/raid1/www/Hosts/bankrupt/TCR_Public/161107.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
Monday, November 7, 2016, Vol. 20, No. 311
Headlines
3324 N. CLARK: Seeks to Hire Rick Levin as Real Estate Broker
3324 N. CLARK: Seeks to Hire Weissberg as Legal Counsel
397 NORTH WASHINGTON: Seeks to Hire Harlow Adams as Legal Counsel
4522 KATELLA: Seeks to Hire InSite Real Estate as Broker
ABEER OF FLINT: Gets Approval to Hire George Jacobs as Counsel
ABIZER RAJ: Unsecureds To Recover 60% Under Plan
ACP-OFFENBACHERS LLC: Seeks to Hire Shapiro Sher as Legal Counsel
ALAN DUNCAN PROPERTIES: Hearing on Disclosures Set For Jan. 19
ALI SABERIOON: Seeks Exclusivity Extension Thru Jan. 31 Next Year
ALLY FINANCIAL: Posts $209 Million Net Income for Third Quarter
AMERICAN AXLE: Moody's Puts Ba3 CFR Under Review For Downgrade
AMERICAN GILSONITE: Seeks to Hire Epiq as Claims Agent
APPROACH RESOURCES: S&P Lowers CCR to 'CC'; Outlook Negative
AQGEN LIBERTY: Moody's Confirms B2 Corporate Family Rating
AQGEN LIBERTY: S&P Raises Rating to 'B+', Off CreditWatch Pos.
ARMADA WATER: Selling Ector County Property for $250K
ASSOCIATED MATERIALS: S&P Affirms 'B-' CCR on Refinancing
AUSPICIOUS INC: Seeks to Hire Ronald Cutler as Legal Counsel
AVAGO TECHNOLOGIES: Moody's Affirms Ba1 Corporate Family Rating
AXALTA COATING: S&P Affirms 'BB' Corporate Credit Rating
AYTU BIOSCIENCE: Closes Offering of $8.6 Million Common Shares
AZURE MIDSTREAM: Posts $14.3 Million Net Income for Third Quarter
BASIC ENERGY: Hires Moelis & Company as Investment Banker
BENNU TITAN: Seeks to Hire Ashby & Geddes as Legal Counsel
BINDER MACHINERY: Committee Taps CBIZ as Financial Advisor
BINDER MACHINERY: Committee Taps Saul Ewing as Legal Counsel
BION ENVIRONMENTAL: Legislation Introduced in Pennsylvania House
BLUE BEE: Can use Cash Collateral on Interim Basis
BOUNTIFUL BLESSINGS: Taps William Johnson as Legal Counsel
BROCADE COMMUNICATIONS: Moody's Places Ba1 CFR Under Review For Dow
BYRD MILL: Hires Hoover Penrod as Bankruptcy Counsel
CAPITAL CHRISTIAN: Wants to Include CIT Payments in Cash Budget
CAROLYN J. JOHNSON: Disclosures Conditionally OK'd; Dec. 7 Hearing
CASCELLA & SON: Can Continue Using of Cash Through Dec. 31
CCH JOHN EAGAN: Solicitation Period Extended Thru Plan Confirmation
CF INDUSTRIES: Moody's Cuts Senior Secured Ratings to Ba3
CHATEAU DE LUMIERE: Hires Brunson Jiu as Valuation Expert
COBALT INTERNATIONAL: Amends Bylaws to Change Voting Standard
COMBIMATRIX CORP: Reports Third Quarter 2016 Financial Results
COMPASSION IN HEALTHCARE: Taps Ronald Cutler as Legal Counsel
CYRUS WAY HOLDINGS: Seeks to Hire Peterson Sullivan as Accountant
DAWSON INT'L: Hires Deloitte Tax as Tax Service Provider
DENTAL PLUS: Hires John F. Coggin as Accountant
DIAMOND XPRESS: Hearing on Plan Disclosures To Be Held on Dec. 1
DIRECTBUY HOLDINGS: Seeks Authorization to Use Cash Collateral
DOVER DOWNS: Posts $520,000 Net Earnings for Third Quarter
DRT HEEL: Hires R. Keith Johnson as Bankruptcy Counsel
DUFOUR PASTRY: Seeks to Hire DelBello Donnellan as Legal Counsel
EAST COAST FOODS: Trustee Seeks to Hire Triple Enterprises
EAST COAST FOODS: Trustee Taps Next Idea to Manage Restaurants
EC ABATEMENT: Seeks to Hire John Lehr as Legal Counsel
EJS INCORPORADO: Hires Ruben Gonzalez as Attorney
ELITE RESEARCH: Can Use Wells Fargo Cash Collateral on Final Basis
EMBARQ CORP: S&P Affirms 'BB' Rating on Sr. Unsecured Debt
EMERALD OIL: Plan Filing Deadline Extended Thru Feb. 17
EMPIRE RESORTS: Stockholders Elect Six Directors
EPICENTER PARTNERS: Seeks to Extend Solicitation Period to Jan. 10
ERICKSON INC: Two Directors Resign From Board
ESPLANADE HL: Can Use First Midwest Cash Through Nov. 7
EXCO RESOURCES: Posts $50.9 Million Net Income for Third Quarter
FAIRYTALE DAY CARE: Unsecureds To Get 10% in 24 Months
FAMILY CHIROPRACTIC: Hires Jose Ramos as Accountant
FINTON CONSTRUCTION: Seeks to Employ Kenneth Mueller as Accountant
FIRST WIVES ENTERTAINMENT: Seeks to Hire DiConza as Legal Counsel
FRESH & EASY: Selling Liquor License to Trader Joes for $12K
FUNCTION(X) INC: Amends Form S-1 Resale Prospectus with SEC
GEMINI PROPERTY: Hearing on Plan Outline Set For Nov. 30
GREAT AMERICAN: Case Summary & 20 Largest Unsecured Creditors
GULF CHEMICAL: Unsecureds To Recover 100% Under Plan
GYMBOREE CORP: Moody's Cuts Corporate Family Rating to Caa3
HARBORVIEW TOWERS COUNCIL: Can File Bankr. Plan Thru Nov. 4
HELLBENDER BREWING: Wants to Use EagleBank Cash Collateral
HELLO NEWMAN: Seeks to Hire Rosenberg as Legal Counsel
HERCULES OFFSHORE: Mediation Settlement Disclosed in Amended Plan
III EXPLORATION II: Wants Plan Filing Deadline Extended to Dec. 30
INDIANA FINANCE: S&P Retains Bonds' 'BB-' Rating on Watch Neg.
INNOVATIVE CONSTRUCTION: Hearing on Plan Outline Set For Nov. 29
INTREPID POTASH: Incurs $18.2 Million Net Loss in Third Quarter
ITT EDUCATIONAL: Court Temporarily Halts Regulators' Suits
J TASTE: Disclosures Conditionally OK'd; Hearing Set For Nov. 30
JCHS CORP: First Tennessee to be Paid With 4% Interest in 8.5 Yrs.
KEMET CORP: Incurs $4.99 Million Net Loss in Second Quarter
KEN'S FISH: Seeks to Hire Gary W. Cruickshank as Legal Counsel
KENNETH ARTHURS: U.S. Trustee Tries To Block Disclosures Approval
KIWA BIO-TECH: Jimmy Zhou Quits as CEO and Other Positions
LAS VEGAS JOHN: Seeks Extension of Plan Filing Thru Dec. 1
LATTUCA ENTERPRISES: Taps Steiner & Blotnik as Legal Counsel
LAW-DEN NURSING: Hires Frank Hirsch as Accountants
LAW-DEN NURSING: Hires Jerome & McLean as Labor Relations Counsel
LAWRENCE SCHIFF: Unsecureds To Recoup 25%-35% Under Plan
LEGENDS COLLISION: Case Summary & 20 Largest Unsecured Creditors
LOF ASSOCIATES: Hires Pryor & Mandelup as Bankruptcy Counsel
LUIS MIGUEL CASTILLO: Unsecured to be Paid in Full in 5 Yrs.
MARION AVENUE: Court Extends Exclusivity Periods Thru Jan. 3
MBTI OF PUERTO RICO: Taps Charles A. Cuprill as Legal Counsel
MEMORIAL PRODUCTION: Moody's Cuts Corporate Family Rating to Ca
MEMORIAL PRODUCTION: S&P Lowers CCR to 'CC'; Outlook Negative
METCOM NETWORK: Authorized to Use NFS Leasing Cash Collateral
MODERN SHOE: Has Until Dec. 31 to Obtain Plan Acceptances
MOHAVE AGRARIAN: Tax Creditors To Be Paid in 24 Mos., at 3.5%
MOUNTAIN DIVIDE: Court OKs $450K DIP Loan, Cash Collateral Use
NEW BEGINNINGS: Unsecureds To Recoup 100% Over 60 Months
NEW CAL-NEVA: Creditors' Panel Taps Province as Financial Advisor
NEW ENTERPRISE: RoadSafe Acquires All Assets of PSI Business
NEW GLOBAL: Issues Letter to Shareholders
NEW GLOBAL: Suspending Filing of Reports with SEC
NORTEL NETWORKS: Reaches Stipulations W/CRT & Bulldog Investors
NUMISMATIC SUBS: Asks Court to Move Exclusivity Periods to May 31
OAK RIVER ASSET: Seeks to Hire Yadegar Minoofar as Special Counsel
OAKFABCO INC: Plan Filing Deadline Further Extended to Dec. 31
OATH CORPORATION: Wins Dec. 5 Extension to File Plan
OLD COLD: Plan Filing Deadline Extended Thru March 17 Next Year
OLIVER C&I: Names Carmen Conde Torres as Legal Counsel
PATRICK ADAMS: Asks Court To Approve Plan Outline
PEACH STATE: Seeks to Hire Lamberth Cifelli as Legal Counsel
PICO HOLDINGS: Bloggers Discuss Aborted UCP Debt Issuance
PIONEER ENERGY: Incurs $34.6 Million Net Loss in Third Quarter
POSTROCK ENERGY: Ch. 11 Trustee Taps RSM US as Financial Advisor
POSTROCK ENERGY: Trustee Seeks to Sell TA Wells to Tiger Energy
PRATT WELL: Selling Pratt Property to Quality Well for $185K
PRATT WELL: Selling Wichita Property to PACT for $75K
PRO CONSTRUCTION: Seeks to Hire Hook & Fatovich as Legal Counsel
PRO ENTERPRISES: Seeks to Hire Fresh Start Tax as Accountant
QUINN'S JUNCTION: Allowed to Use Cash Collateral Through Jan. 31
QUINTESS LLC: Hires Shapiro Bieging as Counsel
QUOTIENT LIMITED: Incurs $17.3-Mil. Net Loss in Second Quarter
RENAISSANCE DEVELOPMENT: Hires Shapiro Croland as Counsel
RICHARD BLOCK: Have Until Nov. 13 to File Plan
RONALD HOWLAND: Court Moved Plan Deadline Period to Feb. 16
ROYAL COACHMAN: Seeks to Hire Jerry Moberg as Special Counsel
S-3 PUMP SERVICE: Taps David Volentine as Appraiser
SA INTER INVEST: Can Solicit Plan Acceptances Until Feb. 10
SALADO SMILES: Sale of East West Bank Collateral Approved
SALTY DOG: Secured Non-Priority Claims To Recoup 100% Under Plan
SCOTT SWIMMING: Can Continue Cash Collateral Use Through Nov. 30
SCRIPSAMERICA INC: Seeks to Hire Bederson as Accountant
SIGNAL GENETICS: Signs Merger Agreement with miRagen Therapeutics
SNYDER & SCHNEIDER: Hearing on Plan Outline Set For Jan. 19
SNYDER VIRGINIA: Hearing on Plan Outline Set For Jan. 19
SOUTHERN DESIGN: Case Summary & 5 Unsecured Creditors
SPECTRUM HEALTHCARE: Hires Michalik Bauer as Collections Counsel
STADIUM CHEVRON: Seeks to Hire Donnie Jarreau as Real Estate Agent
SUPERIOR LINEN: Hires Barnett & Associates as Special Counsel
SUZANNE ALESHIRE: Seeks to Pay FactorLaw $10K
SWANN EQUIPMENT: Unsecureds To Recover 35% Under Plan
TAKATA CORP: Readies Bankruptcy Filing for U.S. Unit
TALLAHASSEE INDOOR: Taps Equels Law Firm as Special Counsel
TALLEY ENTERPRISE: Hires Lentz & Little as Attorney
TARGA PIPELINE: Moody's Withdraws Ba3 Senior Secured Notes Rating
TELESAT CANADA: Moody's Confirms B1 Corporate Family Rating
TEMPLE SQUARE: Hires Anthony J. Degirolamo as Counsel
TEMPLE SQUARE: Hires Net Profit Inc. as Financial Advisor
TERRA MILLENNIUM: Moody's Assigns B2 Corporate Family Rating
TO & FRO: Seeks to Hire Deiches & Ferschmann as Legal Counsel
TRANSGENOMIC INC: Granted Continued Listing on Nasdaq Until Dec. 31
TROUBLESOME CREEK: Hires DelCotto as Bankruptcy Attorney
VERTELLUS SPECIALTIES: Closes Sale of Substantially All Assets
VKI VENTURES: Wants Plan Filing Deadline Moved to Jan. 30
WANK ADAMS: Amends Provision on Treatment of Unsecured Claims
WESTMORELAND RESOURCE: Incurs $4.27 Million Net Loss in 3rd Quarter
WONKA HOLDINGS: Seeks to Hire Morrison Tenenbaum as Legal Counsel
[^] BOND PRICING -- For the Week from Oct. 31 to Nov. 4, 2016
*********
3324 N. CLARK: Seeks to Hire Rick Levin as Real Estate Broker
-------------------------------------------------------------
3324 N. Clark Street, LLC seeks approval from the U.S. Bankruptcy
Court for the Northern District of Illinois to hire a real estate
broker.
The Debtor proposes to hire Rick Levin & Associates, Inc. in
connection with the sale of its real property located at 3324 N.
Clark Street, Chicago, Illinois.
Rick Levin & Associates will receive a commission of 2% of the
final bid or offer received for the property. The Debtor will pay
the firm $15,000 if it either cancels or breaches their services
agreement.
Rick Levin, a real estate broker, disclosed in a court filing that
he and his firm do not hold or represent any interest adverse to
that of the Debtor's estate.
The firm can be reached through:
Rick Levin
Rick Levin & Associates, Inc.
980 N. Michigan Avenue, Suite 1400
Chicago, IL 60611
Tel: 312-214-6304
About 3324 N. Clark Street
3324 N. Clark Street, LLC, sought Chapter 11 protection (Bankr.
N.D. Ill. Case No. 16-30934) on Sept. 28, 2016. The petition was
signed by Simone Singer Weissbluth, manager of WMW Investments,
LLC, the manager of the Debtor. The case is assigned to Judge
Donald R. Cassling. The Debtor estimated assets and liabilities at
$1 million to $10 million at the time of the filing.
No trustee, examiner, or official committee of unsecured creditors
has been appointed.
3324 N. CLARK: Seeks to Hire Weissberg as Legal Counsel
-------------------------------------------------------
3324 N. Clark Street, LLC seeks approval from the U.S. Bankruptcy
Court for the Northern District of Illinois to hire legal counsel
in connection with its Chapter 11 case.
The Debtor proposes to hire Weissberg and Associates, Ltd. to give
legal advice regarding its duties under the Bankruptcy Code,
examine claims filed in its case, assist in the preparation of a
bankruptcy plan, and provide other legal services.
Weissberg and Associates will be paid an hourly rate of $450.
Ariel Weissberg, Esq., disclosed in a court filing that his firm
has no interest adverse to that of the Debtor's bankruptcy estate.
The firm can be reached through:
Ariel Weissberg, Esq.
Devvrat Sinha, Esq.
Weissberg and Associates, Ltd.
401 S. LaSalle St., Suite 403
Chicago, Illinois 60605
Tel: 312-663-0004
Fax: 312-663-1514
Email: ariel@weissberglaw.com
About 3324 N. Clark Street
3324 N. Clark Street, LLC, sought Chapter 11 protection (Bankr.
N.D. Ill. Case No. 16-30934) on Sept. 28, 2016. The petition was
signed by Simone Singer Weissbluth, manager of WMW Investments,
LLC, the manager of the Debtor. The case is assigned to Judge
Donald R. Cassling. The Debtor estimated assets and liabilities at
$1 million to $10 million at the time of the filing.
No trustee, examiner, or official committee of unsecured creditors
has been appointed.
397 NORTH WASHINGTON: Seeks to Hire Harlow Adams as Legal Counsel
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397 North Washington Avenue, LLC seeks approval from the U.S.
Bankruptcy Court for the District of Connecticut to hire legal
counsel in connection with its Chapter 11 case.
The Debtor proposes to hire Harlow, Adams & Friedman, P.C. to give
legal advice regarding its duties under the Bankruptcy Code, assist
in the preparation of a bankruptcy plan, and provide other legal
services.
The firm's professionals and their hourly rates are:
Partners $395
Associates $275 - $330
Paralegal $85
Legal Assistant $85
James Nugent, Esq., disclosed in a court filing that his firm is
"disinterested" as defined in section 101(14) of the Bankruptcy
Code.
The firm can be reached through:
James M. Nugent, Esq.
Harlow, Adams & Friedman, P.C.
One New Haven Avenue, Suite 100
Milford, CT 06460
Phone: 203-878-0661
Email: jmn@quidproquo.com
About 397 North Washington Avenue
397 North Washington Avenue, LLC sought protection under Chapter 11
of the Bankruptcy Code (Bankr. D. Conn. Case No. 16-51405) on
October 24, 2016. The petition was signed by Pradieu Pierre-Louis,
manager.
At the time of the filing, the Debtor estimated assets and
liabilities of less than $500,000.
4522 KATELLA: Seeks to Hire InSite Real Estate as Broker
--------------------------------------------------------
4522 Katella Avenue, LLC seeks approval from the U.S. Bankruptcy
Court for the District of Kansas to hire InSite Real Estate Group.
The firm will serve as broker for the sale of two apartment
complexes owned by the Debtor. The properties are located at 928
North Carter and 1212 South Longfellow, Wichita, Kansas.
InSite will get $70,000 of the sales price of the properties as
commission for its services, according to court filings.
The firm can be reached through:
Jake Ramstack
InSite Real Estate Group
608 W. Douglas, Suite 106
Wichita, KS 67203
Phone: 316-618-1100
Fax: 316-618-1140
Email: info@insitere.com
About 4522 Katella Avenue
Long Beach, California-based 4522 Katella Avenue, LLC, was formed
by James Rainboldt and his mother, Lois Rainboldt, in 2002. It
owns three apartment complexes.
The Debtor sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. D. Ks. Case No. 15-12107) on Sept. 25, 2015.
The Debtor estimated $1 million to $10 million in assets and debt.
4522 Katella is represented by David G. Arst, at Arst & Arst, P.A.
ABEER OF FLINT: Gets Approval to Hire George Jacobs as Counsel
--------------------------------------------------------------
Abeer of Flint, Inc. received approval from the U.S. Bankruptcy
Court for the Eastern District of Michigan to hire George Jacobs,
Esq., as legal counsel.
Mr. Jacobs will be paid an hourly rate of $325 for his services,
which include advising the Debtor regarding its duties under the
Bankruptcy Code.
In a court filing, Mr. Jacobs disclosed that he is a "disinterested
person" as defined in section 101(14) of the Bankruptcy Code.
Mr. Jacobs maintains an office at:
George E. Jacobs, Esq.
Bankruptcy Law Offices
2425 S. Linden Road, Suite C
Flint, MI 48532
Phone: (810) 720-4333
Email: george@bklawoffice.com
About Abeer of Flint
Abeer of Flint, Inc. sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. E.D. Mich. Case No. 16-32123) on September
13, 2016. The petition was signed by Amjad Abu Saada, president.
At the time of the filing, the Debtor estimated assets and
liabilities of less than $50,000.
ABIZER RAJ: Unsecureds To Recover 60% Under Plan
------------------------------------------------
Abizer Raj International, LLC, filed with the U.S. Bankruptcy Court
for the Northern District of Texas a disclosure statement dated
Oct. 26, 2016, referring to the Debtor's plan of reorganization.
Class 2 Unsecured Claims are impaired under the Plan. The allowed
claims of unsecured creditors will share pro rata in the unsecured
creditor's pool. The Debtor will pay $1,000 per month for a period
of 60 months into the Unsecured Creditors Pool. The Unsecured
Creditors will be paid quarterly on the last day of each calender
quarter. Payments to the Unsecured Creditors will commence on the
last day of the first full calender quarter after the Effective
Date. Based upon the Debtor's schedules, the Class 2 Claims will
be approximately $100,000. The recovery to unsecured creditors is
estimated to be 60%.
Debtor anticipates using the on-going business income of the Debtor
to fund the Plan. All payments under the Plan will be made through
a disbursing agent.
The Disclosure Statement is available at:
http://bankrupt.com/misc/txnb16-31902-11-26.pdf
Abizer Raj International, LLC, operates two beauty salons in
Irving, Texas. The Debtor had expanded its operations to
distribute beauty products. As part of this expansion the Debtor
rented a warehouse property and took out unsecured loans to
purchase product.
The Debtor filed for Chapter 11 bankruptcy protection (Bankr. N.D.
Tex. Case No. 16-31902) on May 6, 2016, estimating its assets at up
to $50,000 and liabilities at between $50,001 and $100,000. Eric
A. Liepins, Esq., at Eric A. Liepins, P.C., serves as the Debtor's
bankruptcy counsel.
ACP-OFFENBACHERS LLC: Seeks to Hire Shapiro Sher as Legal Counsel
-----------------------------------------------------------------
ACP-Offenbachers, LLC seeks approval from the U.S. Bankruptcy Court
for the District of Maryland to hire legal counsel in connection
with its Chapter 11 case.
The Debtor proposes to hire Shapiro Sher Guinot & Sandler to give
legal advice regarding the administration of its case, assist in
the preparation of its bankruptcy plan, and provide other legal
services.
The hourly rates charged by the firm range from $450 to $605 for
partners, $285 to $440 for associates, and $220 to $240 for
paralegals.
Joel Sher, Esq., at Shapiro, disclosed in a court filing that the
firm is a "disinterested person" as defined in section 101(14) of
the Bankruptcy Code.
The firm can be reached through:
Joel I. Sher, Esq.
Shapiro Sher Guinot & Sandler
250 W. Pratt Street, Suite 2000
Baltimore, MD 21201
Tel: 410-385-4277
Fax: 410-539-7611
Email: jis@shapirosher.com
About ACP-Offenbachers
ACP-Offenbachers, LLC t/a Offenbachers filed a chapter 11 petition
(Bankr. D. Md. Case No. 16-24106) on Oct. 24, 2016. The petition
was signed by Boyd Lipham, chief executive officer. The case is
assigned to David E. Rice. The Debtor estimated assets and
liabilities at $1 million to $10 million at the time of the filing.
ALAN DUNCAN PROPERTIES: Hearing on Disclosures Set For Jan. 19
--------------------------------------------------------------
The Hon. Rebecca B. Connelly of the U.S. Bankruptcy Court for the
Western District of Virginia has scheduled for Jan. 19, 2017, at
2:00 p.m. Alan/Duncan Properties' disclosure statement dated Oct.
24, 2016, referring to the Debtor's plan of reorganization.
Objections to the approval of the Disclosure Statement must be
filed by Jan. 12, 2017.
Jan. 19, 2017, is fixed as the last date for the filing of proof of
claims.
About Alan/Duncan Properties
Alan/Duncan Properties, based in Mineral, Virginia, filed a Chapter
11 petition (Bankr. W.D. Va. Case No. 16-61360) on July 6, 2016.
The Hon. Rebecca B. Connelly presides over the case. Edward
Gonzalez, Esq., at Law Office of Edward Gonzalez, P.C., as
bankruptcy counsel.
At the time of filing, the Debtor estimated $0 to $50,000 in assets
and $10 million to $50 million in liabilities. The petition was
signed by Jeff Snyder, manager.
ALI SABERIOON: Seeks Exclusivity Extension Thru Jan. 31 Next Year
-----------------------------------------------------------------
Ali Saberioon seeks an extension of his Exclusive Periods to file a
plan and solicit acceptances for that plan through and including
January 31, 2017.
The Debtor's current exclusive periods expired on Nov. 2, 2016.
The Debtor asserts that cause exists to grant his Exclusivity
Extension Motion. While this case is not large or complex by
commercial bankruptcy standards, it is an individual chapter 11
case involving unique and substantial legal and factual disputes,
the Debtor maintains. The Debtor adds that it has made significant
progress towards reorganization since the Petition Date
The Debtor has filed a Plan and Disclosure Statement. Moreover, it
has worked diligently and in cooperation with the major secured
creditors in the case to attempt to obtain a consensual
confirmation of a plan. The parties have made substantial progress,
but a final agreement remains elusive, the Debtor reveals.
Mediation between these parties is scheduled
for November 10, 2016.
The Debtor avers that the requested extension, through January 31,
2017, will allow adequate time for him to complete a plan process
following the mediation.
About Ali Saberioon
Ali A. Saberioon is an individual residing in Houston, Harris
County, Texas. He is a petroleum engineer, and has been
successfully engaged in the oil and gas industry for over 30 years.
The Debtor owns interests in several oil and gas companies,
including Alvand Interests, LLC, Sabco Energy, LLC, Sabco
Enterprises, Inc., Sabco Oil, LLC, Sabco, LLC, and Saberioon &
Ramesh Holdings Company.
The Debtor filed for Chapter 11 bankruptcy protection (Bankr. S.D.
Tex. Case No. 15-35160).
This case started when an involuntary petition under Chapter 7 of
Title 11 of the U.S. Code was filed on Oct. 2, 2015. The original
petitioning creditors include Green Bank, N.A., Texas Capital Bank,
N.A., and Mostafa Alavi. The Bank of River Oaks later joined as a
petitioning creditor. The Debtor was represented as an alleged
debtor by Matthew Okin and George Nino of Okin & Adams, LLC.
William West was appointed as an examiner after the Petition Date.
An agreed court order on the motion for entry of and court order
for relief was entered on May 5, 2016. Thereafter, the Debtor
moved to convert the case to one under Chapter 11. On May 6,
2016, the Court entered its order converting the case to one under
Chapter 11. The Debtor remains a debtor-in-possession.
Kell C. Mercer, Esq., of Kell C. Mercer, P.C., represents the
Debtor.
ALLY FINANCIAL: Posts $209 Million Net Income for Third Quarter
---------------------------------------------------------------
Ally Financial Inc. filed with the Securities and Exchange
Commission its quarterly report on Form 10-Q disclosing net income
of $209 million on $1.38 billion of total net revenue for the three
months ended Sept. 30, 2016, compared to net income of $268 million
on $1.30 billion of total net revenue for the same period in 2015.
For the nine months ended Sept. 30, 2016, the Company reported net
income of $819 million on $4.06 billion of total net revenue
compared to net income of $1.02 billion on $3.52 billion of total
net revenue for the nine months ended Sept. 30, 2015.
As of Sept. 30, 2016, Ally Financial had $157.4 billion in total
assets, $143.8 billion in total liabilities and $13.63 billion in
total equity.
Net cash provided by operating activities was $3.6 billion for the
nine months ended Sept. 30, 2016, compared to $4.0 billion for the
same period in 2015. The change was primarily a result of a $0.5
billion increase of cash outflows from other assets and a $0.4
billion decrease in loss on extinguishment of debt. This was
partially offset by a $0.5 billion gain on sale of subsidiaries in
2015.
Net cash used in investing activities was $2.8 billion for the nine
months ended Sept. 30, 2016, compared to $7.0 billion for the same
period in 2015. The change was a result of an increase in net cash
inflows from purchases, sales, maturities and repayment of
available-for-sale securities of $2.4 billion. Also contributing
to the change was an increase in proceeds from sales of finance
receivables and loans of $2.4 billion and an increase in net cash
inflows from operating lease activity of $1.8 billion. This was
partially offset by $1.0 billion in proceeds from the sale of a
business unit in 2015, purchases of $0.7 billion of held-to
maturity securities, an increase of $0.4 billion in net cash used
due to the purchase of nonmarketable equity investments, and $0.3
billion due to the acquisition of TradeKing.
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/uZh4li
About Ally Financial
Ally Financial Inc., formerly GMAC Inc. -- http://www.ally.com/--
is one of the world's largest automotive financial services
companies. The Company offers a full suite of automotive
financing products and services in key markets around the world.
Ally's other business units include mortgage operations and
commercial finance, and the company's subsidiary, Ally Bank,
offers online retail banking products. Ally operates as a bank
holding company.
GMAC obtained a $17 billion bailout from the U.S. government in
exchange for a 56.3 percent stake. Private equity firm Cerberus
Capital Management LP keeps 14.9 percent, while General Motors Co.
owns 6.7 percent.
Ally reported net income of $1.28 billion on $4.86 billion of total
net revenue for the year ended Dec. 31, 2015, compared to net
income of $1.15 billion on $4.65 billion of total net revenue for
the year ended Dec. 31, 2014.
* * *
As reported by the TCR on Dec. 16, 2013, Standard & Poor's Ratings
Services said it raised its issuer credit rating on Ally Financial
Inc. to 'BB' from 'B+'. "The upgrade reflects the company's
release from potential legal and financial liabilities stemming
from its ownership of ResCap," said Standard & Poor's credit
analyst Tom Connell.
In the April 3, 2014, edition of the TCR, Fitch Ratings has
upgraded Ally Financial Inc.'s long-term Issuer Default Rating
(IDR) and senior unsecured debt rating to 'BB+' from 'BB'.
The rating upgrade reflects increased clarity around Ally's
ownership structure given Ally's recent announcement that it has
launched an initial public offering those shares of its common
stock held by the U.S. Treasury (the Treasury).
As reported by the TCR on July 16, 2014, Moody's Investors Service
affirmed the 'Ba3' corporate family and 'B1' senior unsecured
ratings of Ally Financial, Inc. and revised the outlook for the
ratings to positive from stable. Moody's affirmed Ally's ratings
and revised its rating outlook to positive based on the company's
progress toward sustained improvements in profitability and
repayment of government assistance received during the financial
crisis.
AMERICAN AXLE: Moody's Puts Ba3 CFR Under Review For Downgrade
--------------------------------------------------------------
Moody's Investors Service placed the ratings of American Axle &
Manufacturing Holdings, Inc.'s, including its Ba3 Corporate Family
and Ba3-PD Probability of Default ratings, under review for
downgrade following the announcement that American Axle has entered
into a definitive agreement with Metaldyne Performance Group Inc.
("MPG") under which American Axle will acquire all outstanding
shares of MPG for $1.6 billion. American Axle's Speculative Grade
Liquidity Rating is affirmed at SGL-2.
Ratings placed on review for downgrade:
American Axle & Manufacturing Holdings, Inc.:
-- Ba3 Corporate Family Rating;
-- Ba3-PD Probability of Default Rating.
American Axle & Manufacturing, Inc.:
-- B1 (LGD4) rating for the $200 million senior unsecured notes
due 2019;
-- B1 (LGD4) rating for the $550 million senior unsecured notes
due 2022;
-- B1 (LGD4) rating for the $400 million senior unsecured notes
due 2021;
-- B1 (LGD4) rating for the $200 million senior unsecured notes
due 2019.
Ratings affirmed:
American Axle & Manufacturing Holdings, Inc.:
-- Speculative Grade Liquidity Rating, at SGL-2
RATINGS RATIONALE
According to the company's announcement, American axle will acquire
all outstanding shares of MPG in a cash and stock transaction
valued at approximately US$1.6 billion, and will repay
approximately $1.7 billion of debt at MPG. The transaction
represents about a 7.7x multiple of MPG's EBITDA for the 12 months
ended September 30, 2016, before any synergies. The agreement has
been unanimously approved by American Axle's and MPG's Board of
Directors. The closing of the transaction is subject to certain
conditions, including approval of the American Axle's and MPG
stockholders, receipt of regulatory approvals and other customary
closing conditions. The transaction is expected to close in the
first half of 2017.
The announcement also states that the cash portion of the
transaction will be financed through a committed financing and cash
on hand. On a pro forma basis, we estimate American Axle's
debt/EBITDA to increase to about 3.9x (inclusive of Moody's
standard adjustments) from 2.6 times as of September 30, 2016. Yet,
the transaction is expected to bring several positives including
increased scale, and higher levels of customer, geographic, and
industry diversity. The review will consider the final capital
structure at the merged entity, the combined operational
performance, integration risks, potential synergies, the prospects
of global plateauing of automotive demand, declining demand for
commercial vehicles in North America, and our negative outlook for
the North American manufacturing sector. The downward pressure on
American Axle's Corporate Family rating is not expected to result
in a more-than a one notch downgrade.
The principal methodology used in these ratings was Global
Automotive Supplier Industry published in June 2016.
MPG is a leading provider of highly-engineered lightweight
components for use in powertrain and suspension applications for
the global light, commercial and industrial vehicle markets. MPG
produces these components and modules using complex metal-forming
manufacturing technologies and processes for a global customer base
of vehicle OEMs and Tier I suppliers. MPG has a global footprint
spanning more than 60 locations in 13 countries across North
America, South America, Europe and Asia with approximately 12,000
employees.
American Axle & Manufacturing, Inc., headquartered in Detroit, MI,
manufactures, designs, engineers and validates driveline systems
and related components and modules, chassis systems for light
trucks, SUV's, CUV's, passenger cars, and commercial vehicles. The
company has locations in the USA, Mexico, Brazil, China, Germany,
India, Japan, Luxembourg, Poland, Scotland, South Korea, Sweden and
Thailand. The company reported revenues of $3.9 billion for the LTM
period ending September 30, 2016.
AMERICAN GILSONITE: Seeks to Hire Epiq as Claims Agent
------------------------------------------------------
American Gilsonite Company seeks approval from the U.S. Bankruptcy
Court for the District of Delaware to hire Epiq Bankruptcy
Solutions, LLC as its claims and noticing agent.
The services to be provided by the firm include overseeing the
distribution of notices, and the processing and docketing of proofs
of claim filed in the Chapter 11 cases of American Gilsonite and
its affiliates.
The firm's professionals and their hourly rates are:
Clerical/Admin Support $25 - $45
Case Manager $70 - $165
IT/Programming $65 - $85
Consultant/Director $160 - $190
Solicitation Consultant $190
Executive VP, Solicitation $215
Executives No Charge
Brian Karpuk, a director of Epiq, disclosed in a court filing that
the firm is a "disinterested person" as defined in section 101(14)
of the Bankruptcy Code.
The firm can be reached through:
Brian Karpuk
Epiq Bankruptcy Solutions, LLC
824 N. Market Street, Suite 412
Wilmington, DE 19801
Tel: +1 302-574-2600
About American Gilsonite Company
American Gilsonite Company -- http://www.americangilsonite.com/--
operates as an industrial minerals company and is the world's
primary miner and processor of uintaite, a variety of asphaltite, a
specialty hydrocarbon which AGC markets to industrial customers
under its registered trademark name "Gilsonite". Gilsonite is a
glossy, black, solid naturally occurring hydrocarbon similar in
appearance to hard asphalt and is believed to be found in
commercial quantities only in the Uinta Basin in northeastern Utah.
AGC is a privately held, portfolio company of Palladium Equity
Partners III, L.P.
American Gilsonite Holding Company aka American Gilsonite, American
Gilsonite Company, Lexco Acquisition Corp., Lexco Holding, LLC, and
DPC Products, Inc., filed Chapter 11 petitions (Bankr. D. Del. Case
No.s 16-12315 to 16-12319) on Oct. 24, 2016. The petitions were
signed by Steven A. Granda, vice president, chief financial
officer.
American Gilsonite estimated assets and debt at $100 million to
$500 million at the time of the filing.
The Debtors are represented by their local counsel Mark D. Collins,
Esq., John H. Knight, Esq., Amanda R. Steele, Esq., and Andrew M.
Dean, Esq., at Richards, Layton & Finger, P.A., and their general
counsel Matthew S. Barr, Esq. and Sunny Singh, Esq., at Weil,
Gotshal & Manges LLP. The Debtors retained Evercore Group L.L.C.
as their financing advisor, and FTI Consulting, Inc. as their
restructuring advisor.
APPROACH RESOURCES: S&P Lowers CCR to 'CC'; Outlook Negative
------------------------------------------------------------
S&P Global Ratings lowered its corporate credit rating on Approach
Resources Inc. to 'CC' from 'CCC+'. The outlook is negative.
S&P also lowered the issue-level rating company's senior unsecured
notes maturing in 2021 to 'CC' from 'CCC'. The recovery rating is
'5', indicating S&P's expectation of modest (10% to 30%, upper half
of the range) recovery in the event of default.
"The downgrade follows Approach's announcement that it has entered
into a negotiated exchange agreement with Wilks Brothers LLC and
SDW Investments LLC, entities owned by the Wilks Family Office,
based in Cisco, Texas," said S&P Global Ratings credit analyst
David Lagasse.
The agreement will result in the exchange of $130,552,000 principal
amount of senior notes due 2021 for 39,165,600 new shares of common
stock, representing an exchange ratio of 300 shares of common stock
per $1,000 principal amount of senior notes. S&P views this
transaction as a distressed exchange because at the close of the
transaction investors will receive less that what was originally
promised on the original securities and the ranking is altered to
more junior in the capital structure.
The outlook is negative. Once the transaction has closed, S&P
expects to lower the corporate credit rating to 'SD' (selective
default) and the issue-level rating on the second-lien notes to
'D'. S&P would then review the ratings based on the new capital
structure and consider an upgrade when there is more certainty that
the company is no longer pursuing exchanges.
AQGEN LIBERTY: Moody's Confirms B2 Corporate Family Rating
----------------------------------------------------------
Moody's Investors Service confirmed the B2 corporate family rating
of AqGen Liberty Holdings LLC and changed the outlook to stable
following the sale of wholly-owned subsidiary AssetMark Financial
Holdings, Inc. ("AssetMark") to Chinese securities firm Huatai
Securities Co., Ltd. ("HTSC", Ticker: 6886.HK) on 31 October. The
B2 ratings on the senior secured first lien term loan and senior
secured revolving credit facility of co-borrowers AqGen Liberty
Management I and AqGen Liberty Management II were also confirmed
with a stable outlook.
RATINGS RATIONALE
In April, Moody's placed the ratings of AqGen Liberty on review for
downgrade following the announcement that HTSC entered into a
conditional agreement to acquire AssetMark from private equity
sponsors Aquiline Capital and Genstar Capital. The review for
downgrade reflected Moody's view of the potential risk of the
transaction failing to close due to high cross-border regulatory
hurdles or organic business decay resulting from a decline in
assets under management. As the transaction closed on 31 October
2016, this risk no longer exists.
Proceeds from the sale of AssetMark will be used to retire $225
million of senior secured bank debt. Following the full repayment
and termination of the credit facilities, Moody's will withdraw all
ratings associated with AqGen Liberty Holdings LLC and subsidiaries
AqGen Liberty Management I and AqGen Liberty Management II.
The following ratings were confirmed with a stable outlook, and
will be withdrawn upon the defeasance of all outstanding debt:
AqGen Liberty Holdings LLC:
-- Corporate Family Rating -- B2
AqGen Liberty Management I and AqGen Liberty Management II, as
co-borrowers:
-- $230 million senior secured term loan -- B2
-- $25 million senior secured revolving credit facility -- B2
The principal methodology used in these ratings was Asset Managers:
Traditional and Alternative published in December 2015.
AQGEN LIBERTY: S&P Raises Rating to 'B+', Off CreditWatch Pos.
--------------------------------------------------------------
S&P Global Ratings said that it raised its issuer ratings on AqGen
Liberty Management I (Altegris) to 'B+' from 'B' and its ratings on
AqGen Liberty Management II (AssetMark) to 'BB-' from 'B'. At the
same time, S&P removed the ratings from CreditWatch with positive
implications, where S&P initially placed them April 11, 2016. The
outlook is stable. S&P is subsequently withdrawing both the issuer
and issue-level ratings at the companies' request because the debt
has been repaid.
"The upgrade of both companies was driven by the repayment of the
senior secured credit facility following the close of the
acquisition of AssetMark by Huatai Securities Co. Ltd., a Chinese
firm that provides financial services, including securities
brokerage, investment banking, asset management, and consulting
services," said S&P Global Ratings credit analyst Brian Estiz.
ARMADA WATER: Selling Ector County Property for $250K
-----------------------------------------------------
Armada Water Assets, Inc., and affiliates ask the U.S. Bankruptcy
Court for the Southern District of Texas to authorize Wes-Tex
Vacuum Service, Inc.'s sale of real property of the estate located
near Odessa, in Ector County, Texas, to Wildcat RE, Inc., for an
aggregate all-cash purchase price of $250,000.
A hearing on the Motion is set for Nov. 28, 2016 at 1:45 p.m.
The property consists of a tract of land owned by debtor Wes-Tex
near Odessa, in Ector County, Texas, together with all rights and
interests appurtenant thereto, including all of Wes-Tex's right,
title, and interest in and to any and all water rights, adjacent
roads, minerals, streets, alleys, easements, rights of way and
appurtenances; any and all site plans, soil and substrata studies,
architectural drawings, plans and specifications and engineering
and environmental reports in Wes-Tex's possession; and any and all
development rights, permits, licenses or other appraisals regarding
the same; and any and all improvements located on the foregoing, as
applicable. The real property comprises roughly five acres and
includes an office building, temporary housing for truckers, and a
trucking repair shop and yard.
Wes-Tex used the property before the Petition Date to operate its
business of providing water transportation, treatment and related
services in Texas, but suspended its operations pending the
infusion of new capital. Due in part to the unlikelihood of
receiving such new capital, the Debtors determined in a sound
exercise of their business judgment that the property is not
necessary to (and will not aid) a successful reorganization -
except through liquidation. None of the trucks that Wes-Tex
maintained at its Odessa facility remain.
Mr. Breen, the Debtors' CRO, contacted potential brokers and
reviewed public information to assure the price eventually
negotiated would be reasonable. The Buyer and the Debtor's CRO
negotiated for several weeks on the price and arrived at the terms
of the Purchase Agreement after arms-length negotiations.
Based on his informed business judgment regarding the pace of
industrial real property sales in the Odessa area, initial asking
prices, and avoided costs and discounts, Mr. Breen believes that
the Purchase Agreement reflects as good a result as the Debtors
will likely achieve within a reasonable time-frame.
The material terms of the Purchase Agreement are:
a. Purchase Price: The Buyer will pay Wes-Tex an aggregate
all-cash purchase price of $250,000 for the property. Ten percent
of the purchase price has been paid as Earnest Money, with the
remainder being payable on the Closing Date. No commission or
similar fee is payable to any broker or other third party.
b. Sale of Property Free and Clear: Wes-Tex will transfer to
the Buyer by general warranty deed, and the Buyer will accept and
acquire, all of Wes-Tex's right, title and interest in and to the
property, free and clear of interests.
c. No Contingencies; Prompt Closing: The Buyer's obligation to
close is not subject to any contingencies. The proposed order
approving the Sale waives the 14-day stay imposed by Bankruptcy
Rule 6004(h). Time being of the essence, the Buyer requires the
Closing Date to occur promptly, and in no event later than 21 days
after entry of such order.
d. Cooperation and Further Assurances: The Debtors will
cooperate with the Buyer to effectuate the consummation of the
Sale, including facilitating the conveyance to the Buyer of certain
personal property of third parties situated in or on the property
by paying up to $2,000 in the aggregate to satisfy claims asserted
against or relating to such personal property.
A copy of the Purchase Agreement attached to the Motion is
available for free at:
http://bankrupt.com/misc/Armada_Water_267_Sales.pdf
The Debtors request that the Court approve the proposed sale of the
property under the terms of the Purchase Agreement, free and clear
of all interests.
The Debtors submit that cause exists to waive the 14-day stay, as
time is of the essence to the Buyer, and accordingly request that
the proposed order approving the sale be made immediately effective
by providing that the 14-day stay is waived.
The Purchaser:
WILDCAT RE, LLC
P.O. Box 455
Stigler, OK 74462
Telephone: (918) 694-3390
Attn: Barry Hamlin
The Purchaser's counsel:
Travis H. Langdon, Esq.
LYNCH CHAPPELL & ALSUP PC
300 N. Marienfeld, Suite 700
Midland, TX 79701
Telephone: (432) 688-1348
About Armada Water Assets
Armada Water Assets, Inc., and its affiliates sought protection
under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Lead
Case
No. 16-60056) on May 23, 2016. The petitions were signed by Tom
Breen, chief restructuring officer.
The cases are pending joint administration before Judge David R.
Jones under proposed Lead Case No. 16-60056.
The Debtors estimated assets and liabilities in the range of $10
million to $50 million.
The U.S. Trustee for the Southern District of Texas, on Aug. 18,
2016, appointed two creditors of Armada Water Assets, Inc., et al.,
to serve on the official committee of unsecured creditors. The
committee members are: Pac-Van, Inc., and M & M Excavation Inc.
ASSOCIATED MATERIALS: S&P Affirms 'B-' CCR on Refinancing
---------------------------------------------------------
S&P Global Ratings said it affirmed its 'B-' corporate credit
rating on Associated Materials LLC and revised its rating outlook
on the company to stable from negative.
At the same time, S&P assigned its 'B-' issue-level rating and '4'
recovery rating to the company's proposed $675 million senior
secured notes. The '4' recovery rating indicates S&P's expectation
for average (30% to 50%; higher half of the range) recovery in the
event of a default. The ratings are subject to final documentation
and issuance. Associated Materials LLC, AMH New Finance Inc. and
Associated Materials Group Inc. are the issuers on the debt.
"Our outlook revision to stable from negative reflects the fact
that we believe the capital structure is sustainable following the
refinancing of debt, because the new facility will mature in 2024,"
said S&P Global Ratings credit analyst Kimberly Garen. "In
addition, we believe there are no liquidity constraints over the
next 12 months. We expect the company to maintain total leverage
(including the convertible preferred equity instrument) of between
9x and 10x, which are commensurate with a highly leveraged
financial risk profile."
A downgrade is unlikely within the next 12 months because S&P has
been seeing industry improvement, which it expects to continue
throughout 2017. S&P could lower the rating if liquidity
deteriorates significantly, such that excess availability on the
ABL facility approaches $15 million, whereby the company's
fixed-charge covenant will be tested.
In S&P's opinion, an upgrade is unlikely over the next 12 months.
However, S&P could consider this if the company's leverage
improved, trending toward 5x due to new home construction and
repair and remodeling spending being much greater than S&P expects.
This could occur if the company's gross margins were to increase
more than 800 basis points from current levels.
AUSPICIOUS INC: Seeks to Hire Ronald Cutler as Legal Counsel
------------------------------------------------------------
Auspicious, Inc. seeks approval from the U.S. Bankruptcy Court for
the Middle District of Florida to hire legal counsel.
The Debtor proposes to hire Ronald Cutler P.A. to give advice
regarding its duties under the Bankruptcy Code and provide other
legal services related to its Chapter 11 case.
Ronald Cutler, Esq., will be paid an hourly rate of $350 for his
services.
The firm does not represent any interest adverse to the Debtor or
its bankruptcy estate, according to court filings.
The firm can be reached through:
Ronald Cutler, Esq.
Ronald Cutler P.A.
1162 Pelican Bay Drive
Daytona Beach, FL 32119-1381
Phone: (386) 788-4480
Email: thelawoffice@ronaldcutlerpa.com
Email: bankruptcy@ronaldcutlerpa.com
About Auspicious Inc.
Auspicious, Inc., sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. M.D. Fla. Case No. 16-05968) on September
7, 2016. The petition was signed by Michael Lawler, president.
At the time of the filing, the Debtor estimated assets and
liabilities of less than $1 million.
AVAGO TECHNOLOGIES: Moody's Affirms Ba1 Corporate Family Rating
---------------------------------------------------------------
Moody's Investors Service affirmed Avago Technologies Cayman
Finance Ltd.'s ("Avago Cayman") ratings, including the Ba1
Corporate Family Rating ("CFR") and Senior Secured Credit
Facilities rating, the Ba1-PD Probability of Default Rating
("PDR"), and the SGL-1 Speculative Grade Liquidity ("SGL") rating.
Avago Cayman's rating outlook remains positive.
The rating action follows the announcement that Avago Cayman's
parent, Broadcom Ltd., has agreed to acquire Brocade Communications
Systems, Inc. ("Brocade") for $12.75 per share or about $5.5
billion in an all-cash transaction. Closing is expected in the
second half of Avago Cayman's fiscal year, which ends approximately
October 31st.
The acquisition of Brocade is credit negative because the increase
in debt used to fund the acquisition will increase Avago Cayman's
leverage to about 3x debt to EBITDA (Moody's adjusted, proforma),
which Moody's believes will delay by several quarters Avago
Cayman's deleveraging to below 2.5x debt to EBITDA (Moody's
adjusted), which is the level Moody's believes is appropriate for
an investment grade rating. The acquisition does provide strategic
benefits, as Brocade's fibre channel switching hardware and
software complements Avago Cayman's existing fibre channel storage
connectivity products, providing Avago Cayman with a more complete
product line for the enterprise storage market. Avago Cayman
intends to divest Brocade's IP Networking business, since this
business does not fit with Avago Cayman's broader strategy.
RATINGS RATIONALE
Avago Cayman's Ba1 CFR reflects the company's considerable scale in
revenues and research and development and leading market positions
in several product areas, including RF filters for smartphones and
connectivity chipsets. Moreover, the diversified end markets, with
a broad portfolio of products serving the wireless communications,
wireless infrastructure, enterprise storage and industrial end
markets, and the fab-lite operating model provides stability to
revenue and free cash flow over time.
The rating is constrained by the moderate leverage of about 3x debt
to EBITDA (Moody's adjusted, proforma) expected at closing of the
Brocade acquisition and the execution risks in integrating Brocade.
Moreover, Moody's anticipates that the debt capital structure will
continue to be comprised primarily of secured debt, which limits
financial flexibility.
