On November 17, 2008, Premier Peterbilt Inc. (“Premier” or the “Company”) filed a Notice of Intention to Make a Proposal pursuant to Section 50.4 of the Bankruptcy and Insolvency Act (“BIA”). A. Farber & Partners Inc. (“Farber”) was appointed Trustee in the Proposal of the Company.
By an Order of Madame Justice Hoy dated December 12, 2008, the time for Premier to file a Proposal was extended by 45 days to February 2, 2009.
In addition, another extension was granted by Order of Madame Justice Hoy dated February 2, 2009. Premier is now due to file its Proposal by March 19, 2009.
In addition, by an Order of Madame Justice Mesbur dated November 21, 2008 (the “Order”), Farber was also appointed as Interim Receiver of all of the Company’s current and future assets, undertaking and properties of every nature and kind whatsoever, and wherever situate including all proceeds thereof (the “Property”) with the powers, and subject to the limits contained within the Order, and for greater certainty not to manage or operate the business of the Company without further order of the Court.
The Interim Receiver was authorized to market and sell the Property of the Company in accordance with the terms of the Order. An Approval and Vesting Order of Madam Justice Mesbur dated November 21, 2008 approved an agreement of purchase and sale (“Sale Agreement”) dated November 7, 2008, between the Company and Peterbilt of Ontario Inc. The Order provided that the Sale Agreement be adopted and assumed by the Interim Receiver. The Sale Agreement was completed on November 25, 2008.
By an Order of Madame Justice Hoy dated December 12, 2008, the Interim Receiver was authorized and directed to pay funds received to various secured creditors.
On March 19, 2009, the Company filed the Proposal with the Official Receiver pursuant to Section 62 of the BIA. A meeting of the Company’s creditors took place on April 6, 2009 at 2:00 p.m. at The Albany Club, 91 King Street East, Toronto.
At the meeting of creditors held on April 6, 2009, the creditors approved the Proposal, as filed by the Company.
With regard to interim dividends, please be advised that within the next five years, the directors of the Company will periodically deposit money into a bank account for the Company. Once the bank account has enough money to pay approximately $1,000 or less to each creditor, a first dividend will be mailed out. Once this mailing is completed, any monies received from the directors, 40% will be sent to the unsecured creditors whose claims are unsatisfied, and the remaining 60% will be paid to secured creditors. These monies will be mailed out to creditors within 30 days of the Trustee receiving same in the bank account, providing there is a balance of $50,000 in the account.
- Certificate of filing of the the Notice of Intention to Make a Proposal dated November 17, 2008
- Notice of Intention creditors’ package
- Proposal package
- Order of the Interim Receiver dated November 21, 2008
- Approval and Vesting Order dated November 21, 2008
- Order extending period for Company to file Proposal dated December 12, 2008
- Issued and Entered Distribution Order dated December 12, 2008
- Order extending period for Company to file Proposal dated February 2, 2009
- Order Approving Proposal dated June 4, 2009