Extends its operating facility
TORONTO, Nov. 10 /CNW/ - Priszm Income Fund (TSX: QSR.UN) ("Priszm" or the "Company") today announced that the franchise agreements expiring on November 10, 2009 for KFC, Taco Bell and Pizza Hut have been extended by 15 days to November 25, 2009. Although the Company is very close to completing its negotiations with YUM! Restaurants International (Canada), the Company needed some additional time to settle the renewal terms relating to such franchise agreements.
The Company also announced it has signed a 30-day extension of its operating facility with National Bank of Canada on substantially the same terms. The operating facility, which will now mature on January 31, 2010, remains at $5 million. This extension period will give the Company additional time to assess its requirement for accessing an operating line going forward in light of the final renewal terms of the franchise agreements and the current covenants related to its long term facilities.
About Priszm Income Fund
Priszm Income Fund (TSX: QSR.UN) holds approximately a 60 per cent interest in Priszm Limited Partnership, which owns and operates more than 400 quick service restaurants in seven provinces across Canada. The KFC, Taco Bell and Pizza Hut restaurants under Priszm serve more than 1 million customers a week and employ approximately 7,400 people. Currently, more than 100 locations are multi-branded, combining two or more of the Fund's restaurant concepts.
To find out more about Priszm Income Fund (TSX: QSR.UN), visit our website at http://www.priszm.com.
Certain information in this document may constitute forward-looking statements within the meaning of securities laws that involve known and unknown risks, uncertainties, future expectations and other factors with respect to industry sector performance, business plans, activities, trends and events anticipated by the Priszm Income Fund (the "Company") and which may cause the Company's future performance and results to be materially different from those implied by the forward-looking information. In some cases, forward-looking statements can be identified by terminology such as "may," "will," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict," "potential," "continue," or the negative of these terms or other comparable terminology concerning matters that are not historical facts. Forward-looking information is based on certain factors and assumptions regarding, among other things, the number of restaurants, the renewal of the franchise agreement, the industry sector performance, business plans, activities, trends and events anticipated by the Company. Although the Company believes that the assumptions underlying such statements are reasonable, any of the assumptions may prove to be inaccurate and, as a result, the forward-looking information may prove to be incorrect. The forward-looking information, assumptions and statements reflect the views of the Company's management with respect to future events and outcomes as of the date of this document and there should be no expectation that such information will be updated, revised and/or supplemented whether as a result of new information, changing circumstances, future events or other cause. Actual events or outcomes may be materially different and cause the performance of the Company to differ materially from any forward-looking statement.
SOURCE PRISZM INCOME FUND
For further information: For further information: Trish Moran, (416) 739-2906, firstname.lastname@example.org