CANEXUS CORP 6.5 PCT DEBS T.CUS.DB.D

RE:RE:Now the real fun begins as I predicted months ago...

[Kherson]

Kherson wrote:

Kherson wrote: I had a good laugh at what Canexus put out today for a NR. Sadly, Doug and the gang are still playing the game of misleading the Market. But what is hilarious is that Doug has decided to air the laundry through the media by requesting the termination fee from Superior in a NR! Good luck with that Doug as you will be bankrupt before the case ever gets to court! Actually, I think you owe Superior the $25 million termination fee. Come to think of lawsuits, whatever happened to the MEG lawsuit? What one has to remember is that Canexus is almost bankrupt and the financial covenants were only loosen so as to allow enough time for the merger to be completed, which we all know is off! What Doug did not state was that the financial covenants will be tightened up after June. As I have said many times before, I believed that Canexus will be seeking CCAA protection before any merger ever occurred and I believe that Superior also now realizes just how precarious a financial position Canexus is now in! The glaring number for everyone to keep in mind is that the BV of Canexus is Zero. Yes Doug, you did reduce the Canexus debt by 10%, but your credit limit was reduced by 20% and the asset value was reduced by 30%, hence the negative BV! Finally, investors have to keep in mind that if the merger had gone through, Doug and the gang would have walked away with over $6 million in their pockets! What a great reward for bankrupting a company!

What a post! Bang on!
Kherson