TORONTO, Nov. 19, 2019 /CNW/ - George Weston Limited (TSX:
WN) ("GWL" or the "Company") today announced its consolidated
unaudited results for the 16 weeks ended October 5, 2019.
GWL's 2019 Third Quarter Report to Shareholders has been filed
on SEDAR and is available at sedar.com and in the Investor Centre
section of the Company's website at weston.ca.
Galen G. Weston, Chairman and
Chief Executive Officer, George Weston Limited, commented that
"George Weston's operating
businesses in retail, real estate and consumer goods had another
quarter of solid performance. Loblaw remains committed to investing
in customer experience and building loyalty to deliver long-term
value for shareholders. Choice Properties demonstrated
commitment to its strategy, using proceeds from the sale of 30
properties to pay down debt, further strengthening its balance
sheet and providing additional capacity to fund its development
program. And, Weston Foods demonstrated momentum as the business
continued to stabilize."
2019 THIRD QUARTER HIGHLIGHTS
Net earnings available to common shareholders of the Company
were $69 million, an increase of
$18 million compared to the third
quarter of 2018. The increase was mainly due to an improvement of
$103 million in the underlying operating performance of the
Company and the unfavourable year-over-year net impact of adjusting
items totaling $85 million which includes the following
items:
- the unfavourable year-over-year impact of the fair value
adjustment of the Trust Unit liability of $193 million;
- the unfavourable year-over-year impact of the fair value
adjustment of the forward sale agreement for 9.6 million Loblaw
Companies Limited ("Loblaw") common shares of $63 million; and
- the favourable year-over-year impact of a prior year charge
related to Glenhuron Bank Limited ("Glenhuron") at Loblaw of
$184 million.
Adjusted net earnings available to common shareholders of the
Company(1) were $391
million. In comparison to the third quarter of 2018, this
represented an increase of $103 million, or 35.8%. Normalized
for the favourable impact of IFRS 16 of approximately
$19 million, adjusted net earnings available to common
shareholders of the Company(1) increased by
$84 million or 29.2%. The increase was primarily due to the
positive contribution from the Company's direct ownership in
Choice Properties Real Estate Investment Trust ("Choice
Properties"), the decrease in income tax expense and the
improvement in the underlying operating performance of the
Company.
CONSOLIDATED RESULTS OF OPERATIONS
Unless otherwise indicated, the Company's results include:
- the impact of the implementation of IFRS 16 "Leases" ("IFRS
16"), as set out in the "Consolidated Other Business Matters"
section below;
- the impact of the acquisition of Canadian Real Estate
Investment Trust ("CREIT") by Choice Properties in the second
quarter of 2018;
- the year-over-year impact of the fair value adjustment of the
Trust Unit liability as a result of the significant changes in
Choice Properties' unit price, recorded in net interest expense and
other financing charges. The Company's results are impacted by
market price fluctuations of Choice Properties' Trust Units on the
basis that the Trust Units held by unitholders, other than the
Company, are redeemable for cash at the option of the holder. The
Company's financial results are negatively impacted when the Trust
Unit price rises and positively impacted when the Trust Unit price
declines; and
- the dilutive impact on both the Company's diluted net earnings
per common share and adjusted diluted net earnings per common
share(1) as a result of the issuance of approximately
26.6 million common shares in connection with a reorganization in
November 2018, as set out in the
"Consolidated Other Business Matters" section below.
(unaudited)
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|
|
|
|
|
|
|
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($ millions except
where otherwise indicated)
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16 Weeks
Ended
|
|
|
40 Weeks
Ended
|
|
|
For the periods ended
as indicated
|
|
Oct. 5,
2019
|
|
Oct. 6,
2018
|
Change
|
|
Oct. 5,
2019
|
|
Oct. 6,
2018
|
|
Change
|
Sales
|
|
$
|
15,226
|
|
$
|
14,862
|
2.4%
|
|
$
|
38,002
|
|
$
|
36,851
|
|
3.1%
|
Operating
income
|
|
$
|
884
|
|
$
|
804
|
10.0%
|
|
$
|
2,240
|
|
$
|
1,895
|
|
18.2%
|
Adjusted
EBITDA(1)
|
|
1,661
|
|
1,391
|
19.4%
|
|
4,132
|
|
3,382
|
|
22.2%
|
Adjusted EBITDA
margin(1)
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10.9%
|
|
9.4%
|
|
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10.9%
|
|
9.2%
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|
|
Net earnings
(loss) attributable to shareholders
|
|
|
|
|
|
|
|
|
|
|
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of the Company
|
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$
|
83
|
|
$
|
65
|
27.7%
|
|
$
|
(201)
|
|
$
|
293
|
|
(168.6)%
|
Net earnings
(loss) available to common shareholders
|
|
|
|
|
|
|
|
|
|
|
|
of the Company
|
|
69
|
|
51
|
35.3%
|
|
(235)
|
|
259
|
|
(190.7)%
|
Adjusted net earnings
available to common
|
|
|
|
|
|
|
|
|
|
|
|
shareholders
of the Company(1)
|
|
391
|
|
288
|
35.8%
|
|
855
|
|
676
|
|
26.5%
|
Diluted net
earnings (loss) per common share ($)
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$
|
0.44
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$
|
0.40
|
10.0%
|
|
$
|
(1.55)
|
|
$
|
2.01
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|
(177.1)%
|
Adjusted diluted net
earnings per common
|
|
|
|
|
|
|
|
|
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|
|
|
|
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share(1)($)
|
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$
|
2.54
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|
$
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2.25
|
12.9%
|
|
$
|
5.54
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|
$
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5.26
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5.3%
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In the third quarter of 2019, the Company recorded net earnings
available to common shareholders of the Company of
$69 million, an increase of $18 million, or
35.3%, compared to the same period in 2018. The increase was
mainly attributable to the improvement in the underlying operating
performance of $103 million, partially offset by the
unfavourable year-over-year net impact of adjusting items totaling
$85 million described below:
- The improvement in underlying operating performance of
$103 million included the favourable
impact of IFRS 16 of approximately $19
million. Normalized for this impact, the underlying
operating performance improved by $84
million, primarily due to:
-
- the positive contribution from the Company's direct ownership
interest in Choice Properties, as a result of the reorganization in
November 2018;
- the decrease in income tax expense primarily due to the
favourable impact of Choice Properties' portfolio transaction
described in the "Consolidated Other Business Matters" section
below;
- the favourable underlying operating performance of Loblaw;
and
- the positive contribution from the increase in the Company's
ownership interest in Loblaw, as a result of Loblaw share
repurchases;
partially
offset by,
-
- the unfavourable underlying operating performance of Weston
Foods due to the prior year impact of a net gain related to the
sale leaseback of a property;
- an increase in adjusted net interest expense and other
financing charges(1); and
- an increase in depreciation and amortization expense.
