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                                 HOLLINGER INC.
                                 STATUS UPDATE

         Toronto, Ontario, Canada, July 14, 2005 -- Hollinger Inc. ("Hollinger")
(TSX: HLG.C; HLG.PR.B) provides the following update in accordance with the
guidelines pursuant to which the June 1, 2004 management and insider cease trade
order, as amended, was issued. These guidelines contemplate that Hollinger will
normally provide bi-weekly updates on its affairs until such time as it is
current with its filing obligations under applicable Canadian securities laws.
Reference should be made to Status Update Reports and other press releases that
have been previously filed by Hollinger and which are available on SEDAR at
www.sedar.com.

Recent Events

         On July 8, 2005, Mr. Justice Colin J. Campbell of the Ontario Superior
Court of Justice approved a consent Order effecting the realignment of the Board
of Directors of Hollinger. The Board will increase from the current four members
to a total of seven members. Five new members will be added to the Board when
requisite consents have been obtained from the proposed candidates. Two existing
members then will retire. Currently, the Board of Hollinger is composed of Paul
A. Carroll, QC, President & CEO, Robert J. Metcalfe, Executive Vice-President
and COO, Allan Wakefield and Gordon W. Walker, QC, Chairman. Messrs. Carroll and
Walker have signaled their intention to stand down from the Board in order to
give effect to the restructuring. The five new members coming onto the Board
will be endorsed by Mr. Justice Campbell in the coming days and then will be
appointed to the Board. The names of the new Board members will also be
identified in the coming days upon their acceptance of their appointment. Each
is a significant business person and well suited to the appointment. This
restructuring will see the termination of litigation launched by certain
minority shareholder groups of Hollinger respecting Board composition, resulting
in substantial savings in litigation costs.

Financial Statements

         As previously reported, Hollinger's 2003 annual financial statements
cannot be completed and audited until Hollinger International Inc. ("Hollinger
International") completes and files its 2003 annual financial statements. On
January 18, 2005, Hollinger International filed its 2003 Form 10-K with the SEC,
which included audited financial statements and related management discussion
and analysis ("MD&A") for the year ended December 31, 2003 and restated audited
financial results for the years ended December 31, 1999, 2000, 2001 and 2002.
Hollinger International stated that the restated financial results were to
correct accounting errors in prior periods and to reflect reclassifications
arising from the adoption of a new accounting standard. On January 21, 2005,
Hollinger International filed its audited financial statements, MD&A and renewal
Annual Information Form ("AIF") for the year ended December 31, 2003 with the
Canadian securities regulatory authorities. The foregoing were necessary but not
sufficient conditions to permit Hollinger to complete and file its 2003 annual
financial statements as the completion and audit of such financial statements
will require a level of co-operation from Hollinger International, which is
still in negotiation, and Hollinger International's auditors.

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         On May 19 and 20, 2005, Hollinger International filed with the United
States Securities and Exchange Commission its quarterly reports on Form 10-Q for
the three, six and nine month periods ended March 31, June 30 and September 30,
2004, respectively. These interim financial statements (and related MD&A) were
also filed with the Canadian securities regulatory authorities on May 24, 2005.

         Neither Hollinger International nor Hollinger has been able to file its
annual financial statements, MD&A and AIF for the year ended December 31, 2004
on a timely basis as required by Canadian securities legislation. Hollinger
International has not yet filed its interim financial statements for the fiscal
quarter ended March 31, 2005 and Hollinger has not filed its interim financial
statements for the fiscal quarters ended March 31, June 30 and September 30,
2004 and March 31, 2005. Hollinger International stated in its press release of
July 12, 2005 that it anticipates filing its Annual Report on Form 10-K for the
year ended December 31, 2004 prior to the end of August 2005. Hollinger
International further stated that it expects to become current with its
continuous disclosure obligations upon the filing of its third quarter interim
financial statements in November 2005.

