Pride Group - TPine

Jane D said:
Just in, in everyone's inboxes moments ago LOL


Dear valued Partner Carriers



We recognize over the past 24 hours there have been multiple media reports about the Pride Group restructuring. This is an ongoing and normal process in a CCAA proceeding. It is also a very public process at certain times and it is common for media reporting to miss characterize certain key facts or report them out of context. We want to ensure you have the accurate facts so please reach out to your key point of contact should you have any questions.



Please see an accurate update below as to where Pride Group and Pride Group Logistics currently stands in the restructuring process.



The Pride Group Applicants have determined that a restructuring of the entire Pride Group as one transaction is no longer feasible and have advised the Court of its intention to sell certain assets or businesses as the only viable way forward.



Further, the Pride Group Applicants continue to pursue going concern transactions such as the sale of TPine Factoring, and Pride Group Logistics (PGL) business units, in order to preserve the business relationships, the employee and contractor relationships, and to continue to serve our important and valuable customer relationships. The TPine Factoring transaction has been approved by the Court which preserves the value of the business and its customer relationships. The same efforts are being made to support the PGL transaction as a going concern and this proposal continues to be negotiated with the various stakeholders with the intention of seeking Court Approval. It is a natural part of the Court Process to openly discuss alternatives to any transaction and we realize some of these discussions can cause anxiety amongst our key partners. It is important to note that NO DECISION has been made at this time and the matter is still in front of the Court for determination at a future date.



Thank you for your continued support!
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It does make sense, theres still hope. If its the Johal family buying back the company is the issue, wouldn't the other bids make more sense?
 
Jane D said:
Just in, in everyone's inboxes moments ago LOL


Dear valued Partner Carriers



We recognize over the past 24 hours there have been multiple media reports about the Pride Group restructuring. This is an ongoing and normal process in a CCAA proceeding. It is also a very public process at certain times and it is common for media reporting to miss characterize certain key facts or report them out of context. We want to ensure you have the accurate facts so please reach out to your key point of contact should you have any questions.



Please see an accurate update below as to where Pride Group and Pride Group Logistics currently stands in the restructuring process.



The Pride Group Applicants have determined that a restructuring of the entire Pride Group as one transaction is no longer feasible and have advised the Court of its intention to sell certain assets or businesses as the only viable way forward.



Further, the Pride Group Applicants continue to pursue going concern transactions such as the sale of TPine Factoring, and Pride Group Logistics (PGL) business units, in order to preserve the business relationships, the employee and contractor relationships, and to continue to serve our important and valuable customer relationships. The TPine Factoring transaction has been approved by the Court which preserves the value of the business and its customer relationships. The same efforts are being made to support the PGL transaction as a going concern and this proposal continues to be negotiated with the various stakeholders with the intention of seeking Court Approval. It is a natural part of the Court Process to openly discuss alternatives to any transaction and we realize some of these discussions can cause anxiety amongst our key partners. It is important to note that NO DECISION has been made at this time and the matter is still in front of the Court for determination at a future date.



Thank you for your continued support!
Click to expand...
 
Jane D said:
Just in, in everyone's inboxes moments ago LOL


Dear valued Partner Carriers



We recognize over the past 24 hours there have been multiple media reports about the Pride Group restructuring. This is an ongoing and normal process in a CCAA proceeding. It is also a very public process at certain times and it is common for media reporting to miss characterize certain key facts or report them out of context. We want to ensure you have the accurate facts so please reach out to your key point of contact should you have any questions.



Please see an accurate update below as to where Pride Group and Pride Group Logistics currently stands in the restructuring process.



The Pride Group Applicants have determined that a restructuring of the entire Pride Group as one transaction is no longer feasible and have advised the Court of its intention to sell certain assets or businesses as the only viable way forward.