The positive outlook reflects Moody's expectation that Moody's will
see clear evidence of Avago Cayman's successful integration of the
Legacy Avago and Broadcom businesses without material business
disruption. Moreover, Moody's expects that Avago Cayman will
prioritize debt reduction and will achieve most of the anticipated
cost synergies of the acquisition. Based on this, Moody's expects
that leverage will improve following closing in late fiscal 2017,
with debt to EBITDA (Moody's adjusted) declining to toward 2.5x by
the middle of calendar year 2018.
The ratings could be upgraded if the company demonstrates clear
evidence of a successful integration and sustains leverage of
around 2.5x debt to EBITDA (Moody's adjusted). The ratings could be
pressured if the integration leads to material operational
disruption. Moreover, if Avago Cayman engages in
shareholder-friendly actions or further acquisitions prior to
meaningful debt reduction such that Moody's expects leverage to
remain above 3.5x debt to EBITDA (Moody's adjusted), the rating
could be downgraded.
The Ba1 senior secured rating of the Senior Secured Term Loan A,
Senior Secured Term Loan B, and the Senior Secured Revolver, at the
same level as the CFR, reflects Avago Cayman's largely secured debt
capital structure.
The SGL rating of SGL-1 reflects Avago Cayman's very good
liquidity. This liquidity includes a cash balance that we expect to
be maintained above $1 billion, solid free cash flow, which we
expect to exceed $2.5 billion over the next year, and nearly full
availability under the $500 million Senior Secured Revolver due
February 2021.
Ratings Affirmed:
Issuer: Avago Technologies Cayman Finance Ltd.
-- Corporate Family Rating, Ba1
-- Probability of Default Rating, Ba1-PD
-- Speculative Grade Liquidity Rating, SGL-1
-- Senior Secured Bank Credit Facility (Foreign Currency)
(Revolver), Ba1, LGD3
-- Senior Secured Bank Credit Facility (Foreign Currency) (Term
Loan A), Ba1, LGD3
-- Senior Secured Bank Credit Facility (Foreign Currency) (Term
Loan B3), Ba1, LGD3
Outlook Actions:
Issuer: Avago Technologies Cayman Finance Ltd.
-- Outlook, positive
Ratings Withdrawn:
Issuer: Avago Technologies Cayman Finance Ltd.
-- Senior Secured Bank Credit Facility (Foreign Currency) (Term
Loan B1), Ba1, LGD3
-- Senior Secured Bank Credit Facility (Foreign Currency) (Term
Loan B2), Ba1, LGD3
Avago Technologies Cayman Finance Ltd. ("Avago Cayman"),
co-headquartered in San Jose, California and Singapore, designs,
develops, manufactures and sells a broad array of
analog/mixed-signal semiconductor components for wireless
communications, storage, wired infrastructure, and industrial and
automotive electronics. Brocade Communications Systems, Inc.
("Brocade"), based in San Jose, California, is a leading provider
of storage area network equipment and a niche provider of data area
network equipment.
The principal methodology used in these ratings was Semiconductor
Industry Methodology published in December 2015.
AXALTA COATING: S&P Affirms 'BB' Corporate Credit Rating
--------------------------------------------------------
Axalta Coating Systems Dutch Holding B B.V. has used recent
refinancing proceeds to pay down its euro-denominated senior
secured notes and a portion of its euro-denominated term loan. They
have also voluntarily paid down $150 million of its U.S. dollar
term loan.
As a result of these repayments, S&P Global Ratings announced that
it has raised the company's senior secured issue-level ratings to
'BBB-' from 'BB+' and revised its recovery rating on Axalta's
secured debt to '1' from '2.' The '1' recovery indicates S&P's
expectation of very high recovery (90% to 100%) in the event of
payment default. The issue-level and recovery ratings on the
company's unsecured debt remain at 'B+' and '6,' respectively.
The ratings on Axalta, including the 'BB' corporate credit rating,
are unchanged. The outlook is stable. The rating reflects S&P's
assessment of the business risk profile as satisfactory and
financial risk profile as aggressive, resulting in an anchor rating
of 'bb'. Modifiers do not affect the rating.
RECOVERY ANALYIS
Key Analytical Factors
-- S&P completed a recovery review on Axalta. S&P revised the
recovery rating on Axalta's secured debt to '1' from '2.'
The '1' recovery indicates S&P's expectation for very high
recovery (90% to 100%) in the event of payment default. At
the same time, S&P raised the company's secured issue-level
ratings to 'BBB-' from 'BB+.' The issue-level and recovery
ratings on the unsecured notes remain at 'B+' and '6,'
respectively. The '6' recovery indicates S&P's expectation
for negligible recovery (0% to 10%) in the event of payment
default. S&P continues to value the company on a going-
concern basis using a 5.5x multiple of S&P's projected
emergence EBITDA.
-- S&P continues to use $500 million as the company's EBITDA at
emergence value. S&P estimates that for Axalta to default,
EBITDA would need to decline significantly, representing a
material deterioration from the current state of the
business.
Simulated default assumptions:
-- Year of default: 2021
-- EBITDA at emergence: $500 million
-- Implied enterprise value multiple: 5.5x
Simplified waterfall:
-- Net recovery value* (after 7% administrative costs):
$2.6 billion
-- Valuation split in % (obligor/nonobligors): 97/3
-- Collateral for secured creditors: $2.2 billion
-- First-lien claims: $2.2 billion
-- Recovery expectation: 90%-100%
-- Residual for unsecured claims: $75 million
-- Senior unsecured claims: $1.5 billion
-- Recovery expectation: 0%-10%
*All debt amounts at default include six months accrued
pre-petition interest. Collateral value equals an asset pledge
from obligors less priority claims plus equity pledge from
nonobligors after nonobligor debt.
RATINGS LIST
Axalta Coating Systems Dutch Holding B B.V.
Corporate Credit Rating BB/Stable/--
Issue-Level Ratings Raised; Recovery Ratings Revised
Axalta Coating Systems Dutch Holding B B.V.
Axalta Coating Systems U.S. Holdings Inc.
To From
Senior Secured BBB- BB+
Recovery Rating 1 2L
Issue-Level And Recovery Ratings Unchanged
Axalta Coating Systems Dutch Holding B B.V.
Axalta Coating Systems U.S. Holdings Inc.
Senior Unsecured B+
Recovery Rating 6
Axalta Coating Systems LLCAxalta Coating Systems Dutch Holding B
B.V.
Senior Unsecured B+
Recovery Rating 6
AYTU BIOSCIENCE: Closes Offering of $8.6 Million Common Shares
--------------------------------------------------------------
Aytu BioScience, Inc., announced the closing of its underwritten
public offering of 5,735,000 shares of its common stock and
warrants to purchase up to an aggregate of 6,020,245 shares of its
common stock at a combined public offering price of $1.50 per share
and related warrant, including 285,245 warrants sold pursuant to
the partial exercise of the underwriters' over-allotment option at
a per warrant purchase price of $0.01.
Joseph Gunnar & Co., LLC and Feltl and Company acted as joint
book-running managers for the offering and Fordham Financial
Management, Inc. acted as lead manager for the offering.
The company intends to use the net proceeds from the offering to
fund the final upfront payment to Acerus Pharmaceuticals under the
license and supply agreement entered into on April 22, 2016, to
acquire exclusive rights to Natesto; further commercialize Natesto,
ProstaScint and Primsol; fund the remaining clinical development
activities for MiOXSYS to enable FDA clearance; and working capital
for general corporate and administrative expenses.
The securities were sold pursuant to an effective registration
statement on Form S-1 (File No. 333-213738), as amended, previously
filed with the Securities and Exchange Commission (SEC). The final
prospectus related to the offering was filed with the SEC on Oct.
28, 2016. Copies of the final prospectus are on the SEC's website
located at http://www.sec.govand may also be obtained from Joseph
Gunnar & Co, LLC, Prospectus Department, 30 Broad Street, 11th
Floor, New York, NY 10004, telephone 212-440-9600, email:
prospectus@jgunnar.com or Feltl and Company at
prospectus@feltl.com.
About Aytu Bioscience
Aytu BioScience, Inc. was incorporated as Rosewind Corporation on
Aug. 9, 2002, in the State of Colorado. Aytu was re-incorporated
in the state of Delaware on June 8, 2015. Aytu is a
commercial-stage specialty healthcare company concentrating on
developing and commercializing products with an initial focus on
urological diseases and conditions. Aytu is currently focused on
addressing significant medical needs in the areas of urological
cancers, hypogonadism, urinary tract infections, male infertility,
and sexual dysfunction.
Aytu Bioscience reported a net loss of $28.18 million for the year
ended June 30, 2016, compared to a net loss of $7.72 million for
the year ended June 30, 2015.
As of June 30, 2016, Aytu Bioscience had $24.34 million in total
assets, $14.25 million in total liabilities and $10.08 million in
total stockholders' equity.
EKS&H LLLP, in Denver, Colorado, issued a "going concern"
qualification on the consolidated financial statements for the year
ended June 30, 2016, citing 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.
AZURE MIDSTREAM: Posts $14.3 Million Net Income for Third Quarter
-----------------------------------------------------------------
Azure Midstream Partners, LP, filed with the Securities and
Exchange Commission its quarterly report on Form 10-Q disclosing
net income of $14.36 million on $29.50 million of total operating
revenues for the three months ended Sept. 30, 2016, compared to a
net loss of $216.4 million on $21.19 million of total operating
revenues for the three months ended Sept. 30, 2015.
For the nine months ended Sept. 30, 2016, the Company reported a
net loss of $107.6 million on $53.02 million of total operating
revenues compared to a net loss of $221.81 million on $61.25
million of total operating revenues for the nine months ended Sept.
30, 2015.
As of Sept. 30, 2016, the Company had $375.5 million in total
assets, $179.4 million in total liabilities and $196.2 million in
total partners' capital.
"The decline in commodity prices throughout 2015 and continuing
into 2016 has adversely affected the Partnership's liquidity
outlook. The decline in commodity prices has affected a number of
companies in the oil and natural gas industries, including our
customers. Lower commodity prices have caused a significant
reduction in drilling, completing and connecting new wells, which
has caused a reduction in our forecasted volumes. These lower
volumes have negatively impacted our operating cash flows. The
downturn in the market has also affected the Partnership's ability
to access the capital markets, which may have allowed the
Partnership to facilitate growth or reduce debt.
"As a result of these and other factors the Partnership's inability
to comply with financial covenants and ratios in its Credit
Agreement has adversely impacted the Partnership's ability to
continue as a going concern. Absent a waiver or amendment, failure
to meet these covenants and ratios would have resulted in a default
and, to the extent Wells Fargo Bank, National Association, as
administrative agent and other lenders (collectively "the Lenders")
so elect, an acceleration of the existing indebtedness, causing
such debt of approximately $173.5 million to be immediately due and
payable. Based upon our current estimates and expectations for
commodity prices in 2016, we do not expect to remain in compliance
with all of the restrictive covenants contained in our Credit
Agreement throughout 2016 unless those requirements are waived or
amended. The Partnership does not currently have adequate
liquidity to repay all of its outstanding debt in full if such debt
were accelerated."
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/DHakFf
About Azure Midstream
Azure Midstream Partners, LP, is a publicly traded Delaware master
limited partnership that was formed by NuDevco Partners, LLC and
its affiliates to develop, own, operate and acquire midstream
energy assets. The Company currently offers: (i) natural gas
gathering, compression, dehydration, treating, processing, and
hydrocarbon dew-point control and transportation services to
producers, marketers and third-party pipeline companies through the
Company's gathering and processing business segment; and (ii) crude
oil logistics services to Associated Energy Services, LP, an
affiliate, through its logistics business segment.
Azure reported a net loss of $222.42 million for the year ended
Dec. 31, 2015, compared to a net loss of $6.82 million for the year
ended Dec. 31, 2014.
KPMG LLP, in Dallas, Texas, issued a "going concern" qualification
on the consolidated financial statements for the year ended
Dec. 31, 2015, citing that the Partnership anticipates being out of
compliance with the requirements in the Credit Agreement during
2016, which would accelerate the maturity of the outstanding
indebtedness making it currently due and payable. The Partnership
does not have sufficient liquidity to meet the accelerated debt
service requirements. This issue raises substantial doubt about
its ability to continue as a going concern.
* * *
In September 2016, S&P Global Ratings lowered its corporate credit
rating on Azure Midstream Energy LLC to 'CCC+' from 'B-'. "The
downgrade reflects our view that Azure's credit measures have
worsened due to unfavorable commodity prices and weak industry
conditions, which has made it more challenging to meet its
financial commitments," S&P Global Ratings analyst Mike Llanos
said.
In August 2016, Moody's Investors Service downgraded Azure
Midstream Energy's Corporate Family Rating (CFR) to 'Caa2' from
'B3', Probability of Default Rating (PDR) to 'Caa2-PD' from
'Caa1-PD', senior secured term loan rating to 'Caa2' from 'B3', and
the senior secured revolving credit facility rating to 'B1' from
'Ba3'. The Speculative Grade Liquidity rating was withdrawn. The
outlook remains negative.
BASIC ENERGY: Hires Moelis & Company as Investment Banker
---------------------------------------------------------
Basic Energy Services, Inc., et al., seek authority from the U.S.
Bankruptcy Court for the District of Delaware to employ Moelis &
Company LLC as investment banker to the Debtors.
Basic Energy requires Moelis & Company to:
a. assist the Debtors in identifying a potential
Restructuring;
b. assist the Debtors in reviewing and analyzing the Debtors'
results of operations, financial condition, and business
plan;
c. assist the Debtors in reviewing and analyzing a potential
Restructuring;
d. advise the Debtors on its preparation of the information
memoranda (each, an "Information Memo");
e. assist the Debtors in contacting existing security holders
and new potential purchasers of securities, if any
(collectively, the "Purchasers") and providing information
regarding the Restructuring;
f. assist the Debtors in negotiating a Restructuring; and
g. provide such other financial advisory and investment
banking services in connection with a Restructuring as
Moelis and the Debtors may mutually agree upon.
Moelis & Company will be paid as follows:
i. Monthly Fee. During the term of the Engagement Letter, a
fee of $175,000 per month (the "Monthly Fee"), payable in
advance of each month. The Debtors will pay the first
Monthly Fee immediately upon execution of the Engagement
Letter, and all subsequent Monthly Fees before each
monthly anniversary of the date of the Engagement Letter.
Whether or not a Restructuring occurs, Moelis shall earn
and be paid the Monthly Fee every month during the term
of the Engagement Letter.
ii. Restructuring Fee. At the closing of the Restructuring, a
one-time fee (the "Restructuring Fee") of 1.25% of the
total aggregate principal amount of liabilities that are
restructured in a Restructuring (excluding any exchanges
for the Debtors' common stock). The Company will pay a
separate applicable Restructuring Fee in respect of each
restructuring in the event more than one restructuring
occurs but without duplication.
Moelis & Company will also be reimbursed for reasonable
out-of-pocket expenses incurred.
Adam Keil, member of Moelis & Company LLC, 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.
Moelis & Company can be reached at:
Adam Keil
MOELIS & COMPANY LLC
399 Park Avenue, 5th Floor
New York, NY 10022
Tel: (212) 883-2800
Fax: (212) 880-4260
About Basic Energy Services
Forth Worth, Texas-based Basic Energy Services, Inc. (NYSE: BAS)--
http://www.basicenergyservices.com/-- provides well site services
to more than 2,000 land-based oil and natural gas producing
companies throughout the United States.
Basic Energy Services, Inc. and 27 affiliated companies filed
petitions (Bankr. D. Del. Lead Case No. 16-12320) on Oct. 25,
2016.
The cases have been assigned to Judge Kevin J. Carey. The Debtors
have filed a fully consensual Joint Prepackaged Chapter 11 Plan and
Disclosure Statement and began soliciting votes to accept or reject
such Prepackaged Plan and Disclosure Statement before the Petition
Date. The Debtors are seeking Court approval of the Disclosure
Statement and Prepackaged Plan on Dec. 7, 2016.
The Debtors have hired Richards, Layton & Finger, P.A. as Delaware
counsel and Moelis & Company LLC as financial advisor.
Counsel to the Prepetition Term Loan Lenders and certain of the DIP
Lenders in the Chapter 11 cases of Basic Energy Services, Inc., et
al. are Davis Polk & Wardwell LLP's Marshall S. Huebner, Esq., and
Darren S. Klein, Esq.; and Jeremy W. Ryan, Esq., at Potter Anderson
& Corroon LLP.
Counsel to U.S. Bank National Association, as Prepetition Term Loan
Agent and acting as administrative agent and collateral agent, are
Theodore Sica, Esq., and Nicholas B. Vislocky, Esq., at Lowenstein
Sandler LLP. A consortium of lenders led by U.S. Bank is extending
a superpriority secured multiple delayed-draw term loan facility to
the Debtors in an aggregate principal amount of $90 million.
Counsel to Bank of America, N.A., in its capacity as the
Prepetition ABL Agent are James A. Markus, Esq., and Paul E. Heath,
Esq., at Vinson & Elkins LLP; and Morris, Nichols, Arsht & Tunnell
LLP's Robert J. Dehney, Esq. and Eric D. Schwartz, Esq.
An ad hoc group of holders that own or manage with the authority to
act on behalf of the beneficial owners of the Company's 2019 Senior
Notes and the 2022 Senior Notes, consists of:
-- Ascribe Capital LLC,
-- Brigade Capital Management, L.P. and
-- Silver Point Capital, L.P., and
-- other entities that may join such ad hoc group from time
to time.
Counsel to the Ad Hoc Group are Fried, Frank, Harris, Shriver &
Jacobson LLP's Brad Eric Scheler, Esq., and Peter Siroka, Esq.; and
Michael D. DeBaecke, Esq., at Blank Rome LLP.
BENNU TITAN: Seeks to Hire Ashby & Geddes as Legal Counsel
----------------------------------------------------------
Bennu Titan LLC seeks approval from the U.S. Bankruptcy Court for
the District of Delaware to hire legal counsel in connection with
its Chapter 11 case.
The Debtor proposes to hire Ashby & Geddes, P.A. to give legal
advice regarding its duties under the Bankruptcy Code, take legal
actions to protect its bankruptcy estate, and provide other legal
services.
The principal attorneys and paralegal designated to represent the
Debtor, and their current standard hourly rates are:
William Bowden Member $710
Karen Skomorucha Owens Member $495
F. Troupe Mickler IV Associate $360
Aaron Stulman Associate $300
Chris Warnick Paralegal $200
William Bowden, Esq., disclosed in a court filing that the firm is
"disinterested" as defined in section 101(14) of the Bankruptcy
Code.
The firm can be reached through:
William P. Bowden, Esq.
Ashby & Geddes, P.A.
500 Delaware Avenue, 8th Floor
P.O. Box 1150
Wilmington, DE 19899
Tel: 302-654-1888
Fax: 302-654-2067
Email: WBowden@ashby-geddes.com
About Bennu Titan
Beal Bank USA and CLMG Corp. filed an involuntary Chapter 11
petition against Texas-based offshore drilling firm Bennu Titan
LLC, fka ATP Titan LLC (Bankr. D. Del. Case No. 16-11870) on August
11, 2016. The court entered an order for relief on September 9,
2016.
The petitioning creditors are represented by Michael J. Farnan,
Esq., and Joseph J. Farnan, Esq., at Farnan LLP and Thomas E.
Lauria, Esq., at White & Case LLP.
BINDER MACHINERY: Committee Taps CBIZ as Financial Advisor
----------------------------------------------------------
The official committee of unsecured creditors of Binder Machinery
Co., LLC seeks approval from the U.S. Bankruptcy Court for the
District of New Jersey to hire a financial advisor.
The committee proposes to hire CBIZ Accounting, Tax and Advisory of
New York, LLC to provide financial analysis on any proposed
bankruptcy loan, prepare a valuation report of Binder Machinery's
assets, analyze transactions with suppliers, and provide other
services.
The hourly rates charged by the firm are:
Directors/Managing Directors $425 - $775
Managers/Senior Managers $370 - $450
Senior Associates/Staff $175 - $370
Brian Ryniker, managing director of CBIZ, disclosed in a court
filing that his firm is "disinterested" as defined in section
101(14) of the Bankruptcy Code.
The firm can be reached through:
Brian Ryniker
CBIZ Accounting, Tax and Advisory
of New York, LLC
1065 Avenue of the Americas, 11th Floor
New York, NY 10018
Phone: 212-790-5899/212-790-5700
Email: bryniker@cbiz.com
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.
BINDER MACHINERY: Committee Taps Saul Ewing as Legal Counsel
------------------------------------------------------------
The official committee of unsecured creditors of Binder Machinery
Co., LLC seeks approval from the U.S. Bankruptcy Court for the
District of New Jersey to hire legal counsel.
The committee proposes to hire Saul Ewing LLP to give legal advice
regarding its duties under the Bankruptcy Code, assist in
negotiating the terms of a bankruptcy plan, and provide other legal
services related to the Chapter 11 cases of Binder Machinery and
its affiliates.
The hourly rates charged by the firm are:
Partners $395 - $925
Special Counsel $350 - $575
Associates $250 - $410
Paraprofessionals $190 - $325
Stephen Ravin, Esq., at Saul Ewing, disclosed in a court filing
that his firm is "disinterested" as defined in section 101(14) of
the Bankruptcy Code.
The firm can be reached through:
Sharon L. Levine, Esq.
Stephen B. Ravin, Esq.
Dipesh Patel, Esq.
Saul Ewing LLP
One Riverfront Plaza, Suite 1520
1037 Raymond Boulevard
Newark, NJ 07102
Tel: (973) 286-6713
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.
BION ENVIRONMENTAL: Legislation Introduced in Pennsylvania House
----------------------------------------------------------------
Bion Environmental Technologies, Inc., announced that bills have
been released in both the Pennsylvania House and Senate to
implement a competitive procurement strategy designed to reduce
skyrocketing compliance costs and lagging effectiveness associated
with the Commonwealth's Chesapeake Bay obligations. Bion has
advocated for several years for a competitive procurement strategy
that would allow it and other private-sector providers the
opportunity to offer low-cost and high-impact solutions to the
State's Bay mandates.
SB 1401, the Water Quality Improvement Act, was introduced in the
Senate Environmental Resources and Energy Committee on October 26.
It was sponsored by Senators Richard Alloway (R-33) and Jake Corman
(R-34), who serves as the Senate Majority Leader. Senator Alloway
recently co-sponsored SB 1374, the bipartisan bill that would
create a Growing Greener III program to provide $315 million in
annual investments in the State's water, land and other natural
resources. HB 2430, the Pennsylvania Nutrient Credit Trading Act,
was introduced in the House Environmental Resources and Energy
Committee on October 26, sponsored by Representatives Wil Tallman
(R-193) and Dan Moul (R-91).
The release of the two bills follows a joint hearing of the
Pennsylvania Senate Environmental Resources and Energy Committee
and the Agriculture and Rural Affairs Committee, that was held on
October 18. The hearing was a review of Chesapeake Bay Strategies
with testimony provided on the efforts and concerns of the major
stakeholders, including the Coalition for Affordable Bay Solutions,
of which Bion is a founding member (link to prepared testimony).
The overwhelming consensus of the hearing was that additional
funding will be needed to achieve compliance with the Bay mandates,
and that future spending decisions have to be made with a greater
emphasis on return on investment.
Senate Bill 1401 provides for a sustainable funding source from
Federal or State appropriations, money received from permittees,
and a fee on commercial water users that will finance a wide
assortment of nutrient- and sediment-related projects. It will
also establish a procurement program, whereby the state will issue
a competitive request for proposal (RFP) for nutrient reductions.
Private-sector solutions providers like Bion will compete with
low-cost and long-term verifiable nitrogen reduction credits that
can be used to meet the state's EPA mandates. Further, the Act
would provide an opt-out clause for municipalities or other
entities that choose not to acquire low-cost credits; however, in
order to maintain access to taxpayer funding for their projects,
they will be required to demonstrate that their solutions are as
cost-effective as the credits.
The bills are consistent with the recommendations of the 2013 study
issued by the bipartisan Pennsylvania Legislative Budget and
Finance Committee on Chesapeake Bay compliance costs. The study
projected reductions in Bay compliance costs up to 80 percent ($1.5
billion) annually, if a competitive bidding strategy was adopted.
Competitive bidding is a strategy used throughout all levels of
government to acquire the lowest-cost goods and services on behalf
of the taxpayer. The bills are also consistent with guidance from
the federal Office of Management & Budget that recommends that
taxpayer procurement should focus on obtaining verified results,
rather than funding projects with uncertain outcomes and risks.
Craig Scott, Bion's director of communications, stated "these bills
represent a major step forward in establishing the policy framework
necessary to attract private-sector solutions to supplement our
clean water strategy, both in Pennsylvania and across America. We
need to use all the tools available in order to solve today's
complex watershed problems. Competitive bidding will allow
companies like Bion to provide large-scale high-impact projects
that will help get Pennsylvania back on track with its Chesapeake
Bay obligations and reduce the burden on the State's rate- and
tax-payers. We look forward to working with the Commonwealth and
other states to start moving forward with these solutions."
About Bion Environmental
Bion Environmental Technologies Inc.'s patented and proprietary
technology provides a comprehensive environmental solution to a
significant source of pollution in US agriculture, large scale
livestock facilities known as Confined Animal Feeding Operations.
Bion's technology produces substantial reductions of nutrient
releases (primarily nitrogen and phosphorus) to both water and air
(including ammonia, which is subsequently re-deposited to the
ground) from livestock waste streams based upon the Company's
operations and research to date (and third party peer review).
As of June 30, 2016, Bion Environmental had $198,193 in total
assets, $14.07 million in total liabilities and a total
stockholders' deficit of $13.87 million.
GHP Horwath, P.C., in Denver, Colorado, issued a "going concern"
qualification on the consolidated financial statements for the year
ended June 30, 2016, citing that the Company has not generated
significant revenue and has suffered recurring losses from
operations. These factors raise substantial doubt about its
ability to continue as a going concern.
BLUE BEE: Can use Cash Collateral on Interim Basis
--------------------------------------------------
Judge Sandra R. Klein of the U.S. Bankruptcy Court for the Central
District of California authorized Blue Bee, Inc. to use cash
collateral on an interim basis.
The Debtor is authorized to use cash collateral to pay:
(a) All of the expenses set forth in the Budget; and
(b) All quarterly fees owing to the Office of the U.S.
Trustee and all expenses owing to the Clerk of the Bankruptcy
Court.
The Debtor's 13-week budget provides for total operating
disbursements of $2,419,942, and covers the period beginning on
October 23, 2016 and ending on January 21, 2017.
The Debtor was directed to file a status report advising the Court,
among other things, of any proposed changes to the Budget on or
before November 16, 2016.
A final hearing on the Debtor's Motion will be held on November 30,
2016 at 9:30 a.m.
A full-text copy of the Interim Order with Budget, dated November
1, 2016, is available at https://is.gd/3EoqIr
About Blue Bee, Inc.
Blue Bee, Inc., d/b/a ANGL, filed a chapter 11 petition (Bankr.
C.D. Cal. Case No. 16-23836) on Oct. 19, 2016. The petition was
signed by Jeff Sungkak Kim, president. The Debtor is represented
by Juliet Y. Oh, Esq., at Levene, Neale, Bender, Yoo & Brill LLP.
The case is assigned to Judge Sandra R. Klein. The Debtor
estimated assets and liabilities at $1 million to $10 million.
The Debtor is a retailer doing business under the "ANGL" brand
offering stylish and contemporary women's clothing at reasonable
prices to its fashion-savvy customers. The Debtor currently owns
and operates 21 retail stores located primarily in shopping malls
throughout the state of California. Since the opening of its first
Retail Store in 1992 along Melrose Avenue in Los Angeles,
California, the Debtor has focused on bringing designer fashion to
a wider audience.
BOUNTIFUL BLESSINGS: Taps William Johnson as Legal Counsel
----------------------------------------------------------
Bountiful Blessings Cathedral seeks approval from the U.S.
Bankruptcy Court for the District of Maryland to hire legal counsel
in connection with its Chapter 11 case.
The Debtor proposes to hire William Johnson, Jr., Esq. to give
legal advice regarding compliance with the requirements of Chapter
11, review and prosecute claims, assist in the preparation of a
bankruptcy plan, and provide other legal services.
Mr. Johnson will be paid an hourly rate of $285 for his services.
In a court filing, Mr. Johnson disclosed that he does not hold or
represent any interest adverse to the Debtor's bankruptcy estate,
and that he is a "disinterested person" as defined in section
101(14) of the Bankruptcy Code.
Mr. Johnson maintains an office at:
William C. Johnson, Jr., Esq.
1310 L St. NW, Suite 750
Washington DC 20005
Phone: (202) 525-2958
Fax: (202) 431-2650
About Bountiful Blessings Cathedral
Bountiful Blessings Cathedral sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. D. Md. Case No. 16-18749) on June 29,
2016. The petition was signed by Bishop Kenneth Hill.
At the time of the filing, the Debtor estimated assets and
liabilities of less than $500,000.
BROCADE COMMUNICATIONS: Moody's Places Ba1 CFR Under Review For Dow
-------------------------------------------------------------------
Moody's Investors Service placed Brocade Communications Systems,
Inc.'s ratings under review for downgrade including its Ba1
Corporate Family Rating ("CFR") and Ba1 senior unsecured rating.
This follows the announcement that Broadcom Ltd. plans to acquire
Brocade for $12.75 per share or about $5.5 billion. The review is
driven by the potential that a portion of existing Brocade debt
could remain outstanding post-closing and uncertainty about the
debt's ranking in the new Broadcom capital structure. Broadcom has
not disclosed specifics regarding how the transaction will be
financed or the capital structure post-closing. If Brocade's debt
is put back to the company or otherwise repaid in full in
connection with the closing, all of Brocade's ratings will be
withdrawn.
RATINGS RATIONALE
The review will focus on the capital structure post-closing and the
relative position of any outstanding Brocade debt in Broadcom's
capital structure. Though Broadcom has not disclosed how the
transaction will be financed, Broadcom currently has a large amount
of secured debt in its capital structure.
On Review for Downgrade:
Issuer: Brocade Communications Systems, Inc.
-- Corporate Family Rating, Placed on Review for Downgrade,
currently Ba1
-- Probability of Default Rating, Placed on Review for
Downgrade, currently Ba1-PD
-- Senior Unsecured Conv./Exch. Bond/Debenture, Placed on
Review for Downgrade, currently Ba1 (LGD4)
-- Senior Unsecured Regular Bond/Debenture, Placed on Review
for Downgrade, currently Ba1 (LGD4)
Outlook Actions:
Issuer: Brocade Communications Systems, Inc.
-- Outlook, Changed To Rating Under Review From Stable
The principal methodology used in these ratings was Diversified
Technology Rating Methodology published in December 2015.
BYRD MILL: Hires Hoover Penrod as Bankruptcy Counsel
----------------------------------------------------
Byrd Mill Investments LLC, seeks authority from the U.S. Bankruptcy
Court for the District of Virginia to employ Hoover Penrod PLC as
attorney to the Debtor.
Byrd Mill requires Hoover Penrod to:
a. advise the Debtor with respect to its powers and duties as
debtor in possession in the continued management and
operation of the assets of its bankruptcy estate;
b. advise and consult on the conduct of the case, including
all of the legal requirements of operating in Chapter 11;
c. attend meetings and negotiating with representatives of
Debtor's creditors and other parties in interest;
d. take all necessary action to protect and preserve the
Debtor's estates, including prosecuting actions on the
Debtor's behalf, defending any actions commenced against
the Debtor, and representing the Debtor's interests in
negotiations concerning all litigation in which the Debtor
is involved, including objections to claims filed against
the Debtor's estate;
e. prepare all pleadings, including motions, applications,
answers, orders, reports, and papers necessary or otherwise
beneficial to the administration of the Debtor's estate;
f. advise the Debtor in connection with any potential sale of
assets;
g. appear before the Court to represent the interests of the
Debtor's estate before the Court;
h. take any necessary action on behalf of the Debtor to
negotiate, prepare on behalf of the Debtor, and obtain
approval of Chapter 11 plans and documents related thereto;
and
i. perform all other necessary or otherwise beneficial legal
services to the Debtor in connection with prosecution of
the cases.
Hoover Penrod will be paid at these hourly rates:
Hannah W. Hutman $300
Beth C. Driver $250
Paralegal $90
Hoover Penrod will be paid a retainer in the amount of $5,000.
Hoover Penrod will also be reimbursed for reasonable out-of-pocket
expenses incurred.
Hannah W. Hutman, member of Hoover Penrod PLC, 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 Debtor and its estates.
Hoover Penrod can be reached at:
Hannah W. Hutman, Esq.
Beth C. Driver, Esq.
HOOVER PENROD PLC
342 South Main Street
Harrisonburg, VA 22801
Tel: (540) 433-2444
Fax: (540) 433-3916
E-mail: hhutman@hooverpenrod.com
bdriver@hooverpenrod.com
About Byrd Mill
Byrd Mill Investments, LLC, filed a Chapter 11 bankruptcy petition
(Bankr. W.D. Va. Case No. 16-62123) on October 21, 2016, disclosing
under $1 million in both assets and liabilities. The Debtor is
represented by Hannah White Hutman, Esq., Esq.
No official committee of unsecured creditors has been appointed in
the case.
CAPITAL CHRISTIAN: Wants to Include CIT Payments in Cash Budget
---------------------------------------------------------------
Capital Christian Center seeks authorization from the U.S.
Bankruptcy Court for the District of Nevada to modify and amend its
approved cash collateral budget.
The Debtor tells the Court that it intends to use secured creditor
Assemblies of God Loan Fund's cash collateral to make monthly
lease, maintenance and supply payments to CIT Finance, LLC for the
Debtor's Konica Minolta copy center machine.
The Debtor contends that the Court-approved cash collateral budget
should be amended and modified to add a line item authorizing the
Debtor to use cash collateral to make monthly payments of $1,489.21
to CIT Finance, effective November, 2016, in connection with the
Debtor's assumption of its lease with CIT Finance. The Debtor adds
that it is already subject to a stipulated order approving a cash
collateral budget and monthly adequate protection payments of
$15,000 to Assemblies of God Loan Fund.
The Debtor relates that the Konica Minolta copy center machine is
vital and necessary to the operation of the Debtor's church, day
care facilities and other related operations. The Debtor further
relates that it does not have the ability to purchase or obtain
financing for a different copy machine. The Debtor has determined
that it is in its best interest to assume its lease with Koncia
Minolta.
The Debtor says that without the use of cash collateral, it will
not be able to pay ordinary expenses necessary for operation of its
church and day care facilities, in particular the required monthly
payments owed to CIT under its lease.
A full-text copy of the Debtor's Motion, dated November 3, 2016, is
available at https://is.gd/N1AULc
About Capital Christian Center
Capital Christian Center dba C5 Church filed a Chapter 11 petition
(Bankr. D. Nev. Case No. 16-50004), on January 4, 2016. The
petition was signed by Stanley E. Friend, president. The case is
assigned to Judge Bruce T. Beesley. The Debtor's counsel is Kevin
A. Darby, Esq., at Darby Law Practice, Ltd. At the time of filing,
the Debtor estimated assets at $0 to $50,000 and liabilities at $1
million to $10 million.
A list of the Debtor's seven largest unsecured creditors is
available for free at http://bankrupt.com/misc/nvb16-50004.pdf
CAROLYN J. JOHNSON: Disclosures Conditionally OK'd; Dec. 7 Hearing
------------------------------------------------------------------
The Hon. Jason D. Woodard of the U.S. Bankruptcy Court for the
Northern District of Mississippi has conditionally approved Carolyn
Johnson's disclosure statement dated Oct. 24, 2016, referring to
the Debtor's Chapter 11 plan dated Oct. 24, 2016.
A hearing on the final approval of the Disclosure Statement and the
confirmation of the Plan is scheduled for Dec. 7, 2016, at 9:30
a.m.
Objections to the Disclosure Statement and confirmation of the Plan
must be filed by Nov. 28, 2016, which is also the deadline for
filing written acceptances or rejections of the Plan.
Carolyn J. Johnson filed for Chapter 11 bankruptcy protection
(Bankr. N.D. Miss. Case No. 16-11415) on April 25, 2016. Craig M.
Geno, Esq., at the Law Offices of Craig M. Geno, PLLC, serves as
the Debtor's bankruptcy counsel.
CASCELLA & SON: Can Continue Using of Cash Through Dec. 31
----------------------------------------------------------
Judge Julie A. Manning of the U.S. Bankruptcy Court for the
District of Connecticut authorized Cascella & Son Construction,
Inc. to use cash collateral on an interim basis, through December
31, 2016.
Judge Manning authorized the Debtor to collect and use the
Pre-Petition Collateral to continue its usual and ordinary
operations in the ordinary course of its business by paying those
budgeted expenditures set forth on the approved Budget.
The approved Budget projects total disbursements of $11,465 for the
month November 2016 and $10,815 for the month of December 2016.
The Debtor and Hudson Bank n/k/a TD Bank and New Alliance Bank
n/k/a First Niagra Bank were parties to Loan and Security
Agreements pursuant to which, among other things, Hudson and New
Alliance provided the Debtor with a loans and credit facilities
secured by liens and/or security interests in substantially all of
the Debtor's assets. As of the Petition Date, the Debtor was
indebted to Hudson Bank in the amount of $250,000, and New Alliance
Bank in the amount of $230,000.
The Internal Revenue Service and the Town of Monroe also claim tax
liens on the Debtor's assets.
Judge Manning acknowledged that without the ability to use the cash
collateral, the Debtor will be unable to pay ongoing management,
payroll, raw material, insurance, utilities and other necessary
expenses related to the continued operation of the Debtor's
business, generate cash flow, and maintain the value of its assets.
TD Bank, First Niagra Bank, the IRS and the Town of Monroe were
granted with post-petition claims against the Debtor's estate,
which will have priority in payment over any other indebtedness and
or obligations, and over all administrative expenses or charges
against property.
TD Bank, First Niagara Bank, the IRS and the Town of Monroe were
also granted with an enforceable and perfected replacement lien
and/or security interest in the post-petition assets of the
Debtor's estate, equivalent in nature, priority and extent to the
liens and/or security interests of TD Bank, First Niagara Bank, the
IRS and the Town of Monroe in the prepetition collateral and the
proceeds and products thereof, subject to the Carve-Out.
The Carve-Out consists of:
(a) the allowed administrative claims of attorneys and other
professionals retained by the Debtor in the Case in the aggregate
amount of $30,000.00; and
(b) amounts payable to pursuant to 28 U.S.C. Section
1930(a)(6).
A further hearing on the continued use of cash collateral will be
held on December 20, 2016, at 10:00 a.m. The deadline for the
filing of objections to the continued use of cash collateral is set
on December 15, 2016.
A full-text copy of the 4th Interim Order with Budget, entered on
November 1, 2016, is available at https://is.gd/PbhUvS
About Cascella & Son Construction
Cascella & Son Construction, Inc., filed a chapter 11 petition
(Bankr. D. Conn. Case No. 14-50518) on Apr. 7, 2014. The petition
was signed by Todd Michael Cascella, president. The Debtor is
represented by James M. Nugent, Esq., at Harlow, Adams, and
Friedman. The case is assigned to Judge Alan H.W. Shiff. The
Debtor disclosed $0 in assets and $3.48 million in liabilities at
the time of the filing.
CCH JOHN EAGAN: Solicitation Period Extended Thru Plan Confirmation
-------------------------------------------------------------------
Judge Erik P. Kimball of the U.S. Bankruptcy Court for the Southern
District of Florida extended CCH John Eagan II Homes, L.P.'s
exclusive Plan solicitation period through and including the date
of confirmation, which is currently scheduled for November 28,
2016.
The Troubled Company Reporter disclosed on Oct. 24, 2016 that the
sought for an extension of its exclusive Plan solicitation period
through confirmation of the Debtor's amended plan. The TCR further
disclosed that the Debtor had filed its Chapter 11 Plan and
Disclosure Statement on July 15, 2016, and subsequently amended its
Plan and Disclosure Statement, which was approved by the Court. A
confirmation hearing was initially scheduled for Oct. 19, 2016.
Confirmation, however, had been continued to November 28, 2016.
About CCH John Eagan
Headquartered in Palm Beach Gardens, Florida, CCH John Eagan II
Homes, L.P., owns and operates a 180 unit multifamily apartment
complex in Atlanta, Georgia commonly known as Magnolia Park
Apartments Phase II. It filed for Chapter 11 bankruptcy protection
(Bankr. S.D. Fla. Case No. 15-31082) on Dec. 1, 2015, and is
represented by Eric A. Rosen, Esq., at Fowler White Burnett, P.A.
At the time of the filing, the Debtor estimated its assets at
between $1 million and $10 million and liabilities at between $10
million and $50 million.
Judge Erik P. Kimball presides over the case.
The petition was signed by Yashpal Kakkar, managing member, CCH
John Eagan II Partners, LLC, GP.
CF INDUSTRIES: Moody's Cuts Senior Secured Ratings to Ba3
---------------------------------------------------------
Moody's Investors Service downgraded CF Industries Holdings, Inc.
senior unsecured ratings to Ba3 from Baa3, withdrew its issuer
rating of Baa3, and assigned a Ba2 corporate family rating (CFR), a
probability of default rating of Ba2-PD and a speculative grade
liquidity rating of SGL-1. The rating action reflects the company's
weakening operating performance due to the fertilizer industry
downturn, that is expected to persist into 2018, combined with CF's
shift to a more aggressive financial policy that will subordinate
the unsecured notes with secured debt. Moody's expects CF's credit
metrics to weaken further in 2017 and remain under pressure into
2018 as a result of lower fertilizer prices amid increased market
volatility as new nitrogen capacity is added. The outlook is
stable. This action concludes the review commenced on October 14,
2016.
Rating Actions:
Issuer: CF Industries Holdings, Inc.
-- Issuer Rating, Withdrawn
-- Corporate Family Rating (CFR) Assigned at Ba2
-- Probability of Default Rating (PD) Assigned at Ba2-PD
-- Speculative Grade Liquidity (SGL) Rating Assigned SGL-1
Issuer: CF Industries, Inc.
-- Gtd Senior Unsecured Regular Bond/Debenture, Downgraded to
Ba3(LGD4) from Baa3
-- Senior Secured Regular Bond/Debenture, Assigned Baa3(LGD2)
Outlook Actions:
Issuer: CF Industries Holdings, Inc.
-- Outlook, Stable
Issuer: CF Industries, Inc.
-- Outlook, Stable
RATINGS RATIONALE
CF's Ba2 CFR rating reflects its aggressive financial policy that
includes the proposed securing of its revolving credit facility,
the potential for additional secured debt issuance to refinance its
$1.2 billion of private placement notes and make-whole payment, as
well as the lack of commitment to the investment grade profile
during the fertilizer industry downturn. The rating also includes
Moody's expectations that CF's credit metrics will be stressed
through 2017 and into 2018 due to a weak nitrogen fertilizer
pricing environment, that has compressed margins, and is
anticipated to remain pressured for a protracted period as new
capacity is added and absorbed into the marketplace. Over the third
quarter and into the fourth quarter 2016, nitrogen fertilizer
pricing has come under increased pressure due to anemic volumes as
a result of delays in customer purchasing during this already
seasonally weak period. Reportedly low inventory levels in the
retail and distribution channel are likely to exacerbate market
volatility in the fourth quarter of 2016 and through the planting
season over the first half of 2017 while new capacity continues to
come on line and pressures pricing. (US Gulf NOLA urea prices have
fallen to $206/ton in October 2016 compared to $250/ton in 2015,
and are at over 10-year lows. Likewise, US Gulf NOLA Ammonia has
declined to $210/ton in October 2016 from $350/ton in October
2015.) Also reflected in its rating is CF's reliance on one product
line, nitrogen fertilizer, and high dependence on a single site,
Donaldsonville, Louisiana, for 40% of its North American nitrogen
nutrient production capacity, once expansions are completed.
While Moody's estimates CF's Net Debt/EBITDA at 3.5x (4.6x Gross
Debt/EBITDA), for the LTM ending September 30, 2016, weaker
nitrogen fertilizer pricing and prospects for lower volumes will
rapidly stress leverage. Moody's projects that CF's TTM Net
Leverage could exceed 4.5x by year-end, even when adjusting for the
pro forma impact of its new capacity, as low pricing compresses its
margins and cash is used to support the completion of its capital
expansion projects. As well, CF's $1.6 billion September 30, 2016
cash balance could fall below $1.0 billion by year-end since
approximately $500 million in capex as well as some additional
working capital will be used to complete and start-up its capacity
expansions in Donaldsonville, Louisiana and Port Neal, Iowa. In
2017, Moody's anticipates that TTM Net Leverage will peak in the
first half of the year as CF's lower cash balance combines with a
weaker pricing environment resulting in TTM Net Leverage that could
exceed 5.5x. (All financial metrics reflect Moody's standard
adjustments.)
Supporting the rating is CF's size and operating capabilities as
well as its cost advantaged position in the global nitrogen
fertilizer marketplace and location advantage in North America,
which imports over 20% of its nitrogen fertilizer needs.
Importantly, CF is adding ammonia capacity which leverages the
advantage of low natural gas prices (natural gas represents
approximately 60-70% of the cash cost of producing ammonia, the
building block of all nitrogen fertilizers) and supports margins.
However, the global nitrogen industry will add 10% to capacity by
2018 to an already oversupplied marketplace. In North America new
nitrogen fertilizer capacity will be added by the end of 2017 from:
CF's Port Neal site, OCI NV (unrated), Koch Nitrogen (unrated),
Agrium Inc. (Baa2 RUR), and a partnership with Yara International
ASA (Baa2 stable)/BASF (A1 stable). Because the price of nitrogen
fertilizers is set by the marginal cost producer, China high-cost
coal based urea production, the timing of needed capacity
shut-downs is uncertain. Therefore, it could take several years to
achieve a more balanced market and bolster pricing since low demand
growth of around 2% per annum will be slow to absorb the new
capacity, over which time a transition period of greater price
volatility is expected.
The stable outlook reflects Moody's expectations that CF will
retain and utilize its ample cash to support its net leverage
metric, capex spending needs and maturity payments and anticipates
improved credit metrics in 2018.
An upgrade is remote at this time given Moody's expectations for a
protracted period of low nitrogen fertilizer prices that will
compress earnings and keep credit metrics pressured over the next
two years. However, Moody's would consider a rating upgrade if
aggregate debt were sustainably lowered to a level that could
support average gross leverage of under 3.5x and Retained Cash
Flow/Debt of over 20% through the cycle. Downward pressure to the
rating could occur in the trough of the cycle if Net Leverage is
sustained above 5.5x and Retained Cash Flow/Net Debt falls below
10%, or if shareholder remuneration is a use of cash.
Structural Considerations
CF's $4.6 billion in unsecured notes with maturities ranging from
2018-2044 are rated Ba3, one notch below the Ba2 CFR, as a result
of their effective subordination to the proposed $750 million
secured revolving facility as well as the potential for additional
secured debt in the capital structure.
CF's SGL-1 Speculative Grade Liquidity Rating reflects its very
good liquidity position. CF's primary liquidity is provided by its
substantial cash balance of $1.6 billion as of September 30, 2016.
Retained cash flow is expected to exceed $700 million in 2016, but
free cash flow will be negative due to the elevated capital
expenditures to complete expansion projects by year end. In 2017,
cash flows will be supported by an estimated $800 million tax
refund related to the carryback of certain U.S. tax losses as well
as operating cash flows.
CF's secondary liquidity is provided by its proposed $750 million
senior secured revolving credit facility, for which an amendment is
being proposed to the current $1.5 billion senior unsecured
revolving credit facility that will reduce the size of the
facility, secure the facility, as well as change and add covenants.
As of September 30, 2016 there were no borrowings on CF's credit
facility, which is due September 18, 2020. Given the company's
meaningful cash balance, we do not expect any borrowings under the
revolver over the next 12-18 months.
In conjunction with the revolver amendment, CF has indicated that
it will repay its $1.0 billion in senior notes due 2022, 2025 and
2027 including the related make-whole amount, which is estimated to
be approximately $210 million as of October 31, 2016 based on
market interest rates. Funding for the repayment of the notes is
expected to be sourced from the issuance of new long-term secured
debt, borrowings under the company's revolving credit facility,
cash on hand or a combination of any of the foregoing.
In 2016, CF expects to have $2.3 billion in total cash
expenditures, including $1.8 billion to complete planned expansion
projects at Donaldsonville, LA and Port Neal, IA, and $450-$475
million for general sustaining capital expenditures. (Approximately
$500 million of spending remains for the last quarter of 2016.) The
company also paid a $150 million breakup fee, in the second quarter
2016, to OCI NV following the cancellation of its combination
agreement.
Other uses of cash in 2016 will be for the payment of its regular
annual dividend of $1.20/share, for a total of $282 million in
2016. CF also makes distributions to public unit holders in the
Terra Nitrogen MLP as well as to CHS. The estimated amount of CHS
Inc.'s semi-annual distribution earned for the third quarter 2016
is $22 million. As a result of the loss of its investment grade
standing, CF will be required to make an annual payment of $5
million to CHS due to a contractual provision. Additional impacts
from its credit evaluation below investment grade are expected to
include possible collateral postings or letters of credit. CF has
indicated that it will not complete its share repurchase
authorization, $100 million remaining, during this downturn in
nitrogen fertilizer prices.
CF has no near-term maturities; its next maturity of $800 million
is due in May 2018 followed by another $800 million due in May
2020.
The principal methodology used in these ratings was "Global
Chemical Industry Rating Methodology" published in December 2013.
CF Industries Holdings, Inc., (CFH) headquartered in Deerfield,
Illinois, is a leading global producer of nitrogen-based
fertilizers and the parent company of CF Industries, Inc. (CF).
CF's debt is guaranteed by CFH. CFH generated annual revenues of
$3.9 billion for the LTM ending September 30, 2016.
CHATEAU DE LUMIERE: Hires Brunson Jiu as Valuation Expert
---------------------------------------------------------
Chateau De Lumiere LLC, seeks authority from the U.S. Bankruptcy
Court for the District of Nevada to employ Brunson Jiu as Valuation
Expert to the Debtor.
Chateau De Lumiere requires Brunson Jiu to advise the Debtor as to
the valuation of the real property located at Assessor's Parcel
Number 178-28-217-045, more commonly known as 508 Regents Gate
Drive, Henderson, NV 89012.
