The Futura Corporation

The Futura Corporation

March 04, 2008 23:35 ET

Futura Wants Proof of Value Creation for Tree Island Unitholders

Offers Assistance Since Current Board Is Running Out Of Time

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 4, 2008) - The Futura Corporation ("Futura") remains committed to enhancing unitholder value at Tree Island Wire Income Fund ("Tree Island" or the "Fund") and, as the Fund's largest investor, will continue to closely monitor the performance of the Board of Trustees following a special meeting of unitholders today. At the meeting, unitholders voted to maintain the incumbent Management Nominees on the Tree Island Board.

"We respect the results of the meeting, and thank the unitholders who supported our initiative to bring needed constructive change to Tree Island. We believe their votes will be influential," said Amar S. Doman, Futura's President and CEO. "The fundamental problems at the Fund have not changed with today's vote and we doubt if the current board can continue to divert attention away from them. Like all unitholders, we will wait and watch for any signs of promised progress when the Board issues the results for the fourth quarter of 2007 within the next few weeks. We hope the Board can prove its claim that its strategy is working since that would be positive for unitholders, but we remain doubtful. The clock is ticking while the value is eroding."

"With more than one out of every three votes being cast against them, the Board now should understand the profound and widespread disappointment about the Fund's recent direction and performance. In the interests of our fellow unitholders, we urge the Trustees to review Tree Island's current strategy and to take steps to address the legitimate concerns of its investors," he said.

Mr. Doman added that Futura will continue to offer its views and constructive advice to the Board on approaches to enhancing value for unitholders and would consider any role in which it could take an active role in strengthening the performance of the Fund.

"If we can help build value, we will," he said. "Futura would have preferred to avoid requisitioning the special meeting but had no alternative that would effectively draw attention to our concerns and protect the value of our investment. We look forward to reviewing the proposed reconstituted 'high-performing' nominees the current Board has promised to nominate for the next annual meeting. Like other unitholders, we only wish the current Board had taken that action sooner and before the special meeting."

About Futura

Futura is a Vancouver, British Columbia based private asset management and investment company. Futura has interests in numerous private and public companies, and specializes in income funds in the building materials sector. Futura is the largest unitholder of Tree Island, with 19.9% of the outstanding units.

Certain statements contained in this press release constitute forward-looking statements. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions as they relate to Futura, the Unitholder Nominees, Tree Island or current Trustees are intended to identify forward-looking statements. Such statements reflect Futura's current views with respect to future events and are subject to certain risks, uncertainties and assumptions. Many factors could cause Tree Island's actual results, performance or achievements that may be expressed or implied by such forward-looking statements to vary from those described herein should one or more of these risks or uncertainties materialize. Such factors include, but are not limited to, economic, business, competitive and regulatory factors.

Contact Information

  • Investors
    Kingsdale Shareholder Services
    Wesley Hall
    Lute & Company
    John Lute
    (416) 929-5883