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Last Close: May 6, 2009 - $0.08 Shares Issued: 56,511,127
CALGARY, May 6 /CNW/ - Maple Leaf Reforestation Inc. ("Maple Leaf") is pleased to announce its shipments and revenues for the month of April for the Inner Mongolia and Xinjiang operations.
Greenhouse Operations (Inner Mongolia) --------------------------------------
Further to the news release dated March 27th, Maple Leaf has shipped out various types of seedlings totaling 775,439 seedlings in April to various customers including part of the Danan Village contract which was announced on March 27th. The total revenue form these shipments is $81,700 Cdn (449,581 Rmb).
Xinjiang Operations
-------------------
1. Alfalfa Operations
Maple Leaf has shipped 200 metric tonnes of hay to Guandong Wen's
Foodstuffs Group Co., a major Chinese feed distributor. Revenue for
this shipment is $18,000 Cdn (100,000 Rmb). The hay shipped is a bi-
product of Maple Leaf's alfalfa operations.
2. Yellowhorn Seedlings Shipment
To ensure economically viable access to Yellowhorn seedlings, as
Yellowhorn seedlings are in short supply, Maple Leaf has entered into
joint venture agreements with three farming groups under which Maple
Leaf has shipped 72,860 seedlings to the groups for a cash deposit of
$5,400 Cdn (29,704 Rmb). The deposit is 20% of the total value of the
agreements, that being $28,500 Cdn (156,920 Rmb).
Under the joint venture agreements, the farming groups are initially
purchasing Yellowhorn seedlings from Maple Leaf between $0.36 and
$0.55 Cdn (2 and 3 Rmb) each, with an upfront cash deposit of between
20% and 30%. The balance will be offset against future sales of
yellowhorn seeds generated from these seedlings at maturity, ie. 3
years later; whereby Maple Leaf has a right of first refusal to
purchase the seeds back from the farming groups. This ensures Maple
Leaf a future supply of valuable Yellowhorn seeds without committing
large portions of its capital resources.
Revenues for the month of April in both Xinjiang Operations (Alfalfa
and Yellowhorn Seedling deposits) was $23,400 Cdn (129,704 Rmb).
Total revenues received during the month of April from all operations was
$105,100 Cdn (578,000 Rmb).
About Maple Leaf Reforestation Inc.
Maple Leaf is a Canadian company operating four environmental related
projects in China:
1. a large-scale forest nursery in Inner Mongolia which is focused on
growing value-added tree seedlings and alfalfa feedstock alongside
landscaping and nursery products;
2. a multi-faceted Xinjiang Yellowhorn tree project which will provide
for the manufacture of bio-diesel fuel and cooking oil and complement
the fabrication of the ever demanding nutritious alfalfa feedstock;
3. an organic fertilizer plant in the Hunan Province which will produce
environmentally friendly bio-organic fertilizer; and
4. a Flexi-Pipe distribution network to serve the oil and gas industry
and other renewable energy industries.
Maple Leaf is a wholly-owned foreign enterprise which allows Maple Leaf to
control 100% of the direction and operations of the company in China while
permitting the cash generated from operations in China to flow back to Canada.
The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this release.
Certain statements in this news release including (i) statements that may contain words such as "anticipate", "could", "expect", "seek", "may" "intend", "will", "believe", "should", "project", "forecast", "plan" and similar expressions, including the negatives thereof, (ii) statements that are based on current expectations and estimates about the markets in which Maple Leaf operates and (iii) statements of belief, intentions and expectations about developments, results and events that will or may occur in the future, constitute "forward-looking statements" and are based on certain assumptions and analysis made by Maple Leaf. Forward-looking statements in this news release include, but are not limited to, statements with respect to future capital expenditures, including the amount, nature and timing thereof; other development trends within the China's seedling industry; business strategy; expansion and growth of Maple Leaf's business and operations and other such matters. Such forward-looking statements are subject to important risks and uncertainties, which are difficult to predict and that may affect Maple Leaf's operations, including, but are not limited to: the impact of general economic conditions; industry conditions; government and regulatory developments; seedling product supply and demand; competition; and Maple Leaf's ability to attract and retain qualified personnel. Maple Leaf's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do transpire or occur, what benefits Maple Leaf will derive there from.
Maple Leaf maintains a forward-looking statement database which is reviewed by management on a regular basis to ensure that no material change has occurred with respect to such forecasts. The Company will publicly disclose such material changes to its forward-looking statements as soon as they are known to management.