ONCAP Announces Partial Divestiture of its CMC Electronics Operating Business.

TORONTO -- ONCAP announced that CMC Electronics Inc. ("CMC Electronics"), one of ONCAP's operating companies, has entered into an agreement to divest its Cincinnati Electronics business unit (also known as CMC Electronics Cincinnati) to L-3 Communications Corporation (L-3) (NYSE:LLL). The agreement, signed on June 15, 2004, is for approximately US$172 million in cash. The sale is subject to regulatory approval and is scheduled to close in July 2004.

Headquartered in Montreal, Quebec, CMC Electronics is a world-class leader in the design, manufacture, sales and support of high technology electronic products and systems for the military and commercial aviation, infrared sensing, space electronics and precision positioning markets. CMC Electronics - formerly Canadian Marconi Company - was acquired in April 2001 in a management buy-out led by ONCAP. In the three years following the acquisition, ONCAP has worked with CMC Electronics' management team to build a focused aviation electronics business by divesting non-core operations and investing in the company's core capabilities.

Michael Lay, Managing Director of ONCAP, noted, "This transaction is an important step in the evolution of our investment in CMC. The sale will result in significant value being realized from ONCAP's largest investment while better positioning CMC Electronics as a focused aviation electronics company. We look forward to working with management to continue to build significant value in CMC Electronics."

ONCAP is a $400 million Canadian private equity fund, established by Onex Corporation in 1999, dedicated to investing in and building value with North American small- and mid-size companies. ONCAP's investors include Onex Corporation and a number of Canada's most prominent financial institutions.

Onex Corporation is a diversified company with annual consolidated revenues of approximately CDN $16 billion and consolidated assets of approximately CDN $14 billion. Onex is one of Canada's largest companies with global operations in the service, manufacturing and technology industries.