/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/150727.mbx T R O U B L E D C O M P A N Y R E P O R T E R Monday, July 27, 2015, Vol. 19, No. 208 Headlines AF EVANS: Cal. App. Affirms Denial of DeCaprio's Bid to Vacate ALEXZA PHARMACEUTICALS: Grants Stock Options to Employees ALEXZA PHARMACEUTICALS: To Issue 3.5M Shares Under Plans ALLONHILL LLC: Exclusive Plan Filing Date Extended to Aug. 17 ALLY FINANCIAL: Declares Dividends on Preferred Stock ALLY FINANCIAL: Two New Directors Join Board ALONSO & CARUS: Bank Agrees to Aug. 31 Extension of Cash Use AMERICAN AIRLINES: Order Denying Filing of Untimely Claim Upheld AMERICAN APPAREL: Holds Meeting to Seek Approval of 3 Proposals AMERICAN DENTAL: Moody's Hikes Corporate Family Rating to 'B2' AMF BOWLING: "Unknown Creditor" Can't Pursue Tort Claim ANCHOR TANK LINES: NY Court Dismisses "Demopoulus" Suit ANNA'S LINENS: Shewak Lajwanti, Et Al. Oppose DIP Financing Motion ARRAY BIOPHARMA: Provides Update on Selumetinib in Uveal Melanoma ARS INVESTMENT: Case Summary & 7 Largest Unsecured Creditors ATP OIL: Bennu Oil Awarded $13.18-Mil. in Damages BEAZER HOMES: 7.50% Tangible Equity Units Deregistered From NYSE BIRMINGHAM COAL: Amends List of 20 Largest Unsecured Creditors BIRMINGHAM COAL: Aug. 3 Fixed as General Claims Bar Date BIRMINGHAM COAL: Consolidated Creditors Committee Ordered BIRMINGHAM COAL: Files Schedules of Assets and Liabilities BIRMINGHAM COAL: Has Authority to Use Cash until September 4 BUILDERS FIRSTSOURCE: Reports Preliminary Results for 2nd Quarter BUILDERS FIRSTSOURCE: Reports Second Quarter 2015 Results CAESARS ENTERTAINMENT: Adversary Suits Against CEC to Continue CAESARS ENTERTAINMENT: Noteholders' Suit v. Parent Can Proceed CAL DIVE: Suspends Filing of Reports with SEC CASCADE AG: Emerald Partners' Bid to Withdraw Reference Granted CATASYS INC: Enters Into $3.3 Million Note with Crede CG CHARLES EDWARD TAYLOR: Appeal of Brother's Ex-Wife Not Moot CHINA GINSENG: Closes $1.6 Million Purchase Agreement CICERO INC: John Steffens Reports 67.5% Stake as of July 15 CITI HELD 2015-PM1: Moody's Assigns (P)Ba3 Rating to Class C Notes COLDWATER CREEK: Action Removal Period Extended to Oct. 30 COMMERCE LLC: Dist. Court to Hear Trustee's Suit Against Chemence CORINTHIAN COLLEGES: Proposes to Sell Colorado Springs Assets CORPORATE RESOURCE: Case Summary & 30 Largest Unsecured Creditors CROWN MEDIA: To Launch Hallmark Channel and Hallmark Movies CRYOPORT INC: Amends 1.4 Million Units Prospectus with SEC DANA CORP: R.I. Super. Grants Partial Summary Judgment in "Bazor" DASEKE INC: S&P Retains B+ Issue Level Rating After Loan Revision DEB STORES: Seeks Exclusive Plan Filing Pd. Extension Thru Dec. 1 DOTS LLC: Loses $872,000 Clawback Suit Against Capstone Media DOVER DOWNS: Receives Non-Compliance Notice from NYSE DOWLING COLLEGE: Enters Forbearance Agreement, Moody's Says ENERGY FUTURE: Amends Chapter 11 Exit Plan ENERGY FUTURE: Inks Trading & Hedging Deals with Muni-LSEs ERF WIRELESS: STJV Trust Holds 38% of Series A Pref. Stock ESCO MARINE: Caterpillar Fin'l Given Additional Adequate Protection ESCO MARINE: Committee Wants Callidus Credit Bid Capped at $30MM ESCO MARINE: Court Approves Bidding & Auction Procedures for Assets EURAMAX HOLDINGS: Files Investor Presentation Materials with SEC EURAMAX HOLDINGS: Names New President and CEO EURAMAX HOLDINGS: Unit Launches $385 Million Notes Offering EURAMAX INTERNATIONAL: Moody's Affirms 'Caa2' Corp. Family Rating EXELIXIS INC: Signs Underwriting Agreement with Cowen and Company FAMILY CHRISTIAN: Has Until Oct. 9 to File Chapter 11 Plan FDD ENTERPRISES: Court Awards $131K to Parking Attendant FESTIVAL TRANSACTION: Case Summary & 20 Top Unsecured Creditors FLINTKOTE COMPANY: F. Banks, et al., Prevented from Intervening FORTESCUE METALS: Bank Debt Trades at 17% Off FOUNDATION HEALTHCARE: Roy Oliver Reports 10.4% Stake as of July 15 FRAC TECH: Bank Debt Trades at 26% Off FRANKLIN PIERCE: Moody's Withdraws 'Caa3' Rating on 1998/2004 Bonds FRATERFOOD SERVICE: Court Dismisses Suit vs. DDR Del Sol FREEDOM INDUSTRIES: Court Approves WVDEP/Chemstream Settlement FREEDOM INDUSTRIES: Prosecutors Seek Guilty Plea Hearing for Execs GENESYS RESEARCH: Hires Parker & Associates as Counsel GENUTEC BUSINESS: Plan Confirmation Hearing Set for Aug. 18 GETTY IMAGES: Bank Debt Trades at 27% Off GLC LIMITED: Hybrid "Good Faith" Test Adopted in Suit vs. Hunter GLYECO INC: Signs Employment Agreement with CFO GREEN MOUNTAIN: Big Sky, Mid South Compete for Assets HAMPTON ROADS: Moody's Gives Ba1 Rating on Ser. 2007A Class I Bonds HAVEN HOUSE: Case Summary & 8 Largest Unsecured Creditors HD SUPPLY: May Seek Amendments to Outstanding Credit Agreements HELIA TEC: Heather Potts Designated as Ch. 11 Plan Agent HERCULES OFFSHORE: Announces Second Quarter 2015 Results HERCULES OFFSHORE: Posts $88.3-Mil. Net Loss for Second Quarter INTERLEUKIN GENETICS: Stockholders Elect Three Directors INTERLINE BRANDS: S&P Puts 'B' CCR on CreditWatch Positive ISTAR FINANCIAL: Extends Tender Offer Expiration Date to July 31 JAMES RIVER: Mine Service's Setoff Request Denied JARDEN CORP: S&P Affirms 'BB' Corporate Credit Rating JEFFREY J. PROSSER: Bid to Disqualify Ch. 7 Trustee's Attys Denied JOSEPH UVINO: BofA's Bid to Appoint Receiver Denied KEVIN MILLER: Habeas Corpus Petition Dismissed with Prejudice LAKE DEARBORN: Judge Allows Food Court Tenants' Rejection Claims LIFE PARTNERS: Ad Hoc Committee Supports Bid to End Exclusivity LONESTAR GEOPHYSICAL: Bank Seeks to Pursue Suit Against Manager LONESTAR INTERMEDIATE: S&P Affirms 'B' CCR; Outlook Stable LOS GATOS HOTEL: Wins Extension of Cash Use Until Dec. 31 MAGNETATION LLC: Proposes Up to $1.9MM in Bonuses to 120 Workers MAMMOTH RESOURCES: Trustee's Bid to Dismiss Cory Appeal Granted MARVEL ENTERTAINMENT: Entire CNOL Considered as NOL for Reduction MCCLATCHY CO: Reports Preliminary Second Quarter 2015 Results MCS GROUP: Moody's Affirms 'B3' Corporate Family Rating MILAGRO HOLDINGS: July 30 Meeting Set to Form Creditors' Panel MINERAL PARK: Seeks Approval of $500K Settlement with Trafigura MINERAL TECHNOLOGY: Case Summary & 20 Top Unsecured Creditors MOTORS LIQUIDATION: GUC Trust Sells 10.2M New GM Common Shares MOTORS LIQUIDATION: Wilmington Files Trust Report as of June 30 NAARTJIE CUSTOM: Court Grants Bid to Dismiss Chap. 11 Case NET DATA: Files Amended Schedules of Assets and Liabilities NET DATA: Files List of Creditors Holding Largest Unsecured Claims NET DATA: Temporary Legal Service Contract With Landau Approved NEW YORK LIGHT: Has Interim Authority to Use M&T Cash Collateral NEW YORK LIGHT: U.S. Trustee Forms Three-Member Creditors Panel NICHOLS CREEK: Aug. 17 Hearing on Whitney Bid for Case Dismissal NORTHSHORE MAINLAND: Retains Prime Clerk LLC as Claims Agent NURSES’ REGISTRY: May Use Cash Collateral Through July 30 OAS SA: Brazilian Cases Recognized as "Foreign Main Proceeding" ONE2ONE COMMS: 3d Cir. Reverses Dismissal of Plan Order Appeal PACIFIC GOLD: Sells Interest in Rae Gold and Black Rock Canyon PATRIOT COAL: Court Approves Executive Bonus Plan PATRIOT COAL: Creditors Have Until July 27 to File Proofs of Claim PATRIOT COAL: Files Schedules of Assets and Liabilities PEABODY ENERGY: Debt Trades at 19% Off PHYSIOTHERAPY HOLDINGS: Reverses Ruling on Huron Assumption POINT BLANK: Needs Until Dec. 31 to Remove Actions PUREWAL ENTERPRISES: Knights Franchise Default Judgment Bid Nixed QUEST SOLUTION: Reports Preliminary Revenues for the 2nd Quarter QUICKSILVER RESOURCES: Amends Statement of Financial Affairs QUICKSILVER RESOURCES: BRG OK'd as Substitute Financial Advisor R & S ST. ROSE: Bid to Set Aside Dismissal of Appeal Denied R&G PROPERTIES: Delta Trading's Bid for Final Judgment Denied R. ALAN KITE: Bid for Partial Dismissal of Son's Appeal Granted RADIOSHACK CORP: Amends Schedules of Assets and Liabilities RESIDENTIAL CAPITAL: Court Rules on Objection to Aniels' Claims RESIDENTIAL CAPITAL: Objection to Claim No. 2267 Partly Sustained RESIDENTIAL CAPITAL: Ocwen Obtains Partial Summary Judgment RESIDENTIAL CAPITAL: Primary Capital's Bid to Dismiss Suit Denied RESIDENTIAL CAPITAL: RBC Mortgage's Bid to Dismiss Suit Denied ROBERT J. MEIER: Ex-Wife's Priority Claim Allowed ROVER TECHNOLOGIES: Objection to Final Decree Motion Sustained SABINE OIL: Court Permits Interim Use of Cash Collateral SABINE OIL: Has Interim Authority to Pay $18.5MM in Royalties SABINE OIL: Hires Prime Clerk as Claims and Noticing Agent SABINE OIL: Meeting to Form Creditors' Panel Set for July 28 SABINE OIL: Seeks Approval of Lease Decision Procedure SABINE OIL: Seeks to Reject Nabors Drilling, et al., Leases SABINE OIL: Zolfo Cooper's Jonathan Mitchell to Serve as CRO SALADWORKS LLC: Seeks Sept. 17 Extension of Plan Filing Period SEARS HOLDINGS: S&P Affirms 'CCC+' CCR, Outlook Negative SHERSON GROUP: U.S. Court Issues TRO and Prelim. Injunction STATE FISH: Has Authority to Use Cash Collateral Until Oct. 15 SUNCOKE ENERGY: Recent Acquisitions No Impact on Moody's Ba3 CFR SUNTECH AMERICA: Has Unti Aug. 10 to Decide on Unexpired Leases SUNVALLEY SOLAR: Issues 2 Million Preferred Shares SURVEYMONKEY INC: Moody's Cuts Corporate Family Rating to 'B3' TEXAS REGENCY APARTMENTS: Has Interim Authority to Use Cash TMT GROUP: Temporary Injunction in Suit Over Vantage Shares Upheld TONYA BROWN: Carlisle Wins Summary Judgment as to R. Brown Claims TRANS COASTAL: Case Summary & 20 Largest Unsecured Creditors TRANSGENOMIC INC: Registers 3.3 Million Shares for Resale TRUMP ENTERTAINMENT: Loses Bid to Silence Union Campaign TWIN RINKS: Estimates Assets and Debt at $10M to $50M TWIN RINKS: Final Hearing on Cash Collateral Set for Aug. 26 TXU CORP: 2014 Bank Debt Trades at 44% Off VERMILLION INC: May Issue 4.5 Million Shares Under Stock Plan VICKIE LYNN MARSHALL: Attorneys' Fees Awarded to Pierce Reversed VICTORY ENERGY: Amends Rogers Settlement Agreement VICTORY MEDICAL: Court Hearing on Asset Sale Set for July 28 VIGGLE INC: Expects Fiscal 2015 Revenue to Increase More Than 40% VIRTUAL PIGGY: Issues $250,200 of Promissory Notes VIRTUAL PIGGY: Scott McPherson Returns as CFO VISTEON CORP: Not Prevented by ERISA to Cut OPEB, Del. Court Rules VYCOR MEDICAL: Amends Form S-1 Prospectus with SEC VYCOR MEDICAL: Fountainhead Reports 49.9% Stake as of June 30 WANDA TORRENCE: Complaint Against Comcast Dismissed WASHINGTON HEIGHTS: Meeting of Creditors Scheduled for July 27 WHISKEY ONE: Aug. 13 Hearing on Bid to Dismiss Ch. 11 Case WPCS INTERNATIONAL: John Stetson Reports 9.9% Stake as of July 23 WPCS INTERNATIONAL: Sells 288,223 Common Shares XINERGY LTD: Settles Rights to $3MM in Escrowed Funds Z TRIM HOLDINGS: Signs Purchase Agreement with Fordham ZOGENIX INC: Millennium Mgmt. Reports 5.6% Stake as of July 22 [^] BOND PRICING: For the Week From July 20 to 24, 2015 ********* AF EVANS: Cal. App. Affirms Denial of DeCaprio's Bid to Vacate -------------------------------------------------------------- The Court of Appeals of California, First District, Division Two, affirmed the trial court's order in the case captioned STEVEN DeCAPRIO, Plaintiff and Appellant, v. ROCKRIDGE PROPERTIES, LLC, Defendant and Respondent, NO. A143018 (Cal. Ct. App.). After the trial court granted summary judgment finding that Rockridge Properties, LLC, was entitled to possession of real property commonly referred to as 3801 and 3807 Martin Luther King, Jr. Way, in Oakland, California, Steven DeCaprio filed a motion to vacate the said order and claimed a right to possession of the property. The trial court rejected DeCaprio's claims and stated that he had failed to submit any evidence to support his claim of ownership of the property. DeCaprio appealed, contending, among others, that his procedural due process rights were violated and that the sale to Rockridge was not valid. The Court of Appeals ruled that the trial court properly denied DeCaprio's claim under Section 1174.3. It found that DeCaprio presented no evidence that he owned the property or had any right to possession. He also did not prove adverse possession of the property, the Court of Appeals said. The Court of Appeals also found no abuse of discretion in the trial court's denial of DeCaprio's motion to vacate its order. It found no violation of DeCaprio's procedural due process rights because he had the opportunity "to be heard at a meaningful time and in a meaningful manner" when the trial court held a hearing on his claims and provided him with a full and fair opportunity to submit evidence as to his claim of ownership of the property. A full-text copy of the July 16, 2015 opinion is available at http://is.gd/umJcgNfrom Leagle.com. A.F. Evans Company, Inc., is a property developer based in Oakland, Calif. The Company sought Chapter 11 protection (Bank. N.D. Calif. Case No. 09-41727) on March 5, 2009. Eric A. Nyberg, Esq., at Kornfield, Nyberg, Bendes and Kuhner, represents the Debtor in its restructuring effort. The Debtor estimated assets of less than $50,000 and debts of $100 million to $500 million in its chapter 11 petition. ALEXZA PHARMACEUTICALS: Grants Stock Options to Employees --------------------------------------------------------- The Board approved the grant of stock options to certain of Alexza Pharmaceuticals, Inc.'s employees including each of Thomas B. King, Edwin S. Kamemoto and Mark K. Oki, the executive officers, according to a document filed with the Securities and Exchange Commission. The Options were granted under and in accordance with the terms and conditions of the Company's 2015 Equity Incentive Plan and the Form of Stock Option Grant Notice and Option Agreement and Form of Restricted Stock Unit Grant Notice and Restricted Unit Award Agreement. Pursuant to the terms of the grants, the Plan and the Related Agreements, the Options will vest in 48 equal monthly installments commencing on Aug. 21, 2015, provided in each case that the executive officer remains employed by the Company through the applicable vesting date. The exercise price for the Options is $1.08, the closing price for the Company's Common Stock on the Nasdaq Capital Market on the date of those grants. Options Executive Officer Granted ----------------- ------- Thomas B. King 400,000 President and Chief Executive Officer Edwin S. Kamemoto 125,000 Executive Vice President, R&D and Development Mark K. Oki 125,000 Senior Vice President, Finance and Administration, Chief Financial Officer and Secretary About Alexza Mountain View, California-based Alexza Pharmaceuticals, Inc., was incorporated in the state of Delaware on Dec. 19, 2000, as FaxMed, Inc. In June 2001, the Company changed its name to Alexza Corporation and in December 2001 became Alexza Molecular Delivery Corporation. In July 2005, the Company changed its name to Alexza Pharmaceuticals, Inc. The Company is a pharmaceutical development company focused on the research, development, and commercialization of novel proprietary products for the acute treatment of central nervous system conditions. Alexza Pharmaceuticals reported a net loss of $36.7 million in 2014 compared to a net loss of $39.6 million in 2013. As of March 31, 2015, the Company had $43.2 million in total assets, $94.8 million in total liabilities, and a $51.7 million total stockholders' deficit. Ernst & Young LLP, in Redwood City, California, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. ALEXZA PHARMACEUTICALS: To Issue 3.5M Shares Under Plans -------------------------------------------------------- Alexza Pharmaceuticals, Inc., filed a Form S-8 registration statement with the Securities and Exchange Commission to register an aggregate of 3,505,909 shares of common stock of the Company issuable under the 2015 Equity Incentive Plan and 2015 Non-Employee Directors' Stock Award Plan. The proposed maximum aggregate offering price is $3.8 million. A copy of the regulatory filing is available at http://is.gd/Of57pn About Alexza Mountain View, California-based Alexza Pharmaceuticals, Inc., was incorporated in the state of Delaware on Dec. 19, 2000, as FaxMed, Inc. In June 2001, the Company changed its name to Alexza Corporation and in December 2001 became Alexza Molecular Delivery Corporation. In July 2005, the Company changed its name to Alexza Pharmaceuticals, Inc. The Company is a pharmaceutical development company focused on the research, development, and commercialization of novel proprietary products for the acute treatment of central nervous system conditions. Alexza Pharmaceuticals reported a net loss of $36.7 million in 2014 compared to a net loss of $39.6 million in 2013. As of March 31, 2015, the Company had $43.2 million in total assets, $94.8 million in total liabilities, and a $51.7 million total stockholders' deficit. Ernst & Young LLP, in Redwood City, California, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. ALLONHILL LLC: Exclusive Plan Filing Date Extended to Aug. 17 ------------------------------------------------------------- Allonhill, LLC, sought and obtained from Judge Kevin Gross of the U.S. Bankruptcy Court for the District of Delaware, the extension of the period within which it may file a Chapter 11 plan to August 17, 2015, and the period within which it may solicit acceptances of the plan to October 5, 2015. Aurora Commercial Corp. objected to the Debtor's motion, alleging that the Debtor has not demonstrated that sufficient "cause" exists in favor of extending the current exclusive periods. Seth A. Nierderman, Esq., at Fox Rothschild LLP, in Wilmington, Delaware, tells the Court that based on the amount of time already spent by the Debtor's professionals in preparing a plan, there is no reason that the Debtor should not be able to file a plan prior to the expiration of the current exclusive filing period. The Debtor's counsel, Evan T. Miller, Esq., at Bayard, P.A., in Wilmington, Delaware, informed the Court that the Debtor and Aurora have agreed to resolve the Aurora Objection and the Motion in accordance with the terms set forth in their Stipulation to Further Extend Time Periods. Allonhill, LLC is represented by: Neil B. Glassman, Esq. Justin R. Alberto, Esq. Evan T. Miller, Esq. BAYARD, P.A. 222 Delaware Avenue, Suite 900 Wilmington, DE 19801 Telephone: (302)655-5000 Facsimile: (302)658-6395 Email: nglassman@bayardlaw.com jalberto@bayardlaw.com emiller@bayardlaw.com -- and -- Christopher R. Donoho, III, Esq. Lynn W. Holbert, Esq. HOGAN LOVELLS US LLP 875 Third Avenue New York, NY 10022 Telephone: (212)918-3000 Facsimile: (212)918-3100 Email: chris.donoho@hoganlovells.com lynn.holbert@hoganlovells.com Aurora Commercial Corp. is represented by: Seth A. Niederman, Esq. FOX ROTHSCHILD LLP 919 North Market Street, Suite 300 Wilmington, DE 19899-2323 Telephone: (302)654-7444 Facsimile: (302)656-8920 Email: sniederman@foxrothschild.com -- and -- Michael G. Menkowitz, Esq. Jason C. Manfrey, Esq. FOX ROTHSCHILD LLP 2000 Market Street, 20th Floor Philadelphia, PA 19103-3291 Telephone: (215)299-2000 Facsimile: (215)299-2150 Email: mmenkowitz@foxrothschild.com jmanfrey@foxrothschild.com About Allonhill LLC Allonhill LLC, a professional services firm based in Denver, Colorado, that previously provided loan due diligence and credit risk management services for institutions that invest in, sell, securitize or service mortgage loans, sought protection under Chapter 11 of the Bankruptcy Code on March 26, 2014. The case is In re Allonhill, LLC, Case No. 14-bk-10663 (Bankr. D. Del.). The Debtor's General Counsel is HOGAN LOVELLS US LLP. The Debtor's Local Counsel is Neil B. Glassman, Esq., Justin R. Alberto, Esq., and Evan T. Miller, Esq., at BAYARD, P.A., in Wilmington, Delaware. Upshot Services LLC serves as the Debtor's Claims and Noticing Agent. The Debtor disclosed $19,205,062 in assets and $32,918,294 in liabilities as of the Chapter 11 filing. Roberta A. DeAngelis, U.S. Trustee for Region 3, notified the Bankruptcy Court that she was unable to appoint an official committee of unsecured creditors in the case of Allonhill, LLC. The U.S. Trustee explained that there were insufficient response to the communication/contact for service on the committee. ALLY FINANCIAL: Declares Dividends on Preferred Stock ----------------------------------------------------- Ally Financial Inc. has declared quarterly dividend payments for certain outstanding preferred stock. Each of these dividends were declared by the board of directors on July 22, 2015, and are payable on Aug. 17, 2015. A quarterly dividend payment was declared on Ally's Fixed Rate Cumulative Perpetual Preferred Stock, Series G, of approximately $23 million, or $17.89 per share, and is payable to shareholders of record as of Aug. 1, 2015. Additionally, a dividend payment was declared on Ally's Fixed Rate/Floating Rate Perpetual Preferred Stock, Series A, of approximately $14.8 million, or $0.53 per share, and is payable to shareholders of record as of Aug. 1, 2015. About Ally Financial Ally Financial Inc., formerly GMAC Inc. -- http://www.ally.com/-- is one of the world's largest automotive financial services companies. The Company offers a full suite of automotive financing products and services in key markets around the world. Ally's other business units include mortgage operations and commercial finance, and the company's subsidiary, Ally Bank, offers online retail banking products. Ally operates as a bank holding company. GMAC obtained a $17 billion bailout from the U.S. government in exchange for a 56.3 percent stake. Private equity firm Cerberus Capital Management LP keeps 14.9 percent, while General Motors Co. owns 6.7 percent. * * * As reported by the TCR on Dec. 16, 2013, Standard & Poor's Ratings Services said it raised its issuer credit rating on Ally Financial Inc. to 'BB' from 'B+'. "The upgrade reflects the company's release from potential legal and financial liabilities stemming from its ownership of ResCap," said Standard & Poor's credit analyst Tom Connell. In the April 3, 2014, edition of the TCR, Fitch Ratings has upgraded Ally Financial Inc.'s long-term Issuer Default Rating (IDR) and senior unsecured debt rating to 'BB+' from 'BB'. The rating upgrade reflects increased clarity around Ally's ownership structure given Ally's recent announcement that it has launched an initial public offering those shares of its common stock held by the U.S. Treasury (the Treasury). As reported by the TCR on July 16, 2014, Moody's Investors Service affirmed the 'Ba3' corporate family and 'B1' senior unsecured ratings of Ally Financial, Inc. and revised the outlook for the ratings to positive from stable. Moody's affirmed Ally's ratings and revised its rating outlook to positive based on the company's progress toward sustained improvements in profitability and repayment of government assistance received during the financial crisis. ALLY FINANCIAL: Two New Directors Join Board -------------------------------------------- Ally Financial Inc. announced that former financial executive Maureen Breakiron-Evans and internet executive Michael Steib have been appointed to the board of directors, effective July 22, 2015. Breakiron-Evans will also serve on the board's audit committee. "Both Maureen and Michael will be terrific additions to the Ally board at this point in the company's journey," said Ally Chairman Franklin (Fritz) Hobbs. "Ally has a strong foundation and leading positions in both the auto finance and online banking sectors and is poised to expand upon these strengths." Hobbs continued, "Maureen is a seasoned executive with a broad range of experience in both management and governance of companies looking to evolve, grow and deliver for shareholders, and Michael's experience in online marketplaces and his innovative spirit will bring a vital perspective to the Ally board, in particular, as we seek to pursue digital growth strategies. We look forward to their contributions." About Maureen Breakiron-Evans Breakiron-Evans is a seasoned former financial executive and corporate board member. She currently serves on the boards of Cognizant Technology Solutions and Heartland Payment Systems. Breakiron-Evans was previously the chief financial officer of Towers Perrin, until she retired in 2008. Prior to joining Towers Perrin, she was the general auditor and enterprise risk manager at CIGNA Corp. She also served as CFO of Inovant, LLC, a unit of Visa that developed and operated its payment and transactions systems globally. Breakiron-Evans also held several leadership positions at Transamerica Corp. and was an audit partner with Arthur Andersen. She is a certified public accountant and serves on the board of trustees at Stetson University. About Michael Steib Steib is the chief executive officer of XO Group, the leading consumer internet and media company with brands including The Knot, The Nest and The Bump. Prior to joining XO Group, Steib served as CEO of Vente-Privee USA, an ecommerce venture backed by American Express. He also spent four years at Google helping to build Google TV Ads and grow Google Mobile Ads and YouTube's advertising business. He also held key positions at NBC and McKinsey & Company. Steib was honored as one of Crain's New York 40 Under 40 professionals in 2008 and serves on the board of Literacy Partners, a nonprofit providing free adult literacy programs to thousands of New Yorkers. About Ally Financial Ally Financial Inc., formerly GMAC Inc. -- http://www.ally.com/-- is one of the world's largest automotive financial services companies. The Company offers a full suite of automotive financing products and services in key markets around the world. Ally's other business units include mortgage operations and commercial finance, and the company's subsidiary, Ally Bank, offers online retail banking products. Ally operates as a bank holding company. GMAC obtained a $17 billion bailout from the U.S. government in exchange for a 56.3 percent stake. Private equity firm Cerberus Capital Management LP keeps 14.9 percent, while General Motors Co. owns 6.7 percent. * * * As reported by the TCR on Dec. 16, 2013, Standard & Poor's Ratings Services said it raised its issuer credit rating on Ally Financial Inc. to 'BB' from 'B+'. "The upgrade reflects the company's release from potential legal and financial liabilities stemming from its ownership of ResCap," said Standard & Poor's credit analyst Tom Connell. In the April 3, 2014, edition of the TCR, Fitch Ratings has upgraded Ally Financial Inc.'s long-term Issuer Default Rating (IDR) and senior unsecured debt rating to 'BB+' from 'BB'. The rating upgrade reflects increased clarity around Ally's ownership structure given Ally's recent announcement that it has launched an initial public offering those shares of its common stock held by the U.S. Treasury (the Treasury). As reported by the TCR on July 16, 2014, Moody's Investors Service affirmed the 'Ba3' corporate family and 'B1' senior unsecured ratings of Ally Financial, Inc. and revised the outlook for the ratings to positive from stable. Moody's affirmed Ally's ratings and revised its rating outlook to positive based on the company's progress toward sustained improvements in profitability and repayment of government assistance received during the financial crisis. ALONSO & CARUS: Bank Agrees to Aug. 31 Extension of Cash Use ------------------------------------------------------------ Alonso & Carus Iron Works, Inc., and Banco Popular de Puerto Rico ask the United States Bankruptcy Court for the District of Puerto Rico to approve their stipulation extending through and including August 31, 2015, the period by which the Debtor may use cash collateral. Alonso & Carus Iron Works, Inc. is represented by: Charles A. Cuprill, Esq. Charles A Cuprill, PSC Law Office 356 Calle Fortaleza Second Floor San Juan, Puerto Rico 00901 Tel.: 787 977-0515 Fax: 787 977-0518 Email:ccuprill@cuprill.com Banco Popular de Puerto Rico is represented by: Luis C. Marini-Biaggi, Esq. Nayuan Zouairabani, Esq. O’Neill & Borges, LLC American International Plaza 250 Muñoz Rivera Avenue, Suite 800 San Juan, Puerto Rico 00918 Tel.: 787 764-8181 Fax: 787 753-8944 Email: luis.marini@oneillborges.com nayuan.zouairabani@oneillborges.com About Alonso & Carus Alonso & Carus Iron Works, Inc., sought Chapter 11 protection (Bankr. D.P.R. Case No. 15-02250) in Old San Juan, Puerto Rico, on March 27, 2015. The case is assigned to Judge Enrique S. Lamoutte Inclan. The Catano, Puerto Rico-based debtor has filed schedules of assets and liabilities, disclosing $23,028,113 in total assets and $14,919,146 in total debts. The Debtor on the Petition Date filed applications to employ Charles A Curpill, PSC Law office, as counsel; and CPA Luis R. Carrasquillo & Co, PSC as financial consultant. AMERICAN AIRLINES: Order Denying Filing of Untimely Claim Upheld ---------------------------------------------------------------- Judge Jesse M. Furman of the United States District Court for the Southern District of New York affirmed the bankruptcy court's order denying Gary Bryant's motion to file an untimely proof of claim in AMR Corporation's Chapter 11 proceedings. The bankruptcy court found that Bryant's claims, which arose from conduct that occurred before AMR filed its bankruptcy petition, had been discharged. He was also permanently enjoined from commencing any action with respect to those claims. Bryant, who had filed his claim more than a year after the bar date, asserted that he had not been notified of the Voluntary Chapter 11 Bankruptcy Proceedings and of the bar date. Judge Furman held that the bankruptcy court did not err in finding that Bryant had properly received notice of the bar date. Bryant's mere affidavit stating that he had never received the notice was insufficient to overcome the presumption of receipt, Judge Furman said. Judge Furman also found that the bankruptcy court did not err in finding that Bryant had not demonstrated that his failure to timely file his proof of claim was the result of excusable neglect. The case is IN RE: AMR CORPORATION, NO. 14-CV-8673(JMF) (S.D.N.Y.). A full-text copy of Judge Furman's July 14, 2015 memorandum opinion and order is available at http://is.gd/27sOJ6from Leagle.com. AMR Corporation is represented by: Stephen Andrew Youngman, Esq. WEIL, GOTSHAL & MANGES LLP 767 Fifth Avenue, New York, NY 10153-0119 Tel: (212) 310-8000 Fax: (212) 310-8007 Email: stephen.youngman@weil.com 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 April 13, 2015, reported that Standard & Poor's Ratings Services assigned its 'BB' issue-level rating and '1' recovery rating to American Airlines Inc.'s (American; B+/Positive/--) $750 million amended term loan B due Oct. 10, 2021. The term loan is guaranteed by the company's parent, American Airlines Group Inc., and its affiliates, US Airways Group Inc. and US Airways Inc. S&P's '1' recovery rating indicates its expectation of a "very high" (90%-100%) recovery in a default scenario. The TCR also reported on April 10, 2015, that following the announcement by American Airlines, Inc. that it would re-price and alter the collateral package for its $1.15 billion senior secured credit facility, Fitch's ratings on the facility remain unchanged at 'BB+/RR1'. AMERICAN APPAREL: Holds Meeting to Seek Approval of 3 Proposals --------------------------------------------------------------- American Apparel, Inc., held its 2015 annual meeting of stockholders on July 16, 2015. The following proposals were presented to a vote of the stockholders at the Annual Meeting and received the votes indicated: Proposal 1: To elect Laura A. Lee, Thomas J. Sullivan and Lyndon Lea to the Board of Directors, each to serve for a term of three years and until his or her successor is duly elected and qualified at the 2018 Annual Meeting of Stockholders, or such director's earlier death, resignation or removal: Director Votes For Votes Withheld -------- ----------- -------------- Laura A. Lee 35,290,307 62,278,984(1) Thomas J. Sullivan 33,690,575 63,708,427(1) Lyndon Lea 101,138,025(2) 3,440,662 Proposal 2: To ratify the appointment of Marcum LLP as the Company's independent auditors for the fiscal year ending Dec. 31, 2015: Votes For Votes Against Abstain ------------ ------------- ------------- 73,400,796 6,300,424 64,066,642(3) Proposal 3: To approve an amendment to the Company's Amended and Restated Certificate of Incorporation to increase the number of authorized shares of the Company's common stock disclosed in the proxy statement for the Annual Meeting: Votes For Votes Against Abstain -------------- ------------- -------------- 56,124,621 25,258,215 60,629,794(3) (1) Includes 59,994,034 shares withheld (or instructed to be withheld) by Dov Charney. (2) Includes 59,994,034 shares voted (or instructed to be voted) by Mr. Charney, in accordance with his obligations under that certain Investment Voting Agreement, dated as of March 13, 2009, between Mr. Charney and Lion Capital (Guernsey) II Limited. (3) Includes 59,994,034 shares that Mr. Charney abstained from voting (or were instructed to be abstained from voting by Mr. Charney). About American Apparel American Apparel is a vertically-integrated manufacturer, distributor, and retailer of branded fashion basic apparel based in downtown Los Angeles, California. As of Sept. 30, 2014, American Apparel had approximately 10,000 employees and operated 245 retail stores in 20 countries including the United States and Canada. American Apparel also operates a global e-commerce site that serves over 60 countries worldwide at http://www.americanapparel.com. In addition, American Apparel operates a leading wholesale business that supplies high quality T-shirts and other casual wear to distributors and screen printers. Amid liquidity problems and declining sales, American Apparel in early 2011 reportedly tapped law firm Skadden, Arps, Slate, Meagher & Flom and investment bank Rothschild Inc. for advice on a restructuring. In April 2011, American Apparel said it raised $14.9 million in rescue financing from a group of investors led by Canadian financier Michael Serruya and private equity firm Delavaco Capital Corp., allowing the casual clothing retailer to meet obligations to its lenders for the time being. Under the deal, the investors were buying 15.8 million shares of common stock at 90 cents apiece. The deal allows the investors to purchase additional 27.4 million shares at the same price. American Apparel reported a net loss of $68.8 million in 2014, a net loss of $106 million in 2013 and a net loss of $37.3 million in 2012. As of March 31, 2015, the Company had $271 million in total assets, $416 million in total liabilities and a $144 million total stockholders' deficit. * * * The TCR reported on Nov. 21, 2013, that Moody's Investors Service downgraded American Apparel Inc.'s corporate family rating to Caa2. The clothing retailer's probability of default was also lowered one level and the outlook is negative. As reported by the TCR on Sept. 2, 2014, Standard & Poor's Ratings Services lowered its corporate credit rating on Los Angeles-based American Apparel Inc. to 'CCC-' from 'CCC'. The outlook is negative. AMERICAN DENTAL: Moody's Hikes Corporate Family Rating to 'B2' -------------------------------------------------------------- Moody's Investors Service upgraded American Dental Partners, Inc.'s ("ADPI") Corporate Family Rating to B2 from B3, Probability of Default rating to B2-PD from B3-PD, and senior secured credit facilities' rating to B1 from B2. The rating outlook is stable. This rating action concludes the ratings review of ADPI initiated on June 16, 2015. The upgrade reflects the reduction in adjusted debt due to changes in Moody's approach for capitalizing operating leases. The updated approach for standard adjustments for operating leases is explained in the cross-sector rating methodology Financial Statement Adjustments in the Analysis of Non-Financial Corporations, published on June 15, 2015. The upgrade also considers improved operating performance due to the realization of earnings attributable to recent cost reduction initiatives, and reflects Moody's expectation that the company will maintain a disciplined acquisition strategy and good availability under combined sources of internal and external liquidity. American Dental Partners, Inc. Ratings upgraded: Corporate Family Rating, to B2 from B3 Probability of Default Rating, to B2-PD from B3-PD Senior secured credit facilities, to B1 (LGD3) from B2 (LGD3) The rating outlook is stable. RATING RATIONALE ADPI's B2 Corporate Family Rating reflects the company's small absolute size based on revenue and earnings, high financial leverage, and modest interest coverage relative to other single-B rated companies. However, ADPI's credit profile benefits from its solid market presence within the DSO industry. We expect the company to continue to pursue a de novo office growth strategy over the intermediate-term. Although we expect this strategy to constrain near-term profit margins and free cash flow, the rating is supported by the company's flexibility to reduce de novo growth if desired, and its ability to then deploy free cash flow toward debt reduction. The rating outlook is stable, and reflects our assumption that the company's de novo and acquisition growth strategy will be financed through internally-generated cash. In addition, the stable outlook incorporates our expectation that the company will maintain a good liquidity profile, and does not reflect any significant debt-funded acquisitions shareholder initiatives. An upgrade of the ratings is unlikely over the near-term due to the company's small absolute size, and de novo office growth strategy, which Moody's expects will constrain free cash flow and limit debt repayment. Over time, the rating could be upgraded if the company can significantly enhance its revenue size and diversity, adjusted debt to EBITDA is sustained below 4 times, and free cash flow to debt exceeds 8%. The ratings could be downgraded if adjusted debt to EBITDA approaches 6 times, or if free cash flow turns negative on a sustained basis. The ratings could also be lowered if financial policies become more aggressive or if liquidity deteriorates. Headquartered in Wakefield, Massachusetts, American Dental Partners, Inc. ("ADPI") is a leading dental service organization ("DSO") in the United States. The company provides dental facilities, support staff and comprehensive business support functions under management services agreements to its affiliated dental groups. ADPI provides all services necessary for the administration of the non-clinical aspects of the dental operations (e.g. organizational planning, IT support, and financial reporting) while the affiliated practices are responsible for providing dental care to patients. The company is privately-owned by financial sponsor JLL Partners, Inc., and generated adjusted gross and net revenues of approximately $420 million and $271 million, respectively, over the 12 months ended March 31, 2015. AMF BOWLING: "Unknown Creditor" Can't Pursue Tort Claim ------------------------------------------------------- District Judge John A. Gibney Jr. affirmed the Order of the Bankruptcy Court in the case captioned EMIKO BOARD, Appellant, v. AMF BOWLING WORLDWIDE, INC., Appellee, CASE NO. 3:14-CV-00822-JAG (E.D. Va., Richmond Div.). Emiko Board appealed the Bankruptcy Court's denial of her "Motion for Declaration that Discharge Injunction Is Not Applicable or, in the Alternative, for Extension of Time Within Which to Make Application for Payment of Administrative Expense Claim." Board sought a declaration that would allow her to pursue her tort claim against AMF Bowling Worldwide, Inc. Judge Gibney concluded that Board was an unknown creditor and, thus, was entitled to only constructive notice of the administrative claims bar date in AMF's case. Moreover, Judge Gibney held that AMF's notice published in The Wall Street Journal and The Richmond Times Dispatch met the requirements of due process. A copy of the June 26, 2015 opinion is available at http://is.gd/2BwMy2from Leagle.com. About AMF Bowling Worldwide AMF Bowling Worldwide Inc. is the largest operator of bowling centers in the world. The Company and several affiliates sought Chapter 11 protection (Bankr. E.D. Va. Case Nos. 12-36493 to 12-36508) on Nov. 12 and 13, 2012, after reaching an agreement with a majority of its secured first lien lenders and the landlord of a majority of its bowling centers to restructure through a first lien lender-led debt-for-equity conversion, subject to higher and better offers through a marketing process. At the time of the bankruptcy filing, AMF operated 262 bowling centers across the United States and, through its non-Debtor facilities, and 8 bowling centers in Mexico -- more than three times the number of bowling centers of its closest competitor. Debt for borrowed money totals $296 million, including $216 million on a first-lien term loan and revolving credit, and $80 million on a second-lien term loan. Mechanicsville, Virginia-based AMF first filed for bankruptcy reorganization in July 2001 and emerged with a confirmed Chapter 11 plan in February 2002 by giving unsecured creditors 7.5% of the new stock. The bank lenders, owed $625 million, received a combination of cash, 92.5% of the stock, and $150 million in new debt. At the time, AMF had over 500 bowling centers. Judge Kevin R. Huennekens oversees the 2012 case, taking over from Judge Douglas O. Tice, Jr., following Judge Tice's retirement from the bench. Patrick J. Nash, Jr., Esq., Jeffrey D. Pawlitz, Esq., and Joshua A. Sussberg, Esq., at Kirkland & Ellis LLP; and Dion W. Hayes, Esq., John H. Maddock III, Esq., and Sarah B. Boehm, Esq., at McGuirewoods LLP, served as the Debtors' counsel. Moelis & Company LLC served as the Debtors' investment banker and financial advisor. McKinsey Recovery & Transformation Services U.S., LLC, served as the Debtors' restructuring advisor. Kurtzman Carson Consultants LLC served as the Debtors' claims and noticing agent. Kristopher M. Hansen, Esq., Sayan Bhattacharyya, Esq., and Marianne S. Mortimer, Esq., at Stroock & Stroock & Lavan LLP; and Peter J. Barrett, Esq., and Michael A. Condyles, Esq., at Kutak Rock LLP, represented the first lien lenders. An ad hoc group of second lien lenders was represented by Lynn L. Tavenner, Esq., and Paula S. Beran, Esq., at Tavenner & Beran, PLC; and Ben H. Logan, Esq., Suzzanne S. Uhland, Esq., and Jennifer M. Taylor, Esq., at O'Melveny & Myers LLP. The Official Committee of Unsecured Creditors retained Pachulski Stang Ziehl & Jones LLP as its lead counsel; Christian & Barton, LLP as its local counsel; and Mesirow Financial Consulting, LLC as its financial advisors. AMF emerged from its 2012 bankruptcy eight months later, in July 2013, implementing a plan of reorganization that gives ownership of the business to second-lien creditors owed $80 million and to Strike Holdings LLC, the owner of six high-end bowling centers operating under the name Bowlmor. The bankruptcy court approved the plan with a June 25 confirmation order. The second-lien group that bought most of AMF includes affiliates of Cerberus Capital Management LP and JPMorgan Chase & Co., who together held 70 percent of the second-lien debt and 11.5 percent of the first-lien notes. The plan paid off the first-lien debt in full with interest at the non-default rate. ANCHOR TANK LINES: NY Court Dismisses "Demopoulus" Suit ------------------------------------------------------- Judge Lorna G. Schofield of the United States District Court for the Southern District of New York dismissed a complaint filed by Demos P. Demopoulos, et. al., seeking damages from Anchor Tank Lines LLC, et. al., in connection with payments that were required, but not made, to International Brotherhood of Teamsters Local 553's benefit funds, as well as the enforcement of judgments that the Plaintiffs have been awarded in the past. The Plaintiffs allege that (1) the individual defendants breached their fiduciary obligations to the Funds under the Employment Retirement Income Security Act of 1974 by failing to make contributions and instead retaining the monies for their own use; (2) the Tank defendants failed to make contributions to the Funds and to make payments under the settlement agreement in Demopolous; (3) unjust enrichment; (4) all defendants must make an accounting "of all sums owed to the Funds," based on the general remedies section of ERISA; and (5) Leonard Bardari's personal guaranty of the settlement in Demopoulos I must be enforced. Judge Schofield dismissed the claims for delinquent payments, unjust enrichment and an accounting against the Tank defendants, as well as the claim to enforce Leonard Baldari's personal guaranty in Demopoulos I, for lack of subject matter jurisdiction. Judge Schofield held that the Plaintiffs knew that fiduciaries who controlled Anchor I and Reliable had breached their duty between 2007 and 2009 to ensure that the companies made the required payments. By 2010, the Plaintiffs knew the identities of all three individual defendants in relation to Anchor I and Reliable and could definitively infer their attendant fiduciary obligations to the Funds. Since the law suit was not commenced until 2014, it is time barred under ERISA's second statutory limitations period -- three years from when the Plaintiffs had actual knowledge that "an ERISA fiduciary has breached his or her duty." The case is DEMOS P. DEMOPOULOS, et. al. Plaintiffs, v. ANCHOR TANK LINES, LLC, et. al., Defendants, Case No. 14 CIV. 7101, (S.D.N.Y.) A full-text copy of Judge Schofield's Opinion and Order dated July 20, 2015, is available at http://is.gd/9FZn7Afrom Leagle.com. Anchor Tank Lines LLC and Tank Acquisition Company LLC are represented by: Howard Klienhendler, Esq. Sara G. Spiegelman, Esq. WATCHEL & MISSRY, LLP One Dag Hammarskjold Plaza 885 Second Avenue New York, NY 10017 Telephone: (866)526-2877 Facsimile: (212)371-0320 Leonard Baldari, Michael David Hiller and Robert Baldari are represented by: Adam J. Richards, Esq. O'REILLY STOUTENBURG RICHARDS LLP 32 East 57th Street New York, NY 10022 Telephone: (212)419-9880 Facsimile: (212)812-3328 Email: adam@osrlaw.com Astoria, New York-based Anchor Tank Lines Corp., dba Reliable Transit Corp., sought protection under Chapter 11 of the Bankruptcy Code on June 3, 2010 (Bankr. E.D.N.Y., Case No. 10-45230). The Debtor's Counsel is Andrea Fischer, Esq., at Olshan Grundman Frome Rosenzweig Wolosky, in New York. ANNA'S LINENS: Shewak Lajwanti, Et Al. Oppose DIP Financing Motion ------------------------------------------------------------------ Shewak Lajwanti Home Fashions, Inc. and its affiliated creditors ask the U.S. Bankruptcy Court for the Central District of California, Santa Ana Division, to deny the the DIP Financing Motion and the Assumption Motion that Anna's Linens, Inc. had filed. Counsel to the Objectors, Steven T. Gubner, Esq., at Ezra Brutzkus Gubner LLP, in Woodland Hills, California, relates that by the DIP Financing Motion, the Debtor seeks approval to obtain an $80 million senior secured super-priority revolving credit facility from the DIP Lenders, the proceeds of which will be used solely to: (a) extinguish certain Pre-Petition Obligations in the amount of approximately $66.425 million, consisting of approximately (1) $63 million in principal and interest, (2) $3.2 million in early termination fees, and (3) $225,000 in credit monitoring fees; (b) pay fees, costs and expenses in connection with the DIP Financing Agreement, including payment of the Agent's and DIP Lender's reasonable attorney's fees and other out of pocket expenses; (c) pay Debtor's postpetition operating expenses incurred in the ordinary course of business; (d) pay costs and expenses of administration of this Chapter 11 Case, including payment of the Debtor’s professional fees; and, (e) pay other amounts as specified in the Approved Budget and/or operative documentation and allowed by the Bankruptcy Court, in the case of (c) through (e), in amounts and categories consistent with the Approved Budget. Given these set-up, Mr. Gubner tells the Court, the DIP Financing will ultimately provide the Debtor with only $13.6 million of new money. Mr. Gubner adds that the DIP Financing is also subject to borrowing and availability limitations that may further reduce, or completely eliminate, the New Money available to the Debtor by virtue of the DIP Financing. Mr. Gubner asserts that Shewak Lajwanti and related creditors, referred to as the Vendors, file their Objection because it appears that the DIP Financing Motion and related motion are intended to be vehicles for Salus Capital Partners, LLC, as agent for the DIP Lenders, to foreclose on prepetition collateral quickly; to shift the expenses (including out of pocket expenses and attorneys' fees) of that foreclosure to the estate's general unsecured creditors, while simultaneously encumbering free-and-clear assets that should be liquidated for the benefit of the estate's general unsecured creditors. Mr. Gubner further argues that the Motions unreasonably seek to give the DIP Lenders an interest in Chapter 5 causes of action to the detriment of unsecured creditors. He adds that the Agent and the DIP Lenders are to receive general releases from the estate and parties-in-interest of any and all claims against them (including those under section 506(c) of the Bankruptcy Code). Mr. Gubner says that even more concerning, the Debtor ask that all of the foregoing be approved before the Debtor's filings of its schedules or any disclosure of any analysis of the potential challenges to the Agent's or DIP Lender's liens or claims or the potential recovery actions against the Agent and/or the DIP Lender. Shewak Lajwanti Home Fashions, Inc., P&A Marketing, Inc., and Panda Home Fashions, LLC are represented by: EZRA BRUTZKUS GUBNER LLP Steven T. Gubner, Esq. Jerrold L. Bregman, Esq. Michael W. Davis, Esq. 21650 Oxnard Street, Suite 500 Woodland Hills, CA 91367 Telephone: (818)827-9000 Facsimile: (818)827-9099 Email: sgubner@ebg-law.com jbregman@ebg-law.com mdavis@ebg-law.com About Anna's Linens, Inc. Anna's Linens is a specialty retailer offering home textiles,  furnishings and decor at attractive prices. Headquartered in  Costa Mesa, California, operates a chain of 268 company owned  retail stores throughout 19 states in the United States (including  Puerto Rico and Washington, D.C.) generates over $300 million in  annual revenue and employs a workforce of over 2,500 associates.   Anna's Linens sought Chapter 11 bankruptcy protection (Bankr. C.D. Cal. Case No. 15-13008) in Santa Ana, California, on June 14, 2015.   The case is assigned to Judge Theodor Albert. The Debtor tapped  Levene, Neale, Bender, Yoo & Brill LLP as counsel. The Debtor e stimated assets of $50 million to $100 million and debt of $100 million to $500 million.   The U.S. trustee overseeing the Chapter 11 case of Anna's Linens  Inc. appointed seven creditors to serve on the official committee  of unsecured creditors.   ARRAY BIOPHARMA: Provides Update on Selumetinib in Uveal Melanoma ----------------------------------------------------------------- AstraZeneca announced that the Phase 3 SUMIT study of selumetinib in combination with dacarbazine for the treatment of patients with metastatic uveal melanoma did not meet its primary endpoint of progression free survival. This combination therapy showed an adverse event profile generally consistent with current knowledge of the safety profiles of dacarbazine and selumetinib. A full evaluation of the data is ongoing. Selumetinib is a MEK inhibitor in late-stage development, with a primary Phase 3 program in second-line KRAS-mutant advanced non-small cell lung cancer in combination with docetaxel. Selumetinib is also being investigated in a Phase 3 study in differentiated thyroid cancer and in a Phase 2 registration study in patients with neurofibromatosis Type 1. Antoine Yver, Head of Oncology, Global Medicines Development at AstraZeneca said: "Selumetinib is supported by a strong development program with different scientific rationale in multiple tumor types as both monotherapy and in alternative combinations. The findings from SUMIT have no impact on the other studies and we look forward to presenting the data in due course." About Selumetinib and Uveal Melanoma Selumetinib is an oral small molecule MEK inhibitor invented by Array BioPharma (NASDAQ: ARRY) and licensed to AstraZeneca in 2003. AstraZeneca is responsible for development and commercialization of selumetinib. Selumetinib inhibits the MEK enzyme in the RAS/RAF/MEK/ERK pathway in cancer cells to prevent the tumor from growing. The Selumetinib in Uveal Melanoma Investigator Trial (SUMIT) is a randomized, double-blind, placebo controlled trial being carried out in 45 centers, across 11 countries. Uveal melanoma is an orphan disease in which cancer cells grow in the tissues of the eye. It is the most common primary intraocular malignancy in adults and comprises 5% of all melanomas. There are currently no effective treatments for advanced uveal melanoma and in April 2015, selumetinib was granted Orphan Drug Designation by the US Food and Drug Administration in recognition of the need for new, safe and effective therapies for the disease. About Array Biopharma Boulder, Colo.-based Array BioPharma Inc. is a biopharmaceutical company focused on the discovery, development and commercialization of targeted small-molecule drugs to treat patients afflicted with cancer and inflammatory diseases. Array has four core proprietary clinical programs: ARRY-614 for myelodysplastic syndromes, ARRY-520 for multiple myeloma, ARRY-797 for pain and ARRY-502 for asthma. In addition, Array has 10 partner-funded clinical programs including two MEK inhibitors in Phase 2: selumetinib with AstraZeneca and MEK162 with Novartis. Array Biopharma incurred a net loss of $85.3 million for the year ended June 30, 2014, a net loss of $61.9 million for the year ended June 30, 2013, and a net loss of $23.6 million for the year ended June 30, 2012. As of March 31, 2015, the Company had $208 million in total assets, $158 million in total liabilities, and $50.2 million in total stockholders' equity. "If we are unable to generate enough revenue from our existing or new collaboration and license agreements when needed or to secure additional sources of funding, it may be necessary to significantly reduce the current rate of spending through further reductions in staff and delaying, scaling back, or stopping certain research and development programs, including more costly Phase 2 and Phase 3 clinical trials on our wholly-owned or co- development programs as these programs progress into later stage development. Insufficient liquidity may also require us to relinquish greater rights to product candidates at an earlier stage of development or on less favorable terms to us and our stockholders than we would otherwise choose in order to obtain up- front license fees needed to fund operations. These events could prevent us from successfully executing our operating plan and, in the future, could raise substantial doubt about our ability to continue as a going concern," according to the quarterly report for the period ended Sept. 30, 2014. ARS INVESTMENT: Case Summary & 7 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: ARS Investment Group, LLC 4974 N. Fresno St. #215 Fresno, CA 93726 Case No.: 15-12885 Chapter 11 Petition Date: July 22, 2015 Court: United States Bankruptcy Court Eastern District of California (Fresno) Judge: Hon. Fredrick E. Clement Debtor's Counsel: Justin D. Harris, Esq. HARRIS LAW FIRM, PC 7110 N. Fresno St., Suite 400 Fresno, CA 93720 Tel: 559-272-5700 Email: jdh@harrislawfirm.co Total Assets: $1.1 million Total Liabilities: $1.2 million The petition was signed by Alex Kodnegah, managing member. A list of the Debtor's seven largest unsecured creditors is available for free at http://bankrupt.com/misc/caeb15-12885.pdf ATP OIL: Bennu Oil Awarded $13.18-Mil. in Damages ------------------------------------------------- Judge Marvin Isgur of the United States Bankruptcy Court for Southern District of Texas, Houston Division awarded Bennu Oil & Gas, LLC, damages totaling $13,186,254, in connection with its agreement with Bluewater Industries, L.P. Bennu incurred $29,709,192 in direct damages as a result of the failed umbilical. Bennu owes Bluewater $16,522,937 in connection with the contracts it assumed. Bennu filed a complaint against Bluewater and Technip Inc. relating to contract work performed on the Clipper Project. Bennu and Technip entered into a settlement agreement resolving all claims against one another in the action. There are two remaining components to the lawsuit: (i) Bennu's breach of warranty claim against Bluewater and (ii) Bluewater's counterclaim against Bennu to recover alleged amounts owed under the parties' contracts. Bennu and Bluewater each filed motions for summary judgment. Bluewater's motion for partial summary judgment as to certain categories of damages claimed by Bennu was granted in part and denied in part. The first part of Bennu's Motion for Partial Summary Judgment regarding the non-Clipper claims was granted. Summary judgment regarding the non-Clipper Telemark claims was denied and reserved for trial. By agreement of the parties, the second part of the motion regarding lien validity was abated and will be incorporated into the final judgment. Judge Isgur found that Bluewater is not legally excused from performing its warranty obligations and found that (i) Bennu has satisfied its initial burden of proving of that no fault independent of Bluewater's workmanship or materials caused the failure; (ii) Bluewater failed to rebut the inference by proving that the failure of the umbilical was the result of something outside of Bluewater's scope; and (iii) Bluewater's indemnity defense fails as a matter of law. Accordingly, Bennu has prevailed on its breach of warranty claim. The adversary proceeding is BENNU OIL & GAS, LLC, Plaintiff(s), v. BLUEWATER INDUSTRIES, L.P., et al., Defendant(s), ADVERSARY NO. 14-3001, (S.D. Tex.). The bankruptcy case is IN RE: ATP OIL & GAS CORPORATION, Chapter 7, Debtor(s), Case No. 12-36187 (Bankr. S.D. Tex.). A full-text copy of Judge Marvin Isgur's Memorandum Opinion dated July 15, 2015, is available at http://is.gd/ltEtlNfrom Leagle.com. About ATP Oil Houston, Texas-based ATP Oil & Gas Corporation is an international offshore oil and gas development and production company focused in the Gulf of Mexico, Mediterranean Sea and North Sea. ATP Oil & Gas filed a Chapter 11 petition (Bankr. S.D. Tex. Case No. 12-36187) on Aug. 17, 2012. Attorneys at Mayer Brown LLP, serve as bankruptcy counsel. Munsch Hardt Kopf & Harr, P.C., is the conflicts counsel. Motley Rice LLC and Fayard & Honeycutt, APC serve as special counsel. Opportune LLP is the financial advisor and Jefferies & Company is the investment banker. Kurtzman Carson Consultants LLC is the claims and notice agent. ATP disclosed assets of $3.6 billion and $3.5 billion of liabilities as of March 31, 2012. Debt includes $365 million on a first-lien loan where Credit Suisse AG serves as agent. There is $1.5 billion on second-lien notes with Bank of New York MellonTrust Co. as agent. ATP's other debt includes $35 million on convertible notes and $23.4 million owing to third parties for their shares of production revenue. Trade suppliers have claims for $147 million, ATP said in a court filing. An official committee of unsecured creditors has been appointed in the case. Evan R. Fleck, Esq., at Milbank, Tweed, Hadley & McCloy, in New York, represents the Creditors Committee as counsel. A seven-member panel of equity security holders has also been appointed in the case. Kyung S. Lee, Esq., and Charles M. Rubio, Esq. of Diamond McCarthy LLP, in Houston, Texas, serve as counsel to the Equity Committee. BEAZER HOMES: 7.50% Tangible Equity Units Deregistered From NYSE ---------------------------------------------------------------- The New York Stock Exchange notified the Securities and Exchange Commission on Form 25 regarding the removal from listing of Beazer Homes USA Inc.'s 7.50% Tangible Equity Units under Section 12(b) of the Securities Exchange Act of 1934. About Beazer Homes Beazer Homes USA, Inc. (NYSE: BZH) -- http://www.beazer.com/-- headquartered in Atlanta, is one of the country's 10 largest single-family homebuilders with continuing operations in Arizona, California, Delaware, Florida, Georgia, Indiana, Maryland, Nevada, New Jersey, New Mexico, North Carolina, Pennsylvania, South Carolina, Tennessee, Texas, and Virginia. Beazer Homes is listed on the New York Stock Exchange under the ticker symbol "BZH." As of March 31, 2015, the Company had $2.03 billion in total assets, $1.77 billion in total liabilities and $259 million in total stockholders' equity. * * * Beazer carries a 'B-' issuer credit rating, with "negative" outlook, from Standard & Poor's. In June 2015, Moody's Investors Service upgraded Beazer Homes USA, Inc.'s Corporate Family Rating to B3 from Caa1 and its Probability of Default Rating to B3-PD from Caa1-PD. BIRMINGHAM COAL: Amends List of 20 Largest Unsecured Creditors -------------------------------------------------------------- Birmingham Coal & Coke Company, Inc., filed on June 16, 2015, with the U.S. Bankruptcy Court for the Northern District of Alabama an amended list of creditors holding 20 largest unsecured claims, disclosing: Creditor Nature of Claim Amount of Claim -------- --------------- --------------- State Lands Division 2012 - Advanced $2,433,240 State Lands Division Minimum Royalty 64 N. Union St. Montgomery, AL 36131 Caterpillar Financial 2013 - 2015 $1,153,773 Services Corp. Financed equipment P.O. Box 330339 repair Nashville, TN 37203 State Lands Division 2015 - Royalty $501,349 State Lands Division 64 N. Union St. Montgomery, AL 36131 Regions Bank - Deepwater 2015 - Royalty $311,980 Trust 2 Natural Resources P.O. Box 10463 Birmingham, AL 35202 CANAM Coal Corp. 2015 - Intercompany $271,945 320 - 23rd Ave SW Advances/Mgt. Fees Calgary, Alberta T2S 0J2 CANADA Land Energy, Ltd. 2015 - Royalties $218,163 State Lands Division 2011 - Advanced $208,560 Minimum Royalty BTW Enterprises 2015 - Royalty $164,068 Komatsu Financial Limited 2015 - Financed $123,441 Partnership equipment repair Komatsu Financial Limited 2015 - Financed $70,982 Partnership equipment repair State Lands Division 2012 - Advanced $64,528 minimum Royalty Komatsu Financial Limited 2015 - Financed $48,419 Partnership equipment repair MisDeb Coal LLC 2015 - Royalties $45,254 Resolute Forest Products 2015 - Coal $42,671 purchases Yellowhammer Development 2015 - Royalties $43,532 Bobby Knight 2015 - Royalties $41,136 Robert Lewis Wages $40,208 Thomas Lewis Wages $40,208 Sealy Enterprises 2015 - Trucking $28,502 Komatsu Financial Limited 2015 - Financed $19,957 Partnership equipment repair In a notice of deficient filing, the Court related that the filer, Clyde Ellis Brazeal, counsel for the Debtor, has amended the list of 20 largest unsecured creditors and included the document with the schedules and also included the Corporate Ownership Statement in the schedules. The Court said that to resolve the problem, the filer must docket both documents as separate docket events as an Amended List of 20 Largest Unsecured Creditors and Corporate Parent Disclosure Statement. About Birmingham Coal Birmingham Coal & Coke Company, Inc. produces and markets coal to industrial, utility and export markets. It owns and operates three coal mines with an average annual coal production of approximately 480,000 tons. The company also offers coal brokerage services. Birmingham Coal & Coke Company, Inc. was founded in 2000 and is based in Birmingham, Alabama. As of May 9, 2011, Birmingham Coal operates as a subsidiary of CanAm Coal Corp. On May 27, 2015, Birmingham Coal and affiliates Cahaba Contracting & Reclamation LLC, and RAC Mining LLC each filed a voluntary petition for Chapter 11 reorganization (Bankr. N.D. Ala. Lead Case No. 15-02075) in Birmingham, Alabama. The Debtors tapped Jones Walker LLP as counsel. Birmingham Coal and Cahaba Contracting each estimated $10 million to $50 million in assets and debt. RAC Mining estimated $1 million to $10 million in assets and debt. BIRMINGHAM COAL: Aug. 3 Fixed as General Claims Bar Date -------------------------------------------------------- The Hon. Tamara O. Mitchell of the U.S. Bankruptcy Court for the Northern District of Alabama established these deadlines in relation to the Chapter 11 case of Birmingham Coal & Coke Co., Inc.: * General Claims Bar Date: Aug. 3, 2015 * Governmental Units Bar Date: Sept. 3, 2015 The Bankruptcy Administrator requested for an order setting the bar date for filing claims. About Birmingham Coal Birmingham Coal & Coke Company, Inc. produces and markets coal to industrial, utility and export markets. It owns and operates three coal mines with an average annual coal production of approximately 480,000 tons. The company also offers coal brokerage services. Birmingham Coal & Coke Company, Inc. was founded in 2000 and is based in Birmingham, Alabama. As of May 9, 2011, Birmingham Coal operates as a subsidiary of CanAm Coal Corp. On May 27, 2015, Birmingham Coal and affiliates Cahaba Contracting & Reclamation LLC, and RAC Mining LLC each filed a voluntary petition for Chapter 11 reorganization (Bankr. N.D. Ala. Lead Case No. 15-02075) in Birmingham, Alabama. The Debtors tapped Jones Walker LLP as counsel. Birmingham Coal and Cahaba Contracting each estimated $10 million to $50 million in assets and debt. RAC Mining estimated $1 million to $10 million in assets and debt. BIRMINGHAM COAL: Consolidated Creditors Committee Ordered --------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Alabama directed J. Thomas Corbett, Bankruptcy Administrator, to appoint one consolidated unsecured creditors' committee in the jointly administered cases of Birmingham Coal & Coke Co., Inc., et al. The Bankruptcy Administrator, in his report, stated that on May 28, 2015, he solicited for participation on a Committee of Unsecured Creditors in each of these cases: a. Cahaba Contracting & Reclamation, LLC; b. RAC Mining, LLC; and c. Birmingham Coal & Coke Company, Inc. In the Birmingham Coal case, the Bankruptcy Administrator received four timely responses indicating a willingness to serve on an unsecured creditors' committee. Of the four affirmative responses, two (State of Alabama Department of Conservation and Natural Resources and the Alabama Surface Mining Commission) appear to be creditors that are "governmental units" as defined by Section 101(27) of the Bankruptcy Code. The Alabama Department of Conservation and Natural Resources and the Alabama Surface Mining Commission appear to not qualify for participation on a committee of unsecured creditors based on Sections 1102(b)(1) and 101(41) of the Bankruptcy Code. The Bankruptcy Administrator has determined that while the two remaining affirmative response creditors qualify, a committee of only two is unadvisable. Accordingly, the Bankruptcy Administrator recommended that a committee of unsecured creditors not be appointed in Birmingham Coal. About Birmingham Coal Birmingham Coal & Coke Company, Inc. produces and markets coal to industrial, utility and export markets. It owns and operates three coal mines with an average annual coal production of approximately 480,000 tons. The company also offers coal brokerage services. Birmingham Coal & Coke Company, Inc. was founded in 2000 and is based in Birmingham, Alabama. As of May 9, 2011, Birmingham Coal operates as a subsidiary of CanAm Coal Corp. On May 27, 2015, Birmingham Coal and affiliates Cahaba Contracting & Reclamation LLC, and RAC Mining LLC each filed a voluntary petition for Chapter 11 reorganization (Bankr. N.D. Ala. Lead Case No. 15-02075) in Birmingham, Alabama. The Debtors tapped Jones Walker LLP as counsel. Birmingham Coal and Cahaba Contracting each estimated $10 million to $50 million in assets and debt. RAC Mining estimated $1 million to $10 million in assets and debt. BIRMINGHAM COAL: Files Schedules of Assets and Liabilities ---------------------------------------------------------- Birmingham Coal & Coke Company, Inc., filed with the U.S. Bankruptcy Court for the Northern District of Alabama its schedules of assets and liabilities, disclosing: Name of Schedule Assets Liabilities ---------------- ----------- ----------- A. Real Property $0 B. Personal Property $7,903,024 C. Property Claimed as Exempt D. Creditors Holding Secured Claims $17,293,367 E. Creditors Holding Unsecured Priority Claims $88,108 F. Creditors Holding Unsecured Non-Priority Claims $5,929,538 ----------- ----------- Total $7,903,024 $23,311,013 A copy of the schedules is available for free at: http://bankrupt.com/misc/BIRMINGHAMCOAL_74_sal.pdf About Birmingham Coal Birmingham Coal & Coke Company, Inc., produces and markets coal to industrial, utility and export markets. It owns and operates three coal mines with an average annual coal production of approximately 480,000 tons. The company also offers coal brokerage services. Birmingham Coal & Coke Company, Inc. was founded in 2000 and is based in Birmingham, Alabama. As of May 9, 2011, Birmingham Coal operates as a subsidiary of CanAm Coal Corp. On May 27, 2015, Birmingham Coal and affiliates Cahaba Contracting & Reclamation LLC, and RAC Mining LLC each filed a voluntary petition for Chapter 11 reorganization (Bankr. N.D. Ala. Lead Case No. 15-02075) in Birmingham, Alabama. The Debtors tapped Jones Walker LLP as counsel. Birmingham Coal and Cahaba Contracting each estimated $10 million to $50 million in assets and debt. RAC Mining estimated $1 million to $10 million in assets and debt. BIRMINGHAM COAL: Has Authority to Use Cash until September 4 ------------------------------------------------------------ Judge Tamara O. Mitchell of the United States Bankruptcy Court for Northern District of Alabama issued a second interim Order authorizing Birmingham Coal & Coke Company, Inc., et al., to use cash collateral of Regions Bank, Regions Equipment Finance Corporation and Regions Commercial Equipment Finance, LLC, until September 4, 2015. Pursuant to the Second Interim Order, the Debtors may use cash collateral for: (i) general working capital purposes and general corporate purposes relating to the postpetition operations; and (ii) payment of the costs and expenses associated with these chapter 11 cases, all in accordance with the terms of a proposed budget. The Official Consolidated Unsecured Creditors' Committee objected to the cash collateral order, saying it has not had the opportunity to review the documentation of Regions Bank's loans, perfection of security related thereto, the onset of the indebtedness and specifically the inclusion of a pre-payment penalty in the amount of $368,339 included in its claimed indebtedness. The Committee also objects to the provisions in the Cash Collateral Order providing a replacement lien, to the extent that the lien given to Regions Bank is superior to that of any professional fees of the Committee. Likewise, the Committee objects to the Cash Collateral Order, which provides a Superpriority claim to Regions Bank which would be superior to any professional fees of the Committee. Moreover, the Committee objects to the provisions in the Cash Collateral Order providing a replacement lien to the extent that the lien given to Regions Bank is superior to that of any professional fees of the Committee and objects to paragraph 11(a)(iv) of the Cash Collateral Order which provides that a conversion or dismissal of one of the case would result in a termination of the terms of the Order. A final hearing will be held on September 2, 2015 at 10:30 a.m. Birmingham Coal & Coke Company, Inc. is represented by: Eric Hallmark, Esq. 912 Edenton Street Birmingham, Alabama 35242 Email: ehallmark@canamcoal.com Regions Bank is represented by: N. Ronald Downey, III, Esq. 1901 6th Avenue N. 19th Floor Birmingham, Alabama 35203 Email: ron.downey@regions.com The Committee is represented by: Marvin E. Franklin, Esq. Charles Denburg, Esq. Najjar Denaburg, P.C. 2125 Morris Avenue Birmingham, Alabama 35203 Tel.: 203 250-8400 Email: cdenaburg@najjar.com About Birmingham Coal Birmingham Coal & Coke