Company Continues to Evaluate Offers as It Prepares for
Transaction with The Staffing Group, Ltd
Atlanta, GA -- February 22, 2016 -- InvestorsHub NewsWire
-- Labor SMART, Inc. (OTCQB: LTNC) (the "Company"), a leader in providing
on-demand blue collar staffing primarily in the southeastern United
States, today announced that it has sold one branch location to an
unrelated 3rd party. The deal, valued at a total of $677,650 was
closed on February 19, 2016. The Company received $336,000 cash and
retained open accounts receivable of $341,605 in the
transaction.
Ryan Schadel, President and CEO of Labor SMART, Inc., commented,
"We received an official Letter of Intent last Thursday afternoon
for this branch and proceeded, as the end result was consistent
with our short term goals of cleaning up our capitalization
structure and positioning the Company for future growth without the
heavy weight of toxic debt. Having the ability to monetize assets
is just one of the many tools we have to reach our short term
goals."
The Company confirmed the transaction announced today does not
affect the proposed arms-length transaction with The Staffing
Group, Ltd. (TSGL) for the acquisition of six laborSMART
branches.
In a February 12, 2016 press release,
the Company announced a plan to explore the sale of six branch
locations to The Staffing Group, Ltd. in an arms-length
transaction.
The Company confirmed it continues to field offers and will
provide additional information on any transactions that may
occur.
About Labor SMART, Inc.
Labor SMART, Inc. provides On-Demand temporary labor to a variety
of industries. The Company's clients range from small businesses to
Fortune 100 companies. Labor SMART was founded to provide reliable,
dependable and flexible resources for on-demand personnel to small
and large businesses in areas that include construction,
manufacturing, hospitality, event-staffing, restoration,
warehousing, retailing, disaster relief and cleanup, demolition and
landscaping. Labor SMART believes it can make a positive
contribution each and every day for the benefit of its clients and
temporary employees. The Company's mission is to be the provider of
choice to its growing portfolio of customers with a service-focused
approach that enables Labor SMART to be seen as a resource and
partner to its clients.
Follow us on Twitter: @laborsmart Investor
Relations: @laborSMART_LTNC
CEO - Ryan Schadel: @CRyanSchadel
Safe Harbor Statement
This release contains statements that constitute forward-looking
statements within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange Act
of 1934, as amended. These statements appear in a number of places
in this release and include all statements that are not statements
of historical fact regarding the intent, belief or current
expectations of Labor SMART, Inc., its directors or its officers
with respect to, among other things: (i) financing plans; (ii)
trends affecting its financial condition or results of operations;
(iii) growth strategy and operating strategy. The words "may",
"would", "will", "expect", "estimate", "can", "believe",
"potential", and similar expressions and variations thereof are
intended to identify forward-looking statements. Investors are
cautioned that any such forward-looking statements are not
guarantees of future performance and involve risks and
uncertainties, many of which are beyond Labor SMART, Inc.'s ability
to control, and that actual results may differ materially from
those projected in the forward-looking statements as a result of
various factors. More information about the potential factors that
could affect the business and financial results is and will be
included in Labor SMART, Inc.'s filings with the U.S. Securities
and Exchange Commission.
Contact Information
Contact:
Labor SMART, Inc.
shareholderrelations@laborsmart.com
