VICWEST INCOME FUND'S WESTEEL DIVISION FORMS GLOBAL ALLIANCE WITH BUHLER
INDUSTRIES
Toronto Stock Exchange: VIC.UN, VIC.DB
OAKVILLE, ON, Oct. 5, 2010 /CNW/ - Vicwest Income Fund (the "Fund") today announced that its Westeel division has entered into a global strategic alliance with Buhler Industries Inc. (TSX:BUI), manufacturer of the Versatile(R) and Farm King brands of agricultural equipment.
In the first phase of the alliance, Westeel will market, under the Westeel brand, Buhler Industries-manufactured grain handling equipment through its Canadian distribution chain. The products will include portable grain augers, grain cleaners and grain vacs, all manufactured to the exacting standards and quality associated with the Westeel brand.
"This is a significant agreement between two of Canada's largest agricultural equipment manufacturers" said Colin Osborne, Vicwest Income Fund President and Chief Executive Officer. "This alliance will serve to drive opportunity for both companies as we leverage Westeel's distribution network and reputation as a leader in on farm and commercial storage solutions."
Additional details of the alliance will be announced at a later date. The alliance is the latest example of Vicwest Income Fund's growth strategy. The strategy includes: expanding complementary distributed product lines in order to generate cross-selling opportunities within its customer base; increasing international business development in the agricultural sector; and combining accretive acquisitions with organic product development.
"We're delighted to partner with Buhler Industries, a company, which like Westeel, has a long and proud heritage of continuous product advancement for domestic and international markets," said André Granger, Vice President and General Manager of Westeel. "Through this alliance, we gain access to a wide range of new grain handling products that are the perfect complement to our storage solutions. We believe this will prove to be a powerful combination for both new and existing customers."
About Vicwest Income Fund
The Fund is one of Canada's leading manufacturers and distributors of building construction products, and steel containment products for agricultural grain, fertilizer and liquid storage. Through its Vicwest Building Products division, headquartered in Oakville, Ontario, the Fund fabricates and markets metal roofing, siding and other metal building products under the Vicwest, Mercury Metals, Valley Truss & Metal and RCA Metal trade names. The Fund's Westeel Storage Solutions division, headquartered in Winnipeg, Manitoba, manufactures storage solutions for agricultural grain and fertilizer, as well as liquid storage tanks and accessories. These products are manufactured and distributed under the trade names Westeel, Northern Steel Industries and NSI. The Fund has 15 manufacturing facilities strategically located across Canada with approximately 1,200 dedicated employees committed to providing superior quality products and delivering excellent service to customers in chosen markets.
About Buhler Industries Inc.
Buhler Industries Inc. designs, manufactures and distributes agricultural equipment. The products are marketed under the brand names Versatile(R) and Farm King. Buhler Industries Inc. operates seven manufacturing and nine distribution centres totalling over 1.6 million square feet of facilities in the United States and Canada and employs more than 800 people. For more information, visit www.buhlerindustries.com
FORWARD-LOOKING STATEMENTS
Certain statements in this news release may constitute "forward-looking" statements. When used in this news release, such statements use words, including but not limited to, "may", "will", "expect", "believe", "plan", "intend", "anticipate", "future" and other similar terminology. These forward-looking statements reflect the current expectations of the Fund's management regarding future events but involve known and unknown risks, uncertainties and other factors which may cause the outcome of the Offering or the actual results, performance or achievements of the Fund to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Actual events could differ materially from those projected herein and depend on a number of factors. These factors would include, but are not limited to, dependence on market and economic conditions, sales and margin risk, competition, information system risks, availability of supply of products, risks associated with the introduction of new product lines, product design risk, environmental risks, volatility of commodity prices, inventory risks, customer and vendor risks, acquisition and integration risks, availability of credit, credit risks, interest rate risks, regulatory risks and employee retention risks. These forward-looking statements speak only as of the date of this news release. Except as required by applicable securities laws, the Fund does not undertake, and specifically disclaims, any obligation to update or revise any forward looking information, whether as a result of new information, future developments or otherwise, except as required by applicable law.
For further information: Colin Osborne, President & Chief Executive Officer, Vicwest Income Fund, Tel: (905) 469-5700, Fax: (905) 825-1090; John Slattery, Executive Vice President & Chief Financial Officer, Vicwest Income Fund, Tel: (905) 469-5706, Fax: (905) 825-1090; www.vicwestfund.com
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