05:23:34 EDT Fri 29 Mar 2024
Enter Symbol
or Name
USA
CA



IOU Financial Inc
Symbol IOU
Shares Issued 86,479,122
Close 2020-04-03 C$ 0.08
Market Cap C$ 6,918,330
Recent Sedar Documents

IOU Financial lays off 40% of full-time employees

2020-04-03 20:40 ET - News Release

An anonymous director reports

IOU ANNOUNCES COST REDUCTION INITIATIVES DUE TO THE COVID-19 PANDEMIC

IOU Financial Inc. has implemented cost reduction and other initiatives due to the COVID-19 pandemic.

IOU Financial has modified its underwriting standards to temporarily cease lending to industries and geographical areas that are strongly impacted by COVID-19. Nevertheless, the company continues to originate loans and support businesses deemed essential by various governments. The duration of the current situation of the pandemic is unknown, and, considering the uncertainty faced by the North American economy over the coming months, the company furloughed approximately 40 per cent of its full-time employees and implemented a temporary 20-per-cent reduction in salary for all remaining employees.

The holders of more than two-thirds of the value of the company's convertible debentures have agreed to defer the payment of interest from the April 30, 2020, payment period to the June 30, 2020, payment period and to capitalizing the accrued interest over the reprieve period to the principal amount of the debentures at the end of the reprieve period, in accordance to the terms of the trust indenture under which such debentures were issued.

While the current unprecedented economic situation due to the pandemic remains unknown, the company is prepared to react quickly as the situation may require and looks forward to emerging as a stronger business coming out of this downturn.

About IOU Financial Inc.

IOU provides small businesses throughout the United States and Canada access to the capital they need to seize growth opportunities quickly. In a unique approach to lending, IOU's advanced, automated application and approval system accurately assesses applicants' financial realities, with an emphasis on day-to-day cash flow trends.

We seek Safe Harbor.

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