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Vancouver, British Columbia, December 16th, 2015
Cascadero Copper Corporation (the 'Company').
(TSXV: CCD)
As a result of a review by the British Columbia Securities Commission ('BCSC'), the Company is issuing this press release to clarify our disclosure. The Company has identified material errors and deficiencies in its Q1 (ending February 28, 2015) and Q2 (ending May 31, 2015) financial statements and MD&A and has decided to restate and refile both these documents and subsequent interim financial statements. The related Q1 and Q2 MD&A have been revised to reflect changes in the financial statements and subsequent events.These have been refiled at the time of this news release.
The original Q1 financial statements have been restated to disclose the following:
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Stock based compensation amounting to $117,670 has been recognized on the income statement for options vesting during the period.
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Rent expense amounting to $4,500 for the period has been recognized on the income statement.
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Part XII.6 tax amounting to $3,799 for accrued interest on the outstanding balance has been recognized on the income statement for the period.
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Prepaid expenses have been adjusted to reflect amounts related to future periods.
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The effect of the adjustments is as follows:
As originally reported
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Adjustment
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As Restated
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Statement of Financial Position as at Feb 28, 2015
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Prepaid expenses
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$ -
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$ 9,618
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$ 9,618
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Accrued liabilities
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343,187
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3,799
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346,986
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Due to related parties
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720,195
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4,725
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724,920
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Contributed surplus
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3,956,338
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117,670
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4,074,008
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Deficit
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(24,277,916
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(116,352)
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(24,394,268)
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|
|
|
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Statement of Loss and Comprehensive Loss as at Feb 28, 2015
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|
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Insurance
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$ 12,824
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$ (12,824)
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$ -
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Office and miscellaneous
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24,061
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3,206
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27,267
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Part XII.6 tax
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-
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3,799
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3,799
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Rent
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-
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4,500
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4,500
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Stock based compensation
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-
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117,670
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117,670
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Equity loss on investments
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(65,579)
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65,579
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-
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Write-down of advances
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15,329
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(65,579)
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(50,250)
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Basic and diluted loss per common share
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(0.001)
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(0.001)
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(0.002)
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Statement of Cash flow as at Feb 28, 2015
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Cash flow used in operating activities
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$ (139,826)
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$ 121,350
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$ (18,476)
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Cash flow used in investing activities
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-
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(50,250)
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(50,250)
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Cash flow from financing activities
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131,316
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(71,099)
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60,217
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The original Q2 financial statements have been restated to disclose the following:
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Stock based compensation amounting to $151,834 has been recognized on the income statement for options vesting during the six month period.
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Rent expense amounting to $9,000 for the six month period has been recognized on the income statement.
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Part XII.6 tax amounting to $7,597 for accrued interest on the outstanding balance has been recognized on the income statement for the six month period.
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Prepaid expenses have been adjusted to reflect amounts related to future periods.
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The Company's consolidation has been adjusted.
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Certain expenses have been reclassified to conform to the current year financial statement presentation.
The effect of the adjustments is as follows:
As originally reported
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Adjustment
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As Restated
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Statement of Financial Position as at May 31, 2015
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Accounts receivable
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$ 612,729
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$ 53,171
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$ 559,558
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Prepaid expenses
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-
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6,412
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6,412
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Accounts payable
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781,566
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(535)
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781,031
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Accrued liabilities
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314,841
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7,598
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322,439
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Due to related parties
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817,406
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9,451
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826,857
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Loans
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2,377,329
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(2,377,329)
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-
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Contributed surplus
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3,956,338
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151,834
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4,108,172
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Deficit
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(24,996,435)
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2,162,222
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(22,834,213)
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Statement of Loss and Comprehensive Loss as at May 31, 2015
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Amortization
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$ 829
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$ (28)
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$ 801
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Bank and interest charges
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293
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(3)
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290
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Bad debt expense
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31,885
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(31,885)
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-
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Office and miscellaneous
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42,025
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20,258
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62,283
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Part XII.6 tax
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-
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7,598
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7,598
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Insurance
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12,824
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(12,824)
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-
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Rent
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-
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9,000
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9,000
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Telephone
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7,030
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(7,030)
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-
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Travel, meals and promotion
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7,818
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(7,818)
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-
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Exploration costs
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246,294
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(246,294)
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-
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Stock based compensation
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-
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151,834
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151,834
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Equity loss on investments
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(110,049)
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110,049
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-
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Write-down of advances
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(206,884)
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(110,049)
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(316,933)
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Generated by liabilities
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(5,059)
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5,059
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-
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Gain on bargain purchase
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-
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1,101,830
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1,101,830
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Basic and diluted income (loss) per common share
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(0.003)
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0.006
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0.003
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Statement of Cash flow as at May 31, 2015
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Cash flow used in operating activities
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$ (803,006)
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$ 727,032
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$ (75,974)
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Cash flow used in investing activities
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573,865
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(582,729)
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(8,864)
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Cash flow from financing activities
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539,943
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(134,194)
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405,749
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Bill McWilliam
President
Office: 604-924-5504
Cell: 604-999-0391
Email: [email protected]
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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