BFI Press Releases

IESI-BFC Ltd. Announces Strong Results for the Three Months and Year Ended December 31, 2009

Tue, 23 Feb 2010 17:13:00 -0500

TORONTO, ONTARIO -- (MARKET WIRE) -- 02/23/10 -- IESI-BFC Ltd. (the "Company") (TSX: BIN)(NYSE: BIN) reported financial results for the three months and year ended December 31, 2009.

(All amounts are in United States ("U.S.") dollars, unless otherwise stated)

Management Commentary

For the quarter

Revenue totalled $262.5 million in the quarter compared with $243.6 million in the year ago period. Holding foreign currency exchange ("FX") constant with the prior period, revenue in the fourth quarter would have totalled $249.3 million. In the fourth quarter of 2009, we incurred certain, or non-recurring, costs which are recorded to selling, general and administration expense. These costs include transaction costs related to the acquisition of Waste Services, Inc. ("WSI"), $3.6 million, non-cash fair value adjustments attributable to stock options, $1.0 million, and corporate reorganization expenses related to the dismantling of the income trust structure, $1.3 million. With the exception of $0.2 million of stock option expense recorded in the fourth quarter of 2008, these expenses are not comparable to the prior period. All references to adjusted EBITDA(A), operating income, net income and net income per weighted average share, reflect the adjustment of the aforementioned costs. Accordingly, adjusted operating income was $39.4 million in the quarter compared to $34.8 million in the comparative period a year ago. Holding FX constant, adjusted operating income amounted to $37.1 million, an increase of $2.3 million over the comparative period. Adjusted EBITDA(A) was $75.4 million in 2009 versus $67.8 million in the same quarter a year ago. Holding FX constant, adjusted EBITDA(A) was $70.8 million an increase of $3.0 million period to period.

Adjusted net income for the quarter was $15.2 million, or $0.16 per diluted share, compared to $10.1 million, or $0.15 per diluted share in the comparative period. Adjusted net income excluding the impact of FX was $13.8 million, or $0.14 per diluted share, representing an increase of $3.7 million, or a decline of $0.01 per diluted share, period over period. We increased our comparative diluted share count as a result of equity offerings completed in March and June 2009.

In the quarter, organic gross revenue, which includes intercompany revenues, grew 2.9% in Canada. Continued core pricing growth, 3.2%, coupled with volume growth, 0.3%, was partially offset by a fuel surcharge decline of 0.6%. In the U.S., organic gross revenues increased 0.1% in the quarter. While we realized core price growth of 1.8% and recycling and other pricing growth of 0.6%, declines in fuel surcharges, 2.2%, and volumes, 0.1%, offset this growth.

Free cash flow(B) for the quarter totalled $23.5 million compared to $17.4 million in the comparative period last year. Excluding the impact of FX, free cash flow(B) was $20.8 million, representing a 19.4% increase over the same period a year ago.

For the year

For the year ended December 31, 2009, revenues were $1.008 billion, compared with revenues of $1.047 billion in the year ago period. Holding FX constant, year-to-date revenue would have been $1.033 billion. As in the fourth quarter, transaction and related costs, non-cash fair value adjustments for stock options and corporate reorganization costs had a similar impact on year-to date operating income, adjusted EBITDA(A), net income and net income per weighted average share. Accordingly, adjusting for these costs, coupled with fair value movements in rabbi and trust units, adjusted operating income was $133.9 million compared to $122.7 million in the year ago period. Holding FX constant, adjusted operating income was $139.3 million or $16.6 million higher than the year ended December 31, 2008. Adjusted EBITDA(A) was $290.4 million year-to-date versus $290.7 million in 2008. Holding FX constant, adjusted EBITDA(A) was $299.2 million, an increase of $8.5 million year over year.

Adjusted net income for the year was $60.1 million, or $0.71 per diluted share, compared to $51.3 million, or $0.75 per diluted share in the comparative period. Adjusted net income excluding the impact of FX was $63.1 million, or $0.74 per diluted share, representing an increase of $11.8 million, or a decline of $0.01 per diluted share, year over year.

For the year, organic gross revenue, which includes intercompany revenues, grew 1.4% in Canada. Continued core pricing growth, 3.2%, was partially offset by a fuel surcharge, volume and recycling and other pricing declines of 0.6%, 0.2% and 1.0%, respectively. In the U.S., organic gross revenues decreased 4.2% year-to-year. While we realized core price growth of 2.2%, declines in fuel surcharges, 2.6%, volumes, 2.3%, and recycling and other pricing, 1.5%, outpaced this growth.

Free cash flow(B) for the year totalled $114.1 million compared to $92.9 million in the comparative period last year. Excluding the impact of FX, free cash flow(B) was $118.7 million, representing a 27.8% increase over the comparative year.

"Our strong results in the fourth quarter cap a year of solid progress for our business and set us up for a promising performance in 2010," said Keith Carrigan, Vice Chairman and Chief Executive Officer, IESI-BFC Ltd. "On a reported basis, which includes the impact of FX, we achieved a revenue improvement of 7.7% in the quarter. We also achieved an 11.1% increase in adjusted EBITDA(A) and a 35.2% improvement in free cash flow(B). Our business growth can be attributed to our market-by-market strategies for organic improvement as well as targeted tuck-in acquisitions."

Mr. Carrigan continued, "Our achievements in 2009 include two successful equity offerings, a strengthened balance sheet and a listing on the New York Stock Exchange. We also began the process of acquiring WSI, a merger that, when completed, will position us as North America's third largest solid waste management company. As we move forward, we will maintain our disciplined focus on continuous improvement and value creation. For 2010, we anticipate positive revenue and adjusted EBITDA(A) growth as indicated in our 2010 outlook."

Financial and Other Highlights

For the Three months ended December 31, 2009

- Revenues increased $5.7 million or 2.3%, excluding the impact of FX

- Adjusted EBITDA(A) increased $3.0 million or 4.5%, excluding the impact of FX

- Free cash flow increased $3.4 million or 19.4%, excluding the impact of FX

- Adjusted net income per diluted share, $0.16, or $0.14 excluding the impact of FX

- Core price increased 3.2% in Canada and 1.8% in the U.S.

- Volumes increased 0.3% in Canada and declined 0.1% in the U.S.

For the Year ended December 31, 2009

- Revenues declined $14.0 million or 1.3%, excluding the impact of FX

- Adjusted EBITDA(A) increased $8.5 million or 2.9%, excluding the impact of FX

- Free cash flow increased $25.8 million or 27.8%, excluding the impact of FX

- Adjusted net income per diluted share, $0.71, or $0.74 excluding the impact of FX

- Core price increased 3.2% in Canada and 2.2% in the U.S.

- Volumes decreased 0.6% in Canada and 2.3% in the U.S.

- Raised gross common share proceeds of $149.5 million through a U.S. public offering in June 2009 and $74.6 million through a bought deal offering in Canada in March 2009

- At December 31, 2009, our consolidated leverage was 2.16 times adjusted EBITDA(A) and funded debt to EBITDA ratios, as defined and calculated in accordance with our Canadian and U.S. long-term debt facilities, are 1.92 and 2.56 times, respectively

Quarterly Dividend Declared

The Company also announced that its Board of Directors declared a quarterly dividend of $0.125 Canadian per share for shareholders of record on March 31, 2010. The dividend will be paid on April 15, 2010.

2010 Outlook

The Company provided its outlook for 2010 assuming no change in the current economic environment and excluding the impact of any additional acquisitions, including WSI, and the associated expenses to close the WSI acquisition. For the purposes of these estimates, the Company is assuming a Canadian to U.S. currency exchange rate of $0.952.

The outlook provided below is forward looking, and actual results may differ materially depending on risks and uncertainties detailed in the section on forward-looking statements at the end of this press release.

- Revenue is estimated to be in a range of $1.065 to $1.100 billion

- Adjusted EBITDA(A) is estimated to be in a range of $315 to $325 million

- Amortization expense, as a percentage of revenue, is estimated to be in a range of 14.5% to 15.0%

- Capital and landfill expenditures are estimated to be in a range of $105 to $120 million

- Free cash flow(B) is estimated to be in a range of $135 to $145 million

- Expected annual cash dividend of $0.50 Canadian per share payable on a quarterly basis

FX Rates

Our consolidated financial position and operating results have been translated to U.S. dollars applying the following FX rates:


                                        2009                            2008
----------------------------------------------------------------------------
                                Consolidated                    Consolidated
                                   Statement                       Statement
             Consolidated  of Operations and Consolidated  of Operations and
                  Balance      Comprehensive      Balance      Comprehensive
                    Sheet             Income        Sheet             Income
----------------------------------------------------------------------------
                                  Cumulative                      Cumulative
                  Current Average    Average      Current Average    Average
----------------------------------------------------------------------------
March 31        $  0.7935 $0.8030 $   0.8030     $ 0.9729 $0.9959 $   0.9959
June 30         $  0.8602 $0.8568 $   0.8290     $ 0.9817 $0.9901 $   0.9930
September 30    $  0.9327 $0.9113 $   0.8547     $ 0.9435 $0.9599 $   0.9817
December 31     $  0.9555 $0.9467 $   0.8760     $ 0.8166 $0.8248 $   0.9371

Financial Highlights

(in thousands of U.S. dollars, except per weighted average share or trust unit amounts, unless otherwise stated)


                               Three months ended                Year ended
                                      December 31               December 31
----------------------------------------------------------------------------
                                 2009        2008         2009         2008
----------------------------------------------------------------------------
                           (unaudited) (unaudited)
----------------------------------------------------------------------------

Operating results
Revenues                   $  262,462   $ 243,606  $ 1,008,466  $ 1,046,803
Operating expenses            152,135     145,247      588,104      629,748
Selling, general and
 administration ("SG&A")       40,897      30,717      136,846      123,426
Amortization                   36,000      33,562      156,702      168,859
Net gain on sale of
 capital and landfill
 assets                           (70)       (511)        (198)        (862)
----------------------------------------------------------------------------
Operating income               33,500      34,591      127,012      125,632
Interest on long-term debt      7,979      11,379       34,225       51,490
Net foreign exchange loss
 (gain)                            38           5          276         (612)
Net (gain) loss on
 financial instruments           (696)      6,367       (1,562)       9,990
Conversion costs                   90         921          298        3,137
Other expenses                     53          35          162          123
----------------------------------------------------------------------------
Income before income taxes     26,036      15,884       93,613       61,504
Income tax expense             16,161       5,965       39,885        6,545
----------------------------------------------------------------------------
Net income                 $    9,875   $   9,919  $    53,728  $    54,959
----------------------------------------------------------------------------

Net income per weighted
 average share, basic      $     0.11   $    0.14  $      0.64  $      0.80
Net income per weighted
 average share, diluted    $     0.11   $    0.14  $      0.63  $      0.80
Weighted average number of
 shares outstanding
 (thousands), basic            82,332      57,714       73,892       57,706
Weighted average number of
 shares outstanding
 (thousands), diluted          93,431      68,851       85,020       68,843

Adjusted EBITDA(A)         $   75,363   $  67,801  $   290,449  $   290,697
Adjusted operating income  $   39,433   $  34,750  $   133,945  $   122,700
Adjusted net income        $   15,241   $  10,111  $    60,094  $    51,339
Adjusted net income per
 average share, basic      $     0.16   $    0.15  $      0.71  $      0.75
Adjusted net income per
 average share, diluted    $     0.16   $    0.15  $      0.71  $      0.75

Replacement and growth
 expenditures (see page 12)
Replacement expenditures   $   24,580   $  30,085  $    73,674  $    86,291
Growth expenditures             9,821       8,931       48,602       54,804
----------------------------------------------------------------------------
Total replacement and
 growth expenditures       $   34,401   $  39,016  $   122,276  $   141,095
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Operating and free cash
 flow(B)
Cash generated from
 operating activities      $   63,620   $  49,311  $   256,269  $   218,481
Free cash flow(B)          $   23,505   $  17,379  $   114,109  $    92,909
Free cash flow(B) per
 weighted average share
 outstanding, diluted      $     0.25   $    0.25  $      1.34  $      1.35

Dividends and
 distributions
Dividends and
 distributions declared
 (shares or trust units)   $   19,265   $  15,095  $    68,825  $    92,154
Dividends declared
 (participating preferred
 shares ("PPSs"))               2,608       2,922        9,748       17,830
----------------------------------------------------------------------------
Total dividends and
 distributions declared    $   21,873   $  18,017  $    78,573  $   109,984
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Total dividends or
 distributions declared per
 weighted average
 share or trust unit,
 diluted                   $     0.23   $    0.26  $      0.92  $      1.60

FX Impact on Consolidated Results

The following tables have been prepared to assist readers in assessing the impact of FX on select consolidated results for the three months and year ended December 31, 2009.


                                                         Three months ended
----------------------------------------------------------------------------

              December 31,   December    December    December      December
                     2008    31, 2009    31, 2009    31, 2009      31, 2009
----------------------------------------------------------------------------
               (unaudited) (unaudited) (unaudited) (unaudited)   (unaudited)
----------------------------------------------------------------------------
                             (organic,
                          acquisition (holding FX
                                  and    constant
                            other non-   with the
                            operating comparative
             (as reported)    changes)     period) (FX impact) (as reported)
----------------------------------------------------------------------------
Consolidated
 Statement of
 Operations
Revenues        $ 243,606  $    5,666  $  249,272  $   13,190  $    262,462
Operating
 expenses         145,247          51     145,298       6,837       152,135
SG&A               30,717       8,816      39,533       1,364        40,897
Amortization       33,562         202      33,764       2,236        36,000
Net gain on
 sale of capital
 assets              (511)        455         (56)        (14)          (70)
----------------------------------------------------------------------------
Operating
 income            34,591      (3,858)     30,733       2,767        33,500
Interest on
 long-term debt    11,379      (3,806)      7,573         406         7,979
Net foreign
 exchange loss          5          36          41          (3)           38
Net (gain) loss
 on financial
 instruments        6,367      (7,122)       (755)         59          (696)
Conversion
 costs                921        (841)         80          10            90
Other expenses         35          18          53           -            53
----------------------------------------------------------------------------
Income before
 income taxes      15,884       7,857      23,741       2,295        26,036
Net income tax
 expense            5,965       9,793      15,758         403        16,161
----------------------------------------------------------------------------
Net income      $   9,919  $   (1,936) $    7,983  $    1,892  $      9,875
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Adjusted
 EBITDA(A)      $  67,801  $    3,020  $   70,821  $    4,542  $     75,363
Adjusted
 operating
 income         $  34,750  $    2,363  $   37,113  $    2,320  $     39,433
Adjusted net
 income         $  10,111  $    3,658  $   13,769  $    1,472  $     15,241
Free cash
 flow(B)        $  17,379  $    3,375  $   20,754  $    2,751  $     23,505


                                                                 Year ended
----------------------------------------------------------------------------

              December 31,   December    December    December      December
                     2008    31, 2009    31, 2009    31, 2009      31, 2009
----------------------------------------------------------------------------
                             (organic,
                          acquisition (holding FX
                                  and    constant
                            other non-   with the
                      (as   operating comparative
                 reported)    changes)       year) (FX impact) (as reported)
----------------------------------------------------------------------------
Consolidated
 Statement of
 Operations
Revenues       $1,046,803  $  (13,968) $1,032,835  $  (24,369) $  1,008,466
Operating
 expenses         629,748     (29,215)    600,533     (12,429)      588,104
SG&A              123,426      17,104     140,530      (3,684)      136,846
Amortization      168,859      (8,758)    160,101      (3,399)      156,702
Net gain on
 sale of
 capital and
 landfill
 assets              (862)        653        (209)         11          (198)
----------------------------------------------------------------------------
Operating
 income           125,632       6,248     131,880      (4,868)      127,012
Interest on
 long-term
 debt              51,490     (16,634)     34,856        (631)       34,225
Net foreign
 exchange loss
 (gain)              (612)        886         274           2           276
Net (gain)
 loss on
 financial
 instruments        9,990     (11,588)     (1,598)         36        (1,562)
Conversion
 costs              3,137      (2,818)        319         (21)          298
Other expenses        123          39         162           -           162
----------------------------------------------------------------------------
Income before
 income taxes      61,504      36,363      97,867      (4,254)       93,613
Net income
 tax expense        6,545      34,989      41,534      (1,649)       39,885
----------------------------------------------------------------------------
Net income    $    54,959  $    1,374  $   56,333  $   (2,605) $     53,728
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Adjusted
 EBITDA(A)    $   290,697  $    8,455  $  299,152  $   (8,703) $    290,449
Adjusted
 operating
 income       $   122,700  $   16,560  $  139,260  $   (5,315) $    133,945
Adjusted net
 income       $    51,339  $   11,780  $   63,119  $   (3,025) $     60,094
Free cash
 flow(B)      $    92,909  $   25,802  $  118,711  $   (4,602) $    114,109



Management's Discussion

(all amounts are in thousands of U.S. dollars, unless otherwise stated)

Segment Highlights

                                                         Three months ended
----------------------------------------------------------------------------
                        2008       2009     Change       2009        Change
----------------------------------------------------------------------------
                                             (2009
                                           holding
                                                FX                 (2009 as
                                          constant                 reported
                               (holding       less                     less
                         (as         FX    2008 as        (as       2008 as
                    reported)  constant)  reported)  reported)     reported)
----------------------------------------------------------------------------
Revenues           $ 243,606  $ 249,272  $   5,666  $ 262,462  $     18,856
----------------------------------------------------------------------------
Canada             $  80,301  $  83,283  $   2,982  $  96,473  $     16,172
U.S. south         $  83,452  $  86,882  $   3,430  $  86,882  $      3,430
U.S. northeast     $  79,853  $  79,107  $    (746) $  79,107  $       (746)

Operating expenses $ 145,247  $ 145,298  $      51  $ 152,135  $      6,888
----------------------------------------------------------------------------
Canada             $  41,556  $  41,626  $      70  $  48,463  $      6,907
U.S. south         $  50,871  $  53,063  $   2,192  $  53,063  $      2,192
U.S. northeast     $  52,820  $  50,609  $  (2,211) $  50,609  $     (2,211)

SG&A (unadjusted)  $  30,717  $  39,533  $   8,816  $  40,897  $     10,180
----------------------------------------------------------------------------
Canada             $  10,962  $  17,462  $   6,500  $  18,826  $      7,864
U.S. south         $  10,870  $  13,422  $   2,552  $  13,422  $      2,552
U.S. northeast     $   8,885  $   8,649  $    (236) $   8,649  $       (236)



                                                     Year ended December 31
----------------------------------------------------------------------------
                        2008        2009     Change         2009     Change
----------------------------------------------------------------------------
                                              (2009
                                            holding
                                                 FX                (2009 as
                                           constant                reported
                                (holding       less                    less
                         (as          FX    2008 as          (as    2008 as
                    reported)   constant)  reported)    reported)  reported)
----------------------------------------------------------------------------
Revenues          $1,046,803  $1,032,835  $ (13,968) $ 1,008,466  $ (38,337)
----------------------------------------------------------------------------
Canada            $  366,491  $  373,657  $   7,166  $   349,288  $ (17,203)
U.S. south        $  338,143  $  340,187  $   2,044  $   340,187  $   2,044
U.S. northeast    $  342,169  $  318,991  $ (23,178) $   318,991  $ (23,178)

Operating
 expenses         $  629,748  $  600,533  $ (29,215) $   588,104  $ (41,644)
----------------------------------------------------------------------------
Canada            $  196,074  $  190,576  $  (5,498) $   178,147  $ (17,927)
U.S. south        $  213,998  $  209,279  $  (4,719) $   209,279  $  (4,719)
U.S. northeast    $  219,676  $  200,678  $ (18,998) $   200,678  $ (18,998)

SG&A
 (unadjusted)     $  123,426  $  140,530  $  17,104  $   136,846   $ 13,420
----------------------------------------------------------------------------
Canada            $   44,613  $   56,487  $  11,874  $    52,803  $   8,190
U.S. south        $   42,398  $   47,389  $   4,991  $    47,389  $   4,991
U.S. northeast    $   36,415  $   36,654  $     239  $    36,654  $     239



Revenues
Gross revenue by service type

                                       Three months ended December 31, 2009
----------------------------------------------------------------------------
                 Canada - stated        Canada -                     U.S. -
                     in Canadian   percentage of              percentage of
                         dollars  gross revenues       U.S.  gross revenues
----------------------------------------------------------------------------

Commercial             $  42,536         36.2%    $  47,510         24.7%
Industrial                19,506         16.6%       23,477         12.2%
Residential               17,450         14.8%       43,707         22.8%
Transfer and
 disposal                 31,750         27.0%       67,743         35.3%
Recycling and
 other                     6,327          5.4%        9,643          5.0%
----------------------------------------------------------------------------
Gross revenues           117,569        100.0%      192,080        100.0%
Intercompany             (14,627)                   (26,082)
----------------------------------------------------------------------------
Revenues               $ 102,942                  $ 165,998
----------------------------------------------------------------------------
----------------------------------------------------------------------------



                                               Year ended December 31, 2009
----------------------------------------------------------------------------
                 Canada - stated        Canada -                     U.S. -
                     in Canadian   percentage of              percentage of
                         dollars  gross revenues       U.S.  gross revenues
----------------------------------------------------------------------------

Commercial             $ 161,629         35.3%    $ 186,324         24.4%
Industrial                76,345         16.7%      101,847         13.3%
Residential               63,737         13.9%      164,251         21.5%
Transfer and
 disposal                124,251         27.2%      278,109         36.3%
Recycling and
 other                    31,788          6.9%       34,689          4.5%
----------------------------------------------------------------------------
Gross revenues           457,750        100.0%      765,220        100.0%
Intercompany             (59,026)                  (106,042)
----------------------------------------------------------------------------
Revenues               $ 398,724                  $ 659,178
----------------------------------------------------------------------------
----------------------------------------------------------------------------



Gross revenue growth components - expressed in percentages and excluding FX

                                         Three months
                                                ended            Year ended
                                          December 31,          December 31,
                                                 2009                  2009
----------------------------------------------------------------------------
                                 Canada           U.S.      Canada      U.S.
----------------------------------------------------------------------------

Price
 Core price                         3.2           1.8        3.2        2.2
 Fuel surcharges                   (0.6)         (2.2)      (1.0)      (2.6)
 Recycling and other                  -           0.6       (0.2)      (1.5)
----------------------------------------------------------------------------
 Total price                        2.6           0.2        2.0       (1.9)

Volume                              0.3          (0.1)      (0.6)      (2.3)
----------------------------------------------------------------------------
Total organic gross revenue
 growth (decline)                   2.9           0.1        1.4       (4.2)

Acquisitions                        0.4           1.9        1.5        1.9
----------------------------------------------------------------------------
Total gross revenue growth
 (decline)                          3.3           2.0        2.9       (2.3)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Three months ended

Excluding the impact of FX on gross revenues, the increase in Canada is attributable to increases in core price, volumes and acquisitions. The increase in revenues attributable to volume is due in large part to an increase in our commercial and transfer service lines, partially offset by industrial and landfill volume declines. Lower diesel fuel costs are the primary reason for lower fuel surcharges.

U.S. south segment gross revenues increased. Core price, acquisition and volume growth all contributed to the comparative increase. We enjoyed volume growth from our commercial and residential services, as a result of increased sales efforts and contract wins. This volume growth was partially offset by lower comparative industrial, transfer station and landfill volumes, which is attributable to the softer economic environment in this segment. Lower comparative fuel surcharges, due to lower comparative diesel fuel costs, is the primary offset to gross revenue growth. A comparative increase in recycled materials pricing represents the balance of the comparative change.

Gross revenues in our U.S. northeast segment declined. Volume and fuel surcharge declines were partially offset by modest price and acquisition growth. While gross revenues continue to be affected by lower volumes, we are not experiencing any further deterioration as a result of the economic slowdown. Price growth in our commercial, industrial and residential collection lines were partially offset by price declines at our landfills and transfer stations. Volume growth in our landfills has more than offset landfill pricing declines. The balance of the change is the result of higher recycled materials pricing.

Year ended

Excluding the impact of FX on gross revenues, the increase in Canada is attributable to core price and acquisition growth. Fuel surcharge declines and declines due to lower volumes were the primary offsets to core price and acquisition growth. Lower diesel fuel costs are the primary reason for lower fuel surcharges, while lower industrial collection volumes was the most significant contributor to the decline in gross revenues attributable to volumes. A decline in year-to-date recycled materials pricing accounts for the balance of the change.

U.S. south segment gross revenues increased. Core price, acquisition and volume growth all contributed to the comparative increase. We enjoyed volume growth from our commercial and residential services, as a result of increased sales efforts and contract wins. This volume growth was partially offset by lower comparative industrial volumes, which is attributable to the softer economic environment in this segment. Lower comparative fuel surcharges is the primary offset to gross revenue growth as a result of lower comparative diesel fuel costs. A comparative decline in recycled materials pricing represents the balance of the comparative change.

