"The monitor has unequivocally denied having any influence whatsoever over the editorial content of Canwest newspapers and stated that it does not prepare any news releases on behalf of Canwest."
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Re: In the Matter of the CCAA Proceedings of Canwest Publishing Inc.
"We have reviewed your complaint made on May 13, 2010 that the monitor in the above proceedings, FTI Consulting Canada Inc., had “committed industrial sabotage” by running false news reports in Canwest Publishing Inc. (Canwest) newspapers to the effect that Canada’s banks are the main backers behind the senior secured creditors $950 million stalking horse bid. The results of our review are as follows.
Information provided by the monitor indicates that the five major Canadian banks, the Bank of Nova Scotia, the Canadian Imperial Bank of Commerce, TD Canada Trust, the Bank of Montreal, and the Royal Bank of Canada, are all represented on the steering committee for the senior secured lenders who have advanced the stalking horse bid. Furthermore, the Canadian bank’s share of the total debt of all the members of the steering committee is 63%. In light of the foregoing it cannot be said that the quotes from various newspaper stories you have provided in your May 13, 2010 email are inaccurate or misleading with respect to who is promoting and supporting the senior secured lender’s credit bid.
The monitor has unequivocally denied having any influence whatsoever over the editorial content of Canwest newspapers and stated that it does not prepare any news releases on behalf of Canwest. Our review has not uncovered any evidence that contradicts these statements.
Our review of the information provided by yourself and the facts concerning the alleged issue, as reported by the monitor, have not established any misconduct on the part of the monitor with respect to these proceedings."
Sincerely,
Office of the Superintendent of Bankruptcy Canada
Senior Bankruptcy Analyst
Wednesday, October 13, 2010
Friday, June 25, 2010
"There is lots of legal talent in this room ... Go back and you should be able find some middle ground," Peppal said.
The value of a share in Canada: Demand a Federal Securities Commission to protect sharholder rights
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"UPDATE 1-Canwest, shareholders fail to reach agreement
5:28PM ET on Tuesday Jun 22, 2010 via Thomson Reuters
"Earlier on Tuesday, Ontario Superior Court Judge Sarah Peppal told lawyers for the parties she was surprised they weren't able to resolve their differences over the C$2 billion ($1.96 billion) sale of Canwest's television arm.
"There is lots of legal talent in this room ... Go back and you should be able find some middle ground," Peppal said.
The lawyers adjourned to a nearby boardroom where they were locked in talks for most of the day.
The original deal, approved by Peppal on Feb. 19, involved Shaw buying a 20 percent equity interest in Canwest. Common shareholders were due to receive 2.3 percent of the stock, worth about C$10 million, according to the Financial Post newspaper.[Error, not stock, cash payout.]
On May 3, Shaw, a Calgary-based cable and telecoms company, said it had reached agreement to buy 100 percent of Canwest's TV assets. The deal includes the C$700 million purchase of Goldman Sachs' stake in some of the channels, including National Geographic Channel and Food Network Canada.
The shareholders own 49 percent of the equity and 88 percent of the voting rights of Canwest, which collapsed under a C$4 billion mountain of debt last year."
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"UPDATE 1-Canwest, shareholders fail to reach agreement
5:28PM ET on Tuesday Jun 22, 2010 via Thomson Reuters
"Earlier on Tuesday, Ontario Superior Court Judge Sarah Peppal told lawyers for the parties she was surprised they weren't able to resolve their differences over the C$2 billion ($1.96 billion) sale of Canwest's television arm.
"There is lots of legal talent in this room ... Go back and you should be able find some middle ground," Peppal said.
The lawyers adjourned to a nearby boardroom where they were locked in talks for most of the day.
The original deal, approved by Peppal on Feb. 19, involved Shaw buying a 20 percent equity interest in Canwest. Common shareholders were due to receive 2.3 percent of the stock, worth about C$10 million, according to the Financial Post newspaper.[Error, not stock, cash payout.]
On May 3, Shaw, a Calgary-based cable and telecoms company, said it had reached agreement to buy 100 percent of Canwest's TV assets. The deal includes the C$700 million purchase of Goldman Sachs' stake in some of the channels, including National Geographic Channel and Food Network Canada.
The shareholders own 49 percent of the equity and 88 percent of the voting rights of Canwest, which collapsed under a C$4 billion mountain of debt last year."
