/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/161229.mbx T R O U B L E D C O M P A N Y R E P O R T E R Thursday, December 29, 2016, Vol. 20, No. 363 Headlines 110 CONDO: U.S. Trustee Unable to Appoint Committee 1550 BLUE JAY WAY: Case Summary & 9 Unsecured Creditors 2424 ESSE: Case Summary & 8 Unsecured Creditors 275 BROADHOLLOW: Loan Facing Imminent Default, Fitch Says 500 NORTH AVENUE: Unsecureds To Get $250K Over 60-Month Period 90 MERRICK: Loan Facing Imminent Default, Fitch Says A & ASSOCIATES: U.S. Trustee Unable to Appoint Committee A.H HOME HEALTH: Hires Sobel as Bankruptcy Counsel ABDULHAY ASSOCIATES: Asks Court to Approve Disclosure Statement ACHAOGEN INC: Growth Equity, et al., Hold 18% Stake as of Dec. 19 ADVANCED ROOFING: Court Confirms Reorganization Plan ALESSI FAMILY: Court Allows Cash Collateral Use Through Jan. 11 ALESSI FAMILY: Feb. 14 Disclosure Statement Hearing ALESSI FAMILY: U.S. Trustee Unable to Appoint Committee AMERICAN COLLEGE: Case Summary & 20 Largest Unsecured Creditors AMERICAN HEALTH: AM Best Affirms B-Fair Financial Strength Rating ANIXTER INT'L: Egan-Jones Cuts Sr. Unsecured Ratings to BB ANK LLC: Disclosures OK'd; Plan Confirmation Hearing on Feb. 22 APOLLO MEDICAL: Inks New Employment Pacts with Executive Officers APOLLO MEDICAL: Signs Merger Agreement with Network Medical APRICUS BIOSCIENCES: Amends Executive Pacts with Management Team ARM VENTURES: Unsecureds To Get $300,000 Over 5 Years ARMAND EXTERMINATING: Hires Barron & Kogan as Accountant ASCENT GROUP: Hires Gardere Wynne as Counsel AV HOMES: Egan-Jones Hikes Sr. Unsecured Ratings to B+ AVATAR PACKAGING: Can Use Centennial Bank Cash on Final Basis AVERY LAND: Wants to Move Plan Filing Period Through March 23 BANKERS LIFE: A.M. Best Lowers LT Issuer Credit Rating to 'bb' BERTELLI REALTY: Case Summary & 8 Unsecured Creditors BGM PASADENA: Unsecureds To Recoup 5% Under Lender's Plan BIRCH GROVE: Can Continue Using Cash Collateral Through January 31 BLACKMAN COMMUNITY WATER: Seeks March 31 Exclusivity Extension BLUE BIRD: S&P Affirms Then Withdraws 'B' CCR BROOKLYN INTERIORS: Plan Filing Deadline Extended Through Feb. 17 C & G COIN: Unsecureds To Recoup 100% in 60 Payments CAESARS ENTERTAINMENT: Bank Lenders Group Lifts Default Notice CAESARS ENTERTAINMENT: UST Balks at Plan Releases CATASYS INC: Closes Exchange Agreements with Acuitas Group & Samus CC LLC: Disclosures Okayed, Plan Hearing on Feb. 1 CENTRAL IOWA: Wants to Use Cash Collateral Through February 27 CHIMNEY HILL: Hires Gorski & Knowlton as Attorney CHINA COMMERCIAL: John Levy Quits From Board of Directors CHOUDRIES INC: Hires CGA Law as Counsel CLEAN HARBORS: Egan-Jones Lowers Sr. Unsec. Ratings to BB- COLORADO CHOICE: A.M. Best 'B' FSR Still Under Review Negative COMBIMATRIX CORP: Scott Gottlieb Resigns as Director CONSOLIDATED COMMUNICATIONS: Egan-Jones Hikes Sr. Unsec. Rating to CRESCENT HAUS: Disclosures Okayed, Plan Hearing on Jan. 31 DAVE 60 NYC: Seeks May 23 Exclusive Plan Filing Extension DAYA MEDICALS: D. Klein, DKMC To Be Paid 100% Over 5Yrs at 4.75% DEDICATED STAGING: WSB Withholds Consent to Cash Use DIAMOND STORAGE: U.S. Trustee Unable to Appoint Committee DMP PARTNERS: Hires Mitchell & Hammond as Counsel DORAL DENTAL: GE Capital To Get Paid $3,700 Per Month Under Plan EIF CHANNELVIEW: S&P Cuts Issue Rating to B+ on Weak ERCOT Pricing ELITE PHARMACEUTICALS: Provides Update on SequestOx NDA ERICKSON INC: Unsecureds To Get Share of Litigation Trust Interests ESCALERA RESOURCES: Hires Seaport Global as Investment Banker FARMACIAS FREDDY: Case Summary & 10 Unsecured Creditors FARMER'S MECHANICAL: Hires Bertha Ramirez as Accountant FINJAN HOLDINGS: Receives Noncompliance Notice from NASDAQ FIRST WIVES: Court Extends Plan Filing Period to March 21 FLORIDA FOREST: Seeks 20-Day Exclusivity Extension FLY LEASING: S&P Lowers CCR to 'BB-' on Updated Criteria FREESEAS INC: Shareholders Elect Dimitris Papadopoulos as Director GENERAL MOTORS: Car Owners Seek to File Late Class Claims GERALEX INC: Court Extends Plan Filing Deadline to Jan. 25 GLENN'S INC: Disclosures Okayed, Plan Hearing on Jan. 24 GLOBAL EAGLE: S&P Affirms 'BB-' Rating on Proposed Sr. Facilities GOLDCORP INC: Egan-Jones Lowers Sr. Unsecured Ratings to BB+ GOLDEN INSURANCE: A.M. Best Cuts Fin. Strength Rating to B-(Fair) GREATER HOPE BAPTIST: Hires Dockery as Tax Consultant GREATER HOPE BAPTIST: Hires Harell as Attorney GREEN BOX: Jan. 30 Plan Confirmation Hearing GRIZZLY LAND: Ch. 11 Trustee Allowed to Use Rabo AgriFinance Cash GROVE PLAZA: Proposes $4.23MM Sale of Properties to Prathna LLC GROW CONDOS: Scrudato Barred from Acting as Auditor by PCAOB HAWAII PACIFIC: S&P Lowers Rating on 2013A Revenue Bonds to 'BB' HEADWATERS INC: Egan-Jones Lowers Sr. Unsec. Ratings to B+ HOLIDAY SUPERMARKETS: Hires Adam Simmens as Accountant IHEARTMEDIA INC: S&P Raises CCR to 'CC' on Proposed Debt Exchange INTERLEUKIN GENETICS: Pyxis Designee Quits as Director INTERNATIONAL TECHNICAL: Unsecureds May Recoup 61% Under Plan J COPELLO INTERNATIONAL: Case Summary & 20 Top Unsecured Creditors J.B.B. ENTERPRISES: Court Conditionally Approves Plan Outline JEFFREY L. MILLER: Intends to Use Private Financing Cash Collateral KALOBIOS PHARMACEUTICALS: Has $3.3M Credit Pact with Black Horse KALOBIOS PHARMACEUTICALS: Inks 2nd Amendment to Black Horse APA KANE CLINICS: Hires Jones & Walden as Counsel KING & QUEEN: Unsecureds To Get $100 Per Month For 50 Mos. LEGENDS COLLISION: Hires The Alt Key as Accountant LIFE CHANGE: Disclosures Okayed, Plan Hearing on Feb. 21 LINN ENERGY: Asks Court for May 16 Plan Exclusivity Extension LITTLE REST: 11th Cir. Affirms Sanctions Against Zeltser LODGE HOLDINGS: Wants to Use CBC Partners I Cash Collateral MASON TEMPLE: Hires Goodman as Bankruptcy Counsel MELODY GOOD GIRL: Wants to Use Cash Collateral Through June 2017 MESOBLAST LIMITED: Inks Equity Purchase Pact With Mallinckrodt MF GLOBAL: Insurers Can't Enforce Injunction, NY Court Says MGM RESORTS: Egan-Jones Upgrades Sr. Unsecured Ratings to BB- MID-STATE PLUMBING: 10% Recovery for Unsecured Creditors MOBILEDIRECT INC: Hearing on Plan Outline Set For Feb. 16 MOSES INC: Seeks Feb. 10 Exclusive Plan Filing Period Extension MOTHERS FOOD: Plan Confirmation Hearing Set for Jan. 10 MOUNSEF INTERNATIONAL: Court Confirms Amended Plan MOUNTAIN WEST VALVE: Unsecureds To Get $500 Per Month for 12 Months MS ELMSFORD: Hires Bronson Law as Counsel N-LIQUIDATION: Refund Checks Are Acquired Assets, Court Says NAHID M F: U.S. Trustee Unable to Appoint Committee NASTY GAL: Court Sets Jan. 5 Final Hearing for Cash Collateral Use NASTY GAL: Seeks Court Permission to Launch Auction Process NATIONAL RURAL: Egan-Jones Hikes Sr. Unsecured Ratings to BB- NEW BEGINNINGS: Disclosures Okayed, Plan Hearing on Jan. 31 NEW COUNTRY WIRELESS: Case Summary & 20 Top Unsecured Creditors NEW STREAMWOOD: Plan Confirmation Hearing Set for Jan. 10 NGPL PIPECO: S&P Raises ICR to 'BB-'; Outlook Stable NORTHWEST GF MUTUAL: A.M. Best Hikes Issuer Credit Rating From bb NORTHWEST HEALTH: Hires Davidson Backman as Bankruptcy Counsel NUTRITION RUSH: Case Summary & 20 Largest Unsecured Creditors ONCOBIOLIGICS INC: Issues $8.35 Million Senior Secured Notes OUTSIDE PLANET: U.S. Trustee Forms 2-Member Committee OYSTER COMPANY: U.S. Trustee Forms 7-Member Committee PACIFIC THOMAS: Ruling in Clawback Suit vs. Darrow Affirmed PACIFIC THOMAS: Ruling in Clawback Suit vs. TCI Affirmed PATRIOT METALS: Disclosures Okayed, Plan Hearing on Feb. 1 PENNGOOD LLC: Feb. 1 Plan Confirmation Hearing PITTSBURGH CORNING: PPG's $110M Claim v. Midland Nixed PLAZA HEALTHCARE: Disclosures OK'd; Plan Hearing on March 1 PODIUM PERFORMANCE: Seeks to Continue Using Suntrust Cash PRECISE CORPORATE: Western State Bank Prohibits Access to Cash PRICO ENTERPRISES: Disclosure Statement Hearing Set for Jan. 31 PRO ENTERPRISES: Unsecureds To Receive 10% Over 5 Years REAM PROPERTIES: Hearing on Amended Plan Outline Set for Jan. 31 REBUS CORP: Disclosure Statement Hearing Set for Jan. 11 RENNOVA HEALTH: Prices $12.35M Public Offering of Common Stock RENNOVA HEALTH: To Hold Business Update Conference Call on Jan. 5 REPUBLIC AIRWAYS: Needs Until March 31 to File Chapter 11 Plan REPUBLIC AIRWAYS: Plan Confirmation Hearing on Feb. 14 RESOLUTE ENERGY: Inks Underwriting Pact With BMO Capital, et al. ROMEO'S PIZZA: U.S. Trustee Unable to Appoint Committee RYAN EXCAVATING: Wants Plan Filing Deadline Moved to Jan. 23 S-3 PUMP SERVICE: Ally Bank Tries To Block Plan Outline Approval SANDIA DISTRIBUTOR: Disclosures OK'd; Plan Hearing on Feb. 7 SCOTT COUNTY HOSPITAL: Rennova Health to Acquire Assets SEMINOLE TRACKS: Case Summary & 20 Largest Unsecured Creditors SIDNEY TRANSPORTATION: Unsecureds To Get 26K Per Year For 5 Years SKYHIGH PROPERTY: Wants to Use Cash Collateral Through July 5 SKYVIEW ACADEMY: S&P Affirms 'BB+' Rating on Outstanding Debt SOLID ROCK: Case Summary & 3 Unsecured Creditors SOTHEBY'S: Egan-Jones Lowers Sr. Unsecured Ratings to BB+ SPI ENERGY: KPMG Huazhen LLP Raises Going Concern Doubt STONE ENERGY: Thomas Satterfield Reports 8.96% Stake as of Dec. 21 SUMMIT MIDSTREAM: S&P Raises Rating on Sr. Unsecured Debt to B+ SUNDEVIL POWER: Wins Plan Confirmation, Exits Ch.11 the Next Day SUNEDISON INC: CEO Urges Court to Reject Panel's Litigation Bid SUNEDISON INC: Shareholders Seek Appointment of Equity Committee TANDOORI AT TRANSIT: Can Use Cash Collateral Through March 31 TANDOORI AT TRANSIT: Has Until May 1 to File Small Business Plan TIME INC: S&P Lowers CCR to 'B+' on Higher-Than-Expected Leverage TOO FAST APPAREL: Can Continue Using BB&T Cash Through April 30 TRIANGLE USA: Unsecureds To Recover 29%-30% Under Amended Plan TURN4 LOGISTICS: Plan, Disclosures Hearing Set for Jan. 31 ULTRA PETROLEUM: Ad Hoc Committee Seeks Appointment of Trustee UNIVERSAL DOOR: Disclosure Statement Hearing Set for Feb. 21 USA SALES: Seeks Approval to Use Zeenat Hirani Cash Collateral VERIFONE SYSTEMS: Egan-Jones Lowers Sr. Unsec. Ratings to BB VERTELLUS SPECIALTIES: Tanner, Hexion Resign from Committee VIKING INVESTMENTS: Recurring Losses Casts Going Concern Doubt VINH PHAT: Disclosures Conditionally OK'd; Plan Hearing on Jan. 24 VIOLIN MEMORY: U.S. Trustee Forms 3-Member Committee VISUALANT INC: Issues 187,500 Series D Preferred Shares VIVA INVESTMENTS: Has Until February 21 to File Chapter 11 Plan WEST CORP: Amends Credit Facility with Wells Fargo WESTERN REFINING: S&P Affirms 'B+' Rating on Sr. Secured Term Loan WORLDS ONLINE: Incurs $6,860 Net Loss in Third Quarter WRAP MEDIA: Case Summary & 20 Largest Unsecured Creditors XTERA COMMUNICATIONS: $7.4M DIP Loan Gets Final Court Approval [*] S&P Reviews Ratings on US Capital Goods Sector [*] S&P Reviews Ratings on US Leisure Sector [] A.M. Best Maintains Negative Outlook on Global Reinsurance [] A.M. Best Retains Commercial Lines Insurance Outlook Negative [] A.M. Best Retains Neg. Outlook on US Health Insurance Sector [^] Recent Small-Dollar & Individual Chapter 11 Filings ********* 110 CONDO: U.S. Trustee Unable to Appoint Committee --------------------------------------------------- An official committee of unsecured creditors has not yet been appointed in the Chapter 11 case of 110 Condo Properties LLC as of Dec. 27, 2016, according to a court docket. 110 Condo Properties LLC filed for Chapter 11 bankruptcy protection (Bankr. S.D. Ind. Case No. 16-06303) on Aug. 16, 2016, estimating its assets at between $100,001 and $500,000 and its liabilities at between $500,001 and $1 million. Eric C Redman, Esq., at Redman Ludwig Pc Redman Ludwig PC serves as the Debtor's bankruptcy counsel. 1550 BLUE JAY WAY: Case Summary & 9 Unsecured Creditors ------------------------------------------------------- Debtor: 1550 Blue Jay Way, LLC a Delaware Limited Liability Company 3991 MacArthur Blvd., Suite 125 Newport Beach, CA 92660 Case No.: 16-15171 Chapter 11 Petition Date: December 22, 2016 Court: United States Bankruptcy Court Central District of California (Santa Ana) Judge: Hon. Catherine E. Bauer Debtor's Counsel: Marc C Forsythe, Esq. GOE & FORSYTHE, LLP 18101 Von Karman Avenue Ste 1200 Irvine, CA 92612 Tel: 949-798-2460 Fax: 949-955-9437 E-mail: kmurphy@goeforlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Jeffrey Yohai, managing member. A copy of the Debtor's list of nine unsecured creditors is available for free at http://bankrupt.com/misc/cacb16-15171.pdf 2424 ESSE: Case Summary & 8 Unsecured Creditors ----------------------------------------------- Debtor: 2424 ESSE, LLC 63 Bozarthtown Road Tabernacle, NJ 08088 Case No.: 16-34422 Nature of Business: Single Asset Real Estate Chapter 11 Petition Date: December 27, 2016 Court: United States Bankruptcy Court District of New Jersey (Trenton) Judge: Hon. Kathryn C. Ferguson Debtor's Counsel: William Mackin, Esq. SHERMAN SILVERSTEIN KOHL ROSE & PODOLSKY 308 Harper Drive, Suite 200 Moorestown, NJ 08057 Tel: 856-662-0700 Fax: 856-773-5805 E-mail: wmackin@shermansilverstein.com Total Assets: $4.37 million Total Liabilities: $2.96 million The petition was signed by Tammy Alvarez-Olmeda, owner. A copy of the Debtor's list of eight unsecured creditors is available for free at http://bankrupt.com/misc/njb16-34422.pdf 275 BROADHOLLOW: Loan Facing Imminent Default, Fitch Says --------------------------------------------------------- Fitch Ratings has downgraded one class and affirmed 20 classes of COBALT CMBS Commercial Mortgage Trust's (COBALT) commercial mortgage pass-through certificates series 2007-C2. KEY RATING DRIVERS The downgrade to class J is the result of realized losses. The affirmations of classes A-3 through A-JFL reflect continued paydown and relatively stable performance of the pool since Fitch's last rating action. Fitch remains concerned, however, with the resolution of the specially serviced loans/assets and the amount of highly levered loans. Fitch modeled losses of 14.1% of the remaining pool; expected losses on the original pool balance total 11.5%, including $104.6 million (4.3% of the original pool balance) in realized losses to date. As of the December 2016 distribution date, the pool's aggregate principal balance has been reduced by 49% to $1.23 billion from $2.42 billion at issuance. Interest shortfalls are currently affecting classes H through S. 2017 Maturities: Loan maturities are concentrated in 2017 with 86.8% of the pool maturing within the first four months of 2017 (excluding real estate owned [REO] assets). Specially Serviced Loans/Assets: There are 14 specially serviced loans/assets representing 15.6% of the pool, including five REO assets (4.6%). The fourth and fifth largest loans (combining for 5.2% of the pool) transferred to the special servicer in 2016 and are the two largest contributors to expected losses. The 90 Merrick loan (3.1%) transferred to the special servicer in July 2016 for imminent monetary default. The loan is secured by a 242,659 square foot office property located in East Meadow, New York. Current occupancy is reported to be 88%. The loan is scheduled to mature in February 2017, but difficulty in repayment is expected as the property is over-levered. The servicer indicates that foreclosure is likely. The 275 Broadhollow loan (2.7%) transferred in June 2016 also for imminent monetary default. The loan is secured by a 126,770 sf office property located in Melville, New York. The loan had previously transferred to the special servicer in June 2015, but returned to the master servicer after a loan modification could not be agreed upon. The property is currently 100% leased to Capital One, but the borrower has indicated that the tenant will be vacating upon its December 2018 lease expiration. The servicer indicates that foreclosure is likely with this loan as well. High Percentage of Interest-Only Loans: 55.8% of the pool is comprised of full-term interest only loans. There is also a large concentration (53.0%) of performing loans that are considered highly levered (those greater than 90% Fitch LTV). Defeasance: Per the servicer reporting, six loans (5.4% of the pool) are defeased. RATING SENSITIVITIES Negative Outlooks on classes A-MFX and A-M reflect the uncertainty surrounding the ultimate disposition of the specially serviced loans/assets, particularly the 90 Merrick and 275 Broadhollow loans that transferred to the special servicer in 2016. Negative rating migration is possible if performing loans, many of which are highly levered, are not able to refinance at maturity as expected. The distressed classes may be subject to further downgrades as additional losses are realized. With the growing potential for adverse selection as performing loans repay in 2017, upgrades are unlikely in the near-term. DUE DILIGENCE USAGE PURSUANT TO SEC RULE 17G-10 No third party due diligence was provided or reviewed in relation to this rating. Fitch downgrades the following class: --$19.4 million class J to 'Dsf' from 'Csf'; RE 0%. Fitch affirms the following classes but revises Rating Outlooks and REs as indicated: --$221.9 million class A-MFX at 'AAAsf'; Outlook to Negative from Stable; --$20 million class A-M at 'AAAsf'; Outlook to Negative from Stable; --$21.2 million class B at 'CCCsf'; RE 40%; --$27.2 million class C at 'CCsf'; RE 0%. Fitch affirms the following classes: --$474.7 million class A-3 at 'AAAsf'; Outlook Stable; --$137.7 million class A-1A at 'AAAsf'; Outlook Stable; --$102.6 million class A-JFX at 'Bsf'; Outlook Stable; --$100 million class A-JFL at 'Bsf'; Outlook Stable; --$21.2 million class D at 'CCsf'; RE 0%; --$15.1 million class E at 'CCsf'; RE 0%; --$18.1 million class F at 'Csf'; RE 0%; --$30.2 million class G at 'Csf'; RE 0%; --$24.2 million class H at 'Csf'; RE 0%; --$0 class K at 'Dsf'; RE 0%; --$0 class L at 'Dsf'; RE 0%; --$0 class M at 'Dsf'; RE 0%; --$0 class N at 'Dsf'; RE 0%; --$0 class O at 'Dsf'; RE 0%; --$0 class P at 'Dsf'; RE 0%; --$0 class Q at 'Dsf'; RE 0%. The class A-1, A-2 and A-AB certificates have paid in full. Fitch does not rate the class S certificates. Fitch previously withdrew the rating on the interest-only class X certificates. 500 NORTH AVENUE: Unsecureds To Get $250K Over 60-Month Period -------------------------------------------------------------- 500 North Avenue, LLC, filed with the U.S. Bankruptcy Court for the District of Connecticut a third amended disclosure statement and accompanying third amended plan of reorganization. Under the plan, Class 16 consists of the claims of the present unsecured creditors and those creditors that become unsecured as the result of (i) the application of Section 506(a) of the Code and (ii) the abandonment by the estate of the real property known as 28 York Street and 2060 East Main Street, Bridgeport, Connecticut. The unsecured creditors will receive a pro rata distribution of $250,000 over the period of 60 months from the Effective Date in semi-annual installments of $25,000 (twice per year) commencing no later than 60 days after the Effective Date of the Plan. This class is impaired. The Company plans to make payments to creditors from its account receivables, option payments, investment from its Equity Holder, and from rental income. The Company reasonably expects that sufficient revenue will be generated in order for the Company to make the required payment under the Plan and that the Plan as proposed is in the best interests of its creditors. The attainment of the objective of providing unsecured creditors with value that is not less than what would be received in a liquidation is therefore dependent on the Company's future profitability. A full-text copy of the Amended Disclosure Statement is available at: http://bankrupt.com/misc/ctb14-31094-309.pdf About 500 North Avenue 500 North Avenue, LLC, and Long Brook Station, LLC, filed chapter 11 petitions (Bankr. D. Conn. Case Nos. 14-31094 and 14-31095) on June 6, 2014. The petitions were signed by Joseph Regensburger, member. The Debtors are represented by Douglas S. Skalka, Esq., at Neubert, Pepe, and Monteith, P.C. The case is assigned to Judge Julie A. Manning. 500 North Avenue, LLC estimated assets at $1 million to $10 million and liabilities at $10 million to $50 million at the time of the filing. Long Brook Station, LLC estimated assets at $500,000 to $1 million and liabilities at $1 million to $10 million at the time of the filing. 90 MERRICK: Loan Facing Imminent Default, Fitch Says ---------------------------------------------------- Fitch Ratings has downgraded one class and affirmed 20 classes of COBALT CMBS Commercial Mortgage Trust's (COBALT) commercial mortgage pass-through certificates series 2007-C2. KEY RATING DRIVERS The downgrade to class J is the result of realized losses. The affirmations of classes A-3 through A-JFL reflect continued paydown and relatively stable performance of the pool since Fitch's last rating action. Fitch remains concerned, however, with the resolution of the specially serviced loans/assets and the amount of highly levered loans. Fitch modeled losses of 14.1% of the remaining pool; expected losses on the original pool balance total 11.5%, including $104.6 million (4.3% of the original pool balance) in realized losses to date. As of the December 2016 distribution date, the pool's aggregate principal balance has been reduced by 49% to $1.23 billion from $2.42 billion at issuance. Interest shortfalls are currently affecting classes H through S. 2017 Maturities: Loan maturities are concentrated in 2017 with 86.8% of the pool maturing within the first four months of 2017 (excluding real estate owned [REO] assets). Specially Serviced Loans/Assets: There are 14 specially serviced loans/assets representing 15.6% of the pool, including five REO assets (4.6%). The fourth and fifth largest loans (combining for 5.2% of the pool) transferred to the special servicer in 2016 and are the two largest contributors to expected losses. The 90 Merrick loan (3.1%) transferred to the special servicer in July 2016 for imminent monetary default. The loan is secured by a 242,659 square foot office property located in East Meadow, New York. Current occupancy is reported to be 88%. The loan is scheduled to mature in February 2017, but difficulty in repayment is expected as the property is over-levered. The servicer indicates that foreclosure is likely. The 275 Broadhollow loan (2.7%) transferred in June 2016 also for imminent monetary default. The loan is secured by a 126,770 sf office property located in Melville, New York. The loan had previously transferred to the special servicer in June 2015, but returned to the master servicer after a loan modification could not be agreed upon. The property is currently 100% leased to Capital One, but the borrower has indicated that the tenant will be vacating upon its December 2018 lease expiration. The servicer indicates that foreclosure is likely with this loan as well. High Percentage of Interest-Only Loans: 55.8% of the pool is comprised of full-term interest only loans. There is also a large concentration (53.0%) of performing loans that are considered highly levered (those greater than 90% Fitch LTV). Defeasance: Per the servicer reporting, six loans (5.4% of the pool) are defeased. RATING SENSITIVITIES Negative Outlooks on classes A-MFX and A-M reflect the uncertainty surrounding the ultimate disposition of the specially serviced loans/assets, particularly the 90 Merrick and 275 Broadhollow loans that transferred to the special servicer in 2016. Negative rating migration is possible if performing loans, many of which are highly levered, are not able to refinance at maturity as expected. The distressed classes may be subject to further downgrades as additional losses are realized. With the growing potential for adverse selection as performing loans repay in 2017, upgrades are unlikely in the near-term. DUE DILIGENCE USAGE PURSUANT TO SEC RULE 17G-10 No third party due diligence was provided or reviewed in relation to this rating. Fitch downgrades the following class: --$19.4 million class J to 'Dsf' from 'Csf'; RE 0%. Fitch affirms the following classes but revises Rating Outlooks and REs as indicated: --$221.9 million class A-MFX at 'AAAsf'; Outlook to Negative from Stable; --$20 million class A-M at 'AAAsf'; Outlook to Negative from Stable; --$21.2 million class B at 'CCCsf'; RE 40%; --$27.2 million class C at 'CCsf'; RE 0%. Fitch affirms the following classes: --$474.7 million class A-3 at 'AAAsf'; Outlook Stable; --$137.7 million class A-1A at 'AAAsf'; Outlook Stable; --$102.6 million class A-JFX at 'Bsf'; Outlook Stable; --$100 million class A-JFL at 'Bsf'; Outlook Stable; --$21.2 million class D at 'CCsf'; RE 0%; --$15.1 million class E at 'CCsf'; RE 0%; --$18.1 million class F at 'Csf'; RE 0%; --$30.2 million class G at 'Csf'; RE 0%; --$24.2 million class H at 'Csf'; RE 0%; --$0 class K at 'Dsf'; RE 0%; --$0 class L at 'Dsf'; RE 0%; --$0 class M at 'Dsf'; RE 0%; --$0 class N at 'Dsf'; RE 0%; --$0 class O at 'Dsf'; RE 0%; --$0 class P at 'Dsf'; RE 0%; --$0 class Q at 'Dsf'; RE 0%. The class A-1, A-2 and A-AB certificates have paid in full. Fitch does not rate the class S certificates. Fitch previously withdrew the rating on the interest-only class X certificates. A & ASSOCIATES: U.S. Trustee Unable to Appoint Committee -------------------------------------------------------- An official committee of unsecured creditors has not yet been appointed in the Chapter 11 case of A & Associates, Inc., as of Dec. 23, according to a court docket. A & Associates is represented by: Sherri B. Simpson, Esq. 1126 S. Federal Hwy, Ste 326 Ft. Lauderdale, FL 33316 Tel: 954.524.4141 Fax: 954.763.5117 Email: sbsecf@gmail.com Email: sbsimpson@simpson-law-group.com About A & Associates A & Associates, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S. D. Fla. Case No. 16-23524) on October 1, 2016. The petition was signed by Andrew Luchey, Jr., president. The case is assigned to Judge Paul G. Hyman, Jr. At the time of the filing, the Debtor estimated assets of less than $50,000 and liabilities of $1 million to $10 million. A.H HOME HEALTH: Hires Sobel as Bankruptcy Counsel -------------------------------------------------- A.H Home Health Care Service LLC, seeks authority from the U.S. Bankruptcy Court for the Eastern District of Pennsylvania to employ the Law Office of Jonathan J. Sobel as counsel to the Debtor. A.H Home Health requires Sobel to: a. counsel the Debtor pre-petition; b. prepare and file the Petition, along with the required initial supporting documentation; and c. attend to the preparation of all remaining Schedules, the Debtor's Statement of Financial Affairs and other required post-petition actions. Sobel will be paid at the hourly rate of $250. Sobel will be paid a retainer in the amount of $7,000. Sobel will also be reimbursed for reasonable out-of-pocket expenses incurred. Jonathan J. Sobel, member of the Law Office of Jonathan J. Sobel, 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. Sobel can be reached at: Jonathan J. Sobel, Esq. LAW OFFICE OF JONATHAN J. SOBEL 1500 Walnut Street, Suite 2000 Philadelphia, PA 19102 Tel: (215) 735-7535 Fax: (215) 735-7539 E-mail: Mate89@aol.com About A.H Home Health Care Service LLC A. H Home Health Care Services, LLC, filed a Chapter 11 bankruptcy petition (Bankr. E.D. Pa. Case No. 16-18573) on December 13, 2016, disclosing under $1 million in both assets and liabilities. The Debtor is represented by Jonathan J. Sobel, Esq. No official committee of unsecured creditors has been appointed in the case. ABDULHAY ASSOCIATES: Asks Court to Approve Disclosure Statement --------------------------------------------------------------- Abdulhay Associates, L.P., filed a motion asking the U.S. Bankruptcy Court for the Eastern District of Pennsylvania to approve their disclosure statement describing its plan of reorganization. The Debtor requests that the Court approve the disclosure statement as containing adequate information, with simultaneous approval of the voting procedures, together with the fixing of the last day for the