Ontario · CCAA

The purpose of this Thirty-Fourth Report is to report to this Court with respect to: (a) an overview of these CCAA proceedings; (b) an overview of the settlement agreement achieved regarding the Western Alberta Transmission Line litigation among Rokstad-Wilson Joint Venture (“RWJV”), SNC-Lavalin ATP Inc. (“SNC”) and AltaLink (as defined below); (c) the Monitor’s motion for an Order (the “Picton Settlement Approval Order”), substantially in the form of the draft order located at Tab 3 of the Motion Record of the Monitor returnable August 4, 2021 (the “Motion Record”), among other things: (i) approving the settlement agreement dated June 30, 2021 with respect to the property located in Picton, Ontario (the “Picton Settlement Agreement”); (ii) authorizing CCI to enter into the Picton Settlement Agreement; (iii) authorizing and directing the Monitor to take such additional steps and execute such additional documents as may be necessary or desirable for the implementation of the Picton Settlement Agreement; (iv) confirming the terms and conditions of the Full and Final Mutual Release (as defined in the Picton Settlement Agreement); (v) upon payment of the settlement amount, approving the deemed withdrawal of the Proofs of Claim filed against CCI by the HBBC Parties and the DiRocco Parties (each as defined herein); (d) the status of the Claims Process; (e) in accordance with the Amended CCAA Administration Order granted April 29, 2020 (the “Administration Order”), a summary of all Related Party Claims Objections received and the status of same, an overview of the Monitor’s procedures with respect to its review and analysis of the Related Party Claims, and the Monitor’s view and recommendations with respect to the validity and quantum of the Related Party Claims filed against the Applicants and the Debtors; (f) the Monitor’s motion for an Order (the “Related Party Claims Approval Order”) substantially in the form of the draft order located at Tab 4 of the Motion Record, among other things approving the Related Party Claims as described herein; (g) the Monitor’s motion for an Order (the “Interim Distribution Order”) substantially in the form of the draft order located at Tab 5 of the Motion Record, (i) approving the Proposed Distribution Methodology, including the allocation of costs among the Applicants and Debtors and the treatment of the Related Party Claims and that approximately $47.5 million of cash held by the Applicants and Debtors is to be restricted and not available for distribution at this time; (ii) deeming the claims filed with the Monitor after October 27, 2020 and prior to the date of this Thirty-Fourth Report (the “Late Claims”), to have been filed on or before the Claims Bar Date (defined below), and declaring that the Late Claims are not barred or extinguished, and directing the Monitor to review the Late Claims for determination pursuant to the Claims Procedure Order; (iii) declaring that all Claims (including lien notices) filed against an Applicant or a Debtor and accepted by the Monitor or Receiver, or such portion thereof accepted by the Monitor or Receiver and not further disputed by the respective claimant in accordance with the Claims Procedure Order, shall be and are hereby deemed to be accepted and valid Claims for the purpose of an interim distribution; (iv) authorizing that, with the exception of the Rokstad Applicants, the remaining Applicants (the “Distributing Applicants”) and the Debtors are authorized, directed and empowered to make one or more interim cash distributions to each claimant with a Proven Claim of a total estimated distribution pool of approximately $112.3 million (the “Estimated Distribution Pool”) of the pro rata amount of the Estimated Distribution Pool applicable to the creditors of the Distributing Applicants and Debtors holding Proven Claims, net of any withholding taxes based on applicable law, as set out in the Interim Distribution Order (the “Interim Distribution”); (v) directing the Distributing Applicants and Debtors, with the assistance of the Monitor and Receiver, to establish, hold and maintain cash reserves of approximately $24.6 million to be considered restricted cash from the funds remaining in the respective accounts of the Distributing Applicants and Debtors, as set out in the Interim Distribution Order; (vi) authorizing the Distributing Applicants and Debtors to make further pro rata distributions with respect to: (A) creditors with Unresolved Claims that become Proven Claims, and (B) creditors with claims in respect of the Bremner Project Settlement Proceeds Reserve, the Niagara Project Settlement Proceeds Reserve, the Borden Project Settlement Proceeds Reserve, the Seaforth Project Settlement Proceeds Reserve, and the TTC Project Settlement Proceeds Reserve, as applicable, each without further Court Order; (vii) approving the activities and conduct of the Monitor and Receiver in the CCAA proceedings as disclosed in its reports to the Court; and (viii) barring any person from asserting a claim against the Monitor and Receiver arising from or relating to the activities of the Monitor and Receiver up to and including the date of the proposed Interim Distribution Order

Court officer report · 26 July 2021