MONTREAL, Jan. 11 /CNW Telbec/ - Tembec Inc. ("Tembec") announced today
the record date for holders of notes ("Noteholders") of Tembec Industries Inc.
("TII") to vote on and participate in certain aspects of the proposed
recapitalization transaction announced on December 19, 2007 (the
The record date for Noteholders to vote on the Recapitalization and
participate in the new loan of US $250 million to US $300 million to TII as
part of the Recapitalization (the "New Loan") is January 21, 2008.
Noteholders as of the close of business on January 21, 2008 ("Noteholders
of Record") will:
- be entitled to vote on the Recapitalization; and
- if they meet the qualifying criteria set out in the key terms of the
Recapitalization attached to Tembec's press release of December 19,
2007, have the opportunity to participate in the New Loan and receive
their pro rata share, based on the amount of their participation in the
New Loan, of 43% of the recapitalized equity of Tembec. The
consummation of the New Loan and issuance of the recapitalized equity
will occur as part of the implementation of the Recapitalization.
Noteholders as of the date of implementation of the Recapitalization will
- their pro rata share of 45% of the recapitalized equity of Tembec based
on the principal amount of notes held on the date of implementation;
- payment of any unpaid interest accrued up to and including December 30,
2007 on notes held.
The proxy circular for the Recapitalization (the "Proxy Circular") will
contain information regarding procedures for voting on the Recapitalization
and participating in the New Loan. The required forms for participating in the
New Loan will be mailed to Noteholders of Record with the Proxy Circular and
will be filed concurrently on SEDAR (www.sedar.com).
It is anticipated that the Proxy Circular will be mailed by the end of
As announced previously, the record date for shareholders of Tembec Inc.
to vote on the Recapitalization is January 21, 2008.
Further information about the Recapitalization is available on SEDAR
(www.sedar.com), EDGAR (www.sec.gov/edgar.shtml) and the Company's web page
Tembec is a large, diversified and integrated forest products company.
With operations principally located in North America and in France, the
Company employs approximately 8,000 people. Tembec's common shares are listed
on the Toronto Stock Exchange under the symbol TBC. Additional information on
Tembec is available on its website at www.tembec.com.
This press release includes "forward-looking statements" within the
meaning of securities laws. Such statements relate to the Company's or
management's objectives, projections, estimates, expectations, or predictions
of the future and can be identified by words such as "will", "anticipate",
"estimate", "expect" and "project" or variations of such words. These
statements are based on certain assumptions and analyses by the Company that
reflect its experience and its understanding of future developments. Such
statements are subject to a number of uncertainties, including, but not
limited to, receipt of the approvals necessary to implement the
Recapitalization, changes in foreign exchange rates, product selling prices,
raw material and operating costs, and other factors identified in the
Company's periodic filings with securities regulatory authorities in Canada
and the United States. Many of these uncertainties are beyond the Company's
control and, therefore, may cause actual actions or results to differ from
those expressed or implied herein. The Company disclaims any intention or
obligation to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.
This press release is not an offer of securities for sale in the United
States and securities may not be offered or sold in the United States absent
registration or exemption from registration.
For further information:
For further information: Investor Contacts: Michel J. Dumas, Executive
Vice President, Finance and Chief Financial Officer, (819) 627-4268,
firstname.lastname@example.org; BMO Capital Markets, Financial Advisor to Tembec,
(416) 359-5210, (866) 668-6211 (toll free); Media Contacts: John Valley,
Executive Vice President, Business Development and Corporate Affairs, (416)
775-2819, email@example.com; Tony Fratianni, Vice President, General
Counsel and Secretary (514) 871-2310, firstname.lastname@example.org