COURT OF APPEAL FOR ONTARIO
RE:
IN THE MATTER OF THE COMPANIES’ CREDITORS ARRANGEMENT ACT, R.S.C., c. C-36, AS AMENDED AND IN THE MATTER OF A PROPOSED PLAN OF COMPROMISE OR ARRANGEMENT WITH RESPECT TO STELCO INC., AND OTHER APPLICANTS LISTED IN SCHEDULE “A”
APPLICATION UNDER THE COMPANIES’ CREDITORS ARRANGEMENT ACT, R.S.C. 1985, c. C-36 AS AMENDED
BEFORE:
GOUDGE, SHARPE AND BLAIR, JJ.A.
COUNSEL:
Paul Macdonald, Andrew Kent and Brett Harrison, for the Informal Independent Converts’ Committee
Michael E. Barrack and Geoff R. Hall, for Stelco Inc.
Robert Staley and Alan Gardner, for the Senior Debenture Holders
Fred Myers, for Her Majesty the Queen in Right of Ontario, and the Superintendent of Financial Services
Ken Rosenberg, for United Steelworkers of America
A Kauffman, for Tricap Management Ltd.
Kyla Mahar, for the Monitor
Murray Gold, for the Salaried Retirees
Heath Whitley, for CIBC
Steven Bosnick, for U.S.W.A. Loc. 5328 and 8782
HEARD & ENDORSED:
November 14, 2005
Application for Leave to Appeal, and if leave be granted, an appeal from the Order of Farley J. dated November 10, 2005.
ADDENDUM
1Reasons for judgment were released in this matter on November 17, 2005.
2Subsequently, the court was advised that the reference to “Subordinated Debenture Holders” in the first sentence and at the beginning of the second sentence in paragraph 11 of the reasons may be erroneous and that the reference should be “Senior Debt Holders”. We agree.
3For clarity, this endorsement is issued amending paragraph 11 of the reasons to read as follows:
11The Subordinated Debenture Holders contend that the Turnover Payment provisions distinguish their interests from those of the Senior Debt Holders when it comes to voting on Stelco’s Proposed Plan. They say that the Senior Debt Holders’ interest in maximizing the amounts to be made available to unsecured creditors ends once they have received full recovery, in part as a result of the Turnover Payments that the Subordinated Debenture Holders will be required to make from their portion of the funds. On the other hand, the Subordinated Debenture Holders will have an interest in seeking more because their recovery, for practical purposes, will have only begun once that point is reached.
“R.A. Blair J.A.”
“I agree S.T. Goudge J.A.”
“I agree Robert J. Sharpe J.A.”