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/raid1/www/Hosts/bankrupt/TCR_Public/141113.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 13, 2014, Vol. 18, No. 316 Headlines 30DC INC: Announces 10th Annual Online Training Program 87-10 51ST AVENUE: Order Denying Bid to Reopen Case Upheld 1080 UTICA: Voluntary Chapter 11 Case Summary ACCELPATH INC: ASC Recap Owns 9.9% Equity Stake ACCESS CIG: S&P Assigns 'B' Corp. Credit Rating; Outlook Stable AMERICAN AIRLINES: Makes Joint Contract Proposal to Pilots AMERICAN SPECTRUM: Files for Ch 11 to Halt Foreclosure AMR CORP: Dist. Ct. Throws Out "Bremus" Discrimination Lawsuit ANNA PLAZA: Case Summary & 8 Largest Unsecured Creditors APPLIED MINERALS: Raises $12.5 Million From Private Placement ARCHDIOCESE OF MILWAUKEE: 7th Cir. Upheld Order on Doe Claim ATLS ACQUISITION: Time to Remove Actions Extended to Jan. 12 ATLS ACQUISITION: Ace American Files Limited Objection to Sale B/E AEROSPACE: S&P Affirms 'BB+' CCR & Removes From Watch Dev. BAXANO SURGICAL: Case Summary & 20 Largest Unsecured Creditors BOB BROOKS: Korsunky Can't Challenge Cuevas & Greenwald Retention BROADVIEW NETWORKS: Incurs $2.4 Million Net Loss in 3rd Quarter BUCCANEER RESOURCES: Plan Confirmation Hearing on Dec. 8 BUILDERS FIRSTSOURCE: Files Form 10-Q, Posts $8.5MM Q3 Income BVS CONSTRUCTION: Case Summary & 20 Largest Unsecured Creditors C.F. TOURNAMENT: Case Summary & 3 Largest Unsecured Creditors CAIN LITHOGRAPHERS: Case Summary & 11 Largest Unsecured Creditors CIRCLE RESTAURANT: Owner Hopes Ch 11 Would Clean Up Past Issues CULLMAN REGIONAL: Moody's Affirms Ba1 Rating on 2009A Bonds DAHL'S FOODS: Proposes $9.75-Mil. of Financing From AWG DAHL'S FOODS: Proposes to Hire Bradshaw Fowler as Counsel DAHL'S FOODS: Taps Crowe & Dunlevy as Conflicts Counsel DAHL'S FOODS: Proposes Food Partners as Financial Advisor DENDREON CORP: Bankruptcy Filing Not A Surprise, Zacks Equity Says DETROIT, MI: Automakers Pitch In to Aid City's Bankruptcy Exit DOVER DOWNS: Files Form 10-Q, Doubts Going Concern Status EAT AT JOE'S: Identifies Material Weakness in Financial Reporting ERF WIRELESS: Inks $2.5-Mil. Financing Agreement With WISPer EXECUTIVE LIFE: Civil Contempt Order on Stone et al. Upheld EXPO EMART: Case Summary & 14 Largest Unsecured Creditors FANNIE MAE: Reports $3.9 Billion Net Income for Third Quarter FINJAN HOLDINGS: Unit Files $60MM Infringement Suit vs. Palo Alto FIRST SECURITY: Files Form 10-Q, Posts $927,000 Net Income in Q3 FRED FULLER: In Talks With Potential Buyers GMG CAPITAL: Athenian Objects to Disclosure Statement GREEN ENERGY: S&P Retains 'BB-' Rating on Debt After Upsizing GT ADVANCED: Can Tap Rothschild Inc as Financial Advisor GT ADVANCED: Court Sets April 6 as Governmental Claims Bar Date GTA REALTY II: US Trustee Appoints Creditors' Committee HARRON COMMUNICATIONS: Moody's Hikes Unsec. Bonds Rating to B3 HOVNANIAN ENTERPRISES: Unit Inks Indenture With Wilmington Trust I2A TECHNOLOGIES: Files Schedules of Assets and Liabilities INTOWN COMPANIES: Case Summary & 17 Largest Unsecured Creditors ISLAND BREEZE: Defaulted on $1.5MM Loan From SourcePoint J.C. PENNEY: S&P Affirms 'CCC+' Corporate Credit Rating JACKSONVILLE BANCORP: CapGen Capital Holds 42% Equity Stake KIMBALL HILL: Consolidation of Fidelity et al. Claims Upheld KLX INC: S&P Assigns 'BB' Corporate Credit Rating; Outlook Stable LANDDRILL COMPANIES: Debt Owed to Landdrill BC to Be Sold Nov. 21 LDK SOLAR: Incurs $1.6 Billion Net Loss in 2013 LDK SOLAR: Hires Sidley Austin as Attorneys LDK SOLAR: Hires Young Conaway as Co-counsel LIGHTSQUARED INC: Ergen Seeks to Halt Discovery in Harbinger Suit LLRIG TWO: Names Beecher and Conniff as Attorney MCCLATCHY CO: To Repurchase $459.5 Million Senior Notes MEDICURE INC: Dr. Albert D. Friesen to File Early Warning Report MICROVISION INC: Posts $3.3 Million Net Loss in Third Quarter MINERAL PARK: Settles Dispute With Silver Wheaton, et al. MJC AMERICA: Files Amended Schedule F Unsecured Nonpriority Claim MJS LAS CROBAS: FDIC Not a Good Faith Lienholder, Court Says MOLYCORP INC: Incurs $105.2 Million Net Loss in Third Quarter MUD KING: Disclosure Statement Hearing Moved Further to Dec. 8 NATROL INC: Has Approval to Sell Assets to Aurobindo for $132.5MM NAVISTAR INTERNATIONAL: Chief Operating Officer to Retire NEW BRANCHES CHARTER: S&P Lowers Rating on Revenue Bonds to 'BB-' NII HOLDINGS: Amends Schedules of Assets and Liabilities NII HOLDINGS: US Trustee Amends Unsecured Committee Members NII HOLDINGS: Hires McKinsey Recovery as Turnaround Advisor NII HOLDINGS: Taps Ernst & Young for Accounting Services NNN SIENNA: Hearing on Reorganization Plan Today NORTEL NETWORKS: Continues to Burn Cash Despite Not Operating ORECK CORP: KWG Advertising Objects to Confirmation of Plan JOHN D. OIL: Deadline to Pay RBS Extended to Nov. 13 PACIFIC STEEL: Amends Schedules of Assets & Liabilities Anew PACIFIC STEEL: Can File Chapter 11 Plan Until December 6 PANTHER TRAILS: S&P Revises Outlook to Pos. & Affirms 'BB' Rating PROSPECT PARK: Court Sets December 15 as Claims Bar Date QUALITY DISTRIBUTION: Obtains $350-Mil. ABL Credit Facility RADIOSHACK CORP: EVP of Human Resources to Quit REALOGY CORP: Reports $100 Million Third Quarter Net Income RESEARCH SOLUTIONS: Posts $1.1-Mil. Net Income in Sept. 30 Qtr. REYNOSO VINEYARDS: Court Closes Chapter 11 Bankruptcy Case RICHMOND VALLEY: Seeks Court's Final Decree Closing Case RIVERWALK JACKSONVILLE: Needs More Time to Negotiate Asset Sale ROSETTA GENOMICS: Adjourns Annual Meeting for Lack of Quorum ROSETTA RESOURCES: S&P Affirms 'BB-' Corp. Credit Rating SAM WYLY: Ex-Wife Sues to Protect Annual $500,000 Alimony SAM WYLY: Inflated Expenses to Up Bankruptcy Budget, SEC Claims SCIENTIFIC GAMES: Plans to Offer $700MM Senior Secured Notes SEARS HOLDINGS: Moody's Rates Sr. Unsecured Notes Due 2019 Caa3 SERVICE CORP: S&P Raises Corp. Credit Rating to 'BB+' SIFCO SA: U.S. Court Recognizes Brazilian Proceedings STC INC: Wins Initial Recognition Order From Ontario Court SUN BANCORP: Files Form 10-Q, Reports $825K Net Income for Q3 SUN BANCORP: Anthony Morris Named as Chief Banking Officer SUPERVALU INC: Fitch Rates $350MM of 7.75% Unsecured Notes 'B' TRANS CONTINENTAL: Memo Opinion in Suntrust Suit Amended TRAVELPORT LIMITED: Suspending Filing of Reports With SEC TRIGEANT HOLDINGS: Jan. 7 Hearing on Approval of Plan Outline TRIGEANT HOLDINGS: Disclosures OK'd; Jan. 7 Plan Hearing Set TRIGEANT LTD: Taps Greenberg Traurig as General Bankr. Counsel U.S. TELEPACIFIC: S&P Rates $530MM Secured Credit Facilities 'B-' VERITEQ CORP: Signs Securities Purchase Agreement With Magna VIRGINIA BROADBAND: Court Rules on Objections to Ex-CEO Claims WIZARD WORLD: Posts $537,800 Net Income in Third Quarter * Recent Small-Dollar & Individual Chapter 11 Filings ********* 30DC INC: Announces 10th Annual Online Training Program ------------------------------------------------------- 30DC, Inc., announced that its annual 30 day Challenge (The Challenge) is underway for 2014. The Challenge provides comprehensive e-commerce training that was created for both new and experienced web entrepreneurs. It is one of the Internet's longest running online programs, and more then 260,000 people have participated since its inception. The 2014 Challenge program will be delivered live during five weekly training webinars starting on Thursday, October 30, and continuing through November. Those who attend will be able to participate in Q&A sessions. Supporting materials will be available for participants at http://www.digitalsuccessbootcamp.com/livethroughout the length of The Challenge. Topics include: * How to find profitable niches * How to build your email list * How to get traffic * How to make more sales Here is the webinar schedule for this year's Challenge webinar course: Week 1: October 30, 7:30pm EST Week 2: November 6, 7:30pm EST Week 3: November 13, 7:30pm EST Week 4: November 20, 7:30pm EST Week 5: November 27, 7:30 pm EST Those who miss the first week can still join The Challenge, because participants who are unable to attend a class may watch any recorded session later at a private online location. Prospective online entrepreneurs and content creators interested in starting a digital business can sign up for the 2014 Challenge at http://www.digitalsuccessbootcamp.com/land Following the conclusion of the 2014 Challenge, the recorded sessions and supporting material will be packaged into a course titled "How to Build a Successful Digital Business Starting from Scratch" at a cost $497 for the entire program. About 30DC Inc. New York-based 30DC, Inc., provides Internet marketing services and related training to help Internet companies in operating their businesses. It operates in two divisions, 30 Day Challenge and Immediate Edge. 30DC, Inc., posted net income of $58,918 on $2.79 million of total revenue for the year ended June 30, 2014, compared to a net loss of $407,642 on $1.46 million of total revenue for the year ended June 30, 2013. The Company's balance sheet at June 30, 2014, showed $2.64 million in total assets, $1.92 million in total liabilities, and $716,127 in total stockholders' equity. MaloneBailey, LLP, in Houston, Texas, issued a "going concern" qualification on the consolidated financial statements for the year ended June 30, 2014. The independent auditors noted that the Company has accumulated losses from operations since inception and has a working capital deficit as of June 30, 2014. These conditions raise substantial doubt about the Company's ability to continue as a going concern. 87-10 51ST AVENUE: Order Denying Bid to Reopen Case Upheld ---------------------------------------------------------- A New York district court affirmed Bankruptcy Judge Elizabeth S. Stong's Feb. 26, 2014 order denying an application to reopen the Chapter 11 reorganization proceeding of 87-10 51st Avenue Owners Corporation. The District Court entered its order to address the appeal by Robert Valdes Clausell on the Feb. 26 denial order. 87-10 51st Avenue is a co-op building in Elmhurst, New York. Clausell is one of its residents and, at various times, has been one of the building's board members and managers. The case is ROBERT VALDES CLAUSELL, Appellant, v. 87-10 51st AVENUE OWNERS CORP., Appellee, NO. 14 CV 02691 (RJD) (E.D. N.Y.). A copy of the District Court's Memorandum & Order dated Nov. 3, 2014 is available at http://is.gd/8uXm2qfrom Leagle.com. 87-10 51st Avenue filed for Chapter 11 protection on July 5, 2009 (Bankr. E.D.N.Y. Case No. 09-45657). A joint plan of reorganization for the Debtor was filed with the Bankruptcy Court on Aug. 15, 2011, which was eventually confirmed. The Plan provided Clausell with an allowed claim of $60,000, subordinated to all other unsecured creditors. The case was eventually closed in November 2013. Clausell sought a re-opening of the Debtor's case for the limited purpose of having the Debtor pay his claim. In his Nov. 3 ruling, District Judge Raymond J. Dearie opined, "Given that the bankruptcy proceeding was closed, Clausell's claim is small, and reopening the proceeding may be to 'open a can of worms,' the Bankruptcy Court was certainly within its discretion in declining to reopen the bankruptcy case." 87-10 51st Avenue Owners Corp., Debtor, represented by Gerard R. Luckman, Esq. -- GLuckman@SilvermanAcampora.com -- of Silverman Perlstein & Acampora LLP. 1080 UTICA: Voluntary Chapter 11 Case Summary --------------------------------------------- Debtor: 1080 Utica LLC 2502 E. 66th St. Brooklyn, NY 11234 Case No.: 14-45735 Nature of Business: Single Asset Real Estate Chapter 11 Petition Date: November 11, 2014 Court: United States Bankruptcy Court Eastern District of New York (Brooklyn) Judge: Hon. Elizabeth S. Stong Debtor's Counsel: Bruce Weiner, Esq. ROSENBERG MUSSO & WEINER LLP 26 Court Street, Suite 2211 Brooklyn, NY 11242 Tel: (718) 855-6840 Fax: 718-625-1966 Email: rmwlaw@att.net Total Assets: $2.50 million Total Liabilities: $1.26 million The petition was signed by Neville Patterson, managing member. The Debtor did not file a list of its largest unsecured creditors when it filed the petition. ACCELPATH INC: ASC Recap Owns 9.9% Equity Stake ----------------------------------------------- In a Schedule 13G filed with the U.S. Securities and Exchange Commission, ASC Recap LLC and Southridge Partners II LP disclosed that as of Nov. 5, 2014, they beneficially owned 9,619,000 shares of common stock of Accelpath, Inc., representing 9.9 percent of the shares outstanding. A copy of the regulatory filing is available for free at http://is.gd/5eRPj0 About AccelPath Gaithersburg, Md.-based AccelPath has two primary businesses: AccelPath, LLC, and Digipath Solutions, LLC, are in the business of enabling pathology diagnostics and Technest, Inc. (a 49% owned subsidiary) is in the business of the design, research and development, integration, sales and support of three- dimensional imaging devices and systems. John Scrudato CPA expressed substantial doubt about the Company's ability to continue as a going concern, citing that the Company had an accumulated deficit at June 30, 2014, a net loss and net cash used in operating activities for the fiscal year then ended. The Company reported a net loss of $2.51 million on $216,000 of revenues for the fiscal year ended June 30, 2014, compared with a net loss of $1.99 million on $334,616 of sales in the prior year. The Company's balance sheet at June 30, 2014, showed $1.13 million in total assets, $2.75 million in total liabilities and a stockholders' deficit of $1.63 million. ACCESS CIG: S&P Assigns 'B' Corp. Credit Rating; Outlook Stable --------------------------------------------------------------- Standard & Poor's Ratings Services assigned its 'B' corporate credit rating to Livermore, Calif.-based records information management company Access CIG LLC. The outlook is stable. At the same time, S&P assigned its 'B' issue-level rating and '3' recovery rating to the company's proposed $40 million senior secured revolving credit facility due 2019 and $342 million senior secured first-lien loan due 2021. The '3' recovery rating indicates S&P's expectation for meaningful recovery (50%-70%) of principal for debtholders in the event of default. S&P also assigned its 'CCC+' issue-level rating and '6' recovery rating to the company's proposed $152 million senior secured second-lien loan. The '6' recovery rating indicates S&P's expectation for negligible recovery (0%-10%) of principal for debtholders in the event of default. "The 'B' corporate credit rating reflects Access' relatively small size and niche positioning in the records information management (RIM) industry," said Standard & Poor's credit analyst Jawad Hussain. "It also reflects the company's 'highly leveraged' financial risk profile, resulting from the increased debt in the capital structure due Berkshire Partners LLC's acquisition of the company." The stable outlook reflects S&P's view that the company will achieve low- to mid-single-digit percent organic revenue growth with a relatively stable EBITDA margin, and that leverage will remain above 5x over the next two years. Although unlikely over the next two years, S&P could raise the rating if it concludes that leverage will drop below 5x and remain at that level for a sustained period. This could occur if the company continues to grow organic revenue, and if it focuses its cquisitions on targets involving little or no additional debt and that add storage space at a measured pace, provide customer lists that help to broaden its end-market base, and reduce its concentrated exposure to the health care and legal end markets. Although also unlikely over the next two years, S&P could lower the rating if the company starts to experience declines in its revenue and EBITDA margin as a result of faster-than-expected migration to digital storage. Additional rating pressure could result from marketing or pricing pressure from larger competitors in the industry, resulting in the company experiencing negative discretionary cash flow and higher leverage. AMERICAN AIRLINES: Makes Joint Contract Proposal to Pilots ---------------------------------------------------------- Susan Carey, writing for The Wall Street Journal, reported that American Airlines Group Inc. made a proposal to its pilots, promising the highest pay rates among the carrier?s big rivals and removing an unpopular request in an effort to ?build much needed trust into our labor-management relations,? Scott Kirby, the airline?s president said in a letter. According to the report, the Allied Pilots Association, the bargaining agent for about 10,000 American pilots and 5,000 US Airways aviators, said its 22-member board of directors is scheduled to meet for three days this week to evaluate the offer. The joint proposal to the airline's pilots came just two days after the Association of Professional Flight Attendants -- the former American flight attendant union that now also represents the US Airways crew workers -- narrowly rejected a joint labor contract covering its members. As previously reported by The Troubled Company Reporter, citing The Wall Street Journal, workers voted 8,180 for the deal, and 8,196 against. Under a protocol agreed with the airline, the flight attendant deal will now go to federal mediation to settle the terms. About American Airlines AMR Corp. and its subsidiaries including American Airlines filed for bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 11-15463) in Manhattan on Nov. 29, 2011, after failing to secure cost- cutting labor agreements. AMR, previously the world's largest airline prior to mergers by other airlines, is the last of the so- called U.S. legacy airlines to seek court protection from creditors. It was the third largest airline in the United States at the time of the bankruptcy filing. Weil, Gotshal & Manges LLP serves as bankruptcy counsel to the Debtors. Paul Hastings LLP and Debevoise & Plimpton LLP Groom Law Group, Chartered, are on board as special counsel. Rothschild Inc., is the financial advisor. Garden City Group Inc. is the claims and notice agent. Jack Butler, Esq., John Lyons, Esq., Felecia Perlman, Esq., and Jay Goffman, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP serve as counsel to the Official Committee of Unsecured Creditors in AMR's chapter 11 proceedings. Togut, Segal & Segal LLP is the co-counsel for conflicts and other matters; Moelis & Company LLC is the investment banker, and Mesirow Financial Consulting, LLC, is the financial advisor. The Retiree Committee is represented by Jenner & Block LLP's Catherine L. Steege, Esq., Charles B. Sklarsky, Esq., and Marc B. Hankin, Esq. AMR and US Airways Group, Inc., on Feb. 14, 2013, announced a definitive merger agreement under which the companies will combine to create a premier global carrier, which will have an implied combined equity value of approximately $11 billion. The bankruptcy judge on Sept. 12, 2013, confirmed AMR Corp.'s plan to exit bankruptcy through a merger with US Airways. By distributing stock in the merged airlines, the plan is designed to pay all creditors in full, with interest. Judge Sean Lane confirmed the Plan despite the lawsuit filed by the U.S. Department of Justice and several states' attorney general complaining that the merger violates antitrust laws. In November 2013, AMR and the U.S. Justice Department a settlement of the anti-trust suit. The settlements require the airlines to shed 104 slots at Reagan National Airport in Washington and 34 at LaGuardia Airport in New York. AMR stepped out of Chapter 11 protection after its $17 billion merger with US Airways was formally completed on Dec. 9, 2013. * * * The Troubled Company Reporter, on Sep. 2, 2014, reported that Standard & Poor's Ratings Services revised its rating outlooks on American Airlines Group Inc. (AAG) and its subsidiaries American Airlines Inc. and US Airways Inc. to positive from stable. At the same time, S&P affirmed its ratings on the companies, including the 'B' corporate credit ratings. The TCR, on Sept. 22, 2014, reported that Standard & Poor's Ratings Services assigned its 'A (sf)' issue rating to American Airlines Inc.'s series 2014-1 class A pass-through certificates, which have an expected maturity of Oct. 1, 2026. At the same time, S&P assigned its 'BBB- (sf)' issue rating to the company's series 2014-1 class B pass-through certificates, which have an expected maturity of Oct. 1, 2022. The final legal maturity dates will be 18 months after the expected maturity dates. American Airlines is issuing the certificates under a Rule 415 shelf registration. The TCR, on the same day, reported that Moody's Investors Service assigned a B3 (LGD5) rating to the $500 million of new five year unsecured notes that American Airlines Group Inc. ("AAG") offered for sale earlier. Its subsidiaries, American Airlines, Inc. ("AA"), US Airways Group, Inc. and US Airways, Inc. will guarantee AAG's payment obligations under the indenture on a joint and several basis. Moody's Corporate Family rating of AAG is B1 with a stable outlook. The TCR also reported that Fitch Ratings has assigned a rating of 'B+/RR4' to the $500 million unsecured notes to be issued by American Airlines Group Inc. The Issuer Default Ratings (IDR) for American Airlines Group Inc., American Airlines, Inc., US Airways Group, Inc., and US Airways, Inc. remain unchanged at 'B+' with a Stable Outlook. The TCR, on Oct. 16, 2014, reported that Moody's upgraded its ratings assigned to the Series 2001-1 Enhanced Equipment Trust Certificate ("2001 EETCs") of American Airlines, Inc.: A-tranche to B2 from Caa1, B-tranche to Caa3 from Ca and C-tranche to Caa3 from Ca. Moody's also affirmed all of its other ratings assigned to American Airlines Group Inc. ("AAG"), including the B1 Corporate Family and B1-PD Probability of Default ratings, and of American Airlines, Inc. ("AA") and US Airways Group, Inc. and its subsidiaries, US Airways, Inc. and America West Airlines, Inc. The outlook is stable and the Speculative Grade Liquidity Rating of SGL-1 is unchanged. American Airlines Group Inc. guarantees American Airlines obligations of the 2001 EETCs. AMERICAN SPECTRUM: Files for Ch 11 to Halt Foreclosure ------------------------------------------------------ American Spectrum Realty, Inc., filed for Chapter 11 bankruptcy on Sept. 30, 2014, Suzanne Edwards at Houston Business Journal reports, citing James Hurn, the general counsel for the company. American Spectrum says in its annual filing with the U.S. Securities and Exchange Commission that "the action was taken by the company in response to foreclosure proceedings instituted by the secured creditor. The company's management believes that the value of the property known as 2401 Fountainview can be preserved through either a plan of reorganization or orderly marketing and sale of the asset. Although there can be no assurances, the company believes that the subsidiary will continue to operate as a 'debtor in possession' in the ordinary course under the jurisdiction of the Bankruptcy Court." American Spectrum acquired Fountainview property in 2006 and it has significantly increased in value since, Business Journal relates, citing Mr. Hurn. According to Business Journal, American Spectrum was looking toward a sale of the Fountainview property, but the limited partner sought to exert influence under a clause in the two parties' agreement allowing the limited partner to take control under certain circumstances. American Spectrum took advantage of the "automatic stay" that results from a bankruptcy petition to maintain progress toward the sale, Business Journal states. About American Spectrum Realty, Inc. American Spectrum Realty, Inc. -- http://www.asrmanagement.com-- is a real estate investment company that owns, through an operating partnership, interests in office, industrial, retail, self-storage, RV parks, retail, multi-family properties and undeveloped land throughout the United States. American Spectrum Management Group, Inc., a wholly-owned subsidiary of the Company, manages and leases all properties owned by American Spectrum Realty, Inc. as well as for third-party clients totaling 10 million square feet in multiple states. AMR CORP: Dist. Ct. Throws Out "Bremus" Discrimination Lawsuit -------------------------------------------------------------- A Virginia district court dismissed without prejudice the employment discrimination lawsuit brought by Anne Melchor Bremus against AMR Corp., et al., in a Nov. 3, 2014 Opinion and Final Order available at http://is.gd/WKSP7Ffrom Leagle.com. In her Nov. 3 ruling, Chief District Judge Rebecca Beach Smith opined that in this case, it is undisputed that Plaintiff Anne Bremus filed her proof of claim for employment discrimination with the Bankruptcy Court on August 5, 2013, over one year after the Bar Date of July 16, 2012, and that the Plaintiff's employment discrimination claim was not listed on the Schedules filed by the Debtors at the beginning of the bankruptcy proceeding. Thus, under both the terms of the Plan and the Bankruptcy Rules, the Plaintiff's employment discrimination claim is disallowed. The judge held that because the Plaintiff's claim is a Disallowed Claim since it was not filed before the Bar Date, it was discharged upon the Plan Effective Date of July 16, 2012. Accordingly, the District Court grants the Defendants' Motion for Judgment on the Pleadings, without prejudice to the Plaintiff's ability to petition the Bankruptcy Court to accept her untimely proof of claim. The Plaintiff's request for oral argument is also denied. The action is Anne Melchor Bremus, Plaintiff, v. AMR Corp., et al., Defendants, Action No. 2:12CV100 (E.D. Va.). American Eagle Airlines, Inc., Defendant, represented by William McCardell Furr, Esq. -- wfurr@wilsav.com -- of Willcox & Savage PC; and Daniel E Farrington, Esq. -- dfarrington@farringtonlaw.com -- and Lauren Genvert Goetzl, Esq., of The Farrington Law Firm LLC. About American Airlines AMR Corp. and its subsidiaries including American Airlines filed for bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 11-15463) in Manhattan on Nov. 29, 2011, after failing to secure cost- cutting labor agreements. AMR, previously the world's largest airline prior to mergers by other airlines, is the last of the so- called U.S. legacy airlines to seek court protection from creditors. It was the third largest airline in the United States at the time of the bankruptcy filing. Weil, Gotshal & Manges LLP serves as bankruptcy counsel to the Debtors. Paul Hastings LLP and Debevoise & Plimpton LLP Groom Law Group, Chartered, are on board as special counsel. Rothschild Inc., is the financial advisor. Garden City Group Inc. is the claims and notice agent. Jack Butler, Esq., John Lyons, Esq., Felecia Perlman, Esq., and Jay Goffman, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP serve as counsel to the Official Committee of Unsecured Creditors in AMR's chapter 11 proceedings. Togut, Segal & Segal LLP is the co-counsel for conflicts and other matters; Moelis & Company LLC is the investment banker, and Mesirow Financial Consulting, LLC, is the financial advisor. The Retiree Committee is represented by Jenner & Block LLP's Catherine L. Steege, Esq., Charles B. Sklarsky, Esq., and Marc B. Hankin, Esq. AMR and US Airways Group, Inc., on Feb. 14, 2013, announced a definitive merger agreement under which the companies will combine to create a premier global carrier, which will have an implied combined equity value of approximately $11 billion. The bankruptcy judge on Sept. 12, 2013, confirmed AMR Corp.'s plan to exit bankruptcy through a merger with US Airways. By distributing stock in the merged airlines, the plan is designed to pay all creditors in full, with interest. Judge Sean Lane confirmed the Plan despite the lawsuit filed by the U.S. Department of Justice and several states' attorney general complaining that the merger violates antitrust laws. In November 2013, AMR and the U.S. Justice Department a settlement of the anti-trust suit. The settlements require the airlines to shed 104 slots at Reagan National Airport in Washington and 34 at LaGuardia Airport in New York. AMR stepped out of Chapter 11 protection after its $17 billion merger with US Airways was formally completed on Dec. 9, 2013. * * * The Troubled Company Reporter, on Sep. 2, 2014, reported that Standard & Poor's Ratings Services revised its rating outlooks on American Airlines Group Inc. (AAG) and its subsidiaries American Airlines Inc. and US Airways Inc. to positive from stable. At the same time, S&P affirmed its ratings on the companies, including the 'B' corporate credit ratings. The TCR, on Sept. 22, 2014, reported that Standard & Poor's Ratings Services assigned its 'A (sf)' issue rating to American Airlines Inc.'s series 2014-1 class A pass-through certificates, which have an expected maturity of Oct. 1, 2026. At the same time, S&P assigned its 'BBB- (sf)' issue rating to the company's series 2014-1 class B pass-through certificates, which have an expected maturity of Oct. 1, 2022. The final legal maturity dates will be 18 months after the expected maturity dates. American Airlines is issuing the certificates under a Rule 415 shelf registration. The TCR, on the same day, reported that Moody's Investors Service assigned a B3 (LGD5) rating to the $500 million of new five year unsecured notes that American Airlines Group Inc. ("AAG") offered for sale earlier. Its subsidiaries, American Airlines, Inc. ("AA"), US Airways Group, Inc. and US Airways, Inc. will guarantee AAG's payment obligations under the indenture on a joint and several basis. Moody's Corporate Family rating of AAG is B1 with a stable outlook. The TCR also reported that Fitch Ratings has assigned a rating of 'B+/RR4' to the $500 million unsecured notes to be issued by American Airlines Group Inc. The Issuer Default Ratings (IDR) for American Airlines Group Inc., American Airlines, Inc., US Airways Group, Inc., and US Airways, Inc. remain unchanged at 'B+' with a Stable Outlook. ANNA PLAZA: Case Summary & 8 Largest Unsecured Creditors -------------------------------------------------------- Debtor: Anna Plaza, Inc. dba Coyote Den & Coyote Liquor 1708 Pebble Run Drive Allen, TX 75002 Case No.: 14-42392 Chapter 11 Petition Date: November 11, 2014 Court: United States Bankruptcy Court Eastern District of Texas (Sherman) Debtor's Counsel: Eric A. Liepins, Esq. ERIC A. LIEPINS, P.C. 12770 Coit Road, Suite 1100 Dallas, TX 75251 Tel: (972) 991-5591 Email: eric@ealpc.com Total Assets: $1.34 million Total Liabilities: $1.42 million The petition was signed by Ahmed Asad, president. A list of the Debtor's eight largest unsecured creditors is available for free at http://bankrupt.com/misc/txeb14-42392.pdf APPLIED MINERALS: Raises $12.5 Million From Private Placement ------------------------------------------------------------- Applied Minerals, Inc., has closed $12,500,000 of financing through the private placement of $19,848,486 10% PIK Election Convertible Notes due 2018 with a strike price of $0.92. The Notes are mandatorily convertible by the Company after the second anniversary of their issuance if certain conditions are satisfied. Additionally, under certain conditions, the Company has an option to extend the maturity date of the Notes. A more detailed explanation of the terms of the Notes is included in the Current Report on Form 8-K filed with the Securities and Exchange Commission, a copy of which is available at http://is.gd/s7EcwK The purchasers of the Notes included seven institutional and accredited investors, all of whom are existing stakeholders in the Company. No broker was used and no commission was paid as part of the financing. In connection with the transactions, previously issued warrants to purchase 5.0 million shares of Common Stock at $2.00 per share were cancelled by the Company. According to Andre Zeitoun, CEO and president of Applied Minerals, Inc.: "This investment solidifies the Company's financial foundation and provides us a comfortable runway to convert the many commercial opportunities currently in progress. We look forward to updating our shareholders at our upcoming Annual Meeting of Shareholders on December 10th." About Applied Minerals New York City-based Applied Minerals, Inc. (OTC BB: AMNL) is a leading global producer of halloysite clay used in the development of advanced polymer, catalytic, environmental remediation, and controlled release applications. The Company operates the Dragon Mine located in Juab County, Utah, the only commercial source of halloysite clay in the western hemisphere. Halloysite is an aluminosilicate clay that forms naturally occurring nanotubes. Applied Minerals incurred a net loss of $13.06 million in 2013, a net loss of of $9.73 million in 2012 and a net loss of $7.43 million in 2011. As of June 30, 2014, Applied Minerals had $11.46 million in total assets, $12.56 million in total liabilities and a $1.09 million total stockholders' deficiency. Bankruptcy Warning "The Company has had to rely mainly on the proceeds from the sale of stock and convertible debt to fund its operations. If the Company is unable to fund its operations through the commercialization of its minerals at the Dragon Mine, there is no assurance that it will be able to raise funds through the sale of equity or debt. If so, it may have to file bankruptcy," according to the Company's 2013 Annual Report as filed with the U.S. Securities and Exchange Commission. ARCHDIOCESE OF MILWAUKEE: 7th Cir. Upheld Order on Doe Claim ------------------------------------------------------------ The U.S. Court of Appeals for the Seventh Circuit, in a Nov. 5, 2014 order available at http://is.gd/hGN1F7from Leagle.com, affirmed a district court order granting summary judgment in favor of the Archdiocese of Milwaukee on a fraudulent inducement claim filed by victim of clerical abuse. The victim, identified in the Court's opinion as John Doe, was sexually abused as a student at St. John's School for the Deaf in Milwaukee, Wisconsin, in 1974 by Fr. Lawrence Murphy. Doe participated in the Archdiocese of Milwaukee's voluntary mediation program in 2007 and reached an $80,000 settlement for his claims of fraud, negligence and sexually battery. However, about four years later, when the Archdiocese filed for bankruptcy, Doe sought a bankruptcy claim in the bankruptcy case saying he was fraudulently induced into settlement. In its Nov. 5 order, the Seventh Circuit held: "[W]e conclude the statute does not allow the admission of communications made during the mediation here because the disputes in mediation and in Doe's bankruptcy proof of claim are not distinct. As a result, summary judgment in the Archdiocese's favor was proper, as was the resulting order disallowing Doe's claim." The matter is JOHN DOE, Claimant A-282, Appellant, v. ARCHDIOCESE OF MILWAUKEE, Debtor-Appellee, No. 13-3783 (7th Cir.). About Archdiocese of Milwaukee The Diocese of Milwaukee was established on Nov. 28, 1843, and was elevated to an Archdiocese on Feb. 12, 1875, by Pope Pius IX. The region served by the Archdiocese consists of 4,758 square miles in southeast Wisconsin which includes counties Dodge, Fond du Lac, Kenosha, Milwaukee, Ozaukee, Racine, Sheboygan, Walworth, Washington and Waukesha. There are 657,519 registered Catholics in the Region. The Catholic Archdiocese of Milwaukee, in Wisconsin, filed for Chapter 11 bankruptcy protection (Bankr. E.D. Wis. Case No. 11- 20059) on Jan. 4, 2011, to address claims over sexual abuse by priests on minors. The Archdiocese became at least the eighth Roman Catholic diocese in the U.S. to file for bankruptcy to settle claims from current and former parishioners who say they were sexually molested by priests. Daryl L. Diesing, Esq., at Whyte Hirschboeck Dudek S.C., in Milwaukee, Wisconsin, serves as the Archdiocese's counsel. The Official Committee of Unsecured Creditors in the bankruptcy case has retained Pachulski Stang Ziehl & Jones LLP as its counsel, and Howard, Solochek & Weber, S.C., as its local counsel. The Archdiocese estimated assets and debts of $10 million to $50 million in its Chapter 11 petition. ATLS ACQUISITION: Time to Remove Actions Extended to Jan. 12 ------------------------------------------------------------ Hon. Peter J. Walsh of the Bankruptcy Court for the District of Delaware has authorized the extension of ATLS Acquisition, LLC's time to file notices of removal of proceedings to Jan. 12, 2015. Pursuant to the first extension order, the deadline for the Debtors to file notices of removal was extended July 15, 2013. The Court has entered several extension orders after that. As of the Petition Date, the Debtors had civil causes of action and proceedings pending in the courts of various states, including those listed on the Debtors' statements of financial affairs. Since the Petition Date, the attention of the Debtors' personnel and management, has been focused on transitioning into Chapter 11, the Debtors' litigation with Alere, Inc., addressing issues related to the relators' litigation, stabilizing and then improving their business operations, negotiating a settlement with the Centers for Medicare & Medicaid Services, resolving numerous issues with Medco, negotiating a stalking horse purchase agreement for the sale of substantially all of the Debtors' assets, and administering these chapter 11 cases. About Liberty Medical Entities that own diabetics supply provider Liberty Medical led by ATLS Acquisition, LLC, sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 13-10262) on Feb. 15, 2013, just less than three months after a management buy-out and amid a notice by the lender who financed the transaction that it's exercising an option to acquire the business. Liberty has been in business for 22 years serving the needs of both type 1 and type 2 diabetic patients. Liberty is a mail order provider of diabetes testing supplies. In addition to diabetes testing supplies, the Debtors also sell insulin pumps and insulin pump supplies, ostomy, catheter and CPAP supplies and operate a large mail order pharmacy. Liberty operates in seven different locations and has 1,684 employees. Dennis A. Meloro, Esq., at Greenberg Traurig, LLP, serves as the Debtor's counsel; Ernst & Young LLP to provide investment banking advice; and Epiq Bankruptcy Solutions, LLC, as claims and noticing agent for the Clerk of the Bankruptcy Court. An official committee of unsecured creditors has been appointed in the case and consists of LifeScan, Inc., Abbott Laboratories, and Teva Pharmaceuticals USA, Inc. They are represented by Joseph H. Huston Jr., Esq., Maria Aprile Sawczuk, Esq., and Camille C. Bent, Esq., of Stevens & Lee P.C. as well as Bruce Buechler, Esq., S. Jason Teele, Esq., and Nicole Stefanelli, Esq. of Lowenstein Sandler LLP. The Committee has tapped Mesirow Financial Consulting, LLC, as financial advisors. * * * As previously reported by The Troubled Company Reporter, ATLS Acquisition, LLC, et al., filed with the U.S. Bankruptcy Court for the District of Delaware a joint plan of reorganization and an accompanying disclosure statement, which propose to fund a liquidating trust with proceeds from the sale of the Debtors' assets. A full-text copy of the Disclosure Statement dated Aug. 15, 2014, is available at http://is.gd/aLMnQP ATLS ACQUISITION: Ace American Files Limited Objection to Sale -------------------------------------------------------------- Ace American Insurance Company has filed a limited objection to ATLS Acquisition, LLC's motion to auction most of its assets. According to the Asset Purchase Agreement, the Debtors intend to assign certain designated contracts to the Buyer on or after the Closing Date. According to the Schedules attached to the Asset Purchase Agreement, one of ACE's Policies is listed among the contracts that Debtors may seek to assign to the Buyer. The Policies were issued to the Debtors in accordance with ACE's applicable underwriting criteria which require an evaluation of the risks associated with extending insurance coverage to a prospective insured. Because any assignment of the Policies could alter ACE's potential exposure under those contracts, the assignment of any of the Policies without the consent of ACE is prohibited by applicable non-bankruptcy law. Moreover, any and all obligations of Debtors, as insureds under the Policies, must be assumed by Buyer in connection with any assumption and assignment of such policies and ACE reserves its right to assert claims for any presently unliquidated amounts for any obligations due and owing under any Policy assigned to Buyer. ATLS Acquisition LLC intends to launch a sale process where an entity named Liberty Medical Operations Inc. will purchase substantially all of the assets for $46.5 million, absent higher and better offers in an auction. Liberty Medical Operations has agreed to serve as stalking horse bidder, with a deal to buy the assets for $13 million cash and assumed liabilities of $33.5 million, unless outbid at the auction. The stalking bidder will purchase all of the assets except the Debtors' home-delivery pharmacy business line called LMSP Pharmacy, which it intends to sell in a separate transaction. About Liberty Medical Entities that own diabetics supply provider Liberty Medical led by ATLS Acquisition, LLC, sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 13-10262) on Feb. 15, 2013, just less than three months after a management buy-out and amid a notice by the lender who financed the transaction that it's exercising an option to acquire the business. Liberty has been in business for 22 years serving the needs of both type 1 and type 2 diabetic patients. Liberty is a mail order provider of diabetes testing supplies. In addition to diabetes testing supplies, the Debtors also sell insulin pumps and insulin pump supplies, ostomy, catheter and CPAP supplies and operate a large mail order pharmacy. Liberty operates in seven different locations and has 1,684 employees. Dennis A. Meloro, Esq., at Greenberg Traurig, LLP, serves as the Debtor's counsel; Ernst & Young LLP to provide investment banking advice; and Epiq Bankruptcy Solutions, LLC, as claims and noticing agent for the Clerk of the Bankruptcy Court. An official committee of unsecured creditors has been appointed in the case and consists of LifeScan, Inc., Abbott Laboratories, and Teva Pharmaceuticals USA, Inc. They are represented by Joseph H. Huston Jr., Esq., Maria Aprile Sawczuk, Esq., and Camille C. Bent, Esq., of Stevens & Lee P.C. as well as Bruce Buechler, Esq., S. Jason Teele, Esq., and Nicole Stefanelli, Esq. of Lowenstein Sandler LLP. The Committee has tapped Mesirow Financial Consulting, LLC, as financial advisors. * * * As previously reported by The Troubled Company Reporter, ATLS Acquisition, LLC, et al., filed with the U.S. Bankruptcy Court for the District of Delaware a joint plan of reorganization and an accompanying disclosure statement, which propose to fund a liquidating trust with proceeds from the sale of the Debtors' assets. A full-text copy of the Disclosure Statement dated Aug. 15, 2014, is available at http://is.gd/aLMnQP B/E AEROSPACE: S&P Affirms 'BB+' CCR & Removes From Watch Dev. -------------------------------------------------------------- Standard & Poor's Ratings Services said it affirmed it 'BB+' corporate credit rating on B/E Aerospace Inc. S&P also removed the ratings from CreditWatch, where it had placed them with developing implications on June 10, 2014. The outlook is stable. At the same time, S&P assigned a 'BB+' issue-level rating to the company's proposed $2.8 billion secured credit facility (which includes a $600 million revolver and $2.2 billion term loan) with a '3' recovery rating, indicating expectations for meaningful (50%-70%) recovery in a simulated default scenario. S&P plans to withdraw its ratings on the company's existing debt, which will all be repaid, once the transaction closes. "The affirmation reflects our belief that a more moderate financial policy going forward--with less risk to our base-case forecast--is enough to offset lost business diversity and higher leverage initially following the spin-off, which we expect to be completed on Dec. 15, 2014," said Standard & Poor's credit analyst Tatiana Kleiman. B/E Aerospace will use the proceeds from a $750 million dividend from KLX and the new $2.2 billion term loan to refinance existing debt, including $1.95 billion of existing notes and $868 million of revolver borrowings; to pay roughly $200 million in breakage costs tied to retiring the notes early; and to pay related fees and expenses. The stable outlook reflects S&P's belief that earnings growth from strong commercial aerospace market conditions combined with debt reduction and contributions from possible bolt-on acquisitions should result in gradually improving credit metrics, with debt to EBITDA between in 3.2x-3.7x in 2015 from about 4x on a pro forma basis immediately following the spin-off. S&P could lower the rating if debt to EBITDA were to remain above 4x and FFO to debt below 20% for a sustained period, which would mostly likely be caused by a lack debt reduction due to greater- than-expected shareholder rewards combined with unanticipated operational difficulties. Although unlikely over the next year, S&P could raise the rating FFO to debt rises above 35% and debt to EBITDA falls below 2.5x, and management commits to maintaining these ratios for a sustained period. BAXANO SURGICAL: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: Baxano Surgical Inc. 110 Horizon Drive, Suite 230 Raleigh, NC 27615 Case No.: 14-12545 Type of Business: Health Care Chapter 11 Petition Date: November 12, 2014 Court: United States Bankruptcy Court District of Delaware (Delaware) Debtor's Counsel: John D. Demmy, Esq. Joseph H. Huston, Esq. STEVENS & LEE, P.C. 1105 North Market Street, 7th Floor Wilmington, DE 19801 Tel: 302-425-3309 Fax: 610-371-8515 Email: jdd@stevenslee.