LE CHÂTEAU POSTPONES ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS
Montréal, October 21, 2020 - Le Château Inc. (TSX VENTURE: CTU) ("Le Château" or the "Company") today announces that it has determined to postpone its annual and special meeting of shareholders originally scheduled to be held at 10:00 a.m. (Montréal Time) on October 22, 2020. The Company will provide further updates in due course.
Le Château is a Canadian specialty retailer and manufacturer of exclusively designed apparel, footwear and accessories for contemporary and style-conscious women and men, with an extensive network of 123 prime locations across Canada and an e-com platform servicing Canada and the U.S.
This news release may contain forward-looking statements relating to the Company and/or the environment in which it operates that are based on the Company's expectations, estimates and forecasts. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict and/or are beyond the Company's control. A number of factors may cause actual outcomes and results to differ materially from those expressed. These factors also include those set forth in other public filings of the Company. Therefore, readers should not place undue reliance on these forward-looking statements. In addition, these forward-looking statements speak only as of the date made and the Company disavows any intention or obligation to update or revise any such statements as a result of any event, circumstance or otherwise except to the extent required under applicable securities law.
The Company's ability to continue as a going concern for the next twelve months involves significant judgment and is dependent on, among other things, its ability to obtain necessary financing, either through an amendment and renewal of its revolving credit facility and refinancing of its subordinated term loan, or from other financing sources; the availability of adequate credit under its revolving credit facility and subordinated term loan; the impact of the COVID-19 pandemic and related government restrictions on the Company's operations and liquidities (including the Company's ability to resume normal operations); if previously negotiated rent concessions prove to be insufficient, the Company's ability to negotiate additional favorable amendments to lease rents and other obligations with major landlords; the Company's ability to improve its sales and generate positive cash flow from operations; and the continued support of its suppliers, landlords and other creditors. There can be no assurance that availability under the existing credit facilities, as amended, or that any alternative source of financing will be sufficient to finance the Company's operations to the maturity date of the credit facilities, that borrowings or alternative sources of financing will be available to the Company or available on acceptable terms, in an amount sufficient to fund the Company's needs or that the Company's suppliers, landlords and other creditors will continue their support of the Company.
Factors which could cause actual results or events to differ materially from current expectations include, among other things: the ability of the Company to continue as a going concern; public health crises & economic downturn; liquidity risks; general economic conditions and normal business uncertainty; the ability of the Company to successfully implement its business initiatives and whether such business initiatives will yield the expected benefits; the ability of the Company to complete the refinancing on acceptable terms and, to the extent applicable, to implement the contingency plan; competitive conditions in the businesses in which the Company participates; changes in consumer spending; seasonality; changes in the Company's relationship with its suppliers; inventory management; extreme changes in weather; lease renewals and obligations; information technology security and loss of customer data; fluctuations in foreign currency exchange rates; interest rate fluctuations and changes in laws, rules and regulations applicable to the Company. The foregoing list of risk factors is not exhaustive and other factors could also adversely affect our results. The risks and uncertainties faced by the Company are substantially the same as those outlined in the annual MD&A for the year ended January 25, 2020, other than as described in note 2 of the interim financial statements.
For further information
Emilia Di Raddo, CPA, CA, President, (514) 738-7000
Johnny Del Ciancio, CPA, CA, Vice-President, Finance, (514) 738-7000
MaisonBrison: Pierre Boucher, (514) 731-0000
Source: Le Château Inc.
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