/raid1/www/Hosts/bankrupt/TCR_Public/101104.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
Thursday, November 4, 2010, Vol. 14, No. 306
Headlines
3020 DELMAR: Case Summary & 17 Largest Unsecured Creditors
ACORN INC: Files for Chapter 7 Bankruptcy Protection
ACTIVANT SOLUTIONS: S&P Puts 'B-' Rating on CreditWatch Positive
ADVANCE NANOTECH: Says Owlstone Has Value; Gives Bankr. Warning
AGRI-BEST: Gets Court OK to Hire Focus as Financial Advisor
ALAN ARTINO: Case Summary & 20 Largest Unsecured Creditors
AMBAC FINANCIAL: S&P Changes Counterparty Credit Rating to 'D'
AMERICAN COMMERCIAL: Plan of Distribution Hearing on Dec. 1
AVBSS INC: Case Summary & 16 Largest Unsecured Creditors
AVON LAKES: Case Summary & 10 Largest Unsecured Creditors
BAINBRIDGE SHOPPING: Has Access to Cash Collateral Until Nov. 9
BAINBRIDGE SHOPPING: Hearing on Plan Outline Set for November 9
BCAC LLC: Hearing on Access to PNC's Cash Set for November 9
BENTWOOD PLACE: Case Summary & 20 Largest Unsecured Creditors
BLOCKBUSTER INC: Gets Approval for A&M as Restructuring Officer
BLOCKBUSTER INC: Proposes Deloitte as Tax Advisor
BLOCKBUSTER INC: Wins Nod for Weil Gotshal as Bankr. Counsel
BOSTON GENERATING: Bankr. Court Can Preside Over Sale of Plants
BURLINGTON TELECOM: Misses Debt Payment; In Talks with Lender
CALIFORNIA COASTAL: Has Access to Keybank's Cash Until December 1
CARPENTER CONTRACTORS: Has Interim OK to Tap Rice as Counsel
CARPENTER CONTRACTORS: Sec. 341(a) Meeting Scheduled for Dec. 17
CFRI/GREENLAW: Has Until February 15 to Propose Chapter 11 Plan
CHEM RX: Judge Approves Sale to PharMerica for $70 Million
CLAIM JUMPER: Court OKs Sale of All Assets to Landry's
CLINCH MTN: Voluntary Chapter 11 Case Summary
CONDITIONED REALTY: Case Summary & 3 Largest Unsecured Creditors
CONGRESS MATERIALS: Case Summary & 20 Largest Unsecured Creditors
CONGRESS SAND: Case Summary & 15 Largest Unsecured Creditors
CONTECH CONSTRUCTION: S&P Cuts Corporate Credit Rating to 'SD'
CONTEMPORARY LIFESTYLES: Voluntary Chapter 11 Case Summary
COUNTRY FRESH: Case Summary & 20 Largest Unsecured Creditors
COUNTRY WAY: Voluntary Chapter 11 Case Summary
CROWDGATHER INC: Raises $1.3MM in Series A Preferred Stock Sale
DBSI INC: Foley Lardner, Young Conaway Accused of Malpractice
DEAN MASSI: Case Summary & 14 Largest Unsecured Creditors
DEUCE CONSTRUCTION: Voluntary Chapter 11 Case Summary
DELTA AIR: Judge Berman Remands TIA/SLV Dispute to Bankr. Court
DELTA AIR: Three Govt. Offices Withdraw Claims
DOUBLE D PARK: Case Summary & 2 Largest Unsecured Creditors
DEVELOPERS DIVERSIFIED: Fitch Puts 'BB' Rating to $305 Mil. Notes
DJM HOLDINGS: Case Summary & 20 Largest Unsecured Creditors
DOLLAR GENERAL: Moody's Upgrades Corporate Family Rating to 'Ba3'
DOUGLAS HUNTINGTON: Case Summary & 20 Largest Unsecured Creditors
DUNHILL ENTITIES: Chapter 11 Reorganization Case Dismissed
EDG HOLDINGS: Liens on Environmental Recoveries Not Avoidable
EFFECTIVE CONTROL: Chapter 15 Case Summary
ELITE LANDINGS: Creditor Withdraws Request for Ch. 7 Conversion
ELMER DUNBAR: Case Summary & 14 Largest Unsecured Creditors
ENERGY XXI: S&P Raises Corporate Credit Rating to 'B'
ENRON CORP: The Regents Wants Post-Oct. 12 Claims Denied
ENRON CORP: The Regents Wants Roig & Alentorn Calims Denied
EXCO RESOURCES: Moody's Gives Developing Outlook; Puts 'B1' Rating
EXCO RESOURCES: S&P Puts 'BB-' Rating to CreditWatch Negative
FAIRWAY, LLC: Case Summary & 19 Largest Unsecured Creditors
FORD MOTOR: Says October 2010 Sales Up 19%
FULLER-AUSTIN: Court Permits Excess Insurer to Submit Evidence
GAS CITY: Gets Nod for Kurtzman Carson Consultants as Claims Agent
GATEWAY CASINOS: Moody's Assigns 'B1' Corporate Family Rating
GAYLORD ENTERTAINMENT: S&P Affirms 'B' Corporate Credit Rating
GENERAL MOTORS: Says Sales on Four Brands Increased 13%
GENERAL MOTORS: Expects to Report $34-Bil. in Q3 Revenues
GENERAL MOTORS: Selling 365 Million Shares in IPO
GENERAL MOTORS: Fitch Upgrades Issuer Default Rating to 'BB-'
GENERAL MOTORS: District Judge Denies Sizemore Appeal
GLOBAL CAPACITY: Seeks to Close $29.5-Mil. Asset Sale to Lender
GRACE TOWNE: Case Summary & 3 Largest Unsecured Creditors
GREEN MOUNTAIN: S&P Gives Stable Outlook; Affirms 'B' Rating
GROVE FARM FISH: Expansion Woes, Investor Rift Prompt Bankruptcy
GROVE FARM FISH: Case Summary & 20 Largest Unsecured Creditors
GYMBOREE CORPORATION: Moody's Assigns 'B2' Corporate Family Rating
HARRISBURG, PA: Lacks Funds for Nov. 15 Debt Payments
H & H TRACKWORKS: Case Summary & 20 Largest Unsecured Creditors
HIL-BROOK PROPERTIES: Case Summary & Creditors List
IBIO INC: Raises $6 Million in Financing from Private Offering
IGWT LLC: Case Summary & 2 Largest Unsecured Creditors
INTERLINE BRANDS: Moody's Assigns 'B2' Rating to Senior Notes
INTERLINE BRANDS: S&P Gives Positive Outlook; Affirms 'BB-' Rating
INSIGHT HEALTH: Misses Payment; In Talks for Restructuring Plan
INSIGHT HEALTH: Nonpayment of Notes Cues S&P's 'D' Rating
JARDEN CORPORATION: Moody's Puts 'Ba3' Rating on $250 Mil. Notes
JARDEN CORP: S&P Assigns 'BB-' Rating to $300 Mil. Notes
JASON POWERS: Voluntary Chapter 11 Case Summary
JOINT-HEIRS MINISTRIES: Case Summary & Creditors List
KAREN BAZEMORE: Case Summary & 3 Largest Unsecured Creditors
KEANE INTERNATIONAL: NTT Data Deal Won't Affect Moody's Ratings
KHALIDI PROPERTIES: Case Summary & 5 Largest Unsecured Creditors
LAKE OF THE LANTERNS: Case Summary & 3 Largest Unsecured Creditors
LANDRON & VERA: Case Summary & 20 Largest Unsecured Creditors
LEHMAN BROTHERS: Allows State Street Bank to Pursue Action
LEHMAN BROTHERS: Allows Capital One to Pursue Action
LEHMAN BROTHERS: FirstBank Suit v. Barclays Sent to Bankr. Court
LEHMAN BROTHERS: $2 Bil. in Claims Change Hands in September
LESLIE'S POOLMART: S&P Assigns 'BB-' Rating to $225 Mil. Loan
LOUIE DI RAIMONDO: Case Summary & 20 Largest Unsecured Creditors
LOUIS DI RAIMONDO: Case Summary & 20 Largest Unsecured Creditors
MA CEDAR: Case Summary & 8 Largest Unsecured Creditors
MAGIC BRANDS: Luby's Wants Out of Nine Fuddruckers Deals
MAMADOU SYLLA: Case Summary & 20 Largest Unsecured Creditors
MANSIONS AT HASTINGS: Court Extends Schedules Filing Until Nov. 17
MANSIONS AT HASTINGS: Sec. 341(a) Meeting Scheduled for Nov. 18
MANSIONS AT HASTINGS: Taps Hoover Slovacek as Bankr. Counsel
MASSEY ENERGY: Labor Dept. Seeks Closure of Kentucky Coal Mine
MCCABE PROPERTIES: Case Summary & 16 Largest Unsecured Creditors
MED BIOGENE: Mulls Sale of Assets or Liquidation After IPO Fails
MESA AIR: ELFC Wants Admin. Expenses Totaling $558,670
MESA AIR: Files Rule 2015.3 Report as of July 31
MESA AIR: Wins Nod to Implement Employee Incentive Plan
METRO-GOLDWYN-MAYER: Commences Pre-Packaged Chapter 11 Cases
METRO-GOLDWYN-MAYER: Case Summary & 50 Largest Unsecured Creditors
MICHAEL CARTER: Case Summary & Largest Unsecured Creditor
MOLECULAR INSIGHT: Gets Nov. 19 Waiver Extension from Bondholders
MOSTELAC ENTERPRISES: Case Summary & 2 Largest Unsecured Creditors
MUELLER ELECTRIC: Case Summary & 20 Largest Unsecured Creditors
NATIONAL CENTURY: Court Won't Cut Faulkenberry's 10-Year Sentence
NATIONAL CENTURY: Former Exec. Rebecca Parrett ARRESTED in Mexico
NCL CORPORATION: Moody's Assigns 'Caa1' Rating to $200 Mil. Bonds
NEXT 1: Signs $15 Million Purchase Agreement with Lincoln Park
NORTH GENERAL HOSPITAL: Creditors File $150MM Suit vs. DASNY
NY TIMES: Note Upsizing Won't Affect S&P's 'B+' Rating on Notes
ODYSSEY (VI) COMMERCIAL: Voluntary Chapter 11 Case Summary
OWENS CORNING: 6th Circuit Affirms Dismissal of ERISA Suit
OWENS CORNING: PI Claimants Serve Subpoena on Asbestos Trust
OWENS CORNING: PI Trust Wants to Reopen Case to Pursue Lawsuit
PAJAAMCO FAMILY: Confirmation Hearing Continued Until Nov. 17
PALM BEACH: Chapter 11 Trustee's Liquidation Plan Wins Court OK
PAIN CONTROL: Case Summary & 20 Largest Unsecured Creditors
PANTHER MOUNTAIN: E.D. Ark. Denies Lender Relief From Stay
PATRICIA MOODY: Voluntary Chapter 11 Case Summary
PAXTON MEDIA: S&P Assigns 'B+' Corporate Credit Rating
PHOENIX EAGLE: Case Summary & 6 Largest Unsecured Creditors
PROFESSIONAL VETERINARY: Board Elects Vicky Winkler President/CEO
QUINCY STREET: Voluntary Chapter 11 Case Summary
RAEBURN & ASSOCIATES: Case Summary & 8 Largest Unsecured Creditors
REDD WOLF: Case Summary & 20 Largest Unsecured Creditors
RIVIERA HOLDINGS: U.S. Trustee Objects to Plan's Releases
ROBERT ALLEN: Case Summary & 12 Largest Unsecured Creditors
ROBERT JONES: Case Summary & 15 Largest Unsecured Creditors
SEMINOLE TRIBE: Moody's Confirms 'Ba1' Corporate Family Rating
SI ORGANIZATION: Moody's Assigns 'B2' Corporate Family Rating
SI ORGANIZATION: S&P Assigns 'B' Corporate Credit Rating
STANFORD REGENCY: U.S. Trustee Wants Case Converted to Chapter 7
STEPHEN BERNSTEIN: Case Summary & 20 Largest Unsecured Creditors
STEPHEN KASINETZ: Case Summary & 6 Largest Unsecured Creditors
STEPHEN TAYLOR: Case Summary & 10 Largest Unsecured Creditors
SYLVIA LEE: Case Summary & 8 Largest Unsecured Creditors
TERRESTAR NETWORKS: Court to Conduct Initial Case Conf. on Nov. 16
TERRESTAR NETWORKS: EB to Book EUR8.3MM Provision on Receivable
TERRESTAR NETWORKS: Preferreds Want 7 Affiliates' Cases Dismissed
THYME LEWIS: Case Summary & 7 Largest Unsecured Creditors
TRACY BROADCASTING: Bank Has No Lien on FCC Licence Fee Proceeds
TRIDIMENSION ENERGY: Sanchez Sale Hearing Set for Nov. 17
TRITT CONSTRUCTION: Case Summary & 20 Largest Unsecured Creditors
TRONOX INC: Reaches Settlement With Equity Committee
TROPICANA ENTERTAINMENT: Owners Fight Over Share in Kirkland Fees
UNITED SCIENCE: Lien on Environmental Recovery Not Avoidable
UNIVERSAL BUILDING: Turns to Court in Search Of Lender Support
US AIRWAYS: Remains Open to Merger Possibilities
US AIRWAYS: Wellington Discloses 6.15% Equity Stake
VICENTE GARCIA, SR.: Case Summary & 20 Largest Unsecured Creditors
WCI COMMUNITIES: Insurer Objects to Drywall Trust Procedures
WIND MOUNTAIN: Case Summary & 2 Largest Unsecured Creditors
WOLVERINE TUBE: Receives Court Approval of All First Day Motions
YELLOWSTONE MOUNTAIN: District Judge Overturns Reorganization
* Former Fannie Mae Ass. Gen. Counsel Joins McCalla Raymer
* Chapter 11 Cases With Assets & Liabilities Below $1,000,000
*********
3020 DELMAR: Case Summary & 17 Largest Unsecured Creditors
----------------------------------------------------------
Debtor: 3020 Delmar Lane Sierra Ridge Fiduciary Estoppel Land
Trust
238 Golf Crest Drive
Acworth, GA 30101
Bankruptcy Case No.: 10-93261
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Northern District of Georgia (Atlanta)
Judge: Wendy L. Hagenau
Debtor's Counsel: David G. Carter, Esq.
THE CARTER LAW PRACTICE, LLC
3355 Lenox Road, Suite 750
Atlanta, GA 30326
Tel: (404) 872-5959
Fax: (404) 872-5979
E-mail: dcarter@carterlawpractice.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 17 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ganb10-93261.pdf
The petition was signed by J. M. Florence, CEO of Freeport Title &
Guaranty, trustee.
ACORN INC: Files for Chapter 7 Bankruptcy Protection
----------------------------------------------------
The Association of Community Organizations for Reform Now, Inc.,
filed for Chapter 7 bankruptcy protection on November 2, 2010.
Crain's New York Business reports that seven different Acorn
entities made Chapter 7 filings in U.S. Bankruptcy Court in
Brooklyn. In the main filing, the group listed a little more than
$4 million in liabilities, including $1 million owed to Forest
City Ratner, the developer of the Atlantic Yards mega project.
Forest City had lent Acorn the money in 2009, after CEO Bertha
Lewis took over the national organization.
Crain's says the Pennsylvania Bureau of Charities, which registers
and administers charities in that state, is owed $750,000.
According to Crain's, other notable debtors include the New Jersey
Department of Labor and Workforce Development, the New York State
Workers Compensation Board and GE Capital. The Debtors listed
$115,000 in assets, Crain's notes.
CEO Lewis said in a statement posted on its Web site, "The impact
of ACORN's highly effective strategies spread throughout the
country, catching the attention of right-wing media and its
proponents. The barrage of unmitigated accusations certainly took
its toll, but even as extremists increased their radicalism, we
continued to make a difference for families in each and every
corner of our nation. We fought bank redlining and predatory
lending for decades, making the American dream of homeownership
more universally available while protecting it against waves of
abusive practices. We helped build a movement for a living wage,
fought for stronger public schools, helped rebuild New Orleans
after Katrina, and won countless improvements in neighborhoods.
As recently as 2009, the organization saved affordable housing in
New York, stood up to anti-immigrant racism in Arizona, and was
fighting for real solutions to the foreclosure crisis, even as the
right fought to stop this work in its tracks."
"The ongoing political onslaught caused irreparable harm. This
effort was a clear attempt to cast a shadow over the historic 2008
Presidential election, and set up a far right counter offense.
Through those attacks we re-tooled and re-organized. Then again
came the right-wing media blitz. This time of edited videos that
misrepresented our mission, and consequently misled the public.
The pressure and cost of defending ourselves in multiple
investigations as a result of the falsified videos has eroded our
organization."
According to Ms. Lewis, "We have seen this coming for some time.
Our chapters closed in the first quarter of the year. We have
spent our remaining resources trying to dissolve the organization
with integrity, while continuing to respond to the extremist
attacks. Allegations and reports will continue to try to
undermine all that ACORN has done, often searching for evidence
from long before I became CEO."
As reported by the Troubled Company Reporter on March 22, 2010,
Huffington Post said ACORN officials warned the group is on the
verge of filing for bankruptcy. According to Huffington Post,
ACORN was hit politically from the right and suffering from
mismanagement along with a severe loss of government and other
funds.
ACORN -- http://www.acorn.org/-- is a collection of community-
based organizations in the United States that advocate for low-
and moderate-income families by working on neighborhood safety,
voter registration, health care, affordable housing, and other
social issues. ACORN has over 400,000 members and more than 1,200
neighborhood chapters in over 100 cities across the U.S., as well
as in Argentina, Canada, Mexico, and Peru. ACORN was founded in
1970 by Wade Rathke andGary Delgado. Maude Hurd has been National
President since 1990; Bertha Lewis was appointed CEO in 2008.
ACTIVANT SOLUTIONS: S&P Puts 'B-' Rating on CreditWatch Positive
----------------------------------------------------------------
Standard & Poor's Ratings Services said it placed all its ratings,
including the 'B-' corporate credit rating, on Livermore,
California-based Activant Solutions Inc. on CreditWatch with
positive implications. The CreditWatch listing reflects the
company's plan to amend its credit agreement to reset covenants
and extend the maturity on its revolver and at least a portion of
its term loan.
Activant's covenant headroom under its 4.50x maximum leverage
covenant as of June 30, 2010, was less than 10% with an upcoming
step-down to 3.75x in the December 2010 quarter. Liquidity is
currently constrained by the narrow covenant position -- S&P has
already factored cash balances of $69 million as of June 30, 2010,
into the net debt calculation for the purposes of determining
covenant compliance. Similarly, the company's current covenant
position constrains access to its $40 million revolver.
Under the proposed amendment, the maximum leverage covenant would
step down only to 4.25x in December 2010 and remain at that level
through 2011. S&P expects that Activant would maintain double-
digit headroom under the new step-down schedule based on a
historically strong September quarter, which is likely to help
provide adequate clearance of the modified December step-down, as
well as moderate debt reduction.
"The expected expanded covenant headroom and related enhanced
liquidity could result in enough improvement to Activant's
financial profile to support a one-notch upgrade," said Standard &
Poor's credit analyst Jennifer Pepper.
In resolving the CreditWatch, S&P will monitor the company's
progress in executing the amendment. Once the transaction has
been completed, S&P would likely raise the company's corporate
credit rating one notch to 'B', based on the alleviation of near-
term covenant issues and associated improvement to the company's
financial profile.
ADVANCE NANOTECH: Says Owlstone Has Value; Gives Bankr. Warning
---------------------------------------------------------------
Advance Nanotech, Inc. (OTCBB: AVNA) released a letter to its
shareholders.
"Dear Shareholders,
I am writing to provide an update on restructuring initiatives
regarding Advance Nanotech's 8% Senior Secured Notes, of which the
first tranche comes due on December 20, 2010. As we have
disclosed previously, Advance Nanotech's primary asset is its
share ownership in Owlstone Inc. Our objective for some time has
been to pursue a transaction with Owlstone where Advance Nanotech
and Owlstone would merge in a stock-for-stock transaction. To
complete such a merger, among other things, Advance Nanotech would
have needed to secure capital to refinance its debt prior to the
merger. We have spoken to a number of investors who would be
interested in providing financing to Advance Nanotech in that
context, which would provide Advance Nanotech with the liquidity
needed to repay its debt. Unfortunately, Owlstone's management
and board have determined that they are not interested in becoming
a public company at this time, nor are they willing to commit to a
specific timetable or process by which Owlstone would become
public via a combination with Advance Nanotech. As a result, it
has been challenging to raise capital for Advance Nanotech as a
minority, non-control owner of Owlstone, with no other operating
business and a capital structure constrained by the terms of our
existing Notes and related warrants.
The good news is that Owlstone continues to make progress in their
business, as evidenced by their most recent shareholder report
that I encourage all of you to read. We remain convinced that the
Owlstone shares that Advance Nanotech owns have a value
substantially in excess of our liabilities, and have the potential
for significant appreciation. Beyond the value of the Owlstone
shares, Advance Nanotech's other significant asset is a net
operating loss carryforward of approximately $20 million, which we
can use only if we remain in business without a change in control.
As a result of these factors, we are seeking a resolution which
satisfies our creditors, allows Advance Nanotech to retain
ownership of as many Owlstone shares as possible, and provides
Advance Nanotech with the opportunity and resources to pursue a
viable operating business.
Recently, we initiated communication with our noteholders on a
restructuring initiative intended to satisfy our indebtedness and
provide a platform for ongoing value for our shareholders. We
presented various alternatives that we believe could be of
interest to our noteholders, and we are following up with each
noteholder to determine where their interest lies. Among the
alternatives, we discussed exchanging Owlstone shares owned by
Advance Nanotech for outstanding Notes and interest, restructuring
the Notes to provide more time for appreciation in the Owlstone
shares, selling our Owlstone shares to a third party in an amount
sufficient to repay the Notes, and converting Notes into common
shares of Advance Nanotech. While it is our intention to provide
a restructuring that includes one or a mixture of the above
alternatives, there is no assurance that the noteholders will be
amenable to these alternatives. If we are unable to come to a
resolution with the noteholders, we may be forced to seek
bankruptcy protection to enable us to come to a resolution that is
fair to all parties.
There are two significant components to the restructuring that
will drive how the restructuring is completed. The first is the
valuation of Owlstone. We have been made aware that Owlstone is
currently pursuing a capital-raising transaction based on a value
approximately $0.70 per Owlstone share. Advance Nanotech owns
approximately 14.0 million shares of Owlstone, which, if valued at
$0.70 per share, would represent a value of approximately
$9.8 million. The second component relates to the go forward
business for Advance Nanotech. We are currently evaluating
potential business opportunities for Advance Nanotech that we
believe will be beneficial for all constituents. If successful in
our restructuring efforts, Advance Nanotech could be left with a
significant equity position in Owlstone, along with an operating
business that can utilize the Advance Nanotech public asset, its
industry expertise, and its tax loss carryforwards to provide
value for all stakeholders.
We are working aggressively on the restructuring initiatives as
set forth above, and will provide updates as warranted throughout
the process. To assist in our efforts on the restructuring, we
have engaged certain external advisors that we believe will be
integral to executing the restructuring.
Thank you for your continued support."
Best regards,
Jon Buttles
Principal Executive Officer
Advance Nanotech, Inc.
About Advance Nanotech, Inc. and Owlstone, Inc.
Advance Nanotech, Inc., owns a minority position in Owlstone, Inc.
Owlstone is a pioneer in the commercialization of chemical
detection products. The Owlstone detector is a revolutionary
dime-sized sensor that can be programmed to detect a wide range of
chemical agents that may be present in extremely small quantities.
Using leading-edge micro- and nano-fabrication techniques,
Owlstone has created a complete chemical detection sensor that is
significantly smaller and can be produced more cost effectively
than products using existing technology. There are numerous
applications -- across industries from security and defense to
industrial process, air quality control and healthcare -- that
depend on the rapid, accurate detection and measurement of
chemical compounds. Owlstone works with market leaders within
these industries to integrate the detector into next generation
chemical sensing products and solutions. Owlstone's technology
offers a unique combination of benefits, including small size, low
manufacturing costs, minimal power consumption, reduced false-
positives, and a customizable platform.
AGRI-BEST: Gets Court OK to Hire Focus as Financial Advisor
-----------------------------------------------------------
Focus Management Group has been appointed as financial advisor to
Agri-Best Holdings, LLC, and Agri-Best Properties, LLC --
collectively doing business as Protein Solutions -- under an order
entered by the U.S. Bankruptcy Court for the Northern District of
Illinois.
Focus Management Group is providing Protein Solutions with
advisory services in the preparation and management of its Chapter
11 case and is assisting the Company in arranging for an orderly
disposition of its assets through the bankruptcy process. Focus
is also assisting Protein Solutions in the preparation of SOFAs,
Schedules and Monthly Operating Reports and providing a broad
range of financial reporting, consulting and advisory services as
required.
Overseeing Protein Solutions through the Chapter 11 process is
Focus Management Group's Managing Director, Sam Williams. Mr.
Williams is a turnaround manager and restructuring specialist with
over twenty-five years of leadership experience in Chapter 11
reorganizations, financial restructurings, operational turnarounds
and distressed business sales. Mr. Williams is based out of the
firm's Chicago office and can be reached at 773-724-2082 or via e-
mail at: s.williams@focusmg.com
About Focus Management Group
Focus Management Group -- http://www.focusmg.com/-- provides
nationwide professional services in turnaround management,
insolvency proceedings, business restructuring and operational
improvement with a senior-level team of 130+ professionals.
Headquartered in Tampa, FL, with offices in Atlanta, Chicago,
Cleveland, Columbus, Dallas, Los Angeles, Philadelphia and
Washington DC, the firm provides a full portfolio of services to
distressed companies and their stakeholders, including secured
lenders and equity sponsors.
About Agri-Best
Chicago, Illinois-based Agri-Best Holdings LLC, dba Protein
Solutions and Agri-Best Properties, LLC, processes and distributes
portion control meat products to national restaurant chains, food
distributors, and consumers.
Agri-Best filed for Chapter 11 bankruptcy protection on October 5,
2010 (Bankr. N.D. Ill. Lead Case No. 10-44595). Agri-Best
estimated its assets and debts at $10 million to $50 million as of
the Petition Date.
Chicago, Illinois-based Agri-Best Properties LLC filed for Chapter
11 bankruptcy protection on October 5, 2010 (Bankr. N.D. Ill. Case
No. 10-44600). Steven B. Towbin, Esq., at Shaw Gussis, Fishman
Glantz, Wolfson & Towbin, LLC, assists Agri-Best Properties in its
restructuring effort. Agri-Best Properties estimated its assets
and debts at $1 million to $10 million.
ALAN ARTINO: Case Summary & 20 Largest Unsecured Creditors
----------------------------------------------------------
Debtor: Alan J. Artino
P.O. Box 10719
Silver Spring, MD 20914-0719
Bankruptcy Case No.: 10-34891
Chapter 11 Petition Date: October 29, 2010
Court: United States Bankruptcy Court
District of Maryland (Greenbelt)
Judge: Wendelin I. Lipp
Debtor's Counsel: Richard B. Rosenblatt, Esq.
THE LAW OFFICES OF RICHARD B. ROSENBLATT
30 Courthouse Square Ste. 302
Rockville, MD 20850
Tel: (301) 838-0098
E-mail: rrosenblatt@rosenblattlaw.com
Estimated Assets: $0 to $50,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Debtor's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/mdb10-34891.pdf
AMBAC FINANCIAL: S&P Changes Counterparty Credit Rating to 'D'
--------------------------------------------------------------
Standard & Poor's Ratings Services said that it revised its
counterparty credit rating on Ambac Financial Group Inc. to 'D'
from 'CC'.
Standard & Poor's also said that it revised its rating on the
company's 7.50% debentures due May 1, 2023, to 'D' to 'CC' and
lowered the ratings on all other senior debt issues to 'C' from
'CC'.
"S&P took these actions following the announcement yesterday that
Ambac Financial's board of directors decided not to make the
regularly scheduled interest payment due yesterday on the
company's 7.50% debentures due May 1, 2023," explained Standard &
Poor's credit analyst David Veno. "S&P believes that this default
is not a selective default on one debt instrument but rather that
Ambac Financial will fail to pay all or substantially all of its
obligations as they come due. Therefore, S&P lowered the ratings
on all of Ambac financial's other debt to reflect the likelihood
of default or a prepackaged bankruptcy."
The operating performance and debt-service needs of Ambac
Financial depend on Ambac Assurance Corp.'s ability to pay
dividends. In 2010, Ambac cannot pay dividends without specific
approval from the Wisconsin Office of Insurance Commissioner. A
resumption of dividends from Ambac, without gaining specific
regulatory approval, will depend on Ambac's return to meaningful
profitability. The rating on Ambac is 'R' following a directive
by the Commissioner of Insurance of the State of Wisconsin to
Ambac to establish a segregated account for certain insured
exposure, primarily policies related to credit derivatives,
residential mortgage-backed securities, and other structured
finance transactions.
AMERICAN COMMERCIAL: Plan of Distribution Hearing on Dec. 1
-----------------------------------------------------------
The Commissioner of Insurance for the State of Michigan, in its
capacity as the Liquidator for American Commercial Liability
Insurance Company since Mar. 2, 1992, will request approval of a
Plan of Distribution from the Honorable William E. Collette in
Attorney General v. American Commercial Liability Insurance
Company, Case No. 91-69270-CR (Mich. Cir. Ct., Ingham Cty.), at
9:00 a.m. on Dec. 1, 2010, in Mason, Mich.
If the Liquidator's motion is granted, the remaining assets of
American Commercial Liability Insurance Company will be
distributed to creditors, and the Liquidator will take the steps
necessary to wind up and close the receivership proceeding.
Objections, if any, must be filed with the Court Clerk in Lansing,
Mich., and received by the Liquidator's Counsel:
Joseph A. Fink, Esq.
Jeffery V. Stuckey, Esq.
DICKINSON WRIGHT PLLC
215 S. Washington Square, Suite 200
Lansing, MI 48933
by Nov. 22, 2010.
AVBSS INC: Case Summary & 16 Largest Unsecured Creditors
--------------------------------------------------------
Debtor: AVBSS, Inc.
3308 Murdoch Avenue
P.O. Box 4240
Parkersburg, WV 26104
Bankruptcy Case No.: 10-40346
Chapter 11 Petition Date: October 29, 2010
Court: United States Bankruptcy Court
Southern District of West Virginia (Parkersburg)
Judge: Ronald G. Pearson
Debtor's Counsel: Joseph W. Caldwell, Esq.
CALDWELL & RIFFEE
P.O. Box 4427
Charleston, WV 25364-4427
Tel: (304) 925-2100
Fax: (304) 925-2193
E-mail: joecaldwell@verizon.net
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 16 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/wvsb10-40346.pdf
The petition was signed by Alva J. Watson, president.
AVON LAKES: Case Summary & 10 Largest Unsecured Creditors
---------------------------------------------------------
Debtor: Avon Lakes Ventures, LLC
7215 East 21st Street, Suite A
Indianapolis, IN 46219
Bankruptcy Case No.: 10-16452
Chapter 11 Petition Date: October 29, 2010
Court: United States Bankruptcy Court
Southern District of Indiana (Indianapolis)
Judge: Frank J. Otte
Debtor's Counsel: James S. Kowalik, Esq.
HOSTETLER AND KOWALIK, P.C.
101 W Ohio St., Ste 2100
Indianapolis, IN 46204
Tel: (317) 262-1001
Fax: (317) 262-1010
E-mail: jsk@hostetler-kowalik.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $10,000,001 to $50,000,000
A list of the Company's 10 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/insb10-16452.pdf
The petition was signed by Ronald E. Farren, member.
Debtor-affiliates that filed separate Chapter 11 petitions:
Petition
Debtor Case No. Date
------ -------- ----
Hunter Lakes, LLC 10-13855 09/14/10
Lake of the Lanterns, LLC 10-16454 10/29/10
Oakhurst Realty, LLC 10-13854 09/14/10
BAINBRIDGE SHOPPING: Has Access to Cash Collateral Until Nov. 9
---------------------------------------------------------------
The Hon. Erik P. Kimball of the U.S. Bankruptcy Court for the
Southern District of Florida, in a fifth interim order, authorized
Bainbridge Shopping Center II, LLC, to use cash collateral until
November 9, 2010.
A final hearing on the Debtor's access to the cash collateral will
be held on November 9 at 3:00 p.m.
As reported in the Troubled Company Reporter on May 28, the Debtor
is indebted to Bank of America, trustee of the Registered
Certificateholders of Bear Stearns Commercial Mortgage Securities
Trust Series 2007-PWR and C-III Asset Management LLC fka
Centerline Servicing Inc. The principal indebtedness due and
owing under the note as of the petition date is $45,647,257 plus
prepetition interest in the amount of $1,575,996 and fees and
other costs, including late charges and attorney's fee.
The Debtor would use the cash collateral to fund the operation of
the Marketplace at Four Corners shopping center located in Aurora,
Ohio.
The Court authorized the Debtor to manage the property through
MJM Property Management and Development, LLC.
During the fifth interim period, MJM is authorized to use not more
than $8,880 with regard to the tenant improvement; and to use
$128,800 for operational purposes.
The Court also said that all tenant rent payments will still be
made into the lockbox.
As adequate protection for any diminution in value of the lender's
collateral, the Debtor will grant the lender (i) the authority to
apply excess cash collateral; (ii) a lien to secure an amount of
the lender's prepetition claims in all postpetition property of
the Debtor; and (iii) a superpriority administrative claim.
About Bainbridge Shopping Center II, LLC
Jupiter, Florida-based Bainbridge Shopping Center II, LLC, owns
and operates the Marketplace at Four Corners shopping center in a
southeastern suburb of Cleveland, Ohio. The Company filed for
Chapter 11 bankruptcy protection on April 11, 2010 (Bankr. S.D.
Fla. Case No. 10-19383). Berger Singerman, P.A., serves as the
Debtor's counsel. The Debtor estimated its assets and debts at
$10 million to $50 million.
The Debtor's affiliate, John R. McGill, filed a separate
Chapter 11 petition on May 15, 2009 (Case No. 09-19425).
BAINBRIDGE SHOPPING: Hearing on Plan Outline Set for November 9
---------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Florida
will convene a hearing on November 9, 2010, at 3:00 p.m., to
consider the final approval of Disclosure Statement and
Confirmation of Bainbridge Shopping Center II, LLC's Plan of
Reorganization.
The Debtor will begin soliciting votes on the Plan following
approval of the adequacy of the information in the Disclosure
Statement.
As reported in the Troubled Company Reporter on July 30, the Plan
provides for:
(i) restructuring of the primary debt -- the secured claim of
the lender -- by deaccelerating the debt, removing the
default and accompanying penalties and restrictions,
reducing the principal, providing a reserve for the lender
not already provided for in the prepetition loan documents,
and providing a stable, reliable schedule and method for
repaying the debt, as modified;
(ii) the full repayment of all administrative and priority
claims;
(iii) an aggressive schedule of repayment in full (but without
interest) of all general unsecured claims other than
insider claims;
(iv) indefinitely deferring repayment of insider claims; and
(v) preserving the equity holders' stake in the Company.
Under the Plan, the Debtor intends to treat claims as:
Class Treatment
----- ---------
1 Secured claim of lender will be repaid by monthly
payments of principal and interest, with remaining
balance paid a maturity.
2 General unsecured claims of non-insiders will be paid
in full in 12 monthly installments.
3 General unsecured claims against insiders will not be
paid as part of the Plan.
4 Equity interests will be retained.
A full-text copy of the Disclosure Statement is available for free
at http://bankrupt.com/misc/BainBridgeShopping_DS.pdf
About Bainbridge Shopping Center II, LLC
Jupiter, Florida-based Bainbridge Shopping Center II, LLC, owns
and operates the Marketplace at Four Corners shopping center in a
southeastern suburb of Cleveland, Ohio. The Company filed for
Chapter 11 bankruptcy protection on April 11, 2010 (Bankr. S.D.
Fla. Case No. 10-19383). Berger Singerman, P.A., serves as the
Debtor's counsel. The Debtor estimated its assets and debts at
$10 million to $50 million.
The Debtor's affiliate, John R. McGill, filed a separate
Chapter 11 petition on May 15, 2009 (Bankr. S.D. Fla. Case No. 09-
19425).
BCAC LLC: Hearing on Access to PNC's Cash Set for November 9
------------------------------------------------------------
The U.S. Bankruptcy Court for the Middle District of North
Carolina has continued until November 9, 2010 at 2:00 p.m., the
hearing to consider BCAC, LLC's request to access PNC Bank,
National Association's cash collateral.
The Debtor would use the cash collateral to fund its Chapter 11
case, pay suppliers and other parties.
As adequate protection for any diminution in value of the lenders'
collateral, the Debtor will pay to PNC interest in the amount of
$38,153 to apply in the PNC existing obligations.
About BCAC, LLC
Brookfield, Wisconsin-based BCAC, LLC, owns a 204-unit multi-
family apartment complex at 23 Hiltin Place, Greensboro, Guilford
County, North Carolina, which property is known as Park Place
Apartments.
The Company filed for Chapter 11 bankruptcy protection on
April 15, 2010 (Bankr. M.D. N.C. Case No. 10-10709). Christine L.
Myatt, Esq., serves as the Debtor's bankruptcy counsel. The
Company estimated its assets and debts at $10 million to
$50 million.
BENTWOOD PLACE: Case Summary & 20 Largest Unsecured Creditors
-------------------------------------------------------------
Debtor: Bentwood Place Apartments, LLC
2811 Eagles Nest
Palm Harbor, FL 34683
Bankruptcy Case No.: 10-26698
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Middle District of Florida (Tampa)
Debtor's Counsel: Joel S. Treuhaft, Esq.
2997 Alternate 19, Suite B
Palm Harbor, FL 34683
Tel: (727) 797-7799
Fax: (727) 213-6933
E-mail: jstreuhaft@yahoo.com
Scheduled Assets: $2,340,142
Scheduled Debts: $1,867,894
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/flmb10-26698.pdf
The petition was signed by Marc Johnson, manager.
Debtor-affiliates that filed separate Chapter 11 petitions:
Entity Case No. Petition Date
------ -------- -------------
Audubon Grove Apartments, LLC 10-9419 04/22/10
Montevallo Apartments, LLC 10-4857 03/03/10
Quail Ridge Apartments, LP 10-2375 02/02/10
Woods of Northland, LLC 10-19387 08/12/10
BLOCKBUSTER INC: Gets Approval for A&M as Restructuring Officer
---------------------------------------------------------------
Bankruptcy Judge Burton Lifland authorized Blockbuster Inc. and
its units to employ Alvarez & Marsal North America, LLC, to
provide them with a chief restructuring officer and certain
additional personnel, and to designate Jeffery J. Stegenga as the
Debtors' CRO, nunc pro tunc to the Petition Date, on the terms and
conditions set forth in the application and in the Engagement
Letter.
The Court also approved the terms of the Engagement Letter,
including the compensation and indemnification provisions. Judge
Lifland ruled that the CRO and Additional Personnel will act under
the direction, control and guidance of the Board of Directors of
Blockbuster Inc., and will serve at the Board's pleasure.
For a period of three years after the conclusion of the
engagement, A&M will not make any investments in the Debtors or
reorganized Debtors where A&M has been engaged, Judge Lifland
said.
Judge Lifland ruled that any sale or sales of assets by going out
of business, store closing, or other similar liquidation process
is not a transaction or an event entitling A&M to a Completion
Fee. However, he explained that a sale of all or substantially
all of the Debtors' assets under Section 363 of the Bankruptcy
Code will entitle A&M to the Completion Fee.
Prior to the entry of the order approving the Application, Mr.
Stegenga filed a first supplemental declaration in connection with
the firm's retention. He disclosed that A&M did not obtain a
prepetition retainer from the Debtors. However, to the extent
that A&M holds any prepetition amounts or credits as of the
Petition Date, A&M will apply those amounts or credits to services
rendered and expenses incurred subsequent to the Petition Date.
Among other things, the A&M Personnel will support the Debtors
with respect to:
(a) assisting the Debtors' finance personnel and financial
advisors in a financial review of Blockbuster's business,
including, but not limited to, a review and assessment of
financial information that has been, and that will be,
provided by the Debtors to their creditors, including
without limitation the Debtors' short and long-term
projected cash flows and business plans;
(b) assisting in the management and analysis required for the
Debtors' debtor-in-possession financing facility;
(c) assisting in the identification and execution of cost
reduction and operational improvement opportunities;
(d) assisting in various real estate rationalization
initiatives;
(e) assisting in the performance of cost/benefit analyses
related to non-store executory contracts and the
assumption/rejection of each;
(f) assisting the film team in the negotiation of interim
studio accommodation agreements and long term studio
supply contracts;
(g) assisting in the discussions with and providing
information to potential investors, secured lenders,
official committees, the Office of the United States
Trustee for the Southern District of New York as deemed
necessary and appropriate by the Debtors;
(h) assisting the overall financial reporting division in
managing the administrative requirements of the Bankruptcy
Code, including postpetition reporting requirements and
claim reconciliation efforts;
(i) assisting the Debtors and their other advisors in
developing restructuring plans or strategic alternatives
for maximizing the enterprise value of their various
business lines;
(j) serving as the principal contact with the Debtors' key
constituents/creditors with respect to financial and
operational matters; and
(k) performing other services in connection with the
restructuring process as reasonably requested or directed
by Blockbuster's board of directors and other
authorized Blockbuster personnel, consistent with the role
played by A&M in this matter and not duplicative of
services being performed by other professionals in these
proceedings.
The Debtors will pay A&M for the services of the A&M Personnel at
the firm's customary hourly billing rates with the exception of
the CRO. The Debtors will pay A&M a flat monthly rate of $130,000
in return for the services rendered to the Debtors by the CRO.
Any partial months will be pro-rated, based on the number of days
in the month. The current hourly billing rates for Additional
Personnel are:
Managing Director $625-$675
Director $425-$625
Associate/Consultant $325-$450
Analyst $225-$300
The Debtors also propose to entitle A&M to receive an incentive
compensation of $2,000,000 for its services. Pursuant to the
parties' Engagement Letter, the Completion Fee will be payable
upon the earlier of (a) the consummation of a Chapter 11 plan of
reorganization, or (b) the sale, transfer, or other disposition of
all or a substantial portion of the assets or equity of
Blockbuster in one or more transactions. The final amount of the
fee will be subject to final approval by Blockbuster's board or
directors, and based on the timeframe and outcome of the
Engagement.
The Debtors will reimburse A&M for reasonable and necessary
expenses incurred in connection with the Chapter 11 Cases.
About Blockbuster Inc.
Based in Dallas, Texas, Blockbuster Inc. (Pink Sheets: BLOKA,
BLOKB) -- http://www.blockbuster.com/-- is a global provider of
rental and retail movie and game entertainment. It has a library
of more than 125,000 movie and game titles. Blockbuster said it
had assets of $1,017,035,832 and debts of $1,464,939,759 as of
August 1, 2010.
Blockbuster Inc. and 12 U.S. affiliates initiated Chapter 11
bankruptcy proceedings with a pre-arranged reorganization plan
in Manhattan on September 23, 2010 (Bankr. S.D.N.Y. Case No.
10-14997).
Martin A Sosland, Esq., and Stephen Karotkin, Esq., at Weil,
Gotshal & Manges, serve as counsel to the Debtors. Rothschild
Inc. is the financial advisor. Alvarez & Marsal is the
restructuring advisor with A&M managing director Jeffery J.
Stegenga as chief restructuring officer. Kurtzman Carson
Consultants LLC is the claims and notice agent.
Attorneys at Cooley LLP serve as counsel to the Official Committee
of Unsecured Creditors.
A steering group of senior secured noteholders is represented by
James P. Seery, Esq., and Paul S. Caruso, Esq., at Sidley Austin
LLP. U.S. Bank National Association as trustee and collateral
agent for the senior secured notes is represented by David
McCarty, Esq., and Kyle Mathews, Esq., at Sheppard Mullin Richter
& Hampton LLP. BDO Consulting is the financial advisor for U.S.
Bank.
Lenders led by Wilmington Trust FSB are providing the DIP
financing. The DIP Agent is represented by Peter Neckles, Esq.
and Alexandra Margolis, Esq., at Skadden, Arps, Slate, Meagher &
Flom LLP, in New York.
Blockbuster's non-U.S. operations and its domestic and
international franchisees, all of which are legally separate
entities, were not included in the filings and are not parties to
the Chapter 11 proceedings.
Bankruptcy Creditors' Service, Inc., publishes BLOCKBUSTER
BANKRUPTCY NEWS. The newsletter tracks the Chapter 11 proceeding
undertaken by Blockbuster Inc. and its units.
(http://bankrupt.com/newsstand/or 215/945-7000)
BLOCKBUSTER INC: Proposes Deloitte as Tax Advisor
-------------------------------------------------
Blockbuster Inc. and its units seek the U.S. Bankruptcy Court for
the Southern District of New York's:
(a) authority to employ Deloitte Tax LLP as their tax advisor
under the terms and conditions set forth in their
engagement letters, nunc pro tunc to the Petition Date;
(b) approval of the terms of Deloitte Tax's employment,
including the proposed fee structure set forth in the
Engagement Letters, subject to the standards set forth in
Section 328 of the Bankruptcy Code, nunc pro tunc to the
Petition Date, provided that solely the Office of the
United States Trustee will be entitled to review
applications for payment of compensation and reimbursement
of expenses of Deloitte Tax under Section 330 of the
Bankruptcy Code.
Stephen Karotkin, Esq., at Weil, Gotshal & Manges LLP, in New
York, asserts that the Debtors seek to retain Deloitte Tax to
provide and perform certain tax advisory services and global
employer tax services. Specifically, Deloitte Tax will render
these services:
A. Tax Advisory Services. Deloitte Tax will, among other
things, advise the Debtors:
-- in their work with their counsel and financial advisors
on the tax effects of restructuring and bankruptcy and
the post-restructuring tax profile, including plan of
reorganization costs;
-- regarding the restructuring and bankruptcy emergence
process from a tax perspective, including the tax work
plan;
-- on the cancellation of debt income for income tax
purposes under Section 108 of the Internal Revenue Code;
-- advise the Debtors on post-bankruptcy tax attributes
available under the applicable tax regulations and the
reduction of attributes based on the Debtors' operating
projections, including a technical analysis of the
effects of Section 1.1502-28 of the Treasury Regulation
and the interplay with Sections 108 and 1017 of the
Internal Revenue Code; and
-- on the potential effect of the Alternative Minimum Tax
in various post-emergence scenarios; and
B. Global Employer Tax Services. Deloitte Tax will assist
certain employees of the Debtors on international
assignment with the preparation of their personal tax
returns.
To the extent that the Debtors ask Deloitte Tax to perform
additional services not described in the application, the Debtors
will seek further application for an order of approval by the
Court for any additional services and application will set forth,
in addition to the additional services to be performed, the
additional fees sought to be paid.
Subject to the Court's approval and pursuant to the terms of the
Engagement Letters, Deloitte Tax will be paid for the Tax Advisory
Services rendered in the Chapter 11 cases based on these agreed
hourly rates for those services:
Personnel Classification Rate
------------------------ ----
Partner/Principal/Director $550
Senior Manager $475
Manager $425
Senior Staff $325
Staff $275
For its Global Employer Tax Services, Deloitte Tax will be paid
primarily on a fixed fee basis as specified in the applicable
Engagement Letter. The Debtors will also reimburse Deloitte Tax
for its reasonable expenses.
Deloitte Tax provided prepetition services to the Debtors, and the
Debtors paid the firm approximately $112,000, including certain
retainers, in the 90 days prior to the Petition Date, Mr. Karotkin
informs the Court. He adds that as of the Petition Date, (i) no
amounts were remaining with respect to the retainers, and (ii)
approximately $1,700 was outstanding with respect to invoices
issued by Deloitte Tax prepetition. He avers that subject to the
application being approved, Deloitte Tax will not seek any
recovery with respect to that amount.
Timothy R. Powell, a partner at Deloitte Tax, assures the Court
that Deloitte Tax is a "disinterested person" within the meaning
of Section 101(14) of the Bankruptcy Code, as required by Section
327(a) of the Bankruptcy Code.
About Blockbuster Inc.
Based in Dallas, Texas, Blockbuster Inc. (Pink Sheets: BLOKA,
BLOKB) -- http://www.blockbuster.com/-- is a global provider of
rental and retail movie and game entertainment. It has a library
of more than 125,000 movie and game titles. Blockbuster said it
had assets of $1,017,035,832 and debts of $1,464,939,759 as of
August 1, 2010.
Blockbuster Inc. and 12 U.S. affiliates initiated Chapter 11
bankruptcy proceedings with a pre-arranged reorganization plan
in Manhattan on September 23, 2010 (Bankr. S.D.N.Y. Case No.
10-14997).
Martin A Sosland, Esq., and Stephen Karotkin, Esq., at Weil,
Gotshal & Manges, serve as counsel to the Debtors. Rothschild
Inc. is the financial advisor. Alvarez & Marsal is the
restructuring advisor with A&M managing director Jeffery J.
Stegenga as chief restructuring officer. Kurtzman Carson
Consultants LLC is the claims and notice agent.
Attorneys at Cooley LLP serve as counsel to the Official Committee
of Unsecured Creditors.
