Financial Information
7. SHARE CAPITAL (continued)
The remaining contractual life and exercise price of options outstanding and options exercisable as at October 31, 2007 are as follows:
| Remaining contractual life(Years) | Exercise Price $ |
Number of options exercisable |
|
| Number of options outstanding | |||
| 190,000 | 1.75 | 3.78 | 190,000 |
Vesting of options:
(i) Outstanding options are subject to vesting provisions under which 25% of the total options granted vest immediately at the date of the grant, and a further 25% after each of the first, second and third anniversaries.
(ii) All options have fully vested.
During the 2007 fiscal year, the Company recognized compensation expense of $12,632 (2006- $29,480) for the stock option awards granted in 2004 fiscal year. There were no stock options granted in 2007 and 2006.
8. INTEREST EXPENSE
| 2007 $ |
2006 $ |
|
| Interest on long-term debt | 100,165 | 71,173 |
| Other | 2,093 | 10,899 |
| 102,258 | 82,072 |
9. INCOME TAXES
| 2007 $ |
2006 $ |
|
| Current income tax | 1,366,919 | 1,083,361 |
| Future income tax recovery | (542,000) | (66,000) |
| 824,919 | 1,017,361 |
9. INCOME TAXES (continued)
Income tax expense varies from the amount that would be computed by applying the combined federal and provincial statutory income taxes rate as a result of the following:
| 2007 $ |
2006 $ |
|
| Income tax based on combined federal and provincial statutory income tax rate of 36.12% in 2007 and in 2006 | 760,359 | 906,503 |
| Increase /(decrease) in income taxes resulting from: | ||
| Non-deductible expenses | 11,650 | 66,326 |
| Other differences | 52,910 | 44,532 |
| Effective income tax provision | 824,919 | 1,017,361 |
A summary of significant components of future tax liabilities calculated in accordance with Canadian accounting principles at October 31, 2007 and 2006 are as follows:
| Number of Shares | Value $ |
|
| Non-current future income tax liabilities: | ||
| Property, plant and equipment | (363,000) | (500,000) |
| Deferred charges | (4,000) | (7,000) |
| Intangible assets | (847,000) | (1,100,000) |
| (1,214,000) | (1,607,000) | |
| Non-current future income tax assets | ||
| Deferred revenue | 966,000 | 781,000 |
| Share issue costs | 35,000 | 71,000 |
| 1,001,000 | 852,000 | |
| Net future income tax liability | (213,000) | (755,000) |
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Testimonials
-
Neil was very helpful, friendly and professional.
-Ana, ON -
This was one of the smoothest purchases I have ever made. Install was quick and simple. Very down to earth company. Not all that bs you get from other companys. I would definitely recommend this to my friends, family and even my enemys! Even our 2 cats feel more secure. Thanks for everything.
-Dale, MN -
Several months ago I was at work when I received a call from Alarm Force to advise me that there was an unidentified woman in my kitchen. My first reaction was one of shock until the operator informed me that the woman claimed she was there to feed the cat. That's when I realized that my often forgetful elderly mother was there to feed the cat the day before we left for vacation. I have experienced no problems with burglars since we signed up for AlarmForce but this experience gave me the confidence that the system works.
-Paula R - Edmonton, AB -
I've been using an Alarm Force security system in my business for 3.5 years. The system is EXACTLY what I wanted, the installer/tech was friendly, courteous and informed. I've had four alarms in the time I've had the system; two because my back door was frozen shut in the winter and couldn't shut my alarm off in time, 1 because I forgot to shut my alarm off, and 1 because someone did, in fact, try to break into my shop. My alarm system was recommended by my insurance agent, and I can safely say that it was a wise choice.
-Louise C. - Vulcan, AB -
My name is Adey and we have been AlarmForce customers for 3 years and counting. As an Army wife my husband is constantly away on course or exercise so security is a huge issue in our house. While my husband was in Afghanistan it was AlarmForce that kept our house and children safe. Whenever I start to get nervous I just remember that I'm not alone and that someone else is helping to keep watch too. Thank you AlarmForce for being there for us when my husband can't!
-Adey R. - Wainwright AB -
I don't know why anyone would use a different company - excellent product, excellent customer service, excellent price!
-Frank, BC -
AlarmForce is our best choice because it is completely wireless and there is contact with your security instantly if needed. We use AlarmForce all the time and really like the feature of protection when we go to bed on the second floor of our home we can move around upstairs but we know we are secure with the perimeter secure. We have had very good experience with all of your staff and when I first bought the service I had the minimum security but since then I have upgraded with more motion detectors and a fire alarm which is just great. We have a beagle and he has full access in the house when the alarm is on which is very satisfying. I have recommended AlarmForce to my neighbors and two alarms were activated one was for Health Security. When the alarm is on all is well.
-Roy Z. - Alberta -
Hi my name is Carl, I have been a AlarmForce customer for over five years , before that I researched all alarm companies and kept coming back to Alarm Force for the live operator and the best reasonable price, my wife kept telling me to sign up with AlarmForce, over the years we have had attempted break-ins and they had never succeeded ,AlarmForce was always on the ball, I travel out of town alot and it gives me peace of mind knowing they are keeping my wife safe, even when she is sleeping, just knowing there is a live operator at your assistance ready at a moments notice should you need them is priceless peace of mind ,when we are away travelling we do not worry anymore. I always recommend your system to all my friends and colleagues in fact just observing your great service with attempted break-ins our neighbors changed from ADT to AlarmForce by our recommendations. Whenever we have needed device in the past AlarmForce was here promptly, with a courteous employee, I would gladly call AlarmForce for all my security needs.
-Carl T. - Okotoks, AB
