Canlan reports third quarter results.

Investment Corporation (TSE:CAI) today announced results for the third quarter of 1995: -0-

Third Quarter Results  (three months ended September 30, 1995
compared with three months ended September 30, 1994)

-    Revenues were $8.2 million compared with $14.1 million.
-    Net earnings were $288,000 compared with $877,000.
-    Net earnings per share were $0.02 compared with $0.09.

Nine Months Results  (nine months ended September 30, 1995
compared with nine months ended September 30, 1994)

-     Revenues were $30.0 million compared with $34.6 million.
-     Net earnings were $1,021,000 compared with $2,760,000.
-     Net earnings per share were $0.09 compared with $0.45.

John B. Ross, President and CEO, said both the Revenue Properties and Development divisions performed well during the third quarter and the financial results were as anticipated.

For the nine months ending September 30, 1995, gross revenues from Revenue Property operations increased substantially to $11.1 million as compared to $6.7 million a year earlier, reflecting the Company's expanding ice rink operations. Gross margins from Revenue Property operations were $2.4 million as compared to $1.3 million a year earlier. It should be emphasized that these figures reflect very little revenue from the Company's 1995 expansion program which will begin to impact revenues in the fourth quarter.

The Company's 1995 ice rink expansion program continued successfully in the third quarter. The expansion to four ice surfaces from two in Winnipeg is complete. Currently two of the four expanded ice surfaces at the Company's Burnaby facility are open, and all eight ice surfaces will be open and operating at capacity in prime time periods in early December. The NHL Vancouver Canucks have commenced use of 8-Rinks for their practice and training facility.

The four rink recreational hockey facility in Toronto (Scarborough) will open two ice surfaces in mid-November and two more by end of that month. Over 180 adult teams are booked to play in the new facility.

A two rink complex on the south shore of Montreal is scheduled to open at the end of November. The city of Candiac is booking over 1,300 hours per year, on a ten year term, with this new facility.

Development Property operation results both in the third quarter and for the nine months were slower as compared to a year earlier but, nevertheless, were as management expected. The Morgan Creek development in Surrey, B.C. and the Company's Portland, Oregon, developments were the main contributors to development revenue in the third quarter.

The Morgan Creek development continues on schedule. Lots in Phases II (39 lots) and III (17 lots) are currently being offered for sale and most of the prime golf course frontage lots are already sold. Phase IV (31 lots) will be offered for sale prior to the end of November and quick sell-out of most lots is anticipated. All 18 holes of the championship golf course were opened for play during the third quarter and a very strong favorable response to the course has been received from both members and public players. A high level of daily play has been experienced since opening. A contract has been let for construction of the clubhouse scheduled for completion mid-year 1996.

Overall, the Company anticipates a strong performance in the fourth quarter.

Canlan Investment Corporation is an innovative and successful real estate investment and development company. It is the largest private sector operator of recreational ice facilities in North America with 22 ice surfaces at seven locations in Canada and the U.S., with future expansion underway throughout the continent. Its real estate development operations are principally in British Columbia, Alberta, Oregon and Washington State.

Shares of Canlan Investment Corporation are traded on the Toronto Stock Exchange (CAI).

CONTACT: Canlan Investment Corporation

Ray Dixon, [phone]

or

Kieran and Co. Inc.

Jon W. Kieran or Cathy Hume, [phone]