Ascalade Communications obtains CCAA protection

    RICHMOND, BC, March 3 /CNW/ - Ascalade Communications Inc. ("Ascalade" or
"the Company") (TSX: ACG) announced that further to its press release issued
earlier today, it has obtained an order from the Supreme Court of British
Columbia granting Ascalade and its subsidiary Ascalade Technologies Inc.,
protection pursuant to the provisions of the Companies' Creditors Arrangement
Act (CCAA). The Court has granted CCAA protection for an initial period of 30
days expiring on April 2, 2008, to be extended thereafter as the Court deems
    While under CCAA protection, management will remain responsible for the
day-to-day operations of the Company, under the supervision of a Court
appointed monitor, Deloitte & Touche Inc., who will be responsible for
monitoring Ascalade's ongoing operations, assisting management with the
development of a restructuring plan, reporting to the creditors and the Court,
and assisting management with respect to the restructuring of the business.

    About Ascalade:

    Ascalade Communications Inc. is an innovative product company that
designs, develops and manufactures digital wireless and communication
products. We deliver world-class products by offering our partners and
customers complete vertical integration, from leading-edge product design and
development to final production. Our products include digital cordless phones,
Voice over Internet Protocol ("VoIP") phones, digital wireless baby monitors
and digital wireless conference phones. Ascalade products have been
distributed under our customers' well-known brand names in over 35 countries
and under 80 regional brands. Ascalade has design, manufacturing and
distribution facilities in Richmond, British Columbia (head office), Qingyuan
(China), Hong Kong and a sales office in Hertfordshire, (United Kingdom).

    Forward Looking Information:

    The discussion and analysis in this news release, including information
on order of the Supreme Court of British Columbia granting the Company and its
subsidiary creditor protection and the Company's future plans, contains
forward-looking statements under securities laws that involve risks and
uncertainties. When used in this news release the words such as "will" and
"may" and similar words and expressions generally identify forward-looking
    These statements are not historical facts, but reflect our current
expectations. The results or events predicted in such forward-looking
information may differ materially from actual results or events. When relying
on the Company's forward-looking information to make decisions, investors and
others should carefully consider the foregoing factors and other uncertainties
and potential events.
    In making the forward-looking information contained in this news release,
the Company does not assume any significant acquisitions, dispositions or
one-time items or the renewal of certain customer and supplier contracts. The
Company has also assumed a certain progression, which may not be realized.
Additionally, the Company made a number of assumptions about the market,
operations, finances and transactions. Certain factors that could cause
results or events to differ materially from our current expectations include,
among others, our ability to implement our strategies and plans, the intensity
of competitive activity and the ability to deliver our products on time while
significantly reducing costs, the proper execution of our supply chain
contract arrangements, timely development and completion of our product
offerings, the attainment of cost reduction targets, a sustained demand for
our product lines, the impact of competition on pricing and market share, and
the ability to fund the required investment in working capital to sustain
revenue growth.
    It has also assumed that the material factors referred to in the previous
paragraph will not result in such forward-looking information to differ
materially from actual results or events. However, the list of these factors
is not exhaustive and is subject to change and there can be no assurance that
such assumptions will reflect the actual outcome of such items or factors.
    These forward-looking statements are subject to a number of risks,
uncertainties and assumptions that could cause actual results or events to
differ materially from current expectation; including matters discussed more
fully under "Risk Factors" in the MD&A portion of our 2006 Annual Report and
our 3rd Quarter 2007 results, which is available at
    These risks and uncertainties also include, among other things, risks
related to: uncertainty involved in Court proceedings and the implementation
of a plan under the CCAA restructuring, inability to find a buyer for business
assets, loss of customers, economic downturn in key geographic markets,
availability and cost of labor, cost of material, labor relations, power
constraints, environmental laws, insufficient production capacity to satisfy
customer demand, impact of restructuring on operations stability, failure to
develop new products or enhance existing products, customer supplier
litigation, ability to maintain a workforce and factory operations, government
and regulatory challenges in China, reduction of production costs and
management of production levels. There can be no assurance that our
expectations will prove to be correct. Consequently, all forward-looking
statements made are qualified by these cautionary statements and other
cautionary statements and factors contained herein.
    Except as required by law, Ascalade disclaims any intention or obligation
to update or revise any forward-looking statement, whether as a result of new
information, future events or otherwise.

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