Company Profile November 2004

Disclaimer Statement This presentation contains forward-looking statements which reflect management’s expectations regarding Xceed Mortgage Corporation’s future growth, performance (both operational and financial), and business prospects and opportunities. A number of factors could cause actual results, performance, or achievements to differ materially from the results expressed or implied in these materials. These factors should be considered carefully and prospective investors should not place undue reliance on any forward looking statements

Brief History of Xceed Established in Canada in 1997 as a subsidiary of IMC Mortgage Corporation. Current investor group purchased 90% of common stock from BMO in April Installed new senior management team with entrepreneurial culture and disciplined management system. Implemented new innovative funding programs. Invigorated existing broker network channel and created financial institution referral programs

Financial Highlights Revenue$1,558M$22,952M166% Mortgages$126MM$1,016MM114% Net Income (1) ($1,127)M$7,769M104% ROAE (1) (34.8%)25.8%39% 2001July 31, 2004 (1) CAGR figures for Net Income and ROAE are calculated from fiscal year 2002 as net income was negative in CAGR - 4 -

Senior Management & Directors Ivan Wahl – Chairman, CEO & Director –30 years of experience in the Canadian mortgage finance industry. –Played a leading role in the development of the mortgage-backed securitization industry in Canada. –Founded FirstLine Trust Company in 1985, subsequently sold the business to CIBC. Michael Jones – President & COO –Previously Vice President, Commercial Mortgages for CIBC Mortgages Inc. where he also oversaw the CIBC Access Program. Karen Martin – VP Finance & CFO –Previously the Treasurer of Amicus Holdings (a division of CIBC), Director of Balance Sheet Management, and General Manager of Securitization for CIBC. –From 1988 to 1996 acted as Manager, Financial Analysis and Manager, Financial Reporting for FirstLine Trust Company. Robert C. Krembil, Director –President, Chiefswood Holdings Limited –Co-Founder and former Chairman and CEO of Trimark Financial Corporation –Founding shareholder in Xceed Majority of Board consists of non-related independent directors - 5 -

Market & Business Overview Focus on niche market of mortgage customers that do not meet traditional lender guidelines: Credit challenged customers High ratio uninsured mortgages Originate mortgages through in two distinct channels: Mortgage brokers Financial Institutions (referral programs) Execute effective and efficient business model: Concentrate on origination Disciplined credit underwriting Outsourced servicing All new product securitized weekly Entrepreneurial culture with structured management processes Total potential size of the non-traditional market in Canada is appx. 10% of the total residential mortgage financing market size or roughly $50 billion. Market is a growing and under serviced

25%50%75% 100% ABCABC Traditional Lenders (Big 6 Banks) Home Capital / Equitable Trust Mortgage Loan to Value (LTV) Ratio Borrower Credit Rating Competitive Position GMAC, Wells Fargo XCEED - 7 -

Innovative Securitization Structure Mortgages sold weekly to Trust. Trust senior notes funded through asset backed commercial paper conduits. Same methodology as used by all of Canada’s large banks. Trust credit enhancement provided by third party investors. Immunization of mismatch risk through interest rate swaps or other hedging mechanisms. Frequent reviews by DBRS and securitization agent for compliance and asset quality Full GAAP accounting –Fair conservative estimates –Reviewed by external auditors and audit committee - 8 -

Financial Model: Pro-Forma Economics. Yield Spreads Mortgage Coupon (1) 7.40% Swap Cost of Funds(3.70%) Gross Spread3.70% Trust Costs (2) (1.25%) Net Spread2.45% Operating Expenses(0.52%) Net Income1.93% Origination Income and Expense Application Fees3.90% Commissions & Other Expenses (3) (3.60%) Origination Profit0.30% (1) Approximate mortgage coupon rate based on historical average. (2) Trusts costs consist of allowance for losses, cost of credit enhancement, program fees, and MCAP servicing costs. (3) Commissions and other expenses includes hedge costs, cost of yield “buy up” on subordinate co-owned interest and broker commissions

Keys to Success Experienced senior management team and board. Focused channel management. Disciplined consistent application of well defined credit standards. Application of results based performance management system. Creation of suite of products specifically designed for non- traditional customers. Knowledge of the capital markets and proprietary funding programs Risk adjusted pricing model that ensures returns are commensurate with risk. Serving all markets across Canada

Drivers of Growth Nascent but rapidly growing Canadian non-traditional residential mortgage market. Financial institution channel has only just started to grow. Opportunity to expand product availability beyond current vanilla 3 year / 5 year fixed offerings. Low and variable cost business model provides significant operating leverage. Efficient method of raising capital provides opportunity for high ROE Effective improvements in funding ratios will leverage increased volumes. Continued leveraging of low cost electronic approval / funding system, with single location (in Toronto)

Revenue Growth Note: Xceed’s fiscal year end is October 31. CAGR 166% Under Previous Management Under Current Management

Mortgage Book Growth CAGR 114% Under Previous Management after 5 years Under Current Management

Mortgage Fundings Growth CAGR 92% * Latest 12 months April 30, 2004.

Disciplined Underwriting Note: Xceed’s fiscal year end is October 31. Ratios are a percentage of average secured portfolio under administration. Under Previous Management Under Current Management Reduction in Loss & Default Percentages CADR (33)%

Increasing Profitability Note: Xceed’s fiscal year end is October 31. Under Current Management Under Previous Management Net Income Growth CAGR 104%

Effective Use of Capital Note: Xceed’s fiscal year end is October 31. * Trailing twelve months ended April 30, Under Current Management Under Previous Management Return on Equity Growth CAGR 39%

Summary Limited competition in nascent, rapidly growing market place. Strong experienced management with performance based culture. Focused multi-channel approach to origination. Disciplined consistent application of well defined credit standards. Knowledge of the capital markets and proprietary funding programs Risk adjusted pricing model that ensures returns are commensurate with risk. Flexible, scalable technology with comprehensive relevant reporting capability

Shareholders Name Post-IPO Shares% Management6,975,86325% Non-Management Directors6,271,66922% Other Pre-IPO Investors7,470,09426% IPO Investors7,531,59027% Total28,249,216100%