Gross revenues in our U.S. northeast segment declined. Volume and fuel surcharge declines were partially offset by modest price growth in our commercial, industrial and residential collection service lines. While gross revenues continue to be affected by lower volumes, we have not experienced any further deterioration as a result of the economic slowdown. Pricing in our collection service lines remained strong, but was partially offset by pricing at our landfills and transfer stations. Volume growth in our landfills has effectively offset landfill pricing declines. The balance of the change is the result of lower recycled materials pricing. Recycled materials pricing declined significantly in the fourth quarter of 2008, and while pricing has strengthened since the fourth quarter of 2008, it has not reached the same highs as the comparative period in total.

Operating expenses

Three months ended

Excluding the impact of FX, the increase in Canadian segment operating expenses is marginal and is not attributable to one significant change or combination of changes.

Operating costs in our U.S. south segment increased period over period. Higher insurance costs represent a non-cash actuarial adjustment to our U.S. accident claims reserves and account for the majority of the comparative increase. The balance of the increase is due to higher labour costs as a result of higher collected waste volumes, partially offset by lower vehicle operating costs attributable to lower diesel fuel costs.

In our U.S. northeast segment, operating costs declined. The decline is attributable to lower disposal, transportation and vehicle operating costs. Lower disposal costs are the result of the economic slowdown in this region, while lower transportation and vehicle operating costs are due to the comparative decline in diesel fuel costs. Higher accident claims reserves partially offset these declines.

Year ended

Excluding the impact of FX, the resulting Canadian segment decline is due to lower disposal and vehicle operating costs, partially offset by higher labour costs. Lower disposal costs are due to higher internalized waste volumes and lower comparative diesel fuel costs contributed to the overall decline in vehicle operating costs. Higher labour costs are the result of acquisitions, general wage increases and higher collected waste volumes.

Operating costs in our U.S. south segment decreased year over year due to lower vehicle operating costs which are the result of lower diesel fuel costs. Higher labour and insurance costs partially offset lower vehicle operating costs, which are attributable to higher collected waste volumes and non-cash actuarial adjustments to our U.S. accident claims reserves, respectively.

In the U.S. northeast, operating costs declined. The decline is attributable to lower disposal, transportation and vehicle operating costs. Lower disposal costs are the result of the economic slowdown in this region, while lower transportation and vehicle operating costs are due principally to the comparative decline in diesel fuel costs. Higher accident claims reserves partially offset these declines.

SG&A expenses

Three months ended

SG&A expense in our Canadian segment increased excluding the impact of FX. The majority of the increase is the result of transaction and related costs, fair value changes to stock options and reorganization costs. Reorganization costs represent a non-recurring expense we incurred on the amalgamation of the Company with its predecessor and was incurred in connection with the dismantling of the income trust structure.

Our U.S. south segment experienced a comparative increase in SG&A expense. Higher salary expense is the result of higher sales staffing levels and higher performance compensation amounts. Transaction and related costs also contributed to the comparative increase.

The period over period decline in our U.S. northeast segment is due to a non-recurring allowance for doubtful accounts provision recorded in 2008. Transaction and related costs partially offset the comparative decline.

Year ended

Excluding the impact of FX, Canadian segment SG&A expense increased. The reasons for the increase are consistent with those outlined for the three months ended. The balance of the change is due to higher salaries which is due in large part to a higher compliment of sales personnel.

Higher salaries are the primary cause of the year-to-date increase in SG&A expense for our U.S. south segment due to a higher compliment of sales personnel and additional salaries resulting from acquisitions. Our U.S. northeast segment experienced a marginal decline comparatively, which is not attributable to one significant change or combination of changes. Transaction and related costs also contributed to the increase in our U.S. south and northeast segments as did fair value movements in rabbi trust units.

Non-controlling interest

With the adoption of guidance on non-controlling interests in consolidated financial statements, which became effective January 1, 2009, we changed the presentation of non-controlling interests from mezzanine equity to equity on our consolidated balance sheet. Non-controlling interest is no longer deducted in the determination of net income. Instead, net income and each component of other comprehensive income or loss is attributed to shareholders' equity and non-controlling interest. Adopting this guidance affects our determination of net income presented in the consolidated statement of operations and comprehensive income, the presentation of net income and non-controlling interest in the consolidated statement of cash flows, and the presentation of non-controlling interest in the consolidated statement of equity.

Free cash flow (B)

Purpose and objective

The purpose of presenting this non-GAAP measure is to align our disclosure with other U.S. publicly listed companies in our industry. Investors and analysts use this calculation as a measure of our valuation and liquidity. We use this non-GAAP measure to assess our performance relative to other U.S. publicly listed companies, to assess our primary sources and uses of cash flow, and to assess our ability to sustain our dividend policy.

In the current year, we adjusted our calculation of free cash flow(B) to take into consideration transaction and related cost, non-recurring costs and fair value movements in rabbi and trust units. Accordingly, comparative amounts have been adjusted to conform to the current period and year presentation.


Free cash flow (B) - cash flow approach

              Three months ended December 31         Year ended December 31
----------------------------------------------------------------------------
                    2009      2008    Change       2009       2008   Change
----------------------------------------------------------------------------

Cash generated
 from operating
 activities
 (statement of
 cash flows)   $  63,620  $ 49,311  $ 14,309  $ 256,269  $ 218,481  $37,788
----------------------------------------------------------------------------

Operating
Reorganization
 costs
 (non-recurring
 capital tax)      1,315         -     1,315      1,315          -    1,315
Stock option
 expense
 (recovery)        1,006        73       933      2,006     (1,125)   3,131
Fair value
 movements in
 rabbi and
 trust units           -        86       (86)         -     (1,807)   1,807
Acquisition
 and related
 costs             3,612         -     3,612      3,612          -    3,612
Conversion
 costs                90       921      (831)       298      3,137   (2,839)
Other expenses        53        35        18        162        123       39
Changes in
 non-cash
 working
 capital items   (11,828)    6,019   (17,847)   (27,304)    20,709  (48,013)
Capital and
 landfill asset
 purchases       (34,401)  (39,016)    4,615   (122,276)  (141,095)  18,819

Financing
Financing and
 landfill
 development
 costs
 (net of
 non-cash
 portion)              -      (233)      233        (77)    (1,168)   1,091
Purchase of
 restricted
 shares                -       178      (178)      (172)    (3,734)   3,562
Net realized
 foreign
 exchange loss
 (gain)               38         5        33        276       (612)     888
----------------------------------------------------------------------------
Free cash
 flow(B)       $  23,505  $ 17,379   $ 6,126  $ 114,109   $ 92,909  $21,200
----------------------------------------------------------------------------
----------------------------------------------------------------------------



Free cash flow (B) - Adjusted EBITDA(A) approach

             Three months ended December 31          Year ended December 31
----------------------------------------------------------------------------

                    2009      2008   Change       2009       2008    Change
----------------------------------------------------------------------------

Adjusted
 EBITDA(A)      $ 75,363  $ 67,801  $ 7,562  $ 290,449  $ 290,697    $ (248)
----------------------------------------------------------------------------

Restricted
 share expense       404      (321)     725      1,485        633       852
Purchase of
 restricted
 shares                -       178     (178)      (172)    (3,734)    3,562
Capital and
 landfill asset
 purchases       (34,401)  (39,016)   4,615   (122,276)  (141,095)   18,819
Landfill
 closure and
 post-closure
 expenditures     (2,181)     (914)  (1,267)    (7,145)    (2,022)   (5,123)
Landfill
 closure and
 post-closure
 cost
 accretion
 expense             808       684      124      3,130      3,010       120
Interest on
 long-term debt   (7,979)  (11,379)   3,400    (34,225)   (51,490)   17,265
Non-cash
 interest
 expense             681       721      (40)     2,902      3,540      (638)
Current income
 tax expense      (9,190)     (375)  (8,815)   (20,039)    (6,630)  (13,409)
----------------------------------------------------------------------------
Free cash
 flow(B)        $ 23,505  $ 17,379  $ 6,126  $ 114,109   $ 92,909  $ 21,200
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Three months ended

Free cash flow(B) increased period over period. Excluding the impact of FX, adjusted EBITDA(A) increased comparatively due in large part to a stronger comparative performance in Canada. Lower capital and landfill asset purchases in our U.S. segments is a major contributor to the increase in free cash flow(B). This comparative decline in purchases is principally attributable to the timing of landfill cell construction coupled with a reduction in growth capital expenditures. The Canadian segment also contributed to the comparative decline due primarily to the timing of growth expenditures as a result of a decline in new contract wins. Lower interest rates and overall debt levels contributed to the decline in interest expense, while higher cash taxes in Canada partially offset this decline. Higher Canadian cash taxes are the result of eroding loss carryforwards related to the repayment or capitalization of intercompany notes occurring on our conversion from an income trust to a corporation. The timing of restricted share purchases also contributed to the comparative increase in free cash flow(B).

Year ended

For the year ended, free cash flow(B) increased comparatively. As outlined above for the three months ended, lower capital and landfill purchases and borrowing costs are the primary reasons for the increase in free cash flow(B). The reasons for these changes are consistent with those outlined above for the three months ended.

Capital and landfill purchases

Capital and landfill purchases characterized as replacement and growth expenditures are as follows:


            Three months ended December 31         Year ended December 31
--------------------------------------------------------------------------
                    2009     2008   Change       2009      2008    Change
--------------------------------------------------------------------------
Replacement     $ 24,580 $ 30,085 $ (5,505)  $ 73,674  $ 86,291 $ (12,617)
Growth             9,821    8,931      890     48,602    54,804    (6,202)
--------------------------------------------------------------------------
Total           $ 34,401 $ 39,016 $ (4,615) $ 122,276 $ 141,095 $ (18,819)
--------------------------------------------------------------------------
--------------------------------------------------------------------------

Capital and landfill purchases - replacement

Capital and landfill purchases characterized as "replacement expenditures" represent cash outlays to sustain current cash flows and are funded from free cash flow(B). Replacement expenditures may include the replacement of existing capital assets, including vehicles, equipment, containers, compactors, furniture, fixtures and computer equipment. Replacement expenditures also include all construction spending for our operating landfills.

Three months ended

Excluding the impact of FX, replacement expenditures decreased. The decline is attributable to the timing of landfill expenditures in both our U.S. and Canadian segments.

Year ended

Excluding the impact of FX, replacement expenditures decreased. As outlined above for the three months ended, landfill expenditures in our U.S. segment represent the majority of the comparative decline. The balance of the change is attributable to the timing of landfill construction in our Canadian segment.

Capital and landfill purchases - growth

Capital and landfill purchases characterized as "growth expenditures" represent cash outlays to generate new or future cash flows and are generally funded from free cash flow(B). Growth expenditures may include vehicles, equipment, containers, compactors, furniture, fixtures, computer equipment and facilities (new or expansion) to support new contract wins and organic business growth.

Three months ended

Net of FX, growth expenditures decreased. The decline is most pervasive in Canada, as a result of building, infrastructure, vehicle, container and landfill equipment expenditures incurred in 2008 that did not recur in 2009. Both our Canadian and U.S. segments are experiencing lower growth expenditure levels in light of continuing economic weakness.

Year ended

Net of FX, growth expenditures decreased. The decline for the year ended is consistent with the reasons outlined for the three months ended.

Readers are reminded that revenue, adjusted EBITDA(A), and cash flow contributions derived from vehicles, equipment and container growth expenditures will materialize over future periods.

Long-term debt

(all amounts are in thousands of U.S. dollars, unless otherwise stated)

Summary details of our long-term debt facilities at December 31, 2009 are as follows:


                                                       Letters of
                                                      credit (not
                                                      reported as
                                                        long-term
                                                      debt on the
                           Available                 Consolidated  Available
                             lending Facility drawn Balance Sheet)  capacity
----------------------------------------------------------------------------
Canadian long-term debt
 facilities - stated in
 Canadian dollars
Senior secured debenture,
 series B                  $  58,000      $  58,000 $           -  $       -
Revolving credit facility  $ 305,000      $ 178,000 $      39,282  $  87,718

U.S. long-term debt
 facilities - stated in
 U.S. dollars
Term loan                  $ 195,000      $ 195,000 $           -  $       -
Revolving credit facility  $ 588,500      $ 125,500 $     123,700  $ 339,300
Variable rate demand solid
waste disposal revenue
 bonds ("IRBs")(1)         $ 194,000      $ 109,000 $           -  $  85,000

Note:
(1) Drawings on IRB availability at floating rates of interest, will, under
    the terms of the underlying agreement, typically be used to repay
    revolving credit advances on our U.S. facility and requires us to issue
    letters of credit for an amount equal to the IRB drawn amounts.

Funded debt to EBITDA (as defined and calculated in accordance with our Canadian and U.S. long-term debt facilities)

At December 31, 2009, funded long-term debt to EBITDA is as follows:


                                 December 31, 2009   December 31, 2008
-----------------------------------------------------------------------
                                  Canada       U.S.   Canada       U.S.
-----------------------------------------------------------------------

Funded debt-to-EBITDA               1.92      2.56      2.10      3.93
Funded debt-to-EBITDA maximum       2.75      4.00      2.75      4.25

Canadian long-term debt facilities

We drew on our revolving credit facility capacity to repay our C$47,000 senior secured series A debenture which matured on June 26, 2009. Drawing on the revolving credit facility had no impact on our Canadian segment's funded debt to EBITDA covenant, as this covenant includes both revolving credit facility drawings and senior secured debenture borrowings. In the second quarter, we entered into our fifth amendment to our amended and restated credit facility. The fifth amendment simply recognized the wind-up of the Fund and Ridge Landfill Trust. All significant terms and pricing remained unchanged.

U.S. long-term debt facilities

On December 1, 2009, we entered into a 30-year agreement with Seneca County Industrial Development Agency, which permits us access to variable rate demand solid waste disposal industrial revenue bonds ("2009 Seneca IRB Facility"). The 2009 Seneca IRB Facility makes available $90,000 to fund a portion of landfill construction and equipment expenditures at the Company's Seneca Meadows landfill. The 2009 Seneca IRB Facility bears interest at a weekly floating interest rate that approximates the Securities Industry and Financial Markets Association Municipal Swap Index ("SIFMA Index"). Interest is payable monthly in arrears, commencing on February 1, 2010. At December 31, 2009, the daily interest rate applicable to the 2009 Seneca IRB Facility was 0.35%. The 2009 Seneca IRB Facility matures on December 1, 2039 and is guaranteed by IESI Corporation ("IESI"). At December 31, 2009, $5,000 was drawn under this facility.

Long-term debt to adjusted EBITDA(A)

At December 31, 2009, we are not in default of our Canadian and U.S. long-term debt facility covenants. As a reminder, covenants are not subject to FX fluctuations. Holding the FX rate at parity results in a long-term debt to adjusted EBITDA(A) ratio of 2.16 times. Readers are further reminded that contributions to adjusted EBITDA(A) from acquisitions completed within the last twelve months are not included in this ratio. We have two revolving credit facilities to support our Canadian and U.S. operations, each of which require financial covenant tests to be prepared independently, and both facilities allow for pro forma acquisition contributions.

Proposed Transaction

On November 11, 2009, we executed a merger agreement with WSI. The agreement provides for our wholly-owned subsidiary ("Merger Sub") to merge with and into WSI, with WSI surviving the merger as our wholly-owned subsidiary. We expect to complete the merger in the second calendar quarter of 2010, subject to, among other things, receipt of required WSI stockholder approval and regulatory approvals.

We are executing the transaction pursuant to our strategy of growth through acquisition. Specifically, we believe that the acquisition will provide the opportunity to diversify our business across U.S. and Canadian markets, customer segments and service lines. In addition, the transaction will enable us to increase our internalization. We also believe that the acquisition of WSI will create annual synergies and cash flow and earnings per share accretion, enhancing short-term and long-term returns to stockholders. Upon closing the transaction, we plan to direct the additional cash flow expected to be created from the transaction towards any combination of the following: funding growth, dividend payments, additional accretive strategic acquisitions and debt reduction.

In the merger, each outstanding share of WSI common stock will be converted into the right to receive 0.5833 of our common shares for each share of WSI common stock, with cash paid in lieu of fractional shares. This exchange ratio is fixed, subject to certain conditions in the event of a decline in the price of our common shares, and will not be adjusted to reflect stock price changes prior to closing of the merger.

The merger will have a significant impact on our financial condition, results of operations and cash flows. The effect of the merger on our consolidated balance sheet and statement of operations is outlined in the unaudited pro forma condensed combined financial statements included in our Form F-4 filing, filed January 19, 2010 with the Securities and Exchange Commission. We expect that our total assets following the merger will be in excess of $3,000,000 and that our net assets will be approximately $1,500,000. In addition, we expect total annualized revenues to exceed $1,500,000 and total annual adjusted EBITDA(A) will be in excess of $400,000. These expected amounts are provided without taking into account divestitures stemming from regulatory reviews required to complete the transaction.

Completion of the merger remains subject to the satisfaction or waiver of certain closing conditions, including approval from WSI stockholders and the Canadian Competition Bureau. The transaction was reviewed by U.S. antitrust authorities, and the thirty day waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 expired on January 19, 2010 without a request for additional documentation or information.

Change in Reporting Currency and Generally Accepted Accounting Principles

In connection with our listing on the New York Stock Exchange and U.S. public offering, we elected to report our financial results in U.S. dollars. Accordingly, all comparative financial information for the three months and year ended December 31, 2008 contained in this press release has been recast from thousands of Canadian to U.S. dollars, unless otherwise stated.

Electing to report our financial position and results of operations in U.S. dollars improves comparability of our financial information with our peers and reduces foreign exchange fluctuations in our reported amounts as a significant portion of our assets, liabilities and operations are resident or conducted in the U.S., in U.S. dollars.

We also elected to report our financial results in accordance with accounting principles generally accepted in the U.S. ("U.S. GAAP") to improve the comparability of our financial information with our peers, who are predominantly U.S. publicly listed companies.

Conversion

Pursuant to a plan of arrangement, BFI Canada Income Fund (the "Fund") converted from a trust to a corporation on October 1, 2008. The conversion resulted in unitholders of the Fund receiving one common share of BFI Canada Ltd., predecessor to IESI-BFC Ltd. ("IESI-BFC"), for each trust unit held on the effective date of conversion. The Class A unit held by IESI was redeemed by the Fund for ten Canadian dollars and IESI-BFC issued, and IESI subscribed for, 11,137 special voting shares for aggregate cash consideration of ten Canadian dollars. The PPSs issued by IESI remained outstanding and were exchangeable into common shares of IESI-BFC on a one for one hundred basis, instead of trust units of the Fund. The conversion did not constitute a change of control. Accordingly, the consolidated financial statements have been prepared applying continuity of interests accounting. With the exception of amounts related to the fourth quarter ended 2008, the comparative figures presented herein are those of the Fund.

Definitions of Adjusted EBITDA and Free cash flow

(A) All references to "Adjusted EBITDA" in this press release are to revenues less operating expense and SG&A, excluding certain non-operating or non-recurring SG&A expense, on the consolidated statement of operations and comprehensive income. Adjusted EBITDA excludes some or all of the following: "certain SG&A expenses, amortization, net gain or loss on sale of capital and landfill assets, interest on long-term debt, financing costs, net foreign exchange gain or loss, net gain or loss on financial instruments, conversion costs, other expenses, and income taxes". Adjusted EBITDA is a term used by us that does not have a standardized meaning prescribed by U.S. or Canadian GAAP and is therefore unlikely to be comparable to similar measures used by other issuers. Adjusted EBITDA is a measure of our operating profitability, and by definition, excludes certain items as detailed above. These items are viewed by us as either non-cash (in the case of amortization, net gain or loss on financial instruments, net foreign exchange gain or loss, and deferred income taxes) or non-operating (in the case of certain SG&A expenses, net gain or loss on sale of capital and landfill assets, interest on long-term debt, conversion costs, other expenses, and current income taxes). Adjusted EBITDA is a useful financial and operating metric for us, our Board of Directors, and our lenders, as it represents a starting point in the determination of free cash flow(B). The underlying reasons for the exclusion of each item are as follows:

Certain SG&A expenses - SG&A expense includes certain, or non-recurring, expenses. These expenses include transaction costs related to acquisitions, fair value adjustments attributable to stock options and rabbi and trust units, and corporate reorganization expense. These expenses are not considered an expense indicative of continuing operations. Certain SG&A costs represent a different class of expense than those included in adjusted EBITDA.

Amortization - as a non-cash item amortization has no impact on the determination of free cash flow(B).

Net gain or loss on sale of capital and landfill assets - proceeds from the sale of capital and landfill assets are either reinvested in additional or replacement capital or landfill assets or used to repay revolving credit facility borrowings.

Interest on long-term debt - interest on long-term debt is a function of our debt/equity mix and interest rates; as such, it reflects our treasury/financing activities and represents a different class of expense than those included in adjusted EBITDA.

Net foreign exchange gain or loss - as non-cash items, foreign exchange gains or losses have no impact on the determination of free cash flow(B).

Net gain or loss on financial instruments - as non-cash items, gains or losses on financial instruments have no impact on the determination of free cash flow(B).

Conversion costs - conversion costs represent professional fees incurred on the Fund's conversion from an income trust to a corporation and its eventual wind-up. These expenses are not considered an expense indicative of continuing operations. Conversion costs represent a different class of expense than those included in adjusted EBITDA.

Other expenses - other expenses typically represent amounts paid to certain management of acquired companies who are retained by us post acquisition. These expenses are not considered an expense indicative of continuing operations. Accordingly, other expenses represent a different class of expense than those included in adjusted EBITDA.

Income taxes - income taxes are a function of tax laws and rates and are affected by matters which are separate from our daily operations.

Adjusted EBITDA should not be construed as a measure of income or of cash flows. The reconciling items between adjusted EBITDA and net income are detailed in the consolidated statement of operations and comprehensive income or loss beginning with operating income before amortization and net gain on sale of capital and landfill assets and ending with net income and includes certain adjustments for expenses recorded to SG&A which management views as not indicative of continuing operations. The reconciliation between operating income and adjusted EBITDA is provided below.


                                  Three months ended Year ended December 31
----------------------------------------------------------------------------
                                      2009      2008        2009       2008
----------------------------------------------------------------------------
Operating income                   $33,500  $ 34,591   $ 127,012  $ 125,632

Net gain on sale of capital and
 landfill assets                       (70)     (511)       (198)      (862)
Amortization                        36,000    33,562     156,702    168,859
Transaction and related costs -
 SG&A                                3,612         -       3,612          -
Fair value movements in stock
 options - SG&A                      1,006        73       2,006     (1,125)
Fair value movements in rabbi and
 trust units - SG&A                      -        86           -     (1,807)
Corporate reorganization expense -
 SG&A                                1,315         -       1,315          -
----------------------------------------------------------------------------
Adjusted EBITDA                    $75,363  $ 67,801   $ 290,449  $ 290,697
----------------------------------------------------------------------------
----------------------------------------------------------------------------

(B) We have adopted a measure called "free cash flow" to supplement net income or loss as a measure of operating performance. Free cash flow is a term which does not have a standardized meaning prescribed by U.S. or Canadian GAAP, is prepared before dividends and or distributions declared, and is therefore unlikely to be comparable to similar measures used by other issuers. The objective of presenting this non-GAAP measure is to align our disclosure with disclosures presented by other U.S. publicly listed companies in the waste industry, to assess our primary sources and uses of cash flow, and to assess our ability to sustain our dividend. All references to "free cash flow" in this press release have the meaning set out in this note.

Forward-Looking Statements

This communication includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements may include, without limitation, IESI-BFC Ltd.'s expectations with respect to: the synergies, efficiencies, capitalization and anticipated financial impacts of the transaction; approval of the transaction by Waste Services, Inc. stockholders; the satisfaction or waiver of the closing conditions to the transaction; and the timing of the completion of the transaction.

These forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from the expected results. Most of these factors are outside our control and difficult to predict. The following factors, among others, could cause or contribute to such material differences: the ability to obtain the approval of the transaction by Waste Services, Inc. stockholders; the ability to realize the expected synergies resulting for the transaction in the amounts or in the timeframe anticipated; the ability to integrate Waste Services, Inc.'s businesses into those of IESI-BFC Ltd. in a timely and cost-efficient manner; and the ability to obtain governmental approvals of the transaction or to satisfy or waive the other conditions to the transaction on the proposed terms and timeframe. Additional factors that could cause IESI-BFC Ltd.'s results to differ materially from those described in the forward-looking statements can be found in the Registration Statement on Form F-10, as amended, of IESI-BFC Ltd., and the Registration Statement on Form F-4 of IESI-BFC Ltd., each filed with the SEC and available at the SEC's Internet web site (www.sec.gov). IESI-BFC Ltd. cautions that the foregoing list of factors is not exclusive. All subsequent written and oral forward-looking statements concerning IESI-BFC Ltd., the transaction or other matters and attributable to IESI-BFC Ltd. or any person acting on its behalf are expressly qualified in their entirety by the cautionary statements above. IESI-BFC Ltd. does not undertake any obligation to update any forward-looking statement, whether written or oral, relating to the matters discussed in this communication, except as required by law.

Additional Information

The proposed transaction will be submitted to Waste Services, Inc. stockholders for their consideration. IESI-BFC Ltd. has filed with the SEC a Registration Statement on Form F-4 containing a preliminary proxy statement/prospectus. Stockholders are encouraged to read the preliminary proxy statement/prospectus regarding the proposed transaction and the definitive proxy statement/prospectus when it becomes available, as well as other documents filed with the SEC because they contain important information. Stockholders may obtain a free copy of the preliminary proxy statement/prospectus, and will be able to obtain a free copy of the definitive proxy statement/prospectus when it becomes available, as well as other filings containing information about IESI-BFC Ltd. and Waste Services, Inc., without charge, at the SEC's Internet site (www.sec.gov).

