General Chemical Canada Ltd., a leading producer of calcium chloride and magnesium hydroxide, and a distributor of soda ash in Canada, announced 21 January 2005 that it voluntarily filed for and was g…
General Chemical Canada Ltd., a leading producer of calcium chloride and magnesium hydroxide, and a distributor of soda ash in Canada, announced 21 January 2005 that it voluntarily filed for and was granted protection under the Canadian Companies“ Creditors Arrangement Act (CCAA) by Order of the Ontario Superior Court of Justice (Commercial List) made on Wednesday, 19 January 2005 (the Initial Order). General Chemical Canada determined it was no longer able to obtain funding for ongoing operations at its Amherstburg, Ontario manufacturing facility. The company said it has experienced poor operating results over the last two years due to negative cash flows, principally arising from pension funding requirements, higher energy costs and the strong Canadian dollar. The company expected to incur significant losses in 2005 as a result of these factors. Pursuant to the Initial Order, PricewaterhouseCoopers Inc. was appointed Monitor of the company. The company is represented by Blake, Cassels & Graydon LLP, as insolvency counsel. The CCAA filing excludes General Chemical Industrial Products Inc., General Chemical (Soda Ash) Partners, and all non-Canadian subsidiaries and affiliates of General Chemical Industrial Products Inc.