- The unfavourable year-over-year net impact of adjusting items
totaling $85 million was primarily
due to:
-
- the unfavourable year-over-year impact of the fair value
adjustment of the Trust Unit liability of $193 million as a result of the increase in
Choice Properties' unit price during the third quarter of
2019;
- the unfavourable year-over-year impact of the fair value
adjustment of the forward sale agreement for 9.6 million Loblaw
common shares of $63 million;
and
- the unfavourable year-over-year impact of the fair value
adjustment of investment properties of $19
million;
partially
offset by,
- the favourable year-over-year impact of the prior year
charge related to Glenhuron at Loblaw of $184 million.
Adjusted net earnings available to common shareholders of the
Company(1) were $391
million in the third quarter of 2019. When compared to the
same period in 2018, this represented an increase of
$103 million, or 35.8%. Normalized for the favourable impact
of IFRS 16 of approximately $19 million, adjusted net earnings
available to common shareholders of the Company(1)
increased by $84 million, or 29.2%, due to the improvement in
underlying operating performance described above.
In the third quarter of 2019, the Company recorded diluted net
earnings per common share of $0.44,
an increase of $0.04 per common share
compared to the same period in 2018. The increase was mainly due
to:
- the improvement in the underlying operating performance of
$0.29 per common share;
- the unfavourable year-over-year net impact of adjusting items
totaling $0.25 per common share,
primarily due to the following:
-
- the unfavourable year-over-year impact of $1.30 per common share related to the fair value
adjustment of the Trust Unit liability; and
- the unfavourable year-over-year impact of $0.43 per common share resulting from the fair
value adjustment of the forward sale agreement for 9.6 million
Loblaw common shares;
partially
offset by,
- the favourable year-over-year impact of $1.44 per common share resulting from a prior
year charge related to Glenhuron at Loblaw.
Adjusted diluted net earnings per common share(1) in
the third quarter of 2019 increased by $0.29 per common share, or 12.9%, to $2.54 per common share compared to the same
period in 2018. Normalized for the favourable impact of IFRS 16 of
approximately $0.12 per common share,
adjusted diluted net earnings per common share(1)
increased by $0.17 per common share.
The increase was due to the improvement in the underlying operating
performance described above, partially offset by the dilutive
impact of the Company's issuance of common shares in connection
with the reorganization.
CONSOLIDATED OTHER BUSINESS MATTERS
IFRS 16 Implementation On January 1, 2019, the Company implemented IFRS 16,
replacing IAS 17 "Leases" ("IAS 17"), and related
interpretations. The standard introduced a single, on-balance sheet
recognition and measurement model for lessees, eliminating the
distinction between operating and finance leases. The Company
implemented the standard using the modified retrospective approach.
As a result, the Company's 2019 results incorporate lease
accounting under IFRS 16. Prior year results have not been
restated. See the "Accounting Standards" section of the Company's
Management's Discussion and Analysis in the 2019 Third Quarter
Report to Shareholders for more information on the implementation
of IFRS 16.
Under IFRS 16, the depreciation expense on right-of-use
assets and interest expense on lease liabilities replaced rent
expense, which was previously recognized on a straight-line basis
in operating income under IAS 17 over the term of a lease.
The following table provides the year-over-year impacts of the
implementation of IFRS 16 on the consolidated results of the
Company in the third quarter of 2019 and year-to-date:
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16 Weeks
$ Change
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40 Weeks
$ Change
|
(unaudited)
($ millions except where otherwise indicated)
Favourable/(unfavourable)
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Weston
Foods
|
Loblaw
|
Other and
Intersegment
|
Total(i)
|
Weston
Foods
|
Loblaw
|
Other and
Intersegment
|
Total(i)
|
Operating
income
|
$
|
2
|
$
|
104
|
$
|
(27)
|
$
|
79
|
$
|
4
|
$
|
261
|
$
|
(108)
|
$
|
157
|
Adjusted
EBITDA(1)
|
|
4
|
|
382
|
|
(146)
|
|
240
|
|
10
|
|
954
|
|
(409)
|
|
555
|
Net interest expense
and other
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
financing
charges
|
|
—
|
|
(106)
|
|
53
|
|
(53)
|
|
(2)
|
|
(270)
|
|
136
|
|
(136)
|
Depreciation and
amortization
|
|
(2)
|
|
(278)
|
|
119
|
|
(161)
|
|
(6)
|
|
(693)
|
|
301
|
|
(398)
|
Net earnings
available to common
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
shareholders of the
Company
|
|
1
|
|
(1)
|
|
19
|
|
19
|
|
1
|
|
(4)
|
|
20
|
|
17
|
Diluted net earnings
per common share ($)
|
|
0.01
|
|
(0.01)
|
|
0.12
|
|
0.12
|
|
0.01
|
|
(0.03)
|
|
0.13
|
|
0.11
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
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(i)
|
Includes nominal
year-over-year impact in the third quarter of 2019 and year-to-date
from Choice Properties.
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Choice Properties' Portfolio Transaction On
September 30, 2019, Choice Properties
sold a portfolio of 30 properties across Canada to a third party for aggregate
consideration of $426 million. The
portfolio consisted of 27 Loblaw stand-alone retail properties and
3 Loblaw distribution centres. On consolidation, the transaction
was not recognized as a sale of assets as under the terms of the
leases, Loblaw did not relinquish control of the properties for
purposes of IFRS 16 and IFRS 15. Instead, the proceeds were
recognized as a financial liability on the Company's consolidated
balance sheet as at the end of the third quarter of 2019. For tax
purposes, this transaction was treated as a sale and income tax
expense reflects the benefit from the non-taxable portion of the
gain from the sale of the portfolio of properties by
Choice Properties.
