Arctic Glacier Income Fund

Arctic Glacier Income Fund

November 01, 2007 10:48 ET

Arctic Glacier Acquires Operations of Kar Ice of Barstow, California

Acquisition Enhances Market Coverage of California

WINNIPEG, MANITOBA--(Marketwire - Nov. 1, 2007) - Arctic Glacier Income Fund (TSX:AG.UN) today announced its operating subsidiary, Arctic Glacier Inc., has acquired the assets and operations of Kar Ice Service Inc. of Barstow, California.

The acquisition expands Arctic Glacier's already significant market coverage of California and contributes additional annual revenues in excess of US$2 million.

"The acquisition of Kar Ice provides Arctic Glacier with a strong foothold in the fast-growing and highly populated area northeast of Los Angeles," said Keith McMahon, President and Chief Executive Officer of Arctic Glacier. "With our expanded capacity and strategically located production and distribution facilities, Arctic Glacier will be poised to capitalize on this growth, in addition to expanding our current footprint in the lucrative southern California market."

Kar Ice operates two facilities - a production plant in Barstow and a distribution centre in Lancaster, both located northeast of Los Angeles. Barstow is located on the Interstate 15 corridor, halfway between Los Angeles and Las Vegas, and is the transportation hub to the western Mojave Desert. Lancaster, located 70 miles north of Los Angeles, is in one of the fastest growing areas of southern California. The Lancaster distribution centre is four years old, a strategic distribution point for Kar's service area in the northern Los Angeles metropolitan market.

Kar Ice has a long history in the California ice market. The company was founded in the early 1900s and has operated as Kar Ice since the early 1950s. The company's current President, Tom Lewis, and his family acquired it in 1977.

"We are pleased that Arctic Glacier, with its excellent industry reputation, is acquiring Kar Ice," said Mr. Lewis. "I will work with the Arctic Glacier management team during a transitional period, to ensure the successful integration of operations."

About Arctic Glacier

Arctic Glacier Income Fund, through its operating company, Arctic Glacier Inc., is a leading producer, marketer and distributor of high-quality packaged ice in North America under the brand name of Arctic Glacier® Premium Ice. Arctic Glacier operates 38 manufacturing plants and 54 distribution facilities across Canada and the northeast, central and western United States servicing more than 70,000 retail accounts.

Arctic Glacier Income Fund trust units are listed on the Toronto Stock Exchange under the trading symbol AG.UN. There are 38.9 million trust units outstanding.

Forward-Looking Statements

This news release contains forward-looking statements, which are subject to certain risks, uncertainties and assumptions. A number of factors could cause actual results to differ materially from the results discussed in these forward-looking statements, and there is no assurance that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as at the date of this news release, and the Fund assumes no obligation to update or revise them, either publicly or otherwise, to reflect new events, information or circumstances.

The Toronto Stock Exchange does not approve or disapprove of the adequacy or accuracy of this release.

Contact Information

  • Arctic Glacier Income Fund
    Keith McMahon
    President & CEO
    Arctic Glacier Income Fund
    Doug Bailey
    Chief Financial Officer