Note: 200 easyhome employees will gather for the company's annual conference Thursday and Friday, March 8-9. RTO Online will publish daily summaries with photos. Please visit www.rtoonline.com for updates. See photos from recent events here.

Our outlook for 2006 is for continued expansion with 30 new stores, a total revenue growth target of 15-20% and same store revenue growth of 5-7%.
David Ingram, President and CEO

easyhome (EH.TO) announced its results for the fourth quarter and fiscal year ending December 31, 2005. During Q4, revenue increased 15% over last year. For the full year, revenue was up 16.5%. Same store sales rose 6.9% for Q4 and 7.5% for the full year.

During the year, class action litigation was settled for a total cost of $3.1 million. As part of the Court-ordered settlement terms, the Company also agreed to make certain amendments to its rental agreement. These amendments were completed in January, 2006 and the revised agreement was rolled out to all stores on February 1, 2006. On January 27, 2006 the Court-appointed Supervisor of the settlement process was discharged.

On January 19, 2006 the Company opened its first sub-prime financial services centre in one of its Edmonton merchandise leasing locations. The centre offers short-term personal loans in the $1,000 to $5,000 range. Loans are advanced to customers who don't qualify for credit from traditional sources. The Company will test this concept for a minimum period of six months before a decision is made to roll-out the proposition to other merchandise leasing locations within the Company's chain. The test phase will in all likelihood involve the opening of another two or three centers in 2006.

Commenting on the results, David Ingram, President and CEO said, "I am pleased to report that easyhome once again executed on all its key objectives for 2005. We successfully opened 28 new locations, doubling the 14 opened in 2004. Total revenues improved 16.5% building on the growth of 13.3% recorded for 2004. We had targeted same store revenue growth of 7-9% and finished with 7.5%, giving easyhome 51 consecutive months of comparable growth. Fully diluted EPS, when adjusted for the class action settlement in 2005 and the tax credit recorded in the third quarter of 2004, improved from $0.64 to $0.73. Despite the drag from new store losses ($1.2 million in 2005) the Company continues to expand both revenues and earnings which have led to initiating a dividend payment and our second increase since May 2004."

Mr. Ingram added, "The Company experienced a successful Christmas season campaign which concluded in our customer base increasing 17% and units on lease increasing 21% at the end of 2005 compared to 2004. To this end, our outlook for 2006 is for continued expansion with 30 new stores, a total revenue growth target of 15-20% and same store revenue growth of 5-7%. This is consistent with our 3-year plan to grow our store base by a minimum of 15% per year through 2007.

Mr. Ingram concluded, "easyhome staff deserve credit for a solid performance despite the difficulties and challenges presented by the class action settlement. Their resilience and professionalism allowed for a disciplined and efficient conclusion. We look forward to an exciting 2006."

Donald K. Johnson, Chairman of the Board, commented, "In 2005, our objective was to accelerate the Company's expansion program by increasing the number of new store openings, opening additional kiosks in Leon's Furniture stores and planning our first sub-prime financial services center on a test basis. Revenues increased significantly, but, as expected, costs associated with the expansion program have impacted our profits in the short term. The Board's decision to increase our quarterly dividend reflects our confidence in the outlook for future profit growth, our management team, and our strong balance sheet."

Today, the Board of Directors approved a dividend payment of $0.06 per share payable on April 7, 2006 to the holders of common shares of record on the close of business on March 22, 2006.

easyhome Ltd., with 172 locations, is Canada's largest merchandise leasing company and the fourth largest in North America, offering top quality, brand-name household furnishings, appliances and home electronic products to consumers under weekly or monthly leasing agreements. easyhome Ltd. is listed on the TSX under the symbol 'EH'.

Fourth quarter highlights are:

• - Revenue increased $3.7 million, from $23.9 million for the same quarter last year to $27.6 million, or 15.6%.
• - Same store revenue growth (revenue from stores open for the entirety of the comparable periods) of 6.9%.
• - Potential monthly lease revenue gain of $742,000 to $8,258,000.
• - 51 consecutive months of comparable growth.
• - Opened 7 stores, 3 kiosks and entered into 1 licensing arrangement during the quarter.
• - Net income for the quarter was $1.7 million, the same as last year.
• - Diluted earnings per share of $0.17, the same as last year.
• - Diluted eps for the quarter was reduced by $0.05 due to severance costs, losses from stores open less than 12 months and the impact of unusually high professional fees.

Year End highlights are:

• - Revenue increased $14.6 million, from $88.5 million in 2004 to $103.1 million (a record for the Company), or 16.5%.
• - Same store revenue growth of 7.5%.
• - Potential monthly lease revenue gain of $1.1 million to $8,258,000.
• - Opened 23 stores, 4 kiosks and entered into 1 licensing arrangement during the year.
• - Net income (before the after-tax class action settlement costs of $1.9 million) of $7.6 million compared to $6.5 million last year (before the credit to income tax expense of $2.3 million), an increase of $1.1 million, or 17%.
• - Diluted earnings per share of $0.74 compared to $0.64 last year. Both earnings per share amounts are before the above noted adjustments.
• - Diluted eps for the year was reduced by $0.10 due to severance costs, losses from stores open less than 12 months and the impact of unusually high professional fees.