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 months ended March 31, 2026 and 2025, the following reorganization costs incurred relate to the above mentioned initiatives:


	For the Three Months Ended March 31,
	2026		2025
Termination benefits		1,404		-
Transformation Office costs		949		-
Rock Hill Facility closure of operations		-		210
Other costs		14		-
Total reorganization costs		2,367		210


Reorganization costs in accounts payable and accrued liabilities at January 1, 2026	2,088
Reorganization expense	2,367
Reorganization costs paid	(1,840	)
Reorganization costs in accounts payable and accrued liabilities at March 31, 2026	2,615

Of the $2.6 million of reorganization costs in accounts payable and accrued liabilities as at March 31, 2026 (December 31, 2025 – $2.1 million), $2.2 million relates to termination benefits (December 31, 2025 – $1.8 million) and $0.4 million relates to other reorganization costs (December 31, 2025 – $0.3 million).