Market Newsdesk

December 15, 2020 4:18 pm

DAVIDsTEA Reports Third Quarter Fiscal 2020 Financial Results

Announces Executive Appointments

145.5% increase in e-commerce and wholesale sales to $22.1 million
Gross profit of $10.8 million
Adjusted EBITDA of $3.3 million
Cash of $21.9 million at quarter-end
Restructuring activities ongoing and Court order extended until March 19, 2021

MONTREAL, Dec. 15, 2020 (GLOBE NEWSWIRE) — DAVIDsTEA Inc. (Nasdaq:DTEA) (“DAVIDsTEA” or the “Company”), a leading tea merchant in North America, announces its third quarter results for the period ended October 31, 2020. DAVIDsTEA also announces the appointment of Sarah Segal as Chief Executive Officer (CEO), in addition to her position as Chief Brand Officer, and Frank Zitella as President, in addition to his position as Chief Operating Officer and Chief Financial Officer (CFO). Herschel Segal will be stepping down as interim CEO and will remain Chairman of the Board of Directors. Frank Zitella will remain CFO pending the appointment of a new CFO. The appointments of Sarah Segal and Frank Zitella will be effective December 16, 2020.

“Sarah and Frank have demonstrated strong leadership and know-how in the face of the ongoing challenges DAVIDsTEA has faced and have both been instrumental in setting the strategic vision and executing our ongoing transformation into a digital-first organization, better adapted to evolving consumer behaviour. On behalf of the Board, I congratulate them on their well-deserved appointments as DAVIDsTEA embarks on a new and exciting chapter,” stated Herschel Segal, DAVIDsTEA’s Chairman and Founder.

“As one of the leading tea merchants in North America, DAVIDsTEA is on a new path, squarely focused on becoming a more agile organization. I look forward to continuing to work with our talented team as we build a stronger and more focused DAVIDsTEA, and solidify our position as a digital-first, industry leading provider of on-trend, high-quality loose-leaf tea, tea accessories and gifts. Our shift towards e-commerce and wholesale continues to progress above our expectations and our latest results clearly indicate that we are making good progress,” said Sarah Segal.

“With the continued solid momentum in our e-commerce and wholesale channels, combined with the benefits of our restructuring process, adjusted EBITDA was in positive territory for a second consecutive quarter and reached $3.3 million. Sales traction for both channels during the quarter remained strong, translating to more than 145% growth over the prior year. I look forward to continuing to work closely with the management team in place as we position the Company for a sustainable future,” said Frank Zitella.

Operating Results for the Third Quarter of Fiscal 2020

Three Months Ended October 31, 2020 compared to Three Months Ended November 2, 2019

Sales. Sales for the three months ended October 31, 2020 decreased 33.6%, or $13.3 million, to $26.2 million from $39.5 million in the prior year quarter. On March 17, 2020, in response to the COVID-19 pandemic, the Company temporarily closed all its retail stores in Canada and the United States, and subsequently, as part of its formal Restructuring Plan, exited all of its brick and mortar stores except for 18 Canadian stores which were reopened on August 21, 2020. Accordingly, brick and mortar sales for the quarter declined when compared to the prior year quarter by $26.4 million or 86.5% to $4.1 million. Sales from e-commerce and wholesale channels increased by $13.1 million or 145.5% to $22.1 million, from $9.0 million in the prior year quarter. E-commerce and wholesale sales represented 84.3% of sales compared to 22.8% of sales in the prior year quarter.

Gross profit. Gross profit of $10.8 million for the three months ended October 31, 2020 decreased by $10.5 million or 49.3% from the prior year quarter due primarily to a decline in sales during the period. As the Company pivots to a digital-first strategy, the cost of delivery and distribution that is included in arriving at gross profit will compare unfavorably to prior periods that were predominantly focused on retail sales distribution. The significant increase in e-commerce sales resulted in an increase of $4.2 million in delivery and distribution costs, thereby negatively impacting gross profit percentage. As a result, gross profit as a percentage of sales declined to 41.3% for the three-month period ended October 31, 2020 from 54.1% in the prior year quarter. We expect that the increased cost to deliver online purchases will be less than the selling expenses incurred in a brick and mortar environment that have been historically included as part of Selling, general and administration expenses.

Selling, general and administration expenses. Selling, general and administration expenses (SG&A) decreased by $23.6 million or 76.8% to $7.1 million in the three months ended October 31, 2020 from the prior year quarter. Excluding the impact of the $1.4 million wage subsidy received under the Canadian government COVID-19 Economic Response Plan in Fiscal 2020, and the impact in Fiscal 2019 of the impairment of property and equipment and right-of use assets amounting to $2.1 million, Adjusted SG&A decreased by $20.1 million. In connection with our Restructuring Plan, we terminated the leases for all of our stores in North America except for 18 Canadian stores which reopened on August 21, 2020. As a result, wages, salaries and employee benefits were reduced by $12.2 million, and we realized a reduction of $3.8 million in amortization expenses due to a lower right-of-use asset value at the beginning of the period. Adjusted SG&A as a percentage of sales in the quarter decreased to 32.7% from 72.5% in the prior year quarter.

Results from operating activities. Income from operating activities was $14.4 million compared to a loss of $9.3 million in the prior year quarter. Excluding the impact of the Restructuring Plan announced on July 8, 2020, the wage subsidy received from the Canadian government under the COVID-19 Economic Response Plan, the impact of the impairment of property and equipment and right-of-use assets and the loss on disposal of property and equipment, Adjusted results from operating activities amounted to $2.3 million in the three-month period ended October 31, 2020 compared to a loss of $7.3 million in the prior year quarter. This resulting improvement of $9.6 million is explained by a reduction in wages, salaries and employee benefits from stores and head office, amounting to $12.2 million, a reduction of $3.8 million in amortization expense due to a lower right-of-use asset value at the beginning of the period, and a reduction of other brick and mortar selling expenses of $3.5 million, partially offset by the reduction of gross profit of $10.5 million.

Finance costs. Finance costs amounted to almost nil in the three months ended October 31, 2020, a decrease of $1.7 million from the prior year quarter. The interest expense relates to lease liabilities and has decreased slightly from the prior year quarter.

Finance income. Finance income of $0.1 million is derived mainly from interest on cash on hand and has decreased slightly from the prior year quarter.

EBITDA. EBITDA was $15.3 million in the quarter ended October 31, 2020 compared to a negative $4.5 million in the prior year quarter, representing an increase of $19.8 million over the prior year quarter. Adjusted EBITDA for the quarter ended October 31, 2020, which excludes the impact of stock-based compensation expense, Restructuring plan activities, the subsidy received from the Canadian government under the COVID-19 Economic Response Plan, and the impairment of property and equipment and right-of-use assets amounted to $3.3 million compared to negative $2.2 million in the prior year quarter. As the Company pivots to a digital-first strategy, we are seeing an improvement in EBITDA driven from our focus on e-commerce and wholesale channels. In this quarter, EBITDA also improved as a result of a reduced general and administrative infrastructure to support the on-going business.

Net income (loss). Net income was $14.5 million in the quarter ended October 31, 2020 compared to a Net loss of $10.8 million in the prior year quarter. Adjusted net loss, which excludes the Restructuring plan activities, the subsidy received from the Canadian Government under the COVID-19 Economic Response Plan, and the impairment of property and equipment and right-of-use assets amounted to $2.3 million compared to a loss of $8.8 million in the prior year quarter. This $11.1 million improvement is driven by the same reasons mentioned above in “Results from operating activities”.

Fully diluted income (loss) per common share. Fully diluted income per common share was $0.54 compared to a loss of $0.42 in the third quarter of Fiscal 2019. Adjusted fully diluted income per common share, which is adjusted net income (loss) on a fully diluted weighted average shares outstanding basis, was $0.09 per share compared to a loss of $0.34 per share.

Liquidity and Capital Resources

As at October 31, 2020 we had $21.9 million of cash primarily held by major Canadian financial institutions. Working capital was negative $12.2 million as at October 31, 2020, compared to $36.4 million as at February 1, 2020.

Our primary source of liquidity is cash on hand as we have no access to any form of debt financing. Our primary cash needs are to finance working capital and capital expenditures in connection with enhancing the functions and features of our online store. Our working capital requirements are for the purchase of inventory and payment of payroll and other operating costs. Furthermore, in light of implementing the Restructuring Plan, the Company expects to use cash on hand to pay for professional fees and for the settlement of obligations upon acceptance, if any, of a plan of arrangement that will be presented to creditors. Our working capital requirements fluctuate during the year, rising in the second and third fiscal quarters as we take title to increasing quantities of inventory in anticipation of our peak selling season in the fourth fiscal quarter. We fund our capital expenditures and working capital requirements from a combination of cash on hand and cash provided by operating activities.

New Executive Appointment Biographies

Sarah Segal – Chief Executive Officer and Chief Brand Officer

Sarah Segal has most recently served as DAVIDsTEA’s Chief Brand Officer responsible for tea and product development, spearheading the digital transformation and development of new sales channels. From 2012 to 2017, Ms. Segal was a member of the Board of Directors of DAVIDsTEA. Since 2013 and up until her appointment as CEO of DAVIDsTea, Ms. Segal served as CEO of artisanal candy retailer SQUISH Candy, based in Montreal, Quebec, a company she founded. Ms. Segal has a B.A. in Environmental Health from McGill University and a M.Sc. in Water Science, Policy and Management from Oxford University.

