VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 3, 2011) - Coast Wholesale Appliances Inc. (Coast) (TSX:CWA), formerly Coast Wholesale Appliances Income Fund (the Fund), today announced that, after completing a formal search process, it has appointed Maurice E. Paquette as President and CEO. In addition, Bradley Romo has rejoined Coast as Vice President, Multi-Family Sales, British Columba. Finally, Coast announced that it had made four other sales management appointments.
Taking over as of today from Harlow B. Burrows, who has acted as Interim CEO since February 2011, Mr. Paquette brings more than 35 years of wholesale distribution experience, as well as extensive public company leadership experience to his new role. He served as President and CEO of Hardwoods Specialty Products from 2001 to 2004, and continued in this capacity with Hardwoods Distribution Income Fund until his retirement in July 2010. Previously, he spent 26 years with Sauder Distribution, the last six of which he was Executive Vice President. Beginning in June 2010, Mr. Paquette served as a trustee of the Fund and, following its conversion to a corporation at the beginning of 2011, became a director of Coast. In his new position, he will remain a member of Coast's Board of Directors.
"Maurice Paquette's background makes him particularly well suited to lead Coast's business," said Patrick B. Dennett, Chairman of Coast's Board of Directors. "With his exceptional depth of knowledge in the wholesale distribution sector, his extensive operational skills and his expertise with acquisitions and integrations, large customer buying groups and vendor-managed inventory, he is uniquely equipped to direct the next phase of Coast's growth."
Added Harlow Burrows, "As a founder of Coast and its original President and CEO, I am confident that the day-to-day management of the business is in very good hands. Given that Mr. Paquette is already very familiar with our operations, having been a member of our CEO transition committee and working directly with Coast's staff since February 2011, we are expecting a seamless leadership transition."
To support the growth of its contract sales to developers and builders of multi-family housing projects, Coast also recently appointed three new regional Vice Presidents. Complementing Bradley Romo in his new role as Vice President, Multi-Family Sales, BC, Michael Fiorini has been appointed Vice President, Multi-Family Sales, Eastern Canada and Jamie Willoughby has been appointed Vice President, Multi-Family Sales, Prairies. In addition, Stephen J. Raben was appointed Senior Vice President, Sales and Marketing, Single-Family. Lastly, Coast announced that Kenny Keating has rejoined its BC contract sales team as Senior Account Manager, Lower Mainland.
"The strengthening of our sales infrastructure supports our focus on driving revenue growth in our core wholesale business," said Dennett. "Each member of our new sales management team is a proven performer with many years of industry experience and a demonstrated ability to build strong and productive relationships with our major builder and developer customers."
Coast is a leading independent supplier of major household appliances and accessories to developers and builders of multi-family and single-family housing, and to retail customers. Founded in 1978, Coast currently operates 15 stores across the four western provinces and one store in the Greater Toronto Area of Ontario, as well as a network of warehouse distribution centres strategically situated to serve these locations.
This news release includes forward-looking statements, which involve known and unknown risks, uncertainties and other factors that may cause 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 statements. These forward-looking statements are identified by the use of terms and phrases such as "anticipate", "believe", "estimate", "expect", "may", "plan", "will", and similar terms and phrases, including references to assumptions.
These forward-looking statements reflect current expectations of Coast's management regarding future events and operating performance as of the date of this news release. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, including, but not limited to: sensitivity to general economic conditions; changes in consumer confidence in the economy; maintenance of profitability and management of changes to Coast's business; competition; increases to interest rates; reliance on suppliers and their ability to supply product for sale on a timely basis; changes in consumer preferences; changes in the mix of product sales; fluctuations in fuel and commodity pricing, which may impact freight and other costs; usage of extended warranty programs and the costs to deliver these services; changes to planning and supply chain processes; lack of long-term supplier agreements; reliance on key personnel; and foreign exchange rates as they relate to imported products.
Although the forward-looking statements contained in this news release are based upon what management believes to be reasonable assumptions, Coast cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements reflect management's current beliefs and are based on information currently available to Coast. They speak only as of the date of this news release, and reflect current assumptions regarding future events and operating performance. These assumptions include, without limitation: slow economic growth during 2011 in both Western Canada and the Greater Toronto Area (Coast's current market areas); continued fluctuations in exchange rates with the Canadian dollar at or above par with the US dollar; low but increasing interest rates through 2011; continuing cautious credit markets for Coast's major builder customers to obtain financing for their current and future building activities; weak consumer confidence due to the slow economic recovery, which may be reflected in lower retail sales; and modest growth in new home construction activity in 2011, reflected in higher levels of new building permits issued and housing starts compared to 2010. These forward-looking statements are made as of the date of this news release and Coast assumes no obligation to update or revise them to reflect new events or circumstances, other than as required by law.