Grounded People Clarifies Press Release

Rhea-AI Summary

Grounded People, a sustainable shoe company, has retracted a previous financial disclosure announced on June 7, 2024. The retraction, requested by the British Columbia Securities Commission, addresses the lack of balance and context in reporting sales increases solely through percentages. The company acknowledges these shortcomings and has removed the disclosure from all channels. Additionally, Grounded People reiterates having a $550,000 agreement with Stride Publishing for investor relations and digital marketing services, paid in February 2023.

Positive

• Acknowledgment of the need for balanced and contextual financial disclosures demonstrates transparency and regulatory compliance.
• Reiteration of the agreement with Stride Publishing emphasizes a strong commitment to investor relations and digital marketing.

Negative

• Retraction of the previous financial disclosure may raise concerns about the reliability and accuracy of the company’s reported data.
• The need to correct financial disclosures could negatively impact investor confidence and stock performance.

VANCOUVER, BC / ACCESSWIRE / June 14, 2024 / Grounded People Apparel Inc. ("Grounded" or the "Company") (CSE:SHOE)(OTCQB:GPAIF)(FRA:K1G) (WKN: A3DVB1), a fair-trade and sustainable shoe company based in Vancouver, British Columbia, Canada, and dedicated to reducing the harmful impact of the global fashion industry on the environment, issues this news release, at the request of the British Columbia Securities Commission, in order to clarify disclosure contained in its news release dated June 7, 2024 ("News Release"). Specifically, the Company disclosed certain year-to-year and quarter-to-quarter sales increases in the News Release by way of reporting percentages. The Company acknowledges that this method of presenting financial disclosure lacks the balance and context which the Company strives to provide in its public disclosure. Accordingly, the Company retracts the disclosure contained in the News Release in its entirety. This retraction also applies to all channels through which its investor relations services provider, Stride Publishing ("Stride"), has distributed any materials regarding the Company.

The Company notes that, as disclosed in a news release dated February 7, 2023, the Company has in place an agreement with Stride under which Stride is to provide services pertaining to investor relations, creation of content, digital advertisement placement and monitoring of digital campaigns. The Company paid Stride $550,000 in consideration for such services (such payment having been made in February 2023); the Company has not issued any securities to Stride as compensation for the aforementioned services.

ABOUT GROUNDED PEOPLE APPAREL

Grounded People Apparel Inc. is a Vancouver, British Columbia, Canada based innovative apparel company focused on delivering high quality products to its customers that are 100% PeTA - APPROVED vegan. The Company is primarily engaged in the business of fair-trade, sustainable and earth-conscious fashion. The Company's initial products, which launched in the fourth quarter of 2021, were its high-top and low-cut canvas sneakers, which are made from sustainable, ethically-sourced and produced materials, and are manufactured by fair-trade workers, in a 100% vegan manufacturing facility which is located in Brazil.

In addition to its commitment to a fashion industry that reduces waste and environmental impacts, the Company aims to create a meaningful positive impact on the world through its L.A.C.E.S. campaign. The L.A.C.E.S. campaign provides consumers an option to select a specific set of shoelaces to accompany their footwear purchase the colour of which is associated with one of the charities the Company has committed to support, whereby all profits from the sale of shoelaces will be donated correspondingly.

ON BEHALF OF THE BOARD OF DIRECTORS

"Maximilian Justus"

Maximilian Justus
Chief Executive Officer

For further information, please contact:
Email: investors@groundedpeople.com
Telephone: 1-844-673-6753

The CSE has neither approved nor disapproved the contents of this news release. Neither the CSE nor its Market Regulator (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.

CAUTIONARY DISCLAIMER STATEMENT

This news release includes certain "forward-looking statements" under applicable Canadian securities legislation, including with respect to the social and financial objectives of the Company. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, plans, postulate and similar expressions, or are those, which, by their nature, refer to future events. All statements that are not statements of historical fact are forward-looking statements. Forward-looking statements in this press release include, but are not limited to, statements with respect to the growth trajectory of the Company, the Company's plans to reduce waste and environmental impacts to create meaningful positive impacts. Forward-looking statements are necessarily based upon several estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward looking statements. Such factors include, but are not limited to general business, economic, competitive, political, and social uncertainties, and uncertain capital markets. Readers are cautioned that actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company disclaims 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 required by law.

SOURCE: Grounded People Apparel Inc.

View the original press release on accesswire.com

FAQ

Why did Grounded People retract their June 7, 2024, financial disclosure?

The British Columbia Securities Commission requested the retraction due to a lack of balance and context in reporting sales increases solely through percentages.

What was the issue with the financial disclosure by Grounded People?

The issue was reporting sales increases using only percentages, which lacked the necessary balance and context.

What steps has Grounded People taken to correct their disclosure?

Grounded People retracted the entire disclosure from all channels to ensure balanced and contextual financial reporting.

How much did Grounded People pay Stride Publishing for investor relations and digital marketing services?

Grounded People paid $550,000 to Stride Publishing in February 2023 for investor relations and digital marketing services.

What services did Stride Publishing provide to Grounded People?

Stride Publishing provided investor relations, content creation, digital advertisement placement, and monitoring of digital campaigns.