SERVICE SECTOR / Akita Drilling Ltd. - Normal Course Issuer Bid
CALGARY, Jan 19 /CNW/ - Effective January 19, 1999, the Corporation has
filed a Notice of Intention to Make a Normal Course Issuer Bid (the ''Bid'')
with The Toronto Stock Exchange (the ''TSE'') pursuant to which the
Corporation indicated that it intends to make a normal course issuer bid for
certain of its outstanding Class A Non-Voting Shares on the terms set forth in
the Notice. At the time of filing the Notice, the board of directors of the
Corporation was of the belief, and continues to be of the belief, that the
purchase of the Class A Shares from time to time at appropriate prices will
minimize any dilution resulting from the exercise of stock options to purchase
Class A Shares and is an advantageous use of the Corporation's funds. As a
result, at such time as the Class A Shares become available at prices which
make them an attractive investment and an appropriate use of the Corporation's
funds, the Corporation shall make normal course purchases through the
facilities of the TSE in accordance with the Notice.
On the date that the Notice was filed, 8,674,569 Class A Shares were
outstanding. Under the rules of the TSE, in the period commencing on January
22, 1999 and ending on January 21, 2000, the Corporation may acquire up to
433,478 Class A Shares of the Corporation, being 5% of the Class A Shares
outstanding as at the date of the Notice. Any shares purchased pursuant to
the Notice will be purchased at the market price of the shares at the time of
purchase and will be purchased on behalf of the Corporation by a registered
investment dealer through the facilities of the TSE. Any shares purchased
pursuant to the Notice will be cancelled and returned to treasury of Akita.
The funding for any purchase of Class A Shares pursuant to the normal course
issuer bid will be financed out of working capital of the Corporation.
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