Bob Moriarty of 321 Gold explains why he believes a tradable low is near and discusses one micro-cap gold explorer.
Investors are utterly irrational in their buying habits. Imagine for a moment if you will, an investor in a nice gold stock watches his shares drop 25%, does he buy or sell?
Well, in my experience, the average investor will sell based on nothing more than the fear of losing even more. That’s irrational as hell. If you have been watching the price of new Corvettes, you go down to your automobile dealer and find he is holding a 4th of July sale. He has marked down your perfect machine by 25%. Now if you are the average investor, the guy belonging to the 95% of losers, you say, “I don’t want to buy it now, the price has gone down. I want to wait until the price has gone up every day for three weeks. Then it’s safe to buy.”
Do you really wonder why 95% of resource investors lose money?
As I made clear in Nobody Knows Anything, there are a thousand reasons to sell an investment but only one reason to buy. If you buy any investment for any other reason than to make money, you are one of the lead chumps in the 95% club. If you wear a Save the Whales tee shirt to bed in your organic home made sheets and wake up only to go hug a tree for an hour, you should only buy an investment if you think it’s going to go up. Neither the whales, the sheets nor the trees actually give a shit about your investments. Buy because you want to make money, not for any pseudo-social reasons.
But once you buy, at some point you need to sell. You may have died or gotten a divorce or the price of your Corvette has come within reason. People have to sell all the time. And if you actually understand human behavior, you can profit as a result.
The old adage of “Sell in May and go away” has some basis in truth. In the Northern Hemisphere people go on vacation during the summer. In June and July we almost always have a slow, dull, dropping market with tiny volume. It’s a wonderful time to pick up stocks in the bargain bin. The reason is simple. Because people always have to sell but they don’t necessarily have to buy, an order that would be tiny during other periods has an oversize impact in the summer. Just take a look at volume, for the resource stocks it is near dead. A $10,000 order to sell could easily move a stock down 20% and it happens all the time. Without ready buyers, a sale has far more impact. But when the market turns and it will shortly, a $10,000 purchase will move the stock up 25% to regain all that was lost.
One of the guys in the resource space who understands investors and shows a remarkable sense of timing is Adam Hamilton. We post him every Friday and have for years. He’s one of a tiny handful of commentators in the junior market who actually gives advice you can profit from. I love reading him and have learned a lot. A subscription to his service would more than pay for itself. Last Friday he had this to say.
The COT reports that came out on Friday the 22nd reflecting the Commitment of Traders as of the close on June 19th show large speculators in gold increasing their short positions by 23,000 contracts. Small speculators not only covered their long positions by selling over 1,000 contracts but adding an additional 1,649 shorts.
In silver large speculators closed over 5800 long positions and shorted an additional 3,000 contracts. Investors need to remember that it is the action of speculators caught off guard by a turn in markets that provide the horsepower to drive the price higher. Speculators not only always sell at bottoms and buy at tops, they love to panic.
A stock that I took a position in a little while ago that is on the bargain shelf just began to advertise. The company is named Northern Sphere Mining Corp. (NSM:CSE; NSMCF:OTCBB) and with a market cap today of about $1.5 million it seems to me they only have one direction to move.
The company has two former mines that they are working to put back into production. In Ontario NSM earned an 80% interest in the Scadding Gold project. Past results show gold grades as high as 12.9 g/t over 19 meters, 5.36 g/t over 15.78 meters and 3.9 g/t over 10 meters.
For the 2018 season in Ontario NSM plans on drilling for a compliant resource at Scadding while exploring for nickel and cobalt in potential Sudbury style mineralization in breccia.
Northern Sphere has a patented silver mine they call the Buckeye mine but a lack of funds to support production has put the project on hold until market conditions improve.
For now the primary focus of the company in Arizona will be the Gila Copper/Silver project optioned from True Claim. Currently NSM is working on an expanded copper porphryr surface sampling program. Prior assays show surface grades of up to 0.5% copper and ten ounce silver.
A famous Canadian hockey player once said, “Skate to where the puck is going to be, not where it has been.” Investors need to do the same. We are in a decline in the price of precious metals but both the COTs and the DSI are suggesting a tradable low is very near. Don’t get caught out at the airport when your ship finally arrives.
Northern Sphere is an advertiser and I am biased. I own shares. Do your own due diligence but buying when things are cheap and selling when they are expensive makes a load of sense and cents.
Northern Sphere Mining
NSM-C $0.065 (Jun 25, 2018)
NSMCF-OTCBB 28.8 million shares
Northern Sphere website.
Bob and Barb Moriarty brought 321gold.com to the Internet almost 16 years ago. They later added 321energy.com to cover oil, natural gas, gasoline, coal, solar, wind and nuclear energy. Both sites feature articles, editorial opinions, pricing figures and updates on current events affecting both sectors. Previously, Moriarty was a Marine F-4B and O-1 pilot with more than 832 missions in Vietnam. He holds 14 international aviation records.
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Disclosure:
1) Bob Moriarty: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Northern Sphere Mining. Northern Sphere Mining is an advertiser on 321 Gold. I determined which companies would be included in this article based on my research and understanding of the sector.
2) The following companies mentioned are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article.
Money manager Adrian Day discusses two resource companies in his portfolio that he finds are buys at current levels.
Nevsun Resources Ltd. (NSU:TSX; NSU:NYSE.MKT, US$3.31) continues to make progress on advancing the Timok property in Serbia, as well as turning around Bisha in Eritrea. Earlier in the month, Nevsun started construction of the exploration decline, a necessary development for the development and eventual construction of a mine at the site. This project will take approximately 24 months.
An alternative development plan is being studied, to de-risk the project by reducing the initial capex and production in the early years. If the company adopts this scenario, an updated prefeasibility study will be released in the fall, with a full feasibility by the middle of next year, on schedule. Concurrently, an initial resource estimate for the Lower Zone, a joint venture with Freeport, is expected in coming months.
The company is looking at various alternatives for project capex, including strategic partners who could provide political, technical, or offtake support in addition to the capital.
In Eritrea, the company is proceeding with an expansion of mining at Bisha, with an incremental capital cost of around $40 million. This reflects confidence that the metallurgical problems that bedevilled recoveries at the end of last year and early this. The expansion is estimated to generate an additional $104 million in cash flow over the next five years, which will go towards development at Timok.
The lawsuit against Nevsun for alleged mistreatment of workers in Eritrea will now move to the Supreme Court of Canada. Nevsun argues that the case should be heard in Eritrea not in Canada, but lost its argument in lower courts.
Bidders for company
Separately, Euro Sun said it would pay half its share of the joint proposal with Lundin to buy the company in cash; earlier, the proposal included C$1 in Euro Sun shares. (The cash would come from Nevsun’s war chest, if the bid were successful.) This came in response to investor reluctance to take Euro Sun stock. Significantly, this revised offer was made by Euro Sun alone. We surmise this indicates that Lundin may have heard the market message that Euro Sun is not regarded as a serious partner. We could also infer that Lundin may be talking with Nevsun.
Is another offer coming?
We would not be surprised to see an improved offer—perhaps for a joint venture—from Lundin, or from some other company, though any such offers are slow in coming. Nevsun has stated, however, that after the Lundin proposal was made public, it received interest from several other companies. Given the long-term value of the Lower Timok as well as the significant, if largely ignored, regional exploration potential, we think the current offer undervalues Timok and its long-term potential. It is possible that a formula whereby Lundin buys the Upper Timok and shares with Nevsun in the Lower Zone and exploration could be found, increasing the overall value to shareholders without meaningfully increasing what Lundin has to put up.
This is clearly a story to be continued. In the meantime, Nevsun is good value at the current price level, notwithstanding that the stock could fall back in the near term if it became clear that no offer would be forthcoming.
A quality company with lots of activity
Midland Exploration Inc. (MD:TSX.V, 0.87) continues to advance work on several projects. At the prospective Vortex zone, a new high-grade discovery at a joint venture with Soquem near the Detour Lake mine, a follow-up drill campaign of eight holes has been completed. Once the assays have been received, which should be shortly, the next drill campaign, to target the best zones identified, will be planned and perhaps commenced later this month.
In the James Bay region, there has been work with partner Osisko in the Éléonore area, work on several gold and base metals projects in the joint venture with Altius, and on its wholly owned James Bay Gold project owned property.
In all, Midland has 11 active projects at varying stages, in joint venture, under option, and some 100% owned, with a total of $6.7 million of exploration spending budgeted, of which Midland is responsible for a little over $4 million. Of course, these numbers can change depending on results, but we can expect a continued steady news flow throughout the rest of the year.
With nearly $15 million in cash—including some $1.75 million from the exercise of expiring warrants in May—Midland is well funded to continue its program. Top management, a solid balance sheet, and multiple active projects add up to a company that is well positioned for success. At the current price, Midland is a buy.
Adrian Day, London-born and a graduate of the London School of Economics, heads the money management firm Adrian Day Asset Management, where he manages discretionary accounts in both global and resource areas. Day is also sub-adviser to the EuroPacific Gold Fund (EPGFX). His latest book is “Investing in Resources: How to Profit from the Outsized Potential and Avoid the Risks.”
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Disclosure:
1) Adrian Day: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Midland Exploration. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: None. Funds controlled by Adrian Day Asset Management hold shares of the following companies mentioned in this article: Midland Exploration and Nevsun Resources. I determined which companies would be included in this article based on my research and understanding of the sector.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
4) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article. As of the date of this article, officers and/or employees of Streetwise Reports (including members of their household) own securities of Midland Exploration and Nevsun Resources, companies mentioned in this article.
Bob Moriarty of 321 Gold calculates what South32’s acquisition offer for Arizona Mining means to the value of another company with a similar resource.
On June 17th, 2018 an Australian company named South32 Ltd. (S32:ASX) agreed to buy the remaining 83% of shares in Arizona Mining Inc. (AZ:TSX) in a deal that values all of Arizona Mining at $2.1 billion Canadian pesos. The fully funded price is an all cash offer.
When they read about the proposed takeover, the management of ZincX Resources Corp. (ZNX:TSX.V) all smiled. Now they know what an all cash offer would look like for their similar lead/zinc/silver project.
Most times it becomes difficult to measure one company against another since there are so many variables. In a comparison of ZincX to Arizona Mining, it’s actually fairly easy because their published 43-101 resources are so similar in nature.
In the indicated 43-101 resource for Cardiac Creek of ZincX published in November of 2017, ZincX showed 22.7 million tons with a metal in the ground value of $295.15 per ton for a total of about $6.7 billion USD.
The same table for the 43-101 resource in the inferred category for the Cardiac Creek deposit shows just over 7.5 million tons with a metal in the ground value of $246.87 and a total of about $1.86 billion USD.
For Arizona Mining in the M&I category their most current 43-101 from January of this year shows 100,958,000 tons with a metal in the ground value of $257.65.
In the inferred category the same 43-101 reported 43,069,000 tons with an in the ground value of $284.65 per ton.
Those numbers were easy to compare because they are measuring similar type metal deposits. The Indicated resource for ZincX is about 20% higher than the M&I resource for Arizona Mining. The Inferred 43-101 resource for Cardiac Creek of ZincX is about 20% lower than the Inferred numbers for the Taylor Deposit of Arizona Mining.
If you work out the numbers roughly given that we are working with tons and the USD values, for the Taylor Deposit of Arizona Mining we get a total in the ground value of just over $38 billion. Of course that isn’t their only project, they also post numbers for what they call the Central Deposit but here you have a problem of mixing apples and oranges. With almost 70 million tons of rock, the Central Deposit has great value but it’s really a manganese deposit with some zinc and silver added in. In any case, I worked up rough numbers and figured that the Central Deposit has an additional $30 billion worth of rock in the ground.
So for Arizona Mining we have a total of about $68 billion USD in an in the ground rough value and a total purchase price by South32 of $2.1 billion Canadian. Which is about $1.575 billion USD. So South32 is paying 2.31% of the rough metal in the ground value for Arizona Mining.
As I write, ZincX shares are selling for $0.35 CAD. That gives the company a market cap right now of $58.2 million CAD or $43.9 million USD. If South32 paid the right price for Arizona Mining (and it’s all in cash) and they paid 2.31% of the metal in the ground value, it’s a simple math problem to say that ZincX with a similar silver/lead/zinc project should be worth 2.31% of $8.56 billion USD or $197 million USD or $262 million CAD.
That makes ZincX very cheap. Cardiac Creek is 100% owned. Arizona Mining uses a figure of 3% for an average NSR. ZincX has no NSR. There are a whole bunch of differences between the two companies all of which are more favorable to ZincX.
ZincX just released a PEA on June 20th giving very interesting numbers. Shares in ZincX are up almost 50% in a week since the South32/Arizona Mining announcement. I think they are going to go a lot higher. I’m not the only person doing the math.
ZincX is an advertiser and naturally I am biased. Do your own due diligence. I have bought shares in the open market.
ZincX Resources
ZNX-V $0.35 (Jun 20, 2018)
CZXMF-OTCBB 167.2 million shares
ZincX Resources website.
Bob and Barb Moriarty brought 321gold.com to the Internet almost 16 years ago. They later added 321energy.com to cover oil, natural gas, gasoline, coal, solar, wind and nuclear energy. Both sites feature articles, editorial opinions, pricing figures and updates on current events affecting both sectors. Previously, Moriarty was a Marine F-4B and O-1 pilot with more than 832 missions in Vietnam. He holds 14 international aviation records.
Want to read more Gold Report articles like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent articles and interviews with industry analysts and commentators, visit our Streetwise Interviews page.
Disclosure:
1) Bob Moriarty: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: ZincX Resources. ZincX Resources is an advertiser on 321 Gold. I determined which companies would be included in this article based on my research and understanding of the sector.
2) The following companies mentioned are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article.
Charts provided by the author.
Sector expert Adrian Day looked at two ‘favorite’ junior explorers he considers ‘good buys at current levels.’