acceptance or rejection of the plan and the filing of objections to said plan and fixing a date for a hearing on the confirmation of the proposed plan. Under the plan, Class 3 consists of the Unsecured Claims of all creditors. This class consists of the deficiency judgment obtained by ESSA Bank and against the Debtor. On or about April 4, 2016, ESSA Bank filed an Agreement to Revive its deficiency judgment in the amount of $1,610,717 and any deficiency claims. Commencing on the Effective Date, the Class 3 claimant will receive a total of $100,000 with 60 equal monthly payments of $1,000 and remainder paid on the first day of the 61st month. This amount would constitute a full settlement, satisfaction, release and discharge of the ESSA Bank Claim as to the Debtor. Ongoing operations will provide the Debtor with the ability to cure all administrative claims, sufficient working capital to maintain operations, and management assistance to effectuate a feasible reorganization. In addition, the limited partners will provide $100,000 in new value as a capital contribution to address any cash flow deficiencies under the projections and in exchange for all new limited partner interests of the Reorganizated Debtor. A full-text copy of the Disclosure Statement is available at: http://bankrupt.com/misc/paeb16-16713-50.pdf Headquartered in Orefield, PA, Abdulhay Associates filed for Chapter 11 bankruptcy protection (Bankr. E.D. Pa. Case No. 16-16713) on Sept. 23, 2016, with estimated assets of $1 million to $10 million and estimated liabilities of $1 million to $10 million. The petition was signed by Dr. Gazi Abdulhay, general partner of Abdulhay Associates, L.P. The Debtor did not include a list of its largest unsecured creditors when it filed the petition. ACHAOGEN INC: Growth Equity, et al., Hold 18% Stake as of Dec. 19 ----------------------------------------------------------------- In an amended Schedule 13D filed with the Securities and Exchange Commission, Growth Equity Opportunities Fund IV, LLC, New Enterprise Associates 15, L.P., NEA Partners 15, L.P., NEA 15 GP, LLC, Peter J. Barris, Forest Baskett, Anthony A. Florence, Jr., Krishna S. Kolluri, Joshua Makower, David M. Mott, Jon M. Sakoda, Scott D. Sandell, Peter W. Sonsini and Ravi Viswanathan disclosed that as of Dec. 19, 2016, they beneficially own 6,393,910 shares shares of common stock, $.001 par value, of Achaogen, Inc., representing 18.2 percent of the shares outstanding. A full-text copy of the regulatory filing is available at https://is.gd/GIve5q About Achaogen Achaogen, Inc. is a clinical-stage biopharmaceutical company passionately committed to the discovery, development, and commercialization of novel antibacterials to treat multi-drug resistant gram-negative infections. The Company is developing plazomicin, its lead product candidate, for the treatment of serious bacterial infections due to MDR Enterobacteriaceae, including carbapenem-resistant Enterobacteriaceae. In 2013, the Centers for Disease Control and Prevention identified CRE as a "nightmare bacteria" and an immediate public health threat that requires "urgent and aggressive action." Achaogen reported a net loss of $27.09 million in 2015, a net loss of $20.17 million in 2014 and a net loss of $13.11 million in 2013. As of Sept. 30, 2016, Achaogen had $80.66 million in total assets, $49.64 million in total liabilities and $31.01 million in total stockholders' equity. The Company's independent accounting firm Ernst & Young LLP, in Redwood City, California, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company's recurring losses from operations and its need for additional capital raise substantial doubt about its ability to continue as a going concern. ADVANCED ROOFING: Court Confirms Reorganization Plan ---------------------------------------------------- The Hon. Jack B. Schmetterer of the U.S. Bankruptcy Court for the District of Illinois issued an order approving the disclosure statement and confirming the plan of reorganization filed by Advanced Roofing & Woodworking, Inc on Nov. 15, 2016. Under the plan, Class 6 consists of all unsecured claims having claims equal to or less than $15,000. There are approximately 55 creditors in this Class with claims totaling approximately $149, 656.07. Class 6 claimants will receive 20% of their claims in 2 equal quarterly installments to begin in the first quarter following the Effective Date of the plan. This class is impaired under the plan. Class 7 consists of all allowed unsecured claims having claims greater than $15,000. There are approximately 13 creditors in this Class with claims totaling approximately $1,261,071.49. Claimants will receive 20% of their claims in 18 equal quarterly installments to begin the 3rd quarter following the Effective Date of the plan. This class is impaired. Class 6 and 7 will also share pro rate in any net recovery from preference and/or fraudulent transfer causes of action. Distribution from net recoveries from preference and/or fraudulent transaction(s) will be made after the resolution of all such causes of action. The plan will be implemented and creditors will be paid from the cash flow from operations of the business and future income. Advanced Roofing & Woodworking Advanced Roofing & Woodworking, Inc., sought Chapter 11 protection (Bankr. N.D. Ill. Case No. 15-27325) on Aug. 10, 2015, in Chicago. The case is assigned to Judge Jack B. Schmetterer. The Debtor is represented by Teresa L. Einarson, Esq. at Thomas & Einarson LTD. The Debtor estimated $500,000 to $1 million in assets and $1 million to $10 million in debt. The petition was signed by Charles Hankins, president. ALESSI FAMILY: Court Allows Cash Collateral Use Through Jan. 11 --------------------------------------------------------------- Judge John K. Olson of the U.S. Bankruptcy Court for the Southern District of Florida authorized The Alessi Family Limited Partnership to continue using cash collateral through Jan. 11, 2017. The Debtor's use of cash collateral will be on the same terms and conditions as the Court's Nov. 28, 2016 Order, which authorized the Debtor to use cash collateral until Dec. 31, 2016. The Debtor previously sought authorization to continue using cash collateral, contending that it needed to use cash collateral for the months of January 2017 and thereafter. The Debtor further contended that it has an immediate need to use its cash collateral in its ordinary operations. The Debtor's proposed monthly Budget provided for total expenses in the amount of $5,041 for its Washington Property, and $6,175 for its Lincoln Property. The Debtor related that Fusion Homes, LLC, may claim an interest in the cash collateral as it relates to both the Washington Property and the Lincoln Property, pursuant to mortgages on the Washington Property and the Lincoln Property. A hearing to consider the Debtor's further use of cash collateral beyond Jan. 11, 2017, is scheduled on Jan. 11, 2017 at 10:30 a.m. A full-text copy of the Order, dated Dec. 21, 2016, is available at http://bankrupt.com/misc/AlessiFamily2016_1625093jko_49.pdf About The Alessi Family Limited Partnership The Alessi Family Limited Partnership owns and operates two residential buildings. One is located at 1941 Washington Street, Hollywood, Florida and consists of eight separate residential apartments. The other is located at 1956 Lincoln Street, Hollywood, Florida and consists of 10 separate residential apartments. The Alessi Family Limited Partnership filed a chapter 11 petition (Bankr. S.D. Fla. Case No. 16-25093) on Nov. 9, 2016. The petition was signed by Daniel A. Alessi, general partner. The case is assigned to Judge John K. Olson. At the time of the filing, the Debtor had estimated $1 million to $10 million both assets and liabilities. The Debtor is represented by Brian S. Behar, Esq., at Behar, Gutt & Glazer, P.A. ALESSI FAMILY: Feb. 14 Disclosure Statement Hearing --------------------------------------------------- Judge John K. Olson of the U.S. Bankruptcy Court for the Southern District of Florida will convene a hearing on Feb. 14, 2017 at 10:30 a.m. to consider approval of the disclosure statement and accompanying plan of reorganization filed by The Alessi Family Limited Partnership on Dec. 20, 2016. The last day for filing and serving objections to the disclosure statement is on Feb. 7, 2017. On or before the Jan. 16, 2017, the Debtor shall serve a copy of this order on (i) all creditors; (ii) all equity security holders; (iii) all persons who have requested notice; and (iv) all other interested parties. The Plan contemplates that funding for the distribution to the secured creditors and the general unsecured creditors holding an allowed claim in this case will be derived from proceeds received by the Debtor in its operations. The funding will be from rental proceeds from the Washington Property or the Lincoln Property, or from mortgage payments received from the properties located at 552 Gorden Circle, Key Largo, FL, 2810 SW 57 thCourt, Dania Beach, FL, and 5441 SW 32"' Terrace, Dania Beach, FL. Furthermore, funding of the Plan will be derived from the sale of assets held by either Alessi or one of his business entities or family trust. This process has already begun, and thus far, Alessi has been able to generate over $230,000.00 in Personal Funding ready to fund the Plan. Class 4 consists of all Unsecured Claims. Upon the Effective Date of the Plan, the Debtor will cause payment representing a 5% distribution to the holders of Allowed General Unsecured Claims. There exists only one creditor that holds an Allowed General Unsecured Claim, namely Daniel Alessi, Sr. Daniel Alessi, Sr. holds an Allowed General Unsecured Claim in the amount of $87,000.00. Daniel Alessi, Sr., is a limited partner of the Debtor, and is an insider. Class 4 is impaired under the Plan. A full-text copy of the Disclosure Statement dated December 20, 2016, is available at: http://bankrupt.com/misc/flsb16-25093-48.pdf About The Alessi Family LP The Alessi Family Limited Partnership owns and operates two residential buildings. One is located at 1941 Washington Street, Hollywood, Florida and consists of eight separate residential apartments. The other is located at 1956 Lincoln Street, Hollywood, Florida and consists of 10 separate residential apartments. The Alessi Family Limited Partnership filed a chapter 11 petition (Bankr. S.D. Fla. Case No. 16-25093) on Nov. 9, 2016. The petition was signed by Daniel A. Alessi, general partner. The case is assigned to Judge John K. Olson. At the time of the filing, the Debtor had estimated $1 million to $10 million both assets and liabilities. The Debtor is represented by Brian S. Behar, Esq., at Behar, Gutt & Glazer, P.A. ALESSI FAMILY: U.S. Trustee Unable to Appoint Committee ------------------------------------------------------- An official committee of unsecured creditors has not yet been appointed in the Chapter 11 case of The Alessi Family Limited Partnership as of Dec. 23, according to a court docket. The Alessi Family Limited Partnership owns and operates two residential buildings. One is located at 1941 Washington Street, Hollywood, Florida and consists of eight separate residential apartments. The other is located at 1956 Lincoln Street, Hollywood, Florida and consists of 10 separate residential apartments. The Alessi Family Limited Partnership filed a chapter 11 petition (Bankr. S.D. Fla. Case No. 16-25093) on Nov. 9, 2016. The petition was signed by Daniel A. Alessi, general partner. The case is assigned to Judge John K. Olson. At the time of the filing, the Debtor had estimated $1 million to $10 million both assets and liabilities. The Debtor is represented by Brian S. Behar, Esq., at Behar, Gutt & Glazer, P.A. AMERICAN COLLEGE: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------------- Debtor: American College of Nursing, LLC 1850 Gateway Blvd., Suite 100 Concord, CA 94520 Case No.: 16-43386 Chapter 11 Petition Date: December 9, 2016 Court: United States Bankruptcy Court Northern District of California (Oakland) Judge: Hon. Roger L. Efremsky Debtor's Counsel: Ruth Elin Auerbach, Esq. LAW OFFICES OF RUTH ELIN AUERBACH 77 Van Ness Ave. #201 San Francisco, CA 94102 Tel: (415)673-0560 Fax: (415) 673-0562 E-mail: attorneyruth@sbcglobal.net Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Leticia Perez, managing member. A copy the Debtor's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/canb16-43386.pdf AMERICAN HEALTH: AM Best Affirms B-Fair Financial Strength Rating ----------------------------------------------------------------- A.M. Best has affirmed the Financial Strength Rating (FSR) of B (Fair) and the Long-Term Issuer Credit Rating (Long-Term ICR) of "bb+" of American Health and Life Insurance Company (AHLIC). Additionally, A.M. Best has affirmed the FSR of B (Fair) and the Long-Term ICR of "bb+" of Triton Insurance Company (Triton). Both companies are domiciled in Fort Worth, TX. Concurrently, A.M. Best has affirmed the FSRs of B (Fair) and Long-Term ICRs of "bb+" of Merit Life Insurance Co. (Merit Life) and Yosemite Insurance Company (Yosemite). Both entities are domiciled in Evansville, IN. The outlook of these Credit Ratings (ratings) is stable. All entities are wholly owned by OneMain Holdings, Inc. (OneMain) (NYSE:OMF), formerly Springleaf Holdings, Inc. The rating and outlook affirmations of AHLIC and Merit Life reflect the risk profile of their parent, OneMain, a below investment grade, consumer finance company whose operating flexibility and business profile had been challenged by the credit crisis and the subsequent difficult macroeconomic environment. A.M. Best notes that OneMain continues to make progress in repaying near-term debt and improving its liquidity, as well as improving operating performance. AHLIC maintains a favorable market position in the credit insurance market, and the company historically has reported favorable operating income, contributing to solid risk-adjusted capitalization. However, top-line growth has been challenged more recently, as closed block runoff is outpacing premium growth. Merit Life continues to report volatility within its credit life operations and a modestly declining premiums trend. A.M. Best believes the organization as a whole will work to consolidate entities, and improve efficiencies and scale within its insurance operations near term. The ratings and outlooks of Triton and Yosemite reflect their historically strong underwriting and operating profitability, superior risk-adjusted capitalization, management's expertise in consumer finance-oriented products and the business opportunities derived from its affiliates. Partially offsetting these positive rating factors are the dependence on OneMain as the companies' primary distribution source, and in the case of Triton, the underwriting sensitivity of its involuntary unemployment insurance business regarding initial unemployment claims filed in the United States and Canada. In addition, the companies' future financial constraints also were considered in terms of underwriting performance trends and dividends, as these may stress risk-adjusted capital levels needed to support future growth. ANIXTER INT'L: Egan-Jones Cuts Sr. Unsecured Ratings to BB ---------------------------------------------------------- Egan-Jones Ratings Company, on Dec. 12, 2016, lowered the senior unsecured ratings on debt issued by Anixter International Inc. to BB from BB+. Anixter International is a company based in Glenview, Illinois, and founded in 1957. The company supplies communications and security products and electrical and electronic wire and cable. ANK LLC: Disclosures OK'd; Plan Confirmation Hearing on Feb. 22 --------------------------------------------------------------- The Hon. Robert A. Gordon of the U.S. Bankruptcy Court for the District of Maryland has approved ANK, LLC's disclosure statement dated Oct. 17, 2016, referring to the Debtor's Chapter 11 plan. The Court will hold on Feb. 22, 2017, at 10:00 a.m. the hearing on the confirmation of the Plan. Jan. 17, 2017, is the last day for filing objections to the confirmation of the Plan. It is also the deadline for filing written acceptances or rejections of the Plan. As reported by the Troubled Company Reporter on Oct. 25, 2016, the Debtor filed with the Court a second amended disclosure statement referring to the Debtor's second amended plan of reorganization dated Oct. 17, 2016. Under the Plan, holders of Class 6 General Unsecured Claims will each receive a pro rata percentage of a single payment of $1,458,305.43, which will be made on or before Dec. 31, 2036. About ANK LLC ANK LLC owns and operates an office building located at 31 Walker Avenue, Pikesville, Maryland, at which it leases commercial office space to tenants. The Debtor sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Md. Case No. 15-27357) on Dec. 17, 2015. The petition was signed by Brenda J. Faulk, sole and managing member. The case is assigned to Judge Robert A. Gordon. At the time of the filing, the Debtor estimated its assets and debts at $1 million to $10 million. APOLLO MEDICAL: Inks New Employment Pacts with Executive Officers ----------------------------------------------------------------- Apollo Medical Management, Inc., a wholly-owned subsidiary of Apollo Medical Holdings, Inc., entered into new employment agreements with Warren Hosseinion, M.D., Adrian Vazquez, M.D., Gary Augusta and Mihir Shah. The new Employment Agreements were approved by the Compensation Committee of the Board of Directors of the Company and replace the employment agreements previously extended to Dr. Hosseinion and Dr. Vazquez on March 28, 2014, as amended on Jan. 12, 2016, and as amended and restated on June 29, 2016, and to Mr. Shah on July 21, 2016. The Employment Agreements entitle Dr. Hosseinion, Mr. Shah and Dr. Vazquez to continue their current base salary, offer Mr. Augusta a base salary of $300,000 and revise certain term, bonus and severance arrangements as provided therein. Each of the new Employment Agreements has an initial term of three years with automatic annual renewals and entitles the executive to twenty business days of paid time off per calendar year. Accrued and unused paid time off will be paid in cash at the end of each calendar year. Under the new Employment Agreements, each executive is eligible to receive an annual bonus and is granted certain vesting rights and Accrued Benefits if the executive's employment is terminated without "Cause" or if the executive resigns with "Good Reason" during the employment term. About Apollo Medical Glendale, Calif.-based Apollo Medical Holdings, Inc. (OTCMKTS:AMEH) -- http://www.apollomed.net/-- provides hospitalist services in the Greater Los Angeles, California area. Apollo Medical reported a net loss of $9.34 million on $44.0 million of net revenues for the year ended March 31, 2016, compared with a net loss of $1.80 million on $33.0 million of net revenues for the year ended March 31, 2015. As of Sept. 30, 2016, Apollo Medical had $14.95 million in total assets, $9.15 million in total liabilities, $7.07 million in mezzanine equity, and a total stockholders' deficit of $1.28 million. APOLLO MEDICAL: Signs Merger Agreement with Network Medical ----------------------------------------------------------- Apollo Medical Holdings, Inc. and Network Medical Management, Inc., one of the largest healthcare Management Services Organizations (MSOs) in the United States, announced that they have signed a definitive merger agreement pursuant to which the companies will combine in a stock-for-stock merger transaction. On a pro forma basis, the combined organization, which will continue as Apollo Medical Holdings, would have had more than $330 million in revenues for the twelve months ended on Dec. 31, 2015, and would provide medical management for over 700,000 patients through a network of over 3000 healthcare professionals and over 400 employees. The combination of ApolloMed and NMM brings together two leading, complementary healthcare organizations to form one of the nation's largest integrated population health management companies, which will be well positioned for the ongoing transition of U.S. healthcare to value-based reimbursements. Headquartered in Alhambra, CA and founded in 1994, NMM is a leading physician-led healthcare organization that delivers a sophisticated level of comprehensive healthcare management services to a client base consisting of health plans, independent practice associations (IPAs), hospitals, physicians and other health care networks. NMM currently is responsible for coordinating the care for over 600,000 covered patients in Southern, Central and Northern California through a network of ten IPAs with over 2000 contracted physicians. Under the terms of the merger agreement, NMM shareholders will own 82% and ApolloMed shareholders will own 18% of issued and outstanding shares at closing, and are expected to be approximately 80% and 20% respectively on a fully diluted basis. Additionally, NMM has agreed to relinquish its redemption rights relating to preferred stock it owns in ApolloMed. The transaction was approved unanimously by the Board of Directors of both companies. Upon closing of the transaction, Thomas Lam, M.D., current chief executive officer of NMM, and Warren Hosseinion, M.D., will be co-chief executive officers of the combined company. Kenneth Sim, M.D., who currently serves as Chairman of NMM, will be Executive Chairman of Apollo Medical Holdings. Gary Augusta, current executive chairman of Apollo Medical Holdings, will be president, Mihir Shah will continue as chief financial officer, and Hing Ang, current chief financial officer of NMM will be the chief operating officer. Adrian Vazquez, M.D. and Albert Young, M.D. will be co-chief medical officers. The Board of Directors will consist of nine directors, five appointees (including three independent directors) from NMM and four appointees (including two independent directors) from ApolloMed. "We are excited to announce this strategic transaction with Network Medical Management to create one of the leading population health management companies in the nation," stated Warren Hosseinion, M.D., chief executive officer of Apollo Medical Holdings. "The merger will create a platform with a comprehensive suite of solutions for physicians, hospitals, health plans and accountable care organizations. We see tremendous growth opportunities ahead." "Our two organizations complement each other and will allow us to advance our integrated care delivery model," stated Thomas Lam, M.D., chief executive officer of Network Medical Management. "We look forward to the opportunity to combine the resources of both NMM and ApolloMed, and are really excited about the future." "Both of our organizations have a history of providing coordinated care that is cost effective and focused on outcomes," stated Kenneth Sim, M.D., Chairman of Network Medical Management. "Through this combination, we will create an industry leader in the transition of U.S. healthcare to value-based reimbursements." "This merger is a transformative step in our growth strategy and for generating shareholder value," stated Gary Augusta, executive chairman of Apollo Medical Holdings. "Having the necessary scale, leadership, technology operations and capital is essential in today's U.S. healthcare delivery market. On behalf of the ApolloMed Board, we look forward to welcoming our new partners." Approvals The transaction, which is expected to close in the first half of calendar year 2017, is subject to antitrust regulatory clearance and other closing conditions, as well as approval by ApolloMed and NMM shareholders. Advisors BofA Merrill Lynch is acting as exclusive financial advisor to ApolloMed. McDermott Will & Emery is serving as legal counsel to ApolloMed. Vantage Point Advisors is acting as exclusive financial advisor to Network Medical Management and the Law Offices of Tin Kin Lee served as NMM's legal counsel. A full-text copy of the Agreement and Plan of Merger is available for free at https://is.gd/nAQ73Q About Apollo Medical Glendale, Calif.-based Apollo Medical Holdings, Inc. (OTCMKTS:AMEH) -- http://www.apollomed.net/-- provides hospitalist services in the Greater Los Angeles, California area. Apollo Medical reported a net loss of $9.34 million on $44.0 million of net revenues for the year ended March 31, 2016, compared with a net loss of $1.80 million on $33.0 million of net revenues for the year ended March 31, 2015. As of Sept. 30, 2016, Apollo Medical had $14.95 million in total assets, $9.15 million in total liabilities, $7.07 million in mezzanine equity, and a total stockholders' deficit of $1.28 million. APRICUS BIOSCIENCES: Amends Executive Pacts with Management Team ---------------------------------------------------------------- The Board of Directors of Apricus Biosciences, Inc. approved certain revisions to the existing employment agreements with the Company's senior management team in order to retain and incentivize those individuals to achieve the Company's strategic objectives regarding Vitaros, Richard W. Pascoe, chief executive officer and secretary, Brian Dorsey, senior vice president, chief development officer, and Neil Morton, senior vice president, chief business officer. Since retaining the senior management team is critical to the Company's success and the achievement of its key corporate objectives, the Board determined to amend the employment agreements for the aforementioned individuals to: (i) increase the severance benefits upon an involuntary termination in the event of a change of control from 12 months' salary to 18 months' salary; (ii) increase the healthcare benefits provided following an involuntary termination within 12 months following a change of control from 12 months to 18 months; and (iii) change the methodology for calculation of the bonus component of the severance payable upon an involuntary termination to correspond to the officer's target bonus as opposed to an average of the bonuses paid to such officer for prior years. All other material terms and conditions of their existing employment agreements will continue in full force and effect. About Apricus Biosciences Based in San Diego, California, Apricus Biosciences Inc (NASDAQ:APRI) develops products in the areas of urology and rheumatology. The Company's drug delivery technology is a permeation enhancer called NexACT. The Company has over two product candidates in Phase II development, fispemifene for the treatment of symptomatic male secondary hypogonadism and RayVa for the treatment of Raynaud's phenomenon, secondary to scleroderma. The Company has a commercial product, Vitaros for the treatment of erectile dysfunction (ED), which is in development in the United States, approved in Canada and marketed throughout Europe. Apricus reported a net loss of $19.02 million in 2015, a net loss of $21.8 million in 2014 and a net loss of $16.9 million in 2013. As of Sept. 30, 2016, Apricus had $8.41 million in total assets, $15.94 million in total liabilities and a total stockholders' deficit of $7.53 million. BDO USA, LLP, in La Jolla, California, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company has negative working capital and has suffered recurring losses and negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern. ARM VENTURES: Unsecureds To Get $300,000 Over 5 Years ----------------------------------------------------- Arm Ventures, LLC, filed with the U.S. Bankruptcy Court the Southern District of Florida a first amended disclosure statement for their first amended plan of reorganization, which proposes to give unsecured creditors a distribution of approximately 37% of their allowed claims. Class 5 consists of all Unsecured Claims, including the Ocean Bank Unsecured Claim, not otherwise classified in the plan. Under the plan, Holders of Allowed Class 5 Claims will be paid the lesser of (i) the Allowed Amount of such Class 5 Claim, or (ii) the Holder's pro rata share of $300,000 in total Payments to Class 5 Claims over the life of the Plan. The Ocean Bank Judgment Debtors Class 5 Claims Fund will be established by the Reorganized Debtor, which will be funded exclusively by the Ocean Bank Judgment Debtors in order to assist the Reorganized Debtor to make the annual payments to the Holders of Allowed Class 5 Claims in the amount of $12,000 annually for a total of $60,000 over the life of the plan. The Reorganized Debtor will make equal annual payments of $60,000 to Holders of Allowed Class 5 Claims, beginning on the date that is 30 days after the first anniversary of the Effective Date and thereafter on an annual basis, with the last payment to be made on the fifth anniversary of the Effective Date, for a total amount of $300,000 over the life of the plan to be paid to holders of Allowed Unsecured Claims. The Debtor believes that based on the scheduled unsecured claims along with the Ocean Bank Unsecured Claim, the total amount of unsecured claim is $809,831.50. Accordingly, as it stands, Holders of unsecured claims, including Ocean Bank on account of the Ocean Bank Unsecured Claim will receive approximately a 37% distribution under the plan. Class 5 is impaired under the plan. The plan provides for the continued operation of the Debtor as the Reorganized Debtor. It also provides for cash payments to Holders of Allowed Claims, except Holders of Equity Interests, all as more particularly described in Articles 3 and 5 of the plan. The plan will be implemented on the Effective Date, and the primary source of the funds necessary to implement the plan initially will be contributions from the Ocean Bank Judgment Debtors. At the present time, the Debtor believes that the Reorganized Debtor will have sufficient funds, as of the Effective Date, to pay in full the expected payments required under the plan. A full-text copy of the Disclosure Statement is available at: http://bankrupt.com/misc/flsb16-23633-99.pdf About Arm Ventures Arm Ventures, LLC filed a Chapter 11 petition (Bankr. S.D. Fla. Case No.: 16-23633) on October 4, 2016, and is represented by Mark S. Roher, Esq., in Fort Lauderdale, Florida. At the time of filing, the Debtor had $0 to $50,000 in estimated assets and $1 million to $10 million in estimated liabilities. The petition was signed by Michael Rosenbaum, authorized manager. The Debtor listed Ocean Bank as its largest unsecured creditor holding a claim of $250,000. ARMAND EXTERMINATING: Hires Barron & Kogan as Accountant -------------------------------------------------------- Armand Exterminating, Inc., d/b/a Armand Professional Services, Inc., seeks authority from the U.S. Bankruptcy Court for the Southern District of Florida to employ Barron & Kogan, CPA as accountant to the Debtor. Armand Exterminating requires Barron & Kogan to: (a) perform accounting and tax services; (b) create and file tax returns for 2016 for the Debtor, along with any tax advice related thereto; (c) advise the Debtor with respect to its responsibilities in complying with the U.S. Trustee's Operating Guidelines and Reporting Requirements, to the extent necessary; and (d) assist the Debtor in providing logistical support for the conduct of negotiations with its creditors, and in the preparation of a plan. The Debtor owed Barron & Kogan $13,311 pre-petition. Barron & Kogan waived its right to receive or file a claim for the pre-petition amounts due. Barron & Kogan will also be reimbursed for reasonable out-of-pocket expenses incurred. Hope Barron, member of Barron & Kogan, CPA, 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. Barron & Kogan can be reached at: Hope Barron BARRON & KOGAN, CPA 12788 W. Forest Hill Blvd, Suite 1003 Wellington, FL 33414 Tel: (561) 795-4448 About Armand Exterminating Armand Exterminating, Inc., aka Armand Professional Services, Inc., based in Royal Palm Beach, Florida, filed a Chapter 11 petition (Bankr. S.D. Fla. Case No. 16-21903) on August 29, 2016. The Hon. Erik P. Kimball presides over the case. Nadine V. White-Boyd, Esq., at White-Boyd Law, P.A., serves as bankruptcy counsel. In its petition, the Debtor estimated $500,000 to $1 million in assets and $1 million to $10 million in liabilities. The petition was signed by Scott B. Armand, president. ASCENT GROUP: Hires Gardere Wynne as Counsel -------------------------------------------- Ascent Group, LLC, d/b/a Physicians ER Oak Lawn, seeks authority from the U.S. Bankruptcy Court for the Northern District of Texas to employ Gardere Wynne Sewell LLP as counsel to the Debtor. Ascent Group requires Gardere Wynne to: a. advise the Debtor of its powers and duties in the management of its business; b. attend meetings and negotiate with representatives of creditors and other parties in interest; c. assist the Debtor in the preparation of all administrative documents required to be filed or prepared herein, and to prepare, on behalf of the Debtor, all necessary applications, motions, answers, responses, orders, reports, and other legal documents required; d. assist the Debtor in obtaining Court approval for use of cash collateral and debtor-in-possession financing and other negotiations with secured creditors; e. take such action as is necessary to preserve and protect the Debtor's assets and interests therein, including prosecuting actions on the Debtor's behalf, defending any action commenced against the Debtor, and representing the Debtor's interests in negotiations concerning litigation in which the Debtor is involved, including objections to claims filed against the estate; f. advise the Debtor in connection with any potential sale of assets; g. assist the Debtor in the formulation of a disclosure statement and in the formulation, confirmation, and consummation of a chapter 11 Plan; h. appear before the Court, any appellate courts and the United States Trustee and protect the interests of the Debtor and the assets in its estate before such courts and the United States Trustee; i. consult with the Debtor regarding tax matters; and j. perform any and all other legal services that may be necessary to protect the rights and interests of the Debtor and its estate in this proceeding and any actions hereafter commenced in the Chapter 11 Case. Gardere Wynne will be paid at these hourly rates: Marcus A. Helt, Partner $500 Thomas C. Scannell, Associate $385 Matthew J. Pyeatt, Associate $280 Gardere Wynne will be paid a retainer in the amount of $16,141.50. Gardere Wynne will also be reimbursed for reasonable out-of-pocket expenses incurred. Marcus A. Helt, member of Gardere Wynne Sewell 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 Debtor and its estates. Gardere Wynne can be reached at: Marcus A. Helt, Esq. GARDERE WYNNE SEWELL LLP 2021 McKinney Avenue, Suite 1600 Dallas, TX 75201 Tel: (214) 999-3000 Fax: (214) 999-4667 E-mail: mhelt@gardere.com About Ascent Group Ascent Group, LLC d/b/a Physicians ER Oak Lawn filed a Chapter 11 petition (Bankr. N.D. Tex. Case No. 16-34436), on November 14, 2016. The petition was signed by Karen Kuo, member. The case is assigned to Judge Stacey G. Jernigan. The Debtor is represented by Marcus Alan Helt, Esq., Gardere Wynne Sewell LLP. At the time of filing, the Debtor had estimated $1 million to $10 million in both assets and liabilities. AV HOMES: Egan-Jones Hikes Sr. Unsecured Ratings to B+ ------------------------------------------------------ Egan-Jones Ratings Company, on Dec. 5, 2016, upgraded the senior unsecured ratings of debt issued by AV Homes Inc. to B+ from B. AV Homes, Inc. engages in the homebuilding and community development businesses in Florida, Arizona, and the Carolinas markets. AVATAR PACKAGING: Can Use Centennial Bank Cash on Final Basis ------------------------------------------------------------- Judge K. Rodney May of the U.S. Bankruptcy Court for the Middle District of Florida, authorized Avatar Packaging, Inc. to the use Centennial Bank's cash collateral. The Debtor was directed to pay adequate protection to Centennial Bank in the amount of $5,000 per month. Judge May held that the funds which Centennial Bank had set off pre-petition, in the amount of $20,729, will be deemed additional adequate protection payments and applied to the post petition months of September, October, and November 2016. Centennial Bank was granted a replacement lien on and in all property acquired or generated post-petition by the Debtor's continued operations to the same extent and priority and of the same kind and nature as they would have had prior to the filing of the bankruptcy case. The Debtor was also directed to maintain, with financially sound and reputable insurance companies, insurance of the kind covering the Collateral, in accordance with and in compliance with the U.S. Trustee Guidelines, naming the Lenders as loss payees as they may request and as their interest may appear. The Debtor's authorization to use cash collateral will terminate until one or more of the following occurs: (a) This case is converted to Chapter 7 or dismissed; (b) The appointment of a trustee; (c) The confirmation of a plan; (d) Termination upon notice and hearing in accordance with this Order; and (e) The failure of the Debtor to make payment or other default under the order upon notice to the Court of such default. A full-text copy of the Final Order, dated December 20, 2016, is available at http://tinyurl.com/j5p2qsu About Avatar Packaging Avatar Packaging, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 16-08094) on Sept. 20, 2016. The petition was signed by Vance D. Fairbanks, Jr., chief executive officer. At the time of the filing, the Debtor disclosed $1.79 million in assets and $1.85 million in liabilities. The Debtor is represented by Samantha L. Dammer, Esq., at Tampa Law Advocates, P.A. AVERY LAND: Wants to Move Plan Filing Period Through March 23 ------------------------------------------------------------- Avery Land Group, LLC requests the U.S. Bankruptcy Court for the District of Nevada to extend the periods during which only the Debtor may file a chapter 11 plan and solicit acceptances to such plan, through March 23, 2017 and May 22, 2017, respectively. The Debtor contends that only until the deadline for filing proofs of claim has passed on January 11, 2017 and the results of the Utica and Tiger auction sales are known will the Debtor be in a position to meaningfully assess how far down the waterfall the equity cushion realized by said sales goes and by how much it needs to augment that realized cushion by various other plan funding devices, rather than awaiting a confirmation order for approval thereof as means of plan execution. The Debtor relates that its Motion for Order Authorizing Sale of Equipment Subject to Master Lease Agreement With Utica Leaseco, LLC has been set for hearing on January 4, 2017. The Debtor further relates that its Application to Employ and Compensate Tiger Capital Group, LLC and Rabin Worldwide, Inc., as Auctioneers and Motion for Order Authorizing Sale of Equipment and Related Assets has been set for hearing on December 29, 2016. However, pursuant to Bankruptcy Code 1121(b), the Debtor's initial exclusive filing period and its exclusive solicitation period is set to expire on January 7, 2017 and March 8, 2017, respectively. The Debtor's motion will be heard on January 18, 2017 at 1:30 p.m. About Avery Land Group, LLC Avery Land Group, LLC, based in Las Vegas, NV, filed a Chapter 11 petition (Bankr. D. Nev. Case No. 16-14995) on Sept. 9, 2016. The case is assigned to Judge August B. Landis. The Debtor is represented by Brett A. Axelrod, Esq., at Fox Rothschild, LLP. The Debtor estimated assets at $500,000 to $1 million and liabilities at $1 million to $10 million. The petition was signed by James M. Rhodes, manager. No official committee of unsecured creditors has been appointed in the case. The Debtor has retained Anne M. Loraditch, Esq., at The Bach Law Firm, LLC as conflicts counsel. BANKERS LIFE: A.M. Best Lowers LT Issuer Credit Rating to 'bb' -------------------------------------------------------------- A.M. Best has downgraded the Long-Term Issuer Credit Rating (Long-Term ICR) to "bb" from "bb+" and affirmed the Financial Strength Rating of B (Fair) of Bankers Life Insurance Company (Bankers Life) (St. Petersburg, FL). In addition, A.M. Best has placed these Credit Ratings (ratings) under review with positive implications. These actions follow the announcement that Bankers Life has been acquired by Southland National Holdings, Inc. (SNH), a member of the Eli Global family of companies, from Bankers Insurance Company (BIC), whose ultimate parent is Menke 2013 Trust. Following the acquisition by SNH, Bankers Life was transferred to a newly formed holding company, BLI Holdings, Inc., which is ultimately owned by Greg E. Lindberg and managed by Global Bankers Insurance Group (Global Bankers). Global Bankers will operate as the management company for all of Eli Global's insurance operations, consisting of a diversified group of life and annuity insurance carriers in the United States and abroad. The downgrade of the Long-Term ICR recognizes that Bankers Life no longer benefits from the ownership by and relationship with Bankers Insurance Group, Inc. (BIG). The under review status reflects the evolving business and financial strategies for Bankers Life as a member of the insurance operations of Eli Global. For the most part, Bankers Life markets deferred fixed annuities. During 2015, Bankers Life experienced a decline in risk-adjusted capitalization in addition to a sizable decline in direct premiums written. The company is licensed in 38 states and the District of Columbia. Based on initial discussions with Global Bankers management, Bankers Life will operate independent of Global Bankers' other insurance subsidiaries including its rated subsidiary, Colorado Bankers Life insurance Company. Still, Bankers Life should benefit through integration and cost sharing with affiliated Global Bankers companies. The ratings of Bankers Life will remain under review with positive implications pending detailed discussions with the new management team and until A.M. Best receives more definitive information from management regarding Bankers Life's business and capitalization plans, which is expected to occur in the near term. The implications are positive, recognizing Global Bankers' plans to bolster the capital and surplus of Bankers Life and to manage the company with higher risk-adjusted capitalization than the company's recent trends. BERTELLI REALTY: Case Summary & 8 Unsecured Creditors ----------------------------------------------------- Debtor: Bertelli Realty Group, Inc. 160 Chapin Road Hampden, MA 01036 Case No.: 16-31081 Nature of Business: Single Asset Real Estate Chapter 11 Petition Date: December 21, 2016 Court: United States Bankruptcy Court District of Massachusetts (Springfield) Judge: Hon. Melvin S. Hoffman Debtor's Counsel: Louis S. Robin, Esq. LAW OFFICES OF LOUIS S. ROBIN 1200 Converse Street Longmeadow, MA 01106 Tel: (413) 567-3131 E-mail: louis.robin.bankruptcyECF@gmail.com louis.robin@prodigy.net Total Assets: $1.80 million Total Liabilities: $585,088 The petition was signed by Brent J. Bertelli, president. A copy of the Debtor's list of eight unsecured creditors is available for free at http://bankrupt.com/misc/mab16-31081.pdf BGM PASADENA: Unsecureds To Recoup 5% Under Lender's Plan --------------------------------------------------------- The U.S. Bankruptcy Court for the Central District of California will hold on Jan. 25, 2017, at 2:00 p.m. the hearing to consider senior secured creditor Cantor Group, LLC's disclosure statement referring to the plan of reorganization for BGM Pasadena, LLC. Cantor Group, an assignee of the secured claim of Citizens Business Bank, filed a Plan which proposes the payment, in full, of all allowed claims at or as soon as practicable following, the closing of the sale, with allowed general unsecured creditors to receive 5% interest through the date of full payment on their Allowed Claim; and the appointment of an independent fiduciary, referred to as the plan agent, to replace the Debtor's current management, to market and solicit overbids on the Debtor's real property, to make distributions to holders of Allowed Claims, and to perform other functions more particularly described in the Creditor's Plan. The sale of the Debtor's real property interests for no less than $9,500,000. The Summary of the Plan can be reached at: http://bankrupt.com/misc/cacb15-27833-568.pdf The Plan was filed by attorney for Cantor Group: David S. Kupetz, Esq. Asa S. Hami, Esq. Jessica L. Vogel, Esq. SULMEYERKUPETZ A PROFESSIONAL CORPORATION 333 South Hope Street, Thirty-Fifth Floor Los Angeles, California 90071-1406 Tel: (213) 626-2311 Fax: (213)629-4520 E-mail: dkupetz@sulmeyerlaw.com ahami@sulmeyerlaw.com jvogel@sulmeyerlaw.com BGM Pasadena, LLC, a single asset real estate, filed Chapter 11 bankruptcy petition (Bankr. C.D. Cal. Case No. 15-27833) on Nov. 20, 2015. Greg Galletly, the manager, signed the petition. Judge Richard M. Neiter has been assigned the case. The Debtor estimated assets in the range of $10 million to $50 million and liabilities of at least $1 million. James A. Tiemstra, Esq., and Lisa Lenherr, Esq., at Tiemstra Law Group PC, in Oakland, California, serve as counsel to the Debtor. BIRCH GROVE: Can Continue Using Cash Collateral Through January 31 ------------------------------------------------------------------ Judge Carl L. Bucki of the U.S. Bankruptcy Court for the Western District of New York authorized Birch Grove Landscaping & Nursery, Inc. to use the cash collateral of the Bank of Akron and the Estate of Gordon E. Fisher, on an interim basis through January 31, 2017. The approved Budget covers the period beginning December 26, 2016 through January 30, 2017, and projects total cash use of $25,316, comprising of operating expenditures in the sum of $21,449 and financing expenditures of $3,867. Bank of Akron and the Fisher Estate were granted rollover replacement liens in post-petition assets of the Debtor of the same validity, extent and relative priority and on the same types and kinds of collateral as they possessed pre-petition, to the extent of cash collateral actually used. The Debtor was directed to pay the Bank of Akron, the approximate amount of $28,057, from the proceeds of the collections of its outstanding accounts receivable due from Sicoli Construction Services, whenever that receivable is collected. A further hearing on the Debtor's use of cash collateral after January 31, 2017 will be held on January 23, 2017 at 10:00 a.m. However, the Parties and/or the Office of the U.S. Trustee may seek a hearing prior to January 23, 2017 regarding the Debtor's continued use of cash collateral. A full-text copy of the Thirteenth Interim Order, entered on December 20, 2016, is available at https://is.gd/7mL1Uq About Birch Grove Landscaping & Nursery Headquartered in East Aurora, New York, Birch Grove Landscaping & Nursery, Inc., filed for Chapter 11 bankruptcy protection (Bankr. W.D.N.Y. Case No. 15-11984) on Sept. 18, 2015, estimating its assets and liabilities at between $1 million and $10 million each. The petition was signed by Jason L. Burford, chief operating officer. Judge Carl L. Bucki presides over the case. Daniel F. Brown, Esq., at Anreozzi, Bluestein, Weber, Brown, LLP, serves as the Debtor's bankruptcy counsel; and Lewandowski & Associates as its special counsel BLACKMAN COMMUNITY WATER: Seeks March 31 Exclusivity Extension -------------------------------------------------------------- Blackman Community Water System, Inc., asks the U.S. Bankruptcy Court for the Northern District of Florida to extend the exclusivity period through March 31, 2017. The Debtor relates that pursuant to a Stipulated Order granting an extension of the Debtor's exclusivity period, the Debtor would have until December 21, 2016 to file and solicit acceptances of a plan. The Debtor tells the Court that the requested extension is necessary for the Debtor to: (a) formulate and implement a water usage rate structure change which included allowing sufficient notice to the users prior to the rate change going into effect; (b) gather sufficient, observable data regarding the effects of the rate structure change; and (c) analyze the results of the rate change. However, counsel for the Debtor has not had an opportunity to confer with counsel for the USDA/Rural or the U.S. Trustee's Office, but they have scheduled to conduct a teleconference on December 29, 2016. The Debtor believes the extension is in the best interests of the Debtor and its creditors, particularly the USDA/Rural, as it will allow the parties sufficient time to engage in good faith attempts towards a successful reorganization of the Debtor. About Blackman Community Water System Blackman Community Water System Inc. filed a Chapter 11 petition (Bankr. N.D. Fla. Case No. 16-30031) on Jan. 15, 2016. The petition was signed by Randall Ward, president. The Debtor disclosed assets at $5.32 million and debts at $1.96 million. The Debtor is represented by Ashley B. Rogers, Esq., at Chesser & Barr P.A. BLUE BIRD: S&P Affirms Then Withdraws 'B' CCR --------------------------------------------- S&P Global Ratings affirmed its 'B' corporate credit rating on Blue Bird Body Co. The outlook is stable. S&P then withdrew its corporate credit rating at the company's request and withdrew S&P's issue-level and recovery ratings on Blue Bird's revolving credit facility and term loan because they have been refinanced. The affirmation and withdrawal follow Blue Bird's request that S&P withdraw all of its ratings on the company following the recent refinancing of its senior secured credit facilities. BROOKLYN INTERIORS: Plan Filing Deadline Extended Through Feb. 17 ----------------------------------------------------------------- Judge Robert D. Drain of the U.S. Bankruptcy Court for the Southern District of New York extended Brooklyn Interiors, Inc. d/b/a The DDC Group's exclusive period to file a chapter 11 plan through and including February 17, 2017 and that the confirmation of the Debtor's chapter 11 plan will be subject to the 45-day rule as set forth in Bankruptcy Code Section 1129(e). The Debtor sought exclusivity extension as it was still working on various issues relating to the reorganization that will further progress beyond the current exclusive periods. The Debtor said it needs time to analyze and negotiate payment terms of the claims filed against it including, but not limited to, the large claim filed by Plan Do See America, Inc. for pre-petition liabilities. About Brooklyn Interiors Brooklyn Interiors, Inc. filed a Chapter 11 petition (Bankr. S.D.N.Y. Case No. 1622845), on June 22, 2016. The Petition was signed by Dennis Darcy, president. The Debtor is represented by Kenneth A. Reynolds, Esq. at McBreen & Kopko. At the time of filing, the Debtor estimated assets at $100,000 to $500,000 and liabilities at $500,000 to $1 million. A Creditors' Committee has not been appointed by the Office of the United States Trustee. C & G COIN: Unsecureds To Recoup 100% in 60 Payments ---------------------------------------------------- C & G Coin Laundry's Inc. filed with the U.S. Bankruptcy Court for the Middle District of Florida a disclosure statement referring to the Debtor's plan of reorganization. Class 3 - General Unsecured Creditors non-insider are impaired under the Plan. Allowed non-insider unsecured claims will be paid 100% in 60 equal payments starting effective date at $848.68 monthly. Any insider claims will be subordinated but retain their claims. Payments and distributions under the Plan will be funded by the debtor by the ongoing operation of the business. The Disclosure Statement is available at: http://bankrupt.com/misc/flsb16-18651-60.pdf C & G Coin Laundry's Inc. filed a Chapter 11 bankruptcy petition (Bankr. S.D. Fla. Case No. 16-18651) on March 23, 2016. Joel M. Aresty, Esq., at Joel M. Aresty, P.A., as bankruptcy counsel. CAESARS ENTERTAINMENT: Bank Lenders Group Lifts Default Notice -------------------------------------------------------------- A group of bank lenders has lifted its default notice on Caesars Entertainment Operating Co. Inc. On Dec. 16, 2016, the ad hoc committee of beneficial holders, or the investment advisors or managers for certain beneficial holders, of first lien bank debt issued by the Debtors, constituting "Majority Bank Creditors" under the so-called Bank RSA, provided, through counsel, a "Notice of Creditor Termination Events Under the Bank RSA." The Bank RSA Default Notice, among other things, advised the parties to the Bank RSA of defaults with respect to certain of the proposed terms set forth in the form of the PropCo First Lien Credit Agreement Documents, and initiated a five-business day period by which the Caesars Parties could cure the defaults. On Dec. 23, 2016, after extensive and good faith negotiations between the parties and in an attempt to respond to the Bank RSA Default Notice, the Debtors filed the "PropCo Credit Agreement Business Issues List" as a supplement to their Third Amended Joint Plan of Reorganization. The PropCo Credit Agreement Grid set forth, in grid format, certain terms to be included in the form of the PropCo First Lien Credit Agreement. A copy of the Grid is available at no extra charge at: http://bankrupt.com/misc/ilnb15-01145-6151.pdf The Debtors have assured the Ad Hoc Bank Lender Committee that the terms contained in the PropCo Credit Agreement Grid will be incorporated into the final form of the PropCo First Lien Credit Agreement, and will supersede the same or similar terms in the current form of the PropCo First Lien Credit Agreement previously filed with the Bankruptcy Court. In reliance upon the Debtors' assurances and the specific terms contained in the Propco Credit Agreement Grid, counsel to the Ad Hoc Bank Lender Committee has delivered notice to the Caesars Parties withdrawing the Bank RSA Default Notice at this time. The Bank RSA Default Notice and the Bank RSA Withdrawal Notice concern only the specific issues and terms addressed in the PropCo Credit Agreement Grid. Each member of the Ad Hoc Bank Lender Committee maintains all of its rights and remedies under the Bank RSA with respect to all other terms of the PropCo First Lien Credit Agreement Documents, the specific language used to implement the terms contained in the PropCo Credit Agreement Grid, and to all of the Definitive Documentation (as defined in the Bank RSA), as well as all of its other rights and remedies under the Bank RSA. The members of the Ad Hoc Bank Lender Committee continue to support the Debtors' Plan, the confirmation of which is scheduled to proceed before the Bankruptcy Court on January 17, 2017. The Ad Hoc Bank Lender Committee Members are: Aristeia Capital, L.L.C. BlackRock Advisors LLC BlackRock Institutional Trust Company, National Association BlackRock Financial Management, Inc. Franklin Mutual Advisers, LLC FS Investment Corporation FS Investment Corporation II FS Investment Corporation III FS Global Credit Opportunities Fund GSO Capital Partners LP H/2 Credit Manager LP HG Vora Capital Management, LLC Invesco Senior Secured Management, Inc. Owl Creek Asset Management, L.P. OZ Special Master Fund, Ltd. PointState Capital LP Solus Alternative Asset Management LP Taconic Capital Advisors L.P. The obligations outstanding under the Credit Agreement beneficially owned or controlled by the Ad Hoc Bank Lender Committee total $2,619,724,087. The Ad Hoc Bank Lender Committee is represented in the case by: Brian L. Shaw, Esq. SHAW FISHMAN GLANTZ & TOWBIN LLC 321 N. Clark Street, Suite 800 Chicago, IL 60654 Telephone: (312) 541-0151 - and - Kristopher M. Hansen, Esq. Kenneth Pasquale, Esq. Jonathan D. Canfield, Esq. STROOCK & STROOCK & LAVAN LLP 180 Maiden Lane New York, NY 10038 Telephone: (212) 806-5400 