Business & Finance
Business and Finance
Business and Finance
Tue, March 29, 2011
Mon, March 28, 2011 
RED DEER, AB, March 28 /CNW/ - RIFCO Inc. (TSXV: RFC) ("RIFCO" or the "Company") is pleased to announce its auto lending program is now available to a growing list of select Canadian dealers through the national online credit application network, operated by DealerTrack Canada, Inc. (DealerTrack).
With the pilot testing phase completed, RIFCO has begun a phased launch of its existing dealer base with DealerTrack starting March 28th. The response from those RIFCO dealers that participated in the pilot has been positive. The phased launch is anticipated to be completed in the coming weeks.
Participation in the DealerTrack Network represents incremental progress toward RIFCO's immediate vision of originating $100 million per year in new loans.
RIFCO is currently in a substantial growth phase. In the Company's first three quarters ending December 31, 2010 loan origination growth of 47% has been achieved over the same period in the prior year.
From a dealer's perspective, the DealerTrack Network will put RIFCO on comparable footing with other, larger auto lenders. Some industry observers have cited the non-traditional auto lending marketplace in Canada at a potential $4 billion per year in new loans. RIFCO anticipates that participation in the DealerTrack Network will help increase its share of the market. This means that, in terms of dealer reach and loan origination growth potential, the ceiling on RIFCO's size and ultimate potential has been raised.
New dealer enrollment will be sought with likeminded dealers. It is expected that the number of dealership requests for RIFCO financing will continue to exceed the internal rate at which the Company can professionally enroll and service these new relationships. RIFCO will continue to maintain a priority on enrolling those dealers that share our vision for growing a profitable partnership together. RIFCO is optimistic that as access to reasonably priced capital is expected to continue and improve for the Company, it was the right time to join the DealerTrack Network.
The Company's competitive positioning and culture within the auto industry remains the most entrepreneurial, most service based, and fastest growing non-traditional auto lender in Canada. RIFCO has high growth aspirations and believes that its success continues to rest on having exceptional relationships with exceptional dealers. Significant resources are dedicated to pursuing the best lender-dealer relationships in the industry.
About RIFCO
RIFCO is one of Canada's fastest-growing automotive finance companies. Non-traditional auto loans are indirectly originated through a growing network of selected new and used vehicle dealers operating in all provinces except Saskatchewan and Quebec.
The common shares of RIFCO INC. are traded on the TSX Venture Exchange under the symbol "RFC". There are 19.53 million shares (basic) outstanding and 20.93 million (fully diluted) shares.
Certain information contained in this press release, including information and statements which may contain words such as "objective", "estimates", "would", "will", "contemplates", "expects" and similar expressions and statements relating to matters that are not historical facts, are forward-looking information including, but not limited to, information as to future performance.
This forward-looking information is based on certain material factors, assumptions and analyses made by RIFCO in light of its experience and its perception of historical trends, current conditions and expected future developments as well as other factors it believes are appropriate in the circumstances. However, whether actual results, performance or achievements will conform with RIFCO's conclusions, forecasts, projections, expectations and predictions expressed or implied by the forward-looking information in this press release is subject to known and unknown risks and uncertainties which could cause actual results to differ materially from RIFCO's conclusions, forecasts, projections, expectations and predictions expressed or implied by the forward-looking information in this press release, including: adverse market and economic conditions. Additional risks may be described in RIFCO's Annual Report for the most recently completed financial year end which may be found on SEDAR at [ www.sedar.com ]. If any of the above risks or uncertainties materialize, or if the material factors, assumptions and analyses applied by RIFCO are incorrect, actual results may vary materially from those expected in the forward-looking information in this press release.
Consequently, all of the forward-looking information contained in this press release is qualified by these cautionary statements and there can be no assurance that the actual results or developments anticipated by RIFCO expressed or implied by the forward-looking information in this press release will be realized or, even if substantially realized, that they will have the expected consequences to or effects on RIFCO or its business operations. RIFCO assumes no obligation, except as required by law, to update publicly any such forward-looking information, whether as a result of new information, future events or otherwise. Readers should not place undue reliance on forward-looking information.
Neither TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