Lara Exploration Ltd. (LRA:TSX.V) (0.59) released some very strong results from channel sampling at a new polymetallic property in Peru. The Puituco Project returned 4.6% zinc, 4.9% lead and 27 grams per ton over 42.6 meters. These results make it more likely that Lara can execute a good earn-in agreement, more likely with a major company. Acquired at auction in late 2017, Puituco is surrounded by BHP Billiton Ltd. (BHP:NYSE; BHPLF:OTCPK) property, while South32 Ltd. (S32:ASX; a major base metals company itself spun off from BHP) is nearby. One of the two would be an obvious candidate for any agreement; South32 has been very active in acquisitions and joint ventures.
Lara is particularly active in Brazil and Peru, though most of the recent news is from the former. In Peru, however, it now has 15 properties, including epithermal gold and polymetallic projects.
Two projects advance, one to production
Earlier, Lara announced additional drill results from its Planalto copper project in northern Brazil, which included another long intercept (211 meters) of copper mineralization, and the company said it was “very encouraged” by presence of massive chalcopryrite. It holds this property 100%, and decided to test drill before seeking a partner.
Lara also announced receipt of a mining license for its Maravaia copper project near Curionopolis in northern Brazil. The property has been optioned to a private Vancouver-based company, Tessarema, with Lara retaining a 5% carried interest and a 2% royalty. If Tessarema has not achieved commercial production by November, it must pay Lara an additional US$1 million.
Lots of activity with prospective big win in wings
Lara continues to await the decision on the legal case between Codelco (its partner) and Vale S.A. (VALE:NYSE) over the highly prospective Libertade property. A successful outcome here could be a company maker. Meanwhile, Lara has been very active in recent months, with several positive developments. The company has about $2 million cash and marketable securities, with several possible sources of revenue over the next or so, some more certain than others. But the company is not planning on raising additional funds at the current price level. With several highly prospective items on the boil, cash coming in, and only a CA$20 million market cap, Lara is a very strong buy here for an investor who can afford to be patient.
Well Positioned for the Commodity Bull Market
Altius Minerals Corp. (ALS:TSX.V) (12.95) reported modest increases in revenue, reflecting “slow and steady cyclical price rebounds as well as incremental volume increases,” according to CEO Brian Dalton.
Copper currently has the highest allocation of revenue, at 36%, with strong results from Yama’s Chapada Mine, where a new expansion has just been announced, foretelling a strong outlook. Thermal coal had a strong quarter, but the overall allocation to that commodity continues to decline, since Altius’ royalty is based on volume, while other royalties are based on price, and commodity prices generally improving, while potash—another big segment for Altius—has hit cyclical lows (according to Dalton).
Dalton commented that the mix of commodities “is not bad” relative to the size of the commodity markets overall, with a few major commodities, such as aluminum, difficult to purchase royalties on. But he emphasized that the company was more focused now on good quality assets than on tweaking the mix to ensure it precisely matches global markets.
Altius has also just launched a renewable energy business in joint venture with Great Bay Renewables, which lends the technical expertise in that sector.
Cash and assets to deal
Altius has $57 million in cash, with almost the same amount drawn on term debt and another $75 million drawn on the revolver (for a total of $128 million debt). It recently drew on its revolver for its recent potash acquisition, so total debt is higher than normal. Indeed, the company is in the process of renegotiating its debt. In addition, the company holds a portfolio of equities in mostly junior companies.
Down from $14.50 in April, with strong cash flows and a broad land portfolio, some joint ventured and more available for joint venture, Altius is also a good buy here.
Adrian Day, London-born and a graduate of the London School of Economics, heads the money management firm Adrian Day Asset Management, where he manages discretionary accounts in both global and resource areas. Day is also sub-adviser to the EuroPacific Gold Fund (EPGFX). His latest book is “Investing in Resources: How to Profit from the Outsized Potential and Avoid the Risks.”
Want to read more Gold Report articles like this? Sign up for our free e-newsletter, and you’ll learn when new articles have been published. To see a list of recent articles and interviews with industry analysts and commentators, visit our Streetwise Interviews page.
Disclosure:
1) Adrian Day: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Lara Exploration and Altius Minerals. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: None. Funds controlled by Adrian Day Asset Management hold shares of the following companies mentioned in this article: Lara Exploration and Altius Minerals. I determined which companies would be included in this article based on my research and understanding of the sector.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
4) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article. As of the date of this article, officers and/or employees of Streetwise Reports (including members of their household) own securities of Lara Exploration and Altius Minerals, companies mentioned in this article.
Maurice Jackson of Proven and Probable explores the prospects for investment in uranium with Mickey Fulp, the Mercenary Geologist.
An independent resource estimate report has been completed and filed on SEDAR; a PEA is expected within a few months for a project that has the potential to be a major supplier of lithium products.
Fund manager Adrian Day reviews several senior gold companies, including one he sees as a good buy at current prices.
Franco-Nevada Corp. (FNV:TSX; FNV:NYSE, US$70.43) revenue is up, driven largely by its oil & gas royalties, however. Looking ahead, Cobre Panama, Franco’s largest ever single investment, will see phased commissioning beginning later this year for first production in January. Cobre will drive the growth of 16% in gold-equivalent ounces by 2020. Under the unusual royalty, Franco will receive a fixed amount of gold and silver for each 1 million pounds of copper the mine produces, thus negating swings in the composition of the ore body. By 2020, this could be generating over $100 million a year for Franco.
After $523 million of investments in the first quarter, most of it at Cobre, Franco still has $1.2 billion of liquidity.
Franco is now the most widely held gold stock among generalist funds and institutions, other than gold ETFs, and this likely weighs on the stock in a period of general market volatility. However, at the current price—down from over $80 at the beginning of the year—Franco is a buy, particularly for those who do not own any.
Growth without a tax dispute
Royal Gold Inc. (RGLD:NASDAQ; RGL:TSX, US$91.71) saw revenue from another new mine, Rainy River, in the first quarter, and overall is expecting growth from last year to next of 19%, independent of the gold price. The previously announced suspension of milling at Mt. Milligan in January will affect the current quarter’s results (because of the timing of shipments), but this should not come as a surprise to the market.
Apart from the growth profile, the fact that Royal is a U.S. company and therefore unaffected by the Canadian tax authorities challenge to treatment of offshore royalties has helped the stock surge ahead, up from just over $80 at the beginning of March.
The company took an impairment on its investment in Barrick’s large but troubled Pascua-Lama project, where work was recently suspended. However, now Royal, with a 5.45% gold royalty and 1% copper royalty on this large deposit, essentially has a low-cost option.
Given the sharp rise in the stock price and high valuation—with a price-to-book higher now even than Franco’s—we are standing aside for now.
Turning the corner…again?
Yamana Gold Inc. (YRI:TSX; AUY:NYSE; YAU:LSE, US$2.99) reiterated its annual guidance for 900,000 ounces of gold, excluding assets for sale and the Brazilian assets in Brio, which has been acquired by Leagold Mining Corp. (LMC:TSX.V; LMCNF:OTCQX). Yamana now owns 21% of Leagold. This sale is a positive for Yamana, since Leagold will likely put the energy and focus into the assets that were non-core for Yamana. It also reduces the average cash cost for Yamana’s mines since the Brio mines had a cash cost about 25% higher than the rest of the mines.
Separately, the first gold pour has taken place at its next major mine, Cerro Moro, in Argentina. The ramp up of this mine will largely drive a 17% increase in production by 2020. Some sales of minor assets have helped improve the balance sheet, with net debt now $1.55 billion, down from over $1.7 billion at year-end. Assuming the ramp up goes up, cash flow from Cerro Moro should help cut debt further in coming years.
Certainly, there are signs of improvement at Yamana and the valuation is competitive, particularly the price to book value at just 0.7x relative to 1.26 x for the XAU index. However, we have been burned before, so, particularly given the move from $2.60 in the last three months, we are holding.
Slow progress towards its lofty goals
Goldcorp Inc. (G:TSX; GG:NYSE, US$14.21) had a slow start to the year. Despite somewhat improved production, driven by Peñasquito, operating costs also rose. Two new mines still in ramp up, Cerro Negro and Éléonore, actually saw lower production. Ramp up is taking longer than expected, though these long-life mines should generate strong revenue for the company once fully operational. We are holding but not buying at the current price.
Adrian Day, London-born and a graduate of the London School of Economics, heads the money management firm Adrian Day Asset Management, where he manages discretionary accounts in both global and resource areas. Day is also sub-adviser to the EuroPacific Gold Fund (EPGFX). His latest book is “Investing in Resources: How to Profit from the Outsized Potential and Avoid the Risks.”
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Disclosure:
1) Adrian Day: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Franco-Nevada, Royal Gold. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: None. Funds controlled by Adrian Day Asset Management hold shares of the following companies mentioned in this article: Franco-Nevada, Royal Gold, Yamana Gold and Goldcorp. I determined which companies would be included in this article based on my research and understanding of the sector.
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Saputo Inc. (TSX:SAP) (Saputo or the Company) reported today its financial results for fiscal 2018, which ended on March 31, 2018. All amounts in this news release are in Canadian dollars, unless otherwise indicated, and are presented according to International Financial Reporting Standards (IFRS).
(in millions of Canadian (CDN) dollars, except per share amounts) | ||
(audited) | ||
2017 | ||
Revenues | 11,162.6 | |
Adjusted EBITDA* | 1,289.5 | |
Net earnings | 731.1 | |
Adjusted net earnings* | 731.1 | |
Net earnings per share | 1.86 | |
Diluted net earnings per share | 1.84 | |
Adjusted net earnings per share* | 1.86 | |
Diluted adjusted net earnings per share* | 1.84 | |
* Non-IFRS measures described in the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
* | Non-IFRS measures described in the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
** | Refer to the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
(in millions of Canadian (CDN) dollars, except per share amounts) | ||
(unaudited) | ||
2017 | ||
Revenues | 2,719.8 | |
Adjusted EBITDA* | 284.1 | |
Net earnings | 165.2 | |
Adjusted net earnings* | 165.2 | |
Net earnings per share | 0.42 | |
Diluted net earnings per share | 0.42 | |
Adjusted net earnings per share* | 0.42 | |
Diluted Adjusted net earnings per share* | 0.42 |
* | Non-IFRS measures described in the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
For more information on the results of fiscal 2018 and the fourth quarter of fiscal 2018, reference is made to the audited
consolidated financial statements, the notes thereto and to the Management’s Discussion and Analysis for the fiscal year ended March 31, 2018. These documents can be obtained on SEDAR at www.sedar.com and in the “Investors” section of the Company’s website, at www.saputo.com.
A conference call to discuss the fourth quarter and year-end results for fiscal 2018 will be held on Thursday, June 7, 2018 at 2:30 p.m. Eastern Daylight Time. To participate in the conference call, dial 1-800-941-7616. To ensure your participation, please dial in approximately five minutes before the call.
To listen to this call on the Web, please enter http://www.gowebcasting.com/9280 in your Web browser.
For those unable to participate, a replay of the conference will be available until 11:59 p.m., Thursday, June 14, 2018. To access the replay, dial 1-800-558-5253, ID number 21889151. A webcast will also be archived on www.saputo.com, in the “Investors” section, under Newsroom.
Saputo produces, markets, and distributes a wide array of dairy products of the utmost quality, including cheese, fluid milk, extended shelf-life milk and cream products, cultured products and dairy ingredients. Saputo is one of the top ten dairy processors in the world, the largest cheese manufacturer and the leading fluid milk and cream processor in Canada, the top dairy processor in Australia and the second largest in Argentina. In the USA, Saputo ranks among the top three cheese producers and is one of the largest producers of extended shelf-life and cultured dairy products. Our products are sold in several countries under well-known brand names such as Saputo, Alexis de Portneuf, Armstrong, COON, Cracker Barrel*, Dairyland, DairyStar, Devondale, Friendship Dairies, Frigo Cheese Heads, La Paulina, Milk2Go/Lait’s Go, Montchevre, Murray Goulburn, Neilson, Nutrilait, Scotsburn*, Stella, Sungold, Treasure Cave and Woolwich Dairy. Saputo Inc. is a publicly traded company and its shares are listed on the Toronto Stock Exchange under the symbol “SAP”.
*Trademark used under licence.
This news release contains forward-looking statements within the meaning of applicable securities laws. These statements are based, among other things, on Saputo’s assumptions, expectations, estimates, objectives, plans and intentions as of the date hereof regarding projected revenues and expenses, the economic, industry, competitive and regulatory environments in which the Company operates or which could affect its activities, its ability to attract and retain customers and consumers, as well as the availability and cost of milk and other raw materials and energy supplies, its operating costs and the pricing of its finished products on the various markets in which it carries on business.
These forward-looking statements include, among others, statements with respect to the Company’s short and medium term objectives, outlook, business projects and strategies to achieve those objectives, as well as statements with respect to the Company’s beliefs, plans, objectives and expectations. The words “may”, “should”, “will”, “would”, “believe”, “plan”, “expect”, “intend”, “anticipate”, “estimate”, “foresee”, “objective”, “continue”, “propose” or “target”, or the negative of these terms or variations of them, the use of conditional or future tense or words and expressions of similar nature, are intended to identify forward-looking statements.
By their nature, forward-looking statements are subject to a number of inherent risks and uncertainties. Actual results could differ materially from the conclusion, forecast or projection stated in such forward-looking statements. As a result, the Company cannot guarantee that any forward-looking statements will materialize. Assumptions, expectations and estimates made in the preparation of forward-looking statements and risks that could cause actual results to differ materially from current expectations are discussed in the Company’s materials filed with the Canadian securities regulatory authorities from time to time, including the “Risks and Uncertainties” section of the Management’s Discussion and Analysis included in the company’s 2018 Annual Report.
Forward-looking statements are based on Management’s current estimates, expectations and assumptions, which Management believes are reasonable as of the date hereof, and, accordingly, are subject to changes after such date. You should not place undue importance on forward-looking statements and should not rely upon this information as of any other date.
To the extent any forward-looking statement in this document constitutes financial outlook, within the meaning of applicable securities laws, such information is intended to provide shareholders with information regarding the Company, including its assessment of future financial plans, and may not be appropriate for other purposes. Financial outlook, as with forward-looking information generally, is based on current estimates, expectations and assumptions and is subject to inherent risks and uncertainties and other factors.
