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Poseidon Concepts Corp. (PSN.TO) ("Poseidon" or the "Company") is pleased to announce that it has entered into a new and increased $100 million two-year extendible revolving credit facility (the "New Facility"). The New Facility is a senior secured revolving credit facility led by Toronto-Dominion Bank and including Bank of Nova Scotia, HSBC Bank Canada and National Bank of Canada. The New Facility also includes an annual provision for the Company to request an extension to the two-year term. The increase in the amount of funds available under the New Facility, combined with Poseidon's strong current financial position and anticipated future cash flows, provides the Company with considerable flexibility and working capital to execute on its ongoing growth plans and pursue additional market opportunities.
The Company is also pleased to announce that Standard and Poor's has added Poseidon to the S&P/TSX Composite Index as a result of the Quarterly S&P/TSX Composite Index review. Listed securities eligible for inclusion in the index must meet certain criteria which are based on a company's market capitalization, share float and share liquidity relative to other stocks in the index. Poseidon has met all the criteria and its inclusion in the index was effective at market open on June 18, 2012.
"The inclusion into the S&P/TSX Composite Index after just eight months as a public company highlights the significant growth achieved by Poseidon in a short period of time," said Lyle Michaluk, Poseidon's Chief Executive Officer. "We are pleased with this latest milestone and look forward to the increased visibility and profile in the capital markets." The S&P/TSX Composite Index is the headline index in Canada, is the basis for multiple sub-indices and is the principal benchmark measure of performance for Canadian equity markets.
Poseidon is also pleased to announce that its Board of Directors has declared the following dividends, payable to shareholders of record as of the close of business on the record dates indicated below.
Dividend amount per common share Ex-dividend date Record date Payment date(1) ---------------------------------------------------------------------------- $0.09 July 27, 2012 July 31, 2012 August 15, 2012 $0.09 August 29, 2012 August 31, 2012 September 17, 2012 $0.09 September 26, 2012 September 28, 2012 October 15, 2012 ----------------------------------------------------------------------------
(1) Dividends are at the discretion of the Board of Directors and subject to change. Dividends paid by Poseidon to Canadian residents are eligible dividends for Canadian income tax purposes.
POSEIDON CONCEPTS CORP. IS A PUBLICLY TRADED CANADIAN ENERGY EQUIPMENT AND SERVICES COMPANY THAT PROVIDES INNOVATIVE FLUID STORAGE AND HANDLING SOLUTIONS TO THE OIL AND NATURAL GAS INDUSTRY ACROSS NORTH AMERICA. POSEIDON HAS APPROXIMATELY 81.1 MILLION COMMON SHARES ISSUED AND OUTSTANDING, WHICH TRADE ON THE TSX UNDER THE SYMBOL "PSN". FURTHER INFORMATION ON POSEIDON'S BUSINESS AND OPERATIONS CAN BE FOUND ON POSEIDON'S WEBSITE (www.poseidonconcepts.com).
This news release contains certain forward-looking statements and other information (collectively "forward-looking information") about our current expectations, estimates and projections. Forward-looking information in this news release is identified by words such as "anticipate", "believe", "expect", "plan", "forecast", "target", "could", "focus", "vision", "goal", "proposed", "scheduled", "milestone", "outlook", "potential", "may", "looking forward to", or similar expressions and includes suggestions of future outcomes, including statements about our growth strategy and related milestones and schedules, forecast operating and financial results, planned capital expenditures, timing and amount of future dividend payments, future use and development of technology and projected increasing shareholder value. Readers are cautioned not to place undue reliance on forward-looking information as our actual results may differ materially from those expressed or implied in the forward-looking information. Developing forward-looking information involves reliance on a number of assumptions and consideration of certain risks and uncertainties, some of which are specific to Poseidon and others that apply to the industry generally.
The factors or assumptions on which the forward-looking information is based include without limitation: assumptions inherent in our current guidance, including foreign exchange and interest rates; our projected capital investment levels; the flexibility of capital spending plans and the associated source of funding; our ability to generate sufficient cash flow from operations to meet our current and future obligations; our expectations of the demand for tank systems and the general activity of the oil and gas industry; and other risks and uncertainties described from time to time in the filings we make with securities regulatory authorities. Actual results could differ materially from those currently anticipated due to a number of factors, risks and uncertainties. Such risks and uncertainties include, without limitation, risks associated with dependence on manufacturers of the Poseidon tank systems; operating risk liability; demand for Poseidon's tank systems; levels of competition in the fracturing fluid storage industry; the ability of Poseidon to attract and retain clientele; the ability of Poseidon to fund its ongoing capital requirements; delays resulting from or inability to obtain required regulatory approvals; the impact of general economic conditions in Canada, the United States and globally; industry conditions; changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced; the lack of availability of qualified personnel or management; fluctuations in foreign exchange or interest rates; and stock market volatility. Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forward-looking information, whether written or oral, attributed to Poseidon or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Additional information on the foregoing risks and other factors that could affect Poseidon's operations and financial results are on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). Furthermore, the forward-looking information contained in this news release are made as at the date of this news release and Poseidon does not undertake any obligation to update publicly or to revise any of the included forward-lookinginformation, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.