A steering group of senior secured noteholders is represented by
James P. Seery, Esq., and Paul S. Caruso, Esq., at Sidley Austin
LLP. U.S. Bank National Association as trustee and collateral
agent for the senior secured notes is represented by David
McCarty, Esq., and Kyle Mathews, Esq., at Sheppard Mullin Richter
& Hampton LLP. BDO Consulting is the financial advisor for U.S.
Bank.
Lenders led by Wilmington Trust FSB are providing the DIP
financing. The DIP Agent is represented by Peter Neckles, Esq.
and Alexandra Margolis, Esq., at Skadden, Arps, Slate, Meagher &
Flom LLP, in New York.
Blockbuster's non-U.S. operations and its domestic and
international franchisees, all of which are legally separate
entities, were not included in the filings and are not parties to
the Chapter 11 proceedings.
Bankruptcy Creditors' Service, Inc., publishes BLOCKBUSTER
BANKRUPTCY NEWS. The newsletter tracks the Chapter 11 proceeding
undertaken by Blockbuster Inc. and its units.
(http://bankrupt.com/newsstand/or 215/945-7000)
BLOCKBUSTER INC: Wins Nod for Weil Gotshal as Bankr. Counsel
------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
authorized Blockbuster Inc. and its units to employ Weil, Gotshal
& Manges LLP as their counsel, nunc pro tunc to the Petition Date.
Judge Burton R. Lifland turned back an objection from one
creditor, Lyme Regis Partners, LLC, who contended that Weil
Gotshal were disqualified because they have hundreds of present or
former clients who are creditors, notes Bloomberg News. The
bankruptcy judge said there is no conflict now.
"Clearly there's no current conflict," Bloomberg quoted Judge
Lifland as saying. "It's dubious whether in the future there
would be a conflict."
"If one arises in the future, another firm could handle the
particular dispute," Judge Lifland said, notes the report.
Objections to the application that have not been previously
resolved or withdrawn are overruled on their merits, and all
reservation of rights included in the objections are denied and
overruled, the Court added.
As the Debtors' counsel, Weil Gotshal will:
(a) prepare on behalf of the Debtors, as debtors-in-
possession, all necessary motions, applications, answers,
orders, reports, and other papers in connection with the
administration of the Debtors' estates;
(b) take all necessary action to protect and preserve the
Debtors' estates, including the prosecution of actions on
the Debtors' behalf, the defense of any actions commenced
against the Debtors, the negotiation of disputes in which
the Debtors are involved, and the preparation of
objections to claims filed against the Debtors' estates;
(c) take all necessary actions in connection with a Chapter 11
plan and related disclosure statements and all related
documents, and further actions as may be required in
connection with the administration of the Debtors'
estates; and
(d) perform all other necessary legal services in connection
with the prosecution of the Chapter 11 Cases.
Weil Gotshal will be paid based on its normal hourly rates in
effect at the time the services are rendered:
Members and counsel $725 to $990
Associates $395 to $695
Paraprofessionals $160 to $290
Weil Gotshal will also be reimbursed for expenses incurred in
connection with its representation of the Debtors.
About Blockbuster Inc.
Based in Dallas, Texas, Blockbuster Inc. (Pink Sheets: BLOKA,
BLOKB) -- http://www.blockbuster.com/-- is a global provider of
rental and retail movie and game entertainment. It has a library
of more than 125,000 movie and game titles. Blockbuster said it
had assets of $1,017,035,832 and debts of $1,464,939,759 as of
August 1, 2010.
Blockbuster Inc. and 12 U.S. affiliates initiated Chapter 11
bankruptcy proceedings with a pre-arranged reorganization plan
in Manhattan on September 23, 2010 (Bankr. S.D.N.Y. Case No.
10-14997).
Martin A Sosland, Esq., and Stephen Karotkin, Esq., at Weil,
Gotshal & Manges, serve as counsel to the Debtors. Rothschild
Inc. is the financial advisor. Alvarez & Marsal is the
restructuring advisor with A&M managing director Jeffery J.
Stegenga as chief restructuring officer. Kurtzman Carson
Consultants LLC is the claims and notice agent.
Attorneys at Cooley LLP serve as counsel to the Official Committee
of Unsecured Creditors.
A steering group of senior secured noteholders is represented by
James P. Seery, Esq., and Paul S. Caruso, Esq., at Sidley Austin
LLP. U.S. Bank National Association as trustee and collateral
agent for the senior secured notes is represented by David
McCarty, Esq., and Kyle Mathews, Esq., at Sheppard Mullin Richter
& Hampton LLP. BDO Consulting is the financial advisor for U.S.
Bank.
Lenders led by Wilmington Trust FSB are providing the DIP
financing. The DIP Agent is represented by Peter Neckles, Esq.
and Alexandra Margolis, Esq., at Skadden, Arps, Slate, Meagher &
Flom LLP, in New York.
Blockbuster's non-U.S. operations and its domestic and
international franchisees, all of which are legally separate
entities, were not included in the filings and are not parties to
the Chapter 11 proceedings.
Bankruptcy Creditors' Service, Inc., publishes BLOCKBUSTER
BANKRUPTCY NEWS. The newsletter tracks the Chapter 11 proceeding
undertaken by Blockbuster Inc. and its units.
(http://bankrupt.com/newsstand/or 215/945-7000)
BOSTON GENERATING: Bankr. Court Can Preside Over Sale of Plants
---------------------------------------------------------------
Bill Rochelle, the bankruptcy columnist for Bloomberg News,
reports that U.S. District Judge Denise Cote in Manhattan ruled
that the bankruptcy court has the right to preside over the sale
of Boston Generating LLC, the owner of five electric generating
plants in the Boston area.
According to the report, Judge Cote said in her Nov. 1 opinion
that, on the other hand, the bankruptcy judge isn't allowed to
decide whether Boston Generating can reject a contract to supply
transportation for natural gas to be used as fuel at a plant.
Judge Cote will rule on whether the transportation agreement can
be rejected.
Mr. Rochelle relates Algonquin Gas Transmission LLC, a subsidiary
of Spectra Energy Corp., successfully brought the motion to
withdraw the reference on the rejection issue.
As part of its Chapter 11 sale process, BostonGen entered into an
asset purchase agreement with "stalking horse" bidder
Constellation Energy for the 2,950 MW fleet, the third largest
power generating portfolio in the New England region. Under the
terms of the asset purchase agreement, Constellation Energy agreed
to purchase BostonGen's assets for approximately $1.1 billion.
The sale of the Company's assets is expected to be consummated
through the bankruptcy proceedings and Constellation Energy's bid
is considered the price to beat in an asset auction.
Absent higher and better bids at the auction, Constellation Energy
will buy the facilities for $1.1 billion. Competing bids were
initially due Nov. 1. Final bids are due Nov. 13. The auction is
slated for Nov. 15. The hearing for approval of the sale will
take place Nov. 17.
About Boston Generating
New York-based Boston Generating, LLC, owns nearly 3,000 megawatts
of mostly modern natural gas-fired power plants in the Boston
area. Privately held Boston Generating is an indirect subsidiary
of US Power Generating Co., and considers itself as the third-
largest fleet of plants in New England.
Boston Generating filed for Chapter 11 protection on August 18,
2010 (Bankr. S.D.N.Y. Case No. 10-14419). Boston Generating
estimated its assets and debts at more than $1 billion as of the
Petition Date.
EBG Holdings LLC; Fore River Development, LLC; Mystic, LLC; Mystic
Development, LLC; BG New England Power Services, Inc.; and BG
Boston Services, LLC, filed separate Chapter 11 petitions.
D. J. Baker, Esq., at Latham & Watkins LLP, serves as bankruptcy
counsel for the Debtors. JPMorgan Securities is the Debtors'
investment banker. Perella Weinberg Partners, LP, is the Debtors'
financial advisor. Brown Rudnick LLP is the Debtors' regulatory
counsel. FTI Consulting, Inc., is the Debtors' restructuring
consultant. Anderson Kill & Olick, P.C., is the Debtors'
conflicts counsel. The Garden City Group, Inc., is the Debtors'
claims agent.
The Official Committee of Unsecured Creditors has tapped the law
firm of Jager Smith P.C. as its counsel.
BURLINGTON TELECOM: Misses Debt Payment; In Talks with Lender
-------------------------------------------------------------
Dan D'Ambrosio, writing for The Burlington (Vt.) Free Press,
reports that Burlington Telecom failed to make a $480,000 payment
due Sunday to CitiCapital, including $386,000 in interest. Free
Press reports that Burlington City Mayor Bob Kiss said Monday that
negotiations with CitiCapital are ongoing.
According to Free Press, Burlington has hired financial advisory
firm Dorman and Fawcett to negotiate with CitiCapital on the terms
of repayment for the $33.5 million loan made to BT in August 2007.
Details of those negotiations have not been made public.
Free Press relates Chief Administrative Officer Jonathan Leopold
said BT has not made any interest and principal payments on the
loan this year, totaling some $1.5 million in missed payments.
Mr. Leopold said the city entered into a forbearance agreement
with CitiCapital on July 1 that expired Sept. 30 but was extended
another 30 days, expiring Sunday.
The Troubled Company Reporter on October 4 published a story on
the extension of the forbearance period.
The Free Press reported October 26 that the state Department of
Public Service had asked CitiCapital in a letter what it would do
if BT failed to make the payment due Sunday. Free Press' Mr.
D'Ambrosio reports that City Council President Bill Keogh,
D-Ward 5, said Monday that he did not think CitiCapital had
responded.
Free Press notes that Mayor Kiss' administration spent roughly
$17 million in public money between 2007 and late 2009 in
violation of state regulations to sustain BT without the knowledge
of the City Council or the council members of the Board of
Finance. That expenditure has led to a pending criminal
investigation, a state audit of BT, a civil lawsuit in Chittenden
Superior Court brought by taxpayers, and downgrades to the city's,
the airport's and Burlington Electric Department's credit ratings,
the report notes.
CALIFORNIA COASTAL: Has Access to Keybank's Cash Until December 1
-----------------------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California
authorized California Coastal Communities, Inc., et al., to access
their prepetition lenders' cash collateral until December 1, 2010,
subject to home sales.
The Court will consider at a hearing on December 1, at 10:00 a.m.,
the Debtors' request for further access to cash collateral.
The Debtors owed KeyBank National Association, as agent for
prepetition revolving loan lenders, the aggregate principal of (i)
$81,679,317; and (ii) $99,800,000, under certain prepetition
financing documents. The Debtor also owe Signal Landmark
Holdings, Inc.
KeyBank has consented to the Debtors' use of the cash collateral.
As adequate protection for any diminution in value of the lenders'
collateral, the Debtors will grant the prepetition lenders:
i) current cash payment of interest at the non-default rates
and at the times provided for in the Prepetition Credit
Agreements plus KeyBank's reasonable fees and expenses;
ii) replacement liens in and to the prepetition collateral; and
iii) a superpriority administrative expense claim.
About California Coastal
Irvine, California-based California Coastal Communities, Inc.
-- http://www.californiacoastalcommunities.com/-- is a
residential land development and homebuilding company with
properties owned or controlled primarily in Orange County,
California, and also in Lancaster in Los Angeles county. The
Company's primary asset is a 356-home luxury coastal community
known as Brightwater in Huntington Beach, California.
California Coastal Communities, Inc. and certain of its direct and
indirect wholly-owned subsidiaries filed for Chapter 11 bankruptcy
protection on October 27, 2009 (Bankr. C.D. Calif. Case No.
09-21712). Joshua M. Mester, Esq., in Los Angeles, California,
serves as counsel to the Debtors. The Company's financial advisor
is Imperial Capital, LLC. California Coastal estimated
$100 million to $500 million in assets and debts in its Chapter 11
petition.
CARPENTER CONTRACTORS: Has Interim OK to Tap Rice as Counsel
------------------------------------------------------------
Carpenter Contractors of America, Inc., sought and obtained
interim authorization from the Hon. Raymond B. Ray of the U.S.
Bankruptcy Court for the Southern District of Florida to employ
the Law Firm of Rice Pugatch Robinson & Schiller, P.A., as
bankruptcy counsel, nunc pro tunc to the Petition Date.
The Firm will, among other things:
a. advise the Debtor with respect to its powers and duties as
a debtor-in-possession and the continued management of its
business operations;
b. prepare motions, pleadings, orders, applications,
adversary proceedings, and other legal documents necessary
in the administration of the case;
c. protect the interest of the Debtor in all matters pending
before the Court; and
d. represent the Debtor in negotiation with its creditors in
the preparation of a plan.
Chad P. Pugatch, Esq., an attorney at the Firm, assures the Court
that the firm is "disinterested" as that term is defined in
Section 101(14) of the Bankruptcy Code.
The Firm will apply for compensation and reimbursement of costs at
its ordinary rates, as they may be adjusted from time to time, for
services rendered and costs incurred on behalf of Debtor.
The Court will conduct on November 15, 2010, at 9:30 a.m. a final
hearing on the Debtor's request to hire the Firm as bankruptcy
counsel.
Pompano Beach, Florida-based Carpenter Contractors of America,
Inc., dba R&D Thiel, filed for Chapter 11 bankruptcy protection on
October 25, 2010 (Bankr. S.D. Fla. Case No. 10-42604). The Debtor
estimated its assets at $50 million to $100 million and debts at
$10 million to $50 million.
CARPENTER CONTRACTORS: Sec. 341(a) Meeting Scheduled for Dec. 17
----------------------------------------------------------------
The U.S. Trustee for Region 21 will convene a meeting of Carpenter
Contractors of America, Inc.'s creditors on December 17, 2010, at
10:30 a.m. The meeting will be held at U.S. Courthouse, 299 E
Broward Boulevard #411, Fort Lauderdale, FL 33301.
This is the first meeting of creditors required under Section
341(a) of the U.S. Bankruptcy Code in all bankruptcy cases.
All creditors are invited, but not required, to attend. This
Meeting of Creditors offers the one opportunity in a bankruptcy
proceeding for creditors to question a responsible office of the
Debtor under oath about the company's financial affairs and
operations that would be of interest to the general body of
creditors.
Pompano Beach, Florida-based Carpenter Contractors of America,
Inc., dba R&D Thiel, filed for Chapter 11 bankruptcy protection on
October 25, 2010 (Bankr. S.D. Fla. Case No. 10-42604). Chad P.
Pugatch, Esq., who has an office in Fort Lauderdale, Florida,
assists the Debtor in its restructuring effort. The Debtor
estimated its assets at $50 million to $100 million and debts at
$10 million to $50 million.
CFRI/GREENLAW: Has Until February 15 to Propose Chapter 11 Plan
---------------------------------------------------------------
The Hon. Honorable Theodor C. Albert of the U.S. Bankruptcy Court
for the Central District of California directed CFRI/Greenlaw Dyer
Road, LLC, to file a Chapter 11 Plan and Disclosure Statement by
February 15, 2011.
The Debtor is represented by:
Howard J. Weg, Esq.
Lorie A. Ball, Esq.
PEITZMAN, WEG & KEMPINSKY LLP
10100 Santa Monica Boulevard, Suite 1450
Los Angeles, CA 90067
Tel: (310) 552-3100
Fax: (310) 552-3101
E-mail: hweg@pwkllp.com
lball@pwkllp.com
Santa Ana, California-based CFRI/Greenlaw Dyer Road, LLC, filed
for Chapter 11 bankruptcy protection on July 8, 2010 (Bankr. C.D.
Calif. Case No. 10-19345). The Company disclosed $30,101,904 in
assets and $33,610,022 in liabilities.
CHEM RX: Judge Approves Sale to PharMerica for $70 Million
----------------------------------------------------------
Judge Mary F. Walrath of the U.S. Bankruptcy Court for the
District of Delaware on Tuesday approved the $70 million sale of
Chem Rx Corp. to PharMerica Corp., but forbid the debtors from
immediately handing over the proceeds to first-lien lenders at the
behest of unsecured creditors, Bankruptcy Law360 reports.
About Chem RX Corporation
Long Beach, N.Y.-based Chem RX Corporation, aka Paramount
Acquisition Corp. -- http://www.chemrx.net/-- is a major
institutional pharmacy serving the New York City metropolitan
area, as well as parts of New Jersey, upstate New York,
Pennsylvania and Florida. Chem Rx's client base includes skilled
nursing facilities and a wide range of other long-term care
facilities. Chem Rx annually provides more than six million
prescriptions to more than 69,000 residents of more than 400
institutional facilities.
The Company and five affiliates sought Chapter 11 protection
(Bankr. D. Del. Case No. 10-11567) on May 11, 2010. Dennis
A. Meloro, Esq., and Scott D. Cousins, Esq., at Greenberg
Traurig, LLP, represents the Company in its restructuring.
Cypress Holdings, LLC, is the Company's financial advisor. RSR
Consulting, LLC, is the Company's chief restructuring officer.
Brunswick Group LLP is the Company's public relations consultant.
Grant Thornton LLP is the Company's independent auditor. Lazard
Middle Market LLC is the Company's investment banker. Eichen &
Dimeglio PC is the Company's tax advisor. Kurtzman Carson
Consultants is the Company's claims and notice agent.
The Company disclosed $169,690,868 in assets and $178,281,128 in
debts as of February 28, 2010.
CLAIM JUMPER: Court OKs Sale of All Assets to Landry's
------------------------------------------------------
Claim Jumper Restaurants, LLC, disclosed that it has obtained
bankruptcy court approval of the sale of substantially all of its
assets to Landry's Restaurants, Inc.
The Transaction is expected to close on a date mutually agreeable
to the Company and Landry's, subject to the satisfaction or waiver
of customary closing conditions.
Piper Jaffray & Co. serves as exclusive financial advisor and
Milbank, Tweed, Hadley & McCoy serves as a lead counsel to Claim
Jumper in its sale process.
Irvine, California-based Claim Jumper Restaurants, LLC --
http://www.claimjumper.com/-- operates a chain of casual dining
restaurants. It was founded in 1977. It has locations in
Arizona, California, Colorado, Illinois, Nevada, Oregon,
Washington, and Wisconsin.
Claim Jumper filed for Chapter 11 bankruptcy protection on
September 10, 2010 (Bankr. D. Del. Case No. 10-12819). The Debtor
estimated its assets at $50 million to $100 million and debts at
$100 million to $500 million as of the Petition Date.
The Debtor's affiliate, Claim Jumper Management, LLC, filed a
separate Chapter 11 petition (Bankr. D. Del. Case No. 10-12820).
Curtis A. Hehn, Esq., James E. O'Neill, Esq., and Laura Davis
Jones, Esq., at Pachulski Stang Ziehl & Jones LLP, are the
Debtors' local counsel. Milbank, Tweed, Hadley & Mccloy LLP is
the Debtors' general bankruptcy counsel. Piper Jaffray & Co. is
the Debtors' financial advisors and investment bankers. Kurtzman
Carson Consultants LLC is the Debtors' notice, claims and
solicitation agent.
The Creditors Committee has selected the law firms of Cooley LLP
and Klehr Harrison Harvey Branzburg LLP as counsel.
CLINCH MTN: Voluntary Chapter 11 Case Summary
---------------------------------------------
Debtor: Clinch Mtn. Finishing & Logistics Corp.
693 Clydesway Dr.
Lebanon, VA 24266
Bankruptcy Case No.: 10-72574
Chapter 11 Petition Date: October 29, 2010
Court: United States Bankruptcy Court
Western District of Virginia (Roanoke)
Judge: William F. Stone Jr.
Debtor's Counsel: Robert Tayloe Copeland, Esq.
COPELAND & BIEGER, P.C.
P.O. Box 1296
Abingdon, VA 24212
Tel: (276) 628-9525
Fax: (276) 628-4711
E-mail: rcopeland@copelandbieger.com
Estimated Assets: not indicated
Estimated Debts: $1,000,001 to $10,000,000
The Debtor did not file a list of its largest unsecured creditors
together with its petition.
The petition was signed by Gary A. Lawson, president.
CONDITIONED REALTY: Case Summary & 3 Largest Unsecured Creditors
----------------------------------------------------------------
Debtor: Conditioned Realty Co.
280 Elizabeth Street NE, Suite A-110
Atlanta, GA 30307-1964
Bankruptcy Case No.: 10-42360
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Southern District of Georgia (Savannah)
Debtor's Counsel: Frank J. Perch, III, Esq.
HUNTER MACLEAN EXLEY & DUNN PC
P.O. Box 9848
Savannah, GA 31412
Tel: (912) 236-0261
Fax: (912) 236-4936
E-mail: fperch@huntermaclean.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's three largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/gasb10-42360.pdf
The petition was signed by Peter H. Hand, CEO.
CONGRESS MATERIALS: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------------
Debtor: Congress Materials, LLC
dba Green Aggregates
dba Union Materials, LP
1401 Cates Street, Suite 201
Bridgeport, TX 76426
Bankruptcy Case No.: 10-37526
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
Northern District of Texas (Dallas)
Judge: Stacey G. Jernigan
Debtor's Counsel: Douglas S. Draper, Esq.
HELLER DRAPER HAYDEN PATRICK & HORN, LLC
650 Poydras St., Suite 2500
New Orleans, LA 70130
Tel: (504) 299-3300
Fax: (504) 299-3399
E-mail: ddraper@hellerdraper.com
Estimated Assets: $10,000,001 to $50,000,000
Estimated Debts: $10,000,001 to $50,000,000
The petition was signed by Jay Krasoff, manager of member.
Debtor's List of 20 Largest Unsecured Creditors:
Entity Nature of Claim Claim Amount
------ --------------- ------------
Sure Tec Bonding $245,000
9737 Great Hills Trail
Suite 320
Austin, TX 78759
Citibank $128,000
P.O. 5870 Grand Central
Station
New York, NY 10163
T-K-O Equipment Company $80,351
5005 LBJ Freeway
Suite 1000
Dallas, TX 75244
On-Site Fuel $52,321
Thomas Petroleum $45,387
Mine Safety and Health $44,863
RDO Equipment Co. $38,515
GW Van Keppel $31,900
Winstead, PC $25,000
Brown & Caldwell $24,803
Austin Powder Company $22,048
Star Tire Company $20,188
JTM Materials $18,000
TNT Electric $13,071
ISSI $9,214
Dial Lubricants $7,961
Pan America Electric Inc. $6,538
Pitney Bowes Global $5,718
Financial
McCalip & Company, Inc. $4,728
Wingfoot Commercial Tire $4,704
Debtor-affiliate that filed separate Chapter 11 petition:
Petition
Debtor Case No. Date
------ -------- ----
Green Aggregates, Inc. 07-53439 12/31/07
(merged into Debt)
CONGRESS SAND: Case Summary & 15 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Congress Sand & Gravel, LLC
14099 NE Country Road 3180
Kerens, TX 75144
Bankruptcy Case No.: 10-37522
Chapter 11 Petition Date: October 28, 2010
Court: U.S. Bankruptcy Court
Northern District of Texas (Dallas)
Judge: Stacey G. Jernigan
Debtor's Counsel: Douglas S. Draper, Esq.
HELLER DRAPER HAYDEN PATRICK & HORN, LLC
650 Poydras Street, Suite 2500
New Orleans, LA 70130
Tel: (504) 299-3300
Fax: (504) 299-3399
E-mail: ddraper@hellerdraper.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 15 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/txnb10-37522.pdf
The petition was signed by Jay Krasoff, manager of member.
CONTECH CONSTRUCTION: S&P Cuts Corporate Credit Rating to 'SD'
--------------------------------------------------------------
Standard & Poor's Ratings Services lowered its corporate credit
rating on Ohio-based Contech Construction Products Inc. to 'SD'
(selective default) from 'CC'. S&P removed the rating from
CreditWatch, where it was placed with negative implications on
June 18, 2010. This rating action is determined by S&P's criteria
for distressed debt exchanges, not due to unexpected business
developments.
At the same time, S&P revised its CreditWatch implications on
Contech's outstanding senior secured debt to positive from
negative.
"These rating actions follow the completion of Contech's financial
restructuring with its debt and equity holders, which reduces the
company's outstanding debt by approximately $240 million," said
Standard & Poor's credit analyst Thomas Nadramia.
Under the terms of the restructuring, Contech removed 100% of the
principal amount and accrued interest owed on its mezzanine notes
due 2014. In addition, the company's senior secured credit
facility was successfully amended with modified financial
covenants, revised interest rates, and extended maturity to early
2013.
Based on S&P's distressed debt exchange criteria, S&P view the
conversion of the company's senior subordinated notes as
tantamount to default, given Contech's highly leveraged financial
risk profile and uncertainty regarding the company's ability to
service its debt obligations in the near term had the mezzanine
debt remained in place.
S&P expects to reassess its corporate credit and senior secured
debt ratings on Contech within the next 30 days given the
significant debt reduction following the restructuring. However,
it is S&P's preliminary assessment that the corporate credit
rating would likely not be higher than the mid 'B' category given
challenging operating conditions and large refinancing risk in
2013.
CONTEMPORARY LIFESTYLES: Voluntary Chapter 11 Case Summary
----------------------------------------------------------
Debtor: Contemporary Lifestyles, Properties & Investments, LLC
2617 N 24th Street
Phoenix, AZ 85008
Bankruptcy Case No.: 10-34920
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
District of Arizona (Phoenix)
Judge: Randolph J. Haines
Debtor's Counsel: Stephen B. Manion, Esq.
LAW OFFICES OF STEPHEN B. MANION
15849 N 71st St., Ste 240
Scottsdale, AZ 85254
Tel: (480) 353-2424
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: not indicated
The Debtor did not file a list of its largest unsecured creditors
together with its petition.
The petition was signed by Kirk Hofmann, president.
COUNTRY FRESH: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Country Fresh Food & Confections, Inc
P.O. Box 604
Oliver Springs, TN 37840
Bankruptcy Case No.: 10-35263
Chapter 11 Petition Date: October 31, 2010
Court: United States Bankruptcy Court
Eastern District of Tennessee (Knoxville)
Judge: Richard Stair, Jr.
Debtor's Counsel: Robert R. Rexrode, Esq.
ATTORNEY AT LAW, PLLC
601 Concord Street, SW, Suite 106
Knoxville, TN 37919
Tel: (865) 856-1551
E-mail: Rexlaw@comcast.net
Scheduled Assets: $273,341
Scheduled Debts: $1,851,574
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/tneb10-35263.pdf
The petition was signed by Edward Wayne Stockton, president.
COUNTRY WAY: Voluntary Chapter 11 Case Summary
----------------------------------------------
Debtor: Country Way Apartments, LLC
113 Parkside Court
Saginaw, MI 48601
Bankruptcy Case No.: 10-24019
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
Eastern District of Michigan (Bay City)
Judge: Daniel S. Opperman
Debtor's Counsel: Robert N. Bassel, Esq.
P.O. Box T
Clinton, MI 49236
Tel: (248) 677-1234
Fax: (248) 369-4749
E-mail: bbassel@gmail.com
Estimated Assets: $500,001 to $1,000,000
Estimated Debts: $1,000,001 to $10,000,000
The Debtor did not file a list of its largest unsecured creditors
together with its petition.
The petition was signed by Marvin Greenes, member.
CROWDGATHER INC: Raises $1.3MM in Series A Preferred Stock Sale
---------------------------------------------------------------
In a regulatory filing Friday, CrowdGather, Inc., discloses that
on October 25, 2010, the Company sold 1,300,000 shares of Series A
Preferred Stock to two foreign investors in exchange for
$1,300,000, or $1.00 per share, pursuant to two subscription
agreements.
The shares will convert prior to March 15, 2011, at $0.50 per
share based upon the Company's achievement of certain milestones.
In the event CrowdGather is unable to satisfy those requirements,
then the Company has the option to either redeem the Preferred
Shares, or allow for conversion of the Preferred Shares at
$0.33 per share.
About CrowdGather Inc.
CrowdGather, Inc. (OTC BB: CRWG) -- http://www.crowdgather.com/--
is an internet company that specializes in developing and hosting
forum based Web sites.
The Company's balance sheet at July 31, 2010, showed $10.4 million
in total assets, $589,010 in total liabilities, and stockholders'
equity of $9.8 million.
As reported in the Troubled Company Reporter on July 13, 2010,
Q Accountancy Corporation, in Laguna Niguel, Calif., expressed
substantial doubt about the Company's ability to continue as a
going concern, following the Company's results for the year ended
April 30, 2010. The independent auditors noted that the Company
has incurred recurring operating losses and has an accumulated
deficit.
DBSI INC: Foley Lardner, Young Conaway Accused of Malpractice
-------------------------------------------------------------
Bankruptcy Law360 reports that the trustee of an affiliate of DBSI
Inc. has accused Foley & Lardner LLP and Young Conaway Stargatt &
Taylor LLP of not advising the affiliate of potential conflicts
and not stopping an improper $700,000 transfer.
About DBSI Inc.
Headquartered in Meridian, Idaho, DBSI Inc. and its affiliates
were engaged in numerous commercial real estate and non-real
estate projects and businesses. On November 10, 2008, and other
subsequent dates, DBSI and 180 of its affiliates filed for Chapter
11 protection (Bankr. D. Del. Case No. 08-12687). Lawyers at
Young Conaway Stargatt & Taylor LLP represent the Debtors as
counsel. The Official Committee of Unsecured Creditors tapped
Greenberg Traurig, LLP, as its bankruptcy counsel. Kurtzman
Carson Consultants LLC is the Debtors' notice claims and balloting
agent. When the Debtors sought protection from their creditors,
they estimated assets and debts between $100 million and
$500 million. Joshua Hochberg, a former head of the Justice
Department fraud unit, served as an Examiner and called the seller
and servicer of fractional interests in commercial real estate an
"elaborate shell game" that "consistently operated at a loss" in
his report released in Oct. 2009. On Sept. 11, 2009, the
Honorable Peter J. Walsh entered an Order appointing James R.
Zazzali as Chapter 11 trustee for the Debtors' estates.
DEAN MASSI: Case Summary & 14 Largest Unsecured Creditors
---------------------------------------------------------
Joint Debtors: Dean N. Massi
Kendall S. Massi
10140 E Doubletree Ranch Rd.
Scottsdale, AZ 85258
Bankruptcy Case No.: 10-34974
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
District of Arizona (Phoenix)
Judge: Redfield T. Baum Sr.
Debtor's Counsel: James M. McGuire, Esq.
MCGUIRE GARNER, PLLC
320 N. Leroux, Ste A
Flagstaff, AZ 86001
Tel: (928) 779-1173
Fax: (928) 779-1175
E-mail: jmcguire@mcguiregardner.com
Scheduled Assets: $37,907
Scheduled Debts: $2,251,701
A list of the Joint Debtors' 14 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/azb10-34974.pdf
DEUCE CONSTRUCTION: Voluntary Chapter 11 Case Summary
-----------------------------------------------------
Debtor: Deuce Construction Company, Inc.
114 East Randolph Avenue
Alexandria, VA 22301
Bankruptcy Case No.: 10-19249
Chapter 11 Petition Date: October 29, 2010
Court: U.S. Bankruptcy Court
Eastern District of Virginia (Alexandria)
Judge: Stephen S. Mitchell
Debtor's Counsel: Steven H. Greenfeld, Esq.
COHEN BALDINGER & GREENFELD, LLC
7910 Woodmont Avenue, Suite 1103
Bethesda, MD 20814
Tel: (301) 881-8300
Fax: (301) 881-8350
E-mail: steveng@cohenbaldinger.com
Scheduled Assets: $694,162
Scheduled Debts: $1,058,576
The Company did not file a list of creditors together with its
petition.
The petition was signed by Edwin Willis, II, president.
DELTA AIR: Judge Berman Remands TIA/SLV Dispute to Bankr. Court
---------------------------------------------------------------
Judge Richard M. Berman of the U.S. District Court for the
Southern District of New York issued an order remanding to the
U.S. Bankruptcy Court for the Southern District of New York
issues with respect Delta Air Lines, Inc., and the Post-Effective
Date Committee's objection to payment of tax indemnity agreements
and stipulated loss values.
In a September 30, 2010 order, Judge Berman held that in
accordance with instructions from the U.S. Court of Appeals for
the Second Circuit, Delta and the Post-Effective Date Committee's
objections are overruled, and the case is remanded to the
Bankruptcy Court for further proceedings.
The Second Circuit instructions pertain to a further appeal filed
by certain entities against a 2008 District Court affirmation
ruling.
To recall, Northwestern Mutual Life Insurance and certain
entitles took separate appeals to the District Court in 2007 and
2008 from orders issued by Bankruptcy Judge Hardin disallowing
their TIA/SLV claims with respect to certain aircraft
transactions with Delta:
Entity Claim Nos. Aircraft Tail Nos.
------ ---------------- ----------------------
Northwestern 4064, 4065, 4078 N182DN, N803DE, N804DE
Mutual Life
Insurance
DFO Partnership 4914, 4915, 4916 N914DL, N915DL, N916DL
4921, 4925, 4929 N954DL, N955DL, N956DL
4930, 4938 N957DL, N958DL
AT&T Credit 8273, 8274, 8275, N131DN, N178DN, N660DL
Holdings, Inc. 8276, 8277, 8278, N962DL, N963DL, N964DL
& 8279, as amended N965DL
by Claim Nos. 4909,
4904, 4942, 4922,
4901, 4902, 4903
NCC Golf Company, 6182, 6183, 6184 N121DE, N917DL, N919DL
NCC Key Company, 6185, 6216, 6217 N920DL, N921DL, N922DL
and NCC Charlie 6186, 6215 N923DL, N924DL
Company as Verizon
Entities
Bell Atlantic 6218, 6219, 6220 N806DE, N968DL, N969DL
Tricon Leasing 6221, 6222 N970DL, N977DL
Corporation;
and Verizon
Capital Corp.
To address the appeals, Judge Berman issued an 11-page opinion in
2008 affirming the Bankruptcy Court Orders, holding that (i) as a
consequence of Delta's default and bankruptcy, it is required to
pay SLV, and (ii) the amounts have been paid, or will have been
paid upon the completion of distribution of Delta stock in
accordance with Delta's Plan of Reorganization. He further
clarified that Delta's discharge of its SLV obligation through
payment of stock, as confirmed in its Reorganization Plan, is
permissible under bankruptcy law.
The District Court, in its 2008 affirmation order, agreed with
Judge Hardin's ruling that each provision in the TIA "is
complete, clear and unambiguous on its face and must therefore be
enforced according to the plain meaning of its terms."
Furthermore, the "injury" of adverse tax consequences caused to
the Appellants by premature lease terminations do not give rise
to any right of recovery, the District Court opined. It is the
TIA alone which gives the Appellants a right to indemnification,
the District Court held.
The Appellants then took a further appeal of the District Court's
2008 ruling to the Second Circuit. The parties subsequently
stipulated in July 2009 that Bell Atlantic's and NCC's appeals
are withdrawn without costs and without prejudice to the other
Appellants' appeals.
About Delta Air Lines
Atlanta, Georgia-based Delta Air Lines (NYSE: DAL) --
http://www.delta.com/or http://www.nwa.com/-- provides scheduled
air transportation for passengers and cargo throughout the United
States, and around the world. The Company's route network is
centered on the hub system it operate at airports in Atlanta,
Cincinnati, Detroit, Memphis, Minneapolis/St. Paul, New York-JFK,
Salt Lake City, Paris-Charles de Gaulle, Amsterdam and Tokyo-
Narita. The hub operations include flights, which gather and
distribute traffic from markets in the geographic region
surrounding the hub to domestic and international cities and to
other hubs. The network is supported by a fleet of aircraft, which
is varied in terms of size and capabilities. On December 31,
2009, the Company's wholly owned subsidiary Northwest Airlines,
Inc., merged with and into Delta. The wholly owned subsidiary of
the Company is Northwest Airlines Corporation.
Northwest and 12 affiliates filed for Chapter 11 protection on
September 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17930).
On May 21, 2007, the Court confirmed the Northwest Debtors'
amended plan. That amended plan took effect May 31, 2007.
Delta and 18 affiliates filed for Chapter 11 protection on
September 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923).
Marshall S. Huebner, Esq., at Davis Polk & Wardwell, represented
the Delta Debtors in their restructuring efforts. On April 25,
2007, the Court confirmed the Delta Debtors' plan. That plan
became effective on April 30, 2007.
(Bankruptcy Creditors Service Inc. publishes Delta Air Lines
Bankruptcy News, http://bankrupt.com/newsstand/or 215/945-7000).
* * *
Delta Air Lines and Northwest Airlines carry a 'B/Stable/--'
corporate ratings from Standard & Poor's. They also continue to
carry 'B2' corporate family ratings from Moody's and "B-" LT
Issuer Default rating from Fitch.
DELTA AIR: Three Govt. Offices Withdraw Claims
----------------------------------------------
The New York Department of Finance informed the Court that it is
withdrawing its Claim No. 8643 that was filed on June 10, 2010,
for $270,000, saying is no additional tax due.
Irving ISD, a secured creditor, also notified the Court that it
is withdrawing its secured Claim No. 8196 for $210,906 filed on
April 11, 2007. Irving says that the claim is no longer owed by
the Debtors.
Claim No. 8163 filed by The Commonwealth of Pennsylvania
Department of Revenue on December 21, 2005, asserting $17,096, is
likewise withdrawn. The Penn. Revenue Dept. explained that since
the filing of its claim, a remittance or additional information
was received satisfying all liabilities listed on its proof of
claim.
Claim Transfer
BlueMountain-GRF Master Fund L.P. informs the Court that it has
transferred its Claim No. 5245, asserted for $53,012,000, to
BlueMountain Distressed Master Fund L.P.
Parties are directed to make all future payments and
distributions, and to give all notices and other communications
with respect to the transferred claim to:
BlueMountain Distressed Master Fund L.P.
c/o BlueMountain Capital Management, LLC,
its investment manager
280 Park Avenue
5th Floor East
New York, New York 10017
Attention: Michael C. Kass
About Delta Air Lines
Atlanta, Georgia-based Delta Air Lines (NYSE: DAL) --
http://www.delta.com/or http://www.nwa.com/-- provides scheduled
air transportation for passengers and cargo throughout the United
States, and around the world. The Company's route network is
centered on the hub system it operate at airports in Atlanta,
Cincinnati, Detroit, Memphis, Minneapolis/St. Paul, New York-JFK,
Salt Lake City, Paris-Charles de Gaulle, Amsterdam and Tokyo-
Narita. The hub operations include flights, which gather and
distribute traffic from markets in the geographic region
surrounding the hub to domestic and international cities and to
other hubs. The network is supported by a fleet of aircraft, which
is varied in terms of size and capabilities. On December 31,
2009, the Company's wholly owned subsidiary Northwest Airlines,
Inc., merged with and into Delta. The wholly owned subsidiary of
the Company is Northwest Airlines Corporation.
Northwest and 12 affiliates filed for Chapter 11 protection on
September 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17930).
On May 21, 2007, the Court confirmed the Northwest Debtors'
amended plan. That amended plan took effect May 31, 2007.
Delta and 18 affiliates filed for Chapter 11 protection on
September 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923).
Marshall S. Huebner, Esq., at Davis Polk & Wardwell, represented
the Delta Debtors in their restructuring efforts. On April 25,
2007, the Court confirmed the Delta Debtors' plan. That plan
became effective on April 30, 2007.
(Bankruptcy Creditors Service Inc. publishes Delta Air Lines
Bankruptcy News, http://bankrupt.com/newsstand/or 215/945-7000).
* * *
Delta Air Lines and Northwest Airlines carry a 'B/Stable/--'
corporate ratings from Standard & Poor's. They also continue to
carry 'B2' corporate family ratings from Moody's and "B-" LT
Issuer Default rating from Fitch.
DOUBLE D PARK: Case Summary & 2 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Double D. Park, LLC
2100 NASA Parkway, Suite 201
Seabrook, TX 77586
Bankruptcy Case No.: 10-39599
Chapter 11 Petition Date: October 28, 2010
Court: U.S. Bankruptcy Court
Southern District of Texas (Houston)
Judge: Letitia Z. Paul
Debtor's Counsel: Kimberly Anne Bartley, Esq.
WALDRON & SCHNEIDER, L.L.P.
15150 Middlebrook Drive
Houston, TX 77058
Tel: (281) 488-4438
Fax: (281) 488-4597
E-mail: kbartley@ws-law.com
Scheduled Assets: $320,760
Scheduled Debts: $1,035,328
A list of the Company's two largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/txsb10-39599.pdf
The petition was signed by James Douglas Butcher, managing member.
DEVELOPERS DIVERSIFIED: Fitch Puts 'BB' Rating to $305 Mil. Notes
-----------------------------------------------------------------
Fitch Ratings has assigned a 'BB' rating to the $305 million
aggregate principal amount of 1.75% convertible senior notes due
2040 issued by Developers Diversified Realty Corporation. Net
proceeds from the offering are estimated to be $298.6 million, or
$342.7 million if the underwriters' over-allotment option is fully
exercised. The conversion price of $16.38 per share is 27.5% in
excess of DDR's closing common share price on Nov. 1, 2010, of
$12.85. The notes may be put back to DDR by holders on certain
dates, the first of which is Nov. 15, 2015. DDR intends to use
the net proceeds of the offering to repay debt and for general
corporate purposes. DDR's Issuer Default Rating is 'BB' and the
Rating Outlook is Stable.
DDR is a self-administered and self-managed real estate investment
trust, in the business of owning, managing and developing a
portfolio of shopping centers. As of Sept. 30, 2010, DDR owned
and managed approximately 590 retail operating and development
properties in 41 states, Brazil, Canada and Puerto Rico totaling
more than 134 million square feet. As of Sept. 30, 2010, DDR had
$9.3 billion of gross book assets, a total market capitalization
of $7.8 billion, and common equity market capitalization of
$2.9 billion.
DJM HOLDINGS: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: DJM Holdings, Ltd
10100 Pinecrest Road
Concord, OH 44077
Bankruptcy Case No.: 10-20758
Chapter 11 Petition Date: October 29, 2010
Court: United States Bankruptcy Court
Northern District of Ohio (Cleveland)
Judge: Arthur I. Harris
Debtor's Counsel: Glenn E. Forbes, Esq.
COOPER & FORBES
166 Main St
Painesville, OH 44077-3403
Tel: (440) 357-6211
E-mail: Bankruptcy@cooperandforbes.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ohnb10-20758.pdf
The petition was signed by Martin A. Maniaci.
DOLLAR GENERAL: Moody's Upgrades Corporate Family Rating to 'Ba3'
-----------------------------------------------------------------
Moody's Investor Service upgraded Dollar General Corporation's
long term ratings including its Corporate Family and Probability
of Default Rating to Ba3 from B1. In addition, the SGL-1
Speculative Grade Liquidity Rating was affirmed. The rating
outlook is positive.
The upgrade reflects Dollar General's continued strong operating
performance and modest debt repayments from free cash flow. The
upgrade also reflects Moody's opinion -- absent a material debt
finance transaction -- that Dollar General will be able to
maintain credit metrics appropriate for the Ba3. The company's
continued voluntary debt repayments, strong cash flow generation,
and solid credit metrics provide it with ample flexibility to
maintain a solid financial profile.
Ratings Rationale
The Ba3 Corporate Family Rating reflects Dollar General's solid
credit metrics, its dominant position in a segment of retail which
Moody's believes is relatively resistant to economic cycles, and
it's very good liquidity. The rating also considers Moody's
expectation that the company will continue to perform solidly
through the sluggish economic environment and -- absent a material
debt financed transaction -- that its credit metrics will continue
to modestly improve. However, given financial sponsor Kohlberg
Kravis Robert's controlling interest in Dollar General, its medium
to longer term financial policy and targeted capital structure is
currently unclear. As a result, there is a reasonable possibility
that Dollar General will consider re-leveraging at some point in
the future which is a rating constraint.
The positive outlook reflects Moody's opinion that Dollar
General's credit metrics are likely to continue to improve to
levels that are more indicative of a higher rating unless its
financial sponsor owners decide to return sizable value to the
equity holders. The positive outlook also reflects that Dollar
General will continue to maintain very good liquidity.
These ratings have been upgraded:
-- Corporate Family Rating to Ba3 from B1;
-- Probability of Default Rating to Ba3 from B1;
-- $1.7 billion ($1.4 billion outstanding) first out term loan
B1 to Ba2 (LGD 3, 31%) from Ba3 (LGD 3, 34%);
-- $600 million ($512 million outstanding) first-loss term loan
B to Ba3 (LGD 4, 55%) from B2 (LGD 4, 59%);
-- $1.175 billion (now $864 million outstanding) senior
unsecured notes to B1 (LGD 5, 76%) from B3 (LGD 5, 79%);
-- $700 million (now $451 million) subordinated notes to B2 (LGD
6, 93%) from B3 (LGD 6, 94%).
This rating is affirmed:
-- Speculative Grade Liquidity rating at SGL-1.
An upgrade would require Dollar General to continue to generate
solid operating results while showing evidence that its
controlling owner, KKR, supports financial policies which allow
the company to maintain credit metrics consistent with a higher
rating over the medium term. Quantitatively, an upgrade would
require debt to EBITDA remain below 3.5 times and EBITA to
interest expense remain above 3.0 times.
Ratings could be downgraded should Dollar General's operating
performance deteriorate or debt levels increase such that debt to
EBITDA is sustained above 4.0 times or EBITA to interest expense
falls below 2.25 times. Ratings could also be downgraded should
Dollar General's financial policies become more aggressive.
The last rating action for Dollar General was on December 17, 2009
when its Corporate Family Rating was upgraded to B1 from B2.
Dollar General Corporation, headquartered in Goodlettsville,
Tennessee, operates over 8,700 extreme value general merchandise
stores in 35 states. Revenues are about $12.4 billion.
DOUGLAS HUNTINGTON: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------------
Debtor: Douglas Huntington
11407 Gravelly Lake Dr. SW
Lakewood, WA 98499
Bankruptcy Case No.: 10-48947
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
Western District of Washington (Tacoma)
Judge: Brian D. Lynch
Debtor's Counsel: Donald A. Bailey, Esq.
SHAFER & BAILEY LLP
1218 3rd Ave Ste 1808
Seattle, WA 98101
Tel: (206) 682-4802
E-mail: donald.bailey@shaferbailey.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Debtor's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/wawb10-48947.pdf
Debtor-affiliate that filed separate Chapter 11 petition:
Petition
Debtor Case No. Date
------ -------- ----
Huntington Properties III, LLC 10-47647 09/16/10
DUNHILL ENTITIES: Chapter 11 Reorganization Case Dismissed
----------------------------------------------------------
The Hon. William S. Shulman of the U.S. Bankruptcy Court for the
Southern District of Alabama granted Dunhill Entities, LP, et
al.'s request to dismiss their Chapter 11 cases.
As reported in the Troubled Company Reporter on May 31, 2010,
Travis M. Bedsole, Jr., the U.S. Bankruptcy Administrator also
asked the Court to dismiss the Debtors' cases explaining that the
Debtors failed to file these reports:
1. BA-2 quarterly fee statement for March 2010;
2. Quarterly fees due for March 2010; and
3. List of Salaries, Compensation and Fringe Benefits.
Dunhill Entities, LP, owns two petroleum storage facilities in
Alabama.
Dunhill Entities, along with affiliates, filed for Chapter 11
bankruptcy protection on March 26 in Mobile, Alabama (Bankr. S.D.
Ala. Case No. 10-01342). The Company disclosed $27,633,889 in
assets and $23,822,445 in liabilities.
EDG HOLDINGS: Liens on Environmental Recoveries Not Avoidable
-------------------------------------------------------------
The Illinois legislature, WestLaw reports, by providing that no
assignments of rights to payment from the Illinois Leaking
Underground Storage Tank (LUST) fund would be recognized except
assignments of rights to payment that had already been approved by
the Illinois Environmental Protection Agency (IEPA), did not
establish a public policy against collateral pledges of claims for
reimbursement from the LUST fund that were in other stages of
completion. Rather, it merely attempted to limit the state's
liability and administrative responsibility in recognition of the
difficulties associated with processing assignment forms on claims
that had not yet been submitted to the IEPA for review. Thus,
liens which creditors asserted against a Chapter 11 debtor's
right, as an environmental remediation company that had performed
remediation work in connection with leaking underground storage
tanks, to payment from the LUST fund were not void as against
public policy as regards rights to payment that did not correspond
to claims already approved by the IEPA. In re EDG Holdings, Inc.,
--- B.R. ----, 2010 WL 3125943 (Bankr. S.D. Ill.) (Grandy, J.).
EDG Holdings, Inc., a real estate concern, and United Science
Industries, Inc., an environmental remediation concern, based in
Mt. Vernon, Ill., sought chapter 11 protection (Bankr. S.D. Ill.
Case Nos. 09-41525 and 09-41563) on Sept. 15 and Sept. 21, 2009.
Terry Sharp, Esq., and John T. Hundley, Esq. at The Sharp Law
Firm, P.C., in Mt. Vernon, Ill., represent the Debtors. In their
petitions, the Debtors estimated assets and debts of $10 million
to $50 million.
EFFECTIVE CONTROL: Chapter 15 Case Summary
------------------------------------------
Chapter 15 Petitioner: Yannick Zicat
Chapter 15 Debtor: Effective Control Transport Inc.
2640, boul Laurier bur. 1700
Quebec QC, G1V5C2
Quebec
Canada
Chapter 15 Case No.: 10-13539
Type of Business: The Debtor, a Canada-based company, is an
information technology firm that develops
telematics security solutions, systems and
service for tracking, managing and controlling
fleets.
Chapter 15 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
District of Delaware (Delaware)
Debtor's Counsel: William E. Chipman, Jr.
