Canadian Equipment Rental Fund Limited Partnership Announces 2006 Year End Results and Special Distribution

    TSX Venture Symbol: CFL.UN

    CALGARY, April 13 /CNW/ - Mr. Wayne Wadley, President of CERF GP Corp.,
the general partner of Canadian Equipment Rental Fund Limited Partnership (the
"Partnership") announces financial and operating results for the year ended
December 31, 2006. Based on the strong financial performance over the past
year, the board of directors of the general partner has declared that, in
addition to the previously announced distribution on March 15, 2007 of
13 cents per unit, a special distribution will also be made. The special
distribution, in the amount of $0.065 per unit, will be made to unitholders of
record as of April 20, 2007. The special distribution is not inductive of
future performance but the general partner expects to continue distributions
on a quarterly basis.

    Highlights from the past year include:

    -   More than doubled revenue from $4,657,000 to $10,169,000.

    -   Increased net income by 289% from $588,000 to $2,291,000.

    -   Net income per unit tripled from $0.21 in 2005 to $0.63 in 2006.

    -   Equity more than tripled from $2,145,000 at the end of 2005 to
        $7,587,000 in 2006 while the number of partnership units outstanding
        increased by only 63% to 5,114,119 from 3,136,301.

    -   Raised $4 million in equity in the fall which helped us grow our
        fleet asset base from $4.3 million to $9 million. We saw some benefit
        of that investment in the form of increased revenues in the last
        quarter of 2006. The majority of the benefits of our investment will
        come through in 2007 and later, as we go forward into yet another
        projected record year.

    -   All of these record results were achieved in conjunction with total
        cash distributions of $1,249,494 to the unitholders.

    Mr. Wadley comments, "Since our inception, we had identified three key
strategic initiatives that we continue to actively pursue. We're focused on
driving up revenue, margin growth and increasing our return on capital by
meeting our customers' needs. We feel that we have made excellent progress in
achieving these initiatives in 2006 and will continue our pursuit in 2007.
    Strong results for the three prior quarterly reporting periods translated
into a very solid year end result for the Partnership. Revenues increased 118%
from the previous nine month reporting period of December 31, 2005. This
growth was stimulated by high customer demand coupled with net additions to
the rental fleet of $6,060,931. The $4,000,000 financing closed in October
provided for much of this fleet expansion. The management team was able to
quickly turn some of this capital into equipment that was delivered into the
field and generating rental revenue. More importantly, operating margins
increased from 36% to 45% year over year due to the increased fleet and
economies of the larger scale of operations. A decrease in the operating
expenses as a percentage of non-sales revenue reflects higher revenue for 2006
compared to semi-fixed costs such as rent, labour and vehicle operating costs.
    Along with our customers, we're proud to be a part of the development and
growth of Alberta's infrastructure. The diversity of projects that our
customers work on is quite remarkable. Our rental equipment has been used for
a wide range of markets including residential, commercial and industrial
projects. To name just a few examples, our customers have built theatres,
student residences and condominiums as well as maintained industrial stacks at
refineries and concrete plants. They have even used our equipment to repair
golf greens, heat hot chocolate at the Heritage Classic Hockey Game, remove
moisture and cure concrete. Their needs are virtually endless and we have been
fortunate to be part of their success.
    There is every indication that 2007 will continue to be another strong
year. Contractors in various industries still report a backlog of projects
slated for the upcoming year. They report the complexity of their projects to
build on time and on budget while dealing with manpower shortages, building
code changes and increasing safety requirements has challenged them to look at
how they currently conduct their business. One of the alternatives they've
looked at is how rental equipment plays a role in managing these issues. It
has been our mission to empower our customers with the equipment knowledge
they need to make informed decisions. For these reasons, we continue to see
more companies regard their need for rental equipment as a necessary component
of project planning process. In comparison to the European market which is at
60% market saturation, the demand for rentals in North America is still in its
infancy at less than 50% and each year we continue to see increased demand for
rental equipment in all sectors."

    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.


    Balance Sheets
                                                  December 31,   December 31,
                                                         2006           2005


    Current assets:
      Accounts receivable                        $  3,581,326   $  1,888,359
      Inventory and other                             452,601        397,200
                                                    4,033,927      2,285,559

    Property and equipment                          9,054,413      4,265,327

    Prepaid rent                                       88,200         88,200

                                                 $ 13,176,540   $  6,639,086

    Liabilities and Partners' Equity

    Current liabilities:
      Bank indebtedness                          $    150,059   $    560,749
      Accounts payable and accrued liabilities      1,629,045        983,365
      Distributions to partners payable               562,553              -
      Callable bank debt                                    -        340,060
      Current portion of long-term debt               763,584        477,901
                                                    3,105,241      2,362,075

    Long-term debt                                  1,967,997      1,331,625

    Notes payable                                     300,000        800,000
                                                    5,373,238      4,493,700

    Partners' equity                                7,587,433      2,145,386

    Contributed surplus                               215,869              -

                                                 $ 13,176,540   $  6,639,086


    Statements of Operations
                                                                 Nine months
                                                   Year ended          ended
                                                  December 31,   December 31,
                                                         2006           2005

    Revenues:                                    $ 10,169,191   $  4,657,210

      Cost of sales                                 1,723,818        557,692
      General and administrative                      580,710        388,130
      Interest on long term debt                      237,428        129,085
      Operating                                     3,819,495      2,421,515
      Stock based compensation                        244,774              -
      Amortization of property and equipment        1,271,845        563,327
                                                    7,878,070      4,059,749

    Income before income taxes                      2,291,121        597,461

    Income taxes                                            -          9,057

    Net income for the period                    $  2,291,121   $    588,404

    Net income per unit
      Basic                                      $       0.63   $       0.21
      Diluted                                    $       0.61   $       0.21

    %SEDAR: 00022335E

For further information:

For further information: Wayne Wadley, President & CEO at (403)
850-4095, by fax at (403) 261-3834, by email at or Ken
Stephens, CFO at (403) 298-8695, by email at

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