The GEO Group Announces It Has Entered Into a Purchase Agreement to Sell Company-Owned Lawton Correctional Facility in Oklahoma for $312 Million
The sale of the Facility is expected to close on July 25, 2025, subject to the satisfaction of customary closing conditions, and GEO expects to transition Facility operations to the Oklahoma Department of Corrections simultaneously on July 25, 2025. GEO expects to use the net proceeds from the sale of the Facility to pay down debt and for general corporate purposes.
George C. Zoley, Executive Chairman of GEO, said, 'The sale of our Company-owned Lawton Correctional Facility is expected to be a significant deleveraging event for our Company. We believe that this important transaction is representative of the intrinsic value of our Company-owned facilities, which total more than 52,000 beds. Our Management Team and Board of Directors remain focused on the disciplined allocation of capital to enhance long-term value for our shareholders.'
About The GEO Group
The GEO Group, Inc. (NYSE: GEO) is a leading diversified government service provider, specializing in design, financing, development, and support services for secure facilities, processing centers, and community reentry centers in the United States, Australia, South Africa, and the United Kingdom. GEO's diversified services include enhanced in-custody rehabilitation and post-release support through the award-winning GEO Continuum of Care®, secure transportation, electronic monitoring, community-based programs, and correctional health and mental health care. GEO's worldwide operations include the ownership and/or delivery of support services for 98 facilities totaling approximately 77,000 beds, including idle facilities and projects under development, with a workforce of up to approximately 18,000 employees.
Use of forward-looking statements
This news release may contain 'forward-looking statements' within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements and any such forward-looking statements are qualified in their entirety by reference to the cautionary statements and risk factors contained in GEO's filings with the U.S. Securities and Exchange Commission including its Form 10-K, 10-Q and 8-K reports. All forward-looking statements speak only as of the date of this news release and are based on current expectations and involve a number of assumptions, risks and uncertainties that could cause the actual results to differ materially from such forward-looking statements. Readers are strongly encouraged to read the full cautionary statements and risk factors contained in GEO's filings with the U.S. Securities and Exchange Commission, including those referenced above. GEO disclaims any obligation to update or revise any forward-looking statements, except as required by law.
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Business Wire
a minute ago
- Business Wire
Revvity Announces Financial Results for the Second Quarter of 2025
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Adjustments for the Company's non-GAAP financial measures have been noted in the attached reconciliations. 'The power of Revvity's transformation and consistent execution were evident in our second-quarter performance, enabling us to exceed expectations despite the evolving market environment,' said Prahlad Singh, president and chief executive officer of Revvity. 'With a strong pipeline of innovation, high-performing teams and disciplined operational focus, we're well-positioned to deliver long-term value creation for our shareholders.' Financial Overview by Reporting Segment Life Sciences Second quarter 2025 revenue was $366 million, as compared to $349 million in the same period a year ago. Revenue increased 5% and organic revenue increased 4% as compared to the same period a year ago. Second quarter 2025 adjusted operating income was $115 million, as compared to $118 million in the same period a year ago. Adjusted operating profit margin was 31.6% as a percentage of revenue, as compared to 33.7% in the same period a year ago. Diagnostics Second quarter 2025 revenue was $354 million, as compared to $343 million in the same period a year ago. Revenue increased 3% and organic revenue increased 2% as compared to the same period a year ago. Second quarter 2025 adjusted operating income was $89 million, as compared to $93 million in the same period a year ago. Adjusted operating profit margin was 25.2% as a percentage of revenue, as compared to 27.0% in the same period a year ago. Full Year 2025 Guidance For the full year 2025, the Company is raising its full year revenue guidance to $2.84-$2.88 billion to reflect recent changes in foreign currency exchange rates and assumes 2% to 4% organic growth. The Company is also updating its adjusted EPS guidance to a range of $4.85 to $4.95. 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The reasons that we use these measures, a reconciliation of these measures to the most directly comparable GAAP measures, and other information relating to these measures are included below following our GAAP financial statements. Factors Affecting Future Performance This press release contains 'forward-looking' statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to estimates and projections of future earnings per share, cash flow and revenue growth and other financial results, developments relating to our customers and end-markets, and plans concerning business development opportunities, acquisitions and divestitures. Words such as 'believes', 'intends', 'anticipates', 'plans', 'expects', 'estimates', 'projects', 'forecasts', 'will' and similar expressions, and references to guidance, are intended to identify forward-looking statements. Such statements are based on management's current assumptions