Except as required under applicable securities legislation, Saputo does not undertake to update or revise these forward-looking statements, whether written or verbal, that may be made from time to time by itself or on its behalf, whether as a result of new information, future events or otherwise.
for the fourth quarter of fiscal 2018 totalled $2.745 billion, an increase of approximately $25 million or 0.9%, as compared to $2.720 billion for the same quarter last fiscal year. Higher sales volumes, as well as the inclusion of revenues derived from the SMI Acquisition and the Montchevre Acquisition, increased revenues by approximately $53 million, as compared to the same quarter last fiscal year. A lower average block market per pound of cheese, partially offset by a higher average butter market price per pound, decreased revenues by approximately $29 million as compared to the same quarter last fiscal year. Also, lower international selling prices of dairy ingredients negatively impacted revenues. Moreover, the fluctuation of the Canadian dollar versus foreign currencies decreased revenues by approximately $93 million.
Consolidated revenues totalled $11.543 billion in fiscal 2018, an increase of approximately $380 million or 3.4% in comparison to $11.163 billion in fiscal 2017. Higher sales volumes and higher selling prices of cheese and dairy ingredients in both domestic and export markets increased revenues, as compared to last fiscal year. The fluctuation of the average butter market price per pound and the average block market per pound of cheese increased revenues by approximately $97 million. Additionally, the inclusion of revenues from the SMI Acquisition and the Montchevre Acquisition positively impacted revenues by approximately $78 million. Conversely, the fluctuation of the Canadian dollar versus foreign currencies decreased revenues by approximately $211 million.
for the fourth quarter of fiscal 2018 totalled $261.7 million, a decrease of $22.4 million or 7.9% in comparison to $284.1 million for the same quarter last fiscal year. The combination of a higher cost of milk as raw material and lower selling prices in the export markets, including inventory write-downs, decreased adjusted EBITDA by approximately $33 million. Furthermore, higher warehousing and logistical costs related to additional external storage expenses and higher transportation costs of approximately $15 million, as well as higher administrative expenses to support future growth, mainly due to the ERP initiative, of approximately $10 million decreased adjusted EBITDA. In the USA, market factors negatively impacted adjusted EBITDA by approximately $3 million. These decreases were partially offset by higher sales volumes, operational efficiencies through raw material optimization, as well as the positive impact derived from the SMI Acquisition and the Montchevre Acquisition. Lastly, the fluctuation of the Canadian dollar versus foreign currencies had an unfavourable impact on adjusted EBITDA of approximately $5 million, as compared to the same quarter last fiscal year.
Consolidated adjusted EBITDA in fiscal 2018 totalled $1.265 billion, a decrease of approximately $25 million or 1.9%, as compared to $1.290 billion in fiscal 2017. Higher warehousing and logistical costs related to additional external storage expenses and higher transportation costs of approximately $30 million, as well as higher ERP expenses of approximately $32 million decreased adjusted EBITDA, as compared to last fiscal year. Additionally, in the USA, market factors decreased adjusted EBITDA by approximately $25 million. As a result of the decrease in certain market selling prices, inventory was written down by approximately $17 million during fiscal 2018, as compared to approximately $4 million for last fiscal year. These decreases were partially offset by operational efficiencies through raw material optimization and higher international selling prices of cheese and dairy ingredients. Higher sales volumes and a favourable product mix, as well as the inclusion of the SMI Acquisition and the Montchevre Acquisition positively impacted adjusted EBITDA. Finally, the fluctuation of the Canadian dollar versus foreign currencies had an unfavourable impact on adjusted EBITDA of approximately $18 million, as compared to last fiscal year.
The consolidated adjusted EBITDA margin decreased to 11.0% in fiscal 2018, as compared to 11.6% in fiscal 2017, resulting mainly due to lower adjusted EBITDA in the USA Sector as compared to the prior fiscal year.
for the fourth quarter of fiscal 2018 totalled $64.7 million, an increase of $7.8 million, in comparison to $56.9 million for the same quarter last fiscal year.
In fiscal 2018, depreciation and amortization expenses amounted to $226.3 million, an increase of $19.0 million, as compared to $207.3 million for fiscal 2017.
These increases are mainly attributed to additions to property, plant and equipment and intangibles related to the ERP initiative, increasing the depreciable base, as well as the additional depreciation and amortization expenses related to the SMI Acquisition and the Montchevre Acquisition.
costs amounted to $1.2 million and $40.6 million respectively for the three-month period ended March 31, 2018 and fiscal 2018. Acquisition costs are related to the SMI Acquisition, the Montchevre Acquisition and the Murray Goulburn Acquisition. In connection with the restructuring costs relating to a plant closure in Fond du Lac, Wisconsin, the Company incurred $23.1 million in severance and closure costs and $10.6 million in impairment charges to property, plant and equipment.
for the three-month period ended March 31, 2018 and fiscal 2018 increased by $3.8 million and $6.0 million respectively, in comparison to the same periods last fiscal year. These increases are mainly attributed to higher bank loans denominated in Argentine peso, which bear higher interest rates, and financing for the SMI Acquisition and the Montchevre Acquisition.
for the three-month period ended March 31, 2018 and 2017 totalled $52.9 million, reflecting an effective tax rate of 28.9%, as compared to 24.3% for the same quarter last fiscal year. In fiscal 2018, income taxes totalled $97.4 million, compared to $309.2 million in fiscal 2017, reflecting an effective tax rate of 10.3%, compared to 29.7% last fiscal year. During the fiscal year, the Company recorded an income tax benefit of $178.9 million to adjust for future tax balances of $169.2 million and current fiscal year provisions of $9.7 million, due to the reduction of the US federal tax rate. Excluding the benefit of the US federal tax rate reduction, income tax expense in fiscal 2018 would have totalled $276.3 million, reflecting an effective tax rate of 29.1% compared to 29.7% for the previous fiscal year. This reduction is mainly due to an income tax recovery of $8.3 million following a positive settlement in a tax file. The income tax rate varies and could increase or decrease based on the amount and source of taxable income, amendments to tax legislations and income tax rates, changes in assumptions, as well as estimates used for tax assets and liabilities by the Company and its affiliates.
for the three-month period ended March 31, 2018 totalled $130.0 million, a decrease of $35.2 million or 21.3% in comparison to $165.2 million for the same quarter last fiscal year.
In fiscal 2018, net earnings totalled $852.5 million, an increase of $121.4 million or 16.6%, as compared to $731.1 million last fiscal year.
The variations in net earnings are due to the above-mentioned factors.
totalled $135.3 million for the three-month period ended March 31, 2018, as compared to $165.2 million for the same quarter last fiscal year.
In fiscal 2018, adjusted net earnings, totalled $704.2 million, as compared to $731.1 million last fiscal year.
These decreases are due to the above-mentioned factors.
For fiscal 2018, the Canada Sector includes national and export revenues of ingredients manufactured in Canada. The USA Sector includes national ingredient revenues, and export ingredient and cheese revenues of products manufactured in the USA. For fiscal 2017, these figures were presented in the Dairy Ingredients Division as part of the International Sector. Accordingly, certain prior year’s figures have been reclassified to conform to the current presentation.
(in millions of CDN dollars) | ||||
2017 | 2017 | |||
Revenues | 959.8 | 4,060.2 | ||
Adjusted EBITDA* | 104.1 | 453.1 |
* | Non-IFRS measure described in the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
The Canada Sector consists of the Dairy Division (Canada).
(in millions of CDN dollars) | ||||
2017 | 2017 | |||
Revenues | 1,486.5 | 6,003.3 | ||
Adjusted EBITDA* | 150.5 | 734.2 |
* | Non-IFRS measure described in the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
(in millions of CDN dollars) | ||||||||
2017 | 2017 | |||||||
Market factors*,1 | (10 | ) | (4 | ) | ||||
Inventory write-down | – | – | ||||||
US currency exchange1 | (7 | ) | 1 |
* | Refer to the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
1 | As compared to same quarter of previous fiscal year for the three-month periods; as compared to the previous fiscal year for the year ended March 31. |
(in US dollars, except for average exchange rate) | ||||
2017 | 2017 | |||
Opening | 1.660 | 1.460 | ||
Closing | 1.520 | 1.520 | ||
Average | 1.580 | 1.605 | ||
Opening | 2.268 | 1.955 | ||
Closing | 2.108 | 2.108 | ||
Average | 2.177 | 2.112 | ||
0.482 | 0.350 | |||
0.011 | 0.092 | |||
1.324 | 1.312 |
* | Refer to the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
1 | Based on Bank of Canada published information. |
The USA Sector consists of the Cheese Division (USA) and the Dairy Foods Division (USA).
(in millions of CDN dollars) | ||||
2017 | 2017 | |||
Revenues | 273.5 | 1,099.1 | ||
Adjusted EBITDA* | 29.5 | 102.2 |
* | Non-IFRS measure described in the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
(in millions of CDN dollars) | ||||||||
2017 | 2017 | |||||||
Inventory write-down | (2 | ) | (4 | ) | ||||
US currency exchange1 | (1 | ) | 7 |
1 | As compared to same quarter of previous fiscal year for the three-month periods; as compared to the previous fiscal year for the years ended March 31. |
The International Sector consists of the Dairy Division (Argentina) and the Dairy Division (Australia).
Throughout fiscal 2018, the Company continued to strategically invest in capital projects, materialize acquisitions, expand its activities in existing markets and increase its dividend. In fiscal 2019, the strategic Murray Goulburn Acquisition, combined with our existing Australian platform allowed the Company to become the leading dairy processor in Australia. The Murray Goulburn Acquisition will provide opportunities in both domestic and export markets. In fiscal 2019, we will focus on integrating MG’s operations and maximizing the asset base in addition to aligning it with our Company’s operating model and business approach. Additionally, the SMI Acquisition and the Montchevre Acquisition integrations will continue in the USA, maximizing network infrastructure and distribution as well as increasing our presence in the specialty cheese category in the USA. The Company also benefits from a solid balance sheet and capital structure, supplemented by a high level of cash generated by operations. This financial flexibility allows the Company to continue to grow through targeted acquisitions and organically through strategic capital investments. Profitability enhancement and shareholder value creation remain the cornerstones of the Company’s objectives. The Company has a long-standing commitment to manufacture quality products and will remain focused on operational efficiencies.
We intend to continue expanding and modernizing our plants, with investments in equipment and processes designed to increase efficiency. The Company tends to spend amounts of capital to a level which is equivalent to its depreciation and amortization expense, without considering capital expenditure amounts for strategic projects, such as plant capacity increases, capital expenditures necessary to build new infrastructure for rationalization programs, or the Company’s ERP initiative. In fiscal 2019, the Company intends to spend $310.7 million in capital in addition to an amount of $54.8 million allocated for the continued implementation of the ERP initiative. Refer to the section entitled “Capital Expenditures” in the Annual Information Form of the Company dated June 7, 2018 for additional information on the Company’s capital expenditure plan.
The Company will pursue planning, designing and implementation activities for the migration to a new ERP system. The implementation is progressing as planned. The new ERP system has been successfully implemented in Argentina and Australia. In fiscal 2019, the Company expects to complete the system implementation in the Dairy Foods Division (USA). Afterwards, the Company will proceed with the implementation in the Cheese Division (USA), which is expected in fiscal 2020. Implementation in the Dairy Division (Canada) will begin in fiscal 2020.
We will continue to focus on reviewing overall activities to improve operational efficiency, in order to mitigate downward margin pressures, low growth and competitive market conditions. The Dairy Division (Canada) will undertake capital projects aimed at increasing efficiencies and maximizing its manufacturing footprint in order to maintain its leadership position. The Division also intends to capture market opportunities from the redesign of the Saputo brand and reaffirm its engagement to consumers from coast-to-coast as their preferred and trusted cheese brand through various promotions, advertising and innovative packaging. As part of the Company’s capital expenditure plan, we intend to build a new facility for approximately $240 million, over the next three years, in Port-Coquitlam, British Columbia to better serve the market in Western Canada and benefit from a state-of-the-art facility to be commissioned in fiscal 2021. Consequently, the Company has entered into an agreement to sell its existing facility in Burnaby, British Columbia, which sale is expected to be completed in fiscal 2019, for an amount of $218 million, and will enter into a lease agreement for that same facility until the construction of the new facility is completed.
We expect to be in a position to complete the Shepherd Gourmet Acquisition in June 2018 and then proceed with the integration of the activities. The acquisition will enable the Dairy Division (Canada) to increase its presence in specialty cheese and expand its yogurt offering in Canada. The transaction remains subject to customary conditions.
The Dairy Division (Canada) will begin its preparation activities in fiscal 2019 in anticipation of its upcoming ERP system implementation in fiscal 2020.
The Cheese Division (USA) is focused on increasing operational efficiencies and controlling costs in order to mitigate the negative impact on adjusted EBITDA of the dairy commodity markets. During the upcoming quarters, the Division will benefit from the additional blue cheese manufacturing capabilities in its newly constructed facility in Almena, Wisconsin. This capital expenditure project allows the Division to strengthen its position within the blue cheese category. Also, the Cheese Division (USA) will pursue growth of cheese export sales volumes to the extent USA milk pricing is competitive with world prices.
The Division will close its cheese manufacturing facility in Fond du Lac, Wisconsin in the first quarter of fiscal 2019. In an effort to pursue additional efficiencies and decrease costs while strengthening its market presence, the production has been transferred into the Company’s facility in Almena, Wisconsin.
The Division will focus on the integration of the Montchevre Acquisition which enables the Cheese Division (USA) to broaden its presence in specialty cheeses in the USA.
The Dairy Foods Division (USA) continues to focus on optimization and maximizing investments in its existing network in order to benefit from new capabilities in production, enable future growth, meet customer demand and bring new products to market. The Division has integrated the SMI Acquisition and will focus on maximizing its network infrastructure and distribution. The Division will keep investing to support production capabilities and strengthen its competitive cost position. More specifically, the Dairy Foods Division (USA) will focus on targeted capital expenditures aimed at increasing production capacity.
The dairy ingredient markets were depressed through the fourth quarter of fiscal 2018 and these prices are anticipated to remain low throughout the first half of fiscal 2019, which will continue to put downward pressure on the USA Sector’s margins.
