District of: AlbertaDivision No: 02 —CalgaryCourf No 25-2160227Estafe No. 25-27 60227

FARM ~0

Reporf ofi Trustee on Proposal(Section 59(1) and paragraph ~8~d) of the Act)

I n fihe matter of the proposal ofCoil Works Inc.

of the City of Calgary, in the Province of Alberta

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We, Hardie & N<elly Inc., the trustee act9ng in the proposal of Coil Works Inc., hereby report to the Courfi as follows:

1. That a proposal was filed with us on the 27~~~ da1~ of September 2016, a copy ~f v~hich is attached andmarked as Exhibit "A", and thaf v~e~ f led a copy o~ the proposal with fihe official receiver an the 27th day ofSeptember 2016.

2. That on the 30th day of September 2016, we gave notice to tie debtor, to the division office and to everyknown creditor affected by the proposal, v~hose names and addresses are shown in Exhibit "B" to 4hisreport, o~ the calling of a meeting of creditors to be held on the ~ 7fih day of October 2016 to consider thepraposa(.

3. That with the notice was included a condensed statement ~af fihe assets and liabilities of the debtor, a I+st ofthe credifiors affected by the proposal who hive claims of $250 or more and showing the amounts of theirclaims, a copy of the proposal, a form of proof of claim and proxy in blank and a voting letter. Copies of thenofiice, the condensed statement ar~d the list of cr~ditars are attached and marked as Exhibifis "C1", "C2"and "C3", respectively.

4. That tl~e Statement of Affairs was revised an Ocfio~er 13, 2016, to restate the preferred claims of certaindormer employees of Cail Works Inc. That vuith the Revised Statement of A#fairs arras included a letter to theaffected creditors advising of the revision. A copy of fhe October 13, 20~ 6 le#ter and a copy of the RevisedSfiaternent of Afifairs, which was signed on October 24, 2016, are afitach~d and mar{;ed as Exhibit "D".

5. That prior to the meeting of creditors we made a detailed and careful inquiry into the liabilities of the debtor,fhe debtor's assefs and their value, the debtor's conduct and the causes of the debtor's insolvency.

6. That fihe meeting of creditors was held on the 17th day of October 2016, and was presided over by CharlaSmith.

7. That the proposal was accepfed by the required majority of creditors.

8. That a copy of the minutes of the meeting is attached and marked as Exhibit "E",

9. That we are of the opinion that.

a} the assets og fihe debtor and their #air realizable value are as folloV~s:

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