You may also obtain copies of all documents filed with the SEC regarding this transaction, without charge, from IESI-BFC's website (www.iesi-bfc.com) or by directing a request to IESI-BFC Ltd., 135 Queens Plate Drive, Suite 300, Toronto, Ontario, Canada M9W 6V1, Attention: Investor Relations, (416) 401-7729.

About IESI-BFC Ltd.

IESI-BFC Ltd., through its subsidiaries, is one of North America's largest full-service waste management companies, providing non-hazardous solid waste collection and landfill disposal services to commercial, industrial, municipal and residential customers in ten states and the District of the Columbia in the U.S., and five Canadian provinces. Its two brands, IESI and BFI Canada, are leaders in their markets and serve over 1.8 million customers with vertically integrated collection and disposal assets. IESI-BFC's shares are listed on the New York and Toronto Stock Exchanges under the symbol BIN. To find out more about IESI-BFC Ltd., visit its website at www.iesi-bfc.com.

Management will hold a conference call on Wednesday, February 24, 2010, at 8:30 a.m. (ET) to discuss results for the three months and year ended December 31, 2009. Participants may listen to the call by dialling 1-888-300-0053, conference ID 53103100, at approximately 8:20 a.m. (ET). International or local callers should dial 647-427-3420. The call will also be webcast live at www.streetevents.com and at www.iesi-bfc.com.

A replay will be available after the call until Wednesday, March 10, 2010, at midnight, and can be accessed by dialling 1-800-642-1687, conference code 53103100. International or local callers can access the replay by dialling 706-645-9291. The audio webcast will also be archived at www.streetevents.com and www.iesi-bfc.com.

IESI-BFC Ltd.

Consolidated Balance Sheets

December 31, 2009 and December 31, 2008 (stated in accordance with accounting principles generally accepted in the United States of America and in thousands of U.S. dollars)


-----------------------------------------------------------------
                                           December     December
                                           31, 2009     31, 2008
-----------------------------------------------------------------
ASSETS
CURRENT
 Cash and cash equivalents              $     4,991  $    11,938
 Accounts receivable                        111,839      107,767
 Other receivables                              546          228
 Prepaid expenses                            18,276       19,597
 Restricted cash                                382           82
 Other assets                                   770            -
-----------------------------------------------------------------
                                            136,804      139,612
OTHER RECEIVABLES                             1,213          394

FUNDED LANDFILL POST-CLOSURE COSTS            8,102        6,115

INTANGIBLES                                 100,917      119,898

GOODWILL                                    630,470      617,832

LANDFILL DEVELOPMENT ASSETS                   7,677        8,589

DEFERRED FINANCING COSTS                      9,358        9,936

CAPITAL ASSETS                              439,734      408,681

LANDFILL ASSETS                             661,738      621,862

OTHER ASSETS                                  1,574            -
-----------------------------------------------------------------
                                        $ 1,997,587  $ 1,932,919
-----------------------------------------------------------------

LIABILITIES

CURRENT
 Accounts payable                       $    62,753  $    54,134
 Accrued charges                             70,572       55,509
 Dividends payable                           11,159        2,337
 Income taxes payable                         6,278        1,387
 Deferred revenues                           13,156       10,800
 Current portion of long-term debt                -       38,380
 Landfill closure and post-closure costs      6,622        7,210
 Other liabilities                            8,312            -
-----------------------------------------------------------------
                                            178,852      169,757

LONG-TERM DEBT                              654,992      835,210

LANDFILL CLOSURE AND POST-CLOSURE COSTS      63,086       50,857

OTHER LIABILITIES                             3,611       15,045

DEFERRED INCOME TAXES                        81,500       64,348
-----------------------------------------------------------------
                                            982,041    1,135,217
-----------------------------------------------------------------
EQUITY

NON-CONTROLLING INTEREST                    230,014      230,452

SHAREHOLDERS' EQUITY
 Common shares                            1,082,950      868,248
 Restricted shares                           (3,928)      (3,756)
 Paid in capital                              2,118          633
 Deficit                                   (214,898)    (193,135)
 Accumulated other comprehensive loss       (80,710)    (104,740)
-----------------------------------------------------------------
                                            785,532      567,250
-----------------------------------------------------------------
                                          1,015,546      797,702
-----------------------------------------------------------------
                                        $ 1,997,587  $ 1,932,919
-----------------------------------------------------------------
-----------------------------------------------------------------

IESI-BFC Ltd.

Consolidated Statements of Operations and Comprehensive Income (Loss)

For the three months (unaudited) and years ended December 31, 2009 and 2008 (stated in accordance with accounting principles generally accepted in the United States of America and in thousands of U.S. dollars, except net income per share or trust unit amounts)


----------------------------------------------------------------------------
                               Three months ended                Year ended
----------------------------------------------------------------------------
                                  2009       2008         2009         2008
----------------------------------------------------------------------------
REVENUES                     $ 262,462  $ 243,606  $ 1,008,466  $ 1,046,803
EXPENSES
 OPERATING                     152,135    145,247      588,104      629,748
 SELLING, GENERAL AND
  ADMINISTRATION                40,897     30,717      136,846      123,426
 AMORTIZATION                   36,000     33,562      156,702      168,859
NET GAIN ON SALE OF CAPITAL
 AND LANDFILL ASSETS               (70)      (511)        (198)        (862)
----------------------------------------------------------------------------
OPERATING INCOME                33,500     34,591      127,012      125,632
INTEREST ON LONG-TERM DEBT       7,979     11,379       34,225       51,490
NET FOREIGN EXCHANGE LOSS
 (GAIN)                             38          5          276         (612)
NET (GAIN) LOSS ON FINANCIAL
 INSTRUMENTS                      (696)     6,367       (1,562)       9,990
CONVERSION COSTS                    90        921          298        3,137
OTHER EXPENSES                      53         35          162          123
----------------------------------------------------------------------------
INCOME BEFORE INCOME TAXES      26,036     15,884       93,613       61,504
INCOME TAX EXPENSE
 (RECOVERY)
 Current                         9,190        375       20,039        6,630
 Deferred                        6,971      5,590       19,846          (85)
----------------------------------------------------------------------------
                                16,161      5,965       39,885        6,545
----------------------------------------------------------------------------
NET INCOME                       9,875      9,919       53,728       54,959
----------------------------------------------------------------------------

OTHER COMPREHENSIVE INCOME
 (LOSS)
 Foreign currency translation
  adjustment                     3,064    (29,253)      25,049       47,088
 Commodity swaps designated
  as cash flow hedges, net of
  income                         2,072     (1,260)       2,717       (1,260)
 Settlement of commodity
  swaps designated as cash
  flow hedges,
  net of income tax                 30          -         (332)           -
----------------------------------------------------------------------------
COMPREHENSIVE INCOME (LOSS)  $  15,041  $ (20,594) $    81,162  $   100,787
----------------------------------------------------------------------------
----------------------------------------------------------------------------

NET INCOME - CONTROLLING
 INTEREST                    $   8,731  $   8,313  $    47,062  $    46,050
NET INCOME - NON-CONTROLLING
 INTEREST                    $   1,144  $   1,606  $     6,666  $     8,909
COMPREHENSIVE INCOME (LOSS)
 - CONTROLLING INTEREST      $  13,297  $ (20,594) $    71,092  $   100,787
COMPREHENSIVE INCOME -
 NON-CONTROLLING INTEREST    $   1,744  $       -  $    10,070  $         -

Net income per weighted
 average share, basic        $    0.11  $    0.14  $      0.64  $      0.80
Net income per weighted
 average share, diluted      $    0.11  $    0.14  $      0.63  $      0.80
Weighted average number of
 shares outstanding
 (thousands), basic             82,332     57,714       73,892       57,706
Weighted average number of
 shares outstanding
 (thousands), diluted           93,431     68,851       85,020       68,843

IESI-BFC Ltd.

Consolidated Statements of Cash Flows


----------------------------------------------------------------------------
                                     Three months ended          Year ended
----------------------------------------------------------------------------
                                        2009       2008      2009      2008
----------------------------------------------------------------------------

NET INFLOW (OUTFLOW) OF CASH RELATED TO THE FOLLOWING ACTIVITIES
OPERATING
 Net income                        $   9,875  $   9,919  $ 53,728  $ 54,959
 Items not affecting
  cash
  Restricted share
   expense                               404       (321)    1,485       633
  Write-off of landfill
   development assets                      -        233        77     1,168
  Accretion of landfill
   closure and
   post-closure costs                    808        684     3,130     3,010
  Amortization of
   intangibles                         6,996      7,276    28,669    31,512
  Amortization of capital
   assets                             18,638     18,752    74,532    76,854
  Amortization of
   landfill assets                    10,366      7,534    53,501    60,493
  Interest on long-term
   debt (deferred
   financing costs)                      681        721     2,902     3,540
  Net gain on sale of
   capital and landfill
   assets                                (70)      (511)     (198)     (862)
  Net (gain) loss on
   financial instruments                (696)     6,367    (1,562)    9,990
  Deferred income taxes                6,971      5,590    19,846       (85)
 Landfill closure and
  post-closure
  expenditures                        (2,181)      (914)   (7,145)   (2,022)
 Changes in non-cash
  working capital items               11,828     (6,019)   27,304   (20,709)
----------------------------------------------------------------------------
Cash generated from
 operating activities                 63,620     49,311   256,269   218,481
----------------------------------------------------------------------------
INVESTING
 Acquisitions                         (5,224)    (2,623)  (27,385)  (59,134)
 Restricted cash
  deposits                              (382)         -      (382)        -
 Restricted cash
  withdrawals                              -        (59)       82     1,473
 Investment in other
  receivables                            (36)         -    (1,434)        -
 Proceeds from other
  receivables                            133         57       487       428
 Funded landfill
  post-closure costs                    (362)      (413)   (1,021)   (1,550)
 Purchase of capital
  assets                             (22,849)   (20,673)  (81,219)  (82,071)
 Purchase of landfill
  assets                             (11,552)   (18,343)  (41,057)  (59,024)
 Proceeds from the sale
  of capital and landfill
  assets                                 667        653     4,487     2,001
 Investment in landfill
  development assets                    (775)     1,576    (1,530)   (3,626)
----------------------------------------------------------------------------
Cash utilized in
 investing activities                (40,380)   (39,825) (148,972) (201,503)
----------------------------------------------------------------------------
FINANCING
 Payment of deferred
  financing costs                     (1,706)      (149)   (2,106)   (3,283)
 Proceeds from long-term
  debt                                47,794     75,725   190,609   275,427
 Repayment of long-term
  debt                               (46,372)   (63,361) (443,320) (169,051)
 Common shares issued,
  net of issue costs                       -          -   209,264        (3)
 Purchase of restricted
  shares or trust units                    -        156      (172)   (3,756)
 Dividends paid to share and
  participating preferred
  shareholders and distributions
  paid to unitholders                (31,667)   (25,088)  (70,849) (117,055)
----------------------------------------------------------------------------
Cash utilized in
 financing activities                (31,951)   (12,717) (116,574)  (17,721)
Effect of foreign
 currency translation on
 cash and cash
 equivalents                           4,677      2,245     2,330       780
----------------------------------------------------------------------------
NET CASH (OUTFLOW)
 INFLOW                               (4,034)      (986)   (6,947)       37
----------------------------------------------------------------------------

CASH AND CASH
 EQUIVALENTS, BEGINNING
 OF PERIOD OR YEAR                     9,025     12,924    11,938    11,901
----------------------------------------------------------------------------
CASH AND CASH
 EQUIVALENTS, END OF
 YEAR                              $   4,991  $  11,938   $ 4,991  $ 11,938
----------------------------------------------------------------------------
----------------------------------------------------------------------------
SUPPLEMENTAL CASH FLOW
 INFORMATION:
 Cash and cash
  equivalents are
  comprised of:
  Cash                             $   4,991  $  11,558   $ 4,991  $ 11,558
  Cash equivalents                         -        380         -       380
----------------------------------------------------------------------------
                                   $   4,991  $  11,938   $ 4,991  $ 11,938
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Cash paid during the
 period or year for:
 Income taxes                      $  14,215  $    (402) $ 16,785  $  9,286
 Interest                          $   5,719  $  15,827  $ 33,428  $ 47,510

Contacts:
IESI-BFI Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.com

IESI-BFC Ltd. Announces Date for Fourth Quarter and Fiscal 2009 Earnings Release and Conference Call

Fri, 29 Jan 2010 09:00:00 -0500

TORONTO, ONTARIO -- (MARKET WIRE) -- 01/29/10 -- IESI-BFC Ltd. (the "Company") (TSX: BIN)(NYSE: BIN) will report financial results for the three and twelve months ended December 31, 2009, on Tuesday, February 23, 2010 after the close of the stock markets. The Company will host a conference call on Wednesday, February 24, 2010 at 8:30 a.m. (ET).

Participants may listen to the call by dialing 1-888-300-0053, conference ID 53103100, at approximately 8:20 a.m. (ET). International or local callers should dial 647-427-3420. The call will also be webcast live at www.streetevents.com and at www.iesi-bfc.com.

A replay will be available after the call until Wednesday, March 10, 2010, at midnight, and can be accessed by dialing 1-800-642-1687, conference code 53103100. International or local callers can access the replay by dialing 706-645-9291. The audio webcast will also be archived at www.streetevents.com and www.iesi-bfc.com.

About IESI-BFC Ltd.

Contacts:
IESI-BFC Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.com

IESI-BFC Ltd. Files F-4 Registration Statement For Proposed Transaction With Waste Services, Inc.

Wed, 20 Jan 2010 08:30:00 -0500

TORONTO, ONTARIO -- (MARKET WIRE) -- 01/20/10 -- IESI-BFC Ltd. ("IESI-BFC") (TSX: BIN)(NYSE: BIN) announced that it has filed a registration statement on Form F-4 with the United States Securities and Exchange Commission ("SEC") in connection with its proposed acquisition of Waste Services, Inc. ("WSI") (NASDAQ: WSII). The registration statement, which is subject to SEC review, contains a preliminary proxy statement/ prospectus for the proposed transaction.

Completion of the transaction remains subject to the satisfaction or waiver of certain closing conditions, including approval from WSI stockholders and the Canadian Competition Bureau. The transaction was reviewed by U.S. antitrust authorities, and the 30 day waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 expired at 11:59 pm on January 19, 2010 without a request for additional documentation or information. IESI-BFC and WSI now expect the transaction to close during the second quarter of 2010.

About IESI-BFC Ltd.

IESI-BFC, through its subsidiaries, is one of North America's largest full-service waste management companies, providing non-hazardous solid waste collection and landfill disposal services to commercial, industrial, municipal and residential customers in ten states and the District of the Columbia in the U.S., and five Canadian provinces. Its two brands, IESI and BFI Canada, are leaders in their markets and serve over 1.8 million customers with vertically integrated collection and disposal assets. IESI-BFC's shares are listed on the New York and Toronto Stock Exchanges under the symbol BIN. To find out more about IESI-BFC, visit its website at www.iesi-bfc.com.

About Waste Services, Inc.

Waste Services is a multi-regional, integrated solid waste services company that provides collection, transfer, disposal and recycling services in the U.S. and Canada. WSI, a Delaware corporation, is the second largest vertically integrated disposal company in the State of Florida, where it has 10 collection operations, nine transfer stations, seven recycling facilities and three landfills. To find out more about WSI, visit its website at www.wasteservicesinc.com.

Forward-Looking Statements

This communication includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements may include, without limitation, Waste Services, Inc.'s and IESI-BFC Ltd.'s expectations with respect to: the synergies, efficiencies, capitalization and anticipated financial impacts of the transaction; approval of the transaction by Waste Services, Inc. stockholders; the satisfaction or waiver of the closing conditions to the transaction; and the timing of the completion of the transaction.

These forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from the expected results. Most of these factors are outside our control and difficult to predict. The following factors, among others, could cause or contribute to such material differences: the ability to obtain the approval of the transaction by Waste Services, Inc. stockholders; the ability to realize the expected synergies resulting for the transaction in the amounts or in the timeframe anticipated; the ability to integrate Waste Services, Inc.'s businesses into those of IESI-BFC Ltd. in a timely and cost-efficient manner; and the ability to obtain governmental approvals of the transaction or to satisfy or waive the other conditions to the transaction on the proposed terms and timeframe. Additional factors that could cause IESI-BFC Ltd.'s and Waste Services, Inc.'s results to differ materially from those described in the forward-looking statements can be found in the 2008 Annual Report on Form 10-K for Waste Services, Inc., the Registration Statement on Form F-10, as amended, of IESI-BFC Ltd., and the Registration Statement on Form F-4 of IESI-BFC Ltd., each filed with the SEC and available at the SEC's Internet web site (www.sec.gov). Waste Services, Inc. cautions that the foregoing list of factors is not exclusive. All subsequent written and oral forward-looking statements concerning Waste Services, Inc., IESI-BFC Ltd., the transaction or other matters and attributable to Waste Services, Inc. or IESI-BFC Ltd. or any person acting on their behalf are expressly qualified in their entirety by the cautionary statements above. Waste Services, Inc. and IESI-BFC Ltd. do not undertake any obligation to update any forward-looking statement, whether written or oral, relating to the matters discussed in this communication, except as required by law.

Additional Information

You may also obtain copies of all documents filed with the SEC regarding this transaction, without charge, from IESI-BFC's website (www.iesi-bfc.com) or from Waste Services' website (www.wasteservicesinc.com) or by directing a request to IESI-BFC Ltd., 135 Queens Plate Drive, Suite 300, Toronto, Ontario, Canada M9W 6V1, Attention: Investor Relations, (416) 401-7729, or to Waste Services, Inc., Shareholder Relations, 1122 International Blvd., Suite 601, Burlington, Ontario, Canada L7L 6Z8, (905) 319-1237.

Proxy Solicitation

IESI-BFC Ltd., Waste Services, Inc., their respective directors and executive officers and other persons may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction. Information regarding IESI-BFC Ltd.'s and Waste Services Inc.'s directors and executive officers is available in the Registration Statement on Form F-4, which was filed with the SEC on January 19, 2010. Other information regarding the participants in the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, is also contained in the above-referenced Registration Statement on Form F-4, and in other relevant materials to be filed with the SEC when they become available.

Contacts:
IESI-BFC Ltd.Andrea Rudnick
Vice President, Corporate Development and Communications
(416) 401-7750
andrea.rudnick@bficanada.comIESI-BFC Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.comWaste Services, Inc.Ed Johnson
Executive Vice President and Chief Financial Officer
(905) 319-1237
ejohnson@wsii.us

IESI-BFC and Waste Services Complete Due Diligence and Receive Fairness Opinions for Proposed Transaction

Thu, 10 Dec 2009 16:05:00 -0500

TORONTO, ONTARIO and BURLINGTON, ONTARIO -- (MARKET WIRE) -- 12/10/09 -- IESI-BFC Ltd. (TSX: BIN)(NYSE: BIN) and Waste Services, Inc. (NASDAQ: WSII) today announced that each company has completed its respective due diligence review to its satisfaction and that the Board of Directors of each company has received a fairness opinion from their respective financial advisors with respect to their proposed combination announced on November 11, 2009.

The merger agreement between the parties provides for termination rights if either party identifies material issues during its due diligence review or is unable to obtain a fairness opinion, in each case within 30 days after entering into the merger agreement. These termination rights are no longer applicable since the fairness opinions have been received and the parties have completed their due diligence reviews to their satisfaction.

IESI-BFC received its fairness opinion from J.P. Morgan Securities Inc. and Waste Services received its fairness opinion from CIBC World Markets.

With the satisfactory completion of due diligence and the receipt of fairness opinions, the companies continue to work towards closing the transaction in the first calendar quarter of 2010, subject to various closing conditions, including WSI shareholder approval and approvals by antitrust and other regulatory authorities.

About IESI-BFC Ltd.

IESI-BFC Ltd. is one of North America's largest full-service waste management companies, providing non-hazardous solid waste collection and landfill disposal services to commercial, industrial, municipal and residential customers in ten states and the District of the Columbia in the U.S., and five Canadian provinces. Its two brands, IESI and BFI Canada, are leaders in their markets and serve over 1.8 million customers with vertically integrated collection and disposal assets. IESI-BFC's shares are listed on the New York and Toronto Stock Exchanges under the symbol BIN. To find out more about IESI-BFC, visit our website at www.iesi-bfc.com.

About Waste Services, Inc.

Waste Services, Inc. is a multi-regional, integrated solid waste services company that provides collection, transfer, disposal and recycling services in the U.S. and Canada. Waste Services is the second largest vertically integrated disposal company in the State of Florida, where it has 10 collection operations, nine transfer stations, seven recycling facilities and three landfills. Waste Services' shares are listed on NASDAQ under the symbol WSII. To find out more about WSI, visit its website at www.wasteservicesinc.com.

Forward-Looking Statements

This communication includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements may include, without limitation, Waste Services, Inc.'s and IESI-BFC Ltd.'s expectations with respect to the synergies, efficiencies, overhead savings, costs and charges and capitalization, anticipated financial impacts of the transaction; approval of the transaction by stockholders; the satisfaction of the closing conditions to the transaction; and the timing of the completion of the transaction.

These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside our control and difficult to predict. The following factors, among others, could cause or contribute to such material differences: the ability to obtain the approval of the transaction by Waste Services, Inc. stockholders; the ability to realize the expected synergies resulting for the transaction in the amounts or in the timeframe anticipated; the ability to integrate Waste Services, Inc.'s businesses into those of IESI-BFC Ltd. in a timely and cost-efficient manner; and the ability to obtain governmental approvals of the transaction or to satisfy other conditions to the transaction on the proposed terms and timeframe. Additional factors that could cause IESI-BFC Ltd.'s and Waste Services, Inc.'s results to differ materially from those described in the forward-looking statements can be found in the 2008 Annual Report on Form 10-K for Waste Services, Inc. and the Registration Statement on Form F-10, as amended, of IESI-BFC Ltd. filed with the Securities and Exchange Commission (the "SEC") and available at the SEC's Internet web site (www.sec.gov). Waste Services, Inc. cautions that the foregoing list of factors is not exclusive. All subsequent written and oral forward-looking statements concerning Waste Services, Inc., IESI-BFC Ltd., the transaction or other matters and attributable to Waste Services, Inc. or IESI-BFC Ltd. or any person acting on their behalf are expressly qualified in their entirety by the cautionary statements above. Waste Services, Inc. and IESI-BFC Ltd. do not undertake any obligation to update any forward-looking statement, whether written or oral, relating to the matters discussed in this communication, except as required by law.

Additional Information About the Transaction and Where to Find It

In connection with the proposed transaction, IESI-BFC Ltd. will file with the SEC a Registration Statement on Form F-4 that will include a proxy statement of Waste Services, Inc. and that also constitutes a prospectus of IESI-BFC Ltd.Waste Services, Inc. will mail the proxy statement/prospectus to its stockholders. Waste Services, Inc. and IESI-BFC Ltd. urge investors and security holders to read the proxy statement/prospectus, including any amendments thereto and any other information filed with the SEC, regarding the proposed transaction when such filings become available because they will contain important information. You may obtain copies of all documents filed with the SEC regarding this transaction, free of charge, at the SEC's website (www.sec.gov). Copies of the proxy statement/prospectus can also be obtained, when available, without charge, from IESI-BFC Ltd.'s website (www.iesi-bfc.com) or from Waste Services, Inc.'s website (www.wasteservicesinc.com) or by directing a request to IESI-BFC Ltd., 135 Queens Plate Drive, Suite 300, Toronto, Ontario, Canada M9W 6V1, Attention: Investor Relations, (416) 401-7729, or to Waste Services, Inc., Shareholder Relations, 1122 International Blvd., Suite 601, Burlington, Ontario, Canada L7L 6Z8, (905) 319-1237.

Proxy Solicitation

IESI-BFC, Ltd., Waste Services, Inc., their respective directors and executive officers and other persons may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction. Information regarding IESI-BFC Ltd.'s directors and executive officers is available in its Registration Statement on Form F-10, which was filed with the SEC on May 14, 2009. Information regarding Waste Services, Inc.'s directors and executive officers is available in its Annual Report on Form 10-K for the year ended December 31, 2008, which was filed with the SEC on February 26, 2009, and its 2009 definitive proxy statement for its most recent annual meeting, which was filed on the SEC's internet website (www.sec.gov) on April 29, 2009. Other information regarding the participants in the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the proxy statement/prospectus and other relevant materials to be filed with the SEC when they become available. You may obtain free copies of these documents from Waste Services, Inc. and IESI-BFC Ltd. using the contact information above.

