/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/161004.mbx T R O U B L E D C O M P A N Y R E P O R T E R Tuesday, October 4, 2016, Vol. 20, No. 277 Headlines 262 BROAD STREET: Sale of Interest in Newark Property Approved 2747 CAMELBACK: Unsecureds To Recover 100% Under Plan 30DC INC: Needs More Time to File Fiscal 2016 Form 10-K 800 BOURBON: 2nd Reconsideration Bid in Suit vs Bay Bridge Denied A & ASSOCIATES: Case Summary & 15 Unsecured Creditors A CHICAGO CONVENTION: Unsecureds To Recover 25% Under Plan A GREENER GLOBE: Seeks Approval to Use Cash Until April 30 A&A WHEELER: U.S. Trustee Tries To Block Plan Outline Approval AC I TOMS: Plans To Pay Creditors in Full in Five Installments ACE CASH: Moody's Lowers CFR to Ca; Outlook Stable AGFEED USA: Court Narrows Claims in Suit vs. Former Director ALLISON ROBINSON: Selling Olympic Valley Property for $2.4M ALTOS HORNOS: U.S. Court OKs General Payment Agreement ANDREW COLEMAN: Unsecureds To Be Paid From Remaining Sale Proceeds AS SEEN ON TV: Marcum LLP Casts Going Concern Doubt ASHLAND GLOBAL: S&P Assigns 'BB' CCR; Outlook Stable ASHLEY I LLC: Amended Plan Clarifies Plan Administrator's Role ASHLEY II: Chap. 11 Plan Clarifies Plan Administrator's Role AYTU BIOSCIENCE: EKS&H LLLP Raises Going Concern Doubt BASIC FOOD GROUP: Unsecureds To Recover 10% Under Plan BENJAMIN HALL: Disclosures Okayed; Plan Hearing on Nov. 10 BGM PASADENA: Disclosures OK'd; Plan Confirmation Hearing on Dec. 1 BINDER MACHINERY: Selling Substantially All Assets BINITA & SAPNA: Have Until Oct. 5 to Use Ridgestone Bank Cash BIRCH COMMUNICATIONS: S&P Puts 'B' CCR on CreditWatch Negative BON-TON STORES: To Redeem Senior Notes Due 2017 BREMAR DEVELOPMENT: Hires Avison Young as Real Estate Broker C&J ENERGY: Court Approves Non-Insider Compensation Program CABCO TRUST: Moody's Raises Rating on Trust Certificates to B3 CAPE COD COMMERCIAL: Will Pay Unsecureds 20% In 4 Years CAPITAL INVESMENTS: Selling Broward Property to Wythe for $70K CHARLES BRELAND: Creditors Seek Appointment of Ch. 11 Trustee CHESAPEAKE ENERGY: Moody's Assigns Caa3 Rating on $1.1BB Notes CHINA BAK: Dismisses Crowe Horwath as Accountants CHRISTOPHER RIDGEWAY: Sale of 2 Vehicles to Everett Buick Approved CHRISTOPHER RIDGEWAY: Sale of Yellowfin Yacht for $87.5K Approved COMPASSIONATE HEALTH CARE: Court Confirms Plan of Reorganization CONDO 64: Court Allows Cash Collateral Use Until Nov. 22 CONTROL SYSTEMS: Proposes to Pay $300K for Unsecured Claims COSI INC: Seeks Court Authorization to Use Cash Collateral CROSSFIRE MANUFACTURING: Files Amended Disclosure Statement CRYSTAL WATERFALLS: Bidding Procedures for Covina Property Okayed CYRUS WAY HOLDINGS: No Distribution To Be Made For Unsecureds CYU LITHOGRAPHICS: Wants to Use Cash Collateral of RM Machinery D&H MACHINE SERVICE: Counsel Awarded $19K in Fees, Expenses DANIEL BRUCE CARPENTER: Court Overrules Objection to IRS Claim DAVID BULL: Gets Court Approval of Disclosure Statement DAVID PROCTOR: Selling 100-Acre Vacant Land for $245K to Stockton DEER MEADOWS: Case Summary & 20 Largest Unsecured Creditors DIAMOND TANK: Ch. 11 Plan Proposes to Pay Unsecureds in 60 Months DONALD ELARDO: Disclosure Statement Hearing Set For Nov. 3 DUCK NECK: Hearing on Disclosures, Plan Confirmation on Nov. 21 DVR LLC: DOJ Watchdog Names Joli A. Lofstedt as Ch. 11 Trustee EASTERN FUNDING: DOJ Watchdog Seeks Appointment of Ch. 11 Trustee EDGAR COLON: Bid to Recuse Judge Lamoutte Denied ELBIT IMAGING: Announces Series H Notes Buyback ELBIT IMAGING: Negotiating Possible Forward Sale Transaction ELECTRONIC CIGARETTES: Limited Capital Raises Going Concern Doubt ELROY JOSEPH MILLER: Unsecureds To Recover 10% Under Plan ENCOMPASS DIGITAL: S&P Lowers CCR to 'B-' on Cash Flow Deficits ENERGY FUTURE: Court Junks Fenicle's Appeal From 2015 Plan Order ENERGY FUTURE: Denial of Asbestos Claimants' Class Cert. Affirmed ENOR CORP: Hearing on Disclosures Approval Set For Oct. 27 EXPORTHER BONDED: Amends Estimate of Asset Liquidation FANNIN COUNTY: S&P Lowers Rating on Revenue Debt to 'BB' FANSTEEL INC: Has Until Oct. 17 to Use Cash Collateral FDO HOLDINGS: S&P Affirms 'B' Rating on 1st Lien Debt FERGUSON CONVALESCENT: Marketing Plan Ongoing, 6th PCO Report Says FERRELLGAS PARTNERS: S&P Lowers CCR to 'B'; Outlook Negative FOREST CITY: S&P Affirms Then Withdraws 'BB' CCR FOUNDATION HEALTHCARE: Covenant Problem Raises Going Concern Doubt FRANCISCO JAVIER SANCHEZ: Disclosures OK'd; Plan Hearing on Oct. 27 GAINESVILLE ALF: Case Summary & 20 Largest Unsecured Creditors GLEN HAMMER: Proposes to Pay $5K to Unsecured Creditors GOODMAN AND DOMINGUEZ: Unsecureds To Recoup 26.9% Under Plan GRADY COUNTY: S&P Affirms 'BB+' Rating on Revenue Bonds GROUP 6842: Court Allows Cash Collateral Use on Final Basis GROUP 6842: Disclosures Approved; Dec. 20 Plan Hearing Set GROWTH OPPORTUNITY: Disclosures OK'd; Plan Hearing on Nov. 16 HALCON RESOURCES: Enters Into Supplement Indentures with U.S. Bank HALCON RESOURCES: Franklin Reports 37.9% Stake as of Sept. 9 HARSCO CORP: S&P Revises Outlook to Stable & Affirms 'BB-' CCR HME HOLDINGS: Wants Authorization to Use Cash Collateral HOPKINTON DRUG: Wants to Continue Using Cash Until Dec. 31 HORSHAM VALLEY: Sale of 7 Horsham Lots Approved HPIL HOLDING: MNP LLP Raises Going Concern Doubt HUDSPETH COUNTY: S&P Lowers Rating on 2014 Revenue Bonds to 'BB' ILLINOIS: S&P Lowers Rating on GO Bonds to 'BB' IMPORTANT PROPERTIES: Hearing on Plan Confirmation Set for Oct. 21 INNOCENT CHINWEZE: Disclosures OK'd; Plan Hearing Set For Nov. 15 INT'L SHIPHOLDING Sale of 2 Tug Vessels for $165K Approved INTERNATIONAL SHIPHOLDING: Wants Additional $2.1 -Mil. Financing ISABEL TORRES: Plan Outline to be Heard on Nov. 16 ISLANDWIDE LOGISTICS: Wants Approval to Use BDE Cash Collateral JAMES DEWAYNE MANNING: Court Approves K. Heard as Ch. 11 Examiner JARRET CORN: Can Use Lone Star State Bank Cash on Final Basis JOHN PRICE: Sale of 50% Interest in Selma Property Approved JOHN Q. HAMMONS: Wants to Continue Using Cash Until Dec. 31 JOSE LIZARDI-ORTIZ: Exemption Claim Over Retirement Funds Upheld JOSEPH OLADOKUN: Unsecureds To Be Paid in Full Under Diamond's Plan KAISER GYPSUM: Case Summary & Unsecured Creditors KAISER GYPSUM: Files for Ch. 11 to Resolve Asbestos-Related Claims KEETON HEALTHCARE: Plan Supplement Says Owners to Maintain Stocks KHANH VAN TONG: Unsecureds To Receive 0% Distribution Under Plan LAST CALL: Taps Newmark Midwest as Real Estate Consultant LIBERTY INDUSTRIES: Has Until Feb. 28 to Use Regions Bank Cash LIBERTY INDUSTRIES: Wants to Use Regions Bank's Cash Collateral LIONS GATE: S&P Assigns 'B-' Rating on $520MM Sr. Unsecured Debt M2 NGAGE GROUP: RBSM LLP Expresses Going Concern Doubt MARK JACKSON: Selling Scottsdale Property to Sckolnik for $365K MCCLATCHY CO: Director Frederick Ruiz Won't Seek Reelection MCNEILL GROUP: U.S. Trustee Wants Case Converted to Ch. 7 MCNEILL PROPERTIES: Ch. 11 Trustee Sought to Facilitate Asset Sale MEADOWS AT CYPRESS: Voluntary Chapter 11 Case Summary MEDIANEWS GROUP: Wants to Replace Monster's Existing Directors MICHAEL SYLVESTER: Court Confirms Plan of Reorganization MIDSTATES PETROLEUM: Court Confirms 1st Amended Reorg Plan MJC AMERICA: Can Use Cash Collateral of EWB Until Nov. 10 MONGE PROPERTY: Selling Los Angeles Property to Davtian for $1M MORGANS HOTEL: MMCAP International Reports 5.2% Equity Stake MRI INTERVENTIONS: Files 1.6M Shares Resale Prospectus with SEC NADLER & DARWISH: Can't Compel Bank to Release Insurance Proceeds NORTH BEACHES: Wants to Use American Enterprise Bank Cash NORTHERN OIL: Board Awards CFO $250,000 Bonus NORTHERN POWER SYSTEMS: Recurring Losses Raises Going Concern Doubt NOVETTA SOLUTIONS: Moody's Lowers CFR to Caa1; Outlook Negative NUVERRA ENVIRONMENTAL: Has Until Oct. 14 to Refinance ABL Facility ONSITE TEMPORARY: JRS Funding Wants to Sequester Cash Collateral OXTON PLACE: Case Summary & 10 Unsecured Creditors P.J. ROSALY: Wants Approval to Use BDE Cash Collateral PACIFIC RECYCLING: Hearing on Disclosure Statement Set For Oct. 24 PACIFIC WEBWORKS: U.S. Trustee Objects to Disclosure Statement PAGOSA PARTNERS: Has Until Nov. 30 to Use NBH Bank Cash Collateral PALMER FARMS: Seeks to Employ Mesch Clark as Attorneys PHILLIP MYERS: Selling Assets to Myers Engineering for $700K PINNACLE INNOVATION: Plan Outline to Be Heard on Nov. 8 PRICEVILLE PARTNERS: Ch. 11 Plan Proposes to Liquidate All Assets PRIME GLOBAL: Terminates Crowe Horwath as Accountants PROGRESSIVE ACUTE: Equity Investors Seek Ch. 11 Trustee Appointment QF LIQUIDATION: Employs Brown Wegner as Litigation Counsel REXFORD PROPERTIES: USF&G Seeks Appointment of Ch. 11 Examiner REYNOLDS GROUP: Moody's Retains B3 CFR on Term Loan Upsize RIDGEMOUR MEYER: Goetz Fitzpatrick's Bid for Claim Payment Denied RODERICK BARTON: Unsecureds to Receive 5% Within 60 Days RONALD ZIMMER: Files Further Disclosure on Peritus' Secured Claim ROSEWOOD OAKS: Voluntary Chapter 11 Case Summary RYAN ROTH: Unsecureds To Get $1,000 for 40 Months S&S SCREW: Regions Bank Wants to Prohibit Cash Collateral Use S-METALS FL: Unsecured Will Receive Distribution of 7.7% in Plan SAEXPLORATION HOLDINGS: Grants 622,954 Options & Units to Execs. SEANERGY MARITIME: Inks Pact to Acquire 2 Dry Bulk Vessels SEANERGY MARITIME: Reports Second Quarter Financial Results SEMGROUP CORP: Moody's Hikes Corp. Family Rating to B1 SEMGROUP CORP: S&P Affirms 'B+' CCR & Revises Outlook to Stable SFX ENTERTAINMENT: Court Approves Foreign Loan Facility Amendment SHEPHERD I: Seeks to Employ Butler Law Group as Ch. 11 Counsel SNEED SHIPBUILDING: Wants Insurance Premium Financing From IPFS SON CORP: Seeks to Hire La Mega as Real Estate Broker SOTERA WIRELESS: Case Summary & 20 Largest Unsecured Creditors SOTERA WIRELESS: Medical Device Developer Files for Bankruptcy SPOGAIN INVESTMENTS: Taps Pardo Gainsburg as Real Estate Counsel SUGARMADE INC: Delays Filing of Fiscal 2016 Form 10-K SUNEDISON INC: Says Settlement Talks With Yieldcos Ongoing SUNLIGHT PROPERTIES: Seeks to Hire Greene Infuso as Counsel SUPERIOR LINEN: Case Summary & 20 Largest Unsecured Creditors SUSAN'S INC: Court Allows Cash Collateral Use SYNERGY RESOURCES: Moody's Assigns B3 CFR; Outlook Stable SYNERGY RESOURCES: S&P Assigns 'B-' CCR & Rates $80MM Notes 'B+' SYNTAX-BRILLIAN: Court Denies Amr, et al.'s Summary Judgment Bid TEARN DEVELOPMENT: Disclosures Conditionally OK'd; Oct. 17 Hearing TELEPRO CARIBE: PRAPI Wants to Prohibit Use of Cash Collateral TENAFLY GOURMET: Case Summary & 2 Unsecured Creditors TRANS ENERGY: Incurs $13.7 Million Net Loss in Second Quarter TROCOM CONSTRUCTION: Selling Assets, Auction on Oct. 28 to 29 UTE LAKE RANCH: Janice A. Steinle Named Ch. 11 Trustee WALKER III: U.S. Trustee Directed to Appoint Ch. 11 Examiner WEST ALLIS-WEST: Moody's Confirms Ba1 GO Rating; Outlook Stable WEST CABINET: Disclosures Conditionally OK'd; Hearing on Oct. 20 WESTPORT HOLDINGS II: Directed to Show Proof PCO Not Necessary WESTPORT HOLDINGS: Directed to Show Proof PCO Not Necessary WILLACY COUNTY PFC: S&P Lowers Rating on Revenue Debt to 'BB+' WILLIAM BLACK: Court Dismisses Clawback Suits vs. Gallinghouse WINGS OF MEDINA: Unsecured Creditors to Get 60%-80% Under Plan WTE-S&S AG: Has Until Nov. 30 to Use State Bank of Chilton Cash YELLOW CAB: Creditors' Panel Seeks Appointment of Ch. 11 Trustee ZWEITE STUFE: Can Use $372K Cash Collateral [^] Large Companies with Insolvent Balance Sheet ********* 262 BROAD STREET: Sale of Interest in Newark Property Approved -------------------------------------------------------------- Judge Vincent F. Papalia of the U.S. Bankruptcy Court for the District of New Jersey authorized 262 Broad Street Corp. to sell its interest in real property located at 262-270 Broad Street, Newark, New Jersey, to Jaime M. Weiss or his entity designee, for $700,000. The sale is free and clear of any and all existing liens and judgments. The Debtor's authorized representative or officer is authorized to sign all affidavits and documents necessary to convey title at the closing. From the proceeds of the sale of the property, the Debtor is authorized to pay the following: a. All closing costs and customary fees at the time of closing. b. All mortgage liens held by Roger Saunders pursuant to any payoff letters and/or further Orders of the Court in effect at the time of closing with liens remaining in place until such time Mr. Saunders receives its proceeds. Mr. Saunders will not be obligated to discharge its lien until such proceeds are received by him Saunders, except in the event of dispute as to amount, lien will be discharged and attached to proceeds. c. All tax liens held by US Bank Custodian for Actlien Holding, Inc. pursuant to any redemption statements in effect at the time of closing with liens remaining in place until such time US Bank Custodian for Actlien Holding receives its proceeds. The US Bank Custodian for Actlien Holding will not be obligated to discharge its lien until such proceeds are received by US Bank Custodian for Actlien Holding, except in the event of dispute as to amount, lien will be discharged and attached to proceeds. d. The Debtor's real estate attorney closing fee of $3,500 to Steven D. Pertuz, Esq. e. All United States Trustee Quarterly Fees generated by the sale of said property. The Debtor will file Amended Schedules, if applicable, within 14 days of closing or entry of the order, whichever is later. The final Closing Disclosure/BUD-I Settlement Statement will be provided to the United States Trustee prior to closing to review the exact amount of all closing costs and adjustments to be made for the closing date. The 14 day stay of the entry of the Order pursuant to Rule 6004(h) will be waived. About 262 Broad Street 262 Broad Street Corp. sought Chapter 11 protection (Bankr. D.N.J. Case No. 15-23139) on July 14, 2015. The Debtor estimated assets and liabilities in the range of $0 to $50,000. The Debtor tapped Steven D. Pertuz, Esq. at Law Offices of Steven D. Pertuz as counsel. The petition was signed by Evelyn G. Morales, president/authorized officer. 2747 CAMELBACK: Unsecureds To Recover 100% Under Plan ----------------------------------------------------- 2747 Camelback, LLC, filed with the U.S. Bankruptcy Court for the Northern District of Texas a disclosure statement in support of the Debtor's amended plan of reorganization. Under the Amended Plan, Class 4 General Unsecured Claims -- estimated at $7,873.03 -- will get 100% recovery. The Plan will be funded primarily from the senior agent releasing the settlement funds to the Debtor. This will leave approximately $500,000 of additional funds with the Debtor to pay creditors in full. As reported by the Troubled Company Reporter on Sept. 28, 2016, the Debtor first filed a proposed plan to exit Chapter 11 protection. That plan proposed for the transfer of the Debtor's real property and improvements located along E. Camelback Road, in Phoenix, Arizona, to HCSLR Camelback, LLC. The Disclosure Statement is available at: http://bankrupt.com/misc/txnb16-31846-47.pdf About 2747 Camelback 2747 Camelback, LLC, based in Dallas, Texas, owns real property and improvements located at 2747 E. Camelback Road, 2725 E. Camelback Road, and 2735 E. Camelback Road. Phoenix, Arizona 85016. The Debtor filed a Chapter 11 petition (Bankr. N.D. Tex. Case No. 16-31846) on May 4, 2016. The Hon. Harlin DeWayne Hale presides over the case. Davor Rukavina, Esq., at Munsch Hardt Kopf & Harr, P.C., in Dallas, Texas, serves as counsel to the Debtor. In its petition, the Debtor estimated $10 million to $50 million in both assets and debts. The petition was signed by Scott Ellington, authorized signatory. 30DC INC: Needs More Time to File Fiscal 2016 Form 10-K ------------------------------------------------------- 30DC, Inc., filed with the Securities and Exchange Commission a Form 12b-25 notifying the delay in the filing of its annual report on Form 10-K for the year ended June 30, 2016. "The Registrant was unable without unreasonable effort and expense to prepare its accounting records and schedules in sufficient time to allow its accountants to complete their review of the Registrant's financial statements for the period ended June 30, 2016 before the required filing date for the subject Annual Report on Form 10-K. The Registrant intends to file the subject Annual Report on Form 10-K on or before the 60th calendar day following the prescribed due date." About 30DC Inc. New York-based 30DC, Inc., provides Internet marketing services and related training to help Internet companies in operating their businesses. It operates in two divisions, 30 Day Challenge and Immediate Edge. 30DC reported a net loss of $1.59 million on $738,000 of total revenue for the year ended June 30, 2015, compared to net income of $58,918 on $2.35 million of total revenue for the year ended June 30, 2014. As of March 31, 2016, 30DC had $1.15 million in total assets, $2.55 million in total liabilities and a total stockholders' deficit of $1.39 million. MaloneBailey, LLP, in Houston, Texas, issued a "going concern" qualification on the consolidated financial statements for the year ended June 30, 2015, citing that the Company has accumulated losses from operations since inception and has a working capital deficit as of June 30, 2015. These conditions raise substantial doubt about the Company's ability to continue as a going concern. 800 BOURBON: 2nd Reconsideration Bid in Suit vs Bay Bridge Denied ----------------------------------------------------------------- Judge Elizabeth W. Magner of the United States Bankruptcy Court for the Eastern District of Louisiana denied the motion filed by 800 Bourbon Street, LLC, to reconsider and amend judgment in the adversary proceeding captioned 800 BOURBON STREET, LLC, Plaintiff, v. BAY BRIDGE BUILDING LIMITED COMPANY, LLC, Defendant, Adversary No. 15-1052 (Bankr. E.D. La.). On July 21, 2015, 800 Bourbon filed an adversary proceeding objecting to Bay Bridge's proof of claim no. 5, which claimed a debt of $1,979,886.47 secured by a building located at 800 Bourbon Street. On August 3, 2015, the court approved the prevailing bid for $8,175,000.00 in an auction of substantially all of the assets of 800 Bourbon and Louisiana Interests, Inc., including Bay Bridge's collateral. The court also confirmed the Second Amended Joint Chapter 11 Plan. By agreement among Bay Bridge, 800 Bourbon, and La. Interests, the Order approving the sale and the Confirmation Order provided for the release of Bay Bridge's lien on 800 Bourbon's property and the escrow of $1,649,000 of sale proceeds subject to Bay Bridge's lien. The Original Complaint filed by 800 Bourbon against Bay Bridge included two (2) claims for relief: (1) Bay Bridge's lien should be avoided pursuant to 11 U.S.C. section 544; and (2) Bay Bridge's claim was unenforceable against 800 Bourbon because of the 2009 Plan. 800 Bourbon subsequently filed an Amended Complaint asserting two additional causes of action: (1) Bay Bridge's lien should be avoided due to untimely reinscription; and (2) the attorney's fees claimed by Bay Bridge were unsubstantiated and excessive. Bay Bridge subsequently waived its claim for attorney's fees, so that claim became moot. On September 1, 2015, 800 Bourbon filed a Motion for Summary Judgment. The MSJ asserted that Bay Bridge's lien was avoidable, as a matter of law. Bay Bridge opposed the MSJ and filed a Cross Motion for Summary Judgment. Bay Bridge sought judgment, as a matter of law, that it "had a valid, perfected lien on the property at 800 Bourbon Street on the filing date, and... on the proceeds of the sale." Bay Bridge further prayed that 800 Bourbon's Complaint be "dismissed, and the funds escrowed for Bay Bridge's claim released." On November 20, 2015, the bankruptcy court entered a ruling granting the Cross Motion of Bay Bridge and denying the MSJ of 800 Bourbon. 800 Bourbon filed its first Motion for Reconsideration on December 4, 2015, alleging that new evidence, not previously available to 800 Bourbon, had been discovered after the hearings on the MSJ and Cross Motion. 800 Bourbon alleged that Johnny Chisholm, who is both the member that signed the notes and mortgage and a guarantor of the Bay Bridge debt, testified under oath that he and Bay Bridge had reached a settlement reducing the amounts due to $750,000.00. The court granted the motion, vacating portions of the judgment purporting to render final judgment on the amount owed. Pursuant to the ruling, the court reserved for trial on the merits one issue: whether or not an alleged reduction, modification, or release of Chisholm was previously granted by Bay Bridge and affected the sums due to it by 800 Bourbon. On January 26, 2016, 800 Bourbon filed a second Motion for Reconsideration, alleging that Chisholm and Julian MacQueen, principal of Bay Bridge, have conspired to commit fraud. 800 Bourbon sought to alter or amend the judgment pursuant to F.R.C.P. 59(e). Judge Magner, however, found that Bay Bridge's claim was timely filed and any rush to object to the proof of claim was a result of 800 Bourbon's own making. "Nevertheless, a "rush" to file its Complaint is insufficient grounds to upset a judgment. 800 Bourbon had ample time after the filing of its Complaint to amend, conduct discovery, and if it discovered fraud, properly plead and pursue the claim. It did not articulate a claim of fraud in its pleadings and the evidence submitted does not support a claim for fraud," the judge held. 800 Bourbon also sought relief from judgment pursuant to F.R.C.P. 60(b)(3), alleging that Bay Bridge's conduct prevented it from fully and fairly presenting its case or defense. 800 Bourbon argued that the withholding of information, specifically copies of the cancelled checks evidencing advances to third parties, constitutes a fraud on it and the court. Judge Magner, however, found that it is clear that 800 Bourbon had access to this information without relying on Bay Bridge's production, that 800 Bourbon knew that no deposits from Bay Bridge were on its own books, and the 2009 Plan specified where the funds were deposited. The judge concluded that 800 Bourbon's failures simply do not justify its claim of fraud on the court. Lastly, 800 Bourbon sought reconsideration as a sanction for what it characterizes as discovery abuses for failure to disclose or supplement discovery. Judge Magner declined to impose the requested sanction because 800 Bourbon has failed to establish that Bay Bridge withheld discoverable information that hampered 800 Bourbon's ability to respond to the Cross Motion. The bankruptcy case is IN RE: 800 BOURBON STREET, LLC, Section A, Chapter 11, Debtor, Case No. 14-12770 (Bankr. E.D. La.). A full-text copy of Judge Magner's September 7, 2016 reasons for decision is available at https://is.gd/fRUTut from Leagle.com. 800 Bourbon Street, LLC is represented by: Alicia M. Bendana, Esq. 701 Poydras St., Ste 3600 New Orleans, LA 70139 Tel: (504)517-8160 Email: abendana@lowestein.com -- and -- Mark S. Goldstein, Esq. 599 Lexington Avenue, 22nd Floor New York, NY 10022 Tel: (212)549-0328 Fax: (212)521-5450 Email: mgoldstein@reedsmith.com -- and -- Catherine E. Lasky, Esq. Kerry Murphy, Esq. JONES, SWANSON, HUDDELL & GARRISON, LLC Pan-American Life Center 601 Poydras Street, Suite 2655 New Orleans, LA 70130 Tel: (504)523-2500 Fax: (504)523-2508 Email: klasky@jonesswanson.com kmurphy@jonesswanson.com Bay Bridge Building Limited Company, LLC is represented by: Michael E. Landis, Esq. Stephen L. Williamson, Esq. MONTGOMERY BARNETT, L.L.P. 3300 Energy Centre 1100 Poydras Street New Orleans, LA 70163-3300 Tel: (504)585-3200 Fax: (504)585-7688 Email: mlandis@monbar.com swilliamson@monbar.com About 800 Bourbon Street 800 Bourbon Street LLC, based in New Orleans, LA, filed a Chapter 11 petition (Bankr. E.D. La. Case No. 14-12770) on October 15, 2014. The Hon. Elizabeth W. Magner presides over the case. Christopher T. Caplinger, Esq. and Stewart F. Peck, Esq. at Lugenbuhi, Wheaton, Peck, Rankin & Hubbard served as bankruptcy counsel. In its petition, the Debtor estimated $1 million to $10 million in both assets and liabilities. The petition was signed by Bobby Warner, member. A & ASSOCIATES: Case Summary & 15 Unsecured Creditors ----------------------------------------------------- Debtor: A & Associates, Inc., d/b/a A & A 951 Sansbury's Way West Palm Beach, FL 33411 Case No.: 16-23524 Chapter 11 Petition Date: October 1, 2016 Court: United States Bankruptcy Court Southern District of Florida (West Palm Beach) Judge: Hon. Paul G. Hyman, Jr. Debtor's Counsel: Sherri B. Simpson, Esq. 1126 S. Federal Hwy, Ste 326 Ft. Lauderdale, FL 33316 Tel: 954.524.4141 Fax: 954.763.5117 E-mail: sbsecf@gmail.com sbsimpson@simpson-law-group.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Andrew Luchey, Jr., president. A copy of the Debtor's list of 15 largest unsecured creditors is available for free at http://bankrupt.com/misc/flsb16-23524.pdf A CHICAGO CONVENTION: Unsecureds To Recover 25% Under Plan ---------------------------------------------------------- A Chicago Convention Center, LLC, filed with the U.S. Bankruptcy Court for the Northern District of Illinois a disclosure statement to the plan of reorganization dated Sept 21, 2016. Through the Plan, the Debtor is seeking to pay Class V General Unsecured Claims (other than Cathay Bank) 25% of their allowed claims on or before 90 days from the Effective Date. The Debtor proposes to pay its creditors on their respective allowed claims from a number of sources. Those sources include: (a) proceeds from the sale of the real property located at 8201 West Higgins Road, Chicago, Illinois 60631, which will pay the Cathay Bank approximately $6,117,425.24 and Quality $100,000; (b) Ravinder Sethi will contribute the sum of approximately $2 million to ACCC as a capital contribution upon the date of the Effective Date, which funds will be used to pay administrative claims (approximately $10,000), Cathay Bank (approximately $982,574), the U.S. Securities and Exchange Commission (approximately $1 million) and unsecured creditors (approximately $2,484.25). The Disclosure Statement is available at: http://bankrupt.com/misc/ilnb16-20463-56.pdf The Plan was filed by the Debtor's counsel: Ariel Weissberg, Esq. Weissberg and Associates, Ltd. 401 S. LaSalle Street, Suite 403 Chicago, IL 60605 Tel: (312) 663-0004 Fax: (312) 663-1514 E-mail: ariel@weissberglaw.com About A Chicago Convention Center A Chicago Convention Center, LLC, is a member-managed limited liability company organized in Illinois on Jan. 24, 2011. The sole member of ACCC is Ravinder Sethi. ACCC sought the Chapter 11 protection (Bankr. N.D. Ill. Case No. 16-20463) on June 23, 2016. A GREENER GLOBE: Seeks Approval to Use Cash Until April 30 ---------------------------------------------------------- Russell K. Burbank, Chapter 11 Trustee of A Greener Globe, asks the U.S. Bankruptcy Court for the Eastern District of California for authorization to use cash collateral through April 30, 2017. The Debtor owns approximately 25.3 acres of real property located at 901 and 903 Galleria Blvd., Roseville, California, that included a closed landfill, formerly known as the Fingers Landfill, or the Berry Street Mall Landfill. The Debtor later split the Subject Property into two parcels: the Landfill Parcel, which encompasses the Landfill, and the Nursery Parcel, which the Debtor leases to Green Acres Nursery & Supply, LLC at a current lease rate of $23,500 per month, which is the Debtor’s only source of income. The Landfill Parcel is unoccupied and securely fenced. The Chapter 11 Trustee believes the following entities assert the following secured interests with respect to the Subject Property: (1) Western asserts first and second deeds of trust against the Subject Property; (2) Sherwood Sterling and James R. Walsh assert a third deed of trust against the Subject Property; (3) Richard Steffan asserts a fourth deed of trust against the Subject Property; (4) Daniel Sheehan asserts a fifth deed of trust against the Landfill Parcel; (5) Jacklyn C. Sheehan asserts a sixth deed of trust against the Landfill Parcel; (6) Regional Water Board asserts two judgment liens in seventh and eight positions against the Subject Property; and (7) Placer County Tax Collector holding a statutory lien against the Subject Property for outstanding real property taxes. The Chapter 11 Trustee believes he may have a potential purchase for the Subject Property on an "as-is" basis free and clear of liens that will benefit secured and general unsecured creditors of the estate. The Chapter 11 Trustee requires use of cash collateral to pay for continued operations of the Debtor and the Subject Property as well as a potential sale of the Subject Property. The Chapter 11 Trustee proposes to use the Green Acres Rent to pay: (i) $7,608 to Western on its senior deeds of trust; (ii) an initial payment of $7,439 plus monthly installments of $628 for insurance; (iii) a retainer to special counsel of up to $25,000, in the amount of $7,000 per month until the total deposited or paid to special counsel is $25,000, to assist the Trustee with the sale transaction of the Subject Property; (iv) upcoming real property taxes on the Subject Property; (v) $4,664 to lease fencing post-petition to secure the Landfill Parcel; (vi) up to $1,000 per month for miscellaneous and contingency expenses, not including professional fees or costs; and (vii) ongoing operational and Court-required expenses of operating in a Chapter 11 case, including quarterly US Trustee fees and a portion of the projected professional costs of the Chapter 11 case. The Debtor's proposed Budget provides for the continued payment of monthly amounts owed to Western on its deeds of trust, as well as operational costs for insurance, fencing, real property taxes, U.S. Trustee fees, professional fees and miscellaneous monthly expenses of up to $1,000. The Chapter 11 Trustee relates that the proposed use of cash collateral is necessary to preserve the going concern value of the Subject Property. He further relates that the use of cash collateral is necessary to manage and operate the Debtor’s business as well as provide for a potential sale of the Subject Property which will benefit the Debtor's estate. A full-text copy of the Chapter 11 Trustee's Motion, dated Sept. 28, 2016, is available at http://bankrupt.com/misc/AGreenerGlobe2016_1621900_89.pdf About A Greener Globe A Greener Globe sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Cal. Case No. 16-21900) on March 28, 2016. The Debtor is represented by W. Steven Shumway, Esq. On June 14, 2015, the court approved the Office of the U.S. Trustee's appointment of Russell K. Burbank as the Chapter 11 trustee. A&A WHEELER: U.S. Trustee Tries To Block Plan Outline Approval -------------------------------------------------------------- U.S. Trustee William K. Harrington has filed with the U.S. Bankruptcy Court for the District of New Hampshire an objection to A&A Wheeler Mfg., Inc.'s disclosure statement dated Aug. 16, 2016. As reported by the Troubled Company Reporter on Sept. 1, 2016, the Debtor proposes in its plan of reorganization that Class 9 general unsecured creditors will get 100% of their claims. General unsecured creditors will receive a monthly payment of $10,000 during the months of May through November of each year during the five-year term of the plan. The U.S. Trustee claims that there is: -- discrepancy between information in profit and loss statement and projections; and -- inadequate disclosure of the Debtor's ability to pay tax claims and general unsecured claims under the Plan; inadequate disclosure of risks of nonpayment. The U.S. Trustee states in his objection that the Debtor attaches to its Disclosure Statement an accrual-based profit and loss statement for the period of Nov. 24, 2015, through Aug. 4, 2016, a period while the Company has been in Chapter 11. According to the U.S. Trustee, the Profit and Loss Statement reflects net income of $47,717.34 during the relevant time period, but without a balance sheet, it is impossible for creditors to see the Debtor's true financial picture because the Debtor has not disclosed receivables, unpaid payables and accrued unpaid professional fees. In other words, the net income reported for the relevant period would not be synonymous with net profit, says the U.S. Trustee. According to the U.S. Trustee, there is little historical financial information provided that would enable creditors to see if the Debtor is doing better or worse than it did prior to the filing. The Debtor's Plan provides for payment to creditors over a five year period, but its projection budget spans the period from July 1, 2016, to June 30, 2017 only. The Debtor identifies in Class 9 non-insider and non-subordinated creditors with claims totaling $346,197. The Debtor proposes to pay these general unsecured creditors in full over the Plan Term which is defined as a five year period, commencing from the Effective Date. The payments will be $10,000 per month from May through November of each year during the Plan Term. The U.S. Trustee has asked the Debtor to explain the source of the income from which the unsecured creditors will be paid in the seven months of the next five years. After being in Chapter 11 since Nov. 24, 2015, the Debtor has just $17,105 in its Debtor in possession account, albeit with receivables reported of $82,232.04. The Debtor's Disclosure Statement offers no information to creditors that would explain how the Debtor can miraculously make these payments, the U.S. Trustee claims. The Plan, according to the U.S. Trustee, also does not offer the general unsecured creditors any collateral to secure the payments due them, even though there is at least $150,536 of equity in the Debtor's real estate and $189,177 of equity in the inventory and equipment. A copy of the objection is available at https://is.gd/cb5Cw6 About A&A Wheeler Mfg. A&A Wheeler Mfg., Inc., based in Lee, New Hampshire, filed for Chapter 11 bankruptcy (Bankr. D.N.H. Case No. 15-11799) on Nov. 24, 2015. Judge Bruce A. Harwood presides over the case. Franklin C. Jones, Esq., at Wensley & Jones, PLLC, serves as the Debtor's counsel. A&A Wheeler disclosed total assets of $1.19 million and total liabilities of $1.49 million. Its petition was signed by Angela Wheeler, vice president and CFO. AC I TOMS: Plans To Pay Creditors in Full in Five Installments -------------------------------------------------------------- AC I Toms River LLC filed with the U.S. Bankruptcy Court for the Southern District of New York an amended disclosure statement for the amended plan of reorganization dated Sept. 21, 2016. Class 2 Unsecured Claims -- approximately $748,187 in scheduled/filed claims excluding insider claims -- are impaired. In full satisfaction, release and discharge of the Unsecured Claims, the holders of allowed Unsecured Claims will receive cash in the full amount of their allowed Unsecured Claim, from the equity contribution, payable in five installments as follows: 20% to be paid on the Effective Date, 20% to be paid six months from the Effective Date; 20% to be paid 12 months from the Effective Date; 20% to be paid 18 months from the Effective Date; and 20% to be paid 24 months from the Effective Date. Provided however that if the Debtor's property is sold, with respect to disputed claims, in full satisfaction, release and discharge of the Unsecured Claims, the holders of allowed Unsecured Claims will receive on the Effective Date their pro rata share of the remaining sale proceeds after payment is made in full to administrative claims, priority tax claims and the allowed RCG secured claim. The Plan will be implemented by either (1) the funding of the equity contribution and the continued collection of rents by RCG to be applied to its allowed secured claim, except for CAM, including real estate taxes, which will be returned to the Debtor, or paid directly by RCG to the appropriate taxing authorities, or, (2) by the sale of the property. The confirmation order will contain appropriate provisions, consistent with Section 1142 of the U.S. Bankruptcy Code, directing the Debtor and any other necessary party to execute or deliver or to join in the execution or delivery of any instrument required to effect a transfer of equity of the Debtor or the property of the Debtor as required by the Plan and to perform any act, including the satisfaction of any lien, that is necessary for the consummation of the Plan. Funding for the Plan will be from either the equity contribution and the rents generated at the Property, or the sale proceeds. The Amended Disclosure Statement is available at: http://bankrupt.com/misc/nysb16-22023-56.pdf AC I Toms River LLC owns the real property and improvements thereon located at 1400 Hooper Avenue, Toms River, New Jersey, from which the shopping center commonly known as Hooper Commons operates. The property consists of 28 storefronts, of which 25 are occupied. The anchor tenants at the property are Dollar Tree, DSW and Michaels. The property is currently the subject of a foreclosure action commenced by RCG. CBRE is the court-appointed rent receiver who currently manages the property. The Debtor filed for Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case No. 16-22023) on Jan. 8, 2016. Arnold Mitchell Greene, Esq., at Robinson Brog Leinwand Greene Genovese & Gluck, PC, serves as the Debtor's bankruptcy counsel. ACE CASH: Moody's Lowers CFR to Ca; Outlook Stable -------------------------------------------------- Moody's Investors Service downgraded Ace Cash Express, Inc.'s corporate family rating and senior secured rating to Ca from Caa1. The outlook is stable on both ratings. The rating action follows Ace's announced note exchange and cash tender offer, which Moody's views as a distressed exchange and default under its definitions. RATINGS RATIONALE The downgrade of Ace's ratings follows the company's announcement on Sept. 27, that it is offering to exchange $252 million, or 76% of its $332 million 11% senior secured notes maturing February 2019, into new notes maturing in 2022. An affiliate of Ace’s sponsor JLL Partners, which holds the remainder of the notes, will not participate in the exchange offer but will instead exchange its holdings for the new notes as per a separate exchange agreement. Concurrently with the exchange offer, the affiliate of the sponsor is commencing a cash tender offer for up to $73.5 million, which will be conducted through a Modified Dutch Auction. The exchange offer period expires on Oct. 25, 2016. Moody's views the announced exchange as a distressed exchange given 1) the untenable capital structure of the company, which has a substantial tangible equity deficit and large amounts of debt; 2) indication of default avoidance through the extension of the maturity of the notes, which represents restructuring; and 3) substantial losses that Moody's expects bondholders to realize on the Sponsor's cash tender offer. The corporate family and senior secured rating of Ca indicates a loss that would be incurred by Ace's bondholders participating in the Sponsor's cash tender offer, which would be executed at $0.45-$0.65, with an additional $0.05 premium for an early tender done by Oct. 11. A rating downgrade is unlikely given the current debt rating of Ca, which reflects potential losses on the transaction. Should the transaction be consummated, Ace's ratings could be upgraded to reflect the company's new capital structure with lower amounts of debt and extended debt maturities. The principal methodology used in these ratings was Finance Companies published in October 2015. AGFEED USA: Court Narrows Claims in Suit vs. Former Director ------------------------------------------------------------ Judge Brendan Linehan Shannon of the United States Bankruptcy Court for the District of Delaware granted in part and denied in part the motion filed by K. Ivan F. Gothner to dismiss the adversary proceeding captioned JLL CONSULTANTS, INC., AS TRUSTEE OF THE AGFEED LIQUIDATING TRUST Plaintiff, v. K. IVAN F. GOTHNER, Defendant, Adv. No. 15-50210 (BLS) (Bankr. D. Del.). JLL initiated the adversary proceeding against Gothner for acts committed during his time as a director, Chair of the Audit Committee, Vice-Chairman and Chairman of the Board of AgFeed Industries, Inc. The second amended complaint alleged the following 10 counts against Gothner: (I) Breach of Fiduciary Duty (Duty of Care); (II) Breach of Fiduciary Duty (Duty of Loyalty); (III)-(V) Fraudulent Transfers; (VI) Recovery of Avoidable Transfers; (VII) Disallowance of Claims; (VIII) Recoupment; (IX) Setoff; and (X) Intentional Misrepresentation. Count I of the alleged that Gothner breached his fiduciary duty of care by causing AFI to fail to fully disclose accurate information related to the accounting fraud in China before September 2011, and by "failing to properly supervise and monitor the adequacy of AgFeed's internal controls..." Judge Shannon explained that a director may be liable for breach of fiduciary duty if he "knowingly" or "deliberately" disseminates false information. However, the judge found that the Trustee failed to allege that Gothner had actual knowledge of the falsity of the Company's statements, and that he allegedly made and acted with scienter in making the statements. Count II alleged that Gothner breached his fiduciary duty of loyalty in three ways: (a) by receiving and retaining compensation under the Employment Agreement; and by causing AgFeed to enter into transactions with (b) Minds Islands and (c) Walston DuPont. Judge Shannon found that the amended complaint failed to allege who approved the Employment Agreement and as such, the Trustee cannot rebut the business judgment rule. Additionally, the judge also found that the complaint did not allege that Gothner stood on both sides of the Employment Agreement's approval, therefore it provides no basis for a breach of loyalty claim. Judge Shannon also found that the amended complaint failed to allege whether Gothner had any role in the transactions with Minds Islands and Walston DuPont, or that Gothner stood on both sides of the transaction. As a result, Judge Shannon concluded that the amended complaint failed to allege sufficient facts regarding the Minds Islands and Walston DuPont transactions to support a cause of action for breach of the duty of loyalty. Count III alleged that Gothner received a total of $772,000 in salary and additional health benefits under the Employment Agreement between January 1, 2012, and July 15, 2013, that the transfers were made without fair consideration and that the Debtor was functionally insolvent at the time of each transfer. Judge Shannon, however, found that the complaint did not allege that Gothner received any compensation that he was not owed under the Employment Agreement, and that the Trustee in conclusory fashion merely argued that simply because Gothner made twice as much as the previous CEO, the payments must be excessive. Judge Shannon held that the amended complaint's conclusory allegations are insufficient to survive a motion to dismiss. Judge Shannon also dismissed the actual fraud claim in Count IV of the amended complaint because it alleged no additional facts to cure the defects of the original complaint. The court had previously dismissed the original complaint's claims that the Minds Island Payments constituted actually fraudulent transfers for two reasons because the original complaint did not identify who made the alleged transfers, nor the facts and circumstances of the alleged fraud. However, Judge Shannon denied Gothner's motion to dismiss the constructive fraud claim under Count IV of the amended complaint. The judge's denial was for the same reasons as stated by the court when it previously denied Gothner's motion to dismiss with regard to this claim. Count V of the amended complaint alleged that numerous transfers are constructively fraudulent transfers under applicable state law. Gothner's motion to dismiss with regard to this claim in the original complaint was previously denied by the court. Judge Shannon again denied the motion with respect to the amended complaint for the same reasons stated in the court's prior ruling. Because Counts IV and V are not being dismissed in their entirety, Judge Shannon held that Counts VI and VII do not fail to state a claim upon which relief may be granted. Count VIII of the amended complaint alleged that the Trustee is able to "recoup the damages awarded to the Trustee under Counts I through VI against any amounts owed to Gothner under his Employment Agreement." However, Judge Shannon explained that recoupment is a defense, not a cause of action. Thus, the judge held that it is improper for the Trustee to allege recoupment as a cause of action. Count IX of the amended complaint alleged that the "[u]nder both Nevada and Massachusetts state law, the Trustee may setoff any amounts owed to Gothner under his Employment Agreement against the damages awarded to the Trustee on Counts I through V." Judge Shannon held that because setoff is a defense available to the debtor —- rather than a cause of action —- it is improper for the Trustee to allege setoff in the amended complaint. Count X of the amended complaint alleged that Gothner engaged in intentional misrepresentation by nondisclosure. The Trustee brought Count X under the theory of common law fraud. However, Judge Shannon held that fraud claims are personal claims that belong to affected stockholders, not the Company and thus, Count X must be dismissed. In summary, Judge Shannon granted Gothner's motion to dismiss with respect to Counts I, II, III, VIII, IX and X in their entirety, and granted the motion with respect to Count IV's claims for actual fraud. Judge Shannon denied the motion with regards to the remainder of Count IV, and the entirety of Counts V, VI, and VII. The bankruptcy case is In re: AgFeed USA, LLC, et al, Chapter 11, Debtors, Case No. 13-11761 (BLS) Jointly Administered (Bankr. D. Del.). A full-text copy of Judge Shannon's September 13, 2016 opinion is available at https://is.gd/jIn70q from Leagle.com. JLL Consultants, Inc., Not Individually but Solely as Trustee of the AgFeed Liquidating Trust is represented by: Shelley A. Kinsella, Esq. Jonathan M. Stemerman, Esq. Eric Michael Sutty, Esq. ELLIOTT GREENLEAF 1105 Market Street, Suite 1700 Wilmington, DE 19801 Tel: (302)384-9400 Fax: (302)384-9399 Email: sak@elliottgreenleaf.com jms@elliottgreenleaf.com ems@elliottgreenleaf.com K. Ivan F. Gothner is represented by: William Pierce Bowden, Esq. Frederick T. Mickler, IV, Esq. Stacy L. Newman, Esq. ASHBY & GEDDES 500 Delaware Avenue Wilmington, DE 19899 Tel: (302)654-1888 Fax: (302)654-2067 Email: wbowden@ashby-geddes.com snewman@ashby-geddes.com About AgFeed Industries AgFeed Industries, Inc., has 21 farms and five feed mills in China producing more than 250,000 hogs annually. In the U.S., the business included 10 sow farms in three states and two feed mills producing more than one million hogs a year. AgFeed's revenue in 2012 was $244 million. AgFeed and its affiliates filed voluntary petitions under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 13-11761) on July 15, 2013, with a deal to sell most of its subsidiaries to The Maschhoffs, LLC, for cash proceeds of $79 million, absent higher and better offers. The Debtors estimated assets of at least $100 million and debts of at least $50 million. Keith A. Maib signed the petition as chief restructuring officer. Hon. Brendan Linehan Shannon presides over the case. Donald J. Bowman, Jr., and Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor, serve as the Debtors' counsel. BDA Advisors Inc. acts as the Debtors' financial advisor. The Debtors' claims and noticing agent is BMC Group, Inc. The U.S. Trustee has appointed a five-member official committee of unsecured creditors to the Chapter 11 cases. The Creditors' Committee tapped Lowenstein Sandler as lead bankruptcy counsel and Greenberg Traurig, LLP, as co-counsel. CohnReznick LLP serves as the Creditors' Committee's financial advisor. An official committee of equity security holders was also appointed to the Chapter 11 cases. The Equity Committee tapped Sugar Felsenthal Grais & Hammer LLP and Elliott Greenleaf as co-counsel. Jefferies Leveraged Credit Products and Claims Recovery Group are represented by Lawrence J. Kotler, Esq., and Catherine B. Heitzenrater, Esq., at Duane Morris, LLP. AgFeed USA, LLC, et al., notified the Bankruptcy Court that the Effective Date of the Revised Second Amended Plan of Liquidation occurred on Nov. 10, 2014. As reported in the Troubled Company Reporter on Nov. 7, 2014, the Court confirmed the revised second amended plan, which was supported by the Official Committee of Equity Security Holders. ALLISON ROBINSON: Selling Olympic Valley Property for $2.4M ----------------------------------------------------------- Allison Nemir Robinson asks the U.S. Bankruptcy Court for the District of Nevada to authorize the sale of real property located at 91 Winding Creek Road, Olympic Valley, California, to Steve Lehman or assigns for the sum of $2,350,000, subject to overbid. The property is not the Debtor's primary residence, but was received by the Debtor pursuant to a Marital Settlement Agreement with her ex-husband Michael E. Robinson ("Marital Settlement Agreement"). It has been listed for approximately 3 years and was ultimately auctioned on Aug. 30, 2016 with Mr. Lehman, the successful purchaser. The sale will go a long way to facilitate a reorganization of the Debtor. Specifically the sale will pay off a first deed of trust having a balance of approximately $1,512,000, and a second deed of trust payable to the Debtor's ex-husband Michael E. Robinson, in the amount of $800,000. Furthermore, the sale will reduce expenses associated with the property in the approximate amount of $15,000 per month. Under the California Residential Purchase Agreement and Joint Escrow Instructions ("Purchase Agreement"), the proposed purchase price is $2,350,000. The sale is to be free and clear of liens. Close of escrow is scheduled to occur on Sept. 30, 2016. At this point the Debtor is in negotiations to extend the close of escrow until Oct. 4, 2016, but as of the filing the purchaser has not agreed to an extension. A copy of the Purchase Agreement attached to the Motion is available at: http://bankrupt.com/misc/Allison_Robinson_6_Sales.pdf Overbidding will be allowed at the hearing on approval of the Motion for the purchase and sale of the property. There has been no order sought or obtained dictating the manner in which overbidding may be conducted. As set forth in the preliminary title report, these creditors have secured claims against the property: a. The UBS Bank U.S.A. for its first deed of trust against the property in the approximate amount of $1,515,000 to be paid in full at closing; b. Mr. Robinson for his second deed of trust against the property in the approximate amount of $800,000 to be paid in full at closing; and c. Mr. Robinson for his third deed of trust against the property in the approximate amount of $703,000. The current sale is conducted pursuant to an agreement with Concierge Auctions, LLC. The Debtor determined that in light of the length of time in which the property had been listed for sale, and the reputation and success rate of Concierge, the best manner of proceeding with the sale was pursuant to an auction arraignment with Concierge. Concierge conducted substantial advertising of the property in order to insure that the maximum price was obtained. In order to generate sufficient proceeds to pay all costs of sale and pay off the first and second deeds of trust, there will be a shortfall of approximately $266,000 to $325,000. The Debtor has reached an agreement with her parents, Claudia M. Nemir and Howard F. Nemir to borrow the sum of $325,000 in order to consummate the sale. Under the terms of the agreement, the obligation will bear interest at the rate of 0.05% per annum, will require no monthly payments, and will be due 10 years following the date of the loan (Sept. 29, 2016 to Sept. 29, 2026). The loan will be unsecured and will not have administrative priority. The Debtor proposes to pay from escrow all of the costs of the sale, the obligation to UBS Bank U.S.A. in the approximate amount of $1,515,000 secured by a first deed of trust against the property, and the obligation to Mr. Robinson in the approximate amount of $800,000 secured by a second deed of trust against the property. Pursuant to the Purchase Agreement the Buyer is entitled to an opening bid incentives credit in the amount of $180,000, which will be credited towards the purchase price. The Debtor also proposes to pay real estate commissions. The Debtor does not propose to pay the obligation to Mr. Robinson secured by a third deed of trust against the property. The parties anticipated that the sale of the property may be insufficient to pay the third deed of trust and contemplated an alternate method for payment of the equalizing payment. For this reason also the lien evidenced by the third deed of trust is in dispute. Prior to the commencement of the case the Debtor entered into an agreement with Concierge to market and sell the property ("Listing Agreement"). Pursuant to the Listing Agreement Concierge is entitled to a commission of 10% of the sales price. The Debtor submits that the proposed sale should be approved. The sale is for fair value based upon the fact that the Property has been listed for 3 years and the proposed sale is the best price that has been obtained. The sale substantially reduces the secured debt of the Debtor, and substantially reduces the Debtor's ongoing expenses. The Debtor also requests that the loan from her parents be approved in order to facilitate the sale. The Debtor also requests approval to pay the real estate commission as set forth. The Debtor asks that the hearing be conducted on shortened time in order to facilitate the close of escrow for the property. The loan is necessary to avoid immediate and irreparable harm to the estate pending formal hearing. Accordingly, the Debtor requests that a final hearing be set on at least 14 days' notice pursuant to F.R.B.P. 4001 (c)(2). Proposed Counsel for the Debtor: Alan R. Smith, Esq. LAW OFFICES OF ALAN R. SMITH 505 Ridge Street Reno, NV 89501 Telephone: (775) 786-4579 Facsimile: (775) 786-3066 E-mail: mail@asmithlaw.com ALTOS HORNOS: U.S. Court OKs General Payment Agreement ------------------------------------------------------ Altos Hornos de Mexico S.A.B. de C.V. ("AHMSA" or the "Company"), one of Mexico's largest integrated steel producers, reported that the U.S. federal court for the District of Delaware (the "U.S. Court") on Sept. 30 gave full force and effect in the U.S. to the Company's general payment agreement (the "Restructuring Plan") and the order of the Mexican Court approving the Restructuring Plan (the "Lifting Order"). In recognizing the now final Lifting Order, the U.S. Court ruled that AHMSA's assets situated in the U.S. are immune from enforcement actions by Recognized Creditors with claims in the SP Proceeding and further enjoined U.S. creditors with claims in the SP Proceeding from seeking to enforce their claims against those assets. The ruling by the U.S. Court also allows AHMSA to invoke the jurisdiction of the U.S. Court to enforce the prior relief granted by the Mexican Court. In addition, AHMSA announced that the U.S. Court on Sept. 30 (i) recognized AHMSA's SP Proceeding as the foreign main proceeding under chapter 15, (ii) recognized Mr. Francisco Xavier Gaxiola Fernandez as the foreign representative (the "Foreign Representative"), and (iii) granted related relief on a final basis. No objections were filed by any creditors or parties-in-interest to AHMSA's petition for chapter 15 protection and related relief, which was previously filed on behalf of the Company by the Foreign Representative. The U.S. Court ruling follows the acceptance of the Restructuring Plan by recognized creditors at its April 18, 2016 creditors meeting and the subsequent lifting of the Company's SP Proceeding, approved by the Mexican Court through the Lifting Order issued on May 16, 2016. The Lifting Order and the conclusion of AHMSA's SP Proceeding is a final, non-appealable matter, as the applicable appeals period in Mexico expired without an appeal having been filed and without creditor opposition. The chapter 15 process provided AHMSA with a centralized venue to address matters related to its administration of the approved Restructuring Plan and the enforcement of the Lifting Order in the U.S. Recognition of AHMSA's SP Proceeding as the foreign main proceeding by the U.S. Court gives full effect and force to the Lifting Order in the U.S., facilitating the orderly implementation of the approved Restructuring Plan. Additionally, the granting of related relief by the U.S. Court enjoins all parties in the U.S. from commencing or taking any action to obtain possession of, exercise control over, or assert claims against AHMSA or its assets in the U.S. in contravention of the Restructuring Plan or the Lifting Order. AHMSA stated: "Securing the recognition, protection and related relief afforded by the U.S. chapter 15 process is the final step in the implementation of AHMSA's restructuring process. We are excited about the future prospects for AHMSA, given the positive trends in Mexico's domestic energy and manufacturing sectors, and look forward to enhancing our competitive position as one of Mexico's largest integrated steel producers with the sound capital structure developed through the Restructuring Plan." About AHMSA Altos Hornos de Mexico S.A.B. de C.V., an integrated steel producer, has two steel plants located in Monclova, Coahuila, and operates its own iron and metallurgical coal mines. Its current nominal production capacity is more than 5 million tons of liquid steel per year, which is then transformed into diverse finished products. Additionally, AHMSA operates thermal coal mines in Mexico. It employs over 19,000 workers in steel plants, mines and services. ANDREW COLEMAN: Unsecureds To Be Paid From Remaining Sale Proceeds ------------------------------------------------------------------ Andrew L. Coleman and Shirley L. Coleman filed a disclosure statement dated Sept. 20, 2016, describing the Debtors' plan of reorganization dated Sept. 20, 2016. The Class 3 General Unsecured Claims are impaired. SEDA-COG and US Bank on account of their deficiency claims will be paid pro rata on the effective date of the Plan from the remaining proceeds of sale of Ms. Coleman's interest in the Coleman's Asphalt site and the Osceola Mills Carwash site and from the vehicles, equipment, and inventory of both businesses. Debtor Andrew Coleman will pay SEDA-COG on account of its Class 2A secured claim from proceeds of a loan from his mother. Debtor Shirley Coleman will pay SEDA-COG on account of its Class 2B secured claim, Members First Federal Credit Union on account of its Class 2D secured claim, and Community Bank, N.A., on account of its Class 2E secured claim from her pension income. The Debtors' daughter will pay County National Bank on account of its Class 2C secured claim from her own income. The bankruptcy estate will pay U.S. Bank on account of its Class 2F secured claim, any Class 1 priority claims and Class 3 general, unsecured creditors from the sale of the real and personal business assets of Coleman's Asphalt and Osceola Mills Carwash. The Disclosure Statement is available at: http://bankrupt.com/misc/pamb15-04464-56.pdf Andrew L. Coleman and Shirley L. Coleman filed for Chapter 11 bankruptcy protection (Bankr. M.D. Penn. Case No. 15-04464) on Oct. 14, 2015. AS SEEN ON TV: Marcum LLP Casts Going Concern Doubt --------------------------------------------------- As Seen On TV, Inc., and subsidiaries filed with the U.S. Securities and Exchange Commission its annual report on Form 10-KT, disclosing a net loss of $46.37 million on $18.90 million of revenues for the year ended Dec. 31, 2014, compared to a net loss of $4 million on $14.73 million of revenues for the year ended Dec. 31, 2013. Marcum LLP expressed substantial doubt about the Company's ability to continue as a going concern, citing that the Company has experienced recurring losses from operations since inception, which losses have caused an accumulated deficit of approximately $49.6 million as of December 31, 2014. At December 31, 2014, the Company had a working capital deficit of approximately $35.5 million. As of Dec. 31, 2014, As Seen on TV had $11.84 million in total assets, $59.33 million in total liabilities, $2.70 million in redeemable preferred stock and a total stockholders' deficit of $50.19 million. A copy of the Form 10-KT is available at: https://is.gd/wfk23K About As Seen on TV Austin, Texas-based As Seen On TV, Inc., is a direct response marketing company. It identifies, develops, and markets consumer products. ASHLAND GLOBAL: S&P Assigns 'BB' CCR; Outlook Stable ---------------------------------------------------- S&P Global Ratings said that it assigned its 'BB' corporate credit rating to Ashland Global Holdings Inc. The rating outlook is stable At the same time, S&P affirmed its ratings on Ashland LLC, including the 'BB' corporate credit rating. The rating outlook is stable. "The stable rating outlook on Ashland Global and Ashland LLC (collectively, Ashland) reflects our belief that Ashland will remain committed to maintaining, or slightly improving, its credit measures following the spin-off of the Valvoline Inc. Business," said S&P Global Ratings' credit analyst Daniel Krauss. "Ashland recently closed on its IPO of Valvoline, and we believe its credit risks have diminished somewhat because it has taken an important step forward in executing its plan for the spin-off." The company expects to distribute Valvoline's remaining stock to its shareholders following the expiration of the 180-day IPO lock-up period. With about $2 billion in revenues, Valvoline represented over one-third of the combined company's revenues and EBITDA. S&P expects that Ashland will use most of the proceeds from the Valvoline debt issuance and the IPO to repay its outstanding debt. Although S&P believes the Valvoline business provided Ashland with a fair degree of diversity and scale, S&P's satisfactory business risk profile assessment on Ashland, reflects the company's solid profitability, leading market positions, and geographic diversity. The stable outlook reflects S&P's expectation that Ashland's management will remain committed to maintaining financial policies that support an improving financial risk profile. Specifically, S&P expects that management will meaningfully reduce debt in an effort to maintain credit measures at, or slightly above, current levels. Given the company's satisfactory business risk profile, S&P considers a pro forma weighted-average FFO to debt ratio of 15%-20% as appropriate for the current rating. S&P could raise the corporate credit rating by one notch within the next year if it believes pro forma weighted-average FFO to debt appears will strengthen to the 20%-25% level on a sustainable basis. This could occur if organic revenues increase by more than 5%, combined with EBITDA margins that are 200 basis points higher than S&P's current forecast. Before considering an upgrade, S&P would also need to gain more clarity regarding Ashland's financial policies, including the potential for debt-funded acquisitions and additional large share repurchases. S&P could lower the rating within the next year if the company's performance deteriorates and it believes its pro forma weighted-average FFO to debt will likely to drop below 12% on a sustainable basis. This could occur if organic revenues declined by 10% along with EBITDA margins, which are 200 basis points or more below S&P's expectations. S&P could also consider a modest downgrade if it assess that Ashland's future financial policy decisions will be more aggressive, reflecting the potential for meaningful debt-funded shareholder rewards or acquisitions. Additionally, S&P could consider a downgrade if Ashland's volatility of profitability increases meaningfully following the Valvoline spin-off, such that S&P could consider revising the company's business risk profile assessment to fair from satisfactory. ASHLEY I LLC: Amended Plan Clarifies Plan Administrator's Role -------------------------------------------------------------- Ashley I, LLC, has filed court papers with the U.S. Bankruptcy Court for the District of South Carolina, which contain amendments to its proposed Chapter 11 plan of reorganization. The amendments clarify, among other things, that the plan administrator will be an independent party selected by Ashley I after consultation with creditors and the U.S. trustee. The plan administrator will be responsible for the post-confirmation management of the company. The identity of the plan administrator will be filed of record within 10 business days of any objection deadline on confirmation of the plan. The amendments also clarify that any Chapter 5 causes of action would be pursued by Ashley I at the direction of the plan administrator of the liquidating trust, exercising the trust's authority as the sole member of the company. A copy of the court document is available for free at https://is.gd/gsu2lN Ashley I's bankruptcy case is jointly administered with the case of Ashley II of Charleston LLC, which filed a separate Chapter 11 plan of reorganization. About Ashley I Ashley I, LLC, and Ashley II of Charleston, LLC, sought protection under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the District of South Carolina (Charleston) (Lead Case No. 16-00559) on Feb. 8, 2016. The petitions were signed by Prodel, LLC manager. The Debtors are represented by G. William McCarthy, Jr., Esq., William Harrison Penn, Esq., and Daniel J. Reynolds, Jr., Esq., at McCarthy, Reynolds & Penn, LLC. At the time of the filing, Ashley I disclosed total assets of $5.17 million and total debts of $18.71 million. The Office of the U.S. Trustee disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of Ashley II of Charleston, LLC. ASHLEY II: Chap. 11 Plan Clarifies Plan Administrator's Role ------------------------------------------------------------ Ashley II of Charleston, LLC has filed court papers with the U.S. Bankruptcy Court for the District of South Carolina, which contain amendments to its proposed plan to exit Chapter 11 protection. The amendments clarify, among other things, that the plan administrator will be an independent party selected by Ashley II after consultation with creditors and the U.S. trustee, and will be responsible for the post-confirmation management of the company. The identity of the plan administrator will be filed of record within 10 business days of any objection deadline on confirmation of the plan. The amendments also clarify that Ashley II would pursue any Chapter 5 causes of action at the direction of the plan administrator of the liquidating trust, exercising the trust's authority as the sole member of the company. A copy of the court document is available for free at https://is.gd/IoC95J Ashley II's bankruptcy case is jointly administered with the case of Ashley I LLC, which filed a separate Chapter 11 plan of reorganization. About Ashley I Ashley I, LLC, and Ashley II of Charleston, LLC, sought protection under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the District of South Carolina (Charleston) (Lead Case No. 16-00559) on Feb. 8, 2016. The petitions were signed by Prodel, LLC manager. The Debtors are represented by G. William McCarthy, Jr., Esq., William Harrison Penn, Esq., and Daniel J. Reynolds, Jr., Esq., at McCarthy, Reynolds & Penn, LLC. At the time of the filing, Ashley I disclosed total assets of $5.17 million and total debts of $18.71 million. The Office of the U.S. Trustee disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of Ashley II of Charleston, LLC. AYTU BIOSCIENCE: EKS&H LLLP Raises Going Concern Doubt ------------------------------------------------------ Aytu BioScience, Inc., filed with the U.S. Securities and Exchange Commission its annual report on Form 10-K, disclosing a net loss of $28.18 million on $2.56 million of total revenue for the fiscal year ended June 30, 2016, compared with a net loss of $7.72 million on $261,782 of total revenue in 2015. EKS&H LLLP states that the Company has suffered recurring losses from operations and has a net capital deficiency that raises substantial doubt about the Company's ability to continue as a going concern. The Company's balance sheet at June 30, 2016, showed $24.34 million in total assets, $14.26 million in total liabilities, and a total equity of $10.08 million. A copy of the Form 10-K is available at: https://is.gd/Y6J6rz Aytu BioScience, Inc., is a commercial-stage healthcare company focused on acquiring, developing and commercializing products in the field of urology. The Company is initially concentrating on hypogonadism, prostate cancer, urinary tract infections, and male infertility and plan to expand into other urological indications for which there are significant medical needs. The Company markets ProstaScint (capromab pendetide), a radio imaging