VANCOUVER, Sept. 18, 2012 /CNW/ - Westshore Terminals Investment Corporation (TSX: WTE) (the "Corporation") announced today that a payment of $24,502,505 (representing $0.33 per unit) will be paid on or before October 15, 2012 to shareholders of record on September 30, 2012 as compared to a distribution of $21,625,317 (representing $0.29125 per unit) for the third quarter of 2011. The Q3 2012 distribution is a dividend only payment and is therefore not comparable with the Q3 2011 distribution which was comprised of a dividend of $0.16 per unit and an interest payment of $0.13125 per unit. The change in distribution payment form results from the corporation's capital restructuring completed in July 2012, and previously reported.
For the eight months ended August 31, 2012, Westshore loaded 18.2 million tonnes as compared to 17.9 million tonnes for the same period in 2011. For Q3 2012, Westshore anticipates it will load approximately 7 million tonnes compared to the 7.4 million tonnes loaded in the same period in 2011. Based on information currently available, Westshore anticipates volumes in 2012 will be approximately the same as in 2011 (notwithstanding the anticipated operational interruptions at the terminal described below), but at higher average loading rates than the average for 2011 as a whole.
Planned interruptions at the terminal occurred during the last week of March and first week of April 2012 (when the chutes in three of the major transfer towers were successfully replaced and the terminal took the opportunity to perform some significant accelerated longer term maintenance and upgrades to the site). Approximately five weeks of additional interruptions will occur commencing at the beginning of October 2012 when a new double rotary railcar dumper will be installed, replacing the old single dumper. These interruptions are a part of previously announced maintenance and capital expansion projects. Following completion of these projects, which are expected by the end of 2012, it is anticipated that the capacity of the terminal will be approximately 33 million tonnes per year, based on certain regular operating assumptions.
The Corporation also announced today that it will introduce a distribution reinvestment plan (the "Plan"). Under the Plan, Canadian resident shareholders will be able to designate that all or a portion of the quarterly distributions payable on their shares be applied towards the purchase of additional shares through the facilities of The Toronto Stock Exchange at prevailing market prices. Participants in the Plan will not pay administrative or brokerage costs associated with the purchase of shares under the Plan.
Computershare Investor Services Inc. ("Computershare") has been appointed as Plan Agent and will be responsible for the administration of the Plan. Computershare will hold shares acquired under the Plan in an account on behalf of Participants.
Further details regarding the Plan, including the documentation to be completed by those shareholders wishing to participate in the Plan, will be made available to shareholders within the next 60 days. The Plan will be applicable to distributions starting in the quarter ended December 31, 2012. The Corporation's predecessor previously had a similar plan that was in existence from June 2007 - December 2010.
The foregoing statements concerning anticipated throughput volumes, duration of operating disruptions and future capacity are forward-looking statements that reflect the current expectations of the Corporation with respect to future events and performance. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether such performance or results will be achieved.
Forward-looking statements are based on information available at the time they are made, assumptions made by management, and management's good faith belief with respect to future events, and will be impacted by and are subject to the risks and uncertainties outlined in the Corporation's Annual Information Form that could cause actual performance or results to differ materially from those reflected in the forward-looking statements, historical results or current expectations.
SOURCE: Westshore Terminals Investment Corporation
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