TORONTO, April 3, 2020 /CNW/ - TerraVest Industries Inc., (TSX: TVK) ("TerraVest" or the "Company") announced today in response to the uncertain economic impact of novel coronavirus ("COVID-19") that the Company's Executive and Board Compensation will be adjusted. Effective immediately, base compensation for executive management will be reduced by 20% and the Company's Board of Directors will eliminate board fees for a period of 6 months.
"We are responding to the ongoing COVID-19 pandemic, by reducing head count, management compensation and implementing additional rationalization measures. We are thankful to remain operational during this period by being part of the essential services required for our communities and customers. TerraVest's liquidity remains strong and we are comfortable with our ability to navigate through this unprecedented period." commented Dustin Haw, Chief Executive Officer.
At the present time, the Board of Directors will continue to maintain TerraVest's quarterly dividend.
CLARKE INC. COMPLETES DIVIDEND OF TERRAVEST SHARES
In a separate corporate action, on March 26, 2020, Clarke Inc. ("Clarke") completed the distribution to its shareholders of its previously announced dividend-in-kind of the 5,386,440 shares of TerraVest previously held by Clarke. As a result of this distribution, Clarke no longer holds any TerraVest Shares.
Caution Regarding Forward-Looking Statements
This news release contains forward-looking statements. All statements other than statements of historical fact contained in this news release are forward-looking statements, including, without limitation, statements regarding our strategic direction and evaluation of the business segments and TerraVest as a whole, and other plans and objectives of or involving TerraVest. Readers can identify many of these statements by looking for words such as "expects" and "will" or similar terms or variations of these words. Although management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct.
By their nature, forward-looking statements require us to make assumptions and, accordingly, forward looking statements are subject to inherent risks and uncertainties. There is significant risk that the forward-looking statements will not prove to be accurate. We caution readers of this news release not to place undue reliance on our forward-looking statements because a number of factors may cause actual future circumstances, results, conditions, actions or events to differ materially from the plans, expectations, estimates or intentions expressed in the forward-looking statements and the assumptions underlying the forward-looking statements.
Assumptions and analysis about the performance of TerraVest as a whole and its business segments, the markets in which the business segments compete and the prospects and values of the business segments are considered in setting the business plan for TerraVest, plans and/or ability to pay dividends, outlook for operations, financial position, results and cash flows, other plans and objectives and in making related forward-looking statements. Such assumptions include, without limitation, demand for products and services of the business segments in respect of the Canadian and other markets in which the businesses are active will be stable, and that input costs to business segments do not vary significantly from levels experienced historically. Should any of these factors or assumptions vary, actual results may differ materially from the forward-looking statements.
SOURCE TerraVest Industries Inc.
For further information: Dustin Haw, TerraVest Industries Inc., Chief Executive Officer, (416) 855-1928, [email protected]