Contacts:
IESI-BFC Ltd.Andrea Rudnick
Vice President, Corporate Development and Communications
(416) 401-7750
andrea.rudnick@bficanada.comIESI-BFC Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.comwww.iesi-bfc.comWaste Services, Inc.Ed Johnson
Executive Vice President and Chief Financial Officer
(905) 319-1237
ejohnson@wsii.uswww.wasteservicesinc.com

IESI-BFC Ltd. Announces Quarterly Cash Dividends

Tue, 08 Dec 2009 16:10:00 -0500

TORONTO, ONTARIO -- (MARKET WIRE) -- 12/08/09 -- IESI-BFC Ltd. (the "Company") (TSX: BIN)(NYSE: BIN) today declared a regular cash dividend of Cdn$0.125 per share, payable on January 15, 2010, to shareholders of record at the close of business on December 31, 2009.

The Company also declared a special cash dividend of Cdn$0.125 per share, payable on December 31, 2009, to shareholders of record at the close of business on December 17, 2009.

The Company has designated these dividends as eligible dividends for the purposes of the Income Tax Act (Canada).

Forward-looking statements

This press release contains forward-looking statements, within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation, concerning the business, operations and financial performance and condition of the Company. Forward-looking statements are statements that are not historical facts and that are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements. A number of factors could cause actual outcomes and results to differ materially from those estimated, forecast or projected. These factors include those set forth in the Company's Annual Information Form for the year ended December 31, 2008. Consequently, readers should not rely on such forward-looking statements. In addition, these forward-looking statements relate to the date on which they are made. Although the forward-looking statements contained herein are based upon what management believes to be reasonable assumptions, the Company cannot assure shareholders that actual results will be consistent with these forward looking statements, and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

About IESI-BFC Ltd.

Contacts:
IESI-BFC Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.comwww.iesi-bfc.com

IESI-BFC and Waste Services Will Merge to Form North America's Third Largest Solid Waste Management Company With Annual Revenues of Nearly US$1.5 Billion

Wed, 11 Nov 2009 07:16:00 -0500

TORONTO, ONTARIO and BURLINGTON, ONTARIO -- (MARKET WIRE) -- 11/11/09 -- IESI-BFC Ltd. ("IESI-BFC") (TSX: BIN)(NYSE: BIN) and Waste Services, Inc. ("WSI") (NASDAQ: WSII) today announced that their respective boards of directors have each approved a definitive merger agreement that establishes North America's third largest solid waste management company with expected pro forma annual revenues of nearly US$1.5 billion. The combined company, to be headquartered in Toronto, will have more than 6,000 employees serving commercial, industrial and residential customers in 11 U.S. states and the District of Columbia, and in six Canadian provinces. The transaction, which is expected to close during the first calendar quarter of 2010, is expected to generate US$25-$30 million in net pre-tax annual run rate synergies by the end of the second year following closing, and to be accretive to IESI-BFC's earnings and free cash flow per share in the first year following closing.

Under the terms of the agreement:

- IESI-BFC will issue 27.8 million common shares to WSI shareholders, representing approximately 23% ownership in the combined company, assuming conversion of IESI-BFC's Participating Preferred Shares.

- The exchange ratio is 0.5833 common shares of IESI-BFC for each WSI common share held.

Based on the closing stock prices of both companies on Tuesday, November 10, 2009, this represents a premium of approximately 27% over the volume weighted average closing price of WSI's shares for the previous 30 trading days of US$6.10. This premium reflects a fully-diluted share count for WSI at closing of 47,660,982, which includes restricted share units vesting on change of control, as well as in-the-money options.

The acquisition will combine IESI-BFC's and WSI's collection, transfer, recycling and landfill businesses under a proven management team led by Keith Carrigan, IESI-BFC's Vice Chairman and Chief Executive Officer. The combined company will be diversified across U.S. and Canadian markets, customer segments and service lines, while maintaining a commitment to excellent customer service, environmental stewardship, and community support. The combined company will use its excess free cash flow to fund organic growth, maintain IESI-BFC's regular quarterly dividend payments to shareholders, finance accretive strategic acquisitions and reduce debt.

"In uniting with WSI, IESI-BFC will advance to a top-three position in the North American solid waste management industry," said Keith Carrigan, Vice Chairman and Chief Executive Officer of IESI-BFC. "More importantly, this transaction will allow our two companies to grow more meaningfully than they could on their own. Through this combination, we will increase our internalization in the Canadian market, where we have demonstrated our ability to improve margins by applying our highly successful business model. We will also establish a meaningful presence in the Florida market, where WSI has initiated a vertical integration strategy centred around the JED landfill, one of the most valuable solid waste assets in the state. Since 2004, WSI has made steady improvements in Florida, where it achieved an adjusted EBITDA margin of 27.2% in the third quarter ended September 30, 2009. By applying IESI-BFC's operating model, strong balance sheet, and acquisition strategy centred on creating collection density for landfills, we will be able to accelerate the Florida growth strategy and margin improvement, driving incremental value for the combined company's shareholders.

"We expect that synergies will be available from the reduction of operating, general and administrative costs, and that additional growth for the combined entity will flow from IESI-BFC's history of accelerating value through its assets. As such, we expect the transaction will be accretive to shareholders, generating significant additional cash flow. We will maintain a strong balance sheet on closing, with pro forma debt-to-EBITDA of 2.70x, and expect this level to decline to below our stated 2.50x target within the first year following closing."

David Sutherland-Yoest, President and Chief Executive Officer of WSI, said, "We are very familiar with IESI-BFC, its management team, unique operating model, bottom-up management style, and industry leading record of organic growth. The transaction with IESI-BFC will enable WSI to execute its operating and growth strategies more effectively and participate in the enhanced profitability of the combined entity, while continuing to provide our customers with the top-notch service they have come to expect. IESI-BFC has a robust asset base in Canada, the U.S. Northeast and the U.S. South, a history of margin expansion, and a strong balance sheet. Its regular quarterly dividend, which the combined company expects to maintain, will serve as a source of additional return to our shareholders."

Additional Transaction Details

In connection with the transaction, IESI-BFC will utilize a portion of its available credit capacity of US$435 million as of September 30, 2009, and will increase the size of its Canadian revolving credit facility from CAD$305 million to approximately CAD$450 million. The existing debt of IESI-BFC's U.S. revolving credit facility will remain outstanding immediately after closing.

Following completion of the transaction, Keith Carrigan will become Vice-Chairman and Chief Executive Officer of the combined company.

WSI's largest shareholders, Westbury (Bermuda) Ltd. (owner of 12,607,365 shares), and Kelso & Company, L.P. (owner of 2,894,737 shares), have each signed a voting agreement in support of the transaction.

Pursuant to the terms of the definitive agreement, WSI will have the right to nominate two members of the Board of Directors of the combined company. The combined company, which will be headquartered in Toronto, will trade under the symbol 'BIN' on the New York and Toronto Stock Exchanges.

The transaction is subject to various closing conditions, including satisfactory completion of due diligence; both companies receiving fairness opinions; WSI shareholder approval; and approvals by antitrust and other regulatory authorities. The companies will have thirty days from today to complete due diligence and obtain fairness opinions, and anticipate that the transaction will close in the first calendar quarter of 2010.

J.P. Morgan Securities Inc. is acting as exclusive financial advisor to IESI-BFC on the transaction. CIBC World Markets is acting as exclusive financial advisor to WSI on the transaction.

Large Scale North American Operator Offering Attractive Returns

The combination of IESI-BFC and WSI creates North America's third largest solid waste management company. The combined entity will unite corporate functions and standardize a bottom-up style of management to enhance productivity, operational efficiency and profitability.

Together, the two companies will generate a return to shareholders which outweighs that which the companies could generate on a standalone basis. The combined entity will be well capitalized, anchored by a strong balance sheet and free cash flow that will facilitate investment for growth and resulting incremental cash flow.

- Accretion: The transaction will be accretive to 2010 free cash flow and earnings per share.

- Synergies: The combined company is expected to realize US$25-$30 million in net pre-tax annual run rate synergies by the end of the second year following the closing of the transaction. These enhanced efficiencies will flow from route optimization, disposal internalization, corporate office and operating facility consolidation, the integration of management information systems, and savings of public company costs.

- Dividends: It is expected that shareholders in the combined company will receive the regular CAD$0.125 quarterly dividend per share currently enjoyed by IESI-BFC shareholders.

- Strong Balance Sheet: Immediately following closing of the transaction, the combined company will have a debt-to-EBITDA ratio of approximately 2.70x. However, in keeping with IESI-BFC's recent de-levering of its balance sheet, the combined company will use its excess cash flow to reduce its indebtedness so that debt-to-EBITDA is reduced to below IESI-BFC's stated target of 2.50x. In addition to reducing its leverage, the combined company will apply its excess free cash flow towards the payment of its quarterly dividend, and towards investment in growth, including accretive acquisitions.

Investor Conference Call and Webcast

IESI-BFC and WSI will hold an investor call and webcast today at 9:00 a.m. Eastern Time to discuss today's announcement. Presentation materials can be accessed through the investor relations section of the IESI-BFC web site at www.iesi-bfc.com and WSI's web site at www.wasteservicesinc.com. To participate in the call, dial 1-888-300-0053, conference ID 40947579. International or local callers should dial 647-427-3420. The call will also be simultaneously webcast on both companies' web sites.

A replay of the conference call will be available later today, and through November 25, 2009, and can be accessed by dialing 1-800-642-1687, conference code 40947579. International or local callers can access the replay by dialing 706-645-9291. The replay will also be available at www.iesi-bfc.com and www.wasteservicesinc.com.

About IESI-BFC Ltd.

About Waste Services, Inc.

Waste Services, Inc. ("WSI") is a multi-regional, integrated solid waste services company that provides collection, transfer, disposal and recycling services in the U.S. and Canada. WSI, a Delaware corporation, is the second largest vertically integrated disposal company in the State of Florida, where it has 10 collection operations, nine transfer stations, seven recycling facilities and three landfills. To find out more about WSI, visit its website at www.wasteservicesinc.com.

Forward-Looking Statements

This communication includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements may include, without limitation, Waste Services, Inc.'s and IESI-BFC Ltd.'s expectations with respect to the synergies, efficiencies, overhead savings, costs and charges and capitalization, anticipated financial impacts of the transaction; approval of the transaction by stockholders; the satisfaction of the closing conditions to the transaction; and the timing of the completion of the transaction.

Additional Information About the Transaction and Where to Find It

In connection with the proposed transaction, IESI-BFC Ltd. will file with the SEC a Registration Statement on Form F-4 that will include a proxy statement of Waste Services, Inc. and that also constitutes a prospectus of IESI-BFC Ltd.Waste Services, Inc. will mail the proxy statement/prospectus to its stockholders. Waste Services, Inc. and IESI-BFC Ltd. urge investors and security holders to read the proxy statement/prospectus, including any amendments thereto and any other information filed with the SEC, regarding the proposed transaction when such filings become available because they will contain important information. You may obtain copies of all documents filed with the SEC regarding this transaction, free of charge, at the SEC's website (www.sec.gov). Copies of the proxy statement/prospectus and the filings with the SEC that will be incorporated by reference in the proxy statement/prospectus can also be obtained, when available, without charge, from IESI-BFC Ltd.'s website (www.iesi-bfc.com) or from Waste Services, Inc.'s website (www.wasteservicesinc.com) or by directing a request to IESI-BFC Ltd., 135 Queens Plate Drive, Suite 300, Toronto, Ontario, Canada M9W 6V1, Attention: Investor Relations, (416) 401-7729, or to Waste Services, Inc., Shareholder Relations, 1122 International Blvd., Suite 601, Burlington, Ontario, Canada L7L 6Z8, (905) 319-1237.

Proxy Solicitation

Contacts:
IESI-BFC Ltd.Andrea Rudnick
Vice President, Corporate Development and Communications
(416) 401-7750
Email: andrea.rudnick@bficanada.comIESI-BFC Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
Email: chaya.cooperberg@bficanada.com
Website: www.iesi-bfc.comWaste Services, Inc.Ed Johnson
Executive Vice President and Chief Financial Officer
(905) 319-1237
Email: ejohnson@wsii.us
Website: www.wasteservicesinc.com

IESI-BFC Ltd. Announces Strong Results for the Three and Nine Months Ended September 30, 2009

Thu, 29 Oct 2009 16:10:00 -0400

TORONTO, ONTARIO -- (MARKET WIRE) -- 10/29/09 -- IESI-BFC Ltd. (the "Company") (TSX: BIN)(NYSE: BIN) reported financial results for the three and nine months ended September 30, 2009.

(All amounts are in United States ("U.S.") dollars, unless otherwise stated)

Management Commentary

Revenue totalled $268.4 million in the quarter compared with $282.2 million in the year ago period. Holding foreign currency exchange ("FX") constant, revenue in the third quarter would have totalled $274.7 million. Operating income was $37.0 million compared with $33.8 million in the third quarter of 2008. Excluding the impact of FX, operating income would have been $38.6 million, an increase of 14.3% over the year ago period. Operating income before amortization, or EBITDA(A), for the quarter was $78.9 million, or 29.4% of revenue, compared to $80.7 million, or 28.6% of revenue, in the third quarter of 2008. Holding FX constant, EBITDA(A) for the third quarter of 2009 would have been $81.4 million.

Net income in the quarter was $19.1 million, or $0.20 per diluted share compared to net income of $16.3 million, or $0.24 per diluted share in the year ago period. Before the impact of FX, net income in the quarter was $20.3 million or $0.22 per diluted share. We increased our comparative diluted share count as a result of equity offerings completed in March and June 2009.

In the quarter, organic gross revenue grew 1.6% in Canada. Continued core pricing growth, 3.0%, coupled with volume growth, 0.3%, and recycling and other pricing growth, 0.2%, was partially offset by a 1.9% decline in fuel surcharges. In the U.S., organic gross revenues declined 3.9% in the quarter. While we realized core price growth of 2.0%, declines in fuel surcharges, 3.8%, recycling and other pricing, 1.6%, and volumes, 0.5%, offset this growth.

"We delivered strong performance in the third quarter relative to current economic conditions," said Keith Carrigan, Vice Chairman and Chief Executive Officer, IESI-BFC Ltd. "We continued to drive core price growth in our business and achieved positive volume in our Canadian operations with only a marginal volume decline in the U.S. Our disciplined strategies for growth resulted in an increase in EBITDA(A), excluding the impact of FX, and an 80 basis point improvement in EBITDA margin. Free cash flow(B) increased 85.5% to $38.5 million, resulting in a free cash flow yield of 14.3%."

Mr. Carrigan added, "We are very pleased with these improvements in our business, which illustrate the effectiveness of our differentiated operating model. With our free cash flow(B) levels and strong balance sheet, we are well-positioned to further apply our strategies for organic growth, and growth through acquisition."

For the nine months ended September 30, 2009, revenues were $746.0 million, compared with revenues of $803.2 million in the year ago period. Holding FX constant, year-to-date revenue would have been $783.6 million. Operating income was $93.4 million compared with $90.7 million in the same period in 2008. Year-to-date operating income would have been $101.0 million, an increase of 11.4% over 2008, holding FX constant. EBITDA(A) for the year-to-date period was $214.1 million compared to $226.0 million in 2008 and would have been $227.3 million holding FX constant.

For the nine months ended September 30, 2009, net income was $43.9 million, or $0.53 per diluted share, compared with $45.0 million or $0.66 per diluted share in the year ago period.

Financial and Other Highlights


For the Three Months Ended September 30, 2009
--  Revenues declined $7.5 million or 2.7%, excluding the impact of FX
--  EBITDA(A) increased $0.7 million or 0.8%, excluding the impact of FX
--  Free cash flow increased $19.4 million or 93.5%, excluding the impact of
    FX
--  Net income per diluted share, $0.20, or $0.22 excluding the impact of FX
--  Core price increased 3.0% in Canada and 2.0% in the U.S.
--  Volumes increased 0.3% in Canada and declined (0.5%) in the U.S.

For the Nine Months Ended September 30, 2009
--  Revenues declined $19.6 million or 2.4%, excluding the impact of FX
--  EBITDA(A) increased $1.3 million or 0.6%, excluding the impact of FX
--  Free cash flow increased $20.5 million or 26.5%, excluding the impact of
    FX
--  Net income per diluted share, $0.53, or $0.59 excluding the impact of FX
--  Core price increased 3.3% in Canada and 2.5% in the U.S.
--  Volumes decreased (0.9%) in Canada and (3.1%) in the U.S.
--  Raised gross common share proceeds of $149.5 million through a U.S.
    public offering in June 2009
--  Raised gross common share proceeds of $74.6 million through a bought
    deal offering in Canada in March 2009
--  Applied the net proceeds from both offerings, approximately $209.7
    million to reduce U.S. long-term debt advances
--  At September 30, 2009, our funded debt to EBITDA(A) ratios, calculated
    in accordance with our Canadian and U.S. long-term debt facilities, are
    1.78 and 2.59 times, respectively.

Change in Reporting Currency and Generally Accepted Accounting Principles

In connection with our listing on the New York Stock Exchange ("NYSE") and U.S. public offering, we elected to report our financial results in U.S. dollars. Accordingly, all comparative financial information contained in this press release has been recast from thousands of Canadian to U.S. dollars, unless otherwise stated.

Electing to report our financial position and results of operations in U.S. dollars reduces foreign exchange fluctuations in our reported amounts as a significant portion of our assets, liabilities and operations are resident or conducted in the U.S., in U.S. dollars.

FX Rates

Our consolidated financial position and operating results have been translated to U.S. dollars applying the following FX rates:


                                       2009                             2008
----------------------------------------------------------------------------
                               Consolidated    Consoli-         Consolidated
         Consolidated          Statement of      dated          Statement of
              Balance        Operations and    Balance        Operations and
                Sheet  Comprehensive Income      Sheet  Comprehensive Income
----------------------------------------------------------------------------
                                 Cumulative                       Cumulative
              Current    Average    Average    Current    Average    Average
----------------------------------------------------------------------------
December 31                                    $0.8166               $0.9371
March 31      $0.7935    $0.8030    $0.8030    $0.9729    $0.9959    $0.9959
June 30       $0.8602    $0.8568    $0.8290    $0.9817    $0.9901    $0.9930
September 30  $0.9327    $0.9113    $0.8547    $0.9435    $0.9599    $0.9817


Financial Highlights

(in thousands of U.S. dollars, except per weighted average share or trust
 unit amounts, unless otherwise stated)

                                 Three months ended       Nine months ended
                                       September 30            September 30
----------------------------------------------------------------------------
                                   2009        2008         2009       2008
----------------------------------------------------------------------------
                             (unaudited) (unaudited) (unaudited) (unaudited)
----------------------------------------------------------------------------

Operating results
Revenues                       $268,411    $282,235     $746,004   $803,197
Operating expenses              156,195     169,209      435,969    484,501
Selling, general and
 administrative ("SG&A")         33,272      32,301       95,949     92,709
Amortization                     41,946      46,928      120,702    135,297
----------------------------------------------------------------------------
Operating income                 36,998      33,797       93,384     90,690
Interest on long-term debt        7,851      13,367       26,246     40,111
Net gain on sale of capital
 and landfill assets                (13)       (265)        (128)      (351)
Net foreign exchange loss
 (gain)                              61           3          238       (617)
Net loss (gain) on financial
 instruments                        305          98         (866)     3,623
Conversion costs                     93       2,216          208      2,216
Other expenses                       44          31          109         88
----------------------------------------------------------------------------
Income before income taxes       28,657      18,347       67,577     45,620
Income tax expense                9,548       2,073       23,724        580
----------------------------------------------------------------------------
Net income                     $ 19,109    $ 16,274     $ 43,853   $ 45,040
----------------------------------------------------------------------------

Net income per weighted
 average share or trust unit,
 basic                         $   0.20    $   0.24     $   0.54   $   0.66
Net income per weighted
 average share or trust unit,
 diluted                       $   0.20    $   0.24        $0.53   $   0.66
Weighted average number of
 shares or trust units
 outstanding (thousands),
 basic                           82,294      57,569       71,102     57,569
Weighted average number of
 shares or trust units
 outstanding (thousands),
 diluted                         93,431      68,706       82,239     68,706

Replacement and growth
 expenditures (see page 10)
Replacement expenditures       $ 19,322    $ 26,834     $ 49,094   $ 56,206
Growth expenditures               8,839      15,743       38,781     45,873
----------------------------------------------------------------------------
Total replacement and growth
 expenditures                  $ 28,161    $ 42,577     $ 87,875   $102,079
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Operating and free cash
 flow(B)
Cash generated from operating
 activities                    $ 76,597    $ 69,876     $192,649   $169,170
Free cash flow(B)              $ 38,504    $ 20,755     $ 90,604   $ 77,423
Free cash flow(B) per weighted
 average share or trust unit
 outstanding, diluted          $   0.41    $   0.30     $   1.10   $   1.13

Dividends and distributions
Dividends and distributions
 declared (shares or trust
 units)                        $ 18,546    $ 25,094     $ 49,560   $ 77,058
Dividends declared
 (participating preferred
 shares ("PPSs"))                 2,523       4,853        7,140     14,909
----------------------------------------------------------------------------
Total dividends and
 distributions declared        $ 21,069    $ 29,947     $ 56,700   $ 91,967
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Total dividends or distributions
 declared per weighted
 average share or trust unit,
 diluted                       $   0.23    $   0.44     $   0.69   $   1.34

FX Impact on Consolidated Results

The following tables have been prepared to assist readers in assessing the impact of FX on select consolidated results for the three and nine months ended September 30, 2009.


                                                        Three months ended
---------------------------------------------------------------------------
                 September   September   September   September   September
                  30, 2008    30, 2009    30, 2009    30, 2009    30, 2009
---------------------------------------------------------------------------
                (unaudited) (unaudited) (unaudited) (unaudited) (unaudited)
---------------------------------------------------------------------------
                              (organic,   (holding
                           acquisition          FX
                             and other    constant
                                   non-   with the
                       (as   operating comparative                     (as
                  reported)    changes)     period) (FX impact)   reported)
----------------------------------------------------------------------------

Consolidated
 Statement
 of Operations
Revenues          $282,235    $ (7,554)   $274,681    $ (6,270)    $268,411
Operating
 expenses          169,209      (9,944)    159,265      (3,070)     156,195
SG&A                32,301       1,716      34,017        (745)      33,272
Amortization        46,928      (4,144)     42,784        (838)      41,946
----------------------------------------------------------------------------
Operating
 income             33,797       4,818      38,615      (1,617)      36,998
Interest on
 long-term debt     13,367      (5,460)      7,907         (56)       7,851
Net gain on
 sale of
 capital and
 landfill
 assets               (265)        246         (19)          6          (13)
Net foreign
 exchange loss           3          60          63          (2)          61
Net loss on
 financial
 instruments            98         217         315         (10)         305
Conversion costs     2,216      (2,115)        101          (8)          93
Other expenses          31          13          44           -           44
----------------------------------------------------------------------------
Income before
 income taxes       18,347      11,857      30,204      (1,547)      28,657
----------------------------------------------------------------------------
Net income tax
 expense             2,073       7,817       9,890        (342)       9,548
----------------------------------------------------------------------------
Net income        $ 16,274    $  4,040    $ 20,314    $ (1,205)    $ 19,109
----------------------------------------------------------------------------
----------------------------------------------------------------------------

EBITDA(A)         $ 80,725    $    674    $ 81,399    $ (2,455)    $ 78,944
Free cash flow(B) $ 20,755    $ 19,409    $ 40,164    $ (1,660)    $ 38,504


                                                         Nine months ended
---------------------------------------------------------------------------
                September   September    September   September   September
                 30, 2008    30, 2009     30, 2009    30, 2009    30, 2009
---------------------------------------------------------------------------
               (unaudited) (unaudited)  (unaudited) (unaudited) (unaudited)
---------------------------------------------------------------------------
                             (organic, (holding FX
                          acquisition     constant
                            and other     with the
                    (as non-operating  comparative                     (as
               reported)      changes)      period) (FX impact)   reported)
---------------------------------------------------------------------------

Consolidated
 Statement of
 Operations
Revenues       $803,197      $(19,634)    $783,563    $(37,559)   $746,004
Operating
 expenses       484,501       (29,266)     455,235     (19,266)    435,969
SG&A             92,709         8,288      100,997      (5,048)     95,949
Amortization    135,297        (8,960)     126,337      (5,635)    120,702
---------------------------------------------------------------------------
Operating
 income          90,690        10,304      100,994      (7,610)     93,384
Interest on
 long-term debt  40,111       (12,828)      27,283      (1,037)     26,246
Net gain on
 sale of capital
 and landfill
 assets            (351)          198         (153)         25        (128)
Net foreign
 exchange (gain)
 loss              (617)          850          233           5         238
Net loss (gain)
 on financial
 instruments      3,623        (4,466)        (843)        (23)       (866)
Conversion
 costs            2,216        (1,977)         239         (31)        208
Other expenses       88            21          109           -         109
---------------------------------------------------------------------------
Income before
 income taxes    45,620        28,506       74,126      (6,549)     67,577
---------------------------------------------------------------------------
Net income tax
 expense            580        25,196       25,776      (2,052)     23,724
---------------------------------------------------------------------------
Net income     $ 45,040      $  3,310     $ 48,350    $ (4,497)   $ 43,853
---------------------------------------------------------------------------
---------------------------------------------------------------------------
EBITDA(A)      $225,987      $  1,344     $227,331    $(13,245)   $214,086
Free cash
 flow(B)       $ 77,423      $ 20,534     $ 97,957    $ (7,353)   $ 90,604

Conversion

Pursuant to the plan of arrangement, the conversion of the BFI Canada Income Fund (the "Fund") trust structure to a corporation resulted in unitholders of the Fund receiving one common share of BFI Canada Ltd., predecessor to IESI-BFC Ltd. ("IESI-BFC"), for each trust unit held on the effective date of conversion, October 1, 2008. The Class A unit held by IESI Corporation ("IESI") was redeemed by the Fund for ten Canadian dollars and IESI-BFC issued, and IESI subscribed for, 11,137 special voting shares for aggregate cash consideration of ten Canadian dollars. The PPSs issued by IESI remain outstanding and exchangeable into common shares of IESI-BFC on a one for one basis, instead of trust units of the Fund. These exchanges did not constitute a change of control such that the consolidated financial statements have been prepared applying continuity of interests accounting. With the exception of the December 31, 2008 consolidated balance sheet, the comparative figures presented herein are those of the Fund.