LANDIS RATH & COBB LLC
919 North Market Street, Suite 1800
Wilmington, DE 19801
Tel: (302) 467-4437
Fax: (302) 467-4450
E-mail: chipman@lrclaw.com
Estimated Assets: $0 to $50,000
Estimated Assets: $1,000,001 to $10,000,000
The Company did not file a list of creditors together with its
petition.
ELITE LANDINGS: Creditor Withdraws Request for Ch. 7 Conversion
---------------------------------------------------------------
Asset Based Resource Group, LLC, notified the U.S. Bankruptcy
Court for the District of Minnesota that it has withdrawn its
motion to convert the Chapter 11 cases of Elite Landings, LLC, and
Petters Aviation, LLC, to one under Chapter 7 of the Bankruptcy
Code.
ABRG is successor servicer to Acorn Capital Group, LLC, a creditor
and party-in-interest in the Debtors' cases.
ABRG previously requested for the conversion of the Debtors' cases
because the Debtors have no likelihood of rehabilitation or
reorganization. ABRG said that the Debtors ceased all business
operations and liquidated substantially all of their assets.
About Elite Landings
Based in Minnetonka, Minnesota, Elite Landings, LLC was, prior to
filing for bankruptcy, engaged in the business of purchasing
Airbus Corporate Jet Aircraft from Airbus S.A.S. and reselling
them. The company filed for Chapter 11 relief on Oct. 9, 2008
(Bankr. D. Minn. Case No. 08-45210). Cass Weil, Esq., and James
A. Rubenstien, Esq., at Moss & Barnett, represent Elite Landings,
LLC as counsel. In its petition, the Company estimated between
$10 million and $50 million in assets and debts.
The company is a wholly owned subsidiary of Petters Aviation, LLC.
Petters Aviation is the owner of 84.4% of the issued and
outstanding stock in MN Airline Holdings, Inc., which, in turn,
owns 100% o the stock in MN Airlines, LLC dba Sun Country
Airlines. Petters Aviation filed its Chapter 11 case on
October 6, 2008.
Both MN Airline Holdings, and MN Airlines, LLC are debtors-in-
possession in Chapter 11 cases pending in the district.
Petters Aviation is a wholly owned subsidiary of Thomas Petters,
Inc., which is in turn owned 100% by Thomas J. Petters,
individually. Thomas Petters, the founder and former CEO of
Petters Group, has been indicted and a criminal proceeding against
him is proceeding in the U.S. District Court for the District of
Minnesota.
About Petters Group Worldwide
Based in Minnetonka, Minn., Petters Group Worldwide LLC is named
for founder and chairman Tom Petters. The group is a collection
of some 20 companies, most of which make and market consumer
products. It also works with existing brands through licensing
agreements to further extend those brands into new product lines
and markets. Holdings include Fingerhut (consumer products via
its catalog and Web site), SoniqCast (maker of portable, WiFi MP3
devices), leading instant film and camera company Polaroid
(purchased for $426 million in 2005), Sun Country Airlines
(acquired in 2006), and Enable Holdings (online marketplace and
auction for consumers and manufacturers' overstock inventory).
Petters formed the company in 1988.
Petters Company, Inc. is the financing and capital-raising unit of
Petters Group Worldwide, LLC. Petters Company, Inc. and Petters
Group Worldwide, LLC, filed separate petitions for Chapter 11
relief on Oct. 11, 2008 (Bankr. D. Minn. Case No. 08-45257 and 08-
45258, respectively). James A. Lodoen, Esq., at Lindquist &
Vennum P.L.L.P., represents the Debtors as counsel. In its
petition, Petters Company, Inc. estimated debts of between
$500 million and $1 billion, while its parent, Petters Group
Worldwide, LLC, estimated debts of not more than $50,000.
As reported in the Troubled Company Reporter on Oct. 7, 2008,
Petters Aviation, LLC,, and affiliates MN Airlines, LLC, doing
business as Sun Country Airlines, Inc., and MN Airline Holdings,
Inc., filed for Chapter 11 bankruptcy protection with the U.S.
Bankruptcy Court for the District of Minnesota on Oct. 6, 2008
(Lead Case No. 08-45136). Petters Aviation, LLC is a wholly owned
unit of Thomas Petters Inc. and owner of MN Airline Holdings,
Inc., Sun Country's parent company.
Polaroid Corp., which was owned by Petters since 2005, filed its
second voluntary petition for Chapter 11 on Dec. 18, 2008 (Bankr.
D. Minn., Lead Case No. 08-46617).
ELMER DUNBAR: Case Summary & 14 Largest Unsecured Creditors
-----------------------------------------------------------
Joint Debtors: Elmer Emmett Dunbar, Jr.
Delores Elaine Dunbar
8502 Westover Drive
Prospect, KY 40059
Bankruptcy Case No.: 10-35687
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
Western District of Kentucky (Louisville)
Judge: Joan A. Lloyd
Debtor's Counsel: K. Gail Russell, Esq.
GOLDBERG SIMPSON, LLC
9301 Dayflower Street
Prospect, KY 40059
Tel: (502) 589-4440
Fax: (502) 581-1344
E-mail: grussell@goldbergsimpson.com
Estimated Assets: $0 to $50,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Joint Debtors' 14 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/kywb10-35687.pdf
ENERGY XXI: S&P Raises Corporate Credit Rating to 'B'
-----------------------------------------------------
Standard & Poor's Ratings Services raised its corporate credit
rating on exploration and production company Energy XXI (Bermuda)
Ltd. to 'B' from 'B-'.The outlook is stable. In addition, S&P
raised the ratings of the second lien and senior unsecured debt by
one notch to 'BB-' and 'B+', respectively. The respective
recovery ratings are unchanged.
"The ratings upgrade reflects improved liquidity and financial
measures following the preferred and common equity offerings
totaling $499 million," said Standard & Poor's credit analyst
Paul Harvey. Energy XXI will use proceeds to tender for about
$120 million of its 16% notes, and repay $91.5 million outstanding
borrowings on its credit facility. As a result, S&P expects 2011
adjusted debt leverage to fall to around 2x. Near-term liquidity
will improve to more than $500 million, with cash on hand of
around $250 million and full availability of its $350 borrowing
base. S&P notes, however, that the company is likely to use the
cash on hand over the next 12 months to either repay debt, fund
acquisitions, or to expand capital spending.
The ratings on Energy XXI (Bermuda) Ltd. reflect its modest
reserve size, its focus on the challenging Gulf of Mexico region
that requires high reinvestment to maintain production and reserve
levels, an elevated cost structure, and uncertainty about
potential delays in permitting processes in the Gulf of Mexico.
Rating factors S&P has also taken into account are the company's
improved financial measures and liquidity, as well as S&P's
expectations that the company will continue to focus on balancing
capital spending and cash flows.
The stable outlook reflects S&P's expectation that near-term debt
leverage will remain under 2.5x, and that the company's operating
performance will not materially change due to potential new
regulations and permitting processes in the Gulf of Mexico. S&P
could lower the ratings if adjusted debt leverage exceeds 4x or if
interest coverage falls below 2.5x. S&P could raise ratings if
debt leverage remains around 2x while the company continues to
increase its scale of operations and maintains an above-average
reserve life for the Gulf of Mexico region.
ENRON CORP: The Regents Wants Post-Oct. 12 Claims Denied
--------------------------------------------------------
The Regents of the University of California asks the U.S. District
Court for the Southern District of Texas to reject any claims
submitted after October 12, 2010.
The Regents says it is preparing to do one final, large
distribution of Enron settlement funds to eligible claimants who
have submitted valid Proof of Claim forms. According to the
Regents, this distribution should occur sometime in December 2010.
The Regents tell the Court that 518 late claims that generate a
Recognized Claim were submitted after the current December 1, 2009
deadline. The Regents relates that Gilardi & Co. LLC is
processing these claims and if all of them are valid they will
have a Recognized Claim of $118,440,892 in the aggregate. The
Regents requests that to the extent these claims are valid they be
approved and included in the final distribution. However, in
order to bring the claims and distribution process to a close, the
Regents asks the Court to order that no claims submitted after
October 12, 2010 be accepted for any reason.
About Enron Corp.
Based in Houston, Texas, Enron Corporation filed for Chapter 11
protection on December 2, 2001 (Bankr. S.D.N.Y. Case No.
01-16033) following controversy over accounting procedures that
caused Enron's stock price and credit rating to drop sharply.
Enron hired lawyers at Togut Segal & Segal LLP; Weil, Gotshal &
Manges LLP, Venable; Cadwalader, Wickersham & Taft, LLP for its
bankruptcy case. The Official Committee of Unsecured Creditors in
the case tapped lawyers at Milbank, Tweed, Hadley & McCloy LLP.
The Debtors won confirmation of their Plan in July 2004, and the
Plan was declared effective on November 17, 2004. After approval
of the Plan, the new board of directors decided to change the name
of Enron Corp. to Enron Creditors Recovery Corp. to reflect the
current corporate purpose. ECRC's sole mission is to reorganize
and liquidate certain of the operations and assets of the "pre-
bankruptcy" Enron for the benefit of creditors.
ECRC has been involved in the MegaClaims Litigation, an action
against 11 major banks and financial institutions that ECRC
believes contributed to Enron's collapse; the Commercial Paper
Litigation, an action involving the recovery of payments made to
commercial paper dealers; and the Equity Transactions Litigation,
which ECRC filed against Lehman Brothers Holdings, Inc., UBS AG,
Credit Suisse and Bear Stearns to recover payments made to the
four banks on transactions involving Enron's stock while the
company was insolvent.
ENRON CORP: The Regents Wants Roig & Alentorn Calims Denied
-----------------------------------------------------------
The Regents of the University of California asks the U.S. District
Court for the Southern District of Texas to deny the claims of
Maria Roig Pons and Cesar Pau Alentorn. The Regents asserts that
Pons/Alentorn did not provide any further support of their claims.
Pons/Alentorn, residents of Spain, submitted three claims to the
claims administrator, Gilardi & Co. LLC, within the initial
deadline of April 30, 2008.
Roger B. Greenberg, Esq., at Schwartz, Junell, Greenberg &
Oathout, LLP, in Houston, Texas, attorney for The Regents, relates
that in November 2008, Pons/Alentorn submitted documentation from
three banks, Banco de Sabadell, BBVA and Banco Santander.
Pons/Alentorn claimed that these banks were used by them to
purchase Enron stock. Among other things, Mr. Greenberg notes,
several of these documents lacked dates of purchase.
According to Mr. Greenberg, each of the banks listed purchases of
Enron common stock during the period July to October 2001 and
provided purported purchase confirmation documentation; no sales
were identified. The Recognized Claim generated by those
purchases -- some 5,220,000 shares of Enron common stock -- was
almost $200 million and would result in distributions to
Pons/Alentorn totaling approximately $57 million, Mr. Greenberg
tells the Court.
About Enron Corp.
Based in Houston, Texas, Enron Corporation filed for Chapter 11
protection on December 2, 2001 (Bankr. S.D.N.Y. Case No.
01-16033) following controversy over accounting procedures that
caused Enron's stock price and credit rating to drop sharply.
Enron hired lawyers at Togut Segal & Segal LLP; Weil, Gotshal &
Manges LLP, Venable; Cadwalader, Wickersham & Taft, LLP for its
bankruptcy case. The Official Committee of Unsecured Creditors in
the case tapped lawyers at Milbank, Tweed, Hadley & McCloy LLP.
The Debtors won confirmation of their Plan in July 2004, and the
Plan was declared effective on November 17, 2004. After approval
of the Plan, the new board of directors decided to change the name
of Enron Corp. to Enron Creditors Recovery Corp. to reflect the
current corporate purpose. ECRC's sole mission is to reorganize
and liquidate certain of the operations and assets of the "pre-
bankruptcy" Enron for the benefit of creditors.
ECRC has been involved in the MegaClaims Litigation, an action
against 11 major banks and financial institutions that ECRC
believes contributed to Enron's collapse; the Commercial Paper
Litigation, an action involving the recovery of payments made to
commercial paper dealers; and the Equity Transactions Litigation,
which ECRC filed against Lehman Brothers Holdings, Inc., UBS AG,
Credit Suisse and Bear Stearns to recover payments made to the
four banks on transactions involving Enron's stock while the
company was insolvent.
EXCO RESOURCES: Moody's Gives Developing Outlook; Puts 'B1' Rating
------------------------------------------------------------------
Moody's Investors Service has revised EXCO Resources, Inc. outlook
to Developing from Positive reflecting the uncertainty caused by
the recent announcement that EXCO's Chairman and Chief Executive
Officer, along with an investor group, has submitted a proposal to
purchase all of the outstanding shares of the company for
$20.50 per share. The bid has initiated a series of events which
could lead to a recapitalization or sale of the company.
Currently, EXCO's Corporate Family Rating is B1 and the company's
$750 million senior notes are rated B3.
A special committee of EXCO's Board of Directors is being formed
to evaluate the management buyout proposal. In evaluating the
proposal, the special committee may decide to accept the offer,
reject the offer, or initiate an auction of the company in an
attempt to maximize shareholder value. The evaluation process and
the resulting action plan are expected to take 6 to 9 months to
complete.
The indenture for the recently issued senior notes includes a
carve out that permits a management led buyout of EXCO.
Therefore, should the management buyout proposal proceed to
closing, a change in control put would not be activated.
According to Stuart Miller, Moody's Senior Analyst, "We believe
the management buyout proposal set in motion a series of events
that are most likely credit negative." Until a decision is made,
the evaluation process will be a distraction to the company's
management and employees which increases the risk of a decline in
operating performance. Should the management buyout offer get
accepted, it is likely that a portion of the financing would come
in the form of incremental debt. With the large amount of capital
needed to develop its shale gas properties, any non-productive
increase in leverage would have a compounding negative effect on
EXCO's credit profile.
However, there is a small chance for a positive rating action.
With the company "in play", a more highly rated entity may be
willing to pay a premium to gain access to EXCO's large natural
gas asset base. Once there is clarity on the final capital
structure and ownership of EXCO, the credit rating and outlook
will be updated to reflect any change in the company's credit
profile.
The last rating action was on November 3, 2009, when EXCO's CFR
and PDR were upgraded to B1 from B2, with a positive outlook, and
the senior note rating was raised to B3 from Caa1.
EXCO Resources, Inc., is headquartered in Dallas, Texas. Over the
last two years the company has sold assets with the proceeds used
to reduce debt. After the sales, the company's largest resource
positions are in the Marcellus Shale in the Northeast and in the
Bossier and Haynesville Shale in East Texas/North Louisiana.
EXCO RESOURCES: S&P Puts 'BB-' Rating to CreditWatch Negative
-------------------------------------------------------------
Standard & Poor's Ratings Services placed its 'BB-' corporate
credit rating on Dallas-based independent exploration and
production company EXCO Resources Inc. on CreditWatch with
negative implications. S&P also placed the 'B' issue-level rating
on EXCO's senior unsecured debt on CreditWatch with negative
implications. The recovery rating on this debt remains '6',
indicating S&P's expectation of negligible (0%-10%) recovery in
the event of a payment default.
The rating actions follow EXCO's announcement that its Chairman
and CEO, Doug Miller, had submitted a buyout proposal to the board
of directors for all the outstanding shares of EXCO stock not
owned by Mr. Miller at a cash price of $20.50 per share.
According to Mr. Miller's letter noting the proposal, Boone
Pickens, Oaktree Capital Management L.P., and Ares Management LLC,
who together with Mr. Miller have nearly 30% of EXCO's outstanding
shares and have seats on the board of directors, have expressed an
interest in pursuing the acquisition with Mr. Miller. Based on
current shares outstanding, the purchase price would be well over
$4 billion and could entail debt financing.
"If the buyout is successful, leverage may meaningfully increase,
negatively affecting credit quality," said Standard & Poor's
credit analyst Patrick Lee. "The proposal also reflects a very
aggressive financial policy that was not previously factored in
the ratings and that may negatively affect the corporate credit
and issue-level ratings."
Depending on how the buyout proposal is ultimately structured, S&P
could lower the ratings by one or more notches if leverage and
capital protection materially worsen.
FAIRWAY, LLC: Case Summary & 19 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Fairway, LLC
P.O. Box 327
Braddock, PA 15104
Bankruptcy Case No.: 10-27693
Chapter 11 Petition Date: October 29, 2010
Court: U.S. Bankruptcy Court
Western District of Pennsylvania (Pittsburgh)
Judge: M. Bruce McCullough
Debtor's Counsel: Donald R. Calaiaro, Esq.
CALAIARO & CORBETT, P.C.
Grant Building, Suite 1105
310 Grant Street
Pittsburgh, PA 15219-2230
Tel: (412) 232-0930
Fax: (412) 232-3858
E-mail: dcalaiaro@calaiarocorbett.com
Estimated Assets: $100,001 to $500,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 19 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/pawb10-27693.pdf
The petition was signed by Susan Sciarretti, managing member.
FORD MOTOR: Says October 2010 Sales Up 19%
------------------------------------------
Ford Motor Company said consumer demand for its fresh lineup of
high-quality, fuel-efficient vehicles in October helped the
company grow monthly sales 19% versus a year ago, with 157,935
units sold. Ford said car sales were up 20%, utilities were up 9%
and trucks were up 25%. Year-to-date, Ford car sales were up 18%,
utilities were up 15% and trucks were up 28%.
Year-to-date, Ford, Lincoln and Mercury sales totaled 1.6 million,
up 21% -- growing double the overall industry rate. Ford said it
is on track to gain market share for the second year in a row -- a
result not achieved since 1993.
"Increasingly, consumers are choosing Ford," said Ken Czubay, Ford
vice president, U.S. Marketing, Sales and Service. "Ford's broad
range of high-quality, fuel-efficient vehicles offer buyers value
that endures for the life of the purchase and when they trade
their vehicle."
A copy of Ford's statement is available at http://is.gd/gGTd2
A copy of Ford's report is available at http://is.gd/gGTow
* * *
Neal E. Boudette and John Kell, writing for The Wall Street
Journal, report that U.S. sales of cars and light trucks rose
13.4% in October 2010 from a year ago, bringing some cheer to an
industry that has been frustrated by the slow economic recovery.
The Journal relates that:
-- Ford Motor Co., said it sold 157,650 cars and light trucks
in October -- up 16% from a year ago, when it sold 136,583
and still owned Swedish car maker Volvo. When adjusted
for the Volvo sale to a Chinese car company, Ford's sales
were up 19%.
-- General Motor Co.'s sales totaled 183,543 vehicles. GM
managed only a 4.2% rise in sales of its light vehicles,
in part because it cut back on sales to fleet customers
like rental-car firms. Those sales often are less
profitable than sales to consumers. For the month, GM
had U.S. market share of 19.3% -- up from 18% in September
and 18.6% in August, but down from 21% a year ago.
-- Chrysler Group LLC said its sales climbed 37% from a
particularly weak month in 2009. Chrysler's jumped to
90,137, helped by big increases in sales of its Ram
pickups and Jeep Grand Cherokee sport-utility vehicle.
-- Honda's sales grew 16% to 98,811 vehicles.
-- Nissan's rose 16% to 69,773.
The Journal notes GM's market share is being closely watched as it
heads toward an initial public offering of stock later this month.
The Journal relates Toyota Motor Corp. was one of the few car
makers to see a decline in U.S. sales. Its total dropped 4.4% to
145,474 vehicles as sales of several popular cars, including the
Camry, Prius and Corolla, fell 10% or more compared with October
2009. Toyota saw its reputation dinged this year by safety-
related recalls.
According to the Journal, Autodata Corp. said U.S. sales of light
vehicles totaled 950,165, up from the year-ago figure of 838,133.
The seasonally adjusted, annualized selling pace in the month came
to 12.26 million vehicles, Autodata said, the highest level since
the government's "cash for clunkers" rebates created a spike in
new-car buying in August 2009.
About Ford Motor
Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures or distributes automobiles
across six continents. With about 200,000 employees and about 90
plants worldwide, the company's automotive brands include Ford,
Lincoln, Mercury and Volvo. The Company provides financial
services through Ford Motor Credit Company.
Ford Motor's balance sheet at June 30, 2010, showed $179.75
billion in total assets, $183.29 billion in total liabilities, and
a $3.54 billion stockholders' deficit.
* * *
In August 2010, Standard & Poor's Ratings Services raised its
corporate credit rating on Ford Motor Co. and FordMotor Credit Co.
LLC to 'B+' from 'B-'. "The upgrade reflects S&P's reassessment
of Ford's business risk profile to weak from vulnerable, and its
financial risk profile to aggressive from highly leveraged," said
Standard & Poor's credit analyst Robert Schulz. S&P believes Ford
is making progress in stabilizing, and perhaps improving, its U.S.
market shares Still, S&P believes underlying business risks
remain high.
Ford Motor and its unit, Ford Motor Credit, carry 'BB-' issuer
default ratings from Fitch Ratings. In August 2010, when Fitch
raised the rating from 'B', it said, Ford's ratings reflect its
continued strong financial performance and the substantial debt
reduction accomplished in the second quarter."
Ford Motor has a 'B1' corporate family rating from Moody's.
Moody's has placed on review for possible upgrade eleven tranches
from five auto floorplan securitizations sponsored by Ford Motor
Credit Company during 2006 and 2010. In addition, Moody's has
also placed on review for possible upgrade Class B notes issued by
Morgan Stanley Resecuritzation Trust 2010-F backed by Ford Credit
Floorplan Master Owner Trust 2006-4 notes.
Moody's Investors Service raised the Corporate Family Rating of
Ford Motor Company to Ba2 from B1. Other ratings that were raised
include Probability of Default to Ba2 from B1; senior secured
credit facility to Baa3 from Ba1; senior unsecured to Ba3 from B2;
and, preferred stock to B1 from B3. In a related action, Moody's
also raised the CFR and senior unsecured ratings of Ford Motor
Credit Company LLC, FCE Bank Plc, and Ford Credit Canada Limited
to Ba2 from Ba3. The rating outlook for Ford and Ford Credit is
stable.
FULLER-AUSTIN: Court Permits Excess Insurer to Submit Evidence
--------------------------------------------------------------
In 1994, Fuller-Austin Insulation Company filed a declaratory
relief action against approximately 20 excess insurance carriers
to establish coverage for asbestos-related personal injury claims.
Throughout the past 16 years, all defendants but one, Stonewall
Insurance Company, have been dismissed from the case. The case is
awaiting retrial following the opinion of the Court of Appeals of
California, Second District, Division Two, in Fuller-Austin
Insulation Co. v. Highlands Ins. Co. (2006) 135 Cal.App.4th 958,
in which the appeals court affirmed in part and reversed in part a
judgment entered following a phased bench and jury trial. The
trial court in the first trial ruled that Fuller-Austin's primary
umbrella policies were exhausted as a matter of law as the result
of settlement payments by primary insurers. In anticipation of
the retrial, Fuller-Austin filed a motion in limine to prohibit
Stonewall, an excess insurer, from presenting evidence or argument
challenging the exhaustion of the umbrella policies. The appeals
court on November 1, 2010, held that the Superior Court of Los
Angeles County correctly granted the motion. Accordingly, the
appeals court denies Fuller-Austin's petition.
The case is Stonewall Insurance Company, Petitioner, v. The
Superior Court of Los Angeles County, Respondent; Fuller-Austin
Insulation Company, Real Party In Interest, No. B223251 (Calif.
App. Ct.) (Chavez, J.), and a copy of the appeals court's decision
dated November 1, 2010, is available at http://is.gd/gEvvXfrom
Leagle.com.
Stonewall is represented in the case by:
Susan J. Field, Esq.
Kenneth G. Katel, Esq.
Jennifer M. Kokes, Esq.
MUSIK, PEELER & GARRETT LLP
One Wilshire Boulevard Suite 2000
Los Angeles, CA 90017
Telephone: (213) 629-7886
Facsimile: (213) 624-1376
E-mail: s.field@mpglaw.com
k.katel@mpglaw.com
j.kokes@mpglaw.com
Certain London Market Insurers, as Amici Curiae on behalf of
Stonewall, is represented in the case by:
Phillip Matthews, Esq.
William J. Baron, Esq.
DUANE MORRIS LLP
Suite 2200, One Market Plaza, Spear Tower
San Francisco, CA 94105-1127
Telephone: (415) 957-3174
Facsimile: (415) 520-5640
E-mail: PRMatthews@duanemorris.com
WJBaron@duanemorris.com
No appearance for Respondent.
Fuller-Austin is represented in the case by:
Michel Y. Horton, Esq.
Jason B. Komorsky, Esq.
Thomas M. Peterson, Esq.
MORGAN, LEWIS & BOCKIUS LLP
300 South Grand Ave, 22nd Fl.
Los Angeles, CA 90071-3132
Telephone: 213-612-7300
E-mail: mhorton@morganlewis.com
jkomorsky@morganlewis.com
tmpeterson@morganlewis.com
Fuller-Austin filed for Chapter 11 bankruptcy protection on
September 4, 1998, with a "prepackaged" bankruptcy plan it had
negotiated with attorneys representing asbestos claimants. The
bankruptcy court approved the plan on November 13, 1998.
GAS CITY: Gets Nod for Kurtzman Carson Consultants as Claims Agent
------------------------------------------------------------------
Gas City, Ltd., et al., sought and obtained authorization from the
U.S. Bankruptcy Court for the Northern District of Illinois to
employ Kurtzman Carson Consultants LLC as notice, claim and
balloting agent.
KCC will, among other things:
a. prepare and serve notices in the Debtors' Chapter 11
cases;
b. receive and record proofs of claim and proofs of interest
filed;
c. create and maintain official claims registers; and
d. act as balloting agent.
KCC will be paid based on the hourly rates of its personnel:
Senior Consultant/Senior Managing
Consultant $225-$295
Consultant $165-$220
Project Specialist $80-$140
Clerical $40-$60
Technology/Programming Consultant $190
Prior to the Petition Date, the Debtors paid KCC a retainer of
$40,000. This retainer will be held by KCC during the Debtors'
cases as security for the payment of amounts due under the KCC
Agreement, a copy of which is available for free at:
http://bankrupt.com/misc/GAS_CITY_kccpact.pdf
Albert H. Kass, KCC's vice president of corporate restructuring
services, assures the Court that the firm is "disinterested" as
that term is defined in Section 101(14) of the Bankruptcy Code.
Frankfort, Illinois-based Gas City Ltd. -- http://www.gascity.net/
-- is an independent petroleum marketer with locations in
Northeast Illinois, Northwest Indiana, Florida and Arizona. It
filed for Chapter 11 bankruptcy protection on October 26, 2010
(Bankr. N.D. Ill. Case No. 10-47879). Paul V Possinger, Esq., at
Proskauer Rose LLP, and Daniel A Zazove, Esq., at Perkins Coie
LLP, assist the Debtor in its restructuring effort. A. Jeffrey
Zappone at Conway Mackenzie is the Debtor's chief restructuring
officer.
The Debtor estimated its assets at $50 million to $100 million and
debts at $100 million to $500 million
Affiliate William J. McEnery Revocable Trust filed a separate
Chapter 11 petition.
GATEWAY CASINOS: Moody's Assigns 'B1' Corporate Family Rating
-------------------------------------------------------------
Moody's Investors Service assigned B1 Corporate Family and
Probability of Default ratings to Gateway Casinos & Entertainment,
Ltd. A B3 rating was also assigned to the company's new
CD$170 million second lien notes. A Ba3 was assigned to the new
CD$385 million first lien credit facility. The rating outlook is
stable.
New ratings assigned:
-- Corporate Family Rating at B1
-- Probability of Default Rating at B1
-- CD$35 million first lien revolver expiring 2015 at Ba3 (LGD
3, 32%)
-- CD$150 million first lien term loan A due 2015 at Ba3 (LGD 3,
32%)
-- CD$200 million year first lien term loan B due 2016 at Ba3
(LGD 3, 32%)
-- CD$170 million second lien notes due 2017 at B3 (LGD 5, 85%)
Rating Rationale
Proceeds from the new debt offerings will be used to refinance
Gateway's existing US$500 million first lien term loan that was
put into place upon recapitalization pursuant to Gateway's Plan of
Arrangement completed on September 16, 2010.
The B1 Corporate Family Rating considers the risks associated with
Gateway's small size, limited diversification, and high leverage.
Debt/EBITDA -- pro forma for the company's recent recapitalization
-- is 5.2 times including capital expenditure recoveries received
from the British Columbia Lottery Corporation (7.8 times excluding
these recoveries). The ratings also recognize that approximately
50% of its property-level EBITDA currently comes from only two
casinos located in British Columbia. Positive rating
consideration is given to the favorable regulatory environment,
including substantial barriers to entry that exist in the Canadian
gaming market -- there is currently a moratoria on new gaming
licenses in British Columbia -- and the company's eligibility for
capital spending reimbursement programs in British Columbia. The
rating also considers Gateway's good liquidity profile.
The British Columbia Lottery Corporation reimburses a significant
share of capital expenditures of casino operators through the
casino operator capital expenditure recovery program. Capital
expenditures incurred by Gateway that have previously been
approved by the BCLC are contractually subject to such
reimbursement. This allows Gateway to capture additional share of
gaming win by lowering the portion they need to pass on to the
government, and by doing so reimbursing Gateway for past capital
expenditures. These "reimbursements" are expected to continue to
account for about 25% to 30% of Gateway's consolidated EBITDA over
the next few years and help the company reduce debt. While
Moody's views these capital reimbursements favorably from a free
cash flow perspective, there is no assurance that past
expenditures not yet submitted to the BCLC and future capital
expenditures will qualify for reimbursement. Additionally, as
Gateway's growth rate has slowed and capital expenditures
declined, its future reimbursements will also begin to decline at
some point. Thus if for any reason capital spending
reimbursements were to decline, the material boost they have
provided to the company's earnings and cash flow would decrease,
which would likely have a negative impact on credit metrics if not
offset by a proportional reduction in debt.
The Ba3 rating on Gateway's senior secured bank facility is one
notch higher than the company's Corporate Family Rating reflecting
the support it receives from the second lien notes and about $20
million of other junior liabilities. The B3 rating for Gateway's
second lien notes is two notches lower than the company's
Corporate Family Rating. This reflects the notes' junior ranking
position to Gateway's senior secured bank facility which accounts
for a majority of the company's debt capital structure.
The stable rating outlook anticipates that Gateway will continue
to benefit from the current moratoria on new gaming licenses in
British Columbia. It also considers the company's limited capital
spending plans and the favorable impact that should have on the
company's free cash flow and ability to achieve its goal of
reducing leverage. At the same time, the stable rating outlook
acknowledges the aggressive term loan amortization schedule that
could become difficult to meet if Gateway's EBITDA declines for
any reason.
Ratings could improve if it appears that Gateway will achieve and
sustain debt/EBITDA at or below 4.0 times (including capital
expenditure recoveries). Also required for a rating upgrade would
be the continuation of the high barriers to entry and capital
recovery program that already exist, and that the company maintain
its good liquidity profile. Ratings could be lowered if it
appears that Gateway's debt/EBITDA will rise above 6.0 times
and/or the benefits associated with the moratoria on new gaming
licenses in British Columbia and/or capital recovery program are
no longer in effect.
Gateway Casinos and Entertainment Limited manages casino
properties throughout Canada including three casinos in the
Greater Vancouver Regional District, four casinos in Thompson-
Okanagan region of British Columbia, and two casinos in Edmonton,
Alberta. Gateway emerged from a recapitalization on September 16,
2010 pursuant to a Plan of Arrangement. The company is
principally owned by The Catalyst Capital Group and Tennenbaum
Capital Partners. Combined, Catalyst and Tennenbaum own
approximately 80% of Gateway. Gateway has consolidated annual
revenues of approximately CD$256 million.
GAYLORD ENTERTAINMENT: S&P Affirms 'B' Corporate Credit Rating
--------------------------------------------------------------
Standard & Poor's Ratings Services revised its rating outlook on
Nashville, Tenn.-based Gaylord Entertainment Co. to stable from
negative. Ratings on the company, including the 'B' corporate
credit rating, were affirmed.
The outlook revision to stable reflects the expected restoration
and opening of the Opryland Resort on Nov. 15, 2010, the company's
announcement that costs associated with the restoration will fall
within Gaylord's stated budget, and the receipt of insurance
proceeds that provide some cushion as an add-back to consolidated
EBITDA in the bank's fixed-charge covenant calculation.
"As a result, the spike in leverage due to the closure of Opryland
Resort will likely be temporary given S&P's expectation for
Gaylord's operating performance in 2011," noted Standard & Poor's
credit analyst Emile Courtney. "In addition, S&P believes that
liquidity will remain adequate following the completion of
restoration spending, and S&P no longer believe there will be
pressure on the company's fixed-charge covenant cushion."
Gaylord expects restoration costs to be approximately $215 million
to $225 million, with an additional $57 million to $62 million in
costs associated with maintaining and re-launching the Nashville
area assets. S&P believes that the company has adequate liquidity
to absorb these expenditures. As of September 2010, Gaylord has
spent $87 million in restoration costs and $32 million of the re-
launch expenses. It has been able to cover these costs and will
fund the completion of restoration spending through cash on hand,
availability under its revolving credit facility, cash flow from
the other three hotels in the portfolio, $50 million in business
interruption and property insurance proceeds associated with flood
damage, a flood related federal tax refund of about $36 million
received in October 2010, and other tax refunds.
S&P expects its measure of lease- and pension-adjusted debt to
EBITDA to peak in the mid-8x area at the end of 2010 (this measure
was 7.4x at September 2010). EBITDA coverage of interest expense
was 2.0x in September 2010, which is in line with the current
rating. S&P anticipate that the spike in leverage is temporary,
and that leverage will likely improve to 6x and EBITDA coverage of
interest will improve to the mid-2x area in 2011, when Opryland is
fully operational. S&P believes these credit measures are good
for the current rating.
The 'B' rating reflects the company's high leverage and minimal
asset diversity. In addition, while S&P anticipate that credit
measures are likely to be good for the 'B' rating by the end of
2011, S&P believes that the company will pursue acquisitions and
capital spending as part of its growth strategy longer term.
Currently, Gaylord is moving forward with relatively modest
investment plans for enhancements at the Palms and Texan Resorts
to help drive organic growth. The company has stated that it will
delay larger-scale expansions and acquisitions until Opryland is
fully operational. Gaylord has stated that expansion funding
could take the form of capital partnerships, which could include
joint ventures. Historically, the company has exhibited an
aggressive financial policy with regard to expansion projects.
While S&P does not currently expect future project financings to
meaningfully impair the company's overall risk profile, S&P would
need to assess the structure and effect of any potential growth
ventures prior to contemplating a higher rating.
GENERAL MOTORS: Says Sales on Four Brands Increased 13%
-------------------------------------------------------
General Motors Co. said, driven by strong demand for their popular
crossovers, and full-size pickup trucks, October 2010 combined
sales for Chevrolet, Buick, GMC and Cadillac increased 13%
compared to October 2009 to 183,392 units. Combined retail sales
for the brands increased 13% compared to a year earlier and were
8% higher compared to September.
GM says calendar-year-to-date total sales for GM's four brands are
up 22%; calendar-year-to-date retail sales for GM's four brands
are up 15%; and year-to-date through October, GM's four brands
have sold 85,737 more units than were sold with eight brands
through October 2009.
"Our October results show that our focused plan is working, as our
four brands continue to grow," said Don Johnson, vice president,
U.S. sales operations. "Our sales are up more than double the
industry's increase through October, and we've gained almost two
points of market share." Year-to-date sales for GM's four brands
have increased 22% through October, while the industry has
increased approximately 10-1/2%.
A copy of GM's statement is available at http://is.gd/gGU0R
* * *
Neal E. Boudette and John Kell, writing for The Wall Street
Journal, report that U.S. sales of cars and light trucks rose
13.4% in October 2010 from a year ago, bringing some cheer to an
industry that has been frustrated by the slow economic recovery.
The Journal relates that:
-- Ford Motor Co., said it sold 157,650 cars and light trucks
in October -- up 16% from a year ago, when it sold 136,583
and still owned Swedish car maker Volvo. When adjusted
for the Volvo sale to a Chinese car company, Ford's sales
were up 19%.
-- General Motor Co.'s sales totaled 183,543 vehicles. GM
managed only a 4.2% rise in sales of its light vehicles,
in part because it cut back on sales to fleet customers
like rental-car firms. Those sales often are less
profitable than sales to consumers. For the month, GM
had U.S. market share of 19.3% -- up from 18% in September
and 18.6% in August, but down from 21% a year ago.
-- Chrysler Group LLC said its sales climbed 37% from a
particularly weak month in 2009. Chrysler's jumped to
90,137, helped by big increases in sales of its Ram
pickups and Jeep Grand Cherokee sport-utility vehicle.
-- Honda's sales grew 16% to 98,811 vehicles.
-- Nissan's rose 16% to 69,773.
The Journal notes GM's market share is being closely watched as it
heads toward an initial public offering of stock later this month.
The Journal relates Toyota Motor Corp. was one of the few car
makers to see a decline in U.S. sales. Its total dropped 4.4% to
145,474 vehicles as sales of several popular cars, including the
Camry, Prius and Corolla, fell 10% or more compared with October
2009. Toyota saw its reputation dinged this year by safety-
related recalls.
According to the Journal, Autodata Corp. said U.S. sales of light
vehicles totaled 950,165, up from the year-ago figure of 838,133.
The seasonally adjusted, annualized selling pace in the month came
to 12.26 million vehicles, Autodata said, the highest level since
the government's "cash for clunkers" rebates created a spike in
new-car buying in August 2009.
About General Motors
With its global headquarters in Detroit, Michigan, General Motors
Company -- http://www.gm.com/-- is one of the world's largest
automakers. GM employs 205,000 people in every major region of
the world and does business in some 157 countries. GM and its
strategic partners produce cars and trucks in 31 countries, and
sell and service these vehicles through the following brands:
Buick, Cadillac, Chevrolet, FAW, GMC, Daewoo, Holden, Jiefang,
Opel, Vauxhall and Wuling. GM's largest national market is China,
followed by the United States, Brazil, Germany, the United
Kingdom, Canada, and Italy. GM's OnStar subsidiary is the
industry leader in vehicle safety, security and information
services.
General Motors Co. is 60.8% owned by the U.S. Government. It was
formed to acquire the operations of General Motors Corporation
through a sale under 11 U.S.C. Sec. 363 following Old GM's
bankruptcy filing. The deal was closed on July 10, 2009, and Old
GM changed its name to Motors Liquidation Co. Old GM remains
subject to a pending Chapter 11 reorganization case before the
U.S. Bankruptcy Court for the Southern District of New York.
At June 30, 2010, GM had $131.899 billion in total assets,
$101.00 billion in total liabilities, $6.998 billion in preferred
stock, and $23.901 billion in stockholders' equity.
New GM has a 'BB-' corporate credit rating from Standard & Poor's
and a 'BB-' issuer default rating from Fitch.
About Motors Liquidation
General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026). The Honorable Robert E. Gerber presides over the
Chapter 11 cases. Harvey R. Miller, Esq., Stephen Karotkin, Esq.,
and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges LLP,
assist the Debtors in their restructuring efforts. Al Koch at AP
Services, LLC, an affiliate of AlixPartners, LLP, serves as the
Chief Executive Officer for Motors Liquidation Company. GM is
also represented by Jenner & Block LLP and Honigman Miller
Schwartz and Cohn LLP as counsel. Cravath, Swaine, & Moore LLP is
providing legal advice to the GM Board of Directors. GM's
financial advisors are Morgan Stanley, Evercore Partners and the
Blackstone Group LLP.
The U.S. Trustee has appointed an Official Committee of Unsecured
Creditors and a separate Official Committee of Unsecured Creditors
Holding Asbestos-Related Claims. Lawyers at Kramer Levin Naftalis
& Frankel LLP serve as bankruptcy counsel to the Creditors
Committee. Attorneys at Butzel Long serve as counsel regarding
supplier contract matters. FTI Consulting, Inc., serves as
financial advisors to the Creditors Committee. Elihu Inselbuch,
Esq., at Caplin & Drysdale, Chartered, represents the Asbestos
Committee. Legal Analysis Systems, Inc., serves as asbestos
valuation analyst.
Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
GENERAL MOTORS: Expects to Report $34-Bil. in Q3 Revenues
---------------------------------------------------------
General Motors Company said that for the third quarter, ending
September 30, 2010, it expects to generate:
* Revenue of approximately $34 billion;
* Net income attributable to common stockholders of
$1.9 billion to $2.1 billion; and
* Earnings before interest and taxes of $2.2 billion to
$2.4 billion
For the first nine months of the year, GM estimates:
* Revenue of $99 billion;
* Net income attributable to common stockholders of
$4.0 billion to $4.2 billion; and
* EBIT of $6.0 billion to $6.2 billion
GM also expects to generate positive EBIT in the fourth quarter,
albeit at a significantly lower run rate than each of the first
three quarters, due to the fourth quarter having a different
production mix, new vehicle launch costs (in particular the
Chevrolet Cruze and Volt) and higher engineering expenses for
future products.
"We are extremely pleased with the level of progress the company
is making," said Chris Liddell, GM vice chairman and chief
financial officer. "We will deliver a solid and profitable first
year post-bankruptcy, and we are continuing to improve our balance
sheet and most importantly, the quality of our vehicles."
GM will release details of its third quarter results November 10,
2010 at 7:30 a.m. ET. A conference call for financial analysts
and media will also be held that day.
About General Motors
With its global headquarters in Detroit, Michigan, General Motors
Company -- http://www.gm.com/-- is one of the world's largest
automakers. GM employs 205,000 people in every major region of
the world and does business in some 157 countries. GM and its
strategic partners produce cars and trucks in 31 countries, and
sell and service these vehicles through the following brands:
Buick, Cadillac, Chevrolet, FAW, GMC, Daewoo, Holden, Jiefang,
Opel, Vauxhall and Wuling. GM's largest national market is China,
followed by the United States, Brazil, Germany, the United
Kingdom, Canada, and Italy. GM's OnStar subsidiary is the
industry leader in vehicle safety, security and information
services.
General Motors Co. is 60.8% owned by the U.S. Government. It was
formed to acquire the operations of General Motors Corporation
through a sale under 11 U.S.C. Sec. 363 following Old GM's
bankruptcy filing. The deal was closed on July 10, 2009, and Old
GM changed its name to Motors Liquidation Co. Old GM remains
subject to a pending Chapter 11 reorganization case before the
U.S. Bankruptcy Court for the Southern District of New York.
At June 30, 2010, GM had $131.899 billion in total assets,
$101.00 billion in total liabilities, $6.998 billion in preferred
stock, and $23.901 billion in stockholders' equity.
New GM has a 'BB-' corporate credit rating from Standard & Poor's
and a 'BB-' issuer default rating from Fitch.
About Motors Liquidation
General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026). The Honorable Robert E. Gerber presides over the
Chapter 11 cases. Harvey R. Miller, Esq., Stephen Karotkin, Esq.,
and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges LLP,
assist the Debtors in their restructuring efforts. Al Koch at AP
Services, LLC, an affiliate of AlixPartners, LLP, serves as the
Chief Executive Officer for Motors Liquidation Company. GM is
also represented by Jenner & Block LLP and Honigman Miller
Schwartz and Cohn LLP as counsel. Cravath, Swaine, & Moore LLP is
providing legal advice to the GM Board of Directors. GM's
financial advisors are Morgan Stanley, Evercore Partners and the
Blackstone Group LLP.
The U.S. Trustee has appointed an Official Committee of Unsecured
Creditors and a separate Official Committee of Unsecured Creditors
Holding Asbestos-Related Claims. Lawyers at Kramer Levin Naftalis
& Frankel LLP serve as bankruptcy counsel to the Creditors
Committee. Attorneys at Butzel Long serve as counsel regarding
supplier contract matters. FTI Consulting, Inc., serves as
financial advisors to the Creditors Committee. Elihu Inselbuch,
Esq., at Caplin & Drysdale, Chartered, represents the Asbestos
Committee. Legal Analysis Systems, Inc., serves as asbestos
valuation analyst.
Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
GENERAL MOTORS: Selling 365 Million Shares in IPO
-------------------------------------------------
General Motors Company on Wednesday commenced its public offering,
which will consist of 365 million shares of common stock to be
sold by certain of its stockholders. GM will also issue 60
million shares of its Series B mandatory convertible junior
preferred stock with a liquidation amount of $50 per share.
The estimated price range for the offering of common stock is
$26.00 to $29.00 per share
Unless converted earlier at the option of the holder, each share
of the Series B preferred stock will automatically convert on the
mandatory conversion date, which is expected to be three years
from the original issue date. The conversion provisions depend on
the applicable market value of the company's common stock, and are
subject to certain anti-dilution adjustments.
The underwriters have the option to purchase from the selling
stockholders up to an additional 54.75 million shares of common
stock and from the company an additional 9 million shares of
Series B preferred stock, on the same terms and conditions, to
cover over-allotments, if any.
Morgan Stanley and J.P. Morgan -- representatives of the
underwriters -- BofA Merrill Lynch, Citi, Goldman, Sachs & Co.,
Barclays Capital, Credit Suisse, Deutsche Bank Securities and RBC
Capital Markets will be the joint book-running managers for the
offering. Copies of the preliminary prospectus relating to the
offering may be obtained for free, by visiting the SEC Web site at
http://www.sec.gov/ Alternatively, a copy of the preliminary
prospectus may be obtained by contacting:
* Morgan Stanley & Co. Incorporated, Attention: Prospectus
Department, 180 Varick Street, 2nd Floor, New York, NY
10014, telephone 1-866-718-1649, or by sending e-mail to
prospectus@morganstanley.com
* J.P. Morgan Securities LLC, Attention: Broadridge Financial
Solutions, 1155 Long Island Avenue, Edgewood, NY 11717,
telephone 1-866-803-9204
The underwriters are:
-- Morgan Stanley & Co. Incorporated;
-- J.P. Morgan Securities LLC;
-- Merrill Lynch, Pierce, Fenner & Smith Incorporated;
-- Citigroup Global Markets Inc.;
-- Barclays Capital Inc.;
-- Credit Suisse Securities (USA) LLC;
-- Deutsche Bank Securities Inc.;
-- Goldman, Sachs & Co.;
-- RBC Capital Markets Corporation;
-- Banco Bradesco BBI S.A.;
-- CIBC World Markets Corp.;
-- Commerz Markets LLC;
-- BNY Mellon Capital Markets, LLC;
-- ICBC International Securities Limited;
-- Itau BBA USA Securities, Inc.;
-- Lloyds TSB Bank plc;
-- China International Capital Corporation Hong Kong
Securities Limited;
-- Loop Capital Markets LLC;
-- The Williams Capital Group, L.P.;
-- Soleil Securities Corporation;
-- Scotia Capital (USA) Inc.;
-- Piper Jaffray & Co.;
-- SMBC Nikko Capital Markets Limited;
-- Sanford C. Bernstein & Co., LLC;
-- Cabrera Capital Markets, LLC;
-- CastleOak Securities, L.P.;
-- CF Global Trading LLC;
-- C.L. King & Associates, Inc.;
-- CRT Investment Banking LLC;
-- FBR Capital Markets & Co.;
-- Gardner Rich, LLC;
-- Lebenthal & Co., LLC;
-- M. R. Beal & Company;
-- Muriel Siebert & Co., Inc.; and
-- Samuel A. Ramirez & Company, Inc.
John Kell, writing for Dow Jones Newswires, notes that GM
confirmed reports that the transaction would reduce the U.S
government stake to around 35% from its current 61%, and that
the offer will seek to sell $10 billion in common shares and $3
billion in preferred shares. In the offering, the U.S. Treasury
would sell $7 billion of its shares. A United Auto Workers trust,
which pays for retiree health care, would sell $2 billion of its
shares, while Canada and Ontario would offload around $1 billion
of shares.
A copy of GM's prospectus is available at http://is.gd/gGVTW
About General Motors
With its global headquarters in Detroit, Michigan, General Motors
Company -- http://www.gm.com/-- is one of the world's largest
automakers. GM employs 205,000 people in every major region of
the world and does business in some 157 countries. GM and its
strategic partners produce cars and trucks in 31 countries, and
sell and service these vehicles through the following brands:
Buick, Cadillac, Chevrolet, FAW, GMC, Daewoo, Holden, Jiefang,
Opel, Vauxhall and Wuling. GM's largest national market is China,
followed by the United States, Brazil, Germany, the United
Kingdom, Canada, and Italy. GM's OnStar subsidiary is the
industry leader in vehicle safety, security and information
services.
General Motors Co. is 60.8% owned by the U.S. Government. It was
formed to acquire the operations of General Motors Corporation
through a sale under 11 U.S.C. Sec. 363 following Old GM's
bankruptcy filing. The deal was closed on July 10, 2009, and Old
GM changed its name to Motors Liquidation Co. Old GM remains
subject to a pending Chapter 11 reorganization case before the
U.S. Bankruptcy Court for the Southern District of New York.
At June 30, 2010, GM had $131.899 billion in total assets,
$101.00 billion in total liabilities, $6.998 billion in preferred
stock, and $23.901 billion in stockholders' equity.
New GM has a 'BB-' corporate credit rating from Standard & Poor's
and a 'BB-' issuer default rating from Fitch.
About Motors Liquidation
General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026). The Honorable Robert E. Gerber presides over the
Chapter 11 cases. Harvey R. Miller, Esq., Stephen Karotkin, Esq.,
and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges LLP,
assist the Debtors in their restructuring efforts. Al Koch at AP
Services, LLC, an affiliate of AlixPartners, LLP, serves as the
Chief Executive Officer for Motors Liquidation Company. GM is
also represented by Jenner & Block LLP and Honigman Miller
Schwartz and Cohn LLP as counsel. Cravath, Swaine, & Moore LLP is
providing legal advice to the GM Board of Directors. GM's
financial advisors are Morgan Stanley, Evercore Partners and the
Blackstone Group LLP.