Brunson Jiu will be paid at the hourly rate of $450 for any
testimony, and $400 for all other services.
Brunson Jiu will also be reimbursed for reasonable out-of-pocket
expenses incurred.
Michael L. Brunson, member of Brunson Jiu, 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 Debtor and its estates.
Brunson Jiu can be reached at:
Michael L. Brunson
BRUNSON JIU
10161 Park Run Drive
Las Vegas, NV 89145
Tel: (702) 214-5990
About Chateau de Lumiere LLC
Headquartered in Henderson, Nevada, Chateau de Lumiere LLC filed
for Chapter 11 bankruptcy protection (Bankr. D. Nev. Case No.
15-14104) on July 16, 2015, estimating its assets and liabilities
at between $1 million and $10 million each. The petition was signed
by Andrew Cartwright, manager.
Judge August B. Landis presides over the case.
Talitha B. Gray Kozlowski, Esq., at Garman Turner Gordon LLP serves
as the Debtor's bankruptcy counsel.
COBALT INTERNATIONAL: Amends Bylaws to Change Voting Standard
-------------------------------------------------------------
The Board of Directors of Cobalt International Energy, Inc.,
amended and restated the Company's Bylaws to change the standard
for the election of directors in uncontested elections from a
plurality voting standard to a majority voting standard. Under the
amended provisions, in a contested election, directors will
continue to be elected by a plurality of the votes present in
person or by proxy at the meeting and entitled to vote on the
election of directors.
In connection with the amendment, the Board also amended the
Company's Corporate Governance Guidelines to require an incumbent
director who fails to receive the required number of votes in an
uncontested election to tender his or her resignation to the Board.
The Corporate Governance Guidelines, as amended, provide that the
Nominating and Corporate Governance Committee of the Board will act
to determine whether to accept the director's resignation and will
submit such recommendation for prompt consideration by the Board.
The Corporate Governance Guidelines, as amended, require that the
Board disclose publicly its decision and rationale with respect to
the tendered resignation within 90 days following certification of
the stockholder vote.
About Cobalt
Cobalt International Energy, Inc. is an independent exploration and
production company with operations currently focused in the
deepwater U.S. Gulf of Mexico. In January 2016, the Company
achieved initial production of oil and gas from the Heidelberg
field. The Company's exploration efforts in the U.S. Gulf of
Mexico have resulted in four oil and gas discoveries including the
North Platte, Shenandoah, Anchor, and Heidelberg fields, each of
which are in various stages of appraisal and development. The
Company also has a non-operated interest in the Diaba Block
offshore Gabon.
As of June 30, 2016, Cobalt had $3.84 billion in total assets,
$2.64 billion in total liabilities and $1.19 billion in total
stockholders' equity.
The Company reported a net loss of $694.42 million in 2015, a net
loss of $510.76 million in 2014 and a net loss of $589.02 million
in 2013.
* * *
As reported by the TCR on Sept. 23, 2016, S&P Global Ratings
lowered its unsolicited corporate credit rating on Cobalt
International Energy to 'CCC-' from 'CCC+'. The downgrade follows
CIE's announcement that it has retained Goldman, Sachs & Co. and
Lazard Ltd. as financial advisors and Davis Polk & Wardwell LLP and
Kirkland & Ellis LLP as legal advisors.
COMBIMATRIX CORP: Reports Third Quarter 2016 Financial Results
--------------------------------------------------------------
CombiMatrix Corporation reported its financial results for the
three and nine months ended Sept. 30, 2016, and provided a business
update.
Combimatrix reported a net loss of $856,000 on $3.24 million of
total revenues for the three months ended Sept. 30, 2016, compared
to a net loss of $1.68 million on $2.52 million of total revenues
for the same period during the prior year.
For the nine months ended Sept. 30, 2016, the Company reported a
net loss of $3.58 million on $9.32 million of total revenues
compared to a net loss of $5.06 million on $7.40 million of total
revenues for the nine months ended Sept. 30, 2015.
As of Sept. 30, 2016, the Company had $8.88 million in total
assets, $1.95 million in total liabilities and $6.93 million in
total stockholders' equity.
"Excellent execution on our business initiatives keeps us squarely
on the path to profitability," said Mark McDonough, CombiMatrix
president and CEO. "Among quarterly financial highlights, we are
reporting revenue growth of 29%, our third consecutive quarter of
gross margin above 50% and record cash reimbursement of $3.1
million, or 95% of total revenues. Combined with our ability to
manage expenses, we reduced both our operating loss and our cash
burn by nearly half from one year ago.
"We are pleased with our recent performance and expect continued
growth in revenue and test volume, along with consistent cash
reimbursement and prudent expense management in the coming year
with a focus on creating value for our shareholders," Mr. McDonough
added. "Given our outlook, we are increasingly confident we will
reach our goal of positive cash flow from operations by the fourth
quarter of 2017."
The Company reported $4.3 million in cash, cash equivalents and
short-term investments as of Sept. 30, 2016, compared with $3.9
million as of Dec. 31, 2015. The Company used $817,000 and $3.4
million in cash to fund operating activities during the quarter and
nine months ended Sept. 30, 2016, respectively, compared with $1.5
million and $4.2 million used to fund operating activities during
the comparable 2015 periods, respectively. The significant
decreases in net cash used to fund operating activities for the
2016 periods resulted primarily from improved cash reimbursement of
$3.1 million and $8.5 million for the three and nine months ended
September 30, 2016, respectively, compared with $2.4 million and
$7.0 million for the three and nine months ended Sept. 30, 2015,
respectively.
A full-text copy of the press release is available for free at:
https://is.gd/v7PWZg
About Combimatrix
Irvine, California-based CombiMatrix Corporation specializes in
pre-implantation genetic screening, miscarriage analysis, prenatal
and pediatric healthcare, offering DNA-based testing for the
detection of genetic abnormalities beyond what can be identified
through traditional methodologies. Its clinical lab and corporate
offices are located in Irvine, California.
Combimatrix reported a net loss of $6.60 million in 2015 compared
to a net loss of $8.70 million in 2014.
Haskell & White LLP, in Irvine, California, issued a "going
concern" qualification on the consolidated financial statements for
the year ended Dec. 31, 2015, citing that the Company has limited
working capital and a history of incurring net losses and net
operating cash flow deficits. These conditions raise substantial
doubt about the Company's ability to continue as a going concern.
COMPASSION IN HEALTHCARE: Taps Ronald Cutler as Legal Counsel
-------------------------------------------------------------
Compassion In Healthcare, Inc. seeks approval from the U.S.
Bankruptcy Court for the Middle District of Florida to hire legal
counsel in connection with its Chapter 11 case.
The Debtor proposes to hire Ronald Cutler P.A. to give advice
regarding its duties under the Bankruptcy Code and provide other
legal services.
Ronald Cutler, Esq., will be paid $350 per hour for his services.
The firm attests it does not represent any interest adverse to the
Debtor or its bankruptcy estate, according to court filings.
The firm can be reached through:
Ronald Cutler, Esq.
Ronald Cutler P.A.
1162 Pelican Bay Drive
Daytona Beach, FL 32119-1381
Phone: (386) 788-4480
Email: thelawoffice@ronaldcutlerpa.com
Email: bankruptcy@ronaldcutlerpa.com
About Compassion In Healthcare
Compassion In Healthcare, Inc. filed a Chapter 11 petition (Bankr.
M.D. Fla. Case No. 16-05969) on September 7, 2016. The petition
was signed by Michael Lawler, president.
At the time of the filing, the Debtor estimated assets of less than
$500,000 and liabilities of less than $1 million.
CYRUS WAY HOLDINGS: Seeks to Hire Peterson Sullivan as Accountant
-----------------------------------------------------------------
Cyrus Way Holdings, LLC seeks approval from the U.S. Bankruptcy
Court for the Western District of Washington to hire an
accountant.
The Debtor proposes to hire Peterson Sullivan, LLP to prepare tax
returns, consult regarding the U.S. Trustee reports, and provide
other accounting services related to its Chapter 11 case.
Candice Pfluger, a certified public accountant employed with
Peterson, will be paid an hourly rate of $325 while Nathan
Eisenhauer, an associate, will be paid $165 per hour.
Mr. Pfluger disclosed in a court filing that no conflict would
arise by her firm's representation of the Debtor.
The firm can be reached through:
Candice Pfluger
Peterson Sullivan, LLP
Two Union Square
601 Union Street, Suite 2300
Seattle, WA 98101
Phone: (206) 344-7547/(206) 382-7777
Fax: (206) 382-7700
Email: cpfluger@pscpa.com
About Cyrus Way Holdings
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.
DAWSON INT'L: Hires Deloitte Tax as Tax Service Provider
--------------------------------------------------------
Dawson International Investments (Kinross) Inc., et al., seek
authority from the U.S. Bankruptcy Court for the Southern District
of New York to employ Deloitte Tax LLP as tax service provider to
the Debtors.
Dawson International requires Deloitte to prepare the Debtors' 2015
federal and state income tax returns for the period ending March
25, 2016, and assist the Debtor with the calculation of 2016
quarterly estimated tax payments as needed.
Deloitte will be paid a flat fee of $50,000 for the 2015 Returns
Preparation.
Adam Moehring, member of Deloitte Tax LLP, 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.
Deloitte Tax can be reached at:
Adam Moehring
Deloitte Tax LLP
200 Berkeley Street
Boston, MA 02116
Tel: (617) 437-2000
About Dawson International
Dawson International is in the cashmere business. It comprises two
trading divisions, based in the UK and the USA. The UK division
comprises the Barrie Knitwear business, based in Hawick Scotland.
It manufactures highest quality cashmere garments at its factory in
the Scottish borders and sells to some of the world's most
prestigious couture houses, department stores and private label
retail outlets.
Based in Natick, Massachusetts, Ilion Properties, Inc., Dawson
International Investments (Kinross) Inc., Dawson International
Properties, Inc., DCC USA Inc., and Dawson Luxury Garments LLC
filed separate Chapter 11 bankruptcy petitions (Bankr. S.D.N.Y.
Case Nos. 16-11550 to 16-11554) on May 27, 2016. The Hon. James L.
Garrity Jr. presides over the cases.
Patrick L. Hayden, Esq., and Nathan S. Greenberg, Esq., at
McGUIREWOODS LLP, serve as counsel to the Debtors.
The Debtors estimate these assets and liabilities in their
petition:
Estimated Estimated
Assets Liabilities
----------- -----------
Ilion Properties, Inc. $1MM-$10MM $1MM-$10MM
Dawson International Investments $1MM-$10MM $1MM-$10MM
Dawson International
Properties, Inc. $1MM-$10MM $1MM-$10MM
DCC USA Inc. $1MM-$10MM $1MM-$10MM
The petitions were signed by David G. Cooper, president and sole
director.
DENTAL PLUS: Hires John F. Coggin as Accountant
-----------------------------------------------
Dental Plus Management, LLC, filed its supplemental application to
hire John F. Coggin as its accountant to assimilate the data
necessary to prepare the Monthly Operating Reports, Monthly
Financial Statements, bookkeeping services, Texas Franchise Tax
return, sales Tax preparation, corporate Tax Returns, and assist in
the workout process with creditors and any other business services
directly related to the proceedings.
Coggin will be paid as follows:
Payroll processing $75 per week
Monthly Operating Report $360 per month
Quarterly and Year End
Payroll Tax Return $75 per return
Monthly Financial Recap $200 per month
As reported by the Troubled Company Reporter on July 27, 2016, the
Debtor proposes to hire John Coggin to provide accounting services
in connection with its Chapter 11 case. Coggin will receive these
fees for his services:
(a) $95 per hour for financial statement preparation, ongoing
monthly write-up services, consulting and court
appearances;
(b) $55 per hour for bookkeeping services, monthly operating
reports and financial records reviews, and input;
(c) $750 for preparation of the annual federal form 1065 tax
return and annual federal form 1040 tax return;
(d) $75 for sales tax preparation; and
(e) $175 for preparation of the annual Texas franchise tax
return.
John F. Coggin 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 Debtor and
its estates.
Coggin can be reached at:
John F. Coggin
Two Allen Center
1200 Smith Street, 16th Floor
Houston, TX 77002
About Dental Plus
Dental Plus, LLC, based in Houston, Tex., filed a Chapter 11
petition (Bankr. S.D. Tex. Case No. 16-33482) on July 11, 2016. The
Hon. Jeff Bohm presides over the case. Margaret Maxwell McClure,
Esq., as bankruptcy counsel.
In its petition, the Debtor estimated $100,000 to $500,000 in
assets and $1 million to $10 million in liabilities. The petition
was signed by Ronald J. Moon, managing member.
DIAMOND XPRESS: Hearing on Plan Disclosures To Be Held on Dec. 1
----------------------------------------------------------------
The Hon. George W. Emerson, Jr., of the U.S. Bankruptcy Court for
the Western District of Tennessee has scheduled for Dec. 1, 2016,
at 9:30 a.m. the hearing to consider Diamond Xpress, LLC's
disclosure statement dated Oct. 21, 2016, referring to the Debtor's
plan of reorganization.
Objections to the approval of the Disclosure Statement must be
filed by Nov. 21, 2016.
Diamond Xpress, LLC, filed for Chapter 11 bankruptcy protection
(Bankr. W.D. Tenn. Case No. 16-23669) on April 18, 2016. The
Debtor is represented by Russell W. Savory, Esq., at Beard &
Savory, PLLC.
DIRECTBUY HOLDINGS: Seeks Authorization to Use Cash Collateral
--------------------------------------------------------------
DirectBuy Holdings, Inc. and its affiliated Debtors ask the U.S.
Bankruptcy Court for the District of Delaware for authorization to
use cash collateral.
Pursuant to a Senior Secured Notes Indenture, among DirectBuy
Holdings, Inc., as issuer and each of the Debtors as guarantors,
and The Bank of New York Mellon Trust Company, N.A. as trustee and
collateral agent, DirectBuy Holdings issued 12% Senior Secured
Notes due 2017 in the aggregate principal amount of $335 million.
DirectBuy Holdings entered into an Exchange Agreement with (i)
certain holders of the Original Senior Secured Notes, (ii) Trivest
Partners IV, L.P. for itself and as manager under a certain
Management Agreement; and (iii) DirectBuy Investors, L.P.,
DirectBuy Investors-A, L.P., and DirectBuy Investors-B, L.P.
The Trivest Parties completed a restructuring of DirectBuy
Holdings' debt and equity pursuant to the Exchange Agreement,
whereby, among other things, the Original Senior Secured Notes in
the principal amount of $324.7 million were exchanged for: 100% of
the equity of DirectBuy Holdings, and $100 of 12% PIK Toggle Notes
due November 5, 2019. The Pre-Petition Notes were authorized and
issued pursuant to a Senior Secured Toggle Notes Indenture, among
DirectBuy Holdings, the Guarantors and U.S. Bank National
Association, as trustee and pre-petition collateral agent.
The Debtors granted U.S. Bank, as pre-petition collateral agent,
with a security interest in substantially all of their assets,
including, without limitation, investment property and general
intangibles, except for leasehold interests, cash and cash
equivalents for merchandise deposits, and membership fees by the
Debtors.
The Debtors submit that they were indebted to the Pre-Petition
Secured Parties in the approximate amount of $144,678,184.
Substantially all of the Debtors' cash, including, without
limitation, cash and other amounts on deposit of maintained by the
Debtors in any account, except for merchandise trust accounts and
the membership fees in a trust account in California, and any cash
proceeds of the disposition of any Pre-Petition Collateral, is cash
collateral of the Pre-Petition Parties.
The Debtors seek authority to use cash collateral for working
capital purposes; other general corporate purposes of the Debtors
and the Canadian Subsidiaries; and satisfaction of the costs and
expenses of administering these Chapter 11 cases in accordance with
the approved budget, subject to 15% permitted variances.
The Debtors propose the following Events of Default:
(1) Failure by the Debtors to observe or perform any of the
terms, provisions, conditions, covenants or obligations under the
Cash collateral orders;
(2) The Interim Order ceases to be in full force and effect
for any reason, to the extent a Final Order has not been entered at
such time;
(3) The Court enters an order dismissing any of the Chapter 11
cases or converting any of the Chapter 11 cases to a case under
Chapter 7 of the Bankruptcy Code ;
(4) The appointment of a trustee or examiner with expanded
powers in the Chapter 11 cases;
(5) Filing by the Debtors of any motion, pleading, application
or adversary proceeding challenging the validity, enforceability,
perfection or priority of liens securing the Pre-Petition Secured
Obligations or asserting any other cause of action against and/or
with respect to the Pre-Petition Secured Obligations or the
Pre-Petition Collateral securing such obligations;
(6) The date the Debtors will create, incur or suffer to exist
any post-petition liens or security interests other than those
granted pursuant to the Cash Collateral Orders and those that are
permitted to incur under the Pre-Petition Loan Documents;
(7) The termination of the Purchase Agreement by either the
Debtors or the Buyer;
(8) Failure of the Debtors to comply with the disbursement
line items in the Approved Budget for any three-week period for
which a budget variance is required;
(9) Any stay, reversal, rescission or other modification of
the terms of the cash collateral orders not consented to by the
Pre-Petition Collateral Agent;
(10) Failure of the Debtors to file a joint plan of
liquidation by December 15, 2016;
(11) Failure of the Canadian Subsidiaries to commence proposal
proceedings under the Bankruptcy and Insolvency Act of Canada by
November 2, 2016; and
(12) The date any of the Canadian Proposal Proceedings are
converted to an assignment into bankruptcy under the BIA.
The Debtors propose to grant the Pre-petition Secured Parties:
(1) allowed superpriority administrative expense claims;
(2) valid, binding, continuing, enforceable, fully-perfected,
non-voidable first priority liens on and security interests in all
pre-petition and post-petition acquired property and assets of the
Debtors;
(3) payment of all outstanding pre-petition and post-petition
reasonable and documented fees and expenses incurred by counsel to
the Pre-Petition Collateral Agent and counsel to certain
Pre-Petition Noteholders; and
(4) reporting and budget compliance.
The Debtors tell the Court that they have also filed a Sale Motion
seeking for the Court's approval of the Debtors' intention to sell
all or substantially all of their assets to Derby SPV, inc., an
entity formed at the direction of the Pre-Petition Noteholders.
A full-text copy of the Debtor's Motion, dated November 1, 2016, is
available at https://is.gd/hNDJsn
DirectBuy Holdings, Inc. and its affiliated Debtors are represented
by:
Marion M. Quirk, Esq.
Nicholas J. Brannick, Esq.
COLE SCHOTZ P.C.
500 Delaware Avenue, Suite 1410
Wilmington, DE 19801
Telephone: (302) 652-3131
Facsimile: (302) 652-3117
-- and --
Michael D. Sirota, Esq.
Ilana Volkov, Esq.
Felice R. Yudkin, Esq.
COLE SCHOTZ P.C.
25 Main Street
Hackensack, NJ 07602
Telephone: (201) 489-3000
Facsimile: (201) 489-1536
About DirectBuy Holdings
DirectBuy Holdings, Inc., United Consumers Club, Incorporated,
DirectBuy, Inc., Beta Finance Company, Inc., UCC Distribution,
Inc., U.C.C. Trading Corporation, National Management Corporation,
and UCC of Canada, Inc., each filed chapter 11 petitions (Bankr. D.
Del. Lead Case No. 16-12435) on November 1, 2016. The Debtors are
represented by Marion M. Quirk, Esq., Nicholas J. Brannick, Esq.,
Michael D. Sirota, Esq., Ilana Volkov, Esq., Felice R. Yudkin,
Esq., at Cole Schotz P.C. The Debtors' corporate headquarters is
located at 8450 Broadway, Merrilville, IN 46410.
DOVER DOWNS: Posts $520,000 Net Earnings for Third Quarter
----------------------------------------------------------
Dover Downs Gaming & Entertainment, Inc., filed with the Securities
and Exchange Commission its quarterly report on Form 10-Q
disclosing net earnings of $520,000 on $47.11 million of revenues
for the three months ended Sept. 30, 2016, compared to net earnings
of $826,000 on $47.19 million of revenues for the same period in
2015.
For the nine months ended Sept. 30, 2016, the Company reported net
earnings of $1.07 million on $138.05 million of revenues compared
to net earnings of $1.10 million on $136.83 million of revenues for
the nine months ended Sept. 30, 2015.
As of Sept. 30, 2016, Dover Downs had $171.98 million in total
assets, $55.64 million in total liabilities and $116.33 million in
total stockholders' equity.
On Sept. 1, 2016, the Company modified its credit agreement with
its bank group. The credit facility was modified to: extend the
maturity date to Sept. 30, 2017; adjust the maximum borrowing limit
from $40,000,000 to $35,000,000 as of March 31, 2017 and through
the date of maturity; modify the maximum ratio of funded debt to
earnings before interest, taxes, depreciation and amortization; and
delete the minimum consolidated tangible net worth requirement and
the minimum consolidated earnings before interest, taxes,
depreciation and amortization requirement.
"The credit facility is classified as a current liability as of
September 30, 2016 in our consolidated balance sheets as the
facility expires on September 30, 2017. We will seek to refinance
or extend the maturity of this obligation prior to its expiration
date; however, there is no assurance that we will be able to
execute this refinancing or extension or, if we are able to
refinance or extend this obligation, that the terms of such
refinancing or extension would be as favorable as the terms of our
existing credit facility. These factors raise substantial doubt
about our ability to continue as a going concern. The accompanying
financial statements have been prepared assuming that we will
continue as a going concern and do not include any adjustments that
might result from the outcome of this uncertainty," the Company
stated in the quarterly report.
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/GAwM1v
About Dover Downs
Owned by Dover Downs Gaming & Entertainment, Inc. (NYSE: DDE),
Dover Downs Hotel & Casino(R) is a gaming and entertainment resort
destination in the Mid-Atlantic region. Gaming operations consist
of approximately 2,500 slots and a full complement of table games
including poker. The AAA-rated Four Diamond hotel is Delaware's
largest with 500 luxurious rooms/suites and amenities including a
full-service spa/salon, concert hall and 41,500 sq. ft. of multi-
use event space. Visit http://www.doverdowns.com/
DRT HEEL: Hires R. Keith Johnson as Bankruptcy Counsel
------------------------------------------------------
DRT Heel, LLC, seeks authority from the U.S. Bankruptcy Court for
the Western District of North Carolina to employ the Law Offices of
R. Keith Johnson, PA as attorney to the Debtor.
DRT Heel requires Johnson to:
a. give legal advice to the Debtor with respect to its
powers and duties as debtor-in-possession in the continued
operation of its business and management of its property;
b. represent in lawsuits now pending against the Debtor; and
c. perform all other legal services for the Debtor as Debtor-
in-possession which may be necessary herein.
R. Keith Johnson, member of the Law Offices of R. Keith Johnson,
PA, 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 Debtor and its
estates.
Johnson can be reached at:
R. Keith Johnson, Esq.
THE LAW OFFICES OF R. KEITH JOHNSON, PA
1275 Highway, 16 S
Stanley, NC 28164
Tel: (704) 827-4200
About DRT Heel
DRT Heel, LLC, filed a Chapter 11 bankruptcy petition (Bankr.
W.D.N.C. Case No. 16-31643) on October 7, 2016, disclosing under $1
million in both assets and liabilities. The Debtor is represented
by lawyers at the Law Offices of R. Keith Johnson, Esq.
DUFOUR PASTRY: Seeks to Hire DelBello Donnellan as Legal Counsel
----------------------------------------------------------------
Dufour Pastry Kitchens, Inc. seeks approval from the U.S.
Bankruptcy Court for the Southern District of New York to hire
legal counsel in connection with its Chapter 11 case.
The Debtor proposes to hire DelBello Donnellan Weingarten Wise &
Wiederkehr, LLP to give legal advice regarding its duties under the
Bankruptcy Code, assist in the preparation of a bankruptcy plan,
give advice regarding the potential sale of its assets, and provide
other legal services.
The hourly rates charged by the firm for its attorneys range from
$375 to $595. Meanwhile, law clerks and paraprofessionals are paid
$200 per hour and $150 per hour, respectively.
Jonathan Pasternak, Esq., at DelBello, disclosed in a court filing
that the firm is a "disinterested person" as defined in section
101(14) of the Bankruptcy Code.
The firm can be reached through:
Jonathan S. Pasternak, Esq.
Dawn Kirby, Esq.
DelBello Donnellan Weingarten
Wise & Wiederkehr, LLP
One North Lexington Avenue
White Plains, NY 10601
Phone: (914) 681-0200
About Dufour Pastry Kitchens
Dufour Pastry Kitchens Inc. filed a chapter 11 petition (Bankr.
S.D.N.Y. Case No. 16-12975) on October 24, 2016. The petition was
signed by Carla Krasner, vice president. The Debtor is represented
by Dawn Kirby, Esq. and Jonathan S. Pasternak, Esq., at Delbello
Donnellan Weingarten Wise & Wiederkehr LLP. The case is assigned
to Judge Stuart M. Bernstein. The Debtor estimated assets and
liabilities at $1 million to $10 million at the time of the
filing.
For over thirty years, the Debtor, a woman-owned business, has made
and sold premium frozen ready-to-bake puff pastry dough, tart
shells, and hors d'oeuvres. Its products are made by hand in the
Bronx using butter sourced from an upstate New York creamery, then
shipped across the country to distributors serving the finest
caterers, restaurants, hotels, and such specialty supermarket
chains as Whole Foods, Sprouts, King's, Giant Eagle and Fresh
Market. In New York City, customers include the Waldorf Astoria,
Sheraton NY, and Grand Hyatt as well as specialty food shops like
Zabar's, Dean & Deluca, Citarella and Fairway.
The Debtor produces pastry components (business to business) to
manufacturers who make finished product for Walmart, Costco and
other big box stores, and also produces elegant private label hors
d'oeuvres for mail order catalogs. Their brand, particularly
renowned for their puff pastry has garnered praise from The New
York Times, Bon Appetit magazine and such celebrity chefs and food
personalities as Martha Stewart, Rachel Ray, Mario Batali and
Thomas Keller. Over 65% of the Debtor's workforce are residents of
the Bronx, and the Debtor is a Nationally Certified Women Owned
Business (WBENC).
EAST COAST FOODS: Trustee Seeks to Hire Triple Enterprises
----------------------------------------------------------
Bradley Sharp, the Chapter 11 trustee of East Coast Foods Inc.,
seeks approval from the U.S. Bankruptcy Court for the Central
District of California to hire Triple Enterprises.
The firm will provide bookkeeping and accounting services for the
Debtor's four restaurants located throughout the Los Angeles area.
Mr. Sharp proposes to compensate the firm at the rate of
$15,000 per month for a period of up to three months. Triple
Enterprises will also receive reimbursement for work-related
expenses.
Philip Gay, a partner at Triple Enterprises, disclosed in a court
filing that his firm does not hold or represent any interest
adverse to the Debtor's bankruptcy estate or its creditors.
The firm can be reached through:
Philip Gay
Triple Enterprises
6800 Owensmouth Avenue, Suite 350
Canoga Park, CA 91303
Tel: 818-703-8300 x 100
Fax: 818-703-8400
About East Coast Foods
East Coast Foods Inc., a California corporation, is the owner and
operator of four Roscoe' Chicken N' Waffles restaurants in Los
Angeles area. East Coast Foods sought protection under Chapter 11
of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 16-13852) on
March 25, 2016. The petition was signed by Herbert Hudson,
president.
The Debtor is represented by Vakhe Khodzhayan, Esq., at KG Law,
APC. The case is assigned to Judge Sheri Bluebond.
The Debtor estimated assets of $0 to $50,000 and debts of $10
million to $50 million.
The Office of the U.S. Trustee on April 29 appointed five creditors
of East Coast Foods, Inc., to serve on the official committee of
unsecured creditors.
Bradley D. Sharp was appointed Chapter 11 trustee of the Debtor's
estate on September 28, 2016.
EAST COAST FOODS: Trustee Taps Next Idea to Manage Restaurants
--------------------------------------------------------------
Bradley Sharp, the Chapter 11 trustee of East Coast Foods Inc.,
seeks approval from the U.S. Bankruptcy Court for the Central
District of California to hire The Next Idea (International) LLC.
The firm will manage the Debtor's restaurant business, which
includes running its four Roscoe's Chicken 'N Waffles restaurants
located throughout the Los Angeles area.
Next Idea will receive a fee in the amount of $16,950 for the first
month and a monthly fee of $18,000 for the second and third months.
On the fourth month and thereafter, the firm will receive a
monthly fee of $12,000.
Robert Ancill, a partner at Next Idea, disclosed in a court filing
that his firm does not hold or represent any interest adverse to
the Debtor's bankruptcy estate or its creditors.
The firm can be reached through:
Robert Ancill
The Next Idea (International) LLC
21300 Victory Boulevard, Suite 680
Woodland Hills, CA 91367
Phone: 818-887-7714
Fax: 818-221-0274
Email: robert@thenextidea.net
About East Coast Foods
East Coast Foods Inc., a California corporation, is the owner and
operator of four Roscoe' Chicken N' Waffles restaurants in Los
Angeles area. East Coast Foods sought protection under Chapter 11
of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 16-13852) on
March 25, 2016. The petition was signed by Herbert Hudson,
president.
The Debtor is represented by Vakhe Khodzhayan, Esq., at KG Law,
APC. The case is assigned to Judge Sheri Bluebond.
The Debtor estimated assets of $0 to $50,000 and debts of $10
million to $50 million.
The Office of the U.S. Trustee on April 29 appointed five creditors
of East Coast Foods, Inc., to serve on the official committee of
unsecured creditors.
Bradley D. Sharp was appointed Chapter 11 trustee of the Debtor's
estate on September 28, 2016.
EC ABATEMENT: Seeks to Hire John Lehr as Legal Counsel
------------------------------------------------------
EC Abatement Inc. seeks approval from the U.S. Bankruptcy Court for
the Eastern District of New York to hire legal counsel in
connection with its Chapter 11 case.
The Debtor proposes to hire John Lehr, P.C. to give legal advice
regarding its duties under the Bankruptcy Code, negotiate with
creditors, assist in the preparation of a bankruptcy plan, and
provide other legal services.
The firm will be paid an hourly rate of $300 for its services.
John Lehr, Esq., disclosed in a court filing that his firm does not
represent any interest adverse to the Debtor or its bankruptcy
estate.
The firm can be reached through:
John Lehr, Esq.
John Lehr, P.C.
1979 Marcus Avenue, Suite 210
New Hyde Park, NY 11042
Tel:(516) 200-3523
About EC Abatement
EC Abatement Inc. filed for Chapter 11 bankruptcy protection
(Bankr. E.D.N.Y. Case No. 16-72505) on June 6, 2016. The petition
was signed by Leventis Omotade, president.
At the time of the filing, the Debtor estimated assets of less than
$100,000 and liabilities of less than $1 million.
EJS INCORPORADO: Hires Ruben Gonzalez as Attorney
-------------------------------------------------
EJS Incorporado seeks authority from the U.S. Bankruptcy Court for
the District of Puerto Rico to employ Ruben Gonzalez Marrero &
Associates as attorney to the Debtor.
EJS Incorporado requires Ruben Gonzalez to represent the Debtor in
the Chapter 11 bankruptcy proceedings.
Ruben Gonzalez will be paid at the hourly rate of $250.
Ruben Gonzalez will be paid a retainer in the amount of $15,000.
Ruben Gonzalez will also be reimbursed for reasonable out-of-pocket
expenses incurred.
Ruben Gonzalez Marrero, member of Ruben Gonzalez Marrero &
Associates, assured the Court that the firm is a "disinterested
person" as the term is defined in Section 101(14) of the Bankruptcy
Code and does not represent any interest adverse to the Debtor and
its estates.
Ruben Gonzalez can be reached at:
Ruben Gonzalez Marrero, Esq.
RUBEN GONZALEZ MARRERO & ASSOCIATES
Carr. 174, Blq. 21-24
Urb. Santa Rosa
Bayamon, PR 00959
Tel: (787) 798-8600
About EJS Incorporado
EJS Incorporado aka EJS Inc. filed a chapter 11 petition (Bankr.
D.P.R. Case No. 16-01647) on March 1, 2016. The petition was signed
by Jose Manuel Rodriguez Amador, president. According to its
bankruptcy petition, the Debtor is represented by Ada M. Conde,
Esq. The case is assigned to Judge Edward A. Godoy. The Debtor
estimated assets at $0 to $50,000 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.
ELITE RESEARCH: Can Use Wells Fargo Cash Collateral on Final Basis
------------------------------------------------------------------
Judge Robert A. Mark of the U.S. Bankruptcy Court for the Southern
District of Florida authorized Elite Research Institute, Inc. to
use Wells Fargo Bank, N.A.'s cash collateral on a final basis.
The Debtor was authorized to use cash collateral to continue its
business operations and to pay its regular operating expenses in
accordance with the approved Budget, which provides for total
operating expenses of $341,918, and covers the months of October
2016 through January 2017.
Wells Fargo was granted with a replacement lien on all property
acquired or generated post petition by the Debtor to the same
extent and priority, and of the same kind and nature as Wells
Fargo's prepetition liens and security interests in the cash
collateral, subject and junior to the fees of the Office of the
U.S. Trustee.
The Debtor was directed to begin making adequate protection
payments to Wells Fargo, as follows:
(a) November 15, 2016: $1,667.003;
(b) December 15, 2016: $1,667.00;
(c) January 15, 2017 and the 15th of each month thereafter,
until the effective date of a Chapter 11 plan: $7,550, or some
other amount as may be agreed to by and between the parties to be
included in a subsequent extended Budget.
The Debtor's right to use Wells Fargo's Cash Collateral will
terminate on the date upon which the Court enters an Order, after
the earlier of:
(a) notice and a hearing, finding that the Debtor is in
default of the provisions of any Order granting the Motion,
(b) upon Order of this Court terminating the Debtor’s use of
Cash Collateral, or
(c) January 31, 2017.
Judge Mark also ordered that all creditors, all committees of
creditors that may be appointed in this case all equity security
holders and other parties in interest must file with the Court any
complaint objecting to the extent, validity, priority, amount or
any other aspect of the Wells Fargo indebtedness and/or Wells Fargo
Liens on or before December 30, 2016, or be forever barred from
instituting any such action. If any committee or trustee is
appointed in the case after December 30, 2016, the Wells Fargo Lien
Challenge Deadline will be extended solely as to such committee or
trustee until 60 days after the date of their respective
appointments.
A full-text copy of the Final Order, dated November 2, 2016, is
available at https://is.gd/pZJq9c
About Elite Research Institute
Elite Research Institute, Inc., filed a chapter 11 petition (Bankr.
E.D. Fla. Case No. 16-23683) on Oct. 5, 2016. The petition was
signed by Antolin Benitez, president. The Debtor is represented by
Jacqueline Calderin, Esq., at Ehrenstein Charbonneau Calderin. The
case is assigned to Judge Robert A. Mark. The Debtor estimated
assets at $0 to $50,000 and liabilities at $1 million to $10
million at the time of the filing.
EMBARQ CORP: S&P Affirms 'BB' Rating on Sr. Unsecured Debt
----------------------------------------------------------
S&P Global Ratings affirmed its 'BB' issue-level rating on U.S.
diversified telecommunications provider CenturyLink Inc.'s
wholly-owned subsidiary Embarq Corp.'s senior unsecured debt and
removed the rating from CreditWatch, where S&P had placed it with
positive implications on Oct. 31, 2016. The recovery rating
remains '3', indicating S&P's expectation for meaningful (50%-70%;
at the upper end of the range) recovery in the event of payment
default.
"The affirmation is based on our understanding that this debt will
not be subject to a springing lien as a result of the new secured
debt being proposed at CenturyLink. The positive CreditWatch
reflected the potential that this debt could receive a lien on the
assets at Embarq if new secured debt was put in place. As a
result, notwithstanding the fact that the new secured debt at
CenturyLink would reduce recovery prospects for unsecured creditors
at Embarq, the positive CreditWatch reflected our view that the
recovery rating on this debt would no longer have been subject to a
ratings cap once it became secured, according to our criteria.
Today's rating affirmation reflects our view that the Embarq bonds
will remain unsecured claims, although they will share equally and
ratably with the new secured debt with respect to Embarq.
Accordingly, our rating on this debt will be capped at the
corporate credit rating on CenturyLink," S&P said.
At the same time, S&P placed the 'BB' rating on CenturyLink
subsidiary Qwest Capital Funding Inc.'s (QCF) senior unsecured debt
on CreditWatch with negative implications based on S&P's
preliminary understanding, subject to regulatory approval, that
there will be a pledge of stock from Qwest Corp. to the proposed
secured facilities at CenturyLink as well as a guarantee of the new
secured debt by Qwest Services Corp., which would reduce recovery
prospects for unsecured creditors at QCF. S&P do not expect to
lower the issue-level rating on this debt more than two notches.
S&P's rating on Qwest Corp.'s debt remains 'BBB-' with a recovery
rating of '1', which indicates S&P's expectation for very high
(90%-100%) recovery in the event of payment default.
RATINGS LIST
CenturyLink Inc.
Corporate Credit Rating BB/Stable/B
Rating Affirmed And Removed From CreditWatch; Recovery Rating
Unchanged
To From
Embarq Corp.
Senior Unsecured BB BB/Watch Pos
Recovery Rating 3H 3H
Rating Placed On CreditWatch
Qwest Capital Funding Inc.
Senior Unsecured BB/Watch Neg BB
Recovery Rating 3H 3H
EMERALD OIL: Plan Filing Deadline Extended Thru Feb. 17
-------------------------------------------------------
Judge Kevin Gross entered a second order extending the exclusivity
periods of Emerald Oil, Inc., et al. The Debtors' exclusive plan
filing deadline has been extended thru Feb. 17, 2017, and their
plan solicitation period extended thru April 18, 2017.
About Emerald Oil
Emerald is a Denver-based independent exploration and production
company that is focused on acquiring acreage and developing wells
in the Williston Basin of North Dakota.
Emerald Oil, Inc., Emerald DB, LLC, Emerald NWB, LLC, Emerald WB
LLC and EOX Marketing, LLC filed separate Chapter 11 bankruptcy
petitions (Bankr. D. Del. Case Nos. 16-10704 to 16-10708) on March
22, 2016. Ryan Smith signed the petitions as chief financial
officer.
The Debtors have hired Kirkland & Ellis LLP and Kirkland & Ellis
International LLP as general bankruptcy counsel, Pachulski Stang
Ziehl & Jones LLP as local counsel, Intrepid Financial Partners,
LLC as investment banker, Opportune LLP as restructuring advisor
and Donlin Recano & Company, Inc., as claims and noticing agent.
Judge Kevin Gross has been assigned the cases.
Andrew Vara, acting U.S. trustee for Region 3, appointed seven
creditors of Emerald Oil, Inc., to serve on the official committee
of unsecured creditors. The Committee retains Whiteford, Taylor &
Preston LLC as Delaware counsel, and Akin Gump Strauss Hauer & Feld
LLP as co-counsel.
EMPIRE RESORTS: Stockholders Elect Six Directors
------------------------------------------------
Empire Resorts, Inc., held its 2016 annual meeting of stockholders
in New York, on Nov. 1, 2016, at which the stockholders elected
Joseph A. D'Amato, Emanuel R. Pearlman, Keith Horn, Edmund
Marinucci, Gregg Polle and Nancy A. Palumbo as directors.
The stockholders also approved an amendment and restatement of the
Company's Amended and Restated Certificate of Incorporation, as
amended to:
* (i) delete the provision allowing directors to remove other
directors from the Board of Directors and (ii) enable
stockholders to remove directors from the Board with or
without cause;
* delete the provision referencing the applicability of the
gaming laws and regulations of the State of Mississippi to
transfers of the Company's capital stock and retain the
provision referencing the applicability of the gaming laws
and regulations of any jurisdiction in which the Company
conducts gaming operations to the ownership of the Company's
capital stock;
* clarify that the director vote required to amend the
Company's By-Laws is a "majority of the directors then in
office";
* amend the indemnification provisions to (i) leave to the
discretion of the Board whether to extend indemnification and
advancement of expenses to employees and agents of the
Company, and (ii) clarify that the Company will pay a
claimant in an indemnification or advancement action fees
that are proportionate to his or her level of success in the
indemnification or advancement action;
* add a provision that all internal corporate claims be brought
exclusively in Delaware courts; and
* to clarify that, in accordance with Delaware General
Corporation Law, the Board, in addition to stockholders, must
approve a repeal or modification of the article relating to
director exculpation from monetary liability for breach of
fiduciary duty under certain circumstances.
The proposal to conduct a non-binding advisory vote on the
Company's 2015 was also approved.
executive compensation.
A full-text copy of the Form 8-K report is available for free at:
https://is.gd/peXBXB
About Empire Resorts
Based in Monticello, New York, Empire Resorts, Inc. (NASDAQ: NYNY)
-- http://www.empireresorts.com/-- owns and operates Monticello
Casino & Raceway, a video gaming machine and harness racing track
and casino located in Monticello, New York, 90 miles northwest of
New York City.
Empire Resorts reported a net loss applicable to common
shareholders of $36.8 million on $68.2 million of net revenues for
the year ended Dec. 31, 2015, compared to a net loss applicable to
common shareholders of $24.1 million on $65.2 million of net
revenues for the year ended Dec. 31, 2014.
As of June 30, 2016, Empire Resorts had $341 million in total
assets, $50.98 million in total liabilities and $290 million in
total stockholders' equity.
EPICENTER PARTNERS: Seeks to Extend Solicitation Period to Jan. 10
------------------------------------------------------------------
Epicenter Partners, LLC and Gray Meyer Fannin, LLC request the U.S.
Bankruptcy Court for the District of Arizona to extend that period
during which only the Debtors may solicit acceptances of a Chapter
11 Plan be extended through January 10, 2017.
The Debtors relate that in the past months, they have:
(a) looked towards moving this case along by filing a Motion
to Set Valuation Hearing with respect to the Debtors' real property
that will be a necessary component of the Amended Plan, which is
currently pending before the Court;
(b) sought entry of a stipulated order with the Arizona State
Land Department that would, among other things, extend the deadline
for the May Debtors to assume or reject their lease with the ASLD
through March 1, 2017; and
(c) engaged in negotiations with the Official Committee of
Unsecured Creditors to arrive at a consensual plan treatment, which
resulted in the filing of the Debtors' First Amended Chapter 11
Plan of Reorganization as well as their Disclosure Statement on
October 28, 2016.
The Debtor further relate that without the extension of its
exclusivity period, the deadline to solicit acceptance of the Plan
would expire on November 11, 2016.
About Epicenter Partners
Epicenter Partners LLC and Gray Meyer Fannin LLC sought protection
under Chapter 11 of the Bankruptcy Code (Bankr. D. Ariz. Lead Case
No. 16-05493) on May 16, 2016. GMF came into existence in 2001.
It was originally formed for the purpose of providing development
services for affiliates. Epicenter came into existence in 2004. It
was formed for the purposes of acquiring, managing, selling or
holding land for investment. Both Debtors are fully owned by
Gray/Western Development Company and managed, pursuant to that
entity, by Bruce Gray.
The Debtors tapped Thomas J. Salerno, Esq., at Stinson Leonard
Street, LLP, as their Chapter 11 counsel.
Epicenter Partners disclosed $143,212,665 in assets and $66,913,279
in liabilities.
The Office of the U.S. Trustee on June 15, 2016, appointed five
creditors of Epicenter Partners LLC and Gray Meyer Fannin LLC to
serve on the official committee of unsecured creditors. The
Committee is represented by Michael W. Carmel, Ltd., as counsel.
ERICKSON INC: Two Directors Resign From Board
---------------------------------------------
James Welch resigned from the Board of Directors of Erickson
Incorporated effective Oct. 27, 2016. At the time of resignation,
Mr. Welch served on the Compensation and the Nominating and
Corporate Governance Committees of the Board.
Effective Oct. 28, 2016, Quinn Morgan resigned from the Board of
the Company. At the time of resignation, Mr. Morgan did not serve
on any committee of the Board.
Neither Mr. Welch's nor Mr. Morgan's decisions were the result of
any disagreement with the Company or the Board.
About Erickson Inc.
Erickson Incorporated and its subsidiaries and affiliated companies
are a global provider of aviation services. The Company owns,
operates, maintains and manufactures utility aircraft to transport
and place people and cargo around the world for commercial and
governmental entities, with three distinct reportable segments
consisting of Commercial Aviation Services, Global Defense and
Security, and Manufacturing and Maintenance, Repair and Overhaul.
Through its Commercial Aviation Services and Global Defense and
Security segments, the Company provides aerial services that
include critical supply and logistics for firefighting, timber
harvesting, infrastructure construction, deployed military forces,
humanitarian relief, and crewing. Through its Manufacturing and MRO
segment, the Company provides manufacturing and maintenance, repair
and overhaul services for certain aircraft, as well as aircraft
sales.
As of June 30, 2016, Erickson Incorporated had $584 million in
total assets, $558 million in total liabilities and $25.9 million
in total equity.
Erickson reported a net loss of $86.6 million in 2015 following a
net loss of $10.2 million in 2014.
* * *
The Company carries a 'CCC' corporate credit rating from S&P Global
Ratings and a 'Caa3' corporate family rating from Moody's Investors
Service.
ESPLANADE HL: Can Use First Midwest Cash Through Nov. 7
-------------------------------------------------------
Judge Carol A. Doyle of the U.S. Bankruptcy Court for the Northern
District of Illinois authorized 2380 Esplanade Drive, LLC and 9501
W. 144th Place, LLC to use First Midwest Bank's cash collateral
through Nov. 7, 2016. Judge Doyle also authorized the Receiver of
171 W. Belvidere Road, LLC and Esplanade HL, LLC to use First
Midwest Bank's cash collateral through Nov. 7, 2016.
Matthew Brash was appointed as Receiver over: (a) Belvidere's
property, by the Circuit Court of the 19th Judicial Circuit in Lake
County, IL; (b) EHL's property, by the 16th Judicial Circuit in
Kane County, IL; (c) Esplanade's, property by the Kane County
Court; and (d) 9501's, property by the Circuit Court of Cook
County, Chancery Division.
The approved Budget projects total expenses of $4,737 for
Esplanade, $1,620 for 9501, $6,146 for Belvidere, ad $1,850 for
EHL.
First Midwest Bank was granted with replacement liens on the
collateral described in their respective prepetition security
documents. The replacement liens will be of the same priority as
set forth in the prepetition security documents, subject to the
payment of the U.S. Trustee's fees and payment of all expenses in
the Debtors' proposed Budget.
Judge Doyle directed the tenants of each of the Debtors' respective
properties to pay rent, including, but not limited to, the rents
due November 1, 2016, as follows:
(a) Belvidere tenants will pay rents to the Belvidere
Receiver;
(b) Esplanade HL will pay rents to the Esplanade HL Receiver;
(c) Esplanade Drive tenants will pay rents to Esplanade Drive;
and
(d) 9501 W. 144th Place tenants will pay rents to 9501 W.
144th Place.
A full-text copy of the Interim Order, entered on November 1, 2016,
is available at https://is.gd/2oN8rX
bout Esplanade HL
Esplanade HL, LLC, 2380 Esplanade Drive, LLC, 9501 W. 144th Place,
LLC, and 171 W. Belvedere Road, and LLC, Big Rock Ranch, LLC each
filed chapter 11 petitions (Bankr. N.D. Ill. Case Nos. 16-33008,
16-33010, 16-33011, 16-33013, and 16-33015,respectively) on October
17, 2016. The petitions were signed by William Vander Velde III,
sole member and manager.
The Debtors are represented by Harold D. Israel, Esq. and Sean P.
Williams, Esq., at Goldstein & McClintock, LLLP. Esplanade HL's
case is assigned to Judge Carol A. Doyle. 2380 Esplanade Drive's
case is assigned to Judge Donald R Cassling. 9501 W. 144th Place's
case is assigned to Judge Timothy A. Barnes. 171 W. Belvidere
Road, LLC's case is assigned to Judge Janet S. Baer. Big Rock
Ranch's case is assigned to Judge Deborah L. Thorne. The Debtors
have requested the joint administration of their cases.
Big Rock Ranch estimated assets at $500,000 to $1 million and
liabilities at $100,000 to $500,000. All the other Debtors
estimated assets and liabilities at $1 million to $10 million.
EXCO RESOURCES: Posts $50.9 Million Net Income for Third Quarter
----------------------------------------------------------------
Exco Resources, Inc., filed with the Securities and Exchange
Commission its quarterly report on Form 10-Q disclosing net income
of $50.93 million on $77.2 million of total revenues for the three
months ended Sept. 30, 2016, compared to a net loss of $354.5
million on $90.51 million of total revenues for the three months
ended Sept. 30, 2015.
For the nine months ended Sept. 30, 2016, the Company reported a
net loss of $190.6 million on $192.06 million of total revenues
compared to a net loss of $1.12 billion on $285.15 million of total
revenues for the same period during the prior year.
As of Sept. 30, 2016, Exco Resources had $686.0 million in total
assets, $1.52 billion in total liabilities and a total
shareholders' deficit of $837.6 million.
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/3mLAet
About EXCO Resources
EXCO Resources, Inc. is an oil and natural gas exploration,
exploitation, development and production company headquartered in
Dallas, Texas with principal operations in Texas, North Louisiana
and the Appalachia region.
Additional information about EXCO Resources, Inc. may be obtained
by contacting Tyler Farquharson, EXCO's Vice President of Strategic
Planning, acting Chief Financial Officer and Treasurer, at EXCO's
headquarters, 12377 Merit Drive, Suite 1700, Dallas, TX 75251,
telephone number (214) 368-2084, or by visiting EXCO's Web site at
http://www.excoresources.com/
EXCO Resources reported a net loss of $1.19 billion for the year
ended Dec. 31, 2015, following net income of $120.7 million for the
year ended Dec. 31, 2014.
"We have recently experienced losses as a result of the recent
decline in oil and natural gas prices, and, as of December 31,
2015, we had negative shareholders' equity of $662.3 million, which
means that our total liabilities exceeded our total assets. We may
not be able to return to profitability in the near future, or at
all, and the continuing existence of negative shareholders' equity
may limit our ability to obtain future debt or equity financing or
to pay future dividends or other distributions. If we are unable
to obtain financing in the future, it could have a negative effect
on our operations and our liquidity," the Company stated in its
annual report for the year ended Dec. 31, 2015.
