Walton International Goup, related entities obtain creditor protection CCAA

[Southside]

E&Y is monitor.

I'm sure many investor's on these boards.

The Alberta Securities Commission has also suspended the dealer registration of Walton Capital.

Www.ey.com/ca/wigi

[Leeman4Gilmour]

Well, I guess I'll add a couple years to freedom 78....

[Locke]

The E&Y 'Restructuring Document Centre.'

Restructuring documents? Is that what they call it now? I'll have to remember that.

[OMG!WTF!]

Ouch. My siblings went all in back in the mid 2000's. Three retirements down the tubes. Walton always seemed better than the other scum bags in this line of work.

[bizaro86]

I don't know, I looked at their documents probably 5-6 years ago for a friend who was thinking of investing. Way in the fine print, I noticed that they marked up the land after purchasing it before putting into the vehicle they sold to investors.

So they got their management and upside fees along the way, plus you had to pay them $2 for every $1 of land they put in. Didn't pass the smell test to me.

I should probably up the coffee my friend still owes me to a lunch given the outcome here...

[Southside]

The lift is often the issue on land development deals. Many of the Walton investments weren't even related to an actual land development deal.

[Locke]

Originally Posted by bizaro86

I don't know, I looked at their documents probably 5-6 years ago for a friend who was thinking of investing. Way in the fine print, I noticed that they marked up the land after purchasing it before putting into the vehicle they sold to investors.

So they got their management and upside fees along the way, plus you had to pay them $2 for every $1 of land they put in. Didn't pass the smell test to me.

I should probably up the coffee my friend still owes me to a lunch given the outcome here...

Good call, those are often hard to see.

[Hack&Lube]

All I remember from temp jobs in University was sorting piles of land titles, fancy offices for execs, and Preston Manning was touted as a prominent board member for Walton.

[OMG!WTF!]

Just curious, does this mean that all properties and assets go into a pot and get distributed equally? Or would individual investments stay with the investors? They've owned a few of these land parcels for over a decade and I would imagine some are worth more than others. And I would also imagine, depending on the number of individual suits, there will be a zero balance for all but the lawyers.

[Southside]

As I recall all of their land development offerings were set-up as separate entities. So each project should be dealt with on its own I would imagine.

[mrkajz44]

Maybe I'm wrong, but I thought the whole reason of CCAA was to prevent creditors from getting anything for a short time period (2 years or so), so the company could hopefully turn things around and restructure?

[Southside]

That is the intention.

I noticed we both reside in hell? The Deep South.

[Weitz]

Originally Posted by mrkajz44

Maybe I'm wrong, but I thought the whole reason of CCAA was to prevent creditors from getting anything for a short time period (2 years or so), so the company could hopefully turn things around and restructure?

Yah my parent company was just in CCAA protection (chapter 11 in the US) and we took about 5 or 6 months to restructure and came out of it essentially all good now as far as I know. A couple investors/creditors got screwed but the banks are happy for the most part I think.

[mrkajz44]

Originally Posted by Southside

That is the intention.

I noticed we both reside in hell? The Deep South.

Haha - I'm not really in the deep south (only in Douglasdale). It's more of a commentary on how the "deep south" exists, but there is no such thing as the "deep north".

[Lubicon]

Originally Posted by mrkajz44

Haha - I'm not really in the deep south (only in Douglasdale). It's more of a commentary on how the "deep south" exists, but there is no such thing as the "deep north".

That's because deep only applies in a downward direction and you have to go down on map to get to south Calgary. You must go 'up' to get to the north which is counterintuitive from deep. The equivalent in the north is 'far North' - at least in my personal terminology.

[Slava]

Originally Posted by Weitz

Yah my parent company was just in CCAA protection (chapter 11 in the US) and we took about 5 or 6 months to restructure and came out of it essentially all good now as far as I know. A couple investors/creditors got screwed but the banks are happy for the most part I think.

Well there is Chapter 11 (which is the restructuring type) and then there is Chapter 7 which is the "we're done" type of thing.

[FanIn80]

Originally Posted by mrkajz44

Haha - I'm not really in the deep south (only in Douglasdale). It's more of a commentary on how the "deep south" exists, but there is no such thing as the "deep north".

That's because (relative to the "deep south") it would be the "high north," or in BC's case, the "really f***ing high north."

[Locke]

Originally Posted by mrkajz44

Haha - I'm not really in the deep south (only in Douglasdale). It's more of a commentary on how the "deep south" exists, but there is no such thing as the "deep north".

Well thats because the 'Deep North' is on the other side of the massive wall we built to keep Edmontonians out.

[red sky]

And the thread has been Jankowski'd

[Ducay]

To be fair, Walton was responsible for a lot of the sprawling communities in Calgary and Edmonton that make the whole "Deep South/North" debate exist, so might actually be on topic.