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December 12th, 2008

OSCO CONSTRUCTION GROUP EXPANDS IN NOVA SCOTIA

SAINT JOHN, NB – The OSCO Construction Group announced today their purchase of the Nova Scotia-based Ready-Mix Concrete, Pre-cast Concrete, Aggregate and Rebar businesses of Pennecon Limited, effective December 11, 2008.

The newly-acquired companies have approximately $30-million in annualized sales. The purchase includes five ready-mix plants in Nova Scotia; Sackville Concrete & Bedford Ready-Mix in Halifax, Annapolis Valley Ready-Mix in Windsor, Glenholme Ready-Mix near Debert and Tri-Star Concrete in Sheet Harbour.

The Pennecon sale also includes two pre-cast concrete operations; Borcherdt Concrete Products and Northstar Pre-cast Concrete. Both companies provide pre-cast concrete products throughout the Maritimes.

A Halifax-based reinforcing steel fabricator; Allstar Rebar Nova Scotia, and a sand and gravel products business, M.S.D. Enterprises Limited in Glenholme, N.S., was purchased as well.

“The Pennecon companies will complement OSCO’s existing ready mix, rebar fabrication and pre-cast concrete operations at Ocean Steel, York Steel, Strescon and Schurman Concrete,” said Hans Klohn, President of the OSCO Construction Group.  “We are very familiar with these businesses and have great respect for their accomplishments to-date. We believe that in combination with our current operations, this acquisition will provide new opportunities to grow these companies. They will significantly enhance our presence in the Nova Scotia construction market; particularly Halifax, the regional center for Atlantic Canada. We want to extend a warm welcome to the Pennecon employees who will now join our group.”

About the OSCO Construction Group
The OSCO Construction Group is based in Saint John, New Brunswick.  OSCO provides products and services to heavy construction projects, from steel and concrete structures to general contracting and construction management.  Founded in 1955, the companies serve markets throughout Atlantic Canada, the Eastern US and the Caribbean. The Group operates offices and plants in New Brunswick, Nova Scotia, Prince Edward Island, Maine, Massachusetts and New York. Member companies include Ocean Steel, Strescon, FCC Engineering, Marque Construction, York Steel and Schurman Concrete.

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For more information, please contact:
Jennifer Parker
(506) 202-2992


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