Ascent Obtains Extension of Stay of Proceedings and Announces Bi-Weekly Default Status Report

VANCOUVER, British Columbia, Jan. 29, 2020 (GLOBE NEWSWIRE) -- Ascent Industries Corp. (CSE: ASNT) ("Ascent" or the "Company") announces that the Company and certain of its affiliates (collectively, the "Applicants") obtained an order on January 28, 2020 from the Supreme Court of British Columbia (the "Court") extending the stay of proceedings provided by the initial order of the Court dated March 1, 2019 until March 6, 2020.

The Applicants applied for an extension in order to permit the Company to, among other things, prepare and file its 2018 annual financial statements and 2019 interim financial statements as required by applicable Canadian securities laws and CSE policies and complete the implementation of the steps contemplated in the Company's first amended and restated consolidated plan of compromise, arrangement and organization (the "Plan"), including the distribution of common shares of Ascent pursuant to the Plan.

The Applicants also obtained an order from the Court limiting the role of Ernst & Young Inc. (the "Monitor"), the Court-appointed CCAA monitor, in the CCAA proceedings going forward to those duties prescribed by the CCAA, which the Applicants sought on the basis that the cash distributions contemplated under the Plan are now complete and the restructuring activities and tasks for Plan implementation that remain outstanding require limited involvement from the Monitor.

Copies of the Plan and other Court materials and information relating to the Plan and the CCAA proceedings are available on the website maintained by the Monitor at www.ey.com/ca/ascent.  All inquiries regarding the Company's proceedings under the CCAA should be directed to the Monitor by mail at Ernst & Young Inc., Pacific Centre, 700 West Georgia Street, P.O. Box 10101, Vancouver, British Columbia, Canada, V7Y 1C7, Attention:  Jason Eckford, or by e-mail at [email protected].

BI-WEEKLY DEFAULT STATUS REPORT

The Company provides this default status report pursuant to National Policy 12-203 - Cease Trade Orders for Continuous Disclosure Defaults ("NP 12-203") and applicable policy of the British Columbia Securities Commission which applies to companies, such as Ascent, that are the subject of CCAA proceedings.

On May 16, 2019, the Company announced that its audited annual financial statements for the year ended December 31, 2018, including the related management discussion & analysis, and accompanying CEO and CFO certifications (collectively, the "Annual Filings") were not filed by the required filing deadline of April 30, 2019. As of the date hereof, the Company has not filed: (i) its interim financial statements for the three month period ended March 31, 2019 and related management discussion & analysis and accompanying CEO and CFO certifications; (ii) its interim financial statements for the three month period ended June 30, 2019 and related management discussion & analysis and accompanying CEO and CFO certifications; and (iii) its interim financial statements for the three month period ended September 30, 2019 and related management discussion & analysis and accompanying CEO and CFO certifications (collectively, the "Interim Filings") prior to the filing deadlines prescribed under National Instrument 51-102 ? Continuous Disclosure Obligations ("NI 51-102").

As previously reported, Ascent is currently involved in proceedings under the Companies Creditors Arrangement Act (the "CCAA Proceeding"). Ascent is required to file bi-weekly default status reports in accordance with NP 12-203 until such time that the CCAA proceeding is concluded or until the defaults in filing the Annual Filings and Interim Filings are remedied.

The Company reports that there have been no material changes to the information contained in its last bi-weekly default status report dated January 13, 2020. Furthermore, there is no other material information concerning the affairs of the Company that has not been generally disclosed. The Company confirms that, since its last bi-weekly default status report dated January 13, 2020, there have been no failures by it in fulfilling its stated intentions with respect to satisfying the provisions of the alternative information guidelines under NP 12-203. The Company intends to file the Annual Filings and Interim Filings as soon as possible.

About Ascent Industries Corp.
The Company's operations currently include facilities in the United States. In the United States, the Company holds licenses in Oregon (for processing and for distribution of cannabis to any licensed entity in the state) and in Nevada (for cultivation and for production, processing and wholesale distribution of cannabis).

THE CANADIAN SECURITIES EXCHANGE (THE "CSE") HAS NEITHER APPROVED NOR DISAPPROVED THE CONTENTS OF THIS PRESS RELEASE. NEITHER THE CSE OR ITS MARKET REGULATOR (AS THAT TERM IS DEFINED IN THE POLICIES OF THE CSE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION:
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements include, but are not limited to, the anticipated timing of the completion and filing of the Annual Filings and the Interim Filings and the implementation of the Plan. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to general business, economic, competitive, political and social uncertainties. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, Ascent assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.

For further information:

Mark Lotz
[email protected]