Thursday, June 24, 2010
NOT SELLING MY CANWEST SHARES IN THIS SEPERATE TRANSACTION, MY CANWEST SHARES ARE NOT FOR SALE
Basically a CCAA process can only begin on the equity owners request, so what was the benefit to shareholders to get nothing
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http://www.vancouversun.com/Deal+reached+Canwest/3194585/story.html
"Vice-president of public affairs for Canwest, defended the $11-million payment on the grounds it was made "outside" the CCAA process, with Shaw effectively agreeing to purchase the outstanding shares in a separate transaction."
"He said the payment was being funded by Shaw and that it did not dilute the amount of money set aside for unsecured creditors, such as suppliers, employees and retirees, when Canwest announced its deal in February."
But Shaw was reluctant to make the payment because of how unsecured creditors would react.If enough take issue with it, they may decide to vote against the deal at the July 19 vote. [Canwest shareholders have never voted on this or the CCAA filing.]
Read more: http://www.vancouversun.com/Deal+reached+Canwest/3194585/story.html#ixzz0rnAMjamy
"Rules within Companies' Creditors Arrangement Act state that "no compromise or arrangement that provides for the payment of an equity claim is to be sanctioned unless it provides that all claims that are not equity claims are to paid in full before the equity claim is to be paid." [Verification of rule needed.]
"Therefore, shareholders are last in line, if in line at all, and some are questioning how and why the ad hoc group is receiving millions of dollars when Canwest and Shaw have set aside only $38 million for unsecured creditor claims, or about 30 cents on the dollar." [? other equity claims, fraud]
Read more: http://www.vancouversun.com/Deal+reached+Canwest/3194585/story.html#ixzz0rn8nhi64
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http://www.vancouversun.com/Deal+reached+Canwest/3194585/story.html
"Vice-president of public affairs for Canwest, defended the $11-million payment on the grounds it was made "outside" the CCAA process, with Shaw effectively agreeing to purchase the outstanding shares in a separate transaction."
"He said the payment was being funded by Shaw and that it did not dilute the amount of money set aside for unsecured creditors, such as suppliers, employees and retirees, when Canwest announced its deal in February."
But Shaw was reluctant to make the payment because of how unsecured creditors would react.If enough take issue with it, they may decide to vote against the deal at the July 19 vote. [Canwest shareholders have never voted on this or the CCAA filing.]
Read more: http://www.vancouversun.com/Deal+reached+Canwest/3194585/story.html#ixzz0rnAMjamy
"Rules within Companies' Creditors Arrangement Act state that "no compromise or arrangement that provides for the payment of an equity claim is to be sanctioned unless it provides that all claims that are not equity claims are to paid in full before the equity claim is to be paid." [Verification of rule needed.]
"Therefore, shareholders are last in line, if in line at all, and some are questioning how and why the ad hoc group is receiving millions of dollars when Canwest and Shaw have set aside only $38 million for unsecured creditor claims, or about 30 cents on the dollar." [? other equity claims, fraud]
Read more: http://www.vancouversun.com/Deal+reached+Canwest/3194585/story.html#ixzz0rn8nhi64
Wednesday, June 23, 2010
Shaw now offering a minimal amount for Canwest shares
http://www.reuters.com/article/idUSN2322977920100623
"Shaw Communications Inc (SJRb.TO) on Wednesday won court approval for its C$2 billion purchase of Canwest Global's (CGS.V) broadcast arm after it agreed to provide C$11 million to shareholders who had complained of being shut out of the deal."
"Shaw Communications Inc (SJRb.TO) on Wednesday won court approval for its C$2 billion purchase of Canwest Global's (CGS.V) broadcast arm after it agreed to provide C$11 million to shareholders who had complained of being shut out of the deal."
Wednesday, June 16, 2010
Canwest newspapers and the Income Tax Act
http://www.torontosun.com/money/2010/06/16/14414486.html Tilted, "Union mulls over challenge to Canwest newspaper sale"
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Quotes, "Parliament should be acting now to ensure these newspapers remain under Canadian control and ownership,” Murdoch said.
"And even if the government chooses to allow this sale to proceed, the level of foreign ownership could trigger provisions of the Income Tax Act that would negatively impact advertisers."
"Current regulation requires a publication to be 75% Canadian-owned in order for the expense of an ad to be deducted from income."
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Quotes, "Parliament should be acting now to ensure these newspapers remain under Canadian control and ownership,” Murdoch said.
"And even if the government chooses to allow this sale to proceed, the level of foreign ownership could trigger provisions of the Income Tax Act that would negatively impact advertisers."
