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Press Release

MDC Corporation Inc. Custom Direct Income Fund

TORONTO, Ontario (May 21, 2003) -Custom Direct Income Fund (the “Fund”) of Toronto, announced today that immediately upon completion of the transfer to the Fund of an indirect 80% interest in Custom Direct, Inc. (“Custom Direct”) by MDC Corporation Inc. (TSX:MDZ.A; NASDAQ:MDCA) and the initial public offering of units of the Fund on May 29, 2003, Custom Direct will enter into certain currency and interest rate hedge arrangements.

Under the terms of the currency hedge arrangement, Custom Direct will be able to exchange US dollars for Canadian dollars at a fixed rate of 1.412, a favourable rate to the one used in the Fund’s prospectus of 1.394. Custom Direct will also fix the interest rate on the $51.8 million (US$37.5 million) term portion of its $58.7 million (US$42.5 million) credit facility at 5%, the rate used in the prospectus.

“These arrangements will ensure that for the next 3 years, the Fund’s ability to meet its target distributions to unitholders will not be affected by currency and interest rate fluctuations. These arrangements will allow Management to focus its attention on day to day operations and on delivering expected business performance,” said John Browning, President and CEO of Custom Direct.

The Fund units have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.

About Custom Direct

Based in Maryland and Arkansas, the Custom Direct has been selling cheques and cheque related accessories across the United States since 1992 and offers the industry’s widest selection of product designs. Custom Direct is the second largest participant in the direct-to-consumer segment of the U.S. cheque industry with sales and EBITDA for the year ending December 31, 2002 of approximately US$103 million and US$20 million respectively.