Algonquin Mercantile Announces New Sequencing Plant In Delaware.

TORONTO--(BUSINESS WIRE)--June 24, 1998--(TSE:AM.) Algonquin Mercantile Corporation ("Algonquin") announces that it will establish a new Delaware subsidiary to carry out automotive sequencing in the United States and will start up a new plant in Wilmington, Delaware in early 1999.

Automodular Assemblies Inc. ("Automodular"), a unit of Algonquin, recently won orders for the sequenced assembly of a wide range of components for the new Saturn model, to be produces in General Motors Corporation's Wilmington assembly plant. Consequently, Algonquin will establish a 180,000 square foot sequencing facility employing approximately 145 persons near the General Motors assembly plant. Algonquin estimates it will spend approximately $5 million U.S. in new capital expenditures to put in place the new facility. Automodular will commence work on the facility immediately.

Algonquin expects the new plant to make a meaningful contribution to Algonquin's 1999 sales and profits.

   CONTACT:  Algonquin Mercantile Corporation
              Winston R. Ash, 905/841-4473
              905/841-2714  (FAX)