Slate Retail REIT (TSX: SRT.U) (TSX: SRT.UN) (the "REIT") provides the following update in connection with the announcement by Southeastern Grocers, LLC (“SEG”), the parent of Winn-Dixie, BI-LO, Fresco y Más and Harveys Supermarket grocery stores, that SEG has entered into a Restructuring Support Agreement (“RSA”) on March 15, 2018.

As part of the RSA, SEG has announced its intention to close approximately 18% of its stores. None of the REIT’s 10 properties anchored by Winn-Dixie or BI-LO grocery stores are expected to be part of such store closures.

In contemplation of a potential restructuring by SEG, the REIT entered into conditional lease amendments with SEG to modify the terms of certain of the REIT’s existing leases. The impact of these changes include:

• Minor rent reductions will be provided at 6 of the REIT’s 10 properties over the remaining term to maturity in return for lease term modifications and store investments by SEG. This reduction is equal to approximately 0.7% of the REIT’s fourth quarter 2017 net operating income on an annualized basis.
• SEG has committed to providing certain minimum investments at the REIT’s properties, to either upgrade or improve the existing format.
• The term of certain leases will be amended, however, the weighted average term to maturity will remain at 6.6 years.
• The aggregate carrying value at December 31, 2017 of the REIT’s properties anchored by Winn-Dixie or BI-LO grocery stores reflected a potential restructuring and certain rent adjustments.

The conditional lease amendments agreed to between the REIT and SEG are effective upon SEG’s successful emergence from the restructuring.

“Confirmation by Southeastern Grocers that none of its grocery stores at the REIT’s properties are expected to close is reflective of our team’s ability to identify and acquire high quality real estate.” said Greg Stevenson, Chief Executive Officer of the REIT. “We look forward to continuing to build on our strong relationship with Southeastern Grocers, working constructively with them.”

REIT’s Properties Anchored by SEG’s Winn-Dixie or BI-LO Grocery Stores

About Slate Retail REIT (TSX: SRT.U / SRT.UN)
Slate Retail REIT is a real estate investment trust focused on U.S. grocery-anchored real estate. The REIT owns and operates approximately U.S. $1.5 billion of assets located across the top 50 U.S. metro markets that are visited regularly by consumers for their everyday needs. The REIT’s conservative payout ratio, together with its diversified portfolio and quality tenant covenants, provides a strong basis to continue to grow unitholder distributions and the flexibility to capitalize on opportunities that drive value appreciation. Visit slateretailreit.com to learn more about the REIT.

About Slate Asset Management L.P.
Slate Asset Management L.P. is a leading real estate investment platform with over $4.5 billion in assets under management. Slate is a value-oriented manager and a significant sponsor of all of its private and publicly-traded investment vehicles, which are tailored to the unique goals and objectives of its investors. The firm's careful and selective investment approach creates long-term value with an emphasis on capital preservation and outsized returns. Slate is supported by exceptional people, flexible capital and a proven ability to originate and execute on a wide range of compelling investment opportunities. Visit slateam.com to learn more.

Forward‐Looking Statements
Certain information herein constitutes “forward‐looking information” as defined under Canadian securities laws which reflect management’s expectations regarding objectives, plans, goals, strategies, future growth, results of operations, performance, business prospects and opportunities of the REIT. The words “plans”, “expects”, “does not expect”, “scheduled”, “estimates”, “intends”, “anticipates”, “does not anticipate”, “projects”, “believes”, or variations of such words and phrases or statements to the effect that certain actions, events or results “may”, “will”, “could”, “would”, “might”, “occur”, “be achieved”, or “continue” and similar expressions identify forward‐looking statements. Some of the specific forward‐looking statements contained herein include, but are not limited to statements with respect to the following: the intention of SEG to remain open at all of the REIT’s properties, SEG’s successful emergence from bankruptcy protection, and the effectiveness of the conditional lease amendments (including the receipt of court approval and certain additional approvals in respect of such amendments). Such forward‐looking statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations, including that the transactions contemplated herein are completed. Forward‐looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable by management as of the date hereof, are inherently subject to significant business, economic and competitive uncertainties and contingencies. When relying on forward‐looking statements to make decisions, the REIT cautions readers not to place undue reliance on these statements, as forward‐looking statements involve significant risks and uncertainties and should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not the times at or by which such performance or results will be achieved. A number of factors could cause actual results to differ, possibly materially, from the results discussed in the forward‐looking statements. Additional information about risks and uncertainties is contained in the filings of the REIT with securities regulators, including the REIT’s Annual Information Form dated February 16, 2018.

For Further Information
Investor Relations
+1 416 644 4264
ir@slateam.com