Business
Allen-Vanguard announces restatement of september 30, 2008 consolidated statement of cash flows along with re-filing of its September 30, 2008 MD&A
- Reclassification of three financing related transactions increases reported operating cash flow...
About this update from Verisante Technology, Inc.
[{"type":"text","content":"\n\n\n\n- Reclassification of three financing related transactions increases\n reported operating cash flow without impact to Income Statement or\n Balance Sheet\n- MD&A amended to incorporate restatement, and to voluntarily enhance\n disclosure for SEC\n\n\nOTTAWA, March 10 /CNW Telbec/ - Allen-Vanguard Corporation (the "Company"\nor "Allen-Vanguard") (TSX: VRS) of Ottawa, Canada announced today the\nrestatement of its September 30, 2008 Consolidated Statement of Cash Flows and\nthe re-filing of its September 30, 2008 MD&A. All figures are in Canadian\ndollars and reported in thousands.\n\n\nThe restatement was required to correct the classification of three\ntransactions which, while related to financing activities, are technically\nrequired to be classified instead as cash flows from operating activities\nrather than cash flows from financing activities. The requirement to restate\nwas discovered while the Company was assisting Tailwind Financial Inc. to\nrespond to questions relating to the previously announced merger between the\ncompanies. Allen-Vanguard has also voluntarily added further disclosure in its\nMD&A, unrelated to the reasons for restatement, to assist Tailwind with its\ndisclosure to the SEC and shareholders.\n\n\nThe restatement affects only the Company's September 30, 2008\nConsolidated Statement of Cash Flows and has no impact on prior periods, nor\nis there any impact to the company's Consolidated Balance Sheets and\nConsolidated Statements of Operations.\n\n\nThe restatement of the September 30, 2008 Consolidated Statement of Cash\nFlows results in cash flows from operating activities totaling $40,792, an\nincrease of $14,819 over the previously reported $25,973.\n\n\nThree transactions, totaling $14,819, were identified as needing\nreclassification, all of which were related to financing activities. Deleted\nfrom previously reported cash flows from financing activities and reclassified\nas cash flows from operating activities were:\n\n\n- Issuance of warrants in connection with issuance of senior debt\n facility:\n- Issuance of common stock for payment of senior debt: $5,559\n- Issuance of common stock for payment of compensation related to vendor\n notes settlement: $3,794\n\n\nReclassifying these three transactions to cash flows from operating\nactivities resulted in an ...