Clearwater Seafoods Incorporated announces initiation of annual dividend of
$0.10 per share
/NOT FOR DISTRIBUTION TO UNITED STATES OR FOR DISSEMINATION IN THE UNITED
HALIFAX, Nov. 1, 2013 /CNW/ - (TSX: CLR):
-- Initiates annual dividend of $0.10 per share, payable in
quarterly installments of $0.025 per share with the first
payment to be made on December 13, 2013 to shareholders of
record as of November 29, 2013.
-- Communicates factors considered in determining dividend
Today, Clearwater Seafoods Incorporated ("Clearwater") announced the
initiation of an annual dividend of $0.10 per share, payable in quarterly
installments of $0.025 per share with the first quarterly payment to be made
on December 13, 2013 to shareholders of record as of November 29, 2013.
Colin MacDonald, Chairman of the Board of Directors of Clearwater, stated,
"Our shareholders have been rewarded for investing in Clearwater over the past
few years through significant appreciation in the value of their shares and
the Board of Directors is delighted to supplement that substantial return and
express our confidence in Clearwater's future by announcing a quarterly cash
Mr. MacDonald continued, "Central to the Board of Directors' decision to
announce a dividend was our confidence in the future and our belief that it
could be set at a level that is not only sustainable but that provides some
opportunity for growth."
Mr. MacDonald concluded "In making the determination of dividend levels, the
Board gave consideration to a number of key principles including the expected
future earnings and the amount of free cash flows that should be retained to
reinvest in the business, the assurance that all obligations can be met with
respect to existing loan agreements and the desire to provide room for the
dividend to increase in the future as the business continues to grow and
expand. The Board will review these same factors on a periodic basis, and at
least annually, when reviewing opportunites to adjust or increase the
Global demand for seafood is outstripping supply, creating favorable market
dynamics for vertically integrated producers such as Clearwater that have
strong resource access.
Demand has been driven by growing worldwide population, shifting consumer
tastes towards healthier diets, and rising purchasing power of middle class
consumers in emerging economies.
The supply of wild seafood is limited and is expected to continue to lag
behind the growing global demand. This supply-demand imbalance has created a
market place in which purchasers of seafood are increasingly willing to pay a
premium to suppliers that can provide consistent quality and food safety, wide
diversity and reliable delivery of premium, wild, sustainably harvested
Clearwater, like other vertically integrated seafood companies, is well
positioned to take advantage of this opportunity because of its licenses,
premium product quality, diversity of species, global sales footprint, and
year-round harvest and delivery capability.
Ian Smith, Chief Executive Officer, commented, "Strong market demand has
contributed to improvements in revenue and free cash flow, and as we continue
to invest in our business and increase our access to supply, we expect to be
able to continue to grow the business in 2014."
COMMENTARY REGARDING FORWARD-LOOKING STATEMENTS
This news release may contain "forward-looking information" as defined in
applicable Canadian securities legislation. All statements other than,
statements of historical fact, included in this release, including, without
limitation, statements regarding future plans and objectives of Clearwater,
constitute forward-looking information that involve various, known and unknown
risks, uncertainties, and other factors outside management's
control.Forward-looking information is based on a number of factors and
assumptions which have been used to develop such information but which may
prove to be incorrect including, but not limited to, total allowable catch
levels, selling prices, weather, exchange rates, fuel and other input costs.
There can be no assurance that such information will prove to be accurate and
actual results and future events could differ materially from those
anticipated in such forward-looking information.
For additional information with respect to risk factors applicable to
Clearwater, reference should be made to Clearwater's continuous disclosure
materials filed from time to time with securities regulators, including, but
not limited to, Clearwater's Annual Information Form. The forward-looking
information contained in this release is made as of the date of this release
and Clearwater does not undertake to update publicly or revise the
forward-looking information contained in this release, whether as a result of
new information, future events or otherwise, except as required by applicable
No regulatory authority has approved or disapproved the adequacy or accuracy
of this news release.
Clearwater is one of North America's largest vertically integrated seafood
companies and the largest holder of shellfish licenses and quotas in Canada.
It is recognized globally for its superior quality, food safety, diversity of
species and reliable worldwide delivery of premium wild, eco-certified
seafood, including scallops, lobster, clams, coldwater shrimp, crab and
Since its founding in 1976, Clearwater has invested in science, people and
technological innovation as well as resource ownership and management to
sustain and grow its seafood resource. This commitment has allowed it to
remain a leader in the global seafood market and in sustainable seafood
SOURCE Clearwater Seafoods Incorporated
Robert Wight, Chief Financial Officer, Clearwater, (902) 457-2369; Tyrone
Cotie, Treasurer, Clearwater, (902) 457-8181.
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CO: Clearwater Seafoods Incorporated
ST: Nova Scotia
NI: FBR FOD FIN DIV FIN
-0- Nov/01/2013 12:40 GMT
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