Canron Construction Inc.

On February 28, 2006, Canron Construction Inc. (the “Applicant”) requested a hearing regarding the Notice of Proposal of the Deputy Superintendent, Pensions, dated January 27, 2006, ordering the Applicant, pursuant to s.88 (2)(c) of the Pension Benefits Act (the “Act”)  to file a revised version of a wind up report, dated June 3, 2004, with respect to the wind up of the Plan, within 30 days of the Notice of Proposal.  The revised wind up report was to include provision for payment of bridge benefits, under clause 8.02(d) of the Plan, for all plan members affected by the wind up who had a combination of age plus years of service totalling 85 or, who would have grown into age plus years of service totalling 85 at retirement if they had age plus years of service totaling 55.

The Notice of Proposal indicates that the reason for the proposal is that the report should have shown the bridge benefits as a liability of the Plan, even though the members who would have been entitled to those benefits were terminated, since s. 74(3) of the Act provides that such benefits shall be included in calculating the pension benefits, on the wind up of a pension plan, of employees with at least 10 years of continuous employment or at least 10 years of membership in the plan.

A pre-hearing conference was scheduled for May 19, 2006.  On March 29, 2006, the Applicant requested a postponement of the pre-hearing conference in order to allow for settlement discussions between the parties.  The Tribunal postponed the pre-hearing conference and a settlement conference was scheduled for May 18, 2006.  The matter did not settle and the pre-hearing conference was rescheduled to July 10, 2006.