Caesars Entertainment Corp. is represented in the case by: Jeffrey D. Saferstein, Esq. Samuel E. Lovett, Esq. Paul, Weiss, Rifkind, Wharton & Garrison LLP 1285 Avenue of the Americas New York, NY 10019 - and - Paul S. Aronzon, Esq. Thomas R. Kreller, Esq. Milbank, Tweed, Hadley & McCloy LLP 601 South Figueroa Street, 30th Floor Los Angeles, CA 90017 About Caesars Entertainment Caesars Entertainment Corp., formerly Harrah's Entertainment Inc., is one of the world's largest casino companies. Caesars casino resorts operate under the Caesars, Bally's, Flamingo, Grand Casinos, Hilton and Paris brand names. The Company has its corporate headquarters in Las Vegas. Harrah's announced its re-branding to Caesar's in mid-November 2010. In January 2015, Caesars Entertainment and subsidiary Caesars Entertainment Operating Company, Inc., announced that holders of more than 60% of claims in respect of CEOC's 11.25% senior secured notes due 2017, CEOC's 8.5% senior secured notes due 2020 and CEOC's 9% senior secured notes due 2020 have signed the Amended and Restated Restructuring Support and Forbearance Agreement, dated as of Dec. 31, 2014, among Caesars Entertainment, CEOC and the Consenting Creditors. As a result, The RSA became effective pursuant to its terms as of Jan. 9, 2015. Appaloosa Investment Limited, et al., owed $41 million on account of 10% second lien notes in the company, filed an involuntary Chapter 11 bankruptcy petition against CEOC (Bankr. D. Del. Case No. 15-10047) on Jan. 12, 2015. The bondholders are represented by Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor LLP. CEOC and 172 other affiliates -- operators of 38 gaming and resort properties in 14 U.S. states and 5 countries -- filed Chapter 11 bankruptcy petitions (Bank. N.D. Ill. Lead Case No. 15-01145) on Jan. 15, 2015. CEOC disclosed total assets of $12.3 billion and total debt of $19.8 billion as of Sept. 30, 2014. Delaware Bankruptcy Judge Kevin Gross entered a ruling that the bankruptcy proceedings will proceed in the U.S. Bankruptcy Court for the Northern District of Illinois. Kirkland & Ellis serves as the Debtors' counsel. AlixPartners is the Debtors' restructuring advisors. Prime Clerk LLC acts as the Debtors' notice and claims agent. Judge Benjamin Goldgar presides over the cases. The U.S. Trustee has appointed seven noteholders to serve in the Official Committee of Second Priority Noteholders and nine members to serve in the Official Unsecured Creditors' Committee. The U.S. Trustee appointed Richard S. Davis as Chapter 11 examiner. The Examiner retained Winston & Strawn LLP, as his counsel; Alvarez & Marsal Global Forensic and Dispute Services, LLC, as financial advisor; and Luskin, Stern & Eisler LLP, as special conflicts counsel. * * * The U.S. Bankruptcy Court for the Northern District of Illinois approved the adequacy of the disclosure statement explaining the second amended joint Chapter 11 plan of reorganization of Caesars Entertainment Operating Company Inc. and it debtor-affiliates. A hearing is set for Jan. 17, 2017, at 10:30 a.m. (prevailing Central Time) in Courtroom No. 642 in the Everett McKinley Dirksen United States Courthouse, 219 South Dearborn Street, Chicago, Illinois, to confirm the Debtors' plan. CAESARS ENTERTAINMENT: UST Balks at Plan Releases ------------------------------------------------- Jessica Corso, writing for Bankruptcy Law360, reported that the office of U.S. Trustee Patrick S. Layng filed a 39-page brief last week highlighting the U.S. Trustee's reasons for opposing the Chapter 11 confirmation plan of Caesars Entertainment Operating Co. Inc., Caesars' casino operating subsidiary, saying the plan should not be confirmed while the nondebtor parent and its private equity sponsors are being promised "blanket immunity" from actions undertaken before the bankruptcy. The ultimate parent of the Debtors was acquired in 2008 by funds managed by affiliates of Apollo Global Management, LLC and TPG Capital, L.P. and their respective co-investors in a $30.7 billion leveraged buyout. On March 15, 2016, a court-appointed examiner issued his final report on a partially redacted basis. The Examiner released a final, substantially unredacted version of his report on May 16. The Examiner "investigated over fifteen sometimes related transactions between CEOC . . . and other entities controlled by CEC . . . and the LBO Sponsors." The Examiner concluded that "claims of varying strength arise out of these transactions for constructive fraudulent transfers, actual fraudulent transfers (based on intent to hinder and delay creditors) and breaches of fiduciary duty by CEOC directors and officers and CEC," and that "[a]iding and abetting breach of fiduciary duty claims, again of various strength, exist against the Sponsors and certain of CEC's directors." The Examiner also concluded that "[n]one of these claims involve criminal or common law fraud." The Examiner ascribed a "value range" only to claims that he concluded had a reasonable or greater probability of success. The Examiner concluded that the potential damages from those estate claims the Examiner considered reasonable or strong range from $3.6 billion to $5.1 billion. The Examiner noted that these claims "will be vigorously contested by the affected parties and all of them thus are subject to litigation risk." About Caesars Entertainment Caesars Entertainment Corp., formerly Harrah's Entertainment Inc., is one of the world's largest casino companies. Caesars casino resorts operate under the Caesars, Bally's, Flamingo, Grand Casinos, Hilton and Paris brand names. The Company has its corporate headquarters in Las Vegas. Harrah's announced its re-branding to Caesar's in mid-November 2010. In January 2015, Caesars Entertainment and subsidiary Caesars Entertainment Operating Company, Inc., announced that holders of more than 60% of claims in respect of CEOC's 11.25% senior secured notes due 2017, CEOC's 8.5% senior secured notes due 2020 and CEOC's 9% senior secured notes due 2020 have signed the Amended and Restated Restructuring Support and Forbearance Agreement, dated as of Dec. 31, 2014, among Caesars Entertainment, CEOC and the Consenting Creditors. As a result, The RSA became effective pursuant to its terms as of Jan. 9, 2015. Appaloosa Investment Limited, et al., owed $41 million on account of 10% second lien notes in the company, filed an involuntary Chapter 11 bankruptcy petition against CEOC (Bankr. D. Del. Case No. 15-10047) on Jan. 12, 2015. The bondholders are represented by Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor LLP. CEOC and 172 other affiliates -- operators of 38 gaming and resort properties in 14 U.S. states and 5 countries -- filed Chapter 11 bankruptcy petitions (Bank. N.D. Ill. Lead Case No. 15-01145) on Jan. 15, 2015. CEOC disclosed total assets of $12.3 billion and total debt of $19.8 billion as of Sept. 30, 2014. Delaware Bankruptcy Judge Kevin Gross entered a ruling that the bankruptcy proceedings will proceed in the U.S. Bankruptcy Court for the Northern District of Illinois. Kirkland & Ellis serves as the Debtors' counsel. AlixPartners is the Debtors' restructuring advisors. Prime Clerk LLC acts as the Debtors' notice and claims agent. Judge Benjamin Goldgar presides over the cases. The U.S. Trustee has appointed seven noteholders to serve in the Official Committee of Second Priority Noteholders and nine members to serve in the Official Unsecured Creditors' Committee. The U.S. Trustee appointed Richard S. Davis as Chapter 11 examiner. The Examiner retained Winston & Strawn LLP, as his counsel; Alvarez & Marsal Global Forensic and Dispute Services, LLC, as financial advisor; and Luskin, Stern & Eisler LLP, as special conflicts counsel. * * * The U.S. Bankruptcy Court for the Northern District of Illinois approved the adequacy of the disclosure statement explaining the second amended joint Chapter 11 plan of reorganization of Caesars Entertainment Operating Company Inc. and it debtor-affiliates. A hearing is set for Jan. 17, 2017, at 10:30 a.m. (prevailing Central Time) in Courtroom No. 642 in the Everett McKinley Dirksen United States Courthouse, 219 South Dearborn Street, Chicago, Illinois, to confirm the Debtors' plan. CATASYS INC: Closes Exchange Agreements with Acuitas Group & Samus ------------------------------------------------------------------ Catasys, Inc., closed on Securities Exchange Agreements with each of Acuitas Group Holdings, LLC, which entity is owned by Terren S. Peizer, the Company's chairman and chief executive officer, Shamus, LLC, which entity is owned by David E. Smith, a member of the Company's board of directors, and other accredited investors, pursuant to which the Company exchanged those certain 8% Senior Promissory Notes issued to the Investors on Aug. 15, 2016, which had an aggregate outstanding principal amount of $5.6 million, for (i) 8% Convertible Debentures in the same principal amount due on March 15, 2017, and (ii) five-year warrants to purchase shares of the Company's common stock in amount equal to 40% of the initial number of shares of common stock issuable upon conversion of each Investor's Debentures, at an exercise price of $1.10 per share. The December 2016 Warrants include a mechanism pursuant to which, subject to certain exempt issuances, the exercise price of the December 2016 Warrants will be adjusted if the Company issues shares of common stock at a price that is less than the exercise price of the December 2016 Warrants. Such mechanism will remain in effect until the earliest of (i) the termination date of the December 2016 Warrants, (ii) such time as the December 2016 Warrants are exercised, or (iii) contemporaneously with the listing of the Company's shares of common stock on a registered national securities exchange. About Catasys Inc. Based in Los Angeles, California, Hythiam, Inc., n/k/a Catasys, Inc., is a healthcare services management company, providing through its Catasys(R) subsidiary specialized behavioral health management services for substance abuse to health plans. Catasys reported a net loss of $7.22 million on $2.70 million of revenues for the year ended Dec. 31, 2015, compared to a net loss of $27.3 million on $2.03 million of revenues for the year ended Dec. 31, 2014. Rose, Snyder & Jacobs LLP, in Encino, California, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company has continued to incur significant operating losses and negative cash flows from operations during the year ended Dec. 31, 2015, and continues to have negative working capital at Dec. 31, 2015. These conditions raise substantial doubt about the Company's ability to continue as a going concern. CC LLC: Disclosures Okayed, Plan Hearing on Feb. 1 -------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida will consider approval of the Chapter 11 plan of CC, LLC at a hearing on Feb. 1, at 9:30 a.m. The hearing will be held at Courtroom 8A, 801 North Florida Avenue, Tampa, Florida. The court will also consider at the hearing objections to the company's disclosure statement, which it conditionally approved on Dec. 14. The order required creditors to cast their votes no later than eight days before the Feb. 1 hearing. Objections to the disclosure statement and the plan must be filed no later than seven days prior to the hearing. The bankruptcy plan was jointly filed by CC, LLC and its creditor Highland Properties of Gulfcoast, Ltd. About CC LLC CC, LLC, doing business as Baymont Inn Suites, Orlando, filed a Chapter 11 petition (Bankr. M.D. Fla. Case No. 12-03886) on March 16, 2012. The petition was signed by Kenneth W. Franklin, Jr., managing member. At the time of the filing, the Debtor estimated its assets at $1 million to $10 million and debts at $10 million to $50 million. CENTRAL IOWA: Wants to Use Cash Collateral Through February 27 -------------------------------------------------------------- Central Iowa Healthcare seeks authorization from the U.S. Bankruptcy Court for the Southern District of Iowa to use cash collateral. The Debtor proposes to use Cash Collateral for the payment of its usual, ordinary, customary, regular, and necessary post-petition expenses incurred in the ordinary course of its business and for payment of those pre-petition claims approved and allowed the Bankruptcy Court, and pursuant to its 13-week Budget. The proposed Budget covers the period from December 12, 2016 through February 27, 2017 and projects total operating disbursements of $16,760. The Debtor is indebted to Great Western Bank in the amount of $3,851,520 and to United Bank and Trust in the amount of $1,420,557. Great Western and United Bank hold validly perfected and enforceable liens on and security interests in, among other things, the Debtor's cash, negotiable instruments, documents of title, securities, deposit accounts or other cash equivalents, proceeds, products, offspring, rents, or profits of property, in accordance with the terms of the various loan documents, including, without limitation, the Security Agreements. The Debtor proposes to grant Great Western and United Bank: (a) a validly perfected first priority lien on and security interest in the Debtor's post-petition Collateral subject to existing valid, perfected and superior liens in the Collateral held by other creditors, if any, and the Carve-Out, which will be based on their relative rights, liens and interests in the Debtor's Cash Collateral prepetition. (b) a super-priority claim, in the event of, and only in the case of Diminution of Value of their interests in the Collateral, which will have priority in the Debtor's bankruptcy case over all priority claims and unsecured claims against the Debtor and its estate. This super-priority claim will be subject and subordinate only to the Carve-Out, which includes: any fees due to the U.S. Trustee and fees and expenses incurred by the Debtor's and Bankruptcy Estate professionals and approved by the Court in an amount not to exceed $500,000. As further adequate protection, the Debtor proposes to make post-petition monthly payments to Great Western and United Bank in an amount equal to the amount paid pre-petition, pursuant to the Debtor's pre-petition loan documents with Great Western and United Bank, unless the Debtor and Great Western and/or United Bank agree to a different or lesser amount. A full-text copy of the Debtor's Motion, dated December 20, 2016, is available at https://is.gd/9SDRB4 About Central Iowa Healthcare Central Iowa Healthcare, formerly doing business as Marshalltown Medical Surgical Center, is a not-for-profit corporation formed under the laws of the State of Iowa, and is tax exempt pursuant to section 501(c)(3) of the Internal Revenue Code. CIH is governed by a 14-member Board of Trustees of which two members serve on an ex-officio basis. CIH operates a community hospital in Marshalltown, Iowa, which is located between Des Moines and Cedar Rapids. CIH's 49-bed, acute care facility is the only fullservice medical center in the area. CIH provides inpatient, outpatient, emergency care, and medical clinic services for the residents of Marshall, Tama, and Grundy counties. These counties combined have a population of over 60,000 and are home to several large companies that are significant local employers. CIH is the sixth largest employer in Marshalltown. According to U.S. Census 2015 data, Marshalltown's population is estimated at 27,620 and a median income of $50,396. Declining revenues over the past several years have placed a considerable financial strain on CIH and led to uncertainty about the hospital's ability to continue as a going concern. Central Iowa Healthcare sought Chapter 11 protection (Bankr. S.D. Iowa Case No. Case No. 16-02438-1) on Dec. 20, 2016. The Petition was signed by Dawnett Willis, acting CEO. The case is assigned to Judge Anita L. Shodeen. The Debtor disclosed $81.91 million total assets and $20.02 million total liabilities. The Debtor employs Jeffrey D. Goetz, Esq. and Krystal R. Mikkilineni, Esq. at Bradshaw, Fowler, Proctor & Fairgrave PC as Reorganization Counsel; Aaron L. Hammer, Esq. and Mark S. Melickian, Esq. at Sugar, Felsenthal, Grais & Hammer LLP as Special Healthcare Reorganization Counsel; Alvarez & Marsal Healthcare Industry Group, LLC as Financial & Restructuring Advisors. No motion for the appointment of a Chapter 11 Trustee or Examiner has been filed in this Chapter 11 Case. No committee of unsecured creditors has been formed. CHIMNEY HILL: Hires Gorski & Knowlton as Attorney ------------------------------------------------- Chimney Hill Farm Enterprise, Inc., seeks authority from the U.S. Bankruptcy Court for the District of New Jersey to employ Gorski & Knowlton PC as attorney to the Debtor. Chimney Hill requires Gorski & Knowlton to represent the Debtor in the Chapter 11 Bankruptcy proceeding. Gorski & Knowlton will be paid at the hourly rate of $400. Gorski & Knowlton will be paid a retainer in the amount of $10,000, plus $1,717 filing fee. Gorski & Knowlton will also be reimbursed for reasonable out-of-pocket expenses incurred. Allen I. Gorski, member of Gorski & Knowlton PC, 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. Gorski & Knowlton can be reached at: Allen I. Gorski, Esq. GORSKI & KNOWLTON PC 311 Whitehorse Avenue, Suite A Hamilton, NJ 08610 Tel: (609) 964-4000 E-mail: agorski@gorskiknowlton.com About Chimney Hill Chimney Hill Farm Enterprise, Inc., based in Lambertville, NJ, filed a Chapter 11 petition (Bankr. D.N.J. Case No. 16-33643) on December 12, 2016. The Hon. Michael B. Kaplan presides over the case. Allen I Gorski, Esq., at Gorski & Knowlton PC, to serve as bankruptcy counsel. In its petition, the Debtor estimated $0 to $50,000 in assets and $1 million to $10 million in liabilities. The petition was signed by Richard Andeson, vice president. CHINA COMMERCIAL: John Levy Quits From Board of Directors --------------------------------------------------------- Mr. John Levy notified China Commercial Credit, Inc., of his resignation from the board of directors of the Company effective Dec. 19, 2016. Mr. Levy's decision to resign did not result from any disagreement with the Company on any matter relating to the Company's operations, policies or practices, according to a Form 8-K report filed with the Securities and Exchange Commission. Appointment of Teck Chuan Yeo On the same day, the Board appointed Mr. Teck Chuan Yeo to serve as the chairman of the Board's Audit Committees, effective immediately and Mr. Yeo will no longer serve as the chairman of the Board's Nominating and Corporate Governance Committee. Appointment of Boling Liu On Dec. 22, 2016, the Board appointed Ms. Boling Liu to fill the vacancy created by the resignation of Mr. John Levy, effective immediately. In addition to serving on the Board, Ms. Liu will serve on the Board's Audit, Nominating and Corporate Governance and Compensation committees. Ms. Liu will also serve as the chairwoman of the Board's Nominating and Corporate Governance Committee. Ms. Liu, age 30, has been the vice president of Shenzhen Tianhe E-Commerce Limited Company since August 2010. From January 2010 to August 2010, Ms. Liu served as a manager of the sales department of Shenzhen Guantian Aeronautics. From April 2005 to January 2010, Ms. Liu served as the manager of customer service of Shanxi Datang Air Service Limited Company. Ms. Liu obtained a bachelor degree of Shanxi Normal University, computer information college. Ms. Liu does not have any family relationship with any director or executive officer of the Company and has not been involved in any transaction with the Company during the past two years that would require disclosure under Item 404(a) of Regulation S-K. Ms. Liu has entered into an independent director agreement with the Company, which sets her annual compensation at $20,000 per year and establishes other terms and conditions governing her service on the Company's Board. About China Commercial Credit China Commercial Credit, Inc., offers financial services in China. It provides direct loans, loan guarantees and financial leasing services to small-to-medium sized businesses, farmers and individuals in the city of Wujiang, Jiangsu Province. China Commercial reported a net loss of $55.83 million in 2015 following a net loss of $23.37 million in 2014. As of Sept. 30, 2016, China Commercial had $22.45 million in total assets, $19.74 million in total liabilities and $2.70 million in total shareholders' equity. Marcum Bernstein & Pinchuk LLP, in New York, New York, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company has accumulated deficit that raises substantial doubt about its ability to continue as a going concern. CHOUDRIES INC: Hires CGA Law as Counsel --------------------------------------- Choudries, Inc., d/b/a Super Seven Food Mart, seeks authority from the U.S. Bankruptcy Court for the Middle District of Pennsylvania to employ CGA Law Firm as counsel to the Debtor. Choudries, Inc. requires CGA Law to represent the Debtor with respect to all legal matters relating to the Chapter 11 proceedings. CGA Law will be paid at these hourly rates: Lawrence V. Young, Esq. $345 Hunter Schenck, Esq. $160 E. Haley Rohrbaugh, Law Clerk $130 Christina M. Locondro, Paralegal $120 Kenneth L. Brayboy, Paralegal $120 CGA Law will also be reimbursed for reasonable out-of-pocket expenses incurred. Lawrence V. Young, member of CGA Law 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 estates. CGA Law can be reached at: Lawrence V. Young, Esq. CGA LAW FIRM 135 North George Street York, PA 17401 Tel: (717) 848-4900 About Choudries, Inc. Headquartered in Mechanicsburg, Pennsylvania, Choudries Inc. dba Super Seven Food Mart filed for Chapter 11 bankruptcy protection (Bankr. M.D. Pa. Case No. 16-02475) on June 13, 2016, and is represented by Gary J. Imblum, Esq., at Imblum Law Offices, P.C. The petition was signed by Abdul Akhter, president. The Debtor estimated its assets and liabilities at between $1 million and $10 million each. Judge Mary D. France presides over the case. CLEAN HARBORS: Egan-Jones Lowers Sr. Unsec. Ratings to BB- ---------------------------------------------------------- Egan-Jones Ratings Company, on Dec. 12, 2016, downgraded the senior unsecured ratings on debt issued by Clean Harbors Inc. to BB- from BB. Clean Harbors, Inc. is a provider of environmental, energy and industrial services, including hazardous waste disposal for companies, including Fortune 500 companies, small waste generators and federal, state, provincial and local governments. COLORADO CHOICE: A.M. Best 'B' FSR Still Under Review Negative -------------------------------------------------------------- A.M. Best has commented that the Financial Strength Rating of B (Fair) and the Long-Term Issuer Credit Rating of "bb+" of Colorado Choice Health Plans (Colorado Choice) (Alamosa, CO) will remain under review with negative implications. The maintained under review status with negative implications reflects Colorado Choice's Oct. 27, 2016 announcement that it has entered into a strategic relationship with Melody Health Insurance Inc. (Melody Health), a Denver-based startup for-profit carrier backed by private equity. This relationship is anticipated to commence in December 2016, subject to regulatory approval from the Colorado Division of Insurance and the Colorado Attorney General's Office. This arrangement will convert Colorado Choice into a for-profit entity, and the company will become a wholly owned subsidiary of Melody Health. Melody Health has contributed $1.2 million in capital to Colorado Choice, and has committed to contributing additional capital by year-end 2016 to support Colorado Choice's growing individual major medical business. Following the material deterioration in Colorado Choice's capital and surplus and significant increase in premium revenue from membership growth through the third quarter 2016, A.M. Best believes the company currently maintains an inadequate level of risk-adjusted capital for its present insurance and investment risks, as well as future growth, as measured by Best's Capital Adequacy Ratio (BCAR). The ratings will remain under review while A.M. Best continues discussions with management regarding the extent and timing of near-term capital contributions anticipated from Melody Health Insurance Inc. COMBIMATRIX CORP: Scott Gottlieb Resigns as Director ---------------------------------------------------- Dr. Scott Gottlieb tendered his resignation on Dec. 19, 2016, from the Board of Directors of CombiMatrix Corporation and from the Board committees on which he served. Dr. Gottlieb's resignation was for personal reasons and is not a result of any disagreement with management, as disclosed in a Form 8-K report filed with the Securities and Exchange Commission. 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. As of Sept. 30, 2016, Combimatrix had $8.88 million in total assets, $1.95 million in total liabilities and $6.93 million in total stockholders' equity. 