The Claims Network

Valuation for Insurance Industry

The Claims Network Inc. is a service provider to the property and casualty insurance industry.  As the largest shareholder, Gossan holds a 66.34% equity interest in The Claims Network Inc. (TCN).  TCN is a web-based enterprise engaged in providing the insurance industry with on-site claims reporting of losses, contents loss valuations, and content claims software.

TCN has representatives across Canada that can be dispatched to loss sites to take immediate inventories of damaged contents.  In terms of its assessment services, the Company values insurance claims losses using its highly trained staff and its extensive proprietary data library of product specifications and price information.  TCN has also initiated marketing to insurance companies in the USA.

TCN’s innovative software allows insurance claims to be resolved and settled much faster than traditional methods.  This helps insurance companies to control their costs and improves customer service to their policy holders.

On September 23, 2011, Gossan received an offer for the sale of its entire 66.3% equity interest in The Claims Network Inc. (TCN) for a net sale price of $1.4 million.  The transaction is subject to a first right of refusal by existing TCN shareholders, the execution of a definitive agreement with the offeror and the approval of the TSX Venture Exchange, if necessary.  The transaction is expected to close in December 2011, however, no assurance can be provided that the transaction will be completed.

In February 2011, TCN paid Gossan a dividend of $306,749.

In October 2011, TCN paid Gossan a dividend of $115,030.