Hollinger Inc.: Settlement of Claims Against Ralph Barford

TORONTO, May 16, 2012 /CNW/ - The Litigation Trustee of Hollinger Inc. and Ralph Barford announced today that they have entered into a settlement agreement to resolve all claims against Mr. Barford, a former director of Hollinger Inc. The terms of the settlement include a dismissal of the lawsuit brought by Hollinger Inc. against Mr. Barford, an agreement by Hollinger Inc. to seek approval to make a $250,000 priority payment to Mr. Barford toward his costs in defending that lawsuit, an agreement by Hollinger Inc. to allow Mr. Barford to claim the balance of his costs into the estate of Hollinger Inc., and releases in favour of Mr. Barford, both by Hollinger Inc. and its subsidiaries (other than Chicago Newspapers Liquidation Corp., formerly known as the Sun-Times Media Group Inc., which Hollinger Inc. no longer controls) and by third parties involved in related Hollinger litigation. The settlement and the releases are subject to court approval, which will be sought on notice to other affected parties.

Hollinger Inc. and its subsidiaries, Sugra Ltd. and 4322525 Canada Inc., are currently subject to proceedings in Canada under the Companies' Creditors Arrangement Act (Canada) and in the United States under Chapter 15 of the U.S. Bankruptcy Code.

The securities of Hollinger Inc. are subject to a cease trade order issued by the Ontario Securities Commission on July 23, 2008. Hollinger's common shares and Series II preference shares were delisted from the Toronto Stock Exchange on August 22, 2008.

Media contact:

For Hollinger Inc. 

William E. Aziz
Chief Restructuring Officer
416.640.7122
[e-mail]

For Ralph Barford

Susan Reisler
Vice-President, Media Profile
416.504.8464 ext. 285
[e-mail]