EDMONTON, Aug. 19 /CNW/ - AutoCanada Income Fund ("AutoCanada")
(TSX:ACQ.UN) announces that the Toronto Stock Exchange (the "TSX") has
approved its normal course issuer bid (the "Issuer Bid"). The maximum number
of units of AutoCanada ("Units") which may be acquired by way of the Issuer
Bid is 547,475, such number representing approximately 5% of the total issued
and outstanding Units. As at August 18, 2008, there were 10,949,500 Units
issued and outstanding. Pursuant to TSX policies, daily purchases made by
AutoCanada will not exceed 6,254 Units or 25% of the average daily trading
volume of 25,018 Units on the TSX, subject to certain prescribed exceptions.
AutoCanada intends to commence the Issuer Bid on August 21, 2008, with final
purchases thereunder, being completed on or before August 20, 2009.
AutoCanada's Board of Trustees believes that the Units are currently
undervalued and that purchasing Units pursuant to the Issuer Bid as the Units
may become available for purchase, at prices which make them an appropriate
use of AutoCanada funds, is in the best interests of AutoCanada and its
unitholders. All Units purchased under the Issuer Bid will be cancelled and
returned to treasury. AutoCanada intends to acquire Units from time to time in
amounts and at prices which its management believes are favourable and
consistent with prudent economic and financial considerations.
Any purchases made by AutoCanada pursuant to the Issuer Bid will be made
through the facilities and in accordance with the rules of the TSX.
AutoCanada is Canada's only publicly traded entity with interests
exclusively in the operation of franchised automobile dealerships. Through its
54% interest in AutoCanada LP, it presently owns or manages 21 franchised
automobile dealerships in six provinces and has over 1,070 employees. Through
its owned and managed dealerships, it currently sells Chrysler, Dodge,
Jeep(R), Infiniti, Nissan, Hyundai, Subaru and Mitsubishi branded vehicles. In
2007, its owned and managed dealerships sold approximately 23,300 vehicles,
processed approximately 231,700 service and collision repair orders in
260 service bays, and generated revenue of approximately $835 million.
Additional information about AutoCanada Income Fund is available at
www.sedar.com and the Fund's website at www.autocan.ca.
For further information:
For further information: Tom Orysiuk, CA, Executive Vice-President and
Chief Financial Officer, Phone: (780) 732-3139, Email: email@example.com