TORONTO, Nov. 22, 2012 /CNW/ - Look Communications Inc. ("Look" or the "Corporation") (NEX: LOK.H and LOK.K) today reported its operating and financial results for the year ended August 31, 2012.
Operating and financial highlights included the following:
- The Management Services Agreement between Look and UBS expired on May 19, 2012;
- Management continues to vigorously pursue the claim against certain former directors and certain former officers of Look in connection with the payment of approximately $15.7 million of "restructuring awards", paid to the directors and senior officers named in the claim (or their personal holding companies, as applicable), from the net proceeds of approximately $64.0 million realized by the Corporation on the sale of its spectrum license in 2009. None of the allegations in the Claim have been proven before the Court and none of the defendants have filed a statement of defense;
- Cash and cash equivalents and short-term investments, as at August 31, 2012, totalled $18.2 million, which represents a decrease of $9.4 million from August 31, 2011. This decrease is due primarily to the return of capital of $7.0 million paid to the shareholders during the year, and losses from ongoing operations related primarily to the payment of professional fees;
- Operating expenses before amortizations and restructuring charges for fiscal 2012 totalled $4.5 million, consistent with fiscal 2011; and
- The net loss for the year ended August 31, 2012 was $4.2 million, or a basic loss per share of $0.03.
The Corporation continues to pursue opportunities to realize value from its tax attributes. The Corporation's remaining tax attributes of approximately $166 million may be utilized by the Corporation in its future operations, or may be utilized by a potential acquirer to offset income, provided certain tests are satisfied including those related to change in control.
For further information on Look's financial results, please review the Corporation's consolidated financial statements and management's discussion and analysis of financial condition and results of operations for the years ended August 31, 2012 and 2011.
About Look Communications Inc.
Look's shares are listed on the NEX under the symbols "LOK.H" for Multiple Voting Shares and "LOK.K" for Subordinate Voting Shares. Look's website may be found at www.look.ca.
The corporate information contained in this release includes forward-looking statements regarding future events and the future performance of Look that involve risks and uncertainties that could cause actual results to differ materially. Assumptions used in the preparation of such information, although considered reasonable by Look at the time of preparation, may prove to be incorrect. The actual results achieved may vary from the information provided herein and the variations may be material. Consequently, there is no representation by Look that actual results achieved will be the same in whole or in part as those forecast.
Neither the NEX nor its Regulation Services Provider (as that term is defined in the policies of the NEX) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Look Communications Inc.
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Chief Executive Officer and Director