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $10 million to $50 million The petition was signed by Ken Reali, chief executive officer. List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ Sabby Healthcare Volatility Master Unsecured Loan $5,296,102 Robert Grundstein COO & General Counsel 10 Mountainview Road, Ste. 205 Upper Saddle River, NJ 07458 Health & Human Services OIG Settlement $3,480,489 330 Independence Ave. SW Washington, DC 20201 DAFNA Life Sciences LP Unsecured Loan $2,093,536 10990 Wilshire Blvd., Ste. 1400 Los Angeles, CA 90024 DAFNA Life Science Market Neutral Unsecured Loan $1,932,493 10990 Wilshire Blvd., Ste. 1400 Los Angeles, CA 90024 Sabby Volatility Warrant Unsecured Loan $1,765,366 Master Fun 10 Mountainview Rd., Ste 205 Upper Saddle River NJ 07458 Mountain Manufacturing Tech. Trade Debt $310,812 400 Apollo Dr. Lino Lakes, MN 55014 rms Surgical, Inc. Trade Debt $235,644 Bradshaw Medical Inc. Trade Debt $223,929 PriceWaterhouseCoopers Trade Debt $189,000 Stradling Yocca Carlson Trade Debt $163,108 Sun Life Assurance Company of Canad Trade Debt $153,278 Cretex Companies dba rms Company Trade Debt $153,224 Quality Tech Services, Inc. Trade Debt $139,224 Berg Manufacturing, Inc. Trade Debt $122,988 Pacific Instruments Trade Debt $114,720 Goodwin Procter LLP Trade Debt $106,993 Phillips Plastics Corp. Trade Debt $102,329 IKYN Surgical, LLC Trade Debt $99,000 Arcamed LLC Trade Debt $90,105 Robert Garabedian Employee $87,690 Severance Claim BOB BROOKS: Korsunky Can't Challenge Cuevas & Greenwald Retention ----------------------------------------------------------------- A New York bankruptcy court denied Igor Korsunky's motion to disqualify Cuevas & Greenwald, P.S. as bankruptcy counsel to Debtors Bob and Alexandra Brooks. Bankruptcy Judge Louis A. Scarcella finds the delay in Korsunsky's bringing the Motion for Reconsideration of the C&G Retention Order to be inexcusable. As a result, Korsunsky has waived the right to challenge the Retention Order, the judge opined. Bob and Alexandra Brooks filed for Chapter 11 relief on Feb. 21, 2013 (Bankr. E.D.N.Y. Case No. 13-70840). The case was assigned to former Bankruptcy Judge Dorothy Eisenberg. Igor Korsunsky and his wife, Yelena Korsunskaya are 50% owners of Aqua Shield, Inc., which produces pool enclosures and similar structures. The Brooks own the other 50% of Aqua Shield. The Korsunskys and the Brooks are all directors and officers of Aqua Shield. A copy of the judge's Nov. 5, 2014 Memorandum Decision and Order is available at http://is.gd/HS5B5jfrom Leagle.com. Fridlin & Associates, PC, Elaine Fridlin, Esq., Brooklyn, New York, Attorneys for Igor Korsunsky and Yelena Korsunskaya, Cuevas & Greenwald, P.C., Wayne M. Greenwald, Esq., New York, New York, Office of the United States Trustee, Alfred M. Dimino, Esq., Central Islip, New York, Attorneys for the Debtors. Attorneys for Igor Korsunsky and Yelena Korsunskaya are: FRIDLIN & ASSOCIATES, P.C. Elaine Fridlin, Esq. 1517 Voorhies Avenue, 4th Floor Brooklyn, NY 11235 Tel No: (718)372-4400 Fax No: (718)372-4415 Attorneys for Bob and Alexandra Brooks are: Wayne M. Greenwald, Esq. CUEVAS & GREENWALD, P.C. 475 Park Ave South 26th Flr New York, NY 10016 BROADVIEW NETWORKS: Incurs $2.4 Million Net Loss in 3rd Quarter --------------------------------------------------------------- Broadview Networks Holdings, Inc., filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $2.36 million on $73.72 million of revenues for the three months ended Sept. 30, 2014, compared to a net loss of $1.40 million on $78.58 million of revenues for the same period a year ago. For the nine months ended Sept. 30, 2014, the Company reported a net loss of $6.56 million on $227.74 million of revenues compared to a net loss of $4.28 million on $239.85 million of revenues for the same period last year. As of Sept. 30, 2014, the Company had $206.09 million in total assets, $204.44 million in total liabilities and $1.64 million in total stockholders' equity. A full-text copy of the Form 10-Q is available for free at: http://is.gd/LQldKL About Broadview Networks Rye Brook, N.Y.-based Broadview Networks Holdings, Inc., is a communications and IT solutions provider to small and medium sized business ("SMB") and large business, or enterprise, customers nationwide, with a historical focus on markets across 10 states throughout the Northeast and Mid-Atlantic United States, including the major metropolitan markets of New York, Boston, Philadelphia, Baltimore and Washington, D.C. Broadview Networks reported a net loss of $8.48 million in 2013, a net loss of $35.27 million in 2012 and a net loss of $12.20 million in 2011. * * * In the July 23, 2012, edition of the Troubled Company Reporter, Moody's Investors Service downgraded Broadview Networks Holdings, Inc. Corporate Family Rating (CFR) to Caa3 from Caa2 and the Probability of Default Rating (PDR) to Ca from Caa3 in response to the company's announcement that it has entered into a restructuring support agreement with holders of roughly 70% of its preferred stock and roughly 66-2/3% of its Senior Secured Notes. The company is expected to file a pre-packaged Chapter 11 Plan of Reorganization or complete an out of court exchange offer. As reported by the TCR on July 25, 2012, Standard & Poor's Ratings Services lowered its corporate credit rating on Broadview to 'D' from 'CC'. "This action follows the company's announced extension on its revolving credit facility. We expect to lower the issue- level rating on the notes to 'D' once the company files for bankruptcy, or if it misses the Sept. 1, 2012 maturity payment on the notes," S&P said. BUCCANEER RESOURCES: Plan Confirmation Hearing on Dec. 8 -------------------------------------------------------- U.S. Bankruptcy Judge David R. Jones has conditionally approved Buccaneer Resources, LLC, and its affiliates' First Amended Disclosure Statement and Plan of Reorganization dated Nov. 5, 2014. The date to file objections to the approval of the Disclosure Statement and the confirmation of the Plan is Dec. 2, 2014 at 5:00 p.m., United States Central Time. The final hearing on approval of the Disclosure Statement will be combined with the confirmation hearing to be held on the Plan and is scheduled for Dec. 8, 2014, at 9:00 a.m. Central Time. The Debtors' assets are being marketed for sale with the assistance of a sales agent based on prior authorization from the Bankruptcy Court. The Debtors anticipate that the majority of their oil and gas properties and interests will be sold at an auction to be held prior to the hearing on the Plan. The Plan will not become effective until after the closing of this sale. The proceeds of the sale will be distributed pursuant to a settlement agreement between the Debtors, the Committee and the secured lender to the Debtors approved by the Bankruptcy Court on September 2, 2014. Among other things, a Settlement Payment of $10,000,000 will be funded for the benefit of the Debtors' creditors pursuant to the Plan. The Plan provides for the creation of a Liquidating Trust for the benefit of Holders of Allowed Priority Unsecured Tax Claims, Priority Unsecured Non-Tax Claims, General Unsecured Claims, Subordinated Claims, and Equity Interests. The Plan also proposes the creation of a Post-Confirmation Committee to monitor the administration of the Liquidating Trust. The expenses of collection, prosecution and administration will be paid from the trust assets. Upon the Effective Date of the Plan, the Settlement Payment and all other assets not otherwise sold under the Bid and Sale Motion (which assets shall include all retained claims and Causes of Action) will be transferred to a Liquidating Trust, provided, however, that Coverage Claims and D&O Insurance except insurance proceeds will vest with the Reorganized Debtors, and will not be transferred to the Liquidating Trust. The Liquidating Trust will be vested with and have the sole authority to, among other things, review, initiate, and/or pursue any and all claims and Causes of Action (including Avoidance Actions), file claim objections, and set reserves, and the Debtors will have no responsibility or authority to review, initiate, and/or pursue any and all claims and Causes of Action (including Avoidance Actions). The Liquidating Trust will be administered by the Liquidating Trustee, who will make Distributions provided by the Plan to holders of priority, unsecured and subordinated claims and equity interests. The Liquidating Trustee will collect and liquidate the assets and prosecute the Causes of Action for the benefit of creditors and make distributions to the beneficiaries of the Liquidating Trust. Distributions to holders of administrative claims will be funded from Available Cash Collateral and backstopped by AIX as provided in the 9019 Order, and will be made by the Liquidating Trustee as Disbursing Agent. The Plan is also premised on the substantive consolidation of the Debtors' estates solely for purposes of voting and making distributions. Such substantive consolidation results in combining the creditors of the companies solely for purposes of voting on reorganization plans; and, solely for purposes of making distributions, pooling the assets of, and claims against, the Debtors, and satisfying liabilities from the resultant common fund. Such substantive consolidation does not actually affect, alter or impair the Debtors legal or corporate structure, does not prejudice the Liquidating Trustee's ability to bring Causes of Action as they existed immediately before the Effective Date, and does not alter any insurance coverage provided to the Debtors or their directors or officers prior to the Petition Date. Cook Inlet Has Limited Objection Cook Inlet Region Inc. (CIRI), a creditor and party-in-interest in the bankruptcy case, filed a limited objection to the approval of the Disclosure Statement. Robert L. Paddock, Esq., of Thompson & Knight LLP, representing Cook Inlet Region, states that the parties in this case have had an unreasonably limited opportunity to analyze these critical pleadings, especially in light of the fact that the Debtors have sold a majority of their assets and there doesn't appear to be a need for emergency relief on these issues. After its limited review CIRI notes that: (1) several exhibits to the Disclosure Statement and Plan are not attached (including but not limited to the List of Executory Contracts and Unexpired Leases to be Assumed); and (2) Exhibit A to the Plan purports to retain claims against CIRI in the AOGCC Proceeding and the Alaska State Court Lawsuit when other parts of the Disclosure Statement and Plan provide that all claims in those proceedings are being transferred to AIX. About Buccaneer Energy Buccaneer Resources, LLC, and eight affiliates, including Buccaneer Energy Ltd. sought Chapter 11 bankruptcy protection in Victoria, Texas (Bankr. S.D. Tex. Lead Case No. 14-60041) on May 31, 2014. Buccaneer Resources' primary business is the exploration for and production of oil and natural gas in North America and their operations are focused on both onshore and offshore activities in the Cook Inlet of Alaska as well as the development of offshore projects in the Gulf of Mexico and onshore oil opportunities in Texas and Louisiana. Founded in 2006, Buccaneer Energy, Ltd. is a publicly traded independent oil and gas company listed on the Australian Securities Exchange under the symbol "BCC". Although BCC is an Australian listed entity, the company operates exclusively through its eight U.S. subsidiary debtors, each of which are headquartered in the U.S. and which maintain offices in Houston and Dallas, Texas, and Kenai and Anchorage, Alaska. CEO Curtis Burton was terminated in May 2014. Manning the Debtors' operations is Conway MacKenzie senior managing director John T. Young, who was appointed chief restructuring officer in March 2014. The bankruptcy cases are assigned to Judge David R Jones. The Debtors have sought and obtained an order authorizing joint administration of their Chapter 11 cases. The other debtors are Buccaneer Energy Limited, Buccaneer Energy Holdings, Inc., Buccaneer Alaska Operations, LLC, Buccaneer Alaska, LLC, Kenai Land Ventures, LLC, Buccaneer Alaska Drilling, LLC, Buccaneer Royalties, LLC, and Kenai Drilling, LLC. The Debtors have tapped Robert Andrew Black, Esq., Jason Lee Boland, Esq., Robert Bernard Bruner, and William R Greendyke, Esq., at Fulbright Jaworski LLP as counsel. Norton Rose Fulbright Australia will render legal services related to cross-border insolvency and general corporate and litigation matters to Buccaneer Energy Ltd. Epiq Systems is the claims and notice agent. The U.S. Trustee for Region 7 on June 10, 2014, appointed five creditors to serve on the official committee of unsecured creditors. The Committee retained Greenberg Traurig, LLP as legal counsel to the Committee, and Alvarez & Marsal North America, LLC as financial advisors. BUILDERS FIRSTSOURCE: Files Form 10-Q, Posts $8.5MM Q3 Income ------------------------------------------------------------- Builders FirstSource, Inc., filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing net income of $8.50 million on $434.90 million of sales for the three months ended Sept. 30, 2014, compared to net income of $12.79 million on $402.93 million of sales for the same period in 2013. For the nine months ended Sept. 30, 2014, the Company reported net income of $15.72 million on $1.20 billion of sales compared to a net loss of $47.22 million on $1.12 billion of sales for the same period last year. As of Sept. 30, 2014, the Company had $609.34 million in total assets, $574.10 million in total liabilities and $35.23 million in total stockholders' equity. A full-text copy of the Form 10-Q is available for free at: http://is.gd/wMSBUh About Builders FirstSource Headquartered in Dallas, Texas, Builders FirstSource Inc. -- http://www.bldr.com/-- supplies and manufactures building products for residential new construction. The Company operates in nine states, principally in the southern and eastern United States, and has 55 distribution centers and 51 manufacturing facilities, many of which are located on the same premises as its distribution facilities. Builders Firstsource reported a net loss of $42.69 million on $1.48 billion of sales for the year ended Dec. 31, 2013, as compared with a net loss of $56.85 million on $1.07 billion of sales in 2012. The Company incurred a $64.99 million net loss in 2011. * * * As reported by the TCR on May 15, 2013, Standard & Poor's Ratings Services Inc. said it raised its corporate credit rating on Dallas-based Builders FirstSource to 'B' from 'CCC'. "The upgrade acknowledges U.S.-based building materials manufacturer and distributor Builders FirstSource Inc.'s 'strong' liquidity based on the company's proposed recapitalization," said Standard & Poor's credit analyst James Fielding. In the May 13, 2014, edition of the TCR, Moody's Investors Service upgraded Builders FirstSource, Inc.'s ("BLDR") Corporate Family Rating to B3 from Caa1. The upgrade reflects Moody's expectation that BLDR's operating performance will continue to benefit from improved housing construction, repair and remodeling. BVS CONSTRUCTION: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------------- Debtor: BVS Construction, Inc. P.O. BOx 985 Byran, Tx 77806 Case No.: 14-60932 Chapter 11 Petition Date: November 11, 2014 Court: United States Bankruptcy Court Western District of Texas (Waco) Judge: Hon. Ronald B. King Debtor's Counsel: Eric A. Liepins, Esq. ERIC A. LIEPINS P.C. 12770 Coit Road, Suite 1100 Dallas, TX 75251 Tel: (972) 991-5591 Fax: 972-991-5788 Email: eric@ealpc.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Elaine Palasota, president. A list of the Debtor's 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/txwb14-60932.pdf C.F. TOURNAMENT: Case Summary & 3 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: C.F. Tournament, LLC 3034 S. Durango Dr., #101 Las Vegas, NV 89117 Case No.: 14-17541 Chapter 11 Petition Date: November 11, 2014 Court: United States Bankruptcy Court District of Nevada (Las Vegas) Judge: Hon. August B. Landis Debtor's Counsel: Eric S. Earley, Esq. LAW OFFICE OF ERIC EARLEY, LTD 3034 S. Durango DR. #101 Las Vegas, NV 89117 Tel: (702) 727-8384 Fax: (702) 948-5244 Email: PropertyLawGuy@gmail.com Total Assets: $1.08 million Total Liabilities: $3 million The petition was signed by Ysmael Cerna, manager member. A list of the Debtor's three largest unsecured creditors is available for free at http://bankrupt.com/misc/nvb14-17541.pdf CAIN LITHOGRAPHERS: Case Summary & 11 Largest Unsecured Creditors ----------------------------------------------------------------- Debtor: Cain Lithographers, Inc. 755 Stonewall Street Jackson, MS 39213-7065 Case No.: 14-03646 Chapter 11 Petition Date: November 11, 2014 Court: United States Bankruptcy Court Southern District of Mississippi (Jackson-3 Divisional Office) Judge: Hon. Edward Ellington Debtor's Counsel: Craig M. Geno, Esq. LAW OFFICES OF CRAIG M. GENO, PLLC 587 Highland Colony Pkwy. Ridgeland, MS 39157 Tel: 601 427-0048 Fax: 601-427-0050 Email: cmgeno@cmgenolaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Duke Cain, president. A list of the Debtor's 11 largest unsecured creditors is available for free at http://bankrupt.com/misc/mssb14-03646.pdf CIRCLE RESTAURANT: Owner Hopes Ch 11 Would Clean Up Past Issues --------------------------------------------------------------- Charles Ferruzza at Pitch.com reports that Circle Restaurant Group Kansas, LLC owner Ernesto Peralta is hopeful that the opportunity to reorganize the restaurant under Chapter 11 "gives us a chance to clean up some past issues." Circle Restaurant filed for Chapter 11 bankruptcy protection (Bankr. D. Kans. Case No. 14-22105) on Sept. 4, 2014. Pitch.com relates that the company listed assets of $168,818 and liabilities of $202,942.66. Colin N. Gotham, Esq., at Evans & Mullinix, P.A., serves as the company's bankruptcy counsel. Pitch.com quoted Mr. Peralta as saying, "The Westport location is doing well, and the Leawood restaurant is, too. But by reorganizing and restructuring the company, we can come back stronger than we were before." About Circle Restaurant Circle Restaurant Group Kansas, LLC, is the parent company of the Blanc Burgers + Bottles restaurants in Leawood and Westport. CULLMAN REGIONAL: Moody's Affirms Ba1 Rating on 2009A Bonds ----------------------------------------------------------- Moody's Investors Service has affirmed the Ba1 rating assigned to Cullman Regional Medical Center's (CRMC) Series 2009A bonds. The outlook remains stable. Summary Ratings Rationale Affirmation of the Ba1 rating reflects CRMC's sizeable debt load and small size which is partly offset by very strong market share in its primary service area. The stable outlook incorporates our expectation that the organization will continue its recent track record of stable and good operating performance, but that leverage metrics will remain stressed given the organization's large debt burden. Strengths * CRMC has maintained good operating performance for two consecutive years and is expected to generate results in fiscal year (FY) 2015 on par with recent years. * CRMC is the only hospital in Cullman County and owns all the available bed licenses following the purchase and closure of the only local competitor in 2009. * CRMC achieved sole community provider status under Medicare, which increased Medicare reimbursement by $3.5 million in FY 2013. CRMC will continue to benefit at similar levels going forward. * Unrestricted cash and investments reached a high of $44 million at FYE 2014, representing a multi-year trend of increasing balances. Cash-to-direct debt and days cash on hand both reached peak levels for the organization. * An engagement with Huntsville Healthcare Authority (A1 stable) to manage CRMC's revenue cycle has been very successful, and CRMC's days in accounts receivable declined to 44 days from a high of 80 days at FYE 2010. The contract with Huntsville Hospital has been extended through fall 2015. Challenges * Many patient volume indicators are exhibiting declines, which puts pressure on revenue growth; revenue growth is projected at under 1% in FY 2015. * CRMC has a very challenging payer mix with high exposure to bad debt and self-pay. * CRMC's debt load is very high, resulting in weak leverage metrics, even in years when operating cash flow is high, such as FY 2013 and 2014. This is compounded by operating leases and an unfunded pension liability that increase the organization's comprehensive debt load Outlook The stable outlook reflects Moody's view that operating margins will remain strong, but that absolute cash flow will remain in line with recent years and that leverage metrics will remain stressed. What Could Make The Rating Go UP The rating could be upgraded if CRMC is able to grow operating revenue and absolute operating cash flow so that leverage metrics materially improve. What Could Make The Rating Go DOWN The rating could be downgraded if operating margins deteriorate, or if CRMC issues additional debt. The principal methodology used in this rating was Not-for-Profit Healthcare Rating Methodology published in March 2012. DAHL'S FOODS: Proposes $9.75-Mil. of Financing From AWG ------------------------------------------------------- Foods Inc., doing business as Dahl's Foods, and its affiliated debtors ask the Bankruptcy Court for authority to use cash collateral of, and to obtain up to $9,749,623 of postpetition financing from, Associated Wholesale Grocers Inc. Since 2011, Dahl's has been a member of AWG, and Dahl's is primarily supplied by AWG purchasing approximately 85% of its grocers and supermarket products from AWG which accounts for approximately 65% of its total purchases of goods for sale in its stores. In order to finance its operations prepetition, Dahl's entered into a series of transactions with AWG. As of the Petition Date, (i) Debtors were liable to Lender in an amount in approximate amount of $2,825,994.75, consisting of a term loan with a principal balance of approximately $2,478,994, and an equipment loan with a principal balance of $344,021. AWG has agreed, at the request of Debtors, to allow the Debtors to use cash collateral, and to extend Debtors post-petition financing in order to purchase groceries and supermarket products, obtain additional working capital to fund any cash shortfalls, and to refinance the existing Pre-Petition Debt. The postpetition interest rate is 6% fixed annual percentage rate. In addition, although there are no origination fees, unused line fees or other traditional banking fees, AWG will be entitled to recover its reasonable attorneys' fees and costs. The DIP contemplates a "roll-up" of the AWG Prepetition Term Debt. The maximum loan amount of $9,749,623 consists of these estimated amounts: * New postpetition funding for working capital expenditures (after entry of Interim Financing Order): Up to $1,300,000 * New postpetition funding for working capital expenditures (after entry of Final Financing Order): Up to $1,700,000 * Repayment of Prepetition Principal Balance under Term Note and Equipment Note (only upon entry of a Final Financing Order): $2,824,623 * Restricted use funds (if necessary) for repayment of Guaranty Reimbursement Obligations (only upon entry of a Final Financing Order): $825,000 * Open Account Revolving Credit (payable in the ordinary course of business): $2,500,000 to $3,200,000 The first (up to) $1,300,000 of postpetition funding under the DIP Loan is conditioned upon the entry of the Interim Financing Order. The remainder of the funding under the DIP Loan including the (up to additional) $1,700,000 and any repayment of the Prepetition Credit Agreement Debt is conditioned upon the final approval of the DIP Financing Motion. The DIP facility is secured by a first-priority lien and security interest that secures all obligations owing to AWG. Valid, existing prepetition liens by other creditors -- permitted encumbrances -- continue in their prepetition order of priority. Shortfalls or diminution of value, if any, are granted a super- priority administrative claim. About Dahl's Foods Dahl's Foods owns and operates 10 full-line grocery stores in and around the Des Moines, Iowa area. Since the 1970s, Dahl's has been employee owned pursuant to an ESOP with 97% of the ownership held by the ESOP. The remaining 3% is owned by certain past and present members of management and other former employees. Individual grocery store square footage ranges from 28,820 to 70,000 and averages 55,188. Dahl's employs over 950 people. For the 52 weeks ended June 28, 2014, Dahl's generated sales of $136.8 million. Foods, Inc. dba Dahl's Foods, Dahl's Food Mart, Inc., and Dahl's Holdings I, LLC, sought bankruptcy protection (Bankr. S.D. Iowa Lead Case No. 14-02689) in Des Moines, Iowa on Nov. 9, 2014, with a deal to sell to Associated Wholesale Grocers Inc. for $4.8 million. The Debtors have tapped Bradshaw, Fowler, Proctor & Fairgrave, P.C., as bankruptcy counsel, Crowe & Dunlevy, P.C., as special reorganization and conflicts counsel, and Foods Partners, LLC as financial advisor and investment banker. DAHL'S FOODS: Proposes to Hire Bradshaw Fowler as Counsel --------------------------------------------------------- Foods Inc., doing business as Dahl's Foods, asks the Bankruptcy Court for approval to employ Jeffrey D. Goetz, Esq. and the law firm of Bradshaw, Fowler, Proctor & Fairgrave, P.C., as its general reorganization counsel in the Chapter 11 bankruptcy case at the expense of the estate. It is anticipated that Jeffrey D. Goetz will be Lead Counsel and will primarily provide legal services to the Debtor. All of the attorneys who will appear in this case are duly admitted to practice law in the courts of the State of Iowa and in the United States District Court for the Southern District of Iowa. Jeffrey D. Goetz is Board-Certified in Business Bankruptcy Law by the American Board of Certification. The firm will render services to the Debtor at the firm's regular hourly rates. Paralegals' rats are generally from $50 to $125 per hour; associates' rates are generally from $180 to $250 per hour; and partners' rates vary up to $350 per hour. Goetz's current hourly rate is $350. The firm received $100,000 on Oct. 21, 2014, as a retainer to guaranty payment of its services in the Chapter 11 case. The Debtor and the firm agreed that the firm has earned $37,962 prior to the Petition date, and expended $32.87 in costs prior to the Petition Date. The firm believes that it is a disinterested person as that term is defined in Section 101(14) of the Bankruptcy Code. About Dahl's Foods Dahl's Foods owns and operates 10 full-line grocery stores in and around the Des Moines, Iowa area. Since the 1970s, Dahl's has been employee owned pursuant to an ESOP with 97% of the ownership held by the ESOP. The remaining 3% is owned by certain past and present members of management and other former employees. Individual grocery store square footage ranges from 28,820 to 70,000 and averages 55,188. Dahl's employs over 950 people. For the 52 weeks ended June 28, 2014, Dahl's generated sales of $136.8 million. Foods, Inc. dba Dahl's Foods, Dahl's Food Mart, Inc., and Dahl's Holdings I, LLC, sought bankruptcy protection (Bankr. S.D. Iowa Lead Case No. 14-02689) in Des Moines, Iowa on Nov. 9, 2014, with a deal to sell to Associated Wholesale Grocers Inc. for $4.8 million. The Debtors have tapped Bradshaw, Fowler, Proctor & Fairgrave, P.C., as bankruptcy counsel, Crowe & Dunlevy, P.C., as special reorganization and conflicts counsel, and Foods Partners, LLC as financial advisor and investment banker. DAHL'S FOODS: Taps Crowe & Dunlevy as Conflicts Counsel ------------------------------------------------------- Foods, Inc. dba Dahl's Foods, seeks approval from the Bankruptcy Court to hire Crowe & Dunlevy, A Professional Corporation, as its special reorganization and conflicts counsel. The focus of Crowe & Dunlevy will be to assist the Debtor, in particular, with legal and operational issues that relate directly to grocery and retail issues and operation. In addition, to the extent Bradshaw, Fowler, Proctor & Fairgrave, P.C. ("Bradshaw") (or vice-versa Crowe & Dunlevy) has a conflict or needs specific assistance, the Debtor will employ Crowe & Dunlevy as separate "conflicts" counsel or special counsel for that purpose. Roger A. Stong, William H. Hoch, and Christopher M. Staine will be primarily responsible for Crowe & Dunlevy's Special Reorganization and Conflicts Counsel representation of the Debtor in this matter. Mr. Hoch is a shareholder/director with Crowe & Dunlevy's bankruptcy, creditor's rights and restructuring group and for over 20 years has concentrated in bankruptcy and insolvency business law. Mr. Stong is a shareholder/director with Crowe & Dunlevy and similarly has over 20 years of bankruptcy and insolvency business law experience. Mr. Staine is an associate with Crowe & Dunlevy's bankruptcy, creditor's rights and restructuring group. As set forth in an affidavit filed by Mr. Stong, the Debtor believes that Crowe & Dunlevy does not hold or represent any interest adverse to Debtor or its estate, and that Crowe & Dunlevy is a "disinterested person" as defined in 11 U.S.C. Section 101(14). Crowe & Dunlevy's current hourly rates are: (a) Shareholders: $300-400 (b) Associates: $175-$300 (c) Paraprofessionals: $150-$200 Prior to the Petition Date, Crowe & Dunlevy received $16,000 in fees and $0 in expenses in assisting the Debtors as special bankruptcy and conflicts counsel. The firm has not retained any retainer in this Chapter 11 case. About Dahl's Foods Dahl's Foods owns and operates 10 full-line grocery stores in and around the Des Moines, Iowa area. Since the 1970s, Dahl's has been employee owned pursuant to an ESOP with 97% of the ownership held by the ESOP. The remaining 3% is owned by certain past and present members of management and other former employees. Individual grocery store square footage ranges from 28,820 to 70,000 and averages 55,188. Dahl's employs over 950 people. For the 52 weeks ended June 28, 2014, Dahl's generated sales of $136.8 million. Foods, Inc. dba Dahl's Foods, Dahl's Food Mart, Inc., and Dahl's Holdings I, LLC, sought bankruptcy protection (Bankr. S.D. Iowa Lead Case No. 14-02689) in Des Moines, Iowa on Nov. 9, 2014, with a deal to sell to Associated Wholesale Grocers Inc. for $4.8 million. The Debtors have tapped Bradshaw, Fowler, Proctor & Fairgrave, P.C., as bankruptcy counsel, Crowe & Dunlevy, P.C., as special reorganization and conflicts counsel, and Foods Partners, LLC as financial advisor and investment banker. DAHL'S FOODS: Proposes Food Partners as Financial Advisor --------------------------------------------------------- Foods, Inc., dba Dahl's Foods, is seeking approval to employ The Food Partners, LLC, as its financial advisor and investment banker. Matthew S. Morris, David W. Schoeder, Douglas A. Herman, Jesica A. Mitchell, and The Food Partners, LLC will assist the Debtor and Debtor's General Reorganization Counsel in implementing the reorganization of Debtor's business and financial affairs through liquidation, sale, transfer and/or other disposition of its assets. Food Partners is the nation's preeminent investment banking firm to the food industry. It is anticipated that David W. Schoeder will be the main contact and will primarily provide financial advice to the Debtor. Investment banking services provided by Food Partners to the Debtor will be paid in two steps. First, the Debtor will pay Food Partners a non-refundable post-petition retainer of $12,500 per month. Second, in the event the Debtor is successful in the sale of its business, the Debtor will pay to Food Partners a transaction fee equal to the greater of (i) $50,000 per store sold; or (ii) 2.5% of the total consideration received by the Debtor from the buyers of the stores. Food Partners has not received any prepetition retainer to guaranty payment of its postpetition services and costs in connection with the Debtor's Chapter 11 case. Food Partners believes it is a "disinterested person" as that term is defined in Bankruptcy Code Section 101(14). Food Partners may be reached at: Matthew S. Morris David W. Schoeder Douglas A. Herman Jesica A. Mitchell THE FOOD PARTNERS, LLC 5335 Wisconsin Avenue, Suite 410 Washington, DC 20015 Tel: 202-371-0004 Fax: 202-589-0433 E-mail: msmorris@thefoodpartners.com dschoeder@thefoodpartners.com dherman@thefoodpartners.com jmitchell@thefoodpartners.com About Dahl's Foods Dahl's Foods owns and operates 10 full-line grocery stores in and around the Des Moines, Iowa area. Since the 1970s, Dahl's has been employee owned pursuant to an ESOP with 97% of the ownership held by the ESOP. The remaining 3% is owned by certain past and present members of management and other former employees. Individual grocery store square footage ranges from 28,820 to 70,000 and averages 55,188. Dahl's employs over 950 people. For the 52 weeks ended June 28, 2014, Dahl's generated sales of $136.8 million. Foods, Inc. dba Dahl's Foods, Dahl's Food Mart, Inc., and Dahl's Holdings I, LLC, sought bankruptcy protection (Bankr. S.D. Iowa Lead Case No. 14-02689) in Des Moines, Iowa on Nov. 9, 2014, with a deal to sell to Associated Wholesale Grocers Inc. for $4.8 million. The Debtors have tapped Bradshaw, Fowler, Proctor & Fairgrave, P.C., as bankruptcy counsel, Crowe & Dunlevy, P.C., as special reorganization and conflicts counsel, and Foods Partners, LLC as financial advisor and investment banker. DENDREON CORP: Bankruptcy Filing Not A Surprise, Zacks Equity Says ------------------------------------------------------------------ Zacks Equity Research reports that Dendreon Corporation's Chapter 11 bankruptcy filing did not come as a surprise, as the company had warned in August that it may not be able to repay or refinance its notes due 2016. According to Zosia Chustecka at Medscape, Dendreon has been in trouble for some time. Medscape recalls that in September 2011, Dendreon's smaller than anticipated revenues led to the layoff of 500 employees and stock fraud lawsuit against company executives. The New York Times relates that since that year, Dendreon has changed chief executives twice and cut its staff to about 700, about half the peak level. The New York Times says that Dendreon lost $22 million in the most recent quarter. Dendreon, according to Zacks Equity, reported a net loss of 14 cents per share in the third quarter of 2014, which was narrower than the Zacks Consensus Estimate of a loss of 18 cents and the year-ago loss of 44 cents. Zacks Equity states that Provenge, Dendreon's sole marketed drug, was launched in the U.S. in May 2010 and was initially expected to generate blockbuster revenues, but it continued to disappoint. According to Seattle Times, Dendreon said it does not expect to raise any additional money until the restructuring is worked out as it has about $100 million in cash and investments to support operations through the bankruptcy process. Dendreon shares dropped almost 81% after the bankruptcy filing, Zacks Equity reports. About Dendreon Headquartered in Seattle, Washington, Dendreon Corporation -- http://www.dendreon.com/-- is a biotechnology company whose mission is to target cancer and transform lives through the discovery, development, commercialization and manufacturing of novel therapeutics. The Company applies its expertise in antigen identification, engineering and cell processing to produce active cellular immunotherapy (ACI) product candidates designed to stimulate an immune response in a variety of tumor types. Dendreon's first product, PROVENGE (sipuleucel-T), was approved by the U.S. Food and Drug Administration (FDA) in April 2010. Dendreon is exploring the application of additional ACI product candidates and small molecules for the potential treatment of a variety of cancers. Dendreon is traded on the NASDAQ Global Market under the symbol DNDN. Dendreon (Bankr. D. Del. Case No. 14-12515) and its affiliates Dendreon Holdings, LLC (Bankr. D. Del. Case No. 14-12516), Dendreon Distribution, LLC (Bankr. D. Del. Case No. 14-12517) and Dendreon Manufacturing, LLC (Bankr. D. Del. Case No. 14-12518) filed for Chapter 11 bankruptcy protection on Nov. 10, 2014. The petitions were signed by Gregory R. Cox, interim chief finanical officer and treasurer. The Debtors disclosed $364.6 million in total assets and $664.4 million in total liabilities. Judge Peter J. Walsh presides over the cases. DETROIT, MI: Automakers Pitch In to Aid City's Bankruptcy Exit -------------------------------------------------------------- Alisa Priddle at the Detroit Free Press reports that Detroit's automakers have pledged to help the city get out of bankruptcy by giving big amounts to the Detroit Institute of Arts. According to Free Press, Ford, General Motors and Chrysler collectively contributed $26 million over 20 years to the DIA, while Toyota donated $1 million. The report adds that some suppliers, including $2.2 million from a group of Japanese companies, also aided the cause. Free Press states that the automotive commitments became part of the $100 million the DIA was raising as its part of the fund- raising effort that was the centerpiece of Detroit's bankruptcy restructuring plan. According to the report, foundations, the state, and the DIA created an $816 million fund used to lessen cuts to city employee pensions and save Detroit's art from being sold to pay creditors. About City of Detroit, Michigan The City of Detroit, Michigan, weighed down by more than $18 billion in accrued obligations, sought municipal bankruptcy protection on July 18, 2013, by filing a voluntary Chapter 9 petition (Bankr. E.D. Mich. Case No. 13-53846). Detroit estimated more than $1 billion in both assets and debts. Kevyn Orr, who was appointed in March 2013 as Detroit's emergency manager, signed the petition. Detroit is represented by lawyers at Jones Day and Miller Canfield Paddock and Stone PLC. Michigan Governor Rick Snyder authorized the bankruptcy filing. The filing makes Detroit the largest American city to seek bankruptcy, in terms of population and the size of the debts and liabilities involved. The City's $18 billion in debt includes $5.85 billion in special revenue obligations, $6.4 billion in post-employment benefits, $3.5 billion for underfunded pensions, $1.13 billion on secured and unsecured general obligations, and $1.43 billion on pension- related debt, according to a court filing. Debt service consumes 42.5 percent of revenue. The city has 100,000 creditors and 20,000 retirees. The Hon. Steven Rhodes oversees the bankruptcy case. Detroit is represented by David G. Heiman, Esq., and Heather Lennox, Esq., at Jones Day, in Cleveland, Ohio; Bruce Bennett, Esq., at Jones Day, in Los Angeles, California; and Jonathan S. Green, Esq., and Stephen S. LaPlante, Esq., at Miller Canfield Paddock and Stone PLC, in Detroit, Michigan. Sharon Levine, Esq., at Lowenstein Sandler LLP, is representing the American Federation of State, County and Municipal Employees and the International Union. Babette Ceccotti, Esq., at Cohen, Weiss & Simon LLP, is representing the United Automobile, Aerospace and Agricultural Implement Workers of America. A nine-member official committee of retired workers was appointed in the case. The Retirees' Committee is represented by Dentons US LLP. Lazard Freres & Co. LLC serves as the Retiree Committee's financial advisor. * * * Standard & Poor's Ratings Services, on Sept. 5, 2014, raised its ratings on five bond CUSIPs of Detroit's outstanding sewerage disposal and water supply revenue bonds to 'BBB+' from 'D' as S&P indicated it would do in its report dated Aug. 28, 2014. The outlook is stable. The Troubled Company Reporter, on Oct. 10, 2014, reported that Moody's Investors Service has placed the City of Detroit's (MI) Certificates of Participation (COPs) Ca rating on review for possible downgrade. This action follows the recent settlement announcement between the city and Syncora, which insures a portion of the city's outstanding COPs. The settlement includes a cash payment, as well as extended and optional stakes in city owned assets. Moody's said it is likely that the recovery for creditors will be below 35% and as a result consistent with a C rating. The review will be resolved if and when a settlement with FGIC, the other main insurer of the city's COPs liabilities, is made public. DOVER DOWNS: Files Form 10-Q, Doubts Going Concern Status --------------------------------------------------------- Dover Downs Gaming & Entertainment, Inc., filed with the U.S. Securities and Exchange Commission its quarterly report for the third quarter of 2014. As of Sept. 30, 2014, the Company had total outstanding long-term debt of $40,500,000 under its credit facility. The facility is classified as a current liability as of Sept. 30, 2014, in the Company's consolidated balance sheets as the facility expires on Sept. 30, 2015. The Company said it will seek to refinance or extend the maturity of this obligation prior to its expiration date; however, there is no assurance that the Company will be able to execute this refinancing or extension or, if the Company is able to refinance or extend this obligation, that the terms of such refinancing or extension would be as favorable as the terms of our existing credit facility. These factors, according to the Company, raise substantial doubt about its ability to continue as a going concern. The Company reported net earnings of $699,000 on $47.98 million of revenues for the three months ended Sept. 30, 2014, compared to net earnings of $223,000 on $50.07 million of revenues for the same period last year. For the nine months ended Sept. 30, 2014, the Company reported a net loss of $190,000 on $139.67 million of revenues compared to net earnings of $431,000 on $150.63 million of revenues for the same period during the prior year. The Company's balance sheet at Sept. 30, 2014, showed $185.15 million in total assets, $68.83 million in total liabilities and $116.31 million in total stockholders' equity. A copy of the Form 10-Q is available for free at: http://is.gd/mGTzvE About Dover Downs Owned by Dover Downs Gaming & Entertainment, Inc. (NYSE: DDE), Dover Downs Hotel & Casino(R) is a gaming and entertainment resort destination in the Mid-Atlantic region. Gaming operations consist of approximately 2,500 slots and a full complement of table games including poker. The AAA-rated Four Diamond hotel is Delaware's largest with 500 luxurious rooms/suites and amenities including a full-service spa/salon, concert hall and 41,500 sq. ft. of multi- use event space. Live, world-class harness racing is featured November through April, and horse racing is simulcast year-round. Professional football parlay betting is accepted during the season. Additional property amenities include multiple restaurants from fine dining to casual fare, bars/lounges and retail shops. For more information, please visit www.doverdowns.com. As reported by the TCR on Oct. 31, 2014, Dover Downs was notified by the New York Stock Exchange that the average closing price of our common stock had fallen below $1.00 per share over a period of 30 consecutive trading days, which is the minimum average share price for continued listing on the NYSE under the NYSE Listed Company Manual. KPMG LLP, in Philadelphia, Pennsylvania, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2013. The independent accounting firm noted that the Company's credit facility expires on June 17, 2014, and at present no agreement has been reached to refinance the debt, which raises substantial doubt about the Company's ability to continue as a going concern. EAT AT JOE'S: Identifies Material Weakness in Financial Reporting ----------------------------------------------------------------- Eat at Joe's, Ltd., disclosed in an amended regulatory filing with the U.S. Securities and Exchange Commission that a material weakness in the Company's internal control over financial reporting relating to its accounting for the acquisition of assets held for sale could adversely affect its ability to report its financial condition, results of operations or cash flows accurately and on a timely basis. The Company said its management assessed the effectiveness of the Company's internal control over ?nancial reporting as of Dec. 31, 2013. This assessment is based on the criteria for effective internal control described in Internal Control - Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on its assessment, management concluded that its internal control over ?nancial reporting as of Dec. 31, 2013, was ineffective. "In connection with our assessment of internal control over ?nancial reporting under Section 404 of the Sarbanes--Oxley Act of 2002 for ?scal year ended December 31, 2013 we identi?ed a material weakness in our internal control over ?nancial reporting relating to our accounting for the acquisition and cost of certain assets held for sale including stocks of third party companies," the Company said in the filing. Speci?cally the Company discovered errors that led management to conclude that control de?ciencies existed related to the Company's financial reporting and accounting for the recording and calculation of the cost basis for stocks acquired by the Company and held for sale. In prior periods, the Company received stock issued by third party companies in exchange for long-term debt that the Company could, at its discretion, liquidate to raise operating capital. The Company failed to record this stock and related debt acquired upon acquisition. In addition, when recorded the Company valued these shares based on the value of the original consideration paid for such shares rather than the fair market value of the shares on the date they were received by the Company, as required under US generally accepted accounting principles. As a result, the Company filed with the SEC an amended annual report for the year ended Dec. 31, 2013, quarterly report for the period ended March 31, 2014, and quarterly report for the period ended June 30, 2014, solely to amend Item 4. Controls and Procedures. All other items remain unchanged. Copies of the amended Reports are available for free at: http://is.gd/oB2z1n http://is.gd/vNfTT8 http://is.gd/rykVKv About Eat at Joe's Scarsdale, N.Y.