XPEL Sells Canadian Subsidiary Improved Working Capital Position
SAN ANTONIO--(BUSINESS WIRE)--October 2, 2009--XPEL Technologies Corp. (TSXV: DAP.U) announced today that it has sold its Canadian subsidiary, XPEL Canada, to Nuno Ferreira, of Didsbury, Canada.
XPEL’s CEO, Ryan Pape, commented, “The sale of our Canadian subsidiary is a necessary and prudent way to raise cash to satisfy our obligations given the current economic environment where access to the capital markets is exceedingly difficult. This step will immediately improve our working capital position and will lead to other balance sheet improvements over the coming periods.”
XPEL and XPEL Canada will continue to work closely together to support further development of the Canadian marketplace by leveraging XPEL’s growing array ofproducts and services. In addition, XPEL will enter in to a software licensing agreement with XPEL Canada to provide XPEL Canada’s customers with continued access to the Design Access Program software.
The Company will report a loss on the sale in the third quarter. Excluding the loss on the sale, the Company anticipates continued profitability from operations. The transaction is subject to review and has received conditional acceptance from the TSX-Venture Exchange.
XPEL Technologies Corp. is the worldwide leader in the electronic delivery of automotive aftermarket products, utilizing the Internet as an integral component for its design, manufacturing, distribution and customer relationship strategies. The Company's DAP software utility offers Dealers the industry’s most efficient and productive tool set to better serve customers with “best-in-class” solutions in real-time. XPEL has clear advantages over the competition through its expansive proprietary library of installation-friendly paint and headlight protection and window tint products, coupled with a unique web-based remote manufacturing and distribution software, superior installation training curriculum and world-class facilities, with established and growing sales channels.
Certain statements contained herein (“The sale of our Canadian subsidiary is a necessary and prudent way to raise cash to satisfy our obligations in an environment where access to the capital markets is exceedingly difficult. This step will immediately improve our working capital position and will lead to other balance sheet improvements over the coming periods.” and “Excluding the loss on the sale, the Company anticipates continued profitability from operations.”) are considered "forward-looking statements." These statements are based upon the belief of the Company's management, as well as assumptions made beyond information currently available to the Company's management. Because "forward-looking statements" are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause results to differ materially from those expressed or implied by such forward-looking
statements include, but are not limited to, price competition, the inability to obtain additional capital, loss of key personnel, unavailability of leased facilities, technological changes, service interruptions, equipment failures, customer attrition, general economic conditions, relationships with vendors, government supervision and regulation, changes in industry practices, the inability to settle legal disputes, and other factors.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CONTACT:
XPEL Technologies Corp.
Ryan Pape, 210-678-3700
rpape@xpel.com
XPEL Product Dealer Surpasses 11,400 Product Downloads
- Industry-Best Product Designs -
- Designated as 3M Canada's Training Facility of Choice -
SAN ANTONIO, TEXAS, March 10, 2005...XPEL Technologies Corp. (CNQ: XPEL.U) announced today that Shadow Tinting Ltd. (www.shadowtinting.com) of Calgary, Canada, has exceeded 11,400 product cuts utilizing XPEL's proprietary Design Access Program ("DAP"). XPEL's DAP software utility allows Dealers to produce vehicle protection products in real-time, at their own shops or locations, utilizing both the Internet and a common piece of cutting equipment known as a plotter.
Nuno Ferreira, owner of Shadow Tinting Ltd., stated, "Make no mistake about it, the XPEL designs are a significant component to my overall success. I don't have to spend time trying to create my own patterns or products, as XPEL has done that for me. Having XPEL there to do the heavy lifting in terms of design work has made me extremely efficient. Having perfect, computer-generated kits every time, allows me to focus on selling, installing and servicing my accounts. After all, I make my money on the installation and service side of this business, and not on the design side. Hands down, XPEL products are the best in the industry, and their designs are a great asset for my company."
W. Rege Brunner, XPEL's Chairman and CEO, commented, Nuno Ferreira of Shadow Tinting is a great example of the opportunity that awaits all of our product dealers who diligently exercise best installation practices coupled with a superior customer service component. Mr. Ferreira's product installations and customer service activities are often reported to us as being 'top-flight,' and his product sales prove that out."
In addition to being a leading XPEL Dealer, Shadow Tinting Ltd. provides product installation training to other interested dealers and installers, and was recently designated as 3M Canada's Training 'Facility of Choice.'
XPEL Technologies Corp. (www.xpel.com), publicly traded on the Canadian Trading and Quotation System Exchange, is the worldwide leader in the electronic delivery of top automotive aftermarket products, utilizing the Internet as an integral component for its design, manufacturing, distribution and customer relationship strategies. The Company's DAP software utility offers Dealers the industry" most efficient and productive tool set for better serving customers with "best of breed" solutions in real-time. XPEL has clear advantages over the competition through its proprietary corporate framework consisting of an expansive library of installation-friendly window tint, paint and headlight protection products, coupled with a unique web-based remote manufacturing and distribution software, superior installation training curriculum and facilities, coupled with established and growing sales distribution channels.