Loblaw's spin-out of Choice Properties Real Estate
Investment Trust On November
1, 2018, the Company and Loblaw completed a reorganization
under which Loblaw distributed its approximate 61.6% effective
interest in Choice Properties to the Company on a tax-free basis to
Loblaw and its Canadian shareholders (the "reorganization" or the
"spin-out"). In connection with the reorganization, Loblaw minority
shareholders received 0.135 of a common share of the Company for
each common share of Loblaw held, which was equivalent to the
market value of their pro rata interest in Choice Properties as at
the announcement date of the spin-out, and as part of the
reorganization the Company received Loblaw's approximate 61.6%
effective interest in Choice Properties. Following the
reorganization, Loblaw no longer retained its interest in Choice
Properties and as a result, Loblaw ceased to consolidate its equity
interest in Choice Properties. Choice Properties became a separate
reportable operating segment of the Company. In connection with the
reorganization, the Company issued approximately 26.6 million
common shares to Loblaw minority shareholders.
The issuance of approximately 26.6 million common shares in
connection with the reorganization has a dilutive impact on both
the Company's diluted net earnings per common share and adjusted
diluted net earnings per common share(1).
Offering of Trust Units In the second
quarter of 2019, Choice Properties completed a bought deal equity
offering of 30,042,250 trust units (the "Units") at a price of
$13.15 per Unit, for aggregate gross
proceeds of approximately $395
million, and net proceeds of approximately $381 million (the "Offering"). The Offering
consisted of 26,237,250 Units sold on a bought deal basis to a
syndicate of underwriters and 3,805,000 Units purchased by the
Company for approximately $50
million.
REPORTABLE OPERATING SEGMENTS
The Company operates through its three reportable operating
segments, Weston Foods, Loblaw, and Choice Properties. Other and
Intersegment includes eliminations, intersegment adjustments
related to the consolidation of Choice Properties and cash and
short term investments held by the Company. Effective in the first
quarter of 2019, all other company level activities that are not
allocated to the reportable operating segments, such as interest
expense, corporate activities and administrative costs are included
in Other and Intersegment. Weston Foods and Other and Intersegment
comparative figures have been restated to conform to the current
year presentation.
The Weston Foods operating segment includes a leading North
American bakery that offers packaged bread and rolls in
Canada as well as frozen and
artisan bread and rolls, cakes, donuts, pies, biscuits and
alternatives throughout Canada and
the U.S.
Loblaw has two reportable operating segments, Retail and
Financial Services. Loblaw provides Canadians with grocery,
pharmacy, health and beauty, apparel, general merchandise,
financial services and wireless mobile products and services.
Choice Properties owns, manages and develops a high quality
portfolio of commercial retail, industrial, office and residential
properties across Canada.
Weston Foods Segment Results
Unless otherwise indicated, Weston Foods results include the
impact of the implementation of IFRS 16.
(unaudited)
|
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|
|
|
|
|
|
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($ millions except
where otherwise indicated)
|
|
16 Weeks
Ended
|
40 Weeks
Ended
|
For the periods ended
as indicated
|
|
Oct. 5,
2019
|
Oct. 6,
2018(3)
|
Change
|
Oct. 5,
2019
|
Oct. 6,
2018(3)
|
Change
|
Sales
|
|
$
|
638
|
$
|
630
|
1.3%
|
$
|
1,633
|
$
|
1,615
|
1.1%
|
Operating
income
|
|
$
|
23
|
$
|
31
|
(25.8)%
|
$
|
45
|
$
|
62
|
(27.4)%
|
Adjusted
EBITDA(1)
|
|
$
|
72
|
$
|
82
|
(12.2)%
|
$
|
167
|
$
|
174
|
(4.0)%
|
Adjusted EBITDA
margin(1)
|
|
|
11.3%
|
|
13.0%
|
|
|
10.2%
|
|
10.8%
|
|
Depreciation and
amortization(i)
|
|
$
|
44
|
$
|
43
|
2.3%
|
$
|
111
|
$
|
102
|
8.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(i)
|
Depreciation and
amortization in the third quarter of 2019 includes $4 million
(2018 – $5 million) of accelerated depreciation related to
restructuring and other related costs.
|
Sales Weston Foods sales in the third quarter of
2019 were $638 million, an increase of $8 million, or
1.3%, compared to the same period in 2018. Sales included the
positive impact of foreign currency translation of approximately
0.7%. Excluding the favourable impact of foreign currency
translation, sales increased by 0.6%. Sales were impacted by growth
in key categories and the combined positive impact of pricing and
changes in sales mix, partially offset by the unfavourable impact
of product rationalization.
Operating Income Weston Foods operating income in
the third quarter of 2019 was $23 million, a decrease of
$8 million, or 25.8%, compared to the same period in 2018.
Normalized for the favourable impact of IFRS 16 of
approximately $2 million and the prior year impact of a net
gain of $14 million related to the
sale leaseback of a property, operating income increased by
$4 million. The increase was due to
the favourable year-over-year net impact of adjusting items
totaling $4 million, driven by:
- the favourable impact of restructuring and other related costs
of $3 million; and
- the favourable impact of insurance proceeds on a prior year
inventory loss of $2 million;
partially offset by,
- the unfavourable impact of the fair value adjustment of
derivatives of $1 million.
Adjusted EBITDA(1) Weston Foods adjusted
EBITDA(1) in the third quarter of 2019 was
$72 million, a decrease of $10 million, or 12.2%,
compared to the same period in 2018. Normalized for the
favourable impact of IFRS 16 of approximately $4 million
and the prior year impact of a net gain of $14 million related to the sale leaseback of a
property, adjusted EBITDA(1) was flat. Productivity
improvements and the net benefits realized from Weston Foods'
transformation program were offset by higher input and distribution
costs and an increase in performance related compensation
accruals.
Weston Foods adjusted EBITDA margin(1) in the third
quarter of 2019 decreased to 11.3% compared to 13.0% in the
same period in 2018. Normalized for the favourable impact of IFRS
16 and the prior year net gain related to the sale leaseback of a
property, adjusted EBITDA margin(1) declined by 10 basis
points to 10.7% in the third quarter of 2019 compared to 10.8% in
the same period in 2018, driven by the factors described above.