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. CONSOLIDATED COMMUNICATIONS: Egan-Jones Hikes Sr. Unsec. Rating to ------------------------------------------------------------------ Egan-Jones Ratings Company, on Dec. 5, 2016, upgraded the senior unsecured ratings on debt issued by Consolidated Communications Holdings Inc. to B from B-. Consolidated Communications Holdings, Inc. is a holding company with operating subsidiaries that provide integrated communications services in consumer, commercial and carrier channels in California, Illinois, Iowa, Kansas, Minnesota, Missouri, North Dakota, Pennsylvania, South Dakota, Texas and Wisconsin. CRESCENT HAUS: Disclosures Okayed, Plan Hearing on Jan. 31 ---------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Texas will consider approval of the Chapter 11 plan of reorganization of Crescent Haus Properties, LLC at a hearing on Jan. 31, at 9:30 a.m. The hearing will be held at the U.S. Bankruptcy Court, Suite 300B, 660 North Central Expressway, Plano, Texas. The court had earlier approved Crescent Haus' disclosure statement, allowing the company to start soliciting votes from creditors. The Dec. 15 order set a Jan. 24 deadline for creditors to cast their votes. Creditors have until Jan. 20 to file their objections. About Crescent Haus Crescent Haus Properties, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Tex. Case No. 16-40996) on June 6, 2016, disclosing under $1 million in both assets and liabilities. The Debtor is represented by Joyce W. Lindauer, Esq., at Joyce W. Lindauer Attorney PLLC. No official committee of unsecured creditors has been appointed in the case. DAVE 60 NYC: Seeks May 23 Exclusive Plan Filing Extension --------------------------------------------------------- Dave 60 NYC, Inc. asks the U.S. Bankruptcy Court for the Southern District of New York to extend the exclusive period within which only the Debtor may file a plan of reorganization for 120 days through and including May 23, 2017. Absent the requested extension, the Debtor's current exclusivity period would expire on January 23, 2017. As such, the Debtor seeks exclusivity extension to ensure that the Court, the Debtor and other parties in interest are not distracted by the filing of any competing or premature plans. The Debtor relates that it has been primarily focused on increasing its assets, primarily through a preference action initiated by the Debtor against the Law Offices of Anthony Accetta, P.A. and Anthony Accetta. As part of its preference action, the Debtor is seeking to remove and transfer related pending litigation against the Law Offices of Anthony Accetta, et al. in Florida State Court to the Bankruptcy Court. However, the Debtor still awaits the decision of Florida State Court as to whether it will remove and transfer the Florida State Court Action to the Bankruptcy Court or remand to the Florida State Court. The Debtor contends that if it is successful with its preference and removal action, there is a significant possibility that any proceeds from the litigation will significantly increase the Debtor's estate and allow it to fund a plan of reorganization. The Debtor further contends that it is currently monitoring an arbitration seeking to resolve certain employee claims that were asserted against the Debtor and other parties prior to the Petition Date. As part of the Debtor's claims reconciliation process, it is also seeking to establish a claims bar date process that will reach as many potential claimants as possible so that the Debtor can ascertain its potential liabilities. The Debtor needs time to pursue its preference action against the Law Offices of Anthony Accetta, P.A., et al., and a resolution of the preference action will be determinative of the type of plan that the Debtor can file. In the meantime, it is critical that the Debtor maintain the exclusive right to file a plan, so that the it will not be using estate resources in filing a plan that may not proceed due to the unresolved preference action. About Dave 60 NYC Dave 60 NYC Inc. operates a holding company, which holds a non-managing 59.05% interest in an entity which operates a restaurant in Manhattan, Philippe by Philippe Chow. Dave 60 NYC Inc., filed a Chapter 11 bankruptcy petition (Bankr. S.D.N.Y. Case No. 16-12146) on July 27, 2016. Judge Michael E Wiles presides over the case. No trustee, examiner or committee has been appointed in Debtor’s Chapter 11 case. DAYA MEDICALS: D. Klein, DKMC To Be Paid 100% Over 5Yrs at 4.75% ---------------------------------------------------------------- Daya Medicals, Inc., filed with the U.S. Bankruptcy Court for the Southern District of Florida an amended disclosure statement dated Dec. 14, 2016, referring to the Debtor's plan of reorganization dated Nov. 21, 2016. Class 1 consists of the secured claims of Dana Klein and DKMC Inc. -- totaling $889,698.59. Ms. Klein and DKMC have a joint judgment against the Debtor and its insiders. Due to being a judgment lien, all assets of the estate are collateral. This is not an insider claim and the claim is impaired due to the claimants losing their right to proceed with a state court receivership. The secured claim of Dana Klein and DKMC will be paid in full at the scheduled amount of $889,698.59 over a five-year period with simple interest at the rate of 4.75% from the effective date of the Plan. Five percent of the scheduled amount plus interest will be paid in Year 1 including an initial payment of 3.15% paid on the effective date of the Plan, 10% of the scheduled amount plus interest will be paid in Year 2, 20% of the scheduled amount plus interest will be paid in Year 3, 30% of the scheduled amount plus interest will be paid in Year 4, and 35% of the scheduled amount plus interest will be paid in Year 5. Payments will be made quarterly with the first payment being made on Dec. 31, 2017. Quarterly payments will be made on Dec. 31, March 31, June 30, and Sept. 30 with the final payment being made on Sept. 30, 2022. Dana Klein and DKMC loses the right to a state court receiver and all other state court remedies so long as the Plan payments are timely paid. Once the Plan is paid in full, Dana Klein and DKMC will file and record a satisfaction of judgment which extinguishes their lien by operation of law. Payments and distributions under the Plan will be funded by royalty payments received from the Debtor's licensee, Daya Medicals, Inc. (Canada) (fka 2407216 Ontario Inc). These royalty payments will be paid at a rate of 3% of gross sales from sales of the MedPod device. The Licensee has minimum purchase commitments for the MedPod which will produce sufficient revenues to fund the Plan. The Amended Disclosure Statement is available at: http://bankrupt.com/misc/flsb15-24931-157.pdf About Daya Medicals Daya Medicals, Inc. (Bankr. S.D. Fla. Case No. 15-24931) filed a Chapter 11 petition on Aug. 18, 2015, and is represented by Michael D. Moccia, Esq., at Law Office of Michael D. Moccia, PA, in Boca Raton, Florida. Since 1996, the Debtor has been in the business of research and development of intellectual property related to biomedical technologies and licensing, such as intellectual property to licenses in exchange for royalty payments. At the Petition Date, it had $1 million to $10 million in Estimated assets and $1 million to $10 million in estimated liabilities. The case is assigned to Judge Erik P. Kimball. The petition was signed by Justin K. Daya, chief executive officer. DEDICATED STAGING: WSB Withholds Consent to Cash Use ---------------------------------------------------- Western State Bank, a secured creditor and party-in-interest in the Chapter 11 case of Dedicated Staging, L.L.C. notifies the U.S. Bankruptcy Court for the District of Arizona that it does not consent to, and requests the Court to prohibit the Debtor and any other entity or individual from any use of the Collateral and order that all proceeds of the Collateral be placed in a segregated interest bearing account pending further order of the Court. Western State Bank asserts that it has a secured claim against the Debtor, particularly an interest in substantially all of the Debtor's accounts receivable, deposit accounts, cash, and substantially all of the Debtor's other personal property, and all proceeds therefrom, as security for repayment of amounts due and owing to Western State Bank under the Loan Documents. Western State Bank relates that it loaned $980,000 to the Debtor and its affiliate, Precise Corporate Staging, L.L.C. Western State Bank further relates that it has loaned an additional $830,700 to Debtor and also made a Small Business Administration loan to Debtor in the principal sum of $3,015,200. Western State Bank tells the Court that each of the Loans are cross-defaulted and cross-collateralized with one another, and as such, the Debtor's assets serve as collateral for the Western State Bank's loans to Precise Corporate as well as its loans to the Debtor. Accordingly, Western State Bank also requests the Court that in the event that the Debtor has dissipated its cash collateral post-petition, the Court would grant it replacement liens, an allowed administrative or super-priority claim since the Debtor is not providing, and has not offered to provide, Western State Bank with adequate protection (or any protection) of Western State Bank's interests in the Collateral. Dedicated Staging, L.L.C. is represented by: John C. Smith, Esq. Smith & Smith, PLLC 6720 E. Camino Principal, Suite 203 Tucson, Arizona 85715 Email: john@smithandsmithpllc.com Western State Bank is represented by: James L. Ugalde, Esq. Elizabeth S. Fella, Esq. Quarles & Brady LLP Renaissance One Two North Central Avenue Phoenix, AZ 85004-2391 Telephone: 602.229.5200 Facsimile: 602.229.5690 Email: jim.ugalde@quarles.com elizabeth.fella@quarles.com About Dedicated Staging LLC Dedicated Staging LLC filed a Chapter 11 petition (Bankr. D. Ariz. Case No. 16-14283), on December 20, 2016. The Debtor is represented by John C. Smith, Esq. at Smith & Smith, PLLC. DIAMOND STORAGE: U.S. Trustee Unable to Appoint Committee --------------------------------------------------------- An official committee of unsecured creditors has not yet been appointed in the Chapter 11 case of Diamond Storage Investments, LLC, as of Dec. 27, 2016, according to a court docket. Headquartered in Scottsdale, Arizona, Diamond Storage Investments, LLC, filed for Chapter 11 bankruptcy protection (Bankr. D. Ariz. Case No. 16-10708) on Sept. 16, 2016, estimating its assets at between $500,001 and $1 million and its liabilities at up to $50,000. Janel M. Glynn, Esq., at Gallagher & Kennedy serves as the Debtor's bankruptcy counsel. DMP PARTNERS: Hires Mitchell & Hammond as Counsel ------------------------------------------------- DMP Partners Arizona, LLC, seeks authority from the U.S. Bankruptcy Court for the Western District of Oklahoma to employ Mitchell & Hammond as counsel to the Debtor. DMP Partners requires Mitchell & Hammond to represent the Debtor in the Chapter 11 Bankruptcy proceeding. Mitchell & Hammond will be paid at these hourly rates: Attorneys $300 Legal Assistants $80 Law Clerks $80 Mitchell & Hammond will also be reimbursed for reasonable out-of-pocket expenses incurred. Gary D. Hammond, member of Mitchell & Hammond, 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. Mitchell & Hammond can be reached at: Gary D. Hammond MITCHELL & HAMMOND 512 N.W. 12th Street Oklahoma City, OK 73103 Tel: (405) 216-0007 Fax: (405) 232-6358 E-mail: gary@okatty.com About DMP Partners DMP Partners Arizona, LLC, based in Norman, OK, filed a Chapter 11 petition (Bankr. W.D. Okla. Case No. 16-14920) on December 9, 2016. The Hon. Janice D. Loyd presides over the case. Gary D. Hammond, Esq. at Mitchell & Hammond, to serve as bankruptcy counsel. In its petition, the Debtor estimated $1.61 million in assets and $2.23 million in liabilities. The petition was signed by Hal William Ezzell, member. DORAL DENTAL: GE Capital To Get Paid $3,700 Per Month Under Plan ---------------------------------------------------------------- Doral Dental, P.A., filed with the U.S. Bankruptcy Court for the Southern District of Florida a second amended disclosure statement referring to the Debtor's plan of reorganization, which proposes to pay its obligations 100% over 50 months from confirmation of the plan estimated at February 2017. Under the Plan, Class 3 Secured Claim GE Capital is impaired. GE's claim is estimated at $379,720.21. GE will retain its lien. The Debtor will pay $3,700 month per addendum to settlement until paid in full. About 60 payments at $3,700 comes to $222,000, leaving a shortfall of $157,720.21, to be paid $3,700 per month until paid. No discharge in favor of the debtor as to that balance until paid. Allowed non insider unsecured claims will be paid 100% in equal payments beginning effective date. AFCO will be paid on month 1 $409.07 and IRS over next 10 months at $487.61 monthly. Insider claims will be subordinated but retain their claims. Rejection damage claim by Keymerica or additional attorneys' fees for lease, if any, would also be paid 100% in equal monthly installments of $500 each. Payments and distributions under the Plan will be funded by the Debtor by the ongoing operation of the business. The Second Amended Disclosure Statement is available at: http://bankrupt.com/misc/flsb16-13927-95.pdf As reported by the Troubled Company Reporter on Dec. 14, 2016, the Debtor filed with the Court an amended disclosure statement describing the Debtor's plan of reorganization, which proposed that Class 1 - Priority Claims (IRS) are impaired under the Plan and will be paid $731.50 per month for 50 months. About $34,343.43 will be paid within five years of the Petition Date, starting February 2017. It will include 3% interest on any unpaid claim amounts after the Effective Date. The Amended Disclosure Statement is available at: http://bankrupt.com/misc/flsb16-13927-89.pdf As reported by the Troubled Company Reporter on Oct. 25, 2016, the Debtor filed with the Court a disclosure statement describing a Chapter 11 plan, which classified general unsecured creditors in Class 5 and proposed to pay them 100% of their allowed claims. Doral Dental, PA, is a professional corporation, a dental practice located at 10818 NW 58 St, Miami, Florida 33178. Insiders of the Debtor consist of owner Dr. Kerry Smith, the dentist. The Debtor filed a Chapter 11 Petition (Bankr. S.D. Fla. Case No. 16-13927) on March 21, 2016. The Debtor is represented by Joel M. Aresty, Esq. Doral Dental, PA, is a professional corporation, a dental practice located at 10818 NW 58 St, Miami, Florida 33178. Insiders of the Debtor consist of owner Dr. Kerry Smith, the dentist. The Debtor filed a Chapter 11 Petition (Bankr. S.D. Fla. Case No. 16-13927) on March 21, 2016. The Debtor is represented by Joel M. Aresty, Esq. EIF CHANNELVIEW: S&P Cuts Issue Rating to B+ on Weak ERCOT Pricing ------------------------------------------------------------------ S&P Global Ratings lowered its issue rating to 'B+' from 'BB-' on EIF Channelview Cogeneration LLC (Channelview) and revised its recovery rating to '2' from '1'. The outlook is negative. S&P is also revising its recovery rating to '2' from '1' to reflect S&P's expectations of about 85% recovery in the event of a payment default. "The rating action reflects our view of the continued weak power pricing environment in the Electric Reliability Council of Texas market resulting from a variety of factors, including less extreme weather, lower-than-anticipated demand growth, and considerable renewable penetration," said S&P Global Ratings credit analyst Corinne Bendersky. The negative outlook on Channelview reflects S&P's view that power prices could continue to weaken in ERCOT during the next two years, leading to consistently lower DSCRs and heightening refinance risk. ELITE PHARMACEUTICALS: Provides Update on SequestOx NDA ------------------------------------------------------- Elite Pharmaceuticals, Inc., announced the Company met with the U.S. Food and Drug Administration on Dec. 21, 2016, for an end-of-review meeting to discuss steps that Elite can take to obtain approval of SequestOxTM. Based on the FDA response, the Company believes there is a clear path forward to address the issues cited in the July 14th Complete Response Letter. The FDA will provide minutes of the meeting by the end of January and the Company will issue a further update at that time. SequestOx (oxycodone hydrochloride and naltrexone hydrochloride) is Elite's investigational abuse-deterrent opioid candidate for the management of moderate to severe acute pain where the use of an opioid analgesic is appropriate. The proposed plan submitted by the Company addresses items cited in the Complete Response Letter dated July 14, 2016, for the New Drug Application for SequestOx. "We are extremely pleased that there is a path forward to seek FDA approval of SequestOx," said Nasrat Hakim, president and CEO of Elite. "Based on the guidance received from the agency, Elite will begin to execute the proposed plan immediately." About Elite Pharmaceuticals Northvale, New Jersey-based Elite Pharmaceuticals, Inc., is a specialty pharmaceutical company principally engaged in the development and manufacture of oral, controlled-release products, using proprietary technology and the development and manufacture of generic pharmaceuticals. The Company has one product, Phentermine 37.5mg tablets, currently being sold commercially. Elite reported net income attributable to common shareholders of $28.9 million on $5 million of total revenues for the year ended March 31, 2015, compared to a net loss attributable to common shareholders of $96.5 million on $4.6 million of total revenues for the year ended March 31, 2014. As of Sept. 30, 2016, Elite had $34.86 million in total assets, $12.39 million in total liabilities and $22.47 million in total shareholders' equity. ERICKSON INC: Unsecureds To Get Share of Litigation Trust Interests ------------------------------------------------------------------- Erickson Inc, et al., filed with the U.S Bankruptcy Court for the Northern District of Texas a disclosure statement explaining their joint plan of reorganization, dated Dec. 23, 2016. Under the plan, Class 7 includes any Allowed Unsecured Claim that is not: an Administrative Claim; a Professional Compensation Claim; a Priority Unsecured Tax Claim; an Other Priority Unsecured Claim; or an Intercompany Claim. Except to the extent that a holder of an Allowed General Unsecured Claim agrees to less favorable treatment, in full and final satisfaction, compromise, settlement, release, and discharge of and in exchange for each General Unsecured Claim, each holder of an Allowed Class 7 Claim will receive its Pro Rata share of the Litigation Trust Interests. On December 14, 2016, each of the Debtors Filed their Schedules of Assets and Liabilities. Pursuant to the Schedules of Assets and Liabilities and based on stipulations under the DIP Financing Order, the Debtors estimate the following types and amounts of Claims in the Chapter 11 Cases: Administrative Claims $[_] Priority Unsecured Tax Claims $[_] Other Priority Unsecured Claims $[_] Secured Tax Claims $[_] Existing First Lien Credit Facility Claims $130,763,848 Existing Second Lien Claims (including Existing Second Lien Convenience Claims) $355,000,000 General Unsecured Claims (not including the Existing Second Lien Convenience Claims) $46,125,000 Intercompany Claims $735,972,000 The Bar Date is March 20, 2017. As the Bar Date has not yet occurred, few Proofs of Claims have been Filed. The Debtors will have more clarity with respect to the Claims against the Debtors as more Proofs of Claims are Filed. Distributions under the Plan will be made with: (1) Cash on hand, including Cash from operations; (2) the New Common Stock; (3) the New First Lien Credit Facility (4) the New Second Lien Credit Facility; (5) the Rights; (6) the proceeds from the Rights Offering; and (7)interests in the Litigation Trust, as applicable. A full-text copy of the Disclosure Statement is available at: http://bankrupt.com/misc/txnb16-34393-11-212.pdf About Erickson Founded in 1971, Erickson Incorporated -- http://www.ericksoninc.com/ --is a vertically-integrated manufacturer and operator of the powerful heavy-lift Erickson S-64 Aircrane helicopter, and is a leading global provider of aviation services. Erickson currently possesses a diverse fleet of 69 rotary-wing and fixed-wing aircraft that support a variety of government and civil customers worldwide. The Company, which employs 711 individuals, has a broad range of aerial services consisting of three primary business segments: (i) global defense and security, (ii) civil aviation services, and (iii) manufacturing and maintenance, repair, and overhaul. Jeff Roberts was appointed as president and chief executive officer in April 2015. Erickson Incorporated, based in Portland, OR, and its affiliates each filed a Chapter 11 petition (Bankr. N.D. Tex.; Erickson Incorporated, Case No. 16-34393; Evergreen Helicopters International, Inc., Case No. 16-34392; EAC Acquisition Corporation, Case No. 16-34394; Erickson Helicopters, Inc., Case No. 16-34395; Erickson Transport, Inc., Case No. 16-34396; Evergreen Equity, Inc., Case No. 16-34397; Evergreen Unmanned Systems, Inc., Case No. 16-34398) on Nov. 8, 2016. The Hon. Barbara J. Houser presides over the cases. In its petition, Erickson estimated $942.8 million in assets and $881.5 million in liabilities. The Debtors have hired Haynes and Boone, LLP as counsel; Imperial Capital LLC, as investment banker; Alvarez & Marsal as financial and restructuring advisor; and Kurtzman Carson Consultants as claims and noticing agent. ESCALERA RESOURCES: Hires Seaport Global as Investment Banker ------------------------------------------------------------- Escalera Resources Co., seeks authority from the U.S. Bankruptcy Court for the District of Colorado to employ Seaport Global Securities LLC as investment banker to the Debtor. Escalera Resources requires Seaport Global to: a. review and analyze the Debtor's business and financial projections for the purpose of facilitating a transaction; b. assist the Debtor in evaluating, structuring, negotiating and implementing potential Transactions; c. assist the Debtor in preparing descriptive material to be provided to potential parties that might participate in potential Transactions and assist in preparing and maintaining a due diligence package for potential parties to a potential Transaction, including without limitation an electronic data room; d. develop, update and review with the Debtor on an ongoing basis a list of parties that might participate in potential Transactions; e. contact and maintain dialogue with potential parties to potential Transactions; f. assist the Debtor with evaluating potential term sheets, indications of interest, letters of intent and other Transaction agreements; g. assist the Debtor in negotiating agreements and definitive contracts; h. assist as requested in all tasks described in any sale procedures orders entered in the Bankruptcy Case, including negotiation with any stalking horse bidders or other bidders and conducting any auctions; i. participate in hearings before the Bankruptcy Court and provide relevant testimony and other evidence with respect to the matters within the scope of services described herein, including but not limited to adequate protection and valuation; j. assist in the development of financial data and presentations to the Debtor's Board of Directors and representatives, and to various creditors, committees and other parties; and k. perform other services as Seaport Global and the Debtor shall mutually agree. Seaport Global will be paid $50,000 per month for six months, of which $150,000 is due on or before December 30, 2016. Seaport Global will earn a fee of an additional $200,000 in the event of a sale or financing, increasing to $250,000 if the sale occurs more than nine months after the Agreement date. Michael H. Schmidt, member of Seaport Global Securities 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 (a) are not creditors, equity security holders or insiders of the Debtor; (b) have not been, within two years before the date of the filing of the Debtor's chapter 11 petition, directors, officers or employees of the Debtor; and (c) do 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, or for any other reason. Seaport Global can be reached at: Michael H. Schmidt SEAPORT GLOBAL SECURITIES LLC 400 Poydras Street, Suite 3100 New Orleans, LA 70130 Tel: (504) 410-8010 About Escalera Resources Headquartered in Denver, Colorado, Escalera Resources Co. (OTCMKTS: ESCRQ) is an independent energy company engaged in the exploration, development, production and sale of natural gas and crude oil, primarily in the Rocky Mountain basins of the western United States. Escalera was incorporated in Wyoming in 1972 and reincorporated in Maryland in 2001. As of October 2015, the Company had 22 employees, none of whom are subject to a collective bargaining agreement. Escalera has approximately 14,300,000 shares of common stock symbol "ESCR") and 1,610,000 shares of Series A Cumulative Preferred Stock (symbol "ESCRP") outstanding. Escalera Resources filed for Chapter 11 bankruptcy protection (Bankr. D. Colo. Case No. 22395) on Nov. 5, 2015. Adam Fenster, the chief financial officer, signed the petition. Judge Thomas B. McNamara is assigned to the case. The Debtor listed total assets of $97.7 million and total liabilities of $67.7 million as of June 30, 2015. The Debtor has won approval to employ Onsager | Guyerson | Fletcher | Johnson ("OGFJ"), as bankruptcy counsel. Three other professionals were approved by the Court: (i) Hein & Associates, LLP, as accountants for Debtor; (ii) Lindquist & Vennum LLP, as special counsel for the Debtor in connection with the Humphrey Litigation; and (iii) Jones & Keller, P.C., as special counsel for the Debtor for general corporate and securities matters. FARMACIAS FREDDY: Case Summary & 10 Unsecured Creditors ------------------------------------------------------- Debtor: Farmacias Freddy, Inc. PO Box 97 Naguabo, PR 00718 Case No.: 16-09980 Chapter 11 Petition Date: December 23, 2016 Court: United States Bankruptcy Court District of Puerto Rico (Old San Juan) Judge: Hon. Brian K. Tester Debtor's Counsel: Jesus Enrique Batista Sanchez, Esq. THE BATISTA LAW GROUP, PSC Cond Midtown Center 420 Juan Ponce De Leon Ave, Suite 901 San Juan, PR 00918 Tel: 787-620-2856 Fax: 787-620-2854 E-mail: jesus.batista@batistalawgroup.com Total Assets: $646,094 Total Debt: $1.05 million The petition was signed by Ivan Garcia, president. A copy of the Debtor's list of 10 unsecured creditors is available for free at http://bankrupt.com/misc/prb16-09980.pdf FARMER'S MECHANICAL: Hires Bertha Ramirez as Accountant ------------------------------------------------------- Farmer's Mechanical Services, Inc., seeks authority from the U.S. Bankruptcy Court for the District of Arizona to employ Bertha Ramirez Tax & Accounting Service as accountant to the Debtor. Farmer's Mechanical requires Bertha Ramirez to: a. provide payroll services including calculating payroll, payment of employee and employer withholding taxes to the appropriate governmental agencies and filing quarterly and annual payroll tax reports, when needed; b. calculate and file of Quarterly Reports and Annual reports such as W-2's, W-3's and 1099's; c. provide monthly accounting services, preparation of general ledger books and preparation of monthly financial statements; d. assist with preparation of monthly reports required by the United States Trustee; and e. prepare post-petition yearly state and federal tax returns. Bertha Ramirez will be paid at these hourly rates: a. Payroll services $90 per hour b. i. Quarterly Reports $85 per quarter ii. Annual Reports for W-2's and W-3's $50 per annum iii. Annual Reports for 1099 Forms $50 per annum c. Monthly accounting services $180 per month d. Preparation of monthly reports $100 per month Bertha Ramirez will also be reimbursed for reasonable out-of-pocket expenses incurred. Bertha Zavala, member of Bertha Ramirez Tax & Accounting Service, 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. Bertha Ramirez can be reached at: Bertha Zavala BERTHA RAMIREZ TAX & ACCOUNTING SERVICE 825 S 4th Avenue Yuma, AZ 85364 Tel: (928) 580-7414 About Farmer's Mechanical Farmer's Mechanical Services, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Ariz. Case No. 16-11740) on Oct. 12, 2016. At the time of the filing, the Debtor estimated assets and liabilities of less than $100,000. Thomas H. Allen, Esq., and Philip J. Giles, Esq., at Allen Barnes & Jones, PLC, serve as the Debtor's bankruptcy counsel. FINJAN HOLDINGS: Receives Noncompliance Notice from NASDAQ ---------------------------------------------------------- Finjan Holdings, Inc., received on Dec. 16, 2016, a written notification from the staff of the Listing Qualifications Department of The NASDAQ Stock Market LLC indicating that the Company is not in compliance with Nasdaq Listing Rule 5550(b)(2), as the Company's market value of listed securities was below $35 million for the previous 30 consecutive business days. The Notice has no immediate effect on the listing of the Company's common stock, and its common stock will continue to trade on The Nasdaq Capital Market under the symbol "FNJN." In accordance with Nasdaq Listing Rule 5810(c)(3)(C), the Company has a period of 180 calendar days, or until June 14, 2017, to regain compliance with the minimum MVLS requirement. To regain compliance, the Company's MVLS must close at $35 million or more for a minimum of 10 consecutive business days during the 180 calendar day compliance period. The Company intends to monitor its MVLS between now and June 14, 2017, and will consider and evaluate all available options to evidence compliance with the MVLS requirement as may be necessary. There can be no assurance that the Company will be able to regain compliance with the MLVS requirement or will otherwise be in compliance with other Nasdaq listing criteria. The Company said that if it does not regain compliance with the MVLS requirement prior to the expiration of the compliance period, the Company may appeal any delisting determination to a Nasdaq Hearings Panel. About Finjan Finjan, formerly known as Converted Organics, is a leading online security and technology company which owns a portfolio of patents, related to software that proactively detects malicious code and thereby protects end-users from identity and data theft, spyware, malware, phishing, trojans and other online threats. Founded in 1997, Finjan is one of the first companies to develop and patent technology and software that is capable of detecting previously unknown and emerging threats on a real-time, behavior-based basis, in contrast to