Investors Group Inc. has announced earnings for the year ended December 31, 2002. Net income and earnings per share attributable to common shareholders for the year ended December 31, 2002 was $491.1million compared to $387.7million in 2001. Earnings per share were $1.85 compared with $1.56 in 2001, an increase of 18.5%.

Net income for the year ended December 31, 2001 excludes both a restructuring charge of $95.6million ($56million after tax) taken in the second quarter and goodwill amortization related to the acquisition of Mackenzie Financial Corporation.

For the three months ended December 31, 2002 net income attributable to common shareholders was $119.3million, compared to $112.2 million in 2001. Earnings per share were 45.0¢ compared with 42.5¢ in 2001, an increase of 5.9%. Net income and earnings per share for the prior three month period ended December 31, 2001 also excludes goodwill amortization related to Mackenzie.

Gross revenues for the year ended December 31, 2002 were $1.9billion compared to $1.8billion last year. Gross revenues for the fourth quarter were $464.6million compared to $503.4million in the prior year. Operating expenses were $1.1billion for the twelve months and $266.8million for the fourth quarter in 2002 compared with $1.1billion and $292.7million respectively in 2001.

Client assets under management and administration at December 31, 2002 totalled $74.8billion, compared to $83.1billion at December 31, 2001.

Shareholders’ equity at December 31, 2002, was $2.9billion compared to $2.7billion at December 31, 2001. Return on average common equity for the twelve months, excluding goodwill amortization and restructuring, was 19.2% compared with 19.6% for the same period in 2001.

These results reflect the inclusion of Mackenzie from the date of acquisition effective April 20, 2001.

Canadian mutual fund sales for the year ended Dec. 31, 2002 were $6.0billion compared to $5.5billion in the prior year. Mutual fund net sales for the period were $288million compared to $280million in the prior year. In the fourth quarter mutual fund sales were $1.3 billion, compared to $1.4billion in the prior year, and mutual fund net sales were $11million compared to $68million last year.

Mackenzie’s mutual fund assets at Dec. 31, 2002 were $30.9billion compared to $33.4billion at December 31, 2001. Mackenzie’s redemption rate at Dec. 31, 2002, excluding money market and managed yield funds, was 11.9% compared to 11.6% a year ago. The redemption rate for all other members of the Investment Funds Institute of Canada at Dec.31, 2002 was 14.6%.

The Board of Directors has declared a quarterly dividend of $0.359375 on the corporation’s 5.75% non-cumulative first preferred shares, series “A” payable on March 31, 2003 to shareholders of record on March 1, 2003 and has declared an increase of one and one-half cent in the quarterly dividend from 22.5¢ per share to 24¢ per share on the corporation’s common shares payable April 30, 2003 to shareholders of record on March 28, 2003.

A complete review of activities and performance for Investors Group Inc., together with full financial details and a management discussion, will be published in the corporation’s 2002 Annual Report which should be mailed to shareholders on or about March 25, 2003.