1314385 Ontario Limited Announces Extension of Bid To Acquire All Issued and Outstanding Common Shares of Trailmobile

    MISSISSAUGA, Ontario--April 2, 2002--Trailmobile Canada Limited ("TCL" or the "Company") wishes to advise that its controlling shareholder, 1314385 Ontario Limited (the "Offeror"), is extending the time for shareholders of TCL to deposit their shares to the cash offer (the "Offer") to purchase all of the outstanding common shares of the Company at a price of $0.10 per share originally announced on February 1, 2002 from 4:00 p.m. (Toronto time) on March 28, 2002 to 4:00 p.m. (Toronto time) on April 12, 2002.
    As of March 28, 2002, the Offer remains conditional upon holders of TCL common shares tendering at least 90.1% of the TCL shares not already held by the Offeror. As of 4:00 p.m. on March 28, 2002, 17,960,792 common shares of the 21,479,098 common shares not held by the Offeror had been tendered to the Offer. As this represents less than 90.1% of the shares not held by the Offeror, these shares will not be taken up and paid for by the Offeror at this time. However, the Offeror may elect to waive this condition at any time. If the Offeror were to waive the condition, it would own 52,661,694 common shares of TCL representing approximately 93.74% of the current issued and outstanding common shares of TCL.
    In a bulletin published by the Toronto Stock Exchange (the "TSE") on December 17, 2001, the TSE advised that it was reviewing the eligibility for continued listing on the TSE of the common shares of the Company and granted the Company 120 days to comply with all the requirements for continued listing. The TSE's review is based upon the "financial condition and/or operating results" of the Company as well as on the basis that the "public distribution, price, or trading activity of the company's securities has been so reduced as to not warrant continued listing". The circumstances of the Company have not changed materially since December 17, 2001 and it is anticipated that the Company's shares will be suspended and/or de-listed whether or not the takeover bid closes.

    Trailmobile Canada Limited manufactures dry-freight trailers for commercial trucking customers in Canada and the United States. The company is majority owned by Chicago-based Trailmobile Corporation. Trailmobile is one of North America's largest trailer manufacturers, with an extensive sales and distribution network in both the USA and Canada. Trailmobile Canada Limited's head office and manufacturing facility are located in Mississauga, Ontario.