Transcontinental Has Strong Profitability Gain on Lower Revenue in Q1

As at January 31, 2010, the ratio of net indebtedness (including the securitization program) to adjusted operating income before amortization was 2.40, versus 3.25 as at January 31, 2009, due to the preferred share placement, an increase in adjusted operating income before amortization, and the rise of the Canadian versus the U.S. dollar. Furthermore, the Corporation has now achieved its objective, set in fiscal 2009, of maintaining this ratio within a target range of 2.00 to 2.50. Note that in the first quarter, the Corporation repaid and cancelled before maturity credit facilities of $150 million arranged with its banking syndicate in fiscal 2009.