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CFCF TAKEOVER HITS RED TAPE

Groupe Videotron Ltee's attempt to take over CFCF Inc. has hit a regulatory snag. A CFCF shareholders' vote on the takeover to have been held last week was delayed by the Quebec Securities Commission when a group of foreign debenture holders demanded the right to vote on the amalgamation as a separate class. The debenture holders, consisting of Silverton International Fund of Bermuda, Sunrise Partners LLC of the U.S. and American Lane Partners of the U.S., are seeking a new evaluation of the worth of those holdings before they will give their approval for the Videotron takeover.

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