CALGARY, April 30, 2012 /CNW/ - Winalta Inc. (TSX-V: WTA) ("Winalta" or the "Company") is pleased to announce that after a successful transition year, strong operational performance and attaining a solid financial position, the Board of Directors has approved implementation of a quarterly dividend policy. The first dividend will be $0.01 per share and will be paid on May 31, 2012 to shareholders of record on May 14, 2012. This dividend is an eligible dividend for Canadian tax purposes.
The Company has successfully negotiated certain terms and conditions of its main credit facilities, including the interest rates for both the operating line and term facility which have been reduced from prime base plus 2.0% and 3.0% to 1.25% and 1.75% respectively. The company was also successful in extending the term of its facilities from one year to two years, with a new due date of April 30, 2014. The operating loan facility is secured by accounts receivable and the term loan facility is secured by the oilfield equipment rental assets. There were no other material changes to the credit limits, or any other key terms of the facilities.
Winalta Inc., operating under the trade name, Winalta Oilfield Rentals, is an oilfield service provider that specializes in portable industrial rental accommodations, remote offices and Dedicated Geo Labs; servicing the Western Canadian oil and gas Industry.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain information set forth in this press release, including management's assessment of the timing of future dividend payments may constitute forward-looking statements. By their nature, forward-looking statements involve material assumptions and are subject to numerous risks and uncertainties, including with respect to market and economic conditions and their impact on the Company's business, some of which, are beyond our control. Readers are cautioned not to place undue reliance on the forward-looking statements as the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and actual results, performance or outcomes could materially differ from those expressed or implied in such forward-looking statements and accordingly, no assurance can be given that any of the events anticipated by forward looking statements will transpire or occur, or if any of them do so, what benefit Winalta will derive therefrom. The Company does not assume the obligation to revise or update this forward-looking information after the date of this release or to revise such information to reflect the occurrence of future unanticipated events, except as may be required under applicable securities laws.
For further information:
David Hopley, CFO
Phone: (780) 960-6900
Austin Fraser, Senior Vice President
Phone: (403) 826-5701