Company, Inc. produces and markets coal to industrial, utility and export markets. It owns and operates three coal mines with an average annual coal production of approximately 480,000 tons. The company also offers coal brokerage services. Birmingham Coal & Coke Company, Inc. was founded in 2000 and is based in Birmingham, Alabama. As of May 9, 2011, Birmingham Coal operates as a subsidiary of CanAm Coal Corp. On May 27, 2015, Birmingham Coal and affiliates Cahaba Contracting & Reclamation LLC, and RAC Mining LLC each filed a voluntary petition for Chapter 11 reorganization (Bankr. N.D. Ala. Lead Case No. 15-02075) in Birmingham, Alabama. The Debtors tapped Jones Walker LLP as counsel. Birmingham Coal and Cahaba Contracting each estimated $10 million to $50 million in assets and debt. RAC Mining estimated $1 million to $10 million in assets and debt. BUILDERS FIRSTSOURCE: Reports Preliminary Results for 2nd Quarter ----------------------------------------------------------------- Builders FirstSource, Inc., reported its preliminary results for the second quarter ended June 30, 2015. For the three months ended June 30, 2015, the Company recorded net income of $3.5 million on $461.5 million of sales for the three months ended June 30, 2015, compared to net income of $10.6 million on $426.5 million of sales for the same period in 2014. The Company reported a net loss of $3.5 million on $832.5 million of sales for the six months ended June 30, 2015, compared to net income of $7.2 million on $772.4 million of sales for the same period last year. As of June 30, 2015, the Company had $662.3 million in total assets, $614.2 million in total liabilities and $48.1 million in total stockholders' equity. Total liquidity at June 30, 2015, was $143.8 million, including $40.2 million of cash and $103.6 million in borrowing availability under the Company's revolver. The Company had $55.0 million in outstanding borrowings and $16.4 million in outstanding letters of credit under the revolver as of June 30, 2015. Operating cash flow was $7.7 million for the second quarter of 2015, compared to negative $13.1 million in the second quarter of 2014, the difference largely due to higher working capital build in the second quarter of 2014. Capital expenditures were $5.2 million for the second quarter of 2015, compared to $6.8 million for the second quarter of 2014. On April 13, 2015, the Company announced that it had entered into a definitive purchase agreement to acquire ProBuild Holdings, LLC. About Builders FirstSource Headquartered in Dallas, Texas, Builders FirstSource -- http://www.bldr.com/-- is a supplier and manufacturer of structural and related building products for residential new construction. The Company operates 56 distribution centers and 56 manufacturing facilities in nine states, principally in the southern and eastern United States. Manufacturing facilities include plants that manufacture roof and floor trusses, wall panels, stairs, aluminum and vinyl windows, custom millwork and pre-hung doors. Builders FirstSource also distributes windows, interior and exterior doors, dimensional lumber and lumber sheet goods, millwork and other building products. Builders Firstsource reported net income of $18.2 million on $1.60 billion of sales for the year ended Dec. 31, 2014, compared to a net loss of $42.7 million on $1.48 billion of sales in 2013. As of March 31, 2015, the Company had $625 million in total assets, $591 million in total liabilities, and $34 million in total stockholders' equity. * * * As reported by the TCR on July 15, 2015, Standard & Poor's Ratings Services said it raised its corporate credit rating on Builders FirstSource Inc. to 'B+' from 'B'. In the May 13, 2014, edition of the TCR, Moody's Investors Service upgraded Builders FirstSource's 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. BUILDERS FIRSTSOURCE: Reports Second Quarter 2015 Results --------------------------------------------------------- Builders FirstSource, Inc., reported net income of $3.6 million on $461.5 million of sales for the three months ended June 30, 2015, compared to net income of $10.6 million on $426.5 million of sales for the same period in 2014. For the six months ended June 30, 2015, the Company reported a net loss of $3.5 million on $832.5 million of sales compared to net income of $7.2 million on $772.4 million of sales for the same period last year. As of June 30, 2015, the Company had $662.3 million in total assets, $614.2 million in total liabilities and $48.1 million in total stockholders' equity. Commenting on the company's results, Builders FirstSource CEO Floyd Sherman said, "I am extremely pleased with the performance of our company this quarter. We increased our revenues by 8.2 percent despite the negative year-over-year impact from commodity deflation and the abnormally wet weather conditions during the quarter. Our gross profit margin of 24.0 percent was the highest it's been since the third quarter of 2007, and our Adjusted EBITDA of $27.6 million represented our highest quarterly Adjusted EBITDA result since the third quarter of 2006, when annualized single family starts were above 1.3 million. These results reinforce our belief that we are continuing to benefit from a strengthening housing market and that Builders FirstSource is well positioned." Chad Crow, Builders FirstSource president, COO and CFO, added, "We made significant strides in improving our profitability this quarter. The company demonstrated strong operating leverage with Adjusted EBITDA flow through on incremental sales of 20.8 percent, resulting in our best quarterly Adjusted EBITDA margin in eight years. We believe further operating leverage is possible with continued improvement in the housing market and our increased scale following our acquisition of ProBuild." A copy of the press release is available at: http://is.gd/fQRiFq About Builders FirstSource Headquartered in Dallas, Texas, Builders FirstSource -- http://www.bldr.com/-- is a supplier and manufacturer of structural and related building products for residential new construction. The Company operates 56 distribution centers and 56 manufacturing facilities in nine states, principally in the southern and eastern United States. Manufacturing facilities include plants that manufacture roof and floor trusses, wall panels, stairs, aluminum and vinyl windows, custom millwork and pre-hung doors. Builders FirstSource also distributes windows, interior and exterior doors, dimensional lumber and lumber sheet goods, millwork and other building products. Builders Firstsource reported net income of $18.2 million on $1.60 billion of sales for the year ended Dec. 31, 2014, compared to a net loss of $42.7 million on $1.48 billion of sales in 2013. * * * 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'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's 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. CAESARS ENTERTAINMENT: Adversary Suits Against CEC to Continue -------------------------------------------------------------- A bankruptcy court judge ruled against enjoining lawsuits filed against Caesars Entertainment Corporation in New York and Delaware, and accordingly the Lawsuits will continue against CEC. CEC believes the claims asserted in Lawsuits are without merit and will continue to vigorously defend against those claims. In March, Caesars Entertainment Operating Company, Inc. and its affiliated debtor entities filed an adversary action against Wilmington Savings Fund Society, FSB, Meehancombs Global Credit Opportunities Master Fund, LP, Relative Value-Long/Short Debt Portfolio, A Series of Underlying Funds Trust, SB 4 CF LLC, CFIP Ultra Master Fund, Ltd., Trilogy Portfolio Company, LLC, Frederick Barton Danner, and BOKF, N.A. requesting that the Bankruptcy Court enjoin the Adversaries from continuing to pursue pending claims against CEC. About Caesars Entertainment Caesars Entertainment Corp., formerly Harrah's Entertainment Inc., is one of the world's largest casino companies. Caesars casino resorts operate under the Caesars, Bally's, Flamingo, Grand Casinos, Hilton and Paris brand names. The Company has its corporate headquarters in Las Vegas. Harrah's announced its re-branding to Caesar's in mid-November 2010. In January 2015, Caesars Entertainment and subsidiary Caesars Entertainment Operating Company, Inc., announced that holders of more than 60% of claims in respect of CEOC's 11.25% senior secured notes due 2017, CEOC's 8.5% senior secured notes due 2020 and CEOC's 9% senior secured notes due 2020 have signed the Amended and Restated Restructuring Support and Forbearance Agreement, dated as of Dec. 31, 2014, among Caesars Entertainment, CEOC and the Consenting Creditors. As a result, The RSA became effective pursuant to its terms as of Jan. 9, 2015. Appaloosa Investment Limited, et al., owed $41 million on account of 10% second lien notes in the company, filed an involuntary Chapter 11 bankruptcy petition against CEOC (Bankr. D. Del. Case No. 15-10047) on Jan. 12, 2015. The bondholders are represented by Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor LLP. CEOC and 172 other affiliates -- operators of 38 gaming and resort properties in 14 U.S. states and 5 countries -- filed Chapter 11 bankruptcy petitions (Bank. N.D. Ill. Lead Case No. 15-01145) on Jan. 15, 2015. CEOC disclosed total assets of $12.3 billion and total debt of $19.8 billion as of Sept. 30, 2014. Delaware Bankruptcy Judge Kevin Gross entered a ruling that the bankruptcy proceedings will proceed in the U.S. Bankruptcy Court for the Northern District of Illinois. Kirkland & Ellis serves as the Debtors' counsel. AlixPartners is the Debtors' restructuring advisors. Prime Clerk LLC acts as the Debtors' notice and claims agent. Judge Benjamin Goldgar presides over the cases. The U.S. Trustee has appointed seven noteholders to serve in the Official Committee of Second Priority Noteholders and nine members to serve in the Official Unsecured Creditors' Committee. The U.S. Trustee appointed Richard S. Davis as Chapter 11 examiner. * * * The Troubled Company Reporter, on April 27, 2015, reported that Fitch Ratings has affirmed and withdrawn the Issuer Default Ratings (IDR) and issue ratings of Caesars Entertainment Operating Company (CEOC). These actions follow CEOC's Chapter 11 filing on Jan. 15, 2015. Accordingly, Fitch will no longer provide ratings or analytical coverage for CEOC. In addition, Fitch has affirmed the IDR and issue rating of Chester Downs and Marina LLC (Chester Downs) and the ratings have been simultaneously withdrawn for business reasons. CAESARS ENTERTAINMENT: Noteholders' Suit v. Parent Can Proceed -------------------------------------------------------------- Bankruptcy Judge A. Benjamin Goldgar in Chicago denied the motion of the debtors Caesars Entertainment Operating Co., Inc. and more than 170 of its subsidiaries for a preliminary injunction under section 105(a) of the Bankruptcy Code, to halt four civil actions against CEOC's non-debtor parent, Caesars Entertainment Corp. in other courts. The actions arise out of nearly $4.6 billion in second lien and senior unsecured notes that CEOC issued and CEC guaranteed. The plaintiffs in the four actions -- indenture trustees and holders of the notes -- brought the actions after CEC claimed that two 2014 transactions involving CEC had released the guarantees. Those plaintiffs include (1) Wilmington Savings Fund Society, FSB; (2) BOKF, N.A.; (3) MeehanCombs Global Credit Opportunities Master Fund, LP; Relative Value-Long/Short Debt Portfolio, a Series of Underlying Funds Trust; SB 4 CF LLC; CFIP Ultra Master Fund, Ltd.; and Trilogy Portfolio Co., LLC; and (4) Frederick Barton Danner, as representative of a plaintiff class. The actions seek damages from CEC for breach of contract (among other things) as well as declaratory judgments that the guarantees are still in effect. The debtors contend the actions should be enjoined because their prosecution threatens the success of the debtors' chapter 11 cases. MeehanCombs et al. opposed the debtors' request. Judge Goldgar said the debtors have not shown they are entitled to the injunctive relief they request. The adversary case is, CAESARS ENTERTAINMENT OPERATING CO., INC., et al., Plaintiffs, v. BOKF, N.A., et al., Defendants, No. 15 A 149 (Bankr. N.D. Ill.). A copy of Judge Goldgar's July 22, 2015 Memorandum Opinion is available at http://is.gd/5B9u4mfrom Leagle.com. * * * Reuters and CNBC report that Judge Goldgar's July 22 ruling caused Caesars Entertainment's shares to briefly plunged about 60% that day -- to a low of $3.30. Following its initial dip after the ruling, the Company's stock pared some of those losses to a price above $5 (still a more than 30% loss on the day). Reuters and CNBC say the creditor lawsuits claim up to $11 billion. The report noted that Caesars has said it may join its operating unit in bankruptcy if those lawsuits were not put on hold. About Caesars Entertainment Caesars Entertainment Corp., formerly Harrah's Entertainment Inc., is one of the world's largest casino companies. Caesars casino resorts operate under the Caesars, Bally's, Flamingo, Grand Casinos, Hilton and Paris brand names. The Company has its corporate headquarters in Las Vegas. Harrah's announced its re-branding to Caesar's in mid-November 2010. In January 2015, Caesars Entertainment and subsidiary Caesars Entertainment Operating Company, Inc., announced that holders of more than 60% of claims in respect of CEOC's 11.25% senior secured notes due 2017, CEOC's 8.5% senior secured notes due 2020 and CEOC's 9% senior secured notes due 2020 have signed the Amended and Restated Restructuring Support and Forbearance Agreement, dated as of Dec. 31, 2014, among Caesars Entertainment, CEOC and the Consenting Creditors. As a result, The RSA became effective pursuant to its terms as of Jan. 9, 2015. Appaloosa Investment Limited, et al., owed $41 million on account of 10% second lien notes in the company, filed an involuntary Chapter 11 bankruptcy petition against CEOC (Bankr. D. Del. Case No. 15-10047) on Jan. 12, 2015. The bondholders are represented by Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor LLP. CEOC and 172 other affiliates -- operators of 38 gaming and resort properties in 14 U.S. states and 5 countries -- filed Chapter 11 bankruptcy petitions (Bank. N.D. Ill. Lead Case No. 15-01145) on Jan. 15, 2015. CEOC disclosed total assets of $12.3 billion and total debt of $19.8 billion as of Sept. 30, 2014. Delaware Bankruptcy Judge Kevin Gross entered a ruling that the bankruptcy proceedings will proceed in the U.S. Bankruptcy Court for the Northern District of Illinois. Kirkland & Ellis serves as the Debtors' counsel. AlixPartners is the Debtors' restructuring advisors. Prime Clerk LLC acts as the Debtors' notice and claims agent. Judge Benjamin Goldgar presides over the cases. The U.S. Trustee has appointed seven noteholders to serve in the Official Committee of Second Priority Noteholders and nine members to serve in the Official Unsecured Creditors' Committee. The U.S. Trustee appointed Richard S. Davis as Chapter 11 examiner. * * * The Troubled Company Reporter, on April 27, 2015, reported that Fitch Ratings has affirmed and withdrawn the Issuer Default Ratings (IDR) and issue ratings of Caesars Entertainment Operating Company (CEOC). These actions follow CEOC's Chapter 11 filing on Jan. 15, 2015. Accordingly, Fitch will no longer provide ratings or analytical coverage for CEOC. In addition, Fitch has affirmed the IDR and issue rating of Chester Downs and Marina LLC (Chester Downs) and the ratings have been simultaneously withdrawn for business reasons. CAL DIVE: Suspends Filing of Reports with SEC --------------------------------------------- Cal Dive International, Inc. has suspended its reporting obligations under Section 15(d) of the Securities Exchange Act of 1934, as amended, by filing a Form 15 with the Securities and Exchange Commission on July 24, 2015. About Cal Dive Houston, Texas-based marine contractor Cal Dive International, Inc., provides manned diving, pipelay and pipe burial, platform installation and salvage, and light well intervention services to the offshore oil and natural gas industry on the Gulf of Mexico OCS, Northeastern U.S., Latin America, Southeast Asia, China, Australia, West Africa, the Middle East, and Europe. Cal Dive and its U.S. subsidiaries filed simultaneous voluntary petitions (Bankr. D. Del. Lead Case No. 15-10458) on March 3, 2015. Through the Chapter 11 process, the Company intends to sell non- core assets and intends to reorganize or sell as a going concern its core subsea contracting business. Cal Dive disclosed total assets of $571 million and total debt of $411 million as of Sept. 30, 2015. The Debtors tapped Richards, Layton & Finger, P.A., as counsel, O'Melveny & Myers LLP, as co-counsel; Jones Walker Jones Walker LLP as corporate counsel; and Kurtzman Carson Consultants, LLC, as claims and noticing agent. The Debtors also tapped Carl Marks Advisory Group LLC as crisis managers and appoint F. Duffield Meyercord as chief restructuring officer. The U.S. Trustee for Region 3 formed a five-member committee of unsecured creditors in the case. The Committee retained Akin Gump Strauss Hauer & Feld LLP and Pepper Hamilton LLP as co-counsel; and Guggenheim Securities, LLC as exclusive investment banker. Cal Dive Offshore Contractors, Inc., disclosed total assets of $233,273,806 and $311,339,932 in liabilities as of the Chapter 11 filing. CASCADE AG: Emerald Partners' Bid to Withdraw Reference Granted --------------------------------------------------------------- Judge John C. Coughenour of the United States District Court for the Western District of Washington, Seattle, granted Emerald Partners, LLC, et al.'s motion to withdraw reference from bankruptcy court of the case captioned VIRGINIA A. BURDETTE, Plaintiff, v. EMERALD PARTNERS LLC, et al., Defendants, CASE NO. C15-0816-JCC (W.D. Wash.). In February 2015, Virginia A. Burdette, the Chapter 7 Trustee for Cascade Ag Services, Inc., filed an adversary proceeding against the defendants in Bankruptcy Court alleging: (1) declaratory judgment; (2) breach of joint venture agreement; (3) breach of partnership agreement; (4) breach of cop share agreement; (5) fraudulent transfer; (6) improper post-petition transfer; (7) unjust enrichment; and (8) constructive trust. On April 24, 2015, the defendants filed a Motion to Withdraw the Reference. Judge Coughenour found the withdrawal of the reference to be warranted because non-core claims predominate the complaint. It appeared that the parties agreed that the claims, except those for fraudulent transfer and improper post-petition transfer, were non-core. The Defendants' demand for a jury trial also favored hearing the case in district court, Judge Coughenour ruled. A full-text copy of Judge Coughenour's July 16, 2015 order is available at http://is.gd/ls9m7Ifrom Leagle.com. Virginia A. Burdette is represented by: Kevin Arnold Bay, Esq. Paul W Moomaw, Esq. TOUSLEY BRAIN STEPHENS PLLC 1700 Seventh Avenue, Ste 2200 Seattle, WA 98101-4416 Tel: (206) 682-5600 Fax: (206) 682-2992 Email: kbay@tousley.com pmoomaw@tousley.com Emerald Partners LLC, Melanie S. Bruch, Christopher H. Sheafe, R. Keith Storey, and Nancy C. Storey are represented by: Danial D Pharris, Esq. LASHER HOLZAPFEL SPERRY & EBBERSON, PLLC 601 Union St., Suite 2600 Seattle, WA 98101-4000 Tel: (206) 624-1230 Fax: (206) 340-2563 Email: pharris@lasher.com About Cascade AG Cascade AG Services, Inc., dba Pleasant Valley Farms, fdba Mountain View Produce, Inc., fdba Staffanson Harvesting LLC, fdba Sterling Investment Group, L.L.C., is a vegetable processing company that processes Washington-grown cucumbers and cabbage into pickles and sauerkraut. Cascade AG filed for Chapter 11 bankruptcy (Bankr. W.D. Wash. Case No. 12-18366) on Aug. 13, 2012. In amended schedules, the Debtor disclosed $25,522,648 in assets and $21,354,742 in liabilities as of the Chapter 11 filing. Lawyers at Cairncross & Hempelmann PS, in Seattle, serve as the Debtor's counsel. Clyde A. Hamstreet & Associates, LLC, is the Debtor's chief restructuring officer and financial advisor. The petition was signed by Craig Staffanson, president. The U.S. Trustee appointed seven creditors to the Official Unsecured Creditors' Committee. Lawrence R. Ream, Esq., at Schwabe, Williamson & Wyatt PC, Seattle, represents the Committee as counsel. DIP lender One PacificCoast Bank, FSB, is represented by Brad T. Summers, Esq., and David W. Criswell, Esq. The Plan filed in the Debtor's case contemplates a $3.0 million capital infusion. Money contributed to fund the Plan will be used to satisfy Administrative Expense Claims to the extent that those Claims must be satisfied for Confirmation, unless there is agreement with Holders of Administrative Expense Claims to defer payment. CATASYS INC: Enters Into $3.3 Million Note with Crede CG -------------------------------------------------------- Catasys, Inc., entered into a promissory note with Crede CG III, Ltd., an affiliate of the Company's chairman and chief executive officer, pursuant to which the Company received gross proceeds of $3.35 million from Crede for the sale of $3.35 million in principal amount. The Promissory Note is due on Aug. 21, 2015, and carries an interest rate on any unpaid principal amount of 8% per annum until the maturity date, after which the interest rate will increase to 12% per annum. The closing of the Promissory Note occurred on July 22, 2015. The Company and Crede are currently negotiating a longer term financing. The Company used approximately $2.2 million of the net proceeds of this transaction to redeem its outstanding 12% Original Issue Discount Convertible Debenture due Jan. 18, 2016, issued on April 17, 2015. Following that redemption, all of the Bridge Notes are extinguished. The remaining net proceeds will be used for working capital. About Catasys Inc. Based in Los Angeles, California, Hythiam, Inc., n/k/a Catasys, Inc., is a healthcare services management company, providing through its Catasys(R) subsidiary specialized behavioral health management services for substance abuse to health plans. Catasys reported a loss of $27.3 million on $2.03 million of healthcare services revenues for the 12 months ended Dec. 31, 2014, compared to a loss of $4.67 million on $754,000 of healthcare services revenues for the 12 months ended Dec. 31, 2013. As of March 31, 2015, the Company had $1.33 million in total assets, $41.8 million in total liabilities and a $40.4 million total stockholders' deficit. Rose, Snyder & Jacobs LLP, in Encino, California, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has continued to incur significant operating losses and negative cash flows from operations during the year ended Dec. 31, 2014. These conditions raise substantial doubt about the Company's ability to continue as a going concern. CHARLES EDWARD TAYLOR: Appeal of Brother's Ex-Wife Not Moot ----------------------------------------------------------- The United States Court of Appeals for the Seventh Circuit concurred with the district court's findings that the appeal filed by Patricia Caiarelli, and her attorneys, Madeline Gauthier and Charles Kimbrough, was not moot, and that the bankruptcy court abused its discretion by issuing the contempt order, damages order and judgment. In 2005, the brother of Debtor Charles Edward Taylor, II, died in a boating accident. Patricia Caiarelli, the decedent's ex-spouse and guardian of their minor child, sought a declaration in Washington state court that the child was entitled to assets of the decedent's estate that were distributed to Taylor. The state court entered judgment against Taylor for over $1.4 million. The decedent's estate, which was named judgment creditor, assigned the judgment to Caiarelli. Taylor responded by seeking a declaration in probate court that the assignment was void. Prior to a resolution, however, Taylor filed for bankruptcy under Chapter 11. While the Appellees' appeal was pending with the district court, Charles Edward Taylor, II notified the district court that he reached a settlement with Gauthier and Kimbrough's legal malpractice insurance carrier, wherein he would receive $140,000 in satisfaction for the judgment and, in turn, Taylor would file a satisfaction and release of the judgment, along with a motion to vacate all three orders challenged on appeal. Gauthier and Caiarelli denied that a full settlement had been reached. Taylor alleges that the district court erred (1) by refusing to dismiss the appeal as moot; (2) by determining that the ratification order, regarding the assignment to Caiarelli of the judgment against Taylor for over $1.4 million, did not violate the statutory discharge and/or plan injunctions; and (3) by determining that the ratification order did not constitute an impermissible collateral attack on a federal judgment. The Seventh Circuit, in finding that the district court correctly determined that the appeal is not moot, held that the purported settlement lacks the consent of all the parties. Furthermore, it does not negate the Appellee's stake in reversing the bankruptcy court's dismissal order, and ultimately, the discharge injunction. The Seventh Circuit says "a settlement offer must provide the plaintiff with complete relief to render the case moot." So long as the discharge injunction remains in place, the purported settlement provides only partial relief, and the underlying dispute to which the challenged orders arose remains unsolved, the Seventh Circuit held. The Seventh Circuit also agreed with the district court when it found that no violation of the statutory discharge or plan injunctions occurred because the ratification motion did not seek to collect, recover, prosecute or satisfy the judgment against Taylor. The Seventh Circuit says that the ratification order was nothing more than a declaration that the assignment "is valid, and has been valid since its original signing." The Seventh Circuit ruled that the district court correctly determined that the ratification order is not an impermissible collateral attack on a federal judgment. In its dismissal order, the bankruptcy court held that Caiarelli presented insufficent evidence to establish standing to enforce the judgment against Taylor. In contrast, when adjudicating the motion to ratify, the probate court did not determine whether Caiarelli may enforce the judgment against Taylor, or even when Caiarelli had standing to make such an argument before the bankruptcy court. The probate court issued a declaration as to the validity of the assignment -- and that is all. The Case is IN RE: CHARLES EDWARD TAYLOR, II, Debtor-Appellant, Case No, 14-3017 (7th Cir.). A full-text copy of Judge Springmann's Decision, dated July 20, 2015 is available at http://is.gd/cPRxerfrom Leagle.com Charles Taylor filed for Chapter 11 bankruptcy (Bankr. N.D. Ill.,  Case No. 12-16471) on April 23, 2012. CHINA GINSENG: Closes $1.6 Million Purchase Agreement ----------------------------------------------------- In connection with a security purchase agreement between China Ginseng Holdings, Inc. and an investor, the Company closed a private placement to sell a Series A Convertible Debenture for a price of $1,600,000. The Debenture is convertible into 4,000,000 shares of the Company's common stock, par value $0.001 per share at a price of $0.40 per share. The Offering was made in reliance upon the exemption from securities registration afforded by Regulation S as promulgated under the Securities Act of 1933, as amended. On the Closing, the Company issued a Convertible Debenture that is convertible into 4,000,000 shares of Common Stock. The Convertible Debenture will, by its principal terms: (a) Carry no interest; (b) Mature on the 36 month anniversary of the Closing (c) Convert at any time after the issuance until the Maturity Date into shares of Common Stock at an initial conversion price of $0.40 per share, subject to adjustment pursuant to the terms of the Convertible Debenture; and (d) Carry a prepayment clause pursuant to which the Company may repurchase all or a portion of the outstanding Convertible Debenture in cash for 100% of the face value on 10 business days' notice at any time after the 12 month anniversary of the Closing; provided that the Investor shall have the right to convert the Convertible Debenture within five business days after written notice of such prepayment. The proceeds of the Offering will be used for working capital and general corporate purposes. About China Ginseng Changchun City, China-based China Ginseng Holdings, Inc., conducts business through its four wholly-owned subsidiaries located in China. The Company has been granted 20-year land use rights to 3,705 acres of lands by the Chinese government for ginseng planting and it controls, through lease, approximately 750 acres of grape vineyards. However, recent harvests of grapes showed poor quality for wine production which indicates that the vineyards are no longer suitable for planting grapes for wine production. Therefore, the Company has decided not to renew its lease for the vineyards with the Chinese government upon expiration in 2013 and, going forward, it intends to purchase grapes from the open market in order to produce grape juice and wine. China Ginseng reported a net loss of $4.76 million on $2.61 million of revenue for the year ended June 30, 2014, compared to a net loss of $3.64 million on $3.56 million of revenue for the year ended June 30, 2013. As of March 31, 2015, the Company had $8.92 million in total assets, $16.2 million in total liabilities, and a $7.24 million total stockholders' deficit. Cowan, Gunteski & Co., P.A., in Tinton Falls, NJ, 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 incurred an accumulated deficit of $14.2 million since inception, has a working capital deficit of $11.6 million, and there are existing uncertain conditions the Company faces relative to its ability to obtain working capital and operate successfully. These conditions raise substantial doubt about its ability to continue as a going concern. CICERO INC: John Steffens Reports 67.5% Stake as of July 15 ----------------------------------------------------------- In an amended Schedule 13D filed with the Securities and Exchange Commission, John L. Steffens disclosed that as of July 15, 2015, he beneficially owned 153,341,564 shares of common stock of Cicero Inc., which represents 67.5 percent of the shares outstanding. This is the sixth amendment to the original Schedule 13D, which was filed on July 13, 2007, and previously amended on Oct. 12, 2007, on April 29, 2009, on Jan. 26, 2010, on April 25, 2013, and on April 15, 2015. Since the Reporting Person last reported acquisitions of Shares, Mr. Steffens entered into a Stock and Warrant Purchase Agreement, dated July 15, 2015, pursuant to which the Reporting Person expended a total of $190,000 to acquire (i) 4,750,000 Shares, (ii) 16,625,000 warrants to purchase Shares with an exercise price of $0.04 per Share, (iii) 14,777,778 warrants to purchase Shares with an exercise price of $0.045 per Share, and (iv) 7,600,000 warrants to purchase Shares with an exercise price of $0.05 per Share. Those funds were provided from the Reporting Person's personal funds. "The Reporting Person acquired the securities of the Issuer based on his belief that the securities, when acquired, were undervalued and represented an attractive investment opportunity. Depending upon overall market conditions, other investment opportunities available to the Reporting Person, and the availability of securities of the Issuer at prices that would make the acquisition of additional securities desirable, the Reporting Person may endeavor to increase his position in the Issuer through, among other things, the purchase of securities of the Issuer on the open market or in private transactions or otherwise, on such terms and at such times as the Reporting Person may deem advisable," according to the SEC filing. The Reporting Person is a member of the Board of Directors of the Issuer. A copy of the Schedule 13D/A is available at http://is.gd/9GWwcJ About Cicero Inc. Cary, N.C.-based Cicero, Inc., provides business integration software solutions and also provides technical support, training and consulting services as part of its commitment to providing customers with industry-leading solutions. The Company focuses on the customer experience management market with emphasis on desktop integration and business process automation with its Cicero XM(TM) products. Cicero XM enables the flow of data between different applications, regardless of the type and source of the application, eliminating redundant entry and costly mistakes. The Company has extended the maturity dates of several debt obligations that were due in 2011 to 2012, to assist with liquidity and may attempt to extend these maturities again if necessary. Despite the recent additions of several new clients, the Company continues to struggle to gain additional sources of liquidity on terms that are acceptable to the Company. Cicero reported a net loss applicable to common stockholders of $4.05 million on $1.9 million of total operating revenue for the year ended Dec. 31, 2014, compared to a net loss applicable to common stockholders of $3.33 million on $2.19 million of total operating revenue in 2013. As of March 31, 2015, the Company had $2.70 million in total assets, $16.2 million in total liabilities and a $13.5 million total stockholders' deficit. Cherry Bekaert LLP, in Raleigh, North Carolina, issued a "going concern" in its report on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has suffered recurring losses from operations and has a working capital deficiency as of Dec. 31, 2014. These conditions raise substantial doubt about the Company's ability to continue as a going concern. CITI HELD 2015-PM1: Moody's Assigns (P)Ba3 Rating to Class C Notes ------------------------------------------------------------------ Moody's Investors Service has assigned provisional ratings to three classes of notes to be issued by Citi Held for Asset Issuance 2015-PM1 (CHAI 2015-PM1). The collateral backing CHAI 2015-PM1 consists of unsecured consumer installment loans purchased by the sponsor, CIGPF I Corp., a wholly owned indirect subsidiary of Citigroup Inc. (long-term senior unsecured Baa1),from Prosper Funding LLC (Prosper). The loans were originated and are serviced through the online marketplace lending platform operated by Prosper (unrated). Our cumulative net loss expectation for the CHAI 2015-PM1 loan pool is 8.0%. Moody's issues provisional ratings in advance of the final sale of securities. Upon a conclusive review of the final documentation, Moody's will assign final ratings to the securities. Final ratings may differ from provisional ratings. The complete rating actions are as follows: Issuer: Citi Held for Asset Issuance 2015-PM1 Class A Notes, Assigned (P)A3 (sf) Class B Notes, Assigned (P)Baa3 (sf) Class C Notes, Assigned (P)Ba3 (sf) RATINGS RATIONALE The provisional ratings assigned to the notes are based mainly on the credit quality of the underlying consumer loan collateral, the structural protections provided by various forms of credit enhancement, the expertise of Prosper as servicer, and the overhanging legal and regulatory risks facing the marketplace lending model that relies on a third party bank partner to fund loans. The principal methodology used in this rating was "Moody's Approach to Rating Consumer Loan-Backed ABS" published in January 2015. Factors that would lead to an upgrade or downgrade of the rating: UP Levels of credit protection that are higher than necessary to protect investors against current expectations of loss could drive the ratings up. Losses could decline from Moody's original expectations as a result of a lower number of obligor defaults. Transaction performance also depends greatly on the US job market. Other reasons for better-than-expected performance include changes to servicing practices that enhance collections or refinancing opportunities that result in prepayments. DOWN Levels of credit protection that are insufficient to protect investors against current expectations of loss could drive the ratings down. Losses could rise above Moody's original expectations as a result of a higher number of obligor defaults. Transaction performance depends greatly on the US job market. Other reasons for worse-than-expected performance include deficient servicing, error on the part of transaction parties, inadequate transaction governance and fraud. COLDWATER CREEK: Action Removal Period Extended to Oct. 30 ---------------------------------------------------------- The Liquidating Trustee of the CWC Creditors' Liquidating Trust sought and obtained from Judge Brendan L. Shannon of the U.S. Bankruptcy Court for the District of Delaware extension of the period where the Liquidating Trustee may remove actions to federal district court to October 30, 2015. Dennis A. Meloro, Esq., at Greenberg Traurig, LLP, in Wilmington, Delaware, tells the Court that the extension of the removal period will allow the Liquidating Trustee additional time (i) to work through unresolved claims that relate to prepetition actions without unnecessary litigation, and (ii) to investigate and make informed decisions regarding prepetition actions. The Liquidating Trustee of the CWC Creditors' Liquidating Trust is represented by: Dennis A. Meloro, Esq. GREENBERG TRAURIG, LLP 1007 North Orange Street, Suite 1200 Wilmington, DE 19801 Telephone: (302)661-7395 Facsimile: (302)661-7165 Email: melorod@gtlaw.com -- and -- James S. Carr, Esq. Dana P. Kane, Esq. KELLEY DRYE & WARREN LLP 101 Park Avenue New York, NY 10178 Telephone: (212)808-7800 Facsimile: (212)808-7897 Email: jcarr@kelleydrye.com dkane@kelleydrye.com About Coldwater Creek Coldwater Creek is a multi-channel retailer that offers its merchandise through retail stores across the country, its catalog and its e-commerce Web site, http://www.coldwatercreek.com/ Originally founded in Sandpoint, Idaho in 1984 as a direct, catalog-based marketer, Coldwater evolved into a multi-channel specialty retailer operating 334 premium retail stores, 31 factory outlet stores and seven day spa locations throughout the United States. As of the bankruptcy filing, the Debtors domestically employ a total of approximately 5,990 employees throughout their retail locations, corporate headquarters and distribution, design and call centers. Coldwater Creek Inc. and its debtor-affiliates sought Chapter 11 bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10867) on April 11, 2014, to liquidate their assets. Coldwater Creek disclosed assets of $721 million plus undetermined amount and liabilities of $425 million plus undetermined amount. Affiliate Coldwater Creek U.S. Inc. estimated $100 million to $500 million in assets and liabilities. The Debtors have drawn $37.5 million and have $10 million in letters of credit outstanding under a senior secured credit facility (ABL facility) provided by lenders led by Wells Fargo Bank, National Association, as agent. The Debtors also owe $96 million, which includes accrued interest and approximately $23 million representing a prepayment premium payable, under a term loan from lenders led by CC Holding Agency Corporation, as agent. Aside from the funded debt, the Debtors have accumulated a significant amount of accrued and unpaid trade and other unsecured debt in the normal course of their business. The Debtors have tapped Young Conaway Stargatt & Taylor, LLP, and Shearman & Sterling LLP as attorneys, Perella Weinberg Partners LP as financial advisor, Alvarez & Marsal as restructuring advisor, and Prime Clerk LLC as claims and noticing agent. The U.S. Trustee for Region Three named seven creditors to serve on the official committee of unsecured creditors. Lowenstein Sandler LLP represents the Committee. CWC Liquidation Inc., formerly known as Coldwater Creek Inc., notified the Bankruptcy Court that the effective date of its Modified Third Amended Joint Plan of Liquidation occurred on Sept. 26, 2014. The Troubled Company Reporter, on Dec. 29, 2014, reported that the Bankruptcy Court entered a final decree closing the Chapter 11 cases of consolidated non-lead debtors in the cases of CWC Liquidation Inc. formerly known as Coldwater Creek Inc, et al. COMMERCE LLC: Dist. Court to Hear Trustee's Suit Against Chemence ----------------------------------------------------------------- Senior District Judge William M. Nickerson granted the motion for withdrawal of reference to the bankruptcy court of the adversary proceeding captioned ZVI GUTTMAN, TRUSTEE, v. CHEMENCE, INC. et al., BANKR. ADV. NO. 15-69-JFS, CIVIL NO. WMN-15-1294 (D. Md.). On February 13, 2015, an adversary complaint was filed against Chemence, Inc. and Chemence Medical Products, Inc. by Zvi Guttman, Trustee for Commerce, LLC. The complaint included counts for "Unjust Enrichment", "Constructive Trust", "Declaratory Relief", and "Turnover" and alleged that Chemence knew that the $187,500.00 payment it received from Malcolm Cork came from Commerce, knew that it had no business relationship with Commerce, and thus, knew that it had no right to retain the wired funds. On April 15, 2015, Chemence filed a motion for withdrawal of reference to the bankruptcy court. In granting the motion, Judge Nickerson held that cause exists for withdrawal. He held that the action is clearly not a "core" proceeding and there is nothing in the action calling for the unique expertise of the bankruptcy court. He also added that Chemence has the right to have the unjust enrichment claim resolved by a jury. A copy of the July 1, 2015 memorandum is available at http://is.gd/nOD6D9from Leagle.com. Chemence, Inc., and Chemence Medical Products, Inc., Appellants, represented by Jan Ingham Berlage -- Jberlage@ghsllp.com -- Gohn Hankey Stichel & Berlage, LLP & Ryan Notton -- RNotton@ghsllp.com -- Gohn Hankey Stichel & Berlage, LLP. Zvi Guttman, Trustee, Appellee, represented by Zvi Guttman -- zvi@zviguttman.com -- The Law Offices of Zvi Guttman PA. About Commerce, LLC On February 15, 2013, an involuntary Chapter 7 bankruptcy petition was filed against Commerce, LLC (Bankr. D. Md. Case No. 13-12598-JFS) by its creditors. Zvi Guttman was the debtor's Chapter 7 Trustee. CORINTHIAN COLLEGES: Proposes to Sell Colorado Springs Assets ------------------------------------------------------------- Corinthian Colleges, Inc., and its debtor affiliates seek authority from the U.S. Bankruptcy Court for Delaware to sell the assets located at its former call center in Colorado Springs, Colorado, to Corporate Ridge Office, LLC. The Purchase Price will be in the form of a credit bid of up to $275,363 consisting of (i) a credit bid in the amount of $183,768 consisting of the estimated amount of the Purchaser's administrative rent claim for amounts outstanding under the Lease from the Petition Date through June 30, 2015; and (ii) a credit bid in the amount of $91,884 consisting of the estimated amount of the Purchaser's administrative rent claim under the Lease for the month of July 2015. The Assets include all personal property located at Colorado Springs Location, including all furniture and equipment (including, but not limited to, desks, chairs, tables, lighting fixtures, cable and wiring, telecommunications equipment, projectors, whiteboards, computer monitors, computer keyboards and personal computer hardware. The Debtors tell the Court that the proposed transaction is in the best interests of their estates because, among other things, it will allow the Debtors to exit the Colorado Springs Location so that the Purchaser may re-let the premises. This will benefit the estates by reducing the amount of any rejection damages claim against the Debtors' estates, Mark D. Collins, Esq., at Richards, Layton & Finger, P.A., in Wilmington, Delaware, tells the Court. Additionally, the sale to the Purchaser will facilitate a quick and efficient disposition of the Assets since Debtors are no longer operating and therefore have no further use for it, Mr. Collins adds. The Debtors ask the Court to set July 27, 2015 at 11:00 a.m. as hearing date to consider approval of the Motion. If no objections to the motion are timely filed on the June 24 deadline, the bankruptcy court may grant the relief requested in the motion without further notice or hearing. The Debtors are represented by: Mark D. Collins (No. 2981) Michael J. Merchant (No. 3854) Marisa A. Terranova (No. 5396) Amanda R. Steele (No. 5530) RICHARDS, LAYTON & FINGER, P.A. 920 N. King Street Wilmington, Delaware 19801 Telephone: 302-651-7700 Facsimile: 302-651-7701 Email: collins@rlf.com merchant@rlf.com terranova@rlf.com steele@rlf.com About Corinthian Colleges Corinthian Colleges, Inc., Pegasus Education, Inc., and 23 affiliated entities filed voluntary Chapter 11 petitions (Bankr. D. Del. Lead Case No. 15-10952) on May 4, 2015, to complete an orderly wind down of its operations. The cases are jointly administered Case No. 15-10952. Judge Kevin J. Carey presides over the case. Richards, Layton & Finger, P.A., represents the Debtors in their restructuring efforts; FTI Consulting, Inc., serves as restructuring advisors; and Rust Consulting/Omni Bankruptcy serves as claims and noticing agent. Corinthian Colleges, Inc., disclosed $721,596,789 in assets and $2,929,448,278 in liabilities as of the Chapter 11 filing. The U.S. Trustee for Region 3 appointed five creditors to serve on the official committee of unsecured creditors. CORPORATE RESOURCE: Case Summary & 30 Largest Unsecured Creditors ----------------------------------------------------------------- Debtor affiliates filing separate Chapter 11 bankruptcy petitions: Debtor Case No. ------ -------- Corporate Resource Services, Inc. 15-11546 160 Broadway, 13th Floor New York, NY 10038 Accountabilities, Inc. 15-11547 Insurance Overload Services, Inc. 15-11548 Integrated Consulting Services, Inc. 15-11549 Corporate Resource Development, Inc. 15-11550 The CRS Group, Inc. 15-11551 Diamond Staffing Services, Inc. 15-11552 TS Staffing Services, Inc. 15-11553 Type of Business: CRS was a provider of employment and human resource solutions for corporations. Chapter 11 Petition Date: July 23, 2015 Court: United States Bankruptcy Court District of Delaware (Delaware) Judge: Hon. Kevin J. Carey Debtors' Counsel: Ronald S. Gellert, Esq. Brya Keilson, Esq. GELLERT SCALI BUSENKELL & BROWN, LLC 913 N. Market Street, 10th Floor Wilmington, DE 19801 Tel: 302.425.5800 Fax: 302.425.5814 Email: rgellert@gsbblaw.com bkeilson@gsbblaw.com Debtors' WILMER CUTLER PICKERING HALE & DORR LLP Special Counsel: Debtors' CARTER LEDYARD & MILBURN LLP Special SEC Counsel: Debtors' SSG CAPITAL ADVISORS Financial Advisors and Investment Bankers: Debtors' RUST OMNI LLC Claims Agent: Total Assets: $136,800 as of July 22, 2015 Total Debts: $45.4 million as of July 22, 2015 The petition was signed by Scott Victor, chief restructuring officer. List of Debtor's 30 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ TS Employment Inc. Vendor $43,290,036 160 Broadway, 15th Floor New York, NY 10038 Frank Vaccaro Employee $750,000 c/o Lofaro & Reiser, LLP Attn: Eric D. Reiser 20 Court Street, Suite 4 Hackensack, NJ 07601 Mark Levine Employee $469,169 2881 NE 25th Court Fort Lauderdale, FL 33301 Carl Marks Advisory Group LLC Vendor $357,881 900 Third Avenue - 33rd Floor New York, NY 10022 -4775 Carter Ledyard & Milburn LLP Vendor $322,898 2 Wall Street New York, NY 10005 NYC Department of Finance Vendor $320,276 PO Box 3929 New York, NY 10272-2030 Verizon Wireless Vendor $156,599 PO Box 408 Newark, NJ 07101 Crowe Horwath LLP Vendor $100,000 PA Department of Revenue Vendor $99,075 Delage Landen 634752 Vendor $98,141 Print Management Partners Vendor $92,476 Communications Advertising Inc. Vendor $80,686 Towle Denison Smith and Vendor $76,851 Maniscalco LLP Ellias & Ellias, P.C. Vendor $75,478 NASDAQ (Stock Market LLC) Vendor $73,069 GE Capital Vendor $66,129 Henry Ewen Employee $57,247 Time Rack Inc. Vendor $52,334 LEAF Vendor $48,273 Missouri Department of Revenue Vendor $45,576 Taxation Division Dept. of Homeland Security Vendor $43,750 AT&T Vendor $39,642 Integrated Screening Partners Vendor $36,243 Burns White LLC Vendor $35,580 Kinsella, Weitzman, Iser, Kump Vendor $34,921 & Aldisert LLP Office Depot Vendor $33,826 Gage Consulting LLC Vendor $33,333 Coler Consulting Group Vendor $32,192 Makovsky Vendor $32,145 Wholesale Screening Solutions Vendor $31,184 CROWN MEDIA: To Launch Hallmark Channel and Hallmark Movies ----------------------------------------------------------- Crown Media Holdings, Inc., announced the launching of Hallmark Channel and Hallmark Movies & Mysteries on AT&T U-verse TV. "This agreement is a winning deal for AT&T U-verse customers," said Bill Abbott, president & CEO, Crown Media Family Networks. "They now have access to our two distinct channels and some of the best, most compelling family entertainment on television. We look forward to a long and fruitful relationship with AT&T." Hallmark Channel will be on channels 365 and 1365 in HD in the U-family and U200 and above packages. Hallmark Movies & Mysteries will be on Channels 366 and 1366 in HD in the U-family and U300 and above packages. And in the next week, the channels will also be on the U-verse App for tablets and smartphones and on Uverse.com. With the U-verse App, customers will be able to catch live Hallmark content on their mobile devices even when they're on the go. "We are thrilled to work with Crown Media to bring Hallmark to our U-verse TV customers," said Eric Boyer, senior vice president, AT&T U-verse. "Our customers will be able to watch the Hallmark programming they love on U-verse TV, as well as on their mobile devices with our U-verse App." The agreement comes at a pivotal time in Crown Media's evolution. Both networks are registering unprecedented growth. Additionally, both networks are rapidly expanding their lineup of original shows. Hallmark Channel will feature a diverse and extensive slate of original programs in 2015. The channel will offer 40 world premiere movies, three original prime-time scripted series and three annual pet-related specials. Plus, Hallmark extended its daily lifestyle series, Home & Family, to 52 weeks a year. Starting Saturday, Oct. 31, Hallmark Channel's signature holiday event, Countdown to Christmas, will feature an unprecedented lineup of 16 original movies. That includes five back-to-back nights of world premiere originals over Thanksgiving weekend. Hallmark Movies & Mysteries, formerly Hallmark Movie Channel, is rolling out its biggest slate of new programs ever, with 17 original movies this year. The channel will also offer fresh installments of its Mystery Wheel franchises - Murder She Baked, Gourmet Detective, Aurora Teagarden and Garage Sale Mystery. Like Hallmark Channel, the network will also boost the lineup for its holiday initiative, The Most Wonderful Movies of Christmas, with five new original movies in 2015. *AT&T products and services are provided or offered by subsidiaries and affiliates of AT&T Inc. under the AT&T brand and not by AT&T Inc. About Crown Media Crown Media Holdings, Inc., is the corporate parent for the portfolio of cable networks and related businesses under Crown Media Family Networks. The company currently operates and distributes Hallmark Channel in both high definition (HD) and standard definition (SD) to 86 million subscribers in the U.S. Hallmark Channel is the nation's leading destination for quality family programming with an ambitious slate of TV movies and specials; original scripted series, including Cedar Cove, When Calls the Heart, and Signed, Sealed, Delivered; as well as some of television's most beloved sitcoms and series. Hallmark Channel's sibling network, Hallmark Movie Channel, is available in 54 million homes in HD and SD. One of America's fastest-growing cable networks, Hallmark Movie Channel provides family-friendly original movies with a mix of original films, classic theatrical releases, and presentations from the acclaimed Hallmark Hall of Fame library. In addition, Crown Media Family Networks includes the online offerings of http://www.HallmarkChannel.com/and http://www.HallmarkMovieChannel.com/ As of March 31, 2015, the Company had $1.05 billion in total assets, $541 million in total liabilities, and $512 million in total stockholders' equity. * * * As reported by the TCR on July 3, 2015, Standard & Poor's Ratings Services said that it raised its corporate credit rating on Crown Media Holdings Inc. to 'BB-' from 'B+'. "The upgrade reflects Crown Media's improved financial risk profile," said Standard & Poor's credit analyst Naveen Sarma. As reported by the TCR on July 2, 2014, Moody's Investors Service upgraded the Corporate Family Rating (CFR) of Crown Media Holdings, Inc. to B1 from B2, its Probability of Default Rating to B1-PD from B2-PD, and instrument ratings as detailed below. The outlook is stable. The upgrade incorporates evidence of traction with the original programming strategy and better than expected performance, which, combined with debt reduction, improved the credit profile. CRYOPORT INC: Amends 1.4 Million Units Prospectus with SEC ---------------------------------------------------------- Cryoport, Inc. filed with the Securities and Exchange Commission an amended Form S-1 registration statement relating to a firm commitment public offering of 1,397,849 units. Each unit consists of one share of the Company's common stock, $0.001 par value, and one warrant to purchase one share of the Company's common stock at an exercise price of 110% of the public offering price of one unit in this offering. The common stock and warrants are immediately separable and will be issued separately. The offering also includes the shares issuable from time to time upon exercise of the warrants. The Company's common stock is currently traded on the OTC Bulletin Board under the symbol CYRX. On May 19, 2015, the Company effected a reverse stock split on a 12-to-1 basis. On July 22, 2015, the last reported sale price for the Company's common stock was $4.65 per share. The Company received conditional approval to list its common stock and warrants on the NASDAQ Capital Market under the symbols "CYRX" and "CYRXW", respectively, subject to the satisfaction of certain conditions and meeting all of the NASDAQ Capital Market listing standards on the date of this offering. That listing, however, is not guaranteed. A copy of the Form S-1/A is available at http://is.gd/RhTvOb About Cryoport Lake Forest, Calif.-based CryoPort, Inc. (OTC BB: CYRX) provides comprehensive solutions for frozen cold chain logistics, primarily in the life science industries. Its solutions afford new and reliable alternatives to currently existing products and services utilized for bio-pharmaceuticals and biologics, including in-vitro fertilization, cell lines, vaccines, tissue and other commodities requiring a reliable frozen solution. Cryoport reported a net loss attributable to common stockholders of $12.2 million for the year ended March 31, 2015, compared to a net loss attributable to common stockholders of $19.6 million for the year ended March 31, 2014. As of March 31, 2015, Cryoport had $2.6 million in total assets, $3.02 million in total liabilities and a $416,000 total stockholders' deficit. KMJ Corbin & Company LLP, in Costa Mesa, California, issued a "going concern" qualification on the consolidated financial statements for the year ended March 31, 2015, citing that the Company has incurred recurring operating losses and has had negative cash flows from operations since inception. Although the Company has cash and cash equivalents of $1.4 million at March 31, 2015, management has estimated that cash on hand, which include proceeds from Class B convertible preferred stock received subsequent to the fourth quarter of fiscal 2015, will only be sufficient to allow the Company to continue its operations into the third quarter of fiscal 2016. These matters raise substantial doubt about the Company's ability to continue as a going concern. DANA CORP: R.I. Super. Grants Partial Summary Judgment in "Bazor" ----------------------------------------------------------------- The Superior Court of Rhode Island, Providence, SC, ruled on the plaintiffs' motion to compel jurisdictional discovery in the case captioned ROBERT BAZOR and KAY BAZOR, Plaintiffs, v. ABEX CORP., et al., Defendants, and MARTHANNE STEFANKO, Individually and as Personal Representative of the Estate of KENNETH STEFANKO, Plaintiffs, v. ADIENCE CO., L.P., et al. Defendants, and RONALD BURDICK, as Executor of the Estate of WALTER BURDICK and Estate of EVELYN BURDICK, Plaintiffs, v. AIR & LIQUID SYSTEMS CORP., et al. Defendants, and DENNIS R. BAUMGARTNER and GAIL L. BAUMGARTNER, Plaintiffs, v. AMERICAN STANDARD, INC., et al., Defendants, and BEVERLY TAYLOR, as Administrator of the Estate of ROBERT P. TAYLOR, and Individually Recognized as Surviving Spouse, Plaintiffs, v. AMERICAN STANDARD, INC., et al., Defendants, and MARK COSTELLO and THERESA COSTELLO, Plaintiffs, v. AGCO CORPORATION, Individually and a Successor in interest to MASSEY FERGUSON and ALLIS CHALMERS, et al., Defendants, and CAROL WINCHESTER and DANIEL WINCHESTER, Plaintiffs, v. AMERICAN BILTRITE, INC., et al., Defendants, C.A. NOS. PC10-3965, PC11-2352, PC11-3431, PC13-4151, PC14-1464, PC14-3741, PC14-4697 (R.I. Super.) A suit was brought against Dana Companies, LLC, for injuries arising out of exposure to asbestos, which were allegedly caused by Dana Companies' asbestos-containing products. On November 11, 2014, Dana Companies filed a Motion to Dismiss for Lack of Personal Jurisdiction. Subsequently, the plaintiffs served a Notice of a 30(b)(6) Deposition directed to Dana Companies for purposes of discovering facts that would allow them to establish that the court may exercise personal jurisdiction over Dana Companies. The Plaintiffs later filed a motion, pursuant to Rule 37(a), seeking an order compelling Dana Companies to "fully respond" to their discovery items, arguing that Dana Companies has failed to fully respond to its requests for jurisdictional discovery, particularly information regarding Dana Corporation and Dana Holding. Dana Corporation is Dana Companies' corporate predecessor while Dana Holding Corporation is Dana Companies' parent corporation. Dana Companies argued that plaintiffs' 37(a) motion to compel should be denied because there is already sufficient evidence that general personal jurisdiction is lacking, and that discovery regarding Dana Corporation's and Dana Holding's contacts with Rhode Island are irrelevant. The Court granted the plaintiffs' motion in part, and denied it in part. It found that limited jurisdictional discovery is appropriate as to any "substantial" or "continuous and systematic" business contacts Dana Corporation may have had with Rhode Island. However, the Court held that no additional discovery is necessary regarding Dana Holding or Dana Companies. A full-text copy of the July 16, 2015 memorandum opinion and order is available at http://is.gd/pFpYVhfrom Leagle.com. Plaintiff is represented by: Donnie E. Young, Esq. -- and –- Robert J. Sweeney, Esq. LAW OFFICE OF ROBERT J SWEENEY 55 W Franklin Suite 201 Tucson, AZ 85701 Tel: (520) 629-9896 -- and –- Jeffrey S. Kanca, Esq. Defendant is represented by: Lawrence G. Cetrulo, Esq. Two Seaport Lane 10th Floor Boston, MA 02210 Tel: (617) 217-5210 Fax: (617) 217-5200 Email: lcetrulo@cetllp.com -- and –- Stephen T. Armato, Esq. Two Seaport Lane 10th Floor Boston, MA 0221 Tel: (617) 217-5252 Fax: (617) 217-5200 Email: sarmato@cetllp.com About Dana Corp. Based in Toledo, Ohio, Dana Corporation designs and manufactures products for every major vehicle producer in the world, and supplies drivetrain, chassis, structural, and engine technologies to those companies. Dana employs 46,000 people in 28 countries. Dana is focused on being an essential partner to automotive, commercial, and off-highway vehicle customers, which collectively produce more than 60 million vehicles annually. Dana has facilities in China in the Asia-Pacific, Argentina in the Latin-American regions and Italy in Europe. Dana Corp. and its affiliates filed for Chapter 11 protection on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354). Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day, in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq., Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in Cleveland, Ohio, represented the Debtors. Henry S. Miller at Miller Buckfire & Co., LLC, served as the Debtors' financial advisor and investment banker. Ted Stenger from AlixPartners served as Dana's Chief Restructuring Officer. Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel LLP, represented the Official Committee of Unsecured Creditors. Fried, Frank, Harris, Shriver & Jacobson, LLP, served as counsel to the Official Committee of Equity Security Holders. Stahl Cowen Crowley, LLC, served as counsel to the Official Committee of Non-Union Retirees. The Debtors filed their Joint Plan of Reorganization on Aug. 31, 2007. Judge Burton Lifland confirming the Plan, as thrice amended, on Dec. 26, 2007. The Plan was declared effective Jan. 31, 2008. Upon emergence, the Company was renamed as Dana Holding Corporation. DASEKE INC: S&P Retains B+ Issue Level Rating After Loan Revision ----------------------------------------------------------------- Standard & Poor's Ratings Services said that its 'B+' issue-level rating and '4' recovery rating on Daseke Inc.'s senior secured term loan are unchanged following the company's revision of the terms of the loan. The new proposed $200 million senior secured term loan B due 2020 is $50 million smaller than the previously proposed $250 million senior secured term loan B due 2022. The '4' recovery rating indicates S&P's expectation for average (30%-50%; lower half of the range) recovery in the event of a default. S&P's 'B+' corporate credit rating and stable outlook on Daseke Inc. also remain unchanged. S&P's ratings on Daseke reflect the company's participation in the highly fragmented, cyclical, and capital-intensive trucking industry. Daseke provides open-deck, specialty trucking services in the U.S., Canada, and Mexico. Over the next couple years, S&P believes that Daseke's trucking volumes will grow gradually, supported by moderate U.S. economic growth. S&P's ratings also reflect its assessment of the company's steady earnings growth and S&P's belief that management's financial policies for disciplined, accretive acquisitions will result in credit measures that are commensurate with the rating. S&P's financial risk profile assessment on Daseke incorporates its expectation that the company will generate moderate positive free operating cash flow (FOCF) in 2015 and 2016 and that its credit metrics will improve in 2015 and 2016, barring a large, debt-financed acquisition. RECOVERY ANALYSIS Key analytical factors S&P has completed a review of the recovery analysis and is maintaining its recovery and issue-level ratings on Daseke Inc.'s proposed $200 million senior secured term loan B due 2020. S&P's simulated default scenario assumes a default in the first half of 2019 because of a combination of the following factors: the loss of major customers, rising interest rates, and lower economic activity. S&P expects these conditions to reduce Daseke's volumes, revenues, margins, and net income, causing its liquidity and operating cash flow to decline. Based on the company's proposed capital structure and assumed increase in borrowing costs, S&P estimates that the company's EBITDA would need to decline to about $49 million to trigger a payment default. At this point, S&P forecasts that the company's cash flow would be insufficient to cover its interest expense, required debt amortization, and nondiscretionary maintenance capital spending. Other factors in our default scenario include: -- LIBOR increases to 300 basis points (bps); -- An amendment of the bank facilities' covenants results in a credit margin increase of 150 bps; -- The asset-based lending revolver is 60% drawn at default; and -- All debt includes six months of accrued interest. Simulated default and valuation assumptions: -- Simulated year of default: 2019 -- EBITDA at emergence: $63 million -- EBITDA multiple: 5x Simplified waterfall: -- Net enterprise value (after 5% admin. costs): $299 million -- Valuation split (obligors/nonobligors): 100%/0% -- Priority claims: $174 million -- Total collateral value available to secured debt: $125 million -- Total 1st lien debt: $62 million -- Total collateral available to senior secured term loan: $63 million -- Recovery expectations: 30%-50% (lower end of range) Note: All debt amounts include six months of prepetition interest. RATINGS LIST Ratings Unchanged Daseke Inc. Corporate Credit Rating B+/Stable/-- $200 Mil. Snr Scrd Trm Ln B Due 2020 B+ Recovery Rating 4L DEB STORES: Seeks Exclusive Plan Filing Pd. Extension Thru Dec. 1 ----------------------------------------------------------------- Deb Stores Holding LLC and its affiliated debtors ask the U.S. Bankruptcy Court for the District of Delaware to extend the periods within which only they may file a plan of reorganization and obtain acceptances of the plan of reorganization by a period of 120 days each, or up to December 1, 2015 and January 28, 2016, respectively. Peter J. Keane, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington, Delaware, clarifies that the Debtors are not seeking an extension of time to pressure creditors. The Debtors, he continues, merely require additional time in order to maximize the value of their estates. The Debtors' Exclusive Period Extension Motion is scheduled for hearing on August 25, 2015 at 3:00 p.m. The deadline for the filing of objections to the Motion is set on July 29, 2015 at 4:00 p.m. Deb Stores Holding LLC and its affiliated debtors are represented by: Laura Davis Jones, Esq. David M. Bertenthal, Esq. Joshua M. Fried, Esq. Peter J. Keane, Esq. PACHULSKI STANG ZIEHL & JONES LLP 919 North Market Street, 17th Floor P.O. Box 8705 Wilmington, DE 19899-8705 Telephone: (302)652-4100 Facsimile: (302)652-4400 Email: ljones@pszjlaw.com dbertenthal@pszjlaw.com jfried@pszjlaw.com pkeane@pszjlaw.com About Deb Stores Holding LLC Headquartered in Philadelphia, Pennsylvania, Deb Stores is a mall-based retailer in the juniors "fast-fashion" specialty sector  that operates under the name "DEB" and offers moderately priced, fashionable, coordinated women's sportswear, dresses, coats,  lingerie, accessories and shoes for junior and plus sizes. The  company, founded by Philip Rounick and Emma Weiner, opened its  first store under the name JOY Hosiery in Philadelphia, Pennsylvania in 1932. As of Sept. 30, 2014, the company operated a total of 295 retail store locations (primarily in the East and  Midwest, especially Pennsylvania, Ohio and Michigan) as well as an e-commerce channel.   On June 26, 2011, Deb Stores' predecessors -- DSI Holdings Inc. and its subsidiaries -- sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 11-11941) and closed the sale of the assets  three months later to Ableco Finance, LLC, the agent for the first  lien lenders.   Deb Stores Holding LLC and eight affiliated companies commenced  Chapter 11 bankruptcy cases in Delaware on Dec. 4, 2014. The  Debtors are seeking to have their cases jointly administered, with  pleadings maintained on the case docket for Deb Stores Holding (Case No. 14-12676). The cases are assigned to Judge Mary F.  Walrath.   Laura Davis Jones, Esq., Colin R. Robinson, Esq., at and Peter J. Keane, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington, Delaware, serve as counsel to the Debtors. Epiq Bankruptcy  Solutions, LLC, is the claims and noticing agent.   As of Dec. 31, 2014, the Debtors' most recent audited consolidated financial statements reflected assets totaling $90.5 million and  liabilities totaling $120.1 million.   The Official Committee of Unsecured Creditors tapped Cooley LLP as  its lead counsel; Drinker Biddle & Reath LLP as its co-counsel;  and Zolfo Cooper, LLC as its bankruptcy consultants and financial  advisors.   DOTS LLC: Loses $872,000 Clawback Suit Against Capstone Media ------------------------------------------------------------- Bankruptcy Judge Michael B. Kaplan of the United States Bankruptcy Court for the District of New Jersey granted Capstone Media's motion for summary judgment in the case, DOTS, LLC, et al., Plaintiffs, v. CAPSTONE MEDIA, Defendant, ADV. PRO. NO. 14-1816 (MBK), (Bankr. D. NJ) The Debtors seek to (i) recover certain alleged preferential transfers, approximating $872,425, pursuant to 11 U.S.C. Sections 547 and 550; (ii) disallow any claims asserted by Capstone against the Debtors pursuant to 11 U.S.C. Sec. 502; and (iii) recoup attorneys' fees under Federal Rule of Bankruptcy Procedure 7008(b). Capstone Media seeks summary judgment on all counts contained in the adversary complaint. In his Memorandum Decision dated July 16, 2015 available at http://is.gd/6K09Jxfrom Leagle.com, Judge Kaplan granted Capstone Media's motion for summary judgment. The crux of the dispute centers on whether payments made by the Debtors to Capstone were in fact on account of antecedent debts. Absent the Debtors' satisfaction of this prong, the Debtors' suit cannot be successful. The Court has received and reviewed the parties' submissions and entertained oral argument on June 11, 2015. The Court finds that the payments/transfers at issue were not tendered on account of antecedent debts and, therefore, will grant summary judgment in favor of Capstone. Joao F. Magalhaes, Esq. -- jmagalhaes@trenklawfirm.com -- of Trenk, DiPasquale, Della Fera & Sodono, P.C. serves as counsel for Debtors Jami B. Nimeroff, Esq. -- jnimeroff@bsnlawyers.com -- of Brown Wynn McGarry Nimeroff LLC serves as counsel for Capstone Media About DOTS LLC Dots is a retailer of fashionable clothing, accessories, and footwear for price-conscious women. Dots provides missy and plus size choices to fashion savvy 25 to 35 year old women at approximately 400 retail stores throughout the Midwest, East, and South United States. Dots' workforce includes 3,500 individuals in their stores, distribution center, and corporate headquarters. Dots, LLC, and its affiliates sought bankruptcy protection under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Lead Case No. 14-11016) on Jan. 20, 2014, to sell some or all of their assets. Lowenstein Sandler LLP serves as counsel to the Debtors. PricewaterhouseCoopers LLP is financial advisor and investment banker. Donlin, Recano & Company, Inc., is the claims and notice agent. As of the Petition Date, the Debtors have outstanding secured debt owed to senior lender Salus Capital Partners, LLC, of which $14.5 million remains outstanding under a revolving facility and $16.1 million is owed under a term facility. The Debtors also have not less than $17 million outstanding under subordinated term loan agreements with Irving Place Capital Partners III L.P. ("IPC") and related entities. Moreover, the Debtors have aggregate unsecured debts of $47.0 million. The Debtors disclosed $51,574,560 in assets and $85,442,656 in liabilities as of the Chapter 11 filing. Salus, the prepetition senior lender and the DIP lender, is represented by Morgan, Lewis & Bockius, LLP. The prepetition subordinated lenders are represented by Okin Hollander & DeLuca, LLP. The Company has arranged to borrow $36 million to keep operating as it reorganizes under court protection. Otterbourg P.C. serves as counsel to the Official Committee of Unsecured Creditors; and FTI Consulting, Inc., serves as its financial advisor. DOVER DOWNS: Receives Non-Compliance Notice from NYSE ----------------------------------------------------- Dover Downs Gaming & Entertainment, Inc., was notified by the New York Stock Exchange on July 22, 2015, that the average closing price of the Company's 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. Under NYSE rules, the Company has six months following receipt of the notification, subject to possible extension, to regain compliance with the minimum share price requirement or be subject to delisting. The Company can also regain compliance at any time during the six-month cure period if its common stock has a closing share price of at least $1.00 on the last trading day of any calendar month during the period and also has an average closing share price of at least $1.00 over the 30-trading day period ending on the last trading day of that month. The notice has no immediate impact on the listing of the Company's common stock, which will continue to trade on the NYSE under the symbol "DDE" but will be assigned a ".BC" indicator by the NYSE to signify that the Company is not currently in compliance with NYSE continued listing standards. The Company has 10 business days to notify the NYSE of its intent to cure this deficiency. The Company intends to so notify the NYSE on a timely basis. 