FAIRYTALE DAY CARE: Unsecureds To Get 10% in 24 Months
------------------------------------------------------
Fairytale Day Care, Inc., filed with the U.S. Bankruptcy Court for
the Eastern District of New York a third amended disclosure
statement referring to the Debtor's plan of reorganization.
Under the Plan, Class II General Unsecured Claims totaling
approximately $10,072.22 -- penalties accessed New York State
Department of Taxation and Finance is $2,585.42; penalties accessed
Internal Revenue Service is $5,023.74; ConEdison is $2,463.06 -- is
impaired. The Debtor proposes to pay the unsecured creditors 10%
dividend of their allowed claims in 24 equal monthly installments.
Payments and distributions under the Plan will be funded by
continued operation and increased earnings of the Debtor. New
value contributions by the principles of the Debtor.
The Third Amended Disclosure Statement is available at:
http://bankrupt.com/misc/nyeb15-42535-112.pdf
Fairytale Day Care, Inc., is a corporation formed under the laws of
the State of New York. Since April 2011, the Debtor has been
operating Fairytale Day Care, Inc., currently located at 99 13/17
63rd Road, Rego Park, New York 11374.
The Debtor filed a Chapter 11 Petition on May 29, 2015 (Bankr.
E.D.N.Y. Case No. 15-42535), and is represented by Alla Kachan,
Esq., at the Law Offices of Alla Kachan, P.C.
FAMILY CHIROPRACTIC: Hires Jose Ramos as Accountant
---------------------------------------------------
Family Chiropractic Health Centers, Corp., seeks authority from the
U.S. Bankruptcy Court for the Middle District of Florida to employ
Jose Ramos as accountant to the Debtor.
Family Chiropractic requires Ramos to assist the Debtor in the
payroll, bookkeeping and all accounting duties.
Ramos will be paid at the hourly rate of $225. For payroll
services, Ramos will be paid $55 per payroll. Ramos will spend 20
hours per week in the case.
Ramos will also be reimbursed for reasonable out-of-pocket expenses
incurred.
Jose Ramos, 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 Debtor and
its estates.
Ramos can be reached at:
Jose Ramos
2344 Crestover Lane
Wesley Chapel, FL 33544
About Family Chiropractic
Family Chiropractic Health Centers, Corp., filed a Chapter 11
bankruptcy petition (Bankr. M.D. Fla. Case No. 16-08291) on
September 26, 2016, disclosing under $1 million in both assets and
liabilities. The Debtor is represented by David W. Steen, Esq., at
David W. Steen, P.A.
No official committee of unsecured creditors has been appointed in
the case.
FINTON CONSTRUCTION: Seeks to Employ Kenneth Mueller as Accountant
------------------------------------------------------------------
Finton Construction, Inc., seeks authorization from the U.S.
Bankruptcy Court for the Southern District of Florida to employ
Kenneth J Mueller, CPA, Cr.FA, as accountant, nunc pro tunc to
August 18, 2016.
The Debtor requires Kenneth Mueller to:
(a) advise the Debtor to its reporting requirements and
prepare the monthly operating reports as required;
(b) take all necessary action and precaution to protect and
preserve the Debtor's estate;
(c) prepare, on the Debtor's behalf, all tax returns, business
financial management reports, and monthly operating reports
necessary to the administration of the estat; and,
(d) perform all other necessary accounting services and
provide all other necessary financial and tax advice to the Debtor
in connection with the Chapter 11 case.
Kenneth Mueller will be paid at an hourly rate of $250.
Kenneth Mueller will also be reimbursed for reasonable
out-of-pocket expenses incurred.
Kenneth J. Mueller, 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.
Kenneth Mueller can be reached at:
Kenneth J. Mueller, CPA, Cr.FA
ACCOUNTING ALLIANCE FOR SMALL BUSINESS
6453 South Orange Avenue, Suite 3
Orlando, FL 32809
About Finton Construction
Finton Construction, Inc., sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. S.D. Fla. Case No. 16-19221) on June
30, 2016. The petition was signed by John Finton, president. The
case is assigned to Judge Laurel M. Isicoff. The Debtor is
represented by David L. Merrill, Esq., at Merrill PA. At the time
of the filing, the Debtor estimated its assets at $0 to $50,000 and
debt at $1 million to $10 million.
The Debtor operates as a construction company that builds the
finest homes in the United States and overseas, with primary
operations occurring on Star Island in Miami-Dade County, Florida.
FIRST WIVES ENTERTAINMENT: Seeks to Hire DiConza as Legal Counsel
-----------------------------------------------------------------
First Wives Entertainment Limited Liability Company seeks approval
from the U.S. Bankruptcy Court for the Southern District of New
York to hire legal counsel.
The Debtor proposes to hire DiConza Traurig Kadish LLP to give
legal advice regarding its duties under the Bankruptcy Code and
provide other services related to its Chapter 11 case.
The hourly rates charged by the firm range from $375 to $645 for
attorneys and $195 for law clerks and legal assistants.
Allen Kadish, Esq., at DiConza, disclosed in a court filing that
the firm is a "disinterested person" as defined in section 101(14)
of the Bankruptcy Code.
The firm can be reached through:
Allen G. Kadish, Esq.
DiConza Traurig Kadish LLP
630 Third Avenue
New York, NY 10017
Tel: (212) 682-4940
Fax: (212) 682-4942
Email: akadish@dtklawgroup.com
About First Wives Entertainment
First Wives Entertainment Limited Liability Company is the holder
of the underlying rights to, and the vehicle through which First
Wives Club, the iconic movie, is being developed as a musical for
the Broadway and global stage, as well as for associated marketing
and merchandising.
On May 5, 2016, Aruba Productions LLC, Arnold Venture Fund L.P. and
Edward H. Arnold filed an involuntary petition under Chapter 7 of
the Bankruptcy Code against First Wives Entertainment Limited
Liability Company.
The Chapter 7 case was converted to a voluntary case under Chapter
11 [Bankr. S.D.N.Y. Case No. 16-11345] on August 23, 2016.
No official committee of unsecured creditors, trustee or examiner
has been appointed in the case as of October 24, 2016.
FRESH & EASY: Selling Liquor License to Trader Joes for $12K
------------------------------------------------------------
Fresh & Easy, LLC, filed a notice with the U.S. Bankruptcy Court
for the District of Delaware indicating that it will sell Liquor
License (No. 539726) to Trader Joes Co. for $12,000.
On Oct. 30, 2015, the Debtor filed a voluntary petition for relief
under chapter 11 of title 11 of the United States Code in the
Court.
On Dec. 3, 2015, the Court entered Miscellaneous Asset Sale Order
authorizing the Debtor to sell or transfer certain miscellaneous
assets pursuant to the procedures set forth in the Miscellaneous
Asset Sale Order. Pursuant to the Miscellaneous Asset Sale Order,
the Debtor proposes to sell Liquor License (No. 539726) to Trader
Joes pursuant to their Purchase Agreement.
The known parties holding liens or other interest in the asset are
(a) Wells Fargo Bank, National Association; (b) California
Department of Alcoholic Beverage Control Headquarters; (c)
California State Board of Equalization; (d) State of California
Franchise Tax Board; (e) EM-50 UAV SLBCO, LLC; (f) deRegt
Investment Holdings, LLC; (g) Tryad Properties, Inc,; (h)
Drawbridge Special Opportunities Fund LP; (i) Drawbridge Special
Opportunities Fund LP; (j) Sidley Austin LLP; and (k) Peter Impala,
Consultant, Art Rodriguez & Associates.
The Debtor proposes to sell the asset to Purchaser on an "as is,
where is" basis, free and clear of all liens, claims, interests,
and encumbrances pursuant to section 363(f) of the Bankruptcy
Code.
Any objection to the proposed sale must be submitted on or before
Nov. 4, 2016 at 5:00 p.m. (ET). If no objections are received by
the Debtor by the objection deadline, the Debtor may proceed with
the proposed sale in accordance with the terms of the Miscellaneous
Asset Sale Order and will seek entry of its proposed order.
A copy of the Purchase Agreement and the Proposed Order attached to
the Notice is available for free at:
http://bankrupt.com/misc/Fresh_&_Easy_1321_Sales.pdf
About Fresh & Easy, LLC
Fresh & Easy, LLC, a chain of grocery stores in the Southwest
United States, filed a Chapter 11 bankruptcy petition (Bankr. D.
Del. Case No. 15-12220) on Oct. 30, 2015. The petition was signed
by Peter McPhee, the CFO. The Debtor estimated assets of $10
million to $50 million and liabilities of at least $100 million.
Judge Christopher S. Sontchi is assigned to the case.
The Debtor has engaged Cole Schotz P.C. as counsel, Epiq
Bankruptcy Solutions, LLC, as claims and noticing agent, DJM Realty
Services,
LLC, and CBRE Group, Inc., as real estate consultants and FTI
Consulting, Inc., as restructuring advisors.
* * *
The Debtor has undertaken the process of liquidating the estate's
assets located at its retail locations and distribution center
with the assistance of Hilco Merchant Resources, LLC, and
Industrial
Assets Corp., respectively, has engaged DJM Realty Services, LLC,
and CBRE, Inc., to market its leasehold interests, and has
recently engaged Hilco Streambank to assist with the disposition of
its
intellectual property.
As part of the claims process, a bar date of Feb. 19, 2016, was
established by the Court for creditor claims.
FUNCTION(X) INC: Amends Form S-1 Resale Prospectus with SEC
-----------------------------------------------------------
Function(x) Inc. filed with the Securities and Exchange Commission
an amended Form S-1 registration statement relating to the offering
by Dominion Capital, LLC, Puritan Partners, LLC, Pinz Capital
International, et al., of up to 74,444,471 shares of common stock,
par value $0.001 per share. These shares include 48,888,906 shares
of common stock issuable upon conversion of convertible debentures
and 25,555,565 shares of common stock underlying warrants to
purchase the Company's common stock issued to certain of the
selling stockholders in connection with a private placement of
convertible debentures and warrants completed on July 12, 2016.
The Company is not selling any shares of common stock and will not
receive any proceeds from the sale of the shares under this
prospectus. Upon the exercise of the warrants for shares of the
Company's common stock by payment of cash, however, the Company
will receive the exercise price of the warrants, which is $6.528
per share.
The Company has agreed to bear all of the expenses incurred in
connection with the registration of these shares. The selling
stockholders will pay or assume brokerage commissions and similar
charges, if any, incurred for the sale of shares of the Company's
common stock.
The Company's common stock is traded on the NASDAQ Capital Market
under the symbol "FNCX." On Oct. 28, 2016, the closing price of
the Company's common stock was $3.95 per share.
On Sept. 16, 2016, the Company effected a reverse stock split
whereby shareholders were entitled to receive one share for each 20
shares of the Company's common stock. As a result all common stock
share amounts disclosed have been adjusted to reflect the Reverse
Stock Split.
A full-text copy of the Form S-1/A is available for free at:
https://is.gd/wsMqdU
About Function(x)Inc.
Function(x)Inc., formerly known as DraftDay Fantasy Sports Inc.,
offers a high quality daily fantasy sports experience directly to
consumers and to businesses desiring turnkey solutions to new
revenue streams. DraftDay Fantasy Sports Inc. is the largest
shareholder of DraftDay Gaming Group, with a 44% stake. Sportech
owns 35%. By combining and capitalizing on the well-established
operational business assets of DraftDay and Sportech, the new
DraftDay is well-positioned to become a significant player in the
explosive fantasy sports market. DraftDay has paid out over $30
million in prizes with increased player retention and brand
loyalty. DraftDay Fantasy Sports also operates MyGuy and Viggle
Football both of which offer real-time interactive participation
with professional and college football games; Wetpaint, which
offers entertainment and celebrity news; and Choose Digital, a
digital marketplace platform that allows companies to incorporate
digital content into existing rewards and loyalty programs in
support of marketing and sales initiatives.
As of June 30, 2016, Function(x) had $23.03 million in total
assets, $48.21 million in total liabilities, $4.94 million in
series C convertible redeemable preferred stock and a $30.11
million total stockholders' deficit.
The Company incurred a net loss of $63.68 million for the year
ended June 30, 2016, compared to a net loss of $78.53 million for
the year ended June 30, 2015.
BDO USA, LLP, in New York, NY, issued a "going concern"
qualification on the consolidated financial statements for the year
ended June 30, 2016, citing that the Company has suffered recurring
losses from operations and at June 30, 2016, has a deficiency in
working capital that raise substantial doubt about its ability to
continue as a going concern.
GEMINI PROPERTY: Hearing on Plan Outline Set For Nov. 30
--------------------------------------------------------
The Hon. Robert E. Littlefield, Jr., for the U.S. Bankruptcy Court
for the Northern District of New York has scheduled for Nov. 30,
2016, at 10:30 a.m. the hearing to consider Gemini Property
Management, LLC's disclosure statement dated Oct. 21, 2016,
referring to the Debtor's Chapter 11 plan of reorganization dated
Oct. 25, 2016.
Objections to the Disclosure Statement must be filed by Nov. 23,
2016.
Gemini Property Management, LLC, filed for Chapter 11 bankruptcy
protection (Bankr. N.D.N.Y. Case No. 16-10331) on Feb. 29, 2016,
estimating its assets at between $500,001 and $1 million and its
liabilities at between $100,001 and $500,000. Tully Rinckey PLLC
serves as the Debtor's bankruptcy counsel.
GREAT AMERICAN: Case Summary & 20 Largest Unsecured Creditors
-------------------------------------------------------------
Debtor: Great American Mint & Refinery, Inc.
1020 N. Armando St.
Anaheim, CA 90720
Case No.: 16-14552
Chapter 11 Petition Date: November 3, 2016
Court: United States Bankruptcy Court
Central District of California (Santa Ana)
Judge: Hon. Theodor Albert
Debtor's Counsel: Michael R Totaro, Esq.
TOTARO & SHANAHAN
POB 789
Pacific Palisades, CA 90272
Tel: 310-573-0276
Fax: 310-496-1260
E-mail: Ocbkatty@aol.com
Total Assets: $1.17 million
Total Liabilities: $6.19 million
The petition was signed by Ulrich Blankenstein, president.
A copy of the Debtor's list of 20 largest unsecured creditors is
available for free at http://bankrupt.com/misc/cacb16-14552.pdf
GULF CHEMICAL: Unsecureds To Recover 100% Under Plan
----------------------------------------------------
Bear Metallurgical Co. and Gulf Chemical & Metallurgical Corp.
filed with the U.S. Bankruptcy Court for the Western District of
Pennsylvania a disclosure statement with respect to the plan of
liquidation for BMC Liquidation Company fka Bear Metallurgical
Company dated Oct. 26, 2016.
Under the Plan, Class 4 General Unsecured Claims -- with an
estimated claims pool of $355,713.06 -- will recover 100%. Class 4
is unimpaired by the Plan. Each holder of an allowed Class 4 Claim
is conclusively presumed to have accepted the Plan and is not
entitled to vote to accept or reject the Plan. Each holder of an
allowed General Unsecured Secured Claim will receive, as soon as
practicable after the later of the Effective Date or the date when
the claim becomes allowed cash equal to the amount of the General
Unsecured Claim.
Bear will obtain all cash necessary for the payments pursuant to
the Plan from its existing cash balances. In accordance with the
committee settlement agreement, Bear waived and released all claims
and causes of action arising out of and under Chapter 5 of the
Bankruptcy Code against (a) any creditor, (b) Comilog, (c) any and
all of Comilog's direct and indirect parent entities, sister
entities, and other affiliates, and (d) any and current and former
officers and directors of Comilog and direct and indirect parent
entities, sister entities, and other affiliates (including, but not
limited to, the Debtors' current and former officers and
directors).
The Disclosure Statement is available at:
http://bankrupt.com/misc/pawb16-22192-435.pdf
The Plan was filed by the Debtors' counsel:
Sean D. Malloy, Esq.
Michael J. Kaczka, Esq.
Joshua A. Gadharf, Esq.
Maria G. Carr, Esq.
McDONALD HOPKINS LLC
600 Superior Avenue, East, Suite 2100
Cleveland, OH 44114
Tel: (216) 348-5400
Fax: (216) 348-5474
E-mail: smalloy@mcdonaldhopkins.com
mkaczka@mcdonaldhopkins.com
jgadharf@mcdonaldhopkins.com
mcarr@mcdonaldhopkins.com
-- and --
William E. Kelleher, Jr., Esq.
Thomas D. Maxson, Esq.
Helen S. Ward, Esq.
COHEN & GRIGSBY, P.C.
625 Liberty Avenue, 5th Floor
Pittsburgh, PA 15222
Tel: (412) 297-4900
Fax: (412) 209-0672
E-mail: wkelleher@cohenlaw.com
tmaxson@cohenlaw.com
hward@cohenlaw.com
About Gulf Chemical & Metallurgical Corporation
Bear Metallurgical Co. is a Delaware corporation and a
wholly-owned subsidiary of Debtor Gulf Chemical & Metallurgical
Corporation. The e Debtors are indirectly majority owned by
non-debtor Eramet, a mining and metallurgical company headquartered
in France. The Debtors operate within Eramet's manganese group of
companies. The Debtors are distinct businesses, with separate
employees, creditors, and processes; however, the Debtors did
business with each other prior to the sale of Bear's Assets and in
some respects, shared certain services, systems, and resources with
each other, and worked with each other and the other entities in
the manganese group.
Bear Metallurgical Co. and Gulf Chemical & Metallurgical Corp.
filed Chapter 11 petitions (Bankr. W. D. Pa. Lead Case No.
16-22192) on June 14, 2016.
The petitions were signed by Eric Caridroit, chief executive
officer. The cases are assigned to Judge Jeffery A. Deller.
At the time of the filing, Bear Metallurgical estimated assets and
debts to be between $1 million and $10 million. Gulf Chemical
estimated assets and debts to be between $100 million and $500
million.
The Office of the United States Trustee appointed an official
committee of unsecured creditors on June 30, 2016. The Committee
retained Fox Rothschild LLP and Lowenstein Sandler LLP as counsel;
and Province, Inc. as financial advisor.
Comilog Holdings, Gulf's parent company and Bear's indirect parent
company, is represented by John M. Steiner, Esq. and Patrick W.
Carothers, Esq., at Leech Tishman Fuscaldo & Lampl, LLC.
GYMBOREE CORP: Moody's Cuts Corporate Family Rating to Caa3
-----------------------------------------------------------
Moody's Investors Service downgraded The Gymboree Corporation's
Corporate Family Rating to Caa3 from Caa1 and Probability of
Default Rating to Caa3-PD from Caa1-PD. Concurrently, Moody's
downgraded the ratings on the Company's senior secured term loan
due 2018 to Caa3 from Caa1 and senior unsecured notes due 2018 to
Ca from Caa3. In addition, Moody's downgraded the Company's
Speculative Grade Liquidity Rating ("SGL") to SGL-4 from SGL-3. The
ratings outlook is negative.
The downgrade of the Corporate Family Rating to Caa3 reflects
Gymboree's weak operating performance and deteriorating liquidity.
Net sales and EBITDA fell 4% and 49%, respectively, in the quarter
ended July 30, 2016 due to weak customer traffic and margin
pressure from inventory clearance activity. This reversed the
positive trends reported in the previous two quarters. Given
continued weak trends, the Company reduced its EBITDA outlook for
the twelve month period ending January 28, 2017 to be in the range
of $85 million to a $105 million, down from its previous guidance
of $110 million to $125 million excluding the divested Play & Music
business. For the twelve months ended July 30, 2016, EBITDA stood
at around $99 million and Debt/adjusted EBITDA (using the Company's
calculation of EBITDA from continuing operations) was over 10
times. Given the approaching maturities of its ABL revolver in
December 2017 and secured term loan in February 2018, refinancing
its capital structure could be challenging without substantial near
term improvement in earnings. Thus, the risk of default, including
the potential for a distressed exchange-type restructuring, is very
high.
Downgrade of Gymboree's SGL Rating to SGL-4 reflects Moody's
expectation for weak liquidity over the near term due to the
increasing refinancing risk. Refinancing risk aside, the Company's
sizeable cash and restricted cash balances along with excess
revolver availability should be more than sufficient to cover cash
flow needs, including interest, taxes, working capital and capital
expenditures, over the next twelve months.
The following actions were taken:
The Gymboree Corporation
-- Corporate Family Rating downgraded to Caa3 from Caa1
-- Probability of Default Rating downgraded to Caa3-PD from
Caa1-PD
-- Secured Term Loan due February 2018 downgraded to Caa3
(LGD3) from Caa1 (LGD3)
-- Senior Unsecured Notes due December 2018 downgraded to Ca
(LGD5) from Caa3 (LGD5)
-- Speculative Grade Liquidity rating downgraded to SGL-4 from
SGL-3
-- The ratings outlook is negative
RATINGS RATIONALE
Gymboree's Caa3 Corporate Family Rating reflects the company's high
debt burden and weak credit metrics stemming from the 2010
acquisition of the Company by affiliates of Bain Capital and
subsequent weak operating performance. With reported debt/EBITDA of
around 10x and interest coverage below 1x, the Company's capital
structure is unsustainable at current levels of performance. Given
approaching debt maturities, without substantial near term
improvement in earnings, refinancing its capital structure could be
challenging. Thus, the risk of default, including the potential for
a distressed exchange-type restructuring, is very high. The ratings
also reflect Gymboree's meaningful scale in the fragmented toddler
apparel sector, with revenue exceeding $1.2 billion through around
1,300 stores and several websites.
The negative outlook reflects the Company's need to accelerate
improvement in operations and improve liquidity by addressing debt
maturities that begin in December 2017. The ratings could be
downgraded if the probability of a default increases over the very
near term due to the inability to refinance its maturing debt.
Ratings could be upgraded if the Company improves liquidity by
addressing its near term refinancing risk.
Headquartered in San Francisco, California, The Gymboree
Corporation ("Gymboree") is a leading retailer of infant and
toddler apparel. The Company designs and distributes infant and
toddler apparel through its stores, which operate under the
"Gymboree", "Gymboree Outlet", "Janie and Jack" and "Crazy 8"
brands in the United States and Canada, as well as through its
on-line stores. Revenues exceed $1.2 billion. The Company is owned
by affiliates of Bain Capital Partners LLC.
HARBORVIEW TOWERS COUNCIL: Can File Bankr. Plan Thru Nov. 4
-----------------------------------------------------------
The U.S. Bankruptcy Court for the District of Maryland granted
Council of Unit Owners of the 100 Harborview Drive Condominium's
second motion for an extension of their exclusive plan filing
period through Nov. 4, 2016 and their exclusive plan solicitation
period through Jan. 4, 2017.
About Council of Unit Owners
of the 100 Harborview Drive Condominium
Council of Unit Owners of the 100 Harborview Drive Condominium, a
condominium association, sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. D. Md. Case No. 16-13049) on March 9, 2016.
Dr. Reuben Mezrich signed the petition as president. The Debtor
estimated assets in the range of $10 million to $50 million and
liabilities of up to $50 million. The Debtor is represented by
Paul Sweeny, Esq., at Yumkas, Vidmar, Sweeney & Mulrenin, LLC.
Judge James F. Schneider is assigned to the case.
HELLBENDER BREWING: Wants to Use EagleBank Cash Collateral
----------------------------------------------------------
Hellbender Brewing Company LLC, seeks authorization from the U.S.
Bankruptcy Court for the District of Columbia to use the cash
collateral of EagleBank.
The Debtor intends to use the cash collateral to pay vendors, pay
employees, pay operating expenses, pay amounts authorized by the
Court, pay costs of administration of its bankruptcy case, and
continue the Debtor’s restructuring efforts. The Debtor contends
that with access to this liquidity, it will have the ability to
preserve and maximize the value of its assets for the benefit of
its creditors.
The Debtor's proposed 90-Day Budget, which covers the months of
November 2016 through January 2017, projects total
general/administrative expenses of $78,843 and other expenses
totaling $38,499.
EagleBank asserts that the Debtor owes it $1,057,560, as of the
Petition Date. The indebtedness is secured by all the Debtor's
assets.
The Debtor proposes to grant EagleBank with a valid and perfected
replacement lien on the collateral to secure the amount of any
collateral diminution.
The Debtor relates that it is prepared to make monthly payments in
cash of postpetition non-default interest to EagleBank to the same
extent as was provided pursuant to the prepetition agreement
between the Debtor, EagleBank and the Small Business
Administration.
The Debtor asserts that EagleBank is not entitled to any further
adequate protection because the overall value of EagleBank's
interest in the Cash Collateral is not diminishing.
A full-text copy of the Debtor's Motion, dated November 1, 2016, is
available at https://is.gd/SbOUWY
A full-text copy of the Debtor's Budget is available at
https://is.gd/2cfRKS
Hellbender Brewing Company LLC is represented by:
Lawrence A. Katz, Esq.
HIRSCHLER FLEISCHER
8270 Greensboro Drive, Suite 700
Tysons, VA 22102
Telephone: (703) 584-8362
Facsimile: (703) 584-8901
Email: lkatz@HF-law.com
About Hellbender Brewing Company LLC
Hellbender Brewing Company LLC is a Delaware limited liability
company organized in 2012 for the purpose of constructing and
operating a microbrewery to produce malt beverages for sale in the
District of Columbia and neighboring areas within the Washington,
D.C. metropolitan region.
In 2014, with funding from shareholder capital contributions and an
SBA-backed loan from EagleBank, the Debtor constructed a
state-of-the-art microbrewery in a northeast D.C. warehouse. At the
microbrewery, the Debtor both produces its hand-crafted beers and
sells them in its tasting room to patrons of the microbrewery. In
addition to the onsite sales, the Debtor's products are distributed
to restaurants and bars in Montgomery County, Maryland and in
Northern Virginia, both inside the Capital Beltway and in Loudoun
and Fauquier Counties.
Hellbender Brewing Company LLC filed a voluntary petition for
relief under chapter 11 of the Bankruptcy Code (Bankr. D.D.C. Case
No. 16-00577), on November 1, 2016. The Debtor's counsel is
Lawrence A. Katz, Esq. at Hirschler Fleischer.
HELLO NEWMAN: Seeks to Hire Rosenberg as Legal Counsel
------------------------------------------------------
Hello Newman Inc. seeks approval from the U.S. Bankruptcy Court for
the Southern District of New York to hire legal counsel.
The Debtor proposes to hire Rosenberg, Musso & Weiner, LLP to give
legal advice regarding its duties under the Bankruptcy Code, and
provide other legal services related to its Chapter 11 case.
The rate charged by the firm is $625 per hour for partners and $575
per hour for associates.
Bruce Weiner, Esq., at Rosenberg, disclosed in a court filing that
the firm is a "disinterested person" as defined in section 101(14)
of the Bankruptcy Code.
The firm can be reached through:
Bruce Weiner, Esq.
Rosenberg, Musso & Weiner, LLP
26 Court Street, Suite 2211
Brooklyn, NY 11242
Local Phone: (718) 855-6840
Toll Free: (800) 297-6840
Fax: (718) 625-1966
About Hello Newman
Hello Newman Inc. sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. S.D.N.Y. Case No. 16-12910) on October 17,
2016. The petition was signed by Philip Hartman, secretary.
The case is assigned to Judge Shelley C. Chapman.
At the time of the filing, the Debtor $14 million in assets and
$4.69 million in liabilities.
HERCULES OFFSHORE: Mediation Settlement Disclosed in Amended Plan
-----------------------------------------------------------------
BankruptcyData.com reported that Hercules Offshore filed with the
U.S. Bankruptcy Court an Amended and Modified Joint Prepackaged
Chapter 11 Plan that incorporates a mediation settlement. Documents
filed with the Court explain, "Class 3 First Lien Claims shall be
Allowed Secured Claims pursuant to the Plan in an amount equal to
the outstanding principal and the Applicable Premium in the amount
of $579 million, plus accrued and unpaid prepetition and
postpetition interest and postpetition fees and other expenses, if
any, due on the First Lien Claims as of the Effective Date, less
the Escrow Release Payment and any payments of principal or
Applicable Premium under the First Lien Credit Agreement previously
made to the First Lien Lenders during the Chapter 11 Cases. The
Wind Down Entity shall make distributions to holders of Wind Down
Entity Interests as follows (the 'Wind Down Entity Waterfall'): If
Class 7 HERO Common Stock votes to accept the Plan, (i) after $420
million has been paid to the First Lien Lenders in the aggregate on
(x) the First Lien Claims (inclusive of the Escrow Release Payment
and any payments of principal or Applicable Premium under the First
Lien Credit Agreement previously made to the First Lien Lenders
during the Chapter 11 Cases, but exclusive of interest and periodic
adequate protection payments other than adequate protection
payments designated as principal payments or payments of Applicable
Premium) and (y) the Acceptance Lender Wind Down Claim, to the
extent not already paid, the Shareholder Supplemental Cash
Distribution; and (ii) after payment in full of the Acceptance
Lender Wind Down Claim: (a) until such time as the holders of the
Class A Wind Down Entity Interests have received $20 million on
account of such Class A Wind Down Entity Interests, distributions
shall be made Pro Rata to the holders of the Acceptance Wind Down
Entity Interests; (b) once the holders of the Class A Wind Down
Entity Interests have received $20 million on account of such Class
A Wind Down Entity Interests, the next $3 million in distributions
shall be made to the holders of the Class B Wind Down Entity
Interests; (c) after the Class B Wind Down Entity Interests have
received such $3 million, the next $3 million in distributions
shall be made to the holders of the Class A Wind Down Entity
Interests; and (d) after the holders of the Class A Wind Down
Entity Interests have received such $3 million, Pro Rata to the
holders of the Acceptance Wind Down Entity Interests."
BankruptcyData.com added that the Company also filed with the Court
a Supplement, which contains the following documents: Exhibit A:
wind down entity and distribution agreement and Exhibit A-1:
redline of wind down entity and distribution agreement.
About Hercules Offshore, Inc.
Hercules Offshore, Inc., and its debtor and non-debtor subsidiaries
are providers of shallow-water drilling and marine services to the
oil and natural gas exploration and production industry globally.
Hercules Offshore and 13 of its subsidiaries each filed a Chapter
11 bankruptcy petition (Bankr. D. Del. Case Nos. 16-11385 to
16-11398) on June 5, 2016. The petitions were signed by Troy L.
Carson as vice president.
The Debtors listed total assets of $1.06 billion and total debts of
$521.37 million as of March 31, 2016.
The Debtors have hired Michael S. Stamer, Esq., Philip C. Dublin,
Esq., David H. Botter, Esq., and Kevin M. Eide, Esq., at Akin Gump
Srauss Hauer & Feld LLP as general bankruptcy counsel and Robert J.
Dehney, Esq., Eric D. Schwartz, Esq., and Matthew B. Harvey, Esq.,
at Morris, Nichols, Arsht & Tunnell LLP as co-counsel.
The U.S. Bankruptcy Court issued an order appointing Judge
Christopher Sontchi as mediator to govern mediation procedures and
assist in resolving certain objections related to confirmation of
Hercules Offshore's Joint Prepackaged Chapter 11 Plan of
Reorganization.
On June 20, 2016, the U.S. Trustee for the District of Delaware
appointed three members to the Equity Committee. The Equity
Committee is represented by Hogan McDaniel and Kasowitz, Benson,
Torres & Friedman LLP as co-counsel and Ducera Securities LLC as
financial advisors.
Kirkland & Ellis LLP and Kirkland & Ellis International LLP, White
& Case LLP and Klehr Harrison Harvey Branzburg LLP represent an ad
hoc group of certain first lien lenders party to that certain
credit agreement, dated as of Nov. 6, 2015, by and among Hercules
Offshore, Inc., as borrower, the Subsidiary Guarantors as
guarantors, the lenders party thereto, and Jefferies Finance LLC,
as administrative agent and collateral agent, as creditors and
parties-in-interest in the Debtors' Chapter 11 cases.
III EXPLORATION II: Wants Plan Filing Deadline Extended to Dec. 30
------------------------------------------------------------------
III Exploration II LP, seeks an extension of its exclusive plan
filing period through December 30, 2016, so that it may complete
the sale process previously approved by the Bankruptcy Court.
The Debtor further requests the Court to extend its exclusive
solicitation period through March 1, 2017.
The Debtor's current plan filing deadline is November 23, 2016, and
its current solicitation deadline is January 23, 2017.
The Debtor asserts that an extension of the Plan Period and the
Solicitation Period will give it adequate time to complete the
deadlines in the Bid Procedures Order and complete the contemplated
Sale of substantially all of its assets -- which the Debtor
believes will occur in early December 2016.
The Debtor adds that after completion of the Sale, it will be in a
better position to evaluate its strategy moving forward in the
case, which evaluation has been hindered by both the importance of
the Sale to preserving the value of the Property for the benefit of
its creditors and the abbreviated schedule to complete the Sale.
About III Exploration II
III Exploration II LP and its general partner, Petroglyph Energy,
Inc., are headquartered in Boise, Idaho. The Debtor is engaged in
the exploration and production of oil and natural gas deposits,
primarily in the Uinta Basin in Utah. The Debtor also has an
interest in approximately 42,100 undeveloped acres in the Raton
Basin located in Colorado, and participates in joint ventures with
respect to properties in the Williston Basin in North Dakota.
III Exploration filed a chapter 11 petition (Bankr. D. Utah Case
No. 16-26471) on July 26, 2016. The petition was signed by
Paul R. Powell, president. The Debtor estimated assets at $50
million to $100 million and debt at $100 million to $500 million.
The case is assigned to Judge R. Kimball Mosier.
The Debtor tapped George Hofmann, Esq., Steven C. Strong, Esq., and
Adam H. Reiser, Esq., at Cohne Kinghorn, P.C., to serve as its
general counsel; and A. John Davis, Esq., at Holland & Hart LLP to
serve as special counsel. Tudor Pickering Holt & Co. has been
tapped as investment banker. Donlin Recano & Company Inc. acts as
claims and noticing agent.
INDIANA FINANCE: S&P Retains Bonds' 'BB-' Rating on Watch Neg.
--------------------------------------------------------------
S&P Global Ratings announced that its 'BB-' senior secured issuer
rating on the Indiana Finance Authority's $243.8 million long-term
private activity bonds series 2014 (various tranches fully
amortized in 2046) and issued for I-69 Development Partners LLC
remained on CreditWatch with negative implications. S&P's recovery
rating is unchanged at '1', indicating a very high (90%-100%)
expected recovery in the event of a payment default.
"The rating remains on CreditWatch with negative implications,
reflecting our view that slow construction progress will lead to a
negative rating action unless discussions between the state, the
contractor, and the project extend the long stop date, resolve
ongoing contractual disputes, and address additional funding
needs," said S&P Global Ratings credit analyst Tony Bettinelli.
INNOVATIVE CONSTRUCTION: Hearing on Plan Outline Set For Nov. 29
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Western District of Pennsylvania
has scheduled for Nov. 29, 2016, at 10:00 a.m. the hearing to
consider the approval of Innovative Construction, Inc.'s amended
disclosure statement dated Oct. 21, 2016, referring to the Debtor's
amended plan of reorganization dated Sept. 19, 2016.
Objections to the Amended Disclosure Statement must be filed by
Nov. 22, 2016.
About Innovative Construction
Innovative Construction, Inc., leases real property to Caravan II,
LLC, which operates a hotel and restaurant. It also owns sand and
gravel deposits.
The Debtor filed for Chapter 11 bankruptcy protection (Bankr. W.D.
Pa. Case No. 16-20088) on Jan. 12, 2016. The petition was signed
by Linda Menichino, president.
The Debtor is represented by Robert O. Lampl, Esq. The case is
assigned to Judge Jeffery A. Deller.
The Debtor estimated both assets and liabilities in the range of
$1 million to $10 million.
INTREPID POTASH: Incurs $18.2 Million Net Loss in Third Quarter
---------------------------------------------------------------
Intrepid Potash, Inc. filed with the Securities and Exchange
Commission its quarterly report on Form 10-Q disclosing a net loss
of $18.24 million on $43.64 million of sales for the three months
ended Sept. 30, 2016, compared to a net loss of $8.11 million on
$53.69 million of sales for the three months ended Sept. 30, 2015.
For the nine months ended Sept. 30, 2016, the Company reported a
net loss of $50.06 million on $168.8 million of sales compared to a
net loss of $6.51 million on $244.4 million of sales for the same
period last year.
As of Sept. 30, 2016, Intrepid Potash had $581.5 million in total
assets, $202.6 million in total liabilities and $378.9 million in
total stockholders' equity.
Cash, cash equivalents, and investments as of Sept. 30, 2016, of
$27.9 million prior to $16.2 million payment to noteholders on Oct.
3, 2016.
On Oct. 31, 2016, Intrepid announced the completion of its debt
negotiations, resulting in amendments to the Company's senior notes
as well as a new revolving credit facility which provides up to $35
million in borrowing capacity, subject to a borrowing base
limitation.
"The transition of our business model to a lower-cost solar potash
and specialty Trio producer accelerated this quarter with the
idling of West in early July and the completion of commissioning at
East," said Bob Jornayvaz, Intrepid's executive chairman, president
and CEO. "During the third quarter, we reached our goal of
achieving an annualized Trio production run rate of double our 2015
production. We continue to focus on expanding our global presence
for Trio, which we believe is a compelling product for
chloride-sensitive crops. We are starting to see a more supportive
selling environment for potash as pricing has firmed. Moving into
2017, we anticipate seeing some benefit to our potash gross margin
as our lower-cost solar facility production becomes a greater
proportion of our potash sales."
Jornayvaz continued, "The recent completion of our debt
negotiations provides a much anticipated positive catalyst for our
business and our various stakeholders. My sincere thanks to our
noteholders, Bank of Montreal, their advisors and the Intrepid team
for their hard work during these last several months towards
driving this to a successful conclusion."
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/N7Kyax
About Intrepid
Intrepid Potash -- http://www.intrepidpotash.com/-- is the only
U.S. producer of muriate of potash and supplied approximately 9% of
the country's annual consumption in 2015. Potash is applied as an
essential nutrient for healthy crop development, utilized in
several industrial applications and used as an ingredient in animal
feed. Intrepid also produces a specialty fertilizer, Trio(R),
which delivers three key nutrients, potassium, magnesium, and
sulfate, in a single particle.
Intrepid serves diverse customers in markets where a logistical
advantage exists; and is a leader in the utilization of solar
evaporation production, one of the lowest cost, environmentally
friendly production methods for potash. After the idling of its
West mine in July 2016, Intrepid's production will come from three
solar solution potash facilities and one conventional underground
Trio(R) mine.
As of June 30, 2016, Intrepid had $600 million in total assets,
$203 million in total liabilities and $396 million in total
stockholders' equity.
The Company reported a net loss of $525 million in 2015 following
net income of $9.76 million in 2014.
KPMG LLP, in Denver, Colorado, issued a "going concern"
qualification on the consolidated financial statements for the year
ended Dec. 31, 2015, citing that the Company anticipates that due
to current market conditions, they may not meet their current debt
covenant requirements in 2016, which could result in the
acceleration of debt maturities and other remedies pursuant to the
terms of the debt. These matters raise substantial doubt about
their ability to continue as a going concern.
ITT EDUCATIONAL: Court Temporarily Halts Regulators' Suits
----------------------------------------------------------
Peg Brickley, writing for The Wall Street Journal Pro Bankruptcy,
reported that U.S. Bankruptcy Judge James Carr in Indianapolis
temporarily barred regulators from continuing litigation against
ITT Educational Services Inc., questioning whether there is any
point in calling the defunct school operator to account for alleged
fraud.
"If you want to punish and deter ITT, you ought to be bringing
criminal actions," Judge Carr said during a hearing, according to
the report.
The Securities and Exchange Commission, the Consumer Financial
Protection Bureau and the state of New Mexico have accused ITT Tech
of defrauding students and investors in connection with its
private-loan programs, the report related. Massachusetts also
sued, accusing ITT Tech of misleading students with false
graduation and job-placement statistics, the report further
related.
Judge Carr refused to shield ITT Tech's former leaders from
continued lawsuits, the report said. Kevin Modany, who was chief
executive, and Daniel Fitzpatrick, who was chief financial officer,
have been sued in the SEC matter and deny wrongdoing, the report
added.
WSJ recalled that aankruptcy trustee Deborah Caruso, who is running
the company's liquidation, had pleaded for a reprieve from the
onslaught of regulatory action as she begins the difficult task of
sorting out the company's demise.
About ITT Educational
ITT Educational Services, Inc., is a proprietary provider of
post-secondary degree programs in the United States based on
revenue and student enrollment. As of Dec. 31, 2015, ITT was
offering: (a) master, bachelor and associate degree programs to
approximately 45,000 students at ITT Technical Institute and
Daniel
Webster College locations; and (b) short-term information
technology and business learning solutions for individuals.
ITT Educational and its subsidiaries ESI Service Corp. and Daniel
Webster College, Inc. ceased operations and commenced bankruptcy
proceedings by filing voluntary petitions for relief under
Chapter 7 of the Bankruptcy Code (Bankr. S.D. Ind.) on Sept.
16, 2016.
J TASTE: Disclosures Conditionally OK'd; Hearing Set For Nov. 30
----------------------------------------------------------------
The Hon. Mildred Caban Flores of the U.S. Bankruptcy Court for the
District of Puerto Rico has conditionally approved J Taste Inc.'s
amended disclosure statement dated Oct. 25, 2016.
The hearing to consider the final approval of the Disclosure
Statement and the confirmation of the Plan will be held on Nov. 30,
2016, at 9:0 a.m.
Objections to the final approval of the Disclosure Statement and
confirmation of the Plan, and acceptances or rejections of the Plan
must be filed on or before 14 days prior to the date of the
Confirmation Hearing.
The Debtor must file with the Court a statement setting forth
compliance with each requirement in U.S.C. Section 1129, the list
of acceptances and rejections and the computation, within seven
working days before the Confirmation Hearing.
J Taste Inc. filed for Chapter 11 bankruptcy protection (Bankr. D.
P.R. Case No. 15-10243).
JCHS CORP: First Tennessee to be Paid With 4% Interest in 8.5 Yrs.
------------------------------------------------------------------
JCHS Corporation filed with the Bankruptcy Court an amended
Disclosure Statement dated Oct. 11, 2016 in support of its Plan.
The Amended Disclosure Statement provides that the secured portion
of $168,210 of the Class 2 First Tennessee secured claim will be
paid with 4% interest over 8 1/2 years with monthly payment of
$1,948. The previous version of the Plan noted that amortization
of the said claim will be over 15 years.
A copy of the Amended Disclosure Statement, dated Oct. 11, 2016, is
available at http://bankrupt.com/misc/tnwb14-31752-101.pdf
As reported by the Troubled Company Reporter, the Plan proposes to
pay general unsecured creditors 30% of their respective allowed
claims with 25 years of the Effective Date or in full as Debtor has
funds. The Debtor will operate the business and fund the Plan
payments out of future income.
About JCHS Corporation
JCHS Corporation operates in Shelby County, Tennessee, as Greenline
Landscape. It performs landscape, lawn services, holiday
decorating and storage. JCHS filed a Chapter 11 petition (Bankr.
W.D. Tenn. Case No. 14-31752) on Nov. 18, 2014. The Debtor listed
$168,210.75 in total assets and $467,018.48 in total liabilities.
Toni Campbell Parker, Esq., of The Law Office of Tonie Campbell
Parker, represents the Debtor.
KEMET CORP: Incurs $4.99 Million Net Loss in Second Quarter
-----------------------------------------------------------
Kemet Corporation filed with the Securities and Exchange Commission
its quarterly report on Form 10-Q disclosing a net loss of $4.99
million on $187.3 million of net sales for the quarter ended Sept.
30, 2016, compared to net income of $7.19 million on $186.1 million
of net sales for the quarter ended Sept. 30, 2015.
For the six months ended Sept. 30, 2016, the Company reported a net
loss of $17.20 million on $372.2 million of net sales compared to a
net loss of $29.85 million on $373.7 million of net sales for the
same period during the prior year.
As of Sept. 30, 2016, Kemet Corp had $677.0 million in total
assets, $594.1 million in total liabilities and $82.88 million in
total stockholders' equity.
Cash and cash equivalents as of Sept. 30, 2016, of $74.8 million
increased $9.7 million from $65.0 million as of March 31, 2016. The
Company's net working capital (current assets less current
liabilities) as of Sept. 30, 2016, was $236.4 million compared to
$228.8 million as of March 31, 2016. Cash and cash equivalents
held by the Company's foreign subsidiaries totaled $25.7 million
and $28.2 million at Sept. 30, 2016, and March 31, 2016,
respectively. The Company's operating income outside the U.S. is
no longer deemed to be permanently reinvested in foreign
jurisdictions. As a result, the Company sets up a deferred tax
liability as of March 31, 2015, on the undistributed foreign
earnings which was offset by a reduction in the valuation allowance
on our deferred tax assets.
"However, we currently do not intend nor foresee a need to
repatriate cash and cash equivalents held by foreign subsidiaries.
If these funds are needed for our operations in the U.S., we may be
required to accrue U.S. withholding taxes on the distributed
foreign earnings.
"Based on our current operating plans, we believe domestic cash and
cash equivalents are sufficient to fund our operating requirements
for the next twelve months, including $38.4 million in interest
payments, $20.0 million to $25.0 million in expected capital
expenditures and $4.1 million in restructuring payments. As of
September 30, 2016, our borrowing capacity under the revolving line
of credit was $31.1 million. The revolving line of credit expires
on December 19, 2019.
"Should we require more capital than is generated by our operations
or available through our revolving line of credit, we could attempt
to raise capital through debt issuances or the sale of certain
non-core assets. However, due to market conditions beyond our
control, there can be no assurance that we would be able to
complete such an offering or sale transaction. The incurrence of
additional debt may result in increased interest expense."
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/w7yDdX
About KEMET
KEMET, based in Greenville, South Carolina, is a manufacturer and
supplier of passive electronic components, specializing in
tantalum, multilayer ceramic, film, solid aluminum, electrolytic,
and paper capacitors. KEMET's common stock is listed on the NYSE
under the symbol "KEM."
KEMET reported a net loss of $53.6 million on $735 million of net
sales for the fiscal year ended March 31, 2016, compared with a
net loss of $14.1 million on $823 million of net sales for the
fiscal year ended March 31, 2015.
* * *
KEMET carries a 'Caa1' corporate family rating, with stable
outlook, from Moody's and a 'B-' issuer credit rating with stable
outlook from Standard and Poor's.
KEN'S FISH: Seeks to Hire Gary W. Cruickshank as Legal Counsel
--------------------------------------------------------------
Ken's Fish, Inc. seeks approval from the U.S. Bankruptcy Court for
the District of Massachusetts to hire legal counsel in connection
with its Chapter 11 case.
The Debtor proposes to hire the Law Office of Gary W. Cruickshank
to give legal advice regarding its duties under the Bankruptcy
Code, assist in the preparation of a bankruptcy plan, and provide
other legal services.
Gary Cruickshank, Esq., will be paid an hourly rate of $400 while
paraprofessionals at his firm will be paid $125 per hour.
Mr. Cruickshank disclosed in a court filing that he is a
"disinterested person" as defined in section 101(14) of the
Bankruptcy Code.
The firm can be reached through:
Gary Cruickshank, Esq.
Law Office of Gary W. Cruickshank
21 Custom House Street, Suite 920
Boston, MA 02110
Phone: 617-330-1960
Email: gwc@cruickshank-law.com
About Ken's Fish Inc.
Ken's Fish, Inc. sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. D. Mass. Case No. 16-14014) on October 20,
2016. The petition was signed by Kenneth A. Menard, president.
The case is assigned to Judge Joan N. Feeney.
At the time of the filing, the Debtor estimated assets and
liabilities of less than $500,000.
KENNETH ARTHURS: U.S. Trustee Tries To Block Disclosures Approval
-----------------------------------------------------------------
Acting U.S. Trustee Andrew R. Vara filed with the U.S. Bankruptcy
Court for the Western District of Pennsylvania an objection to
Kenneth J. Arthurs and Brenda L. Arthurs' disclosure statement
referring to the Debtors' plan of reorganization.
The Acting U.S. Trustee claims that the Disclosure Statement:
a. provides insufficient information regarding the Debtors'
finances, as the Debtors did not attach an income
statement and cash flow statement;
b. provides insufficient information about plan payments, as
it doesn't adequately explain whether the Plan is
dependent on the success of the Debtors in objecting to
various claims. The Disclosure Statement does not
identify whether the Debtors have the resources to fund a
Plan without succeeding on their claims objections.
Moreover, the Disclosure Statement does not adequately
identify the amount of all payments contemplated under the
Plan;
c. has discrepancy in the comparison with Chapter 7
liquidation. In the Disclosure Statement, the Debtors
state that unsecured creditors would receive a 36.5%
distribution in a Chapter 7 liquidation case. However, in
the Section addressing general unsecured creditors, the
Disclosure Statement states that creditors will receive
"[n]o less than 33%." If creditors would receive 36.5% in
liquidation, then they must receive at least that much
in a Chapter 11 Plan. The Disclosure Statement should be
amended to address this discrepancy. The Disclosure
Statement should be modified to explain how creditors
would benefit more from the Debtors' reorganization than
from liquidation;
d. has projected income significantly different from
historical performance. Because the Debtors will fund
their Plan through the income derived from Nck, the
Debtors attached a Cash Flow Projection for Nck for twelve
months beginning Sept. 1, 2016. This Cash Flow Projection
estimates the Debtors, through Nck, will average net
income of $9,680. Because Nck also filed for Chapter 11
bankruptcy, it has filed Monthly Operating Reports for the
past several months. According to these MORs, from
February 2016 to August 2016, Nck averaged a net income of
$2,486.12. The Debtors are projecting that Nck will
produce an average monthly net income of $7,193.88 greater
than the average net income it has produced over the past
seven months. Significant discrepancy between the
Debtors' projected net income for Nck and its historical
performance over the past several months. Specifically,
the Disclosure Statement should be amended to provide
viable evidence to support the Debtors' cash flow
projections for the next twelve months; and
e. provides insufficient information regarding payment of the
U.S. quarterly fees. The Disclosure Statement states that
the U.S. Trustee quarterly fees "accrued before
confirmation will be paid at the time of payment to
counsel for the Debtor and the accountant for the Debtor."
