TORONTO, April 16, 2012 /CNW/ - The Litigation Trustee of Hollinger Inc. ("Hollinger") announced today that he has entered into a settlement agreement with the estate of R. Donald Fullerton, a former director of Hollinger (the "Fullerton Estate") and with the Canadian Imperial Bank of Commerce ("CIBC"), a former lender of Hollinger, to resolve all claims against them advanced by the Litigation Trustee on behalf of Hollinger. The settlement entails no admission of liability on the part of the Fullerton Estate or CIBC. The terms of the settlement include releases in favour of the Fullerton Estate and CIBC from Hollinger and its subsidiaries, other than one it no longer controls, the Chicago Newspapers Liquidation Corp. (formerly known as the Sun-Times Media Group Inc.), as well as from third parties involved in related Hollinger litigation. The settlement and the releases are subject to court approval, which will be sought on notice to other affected parties. The rest of the terms of the settlement agreement are confidential.
Hollinger and its subsidiaries, Sugra Ltd. and 4322525 Canada Inc., are currently subject to proceedings in Canada under the Companies' Creditors Arrangement Act (Canada) and in the United States under Chapter 15 of the U.S. Bankruptcy Code.
The securities of Hollinger are subject to a cease trade order issued by the Ontario Securities Commission on July 23, 2008. Hollinger's common shares and Series II preference shares were delisted from the Toronto Stock Exchange on August 22, 2008.
For further information:
William E. Aziz
Chief Restructuring Officer