OTTAWA, May 28, 2013 /CNW/ - Clearford Industries Inc. ("Clearford" or
the "Company"), (TSXV:CLI) today issued its first quarter financial
results for the period ended March 31, 2013. The statements are
presented in accordance with IFRS (all figures in Canadian dollars
unless otherwise noted).
During the quarter Clearford continued to market its patented Small Bore
Sewer (SBS™) based solution focusing primarily on international markets
such as Colombia, India, Peru, the Philippines and the Caribbean.
As a result of these efforts, as previously announced, Clearford signed
its first contract in Colombia and began the implementation of this
contract in May of this year. The implementation of this project and
projects in Peru and India are ongoing. All projects are expected to be
completed in 2013 which will provide the company with reference sites
in three international markets.
During the quarter, as previously announced, the Company's Long Term
Project Financing and Working Capital loan agreement was amended to
increase the available funds under the agreement to $7.2 million at the
end of the quarter. Subsequent to the end of the quarter, as previously
announced, this loan was further amended to increase the facility to
$8.3 million which additional funding has been received in full.
"Construction of the Cayunda project in Colombia is underway and
Clearford is very excited about executing on its first integrated water
infrastructure project," said Clearford CEO and President Kevin
Loiselle, "we believe Cayunda will lead to additional sales of water
infrastructure projects built around our patented Small Bore Sewer".
For the quarter ended March 31, 2013 the Company recorded a net loss
before other comprehensive income of $966,069 or $0.01 per share as
compared to a net loss of $854,018 or $0.01 per share for the prior
year. The Company reported revenue of $71,852, operating expenses of
$851,018 and net financing costs of $113,346 in the current quarter
compared to revenue of $Nil, operating expenses of $835,076, and net
financing costs of $18,942 in the prior year. The increase in loss
relates primarily to the additional financing costs incurred on the
long-term debt negotiated in the first quarter of the prior year.
For the quarter ended March 31, 2013, cash used in operations was
$500,670 compared to cash used in operations of $963,843 for the prior
While Clearford believes that significant and near term opportunities
exist for the Company's solution, there can be no assurance that
customer agreements will be reached or that such agreements will be
profitable should they be implemented.
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
About Clearford Industries Inc.
Clearford Industries Inc. (TSX-V: CLI) is the developer of the patented
Small Bore Sewer ™ (SBS™) based solution, which enables the efficient
collection and treatment of sewage. Superior operational and
environmental performance is achieved at a significantly lower cost
when compared to historic gravity sewers. Clearford's SBS™ technology
and industry expertise provide the enabling platform to deliver, on a
global basis, turnkey, fixed-price wastewater collection, treatment and
energy generation solutions that are ideally suited for water-scarce
regions, those with unreliable water distribution networks, and new
developments seeking a greener approach to water and wastewater
management. For more information on Clearford, please visit www.clearford.com.
Forward Looking Statements
This news release contains certain statements that constitute
forward-looking statements as they relate to the Company and its
management. Forward-looking statements are not historical facts but
represent managements current expectation of future events, and can be
identified by words such as "believe", "expects", "will", "intends",
"plans", "projects", "anticipates", "estimates", "continues" and
similar expressions. Although management believes that the expectations
represented in such forward-looking statements are reasonable, there
can be no assurance that they will prove to be correct.
By their nature, forward-looking statements include assumptions and are
subject to inherent risks and uncertainties that could cause actual
future results, conditions, actions or events to differ materially from
those in the forward-looking statements. If and when forward-looking
statements are set out in this news release, Clearford will also set
out the material risk factors or assumptions used to develop the
forward-looking statements. Except as expressly required by applicable
securities law, the Company assumes no obligation to update or revise
any forward looking statements. The future outcomes that relate to
forward-looking statements may be influenced by many factors,
including, but not limited to: industry cyclicality; the ability to
secure third party agreements; successful integration of Clearford's
system with third party technology; competition; reduction in demand
for products; collection from customers; relationships with suppliers;
product liability; intellectual property; reliance on key personnel;
environmental; interest rates; uninsured and underinsured losses;
operating hazards; risks of future legal proceedings; income tax
matters; credit facilities; availability and terms of financing;
distribution of securities; restrictions on potential growth; effect of
market interest rates on price of securities; and potential dilution.
SOURCE: Clearford Industries Inc.
For further information:
Clearford Industries Inc.
Phone: (613) 762-8402