The U.S. Trustee has appointed an Official Committee of Unsecured
Creditors and a separate Official Committee of Unsecured Creditors
Holding Asbestos-Related Claims. Lawyers at Kramer Levin Naftalis
& Frankel LLP serve as bankruptcy counsel to the Creditors
Committee. Attorneys at Butzel Long serve as counsel regarding
supplier contract matters. FTI Consulting, Inc., serves as
financial advisors to the Creditors Committee. Elihu Inselbuch,
Esq., at Caplin & Drysdale, Chartered, represents the Asbestos
Committee. Legal Analysis Systems, Inc., serves as asbestos
valuation analyst.
Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
GENERAL MOTORS: Fitch Upgrades Issuer Default Rating to 'BB-'
-------------------------------------------------------------
Fitch Ratings has upgraded the long-term Issuer Default Rating of
General Motors Financial Company, Inc. (f/k/a AmeriCredit Corp.)
to 'BB-' from 'B+' based on its relationship with parent company,
General Motors Company, which was recently assigned an IDR of 'BB-
' by Fitch. Fitch has removed the Rating Watch Positive on GMF's
ratings and assigned a Stable Outlook.
The resolution of the Rating Watch follows an assessment of the
linkage between GMF and GM and GMF's positive core operating
performance. Fitch's equalization of the ratings is driven by a
perceived level of implicit support between GM and GMF, as
evidenced by the re-branding of AmeriCredit and GMF's strategic
importance in terms of providing loan financing to GM's subprime
customers and improving its lease penetration rate relative to its
automotive peers. While GMF plans to continue to originate loans
through non-GM dealerships, Fitch believes the company's finance
portfolio will become more heavily weighted toward GM business
over time.
Should Fitch need to reevaluate the linkage between the entities
due to aggressive management of the finance subsidiary or a
failure to support the entity in times of stress, GMF's ratings
could be altered to reflect its creditworthiness on a standalone
basis, although its rating would not be higher than GM, as long as
it remains a wholly-owned subsidiary.
The Recovery Ratings on GMF's senior unsecured debt have been
removed following the upgrade of the IDR.
GMFC, based in Fort Worth, Texas, was established in 1992 as
subprime auto lender, originating contracts by buying loans
primarily from franchised dealers. The company had $8.7 billion
in managed receivables as of June 30, 2010.
Fitch has upgraded this:
General Motors Financial Company, Inc.
-- Long-term IDR upgraded to 'BB-' from 'B+'.
Fitch has affirmed this:
General Motors Financial Company, Inc.
-- Senior debt affirmed at 'BB-'.
The Rating Outlook is Stable.
GENERAL MOTORS: District Judge Denies Sizemore Appeal
-----------------------------------------------------
Judge Victor Marrero of the U.S. District Court for the Southern
District of New York denied the appeal raised by Terrie Sizemore
and affirmed the Bankruptcy Court's order enjoining Ms. Sizemore
from pursuing any further action against General Motors LLC with
respect to a product liability action she commenced in a state
court in Medina, Ohio.
Judge Marrero held that the contention that Ms. Sizemore may not
sue New GM is clear from the language of the June 2009 Master
Sale and Purchase Agreement because the document specifies that
New GM will assume only Product Liabilities that "arise directly
out of accidents, incidents or other distinct and discre[te]
occurrences that happen on or after the Closing Date." The
Closing Date was June 10, 2009. The MSPA, he noted, provides
that the Debtors will retain liability for all product
liabilities that arise from accidents, incidents or other
occurrences that happen prior to the Closing Date.
The date of the accident -- January 8, 2008 -- subject to Ms.
Sizemore's product liability action happened before the Closing
Date, Judge Marrero pointed out.
With regards to Ms. Sizemore's contention that the 363 Sale Order
does not prevent actions for discovery against New GM, Judge
Marrero ruled it as without support. He stated that "discovery
is part and parcel of a product liability claim -- there can be
no discovery without an underlying cause of action to warrant
it."
About General Motors
With its global headquarters in Detroit, Michigan, General Motors
Company -- http://www.gm.com/-- is one of the world's largest
automakers. GM employs 205,000 people in every major region of
the world and does business in some 157 countries. GM and its
strategic partners produce cars and trucks in 31 countries, and
sell and service these vehicles through the following brands:
Buick, Cadillac, Chevrolet, FAW, GMC, Daewoo, Holden, Jiefang,
Opel, Vauxhall and Wuling. GM's largest national market is China,
followed by the United States, Brazil, Germany, the United
Kingdom, Canada, and Italy. GM's OnStar subsidiary is the
industry leader in vehicle safety, security and information
services.
General Motors Co. is 60.8% owned by the U.S. Government. It was
formed to acquire the operations of General Motors Corporation
through a sale under 11 U.S.C. Sec. 363 following Old GM's
bankruptcy filing. The deal was closed on July 10, 2009, and Old
GM changed its name to Motors Liquidation Co. Old GM remains
subject to a pending Chapter 11 reorganization case before the
U.S. Bankruptcy Court for the Southern District of New York.
At June 30, 2010, GM had $131.899 billion in total assets,
$101.00 billion in total liabilities, $6.998 billion in preferred
stock, and $23.901 billion in stockholders' equity.
New GM has a 'BB-' corporate credit rating from Standard & Poor's
and a 'BB-' issuer default rating from Fitch.
About Motors Liquidation
General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026). The Honorable Robert E. Gerber presides over the
Chapter 11 cases. Harvey R. Miller, Esq., Stephen Karotkin, Esq.,
and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges LLP,
assist the Debtors in their restructuring efforts. Al Koch at AP
Services, LLC, an affiliate of AlixPartners, LLP, serves as the
Chief Executive Officer for Motors Liquidation Company. GM is
also represented by Jenner & Block LLP and Honigman Miller
Schwartz and Cohn LLP as counsel. Cravath, Swaine, & Moore LLP is
providing legal advice to the GM Board of Directors. GM's
financial advisors are Morgan Stanley, Evercore Partners and the
Blackstone Group LLP.
The U.S. Trustee has appointed an Official Committee of Unsecured
Creditors and a separate Official Committee of Unsecured Creditors
Holding Asbestos-Related Claims. Lawyers at Kramer Levin Naftalis
& Frankel LLP serve as bankruptcy counsel to the Creditors
Committee. Attorneys at Butzel Long serve as counsel regarding
supplier contract matters. FTI Consulting, Inc., serves as
financial advisors to the Creditors Committee. Elihu Inselbuch,
Esq., at Caplin & Drysdale, Chartered, represents the Asbestos
Committee. Legal Analysis Systems, Inc., serves as asbestos
valuation analyst.
Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
GLOBAL CAPACITY: Seeks to Close $29.5-Mil. Asset Sale to Lender
---------------------------------------------------------------
Global Capacity is seeking court approval to close the
$29.5 million sale of its assets to its senior lender, an
affiliate of Phoenix investment firm Pivotal Group Inc., Dow
Jones' DBR Small Cap reports.
Headquartered in Chicago, Illinois, Capital Growth Systems, Inc.,
known as Global Capacity, and its subsidiaries operate in one
reportable segment as a single source telecom logistics provider
in North America and the European Union. The Company helps
customers improve efficiency, reduce cost, and simplify operations
of their complex global networks -- with a particular focus on
access networks.
Capital Growth Systems and its affiliates filed for Chapter 11
protection on. The lead debtor is Global Capacity Holdco LLC
(Bankr. D. Del. Case No. 10-12302). Global Capacity Group Inc.
estimated $10 million to $50 million in assets and debts in its
petition.
GRACE TOWNE: Case Summary & 3 Largest Unsecured Creditors
---------------------------------------------------------
Debtor: Grace Towne, LLC
2449 Towne Lake Parkway
Woodstock, GA 30189
Bankruptcy Case No.: 10-93081
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Northern District of Georgia (Atlanta)
Debtor's Counsel: Paul Reece Marr, Esq.
PAUL REECE MARR, P.C.
300 Galleria Parkway, N.W., Suite 960
Atlanta, GA 30339
Tel: (770) 984-2255
Fax: (770) 984-0044
E-mail: pmarr@mindspring.com
Estimated Assets: $500,001 to $1,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's three largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ganb10-93081.pdf
The petition was signed by Marvin D. Glanzer, manager.
GREEN MOUNTAIN: S&P Gives Stable Outlook; Affirms 'B' Rating
------------------------------------------------------------
Standard & Poor's Ratings Services said that it revised its
outlook on Waterbury, Vt.-based Green Mountain Coffee Roasters
Inc. to stable from negative. At the same time, S&P affirmed the
preliminary 'B' corporate credit rating on GMCR.
S&P also affirmed its preliminary 'B+' issue ratings on the
company's $1.45 billion senior secured credit facility, which
consists of a five-year $650 million revolving credit facility, a
five-year $250 million term loan A, and a six-year $550 million
term loan B. The preliminary recovery rating is '2', indicating
S&P's expectation for substantial (70% to 90%) recovery in the
event of payment default. The ratings are based on preliminary
terms and closing conditions, and subject to final review upon
receipt of final documentation. Net proceeds will be used to
repay existing debts and to acquire Van Houtte. For the complete
recovery analysis, please see Standard & Poor's recovery report on
Green Mountain Coffee Roasters Inc., to be published on
RatingsDirect following this report.
S&P estimate GMCR will have about $980 million in debt outstanding
when the transaction is finalized.
"S&P revised the outlook to stable from negative because Green
Mountain Coffee Roasters should improve its liquidity for at least
the next 12 months through the proposed issuance of an additional
$200 million term loan B debt, while reducing the revolver size by
$100 million," said Standard & Poor's credit analyst Brian
Milligan. The additional term loan B issuance should create
additional availability under its proposed revolving credit
facility. "The ratings on GMCR reflect S&P's analysis that the
company is highly dependent on the single-cup coffee maker
concept, is exposed to integration risks associated with its
aggressive acquisition strategy, and will have adequate liquidity
over the next year," added Mr. Milligan. Future debt reduction
and increasing liquidity is highly dependent on successful
integration of recent acquisitions and continued growth of the
single-cup coffee maker concept.
GMCR's financial risk profile is highly leveraged given the
company's acquisitive growth strategy as highlighted by its intent
to increase leverage to complete the Van Houtte acquisition. At
the same time, S&P notes the company's recent equity issuance as a
positive ($370 million in August 2009 and $250 million in
September 2010). The company's liquidity is adequate; however,
large working capital and capital expenditure requirements to
pursue its growth strategy have the potential to reduce liquidity.
The company's business risk profile is weak based on its
participation in the highly competitive specialty coffee segment,
its narrow product focus in single-cup coffee products, and the
risks of pursuing a rapid growth strategy. The company's growth
strategy utilizes the selling of its Keurig single-cup brewing
systems at little margin to sell its K-Cups at an attractive
margin. To a lesser extent, an additional growth strategy is to
expand the number of beverages used in its brewing systems.
However, S&P expects this to be only a small part of its business.
Converting buyers of its brewing systems into regular buyers of
its high margin K-Cups is highly dependent on the reliability and
quality of its brewer systems, the quality and variety of its K-
Cups, and other competitive factors. S&P believes switching costs
for owners of Keurig single-cup brewing systems are low.
The stable outlook reflects S&P's expectation for liquidity to
remain adequate, strong top-line growth to continue, margins to
expand, and the successful integration of Van Houtte to occur.
S&P could lower the rating if S&P's analysis indicates liquidity
becomes less than adequate and/or if covenant cushion falls below
10%. S&P believes this could occur if the company's growth
significantly decelerates, likely the result of lower product
demand, or if poor acquisition integration occurs. S&P could also
lower the rating if details of the SEC inquiry result in
significant negative consequences. S&P could raise the rating if
the company is able to demonstrate sustainable growth of its high
margin K-cups, margins remain at least at current levels, and cash
sources continue to exceed cash uses by about 1.2x on a forward
12-month basis for at least two years.
GROVE FARM FISH: Expansion Woes, Investor Rift Prompt Bankruptcy
----------------------------------------------------------------
Melanie Cohen, writing for Dow Jones' Daily Bankruptcy Review,
reports that Grove Farm Fish & Poi LLC, which does business as
Hukilau Foods, filed for Chapter 11 bankruptcy protection in
Honolulu, Hawaii, on Monday with assets of $5 million and debts of
$8.6 million, according to court documents. DBR relates Judge
Robert A. Faris has been assigned to handle the bankruptcy case
and is scheduled to hear the company's request for a $3 million
Chapter 11 loan on Nov. 24.
According to Ms. Cohen, Hawaii's oldest fish farm plunged into
bankruptcy amid expansion difficulties, financial losses and a
dispute between investment company Visionary LLC, which is owned
by AOL co-founder Steve Case, and the fish farm's founder, John R.
Cates. DBR, citing the Honolulu Star-Advertiser, reports that in
June 2010, Mr. Cates sued Visionary LLC, which had acquired 51% of
Grove Farm in 2006, after expansion disagreements heightened.
According to DBR, Mr. Cates said he was concerned Visionary might
try to put the company in bankruptcy to eliminate his equity stake
in the fish farm. Visionary countersued in July.
GROVE FARM FISH: Case Summary & 20 Largest Unsecured Creditors
--------------------------------------------------------------
Debtor: Grove Farm Fish & Poi, LLC
dba Hukilau Foods
1125 E. Ala Moana Boulevard
Honolulu, HI 96814
Bankruptcy Case No.: 10-03340
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
District of Hawaii (Honolulu)
Debtor's Counsel: James A. Wagner, Esq.
WAGNER CHOI & VERBRUGGE
745 Fort Street, Suite 1900
Honolulu, HI 96813
Tel: (808) 533-1877
Fax: (8080 566-6900
E-mail: jwagner@hibklaw.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/hib10-03340.pdf
The petition was signed by Ryan Murashige, president.
GYMBOREE CORPORATION: Moody's Assigns 'B2' Corporate Family Rating
------------------------------------------------------------------
Moody's Investors Service assigned The Gymboree Corporation B2
Corporate Family and Probability of Default Ratings, as well as a
B1 rating to the company's proposed $720 million senior secured
term loan. The rating outlook is stable. The ratings assigned
are subject to the receipt and review of final documentation.
Ratings Rationale
Gymboree's ratings reflect its highly leveraged capital structure
following its proposed acquisition by Bain Capital. Leverage is
expected to be high, with debt/EBITDA near 6.5 times
(incorporating Moody's standard analytical adjustments for
operating leases) for the LTM period pro-forma for the proposed
transaction. The rating also takes into consideration the
moderate scale and the highly fragmented infant and toddler
apparel market. Gymboree has a good track record of growth, a
well known brand, and strong execution skills as evidenced by the
company's high operating margins. Further, the infant and toddler
apparel category is relatively stable compared to most apparel
categories, primarily due to regular demand as children grow and
parents generally will seek to maintain spending on their
children.
The B1 rating assigned to the senior secured term loan reflects
its first priority lien position on substantially all assets
(other than accounts receivable and inventory which are pledged to
the unrated $225 million Asset Based Loan facility). It also
reflects the level of unsecured financing (expected to be in an
amount of $500 million) that will be raised to help fund the
purchase price.
The rating outlook is stable, reflecting Moody's expectation the
company will maintain stable operating performance in the face of
only a sluggish recovery in consumer spending and rising raw
material prices. The stable outlook also encompasses expectations
the company will make progress on deleveraging such that
debt/EBITDA will approach 6 times in the next 12 to 18 months.
In view of Gymboree's high leverage, ratings are unlikely to be
upgraded in the near term. Over time ratings could be upgraded if
the company can deleverage its balance sheet by utilizing free
cash flow to reduce debt while at the same time demonstrating
continued strong returns from investments in its growth
initiatives. Quantitatively, ratings could be upgraded if
debt/EBITDA can be sustained below 5.5 times and interest coverage
is in excess of 1.75 times.
Ratings could be downgraded if the company shows negative trends
in sales, or operating margins begin to show material erosion.
Quantitatively ratings could be lowered if the company does not
make tangible progress toward reducing debt/EBITDA toward 6 times
in the next 12 to 18 months or if interest coverage falls below
1.25 times. Ratings could also be lowered if the company's
overall good liquidity position were to erode.
These ratings were assigned:
-- Corporate Family Rating at B2
-- Probability of Default Rating at B2
-- $720 million Senior Secured Term Loan due 2017 at B1 (LGD 3,
35%)
Headquartered in San Francisco, California, The Gymboree
Corporation operates more than 1000 retail stores under Gymboree,
Gymboree Outlet, Janie and Jack, and Crazy 8 nameplates. Revenue
for the most recent LTM period was in excess of $1.0 billion.
Headquartered in San Francisco, California Gymboree operates more
than 1000 retail stores under Gymboree, Gymboree Outlet, Janie and
Jack, and Crazy 8 brands. Revenues for the most recent LTM period
was in excess of $1.0 billion.
This is the first time Moody's has assigned ratings to The
Gymboree Corporation.
HARRISBURG, PA: Lacks Funds for Nov. 15 Debt Payments
----------------------------------------------------
Harrisburg, Pennsylvania, doesn't have enough money now to make
two debt payments totaling $305,952 on Nov. 15, Dow Jones' DBR
Small Cap reports.
According to the report, Chuck Ardo, spokesman for Mayor Linda
Thompson, said the city intends to make the payments. The report
relates that the debt was issued through the Harrisburg
Redevelopment Authority, a municipal entity unrelated to an
incinerator project that helped plunge the city of 47,000 people
into fiscal crisis. The report notes that the city doesn't now
have the funds to pay a $99,025 payment for a 2006 Lease Revenue
Note.
It debt service fund is also about $28,000 short on covering a
$206,927 payment due on a 2005 taxable revenue bond that financed
the expansion of the city's minor league baseball stadium, Mr.
Ardo said, the report discloses. The 2005 bonds are insured by
Ambac Assurance Corp., according to its official statement.
Ambac Financial Group said it may file for bankruptcy, which many
analysts say won't affect the insurance unit's claims-paying
ability but is still a worrying sign, the report adds.
About Harrisburg, PA
The city of Harrisburg is coping with debt related to a failed
revamp of an incinerator. The outstanding principal on the
Incinerator debt is $288 million. Total principal and interest on
this debt would amount to approximately $458 million. Debt
service payments on the total incinerator debt are $20 million per
year. Of this total, Dauphin County, Pennsylvania, is responsible
for roughly $10 million and Harrisburg is responsible for the
other $10 million. The city is guarantor on 100% of the
$288 million Incinerator debt.
The City Council of Harrisburg, Pennsylvania, voted 5-2 on
September 28 to seek professional advice on bankruptcy or state
oversight. Harrisburg needed state aid to avoid default on
$3.3 million of bond payments this month.
The city has missed about $8 million in debt-service payments this
year on bonds issued in connection with a trash-to-energy
incinerator. The city owes another $40 million by the end of the
year, and was sued by its home county Dauphin County; bond insurer
Assured Guaranty Municipal Corp., a unit of Assured Guaranty Ltd.;
and bond trustees TD Bank and M&T Bank Corp. over $19 million in
skipped bond payments.
H & H TRACKWORKS: Case Summary & 20 Largest Unsecured Creditors
---------------------------------------------------------------
Debtor: H & H Trackworks, Inc.
5924 S. Washington Street
Peoria, IL 61607
Bankruptcy Case No.: 10-83338
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
Central District of Illinois (Peoria)
Judge: Thomas L. Perkins
Debtor's Counsel: Barry M. Barash, Esq.
BARASH & EVERETT, LLC
256 S. Soangetaha Rd., Ste. 108
Galesburg, IL 61401
Tel: (309) 341-6010
E-mail: barashb@barashlaw.com
Scheduled Assets: $1,845,616
Scheduled Debts: $1,746,467
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ilcb10-83338.pdf
The petition was signed by Matthew E. Hacker, president.
HIL-BROOK PROPERTIES: Case Summary & Creditors List
---------------------------------------------------
Debtor: Hil-Brook Properties, LLC
P.O. Box 1610
Clayton, GA 30525
Bankruptcy Case No.: 10-24972
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Northern District of Georgia (Gainesville)
Debtor's Counsel: Leslie M. Pineyro, Esq.
JONES AND WALDEN, LLC
21 Eighth Street, NE
Atlanta, GA 30309
Tel: (404) 564-9300
Fax: (404) 564-9301
E-mail: lpineyro@joneswalden.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 15 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ganb10-24972.pdf
The petition was signed by Frederick Brown, Jr., managing member.
IBIO INC: Raises $6 Million in Financing from Private Offering
--------------------------------------------------------------
iBio, Inc., announced last week that it raised $6 million from the
sale of 3 million shares of its common stock, for net proceeds to
the Company of approximately $5.6 million. Each share was sold at
a price of $2.00 per share, and each investor was issued a warrant
representing the right to purchase the same number of shares
purchased at a cash exercise price of $2.20 per share for a period
of five years.
The securities offered and sold by iBio, Inc., in this private
offering have not been registered under the Securities Act of
1933, as amended, or state securities laws and may not be offered
or sold in the United States without registration with the
Securities and Exchange Commission or an applicable exemption from
registration requirements.
About iBio Inc.
Newark, Del.-based iBio, Inc. (OTC BB: IBPM) --
http://www.ibioinc.com/-- is a biotechnology company focused on
commercializing its proprietary technology, the iBioLaunch(TM)
platform, for the production of biologics including vaccines and
therapeutic proteins. Vaccine candidates presently being advanced
on the Company's proprietary platform are applicable to newly
emerging strains of H1N1 swine-like influenza and H5N1 for avian
influenza.
The Company's balance sheet at June 30, 2010, showed $4.9 million
in total assets, $3.8 million in total liabilities, and
stockholders' equity of $1.1 million.
As reported in the Troubled Company Reporter on October 18, 2010,
J. H. Cohn LLP, in Eatontown, N.J., expressed substantial doubt
about the Company's ability to continue as a going concern,
following the Company's results for the fiscal year ended June 30,
2010. The independent auditors noted that the Company has
incurred a net loss and negative cash flows from operating
activities for the year ended June 30, 2010, and has an
accumulated deficit and negative working capital as of June 30,
2010.
IGWT LLC: Case Summary & 2 Largest Unsecured Creditors
------------------------------------------------------
Debtor: IGWT LLC
623 Broken Spoke Road
Grand Junction, CO 81504
Bankruptcy Case No.: 10-37822
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
District of Colorado (Denver)
Judge: Howard R. Tallman
Debtor's Counsel: Phillip Jones, Esq.
200 N. 6th Street
P.O. Box 338
Grand Junction, CO 81502
Tel: (970) 242-6262
E-mail: pjones@wth-law.com
Scheduled Assets: $1,510,000
Scheduled Debts: $1,248,565
A list of the Company's two largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/cob10-37822.pdf
The petition was signed by James Wooten, member/manager.
INTERLINE BRANDS: Moody's Assigns 'B2' Rating to Senior Notes
-------------------------------------------------------------
Moody's Investors Service assigned a B2 rating to Interline
Brands, Inc.'s new senior subordinated notes due 2018, and
affirmed its B1 Corporate Family Rating and B1 Probability of
Default Rating. The outlook is stable.
These ratings/assessments were affected by this action:
-- Corporate Family Rating affirmed at B1;
-- Probability of Default Rating affirmed at B1; and,
-- Senior subordinated notes due 2018 rated B2 (LGD4, 69%).
Ratings Rationale
The B2 rating assigned to the proposed $275 million senior
subordinated notes due 2018 reflects its position as the most
junior obligation in Interline's capital structure. Proceeds from
the notes issuance and cash on hand will be used to repay all
existing indebtedness, at which time existing ratings will be
withdrawn on the repaid indebtedness.
Interline's B1 Corporate Family Rating considers the company's
exposure to cyclical end markets, potential for pricing pressure
from manufacturers, and competition from large warehouse stores.
Additionally, the rating is currently constrained since Moody's
believes that Interline may pursue future acquisitions by using
either cash on hand or leverage as part of its growth strategy
similar to the acquisition the company recently announced.
Interline is acquiring CleanSource, Inc. for $60.1 million,
comprised of $54.6 million in cash plus an earn-out of up to
$5.5 million in cash over the next two years. Interline should
benefit from the acquisition since it expands the company's
janitorial sanitation products into California, a market currently
under served. However, integration risks remain.
Offsetting these weaknesses are Interline's leading market
position within the highly fragmented facilities MRO market and
its wide customer base in different industries. The company's
diverse customer base partially offsets the risk of decline in any
specific end market, assisting the company to contend with
economic uncertainties. Additionally, Interline's cost reduction
actions appear to be resulting in improved operating efficiencies.
Its adjusted EBITA margin has improved to 10.0% for 3Q10 versus
9.4% for 3Q09. Moody's anticipates further margin improvement.
The company's debt leverage characteristics appear manageable, as
EBIT-to-interest coverage stood at 2.9 times for LTM 3Q10 and
debt-to-EBITDA was 4.0 times (as adjusted by Moody's)
A rating upgrade over the intermediate term appears unlikely until
market conditions improve. However, signs of improvement in
Interline's operating performance that result in debt-to-EBITDA
approaching 3.5 times or EBIT-to-interest expense near 4.0 times
(all ratios adjusted per Moody's methodology) could result in
positive rating actions. Additionally, Interline would need to
increase availability under its revolving credit facility in order
to support higher ratings.
Factors which might pressure the ratings include erosion in the
company's financial performance, debt financed acquisitions or a
deteriorating liquidity profile, resulting in debt-to-EBITDA
sustained above 4.5 times or EBIT-to-interest expense trending
downward towards 1.5 times (all ratios adjusted per Moody's
methodology).
The last press release was on August 20, 2010, at which time
Moody's affirmed Interline's Corporate Family Rating, but changed
the outlook to stable from negative.
Interline Brands, Inc., headquartered in Jacksonville, FL, is a
national distributor and direct marketer of maintenance, repair
and operations products. Revenues for the latest twelve months
through September 24, 2010, totaled approximately $1.0 billion.
INTERLINE BRANDS: S&P Gives Positive Outlook; Affirms 'BB-' Rating
------------------------------------------------------------------
Standard & Poor's Ratings Services said it revised its rating
outlook on Jacksonville, Florida-based Interline Brands Inc. to
positive from stable. S&P affirmed its ratings on the company,
including its 'BB-' corporate credit rating. The outlook is
positive.
At the same time, S&P assigned a 'BB-' issue-level rating (the
same as the corporate credit rating) and a '4' recovery rating to
Interline's proposed $275 million senior subordinated notes due
2018. The recovery rating of '4' indicates S&P's expectation for
average (30%-50%) recovery of principal in the event of a payment
default.
S&P expects the company to use the proceeds from the proposed note
issue to refinance its existing term loan and senior subordinated
notes.
"The outlook revision reflects S&P's expectation for continued
operating performance improvement, despite still-weak sales
that Interline -- a distributor of maintenance, repair and
operations products for the facilities maintenance, specialty
distributors and professional contractor markets -- has
demonstrated over the past several quarters," said Standard &
Poor's credit analyst Megan Johnston. Specifically, EBITDA
(adjusted for operating leases) for the first three quarters
of 2010 was about $70 million, an improvement over the
approximately $63 million earned during the same period in 2009,
resulting in improved credit measures with adjusted debt to EBITDA
(adjusted for operating leases and pension expenses) of 3.7x
compared to 4.0x a year ago, while also maintaining excess cash
balances of over $100 million.
INSIGHT HEALTH: Misses Payment; In Talks for Restructuring Plan
---------------------------------------------------------------
InSight Health Services Holdings Corp. said November 1 it was in
discussions with holders of a significant majority of the
principal amount outstanding of its senior secured floating rate
notes due 2011 regarding a possible restructuring of the Notes.
These discussions are part of the company's previously announced
plan to develop and finalize a restructuring plan to significantly
reduce its outstanding debt and improve its cash and liquidity
position.
The company also said it would not make the scheduled November 1,
2010 interest payment in the amount of $4.2 million due on the
Notes today. The indenture governing the Notes provides for a
30-day grace period for such a non-payment before the holders of
the Notes or the trustee may exercise remedies, including causing
the principal amount of the Notes and any accrued but unpaid
interest to become immediately due and payable. Under a recent
amendment to the company's revolving credit agreement, the lender
has agreed to forbear from exercising its remedies as a result of
the nonpayment of interest on the Notes until December 1, 2010.
Kip Hallman, Insight Imaging's President and CEO, stated, "We have
taken the important step of entering into constructive discussions
with the holders of a significant majority of our outstanding
Notes as part of our initiative to develop a restructuring plan to
reduce our outstanding debt and improve our cash and liquidity
position, which will strengthen our long term outlook."
InSight Imaging has engaged a global investment bank, Jefferies &
Company, Inc., and is working closely with them to develop and
finalize a restructuring plan to significantly reduce the
company's outstanding debt and improve its cash and liquidity
position.
According to Bill Rochelle, the bankruptcy columnist for Bloomberg
News, with the missed payment, InSight Health moved in the
direction of a restructuring or another Chapter 11 reorganization.
The company's parent, InSight Health Services Holdings Corp.,
began a prepacked Chapter 11 case in May 2007 and completed the
reorganization that July.
The Company said in a regulatory filing that as of October 29,
2010, it had approximately $13.4 million of availability under its
credit facility, based on its borrowing base net of $1.7 million
of outstanding letters of credit. At October 29, 2010, there were
no outstanding borrowings under the credit facility. As a result
of the Company's current fixed charge coverage ratio, it would
only be able to borrow up to approximately $5.9 million of the
$13.4 million of availability under the borrowing base in the
event that its liquidity, as defined in the credit facility
agreement, falls below $7.5 million.
At October 29, 2010, the Company held $6.7 million in bank cash
and cash equivalents, of which $1.1 million was restricted.
According to Bloomberg, Insight Health's stock closed on Nov. 2 at
7 cents, down 2 cents a share in the over-the-counter market.
About InSight Health
Headquartered in Lake Forest, Calif., InSight Health Services
Holdings Corp. (OTC BB: ISGT) -- http://www.insighthealth.com/--
is a provider of retail and wholesale diagnostic imaging services.
The Company serves a diverse portfolio of customers, including
healthcare providers, such as hospitals and physicians, and
payors, such as managed care organizations, Medicare, Medicaid and
insurance companies, in over 30 states, including the following
targeted regional markets: California, Arizona, Texas, New
England, the Carolinas, Florida and the Mid-Atlantic states.
The Company's balance sheet at June 30, 2010, showed
$140.7 million in total assets, $321.3 million in total
liabilities, and a stockholders' deficit of $180.6 million.
* * *
PricewaterhouseCoopers LLP, in Orange County, Calif., expressed
substantial doubt about the Company's ability to continue as a
going concern, following its results for the fiscal year ended
June 30, 2010. The independent auditors noted that the Company
has suffered recurring losses from operations and has a net
capital deficiency.
INSIGHT HEALTH: Nonpayment of Notes Cues S&P's 'D' Rating
---------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its
ratings on InSight Health Services Holding Corp. to 'D' because
the company decided to forego its Nov. 1 2010, interest payment on
its senior secured floating rate notes due 2011.
"While the indenture governing the notes provides for a 30-day
grace period for nonpayment, S&P believes it unlikely that InSight
Health will make any interest payments unless and until its debt
is restructured and refinanced," said Standard & Poor's credit
analyst Cheryl Richer.
InSight Health provides diagnostic imaging services through its
network of 62 fixed-site and 104 mobile facilities as of fiscal
year-end 2010 (June 30, 2010), and serves patients in more than 30
states. InSight Health Services Holdings Corp. and its wholly
owned subsidiary, InSight Health Services Corp., emerged from
bankruptcy on Aug. 1, 2007 and exchanged about $194 million of its
notes for 90% of its common stock per its prepackaged plan of
reorganization. A new executive team was hired in 2008 to manage
InSight Health's core strategy of establishing a more cohesive
regional presence in order to achieve synergies and operate more
efficiently. Despite several asset sales and purchases, its
efforts have been unsuccessful and results have steadily
deteriorated. The company has engaged a global investment advisor
to develop and finalize a restructuring and refinancing plan to
significantly reduce its outstanding debt balance and improve its
cash and liquidity position.
The rating reflects S&P's opinion that InSight Health will either
negotiate an exchange offer for its debt or face another Chapter
11 bankruptcy filing. The business has not strengthened
sufficiently to support refinancing of the notes ($293.5 million
outstanding on June 30, 2010), which mature in November 2011.
Given the company's intention to restructure its debt, S&P does
not believe there is any potential for an upgrade.
JARDEN CORPORATION: Moody's Puts 'Ba3' Rating on $250 Mil. Notes
----------------------------------------------------------------
Moody's Investors Service assigned a Ba3 rating to Jarden's
proposed $250 million senior unsecured notes and downgraded the
existing senior subordinated notes rating to B2 from B1. At the
same time, Moody's affirmed all of Jarden's other ratings (Ba3 CFR
and PDR, Ba1 sr. secured credit facility and term loan, Ba3 senior
unsecured notes, and SGL 1 liquidity rating). The outlook remains
stable.
Proceeds from the $250 million new senior unsecured notes are
expected to be used for general corporate purposes as permitted
under the company's credit agreement amendment. The credit
agreement was amended to provide the Company with the ability to
issue up to $750 million in senior notes to fund acquisitions
rather than to prepay the credit facilities. The Company has up
to 24 months to use proceeds from a senior notes offering for an
acquisition or to make optional prepayments of debt; otherwise, at
the end of 24 months, a mandatory prepayment will be required.
"The incremental debt has little impact on Moody's overall credit
view of the company as the Ba3 rating incorporates Moody's
expectation of future acquisitions and financial leverage is not
materially increasing," said Kevin Cassidy, Senior Credit Officer
at Moody's Investors Service. "While Moody's thinks Jarden has a
strong liquidity profile even without this additional cash, having
another $243 million of cash on the balance sheet can only help
near term liquidity," Mr. Cassidy added.
The rating on the unsecured notes to was downgraded one notch to
B2 from B1 because of the change in the relative mix of Jarden's
capital structure caused by adding $250 million of senior notes.
Rating Rationale
The Ba3 corporate family rating reflects the company's significant
and increasing scale, its leading market position in various niche
branded consumer products, diverse product portfolio, expanding
geographic diversification and its good liquidity profile. The
corporate family rating also reflects the acquisitive nature of
the company and its propensity to increase shareholder returns
despite having relatively high adjusted financial leverage at over
5x. The rating is constrained by the continuing uncertainty in
discretionary consumer spending and weakness in the global
economy.
The stable outlook reflects Moody's view that Jarden will grow
organically between 3-5% in the near to mid- term while
maintaining EBITA margins of around 9% or better (currently 9.6%).
The outlook also assumes that the economic stresses in Europe do
not materially impact Mapa Spontex's or any other European
business. The lack of debt funded shareholder returns is also
considered in the outlook as is Moody's expectation that financial
leverage will be reduced to around 4.5x to 5x by the end of 2010.
A downgrade is not likely in the near term. However, a material
debt funded acquisition or an unexpected significant shock to the
economy combined with these credit metrics could prompt a
downgrade: 1) financial leverage well over 6x with no hope of
reducing it, 2) low single digit operating margins, 3) low single
digit retained cash flow/adjusted debt percentages or the repeated
consumption of cash. A more likely scenario in the near to mid-
term would be a negative outlook. This could be driven by a
sudden shift in consumer spending habits for moderately priced
branded consumer goods, an acquisition that does not make
strategic sense or additional increases in financial leverage
without a committed use of the proceeds.
While a positive outlook is also unlikely in the near term, a
significant and unexpected increase in discretionary consumer
spending could spur a positive outlook. An upgrade could occur if
Jarden moderates its acquisition appetite and its credit metrics
significantly improve from their current levels. For example,
adjusted financial leverage, which is currently a little over 5x
on a proforma basis, would need to be well below 4x, EBITA
margins, which are currently under 10%, would need to be in the
mid teens and retained cash flow to net debt, which is currently
around 15%, would need to be around 20%.
Rating assigned:
Jarden Corporation:
-- $250 million Senior Unsecured Notes at Ba3 (LGD4, 50%);
Ratings downgraded/assessments revised:
-- $650 million senior subordinated notes to B2 (LGD5, 82%) from
B1 (LGD 5, 74%);
-- $472 million senior subordinated notes to B2 (LGD5, 82%) from
B1 (LGD 5, 74%);
Ratings affirmed / assessments revised:
-- Corporate family rating at Ba3;
-- Probability of default rating at Ba3;
-- $113 million term loan maturing January 2012 at Ba1 (LGD 2,
17%);
-- $358 million term loan due January 2015 at Ba1 (LGD 2, 17%);
-- $594 million term loan due January 2015 at Ba1 (LGD 2, 17%);
-- $150 million revolving credit facility due January 2015 at
Ba1 (LGD 2, 17%);
-- $293 million senior unsecured notes at Ba3 (LGD 4, 50%);
-- Speculative grade liquidity rating at SGL 1.
Moody's subscribers can find further details in the Jarden Credit
Opinion published on Moodys.com.
The last rating action was on October 25, 2010, where Moody's
reassigned a Ba1 rating to Jarden's term loan that was not amended
and affirmed all other ratings.
Jarden Corporation is a manufacturer and distributor of niche
consumer products used in and around the home. The company's
primary segment include Consumer Solutions (which distributes
kitchen appliances, and home vacuum packaging systems), Branded
Consumables (which distributes playing cards, arts and crafts,
plastic cutlery and firelogs), and Outdoor solutions (which
distributes a variety of outdoor leisure products under the K2,
PureFishing, Coleman and Campingaz brands). Headquartered in Rye,
NY the company reported net sales of approximately $5.7 billion
for the twelve months ended September 30, 2010.
JARDEN CORP: S&P Assigns 'BB-' Rating to $300 Mil. Notes
--------------------------------------------------------
Standard & Poor's Ratings Services assigned ratings to Rye, New
York-based diversified consumer products provider Jarden Corp.'s
proposed new issue of up to $300 million senior unsecured notes
due 2022. S&P rated the notes 'BB-' (at the same level as its
'BB-' corporate credit rating on the company) with a recovery
rating of '3', indicating S&P's expectation of meaningful (50% to
70%) recovery for noteholders in the event of a payment default.
Jarden has indicated that it will use the proceeds from the notes
offering for general corporate purposes, including the funding of
potential future acquisitions or the repayment of the company's
existing term loans. S&P does not expect the company will use the
proceeds of this offering to fund an incremental increase in its
share repurchase program. Jarden had about $2.96 billion of debt
outstanding as of Sept. 30, 2010.
The corporate credit rating on Jarden is 'BB-' and the rating
outlook is stable. The rating reflects the highly competitive and
difficult operating environment in several of the company's
businesses, its active acquisition strategy, and its leveraged
financial profile. Jarden's diversified business portfolio,
increased scale following a series of large acquisitions, and good
market positions in numerous product categories somewhat offset
these risk factors. The stable outlook reflects improving credit
metrics in recent quarters, despite the current weak economy and
difficult consumer spending environment. S&P expects Jarden to
achieve and sustain leverage at about 4.5x over the intermediate
term, following an initial increase above this level due, in part,
to the new notes issuance.
Rating List
Jarden Corp.
Corporate Credit Rating BB-/Stable/--
New Rating
Jarden Corp.
$300M sr unsecd nts due 2022 BB-
Recovery Rating 3
JASON POWERS: Voluntary Chapter 11 Case Summary
-----------------------------------------------
Joint Debtors: Jason Andrew Powers
Heather Ree Slay
aka Heather Powers
aka Heather Slay-Powers
3765 Sunset Blvd.
Houston, TX 77005-2029
Bankruptcy Case No.: 10-39580
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
Southern District of Texas (Houston)
Judge: Jeff Bohm
Debtor's Counsel: Margaret Maxwell McClure, Esq.
LAW OFFICE OF MARGARET M. MCCLURE
909 Fannin, Suite 3810
Houston, TX 77010
Tel: (713) 659-1333
Fax: (713) 658-0334
E-mail: margaret@mmmcclurelaw.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
The Joint Debtors did not file a list of its largest unsecured
creditors together with its petition.
JOINT-HEIRS MINISTRIES: Case Summary & Creditors List
-----------------------------------------------------
Debtor: Joint-Heirs Ministries, Inc.
dba Joint-Heirs Christian Center
2100 Dunn Avenue
Jacksonville, FL 32218
Bankruptcy Case No.: 10-09590
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Middle District of Florida (Jacksonville)
Debtor's Counsel: Ronald Cutler, Esq.
RONALD CUTLER PA
1172 Pelican Bay Drive
Daytona Beach, FL 32119
Tel: (386) 788-4480
Fax: (386) 788-6040
E-mail: ronaldcutlerpa@bellsouth.net
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's five largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/flmb10-09590.pdf
The petition was signed by Dr. David M Thomas, president.
KAREN BAZEMORE: Case Summary & 3 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Karen K. Bazemore
411 Suncrest Boulevard
Savannah, GA 31410
Bankruptcy Case No.: 10-42363
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Southern District of Georgia (Savannah)
Debtor's Counsel: Richard C. E. Jennings, Esq.
LAW OFFICES OF SKIP JENNINGS, PC
115 W. Oglethorpe Avenue
Savannah, GA 31401
Tel: (912) 234-6872
Fax: (912) 236-7549
E-mail: skipjenningspc@comcast.net
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Debtor's three largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/gasb10-42363.pdf
KEANE INTERNATIONAL: NTT Data Deal Won't Affect Moody's Ratings
---------------------------------------------------------------
Moody's Investors Service says Keane International, Inc.'s ratings
will be unaffected at this time by its announcement on October 29,
2010, that the Company has entered into a definitive agreement to
be acquired by NTT DATA, a subsidiary of Tokyo-based Nippon
Telegraph and Telephone Corporation (rated Aa1 with a negative
outlook). The transaction is subject to customary closing
conditions and regulatory compliance approvals. NTT DATA and
Keane expect the transaction to close in December 2010, subject to
approvals. Terms of the merger agreement were not disclosed
publicly.
Moody's notes that if all outstanding borrowings under Keane's
senior secured credit facility were to be repaid at closing as per
the change of control provision contained in the Company's credit
agreement, Moody's will withdraw Keane's ratings upon closing of
the acquisition and permanent repayment of all rated credit
facilities. Alternatively, if the debt were to remain outstanding
after the merger, upward rating pressure could develop for Keane's
ratings depending on NTT DATA's plan to support Keane's debt.
The current ratings for Keane are:
* Corporate Family Rating to B2
* Probability of Default Rating to B2
* $50 million revolving credit facility (due 2013) -- B2, LGD 3,
46%
* $45 million synthetic letter of credit facility (due 2013) --
B2, LGD 3, 46%
* $577 million first lien term loan (due 2013) -- B2, LGD 3, 46%
The last rating action for Keane was on December 10, 2008, when
Moody's lowered the company's CFR to B2 from B1.
Headquartered in Boston, Massachusetts, Keane International, Inc.,
is an IT services firm specializing in application management /
maintenance, application development / integration and business
process outsourcing services for enterprise customers in various
industry verticals. The Company reported revenues of $797 million
for the twelve months ended June 2010.
KHALIDI PROPERTIES: Case Summary & 5 Largest Unsecured Creditors
----------------------------------------------------------------
Debtor: Khalidi Properties, LLC
616 East 35th Street
Savannah, GA 31401
Tel: (912) 236-5112
Bankruptcy Case No.: 10-42362
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Southern District of Georgia (Savannah)
Debtor's Counsel: James L. Drake, Jr., Esq.
P.O. Box 9945
Savannah, GA 31412
Tel: (912) 790-1533
E-mail: jdrake7@bellsouth.net
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's five largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/gasb10-42362.pdf
The petition was signed by Pamela Khalidi, general
partner/managing member.
LAKE OF THE LANTERNS: Case Summary & 3 Largest Unsecured Creditors
------------------------------------------------------------------
Debtor: Lake of the Lanterns, LLC
7215 East 21st Street, Suite A
Indianapolis, IN 46219
Bankruptcy Case No.: 10-16454
Chapter 11 Petition Date: October 29, 2010
Court: United States Bankruptcy Court
Southern District of Indiana (Indianapolis)
Judge: Anthony J. Metz III
Debtor's Counsel: James S. Kowalik, Esq.
HOSTETLER AND KOWALIK, P.C.
101 W Ohio St., Ste 2100
Indianapolis, IN 46204
Tel: (317) 262-1001
Fax: (317) 262-1010
E-mail: jsk@hostetler-kowalik.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's three largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/insb10-16454.pdf
The petition was signed by Ronald E. Farren, member.
Debtor-affiliates that filed separate Chapter 11 petitions:
Petition
Debtor Case No. Date
------ -------- ----
Avon Lakes Ventures, LLC 10-16452 10/29/10
Hunter Lakes, LLC 10-13855 09/14/10
Oakhurst Realty, LLC 10-13854 09/14/10
LANDRON & VERA: Case Summary & 20 Largest Unsecured Creditors
-------------------------------------------------------------
Debtor: Landron & Vera LLP
Centro Internacional De Mercadeo
Carr 165 Torre I, Suite 203
Guaynabo, PR 00968
Bankruptcy Case No.: 10-10100
Chapter 11 Petition Date: October 28, 2010
Court: U.S. Bankruptcy Court
District of Puerto Rico (Old San Juan)
Debtor's Counsel: Maria Mercedes Figueroa y Morgade, Esq.
FIGUEROA Y MORGADE LEGAL ADVISORS
3415 Ave Alejandrino Box 703
Guaynabo, PR 00969-4956
Tel: (787)234-3981
E-mail: figueroaymorgadelaw@yahoo.com
Scheduled Assets: $3,047,027
Scheduled Debts: $2,318,734
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/prb10-10100.pdf
The petition was signed by Eduardo A. Vera Rodriguez, president.
LEHMAN BROTHERS: Allows State Street Bank to Pursue Action
----------------------------------------------------------
Lehman Brothers Holdings Inc. and State Street Bank and Trust
Company inked an agreement allowing the bank to exercise its
rights on a real estate securing the company's $15.6 million
loan.
LBHI provided the loan to L.H. 1440 LLC to fund the acquisition
and development of the real estate in Bronx, New York. It was
one of those loans purchased by State Street as part of a 2007
repurchase transaction with Lehman Commercial paper Inc.
Under the deal, any funds recovered by State Street on account of
the real estate in excess of the amounts owed on the $15.6 loan
will be remitted to LBHI unless applicable law creates a lien on
the real estate senior to that of LBHI's interest.
The deal is formalized in a six-page stipulation, a copy of which
is available without charge at:
http://bankrupt.com/misc/LBHI_StipStateStreet.pdf
Weil Gotshal & Manges LLP, LBHI' legal counsel, will present the
stipulation to Judge James Peck for signature on November 2,
2010. Deadline for filing objections is November 1, 2010.
About Lehman Brothers
Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the
fourth largest investment bank in the United States. For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.
Lehman Brothers filed for Chapter 11 bankruptcy September 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555). Lehman's bankruptcy petition
listed US$639 billion in assets and US$613 billion in debts,
effectively making the firm's bankruptcy filing the largest in
U.S. history. Several other affiliates followed thereafter.
The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman. Epiq
Bankruptcy Solutions serves as claims and noticing agent.
On September 19, 2008, the Honorable Gerard E. Lynch, Judge of the
U.S. District Court for the Southern District of New York, entered
an order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)). James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI
The Bankruptcy Court has approved Barclays Bank Plc's purchase
of Lehman Brothers' North American investment banking and
capital markets operations and supporting infrastructure for
US$1.75 billion. Nomura Holdings Inc., the largest brokerage
house in Japan, purchased LBHI's operations in Europe for US$2
plus the retention of most of employees. Nomura also bought
Lehman's operations in the Asia Pacific for US$225 million.
International Operations Collapse
Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd. Tony Lomas, Steven Pearson, Dan Schwarzmann and
Mike Jervis, partners at PricewaterhouseCoopers LLP, have been
appointed as joint administrators to Lehman Brothers International
(Europe) on September 15, 2008. The joint administrators have
been appointed to wind down the business.
Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
Lehman Brothers Japan Inc. reported about JPY3.4 trillion
(US$33 billion) in liabilities in its petition.
Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and other insolvency
and bankruptcy proceedings undertaken by its affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
LEHMAN BROTHERS: Allows Capital One to Pursue Action
----------------------------------------------------
Lehman Brothers Holdings Inc. reached an agreement with Capital
One N.A., which allows the firm to exercise its rights on the
collateral securing its loan to New Central Avenue LLC.
Capital One provided $76.4 million loan to New Central Avenue LLC.
The loan is secured by certain properties in Lawrence, New York,
and other collateral.
LBHI holds a mortgage which secures the $7.14 million loan it
provided to New Central Avenue I. The mortgage is subordinate to
the mortgages securing Capital One's $76.4 million loan.
Under the agreement, Capital One is permitted to pursue
foreclosure or any other actions against the collateral.
The agreement also provides that in case Capital One sells its
loans to a third party that is not affiliated with the borrowers
for an amount equal to or less than 75% of the principal balance
of those loans, the firm has to deliver to LBHI's attorneys a
notice of the closing date of the sale, and transfer $500,000 to
the company.
Upon receipt of $500,000, LBHI will be deemed to have terminated
its loan to New Central Avenue I and have released its security
interests and liens in the collateral securing the loan.
