RE: RE: RE: Consolidated Woodjam...from the management circular sept.02 on sedar.com:
Generally, as a result of the Arrangement a holder of Common Shares:
(a) will not realize a capital gain or capital loss as a result of the exchange of Common Shares
for New Common Shares and Reorganization Shares;
(b) will not realize a capital gain or capital loss on the transfer of Reorganization Shares to
Newco in exchange for Newco Common Shares, unless the Shareholder chooses to
recognize a capital gain or loss in the Shareholder’s income tax return for the year in which
the Arrangement is implemented.
The Shareholder’s adjusted cost base of its Common Shares must be allocated between the New
Common Shares and the Newco Common Shares. The allocation must be made on the basis of
their relative fair market values.