However, the U.S. Trustee quarterly fees must be provided
for until the case is converted, dismissed, or closed --
not just those fees that accrued before confirmation. the
Disclosure Statement should be amended to make it clear
that U.S. Trustee quarterly fees will be paid timely and
this statement should be added to the Disclosure Statement,
which should be reflected in the Plan: "United States
Trustee pre-confirmation and post-confirmation quarterly
fees will be paid timely as required by law."
As reported by the Troubled Company Reporter on Sept. 30, 2016, the
Debtors filed with the Court a disclosure statement to accompany
the Debtors' plan of reorganization dated Sept. 12, 2016. Under
the Plan, Class 9 General Unsecured Non-Tax Claims -- owed by the
Debtor a total of $81,037.94 -- and Tax Claims totaling $35,056.41
will have a dividend of at least 33%. Unsecured claimants will
each receive $855 per month starting Dec. 15, 2016, until Dec. 15,
2021.
Kenneth J. Arthurs and Brenda L. Arthurs sought protection under
Chapter 11 of the Bankruptcy Code (Bankr. W.D. Pa. Case No.
15-70795) on Nov. 20, 2015. The case is assigned to Judge Jeffery
A. Deller.
The Debtors operate a business known as NCK, Inc., which is a
Debtor is a separate Chapter 11 Bankruptcy Case. NCK, Inc.,
operates a bar/restaurant in Indiana, Pennsylvania. NCK, Inc., and
Kenneth Arthurs also engaged in construction and remodeling of
various buildings in and around Indiana, Pennsylvania.
KIWA BIO-TECH: Jimmy Zhou Quits as CEO and Other Positions
----------------------------------------------------------
On Aug. 11, 2016, the Board of Directors of Kiwa Bio-Tech Products
Group Corporation accepted the resignation of Jimmy Ji Zhou as a
director of the Company and Mr. Zhou agreed to take a leave of
absence as chief executive officer, chief financial officer,
principal executive officer and principal financial and accounting
officer, and to permanently resign as an officer of the Company,
subject to certain conditions.
Effective, Oct. 26, 2016, all conditions related to Mr. Zhou's
employment with the Company were satisfied and his resignation as
chief executive officer, chief financial officer, principal
executive officer and principal financial and accounting officer
was confirmed for all purposes. The Company's Board is not
currently planning a replacement for Mr. Zhou and the Company's
Board of Directors now comprises four members.
Mr. Zhou's responsibilities as the Company's president, chief
executive officer and chief financial officer have been assumed by
Yvonne Wang, the Company's chief operating officer. Since
Aug. 11, 2016, Ms. Wang has been serving the additional titles of
acting president, acting chief executive officer and acting chief
financial officer and principal executive officer and principal
financial and accounting officer. She will continue in these roles
going forward. The Company's Board of Director has no current
plans to replace Ms. Wang in any of these capacities.
Mr. Zhou submitted his resignation to pursue other interests.
About Kiwa Bio-Tech
Kiwa Bio-Tech Products Group Corporation develops, manufactures,
distributes and markets bio-technological products for agriculture.
The Company has acquired technologies to produce and market
bio-fertilizer. The Company has developed over six bio-fertilizer
products with bacillus spp and/or photosynthetic bacteria as its
ingredients. The Company's products contain ingredients of both
photosynthesis and bacillus bacteria which are protected by
patents.
The Company's balance sheet at June 30, 2016, showed $1.38 million
in total assets, $8.83 million in total liabilities and total
stockholders' deficit of $7.45 million.
The Company reported a net loss of $677,358 in 2015 following a net
loss of $707,556 in 2014.
Paritz & Company, P.A., in Hackensack, New Jersey, issued a "going
concern" qualification on the consolidated financial statements for
the year ended Dec. 31, 2015, citing that the Company's current
liabilities substantially exceeded its current assets by $9,330,130
at Dec. 31, 2015. The Company had no sales during the years ended
Dec. 31, 2015, and 2014, had an accumulated deficit of $20,324,812
and stockholders’ deficiency of $11,100,454 as of Dec. 31, 2015.
These circumstances, among others, raise substantial doubt about
the Company's ability to continue as a going concern.
LAS VEGAS JOHN: Seeks Extension of Plan Filing Thru Dec. 1
----------------------------------------------------------
Las Vegas John, L.L.C., seeks an extension of its exclusive plan
filing period through December 1, 2016, and its exclusive
solicitation period through March 1, 2017.
The Debtor owns a 36 unit apartment complex and related real
property and improvements commonly known as the "Las Vegas John
Apartments," which is located at 230 S. Maryland Parkway, Las
Vegas, Clark County, Nevada.
The Debtor's goal in its Chapter 11 case is to allow for sufficient
time for an organized sale of the Apartment Property to pay off its
Lender and all other creditors in full on their allowed claims.
The Debtor relates that as of late October 2016, it has entered
into a proposed purchase and sale agreement to sell its property
for $1.7 million, subject to a diligence period and Court approval.
The Debtor anticipates filing a motion to approve the proposed
sale by late November 2016 or earlier.
Given these developments, the Debtor is seeking an extension of its
Exclusive Periods to avoid any possible issues should the currently
proposed sale not be approved.
About Las Vegas John
Las Vegas John, L.L.C., filed a chapter 11 petition (Bankr. D. Nev.
Case No. 16-14273) on August 3, 2016. The petition was signed by
Dmitrios P. Stamatakos, managing member. The Debtor is represented
by Matthew C. Zirzow, Esq., at Larson & Zirzow.
The case is assigned to Judge August B. Landis. The Debtor
estimated assets at $1 million to $10 million and debts at $500,000
to $1 million at the time of the filing.
No official committee of unsecured creditors has been appointed in
the case.
LATTUCA ENTERPRISES: Taps Steiner & Blotnik as Legal Counsel
------------------------------------------------------------
Lattuca Enterprises, LLC seeks approval from the U.S. Bankruptcy
Court for the Western District of New York to hire legal counsel.
The Debtor proposes to hire Steiner & Blotnik, P.C. to give legal
advice regarding its duties under the Bankruptcy Code and provide
other legal services related to its Chapter 11 case.
Richard Steiner, Esq., and M. Kreag Ferullo, Esq., the attorneys
designated to represent the Debtor, will be paid $225 per hour and
$175 per hour for their services.
Mr. Steiner disclosed in a court filing that Steiner & Blotnik is a
"disinterested person" as defined in section 101(14) of the
Bankruptcy Code.
The firm can be reached through:
Richard J. Steiner, Esq.
Steiner & Blotnik, P.C.
300 Delaware Avenue
Buffalo, NY 14202
Phone: (716) 847-6500
Email: rsteiner@steinerblotnik.com
About Lattuca Enterprises
Lattuca Enterprises, LLC sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. W.D.N.Y. Case No. 16-12018) on October 12,
2016. The petition was signed by John Lattuca, president.
The case is assigned to Judge Michael J. Kaplan.
At the time of the filing, the Debtor estimated assets and
liabilities of less than $500,000.
LAW-DEN NURSING: Hires Frank Hirsch as Accountants
--------------------------------------------------
Law-Den Nursing Home, Inc. seeks authorization from the U.S.
Bankruptcy Court for the Eastern District of Michigan to employ
Daniel Hirsch and Frank, Hirsch, Subelsky & Freedman, P.C. as
accountants.
The Debtor requires Frank Hirsch to assist with accounting
services, which include, but not necessarily limited to preparing
monthly operating reports, operating statements, Balance Sheets,
Summaries of Operations, Monthly Cash Statements, employee
compensation statements, as well as providing advice and guidance
on setting up and using accounting software, best practices, and
payroll systems, as necessary.
Frank Hirsch will be paid at these hourly rates:
Daniel Hirsch, shareholder $225
CPA accounting $160
Non-CPA Accounting/Bookkeeping $90
Assistants $52
Frank Hirsch will also be reimbursed for reasonable out-of-pocket
expenses incurred.
Daniel Hirsch, shareholder of Frank Hirsch, 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 Debtor and its estate.
Frank Hirsch can be reached at:
Daniel Hirsch
FRANK, HIRSCH, SUBELSKY & FREEDMAN, P.C.
30600 Northwestern Hwy. Ste. 305
Farmington Hills, MI 48334
Tel: (248) 855-6616
E-mail: Dan@fhsfcpa.com
About Law-Den Nursing Home
Law-Den Nursing Home, Inc. filed a Chapter 11 petition (Bankr. E.D.
Mich. Case No. 16-52058) on August 30, 2016. The petition was
signed by Todd Johnson, administrator. The Debtor is represented
by Clinton J. Hubbell, Esq., at Hubbell Duvall PLLC, in Southfield,
Michigan. The case is assigned to Judge Phillip J. Shefferly. At
the time of its filing, the Debtor estimated assets at $0 to
$50,000 and liabilities at $1 million to $10 million.
LAW-DEN NURSING: Hires Jerome & McLean as Labor Relations Counsel
-----------------------------------------------------------------
Law-Den Nursing Home, Inc. seeks authorization from the U.S.
Bankruptcy Court for the Eastern District of Michigan to employ
David E. Jerome and the Law Offices of Jerome & McLean as labor
relations counsel.
The Debtor requires Jerome & McLean to:
(a) represent the Debtor in resolving a lawsuit in the U.S.
District Court for the Eastern District of Michigan which
is at the stage of that court considering a fully briefed
Motion for Summary Judgment in case no. 2:15-cv-11006-SJM-
SDD, Service Employees International Union National
Industry Pension Fund et al v. Law-Den Nursing Home, Inc.,
Hon. Stephen J. Murphy, III, presiding, and possible
mediation of that lawsuit, which will liquidate claims for
unpaid pension contributions before the date of bankruptcy
filing;
(b) represent the Debtor in addressing collective bargaining
with SEIU Healthcare Michigan ("the Union") on a going-
forward basis, whether the Debtor intends to continue
operations under a plan of reorganization or elects to sell
the business to potential buyer;
(c) give the Debtor advice about its duties, if any, to
continue contributing to the pension plan, and any other
obligations it may have to the Union; and
(d) address and resolve several issues pending before the
National Labor Relations Board (NLRB).
Jerome & McLean will be paid at these hourly rates:
David E. Jerome $250
Daniel D. McLean $220
Legal Assistant $120
Jerome & McLean will also be reimbursed for reasonable
out-of-pocket expenses incurred.
David E. Jerome 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 Debtor and
its estate.
Jerome & McLean can be reached at:
David E. Jerome, Esq.
LAW OFFICES OF JEROME & MCLEAN
436 N Center St.
P.O. Box 220
Northville, MI 48167-0220
Tel: (248) 348-4433
E-mail: djerome@jeromemclean.com
About Law-Den Nursing Home
Law-Den Nursing Home, Inc. filed a Chapter 11 petition (Bankr. E.D.
Mich. Case No. 16-52058) on August 30, 2016. The petition was
signed by Todd Johnson, administrator. The Debtor is represented
by Clinton J. Hubbell, Esq., at Hubbell Duvall PLLC, in Southfield,
Michigan. The case is assigned to Judge Phillip J. Shefferly. At
the time of its filing, the Debtor estimated assets at $0 to
$50,000 and liabilities at $1 million to $10 million.
LAWRENCE SCHIFF: Unsecureds To Recoup 25%-35% Under Plan
--------------------------------------------------------
William G. Schwab, Chapter 11 Trustee for Lawrence Schiff Silk
Mills, Inc., filed with the U.S. Bankruptcy Court for the Eastern
District of Pennsylvania a disclosure statement with respect to the
plan of liquidation for the Debtor.
As soon as reasonably practicable after full payment of all allowed
amounts of, or after reserving the full disputed amount of any
disputed amount of, administrative claims, fee claims, priority tax
claims and claims classified in Classes 1, 2, 3, and 4, the plan
administrator, in accordance with the Plan, will make one or more
distributions from the distribution account to holders of allowed
Class 5 General Unsecured Claims on a pro rata basis, as and when
funds are available for the purpose. No interest will be paid on
account of allowed Class 5 Claims. No portion of any Class 5 Claim
will be allowed to the extent that it is for post-petition interest
or other similar post-petition charges. As of the Effective Date,
the allowed Class 5 Claims are estimated to total $1,004,760. The
distribution to holders of allowed General Unsecured Claims is
estimated to be between 25% and 35%.
The Disclosure Statement is available at:
http://bankrupt.com/misc/paeb16-12396-214.pdf
The Plan was filed by the Chapter 11 Trustee's counsel:
Richard M. Beck, Esq.
KLEHR HARRISON HARVEY BRANZBURG LLP
Corinne Samler Brennan, Esq.
1835 Market Street, Suite 1400
Philadelphia, PA 19103
Tel: (215) 569-2700
E-mail: rbeck@klehr.com
A hearing will be held on Dec.7, 2016, at 9:30 a.m. to consider the
Chapter 11 Trustee's motion for approval of the Disclosure
Statement.
About Lawrence Schiff Silk Mills
Founded in 1918 and headquartered in Quakertown, Pennsylvania,
Lawrence Schiff Silk Mills, Inc.'s primary business was the
manufacturing of ribbons, bows, ties, straps, webbing and over 500
additional woven, fabricated materials for more than 1,000
customers worldwide. LSSM served the global industrial, apparel,
military, medical, packaging and hospitality markets.
On April 5, 2016, Pyramid Realty Group, LP, Aero Energy and Grant
Industries, Inc., filed an involuntary petition under Chapter 11 of
Title 11 of the United States Code pursuant to Sec. 303 of the
Bankruptcy Code against Lawrence Schiff Silk Mills (Bankr. E.D. Pa.
Case No. 16-12396). Pyramid is owned by Richard J. Schiff, who
holds a minority equity stake in Debtor, owns RJLS Enterprises,
Inc., and owns or owned the Debtor's predecessor entities.
On April 22, 2016, upon agreement between the Debtor and the
Petitioning Creditors, the Court entered a Consent Order for Relief
in Involuntary Chapter 11 Case. The Consent Order granted relief
to Debtor under Chapter 11 of the Bankruptcy Code as of the Relief
Date.
The Petitioning Creditors are represented by Jeffrey Kurtzman,
Esq., at Kurtzman Steady LLC.
William G. Schwab has been appointed the Chapter 11 Trustee for the
Debtor's estate.
LEGENDS COLLISION: Case Summary & 20 Largest Unsecured Creditors
----------------------------------------------------------------
Debtor: Legends Collision LLC
7015 South Harl Avenue
Tempe, AZ 85283
Case No.: 16-12658
Chapter 11 Petition Date: November 3, 2016
Court: United States Bankruptcy Court
District of Arizona (Phoenix)
Judge: Hon. Brenda K. Martin
Debtor's Counsel: Allan D. Newdelman, Esq.
ALLAN D NEWDELMAN, P.C.
80 E. Columbus Ave.
Phoenix, AZ 85012
Tel: 602-264-4550
Fax: 602-277-0144
E-mail: anewdelman@adnlaw.net
Total Assets: $625,087
Total Liabilities: $1.74 million
The petition was signed by Jonathan J. Conner, managing member.
A copy of the Debtor's list of 20 largest unsecured creditors is
available for free at:
http://bankrupt.com/misc/azb16-12658.pdf
LOF ASSOCIATES: Hires Pryor & Mandelup as Bankruptcy Counsel
------------------------------------------------------------
LOF Associates, Inc., d/b/a Pets Aquatic, et al., seek authority
from the U.S. Bankruptcy Court for the District of Massachusetts to
employ Pryor & Mandelup, LLP as attorney to the Debtor.
LOF Associates requires Pryor & Mandelup to:
(a) give legal advice with respect to the powers and duties of
the Debtors-in-Possession in the continued management of
the Debtors' property;
(b) represent the Debtors before the Bankruptcy Court and at
all hearings on matters pertaining to his affairs, as
Debtors-in-Possession, including prosecuting and defending
litigated matters that may arise during the Chapter 11
cases;
(c) advise and assist the Debtors in the preparation and
negotiation with their creditors of a Plan of
Reorganization;
(d) prepare all necessary or desirable applications, answers,
orders, reports, documents and other legal papers; and
(e) perform all other legal services for the Debtors which may
be desirable and necessary.
Prior to the Filing Date, Pryor & Mandelup received a retainer in
the amount of $16,000 inclusive of the Chapter 11 filing fee, which
retainer was paid by the Debtor LOF in connection with its case.
Prior to the Filing Date, Pryor & Mandelup received a retainer in
the amount of $4,000 inclusive of the Chapter 11 filing fee, which
retainer was paid by the Debtor PAOS in connection with its case.
To the best of the Debtors' knowledge, information and belief,
Pryor & Mandelup has no connection with the Debtors, their
creditors or any other party in interest or their respective
attorneys or accountants except that Pryor & Mandelup represents
EBF Partners, LLC d/b/a Everest Business Funding ("EBF"), a
creditor of LOF, in other matters unrelated to this instant
bankruptcy. Pryor & Mandelup has obtained the consent of both LOF
and EBF to act as counsel to Debtor LOF. EBF is not a creditor of
PAOS. EBF represents less than 1% of Pryor & Mandelup 's total
annual revenue.
Pryor & Mandelup can be reached at:
Anthony F. Giuliano, Esq.
PRYOR & MANDELUP, LLP
675 Old Country Road
Westbury, NY 11590
Tel: (516) 997-0999
E-mail: afg@pryormandelup.com
About LOF Associates Inc.
LOF Associates Inc. d/b/a Pets Aquatic is a New York corporation,
with its principal place of business located at 411 Jericho
Turnpike, New Hyde Park 11040. The Debtor owns and operates a
retail business selling salt water marine life, live coral and
aquarium product dry goods, which began in May of 2015.
LOF Associates Inc. d/b/a Pets Aquatic filed a Chapter 11 petition
(Bankr. E.D.N.Y. Case No. 16-74448), on September 28, 2016,
disclosing under $1 million in both assets and liabilities. The
petition was signed by Alan Glassberg, president. The Debtor is
represented by Anthony F. Giuliano, Esq. at Pryor & Mandelup.
LUIS MIGUEL CASTILLO: Unsecured to be Paid in Full in 5 Yrs.
------------------------------------------------------------
Luis Miguel Castillo and Beatriz Castillo, f/d/b/a Plaza Guadalupe,
filed with the U.S. Bankruptcy Court for the Western District of
Texas a Disclosure Statement and Plan of Reorganization.
The Plan contemplates that the Debtors will continue to own and
operate their real property, a strip shopping center at 207 Sonny
Drive in Leander, Texas, and they will make payments over time on
claims against them.
The Plan will be funded by cash on hand and future rents generated
by the Property.
Those funds are expected to be sufficient to pay in full:
-- the Secured Claims of Williamson County for 2015 property
taxes on the Debtors' residence (their Homestead) and
commercial real estate (the Property), to be paid in full with
interest over 60 months;
-- the Secured Claims of Propel Financial Services, LLC for 2013
and 2014 property taxes on the Debtors' Homestead and on Lots
13 and 14 of the Property, to be paid according to the
existing terms of the loans, monthly until March of 2025;
-- the Claims of Randolph Brooks Federal Credit Union (RBFCU)
secured by the Debtors' Homestead, to be paid according to the
existing terms of the mortgage, over approximately 163 months;
-- the Claims of Randolph Brooks Federal Credit Union (RBFCU)
secured by Lot 12 of the Property, each to be paid in full
with interest in 239 monthly payments and a balloon in 240th
month;
-- the Claims of the U.S. Small Business Administration (the
SBA) secured by Lot 12 of the Property, with the principal of
the Claim that is secured by a second Lien to be paid over 184
months and the accrued interest on the Claim to be paid
over 28 months following the payment of the principal, and the
Claim secured by a fourth Lien to be paid in full, without
interest, over 180 months;
-- the Claim of Elizabeth Vossler secured by Lot 14 of the
Property, to be paid in full with interest according to the
original terms of the loan, in monthly payments until July of
2020, the original maturity date;
-- the United States Trustee's fees (to be paid quarterly when
due, so long as the Case is open, estimated to be no longer
than three months following Confirmation of the Plan; and
-- the other Administrative Claims, such as the fees and expenses
of the Debtors' attorneys that are estimated to be paid in
full in five monthly payments.
Finally, all Unsecured Claims will be paid in full, with interest
at 4% per annum, pro rata from 20 quarterly payments of $6,812
each, commencing with the first payment due ton the first business
day of the second month after the Effective Date (estimated to be
February 2017).
A copy of the Disclosure Statement dated Oct. 7, 2016 is available
at http://bankrupt.com/misc/txwb16-10040-45.pdf
The Castillos are represented by:
B. Weldon Ponder, Jr.
4408 Spicewood Springs Road
Austin, Texas 78759
Tel No: (512) 342-8222
Fax No: (512) 342-8444
Email: welpon@austin.rr.com
Luis Miguel Castillo and Beatriz Castillo sought bankruptcy
protection (Bankr. W.D. Tex. Case No. 16-10040) on January 12,
2016.
MARION AVENUE: Court Extends Exclusivity Periods Thru Jan. 3
------------------------------------------------------------
Honorable James L. Garrity, Jr. of the U.S. Bankruptcy Court for
the Southern District of New York extended the exclusive period
during which only Marion Avenue Management LLC may file a plan of
reorganization through November 4, 2016, and may solicit
acceptances or rejections to such plan through January 3, 2017.
The Troubled Company Reporter on Oct. 7, 2016, said the Debtor
asked the Court to further extend its exclusive periods for an
additional month, contending that among the reason for its Chapter
11 filing is the personal injury action pending in the Bronx
Supreme Court, as well as a separate action for declaratory
judgment against Public Service Mutual Insurance Company to compel
the insurance carrier to defend and indemnify the Debtor against
the tort claim based on available insurance.
In addition, the Troubled Company Reporter disclosed that after the
removal of the declaratory judgment action to the federal courts,
the Bankruptcy Court granted PSMIC's motion to remand, and vacated
the stay to permit that litigation to continue. The personal
injury action, however, remains stayed, and the Debtor is returning
to the State Court to obtain a determination of the declaratory
judgment action before it again tackles the personal injury action,
but no new hearing has been scheduled in the State Court in the
declaratory judgment action.
In the meantime, the Troubled Company Reporter said that although
the Debtor is making preparation to propose a plan even without
final resolution of the declaratory judgment action, so that the
Debtor's Chapter 11 can move forward under any circumstances,
however, the plan has not yet been formulated.
About Marion Avenue Management LLC
Headquartered in New York, Marion Avenue Management LLC owns
certain commercial real property located at 314-326 East 194th
Street, Bronx, New York, with seven commercial tenants. It filed
for Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case No.
16-10213) on Jan. 29, 2016, listing $2.01 million in total assets
and $554,169 in total liabilities. The petition was signed by Sion
Sohayegh, manager.
Judge James L. Garrity, Jr., presides over the case.
Ted Donovan, Jr., Esq., and Kevin J. Nash, Esq., at Goldberg Weprin
Finkel Goldstein LLP serve as the Debtor's bankruptcy counsel.
MBTI OF PUERTO RICO: Taps Charles A. Cuprill as Legal Counsel
-------------------------------------------------------------
MBTI of Puerto Rico Inc. seeks approval from the U.S. Bankruptcy
Court for the District of Puerto Rico to hire Charles A. Cuprill,
P.S.C., Law Offices as its legal counsel.
The firm will serve as the Debtor's legal counsel in connection
with its Chapter 11 case.
Charles Cuprill-Hernandez, Esq., will be paid an hourly rate of
$350 for his services while the firm's associates will be paid $250
per hour.
Mr. Cuprill-Hernandez disclosed in a court filing that the members
of his firm are "disinterested persons" as defined in section
101(14) of the Bankruptcy Code.
The firm can be reached through:
Charles A. Cuprill-Hernandez, Esq.
Charles A. Cuprill, P.S.C., Law Offices
356 Fortaleza Street, Second Floor
San Juan, PR 00901
Tel: 787-977-0515
Fax: 787-977-0518
About MBTI of Puerto Rico
MBTI of Puerto Rico, Inc. sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. D.P.R. Case No. 16-08091) on Oct. 7,
2016. The petition was signed by Barbara Alozo Vila, president.
The case is assigned to Judge Edward A. Godoy.
At the time of the filing, the Debtor disclosed $12.99 million in
assets and $16.07 million in liabilities.
MEMORIAL PRODUCTION: Moody's Cuts Corporate Family Rating to Ca
---------------------------------------------------------------
Moody's Investors Service downgraded Memorial Production Partners
LP's (MEMP) Corporate Family Rating (CFR) to Ca from Caa2 and
Probability of Default Rating (PDR) to Ca-PD from Caa2-PD. This
action follows MEMP's non-payment of interest on its 7.625% senior
notes due 2021.
Concurrently Moody's downgraded the senior unsecured notes rating
to C from Caa3. The Speculative Grade Liquidity (SGL) Rating was
affirmed at SGL-4 and the rating outlook remains negative.
Downgrades:
Issuer: Memorial Production Partners LP.
-- Probability of Default Rating, Downgraded to Ca-PD from
Caa2-PD
-- Corporate Family Rating, Downgraded to Ca from Caa2
-- Senior Unsecured Notes, Downgraded to C (LGD5) from Caa3
(LGD5)
Affirmations:
-- Speculative Grade Liquidity Rating, Affirmed at SGL-4
Outlook Actions:
-- Outlook remains negative
RATINGS RATIONALE
MEMP elected not to make the approximately $25 million interest
payment due on November 1, 2016 on its 7.625% senior notes due
2021, commencing a 30-day grace period. As of October 28, 2016,
MEMP had total debt of $1.8 billion, which included approximately
$1.1 billion of senior unsecured notes (consisting of $646 million
of 7.625% senior notes due 2021 and $465 million of 6.875% senior
notes due 2022), and $714 million outstanding under its $740
million borrowing base senior secured revolving credit facility due
in March 2018. Effective October 28, 2016 MEMP's borrowing base
facility was reduced to $740 million from $925 million, which will
be further reduced to $720 million effective December 1, 2016.
Failure to pay interest on the 2021 Notes constitutes an event of
default under MEMP's revolving credit facility, which default was
waived by the credit facility lenders while MEMP continues its
discussions with the lenders and bond holders through the 30-day
grace period. If MEMP decides not to make the interest payment by
the end of the grace period, such failure will constitute an event
of default under MEMP's revolving credit facility, the indenture
governing the 7.625% senior note due 2021 and the indenture
governing MEMP's 6.875% senior notes due 2022.
The downgrade of MEMP's CFR to Ca reflects MEMP's extremely tight
liquidity situation, high likelihood of default and Moody's view on
the potential overall recovery. The downgrade of the senior
unsecured notes reflects Moody's view of potential recovery on the
notes.
As of October 28, 2016, MEMP's liquidity consisted of $20 million
of cash on hand and available borrowing capacity of $24 million
(including the impact of $2.4 million in letters of credit).
However, the borrowing capacity will be reduced to $4 million after
December 1, 2016. MEMP also announced on October 28, 2016 its
election to suspend MEMP's quarterly cash distributions to unit
holders. Although the suspension of distributions provides modest
liquidity cushion and MEMP's strong hedge book (the mark-to-market
value of which was approximately $435 million as of October 28,
2016) mitigates commodity price risk, the outcome of MEMP's
negotiations through the grace period with its lenders and
bondholders is highly uncertain.
If the company files for bankruptcy protection or performs an out
of court restructuring, the PDR will be downgraded to D-PD.
A ratings upgrade is unlikely unless the debt is reduced
significantly to result in an improved capital structure with
adequate liquidity.
The principal methodology used in these ratings was Global
Independent Exploration and Production Industry published in
December 2011.
Memorial Production Partners LP is a publicly traded partnership
engaged in the acquisition, production and development of oil and
natural gas properties in the United States. MEMP's properties
consist of mature, legacy oil and natural gas fields. MEMP is
headquartered in Houston, Texas.
MEMORIAL PRODUCTION: S&P Lowers CCR to 'CC'; Outlook Negative
-------------------------------------------------------------
S&P Global Ratings lowered its long-term corporate credit rating on
Texas-based exploration and production partnership Memorial
Production Partners L.P. to 'CC' from 'CCC-'. The outlook is
negative.
The issue-level rating on MEMP's senior unsecured notes remains
'C'. The recovery rating on this debt is '6', indicating S&P's
expectation of negligible (0%- 10%) recovery for creditors in the
event of a payment default.
"The downgrade follows the announcement on Nov. 1, 2016, that MEMP
has decided not to pay the coupon due on its senior unsecured notes
maturing 2021," said S&P Global Ratings credit analyst Christine
Besset. "MEMP is using the 30-day-grace period provided in the
notes' indenture because the partnership is in the process of
restructuring its balance sheet," she added.
S&P believes that MEMP is likely to announce a capital
restructuring or make the payment within the 30-day-grace period.
S&P believes MEMP's decision to defer the interest payment was
strategically taken to accelerate its ongoing negotiations with
creditors and that this move increases the likelihood the company
could announce a distressed exchange, where holders of the
partnership's unsecured debt would receive less than the originally
promised value. In addition, S&P understands that MEMP has enough
liquidity to meet the payment, with reported cash on hand of $20
million and available borrowing capacity of $24 million as of Oct.
28, 2016, and that the partnership's operations and production are
continuing to generate operating cash flow across its asset base
otherwise.
The negative outlook reflects the likelihood that S&P would lower
the rating if the company undertook a distressed debt exchange, or
if the company elected not to pay its missed coupon within the
30-day-grace period.
S&P could raise the rating if MEMP were able to stabilize its
liquidity situation and capital structure without a distressed
transaction or a default on its debt.
METCOM NETWORK: Authorized to Use NFS Leasing Cash Collateral
-------------------------------------------------------------
Judge Mary Kay Vyskocil of the U.S. Bankruptcy Court for the
Southern District of New York authorized Metcom Network Services,
Inc. to use NFS Leasing, Inc.'s cash collateral, pursuant to the
parties' Stipulation, through July 2017.
The Debtor was authorized to use cash for payment of obligations
and otherwise in connection with the continued operation of the
business, including leasehold obligations, payroll, and pay utility
charges, among others.
The Debtor was directed to make monthly payments to NFS Leasing, in
the amount of $35,000, for the period August 2016 to January 2017,
and the amount of $42,877.58, for each month for 21 months,
beginning on February 1, 2017.
NFS Leasing was granted with replacement liens in and on any and
all of the Debtor's real and personal property.
A full-text copy of the Order, dated November 1, 2016, is available
at https://is.gd/Tl4AXp
About Metcom Network Services, Inc.
Metcom Network Services, Inc. sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 16-11870) on June 28,
2016. The petition was signed by Mark DuMoulin, Sr., president.
The Debtor is represented by Neil H. Ackerman, Esq., at Ackerman
Fox, LLP. At the time of the filing, the Debtor had estimated
assets and liabilities ranging from $1 million to $10 million each.
MODERN SHOE: Has Until Dec. 31 to Obtain Plan Acceptances
---------------------------------------------------------
Judge Melvin S. Hoffman of the U.S. Bankruptcy Court for the
District of Massachusetts extended MSC Liquidation LLC f/k/a Modern
Shoe Company LLC and HU Liquidation LLC's exclusive period for
obtaining acceptances of its chapter 11 plan through Dec. 31,
2016.
According to the Troubled Company Reporter, the Debtors and the
Official Committee of Unsecured Creditors filed a Joint Plan of
Liquidation on August 24, 2016, before the expiration of the
120-day exclusive period in which to file a plan. An amended
proposed Disclosure Statement and Liquidation Plan were later filed
on October 11, 2016 and October 14, 2016, respectively. The
Troubled Company Reporter added that the Court approved the
Disclosure Statement and solicitation procedures on October 14,
2016.
The Troubled Company Reporter also disclosed that the Debtor mailed
out the solicitation package to all parties entitled to vote on the
plan and all other parties entitled to the notice on October 14,
2016. The hearing to approve the Liquidation Plan is scheduled for
November 22, 2016; and November 14, 2016 is the deadline to object
to the Liquidation Plan and the deadline to submit votes in favor
of or opposition to the Liquidation Plan. The Debtor told the
Court that the confirmation hearing date is 22 days after the
expiration of the Exclusive Acceptance Period.
About MSC Liquidation LLC
Headquartered in Hyde Park, Massachusetts, MSC Liquidation LLC
f/k/a Modern Shoe Company LLC and HU Liquidation LLC f/k/a Highline
United LLC were specialty designers, wholesalers, and importers of
premium-segment footwear. They provided design specifications,
including style, color, and material, to third party manufacturers,
and the footwear is manufactured overseas, primarily in China, by
JS Macao International, Universal Max and Ash (HK) Limited, which
companies share some common ownership with Modern Shoe's ultimate
ownership. Modern Show also previously manufactured handbags, but
discontinued that business in November 2015.
Modern Shoe and Highline United filed separate Chapter 11
bankruptcy petitions (Bankr. D. Mass. Case Nos. 16-11658 and
16-11659) on May 2, 2016. The petitions were signed by Kimberley
Bradley as COO and CFO.
Modern Shoe estimated assets in the range of $1 million to $10
million and liabilities of up to $50 million. Highline United
estimated assets and liabilities in the range of $10 million to $50
million.
The Debtors have hired Foley Hoag LLP as counsel, Verdolino &
Lowey, P.C. as accountant and BErickson Group, LLC as restructuring
advisor.
Judge Melvin S. Hoffman has been assigned the cases.
The Official Committee of Unsecured Creditors hired Brown Rudnick
LLP as its legal counsel, CBIZ Corporate Recovery Services as its
financial advisor.
MOHAVE AGRARIAN: Tax Creditors To Be Paid in 24 Mos., at 3.5%
-------------------------------------------------------------
Mohave Agrarian Group, LLC, filed with the U.S. Bankruptcy Court
for the District of Nevada a first amended disclosure statement
prepared in connection with the Debtor's first amended Chapter 11
plan of reorganization dated Setp. 2, 2016.
Under the Plan, holders of Class 3 Secured Property Tax Claims --
estimated at $42,733.12 -- on the Effective Date will, in full
satisfaction, settlement, release and exchange for the allowed
Secured Property Tax Claims, receive a refinanced secured loan
evidenced by a promissory note payable to Mohave County Assessor in
the principal amount of $42,733.12 maturing two years from the
Effective Date payable in 24 equal monthly payments at the interest
rate of 3.5% per annum. The Refinanced Secured Tax Note will be
executed by the Reorganized Debtor and will be secured by the
Debtor's property.
Secured Property Tax Claims are impaired and holders of Secured
Property Tax Claims are entitled to vote to accept or reject the
Plan.
The First Amended Disclosure Statement is available at:
http://bankrupt.com/misc/nvb16-10025-188.pdf
As reported by the Troubled Company Reporter on Sept. 26, 2016, the
Debtor filed with the Court a disclosure statement prepared in
connection with the Debtor's first amended Chapter 11 plan of
reorganization dated Sept. 2, 2016. Under that plan, holders of
Class 5 General Unsecured Claims -- which total $2,271,746.47 --
are impaired. Holders of non-insider Class 5(a) General Unsecured
Claims will, in full satisfaction, settlement, release and exchange
for the Allowed General Unsecured Claims, be paid the allowed
amount of the claim in cash on the Effective Date. Holders of
insider Class 5(b) General Unsecured Claims will only receive
distributions when net proceeds of sales of Reorganized Debtor's
real property assets exceed $10 million. Holders of Class 5(b)
will receive 30% of net sales proceeds above and beyond $10
million, until the claims are paid in full, bearing interest at the
rate of a 10-year treasury note.
About Mohave Agrarian
Headquartered in Las Vegas, Nevada, Mohave Agrarian Group, LLC, is
a privately-held company founded in January 2014.
The Company filed for Chapter 11 bankruptcy protection (Bankr. D.
Nev. Case No. 16-10025) on Jan. 5, 2016, estimating its assets at
between $10 million and $50 million and its liabilities at between
$1 million and $10 million. The petition was signed by James M.
Rhodes as president of Truckee Springs Holdings, Inc., manager of
Mohave Agrarian. Fox Rothschild LLP represents the Debtor as
counsel. Judge Mike K. Nakagawa has been assigned the case.
Brett A. Axelrod, Esq., at Fox Rothschild LLP serves as the
Debtor's bankruptcy counsel.
MOUNTAIN DIVIDE: Court OKs $450K DIP Loan, Cash Collateral Use
--------------------------------------------------------------
Judge Ralph B. Kirscher of the U.S. Bankruptcy Court for the
District of Montana authorized Mountain Divide, LLC to obtain
post-petition indebtedness of up to $450,000 from Wells Fargo
Energy Capital, Inc., with $300,000 authorized for immediate use
pending the entry by the Court of a Final Order.
The approved 14-week Budget covers the week beginning October 30,
2016 through week ending February 4, 2017, which provides total
operating costs in the amount of $933,815 and total general and
administrative costs of $315,300.
As earlier reported by the Troubled Company Reporter, the Debtor is
indebted to Wells Fargo in the aggregate amount of not less than
$56,100,925, plus additional amounts for obligations due and
becoming due under their Loan Documents. Wells Fargo has valid,
enforceable and continuing liens on and security interests in
substantially all of the Debtor's properties and assets.
The material terms of the DIP Loan, among others, are:
(a) Interest: Eight percent per annum.
(b) Use of Proceeds: Loan proceeds will be used exclusively
to preserve and protect the value of the business and the Debtor's
assets, as set forth in the following priority:
(i) for well reworking costs as set forth in the Budget;
and
(ii) to pay certain approved operating expenses incurred
during the course of the Bankruptcy Case that are reasonably
necessary to operate the business and implement a sale
transaction.
(c) Continuation of Pre-petition Procedures: All prepetition
practices for the payment and collection of proceeds of the
Collateral and the turnover of cash, including the prepetition
account control agreements and similar arrangements between the
Debtor and Wells Fargo will continue without interruption after the
Petition Date.
(d) Event of Maturity: The DIP Loan matures and will be
immediately payable upon the earliest to occur of any of the
following:
(i) the closing date of any sale of all or substantially
all of the Debtor's assets pursuant to any order of the Court;
(ii) the effective date of a plan of reorganization or
liquidation that is confirmed by the Court; or
(iii) February 4, 2017.
(e) Liens, Collateral and Priority: Wells Fargo is granted
continuing, valid, binding, enforceable, non-avoidable, and
automatically and properly perfected, first priority priming
security interests and liens, superior to all other liens, claims,
encumbrances or security interests that any creditor of the Debtor
and the Debtor's bankruptcy estate may have, in and upon any and
all assets and properties of the Debtor and the bankruptcy estate.
(f) Superpriority Claim: Wells Fargo is granted, an allowed
superpriority administrative expense claim for all of the DIP
Obligations, which has and will continue to have priority in right
of payment over any and all other obligations, liabilities and
indebtedness of the Debtor and the bankruptcy estate, subject only
to the Carve Out Expenses.
(g) Carve Out Expenses: Consists of:
(i) statutory fees payable to the U.S. Trustee;
(ii) fees payable to the Clerk of Court; and
(iii) the unpaid, budgeted and outstanding reasonable
fees and expenses actually incurred on or after the Petition Date
through the occurrence of an Event of Default by professionals
retained by the Debtor.
(h) Adequate Protection: Wells Fargo is granted adequate
protection for the use of cash collateral in the form of
replacement liens in postpetition Cash Collateral and superpriority
claims for any diminution in value in the prepetition Cash
Collateral.
(i) Post-financing Milestones: The Debtor is required to
obtain an order from the Court approving bidding procedures for the
auction and sale of its assets and by which a sale will be
approved, which dates are currently set at Nov. 22, 2016 and Jan.
20, 2017, respectively, or such later date as may be consented to
by Wells Fargo.
A full-text copy of the Order, dated November 3, 2016, is available
at https://is.gd/DYsDXA
A full-text copy of the DIP Loan and Security Agreement, dated
October 19, 2016, is available at https://is.gd/DkxdUK
About Mountain Divide, LLC
Mountain Divide, LLC filed a chapter 11 petition (Bankr. D. Mont.
Case No. 16-61015) on Oct. 14, 2016. The petition was signed by
Patrick M. Montalban, manager. The Debtor is represented by
Jeffery A. Hunnes, Esq., at Guthals, Hunnes & Reuss, P.C. The case
is assigned to Judge Ralph B. Kirscher. The Debtor estimated
assets at $1 million to $10 million and liabilities at $50 million
to $100 million at the time of the filing.
The Official Committee of Unsecured Creditors are represented by
Martin King, Esq., and Ross Keogh, Esq., at Worden Thane P.C.
NEW BEGINNINGS: Unsecureds To Recoup 100% Over 60 Months
--------------------------------------------------------
Eastman Healthcare & Rehab, LLC, Edwards Redeemer Healthcare &
Rehab, LLC, Pinewood Healthcare & Rehab, LLC, and Woodlands
Healthcare & Rehab, LLC, filed with the U.S. Bankruptcy Court for
the Eastern District of Tennessee a first amended disclosure
statement dated Oct. 26, 2016.
General unsecured creditors not otherwise classified are classified
in Class 4, and will receive a distribution of 100% of their
allowed claims, to be distributed in quarterly payments, over 60
months from the Effective Date.
All payments under the Plans which are due on the Effective Date
will be funded from the Cash on hand, the New Equity Investment,
and an exit financing loan from Gemino if and to the extent that
the Debtors and Gemino are able to agree upon exit financing.
The funds necessary to ensure continuing performance under the
Plans after the Effective Date will be (or may be) obtained from:
(a) any and all remaining Cash retained by the Reorganized
Debtors after the Effective Date;
(b) cash generated from the post-Effective Date operations of
the reorganized Debtors;
(c) loan proceeds from Gemino; and
(d) any other contributions or financing (if any) which the
Reorganized Debtors may obtain on or after the Effective
Date.
The First Amended Disclosure Statement is available at:
http://bankrupt.com/misc/tneb16-10272-872.pdf
As reported by the Troubled Company Reporter on Oct. 18, 2016, the
Debtors filed with the Court a disclosure statement dated Oct. 6,
2016, describing the Debtors' plan of reorganization. Class 3
General Unsecured Claims are unimpaired under that plan. All
allowed unsecured claims not separately classified will be paid
100% of each allowed claim with regular monthly payments starting
the first business day of the month, 30 days following the
Effective Date.
About New Beginnings
New Beginnings Care, LLC, and several affiliated entities provide
nursing homes services to the residents of Georgia and Oklahoma
through four traditional nursing care facilities.
The Debtors filed for Chapter 11 bankruptcy protection (Bankr.
E.D.
Tenn. Case Nos. 16-10272 to 16-10273; 16-10275 to 16-10280; and
16-10282 to 16-10287) on Jan. 22, 2016. The Hon. Nicholas W.
Whittenburg presides over the cases. David J. Fulton, Esq., at
Scarborough & Fulton, serves as counsel to the Debtors.
New Beginnings estimated under $50,000 in assets and $1 million to
$10 million in liabilities. The petition was signed by Debbie
Jones, member.
A consolidated list of the Debtors' 30 largest unsecured creditors
is available for free at http://bankrupt.com/misc/tneb16-10272.pdf
NEW CAL-NEVA: Creditors' Panel Taps Province as Financial Advisor
-----------------------------------------------------------------
The Official Committee of Unsecured Creditors of New Cal-Neva
Lodge, LLC, seeks authorization from the U.S. Bankruptcy Court for
the District of Nevada to retain Province, Inc. as financial
advisor to the Committee, effective as of October 11, 2016.
The Committee requires Province to:
a. analyze the Debtors' business, restructuring plan, assets
and liabilities, and overall financial condition;
b. assist the Committee in determining how to react to the
Debtors' restructuring plan or in formulating and
implementing its own plan;
c. monitor the financing and sale process, interface with the
Debtors' professionals, and advise the committee regarding
the process;
d. prepare, or review as applicable, avoidance action and
claim analyses;
e. assist the Committee in reviewing the Debtors' financial
reports, including, but not limited to, SOFAs, Schedules,
cash budgets, and Monthly Operating Reports;
f. advise the Committee on the current state of this chapter
11 case;
g. advise the Committee in negotiations with the Debtors and
third parties as necessary;
h. participate as a witness in hearings before the bankruptcy
court with respect to matters upon which Province has
provided advice; and
i. other activities as are approved by the Committee, the
Committee's counsel, and as agreed to by Province.
Province will be paid at these hourly rates:
Principal $660-700
Director/Managing Director $470-620
Associate/Sr. Associate $330-460
Analyst/Sr. Analyst $250-320
Para professional $100
Province will also be reimbursed for reasonable out-of-pocket
expenses incurred.
Paul Huygens, member of Province, Inc., 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, and the firm: a) is not a
creditor, equity security holder, or insider of the Debtor; b) is
not and was not, within 2 years before the date of the filing of
the petition, a director, officer, or employee of Debtor; and c)
does not have an interest materially adverse to the interest of the
estate or of any class of creditors or equity security holders, by
reason of any direct or indirect relationship to, connection with,
or interest in, the Debtor, for any other reason.
Province can be reached at:
Paul Huygens
PROVINCE, INC.
2360 Corporate Circle, Suite 330
Henderson, NV 89074
Tel: (702) 685-5555
Fax: (702) 685-5556
About New Cal-Neva Lodge
New Cal-Neva Lodge, LLC, based in Saint Helena, CA, filed a Chapter
11 petition (Bankr. N.D. Cal. Case No. 16-10648) on July 28, 2016.
The Hon. Thomas E. Carlson presides over the case. Jane Kim, Esq.,
and Peter Benvenutti, Esq., at Keller & Benvenutti LLP, serve as
bankruptcy counsel.
In its petition, the Debtor estimated $50 million to $100 million
in assets and $10 million to $50 million in liabilities. The
petition was signed by Robert Radovan, president and secretary.
U.S. Trustee Tracy Hope Davis on Sept. 13 appointed four creditors
to serve on the official committee of unsecured creditors of New
Cal-Neva Lodge, LLC. The Committee hired Pachulski Stang Ziehl &
Jones LLP, as legal counsel; Province, Inc. as financial advisor.
NEW ENTERPRISE: RoadSafe Acquires All Assets of PSI Business
------------------------------------------------------------
New Enterprise Stone & Lime Co., Inc., and its wholly-owned
subsidiary Protection Services Inc. entered into an Asset Purchase
Agreement with RoadSafe Traffic Systems, Inc. (the "Buyer") and
RoadSafe's parent company, pursuant to which the Buyer purchased
substantially all of the assets of the PSI business, which
constitutes a component of the Company's traffic safety services
and equipment sales business.
The cash purchase price for the PSI assets, net of certain assumed
liabilities, was $36.3 million, of which $2.75 million was
deposited into escrow to secure confirmation of closing date
working capital and any indemnity obligations. The closing date
working capital will be confirmed after closing of the Transaction,
at which time up to $250,000 will be released from escrow depending
on differences from the closing date working capital estimate. The
remaining escrow will be retained for up to one year after closing,
subject to extension in certain circumstances. The Company intends
to apply the net proceeds of the sale of the PSI assets towards the
repurchase of the Company's 11% Senior Notes due 2018. The timing
of any repurchases and the exact amount of Senior Notes to be
repurchased will be determined by the Company's management, in its
discretion, and will depend upon market conditions and other
factors.
The PSI assets sold in the Transaction accounted for $29.1 million
of revenue, $2.4 million of operating profit and $4.7 million of
EBITDA for the six-month period ending Aug. 31, 2016, and $41.4
million of revenue, $1.6 million of operating profit and $6.0
million of EBITDA for the fiscal year ended Feb. 29, 2016.
The Company has retained and will continue to manufacture and sell
a complete line of traffic control devices, including traffic
cones, plastic drums, channelizers, barricades, arrow boards, crash
attenuators, construction/permanent signs and posts, message
boards, speed awareness monitors and strobe/warning lights, traffic
control signs and solar powered traffic safety devices under its
Work Area Protection Corp., ASTI Transportation Systems, Inc., SCI
Products Inc. and Precision Solar Controls Inc. businesses.
The Asset Purchase Agreement contains representations, warranties,
covenants and indemnification provisions customary for a
transaction of this type. Both the Buyer and PSI have agreed to
indemnify each other for certain losses arising from breaches of
the Asset Purchase Agreement and for certain other liabilities,
subject to specified limitations. In connection with the
Transaction, both parties have entered into a transition services
agreement, whereby the Company will provide certain transition
services to the Buyer for a limited period of time following the
date hereof. The Buyer has also entered into a distribution
agreement with Work Area Protection Corp., an affiliate of the
Company, whereby Buyer will, on a non-exclusive basis, market, sell
and distribute traffic control and safety products produced by
WAPCO in the U.S.
On Nov. 1, 2016, the Company made available certain selected
financial information for discussion with investors, a copy of
which is available for free at https://is.gd/BvkQXV
About New Enterprise
New Enterprise Stone & Lime, Co., Inc., is a privately held,
vertically integrated construction materials supplier and
heavy/highway construction contractor in Pennsylvania and western
New York and a national traffic safety services and equipment
provider.
New Enterprise reported a net loss of $21.1 million for the year
ended Feb. 29, 2016, following a net loss of $62.5 million for the
year ended Feb. 28, 2015.
As of May 31, 2016, New Enterprise had $656 million in total
assets, $851 million in total liabilities and a total deficit of
$196 million.
* * *
As reported by the TCR on July 27, 2016, Moody's Investors Service
upgraded New Enterprise Stone & Lime Co., Inc.'s Corporate Family
Rating to B3 from Caa1. The B3 Corporate Family Rating reflects
the company's modest scale, seasonality of its business, limited
geographic diversification, exposure to cyclical construction end
markets, concentration of business with Pennsylvania DOT, and high
financial leverage.
New Enterprise carries a 'B-' corporate credit rating from S&P
Global ratings.
NEW GLOBAL: Issues Letter to Shareholders
-----------------------------------------
New Global Energy, Inc., furnished the U.S. Securities and Exchange
Commission a copy of a letter to the Company's shareholders as
follows:
11/1/ 2016
Dear Shareholder:
New Global Energy wanted to share with you a summary of our recent
activities on the farm over the past few months. As always, we
remain committed to consistent communications with our
shareholders.