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. Visit http://www.doverdowns.com/ As of March 31, 2015, the Company had $176 million in total assets, $63.5 million in total liabilities and $112 million in total stockholders' equity. Dover Downs reported a net loss of $706,000 in 2014, compared to net earnings of $13,000 in 2013. KPMG LLP, in Philadelphia, Pennsylvania, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company's credit facility expires on Sept. 30, 2015, 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. DOWLING COLLEGE: Enters Forbearance Agreement, Moody's Says ----------------------------------------------------------- Dowling College, NY's (Ca, negative) announcement on July 20, 2015 that it entered into a forbearance agreement with its creditors on the Series 1996, 2002 and 2006 (not rated) bonds through June 30, 2016 is deemed default as the development indicates the payment will not be met through the originally scheduled terms, Moody's Investors Service says in a new report. The college also entered into new debt (unrated) agreement of $6.7 million which will provide much needed liquidity and pay down outstanding mortgage notes. "The forbearance agreement and new debt will provide the college near term relief due to the infusion of liquidity to support operations and more time to implement strategic initiatives," Moody's AVP -- Analyst Pranav Sharma says in "Dowling College: Forbearance Provides Short-term Relief." Moody's says the Ca rating reflects the magnitude of Dowling's financial challenges. "These challenges include a multi-year trend of declining enrollment, weak operating performance and thin liquidity, "Sharma says. The negative outlook reflects the expectation the college's operations will remain challenged in the near term. ENERGY FUTURE: Amends Chapter 11 Exit Plan ------------------------------------------ Peg Brickley, writing for The Wall Street Journal, reported that bondholders that have raised billions to buy Energy Future Holdings Corp.'s prized business, Oncor, will get a shot at pulling off their deal. According to the report, loaded with $42 billion in debt, Energy Future has been looking for a way out of bankruptcy since last year. Amended Chapter 11 plan documents filed on July 23 say the company is still weighing two options. But headed into a crucial phase in its hard-fought Chapter 11 case, Energy Future believes a buyout offer for Oncor from junior bondholders, in an alliance with Hunt Consolidated Inc., is "the superior path" to the exit, the report related. About Energy Future Energy Future Holdings Corp., formerly known as TXU Corp., is a privately held diversified energy holding company with a portfolio of competitive and regulated energy businesses in Texas. Oncor, an 80 percent-owned entity within the EFH group, is the largest regulated transmission and distribution utility in Texas. The Company delivers electricity to roughly three million delivery points in and around Dallas-Fort Worth. EFH Corp. was created in October 2007 in a $45 billion leverage buyout of Texas power company TXU in a deal led by private-equity companies Kohlberg Kravis Roberts & Co. and TPG Inc. On April 29, 2014, Energy Future Holdings and 70 affiliated companies sought Chapter 11 bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10979) after reaching a deal with some key financial stakeholders to keep its businesses operating while reducing its roughly $40 billion in debt. The Debtors' cases have been assigned to Judge Christopher S. Sontchi (CSS). The Debtors are seeking to have their cases jointly administered for procedural purposes. As of Dec. 31, 2013, EFH Corp. reported assets of $36.4 billion in book value and liabilities of $49.7 billion. The Debtors have $42 billion of funded indebtedness. EFH's legal advisor for the Chapter 11 proceedings is Kirkland & Ellis LLP, its financial advisor is Evercore Partners and its restructuring advisor is Alvarez & Marsal. The TCEH first lien lenders supporting the restructuring agreement are represented by Paul, Weiss, Rifkind, Wharton & Garrison, LLP as legal advisor, and Millstein & Co., LLC, as financial advisor. The EFIH unsecured creditors supporting the restructuring agreement are represented by Akin Gump Strauss Hauer & Feld LLP, as legal advisor, and Centerview Partners, as financial advisor. The EFH equity holders supporting the restructuring agreement are represented by Wachtell, Lipton, Rosen & Katz, as legal advisor, and Blackstone Advisory Partners LP, as financial advisor. Epiq Systems is the claims agent. Wilmington Savings Fund Society, FSB, the successor trustee for the second-lien noteholders owed about $1.6 billion, is represented by Ashby & Geddes, P.A.'s William P. Bowden, Esq., and Gregory A. Taylor, Esq., and Brown Rudnick LLP's Edward S. Weisfelner, Esq., Jeffrey L. Jonas, Esq., Andrew P. Strehle, Esq., Jeremy B. Coffey, Esq., and Howard L. Siegel, Esq. An Official Committee of Unsecured Creditors has been appointed in the case. The Committee represents the interests of the unsecured creditors of ONLY of Energy Future Competitive Holdings Company LLC; EFCH's direct subsidiary, Texas Competitive Electric Holdings Company LLC; and EFH Corporate Services Company, and of no other debtors. The Committee has selected Morrison & Foerster LLP and Polsinelli PC for representation in this high-profile energy restructuring. The lawyers working on the case are James M. Peck, Esq., Brett H. Miller, Esq., and Lorenzo Marinuzzi, Esq., at Morrison & Foerster LLP; and Christopher A. Ward, Esq., Justin K. Edelson, Esq., Shanti M. Katona, Esq., and Edward Fox, Esq., at Polsinelli PC. ENERGY FUTURE: Inks Trading & Hedging Deals with Muni-LSEs ---------------------------------------------------------- Energy Future Holdings Corp. and its affiliated debtors seek authority from the U.S. Bankruptcy Court for the District of Delaware to enter with Luminant Energy Company LLC, Luminant ET Services Company, and Luminant Generation Company LLC, (a) limited non-proprietary hedging and trading arrangements with municipally-owned utilities and cooperatives that operate as load serving entities within the ERCOT market, also known as the Muni-LSEs; and (b) enter into non-proprietary hedging and trading arrangements to hedge generation obligations to the Muni-LSEs. Jason M. Madron, Esq., at Richards, Layton & Finger, P.A., in Wilmington, Delaware, tells the Court that pursuant to the 2016 Non-Proprietary Order, the Debtors are permitted to enter into Non-Proprietary Hedging and Trading Arrangements with a tenor beyond December 31, 2015, without further order of the Court, subject to certain limits established by the Audit Committee. He further tells the Court that in light of the Muni-LSEs' increasing confidence in the Debtors' creditworthiness, the Hedging and Trading Entities believe they now have an opportunity to capture significant value by entering into Non-Proprietary LSE Arrangements with a tenor beyond 27 calendar months from a particular Reference Date. Joseph Ho, Senior Vice President of Enterprise Risk Management for Energy Future Holdings Corp., relates that the Non-Proprietary LSE Arrangements have the potential to unlock significant value for the Debtors' Estates. He says the new Non-Proprietary LSE Arrangements provide the Hedging and Trading Entities with the potential to serve the 25% of the ERCOT market that has remained virtually inaccessible over the last several years. The Debtors' motion is scheduled for hearing on August 11, 2015 at 9:30 a.m. The deadline for the filing of objections to the motion is set on August 4, 2015 at 4:00 p.m. Energy Future Holdings Corp. and its affiliated debtors are represented by: Mark D. Collins, Esq. Daniel J. DeFranceschi, Esq. Jason M. Madron, Esq. RICHARDS, LAYTON & FINGER, P.A. 920 North King Street Wilmington, DE 19801 Telephone: (302)651-7700 Facsimile: (302)651-7701 Email: collins@rlf.com defranceschi@rlf.com madron@rlf.com -- and -- Edward O. Sassower, Esq. Stephen E. Hessler, Esq. Brian E. Schartz, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, NY 10022-4611 Telephone: (212)446-4800 Facsimile: (212)446-4900 Email: edward.sassower@kirkland.com stephen.hessler@kirkland.com brian.schartz@kirkland.com -- and -- James H.M. Sprayregen, Esq. Marc Kieselstein, Esq. Chad J. Husnick, Esq. Steven N. Serajeddini, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 300 North LaSalle Chicago, Illinois 60654 Telephone: (312)862-2000 Facsimile: (312)862-2200 Email: james.sprayregen@kirkland.com marc.kieselstein@kirkland.com chad.husnick@kirkland.com steven.serajeddini@kirkland.com About Energy Future Energy Future Holdings Corp., formerly known as TXU Corp., is a privately held diversified energy holding company with a portfolio of competitive and regulated energy businesses in Texas. Oncor, an 80 percent-owned entity within the EFH group, is the largest regulated transmission and distribution utility in Texas. The Company delivers electricity to roughly three million delivery points in and around Dallas-Fort Worth. EFH Corp. was created in October 2007 in a $45 billion leverage buyout of Texas power company TXU in a deal led by private-equity companies Kohlberg Kravis Roberts & Co. and TPG Inc. On April 29, 2014, Energy Future Holdings and 70 affiliated companies sought Chapter 11 bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10979) after reaching a deal with some key financial stakeholders to keep its businesses operating while reducing its roughly $40 billion in debt. The Debtors' cases have been assigned to Judge Christopher S. Sontchi (CSS). The Debtors are seeking to have their cases jointly administered for procedural purposes. As of Dec. 31, 2013, EFH Corp. reported assets of $36.4 billion in book value and liabilities of $49.7 billion. The Debtors have $42 billion of funded indebtedness. EFH's legal advisor for the Chapter 11 proceedings is Kirkland & Ellis LLP, its financial advisor is Evercore Partners and its restructuring advisor is Alvarez & Marsal. The TCEH first lien lenders supporting the restructuring agreement are represented by Paul, Weiss, Rifkind, Wharton & Garrison, LLP as legal advisor, and Millstein & Co., LLC, as financial advisor. The EFIH unsecured creditors supporting the restructuring agreement are represented by Akin Gump Strauss Hauer & Feld LLP, as legal advisor, and Centerview Partners, as financial advisor. The EFH equity holders supporting the restructuring agreement are represented by Wachtell, Lipton, Rosen & Katz, as legal advisor, and Blackstone Advisory Partners LP, as financial advisor. Epiq Systems is the claims agent. Wilmington Savings Fund Society, FSB, the successor trustee for the second-lien noteholders owed about $1.6 billion, is represented by Ashby & Geddes, P.A.'s William P. Bowden, Esq., and Gregory A. Taylor, Esq., and Brown Rudnick LLP's Edward S. Weisfelner, Esq., Jeffrey L. Jonas, Esq., Andrew P. Strehle, Esq., Jeremy B. Coffey, Esq., and Howard L. Siegel, Esq. An Official Committee of Unsecured Creditors has been appointed in the case. The Committee represents the interests of the unsecured creditors of ONLY of Energy Future Competitive Holdings Company LLC; EFCH's direct subsidiary, Texas Competitive Electric Holdings Company LLC; and EFH Corporate Services Company, and of no other debtors. The Committee has selected Morrison & Foerster LLP and Polsinelli PC for representation in this high-profile energy restructuring. The lawyers working on the case are James M. Peck, Esq., Brett H. Miller, Esq., and Lorenzo Marinuzzi, Esq., at Morrison & Foerster LLP; and Christopher A. Ward, Esq., Justin K. Edelson, Esq., Shanti M. Katona, Esq., and Edward Fox, Esq., at Polsinelli PC. ERF WIRELESS: STJV Trust Holds 38% of Series A Pref. Stock ---------------------------------------------------------- In a Schedule 13G filed with the Securities and Exchange Commission, STJV Trust disclosed that as of July 22, 2015, it beneficially owned 3,801,578 Series A Preferred Stock of ERF Wireless, Inc., which represents 38 percent of the shares outstanding. A copy of the regulatory filing is available at: http://is.gd/mdg9sp 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 of $4.81 million in 2012, and a net loss of $3.37 million in 2011. As of Sept. 30, 2014, the Company had $3.59 million in total assets, $10.4 million in liabilities, and a $6.84 million shareholders' deficit. ESCO MARINE: Caterpillar Fin'l Given Additional Adequate Protection ------------------------------------------------------------------- Judge Richard Schmidt of the U.S. Bankruptcy Court for the Southern District of Texas, Corpus Christi Division, at the behest of Caterpillar Financial Services Corporation, lifted the automatic stay imposed in the Chapter 11 cases of Esco Marine, Inc., et al., and directed the Debtors to provide additional adequate protection to Caterpillar with respect to two 330DMH Excavators. John Mayer, Esq., at Ross, Banks, May, Cron & Cavin, P.C., in Houston, Texas, tells the Court that the 330DMH Excavators were the subject of a Finance Lease between Caterpillar Financial, as Lessor and Texas Best Equipment, LLC, as Lessee. Mr. Mayer further tells the Court that the Caterpillar Excavators were later sold by Louisiana Machinery Company, LLC, to Caterpillar Financial. He notes that Texas Best was in possession of the 330DMH Excavators as of March 9, 2012. He says that as of the Petition Date, the balance which remains unpaid n the Finance Lease is $439,368. Mr. Mayer asserts that the Debtor has no equity in the 330DMH Excavators and that they are not necessary to an effective reorganization. He further says that the Excavators are declining in value through wear and tear and that the Debtor has not afforded adequate protection to Caterpillar Financial for the use of the Excavators. The Debtors filed an objection, saying there is no cause to lift the automatic stay as the value of the Excavators is not declining because they are not being used in the ordinary course of business and are currently sitting idle. The Debtors, however, withdrew their objection. Caterpillar Financial Services Corporation is represented by: John Mayer, Esq. ROSS, BANKS, MAY, CRON & CAVIN, P.C. 2 Riverway, Suite 700 Houston, TX 77056 Telephone: (713)626-1200 Facsimile: (713)623-6014 Email: jmayer@rossbanks.com Esco Marine, Inc. and its affiliated debtors are represented by: R. Glen Ayers, Esq. David S. Gragg, Esq. Natalie F. Wilson, Esq. Allen M. DeBard, Esq. LANGLEY & BANACK, INC. Suite 900, Trinity Plaza II 745 East Mulberry San Antonio, TX 78212-3166 Telephone: (210)736-6600 Facsimile: (210)735-6889 Email: gayers@langleybanack.com dgragg@langleybanack.com nwilson@langleybanack.com adebard@langleybanack.com About ESCO Marine ESCO Marine, Inc., and four affiliates sought Chapter 11 Bankruptcy protection in Corpus Christi, Texas (Bankr. S.D. Tex.) on March 7, 2015. ESCO Marine disclosed $28.8 million in assets and $35.5 million in debt as of Jan. 31, 2015. The cases are assigned to Judge Richard S. Schmidt. The Debtors filed an emergency motion seeking joint administration of their Chapter 11 cases, requesting to designate as the "main case" the proceedings of ESCO Marine, Inc., Case No. 15-20107. ESCO Metals, LLC, ESCO Shredding, LLC, Texas Best Recycling, LLC, and Texas Best Equipment LLC are affiliates of ESCO Marine. ESCO Marine is the operating parent company. The Debtors have tapped Roderick Glen Ayers, Jr., Esq., at Langley Banack Inc., in San Antonio, as counsel. ESCO MARINE: Committee Wants Callidus Credit Bid Capped at $30MM ---------------------------------------------------------------- The Official Committee of Unsecured Creditors appointed in the Chapter 11 cases of ESCO Marine, Inc., et al., asks the U.S. Bankruptcy Court for the Southern District of Texas, Corpus Christi Division, to limit to $30,381,223 the maximum amount of the credit bid that may be submitted by Callidus Capital Corporation for substantially all of the Debtors' assets. Callidus Capital Corporation has a right to credit bid for the Debtors' assets. Callidus has an agreed prepetition secured claim of approximately $28 million under the prepetition loan. Callidus also has an agreed, super-priority postpetition administrative claim arising under the Cash Collateral Orders and the Interim and Final DIP Orders. Based on the Debtor's use of cash collateral and postpetition funds, it is estimated that Callidus' postpetition, super-priority administrative claim will total approximately $32 million as of July 31, 2015. Callidus has notified the Court that it has the right to credit bid at any auction, sale or foreclosure sale up to the amount of $33,470,722, as of July 10, 2015. The Committee objects to the proposed credit bid on the basis that: (i) the amount cannot be substantiated; and (ii) Callidus should not be allowed to credit bid with regard to assets upon which it does not hold a valid lien. According to the Committee's counsel, Stephen W. Sather, Esq., at Barron & Newburger, P.C., in Austin, Texas, the amount of the Callidus credit bid cannot be calculated with full precision because the Committee lacks complete information as to how Callidus calculated the balance of Facility A. Mr. Sather asserts that given the lack of transparency by Callidus and the known problems with the calculation of its claim, Callidus' credit bid should be limited. He tells the Court that the Committee proposes that the following calculation be used for determining the credit bid: Principal as of 3/24 $28,191,867.93 Interest as of 3/24 $ 340,117.71 Post-Petition Advances $ 2,256,924.00 Less Unapproved Legal $ (407,686.00) Total $30,381,223.64 Mr. Sather relates that the Committee is in the process of filing an adversary proceeding to determine the extent, priority and validity of the pre-petition liens of Callidus prior to the auction sale. He adds that the Committee has also objected to granting Callidus a post-petition lien on assets upon which it did not hold a pre-petition lien, more particularly: (i) real property located in Donna, Texas; (ii) leases with the Port of Brownsville; (iii) titled vehicles and boats; (iv) documented vessels subject to the Ship Mortgage Act; and (v) commercial tort claims, which are not being included in the auction and therefore should not be an issue. Mr. Sather asserts that Callidus should be required to submit a separate cash bid should it wish to bid on these assets. Callidus Capital Corporation is represented by: Shelby A. Jordan, Esq. Nathaniel Peter Holzer, Esq. JORDAN, HYDEN, WOMBLE, CULBRETH & HOLZER, P.C. 500 North Shoreline Blvd., Suite 900 Corpus Christi, TX 78401-0341 Telephone: (361)884-5678 Facsimile: (361)888-5555 Email: sjordan@jhwclaw.com pholzer@jhwclaw.com -- and -- Michael C. Hammer, Esq. DICKINSON WRIGHT PLLC 350 S. Main Street, Suite 300 Ann Arbor, MI 48104 Telephone: (734)623-1696 Facsimile: (734)623-1625 Email: Mhammer@dickinsonwright.com The Official Committee of Unsecured Creditors is represented by: Barbara M. Barron, Esq. Stephen W. Sather, Esq. BARRON & NEWBURGER, P.C. 1212 Guadalupe Street, Suite 104 Austin, TX 78701 Telephone: (512)476-9103 Facsimile: (512)476-9253 Email: Bbarron@bn-lawyers.com Ssather@bn-lawyers.com About ESCO Marine ESCO Marine, Inc., and four affiliates sought Chapter 11 Bankruptcy protection in Corpus Christi, Texas (Bankr. S.D. Tex.) on March 7, 2015. ESCO Marine disclosed $28.8 million in assets and $35.5 million in debt as of Jan. 31, 2015. The cases are assigned to Judge Richard S. Schmidt. The Debtors filed an emergency motion seeking joint administration of their Chapter 11 cases, requesting to designate as the "main case" the proceedings of ESCO Marine, Inc., Case No. 15-20107. ESCO Metals, LLC, ESCO Shredding, LLC, Texas Best Recycling, LLC, and Texas Best Equipment LLC are affiliates of ESCO Marine. ESCO Marine is the operating parent company. The Debtors have tapped Roderick Glen Ayers, Jr., Esq., at Langley Banack Inc., in San Antonio, as counsel. ESCO MARINE: Court Approves Bidding & Auction Procedures for Assets ------------------------------------------------------------------- Esco Marine, Inc. and its affiliated debtors sought and obtained approval from Judge Richard S. Schmidt of the U.S. Bankruptcy Court for the Southern District of Texas, Corpus Christi Division, of bidding and auction procedures governing the sale of substantially all of the Debtors' assets. Callidus Capital Corporation has a right to credit bid for the Debtors' assets. Callidus has an agreed prepetition secured claim of approximately $28 million under the prepetition loan. Callidus also has an agreed, super-priority postpetition administrative claim arising under the Cash Collateral Orders and the Interim and Final DIP Orders. Based on the Debtor's use of cash collateral and postpetition funds, it is estimated that Callidus' postpetition, super-priority administrative claim will total approximately $32 million as of July 31, 2015. R. Glen Ayers, Jr., Esq., at Langley & Banack, Inc., in San Antonio, Texas, tells the Court that the Chief Restructuring Officer, in consultation with the Debtor's professionals, Callidus C, the DIP Lender, and Callidus' professionals, has determined that a sale of all or substantially all of the Debtors' assets has the best chance of maximizing value for all stakeholders. The Official Committee of Unsecured Creditors objected to the bidding procedures motion, complaining that (a) the deadlines established by the Bidding Procedures are not sufficiently long to allow for bidding by independent parties; (b) even though the Debtors are required to "consult" with Callidus and the Creditors' Committee, the proposed order allows them to unilaterally modify the auction procedures without prior notice or opportunity for hearing; (c) the proposed Bidding Procedures fail to provide for a minimum initial bid in order for a Bidder to become a Qualified Bidder; (d) the proposed Bidding Procedures do not adequately set out how the amount of a bid should be structured and that the Bidding Procedures should include a definition of Purchased Assets and Excluded Assets; and (e) the proposed Bidding Procedures should contain a mechanism for determining the specific amount of the credit bid which may be submitted by Callidus in the event that the parties cannot agree. The hearing to consider approval of the sale is set for on July 30, 2015 at 9:00 a.m., prevailing Central time. Objections to the approval of the sale of Assets must be filed no later than July 28. The deadline for persons interested in purchasing the Assets to submit a bid was July 17. An auction was conducted on July 23. Esco Marine, Inc. and its affiliated Debtors are represented by: R. Glen Ayers, Jr., Esq. David S. Gragg, Esq. Natalie F. Wilson, Esq. LANGLEY & BANACK, INC. 745 East Mulberry, Suite 900 San Antonio, TX 78212-3166 Telephone: (210)736-6600 Facsimile: (210)735-6889 Email: gayers@langleybanack.com dgragg@langleybanack.com nwilson@langleybanack.com The Official Committee of Unsecured Creditors is represented by: Barbara M. Barron, Esq. Stephen W. Sather, Esq. BARRON & NEWBURGER, P.C. 1212 Guadalupe Street, Suite 104 Austin, TX 78701 Telephone: (512)476-9103 Facsimile: (512)476-9253 Email: Bbarron@bn-lawyers.com Ssather@bn-lawyers.com About ESCO Marine ESCO Marine, Inc., and four affiliates sought Chapter 11 Bankruptcy protection in Corpus Christi, Texas (Bankr. S.D. Tex.) on March 7, 2015. ESCO Marine disclosed $28.8 million in assets and $35.5 million in debt as of Jan. 31, 2015. The cases are assigned to Judge Richard S. Schmidt. The Debtors filed an emergency motion seeking joint administration of their Chapter 11 cases, requesting to designate as the "main case" the proceedings of ESCO Marine, Inc., Case No. 15-20107. ESCO Metals, LLC, ESCO Shredding, LLC, Texas Best Recycling, LLC, and Texas Best Equipment LLC are affiliates of ESCO Marine. ESCO Marine is the operating parent company. The Debtors have tapped Roderick Glen Ayers, Jr., Esq., at Langley Banack Inc., in San Antonio, as counsel. EURAMAX HOLDINGS: Files Investor Presentation Materials with SEC ---------------------------------------------------------------- Euramax Holdings, Inc., filed with the Securities and Exchange Commission copies of slides from an investor presentation that the Company and its wholly-owned subsidiary Euramax International, Inc. may use in meetings with investors from time to time. The slides are available at http://is.gd/fGIvYx About Euramax Based in Norcross, Georgia, Euramax International, Inc., is a leading international producer of aluminum, steel, vinyl and fiberglass products for original equipment manufacturers, distributors, contractors and home centers in North America and Western Europe. The Company was acquired for $1 billion in 2005 by management and Goldman Sachs Capital Partners. Euramax Int'l has subsidiaries in Canada (Euramax Canada, Inc.), United Kingdom (Ellbee Limited and Euramax Coated Products Limited), and The Netherlands (Euramax Coated Products B.V.), and France (Euramax Industries S.A.). Euramax reported a net loss of $59.27 million in 2014, a net loss of $24.89 million in 2013 and a net loss of $36.76 million in 2012. Bankruptcy Warning "...[A]approximately $500 million of our outstanding indebtedness, under the Notes and the Senior Unsecured Loan Facility, is currently scheduled to mature between April 1 and October 1, 2016. Under the terms of our ABL Credit Facility, we are required to obtain an extension of the maturity of the debt that matures in 2016 to a date that is at least 90 days after March 1, 2018, which is the scheduled maturity date of the ABL Credit Facility. In the event that we do not refinance the debt or obtain such an extension on or before December 31, 2015, then the maturity date for our ABL Credit Facility will accelerate to January 31, 2016. Accordingly, we must complete a refinancing of those debt facilities and/or enter into an amendment to the terms of the Notes and the Senior Unsecured Loan Facility prior to the end of 2015. In order to do so, we must negotiate satisfactory agreements with the holders of the Notes and the lenders under the Senior Unsecured Loan Facility and/or obtain equity or debt financing on terms that are acceptable to the Company. There can be no assurance that the holders of the Notes or the lenders under the Senior Unsecured Loan Facility will agree to any such amendments or there can be no assurance that we can complete a refinancing prior to December 31, 2015, or that the terms of any such equity or debt financing would be acceptable to the Company. In the event that we are unable to obtain such amendments or extensions, or complete such refinancing, the Company would need to explore other alternatives, which could include a potential restructuring or reorganization under the bankruptcy laws," the Company states in its 2014 annual report. As of April 3, 2015, Euramax had $529 million in total assets, $733 million in total liabilities and a $204 million total shareholders' deficit. * * * As reported by the TCR on Dec. 13, 2012, Moody's Investors Service downgraded Euramax International, Inc.'s corporate family rating and probability of default rating to Caa2 from Caa1. The downgrade reflects Moody's expectation that the turmoil in global financial markets and weakness in Europe will continue to hamper Euramax's revenues and operating margins as well as weaken key credit metrics. As reported by the TCR on July 30, 2009, Standard & Poor's Ratings Services raised its ratings on Norcross, Georgia-based Euramax International Inc., including the long-term corporate credit rating, to 'B-' from 'D'. "The ratings upgrade reflects the company's highly leveraged, although somewhat improved, financial risk profile following a recent out-of-court restructuring," said Standard & Poor's credit analyst Dan Picciotto. "As a result of the restructuring, Euramax's second-lien debtholders received equity and about half of its new $513 million of first-lien debt is pay-in-kind, providing some cash flow benefit," he continued. EURAMAX HOLDINGS: Names New President and CEO --------------------------------------------- Euramax Holdings, Inc., announced that, effective Aug. 10, 2015, Richard C. Brown is appointed the president and chief executive officer of the Company. He will also become a member of the Board of Directors of the Company. Mr. Brown joins the Company from Sun Capital Partners, Inc., where he was a managing director and partner since 2012 and served as the Board Chairman of multiple businesses including those in chemicals, packaging, automotive, distribution, telecommunications, construction and consumer products segments. He has also provided operational leadership for multiple portfolio companies. Previously, Mr. Brown served as the president and chief executive officer of Performance Fibers, a Sun Capital Partners portfolio company, from 2008 to 2012. Prior to that, he served as the Vice President of WR Grace & Co. and President of Grace Performance Chemicals from 2005 to 2008. Earlier in his career, Mr. Brown led multiple businesses and served in various roles with the General Electric Company for 19 years, including serving as the president and Global Business Unit Leader (GE Advanced Materials), president and general manager (GE Sealants and Adhesives), marketing manager (Consumer and Electronics, GE Plastics), and manager of Global Accounts (GE Plastics). "Rick's proven executive experience, strategic and operational skills and ability to develop and lead a strong global team make him an ideal fit for Euramax. He has had deep experience leading the growth of companies with multiple products, brands and global end-markets," said Michael Lundin, Chairman of the Company's Board of Directors. Mr. Brown will succeed Hugh Sawyer, a professional in Huron Consulting Group's Business Advisory Practice, who has served as interim president since February 2014. "I'm deeply honored to have been asked to lead Euramax," said Mr. Brown. "This is an exciting time for the Company and I look forward to working with the entire Euramax team in building on the strong foundation laid under the leadership of Hugh and the rest of the management team." In connection with his appointment, the Company and Mr. Brown have entered into a written employment agreement for an initial two-year term, which provides for the following compensation terms for Mr. Brown. Pursuant to the Employment Agreement, Mr. Brown will receive a base salary of $700,000 per year, subject to increase, but not decrease, at the discretion of the Board. About Euramax Based in Norcross, Georgia, Euramax International, Inc., is a leading international producer of aluminum, steel, vinyl and fiberglass products for original equipment manufacturers, distributors, contractors and home centers in North America and Western Europe. The Company was acquired for $1 billion in 2005 by management and Goldman Sachs Capital Partners. Euramax Int'l has subsidiaries in Canada (Euramax Canada, Inc.), United Kingdom (Ellbee Limited and Euramax Coated Products Limited), and The Netherlands (Euramax Coated Products B.V.), and France (Euramax Industries S.A.). Euramax reported a net loss of $59.27 million in 2014, a net loss of $24.89 million in 2013 and a net loss of $36.76 million in 2012. Bankruptcy Warning "...[A]approximately $500 million of our outstanding indebtedness, under the Notes and the Senior Unsecured Loan Facility, is currently scheduled to mature between April 1 and October 1, 2016. Under the terms of our ABL Credit Facility, we are required to obtain an extension of the maturity of the debt that matures in 2016 to a date that is at least 90 days after March 1, 2018, which is the scheduled maturity date of the ABL Credit Facility. In the event that we do not refinance the debt or obtain such an extension on or before December 31, 2015, then the maturity date for our ABL Credit Facility will accelerate to January 31, 2016. Accordingly, we must complete a refinancing of those debt facilities and/or enter into an amendment to the terms of the Notes and the Senior Unsecured Loan Facility prior to the end of 2015. In order to do so, we must negotiate satisfactory agreements with the holders of the Notes and the lenders under the Senior Unsecured Loan Facility and/or obtain equity or debt financing on terms that are acceptable to the Company. There can be no assurance that the holders of the Notes or the lenders under the Senior Unsecured Loan Facility will agree to any such amendments or there can be no assurance that we can complete a refinancing prior to December 31, 2015, or that the terms of any such equity or debt financing would be acceptable to the Company. In the event that we are unable to obtain such amendments or extensions, or complete such refinancing, the Company would need to explore other alternatives, which could include a potential restructuring or reorganization under the bankruptcy laws," the Company states in its 2014 annual report. As of April 3, 2015, Euramax had $529 million in total assets, $733 million in total liabilities and a $204 million total shareholders' deficit. * * * As reported by the TCR on Dec. 13, 2012, Moody's Investors Service downgraded Euramax International, Inc.'s corporate family rating and probability of default rating to Caa2 from Caa1. The downgrade reflects Moody's expectation that the turmoil in global financial markets and weakness in Europe will continue to hamper Euramax's revenues and operating margins as well as weaken key credit metrics. As reported by the TCR on July 30, 2009, Standard & Poor's Ratings Services raised its ratings on Norcross, Georgia-based Euramax International Inc., including the long-term corporate credit rating, to 'B-' from 'D'. "The ratings upgrade reflects the company's highly leveraged, although somewhat improved, financial risk profile following a recent out-of-court restructuring," said Standard & Poor's credit analyst Dan Picciotto. "As a result of the restructuring, Euramax's second-lien debtholders received equity and about half of its new $513 million of first-lien debt is pay-in-kind, providing some cash flow benefit," he continued. EURAMAX HOLDINGS: Unit Launches $385 Million Notes Offering ----------------------------------------------------------- Euramax Holdings, Inc., announced that its wholly-owned subsidiary Euramax International, Inc. has commenced an offering of $385,000,000 aggregate principal amount of senior secured notes in a private placement that is exempt from the registration requirements of the Securities Act of 1933. The Notes will be guaranteed by Holdings and, subject to certain exceptions, by the Company's existing and any future U.S. subsidiaries. The Notes will be secured, subject to certain exceptions and permitted liens, on a first priority basis by the assets (other than inventory and accounts receivables and related assets, which assets secure the Company's senior asset-based credit facility on a first priority basis) of Holdings and each of the Company's U.S. subsidiaries and on a second priority basis by the assets that secures the Company's asset-based credit facility on a first priority basis. The Company intends to use the net proceeds from the offering of Notes to (i) redeem and repay in full its outstanding 9.50% senior secured notes due 2016, and (ii) pay fees and expenses related to the offering and related transactions. Any remaining proceeds will be available for general corporate purposes. Completion of the offering of Notes is conditioned upon customary closing conditions. In addition, the completion of the offering of Notes is conditioned upon the Company entering into an amendment to its existing senior unsecured loan facility in the aggregate principal amount of $125 million. On July 23, 2015, the Company and the lenders under the Senior Unsecured Loan Facility entered into an agreement in which the Lenders have agreed to support an amendment to the Senior Unsecured Loan Facility with terms including an extension of the maturity of the Senior Unsecured Loan Facility to 5.5 years after the closing date of the amendment, certain increases in the interest rate payable on amounts outstanding thereunder, and that not more than 2% interest may be paid in cash and the remainder shall be paid-in-kind until the Company meets certain financial tests. The obligations of the Lenders under the Support Agreement are subject to the satisfaction of certain conditions, including the completion of the offering of Notes. The Notes are being offered and will be sold only to "qualified institutional buyers" and outside the United States to persons other than U.S. persons in reliance upon Regulation S under the Securities Act. About Euramax Based in Norcross, Georgia, Euramax International, Inc., is a leading international producer of aluminum, steel, vinyl and fiberglass products for original equipment manufacturers, distributors, contractors and home centers in North America and Western Europe. The Company was acquired for $1 billion in 2005 by management and Goldman Sachs Capital Partners. Euramax Int'l has subsidiaries in Canada (Euramax Canada, Inc.), United Kingdom (Ellbee Limited and Euramax Coated Products Limited), and The Netherlands (Euramax Coated Products B.V.), and France (Euramax Industries S.A.). Euramax reported a net loss of $59.27 million in 2014, a net loss of $24.89 million in 2013 and a net loss of $36.76 million in 2012. Bankruptcy Warning "...[A]approximately $500 million of our outstanding indebtedness, under the Notes and the Senior Unsecured Loan Facility, is currently scheduled to mature between April 1 and October 1, 2016. Under the terms of our ABL Credit Facility, we are required to obtain an extension of the maturity of the debt that matures in 2016 to a date that is at least 90 days after March 1, 2018, which is the scheduled maturity date of the ABL Credit Facility. In the event that we do not refinance the debt or obtain such an extension on or before December 31, 2015, then the maturity date for our ABL Credit Facility will accelerate to January 31, 2016. Accordingly, we must complete a refinancing of those debt facilities and/or enter into an amendment to the terms of the Notes and the Senior Unsecured Loan Facility prior to the end of 2015. In order to do so, we must negotiate satisfactory agreements with the holders of the Notes and the lenders under the Senior Unsecured Loan Facility and/or obtain equity or debt financing on terms that are acceptable to the Company. There can be no assurance that the holders of the Notes or the lenders under the Senior Unsecured Loan Facility will agree to any such amendments or there can be no assurance that we can complete a refinancing prior to December 31, 2015, or that the terms of any such equity or debt financing would be acceptable to the Company. In the event that we are unable to obtain such amendments or extensions, or complete such refinancing, the Company would need to explore other alternatives, which could include a potential restructuring or reorganization under the bankruptcy laws," the Company states in its 2014 annual report. As of April 3, 2015, Euramax had $529 million in total assets, $733 million in total liabilities and a $204 million total shareholders' deficit. * * * As reported by the TCR on Dec. 13, 2012, Moody's Investors Service downgraded Euramax International, Inc.'s corporate family rating and probability of default rating to Caa2 from Caa1. The downgrade reflects Moody's expectation that the turmoil in global financial markets and weakness in Europe will continue to hamper Euramax's revenues and operating margins as well as weaken key credit metrics. As reported by the TCR on July 30, 2009, Standard & Poor's Ratings Services raised its ratings on Norcross, Georgia-based Euramax International Inc., including the long-term corporate credit rating, to 'B-' from 'D'. "The ratings upgrade reflects the company's highly leveraged, although somewhat improved, financial risk profile following a recent out-of-court restructuring," said Standard & Poor's credit analyst Dan Picciotto. "As a result of the restructuring, Euramax's second-lien debtholders received equity and about half of its new $513 million of first-lien debt is pay-in-kind, providing some cash flow benefit," he continued. EURAMAX INTERNATIONAL: Moody's Affirms 'Caa2' Corp. Family Rating ----------------------------------------------------------------- Moody's Investors Service affirms Euramax International, Inc.'s Caa2 Corporate Family Rating ("CFR") following the company's announcement that it will issue 5-year $385 million senior secured notes due 2020. The proposed senior secured notes will be used to refinance Euramax's existing 9.5% senior secured notes due April 2016. Moody's assigns a Caa2 rating on the proposed notes. Moody's acknowledges positive momentum in Euramax's key credit metrics and expects continued recovery in the next 12 to 18 months. The outlook remains Stable. The following ratings will be affected by this action: Corporate Family Rating affirmed Caa2 Probability of Default Rating affirmed Caa2-PD Proposed 5-year $385 million Senior Secured Notes assigned Caa2 (LGD3) Outlook remains Stable RATINGS RATIONALE Moody's views the proposed $385 million senior secured notes as a credit positive for Euramax. The existing senior secured notes come due April 2016, and -absent the proposed transaction- Euramax could be facing a potential liquidity crunch. Euramax is starting to show signs of operational recovery. However, the company's Caa2 CFR is constrained by its high debt coupled with weak interest coverage. Additionally, Euramax's negative cash flow generation remains a concern for Moody's. Euramax brought in a new management team in 1Q 2014, which laid out a series of growth and efficiency initiatives that are starting to have a positive impact. As part of these initiatives, the company is seeking to refinance its existing senior secured notes ($375 million) with a new set of senior secured notes. This refinancing would allow Euramax to improve its liquidity profile in the near term. Euramax is also extending the maturity of its $125 million senior unsecured loan facility to December 2020. We have assigned a Caa2 rating to the proposed senior secured notes given Euramax's strong market position in its segments, its high level of product assortment as well as its diversified and long-standing customer base. We anticipate Euramax to be able to follow through on its business plan since the last three quarters have shown consistent, albeit slight, improvement. The Stable outlook incorporates our view that Euramax's debt credit metrics will be supportive of the Caa2 CFR. Moody's view Euramax's liquidity as limited as the company may not be able to generate sufficient cash to service its debt. Free cash flows were in deficit in FY 2014 (-$10 million), and the company will continue to be highly dependent upon its $70 million ABL credit facility (unrated). Euramax's ability to borrow under the ABL credit facility will be impacted by its compliance with its financial covenants as well as the size of its borrowing base. As of December 31, 2014, Euramax had $124 million outstanding under the senior unsecured loan (unrated) and $35.6 million outstanding under the ABL credit facility with $2.1 million in cash and cash equivalents. Euramax's replacement of its $375 million senior secured notes --currently maturing in April 2016- with the proposed notes would push the company's next major maturity out 5 years. As part of the refinancing transaction, Euramax will also extend the maturity of its existing $125 million senior unsecured loan (currently due in October 2016) beyond the tenor of the proposed senior secured notes. This extension should provide additional cushion in terms of liquidity and improve Euramax's maturity profile. What could change the rating -- Up: An upgrade for Euramax would be possible if operating performance results in metrics that validate our forward-looking analysis, such that EBITA/Interest expense is sustained above 1.0x with adjusted Debt/EBITDA approaching 6.25x (all ratios incorporate Moody's standard adjustments). The successful execution of Euramax's refinancing would also provide the company with a better liquidity profile and reduction in balance sheet debt. These events could support positive rating actions. What could change the rating -- Down: A downgrade could ensue if actions taken by Euramax fail to improve operating performance such that adjusted EBITA/Interest expense trends towards 0.5x and adjusted Debt/EBITDA approaching 8.0x. Failure to execute on the extension of the proposed Senior Secured Notes and the existing Senior Unsecured Loan could result in negative rating action as well. Corporate Profile: Headquartered in Norcross, Georgia, Euramax International, Inc. is a leading manufacturer of metal and vinyl products sold mainly in North America and Europe. Euramax's more than 10,000 products are sold to the residential repair and remodel, commercial construction and recreational vehicle markets through a network of 35 facilities (29 in the United States, one in Canada and five in Europe). The company is effectively controlled by Highland Capital Management. In FY 2014, Euramax generated $854.7 million of revenue and $47.1 million of Moody's Adjusted EBITDA. All our calculations include Moody's standard adjustments. EXELIXIS INC: Signs Underwriting Agreement with Cowen and Company ----------------------------------------------------------------- Exelixis, Inc., on July 23, 2015, entered into an underwriting agreement with Cowen and Company, LLC, William Blair & Company, L.L.C. and Stifel, Nicolaus & Company, Incorporated relating to the offering, issuance and sale of 25,000,000 shares of the Company's common stock, par value $0.001 per share. Pursuant to the Underwriting Agreement, the Underwriters have agreed to purchase the shares of common stock from the Company at a price of $5.076 per share, which will result in $126.9 million of proceeds to the Company before deducting offering expenses. The offering is expected to close on or about July 29, 2015, subject to customary closing conditions. The shares of common stock will be listed on The NASDAQ Global Select Market. The Underwriters have a 30-day option to purchase up to an additional 3,750,000 shares of common stock. All of the shares in the offering are being sold by the Company. Exelixis, in a preliminary prospectus to be used in connection with a public offering of shares of its Common Stock, disclosed that, although it has not finalized its consolidated financial statements for the quarter ended July 3, 2015, it expects to report that it had $167 million of cash and investments as of July 3, 2015, which included $76.6 million available for operations, $6.1 million of short-term restricted investments for public debt service obligations, $81.6 million of compensating balance investments that it is required to maintain on deposit with Silicon Valley Bank, and $2.7 million of long-term restricted investments. About Exelixis Inc. Headquartered in South San Francisco, California, Exelixis, Inc., develops innovative therapies for cancer and other serious diseases. Through its drug discovery and development activities, Exelixis is building a portfolio of novel compounds that it believes has the potential to be high-quality, differentiated pharmaceutical products. Exelixis reported a net loss of $269 million on $25.1 million of total revenues for the year ended Dec. 31, 2014, compared with a net loss of $245 million on $31.3 million of total revenues in 2013. As of March 31, 2015, the Company had $283 million in total assets, $430 million in total liabilities and a $147 million total stockholders' deficit. FAMILY CHRISTIAN: Has Until Oct. 9 to File Chapter 11 Plan ---------------------------------------------------------- The U.S. Bankruptcy Court for the Western District of Michigan entered an order extending Family Christian, LLC, et al.'s exclusive period to propose a chapter 11 plan until Oct. 9, 2015, and the period to solicit acceptances for that plan until Dec. 8. About Family Christian Family Christian Holding, LLC, is the sole owner and member of Family Christian, LLC, which operates and runs Family Christian stores, one of the largest retail sellers of Christian books, music, DVDs, church supplies, and other faith based merchandise. Family Christian, LLC, Family Christian Holding, LLC, and FCS Giftco, LLC, filed Chapter 11 bankruptcy petitions (Bankr. W.D. Mich. Lead Case No. 15-00643) on Feb. 11, 2015. The petition was signed by Chuck Bengochea as president and CEO. The Debtors estimated assets and liabilities of $50 million to $100 million. The Debtors are being represented by Todd Almassian, Esq., at Keller & Almassian PLC, and Erich Durlacher, Esq., Brad Baldwin, Esq., Bryan Glover, Esq., at Burr & Forman LLP as counsel. The U.S. Trustee for Region 9 appointed seven creditors of Family Christian LLC to serve on the official committee of unsecured creditors. FDD ENTERPRISES: Court Awards $131K to Parking Attendant -------------------------------------------------------- Judge George B. Daniels of the United States District Court for Southern District of New York awarded $131,287 to a parking attendant at a garage owned by FDD Enterprises, Inc., for unpaid overtime and liquidated damages. Dossou Gallie Pinovi alleges that FDD Enterprises and Ali Dar violated the Fair Labor Standards Act and the corresponding provisions of the New York State Labor Law by insufficiently compensating him for his work as a parking attendant at the garage that the Defendants owned. Judge Daniels concluded that in light of Dar's willful violations of the FLSA and NYLL, Mr. Pinovi is entitled to unpaid overtime under the FLSA and NYLL in the amount of $65,643, and liquidated damages under the FLSA in the amount of $65,643, for a total of $131,287. The Plaintiff, according to Judge Daniels, is also entitled to post-judgment interest after the Clerk of the Court has entered the judgment in the present case. The case is DOSSOU GALLIE PINOVI a/k/a GALLIE DOSSOU, Plaintiff, v. FDD ENTERPRISES, INC. and ALI DAR, Defendants, Case No. 13 CIV. 2800 (GBD)(KNF), (S.D.N.Y.). The bankruptcy case is In re FDD Enterprises Inc., Case No. 15-11326 (Bankr. S.D.N.Y.). The Chapter 11 Petition was filed on May 21, 2015. The Debtor is represented by Robert A. Chapnick, Esq., at Chapnick & Associates, P.C. A full-text copy of Judge George B. Daniels' Memorandum Decision and Order dated July 8, 2015 available at http://is.gd/rKryMQfrom Leagle.com. Michael Timothy Carr, Esq., of Michael T. Carr, Esq., PLLC serves as counsel for Plaintiff Dossou Gallie Pinovi. Robert Alan Chapnick, Esq., of Chapnick & Associates, PC serves as counsel for Defendant FDd Enterprises, Inc. FESTIVAL TRANSACTION: Case Summary & 20 Top Unsecured Creditors --------------------------------------------------------------- Debtor: Festival Transaction Services Inc 469 14th Avenue San Francisco, CA 94118 Case No.: 15-14473 Chapter 11 Petition Date: July 23, 2015 Court: United States Bankruptcy Court Western District of Washington (Seattle) Judge: Hon. Timothy W. Dore Debtor's Counsel: Darrel B Carter, Esq. CBG Law Group PLLC 11100 NE 8th St Ste 380 Bellevue, WA 98004 Tel: 425-283-0432 Email: Darrel@cbglaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Christopher R. Haigh, CEO. A list of the Debtor's 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/wawb15-14473.pdf FLINTKOTE COMPANY: F. Banks, et al., Prevented from Intervening --------------------------------------------------------------- Judge Mary F. Walrath of the U.S. Bankruptcy Court for the District of Delaware denies the motion filed by Frederick Banks, James J. Loughner, Wayne R. Albright, Desa J. Hooter, Amber Lambert, Jamie Pauley, Sandra Starr, and Ann Arias, to intervene as creditors in the Chapter 11 cases of The Flintkote Company and Flintkote Mines Limited. The Debtors' counsel, Laura Davis Jones, Esq., at Pachulski, Stang, Ziehl & Jones LLP, in Wilmington, Delaware, tells the Court that a PACER search revealed that in the last few months alone, the movants had filed a number of similar motions to intervene in various cases in federal courts, many of which have been determined to be frivolous and/or summarily rejected. Ms. Jones further tells the Court that before the movants filed their motion, neither the debtors nor their officers had ever heard of their alleged interest in the chapter 11 cases. She believes that cause to intervene in the cases simply does not exist. The Flintkote Company and Flintkote Mines Limited are represented by: Kevin T. Lantry, Esq. Christina M. Craige, Esq. Helena G. Tseregounis, Esq. SIDLEY AUSTIN LLP 555 West Fifth Street, Suite 4000 Los Angeles, California 90013 Telephone: (213)896-6000 Facsimile: (213)896-6600 Email: klantry@sidley.com ccraige@sidley.com htseregounis@sidley.com About The Flintkote Company Headquartered in San Francisco, California, The Flintkote Company is engaged in the business of manufacturing, processing anddistributing building materials. Flintkote Mines Limited is asubsidiary of Flintkote Company and is engaged in the mining ofbase-precious metals. The Flintkote Company filed for Chapter 11protection (Bankr. D. Del. Case No. 04-11300) on April 30, 2004.Flintkote Mines Limited filed for Chapter 11 relief (Bankr. D.Del. Case No. 04-12440) on Aug. 25, 2004. Kevin T. Lantry, Esq., Jeffrey E. Bjork, Esq., Dennis M. Twomey, Esq., Jeremy E.Rosenthal, Esq., and Christina M. Craige, Esq., at Sidley Austin, LLP, in Los Angeles; James E. O'Neill, Esq., and Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington, Del., represent the Debtors in their restructuring efforts. Elihu Inselbuch, Esq., at Caplin & Drysdale, Chartered, in NewYork, N.Y.; Peter Van N. Lockwood, Esq., Ronald E. Reinsel, Esq.,at Caplin & Drysdale, Chartered, in Washington, D.C.; and PhilipE. Milch, Esq., at Campbell & Levine, LLC, in Wilmington, Del., represent the Asbestos Claimants Committee as counsel. James J. McMonagle, is the legal representative for futureclaimants. The FCR has retained Dr. Timothy Wyant as claims evaluation consultant. The FCR is represented by James L. Patton,Jr., Esq., and Edwin J. Harron, Esq., at Young Conaway Stargatt & Taylor, LLP; and Reginald W. Jackson, Esq., at Vorys, Sater, Seymour & Pease LLP. When Flintkote filed for protection from its creditors, it estimated more than $100 million each in assets and debts. When Flintkote Mines Limited filed for protection from its creditors, it estimated assets of $1 million to $50 million, and debts of more than $100 million. The Debtors' Chapter 11 cases have been re-assigned to Judge Mary F. Walrath in line with the retirement of former Bankruptcy Judge Judith Fitzgerald. * * * Judge Mary F. Walrath of the U.S. Bankruptcy Court for the District of Delaware has approved the disclosure statement explaining the modified confirmed amended joint plan of reorganization filed by The Flintkote Company and Flintkote Mines Limited, and allowed the Debtors to resolicit the votes of holders of claims in the eligible classes with regard to the Plan. Thereafter, the Debtors have modified their confirmed plan to incorporate the terms ofa comprehensive settlement with its parent, Imperial Tobacco Canada Limited, f/k/a Imasco Limited (Canada). Objections to the confirmation of the Plan were due July 8, 2015. The confirmation hearing will commence on Aug. 10, 2015, at 10:30 a.m. (ET). FORTESCUE METALS: Bank Debt Trades at 17% Off --------------------------------------------- Participations in a syndicated loan under which Fortescue Metals Group Corp. is a borrower traded in the secondary market at 83.57 cents-on-the- dollar during the week ended Friday, July 17, 2015, according to data compiled by LSTA/Thomson Reuters MTM Pricing and reported in the July 23, 2015, edition of The Wall Street Journal. This represents a decrease of 0.89 percentage points from the previous week, The Journal relates. Fortescue Metals Group Corp. pays 275 basis points above LIBOR to borrow under the facility. The bank loan matures on June 13, 2019, and carries Moody's Ba1 rating and Standard & Poor's BB+ rating. The loan is one of the biggest gainers and losers among 234 widely quoted syndicated loans with five or more bids in secondary trading for the week ended July 17. FOUNDATION HEALTHCARE: Roy Oliver Reports 10.4% Stake as of July 15 ------------------------------------------------------------------- Roy T. Oliver disclosed in a Schedule 13G filed with the Securities and Exchange Commission on July 15, 2015, that he beneficially owns 1,792,596 shares, including the 1,744,492 shares beneficially owned by Oliver Company Holdings, LLC, over which he has voting and dispositive power. The amount represents 10.4 percent of the shares outstanding. A copy of the regulatory filing is available at http://is.gd/U6GBVe About Foundation Healthcare Oklahoma-based Foundation Healthcare is a healthcare services company primarily focused on owning controlling interests in surgical hospitals and the inclusion of ancillary service lines. The Company currently owns controlling and noncontrolling interests in surgical hospitals located in Texas. The Company also owns noncontrolling interests in ambulatory surgery centers ("ASCs") located in Texas, Oklahoma, Pennsylvania, New Jersey, Maryland and Ohio. Additionally, the Company provides sleep testing management services to various rural hospitals in Iowa, Minnesota, Missouri, Nebraska and South Dakota under management contracts with the hospitals. The Company provides management services to a majority of its Affiliates under the terms of various management agreements. Prior to Dec. 2, 2013, the Company's name was Graymark Healthcare, Inc. Foundation Healthcare reported a net loss attributable to the Company common stock of $2.09 million on $101.9 million of revenues for the year ended Dec. 31, 2014, compared to a net loss attributable to the Company common stock of $20.4 million on $87.2 million of revenues in 2013. As of March 31, 2015, the Company had $58.1 million in total assets, $66.3 million in total liabilities, $8.70 million in preferred noncontrolling interest and a $16.9 million total deficit. Hein & Associates LLP, in Denver, Colorado, issued a "going concern" opinion in its report on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company had insufficient working capital as of Dec. 31, 2014, to fund anticipated working capital needs over the next twelve months. FRAC TECH: Bank Debt Trades at 26% Off -------------------------------------- Participations in a syndicated loan under which Frac Tech Services Ltd is a borrower traded in the secondary market at 74.21 cents-on-the- dollar during the week ended Friday, July 17, 2015, according to data compiled by LSTA/Thomson Reuters MTM Pricing and reported in the July 23, 2015, edition of The Wall Street Journal. This represents a decrease of 0.49 percentage points from the previous week, The Journal relates. Frac Tech Services Ltd. pays 475 basis points above LIBOR to borrow under the facility. The bank loan matures on April 3, 2021, and carries Moody's B2 rating and Standard & Poor's B rating. The loan is one of the biggest gainers and losers among 234 widely quoted syndicated loans with five or more bids in secondary trading for the week ended July 17. FRANKLIN PIERCE: Moody's Withdraws 'Caa3' Rating on 1998/2004 Bonds ------------------------------------------------------------------- Moody's Investors Service has withdrawn Franklin Pierce University's (NH) Caa3 rating and negative outlook on the Series 1998 and 2004 revenue bonds issued through the New Hampshire Health and Education Facilities Authority. FRATERFOOD SERVICE: Court Dismisses Suit vs. DDR Del Sol -------------------------------------------------------- Judge Brian K. Tester of the United States Bankruptcy Court for the District of Puerto Rico dismissed the adversary proceeding captioned FRATERFOOD SERVICE, INC., Plaintiff, v. DDR DEL SOL, LLC, S.E., Defendant, ADVERSARY NO. 15-00011 BKT (Bankr. D.P.R.). After the bankruptcy court entered an order granting the rejection of a lease agreement between Fraterfood Service, Inc., and DDR Del Sol, LLC, DDR filed a Motion for Prompt Payment of Post-Petition, Pre-Rejection Rent Claim on December 8, 2014. In response or as an objection to DDR's payment motion, Fraterfood initiated an adversary proceeding, charging DDR with illegally withholding what it deemed to be property of the estate, consisting of the building, the leased premises' exhaust system, and the leased premises' power generator. Judge Tester held that Fraterfood failed to establish an estate interest upon the building and improvements. In the Lease Agreement, which Judge Tester held should determine the rights of the parties, it was agreed that the improvements, including the building and, more specifically, all electrical fixtures and equipment installed therein, automatically attached to the freehold, became part of the leased premises and, in turn, property of DDR. Judge Tester also agreed with DDR's argument that the legal basis for Fraterfood's Complaint is not supported by existing law and that, furthermore, it was filed for improper purposes, mainly, that of forestalling DDR's collection of its PPPR. Fraterfood's counsel was sanctioned for undertaking actions constituting dilatory litigation. The request for sanctions against Fraterfood, was however, denied. The bankruptcy case is IN RE: FRATERFOOD SERVICE, INC., Chapter 11, Debtor, CASE NO. 14-00002 BKT (Bankr. D.P.R.). A full-text copy of Judge Tester's July 16, 2015 opinion and order is available at http://is.gd/m0p6JCfrom Leagle.com. FREEDOM INDUSTRIES: Court Approves WVDEP/Chemstream Settlement -------------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of West Virginia authorized Freedom Industries, Inc. to enter into a settlement agreement with the West Virginia Department of Environmental Protection (WVDEP), Chemstream Holdings, Inc. and certain other third party plaintiffs, for the remediation of the Etowah River Terminate site. The Settlement Agreement provides the funds necessary to properly complete the remediation of the Etowah River Terminal site in accordance with WVDEP standards, which is extremely important to the Official Committee of Unsecured Creditors. The approval of the Settlement Agreement also enables the Debtor to confirm and implement the Amended Plan of Liquidation. The confirmation of the Amended Plan allows certain creditor groups, including Spill Claimants with claims of $3,000 or less, to receive distributions from the estate in a relatively quick order, according to Douglas L. Lutz, Esq., at Frost Brown Todd LLC, in Cincinnati, Ohio. The Settlement has the support of the Creditors' Committee. ARCADIS' Reply Before the Court entered it ruling, ARCADIS U.S., Inc. filed a reply alleging that the Debtor's Settlement Motion provides that payment of all fees and expenses of ARCADIS or an Alternative WVDEP Contractor from the ERT Remediation Fund shall be subject to the terms and provisions of a progress payment plan, in form and substance acceptable to WVDEP. On behalf of ARCADIS, Joe M. Supple, Esq., of Supple Law Office PLLC, argued that this provision deviates from the current Court approved engagement of ARCADIS which is based upon time and material invoiced monthly. Mr. Supple further contended that the terms of the Settlement provide WVDEP with ultimate authority to approve the method of payment of any contractor engaged to complete remediation. Mr. Supple said ARCADIS does not object to the settlement agreement; rather, its response is filed to provide notice to the Court and interested parties of the absence of a final engagement agreement between the Debtor and ARCADIS approved by WVDEP. Mr. Supple also stated that included within the Chemstream/WVDEP Settlement is specific mention of funding in the amount of $188,000 for payment of outstanding ARCADIS fees and expenses through April 2015. He tells the Court that in the event that ARCADIS is not engaged to provide ongoing services, any approved fees and expenses of ARCADIS must be addressed in the Debtor's plan or otherwise by order of the Court. Mr. Supple noted that the Plan as proposed by the Debtor does not contemplate payment of ARCADIS fees and expenses other than through the ERT fund. In its Order, the Bankruptcy Court held that the settlement documented by the Settlement Agreement shall be effective upon the date on which the Debtor files with the Bankruptcy Court a pleading and accompanying documentation, including a signed engagement agreement, that expands the scope of the current retention of ARCADIS or retains an Alternative WVDEP Contractor acceptable to WVDEP. The Official Committee of Unsecured Creditors is represented by: FROST BROWN TODD LLC Douglas L. Lutz, Esq. Ronald E. Gold, Esq. 3300 Great American Tower 301 East 4th Street Cincinnati, OH 45202 Telephone: (513)651-6800 Facsimile: (513)651-6981 Email: rgold@fbtlaw.com dlutz@fbtlaw.com -- and -- Jared M. Tulley, Esq. FROST BROWN TODD LLC 500 Lee Street East Suite 401 Charleston, West Virginia 25301 Telephone: (304)348-2404 Facsimile: (304)345-0115 Email: jtully@fbtlaw.com ARCADIS U.S., Inc. is represented by: SUPPLE LAW OFFICE PLLC Joe M. Supple, Esq. 801 Viand Street Point Pleasant, WV 25550 Telephone: (304)675-6249 Email: joe.supple@supplelaw.net About Freedom Industries Freedom Industries Inc. is engaged principally in the business of producing specialty chemicals for the mining, steel and cement industries. The Debtor operates two production facilities located in (a) Nitro, West Virginia; and (b) Charleston, West Virginia. The company, connected to a chemical spill that tainted the water supply in West Virginia, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. W.Va. Case No. 14-bk-20017) on Jan. 17, 2014. The case is assigned to Judge Ronald G. Pearson. The petition was signed by Gary Southern, president. The Debtor is represented by Mark E Freedlander, Esq., at McGuire Woods LLP, in Pittsburgh, Pennsylvania; and Stephen L. Thompson, Esq., at Barth & Thompson, in Charleston, West Virginia. On Dec. 31, 2013, four companies merged under the umbrella of Freedom Industries: Freedom Industries Inc., Etowah River Terminal LLC, Poca Blending LLC and Crete Technologies LLC. As reported in the Troubled Company Reporter on Feb. 20, 2014, Kate White, writing for The Charleston Gazette, reported that the Debtor disclosed $16 million in assets and $6 million in liabilities when it filed for bankruptcy. On Feb. 5, 2014, the U.S. Trustee appointed an official committee of unsecured creditors. The Committee retained Frost Brown Todd LLC as counsel. On March 18, 2014, the Bankruptcy Court approved the hiring of Mark Welch at Morris Anderson in Chicago as Freedom's chief restructuring officer. * * * U.S. Bankruptcy Judge Ronald Pearson on May 13, 2015, entered an order denying Freedom Industries Inc.'s bid to move forward with its Plan of Liquidation dated April 30, 2015. The judge sustained the objection of the West Virginia Department of Environmental Protection ("WVDEP"), which strongly took issue with the Plan's treatment of environmental remediation and argued that the Plan did not provide for adequate funding in that regard. The Plan is a result of negotiations with: (a) the Official Committee of Unsecured Creditors, which is comprised of trade creditors, spill claim creditors and the West Virginia-American Water Company ("WVAWC"), (b) counsel to certain class action claimants, including those representing parties in what is referred to in the Plan as the Bar 101 Case and the Good Case, (c) the current equity owner of the Debtor and affiliated parties, (d) Gary Southern and affiliated parties, (e) Dennis Farrell, William Tis and Charles Herzing and their respective affiliated parties, who collectively are the former owners and board members of Freedom. However, absent from the list of parties coming to affirmative agreement under the Plan was the WVDEP. FREEDOM INDUSTRIES: Prosecutors Seek Guilty Plea Hearing for Execs ------------------------------------------------------------------ The Associated Press reported that federal prosecutors are asking a judge to schedule a guilty plea hearing for the top executive charged in a massive chemical spill last year. According to the report, in Charleston on July 22, prosecutors filed the request for former Freedom Industries President Gary Southern's hearing. Southern faces federal pollution and bankruptcy fraud charges, the report recalled. About Freedom Industries Freedom Industries Inc. is engaged principally in the business of producing specialty chemicals for the mining, steel and cement industries. The Debtor operates two production facilities located in (a) Nitro, West Virginia; and (b) Charleston, West Virginia. The company, connected to a chemical spill that tainted the water supply in West Virginia, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. W.Va. Case No. 14-bk-20017) on Jan. 17, 2014. The case is assigned to Judge Ronald G. Pearson. The petition was signed by Gary Southern, president. The Debtor is represented by Mark E Freedlander, Esq., at McGuire Woods LLP, in Pittsburgh, Pennsylvania; and Stephen L. Thompson, Esq., at Barth & Thompson, in Charleston, West Virginia. On Dec. 31, 2013, four companies merged under the umbrella of Freedom Industries: Freedom Industries Inc., Etowah River Terminal LLC, Poca Blending LLC and Crete Technologies LLC. As reported in the Troubled Company Reporter on Feb. 20, 2014, Kate White, writing for The Charleston Gazette, reported that the Debtor disclosed $16 million in assets and $6 million in liabilities when it filed for bankruptcy. On Feb. 5, 2014, the U.S. Trustee appointed an official committee of unsecured creditors. The Committee retained Frost Brown Todd LLC as counsel. On March 18, 2014, the Bankruptcy Court approved the hiring of Mark Welch at MorrisAnderson in Chicago as Freedom's chief restructuring officer. * * * U.S. Bankruptcy Judge Ronald Pearson on May 13, 2015, entered an order denying Freedom Industries Inc.'s bid to move forward with its Plan of Liquidation dated April 30, 2015. The judge sustained the objection of the West Virginia Department of Environmental Protection ("WVDEP"), which strongly took issue with the Plan's treatment of environmental remediation and argued that the Plan did not provide for adequate funding in that regard. The Plan is a result of negotiations with: (a) the Official Committee of Unsecured Creditors which is comprised of trade creditors, spill claim creditors and the West Virginia-American Water Company ("WVAWC"), (b) counsel to certain class action claimants, including those representing parties in what is referred to in the Plan as the Bar 101 Case and the Good Case, (c) the current equity owner of the Debtor and affiliated parties, (d) Gary Southern and affiliated parties, (e) Dennis Farrell, William Tis and Charles Herzing and their respective affiliated parties, who collectively are the former owners and board members of Freedom. However, absent from the list of parties coming to affirmative agreement under the Plan was the WVDEP. GENESYS RESEARCH: Hires Parker & Associates as Counsel ------------------------------------------------------ GeneSys Research Institute, Inc. seeks authorization from the U.S. Bankruptcy Court for the District of Massachusetts to employ Parker & Associates as counsel, effective July 14, 2015. The Debtor requires Parker & Associates to: (a) provide legal advice with respect to the Debtor's powers and duties as debtor-in-possession in the continued operation of its business; (b) prepare on behalf of the Debtor necessary applications, schedules of assets and liabilities, statement of financial affairs, motions, answers, orders, reports and other legal papers; (c) appear in and to protect the interests of the Debtor before this Court; (d) negotiate, prepare and seek confirmation of a Chapter 11 plan and sale of assets; (e) represent the Debtor in litigation matters before the Court; and (f) perform all other legal services for the Debtor which may be necessary and proper in the Chapter 11 case. Parker & Associates will be paid at these hourly rates: Nina M. Parker $395 Associates $275-$305 Paralegals $150 Parker & Associates will also be reimbursed for reasonable out-of-pocket expenses incurred. Prior to the petition date, the Debtor made payments to Parker & Associates on account of services rendered or to be rendered. The firm received funds from the Debtor in the amount of $10,000 prior to the petition date for prepetition services, plus $2,000 fro the filing fee and other out of pocket expenses incurred in contemplation of the filing. Nina M. Parker, founder of Parker & Associates, 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. Parker & Associates can be reached at: Nina M. Parker, Esq. PARKER & ASSOCIATES 10 Converse Place Suite 2 Winchester, MA 01890 Tel: (781) 218-3487 Fax: (781) 729-0187 GeneSys Research Institute, Inc. filed a Chapter 11 bankruptcy petition (Bankr. D. Mass Case No. 15-12794) on July 14, 2015. The petition was signed by Robert Stemple, clerk and treasurer. Parker & Associates serves as the Debtor's counsel. The Debtor estimated assets of $10 million to $50 million and liabilities of at least $1 million. The case is assigned to Judge Joan N. Feeney. GENUTEC BUSINESS: Plan Confirmation Hearing Set for Aug. 18 ----------------------------------------------------------- The bankruptcy court hearing to consider confirmation of Genutec Business Solutions, Inc.'s First Amended Plan is set for Aug. 18, 2015 at 10:30 a.m. Objections to the Disclosure Statement or Plan were due July 24, 2015. The Plan will be funded by the revenues of operating subsidiary Rapid Notify, Inc. Payments will be made on a monthly basis pro rata to the unsecured creditors except that Debtor, in its' sole discretion, may elect to prepay the entire year's payments in December for the upcoming year if funds are available. Years of litigation against current and former board members led to the Debtor's bankruptcy filing. Litigation resulted in verdicts in Genutec's favor against Leon Danna and Johan Hebdrick Smit Duyzentkujnst. In the same litigation, the Debtor was not successful against creditors Lawnae Hunter and Michael Taus resulting in the awards that led to this filing and eventual settlement. Former directors Hunter and Taus have combined unsecured claims of $3,443,702. Another entity, Merrill Corp, has an unsecured claim for $154,409. The Debtor filed a plan that proposes to treat claims and interests as follows: * Secured creditors Seaview Mezzanine Fund, LP POC 9 (secured by a first lien and ownership interest of 38.2%) and TICC Capital Corp. (secured by second lien and 58.5% ownership interest) are not impaired as they have no arrangement for ongoing payments on their initial investments. If and when Debtor becomes profitable, which presumably will be after the current claims are paid, TICC and Seaview would be entitled to share in the profits. * The Debtor proposes three alternative plans to pay unsecured debt: -- Alternative 1: On the Effective Date Debtor will make a lump sum payment of $750,000.00 to be distributed to Hunter and Taus pro-rata for their undisputed allowed claims which is 20.8%. Merrill will also receive a lump sum payment of 20.8% of its claim which comes to $32,116.98. Following this distribution, the Debtor will be permitted to file for a final decree, discharge and closure. -- Alternative 2: If the Debtor cannot obtain financing to fund a lump sum payment on the Effective Date, the Debtor will pay the unsecured creditors $1,251,600 over 8 years at $12,500 a month with a balloon payment of $51,600 at the end of year 8. Under this alternative, including the balloon payment, Hunter would receive $809,285. Taus would receive $388,497. Merrill would receive $53,819. Payments are to begin on the 30th day after the Court signs the Order Confirming the Chapter 11 Plan. -- Alternative 3: As an incentive to pay the debt early, Creditors have offered a discount off the unpaid balance for an early payoff according to the following schedule: If the debt is paid in full during: * Year 1: 25% * Year 2: 22% * Year 3: 19% * Year 4: 16% * Year 5: 13% * Year 6: 10% * Year 7: 7% The major creditors have indicated that each of the three alternatives are acceptable to each of them and should be incorporated into what will be a consensual plan. * Interest holders will be treated as follows: Seaview will retain its 38.2% ownership interest in Debtor and retain its first position. TICC will retain its' 58.5% ownership interest in Debtor and retain its' second position. The minority shareholders as a group will retain their 2.3% ownership interest in Debtor. A copy of the Disclosure Statement is available for free at: http://bankrupt.com/misc/Genutec_Biz_Plan_DS.pdf About Genutec Business Solutions Genutec Business Solutions, Inc., is a holding company, and the parent of subsidiary Rapid Notify, Inc. Rapid has approximately 148 active contracts with government related entities to notify their subscribers in the event of emergencies. 