"Current regulation requires a publication to be 75% Canadian-owned in order for the expense of an ad to be deducted from income."
Friday, June 11, 2010
Canada's newspaper disclosure monopoly ownership in flux
Basically the 9% Ad Hoc note holders, taking all their .45 cents on the dollar in shares and not in mezzanine debt.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ [Mezzanine debt is debt that can be converted to shares, and is coincidentally what the Canadian government is advocating as an alternative to the bank tax.]
CBC News today ,"Canwest buyers reduce deal's debt"
http://www.cbc.ca/canada/manitoba/story/2010/06/11/canwest-debt-godfrey.html
Quote, "The purchase price for Canwest Limited Partnership will still be $1.1 billion, including $950 million in cash. "
"However, the group of the media company's bondholders who are buying the papers will increase their total equity commitment to $250 million instead of the original plan for $150 million in mezzanine notes and $100 million in shares. "
"Accordingly, the company's debt after it emerges from creditor protection will be $700 million rather than $850 million."
~~~~~~~~~~~~~~~~~~~~~\
[The numbers, so 225 million in cash by Paul Godfrey and others, and the 9% noteholders accepting .45 cents on the dollar, the sale price of newspapers.]
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ [Mezzanine debt is debt that can be converted to shares, and is coincidentally what the Canadian government is advocating as an alternative to the bank tax.]
CBC News today ,"Canwest buyers reduce deal's debt"
http://www.cbc.ca/canada/manitoba/story/2010/06/11/canwest-debt-godfrey.html
Quote, "The purchase price for Canwest Limited Partnership will still be $1.1 billion, including $950 million in cash. "
"However, the group of the media company's bondholders who are buying the papers will increase their total equity commitment to $250 million instead of the original plan for $150 million in mezzanine notes and $100 million in shares. "
"Accordingly, the company's debt after it emerges from creditor protection will be $700 million rather than $850 million."
~~~~~~~~~~~~~~~~~~~~~\
[The numbers, so 225 million in cash by Paul Godfrey and others, and the 9% noteholders accepting .45 cents on the dollar, the sale price of newspapers.]
Thursday, June 3, 2010
Canwest does not have to acknowledge Shaw's put (Goldman Sachs put) that Canwest buy Shaw's CW Media Holdings assets
Justice Pepall can not approve the expropriation of Canwest shares for zero compensation, until Canwest's consolidated balance sheet, is in compliance with GAAP 1601, 1602 & FAB 160; aka, Shaw's percentage of ownership in CW Media Holdings, must be disclosed on Canwest's consolidated balance sheet.
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Now that the newspaper debt is off the books, Canwest shareholders unfile the voluntary CCAA filing. The Canwest Treasury has over hundred million plus in cash, with a debt of over 400 million. (note Canwest gave 200 million plus to these debt holders, in Nov 04 to change the interest rate from 12% to 8% on this debt, right to these funds back.)
Canwest does not have to acknowledge Shaw's put (Goldman Sachs put) that Canwest buy Shaw's CW Media Holdings assets. Nor does Canwest have to sell its TV stations to a separate company, owned by Shaw and Canwest, CW Media Holdings. Hope for Canwest shares.
http://www.bloomberg.com/apps/news?pid=20601082&sid=aSskSDew.i2Y
Quote, "June 3 (Bloomberg) -- A group of Canwest Global Communications Inc. shareholders including the founding Asper family are asking an Ontario court to reject Shaw Communications Inc.’s purchase of Canwest’s television assets, the National Post reported."
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Now that the newspaper debt is off the books, Canwest shareholders unfile the voluntary CCAA filing. The Canwest Treasury has over hundred million plus in cash, with a debt of over 400 million. (note Canwest gave 200 million plus to these debt holders, in Nov 04 to change the interest rate from 12% to 8% on this debt, right to these funds back.)
Canwest does not have to acknowledge Shaw's put (Goldman Sachs put) that Canwest buy Shaw's CW Media Holdings assets. Nor does Canwest have to sell its TV stations to a separate company, owned by Shaw and Canwest, CW Media Holdings. Hope for Canwest shares.
http://www.bloomberg.com/apps/news?pid=20601082&sid=aSskSDew.i2Y
Quote, "June 3 (Bloomberg) -- A group of Canwest Global Communications Inc. shareholders including the founding Asper family are asking an Ontario court to reject Shaw Communications Inc.’s purchase of Canwest’s television assets, the National Post reported."
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