BOUCHERVILLE, QUEBEC — Uni-Select has reported sales of $373.9 million for the fourth quarter of 2008, an increase of 32.1 percent compared to sales of $283 million in 2007. The increase in sales for the company is primarily due to the various acquisitions completed in recent quarters. Net earnings increased to $14.8 million, or 75 cents per share, in the fourth quarter of 2008 compared to $13 million or 66 cents per share last year, an increase of 13.3 percent.

For the year ended Dec. 31, 2008, sales were $1.3 billion, an increase of $149 million or 12.7 percent over the same period last year. The consolidated operating margin has increased by $12.5 million to 7 percent compared to 6.8 percent in 2007. Net earnings increased 12.4 percent, to reach $46 million or $2.33 per share compared to net earnings of $41 million or $2.07 per share in 2007. Excluding the impact of non-recurring costs related to store closures in lesser performing markets, net earnings for the year would have been $2.37 per share and 79 cents for the quarter.

"2008 was a good year performance wise as we were able to meet the objectives of increasing the net revenue, optimizing our asset base, reducing our expenses and successfully integrating the businesses acquired during the last few years. These objectives were met despite the challenging economic situation in North America" said Richard Roy, president and chief executive officer of Uni-Select Inc. "In this 40th year of our foundation, we remain optimistic as to our results for 2009. We will benefit from a full year of sales and synergies derived from our acquisitions completed in 2008 and the continued improvement of our operating margins throughout our network. The closure of a few stores in 2008, in areas with lesser potential, is a reflection of our asset management guidelines. While, the reduction of the asset base and the disposal of specific stores will once again be on the agenda for 2009.

“I would like to take this opportunity to thank our employees for their contribution throughout the year. Their dedication enabled us to pursue our growth in Canada as well as in the United States. More than 237 Parts Depot independent customers out of 242 have changed over to the Auto-Plus trademark and programs during the fourth quarter. This latest acquisition increased our customers to 2,550 and the number of stores serviced to more than 3,500," added Roy.

Sales for Automotive Group USA reached $228 million in the fourth quarter, compared to $150 million in the fourth quarter of 2007, an increase of 52.2 percent. The acquisitions completed in recent quarters contributed $57.2 million to the increase in sales of the fourth quarter. The operating margin for the group reached 5.8 percent in the fourth quarter. Excluding the latest two acquisitions whose integration is just underway, the margin is 7.2 percent an improvement compared to 6.7 percent in 2007. This improvement is essentially the result of continued improvement programs on margins and cost reduction.

For the year, sales for Automotive Group USA reached $718 million, an increase of 18.3 percent compared to the same period of 2007. This increase essentially stems from the acquisitions completed during the course of the period which contributed $143 million. The fluctuations in the exchange rate had a non-significant impact on the annual sales (the impact was favorable by $35.5 million for the fourth quarter). The operating margin of the Group reached 6.5 percent in 2008. Excluding the last two acquisitions whose integration started late 2008 the margin is 7 percent an improvement of nearly 1 percent compared to 6.2 percent in 2007.

Automotive Group Canada reported an increase in sales of 9.6 percent in the fourth quarter of 2008 to reach $125 million compared to $114.2 million in the fourth quarter of 2007. The acquisitions completed in the recent quarters contributed $7.1 million to the increase in sales in the quarter. The operating margin of the group was 11.6 percent compared to 10.4 percent in the fourth quarter last year.

For the year, sales for Automotive Group Canada were $529 million an increase of 6.3 percent compared to the same period in 2007. This increase is essentially the result of the acquisitions completed during the period which contributed $38.8 million in sales. The operating margin remained stable at 8.5 percent compared to 2007.

Sales for the Heavy Duty Group increased by 8.6 percent in the fourth quarter of 2008 to reach $21 million compared to $19.2 million in 2007. The operating margin for the Heavy Duty Group was 7.4 percent in the fourth quarter of 2008 compared to 8 percent last year. This decrease in the margin stems essentially from the effects of the current economic situation, which affects the heavy duty transport industry and the strong competition in that business segment.

For the year, sales for the Heavy Duty Group were $69.4 million an increase of 9.8 percent compared to the same period in 2007. The operating margin was 1.2 percent an improvement of 1.5 percent compared to (0.3 percent) recorded in 2007.

During the fourth quarter, the company generated more than $60 million in cash flow resulting from operating activities with more than $43 million used to reduce the bank indebtedness. Uni-Select benefits from a strong balance sheet and its long term credit facility is not up for renewal before October 2011 allowing for room to pursue its development plan.