PDM Royalties Income Fund Adopts Unitholder Rights Plan



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    SERVICES/

    MONCTON, NB, April 20 /CNW/ - PDM Royalties Income Fund (the "Fund")
(TSX: PDM.UN and TSX: PDM.DB) today announced that its Board of Trustees has
approved the adoption of a unitholder rights plan ("Rights Plan"). The Rights
Plan is effective immediately but is subject to acceptance by the Toronto
Stock Exchange. Unitholders of the Fund ("Unitholders") will be asked to
approve the Rights Plan at the annual and special meeting of Unitholders
scheduled to be held on June 7, 2007.
    The adoption of the Rights Plan is not in response to or in anticipation
of any pending, threatened or proposed take-over of the Fund. The Trustees
approved the Rights Plan to ensure that Unitholders are treated fairly in the
event of an unsolicited take-over bid for the Fund and afforded adequate time
to consider and evaluate any such bid in order to make an informed decision as
to whether or not to tender their units. The Rights Plan is also intended to
provide the Trustees with sufficient time to identify and explore alternatives
to any take-over bid to ensure that any proposed transaction is in the best
interests of the Fund and Unitholders.
    The Rights Plan is similar to other rights plans adopted by many Canadian
income trusts and corporations. The issuance of Rights under the Rights Plan
does not change the manner in which Unitholders hold or trade their units.

    About the Fund

    The Fund is a limited purpose open-ended trust established under the laws
of Ontario. The Fund will make monthly distributions of its available cash to
holders of units. The Fund indirectly owns the trade marks and intellectual
property for the Pizza Delight(R) and Mikes(R) brands and has licensed them to
Pizza Delight Corporation Limited ("PDC") and Mikes Restaurants Inc.,
respectively, in consideration for a royalty equal to 4% of system sales
generated by Pizza Delight(R) and Mikes(R) restaurants. The Fund also
indirectly owns the trade marks and intellectual property for the Scores(R)
Rôtisserie and Ribs and Baton Rouge brands and has licensed each to Mikes in
consideration for a royalty equal to 6% of system sales generated by Scores(R)
Rôtisserie and Ribs and Baton Rouge(R) restaurants.

    About PDC

    PDC is a privately owned corporation, headquartered in Moncton, New
Brunswick. It operates franchised and corporate restaurants under the brand
names Pizza Delight(R), Mikes(R), Scores(R) Rôtisserie and Ribs and Baton
Rouge(R). Pizza Delight(R) restaurants operate primarily in Atlantic Canada,
where PDC dominates the family/mid-scale segment. Mikes(R) restaurants operate
primarily in Québec in the casual dining segment and the take-out and delivery
segments. Scores(R) Rôtisserie and Ribs restaurants operate primarily in
Québec in the family dining segment and the take-out and delivery segments.
Baton Rouge(R) restaurants operate in the casual dining segment in Ontario and
Québec.

    For additional information on our four brands visit:
www.pizzadelight.com, www.mikes.ca, www.scores.ca or
www.batonrougerestaurants.com.
    %SEDAR: 00018600E




For further information:

For further information: PDM Royalties Income Fund, William Lane, CMA,
Chief Financial Officer, (506) 853-0990, blane@pizzadelight.ca

Organization Profile

PDM ROYALTIES INCOME FUND

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