Couche-Tard Acquires 33 Stores in LouisianaCouche-Tard Acquires 33 Stores in Louisiana
ATD.A, ATD.B / TSX
LAVAL, QC, Aug. 16, 2011 /CNW Telbec/ - Alimentation Couche-Tard Inc.announces today that it has signed, through its wholly-owned indirectsubsidiary, Circle K Stores Inc., an agreement to acquire 33 stores inSouthern Louisiana from ExxonMobil which operates under the "On the Run" banner. The transaction is anticipated to close in December 2011. Thetransaction is subject to standard regulatory approvals and closingconditions. According to a confidentiality agreement between theparties the purchase price cannot be disclosed at this time. Internalavailable cash dollars will fund the transaction.
The stations will retain the Exxon gasoline brand, allowing customers tocontinue to purchase the same high quality Exxon fuel and use theirExxonMobil credit cards and Speedpass devices. The Corporation expects that these sites would bring a totaladditional volume of 85 million gallons in motor fuel sales. Theselocations would be operated by the Corporation's Gulf Division underthe Circle K brand. Pursuant to this transaction, the Corporation would buy the landand buildings for 27 locations and would assume or enter into leasesfor the remaining locations.
"Subsequent to this transaction, our network in the Circle K GulfDivision would include a total of 318 company operated-stores. Thesestores are located on highly visible and well-traveled roads and occupystrategic locations within their respective trade areas. Strategically,this acquisition would be a complement to our expansion and growthplans for the Gulf Division." commented Jason Broussard, Vice-PresidentOperations, Gulf Division.