agent indicated to detect the prostate specific membrane antigen (PSMA) in the assessment and staging of prostate cancer. BASIC FOOD GROUP: Unsecureds To Recover 10% Under Plan ------------------------------------------------------ Basic Food Group, LLC, filed with the U.S. Bankruptcy Court for the Southern District of New York a disclosure statement to accompany the Debtor's plan of reorganization dated Sept. 21, 2016. Class 2 Convenience General Unsecured Creditors, excluding the landlord and former landlord, total $49,313.44. Allowed Class 2 Claims will receive a distribution of 10% on the Effective Date. This class is impaired and entitled to vote on the Plan. The Class 3 General Unsecured Claim of Noah Bank in an amount of $1,385,544.40, if allowed, will be treated as set forth, and in conjunction with, the information in Class 1, wherein, among other things, the interest holders will surrender their equity in the Debtor to Noah Bank in complete satisfaction of the claim. Noah Bank will have the right to operate the business of the Debtor. Class 3 is not impaired and not entitled to vote on the Plan. The Reorganized Debtor will realize the funds to pay allowed administration claims, allowed tax claims and the allowed Class 2 Claims from operations and the lease cancellation agreement. All monies will be distributed in accordance with the terms of the Plan. The Disclosure Statement is available at: http://bankrupt.com/misc/nysb15-10892-90.pdf Headquartered in New York, New York, Basic Food Group, LLC, dba Zeytinz, filed for Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case No. 15-10892) on April 10, 2015, listing $3.29 million in total assets and $1.5 million in total liabilities. The petition was signed by Jaeho Lee, president. Judge James L. Garrity Jr. presides over the case. Rosemarie E. Matera, Esq., at Kurtzman Matera, PC, serves as the Debtor's bankruptcy counsel. BENJAMIN HALL: Disclosures Okayed; Plan Hearing on Nov. 10 ---------------------------------------------------------- The Hon. Joan N. Feeney of the U.S. Bankruptcy Court for the District of Massachusetts has approved Benjamin L. Hall, Jr.'s third amended disclosure statement explaining the Debtor's third amended plan dated Sept. 6, 2016. The hearing to consider the confirmation of the Debtor's Plan will be held on Nov. 10, 2016, at 11:00 a.m. Objections to the confirmation of the Plan must be filed by Nov. 8, 2016. Replies to the objections must be filed by 4:30 p.m. (prevailing Eastern time) three days prior to the confirmation hearing. Ballots must be delivered to the Debtor's counsel by 5:00 p.m. (prevailing Eastern time) the 10th business day prior to the Confirmation Hearing by Oct. 31, 2016. Benjamin L. Hall, Jr., filed with the U.S. Bankruptcy Court for the District of Massachusetts a third amended disclosure statement dated Sept. 6, 2016, which provides for these payments to holders of Class 3 General Unsecured Claims: (i) Year 1: $39,071, with $14,335 being paid within 10 days of the Confirmation date; and (ii) the balance be paid over the remaining 60 months of the Plan as follows: Year 2: $44,284; Year 3: $20,731; Year 4: $20,472; Year 5: $20,213. The Plan provides for the application of all net proceeds totaling $797,654.36 derived from the sales of the sale of the properties in 110 North 4th Street, Edgartown, Massachusetts 110 North 5th Street, Edgartown, Massachusetts, to the MVSB Obligation. In addition, the Debtor will devote all of his net income from Seagate, Inc., his insurance business and law practice for a period five years or until all allowed claims are paid in full and provided present value compensation, whichever occurs sooner. The Debtor holds a total of 48% of the shares of stock of Seagate. A full-text copy of the Third Amended Disclosure Statement is available at http://bankrupt.com/misc/15-10973-306.pdf Benjamin L. Hall, Jr., filed for Chapter 11 bankruptcy protection (Bankr. D. Mass. Case No. 15-10973) on March 18, 2015. BGM PASADENA: Disclosures OK'd; Plan Confirmation Hearing on Dec. 1 ------------------------------------------------------------------- The Hon. Sheri Bluebond of the U.S. Bankruptcy Court for the Central District of California has approved BGM Pasadena, LLC's second amended disclosure statement dated Sept. 19, 2016. A hearing to consider the confirmation of the Plan and a continued case management conference will be held on Dec. 1, 2016, at 10:30 a.m. Any opposition to confirmation of the Plan will be filed by Oct. 31, 2016. Ballots accepting or rejecting the Plan must be received by Debtor's counsel at the address specified in the Disclosure Statement on or before Oct. 31, 2016. The Debtor will file and serve a memorandum of points and authorities and a declaration setting forth the results of voting on the Plan with a copy of the ballots attached on or before Nov. 18, 2016. About BGM Pasadena BGM Pasadena, LLC, a single asset real estate, filed Chapter 11 bankruptcy petition (Bankr. C.D. Cal. Case No. 15-27833) on Nov. 20, 2015. Greg Galletly, the manager, signed the petition. The Debtor estimated assets in the range of $10 million to $50 million and liabilities of at least $1 million. James A. Tiemstra, Esq., and Lisa Lenherr, Esq., at Tiemstra Law Group PC, in Oakland, California, serve as counsel to the Debtor. Judge Richard M. Neiter has been assigned the case. BINDER MACHINERY: Selling Substantially All Assets -------------------------------------------------- Binder Machinery, Co., LLC, and affiliates ask the U.S. Bankruptcy Court for the District of New Jersey to authorize the sale of substantially all assets by way of auction sale. The Debtor is a heavy construction machinery distribution business headquartered in South Plainfield, New Jersey. Its revenues are generated from machinery sales, rentals, parts, sales, and services. Employing 87 individuals and enjoying a customer base of approximately 4,000 construction contractors, Binder has been a profitable and successful family owned business since it was founded in 1957. Beginning with the economic recession in 2008 and the slow recovery thereafter, the company encountered difficulty servicing its senior debt with Komatsu America Corp. and Sun National Bank (the Sun National Bank debt was later acquired by Sandton Capital Partners, L.P.). The Sun-Sandton debt was largely refinanced by Callidus Capital Corp. on Dec. 4, 2015. On Sept. 21, 2016, the Debtors filed a Motion for the Entry of Interim and Final Orders, Pursuant to 11 U.S.C. Sections 105, 361, 362, 363, 364, and 507 and Fed. R. Bankr. P. 2002, 4001 and 9014 (I) Authorizing Debtors and Debtors-in-Possession to Obtain Post-Petition Financing, (II) Authorizing Use of Cash Collateral, (III) Granting Liens and Super-priority Claims, (IV) Granting Adequate Protection to Prepetition Secured Lenders, (V) Modifying the Automatic Stay; (VI) Scheduling a Final Hearing, and (VII) Granting Related Relief ("DIP Motion"), which fully sets forth the relationships among the Debtors and their lenders. The DIP Motion further seeks authorization for the Debtors to execute, deliver, and enter into that certain Ratification and Amendment Agreement dated as of Sept. 26, 2016 ("Ratification Agreement"), which ratifies, extends, adopts, and amends the Pre-Petition Loan Agreement and the other Pre-Petition Credit Documents. The Ratification Agreement contains certain express covenants and conditions pertaining to a sale process ("Sale Milestones"). In accordance with the Ratification Agreement and the Sale Milestones contained therein, the Debtors submit the Motion, seeking authority to sell, assign, transfer, convey and deliver to the successful bidder all of their collective right, title, and interest in all or substantially all of the Debtors' assets ("Purchased Assets"). Subject to the terms of a negotiated sale agreement, the Purchased Assets will be sold to the successful bidder free and clear of all existing liens, claims, and encumbrances for a sum that is determined to be the highest or otherwise best bid, which bid will provide for, inter alia, payment the 67th day following the Petition Date of a minimum cash amount not less than the amount required to satisfy the Obligations owed to Callidus. The Purchased Assets are being sold "as is, where is" with no representations of any kind. The Purchased Assets can be sold in their entirety, in lots or separately in the discretion of the Debtors in conjunction with their advisors and after consultation with the Lender and any Official Committee of Unsecured Creditors. The parties' target that the closing and consummation of the sale of the Purchased Assets will occur on or before the 67th day following the Petition Date. The successful bidder may assume, agree to pay, discharge or satisfy any debt, liability, or obligation of the Debtors, provided that the successful bidder, independent of the Debtors, reaches an agreement with the affected creditor. The Debtors, in the exercise of their sound business judgment, have determined to sell Purchased Assets and believe that an open sale process will achieve a fair market price and maximize value to their various creditor constituencies. In furtherance of the objective, the Debtors' businesses and assets will be subject to a marketing effort and only the highest or otherwise best qualified offer submitted by a bidder will be successful. Accordingly, the Debtors seek the Court's approval of the following bid procedures ("Bid Procedures"): a. Purchased Assets: The Debtors are offering all or substantially all of their assets for sale. The Debtors will retain all rights and title to assets that are not subject to a bid accepted by the Debtors, after consultation with the Lender and any Committee of Unsecured Creditors, and approved by the Bankruptcy Court at the Sale Hearing. b. Good Faith Deposit: 10% of the total proposed purchase price c. Bid Deadline: Nov. 11, 2016 at 5:00 p.m. d. Terms: The sale of the Purchased Assets shall be on an "as is, where is" basis and without representations or warranties of any kind, nature, or description by the Debtors, their agents or estates, except to the extent set forth in the proposed agreement of the successful bidder. e. Credit Bid: The Debtors acknowledge and agree the Lender is deemed to be a qualified bidder without any further action. f. Auction: The Debtors will conduct an auction at the offices of Dilworth Paxson LLP, 1500 Market Street, Suite 3500E, Philadelphia, PA on Nov. 16, 2016 at 11:00 a.m. (PET). g. Sale Hearing: Nov. 21, 2016 h. Sale Closing: Nov. 28, 2016 A copy of the Bidding Procedures attached to the Motion is available for free at: http://bankrupt.com/misc/Binder_Machinery_48_Sales.pdf The Debtors believe that establishing the Bidding Procedures for bidding on the Purchased Assets will allow them to promptly review, analyze and compare all bids received and determine if a bid or bids are in the best interests of the bankruptcy estates of the Debtors. The Debtors propose that 1 business day after the conclusion of the auction, they will file with Court a supplement outlining the identity of the successful bidder of the Purchased Assets and the purchase price received therefore. The Debtors request that the Court waive the 14-day stay set forth in Bankruptcy Rule 6004(h). About Binder Machinery Headquartered in South Plainfield, New Jersey, Binder Machinery Co, LLC is a seller of heavy construction machinery including aggregate equipment, paving machines, cranes, telehandlers and purpose-built material handlers. Komatsu, Wirtgen, Hamm, Vogele, Sennebogen, SANY, Kinshofer, and Chicago Pneumatic are among the manufacturers for whom Binder and Rocbin Investment Corp., its subsidiary, provide distributor services. The Company was founded in 1957 by the late Walter Binder. It employs 87 individuals and enjoys a customer base of approximately 4,000 construction contractors. Binder Machinery Co, LLC, sought Chapter 11 protection (Bankr. D. N.J. Case No. 16-28015) on Sept. 20, 2016. Judge Kathryn C. Ferguson is assigned to the case. The Debtor estimated assets and liabilities in the range of $10 million to $50 million. The Debtor tapped Anne Marie Aaronson, Esq., and Catherine G. Pappas, Esq., at Dilworth Paxson, LLP, as counsel. The petition was signed by Robert C. Binder, manager, chief executive officer. BINITA & SAPNA: Have Until Oct. 5 to Use Ridgestone Bank Cash ------------------------------------------------------------- Judge Deborah L. Thorne of the U.S. Bankruptcy Court for the Northern District of Illinois authorized Binita & Sapna Corp. and 1511 North Avenue Corp. to use Ridgestone Bank's cash collateral on an interim basis, until October 5, 2016. The Debtors are indebted to Ridgestone Bank in the amount of $711,000 plus additional accrued and unpaid interest and other amounts owing to Ridgestone Bank under the applicable loan documents. Ridgestone Bank holds a perfected, secured interest in substantially all of the Debtors' assets. The Debtors were directed to make an adequate protection payment in the amount of $10,804 to Ridgestone Bank on or before September 23, 2016. Ridgestone Bank was granted a replacement lien in the Debtors' property to the extent that it currently holds a lien on any and all of the Debtors' property. A hearing on the Debtor's further use of cash collateral is scheduled on October 5, 2016 at 10:00 a.m. A full-text copy of the Interim Order, dated September 28, 2016, is available at http://bankrupt.com/misc/Binita&SapnaCorp2016_1602143_113.pdf Ridgestone Bank can be reached at: RIDGESTONE BANK 10 N. Martingale Rd., Suite 100 Schaumburg, IL 60173 Ridgestone Bank is represented by: Michael W. Debre, Esq. CHUHAK & TECSON, P.C. 30 South Wacker Drive, Suite 2600 Chicago, IL 60606 About Binita & Sapna Corp. Binita & Sapna Corp. and 1511 North Ave. Corp. each owns and operates a liquor store under the brand Foremost Liquors. Binita & Sapna Corp. and 1511 North Ave. Corp. filed chapter 11 petitions (Bankr. N.D. Ill. Case No. 16-02143 and 16-02146) on Jan. 25, 2016. The petitions were signed by Akshay Shah, president. The Debtors are represented by Timothy C. Culbertson, Esq., at the Law Offices of Timothy C. Culbertson. The Debtors estimated assets at $100,001 to $500,000. BIRCH COMMUNICATIONS: S&P Puts 'B' CCR on CreditWatch Negative -------------------------------------------------------------- S&P Global Ratings said it placed its ratings, including the 'B' corporate credit rating, on Atlanta-based Birch Communications Holdings Inc. on CreditWatch with negative implications. S&P also placed the 'B' rating on the company's senior secured debt on CreditWatch with negative implications. "The CreditWatch placement reflects the company's tight covenant cushion under its senior secured bank credit facility as of the second quarter of 2016 and our expectation that the company could breach its financial maintenance covenants over the next couple of quarters unless it is able to improve operating performance or obtain an amendment from its lenders," said S&P Global Ratings credit analyst Latisha Kimber. Total debt to EBITDA was about 3.5x as of June 30, 2016, relative to the 3.75x leverage covenant, which steps down to 3.5x on Sept. 30, 2016. Birch's financial performance in the second quarter of 2016 was below S&P's expectations primarily due to lower than expected revenue growth from the legacy business. As such, S&P expects that adjusted debt to EBITDA will be in the low-4x area compared to S&P's previous expectation of leverage in the mid-3x area (not used in the covenant calculation). S&P will seek to resolve the CreditWatch listing within the next 90 days as additional information becomes available regarding third-quarter 2016 performance or potential covenant relief in the form of a credit agreement waiver or amendment. BON-TON STORES: To Redeem Senior Notes Due 2017 ----------------------------------------------- The Bon-Ton Stores, Inc. said it will redeem the entirety of its outstanding 10 5/8% Second Lien Senior Secured Notes due 2017. The aggregate principal amount outstanding of the Notes is approximately $57 million. The Notes will be redeemed on Nov. 29, 2016, at a redemption price of 100% of the principal amount thereof, plus accrued and unpaid interest on the Notes of approximately $21.84 per $1,000 of principal amount. Nancy A. Walsh, executive vice president and chief financial officer, commented, "I am pleased that the company is repaying the 2017 Senior Notes well in advance of the July 2017 maturity date. The redemption meets our objective of reducing short-term debt and improving our capital structure." A notice of redemption setting forth the redemption procedures is being provided to holders of the Notes through Wells Fargo Bank, N.A., the Trustee under the Indenture governing the Notes. Copies of the notice of redemption and additional information relating to the procedures for redemption may be obtained from Wells Fargo, Corporate Trust Operations, MAC N9300-070, 600 South Fourth Street, Minneapolis, MN 55402, telephone: 800-344-5128. About Bon-Ton Stores The Bon-Ton Stores, Inc., with corporate headquarters in York, Pennsylvania and Milwaukee, Wisconsin, operates 270 stores, which includes nine furniture galleries and four clearance centers, in 26 states in the Northeast, Midwest and upper Great Plains under the Bon-Ton, Bergner's, Boston Store, Carson's, Elder-Beerman, Herberger's and Younkers nameplates. The stores offer a broad assortment of national and private brand fashion apparel and accessories for women, men and children, as well as cosmetics and home furnishings. For further information, please visit the investor relations section of the Company's Web site at http://investors.bonton.com. Bon-Ton Stores reported a net loss of $57.05 million on $2.71 billion of net sales for the fiscal year ended Jan. 30, 2016, compared to a net loss of $6.97 million on $2.75 billion of net sales for the fiscal year ended Jan. 31, 2015. As of July 30, 2016, Bon-Ton Stores had $1.48 billion in total assets, $1.52 billion in total liabilities and a $38.5 million total shareholders' deficit. * * * As reported in the TCR on Dec. 4, 2015, Moody's Investors Service downgraded Bon-Ton Stores's Corporate Family Rating to Caa1 from B3. The company's Speculative Grade Liquidity rating was affirmed at SGL-2. The rating outlook is stable. The downgrade considers the continuing and persistent negative pressure on Bon-Ton's revenue and EBITDA margins which has been accelerating during the course of fiscal 2015. As reported by the TCR on Aug. 22, 2016, S&P Global Ratings raised its corporate credit rating on the York, Pa.-based The Bon-Ton Stores Inc. to 'CCC+' from 'CCC'. The outlook remains negative. "The upgrade reflects our view of Bon-Ton's somewhat improved liquidity after refinancing its A-1 ABL term loan tranche with an extended maturity to March 2021 and enhanced liquidity from the additional $50 million in borrowing capacity to address upcoming debt maturity in 2017. BREMAR DEVELOPMENT: Hires Avison Young as Real Estate Broker ------------------------------------------------------------ Bremar Development, LLC, seeks authorization from the U.S. Bankruptcy Court for the Southern District of Florida to employ Avison Young-Florida, LLC, as real estate broker, nunc pro tunc to September 6, 2016. Avison Young will be held responsible for the proposed marketing and sale of the Debtor's real property called, "Palmetto Plaza." The Palmetto Plaza is a 21 unit single story retail strip center built in 2009 with approximately 23,205 of rentable square feet and a 102 space parking lot situated on 76,230 square feet or 1.750 acres of land, located at 2150 West 76th Street, Hialeah, Florida 33016-1839. The Debtor requires Avison Young to: (a) represent the Debtor as real estate broker in connection with the marketing and sale of the Debtor's property pursuant to the terms of the Agreement; and (b) conduct an auction without a stalking-horse purchaser, on customary terms consistent with local practice, if no acceptable stalking-horse offer is received by February 17, 2017, to obtain a purchase and sale contract. Avison Young will be paid with a commission of 3% of the purchase price of the Property if Avison Young is the sole broker on the transaction. If a Co-Broker is involved, the commission will be 4%. The full commission will be due at Closing. Avison Young will also be reimbursed for reasonable out-of-pocket expenses incurred. Avison Young has been advised of and agreed to accept employment by the Debtor subject to the provisions of 11 U.S.C. Sec. 328(a) and understands that, notwithstanding the approval of employment upon the terms set forth, the Court may allow compensation different from the compensation provided for under such terms and conditions, after the completion of the employment, if such terms and conditions prove to have been improvident in light of developments unanticipated at the time of fixing of such terms and conditions. John K. Crotty, associate of Avison Young, 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. Avison Young can be reached at: John K. Crotty AVISON YOUNG-FLORIDA, LLC 2020 Ponce de Leon Boulevard, Suite 1200 Miami, FL 33134 Mobile: 305.345.9567 Email: john.crotty@avisonyoung.com About Bremar Development Bremar Development, LLC, filed a chapter 11 petition (Bankr. S.D. Fla. Case No. 16-21328) on Aug. 17, 2016. The petition was signed by Jorge D. Marrero, sole managing member. The Debtor is represented by Kristopher E. Pearson, Esq., at Stearns Weaver Miller Weissler Alhadeff & Sitterson, P.A. The case is assigned to Judge Laurel M. Isicoff. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. C&J ENERGY: Court Approves Non-Insider Compensation Program ----------------------------------------------------------- BankruptcyData.com reported that the U.S. Bankruptcy Court approved C&J Energy Services' non-insider compensation program. As previously reported, "This Motion seeks the approval, on a postpetition basis, of the Debtors' prepetition non-insider employee compensation program (the 'Non-Insider Compensation Program') applicable to the Debtors' critical non-insider key employees . . . . The Non-Insider Compensation Program - contemplates quarterly incentive compensation to 56 Participants, which payments are expected to total approximately $1.8 million for the third quarter payment due on or before November 1, 2016 and approximately $1.8 million for the fourth quarter payment due on or before February 1, 2017. All 56 Participants were eligible or became eligible for the Non-Insider Compensation Program prepetition. Due to the general uncertainty associated with the Debtors' chapter 11 restructuring process, the Debtors believe the Non-Insider Compensation Program mitigates these concerns and will motivate the Participants to remain with the Debtors, focused on ably executing their work throughout the Debtors' restructuring process." About C&J Energy C&J Energy Services -- http://www.cjenergy.com/-- is a provider of well construction, well completions, well support and other complementary oilfield services to oil and gas exploration and production companies. As one of the largest completion and production services companies in North America, C&J offers a full, vertically integrated suite of services involved in the entire life cycle of the well, including directional drilling, cementing, hydraulic fracturing, cased-hole wireline, coiled tubing, rig services, fluids management services and other special well site services. C&J operates in most of the major oil and natural gas producing regions of the continental United States and Western Canada. C&J Energy Services Ltd. and 14 of its subsidiaries each filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 16-33590) on July 20, 2016. The Debtors' cases are pending before Judge David R Jones. The law firms Loeb & Loeb LLP and Kirkland & Ellis LLP serve as the Debtors' counsel. Fried, Frank, Harris, Shriver & Jacobson LLP acts as special corporate and tax counsel to the Debtors. Investment bank Evercore is the Debtors' financial advisor and AlixPartners is the Debtors' restructuring advisor. Ernst & Young Inc. is the proposed information officer for the Canadian proceedings. Donlin, Recano & Company, Inc., serves as the claims, noticing and balloting agent. U.S. Trustee Judy A. Robbins appointed on Aug. 2 five creditors to serve on the official committee of unsecured creditors in the Chapter 11 case of CJ Holding Co., et al. The Committee tapped Conway MacKenzie, Inc., as its financial advisor. CABCO TRUST: Moody's Raises Rating on Trust Certificates to B3 -------------------------------------------------------------- Moody's Investors Service announced that it has upgraded the rating of the following certificates issued by CABCO Trust for J. C. Penney Debentures: Trust Certificates, Upgraded to B3; previously on May 30, 2013 Downgraded to Caa2 RATINGS RATIONALE The rating action is a result of the change of the rating of J.C. Penney Corporation, Inc. 7.625% Debentures due March 1, 2097, which was upgraded to B3 on Sept. 28, 2016. The transaction is a structured note whose ratings are based on the rating of the Underlying Securities and the legal structure of the transaction. Methodology Underlying the Rating Action The principal methodology used in this rating was "Moody's Approach to Rating Repackaged Securities" published in June 2015. FACTORS THAT WOULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING The ratings will be sensitive to any change in the rating of the 7.625% Debentures due March 1, 2097, issued by J.C. Penney Corporation, Inc. CAPE COD COMMERCIAL: Will Pay Unsecureds 20% In 4 Years ------------------------------------------------------- Cape Cod Commercial Linen Service, Inc., and This Is It, LLC, filed with the U.S. Bankruptcy Court for the District of Massachusetts their First Amended Disclosure Statement in relation to the Jointly Administered Debtors' Chapter 11 Plan of Reorganization. The Plan is intended to permit Cape Cod to continue to operate the commercial laundry business at the This Is It location in Hyannis, in order to repay the Debtors’ primary secured creditor and to provide a dividend to the unsecured creditors of Cape Cod. The Debtors project that the principal amount of allowed Class 4 general unsecured claims will total approximately $2,650,000. This includes deficiency claims of the Small Business Administration and Mass Growth Capital Corp, as well as all other holders of general unsecured claims. Under the Plan, Cape Cod shall pay to each holder of an allowed Class 4 claim a total amount equal to 20% of such Allowed Claim, payable over four years. Payment shall be made from the cash flow of operations. The initial twenty-five percent (25%) of the payment shall be made on the Effective Date, and the remaining payments shall be made over a period of four (4) years, and will be payable in 16 equal, consecutive quarterly payments. Class 4A consists of all general unsecured creditors of Cape Cod while Class 4B consists of all general unsecured claims of This Is It. The only members of Class 4B are SBA and MGCC, each of which holds undersecured mortgages on the This Is It Property. Class 4B creditors will receive their distributions as Calss 4A creditors, but will receive no separate distribution as Class 4B creditors. A full-text copy of the First Amended Disclosure Statement dated September 14, 2016 is available at https://is.gd/iMnOOB About Cape Cod Commercial Cape Cod Commercial Linen Service, Inc., based in Hyannis, Massachusetts, filed a Chapter 11 petition (Bankr. D. Mass. Case No. 16-11811) on May 13, 2016. Hon. Joan N. Feeney presides over the case. David B. Madoff, Esq., and Steffani Pelton Nicholson, Esq., at Madoff & Khoury LLP, serves as counsel to Cape Code Commercial. The Debtor's financial advisor is Bruce A. Erickson of B. Erickson Group, LLC. In its petition, the Debtor listed total assets of $1.24 million and liabilities of $4.62 million. The petition was signed by Jeffrey Ehart, president. This Is It, LLC, based in Hyannis, Massachusetts, filed a Chapter 11 petition (Bankr. D. Mass. Case No. 16-11813) on May 13, 2016. Hon. Joan N. Feeney presides over the case. This Is It tapped David B. Madoff, Esq., and Steffani Pelton Nicholson, Esq., at Madoff & Khoury LLP, as bankruptcy counsel. In its petition, This Is It listed $2.20 million in assets and $3.05 million in liabilities. The petition was signed by Jeffrey Ehart, president/manager. The Debtors' cases are jointly administered. CAPITAL INVESMENTS: Selling Broward Property to Wythe for $70K -------------------------------------------------------------- Capital Investments, LLC, asks the U.S. Eastern District of Virginia to authorize the sale of parcel of improved residential real property located at 2798 NW 15th Ct., Fort Lauderdale, Broward County, Florida, Real Property Tax ID No. 4942 32 01 3400, to Wythe Capital Trust, LLC for $70,000. The Debtor and the Purchaser entered into Residential Contract for Sale and Purchase, dated Sept. 13, 2016, for the purchase of the property. A copy of the Contract attached the Motion is available for free at: http://bankrupt.com/misc/Capital_Investments_376_Sales.pdf The property is encumbered by a properly perfected first position mortgage securing a loan from G.W. Investments, Inc. ("GWI"), in the original principal amount of $60,000. The current balance due in respect of the loan is in excess of the purchase price of $70,000, so that there is no equity available to the Debtor. Because of the substantial delays associated with the foreclosure process in Florida, GWI and the Debtor reached an agreement under which the Property would be marketed and sold, at the discretion of GWI, in lieu of foreclosure. GWI assumed responsibility for marketing the property for sale and retained the services of Lynne H. Gewant, a sales associate with Coldwell Banker Residential Real Estate ("Broker"), 1 S Ocean Blvd., Suite 2, Boca Raton, Florida. GWI agreed that it would release its lien at the closing on any sale of the property in exchange for GWI receiving the net proceeds of sale (after payment of all seller closing costs and unpaid real estate taxes), less payment at closing to the Debtor of (i) a carve-out of $1,500, (ii) all legal fees incurred by the Debtor in connection with efforts to obtain court approval of any sale, and (iii) the Pro Rata Quarterly Fees, all of which sums would be paid to the Debtor's bankruptcy estate and held pending further order of the Court. In connection with the sale of the property, GWI has agreed to pay a pro rata portion of the quarterly fees imposed by 28 U.S.C. Section 1930(a)(6) incurred in the calendar quarter in which the sale closes ("Pro Rata Quarterly Fees"); and that the pro rata portion will be determined by dividing (i) the total amount of disbursement in a calendar quarter resulting from the sale of the Property, (ii) by the total amount of disbursements by the Debtor in said quarter; and that GWI will estimate the total amount of the Pro Rata Quarterly Fees and allocate their payment from the property sale in consultation with the Debtor. On Sept. 16, 2016, GWI and the Broker delivered the Contract to the Debtor for consideration and endorsement. The Debtor has executed the Contract with an addendum which subjects the contract to bankruptcy court approval in the case. The Purchaser has tendered a deposit of $5,000 that is being held in escrow by a title company in Fort Lauderdale, Florida. There are no financing contingencies. Closing was initially contemplated by Sept. 30, 2016, but the Broker is arranging for a brief extension, and closing will occur promptly following entry of an approval order. The Property is being sold in "as-in" condition. A standard brokerage commission of 6% of the sales price is payable at closing and the Debtor seeks approval of such payment out of the proceeds of sale. Unpaid real estate taxes owed with respect to each property will be paid at closing ahead of the claims of GWI. The sale of the property will produce a small return for the bankruptcy estate while paying off a substantial sum of the encumbering liens and reducing potential deficiency claims against the bankruptcy estate. The purchase price was negotiated at arm's length by GWI following marketing and represents the highest and best value for the property. Accordingly, there is a sound business justification for approving the sales of the properties under the terms and conditions of the contracts. Time is of the essence in closing these sales and the Debtor would request a waiver of the 14-day stay pursuant to Bankruptcy Rule 6004(h) to permit closing as soon as possible following the entry of an order approving the sales. The Purchaser can be reached at: WYTHE CAPITAL TRUST, LLC 337 NE 59th Terrace Miami, FL 33137 About Capital Investments Capital Investments, LLC, is a Virginia limited liability company in the business of purchasing, renovating, and selling residential real property in Maryland, Virginia and Florida. Its sole member is Abbas Ghassemi. On Oct. 7, 2015, Ghassemi filed a voluntary petition for relief under Chapter 7 of the Bankruptcy Code (Bankr. E.D. Va. Case No. 15-13511). Capital Investments, LLC, sought Chapter 11 protection (Bankr. E.D. Va. Case No. 15-13600) on Oct. 15, 2015. The petition was signed by Ghassemi, manager. The Hon Judge Robert G. Mayer is assigned to the case. The Debtor estimated assets of $1 million to $10 million and $1 million to $10 million in debt. CHARLES BRELAND: Creditors Seek Appointment of Ch. 11 Trustee ------------------------------------------------------------- Creditors, Hudgens & Associates, LLC, and Equity Trust Company Custodian for the Benefit of David E. Hudgens, filed a motion asking the United States Bankruptcy Court for the Southern District of Alabama to appoint a Chapter 11 Trustee in the Chapter 11 case of Debtor Charles K. Breland. The Creditors obtained a judicial lien, with a corresponding recorded Certificates of Judgments, against all of the Debtor's properties in Mobile County and Baldwin County, Alabama. The Creditors assert that the Debtor fraudulently transferred property in Baldwin County, Alabama owned individually by him to his wife and to insider LLCs owned and controlled by him. In the fall of 2015, Debtor began the series of transactions with an intent to hinder, delay, or defraud his creditors. Some of the effects of those transfers as they relate to creditors' rights are that the Debtor: (1) can operate the properties that he transferred without scrutiny of the Bankruptcy Court; (2) removed approximately $22,000 in monthly rental income from the scrutiny of the Bankruptcy Court (approximately $12,000 from CKB Minneola, LLC, $6,500 from the restaurant, and $3,600 from the first floor of his office building); and, (3) unless his creditors are successful in avoiding the transfers as fraudulent transfers, if the case is dismissed, his creditors can no longer proceed directly against the transferred properties but are reduced to obtaining charging orders which leaves them at the Debtor's mercy as to when distributions will be made. Moreover, Breland, when acting as Debtor-in-Possession in the Debtor's First Chapter 11, caused income to be received by wholly owned entities during the pendency of said proceeding, but did not report the receipt of said funds in his Chapter 11 or the subsequent disbursement, if any, of said funds to other wholly owned business entities, the Creditors tell the Court. Creditors were therefore not informed of the true operation of the Debtor's wholly owned entities. Therefore, the Creditors ask for a Chapter 11 Trustee for oversight and transparency of the Debtor's conduct of his business transactions as fundamental to the operation of Chapter 11. The Creditors can be reached at: Irvin Grodsky, Esq. IRVIN GRODSKY Post Office Box 3123 Mobile, AL 36652 Tel.: 251-433-3658 Fax: 251-433-3670 About Charles Breland Charles Breland filed a chapter 11 bankruptcy case (Bankr. S.D. Ala. Case No. 09-11139) on March 11, 2009. He is represented by Robin B. Cheatham, Esq., at Adams and Reese. Mr. Breland confirmed a plan on Dec. 10, 2010. The plan was substantially consummated on Dec. 27, 2010. CHESAPEAKE ENERGY: Moody's Assigns Caa3 Rating on $1.1BB Notes -------------------------------------------------------------- Moody's Investors Service assigned a Caa3 rating to Chesapeake Energy Corporation's proposed $1.1 billion convertible senior notes due 2026. All existing ratings of Chesapeake, including the Caa2 Corporate Family Rating (CFR), and the positive rating outlook are unchanged. Proceeds of the offering are expected to primarily fund repurchases and repayment of the company's senior notes due 2017 and 2018 as they become due. "While the notes issuance should enable Chesapeake to refinance its 2017 and 2018 maturities and improve its liquidity position, positive rating consideration for these benefits was largely captured in advance of the company's recently concluded notes tender, which we expected to capture a larger proportion of these maturities than was consummated," commented John Thieroff, Moody's Vice President. Assignments: Issuer: Chesapeake Energy Corporation Convertible Senior Unsecured Notes, Assigned Caa3 (LGD 5) RATINGS RATIONALE The inferior liquidation position of the proposed convertible senior notes behind Chesapeake's secured bank revolver and term loans results in the new notes being rated Caa3, one notch below the Caa2 CFR. Chesapeake's Caa2 CFR incorporates its weak cash flow generation capacity at Moody's commodity price estimates relative to its still high debt levels resulting in an unsustainable capital structure. Greatly reduced capital spending has led to declining production and proved reserve volumes. Even with the increase in natural gas prices since the first quarter of this year, the company is challenged to generate adequate returns on capital investment and sufficient cash flow to fund sustaining levels of capital investment. The SGL-3 rating is based on Moody's expectation that Chesapeake will maintain adequate liquidity through the end of 2017, primarily because of its committed revolving credit facility. At June 30, 2016, the company had about $3.1 billion of borrowing capacity available under its revolving credit facility. The borrowing base for the credit facility will not be subject to redetermination review until June 15, 2017, and the company has received covenant relief through June 30, 2017, with gradual step ups in the covenants thereafter. This should provide adequate headroom for covenant compliance through the end of 2017. At Sept. 27, 2016, Chesapeake had $1.23 billion of debt maturing or that can be put to the company in 2017 and 2018; proceeds from the new issue are expected to be used to address these obligations. Moody's expects that Chesapeake will maintain adequate borrowing capacity on its revolver to fund the remaining 2017 debt maturities and anticipated negative free cash flow through the end of 2017. Despite continued reductions in capital spending, Moody's forecasts continued negative free cash flow based on our commodity price estimates. Completion of further asset sales in line with the company's revised targets for this year will provide further cushion for maintaining adequate liquidity, including the revolver covenant requirement that Chesapeake maintain minimum liquidity of $500 million (cash and cash equivalents and available revolver borrowing capacity). The positive outlook reflects the company's better than expected execution on assets sales to date, the benefits of the pending Barnett Shale divestiture and related gathering contract termination with Williams Partners (Baa3 negative), the improvement in its liquidity, and line of sight for more asset sales to fund further deleveraging. If Chesapeake can complete additional asset sales, further reduce debt and improve its cash flow then the ratings could be upgraded. Cash flow coverage of interest sustained above 1.5x could support a ratings upgrade. On the contrary, if Chesapeake's asset sales momentum were to decelerate or proceeds from the proposed convertible notes issue aren't primarily used to fund debt retirement, and its liquidity deteriorate more rapidly than expected in advance of its upcoming debt maturities then the ratings could be downgraded. The principal methodology used in these ratings was Global Independent Exploration and Production Industry published in December 2011. Chesapeake Energy Corporation is headquartered in Oklahoma City, Oklahoma and is one of the largest independent exploration and production companies in North America. CHINA BAK: Dismisses Crowe Horwath as Accountants ------------------------------------------------- China BAK Battery, Inc., was advised that the Company's independent registered public accounting firm, Crowe Horwath (HK) CPA Limited, will no longer provide audit and assurances services to public companies subject to the statutes and regulations of the United States effective as of Oct. 1, 2016. Accordingly, the Company, with the approval of its audit committee of Board of Directors, dismissed CHHK as its independent registered public accounting firm, effective Sept. 29, 2016. CHHK's reports on the financial statements of the Company for the fiscal years ended Sept. 30, 2015, and 2014 did not contain any adverse opinion or disclaimer of opinion, nor were they qualified or modified as to uncertainty, audit scope or accounting principles, except that its report for each of the fiscal years ended Sept. 30, 2015 and 2014 contained an emphasis of matter paragraph regarding the Company's ability to continue as a going concern. During the Company's fiscal years ended Sept. 30, 2015, and 2014 and through Sept. 29, 2016, there were no disagreements with CHHK on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure which disagreements, if not resolved to CHHK's satisfaction, would have caused them to make reference to the subject matter in connection with their report on the Company's consolidated financial statements for those periods. Furthermore, no reportable events as described in paragraphs (a)(1)(v)(A)-(D) of Item 304 of Regulation S-K occurred within the periods covered by CHHK's reports on the Company's consolidated financial statements, or subsequently up to the date of CHHK's dismissal. On Sept. 29, 2016, concurrent with the dismissal of CHHK, the Company, upon the approval of the Audit Committee, engaged DCAW (CPA) Limited as the Company's independent registered public accounting firm, effective immediately. The director formerly responsible for the Company's account at CHHK will join DCAW, and will be the director responsible for the Company's account at that firm. During the Company's two most recent fiscal years ended Sept. 30, 2015, and 2014 and through Sept. 29, 2016, neither the Company nor anyone on its behalf consulted DCAW. About China BAK China BAK Battery conducted business through BAK International Limited and its subsidiaries that produced prismatic cells, cylindrical cells, lithium polymer cells and high power lithium batters. The BAK International business was foreclosed on June 30, 2014. Consequently, China BAK is looking to develop, manufacture and sell energy high power lithium batteries primarily for electric vehicles when its Dalian, China manufacturing facilities start to operate in the first quarter of 2015. China BAK reported net profit of US$15.9 million for the year ended Sept. 30, 2015, compared to net profit of US$37.8 million for the year ended Sept. 30, 2014. As of June 30, 2016, the Company had US$82.5 million in total assets, US$67.4 million in total liabilities and US$15.1 million in total shareholders' equity. Crowe Horwath (HK) CPA Limited, in Hong Kong, China, issued a "going concern" qualification on the consolidated financial statements for the year ended Sept. 30, 2015, citing that the Company has a working capital deficiency, accumulated deficit from recurring net losses and significant short-term debt obligations maturing in less than one year as of Sept. 30, 2015. All these factors raise substantial doubt about its ability to continue as a going concern. CHRISTOPHER RIDGEWAY: Sale of 2 Vehicles to Everett Buick Approved ------------------------------------------------------------------ Judge Elizabeth W. Magner of the U.S. Bankruptcy Court for the Eastern District of Louisiana authorized Christopher Martin Ridgeway to sell his 2008 GMC Yukon Denali for $18,000 and 2011 Toyota Highlander for $22,500 to Everett Buick GMC. The sale is "as is, where is" without warranty of any kind whatsoever, and free and clear of liens, claims, interests and encumbrances. Christopher Martin Ridgeway filed a Chapter 11 bankruptcy petition (Bankr. E.D. La. Case No. 16-10643) on March 23, 2016, and is represented by attorneys at Adams and Reese, LLP. CHRISTOPHER RIDGEWAY: Sale of Yellowfin Yacht for $87.5K Approved ----------------------------------------------------------------- Judge Elizabeth W. Magner of the U.S. Bankruptcy Court for the Eastern District of Louisiana authorized Christopher Martin Ridgeway to sell his 2012 Yellowfin Yacht, Identification No. YFY24203F212, Vessel Registration No. FL3416PJ, to Bart Knellinger for $87,500. The sale is free and clear of liens, claims, interests and encumbrances. From the proceeds of the sale of the Yellowfin Yacht, the Debtor is authorized to pay in full the lien of U.S. Bank. All excess proceeds will be held by Debtor's counsel in trust until confirmation of the plan and disbursements are to be made to creditors. Christopher Martin Ridgeway filed a Chapter 11 bankruptcy petition (Bankr. E.D. La. Case No. 16-10643) on March 23, 2016, and is represented by attorneys at Adams and Reese, LLP. COMPASSIONATE HEALTH CARE: Court Confirms Plan of Reorganization ---------------------------------------------------------------- The Hon. Andrew B. Altenburg, Jr., of the U.S. Bankruptcy Court for the District of New Jersey has entered an order finally approving Compassionate Health Care Inc. A Home Health Agency's disclosure statement and confirming the Debtor's plan of reorganization. Under the Plan, Class 4 General Unsecured Claims totaling approximately $231,414.02 are impaired. A total payment of $10,339.42 throughout the Plan will be paid on a pro rata basis. Monthly payments will commence the first day of the first calendar month after the Effective Date and continuing for 60 months. The Debtor will continue to operate its business providing home care to its clients. The Debtor continues to grow its operations and will, based on the Debtor's projections, generate sufficient revenue to make the monthly distributions required under the Plan. The Debtor is confident that, without collections efforts of its current creditors, it will be able to maintain sufficient revenue to continue making the distributions and to meet its ongoing operating expenses. The distributions will be made through a graduated series of monthly payments. On the confirmation date of the Plan, all property of the Debtor will revert, free and clear of all claims and equitable interests to the Debtor except as provided in the Plan and except as to the claims, tax liens, interests, and rights of the U.S., the Pennsylvania Department of Revenue, and the City of Philadelphia. The Debtor expects to have sufficient cash on hand to make the payments required on the Effective Date. The Disclosure Statement is available at: http://bankrupt.com/misc/njb16-12166-142.pdf The Plan was filed by the Debtor's counsel: Nella M. Bloom, Esq. Thomas D. Bielli, Esq. David M. Klauder, Esq. Bielli & Klauder, LLC 1500 Walnut Street, Suite 900 Philadelphia, PA 19102 Tel: 267-630-2466 Fax: 215-754-4177 E-mail: nbloom@bk-legal.com tbielli@bk-legal.com dklauder@bk-legal.com About Compassionate Health Care Compassionate Health Care Inc. A Home Health Agency operates in New Jersey and Pennsylvania as a home health agency, providing assistance, caretaking, and companionship to elderly clients. The Debtor currently employs approximately 138 employees consisting of part-time care givers with the remainder providing administrative services. The Debtor sought protection under Chapter 11 of the (Bankr. D.N.J. Case No. 16-12166) on Feb. 5, 2016. The Debtor tapped Nella M. Bloom, Esq., of Bloom & Bloom, LLC, as its counsel. CONDO 64: Court Allows Cash Collateral Use Until Nov. 22 -------------------------------------------------------- Judge James J. Tancredi of the U.S. Bankruptcy Court for the District of Connecticut authorized Condo 64, LLC, to use American Eagle Financial Credit Union's cash collateral from Sept. 23, 2016 and continuing through Nov. 22, 2016. The Debtor's property consists of 67 of the 112 condominium units and the leases and rents in connection therewith at the location known as 505-509 Burnside Avenue, East Hartford, Connecticut. Judge Tancredi acknowledged that it is essential to the Debtor's business and operations that it obtains an order to use cash on hand and rental payments from the Debtor's operation of the Property, all of which are subject to the liens and security interests of American Eagle Financial Credit Union to pay ordinary course of business expenses including insurance, property maintenance, employees, repairs, utilities, common interest charges and taxes. The Debtor is indebted to American Eagle Financial Credit Union in the amount of $2,489,101 with accrued interest of $276,423, together with late charges, attorneys' fees, and such other amounts as may be outstanding under the Loan Documents. Judge Tancredi authorized the debtor to use cash collateral in the ordinary course of its business up to the maximum amount of $95,658, to be disbursed for payment of the expenses set forth on the approved budgets. American Eagle Financial Credit Union was granted replacement liens in all prepetition property of the Debtor as it existed on the Petition Date, as well as all property acquired by the Debtor after the Petition Date. The Debtor was directed to pay American Eagle Financial Credit Union the sum of $7,600 for the months of October and November over the next 60 days. A final hearing on the Debtor's use of cash collateral is scheduled on Nov. 16, 2016 at 10:00 a.m. A full-text copy of the Order dated Sept. 28, 2016, is available at http://bankrupt.com/misc/Condo64LLC2015_1521797_122.pdf About Condo 64 Condo 64, LLC, filed a chapter 11 petition (Bankr. D. Conn. Case No. 15-21797) on Oct. 16, 2015. The petition was signed by Oliver C. Pinkard, managing member. The Debtor is represented by Kaitlin M. Humble, Esq. and Craig I. Lifland, Esq., at Halloran & Sage LLP. The case is assigned to Judge Ann M. Nevins. The Debtor disclosed total assets at $4.6 million and total liabilities at $3.1 million at the time of the filing. CONTROL SYSTEMS: Proposes to Pay $300K for Unsecured Claims ----------------------------------------------------------- Mark H. Flener filed, on behalf of Control Systems Design and Automation, Inc., a disclosure statement, which estimates that there are 32 allowed unsecured claims entitled to treatment as Class 4 claims, and the total amount of Class 4 claims is approximately $1,938,042. This class will be paid pro rata, without interest, over a term of 60 months the sum of $5,000 per month, for a total of $300,000. The Debtor will fund its Plan through the continued operation of its business. Upon the Effective Date, all of the assets of the Estate will be revested in the Debtor, and the Debtor shall have the right to manage its own assets and conduct its own business in the ordinary course, subject to the Debtor's obligations and duties as set forth in the Plan. A full-text copy of the Amended Disclosure Statement dated September 14, 2016 is available at https://is.gd/5DdWrh About Control Systems Design Control Systems Design and Automation, Inc., provides electrical and mechanical engineering services to factories. The Debtor sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W. D. Ky. Case No. 16-10373) on April 20, 2016. The petition was signed by Robert Scheidegger, authorized representative. The case is assigned to Judge Joan A. Lloyd. At the time of the filing, the Debtor disclosed $518,289 in assets and $2.24 million in liabilities. COSI INC: Seeks Court Authorization to Use Cash Collateral ---------------------------------------------------------- Cosi, Inc., and its affiliated debtors ask the U.S. Bankruptcy Court for the District of Massachusetts for authorization to use cash collateral. The Debtor entered into a series of financing transactions with three senior lenders, Milfam II LP, AB Opportunity Fund LLC, and AB Value Partners, L.P., known as the 2014 Financing. In connection with the 2014 Financing, the Debtor executed promissory notes in favor of the Senior Secured Lenders, which have the following current principal balances: Senior Secured Lender Amount --------------------- ------ Milfam $5,000,000 AB Opportunity $2,000,000 AB Value $500,000 The Senior Secured Lenders and the Debtor have reached an agreement, which provides, among others: (1) the Senior Secured Lenders will fund the Debtors' operations during the Chapter 11 case; (2) the Senior Secured Lenders will be the stalking horse bidder for the purchase of the Debtors out of Chapter 11; and (3) the Senior Secured Lenders will be restricted regarding their ability to credit bid in the sale process. The Senior Secured Lenders have agreed to make postpetition loans of up to $4.1 million to the Debtors to fund operations during the Chapter 11 cases, on the terms set in the Debtor's DIP Motion. The Senior Secured Lenders will receive liens on substantially all of the Debtors' assets to secure the DIP Loan. The Debtors submitted their proposed Budget, which spans the duration of the Debtor's expedited operations from the Petition Date through the week beginning Dec. 26, 2016. The Debtors anticipate closing the sale transaction during the week of Nov. 28, 2016. The Debtor contends that the purchase price offered by the Senior Secured Lenders for the Debtors' business is $6.80 million. The Debtors believe that the sale will produce a return for unsecured creditors, particularly if the liens of the Senior Secured Lenders are avoided or compromised. The Debtors estimate that after repayment of the DIP Loan and cure costs, as much as $1.2 million may be available to the estate. The Debtors contend that in light of the Senior Secured Lenders' consent to the Debtor's use of cash collateral and the replacement lines that will be granted to them their interests are adequately protected. The Debtor's proposed Budget covers a 13-week period, beginning Oct. 3, 2016 and ending on Dec. 26, 2016. The Budget provides total expenses in the amount of $19.2 million for the entire 13-week period. A full-text copy of the Debtor's Motion, dated Sept. 28, 2016, is available at http://bankrupt.com/misc/CosiInc2016_1613704_8.pdf A full-text copy of the Debtor's proposed Budget, dated Sept. 28, 2016, is available at http://bankrupt.com/misc/CosiInc2016_163704_8_1.pdf Cosi, Inc. and its affiliated Debtors are represented by: Joseph H. Baldiga, Esq. Paul W. Carey, Esq. MIRICK, O'CONNELL, DEMALLIE & LOUGEE, LLP 1800 West Park Drive, Suite 400 Westborough, MA 01581-3926 Telephone: (508) 898-1501 E-mail: bankrupt@mirickoconnell.com pcarey@mirickoconnell.com About Cosi, Inc. Cosi -- http://www.getcosi.com/-- is an international fast casual restaurant company. There are currently 45 Company-owned and 31 franchise restaurants operating in fourteen states, the District of Columbia, Costa Rica and the United Arab Emirates. Cosi, Inc. and its affiliated debtors filed chapter 11 petitions (Bankr. D. Mass. Case No. 16-13704-MSH) on Sept. 28, 2016. The Debtors are represented by Joseph H. Baldiga, Esq. and Paul W. Carey, Esq., at Mirick, O'Connell, DeMallie & Lougee, LLP. CROSSFIRE MANUFACTURING: Files Amended Disclosure Statement ----------------------------------------------------------- Crossfire Manufacturing, LLC, on Sept. 20 filed its latest disclosure statement, which provides information concerning the treatment of tax claims of the Texas Comptroller of Public Accounts under its Chapter 11 plan of reorganization. According to the disclosure statement, if after a hearing the bankruptcy court determines that Crossfire owes franchise taxes to the Texas Comptroller of Public Accounts for 2013, the company will pay those taxes in full. Moreover, the Texas Comptroller of Public Accounts' unsecured claim for penalty will be treated as an unsecured claim in Class 8. The document also discloses additional information about the implementation of the restructuring plan. According to the disclosure statement, Crossfire will continue to operate its custom metal fabrication business out of its manufacturing facility on 5018 East Highway 62/82, Lubbock, Texas. Currently, the company has projects located in Lexington, Nebraska and Levelland, Texas. The projects will last for the remaining portion of 2016 and continue into 2017. Crossfire projects that total revenue for the two projects to be realized in 2016 and 2017 equals approximately $1 million. Crossfire will supplement the disclosure statement upon approval and prior to circulation to all creditors and other parties with its projected cash flows for August 2016 through September 2017. Crossfire has also entered bids on additional projects to continue operations into 2017 and 2018. Crossfire continuously bids for projects both in Texas and throughout the United States. As part of its restructuring plan, the company will continue to bid on projects and accept projects so that it is working on at least two projects at any given time throughout the year. Historically, Crossfire's gross margin on a project has been approximately 20% with a net profit margin of 10%. Based on its business model, the company projects that it will be able to maintain these levels of gross margins and net profit margins on all new projects it acquires post-confirmation and during the life of the plan. Through its continued business operations, Crossfire will make its plan payments, including the lease payment on the facility. The company will also continue to make bids for new projects, according to the disclosure statement. A copy of the latest disclosure statement is available for free at https://is.gd/7t9qFV About Crossfire Manufacturing Crossfire Manufacturing, LLC, and its owners Clifford and Kathryn Holland sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N. D. Texas Lead Case No. 16-50070) on March 28, 2016. The petition was signed by Clifford B. Holland, manager. At the time of the filing, Crossfire Manufacturing estimated its assets at $500,000 to $1 million and debts at $1 million to $10 million. CRYSTAL WATERFALLS: Bidding Procedures for Covina Property Okayed ----------------------------------------------------------------- Judge Ernest M. Robles of the U.S. Bankruptcy Court for the Central District of California authorized the bidding procedures that will govern Crystal Waterfalls, LLC's sale of real property and improvements located at 1211 East Garvey Street, Covina, California, bearing assessor's parcel numbers 8447-031-045 and APN 8447-031-053, upon which the Debtor operates a Park Inn by Radisson hotel to PFM Ltd./Hillary Shockley, et al. and/or assignee, for the aggregate amount of $25,000,000, subject to overbid. A hearing on the Motion was held on Sept. 23, 2016 at 11:00 a.m. Under the Sales Procedures, only Qualified Bidders may participate in the sale process. To be a "Qualified Bidder", a person or entity that is interested in purchasing the Assets must submit to Debtor's counsel, Ian S. Landsberg, Esq., Landsberg Law, APC, 9300 Wilshire Blvd., Suite 565, Beverly Hills, CA, Telephone (310) 409-2228, Facsimile (310) 409-2380; ian@landsberg-law.com, an "Alternative Bid" so that it is received 7 calendar days prior to the Sale Hearing. The initial Alternative Bid will be in the amount of at least $750,000 more than the Purchase Price of $25,000,000. Qualified Bidders are those prospective bidders who deliver to the Debtor's counsel (i) a good funds deposit in the amount of 3% of the Purchase Price, which is $750,000; (ii) written evidence from a third party reasonably satisfactory to the Debtor of its financial ability to perform the obligations under the Purchase Agreement; (iii) a form of a proposed purchase and sale agreement for the Alternative Bid (solely in the event that the Alternative Bid is based upon terms and conditions that are materially different from the terms and conditions of the Purchase Agreement); and (iv) a written statement signed by the Qualified Bidder agreeing that such Alternative Bid, if successful at the hearing on the sale motion, will be bound by the terms of the Purchase Agreement. No Alternative Bids that are contingent as to financing will be considered. The hearing to approve the Sale Motion will take place on Nov. 18, 2016 at 1:30 p.m. ("Sale Hearing") in Courtroom 1568 of the U.S. Bankruptcy Court, Central District, Los Angeles Division, located at 255 E. Temple Street, Los Angeles, CA. If Alternative Bids are received from Qualified Bidders, the Debtors will conduct an auction ("Auction") for a sale of the Assets on Nov. 15, 2016 at 10:00 a.m. at the offices of Debtor's counsel, Landsberg Law, APC, located at 9300 Wilshire Blvd., Suite 565, Beverly Hills, CA. Only a Qualified Bidder who has submitted an Alternative Bid will be eligible to participate at the Auction. At such Auction, Purchaser and Qualified Bidders will be permitted to increase their bids. In the event there is at least one Qualified Bidder, the Debtor will conduct an Auction (i) with each successive overbid to be in not less than $200,000 increments, and (ii) setting any such additional procedural rules that it determines to be reasonable under the circumstances for conducting the Auction. Upon conclusion of an Auction, the Debtor will (i) review each Alternative Bid on the basis of financial and contractual terms and the factors relevant to the sale process, including those factors affecting the speed and certainty of consummating the Sale and (ii) identify the highest and otherwise best offer ("Successful Bid"). The Debtors will then request at the Sale Hearing that the Court approve the Sale to the individual/entity with the Successful Bid ("Successful Bidder"). The Debtors may adopt rules for the bidding process that are not inconsistent with any of the provisions of the Bankruptcy Code, any Bankruptcy Court Order, or these Sale Procedures. Following the hearing on the Sale Motion, if such Successful Bidder fails to consummate an approved sale because of a breach or failure to perform on the part of such Successful Bidder, (a) it will forfeit its good funds deposit to the Debtor and the Debtors may pursue any and all of its options at law and in equity with respect to such breach and (b) the next highest or otherwise best Alternative Bid, as disclosed at the Sale Hearing, will be deemed to be the Successful Bid and the Debtor will be authorized to effectuate such sale without further order of the Bankruptcy Court or (c) the Debtor may reschedule the Auction to a later date and time convenient to the Court. The second highest and alternative bid, or any Alternative Bid that is designated by the Bankruptcy Court as a "backup" bid at the hearing on the Sale Motion, will remain binding upon the offer or as an Alternative Bid, and in the event the successful bidder fails to close as required, such Alternative Bid will be deemed accepted by the Debtor and approved by the Bankruptcy Court. In the event the Debtor intends to proceed with a closing with respect to any bid designated by the Bankruptcy Court as a "backup" bid at the hearing on the Sale Motion, the Debtor will provide to the party whose bid was designated as a "backup" bid not less than 10 days prior written notice of the date set for the closing with respect to such "backup" bid. Debtor will serve on all creditors, a Notice of the Auction and Hearing on the Debtor's proposed sale no later than 7 calendar days after entry of the Order. Objections, if any, to the Sale Motion will be filed and served on Debtor's counsel no later than 14 days before the Sale Hearing. Replies, if any, thereto will be filed and served on the objecting party no later than 7 days before the Sale Hearing. About Crystal Waterfalls Crystal Waterfalls LLC owns real property in Covina, California, on which it currently operates a hotel known as the Park Inn by Radisson. Situated in the heart of Southern California, the Hotel is just east of downtown Los Angeles at the base of the San Gabriel Mountains, and a short distance from West Covina, San Dimas, Irwindale, City of Industry, Pomona, and Ontario, and many major attractions (such as amusement parks, the Pomona Fairplex, and Irwindale Speedway). The Hotel includes 258 rooms (50 of which require certain forms of rehabilitation and currently are not in use), and has a fitness center, an outdoor heated swimming pool and whirlpool, and 9,000 square feet of meeting space. Facing an imminent foreclosure sale by its senior lender, Crystal Waterfalls LLC filed a Chapter 11 petition (Bankr. C.D. Cal. Case No. 15-27769) in Los Angeles, California, on Nov. 19, 2015. Judge Ernest M. Robles presides over the case. The petition was signed by Lucy Gao, managing member. Crystal Waterfalls currently has two members: (1) Lucy Gao, who serves as the Debtor's managing member; and (2) Golden Bay Investments LLC, a California limited liability company ("Golden Bay"). Ms. Gao is the sole and managing member of Golden Bay. The Debtor disclosed $52.5 million in assets and $71.4 million in liabilities in its schedules. The schedules say that the Covina, California hotel property is worth $52 million. The Debtor received approval to employ Landsberg Law, APC, as bankruptcy counsel. The U.S. Trustee has filed a motion seeking to convert Crystal Waterfalls' bankruptcy case to a Chapter 7 case, or to dismiss the case. CYRUS WAY HOLDINGS: No Distribution To Be Made For Unsecureds ------------------------------------------------------------- Cyrus Way Holdings, LLC, filed with the U.S. Bankruptcy Court for the Western District of Washington a disclosure statement dated Sept. 21, 2016. Class 4 General Unsecured Class are impaired under the Plan of Reorganization. The Debtor listed no other unsecured claims in its schedules and no proofs of claim have been filed. Accordingly, the Debtor reserves the right to amend this document up until the time of the hearing on confirmation of the Plan. As there are no general unsecured creditors, no distribution will be made. Payments and distributions under the Plan will be funded by the rental of the commercial building located at 11709 Cyrus Way Holdings, LLC. At present, Western Industrial, Inc., is the building's primary tenant, and they are in Chapter 7 proceedings. There will be a recovery of assets in that case and the Debtor expects to receive a distribution in or around December 2016. If no payment is forthcoming from Western Industrial, Inc., or if the lease is rejected by the trustee, the Debtor will pursue a new tenant. Accordingly, the Debtor has signed an exclusive lease listing agreement with Windermere Commercial NW. As a last resort and in the alternative, if the Debtor is unable to resume its regular monthly mortgage payments, the Debtor may sell the property on or before 60 months from the effective date of confirmation of this Plan. The Disclosure Statement is available at: http://bankrupt.com/misc/wawb16-13356-22.pdf Cyrus Way Holdings LLC, based in Mukilteo, Washington, filed a Chapter 11 petition (Bankr. W.D. Wash. Case No. 16-13356) on June 24, 2016. The Hon. Timothy W. Dore presides over the case. Larry B. Feinstein, Esq., of Vortman & Fenstein, P.S., serves as bankruptcy counsel. In its petition, the Debtor estimated $1 million to $10 million both in assets and liabilities. The petition was signed by Mark L. Jackson, owner. CYU LITHOGRAPHICS: Wants to Use Cash Collateral of RM Machinery --------------------------------------------------------------- CYU Lithographics, Inc., doing business as Choice Lithographics, seeks authority from the U.S. Bankruptcy Court for the Central District of California to use the cash collateral of RM Machinery, Inc. The Debtor tells the Court that it currently operates a printing company which requires the use of cash collateral to maintain its operations, pay ordinary operating expenses, and replenish its inventory. The Debtor further tells the Court that in order to maintain operations without disruption, the Debtor must be permitted to pay in the ordinary course of business, among others, its employees, contractors, landlords, vendors, utility providers, and suppliers. The Debtor asserts that the single entity with an asserted interest in the Debtor's cash collateral is RM Machinery, Inc. The Debtor further asserts that it has initially entered into a blanket Security Agreement with MAC Funding to assure repayment of certain lease agreements for a Mitsubishi Diamond 3000S Six