58.5% of its' stock is owned by TICC Capital Corp., an investment company that holds a second lien on any assets, and 39.2% of the stock is owned by Seaview Mezzanine Fund, LP which holds a first lien on any assets. Genutec filed a Chapter 11 bankruptcy petition (Bankr. C.D. Cal. Case No. 14-13115) in Santa Ana, Georgia, on May 16, 2014. David Montoya signed the petition as director. Judge Erithe A. Smith presides over the case. The Debtor disclosed assets of $12,851,544 and liabilities of $11,529,199. Michael R Totaro, Esq., at Totaro & Shanahan, in Pacific Palisades, California, acts as bankruptcy counsel. The U.S. Trustee for Region 16 appointed three creditors to serve on the official committee of unsecured creditors. GETTY IMAGES: Bank Debt Trades at 27% Off ----------------------------------------- Participations in a syndicated loan under which Getty Images Inc. is a borrower traded in the secondary market at 73.08 cents-on-the-dollar during the week ended Friday, July 17, 2015, according to data compiled by LSTA/Thomson Reuters MTM Pricing and reported in the July 23, 2015, edition of The Wall Street Journal. This represents an increase of 0.79 percentage points from the previous week, The Journal relates. Getty Images Inc. pays 350 basis points above LIBOR to borrow under the facility. The bank loan matures on October 14, 2019, and carries Moody's B2 rating and Standard & Poor's B- rating. The loan is one of the biggest gainers and losers among 234 widely quoted syndicated loans with five or more bids in secondary trading for the week ended July 17. GLC LIMITED: Hybrid "Good Faith" Test Adopted in Suit vs. Hunter ---------------------------------------------------------------- Judge Timothy S. Black of the United States District Court for Southern District of Ohio, Western Division, adopts the three-step hybrid objective-subjective test in determining "good faith" under Sections 548(c) and 550(b) of the Bankruptcy Code in the consolidated adversary proceedings that arose from a Ponzi scheme perpetrated by the former principals of GLC Limited. The issue to be tried in the case is whether Defendants Hunter Miller Family, LLC, et al., can establish their defenses to the avoidance powers of the Plan Administrator per Section 548(a)(1)(A) by satisfying the elements of Sections 548(c) and 550(b). To establish a statutory defense under either section, the Defendants are required to show that the transfers were taken "for value" and "in good faith." The adversary proceeding is GLC LIMITED, Plaintiff, v. HUNTER MILLER FAMILY, LLC, et al., Defendants, Case No. 1:15-CV-23, (S.D. Ohio). A full-text copy of Judge Black's Order dated July 10, 2015, available at http://is.gd/IO8FH9from Leagle.com. James C. Frooman, Esq. -- jfrooman@fbtlaw.com -- and Ryan Steven Lett, Esq. -- rlett@fbtlaw.com -- of Frost Brown Todd LLC serve as counsel for Plaintiff GLC Limited. Andrew Michael Simon, Esq. -- andrew.simon@squirepb.com -- of Squire Patton Boggs (US) LLP -- Stephen D. Lerner, Esq. -- stephen.lerner@squirepb.com -- of Squire Sanders and Armando J. Rosell, Esq. -- rosell@lawokc.com -- of Mulinix Edwards Rosell & GoerkerPLLC serve as counsel for Defendant Hunter Miller Family LLC. GLYECO INC: Signs Employment Agreement with CFO ----------------------------------------------- GlyEco, Inc., entered into an employment and consulting agreement with the Company's chief financial officer, Alicia Williams Young. Pursuant to the Agreement, Ms. Williams Young will serve full-time as the Company's Chief Financial Officer through Aug. 15, 2015, during which time she will be responsible for the preparation and filing of the Company's Form 10-Q filing for the fiscal quarter ended June 30, 2015. For the remainder of August, Ms. Williams Young will serve as a full-time consultant to the Company, and for the month of September, she will work 30 hours per week. As a consultant, she will provide guidance regarding the Company's accounting and IT activities. The Agreement terminates on Sept. 30, 2015. In consideration for her services, the Company will compensate Ms. Williams Young with monthly compensation of $10,000 per month through Aug. 31, 2015, and $7,500 per month through Sept. 30, 2015. During the month of September, any hours in excess of 30 hours per week will be billed at $250 per hour. Upon the successful completion of Ms. Williams Young's engagement, she will be issued 30,000 shares of restricted stock valued as of the effective date of the agreement. Additionally, all of Ms. Williams Young's vested stock options and warrants will remain exercisable for a term of one year following the termination of the agreement. About GlyEco, Inc. Phoenix, Ariz.-based GlyEco, Inc., is a green chemistry company formed to roll-out its proprietary and patent pending glycol recycling technology that transforms waste glycols, a hazardous material, into profitable green products. As of March 31, 2015, the Company had $16.6 million in total assets, $2.48 million in total liabilities and $14.09 million in total stockholders' equity. Glyeco reported a net loss attributable to common shareholders of $8.73 million on $5.89 million of net sales for the year ended Dec. 31, 2014, compared with a net loss of $4 million on $5.53 million of net sales for the year ended Dec. 31, 2013. Semple, Marchal & Cooper, LLP, in Phoenix, Arizona, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has yet to achieve profitable operations and is dependent on its ability to raise capital from stockholders or other sources to sustain operations and to ultimately achieve viable operations. These factors raise substantial doubt about the Company's ability to continue as a going concern. GREEN MOUNTAIN: Big Sky, Mid South Compete for Assets ----------------------------------------------------- Green Mountain Management, LLC, and its affiliated Debtors ask the U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta Division, to approve the sale of substantially all of their assets to Big Sky Environmental LLC for $2.4 million. The Purchase Agreement contains, among others, the following terms: (1) The consideration consists of (a) cash in the amount of $2.4 million; plus (b) the assumption by the Stalking Horse Purchaser of Debtors' obligations with respect to the Bonds and certain other liabilities of the Debtors as set forth in the Purchase Agreement; and (c) the payment of the Cure Amount relating to the Designated Contracts. (2) The $2.4 million cash component of the Purchase Price will be allocated as follows: first, the sum of $100,000 to the Bankruptcy Estate; second, up to $2 million to repay amounts outstanding at closing under the Debtors' DIP loan held by Bay Point Capital Lenders, LP; and third, the balance of such cash to pay down past due interest on the Bonds. (3) Upon execution of the Purchase Agreement, the Stalking Horse Purchaser will provide a $250,000 good faith deposit, which is refundable as set forth in the Bidding Procedures and Purchase Agreement. Richard B. Herzog, Jr., Esq., at Nelson Mullins Riley & Scarborough LLP, in Atlanta, Georgia, tells the Court that the Stalking Horse Term Sheet and the Purchase Agreement were negotiated in good faith and at arm's length, and the Debtors believe the terms of the transaction are fair and reasonable under all of the circumstances. He believes that the proposed Bidding Procedures and marketing process will provide sufficient time and opportunity for any other interested party to submit a higher or otherwise better offer for the Debtors' assets. Mid South Disposal, LLC, with the support of CWI Enterprises, LLC, and Bay Point Capital Partners, LP, filed a notice of competing stalking horse bid. John A. Christy, Esq., at Schreeder, Wheeler & Flint, LLP in Atlanta, Georgia, tells the Court that MSD has delivered an Asset Purchase Agreement to the Debtors and the holders of the Bonds, which contains the following enhancements: (a) the purchase price is $2.5 million of $100,000 higher; (b) there is no $300,000 break up fee; (c) the due diligence expense reimbursement is $100,000, a reduction of $50,000; and (d) all Chapter 5 claims against all parties, other than Green Mountain Aggregates, LLC and Daniel A. Cowart, are left to the estate for the benefit of unsecured creditors. Mr. Christy asserts that MSD's bid is better and higher than the proposed stalking horse bid of Big Sky and that MSD should be selected as the stalking horse bidder. Green Mountain Management, LLC and its affiliated Debtors are represented by: Richard B. Herzog, Jr., Esq. NELSON MULLINS RILEY & SCARBOROUGH LLP 201 17th Street, NW, Suite 1700 Atlanta, GA 30363 Telephone: (404)322-6000 Facsimile: (404)322-6050 Email: richard.herzog@nelsonmullins.com Mid South Disposal, LLC is represented by: John A. Christy, Esq. SCHREEDER, WHEELER & FLINT, LLP Suite 800 Atlanta, GA 30309-4516 Telephone: (404)681-3450 Facsimile: (404)681-1046 Email: jchristy@swfllp.com About Green Mountain Green Mountain Management, LLC, filed a Chapter 11 bankruptcy petition (Bankr. N.D. Ga. Case No. 14-64287) on July 25, 2014. The petition was signed by Daniel B. Cowart, sole member of Georgia Flattop Partners, LLC, and chairman of Green Mountain Management, LLC. The Debtor estimated $10 million to $50 million in assets and debt. Georgia Flattop Partners, LLC is the managing member and holders of 93% of the stock. The case is assigned to Judge Barbara Ellis-Monro. The Debtor is represented by Sage M. Sigler, Esq., at Alston & Bird, LLP, in Atlanta. No official committee of unsecured creditors has been appointed, and UMB Bank, n.a.'s request for the appointment of a trustee was resolved consensually pursuant to this Court's order entered on Nov. 20, 2014. HAMPTON ROADS: Moody's Gives Ba1 Rating on Ser. 2007A Class I Bonds ------------------------------------------------------------------- Moody's Investors Service has taken various actions on approximately $274 million of Hampton Roads PPV, LLC Military Housing Taxable Revenue Bonds, 2007 Series A. The rating actions are as follows: Affirmed Ba1 rating on approximately $207.6 million of outstanding Class I bonds; Affirmed B1 rating on approximately $57.2 million of outstanding Class II bonds; Affirmed B1 rating on approximately $8.9 million of outstanding Class III bonds; and Revised the outlook on the ratings to stable from negative. SUMMARY RATING RATIONALE The ratings affirmation reflects the Project's overall adequate but volatile debt service coverage ratios (DSCR), high occupancy rate, and the presence of the Excess Collateral Funding Agreement (ECFA) with AIG Financial Products Corporation. The ratings; however, remain vulnerable to changes in Allowance for Basic Housing (BAH), higher turnover rate driven by ships deployments, and lack of satisfactory debt service reserve fund (DSRF) to mitigate changes in net operating income. OUTLOOK The outlook revision to stable from negative reflects our expectation that the high increase in the 2015 BAH rate coupled with management's efforts to control expenses will result in the rebound in the debt service coverage levels. WHAT COULD MAKE THE RATING GO UP: While an upgrade at this time is not being considered due to the volatility of the Project's performance, one, however, would require sustained improvement in operating performance and/or cash funding of DSRF or replacement of current surety provider with another of higher credit quality. WHAT COULD MAKE THE RATING GO DOWN: The rating could be downgraded if the project experiences a decline in DSCR due to shortfall in rental income, higher expenses and/or an unforeseen event. OBLIGOR PROFILE The Issuer and Borrower, is Hampton Roads PPV, LLC a limited liability company. The issuer has two members: Homeport Hampton Roads, LLC, (HHR), Managing Member, and The United States of America, Department of the Navy (DON). HHR has two members: Hunt ELP LTD. An affiliate of Hunt Building Company, and ACC OP (Hampton Roads), LLC, an affiliate of American Campus Communities Inc. (ACC). Hampton Roads PPV, LLC was created on December 2007, under the PPP program. It contracted with the DOD for the acquisition, development, management and operation of the Project located in Norfolk and Newport News, Virginia. The term of the contract is 50 years, expiring in 2057. LEGAL SECURITY The Bonds are limited obligations of the Issuer, Hampton Roads PPV LLC, payable solely from the assets and revenues pledged under the Indenture, including revenues generated by the operation of the residential rental housing units, and a first mortgage lien on the Issuer's leasehold interest in the Project land and a first mortgage lien on the Project improvements. The revenues consist primarily of deposit into the Indenture of the military BAH for military tenants. HAVEN HOUSE: Case Summary & 8 Largest Unsecured Creditors --------------------------------------------------------- Debtor: The Haven House, Inc. 653 Main St N Cambridge, MN 55008 Case No.: 15-42579 Nature of Business: Housing with Services to Seniors Chapter 11 Petition Date: July 23, 2015 Court: United States Bankruptcy Court District of Minnesota (Minneapolis) Judge: Hon. Gregory F Kishel Debtor's Counsel: Robert Kalenda, Esq. KALENDA & ASSOC 919 W St Germain St Ste 2000 St. Cloud, MN 56301 Tel: 320-255-8840 Email: info@kalendalaw.com Total Assets: $130,988 Total Liabilities: $2.2 million The petition was signed by Scott Kent, president. A list of the Debtor's eight largest unsecured creditors is available for free at http://bankrupt.com/misc/mnb15-42579.pdf HD SUPPLY: May Seek Amendments to Outstanding Credit Agreements --------------------------------------------------------------- HD Supply, Inc., disclosed with the Securities and Exchange Commission that it may seek opportunistically amendments to one or more agreements governing its outstanding indebtedness. The seeking of any such amendment is subject to market conditions, among other factors. The Company gives no assurances that any amendment will be sought, or, if sought, will be completed. About HD Supply HD Supply, Inc., headquartered in Atlanta, Georgia, is one of the largest North American wholesale distributors supporting residential and non-residential construction and to a lesser extent electrical consumption and repair and remodeling. HDS also provides maintenance, repair and operations services. Its businesses are organized around three segments: Infrastructure and Energy; Maintenance, Repair & Improvement; and, Specialty Construction. HDS operates through approximately 800 locations throughout the U.S. and Canada serving contractors, government entities, maintenance professionals, home builders and professional businesses. As of May 3, 2015, HD Supply had $6.3 billion in total assets, $6.8 billion in total liabilities and a $498 million total stockholders' deficit. * * * As reported by the TCR on Jan. 11, 2013, Moody's Investors Service upgraded HD Supply's corporate family rating to 'B3' from 'Caa1'. "This rating action results from our expectations that HDS will refinance a significant portion of its senior subordinated notes due 2015, effectively extending the remainder of its maturities by at least two years to 2017," Moody's said. HD Supply carries a 'B' corporate credit rating, with negative outlook, from Standard & Poor's Ratings Services. HELIA TEC: Heather Potts Designated as Ch. 11 Plan Agent -------------------------------------------------------- Judge David R. Jones of the United States Bankruptcy Court for the Southern District of Texas, Houston Division, granted the Helia Tec Resources, Inc.'s motion to approve Heather Rene Potts as Plan Agent. The Debtor explained that it needs the appointment and approval of Heather Potts as plan agent so she can expeditiously move to liquidate the Debtor pursuant to the 2nd Amended Plan. Heather Potts is a licensed Texas attorney who remains in good standing with the State Texas Bar. She has previously represented Chapter 7 Trustees along with other interested parties in bankruptcy proceedings, and is more than familiar with procedural and legal operations in the bankruptcy system and with regard to this Court. Heather Potts is not aligned with nor has she represented the Debtor or any of the parties to this bankruptcy. Helia Tec Resources, Inc. is represented by: Richard A. Battaglia, Esq. P.O. Box 131276 Houston, Texas 77219-1276 Tel.: 713 521 – 3570 Fax: 713 521 -3573 Email: rab@rabpc.com About Helia Tec Resources Helia Tec Resources, Inc. filed a Chapter 11 petition (Bankr. S. D. Tex. Case No. 13-36251) on Oct. 3, 2013 in Houston, Texas, represented by Richard L. Fuqua, II, Esq., at Fuqua & Associates, PC, in Houston, as counsel to the Debtor. The Debtor listed $16.15 million in assets and $2.24 million in liabilities. The petition was signed by Cary E. Hughes, president. Judy A. Robbins, U.S. Trustee for Region 7, was unable to appoint an official committee of unsecured creditors in the Debtor's case. HERCULES OFFSHORE: Announces Second Quarter 2015 Results -------------------------------------------------------- Hercules Offshore, Inc., reported a net loss of $88.3 million on $79.2 million of revenue for the three months ended June 30, 2015, compared to net income of $6.6 million on $242.9 million of revenue for the same period in 2014. For the six months ended June 30, 2015, the Company reported a net loss of $145.3 million on $201.8 million of revenue compared to net income of $26.5 million on $499.7 million of revenue for the same period last year. As of June 30, 2015, the Company had $1.8 billion in total assets, $1.4 billion in total liabilities and $471.9 million in stockholders' equity. John T. Rynd, chief executive officer and president of Hercules Offshore stated, "Second quarter results reflect the weak operating conditions across the offshore services sector as well the impact of our resolution with Saudi Aramco for our three rigs in the Middle East. The latest pullback in the price of oil is likely to delay any improvement in worldwide activity levels well into 2016. The limited visibility and challenging market conditions that we expect to persist for some time drove our decision to restructure our capital base. As previously disclosed, we have reached an agreement with the majority of our noteholders, and anticipate obtaining final approval of our restructuring plan in late October. We also continue to aggressively reduce costs without compromising the safety of our employees or the quality of our services. By controlling costs and establishing a stronger balance sheet, we will be better positioned to weather this protracted downturn and possibly capitalize on opportunities that may arise in such industry conditions." Domestic Offshore Revenue generated from Domestic Offshore for the second quarter 2015 decreased 71% to $40.6 million from $140.4 million in the second quarter 2014, driven by lower utilization and dayrates on a reduced marketed rig fleet. Operating days during the second quarter 2015 declined to 439 days with utilization of 53.6% on a marketed fleet of 9 rigs, compared to 1,297 days on 18 marketed rigs at 79.2% utilization during the second quarter 2014. Average revenue per rig per day decreased to $92,538 in the second quarter 2015 from $108,237 in the comparable 2014 period. Operating expenses of $26.4 million in the second quarter 2015 include a net loss of $3.4 million related to asset sales, including the Hercules 85, 153, 203, 206, 207 and 211, compared to expenses of $63.5 million in the second quarter 2014, which includes a gain of $7.4 million from the sale of the Hercules 250 and 2002. The significant reduction in operating expenses in the current quarter, after adjusting for asset sales, was largely attributable to the reduced number of fully crewed rigs in operation. Domestic Offshore reported operating income of $1.4 million in the second quarter 2015, compared to $57.3 million in the second quarter 2014, including the aforementioned asset sale gains and losses. International Offshore International Offshore revenue of $17.5 million in the second quarter 2015 includes a $13.4 million adjustment related to retroactive dayrate concessions on the Hercules 261, 262 and 266 made on their existing contracts with Saudi Aramco, and compares to revenue of $71.7 million in the second quarter 2014. Utilization decreased to 50.0% in the second quarter 2015 from 62.5% in the second quarter 2014, largely due to idle time on the Hercules Triumph, Hercules Resilience and Hercules 208, partially offset by higher utilization on the Hercules 261 and Hercules 260. Average revenue per rig per day decreased to $47,975 in the second quarter 2015 from $157,637 in the second quarter of 2014, driven largely by idle time on the Hercules Resilience and Hercules Triumph, lower renegotiated dayrates on the three rigs working for Saudi Aramco, as well as the retroactive dayrate adjustments on these three rigs. Operating expense decreased to $35.5 million in the second quarter 2015, from $44.1 million in the respective 2014 period, which includes a $10.5 million gain on the sale of Hercules 258. This reduction in operating expense was driven in part by lower costs on the Hercules 261 and 262 as well as lower costs incurred on the idle rigs. International Offshore recorded an operating loss of $40.5 million in the second quarter 2015 compared to operating income of $6.7 million in the prior year period, including the aforementioned rig sale gain. International Liftboats International Liftboats revenue declined to $21.2 million in the second quarter 2015 from $30.9 million in the prior year period, due to lower utilization and dayrates. Second quarter 2015 utilization declined to 49.7% from 61.0% in the respective 2014 period. Average revenue per liftboat per day decreased 16% to $20,329 in the second quarter 2015 from $24,162 in the second quarter 2014, primarily due to market pressure on dayrates. Operating expenses in the second quarter 2015 declined by 21% to $15.0 million, compared to $19.1 million in the second quarter 2014, reflecting lower activity levels and the impact of our cost reduction measures. International Liftboats recorded operating income of $0.8 million in the second quarter 2015 compared to an operating loss of $0.7 million in the second quarter 2014, which includes approximately $5.3 million of bad debt expense. About Hercules Offshore Hercules Offshore Inc. (NASDAQ: HERO) -- http://www.herculesoffshore.com/-- provides shallow-water drilling and marine services to the oil and natural gas exploration and production industry in the United States, Gulf of Mexico and internationally. The Company provides these services to integrated energy companies, independent oil and natural gas operators and national oil companies. The Company operates in six business segments: Domestic Offshore, International Offshore, Inland, Domestic Liftboats, International Liftboats and Delta Towing. Hercules Offshore reported a net loss of $216 million in 2014, compared with a net loss of $68.1 million in 2013. As of March 31, 2015, the Company had $1.93 billion in total assets, $1.37 billion in total liabilities and $559 million in stockholders' equity. * * * The TCR reported in March 2015 that Moody's Investors Service downgraded Hercules Offshore, Inc.'s Corporate Family Rating to Caa2 from B2. The Caa2 Corporate Family Rating (CFR) reflects the company's contract roll-off and sparse contract coverage through the June 2016, its aging fleet, and the projection for a deterioration of its liquidity position. As reported by the TCR on June 22, 2015, Standard & Poor's Ratings Services lowered its corporate credit rating on Houston-based offshore driller Hercules Offshore Inc. to 'CC' from 'CCC+'. The downgrade follows the Company's announcement that it has entered into a restructuring support agreement with a steering group of the company's senior noteholders, collectively owning or controlling in excess of 67% of the aggregate outstanding principal amount of the company's 10.25% senior notes due 2019, 8.75% senior notes due 2021, 7.5% senior notes due 2021, and 6.75% senior notes due 2022. HERCULES OFFSHORE: Posts $88.3-Mil. Net Loss for Second Quarter --------------------------------------------------------------- Hercules Offshore, Inc., filed with the Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $88.3 million on $79.2 million of revenue for the three months ended June 30, 2015, compared to net income of $6.6 million on $243 million of revenue for the same period in 2014. For the six months ended June 30, 2015, the Company reported a net loss of $145 million on $202 million of revenue compared to net income of $26.5 million on $499.6 million of revenue for the same period last year. As of June 30, 2015, the Company had $1.8 billion in total assets, $1.3 billion in total liabilities and $472 million in stockholders' equity. A full-text copy of the Form 10-Q is available at: http://is.gd/8NpS2e About Hercules Offshore Hercules Offshore Inc. (NASDAQ: HERO) -- http://www.herculesoffshore.com/-- provides shallow-water drilling and marine services to the oil and natural gas exploration and production industry in the United States, Gulf of Mexico and internationally. The Company provides these services to integrated energy companies, independent oil and natural gas operators and national oil companies. The Company operates in six business segments: Domestic Offshore, International Offshore, Inland, Domestic Liftboats, International Liftboats and Delta Towing. Hercules Offshore reported a net loss of $216 million in 2014, compared with a net loss of $68.1 million in 2013. * * * The TCR reported in March 2015 that Moody's Investors Service downgraded Hercules Offshore, Inc.'s Corporate Family Rating to Caa2 from B2. The Caa2 Corporate Family Rating (CFR) reflects the company's contract roll-off and sparse contract coverage through the June 2016, its aging fleet, and the projection for a deterioration of its liquidity position. As reported by the TCR on June 22, 2015, Standard & Poor's Ratings Services lowered its corporate credit rating on Houston-based offshore driller Hercules Offshore Inc. to 'CC' from 'CCC+'. The downgrade follows the Company's announcement that it has entered into a restructuring support agreement with a steering group of the company's senior noteholders, collectively owning or controlling in excess of 67% of the aggregate outstanding principal amount of the company's 10.25% senior notes due 2019, 8.75% senior notes due 2021, 7.5% senior notes due 2021, and 6.75% senior notes due 2022. INTERLEUKIN GENETICS: Stockholders Elect Three Directors -------------------------------------------------------- At the annual meeting of Interleukin Genetics, Inc.'s stockholders held on July 21, 2015, the stockholders: (1) elected Lionel Carnot, Roger C. Colman and James M. Weaver as Class III directors for a three-year term expiring at the Company's 2018 annual meeting; (2) ratified the appointment of Grant Thornton LLP as the Company's independent public accounting firm for the fiscal year ending Dec. 31, 2015; (3) approved, on an advisory basis, the compensation of the Company's named executive officers; (4) approved an amendment to the Company's 2013 Employee, Director and Consultant Equity Incentive Plan to increase the number of shares of common stock available for issuance thereunder by 30,000,000 shares; (5) approved an amendment to the Company's Restated Certificate of Incorporation to increase the number of authorized shares of common stock from 300,000,000 to 450,000,000 at any time prior to the earlier of (i) Aug. 1, 2016, and (ii) the 2016 annual meeting of stockholders; and (6) approved an amendment to the Company's Restated Certificate of Incorporation to effect a reverse stock split by combining outstanding shares of the Company's common stock into a lesser number of outstanding shares by a ratio of not less than 1-for-5 and not more than 1-for-40 at any time prior to the earlier of (i) Aug. 1, 2016, and (ii) the 2016 annual meeting of stockholders, with the exact ratio to be set within this range by the Company's Board of Directors in its sole discretion. On July 21, 2015, at the 2015 Annual Meeting of Stockholders of Interleukin Genetics, Inc., the shareholders approved an amendment to the Company's 2013 Employee, Director and Consultant Equity Incentive Plan, to increase the number of shares of common stock available for issuance thereunder by 30,000,000 shares. On July 21, 2015, the Company filed a certificate of amendment to its Restated Certificate of Incorporation, as amended, with the Secretary of State of the State of Delaware to increase the number of authorized shares of the Company's common stock from 300,000,000 to 450,000,000. About Interleukin Waltham, Mass.-based Interleukin Genetics, Inc., is a personalized health company that develops unique genetic tests to provide information to better manage health and specific health risks. Grant Thornton LLP, in Boston, Massachusetts, issued a "going concern" qualification in its report on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has incurred recurring losses from operations and has an accumulated deficit that raise substantial doubt about the Company's ability to continue as a going concern. As of March 31, 2015, the Company had $11.5 million in total assets, $8.66 million in total liabilities, and $2.82 million in total stockholders' equity. INTERLINE BRANDS: S&P Puts 'B' CCR on CreditWatch Positive ---------------------------------------------------------- Standard & Poor's Ratings Services said it placed its ratings on Interline Brands Inc. (Delaware Corp), including its 'B' corporate credit rating, on CreditWatch with positive implications. The CreditWatch placement follows Interline's announcement that it has agreed to be acquired by Home Depot for $1.625 billion in cash. Home Depot expects to complete the acquisition in its fiscal third quarter, which ends on Nov. 1, 2015. The acquisition is subject to applicable regulatory approval and customary closing conditions, including the repayment of Interline's outstanding senior notes. "We will resolve the CreditWatch placement at the close of Home Depot's acquisition of Interline," said Standard & Poor's credit analyst Maurice Austin. ISTAR FINANCIAL: Extends Tender Offer Expiration Date to July 31 ---------------------------------------------------------------- iStar Financial Inc. is extending the expiration date of its tender offer until 5:00 p.m. Eastern Time on Friday, July 31, 2015, unless further extended. The Offer had been previously scheduled to expire at 9:00 a.m. Eastern Time on July 27, 2015. On or about July 24, 2015, the Company advised the holders of HPU Shares of the extension of the Offer by email communication. The Company is ofering holders of up to 4,937.5 shares of High Performance Common Stock-Series 1, 5,000 shares of Company's High Performance Common Stock-Series 2 and 4,950 shares of High Performance Common Stock-Series 3 issued and outstanding as of June 11, 2015, the opportunity to exchange those HPU Shares for the Cash Consideration or the Stock Consideration. The "Stock Consideration" is the number of shares of the Company's common stock, par value $0.001 per share, equal to the product of: (i) the aggregate number of Common Stock Equivalents that are attributable to the HPU Shares tendered in the Offer by a holder of HPU Shares, multiplied by (ii) 0.565371, which represents $8.00 of Shares based on the last reported sale price for the Shares on the New York Stock Exchange on June 11, 2015 (which was $14.15). "Cash Consideration" is the amount of cash equal to the product of: (i) the aggregate number of Common Stock Equivalents that are attributable to the HPU Shares that you tender in the Offer, multiplied by (ii) $8.00. About iStar Financial New York-based iStar Financial Inc. (NYSE: SFI) provides custom- tailored investment capital to high-end private and corporate owners of real estate, including senior and mezzanine real estate debt, senior and mezzanine corporate capital, as well as corporate net lease financing and equity. The Company, which is taxed as a real estate investment trust, provides innovative and value added financing solutions to its customers. iStar Financial reported a net loss allocable to common shareholders of $33.72 million in 2014, a net loss allocable to common shareholders of $155.76 million in 2013 and a net loss allocable to common shareholders of $272.99 million in 2012. As of March 31, 2015, the Company had $5.65 billion in total assets, $4.41 billion in total liabilities, $13.2 million in redeemable noncontrolling interests, and $1.21 billion in total equity. * * * As reported by the TCR on June 26, 2014, Fitch Ratings had affirmed the Issuer Default Rating (IDR) of iStar Financial at 'B'. The 'B' IDR is driven by improvements in the company's leverage, continued demonstrated access to the capital markets and new sources of growth capital and material reductions in non- performing loans (NPLs). As reported by the TCR on Oct. 5, 2012, Standard & Poor's Ratings Services affirmed its 'B+' long-term issuer credit rating on iStar Financial. In October 2012, Moody's Investors Service upgraded the corporate family rating to 'B2' from 'B3'. The current rating reflects the REIT's success in extending near term debt maturities and improving fundamentals in commercial real estate. The ratings on the October 2012 senior secured credit facility takes into account the asset coverage, the size and quality of the collateral pool, and the term of facility. JAMES RIVER: Mine Service's Setoff Request Denied ------------------------------------------------- Judge Kevin R. Huennekens of the United States Bankruptcy Court for the Eastern District of Virginia, Richmond Division, denied a motion filed by Mine Service Company, Inc. to lift the automatic stay imposed in the Chapter 11 cases of James River Coal Company and its subsidiaries. Mine Service held a number of sales tax refunds totaling approximately $112,735, which it received postpetition from the Commonwealth of Kentucky on behalf of the Debtors. Mine Service argued that it held the tax refunds in its individual capacity. As such, mutuality is satisfied and Mine Service should be permitted to effect an offset against the amount owed to it by the Debtors on account of unpaid invoices for goods sold to the Debtors prepetition. Judge Huennekens, however, held that Mine Service has failed to satisfy the requirements necessary to effect a right of setoff under Bankruptcy Code Section 553. He found that the mutuality requirement was not satisfied because Mine Service is merely acting as a conduit between the Commonwealth of Kentucky and the Debtors. He further found that Mine Service was attempting to setoff a prepetition debt against a postpetition obligation. Accordingly, Mine Service is not entitled to setoff the tax refunds and is obligated to return the amount of tax refunded to the Debtor. The case is MINE SERVICE COMPANY, INC., Movant, v. JAMES RIVER COAL COMPANY, et al., Respondents, relating to IN RE: JAMES RIVER COAL COMPANY, et al., Chapter 11, Debtors, CASE NO. 14-31848-KRH, (Bankr. E.D. Va.). A full-text copy of Judge Huennekens' July 16, 2015 memorandum opinion is available at http://is.gd/ceJuZKfrom Leagle.com. About James River James River Coal Company is a producer and marketer of coal in the Central Appalachia ("CAPP") and the Midwest coal regions of the United States. James River's principal business is the mining, preparation and sale of metallurgical coal, thermal coal (which is also known as steam coal) and specialty coal. James River and 33 of its affiliates filed Chapter 11 bankruptcy petitions (Bankr. E.D. Va. Case Nos. 14-31848 to 14-31886) in Richmond, Virginia, on April 7, 2014. The petitions were signed by Peter T. Socha as president and chief executive officer. Judge Kevin R. Huennekens oversees the Chapter 11 cases. On the petition date, James River Coal disclosed total assets of $1.06 billion and total liabilities of $818.6 million. The Debtors are represented by Tyler P. Brown, Esq., Henry P. (Toby) Long, III, Esq., and Justin F. Paget, Esq. at Hunton & Williams LLP of Richmond, VA and Marwill S. Huebner, Esq, Brian M. Resnick, Esq., and Michelle M. McGreal, Esq. at Davis Polk & Wardwell LLP of New York, NY. Kilpatrick Townsend & Stockton LLP serves as the Debtors' special counsel. Perella Weinberg Partners L.P. is the Debtors' financial advisor. Deutsche Bank Securities Inc. serves as the Debtors' investment banker and M&G advisor. Epiq Bankruptcy Solutions, LLC, acts as the debtors' notice, claims and administrative agent. The U.S. Trustee for Region 4 has appointed five creditors to the Official Committee of Unsecured Creditors. Michael S. Stamer, Esq., Alexis Freeman, Esq., and Jack M. Tracy II, Esq., at Akin Gump Strauss Hauer & Feld LLP; and Jonathan L. Gold, Esq., Christopher L. Perkins, Esq., and Christian K. Vogel, Esq., at LeClairRyan. The Debtors, in August 2014, won authority to sell the Hampden Mining Complex (including the assets of Logan & Kanawha Coal Company, LLC), the Hazard Mining Complex (other than the assets of Laurel Mountain Resources LLC) and the Triad Mining Complex for $52 million plus the assumption of certain environmental and other liabilities, to a unit of Blackhawk Mining. The Buyer is represented by Mitchell A. Seider, Esq., and Charles E. Carpenter, Esq., at Latham & Watkins LLP. JARDEN CORP: S&P Affirms 'BB' Corporate Credit Rating ----------------------------------------------------- Standard & Poor's Ratings Services assigned its 'BBB-' issue-level rating to Florida-based Jarden Corp.'s proposed $300 million senior secured term loan B-2 due 2022. The 'BBB-' issue-level rating on the company's upsized $1.05 billion senior secured term loan B-1, which includes a $300 million add-on, is unchanged. The recovery rating on both term loans is '1', indicating that lenders could expect very high recovery (90%-100%) in the event of payment default. S&P expects the proceeds of the term loan B-1 add-on and the new term loan B-2 to be used in conjunction with cash from Jarden's recent equity issuance to fund the purchase of Waddington Group Inc. S&P expects the company the company to raise gross proceeds of at least $870 million from the equity offering. The ratings are subject to change, and assume the transaction closes on substantially the same terms presented to S&P. All of S&P's existing ratings on the company, including the 'BB' corporate credit rating, are unchanged by this proposed transaction. The outlook is stable. Pro forma for the proposed financing, total debt outstanding is approximately $5.6 billion. Jarden's ratings reflect its strong position across a diversified portfolio of niche consumer products, small appliances, household products, outdoor products, and sports equipment. The company has well-recognized brand names, including Yankee Candle, Rawlings, Coleman, Sunbeam, K2, and Mr. Coffee. S&P believes the company is a category captain with many of its products and is an important strategic supplier to leading retailers such as Wal-Mart and Target. Jarden has an extensive global distribution network and derives more than 35% of its sales from outside the U.S., which S&P believes will increase in the coming years. These factors support S&P's "satisfactory" business risk assessment. S&P's ratings also reflect Jarden's high debt levels and active acquisition and share repurchase strategy. The company has raised a significant amount of equity to fund the acquisition of Waddington Group, resulting in very modest credit ratio deterioration. S&P believes the company will maintain leverage between 4.0x to 4.5x and funds from operations (FFO) to debt in the mid-teens. RATINGS LIST Jarden Corp. Corporate credit rating BB/Stable/-- Rating Assigned Jarden Corp. Senior secured $300 mil. term loan B-2 due 2022 BBB- Recovery rating 1 Ratings Unchanged Senior secured $1.05 bil. term loan B-1 BBB- Recovery rating 1 JEFFREY J. PROSSER: Bid to Disqualify Ch. 7 Trustee's Attys Denied ------------------------------------------------------------------ Chief District Judge Wilma A. Lewis of the United States District Court for the District of Virgin Islands, Division of St. Thomas and St. John, denied Jeffrey J. Prosser's motion to disqualify the attorneys that represent the trustee in his Chapter 7 case. Mr. Prosser argues that the Court should disqualify the Trustee's named attorneys and their law firm, Fox Rothschild, LLP, pursuant to Local Rule 83.1(b)(2). That Rule provides in pertinent part that "[a]n attorney may be admitted pro hac vice in no more than a total of three (3) cases in any calendar year and may not be further admitted at any time if such attorney is then admitted pro hac vice in three (3) active cases regardless of when such admissions occurred." Mr. Prosser also relies on the Supreme Court of the Virgin Islands' interpretation of its own rule regarding pro hac vice admissions. The Trustee opposes Mr. Prosser's Motion on the grounds that: (1) the cases in which the named attorneys and their law firm have appeared are primarily "adversary proceedings" arising from related bankruptcy cases; (2) Mr. Prosser has waived any objection to the pro hac vice admissions; (3) the Supreme Court of the Virgin Islands has no authority to regulate the practice of law in this Court; and (4) disqualification would greatly prejudice the Trustee at this stage of the proceedings. Judge Lewis denied the motion to disqualify, finding that the Trustee will be greatly prejudiced by the disqualification of his already-admitted counsel at this stage of the proceedings. Judge Lewis noted that since 2008, counsel for the Trustee has handled all aspects of the matters in the Bankruptcy Court, as well as all the adversary proceedings and appeals. As a result, counsel has become "intimately familiar with the legal and factual issues of this case." Thus, to disqualify counsel at this stage of the proceedings would result in "extreme and unfair prejudice" to the Trustee. This is particularly so because "it is doubtful that [the Trustee] could find capable substitute counsel without substantial delay." The bankruptcy case is In re: Jeffrey J. Prosser, Chapter 7, Debtor, Bankruptcy No.: 06-30009 (Bankr. D.V.I.). The adversary proceeding is STAN SPRINGEL, CHAPTER 11 TRUSTEE OF THE ESTATE OF INNOVATIVE COMMUNICATION CORPORATION, AND JAMES P. CARROLL, AS CHAPTER 7 TRUSTEE OF THE ESTATE OF JEFFREY J. PROSSER, Plaintiffs/Appellees, v. JEFFREY J. PROSSER, DAWN PROSSER, JUSTIN PROSSER, MICHAEL PROSSER, SYBIL G. PROSSER, MICHELLE LABENNETT, AND LYNDON A. PROSSER, Defendants/Appellants, ADV. PRO. NO. 07-03010, CIVIL ACTION NO. 2013-0087., 2013-0057, 2013-0056, 2013-0010, (D.V.I.). A full-text copy of Judge Lewis' Memorandum Opinion and Order dated July 14, 2015, is available at http://is.gd/ciPFptfrom Leagle.com. Yann Geron, Esq. -- ygeron@foxrothschild.com -- William H. Stassen, Esq. -- wstassen@foxrothschild.com -- and Samuel H. Israel, Esq. -- sisrael@foxrothschild.com -- of Fox Rothschild LLP serve as counsel for the Plaintiff/Appellee James P. Carroll, Chapter 7 Trustee. Robert F. Craig, Esq., of Craig Law Firm, Norman A. Abood, Esq. -- norman@nabood.com -- and Lawrence H. Schoenbach, Esq. -- schoenbachlawoffice@att.net -- of Law Offices of Lawrence H. Schoenbach PLLC serve as counsel for the Defendant/Appellant Jeffrey J. Prosser. JOSEPH UVINO: BofA's Bid to Appoint Receiver Denied --------------------------------------------------- Judge Thomas F. Whelan of the Supreme Court for Suffolk County denied Bank of America, N.A.'s motion for the appointment of receiver and denied Debtors Joseph Uvino and Wendy Uvino's motion to dismiss the foreclosure action filed by the bank against them. Judge Whelan, while denying the Uvinos' motion for an order dismissing the action as abandoned, granted its alternative demands for an order vacating any technical default in answering or for leave to serve a late answer to the extent that any default in answering on the part of the Uvino defendants was waived by the plaintiff's failure to reject the answer served in December of 2012. Accordingly, Judge Whelan gives the plaintiff 45 days to file a reply to the defendants' counterclaim or to undertake other proceedings it deems advisable with respect thereto. The case is BANK OF AMERICA, N.A. Plaintiff, v. JOSEPH UVINO, WENDY UVINO, POOLS BY PAUL GUILLO, INC., KOLB MECHANICAL CORPORATION, J. BARROWS, INC., EXCELSIOR P&H, INC., and "JOHN DOE" said name being fictitious and intended to include any plaintiff, intended as being persons, entities and all parties having or claiming an interest or lien upon the mortgaged premises and not otherwise identified above, Defendants, Case No. 29470-09, MOT. SEQ. NO. 006-MD., 007-MOT D, (S.C. NY) A full-text of Judge Thomas F. Whelan's Order dated June 22, 2015, is available at http://is.gd/ja0JTVfrom Leagle.com. BUCHANAN, INGERSOLL et al. serve as counsel for Plaintiff. Devitt, Spellman, Barrett serve as counsel for Uvino. KEVIN MILLER: Habeas Corpus Petition Dismissed with Prejudice ------------------------------------------------------------- Judge Catherine D. Perry of the United States District Court for the Eastern District of Missouri, Eastern Division, dismissed with prejudice, Kevin Miller's petition for a writ of habeas corpus under 28 U.S.C. Section 2241, for lack of subject matter jurisdiction. Judge Perry, however, granted the Petitioner's in forma pauperis status. Judge Perry held that 28 U.S.C. Section 2241 provides relief for persons "in custody in violation of the Constitution or laws or treaties of the United States." The Petitioner is not "in custody," and therefore, he is not entitled to relief under Section 2241. The case is KEVIN P. MILLER, Petitioner, v. U.S. BANKRUPTCY COURT, EIGTH CIRCUIT, EASTERN DISTRICT CASE NO. 15-43390-659, Respondent, Case No. 15-43390-659 (E.D. Mo.) A full-text copy of Judge Catherine D. Perry's Memorandum and Order dated July 17, 2015, is available at http://is.gd/a0Lh04from Leagle.com. LAKE DEARBORN: Judge Allows Food Court Tenants' Rejection Claims ---------------------------------------------------------------- Judge Jacqueline P. Cox of the United States Bankruptcy Court for the Northern District of Illinois, Eastern Division, allowed the claims filed by tenants at the food court in Chicago, Illinois, whose leases had been rejected by Lake Dearborn, LLC, et al. Dearborn Retail, LLC, owned the real property constituting the food court space located at 201 N. Clark St., in Chicago, Illinois. On March 26, 2014, Dearborn Retail and other related entities entered into a commitment letter with Bighorn Capital, Inc., which provided, inter alia, for the contribution of the Dearborn Entities' assets to a joint venture under which Garvey Court, LLC, an entity controlled by Bighorn, would acquire the real property constituting the Food Court. In connection with the Bighorn Transaction, on May 12, 2014, Dearborn Retail filed a motion to reject eighteen unexpired Food Court leases under which it was the landlord. Nine of the eighteen tenants whose leases had been rejected filed timely proofs of claim which were not resolved or settled within the prescribed period. Garvey objected to the Rejection Claims. The Court held evidentiary hearings over three days to determine the Rejection Claimants' actual damages resulting from the rejection of the leases. Judge Cox allowed the Rejection claimants' proofs of claim, finding that Garvey Court, LLC, and Garvey Court Holdings, LLC, are liable to each Rejection Claimant for rejection damages in the form of the following: (1) any amounts needed to build out a new location; (2) a prorated amount of the build-out costs incurred at the Food Court for the remaining term of the Rejected Lease; (3) any removal and relocation of equipment and assets to a new location; (4) reasonable marketing and advertising at a new location; (5) replacement rent differential for the remaining term of the Rejected Lease; and (6) any proven lost profits. Any unreturned security deposits will be applied to any unpaid rent during the months in which the Rejection Claimants remained at the Food Court; any remainder will be returned, Judge Cox said. There will be no amount allowed for "downtime", "ramp-up", "time expended" or retraining claimed by the Rejection Claimants. Finally, no claim for attorneys' fees will be allowed. The case is In re: Lake Dearborn, LLC, et al., Chapter 11, Debtors, Case No.: 13-36813, (Bankr. N.D. Ill.). A full-text copy of Judge Cox's Memorandum Decision dated July 14, 2015, is available at http://is.gd/zcIYSJfrom Leagle.com. LIFE PARTNERS: Ad Hoc Committee Supports Bid to End Exclusivity --------------------------------------------------------------- The Ad Hoc Committee of Direct Fractional Interest Owners of Life Settlement Policies, a party in interest in the bankruptcy cases of Life Partners Holdings Inc. et al., said it supports the motion to terminate exclusivity period of Debtors Life Partners, Inc., and LPI Financial Services, Inc. filed by John Gissas, Dean Vagnozzi and Frank Bice. According to the Ad Hoc Committee, the Debtors' case should be resolved through confirmation of a chapter 11 plan —- the sooner, the better. LPI has limited funds. Fractional interest owners are confused. They have repeatedly called attorneys for the Ad Hoc Committee for information in this case. Members of the Official Committee of Unsecured Creditors are inundated with calls, letters and other requests for information. The Ad Hoc Committee said some fractional interest owners are obtaining advice from emails and internet message boards because the cryptic and ambiguous statements on the lphitrustee.com website do not provide the fractional interest owners with the necessary information. The fractional interest owners, many of whom invested retirement funds, need to know what their rights are in their investments and need a choice to determine their futures. The Bankruptcy Code section 1121 provides chapter 11 debtors an exclusive period in which to file and confirm a plan. No exclusive period exists for LPHI. It is arguable as to whether an exclusive period exists for LPI or LPIFS, as the sole director of each is the trustee of LPHI, and he has been running LPI and LPIFS for 120 days the exclusive time period to file a plan under section 1121(d) of the Bankruptcy Code. To the extent LPI or LPIFS does have an exclusive period under which to file and confirm a chapter 11 plan, it should be terminated to allow other interested parties to file plans and seek confirmation of same. H. Thomas Moran II, the trustee of LPHI and sole director of LPI and LPIFS, does not appear to have a confirmable plan. Mr. Moran himself stated in testimony at a hearing on June 25 that he was not opposed to terminating the exclusivity period, the Ad hoc Commitee pointed out. Mr. Moran has not provided transparency to this bankruptcy case, the Ad Hoc Committee added. The Stallings Family Limited Partnership, owns fractional interests in various individual insurance policies, also supports and requests termination of the exclusivity period provided under Section 1121 (allowing any party to file and seek confirmation of a plan). As reported in the Troubled Company Reporter on July 10, 2015, Messrs. Gissas, Vagnozzi and Bice wanted the U.S. Bankruptcy Court for the Northern District of Texas to terminate the exclusivity period of Debtors so that they or any other party can propose a plan of reorganization. Sheldon L. Solow, Esq., at Kaye Scholer LLP, in Chicago, Illinois, related that the Chapter 11 Trustee filed petitions for LPI and LPIFS and that while no order has been entered appointing a Chapter 11 Trustee for LPI and LPIFS, the Chapter 11 Trustee is effectively administering the Subsidiary Debtor cases as if he had been appointed the chapter 11 trustee of the Subsidiary Debtors through his status as Trustee of LPHI -- the sole shareholder of the Subsidiary Debtors. Mr. Solow asserts that the Subsidiary Debtors are no longer in possession as the cases are being administered by a single Trustee. Mr. Solow further asserts that the purpose of the exclusivity period -- to give a debtor in possession a limited first chance to reorganize its business -- does not apply. The Creditors wish to file a plan of reorganization in the near future and they are informed and believe that other non-debtors are also considering filing plans. About Life Partners Headquartered in Waco, Texas, Life Partners Holdings, Inc. -- http://www.lphi.com/-- is the parent company engaged in the secondary market for life insurance, commonly called "life settlements." Since its incorporation in 1991, Life Partners, Inc., has completed over 162,000 transactions for its worldwide client base of over 30,000 high net worth individuals and institutions in connection with the purchase of over 6,500 policies totaling over $3.2 billion in face value. LPHI is a publicly traded company incorporated in Texas and its common stock has been delisted from the NASDAQ (formerly trading under the symbol LPHI). Life Partners Holdings sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Tex. Case No. 15-40289) on Jan. 20, 2015. The case is assigned to Judge Russell F. Nelms. J. Robert Forshey, Esq., at Forshey & Prostok, LLP, serves as counsel to the Debtor. LPHI disclosed $2,406,137 in assets and $52,722,308 in liabilities as of the Chapter 11 filing. The official committee of unsecured creditors formed in the case tapped Munsch Hardt Kopf & Harr, P.C., as counsel. Tracy A. Bolt of BDO USA, LLP, was named as examiner for the Debtor's case. At the behest of the U.S. Securities and Exchange Commission, the U.S. Trustee, and the Creditors Committee, the Court ordered the appointment of a Chapter 11 trustee. On March 13, 2015, H. Thomas Moran II was appointed as Chapter 11 trustee in LPHI's case. The trustee is represented by Thompson & Knight LLP. The Chapter 11 trustee signed Chapter 11 bankruptcy petitions for LPHI's subsidiaries on May 19, 2015: Life Partners Inc. (Case No. 15-41995) and LPI Financial Services, Inc. (Case No. 15-41996). Life Partners is estimated to have $100 million to $500 million in assets and more than $1 billion in debt. LPI Financial estimated less than $50,000. LONESTAR GEOPHYSICAL: Bank Seeks to Pursue Suit Against Manager --------------------------------------------------------------- Frontier State Bank asks the U.S. Bankruptcy Court for the Western District of Oklahoma to lift the automatic stay imposed in the Chapter 11 case of Lonestar Geophysical Surveys, LLC, to allow it to pursue a state court action. The Bank has pending a state court action against, among others, the Debtor's de facto manager, Heath Harris, a non-debtor. Under Oklahoma law, his obligations to the Bank are wholly separate and apart from Lonestar Geophysical Surveys' obligations to the Bank. John E. Gatliff II, Esq., at C. Craig Cole & Associates, in Oklahoma City, Oklahoma, states that the Bank reasonably believes that the recent collapse in oil prices and continuing lay-offs in the oil production and exploration industries will dramatically reduce the demand for Lonestar Geophysical Surveys' business services, which the Bank believes puts the Bank at increasing risk, and which necessitates litigation of the State Court Action against Heath Harris. Mr. Gatliff adds that alternatively, should the Court determine that the automatic stay extends to the cover the Debtor's de facto manager, Heath Harris, the Bank contends that relief from the automatic stay as to Heath Harris is in order. The Bank's cause of action against Heath Harris is to recover on a separate guaranty contract to which the Lonestar Geophysical Surveys, LLC is not a party. Lonestar Geophysical Surveys has no extraordinary "identity of interest" that would justify extending the automatic stay to Heath Harris. Accordingly, the Bank should be granted relief from the automatic stay to pursue its 8 claim against Heath Harris in the State Court Action. The Debtor, in response, states that it has not asserted and does not contend that the automatic stay stays the state court action referenced in Frontier's Motion with respect to anyone other than Lonestar. LoneStar Geophysical Surveys L.L.C is represented by: Ross Plourde, Esq. Steven W. Bugg, Esq. MCAFEE & TAFT A PROFESSIONAL CORPORATION 10th Floor, Two Leadership Square 211 North Robinson Oklahoma City, OK 73102-7103 Telephone:405/235-9621 Facsimile:405/235-0439 Email: ross.plourde@mcafeetaft.com steven.bugg@mcafeetaft.com The Frontier Stare Bank is represented by: C. Craig Cole, OBA No.1775 John E. Gatliff II, OBA No. 18060 C. CRAIG COLE & ASSOCIATES 317 N.W. 12th Street Oklahoma City, Oklahoma 73103 Telephone: (405) 232-8700 Facsimile (405) 232-1655 About Lonestar Geophysical Lonestar Geophysical Surveys, LLC, which acquires seismic data and provides services and products to the oil and gas industry, sought bankruptcy protection (Bankr. W.D. Okla. Case No. 15-11872) on May 18, 2015. Judge Hon. Sarah A. Hall presides over the case. The Debtor tapped Ross A. Plourde, Esq., at McAfee & Taft, as counsel. According to the docket, the Debtor's Chapter 11 plan and disclosure statement are due Sept. 15, 2015. Governmental proofs of claim are due Nov. 16, 2015. LONESTAR INTERMEDIATE: S&P Affirms 'B' CCR; Outlook Stable ---------------------------------------------------------- Standard & Poor's Ratings Services said that it affirmed its 'B' long-term corporate credit ratings on Lonestar Intermediate Super Holdings LLC (Lonestar; a wholly owned subsidiary of NEWAsurion Corp.) and Asurion LLC. The outlook is stable. At the same time, S&P affirmed its 'B' senior secured debt rating and '3' recovery rating on Asurion LLC's existing senior secured facilities, consisting of a $4.038 billion B-1 term loan, a $835 million B-2 term loan, and a $190 million revolver (with the transaction, the company amended revolver capacity on its revolver to $190 million from $100 million and extended maturity to 2019 from 2018). S&P also affirmed its 'CCC+' senior unsecured debt rating and '6' recovery rating on the company's unsecured facilities, which consist of a $1.7 billion second-lien term loan. Under the proposed refinancing, the company is also adding an incremental $450 million add-on to its existing second-lien term loan. S&P also assigned its 'B' senior secured debt and '3' recovery rating to the company's proposed new $700 million B-3 term loan due July 2022. NEWAsurion will use the proceeds from the $1.15 billion in new debt and $550 million in balance-sheet cash to fund a minority equity buyout, retire its $250 million non-amortizing term loan due 2017, and for general corporate purposes. "The affirmation reflects our belief that, although the proposed new debt issuance results in modestly weaker credit-protection measures, leverage and coverage remain within our expectations for the current rating. Furthermore, we believe the company's sustained competitive position and cash-flow generating capabilities will enable it to carry this increased debt," said Standard & Poor's credit analyst Julie Herman. "The stable outlook on NEWAsurion Corp. reflects our expectation that the company will continue to generate solid cash flow and be able to service its debt adequately. We believe the company benefits from its solid competitive position in the handset protection and extended service warranty market, strong attachment rates, and successful international expansion that have led to healthy and predictable revenue streams. We believe these factors will enable the company to sustain favorable operating performance. We expect projected cash flows to support the rating and allow NEWAsurion to maintain adequate debt servicing for the current rating, including financial leverage of 6x-6.5x for year-end 2015 and coverage of more than 2x. The outlook also incorporates our belief that the company's credit metrics could be pressured by its financial management strategy, which we consider to be a rating constraint," S&P said. S&P could lower the ratings during the next 12 months if NEWAsurion were to adopt a more aggressive financial policy via a substantial dividend recapitalization or large debt-funded acquisition resulting in a debt-to-EBITDA ratio of more than 8x or EBITDA coverage of less than 2x. S&P would also consider lowering the ratings if NEWAsurion's business profile were to deteriorate from the loss of one or two of its top clients. It is unlikely that S&P would raise the ratings during the next 12 months because of financial profile constraints. While also unlikely, if S&P believes the debt-to-EBITDA ratio will be consistently less than 6x and EBITDA interest coverage consistently more than 3x, S&P could raise the ratings by one notch. LOS GATOS HOTEL: Wins Extension of Cash Use Until Dec. 31 --------------------------------------------------------- Judge Arthur S. Weissbrodt of the United States Bankruptcy Court for the Northern District of California, San Jose Division, approved the Eighth Stipulation between Los Gatos Hotel Corporation and GCCFC 2006-GG7 Los Gatos Lodging Limited Partnership extending the terms of cash collateral provisions. Pursuant to the stipulation, the Debtor is authorized to use Secured Creditor's cash collateral through and including the earlier of (a) the date of confirmation of any plan of reorganization containing terms acceptable to Secured Creditor in its sole discretion, (b) the date of consummation of a sale of substantially all of the Debtor's assets, or (c) December 31, 2015, or until the authorization is terminated. Los Gatos Hotel Corporation is represented by: Jeffry A. Davis, Esq. Abigail V. O'Brient, Esq. Mintz Levin Cohn Ferris Glovsky and Popeo P.C. 3580 Carmel Mountain Road, Suite 300 San Diego, California 92130 Tel.: 858 314-1500 Fax: 858 314-1501 Email: jadavis@mintz.com avobrient@mintz.com About Los Gatos Hotel San Jose, California-based Los Gatos Hotel Corporation, dba Hotel Los Gatos, was formed in 2000 to build and operate Hotel Los Gatos, a full-service boutique hotel in downtown Los Gatos, California. Los Gatos Hotel filed for Chapter 11 bankruptcy protection on December 27, 2010 (Bankr. N.D. Cal. Case No. 10-63135). The Debtor disclosed $17,191,277 in assets and $12,896,468 in liabilities as of the Chapter 11 filing. Affiliate Blossom Valley Investors, Inc., filed a separate Chapter 11 petition on September 10, 2009 (Bankr. N.D. Cal. Case No. 09-57669). Jeffry A. Davis, Esq., at Mintz Levin Cohn Ferris Glovsky Popeo, serves as the Debtor's bankruptcy counsel. The Debtor has tapped OSAS Inc. as financial advisor and investment banker. MAGNETATION LLC: Proposes Up to $1.9MM in Bonuses to 120 Workers ---------------------------------------------------------------- Magnetation LLC and its debtor subsidiaries sought and obtained authority from the U.S. Bankruptcy Court for the District of Minnesota to implement the 2015 incentive program. Pursuant to a Management Services Agreement, Mag LLC contracts for the employment of approximately 125 employees from Mag Inc. These employees provide management, supervisory, human resources, finance, engineering, administrative and clerical services to Mag LLC. Pursuant to the Management Services Agreement, Mag LLC is required to reimburse Mag Inc. for the compensation and benefits, operating costs incurred by Mag Inc. on behalf of Mag LLC and Mag Inc.'s overhead costs attributable to the employees. Historically, and in the ordinary course of business, the Debtors have reimbursed Mag Inc. under the Management Services Agreement for annual incentive payments made by Mag Inc. to the employees that Mag Inc. provides to the Debtors pursuant to an annual incentive compensation program approved by Mag LLC's board of directors. There are approximately 120 eligible employees included in the 2015 Incentive Program. The 2015 Incentive Program contemplates Incentive Payments in an aggregate estimated amount of $1 to $1.9 million, with an aggregate cap of $2.4 million and an average estimated individual payment of between $8,000 and $16,000 per employee. Although the Incentive Payments would not be made until December 2015 -- potentially after the Debtors have emerged from Chapter 11 -- without assurances that the Incentive Payments will be forthcoming to bring the Eligible Employees' compensation in line with the industry, the Debtors risk the loss of the most valuable component of their businesses and a key element in their successful reorganization, Marshall S. Huebner, Esq., at Davis Polk & Wardwell LLP, in New York, tells the Court. The Debtors are represented by: Marshall S. Huebner, Esq. Michelle M. McGreal, Esq. DAVIS POLK & WARDWELL LLP 450 Lexington Avenue New York, New York 10017 Telephone: (212) 450-4000 Facsimile: (212) 701-5800 Email: marshall.huebner@davispolk.com michelle.mcgreal@davispolk.com -- and -- Ralph V. Mitchell, Esq. Mark J. Kalla, Esq. LAPP, LIBRA, THOMSON, STOEBNER & PUSCH, CHARTERED 120 South Sixth Street,Suite 2500 Minneapolis, Minnesota 55402 Telephone: (612) 338-5815 Facsimile: (612) 338-6651 Email: RMitchell@lapplibra.com Email: MKalla@lapplibra.com About Magnetation LLC Magnetation LLC -- http://www.magnetation.com/-- is a joint venture between Magnetation, Inc. (50.1% owner) and AK Iron Resources, LLC, an affiliate of AK Steel Corporation (49.9% owner). Magnetation LLC recovers high-quality iron ore concentrate from previously abandoned iron ore waste stockpiles and tailings basins. Magnetation LLC owns iron ore concentrate plants located in Keewatin, MN, Bovey, MN and Grand Rapids, MN, and an iron ore pellet plant in Reynolds, IN. Magnetation LLC and four subsidiaries sought Chapter 11 bankruptcy protection (Bankr. D. Minn. Lead Case No. 15-50307) in Duluth, Minnesota, on May 5, 2015, after reaching a deal with secured noteholders on a balance sheet restructuring. The cases are assigned to Chief Judge Gregory F Kishel. The Debtors have tapped Davis Polk & Wardwell LLP and Lapp, Libra, Thomson, Stoebner & Pusch, Chtd., as attorneys; Blackstone Advisory Partners LP as financial advisor; and Donlin, Recano & Company, Inc., as the claims agent. The Debtor's exclusive period for filing a plan and disclosure statement ends Sept. 2, 2015. The U.S. Trustee for Region 12 appointed three creditors of Magnetation LLC to serve on an official committee of unsecured creditors. The Creditors' Committee retains Cooley LLP as lead counsel and Foley & Mansfield, PLLP, as local counsel. MAMMOTH RESOURCES: Trustee's Bid to Dismiss Cory Appeal Granted --------------------------------------------------------------- Judge Greg N. Stivers of the United States District Court for the Western District of Kentucky, Bowling Green Division, granted the motion to dismiss Dr. Roger L. Cory's appeal from an order approving a settlement entered into between Robert W. Leasure, Chapter 11 trustee for Mammoth Resource Partners, Inc., et al., and various parties. On May 15, 2012, the Chapter 11 Trustee initiated an adversary proceeding asserting various claims against Cory, a shareholder of the Debtors. On May 31, 2013, a Settlement Agreement was entered into by various parties -- including the Debtors and Cory -- resolving all claims relating to the adversary proceedings initiated against Cory and others. Under the Settlement Agreement, Cory voluntarily relinquished certain property rights and interests in exchange for the Trustee's release of all further claims against Cory. The Settlement Agreement was approved on June 25, 2013. On November 26, 2014, Cory filed an appeal to set aside the Order of the Bankruptcy Court and void the settlement release agreement. He claimed that he was induced to grant the release by fraud, and/or undue influence. Judge Stivers concluded that Cory has failed to identify any legal basis to invalidate the Settlement Agreement. The judge found that Cory's allegations of fraud against the Trustee pertained to events that occurred prior to and which were unrelated to the execution of the Settlement Agreement. The judge also found that the purported undue influence and duress related to Cory's financial difficulties at the time he executed the Settlement Agreement which could not be considered proof of any undue influence or duress. The case is DR. ROGER L. CORY, Appellant, v. ROBERT W. LEASURE, CHAPTER 11 TRUSTEE, Appellee, CASE NO. 1:15-CV-00001-GNS (W.D. Ky.). A full-text copy of Judge Stivers' July 15, 2015 memorandum opinion and order is available at http://is.gd/RbM5vvfrom Leagle.com. Robert W. Leasure is represented by: Daniel T. Albers, Jr., Esq. Mark A. Robinson, Esq. Robert T. Wagner, Esq. VALENTI, HANLEY & ROBINSON, PLLC 401 West Main Street, Suite 1950 Louisville, KY 40202 Tel: (502) 568-2100 Fax: (502) 568-2101 Mammoth Resource Partners, Inc. is represented by: Charity B. Neukomm, Esq. SEILLER WATERMAN, LLC 462 S. Fourth Street, 22nd Floor Louisville, KY 40202 Tel: (502) 584-7400 Fax: (502) 583-2100 Email: neukomm@derbycitylaw.com -- and – Kenneth A. Meredith, II LAW OFFICES OF KENNETH A. MEREDITH II 316 East ain St. Bowling Green, KY 42102 Tel: (270) 781-6194 (270) 991-4007 Fax: (270) 783-0681 Cave City, Kentucky-based Mammoth Resource Partners, Inc., filed for Chapter 11 bankruptcy (Bankr. W.D. Ky. Case No. 10-11377) on Sept. 8, 2010. Judge Joan A. Lloyd presides over the case. David M. Cantor, Esq., at Seiller Waterman LLC, serves as the Debtor's counsel. In its petition, the Debtor estimated $1 million to $10 million in assets and $100,001 to $500,000 in debts. A list of the Company's 20 largest unsecured creditors filed together with the petition is available for free at http://bankrupt.com/misc/kywb10-11377.pdf The petition was signed by Roger L. Cory, CEO. MARVEL ENTERTAINMENT: Entire CNOL Considered as NOL for Reduction ----------------------------------------------------------------- The United States Tax Court ruled in favor of the Commissioner of the Internal Revenue, after being made to decide, as a matter of law, whether a consolidated group's net operating loss subject to reduction under section 108(b)(2)(A) for its short taxable year ending October 1, 1998, is (1) the entire consolidated net operating loss of the consolidated group or (2) a portion of the CNOL allocable to each member of the consolidated group. Petitioner Marvel Entertainment, LLC, et al., argue that the NOL subject to reduction under Section 108(b)(2)(A) is limited to the share of a consolidated group's CNOL allocable to each member entity. Judge Ruwe, finding that neither the Internal Revenue Code nor the applicable consolidated return regulations provide authority for an affiliated group to allocate and apportion CNOL to consolidated group members for purposes of reducing tax attributes pursuant to section 108(b)(2)(A), held that for the relevant consolidated return years in issue, the consolidated return regulations required that a consolidated group's entire CNOL be treated as the NOL subject to reduction. The case is MARVEL ENTERTAINMENT, LLC, AS SUCCESSOR TO MARVEL ENTERTAINMENT, INC., f.k.a. MARVEL ENTERPRISES, INC. AND AS AGENT FOR MEMBERS OF MARVEL ENTERPRISES, INC. AND SUBSIDIARIES GROUP, Petitioner, v. COMMISSIONER OF INTERNAL REVENUE, Respondent, Docket No. 12113-13. A full-text copy of Judge Ruwe's Opinion, dated July 21, 2015, is available at http://is.gd/rTdSsbfrom Leagle.com. Marvel Entertainment, LLC is represented by: Mark J. Silverman, Esq. Andrew F. Gordon, Esq. STEPTOE & JOHNSON LLP 1330 Connecticut Avenue, NW Washington, D.C. 20036 Telephone: (202)429-6450 Facsimile: (202)429-3902 Email: msliverman@steptoe.com agordon@steptoe.com - and - Matthew D. Lerner, Esq. SIDLEY AUSTIN LLP 1501 K Street, N.W. Washington, D.C. 20005 Telephone: (202)736-8983 Email: mlerner@sidley.com Commissioner of Internal Revenue is represented by: Curt M. Rubin, Esq. Steven N. Balahtsis, Esq. 33 Maiden Lane, 12th Floor New York, N.Y. 10038 Telephone: (971)421-4655 Facsimile: (917)421-4821 About Marvel Entertainment With a library of over 5,000 characters built over more than 60 years of comic book publishing, Marvel Entertainment, Inc. -- http://www.marvel.com/-- is one of the world's most prominent character-based entertainment companies. Marvel utilizes its character franchises in licensing, entertainment (via Marvel Studios) and publishing (via Marvel Comics), with emphasis on feature films, home DVD, consumer products, video games, action figures and role-playing toys, television and promotions. Marvel's strategy is to leverage its franchises in a growing array of opportunities around the world. Marvel filed for chapter 11 bankruptcy on Dec. 27, 1996 (Bankr. D. Del. Case No. 96-_____), to implement a proposed $525 million recapitalization. Marvel's filing did not include Marvel's Panini subsidiary, which is headquartered in Italy. In conjunction with the chapter 11 filing, a bank group led by Chase Manhattan Bank agreed to provide Marvel with $100 million of debtor-in- possession financing. Marvel's plan of reorganization was consummated on Oct. 18, 1998. The plan was confirmed on July 31, 1998. Pursuant to the plan, MEG Acquisition Corp., a Delaware corporation and a wholly owned subsidiary of the company, merged with and into Marvel, with Marvel continuing as the surviving corporation and as a wholly owned subsidiary of the registrant. As a result of the merger, the company acquired all of the tangible and intangible assets of Marvel. Marvel was acquired by Walt Disney Co. in 2009 for $4 billion. MCCLATCHY CO: Reports Preliminary Second Quarter 2015 Results ------------------------------------------------------------- The McClatchy Company reported preliminary earnings from continuing operations in the second quarter of 2015 of $0.1 million, or $0.00 per share. Preliminary earnings do not include an anticipated non-cash charge to GAAP earnings for impairment of goodwill and long-lived assets. In connection with the company's management reorganization actions and the recent decline in its stock price, management noted that it is in the process of performing impairment testing of goodwill and other long-lived assets as of June 28, 2015. Upon completion of that testing, the company expects to record a non-cash impairment charge to GAAP earnings in its second quarter financial statements when it files its Form 10-Q with the Securities and Exchange Commission (SEC) on or before Aug. 7, 2015. The company will issue a press release announcing the final second quarter results when it files its Form 10-Q with the SEC. The Company reported net income of $98,000 on $262.3 million of revenues for the quarter ended June 28, 2015, compared to net income of $89.9 million on $287.4 million of revenues for the quarter ended June 29, 2015. For the six months ended June 28, 2015, the Company recorded a net loss of $11.2 million on $519.5 million of revenues compared to net income of $74.1 million on $563.5 million of revenues for the quarter ended June 29, 2014. Pat Talamantes, McClatchy's president and CEO, said, "We made significant progress in the second quarter executing on our strategic initiatives even in the face of another challenging quarter, particularly in print-related advertising revenue. As we outlined during our first quarter earnings call in April of this year, we are working on various revenue-generating and expense-savings initiatives. We are focused on building the leading local media companies in each of our markets as we expand and grow our non-traditional revenue sources while at the same time reducing legacy costs. We are on track to achieve the $25 million to $30 million of cost savings in 2015 that we targeted at the onset from these specific initiatives. We expect the savings to continue to build over the course of the year and, in light of continued weakness in print advertising revenues, individual newspapers continue to adopt additional cost reduction plans to achieve their budgets." Talamantes continued, "In addition to the gains we made on the operational front, we were also able to reduce our outstanding debt balance by $41.3 million and still end the quarter with $32.1 million in cash. We saw an improvement in free cash flow generation as cash interest continues to decline. And under our newly established share repurchase program, we repurchased 565,000 shares of Class A stock during the quarter." A copy of the press release is available at http://is.gd/S5Y15b About The McClatchy Company Sacramento, Cal.