Management's Discussion

(all amounts are in thousands of U.S. dollars, except per share or trust unit, PPS, and FX rate amounts, unless otherwise stated)


Segment Highlights

                                            Three months ended September 30
----------------------------------------------------------------------------
                           2008      2009       Change      2009     Change
----------------------------------------------------------------------------
                                                 (2009             (2009 as
                                               holding             reported
                                 (holding  FX constant            less 2008
                            (as        FX    less 2008       (as         as
                       reported) constant) as reported) reported)  reported)
----------------------------------------------------------------------------
Revenues               $282,235  $274,681      $(7,554) $268,411   $(13,824)
----------------------------------------------------------------------------
Canada                 $100,965  $100,914      $   (51) $ 94,644   $ (6,321)
U.S. south             $ 87,809  $ 89,359      $ 1,550  $ 89,359   $  1,550
U.S. northeast         $ 93,461  $ 84,408      $(9,053) $ 84,408   $ (9,053)

Operating expenses     $169,209  $159,265      $(9,944) $156,195   $(13,014)
----------------------------------------------------------------------------
Canada                 $ 53,938  $ 50,879      $(3,059) $ 47,809   $ (6,129)
U.S. south             $ 56,137  $ 56,379         $242  $ 56,379   $    242
U.S. northeast         $ 59,134  $ 52,007      $(7,127) $ 52,007   $ (7,127)

SG&A                   $ 32,301  $ 34,017      $ 1,716  $ 33,272   $    971
----------------------------------------------------------------------------
Canada                 $ 11,726  $ 12,967      $ 1,241  $ 12,222   $    496
U.S. south             $ 10,617  $ 11,669      $ 1,052  $ 11,669   $  1,052
U.S. northeast         $  9,958  $  9,381      $  (577) $  9,381   $   (577)

EBITDA(A)              $ 80,725  $ 81,399      $   674  $ 78,944   $ (1,781)
----------------------------------------------------------------------------
Canada                 $ 35,301  $ 37,068      $ 1,767  $ 34,613   $   (688)
U.S. south             $ 21,055  $ 21,311      $   256  $ 21,311   $    256
U.S. northeast         $ 24,369  $ 23,020      $(1,349) $ 23,020   $ (1,349)


                                            Nine months ended September 30
----------------------------------------------------------------------------
                    2008        2009       Change        2009        Change
----------------------------------------------------------------------------
                                    (2009 holding                  (2009 as
                                      FX constant             reported less
                     (as (holding FX less 2008 as         (as       2008 as
                reported)   constant)    reported)   reported)     reported)
----------------------------------------------------------------------------
Revenues       $ 803,197   $ 783,563    $ (19,634)   $ 746,004   $ (57,193)
----------------------------------------------------------------------------
Canada         $ 286,190   $ 290,374    $   4,184    $ 252,815   $ (33,375)
U.S. south     $ 254,691   $ 253,305    $  (1,386)   $ 253,305   $  (1,386)
U.S.
 northeast     $ 262,316   $ 239,884    $ (22,432)   $ 239,884   $ (22,432)

Operating
 expenses      $ 484,501   $ 455,235    $ (29,266)   $ 435,969   $ (48,532)
----------------------------------------------------------------------------
Canada         $ 154,518   $ 148,950    $  (5,568)   $ 129,684   $ (24,834)
U.S. south     $ 163,127   $ 156,216    $  (6,911)   $ 156,216   $  (6,911)
U.S.
 northeast     $ 166,856   $ 150,069    $ (16,787)   $ 150,069   $ (16,787)

SG&A           $  92,709   $ 100,997    $   8,288    $  95,949   $   3,240
----------------------------------------------------------------------------
Canada         $  33,651   $  39,025    $   5,374    $  33,977   $     326
U.S. south     $  31,528   $  33,967    $   2,439    $  33,967   $   2,439
U.S.
 northeast     $  27,530   $  28,005    $     475    $  28,005   $     475

EBITDA(A)      $ 225,987   $ 227,331    $   1,344    $ 214,086   $ (11,901)
----------------------------------------------------------------------------
Canada         $  98,021    $102,399    $   4,378    $  89,154   $  (8,867)
U.S. south     $  60,036    $ 63,122    $   3,086    $  63,122   $   3,086
U.S.
 northeast     $  67,930    $ 61,810    $  (6,120)   $  61,810   $  (6,120)


Revenues

Gross revenue by service type

                                      Three months ended September 30, 2009
---------------------------------------------------------------------------
               Canada - stated        Canada -                       U.S. -
                   in Canadian   percentage of                percentage of
                       dollars  gross revenues        U.S.   gross revenues
---------------------------------------------------------------------------

Commercial           $  40,472            33.3%   $  46,789            23.1%
Industrial              20,063            16.5%      26,708            13.2%
Residential             16,469            13.5%      43,711            21.6%
Transfer and
 disposal               34,850            28.7%      74,670            36.9%
Recycling and
 other                   9,702             8.0%      10,424             5.2%
---------------------------------------------------------------------------
Gross revenues         121,556           100.0%     202,302           100.0%
Intercompany           (16,560)                     (28,535)
---------------------------------------------------------------------------
Revenues             $ 104,996                    $ 173,767
---------------------------------------------------------------------------
---------------------------------------------------------------------------


                                       Nine months ended September 30, 2009
---------------------------------------------------------------------------
               Canada - stated        Canada -                       U.S. -
                   in Canadian   percentage of                percentage of
                       dollars  gross revenues        U.S.   gross revenues
---------------------------------------------------------------------------

Commercial          $  119,093           35.0%  $  138,814            24.2%
Industrial              56,839           16.7%      78,370            13.7%
Residential             46,287           13.6%     120,544            21.0%
Transfer and
 disposal               92,501           27.2%     210,366            36.7%
Recycling and
 other                  25,461            7.5%      25,055             4.4%
---------------------------------------------------------------------------
Gross revenues         340,181          100.0%     573,149           100.0%
Intercompany           (44,399)                    (79,960)
---------------------------------------------------------------------------
Revenues            $  295,782                  $  493,189
---------------------------------------------------------------------------
---------------------------------------------------------------------------


Gross revenue growth components - expressed in percentages and excluding FX

                                      Three months               Nine months
                                   ended September           ended September
                                          30, 2009                  30, 2009
----------------------------------------------------------------------------
                            Canada            U.S.    Canada            U.S.
----------------------------------------------------------------------------

Price
 Core price                    3.0            2.0        3.3            2.5
 Fuel surcharges              (1.9)          (3.8)      (1.2)          (2.7)
 Recycling and other           0.2           (1.6)      (0.3)          (2.2)
----------------------------------------------------------------------------
Total price                    1.3           (3.4)       1.8           (2.4)

Volume                         0.3           (0.5)      (0.9)          (3.1)
----------------------------------------------------------------------------
Total organic gross
 revenue growth (decline)      1.6           (3.9)       0.9           (5.5)

Acquisitions                   0.7            1.5        1.8            1.9
----------------------------------------------------------------------------
Total gross revenue
 growth (decline)              2.3           (2.4)       2.7           (3.6)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Three months ended

Excluding the impact of FX, the increase in Canadian segment gross revenues is attributable to core price, acquisition and volume growth. With the exception of recycled materials pricing, we realized price growth in all of our services. Volume growth was modest, but we achieved growth in our commercial, transfer, landfill and recycling services. As in the prior quarter, comparative industrial collection volumes remained soft and partially offset this volume growth. Lower diesel fuel costs are the primary reason for lower fuel surcharges.

U.S. south segment gross revenues increased. Core price, acquisition and volume growth all contributed to the comparative increase. We enjoyed volume growth from our commercial and residential services, as a result of increased sales efforts and contract wins. This volume growth was partially offset by lower comparative industrial volumes, which is attributable to the softer economic environment in this segment. Lower comparative fuel surcharges is the primary offset to gross revenue growth as a result of lower comparative diesel fuel costs. A comparative decline in recycled materials pricing represents the balance of the comparative change.

Gross revenues in our U.S. northeast segment declined. Volume and fuel surcharge declines were partially offset by modest price growth. While gross revenues continue to be affected by lower volumes, we have not experienced any further deterioration as a result of the economic slowdown. Pricing in our collection service lines remained strong, but was partially offset by pricing at our landfills and transfer stations. Volume growth in our landfills has more than offset landfill pricing declines. The balance of the change is the result of lower recycled materials pricing. Recycled materials pricing started to decline in the third and fourth quarters of 2008, and while pricing has strengthened since the fourth quarter of 2008, it has not reached the same levels as the comparative period.

Nine months ended

Excluding the impact of FX, the increase in Canadian segment gross revenues is attributable to core price and acquisition growth. Fuel surcharge declines and declines due to lower volumes were the primary offsets to core price and acquisition growth. Lower diesel fuel costs is the primary reason for lower fuel surcharges, while lower industrial collection volumes was the most significant contributor to the decline in gross revenues attributable to volumes. A decline in year-to-date recycled materials pricing accounts for the balance of the change.

On a year-to-date basis, U.S. south segment gross revenues increased marginally. The comparative increase is the result of strong core price, acquisition and volume growth. The reasons for this growth are consistent with those outlined above for the three months ended. Lower comparative fuel surcharges are the primary offset, coupled with lower gross revenue contributions from recycled materials pricing.

Gross revenues in our U.S. northeast segment declined. Consistent with the three months ended, volume and fuel surcharge declines account for the year-to-date comparative decline in gross revenues. Pricing for our collection services continues to be strong but has been offset by recycled materials pricing and to a lesser extent landfill pricing. The balance of the year-to-date change is attributable to contributions from acquisitions.

Operating expenses

Three months ended

Excluding the impact of FX, the decline in Canadian segment operating expenses is due to lower vehicle operating costs. Lower comparative diesel fuel costs contributed to the comparative decline. Higher labour costs attributable to acquisitions partially offset vehicle operating cost declines.

Operating costs in our U.S. south segment increased marginally period over period. Comparatively, we incurred higher labour costs to collect higher comparative waste volumes and incurred higher insurance costs. Higher insurance costs represent a non-cash actuarial adjustment to our U.S. accident claims reserves. Cost savings resulting from lower vehicle operating costs, attributable to lower diesel fuel costs, almost entirely offset these increases.

In the U.S. northeast, operating costs declined. The decline is attributable to lower disposal, transportation and vehicle operating costs. Lower disposal costs are the result of the economic slowdown in this region, while lower transportation and vehicle operating costs are due to the comparative decline in diesel fuel costs. Higher accident claims reserves partially offset these declines.

Nine months ended

Excluding the impact of FX, the year-to-date decline in Canadian segment operating expenses is due to lower disposal and vehicle operating costs, partially offset by higher labour costs due in part to acquisitions. The reasons for these changes are consistent with the explanations outlined above for the three months ended.

Year-to-date, our U.S. south segment has benefited from lower diesel fuel costs. The balance of the change is attributable to higher labour and insurance claims costs. Acquisitions and marginally higher collected volumes is the primary reason for the rise in comparative labour costs.

The reasons for the U.S. northeast segment decline are consistent with those outlined above for the three months ended.

SG&A expenses

Three months ended

Our Canadian segment SG&A expense increase is due entirely to fair value changes in share based compensation, which is an expense in the current period compared to a prior period recovery.

Higher salary expense, due to higher sales staffing levels in our U.S. south segment, is the primary reason for the increase. Lower professional fees and salaries in our U.S. northeast segment are the primary reasons for the period over period decline.

Nine months ended

Excluding the impact of FX, Canadian segment SG&A expense increased. The increase is attributable to fair value changes to share based compensation as well as higher salaries. Higher sales staffing levels is the primary contributor to the rise in comparative salaries.

Higher salaries and professional fees are the primary cause of the year-to-date increase in SG&A expense for our U.S. south and northeast segments.

Non-controlling interest

Free cash flow (B)

Purpose and objective


Free cash flow (B) - cash flow approach

                 Three months ended September   Nine months ended September
                                           30                            30
----------------------------------------------------------------------------
                     2009      2008    Change       2009      2008   Change
----------------------------------------------------------------------------

Cash generated
 from operating
 activities
 (per the
 statement of
 cash flows)     $ 76,597  $ 69,876   $ 6,721  $ 192,649 $ 169,170 $ 23,479
----------------------------------------------------------------------------

Operating
Changes in
 non-cash
 working
 capital items    (10,546)   (4,079)   (6,467)  (15,476)   14,690   (30,166)
Capital and
 landfill asset
 purchases        (28,161)  (42,577)   14,416   (87,875) (102,079)   14,204
Purchase of
 restricted shares      -    (3,912)    3,912      (172)   (3,912)    3,740
Stock option
 expense
 (recovery)           416      (781)    1,197     1,000    (1,198)    2,198
Conversion costs       93     2,216    (2,123)      208     2,216    (2,008)
Other expenses         44        31        13       109        88        21

Financing
Financing and
 landfill
 development costs
 (net of non-cash
 portion)               -       (22)       22      (77)      (935)      858
Net realized
 foreign exchange
 loss (gain)           61         3        58      238       (617)      855
----------------------------------------------------------------------------
Free cash
 flow(B)         $ 38,504  $ 20,755  $ 17,749 $ 90,604   $ 77,423  $ 13,181
----------------------------------------------------------------------------
----------------------------------------------------------------------------


Free cash flow (B) - EBITDA(A) approach

                  Three months ended September   Nine months ended September
                                            30                            30
----------------------------------------------------------------------------
                      2009      2008    Change      2009      2008   Change
----------------------------------------------------------------------------
EBITDA(A)         $ 78,944  $ 80,725 $ (1,781) $ 214,086 $ 225,987 $(11,901)
----------------------------------------------------------------------------

Restricted share
 expense               390       954     (564)     1,081       954      127
Stock option
 expense
 (recovery)            416      (781)   1,197      1,000    (1,198)   2,198
Purchase of
 restricted shares       -    (3,912)   3,912       (172)   (3,912)   3,740
Capital and
 landfill asset
 purchases         (28,161)  (42,577)  14,416    (87,875) (102,079)  14,204
Landfill closure
 and post-closure
 expenditures       (2,609)     (485)  (2,124)    (4,964)   (1,108)  (3,856)
Landfill closure
 and post-closure
 cost accretion
 expense               805       771       34      2,322     2,326       (4)
Interest on
 long-term debt     (7,851)  (13,367)   5,516    (26,246)  (40,111)  13,865
Non-cash interest
 expense               676       846     (170)     2,221     2,819     (598)
Current income
 tax expense        (4,106)   (1,419)  (2,687)   (10,849)   (6,255)  (4,594)
----------------------------------------------------------------------------
Free cash flow(B) $ 38,504  $ 20,755 $ 17,749  $  90,604  $ 77,423 $ 13,181
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Three months ended

Free cash flow(B) increased period over period. Excluding the impact of FX, we generated modest increases in Canadian and U.S. south segment EBITDA(A). Our U.S. northeast segment delivered a slight reduction in comparative EBITDA(A) contributions due to lower volumes and lower commodity and other pricing stemming from economic weakness. Lower capital and landfill asset purchases in our U.S. segment are the primary contributors to the increase in free cash flow(B). This comparative decline in purchases is principally attributable to the timing of landfill cell construction. The Canadian segment also contributed to the comparative decline due primarily to the timing of growth expenditures as a result of a decline in new contract wins. Lower interest rates and overall debt levels contributed to the decline in interest expense, while higher cash taxes in Canada partially offset this decline. Higher Canadian cash taxes are the result of eroding loss carryforwards. The timing of restricted share purchases also contributed to the comparative increase in free cash flow(B).

Nine months ended

For the nine months ended, free cash flow(B) increased comparatively. As outlined above for the three months ended, modest contributions from increasing EBITDA(A), excluding the impact of FX, coupled with lower capital and landfill purchases and borrowing costs are the primary reasons for the increase in free cash flow(B). The reasons for these changes are consistent with those outlined above for the three months ended.

Capital and landfill purchases

Capital and landfill purchases characterized as replacement and growth expenditures are as follows:


           Three months ended September 30   Nine months ended September 30
----------------------------------------------------------------------------
               2009       2008      Change      2009       2008      Change
----------------------------------------------------------------------------

Replacement $19,322    $26,834     $(7,512)  $49,094    $56,206    $(7,112)

Growth        8,839     15,743      (6,904)   38,781     45,873     (7,092)
----------------------------------------------------------------------------
Total       $28,161    $42,577    $(14,416)  $87,875   $102,079   $(14,204)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Capital and landfill purchases - replacement

Three months ended

Excluding the impact of FX, replacement expenditures decreased. The decline is attributable to the timing of landfill expenditures in our U.S. segment.

Nine months ended

Capital and landfill purchases - growth

Three months ended

Net of FX, growth expenditures decreased. The decline is most pervasive in Canada, as a result of building, infrastructure and landfill equipment expenditures incurred in 2008 that did not recur in 2009. Both our Canadian and U.S. segments are experiencing lower growth expenditure levels in light of continuing economic weakness.

Nine months ended

Net of FX, growth expenditures decreased. In Canada, the decline in growth expenditures is due in large part to capital purchased to service new residential contract wins which commenced in 2008. Our U.S. segment decline has not been as pronounced as our Canadian segment decline due in large part to new contract wins.

Readers are reminded that revenue, EBITDA(A), and cash flow contributions derived from vehicles, equipment and container growth expenditures will materialize over future periods.

Dividends and Distributions

(all amounts are in thousands of U.S. dollars, except per share or trust unit and PPS amounts)

2009

Our expected regular dividend record and payment dates, and payment amounts, are as follows:


Expected regular dividend
(payable quarterly)

                                                  Dividend amounts per share
                                                and PPS - stated in Canadian
Record date                Payment date                              dollars
----------------------------------------------------------------------------
March 31, 2009             April 15, 2009                        $     0.125
June 30, 2009              July 15, 2009                               0.125
September 30, 2009         October 15, 2009                            0.125
December 31, 2009          January 15, 2010                            0.125
----------------------------------------------------------------------------
Total                                                            $     0.500
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Our expected special dividend record and payments dates, and payment amounts, payable only in 2009, are as follows:


Expected special dividend
schedule (payable
quarterly)

                                                  Dividend amounts per share
                                                and PPS - stated in Canadian
Record date                Payment date                              dollars
----------------------------------------------------------------------------
March 31, 2009             April 15, 2009                        $     0.125
June 30, 2009              July 15, 2009                               0.125
September 30, 2009         October 15, 2009                            0.125
December 17, 2009          December 31, 2009                           0.125
----------------------------------------------------------------------------
Total                                                            $     0.500
----------------------------------------------------------------------------
----------------------------------------------------------------------------

2008

In 2008, we declared distributions and dividends to trust unit and participating preferred shareholders for the three and nine month periods ended September 2008 totalling $29,947 and $91,967, respectively. The declarations represented a monthly Canadian dollar ("C$") payout of fifteen point one five cents per trust unit and PPS.

Long-term debt

Summary details of our long-term debt facilities at September 30, 2009 are as follows:


                                 Letters of
                                credit (not
                                reported as
                                  long-term
                                debt on the
                               Consolidated
           Available   Facility     Balance  Available
             lending      drawn       Sheet)  capacity
------------------------------------------------------
Canadian
 long-term
 debt
 facilities
 - stated
 in
 Canadian
 dollars
Senior
 secured
 debenture,
 series B   $ 58,000   $ 58,000    $      -    $      -
Revolving
 credit
 facility   $305,000   $167,000    $ 25,013    $112,987

U.S.
 long-term
 debt
 facilities
 - stated
 in U.S.
 dollars
Term loan   $195,000   $195,000    $      -    $      -
Revolving
 credit
 facility   $588,500   $138,000    $120,097    $330,403
Variable
 rate
 demand
 solid
 waste
 disposal
 bonds
 ("IRBs")   $104,000   $104,000    $      -    $      -

Canadian long-term debt facilities

We drew on our revolving credit facility capacity to repay our C$47,000 senior secured series A debenture which matured on June 26, 2009. Drawing on the revolving credit facility had no impact on our Canadian segment's funded debt to EBITDA(A) covenant, as this covenant includes both revolving credit facility drawings and senior secured debenture borrowings. We entered into our fifth amendment to our amended and restated credit facility. The fifth amendment simply recognized the wind-up of the Fund and Ridge Landfill Trust. All significant terms and pricing remained unchanged.

Long-term debt to EBITDA(A)

At September 30, 2009, we are not in default of our Canadian and U.S. long-term debt facility covenants. As a reminder, our long-term debt to EBITDA(A) covenants are not subject to FX fluctuations. Holding the FX rate at parity results in a long-term debt to EBITDA(A) ratio of 2.18 times. Readers are further reminded that contributions to EBITDA(A) from acquisitions completed within the last twelve months are not included in this ratio. We have two revolving credit facilities to support our Canadian and U.S. operations, each of which require financial covenant tests to be prepared independently, and both facilities allow for pro forma EBITDA(A) contributions from acquisitions.

Funded debt to EBITDA(A)

At September 30, 2009, funded long-term debt to EBITDA(A), as defined and calculated in accordance with the underlying Canadian and U.S. long-term debt facilities, is as follows:


                      September 30, 2009      December 31, 2008
----------------------------------------------------------------
                       Canada        U.S.    Canada        U.S.
----------------------------------------------------------------

Funded debt to
 EBITDA(A)               1.78       2.59       2.10       3.93
Funded debt to
 EBITDA(A) maximum       2.75       4.00       2.75       4.25

Definitions of EBITDA and free cash flow

(A) All references to "EBITDA" in this press release are to revenues less operating and SG&A expenses on the consolidated statement of operations and comprehensive income. EBITDA excludes some or all of the following: "amortization, interest on long-term debt, financing costs, net gain or loss on sale of capital and landfill assets, net foreign exchange gain or loss, net gain or loss on financial instruments, conversion costs, other expenses, and income taxes". EBITDA is a term used by us that does not have a standardized meaning prescribed by U.S. GAAP and is therefore unlikely to be comparable to similar measures used by other issuers. EBITDA is a measure of our operating profitability, and by definition, excludes certain items as detailed above. These items are viewed by us as either non-cash (in the case of amortization, net gain or loss on financial instruments, net foreign exchange gain or loss, and deferred income taxes) or non-operating (in the case of interest on long-term debt, net gain or loss on sale of capital and landfill assets, conversion costs, other expenses, and current income taxes). EBITDA is a useful financial and operating metric for us, our Board of Directors, and our lenders, as it represents a starting point in the determination of free cash flow(B). The underlying reasons for the exclusion of each item are as follows:

Amortization - as a non-cash item amortization has no impact on the determination of free cash flow(B).

Net foreign exchange gain or loss - as non-cash items, foreign exchange gains or losses have no impact on the determination of free cash flow(B).

Net gain or loss on financial instruments - as non-cash items, gains or losses on financial instruments have no impact on the determination of free cash flow(B).

Conversion costs - conversion costs represent professional fees incurred on the Fund's conversion from an income trust to a corporation and its eventual wind-up. Conversion costs represent a different class of expense than those included in EBITDA.

Income taxes - income taxes are a function of tax laws and rates and are affected by matters which are separate from our daily operations.

EBITDA should not be construed as a measure of income or of cash flows. The reconciling items between EBITDA and net income are detailed in the consolidated statement of operations and comprehensive income or loss beginning with operating income before amortization and ending with net income.

(B) We have adopted a measure called "free cash flow" to supplement net income or (loss) as a measure of operating performance. Free cash flow is a term which does not have a standardized meaning prescribed by U.S. GAAP, is prepared before dividends and or distributions declared, and is therefore unlikely to be comparable to similar measures used by other issuers. The objective of presenting this non-GAAP measure is to align our disclosure with disclosures presented by other U.S. publicly listed companies in the waste industry, to assess our primary sources and uses of cash flow, and to assess our ability to sustain our dividend. All references to "free cash flow" in this press release have the meaning set out in this note.

Forward-looking statements

About IESI-BFC Ltd.

IESI-BFC Ltd., through its subsidiaries, is one of North America's largest full-service waste management companies, providing non-hazardous solid waste collection and landfill disposal services for commercial, industrial, municipal and residential customers in five provinces and ten U.S. states. Its two brands, IESI and BFI Canada, are leaders in their markets and serve over 1.8 million customers with vertically integrated collection and disposal assets. The Company's shares are listed on the New York and Toronto Stock Exchanges under the symbol BIN.

