TORONTO, CANADA--(Marketwired - Dec. 3, 2014) - Pinetree Capital Ltd. (TSX:PNP)(TSX:PNP.DB) announces that further to its December 2, 2014 press release, Equity Financial Trust Company, as trustee under the convertible debenture indenture dated May 17, 2011, as supplemented by the first supplemental indenture dated December 11, 2012 and the second supplemental indenture dated September 12, 2013 (collectively, the "Indenture"), in each case, between the company and Equity Financial, which govern Pinetree's 10% convertible unsecured subordinated debentures due May 31, 2016, has given notice to Pinetree pursuant to the Indenture that the company is in default of the debt covenant which prohibits Pinetree from incurring additional indebtedness if, after giving effect thereto, the aggregate amount of the company's debt would exceed 33% of the total value of its assets, as reflected on its (unaudited) consolidated balance sheet as at the last day of the immediately preceding month. As Pinetree previously announced, it incurred $3.3 million of additional indebtedness in contravention of the covenant.

In accordance with the Indenture, Pinetree is required to cure or obtain a waiver for the default by January 2, 2015. Failure to obtain a waiver or to cure will constitute an event of default under the Indenture. The company anticipates repaying the additional indebtedness prior to the calendar year end.