Press Release

Special Dividend, Quarterly Dividends Declared
(For Release 4 p.m. EDT, October 6, 2003)

Toronto, October 6, 2003: Mulvihill Premium Canadian Bank (the "Fund") has declared its quarterly dividends of $0.226635 on each of its Preferred Shares and $0.20 on each of its Class A shares, payable October 31, 2003 to shareholders of record as of October 15, 2003. In addition, the Fund has declared a special dividend on each of its Class A shares of $0.10 payable on the same date for a total dividend of $0.30 to Class A shareholders. The amount of the dividend may be subject to minor adjustment.

On September 29, 2003 the Fund completed a treasury offering in the amount of $226,525,000 (8,500,000 Preferred shares and 8,500,000 Class A shares). The offering price was set at $15.65 per Preferred share and $11.00 per Class A share.

Mulvihill Premium Canadian Bank is a mutual fund corporation which invests in the common shares of Bank of Montreal, The Bank of Nova Scotia, Canadian Imperial Bank of Commerce, Royal Bank of Canada, and The Toronto-Dominion Bank. To generate additional returns above the dividend income earned on the Portfolio, the Fund may from time to time, write covered call options in respect of all or part of the common shares in the Portfolio. In addition, the Fund may write cash covered put options in respect of securities in which the Fund is permitted to invest.

The Fund's investment portfolio is managed by its investment manager, Mulvihill Capital Management Inc. The Fundıs Preferred and Class A shares are listed on The Toronto Stock Exchange under the symbols PIC.PR.A and PIC.A

Distribution Details:

Dividend per Preferred Share: $ 0.226635
Regular Dividend per Class A Share:   $ 0.20
Special Dividend per Class A Share: $ 0.10
Payable Date: October 31, 2003
Record Date: October 15, 2003
Ex-Dividend Date: October 10, 2003

For further information please contact:
John Mulvihill, President & CEO
David Middleton, CFO
Mulvihill Structured Products

Mulvihill Premium Canadian Bank Fund
121 King Street West, Suite 2600
Toronto, Ontario M5H 3T9
(416) 681-3966   (800) 725-7172