Liquidation World Inc.
TSX : LQW

Liquidation World Inc.

April 06, 2006 08:00 ET

Liquidation World Announces 24% Increase in Q2 Revenue

CALGARY, ALBERTA--(CCNMatthews - April 6, 2006) -

18% Same Store Sales Increase follows Record Q1 Sales

Liquidation World Inc. (TSX:LQW) today announces revenue for the thirteen weeks ended April 2, 2006 increased 24.1% to a Q2 record $48.9 million from $39.4 million during the 13 weeks ended April 3, 2005. Same store sales increased 18.4% over the same period.

On a cumulative basis, revenue for the first two quarters of 2006 totalled $106.0 million, a 16.4% increase (13.2% increase in same store sales) from $91.1 million during the 26 weeks ended April 3, 2005. Complete financial results of the second quarter of the 2006 fiscal year will be announced in mid-May 2006.

"Various initiatives adopted last year are contributing to strong sales," said Jonathan Hill, President and CEO. "Our focus on merchandise procurement and management means better, more desirable inventory in appropriate quantities is available in our stores. Marketing activities are better coordinated with merchandise distribution. In addition, modest improvements to certain outlets have been well received by customers. We believe these initiatives are just beginning and anticipate there will be continued improvement as changes are fully implemented then further refined."

About Liquidation World

Liquidation World liquidates consumer merchandise through 106 outlets across North America and also provides store-closure sales management. It solves asset recovery problems in a professional manner for the financial services industry, insurance companies, manufacturers and other organizations. Liquidation World opened its first retail outlet in 1986 and is now the largest liquidator in Canada, with more than 1,800 employees in outlets and offices across Canada and the United States.

This release includes forward-looking statements and potential future circumstances and developments. Forward-looking statements regarding future performance are subject to risks and uncertainties, and actual results may differ materially. Due to fluctuations in gross margins and other expenses, an increase in revenue does not directly correlate to an increase in net earnings.

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