RONA Announces Closing of Over-Allotment Option

BOUCHERVILLE, QUEBEC--(Marketwire - March 1, 2011) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR  FOR DISTRIBUTION TO U.S. WIRE SERVICES

RONA inc. ("RONA") (TSX:RON)(TSX:RON.PR.A), Canada's largest distributor and retailer of hardware, renovation and gardening products, today announces that it has closed the sale of an additional 900,000 5.25% Cumulative 5-Year Rate Reset Series 6 Class A Preferred Shares (the "Series 6 Class A Preferred Shares") at a price of $25.00 per Series 6 Class A Preferred Share. This follows the exercise in full by the underwriters of the over-allotment option in connection with the Company's previously announced bought deal public offering of up to 6,900,000 Series 6 Class A Preferred Shares (the "Offering") led by National Bank Financial Inc. and BMO Capital Markets, acting as joint bookrunners. As a result of the exercise of the over-allotment option, the aggregate gross proceeds to RONA pursuant to the Offering now total $172,500,000.

As previously disclosed, this equity issue will further strengthen RONA's balance sheet, diversify its sources of financing and increase its financial flexibility in order to continue to execute the Company's strategic plan. RONA intends to use the net proceeds of the Offering to reduce indebtedness, contribute to the funding of future acquisitions, capital projects and for general corporate purposes.

The Series 6 Class A Preferred Shares have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons, absent registration or an applicable exemption from registration requirements. This News Release does not constitute an offer to sell or the solicitation of an offer to buy any security, and shall not constitute an offer, solicitation, or sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

FORWARD-LOOKING STATEMENTS

This News Release includes "forward-looking statements" that involve risks and uncertainties. All statements other than statements of historical facts included in this News Release, including statements regarding the prospects of the industry and prospects, plans, financial position and business strategy of the Company, may constitute forward-looking statements within the meaning of the Canadian securities legislation and regulations. Investors and others are cautioned that undue reliance should not be placed on any forward-looking statements. The forward-looking statements in this News Release reflect the Company's expectations as at March 1, 2011, and are subject to change after this date. The Company expressly disclaims any obligation or intention to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by the applicable securities laws. For more information on the risks, uncertainties and assumptions that would cause the Company's actual results to differ from current expectations, please also refer to the Company's public filings available at www.sedar.com and www.rona.ca. In particular, further details and descriptions of these and other factors are disclosed in the MD&A under the "Risks and uncertainties" section and in the "Risk factors" section of the Company's current Annual Information Form.

About RONA

RONA is the largest Canadian distributor and retailer of hardware, home renovation and gardening products. RONA operates a network of more than 950 corporate, franchise and affiliate stores of various sizes and formats. With close to 30,000 employees working under its family of banners in every region of Canada and more than 17 million square feet of retail space, the RONA store network generates over $6 billion in annual retail sales. Visit www.rona.ca.