Corporation confirms that First Quarter results will be reported prior
to the market opening on May 30, 2011 to accommodate IFRS conversion
RED DEER, AB, May 9 /CNW/ - Parkland Fuel Corporation ("Parkland" or the
"Corporation") (TSX: PKI), Canada's largest independent fuel
distributer and marketer, today announced preliminary results for the
first quarter of 2011. Fuel sales volumes for the three months ended
March 31, 2011 exceeded 1 billion litres of fuel, an increase of 207
million litres or 25% compared with the same period in 2010. EBITDA
for the first quarter of 2011 was $46 million, an increase of $27
million or 238% compared with the first quarter of 2010. All dollar
amounts are stated in Canadian dollars and reflect conversion to IFRS.
Parkland also announced that it has entered into a binding agreement,
subject to certain conditions to be met upon closing, to acquire the
business of Cango Inc. ("Cango"), a major independent retail fuel
marketer in Ontario, on or about May 31, 2011. On an annual basis,
Cango supplies more than 400 million litres of petroleum products to a
network of 155 independent dealers and company operated locations in
Ontario under the Cango, Sunys, Gas Rite and Esso brands. This network
presently includes 29 retailers and 126 dealers of which 80 are Esso
branded through Cango's Retail Branded Distributor agreement with
Imperial Oil. The binding agreement between Parkland and Cango is
subject to the approval of the Competition Bureau and other closing
conditions. The final price of the acquisition will be released at the
time of close.
Parkland has also agreed to acquire, subject to certain conditions to be
met upon closing, seven retail fuel outlets representing 25 million
litres from Overwaitea Food Group which operates Save On Foods Gas Bars
in Western Canada. The seven outlets, located in British Columbia and
Alberta will be re-branded to Fas Gas Plus, and are anticipated to be
in operation in time for the summer driving season.
"The combination of normal winter weather across Canada, strong
refiners' margins, and the inclusion of winter operations from Bluewave
Energy and Island Petroleum led to strong results for the first quarter
of 2011," said Bob Espey, President and Chief Executive Officer of
Parkland. "In addition, our progress towards completing these
acquisitions reflects the continued strategic focus at Parkland to grow
through accretive acquisitions and demonstrates the continued
opportunities that exist in today's marketplace."
To accommodate increased accounting and reporting requirements for
conversion of Canadian Generally Accepted Accounting Principles
("GAAP") to International Financial Reporting Standards ("IFRS"), the
Corporation will release 2011 first quarter results and related
reporting prior to the market opening on May 30, 2011 in accordance
with the filing extension provided to first time IFRS filers by the
Canadian Securities Administrators.
EBITDA, a non-GAAP measure, refers to earnings before interest on
long-term debt, income tax expense, amortization, refinery remediation,
accretion expense on asset retirement obligations, interest and
accretion on convertible debentures and loss (gains) on the disposal of
property, plant and equipment.
Annual and Special Meeting:
Parkland will conduct its Annual and Special Meeting at 9:00 a.m.
Mountain Time (11:00 a.m. Eastern Time) on Thursday, May 12, 2011 at
the Capri Hotel in Red Deer, Alberta.
Capri Hotel & Conference Centre
3310 - 50th Avenue
Red Deer, Alberta T4N 3X9
Parkland will also simultaneously webcast the meeting and presentation
at the following URL:
About Parkland Fuel Corporation
Parkland Fuel Corporation ("Parkland") is Canada's largest independent
marketer and distributer of fuels, managing a nationwide network of
sales channels for retail, commercial, wholesale and home heating fuel
customers. Parkland's mission is to be the most trusted source of
convenience for fuel and related products focused on non-urban
markets. Our family of brands includes: Fas Gas Plus, Race Trac Gas,
Bluewave Energy, Columbia Fuels, Great Northern Oil, Neufeld Petroleum
& Propane, United Petroleum Products and Island Petroleum. We are
Canada's local fuel company, delivering competitive fuel products and
serving Canadian communities through local operators who care. For more
information please visit www.parkland.ca.
Parkland shares and convertible debentures trade on the Toronto Stock
Exchange (TSX) under the symbols PKI, PKI.DB and PKI.DB.A.
SOURCE Parkland Fuel Corporation
For further information:
For investor and media inquiries, or to be added to the email news alert service, please contact Tom McMillan, Investor Relations Manager at 403-356-6722, 1-800-662-7177 ext 6722 or email@example.com.