Arctic Glacier Income Fund

Arctic Glacier Income Fund

September 14, 2011 17:05 ET

Following Second Lien Lenders, First Lien Lenders Issue Notice of Default Without Accelerating Obligations

WINNIPEG, MANITOBA--(Marketwire - Sept. 14, 2011) - Arctic Glacier Income Fund (TSX:AG.UN) (the "Fund") announced today that its first lien secured lenders have issued a notice of default under the Fund's senior credit facilities, but have not accelerated the obligations owing thereunder.

The Fund's first lien secured lenders issued the notice of default following the announcement on September 12 that its second lien secured lenders had issued a notice of default under the Fund's subordinated credit facilities, but have not accelerated the obligations owing thereunder. Pursuant to the terms of the senior credit facilities, a default of the Fund's subordinated credit facilities also constitutes a default of its senior credit facilities.

Arctic Glacier is continuing active discussions with both its first lien lenders and its second lien lenders to amend certain terms of the credit agreements for future quarters. However, there can be no assurance that such amendments will be approved.

About Arctic Glacier

Arctic Glacier Income Fund, through its operating company, Arctic Glacier Inc., is a leading producer, marketer and distributor of high-quality packaged ice in North America, primarily under the brand name of Arctic Glacier® Premium Ice. Arctic Glacier operates 39 production plants and 48 distribution facilities across Canada and the northeast, central and western United States servicing more than 75,000 retail locations.

Arctic Glacier Income Fund trust units are listed on the Toronto Stock Exchange under the trading symbol AG.UN. There are currently 350.3 million trust units outstanding.

Forward-Looking Information

This news release contains forward-looking statements, which are subject to certain risks, uncertainties and assumptions. A number of factors could cause actual results to differ materially from the results discussed in these forward-looking statements, and there is no assurance that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as at the date of this news release, and the Fund assumes no obligation to update or revise them, either publicly or otherwise, to reflect new events, information or circumstances.

The Toronto Stock Exchange does not approve or disapprove of the adequacy or accuracy of this release.

Contact Information

  • Arctic Glacier Income Fund
    Keith McMahon
    President & CEO
    Toll free investor relations phone: 1-888-573-9237

    Arctic Glacier Income Fund
    Doug Bailey
    Chief Financial Officer
    Toll free investor relations phone: 1-888-573-9237