Element Financial Expects to Originate $3.8 billion in Organic New Business in 2014

TORONTO, Jan. 14, 2014 /CNW/ - Element Financial Corporation (TSX:EFN) ("Element" or the "Company"), one of North America's leading equipment finance companies, announced today that it expects to organically originate more than $3.8 billion of new equipment loans and leases during 2014 across the Company's five North American market verticals representing an increase of 80% over the $2.1 billion Element estimates it originated in 2013.

In the Company's Commercial and Vendor Finance verticals, Element expects to originate approximately $1,188 million in new loans and leases in 2014 versus the $987 million estimated for 2013. In the Aviation Finance vertical, the Company expects to increase its 2014 volume by 41% to $870 million versus the $654 million estimated for 2013. In the Fleet Management vertical, the Company expects to grow its new business volume to $474 million in 2014 versus the $418 million estimated for 2013 which includes annualized volumes from the GE Capital Canadian fleet portfolio acquired in late June of that year. Element's new Railcar Finance vertical is expected to originate $1,350 million of new business in 2014 following the inauguration of the Company's vendor alliance with Trinity Industries in December of last year when Element acquired an initial $102 million portfolio of railcar finance assets.

"Through the relationships that we have developed with our various manufacturing partners, from Dallas-based Trinity to Montreal-based Tremcar, we have visibility into the order books of these manufacturers which gives us line-of-sight to the organic origination volumes that we've used to build this strong outlook for 2014," said Steven K. Hudson, Element's Chairman and CEO.

About Element Financial Corporation

With total assets of approximately $3.3 billion, Element Financial Corporation is one of North America's leading equipment finance companies. Element operates across North America in five verticals of the equipment finance market - Commercial Finance, Vendor Finance, Aviation Finance, Railcar Finance and Fleet Management.

Forward Looking Statements

This release includes forward-looking statements regarding Element and its business.  Such statements are based on the current expectations and views of future events of Element's management.  In some cases the forward-looking statements can be identified by words or phrases such as "may", "will", "expect", "plan", "anticipate", "intend", "potential", "estimate", "believe" or the negative of these terms, or other similar expressions intended to identify forward-looking statements.  Forward-looking statements in this release include those related to expected origination volumes in each of the company's business verticals. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting Element, including risks regarding the equipment finance industry, economic factors and many other factors beyond the control of Element.  No forward-looking statement can be guaranteed.  Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. A discussion of the material risks and assumptions associated with this outlook can be found in the Company's prospectus supplements dated December 10, 2013, third quarter 2013 MD&A, and 2012 Annual Information Form, all of which have been filed on SEDAR and can be accessed at www.sedar.com. Accordingly, readers should not place undue reliance on any forward-looking statements or information.  Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Element undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.

SOURCE: Element Financial Corporation

Contact: 

John Sadler
Senior Vice President
[phone] ext. 2313
[email protected] 

Michel Béland
Chief Financial Officer
[phone] ext. 2225
[email protected]