up in the English language. Les
      parties aux présentes reconnaissent et confirment qu’elles ont convenu que la présente convention de
      souscription ainsi que tous les avis et documents qui s'y rattachent soient rédigés dans la langue anglaise.

22.   Words importing the singular number shall include the plural and vice versa and words importing the
      masculine, feminine or neuter genders shall include the other genders.

23.   Time shall be of the essence hereof.

24.   This Subscription Agreement may be executed in counterparts, each of which shall be deemed to be an
      original and all of which shall constitute one and the same document.




                                               -8-
                                                   SCHEDULE A
                                                   STATEMENT

TO:      PrimeWest Mortgage Investment Corporation (the "Corporation")

In connection with the purchase of Class A shares of the Corporation (the "Common Shares") at a price of $10 per
Common Share by the undersigned subscriber (the "Subscriber"), the Subscriber hereby represents, warrants,
covenants and certifies to the Corporation, and any applicable Agent, that (please initial):

             (A)      the aggregate subscription price does not exceed $10,000, or

             (B)      it is a person who, either alone or in the case of an individual, jointly with a spouse,
                      beneficially owns, directly or indirectly, net assets having an aggregate realizable value that
                      before taxes, but net of liabilities, exceeds $400,000; or

             (C)      it is a person whose net income before taxes exceeded $75,000 in each of the two most
                      recent years or whose net income before taxes alone, or in the case of an individual,
                      combined with that of a spouse exceeded $125,000 in each of the 2 most recent years and
                      who, in either case, reasonably expects to exceed that net income level in the current year;
                      or

             (D)      it is a person of which a majority of the voting securities are beneficially owned by persons
                      described in (B) or (C) or a majority of the directors are persons described in (B) or (C); or

             (E)      it is a general partnership in which all the partners are persons described in (B) or (C); or

             (F)      it is a limited partnership in which a majority of the partners are persons described in (B) or
                      (C); or

             (G)      it is a trust or estate in which all of the beneficiaries or a majority of the trustees are persons
                      described in (B) or (C); or

             (H)      it is a close personal friend of Thomas Archibald, Francis Bast, Douglas Frondall, Irene
                      Seiferling, Danny Anderson or Michael Hough, each being a director of the Corporation, or
                      of Al Zack, the Chief Executive Officer of the Corporation [please see additional
                      instructions below]; or

             (I)      it is a close business associate of Thomas Archibald, Francis Bast, Douglas Frondall, Irene
                      Seiferling, Danny Anderson or Michael Hough, each being a director of the Corporation, or
                      of Al Zack, the Chief Executive Officer of the Corporation [please see additional
                      instructions below]; or

             (J)      it is a person in Canada that has obtained advice regarding the suitability of the investment
                      from an investment dealer, securities dealer or their equivalent registered under the
                      securities legislation of the relevant province or territory [please see additional
                      instructions below]; or

             (K)      it is an "Accredited Investor" as such term is defining in NI 45-106 [please see additional
                      instructions below].

If the Subscriber has initialled (H) or (I) above, the Subscriber acknowledges and agrees to provide further
particulars of the Subscriber's close relationship with one of the directors or the senior officer of the Corporation,
and if the Subscriber is a resident in or otherwise subject to applicable securities laws of Saskatchewan, a signed
Risk Acknowledgement (Form 45-106F5).




                                                     -9-
If the Subscriber has initialled (J) above, the Subscriber acknowledges and agrees to provide the Corporation with an
Eligibility Adviser Certificate, in the form which is available from the Corporation on request, which has been
completed and signed by an eligibility advisor.

If the Subscriber has initialled (K) above, the Subscriber acknowledges and agrees to provide further particulars
relating to its qualification as an Accredited Investor.

Upon execution of this Statement by the Subscriber, this Statement shall be incorporated into and form a part of the
Subscription Agreement. Dated:                                , 20__



                                                               By:
Print name of Subscriber                                       Signature of Subscriber


                                                               Print name of Signatory (if different from Subscriber)


                                                               Title:




                                                   - 10 -
                                                  SCHEDULE "B"


                                          RISK ACKNOWLEDGEMENT

                                                      WARNING

    •   I acknowledge that this is a risky investment.

