Parkland (PKE.V) announces that as of August 15, 2012, the Corporation will restructure its operations to cease the construction, supplies and pipeline segments of its operations as well as significantly decrease the level of fabrication services. Parkland is planning to focus resources on its U.S. petroleum and natural gas properties, which are at this time the profitable segment of its operations.
Due to the industry's negative reaction to the poor performance on the 2011 and 2010 annual audited financial statements as well as the Demand Notice filed against the Company disclosed in the April 4, 2012 press release, the level of activity in the fabrication, construction, supplies and pipeline segment have slowed considerably. Parkland's management have determined that the cost of maintaining operations for this segment with little or no income is detrimental to Parkland overall performance.
The Company will still retain the fabrication services through contracts which will be outsourced and thereby allowing the company to retain revenues but dispose of unnecessary equipment. The resources of the Company will then be concentrated on operating and growing the US well sites in the future.
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