Ontario · CCAA

Ernst & Young Inc. was appointed as the trustee in bankruptcy of The Royal Crest Lifecare Group Inc., General background; Overview of operations and interdependencies; Legal entity structure; Nortel’s operational transformation; Research and development (“R&D”) expenditures and transfer pricing adjustments; Financial overview o Debt structure; o Export Development Canada; o Pension and other post retirement plans; Cash position and liquidity; Efforts to refinance; Sale and divestiture efforts; Formal insolvency proceedings; Overview of the 13 week cash flow forecast; Flextronics Amending Agreement; Charges and financial thresholds in the draft Initial Order and employee and director matters; o Administrative charge; o Directors and Officers’ trust and charge; o EDC Charge; o Inter-Company payments, Inter-Company charge and GSPA o Carling Facility charge; o Sales of assets; o Creditor notification; IP and KEIP; Directors’ remuneration; Restructuring alternatives; and Conclusions and recommendations

Cash-flow statement · 14 January 2009