SYMBOL: HIS (TSXV)
LAVAL, QC, Feb. 27, 2012 /CNW Telbec/ - Hart Stores Inc. (TSXV: HIS) is pleased to announce that the Québec Superior Court today sanctioned and approved the Plan of Compromise and Arrangement filed by Hart Stores pursuant to the Companies' Creditors Arrangement Act (Canada). As a result, the Plan of Compromise and Arrangement is binding on all of Hart Stores' affected creditors.
As previously announced, the Plan of Compromise and Arrangement was voted on and accepted by Hart Stores' creditors at a meeting held on February 15, 2012.
The Plan of Compromise and Arrangement, as approved by the Québec Superior Court, provides that Hart Stores will make payments totaling $6 million over three years to the Monitor (RSM Richter Inc.) under the CCAA, for distribution to Hart Stores' unsecured creditors. Under the Plan of Compromise and Arrangement, unsecured creditors may elect to receive their pro rata share of the $6 million, or a lump-sum payment equal to the lesser of the value of their claim or $1,000.
All inquiries regarding the CCAA proceedings should be directed to the Monitor (RSM Richter Inc.). Further information about Hart Stores' restructuring can be found on the Monitor's website at the following address: http://www.rsmrichter.com/restructuring/Hart.aspx.
About Hart Stores Inc.:
Hart Stores Inc. operates a network of 74 mid-sized department stores of which 14 stores have been slated for closure in early 2012, under the Hart, Bargain Giant and Géant des Aubaines banners. The stores are located in secondary and tertiary markets throughout Eastern Canada where the Company has established a dominant position in many of the communities that it serves. The stores offer an extensive and differentiated selection of national and exclusive fashion apparel brands as well as family footwear, home furnishings, electronics, appliances, giftware, toys and seasonal goods.
Forward-Looking Statements and Disclaimer
Certain statements included in this press release may constitute "forward-looking statements" within the meaning of the Canadian securities legislation. Forward-looking statements are based on the best estimates available to Hart Stores at the time and involve known and unknown risks, uncertainties and other factors that may cause Hart Stores' actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. A description of the risks affecting Hart Stores' business and activities appears under the heading "Risks & Uncertainties" in Management's Discussion and Analysis on pages 18 to 20 of Hart Stores' 2011 Annual Report, which is available on SEDAR at www.sedar.com. No assurance can be given that any events anticipated by the forward-looking information in this press release will transpire or occur, or if any of them do so, what benefits that Hart Stores will derive therefrom. In particular, no assurance can be given as to the future financial performance of Hart Stores. Undue reliance should not be placed on these forward-looking statements, which are made only as of the date of this press release. Hart Stores disclaims any intention or obligation to update or revise any forward-looking statements in order to account for any new information or any other event.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information:
Hart Stores Inc.
Mr. Robert Harritt
Vice-President Finance and Chief Financial Officer
Hart Stores Inc.
(450) 661-4155, ext. 595
RSM Richter Inc. (Monitor)
Benoit Gingues, CA
Partner, RSM Richter Inc. (514) 934-3514
Stéphane De Broux, CA
Vice President, RSM Richter Inc. (514) 934-8621