/raid1/www/Hosts/bankrupt/TCR_Public/110416.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
Saturday, April 16, 2011, Vol. 14, No. 105
Headlines
AMBAC FIN'L: Spends $1,963,326 for Reorganization in February
BLACK CROW: Reports EBITDA of $143,589 in February
CATHOLIC CHURCH: Wilmington Has $970,503 Cash at Feb. 28
GULFSTREAM INT'L: Lead Debtor Posts $676,730 Net Loss in February
GULFSTREAM INT'L: GCI Posts $29,489 Net Loss From January-February
GULFSTREAM INT'L: GIA Holdings Posts $282,425 Net Loss in February
GULFSTREAM INT'L: GTA Posts $34,600 Net Loss in February
LACK'S STORES: Ends November 2010 With $18.1 Million Cash
PALM HARBOR: Post $4 Million Net Loss in February 2011
*********
AMBAC FIN'L: Spends $1,963,326 for Reorganization in February
-------------------------------------------------------------
Ambac Financial Group, Inc.
Balance Sheet
As of February 28, 2011
ASSETS:
Current Assets:
Unrestricted Cash and Equivalents $38,609,479
Restricted Cash and Cash Equivalents 2,500,000
Accounts Receivable -
Notes Receivable -
Inventories -
Prepaid Expenses -
Professional Retainers 4,757,571
Other Current Assets 23,510,307
-----------------
Total Current Assets 69,377,357
Property & Equipment:
Real Property and Improvements -
Machinery & Equipment -
Furniture, Fixtures, and Office Equipment -
Leasehold Improvements -
Vehicles -
Less: Accumulated Depreciation -
-----------------
Total Property & Equipment -
Other Assets:
Amounts Due From Insiders 571,514
Other Assets (190,975,812)
-----------------
Total Other Assets (190,404,298)
-----------------
Total Assets ($121,026,941)
=================
LIABILITIES AND OWNERS' EQUITY:
Liabilities Not Subject to Compromise (Postpetition)
Accounts Payable -
Taxes Payable -
Wages Payable -
Notes Payable -
Rent/Leases - Building/Equipment -
Secured Debt/Adequate Protection Payments -
Professional Fees $9,003,837
Amounts Due to Insiders 187,936
Other Postpetition Liabilities 35,991
-----------------
Total Postpetition Liabilities 9,227,764
Liabilities Subject to Compromise (Prepetition):
Secured Debt -
Priority Debt -
Unsecured Debt 1,695,844,224
-----------------
Total Prepetition Liabilities 1,695,844,224
Total Liabilities 1,705,071,988
Owners' Equity:
Capital Stock 3,080,168
Additional Paid-in Capital 2,187,581,849
Partners' Capital Account -
Owners' Equity Account -
Retained earnings - prepetition (3,896,443,044)
Retained earnings - postpetition (62,477,438)
Adjustments to Owner Equity (57,840,464)
Postpetition Contributions -
-----------------
Net Owners' Equity (1,826,098,929)
-----------------
Total Liabilities & Owners' Equity ($121,026,941)
=================
Ambac Financial Group, Inc.
Statement of Operations
For the month ended February 28, 2011
Gross Revenues -
Less: Returns & Allowances -
-----------------
Net Revenue -
Cost of Goods Sold:
Beginning Inventory -
Add: Purchases -
Cost of labor -
Other costs -
Less: Ending Inventory -
-----------------
Cost of Goods Sold -
Gross Profit -
Operating Expenses:
Advertising -
Auto and Truck Expense -
Bad Debts -
Contributions -
Employee Benefits Programs $26,805
Officer/Insider Compensation 124,435
Insurance -
Management Fees/Bonuses -
Office Expense (54)
Pension & profit sharing plans -
Repairs & Maintenance -
Rent and Lease Expense 282
Salaries/Commissions/Fees -
Supplies -
Taxes - Payroll 2,823
Taxes - Real Estate -
Taxes - Other -
Travel & Entertainment -
Utilities -
Other (846,504)
-----------------
Total Operating Expenses Before (692,213)
Depreciation
Depreciation/Depletion/Amortization -
-----------------
Net profit(loss) Before Other Income & (692,213)
Expenses
Other Income and Expenses:
Other income 23,683
Interest Expense -
Other Expense (38,297,296)
-----------------
Net profit (loss) Before Reorganization Items 39,013,192
Reorganization Items:
Professional Fees 1,958,451
U.S. Trustee Quarterly Fees 4,875
Interest on Cash from Chapter 11 -
Gain from Sale of Equipment -
Other Reorganization Expenses -
-----------------
Total Reorganization Expenses 1,963,326
-----------------
Income Taxes -
-----------------
Net Profit (Loss) $37,049,866
=================
Ambac Financial Group, Inc.
Schedule of Cash Receipts and Disbursements
For the month ended February 28, 2011
Cash Beginning of Month $41,164,995
Receipts:
Cash Sales -
Accounts Receivable - Prepetition -
Accounts Receivable - Postpetition -
Loans and Advances -
Sale of Assets -
Other 181,674
Transfers 5,370,032
-----------------
Total Receipts 5,551,706
Disbursements:
Gross Payroll 98,953
Sales, Use, & Other Taxes -
Inventory Purchases -
Secured/Rental/Leases -
Insurance -
Administrative -
Selling -
Other 2,638,235
Owner Draw -
Transfers (to DIP Accts.) 5,370,032
Professional Fees -
U.S. Trustee Quarterly Fees -
Court Costs -
-----------------
Total Disbursements 8,107,220
-----------------
Net Cash Flow (2,555,515)
-----------------
Cash - End of Month $38,609,480
=================
About Ambac Financial
Ambac Financial Group, Inc., headquartered in New York City, is a
holding company whose affiliates provided financial guarantees and
financial services to clients in both the public and private
sectors around the world.
Ambac Financial filed a voluntary petition for relief under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No.
10-15973) in Manhattan on Nov. 8, 2010. Ambac said it will
continue to operate in the ordinary course of business as "debtor-
in-possession" under the jurisdiction of the Bankruptcy Court and
in accordance with the applicable provisions of the Bankruptcy
Code and the orders of the Bankruptcy Court.
Ambac's bond insurance unit, Ambac Assurance Corp., did not file
for bankruptcy. AAC is being restructured by state regulators in
Wisconsin. AAC is domiciled in Wisconsin and regulated by the
Office of the Commissioner of Insurance of the State of Wisconsin.
The parent company is not regulated by the OCI.
Ambac's consolidated balance sheet -- which includes non-debtor
Ambac Assurance Corp -- showed $30.05 billion in total assets,
$31.47 billion in total liabilities, and a $1.42 billion
stockholders' deficit, at June 30, 2010.
On an unconsolidated basis, Ambac said in a court filing that
it has assets of ($394.5 million) and total liabilities of
$1.6826 billion as of June 30, 2010.
Bank of New York Mellon Corp., as trustee to seven different types
of notes, is listed as the largest unsecured creditor, with claims
totaling about $1.62 billion.
Peter A. Ivanick, Esq., Allison H. Weiss, Esq., and Todd L.
Padnos, Esq., at Dewey & LeBoeuf LLP, serve as the Debtor's
bankruptcy counsel. The Blackstone Group LP is the Debtor's
financial advisor. Kurtzman Carson Consultants LLC is the claims
and notice agent. KPMG LLP is tax consultant to the Debtor.
Anthony Princi, Esq., Gary S. Lee, Esq., and Brett H. Miller,
Esq., at Morrison & Foerster LLP, in New York, serve as counsel
to the Official Committee of Unsecured Creditors. Lazard Freres
& Co. LLC is the Committee's financial advisor.
BLACK CROW: Reports EBITDA of $143,589 in February
--------------------------------------------------
Black Crow Media Group, LLC, et al., reported a pretax loss of
$167,280 on $959,047 of revenue for the month ended Feb. 28, 2011.
Earnings before interest, taxes, depreciation and amortization
were $143,589.
At Feb. 28, 2011, the Debtors' balance sheet showed $37.6 million
in total assets, $47.3 million in total liabilities, and a
stockholders' deficit of $9.7 million.