and expectations and no assurances can be given that our assumptions or expectations will prove to be correct. A number of important risk factors could cause actual results to differ materially from the results described, implied or projected in any forward-looking statements. These factors include, without limitation: (1) markets into which we sell our products declining or not growing as anticipated; (2) fluctuations in the global economic and political environments, including as the result of recently implemented and recently threatened tariff increases; (3) our failure to introduce new products in a timely manner; (4) our ability to execute acquisitions and divestitures, license technologies, or to successfully integrate acquired businesses or licensed technologies into our existing businesses or to make them profitable; (5) our ability to compete effectively; (6) fluctuation in our quarterly operating results and our ability to adjust our operations to address unexpected changes; (7) significant disruption in third-party package delivery and import/export services or significant increases in prices for those services; (8) disruptions in the supply of raw materials and supplies; (9) our ability to retain key personnel; (10) significant disruption in our information technology systems, or cybercrime; (11) our ability to realize the full value of our intangible assets; (12) our failure to adequately protect our intellectual property; (13) the loss of any of our licenses or licensed rights; (14) the manufacture and sale of products exposing us to product liability claims; (15) our failure to maintain compliance with applicable government regulations; (16) our failure to comply with data privacy and information security laws and regulations; (17) regulatory changes; (18) our failure to comply with healthcare industry regulations; (19) economic, political and other risks associated with foreign operations; (20) our ability to obtain future financing; (21) restrictions in our credit agreements; (22) significant fluctuations in our stock price; (23) reduction or elimination of dividends on our common stock; and (24) other factors which we describe under the caption 'Risk Factors' in our most recent quarterly report on Form 10-Q and in our other filings with the Securities and Exchange Commission. We disclaim any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release. About Revvity At Revvity, 'impossible' is inspiration, and 'can't be done' is a call to action. Revvity provides health science solutions, technologies, expertise and services that deliver complete workflows from discovery to development, and diagnosis to cure. Revvity is revolutionizing what's possible in healthcare, with specialized focus areas in translational multi-omics technologies, biomarker identification, imaging, prediction, screening, detection and diagnosis, informatics and more. With 2024 revenue of more than $2.7 billion and approximately 11,000 employees, Revvity serves customers across pharmaceutical and biotech, diagnostic labs, academia and governments. It is part of the S&P 500 index and has customers in more than 160 countries. Stay updated by following our Newsroom, LinkedIn, X, YouTube, Facebook and Instagram. Revvity, Inc. and Subsidiaries REVENUE AND OPERATING INCOME (LOSS) Three Months Ended Six Months Ended (In thousands, except percentages) June 29, 2025 June 30, 2024 June 29, 2025 June 30, 2024 Reported operating income from continuing operations $ 90,760 $ 85,724 $ 162,990 $ 129,840 OP% 12.6 % 12.4 % 11.8 % 9.7 % Amortization of intangible assets 85,289 90,620 167,989 181,858 Purchase accounting adjustments 2,178 623 2,001 7,245 Acquisition and divestiture-related costs 1,248 5,779 3,789 17,241 Significant litigation matters and settlements 1,124 6,276 11,710 6,276 Significant environmental matters — — (1,208 ) — Restructuring and other, net 11,203 9,845 14,442 22,201 Adjusted operating income $ 191,802 $ 198,867 $ 361,713 $ 364,661 OP% 26.6 % 28.8 % 26.1 % 27.2 % Segment revenue and segment operating income Life Sciences $ 365,898 $ 348,525 $ 706,293 $ 685,039 Diagnostics 354,386 343,160 678,753 656,566 Segment revenue 720,284 691,685 1,385,046 1,341,605 Life Sciences $ 115,469 $ 117,567 $ 221,180 $ 218,518 31.6 % 33.7 % 31.3 % 31.9 % Diagnostics 89,422 92,749 163,437 168,953 25.2 % 27.0 % 24.1 % 25.7 % Segment operating income 204,891 210,316 384,617 387,471 Corporate (13,089 ) (11,449 ) (22,904 ) (22,810 ) Adjusted operating income 191,802 198,867 361,713 364,661 Amortization of intangible assets (85,289 ) (90,620 ) (167,989 ) (181,858 ) Purchase accounting adjustments (2,178 ) (623 ) (2,001 ) (7,245 ) Acquisition and divestiture-related costs (1,248 ) (5,779 ) (3,789 ) (17,241 ) Significant litigation matters and settlements (1,124 ) (6,276 ) (11,710 ) (6,276 ) Significant environmental matters — — 1,208 — Expand Revvity, Inc. and Subsidiaries CONSOLIDATED STATEMENTS OF CASH FLOWS Three Months Ended Six Months Ended (In thousands) June 29, 2025 June 30, 2024 June 29, 2025 June 30, 2024 Operating activities: Net income $ 53,948 $ 55,360 $ 96,185 $ 81,373 Loss from discontinued operations, net of income taxes 1,274 17,246 706 19,929 Income from continuing operations 55,222 72,606 96,891 101,302 Adjustments to reconcile income from continuing operations to net cash provided by continuing operations: Stock-based compensation 10,133 10,526 17,864 22,218 Restructuring and other, net 11,203 9,845 14,442 22,201 Depreciation and amortization 102,778 107,344 200,200 215,146 Change in fair value of contingent consideration 459 176 (166 ) 6,349 Amortization of deferred debt financing costs and accretion of discounts 1,218 1,773 2,320 3,509 Change in fair value of investments 1,955 (7,777 ) (1,118 ) (6,971 ) Unrealized foreign exchange loss (gain) 206 (480 ) 140 (857 ) Changes in assets and liabilities which provided (used) cash: Accounts receivable, net (40,041 ) (8,995 ) (21,901 ) 28,194 Inventories, net 11,128 10,042 5,642 17,251 Accounts payable (5,576 ) (4,747 ) 3,278 (22,974 ) Accrued expenses and other (14,367 ) (7,985 ) (49,177 ) (52,894 ) Net cash provided by operating activities of continuing operations 134,318 182,328 268,415 332,474 Net cash used in operating activities of discontinued operations — (23,707 ) (5,942 ) (26,290 ) Net cash provided by operating activities 134,318 158,621 262,473 306,184 Investing activities: Capital expenditures (18,868 ) (22,031 ) (34,850 ) (39,875 ) Purchases of investments and notes receivables — (4,000 ) — (4,337 ) Proceeds from disposition of businesses and assets — — 229 — Net cash used in investing activities of continuing operations (18,868 ) (26,031 ) (34,621 ) (44,212 ) Net cash provided by investing activities of discontinued operations 9,375 147,522 18,750 147,522 Net cash (used in) provided by investing activities (9,493 ) 121,491 (15,871 ) 103,310 Financing Activities: Payments of debt financing costs (72 ) — (2,474 ) — Payments on other credit facilities (53 ) (389 ) (103 ) (11,200 ) Payments for acquisition-related contingent consideration (161 ) — (1,978 ) (8,749 ) Proceeds from issuance of common stock under stock plans — 2,089 2,632 6,032 Purchases of common stock (293,907 ) (19,553 ) (447,501 ) (30,309 ) Dividends paid (8,282 ) (8,642 ) (16,715 ) (17,282 ) Net cash used in financing activities of continuing operations (302,475 ) (26,495 ) (466,139 ) (61,508 ) Effect of exchange rate changes on cash, cash equivalents, and restricted cash 31,953 (3,654 ) 48,075 (12,931 ) Net (decrease) increase in cash, cash equivalents, and restricted cash (145,697 ) 249,963 (171,462 ) 335,055 Cash, cash equivalents, and restricted cash at beginning of period 1,138,687 999,465 1,164,452 914,373 Cash, cash equivalents, and restricted cash at end of period $ 992,990 $ 1,249,428 $ 992,990 $ 1,249,428 Supplemental disclosure of cash flow information: Reconciliation of cash, cash equivalents and restricted cash reported within the condensed balance sheets that sum to the total shown in the consolidated statements of cash flows: Cash and cash equivalents $ 991,849 $ 1,248,120 $ 991,849 $ 1,248,120 Restricted cash included in other current assets 1,141 1,308 1,141 1,308 Total cash, cash equivalents and restricted cash $ 992,990 $ 1,249,428 $ 992,990 $ 1,249,428 PREPARED IN ACCORDANCE WITH GAAP Expand Explanation of Non-GAAP Financial Measures We report our financial results in accordance with GAAP. However, management believes that, in order to more fully understand our short-term and long-term financial and operational trends, investors may wish to consider the impact of certain non-cash, non-recurring or other items, which result from facts and circumstances that vary in frequency and impact on continuing operations. Accordingly, we present non-GAAP financial measures as a supplement to the financial measures we present in accordance with GAAP. These non-GAAP financial measures provide management with additional means to understand and evaluate the operating results and trends in our ongoing business by adjusting for certain non-cash expenses and other items that management believes might otherwise make comparisons of our ongoing business with prior periods more difficult, obscure trends in ongoing operations, or reduce management's ability to make useful forecasts. Management believes these non-GAAP financial measures provide additional means of evaluating period-over-period operating performance. In addition, management understands that some investors and financial analysts find this information helpful in analyzing our financial and operational performance and comparing this performance to our peers and competitors. We use the term 'organic revenue' to refer to GAAP revenue, excluding the effect of foreign currency changes and revenue from recent acquisitions and divestitures and including purchase accounting adjustments for revenue from contracts acquired in acquisitions that will not be fully recognized due to accounting rules. We use the related term 'organic revenue growth' or 'organic growth' to refer to the measure of comparing current period organic revenue with the corresponding period of the prior year. We use the term 'adjusted gross margin' to refer to GAAP gross margin, excluding amortization of intangible assets and inventory fair value adjustments related to business acquisitions and asset impairments. We use the related term 'adjusted gross margin percentage' to refer to adjusted gross margin as a percentage of revenue. We use the term 'adjusted SG&A expense' to refer to GAAP SG&A expense, excluding amortization of intangible assets, purchase accounting adjustments, acquisition and divestiture-related expenses, significant litigation matters and settlements, asset impairments, significant environmental charges, and restructuring and other charges. We use the related term 'adjusted SG&A percentage' to refer to adjusted SG&A expense as a percentage of revenue. We use the term 'adjusted R&D expense' to refer to GAAP R&D expense, excluding amortization of intangible assets and purchase accounting adjustments. We use the related term 'adjusted R&D percentage' to refer to adjusted R&D expense as a percentage of revenue. We use the term 'adjusted net interest and other expense' to refer to GAAP net interest and other expense, excluding adjustments for mark-to-market accounting on post-retirement benefits, changes in foreign exchange and interest associated with acquisitions and divestitures, changes in the value of investments and debt extinguishment costs. We use the term 'adjusted