Color Sheetfed Printing Press (two presses in total), which were subsequently assigned to RM Machinery. Currently, RM Machinery maintains a blanket security interest in Debtor’s assets to secure repayment of these leases. The Debtor contends that RM Machinery's asserted interest in cash collateral would be adequately protected by a combination of: (a) the continued operation of the Debtor's business; (b) the grant of a replacement lien on post-petition receivables to the extent of any diminution in value of RM Machinery's collateral as a result of the Debtor's use of cash collateral, in the same priority and to the same extent and validity as RM Machinery's asserted prepetition security interest; and (c) monthly adequate protection payment to RM Machinery in the amount of $7,721 for the months of October, November, and December 2016. A full-text copy of the Debtor's Motion dated Sept. 21, 2016 is available at http://tinyurl.com/htpvk4t About CYU Lithographics CYU Lithographics, Inc., doing business as Choice Lithographics, filed a Chapter 11 petition (Bankr. C.D. Cal. Case No. 16-13915), on Sept. 16, 2016. The petition was signed by Michael C. Wang, president. The case is assigned to Judge Theodor Albert. The Debtor is represented by John H Bauer, Esq. at Financial Relief Legal Advocates, Inc. At the time of filing, the Debtor estimated assets at $100,000 to $500,000 and liabilities at $1 million to $10 million. The Debtor did not include a list of its largest unsecured creditors when it filed the petition. D&H MACHINE SERVICE: Counsel Awarded $19K in Fees, Expenses ----------------------------------------------------------- Judge Suzanne H. Bauknight of the United States Bankruptcy Court for the Eastern District of Tennessee granted in part the Amended Application filed by D&H Machine Service, Inc.'s counsel, Hodges, Doughty & Carson, PLLC, for compensation and reimbursement of expenses seeking total compensation in the amount of $26,659.33, representing fees of $25,873.50 and expenses of $785.83, for the period of January 27, 2016, through April 30, 2016. Judge Bauknight found that HD&C violated the disclosure requirements of Section 329 and Rule 2016 by failing to disclose that it had performed thirteen days of pre-petition services for which it intended to seek payment post-petition. The Court denied HD&C's request in its First Application for those services provided pre-petition as a sanction for HD&C's failure to disclose the pre-petition fees as required by Section 329 and Rule 2016. Accordingly, the pre-petition fees incurred from January 27, 2016, through February 8, 2016, are disallowed, reducing the total amount of the application by $5,938.00. After deducting $5,938.00 for prepetition, non-disclosed services and the additional $1,601.50 for clerical, excessive, and lumped billing entries, HD&C is allowed fees in the amount of $18,334.00 and expenses in the amount of $785.83. A full-text copy of the Memorandum dated September 9, 2016 is available at https://is.gd/N0UlI9 from Leagle.com. D&H Machine Service, Inc., Debtor, is represented by Dean B. Farmer, Esq. -- dfarmer@hdclaw.com -- Hodges, Doughty & Carson PLLC, Kandi R. Yeager, Esq. -- kyeager@hdclaw.com -- Hodges, Doughty & Carson, PLLC. About D&H Machine Service D&H Machine Service, Inc., filed a chapter 11 petition (Bankr. E.D. Tenn. Case No. 16-30308) on Feb. 9, 2016. The petition was signed by Brian Hillard, president. The Debtor is represented by Dean B. Farmer, Esq., at Hodges, Doughty & Carson, PLLC. The Debtor estimated assets at $500,001 to $1 million and liabilities at $100,001 to $500,000. DANIEL BRUCE CARPENTER: Court Overrules Objection to IRS Claim -------------------------------------------------------------- Judge Ralph B. Kirscher the United States Bankruptcy Court for the District of Montana overruled Daniel Bruce Carpenter and Mary Esther Carpenter's objection to Proof of Claim No. 4 filed by the Internal Revenue Service. The Debtors objected to the IRS's proof of claim on December 22, 2015, requesting that the income tax component of Proof of Claim No. 4 be allowed in the sum of $34,271 rather than $163,235. The Debtors purchased an existing fire suppression business and the real property associated with the business. At that time, Debtors separated the real property from the business operations so that Gavriel, LLC, owned the real property and the business operations were conducted by Big Sky Fire Protection, Inc. Gavriel and Big Sky Fire Protection were both wholly owned by Debtors. The Debtors' argument in support of their objection to the IRS's proof of claim is two-fold. First, the Debtors contend that Big Sky Fire Protection had no cash or liquidation value at the end of 2012. Judge Kirscher ruled that based on the record in this case, such argument, in and of itself, is not persuasive because Big Sky Fire Protection never had much cash on hand; ranging from zero to a high of $989 as of September 20, 2011. The judge also pointed out that Big Sky Fire Protection's liabilities exceeded its assets not only in 2012 (by $1,091,696), but also as of September 30, 2010 (by $343,881), as of September 30, 2011 (by $572,821) and as of September 30, 2013 (by $1,700,941). Big Sky Fire Protection was clearly on a downward spiral throughout 2010, 2011, 2012 and 2013, the judge said. The Debtors decision to writeoff their Big Sky Fire Protection stock in 2012, without some other "identifiable event," was simply arbitrary because the Debtors could or should have written off the value of their Big Sky Fire Protection stock as early as 2010, which they did not do, the judge pointed out. The Debtors' second argument is that they had two identifiable events in 2012 that justified writing off the value of their Big Sky Fire Protection Stock: First Interstate Bank's termination of Big Sky Fire Protection's line of credit; and the sale of Gavriel's building, which Debtors maintain was their last remaining source of capital. Contrary to Mr. Carpenter's testimony that First Interstate Bank's line of credit was essential for Big Sky Fire Protection's operations, Big Sky Fire Protection continued its operations without the line of credit as evidenced by the fact that Big Sky Fire Protection continued to generate gross revenues without the line of credit, including gross receipts of $1,984,416 during the first eight months of 2013. Additionally, while Gavriel's real estate may have been a source of capital for Debtors, it was not an asset of Big Sky Fire Protection and Debtors have failed to show how its sale specifically impacted Big Sky Fire Protection; Big Sky Fire Protection's debt to First Interstate Bank was paid off and was arguably replaced with a debt owed to the Debtors or Gavriel, resulting in an accounting wash for Big Sky Fire Protection, the judge pointed out. It was not until sometime after Debtors filed their bankruptcy petition that Debtors' counsel concluded that Debtors could save a substantial sum of money by offsetting the gain from the sale of Gavriel's building with a worthless stock writeoff, the judge said. Unfortunately for Debtors, the evidence shows that Big Sky Fire Protection's stock became worthless not in 2012, but in 2013 when Debtors ceased operating Big Sky Fire Protection and when First Interstate Bank seized its collateral, the judge added. A full-text copy of the Memorandum of Decision dated September 15, 2016 is available at https://is.gd/nmo4DR from Leagle.com. DANIEL BRUCE CARPENTER, Debtor, is represented by HAROLD V. DYE, Esq. OFFICE OF THE U.S. TRUSTEE, U.S. Trustee, is represented by NEAL G. JENSEN, UNITED STATES TRUSTEE'S OFFICE. Daniel Bruce Carpenter and Mary Esther Carpenter filed a Chapter 11 petition (Bankr. D. Mont. Case No. 13-61192) on August 30, 2013. DAVID BULL: Gets Court Approval of Disclosure Statement ------------------------------------------------------- The Hon. Paul M. Glenn of the U.S. Bankruptcy Cout for the Middle District of Florida has approved David H. Bull and Mary A. Bull's disclosure statement for the Debtor's amended plan of reorganization dated Aug. 9, 2016. Should the Debtors choose to amend or supplement the Disclosure Statement, (a) the Debtors will file the amendment or supplement within 15 days from Sept. 23, 2016, the date of the entry of the court order, and (b) creditors and parties-in-interest will have 15 days after the filing to object to the Disclosure Statement, as amended or supplemented. If an objection is filed, the Court may schedule a further hearing. If the Debtors do not amend or supplement the Disclosure Statement, or if there is no timely objection to the amended or supplemented Disclosure Statement, the Court will enter a further order scheduling a confirmation hearing and related deadlines. David H. Bull and Mary A. Bull filed for Chapter 11 bankruptcy protection (Bankr. M.D. Fla. Case No. 12-01522) on March 8, 2012. DAVID PROCTOR: Selling 100-Acre Vacant Land for $245K to Stockton ----------------------------------------------------------------- David Irving Proctor asks the U.S. Bankruptcy Court for the Eastern District of Washington to authorize the sale of approximately 100 acres of vacant land commonly known as Spring Valley Road Property in Pend Oreille County, Washington to David Stockton for $245,000. A hearing on the Motion is set for Oct. 18, 2016 at 10:30 a.m. The objection deadline is Oct. 13, 2016. The Debtors believe the estimated fair market value of the property without deductions for interests of entities other than the estate is $245,000. The basis of the estimated fair market value is that it is the best offer they have received after extensive time on the market. The terms of the sale are: $1,000 earnest money; $100,000 due at closing; $100,000 due by July 18, 2017; and the balance of $44,000 due by July 18, 2018. The closing is scheduled to occur on Oct. 20, 2016. Known encumbrances against the property at the time of closing consist of 6 (Newport Equipment Enterprises, Inc.) in the approximate amount of $9,950. The estimated costs associated with the sale of the property are projected as follows: a. Commission (5%) : $12,250 b. Title Insurance: $667 c. Closing Fee: $400 d. Federal Express costs: $50 e. Property Tax: $258 f. Reconveyance Fee: $600 g. Segregation application: $1,500 h. Easement preparation: $1,000 i. Holdback: $1,000 All interests in the property sold free and clear will attach to the proceeds of the sale. Proceeds of the sale will be disbursed, to the extent sufficient, as follows: (a) cost of Closing; (b) to the secured claim of Class 6 (Newport Equipment Enterprises, Inc.) and (c) to the disbursing agent. The sale is made in accordance with the Debtor's confirmed Modified Plan and is necessary because the sale proceeds is necessary to fund the Plan. The Debtors ask the Court to shorten the time to respond to the Motion to Oct. 13, 2016 in order to schedule the hearing on the matter for Oct. 18, 2016. The Motion is necessary because the sale is scheduled to close on Oct. 20, 2016. Counsel for Debtors: Ian Ledlin, Esq. PHILLABAUM LEDLIN MATTHEWS & SHELDON, PLLC 421 W Riverside Ave., Suite 900 Spokane, WA 99201 Telephone: (509) 838-6055 Facsimile: (509) 625-1909 E-mail: ian@spokelaw.com About David Irving Proctor David Irving Proctor and Idamae Deloris Proctor sought Chapter 11 protection (Bankr. E.D. Wash. Case No. 10-02249) April 14, 2010. Judge Patricia C. Williams is assigned to the case. The Debtor estimated assets and liabilities in the range of $1,000,001 to $10,000,000. The Debtor tapped Ian Ledlin, Esq., at Phillabaum Ledlin Matthews & Sheldon PLL as counsel. The petition was signed by David Irving Proctor and Idamae Deloris Proctor. DEER MEADOWS: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: Deer Meadows, LLC 363 SW Bluff Dr Bend, OR 97702 Case No.: 16-33768 Nature of Business: Health Care Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court District of Oregon Judge: Hon. Peter C McKittrick Debtor's Counsel: Stephen T Boyke, Esq. LAW OFFICE OF STEPHEN T. BOYKE 10122 SW Barbur Blvd., Suite 206A Portland, OR 97219 Tel: (503) 227-0417 E-mail: steve@boykelaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Kristin Harder, manager. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/orb16-33768.pdf DIAMOND TANK: Ch. 11 Plan Proposes to Pay Unsecureds in 60 Months ----------------------------------------------------------------- Diamond Tank Rentals, Inc., and its affiliates on Sept. 20 filed with the U.S. Bankruptcy Court for the Northern District of Texas their proposed plan to exit Chapter 11 protection. Under the restructuring plan, non-insider unsecured creditors holding Class 8 claims will share pro-rata in the "unsecured creditors' pool." The Debtors will make equal payments each month for a period of 60 months to the unsecured creditors' pool. Class 8 unsecured creditors, which assert a total of $450,000 in claims, will be paid quarterly. Payments will begin on the last day of the first quarter after the effective date of the plan. The Debtor may pre-pay the unsecured creditors anytime. The restructuring plan will be funded from the sale of certain assets of the Debtors, and income from the continued operation of their business, according to the Debtors' disclosure statement explaining the plan. A copy of the disclosure statement is available for free at https://is.gd/OkLIPc The Debtors are represented by: Eric A. Liepins, Esq. Eric A. Liepins, P.C. 12770 Coit Road, Suite 1100 Dallas, Texas 75251 Phone: (972) 991-5591 Fax: (972) 991-5788 Email: eric@ealpc.com About Diamond Tank Diamond Tank Rentals Inc., Diamond T. Industries LLC and TNT Forklifts Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N. D. Texas Lead Case No. 16-41547) on April 15, 2016. The petition was signed by Roger Turner, president. The case is assigned to Judge Russell F. Nelms. At the time of the filing, the Debtor estimated assets of less than $50,000 and liabilities of $1 million to $10 million. DONALD ELARDO: Disclosure Statement Hearing Set For Nov. 3 ---------------------------------------------------------- The Hon. Paul R. Warren of the U.S. Bankruptcy Court for the Western District of New York has scheduled for Nov. 3, 2016, at 1:00 p.m. a hearing to consider Donald Elardo's disclosure statement. Oct. 27, 2016, is the last day for filing and serving objections to the Disclosure Statement. It is also the last day for filing proofs of claim in the case. Donald Elardo fdba Finish Line Enterprises filed for Chapter 11 bankruptcy protection (Bankr. W.D.N.Y. Case No. 14-21445). DUCK NECK: Hearing on Disclosures, Plan Confirmation on Nov. 21 --------------------------------------------------------------- The Hon. Thomas J. Catliota of the U.S. Bankruptcy Court for the District of Maryland has scheduled for Nov. 21, 2016, at 2:00 p.m. a hearing to consider the approval of the amended disclosure statement and the confirmation of the amended plan filed by Duck Neck Campground LLC and plan sponsor WBR Investment Corporation. Objections to the confirmation of the Plan must be filed by Oct. 25, 2016. Oct. 25, 2016, is also fixed as the last day for filing written acceptances or rejections of the Amended Plan. Under the Plan, holders of allowed Class 5 General Unsecured Claims will be paid from the net proceeds, after payment of Class 1, 2, 3 and 4 creditors, from the sales of (1) the Campground; (2) the Salisbury Farm and Residence; and (3) the Salisbury Outparcel. To the extent that there are insufficient proceeds from the sales of the Campground, the Salisbury Farm and Residence and the Salisbury Outparcel to pay the Class 5 creditors in full, the Debtors are entitled to and may, in their discretion and subject to approval of the Court in the bankruptcy case of Wilson B. Reynolds, Jr., elect to utilize net proceeds from the sale of the Tennessee Campground, the sale of the Tennessee Cabins and Lots, or the sale of the Tennessee Hotel to pay the Class 5 creditors, after obtaining necessary approval from the Court. The Debtors anticipate, but cannot be certain as of the date of the filing of this Plan, that Class 5 claims will be paid in full. Payment to allowed Class 5 claim holders will be made upon there being sufficient funds in the Disbursing Account. No Class 5 claim will be paid until payment is made in full to Classes 1 through 4. Class 5 is a class of claims impaired under the Plan. The Plan will be funded from cash on hand plus these assets: (a) all net proceeds from the sale of the Campground and Duck Neck's business as a going concern; (b) all net proceeds from the sale of the Salisbury Farm and Residence; (c) all net proceeds from the sale of the Salisbury Outparcel; (d) a portion of the net proceeds from the sale of the Tennessee Campground; (e) a portion of the net proceeds from the sale of the Tennessee Cabins and Lots; (f) a portion of the net proceeds, if any, from the sale of the Tennessee Hotel and (g) the prosecution and resolution of any Causes of Action. Because the net proceeds from the Tennessee Campground, the Tennessee Assets are all property of the Wilson B. Reynolds, Jr. Bankruptcy Estate, in order to implement the terms of the Plan, subject to the rights of creditors in the Reynolds Bankruptcy proceeding, the Reynolds Bankruptcy Estate will seek approval from this Court in the Reynolds Bankruptcy proceeding to permit the transfer of certain net proceeds from the sales of the Tennessee Assets into the Reynolds Bankruptcy Estate for distribution to the Debtors' creditors, as needed in accordance with the forbearance agreement. Notwithstanding any other cause of action the Debtors may have, the Debtors have reviewed all relevant transactions and have determined there are no potential avoidance actions from which they can recover additional funds. Because the owners of the Salisbury Farm and Residence and the Salisbury Outparcel are in separate pending Chapter 11 cases, those debtors will either obtain approval from the Court to sell and commit the net proceeds from the sale of the Salisbury Farm and Residence and the Salisbury Outparcel to the payment of creditors as set forth in the forbearance agreement. The Joint Fourth Amended Disclosure Statement is available at: http://bankrupt.com/misc/mdb15-15973-216.pdf Salisbury, Maryland-based WBR Investment Corporation owns approximately 90 acres of campground located at 500 Double Creek Point Road, Chestertown, Maryland, on which Chestertown, Maryland-based Duck Neck Campground LLC operates a campground and trailer park, with approximately 300 trailer sites, water and electrical hookups, and sewer connections for its RV visitors. Headquartered in Chestertown, Maryland, Duck Neck Campground LLC filed for Chapter 11 bankruptcy protection (Bankr. D. Md. Case No. 15-15973) on April 27, 2015, estimating its assets and liabilities at between $1 million and $10 million. The petition was signed by Wilson Reynold, sole member. Judge Thomas J. Catliota presides over the case. Alan M. Grochal, Esq., at Tydings & Rosenberg, LLP, serves as the Debtor's bankruptcy counsel. DVR LLC: DOJ Watchdog Names Joli A. Lofstedt as Ch. 11 Trustee -------------------------------------------------------------- Patrick S. Layng, the U.S. Trustee for the District of Colorado, appointed Joli A. Lofstedt as the Chapter 11 Trustee for the estate of DVR, LLC, on September 22, 2016. The notice of appointment of a Chapter 11 Trustee is pursuant to an Order dated September 14, 2016, directing the U.S. Trustee to appoint a Chapter 11 Trustee in the Chapter 11 case of the Debtor. The Chapter 11 Trustee bond is initially set at $30,000. The bond may require adjustment as the trustee collects and liquidates assets of the estate, and the trustee is directed to inform the Office of the United States Trustee when changes to the bond amount are required or made. The Counsel for the U.S. Trustee is: Alan K. Motes ALAN K. MOTES Byron G. Rogers Federal Building 1961 Stout St., Suite 12-200 Denver, CO 80294-1961 Tel.: (303) 312-7999 Fax: (303) 312-7259 Email: Alan.Motes@usdoj.gov About DVR, LLC DVR, LLC, based in Englewood, Colo., filed a Chapter 11 petition (Bankr. D. Colo. Case No. 16-17064) on July 18, 2016. The Hon. Joseph G. Rosania Jr. presides over the case. Matthew T. Faga, Esq. and James T. Markus, Esq. at Markus Williams Young & Zimmerman LLC as bankruptcy counsels. In its petition, the Debtor estimated $1 million to $10 million in both assets and liabilities. The petition was signed by Edward B. Cordes, authorized representative. EASTERN FUNDING: DOJ Watchdog Seeks Appointment of Ch. 11 Trustee ----------------------------------------------------------------- The United States Trustee, William K. Harrington, asks the U.S. Bankruptcy Court for the District of Massachusetts, to enter an order requiring the appointment of a Chapter 11 Trustee in the Chapter 11 case of Eastern Funding & Investment, Inc. Creditors Cythina Maria Chy and Samuel Chy filed a civil action against the Debtor asserting a claim for common law fraud and alleges that the Debtor and its president, Kevin Taing, engaged in a pattern of deceptive business practices involving fraudulent mortgage transactions. The Creditors also alleged that Mr. Taing routinely comingles funds attributable to the Debtor with his personal funds. A judgment was entered against both the Debtor and Mr. Taing on June 10, 2016, for the failure of the Debtor and Mr. Taing to timely file a responsive pleading to the Chys' complaint. The U.S. Trustee asserts that the Debtor's and Mr. Taing's failure to defend against the allegations of fraud in the Chys' complaint and the ensuing default judgment constitute gross mismanagement of the affairs of the Debtor, if not fraud, dishonesty or incompetence, and cause exists for the appointment of a Chapter 11 Trustee under Sec. 1104(a)(1). Moreover, the appointment of a Chapter 11 Trustee will allow for the identification and segregation of the comingled funds belonging to the Debtor, and constitutes cause under Sec. 1104(a)(2) as in the interest of Creditors, the U.S. Trustee further asserts. The U.S. Trustee is represented by: Lisa D. Tingue, Esq. U.S. DEPARTMENT OF JUSTICE Office of the United States Trustee 446 Main Street, 14th Floor Worcester, MA 01608 Tel.: (508) 793-0555, ext. 5563 Email: lisa.d.tingue@usdoj.gov About Eastern Funding Eastern Funding & Investment, Inc., filed a Chapter 11 bankruptcy petition (Bankr. D. Mass. Case No. 16-41502) on August 29, 2016, disclosing under $1 million in both assets and liabilities. The petition was filed pro se. The Debtor hired Ehrhard & Associates, P.C. to serve as counsel. No official committee of unsecured creditors has been appointed in the case. EDGAR COLON: Bid to Recuse Judge Lamoutte Denied ------------------------------------------------ Judge Enrique S. Lamoutte of the United States Bankruptcy Court for the District of Puerto Rico denied the motions requesting his recusal from the case captioned IN RE: EDGAR ABNER REYES COLON, Involuntary Debtor, CASE NO. 06-04675 (Bankr. D.P.R.). Dr. Edgar A. Reyes Colon moved to recuse Judge Lamoutte, alleging that "what should have been cause for long-delayed celebration was marred by Judge Lamoutte's prejudicial and wholly unnecessary advisory findings of alleged fraud in the Dismissal Order, and his invalid, extra-statutory, and publicly prejudicial referral of Dr. Reyes to the United States Attorney for the District of Puerto Rico for criminal prosecution." Dr. Reyes further stated that these orders "alone and considered together with Judge Lamoutte's past actions in this case - clearly show a pervasive pattern of apparent and actual bias on Judge Lamoutte's part against Dr. Reyes. This warrants recusal." Dr. Francisco Quintero Pena, although claiming to be "not a party in this matter," joined the motion requesting recusal and the motion requesting an inquiry into Banco Popular de Puerto Rico's (BPPR) misrepresentations to the court. BPPR filed a response in opposition to the motions to recuse, on the grounds that the same "fails to meet the objective pervasive-bias exception test as explained in Likely v. United States, 510 U. S. 540 (1994) and this Honorable Court's prior decisions on this subject. BPPR asserted that Dr. Reyes opted not to present any evidence. Thus, the only evidence before the court was the evidence presented by BPPR, which stood uncontested. Judge Lamoutte denied the motions requesting his recusal, concluding that his determinations were made after considering the facts, which were not contested, in light of the applicable law, as presently understood by him, and not due to any bias or prejudice. A full-text copy of Judge Lamoutte's September 30, 2016 order is available at http://bankrupt.com/misc/prb06-04675-750.pdf ELBIT IMAGING: Announces Series H Notes Buyback ----------------------------------------------- Elbit Imaging Ltd. announced that repurchases of the following notes were executed since the June 1, 2016, to Sept. 29, 2016: Note: Series H The acquiring corporation: Elbit Imaging Ltd Quantity purchased (Par value): 35,826,536 Weighted average price: 93.94 Total amount paid(NIS): 33,656,712 The entire repurchased notes since the 12th of October, 2015, as the first Notes buyback plan announcement, to Sept. 29, 2016: Note: Series H The acquiring corporation: Elbit Imaging Ltd Quantity purchased (Par value): 135,258,103 Weighted average price: 91.38 Total amount paid(NIS): 123,579,299 A full-text copy of the press release is available at: https://is.gd/DKicKT About Elbit Imaging Tel-Aviv, Israel-based Elbit Imaging Ltd. (TASE, NASDAQ: EMITF) holds investments in real estate and medical companies. The Company, through its subsidiaries, also develops shopping and entertainment centers in Central Europe and invests in and manages hotels. Elbit Imaging reported a loss of NIS 186.15 million on NIS 1.47 million of revenues for the year ended Dec. 31, 2015, compared to profit of NIS 1 billion on NIS 461,000 of revenues for the year ended Dec. 31, 2014. As of Dec. 31, 2015, Elbit Imaging had NIS 778.25 million in total assets, NIS 758.96 million in total liabilities and NIS 19.28 million in shareholders' equity. Since February 2013, Elbit has intensively endeavored to come to an arrangement with its creditors. Elbit has said it has been hanging by a thread for more than five months. It has encountered cash flow difficulties and this burdens its day to day activities, and it certainly cannot make the necessary investments to improve its assets. In light of the arrangement proceedings, and according to the demands of most of the bondholders, as well as an agreement that was signed on March 19, 2013, between Elbit and the Trustees of six out of eight series of bonds, Elbit is prohibited, inter alia, from paying off its debts to the financial creditors -- and as a result a petition to liquidate Elbit was filed, and Bank Hapoalim has declared its debts immediately payable, threatening to realize pledges that were given to the Bank on material assets of the Company -- and Elbit undertook not to sell material assets of the Company and not to perform any transaction that is not during its ordinary course of business without giving an advance notice to the trustees. Accountant Rony Elroy has been appointed as expert for examining the debt arrangement in the Company. In July 2013, Elbit Imaging's controlling shareholders, Europe- Israel MMS Ltd. and Mr. Mordechay Zisser, notified the Company that the Tel Aviv District Court has appointed Adv. Giroa Erdinast as a receiver with regards to the ordinary shares of the Company held by Europe Israel securing Europe Israel's obligations under its loan agreement with Bank Hapoalim B.M. The judgment stated that the Receiver is not authorized to sell the Company's shares at this stage. Following a request of Europe-Israel, the Court also delayed any action to be taken with regards to the sale of those shares for a period of 60 days. Europe Israel and Mr. Zisser have also notified the Company that they utterly reject the Bank's claims and intend to appeal the Court's ruling. ELBIT IMAGING: Negotiating Possible Forward Sale Transaction ------------------------------------------------------------ Elbit Imaging Ltd. announced that Plaza Centers N.V., an indirect subsidiary (45%) of the Company, has signed a non-binding Letter of Intent with a third party regarding a possible forward sale of the Belgrade Plaza shopping and entertainment center in Belgrade, Serbia. Under the terms of the proposed transaction, Plaza will complete the development of the property and will remain as the asset manager of the operating shopping center for 12 months thereafter, during which time Plaza will seek to further increase the rental income and Net Operating Income. Under the terms of the LOI, upon the closing of the definitive agreement, Plaza will receive up to EUR35 million from the Purchaser and will be entitled to an additional payment of approximately EUR15 million upon the opening of the shopping center. The final agreed total value of the asset will be calculated based on the sustainable NOI after 12 months of operation, capitalized at agreed yield and subject to customary working capital adjustments. The expected transaction closure is in the fourth quarter of this year; however, at this stage there is no certainty that the transaction will be completed. The Belgrade Plaza (Visnjicka) shopping center is currently the largest development underway in Serbia, where the capital city, Belgrade, is experiencing strong market demand due to its given large catchment area of approximately 1.7 million people‎. The construction of the Project is in advanced stages and the shopping center is on schedule to be open in the first half of 2017 and is currently over 50% pre-let. Upon completion of the project, Belgrade Plaza will comprise approximately 32,000 sqm of GLA and will be anchored by a supermarket, a multi-screen cinema complex and major international and local brands. About Elbit Imaging Tel-Aviv, Israel-based Elbit Imaging Ltd. (TASE, NASDAQ: EMITF) holds investments in real estate and medical companies. The Company, through its subsidiaries, also develops shopping and entertainment centers in Central Europe and invests in and manages hotels. Elbit Imaging reported a loss of NIS 186.15 million on NIS 1.47 million of revenues for the year ended Dec. 31, 2015, compared to profit of NIS 1 billion on NIS 461,000 of revenues for the year ended Dec. 31, 2014. As of Dec. 31, 2015, Elbit Imaging had NIS 778.25 million in total assets, NIS 758.96 million in total liabilities and NIS 19.28 million in shareholders' equity. Since February 2013, Elbit has intensively endeavored to come to an arrangement with its creditors. Elbit has said it has been hanging by a thread for more than five months. It has encountered cash flow difficulties and this burdens its day to day activities, and it certainly cannot make the necessary investments to improve its assets. In light of the arrangement proceedings, and according to the demands of most of the bondholders, as well as an agreement that was signed on March 19, 2013, between Elbit and the Trustees of six out of eight series of bonds, Elbit is prohibited, inter alia, from paying off its debts to the financial creditors -- and as a result a petition to liquidate Elbit was filed, and Bank Hapoalim has declared its debts immediately payable, threatening to realize pledges that were given to the Bank on material assets of the Company -- and Elbit undertook not to sell material assets of the Company and not to perform any transaction that is not during its ordinary course of business without giving an advance notice to the trustees. Accountant Rony Elroy has been appointed as expert for examining the debt arrangement in the Company. In July 2013, Elbit Imaging's controlling shareholders, Europe- Israel MMS Ltd. and Mr. Mordechay Zisser, notified the Company that the Tel Aviv District Court has appointed Adv. Giroa Erdinast as a receiver with regards to the ordinary shares of the Company held by Europe Israel securing Europe Israel's obligations under its loan agreement with Bank Hapoalim B.M. The judgment stated that the Receiver is not authorized to sell the Company's shares at this stage. Following a request of Europe-Israel, the Court also delayed any action to be taken with regards to the sale of those shares for a period of 60 days. Europe Israel and Mr. Zisser have also notified the Company that they utterly reject the Bank's claims and intend to appeal the Court's ruling. ELECTRONIC CIGARETTES: Limited Capital Raises Going Concern Doubt ----------------------------------------------------------------- Electronic Cigarettes International Group, Ltd., filed its quarterly report on Form 10-Q, disclosing a net income of $28.46 million on $11.75 million of sales for the three months ended June 30, 2016, compared with a net income of $43.14 million on $12.37 million of revenues for the same period in 2015. For the six months ended June 30, 2016, the Company listed a net income of $8.03 million on $23.47 million of sales, compared to a net loss of $23.38 million on $24 million of sales for the same period in the prior year. The Company's balance sheet at June 30, 2016, showed $83.27 million in total assets, $147.46 million in total liabilities, and a stockholders' deficit of $64.19 million. The Company is continuing efforts to recover from certain obstacles it has faced, including unanticipated difficulties in fully integrating four business combinations completed over a period of seven months in 2014 and the inability to use proceeds from a proposed but aborted public offering of the Company's common stock during the fourth quarter of 2014. This required major restructuring and financing activities and, in response to those challenges, the Company completed certain actions to improve liquidity and operating results as reflected in the Company's Annual Report on Form 10-K. Over the past two fiscal years, the Company has relied on debt and equity financing to fund its 2014 acquisitions and negative operating cash flows. As of June 30, 2016, the Company had amortizing term loan payments of $1,267 per month commencing in October 2016, convertible debt of $19,457 that was to mature during the third quarter of 2016, a $1,251 forbearance agreement due in March 2017 and amortizing VIP promissory note payments of $300 per month commencing in October 2016. In addition, the Company was delinquent in making interest payments on its term loans and convertible debt. As a result of these efforts, the Company has improved its financial condition. However, capital resources may not be sufficient to enable the execution of its global business plan in the near term. These, and other conditions, create ongoing substantial doubt about the Company's ability to meet its financial obligations and continue operations in the normal course of business. A copy of the Form 10-Q is available at: https://is.gd/6mfqVx About Electronic Cigarettes International Group Electronic Cigarettes International Group, Ltd. is an independent marketer and distributor of vaping products and e-cigarettes. The Golden, Colo.-based Company offers a range of products, including disposables, rechargeables, tanks, starter kits, E-liquids, open and closed-end vaping systems and accessories. ELROY JOSEPH MILLER: Unsecureds To Recover 10% Under Plan --------------------------------------------------------- Elroy Joseph Miller and Krista D. Miller filed with the U.S. Bankruptcy Court for the Western District of Louisiana a first amended plan and disclosure statement. Under the Amended Plan, the Debtors will pay the holders of Class 3 General Unsecured Claims -- totaling $179,052.27 -- $1,000 per quarter, on a pro rata basis. This will amount to payments of $20,000 over the course of the Amended Plan. The payment proposed to unsecured creditors exceeds the liquidation value and amounts to a 10% distribution. The Debtors believe they will have sufficient income from employment to make payments to all creditors. Mrs. Miller's employer discovered she was over paid commissions for six months in the amount of $23,000. Her commission rate will be adjusted and the amount of $2,567 will be deducted from her pay for a nine-month period of time starting in May 2016. Sales have increased so commissions are making up for some of the short fall. Mr. Miller is self employed with 5M Medical Services and Consulting. The company is a start up having been started in February 2015. Mr. Miller believes that operations will continue to be positive. The Amended Disclosure Statement is available at: http://bankrupt.com/misc/lawb16-50309-68.pdf Elroy Joseph Miller and Krista D Miller sought Chapter 11 protection (Bankr. W.D. La. Case No. 16-50309) on March 8, 2016. The Debtor is represented by William C. Vidrine, Esq., at Vidrine & Vidrine, PLLC. ENCOMPASS DIGITAL: S&P Lowers CCR to 'B-' on Cash Flow Deficits --------------------------------------------------------------- S&P Global Ratings said that it lowered its corporate credit ratings on Atlanta-based media services company, Encompass Digital Media Inc. to 'B-' from 'B'. The rating outlook is stable. At the same time, S&P lowered its issue-level rating on the company's first-lien revolving credit and term loan facility to 'B' from 'B+'. The '2' recovery rating is unchanged, indicating S&P's expectation for substantial recovery (70%-90%; upper half of the range) of principal in the event of a payment default. S&P also lowered its issue-level rating on Encompass' second-lien term loan to 'CCC+' from 'B-'. The '5' recovery rating remains unchanged, indicating S&P's expectation for modest recovery (10%-30%; upper half of the range) of principal in the event of a payment default. "We lowered the ratings because Encompass is not generating a level of free operating cash flow (FOCF) in line with our expectations for a 'B' corporate credit rating," said S&P Global Ratings' credit analyst Dylan Singh. S&P expects high capital expenditure needs, higher-than-usual client churn, and cash flow deficits of about $10 million in the fiscal year ending March 31, 2017. S&P also expects that modest cash flow generation of about $5 million in 2018 will result in deterioration of Encompass liquidity and financial flexibility in the event of unexpected capital needs. "The stable rating outlook reflects our expectation that the company will have adequate liquidity to fund its operations and debt service obligations over the next two years," said Mr. Singh. "The outlook also reflects our expectations that EBITDA will decline at a low-single-digit percentage rate in fiscal 2017 and grow at a low- to mid-single-digit percentage rate in fiscal 2018." S&P could lower its corporate credit rating on Encompass if the company's operating performance weakens such that S&P forecasts sustained free cash flow deficits beyond fiscal 2017 or if S&P expects the liquidity to deteriorate such that the covenant headroom narrows to below 10%. S&P could raise the rating if the company is able to improve its free cash flow to debt to at least 5% on a sustained basis, despite capital spending requirements on new contract wins. This could occur if EBITDA grows at least 8%-10% annually over the next two years, with no additional debt incurred. Given the company's private equity ownership, any upgrade scenario would depend on a long-term financial policy that supports the improved credit measures. ENERGY FUTURE: Court Junks Fenicle's Appeal From 2015 Plan Order ---------------------------------------------------------------- Judge Richard G. Andrews of the United States District Court for the District of Delaware has issued the following orders in the appealed case captioned SHIRLEY FENICLE, INDIVIDUALLY, AND AS SUCCESSOR-IN-INTEREST TO THE ESTATE OF GEORGE FENICLE, AND DAVID WILLIAM FAHY, Appellants, v. ENERGY FUTURE HOLDINGS CORP., et al., Appellees, Civil Action No. 15-cv-1183-RGA (D. Del.): -- granting the Amicus Curiae Public Justice's motion for leave to file an amicus brief; -- granting the appellant's motion for leave to file a surreply in opposition to the appellee's motion to dismiss Shirley Fenicle and David William Fahy's appeal; -- dismissing the appellant's motion for joinder of putative appellant John H. Jones; and -- granting the appellee's motion to dismiss Fenicle and Fahy's appeal. On December 21, 2015, Fenicle and Fahy filed an appeal with the district court, seeking relief from a provision of an order of the bankruptcy court dated December 9, 2015 which confirmed the debtors' Sixth Amended Plan of Reorganization. The provision at issue would discharge future claims held by claimants who were exposed to asbestos but who have not yet manifested any illness and who failed to submit a proof of claim by the bar date of December 14, 2015. The order approving the Plan provided that the Plan would be rendered "null and void" if the Plan was not consummated by April 30, 2016. That date passed without consummation of the Plan. On May 1, 2016, the debtors filed a new Joint Plan of Reorganization with the bankruptcy court. The appellees moved to dismiss the Fenicle and Fahy appeal. In granting the motion to dismiss, Judge Andrews held that the effect of the failure of consummation of the debtor's confirmed plan is similar to the effect of a denial of a plan with leave to amend. The judge explained that the original confirmed plan "has been rendered null and void in all respects," and "[t]he parties' rights and obligations remain unsettled." Judge Andrews, however, denied the appellants request to be granted leave to appeal if the order is deemed interlocutory. The judge pointed out that the failure of consummation has not converted the confirmation order from a final order into an interlocutory order, but only rendered the original confirmation order as simply no longer operative. A full-text copy of Judge Andrews September 26, 2016 memorandum opinion is available at http://bankrupt.com/misc/deb14-10979-9674.pdf Shirley Fenicle is represented by: Leslie M. Kelleher, Esq. Jeanna M. Koski, Esq. CAPLIN & DRYSDALE, CHARTERED One Thomas Circle, NW, Suite 1100 Washington, DC 20005-5802 Tel: (202)862-5000 Fax: (202)429-3301 Email: lkelleher@capdale.com jkoski@capdale.com -- and -- Elihu Inselbuch, Esq. CAPLIN & DRYSDALE, CHARTERED 600 Lexington Avenue, 21st Floor New York, NY 10022 Tel: (212)379-6000 Fax: (212)379-6001 Email: einselbuch@capdale.com Shirley Fenicle and David William Fahy are represented by: Daniel K. Hogan, Esq. HOGAN MCDANIEL 1311 Delaware Avenue Wilmington, DE 19806 Tel: (302)656-7540 Fax: (302)656-7599 Email: dkhogan@dkhogan.com Energy Future Holdings Corp., et al. are represented by: Mark D. Collins, Esq. Daniel J. DeFranceschi, Esq. Jason M. Madron, Esq. RICHARDS, LAYTON & FINGER, P.A. One Rodney Square 920 North King Street Wilmington, DE 19801 Tel: (302)651-7700 Fax: (302)651-7701 Email: collins@rlf.com defranceschi@rlf.com madron@rlf.com -- and -- Brenton A. Rogers, Esq. KIRKLAND & ELLIS LLP 300 North LaSalle Chicago, IL 60654 Tel: (312)862-2000 Fax: (312)862-2200 Email: brenton.rogers@kirkland.com -- and -- Mark E. McKane, P.C., Esq. KIRKLAND & ELLIS LLP 555 California Street San Francisco, CA 94104 Tel: (415)439-1400 Fax: (415)439-1500 Email: mark.mckane@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). 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. In December 2015, the Bankruptcy Court confirmed the Debtors' Sixth Amended Joint Plan of Reorganization. In May 2016, certain first lien creditors of TCEH delivered a Plan Support Termination Notice to the Debtors and the other parties to the Plan Support Agreement, notifying the parties of the occurrence of a Plan Support Termination Event. The delivery of the Plan Support Termination Notice caused the Confirmed Plan to become null and void. Following the occurrence of the Plan Support Termination Event as well as the termination of a roughly $20 billion deal to sell the Debtors' stake in Oncor Electric Delivery Co., the Debtors filed the Plan of Reorganization and the Disclosure Statement with the Bankruptcy Court on May 1, 2016. On May 11, they filed an amended joint plan of reorganization and a related disclosure statement. In June 2016, Judge Sontchi approved the disclosure statement explaining Energy Future Holdings Corp., et al.'s second amended joint plan of reorganization of the TCEH Debtors and the EFH Shared Services Debtors. On Aug. 27, 2016, Judge Sontchi confirmed the Chapter 11 exit plans of two of Energy Future Holdings Corp.'s subsidiaries, power generator Luminant and retail electricity provider TXU Energy Inc. ENERGY FUTURE: Denial of Asbestos Claimants' Class Cert. Affirmed ----------------------------------------------------------------- In the appeals case captioned MICHAEL CUNNINGHAM, JOE ARABIE, AND MICHELLE ZIEGELBAUM, ON THEIR OWN BEHALF AND ON BEHALF OF SIMILARLY SITUATED, Appellants, v. ENERGY FUTURE HOLDINGS CORP., et al., Appellees, Civil Action No. 15-cv-1183-RGA (consolidated)(D. Del.), Judge Richard G. Andrews of the United States District Court for the District of Delaware affirmed the order of the bankruptcy court which denied a motion by the appellants for certification of a class pursuant to Fed. R. Civ. P. 23. On December 1, 2015, the appellants filed a motion with the bankruptcy court seeking to have the court exercise its discretion to apply Federal Rule of Bankruptcy Procedure 7023 to the proceeding and to certify a class of persons holding unmanifested asbestos claims. The bankruptcy court denied the motion, declining to exercise its discretion to apply Rule 7023. In addition, the court found that the class proof of claim did not meet the superiority requirement of Fed. R. Civ. P. 23(b). On appeal, Judge Andrews concluded that because the appellants failed to identify the bankruptcy court's decision not to exercise its discretion to apply Rule 7023 as an issue presented on appeal, and then did not argue it in their opening brief and reply brief, the appellants have waived the argument that the bankruptcy court abused its discretion in not applying Rule 7023. The judge also found no evidence that the bankruptcy court abused its discretion. Judge Andrews also found that the appellants have not shown that the bankruptcy court made any erroneous findings of fact, errors of law, or that it improperly applied the law to the facts with respect to the superiority inquiry. Thus, the judge concluded that the bankruptcy court did not abuse its discretion in finding the proposed class would not be superior to individual litigation. A full-text copy of Judge Andrews' September 28, 2016 memorandum opinion is available at http://bankrupt.com/misc/deb14-10979-9707.pdf Appellants are represented by: Jeanne E. Mirer, Esq. MIRER MAZZOCCHI SCHALET & JULIEN, PLLC 150 Broadway, Suite 1200 New York, NY 10038 Tel: (212)231-2235 Fax: (212)346-9063 -- and -- Daniel K. Hogan, Esq. HOGAN MCDANIEL 1311 Delaware Avenue Wilmington, DE 19806 Tel: (302)656-7540 Fax: (302)656-7599 Email: dkhogan@dkhogan.com Appellees are represented by: Mark D. Collins, Esq. Daniel J. DeFranceschi, Esq. Jason M. Madron, Esq. RICHARDS, LAYTON & FINGER, P.A. Wilmington, DE Email: collins@rlf.com defranceschi@rlf.com madron@rlf.com -- and -- Brenton A. Rogers, Esq. KIRKLAND & ELLIS LLP 300 North LaSalle Chicago, IL 60654 Tel: (312)862-2000 Fax: (312)862-2200 Email: brenton.rogers@kirkland.com -- and -- Mark E. McKane, P.C., Esq. KIRKLAND & ELLIS LLP 555 California Street San Francisco, CA 94104 Tel: (415)439-1400 Fax: (415)439-1500 Email: mark.mckane@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). 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. * * * In December 2015, the Bankruptcy Court confirmed the Debtors' Sixth Amended Joint Plan of Reorganization. In May 2016, certain first lien creditors of TCEH delivered a Plan Support Termination Notice to the Debtors and the other parties to the Plan Support Agreement, notifying the parties of the occurrence of a Plan Support Termination Event. The delivery of the Plan Support Termination Notice caused the Confirmed Plan to become null and void. Following the occurrence of the Plan Support Termination Event as well as the termination of a roughly $20 billion deal to sell the Debtors' stake in Oncor Electric Delivery Co., the Debtors filed the Plan of Reorganization and the Disclosure Statement with the Bankruptcy Court on May 1, 2016. On May 11, they filed an amended joint plan of reorganization and a related disclosure statement. In June 2016, Judge Sontchi approved the disclosure statement explaining Energy Future Holdings Corp., et al.'s second amended joint plan of reorganization of the TCEH Debtors and the EFH Shared Services Debtors. On Aug. 27, 2016, Judge Sontchi confirmed the Chapter 11 exit plans of two of Energy Future Holdings Corp.'s subsidiaries, power generator Luminant and retail electricity provider TXU Energy Inc. ENOR CORP: Hearing on Disclosures Approval Set For Oct. 27 ---------------------------------------------------------- The Hon. Vincent F. Papalia of the U.S. Bankruptcy Court for the District of New Jersey has scheduled for Oct. 27, 2016, at 11:00 a.m. the hearing on the adequacy of the disclosure statement filed by Enor Corporation describing the Debtor's plan of reorganization. About Enor Corp Enor Corporation is a plastics manufacturer that originally focused on the production of protective plastic sleeves and packaging for use in hobbies, photographic storage and the storage of collectible items. Enor operated out of two facilities, one in New Jersey and one in South Carolina, which are owned by affiliates. Enor Corporation sought Chapter 11 protection (Bankr. D.N.J. Case No. 15-32714) on Dec. 2, 2015. The petition was signed by Steven Udwin, director. Judge Vincent F. Papalia is assigned to the case. The Debtor disclosed assets of $248,659 and $5.20 million in debt. Jeffrey A. Cooper, Esq., at Rabinowitz, Lubetkin & Tully, LLC, serves as the Debtor's counsel. On Dec. 18, 2015, the U.S. Trustee's office established an official committee of unsecured creditors. On April 4, 2016, the Court entered an order authorizing the Committee to retain B. Riley & Co., LLC, as financial advisors. The Committee has hired Saul Ewing LLP as its legal counsel. No Chapter 11 trustee has been appointed in the case. EXPORTHER BONDED: Amends Estimate of Asset Liquidation ------------------------------------------------------ Exporther Bonded Corp. filed with the U.S. Bankruptcy Court for the Southern District of Florida a second amended disclosure statement regarding the Debtor's first amended plan dated July 27, 2016. The Debtor intends to liquidate all of its assets to create a Liquidation Fund. The Second Amended Disclosure Statement proposes that payments and distributions under the Plan will be funded by the Debtor's liquidation of its assets, believed to be between $50,000 and $100,000 as of confirmation (net of operating expenses incurred in the liquidation process). The Plan also contemplates a payment from Jorge H. Rivero, Jorge H. Rivero, Jr., and Juan Carlos Rivero, the Debtor's management, to pay creditors. The Debtor believes the Alcohol, Tobacco Tax and Trade Bureau's Allowed Claim of $1,746,321.36 is unsecured. Nonetheless, to the extent it is determined to be secured, the claim will be paid from the Liquidation Fund (not the Rivero Payment) in accordance with their lien rights. Otherwise they will be paid as a priority tax claim pursuant to Section 507 of the Code. General unsecured creditors are classified in Class 2 and will receive a distribution of 0 to 5% of their allowed claims, to be distributed in a lump sum on the date or dates indicated. In addition, the Rivero payment will be earmarked to allow 10% (approximately $90,000) to be distributed pro rata to Class 2 if no other funds are available. The Plan will also be funded by the Rivero payment which is in the nature of a settlement of potential claims which the Debtor and the estate may have against the Riveros. The Rivero payment is also -- in part -- an equity investment in exchange for their ongoing ownership of the post-confirmation Debtor. For clarity, the Debtor expects it will have no tangible material assets after the liquidation contemplated. Upon confirmation, the Riveros will be fully and legally committed to the Rivero payment in full in the amount of $890,886. This amount reflects the full amount due in the Debtor's books, without consideration of any defenses which the Riveros may have. The payment will be delayed pending their ability to raise the funds (the delay goes to the timing of the payment, not the commitment to nor the ability to make it). The delay is expected to be no more than 6 months from confirmation. The Debtor believes in good faith that the Riveros have access to sufficient assets to fund the Rivero payment. In addition, the Debtor expects that the relevant facts attendant to the Rivero payment will be more clear as the confirmation approaches and intends to keep the Court and interested parties apprised commensurately. As reported by the Troubled Company Reporter on Aug. 8, 2016, the Debtor filed a first amended disclosure statement describing its first amended plan of liquidation, which propose that general unsecured creditors classified in Class 2 will receive a distribution of 0 to 5 % of their allowed claims, to be distributed in a lump sum on the date or dates indicated. The First Amended Disclosure Statement proposes that payments and distributions under the Plan will be funded by the Debtor's liquidation of its assets, believed to be between $100,000 and $300,000 as of confirmation. The Plan will also be funded by the payment from the Riveros of their insider loans, which presently amount to $890,886. The Second Amended Disclosure Statement is available at: http://bankrupt.com/misc/flsb15-28287-222.pdf Exporther Bonded Corp., dba EBC Duty Free, a ship chandler generally providing specialized goods for export, usually on cruise ships, filed a Chapter 11 petition (Bankr. S.D. Fla., Case No. 15-28287) on Oct. 15, 2015. The Debtor's counsel is David R. Softness, Esq., in Miami, Florida. At the time of filing, the Debtor had $0 to $50,000 in estimated assets and $1 million to $10 million in estimated liabilities. A list of the Debtor's 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/flsb15-28287.pdf FANNIN COUNTY: S&P Lowers Rating on Revenue Debt to 'BB' -------------------------------------------------------- S&P Global Ratings lowered its long-term rating on Fannin County Public Facility Corp. (PFC), Texas' revenue debt outstanding to 'BB' from 'BBB' and kept the rating on CreditWatch, where it was placed with negative implications June 3, 2016. The bonds are secured by revenues pledged under a contract with the United States Marshals Service (USMS), which falls under the jurisdiction of the Department of Justice (DOJ). On Aug. 18, 2016, the DOJ released a memo directing the Federal Bureau of Prisons (BOP) to "reduce and ultimately end the use of privately operated prisons." Soon thereafter, the Department of Homeland Security (DHS) directed a subcommittee to review the current policy and practices concerning the use of private detention centers and evaluate whether the practice of contracting with private operators should be eliminated. The USMS has not stated a change in its current practice to use privately operated facilities; however, S&P believes that the change in policy at the DOJ for its BOP facilities heightens the risk that the USMS could follow a similar path. The rating reflects S&P's opinion of: -- The industry's inherent volatility, primarily because of the potential fluctuation for facility demand, its essentiality, and the uncertainty created by event risks and changes in policy at the federal level; -- Adequate historical annual debt service coverage, which could significantly change in the event that the contract is not renewed, or there is a reduction in demand; -- Lack of capacity within the USMS's current federally owned detention facilities, which S&P believes leads to increased service essentiality; and -- The bonds' legal and security provisions, including the short-term nature of a perpetuation agreement with renewal risks supporting the pledged revenue; and -- The quality of management and operations to date, which has not disrupted cash flows since the project's inception. Community Education Centers, an operator of detention and correctional facilities, continues to operate the facility pursuant to a long-standing operations agreement. "The CreditWatch negative placement reflects the uncertainty and potential negative implications from the current federal environment as various agencies continue to evaluate their use of private operators," said S&P Global Ratings credit analyst Ann Richardson. The USMS has yet to announce any sort of shift in federal policy; however, S&P believes there could be some sort of cotangent risk that could spill over from the DOJ's directive and the findings from DHS's subcommittee. The recommendation of the DHS subcommittee is not expected until late November. As a result, S&P will continue to monitor the situation and take rating actions as necessary. S&P expects to resolve the CreditWatch placement within 90 days. S&P could lower the rating if findings from that subcommittee trickle over to the USMS, and ultimately affect how that federal entity awards its contracts, or if additional information from the DOJ indicates a shift in policy that will affect the USMS's ability to use private operators. If it becomes clear that the DOJ's shift in policy will not affect the USMS's use of privately operated prison facilities, S&P could affirm the rating and remove it from CreditWatch. FANSTEEL INC: Has Until Oct. 17 to Use Cash Collateral ------------------------------------------------------ Judge Anita L. Shodeen of the U.S. Bankruptcy Court for the Southern District of Iowa authorized Fansteel, Inc., to use cash collateral on an interim basis, until Oct. 17, 2016. The Debtor was authorized to continue using cash collateral on the same terms and conditions of the Consent Order entered on Sept. 19, 2016, except that TCTM Financial FS, LLC's ability to terminate the use of cash collateral by filing a notice of failure to abide by the terms and conditions of the stipulation was eliminated. A full-text copy of the Order, dated Sept. 28, 2016, is available at http://bankrupt.com/misc/FansteelInc2016_1601823als11_111.pdf About Fansteel, Inc. Headquartered in Creston, Iowa, Fansteel operates four business units at four locations in the USA and one in Mexico with a workforce of more than 600 employees. Fansteel generated approximately $87.4 million in revenue in 2015 on a consolidated basis. WDC contributes approximately 67% of Fansteel's sales. The rest of the sales are generated from Intercast, a division of Fansteel, and other non-debtor subsidiaries, as disclosed in court documents. Fansteel, Inc., and subsidiaries Wellman Dynamics Corporation and Wellman Dynamics Machinery & Assembly Inc., each filed a voluntary petition under Chapter 11 of the Bankruptcy Code. The cases are pending in the U.S. Bankruptcy Court for the Southern District of Iowa (Bankr. S.D. Iowa proposed Lead Case No. 16-01823) before Judge Anita L. Shodeen. The Debtors listed total assets of $32.9 million and total debt of $41.97 million as of the bankruptcy filing. The U.S. Trustee for Region 12 on Sept. 23 appointed nine creditors of Fansteel Inc. to serve on the official committee of unsecured creditors. FDO HOLDINGS: S&P Affirms 'B' Rating on 1st Lien Debt ----------------------------------------------------- S&P Global Ratings affirmed its 'B' issue-level rating on FDO Holdings Inc.'s first-lien debt and revised its recovery rating on the debt to '4' from '3' following the company's announcement that it is upsizing its new first-lien term loan due 2023 by $50 million to $350 million. The '4' recovery rating indicates S&P's expectation that lenders would receive average recovery (30%-50%; upper half of the range) of their principal in the event of a payment default. The company plans to use the proceeds from the incremental loan to fund additional dividends to financial sponsors. The 'B' corporate credit rating on FDO Holdings Inc. incorporates S&P's expectation that the company's leverage will be about 5.0x pro forma for the transaction (adjusted for operating leases), from mid-to-high 4.0x with originally proposed transaction. The stable outlook reflects our expectation that the company will be able to continue profitably expanding its store base on a leverage neutral basis in the next 12 months. RATINGS LIST FDO Holdings Inc. Corporate Credit Rating B/Stable/-- Rating Affirmed; Recovery Rating Revised To From Floor and Decor Outlets of America Inc. $350M first-lien term loan B B due 2023 4H 3L FERGUSON CONVALESCENT: Marketing Plan Ongoing, 6th PCO Report Says ------------------------------------------------------------------ Deborah L. Fish, the Patient Care Ombudsman for Ferguson Convalescent Home, Inc., has filed a sixth report for the period of July 30, 2016 to September 22, 2016. The Debtor has maintained all of its services and is delivering similar quality care to essentially the same patient population as it did pre-petition. The Debtor has 59 residents and employs nearly 100 full and part-time employees. Meanwhile, the Debtor is in the process of finalizing a marketing initiative to increase the census. The Debtor believed that any increase in the resident numbers will increase the Debtor's profitability. Moreover, there have not been any significant changes to the Debtor's nursing staff and the security since the previous report. The administration and staff confirmed that the Debtor is continuing to receive all of its necessary supplies without any interruptions in the service. About Ferguson Convalescent Ferguson Convalescent Home, Inc., filed a Chapter 11 bankruptcy petition (Bankr. E.D. Mich. Case No. 16-30397) on Feb. 24, 2016. The cases are pending before the Honorable Daniel S. Opperman. The Debtor is represented by Martin W. Hable, Esq., in Lapeer, Mich. The Debtor is a privately owned and licensed long term skilled nursing facility located at 239 S. Main St., Lapeer, Mich. It consists of 87 licensed beds, located within a leased facility. The Debtor currently has 54 residents and employs nearly 100 full and part-time employees. FERRELLGAS PARTNERS: S&P Lowers CCR to 'B'; Outlook Negative ------------------------------------------------------------ S&P Global Ratings said it lowered its corporate credit rating on Ferrellgas Partners L.P. to 'B' from 'B+'. The outlook is negative. S&P also lowered the rating on the company's senior unsecured debt to 'CCC+' from 'B-'. The '6' recovery rating on this debt is unchanged and indicates expectations for negligible (0%-10%) recovery if a payment default occurs. At the same time, S&P lowered the corporate credit and senior unsecured debt ratings on Ferrellgas L.P. to 'B' from 'B+'. The outlook is negative. The '4' recovery rating is unchanged and indicates that lenders can expect average (30%-50%; lower half of the range) recovery in the event of a payment default. The rating action follows the company's announcement that it has reached a settlement on a contract with Jamex Marketing LLC, which provided 80% of the adjusted EBITDA in the crude oil logistics business. The contract provided for a minimum volume commitment and payment obligation when volumes fell below certain thresholds. Since this past February, Jamex has no longer delivered volumes and has not met the payment obligations. As a result, S&P no longer expects cash flows tied to that contract to be realized going forward. Leverage is already elevated due to the recent warm winter and as a result, the partnership had negligible covenant cushion to its July 2016 financial covenants. S&P now expects consolidated adjusted leverage of about 7.5x. "The negative outlook on Ferrellgas Partners L.P. reflects our expectation that consolidated adjusted debt to EBITDA will exceed 7x over the next 12 months and that the company faces execution risk in successfully reducing debt below those levels," said S&P Global Ratings credit analyst Mike Llanos. S&P could lower the rating if the upcoming winter is warmer than normal, which could pressure covenant compliance and constrain liquidity. This could also occur if S&P expects consolidated adjusted debt to EBITDA to be sustained above 7.5x. S&P would revise the outlook to stable if it expects the partnership to successfully reduce consolidated adjusted leverage below 6.5x and a distribution coverage ratio above 1x. This could occur if excess cash is used to repay outstanding debt. FOREST CITY: S&P Affirms Then Withdraws 'BB' CCR ------------------------------------------------ S&P Global Ratings affirmed its 'BB' corporate credit rating on Forest City Enterprises LP. The outlook is positive. Subsequently, S&P withdrew its corporate credit rating on the company at the issuer's request, along with all of S&P's issue-level ratings. FOUNDATION HEALTHCARE: Covenant Problem Raises Going Concern Doubt ------------------------------------------------------------------ Foundation Healthcare, Inc., filed its quarterly report on Form 10-Q, disclosing a net loss of $10.27 million on $27.34 million of revenues for the three months ended June 30, 2016, compared with a net income of $5.79 million on $31.86 million of revenues for the same period in 2015. The Company's balance sheet at June 30, 2016, showed $127.29 million in total assets, $136.02 million in total liabilities, $6.96 million in preferred non-controlling interest, and a stockholders' deficit of $15.69 million. As of June 30, 2016, the Company had an accumulated deficit of $43.8 million and a working capital deficit of $5.4 million (adjusted for redemption payments of $0.9 million payable to preferred non-controlling interest holders in October 2016). During the six months ended June 30, 2016, the Company generated a net loss attributable to Foundation Healthcare common stock of $11.7 million and used $5.3 million in cash flow from operating activities from continuing operations. As of June 30, 2016, the Company had cash and cash equivalents of $1.1 million and no availability under a $15.5 million line of credit from its senior lender. Given the due dates of certain liability and debt payments and preferred noncontrolling interests redemption requirements, management projects that the Company may not be able to meet all of its obligations as they become due over the next twelve months. The Company plan to meet the projected cash flow shortage from the sale of certain assets and projected increase in revenues and decreases in expenses at its hospitals. The Company is required to maintain compliance with certain financial covenants imposed by its Senior Lenders. As of June 30, 2016, the Company is not in compliance with those covenants. On August 19, 2016, the Senior Lenders waived the financial covenant violations and modified the financial covenant requirements for the remainder of 2016 and first quarter of 2017. In addition, the Senior Lenders extended the due date of a required $3 million principal payment on the Revolving Loan to January 15, 2017. There is no assurance that the Senior Lenders will waive any future covenant violations. A copy of the Form 10-Q is available at: https://is.gd/Gs6xxR About Foundation Healthcare Oklahoma City-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 net income attributable to the Company's common stock of $5.19 million on $126 million of revenues for the year ended Dec. 31, 2015, compared to a net loss attributable to the Company's common stock of $2.09 million on $102 million of revenues for the year ended Dec. 31, 2014. FRANCISCO JAVIER SANCHEZ: Disclosures OK'd; Plan Hearing on Oct. 27 ------------------------------------------------------------------- The Hon. August B. Landis of the U.S. Bankruptcy Court for the District of Nevada has approved Francisco Javier Sanchez and Maria Elena Sanchez's disclosure statement for the Debtors' plan of reorganization. The Debtors' Plan is scheduled for hearing on Oct. 27, 2016. Francisco Javier Sanchez and Maria Elena Sanchez filed for Chapter 11 bankruptcy protection (Bankr. D. Nev. Case No. 15-14039) on July 14, 2015. The Debtors' counsel can be reached at: Corey B. Beck, Esq. 425 South Sixth Street Las Vegas, Nevada 89101 Tel: (702) 678-1999 Fax: (702)678-6788 E-mail: becksbk@yahoo.com GAINESVILLE ALF: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: Gainesville ALF, LLC dba Oxton Place of Gainesville, LLC dba Manor House of Gainesville, LLC 621 North Cherokee Road Social Circle, GA 30025 Case No.: 16-21959 Nature of Business: Health Care Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court Northern District of Georgia (Gainesville) Judge: Hon. James R. Sacca Debtor's Counsel: Theodore N. Stapleton, Esq. THEODORE N. STAPLETON, P.C. Suite 100-B 2802 Paces Ferry Road Atlanta, GA 30339 Tel: 770 436-3334 Fax: (404) 935-5344 E-mail: tstaple@tstaple.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Dwayne Edwards, managing member. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/ganb16-21959.pdf GLEN HAMMER: Proposes to Pay $5K to Unsecured Creditors ------------------------------------------------------- Glen H. Hammer filed with the U.S. Bankruptcy Court for the Southern District of Florida a disclosure statement in connection to his Plan of Reorganization proposing to pay a total distribution of $5,000 pro rata to allowed claims of general unsecured creditors. Payments of $1,000 shall be distributed pro rata on an annual basis, starting on the first of the year after the Effective Date, until the aggregate amount of $5,000.00 is paid. The Debtor may prepay any or all of the distributions with no prepayment penalty. The Debtor has successfully negotiated reduced payout terms with his largest creditors, specifically secured lender HSBC Bank, N.A. as well as Archer Capital Fund L.P. and BCWW 2013 LLC. The secured debt with HSBC will be paid by the rental income generated by the Condominium located at 2000 N. Ocean Dr, Unit 1010, Fort Lauderdale, Florida, and the unsecured creditors will receive a portion of the Debtor’s social security earnings. Archer and BCWW, per the settlement agreement, will not receive any distribution. The Debtor believes that the payment plans proposed in the Disclosure Statement are feasible with the restructured debt terms coupled with positive future projections of cash flow. A full-text copy of the Disclosure Statement dated September 14, 2016 is available at https://is.gd/lYr8gH About Glen H. Hammer Glen H. Hammer sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 15-24199) on August 6, 2015. The case is assigned to Judge Paul G. Hyman, Jr. GOODMAN AND DOMINGUEZ: Unsecureds To Recoup 26.9% Under Plan ------------------------------------------------------------ Goodman and Dominguez, Inc., et al., and the Official Committee of Unsecured Creditors filed with the U.S. Bankruptcy Court for the Southern District of Florida a disclosure statement for their plan of reorganization dated Sept. 21, 2016. Class 3 General Unsecured Claims are impaired and holders are estimated to recover approximately $4.65 million or 26.9%. Each holder of an allowed General Unsecured Claim will receive its pro rata share of (i) the Class 3 annual minimum distribution on the Class 3 annual minimum distribution payment dates, (ii) the Class 3 annual excess cash flow distribution on the Class 3 annual excess cash flow distribution dates, and (iii) 50% of the net proceeds from any cause of action. If a Class 3 Claim is disputed on or after the Effective Date, the Reorganized Debtors will deposit in the disputed claims reserve the amount of the disputed Class 3 Claim's pro rata share of the Class 3 annual minimum distribution, Class 3 annual excess cash flow distribution and interest in 50% of the net proceeds from any cause of action, and the amounts will be held in the disputed claims reserve until the time as the claim is allowed and thereafter paid by the Reorganized Debtors from the disputed claims reserve or otherwise distributed pursuant to the terms of the Plan. Once a Class 3 Claim becomes allowed by final court order or otherwise pursuant to the terms of the Plan, the holder of the allowed Class 3 Claim will receive a distribution or distributions in cash from the Reorganized Debtors representing the holder's pro rata share of the Class 3 annual minimum distribution, Class 3 annual excess cash flow distribution and interest in 50% of the net proceeds from any cause of action. Holders of claims in Class 3 will be released from liability in respect of avoidance actions. The Debtors or the Reorganized Debtors, as the case may be, explicitly waive any right to pursue avoidance actions against the holders of claims in Class 3. The Debtors or Reorganized Debtors, as applicable, will not be required to make a distribution to any creditor if the dollar amount of the Distribution is less than $10 or otherwise so small that the cost of making that distribution exceeds the dollar amount of the distribution. On the time that the final distribution is made, the Debtors or Reorganized Debtors, as applicable, may make a donation of undistributable funds as defined by Local Rule 3011-1(C)(1), in the reasonable discretion of the Debtors or Reorganized Debtors, as applicable, to one or more of the following organizations (each of which qualifies for not-for-profit status under section 501(c)(3) of the Tax Code) with undistributable funds if, in the reasonable judgment of the Debtors or Reorganized Debtors, as applicable, the cost of calculating and making the final distribution of the undistributable funds remaining is excessive in relation to the benefits to the or holders of claims who would otherwise be entitled to distributions: (i) the Bankruptcy Bar Foundation of the Bankruptcy Bar Association of the Southern District of Florida; or (ii) The Eleanor R. Cristol and Judge A. Jay Cristol Bankruptcy Pro Bono Assistance Clinic at the University of Miami School of Law. The Debtors or the Reorganized Debtors, as applicable, will use the (i) available cash on the Effective Date, (ii) cash flow on and after the Effective Date, or, where applicable, (iii) disputed claims reserve, to make all Distributions required to be made by the Debtors or the Reorganized Debtors, as applicable, on and after the Effective Date in accordance with the Plan. The Disclosure Statement is available at: http://bankrupt.com/misc/flsb16-10056-274.pdf The Debtors' counsel can be reached at: Joshua W. Dobin, Esq. Peter D. Russin, Esq. MELAND RUSSIN & BUDWICK, P.A. 3200 Southeast Financial Center 200 South Biscayne Boulevard Miami, Florida 33131 Tel: (305) 358-6363 Fax: (305) 358-1221 E-mail: jdobin@melandrussin.com prussin@melandrussin.com The counsel to the Committee can be reached at: Christopher Andrew Jarvinen, Esq. BERGER SINGERMAN LLP 1450 Brickell Avenue, Suite 1900 Miami, Florida 33133 Tel: (305) 755-9500 Fax: (305) 714-4340 E-mail: cjarvinen@bergersingerman.com About Goodman and Dominguez Goodman and Dominguez, Inc. -- dba Traffic, Traffic Shoe, Goodman & Dominguez, Inc., Traffic Shoes, and Traffic Shoe, Inc. -- is a retailer headquartered in Medley, Florida. It operates 83 stores in malls across nine states and Puerto Rico. It also sells its teen fashion products at http://www.trafficshoe.com/ Goodman and Dominguez, Inc, et al., filed Chapter 11 petitions (Bankr. S.D. Fla. Case No. 16-10056) on Jan. 4, 2016. Judge Robert A Mark presides over the case. Lawyers at Meland Russin & Budwick, P.A., represent the Debtors. In its petition, Goodman and Dominguez estimated $1 million to $10 million in both assets and liabilities. The petition was signed by David Goodman, president. GRADY COUNTY: S&P Affirms 'BB+' Rating on Revenue Bonds ------------------------------------------------------- S&P Global Ratings affirmed its 'BB+' long-term rating on Grady County Criminal Justice Authority (CJA), Okla.'s revenue bonds, and removed the rating from CreditWatch where it had been placed with negative implications June 3, 2016. The outlook is stable. "We view the CJA's service essentiality as a key credit strength," said S&P Global Ratings credit analyst Ann Richardson. The rating reflects S&P's opinion of: -- Lack of capacity within the United States Marshals Services' (USMS) current federally owned detention facilities, which S&P believes leads to increased service essentiality; -- The industry's inherent volatility, primarily because of the potential fluctuation for facility demand, its essentiality, and the uncertainty created by event risks and changes in policy at the federal level; -- Adequate historical pledged net revenues relative to maximum annual debt service (MADS), which could change significantly in the event that the contract is not renewed, or there is a reduction in demand; -- The bonds' legal and security provisions, including the short-term nature of the contract with renewal risks supporting the pledged revenue; and -- The county's continued operation of the facility independent of any private for-profit operator. The outlook reflects S&P's expectation that USMS will continue to demand use of the facility at similar levels to prior years given the lack of federal facilities to house detainees, and that net revenues may fluctuate, but will continue to provide at least adequate net DSC. In addition, the outlook is based on S&P's view that the authority will continue to manage and operate the facilities according to federal standards, and that the USMS, or the primary funding agency, will maintain the perpetual agreement with the authority. As a result, S&P views it as unlikely the rating will change over the two-year outlook horizon. Given the potential for fluctuations in demand and service essentiality, which S&P views as a continued risk and inherent weakness, S&P do not expect to raise the rating; however, S&P could do so if the agreement between the CJA and the USMS were to strengthen, indicating sustained demand for the facility. A material decrease in demand for the facility that resulted in dilution of coverage, or a shift in federal policy or law that dictates a reduction in appropriations, could lead to a downgrade. GROUP 6842: Court Allows Cash Collateral Use on Final Basis ----------------------------------------------------------- Judge Ernest M. Robles of the U.S. Bankruptcy Court for the Central District of California authorized Group 6842, LLC to use cash collateral on a final basis. Judge Robles authorized the Debtor to use, through the pendency of the chapter 11 case, and and all cash collateral on hand or later collected, consistent with the approved Budget. A full-text copy of the Final Order, dated September 28, 2016, is available at http://bankrupt.com/misc/GROUP68422016_215bk29494er_248.pdf About Group 6842, LLC. Group 6842, LLC, fka The Martin Groupe, Inc., is a California limited liability company owns and manages an eight story commercial office building located at 6842 Van Nuys Blvd., Van Nuys, California (the "Property"). The Property is currently generating approximately $80,000 of rent a month at a current occupancy rate of 60%. After infusing approximately $1 million of equity for remodeling of the Property, however, the Debtor has recently attracted a tenant to occupy the remainder of the Property. The Debtor is in negotiations and has reached an agreement, in principal, with this proposed tenant to occupy the remaining 40% of the Property, which will increase the Debtor's monthly revenue by approximately $80,000. Group 6842, LLC, fka The Martin Groupe, Inc. filed a Chapter 11 bankruptcy petition (Bankr. C.D. Cal. Case No. 15-29494) on Dec. 30, 2015. The petition was signed by Derek Folk, manager. The Debtor estimated assets at $10 million to $50 million and debts at $10 million to $50 million at the time of the filing. The case is assigned to Judge Ernest M. Robles. The Debtor is represented by Garrick A Hollander, Esq., at Winthrop Couchot Professional Corporation. GROUP 6842: Disclosures Approved; Dec. 20 Plan Hearing Set ---------------------------------------------------------- Judge Ernest M. Robles has approved the Second Amended Disclosure Statement in support of the First Amended Chapter 11 Plan of Group 6842, LLC, on Sept. 30, 2016. A hearing will be held on the confirmation of the Debtor's Chapter 11 Plan on Dec. 20, 2016, at 10:00 a.m. Eligible parties may cast their ballots on the Plan no later than Nov. 3. Parties-in-interest also have until Dec. 1 to file to written objections to the confirmation of the Plan. About Group 6842, LLC Group 6842, LLC, fka The Martin Groupe, Inc., is a California limited liability company owns and manages an eight story commercial office building located at 6842 Van Nuys Blvd., Van Nuys, California (the "Property"). The Property is currently generating approximately $80,000 of rent a month at a current occupancy rate of 60%. After infusing approximately $1 million of equity for remodeling of the Property, however, the Debtor has recently attracted a tenant to occupy the remainder of the Property. The Debtor is in negotiations and has reached an agreement, in principal, with this proposed tenant to occupy the remaining 40% of the Property, which will increase the Debtor's monthly revenue by approximately $80,000. Group 6842, LLC, fka The Martin Groupe, Inc. filed a Chapter 11 bankruptcy petitions (Bankr. C.D. Cal. Case No. 15-29494) on Dec. 30, 2015. The petition was signed by Derek Folk, manager. The Debtor disclosed estimated assets of $10 million to $50 million and estimated debts of $10 million to $50 million. Judge Ernest M. Robles has been assigned the case. The Debtor has engaged Garrick A Hollander, Esq., of the Winthrop Couchot Professional Corporation as general insolvency counsel. GROWTH OPPORTUNITY: Disclosures OK'd; Plan Hearing on Nov. 16 ------------------------------------------------------------- The Hon. Bruce A. Harwood of the U.S. Bankruptcy Court for the District of New Hampshire has approved Growth Opportunity Alliance of Greater Lawrence, Inc.'s disclosure statement dated Sept. 19, 2016, pertaining to the plan of reorganization dated Sept. 19, 2016. A hearing on confirmation of the Plan will be held on Nov. 16, 2016, at 2:00 p.m. Objections to the confirmation of the Plan as well as written acceptances or rejections of the Plan must be filed by Nov. 9, 2016. On Oct. 12, 2016, the plan proponent will serve a copy of this order, the Disclosure Statement, the Plan, and a ballot on all creditors and parties in interest. Under the pot plan, the Debtor will finish converting the Remaining estate Property to cash. The cash will be added to the Net Asset Sale Proceeds in the amount of $163,215 being held by the Debtor. The funds in the Pot will be distributed to creditors holding Allowed Claims on a Class-by-Class basis in accordance with the seniority of each Class, which creates the waterfall projected based on the Net Asset Sale Proceeds alone. Although other factors will affect the accuracy of the distribution projection, the most significant is the Debtor's assumption that the Bankruptcy Court will avoid any security interests held by Bank of New England referred to as the Bank or BNE because of its failure to perfect the interests by filing financing statements as required by the Uniform Commercial Code. The Amended Disclosure Statement further notes that the Debtor expects to pay the dividends due creditors holding Allowed General Unsecured Claims Class before Dec. 15, 2016. Under the Liquidating Pot Plan, the allowed creditors in the General Unsecured Claims Class will be paid in full, without interest. A full-text copy of the Amended Disclosure Statement is available at http://bankrupt.com/misc/nhb15-11098-162.pdf Growth Opportunity Alliance of Greater Lawrence Inc., a charitable corporation, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.N.H. Case No. 15-11098) on July 13, 2015. The Petition was filed by the Company's Acting Chairman of the Board of Directors, James Salsbury. The Debtor is represented by William S. Gannon, Esq. at William S. Gannon, PLLC of 889 Elm Street, 4th Floor, Manchester, NH. At the time of the filing, the Debtor estimated its assets at $100,001 to $500,000 and debts at $500,001 to $1 million. HALCON RESOURCES: Enters Into Supplement Indentures with U.S. Bank ------------------------------------------------------------------ Halcon Resources Corporation, certain guarantors and U.S. Bank National Association, as trustee, entered into: (i) a First Supplemental Indenture to that certain Indenture, dated as of May 1, 2015, by and among the Company, each of the guarantors named therein and the Trustee with respect to the Company's 8.625% Senior Secured Notes due 2020; and (ii) a First Supplemental Indenture to that certain Indenture, dated as of Dec. 21, 2015, by and among the Company, each of the guarantors named therein and the Trustee with respect to the Company's 12.0% Second Lien Senior Secured Notes due 2022. The Second Lien Note Supplemental Indentures amend the Second Lien Note Indentures to modify the incurrence of indebtedness, lien and restricted payments covenants. The amendments contained in the Second Lien Note Supplemental Indentures required the consent of the holders of at least a majority of the aggregate principal amount of each series of outstanding Second Lien Notes, which was obtained through a consent solicitation. The Second Lien Note Supplemental Indentures became operative upon the consummation of the consent solicitation on Sept. 30, 2016. Pursuant to the terms and subject to the conditions set forth in the consent solicitation statement previously distributed to holders of record of the Second Lien Notes as of Sept. 13, 2016, the consent fee for holders of each series of Second Lien Notes who consented to the amendments contained in the applicable Second Lien Note Supplemental Indenture was equal to $12.50 in cash for each $1,000 in principal amount of such consenting holder's Second Lien Notes. The Company paid an aggregate consent fee of approximately $10 million. About Halcon Resources Halcon Resources Corporation is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States. Halcon Resources and 21 of its subsidiaries each filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case Nos. 16-11724 through 16-11745) on July 27, 2016. The petitions were signed by Stephen W. Herod as president. The Debtors listed assets of $2.84 billion and debts of $3.14 billion as of March 31, 2016. The Debtors have hired Young Conaway Stargatt & Taylor, LLP and Weil, Gotshal & Manges LLP as co-counsel; PJT Partners LP as investment banker; Alvarez & Marsal North America, LLC as restructuring advisor; and Epiq Bankruptcy Solutions, LLC as claims, noticing and solicitation agent. Halcon Resources completed its financial restructuring and emerged from its pre-packaged Chapter 11 bankruptcy cases on Sept. 9, 2016. All of the conditions under its Plan of Reorganization, which was confirmed by the US Bankruptcy Court for the District of Delaware on Sept. 8, 2016, have been satisfied or otherwise waived in accordance with the terms of the Restructuring Plan. HALCON RESOURCES: Franklin Reports 37.9% Stake as of Sept. 9 ------------------------------------------------------------ In a Schedule 13D filed with the Securities and Exchange Commission, Franklin Resources, Inc., Charles B. Johnson and Rupert H. Johnson, Jr. disclosed that as of Sept. 9, 2016, they beneficially own 34,261,436 shares of common stock, par value $0.0001 per share, of Halcon Resources Corporation representing 37.9 percent of the shares outstanding. Franklin Advisers, Inc. also reported beneficial ownership of 34,011,952 common shares. On Sept. 9, 2016, Halcon issued shares of Common Stock and warrants to purchase additional shares of Common Stock to certain of its creditors, including FAV and Franklin Templeton Institutional, LLC, pursuant to the pre-packaged plan of reorganization of the Company and certain of its subsidiaries filed on July 27, 2016, as part of their voluntary petitions for relief under Chapter 11 of title 11 of the United States Code in the United States Bankruptcy Court for the District of Delaware. The Plan included a restructuring support agreement among the Debtors and certain stakeholders of the Debtors, including FAV, pursuant to which the stakeholders received the shares of Common Stock and Warrants. Charles B. Johnson and Rupert H. Johnson, Jr. each own in excess of 10% of FRI's outstanding common stock and are the principal stockholders of FRI. FRI and the Principal Shareholders may be deemed to be, for purposes of Rule 13d-3 under the Act, the beneficial owners of securities held by persons and entities for whom or for which FRI's subsidiaries provide investment management services. A full-text copy of the regulatory filing is available at: https://is.gd/b4Aauz About Halcon Resources Halcon Resources Corporation is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States. Halcon Resources and 21 of its subsidiaries each filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case Nos. 16-11724 through 16-11745) on July 27, 2016. The petitions were signed by Stephen W. Herod as president. The Debtors listed assets of $2.84 billion and debts of $3.14 billion as of March 31, 2016. The Debtors have hired Young Conaway Stargatt & Taylor, LLP and Weil, Gotshal & Manges LLP as co-counsel; PJT Partners LP as investment banker; Alvarez & Marsal North America, LLC as restructuring advisor; and Epiq Bankruptcy Solutions, LLC as claims, noticing and solicitation agent. Halcon Resources completed its financial restructuring and emerged from its pre-packaged Chapter 11 bankruptcy cases on Sept. 9, 2016. All of the conditions under its Plan of Reorganization, which was confirmed by the US Bankruptcy Court for the District of Delaware on Sept. 8, 2016, have been satisfied or otherwise waived in accordance with the terms of the Restructuring Plan. HARSCO CORP: S&P Revises Outlook to Stable & Affirms 'BB-' CCR -------------------------------------------------------------- S&P Global Ratings said that it has revised its outlook on Harsco Corp. to stable from negative and affirmed all of its ratings on the company, including S&P's 'BB-' corporate credit rating. "We expect that Harsco's credit measures will improve over the next 12-18 months as the company increases its operational efficiency, repays a portion of its outstanding debt, and benefits from the modest stabilization in its key end markets," said S&P Global credit analyst Tyrell Peebles. Despite the company's operating weakness in the first half of 2016, S&P believes that Harsco's operations will continue to stabilize given S&P's forecast for a stabilization in commodity prices (including Nickel and oil) this year, which should increase the demand for the company's products and services. Furthermore, S&P expects Harsco to continue to benefit from its recent restructuring initiatives under Project Orion, which led to improved margins in its metals and minerals segment in the first half of the year, as well as the ramp up of new and existing contracts in the company's rail business. In addition, Harsco has used the net proceeds from the sale of its ownership interest in Brand Energy to repay a portion of its outstanding debt. Therefore, S&P believes that the company will be able to improve its leverage to around 4x by the end of 2016 (including $40 million in rail loss provisions) and to the high-3x area in 2017, which reduces the risk that the company's leverage will increase to a level that is no longer commensurate with the current rating. The stable outlook on Harsco reflects S&P's expectation that the company will continue to improve its operating performance such that its leverage will decline to around 4x by the end of 2016 and to the high-3x area in 2017. S&P believes that this improvement will be supported by the relative stability in the company's end markets, management's continued cost improvements, and the company's planned debt repayment (using proceeds from the Brand Energy transaction). S&P could lower its ratings on Harsco if the company underperforms S&P's expectations, causing its debt-to-EBITDA metric to approach 5x while its covenant headroom falls below 15% with limited prospects for improvement. Additionally, if management chooses to divest the metals and minerals business, S&P would likely revise its assessment of the company's business risk profile, which could potentially lead S&P to lower the rating. Although unlikely in the near term, S&P could raise its rating on Harsco if a quicker-than-expected rebound in its key end markets causes its credit metrics to improve significantly, including a debt-to-EBITDA metric of less than 3x and an FFO-to-debt ratio of more than 30% on a sustained basis. The potential divestiture of the company's metals and minerals business limits the potential upside for S&P's rating. HME HOLDINGS: Wants Authorization to Use Cash Collateral -------------------------------------------------------- HME Holdings, Inc. asks the U.S. Bankruptcy Court for the District of Puerto Rico for authorization to use cash collateral. The Debtor and its related parties are indebted to Banco de Desarrollo Economico de Puerto Rico, also known as BDE, in the amount of $2,533,595, pursuant to a revolving line of credit and a term loan. The credit facilities are guaranteed, among other collateral, with the accounts receivables and cash proceeds of the Debtor. The Debtor tells the Court that it needs, on an urgent basis, the use of cash collateral in order to continue operations and pay basic expenses like payroll, insurance, rent, and utilities among others. The Debtor further tells the Court that the allowance of the use of the cash collateral will guarantee the preservation of the assets of the estate, and the current operations and sales, which are the source of the cash collateral. The Debtor's proposed budget provides for total disbursements in the amount of $108,218.65 for the period September 28, 2016 to October 12, 2016, and $845,289.24 for the period October 13, 2016 to January 31, 2017. The Debtor proposes to grant BDE with replacement liens on the same type of post-petition property of the estate against which BDE held liens as of the Petition Date, specifically the inventory and the account receivables received. The Debtor further proposes to make monthly payments to BDE on their pre-petition secured debt as per the terms and conditions of the loan agreements. A full-text copy of the Debtor's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/HMEHoldingsInc2016_1607686esl11_7.pdf About HME Holdings, Inc. HME Holdings, Inc. filed a chapter 11 petition (Bankr. D.P.R. Case No. 16-07686) on September 28, 2016. The petition was signed by Ivan Marin, authorized representative. The Debtor is represented by Carmen D. Conde Torres, Esq. and Luisa S. Valle Castro, Esq., at C. Conde & Associates. The Debtor estimated assets at $100,000 to $500,000 and liabilities at $1 million to $10 million at the time of the filing. The Debtor provides management services for its two related parties: Islandwide Logistics, Inc. and P.J. Rosaly Enterprises, Inc. It runs the human resources, business development, information and technology, finance and accounting departments for both P.J. Rosay Enterprises and Islandwide Logistics. Together, the three entities form the Islandwide Group. HOPKINTON DRUG: Wants to Continue Using Cash Until Dec. 31 ---------------------------------------------------------- Hopkinton Drug, Inc. asks the U.S. Bankruptcy Court for the District of Massachusetts for authorization to continue using cash collateral until December 31, 2016. The Debtor's proposed Budget covers a period of three months, from October 2016 to December 2016. The Budget provides for total operating expenses in the amount of $675,090 and total cost of sales in the amount of $474,192. The Debtor relates that it has filed a Combined Plan of Reorganization and Disclosure Statement, confirmation of which in its present or modified form is scheduled for a further hearing or action without hearing on November 3, 2016. The Debtor anticipates that it will have confirmed a Plan of Reorganization prior to the end of the calendar year. A full-text copy of the Debtor's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/HopkintonDrugInc2016_1640234_133.pdf A full-text copy of the Debtor's proposed Budget, dated September 28, 2016, is available at http://bankrupt.com/misc/HopkintonDrugInc2016_1640234_133_2.pdf About Hopkinton Drug, Inc. Hopkinton Drug, Inc. operates both a gift store and a community retail pharmacy in Hopkinton. Aside from manufactured pharmaceuticals, the Debtor sells medical equipment and garments, provides counseling, and ships prescription medications to customers in a number of states. The Debtor sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Mass. Case No. 16-40234) on February 19, 2016. The petition was signed by Dennis Katz, president. The Debtor is represented by David M. Nickless, Esq., at Nickless, Phillips and O'Connor. The case is assigned to Judge Christopher J. Panos. At the time of the filing, the Debtor estimated its assets and debts at $1 million to $10 million. HORSHAM VALLEY: Sale of 7 Horsham Lots Approved ----------------------------------------------- Judge Eric L. Frank of the U.S. Bankruptcy Court for the Eastern District of Pennsylvania authorized Horsham Valley Golf Club's assumption of an executory contract with Total Custome Homes, Inc. in connection with the sale of 7 residential lots in Horsham, Pennsylvania. Any and all sales of lots will be free and clear of any and all liens, claims, encumbrances and interests. As of the Petition Date, the Debtor owns 7 lots in the Final Subdivision Plans for Horsham Valley Estates date July 11, 2011 as follows: (a) lot 5 known as 481 Barrington St., Horsham PA; (b) lot 7 known as 485 Barrington St., Horsham PA; (c) lot 8 known as 487 Barrington St., Horsham PA; (d) lot 9 known as 489 Barrington St., Horsham PA; (e) lot 10 known as 491 Barrington St., Horsham PA; (f) lot 11 known as 493 Barrington St., Horsham PA; and (g) lot 12 known as 495 Barrington St., Horsham PA. The title company and insurer of any purchaser of a lot is permitted to rely upon the Order to both authorize the sale of lots and to effect a release of liens without the necessity of the provision or recordation of actual lien releases provided by the respective lienholders on the lot being sold. In the absence of any entity obtaining a stay pending appeal, the Debtor and the Purchaser are free to close on the sale of any lot after the expiration of the 14-day time period set forth in Bankrupty Rule 6004(h). About Horsham Valley Horsham Valley Golf Club sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Pa. Case No. 16-14764) on July 5, 2016. The petition was signed by Harry C. Barbin, III, partner. The case is assigned to Judge Eric L. Frank. At the time of the filing, the Debtor estimated assets and liabilities at $1 million to $10 million. HPIL HOLDING: MNP LLP Raises Going Concern Doubt ------------------------------------------------ HPIL Holding filed with the U.S. Securities and Exchange Commission its annual report on Form 10-K, disclosing a net loss of $92,659 on $35,000 of consulting revenue in 2015, compared with a net loss of $456,589 on $215,000 of consulting revenue in 2014. MNP LLP expressed substantial doubt about the Company's ability to continue as a going concern, citing that the Company has incurred continuing losses and negative cash flows from operations. In the course of its activities, the Company has sustained operating losses and expects to incur an operating loss for the foreseeable future. Expenses incurred from February 17, 2004, (date of inception) through December 31, 2015, relate primarily to the Company’s formation and general administrative activities. The Company has generated a limited amount of revenue and has not achieved profitable operations or positive cash flows from operations. The Company's balance sheet at Dec. 31, 2015, showed $6.82 million in total assets, $8,626 in total liabilities, all current, and a total equity of $6.80 million. A copy of the Form 10-K filed with the U.S. Securities and Exchange Commission is available at: https://is.gd/1rlkib HPIL Holding is focused on developing its business of evaluating for investment or acquisition both private and public companies and intellectual properties and technologies in various business sectors, including healthcare, environmental quality, energy and real estate. The Company seeks to invest and provide related consulting services in these sectors. The Company's subsidiaries include HPIL HEALTHCARE Inc., HPIL ENERGYTECH Inc., HPIL WORLDFOOD Inc., HPIL REAL ESTATE Inc., HPIL GLOBALCOM Inc. and HPIL ART&CULTURE Inc. HUDSPETH COUNTY: S&P Lowers Rating on 2014 Revenue Bonds to 'BB' ---------------------------------------------------------------- S&P Global Ratings lowered its long-term rating on West Texas Detention Facility Corp., Texas' series 2014 senior-lien taxable refunding revenue bonds issued on behalf of Hudspeth County to 'BB' from 'BBB+'. The rating remains on CreditWatch, where it was placed with negative implications June 3, 2016. The bonds are secured by revenues pledged under a contract with the United States Marshals Service (USMS), which falls under the jurisdiction of the Department of Justice (DOJ). On Aug. 18, 2016, the DOJ released a memo directing the Federal Bureau of Prisons (BOP) to "reduce and ultimately end the use of privately operated prisons." Soon thereafter, the Department of Homeland Security (DHS) directed a subcommittee to review the current policy and practices concerning the use of private detention centers and evaluate whether the practice of contracting with private operators should be eliminated. The USMS has not stated a change in its current practice to use privately-operated facilities; however, S&P believes that the change in policy at the DOJ for its BOP facilities heightens the risk that USMS could follow a similar path. In addition, while the current agreement in place at the facility is with the USMS, about half of all detainees held at the detention center fall under DHS jurisdiction. The rating reflects S&P's opinion of: -- Lack of capacity within the USMS's current federally owned detention facilities, which S&P believes leads to increased service essentiality; -- The industry's inherent volatility, primarily because of the potential fluctuation for facility demand, its essentiality, and the uncertainty created by event risks and changes in policy at the federal level; -- Strong historical annual debt service coverage (DSC), which could change significantly in the event that the contract is not renewed, or there is a reduction in demand; -- The bonds' legal and security provisions, including the short-term nature of the contract with renewal risks supporting the pledged revenue; and -- Emerald Correctional Management (ECM), an operator of detention and correctional facilities, which continues to operate the facility pursuant to a long-standing operations agreement. The center has historically been and currently is operated under an intergovernmental agreement between the county and the USMS. The agreement authorizes other agencies (such as the BOP and the Immigration Customs Enforcement [ICE] agency) to use the facility under the same agreed upon terms and rates. "The CreditWatch negative placement reflects the uncertainty and potential negative implications from the current federal environment as various agencies continue to evaluate their use of private operators," said S&P Global Ratings credit analyst Ann Richardson. The USMS, which falls under the jurisdiction of the DOJ, has yet to announce any sort of shift in federal policy; however, S&P believes there could be some sort of cotangent risk that could spill over from the DOJ's directive and the findings from DHS's subcommittee. Furthermore, about 40% of revenue from the facility is derived from ICE detainees, and the recommendation of the DHS subcommittee is not expected until late November. As a result, S&P will continue to monitor the situation and take rating actions as necessary. S&P expects to resolve the CreditWatch placement within 90 days. S&P could lower the rating if findings from that subcommittee trickle over to the USMS, and ultimately affect how that federal entity awards its contracts, or if additional information from the DOJ indicates a shift in policy that will affect the USMS's ability to use private operators. S&P could also lower the rating if the DHS subcommittee determines that there will be a shift away from the use of the facility or private operators or if immigration policy shifts in a direction that makes detention centers used less frequently in favor of detention alternatives. Conversely, S&P could affirm the rating and remove it from CreditWatch if it becomes clear that the DOJ's shift in policy will not affect the USMS' use of privately operated prison facilities. The detention facility is located in Hudspeth County immediately adjacent to the border with Mexico and about 88 miles east of El Paso. Interstate 10 runs from El Paso through Hudspeth County, paralleling the border, and there is a border patrol checkpoint located near Sierra Blanca, which is the site of the detention center. Due to its location, the facility serves as a holding site for various agencies that have a short-term need to hold those apprehended along the border area. ILLINOIS: S&P Lowers Rating on GO Bonds to 'BB' ----------------------------------------------- S&P Global Ratings lowered its rating on Illinois' general obligation (GO) bonds to 'BBB' from 'BBB+'. S&P Global Ratings also lowered its rating on the state's appropriation debt to 'BBB-' from 'BBB' and its rating on the state's moral obligation debt to 'BB' from 'BB+'. As a result of the downgrade on the state's GO debt, S&P also lowered its rating on the series 2003 B-2 GO variable-rate bonds to 'A+/A-1' from 'AA-/A-1' based on the application of S&P's joint support criteria. The outlook on all ratings is negative. "The downgrade reflects our view of continued weak financial management and increased long-term and short-term pressures tied to declining pension funded levels," said S&P Global Ratings credit analyst John Sugden. In S&P's view, the extremely weak market returns for Illinois pension systems will contribute to substantial increases in the state's statutory contribution, in addition to the contribution increases resulting from several changes to assumed rates of return. At the same time, S&P Global Ratings assigned its 'BBB' rating and negative outlook to Illinois' GO refunding bonds, series of October 2016 and GO bonds series of November 2016. The bonds are secured by the full faith and credit pledge of the state and are issued under the state's General Obligation Bond Act. Under provisions of the fiscal 2017 budget stopgap measure, the legislature provided some flexibility under its debt issuance parameters to allow the state to refund debt to achieve greater savings. The refunding is expected to provide approximately $100 million in net present value savings and to shorten the final maturity by one year relative to the refunded bonds. Due to legal restrictions, savings are expected to be taken primarily over the first two years with declining savings over the remaining maturities with the exception of the last year in which savings increase due to the shortened maturity. The series of November 2016 bonds are new money and S&P expects bond proceeds to be used to fund capital projects under the state's capital program. The 'BBB' rating reflects S&P's view of the state's: -- Long history of structural imbalance and a governmental framework that limits the state's ability to curb its spending in absence of an adopted budget; -- Top leadership's highly polarized views on how to address Illinois' fiscal imbalance, which has left the state without a fully adopted budget for a second year, and which continues to impede progress on fiscal realignment; -- Large projected operating deficit of approximately $6 billion, which could lead to pressure on liquidity and increased payables that could rise to up to $11 billion by fiscal year-end 2017, absent a budget compromise; -- Large net pension liability for its five pensions systems, which stood at $116 billion (40.2% funded) on a Governmental Accounting Standards Board (GASB) Statement 68 basis, and which is expected to increase based on weak market returns over the past two years with limited likelihood of pension reform following the May 8, 2015 ruling that the state's pension reform efforts are unconstitutional and confirming the pension protections contained in Illinois' constitution; and -- Moderately high debt burden. Partial offsetting these weaknesses is S&P's view of: -- Well-established priority of payment for debt service established by statute; -- Ability to adjust disbursements to stabilize cash flow and to access substantial amounts of cash reserves on deposit in other funds for debt service, if needed, and for operations if authorized by statute; -- Deep and diverse economy, which is anchored by the Chicago metropolitan statistical area, but is expected to lag the nation in growth over the next five years; -- Above-average income levels; and -- Substantial ability, albeit current lack of agreement on how to adjust revenues, expenditures, and disbursements. The negative outlook reflects S&P's view that absent significant measures to achieve structural balance and contain fixed cost growth in the near future, the state's practical capacity to improve its finances could greatly diminish and, with it, its credit quality. S&P could lower its rating should the state continue to demonstrate a lack of ability or willingness to adopt a long-term structural budget solution that also incorporates a credible approach to its long-term liabilities. It also reflects S&P's view that Illinois' ability to maintain adequate debt-paying capacity is becoming increasingly challenged the longer the political gridlock in Springfield plays out. The negative outlook also reflects S&P's view that the state is particularly susceptible to any unanticipated economic stress or revenue underperformance. Although S&P don't foresee this in the immediate future, challenges to the state's debt payment priority could emerge should liquidity dwindle to the point where it affects the state's ability to provide essential services. Additional downside pressures on the rating include the potential need to make accelerated debt payments on its variable-rate debt should the state fail to extend the letters of credit or face a swap termination event due to a rating trigger. S&P could revise the outlook to stable should Illinois' elected leaders demonstrate the ability to negotiate and agree on a revenue and spending package that makes significant and long-lasting improvements to the state's structural budget alignment. Given the long-term challenges that the state must address to stabilize its fiscal condition, including addressing its management of its long-term liabilities, demonstrating the ability to compromise and reach consensus is important from a credit standpoint. S&P doesn't anticipate a positive rating action prior to the state establishing a trend of improved financial metrics and substantially reduced long-term liabilities. IMPORTANT PROPERTIES: Hearing on Plan Confirmation Set for Oct. 21 ------------------------------------------------------------------ The U.S. Bankruptcy Court for the Southern District of New York is set to hold a hearing on Oct. 21, at 10:00 a.m., to consider confirmation of the Chapter 11 liquidating plan of Important Properties, LLC. The hearing will take place at Courtroom 118, 300 Quarropas Street, White Plains, New York. Creditors have until Oct. 14 to cast their votes and file their objections to the plan. Under the proposed plan, Important Properties will pay creditors holding Class 3 general unsecured claims in full and in cash. General unsecured creditors will be paid from cash on hand in the amount of $387,365, and from the proceeds generated from the sale of the company's property located at 8 Industrial Avenue, New Rochelle, New York. The property consists of a commercially zoned building currently occupied by Peter Friend Motorcycles, LLC. In case there are not enough funds to pay general unsecured creditors 100% of their claims, these creditors will share in the distribution on a pro rata basis. Important Properties estimates these claims to total $50,000. Payments of general unsecured claims will be made within 30 days of the effective date of the plan or the closing of the sale, and after payments of other claims, including administrative claims, Class 1 non-tax priority claims and Class 2 secured claim, according to the disclosure statement explaining the liquidating plan. A copy of the disclosure statement dated Sept. 20 is available for free at https://is.gd/ZQXF3i Important Properties is represented by: Jonathan S. Pasternak, Esq. Erica Aisner, Esq. DelBello Donnellan Weingarten Wise & Wiederkehr, LLP One North Lexington Avenue White Plains, New York 10601 Tel: (914) 681-0200 Email: jpasternak@ddw-law.com Email: erf@ddw-law.com About Important Properties Important Properties, LLC, sought the Chapter 11 protection (Bankr. S.D. N. Y. Case No. 15-22123) on Jan. 28, 2015. The petition was signed by John Meskunas, manager. The Debtor estimated assets and liabilities in the range of $1 million to $10 million. Erica Feynman Aisner, Esq. and Jonathan S. Pasternak, Esq at DelBello, Donnellan Weingarten Wise & Wiederkehr, LLP serve as the Debtor's counsel. The Debtor has continued in possession of its property and the management of its business affairs as a debtor-in-possession. No official committee of unsecured creditors has been appointed. No trustee or examiner has been appointed. INNOCENT CHINWEZE: Disclosures OK'd; Plan Hearing Set For Nov. 15 ----------------------------------------------------------------- The Hon. John K. Olson of the U.S. Bankruptcy Court for the Southern District of Florida has approved Innocent O. Chinweze's disclosure statement describing the Debtor's plan of reorganization. A hearing to consider the confirmation of the Debtor's Plan is scheduled for Nov. 15, 2016, at 10:30 a.m. Objections to the confirmation must be filed by Nov. 1, 2016. As reported by the Troubled Company Reporter on Aug. 18, 2016, the Debtor's restructuring plan proposes to make 20 quarterly payments to general unsecured creditors. Each general unsecured creditor will receive a pro rata share of $500 per quarter for the payments. The plan proponent's deadline for serving this court order, Disclosure Statement, Plan, and ballot is Oct. 6, 2016, which is also the last day for filing objections to claims. Oct. 25, 2016, is the deadline for fee applications. The plan proponent's deadline for serving notice of fee applications is Nov. 1, 2016. Plan proponents have until Nov. 10, 2016, to file a report and confirmation affidavit. Nov. 10 is also the deadline for the Debtor to file a certificate for confirmation regarding payment of domestic support obligations and filing of required tax returns. About Innocent Chinweze Innocent O. Chinweze sought protection under Chapter 13 of the Bankruptcy Code on Jan. 4, 2016. The case was converted to a Chapter 11 case (Bankr. S. D. Fla. Case No. 16-10063) on Feb. 17, 2016. The case is assigned to Judge John K. Olson. INT'L SHIPHOLDING Sale of 2 Tug Vessels for $165K Approved ---------------------------------------------------------- Judge Stuart M. Bernstein of the U.S. Bankruptcy Court for the Southern District of New York authorized the private sale of International Shipholding Corp.'s and its affiliated debtors' tug vessels United States Tug "Coastal 303" for $125,000, and United States Tug "Rosie Paris" for $40,000, to Southern Dawn, LLC. The sale is free and clear of liens, claims, and encumbrances. Judge Bernstein held that the transaction contemplated by Sale Agreements constitutes the highest and best offer for the assets, and will provide a greater recovery for the Debtors' estates than would be provided by any other available alternative. The Debtors' determination that the Sale Agreements constitute the highest and best offer constitutes a valid and sound exercise of the Debtors' business judgment. About International Shipholding International Shipholding Corporation filed a chapter 11 petition (Bankr. S.D.N.Y. Case No. 16-12220) on July 31, 2016. Its affiliated debtors also filed separate chapter 11 petitions. The petitions were signed by Manuel G. Estrada, vice president and chief financial officer. The Debtors are represented by David H. Botter, Esq., Sarah Link Schultz, Esq., and Travis A. McRoberts, Esq., at Akin Gump Strauss Hauer & Feld LLP. The Debtors' restructuring advisor is Blackhill Partners, LLC. Their claims, noticing & balloting agent is Prime Clerk LLC. The Debtors disclosed total assets at $305 million and total debt at $227 million as of March 31, 2016. INTERNATIONAL SHIPHOLDING: Wants Additional $2.1 -Mil. Financing ---------------------------------------------------------------- International Shipholding Corporation and its affiliated Debtors ask the U.S. Bankruptcy Court for the Southern District of New York for authorization to obtain additional post-petition financing in the amount of $2.1 million from SEACOR Capital Corp. The Debtors relate that certain of the Debtors’ crew members and employees are represented by various unions that provide for Union Benefit Plans which consist of healthcare coverage, retirement benefits, vacation wages, training opportunities, and other benefits to such employees administered by International Organization of Masters, Mates and Pilots, or the MM&P, Marine Engineers Beneficial Association, or the MEBA, Seafarers International Union, and ARA. The Debtors filed their Wages Motion, which sought authorization to pay pre-petition wages and continue employee benefit programs, among other things. The MM&P Benefits Plans and MEBA Benefits Plans, and the SIU objected to the relief requested in the Wages Motion, asserting, among other things, that the Debtors proposed to use property of the estates to fund benefits programs for non-union personnel, but did not propose to pay the benefits of equally critical union personnel, although union employee benefit claims are entitled to the same priority under the Bankruptcy Code. The Debtors relate that they have conducted ongoing negotiations with the Unions and Union Benefit Plans to consensually resolve the dispute regarding the Wages Motion, among others. The Debtors further relate that they have reached a mutually agreeable resolution with the Union Benefit Plans regarding their pending objections to the Debtors’ first day motions. The Debtors contend that have agreed to seek authority to make payments aggregating $2.1 million to the MM&P, MEBA, SIU, and ARA benefit plans, which payments shall be in satisfaction of priority claims arising under Bankruptcy Code section 507(a)(4)-(5). The Debtors further contend that this amount represents an estimate of one month’s contributions to the Union Benefit Plans and constitutes a partial payment of outstanding pre-petition debt owed by the Debtors to the Union Benefit Plans. The Debtors believe that the payments, which, among other things,address the objections filed by the Union Benefit Plans, will provide increased certainty in the chapter 11 cases and will make the Debtors’ path to emergence smoother. A full-text copy of the Debtor's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/InternationalShipholdingCorp2016_1612220smb_213.pdf About International Shipholding Corporation International Shipholding Corporation filed a Chapter 11 petition (Bankr. S.D.N.Y. Case No. 16-12220) on July 31, 2016. Its affiliated Debtors also filed separate Chapter 11 petitions. The petitions were signed by Manuel G. Estrada, vice president and chief financial officer. The Debtors are represented by David H. Botter, Esq., Sarah Link Schultz, Esq., and Travis A. McRoberts, Esq., at Akin Gump Strauss Hauer & Feld LLP. The Debtors' Restructuring Advisor is Blackhill Partners, LLC. Their Claims, Noticing & Balloting Agent is Prime Clerk LLC. The Debtors disclosed total assets at $305.08 million and total debts at $226.83 million as of March 31, 2016. ISABEL TORRES: Plan Outline to be Heard on Nov. 16 -------------------------------------------------- Isabel Judith Torres filed with the U.S. Bankruptcy Court for the Central District of California a Disclosure Statement and Plan of Reorganization on Sept. 30, 2016. A hearing will be convened on Nov. 16, 2016, at 8:30 a.m., to consider adequacy of the Disclosure Statement. Isabel Judith Torres sought bankruptcy protection (Bankr. C.D. Cal. Case No. 16-10393) on Jan. 12, 2016. Onyinye N Anyama, Esq. -- onyi@anyamalaw.com -- of Anyama Law Firm, represents the Debtor. ISLANDWIDE LOGISTICS: Wants Approval to Use BDE Cash Collateral --------------------------------------------------------------- Islandwide Logistics, Inc. asks the U.S. Bankruptcy Court for the District of Puerto Rico for authorization to use cash collateral. The Debtor and its related parties are indebted to Banco de Desarrollo Economico de Puerto Rico, also known as BDE, in the amount of $2,533,595. The indebtedness is pursuant to a revolving line of credit and term loan with BDE. The Debtor tells the Court that BDE appears to hold a lien over the Debtor's personal property, including but not limited to the account receivables and cash proceeds. The Debtor further tells the Court that even though it is still in the process of confirming the validity and extent of the alleged security provided to BDE, out of an abundance of caution and in order to avoid any disruption of the operations, it is requesting for the interim use of cash collateral. The Debtor contends that it needs to use cash collateral to maintain its operations, preserve the estate, pay its payroll, rent, utilities, insurance, taxes and all other necessary operating expenses. The Debtor's proposed Budget provides for total disbursements in the amount of $138,634.78 for the period September 28, 2016 to October 12, 2016, and $1,389,109.13 for the period October 13, 2016 to January 31, 2017. The Debtor proposes to provide BDE with replacement liens on the same type of post-petition property of the estate against which BDE had liens as of the Petition Date, specifically the inventory and the account receivables received. The Debtor further proposes to provide BDE with monthly payments on their pre-petition secured debt according to the terms and conditions of their loan agreements. The Debtor submits that by allowing it continue its regular business operations, it will be in the best position to protect the interests of the estate and of the creditors. A full-text copy of the Debtor's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/IslandwideLogisticsInc2016_1607693esl11_7.pdf About Islandwide Logistics, Inc. Islandwide Logistics, Inc. filed a chapter 11 petition (Bankr. D.P.R. Case No. 16-07693) on September 28, 2016. The petition was signed by Ivan Marin, president. The Debtor is represented by Carmen D. Conde Torres, Esq. and Luisa S. Valle Castro, Esq., at C. Conde & Associates. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. The Debtor operates over 300,000 square feet of warehouse space dedicated to providing its clients with inventory management that includes full inventory systems integration, electronic order processing, RF capability and retail time sensitive delivery service. Logistics' distribution center is designed to ensure the uninterrupted flow of the supply-chain RF Capable Warehouses. There are two related parties to this company: P.J. Rosaly Enterprises and HME Holdings, Inc. JAMES DEWAYNE MANNING: Court Approves K. Heard as Ch. 11 Examiner ----------------------------------------------------------------- Judge Clifton R. Jessup, Jr., of the U.S. Bankruptcy Court for the Northern District of Alabama entered an order on September 23, 2016, approving the Bankruptcy Administrator's Application to Appoint Kevin D. Heard as Examiner in the Chapter 11 case of the Debtors, James Dewayne Manning and Kelly A. Manning. The Court ordered that upon the appointment of the Examiner, Kevin D. Heard is further authorized pursuant to 11 U.S.C. Sec. 105 to issue to the employer of the Debtor, James Dewayne Manning, a Direction for Deduction in substantially the same form as the one previously issued by the Chapter 13 Trustee, directing that the employer withhold from the Debtor's earnings for payment to the Examiner the sum of $1,500.00 per month to be held by the Examiner in his attorney trust account pending further Order of the Court. The bankruptcy case is In the Matter of: James Dewayne Manning and Kelly A. Manning, Case No. 16-81059 CRJ-11 (Bankr. Ala.). JARRET CORN: Can Use Lone Star State Bank Cash on Final Basis ------------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Texas authorized Jarret Corn Cattle Company, Inc. to use cash collateral on a final basis, pursuant to the agreement between the Debtor and its secured creditor, Lone Star State Bank, Lubbock, Texas. The Debtor operates a custom cattle grow yard in Plains, Yoakum County, Texas, consiting of 1,054 acres. The Debtor uses the land to grow calves to a certain weight prior to transferring them to a feed yard to finish them out. The Debtor previously sold 44 heads of cattle to Tyson Foods, which generated $59,105.99 in cash. The Debtor sought authority to use the $59,105.99 to pay for expenses such as feed, fuel, utilities, office expenditures, and labor. The approved Budget covers the period from September 2016 to December 2016. The Budget provides for expenses such as $10,500 for salaries and wages; $957 for payroll taxes; and $1,000 for utilities, among other expenses. Lone Star State Bank was granted a replacement like kind lien and security interest in the Debtor's post-petition accounts receivable generated by the Debtor's custom cattle feeding operation in an amount equal to the amount of cash collateral used, in the same priority and in the same nature, extent and validity as such liens existed pre-petition. A full-text copy of the Final Order, dated September 28, 2016, is available at http://bankrupt.com/misc/JarretCornCattleCompany2016_1650181rjl11_28.pdf About Jarret Corn Cattle Company, Inc. Jarret Corn Cattle Co., Inc. filed a chapter 11 petition (Bankr. N.D. Tex. Case No. 16-50181) on Aug. 25, 2016. The petition was signed by Jarret Corn, president. The Debtor is represented to David R. Langston, Esq., at Mullin, Hoard & Brown, L.L.P. The case is assigned to Judge Robert L. Jones. The Debtor disclosed total assets at $5.44 million and total liabilities at $7.86 million. JOHN PRICE: Sale of 50% Interest in Selma Property Approved ----------------------------------------------------------- Judge Ronald B. King of the U.S. Bankruptcy Court for the Westen District of Texas authorized John Loan Price to sell his 50% interest in the real property located at 8345 Old Austin Rd., Selma, Texas, more particularly described as Lot 8, Block 15, Selma Park Estates, Unit 1, City of Selma, Bexar County, Texas, to Bryce A. King and Kelli R. King for $195,000. The sale is free and clear of all liens and interests, except for ad valorem taxes liens and the Deed of Trust lien of Wolverine Finance, LLC, that such liens will attach to the proceeds of such sale. The Debtor is authorized and ordered to pay the amounts owed for ad valorem taxes to the Bexar County Tax Assessor-Collector and to satisfy and pay in full the liens and claims of Wolverine Finance, LLC, in the amount of $122,866, at closing. Any remaining proceeds of sale will be divided equally between the Debtor and Joseph A. Pizzini. The ad valorem taxes for year 2016 pertaining to the subject property will be prorated in accordance with the Earnest Money Contract and will become the responsibility of the Purchaser and the 2016 ad valorem tax lien will be retained against the subject property until said taxes are paid in full. The Order is not stayed pursuant to Bankruptcy Rule 6004(g). John Loan Price sought Chapter 11 protection (Bankr. W.D. Tex. Case No. 16-51752) on Aug. 1, 2016. The Debtor tapped David T. Cain, Esq. at Law Office of David T. Cain as counsel. JOHN Q. HAMMONS: Wants to Continue Using Cash Until Dec. 31 ----------------------------------------------------------- John Q. Hammons Fall 2006, LLC and its affiliated Debtors ask the U.S. Bankruptcy Court for the District of Kansas to authorize the Revocable Trust of John Q. Hammons Dated December 28, 1989, also known as the JQH Trust, to continue using cash collateral through December 31, 2016, under the existing Cash Collateral Order. The Debtors relate that while the existing Cash Collateral Order authorized the use of cash collateral for the Debtors other than the JQH Trust through and including December 31, 2016, since the Budgets presented by the JQH Trust ran only through September 30, 2016, the JQH Trust was authorized to use cash only through September 30, 2016. The Debtors contend that the JQH Trust must be able to use cash collateral in the ordinary course of its business from and after September 30, 2016. They further contend that the relief requested will allow the JQH Trust to operate under the Revised Trust Budgets and will afford lenders who may be affected by the JQH Trust's use of cash collateral an opportunity to review the Revised Trust Budgets and object. The Revised Trust Budgets for the JQH Trust provides for total expenses in the amount of $2,088,360. A full-text copy of the Debtor's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/JohnQHammonsFall2006LLC2016_1621142_515.pdf A full-text copy of The Revised Trust Budgets for the JQH Trust, dated September 28, 2016, is available at http://bankrupt.com/misc/JohnQHammonsFall2006LLC2016_1621142_515_1.pdf About John Q. Hammons Fall 2006, LLC. Springfield, Mo.