MONTREAL, Nov. 25 /CNW Telbec/ - Reitmans (Canada) Limited (the "Corporation") announced today that it has received approval from the Toronto Stock Exchange ("TSX") to proceed with a normal course issuer bid. Under the bid, the Corporation may purchase up to 2,728,972 Class A Non-Voting Shares of the Corporation (the "Shares"), representing 5% of the issued and outstanding Class A Non-Voting Shares as at November 23, 2009. The average daily trading volume for the 6-month period preceding November 1, 2009 is 84,048 Shares. In accordance with TSX rules, a maximum daily repurchase of 25% of this average may be made, representing 21,012 Shares.
The bid will commence on November 28, 2009 and may continue to November 27, 2010. The Shares will be purchased on behalf of the Corporation by a registered broker through the facilities of the TSX. The price paid for the Shares will be the market price at the time of acquisition, and the number of Shares purchased and the timing of any such purchases will be determined by the Corporation's management. All Shares purchased by the Corporation will be cancelled. The Corporation currently has 54,579,456 Shares outstanding. During the past 12 months, the Corporation purchased 2,861,350 Shares at a weighted average price of $12.69 pursuant to a normal course issuer bid.
The directors of the Corporation have concluded that purchases of up to 2,728,972 of the issued and outstanding Shares are an appropriate and desirable use of the Corporation's available funds and, therefore, would be in the best interests of the Corporation. As a result of such purchases, the number of issued Shares will be decreased and, consequently, the proportionate share interest of all remaining shareholders will be increased on a pro rata basis.
Montreal, November 25, 2009
Jeremy H. Reitman, President
Telephone: (514) 385-2630
Corporate Website: www.reitmans.ca
All of the statements contained herein, other than statements of fact that are independently verifiable at the date hereof, are forward-looking statements. Such statements, based as they are on the current expectations of management, inherently involve numerous risks and uncertainties, known and unknown, many of which are beyond the Company's control. Such risks include but are not limited to: the impact of general economic conditions, general conditions in the retail industry, seasonality, weather and other risks included in public filings of the Company. Consequently, actual future results may differ materially from the anticipated results expressed in forward-looking statements. The reader should not place undue reliance on the forward-looking statements included herein. These statements speak only as of the date made and the Company is under no obligation and disavows any intention to update or revise such statements as a result of any event, circumstances or otherwise, except to the extent required under applicable securities law.
SOURCE Reitmans (Canada) Limited
For further information: For further information: Jeremy H. Reitman, President, (514) 385-2630; www.reitmans.ca