The offering of MRF 1996 II was completed in
December 1996 raising $53,000,000 at an issue price of $1,000 per unit. These
funds were fully invested prior to 1998. On February 15, 1999, the assets of
MRF 1996 II were exchanged for shares of the Growth Class of the Mutual Fund.
On February 15, 1999, MRF 1996 II was dissolved and the shares of the Growth
Class of the Mutual Fund were distributed to partners of MRF 1996 II. The net
asset value of MRF 1996 II on dissolution was $671.19 per unit. An investor in
MRF 1996 II who was an individual resident in Ontario and who was subject to
the highest marginal tax rate would have had an after-tax loss of 11% on money
at risk if the Growth Class of the Mutual Fund shares were redeemed immediately
upon dissolution of the partnership.