In case Capital One elects to sell its loans to a third party
that is affiliated with the borrowers, or for an amount greater
than 75% of the principal balance of its loans, the firm has to
notify LBHI that it intends to pursue an alternative sale.
Meanwhile, LBHI will have the option to either receive the
$500,000 or retain its rights on its $7.14 million loan.
The agreement was approved by the Court on October 26, 2010. A
full-text copy of the agreement is available without charge
at http://bankrupt.com/misc/LBHI_StipCapitalStay.pdf
About Lehman Brothers
Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the
fourth largest investment bank in the United States. For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.
Lehman Brothers filed for Chapter 11 bankruptcy September 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555). Lehman's bankruptcy petition
listed US$639 billion in assets and US$613 billion in debts,
effectively making the firm's bankruptcy filing the largest in
U.S. history. Several other affiliates followed thereafter.
The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman. Epiq
Bankruptcy Solutions serves as claims and noticing agent.
On September 19, 2008, the Honorable Gerard E. Lynch, Judge of the
U.S. District Court for the Southern District of New York, entered
an order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)). James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI
The Bankruptcy Court has approved Barclays Bank Plc's purchase
of Lehman Brothers' North American investment banking and
capital markets operations and supporting infrastructure for
US$1.75 billion. Nomura Holdings Inc., the largest brokerage
house in Japan, purchased LBHI's operations in Europe for US$2
plus the retention of most of employees. Nomura also bought
Lehman's operations in the Asia Pacific for US$225 million.
International Operations Collapse
Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd. Tony Lomas, Steven Pearson, Dan Schwarzmann and
Mike Jervis, partners at PricewaterhouseCoopers LLP, have been
appointed as joint administrators to Lehman Brothers International
(Europe) on September 15, 2008. The joint administrators have
been appointed to wind down the business.
Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
Lehman Brothers Japan Inc. reported about JPY3.4 trillion
(US$33 billion) in liabilities in its petition.
Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and other insolvency
and bankruptcy proceedings undertaken by its affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
LEHMAN BROTHERS: FirstBank Suit v. Barclays Sent to Bankr. Court
----------------------------------------------------------------
Judge George B. Daniels of the U.S. District Court for the
Southern District of New York referred to the U.S. Bankruptcy
Court for the Southern District of New York the action filed by
Firstbank Puerto Rico against Barclays Capital Inc.
Firstbank filed the complaint against Barclays seeking the return
of securities it posted with Lehman Brothers Special Financing,
Inc., to secure certain obligations under an International Swap
Dealers Association Master Agreement.
After Lehman Brothers declared bankruptcy, Barclays acquired the
collateral pursuant to a Sale Order dated September 18, 2008.
Barclays asserted that the action is a "core proceeding," in
part, because the "construction and enforcement of the Sale Order
lie at the very heart" of Firstbank's claims. Firstbank
contended that the action is at least a related proceeding to the
Lehman Brothers bankruptcy proceedings. Firstbank, however, also
contended that the action is not a core proceeding because it is
an action under state common law.
Judge Daniels held that any right Barclays would have to the
collateral would be established pursuant to the Sale Order. He
added that any remaining rights that Firstbank has in the
collateral would need to be determined by analyzing the affect of
the Sale Order.
About Lehman Brothers
Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the
fourth largest investment bank in the United States. For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.
Lehman Brothers filed for Chapter 11 bankruptcy September 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555). Lehman's bankruptcy petition
listed US$639 billion in assets and US$613 billion in debts,
effectively making the firm's bankruptcy filing the largest in
U.S. history. Several other affiliates followed thereafter.
The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman. Epiq
Bankruptcy Solutions serves as claims and noticing agent.
On September 19, 2008, the Honorable Gerard E. Lynch, Judge of the
U.S. District Court for the Southern District of New York, entered
an order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)). James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI
The Bankruptcy Court has approved Barclays Bank Plc's purchase
of Lehman Brothers' North American investment banking and
capital markets operations and supporting infrastructure for
US$1.75 billion. Nomura Holdings Inc., the largest brokerage
house in Japan, purchased LBHI's operations in Europe for US$2
plus the retention of most of employees. Nomura also bought
Lehman's operations in the Asia Pacific for US$225 million.
International Operations Collapse
Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd. Tony Lomas, Steven Pearson, Dan Schwarzmann and
Mike Jervis, partners at PricewaterhouseCoopers LLP, have been
appointed as joint administrators to Lehman Brothers International
(Europe) on September 15, 2008. The joint administrators have
been appointed to wind down the business.
Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
Lehman Brothers Japan Inc. reported about JPY3.4 trillion
(US$33 billion) in liabilities in its petition.
Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and other insolvency
and bankruptcy proceedings undertaken by its affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
LEHMAN BROTHERS: $2 Bil. in Claims Change Hands in September
------------------------------------------------------------
The Clerk of the Bankruptcy Court recorded 267 claims totaling
more than $2.1 billion in Lehman Brothers' Chapter 11 cases that
were transferred in September 2010. Among the largest claims
transferred during the month were:
Transferors Transferee Claim Amount
----------- ---------- ------------
Nomura Klaus Tschira $371,794,529
International PLC Stiftung GGMBH
Lydian Overseas Lydian SPV 229,032,835
Partners Master Offshore Ltd.
Fund Ltd.
Citibank Espana SA Citigroup Global 109,697,046
Markets Inc.
UBS AG Uakari Investments LLC 105,750,000
UBS AG Uakari Investments LLC 105,750,000
Moore Macro Fund LP Barclays Bank PLC 80,039,692
CEBFT Russell Frank Russell Company 75,296,430
Short-Term Investment
Fund STIFSTIF
CEBFT Russell Frank Russell Company 70,436,820
Securities Lending
Fund
Deutsche Bank AG, Deutsche Postbank AG 65,782,598
London Branch
RIC III plc Frank Russell Company 61,188,412
The U.S. Dollar
Cash Plus Fund
Banco Finantia Banco Finantia S.A. 59,597,321
International Ltd.
A list of the September 2010 Claim Transfers is available for free
at http://bankrupt.com/misc/Lehman_ClaimTransfers_Sep2010.pdf
About Lehman Brothers
Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the
fourth largest investment bank in the United States. For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.
Lehman Brothers filed for Chapter 11 bankruptcy September 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555). Lehman's bankruptcy petition
listed US$639 billion in assets and US$613 billion in debts,
effectively making the firm's bankruptcy filing the largest in
U.S. history. Several other affiliates followed thereafter.
The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman. Epiq
Bankruptcy Solutions serves as claims and noticing agent.
On September 19, 2008, the Honorable Gerard E. Lynch, Judge of the
U.S. District Court for the Southern District of New York, entered
an order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)). James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI
The Bankruptcy Court has approved Barclays Bank Plc's purchase
of Lehman Brothers' North American investment banking and
capital markets operations and supporting infrastructure for
US$1.75 billion. Nomura Holdings Inc., the largest brokerage
house in Japan, purchased LBHI's operations in Europe for US$2
plus the retention of most of employees. Nomura also bought
Lehman's operations in the Asia Pacific for US$225 million.
International Operations Collapse
Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd. Tony Lomas, Steven Pearson, Dan Schwarzmann and
Mike Jervis, partners at PricewaterhouseCoopers LLP, have been
appointed as joint administrators to Lehman Brothers International
(Europe) on September 15, 2008. The joint administrators have
been appointed to wind down the business.
Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
Lehman Brothers Japan Inc. reported about JPY3.4 trillion
(US$33 billion) in liabilities in its petition.
Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and other insolvency
and bankruptcy proceedings undertaken by its affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
LESLIE'S POOLMART: S&P Assigns 'BB-' Rating to $225 Mil. Loan
-------------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its 'BB-'
issue-level rating (two notches above the corporate credit
rating) and '1' recovery rating to Phoenix-based Leslie's Poolmart
Inc.'s proposed $225 million term loan B due in 2017, indicating
S&P's expectation for very high (90%-100%) recovery in the event
of a payment default. In addition, S&P affirmed its 'B' corporate
credit rating on the company. The outlook is stable
The company intends to use the proceeds from the term loan, along
with cash on hand, to refinance approximately $164 million of its
7.75% senior notes and repurchase shares from a minority
shareholder.
"The rating on Leslie's reflects S&P's expectation that it will
enhance credit metrics over time with better profitability as a
result of new store growth and stable performance at its existing
store base," said Standard & Poor's credit analyst Charles Pinson-
Rose. Nonetheless, credit metrics will weaken in the near term
due to the addition of debt and S&P believes the financial risk
profile will remain highly leveraged, despite expected
profitability increases.
LOUIE DI RAIMONDO: Case Summary & 20 Largest Unsecured Creditors
----------------------------------------------------------------
Debtor: Louie Di Raimondo
aka Louis Di Raimondo
2410 N. Shore Terrace
Miami Beach, FL 33141
Bankruptcy Case No.: 10-43896
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Southern District of Florida (Miami)
Judge: Robert A. Mark
Debtor's Counsel: Geoffrey S. Aaronson, Esq.
100 SE 2nd Street, 27th Floor
Miami, FL 33131
Tel: (786) 594-3000
Fax: (305) 675-3880
E-mail: gaaronson@aaronsonpa.com
Scheduled Assets: $1,094,925
Scheduled Debts: $5,288,375
A list of the Debtor's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/flsb10-43896.pdf
Debtor-affiliate filing separate Chapter 11 petition:
Entity Case No. Petition Date
------ -------- -------------
Louis DiRaimondo World Wide Investments
& Export Corp 10-43886 11/02/10
LOUIS DI RAIMONDO: Case Summary & 20 Largest Unsecured Creditors
----------------------------------------------------------------
Debtor: Louis Di Raimondo Worldwide Investments & Export
Corporation
aka All American Hot Dog Company
Mountaineer Hot Dog Carts
292 NW 54th Street
Miami, FL 33127
Bankruptcy Case No.: 10-43886
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Southern District of Florida (Miami)
Judge: Laurel M. Isicoff
Debtor's Counsel: Geoffrey S. Aaronson, Esq.
100 SE 2nd Street, 27th Floor
Miami, FL 33131
Tel: (786) 594-3000
Fax: (305) 675-3880
E-mail: gaaronson@aaronsonpa.com
Scheduled Assets: $200,600
Scheduled Debts: $1,961,095
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/flsb10-43886.pdf
The petition was signed by Louie Di Raimondo, president.
MA CEDAR: Case Summary & 8 Largest Unsecured Creditors
------------------------------------------------------
Debtor: MA Cedar Lake Apartments, LLC
aka Cedar Lake Apartments
P.O. Box 22546
Oklahoma City, OK 73123
Bankruptcy Case No.: 10-16563
Chapter 11 Petition Date: October 28, 2010
Court: U.S. Bankruptcy Court
Western District of Oklahoma (Oklahoma City)
Judge: Sarah A. Hall
Debtor's Counsel: G. Rudy Hiersche, Jr., Esq.
105 North Hudson
Hightower Building, Suite 300
Oklahoma City, OK 73102
Tel: (405) 235-3123
E-mail: rudy@hlfokc.com
Scheduled Assets: $2,824,967
Scheduled Debts: $2,182,116
A list of the Company's eight largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/okwb10-16563.pdf
The petition was signed by Lew McGinnis, president of Macco Prop
Inc. managing member.
MAGIC BRANDS: Luby's Wants Out of Nine Fuddruckers Deals
--------------------------------------------------------
Bill Rochelle, the bankruptcy columnist for Bloomberg News,
reports that restaurant operator Luby's Inc. wants the bankruptcy
court to modify the sale-approval order to eliminate the
requirement to purchase the nine franchise agreements with Daltex
Restaurant Management Inc.
According to the report, Luby's accused Magic Brands LLC of
misrepresenting the terms of nine franchise agreements before it
was authorized in June to buy the Fuddruckers stores and franchise
business for $63.5 million. Luby's said the data room didn't show
how nine franchise agreements had been modified less than a year
before bankruptcy to be "far more onerous" to the franchisor.
Luby's said that the undisclosed changes include the franchise fee
was reduced to 3% from 5%, personal guarantees were terminated,
and the franchisor's option to buy the assets was deleted.
Luby's, according to Mr. Rochelle, said it doesn't know whether
the allegedly faulty disclosure was "by accident or artifice."
Luby's wants the bankruptcy court to modify the saleapproval
order to eliminate the requirement to purchase the nine
franchise agreements with Daltex Restaurant Management Inc.
About Magic Brands
Headquartered in Austin, Texas, Magic Brands, LLC --
http://www.fuddruckers.com/-- operated 62 Fuddruckers locations
in 11 states and 3 Koo Koo Roo restaurants in California.
Magic Brands and its operating units filed for Chapter 11
protection on April 21, 2010 (Bankr. D. Del. Lead Case No.
10-11310). It estimated assets of up to $10 million and debts at
$10 million to $50 million in its Chapter 11 petition. Affiliate
Fuddruckers, Inc., also filed, estimating assets and debts at
$50 million to $100 million.
FocalPoint Securities, LLC, serves as investment banker to Magic
Brands, and Goulston & Storrs serves as lead bankruptcy counsel.
Kurtzman Carson Consultants, LLC, is the claims and notice agent.
In July 2010, Magic Brands closed the sale of the Fuddruckers
stores and franchise business to restaurant operator Luby's Inc.
for $63.5 million. The Company changed its name to Deel, LLC
following the completion of the sale.
MAMADOU SYLLA: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Mamadou Sylla
P.O. Box 674731
Marietta, GA 30006
Bankruptcy Case No.: 10-93085
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Northern District of Georgia (Atlanta)
Debtor's Counsel: Paul Reece Marr, Esq.
PAUL REECE MARR, P.C.
300 Galleria Parkway, N.W., Suite 960
Atlanta, GA 30339
Tel: (770) 984-2255
Fax: (770) 984-0044
E-mail: pmarr@mindspring.com
Estimated Assets: $500,001 to $1,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Debtor's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ganb10-93085.pdf
MANSIONS AT HASTINGS: Court Extends Schedules Filing Until Nov. 17
------------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Texas
extended, at the behest of Mansions at Hastings Green, L.P., and
Mansions at Hastings Green Senior, L.P., the deadline for the
filing of schedules of assets and liabilities and statements of
financial affairs until November 17, 2010.
The Debtors said that because additional general partners have
recently overtaken certain responsibilities for the Debtors, the
complexity of the schedules and statements, and the need to verify
the Debtors' accounts that were previously managed by the other
general partners, additional time is required to complete the
schedules and statements.
Columbus, Ohio-based Mansions at Hastings Green, L.P., dba The
Mansions at Hastings Green, A Multifamily Community, owns and
operates The Mansions Family Apartment Housing Community located
at 11950 FM 1960 West, Houston, Texas 77065. It filed for Chapter
11 bankruptcy protection on October 22, 2010 (Bankr. S.D. Tex.
Case No. 10-39474).
Affiliate Mansions at Hastings Green Senior, L.P., dba The
Mansions Senior Living Apartment Housing Community, owns and
operated The Mansions Senior Living Apartment Housing Community
located at 11707 Fallbrook Drive, Houston, Texas 77065. It filed
for Chapter 11 bankruptcy protection on October 22, 2010 (Bankr.
S. D. Tex. Case No. 10-39476).
Mansions at Hastings Green and Mansions at Hastings Green Senior
are jointly administered cases.
Edward L. Rothberg, Esq., at Hoover Slovacek, LLP, assists the
Debtors in their restructuring efforts. The Debtors each
estimated their assets and debts at $10 million to $50 million.
MANSIONS AT HASTINGS: Sec. 341(a) Meeting Scheduled for Nov. 18
---------------------------------------------------------------
The U.S. Trustee for Region 7 will convene a meeting of the
creditors of Mansions at Hastings Green Senior, L.P., and Hastings
Green, L.P., on November 18, 2010, at 2:00 p.m. The meeting will
be held at Suite 3401, 515 Rusk Avenue, Houston, TX 77002.
This is the first meeting of creditors required under Section
341(a) of the U.S. Bankruptcy Code in all bankruptcy cases.
All creditors are invited, but not required, to attend. This
Meeting of Creditors offers the one opportunity in a bankruptcy
proceeding for creditors to question a responsible office of the
Debtor under oath about the company's financial affairs and
operations that would be of interest to the general body of
creditors.
Columbus, Ohio-based Mansions at Hastings Green, L.P., dba The
Mansions at Hastings Green, A Multifamily Community, owns and
operates The Mansions Family Apartment Housing Community located
at 11950 FM 1960 West, Houston, Texas 77065. It filed for Chapter
11 bankruptcy protection on October 22, 2010 (Bankr. S.D. Tex.
Case No. 10-39474).
Affiliate Mansions at Hastings Green Senior, L.P., dba The
Mansions Senior Living Apartment Housing Community, owns and
operated The Mansions Senior Living Apartment Housing Community
located at 11707 Fallbrook Drive, Houston, Texas 77065. It filed
for Chapter 11 bankruptcy protection on October 22, 2010 (Bankr.
S. D. Tex. Case No. 10-39476).
Mansions at Hastings Green and Mansions at Hastings Green Senior
are jointly administered cases.
Edward L. Rothberg, Esq., at Hoover Slovacek, LLP, assists the
Debtors in their restructuring efforts. The Debtors each
estimated their assets and debts at $10 million to $50 million.
MANSIONS AT HASTINGS: Taps Hoover Slovacek as Bankr. Counsel
------------------------------------------------------------
Mansions at Hastings Green, L.P., and Mansions at Hastings Green
Senior, L.P., ask for authorization from the U.S. Bankruptcy Court
for the Southern District of Texas to employ Hoover Slovacek LLP
as bankruptcy counsel.
HSLLP will, among other things:
a. assist, advise and represent the Debtors relative to the
administration of the Debtors' Chapter 11 cases;
b. assist, advise and represent the Debtors in analyzing the
Debtors' assets and liabilities, investigating the extent
and validity of liens and participating in and reviewing
any proposed asset sales or dispositions;
c. attend meetings and negotiate with the representatives of
the secured creditors; and
d. assist the Debtors in the preparation, analysis and
negotiation of any plan of reorganization and disclosure
statement accompanying any plan of reorganization.
HSLLP will be paid based on the hourly rates of its personnel:
Edward L. Rothberg $375
Annie Catmull $310
Melissa Haselden $250
T. Josh Judd $225
Legal Assitants/Paralegals $80-$120
Edward L. Rothberg, Esq., an attorney at HSLLP, assures the Court
that the firm is "disinterested" as that term is defined in
Section 101(14) of the Bankruptcy Code.
Columbus, Ohio-based Mansions at Hastings Green, L.P., dba The
Mansions at Hastings Green, A Multifamily Community, owns and
operates The Mansions Family Apartment Housing Community located
at 11950 FM 1960 West, Houston, Texas 77065. It filed for Chapter
11 bankruptcy protection on October 22, 2010 (Bankr. S.D. Tex.
Case No. 10-39474).
Affiliate Mansions at Hastings Green Senior, L.P., dba The
Mansions Senior Living Apartment Housing Community, owns and
operated The Mansions Senior Living Apartment Housing Community
located at 11707 Fallbrook Drive, Houston, Texas 77065. It filed
for Chapter 11 bankruptcy protection on October 22, 2010 (Bankr.
S. D. Tex. Case No. 10-39476).
Mansions at Hastings Green and Mansions at Hastings Green Senior
are jointly administered cases.
The Debtors each estimated their assets and debts at $10 million
to $50 million.
MASSEY ENERGY: Labor Dept. Seeks Closure of Kentucky Coal Mine
--------------------------------------------------------------
The Wall Street Journal's Kris Maher reports that the U.S. Labor
Department filed a preliminary injunction Wednesday in U.S.
District Court for the Eastern District of Kentucky to close
Massey Energy Co.'s Freedom Mine No. 1 in Pike County, Kentucky,
until safety hazards are addressed. According to the report,
federal officials say they issued nearly 2,000 citations between
July 2008 and June 2010 for safety violations at the mine. They
also noted that six major roof falls had occurred since August
2010 at the mine, which employs about 130 miners.
The Journal notes Massey has been the focus of greater regulatory
oversight following the April accident that killed 29 workers at
its Upper Big Branch mine in Montcoal, West Virginia, in the worst
coal-mining accident in 40 years.
"Massey does not believe the mine is unsafe," the company said in
a statement, the Journal relates.
According to the Journal, Massey has taken steps to improve safety
since the April accident. It stopped production at all of its
underground mines last Friday, and had all of its workers in those
mines attend safety-review training sessions. The company also
increased its staff of safety personnel to conduct its own
inspections and root out unsafe practices.
Last month, Massey reported a net loss of $41.4 million for the
quarter ended September 30, 2010. For the first nine months of
2010, Massey recorded a net loss of $96.5 million.
By comparison, Massey reported net income of $16.5 million in the
third quarter of 2009, and net income of $80.1 million in the
first nine months of 2009.
According to the Journal, people familiar with the matter said
Massey is exploring a potential sale. Massey also faces several
lawsuits stemming from the accident from shareholders and the
estates of deceased miners.
As reported by the Troubled Company Reporter on October 22, 2010,
Standard & Poor's Ratings Services placed its ratings on Massey,
including its 'BB-' corporate credit rating, on CreditWatch with
developing implications, which means that S&P could affirm, raise,
or lower the ratings following completion of S&P's review. The
CreditWatch listing followed press reports suggesting that Massey
is exploring strategic options, including a sale to another coal
producer or a private-equity firm, an acquisition of another
company, or remaining independent.
"The outcome of the strategic alternatives could have a negative
effect on S&P's assessment of the company's overall business and
financial risk profiles, given the potential for a debt financed
acquisition of another coal company or leveraged buyout by a
private equity firm or strategic buyer," said S&P credit analyst
Marie Shmaruk.
Alternatively, S&P said, the company's business and financial risk
profiles could improve if it makes an acquisition that expands the
company's geographic and product diversity or it is acquired by a
stronger entity and any potential transaction is funded in such a
way that results in improved credit measures.
Massey Energy Company (NYSE: MEE) --
http://www.masseyenergyco.com/-- headquartered in Richmond,
Virginia, with operations in West Virginia, Kentucky and Virginia,
is the largest coal company in Central Appalachia and is included
the S&P 500 index. Total assets were $4.703 billion and total
liabilities were $2.812 billion as of September 30, 2010.
MCCABE PROPERTIES: Case Summary & 16 Largest Unsecured Creditors
----------------------------------------------------------------
Debtor: McCabe Properties, LLC
aka 42nd Street Center Mini Storage, Inc.
362 N. 42nd Street
Springfield, OR 97478
Tel: (541) 746-2654
Bankruptcy Case No.: 10-66537
Chapter 11 Petition Date: October 29, 2010
Court: U.S. Bankruptcy Court
District of Oregon
Judge: Frank R. Alley, III
Debtor's Counsel: Loren S. Scott, Esq.
88 East Broadway
Eugene, OR 97401
Tel: (541) 868-8005
E-mail: ecf@mb-lawoffice.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 16 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/orb10-66537.pdf
The petition was signed by Cheryl L. McCabe, member.
MED BIOGENE: Mulls Sale of Assets or Liquidation After IPO Fails
----------------------------------------------------------------
Med BioGene Inc. on Tuesday provided an update on its previously
announced proposed U.S. initial public offering of common shares
and efforts in evaluating strategic options to maximize
shareholder value.
MBI engaged Rodman & Renshaw, LLC, a New York City-based
investment banking firm, to act as lead underwriter in connection
with MBI's proposed U.S. IPO and concurrent listing of its common
shares on The NASDAQ Capital Market and Toronto Stock Exchange.
MBI subsequently filed a registration statement on Form F-1 with
the United States Securities and Exchange Commission, and a
preliminary short form prospectus with the British Columbia,
Alberta and Ontario Securities Commissions, in connection with the
proposed U.S. IPO.
Due to unfavourable and deteriorating market conditions since the
commencement of marketing of the U.S. IPO, especially pertaining
to small capitalization companies, MBI has so far been unable to
complete the offering. While a number of investment funds are
currently undertaking due diligence on MBI for the purpose of
considering an investment in the U.S. IPO, or in a structured
private financing, there can be no assurances that a financing
will be completed.
As a result of the challenging market conditions, MBI has taken
steps to reduce costs to preserve its remaining cash, including
reducing the number of employees and consultants, and has been
evaluating strategic alternatives to maximize shareholder value.
Such alternatives include, but are not limited to, sale of company
assets, partnering or other collaboration agreements, a merger or
sale of MBI or an orderly winding-down of the company. The board
of directors of MBI has established a special committee of the
board, comprised of Dr. Heiner Dreismann (Chairman) and Dennis
Grimaud, to, among other things, review from the point of view of
the best interests of MBI and its shareholders any proposed
transaction.
MBI currently has negative working capital and estimates that it
has enough cash-on-hand to continue with current operations for
approximately 60 to 90 days; however, there are no assurances that
MBI will be able to avoid payment of certain outstanding payables
and, as a result, such timeline may be significantly reduced.
MBI does not intend to disclose developments with respect to this
process unless and until the evaluation of financings and
strategic alternatives has been completed or the board of
directors has approved a specific transaction.
Resignation of Directors
MBI also announced a reduction of its board of directors from
eight members to four. The directors continuing with MBI are
Erinn B. Broshko, Dr. Heiner Dreismann, Dennis L. Grimaud and
Kevin K. Rooney. Bruce G. Cousins, Hector MacKay-Dunn, Dr. Michael
R. Hayden and Dr. John H. Rayson have resigned as directors.
About Med BioGene
Canada-based Med BioGene Inc. -- http://www.medbiogene.com/-- is
a life science company focused on the development and
commercialization of genomic-based personalized clinical
laboratory diagnostic tests.
MESA AIR: ELFC Wants Admin. Expenses Totaling $558,670
------------------------------------------------------
Pursuant to Sections 503(b)(1) and 507(a)(2) of the Bankruptcy
Code, Engine Lease Finance Corporation, for itself and as
Servicer for and on behalf of Deucalion Engine Leasing (Ireland)
Limited, asks the Court for the allowance and payment of
administrative expenses aggregating $558,670.
Pursuant to an individual aircraft engine lease, dated
December 16, 2003, as amended and novated from time to time --
ELFC Lease -- Mesa Airlines, Inc. leased a Rolls Royce - Model:
AE3007A1 engine, Engine Serial No. 311935, from ELFC.
Mesa Airlines also leased Rolls Royce Model: AE3007A1 engine,
Engine Serial No. 312344, pursuant to an individual aircraft
engine lease, dated April 25, 2003, as amended and novated from
time to time, from Deucalion -- DELIL Lease.
On May 26, 2010, the Debtors filed their Sixteenth Notice of
Intent to Reject Lease relating to a certain aircraft engine,
designating June 8, 2010, as the effective date for the rejection
of the ELFC Lease. The Debtors subsequently returned the ELFC
Engine to ELFC on August 23, 2010.
However, when the Debtors returned the ELFC Engine, two Full
Authority Digital Engine Controls, P/N 230740000 were missing.
In addition, the serviceability tags provided for the oil tank
P/N 23070328 S/N RJ13589 and the stator alternator P/N 23075489
S/N UN4899 have not been prepared correctly by the Debtors,
Harvey A. Strickon, Esq., at Paul Hastings Janofsky & Walker LLP,
in New York, relates.
According to Mr. Strickon, the aggregate cost of replacing the
ELFC FADECs and servicing the oil tank and status alternator in
order to replace the Incorrect ELFC Tags is $281,490.
On June 2, 2010, the Debtors filed the Seventeenth Notice of
Intent to Reject Lease relating to a certain aircraft engine,
designating June 14, 2010, as the effective date for the
rejection of the DELIL Lease. The Debtors returned the DELIL
Engine to Deucalion on August 23, 2010.
When the Debtors returned the DELIL Engine, two Full Authority
Digital Engine Controls, P/N 230740000 were missing. Mr.
Strickon also notes that the serviceability tag provided for the
fuel sensor P/N 23052613 S/N P9494 have not been prepared
correctly by the Debtors.
Mr. Strickon informs the Court that the aggregate cost of
replacing the DELIL FADECs and servicing the fuel sensor in order
to replace the Incorrect DELIL Tag is $277,179.
From the Petition Date until the Rolls-Royce Engines were
returned, the Debtors had full use and possession of the Rolls-
Royce Engines. Upon information and belief, the Rolls-Royce
Engines were on wing and in full use both before and during the
entire Postpetition Use Period, according to Mr. Strickon.
The hearing on this motion will be held on October 26, 2010.
About Mesa Air Group
Mesa currently operates 130 aircraft with approximately 700 daily
system departures to 127 cities, 41 states, Canada, and Mexico.
Mesa operates as Delta Connection, US Airways Express and United
Express under contractual agreements with Delta Air Lines, US
Airways and United Airlines, respectively, and independently as
Mesa Airlines and go! Mokulele. This operation links Honolulu to
the neighbor island airports of Hilo, Kahului, Kona and Lihue. The
Company, founded by Larry and Janie Risley in New Mexico in 1982,
has approximately 3,500 employees.
Mesa Air Group Inc. and its units filed their Chapter 11 petitions
Jan. 5 in New York (Bankr. S.D.N.Y. Case No. 10-10018), listing
assets of $976 million against debt totaling $869 million as of
Sept. 30, 2009.
Richard M. Pachulski, Esq., and Laura Davis Jones, Esq., at
Pachulski Stang Ziehl & Jones LLP, serve as local counsel.
Imperial Capital LLC is the investment banker. Epiq Bankruptcy
Solutions is claims and notice agent.
Bankruptcy Creditors' Service, Inc., publishes Mesa Air Bankruptcy
News. The newsletter tracks the Chapter 11 proceedings undertaken
by Mesa Air Group Inc. and its units.
(http://bankrupt.com/newsstand/or 215/945-7000).
MESA AIR: Files Rule 2015.3 Report as of July 31
------------------------------------------------
The Debtors filed a report, dated as of July 31, 2010, on the
value, operations and profitability of entities in which their
estates hold a substantial or controlling interest, as required
by Rule 2015.3 of the Federal Rules of Bankruptcy Procedure.
According to the Court filing, the estate of Mesa Air Group, Inc.
holds a 75% substantial or controlling interest in Mo-Go, LLC.
In addition, Mesa is the sole member of Mesa Angels Foundation,
an Internal Revenue Code Section 501(c)(3) not-for-profit
foundation organized as a non-stock corporation. MAF receives
donations contributed directly from employees of Mesa. MAF had
assets on hand of $125,759 in cash as of the Petition Date.
Debtor Nilchi, Inc., holds an 88% interest in non-debtor Indigo
Miramar, LLC for the purpose of investing in Spirit Airlines,
Inc. On September 17, 2010, Spirit Airlines filed its Form S-1
with the U.S. Securities and Exchange Commission.
Debtor Patar, Inc., holds a 43% interest in non-debtor Finao
Telserra Fund I LLP for the purpose of Patar's investment in an
electronic transaction processing company. Patar wrote off its
investment in the company in 2008, and no longer maintains any
financial information with respect to its interest in Finao
Telserra Fund.
A full-text copy of the Periodic Report, as well as financial
statements with respect to Mo-Go, is available at no charge at:
http://bankrupt.com/misc/Mesa_PeriodicReportInterest073110.pdf
About Mesa Air Group
Mesa currently operates 130 aircraft with approximately 700 daily
system departures to 127 cities, 41 states, Canada, and Mexico.
Mesa operates as Delta Connection, US Airways Express and United
Express under contractual agreements with Delta Air Lines, US
Airways and United Airlines, respectively, and independently as
Mesa Airlines and go! Mokulele. This operation links Honolulu to
the neighbor island airports of Hilo, Kahului, Kona and Lihue. The
Company, founded by Larry and Janie Risley in New Mexico in 1982,
has approximately 3,500 employees.
Mesa Air Group Inc. and its units filed their Chapter 11 petitions
Jan. 5 in New York (Bankr. S.D.N.Y. Case No. 10-10018), listing
assets of $976 million against debt totaling $869 million as of
Sept. 30, 2009.
Richard M. Pachulski, Esq., and Laura Davis Jones, Esq., at
Pachulski Stang Ziehl & Jones LLP, serve as local counsel.
Imperial Capital LLC is the investment banker. Epiq Bankruptcy
Solutions is claims and notice agent.
Bankruptcy Creditors' Service, Inc., publishes Mesa Air Bankruptcy
News. The newsletter tracks the Chapter 11 proceedings undertaken
by Mesa Air Group Inc. and its units.
(http://bankrupt.com/newsstand/or 215/945-7000).
MESA AIR: Wins Nod to Implement Employee Incentive Plan
-------------------------------------------------------
Mesa Air Group Inc. and its affiliates won approval to impelemnt
an Employee Incentive Program and Make Payments thereunder, dated
August 31, 2010.
The Court, among other things, authorized, but not directed, the
Debtors to make in their discretion aggregate quarterly incentive
payments of up to $111,000 to the Eligible Employees for services
rendered by the Employees during the Debtors' fiscal quarter
beginning January 2010 through the end of the third fiscal
quarter ending June 2010, in the target amounts for each Eligible
Employee.
The Debtors are also authorized, but not directed, to continue,
in their discretion, to make incentive payments to the Eligible
Employees in the maximum quarterly amounts for each Eligible
Employee for subsequent quarters during the pendency of these
Chapter 11 cases and before the effective date of the Debtors'
Joint Plan of Reorganization.
All payments made by the Debtors to the Eligible Employees
pursuant to the Court's September 23, 2010 order are entitled to
administrative expense and priority status pursuant to Sections
503(b) and 507(a)(2) of the Bankruptcy Code.
Michael J. Lotz, president of the Debtors, related that, based on
his experience in the industry, he believes each of the Eligible
Employee's total compensation, including the maximum target
incentive payments, is still well below market when compared to
the employment market and other regional airlines in Phoenix,
Arizona, where all the Eligible Employees reside in Phoenix.
Mr. Lotz informed the Court that his incentive compensation and
that of Chief Executive Officer Jonathan G. Ornstein will be
addressed in connection with the anticipated assumption of their
employment contracts in connection with the Debtors' Joint Plan
of Reorganization, which has been negotiated with the Official
Committee of Unsecured Creditors.
About Mesa Air Group
Mesa currently operates 130 aircraft with approximately 700 daily
system departures to 127 cities, 41 states, Canada, and Mexico.
Mesa operates as Delta Connection, US Airways Express and United
Express under contractual agreements with Delta Air Lines, US
Airways and United Airlines, respectively, and independently as
Mesa Airlines and go! Mokulele. This operation links Honolulu to
the neighbor island airports of Hilo, Kahului, Kona and Lihue. The
Company, founded by Larry and Janie Risley in New Mexico in 1982,
has approximately 3,500 employees.
Mesa Air Group Inc. and its units filed their Chapter 11 petitions
Jan. 5 in New York (Bankr. S.D.N.Y. Case No. 10-10018), listing
assets of $976 million against debt totaling $869 million as of
Sept. 30, 2009.
Richard M. Pachulski, Esq., and Laura Davis Jones, Esq., at
Pachulski Stang Ziehl & Jones LLP, serve as local counsel.
Imperial Capital LLC is the investment banker. Epiq Bankruptcy
Solutions is claims and notice agent.
Bankruptcy Creditors' Service, Inc., publishes Mesa Air Bankruptcy
News. The newsletter tracks the Chapter 11 proceedings undertaken
by Mesa Air Group Inc. and its units.
(http://bankrupt.com/newsstand/or 215/945-7000).
METRO-GOLDWYN-MAYER: Commences Pre-Packaged Chapter 11 Cases
------------------------------------------------------------
Metro-Goldwyn-Mayer Inc. and 160 of its affiliates on November 3
filed Chapter 11 cases in the U.S. Bankruptcy Court for the
Southern District of New York to seek confirmation of their
"pre-packaged" plan of reorganization.
MGM said in a statement that it has sufficient cash on hand, and
the consent of its lenders to use this cash, to fund normal
business operations throughout the Chapter 11 process. MGM has
filed "first-day" motions seeking immediate Court approval to
continue paying its employees, vendors, participants, guilds and
licensors in the ordinary course of business during the entire
Chapter 11 process, for both pre-petition and post-petition
obligations. MGM anticipates that the Plan will be confirmed by
the Court in approximately 30 days.
The first day motions include a request to access their
prepetition lenders' cash collateral. A copy of the cash
collateral budget is available for free at:
http://bankrupt.com/misc/MGM_CashCollBudget.pdf
After considering a range of strategic alternatives over the
course of the last 15 months, MGM and its secured lenders
determined the prepackaged plan will allow the Company to emerge
as a stable enterprise with new leadership at the helm to move MGM
forward.
The Plan provides for the Company's secured lenders to exchange
more than $4 billion in outstanding debt for most of the equity in
MGM upon its emergence from Chapter 11.
Following the receipt of the requisite consents from its lenders
for the Plan, the Company and certain significant consenting debt
holders continued efforts to reach agreement with several
affiliates of Carl Icahn, which directly or indirectly hold
significant MGM debt, regarding the Icahn entities' support of the
Plan. The Company, several Icahn entities, and certain
significant consenting debt holders reached agreement regarding
certain immaterial modifications to the transaction documents that
are exhibits to the Plan. Subject to Bankruptcy Court approval,
the transaction documents will be modified with respect to certain
corporate governance provisions and to eliminate the contribution
of assets by Cypress and Garoge, two affiliates of Gary Barber and
Roger Birnbaum, and the receipt of stock in reorganized MGM by
these entities. Based on these modifications, Mr. Icahn will
support the Company's Plan. Under the Plan, Messrs. Barber and
Birnbaum, currently co-Chairman and Chief Executive Officer of
Spyglass Entertainment, will serve as co-Chief Executive Officer
of MGM Holdings Inc. and as co-Chairman and co-Chief Executive
Officer of the primary operating subsidiary of MGM Holdings Inc.
In addition, Messrs. Barber and Birnbaum will serve as members of
the board of directors of MGM Holdings Inc., along with seven
lender appointees, including several independent directors.
"For many months, we have been working with our lenders to explore
the strategic options available to MGM to improve MGM's financial
position and maximize the Company's value," said Co-Chief
Executive Officer Stephen Cooper. "By sharply reducing MGM's debt
load and providing access to new capital, the proposed plan of
reorganization achieves these goals. Having received approval
through our recently completed solicitation process, we are
pleased that the lenders support MGM's approach. We now look
forward to quickly emerging from Chapter 11."
Gary Barber and Roger Birnbaum said, "MGM is emerging from one of
the most challenging periods of its storied history. We are
honored and inspired at the prospect of leading one of Hollywood's
most iconic studios into its next generation of unforgettable
filmmaking, global television production and distribution, and
aggressively pursuing, developing and exploiting new digital
entertainment platforms."
Upon its exit from bankruptcy, MGM expects to raise approximately
$500 million in financing to fund operations, including production
of a new slate of films and television series. MGM will retain
ownership of all of its assets.
The Company's restructuring counsel are Skadden, Arps, Slate,
Meagher & Flom LLP and Klee, Tuchin, Bogdanoff & Stern LLP and its
restructuring advisor is Zolfo Cooper. Donlin Recano serves as
claims and notice agent.
The Prepackaged Plan
Concurrently with the petitions, the Debtors have filed the Plan
and accompanying Disclosure Statement.
A copy of the Plan is available at:
http://bankrupt.com/misc/MGM_PrepackPlan.pdf
A copy of the Disclosure Statement is available at:
http://bankrupt.com/misc/MGM_DiscStatement.pdf
The Plan provides for a balance sheet restructuring whereby
existing equity in MGM Holdings will be cancelled and
approximately $5 billion of claims under the prepetition credit
agreement will be converted into 100% of the equity in reorganized
Holdings, less any New Common Stock issued to Spyglass and C/G in
exchange for the contribution of assets. Under the Plan, Gary
Barber and Roger Birnbaum, the co-founders of Spyglass, will be
appointed as co-chief executive officer of reorganized Holdings.
C/G are entities affiliated with Messrs. Barber and Birnbaum.
Under the Plan, claims under the Credit Agreement will be
converted into approximately 95.3% of the equity in Holdings, as
reorganized.
The Debtors completed their solicitation of acceptances of the
Plan on October 29. MGM's secured lenders, voting in the
Company's solicitation process, overwhelmingly approved the
proposed plan of reorganization.
Prepetition, the Debtors engaged in negotiations with a steering
committee of certain lenders under the Credit Agreement was formed
in connection with the restructuring of the Debtors' obligations.
The Committee is represented by Simpson Thacher & Bartlett LLP.
The committee members include Anchorage Capital Group LLC,
Davidson Kempner Capital Management, Highland Capital Management,
JPMorgan Chase & Co., Invesco Inc. and Solus Alternative Asset
Management.
Mr. Cooper said in a court filing that after the Solicitation that
certain significant Holders of Credit Agreement Claims and the
Debtors negotiated proposed amendments to the investment
agreement, the stockholders agreement and the other applicable
transaction documents that provide, among other things, for
certain modifications to corporate governance provisions and that
C/G would not contribute assets to the reorganized Debtors and
will not receive New Common Stock.
According to Mr. Cooper, "Whether the Plan Modifications are
approved or not, all allowed creditors' claims (except for Credit
Agreement Claims) will be paid in full."
The Debtors anticipate that the hearing to consider the adequacy
of the Disclosure Statement and confirmation of the Plan will
occur within 30 to 45 days after the Petition Date.
According to the Disclosure Statement, conditions to consummation
of the Plan include the effective date "shall have occurred on or
prior to March 31, 2011."
Icahn Now Supporting Plan
MGM rejected a competing bid by Lions Gate, which offered about
$1.7 billion in stock and debt to MGM creditors, representing a
55% stake in the combined company. Following Lions Gate's offer,
Mr. Icahn, who is Lions Gate's largest shareholder and owns about
10% of MGM's debt, asked MGM creditors to reject the Spyglass
Prepackaged Plan and offered 53 cents on the dollar for senior MGM
loans, or about 18% more than the 45 cents the debt fetched in the
market before Lions Gate's Oct. 12 bid.
Mr. Icahn, however, announced November 3 that he has reached an
agreement with MGM and the Lender Subcommittee for Icahn to
support MGM in its prepackaged bankruptcy.
Mr. Icahn stated, "I am pleased that we were able to obtain an
agreement to make changes to the MGM Prepackaged Plan that allows
me to support it and enables the Company to avoid a potentially
costly and disruptive bankruptcy process." Under the revised
terms of the MGM Prepackaged Plan that the parties will seek to
implement, MGM will not acquire the Cypress film library and will
have a strong corporate governance structure, including the
ability of stockholders to call special meetings, and there will
be restrictions on poison pills and staggered boards. Mr. Icahn
will also have the right to designate a member on the MGM Board
following its emergence from bankruptcy.
Losers in MGM Bankruptcy
Bloomberg News, noting that existing equity holders typically get
little or nothing in a bankruptcy, said that losers in the
bankruptcy may include the 2005 buyout group which retains most of
MGM's existing stock. According to a court filing, Tokyo-based
Sony Corp. has a 14% stake; the Texas-based private equity firm
TPG Capital, run by David Bonderman, has 23%; Providence Equity
Partners Inc. has 34%; Comcast Corp. has 21%, and Credit Suisse
Group AG affiliate DLJ Merchant Banking Partners, has 8%.
* * *
The Wall Street Journal's Mike Spector reports that as part of the
restructuring plan, the Spyglass founders should still get a
sliver of equity in the restructured studio in exchange for other
assets. People familiar with the plan, according to Mr. Spector,
said the Spyglass founders also have a management-incentive plan
that allows them to increase their ownership stakes should MGM's
performance rebound. Sources told the Journal, MGM projects its
library cash flows could improve to $277 million by the end of
2011.
Shira Ovide, writing for WSJ Blog's Deal Journal, reports that
Richard Dean Anderson, who starred in the 1980s television series
"MacGyver," may be owed $1.2 million. Ms. Ovide notes the $1.2
million in unsecured debt is listed as a contract claim. She says
an agent listed for Mr. Anderson wasn't immediately available to
confirm that the "Ricky Dean Inc. f/s/o Richard Dean Anderson"
listed in MGM's court filing is the same person as the "MacGyver"
actor.
About Metro-Goldwyn-Mayer Studios
Metro-Goldwyn-Mayer Studios Inc. -- http://www.mgm.com/--
-- is actively engaged in the worldwide production and
distribution of motion pictures, television programming, home
video, interactive media, music, and licensed merchandise. The
company owns the world's largest library of modern films,
comprising around 4,100 titles. Operating units include Metro-
Goldwyn-Mayer Studios Inc., Metro-Goldwyn-Mayer Pictures Inc.,
United Artists Films Inc., MGM Television Entertainment Inc., MGM
Networks Inc., MGM Distribution Co., MGM International Television
Distribution Inc., Metro-Goldwyn-Mayer Home Entertainment LLC, MGM
ON STAGE, MGM Music, MGM Consumer Products and MGM Interactive. In
addition, MGM has ownership interests in domestic and
international TV channels reaching over 130 countries.
As of September 30, 2010, the Debtors' unaudited consolidated
financial statements, as prepared in accordance with accounting
principles generally accepted in the United States for interim
financial statements, included $2,673,772,000 in total assets and
$3,451,493,000 in total liabilities
Excluding certain adjustments made by the Company in accordance
with GAAP, the Debtors' total outstanding liabilities would be
$5,766,721,000, which includes the total face value of outstanding
principal and accrued, but unpaid, interest under the Credit
Agreement and interest rate swap agreements.
METRO-GOLDWYN-MAYER: Case Summary & 50 Largest Unsecured Creditors
------------------------------------------------------------------
Debtor: Metro-Goldwyn-Mayer Studios Inc.
10250 Constellation Blvd.
Los Angeles, CA 90067
Bankruptcy Case No.: 10-15774
Debtor-affiliates filing separate Chapter 11 petitions:
Aidart Distributors Corp.
Aidart Pictures, Inc.
Albino Alligator Productions, Inc.
Alpha Library Company, Inc.
Altar Productions, Inc.
American International Pictures, Inc.
Ameriglad Holdings LLC
Backlot Productions Inc.
Band Films, Inc.
Beginning To Roar Inc.
Beta Library Company, Inc.
Beverly Hills Ninja Productions, Inc.
Brighton Productions, Inc.
Candantino Music, Inc.
Canzione Music, Inc.
Carcassonne Productions Inc.
Charles Band Films, Inc.
Cosmic Title Corp.
Days Picture Corporation
Dayton Film Productions, Inc.
Delta Library Company, Inc.
Delta Library Holdings, Inc.
Domestic Library Acquisition, LLC
Donna Music Publications
ElPaso Films LLC
Empire Entertainment, Inc.
Epic Pictures Enterprises, Inc.
Epsilon Library Company, Inc.
F.P. Productions
Famous Artists Agency, Inc.
Famous Artists Productions, Inc.
First Walnut Inc.
Flipper Productions, Inc.
Foreign Library Acquisition LLC
G-2 Entertainment Company
G26 Company
Gamma Library Company, Inc.
Ghoulies Productions, Inc.
Grand Talk Inc.
Heritage Entertainment, Inc.
Ivan Tors Music,Inc.
JH Productions Inc.
Lambda Library Company, Inc.
Lexyn Productions, Inc.
Lion Independent Television Inc.
Lopert Pictures Corporation
Maple Street Entertainment Inc.
Massachusetts Productions LLC
MCEG Sterling Computer Services
MCEG Sterling Development
MCEG Sterling Entertainment
MCEG Sterling Productions
Media Resources Credit Corporation
Metro Pictures Corporation of America
Metro-Goldwyn-Mayer Animation Inc.
Metro-Goldwyn-Mayer Distribution Co
Metro-Goldwyn-Mayer Home
Entertainment LLC
Metro-Goldwyn-Mayer Inc.
Metro-Goldwyn-Mayer India, Ltd.
Metro-Goldwyn-Mayer Interactive
Productions Inc.
Metro-Goldwyn-Mayer Lion Corp.
Metro-Goldwyn-Mayer Motion Picture Co.
Metro-Goldwyn-Mayer Music Inc.
Metro-Goldwyn-Mayer of China, Inc.
Metro-Goldwyn-Mayer Online Inc.
Metro-Goldwyn-Mayer Overseas Inc.
Metro-Goldwyn-Mayer Pictures Inc.
Metro-Goldwyn-Mayer Studios Inc.
MGM and UA Services Company
MGM Development Inc.
MGM Digital Development Inc.
MGM Direct Inc.
MGM Domestic Digital Media Inc.
MGM Domestic Networks LLC
MGM Domestic Television
Distribution LLC
MGM Domestic TV Networks LLC
MGM Franchise Film Co. LLC
MGM Global Holdings Inc.
MGM HD Productions LLC
MGM Holdings Inc.
MGM Holdings IIInc.
MGM Home Entertainment
Distribution Corp.
MGM Interactive Inc.
MGM International Digital Media Inc.
MGM International Television
Distribution Inc.
MGM LAPTVLLC
MGM Lion Prints LLC
MGM ME Inc.
MGM Middle East Co.
MGM Networks Inc.
MGM Networks U.S. Inc.
MGM NMOC LLC
MGM North America Holdings Inc.
MGM On Demand Inc.
MGM Super Productions Inc.
MGM Television Australia Inc.
MGM Television Entertainment Inc.
MGM/UA, Inc.
Midnight Blue Productions, Inc.
Musicways, Inc.
NSNA Co.
Omega Library Company, Inc.
OPC Music Publishing, Inc.
Orion Film Classics Company
Orion Home Entertainment Corporation
Orion Music Publishing, Inc.
