Mission Ready Newsletter | November 2021 Infrastructure Package and Order of Operations
Fellow Shareholders,
Late Friday evening, U.S. Congress passed a bill containing an infrastructure package with $1.2 trillion to be injected into America’s infrastructure.
But how does this affect your Company? The bipartisan infrastructure package includes, notably, a version of the “Make PPE in America Act” co-sponsored by Senator Rob Portman (R-OH) and Senator Gary Peters (D-MI), to help rebuild a domestic supply chain for PPE production and reshore an industrial base of US PPE manufacturers by guaranteeing long-term federal contracts and expanding Berry Amendment requirements for agencies including the Department of Homeland Security (DHS), Health and Human Services (HHS) and Veterans Affairs (V.A.).
The successful passage of the infrastructure package, scheduled to be signed into law in the coming days, also represents a critical step in our nation’s plan to replenish the Strategic National Stockpile by incentivizing our industrial base to create a robust domestic supply chain, fostering long-term investments to expand existing capabilities and maximize capacities knowing that the government will support those investments in its efforts to reinforce the importance of U.S. Made PPE.
The Company is also confident that through more than $500 billion of new investments in infrastructures, including roads, bridges, water, and energy systems, our demonstrated ability to source and deliver products needed when needed, and our host of government contracting vehicles, including our GSA Schedules with critical schedules such 51V: Hardware Store, Home Improvement Center, or Maintenance, Repairs and Operations (MRO), will enable the Company to position itself favorably as a core provider of products and solutions to support the government and its blueprint to rebuilding America.
Friday also marked the announcement of another important step in the Company’s financial progress, through the negotiation of a debt settlement for liabilities previously accrued pending the outcome of this claim and included as part of the Company’s balance sheet. The team successfully negotiated terms that will allow Unifire to repay the principal amount while minimizing the impact on our cash flow and liquidity and, importantly, retain our ability to invest in the future growth of our operations. In simple terms, amortizing the outstanding principal over 60 months with a maturity of 24 months results in a reasonable monthly payment while allowing us to continue improving our working capital and liquidity ratios. We have structured the arrangement to effectively align the collective interests of the Creditors, the Company and our shareholders by ensuring that the financial prosperity of the Company is accretive to all parties in that the Creditor receives payment as agreed during the term, and the Company and its shareholders receive the economic benefit of moving a portion of short-term payables to long-term, while mitigating the need to issue Company shares in connection with the arrangement.
Though it is not our intention or expectation that any portion of the debt settlement amount be paid in shares of the Company, the equity-based security component serves to provide economic value to both the Creditor and Company by introducing a predetermined and mutually agreeable remedial arrangement in the event of a payment default by the Company.
This last year saw us make great strides in building a financially viable and cash flow positive company, making forward progress by significantly reducing liabilities, building solid relationships with our vendors and partners, and allowing us to secure favorable terms, achievements that result in a foundational fortitude to weather storms and help positively position us for what is coming.
While our primary focus remains Government contracts domestically, we have expanded our ability to generate revenues through non-government agencies, mainly commercial customers and we are actively working on bringing the core products we manufacture in-house, as well as the numerous items through our vendor network, to the retail market. This is another step in our vision to build the foundation on principals of business, diversified revenue streams, and a culture that moves Mission Ready forward. I referenced order of operations when sharing the vision for the Company during my first few months, and each step we take in the correct order will build shareholder value, but it takes time. I am grateful for those who have been with the Company for the long haul, and I am excited as we continue to forge new relationships with both retail and institutional investors.
Sincerely,
(Signed “Buck L. Marshall”)
Buck L. Marshall
President, CEO and Director
For further information on Mission Ready Solutions Inc., visit MRSCorp.com or contact:
Investor Relations
T: 1.877.479.7778 – Ext 5
E: MRS-IR@MRSCorp.com
Forward-Looking Information
This newsletter contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “anticipate”, “believe”, “plan”, “expect”, “intend”, “estimate”, “forecast”, “project”, “budget”, “schedule”, “may”, “will”, “could”, “might”, “should” or variations of such words or similar words or expressions. Forward-looking information is based on reasonable assumptions that have been made by Mission Ready Solutions Inc. as at the date of such information and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Mission Ready Solutions Inc. to be materially different from those expressed or implied by such forward-looking information. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Mission Ready Solutions Inc. does not undertake to update any forward-looking information that is included herein, except in accordance with applicable securities laws.