Ticker: TSX - TOS
Shares Outstanding: 72,888,182
QUÉBEC CITY, Jan. 15, 2014 /CNW Telbec/ - TSO3 Inc. (TSX: TOS) ("TSO3" or the "Company") an innovator in sterilization technology for medical
devices in healthcare settings, today announced that in an effort to
reduce the current cash burn rate and preserve the Company's cash
resources while it awaits final clearance in the United States for its
primary product, the STERIZONE® 125L+ low temperature Sterilizer, the Company will be conducting a
collective dismissal, as defined by the Labour Standards Commission.
Once this reorganization has been fully implemented, TSO3 will have a substantially smaller workforce.
"Obtaining US regulatory clearance remains the Company's primary
objective. Achieving this objective has taken more time than we had
anticipated. Efforts and investments to further enhance the technology
as well as extend the portfolio of products have been impacted by this
delay. As a result, we have decided to focus all efforts solely on US
market clearance for the time being. Other projects will be suspended
to assure that the Company's current cash resources will be sufficient
until the US clearance is obtained and US commercialization efforts are
underway post clearance." said R.M (Ric) Rumble, President and CEO. The
proposed reorganization forms part of the Company's ongoing strategic
review initiative, which will continue over the coming quarter.
"The Company and US regulatory agency remain active in pursuing
clearance for the STERIZONE 125L+ Sterilizer. This action does not
suggest that we are less confident in the products ability to be
cleared. It does recognize that the timing of such clearance is not
under our control. While we strongly regret that this action impacts
loyal and longstanding TSO3 employees, we believe that this decision is in the best interest of the
remaining employees and shareholders" concluded Mr. Rumble.
TSO3, founded in Québec City in 1998, specializes in the research and
development of innovative, high-performance medical instrument
sterilization technology with high commercial potential. TSO3 designs products for sterile processing areas in the hospital
environment and offers an advantageous replacement solutions to other
low temperature sterilization processes currently used in hospitals.
For more information about TSO3, visit the Company's Web site at www.tso3.com
The statements in this release and oral statements made by
representatives of TSO3 relating to matters that are not historical facts (including, without
limitation, those regarding the timing or outcome of any financing
undertaken by TSO3) are forward-looking statements that involve certain risks,
uncertainties and hypotheses, including, but not limited to, general
business and economic conditions, the condition of the financial
markets, the ability of TSO3 to obtain financing on favourable terms and other risks and
The TSX has neither approved nor disapproved the information contained
herein and accepts no responsibility for it.
Image with caption: "TSO3 Takes Action to Preserve Cash While Awaiting US Regulatory Clearance (CNW Group/TSO3 Inc.)". Image available at: http://photos.newswire.ca/images/download/20140115_C8706_PHOTO_EN_35512.jpg
SOURCE: TSO3 Inc.
For further information:
R.M. (Ric) Rumble
President and CEO
(418) 651-0003, Ext. 254