Orbite Technologies Inc EORBF

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Of regions Home Economy Orbite calls on the Bankruptcy and Insolvency Act Published 1 hour ago Orbite Technology Plant Photo: Radio-Canada / Claude Ct Orbite uses the Bankruptcy and Insolvency Act to protect itself from its creditors. This announcement follows the suspension of operations at its Cap-Chat high-purity alumina plant. Orbite said in a statement Monday morning that it is "the best way to protect all stakeholders and the most appropriate to facilitate its efforts to renegotiate its borrowing, settle the possible insurance coverage and seek the funds needed to correct the problems with the equipment. " She adds that there is "no guarantee that the Corporation will be able to find additional funding, correct the problems with the equipment provided and achieve its restructuring objectives. Failure to meet its funding and restructuring objectives is likely to result in the Company's bankruptcy. From the Orbite Communiqu, April 3, 2017 PricewaterhouseCoopers will act as trustee. The meeting with shareholders, scheduled Monday morning to do the first quarter update, was canceled. On Friday, the company explained that a calciner system manufactured by a subcontractor did not produce the expected results. The company says it needs an additional eight million dollars and eight months to solve the problem. Orbite is now examining "all legal remedies available" to recover part of its investment because the system in question would not meet the specifications and promised performance. The company insists that this is not a technology issue. An insurance claim was also filed. The policy limit for operating losses is $ 22 million. About sixty people work for Orbite, about 45 of them directly in Cap-Chat. Approximately $ 127 million has been invested in the Cap-Chat project, part of which is financial assistance from the Qubec government.