Menu Foods Income Fund
TSX : MEW.UN

Menu Foods Income Fund

April 28, 2005 16:55 ET

Menu Foods Income Fund Announces Preliminary First Quarter 2005 Results

TORONTO, ONTARIO--(CCNMatthews - April 28, 2005) -

NOT FOR RELEASE OVER US NEWSWIRE SERVICES

Menu Foods Income Fund (TSX:MEW.UN) announced today preliminary financial results for the three months
ended March 31, 2005. Based on preliminary financial information for the first quarter, the Fund expects to
report sales for the first quarter of approximately $84.8 million, compared to $90.6 million in the first
quarter of 2004. The Fund also expects that it will report earnings before interest, taxes, depreciation,
amortization and non-controlling interest (EBITDA) of approximately $8.3 million, compared to $11.5 million
for the same period last year. The decline in EBITDA is primarily due to reduced can sales to the Fund's
largest customer, the appreciation in the Canadian dollar relative to the United States dollar as compared
to that relationship in the first quarter of the prior year and to increases in cost of goods sold. The
Trustees of the Fund will consider the impact of these financial results on distributions prior to the
declaration of the Fund's May distribution.

The Fund emphasizes that these results are unaudited and preliminary. The final financial results for the
three months ended March 31, 2005 will be reported on Thursday May 12, 2005 prior to the Fund's annual
general meeting.

Menu is the leading North American private-label/contract manufacturer of wet pet food products sold by
supermarket retailers, mass merchandisers, pet specialty retailers and other retail and wholesale outlets.
Menu currently produces more than one billion containers per year.

Certain statements in this press release are "forward-looking statements", which reflect management's
expectations regarding the Fund and Menu's future growth, results of operations, performance, business
prospects and opportunities. Such forward-looking statements reflect management's current beliefs and are
based on information currently available to management. Many factors could cause results to differ materially from the results discussed in the forward-looking statements, including risks related to
dependence on key suppliers, economic conditions, competition, regulatory change, foreign exchange rates
and interest rates, among others. Although the forward-looking statements are based on what management
believes to be reasonable assumptions, the Fund and Menu cannot assure investors that actual results will
be consistent with these forward-looking statements. These forward-looking statements are made as of the
date of this report, and neither the Fund nor Menu assumes any obligation to update or revise them to
reflect new events or circumstances.

EBITDA is not a recognized measure under Canadian generally accepted accounting principles (GAAP).
Management believes that in addition to net income, EBITDA is a useful supplemental measure of operating
performance as it provides investors with an indication of cash available for distribution prior to debt
service, capital expenditures and income taxes.

Investors should be cautioned, however, that EBITDA should not be construed as an alternative to net income
determined in accordance with GAAP as an indicator of Menu's performance or to cash flows from operating,
investing and financing activities as a measure of liquidity and cash flow. Menu's method of calculating
EBITDA may differ from other companies and, accordingly, EBITDA may not be comparable to measures used by
other companies.

Contact Information

  • Menu Foods GenPar Limited
    Mark Wiens
    Chief Financial Officer
    (905) 826-3870