Alta Gold Co. Seeks Conversion to Chapter 7 Liquidation.Business Editors LAS VEGAS--(BUSINESS WIRE)--March 9, 2000 Alta Gold Co., debtor-in-possession, (Pink Sheets:ALTAQ) (hereinafter here·in·af·ter adv. In a following part of this document, statement, or book. hereinafter Adverb Formal or law from this point on in this document, matter, or case Adv. 1. "Alta" or the "company") announced that it has asked the U.S. Bankruptcy Court bankruptcy court n. the specialized Federal court in which bankruptcy matters under the Federal Bankruptcy Act are conducted. There are several bankruptcy courts in each state, and each one's territory covers several counties. to convert its Chapter 11 proceeding into a Chapter 7 liquidation The collection of assets belonging to a debtor to be applied to the discharge of his or her outstanding debts. A type of proceeding pursuant to federal Bankruptcy proceeding. Alta's board of directors, its president and chief executive officer and its vice president-operations, have resigned. The company's two remaining officers, John Bielun, senior vice president and chief financial officer and Margo Bergeson, corporate secretary, have elected to remain with the company pending further action by the bankruptcy court. The filing for a Chapter 7 liquidation proceeding was necessitated by the continued deterioration of the company's financial condition and the complete lack of success in finding a viable buyer for either the company or its assets. The bankruptcy court has established March 30, 2000, as the date on which the hearing to convert the case to Chapter 7 will be held. In addition, the court also appointed an outside expert to assist the court in evaluating the company's assets and liabilities. As a result of the foregoing, Alta's continued existence is in substantial doubt and it is anticipated that the company's remaining assets will be liquidated DAMAGES, LIQUIDATED, contracts. When the parties to a contract stipulate for the payment of a certain sum, as a satisfaction fixed and agreed upon by them, for the not doing of certain things particularly mentioned in the agreement, the sum so fixed upon is called liquidated damages. (q.v. under the direction of the bankruptcy court or in some other similar forum. In addition, the extremely weak financial condition of the company will also preclude it from being able to issue any reports as to its results of operations or financial condition for the fourth quarter and year ended Dec. 31, 1999. This news release contains statements that may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. All forward-looking statements are inherently uncertain and the actual results may differ from management's expectations. Further information on potential factors that could affect the financial condition and results of operations of Alta are included in the filings of Alta with the Securities and Exchange Commission, including, but not limited to, Alta's annual report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the fiscal year ended Dec. 31, 1998, and its quarterly reports on Form 10-Q Form 10-Q See 10-Q. for the quarters ended March 31, 1999, June 30, 1999, and Sept. 30, 1999. |
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