Keystone North America Inc. and Keystone Newport ULC, the fourth largest operator of funeral homes in the United States, with 171 funeral homes and ten cemeteries across the United States and the Province of Ontario, announced today that it has closed its offering of 4,945,000 income participating securities (IPS), including 645,000 IPSs issued on exercise of the over-allotment option, at a price of C$8.15 per IPS for total gross proceeds of C$40.3 million.

Keystone North America Inc. and Keystone Newport ULC announced that a cash payment of C$0.08333333 per Income Participating Security will be payable on March 15, 2007 to holders of record of Income Participating Securities at the close of business on February 28, 2007.