A&W receives TSX approval for share buyback

Executive Summary

• A&W Food Services of Canada Inc. has received Toronto Stock Exchange approval to commence a Normal Course Issuer Bid (NCIB) to repurchase up to 600,000 common shares.
• The repurchase program will operate for a 12-month period from March 20, 2026, to March 19, 2027, or until the maximum authorized share limit is reached.
• The board authorized the NCIB as a disciplined capital management tool to enhance shareholder value when the market price is deemed below intrinsic value, with purchases executed at market price via the TSX and/or alternative Canadian trading systems.

Key Details

• Authorized Quantity: Up to 600,000 common shares, representing approximately 2.5% of the 24,007,769 issued and outstanding shares as of March 16, 2026.
• Program Duration: 12 months, commencing March 20, 2026, and concluding on the earlier of the maximum share purchase limit being reached or March 19, 2027.
• Purchase Mechanism: Shares will be purchased in the open market through TSX and/or alternative Canadian trading systems at the prevailing market price at the time of purchase.
• Daily Volume Limit: Maximum of 1,910 shares per trading day, capped at 25% of the 6-month average daily trading volume (7,642 shares ending Feb. 28, 2026), excluding block purchase exemptions under TSX rules.
• Capital Management Rationale: The board believes the market price may not reflect the company's intrinsic value and views the repurchases as an attractive use of corporate funds to enhance shareholder value while maintaining a strong balance sheet.
• Automatic Securities Purchase Plan (ASPP): A&W has entered into an ASPP with its designated broker to facilitate share purchases during regulatory or self-imposed blackout periods, based on pre-set parameters and TSX compliance.
• Regulatory Compliance: All purchases are subject to TSX rules, applicable securities laws, and the TSX company manual limitations, with timing and volume dependent on market conditions, share price, and capital needs.