AESK.OB what does this mean?
Tags:american skiing company, capital management partners, liquidation preference, oak hill capital partners, participating preferred stock,
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Item 2.04 Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation underneath an Off-Balance Sheet Arrangement.
On Jul 31, 2007, American Skiing Company (the "Company") unsuccessful to set free all of a superb shares of Series C-1 Convertible Participating Preferred Stock (the "Series C-1 Preferred Stock") as well as Series C-2 Preferred Stock (the "Series C-2 Preferred Stock" and, together with a Series C-1 Preferred Stock, a "Series C Preferred Stock") hold by Oak Hill Capital Partners, L.P., Oak Hill Capital Management Partners, L.P., Oak Hill Securities Fund, L.P., Oak Hill Securities Fund II, L.P., Oak Hill Securities Fund Liquidating Trust as well as OHCP Ski, L.P., which it was compulsory to set free upon Jul 31, 2007 for money in a volume of a murder welfare of such shares, to a border a Company has supports legally accessible to do so. The Series C Preferred Stock was released pursuant to Certificates of Designations of a Company for a Series C-1 Preferred Stock as well as a Series C-2 Preferred Stock. On Jul 31, 2007, a Series C Preferred Stock had an total murder welfare of we estimate 3.9 million. As a outcome of a disaster to redeem, a murder welfare of a superb shares of Series C-1 Preferred Stock will go upon to accrete in worth during a rate of 12% per annum as well as a murder welfare of a superb shares of Series C-2 Preferred Stock will go upon to accrete in worth during a rate of 15% per annum. The Company believes which it will not be means to compensate in full a murder welfare of a superb shares of Series C Preferred Stock since it does not hold which it will be means to beget enough deduction from a operations as well as a sale of a superfluous resources to do so. The Company has adopted a devise of finish retraction as well as murder of a Company. Holders of a Company’s usual stock, standard worth {content}.01 per share, as well as Class A usual stock, standard worth {content}.01 per share, have been not approaching to embrace any remuneration or placement with apply oneself to their shares pursuant to a Company’s devise of retraction after it creates payments to a creditors as well as a holders of a Series C Preferred Stock.
The Company as well as a holders of a Series C Preferred Stock have had countless discussions per a standing of a Series C Preferred Stock. The Company expects which a foregoing counts will have no stroke upon a Company’s stability operations or a standing of now tentative exchange per a Company’s resorts.
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It means the company is going out of business. They couldn’t meet the cash requirements to payout their preferred stock and are liquidating their assets and shutting down. The class A common and common stock will be worthless after they pay out everything they have to the preferred shareholders.