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Announcement of Amended Normal Course Issuer Bid for Common Shares
5/12/2008 12:00:00 AM
EDMONTON, May 12 /CNW/ - The Cash Store Financial Services Inc. ("Cash Store Financial") (TSX: CSF) announced today, subject to acceptance by the Toronto Stock Exchange (the "TSX"), its intention to amend its normal course issuer bid (the "NCIB"), originally dated June 27, 2007. The revised NCIB will
increase the maximum number of common shares that may be purchased pursuant to the NCIB by approximately 144,371, which is expected to be effective Wednesday, May 14, 2008.
The current NCIB commenced on June 27, 2007 and to date Cash Store Financial has purchased and cancelled a total of 1,208,739 common shares at an average price of $4.39 per common share. Pursuant to the amended NCIB, Cash Store Financial now proposes to purchase, if it is considered advisable, up to
an aggregate of 1,353,110, representing approximately 10% of the public float of 13,531,101 common shares as of June 18, 2007.
As of the date hereof, there are 19,684,373 common shares issued and outstanding. The number of common shares to be purchased per day will not exceed 15,189, or approximately 25% of the average daily trading volume for the six full calendar months prior to June 20, 2007. Common shares purchased pursuant to the NCIB will be cancelled.
Cash Store Financial believes that such purchases are in the best interests of Cash Store Financial and are a desirable use of its funds. All purchases will be made through the facilities and in accordance with the rules and policies of the TSX. The NCIB will expire on June 26, 2008.
About The Cash Store Financial Services Inc. (formerly Rentcash Inc.)
Cash Store Financial is the only payday advance broker in Canada publicly
traded on the TSX. Cash Store Financial operates more than 380 branches across
Canada under two banners: The Cash Store and Instaloans.
The Cash Store and Instaloans act as brokers to facilitate payday advance
services to income-earning consumers who may not be able to obtain them from
traditional banks. Cash Store Financial also provides a private-label debit
card, The Freedom Card, and other ancillary products.
Cash Store Financial employs more than 1,500 associates and is
headquartered in Edmonton, Alberta.
This press release contains forward-looking statements within the meaning
of the United States Private Securities Litigation Reform Act of 1995 and
applicable Canadian securities legislation. Generally, these forward-looking
statements can be identified by the use of forward-looking terminology such as
plans, anticipated, expects or does not expect, is expected, budget,
scheduled, estimates, forecasts, intends, anticipates or does not anticipate,
or believes, or variations of such words and phrases or state that certain
actions, events or results may, could, would, might or will be taken, occur or
be achieved. The Cash Store Financial Services Inc. (formerly Rentcash Inc.)
is subject to significant risks and uncertainties which may cause the actual
results, performance or achievements to be materially different from any
future results, performance or achievements expressed or implied by the
forward-looking statements contained in this release. A description of these
risk factors can be found in the Management Information Circular of Rentcash
Inc. dated October 30, 2007 and filed on SEDAR (www.sedar.com) under The Cash
Store Financial Services Inc.'s profile. The Cash Store Financial Services
Inc. cannot assure investors that actual results will be consistent with these
forward-looking statements and The Cash Store Financial Services Inc. assumes
no obligation to update or revise the forward-looking statements contained in
this release to reflect actual events or new circumstances except as required
by applicable securities laws.
For further information: Gordon J. Reykdal, Chairman and Chief Executive
Officer, Cash Store Financial, (780) 408-5118; or Michael J.L. Thompson,
Senior Vice President and Corporate Secretary, Cash Store Financial, (780)
408-5595