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Press release from CNW Group

TransForce Inc. Announces $125 Million Bought-Deal Offering of Convertible Unsecured Subordinated Debentures

Monday, November 01, 2010

TransForce Inc. Announces $125 Million Bought-Deal Offering of Convertible Unsecured Subordinated Debentures17:08 EDT Monday, November 01, 2010This release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or for dissemination in the United StatesMONTREAL, Nov. 1 /CNW Telbec/ - TransForceInc. (TSX: TFI) announced today that it has entered into an agreement with a syndicate of underwriters led by National Bank Financial Inc. and RBC Dominion Securities Inc. pursuant to which the underwriters have agreed to purchase, on a bought-deal basis, convertible unsecured subordinated debentures of TransForce in an aggregate principal amount of $125 million.  The debentures will be offered at a price of $1,000 per debenture by way of short form prospectus in each of the provinces of Canada, as well as in the United States under applicable registration statement exemptions.  TransForce intends to use the net proceeds of the offering for general corporate purposes, to support its program of strategic acquisitions and to reduce indebtedness.The debentures will bear interest at a rate of 6.0% per annum, payable semi-annually on May 31 and November 30 each year, commencing on May 31, 2011.  The debentures will be convertible at the holder's option into TransForce common shares at a conversion price of $19.05 per share, representing a conversion rate of 52.4934 TransForce shares per $1,000 principal amount of debentures.  The debentures will mature on November 30, 2015 and may be redeemed by TransForce, in certain circumstances, after November 30, 2013.TransForce will grant an over-allotment option to the underwriters of the offering, entitling them to purchase, for a period of 30 days from the closing of the offering, up to $18.75 million principal amount of additional debentures at the offering price of $1,000 per debenture, to cover over-allotments and for market stabilization purposes, if any.In connection with the debenture offering, TransForce will file a preliminary short form prospectus in all provinces of Canada by November 5, 2010.  The prospectus offering is subject to all standard regulatory approvals, including that of the Toronto Stock Exchange, and is expected to close on or about November 19, 2010.This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction.  The debentures being offered, and the common shares issuable upon the conversion or redemption of the debentures, have not been and will not be registered under the U.S. Securities Act of 1933 or state securities laws.  Accordingly, the debentures may not be offered or sold to U.S. persons except pursuant to applicable exemptions from registration.ProfileTransForce Inc. ( is the leader in Canada's transportation and logistics industry. Headquartered in Montreal, Quebec, TransForce creates value for shareholders through managing and investing in a growing network of wholly-owned, operating subsidiaries. TransForce provides a comprehensive and unique combination of capabilities, resources and geographical coverage in both domestic and trans-border markets. Its companies currently operate in four well-defined business segments:Less-Than-Truckload;Package and Courier; Specialized Services, which includes oilfield & oilsand services, waste management, logistics, fleet management & personnel services;Truckload, specialized truckload and dedicated services.TransForce Inc. shares are listed on the Toronto Stock Exchange under the symbol TFI.Forward-Looking Statements Except for historical information provided herein, this press release may contain information and statements of a forward-looking nature concerning the future performance of TransForce.  These statements are based on suppositions and uncertainties as well as on management's best possible evaluation of future events.  Such factors may include, without excluding other considerations, fluctuations in quarterly results, evolution in customer demand for TransForce's products and services, the impact of price pressures exerted by competitors, and general market trends or economic changes.  As a result, readers are advised that actual results may differ from expected results.%SEDAR: 00026947EFFor further information: TransForce Inc. Alain Bédard Chairman of the Board, President and CEO 514-331-4200