Our
Company

At the end of fiscal year 2005, I wrote that we could claim to have successfully integrated the Circle K network. The mood then was one of accomplishment. Twelve months later, as both our strategies and execution perform to, and often exceed, high expectations, we are developing a greater sense of just how open-ended our future can be. And the mood is one of excitement!

As we move through the second 25 years of our journey we have, I believe, arrived at a new maturity as an enterprise.

Although history shows us that two-thirds of merger and acquisition strategies actually diminish shareholder value, we are an established member of that other third. Our growth model has demonstrated robust and sustainable value creation: at the end of fiscal year 2006 our share price has appreciated 114% in the past two years and average return over the past five year is 37%. Market capitalization since 2003 has more than tripled to Cdn$5 billion.

The Board of Directors approved a policy for a quarterly dividend of Cdn$0.03 per share. Our cash flow makes it appropriate to share some of the benefits of our growth with shareholders. 

On its own, this is an inspiring picture. Taken in context with the Company's strong and consistent performance over an extended period, it is also a key inflection point. I see it as an important transition into a high-return North American business model with sustainable and internally financed organic and acquisition growth.

People are without question the most important element and the greatest strength of our network. They are the first thing we look for in an acquisition opportunity; the quality people at Couche-Tard are hugely responsible for the stunning success since the acquisition of Circle K. I am proud that our beliefs, values and hard work are creating the best team in retailing.

I feel that this year our company found a new sense of self. We find ourselves at a new level of capability and confidence, primed and ready to sustain our powerful growth.

On behalf of all my colleagues, I wish to thank our shareholders for their continued support, our Board of Directors, our business partners and our managers and employees throughout the network.