Torstar Corporation Announces Agreement

Business Wire, August 14, 1997

TORONTO--(BUSINESS WIRE)--Aug. 14, 1997--Torstar Corporation (TSE, ME TS.) Torstar Corporation announced today that it has signed a definitive agreement to sell its investment in Hebdo Mag International Inc. to CUC International Inc.

Under the agreement, Torstar will sell its 50 percent voting interest to CUC in exchange for CUC shares valued at approximately Cdn. $280 million. The aggregate value of the CUC acquisition was $610 million.

The transaction is subject to customary closing conditions including the expiration of any applicable waiting period under The Investment Canada Act and The Hart-Scott-Rodino Antitrust Improvements Act of 1976. The transaction, which will be accounted for as a pooling of interests, is expected to close in October. After closing Torstar will have to hold, subject to regulatory requirements, the CUC shares for at least a 30 day period.

Under the existing Shareholders Agreement Torstar will sell its 7.4 percent non-voting share interest in Hebdo Mag to its current partners as per a predetermined formula.

Hebdo Mag is a leading international publisher and distributor of classified advertising information with over 150 titles. Based in Paris, France, Hebdo Mag has operations in 12 countries including Canada, France, Sweden, Hungary, United States, Italy, Russia and Holland. The company has been managed by its founders, Louise T. Blouin MacBain and John MacBain, who will continue to manage the business on a day-to-day basis.

CUC International based in Stamford, CT. is the leading membership-based, consumer services company that currently provides access to travel, shopping, auto, dining, financial and other services to more than 68 million consumers worldwide through its more than 20 membership programs, including Shoppers Advantage, Travelers Advantage, Entertainment, Auto Vantage and other brands. CUC works in partnership with leading banks, retailers, oil companies, credit unions, charities and other organizations to offer consumers convenience and significant savings when purchasing a wide array of high quality goods and services.

Torstar Corporation is a broadly based information and entertainment communications company. Its operations include The Toronto Star, Canada's largest daily newspaper; Metroland Printing, Publishing & Distributing, publishers of community newspapers and distributors of advertising materials; Harlequin Enterprises, the world's largest publisher of series romance fiction; the Children's Supplementary Educational Publishing Division, which publishes and produces educational products for teachers, parents and children under the Frank Schaffer, Tom Snyder Productions, Delta Education, Brighter Vision and Troll Communications names.

Torstar's news releases are available on the Internet at http://www.torstar.com/corporate

CONTACT: Torstar Corporation

R.J. Steacy, 416/869-4031