June 8, 1998

Press Release

SAGE ANNOUNCES NORMAL COURSE ISSUER BID

SAGE High Yield Debt Trust ("SAGE") announced today its intention to make a normal course issuer bid for its units through the facilities of The Toronto Stock Exchange ("TSE"). The normal course issuer bid will commence on June 11, 1998 and will terminate on June 10, 1999. In accordance with the Trust Agreement by which SAGE is governed, market purchases pursuant to this normal course issuer bid may only be effected if unitholders are offering their units for sale at less than net asset value.

At May 29, 1998 there were 2,285,000 units issued and outstanding with 2,031,250 units in the public float. During the 12 month period, SAGE may purchase on the TSE up to 203,125 units, being approximately 10% of the public float of the units. SAGE will cancel all units purchased pursuant to the bid, including units evidenced by instalment receipts which are purchased prior to payment of the final instalment.

The units have been trading at prices which are less than the net asset value per unit. As a result, depending on future movements and other factors, SAGE believes that its units may represent an attractive investment and a desirable use of available funds. Any normal course purchases made by SAGE will also afford an increased degree of liquidity to those unitholders of SAGE who wish to dispose of their units.

The primary objectives of SAGE are to produce a high level of sustainable income while preserving capital for distribution to the unitholders upon termination of the Trust in 2008.

SAGE trades on the Toronto Stock Exchange under the symbol "BBB.IR".

For further information contact:

W. Garth Jestley
Director
Middlefield Group
(416) 362-0714