-based Eat at Joe's, Ltd., presently owns and operates one theme restaurant located in Philadelphia, Pennsylvania. Eat at Joe's reported a net loss of $1.38 million in 2013 following net income of $2.84 million on in 2012. The Company's balance sheet at June 30, 2014, showed $18.67 million in total assets, $10.78 million in total liabilities, and stockholders' equity of $7.9 million. Robison, Hill & Co., in Salt Lake City, Utah, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2013. The independent auditors noted that the Company has suffered recurring losses from operations raising substantial doubt about its ability to continue as a going concern. ERF WIRELESS: Inks $2.5-Mil. Financing Agreement With WISPer ------------------------------------------------------------ ERF Wireless Inc. announced that as of Nov. 3, 2014, it has received the initial funding under a new non-convertible funding program and has begun the repayment and termination of a number of its outstanding convertible debentures. As of Nov. 5, 2014, it had completed the repayment and termination of the first two convertible debentures and is in negotiations with multiple others that are expected to be repaid pending final negotiated agreements. Dr. H. Dean Cubley, CEO of ERF wireless Inc., commented, "The repayment of our obligations under the existing convertible debentures is a major objective of the company and is one part of our broader objective to restructure the ERF Wireless balance sheet to eliminate and consolidate debt and to position the company for continued expansion and growth of our oil and gas wireless broadband service business. We initiated this overall balance sheet restructuring process with the sale of our non-core residential wireless networks and the repayment and retirement of our senior lender. Now, having completed that part of our objective, we are focusing our efforts on the elimination and repayment of convertible debt that has been a major impediment to our stock value and the market cap of the company." On Oct. 31, 2014, the Company completed a Master Lease finance Agreement with WISPer Ventures Leasing, LLC, to obtain up to $2,500,000 of a three-year debt financing in a series of financing tranches issued at the Company's request in minimum increments of $250,000 each. Under the terms of the agreement, WISPer Ventures Leasing, LLC will hold a Senior Lender position and will file a UCC1 on all of the Company's assets not already encumbered. About ERF Wireless Based in League City, Texas, ERF Wireless, Inc., provides secure, high-capacity wireless products and services to a broad spectrum of customers in primarily underserved, rural and suburban parts of the United States. ERF Wireless reported a net loss attributable to the Company of $7.26 million in 2013, a net loss attributable to the Company of $4.81 million in 2012 and a net loss attributable to the Company of $3.37 million in 2011. The Company's balance sheet at June 30, 2014, showed $3.59 million in total assets, $11.69 million in total liabilities and a $8.10 million total shareholders' deficit. EXECUTIVE LIFE: Civil Contempt Order on Stone et al. Upheld ----------------------------------------------------------- In the proceeding pursuant to Insurance Law article 74 to liquidate the assets of insolvent insurer EXECUTIVE LIFE INSURANCE COMPANY OF NEW YORK, objectors Jeanice Dolan, Keith Vincent, and Daniel A. Malin, and their attorneys, non-parties Edward S. Stone, Roger P. Christiansen, and Karra J. Porter, appealed a Jan. 29, 2013 order of the Supreme Court, Nassau County (Galasso, J.). The Jan. 29 order granted the petitioner's motion to hold non-parties Edward S. Stone, Roger P. Christiansen, and Karra J. Porter in civil contempt for violation of the anti-suit injunctive provisions set forth in three orders of the same court (Kutner, J., McGinity, J., and Galasso, J., respectively) dated April 23, 1991, December 16, 1992, and April 16, 2012, respectively. In a Nov. 5, 2014 order available at http://is.gd/5GSnOefrom Leagle.com, the Appellate Division of the Supreme Court of New York, Second Department, dismissed the Appeal of Jeanice Dolan et al. as they are not aggrieved by the portion of the Jan. 29 order appealed from. The Appellate Court also affirmed the Jan. 29 order from the Nassau County court as appealed by Edward Stone et al. Non-party appellants Edward Stone et al. are attorneys for several objectors to the liquidation of Executive Life Insurance. In its Nov. 5, 2014 order, the Appellate Court opined that the petitioner established that the non-party appellants violated clear and unequivocal orders of the court, of which they had knowledge, by commencing a class action in the U.S. District Court for the Southern District of New York against the Superintendent of Financial Services of the State of New York, in his capacity as receiver for Executive Life. The appeals case is IN THE MATTER OF EXECUTIVE LIFE INSURANCE COMPANY OF NEW YORK. SUPERINTENDENT OF FINANCIAL SERVICES, FORMERLY KNOWN AS SUPERINTENDENT OF INSURANCE OF STATE OF NEW YORK, Respondent; AND JEANICE DOLAN, ET AL., Appellants, 2013- 02335, INDEX NO. 8023/91, (N.Y. App. Div.) Sidley Austin LLP, New York, N.Y. (Steven M. Bierman, Esq. -- sbierman@sidley.com -- Martin B. Jackson, Esq. -- mjackson@sidley.com -- and Eamon P. Joyce, Esq. -- ejoyce@sidley.com -- of counsel, for respondent. EXPO EMART: Case Summary & 14 Largest Unsecured Creditors --------------------------------------------------------- Debtor: Expo EMart LLC 1101 University Boulevard Takoma Park, MD 20912 Case No.: 14-27343 Chapter 11 Petition Date: November 11, 2014 Court: United States Bankruptcy Court District of Maryland (Greenbelt) Judge: Hon. Thomas J. Catliota Debtor's Counsel: David E. Lynn, Esq. DAVID E. LYNN, P.C. 15245 Shady Grove Road, Suite 465 North Rockville, MD 20850 Tel: (301) 255-0100 Fax: (301) 255-0101 Email: davidlynn@verizon.net Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Suzanne Delyon, president. A list of the Debtor's 14 largest unsecured creditors is available for free at http://bankrupt.com/misc/mdb14-27343.pdf FANNIE MAE: Reports $3.9 Billion Net Income for Third Quarter ------------------------------------------------------------- The Federal National Mortgage Association filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing net income of $3.90 billion on $28.35 billion of total interest income for the three months ended Sept. 30, 2014, compared to net income of $8.74 billion on $29.06 billion of total interest income for the same period in 2013. For the nine months ended Sept. 30, 2014, Fannie Mae reported net income of $12.89 billion on $86.27 billion of total interest income compared to net income of $77.52 billion on $88.22 billion of total interest income for the same period last year. As of Sept. 30, 2014, Fannie Mae had $3.23 trillion in total assets, $3.22 trillion in total liabilities and $6.39 billion in total equity. "This was another solid quarter, with the company reporting strong financial results and continuing to provide much needed liquidity to the market," said Timothy J. Mayopoulos, president and chief executive officer. "We continue to build a strong book of business based on appropriate standards. We are committed to being our customers' most valued business partner and delivering the products, services, and tools our customers need to serve the entire market confidently, efficiently, and profitably." A full-text copy of the Form 10-Q is available for free at: http://is.gd/2bXzhV About Fannie Mae Federal National Mortgage Association, aka Fannie Mae, is a government-sponsored enterprise that was chartered by U.S. Congress in 1938 to support liquidity, stability and affordability in the secondary mortgage market, where existing mortgage-related assets are purchased and sold. The U.S. Department of the Treasury owns Fannie Mae's senior preferred stock and a warrant to purchase 79.9 percent of its common stock, and Treasury has made a commitment under a senior preferred stock purchase agreement to provide Fannie with funds under specified conditions to maintain a positive net worth. Fannie Mae reported net income of $83.98 billion on $117.54 billion of total interest income for the year ended Dec. 31, 2013, as compared with net income of $17.22 billion on $129.19 billion of total interest income for the year ended Dec. 31, 2012. FINJAN HOLDINGS: Unit Files $60MM Infringement Suit vs. Palo Alto ----------------------------------------------------------------- Finjan Holdings, Inc., disclosed that its subsidiary, Finjan, Inc., has filed a patent infringement lawsuit against Palo Alto Networks, Inc., alleging infringement of Finjan patents relating to endpoint, web, and network security technologies. The Complaint (3:14-cv-04908, docket No. 1), filed Nov. 4, 2014, in the U.S. District Court for the Northern District of California, alleges that Palo Alto Networks' products and services infringe ten Finjan patents. In particular, Finjan is asserting infringement of U.S. Patent Nos. 6,804,780; 6,965,968; 7,058,822; 7,418,731; 7,613,918; 7,613,926; 7,647,633; 8,141,154; 8,225,408; and 8,677,494. Finjan is seeking a jury trial; entry of judgment of infringement of certain claims of each of the asserted patents by Palo Alto Networks; preliminary and permanent injunction against Palo Alto Networks and its officers, among others, from infringing the asserted patents; damages of no less than $60 million to the extent proven at trial; enhanced damages, up to three times the amount of the damages, for willful disregard of our patent rights; and reasonable attorneys' fees and costs. "Finjan is committed to protecting the value of its patent portfolio for those who have respected our legitimate patent rights and have taken a patent license or invested in our business. We made numerous attempts for more than a year to have Palo Alto Networks join us in meaningful, good faith discussions to no avail," stated Julie Mar-Spinola, Finjan's VP of Legal Operations. "We provided Palo Alto Networks with exemplary detailed claim charts on several of the asserted patents, establishing how they each read on their products, and offered to provide additional claim charts under an NDA Standstill Agreement. Despite our best efforts, Palo Alto Networks chose to ignore the opportunity to have a business discussion and instead chose litigation." Finjan has also filed patent infringement lawsuits against Blue Coat, FireEye, Proofpoint, Sophos and Symantec relating to, collectively, more than 20 patents in the Finjan portfolio. Finjan said it will continue to provide timely updates of important events relating to these matters on an ongoing basis. The court dockets for the foregoing cases are publicly available on the Public Access to Court Electronic Records (PACER) Web site, http://www.pacer.gov,which is operated by the Administrative Office of the U.S. Courts. About Finjan Finjan, formerly known as Converted Organics, is a leading online security and technology company which owns a portfolio of patents, related to software that proactively detects malicious code and thereby protects end-users from identity and data theft, spyware, malware, phishing, trojans and other online threats. Founded in 1997, Finjan is one of the first companies to develop and patent technology and software that is capable of detecting previously unknown and emerging threats on a real-time, behavior-based basis, in contrast to signature-based methods of intercepting only known threats to computers, which were previously standard in the online security industry. Finjan Holdings reported a net loss of $6.07 million in 2013 following net income of $50.98 million in 2012. The Company reported a net loss of $2 million on $175,000 of revenues for the three months ended March 31, 2014. The Company's balance sheet at June 30, 2014, showed $24.51 million in total assets, $2.05 million in total liabilities and $22.46 million in total stockholders' equity. FIRST SECURITY: Files Form 10-Q, Posts $927,000 Net Income in Q3 ---------------------------------------------------------------- First Security Group, Inc., filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing net income of $927,000 on $9.78 million of total interest income for the three months ended Sept. 30, 2014, compared to a net loss of $1.43 million on $8.17 million of total interest income for the same period in 2013. The Company also reported net income of $1.49 million on $26.95 million of total interest income for the nine months ended Sept. 30, 2014, compared to a net loss of $12.80 million on $23.76 million of total interest income for the same period last year. As of Sept. 30, 2014, the Company had $1.02 billion in total assets, $939.91 million in total liabilities and $87.96 million in total shareholders' equity. A full-text copy of the Form 10-Q is available for free at: http://is.gd/PqeDrH About First Security Group First Security Group, Inc. is a bank holding company headquartered in Chattanooga, Tennessee. Founded in 1999, First Security's community bank subsidiary, FSGBank, N.A. has 26 full-service banking offices along the interstate corridors of eastern and middle Tennessee and northern Georgia. FSGBank -- http://www.FSGBank.com/-- provides retail and commercial banking services, trust and investment management, mortgage banking, financial planning, internet banking. First Security incurred a net loss of $13.44 million in 2013, a net loss of $37.57 million in 2012 and a net loss of $23.06 million in 2011. FRED FULLER: In Talks With Potential Buyers ------------------------------------------- Fred Fuller Oil & Propane Co., Inc., is seeking a buyer, which would allow deliveries to move with little effect on clients, Jeremy Blackman at Concord Monitor reports, citing state and company officials. "The two most active buyers are industry participants and they are New England industry participants. I have also been fielding calls from as far away as California," Concord Monitor quoted William S. Gannon, Esq., at William S. Gannon PLLC, the attorney for the Debtor, as saying. Concord Monitor relates that Mr. Gannon assured clients that they will receive their oil as usual throughout the reorganization and even as the Debtor talks with potential buyers. According to the report, Senior Assistant Attorney General James Boffetti said, "We're working to make sure consumers get heard and that they are not hurt in this process. Concord Monitor says that the Debtor struggled to meet customer orders last winter, and in September 2014, oil supplier Sprague Energy Corp. sued the Debtor for failure to pay $4.7 million, the largest debt to a single creditor listed in the bankruptcy filing. The report states that in October 2014, the Debtor sued FairPoint Communications, claiming that problems with its telephone system led to the delivery disaster. According to the report, company officials also blamed severe weather and crushing demand. The Debtor's bankruptcy filing, Concord Monitor repjorts, postponed a Nov. 11, 2014 sexual harassment trial involving former workers Nichole Wilkins and Beverly Mulcahey, who claim that Fred Fuller made unsolicited physical advances and then fired Ms. Mulcahey when Ms. Wilkins -- who later resigned -- filed a lawsuit in 2013. About Fred Fuller Oil Hudson, New Hampshire-based Fred Fuller Oil & Propane Co., Inc., the largest heating oil company in the state, serving about 30,000 New Hampshire customers. It sought Chapter 11 protection (Bankr. D. N.H. Case No. 14-12188) in Manchester, New Hampshire, on Nov. 10, 2014, without stating a reason. It estimated $10 million to $50 million in assets and debt. The Nov. 10, 2014 court filing show that the Debtor has about $13.5 million in debts. Jeremy Blackman at Concord Monitor reports reports that the Debtor owes more than $276,000 to Harvard Pilgrim Health Care and nearly $94,000 to the city of Laconia and the towns of Hudson, Milford and Northfield. According to Concord Monitor, the bankruptcy case the bankruptcy case was initially filed on Nov. 10 under Chapter 7, but that has since been terminated and replaced with a Chapter 11 restructuring proposal. William S. Gannon, Esq., at William S. Gannon PLLC, in Manchester, serves as counsel to the Debtor. Fredrick J. Fuller, the president, signed the bankruptcy petition. GMG CAPITAL: Athenian Objects to Disclosure Statement ----------------------------------------------------- Athenian Venture Partners I, L.P. and Athenian Venture Partners II, L.P., have filed an objection to the Disclosure Statement and Plan Support Agreement filed by GMG Capital Partners III, L.P. and GMG Capital Partners III Companion Fund, L.P. Alan D. Halperin, Esq., of Halperin Battaglie Raicht LLP, representing Atheninan, states, "There has been very little transparency in these bankruptcy cases?and the Disclosure Statement does not help matters. Under no circumstances could the Disclosure Statement be understood to contain "adequate information" about the Plan required by the Bankruptcy Code. In fact, the Disclosure Statement is woefully inadequate with respect to a number of important, and in several cases, troubling items, including but not limited to the Plan Debtors' alleged valuation of their assets, the Plan Debtors' proposed financing of the Plan, the unconditional and non-consensual third party releases, the allowance of insider claims that the Debtors' have admitted to this Court have no documentation, and numerous self-serving and incorrect statements concerning the Debtors' past practices and history. Compounding matters is the Debtors' PSA Motion?for which they request a 6% break up fee for a prospective buyer that has not signed definitive documentation, does not have a set purchase price, and for which the Debtors' are not proposing to run any sale process. In fact, the Debtors do not propose to submit the actual sale documents to the interested parties or this Court until only five days prior to the as voting and only four days prior to the relevant objection deadline, which is so grossly inadequate that it fails to provide proper notice and violates due process." If the grossly inadequate disclosure and ill-conceived motion for a break up fee were not enough, Mr. Halperin submits that the Plan is likely patently unconfirmable on its face. He says even if a disclosure statement does contain "adequate information," as such term is defined in section 1125(a) of the Bankruptcy Code, it should not be approved and distributed to voting parties if the underlying plan is not confirmable. First, the Plan contains non- consensual third-party releases for the benefit of the Debtors and the Debtors' insiders?for any and all acts including, apparently, intentional fraud and willful misconduct. These releases are being extracted from all creditors and equity holders for no consideration?this provision alone likely renders this "plan" completely unconfirmable. Other problems with the Plan include, among other things, (a) the allowance of the insider-controlled Management Company Claims (claims for which the Debtors have admitted no documentation exists), (b) the retention of equity interests by the insiders and the Debtors' limited partners (among others) while certain unsecured claims are left impaired, (c) the general retention of control over the Debtor entities by the insiders post-confirmation (reducing to zero the probability that the reorganized Plan Debtors would investigate and pursue avoidance actions against the insiders), and (d) a wholly inadequate reserve of only six months for the "Athenian Payment Stream" with no indication of how the Debtors will not be in default quickly after this six month period runs (assuming that the proposed structure of the Plan was even viable). Mr. Halperin believes that the Disclosure Statement and PSA Motion, in their current forms, cannot be approved by this Court at this time. Too much information is still missing and the Debtors' proposed plan is still too dependent on unsupported (and likely unsupportable) claims of future value. The proposed Plan is yet another of the Debtors' (and their insiders') continuing brazen attempts to gamble with creditor recoveries for the benefit of equity. This should not be allowed to continue. The Limited Partner Group has also filed an objection to the Disclosure Statement filed by GMG Capital Partners III, L.P. and GMG Capital Partners III Companion Fund, L.P. Arthur Steinberg, Esq., of King & Spalding LLP, states that the Disclosure Statement should not be approved because (a) it does not have "adequate information" within the meaning of Section 1125 of the Bankruptcy Code, and (b) it describes a Plan that cannot be confirmed because it contains, among other things, improper releases to Insiders. According to Mr. Steinberg, the releases in the Plan are not in the best interest of the Estates because no consideration is offered by the Insiders for their releases. The Insiders breached the Partnership Agreement in multiple ways and on multiple occasions. One only need look at the Athenian Transaction and the improper incurrence of the Athenian recourse Note to illustrate why the Insiders are not entitled to releases. Mr. Steinberg believes that the Debtors' Plan has no chance of succeeding in its present form. Instead of going down this "dead end" track, the parties should be directed to try and negotiate a consensual resolution of all disputes. Prior to the bankruptcy, Athenian and the Debtors each incurred over $1 million litigating against each other with respect to an ultra vires transaction of the Partnerships. Since the bankruptcy, the litigation gamesmanship between them has continued. Now that the Limited Partner Group has become aware of (a) what transpired between the General Partner and Athenian, and (b) other transgressions of the General Partner, there is a real risk that further and expanded litigation may ensue between the three parties. The parties in interest should not go through that wasteful litigation exercise in the Plan/Disclosure Statement context, or otherwise, if it can be avoided. In short, this case is a prime candidate for mediation. Limited Partner Group is represented by: KING & SPALDING LLP Arthur Steinberg, Esq. 1185 Avenue of the Americas New York, New York 10036 Tel: (212) 556-2100 Fax: (212) 556-2222 The Plan As reported in the TCR on Oct. 14, 2014, GMG Capital Partners III, L.P. and GMG Capital Partners III Companion Fund, L.P., filed with the United States Bankruptcy Court for the Southern District of New York on October 3, 2014, a Joint Chapter 11 Plan of Reorganization for GMG Capital Partners III, L.P., et al. The Plan will be implemented through the Debtors' sale of certain of its equity interests in Lancope Inc. pursuant to an asset purchase agreement. Proceeds of the sale will be used to pay distributions set forth in the Plan. The sale will be free and clear of any lien, claim interest or encumbrance with any lien, claim, interest or encumbrance to attach to the proceeds of the sale. Subject to any lien or encumbrance, the proceeds of the sale and the remainder of the Debtors' Assets will be vested in the Reorganized Debtors for Distribution in accordance with the terms of the Plan. Non-Debtor affiliate GMG IIIA may also contribute to the Distribution with the proceeds of the sale of certain of its beneficial interests in Lancope to Second Alpha Partners, LLC. A copy of the Plan is available for free at: http://bankrupt.com/misc/GMGCAPITAL_Plan_10032014.pdf About GMG Capital Partners GMG Capital Partners III, L.P., and GMG Capital Partners III Companion Fund, L.P., sought Chapter 11 protection (Bankr. S.D.N.Y. Case No. 13-12937 and 13-12939) in Manhattan on Sept. 10, 2013. Stuart M. Bernstein oversees the Debtor's case. Olshan Frome Wolosky LLP represents the Debtor its Chapter 11 Bankruptcy Case. GMG Capital Partners III disclosed $21,696,757 in assets and $7,877,498 in liabilities as of the Chapter 11 filing. GREEN ENERGY: S&P Retains 'BB-' Rating on Debt After Upsizing ------------------------------------------------------------- Standard & Poor's Ratings Services said it left unchanged its preliminary 'BB-' debt issue ratings on Green Energy Partners/Stonewall LLC's $500 million senior secured term loan B facility due 2021 and $71 million letter of credit and working capital facility due 2019. The outlook is stable. The preliminary recovery rating of '2' on both issues is unchanged. The '2' indicates a "substantial" (70% to 90%) recovery of principal if a default occurs; S&P expects the recovery to be at the higher end of the spectrum. The rating reflects the project's construction phase and operational phase risk profiles, which are the same in S&P's view. S&P's assessment of construction phase risk is driven by the use of a technology that is considered a modified proven design along with reliance on facility drawdowns during construction. "The operations phase risk profile is driven by expectation of reasonable performance, coupled with significant market, financial performance, and refinance risks," said Standard & Poor's credit analyst Michael Ferguson. "We assess the construction phase stand-alone credit profile as 'bb'. This assessment represents several key factors. Although similar technology is currently being installed in other Panda sites, we believe there is some risk because this is a unique site and because the F Series turbines are more commonly used in plants where ramping up and down is more frequent, while this Panda site is expected to have comparatively high capacity factors. The engineering, procurement, and construction contract with two qualified contractors largely mitigates the risk of cost overruns. This came to bear in Panda's Temple and Sherman projects, which had the same contractors and similar contracts," S&P noted. The stable outlook reflects S&P's expectation that the project will be completed in early 2017 as scheduled, and with minimal cost overruns. S&P expects that the project will then earn DSCRs of about 2.4x on average during the term loan B period. This hinges on continued stability in capacity payments and a robust energy market in PJM, as well as availability of about 93%. This should yield leverage of $331 per kW at maturity, leaving the project with moderate refinancing risk. S&P would consider lowering the rating during construction if change orders were to become substantial, leading to considerable cost overruns, or if delays in the construction process resulted in an inability to meet the terms of the HRCO agreement for a prolonged period of time. Thereafter, lower ratings could stem from a weaker energy and capacity market or performance that is beneath S&P's expectations, possibly resulting in minimum DSCRS under 1.4x or leverage exceeding $400 per kW at maturity. If market conditions improve significantly in PJM, such that minimum DSCRs during the term loan B period exceed 2.1x, S&P could consider higher ratings. Furthermore, the strengthening of existing HRCOs could lead to lower market risk, and possibly higher ratings. GT ADVANCED: Can Tap Rothschild Inc as Financial Advisor -------------------------------------------------------- GT Advanced Technologies Inc. and its debtor affiliates sought and obtained permission from the Bankruptcy Court to employ Rothschild Inc. as their financial advisor and investment banker nunc pro tunc to Oct. 6, 2014. Rothschild Inc. is expected to provide, among other things, these services: a. Identify and/or initiate potential transactions and/or new capital raises; b. Review and analyze the Debtors' assets and operating and financial strategies of the Debtors; and c. Evaluate the Debtors' debt capacity in light of their projected cash flow and assist in the determination of an appropriate capital structure for the Debtors. The Debtors will pay for Rothschild's services in this manner: (a) Monthly Fee: $175,000 per month for the first two months and beginning in December 2014, $200,000 per month. (b) Completion Fee: $5,000,000, payable once, on confirmation and effectiveness of a Plan or closing of a Transaction. (c) New Capital Fee: Payable on the closing of each commitment of a new capital raise, (i) 0.75% of the face amount of senior secured debt raised, including debtor-in-possession financing; (ii) 1.5% of the face amount of junior secured debt raised; (iii) 4.0% of the face amount of unsecured debt raised; and (iv) 5.0% of equity capital, capital convertible into equity or hybrid capital raised. (d) Monthly Fee Credit: Half of Monthly Fees paid in excess of $1,000,000 will be credited once against any Completion or New Capital Fee, up to the amount of such fee. (e) Expenses: The Debtors will reimburse Rothschild for its reasonable expenses, including, without limitation, the reasonable fees, disbursements, and other charges of Rothschild's counsel (without the requirement that the retention of such counsel be approved by the Bankruptcy Court). The Debtors have agreed that Rothschild's reimbursable counsel fees may include, without limitation, fees incurred in representing Rothschild's interests during the pendency and following the conclusion of these chapter 11 cases, such as may be incurred in connection with the Firm's retention and payment. The Debtors assert that the Fee and Expense Structure is comparable to those generally charged by financial advisors and investment bankers of similar stature to Rothschild for comparable engagements, and reflects a balance between a fixed, monthly fee and a contingency amount, which are tied to the consummation and closing of the transactions and services contemplated by the Debtors and Rothschild in their Engagement Letter. Neil Augustine, a member of Rothschild Inc., assures the Court that his Firm is a "disinterested person" as the term is defined under Section 101(14) of the Bankruptcy Code. The Firm can be reached at: ROTHSCHILD INC. Neil A. Augustine Executive Vice Chairman 1252 Avenue of the Americas New York, NY 10020 Tel No: (212)403-5411 Fax No: (212)403-5454 Email: neil.augustine@rothschild.com About GT Advanced Technologies GT Advanced Technologies Inc. -- http://www.gtat.com/-- is a diversified technology company producing advanced materials and innovative crystal growth equipment for the global consumer electronics, power electronics, solar and LED industries. Headquartered in Merrimack, New Hampshire, GT is a publicly held corporation whose stock is traded on NASDAQ under the ticker symbol "GTAT." As of June 28, 2014, the GTAT Group's unaudited and consolidated financial statements reflected assets totaling $1.5 billion and liabilities totaling $1.3 billion. As of Sept. 29, 2014, GTAT had $85 million in cash, $84 million of which is unencumbered. On Oct. 6, 2014, GT Advanced Technologies and 8 affiliates filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. D. N.H. Lead Case No. 14-11916). GT says that it has sought bankruptcy protection due to a "severe liquidity crisis." The Debtors have tapped Nixon Peabody LLP and Paul Hastings LLP as attorneys; Rothschild Inc. as financial advisor and investment banker; and Kurtzman Carson Consultants LLC as claims and noticing agent. * * * The deadline for the Debtors to file their schedules of assets and liabilities and statement of financial affairs has been extended through Nov. 20, 2014. GT ADVANCED: Court Sets April 6 as Governmental Claims Bar Date --------------------------------------------------------------- The Hon. Henry J. Boroff of the U.S. Bankruptcy Court for the District of New Hampshire granted GT Advanced Technologies Inc. and its debtor affiliates' request to set 5:00 p.m. E.T. on the date that is 45 days after the date on which the Debtors file and serve their Schedules of Assets and Liabilities as the deadline for persons or entities to file a proof of claim for prepetition liability against the Debtors. As noted in the Oct. 14, 2014 edition of The Troubled Company Reporter, Judge Boroff has extended until Nov. 20, 2014, the time by which GT Advanced Technologies et al. must file their Schedules of Assets and Liabilities. In his Bar Date Motion Order, the judge also ruled that creditors Apple Inc. and Platypus Development LLC (collectively, the "Apple Parties") will not be required to file any Proof of Claim prior to the date that is 45 days after any termination of that certain Adequate Protection and Settlement Agreement, dated October 21, 2014, by and among the Apple Parties and the Debtors. Judge Boroff has also established April 6, 2015, at 5:00 p.m. (E.T.) as the deadline for all governmental units to file a proof of claim in the Debtors' cases. About GT Advanced Technologies GT Advanced Technologies Inc. -- http://www.gtat.com/-- is a diversified technology company producing advanced materials and innovative crystal growth equipment for the global consumer electronics, power electronics, solar and LED industries. Headquartered in Merrimack, New Hampshire, GT is a publicly held corporation whose stock is traded on NASDAQ under the ticker symbol "GTAT." As of June 28, 2014, the GTAT Group's unaudited and consolidated financial statements reflected assets totaling $1.5 billion and liabilities totaling $1.3 billion. As of Sept. 29, 2014, GTAT had $85 million in cash, $84 million of which is unencumbered. On Oct. 6, 2014, GT Advanced Technologies and 8 affiliates filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. D. N.H. Lead Case No. 14-11916). GT says that it has sought bankruptcy protection due to a "severe liquidity crisis." The Debtors have tapped Nixon Peabody LLP and Paul Hastings LLP as attorneys; Rothschild Inc. as financial advisor and investment banker; and Kurtzman Carson Consultants LLC as claims and noticing agent. * * * The deadline for the Debtors to file their schedules of assets and liabilities and statement of financial affairs has been extended through Nov. 20, 2014. GTA REALTY II: US Trustee Appoints Creditors' Committee ------------------------------------------------------- The U.S. Trustee for Region 2 appointed three creditors of GTA Realty II, LLC: to serve on the official committee of unsecured creditors. The members of the unsecured creditors' committee are: (1) Anne F. Bivona 235 Cambridge Oaks Park Ridge, NJ 07656 Phone: (612) 217-5629 Email: AFB711@yahoo.com (2) Margaux Levy 488 Madison Avenue #1100 New York, NY 10022 Phone: (212) 486-9494 (ext 111) (917) 751-0249 Fax: (212) 486-0701 Email: mlevyesq@att.net (3) Harrison Morgan Investments, LLC One Columbus Place Apt. 518A New York, New York 10019 Attention: Gadi Nachum Phone: (201) 233-2118 Email: gnac5@msn.com Official creditors' committees have the right to employ legal and accounting professionals and financial advisors, at a debtor's expense. They may investigate the debtor's business and financial affairs. Importantly, official committees serve as fiduciaries to the general population of creditors they represent. About GTA Realty II GTA Realty II, LLC, sought bankruptcy protection (Bankr. S.D.N.Y. Case No. 14-12840) in Manhattan on Oct. 8, 2014. In its schedules of assets and liabilities, the Debtor disclosed $18 million in total assets and $7.26 million in liabilities. The Debtor owns real property at 184 Prince Street, New York, valued at $6 million and a property at 287 Bleeker Street, New York, valued at $12 million. U.S. Bank National Association, owed $5.3 million, holds a first mortgage on the property. The case is assigned to Judge Robert E. Gerber. The Debtor is represented by Mark A. Frankel, Esq., at Backenroth Frankel & Krinsky, LLP, in New York. The Debtor's Chapter 11 plan and disclosure statement are due Feb. 5, 2015. The initial case conference is due by Nov. 7, 2014. The Debtor has tapped Backenroth Frankel & Krinsky, LLP as counsel. HARRON COMMUNICATIONS: Moody's Hikes Unsec. Bonds Rating to B3 -------------------------------------------------------------- Moody's Investors Service upgraded the senior unsecured bonds of Harron Communications, L.P. to B3 from Caa1 and the first lien credit facility of MetroCast Cablevision of New Hampshire, LLC, a subsidiary of Harron, to Ba2 from Ba3. The action follows the repayment of first lien debt with asset sale proceeds. Moody's also affirmed Harron's B2 Corporate Family Rating (CFR) and its B2-PD Probability of Default Rating. A summary of the action follows. Harron Communications, LP Senior Unsecured Bonds, Upgraded to B3 from Caa1 Corporate Family Rating, Affirmed B2 Probability of Default Rating, Affirmed B2-PD Outlook, Remains Stable MetroCast Cablevision of New Hampshire, LLC First Lien Credit Facility Upgraded to Ba2 from Ba3 Outlook, Remains Stable Ratings Rationale The repayment of first lien debt reduces the debt senior to bondholders, resulting in a one notch upgrade in accordance with Moody's Loss Given Default (LGD) methodology. At the same time, first lien lenders now comprise a smaller portion of the overall debt capital structure while maintaining the same amount of junior debt capital cushion, and Moody's also upgraded the bank debt in accordance with the LGD methodology. The transaction favorably reduces leverage to about 4.9 times debt-to-EBITDA from about 5.7 times and will also lower interest expense. Moody's believes the purchase multiple exceeded Harron's leverage. However, the sale reduces Harron's already small scale. High leverage poses risk for a small company operating in a competitive environment, driving Harron's B2 CFR. However, Moody's expects the combination of EBITDA growth and debt repayment to lower leverage over the next couple years. Also, the solid EBITDA margin (approximately 40%) and good liquidity profile, including expectations for continued positive free cash flow, enable the company to better manage the leverage. Harron currently benefits from a relatively more benign competitive environment than many of its cable peers, with no FiOS overlap and minimal telco video overbuild in Connecticut, positioning it well for continued high speed data subscriber gains and upside from its nascent commercial business. Nevertheless, the maturity of the core video product and formidable competition from direct broadcast satellite operators constrains overall growth prospects, given that video still comprises over half of revenue and almost half of EBITDA. Headquartered in Frazer, PA, Harron Communications, L.P. houses the cable operating assets of Gans Communications, LP, MetroCast Cablevision of New Hampshire, LLC, MetroCast Communications of Connecticut, LLC, and MetroCast Communications of Mississippi, LLC. Prior to the asset sale, its cable operating