Argus Corporation Limited: Third Quater Status Update Report

Business Wire, Nov 15, 2004

TORONTO -- The first paragraph under the "International Developments" heading of the release dated Nov. 12, 2004 should read: The defendants to International's Second Amended Complaint that was filed in Illinois on October 29, 2004, including Hollinger, Ravelston and Ravelston Management Inc., certain of their current and former directors and officers and others, have to respond to the Complaint by December 13, 2004. (sted The defendants to International's Second Amended Complaint that was filed in Illinois on October 29, 2004, including Hollinger, Ravelston, certain of their directors and officers, KPMG and others, have to respond to the Complaint by December 13, 2004.)

The corrected release reads:

ARGUS CORPORATION LIMITED: THIRD QUATER STATUS UPDATE REPORT

Argus Corporation Limited ("Argus") (TSX:AR.PR.A)(TSX:AR.PR.D)(TSX:AR.PR.B) today provided a status update of developments since its last Status Update Report was filed on October 29, 2004.

Argus is providing updates on its affairs on at least a bi-weekly basis. These reports are being made in accordance with certain guidelines of the Ontario Securities Commission (the "OSC") until Argus is able to meet its public filing obligations.

These guidelines are pursuant to the Management and Insider Cease Trade Order that was issued by the OSC on June 3, 2004 (the "Order") with respect to the management and insiders of Argus.

Argus' Status Update Reports that have been filed since the Order are available to review at www.sedar.com.

This Report includes certain updates regarding Hollinger Inc. ("Hollinger") of which Argus owns or controls 61.8% of the Retractable Common Shares ("Common Shares") and Hollinger International Inc. ("International") of which Hollinger owns 68% of the voting shares and 18.2% of the equity.

The Report further provides certain financial statements and an update as to the preparation and filing of financial statements and other related matters by Argus.

Argus desires to keep the public informed of its financial activities despite its present inability to produce financial statements consolidated with those of Hollinger. It has previously released financial statements that are not consolidated with those of Hollinger for the first two Quarters of 2004 on the basis of alternative financial reporting.

Argus is similarly attaching hereto its Special Purpose Interim Financial Statements for the nine months ended September 30, 2004.

The attached financial statements consolidate Argus and its subsidiaries other than Hollinger. For these Special Purpose Financial Statements, that investment in Hollinger is accounted for using the market value basis of accounting.This is a change from the Special Purpose Statements that were issued for the first two Quarters of 2004 that were produced on the cost basis of accounting.

Argus considers that the market value basis of accounting is the most informative for the investing public. Argus historically provided its statements on that basis up until and including the filing of its audited financial statements for 2003.

However, a change in accounting policy has required that Argus file financial statements prepared on the basis of consolidation with those of Hollinger for fiscal periods beginning in 2004.Argus has not been able to date to file such financial statements and each related Management Discussion and Analysis ("MD&A") for these periods as Hollinger has not filed its audited financial statements for 2003 and its unaudited statements for the fiscal Quarters in 2004.

Hollinger, in turn, has been unable to file its audited financial statements for 2003 and subsequent quarters in 2004 as International has not prepared its 2003 audited statements.

International advised on October 15, 2004 that it expected to be able to complete its audited financial statements (and related MD&A) for its fiscal year ended December 31, 2003 within several weeks from that announcement and to complete its interim financial statements for the fiscal Quarters ended March 31 and June 30, 2004 shortly thereafter. It announced that appropriate filings would then be made on Forms 10-K, 10-Q and 8-K with the U.S. Securities and Exchange Commission (the "SEC") and in Canada.

International subsequently announced that those filings were expected to be made in November, 2004.

Hollinger's ability to prepare its 2003 financial statements as consolidated with those of International and for the Quarters in 2004 is dependent on a level of cooperation from International and its auditors.In this regard, Hollinger and International have agreed to negotiate in good faith a Cooperation and Confidentiality Agreement, which agreement to negotiate in good faith was incorporated in an Order of the Delaware Chancery Court on October 30, 2004.

Once Hollinger has prepared its financial statements for the Quarters in 2004, Argus would, in turn, then be able to consolidate its financial statements with those of Hollinger and bring its financial reporting up to date. Argus is however unable to determine when that may be commenced or completed owing to various uncertainties.