Mavrix Reports First Quarter Fiscal 2009 Results

    TORONTO, May 6 /CNW/ - Mavrix Fund Management Inc. ("Mavrix" or the
"Company") (TSX: MVX), a leading niche asset manager, today announced its
financial results for the three-month period ended March 31, 2009. All results
are reported in Canadian dollars unless otherwise stated.

    Q1 Financial & Operational Summary

    -  EBITDA remained virtually unchanged compared to Q1 2008 due to
       continued cost containment measures.
    -  Assets under management were relatively unchanged compared to
       December 31, 2008.
    -  Strong year-to-date performance of the Mavrix Explorer Fund, a natural
       resource fund.
    -  Secured unitholder approval to become manager of two mutual funds
       managed by Northern Rivers Capital Management Inc. with AUM of just
       under $8 million.
    -  Completed rollover of Mavrix Explore 2007-I and Mavrix Explore
       Quebec 2007-I Limited Partnerships.

    ($ million - except per share amounts)               Q1 2009     Q1 2008
    Assets Under Management (AUM)                         $255.6      $543.9
    Revenues                                                $1.2        $2.6
    Expenses                                                $2.4        $3.8
    Net Loss                                               $(1.2)      $(1.1)
    Loss per share                                        $(0.14)     $(0.13)
    EBITDA(*)                                              $(0.5)      $(0.4)
    EBITDA per share                                      $(0.05)     $(0.05)
    Shares issued and outstanding                      8,728,229   8,658,505

    "The first quarter continued to be challenging for the fund industry as
it experienced net redemptions and market volatility. Mavrix was not immune to
these challenges" said Mal Spooner, President and CEO of Mavrix. "However, our
AUM held steady compared to year end as we achieved good performance in many
of our funds, particularly the Mavrix Explorer Fund, which increased 47% in
the quarter."
    "Our continued efforts to decrease expenses given current market
realities have been effective as EBITDA remained consistent with the same
period last year despite lower revenues. We remain steadfast in pursuing our
long-term growth strategy with a focus on strong investment performance,
gaining new mandates for funds and providing independent support and advice to
nearly 3,000 investment advisors and their clients across Canada."

    Financial Review

    Total assets under management (AUM) at March 31, 2009 were $255.6
million, compared with $257.4 million at December 31, 2008 and $543.9 million
at March 31, 2008. The decreases are attributable to market depreciation and
lower fund sales, reflecting continued equity market volatility. At quarter
end, the Company's AUM consisted of $226.7 million of Mutual Funds and $28.9
million of Specialty Funds, compared with $457.1 million and $86.8 million,
respectively, at March 31, 2008.
    Mavrix Mutual Funds had net sales of $3.1 million on gross sales of $20.7
million for the first quarter of 2009. This compares with $27.1 million in net
sales on $81.9 million of gross sales for the same period in 2008.
    For the three months ended March 31, 2009, revenue totaled $1.2 million,
compared with $2.6 million for 2008. The decrease was primarily the result of
the decline in AUM. Total expenses for the first quarter were $2.4 million, a
36% decrease over the prior year. The decline mainly reflects reduced selling,
general, administration and other expenses for the quarter as management has
focused on controlling costs until market conditions improve.
    As a result of cost containment measures, EBITDA declined only slightly
to $(458,333) for the three months ended March 31, 2009, compared with
$(415,501) in the first quarter of 2008. Mavrix reported a net loss for the
three months ended March 31, 2009 of $1.2 million, or $(0.14) per share,
compared to a net loss for the three months ended March 31, 2008 of $(1.1)
million, or $(0.13) per share.
    The Company's complete financial statements and MD&A will be available at and

    (*) References to EBITDA are to earnings before interest, income taxes,
    depreciation and amortization. EBITDA is not a standardized earnings
    measure under GAAP. Management believes that in addition to net earnings,
    EBITDA is a useful supplemental measure as it provides investors with an
    indication of cash available for distribution, income taxes, working
    capital needs and capital expenditures. Investors should be cautioned,
    however, that EBITDA should not be construed as an alternative measure
    of liquidity and cash flows. The Company's method of calculating EBITDA
    may differ from other issuers and, accordingly, EBITDA may not be
    comparable to similarly titled measures used by other issuers.

    About Mavrix Fund Management Inc.

    Mavrix Fund Management Inc. (TSX: MVX) is an asset management company
with a focused lineup of concentrated, actively managed funds that aim to
complement mainstream funds. Mavrix supports its products by providing
financial advisors with regular and direct access to portfolio managers and
unbiased commentary, which has enabled the company to become a trusted advisor
to advisors and its clients. Mavrix is headquartered in Toronto with offices
in Halifax, Montreal, and Winnipeg. Additional information about Mavrix can be
found at

    Forward-Looking Statements

    This press release contains statements about expected future events and
financial and operating results that are forward-looking and subject to
uncertainties. Actual results, performance or achievement could differ
materially from those expressed or implied by such statements. Such statements
are qualified in their entirety by the inherent risks and uncertainties
surrounding future expectations. Except as required under securities
regulations, Mavrix Fund Management Inc. disclaims any intention or obligation
to update or revise any existing or forward-looking statements, whether as a
result of new information, future events or otherwise.

    %SEDAR: 00020385E

For further information:

For further information: Raymond M. Steele, Chief Financial Officer,
Mavrix Fund Management Inc., (416) 365-4071,; Craig
Armitage, Vanessa Beresford, Investor Relations, The Equicom Group, (416)

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