A copy of the monthly operating report is available for free at:
http://bankrupt.com/misc/blackcrow.feb2011mor.pdf
About Black Crow
Daytona Beach, Florida-based Black Crow Media Group, LLC, owns and
operates 17 FM and 5 AM radio stations in Daytona Beach, Live Oak,
Valdosta, Huntsville, Alabama, and Jackson, Tennessee.
Black Crow filed for Chapter 11 protection (Bankr. M.D. Fla. Case
No. 10-00172) on Jan. 11, 2010, two days before a hearing in U.S.
district court where GECC was seeking appointment of a receiver
following default on term loans and a revolving credit. Mariane
L. Dorris, Esq., and R. Scott Shuker, Esq., at Latham Shuker Eden
& Beaudine LLP, assist the Company in its restructuring effort.
The Company estimated assets of $10 million to $50 million and
debts of $50 million to $100 million in its Chapter 11 petition.
The Company's affiliates -- Black Crow Media, LLC, et al. -- also
filed separate Chapter 11 petitions.
CATHOLIC CHURCH: Wilmington Has $970,503 Cash at Feb. 28
--------------------------------------------------------
Catholic Diocese of Wilmington, Inc.
Balance Sheet
As of February 28, 2011
ASSETS
Cash & Equivalents $970,503
Accounts Receivable (Net) 3,368,878
Payroll Receivable -
Notes Receivable 1,450,331
Advance PIA Distributions 3,562,735
Professional Retainers 545,000
Unrestricted Pooled Investments 93,154,125
Restricted Pooled Investments 33,160,942
Unallocated Audit Fees -
Other Assets 53,743
Real Estate 899,140
Assets Held for Others -
-----------
TOTAL ASSETS $137,165,397
===========
LIABILITIES
Pre-Filing Accounts Payable $136,216
Payroll & Payroll Taxes Payable -
Payroll Garnishments Payable -
Accrued Vacation Time Payable 148,013
Blue Cross/Blue Shield Accrual 38,044
Accounts Payable Capital Campaign 8,778
Bonds Payable 11,000,000
Priest Pension 13,107,216
Lay Pensions 64,366,743
National Collections 389,562
Other Liabilities 861,745
Assets Held for Others -
Pooled Investment Account Claims 83,751,755
-----------
TOTAL LIABILITIES 173,808,072
NET ASSETS
Beginning Year Net Assets (41,816,364)
Net Assets - Prepetition 4,138,712
Net Assets - Postpetition 1,034,977
-----------
TOTAL NET ASSETS (36,642,675)
-----------
TOTAL LIABILITIES & NET ASSETS $137,165,397
===========
Catholic Diocese of Wilmington, Inc.
Statement of Operations
For the month ending February 28, 2011
CDOW Operations
CDOW Revenue
Assessments $236,242
Investment Income 1,731,627
Operational Income 214,205
Designated Income (Education) 924
-----------
Total CDOW Revenue 2,182,998
CDOW Expenses
Payroll & Taxes (209,659)
Medical Payments -
Other Compensation (44,423)
Other Operational (615,334)
Capital Expenditures -
Catholic Schools, Inc. -
Casa San Francisco -
Ministry to the Elderly -
Bankruptcy professionals (731,465)
Neumann Center (5,150)
Vision for the Future
(Tuition Assistance) (234,691)
Owed to Parishes (Cap Campaign) -
-----------
Total CDOW Expenses (1,840,722)
-----------
CDOW NET OPERATING CASH 342,276
Program Services
Annual Appeal Revenue 200,443
Program Services Expenditures
Catholic Youth Organization (8,983)
Catholic Charities (85,858)
High School Appeal Allocation -
The Dialog (50,297)
-----------
Total Program Services Expenses (145,138)
-----------
PROGRAM SERVICES NET CASH 55,305
Benefits & Insurance Program Administration
Medical Program
Premiums Received 808,945
Expenses (700,246)
-----------
Net Medical 108,699
Workers Compensation
Premiums Received -
Expenses (19,714)
-----------
Net Workers Comp (19,714)
Property & Liability Insurance
Premiums Received -
Expenses (351)
-----------
Net P&L Insurance (351)
Pensions
Priests (55,650)
Lay Employees -
-----------
Total Pensions (55,650)
-----------
NET CHANGE IN LIQUIDITY $430,565
===========
Catholic Diocese of Wilmington, Inc.