To find out more about IESI-BFC Ltd., visit our website at www.iesi-bfc.com.

Management will hold a conference call on Friday, October 30, 2009, at 8:30 a.m. (ET) to discuss results for the three and nine months ended September 30, 2009. To access the call, participants should dial 416-644-3414 or 1-800-814-4859. The conference call will also be webcast live at www.streetevents.com and www.iesi-bfc.com and subsequently archived on both websites.

A rebroadcast of the call will be available until midnight on November 13, 2009. To access the rebroadcast, dial 416-640-1917 or 1-877-289-8525 and quote the reservation number 4169379#.

IESI-BFC Ltd.

Consolidated Balance Sheets

September 30, 2009 and December 31, 2008 (unaudited - stated in accordance with accounting principles generally accepted in the United States of America and in thousands of U.S. dollars)


--------------------------------------------------------------------
                                        September 30,    December 31,
                                                2009            2008
--------------------------------------------------------------------

ASSETS

CURRENT
  Cash and cash equivalents           $       9,025  $       11,938
  Accounts receivable                       119,265         107,767
  Other receivables                             547             228
  Prepaid expenses                           19,323          19,597
  Restricted cash                                 -              82
--------------------------------------------------------------------
                                            148,160         139,612


OTHER RECEIVABLES                             1,302             394


FUNDED LANDFILL POST-CLOSURE COSTS            7,902           6,115

INTANGIBLES                                 105,514         119,898

GOODWILL                                    627,706         617,832

LANDFILL DEVELOPMENT ASSETS                   6,803           8,589


DEFERRED FINANCING COSTS                      8,307           9,936

CAPITAL ASSETS                              429,203         408,681

LANDFILL ASSETS                             659,296         621,862
--------------------------------------------------------------------
                                        $ 1,994,193     $ 1,932,919
--------------------------------------------------------------------
--------------------------------------------------------------------

LIABILITIES

CURRENT
  Accounts payable                    $      55,006   $      54,134
  Accrued charges                            65,739          55,509
  Dividends payable                          21,786           2,337
  Income taxes payable                       10,045           1,387
  Deferred revenues                          13,044          10,800
  Current portion of long-term debt               -          38,380
  Landfill closure and post-closure
   costs                                      7,668           7,210
--------------------------------------------------------------------
                                            173,288         169,757

LONG-TERM DEBT                              646,849         835,210

LANDFILL CLOSURE AND POST-CLOSURE
 COSTS                                       65,694          50,857

OTHER LIABILITIES                            12,516          15,045

DEFERRED INCOME TAXES                        73,872          64,348
--------------------------------------------------------------------
                                            972,219       1,135,217
--------------------------------------------------------------------

EQUITY

NON-CONTROLLING INTEREST                    231,638         230,452

SHAREHOLDERS' EQUITY                        790,336         567,250
--------------------------------------------------------------------
                                          1,021,974         797,702
--------------------------------------------------------------------
                                        $ 1,994,193     $ 1,932,919
--------------------------------------------------------------------
--------------------------------------------------------------------

IESI-BFC Ltd.

Consolidated Statements of Operations and Comprehensive Income

For the periods ended September 30, 2009 and 2008 (unaudited - stated in accordance with accounting principles generally accepted in the United States of America and in thousands of U.S. dollars, except net income per share or trust unit amounts)


                        Three months ended       Nine months ended
---------------------------------------------------------------------
                             2009        2008        2009        2008
---------------------------------------------------------------------

REVENUES                 $268,411    $282,235    $746,004    $803,197
EXPENSES
  OPERATING               156,195     169,209     435,969     484,501
  SELLING, GENERAL AND
   ADMINISTRATION          33,272      32,301      95,949      92,709
  AMORTIZATION             41,946      46,928     120,702     135,297
---------------------------------------------------------------------
OPERATING INCOME           36,998      33,797      93,384      90,690
INTEREST ON LONG-TERM
 DEBT                       7,851      13,367      26,246      40,111
NET GAIN ON SALE OF
 CAPITAL AND LANDFILL
 ASSETS                       (13)       (265)       (128)       (351)
NET FOREIGN EXCHANGE
 LOSS (GAIN)                   61           3         238        (617)
NET LOSS (GAIN) ON
 FINANCIAL INSTRUMENTS        305          98        (866)      3,623
CONVERSION COSTS               93       2,216         208       2,216
OTHER EXPENSES                 44          31         109          88
---------------------------------------------------------------------
INCOME BEFORE INCOME
 TAXES                     28,657      18,347      67,577      45,620
INCOME TAX EXPENSE
 (RECOVERY)
  Current                   4,106       1,419      10,849       6,255
  Deferred                  5,442         654      12,875      (5,675)
---------------------------------------------------------------------
                            9,548       2,073      23,724         580
---------------------------------------------------------------------
NET INCOME                 19,109      16,274      43,853      45,040
---------------------------------------------------------------------

OTHER COMPREHENSIVE
INCOME (LOSS)
  Foreign currency
   translation
   adjustment              13,813       1,905      21,985      42,749
  Commodity swaps
   designated as cash
   flow hedges, net of
   tax                        (70)          -         283           -
---------------------------------------------------------------------
COMPREHENSIVE INCOME      $32,852     $18,179     $66,121     $87,789
---------------------------------------------------------------------
NET INCOME -
 CONTROLLING INTEREST     $16,793     $13,636     $38,311     $37,739
NET INCOME -
 NON-CONTROLLING
 INTEREST                 $ 2,316     $ 2,638     $ 5,522     $ 7,301
COMPREHENSIVE INCOME -
 CONTROLLING INTEREST     $28,837     $18,179     $57,795     $87,789
COMPREHENSIVE INCOME -
 NON-CONTROLLING
 INTEREST                 $ 4,015     $     -     $ 8,326     $     -

Net income per
 weighted average share
 or trust unit, basic     $  0.20     $  0.24     $  0.54     $  0.66
Net income per
 weighted average share
 or trust unit, diluted   $  0.20     $  0.24     $  0.53     $  0.66
Weighted average
 number of shares or
 trust units
 outstanding
 (thousands), basic        82,294      57,569      71,102      57,569
Weighted average
 number of shares or
 trust units
 outstanding
 (thousands), diluted      93,431      68,706      82,239      68,706

IESI-BFC Ltd.

Consolidated Statements of Cash Flows

For the periods ended September 30, 2009 and 2008 (unaudited - stated in accordance with accounting principles generally accepted in the United States of America and in thousands of U.S. dollars)


                               Three months ended         Nine months ended
----------------------------------------------------------------------------
                                2009         2008         2009         2008
----------------------------------------------------------------------------



NET INFLOW (OUTFLOW) OF CASH RELATED TO THE FOLLOWING ACTIVITIES
OPERATING

Net income                   $19,109      $16,274      $43,853      $45,040
Items not affecting cash
Restricted share expense         390          954        1,081          954
Write-off of landfill
 development assets                -           22           77          935
Accretion of landfill
 closure and post-closure
 costs                           805          771        2,322        2,326
Amortization of
 intangibles                   7,164        8,123       21,673       24,236
Amortization of capital
 assets                       18,890       19,805       55,894       58,102
Amortization of landfill
 assets                       15,892       19,000       43,135       52,959
Interest on long-term
 debt (deferred financing
 costs)                          676          846        2,221        2,819
Net gain on sale of
 capital and landfill
 assets                          (13)        (265)        (128)        (351)
Net loss (gain) on
 financial instruments           305           98         (866)       3,623
Deferred income taxes          5,442          654       12,875       (5,675)
Landfill closure and
 post-closure
 expenditures                 (2,609)        (485)     (4,964)       (1,108)
Changes in non-cash
 working capital items        10,546        4,079      15,476       (14,690)
----------------------------------------------------------------------------
Cash generated from
 operating activities         76,597       69,876     192,649       169,170
----------------------------------------------------------------------------
INVESTING
Acquisitions                  (1,521)      (2,023)    (22,161)      (56,511)
Restricted cash
 withdrawals                       -          742          82         1,532
Investment in other
 receivables                    (120)           -      (1,398)            -
Proceeds from other
 receivables                     129           72         354           371
Funded landfill
 post-closure costs             (278)        (551)       (659)       (1,137)
Purchase of capital
 assets                      (20,530)     (24,070)    (58,370)      (61,398)
Purchase of landfill
 assets                       (7,631)     (18,507)    (29,505)      (40,681)
Proceeds from the sale
 of capital and landfill
 assets                          217          807       3,820         1,348
Investment in landfill
 development assets             (316)      (3,470)       (755)       (5,202)
----------------------------------------------------------------------------
Cash utilized in
 investing activities        (30,050)     (47,000)    (108,592)    (161,678)
----------------------------------------------------------------------------
FINANCING
Recovery (payment) of
 deferred financing costs         98      (2,210)         (400)      (3,134)
Proceeds from long-term
 debt                         26,041       55,511      142,815      199,702
Repayment of long-term
 debt                        (50,564)     (41,766)    (396,948)    (105,690)
Common shares issued,
 net of issue costs             (420)            -     209,264           (3)
Purchase of restricted
 shares                             -      (3,912)        (172)      (3,912)
Dividends and
 distributions paid to
 share or unitholders and
 dividends paid to
 participating preferred
 shareholders                (20,542)     (29,947)     (39,182)     (91,967)
----------------------------------------------------------------------------
Cash utilized in
 financing activities        (45,387)     (22,324)     (84,623)      (5,004)
Effect of foreign
 currency translation on
 cash and cash
 equivalents                  (3,265)        (783)      (2,347)      (1,465)
----------------------------------------------------------------------------
NET CASH (OUTFLOW)
INFLOW                        (2,105)        (231)      (2,913)       1,023
----------------------------------------------------------------------------
CASH AND CASH
EQUIVALENTS, BEGINNING OF
PERIOD OR YEAR                11,130       13,155       11,938       11,901
----------------------------------------------------------------------------
CASH AND CASH
EQUIVALENTS, END OF
PERIOD                     $   9,025  $    12,924     $  9,025     $ 12,924
----------------------------------------------------------------------------
----------------------------------------------------------------------------
SUPPLEMENTAL CASH FLOW
INFORMATION:
Cash and cash
 equivalents are
 comprised of:
Cash                       $   8,056  $    12,920     $  8,056     $ 12,920
Cash equivalents                 969            4          969            4
----------------------------------------------------------------------------
                           $   9,025  $    12,924     $  9,025     $ 12,924
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Cash paid during the
 period for:
Income taxes               $       8  $       264     $  2,570     $  9,688
Interest                   $   8,096  $     9,189     $ 27,709     $ 31,683

IESI-BFC Ltd.

Consolidated Statements of Equity and Mezzanine Equity

For the three months ended September 30, 2009 and 2008 (unaudited - stated in accordance with accounting principles generally accepted in the United States of America and in thousands of U.S. dollars)


----------------------------------------------------------------------------
                     Common    Restricted    Treasury    Contributed
                     shares        shares      shares        surplus
----------------------------------------------------------------------------
Balance at June
 30, 2009       $ 1,082,492  $     (3,928) $        -  $       1,324
Net income
Dividends
Common shares
 issued net of
 issue
 costs and
 related tax
 effect                (302)
Restricted
 share expense                                                   390
Foreign
 currency
 translation
 adjustment
Commodity swaps
 designated as
 cash flow
 hedges, net of
 tax
----------------------------------------------------------------------------
Balance at
September 30,
 2009           $ 1,082,190  $     (3,928) $        -  $       1,714
----------------------------------------------------------------------------
----------------------------------------------------------------------------


----------------------------------------------------------------------------
                             Accumulated
                                   other
                               comprehen-         Non-
                              sive (loss) controlling
                    Deficit       income     interest         Equity
----------------------------------------------------------------------------
Balance at June
 30, 2009        $ (216,447)  $  (83,484) $   230,146    $ 1,010,103
Net income           16,793                     2,316         19,109
Dividends           (18,546)                   (2,523)       (21,069)
Common shares
 issued net of
 issue
 costs and
 related tax
 effect                                                         (302)
Restricted
 share expense                                                   390
Foreign
 currency
 translation
 adjustment                       12,104        1,709         13,813
Commodity swaps
 designated as
 cash flow
 hedges, net
 of tax                              (60)         (10)           (70)
----------------------------------------------------------------------------
Balance at
 September 30,
 2009            $ (218,200)  $  (71,440) $   231,638    $ 1,021,974
----------------------------------------------------------------------------
----------------------------------------------------------------------------




----------------------------------------------------------------------------
                                          Accumulated
                                                other
                                            comprehen-
                  Mezzanine                sive (loss)
                     equity      Deficit       income         Equity
----------------------------------------------------------------------------
Balance at June
 30, 2008       $ 1,435,515  $  (485,943) $   (91,168)   $  (577,111)
Net income                        16,274                      16,274
Dividends                        (29,947)                    (29,947)
Fair value
 adjustments to
 trust units,
 PPSs and
 treasury units    (349,340)     349,340                     349,340
Foreign
 currency
 translation
 adjustment         (13,663)                    1,905          1,905
----------------------------------------------------------------------------
Balance at
 September 30,
 2008           $ 1,072,512  $  (150,276)   $ (89,263)   $  (239,539)
----------------------------------------------------------------------------
----------------------------------------------------------------------------



IESI-BFC Ltd.
Consolidated Statements of Equity and Mezzanine Equity
For the nine months ended September 30, 2009 and 2008 (unaudited - stated in
 accordance with accounting principles generally accepted in the United
 States of America and in thousands of U.S. dollars)

----------------------------------------------------------------------------
                     Common    Restricted    Treasury    Contributed
                     shares        shares      shares        surplus
----------------------------------------------------------------------------
Balance at
 December 31,
 2008           $   868,248 $      (3,756) $        -    $       633
Net income
Dividends
Common shares
 issued net of
 issue costs
 and related
 tax effect         213,942
Restricted
 shares
 purchased                           (172)
Restricted
 share expense                                                 1,081
Common shares
 acquired by
 U.S.
 long-term
 incentive plan
 ("LTIP")                                      (1,779)
Deferred
 compensation
 obligation                                     1,779
Foreign
 currency
 translation
 adjustment
Commodity swaps
 designated as
 cash flow
 hedges, net of
 tax
----------------------------------------------------------------------------
Balance at
 September 30,
 2009           $ 1,082,190   $    (3,928) $        -  $       1,714
----------------------------------------------------------------------------
----------------------------------------------------------------------------


----------------------------------------------------------------------------
                             Accumulated
                                   other
                               comprehen-         Non-
                              sive (loss) controlling
                    Deficit       income     interest         Equity
----------------------------------------------------------------------------
Balance at
 December 31,
 2008            $ (206,971)  $  (90,904) $   230,452    $   797,702
Net income           38,331                     5,522         43,853
Dividends           (49,560)                   (7,140)       (56,700)
Common shares
 issued net of
 issue costs
 and related
 tax effect                                                  213,942
Restricted
 shares
 purchased                                                      (172)
Restricted
 share expense                                                 1,081
Common shares
 acquired by
 U.S. long-term
 incentive plan
 ("LTIP")                                                     (1,779)
Deferred
 compensation
 obligation                                                    1,779
Foreign
 currency
 translation
 adjustment                       19,217        2,768         21,985
Commodity swaps
 designated as
 cash flow
 hedges, net of
 tax                                 247           36            283
----------------------------------------------------------------------------
Balance at
 September 30,
 2009            $ (218,200)  $  (71,440) $   231,638    $ 1,021,974
----------------------------------------------------------------------------
----------------------------------------------------------------------------


----------------------------------------------------------------------------
                                          Accumulated
                                                other
                                            comprehen-
                  Mezzanine                sive (loss)
                     equity      Deficit       income         Equity
----------------------------------------------------------------------------
Balance at
December 31,
 2007           $ 1,580,137  $  (547,998) $  (132,012)   $  (680,010)
Net income                        45,040                      45,040
Dividends                        (91,967)                    (91,967)
Trust units
 issued net
 of issue
 costs and
 related
 tax effect                           (3)                         (3)
Trust units
 acquired by
 U.S. LTIP                        (1,996)                     (1,996)
Fair value
 adjustments
 to trust units,
 PPSs and
 treasury units    (446,648)     446,648                     446,648
Foreign
 currency
 translation
 adjustment         (60,977)                   42,749         42,749
----------------------------------------------------------------------------
Balance at
 September 30,
 2008           $ 1,072,512  $  (150,276) $   (89,263)   $  (239,539)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Contacts:
IESI-BFC Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.com

IESI-BFC Ltd. Announces Date for Third Quarter 2009 Earnings Release and Conference Call

Mon, 05 Oct 2009 10:11:00 -0400

TORONTO, ONTARIO -- (MARKET WIRE) -- 10/05/09 -- IESI-BFC Ltd. (the "Company") (TSX: BIN)(NYSE: BIN) will report financial results for the three and nine months ended September 30, 2009, on Thursday, October 29, 2009 after the close of the stock markets. The Company will host a conference call on Friday, October 30, 2009 at 8:30 a.m. (ET).

Participants may listen to the call by dialing 416-644-3414 or 1-800-814-4859 at approximately 8:20 a.m. (ET). The call will also be webcast live at www.streetevents.com and at www.iesi-bfc.com.

A replay will be available after the call until Friday, November 13, 2009, at midnight. To access the replay, dial 416-640-1917 or 1-877-289-8525 and quote the reservation number 4169379#. The audio webcast will also be archived at www.streetevents.com and www.iesi-bfc.com.

About IESI-BFC Ltd.

IESI-BFC Ltd., through its subsidiaries, is one of North America's largest full-service waste management companies, providing non-hazardous solid waste collection and landfill disposal services for commercial, industrial, municipal and residential customers in five provinces and ten U.S. states. Its two brands, IESI and BFI Canada, are leaders in their respective markets and serve over 1.8 million customers with vertically integrated collection and disposal assets. The Company's shares are listed on the New York and Toronto Stock Exchanges under the symbol BIN.

To find out more about IESI-BFC Ltd., visit our website at www.iesi-bfc.com.

Contacts:
IESI-BFC Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.com

IESI-BFC Ltd. Announces Quarterly Cash Dividends

Thu, 17 Sep 2009 16:30:00 -0400

TORONTO, ONTARIO -- (MARKET WIRE) -- 09/17/09 -- IESI-BFC Ltd. (the "Company") (TSX: BIN)(NYSE: BIN) today declared a regular cash dividend of Cdn$0.125 per share, payable on October 15, 2009, to shareholders of record at the close of business on September 30, 2009.

The Company also declared a special cash dividend of Cdn$0.125 per share, payable on October 15, 2009, to shareholders of record at the close of business on September 30, 2009.

The Company has designated these dividends as eligible dividends for the purposes of the Income Tax Act (Canada).

Forward-looking statements

About IESI-BFC Ltd.

IESI-BFC Ltd., through its subsidiaries, is one of North America's largest full-service waste management companies, providing non-hazardous solid waste collection and landfill disposal services for commercial, industrial, municipal and residential customers in five provinces and ten U.S. states. Its two brands, IESI and BFI Canada, are leaders in their respective markets and serve over 1.8 million customers with vertically integrated collection and disposal assets. The company's shares are listed on the New York and Toronto Stock Exchanges under the symbol BIN.

Contacts:
IESI-BFC Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.com

IESI-BFC Ltd. Announces Strong Results for the Three and Six Months Ended June 30, 2009

Wed, 29 Jul 2009 16:01:00 -0400

TORONTO, ONTARIO -- (MARKET WIRE) -- 07/29/09 -- IESI-BFC Ltd. (the "Company") (TSX: BIN)(NYSE: BIN) reported financial results for the three and six months ended June 30, 2009. All amounts are in thousands of U.S. dollars, with the exception of per share or trust unit and participating preferred share ("PPS") amounts, unless otherwise stated.

Management Commentary

Revenue totalled $253.7 million in the quarter compared with $277.6 million in the year ago period. Holding foreign currency exchange ("FX") constant with the comparative period, revenue in the second quarter would have totalled $267.9 million. Operating income was $31.3 million compared with $31.3 million in the second quarter of 2008 and would have been $34.3 million, holding FX constant, representing an increase of 9.5% over the year ago period. Operating income before amortization, or EBITDA(A), for the quarter was $72.5 million, or 28.6% of revenue, compared to $77.0 million, or 27.7% of revenue, in the second quarter of 2008. Holding FX constant, EBITDA(A) for the second quarter of 2009 would have been $77.5 million.

Net income in the quarter was $15.1 million, or $0.18 per share on a weighted average diluted basis of 81.9 million shares. Before the impact of foreign currency translation, net income in the quarter was $16.8 million or $0.20 per share. In the period a year ago, the Company reported net income of $17.4 million, or $0.25 on a weighted average diluted basis of 68.7 million shares. The 19.2% second quarter increase in our weighted average diluted share count is due to equity offerings completed in March 2009 and June 2009.

Organic growth for the three months ended June 30, 2009 increased 0.7% in Canada (consisting of a 3.3% core price increase, partially offset by decreases of 1.1% in volume, 1.1% in fuel surcharges and 0.4% in recycling and other pricing) and decreased 7.4% in the U.S. (consisting of a 2.4% core price increase offset by decreases of 4.4% in volume, 3.0% in fuel surcharges and 2.4% in recycling and other pricing).

"We are very pleased with the results of our second quarter which continued to demonstrate the positive impact of our market-focused growth strategies," said Keith Carrigan, Vice Chairman and Chief Executive Officer, IESI-BFC Ltd. "In spite of the recessionary climate, we increased our operating margins and achieved an improvement in EBITDA(A) over the same quarter a year ago, excluding the impact of foreign currency translation. Additionally, we achieved an increase in revenues in Canada in the quarter, before the impact of foreign exchange. While it remains a challenging operating environment, we saw encouraging signs in our markets that suggest a stabilization of waste volumes on a sequential basis."

Mr. Carrigan continued, "With a debt-to-EBITDA(A) ratio below 2.3 times on a consolidated basis and our strong free cash flow(B) profile, we are well positioned to create shareholder value by continuing to grow organically and through strategic acquisitions, while also paying a quarterly dividend."

For the six months ended June 30, 2009, revenue was $477.6 million, compared with revenues of $521.0 million in the year ago period. Holding FX constant, year-to-date revenue would have been $508.9 million. Operating income was $56.4 million compared with $56.9 million in the same period in 2008. Year-to-date operating income would have been $62.4 million, an increase of 9.6% over 2008, holding FX constant. EBITDA(A) for the year-to-date period was $135.1 million compared to $145.3 million in 2008 and would have been $145.9 million holding FX constant.

For the six months ended June 30, 2009, net income was $24.7 million, or $0.32 per weighted average diluted share, compared with $28.8 million or $0.42 per share in the year ago period.

Financial and Other Highlights

For the Three and Six Months Ended June 30, 2009

- For the quarter, core price increased 3.3% in Canada and 2.4% in the U.S.

- For the quarter, volumes decreased (1.1%) in Canada and (4.4%) in the U.S.

- Year to date, core price increased 3.5% in Canada and 2.6% in the U.S.

- Year to date, volumes decreased (1.6%) in Canada and (4.4%) in the U.S.

- Raised gross common share proceeds of $149,500 through a U.S. public offering in June 2009

- Raised gross common share proceeds of $72,397 through a bought deal offering in Canada in March 2009

- Applied the net proceeds from both offerings, approximately $209,700, to reduce U.S. long-term debt advances

- Secured a 10 year expansion permit at our Lachenaie landfill

- At June 30, 2009, our funded debt to EBITDA(A) ratios, calculated in accordance with our Canadian and U.S. long-term debt facilities, are 1.90 and 2.64 times, respectively.

Change in Reporting Currency and Generally Accepted Accounting Principles

In connection with our listing on the New York Stock Exchange ("NYSE") and U.S. public offering, we have elected to report our financial results in U.S. dollars. Accordingly, all comparative financial information contained in this press release has been recast from thousands of Canadian to U.S. dollars, unless otherwise stated.

Electing to report our financial position and results of operations in U.S. dollars reduces fluctuations in our reported amounts as a significant portion of our assets, liabilities and operations are resident or conducted in the U.S., in U.S. dollars.

We have also elected to report our financial results in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") to improve the comparability of our financial information with our peers, who are predominantly U.S. publicly listed companies.

