Ascalade Communications Inc. will seek protection from creditors under the Companies' Creditors Arrangement Act, the Richmond BC-based maker of telecommunications gear announced today. "These actions are necessary because of the company's inability to fund operations to meet customer demand. This is as a result of significant operational challenges due to difficulty hiring and retaining workers, continued labor and material cost increases, sustained competitive price pressures and foreign exchange variations impacting the business," read a news release. Greg Allen, Ascalade's president said the filing comes after a strategy and operational review revealed significant challenges going forward. "The company believes it has valuable assets located throughout the world and we believe that seeking CCAA protection will allow the company time to restructure its assets and operations and find alternatives that are in the best interest of the company's stakeholders," he said.