signature-based methods of intercepting only known threats to computers, which were previously standard in the online security industry. Finjan Holdings reported a net loss of $12.6 million in 2015, a net loss of $10.5 million in 2014 and a net loss of $6.07 million in 2013. As of Sept. 30, 2016, Finjan had $15.04 million in total assets, $4.57 million in total liabilities, $13.68 million in redeemable preferred stock and $3.22 million in stockholders' deficit. FIRST WIVES: Court Extends Plan Filing Period to March 21 --------------------------------------------------------- Judge Mary Kay Vyskocil of the U.S. Bankruptcy Court for the Southern District of New York extended First Wives Entertainment Limited Liability Company's exclusive periods for filing a chapter 11 plan and soliciting acceptances thereto to March 21, 2017 and May 22, 2017, respectively. The Debtor previously sought the extension of its exclusive periods, relating that its case was commenced by an involuntary petition filed by certain of its creditors. The Debtor further related that one of the Petitioning Creditors, who has possession of substantially all the books, records and documents of the Debtor, has refused to provide them to the Debtor. The Debtor asserted that it has not been afforded full access to its books, records and documents though it has made significant efforts to secure them. The Debtor further asserted that it has been compelled to seek the Court's intervention to obtain its books records and documents by filing a request to conduct Bankruptcy Rule 2004 discovery on November 22, 2016. The Debtor further asserted that without its books, records and documents the Debtor is hampered in its efforts to reorganize. The Debtor contends that it sought the Court's approval to retain a chief restructuring professional that will assist the Debtor in negotiating terms of an interim financing that would enable it to meet its administrative expenses. The Debtor further contends that it requires the additional time without the threat of competing plans to prepare and analyze adequate financial information, and ultimately provide a reasonable plan that is in the best interests of all creditors. About First Wives Entertainment Limited Liability Company 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. The Debtor hires Allen G. Kadish, Esq. at DiConza Traurig Kadish LLP as legal counsel. No official committee of unsecured creditors, trustee or examiner has been appointed in the case as of October 24, 2016. FLORIDA FOREST: Seeks 20-Day Exclusivity Extension -------------------------------------------------- Florida Forest Products of Cross City, Inc. requests the U.S. Bankruptcy Court for the Northern District of Florida to extend its exclusivity period for 20 days. The Debtor avers that a plan is due to be filed on or before December 26, 2016. However, due to the Christmas Holidays, the Debtor's counsel is unable to meet with the Debtor's representative to review the final plan and obtain the appropriate signature on the document. The Debtor's counsel anticipates that the plan can be finalized and signed by the Debtor's representative after he returns to Florida on January 2, 2017. In addition, the Debtor's counsel has not been able to confer with Charles Edwards, Assistant U.S. Trustee to ascertain his position as to this request. About Florida Forest Products Florida Forest Products of Cross City, Inc., is a Florida corporation, whose business is primarily retail and wholesale lumber and hardware sales from its location in Cross City, Florida. Florida Forest Products of Cross City, Inc., filed for Chapter 11 bankruptcy protection (Bankr. N.D. Fla. Case No. 16-10148) on June 28, 2016. The petition is signed by Russ Allen, president. The Debtor is represented by Angela M. Ball, Esq., at Angela M. Ball, P.A. The Debtor estimated assets at $0 to $50,000 and debts at $100,001 to $500,000 at the time of the filing. FLY LEASING: S&P Lowers CCR to 'BB-' on Updated Criteria -------------------------------------------------------- S&P Global Ratings lowered its ratings on Fly Leasing Ltd., including lowering the corporate credit rating to 'BB-' from 'BB'. The outlook is stable. At the same time, S&P lowered its issue-level ratings on Fly's secured debt to 'BB+' from 'BBB-', and S&P's issue-level rating on Fly's unsecured debt to 'BB-' from 'BB', and S&P removed the ratings under criteria observation (UCO) identifier S&P applied Dec. 14, 2016. The recovery ratings are not changing. The rating action follows S&P's publication of updated criteria for rating operating leasing companies. The downgrade principally reflects S&P's less favorable assessment of Fly's financial risk profile, which S&P now assess as aggressive under the new criteria, rather than S&P's previous assessment of significant. S&P continues to assess the company's business risk profile as fair. S&P previously rated operating leasing companies using its "2008 Corporate Criteria: Analytical Methodology," which has been retired. S&P now applies its "Corporate Methodology," Nov. 19, 2013, as a general framework, and the Key Credit Factors criteria to incorporate the particular characteristics of operating leasing companies. Fly is among the smallest of the rated aircraft lessors, with a portfolio of 81 aircraft at Sept. 30, 2016. This compares with most portfolios that average 200-300 aircraft. Although the company has sold more than 50 aircraft over the past two years, the quality of its portfolio has improved in terms of average fleet age and longer lease terms. Like other aircraft lessors, Fly generates its revenues from airline customers globally. S&P's business risk assessment incorporates the aircraft leasing sector's medium to long length of typical lease terms, which means that leases would come up for renewal over a period of years during a recession (absent customer defaults), thus minimizing exposure to lower rates on new leases. The proportion of global aircraft provided by lessors is currently around 40%, but is expected to grow as more airlines take advantage of leasing for a variety of reasons. Customers served are airlines, which can experience volatile revenues and profitability and low credit quality, but whose capacity needs are much more stable. Lease rates exhibit moderate volatility in downturns, but utilization remains high, resulting in cash flow which is relatively stable. Fly possesses a relatively small market share on its own (but which is more substantial when combined with its affiliate, BBAM Ltd.), broadly diversified customer base, and more volatile profitability than most of its peers, which S&P measures using earnings before interest and taxes (EBIT) margins. The outlook is stable. The company has reduced the size of its portfolio through the sale of aircraft, which S&P expects to result in somewhat weaker credit metrics in 2016. However, S&P expects them to improve in 2017 as the company rebuilds its portfolio, with EBIT interest coverage in the 1.4x-1.5x area and FFO to debt around 8%. Although unlikely, S&P could lower the rating over the next year if aircraft lease rates deteriorate or the company adds a significant amount of debt to its balance sheet, causing EBIT interest coverage to decline to below 1.3x and FFO to debt to decline to below 6% for a sustained period. S&P could raise its ratings on Fly over the next year if aircraft lease rates improve significantly from their current levels due to stronger demand, causing the company's EBIT interest coverage to increase to at least 1.7x or FFO to debt to increase to at least 9% for a sustained period. FREESEAS INC: Shareholders Elect Dimitris Papadopoulos as Director ------------------------------------------------------------------ FreeSeas Inc. announced that at the annual meeting of the Company's shareholders held Dec. 22, 2016, the shareholders: (i) elected Mr. Dimitris Papadopoulos to the Board of Directors for a three year term; (ii) ratified the appointment of RBSM LLP, as the Company's independent registered public accounting firm for the fiscal year ending Dec. 31, 2016; (iii) granted discretionary authority to the Company's board of directors to (A) amend the Amended and Restated Articles of Incorporation of the Corporation to effect one or more consolidations of the issued and outstanding shares of common stock, pursuant to which the shares of common stock would be combined and reclassified into one share of common stock at a ratio within the range from 1-for-2 up to 1-for-10,000 and (B) determine whether to arrange for the disposition of fractional interests by shareholder entitled thereto, to pay in cash the fair value of fractions of a share of common stock as of the time when those entitled to receive such fractions are determined, or to entitle shareholder to receive from the Corporation's transfer agent, in lieu of any fractional share, the number of shares of common stock rounded up to the next whole number, provided that, (X) that the Corporation shall not effect Reverse Stock Splits that, in the aggregate, exceeds 1-for-10,000, and (Y) any Reverse Stock Split is completed no later than the first anniversary of the date of the Annual Meeting; and (iv) approved an amendment to the Amended and Restated Articles of Incorporation of the Company to increase the Company's authorized shares of common stock from 750,000,000 to 10,000,000,000. About FreeSeas Inc. Headquartered in Athens, Greece, FreeSeas Inc., formerly known as Adventure Holdings S.A., was incorporated in the Marshall Islands on April 23, 2004, for the purpose of being the ultimate holding company of ship-owning companies. The management of FreeSeas' vessels is performed by Free Bulkers S.A., a Marshall Islands company that is controlled by Ion G. Varouxakis, the Company's Chairman, President and CEO, and one of the Company's principal shareholders. The Company's fleet consists of six Handysize vessels and one Handymax vessel that carry a variety of drybulk commodities, including iron ore, grain and coal, which are referred to as "major bulks," as well as bauxite, phosphate, fertilizers, steel products, cement, sugar and rice, or "minor bulks." As of Oct. 12, 2012, the aggregate dwt of the Company's operational fleet is approximately 197,200 dwt and the average age of its fleet is 15 years. Freeseas reported a net loss of US$52.94 million on US$2.30 million of operating revenues for the year ended Dec. 31, 2015, compared to a net loss of US$12.68 million on US$3.77 million of operating revenues for the year ended Dec. 31, 2014. As of Dec. 31, 2015, FreeSeas had US$18.71 million in total assets, US$35.47 million in total liabilities and a total shareholders' deficit of US$16.76 million. RBSM LLP, in New York, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company has incurred recurring operating losses and has a working capital deficiency. In addition, the Company has failed to meet scheduled payment obligations under its loan facilities and has not complied with certain covenants included in its loan agreements and is in default in other agreements with various counter parties. Furthermore, the vast majority of the Company's assets are considered to be highly illiquid and if the Company were forced to liquidate, the amount realized by the Company could be substantially lower that the carrying value of these assets. These conditions among others raise substantial doubt about the Company's ability to continue as a going concern. GENERAL MOTORS: Car Owners Seek to File Late Class Claims --------------------------------------------------------- Kat Greene, writing for Bankruptcy Law360, reported that owners of General Motors vehicles have told a New York federal judge that the Company failed to inform about ignition switch problem and other defects in time for them to lodge claims in the company's bankruptcy. They asked the Court to permit them to file two class claims in the case. They said GM Corp. actively concealed problems with its ignition switches and other defects that impacted the value of the cars and sometimes put drivers in danger. About Motors Liquidation General Motors Corporation and three of its affiliates filed for Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 09-50026) on June 1, 2009. The Honorable Robert E. Gerber presides over the Chapter 11 cases. Harvey R. Miller, Esq., Stephen Karotkin, Esq., and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges LLP, assist the Debtors in their restructuring efforts. Al Koch at AP Services, LLC, an affiliate of AlixPartners, LLP, serves as the Chief Executive Officer for Motors Liquidation Company. GM is also represented by Jenner & Block LLP and Honigman Miller Schwartz and Cohn LLP as counsel. Cravath, Swaine, & Moore LLP is providing legal advice to the GM Board of Directors. GM's financial advisors are Morgan Stanley, Evercore Partners and the Blackstone Group LLP. Garden City Group is the claims and notice agent of the Debtors. The U.S. Trustee appointed an Official Committee of Unsecured Creditors and a separate Official Committee of Unsecured Creditors Holding Asbestos-Related Claims. Lawyers at Kramer Levin Naftalis & Frankel LLP served as bankruptcy counsel to the Creditors Committee. Attorneys at Butzel Long served as counsel on supplier contract matters. FTI Consulting Inc. served as financial advisors to the Creditors Committee. Elihu Inselbuch, Esq., at Caplin & Drysdale, Chartered, represented the Asbestos Committee. Legal Analysis Systems, Inc., served as asbestos valuation analyst. The Bankruptcy Court entered an order confirming the Debtors' Second Amended Joint Chapter 11 Plan on March 29, 2011. The Plan was declared effect on March 31. On Dec. 15, 2011, Motors Liquidation Company was dissolved. On the Dissolution Date, pursuant to the Plan and the Motors Liquidation Company GUC Trust Agreement, dated March 30, 2011, between the parties thereto, the trust administrator and trustee -- GUC Trust Administrator -- of the Motors Liquidation Company GUC Trust, assumed responsibility for the affairs of and certain claims against MLC and its debtor subsidiaries that were not concluded prior to the Dissolution Date. Motors Liquidation had $669 million in total assets, $56.4 million in total liabilities and $613 million in net assets in liquidation as of Dec. 31, 2015. GERALEX INC: Court Extends Plan Filing Deadline to Jan. 25 ---------------------------------------------------------- The Hon. Pamela S. Hollis of the U.S. Bankruptcy Court for the Northern District of Illinois has extended to Jan. 25, 2017, the deadline for Geralex, Inc., to file a disclosure statement and plan of reorganization. Status hearing on the matter is set for Jan. 19, 2017, at 10:30 a.m. The Court has granted the Debtor's request to conditionally approve the Debtor's disclosure statement. As reported by the Troubled Company Reporter on Dec. 23, 2016, the Debtor filed a plan and disclosure statement on Dec. 5, proposing that holders of Class 3 - General Unsecured Claims -- approximately $257,374.28 and impaired under the plan -- be paid in full over time. The Debtor anticipates paying all claims within 52 months, but the amount of time it takes for the Debtor to pay Class 3 Claims in full will ultimately depend upon its financial performance and operating income. About Geralex Inc. Geralex, Inc., is an Illinois corporation with its principal place of business in Chicago, Illinois. The company provides janitorial services to commercial and government facilities, such as airports and schools. It has been in business since 2003. It is owned by Alejandra Alvarado (60%) and Gerardo Alvarado (40%). The Debtor sought Chapter 11 protection (Bankr. N.D. Ill. Case No. 16-06479) on Feb. 26, 2016. GLENN'S INC: Disclosures Okayed, Plan Hearing on Jan. 24 -------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Pennsylvania is set to hold a hearing on Jan. 24 to consider approval of the Chapter 11 plan of reorganization filed by Glenn's, Inc. on Dec. 12. The court will also consider at the hearing the final approval of the company's disclosure statement, which it conditionally approved on Dec. 15. The order set a Jan. 16 deadline for creditors to cast their votes and file their objections. Glenn's, Inc., filed for Chapter 11 bankruptcy protection (Bankr. M.D. Penn. Case No. 16-00302) on Jan. 27, 2016, estimating its assets and liabilities at up to $50,000 each. Henry W Van Eck, Esq., at Mette, Evans, & Woodside serves as the Debtor's bankruptcy counsel. GLOBAL EAGLE: S&P Affirms 'BB-' Rating on Proposed Sr. Facilities ----------------------------------------------------------------- S&P Global Ratings affirmed its 'BB-' issue-level rating, with a recovery rating of '2', on media content and satellite-based connectivity services provider Global Eagle Entertainment Inc.'s proposed senior secured first-lien credit facilities after the company said that it plans to increase the size of its first-lien term loan by $40 million to $500 million. The revised capital structure will include an $85 million revolving credit facility and the $500 million term loan. The company will use the proceeds to refinance its existing debt following the acquisition of Emerging Markets Communications, LLC (EMC). The '2' recovery rating indicates S&P's expectation for substantial (70%-90%; lower half of the range) recovery for lenders in the event of a payment default. At the same time, S&P is withdrawing the 'B-' issue-level rating and '6' recovery rating on the company's proposed second-lien term loan since the company will no longer include this debt in its proposed financing. The 'B-' issue-level rating and '6' recovery rating on the company's existing $83 million senior unsecured convertible notes remains unchanged. The '6' recovery rating indicates S&P's expectation for negligible (0%-10%) recovery for lenders in the event of a payment default. The 'B+' corporate credit rating and stable outlook on Global Eagle also remain unchanged. The stable outlook reflects S&P's expectation that Global Eagle's high leverage, expected to be in the mid-6x area in 2016, will decline significantly to the mid-4x area in 2017, benefiting from organic EBITDA growth and potential acquisitions. RECOVERY ANALYSIS Key analytical factors -- S&P's simulated default scenario contemplates heightened competitive pressures from satellite operators and satellite service providers, which lead to increased churn and pricing pressure that erodes profitability and eventually leads to a default in 2020. -- S&P has used an enterprise valuation approach to assess recovery prospects and have applied a 5.5x multiple (recognizing the value of the company's ground infrastructure, but offset by its leased satellite capacity) to S&P's assumed emergence-level EBITDA of $81 million to arrive at an estimated gross emergence enterprise value of $448 million. S&P's revised valuation reflects the publishing of its revised recovery ratings criteria on Dec. 7, 2016. Simplified waterfall -- EBITDA at emergence: $81 mil. -- EBITDA multiple: 5.5x -- Gross recovery value: $448 mil. -- Net recovery value for waterfall after administrative expenses (5%): $425 mil. -- Obligor/non-obligor valuation split: 100%/0% -- Estimated secured first-lien claims: $581 mil. -- Value available for secured claims: $425 mil. -- Recovery range: 70%-90% (lower half of the range) -- Estimated unsecured claims: $84 mil. -- Value available for unsecured claims: $0 mil. -- Recovery range: 0%-10% Ratings List Global Eagle Entertainment Inc. Corporate Credit Rating B+/Stable Ratings Affirmed Global Eagle Entertainment Inc. Senior Secured BB- Recovery Rating 2L Senior Unsecured B- Recovery Rating 6 Global Eagle Entertainment Inc. Ratings Withdrawn To From Senior Secured NR B- Recovery rating NR 6 GOLDCORP INC: Egan-Jones Lowers Sr. Unsecured Ratings to BB+ ------------------------------------------------------------ Egan-Jones Ratings Company, on Dec. 2, 2016, downgraded the senior unsecured ratings on debt issued by Goldcorp Inc to BB+ from BBB-. Goldcorp is a gold producer headquartered in Vancouver, British Columbia, Canada. The company is engaged in gold mining and related activities including exploration, extraction, processing and reclamation. GOLDEN INSURANCE: A.M. Best Cuts Fin. Strength Rating to B-(Fair) ----------------------------------------------------------------- A.M. Best has downgraded the Financial Strength Rating to B- (Fair) from B (Fair) and the Long-Term Issuer Credit Rating to "bb-" from "bb" of Golden Insurance Company, A Risk Retention Group (Golden) (Incline Village, NV). Concurrently, A.M. Best has placed the Credit Ratings (ratings) under review with negative implications. The rating downgrades are due to the receipt of third-quarter financial statements, which account for revised premium earning patterns prescribed by the Nevada Division of Insurance. As a result of this change, statutory surplus has decreased materially, and there has been a material reduction in the company's overall risk-adjusted capitalization, as measured by Best's Capital Adequacy Ratio (BCAR). Additionally, Golden has experienced a rise in underwriting and loss adjustment expenses that somewhat have deteriorated underwriting results. The new premium earning pattern creates inconsistencies with the company's prior BCAR model, specifically regarding the unearned premium reserve equity. The ratings will remain under review until the company's 2016 year-end actuarial report, which reflects the new earning pattern and year-end 2016 results, can be fully analyzed. GREATER HOPE BAPTIST: Hires Dockery as Tax Consultant ----------------------------------------------------- Greater Hope Baptist Church, Inc., seeks authority from the U.S. Bankruptcy Court for the Western District of Tennessee to employ Dockery Financial Services as tax consultant to the Debtor. Greater Hope Baptist requires Dockery to provide tax consultant services to the Debtor. Dockery will be paid $150 each time it prepares documents to the Debtor. Dockery will also be reimbursed for reasonable out-of-pocket expenses incurred. To the best of the Debtor's knowledge 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. Dockery can be reached at: DOCKERY FINANCIAL SERVICES 55 Hannibal Cove Memphis, TN 38103 Tel: (901) 591-6252 About Greater Hope Baptist Greater Hope Baptist Church, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W. D. Tenn. Case No. 16-30641) on November 17, 2016. The petition was signed by Dannie D. Holmes, authorized representative. The case is assigned to Judge David S. Kennedy. At the time of the filing, the Debtor disclosed $1.06 in assets and $1.18 million in liabilities. GREATER HOPE BAPTIST: Hires Harell as Attorney ---------------------------------------------- Greater Hope Baptist Church, Inc., seeks authority from the U.S. Bankruptcy Court for the Western District of Tennessee to employ Michael Don Harell as attorney to the Debtor. Greater Hope Baptist requires Harell to: a. consult with the Debtor as Debtor-In-Possession concerning all bankruptcy related matters, preparation; and b. file all schedules and statements of affairs and other documents, assistance in the formulation of the Debtor-In- Possession plan and all other legal services necessary to complete the Chapter 11 proceedings. Harell will be paid at the hourly rate of $200. Harell will also be reimbursed for reasonable out-of-pocket expenses incurred. Michael Don Harell 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. Harell can be reached at: Michael Don Harrell, Esq. 1884 Southern Avenue Memphis, TN 38114 Tel: (901) 274-5462 Fax: (901) 278-7600 About Greater Hope Baptist Greater Hope Baptist Church, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W. D. Tenn. Case No. 16-30641) on November 17, 2016. The petition was signed by Dannie D. Holmes, authorized representative. The case is assigned to Judge David S. Kennedy. At the time of the filing, the Debtor disclosed $1.06 in assets and $1.18 million in liabilities. GREEN BOX: Jan. 30 Plan Confirmation Hearing -------------------------------------------- Judge Beth E. Hanan of the U.S. Bankruptcy Court for the Eastern District of Wisconsin approved the third amended disclosure statement filed by Green Box NA Green Bay, LLC on Dec. 21, 2016. The hearing on confirmation of the Plan will be held on Jan. 30, 2017, beginning at 10:00 AM at the U.S. Courthouse, 517 E. Wisconsin Avenue, Courtroom 149, Milwaukee, Wisconsin 53202. The last day for creditors or other parties-in-interest to file written acceptances or rejections of the Plan is Jan. 17, 2017. The exclusive period for soliciting acceptances of the Plan is extended through this date as well. The deadline for creditors and parties-in-interest to file and serve written objections to confirmation of the Plan is Jan. 24, 2017. The deadline for filing a response to any objections to confirmation of the Plan is Jan. 27, 2017. About Green Box NA Green Bay, LLC. Green Box NA Green Bay, LLC filed a chapter 11 petition (Bankr. E.D. Wis. Case No. 16-24179) on April 27, 2016. The petition was signed by Ronald Van Den Heuvel, manager. The Debtor is represented by Paul G. Swanson, Esq., at Steinhilber, Swanson, Mares, Marone & McDermott. The case is assigned to Judge Beth E. Hanan. The Debtor estimated assets of $0 to %50,000 and debts at $10 million to $50 million at the time of the filing. GRIZZLY LAND: Ch. 11 Trustee Allowed to Use Rabo AgriFinance Cash ----------------------------------------------------------------- Judge Joseph G. Rosania, Jr. of the U.S. Bankruptcy Court for the District of Colorado authorized the Chapter 11 Trustee in the case of Grizzly Land LLC to use the cash collateral on a final basis. Judge Rosania acknowledged that the Chapter 11 Trustee's use of Cash Collateral is necessary to continue the Debtor's ordinary course business operations, to maintain and preserve the value of its bankruptcy estate, and to prepare the Debtor's Ranch Property for sale. The Trustee's authorization to use Cash Collateral will terminate upon the occurrence of: (a) the Trustee's failure to comply with the terms of the Final Order in any material respect; and (b) October 15, 2017. The Trustee was permitted to use Cash Collateral, for expenses identified in the approved Budget which includes: (a) working capital requirements; (b) general corporate purposes; and (c) the costs and expenses of administering the chapter 11 case. The approved Budget covers the period from November 2016 through September 2017 with total forecasted cash disbursements of approximately $1,002,983. The Debtor and Rabo AgriFinance LLC had entered into a Loan in the original principal amount of $12,000,000. As of the Petition Date, the balance due and owing by the Debtor under the RAF Loan was $10,330,581, which amount included past principal payment balance due and owing in the amount of $26,000, and an accumulated interest due and owing in the amount of $26,563. The RAF Loan is secured by both the Real Property Collateral and Personal Property Collateral owned by the Debtor. Judge Rosania also acknowledged that the Trustee has voluntarily remitted approximately $468,000 in cash back to Rabo AgriFinance since the date of the Trustee's appointment. The Trustee was directed to pay regular interest at the contract rate set forth in the RAF Loan Documents, costs, and the monthly principal payment of $21,000 for the month of December 2016, and for each month thereafter and through September 2017. Rabo AgriFinance was granted valid, binding, perfected, continuing, enforceable and non-avoidable replacement security interests in, and liens upon all of the Debtor's assets and property, including, without limitation, the Rabo AgriFinance Collateral, which will be junior to Rabo AgriFinance's pre-existing lien or security interest held on the Petition Date. Rabo AgriFinance was also granted an allowed senior administrative expense claim with priority as provided in section 507(b) of the Bankruptcy Code, to the extent of any identifiable diminution in value of Rabo AgriFinance's interests in the Collateral resulting from the use of Cash Collateral, but subject to prior payment of the Carve Out, which consists of the U.S. Trustee fees and unpaid professional fees approved by the Court. The Trustee was directed to comply with these milestones: (a) The Trustee will file his proposed chapter 11 plan and disclosure statement, proposing to liquidate all property owned by the Debtor, on or before January 31, 2017; (b) The Trustee will obtain confirmation of his proposed chapter 11 plan and approval of the accompanying disclosure statement on or before May 1, 2017; (c) The Trustee will enter into a binding agreement to sell the Debtor's Ranch Property in an amount necessary to satisfy Rabo AgriFinance's secured claim, pursuant to the terms of a confirmed chapter 11 plan, on or before August 15, 2017 (d) The Trustee will close on the sale of the Debtor's Ranch Property on or before October 15, 2017, pursuant to the terms of a confirmed chapter 11 plan; and (e) If the Trustee is unable to sell the Debtor’s Ranch Property by October 15, 2017 then, pursuant to the terms of a confirmed chapter 11 plan, the Trustee will have to sell the Debtor's Ranch Property under Section 363 of the Bankruptcy Code and hold a sale of the Ranch Property no later than December 15, 2017, with the minimum bid not being less than an amount necessary to satisfy Rabo AgriFinance's secured claim along with all costs and expenses of a sale. A full-text copy of the Order, dated December 20, 2016, is available at http://tinyurl.com/h7k7sxo About Grizzly Land Grizzly Land LLC sought Chapter 11 protection (Bankr. D. Col. Case No. 16-11757) in Denver on March 1, 2016. Judge Thomas B. McNamara was initially assigned to the case and has been reassigned to Judge Joseph G. Rosania Jr. The petition was signed by Kirk A. Shiner, DVM, manager. The Debtor estimated $10 million to $50 million in assets and debt. The Debtor is represented by Lee M. Kutner, Esq., at Kutner Brinen Garber, P.C. The Debtor hires Ryley Carlock & Applewhite PC as special counsel. 