Lightstream Resources Ltd. LSTMF

pure english understanding

[Silly2016]

In the event that the CBCA Plan Transaction is not approved or is otherwise unable to be completed, as noted above, the Company has agreed to undertake a CCAA Sale Transaction. As part of the proceedings under the CCAA, the members of the Ad Hoc Committee will make (or direct) a credit bid (the "Secured Credit Bid") for the full amount of the claims outstanding in respect of the Secured Notes, which Secured Credit Bid may serve as a stalking horse transaction in the SISP. In the event that the Secured Credit Bid is the successful bid, the entity through which the Secured Credit Bid is completed will commit to replicate any consideration that was offered to the Unsecured Noteholders or Shareholders in the CBCA Plan Transaction as part of the Secured Credit Bid, provided that the consideration will only be available to the Unsecured Noteholders or Shareholders if they, as a class, approved the CBCA Plan Transaction at the requisite levels at the meetings held by Lightstream to approve the CBCA Plan Transaction. In the event that the Secured Credit Bid is not the successful bid that is approved in the proceedings under the CCAA and the Secured Noteholders are repaid the full amount of their claims in respect of the Secured Notes, then upon receipt of such repayment, the members of the Ad Hoc Committee have agreed to make CDN$20 million available to the Shareholders provided that the Shareholders approved the CBCA Plan Transaction at the requisite level at the meeting held by Lightstream to approve the CBCA Plan Transaction. This is from the News Release on July 13. My understanding is that we are going to get the same offer if secure note is the winner of the bid. In case if other wins but secure note gets the full claim, they will still pay us $20M.