Strategem Capital Corporation: Additional ABCP Write-Down

Strategem Capital Corporation ("Strategem" or the "Company") (TSX VENTURE:SGE)
today announced that it had recorded an additional write-down on its
Asset-Backed Commercial Paper ("ABCP") holdings in the quarter ended September
30, 2008.


The Company owns ABCP with a face value of $6,364,224. Management has estimated
the fair value of the Company's ABCP to be $1,239,277 at September 30, 2008.
Based on this valuation, the Company recorded a write-down of $2,323,960 in the
quarter ended September 30, 2008, in addition to a charge of $2,800,987 recorded
in the fiscal year ended December 31, 2007.


When the ABCP matured but was not redeemed in 2007, it became the subject of an
ongoing restructuring process intended to replace the ABCP with long term asset
backed securities ("New Notes"). To arrive at its estimate of the fair value of
the ABCP, the Company uses market inputs to determine the price a prospective
investor would pay for the New Notes. This value was then probability weighted
based on estimate that a successful restructuring is 40% likely with a 60%
likeliness of failure.


The assumptions which have the most significant impact on the Company's
estimates of fair value and impairment include: whether or not the restructuring
is successful and the yield required by prospective investors. The value the
Company ultimately receives for its ABCP assets may differ significantly from
Company estimates.


The Company has adequate working capital to meet its operational needs for the
coming year. The company does not expect that it will require additional
financing.


About Strategem Capital

Strategem Capital Corporation is a publicly-traded merchant bank specializing in
the development of emerging companies with above average growth potential. The
current focus is on companies that explore and develop precious or base metals.


This release and prior releases are available on the Company's Internet web site
located at www.strategemcapital.com.


BY ORDER OF THE BOARD OF DIRECTORS

Kenneth W. Morgan, CA, CPA, President, CEO and Director

Strategem Capital (TSXV:SGE)
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