Schedule of Cash Receipts and Disbursements
For the month ending February 28, 2011
CASH BEGINNING OF PERIOD $1,446,361
RECEIPTS
ASSESSMENTS 236,242
ANNUAL APPEAL 200,443
INSURANCE PREMIUMS 808,945
OTHER OPERATING 215,129
-----------
TOTAL RECEIPTS 1,460,759
DISBURSEMENTS
NET PAYROLL AND TAXES 209,659
INSURANCE PAYMENTS 720,311
OPERATING EXPENSES 624,679
OTHER 379,829
PROFESSIONAL FEES -
U.S. TRUSTEE QUARTERLY FEES -
COURT COSTS -
-----------
TOTAL DISBURSEMENTS 1,934,478
-----------
NET CASH FLOW (473,719)
Transfers out 5,130
Transfers in -
Other transfers/returns/fees -
-----------
CASH - END OF PERIOD $967,512
===========
About the Diocese of Wilmington
The Diocese of Wilmington covers Delaware and the Eastern Shore
of Maryland and serves about 230,000 Catholics. The Delaware
diocese is the seventh Roman Catholic diocese to file for Chapter
11 protection to deal with lawsuits for sexual abuse. Previous
filings were by the dioceses in Spokane, Washington; Portland,
Oregon; Tucson, Arizona; Davenport, Iowa, Fairbanks, Alaska; and
San Diego, California.
The Diocese filed for Chapter 11 on Oct. 18, 2009 (Bankr. D.
Del. Case No. 09-13560). Attorneys at Young Conaway Stargatt
& Taylor, LLP, serve as counsel to the Diocese. The Ramaekers
Group, LLC, is the financial advisor. The petition says assets
range $50 million to $100 million while debts are between
$100 million to $500 million.
The bankruptcy filing automatically stayed eight consecutive abuse
trials scheduled in Delaware scheduled to begin October 19, 2009.
There were 131 cases filed against the Diocese, with 30 scheduled
for trial, as of the bankruptcy filing.
(Catholic Church Bankruptcy News; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000).
GULFSTREAM INT'L: Lead Debtor Posts $676,730 Net Loss in February
-----------------------------------------------------------------
Gulfstream International Group, Inc., and Gulfstream International
Airlines, Inc., filed with the U.S. Bankruptcy Court for the
Southern District of Florida on March 23, 2011, their monthly
operating report for February 2011.
At Feb. 28, 2011, Gulf International Group, Inc., the Lead Debtor,
had funds of $1,470.66, unchanged from the beginning of the
period. The Lead Debtor reported a net loss of $676,730 on $0
operating revenue for the month.
At Feb. 28, 2011, the Lead Debtor had $19.4 million in total
assets, $14.1 million in total liabilities, and stockholders'
equity of $5.3 million.
A complete text of the Lead Debtor's February 2011 monthly report
is available for free at:
http://bankrupt.com/misc/gulfstreamintl.feb2011mor.pdf
Gulfstream International Airlines, Inc., had funds of $727,624 at
Feb. 28, 2011, compared to $607,244 at Jan. 31, 2011. Gulfstream
International Airlines reported a net loss of $524,098 on
$10.2 million of operating revenue for the two months ended
Feb. 28, 2011.
At Feb. 28, 2011, Gulfstream International Airlines had
$4.0 million in total assets, $16.2 million in total liabilities,
and a stockholders' deficit of $12.2 million.