Frank Zitella- President and Chief Operating Officer

Frank Zitella has nearly 30 years of experience in finance, strategic planning and governance. Mr. Zitella joined DAVIDsTEA as CFO in December 2018 and was subsequently promoted to the position of Chief Operating Officer in May 2019. Prior to joining DAVIDsTEA, he was CFO of Loop Industries, Inc. (Nasdaq:LOOP). Prior to that and for more than a decade, he served as CFO of DST Health Solutions, a subsidiary of SS&C Technologies Holdings, Inc. (Nasdaq:SSNC). From 1998 to 2006, he was CFO of International Financial Data Services, a joint-venture between SS&C and State Street Bank, where he successfully maximized profitability and top-line growth. Earlier in his career, Frank gained M&A and transaction experience as a senior manager with PricewaterhouseCoopers. He also previously worked as a senior internal auditor for Coca-Cola.

DAVIDsTEA Obtains Amended Court Order under CCAA

On December 15, 2020, the Québec Superior Court extended the previously-announced stay of all proceedings against the Company to March 19, 2021 under the Companies’ Creditors Arrangement Act (Canada).

Condensed Consolidated Financial Data

(Canadian dollars, in thousands, except per share information)


	For the three months ended						For the nine months ended

	October 31,			November 2,			October 31,			November 2,
	2020			2019			2020			2019

Sales	$	26,225		$	39,493		$	81,497		$	122,925
Cost of sales		15,399			18,139			47,409			53,430
Gross profit		10,826			21,354			34,088			69,495
SG&A expenses		7,120			30,670			35,883			90,254
Restructuring plan activities, net		(10,743	)		—			24,017			—
Operating income (loss)		14,449			(9,316	)		(25,812	)		(20,759	)
Finance costs		35			1,699			3,260			5,305
Finance income		(53	)		(185	)		(361	)		(570	)
Net income (loss)	$	14,467		$	(10,830	)	$	(28,711	)	$	(25,494	)


EBITDA¹	$	15,295		$	(4,548	)	$	(19,646	)	$	(6,237	)
Adjusted EBITDA¹		3,304			(2,241	)		4,265			1,387
Adjusted SG&A expenses ¹		8,566			28,619			36,767			83,178
Adjusted operating income (loss) ¹		2,260			(7,265	)		(2,679	)		(13,661	)
Adjusted net income (loss) ¹	$	2,278		$	(8,779	)	$	(5,578	)	$	(18,396	)


Basic income (loss) per common share	$	0.55		$	(0.42	)	$	(1.10	)	$	(0.98	)
Fully diluted income (loss) per common share		0.54			(0.42	)		(1.10	)		(0.98	)
Adjusted fully diluted income (loss) per common share¹	$	0.09		$	(0.34	)	$	(0.21	)	$	(0.71	)
Gross profit as a percentage of sales		41.3	%		54.1	%		41.8	%		56.5	%
SG&A as a percentage of sales		27.1	%		77.7	%		44.0	%		73.4	%
Adjusted SG&A as a percentage of sales¹		32.7	%		72.5	%		45.1	%		67.7	%


Cash (used in) provided by operating activities	$	(12,016	)	$	4,786		$	(19,896	)	$	8,229
Cash used in financing activities		(250	)		(5,711	)		(5,821	)		(17,333	)
Cash (used in) provided by investing activities		(94	)		(756	)		1,304			(4,926)
Decrease in cash during the period		(12,360	)		(1,681	)		(24,413	)		(14,030	)
Cash, end of period	$	21,925		$	28,044		$	21,925		$	28,044

	October 31,			August 1,			February 1,			November 2,
As at	2020			2020			2020			2019
Cash	$	21,925		$	34,285		$	46,338		$	28,044
Accounts receivable		7,669			6,757			6,062			5,430
Prepaid expenses and deposits		13,400			8,476			4,542			6,906
Inventories		26,176			24,354			22,363			32,638
Trade and other payables	$	3,621		$	5,441		$	20,794		$	21,155

________________

¹ Please refer to “Use of Non-IFRS Financial Measures” in this press release.

Use of Non-IFRS Financial Measures

This press release includes “non-IFRS financial measures” defined as including: 1) EBITDA and Adjusted EBITDA, 2) Adjusted operating income (loss), 3) Adjusted SG&A expenses, 4) Adjusted net income (loss), 5) Adjusted fully diluted income (loss) per share and 6) Adjusted SG&A expenses as a percentage of sales. These non-IFRS financial measures are not defined by or in accordance with IFRS and may differ from similar measures reported by other companies. We believe that these non-IFRS financial measures provide knowledgeable investors with useful information with respect to our historical operations. We present these non-IFRS financial measures as supplemental performance measures because we believe they facilitate a comparative assessment of our operating performance relative to our performance based on our results under IFRS, while isolating the effects of some items that vary from period-to-period but not in substitution to IFRS financial measures.

Please refer to the non-IFRS financial measures section in the Management’s Discussion and Analysis section of our Form 10-Q for a reconciliation to IFRS financial measures.

Note

This release should be read in conjunction with the Company’s Management’s Discussion and Analysis, which will be filed by the Company with the Canadian securities regulatory authorities on www.sedar.com and with the U.S. Securities and Exchange Commission on www.sec.gov and will also be available in the Investor Relations section of the Company’s website at www.davidstea.com.

Caution Regarding Forward-Looking Statements

This press release includes statements that express our opinions, expectations, beliefs, plans or assumptions regarding future events or future results and there are, or may be deemed to be, “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 (the “Act”). The following cautionary statements are being made pursuant to the provisions of the Act and with the intention of obtaining the benefits of the “safe harbor” provisions of the Act. These forward-looking statements can generally be identified by the use of forward-looking terminology, including the terms “believes”, “expects”, “may”, “will”, “should”, “approximately”, “intends”, “plans”, “estimates” or “anticipates” or, in each case, their negatives or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts and include statements regarding our intentions, beliefs or current expectations concerning, among other things, our Restructuring Plan, the COVID-19 pandemic, our strategy of transitioning to e-commerce and wholesale sales, future sales through our e-commerce and wholesale channels, future lease liabilities, our results of operations, financial condition, liquidity and prospects, the impact of the COVID-19 pandemic on the global macroeconomic environment, and our ability to avoid the delisting of the Company’s common stock by Nasdaq due to the restructuring or our inability to maintain compliance with Nasdaq listing requirements.

While we believe these opinions and expectations are based on reasonable assumptions, such forward-looking statements are inherently subject to risks, uncertainties and assumptions about us, including the risk factors discussed in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for our fiscal year ended February 1, 2020, and Part II, “Item 1A. Risk Factors” in our Quarterly Report on Form 10-Q for the quarterly periods ended May 2, 2020, August 1, 2020 and October 31, 2020, respectively, filed with both the United States Securities and Exchange Commission and with the Autorité des marchés financiers, which could materially affect our business, financial condition or future results.

Details of the webcast

The Company will host a webcast at 5:00 p.m. Eastern Time to discuss the financial results, via the internet at: www.davidstea.com, in the “investor relations” section.

An online archive of the webcast will be available within two hours of the conclusion of the call and will remain available for 30 days.

About DAVIDsTEA

DAVIDsTEA is a leading branded retailer and growing wholesaler of specialty loose-leaf tea, offering a differentiated selection of proprietary signature blends, single-origin teas, pre-packaged teas, tea sachets and tea-related gifts and accessories primarily through its e-commerce platform at www.davidstea.com. With a focus on innovative flavours, wellness-driven ingredients and organic tea, the Company launches seasonally driven “collections” with a mission of making tea accessible to a wide audience. A selection of DAVIDsTEA products is available in more than 2,500 grocery stores and pharmacies across Canada. The Company also operates 18 retail stores in Canada. The Company is headquartered in Montréal, Canada.

Investor Contact	Media Contact
Maison Brison Communications	PELICAN PR
Pierre Boucher	Lyla Radmanovich
514-731-0000	514-845-8763
[email protected]	[email protected]

December 15, 2020 4:18 pm

National Fuel Gas Company Names Ronald C. Kraemer Chief Operating Officer

John R. Pustulka to Retire March 1, 2021, After 47 Years with the Company

WILLIAMSVILLE, N.Y., Dec. 15, 2020 (GLOBE NEWSWIRE) — Today, National Fuel Gas Company (National Fuel or the Company) (NYSE: NFG) announced that Ronald C. Kraemer, President of National Fuel’s pipeline and storage operations, has been named Chief Operating Officer (COO) of National Fuel, effective March 1, 2021. Kraemer will succeed John R. Pustulka in the role following Pustulka’s intended retirement in March, after 47 years with the energy company.

“Throughout Ron’s extensive career he has been involved in all aspects of the development and expansion of National Fuel’s gathering and interstate pipeline and storage systems,” said David P. Bauer, CEO and President of National Fuel. “He has helped to steer our long-term development plans with his in-depth knowledge and operational experience with the Company’s Appalachian assets and will continue our path of substantial, appropriately paced infrastructure investment and modernization for the future.”

Kraemer will retain both of his existing corporate roles as President of National Fuel Gas Supply Corporation and President of Empire Pipeline, Inc., with responsibilities for the Company’s interstate pipeline and storage subsidiaries. The COO appointment will add various enterprise-wide operational responsibilities to his duties.

Kraemer joined National Fuel in 1978 as a Management Trainee. Throughout his career, he has been employed by various subsidiaries of National Fuel, including National Fuel Gas Distribution Corporation, Horizon Energy Development, and the two pipeline subsidiaries, holding numerous management and executive-level positions in engineering, operations, marketing, business development, and international business development. These companies represent a cross-section of the energy industry including utility, interstate pipeline and storage, international power, and natural gas project development. Before his 2019 appointment to President, Ron was Senior Vice President of Supply Corporation and President of Empire Pipeline. He holds a bachelor’s degree in civil engineering from the University at Buffalo.

National Fuel is an integrated energy company reporting financial results for four operating segments: Exploration and Production, Pipeline and Storage, Gathering, and Utility. Additional information about National Fuel is available at www.nationalfuel.com.

A photo accompanying this announcement is available at: https://www.globenewswire.com/NewsRoom/AttachmentNg/ce36d405-2e39-43b6-9234-1a59bfa43aec

Analyst Contact: Kenneth Webster | 716-857-7067
Media Contact: Karen Merkel | 716-857-7654

December 15, 2020 4:18 pm

State of Florida approves option agreement with Alico to acquire approximately 5,804 acres of Alico Ranch

FORT MYERS, Fla., Dec. 15, 2020 (GLOBE NEWSWIRE) — Alico, Inc. (“Alico” or the “Company”) announces today that the State of Florida approved entering into an option agreement submitted by Alico which grants the State an option to purchase approximately 5,804 acres of Alico Ranch for approximately $14.6 million under the Florida Forever program.

John Kiernan, Alico’s President and Chief Executive Officer, commented, “We are pleased the State of Florida has approved entering into this latest option agreement which grants it an option to purchase approximately 5,804 acres on the west side of the Alico Ranch. The 5,804 acre parcel is considered a primary and secondary zone for the federally endangered Florida panther and can contribute to increased protection of Florida’s biodiversity at the species, natural community, and landscape levels. If the State were to elect to exercise this option, we would expect the closing to occur in the beginning of the third quarter of our 2021 fiscal year. Over the last two years, Alico has sold approximately 16,000 acres of pristine land to the State of Florida for permanent protection under the Florida Forever program. These transactions in aggregate are intended to preserve sensitive lands for Florida’s future, enhance protections for the Florida Panther, and protect the health of the Caloosahatchee River and the Western Everglades Basin.”

Mr. Kiernan continued, “As it has for generations, Alico will continue to support conservation and land management programs on the remaining acres of the Alico Ranch, which are currently leased for recreational hunting and cattle grazing activities.”

About Alico

Alico, Inc. primarily operates two divisions: Alico Citrus, one of the nation’s largest citrus producers, and Alico Land Management and Other Operations, which include environmental services, land leasing and related support operations. Learn more about Alico (Nasdaq: “ALCO”) at www.alicoinc.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are based on Alico’s current expectations about future events and can be identified by terms such as “plans,” “expect,” “may,” “anticipate,” “intend,” “should be,” “will be,” “is likely to,” “believes,” and similar expressions referring to future periods.

Alico believes the expectations reflected in the forward-looking statements are reasonable but cannot guarantee future results, level of activity, performance or achievements. Actual results may differ materially from those expressed or implied in the forward-looking statements. Therefore, Alico cautions you against relying on any of these forward-looking statements. Factors which may cause future outcomes to differ materially from those foreseen in forward-looking statements include, but are not limited to: changes in laws, regulation and rules; weather conditions that affect production, transportation, storage, demand, import and export of fresh product and their by-products; increased pressure from diseases including citrus greening and citrus canker, as well as insects and other pests; disruption of water supplies or changes in water allocations; market pricing of citrus; pricing and supply of raw materials and products; market responses to industry volume pressures; pricing and supply of energy; changes in interest rates; availability of financing for land development activities and other growth and corporate opportunities; onetime events; acquisitions and divestitures; seasonality; labor disruptions; inability to pay debt obligations; inability to engage in certain transactions due to restrictive covenants in debt instruments; government restrictions on land use; changes in agricultural land values; impact of the COVID-19 outbreak and coronavirus pandemic on our agriculture operations, including without limitation demand for product, supply chain, health and availability of our labor force, the labor force of contractors we engage, and the labor force of our competitors; other risks related to the duration and severity of the COVID-19 outbreak and coronavirus pandemic and its impact on Alico’s business; the impact of the COVID-19 outbreak and coronavirus pandemic on the U.S. and global economies and financial markets; access to governmental loans and incentives; any reduction in the public float resulting from repurchases of common stock by Alico; changes in equity awards to employees; whether the Company’s dividend policy, including its recent increased dividend amounts, is continued; expressed desire of certain of our
shareholders
to liquidate their shareholdings by virtue of past market sales of common stock, by sales of common stock or by way of future transactions; political changes and economic crises; competitive actions by other companies; increased competition from international companies; changes in environmental regulations and their impact on farming practices; the land ownership policies of governments; changes in government farm programs and policies and international reaction to such programs; changes in pricing calculations with our customers; fluctuations in the value of the U.S. dollar, interest rates, inflation and deflation rates; length of terms of contracts with customers; and changes in and effects of crop insurance programs, global trade agreements, trade restrictions and tariffs;
the exercise of an option by the State of Florida to purchase approximately 5,804 acres of land from Alico,
and soil conditions, harvest yields, prices for commodities, and crop production expenses. Other risks and uncertainties include those that are described in Alico’s SEC filings, which are available on the SEC’s website at http://www.sec.gov. Alico undertakes no obligation to subsequently update or revise the forward-looking statements made in this press release, except as required by law.

Investor Contact:

Investor Relations
(646) 277-1254
[email protected]

Richard Rallo
Senior Vice President and Chief Financial Officer
(239) 226-2000
[email protected]

December 15, 2020 4:18 pm

Rackspace Technology Announces Final Results of Tender Offer

SAN ANTONIO, Dec. 15, 2020 (GLOBE NEWSWIRE) — Rackspace Technology™ (NASDAQ: RXT) today announced the final results for the previously announced tender offer (the “Tender Offer”) by its wholly owned subsidiary Rackspace Technology Global, Inc. (the “Company”) to purchase for cash any and all of the Company’s outstanding 8.625% Senior Notes due 2024 (the “Notes”). The Tender Offer expired at the end of the day, 12:00 midnight, New York City time on Monday, December 14, 2020 (the “Expiration Time”).

On December 1, 2020, the Company purchased $259,147,000 aggregate principal amount of Notes that were tendered at or prior to 5:00 p.m., New York City time on Monday, November 30, 2020 (the “Early Tender Time”). On December 15, 2020, the Company was advised by Global Bondholder Services Corporation, as Depositary for the Tender Offer, that after the Early Tender Time and at or prior to the Expiration Time, no additional notes were tendered in the Tender Offer.

About Rackspace Technology

Rackspace Technology is a leading end-to-end multicloud technology services company. We design, build and operate our customers’ cloud environments across all major technology platforms, irrespective of technology stack or deployment model. We partner with our customers at every stage of their cloud journey, enabling them to modernize applications, build new products and adopt innovative technologies.

Rackspace Technology Safe Harbor Statement

Some of the statements in this news release constitute “forward-looking statements” that do not directly or exclusively relate to historical facts. The forward-looking statements made in this release reflect the Company’s intentions, plans, expectations, assumptions and beliefs about future events and are subject to risks, uncertainties and other factors, many of which are outside of the Company’s control. Known risks include, among others, the risks included in Rackspace Technology, Inc.’s filings with the U.S. Securities and Exchange Commission. Because actual results could differ materially from the Company’s intentions, plans, expectations, assumptions and beliefs about the future, you are urged to view all forward-looking statements contained in this press release with caution. The Company does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

IR Contact

Joe Crivelli
Rackspace Technology Investor Relations
[email protected]

PR Contact

Natalie Silva
Rackspace Technology Corporate Communications
[email protected]

December 15, 2020 4:16 pm

American Outdoor Brands, Inc. Reports Second Quarter Fiscal 2021 Financial Results

– Net Sales $79.1 Million (+65.7%)

– E-commerce Channel Sales +213.4% — Traditional Channel Sales +34.3%

– Gross Margin 46.9% (+690 Basis Points)

– GAAP EPS $0.52 / Non-GAAP EPS $0.77

– Company Increases FY2021 Guidance

PR Newswire

COLUMBIA, Mo., Dec. 15, 2020 /PRNewswire/ — American Outdoor Brands, Inc. (NASDAQ Global Select: AOUT), an industry leading provider of products and accessories for rugged outdoor enthusiasts, today announced financial results for the second quarter fiscal 2021, ended October 31, 2020.

Second Quarter Fiscal 2021 Financial Highlights

Quarterly net sales were $79.1 million, an increase of $31.4 million, or 65.7%, over net sales of $47.7 million for the comparable quarter last year, driven primarily by increases in both e-commerce and traditional sales channels.
Quarterly gross margin was 46.9%, an increase of 690 basis points, over gross margin of 40.0% for the comparable quarter last year.
Quarterly net income was $7.3 million, or $0.52 per diluted share, compared with a net loss of $393,000, or ($0.03) per diluted share, for the comparable quarter last year.
Quarterly non-GAAP net income was $11.0 million, or $0.77 per diluted share, compared with a non-GAAP net income of $2.8 million, or $0.20 per diluted share, for the comparable quarter last year. GAAP to non-GAAP adjustments for net income exclude costs related to acquired intangible amortization, stock compensation, transition costs, COVID-19 expenses, and other costs.
Quarterly Adjusted EBITDAS was $15.8 million, or 19.9% of net sales, compared with $5.6 million, or 11.7% of net sales, for the comparable quarter last year.

Brian Murphy, President and CEO, said, “We believe our second quarter financial performance demonstrates the diversity and innovation of our brand portfolio as it continues to capture the attention of consumers. As a result, we delivered net sales growth of over 65%, and gross margins expanded by 690 basis points to nearly 47% in the quarter. We believe we’re witnessing a new foundational level of consumer participation in outdoor activities, an interest towards personal protection, and an interest in adjacent home-based hobbies that surround outdoor adventure, creating meaningful, long-term growth potential for our business well beyond 2020. Continued entry into new, larger addressable markets through our ‘Dock & Unlock^TM‘ strategy has begun to bear fruit as our brands progress along their transition from ‘Niche to Known^TM‘.”

Murphy added, “I want to especially thank our employees, who helped us deliver what we consider to be outstanding results this quarter while positioning us for a tremendous first year as a public company. Their efforts, combined with our award-winning products, made it possible for customers to continue exploring their connection with the outdoors during these challenging times.”

Andrew Fulmer, Chief Financial Officer, said, “We ended the quarter with cash of $33.9 million and no borrowings on our $50.0 million senior secured credit facility, which is expandable by an additional $15.0 million under certain conditions. This means that we now have up to nearly $100.0 million in available capital to support organic growth and potential future acquisitions. We believe our Adjusted EBITDAS margin of nearly 20% in the quarter demonstrates that we have designed and built a highly leverageable platform, made possible by earlier investments in our e-commerce and logistics capabilities. These capabilities, combined with customer order activity, which remained strong in the quarter, have allowed us to increase our outlook for the balance of fiscal 2021.”

Outlook

AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
NET SALES, EARNINGS PER SHARE, and ADJUSTED EBITDAS GUIDANCE, INCLUDING GAAP TO NON-GAAP RECONCILIATION (Unaudited)

	Range for the Year Ending April 30, 2021
Net sales (in thousands)	$	235,000	$	245,000

GAAP income per share – diluted	$	0.52	$	0.70
Amortization of acquired intangible assets		1.13		1.13
Stock compensation		0.19		0.19
COVID-19 expenses		0.02		0.02
Transition costs		0.02		0.02
Related party interest income		(0.03)		(0.03)
Tax effect of non-GAAP adjustments		(0.36)		(0.36)
Non-GAAP income per share – diluted	$	1.49	$	1.67
Non-GAAP Adjusted EBITDAS (in thousands)	$	34,000	$	36,000

The company is not providing a quantitative reconciliation of Non-GAAP Adjusted EBITDAS guidance in reliance on the “unreasonable efforts” exception for forward-looking non-GAAP measures set forth in SEC rules because certain financial information, the probable significance of which cannot be determined, is not available and cannot be reasonably estimated without unreasonable effort and expense. In this regard, the company does not provide a reconciliation of forward-looking Non-GAAP Adjusted EBITDAS to GAAP net income, due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation. Because certain deductions for non-GAAP exclusions used to calculate projected GAAP net income may vary significantly based on actual events, including variations in acquired intangible asset amortization and stock compensation expense, the company is not able to forecast on a GAAP basis with reasonable certainty all deductions needed in order to provide a GAAP calculation of projected net income at this time. The amounts of these deductions may be material and, therefore, could result in projected GAAP net income being materially less than is indicated by projected Non-GAAP Adjusted EBITDAS.

Conference Call and Webcast

The company will host a conference call and webcast today, December 15, 2020, to discuss its second quarter fiscal 2021 financial and operational results. Speakers on the conference call will include Brian Murphy, President and Chief Executive Officer, and Andrew Fulmer, Chief Financial Officer. The conference call may include forward-looking statements and a discussion of non-GAAP financial measures. The conference call and webcast will begin at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time). Those interested in listening to the conference call via telephone may call directly at (833) 570-1129 and reference conference identification number 8988032. No RSVP is necessary. The conference call audio webcast can also be accessed live on the company’s website at www.aob.com, under the Investor Relations section.

Reconciliation of U.S. GAAP to Non-GAAP Financial Measures

In this press release, certain non-GAAP financial measures, including “non-GAAP net income,” “non-GAAP income per share diluted,” and “Adjusted EBITDAS” are presented. A reconciliation of these and other non-GAAP financial measures are contained at the end of this press release. A reconciliation of projected Non-GAAP income per share diluted is contained under the “Outlook” section of this press release. From time-to-time, the company considers and uses these non-GAAP financial measures as supplemental measures of operating performance in order to provide the reader with an improved understanding of underlying performance trends. The company believes it is useful for itself and the reader to review, as applicable, both (1) GAAP measures that include (i) amortization of acquired intangible assets, (ii) stock compensation, (iii) transition costs, (iv) COVID-19 expenses, (v) the tax effect of non-GAAP adjustments, (vi) income tax expense/(benefit), (vii) depreciation and amortization, and (viii) related party interest income; and (2) the non-GAAP measures that exclude such information. The company presents these non-GAAP measures because it considers them an important supplemental measure of its performance and believes the disclosure of such measures provides useful information to investors regarding the company’s financial condition and results of operations. The company’s definition of these adjusted financial measures may differ from similarly named measures used by others. The company believes these measures facilitate operating performance comparisons from period to period by eliminating potential differences caused by the existence and timing of certain expense items that would not otherwise be apparent on a GAAP basis. These non-GAAP measures have limitations as an analytical tool and should not be considered in isolation or as a substitute for the company’s GAAP measures. The principal limitations of these measures are that they do not reflect the company’s actual expenses and may thus have the effect of inflating its financial measures on a GAAP basis.

About American Outdoor Brands, Inc.

American Outdoor Brands, Inc. (NASDAQ Global Select: AOUT) is an industry leading provider of outdoor products and accessories, including hunting, fishing, camping, shooting, and personal security and defense products, for rugged outdoor enthusiasts. The company produces innovative, top quality products under the brands Caldwell®; Crimson Trace®; Wheeler®; Tipton®; Frankford Arsenal®; Lockdown®; BOG®; Hooyman®; Smith & Wesson® Accessories; M&P® Accessories; Thompson/Center Arms™ Accessories; Performance Center® Accessories; Schrade®; Old Timer®; Uncle Henry®; Imperial®; BUBBA®; UST®; LaserLyte®; and MEAT!. For more information about all the brands and products from American Outdoor Brands, Inc., visit www.aob.com.

Safe Harbor Statement

Certain statements contained in this press release may be deemed to be forward-looking statements under federal securities laws, and we intend that such forward-looking statements be subject to the safe-harbor created thereby. All statements other than statements of historical facts contained or incorporated herein by reference in this press release, including statements regarding our future operating results, future financial position, business strategy, objectives, goals, plans, prospects, markets, and plans and objectives for future operations, are forward-looking statements. In some cases, you can identify forward-looking statements by terms such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “targets,” “contemplates,” “projects,” “predicts,” “may,” “might,” “plan,” “would,” “should,” “could,” “may,” “can,” “potential,” “continue,” “objective,” or the negative of those terms, or similar expressions intended to identify forward-looking statements. However, not all forward-looking statements contain these identifying words. Specific forward-looking statements in this press release include our belief that our second quarter financial performance demonstrates the diversity and innovation of our brand portfolio as it continues to capture the attention of consumers; our belief that we are witnessing a new foundational level of consumer participation in outdoor activities, interest towards personal protection, as well as adjacent home-based hobbies that surround outdoor adventure, creating meaningful, long-term growth potential for our business well beyond 2020; our vision that our ‘Dock & Unlock’ strategy has begun to bear fruit as our brands progress along their transition from ‘Niche to Known’; our belief that our employees helped us deliver what we consider to be outstanding results this quarter while positioning us for a tremendous first year as a public company; and our belief that our Adjusted EBITDAS margin of nearly 20% in the quarter demonstrates that we have designed and built a highly leverageable platform, made possible by earlier investments in our e-commerce and logistics capabilities. We caution that these statements are qualified by important risks, uncertainties, and other factors that could cause actual results to differ materially from those reflected by such forward-looking statements. Such factors include, among others, the effects of the COVID-19, pandemic, including potential disruptions in our ability to source the materials necessary for the production of our products, disruptions and delays in the manufacture of our products, and difficulties encountered by retailers and other components of the distribution channel for our products; economic, social, political, legislative, and regulatory factors; recently issued accounting standards on our consolidated financial statements; failure to realize the anticipated benefits from being a public company separate from Smith & Wesson, Inc.; our assessment of factors relating to the valuation of assets acquired and liabilities assumed in acquisitions, the timing for such evaluations, and the potential adjustment in such evaluations; assessments that we make about determining segments and reporting units; estimated amortization expense of intangible assets for future periods; the potential for impairment charges; lawsuits and their effect on us; inventory levels, both internally and in the distribution channel, in excess of demand; natural disasters, pandemics, seasonality, news events, political events, and consumer tastes; the impact of the Tax Cuts and Jobs Act, or Tax Reform, on our operating results, including our belief that Tax Reform will be a benefit to us and reduce our effective tax rate; the integration of our acquisitions, including the quality and strength of their products and their effect on our overall financial performance; the effect of political pressures on firearm laws and regulations; future investments for capital expenditures; future products and product development; the features, quality, and performance of our products; the success of our strategies and marketing programs; our market share and factors that affect our market share; liquidity and anticipated cash needs and availability; actions of social activists that could have an adverse effect on our business; the supply, availability, and costs of materials and components and related tariffs; our ability to maintain and enhance brand recognition and reputation; risks associated with the distribution of our products and overall availability of labor; and, other factors detailed from time to time in our reports filed with the Securities and Exchange Commission, or the SEC, including our Information Statement on Form 10 for the fiscal year ended April 30, 2020, filed with the SEC on July 1, 2020, as amended by Amendment No. 1 filed on July 13, 2020.

Forward-looking statements included in this press release speak only as of the date of this press release. The company does not undertake any obligation to update its forward-looking statements to reflect events or circumstances after the date of this press release except as may be required by the federal securities laws.

AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED AND COMBINED BALANCE SHEETS
(Unaudited)

	As of:
	October 31, 2020		April 30, 2020
	(In thousands, except per share data)
ASSETS
Current assets:
Cash and cash equivalents	$	33,880	$	234
Accounts receivable, net of allowance for credit losses of $408 on October 31, 2020 and $448 on April 30, 2020		57,971		35,096
Inventories		73,575		59,999
Prepaid expenses and other current assets		2,842		3,244
Income tax receivable		—		104
Total current assets		168,268		98,677
Property, plant, and equipment, net		10,230		9,677
Intangibles assets, net		61,588		69,152
Goodwill		64,315		64,315
Right-of-use assets		26,126		2,772
Deferred income taxes		4,360		3,580
Other assets		533		242
	$	335,420	$	248,415
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	19,944	$	8,936
Accrued expenses		11,842		7,655
Accrued payroll and incentives		4,444		3,249
Accrued income taxes		2,442		—
Lease liabilities, current		1,734		1,324
Accrued profit sharing		303		217
Total current liabilities		40,709		21,381
Lease liabilities, net of current portion		25,632		2,830
Other non-current liabilities		294		106
Total liabilities		66,635		24,317
Equity:
Preferred stock, $0.001 par value, 20,000,000 shares authorized, no shares issued or outstanding		—		—
Common stock, $0.001 par value, 100,000,000 shares authorized, 13,991,736 shares issued and outstanding on October 31, 2020		14		—
Former net parent company investment		—		224,098
Additional paid in capital		263,519		—
Retained earnings		5,252		—
Total equity		268,785		224,098
	$	335,420	$	248,415

AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED AND COMBINED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS)/INCOME
(Dollars in thousands, except per share data)
(Unaudited)

	For the Three Months Ended October 31,				For the Six Months Ended October 31,
	2020		2019		2020		2019
Net sales	$	79,098	$	47,742	$	129,565	$	80,959
Cost of sales		42,025		28,651		68,762		48,201
Gross profit		37,073		19,091		60,803		32,758
Operating expenses:
Research and development		1,932		1,193		3,162		2,525
Selling, marketing, and distribution		15,679		9,964		26,305		17,682
General and administrative		9,898		9,406		19,308		21,243
Total operating expenses		27,509		20,563		48,775		41,450
Operating income/(loss)		9,564		(1,472)		12,028		(8,692)
Other (expense)/income, net:
Other income/(expense), net		127		(5)		211		(7)
Interest income, net		56		1,178		392		2,116
Total other (expense)/income, net		183		1,173		603		2,109
Income/(loss) from operations before income taxes		9,747		(299)		12,631		(6,583)
Income tax expense/(benefit)		2,408		94		3,503		(1,204)
Net income/(loss)/comprehensive income/(loss)	$	7,339	$	(393)	$	9,128	$	(5,379)
Net income/(loss) per share:
Basic	$	0.52	$	(0.03)	$	0.65	$	(0.38)
Diluted	$	0.52	$	(0.03)	$	0.65	$	(0.38)
Weighted average number of common shares:
Basic		13,981		13,975		13,978		13,975
Diluted		14,155		13,975		14,125		13,975

AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED AND COMBINED STATEMENTS OF CASH FLOWS
(Unaudited)

	For the Six Months Ended October 31,
	2020		2019
	(In thousands)
Cash flows from operating activities:
Net income/(loss)	$	9,128	$	(5,379)
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities:
Depreciation and amortization		10,459		12,156
Provision for losses on notes and accounts receivable		174		610
Deferred income taxes		(780)		—
Stock-based compensation expense		1,196		666
Changes in operating assets and liabilities:
Accounts receivable		(23,049)		(5,925)
Inventories		(13,576)		(4,553)
Accounts payable		11,716		(455)
Accrued liabilities		8,197		894
Other		991		72
Net cash provided by/(used in) operating activities		4,456		(1,914)
Cash flows from investing activities:
Payments to acquire patents and software		(378)		(110)
Payments to acquire property and equipment		(1,728)		(784)
Net cash used in investing activities		(2,106)		(894)
Cash flows from financing activities:
Net transfers from Parent		31,706		3,072
Cash paid for debt issuance costs		(410)		—
Net cash provided by financing activities	$	31,296	$	3,072
Net increase in cash and cash equivalents		33,646		264
Cash and cash equivalents, beginning of period		234		162
Cash and cash equivalents, end of period	$	33,880	$	426

AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES (Dollars in thousands, except per share data) (Unaudited)

	For the Three Months Ended October 31,											For the Six Months Ended October 31,
	2020					2019						2020						2019
	$		% of Sales			$			% of Sales			$			% of Sales			$			% of Sales
GAAP gross profit	$	37,073		46.9	%	$	19,091			40.0	%	$	60,803			46.9	%	$	32,758			40.5	%
Transition costs		—		0.0	%		252			0.5	%		127			0.1	%		872			1.1	%
Non-GAAP gross profit	$	37,073		46.9	%	$	19,343			40.5	%	$	60,930			47.0	%	$	33,630			41.5	%

GAAP operating expenses	$	27,509		34.8	%	$	20,563			43.1	%	$	48,775			37.6	%	$	41,450			51.2	%
Amortization of acquired intangible assets		(4,011)		-5.1	%		(4,662)			-9.8	%		(8,023)			-6.2	%		(9,323)			-11.5	%
Stock compensation		(899)		-1.1	%		(352)			-0.7	%		(1,196)			-0.9	%		(666)			-0.8	%
Transition costs		(13)		0.0	%		(269)			-0.6	%		(137)			-0.1	%		(735)			-0.9	%
COVID-19 expenses		—		0.0	%		—			0.0	%		(223)			-0.2	%		—			0.0	%
Other		(125)		-0.2	%		—			0.0	%		(125)			-0.1	%		—			0.0	%
Non-GAAP operating expenses	$	22,461		28.4	%	$	15,280			32.0	%	$	39,071			30.2	%	$	30,726			38.0	%

GAAP operating income/(loss)	$	9,564		12.1	%	$	(1,472)			-3.1	%	$	12,028			9.3	%	$	(8,692)			-10.7	%
Amortization of acquired intangible assets		4,011		5.1	%		4,662			9.8	%		8,023			6.2	%		9,323			11.5	%
Stock compensation		899		1.1	%		352			0.7	%		1,196			0.9	%		666			0.8	%
Transition costs		13		0.0	%		521			1.1	%		264			0.2	%		1,607			2.0	%
COVID-19 expenses		—		0.0	%		—			0.0	%		223			0.2	%		—			0.0	%
Other		125		0.2	%		—			0.0	%		125			0.1	%		—			0.0	%
Non-GAAP operating income/(loss)	$	14,612		18.5	%	$	4,063			8.5	%	$	21,859			16.9	%	$	2,904			3.6	%

GAAP net income/(loss)	$	7,339		9.3	%	$	(393)			-0.8	%	$	9,128			7.0	%	$	(5,379)			-6.6	%
Amortization of acquired intangible assets		4,011		5.1	%		4,662			9.8	%		8,023			6.2	%		9,323			11.5	%
Stock compensation		899		1.1	%		352			0.7	%		1,196			0.9	%		666			0.8	%
Transition costs		13		0.0	%		521			1.1	%		264			0.2	%		1,607			2.0	%
COVID-19 expenses		—		0.0	%		—			0.0	%		223			0.2	%		—			0.0	%
Related party interest income		(88)		-0.1	%		(1,178)			-2.5	%		(424)			-0.3	%		(2,117)			-2.6	%
Other		125		0.2	%		—			0.0	%		125			0.1	%		—			0.0	%
Tax effect of non-GAAP adjustments		(1,338)		-1.7	%		(1,176)			-2.5	%		(2,540)			-2.0	%		—			0.0	%
Non-GAAP net income/(loss)	$	10,961		13.9	%	$	2,788			5.8	%	$	15,995			12.3	%	$	4,100			5.1	%

GAAP net income/(loss) per share – diluted	$	0.52				$	(0.03)					$	0.65					$	(0.38)
Amortization of acquired intangible assets		0.28					0.33						0.57						0.67
Stock compensation		0.06					0.03						0.08						0.05
Transition costs		—					0.04						0.02						0.11
COVID-19 expenses		—					—						0.02						—
Related party interest income		(0.01)					(0.08)						(0.03)						(0.15)
Other		0.01					—						0.01						—
Tax effect of non-GAAP adjustments		(0.09)					(0.08)						(0.18)						—
Non-GAAP net income/(loss) per share – diluted	$	0.77				$	0.20	(a)				$	1.13	(a)				$	0.29	(a)

(a) Non-GAAP net income per share does not foot due to rounding.

AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP NET (LOSS)/INCOME TO NON-GAAP ADJUSTED EBITDAS (In thousands) (Unaudited)


	For the Three Months Ended October 31,					For the Six Months Ended October 31,
		2020		2019		2020		2019

GAAP net income/(loss)	$		7,339	$	(393)	$	9,128	$	(5,379)

Income tax expense/(benefit)			2,408		94		3,503		(1,204)
Depreciation and amortization			5,068		6,179		10,459		12,156
Related party interest income			(88)		(1,178)		(424)		(2,116)
Stock compensation			899		352		1,196		666
Transition costs			13		521		264		1,607
COVID-19 expenses			—		—		223		—
Other			125		—		125		—
Non-GAAP Adjusted EBITDAS	$		15,764	$	5,575	$	24,474	$	5,730

Contact:
Liz Sharp, VP, Investor Relations
[email protected]
(573) 303-4620

View original content to download multimedia:http://www.prnewswire.com/news-releases/american-outdoor-brands-inc-reports-second-quarter-fiscal-2021-financial-results-301193484.html

SOURCE American Outdoor Brands, Inc.

December 15, 2020 4:15 pm

The St. Joe Company Announces Hotel Indigo® as the Brand for Its Planned Hotel in Panama City’s Downtown Waterfront District

The St. Joe Company Announces Hotel Indigo^® as the Brand for Its Planned Hotel in Panama City’s Downtown Waterfront District

PANAMA CITY BEACH, Fla.–(BUSINESS WIRE)–
The St. Joe Company (NYSE: JOE) (“St. Joe”) announces Hotel Indigo^®, a stylish and vibrant boutique hotel, as the brand for its planned hotel in Panama City’s downtown waterfront district. St. Joe intends to build, own and operate the previously announced hotel on a portion of the Panama City Marina property fronting St. Andrews Bay. The City and St. Joe completed a lease agreement on the property earlier in the year.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20201215006104/en/

Artist rendering of the planned Hotel Indigo overlooking St. Andrews Bay in Panama City, Florida (Photo: Business Wire)

Hotel Indigo is a part of a family of hotel brands from IHG^® (InterContinental Hotels Group), one of the world’s leading hotel companies. Hotel Indigo properties are designed to be as individual as their surroundings and reflect the local culture, meaning that no two properties are alike. Each hotel is part of the pulse and the rhythm of a place, drawing on the unique story of its local area to inspire every aspect of the hotel, from intriguing design to distinctive local ingredients on menus.

St. Joe’s plans call for a Hotel Indigo featuring 124 guest rooms providing sweeping views of St. Andrews Bay. “Hotel Indigo is a unique and exciting brand that we are very pleased to bring to downtown Panama City’s waterfront district,” said Patrick Murphy, St. Joe’s Senior Vice President of Operations. “We believe that Hotel Indigo is an ideal fit for this waterfront location and we see this hotel as a great piece of the ongoing revitalization of downtown Panama City.”

In addition to the Hotel Indigo, St. Joe intends to construct and operate a stand-alone restaurant on the property as well as an event lawn and a public promenade along the waterfront.

“It has been very exciting to see new private business investment like this hotel project come to Panama City,” said Greg Brudnicki, Mayor of Panama City. “We look forward to welcoming Hotel Indigo to our downtown where visitors can take in the beautiful views of the bay and enjoy a vibrant downtown Panama City.”

“The Hotel Indigo brand is well-known and loved by travelers to the Gulf Coast who are seeking an upscale stay and local experience and is a great fit for Panama City and the marina area,” said Arik Kono, Vice President of Upscale Development for IHG. “We are excited to work with The St. Joe Company to bring this project to life.”

St. Joe anticipates construction on the restaurant and Hotel Indigo to begin in the second quarter of 2021.

Important Notice Regarding Forward-Looking Statements

This press release contains “forward-looking statements,” within the meaning of Section 21E of the Securities Exchange Act of 1934, including statements regarding the proposed Hotel Indigo in Panama City, Florida including expected construction timeline, as well as the proposed restaurant in Panama City, Florida. These forward-looking statements are qualified in their entirety by cautionary statements and risk factors set forth in St. Joe’s filings with the SEC, including its Annual Report on Form 10-K for the year ended December 31, 2019. Quarterly Reports on Form 10-Q for the quarters ended March 31, 2020, June 30, 2020 and September 30, 2020, and subsequent current report filings, as well as the following: (1) the ability of St. Joe to successfully complete the proposed Hotel Indigo, (2) the ability of St. Joe to successfully complete the proposed restaurant and (3) the future interest of prospective customers of a restaurant and Hotel Indigo in Panama City, Florida.

About The St. Joe Company

The St. Joe Company, together with its consolidated subsidiaries, is a real estate development, asset management and operation company. The Company owns land concentrated primarily in Northwest Florida and has significant residential and commercial land-use entitlements in hand or in process. More information about the Company can be found on its website at www.joe.com. More information on the Company’s current project pipeline can be found at www.joe.com/project-updates.

About Hotel Indigo

Just as no places are alike, no two Hotel Indigo properties are alike. Each Hotel Indigo draws inspiration from the local neighborhood, culture and popular trends in food, drink and design to create a warm and vibrant atmosphere. Our hotels provide a gateway to discover and explore some of the world’s most inspiring cities and neighborhoods. For more information, visit www.hotelindigo.com or connect with Hotel Indigo on Facebook at www.facebook.com/Hotel.Indigo, Twitter at www.twitter.com/HotelIndigo and Instagram at www.instagram.com/hotelindigo.

©The St Joe Company 2020. “St. Joe^®”, “JOE^®”, the “Taking Flight” Design^®, “St. Joe (and Taking Flight Design)^®”, are registered service marks of The St. Joe Company or its affiliates.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201215006104/en/

St. Joe Investor Relations Contact:

Marek Bakun

Chief Financial Officer

1-866-417-7132

[email protected]

St. Joe Media Relations Contact:

Mike Kerrigan

Corporate Director of Marketing

1-850-231-6426

[email protected]

KEYWORDS: United States North America Florida

INDUSTRY KEYWORDS: Other Travel Construction & Property Lodging Destinations Travel Vacation Urban Planning Other Construction & Property

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Artist rendering of the planned Hotel Indigo overlooking St. Andrews Bay in Panama City, Florida (Photo: Business Wire)

December 15, 2020 4:15 pm

Orchid Island Capital Announces December 2020 Monthly Dividend and November 30, 2020 RMBS Portfolio Characteristics

Orchid Island Capital Announces December 2020 Monthly Dividend and November 30, 2020 RMBS Portfolio Characteristics

December 2020 Monthly Dividend of $0.065 Per Share of Common Stock
RMBS Portfolio Characteristics as of November 30, 2020
Next Dividend Announcement Expected January 14, 2020

VERO BEACH, Fla.–(BUSINESS WIRE)–
Orchid Island Capital, Inc. (the “Company”) (NYSE:ORC) announced today that the Board of Directors (the “Board”) declared a monthly cash dividend for the month of December 2020. The dividend of $0.065 per share will be paid January 27, 2020, to holders of record of the Company’s common stock on December 31, 2020, with an ex-dividend date of December 30, 2020. The Company plans on announcing its next common stock dividend on January 14, 2020.

The Company intends to make regular monthly cash distributions to its holders of common stock. In order to qualify as a real estate investment trust (“REIT”), the Company must distribute annually to its stockholders an amount at least equal to 90% of its REIT taxable income, determined without regard to the deduction for dividends paid and excluding any net capital gain. The Company will be subject to income tax on taxable income that is not distributed and to an excise tax to the extent that a certain percentage of its taxable income is not distributed by specified dates. The Company has not established a minimum distribution payment level and is not assured of its ability to make distributions to stockholders in the future.

As of December 15, 2020, the Company had 72,604,539 shares of common stock outstanding. As of November 30, 2020, the Company had 70,117,699 shares of common stock outstanding. As of September 30, 2020, the Company had 69,295,962 shares of common stock outstanding.

RMBS Portfolio Characteristics

Details of the RMBS portfolio as of November 30, 2020 are presented below. These figures are preliminary and subject to change. The information contained herein is an intra-quarter update created by the Company based upon information that the Company believes is accurate:

RMBS Valuation Characteristics
RMBS Assets by Agency
Investment Company Act of 1940 (Whole Pool) Test Results
Repurchase Agreement Exposure by Counterparty
RMBS Risk Measures

About Orchid Island Capital, Inc.

Orchid Island Capital, Inc. is a specialty finance company that invests on a leveraged basis in Agency RMBS. Our investment strategy focuses on, and our portfolio consists of, two categories of Agency RMBS: (i) traditional pass-through Agency RMBS, such as mortgage pass-through certificates and collateralized mortgage obligations issued by Fannie Mae, Freddie Mac or Ginnie Mae, and (ii) structured Agency RMBS. The Company is managed by Bimini Advisors, LLC, a registered investment adviser with the Securities and Exchange Commission.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These forward-looking statements include, but are not limited to, statements about the Company’s distributions. These forward-looking statements are based upon Orchid Island Capital, Inc.’s present expectations, but these statements are not guaranteed to occur. Investors should not place undue reliance upon forward-looking statements. For further discussion of the factors that could affect outcomes, please refer to the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019 and Quarterly Report on Form 10-Q for the three months ended March 31, 2020.