Orion Pictures Corporation
Orion Pictures Distribution Corporation
Orion Pictures Library
Acquisition Co., Inc.
Orion Productions Company
Orion TV Productions, Inc.
P&F Acquisition Corp.
Panther & Pals LLC
Partnership Picture Corp.
Pathe Entertainment Moviesongs, Inc.
Pathe Entertainment Music, Inc.
Pathe Films Inc.
Pathe Releasing Corp.
Pathe TS, Inc.
PFE Library Acquisition Company, Inc.
Purple Photoplays, Inc.
Red Corner Production Inc.
Sarafilms Productions Inc.
She Spies Inc.
Sigma Library Company, Inc.
Singles Productions, Inc.
Tangled Web Productions Inc.
Taryn Productions, Inc.
The Azimuth Company, Inc.
The Mirisch Corporation of Delaware
The War At Home Productions, Inc.
THIS Network LLC
Three P Holdings LLC
Three Pictures Corporation
Time Production Inc.
Turbo Productions Inc.
U.A. of Brazil, Inc.
U/A Music, Inc.
United Artists China, Inc.
United Artists Corporation
United Artists Corporation of Egypt
United Artists Corporation of
Puerto Rico
United Artists Europa, Inc.
United Artists Films (Mr.Accident) Inc.
United Artists Films Company
United Artists Films Inc.
United Artists Music (Belgium), Inc.
United Artists Music Inc.
United Artists Overseas, Inc.
United Artists Pictures Inc.
United Artists Productions Inc.
United Artists Records Inc.
United Artists Television Corp.
United Lion Music, Inc.
Ventura/Gloria Films Inc.
Virgin Vision, Inc.
Wargames II Productions Inc.
Webspinner Inc.
Wizard Video, Inc.
Zeta Library Company, Inc.
Type of Business: Metro-Goldwyn-Mayer, Inc., is an independent,
privately held motion picture, television,
home video, and theatrical production
and Distribution Company. The Company owns the
world's largest library of modern films,
comprising approximately 4,000 titles, and over
10,400 episodes of television programming. An
investor consortium, comprised of Providence
Equity Partners, TPG Capital, Sony Corporation
of America, Comcast Corporation, DLJ Merchant
Banking Partners and Quadrangle Group, owns MGM.
Chapter 11 Petition Date: November 3, 2010
Bankruptcy Court: U.S. Bankruptcy Court
Southern District of New York (Manhattan)
Bankruptcy Judge: Stuart M. Bernstein
Debtor's
Counsel : Jay M. Goffman, Esq.
SKADDEN, ARPS, SLATE, MEAGHER & FLOM LLP
Four Time Square
New York, NY 10036
Tel.: (212)735-3000
Fax : (212)735-2000
E-mail: JGoffman@skadden.com
Debtor's
Legal
Counsel : KLEE, TUCHIN, BOGDANOFF & STERN LLP
Debtor's
Financial
Advisor : MOELIS & COMPANY
Debtors'
Claims Agent: DONLIN RECANO & COMPANY, INC.
Financial Condition as of Sept. 30, 2010:
Total Assets: $2,673,772,000
Total Liabilities: $3,451,493,000
The petition was signed by Stephen F. Cooper, member of the office
of the CEO.
Debtor's Consolidated List of 50 Largest Unsecured Creditors:
Entity/Person Nature of Claim Claim Amount
------------- --------------- ------------
NBC Universal Contract $34.6 million
100 Universal City Plaza
Building 1440, 31st Floor
Universal City, CA 91608
Showtime Networks, Inc. Advances $25.5 million
1633 Broadway, 16th Floor
New York , NY 10019
Rainbow Media Holdings Advances $22.9 million
11 Penn Plaza
15th Floor
New York, NY 10001
Activision Advances $19.0 million
Deluxe Laboratories Advances $14.1 million
Turner Entertainment Advances $9.6 million
Networks
Starz Entertainment LLC Advances $9.1 million
Sonopress (Arvato Digital Contract $7.3 million
Services)
Motion Picture Industry Contract $6.2 million
Plan (IATSE)
Columbia House Advances $4.6 million
Screen Actors Guild Contract $4.6 million
Owens Corning Advances $4.6 million
Danjaq, LLC Contract $4.3 million
USA Networks Advances $3.5 million
Epix Advances $3.5 million
Tele-Muenchen Fernseh Advances $3.1 million
SyFy Network Contract $2.6 million
Alberto Grimaldi Contract $2.2 million
Productions S.A.
Comedy Central Advances $2.1 million
(MTV Networks)
Writers Guild of America Contract $2.0 million
Spike TV (MTV Networks) Advances $2.0 million
Directors Guild of America Contract $2.0 million
Chartoff-Winkler Contract $1.9 million
Productions
NRJ 12 Advances $1.9 million
Rogue Marble Productions Contract $1.5 million
of Florida, Inc.
MBC FZ LLC Advances $1.4 million
Deluxe Digital Media Contract $1.3 million
Management Inc.
Disney Channel Advances $1.2 million
Ricky Dean, Inc. Contract $1.2 million
f/s/o Richard Dean
Anderson
Mclaughlin & Stern, LLP Contract $1.2 million
ABC Family Advances $1 million
ProSiebenSat.1 Media AG Advances $1 million
Netflix, Inc. Advances $1 million
Pacific Western Contract $1 million
Productions, Inc.
MTV OY Advances $1 million
MTV Networks Advances $1 million
TV2/Danmark Advances $1 million
Telecine Programacao Advances $1 million
de Films
Home Box Office Advances $0.9 million
Comarex S.A. de C.V. Advances $0.9 million
Acme Writing Co. Ltd. Contract $0.9 million
f/s/o Brad Wright
ITV Network Limited Advances $0.9 million
F.O.R.TA. Advances $0.9 million
Leopolis TV LTD. Advances $0.8 million
Television Espanola Advances $0.8 million
Big Jools, LLC Contract $0.8 million
Broadmedia Studios Corp. Advances $0.7 million
Televisa S.A. de C.V. Advances $0.7 million
Depatie Freleng Enterprises Contract $0.7 million
Mirisch Films, Inc. Contract $0.7 million
MICHAEL CARTER: Case Summary & Largest Unsecured Creditor
---------------------------------------------------------
Joint Debtors: Michael M. Carter
Jaymie G. Carter
435 12th St. West
Bradenton, FL 34205
Bankruptcy Case No.: 10-26164
Chapter 11 Petition Date: October 29, 2010
Court: United States Bankruptcy Court
Middle District of Florida (Tampa)
Judge: Catherine Peek McEwen
Debtor's Counsel: Richard C. Prosser, Esq.
STICHTER, RIEDEL, BLAIN & PROSSER PA
110 E. Madison Street, Suite 200
Tampa, FL 33602
Tel: (813) 229-0144
E-mail: rprosser.ecf@srbp.com
Estimated Assets: $10,000,001 to $50,000,000
Estimated Debts: $10,000,001 to $50,000,000
The petition was signed by the Joint Debtors.
In its list of 20 largest unsecured creditors, the Joint Debtors
placed only one entry:
Entity Nature of Claim Claim Amount
------ --------------- ------------
Manatee County Tax $39,452
Collector
P.O. Box 25300
Bradenton, FL 34206
Debtor-affiliates that filed separate Chapter 11 petitions:
-- R.D. Marina, LLC
-- R.D. Marina II, LLC
-- Mike Carter I, Inc.
-- Design Team West, Inc.
-- Production Properties
-- Mike Carter Construction, Inc.
MOLECULAR INSIGHT: Gets Nov. 19 Waiver Extension from Bondholders
-----------------------------------------------------------------
Molecular Insight Pharmaceuticals, Inc., has received a further
extension of its waiver agreement with its Bond holders, allowing
debt restructuring discussions to continue.
Earlier this year, Molecular Insight executed the waiver agreement
and subsequent amendments with holders of the Company's
outstanding Senior Secured Bonds and the Bond Indenture trustee
and announced ongoing discussions with the Bond holders concerning
a restructuring of its outstanding debt. Under terms of the
extension announced today, the Bond holders and Bond Indenture
trustee agreed to extend the waiver of a default arising from the
inclusion of a going concern explanatory paragraph in the
independent auditor's report on the Company's financial statements
for the year ended December 31, 2009, any default arising from the
Company's failure to comply with the minimum liquidity
requirements set forth in the Bond Indenture, and other technical
defaults under the Bond Indenture. The term of the waiver is
extended until 11:59 PM Eastern Standard Time on November 19,
2010, subject to earlier termination by the Bond holders upon
certain circumstances. During this waiver extension period, the
Company will continue to discuss with its Bond holders various
proposals. There are no assurances, however, that such discussions
will be successful.
The waiver continues to be subject to a number of terms and
conditions. In the event that the waiver expires or terminates
prior to the successful conclusion of the Company's negotiations
with its Bond holders regarding the restructuring of its
outstanding debt, the Company will be in default of its
obligations under the Indenture and the Bond holders may choose to
accelerate the debt obligations under the Indenture and demand
immediate repayment in full and seek to foreclose on the
collateral supporting such obligations. If the Company's debt
obligations are accelerated or are not restructured on acceptable
terms, it is likely the Company will be unable to repay such
obligations and may seek protection under the U.S. Bankruptcy Code
or similar relief.
About Molecular Insight
Cambridge, Mass.-based Molecular Insight Pharmaceuticals, Inc.
(NASDAQ: MIPI) -- http://www.molecularinsight.com/-- is a
clinical-stage biopharmaceutical company and pioneer in molecular
medicine. The Company is focused on the discovery and development
of targeted therapeutic and imaging radiopharmaceuticals for use
in oncology. Molecular Insight has five clinical-stage candidates
in development.
Molecular Insight had assets of US$49.39 million against debts of
US$193 million, mostly current, as of June 30, 2010.
As reported in the Troubled Company Reporter on March 17, 2010,
Deloitte & Touche LLP expressed substantial doubt about the
Company's ability to continue as a going concern after auditing
the Company's financial statements for the year ended December 31,
2009. The independent auditors noted of the Company's
difficulties in meeting its bond indenture covenants and its
recurring losses from operations.
Molecular Insight inked with bondholders a waiver agreement that
expires August 16, 2010. The bondholders agreed to waive a
default arising from the inclusion of a going concern explanatory
paragraph in the 2009 financial statements and other technical
defaults under the bond indenture. The Company said that if its
debt obligations are accelerated following termination of the
waiver agreement or the debts are not restructured on acceptable
terms, it is likely the Company will be unable to repay such
obligations and may seek protection under the U.S. Bankruptcy Code
or similar relief.
MOSTELAC ENTERPRISES: Case Summary & 2 Largest Unsecured Creditors
------------------------------------------------------------------
Debtor: Mostelac Enterprises Inc.
407 LIncoln Road, Suite 9-A
Miami Beach, Fl 33137
Bankruptcy Case No.: 10-43801
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Southern District of Florida (Miami)
Judge: A. Jay Cristol
Debtor's Counsel: Scott Alan Orth, Esq.
3880 Sheridan Street
Hollywood, FL 33021
Tel: (305) 757-3300
Fax: (305) 757-0071
E-mail: orthlaw@bellsouth.net
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's two largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/flsb10-43801.pdf
The petition was signed by Felix Mostelac, president.
MUELLER ELECTRIC: Case Summary & 20 Largest Unsecured Creditors
---------------------------------------------------------------
Debtor: Mueller Electric Company, Inc.
1208 Massillon Rd Bldg G Ste N-1500
Akron, OH 44306
Bankruptcy Case No.: 10-55163
Chapter 11 Petition Date: October 29, 2010
Court: United States Bankruptcy Court
Northern District of Ohio (Akron)
Judge: Marilyn Shea-Stonum
Debtor's Counsel: Frederic P. Schwieg, Esq.
2705 Gibson Dr
Rocky River, OH 44116-3008
Tel: (440) 499-4506
Fax: (440) 398-0490
E-mail: fschwieg@schwieglaw.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ohnb10-55163.pdf
The petition was signed by E. Scott Emerson, president.
NATIONAL CENTURY: Court Won't Cut Faulkenberry's 10-Year Sentence
-----------------------------------------------------------------
Judge Algenon L. Marbley of the U.S. District Court for the
Southern District refused to shorten former executive of National
Century Financial Enterprises, Inc., Roger S. Faulkenberry's
original 10-year sentence, The Associated Press reports.
Judge Marbley resentenced Mr. Faulkenberry on October 22, 2010, to
five-year prison sentences for six convictions and ordered two
sentences to run consecutively and the rest concurrently, The
Columbus Dispatch reports.
To recall, the Sixth Circuit Court of Appeals in Cincinnati has
reversed the money-laundering convictions of Mr. Faulkenberry and
that of another former National Century executive, Donald H.
Ayers. After the reversal of their money laundering convictions,
Messrs. Ayers and Faulkenberry asked the District Court for a
shorter sentence.
Mr. Ayers of Fort Myers, Florida, an NCFE vice chairman, chief
operating officer, director and owner of the company, was
sentenced on August 6, 2008, to 15 years in prison for conspiracy,
securities fraud and money laundering. Meanwhile, Mr.
Faulkenberry of Dublin, Ohio, a senior executive responsible for
raising money from investors, was sentenced on August 7, 2008, to
10 years in prison for conspiracy, securities fraud, wire fraud
and money laundering.
"If he serves a 10-year sentence, he'll be past the point where he
can be a productive member of society, past the hope of being able
to make restitution, past the point of age where his children need
a father's attention," Mr. Faulkenberry's attorney, David Greer,
Esq., is quoted by AP as saying.
According to the report, Judge Marbley said he considered the
impact of Mr. Faulkenberry's sentence on his family but could not
ignore the magnitude of the National Century fraud that harmed
thousands of people.
"I don't see them in this court," Judge Marbley said. "I have no
idea of the pain and devastation that has been wrought in their
lives," he added.
Federal prosecutor Douglas Squires, however, urged Judge Marbley
to keep the original sentence, AP reports. "This was a massive
fraud with an extensive cover-up," he said.
In his statement, Mr. Faulkenberry said that National Century
parties, including investors, may have been overly optimistic and
aggressive where the company's tactic of advancing money was
concerned.
"Even in the final days, I honestly believed there was something
worth saving," Mr. Faulkenberry told Judge Marbley.
"And the magnitude of this, the losses, stagger me," AP further
quoted Mr. Faulkenberry as saying. "I don't have enough words to
tell you how sorry I am these investors lost money with this
company. That wasn't supposed to happen," he added.
Judge Marbley rescheduled Mr. Ayers' resentencing to December 3,
2010, Andrew Welsh-Huggins of AP says.
About National Century
Headquartered in Dublin, Ohio, National Century Financial
Enterprises, Inc. -- http://www.ncfe.com/-- was the largest
issuer of medical accounts receivable asset backed securities in
the United States before it collapsed in bankruptcy in November
2002 amid allegations of widespread fraud and misappropriation of
assets. To date, 10 senior executives of the company have been
convicted or pled guilty to federal charges of conspiracy,
securities fraud, wire fraud, and money laundering arising out of
the NCFE securitization program.
NCFE -- through the CSFB Claims Trust, the Litigation Trust, the
VI/XII Collateral Trust, and the Unencumbered Assets Trust -- is
in the midst of liquidating estate assets. The Company filed for
Chapter 11 protection on November 18, 2002 (Bankr. S.D. Ohio Case
No. 02-65235). The Court confirmed the Debtors' Fourth Amended
Plan of Liquidation on April 16, 2004. Paul E. Harner, Esq., at
Jones Day, represented the Debtors.
Bankruptcy Creditors' Service, Inc., publishes NATIONAL CENTURY
BANKRUPTCY NEWS. The newsletter tracks the Chapter 11 proceeding
undertaken by National Century Financial Enterprises Inc. and its
units. (http://bankrupt.com/newsstand/or 215/945-7000)
NATIONAL CENTURY: Former Exec. Rebecca Parrett ARRESTED in Mexico
-----------------------------------------------------------------
Rebecca Parrett, National Century Financial Enterprises, Inc.'s
former vice chairman, secretary, treasurer, director and owner,
was arrested in a Mexican lakeside town, after almost three years
on the run.
Ms. Parrett has changed her name to Carol Ann Marrero, and her
hair from blond to brunette, when the Mexican immigration
officials picked her up at her home in Ajijic, Jalisco, on October
26, 2010, The Columbus Dispatch reports.
According to reports, Ms. Parrett had made friends in Ajijic, was
known to go out dancing in the community and had sought treatment
from an antiaging specialist.
"The common fugitive can't live that well," Deputy U.S. Marshal
Brian Babtist is quoted by the Columbus Dispatch as saying. "She
had resources. She had money. Some of it may have been money she
stole as part of her offenses. Maybe she was getting help. We
don't know," he added.
"She was living in the lap of luxury," Mr. Babtist said in a
telephone interview. "She was having fun, telling people that she
was an American who had testified against several people in a
large white-collar crime case. She was trying to stay anonymous
and using an alias."
Ms. Parrett was flown on October 27, 2010, from Guadalajara,
Mexico, to Los Angeles, California, where she was arrested on a
warrant, Bloomberg News reports.
U.S. Magistrate Judge Jacqueline Chooljian, at a hearing on
October 28 in Los Angeles, ordered Ms. Parrett to be detained and
transferred to Columbus, Ohio, David Voreacos of Bloomberg says.
She has waived her right to an identity hearing in Los Angeles.
Judge Algenon L. Marbley of the U.S. District Court for the
Southern District of Ohio sentenced, in absentia, Ms. Parrett in
March 2009 to 25 years in prison and three years of supervised
release for her role in National Century's collapse.
Ms. Parrett became a fugitive after failing to show up for a Court
appearance following a March 2008 jury verdict. The search for
Ms. Parrett has been well publicized, and her disappearance has
been featured on America's Most Wanted.
On July 9, 2010, Judge Marbley sentenced Ms. Parrett's elder
sister, Linda Case, to eight months of house arrest with an ankle
monitoring device. Because Ms. Case has been in jail since her
February 2010 arrest, she received credit for the time she spent
behind bars.
Ms. Case was arrested for lying and making false statements in
connection with her e-mails to Ms. Parrett. Prosecutors have
dropped the obstruction of justice charges against Ms. Case as
part of an agreement for her to plead guilty for lying and making
false statement to authorities.
"I'm glad she's alive and safe," Ms. Case is quoted by the
Columbus Dispatch as saying from her home in Valleyview. "That's
all I can say," she continued.
DOJ's Statement
"Corporate executives found guilty for their fraudulent activity
will not be allowed to escape justice by fleeing the United
States," said Assistant Attorney General Lanny A. Breuer, on
October 27. "Like any defendant convicted by a jury, Ms. Parrett
is today facing the consequences of her actions."
"The U.S. Marshals Service has followed all leads and devoted
countless hours to the search for Parrett," said U.S. Attorney
Stewart. "Their persistence has led to her arrest. Now she will
finally face justice."
"The U.S. Marshal Service never wavered or slowed in our
commitment to bring Rebecca Parrett to justice," said U.S. Marshal
Cathy Jones. "Even fugitives with great financial resources
willing to flee the country for years, as she did, will always
have to look over their shoulder. The U.S. Marshals Service is
world-renowned for having the resources to conduct complicated
fugitive investigations, and this arrest again displays our
commitment to ensuring the integrity of the criminal justice
system."
NCFE, formerly based in Dublin, Ohio, was one of the largest
healthcare finance companies in the United States until it filed
for bankruptcy in November 2002. Ms. Parrett and other NCFE
executives engaged in a scheme from 1995 until the collapse of the
company to deceive investors and rating agencies about the
company's financial health and how investors' money would be used.
The court noted that 275 healthcare providers filed bankruptcy in
whole or in part because of NCFE's collapse. Ms. Parrett and nine
other executives were convicted or pleaded guilty in connection
with the fraud that led to the company's collapse.
The investigation into Ms. Parrett's disappearance generated leads
in more than a dozen U.S. states and several foreign countries.
Many federal, state and local police agencies assisted the U.S.
Marshals Service in Columbus with its pursuit of the
fugitive.
The cooperative investigation that led to Ms. Parrett's arrest
included assistance from the Southern Ohio Fugitive Task Force
(SOFAST); the U.S. Department of State, Diplomatic Security
Service; the Internal Revenue Service - Criminal Investigation
Division; the Columbus Division of Police; the FBI; the Grove
City, Ohio, Police Department; the Ohio Bureau of Criminal
Identification and Investigation; the Drug Enforcement
Administration; the U.S. Immigration and Customs Enforcement; the
Ohio Adult Parole Authority; and the U.S. Postal Inspection
Service. Officials also expressed their gratitude to Mexican
authorities for their significant assistance in this matter.
About National Century
Headquartered in Dublin, Ohio, National Century Financial
Enterprises, Inc. -- http://www.ncfe.com/-- was the largest
issuer of medical accounts receivable asset backed securities in
the United States before it collapsed in bankruptcy in November
2002 amid allegations of widespread fraud and misappropriation of
assets. To date, 10 senior executives of the company have been
convicted or pled guilty to federal charges of conspiracy,
securities fraud, wire fraud, and money laundering arising out of
the NCFE securitization program.
NCFE -- through the CSFB Claims Trust, the Litigation Trust, the
VI/XII Collateral Trust, and the Unencumbered Assets Trust -- is
in the midst of liquidating estate assets. The Company filed for
Chapter 11 protection on November 18, 2002 (Bankr. S.D. Ohio Case
No. 02-65235). The Court confirmed the Debtors' Fourth Amended
Plan of Liquidation on April 16, 2004. Paul E. Harner, Esq., at
Jones Day, represented the Debtors.
Bankruptcy Creditors' Service, Inc., publishes NATIONAL CENTURY
BANKRUPTCY NEWS. The newsletter tracks the Chapter 11 proceeding
undertaken by National Century Financial Enterprises Inc. and its
units. (http://bankrupt.com/newsstand/or 215/945-7000)
NCL CORPORATION: Moody's Assigns 'Caa1' Rating to $200 Mil. Bonds
-----------------------------------------------------------------
Moody's Investors Service assigned a Caa1 rating to NCL
Corporation Limited's proposed $200 million senior unsecured bonds
due 2018. Moody's affirmed the company's B2 Corporate Family
Rating, B2 rating on its 11.75% senior secured notes, and SGL-3
Speculative Grade Liquidity rating. The rating outlook is stable.
The proceeds from the proposed bond offering will be used to
reduce senior secured debt. Approximately 93.5% of NCL's total
debt will be structurally senior to the proposed unsecured notes.
As a result, the new unsecured bonds are rated two notches below
NCL's CFR pursuant to Moody's Loss Given Default methodology.
Ratings Rationale
NCL's B2 Corporate Family Rating acknowledges that despite the
expectation of an improvement in EBITDA, leverage will remain
high. Moody's anticipates that NCL's debt/EBITDA -- based on an
estimated full year's earnings contribution from the recently
delivered Norwegian EPIC -- will be around 6.5 times by year-end
2010. Moody's also expects that rising demand will translate into
a further earnings increase in 2011 as well as positive free cash
flow. As a result, , NCL's debt/EBITDA -- although expected to
remain high -- will likely decline as the company's free cash flow
can be deployed toward debt repayment in 2011.
The ratings also consider specific industry risks including heavy
reliance on leisure travelers, the specialized nature of the ship
asset class, and the need for large non-cancelable commitments of
capital for new ships several years in advance of delivery.
The stable rating reflects Moody's views that the recovery in
cruise demand will continue to drive earnings growth and further
deleveraging in 2011. The outlook also anticipates that NCL will
maintain its adequate liquidity profile. The ratings could be
upgraded if NCL reduces and sustains debt to EBITDA around 5.25
times and if the demand environment remains strong enough to
support a solid return on new ship building capital spending. The
ratings could be downgraded if the industry recovery stalls and
net revenue yields decline materially.
Rating assigned
-- $200 million senior unsecured notes due 2018 at Caa1 (LGD 6,
95%)
Ratings affirmed and assessments updated:
-- Corporate Family Rating at B2
-- Probability of Default Rating at B2
-- $450 million 11.75% guaranteed senior secured notes due
11/15/2016 at B2 (LGD 3, 47%)
-- Speculative Grade Liquidity rating at SGL-3
NCL Corporation Limited, head operates 11 cruise ships that offer
itineraries in North and South America as well as Europe.
Revenues for the twelve months ended September 30, 2010 was
approximately $1.4 billion.
NEXT 1: Signs $15 Million Purchase Agreement with Lincoln Park
--------------------------------------------------------------
Next One Interactive, Inc. announced Monday that on October 26,
2010, it signed an equity purchase agreement for up to $15 million
with Lincoln Park Capital Fund, LLC, a Chicago-based institutional
investor.
"We are pleased to have partnered with LPC on this purchase
agreement due to the successes that LPC has had with growing other
companies by infusing their experience along with their capital.
We anticipate they will help us as well by funding our business on
favorable terms which we believe will benefit all of our
shareholders," said William Kerby, Vice-Chairman & CEO of Next One
Interactive, Inc. The proceeds of the financing will be used for
the further development of the R&RTV Network and the Travel and
Real Estate Video on Demand platforms. Any additional funds will
be used to improve other lines of business and to make
acquisitions of companies in the same sector.
Upon signing the purchase agreement, LPC invested $200,000 in Next
One as an initial purchase under the agreement at $.50 per share
together with warrants to purchase additional shares at an
exercise price of $1.00. The Company, under the agreement, also
has the right at its discretion to sell shares of its common stock
to LPC from time to time over a 30-month period in amounts up to
$500,000 and up to an additional $14.8 million depending on
certain conditions as set forth in the purchase agreement
including that a registration statement related to the transaction
has been declared effective by the U.S. Securities & Exchange
Commission.
There are no upper limits to the price LPC may pay to purchase
Next One common stock, and Next One will control the timing and
amount of any sales of shares to LPC with the purchase price fixed
on the date of sale and based on the prevailing market prices of
the Company's shares for a period immediately preceding the sale.
The purchase agreement may be terminated by Next One at any time,
at its sole discretion, without any cost or penalty.
About Lincoln Park
LPC -- http://www.LincolnParkCapital.com/-- is an institutional
investor headquartered in Chicago, Illinois. LPC's professionals
manage a portfolio of investments in public and private entities.
These investments are in a wide range of companies and industries
emphasizing life sciences, energy and technology. LPC's
investments range from multiyear financial commitments to fund
growth to special situation financings to long-term strategic
capital offering companies certainty, flexibility and consistency.
About Next 1
Weston, Fla.-based Next 1 Interactive, Inc. (OTC BB: NXOI)
-- http://www.nxoi.com/-- is an interactive media company. The
Company focuses on video and media advertising over Internet,
Mobile and Television platforms. Historically, the Company
operated through two divisions, Media and Travel. A third (Real
Estate) division is expected to launch during the third quarter of
fiscal 2011.
The Company's balance sheet at August 31, 2010, showed
$13.6 million in total assets, $10.3 million in total liabilities,
and stockholders' equity of $3.3 million.
As reported in the Troubled Company Report on June 11, 2010,
Kramer, Weisman and Associates, LLP, in Davie, Fla., expressed
substantial doubt about the Company's ability to continue as a
going concern, following the Company's results for the fiscal year
ended February 28, 2010. The independent auditors noted that the
Company had an accumulated deficit of $30.0 million and working
capital deficit of $2.1 million at February 28, 2010, net losses
of $11.9 million for the year ended February 28, 2010, and cash
used in operations of $5.6 million during the year ended
February 28, 2010.
NORTH GENERAL HOSPITAL: Creditors File $150MM Suit vs. DASNY
------------------------------------------------------------
North General Hospital's unsecured creditors filed a lawsuit
against the Dormitory Authority of the State of New York, hoping
to get debt stemming from a $150 million loan the authority
provided crossed off the list of obligations the defunct hospital
needs to pay, Dow Jones' DBR Small Cap reports.
According to the report, the committee representing unsecured
creditors in North General Hospital's bankruptcy case filed the
lawsuit Friday with the U.S. Bankruptcy Court in Manhattan asking
that a $150 million loan DASNY provided the hospital, which is
allegedly secured, be recharacterized as capital contributions or
grants. The report relates that if the alleged secured loan were
recharacterized as capital contributions or grants, it wouldn't be
considered debt that North General Hospital would have to repay,
and North General Hospital's unsecured creditors would have a
better chance at a recovery in the hospital's bankruptcy case.
About North General
New York-based North General Hospital is a not-for-profit 200-bed
community hospital in upper Manhattan that has serviced the
communities of East and Central Harlem since the 1970s. The
Hospital filed for Chapter 11 bankruptcy protection on July 2,
2010 (Bankr. S.D.N.Y. Case No. 10-13553). Charles E. Simpson,
Esq., at Windels, Marx, Lane & Mittendorf, LLP, assists the
Company in its restructuring effort. The Company disclosed
$67 million in assets and $293 million in liabilities.
Garfunkel Wild, P.C., is the Company's healthcare counsel.
Alvarez & Marsal is the Company's restructuring consultant.
NY TIMES: Note Upsizing Won't Affect S&P's 'B+' Rating on Notes
---------------------------------------------------------------
Standard & Poor's Ratings Services said that its rating on The
New York Times Co.'s Rule 144A privately placed 6.625% senior
notes due 2016 is unaffected by the upsizing of the notes to
$225 million from $200 million. The issue-level rating on the
notes remains at 'B+' (at the same level as the 'B+' corporate
credit rating on the company) with a recovery rating of '4',
indicating S&P's expectation of average (30% to 50%) recovery for
noteholders in the event of a payment default. S&P expects that
the company will use proceeds from the notes to refinance higher-
cost debt.
The corporate credit rating on New York City-based newspaper
publisher The New York Times is 'B+' and the rating outlook is
stable. Notwithstanding S&P's view that the company is likely to
experience ongoing secular declines in print advertising revenue,
S&P believes it will be able to maintain total lease- and pension-
adjusted debt to EBITDA between 4x and 5x. Leverage in this range
would provide some cushion in the company's financial profile in
the event secular declines in print ad revenue worsen in 2011.
Ratings List
New York Times
Corporate Credit Rating B+/Stable/--
$225M Rule 144A 6.625% sr nts due 2016 B+
Recovery Rating 4
ODYSSEY (VI) COMMERCIAL: Voluntary Chapter 11 Case Summary
----------------------------------------------------------
Debtor: Odyssey (VI) Commercial DP I, LLC
dba East West Crossings
500 S. Florida Avenue, Suite 700
Lakeland, FL 33801
Bankruptcy Case No.: 10-26613
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Middle District of Florida (Tampa)
Debtor's Counsel: Edward J. Peterson, III, Esq.
STICHTER, RIEDEL, BLAIN & PROSSER, PA
110 East Madison Street, Suite 200
Tampa, FL 33602
Tel: (813) 229- 0144
Fax: (813) 229-1811
E-mail: epeterson@srbp.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
The Company did not file a list of creditors together with its
petition.
The petition was signed by Robert L. Madden, president of OC Dip,
LLC, its manager.
Debtor-affiliates that filed separate Chapter 11 petitions:
-- Walden Woods III, Ltd.
-- Paradise Shoppes at Apollo Beach, LLC
-- Odyssey (III) DP XVII, LLC
-- CRF-Panther IX, LLC
-- Century/Ag - Avondale, LLC
-- GPP - Cobb, LLC
-- Odyssey Properties III, LLC
-- Century (III) DP III, LLC
-- Odyssey (III) DP III, LLC
-- Odyssey (III) DP XI, LLC
OWENS CORNING: 6th Circuit Affirms Dismissal of ERISA Suit
----------------------------------------------------------
The U.S. Court of Appeals for the Sixth Circuit upheld a district
court ruling for the dismissal of a class action lawsuit brought
by former Owens Corning employees against the fiduciaries of the
Company's retirement plans pursuant to the Employee Retirement
Income Security Act.
The Class Action Lawsuit was commenced in September 2006 against
various members of the Investment Review Committee of Owens
Corning's predecessor company, captioned Brown v. Owens Corning
Investment Review Committee, et al., in the United Stated
District Court for the Northern District of Ohio (Western
Division). Plaintiffs Britton C. Brown; Sandra K. Brown; Carol
A. Lindhuber; Shirley J. Reed; John L. Delgado, for themselves
and other similarly situated, alleged that the fiduciaries of the
Owens Corning Retirement Plan failed to protect plan participants
by not divesting the plans of Owens Corning stock before the
shares became virtually worthless when the Company filed for
bankruptcy.
Certain of the defendants in the Lawsuit are officer or directors
of Owens Corning. Neither Owens Corning nor its predecessor
company is named in the Lawsuit but the individual defendants
would have a contingent indemnification claim against the
predecessor company.
In March 2007, the Defendants filed Motions to Dismiss the
Lawsuit in the District Court, based in part on the defense that
the claims against them were barred by ERISA's three-year statute
of limitations. The Dismissal Motions were later converted into
motions for summary judgment. Although the District Court
originally denied the Summary Judgment Motions, it reversed that
ruling in December 2008 after the Defendants filed a
Reconsideration Motion. Under the reversed ruling, the District
Court held that the Plaintiffs' claims against the fiduciaries
were time-barred because the Plaintiffs had actual knowledge of
all the relevant facts more than three years before filing their
Lawsuit. Subsequently, by June 3, 2009, the Plaintiffs filed a
Notice of Appeal of the District Court's dismissal ruling in the
Sixth Circuit.
Upon review and hearing the parties' arguments, the Appellate
Court, in a September 27, 2010 order, affirmed the District
Court's dismissal ruling.
The Appellate Court opined that by October 2000, the Plaintiffs
knew (i) that they had been harmed because their investments in
the Owens Corning stock had lost almost all value, and (ii) that
someone was acting to manage those investments. "This knowledge
was sufficient to trigger the three-year statute of limitations
period. Because the Plaintiffs did not file their first
complaint until September 2006, their claims against the OC
Defendants are time barred," the Sixth Circuit held.
The Appeal was argued and deliberated before Circuit Judges
Ronald Lee Gilman, Helene N. White, and R. Guy Cole, Jr.
A full-text copy of the 23-page Sixth Circuit Ruling is available
for free at:
http://bankrupt.com/misc/OwensCorning_6thCirRuling_092710.pdf
About Owens Corning
Headquartered in Toledo, Ohio, Owens Corning fka Owens Corning
(Reorganized) Inc. (NYSE: OC) -- http://www.owenscorning.com/--
is a producer of residential and commercial building materials and
glass fiber reinforcements, and other similar materials for
composite systems. The company has operations in 26 countries.
The Company filed for Chapter 11 protection on October 5, 2000
(Bankr. D. Del. Case. No. 00-03837). Norman L. Pernick, Esq., at
Saul Ewing LLP, represented the Debtors. Elihu Inselbuch, Esq.,
at Caplin & Drysdale, Chartered, represented the Official
Committee of Asbestos Creditors. James J. McMonagle served as the
Legal Representative for Future Claimants until June 20, 2007.
Mr. McMonagle was replaced by Michael J. Crames. Mr. Crames
served as Mr. McMonagle's counsel until July 2005, when he retired
from the law firm Kaye Scholer LLP.
On September 28, 2006, the Honorable John P. Fullam, Sr., of the
U.S. District Court for the Eastern District of Pennsylvania
affirmed the order of Honorable Judith Fitzgerald of the U.S.
Bankruptcy Court for the District of Delaware confirming Owens
Corning's Sixth Amended Plan of Reorganization. The Plan took
effect on October 31, 2006, marking the company's emergence from
Chapter 11.
Reorganized Owens sought on July 25, 2008, from the Delaware
Bankruptcy Court a final decree closing the Chapter 11 cases of 17
of its affiliates. Only the Chapter 11 case of Owens Corning
Sales, LLC, formerly known as Owens Corning, under Case No.
00-03837 will remain open.
(Owens Corning Bankruptcy News; Bankruptcy Creditors' Service
Inc.; http://bankrupt.com/newsstand/or 215/945-7000)
* * *
Reorganized Owens Corning carries a 'Ba1' corporate family rating
from Moody's.
OWENS CORNING: PI Claimants Serve Subpoena on Asbestos Trust
------------------------------------------------------------
Counsel to certain personal injury claimants, Donna L. Harris,
Esq., at Pinckney Harris & Weidinger LLC, in Wilmington,
Delaware, notified the U.S. Bankruptcy Court for the District of
Delaware that a subpoena was served upon the Owens
Corning/Fibreboard Asbestos Personal Injury Trust on October 25,
2010.
The Subpoena compels the Asbestos PI Trust to produce and permit,
no later than November 5, 2010, the inspection and copying of:
-- all invoices for the sale of Kaylo between 1955 and 1976 to
Armco generally; Armco Ashland Works in Ashland, KY; Ross
Brothers Construction Company; Ben Williamson Supply
Company; the F.D. Lawrence Electric Company; Kentucky
Electrical Supply Corporation; West Virginia Electrical
Supply Company; Ohio Valley Insulating Co; or for further
shipments to any other entity in Ashland, KY; and
-- an affidavit of the Records Custodian for the Invoices.
About Owens Corning
Headquartered in Toledo, Ohio, Owens Corning fka Owens Corning
(Reorganized) Inc. (NYSE: OC) -- http://www.owenscorning.com/--
is a producer of residential and commercial building materials and
glass fiber reinforcements, and other similar materials for
composite systems. The company has operations in 26 countries.
The Company filed for Chapter 11 protection on October 5, 2000
(Bankr. D. Del. Case. No. 00-03837). Norman L. Pernick, Esq., at
Saul Ewing LLP, represented the Debtors. Elihu Inselbuch, Esq.,
at Caplin & Drysdale, Chartered, represented the Official
Committee of Asbestos Creditors. James J. McMonagle served as the
Legal Representative for Future Claimants until June 20, 2007.
Mr. McMonagle was replaced by Michael J. Crames. Mr. Crames
served as Mr. McMonagle's counsel until July 2005, when he retired
from the law firm Kaye Scholer LLP.
On September 28, 2006, the Honorable John P. Fullam, Sr., of the
U.S. District Court for the Eastern District of Pennsylvania
affirmed the order of Honorable Judith Fitzgerald of the U.S.
Bankruptcy Court for the District of Delaware confirming Owens
Corning's Sixth Amended Plan of Reorganization. The Plan took
effect on October 31, 2006, marking the company's emergence from
Chapter 11.
Reorganized Owens sought on July 25, 2008, from the Delaware
Bankruptcy Court a final decree closing the Chapter 11 cases of 17
of its affiliates. Only the Chapter 11 case of Owens Corning
Sales, LLC, formerly known as Owens Corning, under Case No.
00-03837 will remain open.
(Owens Corning Bankruptcy News; Bankruptcy Creditors' Service
Inc.; http://bankrupt.com/newsstand/or 215/945-7000)
* * *
Reorganized Owens Corning carries a 'Ba1' corporate family rating
from Moody's.
OWENS CORNING: PI Trust Wants to Reopen Case to Pursue Lawsuit
--------------------------------------------------------------
Owens Corning/Fibreboard Asbestos Personal Injury Trust asks
Judge Judith K. Fitzgerald of the United States Bankruptcy Court
for the District of Delaware to:
(a) reopen the Chapter 11 case of Owens Corning to allow it to
prosecute a Verified Complaint for Declaratory and
Injunctive Relief or, in the alternative;
(b) permit it to prosecute the Complaint without reopening the
case.
Section 305(b) of the Bankruptcy Code provides that "[a] case may
be reopened in the court in which that case was closed to
administer assets, to accord relief to the debtor, or for other
cause." Rule 5010 of the Federal Rules of Bankruptcy Procedure
provides, inter alia, that "[a] case may be reopened on motion of
the debtor or other party in interest pursuant to Section 350(b)
of the Bankruptcy Code."
Bernard G. Conaway, Esq., at Campbell & Levine LLC, in
Wilmington, Delaware, notes that in both the order confirming the
Owens Corning's Chapter 11 Plan of Reorganization and in the Plan
itself, the Bankruptcy Court retained exclusive jurisdiction
post-confirmation to issue injunctions, enter and implement other
orders, or take other actions as may be necessary or appropriate
to restrain interference by any entity with implementation,
consummation, or enforcement of the Plan or Confirmation Order.
Mr. Conaway tells Judge Fitzgerald that over the past several
months, and in separate actions around the country, insurers and
certain asbestos defendants that have recently filed for Chapter
11 protection have launched massive and intrusive discovery
efforts against asbestos personal injury asbestos trusts,
including the OC Asbestos Trust, seeking vast amounts of
information concerning claims submissions made by claimants to
those trusts. Some of the discovery requests seek the complete
records for hundreds of thousands of claimants, demanding every
scrap of electronic information maintained by dozens of asbestos
personal injury trusts, he continues.
Not only are the discovery requests extraordinarily burdensome
and overbroad, Mr. Conaway contends, they are part of an improper
and concerted effort to use the trusts to obtain discovery that
no tort system participant would have access to, distorting the
tort system rights and obligations that the trusts were carefully
designed to leave intact as closely as possible.
Mr. Conaway elaborates that through the Complaint it plans to
commence, the OC Asbestos Trust seeks to resolve in one
jurisdiction, in one action, (1) the proper scope of discovery of
their claimant information and data that certain parties have
sought, and (2) the protections that the Trust may properly and
consistently invoke in the event of future discovery efforts.
"The [Bankruptcy] Court's continuing jurisdiction under the
provisions of the [Owens Corning] Plan and Confirmation Order
encompasses the Complaint's relief requesting that third-parties
be enjoined from attempting to force the Trust to produce massive
amounts of information regarding the Trust's claimants in
contravention of the TDP in cases in which the Trust has no role
or interest," Mr. Conaway says.
Since the Complaint addresses issues which clearly fall within
the Bankruptcy Court's retained exclusive jurisdiction under the
Confirmation Order and the Plan, the Owens Corning Chapter 11
Case should be reopened to allow for the prosecution of the
Complaint, Mr. Conway asserts.
The OC Asbestos Trust filed its Motion to Reopen on October 27,
2010.
In a separate filing, the OC Asbestos Trust asks the Court to
shorten the notice period on its Motion to Reopen so that it can
be heard on November 15, 2010.
The Complaint
Also on October 27, 2010, four Asbestos Trusts and their
corresponding Trust Advisory Committees jointly initiated an
adversary complaint in the U.S Bankruptcy Court for the District
of Delaware against certain insurance companies and certain other
entities, seeking construction and interpretation of the Plans of
Reorganization in the Chapter 11 cases of Owens Corning, Case No.
00-03837(JKF); ACandS, Inc., Case No. 02-12687(JKF); Kaiser
Aluminum Corporation, Case No. 02-10429(JKF); USG Corporation,
Case No. 01-02094(JKF); and Specialty Products Holding
Corporation, Case No. 10-11780(JKF) and the corresponding Trust
Distribution Procedures pursuant to which the Trusts operate.
The Plaintiffs are:
1. The Owens Corning/Fibreboard Asbestos Personal Injury Trust,
2. The ACandS Asbestos Settlement Trust,
3. The Kaiser Aluminum & Chemical Corporation Asbestos
Personal Injury Trust,
4. The United States Gypsum Asbestos Personal Injury Settlement
Trust,
5. Each of the trust advisory committees of the ACandS Asbestos
Trust, the Kaiser Asbestos Trust, the Owens Corning Asbestos
Trust, and the USG Asbestos Trust, and
6. Hon. Dean M. Trafelet (Ret.), the Legal Representative for
Future Claimants Against the USG Asbestos Trust.
The Insurer Defendants are:
1. Hartford Accident and Indemnity Company
2. First State Insurance Company
3. New England Insurance Company
4. National Union Fire Company of Pittsburgh, Pennsylvania
5. American Home Assurance Company
6. Garlock Sealing Technologies, LLC
7. Specialty Products Holding Corporation
8. Delaware Claims Processing Facility, LLC
9. Verus Claims Services, LLC
Mr. Conaway contends that the Delaware Bankruptcy Court presided
over the bankruptcies that resulted in the creation of each of
the Plaintiff Trusts, and reviewed and confirmed the Plans and
related documents that established and govern them. The Court,
he points out, is intimately familiar with the legal framework
within which the Trusts were created and well-versed in the
background and rationale that supports each of the provisions
included in the TDP that govern the Trusts after they began
functioning.
Attempts to obtain massive quantities of claimant information
from the Plaintiff Trusts have become increasingly frequent over
the past several months, threatening the purpose for which the
Trusts were created, contravening the provisions that control the
Trusts' functions and consuming Trust resources that should be
directed to paying claimants, Mr. Conaway reiterates.
The requests are made by, among others, other insolvent asbestos
defendants that are attempting to reorganize, creditors'
committees in asbestos bankruptcies, and insurers.
Mr. Conaway argues that the discovery requests aim to turn the
Trusts into clearing houses for information regarding the
hundreds of thousands of claimants that submit claims to the
Trusts.
In this light, the Plaintiff Trusts ask the Bankruptcy Court to
issue a preliminary and permanent injunction barring the
Defendants from seeking certain discovery from them in excess of
that permitted by the Plans and TDPs.
A full-text copy of the 25-page Complaint is available for free
at http://bankrupt.com/misc/OwnsCmplt10-29.pdf
About Owens Corning
Headquartered in Toledo, Ohio, Owens Corning fka Owens Corning
(Reorganized) Inc. (NYSE: OC) -- http://www.owenscorning.com/--
is a producer of residential and commercial building materials and
glass fiber reinforcements, and other similar materials for
composite systems. The company has operations in 26 countries.
The Company filed for Chapter 11 protection on October 5, 2000
(Bankr. D. Del. Case. No. 00-03837). Norman L. Pernick, Esq., at
Saul Ewing LLP, represented the Debtors. Elihu Inselbuch, Esq.,
at Caplin & Drysdale, Chartered, represented the Official
Committee of Asbestos Creditors. James J. McMonagle served as the
Legal Representative for Future Claimants until June 20, 2007.
Mr. McMonagle was replaced by Michael J. Crames. Mr. Crames
served as Mr. McMonagle's counsel until July 2005, when he retired
from the law firm Kaye Scholer LLP.
On September 28, 2006, the Honorable John P. Fullam, Sr., of the
U.S. District Court for the Eastern District of Pennsylvania
affirmed the order of Honorable Judith Fitzgerald of the U.S.
Bankruptcy Court for the District of Delaware confirming Owens
Corning's Sixth Amended Plan of Reorganization. The Plan took
effect on October 31, 2006, marking the company's emergence from
Chapter 11.
Reorganized Owens sought on July 25, 2008, from the Delaware
Bankruptcy Court a final decree closing the Chapter 11 cases of 17
of its affiliates. Only the Chapter 11 case of Owens Corning
Sales, LLC, formerly known as Owens Corning, under Case No.
00-03837 will remain open.
(Owens Corning Bankruptcy News; Bankruptcy Creditors' Service
Inc.; http://bankrupt.com/newsstand/or 215/945-7000)
* * *
Reorganized Owens Corning carries a 'Ba1' corporate family rating
from Moody's.
PAJAAMCO FAMILY: Confirmation Hearing Continued Until Nov. 17
-------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Texas has
continued until November 17, 2010, at 9:00 a.m., the hearing to
consider the confirmation of PAJAAMCO Family Limited Partnership's
Chapter 11 Plan.
According to the Disclosure Statement, payments and distributions
under the Plan will be funded by sales of assets and personal
infusion. The properties transferred to Inter National Bank
contain a provision that if sale of properties are sufficient to
pay Inter National Bank in full within three years, the balance of
property will be reconveyed to Debtor. In that event, the Debtor
will sell sufficient reconveyed property to pay in full any
outstanding balance of claims to all general (non-insider)
unsecured creditors. In the event Inter National Bank sales are
made in less than three years sufficient to pay Inter National
Bank in full, the Debtor will promptly sell sufficient reconveyed
property to pay general (non-insider) unsecured creditors in full.
In the event no properties are reconveyed to the Debtor, the
Debtor will continue making annual distributions of 1/5 of each
allowed unsecured claim until the claims are paid in full
unsecured claims will bear 5% interest from the effective date;
the source of the funds (if Inter National Bank properties are not
reconveyed for any reason) will be infusions from Dr. Ojeaga's
medical practice or personal assets, sufficient in amount and
timing to complete the plan distributions. The obligation to
unsecured creditors will be personally guaranteed by Dr. Ojeaga.
Under the Plan, secured claims will be paid in full:
-- The secured claim of Rio Bank was paid in full from the sale
of the Rio Bank real estate collateral.
-- The secured claim of Lone Star National Bank was (or will
be) paid in full from the sale of the Lone Star National
Bank real estate collateral.
-- The secured claims of Hidalgo County & Hidalgo Co. Drainage
Dist. No. 1, Edinburg CISD, City of Edinburg, Pharr-San
Juan-Alamo ISD, South Texas College, South Texas ISD,
Cameron County, McAllen ISD and City of McAllen have been
paid in full from the sales.
General unsecured creditors under Class 6 will be paid 100% of
their allowed claims.
Insider unsecured creditors under Class 7 will receive no
distributions on their allowed claims unless and until general
non-insider unsecured creditors in Class 6 are paid in full. At
that time, insiders are to be paid pro-rata from sales of net
assets of the estate, so far as the sales will pay the insider
unsecured claims, unless waived by any insider.
Equity Security Holders under Class 8 will retain their equity
interest in the remaining or reconveyed properties, if any, but
only after unsecured creditors in Classes 6 and 7 are paid in
full.
