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Press release from TheNewswire.ca

Loyalist Group Secures Additional $500,000 from Windsor Bancorp for Expansion: Establishing Overseas Offices in Brazil, Japan and Korea First Step Towards Vertical Integration

Wednesday, April 04, 2012

Loyalist Group Secures Additional $500,000 from Windsor Bancorp for Expansion: Establishing Overseas Offices in Brazil, Japan and Korea First Step Towards Vertical Integration 14:54 EDT Wednesday, April 04, 2012(via Thenewswire.ca) Toronto, Canada - April 4, 2012 - Loyalist Group Limited (TSX Venture Exchange: LOY) ("Loyalist Group" or the "Corporation") an emerging consolidator of private ESL schools, announces it has closed on an additional $500,000 loan (the "Follow-On Advance") with Windsor Private Capital Limited Partnership ("Windsor"). The Corporation will use the proceeds of the Follow-on Advance to open liaison offices in San Paulo, Brazil, Tokyo, Japan and Seoul, South Korea, which are anticipated to increase margins by lowering agency commission expense. This is the first step of Loyalist Group's vertical integration strategy. As previously announced on January 30, 2012, Windsor advanced $500,000 to the Corporation (the "Original Loan"). The Original Loan bears interest at an annual rate of interest equal to the prime rate charged by the Royal Bank of Canada plus 10% and the term is 12 months. In addition, Loyalist Group issued bonus warrants to Windsor to purchase up to 900,000 common shares of the Corporation at a price of $0.15 per common share (the "Initial Bonus Warrants"), exercisable at any time, up until January 30, 2013. The Follow-On Advance will bear interest at the same rate as the Original Loan and will have a 14 month term. In connection with the Follow-On Advance, Loyalist Group will issue bonus warrants to Windsor to purchase an aggregate of up to 900,000 common shares of the Corporation at a price of $0.125 per common share (the "Follow-On Bonus Warrants"), exercisable at any time, up until April 3, 2013. The Initial Bonus Warrants and Follow-On Bonus Warrants issued to Windsor under the Original Loan and the Follow-On Advance, including underlying common shares issued on exercise thereof, will be subject to a four-month regulatory hold period. The Follow-On Advance is subject to TSX Venture Exchange final approval. About Loyalist Group Limited Loyalist Group Limited (TSXV: LOY), an emerging consolidator of private ESL schools owns and operates schools both in Toronto and Vancouver offering (i) English as a Second Language Courses for international students; (ii) Training programs for teachers, commonly known as TESL; (iii) Professional Development Courses; and (iv) Corporate English for Professionals. To receive corporate news updates send your email to lauren@chfir.com and mention 'Loyalist News' on the subject line. For further information, please contact: To receive news updates send your email to lauren@chfir.com and mention 'Loyalist News' on the subject line. -------------------------------------------------------------------- |Andrew Ryu |Cathy Hume |Lauren Clarke | | |Loyalist Group |CHF Investor Relations|CHF Investor | | |Limited |CEO |Relations | | |CEO |T: (416) 868-1079 x231|Associate Account | | |T: (416) 977-9800 |E: cathy@chfir.com   |Manager | | |E: | |T: (416) 868-1079 | | |aryu@mckinseygroup.ca| |x241 | | | | |E: lauren@chfir.com| | -------------------------------------------------------------------- Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Forward-Looking Statements The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this document are made as of the date of this document and Loyalist Group Limited disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although Management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein. Copyright (c) 2012 Thenewswire.ca - All rights reserved.