Market Newsdesk

November 24, 2020 5:18 pm

JFrog to Participate at Virtual Investor Conferences in December

SUNNYVALE, Calif., Nov. 24, 2020 (GLOBE NEWSWIRE) — JFrog, the liquid software company, today announced its participation in the following upcoming investor conferences.

Wells Fargo TMT Summit
Presentation: Wednesday, December 2, 2020, at 9:00 am PT

Morgan Stanley Future of Application Development Conference
Presentation: Wednesday, December 9, 2020, at 9:45 am PT

Live webcasts, as well as replays, will be available on the Company’s investor relations website at https://investors.jfrog.com/events-and-presentations/events.

About JFrog

JFrog is on a “Liquid Software” mission to enable the flow of software seamlessly and securely from the developer’s keystrokes to production. The end-to-end, hybrid JFrog Platform provides the tools and visibility required by modern software development organizations to fully embrace the power of DevOps. JFrog’s universal, multi-cloud DevOps platform is available as open-source, self-managed, and SaaS services on AWS, Microsoft Azure, and Google Cloud. JFrog is trusted by millions of users and thousands of customers, including a majority of the Fortune 100 companies that depend on JFrog solutions to manage their mission-critical software delivery pipelines. JFrog has offices across North America, Europe, and Asia. Learn more at jfrog.com.

Investor Contact:
JoAnn Horne
[email protected]
415-445-3240

November 24, 2020 5:16 pm

Tranquini and Wowie Relaxation Beverages Now Available at VitaBeauti.com, a Popular Health and Wellness Portal

Consumers Now Have the Opportunity to Taste Natural and Hemp-Infused Relaxation Drinks

PALM BEACH, FL, Nov. 24, 2020 (GLOBE NEWSWIRE) — INNOVIOM’s Tranquini and Wowie relaxation beverages are now available at VitaBeauti.com, a popular health and wellness portal.

“VitaBeauti.com is just the first e-commerce site of what we hope will be many that will soon carry Tranquini and Wowie,” said Ahmed ElAzizi, CEO of INNOVIOM, the U.S. company that developed the two relaxation drinks. “During the next several months, we are looking to offer our relaxation beverages on more online portals.”

INNOVIOM’s relaxation beverages are rolling out nationally at just the right time.

“We live in stressful times,” ElAzizi said. “The ‘new normal’ because of the pandemic is probably causing more stress in our lives, which is why it is even more important to relax and chill. Tranquini and Wowie are natural, healthier alternatives to alcoholic beverages.”

ElAzizi said Americans might want energy drinks to get through the workday, but when they get home, they need to relax.

“Tranquini and Wowie are relaxation drinks that will help people release the stress and tension in their lives without causing drowsiness,” he added.

INNOVIOM recently introduced Tranquini and Wowie to regional and national retail chains last month at a buyer-seller trade show. INNOVIOM’s flagship products are:

Tranquini, a natural de-stress drink containing a unique blend of herbs traditionally used to help people relax. Tranquini comes in three flavors: Mixed Berries, Ginger Lemongrass, and Green Tea Twist.
Wowie, an innovative hemp-infused stress-relief beverage that combines a unique mix of relaxing adaptogens and U.S.-grown Hemp. Wowie’s flavors are Mango Lime, Citrus Mix, Watermelon Mint, and Coconut Strawberry.
Wowie Shots, which also are infused with U.S.-grown Hemp, is the perfect on-the-go relaxation beverage that can help you de-stress and hang loose anywhere, any time.

Wowie and Tranquini contain Green Tea, Lemon Balm, Chamomile and Lavender, all of which have been used as traditional remedies to reduce stress and anxiety without causing drowsiness.

“Relaxing is important. It gives us more energy and makes us healthier,” ElAzizi said. “Relaxing slows our heart rate, lowers blood pressure, improves digestion, and relieves muscle tension and chronic pain.

“Isn’t it time you tried Tranquini and Wowie,” he added. “Take a break and hang loose with Wowie. Relax and be positive with Tranquini.”

For more information, visit vitabeauti.com or www.tranquini.com.

Attachments

Robert Grant
INNOVIOM
(561) 421-3045
[email protected]

November 24, 2020 5:11 pm

Alimentation Couche-Tard Renews Share Repurchase Program

PR Newswire

LAVAL, QC, Nov. 24, 2020 /PRNewswire/ – Alimentation Couche-Tard Inc. (“Couche–Tard” or the “Corporation”) (TSX: ATD.A) (TSX: ATD.B) announced today that the Toronto Stock Exchange (“TSX“) has approved the renewal of its share repurchase program (the “Program“), authorizing Couche–Tard to repurchase up to 33,336,141 Class B Subordinate Voting Shares, representing 4% of the 833,403,522 Class B Subordinate Voting Shares comprising Couche-Tard’s “public float” (as such term is defined in the TSX Company Manual) as at November 16, 2020 (or 3.88% of the 859,144,568 issued and outstanding Class B Subordinate Voting Shares as at November 16, 2020).

The average daily trading volume for the six-month period preceding November 1, 2020 represents 1,409,919 Class B Subordinate Voting Shares. In accordance with TSX requirements, Couche-Tard is entitled to purchase, on any trading day, up to a total of 352,479 Class B Subordinate Voting Shares representing 25% of this average daily trading volume.

Couche-Tard believes that the purchase of up to 33,336,141 Class B Subordinate Voting Shares under the Program is an appropriate use of its funds and a desirable investment for Couche-Tard and, therefore, would be in the best interests of Couche-Tard. By making such repurchases, the number of Class B Subordinate Voting Shares in circulation will be reduced and the proportionate interest of all remaining shareholders in the share capital of Couche-Tard will be increased on a pro rata basis.

Couche-Tard may repurchase up to 33,336,141 Class B Subordinate Voting Shares on the open market through the facilities of the TSX as well as through other alternative Canadian trading systems, from time to time, over the course of twelve months commencing November 27, 2020 and ending at the latest on November 26, 2021.

The actual number of Class B Subordinate Voting Shares purchased under the Program, the timing of purchases and the price at which the Class B Subordinate Voting Shares are bought will depend upon management discretion based on factors such as market conditions. All shares repurchased under the Program will be cancelled upon their repurchase.

Couche-Tard’s last Program expired on April 9, 2020 and authorized Couche-Tard to repurchase for cancellation up to 33,955,152 Class B Subordinate Voting Shares (post two-to-one stock split). During the twelve months period ended April 9, 2020, Couche-Tard repurchased for cancellation a total of 16,354,384 (post two-to-one stock split) Class B Subordinate Voting Shares under its Program through the facilities of the TSX and alternative Canadian trading systems for an approximate total cost of US $470,8 million and at a weighted average price paid per share of approximately US $28,79.

In connection with the Program, Couche-Tard will establish an automatic securities purchase plan with a designated broker whereby shares may be repurchased at times when such purchases would otherwise be prohibited pursuant to regulatory restrictions or self-imposed blackout periods. Under the automatic securities purchase plan, before entering a self-imposed blackout period, Couche-Tard may, but is not required to, ask the designated broker to make purchases under the Program. Such purchases will be made at the discretion of the designated broker, within parameters established by Couche-Tard prior to the blackout periods. Outside the blackout periods, purchases will be made at the discretion of Couche-Tard’s management. The automatic securities purchase plan will constitute an “automatic plan” for purposes of applicable Canadian securities legislation and has been pre-cleared by the TSX.

About Alimentation Couche-Tard Inc.

Couche-Tard is the leader in the Canadian convenience store industry. In the United States, it is the largest independent convenience store operator in terms of the number of company-operated stores. In Europe, Couche-Tard is a leader in convenience store and road transportation fuel retail in the Scandinavian countries (Norway, Sweden and Denmark), in the Baltic countries (Estonia, Latvia and Lithuania), as well as in Ireland, and has an important presence in Poland.

As of October 11, 2020, Couche-Tard’s network comprised 9,261 convenience stores throughout North America, including 8,085 stores with road transportation fuel dispensing. Its North American network consists of 18 business units, including 14 in the United States covering 47 states and 4 in Canada covering all 10 provinces. Approximately 109,000 people are employed throughout its network and at its service offices in North America.

In Europe, Couche-Tard operates a broad retail network across Scandinavia, Ireland, Poland, the Baltics and Russia through 10 business units. As of October 11, 2020, Couche-Tard’s network comprised 2,722 stores, the majority of which offer road transportation fuel and convenience products while the others are unmanned automated fuel stations which only offer road transportation fuel. Couche-Tard also offers other products, including aviation fuel and energy for stationary engines. Including employees at branded franchise stores, approximately 22,000 people work in its retail network, terminals and service offices across Europe.

In addition, under licensing agreements, more than 2,220 stores are operated under the Circle K banner in 15 other countries and territories (Cambodia, Egypt, Guam, Guatemala, Honduras, Hong Kong, Indonesia, Jamaica, Macau, Mexico, Mongolia, New Zealand, Saudi Arabia, the United Arab Emirates and Vietnam), which brings the worldwide total network to more than 14,200 stores.

For more information on Alimentation Couche-Tard Inc. or to consult its Unaudited Interim Condensed Consolidated Financial Statements and Management Discussion and Analysis, please visit: https://corpo.couche-tard.com.

Forward-Looking Statements

The statements set forth in this press release, which describes Couche-Tard’s objectives, projections, estimates, expectations or forecasts, may constitute forward-looking statements within the meaning of securities legislation. Positive or negative verbs such as “believe”, “can”, “shall”, “intend”, “expect”, “estimate”, “assume” and other related expressions are used to identify such statements. Couche-Tard would like to point out that, by their very nature, forward-looking statements involve risks and uncertainties such that its results, or the measures it adopts, could differ materially from those indicated in or underlying these statements, or could have an impact on the degree of realization of a particular projection. Major factors that may lead to a material difference between Couche-Tard’s actual results and the projections or expectations set forth in the forward-looking statements include the effects of the integration of acquired businesses and the ability to achieve projected synergies, uncertainty related to the duration and severity of the current COVID-19 pandemic, fluctuations in margins on motor fuel sales, competition in the convenience store and retail motor fuel industries, exchange rate variations, and such other risks as described in detail from time to time in the reports filed by Couche-Tard with securities authorities in Canada. Unless otherwise required by applicable securities laws, Couche-Tard disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking information in this release is based on information available as of the date of the release.

View original content to download multimedia:http://www.prnewswire.com/news-releases/alimentation-couche-tard-renews-share-repurchase-program-301180147.html

SOURCE Alimentation Couche-Tard Inc.

November 24, 2020 5:09 pm

The Flowr Corporation Announces Third Quarter 2020 Results

TORONTO, Nov. 24, 2020 (GLOBE NEWSWIRE) — The Flowr Corporation (TSX.V: FLWR; OTC: FLWPF) (“Flowr” or the “Company”) herein announces its financial and operational results for the third quarter ended September 30, 2020.

Key financial and operating highlights in the third quarter of 2020:

The Company generated gross revenue of approximately $3.5 million in the third quarter, a 64% increase as compared to the same period in 2019 and a 15% increase sequentially from the second quarter in 2020.
Net revenue in the third quarter 2020 was $2.8 million, a 110% increase as compared to the same period in 2019 and up 22% sequentially from the second quarter in 2020.
During the quarter, the Company sold 552 kilograms of dried flower, an increase of 144% as compared to the same period in 2019 and up 31% sequentially from the second quarter 2020. In addition, 370 kilograms of sales were of the Company’s flagship strain BC Pink Kush in the third quarter as compared to 345 kilograms of BC Pink Kush sales in the second quarter of 2020.
Flowr’s BC Pink Kush was the #2, #1 & #1 selling dried flower SKU in dollar terms sold by the OCS to retailers for the trailing 30, 60 and 90 days, respectively, for the period ended September 30, 2020.
Flowr’s BC Pink Kush has not been irradiated in 22 months, which the Company believes is a testament to its ability to bring quality product to market.
The average Flowr branded price per gram in the third quarter was $6.54 which the Company believes reflects its positioning in the premium segment. Overall average price per gram in the third quarter was $5.25, due to trim and biomass agreements entered into during the quarter.
In Canada, the Company achieved significant positive gross margin before impairment of inventory and fair value adjustments of biological assets.^[1]
SG&A of $3.6 million in the third quarter of 2020 was 19% lower than in the second quarter of 2020 as the Company continued to see benefits of its global restructuring program announced in March 2020.
A recent consumer research report by the Brightfield Group highlighted Flowr as the #7 ranked Brand by Awareness in Canada and had Flowr ranked #1 or #2 in a variety of Loyalty, Brand Promotion and Satisfaction scores among the top 10 purchased brands in Canada. The Company expects to build on this achievement as it continues to invest in sales and marketing.

[1] Refer to the “Non-GAAP Financial Measures” section below for reconciliation to the IFRS equivalent.

Subsequent financial and operational highlights post end of the third quarter:

On October 19, 2020, the Company announced the strategic acquisition (the “Acquisition”) of Terrace Global Inc. (TSX.V: TRCE) (“Terrace Global”), a multi-country operator (MCO) led by experienced cannabis entrepreneurs focused on the development and acquisition of international cannabis assets. On a pro-forma basis, at the time of the announcement of the Acquisition, the combined company had in excess of $31 million in cash and marketable securities on its balance sheet.
Terrace Global was created by a group of pioneers in the cannabis sector who have prior successes in international cannabis markets and include the founders of MedReleaf Corp., ICC Labs Inc. and Bedrocan Cannabis Corp. Both Flowr and Terrace Global have sector leading insider ownership and supportive lead investors groups.
Terrace Global and Flowr jointly operated the Company’s outdoor cultivation site in Aljustrel, Portugal which is believed to be the largest medical cannabis site in the European Union and one of the largest in the world. A video of the Aljustrel project is available on the Company’s website at flowrcorp.com. Throughout October, the Company finished harvesting the majority of the 1 million square feet of cultivation space planted at its outdoor site in Aljustrel, Portugal. The Company’s preliminary findings from its outdoor medical cannabis cultivation site, operated in partnership with Terrace Global, suggested a harvest of approximately 3,000 kgs of high THC (17-21% in premium cultivars) biomass.
On October 10^th & 26^th, pursuant to the to the Equity Line and Profit Share Agreement with Terrace Global, the Company closed on a fifth and sixth tranche of funding in an aggregate amount of $2.5 million.
On October 6, 2020, the Company completed the development of the Flowr-Hawthorne R&D Center’s (the “R&D Center”) first floor, in accordance with terms of the R&D Agreement, as amended. The Company believes that the 50,000 square foot R&D Center will be North America’s first dedicated cannabis R&D facility focused on cultivation techniques and systems including growth media, nutrient formulations, irrigation and lighting systems, plant genetics and integrated growing systems.
On September 30, 2020, the Company entered into an amendment to the R&D Agreement with Hawthorne, whereby Hawthorne agreed to lend up to $1.3 million in additional funding to Flowr. To date, approximately $1.1 million has been funded.
Given recent COVID-19 related protection measures taken in Ontario, the delay in entering the Quebec market, the delay of new cultivar launches & the pending Terrace transaction expected to close by year end, the Company has decided against providing more specific guidance at this time. Under normal operating conditions, the Company would expect to be cash flow positive in the first half of 2021.

MANAGEMENT COMMENTARY

“We continue to make inroads in proving out our business model in the Canadian recreational market. While competition is intensifying, we believe there is a clear consumer demand driven market for premium products in the Canadian marketplace. Our pending merger with Terrace Global will put us in a stronger financial position and better equip us to execute on our strategic objectives as we enter 2021 and beyond. We are very excited to welcome the Terrace team to the Flowr family and continue to work towards closing the transaction by the end of 2020,” said Vinay Tolia, Flowr’s Chief Executive Officer.

THIRD
QUARTER
20
20
RESULTS

The following table summarizes the Company’s key financial and operational results:

In thousands of Canadian dollars, (except per share and grams metrics)	Three months ended September 30				Nine months ended September 30
	20 20		2019		20 20		201 9
Grams Harvested – K1*	1,305,311		446,854		3,140,979		1,186,570
Grams Sold	552,409		226,807		1,094,187		777,626
Average Net Realized Price per Gram	5.25		8.03		5.68		7.23
Gross Revenue	3,403		2,069		7,375		6,642
Net revenue **	2,823		1,344		5,913		5,154
Gross profit (loss) before fair value adjustments	(2,660	)	46		(5,326	)	230
Selling, General and Administrative expense	3,563		6,085		14,000		15,054
Share-based compensation	1,022		3,442		2,624		9,036
Net income/(loss)**	(10,174	)	(14,688	)	(28,105	)	(9,675	)
Basic & diluted earnings/(loss) per share	(0.06	)	(0.12	)	(0.19	)	(0.09	)
Cash used in investing activities	(4,247	)	(20,318	)	(14,283	)	(47,158	)
Cash from financing activities	2,794		43,976		27,251		62,373

* Excludes trim
** Net of excise tax, sales returns and price concessions.

Net revenue of $2.8 million was the Company’s highest revenue quarter since initial industry wide product sell-in in Q4 2018.

The following table summarizes the Company’s financial results for the three months
and
nine
months
ended
September 30
, 20
20
:

In thousands of CAD dollars	Three months ended September 30				Nine months ended September 30
	2020		2019		2020		2019
	2020		2019
Net income/(loss)	(10,427	)	(14,688	)	(30,113	)	(9,675	)
Depreciation and amortization	1,812		793		4,583		1,926
Unrealized (gains) losses on fair value adjustments of biological assets	2,733		(3,597	)	6,578		(5,300	)
Fair value adjustments on inventory sold	(196	)	269		(907	)	438
Share-based compensation	1,106		3,442		2,834		9,036
Restructuring costs	—		—		726		—
Transaction and listing costs	—		1,086		—		1,086
Unrealized (gain) loss on fair value of investments held in shares	106		—		103		148
Unrealized loss on valuation of warrant investment	—		63		39		434
Loss (gain) on acquisition of investment in Holigen	—		7,098		—		(11,652	)
Finance costs	1,384		212		2,885		478
Interest expense	—		(2	)	(15	)	(72	)
Adjusted EBITDA	(3,482	)	(5,324	)	(13,287	)	(13,153	)

Adjusted EBITDA (Non-IFRS Measure)

Adjusted EBITDA is defined as net loss, plus (minus) income taxes (recovery), plus (minus) interest income (expense), net, plus depreciation and amortization, plus share-based compensation, plus (minus) non-cash fair value adjustments on biological assets and inventory sold, plus listing expense costs, plus (minus) loss (gain) on investments. Management believes this measure provides useful information as it is a commonly used measure in the capital markets and as it is a close proxy for repeatable cash used by operations.

For a full discussion of Flowr’s operational and financial results for the three and nine months ended September 30, 2020, please refer to the Company’s third quarter 2020 Management’s Discussion & Analysis and Consolidated Financial Statements, which have been filed on SEDAR.

CONFERENCE CALL AND WEBCAST

The Company will host a conference call and webcast to review these results today at 5:30 p.m. Eastern Time.

Conference call and live webcast details are as follows:

Webcast: flowrcorp.com/investors/events-and-presentations
Online registration: http://www.directeventreg.com/registration/event/7384863

Conference call and webcast replay details are as follows:

Toll Free: 1-800-585-8367
Toll/International: 1-416-621-4642
Passcode: 7384863
Webcast Replay: flowrcorp.com/investors/events-and-presentations/
The telephone replay of the conference call will be available through midnight on January 12, 2021.

About
The
Flowr Corporation

The Flowr Corporation is a Toronto-headquartered cannabis company with operations in Canada, Europe, and Australia. Its Canadian operating campus, located in Kelowna, BC, includes a purpose-built, GMP-designed indoor cultivation facility; an outdoor and greenhouse cultivation site; and a state-of-the-art R&D facility that is awaiting licensing from Health Canada. From this campus, Flowr produces recreational and medicinal products. Internationally, Flowr intends to service the global medical cannabis market through its subsidiary Holigen, which has a license for cannabis cultivation in Portugal and operates GMP licensed facilities in both Portugal and Australia.

Flowr aims to support improving outcomes through responsible cannabis use and, as an established expert in cannabis cultivation, strives to be the brand of choice for consumers and patients seeking the highest-quality craftsmanship and product consistency across a portfolio of differentiated cannabis products.

For more information, please visit flowrcorp.com or follow Flowr on Twitter: @FlowrCanada and LinkedIn: The Flowr Corporation.

On behalf of The Flowr Corporation:
Vinay Tolia
CEO and Director

CONTACT INFORMATION:

INVESTORS & MEDIA:
Thierry Elmaleh
Head of Capital Markets
(877) 356-9726 ext. 1528
[email protected]

Cautionary Note Regarding Non-GAAP Measures

This press release refers to certain financial performance measures that are not defined by and do not have a standardized meaning under IFRS (termed “Non-GAAP measures”). These Non-GAAP measures are defined in Management’s Discussion and Analysis of Financial Condition and Results of Operations for the three and nine months ended September 30, 2020 under “Non-IFRS Measures”. Non-GAAP measures are used by management to assess the financial and operational performance of the Company. The Company believes that these Non-GAAP measures, in addition to conventional measures prepared in accordance with IFRS, enable investors to evaluate the Company’s operating results, underlying performance and prospects in a similar manner to the Company’s management. As there are no standardized methods of calculating these Non-GAAP measures, the Company’s approaches may differ from those used by others, and accordingly, the use of these measures may not be directly comparable. Accordingly, these Non-GAAP measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS.

Notice regarding future-oriented financial information:

To the extent any forward-looking information in this press release constitutes future-oriented financial information or financial outlooks within the meaning of securities laws, such information is being provided to demonstrate the potential financial performance of the Company and readers are cautioned that this information may not be appropriate for any other purpose and that they should not place undue reliance on such future-oriented financial information and financial outlooks. Future-oriented financial information and financial outlooks, as with forward-looking information generally, are, without limitation, based on the assumptions and subject to the risks set out below under “Notice regarding forward-looking information”.

Forward-Looking Information

This press release contains “forward-looking information” within the meaning of Canadian Securities laws, which may include but is not limited to: the Company’s belief that Aljustrel is the largest outdoor THC cultivation project in Europe and one of the largest in the world; the harvest from Aljustrel yielding approximately 3,000 kgs of high THC (17-21% in premium cultivars) biomass; the Company’s belief that the R&D Center will be North America’s first dedicated cannabis R&D facility focused on cultivation techniques and systems including growth media, nutrient formulations, irrigation and lighting systems, plant genetics and integrated growing systems; the anticipated funding from Hawthorne under the amended R&D Agreement; the Company’s expectation that it will build on its achievements as it continues to invest in sales and marketing; the Company continuing to invest in sales and marketing; the anticipated timeline for completion of the Acquisition; the expected benefits of the Acquisition, including the Company’s expectation that the Acquisition will put it in a stronger financial position and better equip it to execute on its strategic objectives as it enters 2021 and beyond; the Company’s anticipated timeline for becoming cash flow positive; there being strong consumer demand for premium dried flower products; Flowr servicing the global medical cannabis market and operating GMP facilities in Portugal and Australia; Flowr supporting improving outcomes through responsible cannabis use and striving to be the brand of choice for consumers and patients seeking highest-quality craftmanship and product consistency; and Flowr’s business, production and products and Flowr’s plans to provide premium quality cannabis to adult use recreational and medical markets.

Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “is expected”, “expects”, “scheduled”, “intends”, “contemplates”, “anticipates”, “believes”, “proposes” or variations (including negative and grammatical variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such information and statements are based on the current expectations of Flowr’s management and are based on assumptions and subject to risks and uncertainties. Although Flowr’s management believes that the assumptions underlying such information and statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this press release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting Flowr, including risks relating to: Aljustrel not being the largest outdoor THC cultivation project in Europe and one of the largest in the world to date; the harvest from Aljustrel not yielding approximately 3,000 kgs of high THC (17-21% in premium cultivars) biomass; the R&D Center not being North America’s first dedicated cannabis R&D facility focused on cultivation techniques and systems including growth media, nutrient formulations, irrigation and lighting systems, plant genetics and integrated growing systems; the funding received from Hawthorne under the amended R&D Agreement being less than anticipated; the Company’s being unable to build on its achievements as it continues to invest in sales and marketing; the Company being unable to continue to invest in sales and marketing; the Acquisition not being completed within the anticipated timeline, or at all; the Company not realizing the expected benefits of the Acquisition, including the Company’s expectation that the Acquisition will put it in a stronger financial position and better equip it to execute on its strategic objectives as it enters 2021 and beyond; there not being strong consumer demand for premium dried flower products; the Company being unable to achieve a substantial increase in production and sales through the remainder of the year; the net revenues for Q4 being less than anticipated, which could put further pressure on the trading price of the Company’s securities; the Company being unable to become cash flow positive in the anticipated timeline, and thus requiring the Company to obtain additional liquidity and/or file for creditor protection; the Company failing to realize sales out of Holigen, and thus having limited growth and revenue generation generally and outside of Canada; the Company failing to produce, or having crop failures of, its new product offerings, given the limited amount of experience growing such strains; the Company’s view that customers demand high THC products and are willing to pay a premium for such products not materializing, which could materially adversely affect the Company’s business, operations and financial results; sales trends and demand for the Company’s BC Pink Kush strain not being robust; the Company’s foundational thesis that growing high quality cannabis at scale is difficult and only a few companies are both focused and able to do so not materializing, thus impacting the Company’s strategy and ultimately its financial results; EU-GMP certification failing to open the medicinal cannabis opportunity for the Company in global markets; Flowr’s inability to scale its business in 2020, which could materially adversely impact its financial condition and result in breach of its debt arrangements; the Company being unable to complete its objectives and/or those objectives not positioning the Company for long term success; the Company being unable to execute its near and long-term goals; new genetics not driving further operational improvements and/or enhancing the Company’s product mix; the Canadian industry not being in short supply of premium dry flower; the Company’s expectations for the first harvest from Portugal not being realized; the Company not being well positioned to distribute EU-GMP compliant product into underserviced markets; the Company being unable to address consumer demand with new genetics; the Company being unable to prioritize data acquisition to ensure production planning is driven by consumer insights and that its portfolio of finished products will address consumer preference; Flowr being unable to advance its plan for its Kelowna Campus to be a single hub for all aspects of cultivation, processing and packaging to service the Canadian cannabis market; Kelowna 1 being unable to produce high caliber dried flower; the Company being unable to double its operating capacity at Kelowna 1; Flowr being unable to deliver finished products from new genetics into the marketplace in 2020; new genetics not delivering higher yields and/or not supporting the rollout of an expanded line of high THC products; Kelowna 1 being unable to reach the anticipated production run-rate at the end of 2020; the Company not realizing premium pricing relative to the broader adult-use market; any inaccuracies in the estimated total capex for Kelowna 1; Flowr Forest’s production per annum being less than anticipated; the Company being unable to launch concentrate products; the inability to complete construction of facilities in Portugal in a timely fashion or at all; the inability to realize revenue from the Company’s European operations within the anticipated timeframe or at all; the Company being unable to establish sales and distribution channels in Europe and Australia to deliver medicinal cannabis to underserviced markets; any failure to realize expectations with respect to the anticipated timing for harvests, propagation, completion of construction and installation of extraction infrastructure at the Company’s Sintra facility; the Company being unable to commence GMP packaging and commercial sales in Europe within the anticipated timeframe or at all; the Company being unable to realize expectations for annual production and processing capacity at its Sintra facility; the inability to complete a partial extraction and processing facility at the Company’s Aljustrel facility; the Aljustrel facility being unable to complete a phased ramp up of production; Flowr’s assets in Australia not being a hub for distribution and sales of medicinal cannabis into the Australasian region; Flowr being unable to service the global medical cannabis market and/or operate GMP-designed manufacturing facilities in Portugal and Australia; Flowr being unable to support improving outcomes through responsible cannabis use and/or striving to be the brand of choice for consumers and patients seeking highest-quality craftmanship and product consistency; the construction and development of Holigen’s and the Company’s cultivation and production facilities; general economic and stock market conditions; adverse industry events; loss of markets; future legislative and regulatory developments in Canada and elsewhere; the cannabis industry in Canada generally; the ability of Flowr to implement its business strategies; Flowr’s inability to produce or sell premium quality cannabis; the impacts of the COVID-19 pandemic materially adversely effecting Flowr’s business; the risks and uncertainties detailed from time to time in Flowr’s filings with the Canadian Securities Administrators; and many other factors beyond the control of Flowr.

Although Flowr has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking information can be guaranteed. Except as required by applicable securities laws, forward-looking information speaks only as of the date on which they are made and Flowr undertakes no obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise. When considering such forward-looking information, readers should keep in mind the risk factors and other cautionary statements in Flowr’s Annual Information Form dated April 28, 2020 (the “AIF”) and filed with the applicable securities regulatory authorities in Canada. The risk factors and other factors noted in the AIF could cause actual events or results to differ materially from those described in any forward-looking information.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

November 24, 2020 5:08 pm

Sturm, Ruger & Company, Inc. Completes the Acquisition of Marlin Assets

SOUTHPORT, Conn.–(BUSINESS WIRE)–
Sturm, Ruger & Company, Inc. (NYSE-RGR) announced today that the closing of its acquisition of substantially all of the Marlin Firearms assets occurred on Monday, November 23. The agreement to purchase these assets emanated from the Remington Outdoor Company, Inc. bankruptcy and was approved by the United States Bankruptcy Court for the Northern District of Alabama on September 30, 2020. The purchase price of approximately $28.3 million was paid with available cash on hand.

Chief Executive Officer Christopher J. Killoy noted the excitement that has permeated the firearms industry in anticipation of the confluence of these two iconic firearms brands, “Since we announced the agreement to purchase Marlin in September, we have heard from countless members of the firearms community – consumers, retailers, distributors, writers, and collectors – who are delighted that legendary Marlin rifles are now part of the Ruger product family. We are excited to start moving these assets to our Ruger facilities and setting up the manufacturing cells that will produce Marlin rifles for years to come. We look forward to re-introducing Marlin rifles in the latter half of 2021.”

About Sturm, Ruger & Co., Inc.

Sturm, Ruger & Co., Inc. is one of the nation’s leading manufacturers of rugged, reliable firearms for the commercial sporting market. With products made in America, Ruger offers consumers almost 800 variations of more than 40 product lines. For more than 70 years, Ruger has been a model of corporate and community responsibility. Our motto, “Arms Makers for Responsible Citizens^®,” echoes our commitment to these principles as we work hard to deliver quality and innovative firearms.

The Company may, from time to time, make forward-looking statements and projections concerning future expectations. Such statements are based on current expectations and are subject to certain qualifying risks and uncertainties, such as market demand, sales levels of firearms, anticipated castings sales and earnings, the need for external financing for operations or capital expenditures, the results of pending litigation against the Company, the impact of future firearms control and environmental legislation, and accounting estimates, any one or more of which could cause actual results to differ materially from those projected. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. The Company undertakes no obligation to publish revised forward-looking statements to reflect events or circumstances after the date such forward-looking statements are made or to reflect the occurrence of subsequent unanticipated events.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201124005957/en/

Sturm, Ruger & Company, Inc.

One Lacey Place

Southport, CT 06890

www.ruger.com

203-259-7843

KEYWORDS: United States North America Connecticut Alabama

INDUSTRY KEYWORDS: Sports Other Sports Manufacturing Outdoors Other Manufacturing Hunting

MEDIA:

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November 24, 2020 5:07 pm

The Canadian Gift Association Partners with Brandwise for a New Online Marketplace

CanGift 365 is the solution to the shift in B2B trade markets during the COVID-19 pandemic

TORONTO, Nov. 24, 2020 (GLOBE NEWSWIRE) — The Canadian Gift Association (CanGift) is partnering with marketplace innovator Brandwise to lead the way in wholesale ordering technology. With a strong focus on Canada’s gift and home décor industry, the platform connects wholesale suppliers and brands with retailers ready to place orders for the latest products to sell in their stores. It’s all happening digitally, 7 days a week, 24 hours a day.

Introducing:

CanGift 365
.

“The membership of our association is comprised of wholesale companies,” explains Anita Schachter, President & CEO of the Canadian Gift Association. “We’ve worked extremely hard to find a direction that will create new business opportunities across the country, and I am very pleased to say, this online platform is exclusive to Canada.”

Launching in February 2021, CanGift qualified retail buyers will be able to log in to explore brands and products from CanGift members and place orders directly through the site with the opportunity to work directly with trusted industry salespeople trained on those products.

An expansive search feature allows buyers to discover products across all brands, making this platform accessible for both small and large suppliers.

“The human connection is the core of our industry that can’t be forgotten,” says Schachter. “With the cancellation of our in-person trade events because of the COVID-19 pandemic, creating a virtual commerce opportunity was as essential as keeping that personal touch.”

“We are honoured to partner with the Canadian Gift Association and their stakeholders,” says Todd Litzman, Co-Founder and CEO of Brandwise. “We have a long history of working with Canadian partners including hundreds of CanGift members who have been part of our ecosystem for many years.”

In addition to the safety and convenience of ordering directly from the comfort of your own store, office, or home, CanGift 365 enhances the relationship between retailers, wholesale suppliers, salespeople, agencies, and the gift industry as a whole. Additional benefits include a low barrier to entry for wholesale companies, access to thousands of products across hundreds of wholesale suppliers and the incorporation of the Brandwise 2.0 architecture.

The CanGift 365 marketplace provides a foundation for membership within the association and enhances the future of their in-person trade shows. With Brandwise’s experience in training, technical and show support and operations expertise behind this initiative, the digital platform can also be used for face-to-face order capturing, making it a timeless opportunity for all participants.

This opportunity is available exclusively for CanGift Gold Members.

About the Canadian Gift Association

CanGift is the voice of Canada’s giftware industry, connecting wholesale companies to retail store buyers at the Toronto and Alberta Gift + Home Markets. These B2B events are regularly attended by a combined 25,000+ annual retail buyers looking to place orders, source the latest trends and learn from industry experts.

About Brandwise

Brandwise was born from their founders’ need for a better way to handle the burden of processing paper orders after a busy market. Twenty-three years later, they are internationally known and are trusted with managing a vast portion of the business activity in the gift and home décor industries. Still working hard to bring new and innovative solutions to the wholesale community, at Brandwise, their mission is to empower and simplify the order process by providing sales creation and enablement technology to manage and grow their clients’ businesses and the collective future of the industry.

For additional information, please contact:

Nicole Hilton
Chief Marketing Officer
Canadian Gift Association
[email protected]

Brittany Pleshcan
Marketing Specialist
Canadian Gift Association
[email protected]

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/f2dcc48d-1a99-423e-9e01-f2383abdca22

November 24, 2020 5:07 pm

ROSEN, RESPECTED INVESTOR COUNSEL, Reminds Loop Industries, Inc. Investors of Important December 14 Deadline in Securities Class Action; Encourages Investors with Losses in Excess of $100K to Contact the Firm – LOOP

NEW YORK, Nov. 24, 2020 (GLOBE NEWSWIRE) — Rosen Law Firm, a global investor rights law firm, reminds purchasers of the securities of Loop Industries, Inc. (NASDAQ: LOOP) between September 24, 2018 and October 12, 2020, inclusive (the “Class Period”), of the important December 14, 2020 lead plaintiff deadline in securities class action. The lawsuit seeks to recover damages for Loop investors under the federal securities laws.

To join the Loop class action, go to http://www.rosenlegal.com/cases-register-1969.html or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] or [email protected] for information on the class action.

According to the lawsuit, defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) Loop scientists were encouraged to misrepresent the results of Loop’s purportedly proprietary process; (2) Loop did not have the technology to break PET down to its base chemicals at a recovery rate of 100%; (3) as a result, the Company was unlikely to realize the purported benefits of Loop’s announced partnerships with Indorama and Thyssenkrupp; and (4) as a result of the foregoing, defendants’ positive statements about Loop’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis. When the true details entered the market, the lawsuit claims that investors suffered damages.

A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than December 14, 2020. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to join the litigation, go to http://www.rosenlegal.com/cases-register-1969.html or to discuss your rights or interests regarding this class action, please contact Phillip Kim, Esq. of Rosen Law Firm toll free at 866-767-3653 or via e-mail at [email protected] or [email protected].

NO CLASS HAS YET BEEN CERTIFIED IN THE ABOVE ACTION. UNTIL A CLASS IS CERTIFIED, YOU ARE NOT REPRESENTED BY COUNSEL UNLESS YOU RETAIN ONE. YOU MAY RETAIN COUNSEL OF YOUR CHOICE. YOU MAY ALSO REMAIN AN ABSENT CLASS MEMBER AND DO NOTHING AT THIS POINT. AN INVESTOR’S ABILITY TO SHARE IN ANY POTENTIAL FUTURE RECOVERY IS NOT DEPENDENT UPON SERVING AS LEAD PLAINTIFF.

Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.

Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 3 each year since 2013. Rosen Law Firm has achieved the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm’s attorneys are ranked and recognized by numerous independent and respected sources. Rosen Law Firm has secured hundreds of millions of dollars for investors. Attorney Advertising. Prior results do not guarantee a similar outcome.

Contact Information:

        Laurence Rosen, Esq.
        Phillip Kim, Esq.
        The Rosen Law Firm, P.A.
        275 Madison Avenue, 40th Floor
        New York, NY 10016
        Tel: (212) 686-1060
        Toll Free: (866) 767-3653
        Fax: (212) 202-3827
        [email protected]
        [email protected]
        [email protected]
        www.rosenlegal.com

November 24, 2020 5:07 pm

BNY Mellon Alcentra Global Credit Income 2024 Target Term Fund, Inc. Declares Monthly Distribution

BNY Mellon Alcentra Global Credit Income 2024 Target Term Fund, Inc. Declares Monthly Distribution

NEW YORK–(BUSINESS WIRE)–
On November 24, 2020, BNY Mellon Alcentra Global Credit Income 2024 Target Term Fund, Inc. (NYSE: DCF) declared a distribution of $0.050 per share of common stock, payable on December 22, 2020 to shareholders of record at the close of business on December 8, 2020. The ex-dividend date is December 7, 2020. The previous distribution declared in October was $0.050 per share of common stock.

The Fund intends to pay most, but likely not all, of its net income to common shareholders in monthly income dividends. As portfolio and market conditions may change, the distribution rate, the composition of the distribution and the Fund’s policy to declare distributions monthly may be subject to change, including by the Board of Directors.

Important Information

BNY Mellon Investment Adviser, Inc., the investment adviser for the Fund, is part of BNY Mellon Investment Management. BNY Mellon Investment Management is one of the world’s leading investment management organizations and one of the top U.S. wealth managers, with US $2.0 trillion in assets under management as of September 30, 2020. BNY Mellon Investment Management encompasses BNY Mellon’s affiliated investment management firms, wealth management organization and global distribution companies. Through an investor-first approach, BNY Mellon Investment Management brings to clients the best of both worlds: specialist expertise from eight world-class investment firms offering solutions across every major asset class, backed by the strength, stability, and global presence of The Bank of New York Mellon Corporation (NYSE: BK), one of the world’s most trusted investment partners, which has US $38.6 trillion in assets under custody and/or administration as of September 30, 2020.

BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation and may also be used as a generic term to reference the Corporation as a whole or its various subsidiaries generally. Additional information on BNY Mellon Investment Management is available on www.im.bnymellon.com. BNY Mellon Investment Management’s website is intended to allow investors public access to information regarding the Fund and does not, and is not intended to, incorporate the website in this release.

Closed-end funds are traded on the secondary market through one of the stock exchanges. The Fund’s investment returns and principal values will fluctuate so that an investor’s shares may be worth more or less than the original cost. Shares of closed-end funds may trade above (a premium) or below (a discount) the net asset value (NAV) of the fund’s portfolio. There is no assurance that the Fund will achieve its investment objective.

This release is for informational purposes only and should not be considered as investment advice or a recommendation of any particular security.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201124006021/en/

For Press Inquiries:

BNY Mellon Investment Adviser, Inc.

Benjamin Tanner

(212) 635-8676

For Other Inquiries:

BNY Mellon Securities Corporation

The National Marketing Desk

240 Greenwich Street

New York, New York 10286

1-800-334-6899

KEYWORDS: United States North America New York

INDUSTRY KEYWORDS: Banking Professional Services Finance

MEDIA:

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November 24, 2020 5:05 pm

Yatra Regains Compliance with NASDAQ Minimum Bid Price Requirement

PR Newswire

GURUGRAM, India and NEW YORK, Nov. 24, 2020 /PRNewswire/ — Yatra Online, Inc. (“Company”) (NASDAQ: YTRA; OTCQX: YTROF), India’s leading corporate travel services provider and one of India’s leading online travel companies, announced today that it has received a letter from the Listing Qualifications Department of The Nasdaq Stock Market, Inc. notifying the Company that it has regained compliance with the NASDAQ Capital Market’s minimum bid price continued listing requirement.

The letter noted that for at least 10 consecutive business days, from November 9 through November 23, 2020, the closing bid price of the Company’s ordinary shares has been at $1.00 per share or greater. Accordingly, the Company has regained compliance with NASDAQ Marketplace Rule 5550(a)(2) and NASDAQ considers the matter closed.

About Yatra Online, Inc.
Yatra Online, Inc. is the parent company of Yatra Online Pvt. Ltd. which is based in Gurugram, India and is India’s leading corporate travel services provider with over 700+ Corporate customers and one of India’s leading online travel companies and operates the website https://www.yatra.com/. The company provides information, pricing, availability, and booking facility for domestic and international air travel, domestic and international hotel bookings, holiday packages, buses, trains, in city activities, inter-city and point-to-point cabs, homestays and cruises. As a leading platform of accommodation options, Yatra provides real-time bookings for more than 103,000 hotels in India and over 1,500,000 hotels around the world.

View original content to download multimedia:http://www.prnewswire.com/news-releases/yatra-regains-compliance-with-nasdaq-minimum-bid-price-requirement-301180143.html

SOURCE Yatra Online, Inc.

November 24, 2020 5:05 pm

Alimentation Couche-Tard Announces its Results for its Second Quarter of Fiscal Year 2021

PR Newswire

Net earnings attributable to shareholders of the Corporation (“net earnings”) were $757.0 million or $0.68 per diluted share for the second quarter of fiscal 2021 compared with $578.6 million or $0.51 per diluted share for the second quarter of fiscal 2020. Adjusted net earnings were approximately $735.0 million¹ compared with $569.0 million¹ for the second quarter of fiscal 2020. Adjusted net earnings per share on a diluted basis were $0.66¹, representing an increase of 32.0% from $0.50¹ for the corresponding quarter of last year.
The COVID-19 pandemic continues to have a meaningful impact on the Corporation’s quarterly financial results. Traffic remained soft throughout its network due to ongoing restrictive social measures and continued work from home trends across the various geographies in which it operates. From a merchandise perspective, sales benefited from consolidation of trips, new shopping options and diversified product offerings. From a fuel perspective, volumes improved compared to the prior quarter, particularly in Europe which benefited from favorable summer weather, but remained challenged by work from home trends and evolving local restrictions, while fuel margins remained healthy.
Total merchandise and service revenues of $3.8 billion, an increase of 6.3%. Same-store merchandise revenues increased 4.4% in the U.S., 8.6% in Europe, and 11.4% in Canada.
Merchandise and service gross margin increased 0.1% in the U.S. to 34.0%, while it decreased 1.1% to 40.2% in Europe, negatively impacted by product mix, and remained steady in Canada at 32.6%.
Same-store road transportation fuel volume decreased 15.5% in the U.S., 4.5% in Europe, and 11.8% in Canada.
Road transportation fuel gross margin increased by 9.19¢ per gallon in the U.S. to 37.48¢ per gallon, by US 2.76¢ per liter in Europe to US 11.10¢ per liter, and by CA 2.16¢ per liter in Canada to CA 10.05¢ per liter.
Normalized operating, selling, administrative and general expenses declined 0.8% as rigorous cost control more than compensated for the additional COVID-19 related expenses.
Subsequent to the end of the quarter, the Corporation entered into an agreement to acquire all the issued and outstanding shares of Convenience Retail Asia (BVI) Limited for approximately $360.0 million.
The Corporation’s cash position is stronger than ever, with access to approximately $6.0 billion through its available cash and revolving unsecured operating credit facility. Its leverage ratio² stood at 1.13 : 1, on a pro forma basis.
25.0% increase of the quarterly dividend, from CA 7.00¢ to CA 8.75¢.
The Corporation announced the renewal of its share repurchase program which will allow it to repurchase up to 4.0% of the public float of its Class B subordinate voting shares.
Return on capital employed² stood at 17.3%, on a pro forma basis.

LAVAL, QC, Nov. 24, 2020 /PRNewswire/ – For its second quarter ended October 11, 2020, Alimentation Couche-Tard Inc. (“Couche-Tard” or the “Corporation”) (TSX: ATD.A) (TSX: ATD.B) announces net earnings attributable to shareholders of the Corporation of $757.0 million, representing $0.68 per share on a diluted basis. The results for the second quarter of fiscal 2021 were affected by a pre-tax gain on disposal of $40.9 million related to the sale of a property located in Toronto, Canada, a pre-tax net foreign exchange loss of $8.9 million, as well as pre-tax acquisition costs of $1.2 million. The results for the comparable quarter of fiscal 2020 were affected by a pre-tax net foreign exchange gain of $11.8 million, pre-tax acquisition costs of $0.8 million, as well as a tax benefit from the second tranche of the December 2018 asset exchange agreement with CAPL, of which $0.7 million was attributable to shareholders of the Corporation. Excluding these items, the adjusted net earnings were approximately $735.0 million¹ or $0.66¹ per share on a diluted basis for the second quarter of fiscal 2021, compared with $569.0 million¹ or $0.50¹ per share on a diluted basis for the second quarter of fiscal 2020, an increase of 32.0% in the adjusted net earnings per share on a diluted basis, driven by strong growth in merchandise and service and in road transportation fuel gross profit, as well as by good cost control. All financial information presented is in US dollars unless stated otherwise.

“Across our global network, we had a strong second quarter, both in our stores and on our forecourts, even with the continuing impact of COVID-19. New customers and associated share gains since the start of the pandemic have continued as consumers take advantage of the convenience and proximity of our locations. This led to solid same-store sales growth of 4.4% in the U.S., 8.6% in Europe, and 11.4% in Canada. In Europe, we also had improvement in fuel volumes with strong B2B performance and favorable weather encouraging consumer travel. Overall, we continued to achieve healthy fuel margins during the quarter bolstered by conversions to the Circle K fuel brand and a continued focus in sourcing and logistics capabilities, which we expect will lead to improvements in the value chain and margins over time,” said Brian Hannasch, President and Chief Executive Officer of Alimentation Couche-Tard.

“We continue to be very pleased with developments in our food program, which is the biggest project ever undertaken by the organization. In the U.S., despite COVID-19 and associated supply chain disruptions, we met our target of introducing 1,500 Fresh Food, Fast locations by this fall. Our focus remains on the quality and ease of our fresh food offer, both for our customers and our team members. Stores with Fresh Food, Fast have been performing very well relative to test stores, and we are also customizing the offer to meet the tastes and pricing needs of our local communities. Based on these results, we plan to rollout the program in another 3,000 locations in North America by the end of fiscal year 2022. I am particularly proud that we are meeting our food service deployment goals through the challenges of this year,” concluded Brian Hannasch.

Claude Tessier, Chief Financial Officer, said: “Our business continues to show a lot of flexibility and resilience despite the disruptions on shopping and commuting behaviors caused by the pandemic. Once again, we executed well during the second quarter on our cost optimization initiatives including solid labor efficiencies, savings in goods-not-for-resale and strong control on discretionary expenses. Our balance sheet, with $6.0 billion of cash, on hand and available under our credit facility, remains well-positioned to support our global growth ambition. We continue to favor a balanced approach towards capital allocation and have announced the renewal of our share repurchase program representing 4.0% of the public float of our Class B shares to complement our quarterly dividend, for which an increase of 25.0% was approved on November 24, 2020.”

___________________________

1	Please refer to the section “Net earnings attributable to shareholders of the Corporation (“net earnings”) and adjusted net earnings attributable to shareholders of the Corporation (“adjusted net earnings”)” of this press release for additional information on this performance measure not defined by IFRS.
2	Please refer to the section “Summary Analysis of Consolidated Results for the Second Quarter and First Half-year of Fiscal 2021” of this press release for additional information on these performance measures not defined by IFRS.

Significant Items of the Second Quarter of Fiscal 2021

The COVID-19 pandemic continues to have a meaningful impact on our quarterly financial results. Traffic remained soft throughout our network due to ongoing restrictive social measures and continued work from home trends across the various geographies in which we operate. The impact of lower traffic on the merchandise sales was however more than offset by an increase in the average basket size as consumers consolidated their trips and took advantage of new shopping options and diversified product offerings. From a fuel perspective, volumes improved compared to the prior quarter, particularly in Europe which benefited from favorable summer weather, but remained challenged by work from home trends and evolving local restrictions, while fuel margins remained healthy. Lastly, from an operating expense perspective, the initiatives implemented across our network to reduce our controllable expenses had a favorable impact while we continued to promote and support the wellness of our employees and customers.
The terms and conditions of our investments in Fire & Flower Holdings Corp. were amended mainly to modify the maturity and expiry dates of the financial instruments, as well as their respective conversion and exercise price to a lower strike price or to a market-based price. The amendments also gave rise to a commitment from Couche-Tard to exercise a portion of the common share purchase warrants for an amount of CA $19.0 million, no later than December 31, 2020, of which CA $10.3 million ($7.8 million) was exercised during the second quarter.
We disposed of a property located in Toronto, Canada, for a cash consideration of $54.7 million and recognized to earnings a gain on disposal of $40.9 million.
We fully repaid, at maturity, our CA $300.0 million ($227.1 million) Canadian-dollar-denominated senior unsecured notes issued on August 21, 2013.
On November 24, 2020, subsequent to the end of the quarter, the Toronto Stock Exchange approved the renewal of our share repurchase program which will allow us to repurchase up to 4.0% of the public float of our Class B subordinate voting shares.

Changes in our Network during the Second Quarter of Fiscal 2021

We closed the sixth and final transaction of the December 2018 asset exchange agreement with CrossAmerica Partners LP (“CAPL”). In this sixth transaction, we transferred 24 Circle K U.S. stores for a total value of approximately $20.0 million. In exchange, CAPL transferred the real estate for 4 properties of an equivalent value.
We acquired 10 company-operated stores from Wadsworth Oil Company of Clanton, Inc., all located in Alabama, within the United States. We settled this transaction using our available cash and existing credit facilities.
We acquired one company-operated store, reaching a total of two single-site acquisitions since the beginning of fiscal year 2021.
We completed the construction of 13 stores and the relocation or reconstruction of 1 store, reaching a total of 38 stores since the beginning of fiscal year 2021. As of October 11, 2020, another 51 stores were under construction and should open in the upcoming quarters.
On November 5, 2020, subsequent to the end of the quarter, we entered into an agreement to acquire all the issued and outstanding shares of Convenience Retail Asia (BVI) Limited (“Circle K HK”) for a purchase price of HK $2.8 billion, or approximately $360.0 million. Circle K HK, a subsidiary of Convenience Retail Asia Limited, operates a network of Circle K-licensed convenience stores, with 340 company-operated stores in Hong Kong and 33 franchised stores in Macau. The transaction is still subject to Convenience Retail Asia Limited shareholders’ approval and we expect it to close before the end of calendar year 2020.
On November 12, 2020, subsequent to the end of the quarter, we acquired seven company-operated stores from Pride C-Stores Inc., all located in Indiana, within the United States. We settled this transaction using our available cash and existing credit facilities.

Summary of changes in our store network

The following table presents certain information regarding changes in our store network over the 12-week period ended October 11, 2020:


	12-week period ended October 11, 2020
Type of site	Company- operated	CODO	DODO	Franchised and other affiliated	Total
Number of sites, beginning of period	9,647	435	662	1,244	11,988
Acquisitions	11	—	—	3	14
Openings / constructions / additions	13	1	9	16	39
Closures / disposals / withdrawals	(40)	(4)	(5)	(9)	(58)
Store conversion	2	(26)	24	—	—
Number of sites, end of period	9,633	406	690	1,254	11,983
Circle K branded sites under licensing agreements					2,221
Total network					14,204
Number of automated fuel stations included in the period-end figures	986	—	9	—	995

Exchange Rate Data

We use the US dollar as our reporting currency, which provides more relevant information given the predominance of our operations in the United States.

The following table sets forth information about exchange rates based upon closing rates expressed as US dollars per comparative currency unit:

	12-week periods ended		24-week periods ended
	October 11, 2020	October 13, 2019	October 11, 2020	October 13, 2019
Average for period
Canadian dollar	0.7541	0.7547	0.7416	0.7531
Norwegian krone	0.1101	0.1115	0.1064	0.1134
Swedish krone	0.1136	0.1032	0.1097	0.1044
Danish krone	0.1582	0.1482	0.1538	0.1494
Zloty	0.2653	0.2551	0.2568	0.2589
Euro	1.1777	1.1063	1.1453	1.1150
Ruble	0.0134	0.0154	0.0137	0.0155

Summary Analysis of Consolidated Results for the Second Quarter and First Half-year of Fiscal 2021

The following table highlights certain information regarding our operations for the 12 and 24-week periods ended October 11, 2020, and October 13, 2019. CAPL refers to CrossAmerica Partners LP.

	12-week periods ended			24-week periods ended
(in millions of US dollars, unless otherwise stated)	October 11, 2020	October 13, 2019	Variation %	October 11, 2020	October 13, 2019	Variation %
Statement of Operations Data:
Merchandise and service revenues⁽¹⁾:
United States	2,736.4	2,629.8	4.1	5,587.8	5,287.6	5.7
Europe	394.6	331.3	19.1	737.8	684.4	7.8
Canada	629.8	568.4	10.8	1,293.0	1,144.0	13.0
CAPL	—	9.8	(100.0)	—	29.6	(100.0)
Elimination of intercompany transactions with CAPL	—	(0.3)	(100.0)	—	(0.8)	(100.0)
Total merchandise and service revenues	3,760.8	3,539.0	6.3	7,618.6	7,144.8	6.6
Road transportation fuel revenues:
United States	4,438.3	6,519.0	(31.9)	8,344.3	13,320.5	(37.4)
Europe	1,496.2	1,876.5	(20.3)	2,678.6	3,796.3	(29.4)
Canada	875.7	1,130.8	(22.6)	1,552.7	2,332.2	(33.4)
CAPL	—	530.1	(100.0)	—	1,097.5	(100.0)
Elimination of intercompany transactions with CAPL	—	(116.1)	(100.0)	—	(237.5)	(100.0)
Total road transportation fuel revenues	6,810.2	9,940.3	(31.5)	12,575.6	20,309.0	(38.1)
Other revenues⁽²⁾:
United States	9.5	8.1	17.3	17.0	15.0	13.3
Europe	69.5	161.8	(57.0)	144.7	316.9	(54.3)
Canada	5.4	5.3	1.9	9.3	10.1	(7.9)
CAPL	—	27.0	(100.0)	—	52.8	(100.0)
Elimination of intercompany transactions with CAPL	—	(3.5)	(100.0)	—	(7.6)	(100.0)
Total other revenues	84.4	198.7	(57.5)	171.0	387.2	(55.8)
Total revenues	10,655.4	13,678.0	(22.1)	20,365.2	27,841.0	(26.9)
Merchandise and service gross profit⁽¹⁾:
United States	931.5	891.8	4.5	1,919.8	1,796.7	6.9
Europe	158.6	136.9	15.9	297.8	283.4	5.1
Canada	205.1	185.1	10.8	415.6	374.6	10.9
CAPL	—	2.2	(100.0)	—	6.8	(100.0)
Elimination of intercompany transactions with CAPL	—	(0.3)	(100.0)	—	(0.8)	(100.0)
Total merchandise and service gross profit	1,295.2	1,215.7	6.5	2,633.2	2,460.7	7.0
Road transportation fuel gross profit:
United States	767.4	698.4	9.9	1,579.9	1,370.9	15.2
Europe	283.2	226.2	25.2	519.7	448.4	15.9
Canada	97.3	86.4	12.6	179.0	167.9	6.6
CAPL	—	23.9	(100.0)	—	47.0	(100.0)
Total road transportation fuel gross profit	1,147.9	1,034.9	10.9	2,278.6	2,034.2	12.0
Other revenues gross profit⁽²⁾:
United States	9.5	8.1	17.3	17.0	15.0	13.3
Europe	27.4	31.9	(14.1)	58.3	63.2	(7.8)
Canada	5.4	5.2	3.8	9.3	10.0	(7.0)
CAPL	—	27.0	(100.0)	—	52.8	(100.0)
Elimination of intercompany transactions with CAPL	—	(3.5)	(100.0)	—	(7.6)	(100.0)
Total other revenues gross profit	42.3	68.7	(38.4)	84.6	133.4	(36.6)
Total gross profit	2,485.4	2,319.3	7.2	4,996.4	4,628.3	8.0
Operating, selling, administrative and general expenses
Excluding CAPL⁽¹¹⁾	1,194.4	1,214.8	(1.7)	2,365.4	2,439.1	(3.0)
CAPL	—	18.3	(100.0)	—	38.5	(100.0)
Elimination of intercompany transactions with CAPL	—	(3.7)	(100.0)	—	(8.1)	(100.0)
Total Operating, selling, administrative and general expenses	1,194.4	1,229.4	(2.8)	2,365.4	2,469.5	(4.2)
(Gain) loss on disposal of property and equipment and other assets	(35.1)	1.0	(3,610.0)	(43.9)	11.1	(495.5)
Depreciation, amortization and impairment
Excluding CAPL	305.8	292.9	4.4	595.3	577.1	3.2
CAPL	—	23.3	(100.0)	—	46.2	(100.0)
Total depreciation, amortization and impairment	305.8	316.2	(3.3)	595.3	623.3	(4.5)
Operating income
Excluding CAPL	1,020.3	763.0	33.7	2,079.6	1,506.0	38.1
CAPL	—	9.8	(100.0)	—	18.7	(100.0)
Elimination of intercompany transactions with CAPL	—	(0.1)	(100.0)	—	(0.3)	(100.0)
Total operating income	1,020.3	772.7	32.0	2,079.6	1,524.4	36.4
Net financial expenses	77.2	60.1	28.5	165.2	147.1	12.3
Net earnings including non-controlling interests	757.0	579.4	30.7	1,534.1	1,115.4	37.5
Net (earnings) loss attributable to non-controlling interests	—	(0.8)	(100.0)	—	2.0	(100.0)
Net earnings attributable to shareholders of the Corporation	757.0	578.6	30.8	1,534.1	1,117.4	37.3
Per Share Data:
Basic net earnings per share (dollars per share)	0.68	0.51	33.3	1.38	0.99	39.4
Diluted net earnings per share (dollars per share)	0.68	0.51	33.3	1.38	0.99	39.4
Adjusted diluted net earnings per share (dollars per share)⁽¹¹⁾	0.66	0.50	32.0	1.37	0.99	38.4


	12-week periods ended			24-week periods ended
(in millions of US dollars, unless otherwise stated)	October 11, 2020	October 13, 2019	Variation %	October 11, 2020	October 13, 2019	Variation %
Other Operating Data – excluding CAPL:
Merchandise and service gross margin⁽¹⁾:
Consolidated	34.4%	34.4%	—	34.6%	34.5%	0.1
United States	34.0%	33.9%	0.1	34.4%	34.0%	0.4
Europe	40.2%	41.3%	(1.1)	40.4%	41.4%	(1.0)
Canada	32.6%	32.6%	—	32.1%	32.7%	(0.6)
Growth of same-store merchandise revenues⁽³⁾:
United States⁽⁴⁾	4.4%	3.2%		6.1%	2.9%
Europe	8.6%	3.3%		6.0%	2.0%
Canada⁽⁴⁾	11.4%	2.1%		15.7%	1.2%
Road transportation fuel gross margin:
United States (cents per gallon)⁽⁴⁾	37.48	28.29	32.5	40.14	27.57	45.6
Europe (cents per liter)	11.10	8.34	33.1	10.82	8.39	29.0
Canada (CA cents per liter)⁽⁴⁾	10.05	7.89	27.4	10.16	7.64	33.0
Total volume of road transportation fuel sold:
United States (millions of gallons)	2,098.2	2,601.8	(19.4)	4,049.1	5,192.4	(22.0)
Europe (millions of liters)	2,550.7	2,713.2	(6.0)	4,801.2	5,346.8	(10.2)
Canada (millions of liters)	1,288.4	1,458.4	(11.7)	2,380.8	2,931.0	(18.8)
(Decrease in) growth of same-store road transportation fuel volume:
United States⁽⁴⁾	(15.5)%	0.6%		(18.4)%	0.6%
Europe⁽⁴⁾	(4.5)%	(0.6)%		(8.3)%	(1.1)%
Canada⁽⁴⁾	(11.8)%	0.2%		(18.7)%	0.3%

(in millions of US dollars, unless otherwise stated)	As at October 11, 2020	As at April 26, 2020	Variation $
Balance Sheet Data:
Total assets	26,767.1	25,679.5	1,087.6
Interest-bearing debt ⁽⁵⁾	9,043.4	10,379.3	(1,335.9)
Equity	11,919.9	10,066.6	1,853.3
Indebtedness Ratios⁽⁶⁾:
Net interest-bearing debt/total capitalization⁽⁵⁾⁽⁷⁾	0.32 : 1	0.40 : 1
Leverage ratio^(8)(11)	1.13 : 1	1.54 : 1
Returns⁽⁶⁾:
Return on equity⁽⁹⁾	25.7%	24.8%
Return on capital employed⁽¹⁰⁾	17.3%	15.0%


(1)	Includes revenues derived from franchise fees, royalties, suppliers’ rebates on some purchases made by franchisees and licensees, as well as from wholesale of merchandise.
(2)	Includes revenues from the rental of assets and from the sale of aviation fuel and energy for stationary engines.
(3)	Does not include services and other revenues (as described in footnotes 1 and 2 above). Growth in Canada and in Europe is calculated based on local currencies.
(4)	For company-operated stores only.
(5)	This measure is presented including the following balance sheet accounts: Current portion of long-term debt, Long-term debt, Current portion of lease liabilities, and Lease liabilities.
(6)	Until November 2019, these measures are presented as if our investment in CAPL was reported using the equity method as we believe it allows a more relevant presentation of the underlying performance of the Corporation.
(7)	This measure is presented for information purposes only and represents a measure of financial condition used especially in financial circles. It represents the following calculation: interest-bearing debt, net of cash and cash equivalents and temporary investments divided by the addition of shareholders’ equity and interest-bearing debt, net of cash and cash equivalents and temporary investments. It does not have a standardized meaning prescribed by IFRS and therefore may not be comparable to similar measures presented by other public corporations. We believe this measure is useful to investors and analysts.
(8)	This measure is presented for information purposes only and represents a measure of financial condition used especially in financial circles. It represents the following calculation: interest-bearing debt, net of cash and cash equivalents and temporary investments divided by EBITDA for the last 52 weeks (Earnings before Interest, Tax, Depreciation, Amortization and Impairment) adjusted for specific items. It does not have a standardized meaning prescribed by IFRS and therefore may not be comparable to similar measures presented by other public corporations. We believe this measure is useful to investors and analysts.
(9)	This measure is presented for information purposes only and represents a measure of performance used especially in financial circles. It represents the following calculation: net earnings for the last 52 weeks divided by average equity for the corresponding period. It does not have a standardized meaning prescribed by IFRS and therefore may not be comparable to similar measures presented by other public corporations. We believe this measure is useful to investors and analysts.
(10)	This measure is presented for information purposes only and represents a measure of performance used especially in financial circles. It represents the following calculation: earnings before income taxes and interests for the last 52 weeks divided by average capital employed for the corresponding period. Capital employed represents total assets less short-term liabilities not bearing interests. It does not have a standardized meaning prescribed by IFRS and therefore may not be comparable to similar measures presented by other public corporations. We believe this measure is useful to investors and analysts.
(11)	Prior figures such as Adjusted EBITDA, Adjusted net earnings, as well as Adjusted diluted net earnings per share have been updated to remove the restructuring costs. This adjustment had no impact on the leverage ratio as of April 26, 2020. For additional information on these performance measures not defined by IFRS, please refer to the sections “Earnings before interest, taxes, depreciation, amortization and impairment (EBITDA) and adjusted EBITDA”, as well as “Net earnings attributable to shareholders of the Corporation (“net earnings”) and adjusted net earnings attributable to shareholders of the Corporation (“adjusted net earnings”)” of this press release. In addition, Operating, selling, administrative and general expenses excluding CAPL for the 12 and 24-week periods ended October 13, 2019 now include the restructuring costs that were previously presented on a distinct line.

Revenues

Our revenues were $10.7 billion for the second quarter of fiscal 2021, down by $3.0 billion, a decrease of 22.1% compared with the corresponding quarter of fiscal 2020. This performance is mainly attributable to a lower average road transportation fuel selling price, to the negative impact of COVID-19 on fuel demand, and to the disposal of our interests in CAPL which had an impact of approximately $447.0 million, partly offset by strong organic growth on merchandise and service sales, as well as by the net positive impact from the translation of revenues of our Canadian and European operations into US dollars, which had an impact of approximately $154.0 million.

For the first half-year of fiscal 2021, our revenues decreased by $7.5 billion or 26.9% compared with the corresponding period of fiscal 2020, mainly attributable to similar factors as those of the second quarter.

Merchandise and service revenues

Total merchandise and service revenues for the second quarter of fiscal 2021 were $3.8 billion, an increase of $221.8 million compared with the corresponding quarter of fiscal 2020. Excluding CAPL’s revenues, as well as the net positive impact from the translation of our Canadian and European operations into US dollars, merchandise and service revenues increased by approximately $208.0 million or 5.9%. This increase is primarily attributable to growth in basket size, which more than offset continued softness in traffic. The tobacco, package beverage, alcohol and grocery products categories continued to perform well all across our regions while in Europe, our fresh food category outperformed last year results. Same-store merchandise revenues increased by 4.4% in the United States, by 8.6% in Europe, and by 11.4% in Canada.

For the first half-year of fiscal 2021, the growth in merchandise and service revenues was $473.8 million compared with the first half-year of fiscal 2020. Excluding CAPL’s revenues, as well as the net negative impact from the translation of our Canadian and European operations into US dollars, merchandise and service revenues increased by approximately $512.0 million or 7.2%. Same-store merchandise revenues increased by 6.1% in the United States, by 6.0% in Europe and by 15.7% in Canada.

Road transportation fuel revenues

Total road transportation fuel revenues for the second quarter of fiscal 2021 were $6.8 billion, a decrease of $3.1 billion compared with the corresponding quarter of fiscal 2020. Excluding CAPL’s revenues, as well as the net positive impact from the translation of revenues of our Canadian and European operations into US dollars, road transportation fuel revenues decreased by approximately $2.8 billion, or 29.8%. This decrease is mostly attributable to a lower average road transportation fuel selling price, which had a negative impact of approximately $1.3 billion, as well as to the decrease on fuel demand in relation with the work from home trends due to the COVID-19 pandemic. Same-store road transportation fuel volume decreased by 15.5% in the United States, by 4.5% in Europe, and by 11.8% in Canada.

For the first half-year of fiscal 2021, the road transportation fuel revenues decreased by $7.7 billion compared with the first half-year of fiscal 2020. Excluding CAPL’s revenues, as well as the net negative impact from the translation of our Canadian and European operations into US dollars, road transportation fuel revenues decreased by approximately $6.9 billion or 35.3%. The negative impact of the lower average road transportation fuel selling price was approximately $3.1 billion. Same-store road transportation fuel volume decreased by 18.4% in the United States, by 8.3% in Europe, and by 18.7% in Canada.

The following table shows the average selling price of road transportation fuel of our company-operated stores in our various markets for the last eight quarters, starting with the third quarter of the fiscal year ended April 28, 2019:

Quarter		3^rd	4^th	1^st	2^nd	Weighted average
52-week period ended October 11, 2020
	United States (US dollars per gallon) – excluding CAPL	2.51	2.21	2.04	2.14	2.26
	Europe (US cents per liter)	73.92	60.95	56.89	63.19	64.91
	Canada (CA cents per liter)	103.47	88.78	86.89	92.00	94.34
52-week period ended October 13, 2019
	United States (US dollars per gallon) – excluding CAPL	2.42	2.51	2.66	2.55	2.53
	Europe (US cents per liter)	75.28	74.59	77.35	70.86	74.55
	Canada (CA cents per liter)	97.59	103.45	111.16	105.14	103.86

Other revenues

Total other revenues for the second quarter and first half-year of fiscal 2021 were $84.4 million and $171.0 million, respectively, a decrease of $114.3 million and $216.2 million compared with the corresponding periods of fiscal 2020. Excluding CAPL’s revenues, as well as the net positive impact from the translation of our Canadian and European operations into US dollars, other revenues decreased by $101.3 million and by $175.9 million in the second quarter and first half-year of fiscal 2021, respectively, primarily driven by lower demand and lower average selling prices in our other fuel products, which had a minimal impact on gross profit.

Gross profit

Our gross profit was $2.5 billion for the second quarter of fiscal 2021, up by $166.1 million, or 7.2%, compared with the corresponding quarter of fiscal 2020, mainly attributable to higher road transportation fuel gross margins, to strong organic growth in our convenience activities, as well as to the net positive impact from the translation of our Canadian and European operations into US dollars, which had an impact of approximately $25.0 million, partly offset by the negative impact of COVID-19 on fuel demand, and by the disposal of our interests in CAPL which had an impact of approximately $49.0 million.

For the first half-year of fiscal 2021, our gross profit increased by $368.1 million, or 8.0%, compared with the first half-year of fiscal 2020, mainly attributable to similar factors as those of the second quarter.

Merchandise and service gross profit

In the second quarter of fiscal 2021, our merchandise and service gross profit was $1.3 billion, an increase of $79.5 million compared with the corresponding quarter of fiscal 2020. Excluding CAPL’s gross profit, as well as the net positive impact from the translation of our Canadian and European operations into US dollars, merchandise and service gross profit increased by approximately $72.0 million, or 5.9%, mainly attributable to strong organic growth, despite lower traffic in our network due to COVID-19. Our gross margin increased by 0.1% in the United States to 34.0%, while it decreased by 1.1% in Europe to 40.2% due to our product mix towards lower margin categories. It remained steady at 32.6% in Canada.

During the first half-year of fiscal 2021, our merchandise and service gross profit was $2.6 billion, an increase of $172.5 million compared with the first half-year of fiscal 2020. Excluding CAPL’s gross profit, as well as the net negative impact from the translation of our Canadian and European operations into US dollars, merchandise and service gross profit increased by approximately $181.0 million, or 7.4%. The gross margin increased by 0.4% to 34.4% in the United States, while it decreased by 1.0% in Europe to 40.4%, and by 0.6% in Canada to 32.1%.

Road transportation fuel gross profit

In the second quarter of fiscal 2021, our road transportation fuel gross profit was $1.1 billion, an increase of $113.0 million compared with the corresponding quarter of fiscal 2020. Excluding CAPL’s gross profit, as well as the net positive impact from the translation of our Canadian and European operations into US dollars, our road transportation fuel gross profit increased by approximately $124.0 million, or 12.2%. In the United States, our road transportation fuel gross margin was 37.48¢ per gallon, an increase of 9.19¢ per gallon, in Europe, it was US 11.10¢ per liter, an increase of US 2.76¢ per liter, and in Canada, it was CA 10.05¢ per liter, an increase of CA 2.16¢ per liter. Growth in road transportation fuel gross margins were driven by decline in fuel product costs, changes in the competitive landscape and improved supply conditions.

During the first half-year of fiscal 2021, our road transportation fuel gross profit was $2.3 billion, an increase of $244.4 million compared with the first half-year of fiscal 2020. Excluding CAPL’s gross profit, as well as the net positive impact from the translation of our Canadian and European operations into US dollars, road transportation fuel gross profit increased by approximately $291.0 million, or 14.7%. The road transportation fuel gross margin was 40.14¢ per gallon in the United States, US 10.82¢ per liter in Europe, and CA 10.16¢ per liter in Canada.

The road transportation fuel gross margin of our company-operated stores in the United States and the impact of expenses related to electronic payment modes for the last eight quarters, starting with the third quarter of the fiscal year ended April 28, 2019, were as follows:

(US cents per gallon)
Quarter	3^rd	4^th	1^st	2^nd	Weighted average
52-week period ended October 11, 2020
Before deduction of expenses related to electronic payment modes	27.04	46.88	42.99	37.48	37.10
Expenses related to electronic payment modes	4.54	4.97	4.88	4.79	4.76
After deduction of expenses related to electronic payment modes	22.50	41.91	38.11	32.69	32.34
52-week period ended October 13, 2019
Before deduction of expenses related to electronic payment modes	29.42	18.51	26.86	28.29	26.00
Expenses related to electronic payment modes	4.31	4.40	4.70	4.63	4.50
After deduction of expenses related to electronic payment modes	25.11	14.11	22.16	23.66	21.50

Generally, during normal economic cycles, road transportation fuel margins in the United States can be volatile from one quarter to another but have historically trended higher over longer periods. The historical trends for Europe and Canada are similar, while the margin volatility and expenses related to electronic payment modes are not as significant.

Other revenues gross profit

In the second quarter and first half-year of fiscal 2021, other revenues gross profit was $42.3 million and $84.6 million, respectively, a decrease of $26.4 million and of $48.8 million, compared with the corresponding periods of fiscal 2020. Excluding CAPL’s gross profit, as well as the net positive impact from the translation of our Canadian and European operations into US dollars, other revenues gross profit decreased by approximately $5.0 million and $4.0 million in the second quarter and first half-year of fiscal 2021, respectively, mainly driven by a decrease in rental income.

Operating, selling, administrative and general expenses (“expenses”)

For the second quarter and first half-year of fiscal 2021, expenses decreased by 2.8% and 4.2%, respectively, compared with the corresponding periods of fiscal 2020. If we exclude certain items that are not considered indicative of future trends, expenses decreased by 0.8% and 0.6%, respectively.

	12-week period ended October 11, 2020	24-week period ended October 11, 2020
Total variance, as reported	(2.8%)	(4.2%)
Adjusted for:
Decrease from lower electronic payment fees, excluding acquisitions	1.6%	2.0%
Decrease from the disposal of our interests in CAPL	1.5%	1.6%
Increase from the net impact of foreign exchange translation	(1.2%)	—
Impact from the December 2018 asset exchange agreement with CAPL, net of electronic payment fees	0.4%	0.5%
Increase from incremental expenses related to acquisitions	(0.3%)	(0.3%)
Acquisition costs recognized to earnings of fiscal 2021	(0.1%)	(0.2%)
Acquisition costs recognized to earnings of fiscal 2020	0.1%	—
Remaining variance	(0.8%)	(0.6%)

We were able to achieve this decrease while maintaining the investments in our stores to support our strategic initiatives, even though we continue to see higher labor costs from minimum wage increases in certain regions, normal inflation and COVID-19 related expenses. This decrease was a result of cost and labor efficiencies, as well as rigorous work and activities initiated to streamline and minimize our controllable expenses. COVID-19 related expenses of the second quarter of fiscal 2021 include, but are not limited to, severance costs, additional cleaning and sanitizing supplies, as well as masks and gloves for our employees. For the first half-year of fiscal 2021, it also includes an emergency appreciation pay premium of $2.50 per hour in North America for hourly store employees and distribution center employees, and Thank you bonuses in North America following the end of the appreciation pay premium.

