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K-Bro Announces relocation to new Toronto facility
K-Bro Announces relocation to new Toronto facility K-Bro Announces relocation to n...
About this update from K-bro Linen Inc.
[{"type":"text","content":"\n\n\n\nK-Bro Announces relocation to new Toronto facility\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\nK-Bro Announces relocation to new Toronto facility\nCanada NewsWire\nEDMONTON, Feb. 3, 2016\n\n\n\n(TSX: KBL)\n\n\n\nEDMONTON, Feb. 3, 2016 /CNW/ - K-Bro Linen Inc. (the \"Company\") today announced that it will be relocating to a new state-of-the-art facility in Toronto.  K-Bro has made a long-term commitment for its new expanded Toronto facility with a lease term, including extensions, of up to 30 years.\n\nK-Bro is Toronto's largest hospitality and second largest healthcare linen processor.  Given the scalability of the new facility this will enable K-Bro to more than double its current capacity.  K-Bro's strategy includes significant growth in its healthcare and hospitality volumes, and the additional capacity and the long-term lease enables K-Bro to grow into the excess capacity as opportunities emerge.  \n\nThe total investment in the new facility is projected to be up to $35 million, and K-Bro plans to finance the entire amount from its existing $50 million credit facility.  The Company believes it will achieve significant operating efficiencies at its new plant, which management expects will enable it to compete on an even more cost-effective basis for new healthcare and hospitality volume.  The plant will be located in Mississauga, and the Company expects to complete its transition to the new facility before the end of 2016.\n\n\"We are very pleased to have the opportunity to make this long-term investment in Toronto,\" said Linda McCurdy, President & Chief Executive Officer. \"We believe that there are significant opportunities in Toronto for growth in our healthcare and hospitality volumes.  Our new state-of-the-art plant will provide us with operating efficiencies that will enable us to become even more cost effective, and the additional capacity will give us the ability to grow for years into the future.  We look forward to moving by the end of this year and to serving the many healthcare and hospitality ...