RONA inc. Cumulative Floating Rate Series 7 Class T.RON.PR.B

Niblock's morning statement

[vessob]

Niblock: 

"With the infrastructure we have in place and the changes we're making, we expect to generate significant cash flow for years to come. We will use that cash flow to make investments in our core business, in other strategic opportunities to serve developing home improvement markets, and to return capital to shareholders," Niblock concluded.

[Ciao]

On Webcast early statement is that they are looking at all avenues wrt entering Canadian market, Rona, opening more stores, other potential acquisitions.  But to make a quick move they would need to make a buyout.  Not sure who the choices would be but obviously RONA was their first choice.  With the stock down at $10 they will look like a genuis with a lower offer.

[vessob]

I agree with your assessment. As discussed in the call:  Lowes has estimated the Canadian market to be $40 Billion Canada has a desirable high home ownership rate of 70%  Lowes stated goal is to be #1 or #2 in Canada, with a goal of 100 stores Canada is a stable market that will give Lowes the scale they seek Deploying Lowes new technology