WELLAND, ON, Aug. 14 /CNW/ - Added Capital Corp. (TSX-V: LS) ("Added" or
the "Company") today reported results for the first quarter ended June 30,
2008, which are in line with the preliminary results reported on July 25,
2008. For the three months ended June 30, 2008, the Company's revenue was
$49,444,712 which is an increase of $3,933,441 compared to revenue of
$45,511,271 for the quarter ended June 30, 2007. The Company's net income was
$94,532 for the quarter, an improvement of $1,071,085 from a net loss of
$976,553 for the quarter ended June 30, 2007.
Management believes that the Company's improved performance in the first
quarter of fiscal 2009 is largely attributable to continued strong demand by
the oil and gas sector for Oil Country Tubular Goods plus increased volumes of
commercial and industrial products of Lakeside Steel Corporation ("Lakeside").
Based on a review of existing orders, management expects that the second
quarter of fiscal 2009 will meet or exceed its business plan.
As previously disclosed, the Company projected an EBITDA target of
$3,900,000 for the year ending March 31, 2009, compared to EBITDA of
($4,768,000) for the year ended March 31, 2008, and an increase in revenue to
approximately $205,000,000 for the year ending March 31, 2009, compared to
revenue of $161,486,304 for the year ended March 31, 2008. Management has
revised its business plan forecast for the year ending March 31, 2009, and
projects an EBITDA target of $7,000,000 and an increase in revenue to
Added also announced that on August 14, 2008, subject to receipt of
required regulatory approvals, it granted stock options under its 10 per cent
rolling Stock Option Plan to directors, officers and employees of the Company
and Lakeside to purchase in the aggregate up to 2,860,000 common shares (the
"Stock Options") in the capital of the Company. The exercise price of the
Stock Options is the greater of $0.20 per share or the volume weighted average
trading price of the Company's shares for the five trading days ending
August 21, 2008. The Stock Options expire August 13, 2018. Ten percent of the
Stock Options vest immediately with the balance vesting as to fifteen percent
each every six months from the date of grant, subject to the terms and
conditions of the Company's Stock Option Plan.
About Added Capital Corp.
Added is the parent company of Lakeside. Lakeside, located in Welland,
Ontario, is a diversified steel pipe and tubing manufacturer. Lakeside's list
of customers includes large oil and gas, mining, automotive and commercial and
industrial supply companies. In addition to supplying its products in these
industries, Lakeside manufactures pipe and mechanical tubing for the resale
market, which is sold to distributors in Eastern Canada and the Northeastern
United States. Lakeside manufactures a variety of products for these
industries including oil well tubing and casing, mechanical tubing, pressure
tubing, automotive tubing, hollows for redraw, line pipe, heating and plumbing
pipe, drill rod and specialty tubing. Lakeside serves customers worldwide,
either directly or indirectly, in Canada, Australia and the United States.
This press release may contain forward-looking statements with respect to
the Company, its operations, strategy, financial performance and condition.
These statements generally can be identified by use of forward looking words
such as "may", "will", "expect", "estimate", "anticipate", intends", "believe"
or "continue" or the negative thereof or similar variations. The actual
results and performance of the Company discussed herein could differ
materially from those expressed or implied by such statements. Such statements
are qualified in their entirety by the inherent risks and uncertainties
surrounding future expectations. Important factors that could cause actual
results to differ materially from expectations include, among other things,
general economic and market factors, competition, changes in government
regulations and the factors described under "Risk Factors" in the Management's
Discussion and Analysis and Filing Statement of the Company which is available
at www.sedar.com. The cautionary statements qualify all forward-looking
statements attributable to the Company and persons acting on their behalf.
Unless otherwise stated, all forward-looking statements speak only as of the
date of this press release and the Company has no obligation to update such
For further information:
For further information: Vic Alboini, Chairman & Chief Executive
Officer, Added Capital Corp., (416) 644-8110, Fax: (416) 644-0271, e-mail:
firstname.lastname@example.org; Ken Hunter, Chief Financial Officer, Added Capital
Corp., (905) 735-7473 ext 7218, Fax: (905) 735-9069, e-mail: