MONTREAL, Feb. 7, 2022 /CNW Telbec/ - Birks Group Inc. (the
"Company") (NYSE: BGI), announced today that the Company is back in
compliance with the NYSE American LLC ("NYSE American") continued
listing standards.
As previously reported, on August 13,
2020, the Company was notified by the NYSE American that it
was not in compliance with the continued listing standards set
forth in Section 1003(a)(ii) of the NYSE American Company Guide
(the "Company Guide"). That section applies if a listed company has
stockholders' equity of less than U.S. $4.0 million and has reported losses from
operations and/or net losses in three of its four most recent
fiscal years. Furthermore, on December 9, 2020, the Company
was notified by the NYSE American that it was not in compliance
with the continued listing standards set forth in
Section 1003(a)(i) of the Company Guide. That section applies
if a listed company has stockholders' equity of less than U.S.
$2.0 million and has reported
losses from operations and/or net losses in two of its three most
recent fiscal years. Lastly, on June 25, 2021, the Company was
notified by the NYSE American that it was not in compliance with
the continued listing standards as set forth in
Section 1003(a)(iii) of the Company Guide which applies if a
listed company has stockholders' equity of less than U.S.
$6.0 million and has reported
losses from operations and/or net losses in its five most recent
fiscal years.
In accordance with the procedures and requirements of
Section 1009 of the Company Guide, the Company submitted its
plan of compliance on September 6, 2020 addressing how the
Company intended to regain compliance with Section 1003(a)(ii)
of the Company Guide. On October 22, 2020, NYSE American
notified the Company that it accepted the compliance plan and
granted the Company an extension for its continued listing until
February 6, 2022 (the "Plan Period"). During the Plan Period,
the Company submitted quarterly plan updates for review by the NYSE
American, such quarterly updates were all accepted by the NYSE
American.
As of February 7, 2022, the
Company has stockholders' equity of U.S. $7.1 million which is above the U.S. $6.0 million required to comply with Sections
1003(a)(i) through (iii) of the Company Guide as of the end of the
Plan Period, and therefore has regained compliance with the NYSE
American's continued listing standards.
The Company continues to focus on the implementation of its
strategic plan, including its merchandising strategies and tailored
marketing campaigns, and to pursue its objective to make its Bijoux
Birks fine jewellery into an international brand.
About Birks Group Inc.
Birks Group is a leading designer of fine jewellery, timepieces
and gifts and operator of luxury jewellery stores in Canada. The Company operates 25 stores under
the Maison Birks brand in most major metropolitan markets in
Canada, one retail location in
Calgary under the Brinkhaus brand,
one retail location in Vancouver
operated under the Graff brand and one retail location in
Vancouver under the Patek Philippe
brand. The Bijoux Birks brand fine jewellery collections are also
available through select SAKS Fifth Avenue stores in Canada and the U.S., select Mappin & Webb
and Goldsmiths locations in the United
Kingdom, in Mayors stores in the
United States as well as several jewellery retailers across
North America. Birks was founded
in 1879 and has become Canada's
premier retailer and designer of fine jewellery, timepieces and
gifts. Additional information can be found on Birks' web site,
www.birks.com.
Forward Looking Statements
This press release contains forward- looking statements which
can be identified by their use of words like "plans," "expects,"
"believes," "will," "anticipates," "intends," "projects,"
"estimates," "could," "would," "may," "planned," "goal," and other
words of similar meaning. All statements that address expectations,
possibilities or projections about the future, including without
limitation, statements about compliance with the NYSE American
continued listing standards, our strategies for growth, expansion
plans, sources or adequacy of capital, expenditures and financial
results are forward-looking statements.
Because such statements include various risks and uncertainties,
actual results might differ materially from those projected in the
forward- looking statements and no assurance can be given that the
Company will meet the results projected in the forward-looking
statements. These risks and uncertainties include, but are not
limited to the following: (i) the magnitude and length of economic
disruption as a result of the worldwide COVID-19 outbreak,
including its impact on macroeconomic conditions, generally, as
well as its impact on the results of operations and financial
condition of the Company and the trading price of the shares; (ii)
economic, political and market conditions, including the economies
of Canada, and the U.S., which
could adversely affect our business, operating results or financial
condition, including our revenue and profitability, through the
impact of changes in the real estate markets, changes in the equity
markets and decreases in consumer confidence and the related
changes in consumer spending patterns, the impact on store traffic,
tourism and sales; (iii) the impact of fluctuations in foreign
exchange rates, increases in commodity prices and borrowing costs
and their related impact on the Company's costs and expenses; (iv)
changes in interest rates; (v) the Company's ability to maintain
and obtain sufficient sources of liquidity to fund its operations,
to achieve planned sales, gross margin and net income, to keep
costs low, to implement its business strategy, maintain
relationships with its primary vendors, to mitigate fluctuations in
the availability and prices of the Company's merchandise, to
compete with other jewelers, to succeed in its marketing
initiatives, and to have a successful customer service program;
(vi) the Company's ability to continue to borrow under the Credit
Facility, (vii) the Company's ability to maintain profitable
operations, as well as maintain specified excess availability
levels under the Credit Facility, make scheduled payments of
principal and interest, and fund capital expenditures; (viii) the
Company's ability to execute its strategic vision; and (ix) the
Company's ability to continue as a going concern.
Information concerning factors that could cause actual results
to differ materially is set forth under the captions "Risk Factors"
and "Operating and Financial Review and Prospects" and elsewhere in
the Company's Annual Report on Form 20-F filed with the Securities
and Exchange Commission on June 17,
2021 and subsequent filings with the Securities and Exchange
Commission. The Company undertakes no obligation to update or
release any revisions to these forward-looking statements to
reflect events or circumstances after the date of this statement or
to reflect the occurrence of unanticipated events, except as
required by law.
SOURCE Birks Group Inc.