Jun. 25, 2010 (Filing Services Canada) -- Rocky Mountain Liquor Inc. (RUM - TSX Venture), ("Rocky Mountain Liquor" or the "Company"), listed on the TSX Venture Exchange (the "Exchange") is pleased to announce a group of warrant holders have effected an early conversion of warrants. The result of the early conversion of warrants will provide one million dollars ($1,000,000) of new equity to RUM.
The warrants issued in December 2008, entitle the holder, at the exercise price of 31.5 cents, to obtain one common share of Rocky Mountain Liquor. The number of warrants exercised are as follows:
Byrne Alberta Ltd 1,010,202
Lorraine Woolridge 1,000,000
1342744 Alberta Ltd 466,800
Ian Thompson 158,730
Allison Byrne 119,692
Jerry Sheets 100,000
Peter Byrne 79,795
Joan Byrne 79,795
Shelley Saunders 79,795
1342723 Alberta Ltd 79,795
The early warrant conversions will result in the issuance of the 3,174,604 new shares, RUM will have issued and outstanding 54,478,893 shares. An additional 4,704,888 warrants at a conversion price of 31.5 cents expiring December 1, 2010 would remain available for conversion to shares.
Byrne Alberta Ltd is controlled by Peter and Joan Byrne. 1342744 Alberta Ltd is controlled by Allison Byrne. 1342723 Alberta Ltd. is controlled by Lori Woolridge.
"We are excited that these parties closely associated with our Qualifying Transaction, all of whom are still involved with the company's development, continue to show their confidence in our business plans and strategy. The management team undertakes to use the new equity contributions by pursuing our growth strategy. This has proven a successful path to meeting the company's financial objectives", stated Peter J. Byrne, President and CEO. "At the time of the issuance of these warrants the exercise price was 26% above the share price the Vendor group were paid for Andersons Liquor Inc. shares, 57.5% above the IPO price and equal to the price paid by participants in the Private Placement. An early conversion of more than 40% of the warrants is very gratifying and our management team is humbled by this vote of confidence by the warrant holders," Byrne said.
About Rocky Mountain Liquor:
Rocky Mountain Liquor owns 100% of Andersons Liquor Inc. ("Andersons") headquartered in Edmonton Alberta, which owns and operates 30 private liquor stores in that province.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The parties listed as converting warrants together own or control beneficially more than 10% of the common shares of Rocky Mountain Liquor. Peter Byrne, CEO, his spouse Joan Byrne and Allison Byrne, Chief Operating Officer, each directly or indirectly own or control beneficially more than 10% of the common shares of the Company. Nothing expressed in this press release constitutes an indication or admission that any of the individuals identified are acting jointly or in concert.
This news release contains "forward-looking statements" within the meaning of applicable securities laws relating to the future growth and priorities for the Company, and the ability to execute the business strategy. Readers are cautioned not to place undue reliance on forward-looking statements, and should not rely on past performance when evaluating this acquisition, and in particular results achieved in 2009 and previous periods. Past results might not be a certain indication of future performance, which is subject to other risks, including but not limited to changes in operational policies, changes in management, changes in strategic focus, market conditions and customer preferences. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that these events may not materialize as well as those additional factors discussed in the section entitled "Risk Factors" in RUM's Management Discussion and Analysis, which can be obtained at www.sedar.com. If they do materialize, there remains a risk of non-execution for any reason (including but not limited to the inability to locate suitable acquisitions or new store development).
For further information:
Peter J. Byrne
Chief Executive Officer
(780) 686-7383
Tracey Bean
Chief Financial Officer
(780) 863-2326
Source: Rocky Mountain Liquor Inc. (TSX-V RUM)
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