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 Grizzly Land LLC. The Court entered its Order Granting Motion for Appointment of Chapter 11 Trustee on May 25, 2016, and on June 2, 2016, the Court approved the appointment of Mr. Edward Cordes as Trustee for the Debtor's estate. The Chapter 11 trustee hired Moye White LLP as his legal counsel; Burns, Figa & Willas his special counsel; Cordes & Company as accountant; and Dennis & Company, P.C. as tax accountant. GROVE PLAZA: Proposes $4.23MM Sale of Properties to Prathna LLC --------------------------------------------------------------- Grove Plaza Partners, LLC, filed with the Bankruptcy Court a motion seeking approval of the sale of certain real properties to Prathna LLC for $4,225,000, subject to the submission of higher and better bids. The Debtor anticipates that, at the hearing set for Jan. 11, 2017, or shortly thereafter, the Court will have confirmed the Combined Plan of Reorganization and Disclosure Statement (Dated October 21, 2016). The Plan provides the Debtor with authority to sell certain real property free and clear of liens. The properties are identified as follows: Group Name Parcel Description APN Minimum Value ---------- ------------------ --- ------------- Anchor Tenants 99¢ Only & Ross 1051-321-62 $4,970,464 Shop Space Shops at Grove I 1051-321-51 1051-321-55 $2,652,963 Shops at Grove II 1051-321-63 $1,385,157 Shops at Grove III 1051-171-42 $2,959,769 Front Pad Pad to Grove Plaza 1051-171-44 $1,962,025 The property to be sold consists of Molina Healthcare (APN 1051-321-52) and the Shops at Grove I (APN 1051-321-51 and APN 1051-321-55) located at 1151 E. Walnut Avenue and 2528-2538 S. Grove Avenue in Ontario, California. The Plan provides that the Debtor will sell such parcels for at least $4,222,584. The Debtor proposes to sell the Property for the gross price of $4,225,000, subject to higher and better bids. The San Bernardino Tax Collector, Cantor Group II, LLC, Amor Architectural Corporation, JG Construction and Universal Site Services -- Secured Creditors -- all assert liens against the Property and other real property collateral in the aggregate amount of approximately $14,656,145. The $2,847,301 of Cantor Group's claim is disputed. This Motion requests authority to sell the Property free and clear of all liens, claims and encumbrances of the Secured Creditors pursuant to the Plan. Prathna Asset Purchase Agreement Prathna LLC has agreed to purchase the Property for the gross price of $4,225,000. The salient terms of the Purchase Agreement with Prathna are: a. Prathna, or its related assignee, will purchase the Property for the gross price of $4,225,000. b. The sale will close on or before Feb. 20, 2017, unless extended pursuant to the terms of the agreement or order of the Court. c. The agreement provides for a due diligence period ending on Dec. 15, 2017. The agreement provides for a financing contingency to be waived on or before Feb. 14, 2017. Approximately 65% of the gross price is to be financed. d. Prathna has deposited $50,000 to escrow. As of the time of hearing, Prathna will have deposited an additional $50,000, for a total of $100,000. The deposits are refundable only if: (1) the agreement is terminated prior to removal of waiver of the contingencies provided in the PSA; or (2) Prathna is overbid and is not the successful bidder. e. Unpaid real property taxes will be pro-rated. Escrow fees will be split evenly between the buyer and seller. All other closing costs will be allocated in accordance with the custom and practice prevailing in Riverside County. Marcus & Millichap Real Estate Investment Services represents the Debtor exclusively. Marcus & Millichap earns a commission of 4 percent of the gross price of each sale. This Motion requests approval of Marcus & Millichap's commission but does not request authority to pay it, reserving payment in accordance with the Plan. If the Property is sold to Prathna for $4,225,000, Marcus & Millichap's commission will be $168,903. Overbid Procedures The sale to Prathna is subject to higher and better bids. The Debtor requests approval of these bidding and sale procedures: * The auction will be held on Jan. 20, 2017, at 10:00 a.m., in the courtroom of the Honorable Dennis Montali, located at 450 Golden Gate Avenue, 16th Floor, Courtroom 17, in San Francisco, California, or at another time or location if ordered by the Court and announced at the aforesaid time and place. * All potential bidders must contact counsel for the Debtor at least three business days prior to the hearing. At the time and place of auction, all bidders will present the Debtor with evidence of funds or financing acceptable to the Debtor in an amount necessary to meet the initial bid plus the minimum initial overbid amount ($4,275,000). * The minimum initial overbid will be $50,000, and the minimum amount of all subsequent bids will be $50,000. Bids will be accepted from bidders or their authorized representatives who are present at the auction in person; bids by telephone, facsimile, email, letter or similar means will not be accepted unless the Debtor expressly agrees otherwise. * All bids will be on terms equivalent to or better than the terms provided in the PSA, including terms with respect to due diligence, inspections, contingencies and the time for closing. Deadlines set and running under the PSA will continue to run and will not be extended. The highest and best bid will be reduced to a written agreement on or before three calendar days following the hearing on approval of the sale. * Secured Creditors will be afforded any rights to credit bid to which they are otherwise entitled under the Bankruptcy Code and applicable law. Cantor Group's credit bid may include the disputed amount of its claim; provided, however, that payment thereof will not terminate any litigation or proceedings involving the claim. The Debtor reserves all rights with respect thereto. * The sale will be free and clear of all liens, claims and encumbrances of the Secured Creditors. All such liens will attach to the proceeds of sale with the same validity, extent, priority and amount as immediately prior to the sale, including any proceeds held in the disputed claims reserve. Sale proceeds subject to such liens will be promptly distributed to the Secured Creditors in their order of priority upon close of escrow, except for proceeds held in the disputed claims reserve. * The sale will be on an "as is," "where is," and "with all faults" basis. * If Prathna is overbid and is not the successful bidder, all deposits will be refunded. The successful bidder will deposit $100,000 to escrow within three calendar days of the hearing. Said deposit will be refundable only upon terms equivalent to or better than those provided in the PSA; otherwise it will be non-refundable. Deposits will be applied toward the gross purchase price. A full-text copy of the Motion is available at: http://bankrupt.com/misc/canb16-30531_156_Sale_M_Grove_Plaza.pdf About Grove Plaza Partners Headquartered in Redwood Shores, Cal., Grove Plaza Partners, LLC, filed for Chapter 11 bankruptcy protection (Bankr. N.D. Cal. Case No. 16-30531) on May 13, 2016, estimating its assets and liabilities between $10 million and $50 million. The petition was signed by George A. Arce, Jr., manager. The case is assigned to Judge Dennis Montali. Reno F.R. Fernandez, Esq., and Matthew J. Olson, Esq., at MacDonald Fernandez LLP, serve as the Debtor's bankruptcy counsel. GROW CONDOS: Scrudato Barred from Acting as Auditor by PCAOB ------------------------------------------------------------ Grow Condos, Inc. disclosed in an amended Form 8-K report filed with the Securities and Exchange Commission that the Company was advised by the staff of the SEC that on Dec. 20, 2016, the Public Company Accounting Oversight Board issued Release No. 105-2016-054 wherein it barred John Scrudato, CPA, Certified Public Accountants from acting as independent auditor for public companies. Grow Condos dismissed Scrudato from its position as the Company's independent registered public accounting firm on Oct. 17, 2016. The Company's Board of Directors approved the dismissal. The Company engaged Scrudato to serve as its independent registered public accounting firm in or about September 2015. The audit report of Scrudato on the Company's financial statements for the year ended June 30, 2016, did not contain an adverse opinion or disclaimer of opinion, however it did contain a qualification describing a going concern uncertainty. Scrudato did not, during the applicable periods, advise the Company of any of the enumerated items described in Item 304(a)(1)(iv) of Regulation S-K. "During the two most recent fiscal years and the period to the date of this Current Report, there were no (i) disagreements between the Company and Scrudato on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to its satisfaction, would have caused Scrudato to make reference to the subject matter of such disagreements in connection with its report, or (ii) "reportable events," as described in Item 304(a)(1)(v) of Regulation S-K," the Company said. The Company has engaged Anthony Imbimbo, CPA and Associates as its new independent accountants on Oct. 17, 2016. Prior to Oct. 17, 2016, the Company had not consulted with Imbimbo regarding (i) the application of accounting principles to a specified transaction, either completed or proposed, or the type of audit opinion that might be rendered on the Company's consolidated financial statements, and no written report or oral advice was provided to the Company by Imbimbo concluding there was an important factor to be considered by the Company in reaching a decision as to an accounting, auditing or financial reporting issue; or (ii) any matter that was either the subject of a disagreement, as that term is defined in Item 304(a)(1)(iv) of Regulation S-K and the related instructions to Item 304 of Regulation S-K, or a reportable event, as that term is defined in Item 304(a)(1)(v) of Regulation S-K. About Grow Condos Grow Condos, Inc., operates as a real estate purchaser, developer, and manager of specific use industrial properties in the United States. The company provides condo type turn-key grow facilities to support cannabis growers. It is also involved in the development, lease, ownership, and provision of investment sales opportunities for commercial industrial properties focused in the cannabis production arena. The company is based in Eagle Point, Oregon. Grow Condos reported a net loss of $1.49 million on $118,533 of total revenues for the year ended June 30, 2016, compared to a net loss of $251,338 on $54,998 of total revenues for the year ended June 30, 2015. As of Sept. 30, 2016, Grow Condos had $1.65 million in total assets, $2.48 million in total liabilities and a total shareholders' deficit of $829,090. John Scrudato CPA, in Califon, Newt Jersey, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company operates with an industry that is illegal under federal law, has yet to achieve profitable operations, has a significant accumulated deficit and is dependent on its ability to raise capital from stockholders or other sources to sustain operations and to ultimately achieve viable profitable operations. These factors raise substantial doubt about the Company's ability to continue as a going concern. HAWAII PACIFIC: S&P Lowers Rating on 2013A Revenue Bonds to 'BB' ---------------------------------------------------------------- S&P Global Ratings lowered its long-term rating to 'BB' from 'BB+' on Hawaii State Department of Budget and Finance's series 2013A special purpose revenue bonds, issued for Hawaii Pacific University (HPU). The outlook is stable. "The rating action reflects our view of the university's weakened overall credit profile, which has been pressured by consistent declines in enrollment," said S&P Global Ratings credit analyst Debra Boyd. The stable outlook reflects S&P's opinion that HPU will stabilize enrollment within the outlook period as it continues to implement its strategic plan. HEADWATERS INC: Egan-Jones Lowers Sr. Unsec. Ratings to B+ ---------------------------------------------------------- Egan-Jones Ratings Company, on Dec. 12, 2016, downgraded the senior unsecured ratings on debt issued by Headwaters Inc. to B+ from BB-. Headwaters Inc provides products, technologies, and services to construction materials, coal combustion products, and alternative energy industries in the United States. HOLIDAY SUPERMARKETS: Hires Adam Simmens as Accountant ------------------------------------------------------ Holiday Supermarkets, Inc., seeks authority from the U.S. Bankruptcy Court for the Eastern District of Pennsylvania to employ Adam Simmens, C.P.A. as accountant to the Debtor. Holiday Supermarkets requires Simmens to provide accounting services to the Debtor in relation to the Chapter 11 Bankruptcy proceedings. Simmens will be paid at the hourly rate of $250. Simmens will be paid a retainer in the amount of $3000. Simmens will also be reimbursed for reasonable out-of-pocket expenses incurred. Adam Simmens, member of Adam Simmens, C.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. Simmens can be reached at: Adam Simmens ADAM SIMMENS, C.P.A. 1135 E Erie Avenue Philadelphia, PA 19124 Tel: (215) 288-8051 About Holiday Supermarkets Holiday Supermarkets, Inc. is a corporation which is engaged in the business of operating two supermarkets in the City of Philadelphia. Holiday Supermarkets, Inc. filed a Chapter 11 petition (Bankr. E.D. Pa. Case No. 16-17541), on October 26, 2016, disclosing under $1 million in both assets and liabilities. The Debtor is represented by David A. Scholl, Esq. at Law Office of David A. Scholl. IHEARTMEDIA INC: S&P Raises CCR to 'CC' on Proposed Debt Exchange ----------------------------------------------------------------- S&P Global Ratings raised its corporate credit rating on Texas-based media company iHeartMedia Inc., and subsidiary iHeartCommunications Inc., to 'CC' from 'SD'. S&P maintained its 'D' issue-level rating on the 5.5% senior unsecured notes, given the missed maturity payment. The recovery rating on this debt remains '6', reflecting S&P's estimate of negligible (0% to 10%) recovery to creditors in the event of a payment default. All other issue level and recovery ratings remain unchanged. The rating action follows iHeartCommunications' announcement that it has offered to exchange its 10% senior notes due 2018 for priority guarantee notes due 2021. The company's debt is trading at significant discounts to par of 25% to 50%, and S&P believes its capital structure is unsustainable. If the 10% noteholders accept the offer by Jan. 4, 2017, they would receive an equal amount of par value of the priority guarantee notes. The rating outlook is negative. S&P intends to lower the corporate credit rating to 'SD' and the senior note rating to 'D' on completion of the exchange offer. Subsequently, S&P would assign a corporate credit rating and outlook that reflect the new capital structure. INTERLEUKIN GENETICS: Pyxis Designee Quits as Director ------------------------------------------------------ Roger C. Colman, a director of Interleukin Genetics, Inc., informed the Company that he was resigning as a director effective as of the close of business on Dec. 30, 2016. Pursuant to the terms of the Securities Purchase Agreement, dated July 29, 2016, Mr. Colman served as a director designated by Pyxis Innovations, Inc. Mr. Colman informed the Company that he was retiring from Pyxis. Under the terms of the Agreement, Pyxis has the right to appoint a successor to replace Mr. Colman as its designee to the Board. Pyxis has, however, irrevocably waived its right under the Agreement to designate this representative to be nominated for election to the Board and to replace any such designated Board member in the event such Board member ceases to serve as a director for any reason. Pyxis retains the right under the Agreement to appoint one other board member (currently Joseph Landstra). About Interleukin Waltham, Mass.-based Interleukin Genetics, Inc., is a personalized health company that develops unique genetic tests to provide information to better manage health and specific health risks. Interleukin reported a net loss of $7.89 million on $1.44 million of total revenue for the year ended Dec. 31, 2015, compared to a net loss of $6.33 million on $1.81 million of total revenue for the year ended Dec. 31, 2014. As of Sept. 30, 2016, Interleukin had $5.80 million in total assets, $7.14 million in total liabilities and a total stockholders' deficit of $1.33 million. Grant Thornton LLP, in Boston, Massachusetts, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company has incurred recurring losses from operations and has an accumulated deficit that raise substantial doubt about the Company's ability to continue as a going concern. INTERNATIONAL TECHNICAL: Unsecureds May Recoup 61% Under Plan ------------------------------------------------------------- International Technical Coatings, Inc., filed with the U.S. Bankruptcy Court for the District of Arizona a second amended disclosure statement in support of its second amended disclosure statement dated Nov. 8, 2016 (as revised Dec. 14, 2016). The Plan provides for holders of allowed unsecured claims to elect two alternative treatments. Holders of Allowed Unsecured Claims may choose to elect: (a) payment of 61% of its allowed claim on the Effective Date in full satisfaction of its claim; or (b) payment of the full amount of its Allowed Claim over the course of three years, the payments to be made in 12 equal quarterly installments commencing 90 days after the Effective Date, and continuing at three month intervals following the initial quarterly installment. Unsecured claimants that elect full payment over time will receive interest at the unsecured claims rate. In the event that only a small number of Allowed Unsecured Claims elect payment of 61% on the Effective Date, the Debtor may extend the time for full payment up to an additional 8 quarters. In that event, the Debtor will also reduce its anticipated capital expenditures during (potential) years 4 and 5 of the Plan to $250,000 per year. Under the Plan, the Debtor will receive $3 million contribution from Johnnie Caldwell and will refinance the obligations owing to TGF (allowing the Debtor to pay the TGF loans in full on the Effective Date). The Second Amended Disclosure Statement is available at: http://bankrupt.com/misc/azb15-14709-735.pdf As reported by the Troubled Company Reporter on Oct. 17, 2016, the Debtor submitted with the Court an amended disclosure statement in support of its amended plan of reorganization. That Amended Disclosure Statement provided additional info on the Debtor's liabilities to date. The Debtor said in that Amended Disclosure Statement that it hoped to finalize a financing commitment no later than Oct. 31, 2016. About Int'l Technical Coatings International Technical Coatings, Inc., is a Phoenix, Arizona-based steel wire manufacturer. It has facilities located in Phoenix, Arizona and Columbus, Ohio. ITC filed a Chapter 11 bankruptcy petition (Bank. D. Ariz. Case No. 15-14709) on Nov. 18, 2015. John Caldwel, the chairman, signed the petition. Judge Madeleine C. Wanslee is assigned the case. Bank of America Bank, N.A., which is owed more than $25.7 million in outstanding matured, defaulted loan obligations, applied for the appointment of a receiver over ITC on Oct. 28, 2015. The Maricopa County Superior Court held an initial hearing on the matter on Nov. 4, 2015, and a final hearing was scheduled for Nov. 18. Unable to secure an agreement with the Bank prior to the scheduled hearing, ITC filed for Chapter 11 protection. In its petition, the Debtor estimated assets of $50 million to $100 million and liabilities of more than $10 million. The Debtor tapped Osborn Maledon, P.A., as bankruptcy counsel.Â Morris Anderson & Associates, Ltd., serves as the Debtor's financial advisor. The Office of the U.S. Trustee appointed seven creditors to the official committee of unsecured creditors. Stinson Leonard Street, LLP represents the committee. The Law Offices of Michael W. Carmel, Ltd., serves as its conflicts counsel. The Committee retained KRyS Global, USA, as its financial advisor. Secured creditor Bank of America is represented by Robert J. Miller, Esq., Kyle S. Hirsch, Esq., and Amanda L. Cartwright, Esq., at Bryan Cave LLP. J COPELLO INTERNATIONAL: Case Summary & 20 Top Unsecured Creditors ------------------------------------------------------------------ Debtor: J Copello International Corporation dba Copello Electric P.O. Box 1246 Millbrae, CA 94030 Case No.: 16-31345 Chapter 11 Petition Date: December 16, 2016 Court: United States Bankruptcy Court Northern District of California (San Francisco) Judge: Hon. Dennis Montali Debtor's Counsel: Stephen D. Finestone, Esq. FINESTONE HAYES LLP 456 Montgomery St. 20th Fl. San Francisco, CA 94104 Tel: (415) 421-2624 E-mail: sfinestone@fhlawllp.com Total Assets: $744,622 Total Liabilities: $2.90 million The petition was signed by Jack Copello, president. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/canb16-31345.pdf J.B.B. ENTERPRISES: Court Conditionally Approves Plan Outline ------------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Georgia has granted the application filed by J.B.B. Enterprises, Inc. to conditionally approve the disclosure statement, which explains its proposed Chapter 11 plan of reorganization. Under U.S. bankruptcy law, a company must get approval of its disclosure statement detailing its bankruptcy plan to begin soliciting votes from creditors. The document must contain adequate information to enable creditors to make an informed decision about the bankruptcy plan. About J.B.B. Enterprises J.B.B. Enterprises, Inc., filed for Chapter 11 bankruptcy protection (Bankr. M.D. Ga. Case No. 16-70102) on Jan. 29, 2016. The Debtor is represented by Wesley J. Boyer, Esq., at Katz, Flatau, Popson and Boyer, LLP. JEFFREY L. MILLER: Intends to Use Private Financing Cash Collateral ------------------------------------------------------------------- Jeffrey L. Miller Investments, Inc. seeks authorization from the U.S. Bankruptcy Court for the Middle District of Florida to use cash, accounts receivable and other income derived from the Debtor's operations to fund its operating expenses and costs of administration for the duration of its chapter 11 case. The Debtor proposes to use Cash Collateral in accordance with its proposed Budget for the payment of necessary owners/operators, employees, supplies, and ordinary business expenses related to its operations. The proposed Budget covers the period from December 2016 through May 2017, and projects total monthly expenses of $38,518. The Debtor's primary business is the ownership and leasing of Real Property located at 2400, 2250, 2304, 2410 East Busch Boulevard, Tampa, FL. The Debtor believes that Private Financing Alternatives, LLC, its pre-petition secured creditor, holds a first position mortgage in the estimated amount of $3,738,153. The Debtor offers to provide each Creditor with post-petition liens on the Collateral to the same extent, validity and priority as existed pre-petition. The Debtor proposes to make monthly adequate protection payments to Private Financing in the amount of $31,607.51, which includes a tax escrow component. A full-text copy of the Debtor's Motion, dated December 20, 2016, is available at http://tinyurl.com/jre8kkr About Jeffrey L. Miller Investments Jeffrey L. Miller Investments, Inc., based in Tampa, FL, filed a Chapter 11 petition (Bankr. M.D. Fla. Case No. 16-10036) on Nov. 23, 2016. The petition was signed by Jeffrey L. Miller, president. The Debtor is represented by Buddy D. Ford, Esq., at Buddy D. Ford, P.A. The Debtor disclosed $6.54 million in assets and $4.18 million in liabilities at the time of the filing. KALOBIOS PHARMACEUTICALS: Has $3.3M Credit Pact with Black Horse ---------------------------------------------------------------- KaloBios Pharmaceuticals, Inc., entered into a credit and security agreement with Black Horse Capital Master Fund Ltd., as administrative agent and lender, Black Horse Capital LP, as a lender, Cheval Holdings, Ltd., as a lender and Nomis Bay LTD, as a lender on Dec. 21, 2016. The Credit Agreement provides for a credit facility in the original principal amount of $3,315,217. The Credit Agreement provides that the Term Loan will be made by the Lenders at an original discount equal to $265,217 and requires the payment by the Company to the Lenders of a commitment fee equal to $152,500. In accordance with the terms of the Credit Agreement, the Company will use the proceeds of the Term Loan for general working capital, the payment of certain fees and expenses owed to the Agent and the Lenders in connection with the Credit Agreement and other costs incurred in the ordinary course of business. Pursuant to the terms of the Credit Agreement, the Term Loan will bear interest at a rate per annum equal to 9.00%. The Term Loan is subject to certain customary representations, warranties and covenants. The outstanding principal balance of the Term Loan, plus accrued and unpaid interest, plus the Commitment Fee and all other non-contingent obligations, will mature on the earlier of acceleration after an event of default under the Credit Agreement, or Oct. 31, 2017. However, to the extent the Company raises capital through any SEC-registered stock offering, 50% of such offering's proceeds (net of costs) must be used to pay down the Term Loan. Upon the occurrence of any event of default set forth in the Credit Agreement, the Agent has the option of terminating the