The implementation of the ERP system continues to progress. The implementation within the Dairy Foods Division (USA) will be completed in fiscal 2019 while the Cheese Division (USA) has started its preparation activities and implementation is expected to be completed in fiscal 2020.
On May 1, 2018, the Company completed the Murray Goulburn Acquisition, which will add to and complement the activities of its Dairy Division (Australia). By acquiring a well-established industry player, the Company reinforces its commitment to strengthen its presence in the Australian market. The Company intends to grow milk intake, review Murray Goulburn operations and focus on maximizing the network at its disposal. MG produces a full range of high-quality dairy foods, including fluid milk, milk powder, cheese, butter and dairy beverages, as well as a range of dairy ingredient and nutritional products, such as infant formula. MG supplies the retail and foodservice industries globally with its flagship Devondale, Liddells and Murray Goulburn Ingredients brands. Saputo intends to continue to pursue growth, invest in its Australian platform, and contribute to the ongoing development of its domestic and international business. The Company has also initiated a sale process for the Koroit dairy plant, based in Victoria, Australia, acquired from MG, such divestiture being required pursuant to the undertaking entered into with the Australian Competition and Consumer Commission in connection with the Murray Goulburn Acquisition.
The International Sector will continue to pursue sales volumes growth in existing markets, as well as develop additional international markets. The Sector will continue to evaluate overall activities to improve efficiencies and aim to maximize its operational flexibility to mitigate volatility in market conditions. As volatility in dairy markets remains, we do not expect a significant recovery in the international cheese and dairy ingredient prices in the first half of fiscal 2019. As such, we will continue to focus on controlling costs and increasing operational efficiencies in order to mitigate their impact on adjusted EBITDA.
(in millions of Canadian (CDN) dollars, except per share amounts) | |||||||||
Fiscal years | 2017 | ||||||||
(unaudited) | Q4 | Q3 | Q2 | Q1 | |||||
Revenues | 2,719.8 | 2,966.1 | 2,845.3 | 2,631.4 | |||||
Adjusted EBITDA* | 284.1 | 346.6 | 340.6 | 318.2 | |||||
Net earnings | 165.2 | 197.4 | 191.8 | 176.7 | |||||
Acquisition and restructuring costs1 | – | – | – | – | |||||
US Tax Reform** | – | – | – | – | |||||
Adjusted net earnings* | 165.2 | 197.4 | 191.8 | 176.7 | |||||
Net earnings per share | 0.42 | 0.50 | 0.49 | 0.45 | |||||
Diluted net earnings per share | 0.42 | 0.49 | 0.48 | 0.44 | |||||
Adjusted net earnings per share* | 0.42 | 0.50 | 0.49 | 0.45 | |||||
Diluted Adjusted net earnings per share* | 0.42 | 0.49 | 0.48 | 0.44 | |||||
Earnings coverage ratio** | 25.83 | 22.54 | 18.34 | 15.02 |
* | Non-IFRS measure described in the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
** | Refer to the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
1 | Net of income taxes |
(in millions of CDN dollars) | ||||||||
Market factors*,1 | ||||||||
Inventory write-down | ||||||||
Foreign currency exchange1,2 |
* | Refer to the “Glossary” section of the Management’s Discussion and Analysis on page 36 of the 2018 Annual Report. |
1 | As compared to same quarter of previous fiscal year. |
2 | Foreign currency exchange includes effect on adjusted EBITDA of conversion of US dollars, Australian dollars and Argentine pesos to Canadian dollars. |
(in millions of CDN dollars, except per share amounts) | |||||||||||||
(unaudited) | (audited) | ||||||||||||
2017 | 2017 | ||||||||||||
$ | 2,719.8 | $ | 11,162.6 | ||||||||||
Operating costs excluding depreciation, amortization, acquisition and restructuring costs | 2,435.7 | 9,873.1 | |||||||||||
284.1 | 1,289.5 | ||||||||||||
Depreciation and amortization | 56.9 | 207.3 | |||||||||||
Acquisition and restructuring costs | – | – | |||||||||||
Interest on long-term debt | 8.3 | 36.9 | |||||||||||
Other financial charges | 0.8 | 5.0 | |||||||||||
218.1 | 1,040.3 | ||||||||||||
Income taxes | 52.9 | 309.2 | |||||||||||
$ | 165.2 | $ | 731.1 | ||||||||||
Basic | $ | 0.42 | $ | 1.86 | |||||||||
Diluted | $ | 0.42 | $ | 1.84 |
Note: These financial statements should be read in conjunction with the Company’s audited consolidated financial statements, the notes thereto and with the Management’s Discussion and Analysis for the fiscal year ended March 31, 2018, included in the Company’s 2018 Annual Report. These documents can be obtained on SEDAR at www.sedar.com and in the “Investors” section of the Company’s website, at www.saputo.com.
(in millions of CDN dollars) | ||||||
(audited) | ||||||
Cash and cash equivalents | $ | 250.5 | ||||
Receivables | 863.2 | |||||
Inventories | 1,172.5 | |||||
Income taxes receivable | 15.0 | |||||
Prepaid expenses and other assets | 79.3 | |||||
2,380.5 | ||||||
2,165.5 | ||||||
2,240.5 | ||||||
662.3 | ||||||
99.7 | ||||||
48.1 | ||||||
$ | 7,596.6 | |||||
Bank loans | $ | 93.8 | ||||
Accounts payable and accrued liabilities | 1,008.3 | |||||
Income taxes payable | 91.3 | |||||
Current portion of long-term debt | – | |||||
1,193.4 | ||||||
1,500.0 | ||||||
68.9 | ||||||
511.4 | ||||||
$ | 3,273.7 | |||||
Share capital | 871.1 | |||||
Reserves | 812.7 | |||||
Retained earnings | 2,639.1 | |||||
$ | 4,322.9 | |||||
$ | 7,596.6 |
(in millions of CDN dollars) | |||||||||||||||
(unaudited) | (audited) | ||||||||||||||
2017 | 2017 | ||||||||||||||
Net earnings | $ | 165.2 | $ | 731.1 | |||||||||||
Adjustments for: | |||||||||||||||
Stock-based compensation | 9.9 | 34.0 | |||||||||||||
Interest and other financial charges | 9.1 | 41.9 | |||||||||||||
Income tax expense | 52.9 | 309.2 | |||||||||||||
Depreciation and amortization | 56.9 | 207.3 | |||||||||||||
Loss (gain) on disposal of property, plant and equipment | (0.1 | ) | (2.0 | ) | |||||||||||
Restructuring charges related to plant closures | – | – | |||||||||||||
Share of joint venture earnings, net of dividends received | (1.5 | ) | (1.1 | ) | |||||||||||
Under (Over)funding of employee plans in excess of costs | (0.2 | ) | 2.9 | ||||||||||||
292.2 | 1,323.3 | ||||||||||||||
Changes in non-cash operating working capital items | (28.7 | ) | 2.4 | ||||||||||||
Cash generated from operating activities | 263.5 | 1,325.7 | |||||||||||||
Interest and other financial charges paid | (4.6 | ) | (42.8 | ) | |||||||||||
Income taxes paid | (56.0 | ) | (209.3 | ) | |||||||||||
Net cash generated from operating activities | 202.9 | 1,073.6 | |||||||||||||
Business acquisitions | – | – | |||||||||||||
Additions to property, plant and equipment | (76.4 | ) | (236.7 | ) | |||||||||||
Additions to intangible assets | (24.4 | ) | (84.7 | ) | |||||||||||
Proceeds on disposal of property, plant and equipment | 0.5 | 4.7 | |||||||||||||
Other | (0.1 | ) | (1.1 | ) | |||||||||||
(100.4 | ) | (317.8 | ) | ||||||||||||
Bank loans | 6.9 | (82.1 | ) | ||||||||||||
Proceeds from issuance of long-term debt | – | 600.0 | |||||||||||||
Repayment of long-term debt | – | (552.2 | ) | ||||||||||||
Issuance of share capital | 10.6 | 57.6 | |||||||||||||
Repurchase of share capital | (166.5 | ) | (404.1 | ) | |||||||||||
Dividends | (57.9 | ) | (228.3 | ) | |||||||||||
Acquisition of the remaining interest in a subsidiary | (87.0 | ) | (87.0 | ) | |||||||||||
Additional non-controlling interest arising from issuance of additional shares | 16.3 | 16.3 | |||||||||||||
(277.6 | ) | (679.8 | ) | ||||||||||||
(175.1 | ) | 76.0 | |||||||||||||
433.7 | 164.3 | ||||||||||||||
(8.1 | ) | 10.2 | |||||||||||||
$ | 250.5 | $ | 250.5 |
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Biomarkers and Mechanism of Action:
Clinical Safety (Safety database as of May 7, 2018):
A copy of the full data presentation made by Dr. Diab is available on Nektar’s corporate website at http://www.nektar.com/download_file/599/00.
Nektar and Bristol-Myers Squibb entered into a global strategic development and commercialization collaboration for NKTR-214 in February 2018. Under the collaboration, the companies will jointly develop and commercialize NKTR-214 in combination with Bristol-Myers Squibb’s nivolumab and Opdivo plus Yervoy (ipilimumab) in more than 20 indications across 9 tumor types, as well as potential combinations with other anti-cancer agents from either of the respective companies and/or third parties.
About NKTR-214
NKTR-214 preferentially binds to the CD122 receptor on the surface of cancer-fighting immune cells in order to stimulate their proliferation. In clinical and preclinical studies, treatment with NKTR-214 resulted in expansion of these cells and mobilization into the tumor micro-environment.2,3,4 NKTR-214 has an antibody-like dosing regimen similar to the existing checkpoint inhibitor class of approved medicines.
Nektar will webcast an analyst and investor event to review data presented in the oral session and new additional data from the PIVOT study on Saturday, June 2, 2018 at 6:45 p.m. CDT in Chicago, IL. PIVOT clinical investigators attending include Dr. Adi Diab, Assistant Professor, Melanoma Medical Oncology at the University of Texas MD Anderson Cancer Center, Dr. Scott N. Gettinger, Associate Professor, Medical Oncology at the Yale Cancer Center and Dr. Nizar M. Tannir, Professor, Genitourinary Medical Oncology at the University of Texas MD Anderson Cancer Center. Investors and analysts are invited to listen to a live audio webcast of the event, which will be accessible from the home page of the company’s website www.nektar.com. The webcast will also be available for replay for two weeks following the event.
About Nektar
Nektar Therapeutics is a research-based biopharmaceutical company whose mission is to discover and develop innovative medicines to address the unmet medical needs of patients. Our R&D pipeline of new investigational medicines includes treatments for cancer, auto-immune disease and chronic pain. We leverage Nektar’s proprietary and proven chemistry platform in the discovery and design of our new therapeutic candidates. Nektar is headquartered in San Francisco, California, with additional operations in Huntsville, Alabama and Hyderabad, India. Further information about the company and its drug development programs and capabilities may be found online at http://www.nektar.com.
Bristol-Myers Squibb & Immuno-Oncology: Advancing Oncology Research
At Bristol-Myers Squibb, patients are at the center of everything we do. Our vision for the future of cancer care is focused on researching and developing transformational Immuno-Oncology (I-O) medicines for hard-to-treat cancers that could potentially improve outcomes for these patients.
We are advancing the scientific understanding of I-O through our extensive portfolio of investigational compounds and approved agents. Our differentiated clinical development program is studying broad patient populations across more than 50 types of cancers with 24 clinical-stage molecules designed to target different immune system pathways. Our deep expertise and innovative clinical trial designs position us to advance I-O/I-O, I-O/chemotherapy, I-O/targeted therapies and I-O/radiation therapies across multiple tumors and potentially deliver the next wave of therapies with a sense of urgency. Through our leading translational capabilities, we are pioneering immune biology research and identifying a number of potentially predictive biomarkers, including PD-L1, TMB, MSI-H/dMMR and LAG-3, advancing the possibility of precision medicine for more patients with cancer.
We understand making the promise of I-O a reality for the many patients who may benefit from these therapies requires not only innovation on our part but also close collaboration with leading experts in the field. Our partnerships with academia, government, advocacy and biotech companies support our collective goal of providing new treatment options to advance the standards of clinical practice.
U.S. FDA-APPROVED INDICATIONS FOR OPDIVO ®
OPDIVO® (nivolumab) as a single agent is indicated for the treatment of patients with BRAF V600 mutation-positive unresectable or metastatic melanoma. This indication is approved under accelerated approval based on progression-free survival. Continued approval for this indication may be contingent upon verification and description of clinical benefit in the confirmatory trials.
OPDIVO® (nivolumab) as a single agent is indicated for the treatment of patients with BRAF V600 wild-type unresectable or metastatic melanoma.
OPDIVO® (nivolumab), in combination with YERVOY® (ipilimumab), is indicated for the treatment of patients with unresectable or metastatic melanoma. This indication is approved under accelerated approval based on progression-free survival. Continued approval for this indication may be contingent upon verification and description of clinical benefit in the confirmatory trials.
OPDIVO® (nivolumab) is indicated for the treatment of patients with metastatic non-small cell lung cancer (NSCLC) with progression on or after platinum-based chemotherapy. Patients with EGFR or ALK genomic tumor aberrations should have disease progression on FDA-approved therapy for these aberrations prior to receiving OPDIVO.
OPDIVO® (nivolumab) is indicated for the treatment of patients with advanced renal cell carcinoma (RCC) who have received prior anti-angiogenic therapy.
OPDIVO® (nivolumab), in combination with YERVOY® (ipilimumab), is indicated for the treatment of patients with intermediate or poor-risk, previously untreated advanced renal cell carcinoma (RCC).
OPDIVO® (nivolumab) is indicated for the treatment of adult patients with classical Hodgkin lymphoma (cHL) that has relapsed or progressed after autologous hematopoietic stem cell transplantation (HSCT) and brentuximab vedotin or after 3 or more lines of systemic therapy that includes autologous HSCT. This indication is approved under accelerated approval based on overall response rate. Continued approval for this indication may be contingent upon verification and description of clinical benefit in confirmatory trials.
OPDIVO® (nivolumab) is indicated for the treatment of patients with recurrent or metastatic squamous cell carcinoma of the head and neck (SCCHN) with disease progression on or after platinum-based therapy.