companies served approximately 156,000 video subscribers, 148,000 high speed data subscribers, and 50,000 telephone subscribers across New Hampshire, Maine, Connecticut, Maryland, Virginia, Mississippi, Alabama, Pennsylvania, and South Carolina. The Harron family and management own the company. The principal methodology used in these ratings was Global Pay Television - Cable and Direct-to-Home Satellite Operators published in April 2013. Other methodologies used include Loss Given Default for Speculative-Grade Non-Financial Companies in the U.S., Canada and EMEA published in June 2009. HOVNANIAN ENTERPRISES: Unit Inks Indenture With Wilmington Trust ---------------------------------------------------------------- K. Hovnanian Enterprises, Inc., a wholly-owned subsidiary of Hovnanian Enterprises, Inc., completed a private placement pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended, of $250,000,000 aggregate principal amount of 8.000% Senior Notes due 2022, which are guaranteed by the Company and substantially all of its subsidiaries. In connection with the issuance of the Notes, K. Hovnanian and the Guarantors entered into an Indenture, dated as of Nov. 5, 2014, with Wilmington Trust, National Association, as trustee. As of the date of the Indenture, the Guarantors included the Company and each of its subsidiaries except its home mortgage subsidiaries, certain of its title insurance subsidiaries, joint ventures, subsidiaries holding interests in joint ventures and its foreign subsidiary. The Notes bear interest at 8.000% per annum and mature on Nov. 1, 2019. Interest is payable semi-annually on May 1 and November 1 of each year, beginning on May 1, 2015, to holders of record at the close of business on April 15 or October 15, as the case may be, immediately preceding each such interest payment date. The Indenture contains restrictive covenants that limit among other things, the ability of the Company and certain of its subsidiaries, including K. Hovnanian, to incur additional indebtedness, pay dividends and make distributions on common and preferred stock, repurchase subordinated indebtedness and common and preferred stock, make other restricted payments, including investments, sell certain assets, incur liens, consolidate, merge, sell or otherwise dispose of all or substantially all of its assets and enter into certain transactions with affiliates. The Indenture also contains customary events of default which would permit the holders of the Notes to declare those Notes to be immediately due and payable if not cured within applicable grace periods, including the failure to make timely payments on the Notes or other material indebtedness, the failure to satisfy covenants and specified events of bankruptcy and insolvency. K. Hovnanian intends to use the net proceeds from the offering of the Notes for general corporate purposes, including land acquisition and land development. About Hovnanian Enterprises Red Bank, New Jersey-based Hovnanian Enterprises, Inc. (NYSE: HOV) -- http://www.khov.com/-- founded in 1959 by Kevork S. Hovnanian, is one of the nation's largest homebuilders with operations in Arizona, California, Delaware, Florida, Georgia, Illinois, Kentucky, Maryland, Minnesota, New Jersey, New York, North Carolina, Ohio, Pennsylvania, South Carolina, Texas, Virginia and West Virginia. The Company's homes are marketed and sold under the trade names K. Hovnanian Homes, Matzel & Mumford, Brighton Homes, Parkwood Builders, Town & Country Homes, Oster Homes and CraftBuilt Homes. As the developer of K. Hovnanian's Four Seasons communities, the Company is also one of the nation's largest builders of active adult homes. Hovnanian Enterprises posted net income of $31.29 million on $1.85 billion of total revenues for the year ended Oct. 31, 2013, as compared with a net loss of $66.19 million on $1.48 billion of total revenues during the prior year. As of July 31, 2014, the Company had $1.89 billion in total assets, $2.33 billion in total liabilities and a $443.12 million total deficit. * * * As reported by the Troubled Company Reporter on April 25, 2013, Standard & Poor's Ratings Services said it raised its corporate credit rating on Hovnanian Enterprises Inc. to 'B-' from 'CCC+'. "The upgrade reflects strengthening operating performance supported by the broader recovery in the housing market that, we believe, should support modest profitability in 2013," said Standard & Poor's credit analyst George Skoufis. In the Dec. 9, 2013, edition of the TCR, Fitch Ratings upgraded the Issuer Default Rating (IDR) of Hovnanian Enterprises to 'B-' from 'CCC'. The upgrade and the Stable Outlook reflects HOV's operating performance year-to-date (YTD), adequate liquidity position, and moderately better prospects for the housing sector during the remainder of this year and in 2014. The TCR reported on Jan. 9, 2014, that Moody's Investors Service raised the Corporate Family Rating of Hovnanian Enterprises, Inc., to B3 from Caa1. The upgrade of the Corporate Family Rating to B3 reflects Hovnanian's improved financial performance including improvement in interest coverage to slightly above 1x and finally turning net income positive for the fiscal year 2013. I2A TECHNOLOGIES: Files Schedules of Assets and Liabilities ----------------------------------------------------------- i2a Technologies Inc. filed its summary of schedules of assets and liabilities in the U.S. Bankruptcy Court for the Northern District of California, disclosing: Name of Schedule Assets Liabilities ---------------- ----------- ----------- A. Real Property B. Personal Property $6,788,961 C. Property Claimed as Exempt D. Creditors Holding Secured Claims $1,957,675 E. Creditors Holding Unsecured Priority Claims $217,691 F. Creditors Holding Unsecured Non-priority Claims $1,087,805 ----------- ----------- TOTAL $6,788,961 $3,263,172 A full-text copy of the Debtor's schedules is available for free at http://is.gd/683Jlf About i2a Technologies Based in Fremont, California, i2a Technologies, Inc. -- http://www.ipac.com/-- provides manufacturing services to semiconductor and electronics industries including integrated circuit packaging, system and module assembly, wafer bumping, and related services. The Company filed a Chapter 11 bankruptcy petition (Bankr. N.D. Cal. Case No. 14-44239) on Oct. 20, 2014. The case is assigned to Judge Charles Novack. The petition was signed by Victor Batinovich, the CEO. The Debtor estimated assets and liabilities of $10 million to $50 million. The Debtor is represented by Eric A. Nyberg, Esq., at Kornfield, Nyberg, Bendes & Kuhner, P.C. The first meeting of creditors under 11 U.S.C. Sec. 341(a) is scheduled for Nov. 17, 2014, at 9:00 a.m. INTOWN COMPANIES: Case Summary & 17 Largest Unsecured Creditors --------------------------------------------------------------- Debtor: The Intown Companies, Inc. dba American Quality Lodge 2200 Northlake Pkwy, Ste. S-277 Tucker, GA 30084 Case No.: 14-50374 Nature of Business: Single Asset Real Estate Chapter 11 Petition Date: November 11, 2014 Court: United States Bankruptcy Court Northern District of Florida (Panama City) Judge: Hon. Karen K. Specie Debtor's Counsel: Thomas B. Woodward, Esq. THOMAS B. WOODWARD, ATTY. P.O. Box 10058 Tallahassee, FL 32302 Tel: 850-222-4818 Fax: 850-561-3456 Email: woodylaw@embarqmail.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Melton Harrell, president. A list of the Debtor's 17 largest unsecured creditors is available for free at http://bankrupt.com/misc/flnb14-50374.pdf ISLAND BREEZE: Defaulted on $1.5MM Loan From SourcePoint -------------------------------------------------------- Celia Ampel at South Florida Business Journal reports that Island Breeze Casino defaulted on a $1.5 million loan from SourcePoint, the company from which it leases its slot machines. Business Journal relates that Island Breeze also delayed a mandatory U.S. Coast Guard ship inspection and temporarily lost its certificate of inspection during the summer. About Island Breeze Casino Florida's Island Breeze Casino is a gambling cruise that set sail twice daily from the Port of Palm Beach. It is majority owned by IBI Palm Beach LLC, which owes about $5.2 million to Nurmi for a charter agreement on the ship. As reported by the Troubled Company Reporter on Nov. 11, 2014, Katy Stech, writing for The Wall Street Journal, reported that Island Breeze has filed for bankruptcy after halting daily excursions from Palm Beach and laying off nearly all of its 250 employees. According to the report, Lawrence McMichael, the ship's lawyer, said the bankruptcy could help the ship restart its operations next month during Florida's busy tourist season. Island Breeze disclosed in documents filed with the bankruptcy court that it lost $1 million in May after the ship's starboard main engine failed, putting the casino cruise out of business for three weeks. J.C. PENNEY: S&P Affirms 'CCC+' Corporate Credit Rating ------------------------------------------------------- Standard & Poor's Ratings Services raised its ratings on J.C. Penney Co. Inc.'s 6.875% medium-term notes due Oct. 15, 2015, to 'A' from 'CCC-'. The bonds have been defeased and S&P now rates them the same as that of the trustee, Wilmington Trust N.A. S&P also withdrew the '6' recovery rating on the 6.875% medium-term notes due 2015. RATINGS LIST J.C. Penney Co. Inc. Corporate Credit Rating CCC+/Stable/-- Rating Raised J.C. Penney Co. Inc. 6.875% Medium term notes A CCC- Recovery rating NR 6 JACKSONVILLE BANCORP: CapGen Capital Holds 42% Equity Stake ----------------------------------------------------------- In an amended Schedule 13D filed with the U.S. Securities and Exchange Commission, CapGen Capital Group IV LP and its affiliates disclosed that as of Oct. 28, 2014, they beneficially owned 1,334,208 shares of common stock of Jacksonville Bancorp, Inc., representing 42 percent of the shares outstanding. A copy of the regulatory filing is available at http://is.gd/QgNAPW About Jacksonville Bancorp Jacksonville Bancorp, Inc., a bank holding company, is the parent of The Jacksonville Bank, a Florida state-chartered bank focusing on the Northeast Florida market with eight full-service branches in Jacksonville, Duval County, Florida, as well as the Company's virtual branch. The Jacksonville Bank opened for business on May 28, 1999, and provides a variety of community banking services to businesses and individuals in Jacksonville, Florida. Jacksonville Bancorp reported a net loss available to common shareholders of $32.42 million in 2013, a net loss available to common shareholders of $43.04 million in 2012 and a net loss available to common shareholders of $24.05 million in 2011. As of June 30, 2014, the Company had $494.63 million in total assets, $459.11 million in total liabilities and $35.52 million in total shareholders' equity. KIMBALL HILL: Consolidation of Fidelity et al. Claims Upheld ------------------------------------------------------------ Creditors Fidelity & Deposit Company of Maryland (F&D) and Zurich American Insurance Company appealed from an order of the bankruptcy court that in effect ratified the substantive consolidation of a number of their claims against Debtor Kimball Hill, Inc. and its affiliates. District Judge Edmond E. Chang for the District of Illinois affirmed the bankruptcy court's ruling in a memorandum opinion dated Nov. 4, 2014 available at http://is.gd/4TYo5ffrom Leagle.com. The Creditors argued that substantive consolidation of their claims is invalid because no provision in the Debtors' Chapter 11 Plan explicitly stated that consolidation was part of the Plan. "The problem with this argument is that F&D and Zurich never identify any applicable law that actually sets forth such a requirement. Instead, F&D and Zurich fixate on the well- established presumption against the use of substantive consolidation in most cases . . . . That the doctrine should be applied only in narrow circumstances and with careful forethought is uncontested," Judge Change opined. The appeals case is IN RE KIMBALL HILL, INC., Debtor. FIDELITY & DEPOSIT COMPANY OF MARYLAND, ZURICH AMERICAN INSURANCE COMPANY and their subsidiaries and affiliates, Appellants, v. U.S. BANK NATIONAL ASSOCIATION, as the PLAN ADMINISTRATOR for the KHI POST- CONSUMMATION TRUST and the LIQUIDATION TRUST ADMINISTRATOR for the KHI LIQUIDATION TRUST, Appellee, NO. 13 C 07146 (N.D. Ill.). Fidelity & Deposit Company of Maryland, Appellant, represented by Cornelius F. Riordan, Esq. -- criordan@rmp-llc.com -- and Megan Mary Burke -- mburke@rmp-llc.com -- of Riordan Mckee And Piper, Llc. Kimball Hill Inc, Appellee, represented by Gordon Elliot Gouveia, Esq. -- ggouveia@shawfishman.com & Mark Lee Radtke, Esq. -- mradtke@shawfishman.com of Shaw Fishman Glantz & Towbin LLC; Marylynne Kristy Schwartz, Esq, of Shaw Gussis & Melissa Catherine Peshkin, Esq. of Kirkland & Ellis LLP. U.S. Bank National Association, as the Plan Administrator for the KHI Post-Consummation Trust and the Liquidation Trust Administrator for the KHI Liquidation Trust, Appellee, represented by Mark Lee Radtke, Esq. -- moc.namhsifwahs@ektdarm -- of Shaw Fishman Glantz & Towbin LLC. About Kimball Hill Headquartered in Rolling Meadow, Illinois, Kimball Hill Inc. -- http://www.kimballhillhomes.com/-- was one of the largest privately-owned homebuilders and one of the 30 largest homebuilders in the United States, as measured by home deliveries and revenues, before filing for bankruptcy. The company operated within 12 markets, including, among others, Chicago, Dallas, Fort Worth, Houston, Las Vegas, Sacramento and Tampa, in five regions: Florida, the Midwest, Nevada, the Pacific Coast and Texas. Kimball Hill, Inc., and 29 of its affiliates filed for Chapter 11 protection on April 23, 2008 (Bankr. N.D. Ill. Lead Case No. 08- 10095). Ray C. Schrock, Esq., at Kirkland & Ellis LLP, represents the Debtors in their restructuring efforts. The Debtors' consolidated financial condition as of Dec. 31, 2007, reflected total assets of $795,473,000 and total debts $631,867,000. Kimball Hill filed a Chapter 11 plan of liquidation on Dec. 2, 2008, which provides for the winding down of the Debtors' business through a liquidation trust. With the support of the official committee of unsecured creditors and the company's senior lenders (estimated to recover 37% to 48% of their claims), the plan was confirmed on March 12, 2009, and took effect 12 days later. U.S. Bank National Association was appointed as trustee for the Liquidation Trust. KLX INC: S&P Assigns 'BB' Corporate Credit Rating; Outlook Stable ----------------------------------------------------------------- Standard & Poor's Ratings Services said it assigned its 'BB' corporate credit rating to KLX Inc. The outlook is stable. At the same time, S&P assigned a 'BBB-' issue-level rating to the company's proposed $500 million secured revolving credit facility, with a '1' recovery rating, indicating S&P's expectation for very high (90%-100%) recovery in a simulated default scenario. "The rating on KLX reflects a fairly conservative capital structure following the spin-off from B/E Aerospace, but also the potential for future acquisitions that could require increased debt," said Standard & Poor's credit analyst Chris Mooney. S&P also factors in less technological capabilities compared with other aerospace and defense industry players, participation in cyclical end markets, and KLX's relatively weak competitive position in the oilfield services market. These factors are partially offset by high profit margins and the leading position in a relatively small, niche aerospace market. KLX plans to sell $1.2 billion in new unsecured notes to pay a one-time $750 million dividend to its former parent and to provide initial liquidity. S&P expects debt to EBITDA of roughly 3x on a pro forma basis in 2014 (assuming KLX was a stand-alone company for the entire year). S&P has included the new notes in its analysis and will assign ratings to them when further details are available. KLX has grown both organically and through acquisitions to be the no. 1 player in the $4.7 billion aerospace consumables distribution market (about 75% of total sales), with Wesco Aircraft Holdings Inc. a close second behind. Beyond that, the market is highly fragmented among much smaller, specialized companies. Compared with Wesco, KLX has a stronger presence in the higher-margin aftermarket business (roughly 40% of segment sales), which is the primary reason for KLX's better EBITDA margins. KLX also competes with customers that buy directly from suppliers and do not use a distributor, which is estimated to be roughly one-third of the total market. While the threat of customer in-sourcing exists as aircraft manufacturers, such as Boeing (10% of sales), aim to reduce costs in the supply chain, S&P believes KLX's track record of operational excellence and many long-term customer agreements mitigates this risk to a degree. The stable outlook reflects S&P's belief that earnings growth from healthy commercial aerospace market conditions combined with contributions from possible bolt-on acquisitions should result in gradually improving credit metrics, with debt to EBITDA around 2.5x in 2015 from about 3x on a pro forma basis immediately following the spin-off. S& could lower the rating if debt to EBITDA were to rise above 4x and FFO to debt were to fall below 20% for a sustained period, which would mostly likely be caused by a combination of increased debt and a downturn in the company's end-markets. S&P could raise the rating if management commits to maintaining debt to EBITDA below 2.5x and FFO to debt above 35% for a sustained period. LANDDRILL COMPANIES: Debt Owed to Landdrill BC to Be Sold Nov. 21 ----------------------------------------------------------------- A public auction sale of debt owed to Landdrill BC by the Landdrill Companies and shares in Landdrill Barbados held by Landrill NB will be held on Nov. 21, 2014, at 10:00 a.m., AST at 22 king Street in Saint John, New Brunswick, Canada. Interested buyers for the assets up for sale must contact, R. Gary Faloon, Q.C., Barrister & Solicitor by e-mail at RGFaloon@gmglaw.com or at 506-634-3600 before Nov. 17, 2014. Landdrill Companies is comprised of Landdrill International (British Columbia); Landdrill International Ltd (New Brunswick); Landdrill Atlantic Ltd. (New Brunswick); Landdrill International Mexico S.A. de C.V., Landdrill International LLC (Mongolia), Landdrill International Inc. (Barbados), Landdrill Nicaragua S.A., Nitsaki Landdrill (Quebec) Limited Partnership and Nitsaki Landdrill Limited Partnership. LDK SOLAR: Incurs $1.6 Billion Net Loss in 2013 ----------------------------------------------- LDK Solar Co., Ltd., filed with the U.S. Securities and Exchange Commission its annual report on Form 20-F disclosing a net loss of $1.64 billion on $598.24 million of total net sales for the year ended Dec. 31, 2013, compared to a net loss of $1.05 billion on $862.88 million of total net sales during the prior year. As of Dec. 31, 2013, LDK Solar had $3.04 billion in total assets, $5.14 billion in total liabilities and a $2.10 billion in total deficit. KPMG, in Hong Kong, China, issued a "going concern" qualification in its report on the consolidated financial statements for the year ended Dec. 31, 2013. The independent accounting firm noted that the Company has suffered recurring losses from operations, has a net capital deficit, and has been placed into provisional liquidation that raise substantial doubt about its ability to continue as a going concern. A full-text copy of the Form 20-F is available for free at: http://is.gd/yhKEHp About LDK Solar LDK Solar Co., Ltd. -- http://www.ldksolar.com-- based in Hi- Tech Industrial Park, Xinyu City, Jiangxi Province, People's Republic of China, is a vertically integrated manufacturer of photovoltaic products, including high-quality and low-cost polysilicon, solar wafers, cells, modules, systems, power projects and solutions. LDK Solar was incorporated in the Cayman Islands on May 1, 2006, by LDK New Energy, a British Virgin Islands company wholly owned by Xiaofeng Peng, LDK's founder, chairman and chief executive officer, to acquire all of the equity interests in Jiangxi LDK Solar from Suzhou Liouxin Industry Co., Ltd., and Liouxin Industrial Limited. LDK Solar in February 2014 filed in the Cayman Islands for the appointment of provisional liquidators, four days before it was due to make a $197 million bond repayment. Its Joint Provisional Liquidators are Tammy Fu and Eleanor Fisher, both of Zolfo Cooper (Cayman) Limited, on Oct. 22. In September 2014, LDK SOalr, LDK Silicon and LDK Silicon Holding Co., Limited each applied to file an originating summons to commence their restructuring proceedings in the High Court of Hong Kong. On Oct. 21, 2014 three U.S. subsidiaries of LDK Solar, LDK Solar Systems, Inc., LDK Solar USA, Inc. and LDK Solar Tech USA, Inc. filed voluntary petitions to reorganize under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. The lead case is In re LDK Solar Systems, Inc. (Bankr. D. Del., Case No. 14-12384). On Oct. 21, 2014, LDK Solar filed a petition in the same U.S. Bankruptcy Court for recognition of the provisional liquidation proceeding in the Grand Court of the Cayman Islands. The Chapter 15 case is In re LDK Solar CO., Ltd. (Bankr. D. Del., Case No. 14- 12387). The U.S. Debtors' General Counsel is Jessica C.K. Boelter, Esq., at Sidley Austin LLP, in Chicago, Illinois. The U.S. Debtors' Delaware counsel is Robert S. Brady, Esq., Maris J. Kandestin, Esq., and Edmon L. Morton, Esq., at Young, Conaway, Stargatt & Taylor, LLP, in Wilmington, Delaware. The U.S. Debtors' financial advisor is Jefferies LLC. The Debtors' voting and noticing agent is Epiq Bankruptcy Solutions, LLC. The U.S. Debtors commenced the Chapter 11 Cases in order to implement the prepackaged plan of reorganization, with respect to which the U.S. Debtors launched a solicitation of votes on September 17, 2014 from the holders of LDK Solar's 10% Senior Notes due 2014, as guarantors of the Senior Notes, and required such holders of the Senior Notes to return their ballots by October 15, 2014. Holders of the Senior Notes voted overwhelmingly in favor of accepting the Prepackaged Plan. LDK SOLAR: Hires Sidley Austin as Attorneys ------------------------------------------- LDK Solar Systems, Inc. and its debtor-affiliates seek authorization from the U.S. Bankruptcy Court for the District of Delaware to employ Sidley Austin LLP as attorneys, nunc pro tunc to the Oct. 21, 2014 petition date. The Debtors require Sidley Austin to: (a) provide legal advice with respect to the Debtors' powers and duties as debtors in possession in the continued operation of their business; (b) take all necessary action on behalf of the Debtors to protect and preserve the Debtors' estates, including prosecuting actions on behalf of the Debtors, negotiating any and all litigation in which the Debtors are involved and objecting to claims filed against the Debtors' estates; (c) prepare on behalf of the Debtors all necessary motions, answers, orders, reports and other legal papers in connection with the administration of the Debtors' estates; (d) advise the Debtors concerning, and prepare responses to, applications, motions, other pleadings, notices and other papers that may be filed by other parties in these Chapter 11 Cases; (e) attend meetings and negotiate with representatives of creditors and other parties in interest, attend court hearings and advise the Debtors on the conduct of their Chapter 11 Cases; (f) perform any and all other legal services for the Debtors in connection with these Chapter 11 Cases and with implementation of the Debtors' plan of reorganization; (g) advise and assist the Debtors regarding all aspects of the plan confirmation process, including, but not limited to, negotiating and drafting a plan of reorganization and accompanying disclosure statement, securing the approval of a disclosure statement, soliciting votes in support of plan confirmation and securing confirmation of the plan; (h) provide legal advice and perform legal services with respect to matters relating to corporate governance, the interpretation, application or amendment of the Debtors' organizational documents, material contracts, and matters involving the fiduciary duties of the Debtors and their officers, directors and managers; (i) provide legal advice and legal services with respect to litigation, tax and other general non-bankruptcy legal issues for the Debtors to the extent requested by the Debtors; and (j) render such other services as may be in the best interests of the Debtors in connection with any of the foregoing and all other necessary or appropriate legal services in connection with these Chapter 11 Cases, as agreed upon by Sidley and the Debtors. Sidley Austin will be paid at these hourly rates: Larry J. Nyhan $1,150 Jessica C.K. Boelter $825 Matthew G. Martinez $700 Geoffrey M. King $665 Matthew E. Linder $495 Attorneys $465-$1,285 Paraprofessionals $250-$450 Sidley Austin will also be reimbursed for reasonable out-of-pocket expenses incurred. During the one-year period before the Petition Date, Sidley Austin did not receive any payments from any of the Debtors. Rather, during the one-year period before the Petition Date, Sidley Austin received payment on account of its fees and expenses from LDK Parent, including approximately US$850,000 on account of legal services rendered and costs and expenses incurred by Sidley Austin in contemplation of or in connection with the filing of these Chapter 11 Cases. The Debtors also noted that having been engaged by LDK Parent for an extensive period of time prior to the Petition Date, Sidley has developed a detailed understanding of the Debtors' financial affairs and their role within the Group's complex global restructuring. As a result, the Debtors could not replace Sidley without incurring severe costs in terms of the time and money that would be required to select and educate replacement counsel at this late stage in their prepackaged chapter 11 reorganization. Sidley will make a reasonable effort to comply with the United States Trustee's requests for information and additional disclosures as set forth in the Guidelines for Reviewing Applications for Compensation and Reimbursement of Expenses Filed under 11 U.S.C. Sec. 330 by Attorneys in Larger Chapter 11 Cases Effective as of November 1, 2013, both in connection with this Application and any fee applications to be filed by Sidley in the Chapter 11 Cases. Jessica C.K. Boelter, a partner at Sidley Austin, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. The Court for the District of Delaware will hold a hearing on the application on Nov. 21, 2014, at 2:00 p.m. Objections, if any, are due Nov. 14, 2014, at 4:00 p.m. Sidley Austin can be reached at: Jessica C.K. Boelter, Esq. SIDLEY AUSTIN LLP One South Dearborn Chicago, IL 60603 Tel: +1 (312) 853-7030 E-mail: jboelter@sidley.com About LDK Solar LDK Solar Co., Ltd. -- http://www.ldksolar.com-- based in Hi- Tech Industrial Park, Xinyu City, Jiangxi Province, People's Republic of China, is a vertically integrated manufacturer of photovoltaic products, including high-quality and low-cost polysilicon, solar wafers, cells, modules, systems, power projects and solutions. LDK Solar was incorporated in the Cayman Islands on May 1, 2006, by LDK New Energy, a British Virgin Islands company wholly owned by Xiaofeng Peng, LDK's founder, chairman and chief executive officer, to acquire all of the equity interests in Jiangxi LDK Solar from Suzhou Liouxin Industry Co., Ltd., and Liouxin Industrial Limited. LDK Solar in February 2014 filed in the Cayman Islands for the appointment of provisional liquidators, four days before it was due to make a $197 million bond repayment. Its Joint Provisional Liquidators are Tammy Fu and Eleanor Fisher, both of Zolfo Cooper (Cayman) Limited, on Oct. 22. In September 2014, LDK SOalr, LDK Silicon and LDK Silicon Holding Co., Limited each applied to file an originating summons to commence their restructuring proceedings in the High Court of Hong Kong. On Oct. 21, 2014 three U.S. subsidiaries of LDK Solar, LDK Solar Systems, Inc., LDK Solar USA, Inc. and LDK Solar Tech USA, Inc. filed voluntary petitions to reorganize under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. The lead case is In re LDK Solar Systems, Inc. (Bankr. D. Del., Case No. 14-12384). On Oct. 21, 2014, LDK Solar filed a petition in the same U.S. Bankruptcy Court for recognition of the provisional liquidation proceeding in the Grand Court of the Cayman Islands. The Chapter 15 case is In re LDK Solar CO., Ltd. (Bankr. D. Del., Case No. 14- 12387). The U.S. Debtors' General Counsel is Jessica C.K. Boelter, Esq., at Sidley Austin LLP, in Chicago, Illinois. The U.S. Debtors' Delaware counsel is Robert S. Brady, Esq., Maris J. Kandestin, Esq., and Edmon L. Morton, Esq., at Young, Conaway, Stargatt & Taylor, LLP, in Wilmington, Delaware. The U.S. Debtors' financial advisor is Jefferies LLC. The Debtors' voting and noticing agent is Epiq Bankruptcy Solutions, LLC. The U.S. Debtors commenced the Chapter 11 Cases in order to implement the prepackaged plan of reorganization, with respect to which the U.S. Debtors launched a solicitation of votes on September 17, 2014 from the holders of LDK Solar's 10% Senior Notes due 2014, as guarantors of the Senior Notes, and required such holders of the Senior Notes to return their ballots by October 15, 2014. Holders of the Senior Notes voted overwhelmingly in favor of accepting the Prepackaged Plan. LDK SOLAR: Hires Young Conaway as Co-counsel -------------------------------------------- LDK Solar Systems, Inc. and its debtor-affiliates seek authorization from the U.S. Bankruptcy Court for the District of Delaware to employ Young Conaway Stargatt & Taylor, LLP as co- counsel for the Debtors, nunc pro tunc to the Oct. 21, 2014 petition date. The Debtors require Young Conaway to: (a) provide legal advice and services regarding local rules, practices, and procedures and providing substantive and strategic advice on how to accomplish the Debtors' goals in connection with the prosecution of these Chapter 11 Cases, bearing in mind that the Court relies on co-counsel such as Young Conaway to be involved in all aspects of each bankruptcy proceeding; (b) assist with the preparation of drafts of the petition packages and the various pleadings seeking "first day" relief filed with the Court on the Petition Date as co-counsel to the Debtors; (c) review, comment, and prepare drafts of all other documents to be filed with the Court as co-counsel to the Debtors; (d) appear in Court and at any meeting with the U.S. Trustee and any meeting of creditors at any given time on behalf of the Debtors as their co-counsel; (e) perform various services in connection with the administration of these Chapter 11 Cases, including, without limitation, (i) preparing agendas, certificates of no objection, certifications of counsel, notices of fee applications and hearings, and hearing binders of documents and pleadings, (ii) monitoring the docket for filings and coordinating with Sidley Austin LLP on pending matters that need responses, (iii) preparing and maintaining critical dates memoranda to monitor pending applications, motions, hearing dates, and other matters and the deadlines associated with the same, and (iv) handling inquiries and calls from creditors and counsel to interested parties regarding pending matters and the general status of these Chapter 11 Cases and coordinating with Sidley Austin LLP on any necessary responses; and (f) perform all other services assigned by the Debtors, in consultation with Sidley Austin LLP, to Young Conaway as co-counsel to the Debtors, and to the extent the Firm determines that such services fall outside of the scope of services historically or generally performed by Young Conaway as co-counsel in a bankruptcy proceeding, Young Conaway will file a supplemental declaration pursuant to Bankruptcy Rule 2014. Young Conaway will be paid at these hourly rates: Robert S. Brady $765 Edmon L. Morton $625 Maris J. Kandestin $430 Ian J. Bambrick $320 Michelle Smith, paralegal $200 Young Conaway will also be reimbursed for reasonable out-of-pocket expenses incurred. In accordance with the Engagement Agreement, Young Conaway received a retainer in the amount of $50,000 (the "Initial Retainer") on Feb. 24, 2014 in connection with the planning and preparation of initial documents and its proposed postpetition representation of the Debtors. Additionally, on Sept. 3, 2014, Young Conaway received an additional Retainer payment of $300,000 (the "Subsequent Retainer," and together with the Initial Retainer, the "Retainer"). A part of the Retainer has been applied to outstanding balances existing as of the Petition Date and $262,572.42 remains, $25,000 of which is held on behalf of LDK Solar Systems, Inc. as security for payment of chapter 11 expenses and the remainder is held on behalf of LDK Parent as security for payment of chapter 15 expenses. The remainder will constitute a general retainer as security for postpetition services and expenses. Robert S. Brady, a partner at Young Conaway, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. The Court for the District of Delaware will hold a hearing on the application on Nov. 21, 2014, at 2:00 p.m. Objections, if any, are due Nov. 14, 2014, at 4:00 p.m. Young Conaway can be reached at: Robert S. Brady, Esq. YOUNG CONAWAY STARGATT & TAYLOR, LLP Rodney Square 1000 North King Street Wilmington, DE 19801 Tel: (302) 571-6690 Fax: (302) 576-3283 E-mail: rbrady@ycst.com About LDK Solar LDK Solar Co., Ltd. -- http://www.ldksolar.com-- based in Hi- Tech Industrial Park, Xinyu City, Jiangxi Province, People's Republic of China, is a vertically integrated manufacturer of photovoltaic products, including high-quality and low-cost polysilicon, solar wafers, cells, modules, systems, power projects and solutions. LDK Solar was incorporated in the Cayman Islands on May 1, 2006, by LDK New Energy, a British Virgin Islands company wholly owned by Xiaofeng Peng, LDK's founder, chairman and chief executive officer, to acquire all of the equity interests in Jiangxi LDK Solar from Suzhou Liouxin Industry Co., Ltd., and Liouxin Industrial Limited. LDK Solar in February 2014 filed in the Cayman Islands for the appointment of provisional liquidators, four days before it was due to make a $197 million bond repayment. Its Joint Provisional Liquidators are Tammy Fu and Eleanor Fisher, both of Zolfo Cooper (Cayman) Limited, on Oct. 22. In September 2014, LDK SOalr, LDK Silicon and LDK Silicon Holding Co., Limited each applied to file an originating summons to commence their restructuring proceedings in the High Court of Hong Kong. On Oct. 21, 2014 three U.S. subsidiaries of LDK Solar, LDK Solar Systems, Inc., LDK Solar USA, Inc. and LDK Solar Tech USA, Inc. filed voluntary petitions to reorganize under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. The lead case is In re LDK Solar Systems, Inc. (Bankr. D. Del., Case No. 14-12384). On Oct. 21, 2014, LDK Solar filed a petition in the same U.S. Bankruptcy Court for recognition of the provisional liquidation proceeding in the Grand Court of the Cayman Islands. The Chapter 15 case is In re LDK Solar CO., Ltd. (Bankr. D. Del., Case No. 14- 12387). The U.S. Debtors' General Counsel is Jessica C.K. Boelter, Esq., at Sidley Austin LLP, in Chicago, Illinois. The U.S. Debtors' Delaware counsel is Robert S. Brady, Esq., Maris J. Kandestin, Esq., and Edmon L. Morton, Esq., at Young, Conaway, Stargatt & Taylor, LLP, in Wilmington, Delaware. The U.S. Debtors' financial advisor is Jefferies LLC. The Debtors' voting and noticing agent is Epiq Bankruptcy Solutions, LLC. The U.S. Debtors commenced the Chapter 11 Cases in order to implement the prepackaged plan of reorganization, with respect to which the U.S. Debtors launched a solicitation of votes on September 17, 2014 from the holders of LDK Solar's 10% Senior Notes due 2014, as guarantors of the Senior Notes, and required such holders of the Senior Notes to return their ballots by October 15, 2014. Holders of the Senior Notes voted overwhelmingly in favor of accepting the Prepackaged Plan. LIGHTSQUARED INC: Ergen Seeks to Halt Discovery in Harbinger Suit ----------------------------------------------------------------- Joseph Checkler, writing for Daily Bankruptcy Review, reported that Dish Network Corp. and Chairman Charlie Ergen want a judge to halt discovery in the racketeering lawsuit brought by Philip Falcone's Harbinger Capital Partners hedge fund firm over LightSquared, saying the judge should first decide on Dish and Mr. Ergen's bid to dismiss the suit. According to the report, in a filing with the U.S. District Court in Denver, lawyers for Dish and Mr. Ergen said Harbinger's "burdensome" document requests and subpoena demands overlap with similar information Harbinger has obtained in an ongoing bankruptcy court fight with Mr. Ergen. Plus, if LightSquared 's current reorganization plan is approved, Mr. Ergen and Dish could be absolved from lawsuits, the report related. About LightSquared Inc. LightSquared Inc. and 19 of its affiliates filed Chapter 11 bankruptcy petitions (Bankr. S.D.N.Y. Lead Case No. 12-12080) on May 14, 2012, to resolve regulatory issues that have prevented it from building its coast-to-coast integrated satellite 4G wireless network. LightSquared had invested more than $4 billion to deploy an integrated satellite-terrestrial network. In February 2012, however, the U.S. Federal Communications Commission told LightSquared the agency would revoke a license to build out the network as it would interfere with global positioning systems used by the military and various industries. In March 2012, the Company's partner, Sprint, canceled a master services agreement. LightSquared's lenders deemed the termination of the Sprint agreement would trigger cross-defaults under LightSquared's prepetition credit agreements. LightSquared and its prepetition lenders attempted to negotiate a global restructuring that would provide LightSquared with liquidity and runway necessary to resolve its issues with the FCC. Despite working diligently and in good faith, however, LightSquared and the lenders were not able to consummate a global restructuring on terms acceptable to all interested parties. Lawyers at Milbank, Tweed, Hadley & McCloy LLP serve as counsel to the Debtors. Alvarez & Marsal North America, LLC, is the financial advisor. Kurtzman Carson Consultants LLC serves as claims and notice agent. LLRIG TWO: Names Beecher and Conniff as Attorney ------------------------------------------------ LLRIG Two, LLC seeks permission from the Hon. Brian Lynch of the U.S. Bankruptcy Court for the Western District of Washington to employ Beecher and Conniff as attorney. The Debtor requires insolvency counsel to represent it with this Chapter 11 case. Counsel will be expected to represent the Debtor in all aspects of the reorganization case except for those tasks that may be undertaken by special counsel appointed for that purpose. Since being retained Beecher and Conniff has performed the following services: (a) met with principals of the Debtor and their counsel to analyze and discuss the Debtor's financial condition and issues, options, and strategies for reorganizing; (b) prepared and filed the Debtor's schedules and related documents, including statement of financial affairs and matters requiring disclosure; (c) reviewed and considered whether there were any executory contracts that need attention regarding assumption or rejection; (d) determined whether any cash collateral issues were present; (e) analyzed cash flows and banking relationships; (f) began drafting sale and professional application motions and notices; (g) analyzed removal procedures and issues after Stern/Marshall; and (h) advised clients on US Trustee guidelines and reporting requirements. After filing, Beecher and Conniff will advise and perform services related to the following: (a) advise and assure compliance with U.S. Trustee reporting Requirements; (b) conduct examinations of witnesses and related parties to aid in the administration of the case; (c) advise the Debtor regarding matters of bankruptcy law and Procedure; (d) represent the Debtor at meetings and hearings; (e) file and prosecute any motions or other pleadings relevant to the reorganization; (f) review claims, and, if appropriate, file objections to Claims; (g) assist the Debtor in the formulation of a Plan of Reorganization; and (h) take other such action as the Debtor requires during the case. Beecher and Conniff will be paid at these hourly rates: William L. Beecher $385 The Debtor has signed a Retainer Agreement and has paid the attorney the sum of $25,000 of which $13,000 remains in trust after consumption of $12,000 in pre-filing work. The U.S. Trustee, Gail Brehm Geiger, objected to the appointment of Beecher and Conniff as attorney indicating that the application does not include information required by Local Rule 2014-1(a), specifically the source of funds used to pay the referenced retainer. No fee agreement is attached to the Application. The U.S. Trustee advised Mr. Beecher of these deficiencies by e-mail on Oct. 28, 2014, and requested that the Application be revised and resubmitted to the U.S. Trustee in accordance with Local Rule 2014- 1(b). The Application was never resubmitted to the U.S. Trustee, and the U.S. Trustee never provided Mr. Beecher with written endorsement of the Application. Beecher and Conniff can be reached at: William L. Beecher, Esq. LAW OFFICES OF BEECHER & CONNIFF 1703-C Dock Street Tacoma, WA 98402 Tel: (253) 627-0132 Fax: (253) 572-3427 The counsel of the U.S. Trustee can be reached at: Sarah R. Flynn, Esq. Office of the United States Trustee 700 Stewart Street, Suite 5103 Seattle, WA 98101-1271 Tel: (206) 553-2000 Fax: (206) 553-2566 About LLRIG Two Tacoma, Washington-based LLRIG Two, LLC -- aka Lost Lake Resort LLC, and Lost Lake Development LLC -- sought protection under Chapter 11 of the Bankruptcy Code on Oct. 20, 2014 (Case No. 14- 45610, Bankr. W.D. Wash.). The case is assigned to Judge Brian D. Lynch. The Debtor is represented by William L Beecher, Esq., at Beecher & Conniff, in Tacoma, Washington. The Debtor disclosed total assets of $10.32 million and total liabilities of $5.47 million. MCCLATCHY CO: To Repurchase $459.5 Million Senior Notes ------------------------------------------------------- The McClatchy Company entered into agreements with Chatham Asset Management, LLC, and Leon G. Cooperman and Omega Charitable Partners, L.P., to repurchase approximately $259.35 million in aggregate principal amount of its 9.00% Senior Secured Notes due 2022 and approximately $150 million in aggregate principal amount of its 5.75% Notes due 2017 (the 5.75% Notes) for a total amount of $459.5 million in cash, plus accrued and unpaid interest. According to a regulatory filing with the U.S. Securities and Exchange Commission, the Transactions are subject to a condition that no more than $95.5 million of the 9% Notes are submitted in the Company's current asset purchase offer for the 9% Notes by Nov. 12, 2014, the expiration date for the Offer. If more than $95.5 million of the 9% Notes are submitted in the Company's current Offer, the amount of 9% Notes and 5.75% Notes subject to repurchase in the Transactions will be reduced ratably for the amount in excess of $95.5 million. The Company anticipates that the closing of these repurchases will occur on Nov. 13, 2014. About The McClatchy Company Sacramento, Cal.