2009 Ontario Savings Bonds rates announced



    A Secure Investment Option That Strengthens Ontario's Economy

    TORONTO, June 1 /CNW/ -

    NEWS

    Ontario announced interest rates for the 2009 issue of Ontario Savings
Bonds (OSBs), which go on sale today for the next three weeks.
    This year, the province is offering Ontarians two new investment options
two-year and five-year Fixed-Rate Bonds. In addition, starting this June,
Variable-Rate bonds will be redeemable annually and have their interest rates
reset once a year. All earlier series of Variable-Rate bonds will continue to
be redeemable, and have their interest rates reset, every six months.

    
    The interest rates for the various investments options include:
    -  A five-year Step-Up Bond interest rate of 0.75 per cent this year,
       1.50 per cent in the second year, 2.50 per cent in the third year,
       3.50 per cent in the fourth year and 4.50 per cent in the final year
    -  Fixed-Rate Bonds:
          -  The interest rate for two-year Fixed-Rate Bonds is 1.25 per cent
          -  The interest rate for three-year Fixed-Rate Bonds is 2.00 per
             cent
          -  The interest rate for five-year Fixed-Rate Bonds is 3.00 per
             cent
    -  The seven-year Variable-Rate Bond rate is 1.00 per cent for the first
       year
    -  The interest rate on Variable-Rate Bonds for the 2003 to 2008 Series
       was also reset today at 1.00 per cent. This rate is effective from
       June 21 to December 20, 2009.
    

    This year, the 2002 Variable-Rate, 2004 Step-Up and the 2006 Fixed-Rate
Bonds are maturing, and purchasers can extend their benefits by reinvesting in
2009 OSBs.

    QUOTES

    "During these challenging economic times, Ontario Savings Bonds offer
Ontarians a secure and guaranteed return on investment, while helping support
important provincial initiatives like health care, infrastructure and skills
training. When Ontarians invest in OSBs, we are investing back into our
province and communities helping build a stronger Ontario."
    - Dwight Duncan, Minister of Finance
    (http://www.fin.gov.on.ca/english/about/min.html)

    
    QUICK FACTS

    -  Available only until June 19, OSBs are backed 100 per cent by the
       Province of Ontario and are sold in amounts of $100 up to $500,000 for
       small, medium and large investors.

    -  Only Ontario residents may purchase OSBs. They can be purchased from
       banks, trust companies, credit unions, caisses populaires and through
       investment dealers.
    

    LEARN MORE

    Interested in purchasing an Ontario Savings Bond? Then visit the OSB
website (http://www.ontariosavingsbonds.com/en/index.html) or call
1-888-212-BOND (2663).

    How can an OSB help me save for my future? Calculate 
(http://www.ontariosavingsbonds.com/en/calculator.asp) how OSBs could help
your investments grow.

    
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                                                     ontario.ca/finance-news
                                                      Disponible en français
    




For further information:

For further information: Alicia Johnston, Minister's Office, (416)
325-3645; Scott Blodgett, Ministry of Finance, (416) 325-0324

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