-based The McClatchy Company (NYSE: MNI) -- http://www.mcclatchy.com/-- is a media company that provides both print and digital news and advertising services. Its operations include 30 daily newspapers, community newspapers, websites, mobile news and advertising, niche publications, direct marketing and direct mail services. Its owned newspapers include, among others, the (Fort Worth) Star-Telegram, The Sacramento Bee, The Kansas City Star, the Miami Herald, The Charlotte Observer, and The (Raleigh) News & Observer. The Company holds interest in digital assets which include CareerBuilder, LLC, Classified Ventures, LLC, HomeFinder, LLC, and Wanderful Media. McClatchy Co reported net income of $374 million on $1.14 billion of net revenues for the year ended Dec. 28, 2014, compared with net income of $18.8 million on $1.21 billion of net revenues for the year ended Dec. 29, 2013. As of March 29, 2015, the Company had $2.35 billion in total assets, $1.85 billion in total liabilities, and $496 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. 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. MCS GROUP: Moody's Affirms 'B3' Corporate Family Rating ------------------------------------------------------- Moody's Investors Service affirmed MCS Group Holdings LLC's (formerly known as MCS AMS Sub-Group Holdings, LLC, "MCS") ratings. The Corporate Family rating ("CFR") was affirmed at B3, the Probability of Default rating ("PDR") was affirmed at Caa1-PD and the senior secured was affirmed at B3 (LGD3). The rating outlook was revised to stable from negative. MCS and its lenders have agreed to an amendment to the senior secured credit facilities. The amendment relaxes financial covenants, among other things. Issuer: MCS Group Holdings LLC Actions: Corporate Family Rating, Affirmed B3 Probability of Default Rating, Affirmed Caa1-PD Senior Secured Bank Credit Facility, Affirmed B3 (LGD3) Outlook: Outlook, Changed To Stable From Negative RATINGS RATIONALE MCS's B3 CFR reflects debt to EBITDA Moody's expects will remain around 5 times, limited free cash flow and high customer concentration. MCS has narrowed its business focus by exiting the post-foreclosure property management business following the loss of its largest REO customer in 2014, but by doing so Moody's expects MCS should be able to grow revenues 2% to 4% in 2015 and 2016 by emphasizing services in the market for property management services to banks and servicers with non-performing and pre-foreclosure residential mortgages. The recent amendment affords the company additional time to produce improvements in its financial results. Liquidity is considered adequate, although Moody's notes that $25.5 million per year of required term loan amortization and financial covenant requirements that tighten over time could cause pressure if operating results fall below expectations. The stable ratings outlook reflects MCS's improved financial flexibility as a result of the recent amendment and ongoing sponsor support, as well as Moody's anticipation of about $30 million of free cash flow and adequate liquidity. Moody's expects MCS may seek to boost revenue growth through acquisitions. The ratings could be upgraded if MCS demonstrates sustained revenue growth, substantial improvement in credit metrics and improved liquidity. The ratings could be lowered if revenues decline or liquidity deteriorates. MCS, controlled by affiliates of financial sponsor TDR Capital, provides property inspection and preservation services on behalf of lenders and loan servicers for homes with defaulted mortgage loans. Moody's expects 2015 revenues of about $350 million. MILAGRO HOLDINGS: July 30 Meeting Set to Form Creditors' Panel -------------------------------------------------------------- Andy Vara, Acting United States Trustee for Region 3, will hold an organizational meeting on July 30, 2015, at 10:00 a.m. in the bankruptcy case of Milagro Holdings, LLC, et al. The meeting will be held at: J. Caleb Boggs Federal Building 844 King St., Room 2112 Wilmington, DE 19801 The sole purpose of the meeting will be to form a committee or committees of unsecured creditors in the Debtors' case. The organizational meeting is not the meeting of creditors pursuant to Section 341 of the Bankruptcy Code. A representative of the Debtor, however, may attend the Organizational Meeting, and provide background information regarding the bankruptcy cases. To increase participation in the Chapter 11 proceeding, Section 1102 of the Bankruptcy Code requires that the United States Trustee appoint a committee of unsecured creditors as soon as practicable. The Committee ordinarily consists of the persons, willing to serve, that hold the seven largest unsecured claims against the debtor of the kinds represented on the committee. Section 1103 of the Bankruptcy Code provides that the Committee may consult with the debtor, investigate the debtor and its business operations and participate in the formulation of a plan of reorganization. The Committee may also perform other services as are in the interests of the unsecured creditors whom it represents. MINERAL PARK: Seeks Approval of $500K Settlement with Trafigura --------------------------------------------------------------- Mineral Park, Inc. and its affiliated debtors ask the U.S. Bankruptcy Court for the District of Delaware to approve a settlement with Trafigura Trading LLC, f/k/a Trafigura AG and Societe Generale, as administrative agent. The material provisions of the Settlement Agreement are as follows: (1) Trafigura will pay to the Debtors' "Proceeds Account" the following amounts: (a) $500,000; (b) an amount equal to 20% of any amount over $5,000,000 that Trafigura receives from the Cash Proceeds; and (b) so long as Trafigura receives at least $1,000,000 from the Cash Proceeds, an amount equal to the sum of (x) $150,000 and (y) 10% of any amount that Trafigura receives from the Cash Proceeds; (2) The Agent may apply the Settlement Payments in reduction of the MPI Obligations; (3) The Debtors will dismiss the Adversary Proceeding with prejudice; (4) The Surcharge Motion will be deemed amended to withdraw the request that any assets of Bluefish be surcharged; (5) The Debtors will withdraw the Motion to Approve Stipulation and the Additional Cash Stipulation; (6) The Debtors will turn over the Additional Cash Proceeds to the Agent, and the Agent will apply the Additional Cash Proceeds in reduction of the MPI Obligations; (7) Trafigura will release (i) all interest in the Reclamation Cash, the Reclamation Cash Proceeds and any other Cash Collateral and (ii) all claims against the Agent or the Lenders in relation to the Additional Cash Proceeds and any other Cash Collateral; (8) Discovery between Trafigura and the Agent will be deemed complete and neither Trafigura nor the agent will call the other as a witness at the Trial; and (9) The Debtors and Trafigura will exchange mutual releases with respect to the Off-Take Contract, the Receivable and the Adversary Proceeding. James E. O'Neill, Esq., at Pachulski Stang Ziehl & Jones LLP in Wilmington, Delaware, tells the Court that the Settlement Agreement benefits creditors -- specifically, the Agent and the Lenders -- by giving the Debtors access to $500,000 in immediately available funds and future payments that may reach $2,650,000 in order to pay down Mineral Park's obligations under the Credit Agreement it executed with the Lenders to finance its mining operations at Mineral Park Mine. Mr. O'Neill further tells the Court that the Settlement Agreement will also enable the Debtors to turn over the Additional Cash Proceeds to the Agent free and clear of Trafigura's asserted claims. Mohave County, Arizona, objected to the Debtors' Motion., arguing that the Settlement Motion should not be granted, nor the Settlement Agreement approved, because it prematurely seeks to resolve contested matters pending before the Court to the detriment of non-parties, including Mohave County. Mohave County also complains that the Debtors have not demonstrated that the Settlement Agreement is in the best interest of the Debtors' estates. The Official Committee of Unsecured Creditors filed a limited objection, complaining that the Debtors have not provided an estimate of the fees and expenses they expect to accrue in connection with the Adversary Proceeding and the motion does not expressly identify a mechanism by which other parties with an interest in the estate's limited funds will have an opportunity to review and object to such fees and costs. The Committee, accordingly, asks that any order granting the motion expressly state that any payment of fees and expenses out of the Settlement Payments and Additional Cash Proceeds held by the Agent remains subject to all fee application procedures approved in the cases. The Committee said that under the proposed settlement, the Agent's right to retain the Settlement Payments and Additional Cash Proceeds is made subject not only to the Carve-Out, but also to the Debtors' "reasonable professional fees and expenses in connection with the Adversary Proceeding." The Committee asserted that the motion does not make clear how the rights of estate professionals other than Debtors' counsel might be impacted by this new arrangement. Mineral Park, Inc. and Bluefish Energy Corporation are represented by: Jeremy V. Richards, Esq. Maxim B. Litvak, Esq. James E. O'Neill, Esq. PACHULSKI STANG ZIEHL & JONES LLP 919 North Market Street, 17th Floor P.O. Box 8705 Wilmington, DE 19899-8705 Telephone: (302)652-4100 Facsimile: (302)652-4400 Email: jrichards@pszjlaw.com mlitvak@pszjlaw.com joneill@pszjlaw.com -- and -- Edward O. Sassower, Esq. Stephen E. Hessler, Esq. Brian E. Schartz, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, NY 10022-4611 Telephone: (212)446-4800 Facsimile: (212)446-4900 Email: edward.sassower@kirkland.com stephen.hessler@kirkland.com brian.schartz@kirkland.com -- and -- James H.M. Sprayregen, Esq. Marc Kieselstein, Esq. Chad J. Husnick, Esq. Steven N. Serajeddini, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 300 North LaSalle Chicago, Illinois 60654 Telephone: (312)862-2000 Facsimile: (312)862-2200 Email: james.sprayregen@kirkland.com marc.kieselstein@kirkland.com chad.husnick@kirkland.com steven.serajeddini@kirkland.com Mohave County, Arizona is represented by: Christopher M. Winter, Esq. Jarret P. Hitchings, Esq. DUANE MORRIS LLP 222 Delaware Avenue, Suite 1600 Wilmington, DE 19801-1246 Telephone: (302)657-4900 Facsimile: (302)657-4901 Email: cmwinter@duanemorris.com jphitchings@duanemorris.com The Official Committee of Unsecured Creditors is represented by: Adam Hiller, Esq. Brian Arban, Esq. Johnna M. Darby, Esq. HILLER & ARBAN LLC 1500 N. French Street, 2nd Floor Wilmington, DE 19801 Telephone: (302)442-7676 Facsimile: (302)442-7045 Email: ahiller@hillerarban.com barban@hillerarban.com jdarby@hillerarban.com -- and -- Robert T. Kugler, Esq. Edwin H. Caldie, Esq. STINSON LEONARD STREET LLP 150 South Fifth Street, Suite 2300 Minneapolis, MN 55402 Telephone: (612)335-1404 Facsimile: (612)335-1657 Email: robert.kugler@stinsonleonard.com ed.caldie@stinsonleonard.com 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 million in total assets and $266 million in total liabilities. MINERAL TECHNOLOGY: Case Summary & 20 Top Unsecured Creditors ------------------------------------------------------------- Debtor: Mineral Technology Corporation aka MinTec 4990 N. Elk Vale Road Rapid City, SD 57701 Email: sdsenstan@gmail.com Case No.: 15-50164 Chapter 11 Petition Date: July 23, 2015 Court: United States Bankruptcy Court District of South Dakota (Western (Rapid City)) Judge: Hon. Charles L. Nail, Jr. Debtor's Counsel: Stanton A. Anker, Esq. ANKER LAW GROUP, P.C. 1301 West Omaha Street, Suite 207 Rapid City, SD 57701 Tel: 605-718-7050 Fax: 605-718-0700 Email: stanton@ankerlawgroup.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Stanford Adelstein, chairman, Board of Directors. A list of the Debtor's 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/sdb15-50164.pdf MOTORS LIQUIDATION: GUC Trust Sells 10.2M New GM Common Shares -------------------------------------------------------------- Pursuant to an order of the Bankruptcy Court for the Southern District of New York, Wilmington Trust Company, solely in its capacity as trust administrator and trustee of the Motors Liquidation Company GUC Trust, received authority to: (i) convert all of the GUC Trust's holdings of (A) a series of warrants each entitling the holder to acquire one share of common stock, par value $0.01 per share, of General Motors Company with an exercise price of $10.00 per share, (B) a series of warrants each entitling the holder to acquire one share of New GM Common Stock with an exercise price of $18.33 per share; and (ii) liquidate all or substantially all of its holdings of New GM Common Stock into cash. Following entry of the Liquidation Order, the GUC Trust converted (i) 10,352,556 Class "A" Warrants into 7,390,502 shares of New GM Common Stock utilizing the cashless exercise feature of such warrants, and (ii) 10,352,556 Class "B" Warrants into 4,923,111 shares of New GM Common Stock utilizing the cashless exercise feature of those warrants. As of July 24, 2015, the GUC Trust has completed sales in the aggregate of 10,200,000 shares of New GM Common Stock at a weighted average price of $30.8391 per share in the open market for a total consideration, net of transaction expenses, of $314,196,008 in cash. The GUC Trust intends to continue the liquidation of its remaining holdings of New GM Common Stock in accordance with the Liquidation Order. About Motors Liquidation General Motors Corporation and three of its affiliates filed for Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 09-50026) on June 1, 2009. The Honorable Robert E. Gerber presides over the Chapter 11 cases. Harvey R. Miller, Esq., Stephen Karotkin, Esq., and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges LLP, assist the Debtors in their restructuring efforts. Al Koch at AP Services, LLC, an affiliate of AlixPartners, LLP, serves as the Chief Executive Officer for Motors Liquidation Company. GM is also represented by Jenner & Block LLP and Honigman Miller Schwartz and Cohn LLP as counsel. Cravath, Swaine, & Moore LLP is providing legal advice to the GM Board of Directors. GM's financial advisors are Morgan Stanley, Evercore Partners and the Blackstone Group LLP. Garden City Group is the claims and notice agent of the Debtors. The U.S. Trustee appointed an Official Committee of Unsecured Creditors and a separate Official Committee of Unsecured Creditors Holding Asbestos-Related Claims. Lawyers at Kramer Levin Naftalis & Frankel LLP served as bankruptcy counsel to the Creditors Committee. Attorneys at Butzel Long served as counsel on supplier contract matters. FTI Consulting Inc. served as financial advisors to the Creditors Committee. Elihu Inselbuch, Esq., at Caplin & Drysdale, Chartered, represented the Asbestos Committee. Legal Analysis Systems, Inc., served as asbestos valuation analyst. The Bankruptcy Court entered an order confirming the Debtors' Second Amended Joint Chapter 11 Plan on March 29, 2011. The Plan was declared effect on March 31. On Dec. 15, 2011, Motors Liquidation Company was dissolved. On the Dissolution Date, pursuant to the Plan and the Motors Liquidation Company GUC Trust Agreement, dated March 30, 2011, between the parties thereto, the trust administrator and trustee -- GUC Trust Administrator -- of the Motors Liquidation Company GUC Trust, assumed responsibility for the affairs of and certain claims against MLC and its debtor subsidiaries that were not concluded prior to the Dissolution Date. As of March 31, 2015, Motors Liquidation had $1.01 billion in total assets, $69.23 million in total liabilities and $944.73 million in net assets in liquidation. MOTORS LIQUIDATION: Wilmington Files Trust Report as of June 30 --------------------------------------------------------------- Wilmington Trust Company, acting solely in its capacity as trust administrator and trustee of the Motors Liquidation Company GUC Trust, filed a GUC Trust Report required by Section 6.2(c) of the GUC Trust Agreement together with the Budget Variance Report, each for the fiscal quarter ended June 30, 2015. In addition, the Motors Liquidation Company GUC Trust announced that no distribution in respect of its Units is anticipated for the fiscal quarter ended June 30, 2015. Pursuant to the Amended and Restated Motors Liquidation Company GUC Trust Agreement dated as of June 11, 2012, and between the parties thereto, as amended, the GUC Trust Administrator is required to file GUC Trust Reports with the Bankruptcy Court for the Southern District of New York. In addition, pursuant to that certain Bankruptcy Court Order Authorizing the GUC Trust Administrator to Liquidate New GM Securities for the Purpose of Funding Fees, Costs and Expenses of the GUC Trust and the Avoidance Action Trust, dated March 8, 2012, the GUC Trust Administrator is required to file certain quarterly variance reports as described in the third sentence of Section 6.4 of the GUC Trust Agreement with the Bankruptcy Court. A copy of the Morots Liquidation Company GUC Trust Quarterly Section 6.2(C) Report and Budget Variance Report as of June 30, 2015, is available at http://is.gd/i84toY About Motors Liquidation General Motors Corporation and three of its affiliates filed for Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 09-50026) on June 1, 2009. The Honorable Robert E. Gerber presides over the Chapter 11 cases. Harvey R. Miller, Esq., Stephen Karotkin, Esq., and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges LLP, assist the Debtors in their restructuring efforts. Al Koch at AP Services, LLC, an affiliate of AlixPartners, LLP, serves as the Chief Executive Officer for Motors Liquidation Company. GM is also represented by Jenner & Block LLP and Honigman Miller Schwartz and Cohn LLP as counsel. Cravath, Swaine, & Moore LLP is providing legal advice to the GM Board of Directors. GM's financial advisors are Morgan Stanley, Evercore Partners and the Blackstone Group LLP. Garden City Group is the claims and notice agent of the Debtors. The U.S. Trustee appointed an Official Committee of Unsecured Creditors and a separate Official Committee of Unsecured Creditors Holding Asbestos-Related Claims. Lawyers at Kramer Levin Naftalis & Frankel LLP served as bankruptcy counsel to the Creditors Committee. Attorneys at Butzel Long served as counsel on supplier contract matters. FTI Consulting Inc. served as financial advisors to the Creditors Committee. Elihu Inselbuch, Esq., at Caplin & Drysdale, Chartered, represented the Asbestos Committee. Legal Analysis Systems, Inc., served as asbestos valuation analyst. The Bankruptcy Court entered an order confirming the Debtors' Second Amended Joint Chapter 11 Plan on March 29, 2011. The Plan was declared effect on March 31. On Dec. 15, 2011, Motors Liquidation Company was dissolved. On the Dissolution Date, pursuant to the Plan and the Motors Liquidation Company GUC Trust Agreement, dated March 30, 2011, between the parties thereto, the trust administrator and trustee -- GUC Trust Administrator -- of the Motors Liquidation Company GUC Trust, assumed responsibility for the affairs of and certain claims against MLC and its debtor subsidiaries that were not concluded prior to the Dissolution Date. As of March 31, 2015, Motors Liquidation had $1.01 billion in total assets, $69.23 million in total liabilities and $944.73 million in net assets in liquidation. NAARTJIE CUSTOM: Court Grants Bid to Dismiss Chap. 11 Case ---------------------------------------------------------- Naartjie Custom Kids, Inc., joined by the Official Committee of Unsecured Creditor asked the United States Bankruptcy Court for the District of Utah to dismiss the Chapter 11 case. Upon dismissal, however, the Debtor asks that the orders of the Court remain in full force and effect and that release and exculpation provisions be included in the order dismissing the case. Only the United States Trustee objected to the Motion to Dismiss, arguing that there is no statutory authority to grant the relief sought. U.S. Bankruptcy Judge William T. Thurman overruled the U.S. Trustee's objection and granted the Debtor's motion to dismiss its Chapter 11 case. Judge Thurman said he appreciates the attention that the U.S. Trustee has given this and the other cases in this District. The U.S. Trustee's arguments against the structured dismissal appear to be better suited to those cases where there are a myriad of loose ends, lack of unanimity of support from creditors, and a failure to address the needs of creditors, Judge Thurman held. In this particular case, the Court is persuaded that the moving parties have carried their burden of persuasion. The bankruptcy case is In re AARTJIE CUSTOM KIDS, INC., Chapter 11, Debtor, Bankruptcy Case No. 14-29666, (D. Utah). A full-text copy of Judge Thurman's Memorandum Decision dated July 13, 2015, is available at http://is.gd/5GNWktfrom Leagle.com. About Naartjie Custom Kids Naartjie Custom Kids, Inc., which designs, manufactures and sells children's clothing, accessories and footwear for ages newborn through 10 years old, sought protection under Chapter 11 of the Bankruptcy Code on Sept. 12, 2014 (Bankr. D. Utah Case No. 14 29666). The present case is assigned to Judge William T. Thurman. The Debtor's counsel is Annette W. Jarvis, Esq., Jeffrey M. Armington, Esq., Benjamin J. Kotter, Esq., and Michael F. Thomson Esq., at Dorsey & Whitney LLP, in Salt Lake City, Utah. The Official Committee of Unsecured Creditors is represented by Pachulski Stang Ziehl & Jones LLP as its counsel. Ray Quinney & Nebeker P.C. serves as local counsel. FTI Consulting, Inc. serves its financial advisor. NET DATA: Files Amended Schedules of Assets and Liabilities ----------------------------------------------------------- Net Data Centers, Inc., filed with the U.S. Bankruptcy Court for the Central District of California amended schedules of assets and liabilities, disclosing: Name of Schedule Assets Liabilities ---------------- ----------- ----------- A. Real Property $0 B. Personal Property $9,566,908 C. Property Claimed as Exempt D. Creditors Holding Secured Claims $1,845,051 E. Creditors Holding Unsecured Priority Claims $24,975 F. Creditors Holding Unsecured Non-Priority Claims $11,482,347 ----------- ----------- Total $9,566,908 $13,352,373 A copy of the schedules is available for free at: http://bankrupt.com/misc/NetData_108_amendedSAL_May27.pdf The Debtor later filed amendments to its Schedule B, a copy of which is available for free at: http://bankrupt.com/misc/NetData_111_amendedSAL_B_May27.pdf In its original schedules, the Debtor disclosed $9,110,070 in assets and $5,236,687 in liabilities. About Net Data Centers Net Data Centers, Inc. filed a Chapter 11 bankruptcy petition (Bankr. C.D. Cal. Case No. 15-12690) on Feb. 23, 2015. Pervez P. Delawalla, the president & CEO, signed the petition. The Hon. Sheri Bluebond is assigned to the case. William F Govier, Esq., at Lesnick Prince & Pappas LLP, serves as counsel to the Debtor. The U.S. trustee appointed three creditors to serve on the Official Committee Of Unsecured Creditors. The Committee is represented by Buchalter Nemer, APC. NET DATA: Files List of Creditors Holding Largest Unsecured Claims ------------------------------------------------------------------ Net Data Centers, Inc., filed with the U.S. Bankruptcy Court for the Central District of California a list of creditors holding the largest unsecured claims: Creditor Nature of Claim Amount of Claim -------- --------------- --------------- DuPont Fabros Note Payable $6,619,151 1212 New York Ave NW Suite 900 Washington, DC 20005 Wells Fargo-Charter Bank Account $1,598,570 Holdings Inc. Collateral Department 887995 Los Angeles, CA 90088-7995 Digital Realty Trust Rent, Note Payable $1,140,856 2260 East El Segundo Blvd. El Segundo, CA 90245 Grizzy Ventures, LLC Rent $733,619 1212 New York Ave NW Suite 900 Washington, DC 20005 Chad Long Commissions $641,476 2010-B Gates Ave. Redondo Beach, CA 90278 GIP 7th Street, Inc. Rent, power, key cards $603,070 c/o Digital Reaty Trust 600 W. 7th Street Los Angeles, CA 90017 Whale Ventures, LLC Rent $551,280 1211 New York Ave NW Suite 900 Washington , DC 20005 Lemur Properties Rent $307,263 1212 New York Ave NW Suite 900 Washington, DC 20005 Anschutz Entertainment Group Customer Deposit $162,248 Terry Spoors Employment Claims $120,000 Fox Properties, LLC Rent $114,346 Stratacore, Inc. Referral Fees $100,069 Clearview Customer Deposit $81,145 DLL Financial Services, Inc. Equipment $78,968 Leaf Capital Equipment $50,348 IFS Corporation Corporate Insurance $45,699 Avant Communications Network Services $34,961 Navsite Customer Deposits $33,110 Zayo Group Network Services $24,733 Manhattan Beach Trading, Inc. Customer Deposit $2,264 About Net Data Centers Net Data Centers, Inc. filed a Chapter 11 bankruptcy petition (Bankr. C.D. Cal. Case No. 15-12690) on Feb. 23, 2015. Pervez P. Delawalla, the president & CEO, signed the petition. The Hon. Sheri Bluebond is assigned to the case. William F Govier, Esq., at Lesnick Prince & Pappas LLP, serves as counsel to the Debtor. The Debtor disclosed, in an amended schedules, $9,566,908 in assets and $13,352,373 in liabilities. In its original schedules, the Debtor disclosed $9,110,070 in assets and $5,236,687 in liabilities. The U.S. trustee appointed three creditors to serve on the Official Committee Of Unsecured Creditors. The Committee is represented by Buchalter Nemer, APC. NET DATA: Temporary Legal Service Contract With Landau Approved --------------------------------------------------------------- The Hon. Sheri Bluebond of the U.S. Bankruptcy Court for the Central District of California granted Net Data Centers' amended motion for order employing Law Offices of Paul A. Beck, A Professional Corporation, as general bankruptcy counsel. The Court said that the employment order is amended to approve the Temporary Legal Service Contract with Lewis R. Landau, attorney-at-law. On June 10, 2015 the Court entered an employment order granting the Beck application. On June 4, the Debtor filed its supplement to the Beck application to include approval of a Temporary Legal Service Contract with Mr. Landau. The Debtor proposed to pay Mr. Landau at his hourly rate of $450. The Court approved the Beck application but was unable to include approval of the supplement based on the recent filing thereof. The Debtor is represented by: Paul A. Beck, Esq. Lewis R. Landau, Esq. Law Offices of Paul A. Beck, APC 13701 Riverside Drive, Suite 701 Sherman Oaks, CA 91423 Tel: (818) 501-1141 Fax: (818) 501-1241 E-mail: pab@pablaw.org lew@landaunet.com About Net Data Centers Net Data Centers, Inc. filed a Chapter 11 bankruptcy petition (Bankr. C.D. Cal. Case No. 15-12690) on Feb. 23, 2015. Pervez P. Delawalla, the president & CEO, signed the petition. The Hon. Sheri Bluebond is assigned to the case. William F Govier, Esq., at Lesnick Prince & Pappas LLP, serves as counsel to the Debtor. The Debtor disclosed, in an amended schedules, $9,566,908 in assets and $13,352,373 in liabilities. In its original schedules, the Debtor disclosed $9,110,070 in assets and $5,236,687 in liabilities. The U.S. trustee appointed three creditors to serve on the Official Committee Of Unsecured Creditors. The Committee is represented by Buchalter Nemer, APC. NEW YORK LIGHT: Has Interim Authority to Use M&T Cash Collateral ---------------------------------------------------------------- Judge Robert E. Littlefield, Jr., of the United States Bankruptcy Court for Northern District of New York gave New York Light Energy, LLC, et al., interim authority to use cash collateral securing their prepetition indebtedness from Manufacturers and Traders Trust Company. The Debtors are authorized to incur postpetition indebtedness to the limited extent that: (a) advances made by the Lender to Light Energy Fund, III, L.P., after the Petition Date pursuant to the Fund Loan Agreements will be secured, covered, and included within the scope of repayment of: (i) the Debtor Guaranties, and (ii) the Debtor Security Agreements, and (iii) the Post-Petition Energy Lien, and (b) the Debtors will comply with their obligations pursuant to the Fund Loan Agreements with respect to the Postpetition LEF Advances. The final hearing on the Cash Collateral Request is set for August 12, 2015 at 10:30 a.m. Any objections must be filed on or before August 5. About New York Light Energy Founded in 2009 and based in Latham, New York, New York Light Energy, LLC, designs and installs medium-scale solar arrays in New York State and Massachusetts. The Company has installed solar arrays on more than 180 industrial, commercial, municipal, and residential sites, with a total of over 15 megawatts of capacity to date. NYLE and its affiliates commenced Chapter 11 bankruptcy cases (Bankr. N.D.N.Y. Lead Case No. 15-11121) in Albany, New York, on May 27, 2015. The Debtors tapped Bond, Schoeneck & King, PLLC, as counsel. Judge Robert E. Littlefield Jr. is assigned to the cases. The Bankruptcy Court set Nov. 23, 2015, as the last day for creditors to file proofs of claim. NEW YORK LIGHT: U.S. Trustee Forms Three-Member Creditors Panel --------------------------------------------------------------- William K. Harrington, the U.S. Trustee for Region 2, appointed three creditors to serve in an Official Committee of Unsecured Creditors in the Chapter 11 cases of New York Light Energy, LLC, et al.: 1. Flex Electrical Constructors, Inc. Attn: Kevin J. Haggerty, president c/o Flex Electric LLC 2134 3rd Avenue Watervliet, NY 12189 Tel: (518) 449-1407 Fax: (518) 449-3197 E-mail: khaggerty@flexelectric.com Represented by: Mark W. Couch, Esq. Couch Dale Marshall, PC 29 British America Boulevard Latham, NY 12110 Tel: (518) 220-9577 Fax: (518) 220-9587 E-mail: mcouch@couchdalemarshall.com 2. Panel Claw, Inc. Attn: Thomas Ringler, CFO 1570 Osgood Street, #2100 North Andover, MA 01845 Tel: (978) 688-4900 Fax: (978) 688-5100 E-mail: TRingler@panelclaw.com 3. CS Arch Attn: Richard Peckham, vice president 40 Beaver Street Albany, NY 12207 Tel: (518) 463-8068 Fax: (518) 463-8069 E-mail: rpeckham@csarchpc.com Represented by: William Ryan, Esq. Tabner, Ryan and Keniry, LLP 18 Corporate Woods Boulevard Albany, NY 12211 Tel: (518) 465-9500 ext. 303 Fax: (518) 465-5112 E-mail: ufr@trklaw.com About New York Light Energy Founded in 2009 and based in Latham, New York, New York Light Energy, LLC, designs and installs medium-scale solar arrays in New York State and Massachusetts. The Company has installed solar arrays on more than 180 industrial, commercial, municipal, and residential sites, with a total of over 15 megawatts of capacity to date. NYLE and its affiliates commenced Chapter 11 bankruptcy cases (Bankr. N.D.N.Y. Lead Case No. 15-11121) in Albany, New York, on May 27, 2015. The Debtors tapped Bond, Schoeneck & King, PLLC, as counsel. Judge Robert E. Littlefield Jr. is assigned to the cases. The Bankruptcy Court set Nov. 23, 2015, as the last day for creditors to file proofs of claim. NICHOLS CREEK: Aug. 17 Hearing on Whitney Bid for Case Dismissal ---------------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida will convene a hearing on Aug. 17, 2015, at 2:30 p.m., to consider creditor Whitney Bank's motion to dismiss the Chapter 11 case of Nichols Creek Development, LLC. The Court also ordered that the final evidentiary hearing on the Bank's motion to dismiss, motion for relief from stay, and Debtor's opposition will be set for a date no earlier than June 22, and not during the time period of July 10, through July 21. As reported in the Troubled Company Reporter on April 16, 2015, Whitney Bank, formerly known as Hancock Bank, is asking the Court to dismiss the Chapter 11 case, as a bad faith filing; or in the alternative, grant relief from the automatic stay. Whitney Bank, as assignee of FDIC as receiver for People's First Community Bank, said that the real property of the Debtor subject to the mortgage is underdeveloped real property owned located in Duval County, Florida. Whitney Bank also said that the Debtor is a single assets real estate with no hope or ability proposing a viable, confirmable plan of reorganization. Hawkins Avenue Corp., a secured creditor, and the Debtor are opposing dismissal of the case. As reported in the March 13 edition of the TCR, Hawkins Avenue avers the interests of the creditors of the estate are better served by allowing the sale of the property to close and the proceeds of the sale to be held in trust, so that the Court may later determine the priorities and amounts due the respective parties. The Debtor in opposing the dismissal, says Whitney Bank, formerly cannot establish bad faith and is not entitled to relief under Section 362 or Section 1112 of the Bankruptcy Code. Additionally, the Debtor said that there is a substantial equity cushion in the property for Whitney and the property is not declining in value. In fact, the Debtor notes that it agreed, subject to Court approval, to sell the property for $14,900,000. About Nichols Creek Nichols Creek Development, LLC, sought Chapter 11 bankruptcy for protection (Bankr. M.D. Fla. Case No. 14-04699) on Sept. 26, 2014, in Jacksonville, Florida. R.L. Mitchell signed the petition as member manager. The Debtor owns 270+ acre parcel of river front real property commonly known as 9595 New Berlin Road Court, Jacksonville, Florida. In its schedules, the Debtor said the property is valued at $21.8 million and pledged as collateral to secured creditors owed a total of $11.6 million. The Law Offices of Jason A. Burgess, LLC, serves as the Debtor's counsel. The Court will convene a hearing on July 28, 2015, to consider adequacy of amended disclosure statement explaining the plan of liquidation that intends to pay off secured creditors from the proceeds of the auction for its 270-acre property in Jacksonville, Florida. According to the Amended Disclosure Statement, the Debtor now contemplates an auction to be held within 90 days following confirmation of the Plan. NORTHSHORE MAINLAND: Retains Prime Clerk LLC as Claims Agent ------------------------------------------------------------ Northshore Mainland Services Inc. and its affiliated debtors sought and obtained permission from Judge Kevin J. Carey of the U.S. Bankruptcy Court for the District of Delaware to employ Prime Clerk LLC as claims and noticing agent in their Chapter 11 Cases, nunc pro tunc to the Petition Date. As Claims and Noticing Agent, Prime Clerk is expected to, among other things: (1) Prepare and serve required notices and documents in the Debtors' cases, including without limitation, (i) notice of the commencement of the cases and the initial meeting of creditors under Bankruptcy Code Sec. 341(a), (ii) notice of any claims bar date, (iii) notices of transfers of claims, (iv) notices of objections to claims and objections to transfers of claims, (v) notices of any hearings on a disclosure statement and confirmation of the Debtors' plan or plans of reorganization, including under Bankruptcy Rule 3017(d), (vi) notice of the effective date of any plan, and (vii) all other notices, orders, pleadings, publications and other documents as the Debtors or Court may deem necessary or appropriate for an orderly administration of the cases; (2) Maintain an official copy of the Debtors' schedules of assets and liabilities and statements of financial affairs as applicable, listing the Debtors' known creditors and the amounts owed; (3)(i) maintain (A) a list of all potential creditors, equity holders and other parties in interest and (B) a "core" mailing list consisting of all parties described in Bankruptcy Rule 2002 and those parties that have filed a notice of appearance pursuant to Bankruptcy Rule 9010 and (ii) update and make said lists available upon request by a party in interest or the Clerk; (4) as necessary, furnish a notice to all potential creditors of the last date for filing proofs of claim and a form for filing a proof of claim, after such notice and form are approved by the Court, and notifying such potential creditors of the existence, amount and classification of their respective claims as set forth in the Schedules, which may be effected by inclusion of such information (or the lack thereof, in cases where the Schedules indicate no debt due to the subject party) on a customized proof of claim form provided to potential creditors; (5) maintain a post office box or address for the purpose of receiving claims and returned mail, and process all mail received; and (6) for all notices, motions, orders or other pleadings or documents served, prepare and file or cause to be filed with the Clerk an affidavit or certificate of service within 7 business days of service which includes (i) either a copy of the notice served or the docket number(s) and title(s) of the pleading(s) served, (ii) a list of persons to whom it was mailed (in alphabetical order) with their addresses, (iii) the manner of service, and (iv) the date served. Thomas M. Dunlap, President of Baha Mar Ltd., tells the Court that prior to the Petition Date, the Debtors provided Prime Clerk a $40,000 retainer. Prime Clerk seeks to first apply the retainer to all prepetition invoices, and thereafter, to have the retainer replenished to the original retainer amount, and thereafter, to hold the retainer under the Engagement Agreement during the Chapter 11 Cases as security for the payment of fees and expenses incurred under the Engagement Agreement. Following termination of the Engagement Agreement, Prime Clerk will return to the Debtors any amount of the retainer that remains. Michael J. Frishberg, Co-President and Chief Operating Officer at Prime Clerk, filed a declaration with the Court in support of the Debtors' application to employ Prime Clerk. About Baha Mar Orlando, Florida-based Northshore Mainland Services Inc., Baha Mar Enterprises Ltd., and their affiliates sought protection under Chapter 11 of the Bankruptcy Code on June 29, 2015 (Bankr. D.Del., Case No. 15-11402). Baha Mar owns, and is in the final stages of developing, a 3.3 million square foot resort complex located in Cable Beach, Nassau, The Bahamas. The case is assigned to Judge Kevin J. Carey. The Debtors are represented by Paul S. Aronzon, Esq., and Mark Shinderman, Esq., at Milbank, Tweed, Hadley & McCloy LLP, in Los Angeles, California; and Gerard Uzzi, Esq., Thomas J. Matz, Esq., and Steven Z. Szanzer, Esq., at Milbank, Tweed, Hadley & McCloy LLP, in New York. The Debtors' Delaware counsel are Laura Davis Jones, Esq., James E. O'Neill, Esq., Colin R. Robinson, Esq., and Peter J. Keane, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington, Delaware. The Debtors' Bahamian counsel is Glinton Sweeting O'Brien. The Debtors' special litigation counsel is Kobre & Kim LLP. The Debtors' construction counsel is Glaser Weil Fink Howard Avchen & Shapiro LLP. The Debtors' investment banker and financial advisor is Moelis Company LLC. The Debtors' claims and noticing agent is Prime Clerk LLC. NURSES’ REGISTRY: May Use Cash Collateral Through July 30 ----------------------------------------------------------- Bankruptcy Judge Gregory R. Schaaf of the United States Bankruptcy Court for the Eastern District of Kentucky, Lexington Division, granted in part Nurses' Registry and Home Health Corporation's emergency motion for a preliminary injunction or temporary restraining order and granted its expedited motion for interim use of cash collateral. The case before Judge Schaaf is NURSES' REGISTRY AND HOME, HEALTH CORPORATION, Plaintiff, v. SYLVIA MATHEWS BURWELL, in her, capacity as Secretary of the United States Department of Health & Human Services; CENTERS FOR MEDICARE AND MEDICAID SERVICES; and ADVANCEMED CORPORATION, Defendants, Case No.: 15-51278, ADV. NO. 15-5074, (Bankr. E.D. KY) On July 1, 2015, the Court, in an oral ruling, granted the emergency motion of Nurses' Registry for a Preliminary Injunction or Temporary Restraining Order in part and granted Plaintiff's Expedited Motion for Interim Use of Cash Collateral in full, setting Plaintiff's Motions for a final hearing on July 30, 2015, and enjoining the Defendants from suspending payments up until the date of that final hearing. On July 2, 2015, the Court entered a written order memorializing its oral ruling on the injunction and supplementing its oral findings of fact and conclusions of law with an additional discussion of authorities cited by Defendants for the first time in closing argument. It also entered a written order granting the motion for interim use of cash collateral. Defendants appealed both orders. In his Memorandum Opinion and Order dated July 9, 2015 available at http://is.gd/pkAfXtfrom Leagle.com, Judge Schaaf denied Defendants' motion to stay pending appeal and denied the United States' motion for stay pending appeal of the order allowing interim use of cash collateral. The Court said it has carefully considered the Defendants' remaining arguments that they are likely to prevail on appeal and finds them without merit. Defendants may succeed on appeal, but their likelihood of success is far too uncertain for the Court to grant a stay in spite of the Defendants' perfunctory arguments on the other stay factors, Judge Schaaf said. In any event, the Court has previously considered and rejected Defendants' arguments that their interest in the sanctity of Medicare Trust Fund dollars outweighs the Debtor's interest, and that of its employees and patients, in the Debtor's continued survival. The fact that Defendants do not seek a stay of the Court's injunction with respect to the $500,000 that they have already paid under the Court's order only tips the balance of harm further in the Debtor's favor. Previously, the Court weighed the balance of harm in an injunction ordering an immediate wire transfer of $500,000.00, plus de-suspension of the July payments, and found they weighed in favor of the Debtor. Now, all that is at stake on Defendants' side is the remaining July payments. On the other hand, the motion for stay, pending appeal of the Court's interim cash collateral order, which allowed the Debtor to spend cash collateral until a final hearing on July 30, 2015, relies almost entirely on the arguments in the motion to stay the Court's preliminary injunction, which the Court has already rejected. The Court, however, has found that the evidence at this time shows most of the suspended payments are likely untainted by Defendants' allegations of fraud, and thus property of the Debtor's estate. Further, enjoining Defendants from suspending payments only to prohibit the Debtor from spending those payments on payroll and vital services would render the Court's injunction a practical nullity, causing the same harms that make stay of the injunction inappropriate. Having declined to stay its injunction, the Court will not destroy it. The United States' Motion for Stay Pending Appeal of the Interim Cash Collateral Order is denied. OAS SA: Brazilian Cases Recognized as "Foreign Main Proceeding" --------------------------------------------------------------- Renato Fermiano Tavares, as proposed foreign representative, requests recognition of three foreign proceedings pending in Brazil as foreign main proceedings pursuant to Chapter 15 of the United States Bankruptcy Code. The foreign debtors -- OAS S.A., Construtora OAS S.A., and OAS Investments GmbH -- are currently debtors in judicial reorganization proceedings pending in the First Specialized Bankruptcy Court of Sao Paulo. Judge Stuart M. Bernstein of the United States Bankruptcy Court for Southern District of New York recognized the Debtors' Brazilian Bankruptcy Proceedings as foreign main proceedings under Chapter 15 of the U.S. Bankruptcy Code. The U.S. Court concludes that recognition of the OAS Debtors' Brazilian Bankruptcy Proceedings is not manifestly contrary to the public policy of the United States, and recognition is granted. The U.S. Court's conclusion is without prejudice to Aurelius' and Alden's right to challenge any action that Tavares seeks to take in the U.S. Court, including, in particular, a request to recognize and enforce a plan or plans approved by the Brazilian Court. The U.S. Court also concludes that Tavares was duly appointed and qualified to act as the "foreign representative" in the Chapter 15 proceedings. The Chapter 15 case is In re: OAS S.A., et al., Chapter 15, Debtors in Foreign Proceedings, Case No. 15-10937 (SMB), (JOINTLY ADMINISTERED), (Bankr. S.D.N.Y.). A full-text copy of Judge Stuart M. Bernstein's Memorandum Decision dated July 13, 2015 available at http://is.gd/9KnX8hfrom Leagle.com. John K. Cunningham, Esq. -- jcunningham@whitecase.com -- Gregory M. Starner, Esq. -- gstarner@whitecase.com -- Kimberly A. Haviv, Esq. -- khaviv@whitecase.com -- Richard S. Kebrdle, Esq. -- rkebrdle@whitecase.com -- of WHITE & CASE LLP; Susheel Kirpalani, Esq. -- susheelkirpalani@quinnemanuel.com -- Michael Carlinsky, Esq. -- michaelcarlinsky@quinnemanuel.com -- Benjamin Finestone, Esq. -- benjaminfinestone@quinnemanuel.com -- of QUINN EMANUEL URQUHART & SULLIVAN LLP serve as counsel for for Renato Fermiano Tavares as Petitioner and Foreign Representative. Allan S. Brilliant, Esq. -- allan.brilliant@dechert.com -- Robert J. Jossen, Esq. -- robert.jossen@dechert.com -- Gary J. Mennitt, Esq. -- gary.brooks@dechert.com -- Craig P. Druehl, Esq. -- craig.druehl@dechert.com -- Stephen M. Wolpert, Esq. -- stephen.wolpert@dechert.com -- of DECHERT LLP serve as counsel for Aurelius Capital Management, LP, and Alden Global Capital LLC. Howard Seife, Esq. -- hseife@chadbourne.com -- Andrew Rosenblatt, Esq. -- arosenblatt@chadbourne.com -- and Eric Daucher, Esq. -- edaucher@chadbourne.com -- of CHADBOURNE & PARKE LLP serve as counsel for the Joint Provisional Liquidators of OAS Finance Limited. About OAS S.A. The OAS Group is among the largest and most experienced infrastructure companies in Brazil, focusing on heavy engineering and equity investments in infrastructure projects located in and outside Brazil and abroad for both public and private clients. The OAS Group provides services in 22 countries in Latin America, the Caribbean and Africa. Based in Sao Paulo, Brazil, OAS S.A. is the holding company at the apex of the OAS Group. Its share capital is divided between CMP Participacoes Ltda. (owned by Mr. Cesar de Araujo Mata Pires), which has a 90% stake, and LP Participacoes e Engenharia Ltd. (owned by Mr. Jose Adelmario Pinheiro Filho, which has a 10% stake. Amid an investigation into alleged corruption and money laundering, and missed interest payments, OAS S.A. and its affiliates Construtora OAS S.A., OAS Investments GmbH, and OAS Finance Limited on March 31, 2015, commenced judicial reorganization proceedings before the First Specialized Bankruptcy Court of Sao Paulo pursuant to Federal Law No. 11.101 of February 9, 2005 of the laws of the Federative Republic of Brazil. On April 15, 2015, OAS S.A., et al., filed Chapter 15 bankruptcy petitions (Bankr. S.D.N.Y. Lead Case No. 15-10937) in Manhattan, in the United States to seek U.S. recognition of the Brazilian proceedings. Renato Fermiano Tavares, as foreign representative, signed the petitions. The cases are assigned to Judge Stuart M. Bernstein. White & Case, LLP, serves as counsel in the U.S. cases. OAS S.A. listed at least US$1 billion in assets and liabilities. ONE2ONE COMMS: 3d Cir. Reverses Dismissal of Plan Order Appeal -------------------------------------------------------------- The United Court of Appeals for the Third Circuit reversed the District Court's dismissal of Quad/Graphics Inc.'s appeal from the Bankruptcy Court's confirmation of One2One Communications, LLC's Chapter 11 plan of reorganization. Quad/Graphics alleged that the District Court abused its discretion in dismissing its appeal as equitably moot and asked the Third Circuit to overrule its adoption of equitable mootness in In Re Continental Airlines, 91 F.3d 553, 560 (3d Cir. 1996) (en banc), contending that the doctrine is unconstitutional and contrary to the Bankruptcy Code. The Third Circuit found the District Court to have abused its discretion and held that the case did not involve a sufficiently complex bankruptcy reorganization such that dismissal on the basis of equitable mootness would be proper. The case is IN RE: ONE2ONE COMMUNICATIONS, LLC, Debtor QUAD/GRAPHICS, INC., Appellant, Case No. 13-3410 (3d Cir.). A full text copy of Judge Greenaway, Jr.'s Opinion dated July 21, 2015, is available at http://is.gd/jxloXwfrom Leagle.com. Quad/Graphics, Inc. is represented by: Courtney A. Schael, Esq. ASHFORD SCHAEL 1371 Morris Avenue Union, NJ 07083 -- and -- Timothy F. Nixon, Esq. GODFREY & KAHN 333 Main Street, Suite 600 P.O. Box 13067 Green Bay, WI 54307 Email: tnixon@gklaw.com One2One Communications, LLC is represented by: Michael D. Sirota, Esq. David M. Bass, Esq. COLE SCHOTZ P.C. 25 Main Street, Court Plaza North P.O. Box 800 Hackensack, NJ 07601 Email: msirota@coleschotz.com dbass@coleschotz.com -- and -- Joseph DiPasquale, Esq. Henry M. Karwowski, Esq. Richard D. Trenk, Esq. TRENK, DIPASQUALE, DELLA FERA & SODONO 347 Mount Pleasant Avenue, Suite 300 West Orange, NJ 07052 Email: jdipasquale@trenklawfirm.com hkarwowski@trenklawirm.com rtrenk@trenklawfirm.com The Official Committee of Unsecured Creditors is represented by: Kenneth A. Rosen, Esq. LOWENSTEIN SANDLER PC 65 Livingston Avenue Roseland, NJ 07068 Email: krosen@lowenstein.com The United States Trustee is represented by: Martha R. Hildebrandt, Esq. OFFICE OF THE UNITED STATES TRUSTEE One Newark Center, Suite 2100 Newark, NJ 07102 One2One Communications, LLC, filed a Chapter 11 petition (Bankr. D.N.J. Case No. 12-27311) on July 10, 2012. The Debtor tapped Richard D. Trenk, Esq., at Trenk, Dipasquale, Della Fera & Sodono, P.C., as counsel. The Debtor disclosed $354,088 in assets and $13,687,311 in liabilities. PACIFIC GOLD: Sells Interest in Rae Gold and Black Rock Canyon -------------------------------------------------------------- Pacific Gold Corp. sold all of its interest in Nevada Rae Gold, Inc. and the Black Rock Canyon Mine for the following consideration: $300,000, which was all used to satisfy some of the immediate accounts payable of Nevada Rae Gold, Inc.; $100,000 due to the Company on July 15, 2016; and a royalty of 4% on all Nevada Rae Gold, Inc. gold sales up to a maximum total royalty payments of $720,000. The royalty payments can be bought out by the purchaser for $500,000 any time prior to July 15, 2016. All of the payments are subject to a 10% finder's fee which has not yet been paid. About Pacific Gold Las Vegas, Nev.-based Pacific Gold Corp. is engaged in the identification, acquisition, and development of prospects believed to have gold mineralization. Pacific Gold through its subsidiaries currently owns claims, property and leases in Nevada and Colorado. The Company reported a net loss of $696,000 on $0 of revenue for the three months ended June 30, 2014, compared with a net loss of $515,000 on $0 of revenue for the same period in 2013. The Company's balance sheet at Sept. 30, 2014, showed $1.1 million in total assets, $3.81 million in total liabilities and a stockholders' deficit of $2.71 million. Silberstein Ungar, PLLC, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2013, citing that the Company has incurred losses from operations, has negative working capital, and is in need of additional capital to grow its operations so that it can become profitable. These factors raise substantial doubt about the Company's ability to continue as a going concern. PATRIOT COAL: Court Approves Executive Bonus Plan ------------------------------------------------- Jacqueline Palank, writing for The Wall Street Journal, reported that a bankruptcy court on July 22 approved Patriot Coal Corp.'s plan to pay potentially more than $6 million in employee bonuses, overruling challenges brought by a government watchdog and the miners and retirees whose benefits are threatened by the company's upcoming sale. According to the report, citing attrition by Patriot's employees and the risks of its bid to close a sale of its mining operations, Judge Keith L. Phillips of the U.S. Bankruptcy Court in Richmond, Va., authorized bonuses for Patriot's top executives and middle managers. About Patriot Coal Patriot Coal Corporation is a producer and marketer of coal in the United States. Patriot and its subsidiaries control 1.4 billion tons of proven and probable coal reserves -- including owned and leased assets in the Central Appalachia basin (in West Virginia and Ohio) and Southern Illinois basin (in Kentucky and Illinois) and their operations consist of eight active mining complexes in West Virginia. Patriot Coal first sought Chapter 11 protection on July 9, 2012, and, on Dec. 18, 2013, won approval of its bankruptcy-exit plan from the U.S. Bankruptcy Court for the Eastern District of Missouri. The plan turned over most of the ownership of the company to bondholders that include New York hedge fund Knighthead Capital Management LLC. The linchpins of the plan were a global settlement among the Debtors, the United Mine Workers of America, and two third parties -- Peabody Energy Corporation and Arch Coal, Inc. -- and a commitment by a consortium of creditors, led by Knighthead, to backstop two rights offerings that funded the plan. Patriot Coal Corporation and its subsidiaries commenced new Chapter 11 cases (Bankr. E.D. Va. Lead Case No. 15-32450) in Richmond, Virginia, on May 12, 2015. The cases are assigned to Judge Keith L. Phillips. The Debtors tapped Kirkland & Ellis LLP as counsel; Kutak Rock L.L.P., as co-counsel; Centerview Partners LLC as investment bankers; Alvarez & Marsal North America, LLC, as restructuring advisors; and Prime Clerk LLC, as claims and administrative agent. The U.S. trustee overseeing the Chapter 11 case of Patriot Coal Corp. appointed seven creditors of the company to serve on the official committee of unsecured creditors. Patriot Coal estimated more than $1 billion in assets and debt. PATRIOT COAL: Creditors Have Until July 27 to File Proofs of Claim ------------------------------------------------------------------ The U.S. Bankruptcy Court for the Eastern District of Virginia established these deadlines in relation to the Chapter 11 cases of Patriot Coal Corporation, et al.: * General Claims Bar Date: July 27, 2015, at 5:00 p.m. * Admin. Claims Bar Date: July 27, 2015 * Governmental Bar Date: Nov. 9, at 5:00 p.m. Proofs of claim must be submitted to the Debtor's notice and claims agent, by U.S. Mail or other hand-delivery system: Patriot Coal Corporation Claims Processing Center c/o Prime Clerk LLC 830 Third Avenue, 9th Floor New York, NY 10022 About Patriot Coal Patriot Coal Corporation is a producer and marketer of coal in the United States. Patriot and its subsidiaries control 1.4 billion tons of proven and probable coal reserves -- including owned and leased assets in the Central Appalachia basin (in West Virginia and Ohio) and Southern Illinois basin (in Kentucky and Illinois) and their operations consist of eight active mining complexes in West Virginia. Patriot Coal first sought Chapter 11 protection on July 9, 2012, and, on Dec. 18, 2013, won approval of its bankruptcy-exit plan from the U.S. Bankruptcy Court for the Eastern District of Missouri. The plan turned over most of the ownership of the company to bondholders that include New York hedge fund Knighthead Capital Management LLC. The linchpins of the plan were a global settlement among the Debtors, the United Mine Workers of America, and two third parties -- Peabody Energy Corporation and Arch Coal, Inc. -- and a commitment by a consortium of creditors, led by Knighthead, to backstop two rights offerings that funded the plan. Patriot Coal Corporation and its subsidiaries commenced new Chapter 11 cases (Bankr. E.D. Va. Lead Case No. 15-32450) in Richmond, Virginia, on May 12, 2015. The cases are assigned to Judge Keith L. Phillips. Patriot Coal estimated more than $1 billion in assets and debt. The Debtors tapped Kirkland & Ellis LLP as counsel; Kutak Rock L.L.P., as co-counsel; Centerview Partners LLC as investment bankers; Alvarez & Marsal North America, LLC, as restructuring advisors; and Prime Clerk LLC, as claims and administrative agent. The U.S. trustee overseeing the Chapter 11 case of Patriot Coal Corp. appointed seven creditors of the company to serve on the official committee of unsecured creditors. The directed the U.S. Trustee to form an official committee of retirees at the behest of Patriot Coal Non-Union Retiree VEBA. * * * The Debtors relate that deadline to file bids for the Debtors' assets is Sept. 4, 2015, at 5:00 p.m. An auction will take place on Sept. 9, at 10:00 a.m. Patriot Coal on June 3 disclosed that it has filed with the Bankruptcy Court a letter of intent for a proposed sale of a substantial majority of its operating assets to Blackhawk Mining, LLC, as well as a motion outlining bidding procedures. The contemplated transaction would be consummated pursuant to a chapter 11 plan and is subject to documentation of a definitive asset purchase agreement, bankruptcy court approval of the sale, confirmation of a chapter 11 plan, and other customary conditions. Patriot's mining operations and customer shipments will continue in the ordinary course during the sale process. Under the terms of the letter of intent, Blackhawk would issue to Patriot's secured lenders new debt securities totaling approximately $643 million plus Class B Units providing them an ownership stake in Blackhawk. In addition, Blackhawk would assume or replace surety bonds supporting reclamation and related liabilities associated with the purchased assets. Patriot Coal Corporation filed with the U.S. Bankruptcy Court for the Eastern District of Virginia its schedules of assets and liabilities, disclosing: Name of Schedule Assets Liabilities ---------------- ----------- ----------- A. Real Property $0 B. Personal Property $1,967,742,294* C. Property Claimed as Exempt D. Creditors Holding Secured Claims $611,921,114* E. Creditors Holding Unsecured Priority Claims $0 F. Creditors Holding Unsecured Non-Priority Claims $1,760,817,423* ----------- ----------- Total $1,967,742,294* $2,372,738,537* * plus undetermined amount A copy of the schedules is available for free at http://bankrupt.com/misc/PATRIOTCOAL_412_sal.pdf The Debtors filed an amendment to their statement of financial affairs, a copy of which is available for free at: http://bankrupt.com/misc/PATRIOTCOAL_465_amended_sal.pdf About Patriot Coal Patriot Coal Corporation is a producer and marketer of coal in the United States. Patriot and its subsidiaries control 1.4 billion tons of proven and probable coal reserves -- including owned and leased assets in the Central Appalachia basin (in West Virginia and Ohio) and Southern Illinois basin (in Kentucky and Illinois) and their operations consist of eight active mining complexes in West Virginia. Patriot Coal first sought Chapter 11 protection on July 9, 2012, and, on Dec. 18, 2013, won approval of its bankruptcy-exit plan from the U.S. Bankruptcy Court for the Eastern District of Missouri. The plan turned over most of the ownership of the company to bondholders that include New York hedge fund Knighthead Capital Management LLC. The linchpins of the plan were a global settlement among the Debtors, the United Mine Workers of America, and two third parties -- Peabody Energy Corporation and Arch Coal, Inc. -- and a commitment by a consortium of creditors, led by Knighthead, to backstop two rights offerings that funded the plan. Patriot Coal Corporation and its subsidiaries commenced new Chapter 11 cases (Bankr. E.D. Va. Lead Case No. 15-32450) in Richmond, Virginia, on May 12, 2015. The cases are assigned to Judge Keith L. Phillips. Patriot Coal estimated more than $1 billion in assets and debt. The Debtors tapped Kirkland & Ellis LLP as counsel; Kutak Rock L.L.P., as co-counsel; Centerview Partners LLC as investment bankers; Alvarez & Marsal North America, LLC, as restructuring advisors; and Prime Clerk LLC, as claims and administrative agent. The U.S. trustee overseeing the Chapter 11 case of Patriot Coal Corp. appointed seven creditors of the company to serve on the official committee of unsecured creditors. The directed the U.S. Trustee to form an official committee of retirees at the behest of Patriot Coal Non-Union Retiree VEBA. * * * The Debtors relate that deadline to file bids for the Debtors' assets is Sept. 4, 2015, at 5:00 p.m. An auction will take place on Sept. 9, at 10:00 a.m. Patriot Coal on June 3 disclosed that it has filed with the Bankruptcy Court a letter of intent for a proposed sale of a substantial majority of its operating assets to Blackhawk Mining, LLC, as well as a motion outlining bidding procedures. The contemplated transaction would be consummated pursuant to a chapter 11 plan and is subject to documentation of a definitive asset purchase agreement, bankruptcy court approval of the sale, confirmation of a chapter 11 plan, and other customary conditions. Patriot's mining operations and customer shipments will continue in the ordinary course during the sale process. Under the terms of the letter of intent, Blackhawk would issue to Patriot's secured lenders new debt securities totaling approximately $643 million plus Class B Units providing them an ownership stake in Blackhawk. In addition, Blackhawk would assume or replace surety bonds supporting reclamation and related liabilities associated with the purchased assets. PATRIOT COAL: Files Schedules of Assets and Liabilities ------------------------------------------------------- Patriot Coal Corporation filed with the U.S. Bankruptcy Court for the Eastern District of Virginia its schedules of assets and liabilities, disclosing: Name of Schedule Assets Liabilities ---------------- ----------- ----------- A. Real Property $0 B. Personal Property $1,967,742,294* C. Property Claimed as Exempt D. Creditors Holding Secured Claims $611,921,114* E. Creditors Holding Unsecured Priority Claims $0 F. Creditors Holding Unsecured Non-Priority Claims $1,760,817,423* ----------- ----------- Total $1,967,742,294* $2,372,738,537* * plus undetermined amount A copy of the schedules is available for free at http://bankrupt.com/misc/PATRIOTCOAL_412_sal.pdf The Debtors filed an amendment to their statement of financial affairs, a copy of which is available for free at: http://bankrupt.com/misc/PATRIOTCOAL_465_amended_sal.pdf About Patriot Coal Patriot Coal Corporation is a producer and marketer of coal in the United States. Patriot and its subsidiaries control 1.4 billion tons of proven and probable coal reserves -- including owned and leased assets in the Central Appalachia basin (in West Virginia and Ohio) and Southern Illinois basin (in Kentucky and Illinois) and their operations consist of eight active mining complexes in West Virginia. Patriot Coal first sought Chapter 11 protection on July 9, 2012, and, on Dec. 18, 2013, won approval of its bankruptcy-exit plan from the U.S. Bankruptcy Court for the Eastern District of Missouri. The plan turned over most of the ownership of the company to bondholders that include New York hedge fund Knighthead Capital Management LLC. The linchpins of the plan were a global settlement among the Debtors, the United Mine Workers of America, and two third parties -- Peabody Energy Corporation and Arch Coal, Inc. -- and a commitment by a consortium of creditors, led by Knighthead, to backstop two rights offerings that funded the plan. Patriot Coal Corporation and its subsidiaries commenced new Chapter 11 cases (Bankr. E.D. Va. Lead Case No. 15-32450) in Richmond, Virginia, on May 12, 2015. The cases are assigned to Judge Keith L. Phillips. Patriot Coal estimated more than $1 billion in assets and debt. The Debtors tapped Kirkland & Ellis LLP as counsel; Kutak Rock L.L.P., as co-counsel; Centerview Partners LLC as investment bankers; Alvarez & Marsal North America, LLC, as restructuring advisors; and Prime Clerk LLC, as claims and administrative agent. The U.S. trustee overseeing the Chapter 11 case of Patriot Coal Corp. appointed seven creditors of the company to serve on the official committee of unsecured creditors. The directed the U.S. Trustee to form an official committee of retirees at the behest of Patriot Coal Non-Union Retiree VEBA. * * * The Debtors relate that deadline to file bids for the Debtors' assets is Sept. 4, 2015, at 5:00 p.m. An auction will take place on Sept. 9, at 10:00 a.m. Patriot Coal on June 3 disclosed that it has filed with the Bankruptcy Court a letter of intent for a proposed sale of a substantial majority of its operating assets to Blackhawk Mining, LLC, as well as a motion outlining bidding procedures. The contemplated transaction would be consummated pursuant to a chapter 11 plan and is subject to documentation of a definitive asset purchase agreement, bankruptcy court approval of the sale, confirmation of a chapter 11 plan, and other customary conditions. Patriot's mining operations and customer shipments will continue in the ordinary course during the sale process. Under the terms of the letter of intent, Blackhawk would issue to Patriot's secured lenders new debt securities totaling approximately $643 million plus Class B Units providing them an ownership stake in Blackhawk. In addition, Blackhawk would assume or replace surety bonds supporting reclamation and related liabilities associated with the purchased assets. PEABODY ENERGY: Debt Trades at 19% Off -------------------------------------- Participations in a syndicated loan under which Peabody Energy Power Corp is a borrower traded in the secondary market at 81.50 cents-on-the- dollar during the week ended Friday, July 17, 2015, according to data compiled by LSTA/Thomson Reuters MTM Pricing and reported in the July 23, 2015 edition of The Wall Street Journal. This represents a decrease of 0.60 percentage points from the previous week, The Journal relates. Peabody Energy Power Corp pays 325 basis points above LIBOR to borrow under the facility. The bank loan matures on September 20, 2020, and carries Moody's Ba3 rating and Standard & Poor's BB+ rating. The loan is one of the biggest gainers and losers among 234 widely quoted syndicated loans with five or more bids in secondary trading for the week ended July 17. PHYSIOTHERAPY HOLDINGS: Reverses Ruling on Huron Assumption ----------------------------------------------------------- Judge Leonard P. Stark of the United States District Court for Delaware concluded that a series of agreements entered into between Physiotherapy Holdings, Inc., et al., and Huron Consulting Services, LLC, constitute a single contract and held that the Debtors cannot assume the benefits of those agreements and reject their burdens. Accordingly, Judge Stark remanded the case to the Bankruptcy Court to allow the Debtors to choose between rejecting or assuming the Agreements as one. The case is HURON CONSULTING SERVICES, LLC, Appellant, v. PHYSIOTHERAPY HOLDINGS, INC., et al., Appellees, CIV. NO. 14-693-LPS, (D. Del.). The bankruptcy case is IN RE: PHYSIOTHERAPY HOLDINGS, INC., et al., Debtors, Bankruptcy Case No.: 13-12965-KG (Bankr. D. Del.). A full-text copy of Judge Stark's Memorandum Opinion dated July 13, 2015, is available at http://is.gd/ze71kHfrom Leagle.com. Eric D. Schwartz, Esq. -- eschwartz@mnat.com -- and Andrew R. Remming, Esq. -- aremming@mnat.com -- of MORRIS, NICHOLS, ARSHT & TUNNELL, LLP and Brandy A. Sargent, Esq. -- brandy.sargent@stoel.com -- of STOEL RIVES, LLP serve as counsel for Appellant Huron Consulting Services, LLC. Domenic E. Pacitti, Esq. -- dpacitti@klehr.com -- and Michael W. Yurkewicz, Esq. -- myurkewicz@klehr.com -- of KLEHR HARRISON HARVEY BRANZBURG, LLP; Jonathan S. Henes, Esq. -- jonathan.henes@kirkland.com -- Eric F. Leon, Esq. -- eric.leon@kirkland.com -- Nicole L. Greenblatt, Esq. -- nicole.greenblatt@kirkland.com -- David S. Meyer, Esq. -- david.meyer@kirkland.com -- Nathaniel J. Kritzer, Esq. -- nathaniel.kritzer@kirkland.com -- and Matthew Kapitanyan, Esq. -- matthew.kapitanyan@kirkland.com -- of KIRKLAND & ELLIS, LLP serve as counsel for the Reorganized Debtors-Appellees Physiotherapy Holdings, Inc. About Physiotherapy Holdings Physiotherapy Holdings, Inc., and its affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 13-12965) on Nov. 12, 2013. The Debtors are the largest pure-play provider of outpatient physical therapy services in the United States with a national footprint of 581 outpatient rehabilitation and orthotics & prosthetics clinics located in 29 states plus the District of Columbia. The Debtor is represented by Domenic E. Pacitti, Esq., and Michael W. Yurkewicz, Esq., at Klehr Harrison Harvey Branzburg, LLP, in Wilmington, Delaware; Morton Branzburg, Esq., at Klehr Harrison Harvey Branzburg LLP, in Philadelphia, Pennsylvania; and Jonathan S. Henes, P.C., Esq., Nicole L. Greenblatt, Esq., and David S. Meyer, Esq., at Kirkland & Ellis LLP, in New York. The Ad Hoc Committee of Senior Noteholders is represented by Michael L. Tuchin, Esq., and David A. Fidler, Esq., at Klee, Tuchin, Bogdanoff & Stern LLP, in Los Angeles, California. U.S. Bank, National Association, as Bridge Loan Agent, is represented by Stacey Rosenberg, Esq., at Latham & Watkins LLP, in Los Angeles, California. The Bank of New York Mellon Trust Company, N.A., as Senior Notes Indenture Trustee, is represented by Eric A. Schaffer, Esq., at Reed Smith, in Pittsburgh, Pennsylvania. The Consenting Shareholders are represented by Michael J. Sage, Esq., Matthew L. Larrabee, Esq., and Nicole B. Herther-Spiro, Esq., at Dechert LLP, in New York. Roberta A. DeAngelis, the United States Trustee for Region 3 notified the U.S. Bankruptcy Court for the District of Delaware that a committee of unsecured creditors has not been appointed in the Chapter 11 cases of Physiotherapy Holdings, Inc. Physiotherapy Holdings implemented a prepackaged Chapter 11 reorganization plan on Dec. 31, 2013. The Plan was confirmed Dec. 23. The Plan gives noteholders all the stock in exchange for debt and a predicted recovery of 40.3%. Noteholders voted for the plan before the Chapter 11 filing. POINT BLANK: Needs Until Dec. 31 to Remove Actions -------------------------------------------------- SS Body Armor I, Inc., f/k/a Point Blank Solutions, Inc., and its debtor affiliates, ask the U.S. Bankruptcy Court for the District of Delaware to further extend the period within which the Debtors may remove actions initiated prior to the Petition Date through and including December 31, 2015. Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington, Delaware, states that the Debtors believe it is prudent to seek an extension of the time period to file notices of removal to protect their rights to remove the Actions. Their current efforts are focused on (a) consummating the settlement with the Class Plaintiffs, which will not only provide the Debtors with an immediate source of funds for the chapter 11 plan and an exit strategy for hese chapter 11 cases, but also will resolve long-standing, complex and expensive litigation in the Court, the Delaware District Court and the EDNY District Court, and (b) pursuing confirmation of the amended joint Chapter 11 plan proposed by SS Body Armor I, Inc and the Creditors’ Committee, Ms. Jones further states. Ms Jones adds that in light of the current status of the Debtors' Chapter 11 cases, the extension of time for removing actions will afford them a reasonable and necessary opportunity to make fully-informed decisions concerning removal of any Action, and will assure that they do not forfeit valuable rights under Section 1452 with respect to any pending or prospective litigation commenced by or against them. The Debtors are represented by: Laura Davis Jones, Esq. Alan J. Kornfeld, Esq. James E. O'Neill, Esq. Elissa A. Wagner, Esq. 919 N. Market Street, 17th Floor P.O. Box 8705 Wilmington, DE 19899-8705 Telephone: (302) 652-4100 Facsimile: (302) 652-4400 Email: ljones@pszjlaw.com akornfeld@pszjlaw.com joneill@pszjlaw.com ewagner@pszjlaw.com About Point Blank Headquartered in Pompano Beach, Florida, Point Blank Solutions, Inc. -- http://www.pointblanksolutionsinc.com/-- designs and produces body armor systems for the U.S. Military, Government and law enforcement agencies, as well as select international markets. The Company maintains facilities in Pompano Beach, Florida, and Jacksboro, Tennessee. The Company's former chief executive officer and chief operating officer were convicted in September 2010 of orchestrating a $185 million fraud. Point Blank Solutions, formerly DHB Industries, filed for Chapter 11 protection (Bankr. D. Del. Case No. 10-11255) on April 14, 2010. Laura Davis Jones, Esq., Alan J. Kornfeld, Esq., David M. Bertenthal, Esq., and Timothy P. Cairns, Esq., at Pachulski Stang Ziehl & Jones LLP, serve as bankruptcy counsel to the Debtor. Olshan Grundman Frome Rosenweig & Wolosky LLP serves as corporate counsel. Epiq Bankruptcy Solutions serves as claims and notice agent. The U.S. Trustee has appointed an Official Committee of Unsecured Creditors and a separate Official Committee of Equity Security Holders in the case. Ian Connor Bifferato, Esq., and Thomas F. Driscoll III, Esq., at Bifferato LLC; and Carmen H. Lonstein, Esq., Andrew P.R. McDermott, Esq., and Lawrence P. Vonckx, Esq., at Baker & McKenzie LLP, serve as counsel for the Official Committee of Equity Security Holders. Robert M. Hirsh, Esq., and George P. Angelich, Esq., at Arent Fox LLP, serve as counsel to the Creditors Committee, and Frederick B. Rosner, Esq., and Brian L. Arban, Esq., at the Rosner Law Group LLC, serve as co-counsel. In October 2011, the Debtors sold substantially all assets to Point Blank Enterprises, Inc. The lead debtor changed its name to SS Body Armor I, Inc., following the sale. PUREWAL ENTERPRISES: Knights Franchise Default Judgment Bid Nixed ----------------------------------------------------------------- District Judge Esther Salas denied the plaintiff's motion for default judgment in the case captioned KNIGHTS FRANCHISE SYSTEMS, INC., a Delaware Corporation, Plaintiff, v. PUREWAL ENTERPRISES, LTD, a Washington Limited Partnership; and GURINDERJIT PUREWAL, an individual, Defendants, CIVIL ACTION NO. 14-881 (ES)(D.N.J.). On February 12, 2014, Knights Franchise Systems, Inc. filed a complaint against Purewal Enterprises, LTD. Knights' counsel certified that despite diligent efforts and inquiry, the Recon Management Group was unable to locate Purewal Enterprises to effectuate personal service upon the defendant. The counsel further certified that a copy of the Summons and Complaint was served upon the defendant via certified and regular mail. On August 20, 2014, Knights filed a motion for default judgment against Purewal Enterprises. The motion was unopposed. Judge Salas, however, denied the motion because the plaintiff has not demonstrated proper service. She held that Knights has not established that the Summons and Complaint were sent return receipt requested, as required under New Jersey rules. A copy of the June 25, 2015 opinion and order is available at http://is.gd/oIMpi6from Leagle.com. KNIGHTS FRANCHISE SYSTEMS, INC., A DELAWARE CORPORATION, Plaintiff, represented by PATRICK EUGENE DURING – Patrick.during@leclairryan.com -- LeClair Ryan LLP & BRYAN PAUL COUCH – bryan.couch@leclairryan.com -- LeClair Ryan. About Purewal Enterprises, LTD Kent, Washington-based Purewal Enterprises PVT, Inc., dba Knights Inn and dba Ramada Conference Center, filed for Chapter 11 bankruptcy (Bankr. W.D. Wash. Case No. 10-25589) on December 30, 2010. Matthew J. Cunanan, Esq., at DC Law Group PLLC, served as Chapter 11 counsel. In its petition, the Debtor scheduled assets of $2,943,690 and liabilities of $7,120,922. A list of the Company's 20 largest unsecured creditors filed together with the petition is available for free at http://bankrupt.com/misc/wawb10-25589.pdf The petition was signed by Gurinderjit Purewal, president/CEO. On October 6, 2011, the bankruptcy court dismissed Purewal Enterprises' Chapter 11 bankruptcy. QUEST SOLUTION: Reports Preliminary Revenues for the 2nd Quarter ---------------------------------------------------------------- Quest Solution, Inc., released preliminary revenues for the second quarter of its fiscal year 2015, ending June 30, 2015 (2Q 2015). Mr. Tom Miller, chief executive officer of the Company, indicated: "In order to release timely financial information to our stockholders, we are releasing preliminary revenues for 2Q 2015. Earnings will not be released until just prior to the filing of our quarterly report on Form 10-Q. We expect to file our 10-Q with the U.S. Securities and Exchange Commission on or before the August 15, 2015 deadline." Revenues reported for both the three and six months ended June 30, 2015, incorporate total bookings revenue, which allows for comparison to the prior year period where service contracts were fully recorded in the quarter they were signed. Beginning in Q1 2015, the Company began spreading service revenue recognition throughout the life of the contract. The estimated deferred service contract revenue as of June 30, 2015, is approximately $6.85 million with corresponding service contract cost and commission of $6 million, for approximately $850,000 which would have been added to the adjusted pro forma EBITDA for the six months ended June 30, 2015, but is now spread over the life of the contracts. The Company anticipates this number to continue to grow through the end of 2015 with the increases being offset by revenue being recognized in 2016. Preliminary Results for Q2 2015: * Preliminary net GAAP revenues for the three months ended June 30, 2015, increased approximately to $13.5 million which represents a 26% sequential increase compared to Q1 2015 of $10.7 million. * Accounts receivable grew to approximately $9.7 million as of June 30, 2015, from approximately $8.5 million as of March 31, 2015. Preliminary Results for the Six months ended June 30, 2015: * Preliminary net revenues for the six months ended June 30, 2015, were approximately $24 million. * Gross margin is anticipated to be approximately 22%, year to date. * Business outlook and activity for the year remains strong re- affirms its full year FY2015 guidance of Booked Revenue between $62-$68 million, representing top line growth between 5-15% and generating positive adjusted EBITDA in the second quarter, with sequential improvement each quarter for the remainder of the year. Operational Highlights: * Quest Total Solutions as a Service (QTSaaS) model which the Company recently announced, has received a great initial response from our customers and the Company is working with additional vendors to grow this product offering. * In December 2014, the Company announced the expansion of their sales force into New York and Chicago. The Company has been pleased with the growth it has achieved in these markets and are in the process of bringing on additional sales support and engineers in its Chicago location within the next 30 days. * The Company's due diligence process with the previously announced Viascan acquisition is moving forward and the Company anticipates closing the transaction in the third quarter of 2015. Viascan is expected to contribute incremental revenue of $22-$25 million (USD) and be accretive to Adjusted EBITDA. The Company also announced that as the reporting period for the quarter end approaches it will be announcing the date, time and call in number for the quarterly investor conference call. About Quest Solution Quest Solution (formerly known as Amerigo Energy, Inc.) is a national mobility systems integrator with a focus on design, delivery, deployment and support of fully integrated mobile solutions. The Company takes a consultative approach by offering end to end solutions that include hardware, software, communications and full lifecycle management services. The highly tenured team of professionals simplifies the integration process and delivers proven problem solving solutions backed by numerous customer references. Motorola, Intermec, Honeywell, Panasonic, AirWatch, Wavelink, SOTI and Zebra are major suppliers which Quest Solution uses in its systems. Quest Solution reported net income of $302,000 on $37.3 million of total revenues for the year ended Dec. 31, 2014, compared with a net loss of $1.12 million on $4,070 of total revenues for the year ended Dec. 31, 2013. As of March 31, 2015, the Company had $33.4 million in total assets, $32.6 million in total liabilities and $791,000 in total stockholders' equity. QUICKSILVER RESOURCES: Amends Statement of Financial Affairs ------------------------------------------------------------ Quicksilver Resources Inc. filed with the U.S. Bankruptcy Court for the District of Delaware amended its statement of financial affairs after a proceeding was inadvertently excluded from the list of suits and proceedings to which the Debtor is or was a party within one year preceding the bankruptcy filing. A copy of the amendment is available for free at: http://bankrupt.com/misc/QuicksilverResources_455_amendedSAL.pdf The Debtor disclosed total assets of $765,401,486 and liabilities of $2,074,197,088 in its schedules of assets and liabilities. About Quicksilver Resources Quicksilver Resources Inc. (OTCMKTS: KWKAQ) is an exploration and production company engaged in the development and production of long-lived natural gas and oil properties onshore North America from unconventional reservoirs including shale gas, and coal bed methane. Following more than 30 years of operating as a private company, Quicksilver became public in 1999. The Company has U.S. offices in Fort Worth, Texas; Glen Rose, Texas; Steamboat Springs, Colorado; Craig, Colorado and Cut Bank, Montana. The Company's Canadian subsidiary, Quicksilver Resources Canada Inc., is headquartered in Calgary, Alberta. Quicksilver Resources Inc. and certain of its affiliates filed voluntary Chapter 11 petitions (Bankr. D. Del. Lead Case No. 15-10585) on March 17, 2015. Quicksilver's Canadian subsidiaries were not included in the chapter 11 filing. The bankruptcy cases are assigned to Judge Laurie Selber Silverstein. The Company's legal advisors are Akin Gump Strauss Hauer & Feld LLP in the U.S. and Bennett Jones in Canada. Richards Layton & Finger, P.A., is legal co-counsel in the cases. Houlihan Lokey Capital, Inc. is serving as financial advisor. Garden City Group Inc. is the claims and noticing agent. The Company's balance sheet at Dec. 31, 2014, showed $1.21 billion in total assets, $2.35 billion in total liabilities and total stockholders' deficit of $1.14 billion. The Court extended the Debtors' exclusive plan filing period until Oct. 13, 2015, and their exclusive solicitation period until Dec. 14, 2015. The U.S. Trustee for Region 3 appointed five creditors to serve on the official committee of unsecured creditors. The Committee retained Paul, Weiss, Rifkind, Wharton & Garrison LLP as counsel; and Landis Rath & Cobb LLP as Delaware counsel. It retained Capstone Advisory Group, LLC and Capstone Valuation Services, LLC as financial advisors; and Moelis & Company LLC as investment banker. QUICKSILVER RESOURCES: BRG OK'd as Substitute Financial Advisor --------------------------------------------------------------- The U.S. Bankruptcy Court for the District of Delaware authorized the Official Committee of Unsecured Creditors in the Chapter 11 cases of Quicksilver Resources Inc., et al., to retain Berkeley Research Group, LLC as substitute financial advisor, nunc pro tunc to June 1, 2015. The Court also ordered that Capstone Advisory Group, LLC, and Capstone Valuation Services, LLC, will no longer act as financial advisor to the Committee. To the best of the Committee's knowledge, BRG is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. About Quicksilver Resources Quicksilver Resources Inc. (OTCMKTS: KWKAQ) is an exploration and production company engaged in the development and production of long-lived natural gas and oil properties onshore North America from unconventional reservoirs including shale gas, and coal bed methane. Following more than 30 years of operating as a private company, Quicksilver became public in 1999. The Company has U.S. offices in Fort Worth, Texas; Glen Rose, Texas; Steamboat Springs, Colorado; Craig, Colorado and Cut Bank, Montana. The Company's Canadian subsidiary, Quicksilver Resources Canada Inc., is headquartered in Calgary, Alberta. Quicksilver Resources Inc. and certain of its affiliates filed voluntary Chapter 11 petitions (Bankr. D. Del. Lead Case No. 15-10585) on March 17, 2015. Quicksilver's Canadian subsidiaries were not included in the chapter 11 filing. The bankruptcy cases are assigned to Judge Laurie Selber Silverstein. The Company's legal advisors are Akin Gump Strauss Hauer & Feld LLP in the U.S. and Bennett Jones in Canada. Richards Layton & Finger, P.A., is legal co-counsel in the cases. Houlihan Lokey Capital, Inc. is serving as financial advisor. Garden City Group Inc. is the claims and noticing agent. The Company's balance sheet at Dec. 31, 2014, showed $1.21 billion in total assets, $2.35 billion in total liabilities and total stockholders' deficit of $1.14 billion. The Court extended the Debtors' exclusive plan filing period until Oct. 13, 2015, and their exclusive solicitation period until Dec. 14, 2015. The U.S. Trustee for Region 3 appointed five creditors to serve on the official committee of unsecured creditors. The Committee retained Paul, Weiss, Rifkind, Wharton & Garrison LLP as counsel; and Landis Rath & Cobb LLP as Delaware counsel. It retained Capstone Advisory Group, LLC and Capstone Valuation Services, LLC as financial advisors; and Moelis & Company LLC as investment banker. R & S ST. ROSE: Bid to Set Aside Dismissal of Appeal Denied ----------------------------------------------------------- District Judge James C. Mahan denied the appellant's motion to set aside dismissal of appeal in the case captioned COMMONWEALTH LAND TITLE INSURANCE COMPANY, Appellant(s), v. R & S ST. ROSE, LLC, Appellee (s), APPEAL 14-51, CASE NO. 2:14-CV-1399 JCM (D. Nev.). Commonwealth filed its notice of appeal on August 27, 2014. The court on April 28, 2015, dismissed the appeal with prejudice due to Commonwealth's failure to comply with the court's previous orders to file the designation of reporters and recorders transcripts with the clerk of bankruptcy court so the certificate of record on appeal could be transmitted to the district court. Commonwealth filed a motion to set aside the dismissal of its appeal, claiming excusable neglect. Judge Mahan denied the motion in light of Commonwealth's failure to comply with the court's orders and the applicable procedural rules. He pointed out that Commonwealth failed to provide evidence that it filed anything with the district court or the bankruptcy court notifying anyone of its difficulty obtaining the transcript. Further, Commonwealth's counsel failed to file a notice of change of address as required by the local rules. A copy of the June 24, 2015 order is available at http://is.gd/mZNvLnfrom Leagle.com. Commonwealth Land Title Insurance Company, Appellant, represented by Scott E Gizer -- sgizer@earlysullivan.com -- Early Sullivan Wright Gizer & McRae LLP. R & S St. Rose, LLC, Appellee, represented by Samuel A. Schwartz, The Schwartz Law Firm. About R & S St. Rose Lenders Las Vegas, Nevada-based R & S St. Rose Lenders, LLC, filed for Chapter 11 bankruptcy protection (Bankr. D. Nev. Case No. 11-14973) on April 4, 2011. Zachariah Larson, Esq., at Larson & Stephens, served as the Debtor's bankruptcy counsel. According to its schedules, the Debtor disclosed $12,041,574 in total assets and $19,688,291 in total debts as of the Petition Date. Rose Lenders amended its schedules disclosing $12,041,574 in assets and $24,502,319 in liabilities. Affiliate R & S St. Rose, LLC, filed a separate Chapter 11 petition (Bankr. D. Nev. Case No. 11-14974) on April 4, 2011. According to its schedules, it disclosed $16,821,500 in total assets and $48,293,866 in total debts. R&G PROPERTIES: Delta Trading's Bid for Final Judgment Denied ------------------------------------------------------------- Judge John Robert Blakey of the United States District Court for the Northern District of Illinois, Eastern Division, denied Delta Trading Company's motion for entry of final judgment in the case captioned Republic Bank of Chicago, Plaintiff, v. Michael Desmond, as Trustee, et al., Defendant, CASE NO. 13 C 6835 (N.D. Ill.). An adversary proceeding was filed concerning the use of real property located at 5700 North Central Avenue, in Chicago, under the terms of a lease that was purportedly assigned to Republic Bank by the Federal Deposit Insurance Corporation. Republic had sought to exercise the purchase option included in the lease. However, Michael Desmond, as the Trustee for the bankruptcy of R&G Properties that owned the Property, notified Republic of his intent not to honor the Purchase Option. The adversary complaint also named Delta Trading Company, as a defendant, because Delta purports to have acquired a mortgage on the Property after execution of the Lease. Republic and the Trustee filed cross motions for summary judgment. On April 21, 2014, Judge Guzman granted the Trustee's motion for summary judgment and denied Republic's motion. He found that the language of the option to purchase precluded its assignment, and therefore Republic, as assignee of the lease, could not exercise the option. Delta filed a motion for entry of final judgment, in order to allow it to proceed on its mortgage foreclosure suit in Cook County. Republic responded with a motion for interlocutory appeal. Delta's motion was denied because it was not timely filed and the claim on which Delta seeks appeal is not a "separate claim" from the claims that would remain before the Court. Republic's motion was likewise denied because it was not timely filed, the issue presented is not a question of law, the resolution on appeal would not speed up litigation, and the issue is not contestable. The Trustee also moved for judgment for possession of the Property based on Count II of the Amended Counterclaim. Republic Bank responded by moving for dismissal of Counterclaim Count II, because it had already vacated the property and given possession to the Trustee. Accordingly, Judge Blakey denied the Trustee's motion for judgment of possession as moot and granted Republic's motion to dismiss. A full-text copy of Judge Blakey's July 17, 2015 memorandum opinion and order is available at http://is.gd/hzL4eQfrom Leagle.com. Republic Bank of Chicago is represented by: Edward P. Freud, Esq. Michael Benjamin Bregman, Esq. RUFF, FREUD, BREEMS & NELSON LTD. 200 North LaSalle Street, Suite 2020 Chicago, Ill. 60601 Tel: (312) 263-3890 Fax: (312) 263-1345 Email: epfreud@rfbnlaw.com mbregman@rfbnlaw.com -- and –- Phillip Shawn Wood, Esq. James B. Sowka, Esq. Michael Ryan Pinkston, Esq. SEYFARTH SHAW LLP 131 South Dearborn Street Suite 2400 Chicago, IL 60603-557 Tel: (312) 460-5000 Fax: (312) 460-7000 Email: swood@seyfarth.com jsowka@seyfarth.com rpinkston@seyfarth.com Michael K Desmond is represented by: James R. Figliulo, Esq. Marc S. Porter, Esq. Michael K. Desmond, Esq. William G Cross, Esq. FIGLIULO & SILVERMAN, P.C. 10 S. LaSalle Street Suite 3600 Chicago, IL 60603 Tel: (312) 251-4600 Fax: (312) 251-4610 Email: jfigliulo@fslegal.com mporter@fslegal.com mdesmond@fslegal.com wcross@fslegal.com Delta Trading Company, Inc. is represented by: Richard H. Fimoff, Esq. Richard Lee Stavins, Esq. Robert J. Trizna, Esq. ROBBINS, SALOMON & PATT, LTD. 180 N. LaSalle Street Suite 3300 Chicago, IL 60601 Tel: (312) 782-9000 Fax: (312) 782-6690 Email: rfimoff@rsplaw.com rstavins@rsplaw.com rtrizna@rsplaw.com R. ALAN KITE: Bid for Partial Dismissal of Son's Appeal Granted --------------------------------------------------------------- Judge Phyllis M. Keaty of the Court of Appeals of Louisiana, Third Circuit, granted Robert Alan Kite's motion for partial dismissal of his son's appeal from a judgment in favor of his father, denying the son's objection of lack of jurisdiction, dismissing the son's remaining claims against his father with prejudice, rendering judgment against the son on father's reconventional demand, and awarding the father attorney fees. Judge Keaty amended in part, reversed in part, and affirmed in part the trial court's judgment. The judgment rendered in favor of Robert Kite and Kite Bros., L.L.C., and against Alan Kite is amended to provide that legal interest on the portion of the award representing the $354,207 in attorney fees owed by Alan to Kite Bros. will run from the date of judgment. In addition, that portion of the judgment against Alan and in favor of Kite Bros. for $29,625, which represented the payment of a thing not owed is reversed. In all other respects, the judgment is affirmed. The cases are R. ALAN KITE, v. KITE BROS., LLC, ET AL., KITE BROS., LLC, ET AL. v. ALAN KITE, ET AL., Case No.: 14-807, CONSOLIDATED WITH 14-808, (La. App.). A full-text copy of Judge Keaty's Decision dated July 15, 2015, available at http://is.gd/ZdH1CTfrom Leagle.com. Kenneth Michael Wright, Esq. -- kwright@smithduggan.com -- of Kenneth Michael Wright, LLC serves as counsel for Plaintiff/Appellant, R. Alan Kite. Scott J. Scofield, Esq., Andrea Albright Crawford, Esq., Phillip W. DeVilbiss, Esq., Scofield, Gerard, Pohorelsky, Gallaugher & Landry, serve as counsel for Defendants/Appellees, Kite Bros., LLC, Robert J. Kite. RADIOSHACK CORP: Amends Schedules of Assets and Liabilities ----------------------------------------------------------- RS Legacy Corporation filed with the U.S. Bankruptcy Court for the District of Delaware further amended schedules of assets and liabilities, disclosing: Name of Schedule Assets Liabilities ---------------- ----------- ----------- A. Real Property $23,475,630 B. Personal Property $1,071,021,650 C. Property Claimed as Exempt D. Creditors Holding Secured Claims $500,904,020 E. Creditors Holding Unsecured Priority Claims $1,515,311 F. Creditors Holding Unsecured Non-Priority Claims $2,598,679,044 ----------- ----------- Total $1,094,497,280 $3,101,098,375 A copy of the document is available for free at: http://bankrupt.com/misc/RadioShack_2628_amendedSAL.pdf RadioShack disclosed total assets of $1,094,497,280 and total liabilities of $3,092,735,792 in a prior iteration of the schedules. About RadioShack Corporation Headquartered in Fort Worth, Texas, RadioShack (OTCMKTS: RSHCQ) -- http://www.radioshackcorporation.comÃ‚-- is a retailer of 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 Corporation and affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 15-10197) on Feb. 5, 2015. Judge Kevin J. Carey presides over the case. David G. Heiman, Esq., Greg M. Gordon, Esq., Amanda M. Suzuki, Esq., Jonathan M. Fisher, Esq., Thomas A. Howley, Esq., and Paul M. Green, Esq., at Jones Day serve as the Debtors' bankruptcy counsel. David M. Fournier, Esq., Evelyn J. Meltzer, Esq., and John H. Schanne, II, Esq., at Pepper Hamilton LLP serve as co-counsel. Carlin Adrianopoli at FTI Consulting, Inc., is the Debtors' restructuring advisor. Maeva Group, LLC, is the Debtors' Turnaround advisor. Lazard Freres & Co. LLC is the Debtors' investment banker. A&G Realty Partners is the Debtors' real estate advisor. Prime Clerk is the Debtors' claims and noticing agent. In their Petitions, the Debtors disclosed total assets of $1.2 billion, versus total debts of $1.3 billion. Quinn Emanuel Urquhart & Sullivan, LLP and Cooley LLP represent the Official Committee of Unsecured Creditors as co-counsel. Houlihan Lokey Capital, Inc., serves as financial advisor and investment banker. The bankruptcy case is assigned to Judge Brendan L. Shannon. RESIDENTIAL CAPITAL: Court Rules on Objection to Aniels' Claims --------------------------------------------------------------- Bankruptcy Judge Martin Glenn sustained the ResCap Liquidating Trust's and the ResCap Borrower Claims Trust's objection to (i) Claim Numbers 112 and 114 filed by Erlinda Abibas Aniel, and (ii) Claim Numbers 416 and 417 filed by Erlinda Abibas Aniel, Fermin Solis Aniel, and Marc Jason Aniel. The Claims are based on several state and federal causes of action that the Aniels asserted against the Debtors GMAC Mortgage, LLC ("GMACM") and Executive Trustee Services, LLC arising from the Debtors' foreclosure on two separate properties allegedly owned by the Aniels. Bankruptcy Judge Martin Glenn sustained the Objection to the Estiva Claims. He disallowed and expunged the claims in their entirety. The Objection to the Aniel Claims were, however, overruled without prejudice as to the Aniels' causes of action premised on the invalidity of the 2011 assignment to GMACM of the deed of trust encumbering the Aniel Property, including their causes of action for wrongful foreclosure, to set aside the trustee's sale, declaratory relief, fraudulent concealment, and violations of California's Unfair Competition Law. The Objection to the Aniel Claims was sustained as to all other causes of action. A copy of the June 30, 2015 memorandum opinion is available at http://is.gd/3R9CS3from Leagle.com. MORRISON & FOERSTER LLP, By: Norman S. Rosenbaum, Esq. -- nrosenbaum@mofo.com -- Jordan A. Wishnew, Esq. -- jwishnew@mofo.com -- Jessica J. Arett, Esq. -- jarett@mofo.com -- New York, New York, Attorneys for ResCap Borrower Claims Trust. ERLINDA ABIBAS ANIEL, FERMIN SOLIS ANIEL, MARC JASON ANIEL, By: Erlinda Abibas Aniel, Hillsborough, California, Pro Se. RESIDENTIAL CAPITAL: Objection to Claim No. 2267 Partly Sustained ----------------------------------------------------------------- Judge Martin Glenn Judge Martin Glenn of the United States Bankruptcy Court for Southern District of New York sustained ResCap Borrower Claims Trust's objection to claim no. 2267 filed by William J. Futrell. Debtors Homecomings Financial, LLC, and later Debtor GMAC Mortgage, LLC, serviced Futrell's home mortgage loan for a number of years. Futrell's Claim arises from the Debtors' alleged mishandling of his loan servicing. Specifically, Futrell's Claim is premised on the following causes of action: (i) violations of the Real Estate Settlement Procedures Act, 12 U.S.C. Section 2601, et seq.; (ii) violations of the Fair Debt Collections Practices Act, 15 U.S.C. Section 1692 et seq.; and (iii) common law fraud. The Court concludes that Futrell fails to state a claim for most of these causes of action. However, factual issues preclude the resolution of Futrell's cause of action under section 6 of RESPA to the extent it is based on GMACM's alleged failure to respond to certain of Futrell's alleged qualified written requests. Judge Glenn sustained in part and overruled in part the Objection to Claim No. 2267. The Objection to Futrell's claim under section 6 of RESPA is overruled without prejudice to the extent such claim is based on his purported QWRs dated October 30, 2009, October 31, 2009, November 13, 2009, December 2009, and October 23, 2011. The Objection is sustained as to all other causes of action. The Trust's counsel is directed to confer with Futrell's counsel to discuss possible settlement of the remaining issues in their dispute and confer regarding the scheduling of any discovery and an evidentiary hearing, as well as further briefing before trial. The bankruptcy case is In re: RESIDENTIAL CAPITAL, LLC, et al., Chapter 11, Debtors, CASE NO. 12-12020 (MG), JOINTLY ADMINISTERED (Bankr. S.D.N.Y.). A full-text copy of Judge Glenn's Memorandum Opinion and Order dated July 14, 2015, is available at http://bit.ly/1LoX9J5from Leagle.com. Norman S. Rosenbaum, Esq. -- nrosenbaum@mofo.com -- Jordan A. Wishnew, Esq. -- jwishnew@mofo.com -- and James A. Newton, Esq. -- jnewton@mofo.com -- of MORRISON & FOERSTER LLP serve as counsel for ResCap Borrower Claims Trust Thomas D. Margolis, Esq., of THOMAS D. MARGOLIS, ESQ. serves as counsel for William J. Futrell About Residential Capital Residential Capital LLC, the unprofitable mortgage subsidiary of Ally Financial Inc., filed for bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 12-12020) on May 14, 2012. Neither Ally Financial nor Ally Bank is included in the bankruptcy filings. ResCap, one of the country's largest mortgage originators and servicers, was sent to Chapter 11 with 50 subsidiaries amid "continuing industry challenges, rising litigation costs and claims, and regulatory uncertainty," according to a company statement. ResCap disclosed $15.7 billion in assets and $15.3 billion in liabilities at March 31, 2012. Centerview Partners LLC and FTI Consulting are acting as financial advisers to ResCap. Morrison & Foerster LLP is acting as legal adviser to ResCap. Curtis, Mallet-Prevost, Colt & Mosle LLP is the conflicts counsel. Rubenstein Associates, Inc., is the public relations consultants to the Company in the Chapter 11 case. Morrison Cohen LLP is advising ResCap's independent directors. Kurtzman Carson Consultants LLP is the claims and notice agent. Ray C. Schrock, Esq., at Kirkland & Ellis LLP, in New York, serves as counsel to Ally Financial. ResCap sold most of the businesses for a combined $4.5 billion. The Bankruptcy Court in November 2012 approved ResCap's sale of its mortgage servicing and origination platform assets to Ocwen Loan Servicing, LLC and Walter Investment Management Corporation for $3 billion; and its portfolio of roughly 50,000 whole loans to Berkshire Hathaway for $1.5 billion. Judge Martin Glenn in December 2013 confirmed the Joint Chapter 11 Plan co-proposed by Residential Capital and the Official Committee of Unsecured Creditors. RESIDENTIAL CAPITAL: Ocwen Obtains Partial Summary Judgment ----------------------------------------------------------- Judge Martin Glenn of the United States Bankruptcy Court for Southern District of New York granted in part and denied in part cross-motions for summary judgment in the case captioned OCWEN LOAN SERVICING, LLC, Plaintiff, v. THE RESCAP LIQUIDATING TRUST, a Delaware Statutory Trust, Defendant, ADV. PROC. NO. 14-02388 (MG), (S.D.N.Y.). Cross-motions for summary judgment filed in the adversary proceeding and with respect to an administrative expense claim filed against the Debtors. The Adversary Proceeding and administrative claim arise out of Ocwen's purchase of Residential Capital, LLC's mortgage loan servicing platform and loan servicing rights. The parties' dispute centers on alleged breaches of the parties' agreement. They disagree about who bears third-party vendor costs for storage, segregation, removal, repackaging, and relocation of the mortgage loan servicing files. This is no trifling issue -- as much as $11 million as an administrative expense may be at stake; this would result in a potentially big hit for prepetition creditor distributions. Judge Glenn granted the Plaintiff's motion in part and denied it in part, and denied the Defendant's motion in its entirety. First, Judge Glenn held that Ocwen is correct that section V.1 of the Statement of Work for Records Management Services governs the Segregation and Delivery of the servicing files acquired by Ocwen and requires that ResCap, and now the Trust, bear the Segregation and Delivery costs under certain circumstances. Second, the Court does not decide whether section V.1 imposes a condition precedent upon Ocwen. On the one hand, the Trust cannot rely on Ocwen's failure to satisfy the purported condition precedent because ResCap clearly frustrated Ocwen's attempted satisfaction -- at least with respect to the directed Segregation and Delivery of certain files stored at Iron Mountain. On the other hand, there are disputed issues of fact and law whether ResCap's breach of section V.1 of the RM SOW is material and/or constitutes repudiation such that Ocwen would be excused from satisfying a condition precedent as to other servicing files. Third, ResCap (and now the Trust) must bear the storage costs for the servicing files that ResCap and/or its parent company retain, but the amount of those charges is not established by the summary judgment record. Fourth, Ocwen must bear the storage costs for the servicing files that Ocwen acquired at least for some period of time. Though Ocwen argues that if ResCap had not breached the agreement, Ocwen's files would have been transferred from third-party storage many months ago thereby cutting off further storage charges for those files, the summary judgment record does not permit the Court to resolve this issue either. Finally, the Court is unable on the summary judgment record to determine the amount of damages Ocwen is entitled to recover. Further proceedings, including discovery if necessary, will be required to resolve the remaining issues if the parties are unable to resolve them on their own. The bankruptcy case is In re: RESIDENTIAL CAPITAL, LLC, et al., Chapter 11, Debtors, NO. 12-12020 (MG)(Bankr. S.D.N.Y.). A full-text copy of Judge Glenn's Memorandum Opinion and Order dated July 14, 2015, is available at http://bit.ly/1M93bxWfrom Leagle.com. Joseph J. Saltarelli, Esq. -- jsaltarelli@hunton.com -- and Patrick L. Robson, Esq. -- probson@hunton.com -- of Hunton & Williams LLP serve as counsel for Ocwen Loan Servicing, LLC Jamie A. Levitt, Esq. -- jlevitt@mofo.com -- and Todd M. Goren, Esq. -- tgoren@mofo.com -- of Morrison & Foerster LLP serve as counsel for Rescap Liquidating Trust. About Residential Capital Residential Capital LLC, the unprofitable mortgage subsidiary of Ally Financial Inc., filed for bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 12-12020) on May 14, 2012. Neither Ally Financial nor Ally Bank is included in the bankruptcy filings. ResCap, one of the country's largest mortgage originators and servicers, was sent to Chapter 11 with 50 subsidiaries amid "continuing industry challenges, rising litigation costs and claims, and regulatory uncertainty," according to a company statement. ResCap disclosed $15.7 billion in assets and $15.3 billion in liabilities at March 31, 2012. Centerview Partners LLC and FTI Consulting are acting as financial advisers to ResCap. Morrison & Foerster LLP is acting as legal adviser to ResCap. Curtis, Mallet-Prevost, Colt & Mosle LLP is the conflicts counsel. Rubenstein Associates, Inc., is the public relations consultants to the Company in the Chapter 11 case. Morrison Cohen LLP is advising ResCap's independent directors. Kurtzman Carson Consultants LLP is the claims and notice agent. Ray C. Schrock, Esq., at Kirkland & Ellis LLP, in New York, serves as counsel to Ally Financial. ResCap sold most of the businesses for a combined $4.5 billion. The Bankruptcy Court in November 2012 approved ResCap's sale of its mortgage servicing and origination platform assets to Ocwen Loan Servicing, LLC and Walter Investment Management Corporation for $3 billion; and its portfolio of roughly 50,000 whole loans to Berkshire Hathaway for $1.5 billion. Judge Martin Glenn in December 2013 confirmed the Joint Chapter 11 Plan co-proposed by Residential Capital and the Official Committee of Unsecured Creditors. RESIDENTIAL CAPITAL: Primary Capital's Bid to Dismiss Suit Denied ----------------------------------------------------------------- Judge Susan Richard Nelson of the United States District Court for the District of Minnesota denied Primary Capital Advisors, LLC's motion to dismiss the case captioned Residential Funding Company, LLC v. Primary Capital Advisors, LLC, Case No. 13-CV-3451 (SRN/JJK/HB), (D. Minn.). The lawsuit arises out of Primary Capital's sale of allegedly defective mortgage loans to Residential Funding, LLC. Prior to May 2012, RFC was "in the business of acquiring and securitizing residential mortgage loans," and RFC acquired the loans from "`correspondent lenders,'" such as Primary Capital. According to RFC, its relationship with Primary Capital was governed by a Seller Contract that incorporated the terms and conditions of the RFC Client Guide, and "the Contract and Client Guide collectively form the parties' Agreement [and] set the standards to which Primary Capital Advisors' loans sold to RFC were expected to adhere." It is alleged that, pursuant to the Agreement, Primary Capital made many representations and warranties regarding the loans. RFC claims that Primary Capital is obligated, pursuant to the Agreement, to compensate RFC for losses and liabilities related to Primary Capital's breaches of representations and warranties. Accordingly, RFC filed a lawsuit asserting two causes of action against Primary Capital. In Count One, a claim for breach of contract, RFC alleges that Primary Capital materially breached the representations and warranties it made to RFC because the mortgage loans it sold to RFC did not comply with those representations and warranties. RFC asserts that these material breaches constitute Events of Default under the Agreements and have resulted in losses and liabilities related to the defective loans, as well as losses associated with defending the lawsuits and proofs of claim that stem from those loans. In Count Two, RFC alleges that it is entitled to indemnification from Primary Capital for those losses and liabilities. Judge Nelson denied Primary Capital's motion to dismiss, finding that RFC has plainly alleged that its relationship with Primary Capital was governed by a Seller Contract that incorporated the terms and conditions of the Client Guide and that, pursuant to those documents, Primary Capital made many representations and warranties regarding the loans it sold to RFC. Contrary to Primary Capital's assertions, is not clear from the pleadings or the attachments to the pleadings that RFC's allegations are false, Judge Nelson said. While Primary Capital has identified language in the Seller Contract that -- standing alone -- appears to state that the parties' relationship is governed by the AlterNet Seller Guide rather than the Client Guide, RFC has identified language in the Client Guide that -- standing alone -- seems to state that the parties' relationship is, in fact, governed by the Client Guide's terms even if Primary Capital was selling loans under the AlterNet Program, Judge Nelson ruled. And, although Primary Capital contends that RFC has improperly attempted to equate the terms "AlterNet Seller Guide" and "AlterNet Program," the contractual language is -- at best -- ambiguous, and its interpretation cannot be resolved on a motion to dismiss, Judge Nelson further ruled. Accordingly, the Court finds that -- at this stage of the proceedings -- RFC has sufficiently alleged that its contracts with Primary Capital included the representations and warranties upon which it is suing Primary Capital. A full-text copy of Judge Nelson's Memorandum Opinion and Order dated July 14, 2015, is available at http://is.gd/A0jn3sfrom Leagle.com. Residential Funding Company, LLC, Plaintiff, represented by Anthony Alden -- anthonyalden@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, David Elsberg -- davidelsberg@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan LLP, David L Hashmall, Felhaber Larson, Donald G Heeman, Felhaber Larson, Edward P Sheu -- esheu@bestlaw.com -- Best & Flanagan LLP, Erica P Taggart, Quinn Emanuel Urquhart & Sullivan, Gabriel F Soledad -- gabrielsoledad@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, Isaac Nesser -- isaacnesser@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, Jeffrey A Lipps, Carpenter Lipps & Leland LLP, Jennifer A L Battle, Carpenter Lipps & Leland LLP, Johanna Ong -- johannaong@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, LLP, Marnie E Fearon, Felhaber Larson, Matthew R Scheck -- matthewscheck@quinnemanuel.com – Quinn Emanuel Urquhart & Sullivan, Peter E. Calamari -- petercalamari@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan LLP, Richard R Voelbel, Felhaber Larson, Ryan A Olson, Felhaber Larson, Thomas G Garry -- tgarry@bestlaw.com -- Best & Flanagan LLP, Bradley T Smith, Felhaber Larson, Jessica J Nelson, Felhaber Larson & Daniel R Kelly, Felhaber Larson. ResCap Liquidating Trust, Plaintiff, represented by Anthony Alden, Quinn Emanuel Urquhart & Sullivan, Bradley T Smith, Felhaber Larson, David Elsberg, Quinn Emanuel Urquhart & Sullivan LLP, David L Hashmall, Felhaber Larson, Donald G Heeman, Felhaber Larson, Erica P Taggart, Quinn Emanuel Urquhart & Sullivan, Gabriel F Soledad, Quinn Emanuel Urquhart & Sullivan, Isaac Nesser, Quinn Emanuel Urquhart & Sullivan, Jeffrey A Lipps, Carpenter Lipps & Leland LLP, Jennifer A L Battle, Carpenter Lipps & Leland LLP, Johanna Ong, Quinn Emanuel Urquhart & Sullivan, LLP, Marnie E Fearon, Felhaber Larson, Matthew R Scheck, Quinn Emanuel Urquhart & Sullivan, Peter E. Calamari, Quinn Emanuel Urquhart & Sullivan LLP, Richard R Voelbel, Felhaber Larson, Ryan A Olson, Felhaber Larson, Jessica J Nelson, Felhaber Larson & Daniel R Kelly, Felhaber Larson. Academy Mortgage Corporation, Defendant, represented by David M Souders -- souders@thewbkfirm.com -- Weiner Brodsky Kider PC, Tessa K Somers -- somers@thewbkfirm.com -- Weiner Brodsky Kider PC, Anthony Gabor, Oberman Thompson & Segal LLC & James L Forman -- jforman@obermanthompson.com -- Oberman Thompson, LLC. The Mortgage Outlet, Inc., Defendant, represented by Eldon J Spencer, Jr -- espencer@losgs.com -- Leonard, O'Brien, Spencer, Gale & Sayre, Ltd & Stacey L Drentlaw -- sdrentlaw@losgs.com -- Leonard, O'Brien, Spencer, Gale & Sayre, Ltd. Ark-La-Tex Financial Services, LLC, Defendant, represented by Mark J Carpenter -- mark@carpenter-law-firm.com -- Carpenter Law Firm PLLC. Cherry Creek Mortgage Co., Inc., Defendant, represented by Eldon J Spencer, Jr, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd, James M Jorissen -- jjorissen@losgs.com -- Leonard, O'Brien, Spencer, Gale & Sayre, Ltd & Stacey L Drentlaw, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd. Guaranty Bank, Defendant, represented by Gregory A Bromen -- gbromen@nilanjohnson.com -- Nilan Johnson Lewis PA, Matthew S. Vignali -- mvignali@bcblaw.net -- Beck Chaet Bamberger & Polksy SC & Steven W Jelenchick -- sjelenchick@bcblaw.net -- Beck Chaet Bamberger & Polsky SC. First California Mortgage Company, Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss -- cmoss@hjlawfirm.com -- Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena -- jkeena@hjlawfirm.com -- Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Americash, Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Broadview Mortgage Corp., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Golden Empire Mortgage, Inc., Defendant, represented by Erin Sindberg Porter -- esindbergporter@greeneespel.com -- Greene Espel PLLP, Janine Wetzel Kimble -- jkimble@greeneespel.com – Greene Espel PLLP, Jenny Gassman Pines -- jgassman-pines@greeneespel.com -- Greene Espel PLLP, Philip R. Stein -- pstein@bilzin.com - Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona -- ssakona@bilzin.com -- Bilzin Sumberg Baena Price & Axelrod LLP. Community West Bank, N.A., Defendant, represented by Christina Rieck Loukas -- cloukas@winthrop.com -- Winthrop & Weinstine, PA, Christopher A Camardello -- ccamardello@winthrop.com -- Winthrop & Weinstine, PA, Jeffrey R Ansel -- jansel@winthrop.com – Winthrop & Weinstine, PA & Michael A Rosow -- mrosow@winthrop.com -- Winthrop & Weinstine, PA. Fremont Bank, Defendant, represented by Eldon J Spencer, Jr, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd, James M Jorissen, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd & Stacey L Drentlaw, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd. First Equity Mortgage Bankers, Inc., Defendant, represented by Amelia R Selvig -- aselvig@anthonyostlund.com -- Anthony Ostlund Baer & Louwagie PA, Brooke D Anthony -- banthony@anthonyostlund.com -- Anthony Ostlund Baer & Louwagie PA, Joseph W Anthony -- janthony@anthonyostlund.com -- Anthony Ostlund Baer & Louwagie PA, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Colonial Savings, F.A., Defendant, represented by Daniel N Moak -- dmoak@briggs.com -- Briggs & Morgan, PA, Daniel J Supalla -- dsupalla@briggs.com -- Briggs & Morgan, PA & Mark G Schroeder --mschroeder@briggs.com -- Briggs & Morgan, PA. First Guaranty Mortgage Corporation, Defendant, represented by Kevin J Dunlevy, Beisel & Dunlevy, PA & Michael E Kreun, Beisel & Dunlevy, PA. Central Pacific Homeloans, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Central Pacific Bank, Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Central Pacific Financial Corp., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Provident Funding Associates, L.P., Defendant, represented by Daniel N Moak, Briggs & Morgan, PA, Daniel J Supalla, Briggs & Morgan, PA, Mark G Schroeder, Briggs & Morgan, PA & Neil R O'Hanlon, Hogan Lovells US LLP. First Mortgage Corporation, Defendant, represented by Gene A Hoff, Minenko & Hoff & Michael J Minenko, Minenko & Hoff, P.A.. Mortgage Network, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Mortgage Capital Associates, Inc., Defendant, represented by Amelia R Selvig, Anthony Ostlund Baer & Louwagie PA, Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA, Joseph W Anthony, Anthony Ostlund Baer & Louwagie PA, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Lenox Financial Mortgage Corp., Defendant, represented by Gina L Albertson, Albertson Law & Michael D O'Neill, Martin & Squires, P.A.. E Trade Bank, Defendant, represented by Amelia R Selvig, Anthony Ostlund Baer & Louwagie PA, Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA, Joseph W Anthony, Anthony Ostlund Baer & Louwagie PA, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Lake Forest Bank & Trust Company, Defendant, represented by Amelia R Selvig, Anthony Ostlund Baer & Louwagie PA, Amy Y Cho, Shook, Hardy & Bacon LLP, Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA & Michael P Conway, Shook, Hardy & Bacon LLP. PNC Bank, N.A., Defendant, represented by Adam M Gogolak, Wachtell, Lipton, Rosen & Katz, Amanda Raines Lawrence, BuckleySandler LLP, Brett J Natarelli, BuckleySandler LLP, Daniel J Supalla, Briggs & Morgan, PA, David A Schooler, Briggs & Morgan, PA, Elaine P Golin, Wachtell, Lipton, Rosen & Katz, Fredrick S Levin, BuckleySandler LLP, Jonathan M Moses, Wachtell, Lipton, Rosen & Katz, Justin V Rodriguez, Wachtell, Lipton, Rosen & Katz, Mark G Schroeder, Briggs & Morgan, PA & Richard E Gottlieb, BuckleySandler LLP. Mortgage Access Corp., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Cornerstone Home Lending, Inc., Defendant, represented by Alan H Maclin, Briggs & Morgan, PA, Daniel J Supalla, Briggs & Morgan, PA & Mark G Schroeder, Briggs & Morgan, PA. Impac Funding Corporation, Defendant, represented by Erin Sindber Porter, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP, Katherine M. Swenson, Greene Espel PLLP & Janine Wetzel Kimble,Greene Espel PLLP. Plaza Home Mortgage, Inc., Defendant, represented by Amelia R Selvig, Anthony Ostlund Baer & Louwagie PA, Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA & Joseph W Anthony, Anthony Ostlund Baer & Louwagie PA. Hometown Mortgage Services, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C., James W. Brody, American Mortgage Law Group & Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA. Sierra Pacific Mortgage Company, Inc., Defendant, represented by Amy L Schwartz, Lapp Libra Thomson Stoebner & Pusch, Chartered, Jonathan M Jenkins, JENKINS KAYAYAN LLP, Lara Kayayan, Jenkins LLP, Navdeep Singh, Jenkins Kayayan LLP & Richard T Thomson, Lapp Libra Thomson Stoebner & Pusch, Chartered. Wallick & Volk, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Branch Banking & Trust Co., Defendant, represented by Jason D Evans, McGuire Woods LLP, Kelly G Laudon, Lindquist & Vennum PLLP, Mark A Jacobson, Lindquist & Vennum PLLP, T Richmond McPherson, III, McGuire Woods LLP & William C Mayberry, Mcguire Woods LLP. T.J. Financial, Inc., Defendant, represented by Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Stearns Lending, LLC, Defendant, represented by Alan H Maclin, Briggs & Morgan, PA, Daniel J Supalla, Briggs & Morgan, PA & Mark G Schroeder, Briggs & Morgan, PA. Terrace Mortgage Company, Defendant, represented by Aaron P M Tady, Coles Barton LLP, C J Schoenwetter, Bowman & Brooke LLP, John D Sear, Bowman & Brooke LLP, Thomas M Barton, Coles Barton LLP & Rachelle A Velgersdyk, Bowman & Brooke LLP. Gateway Bank, F.S.B., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Universal American Mortgage Company, LLC, Defendant, represented by Enza G Boderone, Bilzin Sumberg Baena Price & Axelrod LLP, Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Wells Fargo Bank, N.A., Defendant, represented by Amy L Schwartz, Lapp Libra Thomson Stoebner & Pusch, Chartered, Eric P Tuttle, Munger, Tolles & Olson LLP, Gregory D Phillips, Munger, Tolles & Olson, LLP, Marc T G Dworsky, Munger, Tolles & Olson, LLP, Michael E Soloff, Munger, Tolles & Olson LLP, Richard C St John, Munger Tolles & Olson, Richard T Thomson, Lapp Libra Thomson Stoebner & Pusch, Chartered, Thomas Jacob, Wells Fargo Law Department & Todd J Rosen, Munger Tolles & Olson LLP. BMO Harris Bank, N.A., Defendant, represented by Amanda Raines Lawrence, BuckleySandler LLP, Brett J Natarelli, BuckleySandler LLP, Daniel J Supalla, Briggs & Morgan, PA, David A Schooler, Briggs & Morgan, PA, Fredrick S Levin, BuckleySandler LLP, Kristopher Knabe, BuckleySandler LLP & Richard E Gottlieb, BuckleySandler LLP. Wells Fargo Financial Retail Credit, Inc., Defendant, represented by Eric P Tuttle, Munger, Tolles & Olson LLP, Gregory D Phillips, Munger, Tolles & Olson, LLP, Kristopher Knabe, BuckleySandler LLP, Marc T G Dworsky, Munger, Tolles & Olson, LLP, Michael E Soloff, Munger, Tolles & Olson LLP, Richard C St John, Munger Tolles & Olson, Richard T Thomson, Lapp Libra Thomson Stoebner & Pusch, Chartered, Thomas Jacob, Wells Fargo Law Department, Todd J Rosen, Munger Tolles & Olson LLP & Amy L Schwartz, Lapp Libra Thomson Stoebner & Pusch, Chartered. Standard Pacific Mortgage, Inc., Defendant, represented by Enza G Boderone, Bilzin Sumberg Baena Price & Axelrod LLP, Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. National Bank of Kansas City, Defendant, represented by Nancy A Temple, Katten & Temple LLP, Scott N Gilbert, Katten & Temple LLP & Seth J S Leventhal, LEVENTHAL pllc. iServe Residential Lending, LLC, Defendant, represented by Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jeanette M. Bazis, Greene Espel PLLP, Peter L Loh, Gardere Wynne Sewell LLP & Randy D Gordon, Gardere Wynne Sewell LLP. Circle Mortgage Corp., Defendant, represented by Sharon Robin Markowitz, Stinson Leonard Street LLP, Todd A Noteboom, Stinson Leonard Street LLP, W Anders Folk, Stinson Leonard Street LLP & Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA. United Fidelity Funding Corp, Defendant, represented by Michael J Steinlage, Larson King, LLP. DB Structured Products, Inc., Defendant, represented by Danielle Kantor, Simpson Thacher & Bartlett LLP, David J Woll, Simpson Thacher & Bartlett LLP, Isaac M Rethy, Simpson Thacher & Bartlett LLP, Jonathan Nussbaum, Simpson Thacher & Bartlett LLP, William A McNab, Winthrop & Weinstine, PA & William T Russell, Jr, Simpson Thacher & Bartlett LLP. MortgageIT, Inc., Defendant, represented by David J Woll, Simpson Thacher & Bartlett LLP, Isaac M Rethy, Simpson Thacher & Bartlett LLP & William A McNab, Winthrop & Weinstine, PA. CTX Mortgage Company, LLC, Defendant, represented by Benjamin E Gurstelle, Briggs & Morgan, PA & Paul J Hemming, Briggs & Morgan, PA. Pulte Homes, Inc., Defendant, represented by Benjamin E Gurstelle, Briggs & Morgan, PA & Paul J Hemming, Briggs & Morgan, PA. PulteGroup, Inc., Defendant, represented by Benjamin E Gurstelle, Briggs & Morgan, PA & Paul J Hemming, Briggs & Morgan, PA. Home Loan Center, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Decision One Mortgage Company, LLC, Defendant, represented by Beth A Stewart, Williams & Connolly LLP, Daniel J Millea, Zelle Hofmann Voelbel & Mason LLP, Elizabeth V Kniffen, Zelle Hofmann Voelbel & Mason LLP, Jesse T Smallwood, Williams & Connolly LLP, Matthew V Johnson, Williams & Connolly LLP, Noorudin Mahmood Ahmad, William & Connolly LLP & R. Hackney Wiegmann, Williams & Connolly LLP. HSBC Finance Corporation, Defendant, represented by David J Stagman, Katten Muchin Rosenman LLP, Gregory S Korman, Katten Muchin Rosenman LLP, Nicole M Moen, Fredrikson & Byron, PA, Stuart M Richter, Katten Muchin Rosenman LLP & Todd A Wind, Fredrikson & Byron, PA. E-Loan, Inc., Defendant, represented by Sharda R Kneen, Lindquist & Vennum PLLP, Terrence J Fleming, Lindquist & Vennum PLLP & Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA. Rescue Mortgage, Inc., Defendant, represented by Christopher R Morris, Bassford Remele, PA, Daniel R Olson, Bassford Remele, PA, Jeffrey D. Klobucar, Bassford Remele, PA & Mark D Covin, Bassford Remele, PA. RBC Mortgage Company, Defendant, represented by Amanda Raines Lawrence, BuckleySandler LLP, Brian Wegrzyn, BuckleySandler LLP, Daniel J Supalla, Briggs & Morgan, PA, David A Schooler, Briggs & Morgan, PA & Matthew P Previn, BuckleySandler LLP. CMG Mortgage, Inc, Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Synovus Mortgage Corp., Defendant, represented by Brent D Hitson, Burr & Forman LLP, Daniel J Supalla, Briggs & Morgan, PA, Mark G Schroeder, Briggs & Morgan, PA & Victor L Hayslip, Burr & Forman LLP. Honor Bank, Defendant, represented by Garth G Gavenda, Anastasi Jellum, PA, Lindsay W Cremona, Anastasi Jellum, P.A., Susan Jill Rice, Alward Fisher Rice Rowe & Graf, PLC & T Christopher Stewart, Anastasi Jellum, PA. Primary Capital Advisors LLC, Defendant, represented by Daniel J Supalla, Briggs & Morgan, PA, John O'Shea Sullivan, Burr & Forman LLP, Mark G Schroeder, Briggs & Morgan, PA & Tala Amirfazli, Burr & Forman LLP. PHH Mortgage Corp., Defendant, represented by David T Schultz, Maslon LLP, David M Souders, Weiner Brodsky Kider PC, Nicole E Narotzky, Maslon LLP & Tessa K Somers, Weiner Brodsky Kider PC. Global Advisory Group, Inc., Defendant, represented by Lance T Bonner, Lindquist & Vennum PLLP. Freedom Mortgage Corporation, Defendant, represented by Enza G Boderone, Bilzin Sumberg Baena Price & Axelrod LLP, Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP & Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP. Monarch Bank, Defendant, represented by Beth A Jenson Prouty, Bassford Remele, PA. First Mariner Bank, Defendant, represented by Joel L Perrell, Jr., Miles & Stockbridge P.C., Michael E Blumenfeld, Miles &Stockbridge P.C., Nicole M Moen, Fredrikson & Byron, PA, Timothy M Hurley, Miles & Stockbridge P.C. & Todd A Wind, Fredrikson & Byron, PA. Equifirst Corporation, Defendant, represented by Jennifer L Olson, Stinson Leonard Street LLP, Joshua J Fritsch, Sullivan & Cromwell LLP & Todd A Noteboom, Stinson Leonard Street LLP. EFC Holdings Corporation, Defendant, represented by Jennifer L Olson, Stinson Leonard Street LLP, Joshua J Fritsch, Sullivan & Cromwell LLP & Todd A Noteboom, Stinson Leonard Street LLP. Sierra Pacific Mortgage Company, Inc., Counter Claimant, represented by Navdeep Singh, Jenkins Kayayan LLP. About Residential Capital Residential Capital LLC, the unprofitable mortgage subsidiary of Ally Financial Inc., filed for bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 12-12020) on May 14, 2012. Neither Ally Financial nor Ally Bank is included in the bankruptcy filings. ResCap, one of the country's largest mortgage originators and servicers, was sent to Chapter 11 with 50 subsidiaries amid "continuing industry challenges, rising litigation costs and claims, and regulatory uncertainty," according to a company statement. ResCap disclosed $15.7 billion in assets and $15.3 billion in liabilities at March 31, 2012. Centerview Partners LLC and FTI Consulting are acting as financial advisers to ResCap. Morrison & Foerster LLP is acting as legal adviser to ResCap. Curtis, Mallet-Prevost, Colt & Mosle LLP is the conflicts counsel. Rubenstein Associates, Inc., is the public relations consultants to the Company in the Chapter 11 case. Morrison Cohen LLP is advising ResCap's independent directors. Kurtzman Carson Consultants LLP is the claims and notice agent. Ray C. Schrock, Esq., at Kirkland & Ellis LLP, in New York, serves as counsel to Ally Financial. ResCap sold most of the businesses for a combined $4.5 billion. The Bankruptcy Court in November 2012 approved ResCap's sale of its mortgage servicing and origination platform assets to Ocwen Loan Servicing, LLC and Walter Investment Management Corporation for $3 billion; and its portfolio of roughly 50,000 whole loans to Berkshire Hathaway for $1.5 billion. Judge Martin Glenn in December 2013 confirmed the Joint Chapter 11 Plan co-proposed by Residential Capital and the Official Committee of Unsecured Creditors. RESIDENTIAL CAPITAL: RBC Mortgage's Bid to Dismiss Suit Denied -------------------------------------------------------------- District Judge Susan Richard Nelson of the United States District Court for the District of Minnesota denied RBC Mortgage Company's motion to dismiss in the case, Residential Funding Company, LLC v. RBC Mortgage Company, No. 14-cv-3093 (PJS/BRT), (D. Minn.). The lawsuit arises out of Defendant RBC Mortgage Company's (RBC) sale of allegedly defective mortgage loans to Residential Funding, LLC (RFC) pursuant to a Seller Contract and Client Guide under which RBC made many representations and warranties regarding the loans. The acquisition dates of the loans range from March 23, 1998 to May 2, 2005. According to RFC, many of the loans eventually defaulted or became delinquent and, beginning in 2008, RFC faced claims and lawsuits resulting from defective loans it had purchased, including loans from RBC. By May 2012, RFC had spent millions of dollars repurchasing defective loans, including loans sold to it by RBC, and on May 14, 2012, RFC filed for Chapter 11 bankruptcy in the Bankruptcy Court for the Southern District of New York. RFC alleges that hundreds of proofs of claim related to allegedly defective mortgage loans, including those sold to RFC by RBC, were filed in connection with the bankruptcy proceedings. Accordingly, RFC filed a lawsuit asserting two causes of action against RBC. In Count One, a claim for breach of contract, RFC alleges that RBC materially breached the representations and warranties it made to RFC because the mortgage loans it sold to RFC did not comply with those representations and warranties. RFC asserts that these material breaches constitute Events of Default under the Agreement and have resulted in losses and liabilities related to the defective loans, as well as losses associated with defending the lawsuits and proofs of claim that stem from those loans. In Count Two, RFC alleges that it is entitled to indemnification from RBC for those losses and liabilities. In her Memorandum Opinion and Order dated July 15, 2015 available at http://is.gd/xRYEJOfrom Leagle.com, Judge Nelson denied Defendant's motion to dismiss. The Court finds that RFC's breach of contract claim against RBC is not properly dismissed as time-barred because it does not appear from the face of the Complaint that the limitations period has necessarily run as to any of the loans at issue. The Court said Minnesota's six-year statute of limitations had not expired as to loans sold to RFC on or after May 14, 2006 at the time RFC filed its bankruptcy petition on May 14, 2012. Accordingly, claims based on those loans are not time-barred. It is plausible from the face of the Complaint that the statute of limitations for a claim based on a loan sold to RFC on or before May 2, 2005 would not begin to run until after May 14, 2006. And, because the date upon which RBC allegedly breached Section A201(M) is a question of fact that goes beyond the pleadings, the Court cannot resolve the issue at this stage of the proceedings. It is not clear from this statement that the employees that remained after the transfer of "substantially all" of RBC's assets and employees in 2005 could not thereafter have discovered any breaches with respect to the loans. Residential Funding Company, LLC, Plaintiff, represented by Anthony Alden -- anthonyalden@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, David Elsberg -- davidelsberg@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan LLP, David L Hashmall, Felhaber Larson, Donald G Heeman, Felhaber Larson, Edward P Sheu -- esheu@bestlaw.com -- Best & Flanagan LLP, Erica P Taggart, Quinn Emanuel Urquhart & Sullivan, Gabriel F Soledad -- gabrielsoledad@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, Isaac Nesser -- isaacnesser@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, Jeffrey A Lipps, Carpenter Lipps & Leland LLP, Jennifer A L Battle, Carpenter Lipps & Leland LLP, Johanna Ong -- johannaong@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, LLP, Marnie E Fearon, Felhaber Larson, Matthew R Scheck -- matthewscheck@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan, Peter E. Calamari -- petercalamari@quinnemanuel.com -- Quinn Emanuel Urquhart & Sullivan LLP, Richard R Voelbel, Felhaber Larson, Ryan A Olson, Felhaber Larson, Thomas G Garry -- tgarry@bestlaw.com -- Best & Flanagan LLP, Bradley T Smith, Felhaber Larson, Jessica J Nelson, Felhaber Larson & Daniel R Kelly, Felhaber Larson. ResCap Liquidating Trust, Plaintiff, represented by Anthony Alden, Quinn Emanuel Urquhart & Sullivan, Bradley T Smith, Felhaber Larson, David Elsberg, Quinn Emanuel Urquhart & Sullivan LLP, David L Hashmall, Felhaber Larson, Donald G Heeman, Felhaber Larson, Erica