-based John Q. Hammons Hotels & Resorts (JQH) – http://www.jqhhotels.com/-- is a private, independent owner and manager of hotels in the United States, representing brands such as: Marriott, Hilton, Embassy Suites by Hilton, Sheraton, IHG, Chateau on the Lake Resort / Spa & Convention Center, and Plaza Hotels Collection. It has portfolio of 35 hotels representing approximately 8,500 guest rooms/suites in 16 states. John Q. Hammons Hotels & Resorts on June 27, 2016, disclosed that the family of companies, the Revocable Trust of John Q. Hammons, and their related affiliates, filed voluntary petitions (Bankr. D. Kan. Case No. 16-21139 to Case No. 16-21208) to restructure under Chapter 11 of the U.S. Bankruptcy Code in Kansas City. The Debtors are represented by Mark A. Shaiken, Esq., Mark S. Carder, Esq., and Nicholas Zluticky, Esq., at Stinson Leonard Street LLP, in Kansas City, Missouri. The Debtors' conflict counsel is Victor F Weber, Esq., at Merrick Baker and Strauss PC, in Kansas City, Missouri. At the time of filing, the Debtors estimated assets at $100 million to $500 million and liabilities at $100 million to $500 million. The petitions were signed by Greggory D Groves, vice president. JOSE LIZARDI-ORTIZ: Exemption Claim Over Retirement Funds Upheld ---------------------------------------------------------------- Judge Enrique S. Lamoutte of the United States Bankruptcy Court for the District of Puerto Rico denied the objection filed by creditors Susan Skelly-Hand, Patrick Hand and Rachel Hand to Jose-Lizardi-Ortiz's claim of exemption over the retirement funds held at Charles Schwab accounts. The Hands argued that the debtor is not entitled to claim the funds in controversy as exempt pursuant to Section 522(d)(12) of the Bankruptcy Code because the debtor's retirement plans were cancelled effective December 31, 2013, and thus at the time of the filing, the funds that remained in the Charles Schwab account had lost their qualified status under the applicable Internal Revenue Code sections. The debtor sustained that the retirement funds are exempt pursuant to Section 522(d)(12) of the Bankruptcy Code since the funds are in a fund or account that is exempt from taxation under Section 401 of the Internal Revenue Code. In addition, the debtor sustained that since the retirement funds are in retirement plans that have received a favorable determination from the Internal Revenue Service (IRS), those funds are presumed to be exempt pursuant to Section 522(b)(4)(A) of the Bankruptcy Code and that the Hands have failed to provide any evidence that the retirement plans are not in substantial compliance with the Internal Revenue Code. Judge Lamoutte found that the debtor has demonstrated that the funds are exempt pursuant to Section 522(b)(4)(B). The judge held that assuming that a favorable determination letter triggers a rebuttable presumption of sufficiency under Section 522(b)(4)(A), the Hands have not presented evidence to rebut the same. Judge Lamoutte also explained that retirement funds may still be exempt even if they are held in funds that have not received a favorable determination from the IRS if the debtor shows that: (i) no prior determination to the contrary has been made by a court or the IRS and (ii) that the retirement fund is in substantial compliance with the applicable requirements of the Internal Revenue Code of 1986 or that the debtor is not materially responsible for the retirement funds failure to be in substantial compliance. The judge found that no prior determination to the contrary has been made by a court or the IRS, and that the debtor has also submitted evidence to demonstrate that the funds have been in substantial compliance with the Internal Revenue Code of 1986, as amended. In addition, Judge Lamoutte noted that while the Hands have presented several allegations as to the non-compliance of the plans, they have failed to present any evidence demonstrating the alleged non-compliance. A full-text copy of Judge Lamoutte's September 26, 2016 opinion and order is available at http://bankrupt.com/misc/prb15-03076-244.pdf About Jose L. Lizardi-Ortiz Jose L. Lizardi-Ortiz filed a Chapter 11 petition (Bankr. D.P.R. Case No. 15-03076) on April 28, 2015. JOSEPH OLADOKUN: Unsecureds To Be Paid in Full Under Diamond's Plan ------------------------------------------------------------------- Creditor Diamond Care Health Network, LLC, filed with the U.S. Bankruptcy Court for the District of Arizona a disclosure statement in support of its third amended Chapter 11 plan of reorganization dated Sept. 23, 2016, for Joseph A. Oladokun and Florence A. Oladokun. Class 6 General Unsecured Claims are not impaired. Each holder of an allowed claim in Class 6 will be paid in full, plus all interest which accrued at 3.5% per annum since the date the Debtors filed for bankruptcy in April 5, 2012, on the Effective Date from the purchase proceeds. On the Effective Date, the membership interests in Oasis Pavilion, LLC, and Compassionate Patient Care, LLC, and any leases, licenses and executory contracts related to those entities, and all claims or causes of action against Martin, Meyer, Morin, Opara and any persons affiliated with them which are owned by the estate will be transferred to and owned by the prevailing bidder or the back-up bidder from the auction free and clear of all claims and encumbrances including and rights and interests of the Debtors free and clear of any liens, claims and encumbrances of any person. All other property belonging to the Debtors or the Estate as well as all other leases and executory contracts not transferred or assigned to Diamond Care or rejected under the terms of this Plan will be transferred to the Reorganized Debtors free and clear of any liens, claims and encumbrances. The Disclosure Statement is available at: http://bankrupt.com/misc/azb12-07178-381.pdf Diamond Care's Third Amended Plan was filed by the creditor's counsel: Christopher R. Kaup, Esq. Tiffany & Bosco P.A. Seventh Floor, Camelback Esplanade II 2525 East Camelback Road Phoenix, Arizona 85016 Tel: (602) 255-6000 Fax: (602) 255-0103 E-mail: crk@tblaw.com Joseph Oladokun filed for Chapter 11 bankruptcy protection (Bankr. D. Ariz. Case No. 12-07178) on April 5, 2012. KAISER GYPSUM: Case Summary & Unsecured Creditors ------------------------------------------------- Debtor affiliates filing separate Chapter 11 bankruptcy petitions: Debtor Case No. ------ -------- Kaiser Gypsum Company, Inc. 16-31602 300 E. John Carpenter Freeway Irving, TX 75062 Hanson Permanente Cement, Inc. 16-10414 300 E. John Carpenter Freeway Irving, TX 75062 Type of Business: Manufacturer and Seller of Portland Cement Products Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court Western District of North Carolina (Charlotte) Judge: Hon. George R. Hodges (16-10414) Hon. Laura T. Beyer (16-31602) Debtors' Counsel: John R. Miller, Jr., Esq. Richard Rayburn, Jr., Esq. RAYBURN COOPER & DURHAM, P.A. 1200 The Carillon 227 West Trade Street Charlotte, NC 28202 Tel: 704-334-0891 E-mail: jmiller@rcdlaw.net rrayburn@rcdlaw.net - and - Gregory M. Gordon, Esq. Dan B. Prieto, Esq. Amanda M. Suzuki, Esq. JONES DAY 2727 N. Harwood Street Dallas, TX 75201 Tel: 214.220.3939 Fax: 214.969.5100 E-mail: gmgordon@jonesday.com dbprieto@jonesday.com asuzuki@jonesday.com Debtors' Special Counsel: THE COOK LAW FIRM Debtors' Accountants: PRICEWATERHOUSECOOPERS Debtors' Consultants: NERA ECONOMIC CONSULTANTS Debtors' Claims & Noticing Agent: PRIME CLERK LLC Estimated Estimated Assets Liabilities ----------- ----------- Kaiser Gypsum $100M-$500M $100M-$500M Hanson Permanente $100M-$500M $100M-$500M The petitions were signed by Charles E. McChesney, II, vice president and secretary. Debtors' Consolidated List of 12 Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ Apex Companies, LLC Trade $29,139 Email: info@apexcos.com Armstrong World Industries Contribution - Email: jenniferjohnson@armstrong gceilings.com Berryessa Light Industrial Litigation - Center Commercial Truck Insurance Exchange Insurance - Deductible Oregon Department of Statutory - Environmental Quality Email: deq.info@deq.state.or.us US Environmental Protection Agency Statutory - Email: garbow.avi@epa.gov Washington Department of Ecology Statutory - Email: lauraw2@atg.wa.gov Owens Corning Contribution - King County, Washington Contribution - Email: kcexec@kingcounty.gov City of Seattle Contribution - Email: Peter.Holmes@seattle.gov Port of Seattle Contribution - Email: info@portseattle.org Boeing Corporation Contribution - KAISER GYPSUM: Files for Ch. 11 to Resolve Asbestos-Related Claims ------------------------------------------------------------------ Kaiser Gypsum Company, Inc., and Hanson Permanente Cement, Inc., sought bankruptcy protection over continuing costs, risks and administrative burdens associated with their decades-old asbestos-related litigation and legacy environmental liabilities that dates back to 1978. The Debtors filed the Chapter 11 petitions (Bankr. W.D.N.C.) on Sept. 30, 2016, estimating assets and liabilities in the range of $100 million to $500 million. The Debtors have no funded debt. The cases are pending before the Hon. Craig J. Whitley, and the Debtors have requested joint administration of the cases under Case No. 16-31602. As disclosed in the bankruptcy filing, the Debtors' asbestos-related liabilities arise from their manufacture and sale of certain products that decades ago contained small amounts of asbestos. According to the Debtors, asbestos was removed from these products by the end of 1976. Since 1978, one or both of the Debtors have been named in more than 38,000 asbestos-related lawsuits. As of Aug. 31, 2016, the Debtors were defendants in approximately 14,000 pending asbestos-related bodily injury lawsuits filed in state courts across the country, as disclosed in the court filing. In addition, the Debtors said they have environmental liabilities related to their former ownership and operation of plants in Seattle, Washington, and St. Helens, Oregon. Although the Debtors believe that insurance covers most of their asbestos-related costs and should cover their environmental liabilities, they said that the policy issuers have not reimbursed them in full for all defense and indemnity costs incurred related to these environmental liabilities. The Debtors have general liability insurance that covers, among other things, all defense and indemnity costs, subject to certain limited exclusions and deductibles, related to asbestos bodily injury claims, with Truck Insurance Exchange, an affiliate of Farmers Insurance. Truck issued primary liability policies to the Debtors for the period 1965 through April 1, 1983. The Truck Policies for the period 1971 to 1979 have no aggregate limits. The Debtors also have excess insurance policies with various insurers that cover indemnity amounts in excess of $500,000 per occurrence. In December 2013, certain of the Debtors' excess insurers entered into a confidential coverage-in-place agreement with the Debtors with respect to the excess coverage. The Debtors seek to permanently resolve their asbestos liabilities in a fair and equitable manner and further seek to discharge and liquidate their legacy environmental liabilities. "Resolution of these liabilities will eliminate the ongoing costs and distraction of managing these decades-old liabilities, liquidate and discharge or permanently resolve their deductible and environmental liabilities, and eliminate potential risks of uninsured judgments or claims (punitive damages for example) and insurer insolvencies," said Charles E. McChesney II, vice president, secretary and director of both Kaiser Gypsum and HPCI. The Debtors intend to focus their efforts on negotiating, and ultimately obtaining approval of, a plan of reorganization that would, among other things, (a) provide for the creation and funding of a trust established under Section 524(g) of the Bankruptcy Code to pay asbestos claims, (b) permanently protect them and their affiliates from any further asbestos claims arising from products manufactured and sold by them; and (c) discharge the their legacy environmental liabilities. Prepetition Discussions Prior to the Petition Date, an ad hoc committee of asbestos personal injury claimants consisting of law firms that have filed asbestos personal injury claims against the Debtors was formed to engage in discussions with the Debtors regarding the terms of a consensual plan of reorganization. The Ad Hoc Committee retained bankruptcy counsel, insurance counsel, a financial advisor, and an asbestos estimation consultant. Following its formation, the Ad Hoc Committee delivered to the Debtors a series of information requests. In response to those requests, the Debtors provided numerous documents and other information regarding their corporate history, businesses, insurance and asbestos and environmental liabilities. Prior to the Petition Date, the Debtors and the Ad Hoc Committee also agreed on the selection of Lawrence Fitzpatrick as the representative of future asbestos claimants. Mr. Fitzpatrick retained his own counsel and an estimation consultant. The Debtors have provided the FCR and his professionals with the same information they furnished to the Ad Hoc Committee. Meetings and other communications have occurred among some or all of the Debtors, Truck, the Ad Hoc Committee and the FCR. Communications between the Debtors and certain of the excess carriers also took place. Among other things, the parties discussed these filings and potential paths forward to a consensual plan. Although all the parties have indicated a desire to reach agreement on a consensual reorganization plan, due to time constraints, the parties have not yet been able to engage in substantive discussions regarding the terms of a plan. The Debtors said they remain committed, however, to continuing discussions with these parties and pursuing a consensual agreement with representatives for current and future asbestos claimants and the primary and excess insurers. Cost Sharing Agreement With Truck In June 2015, the Debtors and Truck entered into a confidential cost sharing agreement pursuant to which Truck agreed to reimburse the Debtors for a portion of the costs incurred by them in connection with their efforts to permanently resolve their asbestos liability, including the reasonable fees and expenses of professionals retained by the Debtors and by representatives of the current and future asbestos claimants. Because the cost sharing agreement terminates by its terms upon the filing of the Chapter 11 cases, the Debtors and Truck have recently been in discussions regarding an amended cost sharing agreement that, subject to the approval of the Court, would cover costs and expenses of the Debtors' bankruptcy cases liability, including the reasonable fees and expenses of professionals retained by the Debtors and by representatives of the current and future asbestos claimants. About HPCI & Kaiser Gypsum HPCI's primary business was the manufacture and sale of portland cement products. Portland cement is a fine powdery substance that is mixed with water and an aggregate, such as gravel or sand, to form concrete, which has a number of construction applications, including sidewalks, roads and floor slabs. Kaiser Gypsum's principal business consisted of manufacturing and marketing gypsum plaster, gypsum lath and gypsum wallboard. Kaiser Gypsum also manufactured and sold a number of other products, including metal products used in building construction, wood chip products for use in building construction, and commercial paper products. HPCI is a wholly-owned, indirect subsidiary of non-debtor Lehigh Hanson, Inc. HPCI is the direct parent of Kaiser Gypsum as well as non-debtor Hanson Micronesia Cement, Inc. and non-debtor Hanson Permanente Cement of Guam, Inc., the operating subsidiaries. Non-debtor Permanente Cement Company, which has no assets or operations, is also a wholly-owned subsidiary of HPCI. Kaiser Gypsum has no current business operations other than managing its legacy asbestos-related and environmental liabilities. Kaiser Gypsum has no material tangible assets. The Debtors' non-debtor affiliates, including HeidelbergCement and Lehigh Hanson, never manufactured, sold or distributed any of the Debtors' Asbestos Products. To date, no court has issued a ruling or made a finding that any of the Non-Debtor Affiliates is responsible for any of the Debtors' Asbestos Products or that any of the Non-Debtor Affiliates should be treated as a successor-in-interest to one or both of the Debtors. KEETON HEALTHCARE: Plan Supplement Says Owners to Maintain Stocks ----------------------------------------------------------------- Keeton Healthcare Services, Inc., filed with the U.S. Bankruptcy Court for the Southern District of Texas a supplement to the disclosure statement dated Aug. 31, 2016. Section IV of the Disclosure Statement is supplemented to add the following language: "The negative impact of modified reimbursement procedure previously noted have been corrected by the state of Texas. Those modifications were implemented without advance warning. Medicare and Medicaid authorities have now installed safeguards to insure that stake holders have sufficient warning of modifications in "fee for services" payments. Additionally, the Debtor was able to secure necessary coverage to insure its inventory and equipment against fire, flood, and other hazards." Section V, Class 1 Allowed Administrative Claims B is supplemented to add: The monthly installments shall be made by the 20th day of each month after the Effective Date of confirmation. Section V, Class 1 Allowed Administrative Claims C is supplemented as follows: The Texas Workforce Commission shall be paid in one installment on or before the Effective Date of the Plan. Section V, Class 1 Allowed Administrative Claims D is supplemented to include: The Debtor's attorney's fees shall be paid upon court approval, or in monthly installments by agreement with the Debtor. Page 11, Section V, Class 3 - Secured Claim of the Internal Revenue Service is supplemented as follows: Written notice of default will be sent to the Debtor instead of Debtor's attorney. Page 13, Section V C. 2. Post Confirmation Management is supplemented to add: The owners of Debtor will maintain their stock in the corporation. However, all creditor claims will be paid in full (100%) in satisfaction of the Absolute Priority Rule. Page 14, Section V D. Risk Factor is supplemented to add: If the Debtor cannot confirm its Plan it cannot continue business operations. Also, legislative changes in healthcare regulations or illness of the Debtor’s manager present risk to the Debtor's reorganization. The Debtor believes it has stabilized its cash flow to the point it can withstand modification in Medicare/Medicaid rate adjustment. In cases of illness, the manager's wife, and co-owner, has sufficient familiarity with operations to continue the business. Keeton Healthcare Services, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Case No. 16-31165) on March 1, 2016. The Debtor is represented by Nelson M Jones III, Esq., at the Law Office of Nelson M. Jones III. The Debtor operates an extensive range of respiratory therapy services, oxygen therapy, enteral/parenteral nutrition products and services, advanced home ventilators, sleep therapy, aerosol therapy, and providing the use of durable medical equipment. The Office of the U.S. Trustee disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of Keeton Healthcare Services, Inc. KHANH VAN TONG: Unsecureds To Receive 0% Distribution Under Plan ---------------------------------------------------------------- Khanh Van Tong and Thuy Luu Tong filed with the U.S. Bankruptcy Court for the District of Kansas an amended disclosure statement describing the Debtors' plan of reorganization. Under the Plan, Class 3 General Unsecured Creditors, which consists of the general unsecured portion of the IRS's claim, as well as a few medical creditors, will receive an estimated 0% distribution. Class 3 is impaired and will vote on the Plan. The Plan payments will be funded by the earnings of the debtors from their work as nail and beauty technicians. The Disclosure Statement is available at: http://bankrupt.com/misc/ksb16-21262-25.pdf Khanh Van Tong and Thuy Luu Tong were the owners and operators of a nail salon business that had been operating for some years. They are no longer operating this business, but now essentially work as independent contractors. The Debtors filed for Chapter 11 bankruptcy protection (Bankr. D. Kan. Case No. 16-21262) on July 1, 2016. George J. Thomas, Esq., serves as the Debtor's bankruptcy counsel. LAST CALL: Taps Newmark Midwest as Real Estate Consultant --------------------------------------------------------- Last Call Guarantor, LLC, and its affiliated debtors and debtors-in-possession seek authorization from the U.S. Bankruptcy Court for the District of Delaware to employ Newmark Midwest Region, LLC, dba Newmark Grubb Knight Frank, as real estate consultant, nunc pro tunc to August 10, 2016. The Debtors require Newmark Midwest to: (a) negotiate sales of certain of the Debtors' leases; (b) provide general lease restructuring advice, including forming broker opinions of value, writing recommendation reports and landlord letters; (c) assist in the communication and negotiation with the Debtors' constituents, including creditors, employees, vendors, shareholders, and interested parties in connection with the Chapter 11 cases relative to the Debtors' leases; and, (d) work on any other services set forth in the Engagement letter, not listed above. The Debtors have agreed to pay Newmark Midwest a fee equal to 8% of the lease sale price to any assignee if the Debtors assume and assign a lease. Newmark Midwest will also be reimbursed for reasonable out-of-pocket expenses incurred. In July 2016, Newmark Midwest successfully negotiated a termination of one of the Debtors' leases, which resulted in a termination payment of $1,150,000. Contemporaneously with the closing of the transaction, Newmark Midwest received a commission payment in the amount of $100,000. The Debtors did not pay any other amounts to Newmark Midwest during the 90 day period immediately preceding the Petition Date. Roy Messing, Chief Restructuring Officer of the Debtor, 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. Newmark Midwest can be reached at: Steven Monroe NEWMARK MIDWEST REGION, LLC 500 West Monroe Street, Suite 2900 Chicago, IL 60661 About Last Call Guarantor Headquartered in Dallas, Texas, and with operations in 25 states, Last Call Guarantor, LLC, et al., own and operate sports bar and casual family-dining restaurants under three well-recognized concepts, namely Fox & Hound, Bailey's Sports Grille, and Champps. They operate 48 Fox & Hound locations, nine Bailey's locations, and 23 Champps locations. They have franchise agreements with five franchisees for Champps Restaurants. The Company has more than 4,700 full and part-time employees. On Aug. 10, 2016, each of Last Call Guarantor, LLC, Last Call Holding Co. I, Inc., Last Call Operating Co. I, Inc., F&H Restaurants IP, Inc., KS Last Call Inc., Last Call Holding Co. II, Inc., Last Call Operating Co. II, Inc., Champps Restaurants IP, Inc. and MD Last Call Inc. filed a Chapter 11 bankruptcy petition (Bankr. D. Del. Case Nos. 16-11844 to 16-11852). The petitions were signed by Roy Messing, the CRO. Last Call Guarantor estimated assets in the range of $10 million to $50 million and liabilities of $100 million to $500 million. Dennis A. Meloro, Esq., Nancy A. Mitchell, Esq., Nancy A. Peterman, Esq., Matthew Hinker, Esq., and John D. Elrod, Esq., at Greenberg Traurig, LLP, represent the Debtors as counsel. Judge Kevin Gross is assigned to the cases. LIBERTY INDUSTRIES: Has Until Feb. 28 to Use Regions Bank Cash -------------------------------------------------------------- Judge Eric P. Kimball of the U.S. Bankruptcy Court for the Southern District of Florida authorized Liberty Industries, L.C. and Liberty Properties at Newburgh, L.C. to use Regions Bank's cash collateral on an interim basis, until February 28, 2017. The approved Consolidated 6 Month ProForma Operating Budget, which covers the months of September 2016 to February 2017, provides for total expenses in the amount of $180,000. The Debtor was directed to make monthly adequate protection payments to Regions Bank in the amount of $20,000, and grant to Regions Bank a first priority post-petition lien on all cash of the Debtors generated post-petition. The budgeted $20,000 payment for September 2016 is to be paid by September 30, 2016. Regions Bank was granted a first priority post-petition security interest in and lien in, to and against all of the Debtors' assets, to the same extent that Regions Bank held a properly perfected pre-petition security interest in such assets, which are or have been acquired, generated or received by the Debtors subsequent to the Petition Date. A further hearing on the use of cash collateral is scheduled on October 19, 2016 at 2:00 p.m. A full-text copy of the Interim Order, dated September 28, 2016, is available at http://bankrupt.com/misc/LibertyIndustriesLC2016_1622332epk_32.pdf About Liberty Industries, L.C. Liberty Industries, L.C. dba Tower Innovations and Liberty Properties at Newburgh, L.C. filed chapter 11 petitions (Bankr. S.D. Fla. Case Nos. 16-22332 and 16-22333) on September 7, 2016. The petitions were signed by Barbara Wortley, managing member. The Debtors are represented by Robert C. Furr, Esq., at Furr & Cohen. The jointly-administered cases are assigned to Judge Erik P. Kimball. The Debtors estimated assets and liabilities at $1 million to $10 million at the time of the filing. LIBERTY INDUSTRIES: Wants to Use Regions Bank's Cash Collateral --------------------------------------------------------------- Liberty Industries, L.C. and Liberty Properties at Newburgh, L.C. ask the U.S. Bankruptcy Court of the Southern District of Florida for authority to use cash collateral on which Regions Bank of America, N.A. holds a first priority lien. The Debtors are indebted to the Regions' in the principal amount of $2,461,034.68 plus accrued and unpaid interest, costs and fees. To secure their obligations to Regions Bank under the Note, the Debtors granted Regions Bank a lien on all of its assets. The collateral that secures the Debtors' loan is valued at over $3,700,000 and consists of cash, accounts receivable, inventory and machinery and equipment and three parcels of real property located in Newburgh, Warrick County, Indiana. The Debtors relate that they are willing to provide Regions Bank with monthly adequate protection payments of $20,000 and a first priority post-petition lien on all the Debtors' cash and receivables generated post-petition. The Debtors tell the Court that they require the use of the cash collateral for the continued operation of their business in the ordinary course, including payment of payroll and expenses attendant thereto, otherwise, the Debtors will be forced to discontinue their business operations, including the loss of jobs for 14 employees. A full-text copy of the Debtors' Motion, dated September 21, 2016, is available at http://tinyurl.com/j94a3jr About Liberty Industries, L.C. Liberty Industries, L.C. dba Tower Innovations filed a Chapter 11 petition (Bankr. S.D. Fla. Case No. 16-22332), on September 7, 2016. The petition was signed by Barbara Wortley, managing member. The case is assigned to Judge Erik P. Kimball. The Debtor's counsel is Robert C Furr, Esq., at Furr & Cohen. At the time of filing, the Debtor estimated both assets and liabilities at $1 million to $10 million. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/flsb16-22332.pdf LIONS GATE: S&P Assigns 'B-' Rating on $520MM Sr. Unsecured Debt ---------------------------------------------------------------- S&P Global Ratings assigned its 'B-' issue-level rating and '6' recovery rating to U.S. independent film studio Lions Gate Entertainment Corp.'s $520 million senior unsecured debt due 2024. The '6' recovery rating indicates S&P's expectation for negligible recovery (0%-10%) of principal for lenders in the event of a payment default. This debt issuance follows Lions Gate's $3.9 billion senior secured debt issuance, which included a $1 billion revolving credit facility, to refinance the company's capital structure and fund its pending acquisition of Starz LLC for $4.4 billion. The company expects to refinance Starz's debt at the transaction's closing. S&P also expects to withdraw its ratings on the company's existing second-lien term loan and 5.25% senior secured notes when the transaction closes. S&P's 'B+' corporate credit rating and stable rating outlook on the company are unchanged. The outlook reflects S&P's expectation that Lions Gate's adjusted leverage, including production loans, will remain elevated but gradually decline to about 5x over the next 12-18 months due to EBITDA growth and the company's commitment to voluntarily repay debt. The outlook also reflects S&P's expectation that revenue and cash flow stability from Starz's cable networks will offset the inherent volatility of the company's motion picture segment. S&P believes the acquisition will enhance Lions Gate's overall scale of content production and distribution, and increase the diversification of its earnings. S&P believes Lions Gate will have adequate liquidity over the next 12 months, supported by funds from operations of about $425 million to $450 million in the fiscal years ending March 31, 2017, and 2018, and access to the $1 billion revolving credit facility pro forma the transaction. RATINGS LIST Lions Gate Entertainment Corp. Corporate Credit Rating B+/Stable/-- New Ratings Lions Gate Entertainment Corp. Senior Unsecured $520 million debt due 2024 B- Recovery Rating 6 M2 NGAGE GROUP: RBSM LLP Expresses Going Concern Doubt ------------------------------------------------------ M2 nGage Group, Inc., reported a net loss of $81.48 million on $10.61 million of revenues in 2015, compared with a net loss of $12 million on $11.29 million of revenues in 2014. The audit report of RBSM LLP dated August 29, 2016, on its consolidated financial statements for the year ended December 31, 2015, included an explanatory paragraph indicating that there is substantial doubt about our ability to continue as a going concern. The auditors' doubts are based on recurring net loss of $81.5 million, and negative cash generated from operating activities of $4.6 million for the year ended December 31, 2015, and negative working capital of $30.0 million as of December 31, 2015. The Company's balance sheet at Dec. 31, 2015, showed $13.07 million in total assets, $42.08 million in total liabilities, and a total deficit of $29.01 million. A copy of the Form 10-K filed with the U.S. Securities and Exchange Commission is available at: https://is.gd/Ox7X7m Headquartered in Hackensack, N.J., M2 nGage Group, Inc. -- http://www.roomlinx.com/-- provides three core products and services: hotel hospital services provided by Signal Share Infrastructure, Inc., high density Wi-Fi services provided by SignalShare, LLC, and enterprise voice, data and wireless services provided by Signal Point Telecommunications Corp., and residential media communications services provided by Cardinal Broadband, LLC. MARK JACKSON: Selling Scottsdale Property to Sckolnik for $365K --------------------------------------------------------------- Mark Jackson asks the U.S. Bankruptcy Court for the Western District of Washington to authorize the sale of real property located at 7601 E. Indian Bend Rd, Unit 1028, Scottsdale, Arizona, to Steve E. Sckolnik and/or assigns, for $365,000, subject to better or higher offers. A hearing on the Motion is set for Oct. 21, 2016 at 9:30 a.m. The objection deadline is Oct. 14, 2016. The property is owned by the Debtor and his non-filing spouse, Tracey Jackson. The Purchaser had put down a $5,000 earnest money deposit, and the remainder is to be paid on closing (all cash sale). A ALTA Settlement Statement will be prepared by the title insurance company, Security Title of Scottsdale, Arizona. The sale is "as is", and will be free and clear of liens and encumbrances. The Debtor valued the property at $359,900 on Schedule A. Pursuant to the Proof of Claim filed, Wells Fargo has a first position mortgage lien on the property in the amount of $221,518. The homeowners association ("HOA") also has a lien on the property for its outstanding claim (approximately $2,277 on the date of filing). The proceeds of the sale will completely satisfy the mortgage obligation and the HOA lien on the property, and the proceeds of the sale will be disbursed to Wells Fargo and the HOA through closing. Pursuant to the Agreement for Sale of Real Property and Distribution of Proceeds between the non-filing spouse and her ex-husband, Barry A. Cooper, the net proceeds of the sale are to be paid to Mr. Cooper in satisfaction of her domestic support obligations and the property distribution determined under their decree of marriage dissolution. The Agreement modifies and supersedes all prior agreements between the parties regarding this property. Mr. Cooper is entitled to receive the first $100,000 of the net proceeds (after payment of all encumbrances and closing costs), plus 17% of the amount of the gross purchase price of his condo in Kirkland over $750,000 (if any). If there are any funds available after payment of a maximum of $100,000 to Mr. Cooper, the proceeds revert back to the bankruptcy estate. A copy of the Agreement attached to the Motion is available for free at: http://bankrupt.com/misc/Mark_Jackson_49_Sales.pdf The Debtor requests that the court authorize the payment of normal and regular closing costs, including commissions and escrow fees, as well as the transfer payment to Mr. Cooper. The Debtor has retained Janet Sharp of Home Smart Real Estate to facilitate the sale, at a commission rate of 2% for her and 3% for the buyer's agent, Michael Hall of Keller Williams Arizona Realty (total of 5% of the gross sales price). Counsel for the Debtor: Larry B. Feinstein, Esq. VORTMAN & FEINSTEIN 520 Pike Street, Suite 2250 Seattle, WA 98101 Telephone: (206) 223-9595 Facsimile: (206) 386-5355 E-mail: feinstein1947@gmail.com Mark Jackson sought Chapter 11 protection (Bankr. W.D. Wash. Case No. 16-13358) on June 24, 2016. The Debtor tapped Larry B. Feinstein, Esq., at Vortman & Feinstein as counsel. MCCLATCHY CO: Director Frederick Ruiz Won't Seek Reelection ----------------------------------------------------------- Frederick Ruiz, a member of the board of directors of The McClatchy Company, informed the Company that he will not stand for re-election at the upcoming Annual Shareholders' Meeting to be held in May 2017. Mr. Ruiz's decision not to stand for re-election was not a result of a disagreement with the Company, as disclosed in a regulatory filing with the Securities and Exchange Commission. Mr. Ruiz has indicated his intention to continue to serve as a director of the Company until the 2017 Annual Meeting. 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 reported a net loss of $300 million on $1.05 billion of net revenues for the year ended Dec. 27, 2015, compared to net income of $374 million on $1.14 billion of net revenues for the year ended Dec. 28, 2014. As of June 26, 2016, McClatchy had $1.84 billion in total assets, $1.68 billion in total liabilities and $165 million in total 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. MCNEILL GROUP: U.S. Trustee Wants Case Converted to Ch. 7 --------------------------------------------------------- Andrew R. Vara, Acting United States Trustee for Region 3, asks the U.S. Bankruptcy Court for Eastern District of Pennsylvania to appoint a Chapter 11 Trustee or convert the Chapter 11 case of McNeill Group, Inc., et al., to a case under Chapter 7 of the Bankruptcy Code, or dismiss the case with a bar against refiling. According to the U.S. Trustee, the Debtors failed to file the Initial Operating Reports on time following the filing of the bankruptcy case. Moreover, the Debtors have not paid any fees for the second quarter of 2016, and without operating reports, the U.S. Trustee is unable to determine the correct amount due. The U.S. Trustee asserts that the Court has held that the failure to timely file operating reports and pay fees due the United States Trustee coupled with the Debtors failure to engage professional assistance to do so constitute a breach of Debtors' fiduciary duties and demonstrates either an unwillingness or inability to meet their obligations under the Bankruptcy Code. Therefore, the U.S. Trustee requested the Court to (a) convert the case to a proceeding under the provisions of Chapter 7; or (b) dismiss the case with a bar against refiling; or (c) appoint a Chapter 11 Trustee; or (d) such other relief as the court deems appropriate. The Counsel for the U.S. Trustee is: George M. Conway, Esq. GEORGE M. CONWAY 833 Chestnut Street, Suite 500 Philadelphia, PA 19107 Tel: 215-597-4411 Fax: (215) 597-5795 About McNeill Group Inc. McNeill Group, Inc. and McNeill Properties V, LLC filed chapter 11 petitions (Bankr. E.D. Pa. Case Nos. 16-14943 and 16-14944) on July 12, 2016. The petitions were signed by Edward J. McNeill, Jr., president. The Debtors are represented by Albert A. Ciardi, III, Esq., at Ciardi Ciardi & Astin, P.C. The cases are assigned to Judge Jean FitzSimon (16-14943) and Judge Ashely M. Chan (16-14944). The Debtors each estimated assets and liabilities of $10 million to $50 million at the time of the filing. MCNEILL PROPERTIES: Ch. 11 Trustee Sought to Facilitate Asset Sale ------------------------------------------------------------------ The Provident Bank, creditor of McNeill Properties V, LLC, asks the U.S. Bankruptcy Court for the Eastern District of Pennsylvania to direct the appointment of a Chapter 11 Trustee to guard the bankruptcy estate of the Debtor, facilitate its sale of assets, and maximize the return to creditors. In the motion for the appointment of a Chapter 11 Trustee, the Provident Bank asserts that the appointment of a trustee is necessary because Edward J. McNeill, Jr., the holder of 100% of the equity interests in the Debtor, has proven through his actions that his personal interests are paramount, regardless of what detriment such actions cause to the Debtor and its creditor. Mr. McNeill's prepetition actions, along with his postpetition plans, demonstrate that he is not willing to sacrifice the substantial monetary remuneration he receives, or the non-monetary benefits provided to him by the Debtor, as would be expected of a fiduciary of the Debtor towards its creditors, the bank tells the Court. Thus, Mr. McNeill's unwillingness to act as a fiduciary is an impediment to the Debtor's reorganization because the only possibility of reorganization is a sale of the Debtor's assets, and Mr. McNeill will resist such a possibility, the bank further asserts. The Provident Bank holds valid and enforceable liens on all of the Debtor's properties and assets located in Bucks County, Pennsylvania and the Debtor is currently liable to Provident in an amount of at least $9,890,115.49 plus additional accrued and unpaid interest. The bank says the Debtor is asset rich and cash poor. As a result, the only possible exit strategy that will work for the Debtor is a prompt sale of its assets under objective, neutral leadership, the bank adds. However, it is unlikely that Mr. McNeill will embrace a sale strategy because, although it will be of the most benefit to creditors, it ultimately eliminates Mr. McNeill's ability to fund his life style through the operations of the Debtor as has been his practice, the bank notes. As such, the appointment of a Chapter 11 Trustee is required because Mr. McNeill is either unable or unwilling to perform his duties as a fiduciary for the benefit of the Debtor's creditors, the bank asserts. Therefore, the Provident Bank requested that the Court enter an order (i) appointing a Chapter 11 Trustee to operate the Debtor, and (ii) granting such other and further relief as is just and proper. Provident Bank is represented by: David B. Aaronson, Esq. MCCARTER & ENGLISH, LLP 1600 Market Street, Suite 3900 Philadelphia, PA 10103 Tel.: (215) 979-3816 Fax: (215) 988-4313 Email: daaronson@mccarter.com -- and -- Joseph Lubertazzi, Jr., Esq. MCCARTER & ENGLISH, LLP 100 Mulberry Street Newark, NJ 07102 Tel.: (973) 622-4444 Fax: (973) 624-7070 Email: jlubertazzi@mccarter.com About McNeill Properties V McNeill Group, Inc. and McNeill Properties V, LLC filed chapter 11 petitions (Bankr. E.D. Pa. Case Nos. 16-14943 and 16-14944) on July 12, 2016. The petitions were signed by Edward J. McNeill, Jr., president. The Debtors are represented by Albert A. Ciardi, III, Esq., at Ciardi Ciardi & Astin, P.C. The cases are assigned to Judge Jean FitzSimon (16-14943) and Judge Ashely M. Chan (16-14944). The Debtors each estimated assets and liabilities of $10 million to $50 million at the time of the filing. MEADOWS AT CYPRESS: Voluntary Chapter 11 Case Summary ----------------------------------------------------- Debtor: The Meadows at Cypress Gardens, L.L.C. 141 E Central Avenue, Suite 300 Winter Haven, FL 33880 Case No.: 16-08495 Nature of Business: Health Care Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court Middle District of Florida (Tampa) Debtor's Counsel: David W Steen, Esq. DAVID W STEEN, P.A. 2901 W. Busch Boulevard, Suite 311 Tampa, FL 33618 Tel: (813) 251-3000 E-mail: dwsteen@dsteenpa.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Benjamin Castleberg, managing member. The Debtor did not include a list of its largest unsecured creditors when it filed the petition. A full-text copy of the petition is available for free at: http://bankrupt.com/misc/flmb16-08495.pdf MEDIANEWS GROUP: Wants to Replace Monster's Existing Directors -------------------------------------------------------------- MediaNews Group Inc., the largest shareholder of Monster Worldwide, Inc., with an ownership interest of 11.6% of Monster's outstanding shares, announced that it intends to nominate a slate of seven highly qualified candidates to replace Monster's existing Board of Directors. MNG also announced that it has delivered an open letter to Monster's shareholders, which introduces MNG's nominees to the Board: * Daniel W. Dienst, has been a director, chairman and/or chief executive officer of four public companies, including, most recently, chief executive of Martha Stewart Living Omnimedia, Inc., and has significant experience in special situations, turnarounds and media businesses, with a track record of creating significant value for shareholders; * Joseph Anto, senior vice president of Strategy/M&A for MNG, a leading multi-platform news/information company with over $1 billion in annual revenue; * Ethan Bloomfield, job board executive and entrepreneur with significant experience growing and managing high-performing sales team; * Heath Freeman, president of Alden Global Capital LLC, a $1.6 billion investment firm, and Vice Chairman of MNG * Kevin Gregson, experienced corporate governance executive and Americas Leader for Insurance Industry at Towers Willis Watson; * Lowell Robinson, former CFO of several prominent media and technology companies including Advo and HotJobs and experienced public board director; and * Hon. Gregory Slayton, former U.S. Chief of Mission (defacto Ambassador) to Bermuda, successful technology executive/investor, was an early investor and previously on the advisory boards of Google and Salesforce.com MediaNews anticipates that if its slate of nominees is elected, the new Board, subject to its review of the Monster's business and exercise of its fiduciary duties, will appoint Mr. Dienst as interim chief executive officer while the new Board conducts a search for a full-time chief executive officer, with Mr. Dienst being paid $100,000 per month and receiving expense reimbursement and customary benefits. The full text of the letter follows: September 30, 2016 Dear Fellow Shareholders: MediaNews Group Inc. ("MNG"), currently has an ownership interest of approximately 11.6% of the outstanding shares of Monster Worldwide, Inc., making us the Company's largest shareholder. We believe that Monster is deeply undervalued and that, with proper management and board oversight, significant opportunities exist to create substantial value. However, we have significant concerns about the flawed and unorganized sale process that led to the current deal with Randstad, the poor operation of the business that has led to continued destruction of shareholder value, and the fact that the Company was buying back stock at more than $6 per share in Q4 of 2015, only to agree to sell the business for $3.40 per share months later. These issues, in addition to others we have outlined in our previous letters, cause us to have NO confidence in the current board and CEO, as they have proven time and again their inability to make the right strategic and operational decisions to maximize value for shareholders. As a result, we will be filing today a preliminary consent solicitation statement with the SEC, stating our intention to seek the removal and replacement of the existing seven Monster directors with our slate of highly qualified nominees, who, collectively, have served on 16 public company boards. These nominees have been carefully selected and, as described in detail later in this letter, have a very relevant and diverse set of skills across areas such as finance, sales management, corporate governance, restructuring, technology and operations. Most importantly, if elected, this group of nominees is prepared to ensure that the interests of all shareholders are properly represented and will focus on executing a plan to create significant shareholder value. Additionally, one of our nominees, Daniel W. Dienst, is a superb candidate to serve as the Company's CEO and is prepared to serve in that position to execute the much needed turnaround at the Company. We believe that if our slate of nominees is elected, the new Board, subject to its review of the Company and exercise of its fiduciary duties, will appoint Mr. Dienst as CEO. He would initially serve as interim CEO while the new board conducts a search for a full-time CEO, and he would be considered for that position as well. Mr. Dienst is a proven executive with a track record of creating substantial shareholder value in situations that required significant change. His leadership at Martha Stewart Living OmniMedia, Inc. led to a successful sale to Sequential Brands, Inc. in December 2015 and prior to that, from 2008 to 2013, Mr. Dienst served as the Group Chief Executive Officer of Sims Metal Management, Ltd., the world's largest publicly listed metal and electronics recycler, processing and trading in excess of 15 million tons of metal annually from 270 facilities on five continents. Monster needs new leadership -- both at the board and executive level -- to turn around the business and we are confident we have the right solution with our nominees and Daniel W. Dienst as CEO. We are confident that you will find the team of professionals we are nominating to be extremely well-qualified to serve as directors of Monster and that Mr. Dienst will have an immediate impact on the business if appointed CEO. We will commence our formal solicitation once our solicitation statement passes through SEC review and goes "definitive" which we hope will be within a few weeks. We have provided detailed biographies of each of our nominees below and look forward to engaging with shareholders in the near future to discuss our detailed views on Monster. Below are the biographies of MNG's Nominees, as well as links to our previous letters: Daniel W. Dienst Mr. Dienst served as a director and the chief executive officer of Martha Stewart Living Omnimedia Inc., a media and merchandising company, from 2013-2015, where he led the turnaround of the famous brand and orchestrated its successful sale in 2015 to Sequential Brands, Inc. for $353 million. Prior to his service at Martha Stewart Living, Mr. Dienst had a distinguished career in the steel and metals industry, having served as the group chief executive officer of Sims Metal Management, Ltd. from 2008-2013, the world's largest publicly listed metal and electronics recycler, processing and trading in excess of 15 million tons of metal annually from 270 facilities on five continents. He had previously sold Metal Management, Inc., a company that he founded and served in the capacity of chief executive officer from 2004-2008, to Sims for $1.7 billion in 2008. Mr. Dienst also served as Chairman of the Board and acting chief executive officer of Metals USA, Inc., one of the nation's largest steel processors, after its reorganization and until its going private sale to an affiliate of Apollo Management, L.P. in 2004. Mr. Dienst is also experienced in the financial markets, having served as a Managing Director of Corporate and Leveraged Finance at CIBC World Markets Corp., a diversified global financial services firm, from 2000-2004. From 1998-2000, he held various positions within CIBC, including executive director of the High Yield and Financial Restructuring Group. Previous to his time at CIBC, he served in various capacities with Jefferies & Company, Inc., a global investment banking firm. Mr. Dienst also recently served from 2014-2015 as a Director of 1st Dibs, Inc., a venture-backed e-commerce business owned by Benchmark Capital, Spark Capital, Index Ventures and Insight Venture Partners. Mr. Dienst holds a B.A. from Washington University in St. Louis. and a J.D. from Brooklyn Law School. Mr. Dienst's qualifications as a director include his executive experience as a CEO and director of 4 public companies, his expertise in turnarounds, special situations and corporate transactions and his experience in the media sector. Joseph Anto Mr. Anto is currently a senior vice president at MediaNews Group, Inc. (d/b/a Digital First Media), the second largest newspaper company in the U.S. by circulation, where he has served since 2013. From 2014-2015, he was vice president of Business Development for MediaNews Group and also CEO at Jobs in the US, a subsidiary of MediaNews with regionally focused job board sites in New England. From 2013-2014 he was managing director at Digital First Ventures, the strategic investing division of MediaNews Group. In 2009 he co-founded RumbaTime, LLC, a fashion brand focused on timepieces and accessories and served as the Company’s CEO until 2012. From 2006-2009 Mr. Anto was a senior analyst and director of Investments at Harbinger Capital Partners, a multi-strategy investment firm, where he managed one of the largest merchant power investment portfolios in the sector, accounting for approximately 30% of the Fund's assets and completed M&A and debt financing transactions totaling over $4 billion in value. Prior to his time at Harbinger, Mr. Anto was an associate at ABS Capital Partners, a later-stage venture capital firm, and an analyst at First Union Securities in their technology investment banking group. He has previously served on the boards of private merchant power companies Kelson Energy Inc. and Kelson Canada and was also previously on the board at Rumbatime. He has a BBA from Emory University and an MBA from Columbia University. Mr. Anto's qualifications as a director include his expertise as a previous CEO of a job board business, his executive experience, particularly in the media industry, and his expertise in turnarounds and corporate transactions. Ethan Bloomfield Mr. Bloomfield is currently the CEO of vitalfew, inc, a consulting and advisory business which he founded in 2015. He also serves on the board of governors for TaTech, a leading industry association which enables the interaction of companies in the recruitment technology space. He has been a member since 2006 and on the board of governors since the first board was elected by the membership. In 2016, he co-founded and is also the current CRO of ConversationDriver, a company that utilizes software to help organizations improve efficiencies is sales outreach. From 2012-2015, he served as the senior vice president of sales and Business Development at recruitment technology company, ZipRecruiter, which he joined in 2012 as the 20th employee and the first in sales. In his role at ZipRecruiter he developed the entire sales organization, which he grew from concept to over 120 reps when he left the company. Previously he was vice president of Business Development at JobTarget, a company that provides technology to organizations that want to offer their own web-based job boards to their members. While at JobTarget, he was instrumental in launching innovative new products and also led the acquisition of two companies. Mr. Bloomfield holds a B.A. from the University of Massachusetts, Amherst. Mr. Bloomfield's qualifications as a director include his expertise in recruitment technologies, developed over a career spanning more than twelve years in the space. He is widely recognized as a thought leader in the sector and, in addition to advising or having advised almost 30 companies in the industry, he is a frequent speaker at industry conferences and events. Heath Freeman Mr. Freeman is the president, a founding member, and director of Alden Global Capital, LLC, a $1.6 billion New York-based investment firm focused on deep value, catalyst driven investing. He has been with the firm since its founding in 2007, and has been its President since 2014. Mr. Freeman currently serves as Vice Chairman of MediaNews Group, Inc. (d/b/a Digital First Media), the second largest newspaper business in the United States by circulation with over $1 billion of annual revenue, owning newspapers such as The Denver Post, San Jose Mercury News and Orange County Register. He also serves on the compensation committee and leads the strategic review committee for MNG and has served on its board since 2011. Mr. Freeman is a co-founder and serves on the board of SLT Group, Inc. (d/b/a SLT) a private fitness business based out of New York and started in 2011, which recently took in a large growth investment from North Castle Partners, a private equity firm focused on the health and wellness space. Mr. Freeman also co-founded City of Saints Coffee Roasters in 2013, a third wave coffee roaster, wholesaler and retailer based out of Brooklyn, NY. Prior to Alden, from 2006 - 2007, Mr. Freeman worked as an Investment Analyst at New York-based Smith Management, a private investment firm. Prior to that, from 2003 - 2006, Mr. Freeman was an investment banking analyst at Peter J. Solomon Company, a boutique investment bank, working on mergers and acquisitions, restructurings and refinancing assignments. He has previously served on the boards at The Philadelphia Media Network, The Journal Register Company and RDA Holdings, among others. Currently, Mr. Freeman also serves as Chairman of the Advisory Board for Jewish Life at Duke University's Freeman Center and he also graduated with a BA from Duke University. Mr. Freeman's qualifications as a director include his experience as an investor, investment banker and board member of multiple companies with expertise in finance, compensation, turnarounds, corporate transactions and significantly improving value at underperforming companies. Kevin Gregson Mr. Gregson has served as the Americas Leader for the Insurance Industry for Willis Towers Watson plc since 2013. Prior to his role at Willis Towers Watson, Mr. Gregson was a Managing Director at Alvarez and Marsal Holdings, LLC, a financial advisory services company focused primarily on the financial services industry, from 2010-2013. Mr. Gregson has over thirty years of experience in developing and implementing business solutions for global organizations. Prior to joining Alvarez and Marsal, Mr. Gregson served as founder and president of Bridge Pointe, LLC, a Bermuda-based insurance and reinsurance company and advisory services firm that provides innovative insurance solutions for insurers and corporate sponsors. Previously, he was a co-founder and principal of the Gregson Group, a business advisory firm helping companies align business strategies with organizational and human capital strategies. He is currently a director at Fidelity & Guaranty Life, a provider of life insurance and annuity products, where he serves on the audit, compensation and related party transactions committee. Mr. Gregson holds a B.A. from the University of Delaware and has attended the Executive Finance Program at the University of Michigan. Mr. Gregson's qualifications as a director include his experience advising companies on complex business and financial issues for thirty years, and his expertise in corporate governance, strategy, and financial/operational performance improvement. Lowell Robinson Mr. Robinson is a highly regarded financial and operating executive with thirty years of senior-level strategic, financial, governance, turnaround and M&A experience. He has also been on seven public company boards, and has experience serving as Chairman of the Board as well as Chairman of audit and compensation committees. From 2006-2009, Mr. Robinson was chief financial officer and chief operating officer for Miva, Inc., a digital marketing company, and was instrumental in Miva's turnaround and subsequent sale. He was previously senior executive vice president and chief financial officer of HotJobs.com, an online job board, where he was responsible for all finance and administrative functions at the company. After bringing the company to profitability a year ahead of expectation, HotJobs was sold to Yahoo! for $500 million, representing a 75% premium to market. Prior to joining HotJobs, Mr. Robinson was executive vice president and chief financial officer for PRT Group, a software and IT services company, where he raised $62 million in its initial public offering. In 1994, Mr. Robinson was recruited by the CEO and Warburg Pincus to serve as the chief financial officer of Valassis Communications, Inc. (f/k/a Advo, Inc.), a Fortune 500 company and the largest direct marketing company on the New York Stock Exchange with $2 billion in revenues. Over a three-year period, shareholder value increased 300% due to operational initiatives which he led, in addition to paying out a one- time $10 special dividend. Previously, Mr. Robinson held senior financial positions with Citigroup, Mars, Inc. and Kraft Foods Group, Inc. He is currently on the board at EVINE Live Inc., and has previously served on the board of The Jones Group, Inc., where he chaired the audit and compensation committees, in addition to having served on the boards of five other public companies over the course of his career. Mr. Robinson holds a B.A. from The University of Wisconsin and an M.B.A. in finance from Harvard Business School. Mr. Robinson's qualifications as a director include his C-level executive experience at multiple companies, his experience serving on the boards of seven public companies and his expertise in finance, corporate governance, turnarounds and corporate transactions. Gregory Slayton The Hon. Gregory Slayton has served as the managing director of Slayton Capital, an international venture capital firm that has been an early investor in some of the most successful companies in Silicon Valley history, since 2002. He was an early investor in Google and Salesforce.com and served on the advisory boards of both companies. From 2005-2009, Mr. Slayton was the United States Chief of Mission (defacto Ambassador) to Bermuda, serving under both the Bush and Obama Administrations. From 2000-2002, he served as chief executive officer of ClickAction Inc., an email marketing services company that was acquired by InfoUSA Inc., and prior to this, he was chief executive officer and Chairman of MySoftware, which merged with ClickAction in 2000. He has also served as Distinguished Visiting Professor at Peking University and as a visiting professor at UIBE Business School, Beijing & Szechuan University, Dartmouth College, Harvard University and the Stanford Graduate School of Business. Mr. Slayton has been featured in the Wall Street Journal, Time and three Harvard Business School case studies. He has lived and worked extensively in Asia, Africa, Europe and Latin America, and was a Fulbright Scholar at the University of the Philippines, where he completed a Masters in Asian Studies with honors. Mr. Slayton holds a B.A. from Dartmouth College and an M.B.A. from Harvard Business School, having graduated from both institutions with honors. Mr. Slayton's qualifications as a director include his experience as an investor in technology companies, his executive experience as CEO of multiple companies, his experience serving on the boards of four public companies and his expertise in technology, operations and international markets. Sincerely, MediaNews Group, Inc. About MediaNews Group, Inc. MediaNews Group, Inc. (d/b/a Digital First Media) is a leader in local, multiplatform news and information, distinguished by its original content and high quality, diversified portfolio of local media assets. Digital First Media is the second largest newspaper company in the United States by circulation, serving an audience of over 40 million readers on a monthly basis. The Company's portfolio of products includes 67 daily newspapers and 180 non-daily publications. Digital First Media has a leading local news audience share in each of its primary markets and its content monetization platforms serve clients on both a national and local scale. MICHAEL SYLVESTER: Court Confirms Plan of Reorganization -------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Illinois approved the sixth amended disclosure statement and confirmed the sixth amended plan of reorganization filed by Michael Dominic Sylvester and Dawn Sylvester. Under the Plan, each holder of Allowed Class 3 Claims -- those which are objected to will be counted as disallowed -- totaling $35,966.26 will be paid 100% without interest of all claims held by the Holders starting 30 days completion of payments to the unclassified Tax Claim of the IRS under Section 3.1(b) until paid in full with a payment each month of $700 pro rata. The Debtors will make all payments out of their future income from operating of their Custom Glass Production and Installation Business and from their rental of the estate's real estate (Cedar Lake). The Debtor expects to receive net income sufficient to pay all claims. About Michael Dominic Sylvester Michael Dominic Sylvester and Dawn Sylvester operate a rental real estate and custom glass production and installation business. They manage their financial affairs as debtors-in-possession. The Debtors filed for Chapter 11 bankruptcy protection (Bankr. N.D. Ill. Case No. 13-06990) on Feb. 24, 2013. No trustee examiner or committee of unsecured creditors have been appointed to serve in this Chapter 11 case. MIDSTATES PETROLEUM: Court Confirms 1st Amended Reorg Plan ---------------------------------------------------------- BankruptcyData.com reported that the U.S. Bankruptcy Court confirmed Midstates Petroleum Company's First Amended Joint Chapter 11 Plan of Reorganization. As previously reported, under the Plan, holders of Class 4 - first lien claims shall receive its pro rata share of (a) approximately $82 million in cash or otherwise the amount necessary to reduce the outstanding obligations to the first lien lenders (including outstanding obligations with respect to existing letters of credit) to $170 million and (b)(i) if such holder is a first lien accepting lender, the new credit facility revolving loans, or (ii) if such holder is a first lien rejecting lender, the new credit facility term loans, in all events consistent with the terms of the new credit facility term sheet. Holders of Class 7 - unsecured notes/general unsecured claims shall receive (i) 1.25% of the new common stock (which shall be subject to dilution under the management incentive plan, any other compensation arrangements under the management compensation term sheet, and new common stock issuable upon exercise of the new warrants) and (ii) the unsecured creditor warrants; provided that in the event of a settlement termination event the unencumbered distribution will be shared pro rata among all holders of unsecured notes claims and general unsecured claims, including the deficiency claims. About Midstates Petroleum Company Midstates Petroleum Company, Inc. -- http://www.midstatespetroleum.com/-- is an independent exploration and production company focused on the application of modern drilling and completion techniques in oil and liquids-rich basins in the onshore U.S. Midstates' drilling and completion efforts are currently focused in the Mississippian Lime oil play in Oklahoma and Anadarko Basin in Texas and Oklahoma. The Company's operations also include the upper Gulf Coast tertiary trend in central Louisiana. Midstates Petroleum Company, Inc., and Midstates Petroleum Company LLC filed separate Chapter 11 petitions (Bankr. S.D. Tex. Case Nos. 16-32237 and 16-32238) on April 30, 2016. The petitions were signed by Nelson M. Haight, executive vice president and chief financial officer Judge David R Jones presides over the case. As of Dec. 31, 2015, the Company listed assets of $679 million and total debts of $2 billion. The Debtors have hired Kirkland & Ellis LLP and Kirkland & Ellis International LLP as lead bankruptcy counsel, Jackson Walker LLP as their local and conflicts bankruptcy counsel, and Evercore Group L.L.C. as investment banker. Kurtzman Carson Consultants LLC serves as claims and noticing agent. The Office of the U.S. Trustee, on May 12, 2016, appointed three creditors to serve on the official committee of unsecured creditors. The Committee taps Squire Patton Boggs (US) LLP as counsel, Berkeley Research Group LLC as financial advisor, and Conway Mackenzie, Inc. as special E&P advisor. MJC AMERICA: Can Use Cash Collateral of EWB Until Nov. 10 --------------------------------------------------------- Judge Sandra R. Klein of the U.S. Bankruptcy Court for the Central District of California authorized MJC America, Ltd. to use East West Bank's cash collateral through November 10, 2016. The Debtor and East West Bank had previously entered into a Stipulation on the use of cash collateral, which was approved by the Court. Judge Klein ordered that all terms and conditions of the Stipulation will remain in full force and effect, and directed the Debtor to make a one-time adequate protection payment to East West Bank of $25,000. Judge Klein will conduct a further hearing on the Debtor's continued use of cash collateral on November 3, 2016 at 8:30 a.m. A full-text copy of the Order, dated September 21, 2016, is available at http://tinyurl.com/jffx29v About MJC America, Ltd. MJC America, Ltd., doing business as Soleus Air System -- http://www.soleusair.com/-- which sells Soleus-branded air conditioners and heaters in the U.S., filed for Chapter 11 bankruptcy protection (Bankr. C.D. Cal. Case No. 13-39097) on Dec. 10, 2013. The petition was signed by Simon Chu, an authorized individual. The Debtor selected David A. Tilem, Esq., at the Law Offices of David A. Tilem as its general bankruptcy counsel. Winston & Strawn LLP serves as special litigation counsel. The case is assigned to Judge Sandra R. Klein. MJC disclosed $13.98 million in total assets and $15.92 million in total liabilities in its schedules. Accounts receivable of $9.22 million and inventory of $4.12 million comprise most of the assets. East West Bank has a scheduled secured claim of $2.1 million on a line of credit, and Hong Kong Gree Electric Appliances Sales, Ltd., is owed $4.07 million, but only $288,000 is secured. MONGE PROPERTY: Selling Los Angeles Property to Davtian for $1M --------------------------------------------------------------- Monge Property Investments, Inc. ("MPI") asks the U.S. Bankruptcy Court for the Central District of California to authorize the sale of industrial property located at 910 North San Fernando Road, Los Angeles, California ("San Fernando Road Property") to Gayane Davtian for $1,000,000, without overbidding. On Nov. 1, 2013, the MPI entered into a lease of the San Fernando Road Property ("Lease") with Jacob (Jack) Arutunian. The term of the Lease is 5 years from Nov. 1, 2013. The Lease includes options to renew for two 5-year periods. If both options are exercised, then the duration of the lease will be 15 years. The Lease includes an option to purchase the San Fernando Road Property for $1,000,000 which can be exercised by either Mr. Arutunian or Purchaser. MPI is informed and believes that Purchaser is the mother of the tenant Jack Arutunian. On Nov. 10, 2015, the parties entered into an amendment to the Lease. On Oct. 8, 2015, MPI brought its Second Motion for an Order Approving Long Term Real Property Lease, as Amended, Retroactive to Nov. 4, 2013 ("Second Lease Motion") for approval of long-term lease. The first motion had been withdrawn by MPI, and said withdrawal was acknowledged by order of the Court entered on Sept. 9, 2015. Subsequently, MPI filed its Second Motion for approval of the Lease. All parties in interest were given notice, no party opposed the Second Motion for retroactive approval of the Lease, with the purchase option component. The Bankruptcy Court, in an order entered on Nov. 10, 2015, approved both the Lease and the Amendment. MPI is informed and believes that upon entering into the Lease, Mr. Arutunian relocated substantial business assets to the San Fernando Road Property in reliance upon the Lease and the purchase option. Due to Purchaser's concern regarding the devastating effect that an overbid would have on Mr. Arutunian's business, since the Purchaser is his mother, and MPI is informed and believes that Mr. Artunian intends to continue to occupy the San Fernando Road Property after the close of the sale, Purchaser requested, and MPI agreed to, a provision in the Purchase Agreement to the effect that MPI's motion regarding the sale would state that MPI would seek approval of the sale of the San Fernando Road Property to Purchaser without overbids, and that if the Court denied that portion or the motion, or otherwise instituted overbidding, then MPI's motion deemed immediately withdrawn, without the necessity of any filing with the Court. A copy of the Purchase Agreement attached to the Motion is available for free at: http://bankrupt.com/misc/Monge_Property_506_Sales.pdf The sale of the property to Purchaser is pursuant to the terms of the option as to price. The estimated proceeds of the sale are projected to be as follows: Sale price: $1,000,000 Selling costs (4.5%): $45,000 Encumbrance: $0 Credit for Purchaser's Environmental Inspections: $14,235 Credit for Lease Deposit: $6,000 Unpaid Property taxes: $113,272 Estimated proceeds: $821,493 The sale will be beneficial to the estate due to the fact that it will provide approximately $821,493 in net proceeds. In the preliminary title report regarding the San Fernando Road Property generated by USA National Title Co., these liens, all of which are disputed by MPI, are found: a. A deed of trust in favor of beneficiary Lois Ann Franks Geissel, dated Nov. 2, 1976 ("Geissel Deed of Trust") secured payment of an obligation of $80,000. MPI believes that the obligation secured by the Geissel Deed of Trust was a "carry back" deed of trust from the seller that was paid off many years ago. MPI contends that there is no obligation secured by the Geissel Deed of Trust, and based thereon disputes the validity of the Geissel Deed of Trust. b. Notices of Lien in favor of the City of Los Angles – Department of Building and Safety ("Building and Safety Liens") for inspections of the San Fernando Road Property. The total balance of the Building and Safety Liens totals $14,494, including penalties. MPI disputes all portions of the Building and Safety Liens that are penalties, and reserves its right to object to such claims. The San Fernando Road Property may be sold free and clear of all of the interests of the liens since the sale price exceeds the aggregate amount of the liens. The Debtor requests for authority to handle the proceeds from the sale of the San Fernando Road Property as follows: After the payment of ordinary selling expenses and credits, Remax 6000 Realty's commission of 4.5% of the purchase price, and unpaid property taxes, the remaining balance will be distributed to MPI, subject to further orders of the Court. The Purchaser: Gayane Davtian Glendale, CA 91203 The Purchaser is represented by: Varand Gourjian,Esq. GOURJIAN LAW GROUP 101 N. Brand Boulevard, Suite 1220 Glendale, CA 91203 Telephone: (818) 956-0100 About Monge Property Investments Monge Property Investments, Inc., sought Chapter 11 protection (Bankr. C.D. Cal. Case No. 12-29275) on May 31, 2012. Judge Thomas B. Donovan is assigned to the case. The Debtor estimated assets in the range of $1,000,001 to $10,000,000 and $100,001 to $500,000 in debt. The Debtor tapped David M. Reeder, Esq. at Valensi Rose, PLC as counsel. The petition was signed by Ruben Monge, Jr., president. MORGANS HOTEL: MMCAP International Reports 5.2% Equity Stake ------------------------------------------------------------ In a Schedule 13G filed with the Securities and Exchange Commission, MMCAP International Inc. SPC and MM Asset Management Inc. disclosed that as of Sept. 20, 2016, they beneficially own 1,814,857 shares of common stock of Morgans Hotel Group CO. representing 5.2039% of the shares outstanding. A full-text copy of the regulatory filing is available for free at goo.gl/tK2c7N About Morgans Hotel Group Based in New York, Morgans Hotel Group Co. (Nasdaq: MHGC) -- http://www.morganshotelgroup.com/-- is widely credited as the creator of the first "boutique" hotel and a continuing leader of the hotel industry's boutique sector. Morgans Hotel Group operates and owns, or has an ownership interest in, Morgans, Royalton and Hudson in New York, Delano and Shore Club in South Beach, Mondrian in Los Angeles and South Beach, Clift in San Francisco, Ames in Boston, and Sanderson and St Martins Lane in London. Morgans Hotel Group and an equity partner also own the Hard Rock Hotel & Casino in Las Vegas and related assets. Morgans Hotel Group also manages hotels in Isla Verde, Puerto Rico and Playa del Carmen, Mexico. Morgans Hotel Group has other property transactions in various stages of completion, including projects in SoHo, New York and Palm Springs, California. Morgans Hotel reported net income attributable to common stockholders of $5.45 million on $220 million of total revenues for the year ended Dec. 31, 2015, compared to a net loss attributable to common stockholders of $66.6 million on $234 million of total revenues for the year ended Dec. 31, 2014. As of June 30, 2016, Morgans Hotel had $512 million in total assets, $737 million in total liabilities and a total deficit of $225 million. MRI INTERVENTIONS: Files 1.6M Shares Resale Prospectus with SEC --------------------------------------------------------------- MRI Interventions, Inc., filed with the Securities and Exchange Commission a Form S-1 registration statement relating to 821,000 outstanding shares of the Company's common stock and 768,580 shares of its common stock issuable upon the exercise of outstanding warrants, or the Warrants, held by some of the Company's securityholders. The securities the Company are registering are to be offered for the account of the selling securityholders. The Company will pay the expenses of registering the shares, but the Company is not selling any shares of common stock in this offering and therefore will not receive any proceeds from this offering. The Company will, however, receive the exercise price of the Warrants, if and when such warrants are exercised for cash by the selling securityholders. The Company's common stock is traded in the over-the-counter market and quoted on the OTCQB Venture Marketplace organized by the OTC Markets Group Inc. and the OTC Bulletin Board under the ticker symbol "MRIC." On Sept. 29, 2016, the last reported sale price of the Company's common stock was $6.75 per share. A full-text copy of the Form S-1 prospectus is available at: goo.gl/VY8UPn About MRI Interventions Based in Irvine, Calif., MRI Interventions, Inc., is a medical device company. The Company develops and commercializes platforms for performing minimally invasive surgical procedures in the brain and heart under direct, intra-procedural magnetic resonance imaging (MRI) guidance. It has two product platforms: ClearPoint system, which is used to perform minimally invasive surgical procedures in the brain and ClearTrace system, which is under development, to be used to perform minimally invasive surgical procedures in the heart. As of June 30, 2016, MRI Interventions had $6.44 million in total assets, $10.4 million in total liabilities and a total stockholders' deficit of $3.96 million. MRI Interventions reported a net loss of $8.44 million in 2015 following a net loss of $4.52 million in 2014. Cherry Bekaert LLP, in Charlotte, North Carolina, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company incurred net losses during the years ended Dec. 31, 2015, and 2014 of approximately $8.4 million and $4.5 million, respectively. Additionally, the stockholders' deficit at December 31, 2015 was approximately $2 million. These conditions raise substantial doubt about the Company's ability to continue as a going concern. NADLER & DARWISH: Can't Compel Bank to Release Insurance Proceeds ----------------------------------------------------------------- Judge Melvin S. Hoffman of the United States Bankruptcy Court for the District of Massachusetts, Eastern Division, denied Nadler & Darwish LLC's motion to compel Mechanics Cooperative Bank, holder of two mortgages on the debtor's property at 967-975 North Main Street in Randolph, Massachusetts, to release insurance proceeds totaling approximately $165,000 paid for fire damage to the property. The insurance company issued a check for the insurance proceeds payable jointly to the debtor, the bank and the insurance adjuster on August 2, 2016. When the debtor demanded the bank endorse the check and deliver it to the debtor so it could begin construction work to repair the property, the bank refused. By the time the debtor filed its motion, however, the bank has endorsed the check on behalf of the debtor, deposited it and distributed the insurance proceeds, first to pay certain casualty related expenses, including the adjuster's commission, and then to reduce the debtor's outstanding loan obligations to the bank. Upon knowing this, the debtor thus acknowledged that its demand that the bank be required to endorse the insurance check and deliver it to the debtor could no longer be met. The debtor demanded instead that the bank be ordered to repay the amount of the check, less the adjuster's commission, to the debtor, insisting that the check was property of its bankruptcy estate and that the bank's exercising control over it without obtaining relief from the automatic stay was impermissible and a stay violation to boot. Judge Hoffman ruled that there could have been no stay violation by the bank nor could the insurance proceeds have been property of the bankruptcy estate because the debtor's case had been dismissed on August 1, 2016, and not reinstated until September 1, 2016, when the debtor's motion to vacate the order of dismissal was granted. The judge pointed out that all the events of which the debtor complained occurred during the period when no bankruptcy case was pending, and reinstatement of a bankruptcy case does not retroactively impose the automatic stay. Judge Hoffman also held that the bank was entitled to apply the insurance proceeds toward repayment of the debtor's loans even to the point of endorsing the debtor's name on the insurance check, because the bank endorsed the debtor's name under a power of attorney, contained in the mortgages, and granted to the bank for this precise purpose. A full-text copy of Judge Hoffman's September 27, 2016 order is available at http://bankrupt.com/misc/mab16-12820-55.pdf Nadler & Darwish LLC is represented by: Nina M. Parker, Esq. PARKER AND ASSOCIATES 10 Converse Place, Suite 201 Winchester, MA 01890 Tel: (781)729-0005 Fax: (781)729-0187 Mechanics Cooperative Bank is represented by: David M. Baker, Esq. D. BAKER LAW GROUP, P.C. 10 North Main Street Fall River, MA 02720 Tel: (508)869-4300 Fax: (508)674-3841 About Nadler and Darwish Nadler and Darwish, LLC filed a Chapter 11 bankruptcy petition (Bankr. D.Ma. Case No. 16-58964) on July 24, 2016. Hon. Melvin Hoffman presides over the case.