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Pacific &; Western Closes $10 Million Private Placement Offering

^{Published on 2011-03-11 09:11:09 - Market Wire}
 

/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES./

LONDON, ON, March 11 /CNW/ - Pacific & Western Credit Corp. (TSX:PWC) is pleased to announce that today its wholly owned subsidiary, Pacific & Western Bank of Canada ("PWBank"), completed a private placement closing of $10 million of ten year term subordinated notes ("Notes"). The Notes have a coupon of 8% per annum. Net proceeds will be used to increase PWBank's regulatory capital.

David Taylor, President & C.E.O. of PWBank said, "This increases the Bank's regulatory capital to $147 million, and brings the total amount of capital invested into the Bank since October 31, 2010 to $15 million. The increased capital provides the Bank with additional lending capacity to continue to grow our profitable loan and lease business."

PWBank, a Schedule I chartered bank, is a branchless financial institution. It specializes in providing loan and lease financing to niche markets throughout Canada, primarily made up of well-established corporations and public sector entities, often utilizing existing distribution channels.

Pacific & Western Bank of Canada is wholly owned by Pacific & Western Credit Corp., whose shares trade on the TSX under the symbol PWC.

Investor Relations: Wade MacBain, Director, (800) 244-1509, [ wadem@pwbank.com ];

Public Relations & Media: Tel Matrundola, Vice-President, (866) 787-9936, [ telm@pwbank.com ]

To receive company news releases, please contact:

Carla McPhee at [ carlam@pwbank.com ], (519) 675-4204