Century II Holdings Inc. Reports Fiscal 2005 Second Quarter Results

TSX Symbol: CH

TORONTO, Aug. 9 /CNW/ - Century II Holdings Inc. today announced its
financial results for the second quarter ended June 30, 2005. The Company's
operations reflect the business of Information Communication Services (ICS)
Inc. (also referred to as "ICS Courier").
The Company reported net earnings in the second quarter of 2005 of
$1,263,000 ($0.11 per share) compared with a net loss of $21,000 ($0.00 per
share) in 2004. The Company attributed the improvement in the net earnings to
improved efficiencies and an increase in both volumes and tariffs. The
significant improvements reported in the first quarter continued to build in
the second quarter.
The Company reported revenues of $21,216,000 in the second quarter of
2005 representing a 7.6% increase in revenues over the second quarter of 2004.
This increase is a direct result of measures implemented late last year to
bolster ICS Courier's market share. The trackable ICS Next Day(TM) product
continues to show significant year-over-year growth.
Earnings before interest, foreign exchange gains and losses, income
taxes, and amortization ("EBITDA") for the second quarter of 2005 increased to
$1,561,000 compared with $237,000 in the second quarter of 2004. Year-to-date
EBITDA at $2,494,000 compares to a loss of $98,000 for the same period last
year.
Cash provided by operating activities in the second quarter of 2005
amounted to $2,636,000 compared to a use of cash of $709,000 in the same
period last year (an improvement of $3,345,000). Cash equivalents for the
second quarter of 2005 increased by $2,349,000 compared to a decrease of
$1,454,000 for the same period last year. Of this improvement of $3,803,000,
$3,285,000 is directly related to increased earnings and more effective
working capital management. Although the Company has no formal dividend policy
at this time, it will review the possibility of any future distributions once
it has attained an appropriate level of sustainable self-supporting financial
performance.
Commenting on the financial results for the second quarter of 2005,    
Mr. Geoff Davies, President and Chief Executive Officer of the Company
indicated that employees and management have worked very hard and are pleased
that the second quarter results demonstrate a continuation of the improvements
reported in the first quarter.

About Century II Holdings Inc. (TSX Symbol: CH)
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Century II Holdings Inc. is a publicly listed holding company whose
wholly owned subsidiary, ICS Courier, operates a fixed route courier business
servicing in excess of 35,000 accounts in the insurance, optical, financial,
travel, and dental business sectors across Canada.

Certain statements in this press release constitute forward-looking
statements. Such forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance and achievements of the Company to be materially different from
future results, performance or achievements expressed or implied by such
forward-looking statements. Such factors include, among others, competition
and technological changes. These factors and other risks and uncertainties are
discussed in the Company's Annual Report for the year ended December 31, 2004
and in the subsequent reports filed by the Company with the Ontario Securities
Commission.
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