BFI Canada Income Fund

BFI Canada Income Fund

April 05, 2007 09:06 ET

BFI Canada Income Fund Announces Closing of $93 Million Offering of Trust Units ("Units")

TORONTO, ONTARIO--(CCNMatthews - April 5, 2007) -


BFI Canada Income Fund (the "Fund") (TSX:BFC.UN) announced today that it has successfully completed its previously announced offering of 3,100,000 Units. In addition, the underwriters have exercised their option to acquire an additional 465,000 Units at the closing, resulting in total gross proceeds of approximately $93 million.

The Fund intends to use the net proceeds to repay revolving credit facility advances and for general corporate purposes.

"We are pleased to complete a fully subscribed offering, which indicates strong support for our Units in the market," said Keith Carrigan, Vice Chairman and Chief Executive Officer. "In response to the government's tax fairness plan, and in response to our significant growth over the last few years, we believe that it is an opportune time to reset our balance sheet. We will apply the net proceeds to reduce leverage on our U.S. credit through a repayment of our U.S. revolving credit facility. From a free cash flow perspective, the resulting interest savings will principally offset the increase in distributions. This restructuring of our balance sheet provides us with future flexibility relating for our future growth and development activities."

The underwriting syndicate was led by CIBC World Markets Inc. and included TD Securities Inc., National Bank Financial Inc., Scotia Capital Inc., BMO Capital Markets, Merrill Lynch Canada Inc., Blackmont Capital Inc., Genuity Capital Markets, Westwind Partners Inc. and Sprott Securities Ltd.

This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the securities described herein in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to qualification or registration under applicable securities laws of any such jurisdiction. The Units offered by the Fund have not been, nor will be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirement of such Act.

About BFI Canada Income Fund

BFI Canada Income Fund, through its subsidiaries, is one of North America's largest full-service waste management companies, providing non-hazardous solid waste collection and landfill disposal services for municipal, commercial, industrial and residential customers in five provinces and nine U.S. states. Its two brands, BFI Canada and IESI, are leaders in their respective markets and serve over 1.2 million customers with vertically integrated collection and disposal assets. BFI Canada Income Fund's Units are listed on the Toronto Stock Exchange under the symbol BFC.UN.

To find out more about BFI Canada Income Fund (TSX:BFC.UN), visit our website at

Forward-Looking Statements

This document may contain forward-looking statements relating to the Fund's operations or to the environment in which it operates, which are based on the Fund's operations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict, or are beyond the Fund's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. These factors include those set forth in the Fund's Annual Information Form for the year ended December 31, 2006. Consequently, readers should not rely on such forward- looking statements. In addition, these forward-looking statements relate to the date on which they are made. Although the forward-looking statements contained herein are based upon what management believes to be reasonable assumptions, the Fund cannot assure unitholders that actual results will be consistent with these forward looking statements, and the Fund disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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