Depreciation and Amortization Weston Foods
depreciation and amortization in the third quarter of 2019 was
$44 million, an increase of $1 million compared to the
same period in 2018. Normalized for the unfavourable impact of
IFRS 16 of approximately $2 million, depreciation and
amortization decreased by $1 million. Depreciation and
amortization in the third quarter of 2019
included $4 million (2018 – $5 million) of
accelerated depreciation related to Weston Foods' transformation
program. Excluding this amount and the impact of IFRS 16,
depreciation and amortization was flat.
Weston Foods Other Business Matters
Restructuring and other related costs Weston
Foods continuously evaluates strategic and cost reduction
initiatives related to its manufacturing assets, distribution
networks and administrative infrastructure with the objective
of ensuring a low cost operating structure. In the third
quarter of 2019 and year-to-date, Weston Foods recorded
restructuring and other related costs of $9 million (2018 –
$12 million), and $15 million (2018 – $29 million),
respectively, which were primarily related to Weston Foods'
transformation program.
Loblaw Segment Results
As a result of the spin-out of Choice Properties, Loblaw's
current year financial information represents its results from
Continuing Operations and comparative figures have been restated.
Unless otherwise indicated, Loblaw's segment results include the
impacts of spin-out related incremental depreciation, the
implementation of IFRS 16 and the consolidation of
franchises.
(unaudited)
|
|
|
|
|
|
|
|
|
|
($ millions except
where otherwise indicated)
|
|
16 Weeks
Ended
|
40 Weeks
Ended
|
For the periods ended
as indicated
|
|
Oct. 5,
2019
|
Oct. 6,
2018(3)
|
Change
|
Oct. 5,
2019
|
Oct. 6,
2018(3)
|
Change
|
Sales
|
|
$
|
14,655
|
$
|
14,319
|
2.3%
|
$
|
36,447
|
$
|
35,475
|
2.7%
|
Operating
income
|
|
$
|
688
|
$
|
590
|
16.6%
|
$
|
1,723
|
$
|
1,472
|
17.1%
|
Adjusted
EBITDA(1)
|
|
$
|
1,490
|
$
|
1,058
|
40.8%
|
$
|
3,701
|
$
|
2,627
|
40.9%
|
Adjusted EBITDA
margin(1)
|
|
|
10.2%
|
|
7.4%
|
|
|
10.2%
|
|
7.4%
|
|
Depreciation and
amortization(i)
|
|
$
|
775
|
$
|
459
|
68.8%
|
$
|
1,935
|
$
|
1,141
|
69.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(i)
|
Depreciation and
amortization in the third quarter of 2019 includes $157
million (2018 – $161 million) of amortization of intangible
assets acquired with Shoppers Drug Mart.
|
Sales Loblaw sales in the third quarter of 2019
were $14,655 million, an
increase of $336 million, or 2.3%, compared to the same
period in 2018, primarily due to an increase in Retail sales of
$315 million. The increase was also due to an improvement
in Financial Services sales of $35
million, due to higher interest and interchange income and
higher sales attributable to The Mobile Shop.
Retail sales increased by $315 million, or 2.2%, compared
to the same period in 2018 and included food retail sales of
$10,423 million (2018 –
$10,272 million) and drug retail
sales of $3,997 million (2018 –
$3,833 million).
Excluding the consolidation of franchises, Retail sales
increased by $226 million, or 1.6%, primarily driven by the
following factors:
- food retail same-store sales growth was 0.1% for the quarter.
After excluding the unfavourable impact of the timing of
Thanksgiving, food retail same-store sales growth was approximately
1.0%. Food retail basket size increased and traffic decreased in
the quarter;
- Loblaw's food retail average quarterly internal food price
index was moderately lower than (2018 – marginally lower than) the
average quarterly national food price inflation of 4.1% (2018 –
inflation of 0.3%), as measured by "The Consumer Price Index for
Food Purchased from Stores" ("CPI"). CPI does not necessarily
reflect the effect of inflation on the specific mix of goods sold
in Loblaw stores; and
- drug retail same-store sales growth was 4.1% for the
quarter.
-
- pharmacy same-store sales growth was 5.3%; and
- front store same-store sales growth was 3.1%.
Operating Income Loblaw operating income in the
third quarter of 2019 was $688 million, an increase of
$98 million compared to the same period in 2018. The increase
included the favourable impact of IFRS 16 of approximately
$104 million and the unfavourable
impact of spin-out related incremental depreciation of
approximately $28 million. Normalized
for these impacts, operating income increased by $22 million
due to the improvements in underlying operating performance of
$36 million, partially offset by the
unfavourable year-over-year net impact of adjusting items
totaling $14 million described below:
- the improvement in underlying operating performance of
$36 million was primarily due to
Retail, including the favourable contribution from the
consolidation of franchises of $15
million, partially offset by the decline in the underlying
operating performance of Financial Services; and
- the unfavourable year-over-year net impact of adjusting items
totaling $14 million which was
primarily due to the following:
-
- the year-over-year unfavourable impact of restructuring and
other related costs of $15 million;
and
- the unfavorable impact of a prior year adjustment related
to the Loblaw Card Program of $4
million;
partially
offset by,
- the favourable impact of the prior year transaction and other
related costs in connection with the spin-out of Choice Properties
of $6 million.
Adjusted EBITDA(1) Loblaw adjusted
EBITDA(1) in the third quarter of 2019 was
$1,490 million, an increase of
$432 million, or 40.8% compared to the same period in 2018,
and included the year-over-year favourable impact of IFRS 16 of
approximately $382 million.
Normalized for the impact of IFRS 16, adjusted EBITDA(1)
increased by $50 million, or 4.7%, primarily due to
improvements in Retail, partially offset by Financial Services.
Retail adjusted EBITDA(1) in the third quarter of
2019 was $1,452 million, an increase
of $435 million, compared to the third quarter of 2018 and
included the favourable impact of IFRS 16 of approximately
$382 million. Normalized for this impact, Retail adjusted
EBITDA(1) in the third quarter of 2019 increased by
$53 million, or 5.2%, including the favourable impact of the
consolidation of franchises of $20
million, and was driven by an increase in Retail gross
profit, partially offset by an increase in selling, general and
administrative expenses ("SG&A").
