Innovative Composites International Inc.
CNSX : IC

Innovative Composites International Inc.

February 09, 2015 11:36 ET

Innovative Composites International Announces Corporate Update

TORONTO, ONTARIO--(Marketwired - Feb. 9, 2015) - Innovative Composites International Inc., (CSE:IC) ("ICI" or the "Company") announced today that on February 4, 2015, the Ontario Securities Commission ("OSC") issued a Temporary Issuer Cease Trade Order (the "Order") dated February 4, 2015. The Order was imposed because ICI failed to file its audited financial statements for the year ended September 30, 2014 as required under Ontario securities law. The Director may revoke the Order within a fifteen (15) day period if ICI remedies the default to the satisfaction of Staff at the OSC. In addition the Autorite Des Marches Financiers ("AMF") "), the British Columbia Securities Commission and the Manitoba Securities Commission each issued a Cease Trading Order on the same date.

ICI has been actively seeking refinancing and restructuring assistance, in part because the financing and restructuring arrangements with Bassett Financial Corporation which were previously announced in August 2014 were only partially completed, but has not been successful in doing so.

The Company is currently in default to its debenture holders and a Notice of Event of Default dated December 16, 2014 was sent by Computershare to debenture holders. The Company is in discussions with various debenture holders of the Company and is in the process of setting up a meeting with all debenture holders in February.

In January, the Company was served with an eviction notice from the landlord for the South Carolina plant. The ground for eviction was failure to pay the December rent. The landlord has agreed to give the Company until the end of the month to relocate. The Company is currently in negotiations to obtain new premises.

The Company cannot currently meet its liabilities as they become due. Therefore, the Company is undertaking a strategic review of the Company and will explore all options that create value for all of its stakeholders.

Also, the Company announced that Mr. Ian MacVicar, who was elected to the Board of Directors on December 18, 2014, has submitted his resignation effective January 23, 2015.

About Innovative Composites International Inc.

Headquartered in Toronto, Canada, Innovative Composites International Inc. is a high- tech engineering and manufacturing company whose goal is to utilize its proprietary "green" composite materials and building systems to provide innovative, engineered product solutions to markets that include automotive and transportation, shelters and containers, construction and housing, and industrial applications.

To find out more about ICI please visit our website at: www.innovativecompositesinc.com.

The Canadian Securities Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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