OPDIVO® (nivolumab) is indicated for the treatment of patients with locally advanced or metastatic urothelial carcinoma who have disease progression during or following platinum-containing chemotherapy or have disease progression within 12 months of neoadjuvant or adjuvant treatment with platinum-containing chemotherapy. This indication is approved under accelerated approval based on tumor response rate and duration of response. Continued approval for this indication may be contingent upon verification and description of clinical benefit in confirmatory trials.
OPDIVO® (nivolumab) is indicated for the treatment of adult and pediatric (12 years and older) patients with microsatellite instability high (MSI-H) or mismatch repair deficient (dMMR) metastatic colorectal cancer (CRC) that has progressed following treatment with a fluoropyrimidine, oxaliplatin, and irinotecan. This indication is approved under accelerated approval based on overall response rate and duration of response. Continued approval for this indication may be contingent upon verification and description of clinical benefit in confirmatory trials.
OPDIVO® (nivolumab) is indicated for the treatment of patients with hepatocellular carcinoma (HCC) who have been previously treated with sorafenib. This indication is approved under accelerated approval based on tumor response rate and durability of response. Continued approval for this indication may be contingent upon verification and description of clinical benefit in the confirmatory trials.
OPDIVO® (nivolumab) is indicated for the adjuvant treatment of patients with melanoma with involvement of lymph nodes or metastatic disease who have undergone complete resection.
IMPORTANT SAFETY INFORMATION
WARNING: IMMUNE-MEDIATED ADVERSE REACTIONS
YERVOY can result in severe and fatal immune-mediated adverse reactions. These immune-mediated reactions may involve any organ system; however, the most common severe immune-mediated adverse reactions are enterocolitis, hepatitis, dermatitis (including toxic epidermal necrolysis), neuropathy, and endocrinopathy. The majority of these immune-mediated reactions initially manifested during treatment; however, a minority occurred weeks to months after discontinuation of YERVOY. Assess patients for signs and symptoms of enterocolitis, dermatitis, neuropathy, and endocrinopathy and evaluate clinical chemistries including liver function tests (LFTs), adrenocorticotropic hormone (ACTH) level, and thyroid function tests at baseline and before each dose.
Permanently discontinue YERVOY and initiate systemic high-dose corticosteroid therapy for severe immune-mediated reactions.
Immune-Mediated Pneumonitis
OPDIVO can cause immune-mediated pneumonitis. Fatal cases have been reported. Monitor patients for signs with radiographic imaging and for symptoms of pneumonitis. Administer corticosteroids for Grade 2 or more severe pneumonitis. Permanently discontinue for Grade 3 or 4 and withhold until resolution for Grade 2. In patients receiving OPDIVO monotherapy, fatal cases of immune-mediated pneumonitis have occurred. Immune-mediated pneumonitis occurred in 3.1% (61/1994) of patients. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, immune-mediated pneumonitis occurred in 6% (25/407) of patients. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, immune-mediated pneumonitis occurred in 4.4% (24/547) of patients.
In Checkmate 205 and 039, pneumonitis, including interstitial lung disease, occurred in 6.0% (16/266) of patients receiving OPDIVO. Immune-mediated pneumonitis occurred in 4.9% (13/266) of patients receiving OPDIVO: Grade 3 (n=1) and Grade 2 (n=12).
Immune-Mediated Colitis
OPDIVO can cause immune-mediated colitis. Monitor patients for signs and symptoms of colitis. Administer corticosteroids for Grade 2 (of more than 5 days duration), 3, or 4 colitis. Withhold OPDIVO monotherapy for Grade 2 or 3 and permanently discontinue for Grade 4 or recurrent colitis upon re-initiation of OPDIVO. When administered with YERVOY, withhold OPDIVO and YERVOY for Grade 2 and permanently discontinue for Grade 3 or 4 or recurrent colitis. In patients receiving OPDIVO monotherapy, immune-mediated colitis occurred in 2.9% (58/1994) of patients. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, immune-mediated colitis occurred in 26% (107/407) of patients including three fatal cases. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, immune-mediated colitis occurred in 10% (52/547) of patients.
In a separate Phase 3 study of YERVOY 3 mg/kg, severe, life-threatening, or fatal (diarrhea of ≥7 stools above baseline, fever, ileus, peritoneal signs; Grade 3-5) immune-mediated enterocolitis occurred in 34 (7%) patients. Across all YERVOY-treated patients in that study (n=511), 5 (1%) developed intestinal perforation, 4 (0.8%) died as a result of complications, and 26 (5%) were hospitalized for severe enterocolitis.
Immune-Mediated Hepatitis
OPDIVO can cause immune-mediated hepatitis. Monitor patients for abnormal liver tests prior to and periodically during treatment. Administer corticosteroids for Grade 2 or greater transaminase elevations. For patients without HCC, withhold OPDIVO for Grade 2 and permanently discontinue OPDIVO for Grade 3 or 4. For patients with HCC, withhold OPDIVO and administer corticosteroids if AST/ALT is within normal limits at baseline and increases to >3 and up to 5 times the upper limit of normal (ULN), if AST/ALT is >1 and up to 3 times ULN at baseline and increases to >5 and up to 10 times the ULN, and if AST/ALT is >3 and up to 5 times ULN at baseline and increases to >8 and up to 10 times the ULN. Permanently discontinue OPDIVO and administer corticosteroids if AST or ALT increases to >10 times the ULN or total bilirubin increases >3 times the ULN. In patients receiving OPDIVO monotherapy, immune-mediated hepatitis occurred in 1.8% (35/1994) of patients. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, immune-mediated hepatitis occurred in 13% (51/407) of patients. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, immune-mediated hepatitis occurred in 7% (38/547) of patients.
In Checkmate 040, immune-mediated hepatitis requiring systemic corticosteroids occurred in 5% (8/154) of patients receiving OPDIVO.
In a separate Phase 3 study of YERVOY 3 mg/kg, severe, life-threatening, or fatal hepatotoxicity (AST or ALT elevations >5x the ULN or total bilirubin elevations >3x the ULN; Grade 3-5) occurred in 8 (2%) patients, with fatal hepatic failure in 0.2% and hospitalization in 0.4%.
Immune-Mediated Neuropathies
In a separate Phase 3 study of YERVOY 3 mg/kg, 1 case of fatal Guillain-Barré syndrome and 1 case of severe (Grade 3) peripheral motor neuropathy were reported.
Immune-Mediated Endocrinopathies
OPDIVO can cause immune-mediated hypophysitis, immune-mediated adrenal insufficiency, autoimmune thyroid disorders, and Type 1 diabetes mellitus. Monitor patients for signs and symptoms of hypophysitis, signs and symptoms of adrenal insufficiency, thyroid function prior to and periodically during treatment, and hyperglycemia. Administer hormone replacement as clinically indicated and corticosteroids for Grade 2 or greater hypophysitis. Withhold for Grade 2 or 3 and permanently discontinue for Grade 4 hypophysitis. Administer corticosteroids for Grade 3 or 4 adrenal insufficiency. Withhold for Grade 2 and permanently discontinue for Grade 3 or 4 adrenal insufficiency. Administer hormone-replacement therapy for hypothyroidism. Initiate medical management for control of hyperthyroidism. Withhold OPDIVO for Grade 3 and permanently discontinue for Grade 4 hyperglycemia.
In patients receiving OPDIVO monotherapy, hypophysitis occurred in 0.6% (12/1994) of patients. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, hypophysitis occurred in 9% (36/407) of patients. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, hypophysitis occurred in 4.6% (25/547) of patients In patients receiving OPDIVO monotherapy, adrenal insufficiency occurred in 1% (20/1994) of patients. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, adrenal insufficiency occurred in 5% (21/407) of patients. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, adrenal insufficiency occurred in 7% (41/547) of patients. In patients receiving OPDIVO monotherapy, hypothyroidism or thyroiditis resulting in hypothyroidism occurred in 9% (171/1994) of patients. Hyperthyroidism occurred in 2.7% (54/1994) of patients receiving OPDIVO monotherapy. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, hypothyroidism or thyroiditis resulting in hypothyroidism occurred in 22% (89/407) of patients. Hyperthyroidism occurred in 8% (34/407) of patients receiving this dose of OPDIVO with YERVOY. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, hypothyroidism or thyroiditis resulting in hypothyroidism occurred in 22% (119/547) of patients. Hyperthyroidism occurred in 12% (66/547) of patients receiving this dose of OPDIVO with YERVOY. In patients receiving OPDIVO monotherapy, diabetes occurred in 0.9% (17/1994) of patients. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, diabetes occurred in 1.5% (6/407) of patients. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, diabetes occurred in 2.7% (15/547) of patients.
In a separate Phase 3 study of YERVOY 3 mg/kg, severe to life-threatening immune-mediated endocrinopathies (requiring hospitalization, urgent medical intervention, or interfering with activities of daily living; Grade 3-4) occurred in 9 (1.8%) patients. All 9 patients had hypopituitarism, and some had additional concomitant endocrinopathies such as adrenal insufficiency, hypogonadism, and hypothyroidism. 6 of the 9 patients were hospitalized for severe endocrinopathies.
Immune-Mediated Nephritis and Renal Dysfunction
OPDIVO can cause immune-mediated nephritis. Monitor patients for elevated serum creatinine prior to and periodically during treatment. Administer corticosteroids for Grades 2-4 increased serum creatinine. Withhold OPDIVO for Grade 2 or 3 and permanently discontinue for Grade 4 increased serum creatinine. In patients receiving OPDIVO monotherapy, immune-mediated nephritis and renal dysfunction occurred in 1.2% (23/1994) of patients. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, immune-mediated nephritis and renal dysfunction occurred in 2.2% (9/407) of patients. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, immune-mediated nephritis and renal dysfunction occurred in 4.6% (25/547) of patients.
Immune-Mediated Skin Adverse Reactions and Dermatitis
OPDIVO can cause immune-mediated rash, including Stevens-Johnson syndrome (SJS) and toxic epidermal necrolysis (TEN), some cases with fatal outcome. Administer corticosteroids for Grade 3 or 4 rash. Withhold for Grade 3 and permanently discontinue for Grade 4 rash. For symptoms or signs of SJS or TEN, withhold OPDIVO and refer the patient for specialized care for assessment and treatment; if confirmed, permanently discontinue. In patients receiving OPDIVO monotherapy, immune-mediated rash occurred in 9% (171/1994) of patients. In patients receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg, immune-mediated rash occurred in 22.6% (92/407) of patients. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, immune-mediated rash occurred in 16.6% (91/547) of patients.
In a separate Phase 3 study of YERVOY 3 mg/kg, severe, life-threatening, or fatal immune-mediated dermatitis (eg, Stevens-Johnson syndrome, toxic epidermal necrolysis, or rash complicated by full thickness dermal ulceration, or necrotic, bullous, or hemorrhagic manifestations; Grade 3-5) occurred in 13 (2.5%) patients. 1 (0.2%) patient died as a result of toxic epidermal necrolysis. 1 additional patient required hospitalization for severe dermatitis.
Immune-Mediated Encephalitis
OPDIVO can cause immune-mediated encephalitis. Evaluation of patients with neurologic symptoms may include, but not be limited to, consultation with a neurologist, brain MRI, and lumbar puncture. Withhold OPDIVO in patients with new-onset moderate to severe neurologic signs or symptoms and evaluate to rule out other causes. If other etiologies are ruled out, administer corticosteroids and permanently discontinue OPDIVO for immune-mediated encephalitis. In patients receiving OPDIVO monotherapy, encephalitis occurred in 0.2% (3/1994) of patients. Fatal limbic encephalitis occurred in one patient after 7.2 months of exposure despite discontinuation of OPDIVO and administration of corticosteroids. Encephalitis occurred in one patient receiving OPDIVO 1 mg/kg with YERVOY 3 mg/kg (0.2%) after 1.7 months of exposure. Encephalitis occurred in one patient receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg (0.2%) after approximately 4 months of exposure.
Other Immune-Mediated Adverse Reactions
Based on the severity of the adverse reaction, permanently discontinue or withhold OPDIVO, administer high-dose corticosteroids, and, if appropriate, initiate hormone-replacement therapy. Across clinical trials of OPDIVO monotherapy or in combination with YERVOY, the following clinically significant immune-mediated adverse reactions, some with fatal outcome, occurred in <1.0% of patients receiving OPDIVO: myocarditis, rhabdomyolysis, myositis, uveitis, iritis, pancreatitis, facial and abducens nerve paresis, demyelination, polymyalgia rheumatica, autoimmune neuropathy, Guillain-Barré syndrome, hypopituitarism, systemic inflammatory response syndrome, gastritis, duodenitis, sarcoidosis, histiocytic necrotizing lymphadenitis (Kikuchi lymphadenitis), motor dysfunction, vasculitis, aplastic anemia, pericarditis, and myasthenic syndrome.
If uveitis occurs in combination with other immune-mediated adverse reactions, consider a Vogt-Koyanagi-Harada-like syndrome, which has been observed in patients receiving OPDIVO and may require treatment with systemic steroids to reduce the risk of permanent vision loss.
Infusion Reactions
OPDIVO can cause severe infusion reactions, which have been reported in <1.0% of patients in clinical trials. Discontinue OPDIVO in patients with Grade 3 or 4 infusion reactions. Interrupt or slow the rate of infusion in patients with Grade 1 or 2. In patients receiving OPDIVO monotherapy as a 60-minute infusion, infusion-related reactions occurred in 6.4% (127/1994) of patients. In a separate study in which patients received OPDIVO monotherapy as a 60-minute infusion or a 30-minute infusion, infusion-related reactions occurred in 2.2% (8/368) and 2.7% (10/369) of patients, respectively. Additionally, 0.5% (2/368) and 1.4% (5/369) of patients, respectively, experienced adverse reactions within 48 hours of infusion that led to dose delay, permanent discontinuation or withholding of OPDIVO. In patients receiving OPDIVO 1 mg/kg with ipilimumab 3 mg/kg every 3 weeks, infusion-related reactions occurred in 2.5% (10/407) of patients. In patients receiving OPDIVO 3 mg/kg with YERVOY 1 mg/kg, infusion-related reactions occurred in 5.1% (28/547) of patients.