RMBS Valuation Characteristics
($ in thousands)
												Realized	Realized
												Nov 2020	Sep – Nov		Modeled		Modeled
								Net			Weighted	CPR	2020 CPR		Interest		Interest
					%			Weighted			Average	(1-Month)	(3-Month)		Rate		Rate
		Current		Fair	of		Current	Average			Maturity	(Reported	(Reported		Sensitivity		Sensitivity
Type		Face		Value	Portfolio		Price	Coupon	GWAC	Age	(Months)	in Dec)	in Dec)		(-50 BPS)⁽¹⁾		(+50 BPS)⁽¹⁾
Pass Through RMBS
Post Reset ARM	$	728	$	751	0.02%	$	103.09	3.63%	4.09%	200	161	0.00%	44.80%	$	2	$	(2)
Fixed Rate CMO		133,802		142,898	3.66%		106.80	4.00%	4.40%	41	314	27.27%	22.79%		(141)		79
15yr 4.0		684		733	0.02%		107.18	4.00%	4.49%	31	124	21.98%	90.38%		7		(8)
15yr Total		684		733	0.02%		107.18	4.00%	4.49%	31	124	21.98%	90.38%		7		(8)
20yr 2.0		99,631		103,680	2.66%		104.06	2.00%	2.88%	2	238	2.11%	n/a		611		(1,210)
20yr 2.5		145,731		152,835	3.92%		104.88	2.50%	3.34%	5	235	9.78%	8.26%		246		(489)
20yr Total		245,362		256,515	6.57%		104.55	2.30%	3.15%	4	236	6.66%	8.26%		857		(1,699)
30yr 2.5		498,883		527,414	13.52%		105.72	2.50%	3.41%	2	355	2.78%	5.97%		3,937		(7,732)
30yr 3.0		747,464		819,236	21.00%		109.60	3.00%	3.49%	4	356	6.55%	27.44%		13,799		(17,444)
30yr 3.5		1,169,332		1,289,742	33.05%		110.30	3.50%	3.98%	12	344	15.11%	14.53%		10,913		(15,929)
30yr 4.0		186,724		210,858	5.40%		112.92	4.00%	4.51%	27	326	14.97%	25.95%		3,350		(3,772)
30yr 4.5		98,453		111,257	2.85%		113.00	4.50%	5.00%	18	339	21.61%	25.98%		829		(881)
30yr 5.0		27,576		31,294	0.80%		113.49	5.00%	5.63%	33	320	24.53%	36.46%		287		(278)
30yr Total		2,728,432		2,989,801	76.62%		109.58	3.27%	3.83%	9	348	10.83%	15.43%		33,115		(46,036)
Total Pass Through RMBS		3,109,008		3,390,698	86.90%		109.06	3.22%	3.80%	10	337	11.21%	15.44%		33,840		(47,666)
Structured RMBS
Interest-Only Securities		270,232		28,783	0.74%		10.65	4.00%	4.60%	78	267	40.82%	42.63%		(2,333)		4,021
Total Structured RMBS		270,232		28,783	0.74%		10.65	4.00%	4.60%	78	267	40.82%	42.63%		(2,333)		4,021
Long TBA Positions
FNCL 2.0 TBA		465,000		482,438	12.36%		103.75	2.00%							5,847		(9,432)
Total Long TBA		465,000		482,438	12.36%		103.75	2.00%							5,847		(9,432)
Total Mortgage Assets	$	3,844,240	$	3,901,919	100.00%			3.13%	3.87%	16	332	13.58%	18.71%	$	37,354	$	(53,077)

					Interest		Interest
		Average	Hedge		Rate		Rate
		Notional	Period		Sensitivity		Sensitivity
Hedge		Balance	End		(-50 BPS)⁽¹⁾		(+50 BPS)⁽¹⁾
Eurodollar Futures	$	(50,000)	Dec-2021		(313)		313
Swaps		(820,000)	Apr-2025		(9,053)		19,262
5-Year Treasury Futures		(69,000)	Mar-2021⁽²⁾		(2,177)		2,388
TBA		(328,000)	Nov-2020		(2,098)		3,442
Swaptions		(667,300)	May-2021		(3,864)		4,396
Hedge Total	$	(1,934,300)		$	(17,505)	$	29,801
Rate Shock Grand Total				$	19,849	$	(23,276)

(1) Modeled results from Citigroup Global Markets Inc. Yield Book. Interest rate shocks assume instantaneous parallel shifts and horizon prices are calculated assuming constant LIBOR option-adjusted spreads. These results are for illustrative purposes only and actual results may differ materially. (2) Five year treasury futures contracts were valued at prices of $126.03 at November 30, 2020. The market value of the short position was $87.0 million.

RMBS Assets by Agency				Investment Company Act of 1940 Whole Pool Test
($ in thousands)				($ in thousands)
			Percentage				Percentage
		Fair	of			Fair	of
Asset Category		Value⁽¹⁾	Portfolio	Asset Category		Value⁽¹⁾	Portfolio
As of November 30, 2020				As of November 30, 2020
Fannie Mae	$	2,335,519	68.3%	Non-Whole Pool Assets	$	480,382	14.0%
Freddie Mac		1,083,962	31.7%	Whole Pool Assets		2,939,099	86.0%
Total Mortgage Assets	$	3,419,481	100.0%	Total Mortgage Assets	$	3,419,481	100.0%

(1) Amounts in the tables above exclude long TBA positions with a market value of approximately $482.4 million.

Borrowings By Counterparty
($ in thousands)
				Weighted	Weighted
			% of	Average	Average
		Total	Total	Repo	Maturity	Longest
As of November 30, 2020		Borrowings	Debt	Rate	in Days	Maturity
Mirae Asset Securities (USA) Inc.	$	367,670	11.3%	0.25%	60	2/11/2021
Mitsubishi UFJ Securities (USA), Inc		341,739	10.3%	0.24%	48	1/26/2021
Merrill Lynch, Pierce, Fenner & Smith		282,037	8.5%	0.25%	14	12/14/2020
Wells Fargo Bank, N.A.		277,091	8.4%	0.23%	30	1/19/2021
J.P. Morgan Securities LLC		276,879	8.4%	0.25%	100	3/12/2021
Citigroup Global Markets Inc		222,559	6.7%	0.23%	43	1/19/2021
Cantor Fitzgerald & Co.		214,128	6.5%	0.23%	55	2/12/2021
ASL Capital Markets Inc.		196,506	5.9%	0.23%	60	2/11/2021
RBC Capital Markets, LLC		163,155	4.9%	0.22%	43	1/12/2021
Barclays Capital Inc.		158,409	4.8%	0.23%	43	1/12/2021
ING Financial Markets LLC		125,919	3.8%	0.22%	45	1/14/2021
Daiwa Securities America Inc.		120,549	3.6%	0.25%	41	2/10/2021
ED&F Man Capital Markets Inc		115,495	3.5%	0.22%	44	1/22/2021
ABN AMRO Bank N.V.		109,827	3.3%	0.23%	44	1/13/2021
South Street Securities, LLC		78,756	2.4%	0.28%	133	5/13/2021
Bank of Montreal		72,242	2.2%	0.24%	11	12/11/2020
Nomura Securities International, Inc.		53,293	1.6%	0.21%	84	2/22/2021
Lucid Cash Fund USG LLC		52,657	1.6%	0.26%	10	12/10/2020
Goldman, Sachs & Co.		27,477	0.8%	0.23%	78	2/16/2021
Austin Atlantic Asset Management Co.		25,455	0.8%	0.26%	7	12/7/2020
J.V.B. Financial Group, LLC		23,556	0.7%	0.23%	46	1/15/2021
Total Borrowings	$	3,305,399	100.0%	0.24%	50	5/13/2021

View source version on businesswire.com: https://www.businesswire.com/news/home/20201215006103/en/

Orchid Island Capital, Inc.

Robert E. Cauley

Telephone: (772) 231-1400

KEYWORDS: Florida United States North America

INDUSTRY KEYWORDS: Professional Services Finance

MEDIA:

December 15, 2020 4:15 pm

Air Canada Announces Offering of Shares

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

MONTREAL, Dec. 15, 2020 (GLOBE NEWSWIRE) — Air Canada (TSX:AC) (the “Company”) today announced that it has commenced an overnight marketed public offering of Class A Variable Voting Shares and/or Class B Voting Shares of the Company (“Shares”) for gross proceeds of approximately C$850 million (the “Offering”).

The Company intends to grant the underwriters an option to purchase up to an additional 15% of the Shares in the Offering, exercisable in whole or in part at any time until 30 days after closing of the Offering.

The Offering will be priced in the context of the market with the price and other final terms to be determined at the time of entering into an underwriting agreement for the Offering.

Completion of the Offering will be subject to various conditions, including the approval of the Toronto Stock Exchange.

The Company intends to use the net proceeds from the Offering to supplement the Company’s working capital and other general corporate purposes. The net proceeds from the Offering will serve to increase Air Canada’s cash position, thereby allowing for additional flexibility both from an operational standpoint and in the implementation of its planned mitigation and recovery measures in response to the COVID-19 pandemic.

TD Securities Inc., J.P. Morgan Securities Canada Inc., Citigroup Global Markets Canada Inc. and Morgan Stanley Canada Limited are acting as joint active book-running managers for the Offering.

The Shares will be offered by way of a short-form prospectus in all provinces and territories of Canada and may also be offered in the United States to qualified institutional buyers pursuant to Rule 144A of the U.S. Securities Act of 1933 (the “Securities Act”).

This press release does not constitute an offer to sell or a solicitation of an offer to buy the Shares or any other securities and shall not constitute an offer, solicitation or sale in the United States or in any other jurisdiction in which such an offer, solicitation or sale would be unlawful prior to the registration and qualification under the securities laws of such state or jurisdiction.

A preliminary short-form prospectus containing important information relating to the Shares has been filed with securities regulatory authorities in each of the provinces and territories of Canada. The preliminary short-form prospectus is subject to completion or amendment. Copies of the preliminary short-form prospectus may be obtained from TD Securities Inc., TD Tower, 9th Floor, 66 Wellington Street West, Toronto, Ontario, M5K 1A2 (e-mail: [email protected]) or J.P. Morgan Securities Canada Inc., Suite 4500, TD Bank Tower, 66 Wellington Street West, Toronto, ON M5K 1E7 or by telephone: Canada Sales 416-981-9233. A copy of the preliminary short-form prospectus can also be obtained under Air Canada’s corporate profile on SEDAR at www.sedar.com. There will not be any sale or any acceptance of an offer to buy the Shares until a receipt for the final short-form prospectus has been issued.

Class B Voting Shares of Air Canada may only be owned and controlled by Canadians. Any Class B Voting Share owned or controlled by a person who is not a Canadian is automatically converted to a Class A Variable Voting Share. Class A Variable Voting Shares may only be owned or controlled by persons who are not Canadians. Therefore, any Class A Variable Voting Share owned and controlled by a person who is a Canadian is automatically converted to a Class B Voting Share. Purchasers of the Shares who are Canadians will receive Class B Voting Shares. Purchasers of the Shares who are not Canadians will receive Class A Variable Voting Shares. The term “Canadian” is defined under subsection 55(1) of the Canada Transportation Act (Canada), as amended, as “(a) a Canadian citizen or a permanent resident as defined in subsection 2(1) of the Immigration and Refugee Protection Act (Canada), (b) a government in Canada or an agent or mandatary of such a government or (c) a corporation or entity that is incorporated or formed under the laws of Canada or a province, that is controlled in fact by Canadians and of which at least 51% of the voting interests are owned and controlled by Canadians and where (i) no more than 25% of the voting interests are owned directly or indirectly by any single non-Canadian, either individually or in affiliation with another person, and (ii) no more than 25% of the voting interests are owned directly or indirectly by one or more non-Canadians authorized to provide an air service in any jurisdiction, either individually or in affiliation with another person”.

