Nemaska Lithium Completes Share Exchange with Residual Nemaska Lithium - Seite 2

For purposes of the Tax Act, the Exchange will generally not result, pursuant to subsection 85.1(1) of the Tax Act, in a Canadian Holder realizing a capital loss. A Canadian Holder may, however, elect to realize a capital loss upon the Exchange by including in its return of income for the taxation year in which the Exchange occurred the capital loss, as otherwise determined, resulting from the Exchange.

This summary does not discuss all of the tax considerations potentially applicable to Canadian Holders or to other holders of shares and all holders should consult their own tax advisors as to the federal, provincial and foreign tax considerations applicable to them having regard to their own circumstances. All non-residents of Canada should determine with their own tax advisors if any tax filings are required related to the disposition having regards to their own circumstances.

Questions and Answers About the Exchange

The following are some questions that you, as a shareholder, may have relating to the CCAA proceedings and proposed Transaction and answers to those questions. These questions and answers are of general nature and do not provide all of the information relating to the CCAA proceedings and the Transaction or the matters to be considered in connection thereto and are qualified in their entirety by the more detailed information contained elsewhere in this press release, the proceedings in front of the Superior Court of Québec (Commercial Division) (the “Court”) pursuant to the Companies’ Creditors Arrangement Act (“CCAA”) and related documentation, all of which are important and should be reviewed carefully.

Q:           As a shareholder, will I receive any payment or distribution in connection with the CCAA proceedings?

A:           No. Unfortunately, there is no residual value for shareholders of Residual Nemaska Lithium. Shareholders will not receive any payments for, or distributions on, their shares in connection with the CCAA proceedings.

Q:           Why are my shares of Nemaska Lithium being exchanged?

A:           Your shares are being exchanged (on a one-for-one basis for common shares of Residual Nemaska Lithium) as part of a reorganization of the Corporation and its affiliates. However, as indicated above, unfortunately there is no residual value for shareholders of Residual Nemaska Lithium in connection with the CCAA proceedings.