Maple Leaf Foods Inc. - Notice of Intention
TORONTO, Aug. 15, 2006 (Canada NewsWire via COMTEX News Network) -- TSX: MFI
Maple Leaf Foods Inc. (TSX:MFI) announced today that it has filed a Notice of Intention to make a normal course issuer bid with The Toronto Stock Exchange (the "TSX") and that the TSX has accepted the Notice of Intention. Under the bid, the Company will have the right to purchase, commencing August 17, 2006, up to a maximum of 5,312,653 of its Common Shares (representing approximately 5% of its outstanding Common Shares) over the following twelve months through the facilities of the TSX. The Company has 106,253,052 Common Shares issued and outstanding as of close of business on August 4, 2006. Common Shares purchased by the Company under the bid will be cancelled. The Company purchased 1,075,400 Common Shares during the preceding twelve months pursuant to its existing normal course issuer bid.
The normal course issuer bid will remain in effect until the earlier of the date on which the maximum number of Common Shares permitted under the bid have been purchased, the date the Company provides notice of termination of the bid, or August 16, 2007.
Management considers the normal course issuer bid to be in the best interests of the Company. The purchase of Common Shares would offset the dilutive effect of share issuances on existing shareholders arising from: the issue from treasury of Common Shares under the Company's Share Incentive Plan, or pursuant to acquisitions.
Maple Leaf Foods Inc. is a leading Canadian food processing company committed to delivering quality food products to consumers around the world. Headquartered in Toronto, Canada, the Company employs approximately 24,000 people at its operations across Canada, and in the United States, Europe and Asia. Maple Leaf Foods Inc. had sales of approximately $6.5 billion in 2005.
SOURCE: Maple Leaf Foods Inc.
Lynda Kuhn, Vice-President, Public & Investor Relations, MAPLE LEAF FOODS INC.,
(416) 963-6159 or (416) 926-2026