-based The McClatchy Company (NYSE: MNI) -- http://www.mcclatchy.com/-- is the third largest newspaper company in the United States, publishing 30 daily newspapers, 43 non-dailies, and direct marketing and direct mail operations. McClatchy also operates leading local Web sites in each of its markets which extend its audience reach. The Web sites offer users comprehensive news and information, advertising, e-commerce and other services. Together with its newspapers and direct marketing products, these interactive operations make McClatchy the leading local media company in each of its premium high growth markets. McClatchy-owned newspapers include The Miami Herald, The Sacramento Bee, the Fort Worth Star-Telegram, The Kansas City Star, The Charlotte Observer, and The News & Observer (Raleigh). The Company reported net income of $18.80 million for the year ended Dec. 29, 2013, as compared with a net loss of $144,000 for the year ended Dec. 30, 2012. The Company's balance sheet at June 29, 2014, showed $2.68 billion in total assets, $2.36 billion in total liabilities and $318.93 million in stockholders' equity. * * * McClatchy carries a 'Caa1' corporate family rating from Moody's Investors Service. In May 2011, Moody's changed the rating outlook from stable to positive following the company's announcement that it closed on the sale of land in Miami for $236 million. The outlook change reflects Moody's expectation that McClatchy will utilize the net proceeds to reduce debt, including its underfunded pension position, which will reduce leverage by approximately half a turn and lower required contributions to the pension plan over the next few years. McClatchy Co. carries a 'B-' Corporate Credit Rating from Standard & Poor's Ratings Services. As reported by the TCR on April 2, 2014, Standard & Poor's Ratings Services affirmed all ratings on U.S. newspaper company The McClatchy Co., including the 'B-' corporate credit rating, and revised the rating outlook to stable from positive. The outlook revision to stable reflects S&P's expectation that the timeframe for a potential upgrade lies beyond the next 12 months, and could also depend on the company realizing value from its digital minority interests. MEDICURE INC: Dr. Albert D. Friesen to File Early Warning Report ---------------------------------------------------------------- Medicure Inc. reported that since March 1, 2013, Dr. Albert D. Friesen has acquired 299,308 common shares which exceeds 2% of the outstanding common shares of the Company. This 2% reporting threshold was reached on Nov. 4, 2014, with the acquisition of 150,408 common shares of Medicure representing approximately 1.22% of the Company's outstanding common shares. The shares, which are still subject to approval of the TSX Venture Exchange, will be issued by the Company at a deemed price of $1.98 per share in order to settle outstanding fees payable to Dr. Friesen for past services rendered to the Company up to July 11, 2014. The Settlement was approved by the disinterested shareholders of the Company at its annual and special meeting of shareholders held on Nov. 4, 2014. Dr. Friesen may in the future acquire additional shares in the Company, if deemed appropriate to do so in his sole discretion. Subject to TSXV approval of the Acquisition, Dr. Friesen owns or exercises control over 2,443,955 common shares of Medicure, representing approximately 19.68% of the Company's issued and outstanding common shares. Dr. Friesen also holds stock options entitling him to purchase an aggregate of 516,500 common shares of Medicure upon exercise of the options, bringing his total to 2,960,455 common shares or approximately 22.89% of Medicure's issued and outstanding common shares on a partially diluted basis. An Early Warning Report respecting the Acquisition will be filed electronically on the Company's SEDAR profile and anyone wishing to obtain a copy of the Report may contact Dawson Reimer at 888- 435-2220. For more information, please contact: Dawson Reimer President & COO Tel. 888-435-2220 Fax 204-488-9823 E-mail: info@medicure.com http://www.medicure.com To be added to Medicure's e-mail list, please visit: http://www.medicure.com/news.html About Medicure Inc. Based in Winnipeg, Manitoba, Canada, Medicure Inc. (TSX/NEX: MPH.H) -- http://www.medicure.com/-- is a biopharmaceutical company engaged in the research, development and commercialization of human therapeutics. The Company has rights to the commercial product, AGGRASTAT(R) Injection (tirofiban hydrochloride) in the United States and its territories (Puerto Rico, U.S. Virgin Islands, and Guam). AGGRASTAT(R), a glycoprotein GP IIb/IIIa receptor antagonist, is used for the treatment of acute coronary syndrome (ACS) including unstable angina, which is characterized by chest pain when one is at rest, and non-Q-wave myocardial infarction. Medicure Inc. reported a net loss of C$1.63 million for the year ended May 31, 2014, compared to a net loss of C$2.57 million for the year ended May 31, 2013. As of Aug. 31, 2014, the Company had C$5.60 million in total assets, C$9.92 million in total liabilities and a C$4.32 million total deficiency. Ernst & Young LLP, issued a "going concern" qualification on the consolidated financial statements for the year ended May 31, 2014. The independent auditors noted that Medicure Inc. has experienced losses and has accumulated a deficit of $127,516,308 since incorporation and has a working capital deficiency of $869,164 as at May 31, 2014. These conditions raise substantial doubt about its ability to continue as a going concern. MICROVISION INC: Posts $3.3 Million Net Loss in Third Quarter ------------------------------------------------------------- MicroVision, Inc., reported a net loss of $3.35 million on $968,000 of total revenue for the three months ended Sept. 30, 2014, compared to a net loss of $3.66 million on $964,000 of total revenue for the same period in 2013. For the nine months ended Sept. 30, 2014, the Company reported a net loss of $14.77 million on $2.79 million of total revenue compared to a net loss of $10.75 million on $4.63 million of total revenue for the same period last year. The Company's balance sheet at Sept. 30, 2014, showed $14.35 million in total assets, $4.64 million in total liabilities and $9.70 million in total shareholders' equity. The cash and cash equivalents at the end of the third quarter were $10.9 million. The cash balance includes net proceeds of $1.9 million attained during the third quarter under the $4.5 million At-the-Market (ATM) equity offering facility announced in June. MicroVision has raised a total in net proceeds of $2.8 million under the ATM facility. As of Sept. 30, 2014, the backlog was $2.1 million comprised primarily of components orders announced in September 2014. The backlog does not include the $1.5 million in support services announced in October 2014. A full-text copy of the press release is available for free at: http://is.gd/1E0B1P About Microvision Inc. Headquartered in Redmond, Washington, MicroVision, Inc. (NASDAQ: MVIS) is the creator of PicoP(R) display technology, an ultra- miniature laser projection solution for mobile consumer electronics, automotive head-up displays and other applications. MicroVision reported a net loss of $13.17 million in 2013, as compared with a net loss of $22.69 million in 2012. Moss Adams LLP, in Seattle, Washington, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2013. The independent auditors noted that the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. MINERAL PARK: Settles Dispute With Silver Wheaton, et al. --------------------------------------------------------- A federal judge has approved a deal that would resolve a dispute over Silver Wheaton (Caymans) Limited's interests in mineral deposits found in a mine owned by Mineral Park Inc. U.S. Bankruptcy Judge Kevin Carey on Nov. 4 approved a settlement agreement under which Silver Wheaton will get an administrative expense claim of $700,000 against the company. Under the deal, proceeds from the sale of silver produced from the mine that are held in reserve will be released to Mineral Park, subject to the claims of Societe Generale and a group of lenders which assert interests in the mineral deposits. The parties also agreed to exchange mutual releases, according to court filings. A copy of the court order and the settlement agreement is available without charge at http://is.gd/OGIyyr About Mineral Park Mineral Park, Inc., Bluefish Energy Corp. and two affiliates commenced proceedings under Chapter 11 of the Bankruptcy Code in Delaware on Aug. 25, 2014. The cases are pending before the Honorable Kevin J. Carey and are jointly administered under Case No. 14-11996. Mineral Park and its affiliated debtors are subsidiaries of Mercator Minerals Ltd. ("MML"), a mineral resource company engaged through various subsidiaries in the mining, exploration, development and operation of its mineral properties in Mohave County, Arizona, and Sonora, Mexico. Mineral Park's principal asset is the Mineral Park Mine, a producing copper-molybdenum mine located near Kingman, Arizona. Bluefish is the owner and operator of the industrial gas turbine power generator at the Mine. British Columbia, Canada-based MML, which has shares trading on the Toronto Stock Exchange under the trading symbol "ML", is not included in the bankruptcy filing. The Debtors have tapped Pachulski Stang Ziehl & Jones LLP as counsel, Evercore Group LLC as investment banker, FTI Consulting, Inc., as financial advisor, FTI's David J. Beckman as CRO, and FTI's Paul Hansen as assistant CRO. Prime Clerk LLC is the claims and noticing agent. The U.S. Trustee for Region 3 appointed three creditors of Mineral Park, Inc. and its affiliates to serve on the official committee of unsecured creditors. The Committee selected Stinson Leonard Street LLP and Hiller & Arban LLC as its counsel. Mineral Park reported $286,362,131 in total assets and $266,035,508 in total liabilities. MJC AMERICA: Files Amended Schedule F Unsecured Nonpriority Claim ----------------------------------------------------------------- MJC America Ltd. filed an amended schedule F - Creditors Holding Unsecured Nonpriority Claims in the U.S. Bankruptcy Court for the Central District of California. A full-text copy of the amended schedule is available for free at http://is.gd/XlHPAj About MJC America MJC America, Ltd., doing business as Soleus Air System -- http://www.soleusair.com/-- which sells Soleus-branded air conditioners and heaters in the U.S., filed for Chapter 11 bankruptcy protection (Bankr. C.D. Cal. Case No. 13-39097) in Los Angeles on Dec. 10, 2013. The Debtor selected Law Offices of David A. Tilem ("TILEM") as its general bankruptcy counsel. Winston & Strawn LLP serves as special litigation counsel. MJC disclosed $14.0 million in total assets and $15.9 million in liabilities in its schedules. Accounts receivable of $9.22 million and inventory of $4.12 million comprise most of the assets. East West Bank has a scheduled secured claim of $2.1 million on a line of credit, and Hong Kong Gree Electric Appliances Sales, Ltd., is owed $4.07 million, but only $288,000 is secured. MJS LAS CROBAS: FDIC Not a Good Faith Lienholder, Court Says ------------------------------------------------------------ A Puerto Rico bankruptcy court denied the motion of the Federal Deposit Insurance Corporation, as intervenor, for reconsideration of an order denying summary judgment in relation to Iris Mendez's claim in the bankruptcy case of MJS Las Croabas Properties, Inc. The FDIC contended in its Motion for Reconsideration that (a) the location of Unit CE-202 is legally irrelevant; (b) Plaintiff Iris Mendez lacks title to Unit CE-202; and (c) as a matter of law, the FDIC's has a secured claim, and the Plaintiff holds nothing more than an unsecured claim. The FDIC asserted that "the Plaintiff does not have -- and never had -- a property right registered at the Property Registry [and that] both Westernbank and now the FDIC have been good faith lienholders. In a Nov. 5, 2014 Opinion and Order available at http://is.gd/WKb6kffrom Leagle.com, Bankruptcy Judge Enrique S. Lamoute opined that neither Westernbank or FDIC can claim to be a good faith lienholder under Puerto Rico's Mortgage Law with respect to Lot No. 15,144. "When Westernbank filed its Mortgage Deed at the Puerto Rico Property Registry on January 30, 2007 . . . it knew or should have known of the Defendant's prior obligation with the Plaintiff because the Deed of Purchase for Lot No. 15,144 had been previously filed on January 16, 2007 . . . which "expresses [that the Plaintiff] will be paid by assigning the seller an apartment in the future development to be constru[ct]ed". . . . In simple words, Westernank's mortgage on Lot No. 15,144 is subject to the prior obligations registered at the Property Registry," the judge held. Accordingly, Judge Lamoute denied FDIC's Motion for Reconsideration. The case is In Re MJS LAS CROABAS PROPERTIES, INC., Chapter 11, Debtor. IRIS M. MENDEZ Plaintiff, v. MJS LAS CROABAS PROPERTIES, INC. Defendant. FEDERAL DEPOSIT INSURANCE CORP. Intervenor, LEAD CASE NO. 12-5710 (ESL), ADV. PROC. NO. 13-00005 (ESL), (Bankr. P.R.) About MJS Las Croabas MJS Las Croabas Properties, Inc., is a real estate company formed in 2004 for the purpose of purchasing real property and constructing residential units for marketing and resale to third parties in a development located in Fajardo, Puerto Rico. The company filed for Chapter 11 protection (Bankr. D.P.R. Case No. 12-05710) on July 19, 2012. MOLYCORP INC: Incurs $105.2 Million Net Loss in Third Quarter ------------------------------------------------------------- Molycorp, Inc., filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss attributable to the Company's stockholders of $105.17 million on $123.93 million of revenues for the three months ended Sept. 30, 2014, compared to a net loss attributable to the Company's stockholders of $69.92 million on $149.06 million of revenues for the same period last year. For the nine months ended Sept. 30, 2014, the Company reported a net loss attributable to the Company's stockholders of $275.14 million on $359.36 million of revenues compared to a net loss attributable to the Company's stockholders of $180.07 million on $430.58 million of revenues for the same period in 2013. The Company's balance sheet at Sept. 30, 2014, showed $2.96 billion in total assets, $1.83 billion in total liabilities and $1.12 billion in total stockholders' equity. The Company's Chemicals and Oxides segment sold 1,651 mt and reported $43.5 million in revenues. The slight sequential increase in volume was offset by lower ASP of $26.33/kg. due to a less favorable product mix. Its Magnetic Materials and Alloys segment sold 1,516 mt of magnetic powders and reported third quarter revenues of $62.7 million on ASP of $40.42/kg. This compares to second quarter revenues of $54.4 million on an ASP of $39.31/kg. for the segment. Finally, Molycorp's Rare Metals segment reported sales volume of 104 mt on revenues of $21.3 million. ASP for the segment was $204.51/kg. Second quarter revenues were $15.9 million on ASP of $201.81/kg. A full-text copy of the Form 10-Q is available for free at: http://is.gd/w13iP6 About Molycorp Molycorp -- http://www.molycorp.com-- produces a wide variety of specialized products from 13 different rare earths (lights, mids and heavies), the transition metal yttrium, and five rare metals (gallium, indium, rhenium, tantalum and niobium). With 26 locations across 11 countries, Molycorp also produces rare earth magnetic materials through its Molycorp Magnequench subsidiary, including neodymium-iron-boron ("NdFeB") magnet powders, used to manufacture bonded NdFeB permanent rare earth magnets. Through its joint venture with Daido Steel and the Mitsubishi Corporation, Molycorp manufactures next-generation, sintered NdFeB permanent rare earth magnets. The Company also markets and sells a line of rare earth-based water treatment products. * * * As reported by the TCR on June 23, 2014, Moody's Investors Service downgraded the corporate family rating (CFR) of Molycorp, Inc. to Caa2 from Caa1. The downgrade reflects continued weakness in rare earths pricing environment, ongoing negative free cash flows, weak liquidity and high leverage. In July, 2014, Standard & Poor's Rating Services lowered its corporate credit rating on Greenwood Village, Colo.-based Molycorp Inc. to 'CCC' from 'CCC+. The downgrade reflects S&P's view of the company's deteriorating liquidity position. MUD KING: Disclosure Statement Hearing Moved Further to Dec. 8 -------------------------------------------------------------- Bankruptcy Judge Karen Brown has further cancelled the Oct. 23 hearing on the approval of Mud King Products, Inc.'s Disclosure Statement describing its Chapter 11 Plan. The new hearing is now scheduled for Dec. 8, 2014, at 2:00 p.m. in Courtroom #403, 515 Rusk Avenue, Houston, Texas 77002. Furthermore, the judge ruled that the exclusivity period under which the Debtor may solicit and obtain acceptances of its plan is extended for a period of 45 days after the continued hearing on approval of the Disclosure Statement. Judge Brown entered the ruling to address the Debtor's Third Emergency Motion for (i) a continuance of the Disclosure Statement Hearing and (ii) an extension of its Exclusivity Period to confirm a plan and solicit votes on that plan. In its Third Emergency Motion, the Debtor related that its current exclusivity period to confirm a plan expires on Nov. 22, 2014. The Debtor further pointed that it must amend its plan and disclosure statement to reflect the Court's July 17, 2014 ruling on the allowance of National Oilwell Varco, LP's claim, along with any award of attorneys' fees, if any. And after the Disclosure Statement is approved, sufficient notice must be provided to creditors of confirmation and voting, the Debtor added. Given these circumstances, the Debtor said it will be unable to proceed with approval of its disclosure statement on Oct. 23 or confirm its Chapter 11 Plan prior to the expiration of the current Nov. 22 exclusivity period deadline. About Mud King Products Mud King Products, Inc., filed a Chapter 11 petition (Bank. S.D. Tex. Case No. 13-32101) on April 5, 2013. The petition was signed by Erich Mundinger as vice president. The Debtor disclosed $18,959,158 in assets and $3,351,216 in liabilities as of the Chapter 11 filing. Annie E Catmull, Esq., Melissa Anne Haselden, Esq., Mazelle Sara Krasoff, Esq., and Edward L Rothberg, Esq., at Hoover Slovacek, LLP, represent the Debtor in its restructuring effort. Judge Karen K. Brown presides over the case. The U.S. Trustee was unable to appoint an official committee of unsecured creditor. * * * On July 1, 2014, the Debtor filed its Chapter 11 Plan and Disclosure Statement. The Plan provides that Allowed General Unsecured Claims of greater than $50,000 will receive a pro rata share of equal quarterly payments for a period of twenty quarters until such claims are paid in full, with simple interest at the rate of 5% per annum accruing from the Effective Date. The Court has yet to approve the Disclosure Statement describing the Plan. NATROL INC: Has Approval to Sell Assets to Aurobindo for $132.5MM ----------------------------------------------------------------- Judge Brendan L. Shannon of the U.S. Bankruptcy Court for the District of Delaware issued an order authorizing Natrol Inc. and its debtor affiliates to sell substantially all of its assets to Aurobindo Pharma USA Inc. According to Peg Brickley, writing for The Wall Street Journal, Aurobindo offered $132.5 million for the vitamin and supplement maker. Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg News, reported that Natrol held a robust auction on Nov. 10, with an opening bid of $84 million from an affiliate of ICV Partners LLC. The price rose 58% during the auction with Aurobindo's $132.5 million, the Bloomberg report said. About Natrol, Inc. Headquartered in Chatsworth, Calif., Natrol, Inc. -- http://www.natrol.com-- is a wholly owned subsidiary of Plethico Pharmaceuticals Limited. Plethico Pharmaceuticals Limited (BSE: 532739. BO: PLETHICO) engages in the manufacturing, marketing and distribution of pharmaceutical and allied healthcare products around the world. Natrol products are made in the U.S. Established in 1980, Natrol, Inc. has been a global leader in the nutrition industry, and a trusted manufacturer and marketer of a superior quality of herbs and botanicals, multivitamins, specialty and sports nutrition supplements made to support health and wellness throughout all ages and stages of life. Natrol products are available in health food stores, drug and grocery stores, and mass-market retailers, and through Natrol.com and other online retailers. Natrol distributes products nationally through more than 54,000 retailers as well as internationally in over 40 other countries through distribution partners. Natrol, Inc., and its six affiliates sought bankruptcy protection on June 11, 2014 (Case No. 14-11446, Bankr. D. Del.). The case is assigned to Judge Brendan Linehan Shannon. The Debtors are represented by Robert A. Klyman, Esq., and Samuel A. Newman, Esq., at GIBSON, DUNN & CRUTCHER LLP, in Los Angeles, California; and Michael R. Nestor, Esq., Maris J. Kandestin, Esq., and Ian J. Bambrick, Esq., at YOUNG CONAWAY STARGATT & TAYLOR, LLP, in Wilmington, Delaware. The Debtors' Claims and Noticing Agent is Epiq Systems Inc. The Debtors requested that the Court approve the employment of (i) Jeffrey C. Perea of the firm Conway MacKenzie Management Services, LLC as chief financial officer and for CMS to provide temporary employees to assist Mr. Perea in carrying out his duties; (ii) Stephen P. Milner of the firm Squar, Milner, Peterson, Miranda & Williamson LLP as chief restructuring officer and for CMS to provide temporary employees to assist Mr. Milner in carrying out his duties; (iv) BDO USA, LLP as auditor; (v) TaxGroup Partners as tax services provider. The U.S. Trustee for Region 3 on June 19 appointed five creditors of Natrol, Inc. to serve on the official committee of unsecured creditors. The Committee tapped to retain Otterbourg P.C. as lead counsel; (ii) Pepper Hamilton LLP as Delaware counsel; and (iii) CMAG as financial advisors. The Debtors reported total assets of $83,932,462 and total liabilities of $87,174,387. NAVISTAR INTERNATIONAL: Chief Operating Officer to Retire --------------------------------------------------------- Navistar, Inc., disclosed it is restructuring its senior leadership team by giving three executives additional responsibilities. The company also announced that Jack Allen, 56, the company's executive vice president and chief operating officer (COO) since April 2013, is retiring after more than 33 years of service to the company. "Today is a new beginning for Navistar," said Troy Clarke, Navistar president and CEO. "We are introducing a new leadership team and organization structure that will guide us into the future and enable us to accelerate our performance now that our turnaround is behind us." Bill Kozek, 52, president of North America Truck and Parts, has been promoted to president, Truck and Parts, and is adding global/export truck and parts sales, product planning and Navistar Defense to his current responsibilities. Persio Lisboa, 49, senior vice president and chief procurement officer, has been promoted to president, Operations, and is now also responsible for product development, manufacturing, and global businesses. Walter Borst, 52, executive vice president and chief financial officer, is adding business development, mergers and acquisitions, and corporate strategic planning responsibilities to his portfolio. "We're a different company -- a better performing company -- than we were two years ago," said Clarke. "We've streamlined the organization, focused our efforts on functional excellence and implemented lean operating principles throughout the company. This new structure will build on those efforts and allow us to grow profitable market share as we more effectively plan, design, build and sell our vehicles, parts and services and deliver industry-leading uptime for our customers." These leadership and structural changes are effective immediately. "Jack has been an important leader at this company for more than three decades, and he played a critical role during our turnaround these past two years," Clarke added. "Now, we are counting on these three talented and energetic leaders to work with me and the rest of the organization to drive Navistar forward on its path to profitable growth." Walter Borst joined Navistar in August 2013 from General Motors Company, where he most recently was the chairman, chief executive officer and president of GM Asset Management, responsible for managing approximately $85 billion in assets. Previously, Borst was vice president and treasurer at GM from 2003 to 2010. He also served as CFO of Adam Opel AG in Ruesselsheim, Germany from 2000- 2002. Prior to that time, he served in various treasury, controller, and financial operating capacities at GM. Bill Kozek joined Navistar in May 2013 after more than 26 years with PACCAR, where he most recently served as vice president and general manager of the Peterbilt division, responsible for all aspects of Peterbilt's U.S. and Canadian operations. Before serving as vice president and general manager of PACCAR'S Kenworth division, Kozek served in roles of increasing responsibility in Kenworth's sales, parts and finance operations. Persio V. Lisboa joined the company in 1988 in the marketing area of Maxion International Motores Brasil. Prior to roles in procurement, Lisboa served as vice president and general manager in the company's engine group, as well as several other leadership positions in South America such as president of the Argentina subsidiary and vice president of sales and marketing for Navistar's engine group in Brazil. About Navistar International Navistar International Corporation (NYSE: NAV) -- http://www.Navistar.com/-- is a holding company whose subsidiaries and affiliates subsidiaries produce International(R) brand commercial and military trucks, MaxxForce(R) brand diesel engines, IC Bus(TM) brand school and commercial buses, Monaco RV brands of recreational vehicles, and Workhorse(R) brand chassis for motor homes and step vans. It also is a private-label designer and manufacturer of diesel engines for the pickup truck, van and SUV markets. The Company also provides truck and diesel engine parts and service. Another affiliate offers financing services. Navistar International reported a net loss attributable to the Company of $898 million for the year ended Oct. 31, 2013, following a net loss attributable to the Company of $3.01 billion for the year ended Oct. 31, 2012. The Company's balance sheet at July 31, 2014, showed $7.70 billion in total assets, $11.74 billion in total liabilities and a $4.04 billion total stockholders' deficit. * * * In the Oct. 9, 2013, edition of the TCR, Moody's Investors Service affirmed the ratings of Navistar International Corporation, including the B3 Corporate Family Rating (CFR). The ratings reflect Moody's expectation that Navistar's successful incorporation of Cummins engines throughout its product line up will enable the company to regain lost market share, and that progress in addressing component failures in 2010 vintage-engines will significantly reduce warranty expenses. As reported by the TCR on Oct. 9, 2013, Standard & Poor's Ratings Services lowered its long-term corporate credit rating on Illinois-based truckmaker Navistar International Corp. (NAV) to 'CCC+' from 'B-'. "The rating downgrades reflect our increased skepticism regarding NAV's prospects for achieving the market shares it needs for a successful business turnaround," said credit analyst Sol Samson. In January 2013, Fitch Ratings affirmed the Issuer Default Ratings (IDR) for Navistar International Corporation and Navistar Financial Corporation at 'CCC' and removed the Negative Outlook on the ratings. The removal reflects Fitch's view that immediate concerns about liquidity have lessened, although liquidity remains an important rating consideration as NAV implements its selective catalytic reduction (SCR) engine strategy. Other rating concerns are already incorporated in the 'CCC' rating. NEW BRANCHES CHARTER: S&P Lowers Rating on Revenue Bonds to 'BB-' ----------------------------------------------------------------- Standard & Poor's Ratings Services has lowered its long-term rating on Michigan Public Educational Facilities Authority's series 2010 limited-obligation revenue bonds, issued for New Branches Charter Academy, to 'BB-' from 'BB+'. The outlook is negative. "The downgrade reflects our view of school's weakening operations, insufficient debt service coverage, and extremely limited cash position," said Standard & Poor's credit analyst Laura Kuffler- Macdonald. Per management, in Dec. 2013, the school hired a new principal. This changed caused one-time financial expenses in fiscal 2014. Per the unaudited report, fiscal 2014 ended with an operating deficit of $342,000 resulting in insufficient annual DSC of 0.7x, according to S&P's calculations. However, school officials report New Branches still complies with its 2010 bond covenants. In addition, the school has experienced a flat demand profile, with total enrollment in fall 2014 at 370. "Given the school's lack of waitlist, we expect enrollment growth, and resulting financial improvement, will take time," Ms. Kuffler-Macdonald added. Initially chartered in 1994, New Branches is in Grand Rapids, Mich., and serves 370 students in kindergarten through eighth grade. In 2014, the school changed its name from New Branches School to New Branches Charter Academy. The negative outlook reflects S&P's view of the school's insufficient debt service coverage (DSC) and weak operations in recent years, and very low liquidity position. The outlook further reflects the school's limited demand flexibility, which the lack of waitlist reflects. S&P could take a negative rating action if the school's demand profile continues to weaken, resulting in significant operating deficits and continuation of DSC of less than 1x, or if the liquidity position does not improve. S&P do not expect to take a positive rating action during the one-year outlook period; however, S&P would consider an outlook revision to stable if the school stabilizes enrollment, posts positive operations, improves liquidity, and generates at least 1x DSC. NII HOLDINGS: Amends Schedules of Assets and Liabilities -------------------------------------------------------- NII Holdings, Inc., filed an amended schedules of assets and liabilities in the U.S. Bankruptcy Court for the Southern District of New York, disclosing: Name of Schedule Assets Liabilities ---------------- ----------- ----------- A. Real Property $0 B. Personal Property $1,216,071,340 C. Property Claimed as Exempt D. Creditors Holding Secured Claims $0 E. Creditors Holding Unsecured Priority Claims $0 F. Creditors Holding Unsecured Non-Priority Claims $3,068,103,749 -------------- -------------- Total $1,216,071,340 $3,068,103,749 NII Holdings said it initially filed its schedules on Oct. 15, 2014. This amendment to original schedule F reflects a correction to the amount of certain unsecured claims as of the petition date. For ease of review, NII Holdings has re-filed only those entries on original schedule F that have been modified. A full-text copy of the schedules is available for free at http://is.gd/BGjqUN About NII Holdings NII Holdings Inc. through its subsidiaries provides wireless communication services for businesses and consumers in Brazil, Mexico and Argentina. NII Holdings has the exclusive right to use the Nextel brand in its markets pursuant to a trademark license agreement with Sprint Corporation and offers unique push-to-talk ("PTT") services associated with the Nextel brand in Latin America. NII Holdings' shares of common stock, par value $0.001, are publicly traded under the symbol NIHD on the NASDAQ Global Select Market. NII Holdings and its affiliated debtors sought bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 14-12611) in Manhattan on Sept. 15, 2014. The Debtors' cases are jointly administered and are assigned to Judge Shelley C. Chapman. The Debtors have tapped Jones Day as counsel and Prime Clerk LLC as claims and noticing agent. The U.S. Trustee for Region 2 on Sept. 29 appointed five creditors of NII Holdings to serve on the official committee of unsecured creditors. NII HOLDINGS: US Trustee Amends Unsecured Committee Members ----------------------------------------------------------- William K. Harrington, the U.S. Trustee for Region 2, amended the membership of the Official Committee of Unsecured Creditors for the Chapter 11 bankruptcy cases of NII Holdings Inc. and its debtor-affiliates The new members of the Committee: (1) Wilmington Trust, National Association 50 South Sixth Street, Suite 1290 Minneapolis, MN 54402 Attention: Peter Finkel, Vice President Tel: (612) 217-5629 Fax: (612) 217-5651 (2) Capital Research and Management Company 630 Fifth Avenue, 36th Floor New York, NY 10111-0121 Attention: David Daigle Tel: (212) 581-5000 (3) Aurelius Investment, LLC c/o Aurelius Capital Management, LP 535 Madison Avenue ? 22nd Floor New York, New York 10022 Attention: Dan Gropper Tel: (646) 445-6570 Fax: (212) 786-5870 (4) Wilmington Savings Fund Society, FSB 500 Delaware Avenue Wilmington, DE 19801 Attention: Patrick Healy, Vice President Tel: (302) 888-7420 Fax: (302) 421-3137 (5) American Tower do Brasil-Cessao de Infraestructuras LTDA 1000 N.W. 57th Court, Suite 350 Miami, FL 33126 Attention: Susanne M. Kandel, General Counsel Latin America Tel: (617) 585-7752 Fax: (617) 363-7575 (6) Motorola Mobility LLC 222 West Merchandise Mart Plaza, Suite 1800 Chicago, IL 60654 Attention: Venkata Tayi, Vice President and General Manager Michael Willian, Lead Business Development Counsel Tel: (312) 215-5780 Fax: (312) 291-4033 (7) U.S. Bank, National Association 1420 Fifth Avenue, 7th Floor Seattle, WA 98101 Attention: Diana Jacobs, Vice President Tel: (206) 344-4680 Fax: (206) 344-4632 Official creditors' committees have the right to employ legal and accounting professionals and financial advisors, at a debtor's expense. They may investigate the debtor's business and financial affairs. Importantly, official committees serve as fiduciaries to the general population of creditors they represent. About NII Holdings NII Holdings Inc. through its subsidiaries provides wireless communication services for businesses and consumers in Brazil, Mexico and Argentina. NII Holdings has the exclusive right to use the Nextel brand in its markets pursuant to a trademark license agreement with Sprint Corporation and offers unique push-to-talk ("PTT") services associated with the Nextel brand in Latin America. NII Holdings' shares of common stock, par value $0.001, are publicly traded under the symbol NIHD on the NASDAQ Global Select Market. NII Holdings and its affiliated debtors sought bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 14-12611) in Manhattan on Sept. 15, 2014. The Debtors' cases are jointly administered and are assigned to Judge Shelley C. Chapman. The Debtors have tapped Jones Day as counsel and Prime Clerk LLC as claims and noticing agent. The U.S. Trustee for Region 2 on Sept. 29 appointed five creditors of NII Holdings to serve on the official committee of unsecured creditors. The Committee selected Kramer Levin Naftalis & Frankel LLP as its lead counsel. NII HOLDINGS: Hires McKinsey Recovery as Turnaround Advisor ----------------------------------------------------------- NII Holdings Inc. and its debtor affiliates won approval to employ McKinsey Recovery & Transformation Services U.S., LLC, as their turnaround advisor nunc pro tunc to Oct. 23, 2014. Aa turnaround advisor, the Debtors expect McKinsey Recovery to assist them with the development and refinement of their 5-year strategic business plan. The Debtors anticipate McKinsey Recovery to: a. work closely with them and their advisors to prepare supplemental materials and strategic advice to support potential discussions with key stakeholders relating to the Business Plan, operational turnaround and the chapter 11 restructuring; b. assist them with updates to their Business Plan, as applicable; and c. if requested, work with them and their advisors to provide expert testimony relating to the Business Plan that may be required in their Chapter 11 cases, including but not limited to, expert witness testimony in support of the confirmation of a plan of reorganization. The Debtors propose to pay for McKinsey Recovery's services according to the Firm's standard rates, which are: Title of Professional Hourly Rate --------------------- ----------- Practice Leader $875 to $1,050 Executive Vice President $810 to $875 Senior Vice President $675 to $810 Vice President $525 to $675 Senior Associate $435 to $525 Associate $375 to $435 Analyst $250 to $350 Paraprofessional $200 to $225 The Debtors also propose to reimburse the Firm's reasonable and necessary out-of-pocket expenses in connection with the engagement. Pursuant to the Prepetition Engagement Letter, McKinsey Recovery received a $250,000 retainer in connection with the Firm's prepetition work. The Firm has also drawn a total of $103,015 under the Retainer for services rendered and expenses incurred prior to the Petition Date. Any remaining amounts of the Prepetition Retainer after reconciliation with the Firm's outstanding prepetition fees and expenses will be applied as a credit toward postpetition fees and expenses, after such postpetition fees and expenses are approved pursuant to the first order of the Court awarding fees and expenses to McKinsey Recovery. Kevin Carmody, a Practice Leader of McKinsey Recovery, assures the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Hearing on the McKinsey Application will be held before Bankruptcy Judge Shelley C. Chapman at 10:00 a.m. on November 13, 2014, at One Bowling Green, Courtroom No. 623, New York. About NII Holdings NII Holdings Inc. through its subsidiaries provides wireless communication services for businesses and consumers in Brazil, Mexico and Argentina. NII Holdings has the exclusive right to use the Nextel brand in its markets pursuant to a trademark license agreement with Sprint Corporation and offers unique push-to-talk ("PTT") services associated with the Nextel brand in Latin America. NII Holdings' shares of common stock, par value $0.001, are publicly traded under the symbol NIHD on the NASDAQ Global Select Market. NII Holdings and its affiliated debtors sought bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 14-12611) in Manhattan on Sept. 15, 2014. The Debtors' cases are jointly administered and are assigned to Judge Shelley C. Chapman. The Debtors have tapped Jones Day as counsel and Prime Clerk LLC as claims and noticing agent. The U.S. Trustee for Region 2 on Sept. 29 appointed five creditors of NII Holdings to serve on the official committee of unsecured creditors. Kramer Levin Naftalis & Frankel LLP serves as lead counsel to the Creditors Committee, while FTI Consulting, Inc., acts its financial advisor. NII HOLDINGS: Taps Ernst & Young for Accounting Services -------------------------------------------------------- NII Holdings Inc. and its debtor affiliates won approval from the U.S. Bankruptcy Court for the Southern District of New York to employ Ernst & Young LLP to provide certain valuation and accounting services nunc pro tunc to the Petition Date. The Debtors require EY LLP these services: I. Valuation Services (a) Provide a recommendation of the fair value of certain tangible and intangible assets of NII Brazil, NII Mexico, NII Argentina and the Debtors' U.S. operations, and deferred revenue liability related to NII Brazil, NII Mexico and NII Argentina as well as the valuation of the business enterprise value of NII Brazil, NII Mexico and NII Argentina reporting units in order to allocate the overall reorganization value between such reporting units. (b) Perform interviews with senior management of NII concerning the nature of certain tangible and intangible assets, liability and reporting units and operations; (c) Consider any business plans, future performance estimates or budgets for NII; (d) Prepare a valuation analysis of personal property at NII Brazil, NII Mexico, NII Argentina and the NII headquarters in the United States; (e) Prepare a valuation analysis of tower financing obligations for approximately 1,300 towers transferred by NII Brazil and NII Mexico between 2002 and 2008; (f) Prepare a valuation analysis of real property at NII Brazil, NII Mexico and NII Argentina; (g) Prepare a valuation analysis of NII's intangible assets; (h) Prepare a valuation analysis of NII Brazil, NII Mexico, NII Argentina and their deferred revenue liability; and (i) Prepare a narrative report summarizing the methodologies employed in the EY LLP valuation analysis, the assumptions on which the EY LLP analysis was based and EY LLP's recommendations of fair value. II. Fresh Start Accounting Services (a) Assist with accounting and reporting issues related to the bankruptcy filing; (b) Assist with the preparation of the fresh-start accounting required work steps, including project management support and resource needs; (c) Assist with the preparation of an overall fresh-start accounting project timeline; (d) Assist with the technical fresh-start accounting and reporting requirements, including the identification of accounts impacted by fresh-start accounting and the fresh start reporting date; including providing examples of fresh-start accounting disclosures, publications or examples of the application of fresh-start accounting, or other information that may assist management with the application of fresh-start accounting; (e) Based on the valuation studies and appraisals, assist with the fresh-start accounting adjustments, including system needs and recording of entries to the ledgers and sub-ledgers; (f) Assist the Debtors with regard to the income tax accounting impacts stemming from fresh start accounting and effects of a plan of reorganization; and (g) Assist the Debtors with the subsequent accounting for the fresh-start accounting adjustments. EY LLP may also provide certain specified additional services -- the Optional Services. The Debtors propose to pay for EY LLP's services on agreed hourly rates, which are: Professional Level Hourly Rate ------------------ ----------- Partner/Principal $565 Executive Director $480 Senior Manager $460 Manager $368 Senior Associate $263 Staff $170 The Debtors said it is not possible at this time to estimate the number of professional hours required for EY LLP's services. However, pursuant to the Engagement Letters, the Debtors agree to pay EY LLP no more than $650,000 for the Valuation Services, which includes potential incremental fees of $35,000 to $55,000 for Optional Services. This estimate of fees does not cover additional time that may be incurred should the Debtors fail to emerge from bankruptcy in a timely manner and should EY LLP be required to update EY LLP's valuation report. In addition, this estimate of fees does not apply to the Fresh Start Accounting Services. The Debtors will reimburse EY LLP for any direct expenses incurred in connection with the Firm's retention in their Chapter 11 cases and the performance of the contemplated services. EY LLP is owed $32,706 by