    •   I am investing entirely at my own risk.

    •   No securities regulatory authority or regulator has evaluated or endorsed the merits of these securities or
        the disclosure in the offering memorandum.

    •   The person selling me these securities is not registered with a securities regulatory authority or regulator
        and has no duty to tell me whether this investment is suitable for me. [this statement will not apply if the
        securities are sold by an Agent]

    •   I will not be able to sell these securities except in very limited circumstances.

    •   The securities are redeemable, but I may only be able to redeem them in limited circumstances.

    •   I will not be able to sell these securities for 4 months.

    •   I could lose all the money I invest.

I am investing $                  [total consideration] in total; this includes any amount I am obliged to pay in
future. PrimeWest Mortgage Investment Corporation will pay $                            [amount of fee or
commission] of this to                              as a fee or commission.

I acknowledge that this is a risky investment and that I could lose all the money I invest.


Date:                                                               Signature of Purchaser


                                                                    Print name of Purchaser

Sign 2 copies of this document. Keep one copy for your records.


You have 2 business days to cancel your purchase. To do so, send a notice to PrimeWest Mortgage Investment
Corporation stating that you want to cancel your purchase. You must send the notice before midnight on the 2nd
business day after you sign the agreement to purchase the securities. You can send the notice by fax or email or
deliver it in person to PrimeWest Mortgage Investment Corporation at its business address. Keep a copy of the
notice for your records.

Issuer Name and Address:            PrimeWest Mortgage Investment Corporation
                                    700 -750 Spadina Crescent East
                                    Saskatoon, SK S7K 3H3
                                    Facsimile: (306) 955 9511
                                    Email: info@primewest.ca

                         PLEASE NOTE DISCLOSURES ON THE FOLLOWING PAGE



                                                     - 11 -
You are buying Exempt Market Securities

They are called exempt market securities because two parts of securities law do not apply to them. If an issuer wants
to sell exempt market securities to you:

    •    the issuer does not have to give you a prospectus (a document that describes the investment in detail and
         gives you some legal protections); and

    •    the securities do not have to be sold by an investment dealer registered with a securities regulatory
         authority.

There are restrictions on your ability to resell exempt market securities. Exempt market securities are more risky
than other securities.

You will receive an offering memorandum

Read the offering memorandum carefully because it has important information about the issuer and its securities.
Keep the offering memorandum because you have rights based on it. Talk to a lawyer for details about these rights.

You will not receive advice

You will not get professional advice about whether the investment is suitable for you. But you can still seek advice
from a registered adviser or registered dealer. In Alberta, Manitoba and Saskatchewan to qualify as an eligible
investor, you may be required to obtain that advice. [this statement will not apply if the securities are sold by an
Agent]

The securities you are buying are not listed

The securities you are buying are not listed on any stock exchange, and they may never be listed. You may never be
able to sell these securities

For more information on the exempt market, call your local securities commission.


Saskatchewan Financial Services Commission                  Alberta Securities Commission
6th Floor 1919 Saskatchewan Drive                           300 Fifth Avenue S.W.
Regina, SK S4P 3V7                                          Calgary, Alberta T2P 3C4
Tel: (306) 787-5645                                         Tel: (403) 297-6454
Fax: (306) 787-5899                                         Main Fax: (403) 297-6156
www.sfsc.gov.sk.ca


British Columbia Securities Commission                      The Manitoba Securities Commission
701 West Georgia Street                                     500-400 St. Mary Avenue
Vancouver, B.C. V7Y 1L2                                     Winnipeg MB R3C 4K5
Tel:: 604-899-6500                                          Telephone (204) 945-2548
Fax: 604-899-6506                                           Fax (204) 945-0330
www.bcsc.bc.ca




                                                   - 12 -

								
To top