In early 2025, a transformation office was set up, to accelerate the strategic transformation of our business by streamlining the Company’s processes and procedures, supporting the Construction Services channel, and improving productivity across the Company (the “Transformation Office”). We are incurring one-time consultant costs to assist in, advise, and implement our transformation actions, as well as one-time termination benefits as a result of elimination of positions. The program is planned to be completed in 2026.

For the three and six months ended June 30, 2026 and 2025, the following reorganization costs incurred relate to the above mentioned initiatives:


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2026		2025		2026		2025
Termination benefits		583		-		1,987		-
Transformation Office costs		472		-		1,421		-
Rock Hill Facility closure of operations		-		174		-		384
Other costs		1		-		15		-
Total reorganization costs		1,056		174		3,423		384


Reorganization costs in accounts payable and accrued liabilities at January 1, 2026	2,088
Reorganization expense	3,423
Reorganization costs paid	(3,772	)
Reorganization costs in accounts payable and accrued liabilities at June 30, 2026	1,739

Of the $1.7 million of reorganization costs in accounts payable and accrued liabilities as at June 30, 2026 (December 31, 2025 – $2.1 million), $1.67 million relates to termination benefits (December 31, 2025 – $1.8 million) and $0.06 million relates to other reorganization costs (December 31, 2025 – $0.3 million).