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 nine months ended September 30, 2026 and 2025, the following reorganization costs incurred relate to the above mentioned initiatives:


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2026		2025		2026		2025
Termination benefits		204		1,879		2,191		1,879
Transformation Office costs		96		689		1,517		689
Other costs		-		25		15		409
Total reorganization costs		300		2,593		3,723		2,977


Reorganization costs in accounts payable and accrued liabilities at January 1, 2026	2,088
Reorganization expense	3,723
Reorganization costs paid	(4,696	)
Reorganization costs in accounts payable and accrued liabilities at September 30, 2026	1,115

Of the $1.1 million of reorganization costs in accounts payable and accrued liabilities as at September 30, 2026 (December 31, 2025 – $2.1 million), $1.1 million relates to termination benefits (December 31, 2025 – $1.8 million) and $nil million relates to other reorganization costs (December 31, 2025 – $0.3 million).