A full-text copy of the Disclosure Statement is available for free
at http://bankrupt.com/misc/Pajaamco_DS.pdf
About PAJAAMCO Family Limited
McAllen, Texas-based PAJAAMCO Family Limited Partnership, fdba
Pajamco Family Limited Partnership, filed for Chapter 11
bankruptcy protection on January 4, 2010 (Bankr. S.D. Texas Case
No. 10-70010). John Kurt Stephen, Esq., at Cardena Whitis and
Stephen, assists the Debtor in its restructuring effort. The
Company disclosed assets of $26,760,745, and debts of $15,664,200.
PALM BEACH: Chapter 11 Trustee's Liquidation Plan Wins Court OK
---------------------------------------------------------------
The Hon. Paul G. Hyman of the U.S. Bankruptcy Court for the
Southern District of Florida confirmed the Plan of Liquidation for
Palm Beach Finance Partners, L.P., and Palm Beach Finance II,
L.P., proposed by Barry Mukamal, as Chapter 11 trustee and and
Geoffrey Varga, as joint official liquidator of the Debtors.
As reported Troubled Company Reporter on August 4, 2010, the Plan
does not contemplate the substantive consolidation of the Debtors'
assets.
On the effective date, each of the Debtors will transfer all of
their respective assets to the beneficiaries of the liquidating
trusts who will contribute the assets to the liquidating trust.
Treatment of Claims
Classes 1A, 1B, 2A and 2B general unsecured claims of PBF, and
PBF II -- Holders will receive periodic distributions from
the PBF and PBF II liquidating trusts on account of their
allowed unsecured claim.
Class 3A -- Interests holders will receive periodic distributions
from the PBF and PBF II liquidating trusts on account of
their interests. Holders will not receive any distribution
from the liquidating trusts until holders of Classes 1 and 2
have been fully satisfied in full.
A full-text copy of the amended Disclosure Statement is available
for free at http://bankrupt.com/misc/PALMBEACH_AmendedDS.pdf
About Palm Beach Funds
Palm Beach Gardens, Florida-based Palm Beach Finance Partners,
L.P., is a hedge fund. The Company solicited capital
contributions from third-party limited partners, and proceeded to
invest substantial amounts of the capital with the Petters
Company, Inc.
The Company filed for Chapter 11 on November 30, 2009 (Bankr. S.D.
Fla. Case No. 09-36379.) The Debtor's affiliate, Palm Beach
Finance II, L.P., also filed for bankruptcy (Bankr. S.D. Fla. Case
No. 09-36396). Paul A. Avron, Esq., and Paul Steven Singerman,
Esq., assist the Debtors in their restructuring efforts. Palm
Beach Finance II estimated $500 million to $1 billion in assets
and liabilities in its petition.
The Chapter 11 trustee is represented by Michael S. Budwick, Esq.,
at Meland Russin & Budwick, P.A.
PAIN CONTROL: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Pain Control Network, P.S.C.
6400 Dutchmans Parkway, Suite 60
Louisville, KY 40205
Bankruptcy Case No.: 10-35688
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
Western District of Kentucky (Louisville)
Judge: David T. Stosberg
Debtor's Counsel: K. Gail Russell, Esq.
GOLDBERG SIMPSON, LLC
9301 Dayflower Street
Prospect, KY 40059
Tel: (502) 589-4440
Fax: (502) 581-1344
E-mail: grussell@goldbergsimpson.com
Estimated Assets: $0 to $50,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/kywb10-35688.pdf
The petition was signed by Elmer Dunbar, president.
PANTHER MOUNTAIN: E.D. Ark. Denies Lender Relief From Stay
----------------------------------------------------------
WestLaw reports that a secured creditor moving for relief from the
stay to exercise its rights both in an undeveloped 45-acre tract
and in a developed 79-acre subdivision securing its claim failed
to satisfy its burden of showing that a Chapter 11 debtor lacked
equity in 45-acre tract. Expert testimony that the creditor
presented regarding the value of this first, undeveloped tract,
using a sales comparison methodology, was undercut by the expert's
questionable assumptions, including his decision to assign 70% of
the weight to the price that the debtor paid for this same tract
of property some time earlier, which he then adjusted downward
based on three other property sales, two of which predated the
debtor's purchase, as well as by the large, admittedly subjective
adjustments that he made to these other alleged comparables and by
his failure to consider other comparables suggested by the
debtor's real estate agent. In re Panther Mountain Land
Development, LLC, --- B.R. ----, 2010 WL 4260097, slip op.
http://is.gd/gEVZT(Bankr. E.D. Ark.) (Evans, J.).
The Honorable Audrey R. Evans says that National Bank of Arkansas
failed to meet its burden of proof that there is no equity in the
subject properties and, as a result, is not entitled to relief
under 11 U.S.C. Sec. 362(d)(2). Similarly, based on the totality
of the circumstances, and more specifically, because a sufficient
equity cushion exists, the Court finds that National Bank is
adequately protected. Consequently, National Bank is not entitled
to relief under 11 U.S.C. Sec. 362(d)(1). Finally, the evidence
was insufficient for the Court to determine the value of National
Bank's secured claim. Accordingly, National Bank is not entitled
to a value determination pursuant to Rule 3012 of the Federal
Rules of Bankruptcy Procedure.
Panther Mountain Land Development, LLC, based in Maumelle, Ark.,
sought Chapter 11 protection (Bankr. E.D. Ark. Case No. 09-16836)
on Sept. 20, 2009, and is represented by Richard L. Ramsay, Esq.,
at Eichenbaum, Liles & Heister, P.A., in Little Rock, Ark. The
Debtor disclosed in its Schedules of Assets and Liabilities that
it has assets of at least $50, and liabilities of $2,307,974 as of
the Petition Date.
PATRICIA MOODY: Voluntary Chapter 11 Case Summary
-------------------------------------------------
Debtor: Patricia L. Moody
302 N. Main St.
Verona, WI 53593
Bankruptcy Case No.: 10-18065
Chapter 11 Petition Date: October 31, 2010
Court: United States Bankruptcy Court
Western District of Wisconsin (Madison)
Debtor's Counsel: Michael E. Kepler, Esq.
KEPLER & PEYTON
Suite 202, 634 West Main Street
Madison, WI 53703
Tel: (608) 257-5424
E-mail: mike@keplerpeyton.com
Estimated Assets: $100,001 to $500,000
Estimated Debts: $1,000,001 to $10,000,000
The Debtor did not file a list of its largest unsecured creditors
together with its petition.
PAXTON MEDIA: S&P Assigns 'B+' Corporate Credit Rating
------------------------------------------------------
Standard & Poor's Ratings Services assigned Paducah, Ky.-based
Paxton Media Group LLC its preliminary 'B+' corporate credit
rating. The rating outlook is stable.
At the same time, S&P assigned preliminary ratings to Paxton's
proposed $240 million senior secured credit facilities due 2016.
S&P rated the facilities 'B+' (at the same level as the 'B+'
corporate credit rating on the company) with a recovery rating of
'3', indicating S&P's expectation of meaningful (50% to 70%)
recovery for lenders in the event of a payment default. The
credit facilities consist of a $210 million term loan B due 2016,
$20 million term loan A due 2013, and a $10 million revolving
credit facility due 2015. The company will use proceeds from the
transaction to refinance its unrated credit facilities maturing in
March 2011.
"The 'B+' rating on Paxton reflects S&P's expectation of a modest
2% decline in EBITDA in 2010 and 4% in 2011 due to continued
advertising revenue declines," said Standard & Poor's credit
analyst Hal Diamond. "S&P expects the company to perform in line
with S&P's thresholds for the rating, including adjusted
leverage between 4x and 5x and EBITDA coverage of interest above
2.75x."
Paxton publishes 32 daily community newspapers located in eight
states serving smaller Southeastern and Midwestern rural markets.
The company's newspapers generally face limited direct competition
from other newspapers, as their markets can typically support only
one primary newspaper. The company is the dominant source of
local news and print advertising in their markets. Paxton has
strategically clustered its publications in seven markets, with
the largest groups in Kentucky, North Carolina, Indiana, and
Arkansas. S&P believes that its stronger position in these
smaller markets should enable the company to withstand newspaper
industry pressures from online competition better than large-
market newspapers over the intermediate term. Longer term, S&P
believes Paxton could come under increasing pressure as broadband
penetration and online local news sources increase. The company
derives a majority of its revenues from local display advertising
and the distribution of preprints. More economically sensitive
national advertising accounts for only 1% of advertising revenue.
The company also is less reliant on employment, real estate, and
automotive classified advertising, which have been adversely
affected by secular and cyclical factors. In addition, the
company has less exposure to fluctuations in newsprint prices than
large metropolitan newspapers because its papers publish fewer
pages of news coverage as community papers.
PHOENIX EAGLE: Case Summary & 6 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Phoenix Eagle Corporation
5600 Leiden Road
Baltimore, MD 21206
Bankruptcy Case No.: 10-34669
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
District of Maryland (Baltimore)
Debtor's Counsel: Stephen L. Prevas, Esq.
PREVAS AND PREVAS
American Bldg., Ste. 702
231 E. Baltimore St.
Baltimore, MD 21202
Tel: (410) 752-2340
Fax: (410) 332-0474
E-mail: prevasandprevas@verizon.net
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's six largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/mdb10-34669.pdf
The petition was signed by Milton Tillman, Jr., president.
PROFESSIONAL VETERINARY: Board Elects Vicky Winkler President/CEO
-----------------------------------------------------------------
Professional Veterinary Products, Ltd., discloses that on
October 29, 2010, the Board of Directors of the Company elected
Vicky Winkler as the President and Chief Executive Officer of the
Company. Ms. Winkler has served as Director of Accounting for the
Company since September 12, 2009, and from September 17, 2001, to
September 11, 2009, as Manager of Credit for the Company. As
President and Chief Executive Officer, Ms. Winkler will receive
$116,000.00 annually.
On October 28, 2010, Jamie Meadows resigned as Chief Operating
Officer of the Company. On October 29, 2010, Stephen J. Price
resigned as President and Chief Executive Officer of the Company.
About Professional Veterinary
Professional Veterinary Products Ltd. -- http://www.pvpl.com/--
operates a veterinary supply company owned and managed by
veterinarians.
Professional Veterinary sought Chapter 11 protection from
creditors on August 20, 2010, in Omaha, Nebraska (Bankr. D. Neb.
Case No. 10-82436). Affiliates ProConn and Exact Logistics also
filed for Chapter 11.
The Company reported $89.79 million in total assets,
$78.23 million in total liabilities, and $11.56 million in
stockholders' equity at April 30, 2010.
The Company hired McGrath North Mullin & Kratz PC LLC, as
bankruptcy counsel and Alliance Management as financial and
restructuring advisors.
QUINCY STREET: Voluntary Chapter 11 Case Summary
------------------------------------------------
Debtor: Quincy Street at the Waterfront, LLC
dba Clam Cannery Hotel
123 NW 36th St #201
Seattle, WA 98107
Bankruptcy Case No.: 10-22974
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
Western District of Washington (Seattle)
Judge: Marc Barreca
Debtor's Counsel: Leland L. Bull, Jr., Esq.
1825 NW 65th St
Seattle, WA 98117
Tel: (206) 297-4406
E-mail: leeguns@hotmail.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
The Debtor did not file a list of its largest unsecured creditors
together with its petition.
The petition was signed by Kevin T. Harris.
RAEBURN & ASSOCIATES: Case Summary & 8 Largest Unsecured Creditors
------------------------------------------------------------------
Debtor: Raeburn & Associates, Inc.
dba MGM Liquor Warehouse
c/o Sean Raeburn
5016 Georgia Lane
White Bear Lake, MN 55110
Bankruptcy Case No.: 10-37770
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
District of Minnesota (St Paul)
Judge: Gregory F. Kishel
Debtor's Counsel: Steven B. Nosek, Esq.
STEVEN NOSEK P.A.
2855 Anthony Ln S, Ste 201
St Anthony, MN 55418
Tel: (612) 335-9171
Fax: (612) 789-2109
E-mail: snosek@visi.com
Estimated Assets: $0 to $50,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's eight largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/mnb10-37770.pdf
The petition was signed by Sean Raeburn, president.
REDD WOLF: Case Summary & 20 Largest Unsecured Creditors
--------------------------------------------------------
Debtor: Redd Wolf Erosion Control, Inc.
7111 Davis Creek Road, Suite 7
Jacksonville, FL 32256
Bankruptcy Case No.: 10-09631
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Middle District of Florida (Jacksonville)
Judge: Jerry A. Funk
Debtor's Counsel: Bryan K. Mickler, Esq.
5452 Arlington Expressway
Jacksonville, FL 32211
Tel: (904) 725-0822
Fax: (904) 725-0855
E-mail: court@planlaw.com
Scheduled Assets: $256,872
Scheduled Debts: $1,066,944
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/flmb10-09631.pdf
The petition was signed by Elliott Burnside, director.
RIVIERA HOLDINGS: U.S. Trustee Objects to Plan's Releases
---------------------------------------------------------
BankruptcyData.com reports that the U.S. Trustee assigned to the
Riviera Holdings case filed with the U.S. Bankruptcy Court an
objection to the Debtors' Second Amended Plan of Reorganization.
According to the objection, "The Plan cannot be confirmed because
it improperly provides a release of, and otherwise seeks to
discharge claims or causes of action that may be brought by
creditors and equity holders against non-debtor third parties."
The Court is scheduled to consider the Plan on November 8, 2010.
About Riviera Holdings
Riviera Holdings Corporation, through its wholly-owned subsidiary,
Riviera Operating Corporation, owns and operates the Riviera Hotel
& Casino located in Las Vegas, Nevada, which consists of a hotel
comprised of five towers with 2,075 guest rooms, including 177
suites, and which has traditional Las Vegas-style gaming,
entertainment and other amenities.
In addition, Riviera Holdings, through its wholly-owned
subsidiary, Riviera Black Hawk, Inc., owns and operates the
Riviera Black Hawk Casino, a casino in Black Hawk, Colorado and
has various non-gaming amenities, including parking, buffet-styled
restaurant, delicatessen, a casino bar and a ballroom.
Riviera Holdings together with the two affiliates filed for
Chapter 11 on July 12 in Las Vegas, Nevada (Bankr. D. Nev. Case
No. 10-22910). Riviera Holdings estimated assets and debts of
$100 million to $500 million in its petition. Thomas H. Fell,
Esq., at Gordon Silver, represents the Debtors in the Chapter 11
cases. XRoads Solutions Group, LLC, is the financial and
restructuring advisor. Garden City Group Inc. is the claims and
notice agent.
ROBERT ALLEN: Case Summary & 12 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Robert Stannard Allen
2752 Solomons Island Road
Edgewater, MD 21037
Bankruptcy Case No.: 10-34635
Chapter 11 Petition Date: October 28, 2010
Court: United States Bankruptcy Court
District of Maryland (Baltimore)
Debtor's Counsel: John C. Gordon, Esq.
532 Baltimore & Annapolis Blvd.
Severna Park, MD 21146
Tel: (410) 340-0808
Fax: (410) 544-1244
E-mail: johngordononline@yahoo.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Debtor's 12 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/mdb10-34635.pdf
ROBERT JONES: Case Summary & 15 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Robert Norton Jones
98 Sea Island Lake Cottage Drive
Saint Simons Island, GA 31522
Bankruptcy Case No.: 10-21464
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Southern District of Georgia (Brunswick)
Debtor's Counsel: C. James McCallar, Jr., Esq.
MCCALLAR LAW FIRM
P.O. Box 9026
Savannah, GA 31412
Tel: (912) 234-1215
Fax: (912) 236-7549
E-mail: mccallar@mccallarlawfirm.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Debtor's 15 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/gasb10-21464.pdf
SEMINOLE TRIBE: Moody's Confirms 'Ba1' Corporate Family Rating
--------------------------------------------------------------
Moody's Investors Service confirmed The Seminole Tribe of
Florida's Ba1 Corporate Family and Probability of Default ratings.
The Tribe's Ba1 rating on the Gaming Division bonds and Ba2 rating
on the Special Obligation Bonds were also confirmed. Moody's also
assigned a Ba1 rating to the Tribe's proposed $37.4 million Series
2010A tax-exempt Gaming Division bonds due 2017 and $330 million
Series 2010B taxable Gaming Division bonds due 2017.
This rating action concludes the review process that was initiated
on June 7, 2010. The rating outlook is stable.
New ratings assigned:
-- $37.4 million tax-exempt Gaming Division Bonds due 2017 at
Ba1 (LGD 3, 38%)
-- $330 million taxable Gaming Division Bonds due 2017 at Ba1
(LGD 3, 38%)
Ratings confirmed and LGD assessments revised where applicable:
-- Corporate Family Rating at Ba1
-- Probability of Default Rating at Ba1
-- $1,006.3 billion Gaming Division term loan at Ba1 (LGD 3,
38%)
-- $280 million 6.535% Gaming Division bonds Series 2005 B at
Ba1 (LGD 3, 38%)
-- $246 million 5.798% Gaming Division bonds Series 2005 A at
Ba1 (LGD 3, 38%)
-- 5.250% $113 million Special Obligation Bonds to Ba2 (LGD 6,
90% from LGD 5, 89%)
-- 5.750% $60.2 million Special Obligation Bonds to Ba2 (LGD 6,
90% from LGD 5, 89%)
-- 5.50% $66.3 million Special Obligation Bonds to Ba2 (LGD 6,
90% from LGD 5, 89%)
-- 7.804% $219 million Special Obligation Bonds to Ba2 (LGD 6,
90% from LGD 5, 89%)
-- 8.030% $105 million Special Obligation Bonds to Ba2 (LGD 6,
90% from LGD 5, 89%)
Ratings Rationale
The confirmation of the Tribe's Ba1 Corporate Family Rating
reflects the settlement of the National Indian Gaming Commission's
Notice of Violations and the resolution of an Internal Revenue
Service audit. Additionally, the confirmation acknowledges that
the Tribe's gaming compact is no longer being challenged with
respect to its validity. The Tribe entered into a new gaming
compact with the State of Florida, which was approved by the U.S.
Department of the Interior on June 24, 2010 and published in the
Federal Register on July 6, 2010.
The Ba1 Corporate Family Rating incorporates the Tribe's dominant
market position in the Florida gaming market, the company's strong
financial profile -- debt/EBITDA is below 2.5 times -- and good
liquidity. Key concerns include the Tribe's gaming concentration
in one state, the significant dividend obligation and other risks
common to Native American issuers, and past history of corporate
governance challenges at the Tribe level. There have not been
corporate governance concerns at the Gaming Division.
On October 19, 2010, the Tribe approved and Agreed to a Civil Fine
Assessment with the National Indian Gaming Commission in which the
Tribe admitted to the violations set forth in the Notice of
Violation issued on June 3, 2010, agreed to expand its internal
audit function, and agreed to pay a $500,000 fine to be paid over
a three year period.
On October 13, 2010, the Tribe approved a Closing Agreement on
Final Determination Covering Specific Matters with the IRS in
which the Tribe acknowledged that it made payments to employees
for which no or insufficient taxes had been withheld. As part of
the settlement, the Tribe agreed to pay the federal tax
liabilities of Tribal members who received unreported payments
from the Tribe. The Tribe also agreed to report to the IRS all
payments to Tribal members.
The stable rating outlook anticipates that the Tribe's gaming
division credit metrics will remain strong and its financial
policy conservative over the long-term, despite the addition of
$387 million of debt used to fund the expansion of its casino
facilities. The stable outlook also incorporates Moody's
expectation that the Tribe will maintain its dominant market
position and competitive advantage in Florida.
Ratings could be downgraded if corporate governance and internal
control issues resurface that put the Tribe's gaming operations at
risk. Ratings could also be lowered if debt/EBITDA rises above
3.5 times for an extended period of time. Although longer-term
ratings improvement is possible, any upgrade would also require
that the Tribe demonstrate a significant and sustainable
improvement in its corporate governance and internal control
practices. A ratings upgrade would also require that operating
performance remains strong and that leverage and coverage metrics
remain at current levels.
The Seminole Tribe of Florida is a federally recognized Indian
tribe that owns and operates seven gaming and resort facilities
throughout southern and central Florida. The Tribe also owns
Seminole Hard Rock Entertainment, Inc. (B2/negative) which owns
and operates Hard Rock cafes located throughout North America,
Europe, Asia, Australia and the Caribbean. The Tribe does not
publicly disclose financial information.
SI ORGANIZATION: Moody's Assigns 'B2' Corporate Family Rating
-------------------------------------------------------------
Moody's Investors Service assigned initial B2 Corporate Family and
Probability of Default ratings to The SI Organization, Inc., and
Ba3 ratings to the company's secured bank obligations. The bank
credit facilities are part of the financing for the announced
$815 million leveraged acquisition of The SI Organization, Inc.
(formerly The Enterprise Integration Group) by affiliates of
Veritas Capital from Lockheed Martin Corporation. The rating
outlook is stable.
The SI provides systems engineering and integration as well as
related modeling, simulation analysis and risk mitigation services
to multiple US Government intelligence agencies. By selling its
advisory services unit, Lockheed Martin will strategically address
organizational conflict of interest requirements created in the
Weapon Systems Acquisition Reform Act of 2009. The SI's last-
twelve-months revenues through June were roughly $626 million.
Ratings assigned:
-- Corporate Family, B2
-- Probability of Default, B2
-- $40 million secured revolving credit facility, Ba3 (LGD-2,
29%)
-- $300 million secured term loan, Ba3 (LGD-2, 29%)
Ratings Rationale
The B2 Corporate Family and Probability of Default ratings
recognize The SI's established business position as a prime
contractor in a niche providing complex SE&I and related services
to a compact set of US intelligence agencies. It further
incorporates a modest revenue base, consistent operating margins
earned predominantly on cost-plus contracts and low capital
expenditure requirements. These characteristics are expected to
sustain free cash flow generation. However, the rating also
emphasizes a highly leveraged capital structure.
The SI's revenues have been relatively flat for the last few years
but are seen as having favorable prospects going forward. Revenue
drivers include organic growth in federal government expenditures
on intelligence and cyber security and being freed from OCI issues
resident while part of Lockheed Martin which historically could
have constrained it bidding on or being awarded other business.
The company's tenure and success in retaining program awards helps
mitigate concerns over a limited set of customers and contracts.
With its record of contract retention, award fee achievement,
below average attrition rates among critical employees and
consistent margins, The SI's operational profile should continue.
The technical expertise, classified nature of work performed, and
low attrition rate of experienced employees offer advantages to
incumbent providers. Nonetheless, The SI's balance sheet will
involve substantial indebtedness which will elevate its level of
fixed charges. With relatively consistent revenues and margins as
well as a structure that should minimize near term tax payments,
the company should generate steady levels of free cash flow,
enabling it to service its debt burden.
The SI's capital structure will consist of $475 million of funded
debt and $370 million of common equity. Despite the significant
equity contribution, Moody's would gauge The SI's initial adjusted
debt/EBITDA to be around 7 times. The rating agency considers the
company's EBITA margins as sustainable with EBITA/adjusted
interest expense expected to be around 1.5 times.
The stable outlook reflects The SI's established contract and
client base which are unlikely to come under near-term pressure,
ongoing operating profitability, favorable growth prospects and an
adequate liquidity profile.
Factors that could lead to a positive outlook or stronger ratings
include demonstrating an ability to expand its top line while
sustaining current margins and free cash flow characteristics,
lowering its debt/EBITDA below 6 times and lifting its
EBITA/interest coverage above 2 times. Developments that could
establish negative pressure on the ratings include escalating
attrition rates in its experienced professional ranks, losing
significant revenues in re-competes, declining margins, incurring
negative free cash flow or an elevation of its debt/EBITDA towards
8 times.
The Ba3 rating on the secured debt, two notches above the
Corporate Family rating, flows from its priority of claim over
$175 million of subordinated debt (not rated) and other junior
obligations in the liability waterfall.
The SI Organization, Inc., headquartered in Valley Forge, PA,
provides advanced systems engineering and technical services to
U.S. Government intelligence agencies.
SI ORGANIZATION: S&P Assigns 'B' Corporate Credit Rating
--------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its
preliminary 'B' corporate credit rating to Valley Forge, Pa.-based
The SI Organization Inc. The outlook is stable.
S&P also assigned its preliminary 'B+' issue-level rating and
preliminary '2' recovery rating to the company's proposed
$340 million first-lien senior secured credit facility (consisting
of a $40 million revolver and a $300 million term loan B). The
'2' recovery rating indicates S&P's expectation for substantial
(70%-90%) recovery in the event of a payment default.
Veritas Capital, a private-equity firm, will use proceeds from the
proposed senior secured debt along with $175 million of senior
subordinated notes and $370 million of new common equity, to fund
the purchase of The SI Org from Lockheed Martin Corp. (A-
/Stable/A-2).
"The ratings on The SI Org reflect S&P's view that the company's
highly leveraged financial profile will show limited improvement
over the next two years in the increasingly competitive government
contracting industry," said Standard & Poor's credit analyst
Alfred Bonfantini. However, the company does benefit from long-
term contracts and a solid backlog with key elements of the U.S.
government intelligence community, which provides for revenue
predictability and stability, and despite its limited scale, it
also has higher EBITDA margins than its direct industry
competitors.
The SI Org is a government contractor that has historically
focused on providing systems integration and systems engineering &
technical assistance services exclusively to federal agencies in
the U.S. intelligence community. Formerly a division of Lockheed
Martin, the company is being divested so as to comply with
restrictions on defense contractors that prevent them from both
advising the government on systems design and engineering and
simultaneously bidding for contracts to build the same systems.
STANFORD REGENCY: U.S. Trustee Wants Case Converted to Chapter 7
----------------------------------------------------------------
Peter C. Anderson, the U.S. Trustee for Region 16, asks the U.S.
Bankruptcy Court for the Central District of California to
dismiss, or in the alternative, convert Stanford Regency Plaza
LLC's Chapter 11 case to one under Chapter 7 of the Bankruptcy
Code.
The U.S. Trustee explains that the Debtor failed to comply with
the requirements of the U.S. Trustee by failing to file, among
other things:
-- proofs of required certificates or applicable licenses;
-- a projected cash flow statement for the first 90 ninety days
of operations; and
-- a physical inventory as of the date of Petition Date.
East West Bank, the Debtor's principal secured creditor, suggests
that the Court dismiss the Debtor's case because the Debtor has no
assets.
About Stanford Regency Plaza LLC
Los Angeles, California-based Stanford Regency Plaza LLC filed for
Chapter 11 bankruptcy protection on August 24, 2010 (Bankr. C.D.
Calif. Case No. 10-45729). Michael Jay Berger, Esq., in Beverly
Hills, California, assists the Debtor in its restructuring effort.
The Debtor estimated its assets and debts at $10 million to
$50 million as of the petition date.
STEPHEN BERNSTEIN: Case Summary & 20 Largest Unsecured Creditors
----------------------------------------------------------------
Joint Debtors: Stephen Bernstein
Diana Bernstein
216 Londonberry Road
Atlanta, GA 30327
Bankruptcy Case No.: 10-93029
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Northern District of Georgia (Atlanta)
Debtors' Counsel: M. Denise Dotson
M. DENISE DOTSON, LLC
170 Mitchell Street
Atlanta, GA 30303
Tel: (404) 526-8869
Fax: (404) 526-8855
E-mail: ddotsonlaw@me.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Joint Debtors' 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ganb10-93029.pdf
STEPHEN KASINETZ: Case Summary & 6 Largest Unsecured Creditors
--------------------------------------------------------------
Debtor: Stephen Robert Kasinetz
1134 Rosedale Drive
Atlanta, GA 30306
Bankruptcy Case No.: 10-92968
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Northern District of Georgia (Atlanta)
Debtor's Counsel: Dorna Jenkins Taylor, Esq.
TAYLOR & ASSOCIATES, LLC
1401 Peachtree Street, Suite 500
Atlanta, GA 30309
Tel: (404) 870-3560
Fax: (404) 745-0136
E-mail: dorna.taylor@taylorattorneys.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Debtor's six largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/ganb10-92968.pdf
STEPHEN TAYLOR: Case Summary & 10 Largest Unsecured Creditors
-------------------------------------------------------------
Joint Debtors: Stephen W. Taylor
Dana L. Minor
548 Lucinda Lane
Mechanicsburg, PA 17055
Bankruptcy Case No.: 10-08893
Chapter 11 Petition Date: October 29, 2010
Court: U.S. Bankruptcy Court
Middle District of Pennsylvania (Harrisburg)
Judge: Mary D. France
Debtors' Counsel: Craig A. Diehl, Esq.
3464 Trindle Road
Camp Hill, PA 17011-4436
Tel: (717) 763-7613
Fax: (717) 763-8293
E-mail: cdiehl@cadiehllaw.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Joint Debtors' 10 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/pamb10-08893.pdf
SYLVIA LEE: Case Summary & 8 Largest Unsecured Creditors
--------------------------------------------------------
Debtor: Sylvia Lee
aka Sylvia Sofee Lee
362 11th Avenue
San Francisco, CA 94118
Bankruptcy Case No.: 10-34371
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Northern District of California (San Francisco)
Judge: Dennis Montali
Debtor's Counsel: Scott J. Sagaria, Esq.
LAW OFFICES OF SCOTT J. SAGARIA
333 W. San Carlos Street, #1700
San Jose, CA 95110
Tel: (408) 279-2288
E-mail: sjsagaria@sagarialaw.com
Estimated Assets: $0 to $50,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Debtor's eight largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/canb10-34371.pdf
TERRESTAR NETWORKS: Court to Conduct Initial Case Conf. on Nov. 16
------------------------------------------------------------------
Judge Sean H. Lane of the U.S. Bankruptcy Court for the Southern
District of New York will conduct an initial case management
conference on November 16, 2010, at 10:00 a.m., in Room 701,
United States Bankruptcy Court, One Bowling Green, in New York,
New York 1004, to consider the efficient administration of the
Chapter 11 cases of TerreStar Networks Inc. and its debtor
affiliates.
Topics to be taken up at the initial case conference may include,
inter alia, retention of professionals, creation of a committee
to review budget and fee requests, use of alternative dispute
resolution, timetables, and scheduling of additional case
management conferences.
The Debtors are directed to give notice of the Initial Case
Conference Order at least 7 days before the scheduled conference
to:
-- the Office of the U.S. Trustee for the Southern District of
New York;
-- any statutory committee appointed in these Chapter 11
cases;
-- The Bank of New York Mellon as agent for the Debtors'
proposed postpetition debtor-in-possession financing;
-- Emmet, Marvin & Martin, LLP, as counsel to the agent for the
Debtors' proposed postpetition debtor-in-possession
financing;
-- U.S. Bank National Association as Collateral Agent for the
Debtors' purchase money credit facility and Harbinger
Capital Partners Master Fund I, Ltd., Harbinger Capital
Partners Special Situations Fund, L.P., and EchoStar
Corporation as Lenders thereunder;
-- Weil, Gotshal & Manges LLP, as counsel to Harbinger Capital
Partners Master Fund I, Ltd., and Harbinger Capital Partners
Special Situations Fund, L.P., in their capacity as Lenders
under the Debtors' purchase money credit facility;
-- Willkie Farr & Gallagher LLP as counsel to EchoStar
Corporation in its capacity as Lender under the Debtors'
purchase money credit facility and Initial Lender under the
Debtors' postpetition debtor-in-possession financing;
-- U.S. Bank National Association as Indenture Trustee for the
Debtors' 15% Senior Secured Notes;
-- U.S. Bank National Association as Indenture Trustee for the
The Bank of New York Mellon as agent for the Debtors' 6.5%
Senior Exchangeable Notes;
-- Quinn Emmanuel Urquhart & Sullivan, LLP, as counsel to an
Ad Hoc group of the Debtors' 6.5% Senior Exchangeable
Notes;
-- the Internal Revenue Service;
-- the Securities and Exchange Commission;
-- the United States Attorney for the Southern District of New
York; and
-- the Federal Communications Commission.
About TerreStar Networks
Reston, Va.-based TerreStar Corporation (NASDAQ: TSTR)
-- http://www.terrestar.com/-- is in the mobile communications
business through its ownership of TerreStar Networks, its
principal operating subsidiary, and TerreStar Global.
TerreStar Networks, in cooperation with its Canadian partners,
TerreStar Canada and TerreStar Solutions, majority-owned
subsidiaries of Trio 1 and 2 General Partnerships, plans to launch
an innovative wireless communications system to provide mobile
coverage throughout the United States and Canada using integrated
satellite-terrestrial smartphones and other devices. This system
build out will be based on an integrated satellite and ground-
based technology intended to provide communication service in most
hard-to-reach areas and will provide a nationwide interoperable,
survivable and critical communications infrastructure. The
Company intends to provide multiple communications applications,
including voice, data and video services.
As of June 30, 2010, the Company had four wholly owned
subsidiaries, MVH Holdings Inc., Motient Holdings Inc., TerreStar
Holdings Inc., and TerreStar New York Inc. Motient Ventures
Holding Inc., a wholly owned subsidiary of MVH Holdings Inc.,
directly holds approximately 89.3% and 86.5% interest in TerreStar
Networks and TerreStar Global, respectively.
TerreStar Networks Inc. and Its affiliates filed voluntary
petitions for relief under Chapter 11 of the United States
Bankruptcy Code in Manhattan (Bankr. S.D.N.Y. Lead Case No.
10-15446).
The Debtors' parent, TerreStar Corporation (NASDAQ: TSTR), is not
among the Chapter 11 filers.
The Garden City Group, Inc. will act as claims and noticing agent
in the chapter 11 cases. Michel Wunder, Esq., Ryan Jacobs, Esq.,
and Jarvis Hetu, Esq. at Fraser Milner Casgrain LLP and Ira
Dizengoff, Esq. , Arik Preis, Esq., and Ashleigh Blaylock, Esq.,
at Akin Gump Strauss Hauer & Feld LLP , serve as bankruptcy
counsel to the Debtors. Blackstone Advisory Partners LP is the
financial advisor.
Bankruptcy Creditors' Service, Inc., publishes TerreStar
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by TerreStar Networks Inc. and its affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
TERRESTAR NETWORKS: EB to Book EUR8.3MM Provision on Receivable
---------------------------------------------------------------
EB (Elektrobit Corporation) has resolved to book a statutory
provision amounting to EUR8.3 million related to receivables owed
to its subsidiary Elektrobit Inc. by its customer, TerreStar
Networks Inc., that has filed for reorganization. EB informed on
October 20, 2010, that TerreStar Networks has filed voluntary
petitions for reorganization under Chapter 11 of the U.S.
Bankruptcy Code.
According to advance information in EB's press release dated
October 25, 2010, EB's net sales during January to September
2010 increased by 5.5% to EUR119.9 million (EUR113.7 million
in January-September 2009). Operating loss was EUR9.7 million
(EUR-1.9 million in January-September 2009)1. Net sales
during July to September 2010 amounted to EUR33.7 million
(EUR33.5 million, 3Q 2009), representing an increase of 0.6% year-
on-year. Operating loss during July to September 2010 was
EUR11.5 million (EUR-0.8milion, 3Q 2009). The Booked Statutory
Provision is included in the mentioned operating loss figures.
TerreStar Networks' court filings with the U.S. Bankruptcy Court
for the Southern District of New York contain only limited
information on how EB's receivables will be treated.
Furthermore, TerreStar Networks' court filings do not contain a
plan of reorganization, which EB anticipates will be presented
for the approval of creditors and the Court later in the
bankruptcy case. After subsequent discussions on the matter, EB
has resolved to make the statutory provision due to uncertainty
as to how the receivables will be treated in the reorganization.
Also, due to its customer's reorganization process, EB has
lowered its TerreStar Networks related net sales estimates for
the last quarter of 2010. More exact implications for the
parties' future business relations cannot be currently evaluated.
Considering the current estimated implications of TerreStar
Networks' filing for reorganization on EB's profit and financial
position in the third quarter of 2010, as well as on the outlook
for the parties' business relations during the last quarter, EB
expects that net sales for the second half of 2010 will be higher
than in the second half of 2009 (EUR73.6 million) and operating
profit for the second half of 2010, without the statutory
provision of EUR8.3 million, will be clear lower than the
operating profit for the second half of 2009 (0.0 million). The
weakening operating profit level is mainly due to lowered
TerreStar Networks related net sales estimates, EB explains in
its press statement. It is possible that, based on later
information related to TerreStar Networks' reorganization,
this outlook may need to be reconsidered.
Earlier, EB had expected that the net sales for the second
half of 2010 would be higher than in the second half of 2009
(EUR73.6 million) and that the operating profit for the second
half of 2010 would be at the level of or better than the
operating profit for the second half of 2009 (EUR 0.0 million).
Due to the holiday period and the nature of R&D services business,
the third quarter of 2010 was estimated to be weaker than the
fourth quarter of 2010.
Based on EB's current understanding, there is no reason to
believe that it would not be able to collect in due course at
least a portion of TerreStar Networks' receivables that exceed
the amount of the Statutory Provision. However, EB notes that it
is possible that its view may need to be reconsidered and at
worst, TerreStar Networks' reorganization process and challenges
in obtaining funding may result in significant credit losses for
EB or even termination of the business relation should TerreStar
Networks, in an exercise of its business judgment and with Court
approval, determine that it will not comply with its contractual
obligations towards EB.
Despite the above mentioned statutory provision, EB aims to
collect the amounts owed to it by TerreStar Networks in full.
At the moment, EB's receivables from TerreStar Networks amount to
approximately US$25.9 million, out of which US$24.2 million are
outstanding.
EB develops advanced technology and transforms it into enriching
end user experiences. EB specializes in demanding embedded
software and hardware solutions for the automotive industry and
wireless technologies. The company's net sales for the year 2009
totaled EUR153.8 million. Elektrobit Corporation is listed on
the NASDAQ OMX Helsinki.
EB released its January-September 2010 Interim Report on Oct. 28,
2010, a copy of which is available for free at:
http://ResearchArchives.com/t/s?6d46
About TerreStar Networks
Reston, Va.-based TerreStar Corporation (NASDAQ: TSTR)
-- http://www.terrestar.com/-- is in the mobile communications
business through its ownership of TerreStar Networks, its
principal operating subsidiary, and TerreStar Global.
TerreStar Networks, in cooperation with its Canadian partners,
TerreStar Canada and TerreStar Solutions, majority-owned
subsidiaries of Trio 1 and 2 General Partnerships, plans to launch
an innovative wireless communications system to provide mobile
coverage throughout the United States and Canada using integrated
satellite-terrestrial smartphones and other devices. This system
build out will be based on an integrated satellite and ground-
based technology intended to provide communication service in most
hard-to-reach areas and will provide a nationwide interoperable,
survivable and critical communications infrastructure. The
Company intends to provide multiple communications applications,
including voice, data and video services.
As of June 30, 2010, the Company had four wholly owned
subsidiaries, MVH Holdings Inc., Motient Holdings Inc., TerreStar
Holdings Inc., and TerreStar New York Inc. Motient Ventures
Holding Inc., a wholly owned subsidiary of MVH Holdings Inc.,
directly holds approximately 89.3% and 86.5% interest in TerreStar
Networks and TerreStar Global, respectively.
TerreStar Networks Inc. and Its affiliates filed voluntary
petitions for relief under Chapter 11 of the United States
Bankruptcy Code in Manhattan (Bankr. S.D.N.Y. Lead Case No.
10-15446).
The Debtors' parent, TerreStar Corporation (NASDAQ: TSTR), is not
among the Chapter 11 filers.
The Garden City Group, Inc. will act as claims and noticing agent
in the chapter 11 cases. Michel Wunder, Esq., Ryan Jacobs, Esq.,
and Jarvis Hetu, Esq. at Fraser Milner Casgrain LLP and Ira
Dizengoff, Esq. , Arik Preis, Esq., and Ashleigh Blaylock, Esq.,
at Akin Gump Strauss Hauer & Feld LLP , serve as bankruptcy
counsel to the Debtors. Blackstone Advisory Partners LP is the
financial advisor.
Bankruptcy Creditors' Service, Inc., publishes TerreStar
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by TerreStar Networks Inc. and its affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
TERRESTAR NETWORKS: Preferreds Want 7 Affiliates' Cases Dismissed
-----------------------------------------------------------------
Series B Cumulative Convertible Preferred Stockholders of
TerreStar Corporation ask the U.S. Bankruptcy Court for the
Southern District of New York to dismiss the Chapter 11 cases of
Debtors Motient Holdings, Inc.; MVH Holdings, Inc.; TerreStar New
York, Inc.; Motient Communications, Inc.; Motient Services, Inc.;
Motient Ventures Holding, Inc.; and Motient License, Inc.
The affiliated managed funds of Solus Alternative Asset
Management LP and Millennium International Management LP are
owners of Series B Cumulative Convertible Preferred Stock of non-
debtor TerreStar Corp.
Section 1112(b) of the Bankruptcy Code provides, in relevant
part, that on request of a party-in-interest, and after notice
and a hearing, absent unusual circumstances specifically
identified by the court that establish that the requested
conversion or dismissal is not in the best interests of the
creditors and the estate, the court will convert a case under
Chapter 11 to a case under Chapter 7 or dismiss the case if the
movant establishes cause. Section 1112(b)(4) enumerates a non-
exclusive list of items that constitute "cause," including, inter
alia, substantial or continuing loss to or diminution of the
estate, absence of a reasonable likelihood of rehabilitation,
gross mismanagement of the estate, failure to timely provide
information or attend meetings, and failure to timely file a
disclosure statement, or file or confirm a plan of
reorganization.
According to Susheel Kirpalani, Esq., at Quinn Emanuel Urquhart &
Sullivan LLP, in New York, dismissal of the Chapter 11 cases of
the 7 Debtors is needed to prevent the misappropriation by
EchoStar Corporation of those Debtors and their assets from their
rightful owners -- the shareholders of TerreStar Corp.
EchoStar is the Debtors' largest secured creditor. EchoStar
holds 26.9% of TerreStar Corp.'s voting stock, including notes
exchangeable into common stock, according to the company's 10-K/A
for the year ended Dec. 31, 2009. EchoStar is reported to have
shared voting and dispositive power over 39,180,172 shares.
EchoStar is also the sole holder of Series C preferred stock,
which gives it certain consent rights relating to certain
fundamental corporate actions, including (i) certain sales of
assets, (ii) making any material change in TerreStar Corp.'s line
of business, (iii) amending or permitting the amendment of
TerreStar Corp.'s certificate of incorporation, by-laws, or other
of TerreStar Corp.'s organizational documents or those of any of
its subsidiaries, certain acquisitions of assets, certain capital
expenditures, consolidations and mergers, and (iv) rights to
appoint directors.
"In a nutshell, this Court is being asked to approve the looting
by EchoStar, which controls the Debtors, of assets to which it
has no legal claim," Mr. Kirpalani says.
There is no proof showing that the 7 Debtor Entities are in need
of Chapter 11 protection, Mr. Kirpalani argues. He further
contends that the Debtors cannot identify either an intent to
reorganize the singled out 7 Debtor Entities or a reasonable
probability that they eventually will emerge from Chapter 11.
The 7 Debtor Entities, which guaranteed TerreStar Networks Inc's
DIP Agreement with EchoStar, will not borrow any funds under that
facility because they have no need for DIP Facility funds, Mr.
Kirpalani points out. Inclusion of the 7 Debtor Entities in the
Restructuring Support Agreement serves no useful purpose in
support of the Debtors' reorganization, he adds.
Mr. Kirpalani further notes that under the Restructuring Support
Agreement, the 7 Debtor Entities will be "retired" after their
boards are replaced with TSN directors and after their assets
have been siphoned to EchoStar and other secured creditors of TSN
under a Chapter 11 plan of reorganization -- for no consideration.
Mr. Kirpalani emphasizes that the Chapter 11 cases of the 7
Debtor Entities should be dismissed for two independent reasons:
1. The bankruptcy petitions of the 7 Debtor Entities were not
filed in good faith or in furtherance of a rehabilitative
purpose because they are neither in need of rehabilitation
nor would they benefit from a reorganization, but were
incorporated into TSN's bankruptcy merely in order to
provide EchoStar with additional value; and
2. The directors of TerreStar Corp. and 7 Debtor Entities owe
independent fiduciary duties to their estates and
stakeholders. The appropriate discharge of those fiduciary
duties, however, is not dictating the directors' actions in
these Chapter 11 cases. Instead, those entities and their
directors are beholden to EchoStar and the Debtors at the
expense of the stakeholders of TerreStar Corp. and the 7
Debtor Entities.
In fact, the directors have agreed to the terms of the EchoStar
Restructuring Support Agreement, which effectively hands control
over to EchoStar and denies the 7 Debtor Entities' existing
equity holders any distributions on account of their interests,
Mr. Kirpalani points out.
"It is improper for the fate -- let alone the value -- of the
[7 Debtor Entities] to be siphoned from its stakeholders to
EchoStar and other TSN creditors, who have no valid claim to
these entities or their assets," Mr. Kirpalani argues.
"The 7 Debtor Entities do not belong in bankruptcy, whether
pursuant to Chapter 7 or Chapter 11 of the U.S. Bankruptcy Code,"
Mr. Kirpalani maintains. There is no need for liquidation, nor
would their creditors, to the extent there are any, benefit from
liquidation, he says. Rather, dismissal of the 7 Debtor
Entities' cases is in the best interests of their creditors and
estates, the Series B Stockholders assert.
In a separate filing, the Series B Stockholders ask Judge Lane to
(1) shorten the time for notice of the hearing to consider their
Case Dismissal Motion so that a hearing can be held on November
16, 2010, concurrent with the Debtors' omnibus hearing to
consider certain motions, including the DIP Financing Motion and
the RSA Assumption Motion, and (2) set 5:00 p.m., November 11, as
the deadline for the submission of any objections to the Case
Dismissal Motion.
About TerreStar Networks
Reston, Va.-based TerreStar Corporation (NASDAQ: TSTR)
-- http://www.terrestar.com/-- is in the mobile communications
business through its ownership of TerreStar Networks, its
principal operating subsidiary, and TerreStar Global.
TerreStar Networks, in cooperation with its Canadian partners,
TerreStar Canada and TerreStar Solutions, majority-owned
subsidiaries of Trio 1 and 2 General Partnerships, plans to launch
an innovative wireless communications system to provide mobile
coverage throughout the United States and Canada using integrated
satellite-terrestrial smartphones and other devices. This system
build out will be based on an integrated satellite and ground-
based technology intended to provide communication service in most
hard-to-reach areas and will provide a nationwide interoperable,
survivable and critical communications infrastructure. The
Company intends to provide multiple communications applications,
including voice, data and video services.
As of June 30, 2010, the Company had four wholly owned
subsidiaries, MVH Holdings Inc., Motient Holdings Inc., TerreStar
Holdings Inc., and TerreStar New York Inc. Motient Ventures
Holding Inc., a wholly owned subsidiary of MVH Holdings Inc.,
directly holds approximately 89.3% and 86.5% interest in TerreStar
Networks and TerreStar Global, respectively.
TerreStar Networks Inc. and Its affiliates filed voluntary
petitions for relief under Chapter 11 of the United States
Bankruptcy Code in Manhattan (Bankr. S.D.N.Y. Lead Case No.
10-15446).
The Debtors' parent, TerreStar Corporation (NASDAQ: TSTR), is not
among the Chapter 11 filers.
The Garden City Group, Inc. will act as claims and noticing agent
in the chapter 11 cases. Michel Wunder, Esq., Ryan Jacobs, Esq.,
and Jarvis Hetu, Esq. at Fraser Milner Casgrain LLP and Ira
Dizengoff, Esq. , Arik Preis, Esq., and Ashleigh Blaylock, Esq.,
at Akin Gump Strauss Hauer & Feld LLP , serve as bankruptcy
counsel to the Debtors. Blackstone Advisory Partners LP is the
financial advisor.
Bankruptcy Creditors' Service, Inc., publishes TerreStar
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by TerreStar Networks Inc. and its affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
THYME LEWIS: Case Summary & 7 Largest Unsecured Creditors
---------------------------------------------------------
Debtor: Thyme Lewis
15 Catamaran Street, Apartment 3
Marina Del Rey, CA 90292-5778
Bankruptcy Case No.: 10-57170
Chapter 11 Petition Date: November 2, 2010
Court: U.S. Bankruptcy Court
Central District of California (Los Angeles)
Judge: Vincent P. Zurzolo
Debtor's Counsel: Giovanni Orantes, Esq.
ORANTES LAW FIRM, P.C.
3435 Wilshire Boulevard, Suite 1980
Los Angeles, CA 90010
Tel: (888) 619-8222
Fax: (877) 789-5776
E-mail: go@gobklaw.com
Scheduled Assets: $745,064
Scheduled Debts: $1,482,783
A list of the Debtor's seven largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/cacb10-57170.pdf
TRACY BROADCASTING: Bank Has No Lien on FCC Licence Fee Proceeds
----------------------------------------------------------------
WestLaw reports that even if it is possible for a debtor to grant
a security interest in its right to receive proceeds upon an
Federal Communications Commission-approved sale of its broadcast
license, a bank's security interest in the "general intangibles"
and proceeds thereof of the Chapter 11 debtor, the operator of an
FM radio station, did not extend to the "proceeds" received by the
trustee upon a future transfer of the debtor's interest in its
broadcast license, where the debtor's right to receive value for a
transfer of its license did not exist prepetition. Because, on
the petition date, the debtor neither had an agreement to transfer
the license nor had received FCC approval for any such transfer,
any "right" of the debtor to receive value for the license was too
remote to constitute "property of the debtor acquired before the
commencement of the case" within the meaning of 11 U.S.C.A. Sec.