operating income' to refer to GAAP operating income, excluding amortization of intangible assets, other purchase accounting adjustments, acquisition and divestiture-related expenses, significant litigation matters and settlements, significant environmental charges, asset impairments, and restructuring and other charges. We use the related terms 'adjusted operating profit percentage,' 'adjusted operating profit margin,' and 'adjusted operating margin' to refer to adjusted operating income as a percentage of revenue. We use the term 'free cash flow' to refer to net cash provided by (used in) operating activities of continuing operations, less payments for additions to property, plant and equipment from continuing operations ('capital expenditures') plus the proceeds from sales of plant, property and equipment from continuing operations ('capital disposals'). We use the term 'adjusted net income' to refer to GAAP income from continuing operations, excluding amortization of intangible assets, debt extinguishment costs, other purchase accounting adjustments, acquisition and divestiture-related expenses, significant litigation matters and settlements, significant environmental charges, changes in the value of investments, disposition of businesses and assets, net, changes in foreign exchange and interest associated with acquisitions and divestitures, asset impairments and restructuring and other charges. We also exclude adjustments for mark-to-market accounting on post-retirement benefits, therefore only our projected costs have been used to calculate this non-GAAP measure. We also adjust for any tax impact related to the above items and exclude the impact of significant tax events. We use the term 'adjusted earnings per share from continuing operations,' 'adjusted earnings per share,' 'adjusted EPS,' or 'adjusted EPS from continuing operations' to refer to GAAP earnings per share from continuing operations, excluding amortization of intangible assets, debt extinguishment costs, other purchase accounting adjustments, acquisition and divestiture-related expenses, significant litigation matters and settlements, significant environmental charges, changes in the value of investments, disposition of businesses and assets, net, changes in foreign exchange and interest associated with acquisitions and divestitures, asset impairments and restructuring and other charges. We also exclude adjustments for mark-to-market accounting on post-retirement benefits, therefore only our projected costs have been used to calculate this non-GAAP measure. We also adjust for any tax impact related to the above items and exclude the impact of significant tax events. Management includes or excludes the effect of each of the items identified below in the applicable non-GAAP financial measure referenced above for the reasons set forth below with respect to that item: Amortization of intangible assets —purchased intangible assets are amortized over their estimated useful lives and generally cannot be changed or influenced by management after the acquisition. Accordingly, this item is not considered by management in making operating decisions. Management does not believe such charges accurately reflect the performance of our ongoing operations for the period in which such charges are incurred. Debt extinguishment costs —we incur costs and income related to the extinguishment of debt; including make-whole payments to debt holders, accelerated amortization of debt fees and discounts, and expense or income from hedges to lock in make-whole payments. We exclude the impact of these items from our non-GAAP measures because we believe they do not reflect the performance of our ongoing operations. Other purchase accounting adjustments —accounting rules require us to adjust various balance sheet accounts, including inventory, fixed assets, deferred revenue and deferred rent balances to fair value at the time of the acquisition. As a result, the expenses for these items in our GAAP results are not the same as what would have been recorded by the acquired entity. Accounting rules also require us to estimate the fair value of contingent consideration at the time of the acquisition, and any subsequent changes to the estimate or payment of the contingent consideration and purchase accounting adjustments are charged to expense or income. We exclude the impact of any changes to contingent consideration from our non-GAAP measures because we believe these expenses or benefits do not accurately reflect the performance of our ongoing operations for the period in which such expenses or benefits are recorded. Acquisition and divestiture-related expenses —we incur legal, due diligence, stay bonuses, incentive awards, stock-based compensation, interest, foreign exchange gains and losses, integration expenses, rebranding expenses, transformation expenses, and other costs related to acquisitions and divestitures. We exclude these expenses from our non-GAAP measures because we believe they do not reflect the performance of our ongoing operations. Asset impairments —we incur expenses related to asset impairments. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred. Restructuring and other charges —restructuring and other charges consist of employee severance, other exit costs, abandonments or associated asset write-downs, cost of terminating certain lease agreements or contracts as well as costs associated with relocating facilities. Management does not believe such costs accurately reflect the performance of our ongoing operations for the period in which such costs are reported. Adjustments for mark-to-market accounting on post-retirement benefits —we exclude adjustments for mark-to-market accounting on post-retirement benefits, and therefore only our projected costs are used to calculate our non-GAAP measures. We exclude these adjustments because they do not represent what we believe our investors consider to be costs of producing our products, investments in technology and production, and costs to support our internal operating structure. Significant litigation matters and settlements —we incur expenses related to significant litigation matters, including the costs to settle or resolve various claims and legal proceedings. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred. Significant environmental charges —we incur expenses related to significant environmental charges. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred. Disposition of businesses and assets, net —we exclude the impact of gains or losses from the disposition of businesses and assets from our adjusted earnings per share. Management does not believe such gains or losses accurately reflect the performance of our ongoing operations for the period in which such gains or losses are reported. Impact of foreign currency changes on the current period —we exclude the impact of foreign currency associated with acquisitions and divestitures from these measures by using the prior period's foreign currency exchange rates for the current period because foreign currency exchange rates are subject to volatility and can obscure underlying trends. Impact of significant tax events —we exclude the impact of significant tax events. Management does not believe the impact of significant tax events accurately reflects the performance of our ongoing operations for the periods in which the impact of such events was recorded. Changes in value of investments —we exclude the impact of changes in the value of investments. Management does not believe such gains or losses accurately reflect the performance of our ongoing operations for the period in which such gains or losses are reported. The tax effect for discontinued operations is calculated based on the authoritative guidance in the Financial Accounting Standards Board's Accounting Standards Codification 740, Income Taxes. The tax effect for amortization of intangible assets, inventory fair value adjustments related to business acquisitions, changes to the fair values assigned to contingent consideration, debt extinguishment costs, other costs related to business acquisitions and divestitures, significant litigation matters and settlements, significant environmental charges, changes in the fair value of investments, adjustments for mark-to-market accounting on post-retirement benefits, disposition of businesses and assets, net, and restructuring and other charges is calculated based on operational results and a blended jurisdictional tax rate, which contemplates tax rates currently in effect to determine our tax provision. The tax effect for the impact from foreign currency exchange rates on the current period is calculated based on a blended jurisdictional tax rate currently in effect to determine our tax provision. The non-GAAP financial measures described above are not meant to be considered superior to, or a substitute for, our financial statements prepared in accordance with GAAP. There are material limitations associated with non-GAAP financial measures because they exclude charges that have an effect on our reported results and, therefore, should not be relied upon as the sole financial measures by which to evaluate our financial results. Management compensates and believes that investors should compensate for these limitations by viewing the non-GAAP financial measures in conjunction with the GAAP financial measures. In addition, the non-GAAP financial measures included in this earnings announcement may be different from, and therefore may not be comparable to, similar measures used by other companies. Each of the non-GAAP financial measures listed above is also used by our management to evaluate our operating performance, communicate our financial results to our Board of Directors, benchmark our results against our historical performance and the performance of our peers, evaluate investment opportunities including acquisitions and discontinued operations, and determine the bonus payments for senior management and employees.
Los Angeles Times
a minute ago
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First step in the revival of the county's mothballed General Hospital building set to start
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Calling the project 'a national model for equitable urban development,' it proposed a phased development with a wide latitude in scale, providing scenarios ranging from as few as 1,480 mixed-income residential units to as many as 4,954, and from 2.1 million to 4.6 million square feet of commercial space. The preliminary plan, issued in February, is the basis for a detailed master plan and environmental report Centennial Partners is expected to complete by the spring. An item before the Supervisors on Tuesday would set aside $3.3 million to fund that detailed plan. The motion, by Supervisor Hilda Solis, who has championed the project, would also authorize county staff to seek inclusion of the iconic building — long featured in the title scene of the 62-year-old soap opera of the same name—on the National Register of Historic Places. Though loaded with historic and cultural significance, the hospital was never nominated. The designation would ensure the preservation of its historic character and add another piece of financing, in the form of tax credits, to a plan that would meld private investment with public grants and low-income housing and climate tax credits. In June, the supervisors authorized a no-cost lease of the hospital property to the development team to undertake the two-year remediation that would include