EDMONTON, Sept. 4, 2013 /CNW/ - The Cash Store Australia Holdings Inc. ("Cash Store Australia" or the "Company") (TSXV:AUC) today announced that, on September 3, 2013, Assistive Financial Corp. ("AFC") issued a demand letter demanding repayment of principal and interest owing under its loan to the Company and issuing a warning with respect to enforcement of the corresponding security agreement with The Cash Store Australia Holdings Inc.
The letter asserts that the total amount outstanding on the loan as at September 3, 2013 was $35,514,654.97 plus interest of $532,241.39 due on September 3, 2013. The letter demands repayment on or before September 13, 2013 and payment of all costs incurred by AFC with respect to the collection of the outstanding loan balance.
The letter also states that if the loan is not repaid by September 13, 2013, AFC's counsel is expected to receive instructions from AFC to commence legal proceedings for recovery of the loan which may include the appointment of a receiver manager.
About Cash Store Australia
Cash Store Australia operates 62 branches in the States of Victoria, Queensland, Tasmania, Northern Territory, and New South Wales, Australia under the banner "The Cash Store".
On August 30, 2013, the Company issued a news release announcing that it is not able to raise funding required and that the inability to raise capital will materially impact the continuing operations of the Company and will affect its ability to meet its obligations in the future.
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.
SOURCE: The Cash Store Australia Holdings Inc.
For further information:
For further information on Cash Store Australia, please contact:
Bill Johnson, Chief Financial Officer
(780) 732-5695; email: [email protected]