556 0 Kommentare Axios Provides Additional Details on Restated Financial Statements - Seite 2

Valuation of the units (consisting of a common share and warrant) issued to settle debt were originally recorded at the fair value of equity issued. However, certain transactions took place with debtholders who were acting in their capacity as shareholders of the Company, and not as creditors. Accordingly, the valuation of those equity instruments was reduced to the carrying amount of the debt and a $520,896 debt settlement expense originally recorded during the three months ended September 30, 2015 was reversed.

Miscellaneous other errors and timing differences between quarters were corrected.

2014 comparative figures were adjusted to correct timing errors between Q1, Q2, Q3 and Q4 of 2014. These corrections impacted the timing of depreciation and amortization expense, interest expense, accretion expense, and other operating expenses. The entries had no impact on 2014 full year revenue or net loss. Furthermore, there were no material adjustments to the 2014 financial statements identified during the course of the preparation or audit of the Company's 2015 financial statements. The restatement issues from the 2015 interim restatements had no impact on the 2014 annual financial statements and therefore no reason to restate such financial statements.

Reallocations were made between line items within the statements of cash flows for Q1, Q2 and Q3 of 2015. These changes related to clerical errors made during the preparation of the original statements of cash flows and they had no impact on the ending cash balance in any period.

Changes were made to account groupings and presentation of the statements of loss and comprehensive loss. Revenue previously shown in a single category has been separated into two categories, categories of operating expenses have been updated and expenses previously reported as cost of goods sold are now presented within operating expenses. These changes, along with updates to the discussion in the MD&A, were made in order to more clearly reflect the results of the business in light of a shift in the Company's business model from a pallet manufacturer to a pallet pooling service provider in late 2014 to early 2015.

The restated financial statements and MD&A are available under the Company's profile on www.sedar.com.

About Axios Mobile Assets

Axios Mobile Assets Corp. is a supply chain logistics company. Axios is becoming a key supplier of pooled pallets primarily in the perishable food category. The Axios Solution includes proprietary tracking and information systems that deliver actionable data that helps improve supply chain visibility and food safety. The Axios Solution is gaining market acceptance based on its unique attributes: lower total cost, lighter weight, sanitary pallets and real time data.

Further information concerning the Company can be found at www.axiosma.com and www.sedar.com.

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