the Debtors with respect services provided by the Firm prior to the Petition Date. Upon approval of its retention in these cases, EY LLP will waive its right to receive any unpaid prepetition fees owed by the Debtors. The Debtors further disclose that during the 90 days immediately preceding the Petition Date, they paid to EY LLP amounts totaling $54,244. Robert J. Stall, a principal at E&Y LLP, assures the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. About NII Holdings NII Holdings Inc. through its subsidiaries provides wireless communication services for businesses and consumers in Brazil, Mexico and Argentina. NII Holdings has the exclusive right to use the Nextel brand in its markets pursuant to a trademark license agreement with Sprint Corporation and offers unique push-to-talk ("PTT") services associated with the Nextel brand in Latin America. NII Holdings' shares of common stock, par value $0.001, are publicly traded under the symbol NIHD on the NASDAQ Global Select Market. NII Holdings and its affiliated debtors sought bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 14-12611) in Manhattan on Sept. 15, 2014. The Debtors' cases are jointly administered and are assigned to Judge Shelley C. Chapman. The Debtors have tapped Jones Day as counsel and Prime Clerk LLC as claims and noticing agent. The U.S. Trustee for Region 2 on Sept. 29 appointed five creditors of NII Holdings to serve on the official committee of unsecured creditors. Kramer Levin Naftalis & Frankel LLP serves as lead counsel to the Creditors Committee, while FTI Consulting, Inc., acts its financial advisor. NNN SIENNA: Hearing on Reorganization Plan Today ------------------------------------------------ The U.S. Bankruptcy Court will convene a hearing today, Nov. 13, 2014, to consider approval of the Plan of Reorganization proposed by NNN Siena Office Park I 41, LLC, et al., dated June 19, 2014. The Plan encompasses 28 voluntary bankruptcy petitions filed by tenants in common (TIC) that own certain undivided interests in that certain commercial real property situated at 861 Coronado Center Drive and 2850 W. Horizon Ridge Parkway, Henderson, Nevada ( the property). The Debtors propose under the Plan the consolidation of all interests in the property into a single limited liability company, which company will own a 100% ownership interest in the property and to contribute, or to cause to be contributed from a third party investor, the sum of $3,294,850 in new value for the purpose of paying administrative expenses and Plan obligations, including the pay down of $1,000,000 against the Allowed Secured Claim of lender, and to recapitalize the property, thence to pay the postpetition and post confirmation operating expenses of the property from the gross rental income of the property. The Debtors will continue to prosecute the state court litigation, entitled NNN Siena Office Park I 2, LLC et al. v. Wachovia Bank Nat'l Assn., et al., devoting the net proceeds thereof after payment of attorney's fees and costs incurred therein, to reduce debt and pay operating expenses. If the lender does not make an election under Section 1111(b) of the Bankruptcy Code, the Debtors will sell or refinance the property on or before either the tenth (10th) anniversary date of the Effective Date, and if lender does timely file an election, Debtors will sell or refinance the property on or before the 15th anniversary date of the Effective Date, paying the amount of the Plan percentage of all Allowed Claims that remain then unpaid from the closing of escrow. A copy of the Plan is available for free at http://bankrupt.com/misc/NNNSiena_plan.pdf About NNN Siena Office Park I 41 NNN Siena Office Park I 41, LLC, together with 30 other affiliates, filed a Chapter 11 bankruptcy petition (Bankr. N.D. Cal. Case No. 14-40668) on Feb. 19, 2014. Judge M. Elaine Hammond oversees the Debtor's Chapter 11 case. The petition was signed by Mubeen Aliniazee, manager and responsible individual. The Debtor disclosed unknown assets and $28,775,667 liabilities as of the Chapter 11 filing. NORTEL NETWORKS: Continues to Burn Cash Despite Not Operating ------------------------------------------------------------- Peg Brickley, writing for The Wall Street Journal, reported that court documents filed in the U.S. Bankruptcy Court for the District of Delaware shows that Nortel Networks Corp.'s U.S. unit spent $169 million on its bankruptcy case in the first nine months of this year despite not operating for business in years. According to the Journal, court papers show that Nortel Canada had approximately $143.6 million available cash as of Sept. 13, down from down from $226 million as of Jan. 18, while Nortel U.S. had cash of $827 million at the close of 2013, but only had $658 million by the end of September. About Nortel Networks Headquartered in Ontario, Canada, Nortel Networks Corporation and its various affiliated entities provided next-generation technologies, for both service provider and enterprise networks, support multimedia and business-critical applications. Nortel did business in more than 150 countries around the world. Nortel Networks Limited was the principal direct operating subsidiary of Nortel Networks Corporation. On Jan. 14, 2009, Nortel Networks Inc.'s ultimate corporate parent Nortel Networks Corporation, NNI's direct corporate parent Nortel Networks Limited and certain of their Canadian affiliates commenced a proceeding with the Ontario Superior Court of Justice under the Companies' Creditors Arrangement Act (Canada) seeking relief from their creditors. Ernst & Young was appointed to serve as monitor and foreign representative of the Canadian Nortel Group. That same day, the Monitor sought recognition of the CCAA Proceedings in U.S. Bankruptcy Court (Bankr. D. Del. Case No. 09-10164) under Chapter 15 of the U.S. Bankruptcy Code. That same day, NNI and certain of its affiliated U.S. entities filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 09-10138). In addition, the High Court of England and Wales placed 19 of NNI's European affiliates into administration under the control of individuals from Ernst & Young LLP. Other Nortel affiliates have commenced and in the future may commence additional creditor protection, insolvency and dissolution proceedings around the world. On May 28, 2009, at the request of administrators, the Commercial Court of Versailles, France, ordered the commencement of secondary proceedings in respect of Nortel Networks S.A. On June 8, 2009, Nortel Networks UK Limited filed petitions in U.S. Bankruptcy Court for recognition of the English Proceedings as foreign main proceedings under Chapter 15. U.S. Bankruptcy Judge Kevin Gross presides over the Chapter 11 and 15 cases. Mary Caloway, Esq., and Peter James Duhig, Esq., at Buchanan Ingersoll & Rooney PC, in Wilmington, Delaware, serves as Chapter 15 petitioner's counsel. In the Chapter 11 case, James L. Bromley, Esq., and Howard S. Zelbo, Esq., at Cleary Gottlieb Steen & Hamilton, LLP, in New York, serve as the U.S. Debtors' general bankruptcy counsel; Derek C. Abbott, Esq., at Morris Nichols Arsht & Tunnell LLP, in Wilmington, serves as Delaware counsel. The Chapter 11 Debtors' other professionals are Lazard Freres & Co. LLC as financial advisors; and Epiq Bankruptcy Solutions LLC as claims and notice agent. The U.S. Trustee appointed an Official Committee of Unsecured Creditors in respect of the U.S. Debtors. Fred S. Hodara, Esq., at Akin Gump Strauss Hauer & Feld LLP, in New York, and Christopher M. Samis, Esq., and Mark D. Collins, Esq., at Richards, Layton & Finger, P.A., in Wilmington, Delaware, represent the Unsecured Creditors Committee. An ad hoc group of bondholders also was organized. An Official Committee of Retired Employees and the Official Committee of Long- Term Disability Participants tapped Alvarez & Marsal Healthcare Industry Group as financial advisor. The Retiree Committee is represented by McCarter & English LLP as Delaware counsel, and Togut Segal & Segal serves as the Retiree Committee. The Committee retained Alvarez & Marsal Healthcare Industry Group as financial advisor, and Kurtzman Carson Consultants LLC as its communications agent. Several entities, particularly, Nortel Government Solutions Incorporated and Nortel Networks (CALA) Inc., have material operations and are not part of the bankruptcy proceedings. As of Sept. 30, 2008, Nortel Networks Corp. reported consolidated assets of $11.6 billion and consolidated liabilities of $11.8 billion. The Nortel Companies' U.S. businesses are primarily conducted through Nortel Networks Inc., which is the parent of majority of the U.S. Nortel Companies. As of Sept. 30, 2008, NNI had assets of about $9 billion and liabilities of $3.2 billion, which do not include NNI's guarantee of some or all of the Nortel Companies' about $4.2 billion of unsecured public debt. Since the commencement of the various insolvency proceedings, Nortel has sold its business units and other assets to various purchasers. Nortel has collected roughly $9 billion for distribution to creditors. Of the total, $4.5 billion came from the sale of Nortel's patent portfolio to Rockstar Bidco, a consortium consisting of Apple Inc., EMC Corporation, Telefonaktiebolaget LM Ericsson, Microsoft Corp., Research In Motion Limited, and Sony Corporation. The consortium defeated a $900 million stalking horse bid by Google Inc. at an auction. The deal closed in July 2011. Nortel has filed a proposed plan of liquidation in the U.S. Bankruptcy Court. The Plan generally provides for full payment on secured claims with other distributions going in accordance with the priorities in bankruptcy law. The trial on how to divide proceeds among creditors in the U.S., Canada, and Europe commenced on Sept. 22, 2014. ORECK CORP: KWG Advertising Objects to Confirmation of Plan ----------------------------------------------------------- Karlen Williams Graybill Advertising Inc. ("KWG") has filed a limited objection to confirmation of the Amended Joint Plan of Liquidation Pursuant to Chapter 11 of the Bankruptcy Code Proposed by the Oreck Corporationi and Official Committee of Unsecured Creditors. KWG objects to the confirmation of the Amended Plan to the extent that the Proponents have not provided any indication as to the proposed treatment and allowed amount of KWG's administrative claim and whether KWG's administrative claim will be paid as a condition and requirement of confirmation or the full amount of KWG's administrative claim will be reserved pending resolution of that claim. The Amended Disclosure Statement provides that with respect to administrative expense claims against the Debtor, the estimated amount of allowed claims is $0. The Amended Disclosure Statement as currently drafted does not take into account KWG's $663,597.45 administrative claim. Instead, the Disclosure Statement reflects the Proponents' acknowledgement of KWG's assertion of its administrative claim and their agreement to preserve the parties' right with respect to KWG's asserted administrative claim and in connection with confirmation of the Amended Plan. Pursuant to the Committee's request, KWG provided invoices supporting KWG's administrative claim. At this time, the Proponents have not provided KWG with any indication as to how KWG's administrative claim will be treated and the allowed amount of that claim prior to confirmation of the Amended Plan. KWG, therefore, objects to the confirmation of the Amended Plan insofar as the Amended Plan fails to account for KWG's administrative claim in its estimated allowed amount of administrative claims against the Debtor. KWG requests that the Confirmation Order include language indicating that the full amount of KWG's administrative claim will be reserved pending resolution of the claim and that resolution of KWG's administrative claim will have a material impact on distributions to holders of allowed claims against the Debtor. KWG is represented by: John C. Hayworth, Esq. Walker Tipps & Malone PLC 150 Fourth Avenue North, 2300 One Nashville Place Nashville, Tennessee 37219 Tel: (615) 313-6000 Fax: (615) 313-6001 E-mail: jhayworth@walkertipps.com About Oreck Corp. Oreck Corporation and eight affiliates sought Chapter 11 protection (Bankr. M.D. Tenn. Lead Case No. 13-04006) in Nashville, Tennessee, on May 6, 2013, with plans to sell the business as a going concern. Oreck has been in the business of manufacturing, marketing and selling vacuum cleaners and related products since the late 1960s. The corporate offices are located in Nashville, and the manufacturing and call center is located in Cookeville, Tennessee. Oreck has 70 employees in Nashville, 250 employees at its plant in Cookeville and 325 employees operating 96 company-owned and managed retail stores. The Debtor disclosed $18,013,249 in assets and $14,932,841 plus an unknown amount in liabilities as of the Chapter 11 filing. William L. Norton III, Esq., and Alexandra E. Dugan, Esq., at Bradley Arant Boult Cummings LLP, serve as counsel to the Debtor. BMC Group Inc. is the claims and notice agent. Sawaya Segalas & Co., LLC serves as financial advisor. The U.S. Trustee appointed six creditors to the Official Committee of Unsecured Creditors. Daniel H. Puryear, Esq., at Puryear Law Group, and Sharon L. Levine, Esq., and Kenneth A. Rosen, Esq., at Lowenstein Sandler LLP represent the Committee. The Committee tapped to retain Gavin/Solmonese LLC as its financial advisor. In July 2013, Royal Appliance Mfg. Co. (RAM), a subsidiary of the TTI Group, finalized the purchase of Oreck Corp.'s assets. The Bankruptcy Court approved the sale on July 16, 2013. Royal, the maker of Dirt Devil floor-care products, won the auction for Oreck Corp. The second-place bidder was the Oreck family, which sold the business in a $272 million transaction in 2003. The Oreck family made the first bid at auction at $21.9 million, including $14.5 million cash. The terms of Royal's winning bid weren't disclosed publicly, according to a Bloomberg News report. Royal was acquired in 2003 by Hong Kong-based Techtronic Industries Co., the maker of Hoover vacuum cleaners. JOHN D. OIL: Deadline to Pay RBS Extended to Nov. 13 ---------------------------------------------------- U.S. bankruptcy Judge Thomas P. Agresti has ordered that the deadline in which Oz Gas. LTD., Great Plains Exploration, LLC, and John D. Oil and Gas Company must pay RBS is set on Nov. 13, 2014, pursuant to a Settlement Agreement dated March 17, 2014. The Fifth Amended Plan of Reorganization incorporate the terms of a Settlement Agreement between RBS and the Debtors (among others), including payment by October 15, 2014 of the settlement amount. The Settlement Agreement was approved by the U.S. Bankruptcy Court for the Western District of Pennsylvania. The Plans incorporate the terms of the Settlement Agreement and Approval Orders, and provide that the Plans' effective date will occur only if certain conditions are met, including that RBS will have received the RBS Extended Settlement Amount on or before the deadline. Under the Settlement, the Debtors will deliver the $5,902,174 balance to RBS. If they cannot do so, the conditions precedent to the effective date of the Plans can never be met. About John D. Oil & Gas; OZ Gas; and Great Plains Exploration Mentor, Ohio-based John D. Oil & Gas Co., is in the business of acquiring, exploring, developing, and producing oil and natural gas in Northeast Ohio. The Company has 58 producing wells. The Company also has one self storage facility located in Painesville, Ohio. The self-storage facility is operated through a partnership agreement between Liberty Self-Stor Ltd. and the Company. John D. Oil's affiliated entities -- Oz Gas, LTD., and Great Plains Exploration, LLC -- filed voluntary Chapter 11 petitions (Bankr. W.D. Pa. Case Nos. 12-10057 and 12-10058) on Jan. 11, 2012. Two days later, John D. Oil filed its own Chapter 11 petition (Bankr. W.D. Pa. Case No. 12-10063). On Nov. 21, 2011, at the request of the lender RBS Citizens, N.A., dba Charter One, a receiver was appointed for all three corporate Debtors, in the United States District Court for the Northern District of Ohio at case No. 11-cv-2089-CAB. District Judge Christopher A. Boyko issued an order appointing Mark E. Dottore as receiver. The Receivership Order was appealed to the Sixth Circuit Court of Appeals on Dec. 19, 2011, and the appeal is currently pending. Judge Thomas P. Agresti oversees the Chapter 11 cases. Robert S. Bernstein, Esq., at Bernstein Law Firm P.C., serves as counsel to the Debtors. Each of Great Plains and Oz Gas estimated $10 million to $50 million in assets and debts. John D. Oil's balance sheet at Dec. 31, 2011, showed $6.98 million in total assets, $13.26 million in total liabilities, and a stockholders' deficit of $6.28 million. The petitions were signed by Richard M. Osborne, CEO. The United States Trustee said a committee under 11 U.S.C. Sec. 1102 has not been appointed because no unsecured creditor responded to the U.S. Trustee's communication for service on the committee. PACIFIC STEEL: Amends Schedules of Assets & Liabilities Anew ------------------------------------------------------------ Second Street Properties, formerly known as Pacific Steel Casting Company, filed with the U.S. Bankruptcy Court for the Northern District of California, another amendment to its amended schedules of assets and liabilities, disclosing: Name of Schedule Assets Liabilities ---------------- ----------- ----------- A. Real Property $0 B. Personal Property $36,533,644 C. Property Claimed as Exempt D. Creditors Holding Secured Claims $4,702,528 E. Creditors Holding Unsecured Priority Claims $205,223 F. Creditors Holding Unsecured Non-priority Claims $41,836,994 ----------- ----------- TOTAL $36,533,644 $46,744,746 As reported in the Oct. 1, 2014 edition of the Troubled Company Reporter, the latest previous amendment of the Debtor's schedules of assets and liabilities showed $36,533,644 in assets and $46,740,291 in liabilities. A full-text copy of the amended schedules is available for free at http://is.gd/SfuZbd About Pacific Steel Casting, Berkeley Properties Pacific Steel Casting Company and Berkeley Properties, LLC, separately filed Chapter 11 bankruptcy petitions (Bankr. N.D. Cal. Case Nos. 14-41045 and 14-41048) on March 10, 2014. Pacific Steel's petition was signed by Charles H. Bridges, Jr., chief financial officer and director. Michael W. Malter, Esq., at Binder & Malter, LLP serves as the Debtors' counsel. Epiq Bankruptcy Solutions, LLC, is the Debtors' claims, noticing and balloting agent. Burr Pilger Mayer, a certified public accounting firm, serves as financial consultants. Pacific Steel makes carbon, low-alloy and stainless steel castings for U.S. and international customers, largely for heavy-duty trucks and construction equipment. Tracy Hope Davis, the United States Trustee for Region 17, appointed seven creditors to serve on the Official Committee of Unsecured Creditors. The Committee is represented by Ori Katz, Esq., and Michael M. Lauter, Esq., at Sheppard, Mullin, Richter & Hampton LLP. The Debtors in July 2014 won court approval to sell their fourth- generation family-owned steel foundry for $11.3 million cash plus assumption of specified liabilities to Speyside Fund LLC. Bankruptcy Judge Roger L. Efremsky authorized the Debtors to revise case caption to reflect the name change after the sale of assets. The case caption now reflects: Second Street Properties, and Berkeley Properties, LLC. The Debtors stated that the assets sold included the trade name "Pacific Steel Casting Company" and the commonly used abbreviation and trademark "PSC". The Debtors agreed with the buyer that the Debtors would stop using that name immediately after the closing. PACIFIC STEEL: Can File Chapter 11 Plan Until December 6 -------------------------------------------------------- The Hon. Roger L. Efremsky of the U.S. Bankruptcy Court for the Northern District of California extended the exclusive periods of Second Street Properties fka Pacific Steel Casting Company and its debtor-affiliates to propose a Chapter 11 plan until Dec. 6, 2014, and the exclusive period to solicit acceptances of the plan until Feb. 6, 2015. As reported in the Troubled Company Reporter on Oct. 17, 2014, counsel to the Debtors, Julie H. Rome-Banks, Esq., at Binder & Malter, LLP, explains that since the inception of the Chapter 11 cases, the Debtors have been efficiently working towards a plan of reorganization which was predicated on a sale of substantially all of SSP's assets. The first three months of the case were focused on critical matters needed to preserve the going concern value of the assets of the Estates, such as postpetition financing, utility deposits and the marketing of assets. The Court approved bid procedures and eventually also approved the sale of substantially all the assets of SSP and related relief on July 28, 2014. The sale of substantially all assets of SSP closed on August 29, 2014. As a result of the sale, the Debtors have terminated all employees, with all but approximately 1 dozen becoming employees of the buyer. Since closing the sale, the Debtors have been actively engaged in post-closing reconciliations and adjustments that are typical of large sales of a going concern business, including working capital (inventory and accounts receivable) adjustments, pro-rating of expenses and invoices for the month of August, and dealing with the transfer of equipment that as subject to disguised security agreements and seeking refunds on utility deposits. The Court has also recently granted the Debtors' request to set a bar date of Oct. 31, 2014 for administrative claims through the date of the closing. The Debtors have also filed a motion to reject their remaining leases and executory contracts which is scheduled for hearing on October 8th with a requested bar date for rejection claims and administrative claims by those affected creditors of Oct. 31, 2014. In addition, Nov. 27, 2014 is the last day for the Buyer to assert claims based upon alleged violations of the representations and warranties contained in the asset purchase agreement. A $32,358,877 priority tax claim was filed by the IRS on Aug. 28, 2014 due to a pending audit of the 2012 corporate income tax returns. The Debtors anticipate filing a motion under Section 505(a) to determine that the claim of the IRS should be valued at zero and expect that contested matter to initially come before the Court in November. Based on all of these temporal factors which affect a liquidation analysis, estimated recovery to creditors and feasibility, the Debtors do not anticipate being able to file a plan of reorganization for at least two months at the earliest. About Pacific Steel Casting, Berkeley Properties Pacific Steel Casting Company and Berkeley Properties, LLC, separately filed Chapter 11 bankruptcy petitions (Bankr. N.D. Cal. Case Nos. 14-41045 and 14-41048) on March 10, 2014. Pacific Steel's petition was signed by Charles H. Bridges, Jr., chief financial officer and director. Michael W. Malter, Esq., at Binder & Malter, LLP serves as the Debtors' counsel. Epiq Bankruptcy Solutions, LLC, is the Debtors' claims, noticing and balloting agent. Burr Pilger Mayer, a certified public accounting firm, serves as financial consultants. Pacific Steel makes carbon, low-alloy and stainless steel castings for U.S. and international customers, largely for heavy-duty trucks and construction equipment. Tracy Hope Davis, the United States Trustee for Region 17, appointed seven creditors to serve on the Official Committee of Unsecured Creditors. The Committee is represented by Ori Katz, Esq., and Michael M. Lauter, Esq., at Sheppard, Mullin, Richter & Hampton LLP. The Debtors in July 2014 won court approval to sell their fourth- generation family-owned steel foundry for $11.3 million cash plus assumption of specified liabilities to Speyside Fund LLC. Bankruptcy Judge Roger L. Efremsky authorized the Debtors to revise case caption to reflect the name change after the sale of assets. The case caption now reflects: Second Street Properties, and Berkeley Properties, LLC. The Debtors stated that the assets sold included the trade name "Pacific Steel Casting Company" and the commonly used abbreviation and trademark "PSC". The Debtors agreed with the buyer that the Debtors would stop using that name immediately after the closing. PANTHER TRAILS: S&P Revises Outlook to Pos. & Affirms 'BB' Rating ----------------------------------------------------------------- Standard & Poor's Ratings Services said it revised its outlook to positive from stable and affirmed its 'BB' long-term rating on Panther Trails Community Development District, Fla.'s series 2005 bonds. "The revision is based on an improving value-to-lien ratio due to a slight pickup in the local housing market," said Standard & Poor's credit analyst Ruth Ducret. Factors supporting the underlying credit quality of the district and positive outlook include what S&P considers its: -- Improved, albeit still low, overall value-to-lien ratio of 7:1, compared ith 5:1 the previous year; -- Third consecutive decrease in the delinquency rate in as many years, bringing the fiscal 2013 delinquency rate to 4%; and -- Fully developed residential assessment base. Factors hampering the credit strength of the bonds, in S&P's view, include: -- A more-than 50% decrease in the district's total assessed value since 2008; -- A recent history of 54% of individual assessable lots with a value-to-lien ratio less than or equal to 5:1, when including the district's series 2011 bonds; -- A relatively high proportion of bank- or builder-owned properties, with about 45 such lots accounting for nearly 11.5% of assessments. Non-ad valorem special assessments imposed and levied on specific land parcels within the community development district and collected by Hillsborough County secure the 2005 bonds. The district, located in Hillsborough County, is fully developed with more than 377 single-family units. PROSPECT PARK: Court Sets December 15 as Claims Bar Date -------------------------------------------------------- The U.S. Bankruptcy Court for the District of Delaware set Dec. 15, 2014, at 11:59 p.m., (Prevailing Eastern Time) as the deadline for creditors of Prospect Park Networks LLC to file proofs of (a) claim; and (b) interest on account of equity interest in the Debtor. The Court also set Dec. 15, 2014, at 11:59 p.m., Prevailing Eastern Time) as the deadline to all persons or entities holding a claim arising under sections 503(b) and 507(a)(2) of the Bankruptcy Code against the Debtor that may have arisen, accrued or otherwise become due and payable at any time on and subsequent to the Petition Date, but on or before October 1, 2014 -- Initial Administrative Claims Period -- to file claims in the Chapter 11 Case. The Court fixed April 14, 2015 at 11:59 p.m. (Prevailing Eastern Time), as the last date for governmental units to file proofs of claim. As reported in the Troubled Company Reporter on Oct. 17, 2014, pursuant to Bankruptcy Rule 3003(c)(2), the Debtor proposes that any holder of a claim against or interest in the Debtor who is required, but fails, to file a proof of claim or interest or Administrative Claim on or before the applicable Bar Date will be forever barred, estopped and enjoined from asserting such claim against or interest in the Debtor (or filing a proof of claim or interest with respect thereto), and the Debtor's property shall be forever discharged from any and all indebtedness or liability with respect to such claim or interest, and such holder shall not be permitted to vote, to accept or reject any chapter 11 plan filed in this Chapter 11 Case, or participate in any distribution on account of such claim or interest or to receive further notices regarding such claim or interest. About Prospect Park Networks Prospect Park Networks, LLC, a Los Angeles, Calif.-based talent and management company, filed for Chapter 11 bankruptcy (Bankr. D. Del. Case No. 14-10520) in Wilmington, on March 10, 2014, estimating $50 million to $100 million in assets, and $10 million to $50 million in debts. The petition was signed by Jeffrey Kwatinetz, president. William E. Chipman, Jr., Esq., and Mark D. Olivere, Esq., at Cousins Chipman & Brown LLP, in Wilmington, Delaware; and John H. Genovese, Esq., Michael Schuster, Esq., and Heather L. Harmon, Esq., at Genovese Joblove & Battista, P.A. serve as the Debtor's bankruptcy counsel. The Debtor also hired Cohn Reznick LLP as an ordinary course professional. The U.S. Trustee for Region 3 selected three creditors to serve on the Official Committee of Unsecured Creditors. Cole, Schotz, Meisel, Forman & Leonard, P.A., serves as the Committee's counsel. QUALITY DISTRIBUTION: Obtains $350-Mil. ABL Credit Facility ----------------------------------------------------------- Quality Distribution, Inc., and its wholly owned subsidiary, Quality Distribution, LLC, entered into an amended and restated Credit Agreement with Bank of America, N.A., as administrative agent and collateral agent, JPMorgan Chase Bank, N.A., and Suntrust Bank, as co-syndication agents, and the lenders party thereto from time to time, which amends and restates the existing Credit Agreement, dated Aug. 19, 2011. The Amended and Restated Credit Agreement provides for a $350 million senior secured asset- based revolving credit facility and a $17.5 million senior secured FILO term loan facility. Borrowings under the ABL Facility bear interest at a rate equal to an applicable margin plus, at the Company's option, either a base rate or LIBOR. The initial applicable margin is 0.75% for base rate borrowings and 1.75% for LIBOR borrowings. The applicable margin for borrowings will be reduced or increased as follows: if the average borrowing base availability under the ABL Facility is greater than or equal to 50% and QD LLC satisfies a fixed charge coverage ratio of 1.20:1.00 or greater, the applicable margin is 0.50% for base rate borrowings and 1.50% for LIBOR borrowings; if the average borrowing base availability under the ABL Facility is greater than or equal to 25% and less than 50%, the applicable margin is 0.75% for base rate borrowings and 1.75% for LIBOR borrowings; and if the average borrowing base availability under the ABL Facility is less than 25%, the applicable margin is 1.00% for base rate borrowings and 2.00% for LIBOR borrowings. In addition to paying interest on outstanding principal under the ABL Facility, the Company will be required to pay a quarterly unutilized commitment fee to the lenders at an initial rate of 0.25%, with the rate remaining at 0.25% if the average utilization of the ABL Facility during a quarter is greater than or equal to 50% with the rate increasing to 0.375% if the average utilization of the ABL Facility during a quarter is less than 50%. The Company must also pay customary letter of credit fees quarterly. The Company may voluntarily repay outstanding loans under the ABL Facility at any time without premium or penalty, other than customary "breakage" costs with respect to LIBOR loans. The ABL Facility will mature at the earlier of Nov. 3, 2019, and such date that is 91 days prior to the maturity of the Company's currently outstanding second lien notes or any future second lien notes of the Company or any permitted refinancing of such currently outstanding or future notes if the outstanding amount of such debt is above a certain threshold. Borrowings under the Term Loan Facility also bear interest at a rate equal to an applicable margin plus, at the Company's option, either a base rate or LIBOR. The initial applicable margin is 2.00% for base rate borrowings and 3.00% for LIBOR borrowings, with a potential step-down after three months to 1.75% for base rate borrowings and 2.75% for LIBOR borrowings, if QD LLC achieves a senior secured leverage ratio of 3.50:1.00 or less. Obligations under the Term Loan Facility will mature at the earlier of Nov. 3, 2017, and such date on which the ABL Facility terminates. The Amended and Restated Credit Agreement contains a number of covenants that, among other things, restrict, subject to certain exceptions, the Company's ability, and the ability of the Company's subsidiaries, to sell assets; incur additional indebtedness; prepay other indebtedness; pay dividends and distributions or repurchase their capital stock; create liens on assets; make investments; make certain acquisitions; engage in mergers or consolidations; engage in certain transactions with affiliates; amend certain charter documents and material agreements governing subordinated indebtedness; change the business conducted by it and its subsidiaries; and enter into agreements that restrict dividends from subsidiaries. The Amended and Restated Credit Agreement also contains certain customary affirmative covenants and events of default. All obligations under the Amended and Restated Credit Agreement are guaranteed by the Company and the Company's wholly-owned domestic restricted subsidiaries (other than certain excluded subsidiaries) pursuant to a Guarantee and Collateral Agreement, dated as of Aug. 19, 2011, among the Company, QD LLC, each of the Company's subsidiaries party thereto, and Bank of America, N.A., as administrative agent and collateral agent. Further, pursuant to the Guarantee and Collateral Agreement, obligations under the Amended and Restated Credit Agreement, and the guarantees of those obligations (as well as cash management obligations and any interest hedging or other swap agreements), are secured by a first priority lien on substantially all of the assets of QD LLC and the guarantors. On Nov. 3, 2014, in connection with the Company and QD LLC entering into the Amended and Restated Credit Agreement, the subsidiary guarantors under the Amended and Restated Credit Agreement entered into a subsidiary loan party acknowledgement with Bank of America, N.A., pursuant to which they agreed to be bound by the terms set forth in the Amended and Restated Credit Agreement and affirm their obligations under the Guarantee and Collateral Agreement. A full-text copy of the Amended and Restated Credit Agreement is available for free at http://is.gd/j7gJbM About Quality Distribution Quality Distribution, LLC, and its parent holding company, Quality Distribution, Inc., are headquartered in Tampa, Florida. The company is a transporter of bulk liquid and dry bulk chemicals. The company's 2010 revenues are approximately $686 million. Apollo Management, L.P., owns roughly 30 percent of the common stock of Quality Distribution, Inc. Quality Distribution reported a net loss of $42.03 million on $929.81 million of total operating revenues for the year ended Dec. 31, 2013, as compared with net income of $50.07 million on $842.11 million of total operating revenues in 2012. Bankruptcy Warning The Company had consolidated indebtedness and capital lease obligations, including current maturities, of $383.3 million as of Dec. 31, 2013. The Company must make regular payments under the ABL Facility, including the $17.5 million senior secured term loan facility that was fully funded on July 15, 2013, and the Company's capital leases and semi-annual interest payments under its 2018 Notes. "The ABL Facility matures August 2016. Obligations under the Term Loan mature on June 14, 2016 or the earlier date on which the ABL Facility terminates. The maturity date of the ABL Facility, including the Term Loan, may be accelerated if we default on our obligations. If the maturity of the ABL Facility and/or such other debt is accelerated, we may not have sufficient cash on hand to repay the ABL Facility and/or such other debt or be able to refinance the ABL Facility and/or such other debt on acceptable terms, or at all. The failure to repay or refinance the ABL Facility and/or such other debt at maturity would have a material adverse effect on our business and financial condition, would cause substantial liquidity problems and may result in the bankruptcy of us and/or our subsidiaries. Any actual or potential bankruptcy or liquidity crisis may materially harm our relationships with our customers, suppliers and independent affiliates," the Company said in the Annual Report for the year ended Dec. 31, 2013. As of June 30, 2014, the Company had $445.64 million in total assets, $481.19 million in total liabilities and a $35.55 million total shareholders' deficit. * * * As reported in the TCR on June 28, 2013, Moody's Investors Service upgraded Quality Distribution, LLC's Corporate Family Rating to B2 from B3 and Probability of Default Rating to B2-PD from B3-PD. The upgrade of Quality's CFR to B2 was largely driven by the expectation that credit metrics will improve over the next twelve to eighteen months, through a combination of EBITDA growth and debt paydowns, to levels consistent with the B2 rating level. The company is in the process of integrating the bolt-on acquisitions made in its Energy Logistics business sector since 2011. RADIOSHACK CORP: EVP of Human Resources to Quit ----------------------------------------------- Telvin Jeffries, executive vice president of Human Resources and Services International is leaving RadioShack Corporation to pursue other opportunities, according to a regulatory filing with the U.S. Securities and Exchange Commission. Mr. Jeffries has agreed to provide consulting services to the Company for up to six months on an as requested by the Company basis. Mr. Jeffries will not be paid any compensation for providing those consulting services. His responsibilities have been reassigned to other executives in the organization. About Radioshack Corporation RadioShack (NYSE: RSH) -- http://www.radioshackcorporation.com-- is a national retailer of innovative mobile technology products and services, as well as products related to personal and home technology and power supply needs. RadioShack's retail network includes more than 4,300 company-operated stores in the United States, 270 company-operated stores in Mexico, and approximately 1,000 dealer and other outlets worldwide. Radioshack reported a net loss of $400.2 million in 2013, a net loss of $139.4 million in 2012, and net income of $72.2 million in 2011. The Company's balance sheet at Aug. 2, 2014, showed $1.14 billion in total assets, $1.21 billion in total liabilities and a $63 million total shareholders' deficit. * * * As reported by the TCR on Sept. 15, 2014, Standard & Poor's Ratings Services lowered its corporate credit rating on Fort Worth, Texas-based RadioShack Corp. to 'CCC-' from 'CCC'. "The downgrade comes as the company announced it will seek capital, and that such a transaction could include a debt restructuring in addition to store closures and other measures," said Standard & Poor's credit analyst Charles Pinson-Rose. In the Sept. 16, 2014, edition of the TCR, the TCR reported that Fitch Ratings had downgraded the Long-term Issuer Default Rating (IDR) for RadioShack Corporation (RadioShack) to 'C' from 'CC'. The downgrade reflects the high likelihood that RadioShack will need to restructure its debt in the next couple of months. The TCR reported on March 13, 2014, that Moody's Investors Service downgraded RadioShack Corporation's corporate family rating to Caa2 from Caa1. "The continuing negative trend in RadioShack's sales and margins has resulted in a precipitous drop in profitability causing continued deterioration in credit metrics and liquidity," Mickey Chadha, Senior Analyst at Moody's said. REALOGY CORP: Reports $100 Million Third Quarter Net Income ----------------------------------------------------------- Realogy Holdings Corp. and Realogy Group LLC filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing net income attributable to the Companies of $100 million on $1.53 billion of net revenues for the three months ended Sept. 30, 2014, compared to net income attributable to the Companies of $109 million on $1.55 billion of net revenues for the same period in 2013. For the nine months ended Sept. 30, 2014, the Companies reported net income attributable to Realogy Holdings and Realogy Group of $122 million on $4.05 billion of net revenues compared to net income attributable to Realogy Holdings and Realogy Group of $118 million on $4.04 billion of net revenues for the same period last year. As of Sept. 30, 2014, the Company had $7.64 billion in total assets, $5.48 billion in total liabilities and $2.16 billion in total equity. "The quarter produced strong cash flow in part due to our continued investment in growth and lower interest expense," said Richard A. Smith, Realogy's chairman, chief executive officer and president. "Our third quarter Adjusted EBITDA matched the third quarter of 2013, even in the face of difficult comparisons from the same quarter last year, which we believe was bolstered by accelerated home closings in a rising mortgage rate environment. In addition, we completed the ZipRealty acquisition, and its integration is going well. We continue to be excited about the strategic opportunities available to us as a result of this transaction." "We expect to end the year with approximately $400 million of cash and cash equivalents and to be well positioned to make further progress toward our goal of reducing interest expense and deleveraging the balance sheet as we move into 2015," added Hull. The Company ended the third quarter with a cash and cash equivalents balance of $268 million and no outstanding borrowings under its revolving credit facility. Total long-term corporate debt, including the short term portion, net of cash and cash equivalents totaled $3.7 billion at Sept. 30, 2014. A full-text copy of the Form 10-Q is available for free at: http://is.gd/IoOBuI About Realogy Corp. Realogy Corp. -- http://www.realogy.com/-- a global provider of real estate and relocation services with a diversified business model that includes real estate franchising, brokerage, relocation and title services. Realogy's world-renowned brands and business units include Better Homes and Gardens Real Estate, CENTURY 21, Coldwell Banker, Coldwell Banker Commercial, The Corcoran Group, ERA, Sotheby's International Realty, NRT LLC, Cartus and Title Resource Group. Collectively, Realogy's franchise systems have around 15,000 offices and 270,000 sales associates doing business in 92 countries around the world. Headquartered in Parsippany, N.J., Realogy is owned by affiliates of Apollo Management, L.P., a leading private equity and capital markets investor. Realogy fully supports the principles of the Fair Housing Act. Realogy Holdings Corp. and Realogy Group LLC reported net income of $443 million in 2013, a net loss of $540 million in 2012 and a net loss of $439 million in 2011. * * * In the Aug. 1, 2013, edition of the TCR, Moody's Investors Service upgraded the corporate family rating of Realogy Group to B2 from B3. The upgrade to B2 CFR is driven by expectations for ongoing strong financial performance, supported by Realogy's recently-concluded debt and equity financing activities and a continuing recovery in the US existing home sale market. As reported by the TCR on Feb. 18, 2013, Standard & Poor's Ratings Services raised its corporate credit rating on Realogy Corp. to 'B+' from 'B'. "The one notch upgrade in the corporate credit rating to 'B+' reflects an increase in our expectation for operating performance at Realogy in 2013, and S&P's expectation that total lease adjusted debt to EBITDA will improve to the low-6x area and funds from operations (FFO) to total adjusted debt will be improve to the high-single-digits percentage area in 2013, mostly due to EBITDA growth in the