Complications of Allogeneic HSCT after OPDIVO
Complications, including fatal events, occurred in patients who received allogeneic HSCT after OPDIVO. Outcomes were evaluated in 17 patients from Checkmate 205 and 039, who underwent allogeneic HSCT after discontinuing OPDIVO (15 with reduced-intensity conditioning, 2 with myeloablative conditioning). Thirty-five percent (6/17) of patients died from complications of allogeneic HSCT after OPDIVO. Five deaths occurred in the setting of severe or refractory GVHD. Grade 3 or higher acute GVHD was reported in 29% (5/17) of patients. Hyperacute GVHD was reported in 20% (n=2) of patients. A steroid-requiring febrile syndrome, without an identified infectious cause, was reported in 35% (n=6) of patients. Two cases of encephalitis were reported: Grade 3 (n=1) lymphocytic encephalitis without an identified infectious cause, and Grade 3 (n=1) suspected viral encephalitis. Hepatic veno-occlusive disease (VOD) occurred in one patient, who received reduced-intensity conditioned allogeneic HSCT and died of GVHD and multi-organ failure. Other cases of hepatic VOD after reduced-intensity conditioned allogeneic HSCT have also been reported in patients with lymphoma who received a PD-1 receptor blocking antibody before transplantation. Cases of fatal hyperacute GVHD have also been reported. These complications may occur despite intervening therapy between PD-1 blockade and allogeneic HSCT.
Follow patients closely for early evidence of transplant-related complications such as hyperacute GVHD, severe (Grade 3 to 4) acute GVHD, steroid-requiring febrile syndrome, hepatic VOD, and other immune-mediated adverse reactions, and intervene promptly.
Embryo-Fetal Toxicity
Based on their mechanisms of action, OPDIVO and YERVOY can cause fetal harm when administered to a pregnant woman. Advise pregnant women of the potential risk to a fetus. Advise females of reproductive potential to use effective contraception during treatment with an OPDIVO- or YERVOY- containing regimen and for at least 5 months after the last dose of OPDIVO.
Lactation
It is not known whether OPDIVO or YERVOY is present in human milk. Because many drugs, including antibodies, are excreted in human milk and because of the potential for serious adverse reactions in nursing infants from an OPDIVO-containing regimen, advise women to discontinue breastfeeding during treatment. Advise women to discontinue breastfeeding during treatment with YERVOY and for 3 months following the final dose.
Serious Adverse Reactions
In Checkmate 037, serious adverse reactions occurred in 41% of patients receiving OPDIVO (n=268). Grade 3 and 4 adverse reactions occurred in 42% of patients receiving OPDIVO. The most frequent Grade 3 and 4 adverse drug reactions reported in 2% to <5% of patients receiving OPDIVO were abdominal pain, hyponatremia, increased aspartate aminotransferase, and increased lipase. In Checkmate 066, serious adverse reactions occurred in 36% of patients receiving OPDIVO (n=206). Grade 3 and 4 adverse reactions occurred in 41% of patients receiving OPDIVO. The most frequent Grade 3 and 4 adverse reactions reported in ≥2% of patients receiving OPDIVO were gamma-glutamyltransferase increase (3.9%) and diarrhea (3.4%). In Checkmate 067, serious adverse reactions (73% and 37%), adverse reactions leading to permanent discontinuation (43% and 14%) or to dosing delays (55% and 28%), and Grade 3 or 4 adverse reactions (72% and 44%) all occurred more frequently in the OPDIVO plus YERVOY arm (n=313) relative to the OPDIVO arm (n=313). The most frequent (≥10%) serious adverse reactions in the OPDIVO plus YERVOY arm and the OPDIVO arm, respectively, were diarrhea (13% and 2.6%), colitis (10% and 1.6%), and pyrexia (10% and 0.6%). In Checkmate 017 and 057, serious adverse reactions occurred in 46% of patients receiving OPDIVO (n=418). The most frequent serious adverse reactions reported in at least 2% of patients receiving OPDIVO were pneumonia, pulmonary embolism, dyspnea, pyrexia, pleural effusion, pneumonitis, and respiratory failure. In Checkmate 025, serious adverse reactions occurred in 47% of patients receiving OPDIVO (n=406). The most frequent serious adverse reactions reported in ≥2% of patients were acute kidney injury, pleural effusion, pneumonia, diarrhea, and hypercalcemia. In Checkmate 214, serious adverse reactions occurred in 59% of patients receiving OPDIVO plus YERVOY and in 43% of patients receiving sunitinib. The most frequent serious adverse reactions reported in at least 2% of patients were diarrhea, pyrexia, pneumonia, pneumonitis, hypophysitis, acute kidney injury, dyspnea, adrenal insufficiency, and colitis; in patients treated with sunitinib, they were pneumonia, pleural effusion, and dyspnea. In Checkmate 205 and 039, adverse reactions leading to discontinuation occurred in 7% and dose delays due to adverse reactions occurred in 34% of patients (n=266). Serious adverse reactions occurred in 26% of patients. The most frequent serious adverse reactions reported in ≥1% of patients were pneumonia, infusion-related reaction, pyrexia, colitis or diarrhea, pleural effusion, pneumonitis, and rash. Eleven patients died from causes other than disease progression: 3 from adverse reactions within 30 days of the last OPDIVO dose, 2 from infection 8 to 9 months after completing OPDIVO, and 6 from complications of allogeneic HSCT. In Checkmate 141, serious adverse reactions occurred in 49% of patients receiving OPDIVO (n=236). The most frequent serious adverse reactions reported in at least 2% of patients receiving OPDIVO were pneumonia, dyspnea, respiratory failure, respiratory tract infection, and sepsis. In Checkmate 275, serious adverse reactions occurred in 54% of patients receiving OPDIVO (n=270). The most frequent serious adverse reactions reported in at least 2% of patients receiving OPDIVO were urinary tract infection, sepsis, diarrhea, small intestine obstruction, and general physical health deterioration. In Checkmate 040, serious adverse reactions occurred in 49% of patients (n=154). The most frequent serious adverse reactions reported in at least 2% of patients were pyrexia, ascites, back pain, general physical health deterioration, abdominal pain, and pneumonia. In Checkmate 238, Grade 3 or 4 adverse reactions occurred in 25% of OPDIVO-treated patients (n=452). The most frequent Grade 3 and 4 adverse reactions reported in at least 2% of OPDIVO-treated patients were diarrhea and increased lipase and amylase. Serious adverse reactions occurred in 18% of OPDIVO-treated patients.
Common Adverse Reactions
In Checkmate 037, the most common adverse reaction (≥20%) reported with OPDIVO (n=268) was rash (21%). In Checkmate 066, the most common adverse reactions (≥20%) reported with OPDIVO (n=206) vs dacarbazine (n=205) were fatigue (49% vs 39%), musculoskeletal pain (32% vs 25%), rash (28% vs 12%), and pruritus (23% vs 12%). In Checkmate 067, the most common (≥20%) adverse reactions in the OPDIVO plus YERVOY arm (n=313) were fatigue (59%), rash (53%), diarrhea (52%), nausea (40%), pyrexia (37%), vomiting (28%), and dyspnea (20%). The most common (≥20%) adverse reactions in the OPDIVO (n=313) arm were fatigue (53%), rash (40%), diarrhea (31%), and nausea (28%). In Checkmate 017 and 057, the most common adverse reactions (≥20%) in patients receiving OPDIVO (n=418) were fatigue, musculoskeletal pain, cough, dyspnea, and decreased appetite. In Checkmate 025, the most common adverse reactions (≥20%) reported in patients receiving OPDIVO (n=406) vs everolimus (n=397) were fatigue (56% vs 57%), cough (34% vs 38%), nausea (28% vs 29%), rash (28% vs 36%), dyspnea (27% vs 31%), diarrhea (25% vs 32%), constipation (23% vs 18%), decreased appetite (23% vs 30%), back pain (21% vs 16%), and arthralgia (20% vs 14%). In Checkmate 214, the most common adverse reactions (≥20%) reported in patients treated with OPDIVO plus YERVOY (n=547) vs sunitinib (n=535) were fatigue (58% vs 69%), rash (39% vs 25%), diarrhea (38% vs 58%), musculoskeletal pain (37% vs 40%), pruritus (33% vs 11%), nausea (30% vs 43%), cough (28% vs 25%), pyrexia (25% vs 17%), arthralgia (23% vs 16%), and decreased appetite (21% vs 29%). In Checkmate 205 and 039, the most common adverse reactions (≥20%) reported in patients receiving OPDIVO (n=266) were upper respiratory tract infection (44%), fatigue (39%), cough (36%), diarrhea (33%), pyrexia (29%), musculoskeletal pain (26%), rash (24%), nausea (20%) and pruritus (20%). In Checkmate 141, the most common adverse reactions (≥10%) in patients receiving OPDIVO (n=236) were cough and dyspnea at a higher incidence than investigator’s choice. In Checkmate 275, the most common adverse reactions (≥ 20%) reported in patients receiving OPDIVO (n=270) were fatigue (46%), musculoskeletal pain (30%), nausea (22%), and decreased appetite (22%). In Checkmate 040, the most common adverse reactions (≥20%) in patients receiving OPDIVO (n=154) were fatigue (38%), musculoskeletal pain (36%), abdominal pain (34%), pruritus (27%), diarrhea (27%), rash (26%), cough (23%), and decreased appetite (22%). In Checkmate 238, the most common adverse reactions (≥20%) reported in OPDIVO-treated patients (n=452) vs ipilimumab-treated patients (n=453) were fatigue (57% vs 55%), diarrhea (37% vs 55%), rash (35% vs 47%), musculoskeletal pain (32% vs 27%), pruritus (28% vs 37%), headache (23% vs 31%), nausea (23% vs 28%), upper respiratory infection (22% vs 15%), and abdominal pain (21% vs 23%). The most common immune-mediated adverse reactions were rash (16%), diarrhea/colitis (6%), and hepatitis (3%). The most common adverse reactions (≥20%) in patients who received OPDIVO as a single agent were fatigue, rash, musculoskeletal pain, pruritus, diarrhea, nausea, asthenia, cough, dyspnea, constipation, decreased appetite, back pain, arthralgia, upper respiratory tract infection, pyrexia, headache, and abdominal pain.
In a separate Phase 3 study of YERVOY 3 mg/kg, the most common adverse reactions (≥5%) in patients who received YERVOY at 3 mg/kg were fatigue (41%), diarrhea (32%), pruritus (31%), rash (29%), and colitis (8%).
Checkmate Trials and Patient Populations
Checkmate 067–advanced melanoma alone or in combination with YERVOY® (ipilimumab); Checkmate 037 and 066–advanced melanoma; Checkmate 017–squamous non-small cell lung cancer (NSCLC); Checkmate 057–non-squamous NSCLC; Checkmate 025–renal cell carcinoma; Checkmate 205/039–classical Hodgkin lymphoma; Checkmate 141–squamous cell carcinoma of the head and neck; Checkmate 275–urothelial carcinoma; Checkmate 040–hepatocellular carcinoma, Checkmate 238–adjuvant treatment of melanoma.
Please see U.S. Full Prescribing Information for OPDIVO and YERVOY, including Boxed WARNING regarding immune-mediated adverse reactions for YERVOY.
Bristol-Myers Squibb Forward-Looking Statement
This press release contains “forward-looking statements” as that term is defined in the Private Securities Litigation Reform Act of 1995 regarding the research, development and commercialization of pharmaceutical products. Such forward-looking statements are based on current expectations and involve inherent risks and uncertainties, including factors that could delay, divert or change any of them, and could cause actual outcomes and results to differ materially from current expectations. No forward-looking statement can be guaranteed. Among other risks, there can be no guarantee that NKTR-214, alone or in combination with Opdivo will receive regulatory approval for any of the indications described in this release. Forward-looking statements in this press release should be evaluated together with the many uncertainties that affect Bristol-Myers Squibb’s business, particularly those identified in the cautionary factors discussion in Bristol-Myers Squibb’s Annual Report on Form 10-K for the year ended December 31, 2017 in our Quarterly Reports on Form 10-Q and our Current Reports on Form 8-K. Bristol-Myers Squibb undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise.
Nektar Therapeutics Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements which can be identified by words such as: “anticipate,” “intend,” “plan,” “expect,” “believe,” “should,” “may,” “will” and similar references to future periods. Examples of forward-looking statements include, among others, statements we make regarding the therapeutic potential of NKTR-214 in combination with Opdivo, observations from early data emerging from ongoing clinical trials of NKTR-214, and the potential of our technology and drug candidates in our research and development pipeline. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results to differ materially from those indicated in the forward-looking statements include, among others: (i) our statements regarding the therapeutic potential of NKTR-214 in combination with Opdivo are based on findings and observations from ongoing clinical studies and these findings and observations will evolve over time as more data emerges from the studies; (ii) NKTR-214 is in early stage clinical development and the risk of failure remains high and failure can unexpectedly occur due to efficacy, safety or other unpredictable factors; (iii) the initial preliminary RECIST response data reported in this press release is subject to change—in particular, there is no way to predict whether unconfirmed responses will become confirmed responses as the clinical studies progress; (iv) the preliminary clinical results from the NKTR-214 clinical studies described in this press release remain subject to change as a result of final data audit confirmation procedures to be conducted following completion of the studies; (v) the timing of the commencement or end of clinical studies and the availability of clinical data may be delayed or unsuccessful due to regulatory delays, slower than anticipated patient enrollment, manufacturing challenges, changing standards of care, evolving regulatory requirements, clinical trial design, clinical outcomes, competitive factors, or delay or failure in ultimately obtaining regulatory approval in one or more important markets; (vi) scientific discovery of new medical breakthroughs is an inherently uncertain process and the future success of applying our technology platform to potential new drug candidates (such as NKTR-214) is therefore highly uncertain and unpredictable and one or more research and development programs could fail; (vii) patents may not issue from our patent applications for our drug candidates including NKTR-214, patents that have issued may not be enforceable, or additional intellectual property licenses from third parties may be required; and (viii) certain other important risks and uncertainties set forth in our Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on May 10, 2018. Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
Nektar Contacts:
For Investors:
Jennifer Ruddock of Nektar Therapeutics
415-482-5585
For Media:
Dan Budwick
1AB Media
973.271.6085
Bristol-Myers Squibb Contacts:
Media:
Audrey Abernathy, 919-605-4521
audrey.abernathy@bms.com
Investors:
Tim Power, 609-252-7509
timothy.power@bms.com
Bill Szablewski, 609-252-5894
william.szablewski@bms.com
1. | Fleming TR (1982). One-sample multiple testing procedure for phase II clinical trials. Biometrics 38: 143-151; Jung SH, Lee TY, Kim KM, George S (2004). Admissible two-stage designs for phase II cancer clinical trials, Statistics in Medicine 23: 561-569. |
2. | Charych, D., et al., Cancer Res. 2013;73(8 Suppl):Abstract nr 482 and Data on file. |
3. | Hoch U, at al. AACR; Mol Cancer Ther. 2013;12(11 Suppl):Abstract nr B296. |
4. | Diab et. al., SITC 2016. |
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SOURCE Nektar Therapeutics; Bristol-Myers Squibb
http://www.nektar.com
http://www.mitsloan.mit.edu
http://www.rosenlegal.com
http://www.rmclasslaw.com
CONTACT: | RM LAW, P.C. |
Richard A. Maniskas, Esquire | |
1055 Westlakes Dr., Ste. 300 | |
Berwyn, PA 19312 | |
484-324-6800 | |
844-291-9299 | |
rm@maniskas.com |
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SOURCE RM LAW, P.C.
http://www.rmclasslaw.com
Artist Cai Guo-Qiang, Sophia, President Rosanne Somerson and Photographer Annie Leibovitz. Photo Scott Indermaur.
