-Quarterly numbers reflect only one month of combined entity activity-
TSX-V Trading Symbol: FSN
CALGARY, March 5 /CNW/ - Franchise Services of North America Inc. ("FSNA"
or the "Company") announced today its first quarter results for the period
ending December 31, 2006. As the reverse takeover transaction between U-Save
Auto Rental of America, Inc. ("U-Save") and Rent-A-Wreck Capital Inc. was not
completed until November 30, 2006, these results reflect three months'
activity for the Practicar Systems Inc. ("Practicar") subsidiary and only one
month's operation for U-Save. The Company reported Net Income from Operations
of $243,407 USD, compared to a Loss of $(19,485) USD in the prior year.
"We are very pleased to report these results. Practicar reported a profit
for the quarter, compared to a loss in the comparable quarter of the previous
year. The results for U-Save were on target with anticipated results, and this
is a strong start for the newly combined entity," said Robert M. Barton, Chief
Operating Officer of the Company.
In November 2006, U-Save Auto Rental of America, Inc. and Rent-A-Wreck
Capital Inc. completed a reverse takeover transaction. The resulting company,
FSNA, is a publicly traded company on the TSX Venture Exchange. The company
and its subsidiaries own the following brands: U-Save Car & Truck Rental,
U-Save Car Sales, Rent-A-Wreck of Canada, Auto Rental Resource Center, Xpress
Rent A Car and Peakstone Insurance.
U-Save Auto Rental of America, Inc., with its subsidiary Auto Rental
Resource Center, has over 1,100 locations throughout the United States and is
one of North America's largest franchise car rental companies. Having
primarily serviced the local market for the past 25 years, current expansion
plans call for the opening of airport locations in the top 30 markets in the
United States and the major airports in Canada. U-Save currently services 24
airport markets in twelve different states. U-Save Car Sales is a recent
expansion of the U-Save brand into the car sales market.
Practicar Systems Inc. (a wholly owned subsidiary of FSNA) owns the
rights to the Rent-A-Wreck(R) trademark for all of Canada. The Rent-A-Wreck(R)
system operates a network of 50 franchises from coast-to-coast in Canada,
providing a range of vehicle rental, leasing and sales options to its
customers. The Rent-A-Wreck(R) system has been in continuous operation in
Canada since 1976.
Certain information included in this press release is of a
forward-looking nature. Forward-looking information is subject to known and
unknown risks, as well as uncertainties and other factors. Accordingly, actual
results may differ materially from those expressed or implied in
forward-looking information. Some of the risks, uncertainties and other
factors affecting FSNA are discussed in our public filings with the securities
regulatory authorities in Canada. Copies of FSNA's Canadian filings, including
our most recent management information circular, annual information form,
interim financial statements, material change reports and news releases, are
available online at www.sedar.com. Information in this document is presented
as of March 5, 2007 and is subject to change after this date. However, FSNA
disclaims any intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or
The TSX Venture Exchange has in no way passed upon the merits of this
transaction and has neither approved or disapproved the contents of this
For further information:
For further information: on FSNA or any of its operating subsidiaries
contact: Robert M. Barton, Chief Operating Officer, (601) 713-4333,