nsfdf_ex991
Exhibit 99.1
Timing of Filing of Annual Report on Form 20-F for the Year ended
December 31, 2019
The Registrant will be relying on the order issued by the
Securities and Exchange Commission (“SEC”) on March 25,
2020 providing conditional relief to public companies that are
unable to timely comply with their filing obligations as a result
of the novel coronavirus (COVID-19) outbreak (Release No. 34-88465)
(the “Order”) to delay the filing of its Annual Report
on Form 20-F for the year ended December 31, 2019 (the
“Annual Report”) due to circumstances related to
COVID-19.
As a result of the outbreak and spread of COVID-19, and government
and business continuity measures adopted in response thereto, the
Registrant has diverted resources and directed employees to
work from home in response to the COVID-19 pandemic. In addition
several employees have been under government mandated isolation
orders due to either international travel or displaying symptoms
consistent with COVID-19. This has
hampered the ability of the Registrant to prepare the Annual Report
in time to be filed by the original due date of April 30,
2020. Given this, the registrant is taking sufficient
time, in this period of crisis, to deliver a proper professional
product. The Registrant expects, in
reliance on the Order, to file the Annual Report with the SEC no
later than May 5, 2020.
The Registrant is supplementing its risk factors previously
disclosed in its Annual Report on Form 20-F for the year ended
December 31, 2019 with the following risk factor:
Covid-19 (2019-nCoV/COVID-19) Pandemic
The
Covid-19 pandemic has not had a material effect on the operations
of the Company. The Company has made provisions so employees can
work from home, suspended all travel, mandated that international
travelers are to self-isolate for 14 days after return to Canada,
and implemented hygiene and social distancing policies. NXT
continues to communicate with employees and customers via available
communication methods such as tele-conferences and on-line video
conferencing.
Demand
for our services and prospective revenues may become adversely
impacted the longer the Covid-19 pandemic continues. The impact of
the continuation of the Covid-19 pandemic may hamper our ability to
deliver SFD® surveys contracts in the following ways. If
restrictions on international travel continue, our aircraft and
personal will not be able to perform surveys. An outbreak of the
virus among our staff or our customers’ personnel would delay
any survey in progress. Business development may be delayed when
in-person meetings and technical presentations may be a superior
delivery method to tele-conferences or on-line video
conferencing.
Cautionary Statement Regarding Forward-Looking
Statements
This Current Report on Form 6-K contains forward-looking
statements as defined by the Private Securities Litigation Reform
Act of 1995. Forward-looking statements include statements
concerning plans, objectives, goals, strategies, future events or
performance, and underlying assumptions and other statements that
are other than statements of historical facts. These statements are
subject to uncertainties and risks. Actual results could
differ materially from those currently anticipated due to a number
of factors and risks, including but
not limited to, those related to the novel coronavirus
(2019-nCoV/COVID-19), and the potentially negative effects thereof
on the Company's workforce, its supply chain or demand for its
products. Additional risk factors facing the Company are described
in its most recent Annual Information Form for the year ended
December 31, 2019, furnished by the
company to the Securities and Exchange Commission on Form 6-K on
April 17, 2020 and on the System for Electronic Document
Analysis and Retrieval (SEDAR) located at www.sedar.com. All such forward-looking statements, whether
written or oral, and whether made by or on behalf of the Company,
are expressly qualified by this cautionary statement and any other
cautionary statements which may accompany the forward-looking
statements. In addition, the Company disclaims any obligation to
update any forward-looking statements to reflect events or
circumstances after the date hereof.