552(b). Therefore, Sec. 552(a) of the Bankruptcy Code prohibited
the bank's security interest from encumbering any value that the
estate might receive from any future transfer of the license, the
Colorado bankruptcy court concluded. In re Tracy Broadcasting
Corp., --- B.R. ----, 2010 WL 4226537 (Bankr. D. Colo.).
Tracy Broadcasting Corporation, based in Brighton, Colo., sought
Chapter 11 protection (Bankr. D. Colo. Case No. 09-27059) on
Aug. 19, 2009, and is represented by Cynthia T. Kennedy, Esq., at
Kennedy Law Firm in Lafayette, Colo. At the time of the filing,
the Debtor estimated its assets and debts at less than
$10 million.
TRIDIMENSION ENERGY: Sanchez Sale Hearing Set for Nov. 17
---------------------------------------------------------
As reported in the Troubled Company Reporter on Oct. 22, 2010,
TriDimension Energy, L.P. has entered into an agreement with an
affiliate of Sanchez Resources, LLC pursuant to which Sanchez will
purchase substantially all of the oil and gas assets of
TriDimension Energy and its subsidiaries for @28 million in cash.
Objections, if any, to the sale transaction, must be filed and
served by 4:00 p.m., prevailing Central Time, on Nov. 12, 2010.
The Bankruptcy Court is scheduled to approve the Sale Transaction
at a hearing at 1:30 p.m., prevailing Central Time, on Nov. 17,
2010.
Detailed information about the Sale Transaction is available
from the court-appointed Claims Agent at:
http://www.bmcgroup.com/tridimension
About TriDimension Energy
TriDimension Energy, L.P., and its operating subsidiaries, TDE
Property Holdings, LP, Axis E&P, LP, Axis Onshore, LP, Axis
Marketing, LP, and Ram Drilling, LP, are engaged in the
acquisition, development, exploration, production, and sale of oil
and natural gas in Louisiana and Mississippi. The Company leases
approximately 165,218 gross acres of oil and gas property, and
have proven reserves of approximately 5.1 million barrels of oil
based on fourth quarter 2009 data. Tridimension Energy disclosed
$37,211,921 in assets and $45,389,239 in liabilities.
TriDimension Energy, L.P. and seven of its affiliated companies
filed for Chapter 11 on May 21, 2010 (Bankr. N.D. Tex. Case No.
10-33565). The Company has retained Vinson & Elkins LLP as their
lead bankruptcy counsel, Ottinger Hebert, L.L.C. as their special
counsel, FTI Consulting, Inc. as their financial advisors, and
Stephens Inc. as their investment bankers.
TRITT CONSTRUCTION: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------------
Debtor: Tritt Construction Co.
329 Margie Drive
Warner Robins, GA 31088
Bankruptcy Case No.: 10-53686
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Middle District of Georgia (Macon)
Debtor's Counsel: Wesley J. Boyer, Esq.
KATZ, FLATAU, POPSON AND BOYER, LLP
355 Cotton Avenue
Macon, GA 31201
Tel: (478) 742-6481
E-mail: wjboyer_2000@yahoo.com
Estimated Assets: $1,000,001 to $10,000,000
Estimated Debts: $1,000,001 to $10,000,000
A list of the Company's 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/gamb10-53686.pdf
The petition was signed by William R. Tritt, Sr., owner.
TRONOX INC: Reaches Settlement With Equity Committee
----------------------------------------------------
Tronox Incorporated has reached a settlement with the official
committee of equity security holders that secures support by the
Equity Committee for Tronox's First Amended Joint Plan of
Reorganization and eliminates the Equity Committee's planned
objections to confirmation of the Plan. The settlement was
reached following mediation among the parties, with the Honorable
Robert D. Drain, United States Bankruptcy Judge, Southern District
of New York, serving as mediator. In addition to Tronox and the
Equity Committee, the United States of America, the official
committee of unsecured creditors and the ad hoc committee of
holders of Tronox's prepetition unsecured notes participated in
the mediation and support the settlement that was reached as a
result thereof.
Under the current Plan, shareholders of Tronox Incorporated would
have received two-year warrants convertible into 5% of the common
equity in reorganized Tronox at a strike price indicative of a
$1.5 billion enterprise value for reorganized Tronox, but only if
the class of shareholders of Tronox Incorporated voted to accept
the Plan. As a result of the settlement, existing shareholders of
Tronox Incorporated will receive an improved package of warrants,
consisting of two tranches of warrants, each exercisable for seven
years, on the following terms:
Tranche A warrants convertible into 3.5% of the common equity in
reorganized Tronox Incorporated issued on the Effective Date, at a
strike price based on a $1.4 billion total enterprise value for
reorganized Tronox; and
Tranche B warrants convertible into 4.0% of the common equity in
reorganized Tronox Incorporated issued on the Effective Date, at a
strike price based on a $1.5 billion total enterprise value for
reorganized Tronox.
The Tranche A and Tranche B warrants will convert into the
respective percentages of ownership of the new common stock issued
on the Effective Date of the Plan on a fully diluted basis,
subject only to dilution by an equity incentive plan that
continues to be negotiated. While Tronox recommends that
shareholders vote to accept the Plan, Tronox shareholders will
receive their pro rata share of the warrants regardless of whether
they vote to accept or reject the Plan.
"On behalf of Tronox and its major stakeholders, we are extremely
appreciative of Judge Drain's efforts, professionalism and stamina
in helping the parties reach this settlement, which should pave
the way for Tronox to emerge from chapter 11 on a expeditious
basis," said Michael J. Foster, Vice President, General Counsel &
Secretary of Tronox Incorporated.
Tronox will promptly file with the Bankruptcy Court a modified
version of the Plan incorporating the terms of the settlement. The
deadline to vote on the Plan and to file objections to the Plan
remains November 5, 2010 at 5:00 p.m. (PT). The deadline for
holders of Class 3 General Unsecured Claims and Class 6 Indirect
Environmental Claims to exercise rights and participate in the
Rights Offering remains November 10, 2010 at 5:00 p.m. (PT). The
hearing to consider confirmation of the Plan is scheduled to
commence on November 17, 2010 at 11:00 a.m. (ET) before the
Honorable Allan L. Gropper, United States Bankruptcy Judge,
Southern District of New York.
About Tronox Inc.
Tronox Inc., aka New-Co Chemical, Inc., and 14 other affiliates
filed for Chapter 11 protection on January 13, 2009 (Bankr.
S.D.N.Y. Case No. 09-10156). The case is before Hon. Allan L.
Gropper. Richard M. Cieri, Esq., Jonathan S. Henes, Esq., and
Colin M. Adams, Esq., at Kirkland & Ellis LLP in New York,
represent the Debtors. The Debtors also tapped Togut, Segal &
Segal LLP as conflicts counsel; Rothschild Inc. as investment
bankers; Alvarez & Marsal North America LLC, as restructuring
consultants; and Kurtzman Carson Consultants serves as notice and
claims agent.
An official committee of unsecured creditors and an official
committee of equity security holders have been appointed in the
cases. The Creditors Committee has retained Paul, Weiss, Rifkind,
Wharton & Garrison LLP as counsel.
Until September 30, 2008, Tronox Inc. was publicly traded on the
New York Stock Exchange under the symbols TRX and TRX.B. Since
then, Tronox Inc. has traded on the Over the Counter Bulletin
Board under the symbols TROX.A.PK and TROX.B.PK. As of
December 31, 2008, Tronox Inc. had 19,107,367 outstanding shares
of class A common stock and 22,889,431 outstanding shares of class
B common stock.
TROPICANA ENTERTAINMENT: Owners Fight Over Share in Kirkland Fees
-----------------------------------------------------------------
Bankruptcy Law360 reports that owners of the reorganized Tropicana
Las Vegas casino are fighting to scrap their share of $16.8
million in fees sought by Kirkland & Ellis LLP in the Tropicana
Entertainment LLC Chapter 11 case, claiming the firm breached its
duty of care and loyalty to the casino.
In an objection filed Monday, the casino's owners asked the U.S.
Bankruptcy Court for the District of Delaware to deny Kirkland's
request for $4.9 million in fees, according to Law360.
About Tropicana Entertainment
Tropicana Entertainment LLC and its units owned eleven casino
properties in eight distinct gaming markets with premier
properties in Las Vegas, Nevada, and Atlantic City, New Jersey.
Tropicana Entertainment LLC and certain affiliates filed for
Chapter 11 protection on May 5, 2008 (Bankr. D. Del. Case No. 08-
10856). Kirkland & Ellis LLP and Mark D. Collins, Esq., at
Richards Layton & Finger, represent the Debtors in their
restructuring efforts. Their financial advisor is Lazard Ltd.
Their notice, claims, and balloting agent is Kurtzman Carson
Consultants LLC. Epiq Bankruptcy Solutions LLC is the Debtors'
Web site administration agent. AlixPartners LLP is the Debtors'
restructuring advisor. Stroock & Stroock & Lavan LLP and Morris
Nichols Arsht & Tunnell LLP represent the Official Committee of
Unsecured Creditors in this case. Capstone Advisory Group LLC is
financial advisor to the Creditors' Committee.
The OpCo Debtors, a group of Tropicana entities owning casinos and
resorts in Atlantic City, New Jersey and Evansville, Indiana
obtained confirmation from the Bankruptcy Court of a
reorganization plan. On April 29, 2009, non-debtor units of the
OpCo Debtors, designated as the New Jersey Debtors -- Adamar of
New Jersey, Inc., and its affiliate, Manchester Mall, Inc. --
filed for Chapter 11 (Bankr. D. N.J. Lead Case No. 09- 20711) to
effectuate a sale of the Atlantic City Resort and Casino to a
group of Investors-led by Carl Icahn. Judge Judith H. Wizmur
presides over the cases. Manchester Mall is a wholly owned
subsidiary of Adamar that owns and operates certain real property
utilized in the New Jersey Debtors' business operations.
Effective March 8, Tropicana Entertainment successfully emerged
from the Chapter 11 reorganization process as an Carl Icahn-owned
entity.
A group of Tropicana entities, known as the LandCo Debtors, which
own Tropicana casino property in Las Vegas, have obtained approval
of a separate Chapter 11 plan.
Ilana Volkov, Esq., and Michael D. Sirota, Esq., at Cole, Schotz,
Meisel, Forman & Leonard, in Hackensack, New Jersey, represented
the New Jersey Debtors. Kurtzman Carson Consultants LLC acts as
their claims and notice agent. Adamar disclosed $500 million to
$1 billion both in total assets and debts in its petition.
Manchester Mall disclosed $1 million to $10 million in total
assets, and less than $50,000 in total debts in its petition.
Debtors Adamar of New Jersey Inc. and Manchester Mall Inc. have
merged into Adamar of NJ In Liquidation, LLC. The merger and name
change is in accordance with an Amended and Restated Purchase
Agreement, which governs the sale and transfer of the operations
of the Tropicana Casino and Resort - Atlantic City, including
substantially all of the New Jersey Debtors' assets, to Tropicana
Entertainment Inc., Tropicana Atlantic City Corp., and Tropicana
AC Sub Corp., free and clear of any and all liens, claims and
encumbrances.
Bankruptcy Creditors' Service, Inc., publishes Tropicana
Bankruptcy News. The newsletter tracks the chapter 11
restructuring proceedings commenced by Tropicana Entertainment LLC
and its affiliates. (http://bankrupt.com/newsstand/or
215/945-7000).
UNITED SCIENCE: Lien on Environmental Recovery Not Avoidable
------------------------------------------------------------
The Illinois legislature, WestLaw reports, by providing that no
assignments of rights to payment from the Illinois Leaking
Underground Storage Tank (LUST) fund would be recognized except
assignments of rights to payment that had already been approved by
the Illinois Environmental Protection Agency (IEPA), did not
establish a public policy against collateral pledges of claims for
reimbursement from the LUST fund that were in other stages of
completion. Rather, it merely attempted to limit the state's
liability and administrative responsibility in recognition of the
difficulties associated with processing assignment forms on claims
that had not yet been submitted to the IEPA for review. Thus,
liens which creditors asserted against a Chapter 11 debtor's
right, as an environmental remediation company that had performed
remediation work in connection with leaking underground storage
tanks, to payment from the LUST fund were not void as against
public policy as regards rights to payment that did not correspond
to claims already approved by the IEPA. In re EDG Holdings, Inc.,
--- B.R. ----, 2010 WL 3125943 (Bankr. S.D. Ill.) (Grandy, J.).
EDG Holdings, Inc., a real estate concern, and United Science
Industries, Inc., an environmental remediation concern, based in
Mt. Vernon, Ill., sought chapter 11 protection (Bankr. S.D. Ill.
Case Nos. 09-41525 and 09-41563) on Sept. 15 and Sept. 21, 2009.
Terry Sharp, Esq., and John T. Hundley, Esq. at The Sharp Law
Firm, P.C., in Mt. Vernon, Ill., represent the Debtors. In their
petitions, the Debtors estimated assets and debts of $10 million
to $50 million.
UNIVERSAL BUILDING: Turns to Court in Search Of Lender Support
--------------------------------------------------------------
Universal Building Products Inc. is asking the bankruptcy court to
force its lender -- which last month withdrew its support for the
company's liquidation plan -- to get back on board with the
proposal and fund a potential pool of cash for unsecured
creditors, Dow Jones' DBR Small Cap reports.
According to the report, lender UBP Acquisition Corp. in August
signed off on an agreement that allowed it to take control of the
company's assets and required it to pledge support for Universal
Building Products' bankruptcy exit strategy, Universal Building
Products said in court papers. The report relates that as part of
that deal, UBP was to provide Universal Building Products with
$1.8 million of funding, some of which was to be funneled to
unsecured creditors in the case as part of a liquidation plan.
But about two weeks ago, the report notes, UBP Acquisition
announced that it would no longer back the creditor-repayment
plan. The lender, an affiliate of Oaktree Capital Management LP,
said that the company had failed to comply with its budget, which
expired Oct, the report adds.
About Universal Building
Westminster, California-based Universal Building Products, Inc.,
dba UBP, filed for Chapter 11 bankruptcy protection on August 3,
2010 (Bankr. D. Del. Case No. 10-12453). Mark Minuti, Esq.,
MaryJo Bellew, Esq., and Teresa K.D. Currier, Esq., at Saul Ewing
LLP, assists the Debtor in its restructuring effort. UBP
estimated $1 million to $10 million in assets and $10 million to
$50 million in debts in its petition.
The Debtor's affiliates Accubrace, Inc. (Bankr. D. Del. Case No.
10-12454), Don De Cristo Concrete Accessories, Inc. (Case No. 10-
12455), Form-Co, Inc. (Case No. 10-12456), and Universal Form
Clamp, Inc. (Case No. 10-12457), filed separate Chapter 11
petitions on August 4, 2010. Accubrace estimated $500,001 to
$1 million in assets and $10 million to $50 million in debts.
US AIRWAYS: Remains Open to Merger Possibilities
------------------------------------------------
US Airways remains interested in a merger but is also prepared to
remain independent while expanding its international network, US
Airways executives disclosed at an earnings conference call held
October 20, 2010, reports thestreet.com.
"There is enormous shareholder value to be created simply by
continuing to do what we're doing," said CEO Doug Parker,
according to the report. Regarding future consolidation, Mr.
Parker said "we are extremely well-positioned if indeed something
more happens over time. If the four legacy carriers decide to
consolidate to three, US Airways will be involved. Any of the
three can do something with us. That's a good position for us
and our shareholders."
The report notes that it remains unclear who would be US Airways'
merger partner. However, most speculation revolves around
American, which has said it is not interested.
About US Airways
US Airways -- http://www.usairways.com/-- along with US Airways
Shuttle and US Airways Express, operates more than 3,000 flights
per day and serves more than 190 communities in the U.S., Canada,
Mexico, Europe, the Middle East, the Caribbean, Central and South
America.
Under a Chapter 11 plan declared effective on March 31, 2003,
USAir emerged from bankruptcy with the Retirement Systems of
Alabama taking a 40% equity stake in the deleveraged carrier in
exchange for $240 million infusion of new capital.
US Airways and its subsidiaries filed another Chapter 11 petition
on September 12, 2004 (Bankr. E.D. Va. Case No. 04-13820). Brian
P. Leitch, Esq., Daniel M. Lewis, Esq., and Michael J. Canning,
Esq., at Arnold & Porter LLP, and Lawrence E. Rifken, Esq., and
Douglas M. Foley, Esq., at McGuireWoods LLP, represented the
Debtors in their restructuring efforts. The USAir II bankruptcy
plan became effective on September 27, 2005. The Debtors
completed their merger with America West on the same date. (US
Airways Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).
* * *
US Airways Group carries Moody's "Caa1" Long-Term rating, LT Corp.
family rating and probability of default rating. Outlook is
negative.
US Airways Group carries Standard & Poor's "B-" LT Foreign Issuer
Credit rating and LT Local Issuer credit rating. Outlook is also
negative.
US Airways Group carries Fitch's "CCC" LT Issuer default rating
and "C" Senior unsecured debt rating. Outlook is also negative.
US AIRWAYS: Wellington Discloses 6.15% Equity Stake
---------------------------------------------------
Wellington Management Company, LLP, in its capacity as investment
adviser, disclosed with the U.S. Securities and Exchange
Commission on October 12, 2010, that it beneficially owns
9,926,419 shares of US Airways Group, Inc., common stock,
representing 6.15% of shares outstanding.
As of October 15, 2010, there were approximately 161,533,485
shares of US Airways Group, Inc. common stock outstanding.
About US Airways
US Airways -- http://www.usairways.com/-- along with US Airways
Shuttle and US Airways Express, operates more than 3,000 flights
per day and serves more than 190 communities in the U.S., Canada,
Mexico, Europe, the Middle East, the Caribbean, Central and South
America.
Under a Chapter 11 plan declared effective on March 31, 2003,
USAir emerged from bankruptcy with the Retirement Systems of
Alabama taking a 40% equity stake in the deleveraged carrier in
exchange for $240 million infusion of new capital.
US Airways and its subsidiaries filed another Chapter 11 petition
on September 12, 2004 (Bankr. E.D. Va. Case No. 04-13820). Brian
P. Leitch, Esq., Daniel M. Lewis, Esq., and Michael J. Canning,
Esq., at Arnold & Porter LLP, and Lawrence E. Rifken, Esq., and
Douglas M. Foley, Esq., at McGuireWoods LLP, represented the
Debtors in their restructuring efforts. The USAir II bankruptcy
plan became effective on September 27, 2005. The Debtors
completed their merger with America West on the same date. (US
Airways Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).
* * *
US Airways Group carries Moody's "Caa1" Long-Term rating, LT Corp.
family rating and probability of default rating. Outlook is
negative.
US Airways Group carries Standard & Poor's "B-" LT Foreign Issuer
Credit rating and LT Local Issuer credit rating. Outlook is also
negative.
US Airways Group carries Fitch's "CCC" LT Issuer default rating
and "C" Senior unsecured debt rating. Outlook is also negative.
VICENTE GARCIA, SR.: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------------------
Joint Debtors: Vicente Salas Garcia, Sr.
aka Vince Garcia
dba Garcia & Associates Home Loans
Gloria R. Garcia
3941 Ballantree Lane
Aromas, CA 95004
Bankruptcy Case No.: 10-61405
Chapter 11 Petition Date: November 1, 2010
Court: U.S. Bankruptcy Court
Northern District of California (San Jose)
Judge: Arthur S. Weissbrodt
Debtors' Counsel: Judson T. Farley, Esq.
LAW OFFICES OF JUDSON T. FARLEY
830 Bay Avenue, #B
Capitola, CA 95010-2173
Tel: (831)476-1766
E-mail: judsonfarley@sbcglobal.net
Scheduled Assets: $1,054,554
Scheduled Debts: $2,625,858
A list of the Joint Debtors' 20 largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/canb10-61405.pdf
WCI COMMUNITIES: Insurer Objects to Drywall Trust Procedures
------------------------------------------------------------
Bankruptcy Law360 reports that the trustee of a fund established
in WCI Communities Inc.'s bankruptcy to handle claims related to
defective Chinese drywall was accused by an insurer Tuesday of
trying to improperly parlay a bankruptcy court ruling to gain a
strategic advantage in related coverage disputes pending in the
district court.
Law360 says that at a hearing in the U.S. Bankruptcy Court for the
District of Delaware, Hartford Fire Insurance Co. and Hartford
Casualty Insurance Co. objected to trustee Robert C. Pate's
motion.
Headquartered in Bonita Springs, Florida, WCI Communities, Inc.
(Pink Sheets: WCIMQ) -- http://www.wcicommunities.com/-- is a
fully integrated homebuilding and real estate services company
with more than 50 years' experience in the design, construction
and operation of leisure-oriented, amenity rich master-planned
communities. It has operations in Florida, New York, New Jersey,
Connecticut, Virginia and Maryland. The Company directly employs
approximately 1,170 people, as well as approximately 1,800 sales
representatives as independent contractors.
The Company and 126 of its affiliates filed for Chapter 11
protection on August 4, 2008 (Bankr. D. Del. Lead Case No.
08-11643 through 08-11770). On July 1, 2009, debtor-affiliates
WCI 2009 Corporation, WCI 2009 Management, LLC and WCI 2009 Asset
Holding, LLC filed separate Chapter 11 petitions (Case Nos. from
09-12269 to 09-12271).
Thomas E. Lauria, Esq., Frank L. Eaton, Esq., and Linda M. Leali,
Esq., at White & Case LLP, in Miami, Florida, represent the
Debtors as counsel. Eric Michael Sutty, Esq., and Jeffrey M.
Schlerf, Esq., at Fox Rothschild LLP, represent the Debtors as
Delaware counsel. Lazard Freres & Co. LLC is the Debtors'
financial advisor. Epiq Bankruptcy Solutions LLC is the claims
and notice agent for the Debtors. The U.S. Trustee for Region 3
appointed five creditors to serve on an official committee of
unsecured creditors. Daniel H. Golden, Esq., Lisa Beckerman,
Esq., and Philip C. Dublin, Esq., at Akin Gump Strauss Hauer &
Feld LLP; and Laura Davis Jones, Esq., Michael R. Seidl, Esq., and
Timothy P. Cairns, Esq., at Pachulski Stang Ziehl & Jones LLP,
represent the committee in these cases. WCI disclosed total
assets of $2,178,179,000 and total debts of $1,915,034,000 when it
filed for Chapter 11.
WIND MOUNTAIN: Case Summary & 2 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Wind Mountain Ranch LLC
P.O. Box 139
Tres Piedras, NM 87577
Bankruptcy Case No.: 10-15497
Chapter 11 Petition Date: October 29, 2010
Court: U.S. Bankruptcy Court
District of New Mexico (Albuquerque)
Judge: Robert H. Jacobvitz
Debtor's Counsel: Daniel J. Behles, Esq.
MOORE, BERKSON & GANDARILLA, P.C.
P.O. Box 7459
Albuquerque, NM 87194
Tel: (505) 242-1218
Fax: (505) 242-2836
E-mail: dan@behles.com
Scheduled Assets: $1,500,000
Scheduled Debts: $1,256,506
A list of the Company's two largest unsecured creditors
filed together with the petition is available for free
at http://bankrupt.com/misc/nmb10-15497.pdf
The petition was signed by William T. Anderson, manager.
WOLVERINE TUBE: Receives Court Approval of All First Day Motions
----------------------------------------------------------------
Wolverine Tube, Inc. has received approval from the United States
Bankruptcy Court for the District of Delaware for the First Day
Motions that were submitted for approval. The approval of these
motions will enable the company to make a smooth transition into
Chapter 11 and maintain operations in the ordinary course while it
moves forward with its efforts to obtain approval of a prearranged
plan of reorganization, as previously announced.
Wolverine announced on November 1, 2010, that it had reached an
agreement in principle with holders of the company's notes on the
terms of a financial restructuring to reduce the company's
indebtedness and that it elected to file Chapter 11 petitions to
effectuate a prearranged plan of reorganization supported by its
noteholders.
The company noted that securing court approval of its First Day
Motions was a critical first step in its court-supervised
reorganization process. Wolverine believes its cash on hand,
together with cash generated from ongoing operations, will be
sufficient to fund its normal business obligations through the
financial restructuring, and that the Chapter 11 filing will have
little impact on its operations, which will continue during the
restructuring process.
About Wolverine Tube
Wolverine Tube, Inc., is a global manufacturer and distributor of
copper and copper alloy tube, fabricated products, and metal
joining products. The Company currently operates seven facilities
in the United States, Mexico, China, and Portugal. It also has
distribution operations in the Netherlands and the United States.
Wolverine Tube Inc. and its affiliates filed for Chapter 11
protection (Bankr. D. Del. Lead Case No. 10-13522) on November 1,
2010.
Wolverine Tube is filing a Chapter 11 reorganization plan
supported by holders of 71% of the $131 million in senior secured
notes and Plainfield Asset Management LLC, a secured noteholder
and preferred shareholder.
Wolverine Tube disclosed assets of $115.6 million against debt
totaling $237.5 million in documents attached to the petition.
Cozen O'Connor, Esq., Mark E. Felger, Esq., and Simon E. Fraser,
Esq., at Cozen O' Connor, in Wilmington, Delaware, represent the
Debtors. Scott K. Rutsky, Esq., and Adam T. Berkowitz, Esq., at
Proskauer Rose LLP, is the corporate and tax counsel. Deloitte
Financial Advisory Services LLP is the financial advisor. Donlin
Recano & Company, Inc., is the claims agent.
YELLOWSTONE MOUNTAIN: District Judge Overturns Reorganization
-------------------------------------------------------------
Steven Church and Anthony Effinger at Bloomberg News report that
U.S. District Judge Sam E. Haddon in Butte, Montana, overturned
part of Yellowstone Club's bankruptcy reorganization because the
ski resort settled a lawsuit against Credit Suisse Group AG
without giving creditors a chance to object. Under the terms of
the settlement with Credit Suisse, the bank was given legal
immunity for any actions it took related to the bankruptcy.
According to the report, in an order issued November 2, Judge
Haddon invalidated the settlement and sent it back to a bankruptcy
judge for reconsideration. That settlement ended court battles
among Credit Suisse, lower-ranking creditors and CrossHarbor
Capital Partners LLC, the Boston-based private-equity firm that
bought the resort out of bankruptcy.
Bloomberg relates that attorneys on both sides of the appeal
disagreed about what the ruling will mean for Credit Suisse and
the other creditors and investors involved in the bankruptcy case.
"They are between a rock and a hard place," Michael J. Flynn, a
lawyer for the club's former owner, said in a phone interview with
Bloomberg, referring to Credit Suisse. Mr. Flynn said the ruling
means the bank can be sued by his client, Yellowstone co-founder
Tim Blixseth, and noteholders who lost money on their investment
in the club.
Andy Patten, a lawyer for the club, said the legal errors related
to the approval of the reorganization plan are limited and
shouldn't affect the ownership of the resort or its creditors. The
ruling "overturns the settlement with Credit Suisse purely on
procedural grounds, which can be easily rectified," Mr. Patten
said in a phone interview.
About Yellowstone Club
Located near Big Sky, Montana, Yellowstone Mountain Club LLC --
http://www.theyellowstoneclub.com/-- is a private golf and ski
community with more than 350 members, including Bill Gates and Dan
Quayle. The Company was founded in 1999.
Yellowstone Club and its affiliates filed for Chapter 11 on Nov.
10, 2008 (Bankr. D. Montana, Case No. 08-61570). The Company's
owner affiliate, Edra D. Blixseth, filed for Chapter 11 on
March 27, 2009 (Case No. 09-60452).
In June 2009, the Bankruptcy Court entered an order confirming
Yellowstone's Chapter 11 Plan. Pursuant to the Plan, CrossHarbor
Capital Partners, LLC, acquired equity ownership in the
reorganized Club for $115 million.
Attorneys at Bullivant Houser Bailey PC and Bekkedahl & Green
PLLC represented the Debtors. The Debtors hired FTI Consulting
Inc. and Ronald Greenspan as CRO. The official committee of
unsecured creditors were represented by Parsons, Behle and
Latimer, as counsel, and James H. Cossitt, Esq., at local counsel.
Credit Suisse, the prepetition first lien lender, was represented
by Skadden, Arps, Slate, Meagher & Flom.
* Former Fannie Mae Ass. Gen. Counsel Joins McCalla Raymer
----------------------------------------------------------
McCalla Raymer, LLC disclosed that the appointment of Susan Reid
as General Counsel. She reports to Marty Stone, the firm's
Managing Partner.
"Susan is a widely respected and seasoned attorney who brings
exceptional insight into the default mortgage markets," said Mr.
Stone. "One of our top priorities has been to continuously build
a top-tier team of knowledgeable and talented industry leaders and
Susan's 25 years of experience shows exactly that."
During Ms. Reid's tenure with Fannie Mae she focused on
origination and default related issues for the multi-family and
single family businesses including underwriting, foreclosure,
bankruptcy, loss mitigation, mediation, title litigation and REO
sales. Most recently, she concentrated on foreclosure related
issues in the state of Florida including mandatory mediation and
other legal strategies for managing the residential default loan
portfolio in various states.
Ms. Reid earned a B.A. degree in music and biology from Colorado
Womens College and a J.D. from Cumberland School of Law. She is a
member of the Georgia and Missouri Bar Associations, the American
Bar Association and a Board member of Chrysalis Center Inc., a
non-profit retreat center.
"I am excited to join McCalla Raymer and look forward to being
part of a firm that is driven by providing excellent service to
their clients. I look forward to our future growth," commented
Ms. Reid.
About McCalla Raymer, LLC
McCalla Raymer, LLC is a leader in the mortgage banking industry,
specializing in bankruptcy, foreclosure, REO and eviction services
throughout Alabama, Florida and Georgia. The firm handles
commercial and residential real estate and litigation matters for
over 350 clients. In addition, McCalla Raymer is Fannie Mae
retained counsel in Alabama and Georgia and Freddie Mac designated
counsel in Georgia.
* Chapter 11 Cases With Assets & Liabilities Below $1,000,000
-------------------------------------------------------------
Recent Chapter 11 cases filed with assets and liabilities below
$1,000,000:
In Re Melinda Louise Henricks
aka Melinda L Henricks
aka Melinda Louise Brown
Bankr. C.D. Calif. Case No. 10-23354
Chapter 11 Petition filed October 21, 2010
filed pro se
In Re Hyman Biber
Bankr. D. Conn. Case No. 10-23613
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/ctb10-23613p.pdf
See http://bankrupt.com/misc/ctb10-23613c.pdf
In Re The Greenleaf Building Condominium Association, Inc.
Bankr. M.D. Fla. Case No. 10-09173
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/flmb10-09173.pdf
In Re Pro Auto Tires & Wheels, Inc.
Bankr. N.D. Ill. Case No. 10-47187
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/ilnb10-47187p.pdf
See http://bankrupt.com/misc/ilnb10-47187c.pdf
In Re Heldeberg-Malta Properties, LLC
Bankr. N.D. N.Y. Case No. 10-13921
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/nynb10-13921.pdf
In Re 974 East Delavan, LLC
Bankr. W.D. N.Y. Case No. 10-14510
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/nywb10-14510.pdf
In Re Beach-Elmwood Properties, LLC
Bankr. W.D. N.Y. Case No. 10-14511
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/nywb10-14511.pdf
In Re Demmy Jibicks Ventures
aka DJV Towing
Bankr. E.D. N.C. Case No. 10-08660
Chapter 11 Petition filed October 21, 2010
filed pro se
In Re Salvatore Joseph D'Elia
aka Sal D'Elia
Jennifer Dawn D'Elia
Bankr. E.D. N.C. Case No. 10-08648
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/nceb10-08648.pdf
In Re Charles Vernie Canham
aka Chuck Canham
Bankr. D. Ore. Case No. 10-40020
Chapter 11 Petition filed October 21, 2010
filed pro se
In Re Nashville Global Academy
Bankr. M.D. Tenn. Case No. 10-11408
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/tnmb10-11408p.pdf
See http://bankrupt.com/misc/tnmb10-11408c.pdf
In Re Blue Dining and Spirits, LLC
Bankr. W.D. Texas Case No. 10-32249
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/txwb10-32249.pdf
In Re Rare Magazine, LLC
aka Rare Magazine
aka Rare Weddings
Bankr. W.D. Texas Case No. 10-12966
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/txwb10-12966.pdf
In Re Waldron Trucking, LLC
Bankr. W.D. Wash. Case No. 10-22626
Chapter 11 Petition filed October 21, 2010
See http://bankrupt.com/misc/wawb10-22626.pdf
In Re Asphalt & Concrete Concepts LLC
Bankr. D. Ariz. Case No. 10-34098
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/azb10-34098.pdf
In Re DSRS Investments LLC
Bankr. D. Ariz. Case No. 10-34136
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/azb10-34136.pdf
In Re Southern Coaches, Inc.
Bankr. E.D. Ark. Case No. 10-17693
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/areb10-17693p.pdf
See http://bankrupt.com/misc/areb10-17693c.pdf
In Re Omar Yehia Spahi
Bankr. C.D. Calif. Case No. 10-55570
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/cacb10-55570.pdf
In Re Fairfield Auto & Truck Care, LLC
Bankr. D. Conn. Case No. 10-52550
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/ctb10-52550.pdf
In Re Sawyer Mountain, LLC
Bankr. S.D. Ga. Case No. 10-21395
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/gasb10-21395.pdf
In Re Maryanne T. Dao
aka Xuan T Dao
Bankr. D. Mass. Case No. 10-21501
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/mab10-21501.pdf
In Re Jamasb Sokansanj
Janice D Frasch
Bankr. E.D. Mich. Case No. 10-72313
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/mieb10-72313p.pdf
See http://bankrupt.com/misc/mieb10-72313c.pdf
In Re WWW Holdings, Inc.
dba The Way We Were Outlet
Bankr. D. N.H. Case No. 10-14522
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/nhb10-14522.pdf
In Re Mount Prospect Group LLC
Bankr. S.D.N.Y. Case No. 10-15541
Chapter 11 Petition filed October 22, 2010
filed pro se
In Re Bidpro, LLC
Bankr. W.D. N.Y. Case No. 10-14531
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/nywb10-14531.pdf
In Re Niagara Operations Inc.
Bankr. W.D. N.Y. Case No. 10-14544
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/nywb10-14544.pdf
In Re Niagara Street Properties, LTD
Bankr. W.D. N.Y. Case No. 10-14530
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/nywb10-14530.pdf
In Re Marilyn Knoll Glaser
Bankr. S.D. W.Va. Case No. 10-50361
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/wvsb10-50361.pdf
In Re T.W. Logging,Inc.
Bankr. S.D. W.Va. Case No. 10-50364
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/wvsb10-50364.pdf
In Re Lebanon Equipment Company, Inc.
Bankr. W.D. Va. Case No. 10-72524
Chapter 11 Petition filed October 22, 2010
See http://bankrupt.com/misc/vawb10-72524.pdf
In Re OA LIP Inc.
dba Brandt's Beverage
Bankr. E.D. Pa. Case No. 10-19168
Chapter 11 Petition filed October 23, 2010
See http://bankrupt.com/misc/paeb10-19168.pdf
In Re Mahin D. Karoon
Bankr. D. N.J. Case No. 10-42834
Chapter 11 Petition filed October 23, 2010
See http://bankrupt.com/misc/njb10-42834.pdf
In Re Pickens Corporation
Bankr. W.D. N.Y. Case No. 10-14565
Chapter 11 Petition filed October 23, 2010
See http://bankrupt.com/misc/nywb10-14565.pdf
In Re Park Street Foundry, Inc.
Bankr. D. Mass. Case No. 10-32179
Chapter 11 Petition filed October 24, 2010
See http://bankrupt.com/misc/mab10-32179.pdf
In Re Denmark 7
Bankr. W.D. N.Y. Case No. 10-14577
Chapter 11 Petition filed October 24, 2010
See http://bankrupt.com/misc/nywb10-14577.pdf
In Re M.A.P. Properties LLC
Bankr. W.D. N.Y. Case No. 10-14571
Chapter 11 Petition filed October 24, 2010
See http://bankrupt.com/misc/nywb10-14571.pdf
In Re Monument of Faith Fellowship Center
Bankr. W.D. N.Y. Case No. 10-14573
Chapter 11 Petition filed October 24, 2010
See http://bankrupt.com/misc/nywb10-14573.pdf
In Re Manuel Gonzalez
Bankr. S.D. Texas Case No. 10-50272
Chapter 11 Petition filed October 24, 2010
See http://bankrupt.com/misc/txsb10-50272.pdf
In Re Christopher Duo Hoang
Bankr. C.D. Calif. Case No. 10-25113
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/cacb10-25113.pdf
In Re Gartel Corp.
Bankr. C.D. Calif. Case No. 10-55744
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/cacb10-55744p.pdf
See http://bankrupt.com/misc/cacb10-55744c.pdf
In Re Lewis-Smith Mortuary, Inc.
Bankr. M.D. Fla. Case No. 10-09280
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/flmb10-09280.pdf
In Re MLJ&J Inc.
Bankr. S.D. Fla. Case No. 10-42533
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/flsb10-42533.pdf
In Re Lazenby & Associates, LLC
Bankr. S.D. Ga. Case No. 10-42269
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/gasb10-42269.pdf
In Re Eugene P. Libby, D.O. A Professional Corporation
Bankr. D. Nev. Case No. 10-30025
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/nvb10-30025.pdf
In Re Jerome Jackson
dba International Entertainment LLC
dba Iel, LLC
Bankr. D. Nev. Case No. 10-30068
Chapter 11 Petition filed October 25, 2010
filed pro se
In Re Libby 2749 Sunridge Heights Parkway, LLC
Bankr. D. Nev. Case No. 10-30026
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/nvb10-30026.pdf
In Re 227-283 W. Delvan LLC
Bankr. S.D.N.Y. Case No. 10-38238
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/nysb10-38238.pdf
In Re Hi Miles Transmission Corp.
Bankr. S.D.N.Y. Case No. 10-24213
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/nysb10-24213.pdf
In Re Philip C. Roventini
Bankr. S.D.N.Y. Case No. 10-24212
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/nysb10-24212.pdf
In Re IntEx Contracting, Inc.
Bankr. W.D. Pa. Case No. 10-27552
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/pawb10-27552.pdf
In Re Office First, Inc.
Bankr. S.D. Texas Case No. 10-39500
Chapter 11 Petition filed October 25, 2010
See http://bankrupt.com/misc/txsb10-39500.pdf
In Re Advanced Auto Repair Inc.
Bankr. S.D. Ala. Case No. 10-04985
Chapter 11 Petition filed October 26, 2010
See http://bankrupt.com/misc/alsb10-04985.pdf
In Re Aliso Commons Corner LLC
Bankr. C.D. Calif. Case No. 10-25192
Chapter 11 Petition filed October 26, 2010
filed pro se
In Re Aliso Corner 2 LLC
Bankr. C.D. Calif. Case No. 10-25193
Chapter 11 Petition filed October 26, 2010
filed pro se
In Re Metro Acquisitions LLC
Bankr. S.D. Fla. Case No. 10-42619
Chapter 11 Petition filed October 26, 2010
filed pro se
In Re Horkley Self-Service, Inc.
Bankr. D. Idaho Case No. 10-41898
Chapter 11 Petition filed October 26, 2010
See http://bankrupt.com/misc/idb10-41898.pdf
In Re Wilson Transportation Services, Inc.
Bankr. W.D. N.C. Case No. 10-11256
Chapter 11 Petition filed October 26, 2010
See http://bankrupt.com/misc/ncwb10-11256.pdf
In Re Sabre Security, Inc.
Bankr. E.D. Pa. Case No. 10-19214
Chapter 11 Petition filed October 26, 2010
See http://bankrupt.com/misc/paeb10-19214.pdf
In Re Professor Amos's Wonder Products, Inc. And Network 1,000,000
Inc.
Bankr. W.D. Pa. Case No. 10-27591
Chapter 11 Petition filed October 26, 2010
See http://bankrupt.com/misc/pawb10-27591.pdf
In Re Albert William Secor
Bankr. E.D. Tenn. Case No. 10-16329
Chapter 11 Petition filed October 26, 2010
See http://bankrupt.com/misc/tneb10-16329p.pdf
See http://bankrupt.com/misc/tneb10-16329c.pdf
In Re Waters Edge, LLC
Bankr. E.D. Va. Case No. 10-19079
Chapter 11 Petition filed October 26, 2010
See http://bankrupt.com/misc/vaeb10-19079.pdf
In Re James Bass, Jr.
dba Basco Liquor and Flamingo Package
dba LJJJT Enterprise Inc.
Thomas Bass
dba Flamingo Package Store
Bankr. E.D. Ark. Case No. 10-17771
Chapter 11 Petition filed October 27, 2010
filed pro se
In Re Arthur Joseph Gettler
Bankr. C.D. Calif. Case No. 10-56124
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/cacb10-56124.pdf
In Re Gloria C. De Lao
Bankr. N.D. Calif. Case No. 10-34243
Chapter 11 Petition filed October 27, 2010
filed pro se
In Re Sai Shivam LLC
dba India Palace Restaraunt
Bankr. D. Colo. Case No. 10-37305
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/cob10-37305.pdf
In Re Green Earth Development, Inc.
Bankr. D. Idaho Case No. 10-41912
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/idb10-41912.pdf
In Re Daniel Abang-Ntuen
Bankr. S.D. Iowa Case No. 10-05251
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/iasb10-05251.pdf
In Re Eagle Transportation LLC
Bankr. W.D. Ky. Case No. 10-11637
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/kywb10-11637.pdf
In Re Panaderia Ramos, Limited Liability Company
Bankr. D. Md. Case No. 10-34564
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/mdb10-34564.pdf
In Re TJ Canillas & Hoffman HVAC Services Inc.
Bankr. D. Mass. Case No. 10-21722
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/mab10-21722.pdf
In Re Joseph L. Maddi Physician, PC
Bankr. W.D. N.Y. Case No. 10-14609
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/nywb10-14609.pdf
In Re Douglas Michael Thomas
dba Thomas Farms
Rose M. Thomas
dba Thomas Farms
Bankr. E.D. N.C. Case No. 10-08796
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/nceb10-08796.pdf
In Re Intertec Group Inc.
dba Cattlemen Company Steak House And Cantina
Bankr. D. Puerto Rico Case No. 10-10047
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/prb10-10047.pdf
In Re Entity Manager, Inc.
Bankr. N.D. Texas Case No. 10-37497
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/txnb10-37497.pdf
In Re ES Alternatives GenPar, LLC
Bankr. N.D. Texas Case No. 10-37501
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/txnb10-37501.pdf
In Re McCommas Landfill Management, LLC
Bankr. N.D. Texas Case No. 10-37502
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/txnb10-37502.pdf
In Re Whiskey Charlie's LLC
aka Left Field Spirits & Grill
Bankr. N.D. Texas Case No. 10-37513
Chapter 11 Petition filed October 27, 2010
See http://bankrupt.com/misc/txnb10-37513p.pdf
See http://bankrupt.com/misc/txnb10-37513c.pdf
In Re Donald Jared Watler
Peggy Reynolds Watler
Bankr. S.D. Ala. Case No. 10-05033
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/alsb10-05033.pdf
In Re CS 9 MARICOPA LLC
Bankr. D. Ariz. Case No. 10-34786
Chapter 11 Petition filed October 28, 2010
filed pro se
In Re Jillotti Electric Company Inc.
Bankr. D. Ariz. Case No. 10-34821
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/azb10-34821.pdf
In Re Oracle Heathcare, LLC
aka Center For Family Medicine
Bankr. D. Ariz. Case No. 10-34905
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/azb10-34905.pdf
In Re King Market Inc.
dba King's Market
Bankr. C.D. Calif. Case No. 10-44863
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/cacb10-44863p.pdf
See http://bankrupt.com/misc/cacb10-44863c.pdf
In Re Pristine Motors, Inc.
Bankr. S.D. Fla. Case No. 10-43083
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/flsb10-43083.pdf
In Re Center for Creative Growth & Human Development, Inc.
Bankr. N.D. Ga. Case No. 10-14048
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/ganb10-14048.pdf
In Re Bulancak, Inc.
Bankr. D. N.J. Case No. 10-43401
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/njb10-43401.pdf
In Re Cameron R. Howat
Connie M. Howat
Bankr. W.D. Pa. Case No. 10-27643
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/pawb10-27643.pdf
In Re C E H Enterprises
dba Gregg's Specialty Services
Bankr. N.D. Ohio Case No. 10-37318
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/ohnb10-37318.pdf
In Re Temple Of Blessings Deliverance Outreach Ministries, Inc.
Bankr. W.D. Tenn. Case No. 10-31787
Chapter 11 Petition filed October 28, 2010
See http://bankrupt.com/misc/tnwb10-31787.pdf
In Re Cielo Land Stewardship LLC
Bankr. W.D. Wash. Case No. 10-22910
Chapter 11 Petition filed October 28, 2010
filed pro se
In Re Bob Ray Rivera
aka Bobby R Rivera
Debra Diane Rivera
aka Debra Diane Holguin
Bankr. C.D. Calif. Case No. 10-45080
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/cacb10-45080.pdf
In Re George M. Gingo
Lisa D. Gingo
Bankr. M.D. Fla. Case No. 10-19557
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/flmb10-19557.pdf
In Re R. D. Marina II, Inc.
Bankr. M.D. Fla. Case No. 10-26147
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/flmb10-26147p.pdf
See http://bankrupt.com/misc/flmb10-26147c.pdf
In Re Real Land, LLC
Bankr. M.D. Fla. Case No. 10-26090
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/flmb10-26090.pdf
In Re Flight Academy of New Orleans, LLC
Bankr. E.D. La. Case No. 10-14049
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/laeb10-14049.pdf
In Re Blackfoot Land & Water LLC
Bankr. D. Mont. Case No. 10-62580
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/mtb10-62580.pdf
In Re Davidovich Bagel & Lox Factory, Inc.
Bankr. E.D.N.Y. Case No. 10-50268
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/nyeb10-50268.pdf
In Re US Route 23 Supply, LLC
Bankr. S.D. Ohio Case No. 10-62903
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/ohsb10-62903.pdf
In Re Starfish Holdings, LLC
Bankr. W.D. Pa. Case No. 10-27690
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/pawb10-27690p.pdf
See http://bankrupt.com/misc/pawb10-27690c.pdf
In Re Infinity Manufacturing, Inc.
Bankr. E.D. Tenn. Case No. 10-16413
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/tneb10-16413p.pdf
See http://bankrupt.com/misc/tneb10-16413c.pdf
In Re Roger Andy Ryan
Bankr. M.D. Tenn. Case No. 10-11735
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/tnmb10-11735.pdf
In Re William Charles Goolsby
dba WCG Equipment
Betty Sue Goolsby
Bankr. M.D. Tenn. Case No. 10-11731
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/tnmb10-11731.pdf
In Re Gregory H. Guillot
Bankr. N.D. Texas Case No. 10-37571
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/txnb10-37571.pdf
In Re JH Realty Investment, LP
Bankr. S.D. Texas Case No. 10-80636
Chapter 11 Petition filed October 29, 2010
See http://bankrupt.com/misc/txsb10-80636.pdf
In Re Norris R. Harris
Bankr. W.D. Texas Case No. 10-13058
Chapter 11 Petition filed October 29, 2010
filed pro se
*********
Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par. Prices are
obtained by TCR editors from a variety of outside sources during
the prior week we think are reliable. Those sources may not,
however, be complete or accurate. The Monday Bond Pricing table
is compiled on the Friday prior to publication. Prices reported
are not intended to reflect actual trades. Prices for actual
trades are probably different. Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy or
sell any security of any kind. It is likely that some entity
affiliated with a TCR editor holds some position in the issuers"
public debt and equity securities about which we report.
Each Tuesday edition of the TCR contains a list of companies with
insolvent balance sheets whose shares trade higher than $3 per
share in public markets. At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets. A company may establish reserves on its balance sheet for
liabilities that may never materialize. The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.
A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com/
On Thursdays, the TCR delivers a list of recently filed
Chapter 11 cases involving less than $1,000,000 in assets and
liabilities delivered to nation's bankruptcy courts. The list
includes links to freely downloadable images of these small-dollar
petitions in Acrobat PDF format.
Each Friday's edition of the TCR includes a review about a book of
interest to troubled company professionals. All titles are
available at your local bookstore or through Amazon.com. Go to
http://www.bankrupt.com/books/to order any title today.
Monthly Operating Reports are summarized in every Saturday edition
of the TCR.
The Sunday TCR delivers securitization rating news from the week
then-ending.
For copies of court documents filed in the District of Delaware,
please contact Vito at Parcels, Inc., at 302-658-9911. For
bankruptcy documents filed in cases pending outside the District
of Delaware, contact Ken Troubh at Nationwide Research &
Consulting at 207/791-2852.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter is a daily newsletter co-published
by Bankruptcy Creditors" Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland,
USA. Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Howard
C. Tolentino, Joseph Medel C. Martirez, Denise Marie Varquez,
Philline Reluya, Ronald C. Sy, Joel Anthony G. Lopez, Cecil R.
Villacampa, Sheryl Joy P. Olano, Carlo Fernandez, Christopher G.
Patalinghug, and Peter A. Chapman, Editors.
Copyright 2010. All rights reserved. ISSN: 1520-9474.
This material is copyrighted and any commercial use, resale or
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re-mailing and photocopying) is strictly prohibited without prior
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herein is obtained from sources believed to be reliable, but is
not guaranteed.
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are $25 each. For subscription information, contact Christopher
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*** End of Transmission ***