TRADING SYMBOL: Toronto Stock Exchange - CWA.UN
VANCOUVER, March 21 /CNW/ - Coast Wholesale Appliances Income Fund (the "Fund") today announced a cash distribution of $0.10 per unit for the period from March 1, 2007 to March 31, 2007, to be paid April 16, 2007 to unitholders of record on March 30, 2007. This distribution is consistent with the amount of distributions contemplated by the Fund in its initial public offering prospectus of June 15, 2005. The Fund's policy is for unitholders of record on the last business day of each month to receive distributions on or about the 15th day of the following month. This is the Fund's twenty-first consecutive cash distribution.
A cash distribution to the 35% retained interest in Coast Wholesale Appliances LP (Coast) held by the previous owners of the Coast business will also be paid by Coast on April 16, 2007. This cash distribution is equivalent to the distributions to public unitholders for the period from January 1, 2007 to March 31, 2007. Distributions to the retained interest are subordinated to those of public unitholders until at least June 2007. The terms of the subordination provide for quarterly payments to the retained interest only to the extent that sufficient distributable cash is available after public unitholders have received $0.10 per unit for each month in the respective quarter. This is the seventh consecutive quarterly cash distribution to the retained interest since the Fund's inception.
Coast Wholesale Appliances Income Fund is an unincorporated, open-ended limited purpose trust launched on June 23, 2005 with the completion of an initial public offering of 6,525,000 trust units. The Fund was created to acquire and hold a 65% indirect interest in Coast Wholesale Appliances LP (Coast), a leading independent supplier of major household appliances to developers and builders of multi-family and single-family housing, and to retail customers in Western Canada. Founded in 1978, Coast operates 15 branch locations and four warehouse distribution centres across the four western provinces.