Update of Net Cash Burn Outlook

Air Canada projects net cash burn of between C$14 million and C$16 million per day, on average, in the fourth quarter of 2020, higher than the C$12 million to C$14 million daily average net cash burn projected in Air Canada’s third quarter 2020 news release. This amount does not include the cash proceeds from aircraft financing activities conducted during the quarter. The increase in projected net cash burn results equally from both lower than expected travel bookings in the first quarter of 2021 and timing of cash receipts from various sources now expected to be received in the first half of 2021. Air Canada’s projection for fourth quarter 2020 net cash burn includes C$4 million per day in capital expenditures and C$5 million per day in lease and debt service costs. Net cash burn after including the proceeds of aircraft financing consummated in the fourth quarter of 2020 (related to the delivery of five Airbus A220) is expected to be between C$12 million and C$14 million per day, on average.

Net cash burn is a non-GAAP financial measure commonly used in the airline industry and is used by Air Canada as a measure of cash used to maintain operations, support capital expenditures, and settle normal debt repayments, all before the net impact of new financing proceeds. Net cash burn is defined as net cash flows from operating, financing, and investing activities, and excludes proceeds from new financings, and lump sum debt maturities made where the Company has refinanced or replaced the amount. Net cash burn also excludes movements between cash and short and long-term investments. Net cash burn is not a recognized measure for financial statement presentation under GAAP, does not have a standardized meaning, may not be comparable to similar measures presented by other entities and should not be considered a substitute for, or superior to, GAAP results. Readers are advised to review the section entitled “Non-GAAP Financial Measures” in Air Canada’s Third Quarter 2020 MD&A for a further discussion of this measure, and to review the section entitled “Consolidated Cash Flow Movements” in Air Canada’s Third Quarter 2020 MD&A for a reconciliation of this measure to Canadian GAAP.

CAUTION REGARDING FORWARD-LOOKING INFORMATION

This news release includes “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements relate to analyses and other information that are based on forecasts of future results and estimates of amounts not yet determinable. These statements may involve, but are not limited to, comments relating to guidance, strategies, expectations, planned operations or future actions, the Company’s expectations with respect to the form and terms of the Offering and the expected use of proceeds therefrom. Forward-looking statements are identified using terms and phrases such as “preliminary”, “anticipate”, “believe”, “could”, “estimate”, “expect”, “intend”, “may”, “plan”, “predict”, “project”, “will”, “would”, and similar terms and phrases, including references to assumptions. Forward-looking statements, by their nature, are based on assumptions, including those described herein and are subject to important risks and uncertainties.Notably, Air Canada’s expectations with respect to net cash burn are subject to a number of assumptions, including current assumptions regarding its ability to implement its cost reduction programs and , rates of ticket refunds, other changes impacting working capital, including the level of advance ticket sales. Forward-looking statements cannot be relied upon due to, among other things, changing external events and general uncertainties of the business. Actual results may differ materially from results indicated in forward-looking statements due to a number of factors, including those discussed below.

Air Canada, along with the rest of the global airline industry, is facing a severe and abrupt drop in traffic
and a corresponding decline in revenue as a result of the COVID-19 pandemic and the travel restrictions imposed in many countries around the world, and particularly in Canada. The impact of the COVID-19 pandemic began to be felt in traffic and sales figures commencing in early March 2020. These impacts include drastic declines in earnings and cash from operations. There is very limited visibility on travel demand given changing government restrictions in place around the world and the severity of the restrictions in Canada; these restrictions and concerns about travel due to the COVID-19 pandemic as well as passenger concerns and expectations about the need for certain precautions, such as physical distancing, are severely inhibiting demand. The COVID-19 pandemic is also having significant economic impacts, including on business and consumer spending, which may in turn significantly impact demand for travel. Air Canada cannot predict the full impact or the timing for when conditions may improve. Air Canada is actively monitoring the situation and will respond as the impact of the COVID-19 pandemic evolves, which will depend on a number of factors including the course of the virus, government actions, and passenger reaction, as well as timing of a recovery in international and business travel which are important segments of Air Canada’s market, none of which can be predicted with any degree of certainty.

Other factors which may cause results to differ materially from results indicated in forward-looking statements include those factors identified in Air Canada’s public disclosure file available at www.sedar.com and, in particular, those identified in section 14 “Risk Factors” of Air Canada’s Third Quarter 2020 MD&A and section 20 “Risk Factors” of Air Canada’s 2019 MD&A. Readers cannot be assured that the Offering described above will be completed on the terms described above, or at all. The forward-looking statements contained in this news release represent Air Canada’s expectations as of the date of this news release (or as of the date they are otherwise stated to be made) and are subject to change after such date. However, Air Canada disclaims any intention or obligation to update or revise any forward-looking statements whether because of new information, future events or otherwise, except as required under applicable securities regulations.

About Air Canada

Air Canada is Canada’s largest domestic and international airline. Canada’s flag carrier is among the 20 largest airlines in the world and in 2019 served over 51 million customers. Air Canada is a founding member of Star Alliance, the world’s most comprehensive air transportation network. Air Canada is the only international network carrier in North America to receive a Four-Star ranking according to independent U.K. research firm Skytrax, which also named Air Canada the 2019 Best Airline in North America.

SOURCE Air Canada

Contacts: [email protected]

Internet: aircanada.com/media

December 15, 2020 4:13 pm

City Office REIT Announces Dividends for Fourth Quarter 2020

City Office REIT Announces Dividends for Fourth Quarter 2020

VANCOUVER–(BUSINESS WIRE)–
City Office REIT, Inc. (NYSE: CIO) (“City Office” or the “Company”) announced today that its Board of Directors has authorized a quarterly dividend amount of $0.15 per share of common stock and common unit of partnership interest for the fourth quarter of 2020.

Additionally, the Board of Directors authorized a regular quarterly dividend of $0.4140625 per share of the Company’s 6.625% Series A Cumulative Redeemable Preferred Stock.

The dividends will be payable on January 25, 2021 to all stockholders and operating partnership unitholders of record as of the close of business on January 11, 2021.

About City Office REIT, Inc.

City Office REIT is an internally-managed real estate company focused on acquiring, owning and operating high-quality office properties located in leading 18-hour cities in the Southern and Western United States. City Office currently owns or has a controlling interest in 5.8 million square feet of office properties. The Company has elected to be taxed as a real estate investment trust for U.S. federal income tax purposes.

Forward-looking Statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that are based on management’s current expectations, assumptions and beliefs. Forward-looking statements can often be identified by words such as “anticipate”, “expect,” “intend,” “may” and similar expressions, and variations or negatives of these words. They are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statement. Factors that could cause actual results to differ materially include, among other things, the timing and amount of repurchases of CIO’s common stock, if any, changes to CIO’s expected liquidity position, the possibility that the repurchase program may be suspended or discontinued at any time and the risk factors set forth in CIO’s Annual Report on Form 10-K for the year ended December 31, 2019 and subsequent filings with the Securities and Exchange Commission. The statements made herein speak only as of the date of this press release and except as required by law, CIO does not undertake any obligation to publicly update or revise any forward-looking statements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201215006033/en/

City Office REIT, Inc.

Anthony Maretic, CFO

+1-604-806-3366

[email protected]

KEYWORDS: New York United States North America

INDUSTRY KEYWORDS: Construction & Property REIT

MEDIA:

December 15, 2020 4:13 pm

KB Home to Release 2020 Fourth Quarter and Full Year Earnings on January 12, 2021

KB Home to Release 2020 Fourth Quarter and Full Year Earnings on January 12, 2021

LOS ANGELES–(BUSINESS WIRE)–
KB Home (NYSE: KBH) today announced that it will release earnings for its fourth quarter and fiscal year ended November 30, 2020 after the market closes on Tuesday, January 12, 2021. A live webcast of the Company’s earnings conference call will be held the same day at 2:00 p.m. Pacific Time, 5:00 p.m. Eastern Time.

To listen to the call, go to the Investor Relations section of the KB Home website at www.kbhome.com and select the Fourth Quarter Earnings Conference Call link in the Events and Presentations section. The webcast will be available for replay at the KB Home website for 30 days.

About KB Home

KB Home is one of the largest and most recognized homebuilders in the United States and has been building quality homes for over 60 years. Today, KB Home operates in 42 markets across eight states, serving a wide array of buyer groups. What sets us apart is how we give our customers the ability to personalize their homes from homesites and floor plans to cabinets and countertops, at a price that fits their budget. We are the first builder to make every home we build ENERGY STAR^® certified. In fact, we go beyond the EPA requirements by ensuring every ENERGY STAR certified KB home has been tested and verified by a third-party inspector to meet the EPA’s strict certification standards, which help to lower the cost of ownership and to make our new homes healthier and more comfortable than new ones without certification. We also work with our customers every step of the way, building strong personal relationships so they have a real partner in the homebuying process, and the experience is as simple and easy as possible. Learn more about how we build homes built on relationships by visiting kbhome.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201215005255/en/

Jill Peters, Investor Relations Contact

(310) 893-7456 or [email protected]

KEYWORDS: United States North America California

INDUSTRY KEYWORDS: Residential Building & Real Estate Architecture Construction & Property

MEDIA:

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