Sophia and President Rosanne Somerson. Photo Scott Indermaur.
View original content with multimedia:http://www.prnewswire.com/news-releases/sophia-hanson-robotics-most-advanced-and-celebrated-robot-delivered-keynote-address-at-rhode-island-school-of-designs-2018-commencement-300658694.html
SOURCE Rhode Island School of Design
https://www.risd.edu
Novartis Media Relations | |||
Central media line: +41 61 324 2200 | |||
E-mail: media.relations@novartis.com | |||
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Novartis Global Media Relations | Novartis Oncology Communications | ||
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Central | North America | ||
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SOURCE Novartis
http://www.rmclasslaw.com
150 GA3Ss at the Delivery Ceremony
Distinguished guests attended the Delivery Ceremony
GA3S, GAC Motor’s best-selling model in Nigeria
Nigeria is one of the most important markets in GAC Motor’s growth strategy for Africa, which includes developing its local management team, the release of localized versions of its top models, and a factory on the ground that enables the automaker to achieve continuous breakthroughs in the market.
Achieving a solid foundation in Nigeria, a participating country in China’s “Belt and Road” Initiative, will allow GAC Motor to more effectively reach the greater African market, and to push forward its brand internationalization.
About GAC Motor
Founded in 2008, Guangzhou Automobile Group Motor CO., LTD (GAC Motor) is a subsidiary of GAC Group which ranks the 238th among the Fortune Global 500 companies. The company develops and manufactures premium quality vehicles, engines, components and auto accessories. GAC Motor has now ranked the first among all Chinese brands for five consecutive years in J.D. Power Asia Pacific’s China Initial Quality Study SM (IQS), demonstrating the company’s quality-centric strategy from innovative research and development (R&D), manufacturing to supply chain and sales & services.
For more information, please visit:
Facebook: https://www.facebook.com/GACMotor
Instagram: https://www.instagram.com/gac_motor
Twitter: https://www.twitter.com/gac_motor
Media Contact:
Sukie Wong
+86-186-8058-2829
GACMotor@126.com
View original content with multimedia:http://www.prnewswire.com/news-releases/gac-motor-delivers-150-ga3ss-to-police-force-of-nigeria-300658679.html
SOURCE GAC Motor
Credit : Photo by Christopher Jue/Getty Images for SHISEIDO
Credit : Photo by Christopher Jue/Getty Images for SHISEIDO
MIAMI, June 1, 2018 /PRNewswire/ — Ted Vernon Specialty Automobiles Inc. is proud to announce they now offer over 360 classic cars in stock at their dealership in Miami. Run by Ted Vernon, they buy, rent, and sell classic cars. Their collection includes antique cars as well as exotic, classic, and muscle cars from around the globe. Ted Vernon has been a staple of the Miami community for many years. Aside from being a primary resource for classic cars in the South Florida area, he has also been featured in a variety of television programs based out of Miami. Given his many years of collecting these classic cars, it is no surprise that he has nearly four hundred cars available for rent, trade, and purchase. Regardless of what you may be looking for, you are likely to find it at Ted Vernon Specialty Automobiles Inc.The Ted Vernon Specialty Automobiles Inc. website states, “Our specialized niche of buying, selling and trading these high-interest investments have not only made us one of the largest dealers in our region, but also many great friends from around the world.” The statement reflects their interest in providing the largest number of classic cars in the South Florida region.About Ted Vernon Specialty Automobiles Inc.: Ted Vernon Specialty Automobiles Inc. has been a fixture in the South Florida Classic Car business for over 40 years. With their ample expertise and wide selection of automobiles from any era, they both sell classic cars and provide these incredible automobiles for any occasion such as professional modeling shoots, and movie and television rentals–including high profile movies such as this one. One can buy, sell or trade classic cars via this unique business. If you would like to learn more about their sales and services in Miami–or simply view their extensive inventory of classic cars, contact them.Ted Vernon Specialty Automobiles Inc. 305-754-2323INFO@TEDVERNON.COMRelated LinksContact UsView Our Inventory of Classic CarsSOURCE Ted Vernon
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SOURCE Kahn Swick & Foti, LLC
http://www.ksfcounsel.com
PHILADELPHIA, June 2, 2018 /PRNewswire/ — The Carson Wentz AO1 Foundation, a project at the Giving Back Fund, raised more than $850,000 net at its inaugural AO1 Foundation Charity Softball Game. On June 1st, Citizens Bank Park held more than 25,000 fans who came to the diamond to cheer on 25 members of the Super Bowl LII-winning Philadelphia Eagles as they took the field for a home run derby and softball game.The funds raised help advance the foundation’s mission to uplift individuals and communities around the world by demonstrating God’s love for His people. “As I reflect on the foundation’s first year, I’m amazed by the support from people all over the world,” said Carson Wentz, starting quarterback for the Philadelphia Eagles and foundation founder. “I wasn’t sure what to expect when we began this journey and I had the idea of the charity softball game, but it has been nothing short of incredible to see how God has used us to spread his love!”At the event, the AO1 Foundation presented a $520,000 check to Mission of Hope: Haiti, which is the total amount raised in May 2018, along with Carson’s personal donation to match every dollar donated. It will fund a Sports Complex in Haiti that will provide a safe place and community for kids to play sports and get an education.The foundation unveiled at the event a 25-foot food truck named Thy Kingdom Crumb that starting this summer will travel the Philadelphia area to provide food to those in need. Also, it was announced that this summer the foundation will hold the first “Camp Conquerors” to expose kids to the great outdoors.”I’m grateful for my teammates, volunteers and guests at tonight’s game for the encouragement and support they’ve given me and the foundation,” said Wentz. “By coming together, we all have the opportunity to leave a positive, lasting mark on people and communities in Philadelphia and around the world.”About The Carson Wentz AO1 Foundation
The Carson Wentz AO1 Foundation was launched in 2017 with the mission to uplift individuals and communities around the world by demonstrating God’s love for His people. For more information about the Carson Wentz AO1 Foundation, visit www.ao1foundation.org, Facebook, Instagram and Twitter.Contact:
Audra Jacobs | Capture Sports Marketing
414.915.1085 | audra@capturesportsmarketing.comSOURCE The Carson Wentz AO1 Foundation
COLORADO SPRINGS, Colo., June 2, 2018 /PRNewswire/ — The USA Swimming Foundation kicked-off its 10th annual Make a Splash Tour presented by Phillips 66 today in Washington, D.C., by setting a GUINNESS WORLD RECORDS® record for the World’s Largest Kickboard. This gigantic kickboard, which is 10 times the standard adult size board at 18 feet high by 11 feet wide, will serve as a larger-than-life petition for all Americans to urge Congress to add the question, “Do you know how to swim?” to the 2020 Census. Drowning is the second-leading cause of accidental death for children under the age of 14. The Make a Splash Tour presented by Phillips 66 will visit four cities nationwide during June to raise awareness around the importance of learning how to swim.Experience the interactive Multichannel News Release here: https://www.multivu.com/players/English/8339351-usa-swimming-largest-kickboard-guinness-world-records/The kickboard serves as reminder for parents to enroll their children in swim lessons, and for Congress to add this critical question to the 2020 Census in order to gain an accurate count of a family’s ability to swim in the U.S. All are encouraged to sign the petition by visiting http://bit.ly/swimfoundation.”Learning to swim changed the course of my life forever,” USA Swimming Foundation Ambassador and six-time Olympic medalist, Missy Franklin said. “This record-setting moment is designed to further the awareness of the importance of making sure children achieve the skills they need to build their confidence in the water and in life.”Make a Splash Tour Presented by Phillips 66
This GUINNESS WORLD RECORDS® moment kicks-off the USA Swimming Foundation’s 10th annual Make a Splash Tour presented by Phillips 66, which aims to save children’s lives through swim lessons. According to the Center for Disease Control and Prevention (CDC), research has shown that formal swimming lessons reduce the risk of childhood drowning by 88 percent.The Make a Splash Tour takes place throughout June and brings USA Swimming Foundation ambassadors, Olympic medalists and elite athletes to four cities across the country to educate children, parents, communities and civic leaders on the importance of learning to swim. The 2018 tour will visit:”The USA Swimming Foundation has made its mission to offer children in America the life skill of swimming regardless of race or financial circumstances,” USA Swimming Foundation ambassador and four-time Olympic medalist,” Cullen Jones stated.To date, more than 6 million children have received the lifesaving gift of free or reduced-cost swim lessons through the USA Swimming Foundation’s Make a Splash Local Partner network, which is comprised of more than 850 qualified swim lesson providers across the country. The USA Swimming Foundation has set an annual goal to provide at least 1 million children with swim lessons this year through its local partner network. To find a swim lesson in your area, visit the Foundation’s lesson locator: www.usaswimmingfoundation.org/find-swim-lessons.”Safety is a core value for Phillips 66, and we believe child drownings are preventable,” Phillips 66 Manager, Corporate Brand and Creative Media, Tami Talbert Walker said. “We are proud to sponsor the USA Swimming Foundation’s Make a Splash Tour to keep kids safer in, on, and around the water this summer.”Since 1973, Phillips 66’s contributions have supported the USA Swimming community through National Championships and other international competitions, publication of club development materials, and many additional endeavors. The Make a Splash Tour, which the company has sponsored since the program’s inception in 2009, is a natural extension of its dedication to safety.”With the support of Phillips 66, the USA Swimming Foundation is able to educate parents and children about the importance of learning to swim,” Executive Director of the USA Swimming Foundation, Debbie Hesse said. “We’ve seen an increase in the number of children participating in swimming lessons through the Local Partner network. We look forward to continuing to grow and surpassing the 2017 1-million children milestone this year, and every year moving forward.”Alarming Drowning StatisticsAbout the USA Swimming Foundation
The USA Swimming Foundation serves as the philanthropic arm of USA Swimming. Established in 2004, the Foundation works to strengthen the sport by saving lives and building champions—in the pool and in life. Whether we’re equipping our children with the life-saving skill of learn-to-swim through our Make a Splash initiative, or providing financial support to our heroes on the U.S. National Team, the USA Swimming Foundation aims to provide the wonderful experience of swimming to kids at all levels across the country. To learn more, visit www.usaswimmingfoundation.org.About the USA Swimming Foundation’s Make a Splash Initiative
The USA Swimming Foundation’s Make a Splash initiative is a national child-focused water safety campaign, which aims to provide the opportunity for every child in America to learn to swim. Through Make a Splash, the USA Swimming Foundation partners with learn-to-swim providers and water safety advocates across the country to provide swimming lessons and educate children and their families on the importance of learning how to swim. The USA Swimming Foundation has invested millions of dollars to provide grants to qualified Local Partner learn-to-swim programs, to spread national awareness, and to bring together strategic partners to end drowning. To date, over 6 million children have received the lifesaving gift of swim lessons through the USA Swimming Foundation Make a Splash Local Partner network, comprised of more than 850 qualified lesson providers across the nation. To learn more, visit www.usaswimmingfoundation.org/makeasplash. SOURCE The USA Swimming Foundation
MIAMI, June 2, 2018 /PRNewswire/ — “Miami has always been a tropical escape for the rich and famous, Hollywood celebrities and notorious gangsters.” said Scott J. Cooper of Miami, Florida. “Jacqueline Kennedy Onassis, President Franklin D. Roosevelt, Al Capone are just a few of the recognizable names that contributed to some of the city’s earliest cultural staples such as the HistoryMiami Museum and the Mount Sinai Medical Center Foundation.”When one thinks about philanthropy centers, New York City and the great philanthropists like Andrew Carnegie and John D. Rockefeller come to mind. In fact, Scott Cooper Miami Philanthropy spends a good amount of time discussing The Gospel of Wealth by Andrew Carnegie, written in 1889.According to Inside Philanthropy, Miami is currently the seventh-greatest city in terms of charity. Today that list doesn’t even include New York City. “Miami’s charity ranking is a welcome relief,” according to Miami Beach blogger Scott J. Cooper. “Time Magazine once called us ‘Paradise Lost’ and it stuck for a long time. The days of Miami being known for the Cocaine Cowboys and violent crime waves are a distant memory.”Luckily, the economic growth of the 1980s brought down a new wave of philanthropists looking for some Miami sunshine. The Miami City Ballet, the New World Symphony and the National Young Arts Foundation are just a few of the cultural institutions that this generous bunch brought to life. “1990 was the year that real change started in Miami,” said Scott Cooper. “Local government partnered with private industry and put together $500 million to build the Carnival Center for the Performing Arts, known today as the Adrienne Arsht Center for the Performing Arts.”The cultural and economic boom have made Miami one of the world’s greatest cities. The food, the nightlife, the hotels, the art, the sports, etc.For more information about Scott Cooper Miami, please visit our website at Scott Cooper Miami Florida.Related LinksScott Jason Cooper MiamiScott J. Cooper Miami Beach FLRelated Videohttp://www.youtube.com/watch?v=VWmMiDwefwcMedia Contact: info@scottcoopermiami.infoSOURCE Scott Cooper Florida
Laverne Cox Celebrates PRIDE at Beverly Center
In 2018, REI will donate up to $1 million to the NFF through the REI members-only REI Co-op World Mastercard®. With every purchase made on the REI Co-op Mastercard®, REI makes a donation to the National Forest Foundation1. This year is also the 50th Anniversary of the National Scenic Trails Act, making 2018’s slate of projects that focus largely on restoring, maintaining and building trails on National Forests especially relevant.
