CanaDream Corporation Reports Strongest Third Quarter Earnings to Date of $2.6 Million

CALGARY, ALBERTA--(Marketwire - March 18, 2011) - CanaDream Corporation (TSX VENTURE:CDN) today announced financial results for the nine months ended January 31, 2011, as follows:

Revenues for the period of $21.0 million is 7% higher than the prior period (nine months ending January 31, 2010), cash flow from operations of $7.0 million (35 cents per share) is 40% higher than the prior period, net income and comprehensive income of $2.7 million is 38% higher than the prior period.

The Company encourages interested parties to access CanaDream Corporation's Management Discussion and Analysis (MD&A) on the SEDAR website, www.sedar.com, for a more detailed discussion of these results.

Summarized results for the nine months ended January 31, 2011 are as follows:

	Nine months ended January 31,
	2011		2010		Change
Revenue	$	21,034,000	$	19,576,000	7%
Revenue less direct expenses	$	11,404,000	$	9,502,000	20%
Income before income tax	$	3,605,000	$	2,807,000	28%
Net and comprehensive income	$	2,655,000	$	1,925,000	38%
Cash flow from operations	$	7,023,000	$	5,012,000	40%
Basic earnings per share		13.4 cents		10.5 cents	29%
Fully diluted earnings per share		13.2 cents		10.3 cents	29%
Common shares outstanding		19,752,657		19,752,657
Weighted average number of common shares outstanding		19,752,657		18,281,357

Income before income taxes of $3.6 million increased $798,000, or 28%, from the prior period. On a fully diluted basic earning per share increased 3.0 cents, or 29%.

Revenues increased $1.5 million, or 7%. Rental revenue increased $2.0 million due to increased rental nights; however, this is offset by a $500,000 decrease in fleet sales revenue. The increase in revenues combined with the $444,000 decrease in direct expenses resulted in the gross margin increase of $1.9 million, or 20%.

Investment in rental fleet was $30.1 million at January 31, 2011, an increase of $12.2 million from April 30, 2010. The investment in fleet inventory available for sale was $3.6 million at January 31, 2011, a decrease of $1.6 million from April 30, 2010 year-end levels. Fleet, capital asset and other financing increased $9.5 million, or 53%, to $27.5 million from April 30, 2010.

The Company's short-term liquidity position (cash and cash equivalents plus accounts receivable and short term deposits, minus accounts payable and accrued liabilities) stands at $1.9 million compared to $760,000 at April 30, 2010.

It should be noted that the Company's core business, rental of recreational vehicles, is seasonal in nature with the majority of its revenue being earned during the May to October period, its first and second quarters. The majority of the company's direct expenses are incurred in that same period. The Company markets rental units and fleet inventory available for sale on a continuous basis throughout the year, however sales of such units are generally strongest in the spring and early summer. As a result of ongoing interest, amortization and adjustments and selling, general and administrative expenses, the last two quarters of the fiscal year normally produce operating losses. Losses incurred in the last two quarters may exceed profits earned in the first two quarters of the fiscal year.

The financial data included in this release has been prepared in accordance with Canadian generally accepted accounting principles (GAAP), except for the term cash flow from operations per share. Cash flow per share is a measure that provides shareholders and potential investors with additional information regarding the Company's liquidity and its ability to generate funds to finance its operations.

CanaDream is a Canadian tourism company that is utilizing its proprietary business-to-business web-enabled system, <www.canadasbest.com>, and its business-to-consumer on-line Internet reservation system, <www.canadream.com>, to operate and expand its network of RV rental locations in Canada. CanaDream maintains six Company-operated locations in Calgary, Vancouver, Whitehorse, Toronto, Montreal, and Halifax. CanaDream now offers a global RV solution by partnering with Apollo Motorhome Holidays in Australia, New Zealand and the USA. The Company is also leveraging its proprietary technology to build a collective membership network of associate dealers that are fully interconnected to CanaDream's e-commerce systems. CanaDream currently has two associate dealer franchisees in Kelowna, British Columbia and Edmonton, Alberta.