Printera Corporation
TSX : PAC

Printera Corporation

May 11, 2006 17:38 ET

Printera Corporation: Second Quarter Results

TORONTO, ONTARIO--(CCNMatthews - May 11, 2006) - Printera Corporation (TSX:PAC) announced today its results for the fiscal quarter ended March 31, 2006.

Revenues for the quarter decreased to $6.4 million from $8.5 million for the same period in 2005. Year to date revenues decreased to $12.6 million from $15.5 million in 2005. The decline in revenue was the result of the decisions made in 2005 to exit low margin business and the loss of the qualification opportunity with a major US brewer.

Despite the lower revenues, EBITDA for the quarter rose to $0.9 million from $0.7 million in 2005. Year to date EBITDA increased to $1.4 million from $1.1 million for the same period in 2005. The improvements were a result of productivity improvements and cost reductions throughout the business.

Net income for the quarter was $0.1 million compared to a net loss of $0.4 million in 2005. The year to date net loss was $0.4 million compared to a net loss of $0.9 million in the previous year. The improvement was the net result of the higher EBITDA, lower amortization expense, and a gain on sale of an underutilized production asset, offset partially by higher interest expense.

Printera is a producer of high-quality custom labels.

This release contains certain forward-looking statements which involve known and unknown risks, delays, uncertainties and other factors not under the Company's control which may cause actual results, performance or achievements of the Company to be materially different from the results, performance or other expectations implied by these forward-looking statements.

The TSX has not reviewed the contents of this release and is not responsible for its accuracy.

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