Alarmforce restates financials

SSN Staff  - 
Friday, April 1, 2005

TORONTO - In late February, Alarmforce Industries announced it restated its financial statements for the first three quarters of the year ended Oct. 31, 2004, and the corresponding three quarters and annual figures for the year ended Oct. 31, 2003, to comply with Canadian accounting procedures.

The company’s decision to restate its financials for the first three quarters of 2004 was based on its failure to adopt a new accounting policy, released by The Canadian Institute of Chartered Accountants Emerging Issues Committee, in December 2003 regarding the timing of revenue recognition and the classification of certain items as revenue or expense. The policy was supposed to have been originally adopted in January 2004.

As a result of the reinstatements, installation revenue and related costs from system add-ons for new and existing customers are deferred and amortized over four years, representing the term of the monitoring contract. Prior to the policy adoption, these numbers were recognized at the completion of the sales transaction.

Microtec gets more time

ST-AUGUSTIN, Quebec - In early February, Microtec Enterprises, a full-service security firm, obtained another extension of its operating time under Canada’s Companies’ Creditors Arrangement Act - similar to a Chapter 11 filing in the United States.

The company has been operating under court protection since the initial order was approved on Nov. 11, 2004. Microtec had made numerous attempts to address the needs to its creditors, which provided the company with five extensions before it filed the CCAA request.

Home Tech’s buying spree continues

BELLEVUE, Wash. - Residential systems integrator Home Technologies completed an acquisition of Seattle-based Metropolitan Audio Video, an integrator of audio, video, communications and control equipment, in early March.

As part of the agreement, Metropolitan will change its name to Home Technologies-Bellevue and the staff of less than 10 will relocate to Home Technologies’ existing office here.