“Access to quality trails is key to a life outdoors,” said Taldi Walter, REI community and government affairs manager. “As we celebrate 50 years of the National Scenic Trails Act, we’re grateful for partners like the National Forest Foundation who are working to improve access in America’s national forests and ensure these spaces remain accessible for all.”
Projects in 2018 will help repair damage that 2017’s hurricane season wreaked on National Forests in Texas and Florida including trail restoration on the Sam Houston National Forest and on the Ocala National Forest. Additional projects include:
“REI’s commitment to our National Forests is truly extraordinary,” said Mary Mitsos, NFF president. “Today is National Trails Day and we couldn’t find a better opportunity to express our appreciation for the leadership that REI demonstrates and the impacts they’ve had on our National Forests and other public lands.”
To celebrate the partnership and National Trails Days, the NFF and REI are collaborating on a volunteer trail restoration event in the San Gabriel Mountains National Monument, outside of Los Angeles. For detailed descriptions of 2017 and 2018 projects supported by REI, please visit www.nationalforests.org/REI.
About the National Forest Foundation
The National Forest Foundation promotes the enhancement and public enjoyment of the 193-million-acre National Forest System. By directly engaging Americans and leveraging private and public funding, the NFF improves forest health and Americans’ outdoor experiences. The NFF’s programs inform millions of Americans about the importance of these treasured landscapes. Each year, the NFF restores fish and wildlife habitat, plants trees in areas affected by fires, insects and disease, improves recreational opportunities, and enables communities to steward their National Forests and Grasslands. Learn more at www.nationalforests.org.
About REI
REI is a specialty outdoor retailer, headquartered near Seattle. The nation’s largest consumer co-op, REI is a growing community of more than 17 million members who expect and love the best quality gear, inspiring expert classes and trips, and outstanding customer service. REI has 152 stores in 36 states. If you can’t visit a store, you can shop at REI.com, REI Outlet or the free REI shopping app. REI isn’t just about gear. You can take the trip of a lifetime with REI Adventures, a global leader in active adventure travel that runs more than 170 custom-designed itineraries worldwide. The REI Outdoor School is run by professionally-trained, expert-instructors who teach beginner- to advanced-level courses about a wide range of activities. To build on the infrastructure that makes life outside possible, REI invests millions annually in hundreds of local and national nonprofits that create access to—and steward—the outdoor places that inspire us all.
1This year, REI will donate $0.10 per REI Co-op Mastercard purchase transaction made to the National Forest Foundation, up to $1 million. Non-Purchase transactions, including cash advances, convenience checks, balance transfers, and other advance transactions as defined in the Cardmember Agreement, as well as interest charges and fees, do not qualify. Transactions posted in late December of the current year may be applied in the following year. REI may change the benefit or named charity in future years. REI is solely responsible for making the donation.
The creditor and issuer of the REI Co-op Mastercard® is U.S. Bank National Association, pursuant to a license from Mastercard International Incorporated.
© 2018 U.S. Bank
© 2018 Recreational Equipment Incorporated. All rights reserved.
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SOURCE National Forest Foundation
http://www.natlforests.org
View original content with multimedia:http://www.prnewswire.com/news-releases/natural-partners-and-fullscript-plan-to-merge-to-create-the-industry-leading-technology-enabled-wellness-management-service-for-integrative-healthcare-practitioners-and-patients-300658666.html
SOURCE Natural Partners, Inc.
http://www.naturalpartners.com
Saputo Inc. (“Saputo” or the “Company”) (TSX:SAP) has proudly announced today, on , a 3-year commitment to encourage the next generation of dairy leaders through 4-H Canada, a not-for-profit organization giving Canadian youth the opportunity to positively impact the community through hands-on programming. The Company’s contribution of $660,000 over the next 3 years will be invested in youth development within local dairy clubs, national and international dairy youth conferences, internships and contests, as well as the Careers on the Grow platform.
“We believe dairy communities across the country are a vibrant source of inspiration, and this partnership will encourage thousands of youth to confidently pursue this shared passion for our industry,” said Sandy Vassiadis, Vice President, Communications and Corporate Responsibility at Saputo.
As the country’s leading dairy processor, Saputo and its 5,400 Canadian employees will celebrate by proudly raising a glass of nutritious milk today. Follow the movement at .
Community engagement is important to Saputo. In this regard, the Company strives to invest 1% of its pre-tax profits each year in community programs and organizations. To learn more, visit www.saputo.com/Our-Promise/Community.
Saputo produces, markets, and distributes a wide array of dairy products of the utmost quality, including cheese, fluid milk, extended shelf-life milk and cream products, cultured products and dairy ingredients. Saputo is one of the top ten dairy processors in the world, the largest cheese manufacturer and the leading fluid milk and cream processor in Canada, the top dairy processor in Australia and the second largest in Argentina. In the USA, Saputo ranks among the top three cheese producers and is one of the largest producers of extended shelf-life and cultured dairy products. Our products are sold in several countries under well-known brand names such as Saputo, Alexis de Portneuf, Armstrong, COON, Cracker Barrel*, Dairyland, DairyStar, Devondale, Friendship Dairies, Frigo Cheese Heads, La Paulina, Milk2Go/Lait’s Go, Montchevre, Murray Goulburn, Neilson, Nutrilait, Scotsburn*, Stella, Sungold, Treasure Cave and Woolwich Dairy. Saputo Inc. is a publicly traded company and its shares are listed on the Toronto Stock Exchange under the symbol “SAP”.
*Trademark used under licence.
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SOURCE Century Housing Corporation
For more information about this report visit https://www.researchandmarkets.com/research/2hp8zc/alport_syndrome?w=5
Media Contact:
Research and Markets
Laura Wood, Senior Manager
press@researchandmarkets.comFor E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716
View original content:http://www.prnewswire.com/news-releases/alport-syndrome-pipeline-analysis-2018-5-drugs-currently-in-different-phases-of-development-300658060.html
SOURCE Research and Markets
http://www.researchandmarkets.com
LONDON, June 1, 2018 /PRNewswire/ — ThePurpleVision presents ThePurpleVision Launch Jam starring:CuzOH & Centric, with Liz Warfield & Ryan WatersDate: Wednesday, June 6, 2018, at 7 P.M.Location: Pizza Express Live99 High Holborn, London (UK)ThePurpleVision celebrates its launch with a night of live music. The evening will feature live performances by the hip-hop sensation CuzOH, super producer Centric, Liv Warfield & Ryan Waters. Guests will have the chance to meet the artists and gain access to exclusive merchandise, and more!CuzOH is an up and coming hip-hop artist from Hempstead, Long Island, New York. CuzOH has worked with some of the best musicians around from coast to coast including 3x Grammy award winners “Ghetto & Blues” (formerly known as Product G&B) & Platinum recording artist/writer Big Mike (From Day26). With music placements on stations such as ESPN, CBS Sports, Bleacher Report, and multiple cable television series, CuzOH’s talent and versatility as a recording artist is rapidly grabbing the attention of music lovers and tastemakers worldwide.Centric is an award-winning music composer and record producer. He is also half of the hip-hop duo “Grand Opus”. His impressive resume includes collaborations with hip-hop artists such as: Kool G Rap, Canibus, Big Noyd, Black Rob, Skyzoo (106 n Park), Sean Price, Mistah FAB, Cashis, Tash (Tha Liks), Planet Asia, Chino XL, Yukmouth, San Quinn, Freeway, Big Mike (Day26), MURS, Crooked I (Slaughter House), Sadat X (Brand Nubian), Fashawn & Rapper Big Pooh (Little Brother). He has also worked with Grammy Award-winning acts such as Swizz Beatz & The Product G&B (Maria Maria/Carlos Santana). Centric’s instrumentals enhanced the audio of TV/film entertainment with placements on networks and companies such as MTV, VH1, OWN, NFL, HEFTY, TVONE, BET and countless others.@cuzoh @iamcentric @livwarfield @thepurplevision @pizzaexpressliveVIP package includes 6:15 P.M. arrival, meet & greet and premium front row seats. Tickets can be purchased at:https://www.pizzaexpresslive.com/whats-on/the-purple-vision-launch-jamContact: FreeAtLastMusic@Gmail.comRelated Imagesthepurplevision.jpg
ThePurpleVisionthe-purplevision-launch-jam.jpg
The PurpleVision Launch Jamliv-warfield.jpg
Liv Warfieldcuzoh-centric.jpg
CuzOH & CentricSOURCE ThePurpleVision
Total Returns as of 05/31/18 | 1-year | 3-year | 5-year | 10-year |
Since Inception (6/29/06) |
NexPoint Strategic Opportunities Fund (NAV) | 19.67% | 3.25% | 15.89% | 6.97% | 5.42% |
NexPoint Strategic Opportunities Fund (Market Price) | 15.78% | 1.06% | 13.81% | 5.76% | 3.46% |
Total Returns as of 03/31/18 | 1-year | 3-year | 5-year | 10-year |
Since Inception (6/29/06) |
NexPoint Strategic Opportunities Fund (NAV) | 17.20% | 3.65% | 16.21% | 7.19% | 5.13% |
NexPoint Strategic Opportunities Fund (Market Price) | 14.95% | 3.97% | 15.30% | 7.16% | 3.72% |
Total operating expenses as of the most recent fund annual report are 2.21%. Performance data represents past performance, which does not guarantee future results. Current performance may be higher or lower than the figures shown. Investment return and principal value will fluctuate with market conditions, and you may have a gain or loss when you sell your shares. For most recent month-end performance please visit www.nexpointadvisors.com or call 866-351-4440.
Investors should consider the investment objectives, risks, charges and expenses of the NexPoint Strategic Opportunities Fund carefully before investing. This and other information can be found in the Fund’s prospectus, which may be obtained by calling 1-866-351-4440 or visiting www.nexpointadvisors.com. Please read the prospectus carefully before you invest.
Interest Rate Risk. Interest rate risk is the risk that debt securities, and the Fund’s net assets, may decline in value because of changes in interest rates. Generally, fixed rate debt securities will decrease in value when interest rates rise and increase in value when interest rates decline.
Leverage Risk. The Fund uses leverage through borrowings from notes and a credit facility, and may also use leverage through the issuances of preferred shares. The use of leverage magnifies both the favorable and unfavorable effects of price movements in the investments made by the Fund. Insofar as the Fund employs leverage in its investment operations, the Fund will be subject to substantial risks of loss.
Closed-End Fund Risk. The Fund is a closed-end investment company designed primarily for long-term investors and not as a trading vehicle. No assurance can be given that a shareholder will be able to sell his or her shares on the NYSE when he or she chooses to do so, and no assurance can be given as to the price at which any such sale may be effected.
Industry Concentration Risk. The Fund must invest at least 25% of the value of its total assets at the time of purchase in securities of issuers conducting their principal business activities in the real estate industry. The Fund may be subject to greater market fluctuations than a fund that does not concentrate its investments in a particular industry. Financial, economic, business, and other developments affecting issuers in the real estate industry will have a greater effect on the Fund, and if securities of the real estate industry fall out of favor, the Fund could underperform, or its NAV may be more volatile than, funds that have greater industry diversification.
Credit Risk. Investments rated below investment grade are commonly referred to as high-yield, high risk or “junk debt.” They are regarded as predominantly speculative with respect to the issuing company’s continuing ability to meet principal and/ or interest payments. Non-payment of scheduled interest and/or principal would result in a reduction of income to the Fund, a reduction in the value of the asset experiencing non-payment and a potential decrease in NAV of the Fund.
Illiquidity of Investments Risk. The investments made by the Fund may be illiquid, and consequently the Fund may not be able to sell such investments at prices that reflect the Investment Adviser’s assessment of their value or the amount originally paid for such investments by the Fund.
About NexPoint Strategic Opportunities Fund
NexPoint Strategic Opportunities Fund (formerly known as NexPoint Credit Strategies Fund) is a closed-end fund managed by NexPoint Advisors, L.P. The Fund’s investment objectives are to provide both current income and capital appreciation. The Fund is invested primarily in below investment grade debt, equity securities and real estate and has the ability to hedge risk. The Fund’s investment adviser attempts to deliver consistent returns in excess of the Dow Jones Credit Suisse Hedge Fund and the HFRX Global Hedge Fund indices in a transparent, registered fund format consistent with monthly dividends. No assurance can be given that the Fund will achieve its investment objectives.
Shares of closed-end investment companies frequently trade at a discount to net asset value. The price of the Fund’s shares is determined by a number of factors, several of which are beyond the control of the Fund. Therefore, the Fund cannot predict whether its shares will trade at, below or above net asset value. Past performance does not guarantee future results.
MEDIA CONTACT:
Lucy Bannon
lbannon@highlandcapital.com
+1 (972) 419-6272
View original content with multimedia:http://www.prnewswire.com/news-releases/nexpoint-strategic-opportunities-fund-announces-the-regular-monthly-dividend-300658548.html
SOURCE NexPoint Advisors, L.P.
PFO (PRNewsfoto/HeartStitch)
View original content with multimedia:http://www.prnewswire.com/news-releases/noblestitch-el-continues-expansion-through-europe-with-sales-launch-in-the-netherlands-300658554.html
SOURCE Nobles Medical Technologies II, Inc.
http://www.noblesmed2.com