A complete text of Gulfstream International Airlines' January 2011
monthly report is available for free at:
http://bankrupt.com/misc/gia.feb2011mor.pdf
About Gulfstream International
Fort Lauderdale, Florida-based Gulfstream International Airlines
(NYSE Amex: GIA) operated a fleet of turboprop Beechcraft 19000
aircraft, and specialized in providing travelers with access to
niche locations not typically covered by major carriers. GIA
operated more than 150 scheduled flights per day, serving nine
destinations in Florida, 10 destinations in the Bahamas, five
destinations from Continental Airline's hub under the Department
of Transportation's Essential Air Service Program and supports
charter service to Cuba through a services agreement with
Gulfstream Air Charter, Inc., an entity otherwise unrelated to the
Debtors. GIA operated as a Continental Connection carrier, as
well as for United Airlines, Northwest Airlines and Copa Airlines,
through code share agreements. GIA has 620 employees, including
530 working full-time.
Gulfstream International Group, Inc., and its units including
Gulfstream International Airline, Inc., filed for Chapter 11
bankruptcy protection on Nov. 4, 2010 (Bankr. S.D. Fla. Case
No. 10-44131). Brian K. Gart, Esq., at Berger Singerman, P.A.,
serves as the Debtors' bankruptcy counsel. Jetstream Aviation
Capital, LLC and Jetstream Aviation Management, LLC, serve as
financial advisors to the Debtors. Robert A. Schatzman, Esq.,
Steven J. Solomon, Esq., and Frank P. Terzo, Esq., at
GrayRobinson, P.A., in Miami, Florida, serve as counsel to the
Official Committee of Unsecured Creditors.
Gulfstream International Airlines disclosed $15,967,096 in total
assets and $25,243,099 in total liabilities.
As reported by the Troubled Company Reporter on Jan. 25, 2011,
Bankruptcy Judge John K. Olson entered an order authorizing
Gulfstream to sell its business to an affiliate of Chicago-based
Victory Park Capital Advisors LLC. Bill Rochelle, the bankruptcy
columnist for Bloomberg News, reported that Victory Park is buying
Gulfstream in return for financing it provided the Chapter 11
case. In addition, Victory Park is paying Raytheon Aircraft
Credit Co. $18.7 million to buy the 21 Beechcraft 1900 D aircraft
that Gulfstream operates. Raytheon also will be paid arrears on
the aircraft leases. Victory Park will pick up specified expenses
of the Chapter 11 case while setting aside a $600,000 fund to pay
professional fees. Victory Park is also allowing the creation of
a $100,000 fund to finance lawsuits. Mr. Rochelle noted that a
prior bankruptcy court order said there will be a "structured
dismissal" of the Chapter 11 case within 30 days of the completion
of the sale.
Victory Park provided Gulfstream with up to $5 million debtor-in-
possession financing to fund the Chapter 11 case.
GULFSTREAM INT'L: GCI Posts $29,489 Net Loss From January-February
------------------------------------------------------------------
Gulfstream Connection, Inc., filed with the U.S. Bankruptcy Court
for the Southern District of Florida on March 23, 2011, its
monthly operating report for the two months ended Feb. 28, 2011.
The Debtor reported a net loss of $29,489 on $103,788 of operating
revenues for the two months ended Feb. 28, 2011.
At Feb. 28, 2011, the Debtor's balance sheet showed $51,331 in
total assets, $750,271 in total liabilities, and a stockholders'
deficit of $698,940.
A complete text of the February 2011 monthly report is available
for free at http://bankrupt.com/misc/gci.feb2011mor.pdf
About Gulfstream International
Fort Lauderdale, Florida-based Gulfstream International Airlines
(NYSE Amex: GIA) operated a fleet of turboprop Beechcraft 19000
aircraft, and specialized in providing travelers with access to
niche locations not typically covered by major carriers. GIA
operated more than 150 scheduled flights per day, serving nine
destinations in Florida, 10 destinations in the Bahamas, five
destinations from Continental Airline's hub under the Department
of Transportation's Essential Air Service Program and supports
charter service to Cuba through a services agreement with
Gulfstream Air Charter, Inc., an entity otherwise unrelated to the
Debtors. GIA operated as a Continental Connection carrier, as
well as for United Airlines, Northwest Airlines and Copa Airlines,
through code share agreements. GIA has 620 employees, including
530 working full-time.
