/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES./
TORONTO, April 25, 2012 /CNW/ - RXT 110 INC. (CNSX: RXT) (the "Company") announced today that it has changed its auditor. Soberman LLP (the "Former Auditor") has resigned effective as of April 24, 2012 and McGovern, Hurley, Cunningham, LLP ("McGovern") has been appointed as auditor. The change of auditor has been approved by the members of the audit committee of the Company and the Board of Directors.
The Former Auditor did not have any reservation in their auditor's reports for the financial statements of the Corporation for the two most recently completed fiscal years or for any period subsequent thereto for which an audit report was issued and preceding the resignation of the Former Auditor. In the opinion of the board of directors of the Corporation, there has been no "reportable event" (as defined in National Instrument 51-102 - Continuous Disclosure Obligations "NI 51-102")) within the two most recently completed fiscal years or for any period subsequent thereto for which an audit report was issued in respect of the Company by the Former Auditor.
All procedures have been followed under NI 51-102 regarding the change of auditor and, as required, a Notice of Change of Auditor, together with the required letters from the Former Auditor and McGovern will be filed via SEDAR with each securities commission in each province that the Company is a reporting issuer.
In addition, in connection with litigation commenced by the Company against MVB Asset Management Inc. ("MVB") and certain of its principals, originally publicly disclosed March 7, 2012, the Company announced today that it has received responding materials from MVB, including a counterclaim against the Company. MVB claims against the Company for breach of contract, unjust enrichment and other causes of action, and is seeking, among other remedies, damages of $10 million, vesting and issuance of certain options in dispute and the issuance of 10 million shares of the Company. The directors consider the counterclaim to be entirely without merit and are reviewing same with litigation counsel. The Company will pursue its claims against MVB and its principals and vigorously defend MVB's counterclaim.
About RXT 110 Inc.
RXT 110 Inc.'s line of retail anti-microbial products will effectively kill mould, bacteria and fungi on contact and prevent re-growth. These products address the demand created by the mounting health and environmental concerns. Mould can affect the immune system, nervous system, liver, kidneys, blood and cause brain damage.
RXT will also manufacture and distribute RXT 110, anti-microbial filler. Calcium Carbonate is one of the most common fillers used industrially. It is susceptible like other fillers that hold moisture to attracting mould. Annual global revenue in the calcium carbonate filler industry approximates 140 billion dollars. RXT 110 Inc. will produce anti-microbial filler that performs 'filling' and 'bulking' functions like calcium carbonate. RXT 110 does not attract moisture and consequently mould infestation. RXT filler with its anti-microbial high ph core in individual particles enhances commercial product life and eradicates a broad spectrum of known bacteria, fungi, algae and other micro - organisms by suppression of their reproduction.
This release may contain forward-looking statements information and statements which constitute "forward-looking information" under Canadian securities law and which may be material regarding, among other things, the Company's beliefs, plans, objectives, estimates, intentions and expectations with respect to its capital and funding plans. Inherent in the forward-looking information and statements are known and unknown risks, uncertainties and other factors beyond the Company's ability to control or predict, which give rise to the possibility that the Company's predictions, forecasts, expectations or conclusions will not prove to be accurate, that its assumptions may not be correct and that the Company's plans, objectives and statements will not be achieved. Actual results or developments may differ materially from those contemplated by the forward-looking information and statements. Consequently, undue reliance should not placed on such forward-looking statements.
On behalf of the Board of Directors of RXT 110 Inc.
The CNSX has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved of the contents of this press release. Neither the CNSX nor its Regulation Services Provider (as such term is defined in the policies of the CNSX) accepts responsibility for the adequacy or accuracy of this release.
For further information:
Bruce Lewis, President & Chief Executive Officer
RXT 110 Inc.
1120 Finch Avenue West, Toronto, Ontario M3J 3H7
(416) 410 2019