a seismic upgrade of the hospital building, demolition of 18 structures spread across the campus, decommissioning and replacement of obsolete utilities, and testing to identify soil and materials hazards that would require abatement. Existing tenants of the building, including a community wellness center, would have to be relocated. The funds, largely coming from state housing grants and the federal American Rescue plan, would provide $106 million to Centennial Partners, a joint venture led by Primestor Venture Partners, the Latino-owned company that built the retail center in the city's redevelopment of the Jordan Downs housing project in South Los Angeles. Of the remainder, $9 million would be held in contingency and $5 million reserved for county management. The county would be responsible for relocating tenants that currently occupy the lower four floors of the hospital building, including the nonprofit wellness center that offers free health programs to the surrounding community and the Violence Intervention Program Community Mental Health Center. The preliminary report draws a sobering picture of challenges facing the project. Among them are seismic risk, hazardous materials contamination, deteriorating infrastructure, aging and inefficient buildings, parking deficiencies, disconnected streets, fragmented green spaces and Americans With Disabilities Act hurdles. It calls for the engagement of environmental experts, access planners, historical preservation consultants and arborists to work out solutions early in the planning. The fundamental problem is a division of the property by a 40-foot drop between the hospital building and its expansive forecourt and the remainder of the campus to the west. The plan calls for the forecourt to become 'the programmatic heart of the campus' that 'serves as the entry into the renovated hospital and functions as a community porch, inviting engagement and interaction.' A circulation plan with new entries to the campus from the surrounding streets on all sides would 'allow more gracious approaches to the forecourt and the heart of the campus. A new parking structure would take advantage of the grade, concealing the parking below the forecourt and extending community uses over its roof. Additionally, 'a coordinated development, circulation, and green space network' would help bridge the 40-foot grade. The plan divides the campus into seven areas for phased development. First would be the hospital building itself. Its ground floor would become an 'interior street' while upper floors would be refashioned as housing in chunks of 100 to 250 units to take advantage of public funding sources. The remainder of the campus would follow with a mixture of open spaces, new office and retail space and residential buildings that could vary from 49 to 991 units. Initial remedial work on the unoccupied floors of the hospital building should begin in December. Major work will follow in the spring after completion of the master plan and draft environmental impact report. 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On Jan. 17, 1994, the Northridge earthquake forced the permanent closure of a 166-bed psychiatric unit and led to new state seismic standards for hospitals that would require structural upgrades of the massive building. With the new nearby County-USC Medical Center finally completed, General Hospital closed on Nov. 7, 2008. To a limited extent, it has remained a community asset with its Art Deco vestibule still open to the public. The wellness center occupies much of its vast first floor, and several research teams and training programs use space up to the fourth floor. But the remainder of its 19 floors have been abandoned and fallen into a state of dangling ceiling tiles, broken light bulbs, peeling paint, rusted piping and gathering dust.
Hamilton Spectator
16 minutes ago
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TORONTO and FLIN FLON, Manitoba, July 28, 2025 (GLOBE NEWSWIRE) — McEwen Inc. ('McEwen') (NYSE: MUX) (TSX:MUX) and Canadian Gold Corp. ('Canadian Gold') (TSX-V:CGC) are pleased to announce that they have entered into a binding letter of intent (the 'LOI') on July 27, 2025 in respect of a proposed transaction (the 'Proposed Transaction'), whereby McEwen would acquire all of the issued and outstanding securities of Canadian Gold by way of plan of arrangement. If the Proposed Transaction is completed, Canadian Gold would become a wholly-owned subsidiary of McEwen. Canadian Gold's principal asset is its 100% interest in the Tartan Mine, which is located in Manitoba, Canada (the 'Tartan Mine'). The Tartan Mine is a high-grade former producing mine with existing infrastructure and high exploration potential. Canadian Gold also holds a 100% interest in greenfield exploration properties in the Hammond Reef and Malartic South projects, which are adjacent to some of Canada's largest gold mines and development projects in Ontario and Quebec. The Proposed Transaction Pursuant to the terms of the Proposed Transaction, each Canadian Gold common share (a 'Canadian Gold Share') would entitle its holder to receive 0.0225 of a McEwen common share (a 'McEwen Share') (the 'Exchange Ratio'). The Exchange Ratio represents an offer price of CDN $0.35 per Canadian Gold Share, being a premium of 26% to the 30-day volume weighted average price ('VWAP') of the Canadian Gold Shares as at market close on July 25, 2025. Following completion of the transaction, existing Canadian Gold shareholders will own approximately 8.2% of the combined company resulting from the Proposed Transaction. The LOI provides for the parties to enter into a definitive arrangement agreement (the 'Arrangement Agreement') setting out the final terms and conditions of the Proposed Transaction. Upon the