Gulfstream International Group, Inc., and its units including
Gulfstream International Airline, Inc., filed for Chapter 11
bankruptcy protection on Nov. 4, 2010 (Bankr. S.D. Fla. Case
No. 10-44131). Brian K. Gart, Esq., at Berger Singerman, P.A.,
serves as the Debtors' bankruptcy counsel. Jetstream Aviation
Capital, LLC and Jetstream Aviation Management, LLC, serve as
financial advisors to the Debtors. Robert A. Schatzman, Esq.,
Steven J. Solomon, Esq., and Frank P. Terzo, Esq., at
GrayRobinson, P.A., in Miami, Florida, serve as counsel to the
Official Committee of Unsecured Creditors.
Gulfstream International Airlines disclosed $15,967,096 in total
assets and $25,243,099 in total liabilities.
As reported by the Troubled Company Reporter on Jan. 25, 2011,
Bankruptcy Judge John K. Olson entered an order authorizing
Gulfstream to sell its business to an affiliate of Chicago-based
Victory Park Capital Advisors LLC. Bill Rochelle, the bankruptcy
columnist for Bloomberg News, reported that Victory Park is buying
Gulfstream in return for financing it provided the Chapter 11
case. In addition, Victory Park is paying Raytheon Aircraft
Credit Co. $18.7 million to buy the 21 Beechcraft 1900 D aircraft
that Gulfstream operates. Raytheon also will be paid arrears on
the aircraft leases. Victory Park will pick up specified expenses
of the Chapter 11 case while setting aside a $600,000 fund to pay
professional fees. Victory Park is also allowing the creation of
a $100,000 fund to finance lawsuits. Mr. Rochelle noted that a
prior bankruptcy court order said there will be a "structured
dismissal" of the Chapter 11 case within 30 days of the completion
of the sale.
Victory Park provided Gulfstream with up to $5 million debtor-in-
possession financing to fund the Chapter 11 case.
GULFSTREAM INT'L: GIA Holdings Posts $282,425 Net Loss in February
------------------------------------------------------------------
GIA Holdings Corporation, Inc., filed with the U.S. Bankruptcy
Court for the Southern District of Florida on March 23, 2011, its
monthly operating report for February 2011.
The Debtor reported a net loss of $282,425 on total operating
revenue of ($282,305) for the month.
At Feb. 28, 2011, the Debtor's balance sheet showed
$880,106 million in total assets and stockholders' equity of
$880,106. The Debtor ended the period with cash and cash
equivalents of $1,400.51.
A complete text of the February 2011 monthly report is available
for free at http://bankrupt.com/misc/giaholdings.feb2011mor.pdf
About Gulfstream International
Fort Lauderdale, Florida-based Gulfstream International Airlines
(NYSE Amex: GIA) operated a fleet of turboprop Beechcraft 19000
aircraft, and specialized in providing travelers with access to
niche locations not typically covered by major carriers. GIA
operated more than 150 scheduled flights per day, serving nine
destinations in Florida, 10 destinations in the Bahamas, five
destinations from Continental Airline's hub under the Department
of Transportation's Essential Air Service Program and supports
charter service to Cuba through a services agreement with
Gulfstream Air Charter, Inc., an entity otherwise unrelated to the
Debtors. GIA operated as a Continental Connection carrier, as
well as for United Airlines, Northwest Airlines and Copa Airlines,
through code share agreements. GIA has 620 employees, including
530 working full-time.
Gulfstream International Group, Inc., and its units including
Gulfstream International Airline, Inc., filed for Chapter 11
bankruptcy protection on Nov. 4, 2010 (Bankr. S.D. Fla. Case
No. 10-44131). Brian K. Gart, Esq., at Berger Singerman, P.A.,
serves as the Debtors' bankruptcy counsel. Jetstream Aviation
Capital, LLC and Jetstream Aviation Management, LLC, serve as
financial advisors to the Debtors. Robert A. Schatzman, Esq.,
Steven J. Solomon, Esq., and Frank P. Terzo, Esq., at
GrayRobinson, P.A., in Miami, Florida, serve as counsel to the
Official Committee of Unsecured Creditors.
Gulfstream International Airlines disclosed $15,967,096 in total
assets and $25,243,099 in total liabilities.
