Navigation Links
Westaim reduces ABCP exposure
Date:11/26/2007

CALGARY, Nov. 26 /PRNewswire-FirstCall/ - The Westaim Corporation announced today that it has reached an agreement to sell 50 per cent of its holdings in Canadian third party asset-backed commercial paper (ABCP) with a book value of $7.0 million for immediate proceeds of $6.0 million. Westaim retains the right to receive additional proceeds in the event the buyer re-sells the related ABCP within six months; in such event, Westaim will receive 50 per cent of any proceeds received by the buyer in excess of $7.2 million.

Westaim has holdings in eight trusts affected by the ABCP market, which has been frozen since mid-August 2007. As part of today's announced sale, Westaim has reduced its holdings in each of the eight trusts by 50 per cent. Until the paper is restructured, or a market otherwise forms for this ABCP, Westaim cannot be certain of the ultimate value it will realize for its remaining holdings.

"Westaim is diversifying its risk in this uncertain global credit market," said Drew Fitch, President & CEO of Westaim. "While we have the option to borrow against our ABCP holdings using the previously announced credit line, we are taking a conservative approach by not being fully exposed to ABCP market values fully covered with debt."

In the third quarter, the Company wrote down its investment in ABCP by $3.0 million to $14 million. Following today's sale, the book value of Westaim's ABCP will be $7 million. The Company announced on November 2, 2007 the receipt of an offer, subject to final documentation, for a credit line of $12.6 million from a major financial institution. The credit facility will be available for one year and will be secured by the equivalent value of ABCP held by the Company. As a result of the Company's agreement to sell certain of its ABCP, the available credit on the proposed credit line will be reduced.

The Westaim Corporation's technology investments include iFire Technology Corp., which is developing a low-cost flat panel display, and a 74.6 per cent interest in NUCRYST Pharmaceuticals Corp. (NASDAQ: NCST; TSX; NCS), which develops, manufactures and commercializes medical products that fight infection and inflammation based on its nanocrystalline silver technology. Westaim's common shares are listed on The Toronto Stock Exchange under the trading symbol WED.

This news release contains forward-looking statements. These statements are based on current expectations that are subject to risks and uncertainties, and Westaim can give no assurance that these expectations are correct. Various factors could cause actual results to differ materially from those projected in such statements, including but not limited to statements regarding the potential receipt of additional proceeds, the ultimate value of Westaim's ABCP holdings, diversification of risk, and the availability of credit. Westaim disclaims any intention or obligation to revise forward-looking statements whether as a result of new information, future developments or otherwise. Accordingly, readers are advised not to place undue reliance on forward-looking statements, and should not rely on this information at any date other than the date of this news release. All forward-looking statements are expressly qualified in their entirety by this cautionary statement.


'/>"/>
SOURCE Westaim Corporation
Copyright©2007 PR Newswire.
All rights reserved

Related medicine news :

1. The Westaim Corporation update on status of short-term investments
2. Webcast Advisory - The Westaim Corporation Webcast of Conference Call to Discuss 2007 Third Quarter Results
3. Westaim announces 2007 third quarter results
4. New study: Pine bark reduces perimenopausal symptoms
5. Different method of evaluating the urinary tract system reduces radiation dose
6. Saline Reduces Mortality for Brain Injury Patients
7. New study: Pine bark extract reduces ADHD symptoms in children
8. Radiation therapy technique reduces length of prostate cancer treatment
9. Radiation therapy technique reduces length of prostate cancer treatment
10. MR spectroscopy identifies breast cancer, reduces biopsies
11. Body-mind meditation boosts performance, reduces stress
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:4/29/2016)... ... April 29, 2016 , ... ... author of best seller "LOVE, MEDICINE and MIRACLES") addresses touchy topics related to ... and podcasted thereafter . Dr. Bernie Siegel, author of a plethora of ...
(Date:4/29/2016)... , ... April 29, 2016 , ... ... reveals that infants born with severe congenital diaphragmatic hernia have better survival rates ... with congenital diaphragmatic hernia (CDH)—a condition where the diaphragm fails to form completely, ...
(Date:4/29/2016)... ... April 29, 2016 , ... World Patent Marketing , ... exercise invention which aids in proper muscle development. , "The Gym & Exercise ... Director of World Patent Marketing. "Globalization has threatened the future growth of the ...
(Date:4/29/2016)... ... ... New York City based oral and maxillofacial surgeon Dr. Majid Jamali is an ... obstructive sleep apnea. Dr. Jamali is proud to offer this permanent solution to patients who ... both jaw bones. This surgery is performed to correct the alignment of the jaw. It ...
(Date:4/29/2016)... ... 29, 2016 , ... Innovations with Ed Begley Jr., announced ... airing third quarter 2016 via Discovery Channel. Dates and show times TBA. , ... located in Greenwood, Wisconsin applies product research and development and continuous technological improvements ...
Breaking Medicine News(10 mins):
(Date:4/27/2016)... 2016 The global  gamma ... billion by 2022, according to a new report ... towards a healthy lifestyle is expected to drive ...      (Logo: http://photos.prnewswire.com/prnh/20150105/723757 ) , ... health treatment expenditure has urged consumers to switch ...
(Date:4/26/2016)... FLINT, Mich. , April 26, 2016 ... the promotion of Jennifer Hagerman , Pharm D., ... In her growing role at Diplomat, Hagerman will continue ... of the company that delivers custom education and training ... to the specialty pharmacy industry. Diplomat University also houses ...
(Date:4/26/2016)... 26, 2016 US demand for infection ... 4.9 percent annually to $27.6 billion in 2020.  ... to decrease rates of healthcare-associated infections (HAIs) will ... and services.  Although declining, the overall rate of ... levels set by the CDC.  Recent statistics indicate ...
Breaking Medicine Technology: