HFI is currently under a Company Creditor's Arrangement Act protective order, pending the submission of a reorganization plan to its creditors. The transaction was made possible through the issuance of two vesting orders in Ontario and Alberta Court authorizing the purchase of certain HFI assets, including its current inventory and trade names.
Due to the acquisition, HFI’s distribution business will be maintained through a new division of Domcor, which shall be called HFI. It will have an administrative office in Calgary, Alberta and will specialize in the wholesale distribution of primarily hardwood flooring products and laminate products, as well as related accessories for retail stores and professional installation contractors.
According to Jim Morando, president of Harris-Tarkett, Inc., ``By combining Domcor's unparalleled commitment to service the specific needs of its clients, HFI's in-depth wood expertise, and Harris-Tarkett's extensive line of quality products, this transaction positions us well to become the wood partner of choice in Canada.''
The agreement includes 10% of all the issued and outstanding common shares of Floorsnow Technology Corporation, an e-commerce company, as of March 1, 2001, which amount to 400,000 common shares.
A division of Domco Tarkett Inc., Domcor is the exclusive Canadian distributor of Domco, Azrock, and Nafco products.