Farm Production
Tilapia production is improving as the farm moves forward with its
program to move the Aqua Farming Tech Thermal Farm towards full
production. In this regard, all 8 of the Thermal farm's biggest
diameter grow out tanks have been stocked with larger fish in their
final phase of growth, which will support greater weekly
production.
Historically, the farm has mostly sold its fish either direct, or
through brokers, to the Asian market in California. The preference
of this market over the previous couple of years has evolved from
regularly purchasing 1 pound fish to preferring larger fish in the
size range of 1.2 to 1.4 pounds; maybe the American-Chinese
demographic is succumbing to our Country’s penchant for larger
portions. Whatever the reason, this change in consumer preference
causes us to hold the fish for a longer grow out period but insofar
as the price charged is a per pound price, the sales price per fish
is pro ratably higher; it just takes longer to grow a tilapia to a
larger size.
Seasonal hatchery operations are underway, with the first 500,000
eggs harvested and moved to the hatchery Thursday October 27. The
farm's tilapia inventory is augmented twice a year (fall and
spring) with newly spawned fish, called fry. Hatchery operations
supply the farm with its ongoing inventory and are critical to the
farm's ability to increase production. In our efforts to enhance
and refresh the genetics of our farm's broodstock with certain
other tilapia bloodlines, we are working to acquire and import a
particular strain of tilapia from Uganda.
New Markets for Tilapia
Management has conducted research and is in the initial stage of
selling smaller, 1/2 pound live tilapia to the Hispanic market.
Latinos are strong consumers of fish, they like tilapia and they
consider the smaller fish (which they often deep fry) preferable.
Identifying and cultivating a market that prefers smaller fish is
valuable because it provides the farm a way to monetize the segment
of its fish inventory that is comprised of the slower growing
females. Faster to market means lower production costs, which also
means that the farm can be flexible in the per pound price,
particularly in the early stage of market development.
Developing this new market involves investment on the Company's
behalf to construct in store aquarium displays 2 foot by 4 foot in
size, place the unit in the store, and then train store personnel
how to care for, (and catch!) the fish. The program is working and
the plan is to increase the number of in store displays to coincide
with farm production and consumer demand.
Organic Certification Farm Initiative
The farm is moving forward to certify, as organic, 18 acres of the
Thermal Farm and 57 acres of the Mecca Farm. The process,
involving the submittal of various forms and information, is
progressing, including an inspection and interview conducted in
early October onsite. We expect to receive organic certification
of both farm's designated acreage prior to the year end.
Moringa
The Wall Street Journal, in an article titled, "The Next Hot Trends
in Food", published October 16, 2016, had this to say about
moringa: "The next superfood: moringa. Move over, kale—there's a
new super green. The leaves of the moringa oleifera tree, grown in
Haiti, parts of Latin America and Africa, are drawing interest from
trend watchers for their nutritional content. The leaves contain
high levels of calcium, potassium and protein, as well as vitamins
A, B, C, D and E. Because the trees can grow in both tropical and
temperate climates and produce leaves year-round that can be eaten
fresh, cooked or dried without losing their nutritional content,
moringa is becoming an attractive additive ... it's currently being
sold as a powder and in energy shots, bars and teas at retailers
including Target Corp. and Amazon. Ms. Abbott expects to see
commercial planting of moringa trees in the U.S. as awareness
grows."
In early 2015, the Company planted 8 acres of moringa, on its
Thermal farm, with the intention to generate a moringa crop of
sufficient size which would be used both as an ingredient in the
fish food, the farm manufactures on site to feed its fish and to
generate additional revenue streams by selling the moringa to
ethnic super markets in the Southern California area and by selling
moringa to the health and wellness markets.
To date, existing moringa acreage has been planted in a low density
manner with a view toward maximizing seed production; the seeds
produced would then be harvested and used to plant additional
acreage that would allow the farm to scale into production levels
sufficient to meet its internal feed production requirements and
also, to produce a surplus which would be sold in the vegetable
section of Southern California Chinese markets and marketed to the
health and wellness industry, wholesale, by the kilo in powdered
form, or retail, as an ingredient in finished products (meal
replacement powders, power bars, etc) under the Company's Moringa
Reserve, LLC brand. During this past summer, approximately 1
million seeds were harvested which are planned to be planted in a
high density fashion on the acreage presently in the process of
being certified organic. We believe we are well out in front of
the trend identified in the Wall Street Journal article and
positioned to capitalize, given additional financing, by delivering
a remarkable, important food to a rapidly growing market.
Sincerely,
Perry D. West
Chief Executive Officer
About New Global Energy
New Global Energy, Inc., is a sustainable agriculture and
aquaculture company organized as a Wyoming corporation on Jan. 24,
2012. The Company focuses on the use of advanced technology and
farming techniques with the goal of increasing production and
decreasing costs.
As of June 30, 2016, New Global had $9.17 million in total assets,
$4.90 million in total liabilities and $4.26 million in total
stockholders' equity.
New Global reported a net loss of $15.29 million in 2015 following
a net loss of $7.22 million in 2014.
D. Brooks and Associates CPA's, P.A., in West Palm Beach, FL,
issued a "going concern" qualification on the consolidated
financial statements for the year ended Dec. 31, 2015, citing that
the Company has incurred operating losses, has incurred negative
cash flows from operations and has a working capital deficit. These
and other factors raise substantial doubt about the Company's
ability to continue as a going concern.
NEW GLOBAL: Suspending Filing of Reports with SEC
-------------------------------------------------
NightCulture, Inc., filed with the Securities and Exchange
Commission a Form 15 notifying the termination of registration of
its common stock, par value $0.001 per share, under Section 12(g)
of the Securities Exchange Act of 1934. As a result of the Form 15
filing, the Company is not anymore obligated to file periodic
reports with the SEC.
About NightCulture
NightCulture Inc. "Concerts that Change Your Life" produces
Electronic Dance Music (EDM) festivals and concerts in 4 markets
– Houston, Austin, San Antonio and Dallas, Texas -- with world
renowned DJs and artists and produces annual branded music
festivals -- "Something Wicked," a Halloween themed festival in
Houston, Texas that drew 40,000+ fans in 2014, and "Something
Wonderful," a spring themed festival in Dallas/Ft. Worth, Texas.
NightCulture has two subsidiaries Stereo Live LLC and Stereo Live
Dallas LLC that operate two branded concert venues under the name
"Stereo Live" in Houston and Dallas, TX.
As of June 30, 2016, NightCulture had $1.29 million in total
assets, $5.01 million in total liabilities and a total
stockholders' deficit of $3.71 million.
NightCulture reported a net loss of $1.66 million in 2015 following
a net loss of $673,311 in 2014.
MaloneBailey, LLP, in Houston, Texas, issued a "going concern"
qualification on the consolidated financial statements for the year
ended Dec. 31, 2015, citing that the Company has a working capital
deficit and an accumulated deficit as of Dec. 31, 2015. These
conditions raise significant doubt about the Company's ability to
continue as a going concern.
NORTEL NETWORKS: Reaches Stipulations W/CRT & Bulldog Investors
---------------------------------------------------------------
BankruptcyData.com reported that Nortel Networks (NNI) filed with
the U.S. Bankruptcy Court a motion authorizing NNI's entry into and
approving a stipulation with CRT Special Investments that resolves
the claimant's claims against NNI. Court-filed documents explain,
"As detailed in the Stipulation, the Claimant has acquired
approximately 10 Claims asserted against the Debtors for liability
for certain trade claims and for claims related to pension benefits
of former employees of the Debtors. The Claims assert general
unsecured liabilities against the Debtors of $1,944,435.65. As a
result of negotiations, subject to this Court's approval, NNI has
reached a compromise with the Claimant that the Claims, which were
asserted as general unsecured claims of $1,944,435.65 will be
allowed as: general unsecured claims by the Claimant against NNI in
an amount totaling $1,487,839.91."
BankruptcyData.com adds that NNI also filed with the Court a motion
seeking approval of a compromise with Bulldog Investors General
Partnership. That motion explains, "As detailed in the Stipulation,
Claimant has acquired approximately 18 Claims asserted against the
Debtors for liability for pension benefits of former employees of
the Debtors. The Claims assert general unsecured liabilities
against the Debtors of $14,426,189.33 and priority liabilities of
$1,251,424.84. As a result of negotiations, subject to this Court's
approval, NNI has reached a compromise with the Claimant that the
Claims, which were asserted as general unsecured claims of
$14,426,189.33 and priority claims of $1,251,424.84, will be
allowed as: general unsecured claims by the Claimant against NNI in
an amount totalling $10,066,553."
According to the report, the Court scheduled a November 8, 2016
hearing to consider both stipulations. Objections were due November
1.
About Nortel Networks
Headquartered in Ontario, Canada, Nortel Networks Corporation and
its various affiliated entities provided next-generation
technologies, for both service provider and enterprise networks,
support multimedia and business-critical applications. Nortel did
Networks Limited was the principal direct operating subsidiary of
Nortel Networks Corporation.
On Jan. 14, 2009, Nortel Networks Inc.'s ultimate corporate parent
Nortel Networks Corporation, NNI's direct corporate parent Nortel
Networks Limited and certain of their Canadian affiliates commenced
a proceeding with the Ontario Superior Court of Justice under the
Companies' Creditors Arrangement Act (Canada) seeking relief from
their creditors. Ernst & Young was appointed to serve as monitor
and foreign representative of the Canadian Nortel Group. That same
day, the Monitor sought recognition of the CCAA Proceedings in U.S.
Bankruptcy Court (Bankr. D. Del. Case No. 09-10164) under Chapter
15 of the U.S. Bankruptcy Code.
That same day, NNI and certain of its affiliated U.S. entities
filed voluntary petitions for relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Del. Case No. 09-10138).
In addition, the High Court of England and Wales placed 19 of NNI's
European affiliates into administration under the control of
individuals from Ernst & Young LLP. Other Nortel affiliates have
commenced and in the future may commence additional creditor
protection, insolvency and dissolution proceedings around the
world.
On May 28, 2009, at the request of administrators, the Commercial
Court of Versailles, France, ordered the commencement of secondary
proceedings in respect of Nortel Networks S.A. On June 8, 2009,
Nortel Networks UK Limited filed petitions in U.S. Bankruptcy Court
for recognition of the English Proceedings as foreign main
proceedings under Chapter 15.
U.S. Bankruptcy Judge Kevin Gross presides over the Chapter 11 and
15 cases. Mary Caloway, Esq., and Peter James Duhig, Esq., at
Buchanan Ingersoll & Rooney PC, in Wilmington, Delaware, serves as
Chapter 15 petitioner's counsel.
In the Chapter 11 case, James L. Bromley, Esq., and Howard S.
Zelbo, Esq., at Cleary Gottlieb Steen & Hamilton, LLP, in New York,
serve as the U.S. Debtors' general bankruptcy counsel; Derek C.
Abbott, Esq., at Morris Nichols Arsht & Tunnell LLP, in
Wilmington, serves as Delaware counsel. The Chapter 11 Debtors'
other professionals are Lazard Freres & Co. LLC as financial
advisors; and Epiq Bankruptcy Solutions LLC as claims and notice
agent.
The U.S. Trustee appointed an Official Committee of Unsecured
Creditors in respect of the U.S. Debtors.
An ad hoc group of bondholders also was organized. An Official
Committee of Retired Employees and the Official Committee of
Long-Term Disability Participants tapped Alvarez & Marsal
Healthcare Industry Group as financial advisor. The Retiree
Committee is represented by McCarter & English LLP as Delaware
counsel, and Togut Segal & Segal serves as the Retiree Committee.
The Committee retained Alvarez & Marsal Healthcare Industry Group
as financial advisor, and Kurtzman Carson Consultants LLC as its
communications agent.
Several entities, particularly, Nortel Government Solutions
Incorporated and Nortel Networks (CALA) Inc., have material
operations and are not part of the bankruptcy proceedings.
As of Sept. 30, 2008, Nortel Networks Corp. reported consolidated
assets of $11.6 billion and consolidated liabilities of $11.8
billion. The Nortel Companies' U.S. businesses are primarily
conducted through Nortel Networks Inc., which is the parent of
majority of the U.S. Nortel Companies. As of Sept. 30, 2008, NNI
had assets of about $9 billion and liabilities of $3.2 billion,
which do not include NNI's guarantee of some or all of the Nortel
Companies' about $4.2 billion of unsecured public debt.
Since the commencement of the various insolvency proceedings,
Nortel has sold its business units and other assets to various
purchasers. Nortel has collected roughly $9 billion for
distribution to creditors. Of the total, $4.5 billion came from
the sale of Nortel's patent portfolio to Rockstar Bidco, a
consortium consisting of Apple Inc., EMC Corporation,
Telefonaktiebolaget LM Ericsson, Microsoft Corp., Research In
Motion Limited, and Sony Corporation. The consortium defeated a
$900 million stalking horse bid by Google Inc. at an auction. The
deal closed in July 2011.
Nortel has filed a proposed plan of liquidation in the U.S.
Bankruptcy Court. The Plan generally provides for full payment on
secured claims with other distributions going in accordance with
the priorities in bankruptcy law.
The trial on how to divide proceeds among creditors in the U.S.,
Canada, and Europe commenced on Sept. 22, 2014. The question of
how to divide $7.3 billion raised in the international bankruptcy
of Nortel Networks Corp. was answered on May 12, 2015, by two
judges, one in the U.S. and one in Canada.
According to The Wall Street Journal, Justice Frank Newbould of the
Ontario Superior Court of Justice in Toronto and Judge Kevin Gross
of the U.S. Bankruptcy Court in Wilmington, Del., agreed on the
outcome: a modified pro rata split of the money.
NUMISMATIC SUBS: Asks Court to Move Exclusivity Periods to May 31
-----------------------------------------------------------------
Numismatic Subs, LLC asks for 182-day extension from the U.S.
Bankruptcy Court for the Middle District of Florida of its
exclusive periods during which only has the exclusive right to file
a plan of reorganization and to solicit acceptances with respect to
such plan through and including May 31, 2017.
The Debtor operates a Jimmy John's sub shop under a franchise
agreement with Jimmy John's Franchise, LLC, where sales are to
individual customers or for catering, both in-store and by
delivery.
The Debtor anticipates to file a plan of reorganization based on
payments funded by documented profitability by March 23, 2017,
which would be beneficial to all claimants and parties in interest
in the case, and further anticipates prompt consideration for
confirmation within 45 days thereafter and that confirmation is
more likely than not.
About Numismatic Subs
Numismatic Subs, LLC, sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. M.D. Fla. Case No. 16-04855) on June 3,
2016. The petition was signed by William T. Dougherty, Jr.,
managing member. The Debtor is represented by Daniel J. Herman,
Esq., at Pecarek & Herman, Chartered. The Debtor estimated assets
at $0 to $50,000 and liabilities at $500,001 to $1 million at the
time of the filing.
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 Numismatic Subs, LLC.
OAK RIVER ASSET: Seeks to Hire Yadegar Minoofar as Special Counsel
------------------------------------------------------------------
Oak River Asset Management LLC seeks approval from the U.S.
Bankruptcy Court for the Central District of California to hire
Yadegar, Minoofar & Soleymani LLP as special counsel.
The firm will represent the Debtor in a lawsuit it filed against
Pioneer General Engineering Contractors, Inc. and four others in
the Superior Court of the State of California.
Pedram Minoofar, Esq., the attorney designated to represent the
Debtor, will be paid an hourly rate of $575. Meanwhile, the hourly
rates of other attorneys who may assist him range from $225 to
$495. The firm's paralegals are paid between $95 and $195 per
hour.
Mr. Minoofar disclosed in a court filing that his firm does not
hold or represent any interest adverse to the Debtor's bankruptcy
estate or its creditors.
The firm can be reached through:
Pedram Minoofar, Esq.
Yadegar, Minoofar & Soleymani LLP
1875 Century Park East, Suite 1240
Los Angeles, CA 90067
Phone: (424) 239-8733
Email: Pedram@ymsllp.com
About Oak River
Oak River Asset Management LLC sought protection under Chapter 11
of the Bankruptcy Code (Bankr. C. D. Calif. Case No. 16-19233) on
July 12, 2016. The petition was signed by Lawrence Perkins,
authorized agent.
The case is assigned to Judge Deborah J. Saltzman.
At the time of the filing, the Debtor estimated its assets at $10
million to $50 million and debts at $500,000 to $1 million.
OAKFABCO INC: Plan Filing Deadline Further Extended to Dec. 31
--------------------------------------------------------------
Oakfabco Inc. obtained an order from the Bankruptcy Court further
extending its exclusive plan filing period through Dec. 31, 2016,
and its exclusive plan solicitation period through Feb. 28, 2017.
The Court also rescheduled the status conference relating to the
status of the plan and disclosure statement to Jan. 17, 2017, at
11:00 a.m. in Courtroom 682.
About Oakfabco, Inc.
Oakfabco, Inc, formerly known as Kewanee Boiler Corporation, has
not manufactured boilers since 1988 when it sold its Kewanee boiler
business in an 11 U.S.C. Section 363 sale to Coppus Engineering
Corporation. In early 2009, it sold all of its remaining assets.
The Debtor has no employees, and, Frederick W. Stein is the
Debtor's sole officer and director. The Debtor's sole remaining
asset is its insurance, and it has no known liabilities other than
asbestos claims.
In January 1970, Kewanee Boiler Corp, then a newly-formed Illinois
Corporation, acquired the assets and debt of American Standard,
Inc.'s commercial boiler manufacturing division known as "Kewanee
Boiler." The boilers manufactured and sold by Kewanee Boiler were
insulated with asbestos.
Oakfabco sought Chapter 11 protection (Bankr. N.D. Ill. Case No.
16-27062) on Aug. 7, 2015, to resolve its remaining asbestos
claims. The petition was signed by Frederick W. Stein, president.
Stephen T. Bobo, Esq., Aaron B. Chapin, Esq., Paul M. Singer, Esq.,
Luke A. Sizemore, Esq., and Joseph D. Filloy, Esq., at Reed Smith
LLP, serves as counsel to the Debtor.
The Debtor estimated $10 million to $50 million in assets and
debt.
The U.S. Trustee for Region 11, appointed four members to the
Asbestos Claimants' Committee in the Chapter 11 bankruptcy case of
Oakfabco Inc.
OATH CORPORATION: Wins Dec. 5 Extension to File Plan
----------------------------------------------------
Judge Cynthia C. Jackson of the U.S. Bankruptcy Court for the
Middle District of Florida extended the exclusive periods during
which only Oath Corporation may file a plan of reorganization and
solicit acceptances with respect to such plan on an interim basis,
through and including Dec. 5, 2016 and Feb. 3, 2017, respectively.
Earlier, the Troubled Company Reporter said the Debtor asked the
Court to extend the deadline to file a disclosure statement and
plan to January 18, 2017, as it needs additional time to operate
its business and generate revenue in order to establish a more
comprehensive track record demonstrating its ability to ultimately
succeed under a chapter 11 plan.
About Oath Corporation
Oath Corporation, based in Rockledge, Florida, filed a Chapter 11
petition (Bankr. M.D. Fla. Case No. 16-03988) on June 15, 2016.
The Debtor is represented by Christopher R. Lim, Esq., at A.I.M.
Law Group. The Debtor estimated $50,000 to $100,000 in assets and
$1 million to $10 million in liabilities at the time of the filing.
OLD COLD: Plan Filing Deadline Extended Thru March 17 Next Year
---------------------------------------------------------------
Judge J. Michael Deasy granted Old Cold, LLC, an extension of its
exclusive plan filing period through March 1 2017, and its
exclusive plan solicitation period through May 1, 2017.
About Old Cold, LLC
Based in Portsmouth, New Hampshire, Old Cold, LLC, is a material
innovation company, with the front-facing brands of Coolcore and
Dr. Cool. Coolcore, the global leader in chemical-free cooling
fabrics, has partnerships to develop fabrics for consumer brands
throughout the world. Dr. Cool is a consumer goods brand based on
the foundation of chemical-free cooling products.
Old Cold filed for Chapter 11 bankruptcy protection (Bankr. D.N.H.
Case No. 15-11400) on Sept. 1, 2015. The Debtor is represented by
Daniel W. Sklar, Esq., Christopher Desiderio, Esq., and Christopher
Fong, Esq., at Nixon Peabody LLP.
OLIVER C&I: Names Carmen Conde Torres as Legal Counsel
------------------------------------------------------
Oliver C&I Corp. seeks authorization from the U.S. Bankruptcy Court
for the District of Puerto Rico to employ Carmen D. Conde Torres of
the Law Offices of C. Conde & Assoc. as legal counsel.
The Debtor requires C. Conde to:
(a) advise the Debtor with respect to its duties, powers and
responsibilities in this case under the laws of the United
States and Puerto Rico in which the Debtor in possession
conducts its operations, do business, or is involved in
litigation;
(b) advise the Debtor in connection with a determination
whether a reorganization is feasible and, if not, helping
the Debtor in the orderly liquidation of its assets;
(c) assist the Debtor with respect to negotiations with
creditors for the purpose of arranging the orderly
liquidation of assets and for proposing a viable plan of
reorganization;
(d) prepare on behalf of the Debtor the necessary complaints,
answers, orders, reports, memoranda of law and any other
legal papers or documents;
(e) appear before the Bankruptcy Court, or any court in which
the Debtor assert a claim interest or defense directly or
indirectly related to this bankruptcy case;
(f) perform other legal services for the Debtor as may be
required in these proceedings or in connection with the
operation of and involvement with the Debtor's business,
including but not limited to notarial services; and
(g) employ other professional services, if necessary.
The firm will be paid at these hourly rates:
Carmen D. Conde Torres $300
Associates $275
Junior Attorney $250
Legal Assistants $150
C. Conde will also be reimbursed for reasonable out-of-pocket
expenses incurred.
C. Conde required a retainer in the amount of $30,000 and was paid
by third party, MC Magraner, Corp.
Carmen D. Conde Torres, senior attorney of the firm, 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 Debtor and its estate.
C. Conde can be reached at:
Carmen D. Conde Torres, Esq.
C. CONDE & ASSOC.
254 San Jose Street, 5th Floor
Old San Juan, P.R. 00901
Tel: (787) 729-2900
Fax: (787) 729-2203
E-mail: condecarmen@condelaw.com
Oliver C & I Corp., based in Guaynabo, Puerto Rico, filed a Chapter
11 petition (Bankr. D.P.R. Case No. 16-08311) on October 17, 2016.
The Hon. Mildred Caban Flores presides over the case. Carmen D
Conde Torres, Esq., serves as attorney
In its petition, the Debtor indicated $29.94 million in total
assets and $1.06 million in total liabilities. The petition was
signed by Max Olivera, vice-president/treasurer.
PATRICK ADAMS: Asks Court To Approve Plan Outline
-------------------------------------------------
Patrick Taylor Adams and Linda Ann Adams filed with the U.S.
Bankruptcy Court for the Northern District of Texas a motion for
conditional approval of the Debtors' disclosure statement.
As reported by the Troubled Company Reporter on Nov. 2, 2016, the
Debtors filed with the Court a disclosure statement dated Oct. 24,
2016, referring to the Debtors' Plan, which states that holders of
Class 10 Claims General Unsecured Claims are impaired and may vote
their unsecured claims and deficiency claims as a member of this
class, and the aggregate claims in this class are estimated at $1.5
million.
Patrick Taylor Adams and Linda Ann Adams operate a furniture
business at 10202 Miller Road, Dallas, Texas 75238, known as Adams
Office Furniture, a sole proprietorship. The Debtors undertook to
own and operate a restaurant known as Allure, also as a sole
proprietorship, and it was a financial disaster.
The Debtors filed for Chapter 11 bankruptcy protection (Bankr.
N.D.
Tex. Case No. 15-35093) on Dec. 28, 2015.
Dennis Olson, Esq., at Oson Nicoud & Gueck, L.L.P., serves as the
Debtors' bankruptcy counsel.
PEACH STATE: Seeks to Hire Lamberth Cifelli as Legal Counsel
------------------------------------------------------------
Peach State Ambulance, Inc. seeks approval from the U.S. Bankruptcy
Court for the Northern District of Georgia to hire legal counsel in
connection with its Chapter 11 case.
The Debtor proposes to hire Lamberth, Cifelli, Ellis & Nason, P.A.
to give legal advice regarding its duties under the Bankruptcy
Code, prepare its bankruptcy plan, assist in the sale of its
assets, and provide other legal services.
The hourly rates charged by the firm range from $250 to $495 for
attorneys, and $110 to $195 for paralegals.
G. Frank Nason, IV, Esq., disclosed in a court filing that the firm
does not have any interest adverse to that of the Debtor's estate
or any of its creditors.
The firm can be reached through:
G. Frank Nason, IV, Esq.
Lamberth, Cifelli, Ellis & Nason, P.A.
1117 Perimeter Center West, Suite W212
Atlanta, GA 30338
Phone: (404) 262-7373
Fax: (404) 262-9911
About Peach State Ambulance
Peach State Ambulance filed a chapter 11 petition (Bankr. N.D. Ga.
Case No. 16-12121) on Oct. 24, 2016. The petition was signed by
James L. Olson, president. The Debtor is represented by Frank G.
Nason, IV, Esq. The Debtor estimated assets and liabilities at $1
million to $10 million at the time of the filing.
PICO HOLDINGS: Bloggers Discuss Aborted UCP Debt Issuance
---------------------------------------------------------
PICO Holdings, Inc. (Nasdaq:PICO), based in La Jolla, Calif., is a
diversified holding company reporting recurring losses since 2008.
PICO owns 57% of UCP, Inc. (NYSE:UCP), 100% of Vidler Water
Company, Inc., a securities portfolio and various interests in
small businesses. PICO has $662 million in assets and $426 million
in shareholder equity. Central Square Management LLC and River Road
Asset Management LLC collectively own more than 14% of PICO. Other
activists at http://ReformPICONow.com/(RPN) have taken to the
Internet to advance the shareholder cause.
The bloggers make several observations on the recent changes at
PICO, namely the firing of CEO John "The Juicer" Hart and
installation of his replacement, Max Webb, former CFO. But first,
the bloggers address the lack of progress on their Red Hawk
investigation.
"We have received no word from the Board on our Red Hawk
investigation. Best practices demand that the PICO Board hire
independent forensic experts to ascertain the truth of the Red Hawk
transaction and to communicate that truth frequently and
expeditiously to the owners of the business.
"There are a few interesting ironies in Squeeze The Juicer. First,
Juicer did this to himself. If Juicer had entered into a
Compensation Scheme that paid him $500,000 annually, a reasonable
bonus based on NAV or PICO's stock price, and a termination payment
of $1 million, it would have been accepted as the path of least
resistance. He probably would have overseen the 5-year liquidation
of PICO and made lots of money in the process. But like every
corrupt and incompetent egomaniac, he got greedy – and that was
his downfall.
"Second, when Juicer negotiated the Central Square Settlement
Agreement and the Leder Settlement Agreement, he probably never
dreamed that they would be used against him only 7 months later.
Recall that per their respective Agreements, Central Square and
Leder Holdings must vote with the recommendation of the Board. Now,
the Board is recommending that shareholders toss Juicer -- so both
Central Square's and Leder's votes go against Juicer. The irony is
almost Shakespearean.
"Another interesting irony is the role that newly-minted CEO Max
Webb and Hart-appointed Director Michael "Desperado" Machado likely
played in Squeeze The Juicer. Mr. Webb worked with Mr. Hart for
almost two decades. Desperado has been on the Board since 2013, and
was one of the knaves who signed his name to the criminal Hart
Compensation Scheme. If these men wanted to remain at PICO, it was
incumbent upon them to ruthlessly turn on the man who was
responsible for both their positions and paychecks for a long time.
"(PICO better have language in Tangled Webb's employment agreement
indicating he must resign from both PICO and UCP Boards once he is
not an employee of PICO.)
"We wonder out loud which attorney is providing counsel to PICO on
the consent solicitation effort. The ironies would continue if it
was Keith Gottfried, Esq., at Morgan Lewis & Bockius, LLP.
Long-time readers of RPN have come across Mr. Gottfried on several
occasions -- he has been the lawyer behind innumerable measures
that were abusive of shareholders, destructive to value and served
only to entrench the corrupt and incompetent Legacy Directors.
"The last and final irony is that Juicer is upset. Juicer stacked a
corrupt Board to procure a larcenous employment agreement. He
worked 6 months into a 5-year term. He was confronted with
PICOGate, which was a golden opportunity for Delaymond and Hapless
Howie Brownstein to save shareholders $11 million in termination
payments. Unfortunately, Delaymond and Howie took the easy way out,
which prejudiced shareholders. After all that, Juicer walks with
$11 million of shareholder money. What’s Juicer complaining
about?
"To the extent that Juicer had a hand in placing Raymond
"Delaymond" Marino and Howie Brownstein on the Board -- he chose
wisely. When we broke the PICOGate story, we provided the Board
with sufficient justification to conduct a full-scale investigation
of Juicer and his past executive conduct. An independent
investigation likely would have produced sufficient evidence to
fire Juicer for cause, saving shareholders $11 million. But
Delaymond and Howie did right by Juicer and wrong by shareholders
-- they refused to conduct a thorough investigation, thereby
unnecessarily handing Juicer $11 million. Juicer chose well --
neither Delaymond nor Howie had the integrity to conduct a thorough
investigation.
"The bloggers are feeling smug and encourage other shareholders to
bask in the good vibe. "It is interesting to reflect back to one
year ago and marvel at how far PICO shareholders have come. In
October 2015, PICO suffered from an entrenched Board, a corrupt and
incompetent CEO, extreme value destruction and little hope. There
were 7 Legacy Directors, focused on entrenchment.
"With the removal of Juicer, 6 of those 7 Legacy Directors are
gone. Starting with Julie Sullivan who left in October, in only 10
months PICO shareholders have turned over almost the entire Board.
This is an amazing feat."
The bloggers note that Moody's rated UCP's proposed debt offering
then pulled the rating when UCP aborted the issuance. "On October
14, 2016, Moody's Investors Service assigned a B3 CFR to UCP and a
B3 rating to UCP's proposed 2021 Senior Notes. According to a
Moody's Evolution of Default Probability Matrix, B3 implies about a
9% probability of default within the first year.
On October 28, 2016, Moody's withdrew its UCP ratings. Under
'Rating Rationale,' it said, 'Moody's has withdrawn the rating for
its own business reasons.'
The bloggers note, "From Moody's withdrawal we assume that a future
UCP Senior Notes offering is about as likely as RPN receiving a
Christmas Card from Juicer. When UCP pulled the issue, there was
talk that it might wait for an improvement in market conditions or
better financial results. We assume that withdrawal of the Moody's
rating means that UCP has given up on this avenue of financing and
will resort to Plan B. We don't know what that Plan B is and
options are limited. Corrleone Family Asset-Based Lending may be
UCP’s only alternative."
PIONEER ENERGY: Incurs $34.6 Million Net Loss in Third Quarter
--------------------------------------------------------------
Pioneer Energy Services Corp. filed with the Securities and
Exchange Commission its quarterly report on Form 10-Q disclosing a
net loss of $34.62 million on $68.35 million of total revenues for
the three months ended Sept. 30, 2016, compared to a net loss of
$17.54 million on $107.5 million of total revenues for the three
months ended Sept. 30, 2015.
For the nine months ended Sept. 30, 2016, Pioneer Energy reported a
net loss of $92.31 million on $205.6 million of total revenues
compared to a net loss of $106.8 million on $436.30 million of
total revenues for the same period last year.
As of Sept. 30, 2016, Pioneer Energy had $723.0 million in total
assets, $471.7 million in total liabilities and $251.1 million in
total shareholders' equity.
The Company said it currently expects that cash and cash
equivalents, cash generated from operations, proceeds from sales of
certain non-strategic assets and available borrowings under its
Revolving Credit Facility are adequate to cover its liquidity
requirements for at least the next 12 months.
The Company's working capital was $36.1 million at Sept. 30, 2016,
compared to $45.20 million at Dec. 31, 2015. The Company's current
ratio was 1.7 at Sept. 30, 2016, compared to 1.6 at Dec. 31, 2015.
"With commodity prices remaining well above the lows seen in the
first quarter, demand for our services has continued to improve,"
said Wm. Stacy Locke, president and CEO of Pioneer Energy Services.
"Higher activity that drove a notable improvement in our
Production Services Segment in the third quarter is expected to
continue through the fourth quarter and we are optimistic it will
offset the seasonal decline we typically experience during that
period due to reduced daylight hours, holidays and exhausted
customer budgets.
"We are also seeing strong demand for our top-tier AC drilling rigs
with 13 of our 16 AC rigs contracted and expectations that our
premium equipment will remain highly utilized. During the third
quarter, we mobilized three AC rigs that were coming off contracts
in the Bakken to begin work with strategic clients in the
Appalachian and Permian Basin. We hope to keep one or two of the
idle AC rigs in the Bakken; however, thus far the Bakken has been
slow to recover. Additionally, we are upgrading one of two 1,000
horsepower pad-optimal AC rigs in the Marcellus to a 1,500
horsepower rig with our latest generation mast and substructure.
"We continue to work to remain cash flow neutral in 2016 through
additional asset sales, and expect to generate approximately $11
million in gross proceeds from the sale of three SCR drilling rigs
in November. We are having constructive discussions on other
non-strategic assets which we hope to monetize in the future to
enhance our liquidity as we position the Company to benefit from an
ongoing market recovery."
Working capital at Sept. 30, 2016, was $36.10 million, down from
$45.20 million at Dec. 31, 2015. The Company's cash and cash
equivalents were $9.7 million, down from $14.20 million at year-end
2015.
The decrease in cash and cash equivalents during the nine months
ended Sept. 30, 2016, is primarily due to $25.6 million of cash
used for purchases of property and equipment, partially offset by
$12.0 million of proceeds from issuance of debt, $7.6 million of
cash provided by operating activities, which includes early
termination payments received on certain drilling contracts, and
$2.7 million of proceeds from the sale of assets. The Company
currently has $17.3 million in committed letters of credit and
$111.5 million outstanding under our $175 million revolving credit
facility.
Cash capital expenditures in the third quarter were $12.3 million,
which included $7.4 million related to final payments on two
long-lead time drilling rig packages. The Company estimates total
capital expenditures for 2016 to be $30 million to $32 million, up
from prior guidance of $27 million to $29 million, due to certain
rig upgrades.
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/etdeEq
About Pioneer Energy
Pioneer Energy Services Corp. provides land-based drilling services
and production services to a diverse group of independent and large
oil and gas exploration and production companies in the United
States and internationally in Colombia. The Company also provides
two of its services (coiled tubing and wireline services) offshore
in the Gulf of Mexico.
Pioneer Energy reported a net loss of $155 million in 2015
following a net loss of $38 million in 2014.
* * *
As reported by the TCR on March 7, 2016, Moody's Investors Service,
on March 3, 2016, downgraded Pioneer Energy's Corporate Family
Rating (CFR) to 'Caa3' from 'B2', Probability of Default Rating
(PDR) to 'Caa3-PD' from 'B2-PD', and senior unsecured notes to 'Ca'
from 'B3'.
"The rating downgrades were driven by the material deterioration in
Pioneer Energy's credit metrics through 2015 and our expectation of
continued deterioration through 2016. The demand outlook for
drilling and oilfield services is extremely weak, as witnessed by
the steep and continued drop in the US rig count" said Sreedhar
Kona, Moody's Vice President. "The negative outlook reflects the
deteriorating fundamentals of the services sector and the
likelihood of covenant breaches"
Pioneer Energy carries a "B+" corporate credit rating from Standard
& Poor's Ratings.
POSTROCK ENERGY: Ch. 11 Trustee Taps RSM US as Financial Advisor
----------------------------------------------------------------
Stephen J. Moriarty, the Chapter 11 Trustee of PostRock Energy
Corporation, et al., seeks authority from the U.S. Bankruptcy Court
for the Western District of Oklahoma to employ RSM US LLP as
financial advisor and accountant to the Trustee, nunc pro tunc to
September 1, 2016.
Mr. Moriarty requires RSM US to provide services relating to the
preparation of the Debtors' 2015 and 2016 tax returns.
RSM US will be paid at these hourly rates:
Sec. 382 Analysis $3,000-$8,000
Preparation of Consolidated
Federal Tax Return $15,000-$30,000
Preparation of various
State tax Returns $5,000-$15,000
RSM US will also be reimbursed for reasonable out-of-pocket
expenses incurred.
David Greenwell, member of RSM US LLP, 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, and the firm: a) is not a
creditor, equity security holder, or insider of the Debtor; b) is
not and was not, within 2 years before the date of the filing of
the petition, a director, officer, or employee of Debtor; and c)
does not have an interest materially adverse to the interest of the
estate or of any class of creditors or equity security holders, by
reason of any direct or indirect relationship to, connection with,
or interest in, the Debtor, for any other reason.
RSM US can be reached at:
David Greenwell
RSM US LLP
531 Couch Drive
Oklahoma City, OK 73102
Tel: (405) 239-7961
Fax: (405) 235-0042
About PostRock Energy Corp.
Headquartered in Oklahoma City, Oklahoma, PostRock Energy
Corporation, PostRock Energy Services Corporation, PostRock
MidContinent Production LLC, PostRock Eastern Production, LLC,
PostRock Holdco, LLC, and STP Newco, Inc. are engaged in the
acquisition, exploration, development, production and gathering of
crude oil and natural gas. Their primary production activity is
focused in the Cherokee Basin, a 15-county region in southeastern
Kansas and northeastern Oklahoma. They have approximately 129
employees.
PostRock Energy, et al., filed Chapter 11 bankruptcy petitions
(Bankr. W.D. Okla. Lead Case No. 16-11230) on April 1, 2016. Clark
Edwards signed the petitions as president. The Debtors estimated
assets in the range of $10 million to $50 million and debt of up to
$100 million.
Crowe & Dunlevy, P.C. serves as the Debtors' counsel. Judge Sarah
A. Hall is assigned to the cases.
Stephen J. Moriarty has been appointed as Chapter 11 Trustee of
PostRock Energy.
The Official Committee of Unsecured Creditors of PostRock Energy
Corp. has retained Lowenstein Sandler LLP as counsel, and Hall,
Estill, Hardwick, Gable, Golden & Nelson, P.C. as special and local
counsel.
POSTROCK ENERGY: Trustee Seeks to Sell TA Wells to Tiger Energy
---------------------------------------------------------------
BankruptcyData.com reported that PostRock Energy's Chapter 11
trustee filed with the U.S. Bankruptcy Court a motion to sell the
Debtor's interest in temporarily abandoned wells (TA Wells), free
and clear of liens to Tiger Energy & Exploration. The motion
explains, "Though the TA Wells are not producing the estate
continues to incur administrative costs with regard to the TA
Wells. Further, the estates have a potential liability for the cost
to plug and abandon the TA Wells. It is estimated the cost to
eventually plug and abandon the TA Wells could exceed $2,000,000
(the 'Plugging Liability'). The Trustee submits that the proposed
sale of the Purchased Assets is a reasonable business decision in
light of the circumstances and is in the best interest of the
estate and its creditors. Further, the Trustee submits that the
proposed sale presents the best opportunity to realize the maximum
value of the estate's assets." The motion continues, "Due to the
necessity to facilitate the orderly and more importantly, timely
sale of the Purchased Assets, the Trustee requests that the Court
lift the stay provided by Federal Rule of Bankruptcy Procedure
6004(h) which provides that an order authorizing the sale of
property is stayed for fourteen (14) days after the entry of such
order, unless the Court orders otherwise. Given the sufficiency of
notice to all parties-in-interest, the Trustee requests that the
Court relieve them of the stay provided by the rule." The Court
scheduled a November 16, 2016 hearing to consider the motion.
About PostRock Energy Corp.
Headquartered in Oklahoma City, Oklahoma, PostRock Energy
Corporation, PostRock Energy Services Corporation, PostRock
MidContinent Production LLC, PostRock Eastern Production, LLC,
PostRock Holdco, LLC, and STP Newco, Inc. are engaged in the
acquisition, exploration, development, production and gathering of
crude oil and natural gas. The Debtors' primary production activity
is focused in the Cherokee Basin, a 15-county region in
southeastern Kansas and northeastern Oklahoma. The Debtors have
approximately 129 employees.
PostRock Energy, et al., filed Chapter 11 bankruptcy petitions
(Bankr. W.D. Okla. Lead Case No. 16-11230) on April 1, 2016. Clark
Edwards signed the petitions as president. The Debtors estimated
assets in the range of $10 million to $50 million and debt of up to
$100 million.
Crowe & Dunlevy, P.C. serves as the Debtors' counsel.
Judge Sarah A. Hall is assigned to the cases.
Stephen J. Moriarty has been appointed as Chapter 11 Trustee of
PostRock Energy.
The Official Committee of Unsecured Creditors of PostRock Energy
Corp. has retained Lowenstein Sandler LLP as counsel, and Hall,
Estill, Hardwick, Gable, Golden & Nelson, P.C. as special and local
counsel.
PRATT WELL: Selling Pratt Property to Quality Well for $185K
------------------------------------------------------------
Pratt Well Service, Inc., filed a notice with the U.S. Bankruptcy
Court for the District of Kansas disclosing that on Nov. 28, 2016,
at 10:30 a.m. (CST) in the office of the Debtor's counsel, Klenda
Austerman, LLC, 301 North Main, Suite 1600, Wichita, Kansas, it
will sell the property located at 30060 N. US Hwy 281, Pratt,
Kansas to Quality Well Service, Inc. for $185,000, subject to
overbid.
The sale will be by private treaty. Closing will be as soon
thereafter as mutually agreed.
The property was not claimed as exempt by the Debtor. It will be
sold in its present condition with no express or implied
warranties, and the purchaser is to accept such property in its
present condition. The sale will be free and clear of liens, but
subject to easements and similar encumbrances of record. If the
Motion is granted, the sale will be free and clear of all liens and
encumbrances. Any liens or similar encumbrances will attach to the
proceeds.
The property is subject to these liens, mortgages and/or similar
encumbrances:
a. A mortgage dated 3-31-1986 to secure an original principal
indebtedness of $11,284, and any other amounts of obligations
secured thereby, recorded 4-1-1986 as Book 142, Page 453 of
Official Records. The Blue Co., Inc. as Mortgagor and Markel, Koch
& Siedhoff as Mortgagee. The Debtor believes this mortgage to have
been satisfied prior to the Debtor obtaining title. Any order
entered on the Notice and Motion will so provide.
b. A mortgage dated 11-1-2001 to secure an original principal
indebtedness of $75,000, and any other amounts of obligations
secured thereby, recorded 11-1-2001 as Book 259, Page 631 of
Official Records. Pratt Well Service, Inc. Environmental Division
as Mortgagor and First Bank in Pratt, Pratt, Kansas as Mortgagee.
c. A mortgage dated 1-4-2016 to secure an original principal
indebtedness of $30,000, and any other amounts of obligations
secured thereby, recorded 1-5-2016 as Book 447, Page 403 of
Official Records. The Debtor as Mortgagor and First Bank in Pratt,
Pratt, Kansas as Mortgagee. This mortgage actually secures "the
indebtedness" which is further defined as including three separate
notes totaling $1,546,582. However, the mortgage registration tax
has only been paid as to the $30,000.
d. Notice of Quarterly Lien filed by Kansas Department of
Revenue against the Debtor in the amount of $8,114, plus any
additional interest or penalties, filed 4-29-2016 in Pratt County
Register of Deeds as UCC #2016-53.
e. Notice of Quarterly Lien filed by Kansas Department of
Revenue against the Debtor in the amount of $18,259, plus any
additional interest or penalties, filed 4-29-2016 in Pratt County
Register of Deeds as UCC #2016-54.
f. Notice of Quarterly Lien filed by Kansas Department of
Revenue against the Debtor in the amount of $1,664, plus any
additional interest or penalties, filed 4-29-2016 in Pratt County
Register of Deeds as UCC #2016-55.
From the proceeds, the Debtor intends to pay in the following
order: (i) the costs of the sale, (ii) real estate taxes for 2015
and pro-rata 2016 to date of closing; and (iii) the mortgages of
First National Bank in Pratt for at least the $75,000 and $30,000
amounts. The balance of the proceeds will be held by the Debtor
pending further order of the Court. The Court will determine the
Bank's entitlement to further proceeds, as well as the Kansas
Department of Revenue. The KDR liens may be paid from the sale of
other property.
Costs of the sale will include:
a. J. Michael Morris, Attorney Fees: $750
b. Klenda Austerman, LLC (expenses): $0
c. Court Motion fee: $176
d. John Hamm of Hamm Auction & Realty, LLC (Auctioneer's
commission 5%): $9,250 (based on the $185,000 sale price)
e. John Hamm (Auctioneer's expenses): $0
f. Title search: $333
g. 1/2 Title Insurance: $0
h. Closing fee: $0
Parties in interest may bid more in increments of $1,000 on or
before 4:00 p.m. on Nov. 21, 2106. If any party submits a higher
bid, they and Quality Well will participate in a bid off, by
telephone if requested, at the time of the sale.
Objections to the intended sale, of the bidding procedures, the
allowance and/or payment of administrative expenses, and/or the
motion for authority as set out must be filed on or before Nov. 21,
2016. If no objections are made to the sale, payment of the above
items, or motion for authority the Court may enter an order
authorizing disbursement of funds and approving the sale free and
clear of liens without further notice. If objections are timely
filed, a hearing will be held on Dec. 8, 2016 at 10:30 a.m. The
sale will be postponed until any objection(s) are resolved.
About Pratt Well Service LLC
Pratt Well Service, LLC, filed a Chapter 11 bankruptcy petition
(Bankr. D. Kan. Case No. 16-11224) on June 30, 2016. The Hon.
Robert E. Nugent presides over the case. Klenda Austerman LLC
represents the Debtor as counsel.
In its petition, the Debtor estimated $7.47 million in assets and
$4.94 million in liabilities. The petition was signed by Kenneth
C.
Gates, president.
PRATT WELL: Selling Wichita Property to PACT for $75K
-----------------------------------------------------
Pratt Well Service, Inc., filed a notice with the U.S. Bankruptcy
Court for the District of Kansas disclosing that on Nov. 28, 2016,
at 10:00 a.m. (CST) in the office of the Debtor's counsel, Klenda
Austerman, LLC, 301 North Main, Suite 1600, Wichita, Kansas, it
will sell the property located at 00000 NE 5th Street, Cunningham,
Kansas to PACT Properties, LLC for $75,000, subject to overbid.
The sale will be by private treaty. Closing will be as soon
thereafter as mutually agreed.
The property was not claimed as exempt by the Debtor. It will be
sold in its present condition with no express or implied
warranties, and the purchaser is to accept such property in its
present condition. The sale will be free and clear of liens, but
subject to easements and similar encumbrances of record. There are
a number of easements as well as possible gas storage lease (which
may be expired or no long in effect). Any liens or similar
encumbrances will attach to the proceeds.
The property is subject to these liens, mortgages and/or similar
encumbrances:
a. Notice of Quarterly Lien filed by Kansas Department of
Revenue against the Debtor in the amount of $8,114, plus any
additional interest or penalties, filed 4-29-2016 in Pratt County
Register of Deeds as UCC #2016-53.
b. Notice of Quarterly Lien filed by Kansas Department of
Revenue against the Debtor in the amount of $18,259, plus any
additional interest or penalties, filed 4-29-2016 in Pratt County
Register of Deeds as UCC #2016-54.
c. Notice of Quarterly Lien filed by Kansas Department of
Revenue against the Debtor in the amount of $1,664, plus any
additional interest or penalties, filed 4-29-2016 in Pratt County
Register of Deeds as UCC #2016-55.
From the proceeds, the Debtor intends to pay in the following
order: (i) the costs of the sale, (ii) the real estate taxes for
2015 and pro-rata 2016 to date of closing; and (iii) the lien(s) of
the Kansas Department of Revenue. The balance of the proceeds will
be held by the Debtor pending further order of the Court.
Costs of the sale will include:
a. J. Michael Morris, Debtor's Attorney Fees: $750
b. Klenda Austerman, LLC (expenses): $0
c. Court Motion fee: $176
d. John Hamm of Hamm Auction & Realty, LLC (Auctioneer's
commission 5%): $3,750 (based on $75,000 sale price)
e. John Hamm (Auctioneer's expenses): $0
f. Title Search: $400
g. 1/2 Title Insurance: $0
h. Closing fee: $0
Parties in interest may bid more in increments of $1,000 on or
before 4:00 p.m. on Nov. 21, 2106. If any party submits a higher
bid, they and PACT will participate in a bid off, by telephone if
requested, at the time of the sale.
Objections to the intended sale, of the bidding procedures, the
allowance and/or payment of administrative expenses, and/or the
motion for authority as set out must be filed on or before Nov. 21,
2016. If no objections are made to the sale, payment of the items,
or Motion for authority, the Court may enter an Order authorizing
disbursement of funds and approving the sale free and clear of
liens without further notice. If objections are timely filed, a
hearing will be held on Dec. 8, 2016 at 10:30 a.m. The sale will be
postponed until any objection(s) are resolved.
About Pratt Well Service LLC
Pratt Well Service, LLC filed a Chapter 11 bankruptcy petition
(Bankr. D. Kan. Case No. 16-11224) on June 30, 2016. The Hon.
Robert E. Nugent presides over the case. Klenda Austerman LLC
represents the Debtor as counsel.
In its petition, the Debtor estimated $7.47 million in assets and
$4.94 million in liabilities. The petition was signed by Kenneth
C.
Gates, president.
PRO CONSTRUCTION: Seeks to Hire Hook & Fatovich as Legal Counsel
----------------------------------------------------------------
Pro Construction Trades, Inc. seeks approval from the U.S.
Bankruptcy Court for the District of New Jersey to hire Hook &
Fatovich, LLC.
The firm will serve as the Debtor's legal counsel in connection
with its Chapter 11 case.
The hourly rates charged by the firm are:
Partners $350
Law Clerk $150
Paralegal $130
Legal Assistant $130
Ilissa Churgin Hook, Esq., at Hook & Fatovich, disclosed in a court
filing that the firm does not hold or represent any interest
adverse to the Debtor's bankruptcy estate, and is a "disinterested
person" as defined in section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Ilissa Churgin Hook, Esq.
Milica A. Fatovich, Esq.
