To: Sultan who wrote (345 ) 10/3/2009 12:20:50 PM From: beaverfever 1 Recommendation Read Replies (1) | Respond to There is essentially nothing new here that hasn't already been released, IMHO this is nothing but a reminder message to shareholders that management is beyond reproach. An interpretation of this PR could be:"You shareholders should just go away and forget any attempts at recovering your equity, we have covered everything"The Company believes that, in the absence of the Transaction, the Company would not have been able to meet its financial obligations as they became due and would likely have been unable to continue to carry on business beyond the very short term. The shareholders believe that, had the company entered CCAA protection, the public auction for assets would have drawn bids that would have exceed the debt and provide shareholders with equity. With the Company's significant debt-load, its financial position became increasingly dire during 2009. Why would management purposely and aggressively devalue assets below debt ?May 7/08 Allen-Vanguard closes new credit facilities led by RBC Capital Markets (later proved as excessively arduous), May 13/08 Peter Allen, CFO at Export Development Canada, to become Chief Financial Officer. within 6 days of a major corporate refinancing - (that later proved to be excessively arduous) ... he must have seen better opportunity for his personal enrichment at Allen-Vanguard. agreed to substantial compromises The banks "lose money", but want to loan them more money ? their 'substantial compromises' were in ethics lengthy search for alternative transactions Aug 14/ 08 announced "several unsolicited expressions of interest", the unavailability of any superior (or even comparable) alternative transaction that was reasonably capable of completion integratir.com MAYBE the court will delay their judgement for a few weeks - while it announces an OPEN public bidding on assets ?the court would be fascinated at how Mr Allen's asset devaluations would be exceed by the bid values ?
