Clearly Canadian Beverage Corporation has posted its Q1 figures. The soft drink and water marketer said on Friday (20 May) that net loss from operations for the three months to 31 March was US$881,000 or US$0.85 per share on a basic and diluted basis on sales revenues of US$1,728,000. This compares to a loss of US$497,000 or US$0.71 per share on a basic and diluted basis on sales revenues of US$2,934,000 for the corresponding period a year earlier.

The company blamed the decline in sales on working capital constraints that prevented it from providing more funding for field marketing activities and sales drives in the first quarter.

In the first quarter, the company completed certain additional debt and equity financing that facilitated some of its more immediate working capital needs, the company said in a statement. In order to successfully and effectively complete the implementation of the company's corporate restructuring plan, however, significant additional funding was necessary.

"Subsequent to the first quarter ending, Clearly Canadian held its annual and special general meeting on 29 April and presented a corporate restructuring and financing plan to shareholders," Clearly Canadian continued. "The resolutions put forth at the meeting were favourably passed by the shareholders and, in light of such shareholder approval, the company is now proceeding with matters related to completing its transactions involving BG Capital Group Ltd. and Standard Securities Corporation as announced in previous news releases."

"We believe that our current financial restructuring will place Clearly Canadian on a more solid foundation to move forward as a competitive player in the alternative beverage industry, said Clearly Canadian's CEO and president, Douglas Mason.

"Upon completion of the anticipated equity financings, Clearly Canadian will be in a position to implement strategic regional marketing and sales programs and to build our inventory base to support our more aggressive selling efforts.

"In the second quarter, we will concentrate on expanding availability of brand Clearly Canadian by working closely with our distributor network in a collaborative effort to develop additional focus on the brand and open new accounts. These efforts will be complemented by the hiring of area market specialists in key selling regions across the US, whose role is to increase distribution of brand Clearly Canadian and to provide brand building support at the selling level within the company's distribution network in an effort to promote increased sell through and sales volume," Mason concluded.