- Retail gross profit percentage was 29.6%, an increase of 50
basis points compared to the same period in 2018. Excluding the
consolidation of franchises, Retail gross profit percentage was
27.4%, flat compared to the third quarter of 2018. Margins were
negatively impacted by drug retail, while food retail margins were
stable.
- Retail SG&A increased by $100
million compared to the third quarter of 2018. Normalized
for the impact of IFRS 16 and the consolidation of franchises,
Retail SG&A increased by $33
million and SG&A as a percentage of sales was 20.1%, an
improvement of 10 basis points compared to the third quarter of
2018, primarily driven by Process and Efficiency initiatives.
Financial Services adjusted EBITDA(1) decreased by
$3 million compared to the same quarter in 2018 primarily
driven by higher operating costs including investments in digital
strategy, an increase in loyalty program costs driven by the growth
in credit card portfolio, partially offset by revenue growth.
In the third quarter of 2019, adjusted EBITDA(1)
included a gain of $2 million (2018 – loss of
$2 million) related to the sale and leaseback of properties to
Choice Properties.
Depreciation and Amortization Loblaw's depreciation
and amortization was $775 million in the third quarter of
2019, an increase of $316 million, or 68.8% compared to the
same period in 2018, and included the unfavourable impacts of IFRS
16 of approximately $278 million and
the spin-out related incremental depreciation of approximately
$28 million. Normalized for these impacts, the increase in
depreciation and amortization in the third quarter of 2019 was
$10 million primarily driven by the consolidation of
franchises and an increase in Information Technology
("IT") assets.
Depreciation and amortization in the third quarter of 2019
included $157 million (2018 – $161 million) of
amortization of intangible assets related to the acquisition of
Shoppers Drug Mart Corporation ("Shoppers Drug Mart").
Loblaw Other Business Matters
Spin-out of Choice Properties
Impact on Loblaw Results As a result of the
reorganization, buildings owned by Choice Properties and leased by
Loblaw are accounted for as leases and no longer accounted for as
owned property by Loblaw. The building components associated with
these leases post spin-out are classified as leasehold improvements
and depreciated over the lesser of the lease term and useful life
up to 25 years. The remaining average lease term on the
leases related to these leasehold improvements is approximately
10 years. The impact of this change in 2019 is expected to be
an increase in annual depreciation and amortization of
approximately $85 million compared to 2018. Loblaw's 2019
third quarter financial results included incremental depreciation
and amortization of $28 million ($70
million year-to-date).
Process and Efficiency Loblaw continues to
execute on a multi-year plan which was initiated in 2018. The plan
focuses on improving processes and generating efficiencies across
administrative, store, and distribution network infrastructure.
Many initiatives are underway to reduce the complexity and costs
associated with business operations with the aim to achieve a low
cost operating structure that allows for continued investments in
Loblaw's strategic growth areas. Expenses related to these
initiatives will be incurred in 2019 and beyond. In the third
quarter of 2019, Loblaw recorded approximately $22 million
($50 million year-to-date) of restructuring and other related
charges, primarily related to Process and Efficiency
initiatives.
Consolidation of Franchises Loblaw has more
than 500 franchise food retail stores in its network. As at the end
of the third quarter of 2019, 444 of these stores were consolidated
for accounting purposes under a simplified franchise agreement
implemented in 2015.
Consolidation of franchises in the third quarter of 2019
resulted in a year-over-year increase in revenue of
$89 million, an increase in adjusted EBITDA(1) of
$20 million, an increase in
depreciation and amortization of $5 million and an increase in
net earnings attributable to non-controlling interests of
$11 million.
Choice Properties Segment Results
(unaudited)
|
|
|
|
|
|
|
|
($ millions except
where otherwise indicated)
|
|
16 Weeks
Ended
|
40 Weeks
Ended
|
For the periods ended
as indicated
|
|
Oct. 5,
2019
|
Oct. 6,
2018(3)
|
Change
|
Oct. 5,
2019
|
Oct. 6,
2018(3)
|
Change
|
Revenue
|
|
$
|
324
|
$
|
315
|
2.9%
|
$
|
971
|
$
|
825
|
17.7%
|
Net interest expense
and other financing charges(i)
|
|
$
|
434
|
$
|
117
|
270.9%
|
$
|
1,546
|
$
|
23
|
6,621.7%
|
Net (loss)
income
|
|
$
|
(211)
|
$
|
62
|
(440.3)%
|
$
|
(875)
|
$
|
368
|
(337.8)%
|
Funds from
operations(1)(ii)
|
|
$
|
174
|
$
|
170
|
2.4%
|
$
|
514
|
$
|
432
|
19.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(i)
|
Net interest expense
and other financing charges includes a fair value adjustment on
Exchangeable Units.
|
(ii)
|
Funds from operations
is calculated in accordance with the Real Property Association of
Canada's White Paper on Funds from Operations & Adjusted Funds
from Operations for IFRS issued in February 2019.
|
Revenue Revenue in the third quarter of 2019 was
$324 million, an increase of
$9 million, or 2.9%, compared to the same period in 2018 and
included $190 million (2018 – $183
million) generated from tenants within Loblaw's Retail
segment. The increase was primarily driven by:
- additional revenue generated from properties acquired in 2018
and 2019 and from tenant openings in newly developed leasable
space; and
- an increase in base rent and operating cost recoveries from
existing properties.
Net Interest Expense and Other Financing Charges
Net interest expense and other financing charges in the third
quarter of 2019 were $434 million, an increase of
$317 million compared to the same period in 2018. The increase
was primarily driven by:
- the unfavourable year-over-year impact of the fair value
adjustment on Class B LP Units ("Exchangeable Units") of
$312 million as a result of the
increase in unit price of Choice Properties in the third quarter of
2019; and
- higher interest expense primarily related to the accelerated
amortization of the debt placement costs as a result of the
repayment of the term loan during the third quarter of 2019.
