TORONTO, April 6, 2020 /CNW/ - Baylin Technologies Inc. (TSX: BYL) (the "Company" or "Baylin"), a leading, diversified, global wireless technology company focused on research, design, development, manufacturing and sales of passive and active radio frequency products and services, today announced further cost reduction initiatives it is taking in light of Covid-19 and the timing of the release of its first quarter financial results.
In response to the economic and business challenges brought on by Covid-19, the Company is undergoing a comprehensive assessment of its operations and costs to ensure it remains competitive. In addition to efficiencies implemented in Q4 2019, the Company has implemented a cost saving plan that will reduce expenses by approximately $6.5 million annually, of which approximately one-third of the reduction is expected to be permanent. The plan includes postponing or cancelling discretionary expenditures, reducing travel costs, freezing all non-essential hiring, deferring a portion of senior executives' salaries and temporary layoffs of a number of employees.
The Company will be taking advantage of temporary exemptions announced by Canadian securities administrators to permit reporting issuers to delay the filing of their interim financial reports under section 4.4 of National Instrument 51-102 ("NI 51-102") and management's discussion & analysis under subsection 5.1(2) of NI 51-102 for an additional 45 days from the deadline otherwise applicable. The release of our Q1 2020 earnings is now scheduled to occur after the close of business on Tuesday June 16, 2020 followed by our earnings call with analysts the next morning on June 17. The Company confirms that its management and other insiders are subject to an insider trading black-out policy that reflects the principles in section 9 of National Policy 11-207 and there have been no material business developments since March 11, 2020, the date the audited consolidated financial statements were filed, other than as disclosed in our news release dated March 26, 2020 and in this news release.
The annual and special meeting of shareholders, originally scheduled for May 12, 2020, is being rescheduled and will not be held on that date. We are currently working with our transfer agent to determine a new date for the meeting and will announce the new meeting date as soon as it is available. Mr. David Gelerman, who has been a director of the Company since February 2018, has resigned from the board.
Forward-Looking Statements
This press release includes forward-looking information and forward-looking statements ("forward-looking statements") within the meaning of applicable securities laws. They are not statements of historical fact. Rather, it is disclosure regarding events, conditions, developments or financial performance that we expect or anticipate may or will occur in the future including, among other things, information or statements concerning our objectives and strategies to achieve those objectives, statements with respect to management's beliefs, plans, estimates and intentions and statements concerning anticipated future events, circumstances, expectations, results, operations or performance. Forward-looking statements can be identified generally by the use of forward‑looking terminology, such as "anticipate", "believe", "could" "should", "would", "estimate", "expect", "forecast", "indicate", "intend", "likely, "may", "plan", "potential", "project", "outlook", "seek", "target", "trend" or "will" or the negative or other variations of these words or other comparable words or phrases and is intended to identify forward-looking statements, although not all forward-looking statements contains these words.
The forward-looking statements in this press release include statements regarding the effect on the Company and its subsidiaries of cost cutting initiatives, the amount of cost reductions resulting from those initiatives and the permanent nature of those initiatives. Forward-looking information and statements are based on assumptions and estimates made by us in light of the experience and perception of historical trends, current conditions, expected future developments, including projected growth in the antenna and related industries, and other factors we believe are appropriate and reasonable in the circumstances, but there can be no assurance that such assumptions and estimates will prove to be correct.
Many factors could cause our actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements, including the risk factors discussed in the Company's Annual Information Form dated March 11, 2020 which is available on the Company's profile at www.sedar.com. All the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors in this press release. There can be no assurance that the actual results or developments will be realized or, even if substantially realized, will have the expected consequences to, or effects on, the Company. Unless required by applicable securities law, the Company does not intend and does not assume any obligation to update these forward-looking statements.
About Baylin
Baylin Technologies Inc. is a leading, diversified, global wireless technology company. Baylin focuses on research, design, development, manufacturing and sales of passive and active radio frequency products and services. Baylin aspires to meet its customers' needs and anticipate the direction of the market. For further information, please visit www.baylintech.com or contact Investor Relations: investor.relations@baylintech.com.
SOURCE Baylin Technologies Inc.
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Investor Relations: Kelly Myles, Marketing and Communications Director, Baylin Technologies Inc., kelly.myles@baylintech.comCopyright CNW Group 2020