execution of the Arrangement Agreement, McEwen and Canadian Gold will issue a subsequent news release containing any additional terms of the Proposed Transaction. Benefits of the Transaction for Canadian Gold Shareholders: Benefits of the Transaction for McEwen Shareholders: 'I am enthusiastic about the Tartan Mine for several reasons. First, it is a high-grade gold deposit with strong exploration potential in Canada. Second, the existing infrastructure, including the mine ramp, roads, and power, provides an opportunity to restart operations within a relatively short timeframe. Third, Manitoba stands out as one of the world's premier mining jurisdictions, offering a skilled workforce, low-cost renewable energy, and attractive mining tax credits. Additionally, the Tartan Mine shares many similarities with our Fox Complex, enabling us to leverage our internal expertise and resources to maximize its potential,' said Rob McEwen, Chairman and Chief Owner of McEwen Inc. 'I'd like to thank Mr. McEwen, McEwen Inc. and all our shareholders for the support of Canadian Gold Corp. over the past several years. We believe that this acquisition by McEwen is a fantastic result for our shareholders as we will benefit from a broader portfolio of high-quality assets,' said Peter Shippen, Chairman of Canadian Gold Corp. Details of the Proposed Transaction A copy of the LOI will be filed on McEwen's and Canadian Gold's SEDAR+ profiles at . The Proposed Transaction was approved by the Board of Directors of both McEwen and Canadian Gold, based on the recommendation of their respective special committees comprised of independent and disinterested directors. These special committees reached their decisions after consulting with their independent legal and financial advisors. Messrs. Rob McEwen and Ian Ball, recognizing their respective conflicts of interest as directors of McEwen and as shareholders/interested parties in Canadian Gold, abstained from voting on the approval of the Proposed Transaction by McEwen's Board of Directors. Similarly, Messrs. Alexander McEwen and Jim Downey acknowledged their conflicts of interest, as they were appointed to the Canadian Gold Board of Directors by Rob McEwen. To ensure a thorough and impartial review of the Proposed Transaction, the special committees of both companies have engaged independent financial advisors. These advisors will prepare a formal valuation of the respective shares, as required by securities law, and provide an opinion that, subject to the assumptions, limitations, and qualifications outlined in the written opinion, the consideration to be exchanged is fair from a financial perspective. Further details with respect to the Proposed Transaction will be included in the Arrangement Agreement and in an information circular to be mailed to Canadian Gold shareholders in connection with the Canadian Gold Meeting. Once available, a copy of the Arrangement Agreement will be filed on each of McEwen's and Canadian Gold's SEDAR+ profiles at and a copy of the information circular will be filed on Canadian Gold's SEDAR+ profile at . Overview of Canadian Gold's Tartan Mine The Tartan Mine is a former producing mine with significant infrastructure close to the town of Flin Flon, Manitoba. It has access to a skilled workforce, inexpensive renewable power and a supportive mining and taxation environment. Tartan Mine produced 47,000 ounces of gold between 1987 and 1989. Recently, Canadian Gold announced two transactions that expanded the strike length of Tartan from 8 kilometers to 29.5 kilometers along a key regional shear zone. The expanded property has the benefit of leveraging the infrastructure at Tartan Mine that includes a ramp to 320 meters below surface, the footprint of the former 450 tpd mill, road access and power to the mine site. About McEwen McEwen provides its shareholders with exposure to gold, copper and silver in the Americas by way of its three mines located in the USA, Canada and Argentina and its large advanced-stage copper development project in Argentina. It also has a gold and silver mine on care and maintenance in Mexico. Its Los Azules copper project aims to become one of the world's first regenerative copper mines and is committed to carbon neutrality by 2038. Rob McEwen, Chairman and Chief Owner, has personally invested US$205 million in the companies and takes a salary of $1/ year. He is a recipient of the Order of Canada and a member of the Canadian Mining Hall of Fame. His objective for MUX is to build its share value and establish a dividend, as he did while building Goldcorp Inc. McEwen's shares are publicly traded on the New York Stock Exchange (NYSE) and the Toronto Stock Exchange (TSX) under the symbol 'MUX'. McEwen Contact Info and Social Media About Canadian Gold Canadian Gold Corp. is a Canadian-based mineral exploration and development company whose objective is to expand the high-grade gold resource at the past producing Tartan Mine, located in Flin Flon, Manitoba. The historic Tartan Mine currently has a 2017 Indicated mineral resource estimate of 240,000 oz gold (1,180,000 tonnes at 6.32 g/t gold) and an Inferred estimate of 37,000 oz gold (240,000 tonnes at 4.89 g/t gold). (Tartan Lake Project Technical Report, Manitoba, Canada, April 2017 authored by Mining Plus Canada Consulting Ltd.). The Company also holds a 100% interest in greenfield exploration properties in Ontario and Quebec adjacent to some of Canada's largest gold mines and development projects, specifically, the Canadian Malartic Mine (QC), the Hemlo Mine (ON) and Hammond Reef Project (ON). McEwen Inc. (NYSE & TSX: MUX) holds a 5.6% interest in Canadian Gold, and Rob McEwen, the founder and former CEO of Goldcorp, and Chairman and CEO of McEwen Inc., holds a 32.5% interest in Canadian