(Winnipeg - April 15, 2010) Canwest Global Communications Corp. (“Canwest” or the “Company”) announced today it has agreed with the members of the ad hoc committee (the “Ad Hoc Committee”) of 8% senior subordinated noteholders of Canwest Media Inc. (“CMI”) to finalize and deliver to the Ad Hoc Committee a consensual recapitalization plan (the “Plan”) of the Company, CMI and certain of their subsidiaries (together, the “CMI Entities”), together with an information circular for a creditors’ meeting in respect of the Plan, no later than April 30, 2010.
Under the terms of the previously disclosed amended Support Agreement and amended Use of Cash Collateral and Consent Agreement, this new milestone replaces a milestone that required creditor approval of the Plan to occur no later than April 15, 2010. The new milestone also contemplates the Plan containing specific deadlines for receipt of an order of the Ontario Superior Court of Justice (Commercial List) concerning the creditors’ meeting in respect of the Plan and for the holding of such meeting.
In conjunction with the new milestone, the CMI Entities announced that CIT Business Credit Canada Inc. has amended the terms of the credit facility agreement pursuant to which debtor-in-possession financing has been provided in connection with the ongoing restructuring of the CMI Entities to, among other things, extend to May 31, 2010 the date by which the CMI Entities are required to obtain approval of the Plan from all of CMI Entities’ requisite stakeholders, and to August 11, 2010, the date by which the debtor-in-possession facility is required to be repaid in full.
The new milestones provide the CMI Entities with additional time to develop, in consultation with the members of the Ad Hoc Committee and Shaw Communications Inc., a comprehensive plan for an orderly and structured recapitalization for the benefit of all of the Company’s stakeholders.
More information about the CMI Entities’ restructuring can be found at www.canwest.com and on the Monitor’s website at http://cfcanada.fticonsulting.com/cmi.
Forward Looking Statements:
This news release contains certain forward-looking statements about the objectives, strategies, financial conditions, results of operations and businesses of Canwest. Statements that are not historical facts are forward-looking and are subject to important risks, uncertainties and assumptions. These statements are based on the Company’s current expectations about our business and the markets in which the Company operate, and upon various estimates and assumptions. The results or events predicted in these forward-looking statements may differ materially from actual results or events if known or unknown risks, trends or uncertainties affect the Company’s business, or if the Company’s estimates or assumptions turn out to be inaccurate. As a result, there is no assurance that the circumstances described in any forward-looking statement will materialize. Significant and reasonably foreseeable factors that could cause the Company’s results to differ materially from its current expectations are discussed in the section entitled "Risk Factors" contained in our Annual Information Form for the year ended August 31, 2009 dated November 26, 2009 filed by Canwest Global Communications Corp. with the Canadian securities commissions (available on SEDAR at www.sedar.com ), as updated in its most recent Management's Discussion and Analysis for the three and six months ended February 28, 2010. The Company disclaims any intention or obligation to update any forward-looking statement even if new information becomes available, as a result of future events or for any other reason.
About Canwest Global Communications Corp.
Canwest Global Communications Corp. (www.canwest.com), (TSX-V: CGS and CGS.A) is Canada’s largest media company. In addition to owning the Global Television Network, operating 18 industry-leading specialty channels and having ownership in 5 specialty channels, Canwest is Canada’s largest publisher of English language paid daily newspapers and owns and operates more than 80 online properties.
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For further information:
Media Contact:
John Douglas, Senior Vice President, Public Affairs
Tel: (204) 953-7737
jdouglas@canwest.com
Investor Contact:
Hugh Harley, Director, Investor Relations
Tel: (204) 953-7731
hharley@canwest.com
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