Net (Loss) Income Net loss was $211 million in
the third quarter of 2019, a decrease of $273 million compared
to the same period in 2018, primarily driven by:
- the unfavourable impact of higher interest expense and other
financing charges described above;
partially offset by,
- the favourable year-over-year impact of the fair value
adjustment of investment properties;
- an increase in net operating income generated from additional
revenue as described above; and
- the favourable year-over-year impact of acquisition and other
costs related to the acquisition of CREIT.
Funds from
Operations(1) Funds from
Operations(1) in the third quarter of 2019 was
$174 million, an increase of $4 million compared to the
same period in 2018. The increase was primarily driven by growth in
net operating income attributable to properties acquired in 2018
and 2019 and from tenant openings in newly developed leasable
space.
Choice Properties' Other Business Matters
Investment Property Transactions
During the third quarter of 2019, Choice Properties sold a
portfolio of 30 properties across Canada to a third party for aggregate
consideration of $426 million. The
portfolio consisted of 27 Loblaw stand-alone retail properties and
3 Loblaw distribution centres.
Choice Properties also sold a retail property in Cowansville, Quebec, which had a Loblaw lease,
for $1 million, excluding transaction
costs. Concurrent with the sale, Choice Properties recognized lease
surrender of $2 million upon
disposition which was settled in cash.
During the third quarter of 2019, Choice Properties acquired a
100% ownership interest in an investment property in Langford, BC
from Loblaw for an aggregate purchase price of $23 million, excluding transaction costs, for
cash consideration.
DECLARATION OF QUARTERLY DIVIDENDS
Subsequent to the end of the third quarter of 2019, the
Company's Board of Directors declared a quarterly dividend on GWL
Common Shares, Preferred Shares, Series I, Preferred Shares, Series
III, Preferred Shares, Series IV and Preferred Shares, Series
V payable as follows:
|
Common
Shares
|
$0.525 per share
payable January 1, 2020, to shareholders of record December 15,
2019;
|
|
|
|
|
Preferred Shares,
Series I
|
$0.3625 per share
payable December 15, 2019, to shareholders of record November 30,
2019;
|
|
|
|
|
Preferred Shares,
Series III
|
$0.3250 per share
payable January 1, 2020, to shareholders of record December 15,
2019;
|
|
|
|
|
Preferred Shares,
Series IV
|
$0.3250 per share
payable January 1, 2020, to shareholders of record December 15,
2019;
|
|
|
|
|
Preferred Shares,
Series V
|
$0.296875 per share
payable January 1, 2020, to shareholders of record December 15,
2019.
|
OUTLOOK(2)
Weston Foods is focused on becoming a premier North American
bakery and delivering solid financial results. In 2019, Weston
Foods will focus on growing its core business, selectively
innovating in new segments and markets, and strengthening key
processes.
In 2019, on a full-year comparative basis, Weston Foods expects
its business performance to stabilize:
- Excluding the positive impact of foreign currency translation,
sales will be lower when compared to 2018, due to the impact of
lapping sales lost from key customers last year and the impact of
product rationalization, partially offset by growth in key
categories and pricing;
- Excluding the prior year gains on the sale leaseback of
properties, adjusted EBITDA(1) will be slightly lower
when compared to 2018. Adjusted EBITDA(1) will be
impacted by headwinds from higher input and distribution costs in
an inflationary environment and by sales trends as described above,
partially offset by improvements driven from productivity and the
transformation program;
- Investment in capital expenditures will decrease to
approximately $200 million; and
- Depreciation will increase compared to 2018.
Loblaw is focused on its strategic framework, delivering best in
food and health and beauty, using data driven insights underpinned
by process and efficiency excellence. This framework is supported
by Loblaw's financial plan of maintaining a stable trading
environment that targets positive same-store sales and stable gross
margin, creating efficiencies to deliver operating leverage,
investing for the future and returning capital to shareholders.
Loblaw will remain focused on delivering Process and Efficiency
improvements to offset increasing costs and to fund
continued incremental investments in its strategic growth
areas of Everyday Digital Retail, Connected Healthcare and Payments
& Rewards.
In 2019, on a full-year comparative basis, excluding the impact
of the spin-out of Choice Properties, Loblaw expects to:
- deliver positive same-store sales and stable gross margin in
the Retail segment in a highly competitive market;
- deliver positive adjusted net earnings(1)
growth;
- invest approximately $1.1 billion
in capital expenditures, net of proceeds from property disposals;
and
- return capital to shareholders by allocating a significant
portion of free cash flow to share repurchases.
Choice Properties anchored by its sizable base of assets, its
relationship with Loblaw and its solid capital structure provides a
solid foundation for stable and growing cash flows. With the
acquisition of CREIT on May 4, 2018, Choice Properties
has evolved into two primary functional areas: an existing income
producing property portfolio and a development business. The income
producing property portfolio provides a solid foundation for stable
cash flows and is diversified by both geographic location and
product type including retail, industrial, office and residential
assets. Development initiatives provide the opportunity to add high
quality real estate by focusing primarily on retail intensification
projects and well located rental residential projects at various
stages of development.
In 2019, Choice Properties will continue to focus on financial
and operational stability. This includes improvement to its
portfolio quality through property acquisition and dispositions,
the advancement of retail and industrial development projects, the
expansion of its multi-residential platform and prudent financial
management.
For 2019, the Company expects adjusted net
earnings(1) to increase due to the results from its
operating segments described above.
NON-GAAP FINANCIAL MEASURES
The Company uses non-GAAP financial measures as it believes
these measures provide useful information to both management and
investors with regard to accurately assessing the Company's
financial performance and financial condition.
Management uses these and other non-GAAP financial measures to
exclude the impact of certain expenses and income that must be
recognized under GAAP when analyzing underlying consolidated and
segment operating performance, as the excluded items are not
necessarily reflective of the Company's underlying operating
performance and make comparisons of underlying financial
performance between periods difficult. The Company excludes
additional items if it believes doing so would result in a more
effective analysis of underlying operating performance. The
exclusion of certain items does not imply that they are
non-recurring.
These measures do not have a standardized meaning prescribed by
GAAP and therefore they may not be comparable to similarly titled
measures presented by other publicly traded companies, and should
not be construed as an alternative to other financial measures
determined in accordance with GAAP.
