MONTRÉAL, May 30, 2017 /CNW Telbec/ - ACE Aviation Holdings Inc. (ACE) announced today its
results for the first quarter of 2017.
2017 First Quarter Results
In the first quarter of 2017, ACE recorded a decrease in net assets in liquidation of approximately $39,000 as a result of administrative and other expenses in excess of interest income earned during the
quarter.
As at May 30, 2017, ACE's only remaining assets consist of cash in an aggregate amount of
approximately $6.7 million.
Liquidation Process
On June 28, 2012, further to the approval by ACE shareholders on April
25, 2012 of a special resolution providing for the voluntary liquidation of ACE, the Superior Court of Québec (Commercial
Division) (the "Court") issued an order appointing Ernst & Young Inc. as liquidator of ACE (the
"Liquidator").
Pursuant to an order issued by the Court on February 25, 2013, the Liquidator established a
process for the identification, resolution and barring of claims and other contingent liabilities against ACE. Creditors had
until May 13, 2013 to file their proof of claims, failing which their claims would be barred and
extinguished. The interim consolidated financial statements of ACE for the first quarter ended March 31,
2017 and the related management's discussion and analysis include a description of proofs of claim which were filed and
the status thereof. All of the remaining contingent obligations which were the object of proofs of claims filed in connection
with such claims process have expired at the beginning of 2016.
Liquidation and Dissolution Process and Final Distribution to Shareholders
ACE's only remaining assets as at May 30, 2017 consist of cash in an aggregate amount of
approximately $6.7 million.
ACE is completing the remaining corporate, administrative and tax processes to facilitate its dissolution and the final
distribution of the remaining cash of ACE prior to its dissolution. ACE currently expects that it will announce the amount,
record date and payment date of the final distribution to shareholders in third quarter of 2017 and that the dissolution of ACE
will occur by the end of the third quarter of 2017.
The final distribution to shareholders, the cancellation of the shares of ACE and the dissolution of ACE will not occur until
all necessary corporate, administrative and tax measures to dissolve ACE are completed and until the settlement of any remaining
contingencies that may arise in connection with the remaining liquidation and dissolution steps of ACE. There is no certainty as
to the timing or amount of such final distribution and dissolution.
The distributions to shareholders of ACE will generally be treated as deemed dividends from a Canadian tax standpoint. Such
deemed dividends will be designated as eligible dividends for the purposes of the Income Tax Act (Canada).
For additional information with respect to the liquidation of ACE, refer to the management proxy circular dated March 9, 2012, the interim consolidated financial statements and related management's discussion and analysis
for the first quarter ended March 31, 2017 and the other public filings of ACE which are available
at www.sedar.com and www.aceaviation.com.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
Certain statements in this news release may contain forward-looking statements. Forward-looking statements may relate to
analyses and other information that are based on forecasts of future results and estimates of amounts not yet determinable. These
statements may involve, but are not limited to, comments relating to strategies, expectations, future actions, the timing of the
liquidation, the final distribution to shareholders, the cancellation of the shares of ACE and the dissolution of ACE. These
forward-looking statements are identified by the use of terms and phrases such as "anticipate", "believe", "could", "estimate",
"expect", "intend", "may", "plan", "predict", "project", "will", "would", and similar terms and phrases, including references to
assumptions. Forward-looking statements, by their nature, are based on assumptions and are subject to important risks and
uncertainties. Any forecasts or forward-looking predictions or statements cannot be relied upon due to, amongst other things,
changing external events and general uncertainties of the business. Actual results may differ materially from results indicated
in forward-looking statements due to a number of factors, including without limitation, market, regulatory developments or
proceedings, and actions by third parties as well as the factors identified throughout ACE's filings with securities regulators
in Canada and, in particular, those identified in the Risk Factors section of ACE's 2016 Annual
MD&A dated April 28, 2017. ACE will continue to incur operating costs and fees for the duration
of the winding-up process. The forward-looking statements contained in this news release represent ACE's expectations as of the
date they are made, and are subject to change after such date. However, ACE disclaims any intention or obligation to update or
revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required
under applicable securities regulations.
SOURCE ACE Aviation Holdings Inc.
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