Hook & Fatovich, LLC
1044 Route 23 North, Suite 204
Wayne, NJ 07470
Tel: 973-686-3800
Fax: 973-686-3801
About Pro Construction Trades
Pro Construction Trades, Inc., dba Premier Facility Services,
sought protection under Chapter 11 of the Bankruptcy Code (Bankr.
D.N.J. Case No. 16-30001) on October 19, 2016. The petition was
signed by Brian Troast, president.
The case is assigned to Judge John K. Sherwood.
At the time of the filing, the Debtor estimated assets of less than
$500,000 and liabilities of less than $1 million.
PRO ENTERPRISES: Seeks to Hire Fresh Start Tax as Accountant
------------------------------------------------------------
Pro Enterprises USA, Inc. seeks approval from the U.S. Bankruptcy
Court for the Southern District of Florida to hire an accountant.
The Debtor proposes to hire Fresh Start Tax, LLC to provide
financial and accounting services in connection with its Chapter 11
case.
Steven Jacob, a certified public accountant employed with Fresh
Start, disclosed in a court filing that the firm does not hold or
represent any interest adverse to the Debtor.
The firm can be reached through:
Steven F. Jacob
Fresh Start Tax, LLC
3696 N. Federal Highway, Suite 301
Ft. Lauderdale, FL 3308-6263
Phone: 954-492-0088
Fax: 954-938-0069
Email: jake@freshstarttax.com
About Pro Enterprises USA, Inc.
Pro Enterprises USA, Inc. dba ProMed USA, dba ProPharma, aka
ProMed, fdba ProMedCo, aka Pro Enterprises filed a Chapter 11
petition (Bankr. S.D. Fla. Case No. 16-16317) on April 29, 2016.
The petition was signed by Alejandro Alan Azpurua, president/CEO.
The case is assigned to Judge Jay A. Cristol. The Debtor is
represented by Chad P. Pugatch, Esq., at Rice Pugatch Robinson
Storfer & Cohen, PLLC. At the time of the filing, the Debtor
estimated both assets and liabilities at $1 million to $10
million.
A list of the Debtor's seven largest unsecured creditors is
available for free at http://bankrupt.com/misc/flsb16-16317.pdf
QUINN'S JUNCTION: Allowed to Use Cash Collateral Through Jan. 31
----------------------------------------------------------------
Judge Joel T. Marker of the U.S. Bankruptcy Court for the District
of Utah authorized Quinn's Junction Properties, LC and its
property manager Park City Film Studios Development Company, LC, to
use cash collateral for the period November 1, 2016 through January
31, 2017.
The approved Budget covers the period from Nov. 1, 2016 to Jan. 31,
2017. The Budget projects total estimated cash expenditures in the
amount of $128,247 for the Debtor, and $202,265 for Park City Film
Studios Development Company.
A full-text copy of the Order, dated November 3, 2016, is available
at https://is.gd/CUgDRD
About Quinn's Junction Properties
Quinn's Junction Properties, LC, filed a chapter 11 petition
(Bankr. D. Utah Case No. 16-24458) on May 23, 2016. The petition
was signed by Michael Martin, chief restructuring officer.
George B. Hofmann, Esq., at Cohne Kinghorn PC, serves as the
Debtor's general bankruptcy counsel. Stanley J. Preston, Esq., at
Preston & Scott, LLC, serves as its special litigation counsel.
The case is assigned to Judge Joel T. Marker.
The Debtor estimated both assets and liabilities in the range of
$10 million to $50 million.
QUINTESS LLC: Hires Shapiro Bieging as Counsel
----------------------------------------------
Quintess, LLC seeks authorization from the U.S. Bankruptcy Court
for the District of Colorado to employ Shapiro Bieging Barber
Otteson LLP as counsel.
The Debtor requires Shapiro Bieging to:
(a) prepare the Statement of Financial Affairs and associated
Schedules, pleadings and applications and conducting
examinations incidental to any related proceedings and to
the administration of this case and estate;
(b) determine the relationship of Debtor and the claims of
creditors in this case, equity interest holders and other
parties in interest, and filing, prosecuting and, where
appropriate, settlement, claims objections and related
matters;
(c) advise Debtor regarding its rights, duties, and obligations
as Debtor operating under Chapter 11 of the Bankruptcy Code;
(d) assist Debtor in selling its assets and otherwise maximizing
the value of the estate for the benefit of creditors, owners
and other parties in interest as their respective interests
may justify;
(e) advise and assist the Debtor in the formation and
preservation of a plan pursuant to Chapter 11 of the
Bankruptcy Code, the disclosure statement, and any and all
matters related thereto; and
(f) take any and all other necessary action and provide such
other services incident to the proper preservation and
administration of this Chapter 11 case.
Shapiro Bieging will be paid at these hourly rates:
Duncan E. Barber $385
Attorneys $250-$350
Paralegal $160-$185
Shapiro Bieging will also be reimbursed for reasonable
out-of-pocket expenses incurred.
The Debtor provided to Counsel a $50,000 pre-petition retainer for
payment of fees and expenses incurred prior to the commencement of
this case and as allowed in this case. The Chapter 11 filing fee of
$1,717 was paid out of the retainer. The remaining balance of the
retainer is $46,245.50.
Duncan E. Barber, partner of Shapiro Bieging, 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 Debtor and its estate.
Shapiro Bieging can be reached at:
Duncan E. Barber, Esq.
SHAPIRO BIEGING BARBER OTTESON LLP
4582 South Ulster St. Parkway, Ste 1650
Denver, CO 80237
Tel: (720) 488-5432
Fax: (720) 488-7711
E-mail: dbarber@sbbolaw.com
About Quintess LLC
Quintess, LLC, filed a chapter 11 petition (Bankr. D. Colo. Case
No. 16-19955) on Oct. 7, 2016. The petition was signed by Pete
Estler, CEO. The Debtor is represented by Duncan E. Barber, Esq.,
at Shapiro Bieging Barber Otteson LLP and Ron Bender, Esq., at
Levene, Neale, Bender, Yoo & Brill LLP. The case is assigned to
Judge Joseph G. Rosania, Jr. The Debtor estimated assets at $0 to
$50,000 and liabilities at $1 million to $10 million at the time of
the filing.
QUOTIENT LIMITED: Incurs $17.3-Mil. Net Loss in Second Quarter
--------------------------------------------------------------
Quitient Limited filed with the Securities and Exchange Commission
its quarterly report on Form 10-Q disclosing a net loss of US$17.35
million on US$6.14 million of total revenue for the quarter ended
Sept. 30, 2016, compared to a net loss of US$4.33 million on
US$4.27 million of total revenue for the quarter ended Sept. 30,
2015.
For the six months ended Sept. 30, 2016, the Company reported a net
loss of US$33.59 million on US$11.86 million of total revenue
compared to a net loss of US$14.58 million on US$9.12 million of
total revenue for the same period during the prior year.
As of Sept. 30, 2016, the Company had US$101.86 million in total
assets, US$74.43 million in total liabilities and US$27.43 million
in total shareholders' equity.
The Company has incurred net losses and negative cash flows from
operations in each year since it commenced operations in 2007 and
had an accumulated deficit of $141.8 million as of Sept. 30, 2016.
At Sept. 30, 2016, the Company had cash holdings of $19.0 million.
The Company said it has expenditure plans over the next twelve
months that exceed its current cash holdings, raising substantial
doubt about its ability to continue as a going concern.
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/bXhSZd
About Quotient Limited
Quotient is a commercial-stage diagnostics company committed to
reducing healthcare costs and improving patient care through the
provision of innovative tests within established markets. With
an initial focus on blood grouping and serological disease
screening, Quotient is developing its proprietary MosaiQ
technology platform to offer a breadth of tests that is unmatched
by existing commercially available transfusion diagnostic
instrument platforms. The Company's operations are based in
Edinburgh, Scotland; Eysins, Switzerland and Newtown,
Pennsylvania.
Quotient Limited reported a net loss of US$33.87 million for the
year ended March 31, 2016, a net loss of US$59.05 million for
the yera ended March 31, 2015, and a net loss of US$10.16 million
for the year ended March 31, 2014.
Ernst & Young LLP, in Belfast, United Kingdom, issued a "going
concern" qualification on the consolidated financial statements
for the year ended March 31, 2016, citing that the Company has
recurring losses from operations and planned expenditure
exceeding available funding that raise substantial doubt about
its ability to continue as a going concern.
RENAISSANCE DEVELOPMENT: Hires Shapiro Croland as Counsel
---------------------------------------------------------
Renaissance Development, LLC seeks authorization from the U.S.
Bankruptcy Court for the District of New Jersey to employ Shapiro,
Croland, Reiser, Apfel & Di Iorio, LLP as counsel.
The Debtor requires Shapiro Croland to:
(a) provide legal advice with respect to its powers and duties
as debtor in possession in the continued operation of its
business and management of its properties;
(b) prepare and pursue confirmation of a plan of reorganization
or liquidation and approval of a disclosure statement;
(c) prepare and pursue confirmation of a plan of reorganization
or liquidation and approval of a disclosure statement;
(d) appear in Court to protect the interests of the Debtor;
(e) represent the Debtor in any adversary proceedings; and
(f) perform all of the legal services for the Debtor that may
be necessary and proper in the proceeding.
Shapiro Croland will be paid at these hourly rates:
Gregory Tabakman $200
Alexander Benisatto $350
David Marcus $395
John P. Di Iorio $500
Paralegals $115-$130
Shapiro Croland will also be reimbursed for reasonable
out-of-pocket expenses incurred.
John P. Di Iorio, member of Shapiro Croland, 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 Debtor and its estate.
Shapiro Croland can be reached at:
John P. Di Iorio, Esq.
SHAPIRO, CROLAND, REISNER,
APFEL & DI IORIO, LLP
Continental Plaza II
411 Hackensack Avenue
Hackensack, NJ 07601
Tel: (201) 488-3900
Fax: (201) 488-9481
Renaissance Development LLC, sought Chapter 11 protection (Bankr.
D.N.J. Case No. 16-29215) on October 7, 2016, disclosing under $1
million in both assets and liabilities. The Debtor is represented
by John P. Di Iorio, Esq., at Shapiro Croland Reiser Apfel & Di
Iorio.
RICHARD BLOCK: Have Until Nov. 13 to File Plan
----------------------------------------------
Judge Brenda Moody Whinery gave Richard A. Block and Judith A.
Block an extension of their exclusive right to file a Chapter 11
plan through Nov. 13, 2016. The Debtors' exclusive right to
solicit acceptances of the plan is also extended thru Dec. 13,
2016.
Richard A. Block and Judith A. Block sought bankruptcy protection
(Bankr. D. Ariz. Case No. 16-06945) on June 17, 2016. Eric Slocum
Sparks, Esq., of Eric Slocum Sparks PC, represents the Debtors.
RONALD HOWLAND: Court Moved Plan Deadline Period to Feb. 16
-----------------------------------------------------------
Judge Paul M. Glenn of the U.S. Bankruptcy Court for the Middle
District of Florida extended the exclusive periods during which
Ronald Howland, D.M.D., P.A. has the exclusive right (a) to file a
plan of reorganization through and including Feb. 16, 2017, and (b)
to solicit acceptances with respect to such plan through and
including April 17, 2017.
As earlier reported by the Troubled Company Reporter, the Debtor is
a professional service corporation owned by Ronald Howland, D.M.D.,
who was severely injured in a bicycle accident in April of 2012
resulting in multiple surgeries over the ensuing years. As a
result, Dr. Howland was unable to work for an extended period,
causing him to fall behind in his debt service obligations.
Although Dr. Howland is recovering and is steadily increasing the
number of hours worked, and the income for the P.A. has been
improving, the Debtor is not yet in the position to propose its
plan of reorganization.
About Ronald Howland, D.M.D., P.A.
Ronald Howland, D.M.D., P.A. sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. M.D. Fla. Case No. 16-01520) on April
22, 2016. The Debtor is represented by Richard R. Thames, Esq., at
Thames Markey & Heekin, P.A.
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 Ronald Howland, D.M.D., P.A.
ROYAL COACHMAN: Seeks to Hire Jerry Moberg as Special Counsel
-------------------------------------------------------------
Royal Coachman Mobile Home Park, LLC seeks approval from the U.S.
Bankruptcy Court for the Eastern District of Washington to hire
Jerry Moberg & Associates, P.S. as special counsel.
The firm will represent Royal Coachman in a lawsuit filed by Ferman
Amado and two others against the company in the Grant County
Superior Court in Washington.
Jerry Moberg, Esq., and Dalton Lee Pence, Esq., the attorneys
designated to represent Royal Coachman, will be paid $225 per hour
and $190 per hour, respectively.
Jerry Moberg & Associates does not hold or represent any interest
adverse to the Debtor's bankruptcy estate, according to court
filings.
The firm can be reached through:
Jerry Moberg, Esq.
Jerry Moberg & Associates, P.S.
P.O. Box 130
Ephrata, WA 98823-0130
Phone: (509) 754-2356
Email: jmoberg@jmlawps.com
About Royal Coachman
Royal Coachman Mobile Home Park, LLC sought protection under
Chapter 11 of the Bankruptcy Code (Bankr. E.D. Wash. Case No.
16-03109) on October 3, 2016. The petition was signed by Shannon
Hunter Burns, authorized representative.
The Debtor is represented by Dan O'Rourke, Esq., at Southwell &
O'Rourke, P.S.
At the time of the filing, the Debtor estimated assets of $1
million to $10 million and liabilities of less than $500,000.
S-3 PUMP SERVICE: Taps David Volentine as Appraiser
---------------------------------------------------
S-3 Pump Service, Inc. seeks authorization from the U.S. Bankruptcy
Court for the Western District of Louisiana to employ David W.
Volentine as appraiser.
The Debtor's estate includes a tract of land with improvements
located at 412 Hamilton Road, Bossier City, Louisiana (the "Real
Property"). The real property consists of approximately 4.437
acres.
The Appraiser has agreed to perform an appraisal of the Real
Property and render a formal written appraisal report for a total
cost of $7,000. The Appraiser has further agreed to provide any
required litigation support for depositions, consulting, court
preparation and court appearances for an additional charge of $175
per hour.
Mr. Volentine 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 Debtor and
its estate.
The Appraiser can be reached at:
David W. Volentine, MAI
2133 East Bert Kouns Industrial Loop
Shreveport LA 71105-5314
Tel: (318) 797-1235
Fax: (318) 797-1231
E-mail: david@davidwvolentine.com
S-3 Pump Service, Inc., provider of high pressure pumping service,
filed a Chapter 11 bankruptcy petition (Bankr. W.D. La. Case No.
16-10383) on March 4, 2016. The petition was signed by Malcolm H.
Sneed, III, the president. Judge Jeffrey P. Norman is assigned to
the case.
The Debtor estimated assets and debt in the range of $10 million to
$50 million.
Blanchard, Walker, O'Quin & Roberts serves as the Debtor's
counsel.
SA INTER INVEST: Can Solicit Plan Acceptances Until Feb. 10
-----------------------------------------------------------
Judge A. Jay Cristol of the U.S. Bankruptcy Court for the Southern
District of Florida extended the exclusive period to solicit
acceptances of SA Inter Invest 1, LLC's Chapter 11 Plan through
February 10, 2017. Judge Cristol has also set the case for
confirmation hearing on January 25, 2017 at 10:30 a.m.
According to the Troubled Company Reporter, the Debtor asked from
the Court for a 90-day extension of its exclusive period to solicit
acceptances for its Chapter 11 Plan, contending that it required
some more time for the results of the appraisal to be released as
this would directly affect negotiations with JP Morgan Chase Bank
NA for a consensual plan and disclosure, and thereafter to set and
notice a confirmation hearing. The Troubled Company Reporter
further said that the Bank wanted, and the Debtor agreed to, a
third appraisal of the Debtor's property, after its strenuous
negotiations with the Bank since February 2016 about adequate
protection and plan treatment.
About SA Inter Invest
Headquartered in Miami Beach, Florida, SA Inter Invest 1, LLC,
filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case
No. 15-31770) on Dec. 16, 2015, estimating its assets and
liabilities at between $1 million and $10 million each. The
petition was signed by Laurent Benzaquen, manager. Judge Jay A.
Cristol presides over the case. Joel M. Aresty, Esq., at Joel M.
Aresty P.A. serves as the Debtor's bankruptcy counsel.
No official committee of unsecured creditors has been appointed in
the case.
SALADO SMILES: Sale of East West Bank Collateral Approved
---------------------------------------------------------
Judge Tony M. Davis of the U.S. Bankruptcy Court for the Western
District of Texas authorized Salado Smiles, P.C.'s private sale of
the collateral of East West Bank to Howard Lufburrow, DDS, PLLC, in
exchange for his assumption of the existing debt to East West Bank
pursuant to the terms more fully articulated in the motion.
The collateral is subject to the existing liens of East West Bank
and Bell County.
At the time of filing, the Debtor valued East West Bank's
collateral as follows:
a. accounts receivable - $70,000,
b. equipment - $115,000,
c. goodwill - $0, and
d. the second lien - $244,000.
The actual balance of the receivables was approximately $140,000
but 50% of those receivables were more than 90 days old and were
valued at zero.
The Purchaser will also assume the Debtor's liability to the IRS
for 941 taxes in the approximate amount of $40,000.
The sale of the collateral will be further subject to the liens of
Bell County for taxes in the amount of $2,622 and Williamson County
in the amount of $5,440.
The transaction will result in full payment to East West Bank, the
IRS, and Bell County.
Upon assumption of the debt, East West Bank will be paid in the
full amount of its principal, interest, attorneys' fees and costs,
together with the reasonable additional attorneys' fees and costs
incurred by East West Bank in connection with the Debtor's Chapter
11 bankruptcy case and Lufburrow Chapter 7 Case. The terms of the
assumed loan will be substantially the same as those now in force
except that any arrears and/or fees will be re-amortized over the
remaining term of the loan until the maturity date of Feb. 4,
2023.
Upon completion of the sales of the collateral of East West Bank
and Everbank, the case will be converted to Chapter 7. Payments
made on the note will be deposited in the Debtor's counsel's trust
account until the case is converted at which time they will be
remitted to the Chapter 7 trustee appointed in the case.
The Debtor's sale of the collateral of Everbank for $20,000 will be
the subject of a separate motion to sell.
About Salado Smiles
Salado Smiles, P.C., formerly doing business as Sonterra Smiles,
operates a dental practice in Salado, Tex. The company filed a
chapter 11 petition (Bankr. W.D. Tex. Case No. 16-10413) on April
5, 2016, and is represented by Michael V. Baumer, Esq., in Austin,
Texas. At the time of the filing, the Debtor disclosed total
assets of $177,203 and debt totaling $1.24 million.
The Debtor remains as debtor-in-possession.
The meeting of creditors pursuant to 11 U.S.C. Sec. 341 was
conducted and concluded on May 6, 2016.
SALTY DOG: Secured Non-Priority Claims To Recoup 100% Under Plan
----------------------------------------------------------------
Salty Dog Rest., Ltd., filed with the U.S. Bankruptcy Court for the
Eastern District of New York a disclosure statement in support of
the Debtor's amended Chapter 11 plan of reorganization dated Oct.
29, 2016.
Under the Plan, Class 3 Secured Non-Priority Claims will recover
100% under the Plan. Any allowed claim will retain its lien in the
property securing the debt. The Plan leaves unaltered the legal,
equitable and contractual rights to which the claimant is entitled
under its agreement and security documents. The Debtor will
continue to make current payments of monthly principal and interest
to the allowed claimant. Any pre-petition date arrears that are
owed to the claimant will be paid in full on the Effective Date.
Class 3 Claims are estimated at $0.
The Debtor will transfer cash from the capital contributed by its
stockholders in the amount equal to the forced liquidation value of
all of the Debtor's assets (its equipment, furniture, fixtures,
etc.), as appraised by Senser Appraisal Associates report dated
Sept. 7, 2016, together with any net cash remaining in the Debtor's
bank or premises, to the trust, to which will attach all of the
General Unsecured CUDS PI Claims.
The Debtor will receive a contribution in the amount of a minimum
of $12,000 from its stockholders to fund the trust, together the
net cash proceeds of the liquidation of the Debtor's inventory of
liquor, wine and beer products together with proceeds of any
successful causes of action for avoidance or fraudulent transfers,
if any.
The Disclosure Statement is available at:
http://bankrupt.com/misc/nyeb16-40679-44.pdf
As reported by the Troubled Company Reporter on Sept. 14, 2016, the
Debtor filed with the Court a disclosure statement in support of
the Debtor's Chapter 11 Plan of Reorganization, dated Sept. 4,
2016, which projected that holders of allowed Class 4(b) General
Unsecured Trade Claims, which total $128,000, will recoup 75% of
the allowed amount of the claim. Holders of allowed Class 4(c)
General Unsecured, Contingent, Unliquidated and Disputed PI
Litigation Claims -- CUD PI Claims -- which total $7,000,000, would
receive 1 cent on the dollar.
About Salty Dog Rest
Salty Dog Rest, Ltd., has been engaged in business as a sports Bar
and restaurant located at its premises at 7509 Third Avenue,
Brooklyn, New York 11209 since approximately 1997.
The Debtor sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. E.D.N.Y. Case No. 16-40679) on Feb. 24, 2016. The
petition was signed by Robert P. Fadel, president. The case is
assigned to Judge Elizabeth S. Stong. On the Petition Date, the
Debtor listed $15,000 in assets and $128,000 in liabilities on its
schedules.
The Debtor is represented by Randall S. D. Jacobs, PLLC.
SCOTT SWIMMING: Can Continue Cash Collateral Use Through Nov. 30
----------------------------------------------------------------
Judge Julie A. Manning of the U.S. Bankruptcy Court for the
District of Connecticut authorized Scott Swimming Pools Inc. to use
Webster Bank's cash collateral through November 30, 2016.
Judge Manning authorized the Debtor to collect and use the
pre-petition collateral to continue its usual and ordinary
operations in the ordinary course of its business by paying those
budgeted expenditures set forth on the approved Budget.
The approved Budget projects total disbursements of $427,739 for
the month of November 2016.
The Debtor and Webster Bank were parties to Loan and Security
Agreements pursuant to which, among other things, Webster Bank
provided the Debtor with a loans and credit facilities secured by
liens and/or security interests in substantially all of the
Debtor's assets. The Debtor owes Webster Bank the amount of
$451,000.00, as of the Petition Date.
Judge Manning acknowledged that the Debtor has an immediate and
continuing need for the use of the pre-petition collateral and the
cash collateral in order to continue the operation of, and avoid
immediate and irreparable harm to its business, and to maintain and
preserve going concern value.
Webster Bank was granted with postpetition claims against the
Debtor's estate, which will have priority in payment over any other
indebtedness and/or obligations, and over all administrative
expenses or charges against property, subject only to the
Carve-Out.
The Carve-Out consists of:
(a) the allowed administrative claims of attorneys and other
professionals retained by the Debtor in the aggregate amount of
$25,000; and
(b) amounts payable pursuant to 28 U.S.C. Section 1930(a)(6).
Webster Bank was also granted with an enforceable and perfected
replacement lien and/or security interest in the post-petition
assets of the Debtor's estate equivalent in nature, priority and
extent to the liens and/or security interests of Webster Bank in
the prepetition collateral and its proceeds and products.
The Debtor was directed to make monthly payments to Webster Bank,
equivalent to the monthly installments of interest on its loan.
A further hearing on the continued use of cash collateral will be
held on November 29, 2016, at 12:00 p.m. The deadline for the
filing of objections to the continued use of cash collateral is set
on November 22, 2016.
A full-text copy of the Order, dated November 1, 2016, is available
at https://is.gd/qDlfWp
About Scott Swimming Pools
Based in Woodbury, Conn., Scott Swimming Pools, Inc., constructs,
sells and services swimming pools. The company filed a chapter 11
petition (Bankr. D. Conn. Case No. 15-50094) on Jan. 22, 2014. The
petition was signed by James M. Scott, president. The Debtor is
represented by James M. Nugent, Esq., at Harlow, Adams, and
Friedman, P.C. The case is assigned to Judge Alan H.W. Shiff. The
Debtor disclosed that it had no assets and owed creditors $3.79
million.
SCRIPSAMERICA INC: Seeks to Hire Bederson as Accountant
-------------------------------------------------------
ScripsAmerica Inc. seeks approval from the U.S. Bankruptcy Court
for the District of Delaware to hire an accountant in connection
with its Chapter 11 case.
The Debtor proposes to hire Bederson LLP to provide bookkeeping
services, prepare tax returns and monthly operating reports, and
provide other services.
The hourly rates charged by the firm are:
Partners $350 - $435
Managers $320
Supervisors $260
Senior Accountants $250
Semi Sr. Accountants $190 - $220
Staff Accountants $175
Paraprofessionals $160
Timothy King, a partner at Bederson, disclosed in a court filing
that the firm is a "disinterested person" as defined in section
101(14) of the Bankruptcy Code.
The firm can be reached through:
Timothy J. King
Bederson LLP
347 Mt. Pleasant Avenue, Suite 200
West Orange, NJ 07052
Phone: 973-736-3333
Fax: 973-736-9219
Email: tking@bederson.com
About ScripsAmerica Inc.
ScripsAmerica, Inc. filed a Chapter 11 petition (Bankr. D. Del.
Case No.: 16-11991) on September 7, 2016. The petition was signed
by Jeffrey J. Andrews, chief financial officer.
The Debtor is represented by Daniel K. Astin, Esq., at Ciardi
Ciardi & Astin. Equity Partners HG LLC serves as its investment
banker.
At the time of filing, the Debtor had $600,000 in total assets as
of September 6, 2016 and $4.65 million in total debts as of
September 6, 2016.
A copy of the Debtor's list of 14 unsecured creditors is available
for free at http://bankrupt.com/misc/deb16-11991.pdf
SIGNAL GENETICS: Signs Merger Agreement with miRagen Therapeutics
-----------------------------------------------------------------
Signal Genetics, Inc., and Miragen Therapeutics, Inc., announced
that they have entered into a definitive merger agreement under
which the stockholders of miRagen are currently estimated to become
holders of approximately 96% of Signal's outstanding common stock
on a fully-diluted basis. The proposed merger remains subject to
certain conditions, including approval by Signal's and miRagen's
stockholders.
In conjunction with the proposed merger, an investor syndicate
comprised of existing miRagen investors and new investors has
committed to invest approximately $40 million in miRagen
immediately prior to closing of the proposed merger. The investor
syndicate includes Fidelity Management and Research Company, Brace
Pharma Capital, Atlas Venture, Boulder Ventures, JAFCO Co., Ltd.,
MP Healthcare Venture Management, MRL Ventures (a venture fund of
Merck, known as MSD outside the United States and Canada),
Remeditex Ventures, and others.
The proposed merger will create a clinical-stage, biopharmaceutical
company developing proprietary micro RNA-targeted clinical product
candidates addressing hematological malignancies and pathological
fibrosis and pre-clinical product candidates addressing
cardiovascular and neurodegenerative diseases. The total cash
balance of the combined company upon the closing of the proposed
merger and the financing is expected to exceed $50 million.
"We believe microRNA targeting therapeutics have the potential to
address complex diseases with high unmet medical need and miRagen
will be well positioned to execute on our programs," said William
S. Marshall, president and chief executive officer of miRagen. "We
believe proceeds from the concurrent financing will allow us to
advance our lead assets in hematological malignancy and
pathological fibrosis into later stage clinical evaluation."
Samuel D. Riccitelli, Signal's president and chief executive
officer added, "We have chosen to combine with miRagen following an
extensive review of strategic alternatives and a thorough process
because we believe the proposed merger provides Signal stockholders
with an opportunity for value appreciation."
About the Proposed Merger
Existing stockholders of miRagen, as well as investors in miRagen's
concurrent financing, will receive newly issued shares of Signal
common stock in connection with the proposed merger. On a pro
forma and fully-diluted basis for the combined company, following
the closing of the proposed merger, (a) current Signal stockholders
are expected to own approximately 4%, (b) current miRagen
stockholders are expected to own approximately 69% (excluding
shares issued to them in the concurrent financing), and (c) the
investors participating in the concurrent financing are expected to
own approximately 27% (excluding shares previously held by them).
Signal's ownership percentage includes shares expected to be issued
concurrent with the proposed merger upon the conversion of existing
Signal debt, which is subject to Signal stockholder approval. If
the proposed merger closes before Jan. 31, 2017, approximately
278,213 shares of Signal common stock would be issued upon the debt
conversion.
The proposed merger has been unanimously approved by the boards of
directors of both companies. miRagen's stockholders holding
approximately 80% of outstanding miRagen capital stock and Signal's
stockholders holding 26% of outstanding Signal common stock have
agreed to vote in favor of the transaction. The proposed merger is
expected to close during the first quarter of 2017, subject to the
approval of the stockholders of each company and other customary
closing conditions. The merger agreement contains further details
with respect to the proposed merger. If the transaction is
consummated, Signal's name will be changed to Miragen Therapeutics,
Inc., and Signal intends to apply to change its ticker symbol on
the NASDAQ Capital Market to "MGEN."
The directors and executive officers of Signal will resign from
their positions with Signal upon the closing of the proposed
merger, and the combined company will be under the leadership of
miRagen's current executive management team with William Marshall
serving as president and chief executive officer. Following the
closing of the proposed merger, the board of directors of the
combined company is expected to consist of eight members, all of
whom will be designated by miRagen. The corporate headquarters
will be located in Boulder, Colorado.
Signal's exclusive financial advisor in the transaction is Cantor
Fitzgerald & Co. Wedbush PacGrow is acting as placement agent for
miRagen in the concurrent financing. Pillsbury Winthrop Shaw
Pittman LLP served as legal counsel to Signal and Cooley LLP served
as legal counsel to miRagen.
Sale of Signal's MyPRS
Signal also announced that it has entered into a non-binding letter
of intent with a large global diagnostic laboratory for the sale of
intellectual property assets related to Signal's MyPRS test. In
the event the asset sale is consummated, the net proceeds to Signal
are currently expected to be approximately equal to the anticipated
costs of operating the MyPRS business through the projected closing
date of the proposed merger (resulting, from a cash perspective, in
an outcome similar to an immediate cessation of the MyPRS
business). Completion of the asset sale is subject to the
negotiation of a definitive asset purchase agreement, satisfaction
of the conditions negotiated therein and approval of the definitive
asset purchase agreement by Signal's stockholders.
Signal Reverse Stock Split
Signal's board of directors approved a 1-for-15 reverse stock split
of its common stock, which will become effective immediately
following the close of trading on the NASDAQ Capital Market on Nov.
4, 2016. Shares of Signal common stock will begin trading on the
NASDAQ Capital Market on a split-adjusted basis on Nov. 7, 2016.
Signal's stockholders approved the reverse stock split at its
annual meeting of stockholders on June 15, 2016, at a ratio of not
less than 1-for-2 and not more than 1-for-20, with the final ratio
determined by Signal's board of directors in its discretion. The
reverse stock split is being implemented by Signal to maintain the
listing of its common stock on the NASDAQ Capital Market. Signal
received a deficiency notice from NASDAQ in November 2015 and,
following a 180-day cure period, received an additional 180 days
from NASDAQ in May 2016 to regain compliance with the minimum bid
price requirement. To regain compliance, the closing bid price of
Signal's common stock must be at least $1.00 per share for a
minimum of ten consecutive business days (or such longer period of
time as the NASDAQ staff may require) before Nov. 21, 2016. There
can be no assurance that the reverse stock split will have the
desired effect of raising the closing bid price of Signal's common
stock prior to such date to meet this requirement.
The reverse split will reduce the number of shares of Signal's
outstanding common stock from approximately 11.1 million shares to
approximately 740,000 shares. Fractional shares created as a
result of the reverse stock split will be settled in cash.
Informational letters will be sent to all stockholders of record by
Signal's transfer agent, VStock Transfer LLC.
Signal and miRagen hosted a joint conference call to discuss the
transaction.
A full-text copy of the Plan and Merger Agreement is available for
free at
https://is.gd/N48wcb
About miRagen Therapeutics, Inc.
miRagen Therapeutics, Inc., is a clinical-stage biopharmaceutical
company focused on the discovery and development of innovative
microRNA (miRNA)-targeting therapies in disease areas of high unmet
medical need. miRagen's lead product candidate, MRG-106, a
synthetic microRNA antagonist (LNA antimiR) of microRNA-155, is
currently being studied in a Phase 1 clinical trial in patients
suffering from cutaneous T-cell lymphoma (CTCL) of the mycosis
fungoides (MF) sub-type. miRagen is also conducting a Phase 1
clinical trial of MRG-201, its lead anti-fibrosis product candidate
and a synthetic microRNA mimic (promiR) to microRNA-29b, in human
volunteers. miRagen seeks to leverage in-house expertise in miRNA
biology, oligonucleotide chemistry, and drug development to
evaluate and advance promising technologies and high-potential
product candidates for its own pipeline and in conjunction with
strategic collaborators.
About Signal Genetics
Signal Genetics, Inc., is a commercial stage, molecular genetic
diagnostic company. The Company is focused on providing diagnostic
services that help physicians to make decisions concerning the care
of cancer patients. The Company's diagnostic service is the
Myeloma Prognostic Risk Signature (MyPRS) test. The MyPRS test is
a microarray-based gene expression profile (GEP), assay that
measures the expression level of specific genes and groups of genes
that are designed to predict an individual's long-term clinical
outcome/prognosis, giving a basis for personalized treatment
options.
The Company reported a net loss attributable to stockholders of
$11.32 million for the year ended Dec. 31, 2015, compared to a net
loss attributable to stockholders of $6.64 million for the year
ended Dec. 31, 2014.
As of Sept. 30, 2015, the Company had $7.54 million in total
assets, $2.85 million in total liabilities and $4.68 million in
total stockholders' equity.
"Due to current market conditions, the Company's current liquidity
position and its depressed stock price, the Company believes it may
be difficult to obtain additional equity or debt financing on
acceptable terms, if at all, thus raising substantial doubt about
the Company's ability to continue as a going concern," according to
the Company's quarterly report for the period ended Sept. 30, 2016.
SNYDER & SCHNEIDER: Hearing on Plan Outline Set For Jan. 19
-----------------------------------------------------------
The Hon. Rebecca B. Connelly of the U.S. Bankruptcy Court for the
Western District of Virginia has scheduled for Jan. 19, 2017, at
2:00 p.m. a hearing to consider Snyder & Schneider Property
Development, LLC's disclosure statement dated Oct. 24, 2016,
referring to the Debtor's plan of reorganization dated Oct. 24,
2016.
Objections to the approval of the Disclosure Statement must be
filed by Jan. 12, 2017.
Jan. 19, 2017, is the last date for the filing of proof of claims.
About Snyder & Schneider
Snyder & Schneider Property Development, LLC, based in Mineral,
VA,
filed a Chapter 11 petition (Bankr. W.D. Va. Case No. 16-61362) on
July 6, 2016. The Hon. Rebecca B. Connelly presides over the case.
Edward Gonzalez, Esq., at the Law Office of Edward Gonzalez, PC,
serves as bankruptcy counsel.
In its petition, the Debtor estimated $0 to $50,000 in assets and
$10 million to $50 million in liabilities. The petition was
signed
by Jeff Snyder, manager.
No official committee of unsecured creditors has been appointed in
the case.
SNYDER VIRGINIA: Hearing on Plan Outline Set For Jan. 19
--------------------------------------------------------
The Hon. Rebecca B. Connelly of the U.S. Bankruptcy Court for the
Western District of Virginia has scheduled for Jan. 19, 2017, at
2:00 p.m. a hearing to consider the approval of Snyder Virginia
Properties, LLC's disclosure statement dated Oct. 24, 2016,
referring to the Debtor's plan of reorganization dated Oct. 24,
2016.
Objections to the Disclosure Statement must be filed by Jan. 12,
2017.
Jan. 19, 2017, is the last date for the filing of proof of claims.
About Snyder Virginia
Snyder Virginia Properties, LLC, based in Mineral, VA, filed a
Chapter 11 petition (Bankr. W.D. Va. Case No. 16-61364) on July 7,
2016. The Hon. Rebecca B. Connelly presides over the case. Edward
Gonzalez, Esq., at the Law Office of Edward Gonzalez, PC, serves as
bankruptcy counsel.
In its petition, the Debtor estimated $0 to $50,000 in assets and
$10 million to $50 million in liabilities. The petition was signed
by Jeff Snyder, manager.
No official committee of unsecured creditors has been appointed in
the case.
SOUTHERN DESIGN: Case Summary & 5 Unsecured Creditors
-----------------------------------------------------
Debtor: Southern Design Group, Inc.
3909 Snyder Road
Kodak, TN 37764
Case No.: 16-51628
Chapter 11 Petition Date: November 3, 2016
Court: United States Bankruptcy Court
Eastern District of Tennessee (Greeneville)
Judge: Hon. Marcia Phillips Parsons
Debtor's Counsel: Dean B. Farmer, Esq.
HODGES, DOUGHTY & CARSON, PLLC
P. O. Box 869
Knoxville, TN 37901
Tel: 865-292-2307
Fax: 865-292-2252
E-mail: dfarmer@hdclaw.com
Total Assets: $1.10 million
Total Liabilities: $1.75 million
The petition was signed by Billy P. Evans, president.
A copy of the Debtor's list of five unsecured creditors is
available for free at http://bankrupt.com/misc/tneb16-51628.pdf
SPECTRUM HEALTHCARE: Hires Michalik Bauer as Collections Counsel
----------------------------------------------------------------
Spectrum Healthcare, LLC, et al., seek authority from the U.S.
Bankruptcy Court for the District of Connecticut to employ Michalik
Bauer Silvia & Ciccarillo, LLP as special collections counsel to
the Debtors.
Spectrum Healthcare requires Michalik Bauer to collect amounts owed
to the Debtors by its patients or its patients' representatives,
including the institution of law suits, prosecution of the matters
through to post-judgment collection if necessary, and handling
related probate court matters.
Michalik Bauer will be paid at these hourly rates:
JoAnn C. Silvia, Partner $295
Dennis G. Ciccarillo, Partner $295
Robert A. Michalik, Partner $295
Jeffrey T. Schuyler, Associate $285
Cathy Israel, Paralegal $150
Michalik Bauer will also be reimbursed for reasonable out-of-pocket
expenses incurred.
JoAnn C. Silvia, member of Michalik Bauer Silvia & Ciccarillo, LLP,
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.
Michalik Bauer can be reached at:
JoAnn C. Silvia, Esq.
MICHALIK BAUER SILVIA & CICCARILLO, LLP
35 West Pearl, Suite 300
New Britain, CT 06051
Tel: (860) 225-8403
About Spectrum Healthcare LLC, et al.
Spectrum Healthcare, LLC (Case No. 16-21635), Spectrum Healthcare
Derby, LLC (Case No. 16-21636), Spectrum Healthcare Hartford, LLC
(Case No. 16-21637), Spectrum Healthcare Manchester, LLC (Case No.
16-21638) and Spectrum Healthcare Torrington, LLC (Case No.
16-21639) filed Chapter 11 petitions on Oct. 6, 2016.
The Debtors are represented by Elizabeth J. Austin, Esq., Irve J.
Goldman, Esq., and Jessica Grossarth, Esq., at Pullman & Comley,
LLC, in Bridgeport, Connecticut.
At the time of filing, the Debtors listed these assets and
liabilities:
Total Estimated
Assets Liabilities
---------- -----------
Spectrum Healthcare $282,369 $500K-$1M
Spectrum Healthcare Derby $2,068,467 $1M-$10M
Spectrum Healthcare Hartford $4,188,568 N/A
Spectrum Healthcare Manchester, LLC $2,729,410 N/A
Spectrum Healthcare Torrington, LLC $3,321,626 N/A
The petitions were signed by Sean Murphy, chief financial officer.
Spectrum Healthcare and its affiliates previously filed Chapter 11
petitions (Bankr. D. Conn. Case No. 12-22206) on Sept. 10, 2012.
STADIUM CHEVRON: Seeks to Hire Donnie Jarreau as Real Estate Agent
------------------------------------------------------------------
Stadium Chevron, Inc. seeks approval from the U.S. Bankruptcy Court
for the Middle District of Louisiana to hire a real estate agent.
The Debtor proposes to hire Donnie Jarreau Real Estate, Inc. to
market and sell its real property located in Baton Rouge,
Louisiana. The firm will get a 6% commission of the gross sales
price of the property.
Donnie Jarreau, a real estate agent employed with the firm,
disclosed in a court filing that the firm does not hold any
interest adverse to the Debtor or its bankruptcy estate.
The firm can be reached through:
Donnie Jarreau
Donnie Jarreau Real Estate, Inc.
10604 Coursey Blvd.
Baton Rouge, LA 70816
Phone: (225) 753-3573
Fax: (225) 753-3572
Email: info@donniejarreau.com
The Debtor is represented by:
Arthur A. Vingiello, Esq.
Steffes, Vingiello & McKenzie, LLC
13702 Coursey Blvd., Building 3
Baton Rouge, LA 70817
Phone: (225) 751-1751
Fax: (225) 751-1998
Email: avingiello@steffeslaw.com
About Stadium Chevron
Stadium Chevron, Inc. sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. M. D. La. Case No. 16-10334) on March 22,
2016. The petition was signed by Melvin George, president.
At the time of the filing, the Debtor estimated assets of $1
million to $10 million and liabilities of less than $500,000.
SUPERIOR LINEN: Hires Barnett & Associates as Special Counsel
-------------------------------------------------------------
Superior Linen, LLC, seeks authority from the U.S. Bankruptcy Court
for the District of Nevada to employ Barnett & Associates as
special counsel to the Debtor.
Superior Linen requires Barnett & Associates to:
a. represent the Debtor in general business and corporate
matters; and
b. prepare the potential sale of the company's business and
assets.
Barnett & Associates will be paid at these hourly rates:
Paras Barnett $350
Attorneys $195-$450
Barnett & Associates will also be reimbursed for reasonable
out-of-pocket expenses incurred.
Paras Barnett, member of Barnett & Associates, assured the Court
that the firm is a "disinterested person" as the term is defined in
Section 101(14) of the Bankruptcy Code and does not represent any
interest adverse to the Debtor and its estates.
Barnett & Associates can be reached at:
Paras Barnett
BARNETT & ASSOCIATES
61 Hilton Avenune, Suite 24
Garden City, NY 11530
Tel: (516) 877-2860
About Superior Linen
Superior Linen, LLC, doing business as Superior Linen and Laundry
Services, which operates as a commercial laundry and linen rental
company, filed a chapter 11 petition (Bankr. D. Nev. Case No.
16-15388) on Sept. 30, 2016. The petition was signed by Robert E.
Smith, chief financial officer. The case is assigned to Judge Mike
N. Nakagawa. The Debtor estimated assets and debts at $10 million
to $50 million at the time of the filing.
Superior Linen has tapped Larson & Zirzow, LLC as legal counsel.
An official committee of unsecured creditors has been appointed in
the case.
SUZANNE ALESHIRE: Seeks to Pay FactorLaw $10K
---------------------------------------------
Judge Janet S. Baer of the U.S. Bankruptcy Court for the Northern
District of Illinois will convene a hearing on Nov. 22, 2016, at
9:30 a.m., to consider Suzanne Mulder Aleshire's payment of $10,000
to her attorneys, FactorLaw, in order to replenish its Retainer
prior to the upcoming trial on plan confirmation.
For more than 35 years, the Debtor has owned and managed upscale
rental properties and real estate construction projects. Beginning
in 2004, the Debtor experienced a series of financial setbacks that
resulted in the Debtor's loss of several real estate projects
costing the Debtor hundreds of thousands in lost profits. Now, the
Debtor has only three properties located in Winnetka, Illinois and
a fourth in Bonita Springs, Florida.
On Jan. 19, 2015, the Debtor filed a voluntary petition for relief
under chapter 11 of the Bankruptcy Code. On May 11, 2015, the
employment of Debtor's former counsel, William Needler, was
terminated due to his suspension from the practice of law. In order
to facilitate her successful reorganization, and in light of
withdraw by her former counsel, the Debtor sought was and granted
leave to retain FactorLaw as her bankruptcy counsel effective May
20, 2015.
The Debtor also obtained approval to pay FactorLaw a $15,000
Retainer in connection with the retention of the firm. FactorLaw
received payment of the Retainer on July 9, 2015. On April 26,
2016, the Court entered an order approving FactorLaw's first
application for compensation and reimbursement of expenses in the
total amount of $14,284. FactorLaw applied the Retainer to this
amount. The amount of the Retainer remaining is $716.
Contemporaneously with the Motion, FactorLaw is filing a second
interim application for compensation, seeking an award of fees in
the amount of $17,515 and reimbursement of expenses in the amount
of $48. Part of the allowed fees and expenses will be paid from the
remaining Retainer, and the Debtor will pay the remaining allowed
fees and expenses.
In the meantime, the Debtor is preparing for a contested hearing on
confirmation of her plan and on Wells Fargo's motion to dismiss the
bankruptcy case for inability to confirm a plan. There will be
several witnesses at the hearing, and FactorLaw will need to spend
many, many hours preparing for the hearing. So that FactorLaw is
assured that there will be funds available to pay the fees incurred
during this period, the Debtor requests authority to pay $10,000 to
FactorLaw to replenish the Retainer.
Counsel for the Debtor:
William J. Factor, Esq.
Jeffrey K. Paulsen, Esq.
Z. James Liu, Esq.
FACTORLAW
105 W. Madison Street, Suite 1500
Chicago, IL 60602
Telephone: (847) 239-7248
Facsimile: (847) 574-8233
E-mail: wfactor@wfactorlaw.com
jpaulsen@wfactorlaw.com
jliu@wfactorlaw.com
Suzanne Mulder Aleshire sought Chapter 11 protection (Bankr. N.D.
Ill. Case No. 15-01652) on Jan. 19, 2015.
SWANN EQUIPMENT: Unsecureds To Recover 35% Under Plan
-----------------------------------------------------
Swann Equipment Company, LLC, filed with the U.S. Bankruptcy Court
for the Eastern District of Tennessee a disclosure statement
referring to the Debtor's plan of reorganization.
Under Swann's proposed Plan, it is anticipated that unsecured
creditors will receive 35% of their allowed claims.
Unsecured creditors in Class E will be paid monthly, following
payment to the creditors in Class B, for a total of 60 months, at
$2,500 per month, following the Effective Date, or until all
allowed unsecured claims are paid in full, whichever first occurs.
The unsecured debt of GE Capital/Wells Fargo, which is listed in
Swann's schedules as a disputed claim in the amount of $136,000,
will not receive any payments through Swann's Plan as the debt has
been resolved through an arbitration involving GE Capital/Wells
Fargo and Ronnie Swann, individually. In addition, the unsecured
debt of T&K Equipment, which is listed in Swann's schedules in the
amount of $7,496.00, will not receive any payments through Swann's
Plan as this debt involved consigned equipment located on Debtor's
floor that has since been picked-up by T&K Equipment. Class E is
impaired under the Plan.
Swann will retain all assets it owned at the time of the filing of
the Petition, or in which it maintains an interest, other than
those assets to be surrendered, sold or otherwise disposed of
pursuant to the Plan, or in furtherance of Swann's business
operations.
The Disclosure Statement is available at:
http://bankrupt.com/misc/tneb16-11830-66.pdf
The Plan was filed by the Debtor's counsel:
Harold L. North, Jr., Esq.
Jeffrey W. Maddux, Esq.
CHAMBLISS, BAHNER & STOPHEL, P.C.
Liberty Tower, Suite 1700
605 Chestnut Street
Chattanooga, TN 37450
Tel: (423) 756-3000
Fax: (423) 508-1244
E-mail: hnorth@chamblisslaw.com
jmaddux@chamblisslaw.com
Swann Equipment Company, LLC, was organized in June, 2012, and
Ronnie Swann is the 100% interest holder of Swann. Swann owns and
operates a retail agricultural, and lawn and garden equipment
business in Winchester, Tennessee, where it sells, rents and leases
certain agricultural-related equipment. Swann also services
various types of equipment. Swann's business is cyclical and
highly dependent upon the weather.
The Debtor (Bankr. E.D. Tenn. Case No. 16-11830) filed a Chapter 11
Petition on May 6, 2016, and is represented by Harold L. North Jr.,
Esq., at Chambliss, Bahner & Stophel, P.C.
TAKATA CORP: Readies Bankruptcy Filing for U.S. Unit
----------------------------------------------------
Asia Nikkei Review reports that Takata Corp. is preparing for a
possible bankruptcy protection filing in the U.S. amid the mounting
costs related to the company's defective air bags, which have been
linked to some deaths.
The move could help the Tokyo-based company find a financial backer
to ensure its parts-supplying operations remain ongoing as it seeks
an out-of-court reorganization -- an important consideration for
its automaker customers, Nikkei says.
According to the report, the subsidiary eyed for a Chapter 11
filing, Michigan-based TK Holdings, contributed just over 30% of
Takata's group sales for the year ended in March. But the unit
suffered a fourth consecutive annual net loss, hit by the rising
cost of air bag recalls, Nikkei relates.
As of the end of March, TK Holdings had roughly JPY145 billion
($1.4 billion) in liabilities, surpassing its assets by some
JPY30.5 billion. Sales for the year to March totaled JPY236.6
billion, Nikkei discloses.
Takata already faces recall costs exceeding JPY1 trillion, with 69
million air bags on recall in the U.S. alone. TK Holdings likely
will have to shoulder even more recall expenses as well as damage
payouts down the road. A Chapter 11 filing would clarify the unit's
liabilities and possibly lead to reductions, Nikkei states.
Nikkei relates that the Japanese parent, through its financial
adviser, has urged would-be sponsors to propose turnaround plans
based on the assumption that the U.S. unit would file for
bankruptcy protection. Global air bag leader Autoliv of Sweden,
U.S. private equity funds and other potential backers have
submitted proposals on this premise, the report says.
Honda Motor, Toyota Motor and other customers that have shouldered
some of the recall costs for Takata are also believed to be leaning
in favor of TK Holdings entering bankruptcy protection, according
to Nikkei. The automakers are expected to seek repayment of recall
costs and other claims, but not to the extent that it would
compromise Takata's ability to supply parts, adds Nikkei.
