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BMO Mutual Funds - Harmonized Sales Tax (HST)

TORONTO, June 2, 2010 -

Please note that the HST information provided here is as of June, 2010. For any updates or additional information, please visit the Fedreal HSTFederal, Ontario HSTOntario or British Columbia HSTBritish Columbia HST government websites.

What is the Harmonized Sales Tax (HST)?
The HST is a federally administered tax which combines the Goods and Services Tax (GST) and the retail sales tax (RST) of certain provinces into one single sales tax per province.

Which provinces use HST?
New Brunswick, Newfoundland and Labrador and Nova Scotia have used the HST since 1997 and British Columbia and Ontario are set to implement HST effective July 1, 2010. The following chart highlights the applicable sales taxes for each province and territory.

Applicable Sales Tax
Province/Territory Provincial Retail Sales Tax (RST) GST HST
Alberta - 5% -
British Columbia* - - 12%
Manitoba 7% 5% -
New Brunswick - - 13%
Newfoundland & Labrador - - 13%
Nova Scotia*^ - - 15%
Ontario* - - 13%
Prince Edward Island 10% 5% -
Quebec 7.5% 5% -
Saskatchewan 5% 5% -
Northwest Territories - 5% -
Nunavut - 5% -
Yukon - 5% -
*effective July 1, 2010
^prior to July 1, 2010 the rate was 13%

Does the Ontario HST affect individuals outside of Ontario?
The Ontario HST applies to residents of the province as well as businesses that are registered in Ontario. BMO Mutual Funds are offered by BMO Investments Inc., a company which is registered in Ontario, and so applicable products and services (i.e., the funds) offered by BMO Mutual Funds are subject to HST. Therefore investors who own BMO Mutual Funds may be impacted by the Ontario HST even though they don't live in the province.

Are all mutual fund companies affected or just BMO Mutual Funds?
Any mutual fund company that has clients in Ontario will have to incorporate HST into their Fund NAVs (Net Asset Values). The implementation of the HST will affect all of the larger mutual fund companies who have investors throughout Canada.

How does the HST affect BMO Mutual Funds?
BMO Mutual Funds must pay HST on management fees and certain other fees charged to the fund. Generally, prior to July 1, 2010 only GST was charged on theses fees. The HST that is ultimately payable by a mutual fund on these fees is generally based on the percentage of the value of holdings by unit holders that reside in the harmonized provinces. The HST liability for a mutual fund is calculated for each series in a fund.

For more information on mutual fund fees and expenses please refer to the BMO Mutual Fund Simplified ProspectusBMO Mutual Fund Simplified Prospectus.

How is the HST impact calculated for each Fund?
The majority of mutual funds in Canada use a single net asset value ("NAV") for each fund (or series of a fund) available and each can be purchased by any qualified Canadian investor, regardless of what province the investor lives in. As of July 1, 2010, with the implementation of the HST, changes will have been made in the calculation of this single NAV to reflect the applicable HST rates.

Who do I contact for more information?
If you want more information about how your BMO Funds are affected by the Ontario HST please contact us at 1-800-665-7700.

BMO Investments Inc. Announces Portfolio Management Change

TORONTO, March 31, 2010 -

BMO Investments Inc. announced today that the portfolio manager for BMO U.S. Special Equity Fund will change.

Effective on or about June 4, 2010, the new portfolio manager for BMO U.S. Special Equity Fund will be Loomis, Sayles & Company, L.P.

About BMO Investments Inc. BMO Investments Inc. is a member of BMO Financial Group and part of the organization's Private Client Group. The Private Client Group provides integrated wealth management services in Canada and the United States and had total assets under management and administration of $250 billion as at January 31, 2010.

For further information: For all news media enquiries please contact:
Kasia Lech, Toronto, kasia.lech@bmo.comkasia.lech@bmo.com, (416) 867-3996
Sarah Bensadoun, Montreal, sarah.bensadoun@bmo.comsarah.bensadoun@bmo.com, (514) 877-8224

BMO Investments Inc. Announces Portfolio Management Change

TORONTO, March 2, 2010 -

BMO Investments Inc. announced today that the portfolio manager for BMO Sustainable Opportunities Class and BMO Sustainable Climate Class will change.

Effective on or before June 30, 2010, SAM Sustainable Asset Management AG will no longer serve as portfolio manager for BMO Sustainable Opportunities Class or BMO Sustainable Climate Class. A search for a new portfolio manager is currently being undertaken and a replacement(s) will be announced by BMO Investments Inc. on or before June 30, 2010.

"We remain committed to this area of investments and are excited about the opportunities that exist in growing our sustainable investment platform." said Hugh McKee, Co-president of BMO Investments Inc.

About BMO Investments Inc.

BMO Investments Inc. is a member of BMO Financial Group and part of the organization's Private Client Group. The Private Client Group provides integrated wealth management services in Canada and the United States and had total assets under management and administration of $250 billion as at January 31, 2010.

Media Contacts:
Kasia Lech, Toronto, kasia.lech@bmo.com, (416) 867-3996
Sarah Bensadoun, Montréal, sarah.bensadoun@bmo.com, (514) 877-8224

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