CORRECTING and REPLACING
Walton Big Lake Development L.P.
Reports Fiscal Year-End and Q4 2012 Results
CALGARY, Alberta--(BUSINESS WIRE)-- The first sentence of the second paragraph should read: During the 2012 year, the Partnership recognized revenue of $14,639,728, cost of sales of $12,726,508, other income of $9,154 and other expenses of $860,925 resulting in a net income of $1,061,449 (sted: ... resulting in a net loss of $1,061,449).
The corrected release reads as follows:
WALTON BIG LAKE DEVELOPMENT L.P. REPORTS FISCAL YEAR-END AND Q4 2012 RESULTS
Walton Big Lake Development L.P. (the "Partnership") announced today the Partnership's results for the fiscal year ended December 31, 2012 and for the fourth quarter of 2012.
Fiscal Year-End and Fourth Quarter Financial Results
During the 2012 year, the Partnership recognized revenue of $14,639,728, cost of sales of $12,726,508, other income of $9,154 and other expenses of $860,925 resulting in a net income of $1,061,449. The revenue earned during the 2012 year was in respect of the sale of 107 of the 162 lots in Phase 1. The revenue recognition was triggered by the completion of onsite roads for the committed lots and payment of second deposits for those lots. During the fourth quarter of 2012, the Partnership generated total revenues of nil and total expenses of $319,377 resulting in a net loss of $319,337.
Highlights for the Fiscal Year Ended December, 31, 2012
During 2012, the Partnership accomplished the following milestones:
- Submitted the subdivision plan for Phase 1 for registration. The plan was subsequently registered in the second quarter;
- Building permits for constructing houses in Phase 1 were released by the City of Edmonton. Construction of showhomes commenced;
- Completed construction of the offsite utilities, including the water line and sanitary sewer, and the paving of onsite roads in Phase 1 and offsite roads;
- Submitted the applications for zoning and subdivision of Phase 2 to the City for approval.
- Single-family and semi-detached showhomes were opened to the public; and
- Issued the second cash distribution of $4.8 million to limited partners in the amount of $2.29 per unit. This follows a cash distribution of $1.00 per unit made in 2011.
The completion dates for many of the milestones for Phase 1 are behind the times initially anticipated by management. These delays were primarily the result of:
i. approvals to initiate construction engineering drawing approvals from the City of Edmonton taking longer than anticipated;
ii. rezoning and subdivision approvals from the City of Edmonton for Phase 1 taking longer than anticipated; and
iii. adverse weather slowing contractor production or halting construction activities due to site conditions.
While the delays extended the completion dates for Phase 1 of the project, management expects that the overall five-year project time frame, as disclosed in the prospectus, will be unaffected and the Partnership remains on track for achieving its investment objectives.
Launched in 2010, the Partnership owns a 136.5-acre residential project in northwest Edmonton, Alberta. The project is being developed in three phases and marketed under the name "Hawk's Ridge at Big Lake."
The Partnership is managed by Walton Asset Management L.P. and the development of the properties is managed by Walton Development and Management (Alberta) LP, both of which are members of the Walton Group.
Walton is a multinational group of real estate investment and development companies headquartered in Calgary, Alberta, Canada. As one of North America's leading land-based real estate investment and development firms, our expertise is in the research, acquisition, management and development of strategically located land in major growth corridors throughout Canada and the U.S. Walton currently manages over 73,000 acres, laying the foundation for communities where people can live, work and play, and creating wealth for our clients around the globe. Since 1979, Walton has returned over $1.3 billion CAD* in client distributions.
This news release, required by Canadian laws, does not constitute an offer of securities, and is not for distribution or dissemination outside Canada. This news release contains forward looking information, and actual future results may differ from what is disclosed in this news release. The risks, uncertainties and other factors that could influence results are described in the prospectus and other documents filed with Canadian securities regulatory authorities and available online at www.sedar.com .
Except as otherwise noted, all amounts are in Canadian dollars, and are based on audited financial statements for the year ended December 31, 2012, and related notes, prepared in accordance with International Financial Reporting Standards.
*Amount returned is unaudited and consists of:
- Exit proceeds on sales of pre-development land
- Distributions, interest and principal repayment on development projects
- Interest and principal repayment on corporate bonds
Walton Big Lake Development L.P.
Blair Nixon, 1-403-265-4255
KEYWORDS: North America Canada
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