Toronto Stock Exchange: ARF.UN
GUELPH, ON, Dec. 15 /CNW/ - Armtec Infrastructure Income Fund (TSX: ARF.UN) today announced that it will pay a special distribution of $0.05 per unit in addition to the $0.18 per unit regular monthly cash distribution for the month of December. The regular cash distribution for December will be paid on January 15, 2010, and the special cash distribution will be paid on January 29, 2010. Both distributions will be paid to unitholders of record at the close of business on December 31, 2009. The ex-distribution trading date for both distributions is December 29, 2009.
"While current demand levels remain consistent with our outlook, and the investments made in support of the Fund's growth strategy continue to meet management's expectations, the current economic uncertainty of the business landscape calls for continued prudence in managing our balance sheet," said Charles M. Phillips, President and Chief Executive Officer. "In light of these circumstances, the Board of Trustees has set the 2009 special distribution amount at $0.05 per unit. With a further two acquisitions this year, bringing the total to 10 transactions over the last two years, the Fund has the benefit of another full year of certain tax deductions against a partial year of additional earnings from the acquisitions. Accordingly, this provides for the opportunity to retain cash in the Fund."
After the special cash distribution, the Fund does not expect to pay income tax on the current year's earnings.
About Armtec Infrastructure Income Fund
Armtec Infrastructure Income Fund is a leading manufacturer and marketer of a comprehensive range of infrastructure products and engineered construction solutions for customers in a diverse cross-section of industries that are located in every region of Canada, as well as in selected markets in North America and worldwide. These markets include Canada's national and regional public infrastructure markets and private sector markets in agricultural drainage, commercial building, residential construction and natural resources. Operating through its network of regional offices and production facilities across the country, Armtec is Canada's only national multi-material infrastructure application manufacturer. The Fund specializes in high density polyethylene and corrugated steel pipe products for drainage and bridge applications, water management systems, a full suite of highway noise barriers and offers a wide variety of precast and pre-stressed concrete products, which provide advanced construction components and high-value engineered solutions to its customers. Armtec Infrastructure Income Fund is listed on the TSX under the ARF.UN symbol. For more information, please visit www.armtecincomefund.com.
This news release contains forward-looking statements, including the statements concerning income tax on the Fund's earnings for the current year, increase in consolidated revenues, expansion of product base and ability of Armtec to service large infrastructure projects requiring specialized engineered solutions, as well as the payment of the regular and special cash distributions. These forward-looking statements are based on current expectations and are subject to a number of uncertainties and risks and the actual results may differ materially. The statements concerning income tax on the Fund's earnings for the current year, increase in consolidated revenues, expansion of product base and ability of Armtec to service large infrastructure projects requiring specialized engineered solutions, as well as the payment of the regular and special cash distributions are based on the following assumption that: the Fund's performance will be in line with the expectations of management for the remainder of the year. The risks and uncertainties which could cause the actual results to differ materially from such forward-looking statements include, but are not limited to: competition; reductions in demand for Armtec's products; collections from customers; relationships with suppliers; expiration of rights under license and distribution arrangements; raw material price volatility; product liability; intellectual property; reliance on key personnel; collective bargaining agreements; interest rates; uninsured and underinsured losses; environment, health and safety requirements; operating hazards; risk of future legal proceedings; dependence of the Fund on Armtec Limited Partnership; and certain risks associated with the structure of the Fund including income tax matters; leverage and restrictive covenants; credit facility; nature of units; effect of market interest rates on the price of units; restrictions on potential growth; and cash distributions are not guaranteed. Although the forward-looking statements contained in this report are based upon what management of Armtec believes are reasonable assumptions, the Fund cannot assure investors that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this release and the Fund assumes no obligation to update or revise them to reflect new events or circumstances. Further information about these and other risks and uncertainties can be found in the disclosure documents filed by Armtec Infrastructure Income Fund with the securities regulatory authorities, available at www.sedar.com.
SOURCE ARMTEC INFRASTRUCTURE INCOME FUND
For further information: For further information: Carrie Boutcher, Vice President, Investor Relations & Treasurer, Armtec Limited Partnership, Tel: (519) 822-0210, Fax: (519) 822-8894