Jer expects to file 2006 financials within 10 days
2007-01-17 18:35 ET - News Release
Mr. Sokhie Puar reports
UPDATE ON THE TRADING HALT OF JER'S COMMON SHARES
Jer Envirotech International Corp. has provided the following update on the status of the trading of its common shares.
In the latter part of 2006, Jer Envirotech Ltd., a wholly owned operating subsidiary of Jer, relocated its offices and, during the process, certain accounting files stored on a key computer were lost. This unfortunate occurrence, combined with recent turnover in accounting staff, left the company in a position where the financials and audit for the year ended August, 2006, could not be completed in a timely manner. A cease trade order was subsequently issued against Jer by the TSX Venture Exchange on Jan. 9, 2007, and trading of the company's common shares were halted pending the filing of its 2006 annual financial statements.
Jer has rectified the situation and has implemented procedures to ensure it cannot occur again. The company expects its financial statements to be completed and filed within the next 10 days, after which it will make application to the appropriate regulatory bodies to lift the cease trade order. Jer's management regrets the delay in the release of its audited financial statements and the resulting trading halt, and apologizes for any inconvenience this event may have caused to its shareholders. Management would also like to stress that the company's business prospects have not been adversely affected by this event.
Update on debt financing reported in Stockwatch on Jan. 9, 2007
On Jan. 9, 2007, Jer announced in Stockwatch a debt financing. The term of the promissory note was for a period of 90 days, expiring March 31, 2007, at an interest rate of 12 per cent, calculated annually. The company has now renegotiated the term to be for a period of just over one year. This loan was provided by an arm's-length, existing shareholder that has been a long-time supporter of the company. The transaction is subject to TSX Venture Exchange approval. |