         Hollinger has released financial information in the form of an
unaudited consolidated balance sheet as at September 30, 2004, together with
notes thereto, prepared on an alternative basis, as described below (the
"Alternative Financial Information"). The Alternative Financial Information,
which may be found as part of Hollinger's press release issued on March 4, 2005,
was prepared by management of Hollinger and was not audited or reviewed by
Hollinger's auditors. The Alternative Financial Information includes the
accounts of Hollinger and those wholly-owned subsidiaries which carry out head
office functions and which do not represent investments. Investments in other
companies and subsidiaries, such as Hollinger International, are not
consolidated but rather are carried as investments and are accounted for at
their market value. The Alternative Financial Information has been prepared in
accordance with Hollinger's traditional accounting policies with the exception
that it has been prepared as though Hollinger had always accounted for its
assets and liabilities at their market values.

         It is Hollinger's intention to complete and publicly disclose as soon
as practicable an unaudited consolidated balance sheet as at December 31, 2004,
together with notes thereto, prepared on an alternative basis similar to that of
the Alternative Financial Information described above along with unaudited
consolidated statements of income, retained earnings and cash flows for the year
then ended, all prepared on an alternative basis.

Inspection

         Ernst & Young Inc. (the "Inspector") is continuing the inspection of
Hollinger's related party transactions pursuant to an Order of Mr. Justice
Campbell of the Ontario Superior Court of Justice. The Inspector has provided
nine interim reports with respect to its inspection of Hollinger, the ninth
report being filed with the Court on July 7, 2005 and outlining the status of
the inspection. Hollinger and its staff continue to give their full and
unrestricted assistance to the Inspector in order that it may carry out its
duties, including access to all files and electronic data.

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         To July 8, 2005, the cost to Hollinger of the inspection (including the
costs associated with the Inspector and its legal counsel and Hollinger's legal
counsel) is in excess of C$9.99 million.

Supplemental Financial Information

         As of the close of business on July 8, 2005, Hollinger and its
subsidiaries (other than Hollinger International and its subsidiaries) had
approximately US$67.0 million of cash or cash equivalents on hand, including
restricted cash, other than as described separately below. At that date,
Hollinger owned, directly or indirectly, 782,923 shares of Class A Common Stock
and 14,990,000 shares of Class B Common Stock of Hollinger International. Based
on the July 8, 2005 closing price of the shares of Class A Common Stock of
Hollinger International on the New York Stock Exchange of US$10.07, the market
value of Hollinger's direct and indirect holdings in Hollinger International was
US$158,833,334. All of Hollinger's direct and indirect interest in the shares of
Class A Common Stock of Hollinger International are being held in escrow in
support of future retractions of its Series II Preference Shares. All of
Hollinger's direct and indirect interest in the shares of Class B Common Stock
of Hollinger International are pledged as security in connection with
Hollinger's outstanding 11.875% Senior Secured Notes due 2011 (the "Senior
Notes") and 11.875% Second Priority Secured Notes due 2011 (the "Second Priority
Notes"). In addition to the cash or cash equivalents on hand noted above,
Hollinger has previously deposited: (a) approximately C$8.5 million in trust
with the law firm of Aird & Berlis LLP, as trustee, in support of Hollinger's
indemnification obligations to six current and former independent directors and
two current officers; (b) approximately C$3.0 million with the law firm of
Goodmans LLP to be available to satisfy Hollinger's aggregate severance
obligations to its current independent directors; and (c) approximately US$5.5
million in cash with the trustee under the indenture (the "Senior Indenture")
governing the Senior Notes as collateral in support of the Senior Notes (which
cash collateral is also collateral in support of the Second Priority Notes,
subject to being applied to satisfy future interest payment obligations on the
outstanding Senior Notes). Consequently, there is currently in excess of
US$156.4 million aggregate collateral securing the US$78 million principal
amount of the Senior Notes and the US$15 million principal amount of the Second
Priority Notes outstanding.