Â Parker & Associates represents the Debtor as counsel. In its petition, the Debtor estimated $1 million toÂ $10 million in both assets and liabilities. The petition was signed by Erna Jean-Louis, manager. NORTH BEACHES: Wants to Use American Enterprise Bank Cash --------------------------------------------------------- North Beaches Pharmacy, Inc. asks the U.S. Bankruptcy Court for the Middle District of Florida for authorization to use cash collateral. The Debtor entered into a line of credit with American Enterprise Bank of Florida which in turn received a blanket lien on all assets of the Debtor including all accounts and receivables. Sometime after entering into the agreement with American Enterprise Bank of Florida, Fidelity Bank acquired American Enterprise Bank of Florida. The Debtor's proposed monthly Budget provides for total operating expenses in the amount of $18,990 and total personnel expenses in the amount of $80,204. The Debtor proposes to pay $495 directly to Fidelity Bank to protect its interest as well as grant Fidelity Bank replacement liens as necessary. The Debtor contends that the payment is an interest only payment based upon the full claim amount, believed to be $111,583.00, with 5% interest. The Debtor tells the Court that further agreements will hopefully be reduced to writing shortly and will be filed with the Court. A full-text copy of the Debtor's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/NorthBeachesPharmacy2016_316bk03618jaf_7.pdf North Beaches Pharmacy, Inc. is represented by: Jason A. Burgess, Esq. 1855 Mayport Road Atlantic Beach, FL 32233 Telephone: (904) 354-5065 Email: jason@jasonaburgess.com About North Beaches Pharmacy, Inc. North Beaches Pharmacy, Inc. filed a chapter 11 petition (Bankr. M.D. Fla. Case No. 3:16-bk-03618) on September 28, 2016. The Debtor is represented by Jason A. Burgess, Esq. The Debtor owns and operates a pharmacy in Jacksonville Beach, Florida. NORTHERN OIL: Board Awards CFO $250,000 Bonus --------------------------------------------- The compensation committee of the board of directors of Northern Oil and Gas, Inc. awarded Thomas Stoelk, the Company's CFO and interim CEO, a $250,000 bonus in recognition of his increase in duties with his assumption of the interim CEO position. The first $100,000 of the bonus was payable on Sept. 30, 2016, and the remaining $150,000 will be payable on Dec. 31, 2016, as disclosed in a Form 8-K filed with the Securities and Exchange Commission. About Northern Oil Northern Oil and Gas, Inc. -- http://www.NorthernOil.com/-- is an exploration and production company with a core area of focus in the Williston Basin Bakken and Three Forks play in North Dakota and Montana. Northern Oil reported a net loss of $975 million in 2015 following net income of $164 million in 2014. As of June 30, 2016, Northern Oil had $465 million in total assets, $895 million in total liabilities and a $430 million total stockholders' deficit. * * * As reported by the TCR on Sept. 1, 2016, S&P Global Ratings lowered its corporate credit rating on U.S.-based oil and gas E&P company Northern Oil and Gas Inc. to 'CCC' from 'CCC+'. The outlook is negative. "The downgrade follows the announcement by the company that it has retained financial advisors Tudor, Pickering, Holt & Co. to help it review strategic alternatives," said S&P Global Ratings credit analyst Brian Garcia. "We believe this increases the likelihood the company could engage in a transaction we would view as a distressed exchange, where holders of the company's unsecured debt could receive less than the promised value," he added. NORTHERN POWER SYSTEMS: Recurring Losses Raises Going Concern Doubt ------------------------------------------------------------------- Northern Power Systems Corp. filed its quarterly report on Form 10-Q, disclosing a net loss of $4.23 million on $5.18 million of total revenues for the three months ended March 31, 2016, compared with a net loss of $4.01 million on $9.22 million of total revenues for the same period in 2015. The Company's balance sheet at March 31, 2016, showed $28.70 million in total assets, $26.84 million in total liabilities, and a stockholders' equity of $1.86 million. The Company has incurred operating losses since its inception. Management anticipates incurring additional losses until the Company can produce sufficient revenue to cover its operating costs, if ever. Since inception, the Company has funded its net capital requirements with proceeds from private equity and public and debt offerings. At March 31, 2016, the Company has cash of $4.0 million, an accumulated deficit of $172.6 million and the current line of credit which is set to expire on September 30, 2016. The Company is in discussions with its lender to renew its line of credit prior to September 30, 2016 or obtain alternative financing. However, the Company cannot guarantee that it will be able to procure additional financing upon favorable terms, if at all. These conditions raise substantial doubt about the Company's ability to continue as a going concern. A copy of the Form 10-Q is available at: https://is.gd/FjXiDp Northern Power Systems Corp. is a provider of advanced renewable power creation and power conversion technology for the energy sector. The Company designs, manufactures and services permanent magnet direct-drive (PMDD) wind turbines for the distributed wind market. Its segments include Product Sales and Service, Technology Licensing, Technology Development and Shared Services. The Company licenses its utility-class wind turbine platform, which uses the PMDD technology as its distributed turbines, to the manufacturers on a global basis. NOVETTA SOLUTIONS: Moody's Lowers CFR to Caa1; Outlook Negative --------------------------------------------------------------- Moody's Investors Service downgraded Novetta Solutions, LLC's Corporate Family Rating to Caa1 from B3 and its Probability of Default Rating to Caa1-PD from B3-PD. In connection with this action, Moody's downgraded the ratings on both the senior secured revolving credit facility and senior secured first lien term loan to B3 from B2, and the rating on the senior secured second lien term loan to Caa3 from Caa2. The rating outlook is negative. The downgrade of Novetta's ratings reflects the company's significant underperformance over the last three quarters relative to Moody's expectations for revenue and earnings growth. The company anticipated a substantial amount of new contract awards late in 2015; however, much of the projected increase in business failed to materialize and initial ramp-up costs incurred caused adjusted EBITDA margins to contract by over three percent in the first half of 2016 (all metrics incorporate Moody's standard adjustments). Operating losses in recent quarters have caused debt leverage to increase materially from pro forma levels at the time of the October 2015 leveraged buyout (LBO) by The Carlyle Group and have lowered Moody's expectations for near-term free cash flow generation. The change in the rating outlook to negative from stable reflects Moody's expectation that weak organic sales growth will likely persist into 2017, due in part to delays in awarding government contracts. Continued softening in higher-margin, software licensing sales could weaken cash flow generation and further constrain liquidity. The rating outlook could be stabilized if revenue and earnings growth strengthen and result in sustained free cash flow generation. The downgrades of the ratings on the revolving credit facility and the first and second lien term loans were a function of the one-notch downgrade of Novetta's CFR. These ratings were affected by these rating actions: Corporate Family Rating downgraded to Caa1 from B3; Probability of Default Rating downgraded to Caa1-PD from B3-PD; $40 million sr. sec. revolving credit facility due 2020 downgraded to B3 (LGD3) from B2 (LGD3); $199 million (originally $200 million) sr. sec. 1st lien term loan due 2022 downgraded to B3 (LGD3) from B2 (LGD3); $85 million sr. sec. 2nd lien term loan due 2023 downgraded to Caa3 (LGD5) from Caa2 (LGD5) RATING RATIONALE Novetta's Caa1 CFR reflects the company's elevated debt leverage metrics as of the end of 2Q16, with debt/EBITDA of approximately 9.7x driven primarily by operating losses that followed the 2015 LBO that doubled the company's balance sheet debt. Moody's projects low single digit revenue growth over the next two years with flat to slightly weaker operating margins, partly because government delays in awarding work are likely to continue, which will result in debt leverage increasing to over 10.5x by the end of 2017. Together with debt service requirements, this will lead to slightly negative to breakeven free cash flow generation and minimal cash balances over the next 12 to 18 months. Novetta's significant revenue concentrations -- the top five contracts comprise over 50% of total revenues -- and the potential impact of losing a meaningful contract or not replacing large completed contracts is also factored into the Caa1 CFR. The rating also reflects Novetta's adequate liquidity profile and Moody's expectation that the company will rely on the revolver to meet basic cash needs over the next 12 months, including capital expenditures and required term loan amortization. Moody's believes the company will maintain sufficient revolver availability and headroom under its springing first lien net leverage covenant after the March 2017 step-down; however, projected erosion of covenant cushion will partially restrict near-term borrowing capacity under the revolver. Helping to offset these risks is Novetta's strong market position in a growing defense services niche. The increasing importance of advanced data analytics, particularly for national security purposes, was recently demonstrated when such services were deemed "essential" by the Federal government, and therefore, were not as severely targeted by sequestration-related spending cuts. The majority of the work awarded to the company is highly specialized, often allowing Novetta to bypass certain "lowest price, technically available" Federal government procurement hurdles. According to the company, higher-margin, sole-source/single-award work (not competitively bid) is estimated to be greater than 50% of its contract base. Largely US Government-funded R&D costs, in addition to recurring software licensing revenues, are contributing to mid- to high-teens EBITDA margins, which is a key credit strength. The ratings on the senior secured bank credit facilities reflect the overall probability of default for Novetta, which Moody's rates Caa1-PD. The B3 ratings on the revolver and first lien term loan are one notch above the CFR, reflecting the first loss protection provided by second lien debt in the capital structure. The Caa3 rating on the second lien term loan, two notches below the CFR, reflects the facility's lien subordination to approximately $240 million of secured debt that has a first-priority claim on the company's most liquid assets. Given the company's elevated debt leverage and merely adequate liquidity profile, an upgrade of Novetta's ratings is unlikely over the near term. However, positive rating actions could be taken if the company demonstrates strong growth in backlog and revenue, with debt/EBITDA improving to below 6.5x, EBIT interest coverage closer to 1.0x, and retained free cash flow/net debt over 5%. The ratings could be downgraded if Novetta's liquidity profile deteriorates further or if declining revenue and margin contraction result in continued operating losses. Negative actions could be taken if Novetta faces a diminished ability to satisfy required debt service requirements. The principal methodology used in these ratings was Global Aerospace and Defense Industry published in April 2014. Novetta Solutions, LLC is an advanced analytics company that works on intelligence and cyber security projects for the government and commercial organizations. The company is majority-owned by affiliates of The Carlyle Group. Total revenues for the 12 months ended June 30, 2016, totaled $185 million. NUVERRA ENVIRONMENTAL: Has Until Oct. 14 to Refinance ABL Facility ------------------------------------------------------------------ Nuverra Environmental Solutions, Inc., entered into a Tenth Amendment to Amended and Restated Credit Agreement by and among Wells Fargo Bank, National Association, as agent, the lenders named therein, and the Company, which further amends the Company's Amended and Restated Credit Agreement, dated as of Feb. 3, 2014, by and among the Agent, the Lenders, and the Company. The ABL Facility Amendment amends the ABL Facility by (i) amending the refinancing covenant to extend the date by which the Company is required to refinance the ABL Facility in full from Sept. 30, 2016, to Oct. 14, 2016, and (ii) increasing the applicable margin on LIBOR Rate and Base Rate Loans and the Applicable Unused Line Fee Percentage (as defined in the ABL Facility). A full-text copy of the Tenth Amendment to Amended and Restated Credit Agreement is available at goo.gl/NsrJv2 About Nuverra Nuverra Environmental Solutions, Inc. (OTCQB: NESC) provides environmental solutions to customers focused on the development and ongoing production of oil and natural gas from shale formations. The Scottsdale, Arizona-based Company operates in shale basins where customer exploration and production activities are predominantly focused on shale and natural gas. Nuverra reported a net loss attributable to common stockholders of $195 million in 2015, a net loss attributable to common stockholders of $516 million in 2014 and a net loss attributable to common stockholders of $232 million in 2013. At June 30, 2016, the Company had $422 million in total assets, $497 million in total liabilities, and total stockholder's deficit of $75.1 million. KPMG LLP, in Phoenix, Arizona, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company has incurred recurring losses from operations and has limited cash resources, which raise substantial doubt about its ability to continue as a going concern. ONSITE TEMPORARY: JRS Funding Wants to Sequester Cash Collateral ---------------------------------------------------------------- JRS Funding, LLC, et. al., ask the U.S. Bankruptcy Court for the District of Arizona to prohibit the Debtor from using its Trailers, and to sequester all the proceeds generated from their use. JRS Funding, LLC, et. al. allege that they loaned the Debtor monies to purchase travel trailers. They further allege that the loan funds provided for in each transaction were to be used to purchase the Trailers, for which ownership was to be evidenced by an Arizona motor vehicle title wherein JRS Funding, LLC, et. al. were listed as the first lien holder. JRS Funding, LLC, et. al. contend that in the Loan Documents, the Debtor made express representations and warranties to JRS Funding, LLC, et. al., including: (1) the Debtor was the lawful owner of the Trailers and they were free and clear of all encumbrances and that no other party had any right to the collateral; (2) that the Debtor would insure the Trailers against all risk made payable to JRS Funding, LLC, et. al.; (3) that the Debtor would not sell, dispose of or transfer the rights to the Trailers to another party without the prior written consent of JRS Funding, LLC, et. al.; and, (4) in the event of default, the Debtor would assemble the Trailers at a location determined by JRS Funding, LLC, et. al., for turnover thereof. JRS Funding, LLC, et. al. tell the Court that the Debtor defaulted in its obligation and a lawsuit was filed in the Superior Court for damages in the amount of $2,690,743.40. They further tell the Court that the Debtor has allowed the insurance on the trailers to lapse and sold certain unknown trailers in violation of the terms of the Promissory Notes. JRS Funding, LLC, et. al. contend that they were in the process of repossessing the Trailers via their self-help remedies and a replevin action when Debtor filed its petition the day before the replevin hearing was to occur. JRS Funding, LLC, et. al. say that the significant depreciation the Trailers incur on a daily basis is reflected in Debtor’s list of 20 largest creditors wherein the Trailers’ value at purchase ranged between $20,000 to $35,000 and are now currently valued at $9,000.00 a piece. They believe that Debtor is presently unwilling or unable to provide adequate protection to JRS Funding, LLC, et. al., and there is no probability that adequate protection can be afforded to them within a reasonable time. For these reasons, JRS Funding, LLC, et. al. contend that they are entitled to have the Trailers sequestered and the Debtor prevented from using the Trailers any further. A full-text copy of JRS Funding, LLC, et. al.'s Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/OnsiteTemporaryHousing2016_216-bk10790ps_25.pdf JRS Funding, LLC, et. al., are represented by: David T. Bonfiglio, Esq. DAVID T. BONFIGLIO, P.C. 4356 N. Civic Center Plaza Scottsdale, AZ 85251 Telephone: (480) 970-0974 Email: david.bonfiglio@azbar.org The case is IN RE: Onsite Temporary Housing Corporation (Bankr. D. Ariz. Case No. 2:16-Bk-10790-PS) OXTON PLACE: Case Summary & 10 Unsecured Creditors -------------------------------------------------- Debtor: Oxton Place of Douglas, LLC dba Manor House of Douglas, LLC 621 North Cherokee Road Social Circle, GA 30025 Case No.: 16-67316 Nature of Business: Health Care Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court Northern District of Georgia (Atlanta) Debtor's Counsel: Theodore N. Stapleton, Esq. THEODORE N. STAPLETON, P.C. Suite 100-B 2802 Paces Ferry Road Atlanta, GA 30339 Tel: 770 436-3334 Fax: (404) 935-5344 E-mail: tstaple@tstaple.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Dwayne Edwards, managing member. A copy of the Debtor's list of 10 unsecured creditors is available for free at http://bankrupt.com/misc/ganb16-67316.pdf P.J. ROSALY: Wants Approval to Use BDE Cash Collateral ------------------------------------------------------ P.J. Rosaly Enterprises, Inc. asks the U.S. Bankruptcy Court for the District of Puerto Rico for authorization to use cash collateral. The Debtor and its related parties entered into a financial obligation with Banco de Desarrollo Economico de Puerto Rico, also known as BDE, for a revolving line of credit and a term loan. The credit facilities were guaranteed with the accounts receivables and cash proceeds of the Debtor, among other collateral. The Debtor contends that BDE is owed approximately $2,533,595. The Debtor tells the Court that it urgently needs to use cash collateral in order to continue operations and pay basic expenses like payroll, rent, utilities, preservation of the collateral, professionals and other related expenses. The Debtor further tells the Court that the allowance of the use of cash collateral will guarantee the preservation of the assets of the estate, and the current operations and sales, which are the sources of cash collateral. The Debtor's proposed Budget provides for total disbursements in the amount of $520,098.778 for September 28, 2016 to October 12, 2016, and $4,863,699 for October 13, 2016 to January 31, 2017. The Debtor proposes to grant BDE replacement liens on the same type of post-petition property of the estate agains which BDE held liens as of the Petition Date, specifically the inventory and the account receivables received. The Debtor further proposes to continue its monthly payments to BDE on their pre-petition secured debt, according to the terms and conditions of the loan agreements. A full-text copy of the Debtor's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/PJRosalyEnterprises2016_1607690esl11_7.pdf About P.J. Rosaly Enterprises, Inc. P.J. Rosaly Enterprises, Inc. dba Islandwide Express filed a chapter 11 petition (Bankr. D.P.R. Case No. 16-07690) on September 28, 2016. The petition was signed by Ivan Marin, president. The Debtor is represented by Carmen D. Conde Torres, Esq. and Luisa S. Valle Castro, Esq., at C. Conde & Associates. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. The Debtor is specialized in providing next day, same day delivery services to its clients, as well as temperature controlled deliveries. It is also engaged by the main banks in the island and provide internal messenger and clearing house services to these institutions. There are two related parties to this company: Islandwide Logistics, Inc. and HME Holdings, Inc. Together, they form the Islandwide Group. PACIFIC RECYCLING: Hearing on Disclosure Statement Set For Oct. 24 ------------------------------------------------------------------ The U.S. Bankruptcy Court for the District of Oregon will hold on Oct. 24, 2016, at 10:00 a.m. a hearing on Pacific Recycling, Inc.'s disclosure statement dated Sept. 16, 2016, describing the Debtor's Chapter 11 plan. Objections to the Disclosure Statement must be filed by seven days before the hearing. Pacific Recycling, Inc., filed a Chapter 11 bankruptcy petition (Bankr. D. Ore. Case No. 15-62925) on Aug. 27, 2015. The petition was signed by Rodney Schultz, the president. The Debtor disclosed total assets of $5,996,665 and total liabilities of $21,718,414. Hon. Frank R. Alley III is assigned to the case. Cable Huston LLP represents the Debtor as counsel. The U.S. Trustee for Region 18 appointed four creditors of Pacific Recycling to serve on the official committee of unsecured creditors. Cassie K. Jones, Esq., and the law firm of Gleaves Swearingen LLP represent the Committee as its counsel. PACIFIC WEBWORKS: U.S. Trustee Objects to Disclosure Statement -------------------------------------------------------------- BankruptcyData.com reported that the U.S. Trustee assigned to the Pacific WebWorks case filed with the U.S. Bankruptcy Court an objection to the Debtor's Disclosure Statement. The objection explains, "The Disclosure Statement should set forth the bonding requirements for the Liquidating Trustee and the successor to the Liquidating Trustee. If no bonding is anticipated, the risks and costs of the failure to bond should be clearly set forth in both the Disclosure Statement and the Plan. The Disclosure Statement appears to defer to paragraph 11.4 of the Plan for information concerning Default under the Plan. The provisions are overly vague as how Creditors, the Court, or the United States Trustee are to determine when an event of default occurs. More specific mile stones for performance by the Liquidating Trustee should be provided. Further, it is not clear that in the event of default whether the Court could order conversion of the case to a case under chapter 7 of the Bankruptcy Code. The Disclosure Statement should indicate that if the Case is converted to a case under chapter 7 the current assets will re-vest in the chapter 7 estate. This provision could be included in both the Disclosure Statement, at paragraph 2.5.2, and the Plan, at paragraph 5.2." About Pacific WebWorks Pacific WebWorks, Inc., previously known as Asphalt Associates, was an application service provider and software development company. Pacific WebWorks sought Chapter 11 protection (Bankr. D. Utah Case No. 16-21223) on Feb. 23, 2016, to pursue an orderly liquidation of its assets. It estimated assets and debt of $1 million to $10 million. The Debtor tapped George B. Hofmann of Cohne Kinghorne as counsel. The Debtor also engaged Rocky Mountain Advisory as an independent contractor to provide management services, and appointed Gil Miller as chief restructuring officer. PAGOSA PARTNERS: Has Until Nov. 30 to Use NBH Bank Cash Collateral ------------------------------------------------------------------ Judge Joseph G. Rosania, Jr. of the U.S. Bankruptcy Court for the District of Colorado authorized Pagosa Partners II, Inc. to use cash collateral pursuant to the Debtor's agreement with NBH Bank, until November 30, 2016. The Debtor is indebted to NBH Bank in the amount of $2,384,405.95, plus interest, attorneys' fees and costs. NBH Bank has a security interest in the Debtor's real property that constitutes a two-story strip center and a pad site together with personal property, among others, located in Pagosa Springs, Colorado. The Bank also has a lien and security interest in the income, leases, rents, revenues, and cash received from and as a result of the Collateral, as well as all cash on hand as of the Commencement Date. The approved Budget provides for total expenses in the amount of $7,025 for the month of October 2016, and $6,700 for the month of November 2016. NBH Bank was granted a valid and duly perfected security interest in and lien on and against the Collateral and the types of property constituting the Collateral and any proceeds therefrom. The Debtor was directed to pay NBH Bank the sum of $7,529,58, equal to the cash on hand on the Commencement Date, and make monthly adequate protection payments to NBH Bank in the amount of $5,000, beginning on September 1, 2016. A full-text copy of the Order, dated September 28, 2016, is available at http://bankrupt.com/misc/PagosaPartners2016_1617905jgr_39.pdf About Pagosa Partners II, Inc. Pagosa Partners II, Inc., based in Chicago, IL, filed a Chapter 11 petition (Bankr. D. Colo. Case No. 16-17905) on Aug. 10, 2016. The petition was signed by Robert J. Ralis, president. Judge Joseph G. Rosania Jr. presides over the case. Jeffrey S. Brinen, Esq., at Kutner Brinen, P.C., serves as bankruptcy counsel. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. No official committee of unsecured creditors has been appointed in the case. PALMER FARMS: Seeks to Employ Mesch Clark as Attorneys ------------------------------------------------------ Palmer Farms, Incorporated, and Palmer Cattle, L.L.C., seek authorization from the U.S. Bankruptcy Court for the District of Arizona to employ Mesch Clark Rothschild as Attorneys. The Debtors require Mesch Clark to: (a) give the Debtors legal advice with respect to their power and duties in the continued operation and management of their properties; (b) take necessary action to recover certain property and money owed to the Debtors, if necessary; (c) represent the Debtors in litigation, including the investigation and if necessary, initiate and prosecute litigation against Great Western Bank in the court of appropriate jurisdiction, including the Arizona Superior Court, Graham County; (d) prepare on behalf of the Debtors, the necessary applications, answers, complaints, orders, reports, disclosure statement, plan of reorganization, motions and other legal documents; and, (e) perform all other legal services that the Debtors deem necessary. Mesch Clark will be paid at these hourly rates: Michael McGrath $575.00 Isaac D. Rothschild $350.00 Jeff J. Coe $275.00 Paraprofessionals $195.00 Other Attorneys Standard hourly rates Mesch Clark will also be reimbursed for reasonable out-of-pocket expenses incurred. At the time of filing for bankruptcy relief, the Debtors did not owe anything to Mesch Clark for prepetition services. Marco D. Palmer, President and Manager of the Debtors, Farms and Cattle, 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. Mesch Clark can be reached at: Michael McGrath, Esq. Isaac D. Rothschild, Esq. Jeffrey J. Coe, Esq. MESCH CLARK ROTHSCHILD 259 North Meyer Avenue Tucson, AZ 85701 Tel.: (520) 624-8886 Fax: (520) 798-1037 Emails: mmcgrath@mcrazlaw.com irothschild@mcrazlaw.com jcoe@mcrazlaw.com About Palmer Farms, Incorporated Palmer Farms, Incorporated, Palmer Cattle, LLC, Marco Duane Palmer and Elena Pavlovna Palmer filed chapter 11 petitions (Bankr. D. Ariz. Case Nos. 4:16-bk-10202-BMW, 4:16-bk-10201-BMW, and 4:16-bk-10206-SHG, respectively) on Sept. 2, 2016. Palmer Farms and Palmer Cattle are represented by Michael McGrath, Esq., Isaac D. Rothschild, Esq., and Jeffrey J. Coe, Esq., at Mesch Clark Rothschild. Marco D. and Elena P. Palmer are represented by Dennis J. Clancy, Esq., at Raven, Clancy & McDonagh, P.C. Marco and Elena Palmer are husband and wife and live in Thatcher, Arizona. Marco is a fifth generation farmer who has farmed in Thatcher for over 40 years. Marco Palmer is the former vice-president of the irrigation district in Thatcher, Arizona. In about 2010, the Palmers expanded into cattle ranching. Palmer Farms operates a farm on approximately 1200 acres in Thatcher, Arizona. Farms primarily grows cotton and durum wheat and employs four employees. Palmer Farms currently subleases about 500 acres to Danny Curley. Palmer Cattle is a cattle ranch but does not currently own any cattle. The ranch owns equipment and feed and has the capacity to raise cattle, however, in July of 2014, Great Western Bank, N.A. directed Palmer Cattle to not purchase any cattle, despite knowing that Palmer Cattle had acquired a large amount of feed and equipment for the cattle operation. PHILLIP MYERS: Selling Assets to Myers Engineering for $700K ------------------------------------------------------------ Phillip Carver Myers asks the U.S. Bankruptcy Court for the Central District of California to authorize the sale of interest, if any, in C.K. 'Bud' Myers Engineering, Inc., to for $700,000, subject to overbid. A hearing on the Motion is set for Oct. 26, 2016 at 1:30 p.m. On April 30, 2015, the Court issued a scheduling order, whereby June 30, 2015, was set as the claims bar date. That same day, the Debtor filed and served a notice of claims bar date and scheduling order, noticing all creditors of the June 30, 2015, claims bar date. The alleged largest "creditor" of the estate, the Debtor's former spouse, Ms. Victoria Myers, passed away in late June 2016, after the Court set an OSC as to why Ms. Myers proof of claim should not be valued at "zero" ("OSC"). As the Debtor could not propose a plan of reorganization until the Ms. Myers OSC has been resolved, the Court, on July 8, 2016, entered an order granting Debtor's oral motion to continue the deadline to file a Disclosure Statement and Chapter 11 Plan of Reorganization to Oct. 31, 2016, and continuing the hearing on the adequacy of Debtor's to-be-filed Disclosure Statement to Dec. 31, 2016 ("DS/Plan Extension Order"). Recently, on Sept. 20, 2016, Ms. Myer's estate representative filed a "motion to substitute the personal representative" for Ms. Myers claims. Accordingly, concurrently with the filing of the Motion, the Debtor will be filing a motion to request an extension of the DS/Plan Extension Order to allow the OSC to be fully resolved. On Debtor's original Schedules and Statement of Financial Affairs, filed on Sept. 17, 2014, the Debtor listed these relevant assets and liabilities: a. On Schedule B, the Debtor listed as an asset a $146,000 interest in "Myers Engineering, Inc. (40% of Stock) – corporation is subject to significant products liability claims and most likely stock has no market value. Value based on notes receivable from debtor less note payable to debt." ("Estate's Stock Interest"); b. On Schedule B, Debtor listed as an asset a $135,000 interest in a "note payable from Myers Engineering, Inc., likely uncollectible, subject to set off" ("Debtor's Note"); c. On Schedule F, Debtor listed as undisputed an unsecured non-priority claim in the amount of $300,000 in favor of Myers Engineering on account of "loans" from 2007- 2014 ("Myers Engineering Claim No. 1"); and d. On Schedule F, Debtor listed as undisputed an unsecured non-priority claim in the amount of $200,000 in favor of Myers Engineering on account of "loans" from 2005-2006. On Oct. 29, 2014, the Debtor filed an amended Schedule F marking Myers Engineering Claim No. 1 as "disputed". The Debtor, Bruce Myers, and Gary Myers are brothers, and Myers Engineering was founded by their father. The Debtor and his brothers were officers and directors of Myers Engineering. The Debtor's nephew, Cary Buller, also works for Myers Engineering. In July 2014, an asset purchase agreement was entered into by Myers Engineering (as the seller) and Myers Mixers, LLC (as the buyer) to sell substantially all of Myers Engineering's' assets to Myers Mixers in exchange for a promissory note ("APA"). The transaction contemplated in the APA closed on Aug. 1, 2014. Mr. Buller signed the APA for Myers Mixers, and G. Myers executed the APA for Myers Engineering. On Aug. 1, 2014, a secured promissory note ("Promissory Note") was executed by Mr. Buller as managing member of Myers Mixers in favor of Myers Engineering. Pursuant to the Promissory Note, Myers Mixers promised to pay Myers Engineering $2,216,553 "with the first payment due in or before Dec. 31 2014 in the amount of $27,469 and the following eight installments of $67,419 due on or before December 31st of each following year until July 31, 2023, at which all unpaid principal and accrued interest will be paid in full." With respect to the APA, the Debtor contends that: a. At the time the APA was executed, Myers Engineering was valued at $3,200,000 million; b. The transfer contemplated by the APA was orchestrated in such a way to ensure that the business enterprise represented by Myers Engineering would continue, but without the Debtor as an owner, as the at the time of the APA, the Debtor was a defendant in multiple lawsuits; c. Mr. Buller, G. Myers, and B. Myers breached their fiduciary duties to Myers Engineering by approving the APA; d. If the Debtor consented to the APA, such consent was not given voluntarily, but rather was provided under extreme duress under the familial pressure of his brothers and nephew; and e. Myers Mixers in breach of the Promissory Note. As such, the Debtor believes that the Estate has derivative claims against G. Myers, B. Myers, Mr. Buller, Myers Engineering, and Myers Mixers for: (1) avoidance and recovery of a fraudulent transfer(s); (2) breach of fiduciary duty; (3) breach of contract; and (4) accounting ("Derivative Claims"). Mr. Buller, G. Myers, B. Myers, Myers Engineering, and Myers Mixers ("Potential Defendants") deny that the validity of the Derivative Claims. Among their contentions, Myers Engineering contends that prior to the execution of the APA, it obtained a "business valuation report" stating that Myers Engineering was valued at $1,400,000. The Potential Defendants also contend that the Debtor, as an officer and director of Myers Engineering, approved the transaction embodied in the APA. Over the last few months, counsel for the various parties worked to negotiate settlement embodied in the APA. As an agreement emerged, it became clear that the parties could not obtain bankruptcy court approval of the settlement before the statute of limitation set forth in 11 U.S.C. Section 546(a)(1)(A) expired. The Plaintiff requested that the Potential Defendants execute a tolling agreement ("Settlement Agreement") pending approval of the settlement. While Myers Engineering, G. Myers, and Mr. Buller agreed to execute a Settlement Agreement, Myers Mixers refused. Accordingly, on Aug. 31, 2016, the Debtor filed a motion to extend the 11 U.S.C. Section 546(a)(1)(A) deadline ("546 Motion"). On Sept. 9, 2016, the Court entered an order granting the 546 Motion, extending the relevant dates to Dec. 16, 2016 ("546 Order"). Concurrently, in order to further reserve the Estate's rights, counsel for the Debtor sent a demand letter to Myers Engineering requesting that Myers Engineering either prosecute or consent to the prosecution of the Derivative Claims in compliance with California Corporation Code Section 800(b)(2) ("Demand Letter"). After the submission of the Demand Letter, all of the Potential Defendants agreed to execute a Settlement Agreement to allow the Court to approve the Motion. In his original schedules, the Debtor disclosed that on May 1, 2014, the Debtor gave a gift to his daughter Ms. Angela Sadis a "$325,000 representing half (community property interest in a note) of $650,000 note secured by deed of trust on residence (215 45th Avenue, SW, Seattle, Washington Victoria Myers gifted the remainder of the deed of trust." As the Debtor is a fiduciary of the Estate, he was obligated to recover the transfer, and on Feb. 29, 2016, the Debtor commenced adversary proceeding Case No. 6:16-ap-01043-MJ seeking recovery of the transfer ("Sadis Complaint"). The Estate's potential recovery in the Sadis Complaint is limited, thus, the Settlement Agreement also resolves the Estate's interest in the Sadis Complaint. The Settlement Agreement provides in pertinent part: a. Myers Engineering will purchase the Estate's interest, if any, in the Estate Stock Interests for $700,000 ("Purchase Funds"). Seven days prior to the instant hearing on the Motion, will deliver to their counsel of records client trust account the Purchased Funds. Counsel for Myers Engineering will hold the purchased funds in trust, and will disburse the Purchase Funds to Debtor's debtor-in-possession bank account within 1 day of the entry of an order of the Court approving the Motion; b. Within 72 hours of receipt of the Purchase Funds, counsel for Myers Engineering, Mr. Hugh T. Verano, Jr., will submit a declaration with the Court confirming receipt of the Purchase Funds, along with documentary evidence of the deposit of the Purchase Funds; c. The Estate's Stock Interest is being purchased "as is" without warranties of any kind, expressed or implied; d. The sale of the Estate's Stock Interest is subject to overbid; e. Contingent upon the Court entering an order approving the Motion and the Agreement, Myers Engineering expressly waives and relinquish all rights, if any, they may have to a distribution from the Estate on account of either Myers Engineering Claims No. 1 & 2. Such waiver remains in force, if at any time, the instant Estate is converted to a Chapter 7 bankruptcy proceeding; f. The Debtor, on behalf of the Estate, expressly waives an relinquishes all rights and claims the Estate may have, if any, on account of the Debtor's Note; g. If Mr. Buller, G. Myers, and B. Myers are the successful bidder at the auction, then the sale of the Estate's Stock Interest will occur any time after 15 days of the entry of the Approval Order, before such time, the successful bidder will prepare and deliver to the Debtor an assignment of stock certificates; h. Within 30 days of the entry of an order by thw Court approving the Motion, the Debtor will dismiss the Sadis Complaint with prejudice; i. The parties agreed to mutual releases; and j. In order to restore some semblance of familial harmony, the parties agreed to non-disparagement and non-dissemination clauses. A copy of the Settlement Agreement attached to the Motion is available for free at http://bankrupt.com/misc/Phillip_Myers_366_Sales.pdf Given the facts and the history of this case, the Debtor submits that the Agreement was a proper exercise of his business judgment and should be approved by the Court. The Estate's Stock Interest will be sold subject to overbid at an open auction ("Auction") to be conducted by the Debtor, before the Court, at the time that the Motion is heard. The Debtor proposes these overbid procedures, which will govern any bidding: a. Any person or entity that is interest in purchased the Estate's Stock Interest ("Bidders") must serve the Debtor and his counsel with an initial bid ("Overbid"), to be received by Debtor and his counsel no later than Oct. 21, 2016, at 5:00 p.m. b. Any entity that submits a timely conforming Overbid will be deemed a "Qualified Bidder" and may bid for the Estate's Stock Interest at the hearing. c. The Debtor, subject to the rights of a Bidder or party in interest to raise an issue with the Court, will have sole authority to determine whether a party is a Qualified Bidder. d. Any Overbid must remain open until the conclusion of the Auction of the property to be held at the hearing on the Motion. e. Any Overbid must provide for a minimum total consideration of $1,070,000. f. Any Overbid must be for the Estate's Stock Interest, and the Estate's Stock Interest only, "as is, where is," and "with all faults," and will not contain any financing, due diligence, or any contingency fee, termination fee, or any similar fee or expense reimbursement. g. Any Overbid must be accompanied by a deposit of $25,000 in certified funds, which funds will be nonrefundable if the bid is determined by the Court to be the highest and best bid for the Property ("Best Bid") and proof satisfactory to the Debtor and the Court that such bidder has sufficient funds to complete the sale. h. Any Overbid must be made by a person or entity who has completed its due diligence review of the Estate's Stock Interest and is satisfies with the results thereof. i. If the Debtor receives a timely, conforming Overbid for the Estate's Stock Interest, the Court will conduct an auction of at the hearing, in which all Qualified Bidders may participate. The Auction will be governed by the following procedures: (a) all Qualified Bidders shall be deemed to have consented to the core jurisdiction of the Bankruptcy Court and to have waived any right to jury trial in connection with any disputes relating to the Auction or the sale of the Estate's Stock Interest; (b) the minimum bidding increment during the Auction will be $5,000; (c) bidding will commence at $5,000 over the highest Overbid; and (d) the Court will determine which of the bids is the best bid ("Successful Bidder"). j. The Successful Bidder must pay at the closing all amounts reflected in the Best Bid in cash and such other consideration as agreed upon. The facts surrounding the sale of the Estate's Stock Interest to the purchasers support the Debtor's sound business decision to sell and confirm that the proposed sale is in the best interest of the Estate and its creditors. The only way for Debtor to benefit monetarily from the Derivative Claims would be through a distribution declared by the Myers Engineering's board of directors, which the Debtor believes is unlikely. Although valuable, prosecuting the Derivative Claims would result in significant administrative expenses to the Estate, without the guarantee of any recovery. The Settlement Agreement guarantees that the Estate receives significant value for its interest in Myers Engineering. Absent the settlement and sale embodied in the Agreement, the Estate may not be able to monetize its interest in Myers Engineering. Accordingly, the Debtor has properly exercised his business judgment in negotiating and entering into the Settlement Agreement. The Debtor requests that the Court order that the sale may be effectuated immediately upon entry of the Order approving the Motion and authorizing the sale of the Assets. The Purchaser is represented by: Hugh T. Verano, Jr., Esq. VERANO 7 VERANO APLC 30900 Rancho Viejo Rd., Suite 145 San Juan Capistrano, CA 92675 Telephone: 949-373-9490 E-mail: hverano@verano-verano.com Counsel for Debtor: Matthew W. Grimshaw, Esq. Richard A. Marshak, Esq. David A. Wood, Esq. MARSHACK HAYS LLP 870 Roosevelt Irvine, CA 92620 Telephone: (949) 333-7777 Facsimile: (949) 333-7778 E-mail: rmarshack@marshackhays.com mgrimshaw@marshackhays.com dwood@marshackhays.com - and - Bert Briones, Esq. RED HILL LAW GROUP 38 Corporate Park, Suite 31 Irvine, CA 92606 Telephone: 714-733-4455 Facsimile: 714-464-4627 Phillip Carver Myers sought Chapter 11 protection (Bankr. C.D. Cal. Case No. 14-21429) on Sept. 10, 2014. PINNACLE INNOVATION: Plan Outline to Be Heard on Nov. 8 ------------------------------------------------------- The U.S. Bankruptcy Court for the Central District of California will convene a hearing on Nov. 8, 2016, at 1:00 p.m. in Riverside, California, to consider the adequacy of the Disclosure Statement in support of the Plan of Reorganization proposed by Pinnacle Innovation, Inc. Any party-in-interest wishing to obtain a copy of the Disclosure Statement and the Plan should submit a written request to the Debtor's counsel: Todd L. Turoci, Esq. The Turoci Firm 3845 Tenth Street Riverside, CA 925501 Tel: (888) 332-8362 E-mail: mail@theturocifirm.com Pinnacle Innvoation, Inc., filed a chapter 11 petition (Bankr. C.D. Cal. Case No. 16-10735) on Jan. 29, 2016. The petition was signed by Jose Marroquin, president. The Debtor is represented by Todd L. Turoci, Esq., at The Turoci Firm. The Debtor estimated assets at $100,001 to $500,000 and debt of $500,001 to $1 million at the time of the filing. PRICEVILLE PARTNERS: Ch. 11 Plan Proposes to Liquidate All Assets ----------------------------------------------------------------- Priceville Partners, LLC, filed with the U.S. Bankruptcy Court for the Northern District of Alabama a disclosure statement for the Debtor's Chapter 11 plan of reorganization. The Debtor estimates that the total amount of Class 2 General Unsecured Claims is approximately $5,962,736.82, which amount may be increased or decreased based upon claim contests or failure to file a proof of claim. Under the Plan, each Class 2 holder will be paid pro rata from the available funds after all allowed administrative expense claims and allowed Class 1 claims receive the treatment they are entitled under the Plan, to the extent funds are available and until the claims are paid in full, after the later of (i) the initial distribution date; or (ii) if an objection is pending at the time, no later than 15 business days after the claim becomes allowed. The initial distribution date will be at the discretion of the Debtor in the event the deadline to sell receivables has not expired, but at the discretion of the plan trustee after the turn over date. It will be soon as reasonably practicable after taking into account the status of objections to claims, the amount of disputed claims, the amount of available funds, and the costs of making the distribution. An initial distribution will be from all net available funds (after payment of allowed claims and other administrative expenses and claims) but with a reserve of $10,000 if available; subsequent distributions will be from the recovery of additional proceeds (the surrender or repossession of vehicles sold by auction, or the like) and after recovery of causes of action against third parties. Subsequent distributions may be multiple in nature until all assets have been distributed. Class 2 claims are impaired under the Plan. Substantially all of the Debtor's assets will be liquidated during the course of the Debtor's Plan. The Plan proposed two Phases which initially would allow the Debtor to complete the sale of its accounts and notes receivable and, thereafter, to transfer all assets into a liquidating trust, with appointment of a plan trustee approved by the Court. In the event that the accounts and notes receivable are not sold within a designated period of time, then those assets, too, would be transferred to the Liquidating Trust. There should be no asset left in the Debtor's estate remaining after the turn over date, as the Liquidating Trust, through its Plan Trustee, should cause the completion of liquidation of the assets and conversion of the assets to cash, investigation/initiation and completion of litigation converting the claims or causes of action to cash, and the distribution of the net proceeds realized therefrom by the Plan Trustee to the creditors holding allowed claims in accordance with the priorities established by the Bankruptcy Code. The Debtor and Plan Trustee will sell or transfer the assets of the estate in accordance with the Plan and will distribute the net proceeds as follows: (a) first to pay the reasonable costs and expenses of the Debtor and Plan Trustee and his professionals (including professional fees, including all claims of approved counsel) incurred in administering, deriving, maintaining, and preserving the net funds and making the distributions, and the sale or auction of the assets of the estate (to the extent not otherwise paid pursuant to the Plan); (b) brokerage or similar fees associated with the sale of the accounts and notes receivable; (c) legal and other professional fees incurred during the investigation/initiation and prosecution of the several causes of action (to include costs associated with the actions); (d) pay allowed claims to the extent and in priority established by the Bankruptcy Code. The Plan Trustee may distribute funds to allowed claims in multiple distributions, with the initial distribution date following a reasonable period of time after transfer of assets to the Liquidating Trust in completion of the liquidation of the notes and accounts receivable in similar hard assets. A second or additional distribution date would arise upon completion and collection of litigated or settled claims derived through third party recoveries, and after payment of allowed fees, claims and costs associated with the activities. The Disclosure Statement is available at: http://bankrupt.com/misc/alnb16-80675-225.pdf About Priceville Partners Decatur, Alabama-based Priceville Partners, LLC, also known as Performance Auto Sales, is engaged in the sale of automobiles. Priceville Partners sought Chapter 11 protection (Bankr. N.D. Ala. Case No. 16-80675) on March 4, 2016. The case is assigned to Judge Clifton R. Jessup Jr. Lee R. Benton and Samuel C. Stephens, Esq., at Benton & Centeno, LLP, are the Debtor's bankruptcy attorneys. Andrew P. Campbell, Esq., and Todd Campbell, Esq., at the Law Firm Of Campbell Guin, LLC, have been tapped as special counsel. The Debtor estimated $500,000 to $1 million in assets and $1 million to $10 million in debt. PRIME GLOBAL: Terminates Crowe Horwath as Accountants ----------------------------------------------------- Prime Global Capital Group Incorporated was advised that the Company's independent registered public accounting firm, Crowe Horwath (HK) CPA Limited, will no longer provide audit and assurance services to public companies subject to the statutes and regulations of the United States effective as of Oct. 1, 2016. Accordingly, the Company, with the approval of its audit committee and board of directors, terminated the services of CHHK effective Sept. 30, 2016. CHHK's reports on the financial statements of the Company for the fiscal year ended Oct. 31, 2015, did not contain any adverse opinion or disclaimer of opinion, nor were they qualified or modified as to uncertainty, audit scope or accounting principles, except that its report for the fiscal year ended Oct. 31, 2015, contained an emphasis of matter paragraph regarding the Company's ability to continue as a going concern. During the Company's fiscal year ended Oct. 31, 2015, and through Sept. 30, 2016, there were no disagreements with CHHK on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure which disagreements, if not resolved to CHHK's satisfaction, would have caused them to make reference to the subject matter in connection with their report on the Company's consolidated financial statements for those periods. About Prime Global Kuala Lumpur, Malaysia-based Prime Global Capital Group operated in the following three business segments during fiscal year 2014: (i) software business (the provision of IT consulting, programming and website development services); (ii) plantation business (including oilseeds and castor seeds business); and (iii) its real estate business. In the fourth quarter of fiscal 2014, the Company discontinued its castor seeds business in China, and in December 2014 it discontinued the software business (the provision of IT consulting, programming and website services) in Malaysia. As a result, the Company no longer conduct business operations in China and anticipate winding down or otherwise selling its interests in the following entities: Power Green Investments Limited; Max Trend International Limited and Shenzhen Max Trend Green Energy Co Ltd. Prime Global reported a net loss US$1.59 million for the year ended Oct. 31, 2015, compared to a net loss of US$1.33 million for the year ended Oct. 31, 2014. As of July 31, 2016, the Company had US$48.2 million in total assets, U$18.3 million in total liabilities and US$29.8 million in total equity. Crowe Horwath (HK) CPA Limited, in Hong Kong, China, issued a "going concern" qualification on the consolidated financial statements for the year ended Oct. 31, 2015, citing that the Company has a working capital deficiency, accumulated deficit from recurring net losses and significant short-term debt obligations maturing in less than one year as of Oct. 31, 2015. All these factors raise substantial doubt about its ability to continue as a going concern. PROGRESSIVE ACUTE: Equity Investors Seek Ch. 11 Trustee Appointment ------------------------------------------------------------------- The Unit Holders of Progressive Acute Care, LLC, et al., ask the United States Bankruptcy Court for the Western District of Louisiana to direct the appoint of an independent Chapter 11 Trustee in the Chapter 11 case. In the Motion to Appoint Trustee, the Equity Investors likewise ask the Bankruptcy Court to authorize the Trustee to conduct a full investigation of the financial affairs and disclosures of the Debtors' management and Business First Bank. The investigation is required to uncover the proceeds from the causes of action against the Debtors' management and the Board, and to independently evaluate the actions of the Debtor and its management before and during the bankruptcy proceeding. The Debtors and its subsidiaries and affiliates undertook a process to evaluate and acquire the assets of Dauterive Hospital of New Iberia, LA, from Hospital Corporation of America, a large national publicly traded for-profit health care company. The acquisition went unsuccessful that led to the Debtors' filing of the bankruptcy case. The Equity Investors assert that the appointment of a Chapter 11 Trustee is appropriate because of the misrepresentation and overly optimistic projections of the financial condition of the management of the Debtors, duress and/or undue pressure used by the Debtors' management and the board to force the equity unit owners to vote in favor of the bankruptcy proceeding, the failure of the board or management to pursue causes of action and collection of the guaranties against the management of the Debtor, and the conflicts of interest of the the Debtors' management has as a result of the guaranties. Therefore, the Equity Investors ask the Court to appoint a trustee to oversee all aspects of the case, including the discretion to (i) undertake any and all necessary forensic civil and criminal investigations of the Debtors inside the management and the Business First Bank activities contributing to the downfall of the Debtors and the destruction of the value of the Equity Investors' interests, (ii) liquidate and distribute the Debtors estate assets and (iii) vigorously pursue any and all causes of action against the Business First Bank and the Debtors' management and Board. The Equity Investors are represented by: Tom St. Germain TOM ST. GERMAIN 1414 NE Evangeline Thrwy Lafayette, LA 70501 Tel: 235-4001 Fax: 235-4020 About Progressive Acute Care Progressive Acute Care, LLC, Progressive Acute Care Avoyelles, LLC, Progressive Acute Care Oakdale, LLC, and Progressive Acute Care Winn, LLC filed chapter 11 petitions (Bankr. W.D. La. Case Nos. 16-50740, 16-80584, 16-50742, and 16-50743, respectively) on May 31, 2016. The petitions were signed by Daniel Rissing, CEO. The Debtors are represented by Barbara B. Parsons, Esq., Catherine Noel Steffes, Esq., William E. Steffes, Esq., at Steffes, Vingiello & McKenzie, LLC. The case is assigned to Judge Robert Summerhays. The Debtors retained Solic Capital Advisors, LLC as their Financial Advisor. The Debtors estimated assets and debts at $10 million to $50 million at the time of the filing. QF LIQUIDATION: Employs Brown Wegner as Litigation Counsel ---------------------------------------------------------- QF Liquidation, Inc., seeks authorization from the United States Bankruptcy Court for the Central District of California to employ Brown Wegner McNamara LLP as litigation counsel, nunc pro tunc to July 28, 2016. The Debtor requires Brown Wegner to: (a) litigate the objection filed by Agility Fuel Systems, Inc., to the assumption and assignment of a contract between Quantum Fuel Systems Technologies Worldwide, Inc., and Agility; (b) litigate Agility's appeal of the order on the Agility objection; and, (c) take steps it deems advisable as part of the representation, including investigating the matter, filing court papers, appearing in court, and negotiating on Client's behalf. Brown Wegner professionals will be paid at these hourly rates: William J. Brown, Jr. $490 Matthew K. Wegner $490 Stephen M. McNamara $490 Lily Li $365 Mae Galvez $185 Brown Wegner will also be reimbursed for reasonable out-of-pocket expenses incurred. Brown Wegner has received no other payments or compensation from Debtor or any party on behalf of Debtor at any time, including in the 90 days prior to the Petition Date. Nishant Machado, Chief Restructuring Officer of the Debtor, 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. Brown Wegner can be reached at: William J. Brown, Jr., Esq. BROWN WEGNER MCNAMARA LLP 2603 Main St Ste 1050 Irvine, CA 92614 Tel.: (949) 705-0080 Fax: (949) 794-4099 About Quantum Fuel Lake Forest, California-based Quantum Fuel Systems Technologies Worldwide, Inc., is an innovator, developer and producer of compressed natural gas (CNG) fuel storage tanks and packaged fuel storage systems for heavy-, medium-, and light-duty trucks and passenger vehicles. The Company also produces integrated vehicle system technologies, including engine and vehicle control systems and drivetrains. It supplies its tanks and systems to truck and automotive original equipment manufacturers and aftermarket and OEM truck integrators worldwide. Quantum Fuel filed a Chapter 11 bankruptcy petition (Bankr. C.D. Cal. Case No. 16-11202) on March 22, 2016. The petition was signed by Brian W. Olson as chief executive officer. The Debtor listed total assets of $23.10 million and total debts of $21.7 million. Foley & Lardner LLP serves as counsel to the Debtor. Judge Mark S Wallace is assigned to the case. REXFORD PROPERTIES: USF&G Seeks Appointment of Ch. 11 Examiner -------------------------------------------------------------- Creditor United States Fidelity & Guaranty Company asks the U.S. Bankruptcy Court for the Central District of California to appoint a Chapter 11 Examiner in the Chapter 11 case filed by the Debtor, Rexford Properties LLC. The Examiner will investigate and pursue potential fraudulent transfers between the Debtor and its members and the avoidance claims against the insider Creditors. In the alternative, USF&G seeks authority to investigate and pursue avoidance claims against the Debtor's members and insiders and grant USF&G any further relief the Court deems appropriate. USF&G believes that the motion to appoint a Chapter 11 Examiner is necessary because the Debtor is evading the pursuit or even the evaluation of the transfers. The Debtor's managing member, Lisa Ehrlich, has already testified under oath that the transfers to the Debtor's members were in the form of cash distributions and further testified that the Debtor lacked sufficient funds during the period to pay any of its seven figure obligations to insiders or related parties, the creditor tells the Court. The creditor asserts that the Court has held that the benefit of appointing an independent examiner is that he or she will act as an objective, non-adversarial party who will review pertinent transactions and documents, thus allowing the parties to make an informed determination as to their substantive rights. Alternatively, should the Court determine appointment of an examiner is not in the best interest of creditors and that the qualifying debt threshold has not been met, USF&G requests the Court authorize it, on behalf of the estate, to continue its investigation and, if as it appears appropriate, pursue claims against the Debtor's members on behalf of the estate and its creditors. The Creditor is represented by: Susan C. Stevenson, Esq. PYLE SIMS DUNCAN & STEVENSON APC 401 B St #1500 San Diego, CA 92101 About Rexford Properties Rexford Properties LLC is a California limited liability company that owns the Island Waterpark in Fresno, California. The Waterpark is a family friendly water-themed amusement park featuring a variety of rides and attractions including a wave park, a lazy river, a three story water slide, and other attractions for both children and adults. The Waterpark is located on a plot of land off Highway 99 and Shaw Avenue in Fresno. Rexford owns the underlying land and the improvements and other assets of the Waterpark, and utilizes the assistance of third party manager/independent contractor to operate the Waterpark. Rexford Properties LLC filed for Chapter 11 protection (Bank. C.D. Cal. Case No. 15-12116) on June 16, 2015. The petition was signed by Lisa Ehrlich, managing member. Bankruptcy Judge Martin R. Barash presides over the case. The Debtor disclosed total assets of $1,107,620 plus an unknown amount and total liabilities of $12,883,441. Prepetition, the Debtor obtained a series of loans from companies related to the Ehrlich family to construct the Waterpark, but all were unsecured. The only secured loan that the Debtor has is the postpetition debtor-in-possession loan approved by the Court in an order entered Dec. 31, 2015. The lender under the DIP Loan is The 1979 Ehrlich Investment Trust, and the total maximum principal balance of the DIP Loan is $2 million. Michael M. Lauter, Esq., at Sheppard Mullin Richter & Hampton LLP, represents the Debtor in its restructuring effort. REYNOLDS GROUP: Moody's Retains B3 CFR on Term Loan Upsize ---------------------------------------------------------- Moody's Investors Service said Reynolds Group Holdings Limited announced that it is seeking to upsize its senior secured term loan by $850 million to $1.35 billion. The upsized term loan has no immediate impact on the company's B3 corporate family rating, B3-PD Probability of Default rating and other instrument ratings as well as the positive outlook. RIDGEMOUR MEYER: Goetz Fitzpatrick's Bid for Claim Payment Denied ----------------------------------------------------------------- Judge Stuary M. Bernstein of the United States Bankruptcy Court for the Southern District of New York denied Goetz Fitzpatrick LLP's motion seeking payment of its claim against Ridgemour Meyer Properties, LLC. Goetz Fitzpatrick represented the Debtor and others pre-petition. It filed a proof of claim, originally in the amount of $350,555.49, and subsequently capped, by agreement, in the amount of $310,104.21 for services rendered. The proponents of the debtor's fourth amended plan of reorganization objected to the claim and, along with the debtor, also sued Goetz Fitzpatrick in state court for professional malpractice. Following dismissal of the state court malpractice lawsuit, Goetz Fitzpatrick filed a motion seeking to reopen the chapter 11 case and to direct the debtor to pay the claim. The debtor contended that the dismissal of the state court action mandates disallowance while Goetz Fitzpatrick maintains that it requires immediate payment. Judge Bernstein concluded that res judicata does not bar or resolve the objection to the reasonableness of Goetz Fitzpatrick's fees under 11 U.S.C. section 502(b)(4). Accordingly, the judge denied the portion of the motion seeking a direction to pay the claim as a matter of law as further proceedings are necessary to determine the question of reasonableness. A full-text copy of Judge Bernstein's September 27, 2016 memorandum decision and order is available at http://bankrupt.com/misc/nysb08-13153-310.pdf Goetz Fitzpatrick LLP is represented by: Gary M. Kushner, Esq. Scott D. Simon, Esq. GOETZ FITZPATRICK LLP One Penn Plaza, 31st Floor New York, NY 10119 Ridgemour Meter Properties, LLC c/k/a Metropolitan Plaza WP, LLC is represented by: Joseph T. Adragna, Esq. 58 East Main Street Huntington, NY 11743 About Ridgemour Meyer Properties, LLC Headquartered in New York, Ridgemour Meyer Properties, LLC is a real estate developer. The company filed for Chapter 11 protection from its creditors on Aug. 11, 2008 (Bankr. S.D.N.Y. Case No.08-13153). Marc Stuart Goldberg, Esq., at M. Stuart Goldberg, LLC, represents the Debtor. When the Debtor filed protection from its creditors, it listed both assets and debts between $10 million and $50 million. RODERICK BARTON: Unsecureds to Receive 5% Within 60 Days -------------------------------------------------------- Roderick R. Barton filed with the U.S. Bankruptcy Court for the District of Massachusetts a Disclosure Statement in conjunction with his Plan of Reorganization, providing for the distribution of all funds to the creditors, directly from the Debtor to pay his secured debt, priority and administrative debt, and general unsecured debt. The Debtor has two principal general unsecured claims: first, the Debtor has the claim of Columbia Gas Company, which, if the execution is properly deducted from it may approach $70,000 -- Bay State Gas Company has an execution for $20,817, Bay State Gas Company is now under the name Columbia Gas Company; and second, the Debtor has a proof of claim filed by Western Massachusetts Electric for $21,168. In addition, the Debtor has another seven creditors whose claims total about $5,000 between proofs of claims filed and claims listed as undisputed, liquidated, and noncontingent in his schedules. Class Ten consists of all general unsecured claims that are $1,000 or less, the holder of such claim agrees to reduce the claim to $1,000, and these claims shall be paid 25% of their allowed claims within 60 days of confirmation of the Plan. Class Eleven consists of all general unsecured claims that are more than $1,000. Holders of these claims shall be paid 5% of their allowed claims within 60 days of the Plan’s confirmation, and then 7% per year, on the anniversary of the 5% payment, for ten years, for a total of 75%. Upon commencement of his Chapter 11 Case, the Debtor owned thirteen (13) rental properties. The Debtor has operated relatively on an even cash flow basis until the NEFC Agreement was reached between the Debtor and New England Farm Council. In March, 2016, the NEFC had a final financing closing, and released approximately $30,000, and began providing tenants to the Debtor. With the NEFC in force, the Debtor will receive an additional $10,000 in monthly rents, although there will be some additional expenses, the additional income will more than offset these expenses, and the Debtor expects a net cash inflow of at least $3,000 per month after payment of mortgages under Plan, but before other payments. Thus, the Debtor believes that he has sufficient income and capital to make all payments under the plan. A full-text copy of the Amended Disclosure Statement dated September 14, 2016 is available at https://is.gd/sqexWo About Roderick R. Barton Roderick R. Barton filed a Chapter 11 petition (Bankr. D. Mass. Case No. 15-30263), on March 29, 2015. Judge Frank J. Bailey presides over the case. The Debtor is represented by Louis S. Robin, Esq. at the Law Offices of Louis S. Robin, 1200 Converse Street, Longmeadow, MA. RONALD ZIMMER: Files Further Disclosure on Peritus' Secured Claim ----------------------------------------------------------------- Ronald and Kathleen Zimmer have filed court papers with the U.S. Bankruptcy Court for the Northern District of Texas, which contain additional information about the treatment of Class 6 secured claim of Peritus Portfolio Services II, LLLC. The Debtors disclosed that insurance will pay the value of the collateral securing the property. To the extent there are excess proceeds, the proceeds will be remitted to the Debtors. To the extent there is a balance, Peritus will become a Class 7 creditor and will receive similar treatment. The secured creditor must file an amended proof of claim prior to the effective date of the Debtors' Chapter 11 plan of reorganization or shall be deemed paid in full under the plan. The Debtors expressed confidence that the plan, which proposes to pay unsecured claims from their disposable income, is feasible based on the projected cash flows. A copy of the court document is available for free at https://is.gd/Cmmghm About The Zimmers Ronald and Kathleen Zimmer initially filed for Chapter 13 bankruptcy protection (Bankr. N.D. Tex. Case No. 14-30783) in 2014. The case was converted to a Chapter 11 case on June 12, 2015. ROSEWOOD OAKS: Voluntary Chapter 11 Case Summary ------------------------------------------------ Debtor: Rosewood Oaks, LLC 9001 Wildwater Way Round Rock, TX 78681 Case No.: 16-11141 Nature of Business: Single Asset Real Estate Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court Western District of Texas (Austin) Judge: Hon. Tony M. Davis Debtor's Counsel: Frederick E. Walker, Esq. FRED E. WALKER, P.C. 609 Castle Ridge Road, Suite 220 Austin, TX 78746 Tel: (512) 330-9977 Fax: (512) 330-1686 E-mail: fredwalkerlaw@yahoo.com fred@fredwalkerlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Avis Wallace, manager. The Debtor did not include a list of its largest unsecured creditors when it filed the petition. A full-text copy of the petition is available for free at: http://bankrupt.com/misc/txwb16-11141.pdf RYAN ROTH: Unsecureds To Get $1,000 for 40 Months ------------------------------------------------- Ryan M. Roth and Stephanie S. Roth filed with the U.S. Bankruptcy Court for the Western District of Wisconsin an amended disclosure statement dated Sept. 13, 2016, describing the Debtors' plan of reorganization. The Debtors first filed a disclosure statement on July 29, 2016. Under the Plan, Class 5 General Unsecured Claims are impaired. Undisputed, non-priority unsecured claims, are in the approximate amount of $35,350. Claimants under this class will be paid with interest at the rate of 3.25% amortized over approximately 40 months resulting in the claimants sharing pro rata in monthly distributions of $1,000 starting on or before April 1, 2017. The Debtors will retain all property of the estate, and no transfer of estate property is anticipated at this time. The Debtors will have the right to sell or transfer any of their property, with the proceeds to be distributed to lien holders according to their priorities. The Debtors will fund the plan with their regular income, which will include milk sales, sales of male goats, corn sales, and any employment outside of the farm by joint debtor Stephanie Roth as a teacher. The Amended Disclosure Statement is available at: http://bankrupt.com/misc/wiwb16-12094-74.pdf Ryan M. Roth and Stephanie S. Roth filed for Chapter 11 bankruptcy protection (Bankr. W.D. Wis. Case No. 16-12094) on June 10, 2016. Ryan Anthony Blay, Esq., at Krekeler Strother, S.C., serves as the Debtor's bankruptcy counsel. S&S SCREW: Regions Bank Wants to Prohibit Cash Collateral Use ------------------------------------------------------------- Regions Bank asks the U.S. Bankruptcy Court for the Middle District of Tennessee to prohibit S&S Screw Machine Company, LLC from using cash collateral. Regions Bank alleges that the Debtor is indebted to it in the total principal amount of $3,355,587.63, plus interest, attorneys' fees and expenses, pursuant to five Promissory Notes. Regions Bank further alleges that it has a security interest in all of the Debtor’s Accounts, Bank Accounts, Inventory, Equipment, Fixtures and General Intangibles, and all accessions, attachments, replacements, additions thereto and proceeds therefrom. Regions Bank tells the Court that the Debtor is significantly in arrears in making payments on the Notes and that the Debtor is significantly in arrears on all of its other obligations, including taxes. Regions Bank further tells the Court that it objects to any use of the cash collateral by the Debtor without the Court granting Regions Bank a first priority replacement lien upon all assets of the Debtor, including, but not limited to the Collateral and all other personal property of the Debtor, and any proceeds therefrom. Regions Bank contends that the Debtor has used and continues to use the Collateral in the Debtor's business and has continued to reduce the value of the Collateral which is subject to Regions Bank's security interest. A full-text copy of Regions Bank's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/S&SScrewMachineCompanyLLC2016_216bk06829_30.pdf Regions Bank is represented by: Walter N. Winchester, Esq. WINCHESTER, SELLERS, FOSTER & STEELE, P.C. Suite 1000, First Tennessee Plaza 800 South Gay Street Knoxville, TN 37929 Telephone: (865) 637-1980 Email: wwinchester@wsfs-law.com About S&S Screw Machine Company, LLC. S&S Screw Machine Company, LLC dba S&S - Precision filed a chapter 11 petition (Bankr. M.D. Tenn. Case No. 16-06829) on September 24, 2016. The petition was signed by Lawrence J. Battle, authorized member. The Debtor is represented by Phillip G. Young, Jr., Esq., at Thompson Burton PLLC. The case is assigned to Judge Randal S. Mashburn. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. S-METALS FL: Unsecured Will Receive Distribution of 7.7% in Plan ---------------------------------------------------------------- S-Metals FL, LLC, filed with the U.S. Bankruptcy Court for the Southern District of Florida a disclosure statement in relation to its plan of reorganization under chapter 11. The Debtor proposes to pay $100 per month month to allowed claims under Class 4 General Unsecured Claims within 60 months on a quarterly distributions, so that they will be receiving 7.7% on their allowed claims. The Debtor believes that the total allowed claims under Class 4 is $77,000. Payments and distributions under the Plan will be funded from the Debtor's rent income from the Debtor's commercial vacant lot at 2306 NW 150 St., Opa Locka Florida 33054 folio 08-2122-025-0111, value ranging from $20,000 to $50,000 and leased at $1,000 month to business next door and the Debtor is attempting to get a rent increase. A full-text copy of the Disclosure Statement dated September 14, 2016 is available at https://is.gd/yIDmGD About S-Metals FL S-Metals FL, LLC, filed for Chapter 11 protection (Bankr. S.D. Fla. Case No. 16-17050) on May 17, 2016. The petition was signed by Shimon Segelman, manager. At the time of the filing, the Debtor estimated assets of less than $50,000 and debts of less than $1 million. Joel M. Aresty, Esq., at Joel M. Aresty P.A. serves as the Debtor's bankruptcy counsel. SAEXPLORATION HOLDINGS: Grants 622,954 Options & Units to Execs. ---------------------------------------------------------------- As previously reported, SAExploration Holdings, Inc., established a long-term incentive equity plan for employees entitled the SAExploration Holdings, Inc. 2016 Long-Term Incentive Plan. Effective Sept. 26, 2016, awards of stock options and stock units were made under the 2016 Plan to the Company's named executive officers as follows: Total No. of Number of Stock Number of Stock Options Name & Position Options Stock Units & Units --------------- --------------- ----------- ------------- Jeff Hastings 88,252 88,252 176,504 Chief Executive Officer and Chairman of the Board Brian Beatty 88,252 88,252 176,504 Chief Operating Officer Brent Whiteley 70,082 70,082 140,164 Chief Financial Officer, General Counsel and Secretary All Current Executive 311,477 311,477 622,954 Officers as a Group The MIP Awards vest: (a) one-third on the earliest to occur of (1) the date on which the Company receives Oil and Gas Production Tax Credit Certificates assigned to the Company by Alaska Seismic Ventures, LLC and issued by the Tax Division of the State of Alaska that, together with all such certificates received by the Company after July 27, 2016, have an aggregate face amount of $25 million or more, or (2) the first anniversary of the Restructuring Date; and (b) one-third each on the second and third anniversaries of the Restructuring Date. The stock options included in the MIP Awards are non-qualified stock options having an exercise price of $10.19 each, which is the volume-weighted average price per common share for the 30-day period ending on the Grant Date, and they expire upon the earlier of termination of the officer's employment or ten years after the Grant Date. About SAExploration Holdings, Inc. SAExploration Holdings, Inc., and its subsidiaries are internationally-focused oilfield services company offering a full range of vertically-integrated seismic data acquisition and logistical support services in Alaska, Canada, South America, and Southeast Asia to its customers in the oil and natural gas industry. In addition to the acquisition of 2D, 3D, time-lapse 4D and multi-component seismic data on land, in transition zones between land and water, and offshore in depths reaching 3,000 meters, the Company offers a full-suite of logistical support and in-field data processing services. The Company operates crews around the world that are supported by over 29,500 owned land and marine channels of seismic data acquisition equipment and other leased equipment as needed to complete particular projects. SAExploration reported a net loss attributable to the Corporation of $9.87 million in 2015 following a net loss attributable to the Corporation of $41.8 million in 2014. As of June 30, 2016, SAExploration had $207 million in total assets, $221 million in total liabilities and a total stockholders' deficit of $13.9 million. * * * In June 2017, S&P Global Ratings lowered its corporate credit rating on SAExploration Holdings to 'CC' from 'CCC-'. The outlook remains negative. The downgrade follows SAExploration's announcement that it plans to launch an exchange offer to existing holders of its 10% senior secured notes for shares of common equity and a new issue of second-lien notes. In September 2016, Moody's Investors Service withdrew SAExploration's 'Caa2' Corporate Family Rating and other ratings. SEANERGY MARITIME: Inks Pact to Acquire 2 Dry Bulk Vessels ---------------------------------------------------------- Seanergy Maritime Holdings Corp. has entered into agreements with an unaffiliated third party for the purchase of two secondhand Capesize vessels, each with a cargo-carrying capacity of approximately 180,000 deadweight tons. The vessels were both built in 2010 at Hyundai Heavy Industries in South Korea. The vessels are expected to be delivered between mid-November 2016 and early January 2017, subject to the satisfaction of certain customary closing conditions. The Company expects to fund the gross purchase price of $20.75 million per vessel by secured loans from financial institutions and financing arrangements with the Company's sponsor. About Seanergy Athens, Greece-based Seanergy Maritime Holdings Corp. is an international company providing worldwide seaborne transportation of dry bulk commodities. The Company owns and operates a fleet of seven dry bulk vessels that consists of three Handysize, two Supramax and two Panamax vessels. Its fleet carries a variety of dry bulk commodities, including coal, iron ore, and grains, as well as bauxite, phosphate, fertilizer and steel products. For the year ended Dec. 31, 2015, the Company reported a net loss of US$8.95 million on US$11.2 million of net vessel revenue compared to net income of US$80.3 million on US$2.01 million of net vessel revenue for the year ended Dec. 31, 2014. As of March 31, 2016, the Company had US$206 million in total assets, US$185 million in total liabilities, and US$21.09 million in stockholders' equity. SEANERGY MARITIME: Reports Second Quarter Financial Results ----------------------------------------------------------- Seanergy Maritime Holdings Corp. reported a net loss of US$5.13 million on US$8.16 million of revenues for the three months ended June 30, 2016, compared to a net loss of US$1.04 million on US$1.75 million of revenues for the three months ended June 30, 2015. For the six months ended June 30, 2016, the Company reported a net loss of US$11.85 million on US$15.16 million of revenues compared to a net loss of US$2.05 million on US$1.75 million of revenues for the six months ended June 30, 2015. As of June 30, 2016, the Company had US$204.63 million in total assets, US$183.73 million in total liabilities and uS$20.90 million in total stockholders' equity. Stamatis Tsantanis, the Company's chairman & chief executive officer, stated: "During the first half of 2016, the dry bulk market experienced its worst performance of the last 25 years. The severe market weakness however, provides unique investment opportunities to acquire quality tonnage at historically low prices. Over the past several months we have worked towards our stated goal of expanding our operating fleet by actively monitoring the market for vessel acquisition opportunities. As announced in a separate press release, we recently reached an agreement to purchase two 2010-built South Korean Capesize vessels at a price of $20.75 million each. The acquisition price compares very favorably with similar secondhand Capesize vessels, which have averaged approximately $35 million over the past 5 years. "Furthermore, we have recently improved our financial position by completing a registered direct offering in August where we sold common shares to an unaffiliated institutional investor. In addition, we reached a number of agreements with certain of our lenders to reduce our financial expenses and help us preserve our cash flow. It is evident through these transactions and the commitment shown by our lenders and investors that there is a high degree of confidence in our business plan. "Over the first six months of 2016 the financial performance of Seanergy has been negatively affected by the historic low dry bulk charter market, especially in the first quarter of the year. Baltic freight indices show that the average daily rates for Capesize vessels over the first six months of 2016 fell by 22% when compared to the same period of 2015. Against this difficult background, our six Capesize vessels earned a TCE rate of $4,267 as compared to an average reading of $3,570 for the Baltic Capesize Index. Currently, the Capesize market has improved substantially compared to the levels seen in the first quarter, which we expect to lead to better financial performance for the rest of the year as our vessels are expected to operate in a higher charter rates environment. "At the same time, the continued rise in China's iron ore imports and the commitment to capacity expansion shown by major miners in Australia and Brazil reinforce our positive long term expectations. We intend to pursue additional acquisition opportunities that we believe can further enhance value for our shareholders and we believe that Seanergy is the right platform in the dry bulk listed space to take advantage of the eventual recovery of the freight market and asset values." Second Quarter Developments: Supplemental Agreement to the UniCredit Bank AG Loan Facility On June 3, 2016, we entered into a supplemental agreement to our senior secured loan facility with UniCredit Bank AG, dated September 11, 2015. Among other things, pursuant to the supplemental agreement the margin has been split into a cash portion and a non-cash portion. The non-cash portion of the margin will be capitalized and repaid in full by June 30, 2017. In addition, among other things, the application and the effective date of certain covenants is deferred to earliest June 30, 2017. Supplemental Letter to the HSH Nordbank AG Loan Facility On May 16, 2016, we entered into a supplemental letter to our senior secured loan facility with HSH Nordbank AG, dated September 1, 2015. Among other things, pursuant to the supplemental letter certain prepayments are deferred to June 30, 2018. Amendments to the Revolving Convertible Promissory Note to the Sponsor On April 21, 2016, May 17, 2016 and June 16, 2016 the Company entered into a fifth, sixth and seventh amendment, respectively, to our unsecured revolving convertible promissory note of September 7, 2015. These amendments increased the maximum amount that we are permitted to borrow under the note to approximately $21.2 million and further modified the amount by which this amount is reduced on September 10, 2017, and each year on the anniversary of that date to $3.1 million. As of today, the Company has drawn down the entire amount available under the note. Subsequent Developments: 2016 Annual Meeting of Shareholders On Sept. 28, 2016, the Company held its 2016 Annual Meeting of Shareholders, or the Meeting, in Athens, Greece pursuant to a Notice of Annual Meeting of Shareholders dated Aug. 17, 2016. At the Meeting, each of the following proposals, which was set forth in more detail in the Notice of Annual Meeting of Shareholders and the Company's Proxy Statement sent to shareholders on or around August 17, 2016, were approved and adopted: (i) the election of two Class A Directors, Stamatios Tsantanis and Elias Culucundis, to serve until the 2019 Annual Meeting of Shareholders and (ii) the approval of the appointment of Ernst & Young (Hellas) Certified Auditors - Accountants S.A. to serve as the Company's independent auditors for the fiscal year ending Dec. 31, 2016. Acquisition of two 2010 built Capesize Vessels On Sept. 26, 2016, the Company entered into separate agreements with an unaffiliated third party for the purchase of two secondhand Capesize vessels for a gross purchase price of $20.75 million per vessel. The vessels are expected to be delivered between mid-November 2016 and early January 2017, subject to the satisfaction of certain customary closing conditions. Completion of Registered Direct Offering In a direct offering that was completed on Aug. 10, 2016, the Company sold 1,180,000 shares of common stock to an unaffiliated institutional investor at a purchase price of $4.15 per share, for aggregate gross proceeds of $4.9 million. The net proceeds from the sale of the securities, after deducting placement agent fees and related offering expenses, are approximately $4.1 million. The net proceeds of this offering are expected to be used for general corporate purposes. The securities were offered pursuant to a shelf registration statement on Form F-3 previously filed and declared effective by the United States Securities and Exchange Commission. A prospectus supplement relating to the offering was filed by the Company with the SEC on Aug. 9, 2016. Supplemental Letter to the UniCredit Bank AG Loan Facility On July 29, 2016, the Company entered into a supplemental letter to our senior secured loan facility with UniCredit Bank AG, dated Sept. 11, 2015. Among other things, pursuant to the supplemental letter the effective date of a certain covenant is deferred to July 1, 2017. Supplemental Agreements to the Alpha Bank A.E. Loan Facilities On July 28, 2016, the Company entered into a second supplemental agreement related to our senior secured loan facility with Alpha Bank A.E., dated March 6, 2015. Among other things, pursuant to the second supplement agreement the next four repayment installments were reduced to $100,000 each, amounting to an aggregate reduction of $600,000 that will be added to the balloon payment. In addition, the effective date of certain covenants is deferred to July 1, 2017. On July 28, 2016, the Company entered into a supplemental agreement related to our senior secured loan facility with Alpha Bank A.E., dated Nov. 4, 2015. Among other things, pursuant to the supplement agreement the effective date of certain covenants is deferred to July 1, 2017. A full-text copy of the press release is available for free at: https://is.gd/BZtTgq About Seanergy Athens, Greece-based Seanergy Maritime Holdings Corp. is an international company providing worldwide seaborne transportation of dry bulk commodities. The Company owns and operates a fleet of seven dry bulk vessels that consists of three Handysize, two Supramax and two Panamax vessels. Its fleet carries a variety of dry bulk commodities, including coal, iron ore, and grains, as well as bauxite, phosphate, fertilizer and steel products. For the year ended Dec. 31, 2015, the Company reported a net loss of US$8.95 million on US$11.2 million of net vessel revenue compared to net income of US$80.3 million on US$2.01 million of net vessel revenue for the year ended Dec. 31, 2014. SEMGROUP CORP: Moody's Hikes Corp. Family Rating to B1 ------------------------------------------------------ Moody's Investors Service concluded its review of SemGroup Corporation's ratings, following the company's announcement that it has closed on its acquisition of master limited partnership Rose Rock Midstream, L.P., upgrading SemGroup's Corporate Family Rating to B1, the Probability of Default Rating (PDR) to B1-PD, and the senior unsecured note rating to B2. The Speculative Grade Liquidity Rating was affirmed at SGL-3. The outlook is stable. Moody's also affirmed the senior unsecured notes rating at Rose Rock Midstream, L.P. at B2 and withdrew the Rose Rock CFR, PDR, and SGL. The equalization of the ratings on the unsecured notes reflects the organizational restructuring and guarantees that were put in place at the close of the transaction. "The acquisition simplifies SemGroup's corporate structure, improves dividend coverage and should provide greater internal funding for its significant 2017 capital spending program," said Moody's Vice President John Thieroff. "SemGroup's ratings remain constrained, however, because of the financial distress many of the company's upstream counterparties are facing in several of its business segments, which we expect will continue to pressure earnings through the near term." Issuer: Rose Rock Midstream, L.P. Affirmations: Senior Unsecured Regular Bond/Debenture, at B2 (LGD5) Withdrawals: Probability of Default Rating, previously rated B1-PD Speculative Grade Liquidity Rating, previously rated SGL-3 Corporate Family Rating, previously rated B1 Outlook, Changed To No Outlook From Stable Issuer: SemGroup Corporation Upgrades: Probability of Default Rating, to B1-PD from B2-PD Corporate Family Rating, to B1 from B2 Senior Unsecured Regular Bond/Debenture, to B2 (LGD5) from Caa1 (LGD5) Affirmations: Speculative Grade Liquidity Rating, SGL-3 Outlook, Changed To Stable From Rating Under Review RATINGS RATIONALE SemGroup's B1 CFR reflects the company's limited size and scale relative to its similarly- and higher-rated peers as well as its largely debt-funded growth capital spending program through 2017. The rating also reflects the potential that volumes on some of the company's natural gas assets could fall further as several of its upstream counterparties remain distressed and have significantly reduced their drilling activities. The rating also takes into account the increased competition that will pressure both volumes and rates on the White Cliffs pipeline, a core asset for the company. The rating is supported by the high percentage of fee-based services and fixed-margin transactions, almost 40% of which are take-or-pay contracts, within strong growth areas that mitigate commodity price volatility and provide for stable, visible cash flow growth potential. The rating also benefits from the company's diversified operations and asset portfolio across several key North American oil and gas basins and a simplified organizational structure and improved distribution coverage following the acquisition of its MLP Rose Rock Midstream, LP (unrated). In an organizational restructuring stemming from the acquisition, Rose Rock Midstream, L.P., the original obligor of the Rose Rock notes, was merged into SemGroup Corporation. SemGroup is now an obligor of the Rose Rock notes, which are guaranteed by the same subsidiary guarantors of the SemGroup notes and thus equal in rank in liquidation preference. SemGroup's SGL-3 Speculative Grade Liquidity Rating reflects adequate liquidity through late-2017, supported by its $1 billion revolving credit facility. Moody's expects that the company will rely on its revolving credit facility to fund a significant portion of its capital spending program in 2017. The credit facility expires in March 2021 and is governed by three financial covenants: leverage of no more than 5.5x, interest coverage of no less than 2.5x, and senior secured leverage of no more than 3.5x. Moody's expects that the company will remain in compliance with these covenants through late-2017. Dividend coverage is expected to remain strong through 2017 at 1.5x. The company's next maturity is in 2021 when its $300 million senior unsecured notes issue is due. The B2 rating on the senior unsecured notes reflects their subordinate position relative to the company's secured revolver in the capital structure. The notes originally issued by SemGroup and those originally issued by Rose Rock are guaranteed on a senior unsecured basis and rank structurally subordinate to SemGroup's $1 billion senior secured revolving credit facility. The potential priority secured claim of the revolver relative to the notes results in the unsecured notes being rated one notch beneath the B1 CFR under Moody's Loss Given Default Methodology. SemGroup's stable outlook reflects Moody's expectation that the company will complete and integrate its current slate of growth projects with an emphasis on fee-based and contracted revenues while maintaining adequate dividend coverage. Ratings could be upgraded if EBITDA approaches $400 million and leverage appears sustainable at 4x. Debt/EBITDA above 5.5x or sustained dividend coverage below 1.0x would likely lead to a downgrade. Tulsa, Oklahoma-based SemGroup owns a diverse suite of midstream assets focused on the gathering, processing, transportation, and storage of crude oil and natural gas across several major North American oil and gas basins. In September 2016, the company acquired its publicly traded MLP Rose Rock Midstream, L.P. As of June 30, 2016, on a consolidated basis, the company had total assets of $3.1 billion. The principal methodology used in these ratings was Global Midstream Energy published in December 2010. SEMGROUP CORP: S&P Affirms 'B+' CCR & Revises Outlook to Stable --------------------------------------------------------------- S&P Global Ratings said it affirmed its 'B+' corporate credit and senior unsecured ratings on SemGroup Corp. and revised the outlook to stable from negative. At the same time, S&P affirmed the 'B+' corporate credit rating on master limited partnership Rose Rock Midstream L.P. and revised the outlook to stable from negative. Subsequently, S&P withdrew the corporate credit rating on the partnership at the issuer's request. S&P also raised the issue-level rating on the partnership's senior unsecured debt to 'B+' from 'B' and removed the rating from CreditWatch, where S&P placed it with positive implications on May 31, 2016. In addition, S&P revised the recovery rating on the debt to '4' from '5'. The '4' recovery rating reflects S&P's expectation of average (30%-50%; lower end of the range) recovery in the event of default). "The stable rating outlook reflects our view that the merger with Rose Rock will provide Semgroup with additional fee-based cash flows, resulting in adequate liquidity and consolidated adjusted debt leverage in the 4x to 4.5x range," said S&P Global Ratings credit analyst Mike Llanos. S&P could lower the rating if SemGroup's consolidated leverage is sustained above 5x. This could occur due to underperformance by a number of business segments as a result of weaker-than-expected volumes or if low-rated counterparties are unable to meet their contractual agreements. S&P could raise the rating if the company continues to increase its scale and geographic diversity while maintaining adjusted debt leverage below 4x and being able to successfully mitigate counterparty risk. SFX ENTERTAINMENT: Court Approves Foreign Loan Facility Amendment ----------------------------------------------------------------- BankruptcyData.com reported that the U.S. Bankruptcy Court issued an order approving and authorizing the Debtors' entry into an amendment to its incremental foreign loan facility. As previously reported, "In accordance with the Final DIP Order, on May 6, 2016, June 3, 2016, July 15, 2016, and Aug. 9, 2016, respectively, the Debtors entered into non-material amendments in order to, among other things, draw upon the DIP Facility and incur Incremental Foreign Loans under the Incremental Foreign Loan Facility. The Debtors now require incremental liquidity to operate their businesses, and have requested additional funding through the DIP Accordion. Certain of the Tranche B DIP Lenders have agreed to provide the Debtors with $10.4 million of incremental liquidity among other things draw upon the DIP Facility and incur Incremental Foreign Loans under the Incremental Foreign Loan Facility." About SFX Entertainment SFX Entertainment, Inc., and 43 of its affiliates, a global producer of live events and digital entertainment content focused exclusively on the electronic music culture and other world-class festivals, filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 16-10238 to 16-10281) on Feb. 1, 2016. The petitions were signed by Michael Katzenstein as chief restructuring officer. The Debtors disclosed total assets of $662 million and total debt of $490 million. Judge Mary F. Walrath is assigned to the case. Greenberg Traurig, LLP serves as the Debtors' counsel. Kurtzman Carson Consultants LLC acts as the Debtors' claims and noticing agent. The Debtor hired FTI Consulting Inc. to provide crisis and turnaround management services. An Official Committee of Unsecured Creditors has retained Pachulski Stang Ziehl & Jones LLP as counsel, and Conway Mackenzie, Inc., as financial advisor. SHEPHERD I: Seeks to Employ Butler Law Group as Ch. 11 Counsel -------------------------------------------------------------- Shepherd I, LLC, seeks authorization from the U.S. Bankruptcy Court for the District of Maryland to employ The Butler Law Group, PLLC, as Chapter 11 counsel. The Debtor requires the firm to: (1) represent all aspects of the Debtor's Chapter 11 case including filing of the required schedules, statements, and reports, settlement negotiations; (2) advice the Debtor concerning administration of the Estate; (3) filer necessary motions; (4) bring and defend any contested matters or adversary Proceedings involving the Debtor in the Court; and, (5) confirm the Disclosure Statement and Plan. Pursuant to a retainer agreement, the proposed Counsel agreed to represent the Debtor in the bankruptcy matters, as well as other matters, with an hourly rate of $275. Moreover, The Butler have not shared or agreed to share the compensation of the case with any entity not associated with the firm. The Butler will also be reimbursed for reasonable out-of-pocket expenses incurred. The Debtor desires to employ The Butler pursuant to the retainer agreement in the amount of $1,500.00, subject to review and approval of fees by the Court, to represent Debtor with respect to the matters of the case. Craig A. Butler, the Attorney at law and a member in good standing of the Bar, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. The Butler Law Group, PLLC can be reached at: Craig A. Butler, Esq. SHEPHERD I, LLC 1001 G Street, Suite 800 Washington, DC 20001 Shepherd I, LLC, filed a Chapter 11 petition (Bankr. D. Md. Case No. 16-18750) on June 29, 2016, and is represented by: Randy McRae, Esq. SNEED SHIPBUILDING: Wants Insurance Premium Financing From IPFS --------------------------------------------------------------- Sneed Shipbuilding, Inc. asks the U.S. Bankruptcy Court for the Southern District of Texas for authorization to obtain insurance premium financing from IPFS Corporation. The Debtor's current insurance policies expire on October 1, 2016. The Debtor is engaged in the business of building and repairing inland towboats and barges. The Debtor relates that in the ordinary course of its business, the Debtor must maintain various insurance policies. The Debtor further relates that the policies will bear total premiums of $119,615.35, which total sum the Debtor cannot pay in cash at this time. The Debtor proposes to make nine monthly payments of $9,624.17 on a monthly basis beginning on November 1, 2016 with a cash down payment of $35,884.61. The Debtor tells the Court that the policies are extremely valuable policies and it is essential to maintain them in the interest of the preservation of the property, assets and business of the Debtor. The Debtor further tells the Court that the policies cannot presently be obtained for the Debtor unless the premiums are financed. The Debtor contends that IPFS Corporation requires the Debtor to enter into a Premium Finance Agreement that includes a Security Agreement which grants IPFS Corporation a secured interest in the gross unearned premiums which would be payable in the event of cancellation of the insurance policies and which further authorizes IPFS Corporation to cancel the financed insurance policies and obtain the return of any unearned premiums in the event of a default in the payment of any installment due. A full-text copy of the Debtor's Motion, dated September 29, 2016, is available at http://bankrupt.com/misc/SneedShipbuilding2016_1660014_197.pdf A full-text copy of the Premium Finance Agreement, dated September 29, 2016, is available at http://bankrupt.com/misc/SneedShipbuilding2016_1660014_197_1.pdf About Sneed Shipbuilding, Inc. Sneed Shipbuilding, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex., Case No. 16-60014) on March 4, 2016. The petition was signed by Clyde E. Sneed, president. The Debtor is represented by Amber Michelle Chambers, Esq., Eric Michael VanHorn, Esq., and Nicholas Zugaro, Esq., at McCathern, PLLC. The case is assigned to Judge David R Jones. The Debtor estimated assets of $1 million to $10 million and debts of $10 million to $50 million. The Office of the U.S. Trustee appointed five creditors of Sneed Shipbuilding, Inc., to serve on the official committee of unsecured creditors. The committee members are: (1) Triple-S Steel Supply Co.; (2) New Industries, L.L.C.; (3) NC Receivables Corporation; (4) Contractors Building Supply Co., L.L.C.; and (5) Central Boat Rentals, Inc. SON CORP: Seeks to Hire La Mega as Real Estate Broker ----------------------------------------------------- Son Corporation seeks authorization from the U.S. Bankruptcy Court for the Central District of California to employ La Mega Realty, Inc., as real estate broker. The Debtor is in the business of owning and operating a retail gasoline station and convenience store at the commercial real property located at 10685 Laurel Canyon Boulevard, in Pacoima, California. The Debtor requires La Mega to: (a) order, analyze, and prepare all documentation necessary to list and advertise the Laurel Canyon property for sale; (b) list the Laurel Canyon property with the most favorable listing services available; show the Laurel Canyon property as necessary and respond to the potential purchasers' inquiries; and solicit reasonable offers of purchaser; (c) convey all reasonable purchase offers to Applicant and Applicant's counsel, subject to the Applicant's approval, negotiate and confirm the acceptance of the best offer; and, (d) cause to be prepared and submitted to escrow on behalf of the Applicant any and all documents necessary to consummate a sale of the Laurel Canyon property. Pursuant to the Commission Agreement, the compensation payable to the Applicant is 4% of the transaction price. La Mega does not have any prepetition claims against the Debtor's bankruptcy estate. Raymond H. Aver, the General Insolvency Counsel for the Debtor, 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. La Mega can be reached at: Sam Hejran LA MEGA REALTY, INC. 270 W. Magna Vista Ave Arcadia, CA 91006 Tel.: 626-372-6866 About Son Corp. Son Corp. sought Chapter 11 protection (Bankr. C.D. Cal. Case No. 14-11061) on February 28, 2014. Judge Maureen Tighe presides over the case. The Debtor estimated assets and liabilities in the range of $1 million to $10 million. The Debtor tapped Raymond H. Aver, Esq. at Law Offices of Raymond H. Aver APC as counsel. The petition was signed by Orlando Armaswalker, secretary/treasurer. SOTERA WIRELESS: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor affiliates filing separate Chapter 11 bankruptcy petitions: Debtor Case No. ------ -------- Sotera Wireless, Inc. 16-05968 10020 Huennekens St. San Diego, CA 92121 Sotera Research, Inc. 16-05969 10020 Huennekens St. San Diego, CA 92121 Type of Business: Medical Technology Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court Southern District of California (San Diego) Judge: Hon. Laura S. Taylor Debtors' Counsel: Victor A. Vilaplana, Esq. FOLEY & LARDNER LLP 3579 Valley Centre Drive, Suite 300 San Diego, CA 92130 Tel: 858-847-6700 Fax: 858-792-6773 E-mail: vavilaplana@foley.com Estimated Estimated Assets Liabilities ---------- ----------- Sotera Wireless $10M-$50M $10M-$50M Sotera Research $1M-$10M $10M-$50M The petitions were signed by Thomas Watlington, chief executive officer. Sotera Wireless' List of 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ Cooley LLP Legal Services $725,064 101 California Street San Francisco, CA 94111 Accounts Payable Tel: 415-693-2000 Zhonghuan Hi-Tech Corp. Inventory $356,436 2901 Tasman Dr., Suite 107 Supplier Santa Clara, CA 92054 Tel: 408-799-4091 Email: junguo.huang@gmail.com Nortech Systems, Inc. Inventory $283,459 NW 7791 PO Box 1450 Supplier Minneapolis, MN 55485 Tel: 218-444-0110 Extension LLC Software $181,780 Email: accounting@extension re-seller fees Gibson, Dunn & Crutcher LLP Legal services $126,056 Email: cbilling@gibsondunn.com Bienert, Miller & Katzman Legal services $110,705 Email: cbilling@gibsondunn.com G&I VIII Sorrento LP Rent $58,859 Novasyte LLC Contract $39,702 Employee Provider OSI Optoelectronics, Inc. Inventory $38,506 Provider Integrity Global Services, Inc. Software $35,496 Coding services Molex Inventory $34,387 provider University of Washington Contract $33,010 Grant & Contract Accounting Employee Email: gcahelp@uw.edu provider TargetCW Temporary $29,509 Email: payments@targetcw.com Employees Regain Biotech Corp. Distributor $23,751 Amazon Web Services, Inc. Cloud Services $16,879 Acuity Law Group Legal services $15,731 for IP JOT Automation Test Fixture $14,246 US Micro Products Inventory $11,650 Provider Custom Converting, Inc. Inventory $11,468 Provider Promenade Software Engineering $9,776 Services SOTERA WIRELESS: Medical Device Developer Files for Bankruptcy -------------------------------------------------------------- With insufficient cash available to continue their business operations, Sotera Wireless, Inc., and its subsidiary Sotera Research, Inc., each filed a voluntary petition under Chapter 11 of the Bankruptcy Code on Sept. 30, 2016. Sotera intends to utilize the "breathing spell" afforded by Chapter 11 to continue discussions regarding the possible sale of its assets. The filing of the Chapter 11 cases provides Sotera relief from interest and debt repayments on prepetition loans and will halt or significantly reduce legal costs. As disclosed in the bankruptcy filing, Sotera was burdened by accelerated cash consumption caused by significant and increasing litigation costs and the on-going principal repayments on prepetition loan agreements. Beginning in November 2015, Sotera was required under a prepetition loan agreement to make monthly principal repayments of $630,000. In addition, Sotera had incurred an aggregate of $3 million in legal costs associated with a civil lawsuit filed by Masimo Corporation alleging that Sotera, one current employee and one former employee misappropriated trade secrets. As of the bankruptcy filing, Sotera had estimated assets and liabilities in the range of $10 million to $50 million each. Headquartered in San Diego, California, Sotera is a developer of vital signs surveillance monitoring technology called ViSi Mobile System. ViSi is a wearable, ICU-grade system that continuously monitors patient vital signs on a continuous basis, including non-invasive blood pressure readings without the repeated use an inflation cuff. The ViSi technology was utilized by 45 hospitals in Australia, Singapore, Taiwan and Saudi Arabia as of Aug. 25, 2016. "As with many hi-tech medical devices, the ViSi experienced technical and performance issues that required Sotera to redirect resources and resulted in delays of new product features and enhancements and ultimately in the reduction of revenue," said Sotera Chief Executive Officer Thomas Watlington, in a declaration filed with the Court. Sotera is a party to an amended and restated loan and security agreement with Silicon Valley Bank and Oxford Finance LLC dated Sept. 12, 2014, pursuant to which the Prepetition Lenders provided secured loans to Sotera in the amount of $20 million. As of the Petition Date, the principal amount outstanding under the Loan Documents was just below $13.1 million, as disclosed in Court papers. During 2015 and early 2016, Sotera raised a total of $13.6 million of additional equity capital to fund its commercial expansion. Sotera said this amount was not sufficient for either its long-term needs or to obtain refinancing of the Prepetition Loans. Subsequently, the Company engaged investment bank Piper Jaffray to attempt to consummate a transaction that would refinance Sotera's Prepetition Loans or sell its assets. The efforts of Jaffray resulted in the submission of two term sheets for the acquisition of all of Sotera's assets for consideration of up to $30-52 million, depending upon the level of contingent payouts. Contemporaneously with the petition, Sotera filed a motion seeking authority to use funds that may constitute "cash collateral" as defined in the Bankruptcy Code for payment of costs and expenses incurred in the ordinary course of their business and the management of their assets in accordance with a budget. "Without the use of the Cash Collateral, the Debtors will not have the liquidity to continue to operate their business and successfully market and sell its assets. The Debtors urgently need funds to make payroll, capital expenditures and other expenditures that are critical to their continued viability and ability to sell their assets or recapitalize. In addition, as hospitals and patient care centers rely on the Debtors' products, if the Debtors are not permitted to use the Cash Collateral, patient care may be adversely affected to the harm of patients of the Debtors' customers who rely on the Debtors' products," said Mr. Watlington. The Debtors expect that their cash reserves are sufficient to support approximately 90 days of operations. According to the Debtors, maintaining certain minimum levels of their operations are necessary to provide on-going support and supplies to the current customer base and ensure that operations of the ViSi in over 45 hospitals are not adversely impacted or interrupted. ViSi has received eight different FDA approvals since 2011, received its "CE" mark in 2012, which signifies conformity with certain European safety standards. As of the Petition Date, Sotera had 63 full time employees, the majority of which are located in San Diego. None of Sotera's employees are represented by a labor union. Sotera Research is not an operating entity and does not have any employees, but holds title to the assets acquired from Reflectance Medical, Inc. on Feb. 23, 2015. Foley & Lardner LLP serves as counsel to the Debtors. The Debtors are seeking joint administration of their Chapter 11 cases under the Lead Case No. 16-05968. Judge Laura S. Taylor is assigned to the cases. SPOGAIN INVESTMENTS: Taps Pardo Gainsburg as Real Estate Counsel ---------------------------------------------------------------- Spogain Investments, LLC, and its debtor-affiliate, Ramblewood Properties, Inc., seek authorization from the United States Bankruptcy Court for the Southern District of Florida to employ Pardo Gainsburg, PL, as real estate counsel. The Confirmed Plan Debtors require Pardo Gainsburg to: (a) represent the Debtors in the Chapter 11 case; (b) provide an appropriate draft for the purchase agreements and closing documentation necessary to the auction sale of the Debtors' property; (c) act as closing counsel; and, (d) perform any other services necessary to assist and advise the Confirmed Plan Debtors in connection with the sale and transfer of the Debtors' property. Jeffrey Pardo, an Attorney at Pardo Gainsburg, PL, assured the Court that the law 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. Pardo Gainsburg can be reached at: Jeffrey Pardo, Esq. PARDO GAINSBURG, PL 200 SE 1st Street, Suite 700 Miami, FL 33131 Phone: +1 305-358-1001 About Spogain Investments Spogain Investments, LLC with its debtor affiliate, Ramblewood Properties, Inc. filed a Chapter 11 petition (Bankr. S.D. Fla. Case Nos. 14-23525, 14-23532) on June 12, 2014, and is represented by Geoffrey S. Aaronson, Esq., in Miami, Florida. At the time of filing, Spogain Investments, LLC had $1,000,000 to $10,000,000 in estimated assets and $100,000 to $500,000 in estimated liabilities, while Ramblewood Properties, Inc. had $1,000,000 to $10,000,000 in estimated assets and $1,000,000 to $10,000,000 in estimated liabilities. The petition was signed by Evan Olster, managing member. Spogain Investments listed Kane & Co Company, P.A., as its largest unsecured creditor holding a claim of $4,000 for accounting services. A full-text copy of the petition is available for free at http://bankrupt.com/misc/flsb14-23525.pdf A list of Ramblewood's six largest unsecured creditors is available for free at http://bankrupt.com/misc/flsb14-23532.pdf SUGARMADE INC: Delays Filing of Fiscal 2016 Form 10-K ----------------------------------------------------- Sugarmade, Inc., was unable to file, without unreasonable effort or expense, its annual report on Form 10-K for the year ended June 30, 2016, within the prescribed time period. The Company said additional time is needed for it to compile and analyze supporting documentation in order to complete the Form 10-K and in order to permit the Company's independent registered public accounting firm to complete its review. About Sugarmade City of Industry, Calif.-based Sugarmade, Inc., is a publicly traded company incorporated in the state of Delaware. The Company's previous legal name was Diversified Opportunities, Inc. The Company is principally engaged in the business of selling and distributing environmentally friendly non-tree-based paper products. In its report on the Company's consolidated financial statements for the year ended June 30, 2015, MJF & Associates, APC, in Los Angeles Calif., states that the Company has suffered recurring losses from operations and negative cash flow since inception and has financed its working capital requirements through issuance of common stock and convertible notes payable from related and third parties. As of March 31, 2016, Sugarmade had $1.32 million in total assets, $3.98 million in total liabilities and a total stockholders' deficiency of $2.65 million Sugarmade reported a net loss of $10.2 million for the year ended June 30, 2015, compared to a net loss of $756,000 for the year ended June 30, 2014. SUNEDISON INC: Says Settlement Talks With Yieldcos Ongoing ---------------------------------------------------------- On Sunday, Sept. 25, 2016, each of TerraForm Power, Inc. and TerraForm Global, Inc. (collectively, the "Yieldcos") issued a press release purportedly describing allegations made by the Yieldcos in proofs of claims filed by them on Sept. 30 in SunEdison, Inc.'s and its related affiliates' bankruptcy cases (collectively, "SunEdison"). While SunEdison disagrees with many of the statements, claims and allegations made by the Yieldcos in their press releases, SunEdison confirms that settlement discussions with the Yieldcos have commenced, and adds that such settlement discussions relate both to alleged claims asserted by the Yieldcos against SunEdison, as well as meaningful claims that the SunEdison estate is reviewing and may assert against the Yieldcos. Like any similar situation with any other creditor in their Chapter 11 cases, SunEdison will actively pursue the dismissal or settlement of proofs of claims in the bankruptcy cases -- although no date has been established yet in the bankruptcy cases for objecting to proofs of claims. In addition, as the Yieldcos disclosed in their press releases, SunEdison and the Yieldcos are engaged in a collaborative sale process to sell either SunEdison's ownership interests and other rights in the Yieldcos or the entirety of the equity in the Yieldcos. Any transaction resulting from the sale process will require the approval and consent of SunEdison and approval of the bankruptcy court. SunEdison will evaluate proposed transactions based on the value they deliver to SunEdison's bankruptcy estate. In connection with the sale process, and as has been disclosed to bidders interested in participating in the sale process, it is anticipated that there will ultimately be a resolution of (i) the dispute regarding the claims alleged by the Yieldcos in their proofs of claims and (ii) any claims that SunEdison holds against the Yieldcos. John Dubel, SunEdison's Chief Executive Officer, said, in relation to the above issues, "Our Chapter 11 process has been long and complex and we are now at a critical stage as it relates to the Yieldcos. We take to heart Jack Stark's comments that a settlement of disputes between the Yieldcos and SunEdison is overwhelmingly in the interests of both sides, and we will proceed with our settlement discussions while at the same time moving forward with the sale process." The foregoing reflects SunEdison's position only. No assurance can be made as to the outcome of any litigation or settlement discussions. About SunEdison, Inc. SunEdison, Inc. (OTC PINK: SUNEQ), is a developer and seller of photovoltaic energy solutions, an owner and operator of clean power generation assets, and a global leader in the development, manufacture and sale of silicon wafers to the semiconductor industry. On April 21, 2016, SunEdison, Inc., and 25 of its affiliates each filed a Chapter 11 bankruptcy petition (Bankr. S.D.N.Y. Case Nos. 16-10991 to 16-11017). Martin H. Truong, the senior vice president, general counsel and secretary, signed the petitions. The Debtors disclosed total assets of $20.7 billion and total debt of $16.1 billion as of Sept. 30, 2015. The Debtors have hired Skadden, Arps, Slate, Meagher & Flom LLP as counsel, Togut, Segal & Segal LLP as conflicts counsel, Rothschild Inc. as investment banker and financial advisor, McKinsey Recovery & Transformation Services U.S., LLC, as restructuring advisors and Prime Clerk LLC as claims and noticing agent. The Debtors employed PricewaterhouseCoopers LLP as financial advisors; and KPMG LLP as their auditor and tax consultant. An official committee of unsecured creditors has been appointed in the case. The committee tapped Weil, Gotshal & Manges LLP as its general bankruptcy counsel and Morrison & Foerster LLP as special counsel. SUNLIGHT PROPERTIES: Seeks to Hire Greene Infuso as Counsel ----------------------------------------------------------- Sunlight Properties, LLC, seeks authorization from the U.S. Bankruptcy Court for the District of Nevada to employ Greene Infuso, LLP, as counsel, nunc pro tunc to September 2, 2016 petition date. The Debtor requires Greene Infuso to: (a) advise and represent the Debtor concerning the rights and responsibilities of Debtor's management in regard to the assets of Debtor's business and with respect to the secured, priority and general claims of the creditors; (b) advise and represent the Debtor in connection with the restructuring of its financial and business affairs, including the sale or use of the Debtor's assets; (c) advise and represent the Debtor in connection with the investigation of potential causes of action against persons or entities, including, but not limited to, avoidance actions, and the litigation, if warranted; (d) represent the Debtor in any proceeding or hearing in the Bankruptcy Court, and in any action in other courts where the rights of the companies may be litigated or affected; (e) conduct examinations of witnesses, claimants, or adverse parties and prepare and assist in the preparation of reports, accounts, applications, and orders; (f) advise and represent the Debtor in the negotiation, formulation, and drafting of a plan of reorganization and disclosure statement; (g) advise and represent the Debtor in the performance of their duties and exercise of their powers under the Bankruptcy Code, the Bankruptcy Rules and the Local Bankruptcy Rules; and, (h) provide to the Debtor such other necessary advise and services as Debtor may require in connection with their Chapter 11 cases. Greene Infuso was paid a retainer of $10,000 by the Debtor. Prior to the petition date, Greene Infuso performed services for the Debtor resulting in fees totaling $10,000, which were paid from the retainer. On the petition date, Greene Infuso used retainer funds to pay for services rendered between July 15, 2016 and the petition date. The filing fee of the case is $1,717, which has been paid to the Court, but not reimbursed to Greene Infuso. Greene Infuso will be reimbursed for reasonable out-of-pocket expenses incurred. Val Grigorian, Sole Manager and Member of Sunlight Properties, 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. Greene Infuso can be reached at: James D. Greene, Esq. GREENE INFUSO, LLP 3030 South Jones Boulevard, Suite 101 Las Vegas, Nevada 89146 Tel.: (702) 570-6000 Facsimile: (702) 463-8401 Email: jgreene@greeneinfusolaw.com About Sunlight Properties Sunlight Properties, LLC filed a Chapter 11 petition (Bankr. D. Nev. Case No.: 16-14894) on September 2, 2016, and is represented by James D. Greene, Esq., in Las Vegas, Nevada. At the time of filing, the Debtor had $1 million to $10 million in estimated assets and $1 million to $10 million in estimated liabilities. The petition was signed by Val Grigorian, managing member. A list of the Debtor's 10 largest unsecured creditors is available for free at http://bankrupt.com/misc/nvb16-14894.pdf SUPERIOR LINEN: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: Superior Linen, LLC dba Superior Linen and Laundry Services 4501 Mitchell St. North Las Vegas, NV 89081 Case No.: 16-15388 Type of Business: Operates as a commercial laundry and linen rental company Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court District of Nevada (Las Vegas) Judge: Hon. Mike K. Nakagawa Debtor's Counsel: Matthew C. Zirzow, Esq. LARSON & ZIRZOW, LLC 850 E. Bonneville Ave. Las Vegas, NV 89101 Tel: 702-382-1170 Fax: 702-382-1169 E-mail: mzirzow@lzlawnv.com Estimated Assets: $10 million to $50 million Estimated Debts: $10 million to $50 million The petition was signed by Robert E. Smith, chief financial officer. Debtor's List of 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ Baltic Linen Vendor $922,348 Attn: Managing Member 1999 Marcus Ave. Suite 220 Lake Success, NY 11040-5485 The Laundry List Vendor $307,160 Attn: Managing Member 4525 Sherman Oaks Ave Sherman Oaks, CA 91403 Shimmer Clothing Company Vendor $128,702 Attn: Managing Member 4500 Dunham Street Commerce, CA 90040 Parallon Services $124,162 United Cleaners Supply, Inc. Vendor $100,290 Ecolab Services $78,365 Venus Group Vendor $73,280 City of North Las Vegas Services $70,323 City of North Las Vegas Services $58,873 Nevada Department of Taxes $45,355 Taxation AmTrust Services $44,326 Icon Pac Nevada Services $39,020 Snell & Wilmer Services $37,662 NV Energy Services $34,009 Southwest Gas Corporation Services $33,875 Health Plan of Nevada Services $32,363 Lovato Law Firm, P.C. Services $31,922 Bedspreads Inc. Vendor $27,589 Bradshaw, Smith & Co. LLP Services $27,163 Century Link Services $23,102 SUSAN'S INC: Court Allows Cash Collateral Use --------------------------------------------- Judge Robert E. Grant of the U.S. Bankruptcy Court for the Northern District of Indiana authorized Susan's Inc. to use cash collateral. The approved monthly Budget provides for total expenses in the amount of $45,597. The Debtor's secured creditors JP Morgan Chase Bank, NA, Advantedge Corp., OnDeck Capital, and IBIS Capital Group, LLC were granted a replacement lien on the Debtor's post-petition assets which comprised the pre-petition cash collateral, in the same priority and to the same extent as existed pre-petition. The secured creditors were also granted an adequate protection lien on all receivables to the extent of any diminution of the value of their security interest as of the Petition Date. The Debtor was directed to ensure that adequate insurance is maintained on its assets and that all current taxes are paid. The Debtor was further directed to provide the secured creditors with monthly financial statements. A full-text copy of the Order, dated September 28, 2016, is available at http://bankrupt.com/misc/SusansInc2016_1611640reg_33.pdf About Susan's Inc. Susan's Inc. was incorporated in the State of Indiana and operates a women's retail clothing store at 6340 W. Jefferson Blvd., Fort Wayne, Indiana. Susan's Inc. filed a chapter 11 petition (Bankr. N.D. Ind. Case No. 16-11640) on April 5, 2016. The petition was signed by Susan Johnson, president. The Debtor is represented by Adam L. Hand, Esq., Beckman Lawson, LLP. The Debtor estimated assets at $0 to $50,000 and liabilities at $100,001 to $500,000. SYNERGY RESOURCES: Moody's Assigns B3 CFR; Outlook Stable --------------------------------------------------------- Moody's Investors Service assigned first time ratings to Synergy Resources Corporation (SYRG), including a B3 Corporate Family Rating, a B3-PD Probability of Default rating, and a Caa2 senior unsecured rating on its $80 million dollar notes. Moody's also assigned an SGL-3 Speculative Grade Liquidity Rating. The rating outlook is stable. "Synergy has accumulated a solid acreage position in the core of the Wattenberg Field in the DJ Basin, primarily through equity funded acquisitions. This acreage position provides the company with a runway of drilling inventory that will contribute to significant growth in production and reserves, albeit through a debt-financed drilling program that will require significant capital as Synergy outspends cash flow through 2018," said RJ Cruz, Moody's Vice President -- Senior Analyst. Rating Assignments: Corporate Family Rating, assign B3 Probability of Default Rating, assign B3-PD $80 Million Senior Unsecured Notes due in 2021, assign Caa2 (LGD5) Speculative Grade Liquidity Rating, assign SGL-3 RATING RATIONALE SYRG's B3 CFR reflects the limited scale of the company's upstream operations, its concentration as a pure play Wattenberg Field operator, and the company's aggressive drilling program that will produce negative free cash flow through 2018. The rating also incorporates Moody's expectation that the company's organic growth through 2018 will be partially debt-financed on the company's revolving credit facility and potentially through subsequent debt issuances. The B3 rating is supported by the company's high quality contiguous acreage in the core of the Wattenberg field in the Denver-Julesburg (DJ) Basin and management's deep understanding of and experience in the basin. The rating also reflects management's track record of using equity to fund acquisitions. Moody's believes that SYRG's high quality asset base and relatively low current debt leverage should allow the company to competitively and flexibly develop its inventory of drilling locations given Moody's expectation of rising commodity prices over the near to medium term. Moody's expects Synergy to have adequate liquidity through 2017, which is reflected in the SGL-3 rating. As of June 30, 2016, the company had approximately $78.6 million of cash on its balance sheet and full availability under its revolving credit facility, which has a borrowing base of $145 million. Given the company's growing asset base, Moody's expects that it will maintain its current borrowing base during its fall 2016 redetermination, with potential for a small uplift. The revolving credit facility is governed by two financial covenants, a current ratio of greater than 1.0x and a leverage ratio (debt/EBITDAX) of less than 4.0x. The company should have ample headroom under the covenants through 2017. The revolving credit facility matures in December 2019. In accordance with Moody's Loss Given Default (LGD) methodology, Synergy's senior unsecured notes are rated Caa2, two notches below the B3 CFR because of the size and priority ranking of the company's secured revolver relative to the amount of senior notes outstanding. The revolver will be primarily used to fund the company's capital outspend. If Synergy issues additional senior notes in the future then the notching of the senior unsecured ratings could be reduced to one notch below the CFR, depending on the mix of senior secured and senior unsecured debt in the capital structure at that time. The stable rating outlook reflects Moody's expectation that the company will grow production in excess of 20,000 boe/d over the next 12 to 18 months while maintaining a conservative balance sheet. The rating could be upgraded if average daily production exceeds 25,000 boe/d while maintaining retained cash flow to debt in excess of 25%. The rating could be downgraded if the company's average daily production falls short relative to expectations and capital invested, the company makes a leveraging acquisition, liquidity materially weakens, or retained cash flow to debt falls below 15%. The principal methodology used in these ratings was Global Independent Exploration and Production Industry published in December 2011. Synergy Resources Corporation is a Denver, CO-based exploration and production company with a primary focus in the Greater Wattenberg Field in the Denver-Julesburg (DJ) Basin in northeast Colorado. The company produced approximately 11,100 barrels of oil equivalent (boe) per day as of June 30, 2016 and its current acreage position in the DJ Basin is approximately 69,300 net acres. SYNERGY RESOURCES: S&P Assigns 'B-' CCR & Rates $80MM Notes 'B+' ---------------------------------------------------------------- S&P Global Ratings said that it assigned its 'B-' corporate credit rating to Denver-based Synergy Resources Corp. The rating outlook is stable. At the same time, S&P assigned its 'B+' issue-level rating and '1' recovery rating to the company's $80 million 9% senior unsecured notes due 2021. The '1' recovery rating indicates S&P's expectation for very high (90%-100%) recovery to creditors in the event of a payment default. "Our corporate credit rating on Synergy Resources reflects our assessment of the company's business risk profile as vulnerable, its financial risk profile as aggressive, and its liquidity as adequate," said S&P Global Ratings' credit analyst Kevin Kwok. "The rating also reflects the company's small reserve base and production, large proportion of PUD reserves, and limited geographic diversification with all of its operations in the DJ Basin." Synergy Resources is among the smallest oil and natural gas companies S&P rates with respect to both reserves and daily production, although it estimates production will grow meaningfully over the next year as the company ramps up drilling activity. "The stable outlook reflects our expectation that Synergy Resources will continue to expand production as it develops its reserves in the DJ basin while maintaining adequate liquidity. We expect that the company will maintain credit measures that we consider appropriate for the current rating, including FFO to total debt of above 30% and Debt to EBITDA under 3x," S&P said. S&P could lower the corporate credit rating if it expected FFO to debt to fall well below 12% for a sustained period, which would most likely occur if the company's production falls short of S&P's expectations and it continues to outspend its cash flow. S&P could also lower the rating if liquidity weakens substantially over the next 12 months. Given the limitations in the company's business risk profile, S&P views an upgrade as unlikely over the next year. However, S&P could raise the rating if the company expands its production and reserve base in line with higher-rated peers while maintaining adequate liquidity. SYNTAX-BRILLIAN: Court Denies Amr, et al.'s Summary Judgment Bid ---------------------------------------------------------------- The United States District Court for the District of Delaware denied various shareholder motions in the appeals case captioned AHMED AMR, Appellant, v. GREENBERG TRAURIG LLP, et al., Appellees, Civ. No. 13-337(GMS)(D. Del.). Ahmed Amr, a former shareholder of Syntax-Brillian Corporation, et al., appealed from a bankruptcy court memorandum order, which denied his Motion to Reconsider and Vacate Orders regarding the bankruptcy court's prior (1) Order Denying Motion to Compel, and (2) Order Denying Motion to Sanction Nancy Mitchell and Greenberg Traurig LLP. Since filing the appeal, however, Amr and other similarly aggrieved former shareholders have filed numerous other requests and motions for relief, both related and unrelated to the appeal. Amr has filed the following motions: (a) Motion for Summary Judgment Affirming Appellant's Standing to Sanction Nancy Mitchell and Greenberg Traurig ("Standing Motion"), arguing generally that no party challenged his participation throughout the Chapter 11 cases on the basis of standing; he has a valid claim against the estate and a pecuniary interest in the outcome of the bankruptcy proceedings; and there are "no legal grounds for denying [A]ppellant standing." (b) Motion for an Emergency Injunction Directing the Secret Service to Seize and Confiscate Forged Documents Currently in the Custody of the Liquidation Trustee ("Seizure Motion"), arguing that no one has been charged with forgery because the forged documents have not been seized and confiscated from the Liquidation Trustee who has had custody of these forged documents for six years. (c) Motion to Impeach Nancy Mitchell's and Greenberg Traurig's Evidence ("Motion to Impeach"), seeking to "impeach" certain numbers listed on the debtors' chapter 11 petitions, the affidavit entered into evidence at the first day hearing, and proofs of claim filed by several secured and unsecured creditors who are not parties to the appeal. The district court found that the Standing Motion appears to assert arguments that go directly to the merits of the appeal and the appellant's arguments. The court denied the Standing Motion as procedurally improper, holding that any consideration of these arguments in the context of stand-alone motion is inappropriate and will be considered by the court only in connection with the court's ruling on the merits. As to the Seizure Motion, the district court agreed with the