low- to mid-teens percentage area in 2013," S&P said. RESEARCH SOLUTIONS: Posts $1.1-Mil. Net Income in Sept. 30 Qtr. --------------------------------------------------------------- Research Solutions, Inc., filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing net income of $1.14 million on $7.55 million of revenue for the three months ended Sept. 30, 2014, compared to a net loss of $142,947 on $6.61 million of revenue for the same period in 2013. As of Sept. 30, 2014, the Company had $6.49 million in total assets, $5.70 million in total liabilities and $795,772 in total stockholders' equity. As of Sept. 30, 2014, the Company had cash and cash equivalents of $1,535,415, compared to $1,884,667 as of June 30, 2014, a decrease of $349,252. This decrease was primarily attributable to cash used in discontinued operations. The Company reported a net loss of $1.87 million for the fiscal year ended June 30, 2014, compared with net income of $191,922 for the year ended June 30, 2013. A full-text copy of the Form 10-Q is available for free at: http://is.gd/6Tysgb About Research Solutions Research Solutions, Inc. provides research information services and software to research-intensive industries in the Life Sciences and other fields. The Encino, California-based Company delivers copyrighted copies of published content, including articles from published journals, to content users in hard copy or electronic form. REYNOSO VINEYARDS: Court Closes Chapter 11 Bankruptcy Case ---------------------------------------------------------- The Hon. Alan Jaroslovsky of the U.S. Bankruptcy Court for the Northern District of California issued a final decree closing the Chapter 11 bankruptcy case of Reynoso Vineyards Inc. As reported in the Troubled Company Reporter on Feb. 13, 2014, the Debtor won confirmation of its bankruptcy-exit plan. Judge Alan Jaroslovsky held a hearing Dec. 20 and subsequently entered an order confirming the plan. The order noted that the plan has been accepted in writing by the creditors whose acceptance is required by law; and the plan complies with the applicable provisions of Chapter 11 of the Bankruptcy Code. The Plan dated Dec. 17, 2013, provides that shareholders will retain their equity position. First lien and second lien creditors will be paid in full with interest over time. Holders of allowed unsecured claims shall be paid in full in 60 equal monthly installments. A copy of the Plan is available for free at http://bankrupt.com/misc/Reynoso_Vineyards_Plan.pdf About Reynoso Vineyards Inc. Reynoso Vineyards Inc. filed a Chapter 11 petition (Bankr. N.D. Cal. Case No. 13-11640) in Santa Rosa, California, on Aug. 26, 2013. The Debtor disclosed $15.8 million in assets and $9.34 million in liabilities in schedules filed together with the petition. The Debtor owns a 395-acre property at River Road, in Cloverdale, California. The property has 148 acres planted with wine grapes and 9 buildings, which consist of 5 single family dwellings, 2 barns and 2 sheds. The property is valued at $14 million and secures and $8.7 million debt to Exchange Bank. The Debtor is represented by Michael C. Fallon, Esq., at the Law Offices of Michael C. Fallon, in Santa Rosa, California. RICHMOND VALLEY: Seeks Court's Final Decree Closing Case -------------------------------------------------------- Richmond Valley Plaza LLC and its debtor-affiliates ask the Hon. Carla E. Craig of the U.S. Bankruptcy Court for the Eastern District of New York to enter a final decree closing their Chapter 11 bankruptcy cases citing substantial consummation of their first amended join Chapter 11 plan of reorganization dated April 21, 2014, has now occurred. The Debtors tell the Court that they made distributions to holders of allowed Class 4 Unsecured Claims in full satisfaction of their obligations under the plan and all other aspects of the plan have been complied with and satisfied. A hearing on the Debtors' request will be held Nov. 18, 2014, at 12:00 n.n., before Judge Craig at Conrad B. Duberstein U.S. Courthouse, 271-C Cadman Plaza East in Brooklyn, New York. About Richmond Valley Plaza LLC Richmond Valley Plaza LLC filed a Chapter 11 petition (Bankr. E.D.N.Y. Case No. 13-44040) on June 28, 2013 in Brooklyn, New York. Yann Geron, Esq. and Kathleen Aiello, Esq., of Fox Rothschild LLP, serve as counsel to the Debtor. The Debtor estimated up to $8,400,000 in assets and up to $6,517,934 in liabilities. Affiliates, A.E.T. Realty Holding Corp., (Case No. 13-44043) and E.B. Realty Holding Corp (Case No. 13-44047) sought Chapter 11 protections on the same day. TM Real Estate Holding LLC a/k/a T.M. Realty Holding Corp., filed a Chapter 11 petition (Bankr. E.D.N.Y. Case No. 13-44046) on June 28, 2013. The Debtor scheduled assets of $10,900,000 and liabilities of $10,497,264. The petition was signed by John Noce, manager. The Debtors' cases were jointly administered pursuant to a Court order dated Aug. 8, 2013. RIVERWALK JACKSONVILLE: Needs More Time to Negotiate Asset Sale --------------------------------------------------------------- Riverwalk Jacksonville Development, LLC, asks the Bankruptcy Court to extend its exclusive periods to file a plan of reorganization until Jan. 31, 2015, and an additional 60 days thereafter to solicit acceptances for that plan. The Debtor, in its second motion, said that it has been in discussions with most of the interested parties to the proposed Wyndam transaction. In this relation, the Debtor needs additional time to conclude negotiations, finalize its agreement in connection therewith, and prepare its plan founded on that agreement. About Riverwalk Jacksonville Development Riverwalk Jacksonville Development, LLC, owns four parcel of real property located in areas surrounding the Wyndham Hotel and Convention Center. The properties comprise approximately 10.4 acres and constitute prime downtown commercial space. The occupants of the area are a Chart House restaurant, various office building and parking amenities. Three of the four properties are encumbered to Sabadell and U.S. Century Bank. There is, in fact, substantial equity in all of the properties. Riverwalk Jacksonville Development filed a Chapter 11 bankruptcy (Bankr. S.D. Fla. Case No. 14-19672) on April 28, 2014, in Miami. Stevan J. Pardo signed the petition as managing member. The Debtor estimated assets of at least $10 million and debts of at least $1 million. Geoffrey S. Aaronson, Esq., at Aaronson Schantz P.A. serves as the Debtor's counsel. Judge Laurel M Isicoff oversees the case. ROSETTA GENOMICS: Adjourns Annual Meeting for Lack of Quorum ------------------------------------------------------------ Rosetta Genomics, Ltd., disclosed in a regulatory filing with the U.S. Securities and Exchange Commission that it convened its previously announced Annual General Meeting of Shareholders on Nov. 5, 2014. However, the quorum of two or more shareholders present, personally or by proxy, who hold or represent together more than 25% of the voting rights of Rosetta's issued share capital required to conduct the Annual Meeting was not present. Accordingly, pursuant to Rosetta's articles of association, the Annual Meeting has been adjourned to Nov. 12, 2014. The adjourned Annual Meeting will be held at Rosetta's offices at 10 Plaut St., Rehovot, Israel at 10:00 a.m. (ET). At the adjourned Annual Meeting, any two shareholders present in person or by proxy shall constitute a quorum. About Rosetta Based in Rehovot, Israel, Rosetta Genomics Ltd. is seeking to develop and commercialize new diagnostic tests based on a recently discovered group of genes known as microRNAs. MicroRNAs are naturally expressed, or produced, using instructions encoded in DNA and are believed to play an important role in normal function and in various pathologies. The Company has established a CLIA- certified laboratory in Philadelphia, which enables the Company to develop, validate and commercialize its own diagnostic tests applying its microRNA technology. Rosetta Genomics incurred a net comprehensive loss after discontinued operations of $12.89 million on $405,000 of revenues for the year ended Dec. 31, 2013, as compared with a net comprehensive loss after discontinued operations of $10.45 million on $201,000 of revenues in 2012. Rosetta Genomics Ltd. reported a net loss after discontinued operations of $7.18 million on $554,000 of revenues for the six months ended June 30, 2014, compared to a net loss after discontinued operations of $6.29 million on $193,000 of revenues for the same period a year ago. The Company's balance sheet at June 30, 2014, showed $21.67 million in total assets, $1.79 million in total liabilities and $19.87 million in total shareholders' equity. Bankruptcy Warning "We will require substantial additional funding and expect to augment our cash balance through financing transactions, including the issuance of debt or equity securities and further strategic collaborations. On December 7, 2012, we filed a shelf registration statement on Form F-3 with the SEC for the issuance of ordinary shares, various series of debt securities and/or warrants to purchase any of such securities, either individually or in units, with a total value of up to $75 million, from time to time at prices and on terms to be determined at the time of such offerings. The filing was declared effective on December 19, 2012. As of the time of the filing of this Annual Report on Form 20-F, we had sold through the Cantor Sales Agreement an aggregate of 1,559,537 of our ordinary shares for gross proceeds of $5.9 million under this shelf registration statement, leaving an aggregate of approximately $69.1 million of securities available for sale. If we need additional funding, there can be no assurance that we will be able to obtain adequate levels of additional funding on favorable terms, if at all. If adequate funds are needed and not available, we may be required to: * delay, reduce the scope of or eliminate certain research and development programs; * obtain funds through arrangements with collaborators or others on terms unfavorable to us or that may require us to relinquish rights to certain technologies or products that we might otherwise seek to develop or commercialize independently; * monetize certain of our assets; * pursue merger or acquisition strategies; or * seek protection under the bankruptcy laws of Israel and the United States," the Company stated in the 2013 Annual Report. ROSETTA RESOURCES: S&P Affirms 'BB-' Corp. Credit Rating -------------------------------------------------------- Standard & Poor's Ratings Services affirmed its 'BB-' corporate credit rating on Houston-based exploration and production (E&P) company Rosetta Resources Inc. The outlook is stable. At the same time, S&P raised the senior unsecured debt to 'BB-' (same as the corporate credit rating) from 'B+' and revised the recovery rating to '4', indicating S&P's expectation of average recovery (30% to 50%) in the event of a payment default, from '5'. "The ratings on Houston-based Rosetta Resources Inc. reflect our assessments of the company's 'significant' financial risk, 'weak' business risk, and 'adequate' liquidity," said Standard & Poor's credit analyst Paul Harvey. The stable outlook reflects S&P's view that Rosetta will continue to benefit from its liquids-related production and that its capital spending program will continue to result in solid growth in reserves and production, notwithstanding recent crude oil price declines. Under S&P's base case scenario, it expects that Rosetta will maintain adequate credit protection measures, with FFO to debt of about 30% in 2015, improving thereafter. S&P could lower the rating if Rosetta's credit measures weakened, such that FFO to debt were sustained below the 20% level, which could result from production well below S&P's expectations or a change in financial policy that results in very aggressive capital spending or debt-financed acquisitions. An upgrade will depend on Rosetta's ability to increase reserves and production, potentially through development of its Eagle Ford and Permian acreage. Given Rosetta's high proportion of undeveloped reserves and its small size and scale relative to 'BB' rated peers, S&P considers an upgrade unlikely in the near term. SAM WYLY: Ex-Wife Sues to Protect Annual $500,000 Alimony --------------------------------------------------------- David Lee at Courthouse News Service reports that Sam Wyly's ex- wife Torie Steele has filed a lawsuit against him to protect her yearly $500,000 alimony. Ms. Steele said in a court filing, "The requirements imposed upon Wyly to provide Steele with guaranteed income of $41,666 per month is satisfied by payments from [investment firm] Maverick Stable Partners, L.P. on the last date of each month." According to Courthouse News, Ms. Steele claims she didn't receive any payment on Oct. 31, 2014, which confirms that Mr. Wyly considers his obligation as a dischargeable 'contract' debt and not a debt for a domestic support obligation." About Samuel Wyly Samuel Wyly filed for Chapter 11 bankruptcy protection on Oct. 19, 2014, weeks after a judge ordered him to pay several hundred million dollars in a civil fraud case. In September, a federal judge ordered Mr. Wyly and the estate of his deceased brother to pay more than $300 million in sanctions after they were found guilty of committing civil fraud to hide stock sales and nab millions of dollars in profits. The case is In re Samuel E. Wyly, 14-35043, U.S. Bankruptcy Court, Northern District of Texas (Dallas). SAM WYLY: Inflated Expenses to Up Bankruptcy Budget, SEC Claims --------------------------------------------------------------- David Lee at Courthouse News Service reports that the U.S. Securities and Exchange Commission has accused Sam Wyly of inflating a "whopping" bankruptcy budget with inflated expenses. SEC said in a court filing dated Nov. 5, 2014, that it objects to Mr. Wyly's request for authority to pay ordinary expenses because his budget does not contain sufficient detail as to receipts or expenditures, and many of the requested expenses are inflated or unnecessary. According to SEC's Nov. 5 objection to Mr. Wyly's "Debtor's Budget and Request to pay Ordinary Living Expenses," Mr. Wyly has projected $1.95 million in expenses for November and December, while U.S. District Judge Shira A. Scheindlin in Manhattan allowed $15,000 per month in "necessary and reasonable" living expenses. Courthouse News quoted SEC as saying, "The bankruptcy court will not approve lavish spending by individual Chapter 11 debtors. Individual Chapter 11 debtors should not assume that they will be allowed to maintain affluent lifestyles during their Chapter 11 proceedings." Mr. Wyly's expense budget "can only go up" as it does not include other expenses, like $393,000 in quarterly allocations for a family office and property taxes, Courthouse News relates, citing SEC. According to the report, SEC said that Mr. Wyly's wife, Cheryl, may hold significant assets and that his bankruptcy should include income from her assets. Mr. Wyly should not shoulder the costs of their home alone, and should not continue making mortgage payments for his wife's Aspen bookstore, which is losing money, the report states, citing SEC. The report adds that SEC also questioned why Mr. Wyly did not receive his $24 million in annuity payments from four trusts, as they were supposed to pay him in October. About Samuel Wyly Samuel Wyly filed for Chapter 11 bankruptcy protection on Oct. 19, 2014, weeks after a judge ordered him to pay several hundred million dollars in a civil fraud case. In September, a federal judge ordered Mr. Wyly and the estate of his deceased brother to pay more than $300 million in sanctions after they were found guilty of committing civil fraud to hide stock sales and nab millions of dollars in profits. The case is In re Samuel E. Wyly, 14-35043, U.S. Bankruptcy Court, Northern District of Texas (Dallas). SCIENTIFIC GAMES: Plans to Offer $700MM Senior Secured Notes ------------------------------------------------------------ Scientific Games Corporation announced that its wholly owned subsidiary, Scientific Games International, Inc., intends, subject to market and other conditions, to offer $700 million of senior secured notes due 2021 and $2,200 million of senior unsecured notes due 2022 in a private offering. Scientific Games intends to use the net proceeds of the Notes offering, together with cash and borrowings under its revolving credit facility and incremental term loans pursuant to its credit agreement, to finance its acquisition of Bally Technologies, Inc., including the refinancing of certain indebtedness of Bally and to pay related fees and expenses. The Notes are expected initially to be issued by SGI's subsidiary, SGMS Escrow Corp. Upon consummation of the Bally Acquisition, the Notes will be assumed by SGI and guaranteed on a senior basis by Scientific Games and certain of its subsidiaries. The Secured Notes will be secured by liens on the same collateral that secures indebtedness under Scientific Games' credit agreement. About Scientific Games Scientific Games Corporation is a developer of technology-based products and services and associated content for worldwide gaming and lottery markets. The Company's portfolio includes instant and draw-based lottery games; electronic gaming machines and game content; server-based lottery and gaming systems; sports betting technology; loyalty and rewards programs; and social, mobile and interactive content and services. For more information, please visit: www.scientificgames.com. Scientific Games reported a net loss of $30.2 million in 2013, a net loss of $62.6 million in 2012 and a net loss of $12.6 million in 2011. The Company's balance sheet at Sept. 30, 2014, showed $4.03 billion in total assets, $3.93 billion in total liabilities and $105.7 million in total stockholders' equity. * * * The TCR reported on May 21, 2014, that Moody's Investors Service downgraded Scientific Games Corporation's ("SGC") Corporate Family Rating to B1. The downgrade reflects Moody's view that slower than expected growth in SGC's Gaming and Instant Products segments will cause Moody's adjusted leverage to exceed 6.0 times by the end of 2014. As reported by the TCR on Aug. 5, 2014, Standard & Poor's Ratings Services lowered its corporate credit rating to 'B+' from 'BB-' on Scientific Games Corp. "The downgrade and CreditWatch placement follow Scientific Games' announcement that it has agreed to acquire Bally Technologies for $5.1 billion, including the refinancing of about $1.8 billion in net debt at Bally," said Standard & Poor's credit analyst Ariel Silverberg. SEARS HOLDINGS: Moody's Rates Sr. Unsecured Notes Due 2019 Caa3 --------------------------------------------------------------- Moody's Investors Service revised the rating outlook on Sears Holdings Corporation to negative from stable. Moody's also assigned a Caa3 (LGD 6) rating Sears Holdings Corporation's 8% Senior Unsecured Notes due 2019. The company's Caa1 Corporate Family Rating and SGL-2 rating -- indicating good liquidity over the next 12 months -- were affirmed. The revision in the rating outlook to negative reflects Sears still significant operating losses. The mid-point of Sears updated guidance for its third fiscal quarter domestic Adjusted EBITDA (as defined by Sears) will be around negative $776 million for the first three quarters of fiscal 2014 compared to negative $398 million in the year prior period. Moody's estimate Sears cash burn will be near $1.4 billion in the current year (after taking into consideration cash interest costs -- estimated at around $275 million, pro-forma for the 2019 note offering and domestic capital expenditures estimated around $275 million). The rating outlook revision also reflects Moody's expect earnings to remain substantially unchanged over the next fiscal year as Moody's do not see catalysts to enable the company to meaningfully improve operating performance. The rating outlook revision also reflects while the possible sale leaseback of 200 to 300 stores will provide liquidity, it does not solve Sears operating challenges. The affirmation of the company's Caa1 Corporate Family Rating reflects our views that the company will continue to maintain good liquidity over the next year, which would be bolstered by successful issuance of its proposed 2019 senior unsecured notes pursuant to the rights offering the company is currently undertaken, and if concluded, proceeds from a sale/leaseback transaction. The affirmation also reflects the company's lack of near dated maturities outside its asset-based revolver until 2018 and the lack of any meaningful catalyst for a default to take place. The company still maintains a sizable asset base though it has reduced over the course of fiscal 2014 through the spin-off of Lands' End, the monetization of a substantial portion of its stake in Sears Canada and would moderate further if the company proceeds with a sale leaseback transaction. The Caa3 rating assigned to the Senior Unsecured Notes due 2019 reflects that they are an obligation of Sears Holdings Corporation, with no guarantees from any of Sears Holdings' subsidiaries. As such the notes are structurally subordinated to a meaningful amount of secured debt in the company's capital structure as well as all obligations of its subsidiary companies. The Senior Unsecured Notes due 2019 will be distributed pursuant to a rights offering currently being offered to all holders of Sears' Common Stock. Sears Holdings is distributing Rights to all holders of its common stock. Each Right will provide a shareholder with the right, but not the obligation, to purchase a Unit, consisting of (a) the 8% Senior Unsecured note due 2019 and (b) Warrants to purchase additional common stock of Sears Holdings. Shareholders will have until November 18, 2014 to exercise their rights. Assuming all shareholders subscribe to the Units, the total amount of Senior Unsecured 2019 notes issued would be $625 million. Entities affiliated with Sears' CEO and Chairman Mr. Edward S. Lampert, who own approximately 48.5% of Sears' common stock, have advised Sears they intend to exercise their rights in full. The following ratings were affirmed: Sears Holdings Corp. Probability of Default Rating, Affirmed Caa1-PD Speculative Grade Liquidity Rating, Affirmed SGL-2 Corporate Family Rating, Affirmed Caa1 Senior Secured Bank Credit Facility due Jun 30, 2018, Affirmed B1(LGD2) Senior Secured Regular Bond/Debenture due Oct 15, 2018, Affirmed Caa1(LGD4) Sears Roebuck Acceptance Corp. Senior Unsecured Regular Bond/Debenture, Affirmed Caa2(LGD5) Outlook Actions: Sears Holdings Corp. Outlook, Changed To Negative From Stable Sears Roebuck Acceptance Corp. Outlook, Changed To Negative From Stable The following ratings were assigned: Sears Holdings Corporation 8% Senior Unsecured Notes due 2019 at Caa3 (LGD 6) Ratings Rationale Sears' Caa1 Corporate Family Rating reflects the company's sizable operating losses which have increased over the course of 2014 and the lack of visibility on near term catalysts which will reduce these sizable losses materially. Moody's expect Sears will have a cash burn -- after capital expenditures and interest expenses -- to be near $1.4 billion in the current fiscal year. The rating also considers our view that the viability of Kmart (which represented around 41% of domestic sales in its latest fiscal year), is uncertain given its continued challenges as evidenced by its meaningful operating losses and market share erosion. The Caa1 rating considers the company's proven ability to generate cash from its sizable asset base, which currently includes its unencumbered real estate and its ownership of well known consumer brands such as Kenmore, Craftsman and DieHard. The negative rating outlook reflects our expectations that the company's unencumbered asset base will continue to erode as Sears considers actions such as the disclosed possible sale and leaseback transaction. This erosion in the company's unencumbered asset base is occurring while the company is still incurring sizable adjusted EBITDA losses which will need additional funding. Negative rating pressure would build if the company's asset base were to continue to erode while operating losses remain sizable. Ratings could be downgraded if the company's liquidity were to become more constrained, operating losses widened beyond current levels, or if the company's unencumbered asset base were to erode, or the probability of default were to otherwise increase. Ratings could be upgraded if the company demonstrated stabilization of sales and improved operating margins, evidencing successful results of its efforts to transform its business. Ratings could be upgraded if cash flows approaches break-even levels and interest coverage (EBITDA-Cap Ex to Interest) approaches 1 times, while maintaining a good overall liquidity position. The rating outlook could be stabilized If the company were able to maintain a good overall liquidity profile and a meaningful asset base while its cash burn made substantial progress toward break-even levels. Headquartered in Hoffman Estates, IL, Sears Holdings Corporation through its subsidiaries, including Sears, Roebuck and Co. and Kmart Corporation, with more than 1800 full-line and specialty retail stores across the United States and Canada. LTM domestic revenues exceed $31 billion. 48.5% of Sears Holdings common shares are held by entities affiliated with Sears Chairman and CEO Mr. Edward S. Lampert. The principal methodology used in these ratings was Global Retail Industry published in June 2011. Other methodologies used include Loss Given Default for Speculative-Grade Non-Financial Companies in the U.S., Canada and EMEA published in June 2009. SERVICE CORP: S&P Raises Corp. Credit Rating to 'BB+' ----------------------------------------------------- Standard & Poor's Ratings Services raised its corporate credit rating on Service Corp. International to 'BB+' from 'BB'. The outlook is stable. At the same time, S&P raised its issue-level ratings on the unsecured credit facility to 'BB+' from 'BB'. The recovery rating remains '3', indicating meaningful (50%-70%) recovery in the event of default. S&P also raised its issue-level ratings on the unsecured notes to 'BB' from 'BB-'. The recovery rating remains '5', indicating modest (10%-30%) recovery in the event of default. "Today's upgrade reflects our increased confidence that the company will operate with a financial policy of maintaining leverage between 3.5x and 4x. Following SCI's acquisition of Stewart, leverage peaked above 5x," said credit analyst Tahira Wright. "While we expected credit metrics would improve following the integration of Stewart, there were headwinds in consolidating SCI, the leading death care provider, with the number two player in the industry. SCI has demonstrated a smooth integration in the three quarters since the transaction closed." S&P's stable rating outlook reflects its expectation that the company will maintain credit metrics that range between 3.5x and 4x in 2015 and beyond and that shareholder returns will be managed in a way that allows the company to preserve this range. Downside scenario As a result of the stable nature of the death care industry, S&P do not expect a sharp decline in profitability. However, a downgrade could occur if SCI pursued multiple acquisitions that increased leverage to a sustained level above 4x. A debt-financed acquisition of around $700 million could result in such a spike in leverage. Upside scenario Given that S&P expects leverage to range between 3.5x and 4x over the next two years, it considers an upgrade would be unlikely in the near term. An upgrade would be largely predicated on a shift in financial policy where the company prioritizes debt repayment over an aggressive growth strategy and shareholder returns that will result in leverage at a sustained level below 3x. SIFCO SA: U.S. Court Recognizes Brazilian Proceedings ----------------------------------------------------- The Hon. Robert E. Gerber of the U.S. Bankruptcy Court for the Southern District of New York issued an order recognizing SIFCO SA's reorganization proceedings launched in Brazil as a foreign main proceeding. SIFCO's reorganization proceedings under Brazilian insolvency law are pending before the Vara de Falencias e Recuperacoes Judiciais da Comarca de Sao Paulo/SP. About SIFCO SA Brazilian company SIFCO SA began its operations in 1958, and today it believes that it is the sole producer and supplier of front axles and I-beams for trucks and buses in South America. SIFCO's management and engineers are located outside Sao Paulo, Brazil in the City of Jundiai, Brazil, where the Company also maintains manufacturing and foundry facilities. In the 1960s, SIFCO was dedicated to supplying the then-recently created domestic Brazilian automotive industry. Eventually, SIFCO began producing high technology forging components in compliance with the most comprehensive requirements of several automotive industry segments, such as tractors and agricultural machines, among others. SIFCO commenced a bankruptcy restructuring in Brazil on April 22, 2014. A day later, on April 23, it filed a Chapter 15 petition in U.S. Bankruptcy Court (Bankr. S.D.N.Y. Case No. 14-11179) in Manhattan, New York. SIFCO distributes products in the U.S. through Westport Axle Corp., which was a subsidiary until it was sold in late 2013. The petition shows assets of less than $500 million and debt exceeding $500 million. SIFCO has $75 million outstanding on senior secured notes with Bank of New York Mellon Corp. as agent. SIFCO is owned by Sifco Metals Participacoes S.A. which is a privately owned company. SIFCO is represented in the U.S. proceedings by Duane Morris LLP, in New York. STC INC: Wins Initial Recognition Order From Ontario Court ---------------------------------------------------------- The Ontario Superior Court of Justice issued on Nov. 4, 2014, an initial recognition order (i) recognizing the Chapter 11 proceeding of STC Inc. as a "foreign main proceeding" and the Debtor as foreign representative; and (ii) granting the Debtor a stay of proceedings in Canada. STC Inc. retained as Canadian counsel: CHAITON LLP Attn: Maya Poliak, Esq. 5000 Yonge Street, 10th Floor Toronto, ON M2N 7E9 Tel: (416) 218-1161 Email: maya@chaitons.com Based in McLeansboro, Illinois, STC Inc. fdba Sun Transformer Corporation filed for Chapter 11 protection on Sept. 11, 2014(Bankr. S.D. Ill. Case No. 14-41014). The Debtor selected John J Hall, Esq., Lewis, Rice & Fingersh, L.C., as its counsel. The Debtor listed both assets and liabilities between $1 million to $10 million. SUN BANCORP: Files Form 10-Q, Reports $825K Net Income for Q3 ------------------------------------------------------------- Sun Bancorp, Inc., filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss available to common shareholders of $825,000 on $21.95 million of total interest income for the three months ended Sept. 30, 2014, compared to a net loss available to common shareholders of $4.86 million on $26.78 million of total interest income for the same period a year ago. The Company also reported a net loss available to common shareholders of $26.97 million on $70.37 million of total interest income for the nine months ended Sept. 30, 2014, compared to a net loss available to common shareholders of $1.73 million on $79.58 million of total interest income for the same period in 2013. As of Sept. 30, 2014, the Company had $2.82 billion in total assets, $2.57 billion in total liabilities and $247.04 million in total shareholders' equity. A full-text copy of the Form 10-Q is available for free at: http://is.gd/6joNyv About Sun Bancorp Sun Bancorp, Inc. (NASDAQ: SNBC) is a bank holding company headquartered in Vineland, New Jersey, with its executive offices located in Mt. Laurel, New Jersey. Its primary subsidiary is Sun National Bank, a full service commercial bank serving customers through more than 60 locations in New Jersey. On April 15, 2010, Sun National Bank entered into a written agreement with the OCC which contained requirements to develop and implement a profitability and capital plan which provides for the maintenance of adequate capital to support the Bank's risk profile in the current economic environment. Sun Bancorp reported a net loss available to common shareholders of $9.94 million in 2013, a net loss available to common shareholders of $50.49 million in 2012, and a net loss available to common shareholders of $67.50 million in 2011. SUN BANCORP: Anthony Morris Named as Chief Banking Officer ---------------------------------------------------------- Anthony J. Morris, age 58, was appointed as executive vice president and chief banking officer of Sun National Bank, a wholly owned subsidiary of Sun Bancorp, Inc., effective Nov. 3, 2014, according to a regulatory filing with the U.S. Securities and Exchange Commission. From November 2012 to July 2014, Mr. Morris served as Director, Banking Products & Services at CIT Bank where he was responsible for formulating strategic and operating plans for a wide range of matters pertaining to defining, developing and implementing a branch banking platform to enable CIT Bank to capture core deposits to fund its lending businesses. He left CIT Bank to become a consultant to the Bank pending receipt of the requisite regulatory non-objection to be employed as an Executive vice president at the Bank. Prior to CIT Bank, from 2007 to 2012, Mr. Morris served as senior vice president, chief corporate planning and marketing officer at State Bank of Long Island. As Executive Vice President and Chief Banking Officer, Mr. Morris will receive an initial base salary of $275,000 per annum. He will be eligible to participate in the annual short-term incentive plan, with a target bonus opportunity equal to 35% of annual base salary and will be guaranteed to receive a cash bonus of $50,000 for 2014, payable in March 2015. He will also be eligible to participate in the Bank's Long-Term Incentive Plan, providing for the opportunity to share in the Bank's long-term success through award of restricted stock and/or stock options, with a target award opportunity of 35% of annual base salary. At the next meeting of the Company's Compensation Committee he will receive an award of 3,000 shares of common stock of the Registrant and options to purchase an additional 1,000 shares. Mr. Morris will be reimbursed for his reasonable moving expenses. Following regulatory approval of a proposed agreement, Mr. Morris will become a party to a severance agreement providing for a severance payment, in the event of termination without cause, equal to 18 weeks of base salary, to increase to 32 weeks of base salary after two years of service and to 52 weeks of base salary after five years of service. He will also become a party to a change in control agreement providing for a severance payment equal to one year of base salary in the event of termination in connection with a change in control. About Sun Bancorp Sun Bancorp, Inc. (NASDAQ: SNBC) is a bank holding company headquartered in Vineland, New Jersey, with its executive offices located in Mt. Laurel, New Jersey. Its primary subsidiary is Sun National Bank, a full service commercial bank serving customers through more than 60 locations in New Jersey. On April 15, 2010, Sun National Bank entered into a written agreement with the OCC which contained requirements to develop and implement a profitability and capital plan which provides for the maintenance of adequate capital to support the Bank's risk profile in the current economic environment. Sun Bancorp reported a net loss available to common shareholders of $9.94 million in 2013, a net loss available to common shareholders of $50.49 million in 2012, and a net loss available to common shareholders of $67.50 million in 2011. As of Sept. 30, 2014, the Company had $2.82 billion in total assets, $2.57 billion in total liabilities and $247.04 million in total shareholders' equity. SUPERVALU INC: Fitch Rates $350MM of 7.75% Unsecured Notes 'B' -------------------------------------------------------------- Fitch Ratings has assigned a rating of 'B/RR4' to SUPERVALU Inc.'s (SVU) $350 million of 7.75% senior unsecured notes due 2022. The proceeds from the issue together with revolver borrowings will be used to redeem $350 million of the 8% senior unsecured notes due 2016. Fitch rates SVU's Issuer Default Rating (IDR) 'B'. The Rating Outlook is Stable. Key Rating Drivers The rating reflects SVU's more favorable business mix and improved top line performance over the past year, and the expectation for steady results over the next 12-24 months. These factors are balanced against the significant competitive challenges facing SVU's food retail and wholesale businesses and the difficulty in sustaining a turnaround longer term. SVU's business mix is more favorable in the wake of its March 2013 sale of its New Albertson's, Inc. (NAI) business to a Cerberus Capital Management (Cerberus)-led consortium, reducing its exposure to the competitive supermarket sector. The independent business (wholesale distribution) segment accounted for 36% of EBITDA in the latest 12 months (LTM) ended Sept. 6, 2014, compared with 28% for Save-A-Lot (grocery hard discount) and 36% for retail food (traditional supermarkets). SVU has been cutting expenses, decentralizing its supermarket operations and investing in price reductions to revive sales growth. These efforts have led to progressively stronger identical store (ID) sales at Save-A-Lot over the past year, though at the expense of margins. Slightly positive ID sales growth at retail food trails that of other supermarket operators and general food inflation. Sales in the independent business remain negative in the context of a long-term secular decline of independent grocers. Consolidated EBITDA increased to $754 million in fiscal 2014, excluding restructuring charges and $60 million of one-time transition services agreement (TSA) fees, from $650 million in fiscal 2013, due to incremental TSA fees and savings from the workforce reduction completed in 2014. Fitch expects EBITDA to be flat to slightly improved in fiscal 2015 as cost savings will be mostly offset by ongoing price reductions. Beyond fiscal 2015, Fitch sees the potential for modest pressure on EBITDA from a wind down of the TSA. Higher EBITDA in fiscal 2014 and the repayment of $112 million of debt led to a reduction in adjusted debt/EBITDAR to 4.3x at the end of fiscal 2014, from 5.0x at the end of fiscal 2013. Looking ahead, Fitch expects free cash flow (FCF) will be used in part for debt reduction and financial leverage will be stable to down modestly in the low-4.0x range. TSA Risk The rating takes into account the risk to SVU's bottom line from a termination of the TSA by NAI and/or Albertson's LLC. The TSA was recently extended by a year to run through Sept. 21, 2016, though fees could begin to decline prior to that time should the Albertson's entities dispose of any of their stores or distribution centers or cancel any services, as they are permitted to do. The impact from this will depend on SVU's ability to manage down its costs concurrent with any reduction in fees. Assuming the costs approximate the fees received and that half of the costs are fixed in nature, there is a $95 million risk to SVU's EBITDA over the near term should Safeway take over the services currently provided by SVU. This could potentially drive SVU's EBITDA from $754 million in fiscal 2014 toward $660 million, pushing leverage back up to around 5.0x from 4.3x at the end of fiscal 2014. SVU would still be FCF positive at around $100 million annually at these levels. Recovery Analysis Fitch's ratings on individual debt issues are based on the IDR and the expected recovery in a distressed scenario. Fitch has allocated across the capital structure an assumed enterprise value of $2.9 billion (after administrative claims). Fitch arrives at this valuation by multiplying an assumed post-default EBITDA of approximately $600 million by a 4.9x multiple. The post-default EBITDA assumes a 30% decline in EBITDA at retail food and the independent business, and flat EBITDA at Save-A-Lot. The multiple is a blended multiple based on 4.0x for the retail food segment, 4.5x for the independent business and 6.5x for Save-A-Lot. The $1 billion revolving ABL facility, which is assumed to be 70% drawn, is backed by inventories, receivables and prescription files, which Fitch collectively values at $1.2 billion. The $1.5 billion term loan is backed by real estate with a book value of $753 million and an estimated market value of $1 billion, and a pledge of the shares of Moran Foods, LLC (Save-A-Lot), which Fitch values at $1.4 billion, assuming a 6.5x multiple of EBITDA (net of allocated corporate expenses). As such, both facilities are assumed to receive a full recovery, leading to a rating on both facilities of 'BB/RR1'. The senior unsecured notes are rated 'B/RR4', implying a 30%-50% recovery. Fitch believes that in a liquidation scenario, SVU's company pension underfunding of $465 million and multiemployer pension (MEPP) underfunding of $455 million would rank ahead of the senior unsecured notes given the unique structural priorities available to the PBGC and pension plan fiduciaries. Therefore, in a liquidation scenario, there would be no recovery to the senior notes. RATING SENSITIVITIES A downgrade could result in the event of more negative operating trends across the business, with top line declining in the 2%-3% range, FCF turning negative and/or adjusted debt/EBITDAR moving above 5.0x. An upgrade could result from more robust top-line growth and steady to improving EBITDA, supported by a turnaround of the Save- A-Lot segment, a stabilization of the independent business, steady results in the retail food segment and effective management of the TSA wind down, causing adjusted debt/EBITDAR to improve to below 4.0x. Fitch currently rates SVU as: SUPERVALU INC. -- IDR at 'B'; -- $1 billion secured revolving credit facility at 'BB/RR1'; -- $1.5 billion secured term loan at 'BB/RR1'; -- Senior unsecured notes at 'B/RR4'. The Rating Outlook is Stable. TRANS CONTINENTAL: Memo Opinion in Suntrust Suit Amended -------------------------------------------------------- A Florida bankruptcy court entered on Nov. 5, 2014 an Amended Memorandum Opinion Partially Granting Defendant's and Plaintiff's Motions for Summary Judgment in the adversary case SONEET R. KAPILA, as Chapter 11 Trustee for TRANS CONTINENTAL AIRLINES, INC., Plaintiff, v. SUNTRUST MORTGAGE, INC., Defendant, Adversary No. 6:09-ap-00474-KSJ, consolidated with Adversary No. 6:09-ap- 00050-KSJ (Bankr. M.D. Fla.). The Memorandum Opinion is amended to correct a scrivener's error in paragraph 1, sentence 1 located on page 12 of the Memorandum Opinion. A copy of the Amended Memorandum Opinion is available at http://is.gd/NMRj93from Leagle.com. Chapter 11 Trustee Soneet R. Kapila sought to avoid and recover four prepetition transfers totaling $341,051 made by one of the consolidated debtors, Trans Continental Airlines, Inc., to the Defendant, SunTrust Mortgage, Inc., as mortgage payments for Michael Crudele, a seller of the faux securities at the heart of Lou Pearlman's Ponzi scheme. The Chapter 11 Trustee filed a five- count complaint to avoid the alleged actual and constructive fraudulent transfers under Sec. 548 of the Bankruptcy Code and Sec. 726 of the Florida Statutes (the Florida Uniform Fraudulent Transfer Act). Both parties sought summary judgment. In a Sept. 26, 2014 