Foreign Currency Exchange Rates

Our consolidated financial position and operating results have been translated to U.S. dollars applying the following foreign currency exchange rates:


                                      2009                              2008
----------------------------------------------------------------------------
               Conso-         Consolidated                      Consolidated
              lidated         Statement of Consolidated         Statement of
              Balance       Operations and      Balance       Operations and
                Sheet Comprehensive Income        Sheet Comprehensive Income
----------------------------------------------------------------------------
                                Cumulative                        Cumulative
              Current   Average    Average      Current Average      Average
----------------------------------------------------------------------------
December 31                                $      0.817         $      0.937
March 31    $   0.794 $   0.803    $ 0.803 $      0.973 $ 0.996 $      0.996
June 30     $   0.860 $   0.857    $ 0.829 $      0.982 $ 0.990 $      0.993



Financial Highlights

(in thousands of U.S. dollars, except per weighted average share or trust
unit amounts, unless otherwise stated)
                     Three months ended June 30    Six months ended June 30
----------------------------------------------------------------------------
                         2009              2008        2009            2008
----------------------------------------------------------------------------
                   (unaudited)       (unaudited) (unaudited)     (unaudited)
----------------------------------------------------------------------------

Operating results
Revenues           $  253,700         $ 277,613  $  477,593  $      520,962
Operating expenses    148,597           168,745     279,774         315,292
Selling, general
 and administrative
 ("SG&A")              32,600            31,881      62,677          60,408
Amortization           41,154            45,658      78,756          88,369
----------------------------------------------------------------------------
Operating income       31,349            31,329      56,386          56,893
Interest on
 long-term debt         8,766            13,015      18,395          26,744
Net loss (gain) on
 sale of capital
 and landfill
 assets                    19              (126)       (115)            (86)
Net foreign
 exchange loss
 (gain)                    93                 1         177            (620)
Net (gain) loss on
 financial
 instruments           (1,701)           (5,485)     (1,171)          3,525
Conversion costs          115                 -         115               -
Other expenses             35                26          65              57
----------------------------------------------------------------------------
Income before
 income taxes          24,022            23,898      38,920          27,273
Income tax expense
 (recovery)             8,917             6,454      14,176          (1,493)
----------------------------------------------------------------------------
Net income         $   15,105         $  17,444  $   24,744  $       28,766
----------------------------------------------------------------------------

Net income per
 weighted average
 share or trust
 unit, basic       $     0.19         $    0.25  $     0.33  $         0.42
Net income per
 weighted average
 share or trust
 unit, diluted     $     0.18         $    0.25  $     0.32  $         0.42
Weighted average
 number of shares
 or trust units
 outstanding
 (thousands), basic    70,809            57,569      65,414          57,569
Weighted average
 number of shares
 or trust units
 outstanding
 (thousands),
 diluted               81,946            68,706      76,551          68,706

Replacement and
 growth
 expenditures
Replacement
 capital and
 landfill purchases
 ("replacement
 expenditures")    $   16,983         $  19,946  $   29,772  $       29,372
Growth capital and
 landfill purchases
 ("growth
 expenditures")        22,234            17,701      29,942          30,130
----------------------------------------------------------------------------
Total replacement
 and growth
 expenditures      $   39,217         $  37,647  $   59,714  $       59,502
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Operating and free
 cash flow(B)
Cash generated
 from operating
 activities        $   66,456         $  56,003  $  116,052  $       99,294
Free cash flow(B)  $   21,476         $  25,115  $   52,100  $       56,668
Free cash flow(B)
 per weighted
 average share or
 trust unit
 outstanding,
 diluted           $     0.26         $    0.37  $     0.68  $         0.82

Dividends and
 distributions
Dividends and
 distributions
 declared (shares
 or trust units)   $   17,495         $  25,908  $   31,014  $       51,965
Dividends declared
 (participating
 preferred shares
 ("PPSs"))              2,381             5,013       4,617          10,055
----------------------------------------------------------------------------
Total dividends
 and distributions
 declared          $   19,876         $  30,921  $   35,631  $       62,020
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Total dividends or
 distributions
 declared per
 weighted average
 share or trust
 unit, diluted     $     0.24         $    0.45  $     0.47  $         0.90

Foreign Currency Exchange Impact on Consolidated Results

The following tables have been prepared to assist readers in assessing the impact of FX on select consolidated results for the three and six months ended June 30, 2009.


----------------------------------------------------------------------------
                                                         Three months ended
----------------------------------------------------------------------------
                  June 30,     June 30,    June 30,    June 30,     June 30,
                     2008         2009        2009        2009         2009
----------------------------------------------------------------------------
               (unaudited)  (unaudited) (unaudited) (unaudited)  (unaudited)
----------------------------------------------------------------------------
                              (organic,
                           acquisition (holding FX
                                   and    constant
                            other non-    with the
                      (as    operating comparative                      (as
                 reported)     changes)     period) (FX impact)    reported)
----------------------------------------------------------------------------

Consolidated
 Statement of
 Operations
Revenues        $ 277,613  $    (9,676) $  267,937  $  (14,237) $   253,700
Operating
 expenses         168,745      (12,813)    155,932      (7,335)     148,597
SG&A               31,881        2,587      34,468      (1,868)      32,600
Amortization       45,658       (2,430)     43,228      (2,074)      41,154
----------------------------------------------------------------------------
Operating
 income            31,329        2,980      34,309      (2,960)      31,349
Interest on
 long-term debt    13,015       (3,880)      9,135        (369)       8,766
Net (gain)
 loss on sale
 of capital and
 landfill
 assets              (126)         147          21          (2)          19
Net foreign
 exchange loss          1           92          93           -           93
Net gain on
 financial
 instruments       (5,485)       3,778      (1,707)          6       (1,701)
Conversion
 costs                  -          138         138         (23)         115
Other expenses         26            9          35           -           35
----------------------------------------------------------------------------
Income before
 income taxes      23,898        2,696      26,594      (2,572)      24,022
----------------------------------------------------------------------------
Net income tax
 expense            6,454        3,358       9,812        (895)       8,917
----------------------------------------------------------------------------
Net income       $ 17,444  $      (662) $   16,782  $   (1,677) $    15,105
----------------------------------------------------------------------------
----------------------------------------------------------------------------

EBITDA(A)        $ 76,987  $       550  $   77,537  $   (5,034) $    72,503
Free cash
 flow(B)         $ 25,114  $      (865) $   24,249  $   (2,773) $    21,476



----------------------------------------------------------------------------
                                                           Six months ended
----------------------------------------------------------------------------
                  June 30,     June 30,    June 30,    June 30,     June 30,
                     2008         2009        2009        2009         2009
----------------------------------------------------------------------------
               (unaudited)  (unaudited) (unaudited) (unaudited)  (unaudited)
----------------------------------------------------------------------------
                              (organic,
                           acquisition (holding FX
                                   and    constant
                            other non-    with the
                      (as    operating comparative                      (as
                 reported)     changes)     period) (FX impact)    reported)
----------------------------------------------------------------------------

Consolidated
 Statement of
 Operations
Revenues        $ 520,962  $   (12,080) $  508,882  $  (31,289) $   477,593
Operating
 expenses         315,292      (19,322)    295,970     (16,196)     279,774
SG&A               60,408        6,572      66,980      (4,303)      62,677
Amortization       88,369       (4,816)     83,553      (4,797)      78,756
----------------------------------------------------------------------------
Operating
 income            56,893        5,486      62,379      (5,993)      56,386
Interest on
 long-term debt    26,744       (7,368)     19,376        (981)      18,395
Net gain on
 sale of
 capital and
 landfill
 assets               (86)         (48)       (134)         19         (115)
Net foreign
 exchange
 (gain) loss         (620)         790         170           7          177
Net loss
 (gain) on
 financial
 instruments        3,525       (4,683)     (1,158)        (13)      (1,171)
Conversion
 costs                  -          138         138         (23)         115
Other expenses         57            8          65           -           65
----------------------------------------------------------------------------
Income before
 income taxes      27,273       16,649      43,922      (5,002)      38,920
----------------------------------------------------------------------------
Net income tax
 expense           (1,493)      17,379      15,886      (1,710)      14,176
----------------------------------------------------------------------------
Net income       $ 28,766  $      (730) $   28,036  $   (3,292) $    24,744
----------------------------------------------------------------------------
----------------------------------------------------------------------------

EBITDA(A)       $ 145,262  $       670  $  145,932  $  (10,790) $   135,142
Free cash
 flow(B)         $ 56,668  $     1,125  $   57,793  $   (5,693) $    52,100

Conversion

Pursuant to the plan of arrangement, the conversion of the BFI Canada Income Fund (the "Fund") trust structure to a corporation resulted in unitholder's of the Fund receiving one common share of BFI Canada Ltd., predecessor to IESI-BFC Ltd. ("IESI-BFC"), for each trust unit held on the effective date of conversion, October 1, 2008. The Class A unit held by IESI Corporation ("IESI") was redeemed by the Fund for ten Canadian dollars and IESI-BFC issued, and IESI subscribed for, 11,137 special voting shares for aggregate cash consideration of ten Canadian dollars. The participating preferred shares ("PPSs") issued by IESI remain outstanding and exchangeable into common shares of IESI-BFC on a one for one basis, instead of trust units of the Fund. These exchanges did not constitute a change of control such that the consolidated financial statements have been prepared applying continuity of interests accounting. With the exception of the December 31, 2008 consolidated balance sheet, the comparative figures presented herein are those of the Fund.

Management's Discussion

(all amounts are in thousands of U.S. dollars, except per share or trust unit, PPS, and foreign currency exchange rate amounts, unless otherwise stated)


Segment Highlights
                                                 Three months ended June 30
----------------------------------------------------------------------------
                 2008        2009        Change         2009         Change
----------------------------------------------------------------------------
                                          (2009
                                        holding                    (2009 as
                                    FX constant                    reported
                         (holding          less                        less
                  (as          FX       2008 as          (as        2008 as
             reported)   constant)     reported)    reported)      reported)
----------------------------------------------------------------------------
Revenues   $  277,613  $  267,937  $     (9,676) $   253,700  $     (23,913)
----------------------------------------------------------------------------
Canada     $   99,807  $  101,425  $      1,618  $    87,188  $     (12,619)
U.S. south $   87,392  $   83,899  $     (3,493) $    83,899  $      (3,493)
U.S.
 northeast $   90,414  $   82,613  $     (7,801) $    82,613  $      (7,801)

Operating
 expenses  $  168,745  $  155,932  $    (12,813) $   148,597  $     (20,148)
----------------------------------------------------------------------------
Canada     $   54,226  $   52,322  $     (1,904) $    44,987  $      (9,239)
U.S. south $   55,798  $   52,015  $     (3,783) $    52,015  $      (3,783)
U.S.
 northeast $   58,721  $   51,595  $     (7,126) $    51,595  $      (7,126)

SG&A       $   31,881  $   34,468  $      2,587  $    32,600  $         719
----------------------------------------------------------------------------
Canada     $   11,693  $   13,485  $      1,792  $    11,617  $         (76)
U.S. south $   10,963  $   11,165  $        202  $    11,165  $         202
U.S.
 northeast $    9,225  $    9,818  $        593  $     9,818  $         593

EBITDA(A)  $   76,987  $   77,537  $        550  $    72,503  $      (4,484)
----------------------------------------------------------------------------
Canada     $   33,888  $   35,618  $      1,730  $    30,584  $      (3,304)
U.S. south $   20,631  $   20,719  $         88  $    20,719  $          88
U.S.
 northeast $   22,468  $   21,200  $     (1,268) $    21,200  $      (1,268)



                                                   Six months ended June 30
----------------------------------------------------------------------------
                 2008        2009        Change         2009         Change
----------------------------------------------------------------------------
                                          (2009
                                        holding                    (2009 as
                                    FX constant                    reported
                         (holding          less                        less
                  (as          FX       2008 as          (as        2008 as
             reported)   constant)     reported)    reported)      reported)
----------------------------------------------------------------------------
Revenues   $  520,962  $  508,882  $    (12,080) $   477,593  $     (43,369)
----------------------------------------------------------------------------
Canada     $  185,225  $  189,460  $      4,235  $   158,171  $     (27,054)
U.S. south $  166,882  $  163,946  $     (2,936) $   163,946  $      (2,936)
U.S.
 northeast $  168,855  $  155,476  $    (13,379) $   155,476  $     (13,379)

Operating
 expenses  $  315,292  $  295,970  $    (19,322) $   279,774  $     (35,518)
----------------------------------------------------------------------------
Canada     $  100,580  $   98,071  $     (2,509) $    81,875  $     (18,705)
U.S. south $  106,990  $   99,837  $     (7,153) $    99,837  $      (7,153)
U.S.
 northeast $  107,722  $   98,062  $     (9,660) $    98,062  $      (9,660)

SG&A       $   60,408  $   66,980  $      6,572  $    62,677  $       2,269
----------------------------------------------------------------------------
Canada     $   21,925  $   26,058  $      4,133  $    21,755  $        (170)
U.S. south $   20,911  $   22,298  $      1,387  $    22,298  $       1,387
U.S.
 northeast $   17,572  $   18,624  $      1,052  $    18,624  $       1,052

EBITDA(A)  $  145,262  $  145,932  $        670  $   135,142  $     (10,120)
----------------------------------------------------------------------------
Canada     $   62,720  $   65,331  $      2,611  $    54,541  $      (8,179)
U.S. south $   38,981  $   41,811  $      2,830  $    41,811  $       2,830
U.S.
 northeast $   43,561  $   38,790  $     (4,771) $    38,790  $      (4,771)



Revenues
Gross revenue by service type
                                                 Three months ended June 30,
                                                                       2009
----------------------------------------------------------------------------

               Canada - stated        Canada -                       U.S. -
                   in Canadian   percentage of                percentage of
                       dollars  gross revenues        U.S.   gross revenues
----------------------------------------------------------------------------

Commercial           $  39,867            33.3% $  46,130              23.8%
Industrial              19,746            16.5%    26,557              13.7%
Residential             15,933            13.3%    38,908              20.1%
Transfer and
 disposal               33,809            28.2%    74,192              38.3%
Recycling and
 other                  10,512             8.7%     8,048               4.1%
----------------------------------------------------------------------------
Gross revenues         119,867           100.0%   193,835             100.0%
Intercompany           (17,477)                   (27,323)
----------------------------------------------------------------------------
Revenues             $ 102,390                  $ 166,512
----------------------------------------------------------------------------
----------------------------------------------------------------------------



                                                   Six months ended June 30,
                                                                       2009
----------------------------------------------------------------------------

               Canada - stated        Canada -                       U.S. -
                   in Canadian   percentage of                percentage of
                       dollars  gross revenues       U.S.    gross revenues
----------------------------------------------------------------------------

Commercial            $ 78,621            36.0%  $ 92,025              24.8%
Industrial              36,776            16.8%    51,662              13.9%
Residential             29,818            13.6%    76,833              20.7%
Transfer and
 disposal               57,651            26.4%   135,696              36.6%
Recycling and
 other                  15,759             7.2%    14,631               4.0%
----------------------------------------------------------------------------
Gross revenues         218,625           100.0%   370,847             100.0%
Intercompany           (27,839)                   (51,425)
----------------------------------------------------------------------------
Revenues             $ 190,786                  $ 319,422
----------------------------------------------------------------------------
----------------------------------------------------------------------------



Gross revenue growth components - expressed in percentages and excluding
foreign currency exchange
                     Three months ended June          Six months ended June
                                    30, 2009                       30, 2009
----------------------------------------------------------------------------
                     Canada              U.S.          Canada           U.S.
----------------------------------------------------------------------------

Price
 Core price             3.3              2.4              3.5           2.6
 Fuel surcharges       (1.1)            (3.0)            (0.8)         (2.1)
 Recycling and other   (0.4)            (2.4)            (0.6)         (2.5)
----------------------------------------------------------------------------
 Total price            1.8             (3.0)             2.1          (2.0)

Volume                 (1.1)            (4.4)            (1.6)         (4.4)
----------------------------------------------------------------------------
Total organic gross
 revenue growth
 (decline)              0.7             (7.4)             0.5          (6.4)

Acquisitions            1.5              2.1              2.5           2.1
----------------------------------------------------------------------------
Total gross revenue
 growth (decline)       2.2             (5.3)             3.0          (4.3)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Three months ended

Excluding the impact of foreign currency exchange, the increase in Canadian segment gross revenues is due principally to core price and acquisition growth. Core price growth includes the recovery of recycling and commodity price declines. The decline in fuel surcharges is due to the comparative decrease in fuel costs while the comparative decline attributable to collected volumes is due principally to lower collected industrial waste.

U.S. south segment gross revenues declined. The comparative decline in fuel surcharges was partially offset by core price growth. The decline in fuel surcharges is due to the comparative decline in fuel costs. Lower construction and demolition volumes also contributed to the decline, partially offset by contributions from acquisitions.

Gross revenues in the U.S. northeast segment declined. Lower industrial collection volumes coupled with lower recycling and other pricing are the primary contributors to the decline. Acquisitions, coupled with core price increases partially offset the aforementioned. The balance of the change is attributable to declining fuel surcharges. We are encouraged that our performance in the U.S. northeast segment has stabilized.

Six months ended

Excluding the impact of foreign currency exchange, the increase in Canadian segment gross revenues attributable to core price, acquisition, and fuel surcharges are consistent with the reasons outlined above for the three months ended. The decline in volumes is due in large part to lower third party waste volumes accepted at our landfills. Recycling and other pricing declines represent the balance of the change.

U.S. south segment gross revenues declined. The comparative year to date decline in fuel surcharges outpaced strong core pricing growth. Lower construction and demolition volumes and recycling and other pricing also contributed to the decline, partially offset by contributions from acquisitions.

Gross revenues in our U.S. northeast segment declined. Lower industrial collection, transfer and disposal volumes and recycling commodity prices contributed to the decline year to date. Acquisitions, coupled with core price increases, partially offset the aforementioned.

Operating expenses

Three months ended

Excluding the impact of foreign currency exchange, the decline in Canadian segment operating expenses is due to lower vehicle operating costs, largely due to a decline in comparative fuel costs. Higher labour expense, due in part to acquisitions, partially offset declines in vehicle operating costs.

Lower fuel costs is the primary reason for our U.S. south segment's decline in operating costs, which was partially offset by higher insurance claims costs. Lower disposal, transportation and vehicle operating costs are the primary reasons for the comparative decline in our U.S. northeast segment. Lower disposal costs are due in large part to the economic slow down in this region, while lower transportation and vehicle operating costs are due to the comparative decline in fuel costs.

Six months ended

Foreign currency exchange is the primary reason for the year to date decline in Canadian segment operating costs. Lower fuel costs also contributed to the decline in Canadian segment operating expenses, partially offset by higher labour expense, due in part to acquisitions.

Year to date our U.S. south segment benefited from lower fuel costs resulting in lower vehicle operating costs. The balance of the change is attributable to higher insurance claims costs. Lower year to date operating costs, for our U.S. northeast segment, are consistent with the reasons outlined above for the three months ended.

SG&A expenses

Three months ended

Canadian segment SG&A expense is largely unchanged. However, the impact of foreign currency exchange was almost entirely offset by higher salaries. Higher salaries are due in part to higher sales staffing levels.

Higher professional fees are the primary reasons for the rise in our U.S. south and northeast segment SG&A expense coupled with higher salary expenses due to higher sales staffing levels.

Six months ended

Changes in SG&A expense, for all segments, are consistent with the reasons outlined above for the three months ended, with the exception of an increase resulting from fair value changes in stock options recorded in our Canadian segment.

Non-controlling interest

With the adoption of FASB's Financial Accounting Standard No. 160, "Non-controlling Interests in Consolidated Financial Statements" ("SFAS 160"), which became effective January 1, 2009, we changed the presentation of non-controlling interests from mezzanine equity to equity on our consolidated balance sheet. Non-controlling interest is no longer deducted in the determination of net income. Instead, net income and each component of other comprehensive (loss) income are attributed to shareholders' equity and non-controlling interest. Adopting this section affects our determination of net income presented in the consolidated statement of operations and comprehensive (loss) income, the presentation of net income and non-controlling interest in the consolidated statement of cash flows, and the presentation of non-controlling interest in the consolidated statement of equity.

Free cash flow (B)

Purpose and objective


Free cash flow (B) - cash flow approach
                Three months ended June 30         Six months ended June 30
----------------------------------------------------------------------------
                2009       2008     Change       2009       2008     Change
----------------------------------------------------------------------------

Cash
 generated
 from
 operating
 activities
 (per the
 statement
 of cash
 flows)     $ 66,456  $  56,003  $  10,453  $ 116,052  $  99,294  $  16,758
----------------------------------------------------------------------------

Operating
Changes in
 non-cash
 working
 capital
 items        (6,324)     6,543    (12,867)    (4,930)    18,769    (23,699)
Capital
 and
 landfill
 asset
 purchases   (39,217)   (37,647)    (1,570)   (59,714)   (59,502)      (212)
Purchase
 of
 restricted
 shares         (172)         -       (172)      (172)         -       (172)
Stock
 option
 expense
 (recovery)      567        376        191        584       (417)     1,001
Conversion
 costs           115          -        115        115          -        115
Other
 expenses         35         26          9         65         57          8

Financing
Financing
 and
 landfill
 development
 costs
 (net of
 non-cash
 portion)        (77)      (188)       111        (77)      (913)       836
Net
 realized
 foreign
 exchange
 loss
 (gain)           93          1         92        177       (620)       797
----------------------------------------------------------------------------
Free cash
 flow(B)    $ 21,476  $  25,114  $  (3,638)  $ 52,100  $  56,668  $  (4,568)
----------------------------------------------------------------------------
----------------------------------------------------------------------------



Free cash flow (B) - EBITDA(A) approach
                  Three months ended June 30       Six months ended June 30
----------------------------------------------------------------------------
                   2009     2008    Change       2009       2008     Change
----------------------------------------------------------------------------

EBITDA(A)      $ 72,503  $76,987  $ (4,484) $ 135,142  $ 145,262  $ (10,120)
----------------------------------------------------------------------------

Restricted
 share expense      359        -       359        691          -        691
Stock option
 expense
 (recovery)         567      376       191        584       (417)     1,001
Purchase of
 restricted
 shares            (172)       -      (172)      (172)         -       (172)
Capital and
 landfill asset
 purchases      (39,217) (37,647)   (1,570)   (59,714)   (59,502)      (212)
Landfill
 closure and
 post-closure
 expenditures    (1,129)    (379)     (750)    (2,355)      (623)    (1,732)
Landfill
 closure and
 post-closure
 cost
 accretion
 expense            775      777        (2)     1,517      1,555        (38)
Interest on
 long-term debt  (8,766) (13,015)    4,249    (18,395)   (26,744)     8,349
Non-cash
 interest
 expense            795    1,030      (235)     1,545      1,973       (428)
Current income
 tax expense     (4,239)  (3,015)   (1,224)    (6,743)    (4,836)    (1,907)
----------------------------------------------------------------------------
Free cash
 flow(B)       $ 21,476  $25,114  $ (3,638)  $ 52,100   $ 56,668  $  (4,568)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Three months ended

Excluding the impact of foreign currency exchange, free cash flow(B) declined comparatively. While we enjoyed increasing EBITDA(A) contributions from our Canadian and U.S. south segments, EBITDA(A) decreased comparatively in the U.S. northeast. On balance, however, EBITDA(A) increased period over period, excluding foreign currency exchange. Contributions from the Canadian and U.S. south segments are attributable to growth through acquisition coupled with declines in vehicle operating costs, driven principally by declines in fuel costs. The decline in U.S. northeast EBITDA(A) contributions is due largely to lower volumes in the region, coupled with lower commodity and other pricing, which is the result of economic weakness. An increase in current income tax expense (excluding foreign currency exchange), coupled with the timing of capital and landfill purchases (excluding foreign currency exchange), is the primary reason for the decline period to period. The increase in current income tax expense is largely attributable to the Canadian segment. The conversion from an income trust to a corporation effectively eliminated the Canadian segments ability to shelter taxable income beyond its available loss carryforwards, which are being eroded at a more vigorous pace since conversion. The timing of contract wins, capital asset purchases to operate an acquired landfill in our U.S. south segment, and working capital adjustments, partially offset by lower growth expenditures in other areas of our business are the primary reasons for our U.S. segment increase in capital and landfill asset purchases period to period. In addition, the timing of landfill closure and post-closure expenditures in our U.S. northeast segment contributed to the comparative increase in spending.

Lower interest on long-term debt (excluding foreign currency exchange) helped soften the aforementioned declines. The decline in interest expense is the result of applying net proceeds from our March and June common share offerings to the repayment of long-term debt coupled with lower dividend levels and lower borrowing costs on variable rate lending in both Canada and the U.S.

Six months ended

For the six months ended, free cash flow(B) increased, excluding the negative impact of foreign currency exchange. An increase in EBITDA(A), excluding foreign currency exchange, coupled with lower interest expense (excluding foreign currency exchange), are the primary reasons for the comparative increase. Higher capital and landfill purchases (excluding foreign currency exchange) and higher current income tax expense (excluding foreign currency exchange), partially offset the higher EBITDA(A) and lower interest expense contributions to free cash flow(B). The reasons for the year to date changes are consistent with those outlined above for the three months ended.

Capital and landfill purchases

Capital and landfill purchases characterized as replacement and growth expenditures are as follows:


                 Three months ended June 30        Six months ended June 30
----------------------------------------------------------------------------
                2009     2008        Change      2009     2008       Change
----------------------------------------------------------------------------

Replacement $ 16,983 $ 19,946 $      (2,963) $ 29,772 $ 29,372 $        400
Growth        22,234   17,701         4,533    29,942   30,130         (188)
----------------------------------------------------------------------------
Total       $ 39,217 $ 37,647 $       1,570  $ 59,714 $ 59,502 $        212
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Capital and landfill purchases - replacement

Capital and landfill purchases characterized as "replacement expenditures", represent cash outlays to sustain current cash flows and are funded from free cash flow(B). Replacement expenditures may include some or all of the following: the replacement of existing capital assets, including vehicles, equipment, containers, compactors, furniture, fixtures and computer equipment. Replacement expenditures also include all landfill construction spending for our operating landfills, which is principally comprised of cell construction.