Earnings before interest, taxes, depreciation, amortization and impairment (EBITDA) and adjusted EBITDA

During the second quarter of fiscal 2021, EBITDA increased from $1.1 billion to $1.3 billion, an increase of 21.7% compared with the same quarter last year. Excluding the specific items shown in the table below, the adjusted EBITDA for the second quarter of fiscal 2021 increased by $223.5 million, or 20.9%, compared with the corresponding period of the previous fiscal year, mainly from higher road transportation fuel gross margins, organic growth on merchandise and service sales, as well as from the net positive impact from the translation of our Canadian and European operations into US dollars, partly offset by the negative impact of COVID-19 on our traffic. The variation in exchange rates had a net positive impact of approximately $11.0 million.

During the first half-year of fiscal 2021, EBITDA increased from $2.2 billion to $2.7 billion, an increase of 24.5% compared with the same period last year. Excluding the specific items shown in the table below from EBITDA of the first half-year of fiscal 2021 and of the first half-year of fiscal 2020, the adjusted EBITDA for the first half-year of fiscal 2021 increased by $543.9 million or 25.8% compared with the corresponding period of the previous fiscal year, mainly attributable to similar factors as those of the second quarter. The variation in exchange rates had a net negative impact of approximately $1.0 million.

It should be noted that EBITDA and adjusted EBITDA are not performance measures defined by IFRS, but we, as well as investors and analysts, consider that those performance measures facilitate the evaluation of our ongoing operations and our ability to generate cash flows to fund our cash requirements, including our capital expenditures program and payment of dividends. Note that our definition of these measures may differ from the one used by other public corporations.

	12-week periods ended		24-week periods ended
(in millions of US dollars)	October 11, 2020	October 13, 2019	October 11, 2020	October 13, 2019
Net earnings including non-controlling interests, as reported	757.0	579.4	1,534.1	1,115.4
Add:
Income taxes	193.6	139.7	396.3	275.0
Net financial expenses	77.2	60.1	165.2	147.1
Depreciation, amortization and impairment	305.8	316.2	595.3	623.3
EBITDA	1,333.6	1,095.4	2,690.9	2,160.8
Adjusted for:
Gain on disposal of a property	(40.9)	—	(40.9)	—
Acquisition costs	1.2	0.8	5.1	1.0
EBITDA attributable to non-controlling interests	—	(25.8)	—	(50.6)
Adjusted EBITDA	1,293.9	1,070.4	2,655.1	2,111.2

Depreciation, amortization and impairment (“depreciation”)

For the second quarter of fiscal 2021, our depreciation expense decreased by $10.4 million compared with the second quarter of fiscal 2020. Excluding CAPL’s results, as well as the net negative impact from the translation of our Canadian and European operations into US dollars, the depreciation expense increased by approximately $10.0 million. This increase is mainly driven by the replacement of equipment and the ongoing improvement of our network.

For the first half-year of fiscal 2021, our depreciation expense decreased by $28.0 million compared with the corresponding period of fiscal 2020. Excluding CAPL’s results, as well as the net positive impact from the translation of our Canadian and European operations into US dollars, the depreciation expense increased by approximately $19.0 million for the first half-year of fiscal 2021, mainly attributable to similar factors as those of the second quarter.

Net financial expenses

Net financial expenses for the second quarter of fiscal 2021 were $77.2 million, an increase of $17.1 million compared with the second quarter of fiscal 2020. Excluding the items shown in the table below, net financial expenses for the second quarter of fiscal 2021 increased by $5.9 million compared to the second quarter of fiscal 2020, driven by a higher average cost of debt.

Net financial expenses for the first half-year of fiscal 2021 were $165.2 million, an increase of $18.1 million compared with the first half-year of fiscal 2020. Excluding the items shown in the table below, net financial expenses for the first half-year of fiscal 2021 increased by $6.3 million compared to corresponding period of fiscal 2020, driven by the same factor as the one of the second quarter.

	12-week periods ended		24-week periods ended
(in millions of US dollars)	October 11, 2020	October 13, 2019	October 11, 2020	October 13, 2019
Net financial expenses, as reported	77.2	60.1	165.2	147.1
Adjusted for:
Net foreign exchange (loss) gain	(8.9)	11.8	(27.3)	5.3
CAPL’s financial expenses	—	(9.5)	—	(20.8)
Net financial expenses excluding items above	68.3	62.4	137.9	131.6

Income taxes

The income tax rate for the second quarter of fiscal 2021 was 20.4% compared with 19.4% for the corresponding period of fiscal 2020. Excluding the item shown in the table below, the income tax rate for the second quarter of fiscal 2020 would have been 19.5%.

The income tax rate for the first half-year of fiscal 2021 was 20.5% compared with 19.8% for the first half-year of fiscal 2020. Excluding the item shown in the table below, the income tax rate would have been 19.6% for the first half-year of fiscal 2020. The increase for both the second quarter and first half-year is mainly stemming from the impact of a different mix in our earnings across the various jurisdictions in which we operate.

	12-week periods ended		24-week periods ended
	October 11, 2020	October 13, 2019	October 11, 2020	October 13, 2019
Income tax rate, as reported	20.4%	19.4%	20.5%	19.8%
Adjusted for:
Income tax benefit (expense) following the December 2018 asset exchange agreement with CAPL	—	0.1%	—	(0.2)%
Net income tax rate excluding items above	20.4%	19.5%	20.5%	19.6%

Net earnings attributable to shareholders of the Corporation (“net earnings”) and adjusted net earnings attributable to shareholders of the Corporation (“adjusted net earnings”)

Net earnings for the second quarter of fiscal 2021 were $757.0 million, compared with $578.6 million for the second quarter of the previous fiscal year, an increase of $178.4 million or 30.8%. Diluted net earnings per share stood at $0.68, compared with $0.51 for the previous fiscal year. The translation of revenues and expenses from our Canadian and European operations into US dollars had a net positive impact of approximately $8.0 million on net earnings of the second quarter of fiscal 2021.

Excluding the items shown in the table below from net earnings of the second quarter of fiscal 2021 and fiscal 2020, adjusted net earnings for the second quarter of fiscal 2021 were approximately $735.0 million, compared with $569.0 million for the second quarter of fiscal 2020, an increase of $166.0 million, or 29.2%. Adjusted diluted net earnings per share were $0.66 for the second quarter of fiscal 2021, compared with $0.50 for the corresponding period of fiscal 2020, an increase of 32.0%.

For the first half-year of fiscal 2021, net earnings were $1.5 billion, compared with $1.1 billion for the first half-year of fiscal 2020, an increase of $416.7 million or 37.3%. Diluted net earnings per share stood at $1.38, compared with $0.99 for the previous fiscal year. The translation of revenues and expenses from our Canadian and European operations into US dollars had no significant impact on net earnings of the first half-year of fiscal 2021.

Excluding the items shown in the table below from net earnings of the first half-year of fiscal 2021 and fiscal 2020, adjusted net earnings for the first half-year of fiscal 2021 were approximately $1.5 billion, compared with $1.1 billion for the comparable period of the previous year, an increase of $413.0 million or 37.0%. Adjusted diluted net earnings per share were $1.37 for the first half-year of fiscal 2021, compared with $0.99 for the first half-year of fiscal 2020, an increase of 38.4%.

The table below reconciles reported net earnings to adjusted net earnings:

	12-week periods ended		24-week periods ended
(in millions of US dollars)	October 11, 2020	October 13, 2019	October 11, 2020	October 13, 2019
Net earnings attributable to shareholders of the Corporation, as reported	757.0	578.6	1,534.1	1,117.4
Adjusted for:
Gain on disposal of a property	(40.9)	—	(40.9)	—
Net foreign exchange loss (gain)	8.9	(11.8)	27.3	(5.3)
Acquisition costs	1.2	0.8	5.1	1.0
Income tax (benefit) expense following the December 2018 asset exchange agreement with CAPL	—	(0.7)	—	2.7
Tax impact of the items above and rounding	8.8	2.1	4.4	1.2
Adjusted net earnings attributable to shareholders of the Corporation	735.0	569.0	1,530.0	1,117.0

It should be noted that adjusted net earnings and adjusted diluted net earnings per share are not performance measures defined by IFRS, but we, as well as investors and analysts, consider these measures useful for evaluating the underlying performance of our operations on a comparable basis. Note that our definition of these measures may differ from the one used by other public corporations.

Dividends

During its November 24, 2020 meeting, the Board of Directors approved an increase in the quarterly dividend of CA 1.75¢ per share, bringing it to CA 8.75¢ per share, an increase of 25.0%.

During the same meeting, the Board of Directors declared a quarterly dividend of CA 8.75¢ per share for the second quarter of fiscal 2021 to shareholders on record as at December 3, 2020, and approved its payment for December 17, 2020. This is an eligible dividend within the meaning of the Income Tax Act (Canada).

Profile

For more information on Alimentation Couche-Tard Inc. or to consult its Unaudited Interim Condensed Consolidated Financial Statements and Management Discussion and Analysis, please visit:

https://corpo.couche-tard.com/

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The statements set forth in this press release, which describes Couche-Tard’s objectives, projections, estimates, expectations or forecasts, may constitute forward-looking statements within the meaning of securities legislation. Positive or negative verbs such as “believe”, “can”, “shall”, “intend”, “expect”, “estimate”, “assume” and other related expressions are used to identify such statements. Couche-Tard would like to point out that, by their very nature, forward-looking statements involve risks and uncertainties such that its results, or the measures it adopts, could differ materially from those indicated in or underlying these statements, or could have an impact on the degree of realization of a particular projection. Major factors that may lead to a material difference between Couche-Tard’s actual results and the projections or expectations set forth in the forward-looking statements include the effects of the integration of acquired businesses and the ability to achieve projected synergies, uncertainty related to the duration and severity of the current COVID-19 pandemic, fluctuations in margins on motor fuel sales, competition in the convenience store and retail motor fuel industries, exchange rate variations, and such other risks as described in detail from time to time in the reports filed by Couche-Tard with securities authorities in Canada and the United States. Unless otherwise required by applicable securities laws, Couche-Tard disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking information in this release is based on information available as of the date of the release.

Webcast on November 25, 2020, at 8:00 A.M. (EST)

Couche-Tard invites analysts known to the Corporation to send their two questions to its management before 7:00 P.M. (EST) on November 24, 2020, at [email protected].

Financial analysts, investors, media and any individuals interested in listening to the webcast on Couche-Tard’s results, which will take place online on November 25, 2020, at 8:00 A.M. (EST) can do so by either accessing the Corporation’s website at https://corpo.couche-tard.com and by clicking in the “Investor Relations/Corporate presentations” section or by dialing 1-888-390-0549 or 1-416-764-8682, followed by the access code 70839272#.

Rebroadcast: For individuals who will not be able to listen to the live webcast, a recording of the webcast will be available on the Corporation’s website for a period of 90 days.

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SOURCE Alimentation Couche-Tard Inc.