As reported by the Troubled Company Reporter on Jan. 25, 2011,
Bankruptcy Judge John K. Olson entered an order authorizing
Gulfstream to sell its business to an affiliate of Chicago-based
Victory Park Capital Advisors LLC. Bill Rochelle, the bankruptcy
columnist for Bloomberg News, reported that Victory Park is buying
Gulfstream in return for financing it provided the Chapter 11
case. In addition, Victory Park is paying Raytheon Aircraft
Credit Co. $18.7 million to buy the 21 Beechcraft 1900 D aircraft
that Gulfstream operates. Raytheon also will be paid arrears on
the aircraft leases. Victory Park will pick up specified expenses
of the Chapter 11 case while setting aside a $600,000 fund to pay
professional fees. Victory Park is also allowing the creation of
a $100,000 fund to finance lawsuits. Mr. Rochelle noted that a
prior bankruptcy court order said there will be a "structured
dismissal" of the Chapter 11 case within 30 days of the completion
of the sale.
Victory Park provided Gulfstream with up to $5 million debtor-in-
possession financing to fund the Chapter 11 case.
GULFSTREAM INT'L: GTA Posts $34,600 Net Loss in February
--------------------------------------------------------
Gulfstream Training Academy, Inc., filed with the U.S. Bankruptcy
Court for the Southern District of Florida on March 23, 2011, its
monthly operating report for February 2011.
The Debtor reported a net loss of $34,600 on $41,261 of revenues
for the month.
At Feb. 28, 2011, the Debtor's balance sheet showed $3.2 million
in total assets, $2.50 million in total liabilities, and
stockholders' equity of $664,662.
A complete text of the initial monthly report is available for
free at http://bankrupt.com/misc/gta.feb2011mor.pdf
About Gulfstream International
Fort Lauderdale, Florida-based Gulfstream International Airlines
(NYSE Amex: GIA) operated a fleet of turboprop Beechcraft 19000
aircraft, and specialized in providing travelers with access to
niche locations not typically covered by major carriers. GIA
operated more than 150 scheduled flights per day, serving nine
destinations in Florida, 10 destinations in the Bahamas, five
destinations from Continental Airline's hub under the Department
of Transportation's Essential Air Service Program and supports
charter service to Cuba through a services agreement with
Gulfstream Air Charter, Inc., an entity otherwise unrelated to the
Debtors. GIA operated as a Continental Connection carrier, as
well as for United Airlines, Northwest Airlines and Copa Airlines,
through code share agreements. GIA has 620 employees, including
530 working full-time.
Gulfstream International Group, Inc., and its units including
Gulfstream International Airline, Inc., filed for Chapter 11
bankruptcy protection on Nov. 4, 2010 (Bankr. S.D. Fla. Case
No. 10-44131). Brian K. Gart, Esq., at Berger Singerman, P.A.,
serves as the Debtors' bankruptcy counsel. Jetstream Aviation
Capital, LLC and Jetstream Aviation Management, LLC, serve as
financial advisors to the Debtors. Robert A. Schatzman, Esq.,
Steven J. Solomon, Esq., and Frank P. Terzo, Esq., at
GrayRobinson, P.A., in Miami, Florida, serve as counsel to the
Official Committee of Unsecured Creditors.
Gulfstream International Airlines disclosed $15,967,096 in total
assets and $25,243,099 in total liabilities.
As reported by the Troubled Company Reporter on Jan. 25, 2011,
Bankruptcy Judge John K. Olson entered an order authorizing
Gulfstream to sell its business to an affiliate of Chicago-based
Victory Park Capital Advisors LLC. Bill Rochelle, the bankruptcy
columnist for Bloomberg News, reported that Victory Park is buying
Gulfstream in return for financing it provided the Chapter 11
case. In addition, Victory Park is paying Raytheon Aircraft
Credit Co. $18.7 million to buy the 21 Beechcraft 1900 D aircraft
that Gulfstream operates. Raytheon also will be paid arrears on
the aircraft leases. Victory Park will pick up specified expenses
of the Chapter 11 case while setting aside a $600,000 fund to pay
professional fees. Victory Park is also allowing the creation of
a $100,000 fund to finance lawsuits. Mr. Rochelle noted that a
prior bankruptcy court order said there will be a "structured
dismissal" of the Chapter 11 case within 30 days of the completion
of the sale.