Three months ended

Excluding the impact of foreign currency exchange, replacement expenditures decreased. Both the Canadian and U.S. segment declines are due in large part to the timing of landfill cell construction with the balance attributable to working capital adjustments.

Six months ended

Excluding the impact of foreign currency exchange, replacement expenditures increased. The increase in Canadian segment expenditures is due almost entirely to the timing of cell construction at our Lachenaie landfill. The reasons for the U.S. segment decline are consistent with the reasons outlined above for the three months ended.

Capital and landfill purchases - growth

Capital and landfill purchases characterized as "growth expenditures", represent cash outlays to generate new or future cash flows and are generally funded from free cash flow(B). Growth expenditures may include some or all of the following: vehicles, equipment, containers, compactors, furniture, fixtures and computer equipment to support new contract wins and organic business growth.

Three months ended

Net of foreign currency exchange, growth expenditures increased. In Canada growth expenditures declined slightly while growth expenditures in the U.S. increased. The primary reason for our U.S. segment increase is due to contract wins, capital asset purchases to operate an acquired landfill in our U.S. south segment, and working capital adjustments, partially offset by lower growth expenditures in other areas of our business.

Six months ended

Net of foreign currency exchange, growth expenditures increased. In Canada growth expenditures declined while growth expenditures in the U.S. increased. The Canadian segment decline is due in large part to capital purchased to service new residential contract wins which commenced in 2008. The reasons for the U.S. segment increase are consistent with the reasons outlined above for the three months ended.

Readers are reminded that revenue, EBITDA(A), and cash flow contributions derived from vehicles, equipment and container growth expenditures will materialize over the assets useful life.

Dividends and Distributions

(all amounts are in thousands of U.S. dollars, except per share or trust unit and PPS amounts)

2009

Our expected regular dividend record and payment dates, and payment amounts, are as follows:


Expected regular dividend (payable quarterly)

                                                                    Dividend
                                                                     amounts
                                                                   per share
                                                                   and PPS -
                                                                   stated in
                                                                    Canadian
Record date                                   Payment date           dollars
----------------------------------------------------------------------------
March 31, 2009                                April 15, 2009       $   0.125
June 30, 2009                                 July 15, 2009            0.125
September 30, 2009                            October 15, 2009         0.125
December 31, 2009                             January 15, 2010         0.125
----------------------------------------------------------------------------
Total                                                              $   0.500
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Our expected special dividend record and payments dates, and payment amounts, payable only in 2009, are as follows:


Expected special dividend schedule (payable quarterly)

                                                                    Dividend
                                                                     amounts
                                                                   per share
                                                                   and PPS -
                                                                   stated in
                                                                    Canadian
Record date                                   Payment date           dollars
----------------------------------------------------------------------------
March 31, 2009                                April 15, 2009       $   0.125
June 30, 2009                                 July 15, 2009            0.125
September 30, 2009                            October 15, 2009         0.125
December 17, 2009                             December 31, 2009        0.125
----------------------------------------------------------------------------
Total                                                              $   0.500
----------------------------------------------------------------------------
----------------------------------------------------------------------------

2008

In 2008, we declared distributions and dividends to trust unit and participating preferred shareholders of record for the three and six month periods ended June 2008 totalling $30,921 and $62,020, respectively. The declarations represented a monthly Canadian dollar ("C$") payout of fifteen point one five cents per trust unit and PPS.

Long-term debt

Summarized details of our long-term debt facilities at June 30, 2009 are as follows:


                                                       Letters of
                                                      credit (not
                                                      reported as
                                                        long-term
                                                      debt on the
                           Available                 Consolidated  Available
                             lending Facility drawn Balance Sheet)  capacity
----------------------------------------------------------------------------
Canadian long-term debt
 facilities - stated in
 Canadian dollars
Senior secured debentures,
 series B                  $  58,000      $  58,000 $           -  $       -
Revolving credit facility  $ 305,000      $ 179,000 $      25,013  $ 100,987

U.S. long-term debt
 facilities - stated in
 U.S. dollars
Term loan                  $ 195,000      $ 195,000 $           -  $       -
Revolving credit facility  $ 588,500      $ 151,715 $     120,097  $ 316,688
IRBs                       $ 104,000      $ 104,000 $           -  $       -

Canadian long-term debt facilities

We drew on our revolving credit facility capacity to repay our C$47,000 senior secured series A debentures which matured on June 26, 2009. Drawing on the revolving credit facility had no impact on our Canadian segments funded debt to EBITDA(A) covenant, as this covenant includes both revolving credit facility drawings and senior secured debenture borrowings. We entered into our fifth amendment to our amended and restated credit facility. The fifth amendment simply recognized the wind-up of the Fund and Ridge Landfill Trust. All significant terms and pricing remained unchanged.

Long-term debt to EBITDA(A)

At June 30, 2009, we are not in default of our Canadian and U.S. long-term debt facility covenants. Readers are reminded that our long-term debt to EBITDA(A) covenants are not subject to foreign currency exchange fluctuations. Holding the foreign currency exchange rate between Canada and the U.S. at parity, results in a long-term debt to EBITDA(A) ratio of 2.28 times. Readers are further reminded that contributions to EBITDA(A) from acquisitions completed within the last twelve months are not included in the foregoing ratio and that we have two revolving credit facilities to support our Canadian and U.S. operations, each of which require financial covenant tests to be prepared independently.

Funded debt to EBITDA(A)

At June 30, 2009, funded long-term debt to EBITDA(A) for Canada and the U.S., as defined and calculated in accordance with the underlying Canadian and U.S. long-term debt facility covenants, is as follows:


                                        June 30, 2009     December 31, 2008
----------------------------------------------------------------------------
                                 Canada           U.S.     Canada       U.S.
----------------------------------------------------------------------------

Funded debt to EBITDA(A)           1.90          2.64        2.10      3.93
Funded debt to EBITDA(A) maximum   2.75          4.00        2.75      4.25

Definitions of EBITDA and free cash flow

(A) All references to "EBITDA" in this press release are to revenues less operating and selling, general and administration expenses on the consolidated statement of operations and comprehensive (loss) income. EBITDA excludes some or all of the following: "amortization, interest on long-term debt, financing costs, net gain or loss on sale of capital and landfill assets, net foreign exchange gain or loss, net gain or loss on financial instruments, conversion costs, other expenses, and income taxes". EBITDA is a term used by us that does not have a standardized meaning prescribed by U.S. GAAP and is therefore unlikely to be comparable to similar measures used by other issuers. EBITDA is a measure of our operating profitability, and by definition, excludes certain items as detailed above. These items are viewed by us as either non-cash (in the case of amortization, net gain or loss on financial instruments, net foreign exchange gain or loss, and deferred income taxes) or non-operating (in the case of interest on long-term debt, net gain or loss on sale of capital and landfill assets, conversion costs, other expenses, and current income taxes). EBITDA is a useful financial and operating metric for us, our Board of Directors, and our lenders, as it represents a starting point in the determination of free cash flow(B). The underlying reasons for exclusion of each item are as follows:

Amortization - as a non-cash item amortization has no impact on the determination of free cash flow (B).

Net foreign exchange gain or loss - as non-cash items, foreign exchange gains or losses have no impact on the determination of free cash flow(B).

Net gain or loss on financial instruments - as non-cash items, gains or losses on financial instruments have no impact on the determination of free cash flow(B).

Income taxes - income taxes are a function of tax laws and rates and are affected by matters which are separate from our daily operations.

EBITDA should not be construed as a measure of income or of cash flows. The reconciling items between EBITDA and net income are detailed in the consolidated statement of operations and comprehensive (loss) income beginning with operating income before amortization and ending with net income.

Forward-looking statements

About IESI-BFC Ltd.

IESI-BFC Ltd., through its subsidiaries, is one of North America's largest full-service waste management companies, providing non-hazardous solid waste collection and landfill disposal services for commercial, industrial, municipal and residential customers in five provinces and ten U.S. states. Its two brands, IESI and BFI Canada, are leaders in their respective markets and serve over 1.8 million customers with vertically integrated collection and disposal assets. The Company's shares are listed on the New York and Toronto Stock Exchanges under the symbol BIN.

To find out more about IESI-BFC Ltd., visit our website at www.iesi-bfc.com.


----------------------------------------------------------------------------
Management will hold a conference call on Wednesday, July 29, 2009, at 5:00
p.m. (ET) to discuss results for the three and six months ended June 30,
2009. To access the call, participants should dial 416-644-3429 or
1-800-594-3790. The conference call will also be webcast live at
www.streetevents.com and www.iesi-bfc.com and subsequently archived on both
websites.

A rebroadcast of the call will be available until midnight on August 12,
2009. To access the rebroadcast, dial 416-640-1917 or 1-877-289-8525 and
quote the reservation number 21310873#.
----------------------------------------------------------------------------



IESI-BFC Ltd. (formerly BFI CANADA LTD.)
Consolidated Balance Sheets
June 30, 2009 (unaudited) and December 31, 2008 (unaudited - stated in
accordance with accounting principles generally accepted in the United
States of America and in thousands of U.S. dollars)
----------------------------------------------------------------------------
                                                         June 30,   December
                                                            2009    31, 2008
----------------------------------------------------------------------------
ASSETS

CURRENT
 Cash and cash equivalents                           $    11,130  $   11,938
 Accounts receivable                                     112,022     107,767
 Other receivables                                           477         228
 Prepaid expenses                                         18,287      19,597
 Restricted cash                                               -          82
----------------------------------------------------------------------------
                                                         141,916     139,612

OTHER RECEIVABLES                                          1,270         394

FUNDED LANDFILL POST-CLOSURE COSTS                         6,943       6,115

INTANGIBLES                                              110,499     119,898

GOODWILL                                                 621,942     617,832

LANDFILL DEVELOPMENT ASSETS                                6,500       8,589

DEFERRED FINANCING COSTS                                   8,988       9,936

CAPITAL ASSETS                                           416,571     408,681

LANDFILL ASSETS                                          650,023     621,862
----------------------------------------------------------------------------
                                                     $ 1,964,652  $1,932,919
----------------------------------------------------------------------------
----------------------------------------------------------------------------

LIABILITIES

CURRENT
 Accounts payable                                    $    53,997  $   54,134
 Accrued charges                                          56,264      55,509
 Dividends payable                                        20,092       2,337
 Income taxes payable                                      5,257       1,387
 Deferred revenues                                        11,894      10,800
 Current portion of long-term debt                             -      38,380
 Landfill closure and post-closure costs                   8,380       7,210
----------------------------------------------------------------------------
                                                         155,884     169,757

LONG-TERM DEBT                                           654,586     835,210

LANDFILL CLOSURE AND POST-CLOSURE COSTS                   63,507      50,857

OTHER LIABILITIES                                         12,316      15,045

DEFERRED INCOME TAXES                                     68,256      64,348
----------------------------------------------------------------------------
                                                         954,549   1,135,217
----------------------------------------------------------------------------

COMMITMENTS AND CONTINGENCIES

EQUITY

NON-CONTROLLING INTEREST                                 230,146     230,452

SHAREHOLDERS' EQUITY                                     779,957     567,250
----------------------------------------------------------------------------
                                                       1,010,103     797,702
----------------------------------------------------------------------------
                                                     $ 1,964,652  $1,932,919
----------------------------------------------------------------------------
----------------------------------------------------------------------------



IESI-BFC Ltd. (formerly BFI CANADA LTD.)
Consolidated Statements of Operations and Comprehensive Income
For the periods ended June 30, 2009 and 2008 (unaudited - stated in
accordance with accounting principles generally accepted in the United
States of America and in thousands of U.S. dollars, except net
income per share or trust unit amounts)
----------------------------------------------------------------------------
                                   Three months ended      Six months ended
----------------------------------------------------------------------------
                                      2009       2008       2009       2008
----------------------------------------------------------------------------
REVENUES                         $ 253,700  $ 277,613  $ 477,593  $ 520,962
EXPENSES
 OPERATING                         148,597    168,745    279,774    315,292
 SELLING, GENERAL AND
  ADMINISTRATION                    32,600     31,881     62,677     60,408
 AMORTIZATION                       41,154     45,658     78,756     88,369
----------------------------------------------------------------------------
OPERATING INCOME                    31,349     31,329     56,386     56,893
INTEREST ON LONG-TERM DEBT           8,766     13,015     18,395     26,744
NET LOSS (GAIN) ON SALE OF
 CAPITAL AND LANDFILL ASSETS            19       (126)      (115)       (86)
NET FOREIGN EXCHANGE LOSS (GAIN)        93          1        177       (620)
NET (GAIN) LOSS ON FINANCIAL
 INSTRUMENTS                        (1,701)    (5,485)    (1,171)     3,525
CONVERSION COSTS                       115          -        115          -
OTHER EXPENSES                          35         26         65         57
----------------------------------------------------------------------------
INCOME BEFORE INCOME TAXES          24,022     23,898     38,920     27,273
INCOME TAX EXPENSE (RECOVERY)
 Current                             4,239      3,015      6,743      4,836
 Deferred                            4,678      3,439      7,433     (6,329)
----------------------------------------------------------------------------
                                     8,917      6,454     14,176     (1,493)
----------------------------------------------------------------------------
NET INCOME                          15,105     17,444     24,744     28,766
----------------------------------------------------------------------------

OTHER COMPREHENSIVE INCOME
 (LOSS)
 Foreign currency translation
  adjustment                        11,792    (11,690)     8,172     40,844
 Commodity swaps designated as
  cash flow hedges, net of tax       1,467          -        353          -
----------------------------------------------------------------------------
COMPREHENSIVE INCOME             $  28,364  $   5,754  $  33,269  $  69,610
----------------------------------------------------------------------------

NET INCOME - CONTROLLING
 INTEREST                        $  13,267  $  14,616  $  21,538  $  24,103
NET INCOME - NON-CONTROLLING
 INTEREST                        $   1,838  $   2,828  $   3,206  $   4,663
COMPREHENSIVE INCOME -
 CONTROLLING INTEREST            $  24,749  $   5,754  $  28,958  $  69,610
COMPREHENSIVE INCOME -
 NON-CONTROLLING INTEREST        $   3,615  $       -  $   4,311  $       -

Net income per weighted average
 share or trust unit, basic      $    0.19  $    0.25  $    0.33  $    0.42
Net income per weighted average
 share or trust unit, diluted    $    0.18  $    0.25  $    0.32  $    0.42
Weighted average number of
 shares or trust units
 outstanding (thousands), basic     70,809     57,569     65,414     57,569
Weighted average number of
 shares or trust units
 outstanding (thousands), diluted   81,946     68,706     76,551     68,706



IESI-BFC Ltd. (formerly BFI CANADA LTD.)
Consolidated Statements of Cash Flows
For the periods ended June 30, 2009 and 2008 (unaudited - stated in
accordance with accounting principles generally accepted in the United
States of America and in thousands of U.S. dollars)
----------------------------------------------------------------------------
                                     Three months ended    Six months ended
                                        2009       2008      2009      2008
NET INFLOW (OUTFLOW) OF CASH RELATED TO THE FOLLOWING ACTIVITIES
OPERATING
 Net income                         $ 15,105  $  17,444  $ 24,744  $ 28,766
 Items not affecting cash
  Restricted share expense               359          -       691         -
  Write-off of landfill development
   assets                                 77        188        77       913
  Accretion of landfill closure and
   post-closure costs                    775        777     1,517     1,555
  Amortization of intangibles          7,275      8,111    14,509    16,113
  Amortization of capital assets      18,693     19,079    37,004    38,297
  Amortization of landfill assets     15,186     18,468    27,243    33,959
  Interest on long-term debt
   (deferred financing costs)            795      1,030     1,545     1,973
  Net loss (gain) on sale of
   capital and landfill assets            19       (126)     (115)      (86)
  Net (gain) loss on financial
   instruments                        (1,701)    (5,485)   (1,171)    3,525
  Deferred income taxes                4,678      3,439     7,433    (6,329)
 Landfill closure and post-closure
  expenditures                        (1,129)      (379)   (2,355)     (623)
 Changes in non-cash working
  capital items                        6,324     (6,543)    4,930   (18,769)
----------------------------------------------------------------------------
Cash generated from operating
 activities                           66,456     56,003   116,052    99,294
----------------------------------------------------------------------------
INVESTING
 Acquisitions                        (20,406)   (35,513)  (20,640)  (54,488)
 Restricted cash withdrawals               -        176        82       790
 Investment in other receivables         (41)         -    (1,278)        -
 Proceeds from other receivables         113        230       225       299
 Funded landfill post-closure
  costs                                 (302)      (198)     (381)     (586)
 Purchase of capital assets          (25,181)   (23,846)  (37,840)  (37,328)
 Purchase of landfill assets         (14,036)   (13,801)  (21,874)  (22,174)
 Proceeds from the sale of capital
  and landfill assets                    188        458     3,603       541
 Investment in landfill
  development assets                    (192)      (678)     (439)   (1,732)
----------------------------------------------------------------------------
Cash utilized in investing
 activities                          (59,857)   (73,172)  (78,542) (114,678)
----------------------------------------------------------------------------
FINANCING
 Payment of deferred financing
  costs                                 (190)      (924)     (498)     (924)
 Proceeds from long-term debt         90,365     79,240   116,774   144,191
 Repayment of long-term debt        (218,423)   (33,432) (346,384)  (63,924)
 Common shares issued, net of
  issue costs                        138,726         (3)  209,684        (3)
 Purchase of restricted shares          (172)         -      (172)        -
 Dividends and distributions paid
  to share or unitholders and
  dividends paid to participating
  preferred shareholders             (16,714)   (30,921)  (18,640)  (62,020)
----------------------------------------------------------------------------
Cash (utilized in) generated from
 financing activities                 (6,408)    13,960   (39,236)   17,320
Effect of foreign currency
 translation on cash and cash
 equivalents                           1,419        257       918      (682)
----------------------------------------------------------------------------
NET CASH INFLOW (OUTFLOW)              1,610     (2,952)     (808)    1,254
----------------------------------------------------------------------------

CASH AND CASH EQUIVALENTS,
 BEGINNING OF PERIOD OR YEAR           9,520     16,107    11,938    11,901
----------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS, END OF
 PERIOD                             $ 11,130  $  13,155  $ 11,130  $ 13,155
----------------------------------------------------------------------------
----------------------------------------------------------------------------

SUPPLEMENTAL CASH FLOW
 INFORMATION:
 Cash and cash equivalents are
  comprised of:
  Cash                              $ 10,046  $  13,138  $ 10,046  $ 13,138
  Cash equivalents                     1,084         17     1,084        17
----------------------------------------------------------------------------
                                    $ 11,130  $  13,155  $ 11,130  $ 13,155
----------------------------------------------------------------------------
----------------------------------------------------------------------------
 Cash paid during the period for:
  Income taxes                      $  2,927  $   8,065   $ 2,562   $ 9,424
  Interest                          $ 10,102  $  11,308  $ 19,613  $ 22,494



IESI-BFC Ltd. (formerly BFI CANADA LTD.)
Consolidated Statements of Equity and Mezzanine Equity
For the three months ended June 30, 2009 and 2008 (unaudited - stated in
accordance with accounting principles generally accepted in the United
States of America and in thousands of U.S. dollars)
----------------------------------------------------------------------------
                              Common Restricted                  Contributed
                              shares     shares  Treasury shares     surplus
----------------------------------------------------------------------------
Balance at March 31,
 2009                      $ 940,582   $ (3,756) $             -       $ 965
Net income
Dividends
Common shares issued
 net of issue
 costs and related
 tax effect                  141,910
Restricted shares
 purchased                                 (172)
Restricted share
 expense                                                                 359
Foreign currency
 translation
 adjustment
Commodity swaps
 designated as
 cash flow hedges,
 net of tax
----------------------------------------------------------------------------
Balance at June 30,
 2009                    $ 1,082,492   $ (3,928) $             -     $ 1,324
----------------------------------------------------------------------------
----------------------------------------------------------------------------

----------------------------------------------------------------------------
                                      Accumulated
                                            other
                                       comprehen-         Non-
                                       sive (loss) controlling
                             Deficit       income     interest       Equity
----------------------------------------------------------------------------
Balance at March 31,
 2009                     $ (212,219)  $  (94,966)   $ 228,912    $ 859,518
Net income                    13,267                     1,838       15,105
Dividends                    (17,495)                   (2,381)     (19,876)
Common shares issued
 net of issue
 costs and related
 tax effect                                                         141,910
Restricted shares
 purchased                                                             (172)
Restricted share
 expense                                                                359
Foreign currency
 translation
 adjustment                                10,219        1,573       11,792
Commodity swaps
 designated as
 cash flow hedges,
 net of tax                                 1,263          204        1,467
----------------------------------------------------------------------------
Balance at June 30,
 2009                     $ (216,447)  $  (83,484)   $ 230,146  $ 1,010,103
----------------------------------------------------------------------------
----------------------------------------------------------------------------



                                                    Accumulated
                                                          other
                              Mezzanine              comprehen-
                                 equity    Deficit    sive loss      Equity
----------------------------------------------------------------------------
Balance at March 31,
 2008                       $ 1,317,494 $ (368,310)  $  (79,478) $ (447,788)
Net income                                  17,444                   17,444
Dividends                                  (30,921)                 (30,921)
Trust units issued
 net of issue costs
 and related tax
 effect                                         (3)                      (3)
Fair value
 adjustments to trust
 units, PPSs and
 treasury units                 104,153   (104,153)                (104,153)
Foreign currency
 translation
 adjustment                      13,868          -      (11,690)    (11,690)
----------------------------------------------------------------------------
Balance at June 30,
 2008                       $ 1,435,515 $ (485,943)  $  (91,168) $ (577,111)
----------------------------------------------------------------------------
----------------------------------------------------------------------------



IESI-BFC Ltd. (formerly BFI CANADA LTD.)
Consolidated Statements of Equity and Mezzanine Equity
For the six months ended June 30, 2009 and 2008 (unaudited - stated in
accordance with accounting principles generally accepted in the United
States of America and in thousands of U.S. dollars)
----------------------------------------------------------------------------
                             Common Restricted                   Contributed
                             shares     shares  Treasury shares      surplus
----------------------------------------------------------------------------
Balance at December
 31, 2008                 $ 868,248   $ (3,756) $             -        $ 633
Net income
Dividends
Common shares issued
 net of issue
 costs and related
 tax effect                 214,244
Restricted shares
 purchased                                (172)
Restricted share
 expense                                                                 691
Common shares
 acquired by U.S.
 long-term incentive
 plan ("LTIP")                                           (1,779)
Deferred
 compensation
 obligation                                               1,779
Foreign currency
 translation
 adjustment
Commodity swaps
 designated as
 cash flow hedges,
 net of tax
----------------------------------------------------------------------------
Balance at June 30,
 2009                   $ 1,082,492   $ (3,928) $             -      $ 1,324
----------------------------------------------------------------------------
----------------------------------------------------------------------------

----------------------------------------------------------------------------
                                      Accumulated
                                            other
                                       comprehen-         Non-
                                       sive (loss) controlling
                             Deficit       income     interest       Equity
----------------------------------------------------------------------------
Balance at December
 31, 2008                 $ (206,971)  $  (90,904)   $ 230,452    $ 797,702
Net income                    21,538                     3,206       24,744
Dividends                    (31,014)                   (4,617)     (35,631)
Common shares issued
 net of issue
 costs and related
 tax effect                                                         214,244
Restricted shares
 purchased                                                             (172)
Restricted share
 expense                                                                691
Common shares
 acquired by U.S.
 long-term incentive
 plan ("LTIP")                                                       (1,779)
Deferred
 compensation
 obligation                                                           1,779
Foreign currency
 translation
 adjustment                                 7,113        1,059        8,172
Commodity swaps
 designated as
 cash flow hedges,
 net of tax                                   307           46          353
----------------------------------------------------------------------------
Balance at June 30,
 2009                     $ (216,447)  $  (83,484)   $ 230,146  $ 1,010,103
----------------------------------------------------------------------------
----------------------------------------------------------------------------



                                                    Accumulated
                                                          other
                                                     comprehen-
                             Mezzanine               sive (loss)
                                equity     Deficit       income      Equity
----------------------------------------------------------------------------
Balance at December
 31, 2007                  $ 1,580,137  $ (547,998)  $ (132,012) $ (680,010)
Net income                                  28,766                   28,766
Dividends                                  (62,020)                 (62,020)
Trust units issued
 net of issue costs
 and related tax
 effect                                         (3)                      (3)
Trust units acquired
 by U.S. LTIP                               (1,996)                  (1,996)
Fair value
 adjustments to trust
 units, PPSs and
 treasury units                (97,308)     97,308                   97,308
Foreign currency
 translation
 adjustment                    (47,314)                  40,844      40,844
----------------------------------------------------------------------------
Balance at June 30,
 2008                      $ 1,435,515  $ (485,943)   $ (91,168) $ (577,111)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Contacts:
IESI-BFI Ltd.Chaya Cooperberg
Director, Investor Relations and Corporate Communications
(416) 401-7729
chaya.cooperberg@bficanada.com