TORONTO, March 27, 2013 /CNW/ - SWEF TERRAWINDS RESOURCES CORP. ("SWEF Terrawinds") today announced that it is reminding investors of SWEF Terrawinds ("Investors") that, as previously announced, the period for tax indemnity claims
to be filed by Investors will expire on July 31, 2013. Accordingly,
Investors who intend to file a tax indemnity claim are urged to do so
immediately. A tax indemnity claim received after July 31, 2013 will
not be processed. In order for a tax indemnity claim to be processed,
all required supporting materials must be submitted by July 31, 2013
and confirmation of receipt of all required materials must be obtained.
After July 31, 2013, SWEF Terrawinds will redeem the non-voting common
shares of SWEF Terrawinds (each a "Share") held by Investors by paying
to Investors the redemption amount per Share. The redemption amount
per Share is an amount equal to: (A) the total amount of cash or cash
equivalents standing to the credit of SWEF Terrawinds, less (i) the
amount required to redeem the outstanding preferred shares in the
capital of SWEF Terrawinds (being $100 in aggregate); and (ii) an
amount equal to the existing and contingent liabilities determined by
the directors of SWEF Terrawinds in good faith; divided by (B) the
total number of outstanding Shares. The redemption is expected to occur
prior to the end of 2013.
After adjusting for expected operating and wind-up expenses and reserves
but before giving any effect to additional tax indemnity claims filed
and paid between now and July 31, 2013, SWEF Terrawinds currently
expects that Investors could receive approximately $1.00 for each Share
they hold. This amount could vary significantly if additional tax
indemnity claims are filed between today and July 31, 2013 or other
unanticipated expenses arise. As with previous cash distributions to
Investors, funds payable to Investors upon the redemption will be
distributed to Investors' broker accounts in which the Shares are
held. More details on the tax treatment of the redemption amount to
Investors are provided in a letter sent today to Investors. The letter
is also available on SEDAR at www.sedar.com and on SWEF Terrawinds' website at www.sweflp.com.
As previously disclosed, on December 28, 2007, the predecessor to SWEF
Terrawinds sold its wind park assets pursuant to a transaction approved
by Investors at a special meeting held on the same date. At the
special meeting Investors also approved a cash distribution and wind-up
plan of SWEF Terrawinds and related entities. In 2008, following the
completion of the sale of the wind park assets, SWEF Terrawinds made
two cash distributions to Investors from the proceeds of the sale. The
first distribution was $40,750,014 in aggregate or $5.28 per Share and
the second distribution was $5,000,000 in aggregate or $0.65 per
Share. Also in 2008, SWEF Terrawinds entered into an agreement with
Terida Inc. (the "Payment Agent"), pursuant to which $24,490,826 was
deposited with the Payment Agent to be held in trust to fund tax
indemnity claims by Investors. As at December 31, 2013, Investors who
submitted qualifying claims have received payments from the tax
indemnity fund totaling approximately $14.6 million.
Additional information concerning SWEF Terrawinds, including information
concerning the tax indemnity claims process, is available at www.sweflp.com. For inquiries regarding the tax indemnity process Investors may also
contact the Payment Agent by phone: at 866-647-7520 (Toll Free Help
Line), or 647-477-3497 (Toronto Help Line), by email at: PaymentAgent@terida.com and through its web site at: http://www.terida.com/PaymentAgent.
Forward Looking Statements
This press release contains forward looking information within the
meaning of applicable securities laws, including forward looking
information relating to: the expected timing of the redemption of the
Shares; and the amount per Share that Investors are expected to receive
upon the redemption. All forward looking statements are inherently
uncertain and actual results may differ materially from the
assumptions, estimates or expectations reflected or contained in the
forward looking statements. We consider the assumptions on which these
forward looking statements are based to be reasonable, but caution the
reader that these assumptions regarding future events, many of which
are beyond our control, may ultimately prove to be incorrect. These
forward looking statements involve a number of risks, uncertainties and
assumptions, including the risk of future tax assessments, litigation
or other unanticipated expenses.
SWEF Terrawinds 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 by law.
These risks may cause the actual results, performance or achievements
of SWEF Terrawinds to be materially different from any future results,
performance or achievements expressed or implied by such forward
looking statements. These cautionary statements expressly qualify all
forward looking statements attributable to SWEF Terrawinds.
SOURCE: SWEF TERRAWINDS RESOURCES CORP.
For further information:
please contact Judson Martin, Chairman of SWEF Terrawinds, by email at Judsonmartin@sweflp.com or by facsimile at 416-352-5728.