Second Quarter Results : Boralex Announces Increasing Profits
Montréal, May 14, 2002 – For the second quarter ended March 31st 2002, Boralex Inc. (the “Corporation?), posted net earnings totalled of $61.7 million or $2.06 per share, for the second quarter of 2002, as compared to $2.8 million or $0.12 per share for the corresponding period in 2001. For the six month period ended March 31st 2002, net earnings reached $60.3 million or $2.01 per share compared to $4.8 million or $0.21 per share last year. Net earnings for the second quarter and the six month period ended March 31st, 2002 include an unusual pre-tax gain of $70.7 million, principally related to the profit on the sale of assets to Boralex Power Income Fund (the ?Fund?) in which the Corporation retains a 34% interest. After taking into account income taxes related to the unusual gain, the net income from normal operations was $0.12 per share and $0.07 per share respectively for the second quarter and the six month period ended March 31st 2002. This compares to $0.12 and $0.22 for the corresponding periods in the previous year.

Boralex generated revenue from the sale of energy of $32.8 million, an all time record level. This compares to $23.3 million for the corresponding period in 2001. This increase reflects the contribution of the three U.S. power stations that were acquired at the end of the previous fiscal year. For the six month period ended March 31st 2002, revenue totalled $61.8 million as compared to $44.2 million for the corresponding period in 2001.
“Boralex is proud to post these results which are in line with expectations and which reflect the creation of value from the development and sale of the assets sold to the Fund. The creation of the Fund constituted an important step for Boralex, generated an unusual gain and strengthened the Corporation’s balance sheet. We maintain focus on our growth objectives of improving profitability and realizing projects and acquisitions which will allow us to pursue our development”, stated the President and Chief Executive Officer, Mr. Jacques Gauthier.

Distribution of the 2002 Net Earnings
In million of dollars, except per share amount
Quarter ended Six Month period ended
March 31st, 2002 March 31st 20002
$ Per share $ Per share
Unusual Gain 58.1 1.94 58.1 1.94
Operations 3.6 0.12 2.2 0.07
Total $61.7 $2.06 $60.3 $2.01

The Corporation accounted for the sale of certain assets to BPIF on February 20th 2002 and since is recording as income its 34% share in the earnings of BPFI and the related management, operating and maintenance fees. In addition, as a result of this transaction, the Corporation has reduced its indebtedness by $163 million and has $42 million in cash and equivalents on hand as of March 31st 2002.

Project Development
On April 29th 2002, Toronto Hydro Energy Services and Boralex executed a number of agreements including the ?Capacity Sale and Tolling Agreement? which form the basis upon which the proposed joint venture will proceed with the 150 MW natural gas cogeneration power plant in downtown Toronto. The project is now engaged in the environmental permitting process stage to obtain all required permits for the construction of the power station which should be in commercial operation by the middle of 2005. The wind facility in Avignonet Lauragais, France, is now under construction with major equipment on order and should be in commercial operation by the end of 2002.
Boralex operates 11 power stations from biomass, natural gas and hydroelectricity in Quebec, the United States and in France. Also, Boralex Power Income Fund, which is managed by Boralex and in which Boralex holds an important position, operates eight power stations in Quebec from the same sources of fuel. Together, these two entities have nearly 230 employees and have a total installed capacity of 350 MW. Boralex’s stock trades on the Toronto Stock Exchange under the ticker symbol BLX.A and Boralex Power Income Fund’ stock trades under the ticker symbol BPT.UN.

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For further information, please contact:
Mr. Jacques Gauthier
President and Chief Executive Officer
Boralex Inc.
Telephone: (514) 284-9890
Fax: (514) 284-9895
E-mail: jgauthier@cascades.com

Mrs. Carole Villeneuve
Director of Communications
Boralex Inc.
Telephone: (514) 985-1353
Fax: (514) 985-1355
E-mail: cvilleneuve@cascades.com

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