Crucial 2015 Annual Report Download - page 24

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22
Because the plans of reorganization of the MMJ Companies provide for ongoing payments to creditors following the
closing of the MMJ acquisition, the Japan Proceedings are continuing and the MMJ Companies remain subject to the oversight
of the Japan Court and of the trustees (including a trustee designated by us, who we refer to as the business trustee, and a
trustee designated by the Japan Court, who we refer to as the legal trustee), pending completion of the reorganization
proceedings. The business trustee makes decisions in relation to the operation of the businesses of the MMJ Companies, other
than decisions in relation to acts that need to be carried out in connection with the Japan Proceedings, which are the
responsibility of the legal trustee. The Japan Proceedings and oversight of the Japan Court will continue until the final creditor
payment is made under the MMJ Companies' plans of reorganization, which is scheduled to occur in December 2019, but may
occur on a later date to the extent any claims of creditors remain unfixed on the final scheduled installment payment date. The
MMJ Companies may petition the Japan Court for an early termination of the Japan Proceedings once two-thirds of all
payments under the plans of reorganization are made. Although such early terminations are customarily granted, there can be
no assurance that the Japan Court will grant any such petition in these particular cases.
During the pendency of the Japan Proceedings, the MMJ Companies are obligated to provide periodic financial reports to
the Japan Court and may be required to obtain the consent of the Japan Court prior to taking a number of significant actions
relating to their businesses, including transferring or disposing of, or acquiring, certain material assets, incurring or
guaranteeing material indebtedness, settling material disputes, or entering into certain material agreements. The consent of the
legal trustee may also be required for matters that would likely have a material impact on the operations or assets of the MMJ
Companies and their subsidiaries or for transfers of material assets, to the extent the matters or transfers would reasonably be
expected to materially and adversely affect execution of the plans of reorganization of the MMJ Companies. Accordingly,
during the pendency of the Japan Proceedings, our ability to effectively integrate the MMJ Companies as part of our global
operations or to cause the MMJ Companies to take certain actions that we deem advisable for their businesses could be
adversely affected if the Japan Court or the legal trustee is unwilling to consent to various actions that we may wish to take
with respect to the MMJ Companies.
For a discussion of other legal proceedings, see "Part II Financial Information – Item 8. Financial Statements and
Supplementary Data – Notes to Consolidated Financial Statements – Contingencies" and "Item 1A. Risk Factors."
ITEM 4. MINE SAFETY DISCLOSURES
Not Applicable.