Exchange Income Corporation reports restated second quarter results for the quarter ended June 30, 2009



    
    /NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
    DISSEMINATION IN THE UNITED STATES/
    

    WINNIPEG, Aug. 26 /CNW/ - Exchange Income Corporation ("EIC" or the
"Corporation") today announced that it has restated its consolidated interim
unaudited financial statements for the three and six-month periods ended June
30, 2009, that were originally released and filed on SEDAR on August 14, 2009.
The consolidated interim unaudited financial statements for this period have
been restated as of today's date.
    There has been no change to the consolidated income statement or
consolidated balance sheet of the consolidated interim unaudited financial
statements, but additional disclosure has been added to the notes to the
financial statements. The revised note adds disclosure on the costs associated
with the corporate conversion that occurred on July 28, 2009. The restated
consolidated interim unaudited financial statements have been filed on SEDAR
today (www.sedar.com).
    The following is the revised disclosure for Note 17 - "Subsequent
Events", describing the corporate conversion in more detail:

    
    "17. SUBSEQUENT EVENTS

    Corporation Conversion
    ----------------------
    

    Subsequent to the end of the quarter the Fund announced the completion of
the conversion of the Fund to a corporation named "Exchange Income
Corporation" (the "Corporation") pursuant to a plan of arrangement (the
"Arrangement") under the Canada Business Corporations Act.
    Effective on the closing of the Arrangement and related transactions, the
Corporation now directly owns subsidiaries which own and operate the
businesses which were held and operated by the Fund and its subsidiaries prior
to the closing of the Arrangement. The directors of EIIF Management GP Inc.
and management of the Fund prior to the Arrangement are now the directors and
officers of the Corporation. Upon the closing of the Arrangement, Mr. Brad
Bennett will be joining the board of directors of the Corporation.
    The Arrangement was approved at the special meeting of the holders
("Unitholders") of Class A trust units of the Fund held on July 22, 2009, with
100% of the votes cast by Unitholders in favour of the Arrangement. On July
27, 2009, the Court of Queen's Bench of Manitoba granted the final order
required in connection with the Arrangement.
    Pursuant to the Arrangement, each Unitholder received one common share (a
"Share") of the Corporation for each Unit held. After giving effect to the
Arrangement, there are 9,980,723 Shares issued and outstanding.
    The costs associated with the Arrangement are estimated to be $2,500.
These costs will be expensed through earnings in the third quarter of 2009."

    
    Caution concerning forward-looking statements
    ---------------------------------------------
    

    The statements contained in this news release that are forward-looking
are based on current expectations and are subject to a number of uncertainties
and risks, and actual results may differ materially. These uncertainties and
risks include, but are not limited to, the dependence of Exchange Income
Corporation on the operations and assets currently owned by it, the degree to
which its subsidiaries are leveraged, the fact that cash distributions are not
guaranteed and will fluctuate with the Corporation's financial performance,
dilution, restrictions on potential future growth, the risk of shareholder
liability, competitive pressures (including price competition), changes in
market activity, the cyclicality of the industries, seasonality of the
businesses, poor weather conditions, and foreign currency fluctuations, legal
proceedings, commodity prices and raw material exposure, dependence on key
personnel, and environmental, health and safety and other regulatory
requirements. Further information about these and other risks and
uncertainties can be found in the disclosure documents filed by Exchange
Income Corporation with the securities regulatory authorities, available at
www.sedar.com.

    
    The Toronto Stock Exchange has neither approved nor disapproved the
    contents of this press release.

    About Exchange
    

    Exchange is a diversified, acquisition-oriented corporation, focused on
opportunities in the industrial products and transportation sectors which are
ideally suited for public markets except for their size. The strategy of the
Corporation is to invest in profitable, well-established companies with strong
cash flows operating in niche markets in Canada and/or the United States. The
Corporation is currently operating in two niche business segments: aviation
and specialty manufacturing. The aviation segment consists of Perimeter
Aviation Ltd., Keewatin Air Limited, and Calm Air International Inc. and the
specialty manufacturing segment consists of Jasper Tank Ltd., Overlanders
Manufacturing LP, Water Blast Manufacturing LP, and Stainless Fabrication,
Inc.






For further information:

For further information: Mike Pyle, President and CEO, Exchange Income
Corporation, (204) 982-1850, mpyle@eig.ca; Alice Dunning, Investor Relations,
The Equicom Group Inc., (416) 815-0700 or 1-800-385-5451 ext. 255,
adunning@equicomgroup.com


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890