F-3.1.2 - Act to establish Fondaction, le Fonds de développement de la Confédération des syndicats nationaux pour la coopération et l’emploi

Section 24 Disposition versions

1999-10-22

24. The Fund may not contract any loan that would cause the current principal of its total debt to exceed 100% of the total consideration paid for its class “A” and class “B” shares or fractional shares.

For the purposes of this section, “total debt” means the amount obtained by applying the following equation:

x = the debt of the Fund + y1 [debt of any subsidiary of the Fund + y2 (debt of any subsidiary of the particular subsidiary of the Fund)]

where

x = the total debt of the Fund; and

y1 = the percentage of the shares carrying voting rights held, directly or indirectly, by the Fund in the capital stock of its particular subsidiary; and

y2 = the percentage of the shares carrying voting rights held, directly or indirectly, by the particular subsidiary of the Fund in the capital stock of the particular subsidiary of that subsidiary of the Fund.

Furthermore, the debt of a subsidiary does not include the principal of a loan granted to the subsidiary by the parent legal person, either directly or by subscription for any evidence of indebtedness.

This equation applies, with the necessary modifications to any subsidiary of a subsidiary, in descending line.

1995, c. 48, s. 24; 1999, c. 40, s. 136.

1995-06-22

24. The Fund may not contract any loan that would cause the current principal of its total debt to exceed 100 % of the total consideration paid for its class “A” and class “B” shares or fractional shares.

For the purposes of this section, “total debt” means the amount obtained by applying the following equation:

x = the debt of the Fund + y1 [debt of any subsidiary of the Fund + y2 (debt of any subsidiary of the particular subsidiary of the Fund)]

where

x = the total debt of the Fund; and

y1 = the percentage of the shares carrying voting rights held, directly or indirectly, by the Fund in the capital stock of its particular subsidiary; and

y2 = the percentage of the shares carrying voting rights held, directly or indirectly, by the particular subsidiary of the Fund in the capital stock of the particular subsidiary of that subsidiary of the Fund.

Furthermore, the debt of a subsidiary does not include the principal of a loan granted to the subsidiary by the parent corporation, either directly or by subscription for any evidence of indebtedness.

This equation, adapted as required, applies to any subsidiary of a subsidiary, in descending line.

1995, c. 48, s. 24.