BOUCHERVILLE, QC, Oct. 2, 2014 /CNW Telbec/ - Colabor Group Inc.
(TSX: GCL) ("Colabor" or the "Corporation") announced that it has
entered into an agreement with the Canada Revenue Agency ("CRA")
regarding the CRA's objection to the tax consequences of the
conversion (the "conversion") of Colabor's income trust structure
into a business corporation in August 2009.
The agreement will not give rise to any cash outlay by the
Corporation for taxation years 2009 to 2013, and Colabor will
prepare an overall update of the agreement's impact on its deferred
tax assets and liabilities as part of its management's discussion
and analysis accompanying its financial statements for the third
quarter to be issued on October 21,
2014. The agreement will also result in a non-cash charge in
the consolidated statement of earnings for the third quarter
related to the write-off of certain of the Corporation's deferred
tax assets.
"We've been proactive with the CRA in order to resolve this
issue, and the agreement gives Colabor a highly satisfactory ending
to an important chapter. This means Colabor can concentrate on
pursuing its action plan to step up sales growth, optimize
operating efficiency, promote and drive synergies, and complete
acquisitions that are a good fit with current operations,"
said Claude Gariépy, President and Chief Executive Officer of
Coalbor.
Additional information is available in Colabor's disclosure
filings with securities regulators at www.sedar.com.
FORWARD-LOOKING STATEMENTS
This news release may
contain forward-looking statements reflecting the opinions or
current expectations of Colabor Group Inc. concerning its
performance and business operations and future events. These
statements are subject to risks, uncertainties and assumptions.
Actual results or events may differ.
ABOUT COLABOR
Colabor is a wholesaler and distributor
of food and non-food products serving the foodservice market
(cafeterias, restaurants, hotels, restaurant chains, etc.) in
Québec, Ontario and the Atlantic
provinces, as well as the retail market (grocery stores,
convenience stores, etc.).
SOURCE MaisonBrison Communications