Parkland Fuel Corporation to Close Acquisition of Pioneer Energy

Parkland Fuel Corporation, in accordance with the interim order of the Competition Tribunal (the "Tribunal") released today (the "Interim Order"), announces that it will move to close the acquisition (the "Acquisition") of the assets of Pioneer Energy ("Pioneer"), as soon as possible.

"We are pleased that this decision permits us to proceed with the acquisition of Pioneer, a critical growth opportunity for Parkland and an acquisition that will benefit consumers in the markets in which we operate," said Bob Espey, President and CEO of Parkland, one of North America's fastest growing distributors and marketers of fuels and lubricants. "We intend to comply fully with the spirit and the letter of the Tribunal's decision, and to pursue active discussions with the Competition Bureau as requested by the Tribunal."

The Interim Order permits Parkland to complete the Acquisition, subject to requiring Parkland to hold separate Pioneer's assets in six of the 14 local communities for which the Commissioner sought an interim order. The acquisition of Pioneer involves 393 properties in Manitoba and Ontario in almost as many communities.

As previously disclosed, Parkland was surprised by the Commissioner's interim application to challenge closing of the Acquisition, given that Parkland had proposed to divest certain assets and exit a supply agreement to mitigate anti-competitive impacts perceived by the Competition Bureau in 11 communities, including the six communities subject to the Interim Order.

The Tribunal also invited Parkland and the Commissioner, in the interest of the expeditious and effective administration of justice and as part of the upcoming case management phase of the Commissioner's main application, to consult with each other to determine whether an agreement can be reached with respect to Parkland's proposal in 11 of the 14 local communities in Ontario and Manitoba.

Parkland will pursue negotiations with the Commissioner, based on its proposal, with the objective of resolving the Commissioner's concerns in these communities. At the same time, Parkland will continue to vigorously contest the Commissioner's application before the Tribunal in the communities where there is no resolution of the dispute. Nevertheless, as a result of the ongoing application before the Tribunal, Parkland remains subject to a possible remedy (including a possible behavioral remedy) in respect of the Acquisition which may impact the aggregate anticipated benefits of the Acquisition, the financial projections related thereto, and/or the timing of the closing of the Acquisition. Parkland continues to believe that the Acquisition will be beneficial to consumers and result in additional efficiencies in the marketplace.