According to the Troubled Company Reporter-Asia Pacific on Oct. 11,
2016, Bloomberg News reported that Takata Corp., whose defective
airbag inflators triggered the biggest recall in auto industry
history, hired law firm Weil Gotshal & Manges LLP to help it weigh
options that could include bankruptcy or a sale, according to
people with knowledge of the matter.
The Japanese manufacturer might choose to seek court protection
just for its U.S. unit, said one of the people, who asked not to
be named because the discussions are private, according
Bloomberg. No final decisions have been made and Tokyo-based
Takata continues to seek buyers, the people said, the report
related.
Takata is evaluating at least five bids as it confronts the
potentially massive cost of recalling 100 million faulty airbag
inflators worldwide and lawsuits tied to at least 16 deaths and
numerous injuries, the Bloomberg report said. The airbags tend
to degrade over time and erupt, sending shrapnel through the
vehicle's cabin, the report noted.
Japan-based Takata Corporation (TYO:7312) --
http://www.takata.com/en/-- develops, manufactures and sells
safety products for automobiles. The Company offers seatbelts,
airbags, steering wheels, child seats and trim parts. The Company
has subsidiaries located in Japan, the United States, Brazil,
Germany, Thailand, Philippines, Romania, Singapore, Korea, China
and other countries.
TALLAHASSEE INDOOR: Taps Equels Law Firm as Special Counsel
-----------------------------------------------------------
Tallahassee Indoor Shooting Range LLC seeks approval from the U.S.
Bankruptcy Court for the Northern District of Florida to hire
Equels Law Firm as special counsel.
The firm will represent the Debtor in a lawsuit it filed against
Blueprint 2000 Intergovernmental Agency in the Circuit Court of
Leon County, Florida.
J. Stanley Chapman, Esq., the attorney designated to represent the
Debtor, will be paid an hourly rate of $450.
Equels Law Firm has no connection with the Debtor or any of its
creditors, according to court filings.
The firm can be reached through:
J. Stanley Chapman, Esq.
Equels Law Firm
313 Johnston Street
Tallahassee, FL 32303
Phone: (850) 222-2900
Fax: (850) 222-2933
Email: schapman@equelslaw.com
About Tallahassee Indoor
Tallahassee Indoor Shooting Range LLC sought protection under
Chapter 11 of the Bankruptcy Code (Bankr. N.D. Fla. Case No.
16-40407) on August 26, 2016. The petition was signed by Robert W.
Kornegay Sr., managing member.
The Debtor is represented by Robert Bruner, Esq.
At the time of the filing, the Debtor estimated assets of less than
$50,000 and liabilities of less than $1 million.
TALLEY ENTERPRISE: Hires Lentz & Little as Attorney
---------------------------------------------------
Talley Enterprise Holdings, Inc., seeks authority from the U.S.
Bankruptcy Court for the Southern District of Mississippi to employ
Lentz & Little, P.A. as attorney to the Debtor.
Talley Enterprise requires Lentz & Little, P.A. to:
a. advise and consult with the Debtor-In-Possession concerning
questions arising in the conduct and administration of the
estate and concerning the Debtor-In-Possession's rights and
remedies with regard to the estate's assets and claims of
secured, preferred and unsecured creditors and other
parties in interest; and
b. assist in the preparation of such pleadings, motions,
notice and orders as are required for orderly
administration of the esate.
Lentz & Little will be paid at these hourly rates:
Shareholders $325
Associate $185
Paraprofessionals $75
Lentz & Little will also be reimbursed for reasonable out-of-pocket
expenses incurred.
W. Jarrett Little, member of Lentz & Little, P.A., 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 Debtor and its estates.
Lentz & Little can be reached at:
W. Jarrett Little, Esq.
LENTZ & LITTLE, P.A.
2505 14th Street, Suite 100
Gulfport, MS 39501
Tel: (228) 867-6050
E-mail: Jarrett@lentzlittle.com
About Talley Enterprise
Talley Enterprise Holdings, Inc., filed a Chapter 11 bankruptcy
petition (Bankr. S.D. Miss. Case No. 16-51778) on October 13, 2016,
disclosing under $1 million in both assets and liabilities. The
Debtor is represented by Jarrett Little, Esq.
No official committee of unsecured creditors has been appointed in
the case.
TARGA PIPELINE: Moody's Withdraws Ba3 Senior Secured Notes Rating
-----------------------------------------------------------------
Moody's Investors Service has withdrawn the Ba3 ratings on Targa
Pipeline Partners LP's (TPL) senior unsecured notes. The ratings
have been withdrawn pursuant to Moody's guidelines for the
withdrawal of ratings, as insufficient information is available to
continue monitoring the entity's creditworthiness.
Issuer: Targa Pipeline Partners LP
Ratings Withdrawn:
-- Senior Unsecured Notes due 2020, previously rated Ba3 (LGD4)
-- Senior Unsecured Notes due 2021, previously rated Ba3 (LGD4)
-- Senior Unsecured Notes due 2023, previously rated Ba3 (LGD4)
RATINGS RATIONALE
In February 2015, Targa Resources Partners LP (TRP, Ba2 negative)
completed the acquisition of TPL (fka Atlas Pipeline Partners,
L.P.) making it a wholly-owned subsidiary of TRP. TPL does not file
or provide standalone financial statements, and its operational and
financial performance are consolidated in TRP's financial
statements.
Moody's has withdrawn the rating because it believes it has
insufficient or otherwise inadequate information to support the
maintenance of the rating.
TPL, a wholly-owned subsidiary of Targa Resources Partners, is
primarily engaged in the gathering, processing, and transportation
segments of the midstream natural gas industry in Texas and
Mid-Continent regions.
TELESAT CANADA: Moody's Confirms B1 Corporate Family Rating
-----------------------------------------------------------
Moody's Investors Service confirmed Telesat Canada's B1 corporate
family rating (CFR), rated the company's new senior secured bank
credit facilities Ba3 and new senior unsecured notes issue B3. As
part of the same rating action, Moody's also confirmed the
company's probability of default rating (PDR) at B1-PD, and
confirmed ratings for existing debt instruments (see ratings
listing, below). Telesat's speculative grade liquidity rating was
upgraded to SGL-2 ( good) from SGL-4 (weak) and the ratings outlook
was changed to stable from under review direction uncertain. The
action concludes a ratings review initiated on 25 August 2016.
Moody's confirmed the company's ratings because "Telesat will very
shortly complete a comprehensive refinance of its debts which will
fully address near term debt maturities, and because Moody's
adjusted leverage of debt/EBITDA is expected to be in the
5.0x-to-5.5x range during the next two years", said Bill Wolfe, a
Moody's senior vice president.
In connection with launching refinance activities, Telesat issued
preliminary Q3-2016 financial results on 27 October 2016 and, as
part of its disclosure, announced plans to pay a US$400 million
special dividend early in 2017. This amounts to about 0.7x the
company's annual EBITDA and more than double its annual free cash
flow. While the refinance is credit positive given that the
company's debts otherwise come due February 2017, the special
dividend, its second material return of cash to shareholders over
the past four years, is credit negative given its leverage affect
and financial policy implications.
Ratings for instruments that will be refinanced will be withdrawn
in due course (refer to Moody's policies relating to ratings
withdrawals). The following summarizes Moody's ratings and today's
rating actions for Telesat, all of which are contingent upon
Moody's review of final documentation and no material change in
previously advised terms and conditions.
Issuer: Telesat Canada
Assignments:
-- Senior Secured Credit Facility: Assigned Ba3 (LGD3)
-- Senior Unsecured Regular Bond/Debenture: Assigned B3 (LGD5)
Confirmations and other actions:
-- Corporate Family Rating: Confirmed at B1
-- Probability of Default Rating: Confirmed at B1-PD
-- Outlook: Changed to Stable
-- Speculative Grade Liquidity Rating: Upgraded to SGL-2 from
SGL-4
-- Senior Secured Credit Facility: Confirmed at Ba3 (LGD3)
-- Senior Unsecured Regular Bond/Debenture: Confirmed at B3
(LGD5)
RATINGS RATIONALE
Telesat's B1 corporate family rating is driven by the company's
solid business model, stable and predictable revenue and margins,
and by expectations of 5.5x-to-5.0x leverage of debt/EBITDA through
mid-2018. The rating is constrained by fixed satellite services
industry uncertainties related to ongoing capacity additions that
are likely to suppress margins for perhaps four years as excess
supply is absorbed. Governance and financial policy matters related
to the company's financial owners also continue to constrain the
rating.
Telesat's liquidity is good (SGL-2) based on a pro forma cash
balance of about CAD790 million, free cash flow of CAD125 million
to CAD150 million over the next year, and a new unused US$200
million revolving credit facility. Moody's also expects that
Telesat's the new bank credit facility will provide ample financial
covenant compliance cushions.
Rating Outlook
The outlook is stable based on Moody's expectation of 5.0x-to-5.5x
leverage of debt/EBITDA through mid-2018.
What Could Change the Rating - Up
-- Debt/EBITDA expected to be sustained between ~3.5x-~4.5x
(estimated at 5.3x, pro forma for special dividend)
-- Free Cash Flow to Debt sustained towards ~5% (7.1% at 30
June 2016, pro forma)
-- Along with: solid industry fundamentals, good execution, and
clarity on ownership strategy and capital allocation plans
What Could Change the Rating - Down
-- Debt/EBITDA sustained above ~6 (estimated at 5.3x, pro forma
for special dividend)
-- Free Cash Flow to Debt sustained below ~2.5% (7.1% at 30
June 2016, pro forma)
-- Weaker industry fundamentals, execution or adverse
ownership/strategy developments
Corporate Profile
Headquartered in Ottawa, Ontario, Canada, Telesat Canada (Telesat)
is the world's fourth largest provider of fixed satellite services.
The company's fleet consists of 15 satellites plus the Canadian
payload on ViaSat-1 with two new satellites under construction. An
additional two prototype satellites are under construction and will
be deployed in low earth orbit. Telesat also manages the operations
of additional satellites for third parties. Privately held,
Telesat's principal shareholders are Canada's Public Sector Pension
Investment Board and Loral Space & Communications Inc. (NASDAQ:
LORL).
The principal methodology used in these ratings was Global
Communications Infrastructure Rating Methodology published in June
2011.
TEMPLE SQUARE: Hires Anthony J. Degirolamo as Counsel
-----------------------------------------------------
Temple Square Properties, LLC, seeks authority from the U.S.
Bankruptcy Court for the Northern District of Ohio to employ
Anthony J. Degirolamo as counsel to the Debtor.
Temple Square requires Degirolamo to:
(a) assist the Debtor in fulfilling its duties as debtor-in-
possession;
(b) represent the Debtor with respect to motions filed in its
chapter 11 case, including, without limitation, motions
for use of cash collateral or for debtor-in-possession
financing, motions to assume or reject unexpired leases or
executory contracts, motions for relief from stay, and
motions for the sale or use of estate property; and
(c) assist the Debtor in the administration of its chapter 11
case.
Degirolamo will be paid at these hourly rates:
Anthony J. DeGirolamo $320
Associates $185
Paralegals $155
Degirolamo will also be reimbursed for reasonable out-of-pocket
expenses incurred.
Anthony J. DeGirolamo, Esq., 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 Debtor and its estates.
Degirolamo can be reached at:
Anthony J. DeGirolamo, Esq.
3930 Fulton Dr., Ste. 100B
Canton, OH 44718
Tel: (330) 305-9700
Fax: (330) 305-9713
E-mail: ajdlaw@sbcglobal.net
About Temple Square Properties
Temple Square Properties, LLC, the owner and manager of several
commercial and residential properties, filed a chapter 11 petition
(Bankr. N.D. Ohio Case No. 16-52568) on Oct. 26, 2016. Hon. Alan M.
Koschik presides over the case. The Debtor is represented by
Anthony J. DeGirolamo, Esq.
In its petition, the Debtor estimated $1.50 million in assets and
$1.11 million in liabilities. The petition was signed by Frank A.
Caetta, managing member.
No official committee of unsecured creditors has been appointed in
the case.
TEMPLE SQUARE: Hires Net Profit Inc. as Financial Advisor
---------------------------------------------------------
Temple Square Properties, LLC, seeks authority from the U.S.
Bankruptcy Court for the Northern District of Ohio to employ Net
Profit, Inc. as accountant and financial advisor to the Debtor.
Temple Square requires Net Profit to:
a. assist the Debtor in fulfilling its duties as Debtor-In-
Possession;
b. provide general accounting services; and
c. assist the Debtor by providing financial analyses necessary
for the Debtor's plan of reorganization, disclosure
statement, sale of any assets, or other transaction related
to the Debtor's reorganization.
Net Profit will be paid at the hourly rate of $75.
Net Profit will also be reimbursed for reasonable out-of-pocket
expenses incurred.
James Huntsman, member of Net Profit, Inc., 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 Debtor and its estates.
Net Profit can be reached at:
James Huntsman
NET PROFIT, INC.
321 First Street North
Alabaster, AL 35007
Tel: (205) 937-1792
About Temple Square Properties
Temple Square Properties, LLC, the owner and manager of several
commercial and residential properties, filed a chapter 11 petition
(Bankr. N.D. Ohio Case No. 16-52568) on Oct. 26, 2016. Hon. Alan M.
Koschik presides over the case. The Debtor is represented by
Anthony J. DeGirolamo, Esq.
In its petition, the Debtor estimated $1.50 million in assets and
$1.11 million in liabilities. The petition was signed by Frank A.
Caetta, managing member.
No official committee of unsecured creditors has been appointed in
the case.
TERRA MILLENNIUM: Moody's Assigns B2 Corporate Family Rating
------------------------------------------------------------
Moody's Investors Service assigned a B2 Corporate Family Rating
(CFR) and a B2-PD Probability of Default Rating to Terra Millennium
Corporation. In addition, Moody's assigned a B2 rating to the
company's proposed $215 million first lien senior secured credit
facility. This facility will include a $40 million senior secured
revolving credit facility and a $175 million senior secured first
lien term loan. The proceeds from the term loan will be used to
partially fund the acquisition of Terra Millennium by Court Square
Capital Partners and the company's management. The ratings outlook
is stable. This is the first time Moody's has rated Terra
Millennium.
Assignments:
Issuer: Terra Millennium Corporation
-- Corporate Family Rating, Assigned B2;
-- Probability of Default Rating, Assigned B2-PD;
-- $40 million senior secured revolving credit facility B2
(LGD4);
-- $175 million senior secured first lien term loan B2 (LGD4).
Outlook Actions:
Issuer: Terra Millennium Corporation
-- Outlook, Assigned Stable
RATINGS RATIONALE
The B2 CFR reflects Terra Millennium's small size and lack of
geographic and end-market diversification versus other rated
engineering and construction companies. The company is dependent on
the downstream energy sector (refining, chemical, petrochemical)
for about half its revenues and the industrial metals sector for
about another 15% of sales. These sectors are highly cyclical and
face uncertain near term prospects. Terra Millennium also has
limited regional diversity and generates the majority of its
revenues from only six states in the US. The company is exposed to
other end-markets and geographic regions, but each of those
generate less than 10% of its sales. In addition, the company has
limited customer diversity with a significant percent of its
revenues generated by its top 10 customers in some years.
Terra Millennium has developed good long-term relationships with
several well-established blue chip customers. Terra Millennium's
rating is supported by its modest leverage, ample interest coverage
and the recurring nature of the refractory and mechanical services
it provides. The company generates about 70% of its revenues from
smaller projects, which consists mainly of repair and maintenance
work. It executes mostly smaller and less risky projects with an
average size of less than $200,000. Terra also has relatively low
fixed price contract exposure and generates about 70% of its
revenues under time & materials contracts. Its rating is also
supported by its long term relationships with several
well-established blue chip customers, its low capital expenditure
requirements and adequate liquidity profile.
Moody's expects Terra Millennium to maintain historical levels of
gross profitability and for selling, general and administrative
expenses to decline as discretionary bonuses paid to management
owners are substantially reduced due to the recent change in
ownership structure. That should enable the company to generate
EBITDA margins in the low double digit range on revenues of about
$450 million over the next 12 months. The company's operating
results will continue to be supported by its steady repair and
maintenance work despite uncertain prospects for its key end
markets. This should enable the company to generate positive free
cash flow and pay down a modest amount of debt. It should maintain
a modest leverage ratio of about 3.0x (Debt/EBITDA) and an interest
coverage ratio (EBITA/Interest Expense) of around 3.5x including
Moody's standard adjustments. Terra Millennium's pro forma
liquidity should be adequate since the company only plans to draw
on the $40 million revolver to fund periodic working capital
investments and will have no near-term debt maturities.
The stable outlook presumes the company's operating results will
modestly improve over the next 12 to 18 months and result in
gradually improved credit metrics. It also assumes the company will
carefully balance its leverage with its growth strategy.
The ratings are not likely to be upgraded in the near term. The
company would need to substantially increases its size and
geographic diversity, maintain stable margins, generate
consistently positive free cash flow and maintain a leverage ratio
below 4.5x for an upgrade to be considered.
Negative rating pressure could develop if deteriorating operating
results, debt financed acquisitions or shareholder dividends result
in the leverage ratio rising above 5.5x or funds from operations
(CF from operations before working capital changes) declining below
10% of outstanding debt. A significant reduction in borrowing
availability or liquidity could also result in a downgrade.
The principal methodology used in these ratings was "Construction
Industry" published in November 2014.
Headquartered in Richmond, CA, Terra Millennium Corporation is a
provider of refractory design and installation services and a wide
range of mechanical maintenance and construction services for new
and existing industrial facilities. The company generated revenues
of approximately $428M for the trailing 12-month period ended
August 31, 2016. Court Square Capital Partners is the majority
owner of Terra Millennium.
TO & FRO: Seeks to Hire Deiches & Ferschmann as Legal Counsel
-------------------------------------------------------------
To & Fro Transportation, Inc. seeks approval from the U.S.
Bankruptcy Court for the District of New Jersey to hire Deiches &
Ferschmann.
The firm will serve as the Debtor's legal counsel in connection
with its Chapter 11 case. Deiches & Ferschmann will be paid an
hourly rate of $425 for its services.
Ira Deiches, Esq., at Deiches & Ferschmann, disclosed in a court
filing that the firm does not hold or represent any interest
adverse to the Debtor's bankruptcy estate, and is a "disinterested
person" as defined in section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Ira R. Deiches, Esq.
Deiches & Ferschmann
25 Wilkins Avenue
Haddonfield, NJ 08033
Phone: 856-428-9696
Email: ideiches@deicheslaw.com
About To & Fro Transportation
To & Fro Transportation, Inc. sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. D.N.J. Case No. 16-30270) on October
24, 2016. The petition was signed by Rodney L. Bush-Rowland,
president.
At the time of the filing, the Debtor estimated assets and
liabilities of less than $500,000.
TRANSGENOMIC INC: Granted Continued Listing on Nasdaq Until Dec. 31
-------------------------------------------------------------------
Transgenomic, Inc., received a decision letter from the staff of
The Nasdaq Stock Market LLC stating that the Nasdaq Hearings Panel
has granted the Company's request for continued listing on Nasdaq
until Dec. 31, 2016, subject to the certain conditions. In
addition, in order to fully comply with the terms of the Letter,
the Company must be able to demonstrate compliance with all
requirements for continued listing on Nasdaq, and, in the event
that it is unable to do so, its securities may be delisted from
Nasdaq in the future.
As previously reported in the Company's Current Report on Form
8-K, as filed with the Securities and Exchange Commission on
Aug. 29, 2016, the Company received a determination letter from the
Staff stating that the Company has not gained compliance with the
$1.00 minimum bid price requirement for continued listing on the
Nasdaq Capital Market, as set forth in Nasdaq Listing Rule
5550(a)(2). The Previous Letter also stated that the Company was
not eligible for an additional 180-day extension to regain
compliance with the Minimum Bid Price Requirement because the
Company did not meet the minimum stockholders' equity requirement
for continued listing on the Nasdaq Capital Market, which requires
listed companies to maintain stockholders' equity of at least
$2,500,000, as set forth in Nasdaq Listing Rule 5550(b)(1). In
addition, the Previous Letter provided that the Company's common
stock would be delisted from the Nasdaq Capital Market at the
opening of business on Sept. 2, 2016, unless the Company requested
a hearing before the Panel.
On Aug. 29, 2016, the Company requested a hearing before the Panel
to appeal the Previous Letter in accordance with Nasdaq rules and
as stated in the Previous Letter, and the hearing was held on
Oct. 13, 2016. At the hearing, the Company asked that the Panel
continue its listing through Dec. 31, 2016, to allow it to close
the previously announced merger of its wholly-owned subsidiary, New
Haven Labs Inc., with Precipio Diagnostics, LLC, which the Company
expects to result in a combined entity that will meet all initial
listing standards for the Nasdaq Capital Market; however, the
Company noted that it will need to effectuate a reverse stock split
to ensure compliance with the Minimum Bid Price Requirement.
Based on the plan presented by the Company at the hearing, the
Panel issued the Letter granting the Company's request for
continued listing on Nasdaq until Dec. 31, 2016, subject to the
following conditions:
1. On or before Nov. 15, 2016, the Company must report to the
Panel, in writing, regarding the status of the reverse stock
split, the filing of a definitive proxy for the Merger, and
any feedback received from the Staff regarding the prospects
of the application of the post-merger entity for listing on
the Nasdaq Capital Market.
2. On or before Dec. 31, 2016, the Company must have closed the
Merger and gained approval from the Staff for listing of the
post-merger company on the Nasdaq Capital Market.
At the 2016 Special Meeting of Stockholders of the Company held on
Oct. 31, 2016, the Company's stockholders approved a proposal to
authorize the Company's board of directors to, in its discretion,
amend the Company's Third Amended and Restated Certificate of
Incorporation to effect a reverse stock split of the Company’s
common stock, par value $0.01 per share at a ratio of between
one-for-ten to one-for-thirty, such ratio to be determined by the
board of directors of the Company.
The approval of the Proposal by the stockholders provides the board
of directors with the authority to carry out the reverse stock
split, but the board of directors is not obligated to do so. If the
board of directors determines to effect the reverse stock split, it
intends to select a reverse stock split ratio that it believes
would be most likely to achieve the anticipated benefits of the
reverse stock split. Notwithstanding approval of Proposal One by
the stockholders, the board of directors may, in its sole
discretion, abandon Proposal One and determine, prior to the
effectiveness of any filing with the Secretary of State of the
State of Delaware, not to effect the reverse stock split. If the
board of directors fails to implement the reverse stock split on or
prior to the first anniversary date of the Special Meeting,
stockholder approval again would be required prior to implementing
any reverse stock split.
About Transgenomic
Transgenomic, Inc. -- http://www.transgenomic.com/-- is a global
biotechnology company advancing personalized medicine in
cardiology, oncology, and inherited diseases through its
proprietary molecular technologies and world-class clinical and
research services. The Company is a global leader in cardiac
genetic testing with a family of innovative products, including
its C-GAAP test, designed to detect gene mutations which indicate
cardiac disorders, or which can lead to serious adverse events.
Transgenomic has three complementary business divisions:
Transgenomic Clinical Laboratories, which specializes in molecular
diagnostics for cardiology, oncology, neurology, and mitochondrial
disorders; Transgenomic Pharmacogenomic Services, a contract
research laboratory that specializes in supporting all phases of
pre-clinical and clinical trials for oncology drugs in
development; and Transgenomic Diagnostic Tools, which produces
equipment, reagents, and other consumables that empower clinical
and research applications in molecular testing and cytogenetics.
Transgenomic believes there is significant opportunity for
continued growth across all three businesses by leveraging their
synergistic capabilities, technologies, and expertise. The
Company actively develops and acquires new technology and other
intellectual property that strengthens its leadership in
personalized medicine.
Transgenomic reported a net loss available to common stockholders
of $34.3 million on $1.65 million of net sales for the year ended
Dec. 31, 2015, compared to a net loss available to common
stockholders of $15.08 million on $1.24 million of net sales for
the year ended Dec. 31, 2014.
As of June 30, 2016, Transgenomic had $3.09 million in total
assets, $19.38 million in total liabilities and a stockholders'
deficit of $16.29 million.
TROUBLESOME CREEK: Hires DelCotto as Bankruptcy Attorney
--------------------------------------------------------
Comes Troublesome Creek Gas Corporation seeks authorization from
the U.S. Bankruptcy Court for the District of Kentucky to employ
DelCotto Law Group PLLC as attorneys, effective as of the October
21, 2016 petition date.
The Debtor requires the Firm to:
(a) take all necessary action to protect and preserve the
Estate of the Debtor, including the prosecution of actions on the
Debtor's behalf, the defense of any actions commenced against the
Debtor, negotiations concerning all litigation in which the Debtor
is involved, and objections to claims filed against the Estate;
(b) prepare on behalf of the Debtor, as Debtor in Possession,
necessary motions, applications, schedules, statements, answers,
orders, reports, and papers in connection with the administration
of the Estates herein;
(c) negotiate and prepare on behalf of the Debtor, a plan or
plans of reorganization and all related documents; and
(d) perform all other necessary legal services in connection
with the Chapter 11 case.
The Firm will be paid ranging from $175 to $475 per hour for
attorneys and $150 per hour for paralegals.
The Firm charges normal and reasonable charges for expenses such as
copying, facsimiles, mileage, postage, etc., for which it intends
to seek reimbursement.
The Firm has received a retainer of $10,000.00 for services and
expenses rendered prepetition.
Dean A. Langdon, Esq., attorney at law and member of the Firm,
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 Firm can be reached at:
Dean A. Langdon, Esq.
Sara Johnston, Esq.
200 North Upper Street
Lexington, KY 40507
Tel: (859) 231-5800
Fax: (859) 281-1179
Email: dlangdon@dlgfirm.com
sjohnston@dlgfirm.com
About Troublesome Creek
Troublesome Creek Gas Corporation filed a Chapter 11 petition
(Bankr. E.D. Ky. Case No.: 16-70692) on October 21, 2016, and is
represented by Sara A Johnston, Esq. and Dean A. Langdon, Esq. in
Kentucky.
At the time of filing, the Debtor had $4.32 million total assets
and $13.71 million total liabilities.
The petition was signed by Charles R. Bradley, president.
A copy of the Debtor's list of 20 largest unsecured creditors is
available for free at http://bankrupt.com/misc/kyeb16-70692.pdf
VERTELLUS SPECIALTIES: Closes Sale of Substantially All Assets
--------------------------------------------------------------
Vertellus Specialties, Inc., and affiliates, file a notice with the
U.S. Bankruptcy Court for the District of Delaware disclosing that
on Oct. 31, 2016, the Debtors and Valencia Bidco, LLC or its
designees, closed on the sale of substantially all of the Debtors'
assets in accordance with the terms of the Final APA.
The U.S. Bankruptcy Court for the District of Delaware, on Sept. 8,
2016, entered an Order (A) Approving and Authorizing Sale of
Substantially All of Debtors' Assets Pursuant to Purchaser's Asset
Purchase Agreement, Free and Clear of Liens, Claims, Encumbrances
and Other Interests, (B) Approving the Assumption and Assignment of
Certain Executory Contracts and Unexpired Leases Related Thereto,
and (C) Granting Related Relief ("Sale Order"). Pursuant to the
Sale Order, the Court authorized and approved, among other things,
the sale of substantially all of the Debtors' assets to the
Purchaser.
A copy of the Sale Order and Final APA may be obtained from
Kurtzman Carson Consultants through its Web site at
http://www.kccllc.net/vertellus,or by submitting a written request
to counsel for the Debtors, DLA Piper LLP (US), Attn: David E.
Avraham, 203 N. LaSalle, Suite 1900, Chicago, Illinois (or via
e-mail to: david.avraham@dlapiper.com).
About Vertellus Specialties
Vertellus Specialties Inc. is a global specialty chemicals company
focused on the manufacture of ingredients used in pharmaceuticals,
personal care, nutrition, agriculture, and a host of other market
areas affected by trends favoring "green" technologies and
chemistries.
Headquartered in Indianapolis, Indiana, Vertellus Specialties Inc.
and several affiliates filed separate Chapter 11 bankruptcy
petitions (Bankr. D. Del. Case Nos. 16-11289 to 16-11299) on May
31, 2016. The petitions were signed by Anne Frye, vice president,
secretary
and general counsel.
Judge Christopher S. Sontchi presides over the case.
The Debtors estimated their assets at between $100 million and
$500
million and debts at between $500 million and $1 billion.
Stuart M. Brown, Esq., Kaitlin M. Edelman, Esq., Richard A.
Chesley, Esq., Daniel M. Simon, Esq., and David E. Avraham, Esq.,
at DLA Piper LLP (US) serve as the Debtors' bankruptcy counsel.
Jefferies LLC is the Debtors' investment banker. Andrew Hinkelman
at FTI Consulting, Inc. is the Debtors' chief restructuring
officer. Kurtzman Carson Consultants is the Debtors' claims and
noticing agent.
The Official Committee of Unsecured Creditors of Vertellus
Specialties Inc., et al., has tapped Hahn & Hessen LLP as lead
counsel; Morris James LLP as co-counsel; and Zolfo Cooper, LLC as
its financial advisor.
VKI VENTURES: Wants Plan Filing Deadline Moved to Jan. 30
---------------------------------------------------------
VKI Ventures, LLC and VKI Holdings, LLC, ask the Bankruptcy Court
to further extend their exclusive right to file a plan thru Jan.
30, 2017, and their exclusive right to file a plan thru March 31,
2017.
The Debtors are currently in negotiations with the secured
creditor, and said negotiations will have a material effect on the
creditors' plan treatment; therefore the Debtors require additional
time to file a plan.
The Motion is the Debtors' second request for an extension of
exclusivity.
About VKI Ventures
VKI Ventures, LLC filed a Chapter 11 petition (Bankr. S.D. Fla.
Case No. 16-14898), on April 5, 2016. The case is assigned to Hon.
Paul G. Hyman, Jr. The Debtor's counsel is Aaron A Wernick, Esq. at
Furr & Cohen, in Boca Raton, Florida. The petition was signed by
Sriram Srinivasan, managing member.
At the time of filing, the Debtor had $484,757 in estimated assets
and $1.32 million in estimated liabilities. The Debtor listed
Deutsche Bank National Trust Company as its largest unsecured
creditor holding a claim of $417,364.
WANK ADAMS: Amends Provision on Treatment of Unsecured Claims
-------------------------------------------------------------
Wank Adams Slavin Associates LLP filed with the U.S. Bankruptcy
Court for the Southern District of New York its latest disclosure
statement, which contains a revised provision on the treatment of
general unsecured claims.
Under the disclosure statement, holders of Class 3 general
unsecured claims will receive payments from so-called
"distributable funds" only after non-priority administrative
expense claims, adequate protection superpriority claims, secured
claim, priority employee claims, and the priority tax claim have
been paid in full.
General unsecured creditors assert a total of $1.7 million in
claims against Wank Adams, according to the disclosure statement
explaining the Debtor's Chapter 11 plan of reorganization.
A copy of the fourth amended disclosure statement is available for
free at https://is.gd/NioTE7
About Wank Adams Slavin Associates LLP
Wank Adams Slavin Associates LLP filed a Chapter 11 petition
(Bankr. S.D.N.Y. Case No. 15-11952) on July 27, 2015. The petition
was signed by Harry Spring, senior managing partner. The Debtor is
represented by Nancy L. Kourland, Esq., at Rosen & Associates, P.C.
The Debtor disclosed that as of June 30, 2015, it had total assets
of $659,400 and total liabilities of $1,500,000.
WESTMORELAND RESOURCE: Incurs $4.27 Million Net Loss in 3rd Quarter
-------------------------------------------------------------------
Westmoreland Resource Partners, LP filed with the Securities and
Exchange Commission its quarterly report on Form 10-Q disclosing a
net loss of $4.27 million on $90.31 million of total revenues for
the three months ended Sept. 30, 2016, compared to a net loss of
$12.72 million on $94.32 million of total revenues for the three
months ended Sept. 30, 2015.
For the nine months ended Sept. 30, 2016, the Company reported a
net loss of $27.55 million on $263.25 million of total revenues
compared to a net loss of $25.26 million on $297 million of total
revenues for the same period last year.
As of Sept. 30, 2016, the Company had $390.06 million in total
assets, $413.9 million in total liabilities and a total deficit of
$23.80 million.
"We anticipate that our cash from operations, cash on hand and
available borrowing capacity will be sufficient to meet our
investing, financing, and working capital requirements for the
foreseeable future.
"Our business is capital intensive and requires substantial capital
expenditures for, among other things, purchasing, maintaining and
upgrading equipment used in developing and mining our coal, and
acquiring reserves. Our principal liquidity needs are to finance
current operations, replace reserves, fund capital expenditures,
including costs of acquisitions from time to time, service our debt
and pay quarterly cash distributions to our unitholders. Our
primary sources of liquidity to meet these needs have been cash
generated by our operations, borrowings under the 2014 Financing
Agreement, and availability under our Revolving Credit Facility.
"Our ability to satisfy our working capital requirements, meet debt
service obligations and fund planned capital expenditures
substantially depends upon our future operating performance, which
may be affected by prevailing economic conditions in the coal
industry. To the extent our future operating cash flow or access
to financing sources and the costs thereof are materially different
than expected, our future liquidity may be adversely affected," the
Company stated in the quarterly report.
As of Sept. 30, 2016, the Company's available liquidity was $23.9
million, which included $8.9 million in cash and $15.0 million of
availability under its Revolving Credit Facility.
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/xcPJ0g
About Westmoreland Resource
Oxford Resource Partners, LP, now known as Westmoreland Resource
Partners, LP, is a producer of high value steam coal, and is the
largest producer of surface mined coal in Ohio.
Westmoreland Resource reported a net loss of $33.68 million for the
year eneded Dec. 31, 2015. For the period from January 1 through
Dec. 31, 2014, the Company reported a net loss of $24.15 million.
WONKA HOLDINGS: Seeks to Hire Morrison Tenenbaum as Legal Counsel
-----------------------------------------------------------------
Wonka Holdings Corp. and its affiliates filed separate applications
seeking approval from the U.S. Bankruptcy Court for the Eastern
District of New York to hire legal counsel.
In their applications, Wonka Holdings, Papa Express Inc., Papa
Fresh Inc., Jamie's Catering Inc. and Rich Foods 37 LLC propose to
hire Morrison Tenenbaum PLLC to provide legal services in
connection with their Chapter 11 cases.
Lawrence Morrison, Esq., the attorney designated to represent the
Debtors, will be paid an hourly rate of $495. Associates and
paraprofessionals will be paid $350 per hour and $150 per hour,
respectively.
Mr. Morrison disclosed in a court filing that his firm is a
"disinterested person" as defined in section 101(14) of the
Bankruptcy Code.
The firm can be reached through:
Lawrence F. Morrison, Esq.
Morrison Tenenbaum PLLC
87 Walker Street, Floor 2
New York, NY 10013
Phone: 212-620-0938
Email: lmorrison@m-t-law.com
About Wonka Holdings Corp.
Wonka Holdings Corp., Jamie's Catering Inc., Papa Express Inc.,
Papa Fresh Inc., and Rich Foods 37 LLC sought protection under
Chapter 11 of the Bankruptcy Code (Bankr. E. D. N.Y. Case Nos.
16-44258 to 16-44262) on September 23, 2016. The petitions were
signed by Richard Schragger.
At the time of the filing, Wonka Holdings estimated its assets and
liabilities at $50,000. Papa Fresh estimated assets of less than
$50,000 and liabilities of less than $1 million. The other Debtors
estimated assets of less than $50,000 and liabilities of less than
$500,000.
[^] BOND PRICING -- For the Week from Oct. 31 to Nov. 4, 2016
-------------------------------------------------------------
Company Ticker Coupon Bid Price Maturity
------- ------ ------ --------- --------
A. M. Castle & Co CAS 7.000 58.000 12/15/2017
ACE Cash Express Inc AACE 11.000 56.250 2/1/2019
ACE Cash Express Inc AACE 11.000 56.500 2/1/2019
Affinion Investments LLC AFFINI 13.500 1.714 8/15/2018
Alpha Appalachia
Holdings Inc ANR 3.250 3.375 8/1/2015
American Eagle Energy Corp AMZG 11.000 14.000 9/1/2019
American Eagle Energy Corp AMZG 11.000 13.375 9/1/2019
American Gilsonite Co AMEGIL 11.500 62.750 9/1/2017
American Gilsonite Co AMEGIL 11.500 62.750 9/1/2017
Amyris Inc AMRS 6.500 53.000 5/15/2019
Armstrong Energy Inc ARMS 11.750 54.000 12/15/2019
Armstrong Energy Inc ARMS 11.750 53.500 12/15/2019
Aurora Diagnostics
Holdings LLC / Aurora
Diagnostics
Financing Inc ARDX 10.750 75.125 1/15/2018
Avaya Inc AVYA 10.500 32.250 3/1/2021
Avaya Inc AVYA 10.500 29.000 3/1/2021
Avon Products Inc AVP 4.200 104.931 7/15/2018
BPZ Resources Inc BPZR 6.500 3.017 3/1/2015
BPZ Resources Inc BPZR 6.500 3.017 3/1/2049
Basic Energy Services Inc BAS 7.750 47.000 2/15/2019
Becton Dickinson and Co BDX 1.750 99.966 11/8/2016
Bon-Ton Department
Stores Inc/The BONT 10.625 100.500 7/15/2017
Bottling Group LLC PEP 5.125 108.166 1/15/2019
Caesars Entertainment
Operating Co Inc CZR 12.750 62.000 4/15/2018
Caesars Entertainment
Operating Co Inc CZR 5.750 65.000 10/1/2017
Chassix Holdings Inc CHASSX 10.000 8.000 12/15/2018
Chassix Holdings Inc CHASSX 10.000 8.000 12/15/2018
Claire's Stores Inc CLE 9.000 48.500 3/15/2019
Claire's Stores Inc CLE 8.875 14.875 3/15/2019
Claire's Stores Inc CLE 10.500 52.500 6/1/2017
Claire's Stores Inc CLE 7.750 12.250 6/1/2020
Claire's Stores Inc CLE 9.000 48.125 3/15/2019
Claire's Stores Inc CLE 9.000 48.125 3/15/2019
Claire's Stores Inc CLE 7.750 12.250 6/1/2020
Community Choice
Financial Inc CCFI 10.750 53.500 5/1/2019
Continental Resources
Inc/OK CLR 7.125 103.777 4/1/2021
Creditcorp CRECOR 12.000 48.000 7/15/2018
Creditcorp CRECOR 12.000 47.000 7/15/2018
Cumulus Media Holdings Inc CMLS 7.750 43.250 5/1/2019
EPL Oil & Gas Inc EXXI 8.250 15.000 2/15/2018
EXCO Resources Inc XCO 7.500 54.066 9/15/2018
Endeavour
International Corp END 12.000 1.000 6/1/2018
Energy & Exploration
Partners Inc ENEXPR 8.000 0.500 7/1/2019
Energy & Exploration
Partners Inc ENEXPR 8.000 0.500 7/1/2019
Energy Conversion
Devices Inc ENER 3.000 7.875 6/15/2013
Energy Future
Holdings Corp TXU 11.250 34.875 11/1/2017
Energy Future
Holdings Corp TXU 9.750 37.625 10/15/2019
Energy Future
Holdings Corp TXU 10.875 34.875 11/1/2017
Energy Future
Holdings Corp TXU 10.875 34.875 11/1/2017
Energy Future Intermediate
Holding Co LLC /
EFIH Finance Inc TXU 10.000 11.000 12/1/2020
Energy Future Intermediate
Holding Co LLC / EFIH
Finance Inc TXU 10.000 10.750 12/1/2020
Energy Future Intermediate
Holding Co LLC / EFIH
Finance Inc TXU 6.875 10.750 8/15/2017
Energy Future Intermediate
Holding Co LLC / EFIH
Finance Inc TXU 9.750 30.000 10/15/2019
Energy XXI Gulf Coast Inc EXXI 11.000 44.750 3/15/2020
Energy XXI Gulf Coast Inc EXXI 9.250 9.500 12/15/2017
Energy XXI Gulf Coast Inc EXXI 7.750 9.750 6/15/2019
Energy XXI Gulf Coast Inc EXXI 7.500 10.500 12/15/2021
Energy XXI Gulf Coast Inc EXXI 6.875 9.750 3/15/2024
Erickson Inc EAC 8.250 39.000 5/1/2020
Evergreen Solar Inc ESLR 4.000 0.424 7/15/2013
FXCM Inc FXCM 2.250 42.250 6/15/2018
FairPoint
Communications Inc/Old FRP 13.125 1.879 4/2/2018
Federal Farm Credit Banks FFCB 1.040 100.000 3/1/2018
Federal Home Loan
Mortgage Corp FHLMC 1.200 100.000 2/11/2019
Fleetwood Enterprises Inc FLTW 14.000 3.557 12/15/2011
Forbes Energy Services Ltd FES 9.000 25.750 6/15/2019
GenOn Energy Inc GENONE 7.875 74.190 6/15/2017
Goodman Networks Inc GOODNT 12.125 43.000 7/1/2018
Goodrich Petroleum Corp GDPM 8.875 0.538 3/15/2019
Gymboree Corp/The GYMB 9.125 50.000 12/1/2018
Hilcorp Energy I LP /
Hilcorp Finance Co HILCRP 7.625 102.250 4/15/2021
Homer City Generation LP GE 8.137 39.563 10/1/2019
Horsehead Holding Corp ZINC 10.500 80.250 6/1/2017
Illinois Power
Generating Co DYN 7.000 36.875 4/15/2018
Illinois Power
Generating Co DYN 6.300 36.000 4/1/2020
Iracore International
Holdings Inc IRACOR 9.500 51.625 6/1/2018
Iracore International
Holdings Inc IRACOR 9.500 51.625 6/1/2018
IronGate Energy
Services LLC IRONGT 11.000 23.875 7/1/2018
IronGate Energy
Services LLC IRONGT 11.000 23.875 7/1/2018
IronGate Energy
Services LLC IRONGT 11.000 23.875 7/1/2018
IronGate Energy
Services LLC IRONGT 11.000 23.875 7/1/2018
Kellwood Co KWD 7.625 72.500 10/15/2017
Key Energy Services Inc KEGX 6.750 24.500 3/1/2021
Las Vegas Monorail Co LASVMC 5.500 4.876 7/15/2019
Lehman Brothers
Holdings Inc LEH 1.600 2.849 11/5/2011
Lehman Brothers
Holdings Inc LEH 4.000 2.849 4/30/2009
Lehman Brothers
Holdings Inc LEH 2.070 2.849 6/15/2009
Lehman Brothers
Holdings Inc LEH 1.383 2.849 6/15/2009
Lehman Brothers
Holdings Inc LEH 5.000 2.849 2/7/2009
Lehman Brothers
Holdings Inc LEH 1.250 2.849 8/5/2012
Lehman Brothers
Holdings Inc LEH 1.250 2.849 3/22/2012
Lehman Brothers
Holdings Inc LEH 2.000 2.849 3/3/2009
Lehman Brothers
Holdings Inc LEH 1.500 2.849 3/29/2013
Lehman Brothers
Holdings Inc LEH 1.250 2.849 2/6/2014
Lehman Brothers Inc LEH 7.500 1.226 8/1/2026
Liberty Interactive LLC LINTA 1.000 86.350 9/30/2043
Light Tower Rentals Inc LHTTWR 8.125 45.500 8/1/2019
Light Tower Rentals Inc LHTTWR 8.125 43.000 8/1/2019
Linc USA GP / Linc Energy
Finance USA Inc LNCAU 9.625 19.500 10/31/2017
Linn Energy LLC / Linn
Energy Finance Corp LINE 8.625 31.750 4/15/2020
Linn Energy LLC / Linn
Energy Finance Corp LINE 6.500 29.500 5/15/2019
Linn Energy LLC / Linn
Energy Finance Corp LINE 7.750 30.500 2/1/2021
Linn Energy LLC / Linn
Energy Finance Corp LINE 6.250 29.200 11/1/2019
Linn Energy LLC / Linn
Energy Finance Corp LINE 6.500 30.000 9/15/2021
Linn Energy LLC / Linn
Energy Finance Corp LINE 6.250 29.125 11/1/2019
Linn Energy LLC / Linn
Energy Finance Corp LINE 6.250 29.125 11/1/2019
Logan's Roadhouse Inc LGNS 10.750 4.500 10/15/2017
MF Global Holdings Ltd MF 3.375 21.000 8/1/2018
MModal Inc MODL 10.750 10.125 8/15/2020
Midstates Petroleum
Co Inc / Midstates
Petroleum Co LLC MPO 10.750 1.156 10/1/2020
Mirant Mid-Atlantic
Series B Pass
Through Trust GENONE 9.125 82.750 6/30/2017
Modular Space Corp MODSPA 10.250 52.375 1/31/2019
Modular Space Corp MODSPA 10.250 53.000 1/31/2019
NRG REMA LLC GENONE 9.237 80.000 7/2/2017
Nine West Holdings Inc JNY 8.250 17.000 3/15/2019
Nine West Holdings Inc JNY 6.125 16.500 11/15/2034
Nine West Holdings Inc JNY 6.875 17.000 3/15/2019
Nine West Holdings Inc JNY 8.250 17.000 3/15/2019
Nuverra Environmental
Solutions Inc NESC 9.875 17.000 4/15/2018
OMX Timber Finance
Investments II LLC OMX 5.540 9.375 1/29/2020
Optima Specialty Steel Inc OPTSTL 12.500 90.000 12/15/2016
Optima Specialty Steel Inc OPTSTL 12.500 89.227 12/15/2016
Orexigen Therapeutics Inc OREX 2.750 21.000 12/1/2020
Peabody Energy Corp BTU 6.000 46.375 11/15/2018
Peabody Energy Corp BTU 6.000 46.250 11/15/2018
Peabody Energy Corp BTU 6.000 46.250 11/15/2018
Permian Holdings Inc PRMIAN 10.500 29.250 1/15/2018
Permian Holdings Inc PRMIAN 10.500 28.750 1/15/2018
Pernix Therapeutics
Holdings Inc PTX 4.250 23.625 4/1/2021
Pernix Therapeutics
Holdings Inc PTX 4.250 23.442 4/1/2021
Prospect Holding Co LLC /
Prospect Holding
Finance Co PRSPCT 10.250 29.625 10/1/2018
Prospect Holding Co LLC /
Prospect Holding
Finance Co PRSPCT 10.250 29.625 10/1/2018
Rackspace Hosting Inc RAX 6.500 117.610 1/15/2024
Rackspace Hosting Inc RAX 6.500 117.689 1/15/2024
River Rock Entertainment
Authority RIVER 9.000 20.000 11/1/2018
Rolta LLC RLTAIN 10.750 19.875 5/16/2018
SAExploration Holdings Inc SAEX 10.000 46.250 7/15/2019
Samson Investment Co SAIVST 9.750 4.250 2/15/2020
Sequa Corp SQA 7.000 54.500 12/15/2017
Sequa Corp SQA 7.000 54.000 12/15/2017
Sidewinder Drilling Inc SIDDRI 9.750 7.500 11/15/2019
Sidewinder Drilling Inc SIDDRI 9.750 7.250 11/15/2019
Speedy Group Holdings Corp SPEEDY 12.000 48.750 11/15/2017
Speedy Group Holdings Corp SPEEDY 12.000 48.500 11/15/2017
Stone Energy Corp SGY 1.750 61.500 3/1/2017
SunEdison Inc SUNE 5.000 52.000 7/2/2018
SunEdison Inc SUNE 2.000 3.938 10/1/2018
SunEdison Inc SUNE 2.375 3.938 4/15/2022
SunEdison Inc SUNE 2.750 4.125 1/1/2021
SunEdison Inc SUNE 2.625 4.000 6/1/2023
SunEdison Inc SUNE 3.375 4.000 6/1/2025
SunEdison Inc SUNE 0.250 5.375 1/15/2020
TMST Inc THMR 8.000 16.250 5/15/2013
Talos Production LLC /
Talos Production
Finance Inc TALPRO 9.750 49.000 2/15/2018
Talos Production LLC /
Talos Production
Finance Inc TALPRO 9.750 49.000 2/15/2018
TerraVia Holdings Inc TVIA 6.000 51.500 2/1/2018
Terrestar Networks Inc TSTR 6.500 10.000 6/15/2014
TetraLogic
Pharmaceuticals Corp TLOG 8.000 4.250 6/15/2019
Texas Competitive Electric
Holdings Co LLC /
TCEH Finance Inc TXU 11.500 31.000 10/1/2020
Texas Competitive Electric
Holdings Co LLC /
TCEH Finance Inc TXU 15.000 0.720 4/1/2021
Texas Competitive Electric
Holdings Co LLC /
TCEH Finance Inc TXU 11.500 28.625 10/1/2020
Texas Competitive Electric
Holdings Co LLC /
TCEH Finance Inc TXU 15.000 6.830 4/1/2021
Trans-Lux Corp TNLX 8.250 20.125 3/1/2012
Triangle USA
Petroleum Corp TPLM 6.750 25.010 7/15/2022
Triangle USA
Petroleum Corp TPLM 6.750 24.875 7/15/2022
UCI International LLC UCII 8.625 19.625 2/15/2019
Vanguard Natural
Resources LLC /
VNR Finance Corp VNR 7.875 48.500 4/1/2020
Venoco LLC VQ 8.875 1.559 2/15/2019
Verso Paper Holdings
LLC / Verso Paper Inc VRS 11.750 17.000 1/15/2019
Verso Paper Holdings
LLC / Verso Paper Inc VRS 11.750 17.000 1/15/2019
Violin Memory Inc VMEM 4.250 32.000 10/1/2019
W&T Offshore Inc WTI 8.500 42.375 6/15/2019
Walter Energy Inc WLTG 8.500 0.420 4/15/2021
Walter Energy Inc WLTG 9.500 0.010 10/15/2019
Walter Energy Inc WLTG 9.500 0.489 10/15/2019
Walter Energy Inc WLTG 9.500 0.489 10/15/2019
Walter Energy Inc WLTG 9.500 0.489 10/15/2019
iHeartCommunications Inc IHRT 10.000 68.000 1/15/2018
rue21 inc RUE 9.000 26.839 10/15/2021
rue21 inc RUE 9.000 26.839 10/15/2021
*********
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 ***