For reconciliation to, and description of the Company's non-GAAP
financial measures and financial metrics, refer to the "Non-GAAP
Financial Measures" section of the Company's 2019 Third Quarter
Report to Shareholders.
SEGMENT INFORMATION
The Company has three reportable operating segments:
Weston Foods, Loblaw and Choice Properties. Other and
Intersegment includes eliminations, intersegment adjustments
related to the consolidation of Choice Properties, cash and short
term investments held by the Company, and all other company level
activities that are not allocated to the reportable operating
segments.
The Company measures each reportable operating segment's
performance based on adjusted EBITDA(1) and adjusted
operating income(1). No reportable operating segment is
reliant on any single external customer.
|
|
16 Weeks
Ended
|
|
|
Oct. 5,
2019
|
Oct. 6,
2018
|
(unaudited)
($ millions)
|
|
Weston
Foods
|
Loblaw
|
Choice
Properties
|
Other and
Intersegment(i)
|
Total
|
Weston
Foods(3)
|
Loblaw(3)
|
Choice
Properties(3)
|
Other and
Intersegment(i)(3)
|
Total
|
Revenue
|
|
$
|
638
|
$
|
14,655
|
$
|
324
|
$
|
(391)
|
$
|
15,226
|
$
|
630
|
$
|
14,319
|
$
|
315
|
$
|
(402)
|
$
|
14,862
|
Operating
income
|
|
$
|
23
|
$
|
688
|
$
|
221
|
$
|
(48)
|
$
|
884
|
$
|
31
|
$
|
590
|
$
|
179
|
$
|
4
|
$
|
804
|
Net interest
expense
|
|
|
|
|
|
|
|
|
|
|
|
and other
financing
|
|
|
|
|
|
|
|
|
|
|
|
charges
|
|
1
|
223
|
434
|
(141)
|
517
|
—
|
292
|
117
|
(82)
|
327
|
Earnings
before
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
income tax
|
|
$
|
22
|
$
|
465
|
$
|
(213)
|
$
|
93
|
$
|
367
|
$
|
31
|
$
|
298
|
$
|
62
|
$
|
86
|
$
|
477
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
$
|
23
|
$
|
688
|
$
|
221
|
$
|
(48)
|
$
|
884
|
$
|
31
|
$
|
590
|
$
|
179
|
$
|
4
|
$
|
804
|
Depreciation
and
|
|
|
|
|
|
|
|
|
|
|
|
|
amortization
|
|
44
|
775
|
—
|
(118)
|
701
|
|
43
|
459
|
—
|
28
|
530
|
Adjusting
items(1)
|
|
5
|
27
|
5
|
39
|
76
|
|
8
|
9
|
44
|
(4)
|
57
|
Adjusted
EBITDA(1)
|
|
$
|
72
|
$
|
1,490
|
$
|
226
|
$
|
(127)
|
$
|
1,661
|
$
|
82
|
$
|
1,058
|
$
|
223
|
$
|
28
|
$
|
1,391
|
Depreciation
and
|
|
|
|
|
|
|
|
|
|
|
|
amortization(ii)
|
|
40
|
618
|
—
|
(118)
|
540
|
38
|
298
|
—
|
28
|
364
|
Adjusted
operating
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
income(1)
|
|
$
|
32
|
$
|
872
|
$
|
226
|
$
|
(9)
|
$
|
1,121
|
$
|
44
|
$
|
760
|
$
|
223
|
$
|
—
|
$
|
1,027
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(i)
|
For further detail on
items included in Other and Intersegment, see note 22, "Segment
Information" of the Company's 2019 Third Quarter Report to
Shareholders.
|
(ii)
|
Excludes
$157 million (2018 – $161 million) of amortization of
intangible assets acquired with Shoppers Drug Mart, recorded by
Loblaw, and $4 million (2018 – $5 million) of accelerated
depreciation recorded by Weston Foods, related to restructuring and
other related costs.
|
|
|
40 Weeks
Ended
|
|
|
|
Oct. 5,
2019
|
|
|
|
Oct. 6,
2018
|
(unaudited)
($ millions)
|
|
Weston
Foods
|
|
Loblaw
|
|
Choice
Properties
|
|
Other and
Intersegment(i)
|
|
Total
|
|
|
|
Weston
Foods(3)
|
|
Loblaw(3)
|
|
Choice
Properties(3)
|
|
Other and
Intersegment(i)(3)
|
|
Total
|
Revenue
|
|
$
|
1,633
|
|
$
|
36,447
|
|
$
|
971
|
|
$
|
(1,049)
|
|
$
|
38,002
|
|
|
|
$
|
1,615
|
|
$
|
35,475
|
|
$
|
825
|
|
$
|
(1,064)
|
|
$
|
36,851
|
Operating
income
|
|
$
|
45
|
|
$
|
1,723
|
|
$
|
670
|
|
$
|
(198)
|
|
$
|
2,240
|
|
|
|
$
|
62
|
|
$
|
1,472
|
|
$
|
391
|
|
$
|
(30)
|
|
$
|
1,895
|
Net interest
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
and other
financing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
charges
|
|
1
|
|
571
|
|
1,546
|
|
(421)
|
|
1,697
|
|
|
|
—
|
|
469
|
|
23
|
|
238
|
|
730
|
Earnings
before
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
income tax
|
|
$
|
44
|
|
$
|
1,152
|
|
$
|
(876)
|
|
$
|
223
|
|
$
|
543
|
|
|
|
$
|
62
|
|
$
|
1,003
|
|
$
|
368
|
|
$
|
(268)
|
|
$
|
1,165
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
$
|
45
|
|
$
|
1,723
|
|
$
|
670
|
|
$
|
(198)
|
|
$
|
2,240
|
|
|
|
$
|
62
|
|
$
|
1,472
|
|
$
|
391
|
|
$
|
(30)
|
|
$
|
1,895
|
Depreciation
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
amortization
|
|
111
|
|
1,935
|
|
1
|
|
(277)
|
|
1,770
|
|
|
|
102
|
|
1,141
|
|
—
|
|
87
|
|
1,330
|
Adjusting
items(1)
|
|
11
|
|
43
|
|
18
|
|
50
|
|
122
|
|
|
|
10
|
|
14
|
|
200
|
|
(67)
|
|
157
|
Adjusted
EBITDA(1)
|
|
$
|
167
|
|
$
|
3,701
|
|
$
|
689
|
|
$
|
(425)
|
|
$
|
4,132
|
|
|
|
$
|
174
|
|
$
|
2,627
|
|
$
|
591
|
|
$
|
(10)
|
|
$
|
3,382
|
Depreciation
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
amortization(ii)
|
|
105
|
|
1,543
|
|
1
|
|
(277)
|
|
1,372
|
|
|
|
93
|
|
740
|
|
—
|
|
87
|
|
920
|
Adjusted
operating
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
income(1)
|
|
$
|
62
|
|
$
|
2,158
|
|
$
|
688
|
|
$
|
(148)
|
|
$
|
2,760
|
|
|
|
$
|
81
|
|
$
|
1,887
|
|
$
|
591
|
|
$
|
(97)
|
|
$
|
2,462
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(i)
|
For further detail on
items included in Other and Intersegment, see note 22, "Segment
Information" of the Company's 2019 Third Quarter Report to
Shareholders.
