AMCO FARMS INC. and AMCO PRODUCE INC.

CCAA

^{Page last updated: December 4, 2025}

This page is for information purposes only and you should consult your professional adviser if you have any questions or are uncertain as to your rights or obligations.

Status of File as of November 3, 2025

On November 1, 2025, the Monitor filed its Second Report (the “Second Report”) with the Court to provide the Court with the information concerning:

1. The activities of the Applicants and the Monitor since the First Report;
2. An update on the ongoing SISP, including an update on the Insider Protocol (as defined in the Second Report);
3. The Applicants’ actual cash flows for the period from August 22, 2025 to October 25, 2025 as compared to the cash flow forecast included in the First Report;
4. An updated cash flow forecast for the period from October 26, 2025 to December 13, 2025 prepared in connection with the Applicants’ motion for the Stay Extension Order;
5. The Applicants’ request to approve the activities of the Monitor;
6. The Monitor’s views on the Applicants’ motion for the Stay Extension Order.

On October 30, 2025, the Companies filed their motion with the Court for an order (the “Stay Extension Order”) to, among other things:

1. Extend the Stay Period up to and including December 12, 2025; 
2. Authorize the maximum principal amount the Applicants can borrow under the DIP Facility to $5,100,000 and accordingly increase the DIP Lender’s Charge from $4,100,000 to $5,100,000; and
3. Approve the Pre-Filing Report of the Monitor, the First Report of the Monitor and the Second Report of the Monitor and the activities of the Monitor and its legal counsel as described therein.

The motion will be heard on November 3, 2025.

Status of File as of September 4, 2025

On September 2, 2025, the Court issued

1. The Amended and Restated Initial Order which, among other things:
   1. Extended the Stay Period up to and including November 14, 2025;
   2. Approved an increase to the amount of the DIP Facility to $4,100,000;
   3. Approved an increase to the amount of each, the Administrative Charge and the Directors’ Charge, to $550,000;
   4. Declared that Hydro-One, Enbridge Gas Inc. and the Municipality of Leamington provide services to the Companies on specified terms;
   5. Approved the KERP for certain employees of the Companies and granted the KERP Charge in the amount of $100,000; and
   6. Sealed confidential information with respect to the KERP; and
2. The SISP Approval Order which, among other things, approved the SISP and authorized the Companies and the Monitor to implement the SISP.

Status of File as of August 31, 2025

On August 31, 2025, the Monitor filed its First Report with the Court (the “First Report”) to provide the Court with information with respect to:

1. The Monitor’s and the Companies’ activity since the Filing Date;
2. The Companies’ cash flow forecast for the period to November 15, 2025;
3. Amendments to the DIP Agreement, KERP and SISP;
4. the intent of the Companies to issue a notice of disclaimer with respect to the right of first offer and right of first refusal agreement, dated April 22, 2024, between AMCO Farms Inc, certain of its related entities and Pure Flavor Farms LP, through its general partner, Pure Flavor Farms GP Inc.;
5. The Monitor’s views on the relief sought by the Companies in connection with the ARIO and SISP Approval Order.

Status of File as of August 29, 2025

On August 29, 2025, in accordance with section 23(1)(ii)(b) of the CCAA and the Initial Order, a notice was sent to all known creditors of the Companies who are owed $1,000 or more.

Status of File as of August 28, 2025

On August 28, 2025, the Companies filed their motion with the Court for:

1. An order (the “Amended and Restated Initial Order” or the “ARIO”) to, among other things:
   1. Extend the Stay Period up to and including November 14, 2025;
   2. Increase the amount of the DIP Facility to $4,100,000;
   3. Increase the amount of each, the Administrative Charge and the Directors’ Charge, to $550,000;
   4. Maintain the supply of electricity by Hydro-One and re-instate the supply of natural gas services by Enbridge Gas Inc. and water services by the Municipality of Leamington;
   5. Approve the key employee retention plan (the “KERP”) for certain employees of the Companies; and
   6. Granting a charge, ranking behind the Administration Charge, the DIP Lender’s Charge and the Directors’ Charge, in the amount of $100,000 (the “KERP Charge”); and
   7. Seal confidential information with respect to the KERP; and
2. An order (the “SISP Approval Order”) to, among other things:
   1. Approve a sale and investment solicitation process (“SISP”); and
   2. Authorize the Companies and the Monitor to implement the SISP.

The motion will be heard on September 2, 2025.

Status of File as of August 22, 2025

On August 22, 2025 (the “Filing Date”), AMCO Farms Inc. and AMCO Produce Inc. (collectively, the “Applicants” or the “Companies”) applied for and received an order (the “Initial Order”) for protection pursuant to the Companies’ Creditors Arrangement Act, R.S.C.1985, c.C-36, as amended (“CCAA Proceedings”) from the Ontario Superior Court of Justice Commercial List (the “Court”).

The Initial Order, among other things:

1. Appointed PricewaterhouseCoopers Inc., LIT (“PwC”) as monitor of the Companies (the “Monitor”);
2. Approved a stay of proceedings up to and including September 2, 2025 (“Stay Period”), which applies against the Companies, the Monitor, or any of their respective employees and representatives, any of the former, current or future directors or officers of the Companies and their Property or Business (as defined in the Initial Order);
3. Authorized the Applicants to continue utilizing their existing central cash management system or replace it with another substantially similar central cash management system (the “Cash Management System”);
4. Directed that the supply of electricity services to the Companies by Hydro One Networks Inc. shall be immediately reinstated and maintained until the date of the Comeback Hearing (as defined below);
5. Granted a first ranking charge, in the amount of $400,000 (the “Administration Charge”), on the Property of the Companies, as security for the professional fees and disbursements of the Monitor, the Monitor’s counsel and the Companies’ counsel, which charge shall rank in priority to all other security interests, trusts, liens, charges and encumbrances, claims of secured creditors, statutory or otherwise;
6. Authorized the Companies to borrow under a credit facility from the Royal Bank of Canada (“RBC” or the “DIP Lender”) in order to finance the Companies’ working capital requirements and other general corporate purposes and capital expenditures, provided that borrowings under such credit facility shall not exceed $750,000 (the “DIP Facility”), unless permitted by further order of this Court; and
7. Granted a second ranking charge in favour of the DIP Lender over the Property of the Companies to a maximum amount of $750,000, as security for the DIP Facility (the “DIP Lender’s Charge”); and
8. Granted a third ranking charge, in the amount of $225,000 (the “Directors’ Charge”), on the Property of the Companies, as security for the indemnity granted to the Companies’ directors and officers, which charge shall rank in priority to all other security interests, trusts, liens, charges and encumbrances, claims of secured creditors, statutory or otherwise.

In accordance with section 23(1)(ii)(b) of the CCAA and the Initial Order, a notice will be sent to all known creditors of the Companies who are owed $1,000 or more.

On September 2, 2025 (the “Comeback Hearing”), the Companies intend to seek from the Court an Amended and Restated Initial Order (the “ARIO”) and the SISP Approval Order.