WesternOne Equity Income Fund Announces Release of Q1 2009 Financial Results with 47.8% Payout Percentage and Schedules Conference Call

    VANCOUVER, May 12 /CNW/ - WesternOne Equity Income Fund ("WesternOne
Equity") (Toronto Stock Exchange: WEQ.UN and WEQ.DB) today announced the
release of its financial results for the three months ended March 31, 2009.
    The results, consisting of WesternOne Equity's unaudited interim
financial statements for the three months ended March 31, 2009, and
Management's Discussion and Analysis ("MD&A") dated May 12, 2009, are
available on SEDAR (www.sedar.com).

    Financial Highlights

    Summary Financial Overview                 Three months ended
    (unaudited)                                     March 31
    ($000's except unit amounts)       2009       2008     Var ($)    Var (%)
    Revenue                        $ 14,100   $  7,367   $  6,733      91.4%
    Gross Profit                      9,092      5,173      3,919      75.8%
    Gross Margin                      64.5%      70.2%
    EBITDA(1)                         5,012      2,349      2,663     113.4%

    Distributable Cash
     Generated(1)                  $  4,300   $  1,980   $  2,320     117.2%
    Distributions Declared            2,057      1,771        286      16.1%
    Distributable Cash per Unit(2)   0.3163     0.1677
    Distributions Declared per Unit  0.1500     0.1500

    Payout Percentage                 47.8%      89.5%
    Coverage Ratio                    2.09x      1.12x

    (1) See definition of EBITDA, and Distributable Cash under "Non-GAAP
        Measures" below.
    (2) Calculated based on weighted average number of units.

    "WesternOne Equity continues to enhance its unitholders' value through
its growth strategy that gives rise to diversified product and service
offerings in expanded geographical markets," said Mr. Darren Latoski, Chief
Executive Officer. "Our Q1 financial results benefited from a successful
operation in northern Alberta during the second half of the construction
heater season. Our acquisition of the businesses of Davis Heater Service Ltd.
and Sure-Fire Propane Ltd. on October 1, 2008 and the subsequent integration
with WesternOne Equity's other operations yielded incremental earnings that
helped offset declines form other business lines, and gave rise to an
impressive 47.8% payout percentage for the quarter."
    "The economic downturn continues to present challenges to our business
environment, particularly in the residential construction sector," stated Mr.
Latoski. "We believe diversifying our businesses through accretive
acquisitions remains an effective strategy to create synergies within our
business network and address the impact from the current downturn through
effective cross-selling and fleet deployment. This will strengthen our
position to generate operating cash flow and continue to deliver stable
distributions to our unitholders."

    Conference Call

    Darren Latoski, CEO, and Carlos Yam, CFO, of WesternOne Equity GP Inc.
will host a conference call 4:30 pm (Eastern time), 1:30 pm (Pacific time), on
Thursday, May 14, 2009, to review the financial results and corporate
developments for the three months ended March 31, 2009.
    To participate in this conference call, please dial one of the following
numbers approximately 10 minutes prior to the commencement of the call, and
ask to join the WesternOne Equity conference call.

    Dial in numbers:     Toll Free from Canada and USA ........1-866-212-4491
                         International or Local Toronto........1-416-800-1066

    Conference Call Replay:

    If you cannot participate on May 14, a replay of the conference call will
be available by dialing one of the following replay numbers. You will be able
to dial in and listen to the conference 60 minutes after the meeting end time,
and the replay will be available until May 21, 2009. Please enter the Replay
IDNo. 2589493 followed by the number key.