Gold. For Further Information, Please Contact: Michael Swistun, CFA President & CEO Canadian Gold Corp. (204) 232-1373 info@ Social Media Accounts: X (Twitter) : Instagram : Facebook : LinkedIn : Neither the NYSE, TSX or TSX-V have reviewed and do not accept responsibility for the adequacy or accuracy of the contents of this news release, which has been prepared by the management of McEwen and Canadian Gold. Forward-Looking Statements This news release contains 'forward-looking information' within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as 'expects', or 'does not expect', 'is expected', 'anticipates' or 'does not anticipate', 'plans', 'budget', 'scheduled', 'forecasts', 'estimates', 'believes' or 'intends' or variations of such words and phrases or stating that certain actions, events or results 'may' or 'could', 'would', 'might' or 'will' be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate to, among other things, statements regarding: the Proposed Transaction; the Arrangement Agreement; the receipt of necessary shareholder, court and regulatory approvals for the Proposed Transaction; the anticipated timeline for completing the Proposed Transaction; the terms and conditions pursuant to which the Proposed Transaction will be completed, if at all; the anticipated benefits of the Proposed Transaction including, but not limited to McEwen having an 100% interest in the Tartan Mine; the combined company; the future financial and operational performance of the combined company; the combined company's exploration and development programs; and potential future revenue and cost synergies resulting from the Proposed Transaction. These forward-looking statements are not guarantees of future results and involve risks and uncertainties that may cause actual results to differ materially from the potential results discussed in the forward-looking statements. In respect of the forward-looking statements concerning the Proposed Transaction, including the entering into of the Arrangement Agreement, and the anticipated timing for completion of the Proposed Transaction including, but not limited to the expectation of McEwen having a 100% interest in the Tartan Mine, McEwen and Canadian Gold have relied on certain assumptions that they believe are reasonable at this time, including assumptions as to the ability of the parties to receive, in a timely manner and on satisfactory terms, the necessary regulatory, court, shareholder, stock exchange and other third party approvals and the ability of the parties to satisfy, in a timely manner, the other conditions to the completion of the Proposed Transaction. This timeline may change for a number of reasons, including unforeseen delays in preparing meeting materials; inability to secure necessary regulatory, court, shareholder, stock exchange or other third-party approvals in the time assumed or the need for additional time to satisfy the other conditions to the completion of the Proposed Transaction. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these times. Risks and uncertainties that may cause such differences include but are not limited to: the risk that the Proposed Transaction may not be completed on a timely basis, if at all; the conditions to the consummation of the Proposed Transaction may not be satisfied; the risk that the Proposed Transaction may involve unexpected costs, liabilities or delays; the possibility that legal proceedings may be instituted against the McEwen, Canadian Gold and/or others relating to the Proposed Transaction and the outcome of such proceedings; the possible occurrence of an event, change or other circumstance that could result in termination of the Proposed Transaction; risks relating to the failure to obtain necessary shareholder and court approval; other risks inherent in the mining industry. Failure to obtain the requisite approvals, or the failure of the parties to otherwise satisfy the conditions to or complete the Proposed Transaction, may result in the Proposed Transaction not being completed on the proposed terms, or at all. In addition, if the Proposed Transaction is not completed, the announcement of the Proposed Transaction and the dedication of substantial resources of McEwen and Canadian Gold to the completion of the Proposed Transaction could have a material adverse impact on each of McEwen's and Canadian Gold's share price, its current business relationships and on the current and future operations, financial condition, and prospects of each McEwen and Canadian Gold. McEwen and Canadian Gold expressly disclaim any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation. Qualified Person The scientific and technical information disclosed in this news release was reviewed and approved by Wesley Whymark, P. Geo., Consulting Geologist for McEwen and Canadian Gold, and a Qualified Person as defined under National Instrument 43-101. Historical Exploration References Tartan West (1) Spooner, A.J., 1987. Tout Lake Joint Venture Diamond Drilling. Manitoba Mineral Assessment Report 71523. NTS REF. No. 63K-13SW (2) Spooner, A.J., 1988. Tout Lake Joint Venture Diamond Drilling. Manitoba Mineral Assessment Report 81737. NTS REF. No. 63K-13SW (3) Spooner, A.J., 1989. Tout Lake Joint Venture Diamond Drilling. Manitoba Mineral Assessment Report 72046. NTS REF. No. 63K-13SW (4) Historical scanned paper maps on Company database Figure 1. Tartan Mine location in relation to Flin Flon Figure 2. Tartan Mine - Main Zone Longitudinal Section (from Canadian Gold's Feb 18, 2025 press release) Figure 3. Tartan Mine - South Zone Longitudinal Section (from Canadian Gold's June 10, 2025 press release) Figure 4. Location of highlight historic gold occurrences on the Tartan West Property Figures accompanying this announcement are available at:
