CALGARY, April 8 /CNW/ - Keyera Facilities Income Fund ("Keyera") (TSX:KEY.UN; KEY.DB; KEY.DB.A) announced today a cash distribution for April 2010 of 15.0 cents per unit. The distribution will be payable on May 17, 2010 to unitholders of record on April 22, 2010. The ex-distribution date is April 20, 2010.
For tax purposes, Keyera currently expects that its 2010 distributions will be taxable for Canadian non-exempt unitholders. This outlook is subject to change. For non-resident unitholders, Keyera's distributions are subject to Canadian withholding tax.
Keyera also announced that effective immediately, it is suspending the Premium Distribution(TM) component of its Premium Distribution(TM) and Distribution Reinvestment Plan (the "Plan"). Beginning with the April distribution, payable on May 17, 2010, unitholders previously enrolled in the Premium Distribution(TM) component of the Plan will receive the regular cash distribution amount without the 2% premium.
The Distribution Reinvestment portion of the Plan will remain in effect; however, effective with the April distribution, the discount to the Average Market Price, which is used to determine the additional units to be issued, will be reduced from 5% to 3%.
"The Premium Distribution(TM) and Distribution Reinvestment Plan was implemented in early 2009 at a time when access to the debt and equity markets was difficult and expensive," said Dean Setoguchi, Keyera's Vice President and Chief Financial Officer. "During the challenging economic times of the past year, the Plan has provided a useful source of additional capital to fund our growth opportunities. Today, we have a number of lower cost financing alternatives available, if required, to fund our internal growth projects and acquisitions."
For further information on the Plan, please visit the Keyera website at www.keyera.com.
This document contains forward-looking statements based on management's current expectations and assumptions relating to Keyera's business and the environment in which it operates. As these forward-looking statements depend upon future events, actual outcomes may differ materially depending on factors such as: the distribution policy of the Fund; the operation of the Plan (including participation rates and decisions by Keyera to pro-rate distributions under the Plan); future operating results of Keyera's business segments and the components of those results; Keyera's ability to execute its strategic initiatives, including growth projects and acquisitions; commodity supply/demand balances and prices; activities of producers, competitors, customers, business partners and others; overall economic conditions; access to capital and financing alternatives; construction variables; the legislative, regulatory and tax environment; and other known or unknown factors. There can be no assurance that the results or developments anticipated by Keyera will be realized or that they will have the expected consequences for or effects on Keyera.
For additional information on these and other factors, see Keyera's public filings on www.sedar.com. Unless otherwise required by applicable laws, Keyera does not intend to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Keyera Corp.
For further information: For further information: about Keyera Facilities Income Fund, please visit our website at www.keyera.com or contact: John Cobb, Director, Investor Relations or Bradley White, Investor Relations Advisor, E-mail: firstname.lastname@example.org, Telephone: (403) 205-7670, Toll Free: (888) 699-4853, Facsimile: (403) 205-8425