Canetic Resources Trust announces filing and mailing of Information Circular and Special Meeting details
December 06 2007 - 6:10PM
PR Newswire (US)
CALGARY, Dec. 6 /PRNewswire-FirstCall/ -- (CNE.UN - TSX; CNE -
NYSE) Canetic Resources Trust ("Canetic") wishes to inform
unitholders that the Notice of Special Meeting, Information
Circular and related documents in respect of the proposed
combination of Penn West Energy Trust and Canetic has been filed
effective December 6, 2007. Mailing of the Information Circular and
related documents to Canetic unitholders commenced on December 6,
2007. The Information Circular contains a detailed description of
the Arrangement and is available on SEDAR (http://www.sedar.com/)
and EDGAR (http://www.sec.gov/), as well as on the Canetic website
at http://www.canetictrust.com/. The Special Meeting of Canetic
Unitholders to vote on the Arrangement will be held on Wednesday,
January 9, 2008 at the Metropolitan Conference Centre, 333 - 4th
Avenue S.W., Calgary, Alberta at 9:00 a.m. Mountain Standard Time.
Under the terms of Arrangement, each Canetic unit will be exchanged
for 0.515 of a Penn West unit. Canetic unitholders will also
receive a one-time special distribution of CDN $0.09 per Canetic
unit intended to equalize the distribution payment of both entities
for a period of six months. The Arrangement should generally not
give rise to any capital gain or capital loss to Canetic
Unitholders under Canadian federal income tax laws and is intended
to qualify as a tax-free reorganization under U.S. federal income
tax laws. Canadian unitholders will have the option to elect to
have the exchange carried out as a taxable exchange for Canadian
federal tax purposes as outlined in the Information Circular.
Canetic unitholders resident in jurisdictions other than Canada or
the U.S. should consult their own legal and tax advisors with
respect to the tax consequences associated with this election. The
Arrangement is subject to a number of conditions including, but not
limited to, the approval of at least 66 2/3 percent of votes cast
in person or by proxy at the Special Meeting of Canetic
Unitholders, as well as court and regulatory approvals and other
conditions that are typical of transactions of this nature.
Provided that Canetic Unitholders approve the Arrangement at the
Special Meeting, and that all of the other conditions to the
completion of the Arrangement are satisfied, the earliest
completion date for the transaction is anticipated to be January
11, 2008 and may be later depending upon the timing of the receipt
of regulatory approvals. Canetic is one of Canada's largest oil and
gas royalty trusts. Canetic trust units and debentures are listed
on the Toronto Stock Exchange under the symbols CNE.UN, CNE.DB.A,
CNE.DB.B, CNE.DB.C, CNE.DB.D, and CNE.DB.E and the trust units are
listed on the New York Stock Exchange under the symbol CNE. For
further information, please see the website at
http://www.canetictrust.com/ or contact Canetic investor relations
by email at: or toll free telephone at 1-877-539-6300. ADVISORY:
Certain information contained in this news release, including
statements with respect to the closing date and tax treatment of
the merger with Penn West Energy Trust may constitute
forward-looking statements under applicable securities law and
necessarily involve risks, including, without limitation, risks
associated with obtaining unitholder and required regulatory
approvals, risks associated with taxation authorities disagreeing
with the tax analysis described above, and changes in tax laws or
the application thereof. As a consequence, actual results may
differ materially from those anticipated in the forward-looking
statements. Readers are cautioned that the foregoing list of
factors is not exhaustive. Additional information on these and
other factors that could affect Canetic's operations or financial
results are included in reports on file with applicable securities
regulatory authorities and may be accessed through the SEDAR
website (http://www.sedar.com/), the SEC's website
(http://www.sec.gov/) or at Canetic's website
(http://www.canetictrust.com/). DATASOURCE: Canetic Resources Trust
CONTACT: Investor Relations, (403) 539-6300, Toll Free -
1-877-539-6300, , http://www.canetictrust.com/
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