You will find this type of disclosure in all MD&A, prospectus etc. documents issued by all public companies in Canada, USA etc

It is intended to disclose, to the best of the Company's knowledge, the risks involved in investing in shares of the Company.

This does not mean that any of the risks described will ever happen.

However, if a described risk does happen and, as a result, shareholders incur significant monetary loss, then the Company,and its officers and directors, can defend shareholder lawsuits because the risk was described in publically available documents, therefore shareholders knew, or should have known, about the risk when they invested in the Company i.e. CYA!

This type of disclosure is very important to directors and officers of a public ompany as they could otherwise become personally liable for losses resulting from the occurrence of undisclosed risks. The ranks of people willing to become public company directors or officers would be decimated if this type of protection did not exist.