    Replay Dial In       Toll Free from Canada or the USA......1-866-583-1035

    Forward Looking Information

    Certain statements in this press release may constitute "forward looking"
information that involves known and unknown risks, uncertainties and other
factors, and it may cause actual results, performance or achievements or
industry results, to be materially different from any future results,
performance or achievements expressed or implied by such forward-looking
information. Forward-looking information is identified by the use of terms and
phrases such as "anticipate", "believe", "could", "estimate", "expect",
"intend", "may", "plan", "predict", "project", "will", "would", and similar
terms and phrases, including references to assumptions. Such information may
involve but is not limited to comments with respect to strategies,
expectations, planned operations or future actions.
    Forward-looking information reflects current expectations of management
regarding future events and operating performance as of the date of this press
release. Such information involves significant risks and uncertainties, should
not be read as guarantees of future performance or results, and will not
necessarily be accurate indications of whether or not such results will be
achieved. A number of factors could cause actual results to differ materially
from the results discussed in the forward-looking information, including, but
not limited to, the following factors: reliance on key personnel, financial
health of WesternOne Equity's subsidiaries and their related cash flows,
failure to realize anticipated benefits of acquisitions, regulation, general
economic conditions and levels of economic activity, current financial
conditions, growth initiatives, competition, interest rates, labour shortages,
employee relations, seasonality, resale of rental equipment, equipment
availability, supply disruptions, environmental regulation and health and
safety matters, import product restrictions and foreign trade risks, financing
constraints, insurance coverage, dependence on information systems and
technology, dependence upon WesternOne Equity LP to fund cash distributions,
cash distributions are not guaranteed and will fluctuate with the performance
of subsidiaries, distributions are discretionary, nature of the Units, limited
liability, unpredictability and volatility of Unit prices, attributes of
securities distributed on redemption of Units and termination of WesternOne
Equity, dilution, leverage and restrictive covenants, investment eligibility,
impact of changes to tax treatment of income trusts or dividend tax credits,
taxation of WesternOne Equity and WesternOne Equity LP, nature of
distributions, limitations on future growth and cash flow, restrictions on the
ownership of units by non-residents of Canada, indemnities under acquisition
agreements and unitholders are not afforded certain statutory rights. A
description of these factors can be found under "Risks and Uncertainties" in
WesternOne Equity's MD&A dated May 12, 2009, which is available on SEDAR
    Although the forward-looking information contained in this press release
is based upon what the WesternOne Equity's management believes to be
reasonable assumptions, WesternOne Equity cannot assure investors that actual
results will be consistent with such information. Forward-looking information
reflects management's current beliefs and is based on information currently
available to WesternOne Equity. Such information reflects current assumptions
regarding future events and operating performance including, without
limitation, stability in the economy in western Canada, interest rates and the
equipment rental and sales and fuel wholesale markets in which WesternOne
Equity operates, and speaks only as of the date of this press release. The
forward-looking information is made as of the date of this press release and
WesternOne Equity assumes no obligation to update or revise such information
to reflect new events or circumstances, except as may be required by
applicable law.

    Non-GAAP Measures

    References in this press release to "EBITDA" are to earnings before
interest, income taxes, depreciation, amortization, accretion, loss on
financial derivatives relating to the recording of the fair market value of
the fixed interest rate swap, foreign exchange gains/losses, and write-down of
fleet assets, intangible assets and goodwill. EBITDA is a measure used by many
investors to compare issuers on the basis of ability to generate cash flow
from operations. EBITDA is not an earnings measure recognized by GAAP, does
not have standardized meanings prescribed by GAAP and is therefore unlikely to
be comparable to similar measures presented by other issuers. WesternOne
Equity's management believes that EBITDA is an important supplemental measure
in evaluating WesternOne Equity's performance and in determining whether to
invest in Units.
    Readers of this information are cautioned that EBITDA should not be
construed as an alternative to net income or loss determined in accordance
with GAAP as indicators of WesternOne Equity's performance or to cash flows
from operating, investing and financing activities as measures of WesternOne's
liquidity and cash flows. WesternOne Equity's method of calculating EBITDA may
differ from the methods used by other issuers and, accordingly, WesternOne
Equity's EBITDA may not be comparable to similar measures presented by other
    References in this press release to "Distributable Cash" are to cash
available for distribution to the unitholders by WesternOne Equity.
Distributable Cash is not a recognized measure under GAAP and does not have a
standardized meaning prescribed by GAAP. Canadian open-ended income trusts,
such as WesternOne Equity, use distributable cash as an indicator of financial
performance and it should not be seen as a measurement of liquidity or a
substitute for comparable metrics prepared in accordance with GAAP. WesternOne
Equity's Distributable Cash may differ from similar computations as reported
by other issuers and, accordingly, may not be comparable to distributable cash
as reported by such issuers. WesternOne Equity's management believes that, in
addition to net income, Distributable Cash is a useful supplemental measure
that may assist investors in assessing the return on their investment in

    About WesternOne Equity

    WesternOne Equity seeks to acquire equipment and infrastructure related
businesses located primarily in the western Canadian provinces of British
Columbia, Alberta and Saskatchewan, in order to generate stable and growing
distributions to its unitholders as well as to achieve overall capital

    Additional Information

    Additional information relating to WesternOne Equity, including
WesternOne Equity's Annual Information Form and other public filings, is
available on SEDAR at www.sedar.com or on WesternOne Equity's website at

    Trading Symbols
    Toronto Stock Exchange: WEQ.UN and WEQ.DB


For further information:

For further information: Carlos Yam, Chief Financial Officer, WesternOne
Equity Income Fund, Suite 910, 925 West Georgia Street, Vancouver, BC, V6C
3L2, Phone: (604) 678-4042, E-mail: cyam@weq.ca; Investor Relations: For
investor relations information, please contact: Andrew Greig, Manager of
Investor Relations, WesternOne Equity Income Fund, Suite 910, 925 West Georgia
Street, Vancouver, BC, V6C 3L2, Phone: (604) 678-4042, E-mail: agreig@weq.ca

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