[November 08, 2018]

Acasta Enterprises Reports Third Quarter Results

Acasta Enterprises Inc. (TSX: AEF) ("Acasta" or the "Company") today announced its consolidated financial results for the quarter ended September 30, 2018 and provided the following corporate update.

Financial and Operating Highlights

• Acasta's results from continuing operations for the three-month period ended September 30, 2018 included revenues of $45.9 million, a net loss of $3.6 million or $0.06 per share (basic and diluted), an adjusted net loss of $3.7 million or $0.06 per share (basic and diluted) and adjusted EBITDA of $1.0 million compared to revenues of $43.6 million, a net loss of $6.9 million or $0.08 per share (basic and diluted), adjusted net loss of $8.4 million or $0.09 per share (basic and diluted) and adjusted EBITDA of $1.7 million for the three-month period ended September 30, 2017.

Third Quarter 2018 Results Conference Call:

Acasta's senior management will host a conference call on Friday, November 9, 2018 at 9:00 a.m. (Toronto time) to discuss the Company's financial and operating results. Please dial +1 (416) 340- 2217 or toll-free (Canada/US) +1 (800) 806-5484 with passcode 9561089#. To ensure your participation, please join approximately five minutes prior to the scheduled start of the conference call.

The conference call will be available for replay at +1 (905) 694-9451 or toll-free (Canada/US) +1 (800) 408-3053 with passcode 1921051#, expiring on December 14, 2018.

Advisories:

Cautionary Note Concerning Forward-Looking Statements

This news release includes forward-looking statements. All such statements constitute forward-looking information within the meaning of applicable securities law and are made pursuant to the "safe harbour" provisions of applicable securities laws. Forward-looking statements include, but are not limited to, statements about other anticipated future events or results, including comments with respect to Company's future financial performance and condition. Forward-looking statements are statements that are predictive in nature, depend upon or refer to future events or conditions and are identified by words such as "will", "expects", "anticipates", "intends", "plans", "believes", "estimates" or similar expressions concerning matters that are not historical facts. Such statements are based on current expectations of the Company's management and inherently involve numerous risks and uncertainties, known and unknown, including economic factors. The forward-looking information contained in this news release is presented for the purpose of assisting readers in understanding the Company's business and strategic priorities and objectives. A number of risks, uncertainties and other factors may cause actual outcomes or financial results to differ materially from the forward-looking statements contained in this news release, including, among other factors, those referenced in the section entitled "Risk Factors" in the Company's annual information form for the year ended December 31, 2017, a copy of which is available on the SEDAR website at www.sedar.com under the Company's profile. Forward-looking statements contained in this news release are not guarantees of future outcomes performance and, while forward-looking statements are based on certain assumptions that the Company considers reasonable, actual events could differ materially from those expressed or implied by forward-looking statements made by the Company. Readers are cautioned to consider these and other factors carefully when making decisions with respect to the Company and to not place undue reliance on forward-looking statements. Circumstances affecting the Company may change rapidly. Except as may be expressly required by the applicable law, Acasta does not undertake any obligation to update publicly or revise any such forward-looking statements, whether as a result of new information, future events or otherwise. These cautionary statements expressly qualify all forward-looking statements in this new release.

Non-IFRS Financial Performance Measures (Unaudited)

Adjusted net income (loss), EBITDA and adjusted EBITDA are not recognized measures under IFRS and this data may not be comparable to data presented by other companies.

Adjusted net income (loss) is calculated by adjusting net income (loss) as recorded in the unaudited condensed consolidated interim statements of income (loss) and comprehensive income (loss) for the exclusion of certain other income and expense items determined in accordance with IFRS. The Company believes that this generally accepted measure allows the evaluation of the results of continuing operations and is useful in making comparisons between periods. Adjusted net income (loss) is intended to provide investors with information about the Company's continuing income generating capabilities. Management uses this measure to monitor and plan for the operating performance of the Company in conjunction with other data prepared in accordance with IFRS.

EBITDA is calculated by adjusting net income (loss) as recorded in the unaudited condensed consolidated interim statements of income (loss) and comprehensive income (loss) for finance costs, current and deferred income tax, depreciation and amortization expenses. The Company believes that this measure allows the evaluation of the results of continuing operations and is useful in making comparisons between periods. EBITDA is intended to provide investors with information about the Company's continuing income generating capabilities. Management uses this measure to monitor and plan for the operating performance of the Company in conjunction with other data prepared in accordance with IFRS.

Adjusted EBITDA is calculated by adjusting net income (loss) as recorded in the unaudited condensed consolidated interim statements of income (loss) and comprehensive income (loss) for the exclusion of certain other income and expense items determined in accordance with IFRS, being the calculation for adjusted net income (loss) and then further adjusting for finance costs, current and deferred income tax, depreciation and amortization expenses, foreign exchange and impairment charges. The Company believes that this generally accepted measure allows the evaluation of the results of continuing operations and is useful in making comparisons between periods. Adjusted EBITDA is intended to provide investors with information about the Company's continuing income generating capabilities. Management uses this measure to monitor and plan for the operating performance of the Company in conjunction with other data prepared in accordance with IFRS.

ACASTA ENTERPRISES INC.

NON-IFRS FINANCIAL PERFORMANCE MEASURES RECONCILIATION
(In thousands of Canadian dollars, except share and per share amounts)

ACASTA ENTERPRISES INC.

NON-IFRS FINANCIAL PERFORMANCE MEASURES RECONCILIATION (Continued)
(In thousands of Canadian dollars, except share and per share amounts)

^{(1) The dilutive impact of Class B Shares related to the Company's DSU Plan was excluded from the computation of diluted weighted average number of Class B Shares outstanding where the Company reported a net loss or adjusted net loss because their effect would have been anti-dilutive.}

^{(1) The dilutive impact of Class B Shares related to the Company's DSU Plan was excluded from the computation of diluted weighted average number of Class B Shares outstanding where the Company reported a net loss or adjusted net loss because their effect would have been anti-dilutive.}

ACASTA ENTERPRISES INC.

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION
(in thousands of Canadian dollars)

ACASTA ENTERPRISES INC.

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(in thousands of Canadian dollars, except share and per share amounts)

ACASTA ENTERPRISES INC.

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS
(in thousands of Canadian dollars)

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