SOURCE: Maine & Maritimes Corporation

July 11, 2005 12:00 ET

MAM Board of Directors Affirms Growth Strategy

PRESQUE ISLE, ME -- (MARKET WIRE) -- July 11, 2005 -- J. Nick Bayne, President and CEO of Maine & Maritimes Corporation (AMEX: MAM) announced today that MAM's Board of Directors have reaffirmed the Company's diversification and growth strategy, authorizing Management to implement a comprehensive capital formation strategy in support of the Company's growth.

"This affirmation of our growth strategy by our Board of Directors provides the necessary directional guidance to continue our growth and reinvention strategy in support of long-term shareholder value. Having begun our growth strategy approximately one year ago, it is critical that we continue full implementation of our strategy, increasing our scale of operations, enhancing revenues, expanding our product and service offerings, and improving our overall profitability. As a small publicly traded entity, increased scale is essential to offset the rising costs of corporate compliance and rising benefits costs, while diversifying our operations to compensate for the impact of deregulation on our overall revenue model," said Bayne.

Since forming Maine & Maritimes in July 2003, the Corporation's strategy has focused on a diversified portfolio approach, addressing opportunities in the areas of facilities infrastructure renewal and sustainable use of resources within New England and Atlantic Canada, through a combination of engineering, technology and asset development offerings. According to Bayne, "As energy prices soar and reliability becomes more questionable, we find a pressing need in North American to address the spiraling financial exposure of deferred maintenance liabilities and to alter facilities emissions to curb the impacts of global warming. It is clear that North America faces a combination of physical infrastructure, energy, environmental and economic challenges that must be addressed if we are to achieve a sustainable environment and society. We are firmly committed to expanding the operations of The Maricor Group and Maricor Technologies, in both the United States and Canada, to address these pressing issues, while creating increased opportunities to improve shareholder value and our financial performance."

"Growth through acquisitions is a critical part of our overall strategy. We see significant opportunities in the market to consolidate and expand operations within the sustainable engineering and development markets. Achieving this goal will be dependent upon our ability to raise the necessary capital to fully implement our strategy, while ensuring our conservative approach to growth and ensuring continuing shareholder value, both in terms of share price growth and yield. Our Board of Directors has authorized Management to continue implementation, during the coming months, of a comprehensive financial strategy, as more fully described in our annual report on Form 10-K, in support of our growth plans that may involve a combination of strategic partners or investors, as well as debt and equity offerings. This comprehensive and conservative strategy helps to ensure a conservative approach to MAM's debt-to-equity ratio, while striving to ensure future growth is both accretive and non-dilutive," according to Bayne.

Maine & Maritimes Corporation is the parent company of Maine Public Service Company, a regulated electric transmission and distribution utility serving portions of Northern Maine. MAM is also the parent company of The Maricor Group, its Canadian subsidiary, The Maricor Group, Canada Ltd, and its US subsidiary RES Engineering, Inc., both engineering, asset development and lifecycle asset management services companies; Maricor Properties Ltd, a Canadian real estate development and investment company, and its Canadian subsidiary Mecel Properties Ltd; and Maricor Technologies, Inc., an asset lifecycle and capital planning information technology based subsidiary. MAM is headquartered in Presque Isle, Maine and its subsidiaries maintain offices in Moncton and Saint John, New Brunswick, Canada; Halifax, Nova Scotia, Canada; Boston, Massachusetts, and Portland, Maine. MAM's corporate website is www.maineandmaritimes.com

Note: This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended. Although Maine & Maritimes Corporation (MAM) believes that in making such statements , its expectations are based on reasonable assumptions, any such statement involves uncertainties and risks. MAM cautions that there are certain factors that can cause actual results to differ materially from the forward-looking information that has been provided. The reader is cautioned not to put undue reliance on this forward-looking information, which is not a guarantee of future performance and is subject to a number of uncertainties and other factors, many of which are outside the control of MAM; accordingly, there can be no assurance that such indicated results or events will be realized. This information herein is qualified in its entirety by reference to factors contained in the Forward-Looking Statement of the Management's Discussion and Analysis of Financial Condition and Results of Operation in Maine & Maritimes Corporation's Form 10-K for the year ended December 31, 2004, and subsequent securities filings.

No offer is made above for the sale of any securities, nor is any solicitation made for any offers to purchase any securities.

Contact Information

  • For More Information Contact:

    Annette N. Arribas
    Vice President, Investor Relations and Treasurer
    (207) 760-2402
    Email Contact

    Michael Randall
    Vice President, Marketing, Communications and Government Relations
    (506) 852-7523
    Email Contact