appellees' argument that the motion is only properly directed to the Liquidating Trustee, who has custody of the documents, in the context of the Chapter 11 bankruptcy proceedings, and is improperly filed in the appeal, as the Liquidation Trustee is not a party to the proceedings. The district court also denied Amr's Motion to Impeach as moot, because none of the documents that Amr sought to strike are part of the designated record of the appeal. Eight former shareholders have also filed separate pro se Motions to Intervene Due to Bankruptcy Fraud, Spoliation of Evidence and Concealment of Forgery. The movants sought to intervene to ensure that the district court grants relief preventing spoliation of evidence, ordering the preservation of the alleged forged documents in the custody of the Liquidation Trustee, and referring the alleged forged documents to the Attorney General, FBI, the Secret Service, and the Bankruptcy Fraud Task Force, to have those documents "entered into evidence." The district court agreed with the appellees' argument that the Federal Rules of Appellate Procedure provide no authorization for non-party intervention at the appellate level, except in the context of appellate review of an agency order. The court found that the intervention motions are untimely, are based on rights to relief outside the scope of the appeal, and movants' rights are not implicated or threatened by the outcome of the appeal. The court also found that the movants have failed to establish circumstances or reasons that demonstrate that intervention is necessary. A full-text copy of the district court's September 29, 2016 memorandum opinion is available at http://bankrupt.com/misc/deb08-11407-2429.pdf About Syntax-Brillian Based in Tempe, Arizona, Syntax-Brillian Corporation manufactured and marketed LCD HDTVs, digital cameras, and consumer electronics products including Olevia(TM) brand high-definition widescreen LCD televisions and Vivitar brand digital still and video cameras. Syntax-Brillian was the sole shareholder of California-based Vivitar Corporation. The Company and two of its affiliates -- Syntax-Brillian SPE, Inc., and Syntax Groups Corp. -- filed for Chapter 11 protection on July 8, 2008 (Bankr. D. Del. Lead Case No.08-11407. Lawyers at Greenberg Traurig LLP represented the Debtors as counsel. Five members composed the official committee of unsecured creditors. Pepper Hamilton, LLP, represented the Committee as counsel. Epiq Bankruptcy Solutions, LLC, served as the Debtors' balloting, notice, and claims agent. When the Debtors filed for protection against their creditors, they disclosed total assets of $175,714,000 and total debts of $259,389,000. The Bankruptcy Court confirmed the Debtors' Joint Chapter 11 Liquidation Plan in an order dated July 6, 2009. Under the Plan, general unsecured claims were to received pro rata distributions from a liquidating trust after payment of the trust's expenses and a "liquidating trust funding reimbursement." Holders of allowed prepetition credit facility claims were to receive their pro rata distributions from a lender trust, after payment in full of allowed DIP facility claims. A full-text copy of the Debtors' 2nd amended Chapter 11 liquidating plan is available at: http://bankrupt.com/misc/syntax-brillian2ndamendedplan.pdf The SB Liquidation Trust is represented by David M. Fournier, Esq., and Evelyn J. Meltzer, Esq., at Pepper Hamilton LLP; and Allan B. Diamond, Esq., Andrea L. Kim, Esq., Eric D. Madden, Esq., and Michael J. Yoder, Esq., at Diamond McCarthy LLP. TEARN DEVELOPMENT: Disclosures Conditionally OK'd; Oct. 17 Hearing ------------------------------------------------------------------ The Hon. Stacey L. Meisel of the U.S. Bankruptcy Court for the District of New Jersey has conditionally approved Tearn Development LLC's small business disclosure statement dated Sept. 14, 2016, describing the Debtor's small business plan dated Sept. 14, 2016. A hearing to consider the final approval of the Disclosure Statement and the confirmation of the Plan is scheduled for Oct. 17, 2016, at 2:30 p.m. Objections to the Disclosure Statement and the confirmation of the Plan must be filed by Oct. 10, 2016, which is also the last day for filing written acceptances or rejections of the Plan. Headquartered in Bayonne, New Jersey, Tearn Development LLC filed for Chapter 11 bankruptcy protection (Bankr. D. N.J. Case No. 16-21672) on June 15, 2016, listing $2.25 million in total assets and $2.24 million in total liabilities. The petition was signed by Richard Cirminello, partner. Judge Stacey L. Meisel presides over the case. Nicholas Fitzgerald, Esq., at Fitzgerald & Associates, P.C., serves as the Debtor's bankruptcy counsel. TELEPRO CARIBE: PRAPI Wants to Prohibit Use of Cash Collateral -------------------------------------------------------------- PR Asset Portfolio 2013-1 International, LLC, also known as PRAPI, asks the U.S. Bankruptcy Court for the District of Puerto Rico, to prohibit Telepro Caribe, Inc. from using cash collateral. PRAPI contends that it has a first priority security interest over Debtor’s rents from certain real property of the estate, pursuant to certain assignment of rights and terms of mortgage deeds, as well as the rent proceeds generated by such real properties. PRAPI relates that the Debtor has not requested authority to use cash collateral from PRAPI or the Court. PRAPI further relates that the Debtor has failed to propose or provide adequate protection to PRAPI for its use of the cash collateral. A full-text copy of PR Asset Portfolio 2013-1 International, LLC's Motion, dated September 28, 2016, is available at http://bankrupt.com/misc/TeleproCaribeInc2016_1603648esl11-37.pdf PR Asset Portfolio 2013-1 International, LLC is represented by: Sergio A. Ramirez de Arellano, Esq. SERGIO A. RAMIREZ DE ARELLANO LAW OFFICES Banco Popular Center, Suite 1022 209 Munoz Rivera Avenue San Juan, PR 00918-1009 Telephone: 765-2988 Email: sramirez@sarlaw.com About Telepro Caribe, Inc. Telepro Caribe, Inc. filed a chapter 11 petition (Bankr. D.P.R. Case No. 16-03648) on May 5, 2016. The petition was signed by Jose R. Mora Nazario, CEO. The Debtor is represented by Nelson Robles Diaz, Esq., at Nelso Robles Diaz Law Offices, P.S.C. The case is assiged to Judge Enrique S. Lamoutte Inclan. The Debtor estimated assets at $0 to $50,000 and liabilities at $1 million to $10 million at the time of the filing. TENAFLY GOURMET: Case Summary & 2 Unsecured Creditors ----------------------------------------------------- Debtor: Tenafly Gourmet Farms Inc. dba Tenafly Farms, Inc. 15 Highwood Ave. Tenafly, NJ 07670 Case No.: 16-28809 Chapter 11 Petition Date: September 30, 2016 Court: United States Bankruptcy Court District of New Jersey (Newark) Judge: Hon. John K. Sherwood Debtor's Counsel: Seung H. Shin, Esq. SHIN & JUNG LLP 2400 Lemoine Avenue, Suite 204 Fort Lee, NJ 07024 Tel: 201-482-8095 Fax: 201-399-3269 E-mail: shinjunglaw@gmail.com Total Assets: $1.48 million Total Liabilities: $7.93 million The petition was signed by Yong Kim, president. A copy of the Debtor's list of two unsecured creditors is available for free at http://bankrupt.com/misc/njb16-28809.pdf TRANS ENERGY: Incurs $13.7 Million Net Loss in Second Quarter ------------------------------------------------------------- Trans Energy, Inc., filed with the Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $13.7 million on $2.89 million of total operating revenues for the three months ended June 30, 2016, compared to a net loss of $8.48 million on $3.66 million of total operating revenues for the same period in 2015. For the six months ended June 30, 2016, the Company reported a net loss of $27.6 million on $5.39 million of total operating revenues compared to a net loss of $5.81 million on $8.09 million of total operating revenues for the same period last year. As of June 30, 2016, Trans Energy had $79.3 million in total assets, $143 million in total liabilities and a total stockholders' deficit of $64.1 million. "Historically, we have satisfied our working capital needs with borrowed funds and the proceeds of acreage sales. At June 30, 2016, we had negative working capital of $131,560,670 compared to negative working capital of $116,988,273 at December 31, 2015. The decrease in working capital is primarily due to the fact that interest has been added to the principal balance of our notes payable in 2016. "During the first six months of 2016, net cash used by operating activities was $1,100,618 compared to $3,195,454 of net cash used for the same period of 2015. This increase in cash flow from operations was primarily due to the net loss in 2016, increase in accounts receivable, and decrease in accounts payable offset by increase in depreciation, depletion and amortization and interest and legal expense added to principal. "Excluding the effects of significant unforeseen expenses or other income, our cash flow from operations fluctuates primarily because of variations in oil and gas production and prices, or changes in working capital accounts and actual well performance. In addition, our oil and gas production may be curtailed due to factors beyond our control, such as downstream activities on major pipelines causing us to shut-in production for various lengths of time. "During the first six months of 2016, net cash provided by investing activities was $876,395 compared to net cash used of $198,765 in the same period in 2015. The change was primarily due to a change in ownership percentage due to unitization of various leases, as well as a reduction in capital spending in 2016 compared to 2015. "During the first six months of 2016, there was no cash activity from financing activities compared to net cash provided of $2,807,519 for the same period in 2015. This change was primarily due to an increase in debt to M3 Appalachia Gathering LLC and stock issuances in 2015. "As of September 30, 2016, the cash balance of the Company amounted to approximately $407,000 and the Company continues to face significant liquidity constraints in the short term. Under the terms of the Forbearance, the Company is limited on normal business decisions as all transactions must be approved by the debtholder. Additionally, as part of the Forbearance and in connection with the strategic review process, the Company is currently looking to sell certain of its oil and gas properties. "We are in the process of analyzing various alternatives to enhance our liquidity and capital structure including, divesting nonstrategic assets, reducing costs, or engaging in similar type activities. Although management believes that it will be able to obtain the necessary funding to allow the Company to remain a going concern through the methods discussed above, there can be no assurance that such methods will prove successful. The accompanying unaudited condensed consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty. There is a substantial doubt about the ability of the Company to continue as a going concern." A full-text copy of the Form 10-Q is available for free at: goo.gl/sREcfb About Trans Energy St. Mary's, West Virginia-based Trans Energy, Inc. (OTC BB: TENG) -- http://www.transenergyinc.com/-- is an independent energy company engaged in the acquisition, exploration, development, exploitation and production of oil and natural gas. Its operations are presently focused in the State of West Virginia. Trans Energy reported a net loss of $19.6 million on $12.4 million of total operating revenues for the year ended Dec. 31, 2015, compared to a net loss of $12.5 million on $27.2 million of total operating revenues for the year ended Dec. 31, 2014. Maloney + Novotny LLC, in Cleveland, Ohio, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company has generated significant losses from operations and has a working capital deficit of $116,998,273 at Dec. 31, 2015, which together raises substantial doubt about the Company's ability to continue as a going concern. TROCOM CONSTRUCTION: Selling Assets, Auction on Oct. 28 to 29 ------------------------------------------------------------- Trocom Construction Corp. asks the U.S. Bankruptcy Court for the Eastern District of New York to authorize one or more public auctions, from time to time, of the Debtor's personal property, including vehicles and heavy construction equipment formerly used in the operation of its business ("Assets"). The proposed hearing on the Motion is set for Oct. 6, 2016 at 2:00 p.m. The proposed objection deadline is Oct. 5, 2016 at 4:00 p.m. The Debtor is in the heavy construction business. Its primary customer is the City of New York through its various agencies. At the time of the filing, the Debtor was providing services on 18 construction projects throughout the New York Metropolitan area. During the pendency of the bankruptcy case, the Debtor has completed all but 5 of those projects ("Construction Projects"). On July 1, 2016, as amended on Aug. 15, 2016 and Aug. 29, 2016, the Debtor filed a chapter 11 plan of liquidation ("Plan"). The hearing on confirmation of the Plan is currently scheduled for Oct. 19, 2016. Pursuant to the Plan, the Debtor will continue in business for the limited purpose of completing the wind-down of its affairs which includes transitioning the ongoing Construction Projects from the Debtor, either by assignment, termination of the underlying contract or reletting of the project. The Plan also provides for the sale of the Assets at public auctions to supplement the funds available for distribution under the Plan. The Debtor is winding down its construction operations and, therefore, no longer has use for the Assets. The Debtor believes in its sound business judgment that an expedited sale of the Assets at a public auction scheduled to be conducted by the Auctioneer on Oct. 28 to 29, 2016, is in the best interest of its estate and will provide the best opportunity to realize significant value from the Assets because this highly marketed heavy equipment auction is expected to attract many bidders. To realize the maximum value of the Assets, the Debtor proposes that the Assets be sold, subject to the Court's approval, free and clear of all liens, with such liens to attach to the proceeds of the sales of the Assets with the same validity, extent and priority as had attached to the Assets immediately prior to the sales. M&T Bank has a first-priority lien against all the Debtor's assets that secures a pre-petition line of credit. Two entities that are related to the Debtor, 460 Kingsland Avenue Real Estate, LLC, and Reveal Kingsland, LLC, also have liens against all the Debtor's assets that are subordinate to M&T's first-priority lien. On Aug. 4, 2015, the Court entered an order ("DIP Order") approving debtor-in-possession financing from Liberty Mutual Insurance Co. Pursuant to the DIP Order, Liberty has a lien against all the Debtor's assets that is (a) junior to M&T's lien interest, and (b) senior to the lien interests of Reveal and 460. Nissan Motor Acceptance Corp, JPMorgan Chase Bank, N.A., M&T, and Hyundai Capital America, doing business as KIA Motors Finance, have secured interests in certain vehicles. General Electric Capital Corp. has a secured interest in certain of the Assets. Other than the Secured Parties, the Debtor reasonably believes that no entity has an interest in the Assets. The Debtor seeks approval of the "Sale Procedures" that will be applicable to the solicitation of bids and the sale of the Assets at all public auctions. The salient provisions of the Sale Terms are: a. The Auctioneer will offer the Assets, together with any additional items delivered by the Debtor to the auction site for sale, in whole or in part, on Oct. 28-29, 2016 at unreserved public auction at 275 Route 32, North Franklin, CT. b. The Assets are being sold on an "as is, where is" basis without any warranties whatsoever as to quality, condition or description. The only guarantee is as to title. c. Complete payment or a minimum requirement of a 20% deposit of the successful bidder's bid amount shall be payable to the Auctioneer, by cash, certified check or wire transfer on the day of the public auction. d. The balance of the purchase price will be paid by the successful bidder within 4 days following the public auction and, in any event, prior to removal or delivery of any Assets. e. In the event the highest bidder fails to close on its purchase within 4 days of the public auction, the Debtor may, at its option, sell to the second highest bidder without further order of Court and any deposit made by the highest bidder will be forfeited to the Debtor's estate. f. The Auctioneer will collect the full proceeds from the sale of the Assets and the Auctioneer will withhold for its benefit all amounts payable to the Auctioneer, including commission and any advances, and will thereafter make payment of the remaining proceeds to the Debtor within 7 days after the public auction in accordance with the terms of the Bankruptcy Court order approving the sale. The Debtor submits that the Sale Procedures are reasonably designed to ensure that the Debtor's estate receives the maximum benefit available from the sale of the Assets and therefore that the approval of the Sale Procedures for use at multiple public auctions of the Assets is warranted under the circumstances and consistent with the General Order 557 dated March 29, 2010, Adoption of Sale Guidelines, applied by the Bankruptcy Court. A copy of the list of Assets to be sold and the Sale Procedures attached to the Motion is available for free at: http://bankrupt.com/misc/Trocom_Construction_322_Sales.pdf The Debtor requests that the 14-day stay of the effectiveness of the Motion be waived to enable the Debtor to begin the public auctions promptly, given that the Auctioneer has proposed to conduct the first of the public auctions, which is anticipated to yield significant proceeds, on Oct. 28-29, 2016. Moreover, a waiver of the stay will relieve the Debtor's estate of the additional financial burden associated with the preservation of the Assets prior to the public auctions, thus reducing the expenditure of additional estate funds. About Trocom Construction Trocom Construction Corp. was formed in 1969 by Salvatore Trovato. The Company is in the heavy construction business. Its primary customer is the City of New York through its various agencies. The Company has 75 employees, the majority of whom are members of various unions. Joseph Trovato is presently the president and holder of 100% of the voting shares of Trocom. Trocom filed a Chapter 11 petition (Bankr. E.D.N.Y. Case No. 15-42145) on May 7, 2015, in Brooklyn. The petition was signed by Joseph Trovato. Judge Nancy Hershey Lord presides over the case. The Debtor is represented by C. Nathan Dee, Esq., at Cullen & Dykman, LLP. The Debtor estimated total assets of $32,462,383 and total liabilities of $17,184,837 as of the Chapter 11 filing. UTE LAKE RANCH: Janice A. Steinle Named Ch. 11 Trustee ------------------------------------------------------ Patrick S. Layng, the U.S. Trustee for the District of Colorado, appointed Janice A. Steinle as the Chapter 11 Trustee for the estate of Ute Lake Ranch, Inc., on September 22, 2016. The notice of appointment of a Chapter 11 Trustee is pursuant to an Order dated September 14, 2016, directing the U.S. Trustee to appoint a Chapter 11 Trustee in the Chapter 11 case of the Debtor. The Chapter 11 Trustee bond is initially set at $80,000. The bond may require adjustment as the trustee collects and liquidates assets of the estate, and the trustee is directed to inform the Office of the United States Trustee when changes to the bond amount are required or made. The Counsel for the U.S. Trustee is: Alan K. Motes ALAN K. MOTES Byron G. Rogers Federal Building 1961 Stout St., Suite 12-200 Denver, CO 80294-1961 Tel.: (303) 312-7999 Fax: (303) 312-7259 Email: Alan.Motes@usdoj.gov About Ute Lake Ranch Ute Lake Ranch Inc. and DVR LLC, based in Englewood, Colo., filed Chapter 11 petitions (Bankr. D. Colo. Lead Case No. 16-17054) on July 18, 2016. Matthew T. Faga, Esq. and James T. Markus, Esq. at Markus Williams Young & Zimmerman LLC serve as bankruptcy counsel. In their petitions, the Debtors estimated $1 million to $10 million in both assets and liabilities. The petitions were signed by Edward B. Cordes, authorized representative. WALKER III: U.S. Trustee Directed to Appoint Ch. 11 Examiner ------------------------------------------------------------ The U.S. Bankruptcy Court for the District of Colorado entered an order directing the U.S. Trustee to appoint a Chapter 11 Examiner in the Chapter 11 case of Walker III-Voss, LLC. The Debtor is one of the many business entities owned by Debtors Craig and Susan Walker. The Court previously ordered the appointment of an Examiner in the Walkers' Chapter 11 case, and the U.S. Trustee appointed C. Randel Lewis as the examiner with powers. The Examiner is appointed only in the Walkers' case, and not in the Walker III Voss' case. Prior to approval of the Settlement Agreement negotiated by the Examiner, Randel Lewis, the Court raised concerns on how he would be able to control Walker III- Voss and its assets, given that Walker- III Voss is a separate debtor-in-possession with duties to administer its own assets. Thus, in this case, Walker III-Voss subsequently filed its Motion, seeking appointment of an examiner in its Chapter 11 case. The scheduled debts of Walker-III Voss do not exceed $5,000,000. However, the Court finds that it is in the best interest of the Creditors that an Examiner will be appointed. The appointment will allow the Settlement Agreement to be fully effectuated in both bankruptcy cases of the Debtors Craig and Susan Walker, and Debtor Walker-III Voss. About Walker III - Voss Walker III - Voss, LLC, filed a Chapter 11 petition (Bankr. D. Colo. Case No. 15-19428) on August 24, 2015, and is represented by Harvey Sender, Esq., in Denver, Colorado. At the time of filing, the Debtor had US$1 million to US$10 million in estimated assets and S$1 million to US$10 million in estimated liabilities. The petition was signed by Craig J. Walker, managing member. The Debtor did not include a list of its largest unsecured creditors when it filed the petition. The individuals' bankruptcy case is In re: CRAIG J. WALKER and SUSAN ANN WALKER, Debtors, Case No. 15-18281 EEB (D. Colo.). WEST ALLIS-WEST: Moody's Confirms Ba1 GO Rating; Outlook Stable --------------------------------------------------------------- Moody's Investors Service has confirmed the Ba1 long-term general obligation (GO) rating of West Allis-West Milwaukee School District, WI. The outlook on the district's credit has been revised to stable. This action concludes our rating under review for potential downgrade placed on the district on July 29, 2016. The district currently has $42.5 million in GO debt outstanding, $15.7 million of which is rated by Moody's. The Ba1 rating reflects the district's pressured financial position as a result of consecutive years of imbalanced operations that have resulted in deficit fund balances. These factors are offset to a degree by the district's large, suburban city of Milwaukee (Aa3 stable) tax base; average wealth indices; average long-term debt burden; and manageable exposure to unfunded pension liabilities. Rating Outlook The revision of the credit outlook to stable reflects our view that the district's recent actions in refinancing its short-term cash-flow debt will provide the district with the liquidity needed to operate over the next several years, reducing exposure to potential near-term market access risks. Furthermore, management continues to make strides in aligning expenditures with revenues, which along with an expected lawsuit settlement should result in more favorable near-term financial results. Factors that Could Lead to an Upgrade Sustained return to structurally balanced operations and maintenance of healthy operating fund reserves and liquidity Factors that Could Lead to a Downgrade Failure to restore positive operating fund balances in a timely manner Significant short-term borrowing for cash flow prior to the take-out of Series 2016A GO notes Legal Security Debt service on outstanding long-term bonds and notes are secured by the district's general obligation unlimited tax (GOULT) pledge to levy a dedicated tax unlimited as to rate or amount. Obligor Profile The West Allis-West Milwaukee School District is a suburban school district located 10 miles west of the City of Milwaukee. It provides pre-K through 12th grade education to approximately 9,550 students in a community of 68,000 residents. WEST CABINET: Disclosures Conditionally OK'd; Hearing on Oct. 20 ---------------------------------------------------------------- The Hon. Gregory R. Schaaf of the U.S. Bankruptcy Court for the Eastern District of Kentucky has conditionally approved West Cabinet, Inc.'s disclosure statement describing the Debtor's small business Chapter 11 plan. The Court will hold on Oct. 20, 2016, at 9:00 a.m. (ET) the hearing to consider the final approval of the Disclosure Statement and the confirmation of the Plan. Oct. 13, 2016, is fixed as the last day for filing objections to the Disclosure Statement and the confirmation of the Plan. Oct. 13 is also fixed as the last day for filing written acceptances or rejections to the Plan. The deadline for filing proofs of claim for unscheduled claims or claims designated by the Debtor as contingent, disputed, or unliquidated is set as Oct. 20, 2016. About West Cabinet West Cabinet, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Ky. Case No. 16-60324) on March 25, 2016. The petition was signed by Mary Beth Golden, vice-president. The Debtor is represented by Jamie L. Harris, at DelCotto Law Group PLLC. At the time of the filing, the Debtor estimated its assets and debts at less than $1 million. WESTPORT HOLDINGS II: Directed to Show Proof PCO Not Necessary -------------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, filed a notice stating that Westport Holdings Tampa II, Limited Partnership, dba The Villas at University Village, has no later than October 22, 2016, to produce sufficient evidence for the Court to find that the appointment of a patient care ombudsman is not necessary under the specific facts of the case. About Westport Holdings Tampa Westport Holdings Tampa, dba University Village, is a care retirement community in Tampa, Florida. It offers residents villas, apartments, an assisted living facility and a skilled nursing care center for their end of life needs. Westport Holdings Tampa, Limited Partnership and Westport Holdings Tampa II, Limited Partnership filed chapter 11 petitions (Bankr. M.D. Fla. Case Nos. 8:16-bk-8167-MGW and 8:16-bk-8168-MGW) on September 22, 2016. The Debtors are represented by Scott A. Stichter, Esq. and Stephen R. Leslie, Esq., at Stichter Riedel Blain & Postler, P.A. WESTPORT HOLDINGS: Directed to Show Proof PCO Not Necessary ----------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida entered a notice stating that Westport Holdings Tampa, Limited Partnership, dba University Village, has until October 22, 2016, to produce sufficient evidence for the Court to find that the appointment of a patient care ombudsman is not necessary. The Court noted that the appointment of a PCO will be dispensed, if within 14 days of the notice, the Debtor produces a sufficient evidence for the Court to find that the appointment of such Ombudsman is not necessary under the specific facts of the case. About Westport Holdings Tampa Westport Holdings Tampa, dba University Village, is a care retirement community in Tampa, Florida. It offers residents villas, apartments, an assisted living facility and a skilled nursing care center for their end of life needs. Westport Holdings Tampa, Limited Partnership and Westport Holdings Tampa II, Limited Partnership filed chapter 11 petitions (Bankr. M.D. Fla. Case Nos. 8:16-bk-8167-MGW and 8:16-bk-8168-MGW) on September 22, 2016. The Debtors are represented by Scott A. Stichter, Esq. and Stephen R. Leslie, Esq., at Stichter Riedel Blain & Postler, P.A. WILLACY COUNTY PFC: S&P Lowers Rating on Revenue Debt to 'BB+' -------------------------------------------------------------- S&P Global Ratings lowered its long-term rating on Willacy County Public Facility Corp. (PFC), Texas' existing revenue debt to 'BB+' from 'BBB'. S&P Global Ratings maintained the rating on CreditWatch, where it was placed with negative implications June 3, 2016. The bonds are secured by revenues pledged under a contract with the United States Marshals Service (USMS), which falls under the jurisdiction of the Department of Justice (DOJ). On Aug. 18, 2016, the DOJ released a memo directing the Federal Bureau of Prisons (BOP) to "reduce and ultimately end the use of privately operated prisons." Soon thereafter, the Department of Homeland Security (DHS) directed a subcommittee to review the current policy and practices concerning the use of private detention centers and evaluate whether the practice of contracting with private operators should be eliminated. "The USMS has not stated a change in its current practice to use privately-operated facilities; however, we believe that the change in policy at the DOJ for its BOP facilities heightens the risk that USMS could follow a similar path," said S&P Global Ratings credit analyst Ann Richardson. The rating reflects S&P's opinion of: -- The industry's inherent volatility, primarily because of the potential fluctuation for facility demand, its essentiality, and the uncertainty created by event risks and changes in policy at the federal level; -- Good historical annual debt service coverage (DSC), which could change significantly in the event that the contract is not renewed, or there is a reduction in demand; -- Lack of capacity within USMS' current federally owned detention facilities, which S&P believes leads to increased service essentiality. -- The bonds' legal and security provisions, including the short-term nature of the contract with renewal risks supporting the pledged revenue; and -- An indefinite agreement with an industry recognized operator, provider, Management & Training Corp. (MTC), which has operated the facility since inception. Willacy County is a predominantly rural, lightly populated coastal county in southeast Texas with its population generally concentrated near its southern border. The county is in the northeastern-most Lower Rio Grande Valley, a rapidly growing area paralleling the border with Mexico. The detention center is in Raymondville, the seat of Willacy County, approximately 30 miles north of the border. As the USMS contract specifies, the facility is located within 50 miles of the U.S. federal courthouse in Brownsville, Texas. The project is a 572-bed, secure adult jail facility, expandable by 500 beds. It is a medium custody level prison, and functions as a pre-trial detention facility for the USMS. The CreditWatch placement reflects S&P's view of the uncertainty and potential negative implications stemming from the current federal policy for the use of private operators. S&P will continue to monitor the situation and take rating actions as necessary, although S&P expects to resolve the CreditWatch placement within 90 days. S&P could lower the rating if findings from that subcommittee affect the USMS, and ultimately how that federal entity awards its contracts; or if additional information from the DOJ indicates a shift in policy that will affect the USMS' ability to use private operators. Conversely, S&P could affirm the rating and remove it from CreditWatch if it becomes clear that the DOJ's shift in policy will not affect the USMS' use of privately operated prison facilities. WILLIAM BLACK: Court Dismisses Clawback Suits vs. Gallinghouse -------------------------------------------------------------- Judge Jerry A. Brown of the United States Bankruptcy Court for the Eastern District of Louisiana dismissed the preference action filed by William Matthew Black under Section 547 of the Bankruptcy Code, as well as the non-dischargeability actions filed by Joanne and Walter Gallinghouse, Gallinghouse & Associates, Inc., and G & A Publishing. Judge Brown also denied Black's objection to proof of claim 2, and denied in part, and allowed in part, the objections to proofs of claim numbers 3 and 4. The adversary proceedings and claim objections involved two state court judgments and several different legal issues that all arose out of criminal acts committed by the debtor's ex-wife, Deborah. She was convicted in state court on several counts of theft/embezzlement while she was an employee of the Gallinghouses. The Gallinghouses filed three proofs of claim related to the civil and restitution judgments rendered by the state court. The Gallinghouses also filed an adversary proceeding seeking to have the debt owed to them on the state court judgment against Mr. Black declared non-dischargeable. Mr. Black also filed an adversary proceeding against the Gallinghouses seeking to avoid the civil judgment as a preference. In the adversary complaint against the Gallinghouses, Black alleged an avoidable preference under 11 U.S.C. section 547(b), stemming from the entry of final judgment in the state court civil suit. Judge Brown found that there was no avoidable preference because the elements of section 547(b) have not been met; specifically, there was no pre-petition transfer to a creditor. Judge Brown overruled the objection to proof of claim no. 2, as amended, and the claim was allowed as an unsecured claim against the debtor in the full amount of $547,803.59. Proof of claim number 2 is based upon the civil judgment against Mr. and Mrs. Black entered by the state court in the suit by the Blacks against the Gallinghouses. Proofs of claim numbers 3 and 4 concern the restitution judgment, which is only against Mrs. Black, and not against the debtor. The parties asked the court to determine "the extent to which the restitution judgment is a community debt for which both members of the former community are liable." The parties also asked the court to determine "the extent to which the Thrift Savings Plan (TSP) may be used to satisfy the Restitution Judgment." Although there are two proofs of claim filed, there is only one underlying judgment that forms the basis for these two claims. The March 15, 2012 restitution judgment against Mrs. Black states it is for "the amounts of $154,154.20 and $206,565.51 (total $360,719.71) respectively, plus judicial interest thereon beginning November 18th, 2011, plus all costs of the criminal proceeding and subsequent proceedings necessary to enforce this judgment..." Judge Brown held that the restitution judgment is a community debt as defined by Article 2360 of the Civil Code, finding that Mr. Black failed to rebut the presumption under Louisiana Civil Code Article 2161 that all obligations incurred by a spouse during the existence of the community property regime are presumed to be community obligations. Judge Brown also held that the portion of the TSP account that was in existence at the time the petition for divorce was filed is community funds. Because the community funds are liable for the restitution debt, Judge Brown recognized proofs of claim 3 and 4 in the following amounts: 1) the claim against the TSP in the amount of $186,658.76; and 2) whatever portion of the funds held in the registry of the court for the 22nd JDC for St. Tammany Parish represent Mrs. Black's share of the profit from the sale of the community home. Judge Brown, however, declined to issue an order amending the divorce decree and directing the TSP to make payments to Mrs. Black. As to the Gallinghouses allegation that the civil judgment against the debtor is nondischargeable under 11 U.S.C. section 523(a)(6), Judge Brown found that, contrary to the Gallinghouses' assertion, the civil judgment against the debtor for intentional infliction of emotional distress, civil conspiracy and conversion is not sufficient to establish collateral estoppel that would bar a retrial by the bankruptcy court as to whether Mr. Black's actions constitute a willful and malicious act on the part of Mr. Black. Judge Brown thus concluded that the Gallinghouses did not present enough evidence to prove their non-dischargeability claim against only Mr. Black. The consolidated adversary proceedings are GALLINGHOUSE & ASSOCIATES, INC., G & A PUBLISHING HOUSE, INC, JOANNE GALINGHOUSE, AND WALTER GALLINGHOUSE, PLAINTIFFS VERSUS WILLIAM MATTHEW BLACK, DEFENDANT, ADV. P. NO. 15-1071 (Bankr. E.D. La.) and WILLIAM MATTHEW BLACK, PLAINTIFF VERSUS WALTER GALLINGHOUSE, JOANNE GALLINGHOUSE, G & A PUBLISHING, INC, AND GALLINGHOUSE & ASSOCIATES, INC., DEFENDANTS, ADV. P. NO. 15-1073 (Bankr. E.D. La.). The bankruptcy case is IN RE: WILLIAM MATTHEW BLACK, DEBTOR, CASE NO. 15-11935 (Bankr. E.D. La.). A full-text copy of Judge Brown's September 26, 2016 memorandum opinion is available at http://bankrupt.com/misc/laeb15-11935-144.pdf About William Black William Matthew Black filed a Chapter 11 petition (Bankr. E.D. La. Case No. 15-11935) on July 31, 2015. WINGS OF MEDINA: Unsecured Creditors to Get 60%-80% Under Plan -------------------------------------------------------------- General unsecured creditors will get 60% to 80% of their claims under the joint Chapter 11 liquidating plan of Wings of Medina Liquidation, Inc. and its affiliates. Under the plan, each holder of an allowed Class 2 general unsecured claim will receive a pro rata share of the net proceeds of the Debtors' assets that will be distributed to a liquidating trust. Initial payment to general unsecured creditors will be made approximately 60 days after the effective date of the plan. These creditors assert a total of $8.4 million in claims. The plan provides for the Debtors' assets, which include cash and causes of action, to be distributed to a liquidating trust. The official committee of unsecured creditors, a co-proponent of the plan, will appoint an official to manage the trust. The trustee will be tasked to liquidate and administer the remaining non-cash assets and make distributions to creditors. The liquidating plan proposes to pay allowed administrative claims, priority tax claims, and other priority claims in full, according to the Debtors' disclosure statement filed on Sept. 20 with the U.S. Bankruptcy Court for the Northern District of Ohio. A copy of the disclosure statement is available for free at https://is.gd/0siNME About Wings of Medina Liquidation Wings of Medina Liquidation, Inc., et al., each filed for Chapter 11 bankruptcy protection (Bankr. N.D. Ohio Case No. Case No. 15-52722) on Nov. 16, 2015. The Debtor is represented by: Scott N. Opincar, Esq. Michael J. Kaczka, Esq. McDONALD HOPKINS LLC 600 Superior Avenue, East, Suite 2100 Cleveland, OH 44114-2653 Tel: (216) 348-5400 Fax: (216) 348-5474 Email: sopincar@mcdonaldhopkins.com mkaczka@mcdonaldhopkins.com WTE-S&S AG: Has Until Nov. 30 to Use State Bank of Chilton Cash --------------------------------------------------------------- Judge Donald R. Cassling of the U.S. Bankruptcy Court for the Northern District of Illinois authorized WTE-S&S AG Enterprises LLC to use State Bank of Chilton's cash collateral on an interim basis, from October 1, 2016 to November 30, 2016. The approved Budget covers the period beginning September 26, 2016 and ending on November 28, 2016. The Budget provided for operating expenses such as engine maintenance, site maintenance, electricity and engine oil, among others. State Bank of Chilton was granted valid, perfected, enforceable security interests in and to the Debtor's post-petition assets, including all their proceeds and products, to the extent and priority of its alleged pre-petition liens, but only to the extent of any diminution in the value of such assets during the period from the commencement of the Debtor's chapter 11 case through November 30, 2016. A final hearing on the Debtor's Motion is scheduled on November 29, 2016 at 10:00 a.m. A full-text copy of the Interim Order, dated September 28, 2016, is available at http://bankrupt.com/misc/WTES&SAGEnterprisesLLC2016_1609913_83.pdf About WTE-S&S AG Enterprises LLC WTE-S&S AG Enterprises, LLC, is a limited liability company formed for the purpose of constructing an anaerobic digester on the largest dairy farm in Door County, Wisconsin so as to generate electricity from harnessing methane extracted from animal waste. The Debtor filed for Chapter 11 bankruptcy protection (Bankr. N.D. Ill. Case No. 16-09913) on March 23, 2016. The petition was signed by James G. Philip as manager and designated representative. The Debtor is represented by David K. Welch, Esq., at Crane, Heyrnan, Simon, Welch & Clar. The case is assigned to Judge Donald R. Cassling. The Debtor estimated both assets and liabilities in the range of $1 million to $10 million. YELLOW CAB: Creditors' Panel Seeks Appointment of Ch. 11 Trustee ---------------------------------------------------------------- The Official Committee of Unsecured Creditors of Yellow Cab Cooperative, Inc., filed a motion asking the United States Bankruptcy Court for the Northern District of California to appoint a Chapter 11 Trustee in the Debtor's bankruptcy case. According to the Committee, the Debtor is guilty of significant prepetition malfeasance -- malfeasance that can only be described as intentional as it involved transferring money to equity when none was due or owing and at a time when the Debtor was insolvent. Since the case began, the Debtor's conflicts of interest have caused management to make decisions that are not in the best interests of the Debtor, the Committee asserts. Therefore, the Committee asks the Court to enter an order (i) granting the Motion, (ii) directing the appointment of a chapter 11 trustee in the Debtor’s case, and (iii) granting such and further relief as may be just and appropriate. The Official Committee of Unsecured Creditors is represented by: John D. Fiero, Esq. Jason H. Rosell, Esq. PACHULSKI STANG ZIEHL & JONES LLP 150 California Street, 15th Floor San Francisco, CA 94111 Tel.: (415) 263-7000 Fax: (415) 263-7010 E-mail: jfiero@pszjlaw.com jrosell@pszjlaw.com About Yellow Cab Cooperative Yellow Cab Cooperative, Inc., provides taxicab transportation services in the San Francisco, California area. In San Francisco, taxicab "color schemes" are licensed by the County of San Francisco to provide services to taxi medallion owners, which color schemes and medallion holders operate in a highly regulated environment. Yellow Cab is a non-profit cooperative service company that provides an operating base for approximately 400 San Francisco taxi medallions (or permits), operating on a cooperative basis. Yellow Cab supports approximately 1,000 medallion owners and lessee drivers in their individual taxi operations, and separately employs approximately 60 persons to provide those support services. Yellow Cab currently supports approximately one-third of the total medallions operating in San Francisco. The Debtor filed a Chapter 11 petition (Bankr. N.D. Calif., Case No. 16-30063) on Jan. 22, 2016. The petition was signed by Pamela Martinez, president. The Debtor has tapped Farella Braun and Martel LLP as its legal counsel. The case is assigned to Judge Dennis Montali. The Debtor estimated assets of $1 million to $10 million, and debts of $10 million to $50 million. ZWEITE STUFE: Can Use $372K Cash Collateral ------------------------------------------- Judge Mark A. Randon of the U.S. Bankruptcy Court for the Eastern District of Michigan authorized Zweite Stufe, Inc. to use cash collateral in the amount of $372,823.16. Judge Randon acknowledged that the Debtor requires funds to pay expenses in connection with maintaining operations, including purchasing services, supplies and material, satisfying taxes, payroll, and fringe benefits for employees and paying utilities. He further acknowledged that failure to pay these and similar critical expenses would cause the Debtor immediate and irreparable harm by disrupting the Debtor’s ability to maintain operations and shutting down the Debtor’s locations. Judge Randon granted the Secured Creditor with an interest in cash collateral with replacement liens on the Debtor's assets which are created, acquired, or arise after the Petition Date, but limited to only those types and descriptions of collateral in which the Secured Creditor holds a pre-petition lien or security interst. The Debtor was directed to make monthly payments to its Secured Creditor in the amount of $4,000. A final hearing on the use of cash collateral is scheduled on October 31, 2016 at 11:00 a.m. A full-text copy of the Order, dated September 28, 2016, is available at http://bankrupt.com/misc/ZweiteStufeInc2016_1653059mar_25.pdf About Zweite Stufe, Inc. Zweite Stufe, Inc. filed a chapter 11 petition (Bankr. E.D. Mich. Case No. 16-53059) on September 21, 2016. The petition was signed by Teresa Gassenfeit, authorized signatory. The Debtor is represented by Elliot G. Crowder, Esq., at Stevenson & Bullock, P.L.C. The Debtor estimated assets at $0 to $50,000 and liabilities at $500,001 to $1 million at the time of the filing. [^] Large Companies with Insolvent Balance Sheet ------------------------------------------------ Total Share- Total Total Holders' Working Assets Equity Capital Company Ticker ($MM) ($MM) ($MM) ------- ------ ------ -------- ------- ABSOLUTE SOFTWRE OU1 GR 114.7 (43.7) (34.6) ABSOLUTE SOFTWRE ALSWF US 114.7 (43.7) (34.6) ABSOLUTE SOFTWRE ABT2EUR EU 114.7 (43.7) (34.6) ABSOLUTE SOFTWRE ABT CN 114.7 (43.7) (34.6) ADV MICRO DEVICE AMD TE 3,316.0 (413.0) 925.0 ADV MICRO DEVICE AMD TH 3,316.0 (413.0) 925.0 ADV MICRO DEVICE AMD GR 3,316.0 (413.0) 925.0 ADV MICRO DEVICE AMD QT 3,316.0 (413.0) 925.0 ADV MICRO DEVICE AMD* MM 3,316.0 (413.0) 925.0 ADV MICRO DEVICE AMDCHF EU 3,316.0 (413.0) 925.0 ADV MICRO DEVICE AMD SW 3,316.0 (413.0) 925.0 ADV MICRO DEVICE AMD US 3,316.0 (413.0) 925.0 ADV MICRO DEVICE AMDUSD SW 3,316.0 (413.0) 925.0 ADVANCED EMISSIO ADES US 36.6 (10.5) (11.2) ADVANCEPIERRE FO APFH US 1,149.4 (335.7) 180.5 ADVANCEPIERRE FO APFHEUR EU 1,149.4 (335.7) 180.5 ADVENT SOFTWARE ADVS US 424.8 (50.1) (110.8) AERIE PHARMACEUT AERIEUR EU 120.1 (17.4) 94.1 AERIE PHARMACEUT 0P0 GR 120.1 (17.4) 94.1 AERIE PHARMACEUT AERI US 120.1 (17.4) 94.1 AEROJET ROCKETDY AJRDEUR EU 2,000.1 (108.0) 100.6 AEROJET ROCKETDY AJRD US 2,000.1 (108.0) 100.6 AEROJET ROCKETDY GCY GR 2,000.1 (108.0) 100.6 AIR CANADA AC CN 14,539.0 (673.0) (496.0) AIR CANADA ACDVF US 14,539.0 (673.0) (496.0) AIR CANADA ACEUR EU 14,539.0 (673.0) (496.0) AIR CANADA ADH2 GR 14,539.0 (673.0) (496.0) AIR CANADA ADH2 TH 14,539.0 (673.0) (496.0) AK STEEL HLDG AK2 TH 3,918.3 (300.6) 665.0 AK STEEL HLDG AKS* MM 3,918.3 (300.6) 665.0 AK STEEL HLDG AKS US 3,918.3 (300.6) 665.0 AK STEEL HLDG AK2 GR 3,918.3 (300.6) 665.0 AMER RESTAUR-LP ICTPU US 33.5 (4.0) (6.2) AMYLIN PHARMACEU AMLN US 1,998.7 (42.4) 263.0 APPTIO INC-CL A APTI US 107.5 (17.7) (8.0) ARCH COAL INC ACIIQ* MM 4,685.2 (1,627.0) 713.1 ARIAD PHARM ARIAEUR EU 624.4 (37.9) 206.5 ARIAD PHARM ARIA US 624.4 (37.9) 206.5 ARIAD PHARM APS TH 624.4 (37.9) 206.5 ARIAD PHARM APS GR 624.4 (37.9) 206.5 ARIAD PHARM ARIA SW 624.4 (37.9) 206.5 ARIAD PHARM APS QT 624.4 (37.9) 206.5 ARIAD PHARM ARIACHF EU 624.4 (37.9) 206.5 ARRAY BIOPHARMA ARRYEUR EU 168.9 (37.9) 102.9 ARRAY BIOPHARMA AR2 TH 168.9 (37.9) 102.9 ARRAY BIOPHARMA AR2 QT 168.9 (37.9) 102.9 ARRAY BIOPHARMA ARRY US 168.9 (37.9) 102.9 ARRAY BIOPHARMA AR2 GR 168.9 (37.9) 102.9 ASPEN TECHNOLOGY AZPNEUR EU 419.7 (75.0) (71.3) ASPEN TECHNOLOGY AZPN US 419.7 (75.0) (71.3) ASPEN TECHNOLOGY AST GR 419.7 (75.0) (71.3) ASPEN TECHNOLOGY AST TH 419.7 (75.0) (71.3) AUTOZONE INC AZO US 8,464.1 (1,863.3) (422.1) AUTOZONE INC AZ5 GR 8,464.1 (1,863.3) (422.1) AUTOZONE INC AZ5 TH 8,464.1 (1,863.3) (422.1) AUTOZONE INC AZOEUR EU 8,464.1 (1,863.3) (422.1) AUTOZONE INC AZ5 QT 8,464.1 (1,863.3) (422.1) AVID TECHNOLOGY AVD GR 273.7 (289.0) (88.5) AVID TECHNOLOGY AVID US 273.7 (289.0) (88.5) AVINTIV SPECIALT POLGA US 1,991.4 (3.9) 322.1 AVON - BDR AVON34 BZ 3,638.1 (397.3) 702.1 AVON PRODUCTS AVP CI 3,638.1 (397.3) 702.1 AVON PRODUCTS AVP* MM 3,638.1 (397.3) 702.1 AVON PRODUCTS AVP US 3,638.1 (397.3) 702.1 AVON PRODUCTS AVP TH 3,638.1 (397.3) 702.1 AVON PRODUCTS AVP GR 3,638.1 (397.3) 702.1 BARRACUDA NETWOR 7BM GR 430.7 (19.3) (28.8) BARRACUDA NETWOR CUDA US 430.7 (19.3) (28.8) BARRACUDA NETWOR CUDAEUR EU 430.7 (19.3) (28.8) BARRACUDA NETWOR 7BM QT 430.7 (19.3) (28.8) BENEFITFOCUS INC BTF GR 164.8 (31.8) (0.2) BENEFITFOCUS INC BNFT US 164.8 (31.8) (0.2) BLUE BIRD CORP BLBD US 310.3 (99.1) (7.6) BLUE BIRD CORP 1291067D US 310.3 (99.1) (7.6) BOMBARDIER INC-B BBDBN MM 23,871.0 (3,918.0) 1,670.0 BOMBARDIER-B OLD BBDYB BB 23,871.0 (3,918.0) 1,670.0 BOMBARDIER-B W/I BBD/W CN 23,871.0 (3,918.0) 1,670.0 BRINKER INTL EAT US 1,472.7 (213.1) (255.7) BRINKER INTL EAT2EUR EU 1,472.7 (213.1) (255.7) BRINKER INTL BKJ GR 1,472.7 (213.1) (255.7) BROOKFIELD REAL BRE CN 98.8 (29.4) 1.0 BRP INC/CA-SUB V BRPIF US 2,204.8 (73.9) 63.7 BRP INC/CA-SUB V B15A GR 2,204.8 (73.9) 63.7 BRP INC/CA-SUB V DOO CN 2,204.8 (73.9) 63.7 BUFFALO COAL COR BUC SJ 48.1 (17.9) 0.3 BURLINGTON STORE BURL* MM 2,566.3 (103.7) 93.1 BURLINGTON STORE BUI GR 2,566.3 (103.7) 93.1 BURLINGTON STORE BURL US 2,566.3 (103.7) 93.1 CAESARS ENTERTAI C08 GR 12,117.0 (96.0) (2,233.0) CAESARS ENTERTAI CZR US 12,117.0 (96.0) (2,233.0) CALIFORNIA RESOU 1CLB QT 6,476.0 (1,045.0) (206.0) CALIFORNIA RESOU 1CLB GR 6,476.0 (1,045.0) (206.0) CALIFORNIA RESOU CRC US 6,476.0 (1,045.0) (206.0) CALIFORNIA RESOU CRCEUR EU 6,476.0 (1,045.0) (206.0) CALIFORNIA RESOU 1CL TH 6,476.0 (1,045.0) (206.0) CAMBIUM LEARNING ABCD US 133.8 (69.9) (55.1) CARBONITE INC CARB US 133.4 (2.1) (39.9) CARBONITE INC 4CB GR 133.4 (2.1) (39.9) CARRIZO OIL&GAS CO1 GR 1,457.6 (110.4) (103.8) CARRIZO OIL&GAS CRZOEUR EU 1,457.6 (110.4) (103.8) CARRIZO OIL&GAS CRZO US 1,457.6 (110.4) (103.8) CARRIZO OIL&GAS CO1 TH 1,457.6 (110.4) (103.8) CASELLA WASTE WA3 GR 631.6 (22.2) (6.0) CASELLA WASTE CWST US 631.6 (22.2) (6.0) CEB INC FC9 GR 1,509.2 (71.7) (153.6) CEB INC CEB US 1,509.2 (71.7) (153.6) CEDAR FAIR LP 7CF GR 2,072.4 (28.4) (104.7) CEDAR FAIR LP FUN US 2,072.4 (28.4) (104.7) CENTENNIAL COMM CYCL US 1,480.9 (925.9) (52.1) CHOICE HOTELS CZH GR 843.4 (373.8) 118.7 CHOICE HOTELS CHH US 843.4 (373.8) 118.7 CINCINNATI BELL CIB GR 1,423.2 (217.0) (48.0) CINCINNATI BELL CBB US 1,423.2 (217.0) (48.0) CLEAR CHANNEL-A CCO US 5,698.1 (966.4) 682.6 CLEAR CHANNEL-A C7C GR 5,698.1 (966.4) 682.6 CLEARSIDE BIOMED CLM GR 4.5 (4.3) 1.2 CLEARSIDE BIOMED CLSD US 4.5 (4.3) 1.2 CLIFFS NATURAL R CVA GR 1,851.0 (1,678.9) 403.1 CLIFFS NATURAL R CVA TH 1,851.0 (1,678.9) 403.1 CLIFFS NATURAL R CLF* MM 1,851.0 (1,678.9) 403.1 CLIFFS NATURAL R CLF2EUR EU 1,851.0 (1,678.9) 403.1 CLIFFS NATURAL R CLF US 1,851.0 (1,678.9) 403.1 CLIFFS NATURAL R CVA QT 1,851.0 (1,678.9) 403.1 COGENT COMMUNICA CCOI US 626.4 (29.4) 142.2 COGENT COMMUNICA OGM1 GR 626.4 (29.4) 142.2 COHERUS BIOSCIEN CHRSEUR EU 251.1 (61.9) 128.6 COHERUS BIOSCIEN 8C5 GR 251.1 (61.9) 128.6 COHERUS BIOSCIEN 8C5 TH 251.1 (61.9) 128.6 COHERUS BIOSCIEN CHRS US 251.1 (61.9) 128.6 COMMUNICATION CSAL US 2,851.7 (1,247.6) - COMMUNICATION 8XC GR 2,851.7 (1,247.6) - CPI CARD GROUP I PMTS US 277.1 (91.0) 56.9 CPI CARD GROUP I PNT CN 277.1 (91.0) 56.9 CPI CARD GROUP I CPB GR 277.1 (91.0) 56.9 CVR NITROGEN LP RNF US 241.4 (166.3) 12.0 CYAN INC CYNI US 112.1 (18.4) 56.9 CYAN INC YCN GR 112.1 (18.4) 56.9 DELEK LOGISTICS DKL US 381.8 (9.3) 15.3 DELEK LOGISTICS D6L GR 381.8 (9.3) 15.3 DENNY'S CORP DENN US 293.2 (52.7) (44.5) DENNY'S CORP DE8 GR 293.2 (52.7) (44.5) DIRECTV DTV US 25,321.0 (3,463.0) 1,360.0 DIRECTV DTV CI 25,321.0 (3,463.0) 1,360.0 DIRECTV DTVEUR EU 25,321.0 (3,463.0) 1,360.0 DOMINO'S PIZZA EZV TH 652.3 (1,914.8) 93.7 DOMINO'S PIZZA DPZ US 652.3 (1,914.8) 93.7 DOMINO'S PIZZA EZV GR 652.3 (1,914.8) 93.7 DPL INC DPL US 2,931.4 (173.0) (496.5) DUN & BRADSTREET DNB1EUR EU 2,162.9 (1,076.9) (85.0) DUN & BRADSTREET DB5 GR 2,162.9 (1,076.9) (85.0) DUN & BRADSTREET DNB US 2,162.9 (1,076.9) (85.0) DUNKIN' BRANDS G 2DB TH 3,130.4 (203.7) 147.1 DUNKIN' BRANDS G DNKN US 3,130.4 (203.7) 147.1 DUNKIN' BRANDS G DNKNEUR EU 3,130.4 (203.7) 147.1 DUNKIN' BRANDS G 2DB GR 3,130.4 (203.7) 147.1 DURATA THERAPEUT DRTXEUR EU 82.1 (16.1) 11.7 DURATA THERAPEUT DTA GR 82.1 (16.1) 11.7 DURATA THERAPEUT DRTX US 82.1 (16.1) 11.7 EASTMAN KODAK CO KODK US 2,042.0 (39.0) 859.0 EASTMAN KODAK CO KODN GR 2,042.0 (39.0) 859.0 EDGEN GROUP INC EDG US 883.8 (0.8) 409.2 ENERGIZER HOLDIN ENR US 1,596.8 (2.8) 655.7 ENERGIZER HOLDIN ENR-WEUR EU 1,596.8 (2.8) 655.7 ENERGIZER HOLDIN EGG GR 1,596.8 (2.8) 655.7 EPL OIL & GAS IN EPL US 463.6 (1,080.5) (1,301.7) EPL OIL & GAS IN EPA1 GR 463.6 (1,080.5) (1,301.7) ERIN ENERGY CORP ERN SJ 349.0 (159.2) (257.2) EVERBRIDGE INC EVBG US 48.9 (20.9) (28.6) EVERBRIDGE INC 2E7 GR 48.9 (20.9) (28.6) EVERBRIDGE INC EVBGEUR EU 48.9 (20.9) (28.6) EXELIXIS INC EX9 GR 477.1 (186.1) 160.6 EXELIXIS INC EXEL US 477.1 (186.1) 160.6 EXELIXIS INC EX9 TH 477.1 (186.1) 160.6 EXELIXIS INC EXELEUR EU 477.1 (186.1) 160.6 EXELIXIS INC EX9 QT 477.1 (186.1) 160.6 FAIRMOUNT SANTRO FMSAEUR EU 1,109.1 (159.6) 147.3 FAIRMOUNT SANTRO FM1 GR 1,109.1 (159.6) 147.3 FAIRMOUNT SANTRO FMSA US 1,109.1 (159.6) 147.3 FAIRPOINT COMMUN FONN GR 1,279.3 (23.7) 9.7 FAIRPOINT COMMUN FRP US 1,279.3 (23.7) 9.7 FERRELLGAS-LP FGP US 1,683.3 (651.8) (77.1) FERRELLGAS-LP FEG GR 1,683.3 (651.8) (77.1) FIFTH STREET ASS FSAM US 166.3 (11.1) - FIFTH STREET ASS 7FS TH 166.3 (11.1) - FORESIGHT ENERGY FELP US 1,746.6 (45.9) (1,325.6) FORESIGHT ENERGY FHR GR 1,746.6 (45.9) (1,325.6) FREESCALE SEMICO 1FS QT 3,159.0 (3,079.0) 1,264.0 FREESCALE SEMICO 1FS GR 3,159.0 (3,079.0) 1,264.0 FREESCALE SEMICO FSL US 3,159.0 (3,079.0) 1,264.0 FREESCALE SEMICO 1FS TH 3,159.0 (3,079.0) 1,264.0 FREESCALE SEMICO FSLEUR EU 3,159.0 (3,079.0) 1,264.0 GAMCO INVESTO-A GBL US 113.9 (223.5) - GARDA WRLD -CL A GW CN 1,842.9 (396.1) 105.2 GARTNER INC IT US 2,304.5 (52.8) (153.6) GARTNER INC GGRA GR 2,304.5 (52.8) (153.6) GARTNER INC IT* MM 2,304.5 (52.8) (153.6) GCP APPLIED TECH 43G GR 1,034.5 (149.7) 254.9 GCP APPLIED TECH GCP US 1,034.5 (149.7) 254.9 GENTIVA HEALTH GHT GR 1,225.2 (285.2) 130.0 GENTIVA HEALTH GTIV US 1,225.2 (285.2) 130.0 GLG PARTNERS INC GLG US 400.0 (285.6) 156.9 GLG PARTNERS-UTS GLG/U US 400.0 (285.6) 156.9 GRAHAM PACKAGING GRM US 2,947.5 (520.8) 298.5 GUIDANCE SOFTWAR GUID US 71.8 (1.7) (22.1) GUIDANCE SOFTWAR ZTT GR 71.8 (1.7) (22.1) GYMBOREE CORP/TH GYMB US 1,162.6 (309.2) 28.7 HALCON RESOURCES HK US 2,453.8 (672.6) (2,780.0) HALCON RESOURCES HKEUR EU 2,453.8 (672.6) (2,780.0) HALCON RESOURCES RAQK GR 2,453.8 (672.6) (2,780.0) HCA HOLDINGS INC 2BH GR 33,205.0 (6,498.0) 3,699.0 HCA HOLDINGS INC HCA US 33,205.0 (6,498.0) 3,699.0 HCA HOLDINGS INC 2BH TH 33,205.0 (6,498.0) 3,699.0 HCA HOLDINGS INC HCAEUR EU 33,205.0 (6,498.0) 3,699.0 HECKMANN CORP-U HEK/U US 421.9 (75.1) (51.4) HEWLETT-PACKA-WI HPQ-W US 27,224.0 (3,926.0) (712.0) HORSEHEAD HOLDIN ZINCQ* MM 308.7 (279.4) (48.4) HOVNANIAN-A-WI HOV-W US 2,388.8 (151.9) 1,377.8 HP COMPANY-BDR HPQB34 BZ 27,224.0 (3,926.0) (712.0) HP INC HPQUSD SW 27,224.0 (3,926.0) (712.0) HP INC HWP QT 27,224.0 (3,926.0) (712.0) HP INC HPQ TE 27,224.0 (3,926.0) (712.0) HP INC HPQ* MM 27,224.0 (3,926.0) (712.0) HP INC 7HP TH 27,224.0 (3,926.0) (712.0) HP INC HPQ CI 27,224.0 (3,926.0) (712.0) HP INC HPQ US 27,224.0 (3,926.0) (712.0) HP INC HPQCHF EU 27,224.0 (3,926.0) (712.0) HP INC 7HP GR 27,224.0 (3,926.0) (712.0) HP INC HPQ SW 27,224.0 (3,926.0) (712.0) HUGHES TELEMATIC HUTCU US 110.2 (101.6) (113.8) IBI GROUP INC IBG CN 257.9 (13.2) 118.6 IDEXX LABS IDXX US 1,489.2 (8.5) (1.7) IDEXX LABS IX1 QT 1,489.2 (8.5) (1.7) IDEXX LABS IX1 TH 1,489.2 (8.5) (1.7) IDEXX LABS IX1 GR 1,489.2 (8.5) (1.7) IMMUNOMEDICS INC IM3 TH 57.0 (57.5) 37.5 IMMUNOMEDICS INC IMMU US 57.0 (57.5) 37.5 INFOR ACQUISIT-A IAC/A CN 233.2 (2.7) 1.8 INFOR ACQUISITIO IAC-U CN 233.2 (2.7) 1.8 INFOR US INC LWSN US 6,048.5 (796.8) (226.4) INNOVIVA INC HVE GR 378.1 (363.1) 175.8 INNOVIVA INC INVA US 378.1 (363.1) 175.8 INTERNATIONAL WI ITWG US 325.1 (11.5) 95.4 INTERUPS INC ITUP US 0.0 (0.3) (0.3) INVENTIV HEALTH VTIV US 2,167.0 (791.3) 142.1 IPCS INC IPCS US 559.2 (33.0) 72.1 ISRAMCO INC ISRLEUR EU 145.1 (0.9) 14.0 ISRAMCO INC IRM GR 145.1 (0.9) 14.0 ISRAMCO INC ISRL US 145.1 (0.9) 14.0 ISTA PHARMACEUTI ISTA US 124.7 (64.8) 2.2 J CREW GROUP INC JCG US 1,455.8 (786.1) 86.9 JACK IN THE BOX JACK US 1,291.5 (167.5) (85.1) JACK IN THE BOX JBX GR 1,291.5 (167.5) (85.1) JACK IN THE BOX JACK1EUR EU 1,291.5 (167.5) (85.1) JUST ENERGY GROU JE CN 1,229.1 (191.7) (118.1) JUST ENERGY GROU 1JE GR 1,229.1 (191.7) (118.1) JUST ENERGY GROU JE US 1,229.1 (191.7) (118.1) KADMON HOLDINGS KDMN US 45.9 (256.6) (33.4) L BRANDS INC LBEUR EU 7,541.0 (1,129.0) 1,141.0 L BRANDS INC LB US 7,541.0 (1,129.0) 1,141.0 L BRANDS INC LTD TH 7,541.0 (1,129.0) 1,141.0 L BRANDS INC LB* MM 7,541.0 (1,129.0) 1,141.0 L BRANDS INC LTD GR 7,541.0 (1,129.0) 1,141.0 L BRANDS INC LTD QT 7,541.0 (1,129.0) 1,141.0 LANTHEUS HOLDING LNTH US 259.3 (166.4) 78.9 LANTHEUS HOLDING 0L8 GR 259.3 (166.4) 78.9 LEAP WIRELESS LWI TH 4,662.9 (125.1) 346.9 LEAP WIRELESS LEAP US 4,662.9 (125.1) 346.9 LEAP WIRELESS LWI GR 4,662.9 (125.1) 346.9 LEE ENTERPRISES LEE US 715.2 (122.1) (24.8) LEE ENTERPRISES LEE1EUR EU 715.2 (122.1) (24.8) LEE ENTERPRISES LE7 GR 715.2 (122.1) (24.8) LORILLARD INC LLV GR 4,154.0 (2,134.0) 1,135.0 LORILLARD INC LLV TH 4,154.0 (2,134.0) 1,135.0 LORILLARD INC LO US 4,154.0 (2,134.0) 1,135.0 MADISON-A/NEW-WI MSGN-W US 806.5 (1,120.0) 168.7 MANITOWOC FOOD MFS1EUR EU 1,807.0 (111.1) 19.1 MANITOWOC FOOD 6M6 GR 1,807.0 (111.1) 19.1 MANITOWOC FOOD MFS US 1,807.0 (111.1) 19.1 MANNKIND CORP MNKD IT 139.4 (366.6) (198.9) MARRIOTT INTL-A MAR US 6,650.0 (3,462.0) (1,285.0) MARRIOTT INTL-A MAQ GR 6,650.0 (3,462.0) (1,285.0) MARRIOTT INTL-A MAQ TH 6,650.0 (3,462.0) (1,285.0) MARRIOTT INTL-A MAQ QT 6,650.0 (3,462.0) (1,285.0) MCBC HOLDINGS IN 1SG GR 82.5 (8.4) (26.3) MCBC HOLDINGS IN MCFT US 82.5 (8.4) (26.3) MDC COMM-W/I MDZ/W CN 1,616.2 (457.3) (268.2) MDC PARTNERS-A MDZ/A CN 1,616.2 (457.3) (268.2) MDC PARTNERS-A MDCA US 1,616.2 (457.3) (268.2) MDC PARTNERS-A MDCAEUR EU 1,616.2 (457.3) (268.2) MDC PARTNERS-EXC MDZ/N CN 1,616.2 (457.3) (268.2) MEAD JOHNSON MJN US 4,028.6 (519.4) 1,459.4 MEAD JOHNSON 0MJA GR 4,028.6 (519.4) 1,459.4 MEAD JOHNSON 0MJA TH 4,028.6 (519.4) 1,459.4 MEAD JOHNSON MJNEUR EU 4,028.6 (519.4) 1,459.4 MEDLEY MANAGE-A MDLY US 107.6 (30.3) 38.7 MERITOR INC MTOR US 2,084.0 (596.0) 155.0 MERITOR INC MTOREUR EU 2,084.0 (596.0) 155.0 MERITOR INC AID1 GR 2,084.0 (596.0) 155.0 MERRIMACK PHARMA MP6 QT 150.0 (201.6) 28.1 MERRIMACK PHARMA MACKEUR EU 150.0 (201.6) 28.1 MERRIMACK PHARMA MP6 GR 150.0 (201.6) 28.1 MERRIMACK PHARMA MACK US 150.0 (201.6) 28.1 MICHAELS COS INC MIK US 2,001.0 (1,707.8) 531.0 MICHAELS COS INC MIM GR 2,001.0 (1,707.8) 531.0 MIDSTATES PETROL MPO1EUR EU 729.3 (1,495.1) 12.9 MONEYGRAM INTERN MGI US 4,290.8 (221.2) (12.5) MOODY'S CORP MCOEUR EU 5,044.9 (369.5) 1,883.7 MOODY'S CORP DUT GR 5,044.9 (369.5) 1,883.7 MOODY'S CORP MCO US 5,044.9 (369.5) 1,883.7 MOODY'S CORP DUT TH 5,044.9 (369.5) 1,883.7 MOTOROLA SOLUTIO MSI US 8,467.0 (678.0) 1,502.0 MOTOROLA SOLUTIO MTLA QT 8,467.0 (678.0) 1,502.0 MOTOROLA SOLUTIO MTLA TH 8,467.0 (678.0) 1,502.0 MOTOROLA SOLUTIO MOT TE 8,467.0 (678.0) 1,502.0 MOTOROLA SOLUTIO MTLA GR 8,467.0 (678.0) 1,502.0 MPG OFFICE TRUST 1052394D US 1,280.0 (437.3) - MSG NETWORKS- A MSGN US 806.5 (1,120.0) 168.7 MSG NETWORKS- A MSGNEUR EU 806.5 (1,120.0) 168.7 MSG NETWORKS- A 1M4 GR 806.5 (1,120.0) 168.7 MSG NETWORKS- A 1M4 TH 806.5 (1,120.0) 168.7 NATHANS FAMOUS NFA GR 77.7 (70.5) 51.9 NATHANS FAMOUS NATH US 77.7 (70.5) 51.9 NATIONAL CINEMED NCMI US 1,045.7 (166.4) 91.5 NATIONAL CINEMED XWM GR 1,045.7 (166.4) 91.5 NAVIDEA BIOPHARM NAVB IT 8.7 (63.9) (55.5) NAVISTAR INTL IHR QT 5,719.0 (5,134.0) 239.0 NAVISTAR INTL NAV US 5,719.0 (5,134.0) 239.0 NAVISTAR INTL IHR TH 5,719.0 (5,134.0) 239.0 NAVISTAR INTL IHR GR 5,719.0 (5,134.0) 239.0 NEFF CORP-CL A NFO GR 681.2 (163.1) 2.3 NEFF CORP-CL A NEFF US 681.2 (163.1) 2.3 NEKTAR THERAPEUT NKTR US 463.1 (39.3) 239.0 NEKTAR THERAPEUT ITH GR 463.1 (39.3) 239.0 NEW ENG RLTY-LP NEN US 193.6 (31.2) - NTELOS HOLDINGS NTLS US 611.1 (39.9) 104.9 OCH-ZIFF CAPIT-A OZM US 1,375.1 (356.2) - OCH-ZIFF CAPIT-A 35OA GR 1,375.1 (356.2) - OMEROS CORP OMEREUR EU 46.1 (49.0) 18.0 OMEROS CORP 3O8 GR 46.1 (49.0) 18.0 OMEROS CORP 3O8 TH 46.1 (49.0) 18.0 OMEROS CORP OMER US 46.1 (49.0) 18.0 OMTHERA PHARMACE OMTH US 18.3 (8.5) (12.0) ONCOMED PHARMACE OMED US 181.9 (43.5) 121.7 ONCOMED PHARMACE O0M GR 181.9 (43.5) 121.7 PALM INC PALM US 1,007.2 (6.2) 141.7 PAPA JOHN'S INTL PZZA US 487.2 (9.3) 18.4 PAPA JOHN'S INTL PP1 GR 487.2 (9.3) 18.4 PBF LOGISTICS LP PBFX US 458.6 (128.0) 65.8 PBF LOGISTICS LP 11P GR 458.6 (128.0) 65.8 PENN NATL GAMING PENN US 5,142.8 (606.9) (197.8) PENN NATL GAMING PN1 GR 5,142.8 (606.9) (197.8) PHILIP MORRIS IN PMI EB 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN 4I1 GR 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN PM FP 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN 4I1 TH 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN PM1 TE 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN PM1EUR EU 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN 4I1 QT 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN PM US 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN PMI1 IX 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN PM1CHF EU 34,802.0 (10,799.0) 3,374.0 PHILIP MORRIS IN PMI SW 34,802.0 (10,799.0) 3,374.0 PINNACLE ENTERTA PNK US 3,966.8 (332.9) (106.8) PINNACLE ENTERTA 65P GR 3,966.8 (332.9) (106.8) PLAYBOY ENTERP-A PLA/A US 165.8 (54.4) (16.9) PLAYBOY ENTERP-B PLA US 165.8 (54.4) (16.9) PLY GEM HOLDINGS PGEM US 1,292.6 (57.6) 280.6 PLY GEM HOLDINGS PG6 GR 1,292.6 (57.6) 280.6 POLYMER GROUP-B POLGB US 1,991.4 (3.9) 322.1 PROTECTION ONE PONE US 562.9 (61.8) (7.6) QUALITY DISTRIBU QDZ GR 413.0 (22.9) 102.9 QUALITY DISTRIBU QLTY US 413.0 (22.9) 102.9 QUINTILES TRANSN Q US 3,962.8 (228.7) 836.3 QUINTILES TRANSN QTS GR 3,962.8 (228.7) 836.3 REATA PHARMACE-A RETA US 114.4 (212.1) 52.9 REATA PHARMACE-A 2R3 GR 114.4 (212.1) 52.9 REGAL ENTERTAI-A RGC US 2,572.9 (872.3) (86.1) REGAL ENTERTAI-A RGC* MM 2,572.9 (872.3) (86.1) REGAL ENTERTAI-A RETA GR 2,572.9 (872.3) (86.1) RENAISSANCE LEA RLRN US 57.0 (28.2) (31.4) RENTECH NITROGEN 2RN GR 241.4 (166.3) 12.0 RENTPATH LLC PRM US 208.0 (91.7) 3.6 RESOLUTE ENERGY R21 GR 317.5 (321.8) 15.2 RESOLUTE ENERGY RENEUR EU 317.5 (321.8) 15.2 RESOLUTE ENERGY REN US 317.5 (321.8) 15.2 REVLON INC-A REV US 1,914.8 (561.7) 296.2 REVLON INC-A RVL1 GR 1,914.8 (561.7) 296.2 RLJ ACQUISITI-UT RLJAU US 127.7 (14.8) 18.1 ROUNDY'S INC RNDY US 1,095.7 (92.7) 59.7 ROUNDY'S INC 4R1 GR 1,095.7 (92.7) 59.7 RURAL/METRO CORP RURL US 303.7 (92.1) 72.4 RYERSON HOLDING 7RY GR 1,630.0 (112.1) 679.6 RYERSON HOLDING RYI US 1,630.0 (112.1) 679.6 RYERSON HOLDING 7RY TH 1,630.0 (112.1) 679.6 SALLY BEAUTY HOL SBH US 2,091.1 (282.9) 690.6 SALLY BEAUTY HOL S7V GR 2,091.1 (282.9) 690.6 SANCHEZ ENERGY C SN* MM 1,240.5 (703.2) 288.2 SANCHEZ ENERGY C SN US 1,240.5 (703.2) 288.2 SANCHEZ ENERGY C 13S GR 1,240.5 (703.2) 288.2 SANCHEZ ENERGY C 13S TH 1,240.5 (703.2) 288.2 SBA COMM CORP-A SBACEUR EU 7,436.3 (1,607.6) (513.6) SBA COMM CORP-A SBAC US 7,436.3 (1,607.6) (513.6) SBA COMM CORP-A SBJ TH 7,436.3 (1,607.6) (513.6) SBA COMM CORP-A SBJ GR 7,436.3 (1,607.6) (513.6) SCIENTIFIC GAM-A SGMS US 7,465.1 (1,666.9) 491.7 SCIENTIFIC GAM-A TJW GR 7,465.1 (1,666.9) 491.7 SEARS HOLDINGS SEE GR 10,614.0 (2,693.0) 672.0 SEARS HOLDINGS SHLD US 10,614.0 (2,693.0) 672.0 SEARS HOLDINGS SEE QT 10,614.0 (2,693.0) 672.0 SEARS HOLDINGS SEE TH 10,614.0 (2,693.0) 672.0 SILVER SPRING NE SSNIEUR EU 449.4 (12.3) 15.2 SILVER SPRING NE 9SI GR 449.4 (12.3) 15.2 SILVER SPRING NE 9SI TH 449.4 (12.3) 15.2 SILVER SPRING NE SSNI US 449.4 (12.3) 15.2 SIRIUS XM CANADA SIICF US 304.7 (135.3) (170.2) SIRIUS XM CANADA XSR CN 304.7 (135.3) (170.2) SIRIUS XM HOLDIN RDO TH 8,139.8 (775.1) (1,605.5) SIRIUS XM HOLDIN SIRI US 8,139.8 (775.1) (1,605.5) SIRIUS XM HOLDIN RDO GR 8,139.8 (775.1) (1,605.5) SONIC CORP SONCEUR EU 679.7 (58.5) 98.7 SONIC CORP SO4 GR 679.7 (58.5) 98.7 SONIC CORP SONC US 679.7 (58.5) 98.7 SUPERVALU INC SVU* MM 4,373.0 (383.0) 203.0 SUPERVALU INC SVU US 4,373.0 (383.0) 203.0 SUPERVALU INC SJ1 TH 4,373.0 (383.0) 203.0 SUPERVALU INC SJ1 QT 4,373.0 (383.0) 203.0 SUPERVALU INC SJ1 GR 4,373.0 (383.0) 203.0 TAILORED BRANDS WRMA GR 2,184.6 (88.7) 719.8 TAILORED BRANDS TLRD* MM 2,184.6 (88.7) 719.8 TAILORED BRANDS TLRD US 2,184.6 (88.7) 719.8 TAUBMAN CENTERS TCO US 3,786.8 (36.5) - TAUBMAN CENTERS TU8 GR 3,786.8 (36.5) - TRANSDIGM GROUP T7D GR 10,570.5 (808.2) 2,204.8 TRANSDIGM GROUP TDG SW 10,570.5 (808.2) 2,204.8 TRANSDIGM GROUP TDGCHF EU 10,570.5 (808.2) 2,204.8 TRANSDIGM GROUP TDG US 10,570.5 (808.2) 2,204.8 TRANSDIGM GROUP TDGEUR EU 10,570.5 (808.2) 2,204.8 TRANSDIGM GROUP T7D QT 10,570.5 (808.2) 2,204.8 ULTRA PETROLEUM UPM GR 1,292.9 (2,996.0) 259.4 ULTRA PETROLEUM UPLMQ US 1,292.9 (2,996.0) 259.4 ULTRA PETROLEUM UPLEUR EU 1,292.9 (2,996.0) 259.4 UNISYS CORP USY1 TH 2,241.6 (1,273.6) 310.3 UNISYS CORP UISEUR EU 2,241.6 (1,273.6) 310.3 UNISYS CORP USY1 GR 2,241.6 (1,273.6) 310.3 UNISYS CORP UISCHF EU 2,241.6 (1,273.6) 310.3 UNISYS CORP UIS US 2,241.6 (1,273.6) 310.3 UNISYS CORP UIS1 SW 2,241.6 (1,273.6) 310.3 VALVOLINE INC VVV US 1,634.0 (634.0) 78.0 VALVOLINE INC 0V4 GR 1,634.0 (634.0) 78.0 VECTOR GROUP LTD VGR QT 1,479.5 (175.4) 584.8 VECTOR GROUP LTD VGR GR 1,479.5 (175.4) 584.8 VECTOR GROUP LTD VGR US 1,479.5 (175.4) 584.8 VENOCO INC VQ US 295.3 (483.7) (509.8) VERISIGN INC VRSN US 2,314.2 (1,127.3) 468.5 VERISIGN INC VRS GR 2,314.2 (1,127.3) 468.5 VERISIGN INC VRS TH 2,314.2 (1,127.3) 468.5 VERIZON TELEMATI HUTC US 110.2 (101.6) (113.8) VERSO CORP - A VRS US 2,523.0 (1,302.0) 57.0 VIEWRAY INC VRAY US 47.9 (31.1) 2.8 VIRGIN MOBILE-A VM US 307.4 (244.2) (138.3) WEIGHT WATCHERS WTW US 1,265.8 (1,266.4) (146.1) WEIGHT WATCHERS WW6 GR 1,265.8 (1,266.4) (146.1) WEIGHT WATCHERS WW6 TH 1,265.8 (1,266.4) (146.1) WEIGHT WATCHERS WTWEUR EU 1,265.8 (1,266.4) (146.1) WEST CORP WT2 GR 3,546.6 (522.4) 269.5 WEST CORP WSTC US 3,546.6 (522.4) 269.5 WESTMORELAND COA WLB US 1,743.2 (573.1) (41.5) WINGSTOP INC WING US 116.8 (0.1) 6.7 WINGSTOP INC EWG GR 116.8 (0.1) 6.7 WINMARK CORP WINA US 42.8 (21.9) 13.6 WINMARK CORP GBZ GR 42.8 (21.9) 13.6 YRC WORLDWIDE IN YEL1 TH 1,886.0 (359.8) 271.7 YRC WORLDWIDE IN YEL1 GR 1,886.0 (359.8) 271.7 YRC WORLDWIDE IN YRCWEUR EU 1,886.0 (359.8) 271.7 YRC WORLDWIDE IN YRCW US 1,886.0 (359.8) 271.7 YUM! BRANDS INC TGR QT 8,184.0 (331.0) (400.0) YUM! BRANDS INC TGR TH 8,184.0 (331.0) (400.0) YUM! BRANDS INC YUMEUR EU 8,184.0 (331.0) (400.0) YUM! BRANDS INC TGR GR 8,184.0 (331.0) (400.0) YUM! BRANDS INC YUM SW 8,184.0 (331.0) (400.0) YUM! BRANDS INC YUMCHF EU 8,184.0 (331.0) (400.0) YUM! BRANDS INC YUMUSD SW 8,184.0 (331.0) (400.0) YUM! BRANDS INC YUM US 8,184.0 (331.0) (400.0) ZIOPHARM ONCOLOG WEK TH 128.0 (52.0) 110.7 ZIOPHARM ONCOLOG ZIOPEUR EU 128.0 (52.0) 110.7 ZIOPHARM ONCOLOG WEK GR 128.0 (52.0) 110.7 ZIOPHARM ONCOLOG ZIOP US 128.0 (52.0) 110.7 ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR editor holds some position in the issuers public debt and equity securities about which we report. Each Tuesday edition of the TCR contains a list of companies with insolvent balance sheets whose shares trade higher than $3 per share in public markets. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. On Thursdays, the TCR delivers a list of recently filed Chapter 11 cases involving less than $1,000,000 in assets and liabilities delivered to nation's bankruptcy courts. The list includes links to freely downloadable images of these small-dollar petitions in Acrobat PDF format. Each Friday's edition of the TCR includes a review about a book of interest to troubled company professionals. All titles are available at your local bookstore or through Amazon.com. Go to http://www.bankrupt.com/books/to order any title today. Monthly Operating Reports are summarized in every Saturday edition of the TCR. The Sunday TCR delivers securitization rating news from the week then-ending. TCR subscribers have free access to our on-line news archive. Point your Web browser to http://TCRresources.bankrupt.com/and use the e-mail address to which your TCR is delivered to login. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter is a daily newsletter co-published by Bankruptcy Creditors Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA. Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Valerie Udtuhan, Howard C. Tolentino, Carmel Paderog, Meriam Fernandez, Joel Anthony G. Lopez, Cecil R. Villacampa, Sheryl Joy P. Olano, Psyche A. Castillon, Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and Peter A. Chapman, Editors. Copyright 2016. All rights reserved. ISSN: 1520-9474. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR subscription rate is $975 for 6 months delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are $25 each. For subscription information, contact Peter A. Chapman at 215-945-7000 or Nina Novak at 202-362-8552. *** End of Transmission ***