AFTER 11 CONSECUTIVE YEARS OF RECORD PERFORMANCE ASTRAL MEDIA STILL POISED FOR MORE GROWTH Strong platform for organic growth - Accretive acquisition - Increased Dividend Payment - Renewal of Share Buy-Back Program CNW Astral Media Inc. today held its 2007 Annual Meeting of Shareholders at which Mr. Ian Greenberg, President and Chief Executive Officer, explained that Astral Media's platform for organic growth was stronger than ever. "We are very much present in the four fastest-growing media categories in Canada: specialty and pay TV, radio, outdoor advertising and interactive media. All our business units are recording strong performance quarter after quarter and are contributing healthy results achieved primarily through organic growth." Mr. Greenberg added: "Astral Media will create additional opportunities for organic growth and profit by being innovative with technology while remaining focused on value."
Mr. Greenberg also explained that it was precisely because of Astral Media's consistent financial performance and disciplined approach that the Company was able to successfully conclude on two major opportunities in Fiscal 2007: the Standard Radio acquisition and the Toronto Urban Street Furniture agreement.
The Company also announced an increase of 25% to its annual dividend, from 40 to 50 cents per share. "Astral Media has now more than tripled its dividend payment to shareholders since Fiscal 2004, a clear demonstration of our commitment and of the confidence we have in our ability to create more value and continue to grow this Company," said Mr. Greenberg.
"The hard work of our employees and management team, and the wise advice of our board members are key determinants of our past and future successes, and I wish to express my sincere appreciation, both personally and on behalf of our shareholders." concluded Mr. Greenberg.
The Company also announced that the Board of Directors had approved the renewal of its normal course issuer bid. The Company intends to purchase for cancellation, through the facilities of the Toronto Stock Exchange, up to 1,400,000 Class A Shares and up to 71,400 Class B Shares. This represents no more than 2.6% of the 54,654,999 issued and outstanding Class A Shares as at November 30, 2007 and no more than 2.6% of the 2,788,022 issued and outstanding Class B Shares as at November 30, 2007. The shares will be purchased for cancellation in accordance with applicable regulations of the Toronto Stock Exchange over a maximum period of 12 months beginning on December 13, 2007 and ending on December 12, 2008. On a daily basis, the Company will not be entitled to purchase more than 25% of the average daily trading volume calculated for the past six months on its Class A Shares being 33,210 Class A Shares, and a maximum of 1,000 of its Class B Shares. The Company believes that the purchase of the Class A Shares and Class B Shares is an economically worthwhile use by the Company of its funds and is in the best interest of the Company and its shareholders. The Company has purchased 186,700 of its Class A Shares at an average price of $41.48 per share and none of its Class B Shares from December 13, 2006 to December 4, 2007 under the currently outstanding normal course issuer bid which expires on December 12, 2007.
The Annual Shareholder's Meeting was webcasted on Astral Media's website at astralmedia.com and will be archived on the site until March 2008. Copies of managements' remarks in both English and French may also be obtained on the site.
Astral Media is a leading Canadian media company, active in specialty, pay and pay-per-view television, radio, outdoor advertising and iMedia. Astral Media's solid and dynamic presence in the country's major markets rests on it commitment to offer a unique combination of high-quality, targeted media for all its audiences.
This press release contains certain forward-looking statements concerning the future performance of the Company. These forward-looking statements are based on current expectations. We caution that all forward-looking information is inherently uncertain and actual results may differ materially from the assumptions, estimates or expectations reflected or contained in the forward-looking information, and that actual future performance will be affected by a number of factors, including technological change, economic conditions, regulatory change, competitive factors and changes in accounting rules or standards, many of which are beyond the Company's control. We disclaim any intention or obligation to update or revise any forward-looking statements. |