Ravelston Receivership and CCAA Proceedings

         On April 20, 2005, Mr. Justice James Farley of the Ontario Superior
Court of Justice issued two orders by which The Ravelston Corporation Limited
("Ravelston") and Ravelston Management Inc. ("RMI") were: (i) placed in
receivership pursuant to the Courts of Justice Act (Ontario) (the "Receivership
Order"); and (ii) granted protection pursuant to the Companies' Creditors
Arrangement Act (Canada) (the "CCAA Order"). Pursuant thereto, RSM Richter Inc.
(the "Receiver") was appointed receiver of all of the assets of Ravelston and
RMI. On May 18, 2005, Mr. Justice Farley further ordered that the Receivership
Order and the CCAA Order be extended to include Argus Corporation Limited and
five of its subsidiary companies which collectively own, directly or indirectly,
61.8% of the outstanding retractable common shares of Hollinger (collectively
such entities, including Ravelston and RMI are referred to as the "Ravelston
Entities"). In addition, Mr. Justice Farley extended to July 20, 2005 the stay
of proceedings against the Ravelston Entities that he had granted on April 20,
2005.

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         The Receiver stated in its press release of June 30, 2005 that,
pursuant to the Receivership Order, it has taken possession and control of
shares of Hollinger directly or indirectly held by Ravelston such that, as a
result, it directly or indirectly exercises control or direction over 78.3% of
the issued and outstanding Retractable Common Shares and 3.9% of the issued and
outstanding Series II Preference Shares of Hollinger. The Receiver further
stated that it took possession and control of these shares for the purposes of
carrying out its responsibilities as court appointed officer.

         On June 20, 2005, Hollinger filed a motion with the Ontario Superior
Court of Justice in the context of the CCAA proceedings respecting the Ravelston
Entities for an Order establishing a claims procedure in respect of such
entities. Hollinger, being a significant secured and unsecured creditor of
Ravelston and RMI, is a major stakeholder in the receivership proceedings and
the CCAA proceedings. Hollinger filed its motion for the commencement of a
claims procedure process in order that it and other key stakeholders of the
Ravelston Entities (including Hollinger International) are in a position to
review and consider all strategic alternatives and options to maximize recovery
from the assets and property of the Ravelston Entities. On July 13, 2005,
Hollinger filed a further motion with the Ontario Superior Court of Justice in
the Receivership and CCAA proceedings respecting Ravelston and RMI for an Order
that certain secured claims owing to Hollinger and its wholly-owned subsidiary,
Domgroup Ltd., be satisfied, in full, with Retractable Common Shares of
Hollinger and that the Receiver be authorized to enter into an agreement with
Hollinger and Domgroup Ltd. as to the mechanics with respect to the number of
shares to be delivered. The motions are scheduled to be heard on July 19, 2005.

Outstanding Notes

         As previously announced, as a result of the Receivership Order, the
CCAA Order and the related insolvency proceedings respecting the Ravelston
Entities, an Event of Default has occurred under the terms of the indentures
governing the Senior Notes and Second Priority Notes. With respect to both the
Senior Notes and the Second Priority Notes, the relevant trustee under the
indentures or the holders of at least 25 percent of the outstanding principal
amount of the relevant Notes has the right to accelerate the maturity of the
Notes. Until the Event of Default is remedied or a waiver is provided by holders
of the Notes, the terms of the indentures prevent Hollinger from honouring
retractions of its Series II Preference Shares. Hollinger is currently exploring
alternative forms of financing for the Notes.

Company Background

         Hollinger's principal asset is its approximately 66.8% voting and 17.4%
equity interest in Hollinger International, which is a newspaper publisher, the
assets of which include the Chicago Sun-Times, a large number of community
newspapers in the Chicago area and a portfolio of news media investments.
Hollinger also owns a portfolio of revenue-producing and other commercial real
estate in Canada, including its head office building located at 10 Toronto
Street, Toronto, Ontario.



Media contact:
Larry Parnell
Hill & Knowlton
416-413-4623
larry.parnell@hillandknowlton.ca

                              www.hollingerinc.com