MINNEAPOLIS, MN, Oct. 22 /CNW/ - Further to Rapid Brands Inc.'s (the
"Company") (TSX-V: RAP) press release dated September 5, 2008, the Company is
pleased to announce that its wholly-owned subsidiary, Rapid Refill Corp.
("RRC") has entered into a forbearance agreement with Oregon Ink, LLC,
formerly known as Rapid Refill Ink International, LLC.
Our Chairman, Dan P. White is the controlling member of Oregon Ink, LLC.
The Company's board of directors, other than Dan P. White who abstained from
voting, has approved the forbearance agreement.
Under the terms of the forbearance agreement, Oregon Ink, LLC and its
controlling member Dan P. White, agree to forbear from demanding payments owed
to Oregon Ink, LLC, including any contingent payments and temporarily forbear
from exercising any rights under the security agreement to January 20, 2009,
subject to acceleration in certain limited circumstances.
The Company believes that this forbearance agreement will allow the
Company to conserve its capital resources while further options are
For more information, please see the Company's interim financial
statements and management discussion and analysis which are available on SEDAR
The TSX Venture Exchange Inc. has not reviewed and does not accept
responsibility for the adequacy and accuracy of this release.
Forward Looking Statements
By their very nature, forward-looking statements involve inherent risks
and uncertainties, both general and specific, which give rise to the
possibility that predictions, forecasts, projections and other forward-looking
statements will not be achieved. We caution you not to place undue reliance on
these statements as a number of important factors could cause our actual
results to differ materially from those expressed in such forward-looking
statements. These statements are not a guarantee of future performance and are
subject to risks and uncertainties that could cause actual results to differ
materially including management of market, liquidity and funding and
operational risks, the effects of competition in the markets in which we
operate, the timing and technological advancement of new products introduced
by us or by our competitors, timely development of new products and services,
the impact of changes in laws and enforcement thereof, the strength of the US
economy, our ability to maintain operating service levels, our ability to
manage technology costs and other variable operating expenses and other
factors set forth in reports and other documents filed with the relevant
Canadian securities regulatory authorities from time to time including our
quarterly and annual management discussion and analysis and annual information
form. We caution that the foregoing list of factors that may affect future
results is not exhaustive.
In addition, we have made assumptions in the preparation of this release
including that the operating requirements of our current business will not
materially change necessitating material change to our operating expense
structure. The foregoing assumptions, although considered reasonable by us at
the date of this release, could prove to be inaccurate and consequently our
actual results could differ materially from expectations set out herein. This
assumption covers significant areas, but is not comprehensive in scope. Please
see previously issued documents to provide additional information and details
as well as other potential risks.
About Rapid Brands: Chanhassen, Minnesota-based Rapid Brands Inc.,
through its wholly owned subsidiary Rapid Refill Corp., is a retail franchise
in the multi-billion dollar ink and toner industry. The shares of Rapid Brands
Inc. trade on the TSX Venture Exchange under the stock symbol RAP. For more
information, visit http://www.rapidrefill.com.
For further information:
For further information: Roger Block, Chief Executive Officer, Rapid
Refill, Tel: (877) 880-4465, Email: email@example.com