Memorandum Opinion available at http://tiny.cc/psx4mx from Leagle.com, Chief Bankruptcy Judge Karen S. Jennemann granted both motions at least in part holding that the Transfers are avoidable as constructively fraudulent transfers but that, as to two Transfers totaling $238,540, the Trustee cannot recover the monies from the Defendant under the "single satisfaction" rule. About Louis Pearlman & Trans Continental Louis J. Pearlman started Trans Continental Records, which managed boy bands such as the Backstreet Boys, 'N Sync, O-Town, Lyte Funky Ones (LFO), Take 5, Natural and US5. Other artists on the Trans Continental's label included Aaron Carter, Jordan Knight, C Note, and Smilez & Southstar. Mr. Pearlman also owned Orlando, Florida- based Trans Continental Airlines, Inc. -- http://www.t-con.com/-- which provided charter flight services to numerous destinations in the U.S. and the Caribbean. On March 1, 2007, creditors Tatonka Capital Corporation, First National Bank & Trust Co. of Williston, and American Bank of St. Paul, and Integra Bank filed an involuntary chapter 11 petition against Mr. Pearlman and his company, Trans Continental Airlines, Inc. (Bankr. M.D. Fla. Case Nos. 07-00761 and 07-00762). The creditors disclosed an aggregate of more than $40 million in claims. Soneet R. Kapila was appointed as the Chapter 11 trustee to oversee Mr. Pearlman's estate. He is represented by Denise D. Dell-Powell, Esq., and Jill E. Kelso, Esq., at Akerman Senterfitt, and Gregory M. Garno, Esq., and Paul J. Battista, Esq., at Genovese Joblove & Battista PA. The related cases incorporate a classic Ponzi scheme of roughly $500 million and transactions intertwined in over 100 related entities, according to Kapila & Company. The number of investors and loss victims exceeds 1,400 and the case involves investigation of off-shore assets. Fletcher Peacock, Esq., served as Mr. Pearlman's legal counsel. Tatonka Capital is represented by Derek F. Meek, Esq., and Robert B. Rubin, Esq., at Burr & Forman LLP, and Richard B Webber, II, Esq., Zimmerman Kiser & Sutcliffe PA. First national Bank is represented by Raymond V. Miller, Esq., at Gunster Yoakley & Stewart PA, and Richard P. Olson, Esq., at Olson & Burns PC. American Bank of St. Paul is represented by William P. Wassweiler, Esq., at Rider Bennett LLP. Integra bank is represented by Lawrence E. Rifken, Esq., at McGuire Woods LLP. The Official Committee of Unsecured Creditors of Trans Continental is represented by Robert J. Feinstein, Esq. at Pachulski Stang Ziehl & Jones LLP. The debtors in the jointly administered cases are: Louis J. Pearlman; Louis J. Pearlman Enterprises, Inc.; Louis J. Pearlman Enterprises, LLC; TC Leasing, LLC; Trans Continental Airlines, Inc., Trans Continental Aviation, Inc.; Trans Continental Management, Inc.; Trans Continental Publishing, Inc.; Trans Continental Records, Inc.; Trans Continental Studios, Inc.; and Trans Continental Television Productions, Inc. In addition, a related corporation, F.F. Station, LLC, filed a separate voluntary Chapter 11 case on Feb. 20, 2007 (Bankr. M.D. Fla. Case No. 07-575); however, the case is not jointly administered with the cases of the other Debtors. TRAVELPORT LIMITED: Suspending Filing of Reports With SEC --------------------------------------------------------- Travelport Limited filed a Form 15 with the U.S. Securities and Exchange Commission to terminate the registration of these securities: * 11.875% Dollar Senior Subordinated Fixed Rate Notes due 2016 * 10.875% Senior Subordinated Euro Fixed Rate Notes due 2016 * Senior Floating Rate Notes due 2016 * 13.875% Senior Fixed Rate Notes due 2016 * 11.875% Senior Subordinated Fixed Rate Notes due 2016 Following the previously disclosed entry into the new first lien credit facilities by Travelport Limited, on Oct. 2, 2014, Travelport LLC and Travelport Holdings, Inc. (subsidiaries of the Company) redeemed all of their principal outstanding 11.875% Dollar Senior Subordinated Fixed Rate Notes due 2016, 10.875% Senior Subordinated Euro Fixed Rate Notes due 2016, Senior Floating Rate Notes due 2016, 13.875% Senior Fixed Rate Notes due 2016 and 11.875% Senior Subordinated Fixed Rate Notes due 2016 and satisfied and discharged each of the indentures governing the Notes. There are currently no Notes outstanding and no holders of record. As such, the Company is no longer obligated to file reports under sections 13 and 15(d) of the Securities Exchange Act of 1934 or under the indentures that governed the Notes. Therefore, the Company filed the Form 15 with the SEC to effect the de-registration of its Notes. Upon filing the Form 15, the Company will have no obligation to file reports with the SEC, including Forms 10-K, 10-Q and 8-K. About Travelport Holdings Headquartered in Atlanta, Georgia, Travelport provides transaction processing services to the travel industry through its global distribution system business, which includes the group's airline information technology solutions business. During FYE2011, the group reported revenues and adjusted EBITDA of US$2 billion and US$507 million, respectively. For the year ended Dec. 31, 2013, the Company reported a net loss attributable to the Company of $192 million on $2.07 billion of net revenue as compared with a net loss attributable to the Company of $236 million on $2 billion of net revenue in 2012. The Company's balance sheet at Dec. 31, 2013, showed $3.08 billion in total assets, $4.39 billion in total liabilities and a $1.31 billion total deficit. As of June 30, 2014, Travelport Limited had $3.01 billion in total assets, $4.08 billion in total liabilities and a $1.06 billion total deficit. * * * As reported by the TCR on May 1, 2013, Standard & Poor's Ratings Services said that it raised its long-term corporate credit ratings on Travelport Holdings Ltd. and indirect primary operating subsidiary Travelport LLC (together, Travelport) to 'CCC+' from 'SD' (selective default). The rating action follows S&P's review of Travelport's business and financial risk profiles after it downgraded the group to 'SD' on April 16, 2013. The TCR reported on Oct. 3, 2014, that Moody's Investors service has upgraded Travelport Limited's (Travelport) corporate family rating (CFR) to B2 from B3. The rating action follows the completion of Travelport's Initial Public Offering (IPO) and concludes the review for upgrade which was initiated on 16 September 2014. TRIGEANT HOLDINGS: Jan. 7 Hearing on Approval of Plan Outline ------------------------------------------------------------- U.S. Bankruptcy Judge Erik Kimball is set to hold a hearing on Jan. 7 to consider final approval of the outlines of Trigeant Holdings Ltd.'s plan to exit Chapter 11 protection. The bankruptcy judge will also consider at the hearing whether to confirm or not the company's restructuring plan. Objections to the plan are due by Dec. 29. Judge Kimball earlier entered an order conditionally approving the disclosure statement outlining the plan. Had the bankruptcy judge refused to sign the order, Trigeant's sale agreement with Gravity Midstream Corpus Christi LLC would have been terminated, according to court filings. Trigeant's restructuring plan is hinged on the sale of most of its assets to Gravity Midstream, which agreed to pay the company $100 million. The restructuring plan will be sent to creditors for approval. Trigeant creditors entitled to vote on the plan have until Dec. 31 to file their ballots. A copy of the latest outline of the plan is available for free at http://is.gd/vlCKzC Separately, Judge Kimball granted in part the motion filed on Sept. 16 by Trigeant in which the company made several requests including an exemption from the requirement to solicit acceptances of the plan. In a five-page order, Judge Kimball approved the procedures proposed by Trigeant to cure monetary defaults with respect to contracts that will be assigned to Gravity Midstream while denying other relief requested in the motion. A copy of the court order is available without charge at http://is.gd/1ZeEKY About Trigeant Holdings Trigeant Holdings, Ltd., and Trigeant, LLC, filed separate Chapter 11 bankruptcy petitions (Bankr. S.D. Fla. Case Nos. 14-29027 and 14-29030, respectively) on Aug. 25, 2014. Berger Singerman LLP serves as the Debtor's counsel. Trigeant Holdings estimated both assets and liabilities of $50 million to $100 million. The Debtors filed on Sept. 16, 2014, their Joint Plan of Reorganization under Chapter 11 of the Bankruptcy Code. The Plan is premised on the sale of substantially all of the Debtors' assets to Gravity Midstream Corpus Christi, LLC. The Plan provides that holders of Allowed Claims will be paid in full, in cash. The U.S. Trustee for Region 21 has not appointed a committee of unsecured creditors. TRIGEANT HOLDINGS: Disclosures OK'd; Jan. 7 Plan Hearing Set ------------------------------------------------------------ The Bankruptcy Court, according to Trigeant Holdings, Ltd., et al.'s case docket, conditionally approved adequacy of information in the Amended Disclosure Statement explaining the Chapter 11 Plan. Final approval of the Disclosure Statement and confirmation of Plan is scheduled for Jan. 7, 2015, at 9:30 a.m. Dec. 31, 2014, is set as deadline for (i) objections to the Disclosure Statement and the Plan; and (ii) ballots accepting or rejecting the Plan. The Debtors has requested that the Court conditionally approve the Disclosure Statement by Oct. 30, because as noted in the amendments to the asset purchase agreement, if an order conditionally approving the Disclosure Statement is not entered by 5:00 p.m. on Oct. 30, the buyer may terminate the APA without penalty and the estates will lose the benefit of the $100,000,000 transaction. As reported in the Troubled Company Reporter on Oct. 21, 2014, the Debtors filed their First Amended Joint Plan on Oct. 8, 2014. The Plan provides that on the Effective Date, except as provided in the Plan, all of the Debtors' assets will vest in and be retained by the Reorganized Debtors under the control of the holders of Equity Interests and existing management. In order to achieve the results outlined in the Plan, the Plan provides for and implements the sale to the buyer. The Plan Proponents believe that the Sale is in the best interests of the Debtors' creditors as it will generate sufficient proceeds to pay all creditors of the Debtors in full. The Debtors also believe that the Sale is in the best interests of the Debtors' Equity Interest holders, as they will receive a meaningful return and the highest and best value offered for the Purchased Assets. The Claims and Interests against the bankruptcy estates are divided into nine Classes: * Class - 1 Priority Claims; * Class - 2 Disputed Secured Claim of BTB; * Class - 3 Secured Claim of PDVSA; * Class - 4 Miscellaneous Secured Claims; * Class - 5 General Unsecured Claims against Trigeant; * Class - 6 Equity Interests in Trigeant; * Class - 7 Claims Against LLC and Holdings; * Class - 8 Equity Interests in LLC; and * Class - 9 Equity Interests in Holdings. Under the Plan, certain Claims -- in particular, Administrative Expense Claims, DIP Claims, Statutory Fees, Professional Claims, Priority Non-Tax Claims and Priority Tax Claims -- remain unclassified in accordance with Section 1123(a)(1) of the Bankruptcy Code. The Plan Proponents estimate that the holders of Allowed Claims and Allowed Equity Interests will receive these treatments under the Plan: (i) the holders of Allowed unclassified Claims will receive the full amount of their Allowed Claims in Cash; and (ii) the holders of Allowed Claims and Equity Interests in Classes 1-9 will receive the treatments detailed in the Plan, all of which are sufficient to render each Class unimpaired. Harry Sargeant III has disputed the Debtors' premise that Class 9 is unimpaired. Accordingly, out of an abundance of caution, the Debtors have determined to solicit votes in Class 9 in the event that the Bankruptcy Court were to determine that Class 9 is impaired. Trigeant estimates that the amount of Claims filed and scheduled against its Estate totals approximately $97,272,602 (unadjusted for any claim objections). Holdings estimates that the amount of Claims filed and scheduled against its Estate totals approximately $13,007,165 (unadjusted for any claim objections). LLC estimates that the amount of Claims filed and scheduled against its Estate totals approximately $87,424,206 (unadjusted for any claim objections), and including some duplication of Claims against Holdings. The Debtors project that Classes 1-9 will have a distribution to pay allowed Equity Interests in the approximate aggregate amount of at least approximately $7,928,670 after the claims objection and reduction process is completed (prior to any reduction to any claim held by BTB or PDVSA). As the Liquidation Analysis will show, the Plan Proponents believe that the Distributions under the Plan will provide Creditors of, and holders of Equity Interests in, the Debtors a greater recovery on account of Allowed Claims and Allowed Equity Interests than would Distributions by a chapter 7 trustee. Furthermore, Distributions under the Plan will be made more quickly than distributions by a chapter 7 trustee, and a chapter 7 trustee would be entitled to seek a commission, thereby, reducing the amount available for distribution to Creditors and Equity Interest holders on account of Allowed Claims and Allowed Equity Interests. The Bankruptcy Court has scheduled a hearing to consider confirmation of the Plan starting January 7, 2015, at 9:30 a.m. Copies of the Amended Plan and Disclosure Statement are available for free at: * http://bankrupt.com/misc/TrigeantHoldings_1stAmd_Plan.pdf * http://bankrupt.com/misc/TrigeantHoldings_1stAmd_DS.pdf About Trigeant Holdings Trigeant Holdings, Ltd., and Trigeant, LLC, filed separate Chapter 11 bankruptcy petitions (Bankr. S.D. Fla. Case Nos. 14-29027 and 14-29030, respectively) on Aug. 25, 2014. Berger Singerman LLP serves as the Debtor's counsel. Trigeant Holdings estimated both assets and liabilities of $50 million to $100 million. The Debtors filed on Sept. 16, 2014, their Joint Plan of Reorganization under Chapter 11 of the Bankruptcy Code. The Plan is premised on the sale of substantially all of the Debtors' assets to Gravity Midstream Corpus Christi, LLC. The Plan provides that holders of Allowed Claims will be paid in full, in cash. TRIGEANT LTD: Taps Greenberg Traurig as General Bankr. Counsel -------------------------------------------------------------- Trigeant Ltd. and its debtor-affiliates seek permission from the U.S. Bankruptcy Court for the Southern District of Florida to employ Mark D. Bloom and Greenberg Traurig, P.A. as general counsel, nunc pro tunc to Oct. 27, 2014. The Debtors anticipate that Greenberg Traurig may render these services in these Chapter 11 Cases: (a) providing legal advice with respect to the Debtors' powers and duties as debtors in possession in the continued operation of their business and management of their property; (b) negotiating, drafting, and pursuing all documentation necessary in these Chapter 11 Cases; (c) preparing on behalf of the Debtors, all applications, motions, answers, orders, reports, and other legal papers necessary to the administration of the Debtors' estates; (d) appearing in Court and protecting the interests of the Debtors before the Court; (e) assisting with any disposition of the Debtors' assets, by sale or otherwise; (f) negotiating and taking all necessary or appropriate actions in connection with a plan or plans of reorganization and all related documents and transactions contemplated therein; (g) attending all meetings and negotiating with representatives of creditors, the U.S. Trustee, and other parties-in- interest; (h) providing legal advice regarding bankruptcy law, corporate law, corporate governance, securities, real estate, energy and natural resources, employment, transactional, tax, labor, litigation, intellectual property, and other issues to the Debtors in connection with the Debtors' ongoing business operations; and (i) performing all other legal services for and providing all other necessary legal advice to the Debtors which may be necessary and proper in these Chapter 11 Cases. Greenberg Traurig will be paid at these hourly rates: Mark D. Bloom $745 Scott M. Grossman $530 John R. Dodd $385 Maribel Fontanez, Paralegal $250 Shareholders $350-$1,150 Of Counsel $350-$1,115 Associates $100-$735 Legal Assistants/Paralegals $100-$380 Other attorneys and paralegals will render services to the Debtors as needed, with the understanding that absent prior approval of the Debtors no such attorney will bill at an hourly rate in excess of $745 in these cases. Greenberg Traurig will also be reimbursed for reasonable out-of- pocket expenses incurred. Greenberg Traurig has requested, but has yet to receive, a post- petition retainer in the amount of $25,000 from property of the Debtors' estates, but has neither sought nor received any other form of compensation for the proposed services to be rendered. Mark D. Bloom, principal shareholder of Greenberg Traurig, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. The Court for the Southern District of Florida will hold a hearing on the application on Nov. 19, 2014, at 1:30 p.m. Greenberg Traurig can be reached at: Mark D. Bloom, Esq. GREENBERG TRAURIG, P.A. 333 S.E. Second Ave., Suite 4400 Miami, FL 33131 Tel: +1 (305) 579-0537 E-mail: bloomm@gtlaw.com About Trigeant Trigeant, Ltd., owner of a crude processing unit and terminal facility located in Corpus Christi, Texas, sought Chapter 11 protection (Bankr. Case No. 14-30727), on Sept. 16, 2014. The Debtors have tapped Berger Singerman LLP as counsel. Aside from the proposed Chapter 11 plan, the Debtors on the petition date filed motions for joint administration of their Chapter 11 cases and to pay prepetition wages and benefits to employees. U.S. TELEPACIFIC: S&P Rates $530MM Secured Credit Facilities 'B-' ----------------------------------------------------------------- Standard & Poor's Ratings Services assigned its 'B-' issue-level rating and '4' recovery rating to U.S. TelePacific Holdings Corp. subsidiary U.S. TelePacific Corp.'s aggregate $530 million secured credit facilities. The new facilities comprise a $505 million term loan B due 2020 and a $25 million revolver due 2019. The bulk of the proceeds of the new term loan will be used to repay the current $470 million term loan; S&P expects the revolver to be undrawn at close. The '4' recovery rating indicates S&P's expectation for average (30% to 50%) recovery for secured creditors in the event of a payment default. Recovery is at the lower end of this range. S&P expects to revise its liquidity assessment to "adequate" from "less than adequate" after the new facilities close to reflect greater the cushion on financial covenants. However, that revision does not affect the corporate credit rating, which remains at B-/Stable/--. Los Angeles, Calif.-based U.S. TelePacific is a competitive local exchange carrier (CLEC) that provides telecommunications services to business customers in California, Nevada, and Texas. U.S. TelePacific faces intense competition, including from much larger and financially stronger companies, and lacks material, sustainable competitive advantages. While the company offers a full suite of competitive telecommunication services, it ultimately depends on other carriers to complete the "last mile" connection to many of its customers. Our assessment of U.S. TelePacific's "highly leveraged" financial risk profile incorporates S&P's expectation of leverage in the mid to upper 5x range, including its adjustments, as well as the company's private equity ownership. RATINGS LIST U.S. TelePacific Holdings Corp. Corporate Credit Rating B-/Stable/-- New Rating U.S. TelePacific Corp. $505 mil. secured term loan B due 2020 B- Recovery rating 4 $25 mil. secured revolving credit facility due 2019 B- Recovery rating 4 VERITEQ CORP: Signs Securities Purchase Agreement With Magna ------------------------------------------------------------ VeriTeQ Corporation disclosed in a regulatory filing with the U.S. Securities and Exchange Commission that on Nov. 3, 2014, it entered into a securities purchase agreement with Magna Equities II, LLC, an accredited investor pursuant to which the Company issued and sold to Magna a convertible promissory note, bearing interest at 12% per annum in the principal amount of $67,500. In accordance with the terms of the SPA, the Company expects to issue additional promissory notes with an aggregate principal amount of $162,500 prior to Nov. 30, 2014, on substantially identical terms. The Company expects to receive net proceeds of approximately $220,000 from the sale of the November 2014 Notes, which would be used for general corporate purposes. In addition, the SPA contemplates the sale of additional notes under the SPA with an aggregate principal amount of $230,000, contingent upon the Company filing an amendment to its Amended and Restated Certificate of Incorporation to increase the number shares of common stock that the Company is authorized to issue to 10 billion, which requires approval of a majority of the outstanding shares of the Company's common stock and Series D Preferred Stock on an as converted basis. The December 2014 Notes are to be on substantially identical terms to the November 2014 Notes. Each of the November 2014 Notes and December 2014 Notes will mature approximately one year after its date of issuance, and may be converted in whole or in part into the Company's common stock, at the option of the holder, at a conversion price equal to 60% of the average of the three lowest daily trading prices in the ten trading days prior to the day that the holder requests conversion. Trading price means, as of any date, the lowest trading price on the OTC Pink, or applicable trading market as reported by a reliable reporting service mutually acceptable to the Company and to Magna. However, in no event shall Magna be entitled to convert any portion of the November 2014 Notes if such conversion would result in beneficial ownership by the holder and its affiliates of more than 4.99% of the outstanding shares of the Company's common stock, subject to possible adjustment as provided in the November 2014 Notes. In addition, if at any time less than 25% of the original principal amount of promissory notes issued by the company on Nov. 13, 2013, is outstanding, the November 2014 Notes and the December 2014 Notes will be automatically amended to allow Magna an optional conversion price of $0.015 per share. Sale and Assignment Agreement Dated October 31, 2014 In conjunction with entering into the SPA with the Company, the Magna entered into a Sale and Assignment Agreement with Hudson Bay Master Fund Ltd., whereby Magna purchased from the Assignor (i) a promissory note issued to the Assignor by the Company on Nov. 13, 2013 with a current principal amount of $129,667 and (ii) a promissory note issued to the Assignor by the Company on May 30, 2014 in the principal amount of $222,330. Under the terms of the Sale and Assignment Agreement, Magna received all of the rights and assumed all of the obligations of the Assignor with respect to these promissory notes. Concurrent with the execution of the Sale and Assignment Agreement, the Company entered into a Joinder Agreement with Magna whereby the Company acknowledged the Magna's rights under the Sale and Assignment Agreement and that Magna is now a party to the securities purchase agreements entered into by the Company on Nov. 13, 2013, and May 30, 2014. Effective as of Oct. 31, 2014, the Company entered into a Second Amendment Agreement with certain parties to the securities purchase agreement dated Nov. 13, 2013. Under the terms of the Second Amendment Agreement, the holders of certain notes outstanding under the Nov. 13, 2013, securities purchase agreement, with a current aggregate principal amount of approximately $0.7 million, agreed to extend the maturity date of the notes from Nov. 13, 2014, to July 13, 2015. Agreements to Convert Liabilities into Equity In connection with the entering into the SPA with Magna, the Company also entered into agreements with Scott Silverman, the Company's chief executive officer, and Randolph Geissler, the Company's President, whereby Messrs. Silverman and Geissler agreed to convert amounts owed to them by the Company of $1.4 million and $441,0000, respectively, into a total of 1,841 shares of the Company?s newly designated Series D Convertible Preferred Stock, par value $0.01 per share. The Series D Preferred Stock issued under this agreement will vest on Jan. 1, 2017. If Mr. Silverman or Mr. Geissler separate from the Company because of a termination for cause or by resigning without good reason, as defined under the terms of their respective employment agreements, then they shall forfeit the shares of Series D Preferred Stock acquired under this agreement. The Series D Preferred Stock will automatically vest upon a change of control event. As a result of the issuance of the Series D Preferred Stock and the associated conversion of debts to equity, Mr. Silverman, who until June of 2014 held a majority of the outstanding voting securities of the Company, once again holds a majority of the voting securities of the Company. A full-text copy of the Form 8-K is available at: http://is.gd/RmTz1p About VeriTeQ VeriTeQ (formerly known as Digital Angel Corporation) develops innovative, proprietary RFID technologies for implantable medical device identification, and dosimeter technologies for use in radiation therapy treatment. VeriTeQ offers the world's first FDA cleared RFID microchip technology that can be used to identify implantable medical devices, in vivo, on demand, at the point of care. VeriTeQ's dosimeters provide patient safety mechanisms while measuring and recording the dose of radiation delivered to a patient in real time. For more information on VeriTeQ, please visit www.veriteqcorp.com Veriteq Corporation reported a net loss of $15.07 million on $18,000 of sales for the year ended Dec. 31, 2013, as compared with a net loss of $1.60 million on $0 of sales for the year ended Dec. 31, 2012. As of June 30, 2014, the Company had $7.04 million in total assets, $14.16 million in total liabilities and a $7.12 million total stockholders' deficit. EisnerAmper LLP, in New York, New York, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2013. The independent auditors noted that the Company has incurred recurring net losses, and at Dec. 31, 2013, had negative working capital and a stockholders' deficit. These events and conditions raise substantial doubt about the Company's ability to continue as a going concern. VIRGINIA BROADBAND: Court Rules on Objections to Ex-CEO Claims -------------------------------------------------------------- A Virginia bankruptcy court denied the requests of Virginia Broadband LLC with respect to its objections to the claims of its former member, Warren Manuel. Mr. Manuel worked as CEO of Virginia Broadband from 2004 until October 2010 and again from February 2011 to August 2012. He filed three claims in Virginia Broadband's bankruptcy case -- Claim Nos. 24, 25 and 26. The first two claims are for amounts Mr. Manuel loaned to the Debtor, while the third claims is for "business expenses" incurred for the Debtor. Virginia Broadbank objected to Mr. Manuel's claims, asking the Court to (1) disallow Mr. Manuel's claims; or (2) equitably subordinate Mr. Manuel's claims pursuant to Bankruptcy Code section 510; or (3) re-characterize Mr. Manuel's claims from general unsecured to equity. In a Nov. 5, 2014 Memorandum Decision available at http://is.gd/Ugmf8efrom Leagle.com, Chief Bankruptcy Judge Rebecca B. Connelly overrules the Debtor's objection to Claim Nos. 24 and 25 and partially sustains and partially overrules the objection to Claim No. 26. The Court said it will not equitably subordinate or re-characterize the claims filed by Mr. Manuel. About Virginia Broadband Virginia Broadband, LLC, in Culpeper, Virginia, filed for Chapter 11 bankruptcy (Bankr. W.D. Va. Case No. 12-62535) on Nov. 5, 2012, in Lynchburg. Judge William E. Anderson was first assigned to the case. Richard C. Maxwell, Esq. -- rmaxwell@woodsrogers.com -- at Woods Rogers PLC serves as counsel to the Debtor. In its petition, VABB estimated $1 million to $10 million in assets and debts. A list of the Company's 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/vawb12-62535.pdf The petition was signed by Robert M. Sullivan, president. WIZARD WORLD: Posts $537,800 Net Income in Third Quarter -------------------------------------------------------- Wizard World, Inc., filed with the U.S. Securities and Exchange Commission its quarterly report on Form 10-Q disclosing net income attributable to common stockholders of $537,804 on $6.86 million of convention revenue for the three months ended Sept. 30, 2014, compared to a net loss attributable to common stockholders of $1.21 million on $4.11 million of convention revenue for the same period in 2013. For the nine months ended Sept. 30, 2014, the Company reported net income attributable to common stockholders of $1.98 million on $19.14 million of convention revenue compared to a net loss attributable to common stockholders of $3.29 million on $8.80 million of convention revenue for the same period last year. As of Sept. 30, 2014, the Company had $7.95 million in total assets, $3.12 million in total liabilities and $4.82 million in in total stockholders' equity. A full-text copy of the Form 10-Q is available for free at: http://is.gd/rfa2G6 About Wizard World Based in New York, N.Y., Wizard World, Inc., is a producer of pop culture and multimedia conventions ("Comic Cons") across North America that markets movies, TV shows, video games, technology, toys, social networking/gaming platforms, comic books and graphic novels. These Comic Cons provide sales, marketing, promotions, public relations, advertising and sponsorship opportunities for entertainment companies, toy companies, gaming companies, publishing companies, marketers, corporate sponsors and retailers. Wizard World incurred a net loss attributable to common stockholders of $3.88 million in 2013, a net loss attributable to common stockholders of $3.13 million in 2012 and a net loss of $2.01 million in 2011. * Recent Small-Dollar & Individual Chapter 11 Filings ----------------------------------------------------- In re Carl Joseph Winski and Anna Winski Bankr. D. Ariz. Case No. 14-16492 Chapter 11 Petition filed November 3, 2014 In re S.T.I. Inc. Trucking and Materials dba Schweizer Transportation Inc. Bankr. C.D. Cal. Case No. 14-23544 Chapter 11 Petition filed November 3, 2014 See http://bankrupt.com/misc/cacb14-23544.pdf represented by: Stephen R Wade, Esq. THE LAW OFFICES OF STEPHEN R. WADE E-mail: srw@srwadelaw.com In re Robin T. Tyson Bankr. M.D. Fla. Case No. 14-05412 Chapter 11 Petition filed November 3, 2014 In re Mary E. Gerald Bankr. M.D. Fla. Case No. 14-13036 Chapter 11 Petition filed November 3, 2014 In re Manhattan Construction Investment, Inc. Bankr. S.D. Fla. Case No. 14-34501 Chapter 11 Petition filed November 3, 2014 See http://bankrupt.com/misc/flsb14-34501.pdf represented by: D. Jean Ryan, Esq. RYAN LAW FIRM, P.A. E-mail: courtmail@ryanlawpa.com In re East Point Industrial Properties, LLC Bankr. N.D. Ga. Case No. 4-71719 Chapter 11 Petition filed November 3, 2014 Filed Pro Se In re Suraya M Dahleh Bankr. N.D. Ill. Case No. 14-40007 Chapter 11 Petition filed November 3, 2014 In re El Patron Restaurant of Southaven LLC Bankr. N.D. Miss. Case No. 14-14112 Chapter 11 Petition filed November 3, 2014 See http://bankrupt.com/misc/msnb14-14112.pdf represented by: Gwendolyn Baptist-Hewlett, Esq. THE BAPTIST LAW FIRM PLLC E-mail: sd@baptistlaw.com In re Beatrice Management Group Inc. Bankr. D. Nev. Case No. 14-17386 Chapter 11 Petition filed November 3, 2014 See http://bankrupt.com/misc/nvb14-17386.pdf represented by: James R. Rosenberger HILTON & ASSOCIATES E-mail: jrosenberger@prlawlv.com In re Nello Gonfiantini, III Bankr. D. Nev. Case No. 14-51838 Chapter 11 Petition filed November 3, 2014 In re Sonny Chatrath Bankr. D.N.J. Case No. 14-32462 Chapter 11 Petition filed November 3, 2014 In re Gregory A Miller and Lois A. Miller Bankr. E.D.N.C. Case No. 14-06361 Chapter 11 Petition filed November 3, 2014 In re Christ Gospel Apostolic Church Bankr. E.D. Pa. Case No. 14-18760 Chapter 11 Petition filed November 3, 2014 See http://bankrupt.com/misc/paeb14-18760.pdf represented by: Allen B. Dubroff, Esq. ALLEN B. DUBROFF, ESQUIRE & ASSOCIATES, LLC E-mail: allen@dubrofflawllc.com In re Hector Arnaldo Rivera Rosado and Vilma Iris Roman Cruz Bankr. D.P.R. Case No. 14-09124 Chapter 11 Petition filed November 3, 2014 In re Professional Diving Snorkeling Cent. Inc. Bankr. D.P.R. Case No. 14-09135 Chapter 11 Petition filed November 3, 2014 See http://bankrupt.com/misc/prb14-09135.pdf represented by: Amaris Quinones Vargas, Esq. BUFETE QUINONES VARGAS & ASOC E-mail: damarisqv@bufetequinones.com In re Ronald C. Nowling and Gail P. Nowling Bankr. M.D. Tenn. Case No. 14-08763 Chapter 11 Petition filed November 3, 2014 In re Douglas Alan Witter Bankr. M.D. Tenn. Case No. 14-08765 Chapter 11 Petition filed November 3, 2014 In re 6700 Bridge, LLC Bankr. N.D. Tex. Case No. 14-44490 Chapter 11 Petition filed November 3, 2014 See http://bankrupt.com/misc/txnb14-44490.pdf represented by: Eric A. Liepins, Esq. ERIC A. LIEPINS, P.C. E-mail: eric@ealpc.com In re Travis Ray Phillips Bankr. W.D. Tex. Case No. 14-11659 Chapter 11 Petition filed November 3, 2014 In re Timothy L. Stutzman and Kathleen M. Stutzma Bankr. D. Ariz. Case No. 14-16541 Chapter 11 Petition filed November 4, 2014 In re Roy L. Jones, Jr. Bankr. N.D. Fla. Case No. 14-31200 Chapter 11 Petition filed November 4, 2014 In re Emmaus Road Missionary Baptist Church Inc. Bankr. N.D. Ga. Case No. 14-71880 Chapter 11 Petition filed November 4, 2014 Filed Pro Se In re Jevon Richard Piccard Bankr. W.D. Mich. Case No. 14-07019 Chapter 11 Petition filed November 4, 2014 In re Asian Expandere, Inc. Bankr. E.D.N.Y. Case No. 14-45628 Chapter 11 Petition filed November 4, 2014 See http://bankrupt.com/misc/nyeb14-45628.pdf Filed Pro Se In re Insia Enterprises, Inc., Insia Enterprises, Inc. Bankr. S.D. Tex. Case No. 14-36171 Chapter 11 Petition filed November 4, 2014 See http://bankrupt.com/misc/txsb14-36171.pdf represented by: Ennio J. Diaz, Esq. THE LAW OFFICE OF ENNIO J. DIAZ E-mail: enniodiaz@aol.com In re G Karl Enterprises, LLC Bankr. W.D. Wis. Case No. 14-14722 Chapter 11 Petition filed November 4, 2014 See http://bankrupt.com/misc/wiwb14-14722.pdf represented by: Kristin J. Sederholm, Esq. KREKELER STROTHER, S.C. E-mail: ksederho@ks-lawfirm.com In re Southern Courts Inc. Bankr. N.D. W.Va. Case No. 14-01223 Chapter 11 Petition filed November 4, 2014 See http://bankrupt.com/misc/wvnb14-01223.pdf represented by: Thomas H. Fluharty, Esq. E-mail: THFDEBTATTY@wvdsl.net In re Maria Teresa Estandarte Mabugat Bankr. C.D. Cal. Case No. 14-15035 Chapter 11 Petition filed November 5, 2014 In re Brandi Kathleen Issac Bankr. C.D. Cal. Case No. 14-15037 Chapter 11 Petition filed November 5, 2014 In re James Frederick Barth, Sr. Bankr. C.D. Cal. Case No. 14-30869 Chapter 11 Petition filed November 5, 2014 In re Raifyeel Mahome Bankr. M.D. Fla. Case No. 14-05438 Chapter 11 Petition filed November 5, 2014 In re Gabreal A. Fitzhugh and Katey M. Fitzhugh Bankr. M.D. Fla. Case No. 14-05444 Chapter 11 Petition filed November 5, 2014 In re Nikhil Babu Bankr. E.D.N.Y. Case No. 14-45647 Chapter 11 Petition filed November 5, 2014 In re Enchanted Coach Corp. Bankr. S.D.N.Y. Case No. 14-23550 Chapter 11 Petition filed November 5, 2014 See http://bankrupt.com/misc/nysb14-23550.pdf represented by: Anne J. Penachio, Esq. PENACHIO MALARA, LLP E-mail: apenachio@pmlawllp.com In re Fashion Show District, Inc. Bankr. D.P.R. Case No. 4-09201 Chapter 11 Petition filed November 5, 2014 See http://bankrupt.com/misc/prb14-09201.pdf represented by: Jesus Enrique Batista Sanchez THE BATISTA LAW GROUP, P.S.C. E-mail: rosafblg@gmail.com In re Floyd M. Martin, Jr. Bankr. E.D. Va. Case No. 14-74037 Chapter 11 Petition filed November 5, 2014 In re Assisted Living America, LLC aka Assisted Living America.Org, Inc. Bankr. D. Ariz. Casee No. 14-16645 Chapter 11 Petition filed November 6, 2014 See http://bankrupt.com/misc/azb14-16645.pdf represented by: Allan D. Newdelman, Esq. ALLAN D. NEWDELMAN, P.C. E-mail: anewdelman@adnlaw.net In re Richard George Beach Bankr. N.D. Cal. Case No. 14-54514 Chapter 11 Petition filed November 6, 2014 In re William Carl Swanson and Maria G. Smietana Bankr. S.D. Ind. Case No. 14-10178 Chapter 11 Petition filed November 6, 2014 In re 33 Main Street Realty, LLC Bankr. D. Mass. Case No. 14-42444 Chapter 11 Petition filed November 6, 2014 See http://bankrupt.com/misc/mab14-42444.pdf represented by: Patrick Martin, Esq. ROSENBERG & WEINBERG E-mail: pmartin@jrhwlaw.com In re Detroit Auto Recovery, Inc. Bankr. E.D. Mich. Case No. 14-57314 Chapter 11 Petition filed November 6, 2014 See http://bankrupt.com/misc/mieb14-57314.pdf represented by: Jay S. Kalish, Esq. JAY S. KALISH & ASSOCIATES, P.C. E-mail: JSKalish@aol.com In re Apolinar Rodriguez Bankr. D. Nev. Case No. 14-17471 Chapter 11 Petition filed November 6, 2014 In re Granite State Plasma Cutting Ltd. Bankr. D. N.H. Case No. 14-12165 Chapter 11 Petition filed November 6, 2014 See http://bankrupt.com/misc/nhb14-12165.pdf represented by: William S. Gannon, Esq. WILLIAM S. GANNON, PLLC E-mail: bgannon@gannonlawfirm.com In re Harmony Metal Products North Inc. Bankr. D. N.H. Case No. 14-12166 Chapter 11 Petition filed November 6, 2014 See http://bankrupt.com/misc/nhb14-12166.pdf represented by: William S. Gannon, Esq. WILLIAM S. GANNON, PLLC E-mail: bgannon@gannonlawfirm.com In re 159 JR LLC Bankr. E.D. Pa. Case No. 14-18874 Chapter 11 Petition filed November 6, 2014 See http://bankrupt.com/misc/paeb14-18874.pdf represented by: John A. Digiamberardino, Esq. CASE DIGIAMBERARDINO & LUTZ, PC E-mail: jad@cdllawoffice.com In re Jeffrey A. Masden and Hazel A. Masden Bankr. M.D. Pa. Case No. 14-05164 Chapter 11 Petition filed November 6, 2014 In re Ishverbhai T. Patel and Artiben I. Patel Bankr. E.D. Tenn. Case No. 14-51830 Chapter 11 Petition filed November 6, 2014 In re Coyote Grille Centreville, LLC Bankr. E.D. Va. Case No. 14-14152 Chapter 11 Petition filed November 6, 2014 See http://bankrupt.com/misc/vaeb14-14152.pdf represented by: Todd Lewis, Esq. THE LEWIS LAW GROUP, P.C. E-mail: todd.lewis@tllgpc.com In re Michael Joseph Stumpf and Bobbie Lynn Adams-Stumpf Bankr. D. Ariz. Case No. 14-16716 Chapter 11 Petition filed November 7, 2014 In re Neal Mitchell Jones and Amy Lu Jones Bankr. D. Ariz. Case No. 14-16719 Chapter 11 Petition filed November 7, 2014 In re Joscelyn Anthony Trott Bankr. M.D. Fla. Case No. 14-05484 Chapter 11 Petition filed November 7, 2014 In re Valle Auto Auction, LLC Bankr. M.D. Fla. Case No. 14-13165 Chapter 11 Petition filed November 7, 2014 See http://bankrupt.com/misc/flmb14-13165.pdf represented by: Buddy D. Ford, Esq. BUDDY D. FORD, P.A. E-mail: Buddy@tampaesq.com In re Michael B. Lynch Bankr. M.D. Fla. Case No. 14-13199 Chapter 11 Petition filed November 7, 2014 In re Lawrence K. Mace Bankr. D. Md. Case No. 14-27171 Chapter 11 Petition filed November 7, 2014 In re Lawrence J. McDonnell Bankr. D. Mass. Case No. 14-15244 Chapter 11 Petition filed November 7, 2014 In re Paul Altemus, Jr. and Laura Altemus Bankr. D.N.J. Case No. 14-32743 Chapter 11 Petition filed November 7, 2014 In re Saanil Hospitality BDS Mongos Grill, LLC Bankr. S.D. Ohio ase No. 14-57821 Chapter 11 Petition filed November 7, 2014 See http://bankrupt.com/misc/ohsb14-57821.pdf Filed Pro Se In re Best Care Chiropractic LLC Bankr. W.D. Wash. Case No. 14-18199 Chapter 11 Petition filed November 7, 2014 See http://bankrupt.com/misc/wawb14-18199.pdf represented by: Jeffrey B. Wells, Esq. WELLS AND JARVIS, P.S. E-mail: paralegal@wellsandjarvis.com In re S.A.M. Controls, LLC Bankr. E.D. Mich. Case No. 14-57428 Chapter 11 Petition filed November 8, 2014 See http://bankrupt.com/misc/mieb14-57428.pdf represented by: Edward J. Gudeman, Esq. GUDEMAN & ASSOCIATES, P.C. E-mail: ejgudeman@gudemanlaw.com In re Maa-Sharda, Inc. dba Best Western Victor Inn & Suites Bankr. W.D.N.Y. Case No. 14-21380 Chapter 11 Petition filed November 8, 2014 See http://bankrupt.com/misc/nywb14-21380.pdf represented by: David H. Ealy, Esq. TREVETT, CRISTO, SALZER & ANDOLINA P.C. E-mail: dealy@trevettlaw.com In re Francis A Bald and Sandra Bald Bankr. E.D.N.C. Case No. 14-06534 Chapter 11 Petition filed November 8, 2014 In re Emi's Auto Center, Inc. Bankr. S.D.N.Y. Case No. 14-23559 Chapter 11 Petition filed November 9, 2014 See http://bankrupt.com/misc/nysb14-23559.pdf represented by: H. Bruce Bronson, Jr., Esq. BRONSON LAW OFFICES, P.C. E-mail: hbbronson@bronsonlaw.net In re Sirius Information, Inc. Bankr. N.D. Cal. Case No. 14-44504 Chapter 11 Petition filed November 10, 2014 See http://bankrupt.com/misc/canb14-44504.pdf represented by: Chris D. Kuhner, Esq. KORNFIELD, NYBERG, BENDES AND KUHNER E-mail: c.kuhner@kornfieldlaw.com In re Deda Enterprises Inc. dba Home of Chicken and Waffles Bankr. N.D. Cal. Case No. 14-44505 Chapter 11 Petition filed November 10, 2014 See http://bankrupt.com/misc/canb14-44505.pdf Filed Pro Se In re Laleh Sharpourian Jones Bankr. N.D. Cal. Case No. 14-44511 Chapter 11 Petition filed November 10, 2014 In re BJ Magazines, Inc. Bankr. S.D.N.Y. Case No. 14-13100 Chapter 11 Petition filed November 10, 2014 See http://bankrupt.com/misc/nysb14-13100.pdf represented by: Pat B. Pitchayan, Esq. PITCHAYAN & ASSOCIATES, P.C. E-mail: ppitchayan@aol.com In re 1314 Liberty, LLC dba The Commons at Franklin Bankr. W.D. Pa. Case No. 14-11193 Chapter 11 Petition filed November 10, 2014 See http://bankrupt.com/misc/nysb14-13100.pdf represented by: Daniel P. Foster, Esq. FOSTER LAW OFFICES E-mail: dan@mrdebtbuster.com In re Jose Alberto Alvarado Ocasio Bankr. D.P.R. Case No. 14-09294 Chapter 11 Petition filed November 10, 2014 In re All My Children Learning Academy, Inc Bankr. W.D. Tenn. Case No. 14-31500 Chapter 11 Petition filed November 10, 2014 See http://bankrupt.com/misc/tnwb14-31500.pdf represented by: Curtis D. Johnson, Jr., Esq. LAW OFFICE OF JOHNSON AND BROWN, P.C. E-mail: johnson775756@gmail.com In re Dwayne Lee Blankenship and Burlene Wilma Blankenship Bankr. E.D. Wash. Case No. 14-04033 Chapter 11 Petition filed November 10, 2014 ********* 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 by e-mail. 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 the nation's bankruptcy courts. The list includes links to freely downloadable of these small-dollar petitions in Acrobat PDF documents. 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. ********* 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., Washington, D.C., USA. Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Valerie Udtuhan, Howard C. Tolentino, Carmel Paderog, Meriam Fernandez, Joel Anthony G. Lopez, Cecil R. Villacampa, Sheryl Joy P. Olano, Psyche A. Castillon, Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and Peter A. Chapman, Editors. Copyright 2014. All rights reserved. ISSN: 1520-9474. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR subscription rate is $975 for 6 months delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are $25 each. For subscription information, contact Peter A. Chapman at 215-945-7000 or Nina Novak at 202-362-8552. *** End of Transmission ***