|
(ii)
|
Excludes $392 million
(2018 – $401 million) of amortization of intangible assets acquired
with Shoppers Drug Mart, recorded by Loblaw, and $6 million (2018 –
$9 million) of accelerated depreciation recorded by Weston Foods,
related to restructuring and other related costs.
|
FORWARD-LOOKING STATEMENTS
This News Release contains forward-looking statements about the
Company's objectives, plans, goals, aspirations, strategies,
financial condition, results of operations, cash flows,
performance, prospects, opportunities and legal and regulatory
matters. Specific forward-looking statements in this News Release
include, but are not limited to, statements with respect to the
Company's anticipated future results, events and plans, strategic
initiatives, regulatory changes including further healthcare
reform, future liquidity, planned capital investments, and the
status and impact of IT systems implementations. These specific
forward-looking statements are contained throughout this News
Release including, without limitation, in the "Consolidated Other
Business Matters" and "Outlook" sections. Forward-looking
statements are typically identified by words such as "expect",
"anticipate", "believe", "foresee", "could", "estimate", "goal",
"intend", "plan", "seek", "strive", "will", "may", "maintain",
"achieve", "grow", "should" and similar expressions, as they
relate to the Company and its management.
Forward-looking statements reflect the Company's estimates,
beliefs and assumptions, which are based on management's perception
of historical trends, current conditions and expected future
developments, as well as other factors it believes are appropriate
in the circumstances. The Company's expectation of operating and
financial performance in 2019 is based on certain assumptions
including assumptions about sales and volume growth, anticipated
cost savings, operating efficiencies, anticipated benefits from
strategic initiatives and restructuring, healthcare reform impacts,
future liquidity, planned capital investments, and the status and
impact of IT systems implementations. The Company's estimates,
beliefs and assumptions are inherently subject to significant
business, economic, competitive and other uncertainties and
contingencies regarding future events and as such, are subject to
change. The Company can give no assurance that such estimates,
beliefs and assumptions will prove to be correct.
Numerous risks and uncertainties could cause the Company's
actual results to differ materially from those expressed, implied
or projected in the forward-looking statements, including those
described in the "Enterprise Risks and Risk Management" section of
the Company's 2018 Annual Report and the Company's Annual
Information Form for the year ended December 31, 2018.
Readers are cautioned not to place undue reliance on these
forward-looking statements, which reflect the Company's
expectations only as of the date of this News Release. Except as
required by law, the Company does not undertake to update or revise
any forward-looking statements, whether as a result of new
information, future events or otherwise.
2019 THIRD QUARTER REPORT TO SHAREHOLDERS
The Company's 2018 Annual Report and 2019 Third Quarter Report
to Shareholders are available in the Investor Centre section of the
Company's website at www.weston.ca and have been filed on
SEDAR and are available at www.sedar.com.
INVESTOR RELATIONS
Shareholders, security analysts and investment professionals
should direct their requests to Tara
Speers, Senior Director, Investor Relations, at the
Company's Executive Office or by e-mail at
investor@weston.ca.
Additional financial information has been filed electronically
with various securities regulators in Canada through the System for Electronic
Document Analysis and Retrieval (SEDAR). This News Release includes
selected information on Loblaw, a public company with shares
trading on the Toronto Stock Exchange ("TSX"). For information
regarding Loblaw, readers should also refer to the materials filed
by Loblaw on SEDAR from time to time. These filings are also
maintained on Loblaw's corporate website at www.loblaw.ca. This
News Release also includes selected information on Choice
Properties, a public real estate investment trust with units
trading on the TSX. For information regarding Choice Properties,
readers should also refer to the materials filed by Choice
Properties on SEDAR from time to time. These filings are also
maintained on Choice Properties' website at www.choicereit.ca.
THIRD QUARTER CONFERENCE CALL AND WEBCAST
George Weston Limited will host a conference call as well as an
audio webcast on Tuesday, November 19, 2019 at 9:00 a.m.
(ET). To access via tele-conference, please dial
(647) 427-7450 or 1-888-231-8191. The playback will be
available two hours after the event at (416) 849-0833 or
1-855-859-2056, passcode: 6939357#. To access via audio webcast,
please visit the Investor Centre section of www.weston.ca.
Pre-registration will be available.
Ce rapport est disponible en français.
|
Endnotes
|
|
|
(1)
|
See "Non-GAAP
Financial Measures" section of the Company's 2019 Third Quarter
Report to Shareholders, which includes the reconciliation of such
non-GAAP measures to the most directly comparable GAAP
measures.
|
(2)
|
This News Release
contains forward-looking information. See "Forward-Looking
Statements" section of this News Release and the Company's 2019
Third Quarter Report to Shareholders for a discussion of material
factors that could cause actual results to differ materially from
the forecasts and projections herein and of the material factors
and assumptions that were used when making these statements. This
News Release should be read in conjunction with GWL's filings with
securities regulators made from time to time, all of which can be
found at www.weston.ca and www.sedar.com.
|
(3)
|
Comparative figures
have been restated to conform with the current year
presentation.
|
|
|
|
|
SOURCE George Weston Limited