Further, the Pride Group Applicants continue to pursue going concern transactions such as the sale of TPine Factoring, and Pride Group Logistics (PGL) business units, in order to preserve the business relationships, the employee and contractor relationships, and to continue to serve our important and valuable customer relationships. The TPine Factoring transaction has been approved by the Court which preserves the value of the business and its customer relationships. The same efforts are being made to support the PGL transaction as a going concern and this proposal continues to be negotiated with the various stakeholders with the intention of seeking Court Approval. It is a natural part of the Court Process to openly discuss alternatives to any transaction and we realize some of these discussions can cause anxiety amongst our key partners. It is important to note that NO DECISION has been made at this time and the matter is still in front of the Court for determination at a future date.



Thank you for your continued support!
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I'm not sure how to read this? I thought it was all but decided this morning they were winding things down.
 
MARTYI said:
I'm not sure how to read this? I thought it was all but decided this morning they were winding things down.
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Technically the court has not dropped the gavel on the next steps. What is available at this time is the report from the Monitor that recommends the court to allow the wind down of the Pride Group. The court still has to hear arguments and decide but in my opinion the court rarely chooses a path other than the recommendation from the monitor.

Will it be Sept 30 before they convene to make the decision, or will it happen earlier? Pride has tapped out the DIP loan and has no funds to continue basic minimal business, so the Montior has requested the courts grant financial relief by suspending deferred payments and utilizing that cash flow to operate the business and wind it down in an orderly fashion. This requires a decision fairly quickly so we will have to wait and see when the judge will decide to hear arguments.
 
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Aman Johal and Pride Group is putting on their best poker face...
As per number 44 on the Thirteenth Report from the Monitor it is the monitors view that a going-concern restructuring plan is not feasible.
Nowhere in the Thirteenth report does it say anything about the sale to the founders being either discontinued, or progressing, and the post above from Aman Johal refers to the 12th report which effectively is now replaced by the 13th report.
The reality is the first sentence of number 44 shown below. There in a lack of stakeholder support for a going-concern restructuring plan. The monitor has lost faith that it is feasible.

We will wait to see what the courts decide but almost always the court sides with the monitor which is asking for funds to manage an orderly wind down of the operations. Someone may still come out and purchase certain assets and components of the entity but none of the business entities were profitable without the other combined business entities, so I don't see that happening.


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Jim L said:
Aman Johal and Pride Group is putting on their best poker face...
As per number 44 on the Thirteenth Report from the Monitor it is the monitors view that a going-concern restructuring plan is not feasible.
Nowhere in the Thirteenth report does it say anything about the sale to the founders being either discontinued, or progressing, and the post above from Aman Johal refers to the 12th report which effectively is now replaced by the 13th report.
The reality is the first sentence of number 44 shown below. There in a lack of stakeholder support for a going-concern restructuring plan. The monitor has lost faith that it is feasible.

We will wait to see what the courts decide but almost always the court sides with the monitor which is asking for funds to manage an orderly wind down of the operations. Someone may still come out and purchase certain assets and components of the entity but none of the business entities were profitable without the other combined business entities, so I don't see that happening.
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I agree with this Jim.

Pride was a massive spider web that needs all parts to be "profitable"

Can't see how they can be a going concern if even a small portion is sold off
 
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MikeJr said:
Owners never admit the roof is caving in until it lands on their employees and owner is gone somewhere beautiful with all the cash.

If I worked there, I'd be looking for my next gig.

Keep well,
Mike
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Exactly, they will milk these poor people until the last moment. They are doing everything to avoid creating a panic. People's livelihoods are on the line, they have mortgages, kids, bills etc they have every reason to panic.
 
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I can see why they are putting up a front here, till the music stops everyone has to keep going around the chairs. Imagine, if drivers start to abandon trucks in on-route to where ever they are headed, loads stuck in trailers, product not received. I can see the tow truck companies salivating already lol. At this point I'm sure their customers are not impressed and are approaching their other suppliers for surge capacity, payments being withheld, folks in the offices are probably not showing up to work or breathing down their necks for answers as they should be. One of those situations I wouldn't wish on anyone but PRIDE only has itself to blame for this. The timing of it all couldn't be worse with a really poor jobs market, a lot of these folks are going to be without work for a few months at most before they find their way.
 
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I saw two of their trucks on the QEW yesterday, I guess the people that are still there are staying to the bitter end. I know some customers have pulled the plug on them already and some will stay with them up till the end for pricing.
 
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