Plazacorp announces quarter 1 2009 financial results

    FREDERICTON, NB, May 26 /CNW/ - Plazacorp Retail Properties Ltd. (PLZ:TSX
Venture) today announced its results for the 3 months ended March 31, 2009.
    Michael Zakuta, Plazacorp's President and CEO, said, "We are pleased with
the positive results for the quarter ended March 31, 2009. The increase in FFO
and our financial results are a confirmation of Plazacorp's strategy and our
ability to successfully operate our business in today's economic environment.
Currently we have 10 projects under development, which upon completion will
deliver stronger FFO going forward and strengthen the quality of our
portfolio."
    The Corporation reported funds from operations ("FFO") of $3.2 million
for the three months ended March 31, 2009, representing a 14.5% increase over
$2.8 million for the three months ended March 31, 2008. FFO per share was
$0.066 ($0.066 diluted) for the three months ended March 31, 2009,
representing a 12.1% increase over $0.059 ($0.059 diluted) for the three
months ended March 31, 2008.
    Plazacorp's Summary of FFO for the three months ended March 31, 2009,
compared to the three months ended March 31, 2008 are presented below:-------------------------------------------------------------------------
                                                       3 Months     3 Months
                                                          Ended        Ended
    (000's - except per share amounts)                March  31,   March  31,
    For the Periods Ended                                  2009         2008
    -------------------------------------------------------------------------
    Total revenues                                   $   11,926   $   11,443
                                                     ------------------------
                                                     ------------------------
    Basic earnings per share                         $    0.023   $    0.004
                                                     ------------------------
                                                     ------------------------
    Diluted earnings per share                       $    0.022   $    0.004
                                                     ------------------------
                                                     ------------------------

    Income and other comprehensive income            $    1,073   $      204

    Add:
    (Gain) on disposal of income producing
     properties and surplus lands                          (722)           -
    Income tax expense                                      407          132
    Amortization                                          2,393        2,395
    Non-controlling interests                                88          101
    Interest costs                                        3,334        3,555
                                                     ------------------------
    Earnings before interest, taxes, depreciation
     and amortization (EBITDA)                            6,573        6,387
    Less:
    Interest costs                                       (3,334)      (3,555)
    Current income tax expense                              (15)         (15)
    Non-cash debenture interest                               8           10
    Non-controlling interest adjustment to FFO             (210)        (200)
    Equity accounting adjustment to FFO                     133          131
    Corporate amortization                                   (4)          (6)
                                                     ------------------------
    Basic FFO                                             3,151        2,752
    Interest on dilutive convertible debentures
     before income tax                                        1           21
                                                     ------------------------
    Diluted FFO                                      $    3,152   $    2,773
                                                     ------------------------
                                                     ------------------------
    Basic Weighted Average Shares Outstanding            47,628       46,312
                                                     ------------------------
                                                     ------------------------
    Diluted Shares Outstanding                           47,845       47,394
                                                     ------------------------
                                                     ------------------------
    Basic FFO per share                              $    0.066   $    0.059
                                                     ------------------------
                                                     ------------------------
    Diluted FFO per share                            $    0.066   $    0.059
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------A copy of Plazacorp's quarterly report can be found on the Corporation's
web site at www.plaza.ca and can be found on www.sedar.com.
    Plazacorp Retail Properties Ltd. is an owner of shopping malls and strip
plazas throughout Atlantic Canada, Quebec and Ontario. Plazacorp, as at May
26, 2009, owns interests in 97 properties comprising 4.3 million square feet
of retail real estate.

    CAUTIONARY STATEMENTS REGARDING FORWARD LOOKING INFORMATION

    This news release contains forward looking statements relating to our
operations and the environment in which we operate, which are based on our
expectations, estimates, forecasts and projections. These statements are not
future guarantees of future performance and involve risks and uncertainties
that are difficult to control or predict. Therefore, actual outcomes and
results may differ materially from those expressed in these forward looking
statements. Readers, therefore, should not place undue reliance on any such
forward looking statements. Further, a forward looking statement speaks only
as of the date on which such statement is made. We undertake no obligation to
publicly update any such statement, to reflect new information or the
occurrence of future events or circumstances, except for forward-looking
information disclosed in prior disclosures which, in light of intervening
events, requires further explanation to avoid being misleading.

    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.
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