Alberta · CCAA
Affidavit of Robert J. Nixon, sworn
Affidavit · 18 October 2019
AI summary
A plain-English summary drawn only from this filing: what it is, why it matters, and the parties, amounts and dates it turns on.
What we verified from this filing4 verified
- financial positionnote: These are the last audited financial statements of WBLDLP, attached as Exhibit '3' to the affidavit. The affidavit (sworn Oct 18, 2019) separately states that as at June 30, 2019 WBLDLP had total outstanding debt of $28.9 million (of which $20.1 million was secured) - a more recent, unaudited figure not reconcilable to this balance sheet. · page: 29 · as at: 2018-12-31 · basis: Audited financial statements prepared in accordance with IFRS, historical cost basis with liquidity-based presentation of the statement of financial position; prepared on a going-concern basis, though auditor's report (Ernst & Young LLP, May 13, 2019) flags a material uncertainty related to going concern · scope: Walton Big Lake Development L.P. (WBLDLP) entity-level financial statements only (do not include WBLDC, the General Partner) · currency: CAD · total assets: 28200054 · total liabilities: 29181899
- secured creditorsnote: Loan in default; forbearance expired February 1, 2019 and loan is currently due and payable. Affidavit sworn Oct 18, 2019 identifies this group as the 'Senior Lender Syndicate' owed approx. $9.2 million as at June 30, 2019 (prose approximation, more recent but less precise than the Dec 31, 2018 audited balance used here). · page: 42 · as of: 2018-12-31 · amount: 10563059 · debtor: Walton Big Lake Development L.P. (WBLDLP) · creditor: Senior Lender Syndicate (MCAN Mortgage Corporation, Concentra Bank, Canadian Western Bank) · currency: CAD · security: First priority security interest in all present and after-acquired real and other property of the Partnership, and a first fixed and specific demand collateral land mortgage over the Property (the 'Phase 2 Facility' - originally a $41.86 million non-revolving facility, later amended to a maximum of $27,219,897 for construction plus $4.37 million for letters of credit); guaranteed by WGIL up to $19,000,000
- secured creditorsnote: Loan in default; forbearance expired March 15, 2019 and loan is currently due and payable. Affidavit sworn Oct 18, 2019 identifies Kingsett Capital as the 'Mezzanine Lender' owed approx. $10.9 million as at June 30, 2019 (prose approximation; more recent but less precise than the Dec 31, 2018 audited balance used here). · page: 42 · as of: 2018-12-31 · amount: 10935304 · debtor: Walton Big Lake Development L.P. (WBLDLP) · creditor: Kingsett Capital · currency: CAD · security: Second mortgage charge over all Phase 2 assets, Phase 1 and Phase 2 recoveries, and remaining Phase 3 residual lands (the 'Second Mortgage Loan' - originally $9.13 million, increased to an aggregate of $10.83 million); guaranteed by WGIL (previously also by Walton International Group Inc. Restructured Bond Corporation, with guarantee amended October 31, 2018 to exclude WIGI RBC)
- secured creditorsnote: Related party (manager of WBLDLP/General Partner) holding a secured, subordinated loan; original advance of $60,000 made April 7, 2017 to fund an interest payment on the Second Mortgage Loan. Exact outstanding balance of this secured tranche is not separately disclosed - it forms part of the broader 'Due to related parties - WGIL' balance of $1,322,349 (Dec 31, 2018), most of which is unsecured. WGIL is also guarantor of the Phase 2 Facility (limited guarantee of $19,000,000) and sole guarantor of the Second Mortgage Loan. · page: 48 · as of: 2018-12-31 · debtor: Walton Big Lake Development L.P. (WBLDLP) · creditor: Walton Global Investments Ltd. (WGIL) · currency: CAD · security: Secured tranche of WGIL funding (the 'Secured WGIL Loan'), bearing interest at 15% per annum, subordinate in priority to the Phase 2 Facility and the Second Mortgage Loan