West 49 Inc. rejects Adrenalina's unsolicited proposal

    Toronto Stock Exchange Symbol: WXX

    BURLINGTON, ON, May 5 /CNW/ - West 49 Inc. (TSX: WXX) (the "Company"),
announced today that its board of directors had considered the press release
issued by Adrenalina Inc. announcing its unsolicited proposal to enter into
negotiations to acquire West 49 Inc. for an unspecified combination of shares
of Adrenalina and cash which Adrenalina indicated would equate to a price of
Cdn.$0.55 cents per share, subject to, among other things, Adrenalina
obtaining the requisite financing.
    West 49 Inc.'s board of directors has unanimously rejected the
unsolicited proposal as it does not believe that pursuing Adrenalina's
proposal is in the best interests of West 49 Inc. or its shareholders. The
board of directors noted that Adrenalina is an unlisted U.S. public company
that has recently indicated that it does not have the financial resources to
file its legally required annual report, that has an unproven business model
and operates a very small number of highly expensive retail stores in the
U.S., and that has recently made a similar and unsuccessful unsolicited
attempt to acquire Pacific Sunwear of California, Inc.
    West 49 Inc. affirms that it has had no prior discussions with Adrenalina
regarding this or any other type of potential transaction and is not aware of
any interest previously expressed by Adrenalina in West 49 Inc.'s business.

    About West 49 Inc.

    West 49 Inc. is a leading Canadian specialty retailer of fashion and
apparel, footwear, accessories and equipment related to the youth action
sports lifestyle. The Company's stores, which are primarily mall-based, carry
a variety of high-performance, premium brand name and private label products
that fulfill the lifestyle needs of identified target markets, primarily
tweens and teens. As at January 31, 2009, the Company operated 134 stores in
nine provinces, under the banners West 49, Billabong, Off The Wall,
Amnesia/Arsenic, D-Tox and Duke's Northshore, as well as two ecommerce sites,
www.shop.west49.com and www.boardzone.com. The Company's common shares are
listed on the Toronto Stock Exchange under the symbol WXX. The Company has
approximately 64 million shares outstanding.

    Forward-Looking Statements

    Information in this news release that is not current or historical
factual information may constitute forward-looking information. Implicit in
this information, particularly in respect of future operating results and
economic performance of the Company are assumptions regarding projected
revenue, gross margin and expenses. The assumptions, although considered
reasonable by the Company at the time of preparation, may prove to be
incorrect. Investors are cautioned that forward-looking information involves
known and unknown risks, uncertainties and numerous other factors that may
cause actual results, performance or achievements to be materially different
from any future results, performance or achievements expressed or implied by
the forward-looking information. The following includes some of the factors
that could cause actual results, performance or achievements to differ
materially from those expressed in or implied by any forward-looking
information made by or on behalf of the Company: competition, changes in
demographic trends, changes in consumer preferences and discretionary spending
patterns, changes in business and economic conditions, human resource matters,
legal proceedings, challenges to intellectual property rights, and changes in
laws, regulations, and accounting policies and practices. The foregoing list
of factors is not exhaustive. In formulating the forward-looking information
contained herein, management has assumed that business and economic conditions
affecting the Company's operations will continue substantially in the ordinary
course, including without limitation with respect to industry conditions,
general levels of economic activity, laws, regulations, taxes, foreign
exchange rates, minimum wage rates and interest rates, weather, that there
will be no outbreaks of disease or public safety issues, and that there will
be no unplanned material changes in its facilities, equipment, supplies, with
respect to relations with customers, suppliers, landlords and employees, or
with respect to credit availability, among other things. These assumptions,
although considered reasonable by management at the time of preparation, may
prove to be incorrect. Accordingly, investors should not place undue reliance
on forward-looking information.  The Company includes in publicly available
documents filed from time to time with securities commissions and the Toronto
Stock Exchange, a thorough discussion of the risk factors that can cause
anticipated outcomes to differ from actual outcomes.  Forward-looking
information is provided as of the date of this news release only, it should
not be relied upon as of any other date, and the Company assumes no obligation
to update or revise this information to reflect new events or circumstances,
except as expressly required by law.

For further information:

For further information: Rhonda Biddix, Chief Financial Officer and
Corporate Secretary, West 49 Inc., (905) 336-5454 ext. 224, E-mail:
ir@west49.com; Trevor Heisler, Investor Relations, The Equicom Group Inc.,
(416) 815-0700 ext. 270, E-mail: theisler@equicomgroup.com

Organization Profile


More on this organization

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890