RE:RE:Fort Collins FacilityThe US location sits empty and requires $75 million CDN to renovate prior to use. Truss is not produced there now - and wont be going forward as its farmed out. The elase payment is a new, additonal expense - so yes, the sale of the facility has an impact. Clown.
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Hexo leased the Belleville facility before - and will continue to lease, BUT what they lost is their 25% share of the rental revenue for the full facility - which also has other tenants. Hexo will continue to pay $12 million in rent - and no longer have the BCI rental income.
Per Hexo's statement, the lousy $10 million they got when they gifted their 25% to Board member Chiaraa - went entriely to February's High debenture payment.
To suggest that you simply 'plunk down' million dollar pieces of equipment in a warehouse and fire them up shows your complete lack of knowledge of a production facility. Do you think they went to Canadian Tire and got some extension cords?
Regardless - I guess if Hexo paid for Truss's machinery - I guess that's why they also wrote off $28 million last quarter for the Truss investment . BUT, the Beleeville facility is more than the Truss section - Hexo operates out there as well - which apparently you don't know.
Aside from the equipment and infrastructure, there are warehouse areas, lunch rooms, wshrooms, offices, shipping/receiving, loading docks - it's iditoic to suggest to yoru fellow investors that the only cost was for equipment.
The US Location and the Belleville facity are now leased, rather than owned. This has no impact on the company producing product from those facilities however it does free up cash for the company to use for other purposes. The millions of dollars that went into Belleville was for the automation equipment to produce drinks at the lowest cost possible.
This equipment was not sold off and is in production today producing product for HEXO Corp