P Taggart, Quinn Emanuel Urquhart & Sullivan, Gabriel F Soledad, Quinn Emanuel Urquhart & Sullivan, Isaac Nesser, Quinn Emanuel Urquhart & Sullivan, Jeffrey A Lipps, Carpenter Lipps & Leland LLP, Jennifer A L Battle, Carpenter Lipps & Leland LLP, Johanna Ong, Quinn Emanuel Urquhart & Sullivan, LLP, Marnie E Fearon, Felhaber Larson, Matthew R Scheck, Quinn Emanuel Urquhart & Sullivan, Peter E. Calamari, Quinn Emanuel Urquhart & Sullivan LLP, Richard R Voelbel, Felhaber Larson, Ryan A Olson, Felhaber Larson, Jessica J Nelson, Felhaber Larson & Daniel R Kelly, Felhaber Larson. Academy Mortgage Corporation, Defendant, represented by David M Souders -- souders@thewbkfirm.com -- Weiner Brodsky Kider PC, Tessa K Somers -- somers@thewbkfirm.com -- Weiner Brodsky Kider PC, Anthony Gabor, Oberman Thompson & Segal LLC & James L Forman -- jforman@obermanthompson.com -- Oberman Thompson, LLC. The Mortgage Outlet, Inc., Defendant, represented by Eldon J Spencer, Jr -- espencer@losgs.com -- Leonard, O'Brien, Spencer, Gale & Sayre, Ltd & Stacey L Drentlaw -- sdrentlaw@losgs.com -- Leonard, O'Brien, Spencer, Gale & Sayre, Ltd. Ark-La-Tex Financial Services, LLC, Defendant, represented by Mark J Carpenter -- mark@carpenter-law-firm.com -- Carpenter Law Firm PLLC. Cherry Creek Mortgage Co., Inc., Defendant, represented by Eldon J Spencer, Jr, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd, James M Jorissen -- jjorissen@losgs.com -- Leonard, O'Brien, Spencer, Gale & Sayre, Ltd & Stacey L Drentlaw, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd. Guaranty Bank, Defendant, represented by Gregory A Bromen -- gbromen@nilanjohnson.com -- Nilan Johnson Lewis PA, Matthew S. Vignali -- mvignali@bcblaw.net -- Beck Chaet Bamberger & Polksy SC & Steven W Jelenchick -- sjelenchick@bcblaw.net -- Beck Chaet Bamberger & Polsky SC. First California Mortgage Company, Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss -- cmoss@hjlawfirm.com -- Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena -- jkeena@hjlawfirm.com -- Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Americash, Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Broadview Mortgage Corp., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Golden Empire Mortgage, Inc., Defendant, represented by Erin Sindberg Porter -- esindbergporter@greeneespel.com -- Greene Espel PLLP, Janine Wetzel Kimble -- jkimble@greeneespel.com – Greene Espel PLLP, Jenny Gassman Pines -- jgassman-pines@greeneespel.com -- Greene Espel PLLP, Philip R. Stein -- pstein@bilzin.com -- Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona -- ssakona@bilzin.com -- Bilzin Sumberg Baena Price & Axelrod LLP. Community West Bank, N.A., Defendant, represented by Christina Rieck Loukas -- cloukas@winthrop.com -- Winthrop & Weinstine, PA, Christopher A Camardello -- ccamardello@winthrop.com -- Winthrop & Weinstine, PA, Jeffrey R Ansel -- jansel@winthrop.com -- Winthrop & Weinstine, PA & Michael A Rosow -- mrosow@winthrop.com -- Winthrop & Weinstine, PA. Fremont Bank, Defendant, represented by Eldon J Spencer, Jr, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd, James M Jorissen, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd & Stacey L Drentlaw, Leonard, O'Brien, Spencer, Gale & Sayre, Ltd. First Equity Mortgage Bankers, Inc., Defendant, represented by Amelia R Selvig -- aselvig@anthonyostlund.com -- Anthony Ostlund Baer & Louwagie PA, Brooke D Anthony -- banthony@anthonyostlund.com -- Anthony Ostlund Baer & Louwagie PA, Joseph W Anthony -- janthony@anthonyostlund.com -- Anthony Ostlund Baer & Louwagie PA, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Colonial Savings, F.A., Defendant, represented by Daniel N Moak -- dmoak@briggs.com -- Briggs & Morgan, PA, Daniel J Supalla -- dsupalla@briggs.com -- Briggs & Morgan, PA & Mark G Schroeder -- mschroeder@briggs.com -- Briggs & Morgan, PA. First Guaranty Mortgage Corporation, Defendant, represented by Kevin J Dunlevy, Beisel & Dunlevy, PA & Michael E Kreun, Beisel & Dunlevy, PA. Central Pacific Homeloans, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Central Pacific Bank, Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Central Pacific Financial Corp., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Provident Funding Associates, L.P., Defendant, represented by Daniel N Moak, Briggs & Morgan, PA, Daniel J Supalla, Briggs & Morgan, PA, Mark G Schroeder, Briggs & Morgan, PA & Neil R O'Hanlon, Hogan Lovells US LLP. First Mortgage Corporation, Defendant, represented by Gene A Hoff, Minenko & Hoff & Michael J Minenko, Minenko & Hoff, P.A.. Mortgage Network, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Mortgage Capital Associates, Inc., Defendant, represented by Amelia R Selvig, Anthony Ostlund Baer & Louwagie PA, Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA, Joseph W Anthony, Anthony Ostlund Baer & Louwagie PA, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Lenox Financial Mortgage Corp., Defendant, represented by Gina L Albertson, Albertson Law & Michael D O'Neill, Martin & Squires, P.A.. E Trade Bank, Defendant, represented by Amelia R Selvig, Anthony Ostlund Baer & Louwagie PA, Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA, Joseph W Anthony, Anthony Ostlund Baer & Louwagie PA, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Lake Forest Bank & Trust Company, Defendant, represented by Amelia R Selvig, Anthony Ostlund Baer & Louwagie PA, Amy Y Cho, Shook, Hardy & Bacon LLP, Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA & Michael P Conway, Shook, Hardy & Bacon LLP. PNC Bank, N.A., Defendant, represented by Adam M Gogolak, Wachtell, Lipton, Rosen & Katz, Amanda Raines Lawrence, BuckleySandler LLP, Brett J Natarelli, BuckleySandler LLP, Daniel J Supalla, Briggs & Morgan, PA, David A Schooler, Briggs & Morgan, PA, Elaine P Golin, Wachtell, Lipton, Rosen & Katz, Fredrick S Levin, BuckleySandler LLP, Jonathan M Moses, Wachtell, Lipton, Rosen & Katz, Justin V Rodriguez, Wachtell, Lipton, Rosen & Katz, Mark G Schroeder, Briggs & Morgan, PA & Richard E Gottlieb, BuckleySandler LLP. Mortgage Access Corp., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Cornerstone Home Lending, Inc., Defendant, represented by Alan H Maclin, Briggs & Morgan, PA, Daniel J Supalla, Briggs & Morgan, PA & Mark G Schroeder, Briggs & Morgan, PA. Impac Funding Corporation, Defendant, represented by Erin Sindberg Porter, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP, Katherine M. Swenson, Greene Espel PLLP & Janine Wetzel Kimble, Greene Espel PLLP. Plaza Home Mortgage, Inc., Defendant, represented by Amelia R Selvig, Anthony Ostlund Baer & Louwagie PA, Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA & Joseph W Anthony, Anthony Ostlund Baer & Louwagie PA. Hometown Mortgage Services, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C., James W. Brody, American Mortgage Law Group & Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA. Sierra Pacific Mortgage Company, Inc., Defendant, represented by Amy L Schwartz, Lapp Libra Thomson Stoebner & Pusch, Chartered, Jonathan M Jenkins, JENKINS KAYAYAN LLP, Lara Kayayan, Jenkins LLP, Navdeep Singh, Jenkins Kayayan LLP & Richard T Thomson, Lapp Libra Thomson Stoebner & Pusch, Chartered. Wallick & Volk, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Branch Banking & Trust Co., Defendant, represented by Jason D Evans, McGuire Woods LLP, Kelly G Laudon, Lindquist & Vennum PLLP, Mark A Jacobson, Lindquist & Vennum PLLP, T Richmond McPherson, III, McGuire Woods LLP & William C Mayberry, Mcguire Woods LLP. T.J. Financial, Inc., Defendant, represented by Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Stearns Lending, LLC, Defendant, represented by Alan H Maclin, Briggs & Morgan, PA, Daniel J Supalla, Briggs & Morgan, PA & Mark G Schroeder, Briggs & Morgan, PA. Terrace Mortgage Company, Defendant, represented by Aaron P M Tady, Coles Barton LLP, C J Schoenwetter, Bowman & Brooke LLP, John D Sear, Bowman & Brooke LLP, Thomas M Barton, Coles Barton LLP & Rachelle A Velgersdyk, Bowman & Brooke LLP. Gateway Bank, F.S.B., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., Evans D Prieston, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Universal American Mortgage Company, LLC, Defendant, represented by Enza G Boderone, Bilzin Sumberg Baena Price & Axelrod LLP, Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. Wells Fargo Bank, N.A., Defendant, represented by Amy L Schwartz, Lapp Libra Thomson Stoebner & Pusch, Chartered, Eric P Tuttle, Munger, Tolles & Olson LLP, Gregory D Phillips, Munger, Tolles & Olson, LLP, Marc T G Dworsky, Munger, Tolles & Olson, LLP, Michael E Soloff, Munger, Tolles & Olson LLP, Richard C St John, Munger Tolles & Olson, Richard T Thomson, Lapp Libra Thomson Stoebner & Pusch, Chartered, Thomas Jacob, Wells Fargo Law Department & Todd J Rosen, Munger Tolles & Olson LLP. BMO Harris Bank, N.A., Defendant, represented by Amanda Raines Lawrence, BuckleySandler LLP, Brett J Natarelli, BuckleySandler LLP, Daniel J Supalla, Briggs & Morgan, PA, David A Schooler, Briggs & Morgan, PA, Fredrick S Levin, BuckleySandler LLP, Kristopher Knabe, BuckleySandler LLP & Richard E Gottlieb, BuckleySandler LLP. Wells Fargo Financial Retail Credit, Inc., Defendant, represented by Eric P Tuttle, Munger, Tolles & Olson LLP, Gregory D Phillips, Munger, Tolles & Olson, LLP, Kristopher Knabe, BuckleySandler LLP, Marc T G Dworsky, Munger, Tolles & Olson, LLP, Michael E Soloff, Munger, Tolles & Olson LLP, Richard C St John, Munger Tolles & Olson, Richard T Thomson, Lapp Libra Thomson Stoebner & Pusch, Chartered, Thomas Jacob, Wells Fargo Law Department, Todd J Rosen, Munger Tolles & Olson LLP & Amy L Schwartz, Lapp Libra Thomson Stoebner & Pusch, Chartered. Standard Pacific Mortgage, Inc., Defendant, represented by Enza G Boderone, Bilzin Sumberg Baena Price & Axelrod LLP, Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP, Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP & Shalia M Sakona, Bilzin Sumberg Baena Price & Axelrod LLP. National Bank of Kansas City, Defendant, represented by Nancy A Temple, Katten & Temple LLP, Scott N Gilbert, Katten & Temple LLP & Seth J S Leventhal, LEVENTHAL pllc. iServe Residential Lending, LLC, Defendant, represented by Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jeanette M. Bazis, Greene Espel PLLP, Peter L Loh, Gardere Wynne Sewell LLP & Randy D Gordon, Gardere Wynne Sewell LLP. Circle Mortgage Corp., Defendant, represented by Sharon Robin Markowitz, Stinson Leonard Street LLP, Todd A Noteboom, Stinson Leonard Street LLP, W Anders Folk, Stinson Leonard Street LLP & Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA. United Fidelity Funding Corp, Defendant, represented by Michael J Steinlage, Larson King, LLP. DB Structured Products, Inc., Defendant, represented by Danielle Kantor, Simpson Thacher & Bartlett LLP, David J Woll, Simpson Thacher & Bartlett LLP, Isaac M Rethy, Simpson Thacher & Bartlett LLP, Jonathan Nussbaum, Simpson Thacher & Bartlett LLP, William A McNab, Winthrop & Weinstine, PA & William T Russell, Jr, Simpson Thacher & Bartlett LLP. MortgageIT, Inc., Defendant, represented by David J Woll, Simpson Thacher & Bartlett LLP, Isaac M Rethy, Simpson Thacher & Bartlett LLP & William A McNab, Winthrop & Weinstine, PA. CTX Mortgage Company, LLC, Defendant, represented by Benjamin E Gurstelle, Briggs & Morgan, PA & Paul J Hemming, Briggs & Morgan, PA. Pulte Homes, Inc., Defendant, represented by Benjamin E Gurstelle, Briggs & Morgan, PA & Paul J Hemming, Briggs & Morgan, PA. PulteGroup, Inc., Defendant, represented by Benjamin E Gurstelle, Briggs & Morgan, PA & Paul J Hemming, Briggs & Morgan, PA. Home Loan Center, Inc., Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Decision One Mortgage Company, LLC, Defendant, represented by Beth Stewart, Williams & Connolly LLP, Daniel J Millea, Zelle Hofmann Voelbel & Mason LLP, Elizabeth V Kniffen, Zelle Hofmann Voelbel & Mason LLP, Jesse T Smallwood, Williams & Connolly LLP, Matthew V Johnson, Williams & Connolly LLP, Noorudin Mahmood Ahmad, Williams & Connolly LLP & R. Hackney Wiegmann, Williams & Connolly LLP. HSBC Finance Corporation, Defendant, represented by David J Stagman, Katten Muchin Rosenman LLP, Gregory S Korman, Katten Muchin Rosenman LLP, Nicole M Moen, Fredrikson & Byron, PA, Stuart M Richter, Katten Muchin Rosenman LLP & Todd A Wind, Fredrikson & Byron, PA. E-Loan, Inc., Defendant, represented by Sharda R Kneen, Lindquist & Vennum PLLP, Terrence J Fleming, Lindquist & Vennum PLLP & Brooke D Anthony, Anthony Ostlund Baer & Louwagie PA. Rescue Mortgage, Inc., Defendant, represented by Christopher R Morris, Bassford Remele, PA, Daniel R Olson, Bassford Remele, PA, Jeffrey D. Klobucar, Bassford Remele, PA & Mark D Covin, Bassford Remele, PA. RBC Mortgage Company, Defendant, represented by Amanda Raines Lawrence, BuckleySandler LLP, Brian Wegrzyn, BuckleySandler LLP, Daniel J Supalla, Briggs & Morgan, PA, David A Schooler, Briggs & Morgan, PA & Matthew P Previn, BuckleySandler LLP. CMG Mortgage, Inc, Defendant, represented by Andrew Steinfeld, American Morgage Law Group, P.C., Carol R M Moss, Hellmuth & Johnson PLLC, Edward Page Allinson, American Mortgage Law Group, P.C., J Robert Keena, Hellmuth & Johnson PLLC, Jack V Valinoti, American Mortgage Law Group, P.C. & James W. Brody, American Mortgage Law Group. Synovus Mortgage Corp., Defendant, represented by Brent D Hitson, Burr & Forman LLP, Daniel J Supalla, Briggs & Morgan, PA, Mark G Schroeder, Briggs & Morgan, PA & Victor L Hayslip, Burr & Forman LLP. Honor Bank, Defendant, represented by Garth G Gavenda, Anastasi Jellum, PA, Lindsay W Cremona, Anastasi Jellum, P.A., Susan Jill Rice, Alward Fisher Rice Rowe & Graf, PLC & T Christopher Stewart, Anastasi Jellum, PA. Primary Capital Advisors LLC, Defendant, represented by Daniel J Supalla, Briggs & Morgan, PA, John O'Shea Sullivan, Burr & Forman LLP, Mark G Schroeder, Briggs & Morgan, PA & Tala Amirfazli, Burr & Forman LLP. PHH Mortgage Corp., Defendant, represented by David T Schultz, Maslon LLP, David M Souders, Weiner Brodsky Kider PC, Nicole E Narotzky, Maslon LLP & Tessa K Somers, Weiner Brodsky Kider PC. Global Advisory Group, Inc., Defendant, represented by Lance T Bonner, Lindquist & Vennum PLLP. Freedom Mortgage Corporation, Defendant, represented by Enza G Boderone, Bilzin Sumberg Baena Price & Axelrod LLP, Erin Sindberg Porter, Greene Espel PLLP, Janine Wetzel Kimble, Greene Espel PLLP, Jenny Gassman-Pines, Greene Espel PLLP & Philip R. Stein, Bilzin Sumberg Baena Price & Axelrod LLP. Monarch Bank, Defendant, represented by Beth A Jenson Prouty, Bassford Remele, PA. First Mariner Bank, Defendant, represented by Joel L Perrell, Jr., Miles & Stockbridge P.C., Michael E Blumenfeld, Miles &Stockbridge P.C., Nicole M Moen, Fredrikson & Byron, PA, Timothy M Hurley, Miles & Stockbridge P.C. & Todd A Wind, Fredrikson & Byron, PA. Equifirst Corporation, Defendant, represented by Jennifer L Olson, Stinson Leonard Street LLP, Joshua J Fritsch, Sullivan & Cromwell LLP & Todd A Noteboom, Stinson Leonard Street LLP. EFC Holdings Corporation, Defendant, represented by Jennifer L Olson, Stinson Leonard Street LLP, Joshua J Fritsch, Sullivan & Cromwell LLP & Todd A Noteboom, Stinson Leonard Street LLP. Sierra Pacific Mortgage Company, Inc., Counter Claimant, represented by Navdeep Singh, Jenkins Kayayan LLP. ROBERT J. MEIER: Ex-Wife's Priority Claim Allowed ------------------------------------------------- In the bankruptcy case of Robert J. Meier, Bankruptcy Judge Jack B. Schmetter overruled Edward Shrock's objection and allowed Martha Maggiore's (formerly, Martha Meier) priority claim. After the conversion to Chapter 7 of Robert Meier's bankruptcy case, Martha Maggiore amended her proof of claim to add a priority unsecured claim for missed domestic support payments while Meier's case was in Chapter 11. Another creditor, Edward Shrock, argued that Maggiore's claim should be characterized as property division, not support. Judge Schmetter rejected Shrock's argument. He found Shrock to be judicially estopped because his argument contradicts his previous position that Maggiore's claim was for support. Judge Schmetter concluded that Maggiore is entitled to a priority under 11 U.S.C. Section 507(a)(1)(A). A copy of the June 26, 2015 memorandum opinion is available at http://is.gd/oor1hPfrom Leagle.com. Robert J. Meier is the CEO and owner of a 7/8 interest in Baby Supermall, LLC. One of his creditors, Edward Shrock, was a founder of the Company, and holds a 1/8 interest. The Company sells infant bedding, clothing and other accessories online. The parties have been embroiled in state court litigation in the Circuit Court of Cook County, in a case styled Shrock v. Meier, 09 L 1455. Shrock sought a judgment against Meier for breach of his fiduciary duty, and the dissolution of the Company. On March 5, 2014, a jury returned a verdict against Meier finding that Meier violated his fiduciary duties to Shrock. Before judgment was entered on the verdict, Meier filed a petition for relief under Chapter 11 (Bankr. N.D. Ill. Case No. 14-10105). Shrock then sought, and obtained, relief from the automatic stay to continue the litigation in state court. Meier's case was later converted to Chapter 7 bankruptcy. ROVER TECHNOLOGIES: Objection to Final Decree Motion Sustained -------------------------------------------------------------- Within four months after achieving confirmation of its Chapter 11 plan, Rover Technologies, LLC, filed what appeared to be a routine motion for entry of a final decree, based on the allegation that the plan had been substantially consummated. The motion also represented that the plan payments had been "completely funded by one of the holders of an equity interest in the Debtor, Gregory Matton . . . who now holds 100% of the equity . . . ." Another member of the Debtor, Bryan Kearney, objected to the motion, arguing that Matton had paid creditors and extinguished the interests of the other seven equity holders without proper notice. The motive behind the action, Kearney alleges, is to insulate another company owned solely by Matton, Apex Data Solutions, LLC, from liability for taking the Debtor's technology and business. The only issue before the United States Bankruptcy Court for the Middle District of Florida, Tampa Division, however, is whether the plan was implemented unfairly to squeeze out the other equity holders. U.S. Bankruptcy Judge Robert May concludes that the equity holders, including Kearney, did not receive sufficient notice of the amount, timing and procedure for making the capital contributions required to retain their interests. Accordingly, there has been no forfeiture. The Court will direct the Debtor to engage disinterested special counsel to devise and implement a solicitation of capital contributions from all of the equity holders, pro rata, in the percentages stated in the court-approved disclosure statement. Accordingly, Judge May declares void the forfeiture of stock of any member who failed to make a contribution of capital by March 31, 2014, and sustained, in part, the Objection to Debtor's Motion for Final Decree filed by Kearney. The bankruptcy case is In re Rover Technologies, LLC, Chapter 11, Debtor, Case No. 8:13-BK-13355-KRM, (Bankr. M.D. Fla.). A full-text of Judge Rodney May's Memorandum Opinion and Order dated July 10, 2015, is available at http://is.gd/uoJHiifrom Leagle.com. SABINE OIL: Court Permits Interim Use of Cash Collateral -------------------------------------------------------- Sabine Oil & Gas Corporation and its affiliated debtors sought and obtained from Judge Shelley C. Chapman of the U.S. Bankruptcy Court for the Southern District of New York interim authority to use cash collateral securing their prepetition indebtedness from Wells Fargo Bank, National Association, as Administrative Agent under the First Lien Credit Agreement; and Wilmington Trust, National Association, as Administrative Agent under the Second Lien Credit Agreement. Jonathan S. Henes, Esq., at Kirkland & Ellis LLP, in New York, New York, tells the Court that the Debtors, the first lien agent, and the second lien agent have reached an agreement providing the Debtors with the consensual use of the cash collateral and the disputed cash, providing the Debtors with the liquidity necessary to continue operations and fund the chapter 11 cases. Mr. Henes further tells the Court that in exchange for consensual access to the cash collateral and the disputed cash, the Debtors have agreed to provide certain forms of adequate protection to the prepetition secured parties and to make disbursements. The final hearing on the Motion is scheduled for August 10, 2015 at 10:00 am. The deadline for the filing of objections is August 3. Sabine Oil & Gas Corporation and its affiliated debtors are represented by: Paul M. Basta, Esq. Jonathan S. Henes, Esq. Christopher Marcus, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, NY 10022 Telephone: (212)446-4800 Facsimile: (212)446-4900 Email: paul.basta@kirkland.com jonathan.henes@kirkland.com christopher.marcus@kirkland.com -- and -- James H.M. Sprayregen, Esq. Ryan Blaine Bennet, Esq. Brad Weiland, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 300 North LaSalle Street Chicago, Illinois 60654 Telephone: (312)862-2000 Facsimile: (312)862-2200 Email: james.sprayregen@kirkland.com ryan.bennett@kirkland.com brad.weiland@kirkland.com About Sabine Oil & Gas Sabine Oil & Gas Corp. is an independent energy company engaged in the acquisition, production, exploration, and development of onshore oil and natural gas properties in the U.S. The Company's current operations are principally located in the Cotton Valley Sand and Haynesville Shale in East Texas, the Eagle Ford Shale in South Texas, the Granite Wash in the Texas Panhandle, and the North Louisiana Haynesville. The Company operates, or has joint working interests in, approximately 2,100 oil and gas production sites (approximately 1,800 operating and approximately 315 non-operating) and has approximately 165 full-time employees. Sabine Oil and its affiliated entities sought Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 15-11835) in Manhattan on July 15, 2015. The Debtors have engaged Kirkland & Ellis LLP and Kirkland & Ellis International LLP, as counsel; Lazard Freres & Co. LLC, as investment banker, and Prime Clerk LLC as notice, claims and balloting agent. The Debtors also tapped Zolfo Cooper Management, LLC, to provide Jonathan A. Mitchell as CRO and other additional personnel. SABINE OIL: Has Interim Authority to Pay $18.5MM in Royalties ------------------------------------------------------------- Sabine Oil & Gas Corporation and its affiliated debtors sought and obtained from Judge Shelley C. Chapman of the U.S. Bankruptcy Court for the Southern District of New York interim authority to pay working interest disbursements and royalties. Jonathan S. Henes, Esq., at Kirkland & Ellis LLP, in New York, estimates that the Debtors have approximately $23.5 million of Working Interest Disbursements outstanding and approximately $56.5 million in as-yet unpaid Royalty Payments, including approximately $18.5 million in payments. The Debtors seek authority to remit up to $10.5 million of the Working Interest Disbursements and up to $18.5 million in prepetition Royalty Payments on an interim basis, pending entry of the Final Order, and to continue remitting the Working Interest Disbursements and making such Royalty Payments, in the ordinary course of business. Mr. Henes asserts that because the Royalty Interests and Working Interest Disbursements are not property of the estate either by application of state law or the Bankruptcy Code, any proceeds or profits that the Debtors may take possession of during the pendency of the Chapter 11 cases earned on their account are not property of the estate. The final hearing to consider approval of the Motion is scheduled on August 10, 2015 at 10:00 a.m. The deadline for the filing of objections is August 3. Sabine Oil & Gas Corporation and its affiliated debtors are represented by: Paul M. Basta, Esq. Jonathan S. Henes, Esq. Christopher Marcus, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, NY 10022 Telephone: (212)446-4800 Facsimile: (212)446-4900 Email: paul.basta@kirkland.com jonathan.henes@kirkland.com christopher.marcus@kirkland.com -- and -- James H.M. Sprayregen, Esq. Ryan Blaine Bennet, Esq. Brad Weiland, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 300 North LaSalle Street Chicago, Illinois 60654 Telephone: (312)862-2000 Facsimile: (312)862-2200 Email: james.sprayregen@kirkland.com ryan.bennett@kirkland.com brad.weiland@kirkland.com   About Sabine Oil Sabine Oil & Gas Corporation -- http://www.sabineoil.com-- is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States. Sabine's current operations are principally located in the Cotton Valley Sand and Haynesville Shale in East Texas, the Eagle Ford Shale in South Texas, the Granite Wash in the Texas Panhandle and the North Louisiana Haynesville. SABINE OIL: Hires Prime Clerk as Claims and Noticing Agent ---------------------------------------------------------- Sabine Oil & Gas Corporation, et al., seek authorization from the U.S. Bankruptcy Court for the Southern District of New York to employ Prime Clerk LLC as claims and noticing agent, nunc pro tunc to the July 15, 2015 petition date. The Debtors require Prime Clerk to: (a) assist with, among other things, solicitation, balloting, and tabulation of votes, and prepare any related reports, as required in support of confirmation of a chapter 11 plan, and in connection with such services, process requests for documents from parties in interest, including, if applicable, brokerage firms, bank back-offices, and institutional holders; (b) prepare an official ballot certification and, if necessary, testify in support of the ballot tabulation results; (c) assist with the preparation of the Debtors' schedules of assets and liabilities and statements of financial affairs and gather data in conjunction therewith; (d) provide a confidential data room, if requested; (e) manage and coordinate any distributions pursuant to a chapter 11 plan; and (f) provide such other processing, solicitation, balloting, and other administrative services described in the Engagement Agreement, but not included in the Section 156(c) Application, as may be requested from time to time by the Debtors, the Court, or the Office of the Clerk of the Bankruptcy Court (the "Clerk"). Prime Clerk will be paid at these hourly rates: Analyst $35-$50 Technology Consultant $80-$120 Consultant $95-$145 Senior Consultant $150-$170 Director $180-$195 Solicitation Consultant $195 Director of Solicitation $220 Prime Clerk will also be reimbursed for reasonable out-of-pocket expenses incurred. Michael J. Frishberg, co-president and chief operating officer of Prime Clerk, 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. Prime Clerk can be reached at: Shai Waisman PRIME CLERK LLC 830 3rd Avenue, 9th Floor New York, NY 10022 Tel: (212) 257-5450 E-mail: swaisman@primeclerk.com About Sabine Oil & Gas Sabine Oil & Gas Corp. is an independent energy company engaged in the acquisition, production, exploration, and development of onshore oil and natural gas properties in the U.S. The Company's current operations are principally located in the Cotton Valley Sand and Haynesville Shale in East Texas, the Eagle Ford Shale in South Texas, the Granite Wash in the Texas Panhandle, and the North Louisiana Haynesville. The Company operates, or has joint working interests in, approximately 2,100 oil and gas production sites (approximately 1,800 operating and approximately 315 non-operating) and has approximately 165 full-time employees. Sabine Oil and its affiliated entities sought Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 15-11835) in Manhattan on July 15, 2015. The Debtors have engaged Kirkland & Ellis LLP and Kirkland & Ellis International LLP, as counsel; Lazard Freres & Co. LLC, as investment banker, and Prime Clerk LLC as notice, claims and balloting agent. The Debtors also tapped Zolfo Cooper Management, LLC, to provide Jonathan A. Mitchell as CRO and other additional personnel. SABINE OIL: Meeting to Form Creditors' Panel Set for July 28 ------------------------------------------------------------ The United States Trustee for Region 2 will hold an organizational meeting on July 28, 2015, at 10:00 a.m. in the bankruptcy case of Sabine Oil & Gas Corporation, et al. The meeting will be held at: Waldorf Astoria 301 Park Avenue 4th Floor New York, NY 10022 The sole purpose of the meeting will be to form a committee or committees of unsecured creditors in the Debtors' case. The organizational meeting is not the meeting of creditors pursuant to Section 341 of the Bankruptcy Code. A representative of the Debtor, however, may attend the Organizational Meeting, and provide background information regarding the bankruptcy cases. To increase participation in the Chapter 11 proceeding, Section 1102 of the Bankruptcy Code requires that the United States Trustee appoint a committee of unsecured creditors as soon as practicable. The Committee ordinarily consists of the persons, willing to serve, that hold the seven largest unsecured claims against the debtor of the kinds represented on the committee. Section 1103 of the Bankruptcy Code provides that the Committee may consult with the debtor, investigate the debtor and its business operations and participate in the formulation of a plan of reorganization. The Committee may also perform other services as are in the interests of the unsecured creditors whom it represents. SABINE OIL: Seeks Approval of Lease Decision Procedure ------------------------------------------------------ Sabine Oil & Gas Corporation and its affiliated debtors ask the U.S. Bankruptcy Court for the Southern District of New York to approve procedures governing the rejection or assumption of executory contracts and unexpired leases. The proposed rejection procedures contain, among others, the following terms: (a) Rejection Notice. The Debtors will file a notice to reject a Contract or Contracts pursuant to Section 365 of the Bankruptcy Code, which Rejection Notice will set forth, among other things: (i) the Contract(s) to be rejected; (ii) the names and addresses of the counterparties to such Contract(s); (iii) the effective date of the rejection for each such Contract, which date may not be before the date of service of the Rejection Notice; (iv) if such Contract is a lease, the personal property to be abandoned, if any, and an estimate of the book value of such property; and (v) the deadlines and procedures for filing objections to the Rejection Notice. The Rejection Notice may list multiple Contracts; provided that the number of counterparties to Contracts listed on the Rejection Notice will be limited to no more than 100. (b) No Objection. If no objection to the rejection of any Contract is timely filed, each Contract will be rejected as of the Rejection Date set forth in the Rejection Notice or such other date as the Debtors and the counterparty or counterparties to such Contract(s) agree. (c) Unresolved Objections. If an objection to the rejection of any Contract(s) is timely filed and not withdrawn or resolved, the Debtors will file a notice for a hearing to consider the objection for the Contract(s) to which such objection relates. If such objection is overruled or withdrawn, such Contract(s) will be rejected as of the Rejection Date set forth in the Rejection Notice or such other date as the Debtors and the counterparty or counterparties to such Contract(s) agree. (d) No Application of Security Deposits. If the Debtors have deposited monies with a Contract counterparty as a security deposit or other arrangement, such Contract counterparty may not setoff, recoup, or otherwise use such monies without further order of the Court, unless the Debtors and the counterparty or counterparties to such Contract(s) otherwise agree. (e) Abandoned Property. The Debtors seek authority to remove or abandon any of their personal property that may be located on the Debtors' leased premises that are subject to a rejected Contract. The Debtors will generally describe the abandoned personal property in the Rejection Notice. Absent a timely objection, the property will be deemed abandoned pursuant to section 554 of the Bankruptcy Code, as is, effective as of the Rejection Date. (f) Rejection Damages. Claims arising out of the rejection of Contracts, if any, must be filed on or before the later of (i) the deadline for filing proofs of claim established in these chapter 11 cases, and (ii) 30 days after the Rejection Date. If no proof of claim is timely filed, the claimant will be forever barred from asserting a claim for damages arising from the rejection and from participating in any distributions on such a claim that may be made in connection with these chapter 11 cases. The proposed assumption procedures contain, among others, the following terms: (a) Assumption Notice. The Debtors will file a notice to assume a Contract or Contracts pursuant to section 365 of the Bankruptcy Code, which will set forth, among other things: (i) the Contract(s) to be assumed; (ii) the names and addresses of the counterparties to such Contract(s); (iii) the identity of the proposed assignee of such Contracts, if applicable; (iv)the effective date of the assumption for each such Contract(s), which date may not be before the date of service of the Assumption Notice; (v) the proposed cure amount, if any; (vi) a description of any material amendments to the Contract made outside of the ordinary course of business, if any; and (vii) the deadlines and procedures for filing objections to the Assumption Notice. The Assumption Notice may list multiple Contracts; provided that the number of counterparties to Contracts listed on the Assumption Notice will be limited to no more than 100. (b) Objection Procedures. Parties objecting to a proposed assumption must file and serve a written objection so that such objection is filed with the Court and actually received by the Objection Service Parties no later than 14 days after the date the Debtors serve the relevant Assumption Notice. (c) No Objection. If no objection to the assumption of any Contract is timely filed, each Contract will be assumed as of the Assumption Date set forth in the Assumption Notice or such other date as the Debtors and the counterparty or counterparties to such Contract(s) agree. (d) Unresolved Objections. If an objection to the assumption of any Contract(s) is timely filed and not withdrawn or resolved, the Debtors will file a notice for a hearing to consider the objection for the Contract(s) to which such objection relates. If such objection is overruled or withdrawn, such Contract(s) shall be assumed as of the Assumption Date set forth in the Assumption Notice or such other date as the Debtors and the counterparty or counterparties to such Contract(s) agree. Jonathan S. Henes, Esq., at Kirkland & Ellis LLP, in New York, tells the Court that the Debtors are in the process of evaluating all of their contracts to determine whether they should be: (a) rejected as unfavorable to the debtors, or (b) assumed or assumed and assigned, including the contracts to be assumed as amended through consensual negotiations with the relevant counterparties. Mr. Henes asserts that without the relief requested by the debtors, they would be required to file separate motions to reject or assume individual contracts, resulting in the incurrence of substantial costs and administrative burdens. Sabine Oil & Gas Corporation and its affiliated debtors are represented by: Paul M. Basta, Esq. Jonathan S. Henes, Esq. Christopher Marcus, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, NY 10022 Telephone: (212)446-4800 Facsimile: (212)446-4900 Email: paul.basta@kirkland.com jonathan.henes@kirkland.com christopher.marcus@kirkland.com -- and -- James H.M. Sprayregen, Esq. Ryan Blaine Bennet, Esq. Brad Weiland, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 300 North LaSalle Street Chicago, Illinois 60654 Telephone: (312)862-2000 Facsimile: (312)862-2200 Email: james.sprayregen@kirkland.com ryan.bennett@kirkland.com brad.weiland@kirkland.com About Sabine Oil Sabine Oil & Gas Corporation -- http://www.sabineoil.com-- is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States. Sabine's current operations are principally located in the Cotton Valley Sand and Haynesville Shale in East Texas, the Eagle Ford Shale in South Texas, the Granite Wash in the Texas Panhandle and the North Louisiana Haynesville.  SABINE OIL: Seeks to Reject Nabors Drilling, et al., Leases ----------------------------------------------------------- Sabine Oil & Gas Corporation and its affiliated debtors seek authority from the U.S. Bankruptcy Court for the Southern District of New York to reject the following contracts and related agreements: (a) Nabors Drilling Rig Contracts. Sabine is party to three daywork drilling contracts with Nabors Drilling USA, LP, dated as of December 14, 2012, for the provision and use of three drilling rigs and related services. The Debtors have determined that it is no longer necessary or desirable to maintain the Drilling Rig Contracts because they no longer intend to use the X-Rigs. The Debtors estimate that rejection of the Drilling Rig Contracts will save the Debtors approximately $30.8 million over the life of the Contracts. (b) Nabors Oilfield Services Agreement. Sabine is party to a committed oilfield services agreement with Nabors Industries, Inc., dated as of December 13, 2012, for the provision of drilling and hydraulic fracturing services. The Debtors have determined that it is no longer necessary or desirable to maintain the Nabors Oilfield Services Agreement given that the Nabors Oilfield Services Agreement requires the Debtors to either obtain services exclusively from Nabors Industries or pay a fee, and the Debtors can secure the same or similar services in the market at lower rates. (c) Leaseback Contracts. Sabine is party to sale and leaseback arrangements for certain drilling equipment under a Master Lease Agreement with LaSalle National Leasing Corporation, dated as of August 2, 2007. The current counterparty with respect to two of these sale and leaseback arrangements is The Fifth Third Equipment Finance Company. The current counterparty with respect to another of these sale and leaseback arrangements is Bank of America Leasing & Capital LLC. The Debtors have determined that it is no longer necessary or desirable to maintain the Leaseback Contracts given that they no longer intend to use the equipment leased thereunder. (d) Printer Leases. Sabine is party to an agreement for the lease of certain printers with Lewan & Associates, Inc., dated as of November 21, 2012. Additionally, Sabine entered into another agreement for the lease of certain printers with Lewan dated as of May 28, 2013. The Debtors have determined that it is no longer necessary or desirable to maintain the Lewan Printer Leases given that they no longer intend to use the printers leased thereunder. The Debtors estimate that rejection of the Lewan Printer Leases will save the Debtors approximately $141,000 over the life of the Contracts. (e) KMI Software Agreement. Sabine is party to a software subscription agreement with Knowledge Management Innovations, Ltd., dated as of February 5, 2014, for the use of certain software. The Debtors have determined that it is no longer necessary or desirable to maintain the KMI Software Agreement given that they no longer intend to use the KMI Software. The Debtors estimate that rejection of the KMI Software Agreement will save the Debtors approximately $75,000 over the life of the Contract. (f) IHS Software Agreement. Sabine is party to a software subscription agreement with IHS Global Inc., dated as of June 24, 2013, for the use of certain software. The Debtors have determined that it is no longer necessary or desirable to maintain the IHS Software Agreement given that they no longer intend to use the IHS Software. The Debtors estimate that rejection of the IHS Software Agreement will save the Debtors approximately $150,000 over the life of the Contract. (g) eVIN Software Licensing Agreement. Sabine is party to a software licensing agreement with Merrick Systems, Inc., dated as of August 2, 2004, for the licensing and use of certain software. The Debtors have determined that it is no longer necessary or desirable to maintain the Merrick Software Licensing Agreement given that they no longer use the eVIN Software. The Debtors estimate that rejection of the Merrick Software Licensing Agreement will save the Debtors approximately $136,000 over the life of the Contract. Jonathan S. Henes, Esq., at Kirkland & Ellis LLP, in New York, believes that rejection of the contracts is well within the Debtors' business judgment and is in the best interest of their estates. Mr. Henes tells the Court that absent rejection, the contracts impose ongoing obligations on the debtors and their estates that constitute an unnecessary drain on the debtors' resources compared to any associated benefits. He adds that non-debtor parties under the Contracts will not be unduly prejudiced if the rejection is deemed effective as of the Petition Date. He asserts that without a retroactive date of rejection, the debtors will be forced to incur unnecessary administrative expenses for the contracts that provide no benefit to their estates. Sabine Oil & Gas Corporation and its affiliated debtors are represented by: Paul M. Basta, Esq. Jonathan S. Henes, Esq. Christopher Marcus, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, NY 10022 Telephone: (212)446-4800 Facsimile: (212)446-4900 Email: paul.basta@kirkland.com jonathan.henes@kirkland.com christopher.marcus@kirkland.com -- and -- James H.M. Sprayregen, Esq. Ryan Blaine Bennet, Esq. Brad Weiland, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 300 North LaSalle Street Chicago, Illinois 60654 Telephone: (312)862-2000 Facsimile: (312)862-2200 Email: james.sprayregen@kirkland.com ryan.bennett@kirkland.com brad.weiland@kirkland.com About Sabine Oil Sabine Oil & Gas Corporation -- http://www.sabineoil.com-- is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States. Sabine's current operations are principally located in the Cotton Valley Sand and Haynesville Shale in East Texas, the Eagle Ford Shale in South Texas, the Granite Wash in the Texas Panhandle and the North Louisiana Haynesville. SABINE OIL: Zolfo Cooper's Jonathan Mitchell to Serve as CRO ------------------------------------------------------------ Sabine Oil & Gas Corporation, et al., seek authorization from the U.S. Bankruptcy Court for the Southern District of New York to employ Zolfo Cooper Management, LLC to provide Jonathan A. Mitchell as chief restructuring officer and additional personnel, nunc pro tunc to the July 15, 2015 petition date. On July 10, 2015, the Debtors entered into the Services Agreement with Zolfo Cooper to: (a) appoint Mr. Mitchell to serve as CRO; (b) provide the Debtors with three additional restructuring associates; and (c) provide the Debtors with a separate team of litigation support professionals, including a director of investigative services (the "Associate Director of Investigation"), to provide services related to the Potential Claims Investigation. Pursuant to the terms of the Services Agreement, Mr. Mitchell will serve as the Debtors' CRO and Zolfo Cooper will assign Associate Directors to perform other services as needed pursuant to the Services Agreement. Mr. Mitchell primarily will perform the functions relating to coordination, communication, negotiation, cash flow projections, the business plan, long-term capital restructuring, and contingency planning. The Associate Director of Investigation will be assigned to lead the litigation support services in connection with the Potential Claims Investigation. The Associate Director of Investigation will work closely with Counsel and shall report to the independent investigation committee of the Board. Zolfo Cooper will be paid by the Debtors for the services of Mr. Mitchell and the Associate Directors in accordance with the Services Agreement, which provides in relevant part as follows: (a) Standard Hourly Rates: Fees for services provided will be based on the hours charged at Zolfo Cooper's standard hourly rates that are in effect when the services are rendered, which rates generally are revised semi-annually. The billing rates for professionals who may be assigned to this engagement in effect as of Jan. 1, 2015, are as follows: Managing Directors $775-$925 Professional Staff $265-$770 Support Personnel $60-$310 (b) Out-of-Pocket Expenses: Zolfo Cooper shall be reimbursed for Zolfo Cooper's, Mr. Mitchell's, and Associate Directors' reasonable and documented out-of-pocket expenses including, but not limited to, costs of travel, reproduction, the reasonable and documented fees of one law firm serving as counsel, if any, retained by Zolfo Cooper, any applicable state sale or excise tax, and other direct expenses. (c) Retainer and Advance Payments: Zolfo Cooper received a pre- petition retainer of $250,000 and advance payments of $2,390,000. Prior to the Petition Date, and after application of the advance payment, Zolfo Cooper drew down on the retainer to cover all outstanding prepetition fees and expenses. Zolfo Cooper will apply its remaining retainer and/or advance payment balance to allowed post-petition fees and expenses prior to seeking payment from the Debtors. Jonathan A. Mitchell, senior managing director of Zolfo Cooper, 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. Zolfo Cooper can be reached at: Elizabeth S. Kardos, Esq. ZOLFO COOPER MANAGEMENT, LLC 101 Eisenhower Parkway, 3rd Floor Roseland, NJ 07068 Tel: (212) 561-4120 E-mail: ekardos@zolfocooper.com About Sabine Oil & Gas Sabine Oil & Gas Corp. is an independent energy company engaged in the acquisition, production, exploration, and development of onshore oil and natural gas properties in the U.S. The Company's current operations are principally located in the Cotton Valley Sand and Haynesville Shale in East Texas, the Eagle Ford Shale in South Texas, the Granite Wash in the Texas Panhandle, and the North Louisiana Haynesville. The Company operates, or has joint working interests in, approximately 2,100 oil and gas production sites (approximately 1,800 operating and approximately 315 non-operating) and has approximately 165 full-time employees. Sabine Oil and its affiliated entities sought Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 15-11835) in Manhattan on July 15, 2015. The Debtors have engaged Kirkland & Ellis LLP and Kirkland & Ellis International LLP, as counsel; Lazard Freres & Co. LLC, as investment banker, and Prime Clerk LLC as notice, claims and balloting agent. The Debtors also tapped Zolfo Cooper Management, LLC, to provide Jonathan A. Mitchell as CRO and other additional personnel. SALADWORKS LLC: Seeks Sept. 17 Extension of Plan Filing Period -------------------------------------------------------------- SW Liquidation, LLC, asks the U.S. Bankruptcy Court for the District of Delaware to extend its exclusive period to file a Chapter 11 plan to September 17, 2015, and exclusive solicitation period to November 13, 2015. Kimberly A. Brown, Esq., at Landis Rath & Cobb LLP, in Wilmington, Delaware, tells the Court that the Debtor has continued to comply with its obligations under the Bankruptcy Code and has worked closely and diligently with other parties in interest on an array of issues, including the terms of the filed Plan. She further tells the Court that allowing this relatively modest extension of the Exclusive Periods will allow the Debtor a full and fair opportunity to seek approval of the Disclosure Statement and the Solicitation Procedures, solicit acceptances of the Plan, seek confirmation thereof, engage in informed and productive negotiations with parties in interest, and is appropriate under the circumstances of the chapter 11 case. The Debtor's Motion is scheduled for hearing on August 19, 2015 at 10:00 a.m. The deadline for the filing of objections to the Motion is set on July 31. SW Liquidation, LLC, is represented by: Adam G. Landis, Esq. Kerri K. Mumford, Esq. Kimberly A. Brown, Esq. LANDIS RATH & COBB LLP 919 Market Street, Suite 1800 Wilmington, DE 19801 Telephone: (302)467-4400 Facsimile: (302)467-4450 Email: landis@lrclaw.com mumford@lrclaw.com brown@lrclaw.com About Saladworks, LLC Developed in 1986, Saladworks, LLC, is the first and largest fresh-salad franchise concept in the United States. From its beginning in the Cherry Hill Mall, Saladworks quickly expanded to 12 additional locations in area malls and soon thereafter began franchising. The company has franchise agreements with 162 different franchisees. The equity owners are J Scar Holdings, Inc., (70%) and JVSW LLC (30%). Saladworks, LLC, sought Chapter 11 bankruptcy protection (Bankr. D. Del. Case No. 15-10327) on Feb. 17, 2015. The case assigned to Judge Laurie Selber Silverstein. The Debtor has tapped Landis Rath & Cobb LLP as counsel; SSG Advisors, LLC, as investment banker; EisnerAmper LLP, as financial advisor; and Upshot Services LLC, as claims and noticing agent. Saladworks, LLC, disclosed $2,303,632 in assets and $14,220,722 in liabilities as of the Chapter 11 filing. * * * SW Liquidation, LLC, f/k/a Saladworks, LLC, filed with the U.S. Bankruptcy Court for the District of Delaware a Chapter 11 Plan of Liquidation and accompanying disclosure statement following the sale of substantially all of its assets to a new entity affiliated with Centre Lane Partners LLC. With the exception of the assets related to the Paoli Store, the Buyer will pay $16.9 million, consisting of (a) $15 million in cash; (b) up to $200,000 in Required Cure Costs for contracts that are assumed; (c) the assumption of certain liabilities up to a maximum aggregate amount of $500,000; and (d) the funding of $1.2 million into the Brand Development Fund. The Debtor estimates that the estate currently has cash in the approximate amount of $15.5 million. General Unsecured Claims (Clas 3) are expected to recover 100% of their allowed claims amount, while Class C Interests (Class 8) are expected to recover 22.7% to 92.7% of their allowed claims amount. A full-text copy of the Disclosure Statement dated July 1, 2015, is available at http://bankrupt.com/misc/SWds0701.pdf SEARS HOLDINGS: S&P Affirms 'CCC+' CCR, Outlook Negative -------------------------------------------------------- Standard & Poor's Ratings Services affirmed all of its ratings, including its 'CCC+' corporate credit rating, on Sears Holding Corp. The outlook is negative. At the same time, S&P corrected its issue-level rating on Sears Roebuck Acceptance Corp.'s unsecured debt by lowering it to 'B-' from 'B'. "We revised our assessment of Sears' liquidity to "adequate" from "less than adequate" following the closing the REIT transaction with Seritage Growth Properties and the extension of a majority of its ABL facility until 2020, the combination of which represents a significant boost to liquidity," said credit analyst Robert Schulz. "Sears disclosed that pro forma for the REIT deal (as of May 2, 2015), cash, and remaining availability under its revolving credit facilities would have been $3.4 billion (compared with $1.2 billion)." S&P's negative outlook on Sears reflects S&P's view that weak operating performance will persist during 2015 and a turnaround depends on the company's progress with its integrated retail strategy to reverse the lack of profitability and substantial cash use. S&P believes Sears retains significant unencumbered real estate it can use to generate liquidity, but progress in stabilizing sales and improving earnings and cash flow are just as critical to avoid an eventual restructuring. The outlook is negative since S&P considers the capital structure to be unstainable longer term at the current level of retail losses, negative EBITDA, and cash burn. S&P could lower the rating if retail cash usage doesn't show signs of abating into late 2016 and leading S&P to envision a specific default scenario. S&P could consider revising the outlook to stable if it sees indications that the company's retail segment is recovering, including prospects for a return to positive EBITDA and if liquidity seems sufficient for 2017 and beyond. As S&P evaluates the benefits from the REIT transaction over the next year, key considerations will include the company's use of proceeds, how fast incremental rent obligations may be reduced by landlord space recapture, and prospects for Sears to turnaround its retail operations. S&P views an upgrade as less likely at this time because of S&P's expectations for continued challenges in the retail segment. SHERSON GROUP: U.S. Court Issues TRO and Prelim. Injunction ----------------------------------------------------------- Richter Advisory Group Inc., in its capacity as the trustee and foreign representative of Sherson Group, Inc., sought and obtained from Judge Sean H. Lane of the U.S. Bankruptcy Court for the Southern District of New York, a temporary restraining order and a preliminary injunction in the Debtor's case. Judge Lane ordered that a temporary restraining order be issued, in the Debtor's case, on July 7, 2015 at 11:40 a.m., without notice, enjoining all Persons, and all those acting for or on their behalf, from taking the following actions in the United States and its territories: (i) Taking any action or proceeding, directly or indirectly, to: (a) enforce rights to payment, claims, offsets, liens, charges, encumbrances, or interests against the Debtor, the Trustee, the Debtor's directors, or Debtor property or its estate or business, (b) obtain possession of property of the Debtor or property from the Debtor or (c) exercise control over the Debtor, its property or its business, pending further order of the Court; (ii) Discontinuing, failing to honor, altering, interfering with, repudiating, terminating or ceasing to perform any right, renewal right, contract, agreement, license or permit in favor of or held by the Debtor, including, without limitation, the License Agreement, pending further order of the Court; (iii) Discontinuing, altering, interfering with or terminating any oral or written agreement with the Debtor or statutory or regulatory mandate for the supply of goods and/or services, including without limitation all licensing, distribution, product supply, computer software, communication and other data services, centralized banking services, payroll services, insurance, transportation services, utility or other services to the Debtor's business or the Debtor, and the Debtor shall be entitled to the continued use of its current premises, telephone numbers, facsimile numbers, internet addresses and domain names; provided, in each case, that the contractual prices or charges for all such goods or services received after the Canadian Commencement Date are paid by the Debtor in accordance with ordinary payment practices of the Debtor or such other practices as may be agreed upon by the supplier or service provider, the Debtor and the Trustee, or as may be ordered by the Canadian Court or as provided for expressly under the BIA; and (iv) Taking any action that would be in violation of any order of the Canadian Court or the Court, until either (a) in the event an objection is filed in respect of the preliminary injunction and the Second Provisional Order, the conclusion of the Preliminary Injunction Hearing or any adjournment thereof, or (b) if no objection is filed in respect of the preliminary injunction and the Second Provisional Order and the Preliminary Injunction Hearing is cancelled, the conclusion of the hearing on recognition scheduled for July 27, 2015 at 11:00 a.m. or any adjournment thereof. About Sherson Group, Inc. Sherson Group Inc., distributor of the Nine West footwear in 48 retail locations, filed a Chapter 15 bankruptcy petition (Bankr. S.D.N.Y. Case No. 15-11765) on July 6, 2015, in Manhattan, to seek recognition of its Canadian proceedings. The U.S. case is assigned to Judge Sean H. Lane. Michael B. Schaedle, Esq., at Blank Rome LLP, in Philadelphia, serves as U.S. counsel to the Debtor. Aird & Berlis has been retained by Sherson Group to represent the Company as its primary counsel in its Canadian proceeding under the Canadian Bankruptcy & Insolvency Act, R.S.C., 1985, c. B-3. Richter Advisory Group Inc. was selected by the Company as trustee. Richter, as foreign representative, signed the Chapter 15 petition. Sherson Group is one of Canada's premier distributors and retailers of footwear and accessories. Its fashion portfolio features names such as Nine West, Bandolino, Enzo Angiolini, Anne Klein, Easy Spirit, Adrienne Vittadini, Adrianna Papell, Taryn Rose, Flogg, Charles David, Circa Joan and David, and Mootsies Tootsies. The Company's primary brand is Nine West and distribution occurs primarily through its 48 retail locations in Canada (although a substantial percentage of sales occur through wholesale and E-commerce channels). It employs in excess of 600 workers throughout Canada. The Company was established in 1984 as Sherson Marketing Inc., which later became Sherson Marketing Corp. and, subsequently amalgamated with another entity to become Sherson Group. It is organized under the laws of the Province of Ontario with a registered address 1446 Don Mills Road, Suite 100, Toronto, Ontario, Canada. STATE FISH: Has Authority to Use Cash Collateral Until Oct. 15 -------------------------------------------------------------- Judge Sandra R. Klein of the United States Bankruptcy Court for Central District of California, Los Angeles Division, issued a Fourth Interim Order authorizing the Chapter 11 Trustee of State Fish Co., Inc., to use cash collateral of lenders Pan Pac LLC and Roseann DeLuca Revocable Trust until October 15, 2015. Pursuant to the Stipulation, the Trustee is authorized to use cash collateral on an interim basis, pending hearing on the motion. All expenditures of cash collateral in any amount during the chapter 11 case must conform in every respect to the Stipulation and the budgets filed by the Trustee. The Trustee's right to use cash collateral shall extend to and automatically terminate on October 15, 2015. A continued hearing will be on October 8, 2015 at 8:30 a.m. About State Fish State Fish Co., Inc. was founded in 1932 and began as a small local wholesale fish buyer in California. Under the leadership of Sam DeLuca, State Fish expanded from a small fresh fish company to an internationally-known import and export company operating its own processing and cold store facilities near the Port of Los Angeles. Calpack Foods, LLC, a wholly owned subsidiary, was formed in April 2012 to produce high quality food and beverage products. State Fish and Calpack Foods filed voluntary Chapter 11 bankruptcy petitions (C.D. Cal. Lead Case No. 15-11084) on Jan. 26, 2015, amid a family dispute and liquidity woes brought by declining fish catches. Sisters Vanessa DeLuca, Roseann DeLuca and Janet Esposito, backed the bankruptcy filing while John DeLuca has opposed the Chapter 11 effort. The Hon. Sandra R. Klein presides over the jointly administered cases. Amir Gamliel, Esq., and Alan D Smith, Esq., at Perkins Coie LLP serve as the Debtors' counsel. George Blanco, at Avant Advisory Group acts as chief restructuring officer. State Fish disclosed $34,868,772 in assets and $10,084,671 in liabilities as of the bankruptcy filing. The U.S. Trustee has appointed three entities -- Cedar Cold Services LLC, Star-Box Inc., and Queen City Seafood Sales – to serve on the official committee of unsecured creditors. The panel has tapped Levene, Neale, Bender, Yoo & Brill LLP to serve as its general counsel. R. Todd Neilson was appointed as Chapter 11 trustee effective as of Feb. 27, 2015. SUNCOKE ENERGY: Recent Acquisitions No Impact on Moody's Ba3 CFR ---------------------------------------------------------------- Moody's Investors Service said that the ratings of SunCoke Energy Partners, L.P. (SXCP), including the Ba3 CFR, Ba3-PD PDR, senior unsecured rating of B1 and stable outlook, are unaffected by the company's agreement to acquire Convent Marine Terminal from Raven Energy Partners for $412 million. Ratings are also unaffected by SXCP's agreement to acquire an additional 23% equity interest in Granite City from parent company SunCoke Energy, Inc. (SXC) for $67 million. The Convent acquisition will be financed initially with a combination of limited partnership units, approximately $115 million of assumed debt, and approximately $214 million with SXCP revolver/cash. SXCP plans to refinance the $214 million by issuing new notes at a future date. The Granite City dropdown will be funded by an assumption of SXC's senior unsecured notes and the issuance to SXC of general and limited partner interests in SXCP. SUNTECH AMERICA: Has Unti Aug. 10 to Decide on Unexpired Leases --------------------------------------------------------------- The Hon. Christopher S. Sontchi of the U.S. Bankruptcy Court for the District of Delaware extended until Aug. 10, 2015, the deadline for Suntech America, Inc., et al., to assume or reject unexpired leases of nonresidential real property. Joseph C. Barsalona II, Esq., at Richards, Layton & Finger, P.A., counsel for the Debtors, filed a certificate of no objection regarding the Debtors' motion to extend the lease decision deadline. As reported in the Troubled Company Reporter on May 19, 2015, the Debtors explained that their unexpired leases relate to property that represents the entirety of the Debtors' locations where they conduct their businesses. All of the unexpired leases are necessary for the Debtors to maintain operations, store valuable assets, and manage their businesses. About Suntech America Suntech America, Inc., and Suntech Arizona, Inc. filed for Chapter 11 bankruptcy protection (Bankr. D. Del. Case Nos. 15-10054 and 15-10056) on Jan. 12, 2015. Judge Christopher S. Sontchi presides over the case. Mark D. Collins, Esq., Paul Noble Heath, Esq., William A. Romanowicz, Esq., Zachary I Shapiro, Esq., at Richards, Layton & Finger, P.A., serve as the Debtors' bankruptcy counsel. Upshot Services LLC is the Debtors' claims and noticing agent. The Debtors estimated their assets at between $100 million and $500 million, and their debts at between $100 million and $500 million. Headquartered in San Francisco, California, Suntech America, aka Suntech Power, an affiliate of Wuxi, China-based Suntech Power Holdings Corp., was the main operating subsidiary of the Suntech Group in the Americas and its primary business purpose was acting as an intermediary for marketing, selling and distributing Suntech Group manufactured products. SUNVALLEY SOLAR: Issues 2 Million Preferred Shares -------------------------------------------------- Sunvalley Solar, Inc., issued a total of 2,000,000 shares of its newly designated Class B Convertible Preferred Stock to these individuals: Zhijian (James) Zhang 1,250,000 shares Hangbo (Henry) Yu 325,000 shares Waiman Mandy Chung 70,000 shares Anyork Lee 50,000 shares Shirley Liao 70,000 shares William Hsien 70,000 shares Mehmet Cercioglu 55,000 shares Thomas L. Louie 30,000 shares Dan Shi 20,000 shares Fang Xu 60,000 shares These shares were issued as incentive compensation for services rendered or to be rendered by certain officers, directors, and key employees of the Company, and the issuance to each individual is governed by a Restricted Stock Award Agreement. Under the relevant award agreements, the shares issued are subject to forfeiture in event of the recipient's resignation or dismissal within one year of issuance. Prior to vesting, the shares issued may not be transferred or encumbered. The shares of Class B Convertible Preferred Stock vote together with the Company's Common shares, but shares of the Class B Convertible Preferred Stock have 10 votes per share. The Class B Convertible Preferred Stock is convertible into shares of the Company's Common Stock at the conversion rate of one Class B Convertible Preferred Share for 10 Common shares. Amendments to Articles of Incorporation On July 23, 2015, the Company filed a Certificate of Amended and Restated Articles of Incorporation with the Nevada Secretary of State's office. It became effective on the filing date. Article III of the Company's Restated Articles was amended to increase the number of its total authorized shares of Common Stock from 4,500,000 shares to 150,000,000 shares, and to increase the number of the Company's total authorized shares of Preferred Stock from 1,000,000 shares to 6,000,000 shares. The general rights and preferences of the Common Stock and Preferred Stock have been clarified in Article III of the Restated Articles. Article VII of the Restated Articles now provides that the Company will indemnify its directors and officers to the fullest extent permissible under Nevada Law. Articles IX and X of the Restated Articles now provide that the provisions of the Nevada Revised Statutes Sections 78.378 to 78.3793, inclusive, (acquisition of a controlling interest) and Sections 78.411 to 78.444, inclusive, (combinations with interested stockholders) are not applicable to the Company. Pursuant to Article III of the Company's Restated Articles, the Company's Board of Directors voted to designate a class of preferred stock entitled Class B Convertible Preferred Stock, consisting of two million (2,000,000) shares, par value $0.001. The rights of the holders of Class B Convertible Preferred Stock are defined in the Certificate of Designation of Sunvalley Solar, Inc. Class B Convertible Preferred Stock filed with the Nevada Secretary of State on July 23, 2015. It became effective on the filing date. Holders of shares of Class B Convertible Preferred Stock are entitled to vote together with the holders of the Company's Common Stock on all matters submitted to shareholders at a rate of 10 votes for each Class B Convertible Preferred share held. Holders of shares of Common Stock have one vote per each Common share held. Holders of shares of Class B Convertible Preferred Stock are also entitled, at their option, to convert their shares of Class B Convertible Preferred Stock into shares of the Company's Common Stock on a one Class B Preferred share for 10 Common shares. Under the Certificate of Designation, holders of shares of Class B Convertible Preferred Stock will participate on an equal basis per-share with holders of the Company's Common Stock in any distribution out of the Company's assets upon winding up, dissolution, or liquidation, after giving effect to the Conversion Rate. About Sunvalley Solar Sunvalley Solar, Inc., is a California-based solar power technology and system integration company. Since the inception of its business in 2007, the company has focused on developing its expertise and proprietary technology to install residential, commercial and governmental solar power systems. Sunvalley Solar reported a net loss of $1.28 million on $3.31 million of revenues for the year ended Dec. 31, 2014, compared with net income of $764,000 on $4.09 million of revenues for the year ended Dec. 31, 2013. As of March 31, 2015, the Company had $6.34 million in total assets, $5.78 million in total liabilities and $561,000 in total stockholders' equity. Sadler, Gibb & Associates, LLC, in Salt Lake City, UT, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has an accumulated deficit of $3.65 million, which raises substantial doubt about its ability to continue as a going concern. SURVEYMONKEY INC: Moody's Cuts Corporate Family Rating to 'B3' -------------------------------------------------------------- Moody's Investors Service downgraded SurveyMonkey Inc. corporate family rating (CFR) to B3 from B2. The $315 million 1st lien term loan and $75 million revolver were downgraded to B3 (LGD3) from B2 (LGD3). The outlook is stable. The reason for the downgrade is the leverage level that we had expected has not been achieved and we anticipate leverage will increase going forward as higher expenses (including stock compensation) weigh on EBITDA levels. While reported revenue (including discontinued operations in 2013) grew almost twenty percent in 2014 and is expected to increase at comparable levels going forward, costs of revenue and operating expense are expected to grow significantly higher and negatively impact EBITDA. Moody's adjusted leverage (which includes stock compensation as an expense) is expected to increase to approximately 8x by the end of 2015. Issuer: SurveyMonkey Inc. Corporate Family Rating, downgraded to B3 from B2 Probability of Default Rating, downgraded to Caa1-PD from B3-PD $315 million Term loan B due 2019, downgraded to B3 (LGD3) from B2 (LGD3) $75 million Revolver due 2018, downgraded to B3 (LGD3) from B2(LGD3) Outlook, Stable RATINGS RATIONALE SurveyMonkey's B3 CFR reflects the company's high financial leverage, relatively small size, and concentration in a segment of the web based survey market. The rating also include near term investments, higher expense and foreign exchange headwinds that will impact EBITDA in 2015. The company also faces risk from competition from numerous smaller competitors, and the potential for new technologies or product offerings that could disrupt its business model. Technology risk to the credit is magnified by the lack of product diversification. Support for the ratings comes from the company's high revenue growth rates over the past several years and good free cash flow. The company also benefits from an equity raise completed in Q4 2014 that bolstered its liquidity position. A significant amount of free cash flow is expected to be generated internationally as a large amount of the costs are based in the US and its debt is denominated in US$. While the Do-It-Yourself (DIY) survey market segment is modest in size with a vast number of small competitors, SurveyMonkey has a very strong position and Moody's believes it would be difficult for an existing competitor to take material market share from the company. "Moody's financial leverage using cash EBITDA, which includes the change in deferred revenue as income and stock compensation as an expense, is 6.2x as of Q1 2015. Higher than anticipated costs are expected to increase leverage to approximately 8x by the end of the year. We expect that a portion of the additional expense is success based and will lead to higher revenues or be cut back if they don't achieve the results anticipated." "SurveyMonkey is expected to have good liquidity given the company's $75 million revolver and cash balance of over $60 million (as of Q1 2015) following the company's equity raise in Q4 2014. We anticipate that part of the cash will be used for acquisitions. We expect the company will earn a substantial portion of its free cash flow and hold material amounts of cash at its international operations that would be subject to repatriation taxes if brought back to the United States. We don't expect the international cash balances to be repatriated unless it's necessary, given the tax implications." The existing credit agreement includes a maximum leverage ratio covenant of 5.25x as of Q2 2015 and decreases to 4.75x on Q3 2015, 4.25x on Q4 2015, and 4x on Q1 2016 for the life of the deal. The current leverage ratio as calculated by the credit agreement is 3.5x as of Q1 2015, but is expected to increase over the rest of the year. We anticipate that the company will successfully amend its credit agreement to maintain a sufficient cushion of compliance with its covenants. The stable rating outlook reflects Moody's expectation that revenue will grow in the high teens percentage rate given its market position in its operating segment and maintain good free cash flow levels. Higher expenses, including stock compensation expense, is anticipated to weigh on EBITDA and lead to elevated leverage levels as calculated by Moody's. Given the high leverage levels, an upgrade is not anticipated in the near term. SurveyMonkey's small size, narrow product focus and technology risks also reduce upward rating pressure. However, positive rating pressure could develop if the company achieves leverage levels sustained below 6.5x (including Moody's standard adjustments). A stable market position, positive revenue growth, good EBITDA margins and free cash flow would also be required. A downgrade would occur due to overall weak operating performance, lost market share, technological disruptions, stock repurchases that impaired its liquidity position, or increased concern about its ability to remain in compliance with its covenants. SurveyMonkey Inc. is privately owned online survey company that was founded in 1999. TEXAS REGENCY APARTMENTS: Has Interim Authority to Use Cash ----------------------------------------------------------- Judge David R. Jones of the United States Bankruptcy Court for the Southern District of Texas, Houston Division, granted Texas Regency Apartments, L.P., interim authority to use cash collateral securing its prepetition indebtedness. The Debtor is allowed to use the Cash Collateral provided that the use of such Cash Collateral will not vary by category by more than 10%, except that any savings in the Budget in one category, will be available to cover any deficit in another category and, irrespective of the 10% variance permitted, the Debtor may not exceed the aggregate total expenditures set forth in the Budget. As to adequate protection for the Lender's interest in the Debtor's continued use and operation of the Real Property and use of the Cash Collateral, the Debtor will: (i) make the following adequate protection payments directly to the Lender each month: July 15, 2015 - $40,000 August 15, 2015 - $40,000 September 15, 2015 - $40,000; timely pay all undisputed post-petition taxes and use the Cash Collateral so that the Cash Collateral is solely being used for purposes of direct operation, management, maintenance and repair of the Property. The Debtor explained that it needs an immediate authority to use its cash collateral to be able to meet its ongoing operational expenses, and its estate will suffer immediate and irreparable harm. TD Bank, owed $11,080,286, complained that the Debtor has not met the requirements of Sections 361 and 363 of the Bankruptcy Code to demonstrate an actual need to use the Cash Collateral and to provide TD Bank with adequate protection of the diminution of its interest in the Cash Collateral as the Debtor uses it. The Debtor, the bank further complained, cannot meet its burden to show that it "needs" the Cash Collateral because no plan of reorganization exists for this Debtor. It is not beneficial to the estate or the Debtor's creditors, TD Bank or otherwise, to permit the Debtor to continue trying to operate the Apartment Complex while burning through over $100,000 of Rents each month, $228,446 of Escrowed Funds, failing to account for accruing real estate taxes, and falling further into debt by borrowing $114,000 from a third-party, related entity, TD Bank said. Further, the Debtor cannot meet its burden to show that it is providing adequate protection to TD Bank for its use of the Cash Collateral, the bank further argued. In response, the Debtor explained that the proposed cash infusion from Jaymor USA, Inc. is not a loan and does not constitute post-petition borrowing and the Debtor can operate as viable entity with the use of cash collateral. A final hearing on the Cash Collateral Motion is scheduled for August 13, 2015 at 3:00 p.m. Texas Regency Apartments, L.P. is represented by: Matthew Hoffman, Esq. Alan Brian Saweris, Esq. Law Offices of Matthew Hoffman, PC 2777 Allen Parkway, Suite 1000 Houston, Texas 77019 Tel.: 713 654-9990 Fax: 713 654-0038 TD Bank NA is represented by: Scott R. Cheatham, Esq. 701 Poydras Street, Suite 4500 New Orleans, Louisiana 70139 Tel.: 504 581-3234 Fax: 504 566-0210 Email: scott.cheatham@arlaw.com About Texas Regency Apartments, L.P. Texas Regency Apartments, L.P., owner of the Regency Square Apartments at 7222 Bellerive Dr., Houston, Texas, sought Chapter 11 protection (Bankr. S.D. Tex. Case No. 15-33188) in Houston, Texas, on June 10, 2015. Gordon Steele signed the petition chief financial officer. The Debtor disclosed total assets of $11.1 million and total liabilities of $11.4 million. The Debtor tapped Matthew Hoffman, Esq., at the Law Offices of Matthew Hoffman, P.C., as counsel. Judge David R. Jones presides over the case. TMT GROUP: Temporary Injunction in Suit Over Vantage Shares Upheld ------------------------------------------------------------------ The Court of Appeals of Texas, Fourteenth District, Houston, affirmed a trial court's order for temporary injunction and denied a motion to void state court proceedings, or alternatively motion to increase temporary injunction bond pending interlocutory appeal of injunction order in the appeal case captioned HSIN-CHI-SU AKA NOBU SU, Appellant, v. VANTAGE DRILLING COMPANY, Appellee, Case No. 14-14-00461-CV, (Tex. App.). Vantage Drilling Company sued Hsin-Chi-Su aka Nobu Su seeking, inter alia, to recover Vantage shares held by Su's wholly-owned affiliate, F3 Capital, on the ground the stock was acquired via Su's fraud and breach of fiduciary duties. The trial court signed a temporary injunction precluding Su from disposing of, or otherwise encumbering, the shares pending final judgment. In five appellate issues, Su attacks the merits of the injunctive relief and the amount of the temporary-injunction bond that Vantage was ordered to post. Su has also filed in our court a "Motion to Void State Court Proceedings, Or Alternatively Motion to Increase Temporary Injunction Bond Pending Interlocutory Appeal of Injunction Order." Justice Donovan affirmed the temporary injunction and denied the Su's motion. The Court of Appeals found that the trial court did not abuse its discretion by setting the bond at $125,695.81. The record does not reflect that Su ever complained in the trial court that no remand order had been signed. Su first raises the issue in his appellate motion. Thus, Su waived his complaint that the case was not remanded in compliance with federal procedures. Accordingly, because the case was remanded, the trial court had jurisdiction to sign the temporary injunction. We overrule the portion of Su's appellate motion contending the trial court lacked jurisdiction and turn to his challenges to the merits of the temporary injunction. Vantage presented evidence it would suffer a probable, imminent, and irreparable injury before trial if a temporary injunction did not issue because of Su's previous actions in placing, or attempting to place, the shares out Vantage's reach. We overrule Su's third issue. A full-text copy of the Opinion dated July 14, 2015, is available at http://is.gd/Inl9lJfrom Leagle.com. About TMT Group Known in the industry as TMT Group, TMT USA Shipmanagement LLC and its affiliates own 17 vessels. Vessels range in size from 27,000 dead weight tons (dwt) to 320,000 dwt. TMT USA and 22 affiliates, including C. Ladybug Corporation, sought Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 13-33740) in Houston, Texas, on June 20, 2013 after lenders seized seven vessels. TMT filed a lawsuit in U.S. bankruptcy court aimed at forcing creditors to release the vessels so they can return to generating income. TMT has tapped attorneys from Bracewell & Giuliani LLP as bankruptcy counsel and AlixPartners as financial advisors. On a consolidated basis, the Debtors have $1.52 billion in assets and $1.46 billion in liabilities. TONYA BROWN: Carlisle Wins Summary Judgment as to R. Brown Claims ----------------------------------------------------------------- Magistrate Judge Terence P. Kemp of United States District Court for Southern District of Ohio, Eastern Division, granted the motion for summary judgment filed by Carlisle, McNellie, Rini, Kramer & Ulrich, Co., LPA, as to the claims brought by Ronald Brown and denied the motion for leave to file an amended complaint and injunction or motion to stay in the case. The case is Ronald Brown, et al., Plaintiffs, v. Florida Coastal Partners, LLC, Defendants, Case No. 2:13-CV-1225, (S.D. Ohio). A full-text of Magistrate Kemp's Opinion and Order dated July 10, 2015, is available at http://is.gd/BpuRq6from Leagle.com. Ronald Brown, Plaintiff, Pro Se. Tonya Brown, Plaintiff, Pro Se. Charles Roland Griffith, Esq., serves as counsel for Defendants Florida Coastal Partners, LLC and Charles R. Griffith. Eric T. Deighton, Esq., of Carlisle, McNellie, Rini, Kramer & Ulrich, CO, LPA serve as counsel for Defendant Carlisle McNellie Rini Kramer & Ulrich Co. LPA. TRANS COASTAL: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: Trans Coastal Supply Company, Inc. 2803 North 22nd Street Decatur, IL 62526 Case No.: 15-71147 Chapter 11 Petition Date: July 23, 2015 Court: United States Bankruptcy Court Central District of Illinois (Springfield) Judge: Hon. Mary P. Gorman Debtor's Counsel: Jeffrey D Richardson, Esq. RICHARDSON & ERICKSON 132 South Water Street, Suite 444 Decatur, IL 62523 Tel: (217) 425-4082 Email: jdrdec@aol.