Victory Park provided Gulfstream with up to $5 million debtor-in-
possession financing to fund the Chapter 11 case.
LACK'S STORES: Ends November 2010 With $18.1 Million Cash
---------------------------------------------------------
Lack's Stores, Incorporated, filed with the U.S. Bankruptcy Court
for the Southern District of Texas on March 24, 2011, its monthly
operating report for the period Nov. 16, 2010, to Nov. 30, 2010.
The Debtor posted a net loss of $833,400 on $11.4 million of
revenues for the period.
At Nov. 30, 2010, the Debtor's balance sheet showed $169.8 million
in total assets, $147.1 million in total liabilities, and
stockholders' equity of $22.7 million. The Debtor ended the
period with $18,082,949 in cash, which includes petty cash held at
stores of roughly $38,943. Payments to professionals totaled
$489,585 for the period.
A copy of the November 2010 monthly operating report is available
for free at http://bankrupt.com/misc/lacksstores.initialmor.pdf
About Lack's Stores
Victoria, Texas-based Lack's Stores, Incorporated, is one of the
largest, independently owned retail furniture chains in the United
States. Lack's Stores is a chain of 36 retail stores and operates
under the trade styles Lacks and Lacks Home Furnishings. The
Company sells a complete line of furnishings for the home
including furniture, bedding, major appliances and home
electronics. The stores are located in South, Central, and West
Texas.
Lack's Stores and its affiliates filed for Chapter 11 bankruptcy
protection (Bankr. S.D. Tex. Lead Case No. 10-60149) on Nov. 16,
2010. The Debtor disclosed $182,023,008 in assets and
$136,813,103 in liabilities as of the Chapter 11 filing.
Katherine D. Grissel, Esq., Michaela Christine Crocker, Esq., and
Richard H. London, Esq., at Vinson & Elkins LLP, serve as counsel
to the Debtor. Huron Consulting Group, Inc., is the financial
advisor.
The Official Committee of Unsecured Creditors formed in the
Chapter 11 case has tapped Platzer, Swergold, Karlin, Levine,
Goldberg & Jaslow, LLP, as bankruptcy counsel; Strong Pipkin
Bissell & Ledyard, L.L.P., as local counsel; and The Conway Mac
Kenzie, Inc., is the financial advisor.
PALM HARBOR: Post $4 Million Net Loss in February 2011
------------------------------------------------------
BankruptcyData.com reports that Palm Harbor Homes filed with the
U.S. Bankruptcy Court a monthly operating report for January 29,
2011 to February 25, 2011. For the period, the Company reported a
net loss of $4 million on $8.3 million in revenue.
About Palm Harbor Homes
Addison, Texas-based Palm Harbor Homes, Inc. --
http://www.palmharbor.com/-- manufactures and markets factory-
built homes. The Company markets nationwide through vertically
integrated operations, encompassing manufactured and modular
housing, financing and insurance.
Palm Harbor, along with affiliates, filed for Chapter 11
bankruptcy protection (Bankr. D. Del. Lead Case No. 10-13850) on
Nov. 29, 2010. It disclosed $321,263,000 in total assets and
$280,343,000 in total debts.
Brian Cejka at Alvarez & Marsal is the Debtors' chief
restructuring officer. Raymond James and Associates, Inc., is the
Debtors' investment banker. Alvarez & Marshal North America, LLC,
is the Debtors' financial advisor. BMC Group, Inc., is the
Debtors' claims agent. Pachulski Stang Ziehl & Jones LLP serves
as counsel to the Official Committee of Unsecured Creditors.
Following a court-approved sale process, Palm Harbor in March 2011
sold its business for $85.25 million to Fleetwood Enterprises
Inc., a venture between Cavco Industries Inc. and a fund advised
by Third Avenue Management LLC. Fleetwood is providing up to
$55 million in secured financing for Palm Harbor's reorganization.
*********
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. Jhonas Dampog, 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 2011. 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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