Saturday, September 10, 2011

Business Falls Over The Cliff... but not news to CBC

I got quite a few out of province calls on my cell phone earlier today talking about the "Homburg" turn of events and the impacts it may have on our Charlottetown marketplace...  so when I arrived home this evening I thought I'd search The Guardian and our local CBC News web to catch up on this breaking story...  "Not A Thing" but I did learn that a Puppy was saved after he jumped off a cliff...

These egar Island reporters must be to busy following around all those important power wheedling politicians and little puppies... surely they'll pick up on this story with some local scoope or will they just take the lazy way out and "clip" it from the news wire?  My guess is the hell with the local ecomony and the scoial impacts of a business story as it's a nice drive to Borden and puppies don't bite back...

Homburg Invest Inc. to restructure under the Companies' Creditors Arrangement Act

Published: 2011-09-09

MONTREAL, September 9, 2011 - (TSX: HII.A & HII.B and NYSE Euronext Amsterdam: HII) - Homburg Invest Inc. ("HII" or the "Company") announced today that it and certain of its subsidiaries applied to the Court for protection under the Companies' Creditors Arrangement Act ("CCAA").

Deloitte & Touche LLP is the proposed Court-appointed monitor that will oversee the proceeding under the CCAA (the "Monitor"). Deloitte & Touche will periodically post the applications to the Court as well as the orders issued by the Court on its website.

HII is hopeful that the appointment of the Monitor will address the primary concerns of the Netherlands Authority for the Financial Markets ("AFM"). In addition to the duties and obligations of the Monitor as prescribed by law, HII has requested that the Monitor be afforded certain additional powers that will facilitate its ability to cooperate fully with the AFM, including the right of the Monitor to communicate directly with the AFM with regard to any matters concerning the HII group of companies.

"The purpose of the application is to allow us to restructure our activities in an orderly fashion in the best long-term interests of the Company and all of its stakeholders," said Hartmut Fromm, Chairman of the Board of HII. "The CCAA application enables the Board of Directors and Management to take measures to enhance the balance sheet of the Company."

The CCAA is a Canadian federal law allowing insolvent companies that owe their creditors in excess of $5 million to restructure their business and financial affairs. CCAA is not bankruptcy. The main purpose of the CCAA is to enable financially distressed companies to avoid bankruptcy or foreclosure or seizure of assets while maximizing returns for their creditors and preserving both jobs and the company's value as a functioning business. CCAA proceedings are carried out under the supervision of the Court.

Additional information, including how bondholders, creditors and shareholders in the Netherlands and in Canada can contact the Company, will be available shortly.

The Company's CCAA filing does not affect Homburg Canada Real Estate Investment Trust, which is an independent entity and distinct from the Company and its subsidiaries.

About Homburg Invest

Homburg Invest Inc. owns and develops a diversified portfolio of quality commercial real estate including office, retail, industrial and development properties throughout Europe and the United States, as well as an interest in Homburg Canada Real Estate Investment Trust.


Anonymous said...

If there's one thing I've learned with PEI, is that what should be important news, never is. Doesnt' surprise me one bit that lost puppies and other non-news trumps something that could affect people's lives here.

Anonymous said...

Have been saying this for months...nobody listens and folks feel there is nothing they can possibly do about it.