Health & Fitness
Health and Fitness
Health and Fitness
Wed, October 26, 2011
Tue, October 25, 2011
Pacific Safety Products Inc. Announces New Head Office and Cost Savings
October 25, 2011 18:49 ET
Pacific Safety Products Inc. Announces New Head Office and Cost Savings
ARNPRIOR, ONTARIO--(Marketwire - Oct. 25, 2011) - Pacific Safety Products Inc. ("PSP" or the "Company")(TSX VENTURE:PSP), a leading North American manufacturer of advanced armour and personal protection solutions, today announced that its head office has been co-located at its Arnprior, Ontario manufacturing facility.
In conjunction with the head office relocation, the Company also announced that it has successfully subleased its former head office space in Kanata, Ontario, and has settled a lease obligation for a redundant plant location inherited pursuant to its merger with Zuni Holdings Inc. The Company estimates that it will save approximately $930,000 in rent and common costs over the remaining terms of the two subject leases.
"Having our people physically working together in our Arnprior, Ontario and Dover, Tennessee locations strengthens our culture and makes us more effective. Exiting redundant lease obligations allow us to put the cash savings to work elsewhere in the business to create value", says Chief Executive Officer, Doug Lucky.
About PSP:
The mission statement of Pacific Safety Products Inc. is ...we bring everyday heroes home safely®. PSP is an established industry leader in the production, distribution and sale of high-performance and high-quality safety products for the defence and security market. These products include body armour to protect against ballistic, stab and fragmentation threats, ballistic blankets to reduce blast effects, tactical clothing, and protective products against chemical and biological hazards. PSP is the largest body armour manufacturer in Canada, directly supplying the Canadian Department of National Defence, Federal Government Agencies and major Canadian law enforcement organizations. The Company, through its U.S. subsidiary Sentry Armor Systems Inc., provides body armour products under the GH Armor Systems® brand to U.S. based law enforcement and private security firms. The Company also produces tactical clothing. Pacific Safety Products is a reporting issuer in British Columbia, Alberta and Ontario, Canada and publicly trades under the symbol PSP on the TSX Venture Exchange.
Forward-Looking Information: This news release contains certain statements which may constitute "forward-looking information" within the meaning of applicable securities laws. These statements relate to anticipated or assumed events or results including, without limitation, with respect to the estimated savings in rent and common costs and the Company's objective to utilize those savings to create value elsewhere in the Company. Although the Company believes that the expectations conveyed by the forward-looking information are reasonable based on information currently available to it, these statements are not guarantees and involve a number of risks, uncertainties and assumptions. Many factors could cause results to differ materially from those stated including any potential increases in occupancy costs at the Company's Arnprior and Dover facilities, possible early termination or breach of the sublease at the Company's former Kanata offices and the inability to identify and/or capitalize on opportunities to create value, as well as various other factors which are discussed more fully in the Company's filings with applicable securities regulatory authorities at [ www.sedar.com ]. The Company assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change, except as required by applicable law.
For complete consolidated financial statements with notes and management discussion and analysis, refer to SEDAR ([ www.sedar.com ]).
(1) Adjusted EBITDA consists of earnings before interest expense, income taxes, stock based compensation, amortization, and other one-time charges and gains. PSP believes EBITDA is a useful measure in the evaluation of performance. EBITDA is not a measure recognized under Generally Accepted Accounting Principles ("GAAP") and does not have a standardized meaning as prescribed by GAAP. Therefore, EBITDA may not be comparable to similar measures presented by other entities. Investors are cautioned that EBITDA should not be construed as an alternative to net loss determined in accordance with GAAP.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
