TSE SYMBOL: BEI NYSE SYMBOL: BEI November 7, 2003
Controlling Shareholders of Boardwalk Equities Inc. Propose Share Sale
CALGARY, Nov. 7 /CNW/ - Sam and Van Kolias, the controlling shareholders
of Boardwalk Equities Inc., through their interest in Boardwalk Properties
Company Limited, announced today their intention to sell up to a maximum of
450,000 common shares of Boardwalk Equities Inc. from their combined holdings.
The controlling shareholders currently own or have control or direction over a
total of 15,600,000 common shares of Boardwalk Equities Inc., representing
approximately 30.92% of the outstanding common shares.
The share sale, like those previously conducted by Messrs. Sam and Van
Kolias, is being undertaken to provide the controlling shareholders with a
source of funds to provide funding for their charitable causes, pay down
existing indebtedness and diversify their investment portfolios. The decision
to engage in this sale of shares the same as the ones previously conducted by
Messrs. Sam and Van Kolias does not reflect any change in the controlling
shareholder's intention to maintain their significant equity stake in
Boardwalk Equities Inc. Rather, the share sale reflects the fact that over the
past nine years Sam and Van Kolias have taken no wage or salary compensation
from Boardwalk Equities Inc. in their capacities as officers of the
Corporation.
The share sale program is similar to the one commenced by Messrs. Sam and
Van Kolias on November 25, 2002 for up to a maximum of 350,000 common shares,
which share sale expired on October 14, 2003. During the roughly 11 months of
such share sale program, Messrs. Sam and Van Kolias sold 100,000 common shares
of the 350,000 common shares they were permitted to sell. Such common shares
were distributed in two sales of 50,000 common shares each in both June and
September of this year, and were executed in an orderly basis to avoid any
adverse impact on the market for the common shares of Boardwalk Equities Inc.
Furthermore, Messrs. Sam and Van Kolias intend to make similar
dispositions in the future to continue to fund various charitable endeavours,
pay down indebtedness and diversify their investment portfolios. As announced
in a press release disseminated on November 6, 2003, in addition to continuing
this normal course distribution of common shares, Messrs. Sam and Van Kolias
may, prior to Boardwalk's recently announced conversion to a Real Estate
Investment Trust (the "REIT"), divest a significant portion of their current
holdings of common shares for tax and structural considerations. Messrs. Sam
and Van Kolias will, however, continue to hold a material interest in the
proposed REIT after any such divestiture.
The controlling shareholders have appointed Scotia McLeod Inc. to execute
the share sale through the facilities of the Toronto Stock Exchange. The share
sale will commence on or after November 14, 2003, in accordance with
applicable securities regulations, and, in accordance with past share sale
programs conducted by Messrs. Sam and Van Kolias, will be executed in an
orderly basis so as to avoid adversely impacting the market for the common
shares of Boardwalk Equities Inc. Notice of the controlling shareholders'
intention to sell has been filed with the applicable securities commissions
and stock exchanges.
The share sale is being undertaken concurrent with Boardwalk Equities
Inc.'s normal course issuer bid, which began on August 25, 2003. In connection
therewith, Messrs. Sam and Van Kolias have taken appropriate steps to ensure
that none of the common shares sold in the share sale program are purchased as
part of Boardwalk Equities Inc.'s normal course issuer bid and have instructed
Scotia McLeod Inc. not to sell any of the common shares in the share sale
program through Boardwalk Equities Inc.'s normal course issuer bid.
Boardwalk Equities Inc. is Canada's largest owner/operator of
multi-family rental communities. Boardwalk currently owns in excess of
250 properties with over 31,200 units totalling approximately 26 million net
rentable square feet. The company' s portfolio is concentrated in the
provinces of Alberta, Saskatchewan, Ontario and Quebec. Boardwalk is
headquartered in Calgary and its shares are listed on both the Toronto Stock
Exchange and the New York Stock Exchange and trade under the symbol BEI. The
Company has a total market capitalization of approximately $2.1 billion.
The Toronto Stock has neither approved nor disapproved the information
contained herein.
/For further information: Paul Moon, Director of Corporate
Communications, (403) 206-6808; Recent investor information:
http://investor.bwalk.com/