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $10 million to $50 million The petition was signed by Pamela D. Moses, president. List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ CHS, Inc. Trade Debt $12,103,416 NW 9365 P. O. Box 1450 Minneapolis, MN 55485 The Andersons Clymers Trade Debt $3,014,860 P. O. Box 119 Maumee, OH 43537 Gavilon Con Agra Trade Debt $2,956,029 24301 Network Place Chicago, IL 60673-1234 JD Heiskell & Co. Trade Debt $1,590,857 20010 Manderson Street Elkhorn , NE 68022 Three Rivers Ethanol Trade Debt $1,092,000 18137 CR 271 Coshocton, OH 43812 Commodity Specialist Company Trade Debt $1,005,290 55 Corporate Woods Suite 115 Overland Park, KS 66210 Green Plains Trade Group, LLC Trade Debt $900,365 450 Regency Parkway Omaha, NE 68114 Yang Ming (America) Corp Trade Debt $633,933 3025 Highland Parkway Suite 850 Downers Grove, IL 60515 Cargill, Inc. Trade Debt $594,357 Attn: Paul Calahan 15407 McGinty East Rd. MS#20 Wayzata, MN 55391 Lansing Vermont Trade Debt $529,764 P. O. Box 741671 Atlanta, GA 30374-1671 Evergreen Line Trade Debt $459,693 823 Commerce Dr. 2nd Floor Oak Brook, Illinois 60523 Aventine Renewable Trade Debt $439,823 Energy, Inc. P. O. Box 310363 Des Moines, IA 50331 Didion Ethanol Trade Debt $425,342 P. O. Box 400 Johnson Creek, WI 53038 Renewable Products Trade Debt $394,433 Marketing 1157 Valley Park Drive Shakopee, MN 55379 The Scoular Company Trade Debt $380,212 10801 Mastin Blvd. Overland Park, KS 66210 Bunge North America Trade Debt $362,483 11720 Borman Drive P. O. Box 28500 St. Louis, MO 63146 China Shipping (North Trade Debt $358,205 America) Agency Attn: Scott Levine 11 Philips Pkwy Montvale, NJ 07645 Ceres Consulting, LLC Trade Debt $348,184 3808 cookson Road East St. Louis, IL 62201 Marquis Energy - Trade Debt $330,643 Wisconsin P. O. Box 349 Hennepin, IL 61327 Cosco Container Lines Trade Debt $304,063 333 E. Butterfield Road Suite 830 Lombard, IL 60148 TRANSGENOMIC INC: Registers 3.3 Million Shares for Resale --------------------------------------------------------- Transgenomic, Inc., filed a Form S-3 registration statement with the Securities and Exchange Commission relating to the resale by certain investors of up to 3,318,048 shares of the Company's common stock, par value $0.01 per share. The 3,318,048 shares of Common Stock consist of: (i) up to 1,473,512 shares of Common Stock; (ii) up to 1,177,372 shares of Common Stock issuable upon exercise of outstanding Series A warrants to purchase shares of Common Stock; and (iii) up to 667,164 shares of Common Stock issuable upon exercise of outstanding Series B warrants to purchase shares of Common Stock. The Company will bear all costs, expenses and fees in connection with the registration of the Securities. The Selling Stockholders will bear all commissions and discounts, if any, attributable to their respective sales of the Securities. The Company's Common Stock is currently listed on the NASDAQ Capital Market under the symbol "TBIO". On July 21, 2015, the last reported sales price for the Company's Common Stock was $1.60 per share. A copy of the Form S-3 prospectus is available at: http://is.gd/t0oV0z About Transgenomic Transgenomic, Inc. -- http://www.transgenomic.com/-- is a global biotechnology company advancing personalized medicine in cardiology, oncology, and inherited diseases through its proprietary molecular technologies and world-class clinical and research services. The Company is a global leader in cardiac genetic testing with a family of innovative products, including its C-GAAP test, designed to detect gene mutations which indicate cardiac disorders, or which can lead to serious adverse events. Transgenomic has three complementary business divisions: Transgenomic Clinical Laboratories, which specializes in molecular diagnostics for cardiology, oncology, neurology, and mitochondrial disorders; Transgenomic Pharmacogenomic Services, a contract research laboratory that specializes in supporting all phases of pre-clinical and clinical trials for oncology drugs in development; and Transgenomic Diagnostic Tools, which produces equipment, reagents, and other consumables that empower clinical and research applications in molecular testing and cytogenetics. Transgenomic believes there is significant opportunity for continued growth across all three businesses by leveraging their synergistic capabilities, technologies, and expertise. The Company actively develops and acquires new technology and other intellectual property that strengthens its leadership in personalized medicine. Transgenomic reported a net loss available to common stockholders of $15.1 million in 2014, a net loss available to common stockholders of $16.7 million in 2013 and a net loss available to common stockholders of $8.98 million in 2012. As of March 31, 2015, the Company had $34.5 million in total assets, $24.4 million in total liabilities and $10 million in total stockholders' equity. Ernst & Young LLP, in Hartford, Connecticut, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has recurring losses from operations that raise substantial doubt about its ability to continue as a going concern. TRUMP ENTERTAINMENT: Loses Bid to Silence Union Campaign -------------------------------------------------------- Peg Brickley, writing for The Wall Street Journal, reported that U.S. Bankruptcy Judge Kevin Gross in Delaware has refused to shield what is left of Donald Trump's former Atlantic City, N.J., casino empire from union protests. According to the report, Judge Gross said in a decision issued on July 21 that when it comes to a campaign meant to warn potential customers of the Trump Taj Mahal that workers are unhappy, federal labor laws protect the workers. The ruling comes after months of street demonstrations led by Unite Here Local 54, the union that represents workers that lost health care and other benefits due to the financial distress of Trump Entertainment Resorts Inc., the Journal noted. About Trump Entertainment Resorts Trump Entertainment Resorts Inc., owner of the Atlantic City Boardwalk casinos that bear the name of Donald Trump, returned to Chapter 11 bankruptcy (Bankr. D. Del. Case No. 14-12103) on Sept. 9, 2014, with plans to shutter its casinos. TER and its affiliated debtors own and operate two casino hotels located in Atlantic City, New Jersey. TER said it will close the Trump Taj Mahal Casino Resort by Sept. 16, 2014, and, absent union concessions, the Trump Plaza Hotel and Casino by Nov. 13, 2104. The Debtors have sought an order authorizing the joint administration of their Chapter 11 cases and the consolidation thereof for procedural purposes only. Judge Kevin Gross presides over the Chapter 11 cases. The Debtors have tapped Young, Conaway, Stargatt & Taylor, LLP, as counsel; Stroock & Stroock & Lavan LLP, as co-counsel; Houlihan Lokey Capital, Inc., as financial advisor; and Prime Clerk LLC, as noticing and claims agent. TER estimated $100 million to $500 million in assets as of the bankruptcy filing. The Debtors as of Sept. 9, 2014, owe $285.6 million in principal plus accrued but unpaid interest of $6.6 million under a first lien debt issued under their 2010 bankruptcy-exit plan. The Debtors also have trade debt in the amount of $13.5 million. * * * Judge Kevin Gross of the U.S. Bankruptcy Court for the District of Delaware on March 12, 2015, confirmed Trump Entertainment Resorts, Inc., et al.'s Third Amended Joint Plan of Reorganization and Disclosure Statement pursuant to Section 1129 of the Bankruptcy Code. The Debtors filed on January 5, 2015, the Plan and accompanying Disclosure Statement to, among other things, provide that holders of General Unsecured Claims will receive Distribution Trust Interests, which will include $1 million in cash and the proceeds, if any, of certain avoidance actions. Under the revised plan, holders of general unsecured claims are estimated to recover 0.47% to 0.43% of their total allowed claim amount. The Amended Plan also includes language reflecting the recently-approved $20 million loan from Carl Icahn. A full-text copy of the Findings of Fact is available for free at: http://bankrupt.com/misc/TRUMPENTERTAINMENT_Plan_Findings.pdf TWIN RINKS: Estimates Assets and Debt at $10M to $50M ----------------------------------------------------- Twin Rinks At Eisenhower, LLC, refiled with the U.S. Bankruptcy Court for the Eastern District of New York its petition to disclose estimated assets and liabilities of $10 million to $50 million. About Twin Rinks Twin Rinks At Eisenhower, LLC, an East Meadow, New York-based ice skating rink operator and entertainment business, sought Chapter 11 bankruptcy protection (Bankr. E.D.N.Y. Case No. 15-72466) on June 8, 2015, with plans to sell its business and its assets as a going concern. The Debtor disclosed $52.4 million in assets and $55.2 million in debt as of May 25, 2015. The Debtor tapped Jones & Schwartz, P.C., as counsel, and Greenspan Associates, CPAs, as accountants. The U.S. Trustee appointed three creditors to serve on the official committee of unsecured creditors. The Committee tapped Meyer, Suozzi, English & Klein, P.C. as its general counsel. TWIN RINKS: Final Hearing on Cash Collateral Set for Aug. 26 ------------------------------------------------------------ The U.S. Bankruptcy Court for the Eastern District of New York entered a second interim order authorizing Twin Rinks at Eisenhower, LLC, to: i) use certain cash that CMBS Venture Funding, LLC, asserts constitutes cash collateral under Section 363 of the Bankruptcy Code; and ii) provide CMBS certain adequate protection. A final hearing on the Debtor's use of cash collateral is scheduled for Aug. 26, 2015, at 1:30 p.m. The Debtor is authorized to use (a) cash, including cash on deposit in its operating and DIP account and (b) cash produced as revenue from the continued operation of the Debtor's business, all in accordance with budget. The rights of Parr Properties Inc. and any official committee of unsecured creditors to contest whether such cash constitutes the cash collateral of CMBS under Section 363 of the Bankruptcy Code are fully preserved. As reported in the Troubled Company Reporter on June 19, 2015, prior to the Petition Date, Darien Rowayton Bank made secured loans and advances to the Debtor in the sum of $5,250,000. The obligations, liabilities and indebtedness of the Debtor were assigned to CMBS, an affiliate of the Debtor, on or about June 2, 2015, and as of the Petition Date, total approximately $5,272,725. The CMBS Claim is secured by substantially all of the assets of the Debtor. As security for the prompt payment of the indebtedness of the Debtor, CMBS will be granted valid and perfected first priority security interests and liens, in and upon all now exiting and hereafter acquired property of the estate of the Debtor. The Debtor's counsel, Harold D. Jones, Esq., at Jones & Schwartz, P.C., in Carle Place, New York, tells the Court that the Debtor has an immediate and urgent need to obtain use of cash collateral to continue its operations. A lack of access to funds would irreparably diminish, if not destroy, the value of the Debtor's estate, Mr. Jones says. Indeed, without access to funds provided for in the Financing Order for use in the ordinary course, the Debtor may be forced to entirely shut down its business operations, Mr. Jones added. About Twin Rinks Twin Rinks At Eisenhower, LLC, an East Meadow, New York-based ice skating rink operator and entertainment business, sought Chapter 11 bankruptcy protection (Bankr. E.D.N.Y. Case No. 15-72466) on June 8, 2015, with plans to sell its business and its assets as a going concern. The Debtor disclosed $52.4 million in assets and $55.2 million in debt as of May 25, 2015. The Debtor tapped Jones & Schwartz, P.C., as counsel, and Greenspan Associates, CPAs, as accountants. The U.S. Trustee appointed three creditors to serve on the official committee of unsecured creditors. The Committee tapped Meyer, Suozzi, English & Klein, P.C. as its general counsel. TXU CORP: 2014 Bank Debt Trades at 44% Off ------------------------------------------ Participations in a syndicated loan under which TXU Corp. is a borrower traded in the secondary market at 56.35 cents-on-the-dollar during the week ended Friday, July 17, 2015, according to data compiled by LSTA/Thomson Reuters MTM Pricing and reported in the July 23, 2015 edition of The Wall Street Journal. This represents a decrease of 0.60 percentage points from the previous week, The Journal relates. TXU Corp. pays 350 basis points above LIBOR to borrow under the facility. The bank loan matured on Oct. 10, 2014 and Moody's withdrew its rating while Standard & Poor's did not give any rating. The loan is one of the biggest gainers and losers among 234 widely quoted syndicated loans with five or more bids in secondary trading for the week ended July 17. VERMILLION INC: May Issue 4.5 Million Shares Under Stock Plan ------------------------------------------------------------- Vermillion, Inc., filed a Form S-8 registration statement with the Securities and Exchange Commission to register 4,500,000 shares of common stock issuable under the Company's Second Amended and Restated 2010 Stock Incentive Plan. The proposed maximum aggregate offering price is $9.1 million. A Registration Statement on Form S-8 was filed with the SEC on May 28, 2010, covering the registration of 1,322,983 shares of Common Stock under the Plan. In addition, on Jan. 10, 2014, a Registration Statement on Form S-8 was filed with the Commission covering the registration of an additional 2,300,000 shares of Common Stock under the Plan. A copy of the regulatory filing is available at: http://is.gd/Bv8enx About Vermillion Vermillion, Inc., is dedicated to the discovery, development and commercialization of novel high-value diagnostic tests that help physicians diagnose, treat and improve outcomes for patients. Vermillion, along with its prestigious scientific collaborators, has diagnostic programs in oncology, hematology, cardiology and women's health. The Company filed for Chapter 11 bankruptcy protection (Bankr. D. Del. Case No. 09-11091) on March 30, 2009. Vermillion's legal advisor in connection with its successful reorganization efforts wass Paul, Hastings, Janofsky & Walker LLP. Vermillion emerged from bankruptcy in January 2010. The Plan called for the Company to pay all claims in full and equity holders to retain control of the Company. Vermillion reported a net loss of $19.2 million in 2014, a net loss of $8.81 million in 2013 and a net loss of $7.14 million in 2012. As of March 31, 2015, the Company had $18.67 million in total assets, $3.48 million in total liabilities and $15.19 million in total stockholders' equity. VICKIE LYNN MARSHALL: Attorneys' Fees Awarded to Pierce Reversed ---------------------------------------------------------------- The Court of Appeals of Texas, First District, Houston, reversed the attorneys' fees awarded in the appeal case captioned HOWARD STERN AS EXECUTOR OF THE ESTATE OF VICKIE LYNN MARSHALL, Appellant, v. ELAINE MARSHALL AS INDEPENDENT EXECUTRIX OF THE ESTATE OF E. PIERCE MARSHALL, ROBERT MCINTYRE AS TEMPORARY ADMINISTRATOR OF THE ESTATE OF J. HOWARD MARSHALL, II, APPLICATION TO APPOINT ELAINE MARSHALL PENDING, IV ELAINE MARSHALL AS TRUSTEE OF THE MARSHALL GRANDCHILDREN'S TRUST FOR THE BENEFIT OF E. PIERCE MARSHALL, JR., ELAINE MARSHALL AS TRUSTEE OF THE MARSHALL GRANDCHILDREN'S TRUST FOR THE BENEFIT OF PRESTON MARSHALL, E. PIERCE MARSHALL, JR., ELAINE MARSHALL, AND PRESTON MARSHALL AS TRUSTEES OF THE MARSHALL PETROLEUM, INC. STOCK HOLDING TRUST, E. PIERCE MARSHALL, JR., ELAINE MARSHALL, AND PRESTON MARSHALL AS TRUSTEES OF THE MARSHALL HERITAGE FOUNDATION AND THE MARSHALL LEGACY FOUNDATION, ELAINE MARSHALL AS TRUSTEE OF THE BETTYE B. MARSHALL LIVING TRUST, ELAINE MARSHALL AS TRUSTEE OF THE J. HOWARD MARSHALL, II, MARITAL TRUST NUMBER TWO, ELAINE MARSHALL AS TRUSTEE OF THE E. PIERCE MARSHALL FAMILY TRUST CREATED UNDER THE BETTYE B. MARSHALL LIVING TRUST INDENTURE DATED OCTOBER 30, 1990, ELAINE MARSHALL INDIVIDUALLY ELAINE MARSHALL AS TRUSTEE OF THE MARSHALL GRANDCHILDREN'S TRUST FOR THE BENEFIT OF E. PIERCE MARSHALL, JR., ELAINE MARSHALL AS TRUSTEE OF THE MARSHALL GRANDCHILDREN' TRUST FOR THE BENEFIT OF PRESTON MARSHALL, E. PIERCE MARSHALL, JR., PRESTON MARSHALL, TROF, INC., FINLEY HILLIARD, ELAINE MARSHALL AND STEPHEN COOK AS TRUSTEES OF THE J. HOWARD MARSHALL, II LIVING TRUST, E. PIERCE MARSHALL, JR., ELAINE MARSHALL AND PRESTON MARSHALL AS TRUSTEES OF THE MARSHALL PETROLEUM, INC. STOCK HOLDING TRUST, Appellees, Case No. 01-02-00114-CV, (Tex. App.). The Court of Appeals reversed the attorneys' fees awarded to E. Pierce Marshall from Vickie Lynn Marshall and render judgment that Pierce take nothing on that claim. The Court of Appeals agrees with the probate court that, at the time of Vickie's nonsuit, the Marshall Family defendants had tortious-interference claims pending that qualified as affirmative claims for relief under Rule 162. The Marshall Family defendants pleaded that Vickie has "intentionally interfered with the inheritance rights of the Marshall Family Defendants by filing this lawsuit," and that she "intentionally invaded the personal and property rights of the Marshall Family Defendants . . . without any just cause or excuse," which amounted to "intentional interference with administration of the estate of Howard, Sr." While Stern offers several reasons that any tortious interference claim based upon the conduct cited in the Marshall Family defendant's pleadings would ultimately fail, his arguments conflate the concepts of affirmative independent claims for relief and claims for relief that will ultimately lead to recovery, the Court of Appeals said. The Court of Appeals added that whether an affirmative claim is pleaded for purposes of Rule 162 turns on the former, not the latter. Because the Marshall defendants had pending affirmative claims for relief in the form of tortious interference claims against Vickie, the probate court did not err in refusing to dismiss Vickie from the underlying suit when she nonsuited her claims, the Court of Appeals said. Stern does not complain that the Marshall defendants actually requested a declaration of non-liability for a tort from the Texas probate court. Instead, he complains that Pierce was able to use a declaration in the Texas probate court to defeat a tort award in California. The Court of Appeals said its concern in the case is whether the probate court properly found the Marshall defendants' requested declarations to be within the gamut of the Texas Declaratory Judgment Act, not whether those declarations -- once obtained -- could be used elsewhere for a different purpose. A full-text copy of the Court of Appeals' Opinion dated July 14, 2015, is available at http://bitly.com/1OemvJufrom Leagle.com. VICTORY ENERGY: Amends Rogers Settlement Agreement -------------------------------------------------- Victory Energy Corporation entered into an Amendment to settlement agreement and Mutual Release with Louise H. Rogers dated June 24, 2015. Pursuant to the Amendment, the Company and Rogers agreed that the amount to be paid by the Company to Rogers under the Rogers Settlement Agreement is $258,125, instead of $253,750. The Amendment further specified that if the Company failed to make the payment of $258,125 on or before July 15, 2015, the Company would be in default under the Rogers Settlement Agreement and default interest on the amount due would begin to accrue at a per diem rate of $129.0625. Additionally, the Company acknowledged in the Amendment its obligation to pay Rogers' attorney's fees in the amount of $22,500. As of July 22, 2015, the Company has not made any payments to Rogers pursuant to the Rogers Settlement Agreement. As previously reported, Rogers' legal counsel is holding the assignment to the Company of Lucas Energy, Inc.'s rights to a certain oil and gas property and 44,069 shares of Lucas Energy, Inc. common stock issued to the Company in escrow pending the Company's payment of all amounts due under the Rogers Settlement Agreement. As of the Effective Date and pursuant to an amended escrow agreement, if the Company does not pay the full amount due on or before Aug. 17, 2015, the escrow will continue until Aug. 27, 2015, during which time the Company may make all payments owed to Rogers. In the event that the Company has still not made all the required payments to Rogers by Aug. 27, 2015, then all of the Assets will be returned to Lucas Energy, Inc. The aforementioned Lucas Energy share volume of 44,069 represents shares resulting from the Lucas Energy, Inc. reverse stock split on July 15, 2015. About Victory Energy Austin, Texas-based Victory Energy Corporation is engaged in the exploration, acquisition, development and exploitation of domestic oil and gas properties. Current operations are primarily located onshore in Texas, New Mexico and Oklahoma. Victory Energy reported a net loss of $4.22 million in 2014 following a net loss of $2.11 million in 2013. As of March 31, 2015, Victory Energy had $2.40 million in total assets, $3.50 million in total liabilities and a $1.1 million total stockholders' deficit. Weaver and Tidwell, L.L.P., in Houston, Texas, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company has experienced recurring losses since its inception and has an accumulated deficit, which raise substantial doubt regarding the Company's ability to continue as a going concern. VICTORY MEDICAL: Court Hearing on Asset Sale Set for July 28 ------------------------------------------------------------ Victory Medical Center Mid-Cities LP announced that the final hearing to consider the sale of assets of the company and its affiliates has been moved to July 28. U.S. Bankruptcy Judge Russell Nelms earlier approved a bidding process that allowed the companies to sell most of their assets at a bankruptcy auction. The assets do not include accounts receivable. Victory Medical set a July 14 deadline for bidders to make an offer and a July 17 auction for the assets, court filings show. Results of the auction are not yet available. Last month, Victory Medical's unsecured creditor L2 Surgical LLC and the U.S. trustee overseeing its bankruptcy case expressed their opposition to the timetable initially proposed by the company. Both argued that imposing "shortened deadlines" would chill rather than encourage competitive bidding. The bidding procedures also drew opposition from the company's secured creditors, including Texas Capital Bank NA, Bank of the West, and Primedia Group LLC. Texas Capital questioned the absence of a provision allowing secured creditors to purchase the assets by use of a so-called credit bid. Bank of the West criticized the lack of information about the assets to be sold while Primedia Group opposed the payment to other creditors from the proceeds of sale of equipment located at Victory Medical's facility in Plano, Texas. Primedia Group also complained that Victory Medical has not yet issued a notice regarding the results of the auction. Victory Medical also received an objection from its supplier Alliance Partners LLC. Alliance Partners criticized the lack of transparency and the limited amount of time given to creditors who wanted to participate in the sale process. About Victory Healthcare Victory Parent Company, LLC, and 8 affiliated companies sought Chapter 11 protection in Fort Worth, Texas (Bankr. N.D. Tex.) on June 12, 2015, in Ft. Worth, Texas. Headquartered in The Woodlands, Texas, Victory Parent Company manages six medical centers in Texas. Founded in 2005, Victory now maintains medical centers offering emergency room services in through Victory Medical Center Mid-Cities in Hurst, Victory Medical Center Plano, Victory Medical Center Craig Ranch in McKinney, and Victory Medical Center Landmark in San Antonio. The company also manages its Victory Medical Center Beaumont and Houston-East, which are not part of the Chapter 11 filing and will be sold separately. The Debtors tapped Hoover Slovacek, LLP, as counsel; Epiq Bankruptcy Solutions, LLC, as claims agent; and Baker, Donelson, Bearman, Caldwell & Berkowitz, PC, as special counsel. VIGGLE INC: Expects Fiscal 2015 Revenue to Increase More Than 40% ----------------------------------------------------------------- Viggle Inc. expects its fiscal 2015 full-year revenue for the period ended June 30, 2015, will be approximately $25.6 million, and approximately $6.9 million for the fiscal fourth quarter, representing a 42% and 30% increase over the prior year and quarter, respectively. The Company also expects to report an Adjusted EBITDA loss for fiscal 2015 of approximately $29.6 million, and approximately $6.2 million for the fiscal fourth quarter. The Company expects to report full-year financial results no later than Sept. 28, 2015. John Small, chief financial officer of Viggle, said, "Increased advertising on the Viggle app led to our substantial growth in revenue this quarter. Our aggressive and consistent marketing efforts over the past year helped to drive those advertising revenues to the current levels. Adjusted EBITDA for the quarter improved year-over-year, but decreased for the full year because of those increased marketing expenses." Key metrics for the fiscal fourth quarter ended June 30, 2015, were: * Average monthly total reach for F4Q 2015 was 23.6 million, compared with 17.7 million in the year-ago quarter, a 33% increase, and 25.7 million for the quarter ended March 31, 2015. * Average active reach in the quarter was 10.2 million compared with 6.4 million for F4Q 2014, an increase of 60%, and compared with 10.6 million in F3Q 2015. * Almost 600,000 new users registered on the Viggle platform, bringing net registered users to more than 9.5 million, compared with 5.4 million net registered users as of the end of the year-ago fourth quarter, an increase of 78 percent. * As of June 30, 2015, Viggle users have cumulatively checked into more than 504 million TV programs and matched more than 188 million songs using the Viggle Music service. Overall, users' average time in the Viggle app has been nearly 65 minutes per session. * As of June 30, 2015, users have cumulatively redeemed more than 64 billion points for approximately 5 million rewards, an average of 12,940 points per reward redemption. The total retail value of rewards redeemed through June 30, 2015, is approximately $26 million. About Viggle New York City-based Viggle Inc. is a loyalty marketing company. The Company has developed a loyalty program for television that gives people real rewards for checking into the television shows they are watching on most mobile operating system. Viggle users can redeem their points in the app's rewards catalog for items such as movie tickets, music, or gift cards. Viggle reported a net loss of $68.4 million on $18 million of revenues for the year ended June 30, 2014, compared with a net loss of $91.4 million on $13.9 million of revenues for the year ended June 30, 2013. The Company's balance sheet at March 31, 2015, showed $70.9 million in total assets, $54.6 million in total liabilities, $11.4 million in series C convertible redeemable preferred stock, and stockholders' equity of $4.88 million. BDO USA, LLP, in New York, 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 suffered recurring losses from operations and at June 30, 2014, has a deficiency in working capital that raises substantial doubt about its ability to continue as a going concern. VIRTUAL PIGGY: Issues $250,200 of Promissory Notes -------------------------------------------------- Virtual Piggy, Inc., disclosed with the Securities and Exchange Commission that it issued $250,200 aggregate principal amount of unsecured promissory notes to certain accredited investors pursuant to Promissory Note Agreements. The notes issued consist of (i) $200,200 aggregate principal amount of unsecured promissory notes and (ii) $50,000 aggregate principal amount of unsecured promissory notes. Each purchaser of Notes also received a two-year Warrant to purchase a number of shares of common stock equal to approximately twenty percent of the principal amount invested at an exercise price of $0.90 per share, resulting in the issuance in the aggregate of Warrants to purchase 50,000 shares of Company common stock. The Notes bear interest at a rate of 10% per annum and mature on the six month anniversary of the issuance date, or on such earlier date that (i) the Company completes the closing of a specified joint venture agreement or (ii) the Company completes the sale of at least an additional $1 million of 10% Secured Convertible Promissory Notes. As an additional inducement, the purchasers of Class A Unsecured Notes only will receive, on the Maturity Date, a commitment fee equal to seven and one-half percent (7.5%) of the original principal amount. About Oink (Virtual Piggy, Inc.) Virtual Piggy is the provider of Oink, a secure online and in-store teen wallet. Oink enables teens to manage and spend money within parental controls, while gaining valuable financial management skills. The technology company also delivers payment platforms designed for the Under 21 age group in the global market, and enables online businesses the ability to function in a manner consistent with the Children's Online Privacy Protection Act and similar international children's privacy laws. The company, based in Hermosa Beach, CA, is on the Web at: http://www.oink.com/and holds three technology patents, US Patent No. 8,762,230, 8,650,621 and 8,812,395. Virtual Piggy reported a net loss of $9.65 million in 2014, a net loss of $16 million in 2013 and a net loss of $12.03 million in 2012. As of March 31, 2015, the Company had $2.64 million in total assets, $3.88 million in total liabilities, all current, and a $1.23 million stockholders' deficit. Morison Cogen LLP, in Bala Cynwyd, PA, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company's losses from development stage activities raise substantial doubt about its ability to continue as a going concern. VIRTUAL PIGGY: Scott McPherson Returns as CFO --------------------------------------------- Virtual Piggy, Inc. announced that Scott McPherson, the original CFO of Virtual Piggy, has returned to take over the CFO position full-time. Scott McPherson, CPA, CFE, CVA, brings with him 20 years of CFO experience with private and public companies. "Scott has stayed connected to Virtual Piggy over the last two years and knows our business inside out," said Dr. Jo Webber, CEO and Founder of Virtual Piggy. "We are thrilled to have Scott back managing the financial operations of our business." "Virtual Piggy has evolved over the last 3 years and I am returning at a pivotal point," said Scott McPherson. "I am very excited to return to the financial helm during this key point in time." About Oink (Virtual Piggy, Inc.) Virtual Piggy is the provider of Oink, a secure online and in-store teen wallet. Oink enables teens to manage and spend money within parental controls, while gaining valuable financial management skills. The technology company also delivers payment platforms designed for the Under 21 age group in the global market, and enables online businesses the ability to function in a manner consistent with the Children's Online Privacy Protection Act and similar international children's privacy laws. The company, based in Hermosa Beach, CA, is on the Web at: http://www.oink.com/and holds three technology patents, US Patent No. 8,762,230, 8,650,621 and 8,812,395. Virtual Piggy reported a net loss of $9.65 million in 2014, a net loss of $16 million in 2013 and a net loss of $12.03 million in 2012. As of March 31, 2015, the Company had $2.64 million in total assets, $3.88 million in total liabilities, all current, and a $1.23 million stockholders' deficit. Morison Cogen LLP, in Bala Cynwyd, PA, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company's losses from development stage activities raise substantial doubt about its ability to continue as a going concern. VISTEON CORP: Not Prevented by ERISA to Cut OPEB, Del. Court Rules ------------------------------------------------------------------ Judge Richard G. Andrews of the United States District Court for District of Delaware found that the International Union, United Automobile, Aerospace, and Agricultural Implement Workers of America ("UAW") has no cause of action against Visteon Corporation for a breach of contract or a violation of the Employee Retirement Income Security Act, even when viewing the facts and inferences in the light most favorable to UAW. Accordingly, Judge Andrews ruled that Visteon has demonstrated that it is entitled to judgment on the pleadings. Judge Andrews accepts the preclusive effect of the Bankruptcy Court's determination that the post-employment health care and life insurance benefits of given by Visteon to Dolores Gromalski and Pablo Gomez, for themselves and other retired workers of Visteon's North-Penn and Caribbean plants, were not vested; consequently, ERISA does not prevent Visteon from unilaterally terminating those benefits. UAW's claim for a violation of 29 U.S.C. Section 1132(a)(1)(B) fails as a matter of law, Judge Andrews ruled. The case is INTERNATIONAL UNION, UNITED AUTOMOBILE, AEROSPACE, AND AGRICULTURAL IMPLEMENT WORKERS OF AMERICA (UAW); and DOLORES GROMALSKI and PABLO GOMEZ, for themselves and others similarly situated, Plaintiffs, v. VISTEON CORPORATION; VISTEON SYSTEMS, LLC; VISTEON CARIBBEAN, INC.; VISTEON SYSTEMS LLC HEALTH AND WELFARE BENEFIT PLAN FOR HOURLY EMPLOYEES-NORTH PENN LOCATION; and VISTEON CARIBBEAN, INC. EMPLOYEE GROUP INSURANCE PLAN, Defendants, Civil Action No. 13-1742-RGA, (D. Del.). A full-text copy of Judge Richard G. Andrews' Memorandum Opinion dated July 9, 2015, is available at http://is.gd/fXk6oPfrom Leagle.com. Susan E. Kaufman, Esq. -- skaufman@coochtaylor.com -- of COOCH and TAYLOR P.A. and John G. Adam, Esq. -- jga@legghioisrael.com -- of LEGGHIO & ISRAEL, P.C. serve as counsel for Plaintiffs Laura Davis Jones, Esq. -- ljones@pszjlaw.com -- and James E. O'Neill, Esq. -- joneill@pszjlaw.com -- of PACHULSKI STANG ZIEHL & JONES LLP; Andrew B. Bloomer, Esq. -- andrew.bloomer@kirkland.com -- Catherine L. Fitzpatrick, Esq. -- catherine.fitzpatrick@kirkland.com -- R. Allan Pixton, Esq. -- allan.pixton@kirkland.com -- and Heather A. Bloom, Esq. -- heather.bloom@kirkland.com -- of KIRKLAND & ELLIS LLP serve as counsel for Defendants About Visteon Corp Headquartered in Van Buren Township, Michigan, Visteon Corporation (NYSE: VC) -- http://www.visteon.com/-- is an automotive supplier that designs, engineers and manufactures innovative climate, interior, electronic and lighting products for automakers. The Company has corporate offices in Van Buren Township, Michigan U.S.); Shanghai, China; and Kerpen, Germany. It has facilities in 27 countries and employs roughly 35,500 people. The Company disclosed assets of US$4,561,000,000 and debts of US$5,311,000,000 as of March 31, 2009. Visteon Corporation and 30 of its affiliates filed for Chapter 11 protection on May 28, 2009, (Bank. D. Del. Case No. 09-11786 through 09-11818). Judge Christopher S. Sontchi oversees the Chapter 11 cases. James H.M. Sprayregen, Esq., Marc Kieselstein, Esq., and James J. Mazza, Jr., Esq., at Kirkland & Ellis LLP, in Chicago, Illinois, represented the Debtors in their restructuring effort. Laura Davis Jones, Esq., James E. O'Neill, Esq., Timothy P. Cairns, Esq., and Mark M. Billion, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington, Delaware, served as the Debtors' local counsel. The Debtors' investment banker and financial advisors were Rothschild Inc. The Debtors' notice, claims, and solicitation agent was Kurtzman Carson Consultants LLC. The Debtors' restructuring advisor was Alvarez & Marsal North America, LLC. The Bankruptcy Court entered an order on Aug. 31, 2010, confirming the Fifth Amended Plan of Reorganization of Visteon Corporation and its debtor-affiliates. Visteon emerged from Chapter 11 on Oct. 1. VYCOR MEDICAL: Amends Form S-1 Prospectus with SEC -------------------------------------------------- In accordance with its contractual commitment with the investors in Vycor Medical, Inc.'s 2014 Units offering which had its final closing on April 25, 2014, the Company filed a post-effective amendment to its previously filed Registration Statement on Form S-1 which was declared effective on June 10, 2014. The Post-Effective Amendment covers shares issuable on the exercise of Warrants issued in connection with the Offering. In the aggregate, the Post-Effective Amendment covers 3,991,202 shares issuable on the exercise of Warrants, half of which have an exercise price of $2.05 per share and the other half having an exercise price of $3.08 per share. None of the shares being registered are currently issued and outstanding. A full text of the Post-Effective Amendment may be viewed at http://is.gd/Y8U8OQ About Vycor Medical Boca Raton, Fla.-based Vycor Medical, Inc. (OTC BB: VYCO) -- http://www.VycorMedical.com/-- is a medical device company committed to making neurological brain, spinal and other surgical procedures safer and more effective. The Company's flagship, Patent Pending ViewSite(TM) Surgical Access Systems represent an exciting new minimally invasive access and retraction system that holds the potential for speedier, safer and more economical brain, spinal and other surgeries and a quicker patient discharge. Vycor's innovative medical instruments are designed to optimize neurosurgical site access, reduce patient risk, accelerate recovery, and add tangible value to the professional medical community. Vycor Medical reported a net loss of $4.04 million in 2014, a net loss of $2.44 million in 2013 and a net loss of $2.93 million in 2012. As of March 31, 2015, the Company had $3.23 million in total assets, $881,000 in total liabilities, all current, and $2.35 million in total stockholders' equity. VYCOR MEDICAL: Fountainhead Reports 49.9% Stake as of June 30 ------------------------------------------------------------- In an amended Schedule 13D filed with the Securities and Exchange Commission, Fountainhead Capital Management Limited disclosed that as of June 30, 2015, it beneficially owned 6,431,150 shares of common stock of Vycor Medical, Inc., which represents 49.9 percent of the shares outstanding. On June 30, 2015, Vycor issued 8,333 shares of its Common Stock to Fountainhead in satisfaction of $15,000 of consulting fees due for the quarter ended June 30, 2015. As a result of that issue, Fountainhead's previously-reporting holdings of Vycor Common Stock (including shares which it has the option to acquire within 60 days of that date) were increased to a total of 6,431,150 shares, comprising ownership of 4,383,329 Vycor Common Shares and Warrants to purchase 2,047,821 Vycor Common Shares as follows: -- 343,411 shares at an exercise price of $1.88 per share prior to Aug. 4, 2017; -- 397,140 shares at an exercise price of $2.05 per share prior Jan. 2, 2017; -- 337,517 shares at an exercise price of $2.62 per share prior to Aug. 4, 2017; -- 397,140 shares at an exercise price of $3.08 per share prior to Jan. 2, 2017; and -- 572,613 shares at an exercise price of $3.08 per share prior to Aug. 4, 2017. A copy of the regulatory filing is available at: http://is.gd/DwGZcQ About Vycor Medical Boca Raton, Fla.-based Vycor Medical, Inc. (OTC BB: VYCO) -- http://www.VycorMedical.com/-- is a medical device company committed to making neurological brain, spinal and other surgical procedures safer and more effective. The Company's flagship, Patent Pending ViewSite(TM) Surgical Access Systems represent an exciting new minimally invasive access and retraction system that holds the potential for speedier, safer and more economical brain, spinal and other surgeries and a quicker patient discharge. Vycor's innovative medical instruments are designed to optimize neurosurgical site access, reduce patient risk, accelerate recovery, and add tangible value to the professional medical community. Vycor Medical reported a net loss of $4.04 million in 2014, a net loss of $2.44 million in 2013 and a net loss of $2.93 million in 2012. As of March 31, 2015, the Company had $3.23 million in total assets, $881,000 in total liabilities, all current, and $2.35 million in total stockholders' equity. WANDA TORRENCE: Complaint Against Comcast Dismissed --------------------------------------------------- Bankruptcy Judge Jack B. Schmetter dismissed the complaint captioned Wanda E. Torrence, Plaintiff, v. Comcast Corporation, Defendant, ADVERSARY NO. 15-AP-291 (Bankr. N.D. Ill., Eastern Div.). After trial in a prior adversary proceeding filed by debtor Wanda E. Torrence against Comcast for violation of automatic stay when Comcast continued to bill her after she filed for bankruptcy, judgment was entered against Comcast for $36.28 in compensatory damages, and $181.40 in punitive damages. Comcast was issued a satisfaction of judgment when it issued Torrence a credit on her bill for those amounts. Torrence filed another adversary proceeding against Comcast on these counts: (i) violation of the Fair Debt Collection Practices Act, (ii) violation of discharge injunction, (iii) violation of the Fair Credit Billing Act, (iv) intentional infliction of emotional distress, (v) breach of contract, (vi) fraud, and (vii) violation of the Fair Credit Reporting Act. Comcast filed a motion to dismiss under Rule 12(b)(6) F.R. Civ. P. Judge Schmetter dismissed Count II of Torrence's complaint for failure to state a claim. Judge Schmetter held that while Comcast was found in violation of the automatic stay for attempting to collect $36.28 for pre-petition charges, it has already satisfied that judgment. All other counts were also dismissed for lack of subject matter jurisdiction as these do not arise under, arise in, nor are related to cases under Chapter 11. A copy of the June 26, 2015 memorandum opinion is available at http://is.gd/4crSfbfrom Leagle.com. Wanda E. Torrence filed for bankruptcy under Chapter 7 (Bankr. N.D. Ill. Case No. 14-BK-34470) on September 23, 2014. WASHINGTON HEIGHTS: Meeting of Creditors Scheduled for July 27 -------------------------------------------------------------- The U.S. Trustee for Region 2 will convene a meeting of creditors in the Chapter 11 cases of Washington Heights Parking, LLC, on July 27, 2015, at 2:00 p.m. About Washington Heights Washington Heights Parking, LLC, one of 20 companies owned by real estate developer Jose Espinal, sought bankruptcy protection (Bankr. S.D.N.Y. Case No. 15-11687) in Manhattan on June 26, 2015. Washington Heights Parking, a real estate business, owns a building at 4320 Broadway, New York. It leases the premises to three tenants who pay annualized rents of approximately $1.4 million. WHISKEY ONE: Aug. 13 Hearing on Bid to Dismiss Ch. 11 Case ---------------------------------------------------------- Judge David E. Rice of the U.S Bankruptcy Court for the District of Maryland will convene a hearing on August 13, 2015, at 10:00 a.m., to consider FAIRMD, LLC's motion to dismiss the Chapter 11 case of Whiskey One Eight, LLC. About Whiskey One Eight Whiskey One Eight, LLC filed a Chapter 11 bankruptcy petition (Bankr. D. Md. Case No. 15-19885) on July 15, 2015. Andrew Zois signed the petition as managing member. The Debtor estimated assets of $10 million to $50 million and liabilities of at least $1 million. Lawrence Joseph Yumkas, Esq., at Yumkas, Vedmar & Sweeney, LLC as the Debtor's counsel. Judge David E. Rice presides over the case. WPCS INTERNATIONAL: John Stetson Reports 9.9% Stake as of July 23 ----------------------------------------------------------------- In a Schedule 13G filed with the Securities and Exchange Commission, John Stetson and HS Contrarian Investments, LLC disclosed that as of July 23, 2015, they beneficially owned 219,095 shares of common stock of WPCS International Incorporated, which represents 9.99% (based on 2,174,049 shares of common stock outstanding as of July 20, 2015). A copy of the regulatory filing is available at http://is.gd/bR5Bt6 About WPCS International Incorporated WPCS -- http://www.wpcs.com/-- operates in two business segments including: (1) providing communications infrastructure contracting services to the public services, healthcare, energy and corporate enterprise markets worldwide; and (2) developing a Bitcoin trading platform. WPCS International incurred a net loss attributable to common shareholders of $11.2 million for the year ended April 30, 2014, as compared with a net loss attributable to common shareholders of $6.91 million for the year ended April 30, 2013. As of Jan. 31, 2015, the Company had $14.8 million in total assets, $14.8 million in total liabilities and a $36,000 total deficit. Marcum LLP, in New York, NY, issued a "going concern" qualification on the consolidated financial statements for the year ended April 30, 2014. The independent auditing firm noted that the Company has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. WPCS INTERNATIONAL: Sells 288,223 Common Shares ----------------------------------------------- WPCS International Incorporated issued 288,223 shares of its common stock, par value $0.0001 per share, from July 10, 2015, through July 24, 2015. The issuances on July 23, 2015, resulted in an increase in the number of shares of Common Stock outstanding by more than 5% compared to the number of shares of Common Stock reported outstanding in the Current Report on Form 8-K filed by the Company with the Securities and Exchange Commission on July 10, 2015. The Company has issued a total of 1,541,632 shares of Common Stock to holders of its Series F, F-1, G, G-1 and Series H Convertible Preferred Stock upon the conversion of shares of Series F, F-1,G, G-1 and Series H Convertible Preferred Stock. The shares of Common Stock issued upon the conversion of shares of Series F, F-1, G, G-1 and Series H Convertible Preferred Stock were issued in reliance upon the exemption from registration in Section 3(a)(9) of the Securities Act of 1933. As of July 24, 2015, the Company has 2,174,049 shares of Common Stock outstanding. About WPCS International Incorporated WPCS -- http://www.wpcs.com/-- operates in two business segments including: (1) providing communications infrastructure contracting services to the public services, healthcare, energy and corporate enterprise markets worldwide; and (2) developing a Bitcoin trading platform. WPCS International incurred a net loss attributable to common shareholders of $11.2 million for the year ended April 30, 2014, as compared with a net loss attributable to common shareholders of $6.91 million for the year ended April 30, 2013. As of Jan. 31, 2015, the Company had $14.8 million in total assets, $14.8 million in total liabilities and a $36,000 total deficit. Marcum LLP, in New York, NY, issued a "going concern" qualification on the consolidated financial statements for the year ended April 30, 2014. The independent auditing firm noted that the Company has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. XINERGY LTD: Settles Rights to $3MM in Escrowed Funds ----------------------------------------------------- Xinergy Ltd., et al., ask the U.S. Bankruptcy Court for the Western District of Virginia, Roanoke Division, to approve a proposed division of the funds remaining in an escrow account. On February 1, 2013, Xinergy Corp. sold its mining operations located in Bell, Leslie, Harlan, Clay and Knox Counties, Kentucky to Straight Creek. In connection with the sale, Xinergy Corp. and Straight Creek entered into the Escrow Agreement in order to establish an escrow account. Straight Creek deposited $3,000,000 into the Escrow Account. The proposed settlement would divide the remaining proceeds in the Escrow Account, with $375,000 being paid to Straight Creek and the remaining amount of approximately $120,000 being paid to the Debtors. Following the release of these funds from the Escrow Account, there will be no remaining funds held in the Escrow Account and the account can be closed. The Debtors are represented by: Tyler P. Brown (VSB No. 28072) Henry P. (Toby) Long, III (VSB No. 75134) Justin F. Paget (VSB No. 77949) HUNTON & WILLIAMS LLP Riverfront Plaza, East Tower 951 East Byrd Street Richmond, Virginia 23219 Telephone: (804) 788-8200 Facsimile: (804) 788-8218 Email: tpbrown@hunton.com hlong@hunton.com jpaget@hunton.com About Xinergy Ltd. Xinergy is a U.S. producer of metallurgical and thermal coal with mineral reserves, mining operations and coal properties located in the Central Appalachian ("CAPP") regions of West Virginia and Virginia. Xinergy's operations principally include two active mining complexes known as South Fork and Raven Crest located in Greenbrier and Boone Counties, West Virginia. Xinergy also leases or owns the mineral rights to properties located in Fayette, Nicholas and Greenbrier Counties, West Virginia and Wise County, Virginia. Collectively, Xinergy leases or owns mineral rights to approximately 72,000 acres with proven and probable coal reserves of approximately 77 million tons and additional estimated reserves of 40 million tons. Xinergy Ltd. and 25 subsidiaries commenced Chapter 11 bankruptcy cases (Bankr. W.D. Va. Lead Case No. 15-70444) on April 6, 2015. The cases have been assigned to Judge Paul M. Black. The cases are being jointly administered for procedural purposes. Xinergy Ltd. disclosed $36,968,445 in assets and $215,000,000 in liabilities as of the Chapter 11 filing. The Debtors tapped Hunton & Williams LLP as attorneys; Global Hunter Securities, as financial advisor, and American Legal Claims Services, LLC as claims, noticing and balloting agent. The U.S. Trustee appointed a two member official committee of unsecured creditors. The Committee tapped to retain McGuireWoods LLP as lead counsel, and Whiteford, Taylor & Preston, LLP as its local counsel. Z TRIM HOLDINGS: Signs Purchase Agreement with Fordham ------------------------------------------------------ Z Trim Holdings, Inc., on July 17, 2015, entered into an equipment purchase agreement with Fordham Capital Partners, LLC pursuant to which the Company sold all of its right, title and interest in certain equipment to Fordham for a purchase price of $500,000. Concurrently with entering into the Purchase Agreement, the Company entered into an equipment lease agreement with Fordham pursuant to which the Company leased the Equipment from Fordham on terms that included the following: a lease term of 24 months, monthly lease payments by the Company of $15,800 and the option (at the election of the Company) to purchase the Equipment on or after July 8, 2016 on the following terms: (i) if the purchase date is between 12-18 months $425,000; (ii) if the purchase date is between 19-23 months: $360,000; and (iii) if the purchase date is during the 24th month (but no later than July 8, 2017): $325,000. The Equipment Lease Agreement includes customary events of default, including non-payment by the Company of the monthly lease payments and the payment of penalties upon those late payments. The Company intends to utilize the proceeds from the sale of the Equipment for working capital purposes. In connection with the Purchase Agreement, the Company's Factoring Agreement with Fordham effective May 28, 2015, as amended by an amendment dated June 25, 2015, was further amended to grant to Fordham a security interest in all of the collateral under such agreement to secure the payment to Fordham of all rent payments and all other amounts owed by the Company to Fordham under the Equipment Lease Agreement. About Z Trim Mundelein, Ill.-based Z Trim Holdings, Inc., is a functional food ingredient company which provides custom product solutions that help answer the food industry's problems. Z Trim's revolutionary technology provides value-added ingredients across virtually all food industry categories. Z Trim's all-natural products, among other things, help to reduce fat and calories, add fiber, provide shelf-stability, prevent oil migration, and add binding capacity -- all without degrading the taste and texture of the final food products. Z Trim Holdings reported a net loss of $5.57 million in 2014, following a net loss of $13.4 million in 2013. As of March 31, 2015, the Company had $2.03 million in total assets, $4.47 million in total liabilities and a $2.43 million total stockholders' deficit. M&K CPAS, PLLC, in Houston, Texas, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company does not have enough cash on hand to meet its current liabilities and has had reoccurring losses as of Dec. 31, 2014. These conditions raise substantial doubt about its ability to continue as a going concern. ZOGENIX INC: Millennium Mgmt. Reports 5.6% Stake as of July 22 -------------------------------------------------------------- In a Schedule 13G filed with the Securities and Exchange Commission, Millennium Management LLCand Israel A. Englander disclosed that as of July 22, 2015, they beneficially owned 1,082,670 shares of common stock of Zogenix, Inc., which represents 5.6 percent of the shares outstanding, which percentage was calculated based on 19,185,000 shares of the Issuer's Common Stock outstanding as per the Issuer's Company Overview dated July 2015. A copy of the regulatory filing is available for free at: http://is.gd/EsobCX About Zogenix Inc. Zogenix, Inc. (NASDAQ: ZGNX), with offices in San Diego and Emeryville, California, is a pharmaceutical company commercializing and developing products for the treatment of central nervous system disorders and pain. Zogenix reported net income of $8.58 million in 2014 following a net loss of $80.85 million in 2013. As of March 31, 2015, the Company had $180 million in total assets, $146 million in total liabilities, and $34.3 million in total stockholders' equity. Ernst & Young LLP, in San Diego, California, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014, citing that the Company's recurring losses from operations and negative cash flows from operating activities raise substantial doubt about its ability to continue as a going concern. [^] BOND PRICING: For the Week From July 20 to 24, 2015 ------------------------------------------------------- Company Ticker Coupon Bid Price Maturity Date ------- ------ ------ --------- ------------- A-S Co-Issuer Subsidiary Inc / A-S Merger Sub LLC ALIANT 7.875 106.050 12/15/2020 A-S Co-Issuer Subsidiary Inc / A-S Merger Sub LLC ALIANT 7.875 106.351 12/15/2020 Affinion Investments LLC AFFINI 13.500 45.750 8/15/2018 Alpha Natural Resources Inc ANR 6.000 4.500 6/1/2019 Alpha Natural Resources Inc ANR 9.750 3.578 4/15/2018 Alpha Natural Resources Inc ANR 6.250 4.500 6/1/2021 Alpha Natural Resources Inc ANR 7.500 18.250 8/1/2020 Alpha Natural Resources Inc ANR 3.750 2.500 12/15/2017 Alpha Natural Resources Inc ANR 4.875 5.750 12/15/2020 Alpha Natural Resources Inc ANR 7.500 20.000 8/1/2020 Alpha Natural Resources Inc ANR 7.500 25.500 8/1/2020 Altegrity Inc USINV 14.000 52.250 7/1/2020 Altegrity Inc USINV 13.000 48.000 7/1/2020 Altegrity Inc USINV 14.000 35.000 7/1/2020 American Eagle Energy Corp AMZG 11.000 35.000 9/1/2019 American Eagle Energy Corp AMZG 11.000 35.500 9/1/2019 Arch Coal Inc ACI 7.000 10.511 6/15/2019 Arch Coal Inc ACI 7.250 15.050 10/1/2020 Arch Coal Inc ACI 7.250 10.375 6/15/2021 Arch Coal Inc ACI 9.875 13.330 6/15/2019 Arch Coal Inc ACI 8.000 14.875 1/15/2019 Arch Coal Inc ACI 8.000 21.280 1/15/2019 Avon Products Inc AVP 3.125 100.000 3/15/2016 BPZ Resources Inc BPZR 8.500 7.125 10/1/2017 Caesars Entertainment Operating Co Inc CZR 10.000 31.000 12/15/2018 Caesars Entertainment Operating Co Inc CZR 10.750 29.500 2/1/2016 Caesars Entertainment Operating Co Inc CZR 6.500 40.000 6/1/2016 Caesars Entertainment Operating Co Inc CZR 12.750 32.000 4/15/2018 Caesars Entertainment Operating Co Inc CZR 5.750 40.000 10/1/2017 Caesars Entertainment Operating Co Inc CZR 10.000 28.500 12/15/2018 Caesars Entertainment Operating Co Inc CZR 5.750 12.250 10/1/2017 Caesars Entertainment Operating Co Inc CZR 10.000 31.125 12/15/2018 Caesars Entertainment Operating Co Inc CZR 10.000 31.125 12/15/2018 Caesars Entertainment Operating Co Inc CZR 10.750 29.125 2/1/2016 Caesars Entertainment Operating Co Inc CZR 10.000 30.875 12/15/2018 Cal Dive International Inc CDVI 5.000 1.000 7/15/2017 Champion Enterprises Inc CHB 2.750 0.250 11/1/2037 Chassix Holdings Inc CHASSX 10.000 8.000 12/15/2018 Chassix Holdings Inc CHASSX 10.000 8.000 12/15/2018 Chassix Holdings Inc CHASSX 10.000 8.000 12/15/2018 Claire's Stores Inc CLE 8.875 41.790 3/15/2019 Claire's Stores Inc CLE 7.750 34.000 6/1/2020 Claire's Stores Inc CLE 10.500 61.250 6/1/2017 Cliffs Natural Resources Inc CLF 5.950 50.250 1/15/2018 Cliffs Natural Resources Inc CLF 5.900 31.300 3/15/2020 Colt Defense LLC / Colt Finance Corp CLTDEF 8.750 28.030 11/15/2017 Colt Defense LLC / Colt Finance Corp CLTDEF 8.750 30.500 11/15/2017 Colt Defense LLC / Colt Finance Corp CLTDEF 8.750 30.500 11/15/2017 Comstock Resources Inc CRK 7.750 33.500 4/1/2019 Comstock Resources Inc CRK 9.500 36.000 6/15/2020 Dendreon Corp DNDN 2.875 69.000 1/15/2016 EPL Oil & Gas Inc EXXI 8.250 47.529 2/15/2018 EXCO Resources Inc XCO 7.500 44.150 9/15/2018 Endeavour International Corp END 12.000 11.500 3/1/2018 Endeavour International Corp END 12.000 9.500 3/1/2018 Endeavour International Corp END 12.000 9.500 3/1/2018 Energy & Exploration Partners Inc ENEXPR 8.000 19.875 7/1/2019 Energy Conversion Devices Inc ENER 3.000 7.875 6/15/2013 Energy Future Intermediate Holding Co LLC / EFIH Finance Inc TXU 10.000 1.875 12/1/2020 Energy Future Intermediate Holding Co LLC / EFIH Finance Inc TXU 10.000 1.875 12/1/2020 Energy XXI Gulf Coast Inc EXXI 9.250 38.725 12/15/2017 Energy XXI Gulf Coast Inc EXXI 7.500 20.875 12/15/2021 Energy XXI Gulf Coast Inc EXXI 7.750 22.430 6/15/2019 FBOP Corp FBOPCP 10.000 1.843 1/15/2009 FairPoint Communications Inc/Old FRP 13.125 1.879 4/2/2018 Federal Farm Credit Banks FFCB 2.650 99.825 7/28/2021 Federal Home Loan Banks FHLB 0.530 100.000 10/28/2016 Federal Home Loan Banks FHLB 1.125 100.005 1/29/2018 Federal Home Loan Banks FHLB 0.550 100.000 10/28/2016 Federal National Mortgage Association FNMA 2.000 100.000 1/30/2020 Federal National Mortgage Association FNMA 1.350 100.035 7/30/2018 Federal National Mortgage Association FNMA 2.000 100.015 1/30/2020 Federal National Mortgage Association FNMA 1.750 100.013 7/30/2020 Federal National Mortgage Association FNMA 1.000 100.005 1/30/2018 Federal National Mortgage Association FNMA 2.000 100.015 1/30/2020 Federal National Mortgage Association FNMA 1.250 100.007 7/30/2018 Federal National Mortgage Association FNMA 1.125 100.006 1/30/2018 Federal National Mortgage Association FNMA 2.210 100.016 7/30/2020 First Tennessee Capital II FHN 6.300 93.000 4/15/2034 Fleetwood Enterprises Inc FLTW 14.000 3.557 12/15/2011 GT Advanced Technologies Inc GTAT 3.000 24.500 10/1/2017 Gevo Inc GEVO 7.500 59.500 7/1/2022 Goodrich Petroleum Corp GDP 8.875 25.050 3/15/2019 Goodrich Petroleum Corp GDP 5.000 42.500 10/1/2032 Gymboree Corp/The GYMB 9.125 36.500 12/1/2018 Hercules Offshore Inc HERO 8.750 30.500 7/15/2021 Hercules Offshore Inc HERO 10.250 32.500 4/1/2019 Hercules Offshore Inc HERO 8.750 34.000 7/15/2021 Hercules Offshore Inc HERO 10.250 30.500 4/1/2019 JPMorgan Chase & Co JPM 6.000 99.773 5/1/2029 James River Coal Co JRCC 3.125 0.001 3/15/2018 Las Vegas Monorail Co LASVMC 5.500 0.010 7/15/2019 Lehman Brothers Holdings Inc LEH 5.000 9.000 2/7/2009 Lehman Brothers Holdings Inc LEH 4.000 9.000 4/30/2009 MBIA Global Funding LLC MBI 0.338 99.930 7/31/2015 MF Global Holdings Ltd MF 6.250 15.000 8/8/2016 MF Global Holdings Ltd MF 3.375 15.000 8/1/2018 MF Global Holdings Ltd MF 9.000 15.000 6/20/2038 MModal Inc MODL 10.750 10.125 8/15/2020 Magnetation LLC / Mag Finance Corp MAGNTN 11.000 31.000 5/15/2018 Magnetation LLC / Mag Finance Corp MAGNTN 11.000 24.875 5/15/2018 Magnetation LLC / Mag Finance Corp MAGNTN 11.000 24.875 5/15/2018 Midstates Petroleum Co Inc / Midstates Petroleum Co LLC MPO 10.750 35.250 10/1/2020 Molycorp Inc MCP 10.000 15.875 6/1/2020 Molycorp Inc MCP 6.000 1.740 9/1/2017 Nine West Holdings Inc JNY 6.875 35.000 3/15/2019 Noranda Aluminum Acquisition Corp NOR 11.000 34.000 6/1/2019 OMX Timber Finance Investments II LLC OMX 5.540 17.250 1/29/2020 Peabody Energy Corp BTU 6.000 30.750 11/15/2018 Peabody Energy Corp BTU 6.250 21.780 11/15/2021 Peabody Energy Corp BTU 6.500 24.000 9/15/2020 Peabody Energy Corp BTU 4.750 9.950 12/15/2041 Penn Virginia Resource Partners LP / Penn Virginia Resource Finance Corp ETP 6.500 107.500 5/15/2021 Powerwave Technologies Inc PWAV 2.750 0.125 7/15/2041 Powerwave Technologies Inc PWAV 1.875 0.125 11/15/2024 Powerwave Technologies Inc PWAV 1.875 0.125 11/15/2024 Quicksilver Resources Inc KWKA 9.125 10.000 8/15/2019 Quicksilver Resources Inc KWKA 11.000 12.500 7/1/2021 Quiksilver Inc / QS Wholesale Inc ZQK 10.000 24.827 8/1/2020 RadioShack Corp RSH 6.750 0.750 5/15/2019 RadioShack Corp RSH 6.750 0.821 5/15/2019 RadioShack Corp RSH 6.750 0.821 5/15/2019 Sabine Oil & Gas Corp SOGC 7.250 23.500 6/15/2019 Sabine Oil & Gas Corp SOGC 9.750 16.938 2/15/2017 Sabine Oil & Gas Corp SOGC 7.500 23.500 9/15/2020 Sabine Oil & Gas Corp SOGC 7.500 21.000 9/15/2020 Sabine Oil & Gas Corp SOGC 7.500 21.000 9/15/2020 SandRidge Energy Inc SD 7.500 30.000 3/15/2021 SandRidge Energy Inc SD 8.750 33.000 1/15/2020 Saratoga Resources Inc SARA 12.500 7.750 7/1/2016 SquareTwo Financial Corp SQRTW 11.625 55.000 4/1/2017 Swift Energy Co SFY 7.125 41.075 6/1/2017 Swift Energy Co SFY 7.875 22.000 3/1/2022 Swift Energy Co SFY 8.875 25.000 1/15/2020 TMST Inc THMR 8.000 12.000 5/15/2013 Terrestar Networks Inc TSTR 6.500 10.000 6/15/2014 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 15.000 14.000 4/1/2021 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 10.500 12.188 11/1/2016 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 15.000 12.250 4/1/2021 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 10.500 11.125 11/1/2016 US Shale Solutions Inc SHALES 12.500 58.125 9/1/2017 US Shale Solutions Inc SHALES 12.500 58.125 9/1/2017 Venoco Inc VQ 8.875 22.189 2/15/2019 Verso Paper Holdings LLC / Verso Paper Inc VRS 11.750 45.250 1/15/2019 Verso Paper Holdings LLC / Verso Paper Inc VRS 11.750 47.250 1/15/2019 Verso Paper Holdings LLC / Verso Paper Inc VRS 11.750 25.000 1/15/2019 Verso Paper Holdings LLC / Verso Paper Inc VRS 11.375 45.200 8/1/2016 Verso Paper Holdings LLC / Verso Paper Inc VRS 8.750 10.150 2/1/2019 Verso Paper Holdings LLC / Verso Paper Inc VRS 11.750 24.625 1/15/2019 Verso Paper Holdings LLC / Verso Paper Inc VRS 11.750 24.625 1/15/2019 Walter Energy Inc WLTG 9.875 1.250 12/15/2020 Walter Energy Inc WLTG 11.000 3.625 4/1/2020 Walter Energy Inc WLTG 8.500 2.000 4/15/2021 Walter Energy Inc WLTG 11.000 5.000 4/1/2020 Walter Energy Inc WLTG 9.875 1.358 12/15/2020 Walter Energy Inc WLTG 9.875 1.358 12/15/2020 ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. 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