TORONTO and CALGARY, Aug. 3, 2011 /CNW/ - Canadian Tire Corporation, Limited (TSX: CTC, TSX: CTC.a) ("Canadian Tire") and The Forzani Group Ltd. (TSX:FGL) ("Forzani") announced today that Canadian Tire's wholly-owned subsidiary, FGL AcquisitionCo Limited ("the Offeror"), has received a letter from the Competition Bureau indicating it does not intend to take any action with respect to Canadian Tire's acquisition of all the Class "A" shares ("Common Shares") of Forzani (the "Offer") at this time. The communication from the Competition Bureau enables Canadian Tire to conclude the Forzani transaction.  In addition, Forzani has obtained all other third party consents required by the terms of the Offer.  The Offeror is offering C$26.50 per Common Share in cash. The transaction was announced on May 9.

The Offer is open for acceptance until 5:00 p.m. (EDT) on August 18, 2011, unless further extended, and is conditional upon, among other things, there having been validly deposited (and not withdrawn), together with any Common Shares owned or controlled by the Offeror and its affiliates, at least 66 2/3% of the outstanding Common Shares (on a fully-diluted basis).

"Forzani is an excellent fit with the Canadian Tire family and will extend our reach to include new customers," said Stephen Wetmore, President and Chief Executive Officer of Canadian Tire. "We look forward to closing the acquisition in short order and getting down to work."

Computershare Investor Services Inc. is the depositary for the Offer. Shareholders can obtain copies of the take-over bid circular and related materials at no charge from the depositary at 1-800-564-6253 or by email at corporateactions@computershare.com. The information agent for the Offer is Phoenix Advisory Partners. Inquires should be directed to the information agent toll free at 1-866-793-5520 or inquiries@phoenixadvisorypartners.com. Additional copies of these documents may also be obtained on request from the information agent.

ABOUT CANADIAN TIRE

Canadian Tire Corporation, Limited (TSX:CTC.a) (TSX:CTC) is one of Canada's most-shopped general retailers, offering everyday products and services to Canadians through more than 1,200 retail and gasoline outlets from coast-to-coast. Our primary retail business categories - Automotive, Living, Fixing, Playing and Apparel - are supported and strengthened by our Financial Services division, which offers such products and services as credit cards, retail deposits, in-store financing, product warranties, and insurance. Nearly 57,000 people are employed across the Canadian Tire enterprise, which was founded in 1922 and remains one of Canada's most recognized and trusted brands.

ABOUT THE FORZANI GROUP LTD.

The Forzani Group Ltd. is one of Canada's leading retailers of sporting goods, offering a comprehensive assortment of brand-name and private-brand products, operating stores from coast to coast, under the following corporate and franchise banners: Sport Chek, Sport Mart, Athletes World, National Sports, Sports Experts, Intersport, Atmosphere, Tech Shop, Nevada Bob's Golf, Hockey Experts, The Fitness Source and S3. Forzani also has websites for several of its corporate and franchise banners which can be accessed through its main website at www.forzanigroup.com

Forward-Looking Information:

This press release contains certain statements that may constitute forward-looking information within the meaning of applicable securities laws relating to Canadian Tire, the Offeror, Forzani and their respective operations. This forward-looking information relates to, among other things, the Offer, conditions of the Offer, expected expiry of the Offer and closure of the acqusition. Often, but not always, forward-looking information can be identified by the use of such words as "may", "will", "expect", "believe", "plan", "intend", "estimate", "outlook", "forecast", "should", "anticipate" and other similar terminology, including statements concerning possible or assumed future results. Forward-looking information is based on the reasonable assumptions, analysis and estimates of the management of Canadian Tire and Forzani in respect of their respective experience and perception of trends, current economic conditions and expected developments, as well as other material factors considered to be relevant at the time of making such statements.

By its nature, forward-looking information involves known and unknown risks and uncertainties, which give rise to the possibility that these assumptions, analysis and estimates will be incorrect and that anticipated results will not be achieved. Although the management of both Canadian Tire and Forzani believe that the statements with respect to forward-looking information are reasonable and current, such statements should not be interpreted as a guarantee of future performance or results, and will not necessarily be an accurate indication of whether or not such results will be achieved. Forward-looking information is necessarily subject to a number of factors that may cause actual results to differ materially from those results implied by the expectations suggested by such information. Those factors include, without limitation, the following: the ability to satisfy the conditions of the Offer; delays in closing the Offer; and those risks and uncertainties described in the Annual Information Forms of Canadian Tire and Forzani filed with the securities regulatory authorities in Canada available at www.sedar.com.

When relying on the forward-looking information to make decisions with respect to Canadian Tire or Forzani, investors and others should carefully consider the foregoing factors, but are strongly cautioned that the foregoing list of factors is not exhaustive and other factors could adversely affect the performance of Canadian Tire or Forzani. Investors and other readers are encouraged to consider the foregoing risks and other factors carefully when evaluating the forward-looking information and are cautioned not to place undue reliance upon such information when making investment decisions. The forward-looking information in this press release is current to the date hereof, and is subject to change following such date. While Canadian Tire and/or Forzani may elect to do so, unless required by applicable law, neither undertakes, and each expressly disclaims, any obligation to update this information to reflect new information or circumstances at any particular time.