Decisive Dividend Corporation Provides Operational Update
Kelowna, British Columbia - TheNewswire - March 27, 2020 - Decisive Dividend Corporation (TSXV:DE) (the "Corporation") today provided an operational update amidst COVID-19 and global oil price uncertainty.
Hawk Machine Works Ltd. ("Hawk"), a subsidiary of the Corporation, has been closely monitoring the impact that the COVID-19 pandemic and recent decline in global oil prices have had on customer activity and has made the difficult but prudent business decision to temporarily suspend plant operations for an initial three week period effective March 28, 2020. All Hawk employees will be temporarily laid off during this period, with the exception of management, sales, quoting and office roles, some of whom are working from home to ensure social distancing. Those roles will continue to work on a reduced work week while continuing Hawk's efforts toward further customer and industry diversification.
This closure will help protect Hawk staff with respect to the COVID-19 pandemic and ensures that its production team is sized for expected activity levels during this period. Hawk's business historically experiences lower demand in the second quarter due to ground thaw in Western Canada and the effect thereof on the oil and gas industry in Western Canada in general. These seasonal factors are expected to be exacerbated this year due to the recent significant decline in oil prices and the ongoing effects of the COVID-19 pandemic.
The Corporation continues to consult with the senior executives of all of its operating subsidiaries on a regular basis with a view to assessing the impact on the Corporation and its operating subsidiaries of COVID-19 and the recent decline in global oil prices. The global response to COVID-19 continues to evolve rapidly and has already had a significant impact on financial markets and the global economy.
The overall impact on the Corporation and its operating subsidiaries will depend on a number of factors, including the extent and duration of the impact of these recent developments on the overall economy, as well as the impact on the customers of its operating subsidiaries and the industries in which they operate.
About Decisive Dividend Corporation
Decisive Dividend Corporation is an acquisition-oriented company, focusing on the manufacturing sector. The Corporation uses a disciplined acquisition strategy to identify already profitable, established companies that have strong management teams, generate steady cash flow, operate in non-cyclical markets, and have opportunity for future growth.
FOR FURTHER INFORMATION PLEASE CONTACT:
Rick Torriero, Chief Financial Officer
#201, 1674 Bertram Street
Kelowna, BC V1Y 9G4
Telephone: (250) 870-9146
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This press release contains forward-looking statements within the meaning of applicable securities laws. All statements other than statements of historical fact contained in this press release are considered forward-looking statements, including without limitation management's expectations, intentions and beliefs concerning the impact of recent developments on the Corporation and its operating businesses. Many of these statements can be identified with words such as "believe", "expects", "will", "intends", "projects", "anticipates", "estimates", "continues" and similar words or the negative thereof. Forward-looking statements are subject to risks, uncertainties and assumptions. Forward-looking statements reflect management's current beliefs and assumptions which are based on information in its possession on the date of this press release. Management believes that the assumptions and expectations reflected in such forward-looking statements are reasonable, there can be no assurance that such assumptions and expectations will provide to be correct. The actual results of the Corporation and its operating subsidiaries could be materially different from those anticipated in the forward-looking statements contained herein as a result of certain risk factors. Such risk factors include but are not limited to the risk factors identified by the Corporation under the heading "Risk Factors" in its latest annual information form and management discussion and analysis, copies of which are available on the Corporation's profile at www.sedar.com, as well as risks associated with COVID-19 and the global response thereto, and the recent decline in oil prices. Such risks include, without limitation, the effect of these recent developments on the business of the customers and suppliers of the Corporation's operating subsidiaries, the ability of such customers and suppliers to assess and mitigate the impacts of these recent developments, and the general impact of these recent developments on the Canadian, U.S. and global economy. Accordingly, readers are cautioned not to place undue reliance on any forward-looking statements contained in this press release.
The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements contained herein are made as at the date hereof and the Corporation does not undertake or assume any obligation to update or revise any such statement to reflect new events or circumstances except as expressly required by applicable securities laws.
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