Credit Agreement and declaring all of the Company's obligations immediately payable. The occurrence of an event of default will cause the Term Loan to bear interest at a rate per annum equal to 14.00%. The Company's obligations under the Credit Agreement will be secured by first priority security interests in all of the Company's real and personal property, subject only to certain carve outs and permitted liens, as set forth in the Credit Agreement. The Company has and will, at the request of the Agent, enter into additional documents further documenting the Term Loan and securing the Company's obligations under the Credit Agreement in favor of the Agent and for the benefit of the Lenders. Intellectual Property Security Agreement In connection with the Credit Agreement, the Company executed in favor of the Agent an Intellectual Property Security Agreement, dated as of Dec. 21, 2016. Under the terms of the IP Security Agreement, the Company has pledged to the Agent for the ratable benefit of the Lenders, as collateral for its obligations under the Credit Agreement, all of its intellectual property. Promissory Notes In connection with the Company's execution of the Credit Agreement, the Company has issued in favor of each Lender a promissory note in an amount equal to each Lender's Term Loan commitment under the Credit Agreement. About KaloBios Pharmaceuticals Based in South San Francisco, Calif., KaloBios Pharmaceuticals, Inc., is a biopharmaceutical company focused on the development of monoclonal antibody therapeutics. KaloBios Pharmaceuticals (Nasdaq: KBIO) on Dec. 29, 2015, filed a voluntary petition for bankruptcy protection under Chapter 11 of Title 11 of the United States Bankruptcy Code (Bankr. D. Del. Case No. 15-12628). The Company was represented by Eric D. Schwartz of Morris, Nichols, Arsht & Tunnell. Six months after its bankruptcy filing, KaloBios emerged from Chapter 11 bankruptcy and has also acquired the rights from Savant Neglected Diseases LLC to develop benznidazole for the treatment of Chagas disease. KALOBIOS PHARMACEUTICALS: Inks 2nd Amendment to Black Horse APA --------------------------------------------------------------- KaloBios Pharmaceuticals, Inc., entered into a Securities Purchase Agreement with Black Horse Capital LP, Black Horse Capital Master Fund Ltd., Cheval Holdings, Ltd., and Nomis Bay LTD on April 1, 2016. Pursuant to the SPA, the Company issued an aggregate of 7,624,643 shares of its common stock to the Initial Purchasers. The Company understands that pursuant to subsequent assignments, certain of these shares and rights of the Initial Purchasers under the SPA related thereto were assigned to Acqua Wellington Opportunity, LP and H&M Ventures II LLC. Under the original terms of the SPA, the Company was required to: * use commercially reasonable efforts to cause a registration statement registering the resale by the Purchasers of the shares issuable under the SPA to be declared effective by the SEC no later than Dec. 27, 2016; * keep the registration statement effective until all of the shares issued pursuant to the SPA are eligible for resale by the Purchasers without volume restrictions under an exemption from registration under the Securities Act; and * issue additional shares of common stock to the Purchasers in an amount equivalent to 10.0% of the shares originally purchased under the SPA that are then held by the Purchasers, if the registration statement had not been declared effective by Dec. 27, 2016, and any of the shares issued pursuant to the SPA are not eligible to be sold under Rule 144, during each subsequent thirty day period (or portion thereof) until the registration statement is declared effective. On Oct. 28, 2016, the Company and the Purchasers entered into an amendment to the SPA, which required the Company to file a resale registration statement by Jan. 10, 2017 and cause it to become effective no later than March 31, 2017. The requirement to issue additional shares to the Purchasers if effectiveness of the resale registration statement is delayed beyond March 31, 2017 would not be implicated until April 1, 2017. On Dec. 19, 2016, the Company and the Purchasers entered into a second amendment to the SPA, which now requires the Company to file a resale registration statement by March 17, 2017, and cause it to become effective no later than June 19, 2017. The requirement to issue additional shares to the Purchasers if effectiveness of the resale registration statement is delayed beyond June 19, 2017, would not be implicated until June 20, 2017. About KaloBios Pharmaceuticals Based in South San Francisco, Calif., KaloBios Pharmaceuticals, Inc. (Nasdaq: KBIO), is a biopharmaceutical company focused on the development of monoclonal antibody therapeutics. KaloBios Pharmaceuticals on Dec. 29, 2015, filed a voluntary petition for bankruptcy protection under Chapter 11 of Title 11 of the United States Bankruptcy Code (Bankr. D. Del. Case No. 15-12628). The Company was represented by Eric D. Schwartz of Morris, Nichols, Arsht & Tunnell. Six months after its bankruptcy filing, KaloBios emerged from Chapter 11 bankruptcy and has also acquired the rights from Savant Neglected Diseases LLC to develop benznidazole for the treatment of Chagas disease. KANE CLINICS: Hires Jones & Walden as Counsel --------------------------------------------- The Kane Clinics LLC, seeks authority from the U.S. Bankruptcy Court for the Northern District of Georgia to employ Jones & Walden, LLC as counsel to the Debtor. Kane Clinics requires Jones & Walden to: (a) prepare pleadings and applications; (b) conduct of examination; (c) advise the Debtor of its rights, duties and obligations as a debtor-in-possession; (d) consult with the Debtor and represent the Debtor with respect to a Chapter 11 plan; (e) perform those legal services incidental and necessary to the day-to-day operations of the Debtor's business, including, but not limited to, institution and prosecution of necessary legal proceedings, and general business legal advice and assistance; (f) take any and all other action incident to the proper preservation and administration of the Debtor's estate and business. Jones & Walden will be paid at these hourly rates: Attorney $200-$350 Legal Assistants $90 Jones & Walden will be paid a retainer in the amount of $37,147.50. Jones & Walden will also be reimbursed for reasonable out-of-pocket expenses incurred. Leslie M. Pineyro, member of Jones & Walden, 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 Debtor and its estates. Jones & Walden can be reached at: Leslie M. Pineyro, Esq. JONES & WALDEN, LLC 21 Eighth Street, NE Atlanta, GA 30309 Tel: (404) 564-9300 Fax: (404) 564-9301 About The Kane Clinics The Kane Clinics, LLC filed a chapter 11 petition (Bankr. N.D. Ga. Case No. 16-72304) on Dec. 14, 2016. The Debtor is represented by Leslie M. Pineryo, Esq., at Jones & Walden, LLC. In its petition, the Debtor estimated $0 to $50,000 in assets and $1 million to $10 million in liabilities. The petition was signed by Maria Francis, CEO & member. The Debtor is a Georgia limited liability company. It operates obstetrics and gynecological clinics with an emphasis on serving uninsured and undeserved patients. KING & QUEEN: Unsecureds To Get $100 Per Month For 50 Mos. ---------------------------------------------------------- King & Queen, LLC, filed with the U.S. Bankruptcy Court for the District of Maryland a disclosure statement dated Dec. 14, 2016, referring to the Debtor's plan of reorganization. Class IV – Other Unsecured Claims are impaired under the Plan. The Debtor will pay the holder of Class IV claims the sum of $13,500 at the rate of $100 per month for the next 50 months. The payments will start on the 15th day of the first month after the Effective Date. Plan payments will be derived from the Debtor-in-possession's wages initially and then from operational revenues derived from the rental income, less expenses, from the properties known as 1155 Washington Boulevard, Baltimore, Maryland; 1124 Washington Boulevard, Baltimore, Maryland; and 2666 Dulany Street, Baltimore, Maryland. Eventually during the process of administering the Plan one of the properties will be sold to meet the obligations of the Plan. The Disclosure Statement is available at: http://bankrupt.com/misc/mdb16-17120-30.pdf The Plan was filed by the Debtor's bankruptcy counsel: W. Timothy Sutton, Esq. COOPER & TUERK, LLP 201 North Charles Street, Suite 2300 Baltimore, Maryland 21201 Tel: (410) 539-0300 E-mail: Timsutton@candtlawyers.com King & Queen, LLC, filed for Chapter 11 bankruptcy protection (Bankr. D. Md. Case No. 16-17120) on May 24, 2016, estimating its assets at up to $50,000 and its liabilities at between $100,001 and $500,000. Walter Timothy Sutton, Esq., at Cooper & Tuerk LLP serves as the Debtor's bankruptcy counsel. LEGENDS COLLISION: Hires The Alt Key as Accountant -------------------------------------------------- Legends Collision, LLC, seeks authority from the U.S. Bankruptcy Court for the District of Arizona to employ The Alt Key, PLLC as accountant to the Debtor. Legends Collision requires The Alt Key to assist the Debtor in the preparation of necessary tax returns, financial statements, monthly operating reports and any other accounting matters that may require assistance during the course of the Chapter 11 proceeding. The Alt Key will be paid at these hourly rates: Partners $275 Managers $200 Support Staff $60-$140 The Alt Key will also be reimbursed for reasonable out-of-pocket expenses incurred. Steven J. Parker, member of The Alt Key, PLLC, 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. The Alt Key can be reached at: Steven J. Parker THE ALT KEY, PLLC 2151 East Broadway Road, Suite 115 Tempe, AZ 85282 Tel: (480) 558-4400 About Legends Collision Legends Collision, LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Ariz. Case No. 16-12658) on November 3, 2016. The petition was signed by Jonathan J. Conner, managing member. The case is assigned to Judge Brenda K. Martin. At the time of the filing, the Debtor disclosed $625,087 in assets and $1.74 million in liabilities. LIFE CHANGE: Disclosures Okayed, Plan Hearing on Feb. 21 -------------------------------------------------------- The U.S. Bankruptcy Court for the Western District of Tennessee will hold a pretrial conference on confirmation of Life Change "N" Ministries' Chapter 11 plan of reorganization. The conference will be held on Feb. 21, at 11:00 a.m., at Courtroom 630, 200 Jefferson Avenue, Memphis, Tennessee. The court had earlier approved the disclosure statement, allowing Life Change to start soliciting votes from creditors. The Dec. 14 order set a Feb. 13 deadline for creditors to cast their votes and file their objections to the restructuring plan. Under the proposed plan, Class 4 unsecured priority claim of The Shelby County Trustee will be paid in full at 5.25% interest and a monthly payment of $172.34. The Shelby County Trustee is owed $10,339.79 in delinquent property taxes. Meanwhile, Class 5 priority claims of The City of Memphis will be paid in full at 12% interest and a monthly payment of $46. The City of Memphis is owed the sum of $1552.34 for delinquent property taxes. Funds needed to make cash payments for allowed administrative claims on the effective date of the plan will come from Life Change's gross income and assets. About Life Change "N" Ministries Life Change "N" Ministries operates as an urban ministry at 2453 Park Avenue, Memphis, Tennessee. Its business consists of providing religious, spiritual and counseling services to residents of the Orange Mound community of Shelby County, Tennessee. Life Change "N" Ministries sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W. D. Tenn. Case No. 16-28056) on Sept. 2, 2016, and is represented by John E. Dunlap, Esq., at The Law Offices of John E. Dunlap, P.C. At the time of the filing, the Debtor estimated assets and liabilities of less than $100,000. The Office of the U.S. Trustee on Oct. 5 disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of Life Change "N" Ministries. LINN ENERGY: Asks Court for May 16 Plan Exclusivity Extension ------------------------------------------------------------- Linn Energy, LLC and its affiliates seek an extension from the U.S. Bankruptcy Court for the Southern District of Texas of the exclusive periods during which the Debtors have the exclusive right to file a chapter 11 plan and solicit acceptances of such plan, through and including May 16, 2017 and July 15, 2017, respectively. The Debtors relate that all throughout their chapter 11 cases, they have dedicated considerable time in developing a strategy that will maximize value for all stakeholders and bring their cases to a successful conclusion. The Debtors further relate that these efforts have borne fruit and, after filing an initial plan of reorganization, the Debtors have now filed proposed amended plans of reorganization for the LINN Debtors and the Berry Debtors that are supported by all of the Debtors' major creditor constituencies. Having received approval of the adequacy of information contained in the disclosure statement supporting the Amended LINN Plan on December 13, 2016, solicitation on the Amended LINN Plan is now underway. Similarly, the Amended Berry Plan was approved on December 21, 2016, and solicitation on the Amended Berry Plan will start soon. A hearing on the confirmation of the Amended LINN Plan and the Amended Berry Plan is set for January 24, 2017. However, the period during which the Debtors have the exclusive right to file a chapter 11 plan would expire on January 16, 2017, and the deadline under which the Debtors have the exclusive right to solicit a plan filed during the exclusive filing period would expire on March 17, 2017. Out of an abundance of caution, the Debtors are requesting an additional 120-day extension of the Exclusive Periods to ensure that they will have sufficient time to consummate the Amended LINN Plan and the Amended Berry Plan, and achieve the successful conclusion of these cases. The Debtors contend that an extension will avoid wasteful distraction that might needlessly prolong the administration of the Debtors' estates and allow the Debtors and their stakeholders to capitalize on the positive momentum achieved through the filing of the Amended LINN Plan, the Amended Berry Plan, the Amended LINN Disclosure Statement, and the Amended Berry Disclosure Statement, as well as the execution of the LINN RSA, the LINN Backstop Agreement, the Berry RSA, and the Berry Backstop Agreement -- all of which enjoy broad creditor support. About Linn Energy Headquartered in Houston, Texas, Linn Energy, LLC, and its affiliates are independent oil and natural gas companies. Each of Linn Energy, LLC, and 14 of its subsidiaries filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 16-60040) on May 11, 2016. The petitions were signed by Arden L. Walker, Jr., chief operating officer of LINN Energy. The Debtors have hired Paul M. Basta, Esq., Stephen E. Hessler, Esq., Brian S. Lennon, Esq., James H.M. Sprayregen, Esq., and Joseph M. Graham, Esq., at Kirkland & Ellis LLP and Kirkland & Ellis International LLP as general bankruptcy counsel, Jackson Walker L.L.P. as co-counsel, Lazard Freres & Co. LLC as financial advisor, AlixPartners as restructuring advisor and Prime Clerk LLC as claims, notice and balloting agent. Judge David R. Jones presides over the cases. The Office of the U.S. Trustee has appointed five creditors of Linn Energy LLC to serve on the official committee of unsecured creditors. The Committee tapped Mark I. Bane, Esq., and Keith H. Wofford, Esq., at Ropes & Gray LLP; and Moelis & Company LLC as investment banker. It also retained as Texas Oil & Gas Counsel, John P. Melko, Esq., David S. Elder, Esq., and Michael K. Riordan, Esq., at Gardere Wynne Sewell LLP. LITTLE REST: 11th Cir. Affirms Sanctions Against Zeltser -------------------------------------------------------- The United States Court of Appeals for the Eleventh Circuit affirmed the district court's judgment, which affirmed the bankruptcy court's orders sanctioning Emanuel Zeltser for filing a bankruptcy petition in bad faith and awarding Little Rest Twelve, Inc., the amount of legal fees incurred as a result of that petition. Zeltser had filed for Chapter 7 bankruptcy on behalf of Little Rest in the U.S. Bankruptcy Court for the Southern District of New York during the pendency of certain actions pending before both a New York state court and the U.S. Bankruptcy Court for the Southern District of Florida involving disputes over Little Rest's ownership. Patricia A. Redmond immediately moved for and was granted a transfer of the Chapter 7 action to the Florida bankruptcy court. Two weeks later, the trustee moved to dismiss the Chapter 7 action because of a pending Chapter 11 action against the same debtor. The Florida bankruptcy court dismissed the Chapter 7 action but sua sponte reserved its jurisdiction to award sanctions against Zeltser for filing the Chapter 7 action. After Redmond moved for sanctions, the bankruptcy court found that Zeltser acted improperly and in bad faith in filing the voluntary chapter 7 bankruptcy case for Little Rest. The bankruptcy court determined that Zeltser knew of the ownership and control dispute. Further, the bankruptcy court found the Chapter 7 filing was for the improper purpose of delaying imminent adverse rulings on ownership and control of Little Rest. The bankruptcy court also emphasized that Zeltser forum shopped, orchestrating the filing of the Chapter 11 action in Florida, the filing of the Chapter 7 action in New York, and attempting to unsuccessfully remove a case. Finally, the bankruptcy court found that Zeltser was simply not believable and gave no weight to his ex post facto arguments to avoid sanctions. After an evidentiary hearing, the bankruptcy court awarded Little Rest $100,586 in attorney's fees and expenses incurred "as a result of the frivolous filing." To arrive at the $100,586 amount, the bankruptcy court applied a 20 percent reduction volunteered by Little Rest to account for any duplication even though the bankruptcy court "specifically [found] Mr. Zeltser responsible for" those funds as well. Zeltser argued that the bankruptcy court was required to support its finding of bad faith by clear and convincing evidence. Zeltser also attacked the monetary award as "grossly excessive" and attempted to dispute line items on the billing records produced by Little Rest's counsel as duplicative, unreasonable, and excessive. The Eleventh Circuit, however, found that the bankruptcy court did not abuse its discretion in finding bad faith. The Eleventh Circuit also discerned no clear error in the bankruptcy court's factual findings. The appeals case is EMANUEL ZELTSER, Plaintiff-Appellant, v. LITTLE REST TWELVE, INC., Defendant-Appellee, No. 16-11354 (11th Cir.). A full-text copy of the Eleventh Circuit's December 8, 2016 ruling is available at https://is.gd/NisJgu from Leagle.com. Plaintiff-Appellant is represented by: Robert F. Reynolds, Esq. 1437 Bannock, St. Room 353 Denver, CO 80202 Fax: (720)865-8796 Defendant-Appellee is represented by: Patricia Ann Redmond, Esq. Museum Tower 150 West Flagler Street, Suite 2200 Miami, FL 33130 Tel: (305)789-3200 Fax: (305)789-3395 Email: predmond@stearnsweaver.com John F. O'Sullivan, Esq. Dwayne Antonio Robinson, Esq. Jason Sternberg, Esq. 600 Brickell Avenue, Suite 2700 Miami, FL 33131 Tel: (305)459-6500 Fax: (305)459-6550 Email: john.osullivan@hoganlovells.com dwayne.robinson@hoganlovells.com jason.sternberg@hoganlovells.com About Little Rest Twelve Solby+Westbrae Partners; 19 SHC, Corp.; Ajna Brands, Inc.; 601/1700 NBC, LLC; Axafina, Inc.; and Oxana Adler, LLM, filed an involuntary Chapter 11 petition against Miami Beach, Florida-based Little Rest Twelve, Inc. (Bankr. S.D. Fla. Case No. 11-17061) on March 17, 2011. On the same date, involuntary Chapter 11 petitions were also filed against the Company's affiliates, Mutual Benefits Offshore Fund, LTD (Bankr. S.D. Fla. Case No. 11-17051) and Fisher Island Investments, Inc. (Bankr. S.D. Fla. Case No. 11-17047). LODGE HOLDINGS: Wants to Use CBC Partners I Cash Collateral ----------------------------------------------------------- Lodge Holdings Company and its affiliated debtors ask the U.S. Bankruptcy Court for the Western District of Washington for authorization to use cash collateral. The Debtors tell the Court that they have an interim emergency agreement to use the cash collateral of their primary secured creditor, CBC Partners I, LLC, via an email exchange of counsel, and that the parties want to formalize that agreement into a Stipulated Order for Interim Use of Cash Collateral, which more clearly details the claim, their security interest, the payment agreements, and replacement collateral. The Debtors further tell the Court that they request the entry of an ex parte emergency Order authorizing the immediate continued interim use of cash collateral and adequate protection payments, and set an first hearing on the matter on Jan. 6, 2017 at 9:30 a.m., and then set a final hearing on use of cash collateral and adequate protection on the Court's regular motion calendar for Feb. 3, 2017 at 9:30 a.m. A full-text copy of the Debtors' Motion, dated Dec. 21, 2016, is available at http://bankrupt.com/misc/LodgeHoldings2016_1615814twd_47.pdf About Lodge Holdings Company Lodge Holdings Company, Mukilteo Lodge, LLC, Kirkland Lodge, LLC, Stadium Lodge, LLC, Downtown Lodge, LLC, Mill Creek Lodge, LLC, and Greenwood Lodge, LLC filed Chapter 11 petitions (Bankr. W.D. Wash. Case No. 16-15814-TWD, 16-15849-TWD, 16-15850-TWD, 16-15851-TWD, 16-15852-TWD, 16-15853-TWD, and 16-15854-TWD) on Nov. 18, 2016. The petitions were signed by Shawn Roten, president. The Debtors are represented by Larry B. Feinstein, Esq., at Vortman & Feinstein. The Debtor disclosed $1.06 million in total assets and $5.73 million in total liabilities. MASON TEMPLE: Hires Goodman as Bankruptcy Counsel ------------------------------------------------- Mason Temple Church of God in Christ, Inc., seeks authority from the U.S. Bankruptcy Court for the Eastern District of Wisconsin to employ the Law Offices of Jonathan V. Goodman as counsel to the Debtor. Mason Temple requires Goodman to: a. give the Debtor legal advice with respect to its powers and duties as Debtor-In-Possession; b. prepare on behalf of the Debtor, necessary applications, answers, reports, and other legal papers; c. prepare a disclosure statement, plan of reorganization, and obtain approval of the disclosure statement and the plan or plans of reorganization; and d. perform other legal services for the Debtor, which may be necessary herein. Goodman will be paid at these hourly rates: Principal $480 Associate $250 Law Clerk $100 Goodman will be paid a retainer in the amount of $15,000. Goodman will also be reimbursed for reasonable out-of-pocket expenses incurred. Jonathan V. Goodman, member of the Law Offices of Jonathan V. Goodman, 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. Goodman can be reached at: Jonathan V. Goodman, Esq. LAW OFFICES OF JONATHAN V. GOODMAN 788 N. Jefferson Street, Suite 707 Milwaukee, WI 53202 Tel: (414) 276-6760 Fax: (414) 287-1199 About Mason Temple Church of God in Christ Mason Temple Church of God in Christ, Inc. filed a Chapter 11 bankruptcy petition (Bankr. E.D. WI. Case No. 16-30931) on November 7, 2016. Hon. Michael G. Halfenger presides over the case. The Law Offices of Jonathan V. Goodman represents the Debtor as counsel. In its petition, the Debtor estimated $1 million to $10 million in both assets and liabilities. The petition was signed by Osie Tatum, Jr., pastor and trustee. MELODY GOOD GIRL: Wants to Use Cash Collateral Through June 2017 ---------------------------------------------------------------- Melody, Good Girl Incorporated seeks authority from the U.S. Bankruptcy Court Middle District of Florida to use cash collateral so that it can operate its business during the Chapter 11 and successfully reorganize its business. The Debtor proposes a six-month operational budget, covering the period from January 2017 through June 2017, which provides for total expenses in an approximate amount of $268,577. The Debtor proposes to use Cash Collateral to fund its operating expenses necessary to continue the operation of its business and to maintain the estate, to maximize the return on its assets, and to otherwise avoid irreparable harm and injury to its business and the estate. The Debtor believes that Atlantic Coast Bank, Absolute Disaster Services, LLC, Servpro Industries, Inc., and On Deck Capital Inc. claim perfected and enforceable security interest and liens on, among other assets, the Debtor's account and trade receivables which constitute the Secured Creditors' cash collateral. The Debtor intends to provide Secured Creditors with replacement liens to the same extent and validity as held by the Secured Creditors Pre-Petition. The Debtor contends that the interest of the Secured Creditors will also be adequately protected by the Debtor's continued operation. A full-text copy of the Debtor's Motion, dated December 20, 2016, is available at http://tinyurl.com/j6upjco A full-text copy of the Debtor's proposed Budget, dated December 20, 2016, is available at http://tinyurl.com/jqwaav7 About Melody, Good Girl Incorporated Melody, Good Girl Incorporated dba Servpro of Winter Haven filed a Chapter 11 petition (Bankr. M.D. Fla. Case No. 16-10587), on December 13, 2016. The Petition was signed by Christopher E. Brill, president. At the time of filing, the Debtor estimated assets at $100,000 to $500,000 and liabilities at $1 million to $10 million. The Debtor is represented by James W Elliott, Esq. at McIntyre Thanasides Bringgold Elliott, et al. The Debtor did not include a list of its largest unsecured creditors when it filed the petition. No trustee or examiner has been appointed in this case and no official committees have been appointed. MESOBLAST LIMITED: Inks Equity Purchase Pact With Mallinckrodt -------------------------------------------------------------- Mesoblast Limited announced that it has entered into an equity purchase agreement with Mallinckrodt Pharmaceuticals and will exclusively negotiate a commercial and development partnership for two of Mesoblast's Tier 1 product candidates, MPC-06-ID in the treatment or prevention of moderate/severe chronic low back pain (CLBP) due to disc degeneration and MSC-100-IV in the treatment of acute graft versus host disease (GVHD). Under the terms of the agreement, Mallinckrodt will have an exclusive period of up to nine months to conclude commercial and development agreements for the two product candidates in all territories outside of Japan and China. As consideration, Mallinckrodt will purchase approximately 20.04 million (4.99%) of Mesoblast's ordinary shares at a price of A$1.4761 per share. Mallinckrodt is a global specialty pharmaceutical company with a major focus within the hospital acute and critical care settings, including pain management, autoimmune and rare diseases, and specialty generic pharmaceuticals. The company's key branded products in these areas, generating multi-billion dollar revenues, include H.P. Acthar Gel (repository corticotrophin injection) and Therakos Immunotherapy platform, OFIRMEV (acetaminophen injection), and INOMAX (nitric oxide) gas, for inhalation. Recently, Mallinckrodt has entered the regenerative medicine field with the acquisition of an investigational human keratinocyte-based regenerative medicine platform to bolster its pipeline of hospital products with an off-the-shelf skin substitute beginning Phase 3 testing for partial thickness burns. Mesoblast Chief Executive Silviu Itescu said: "We are pleased that Mallinckrodt has chosen to make an investment in Mesoblast. Mallinckrodt has a track record of success in commercializing medicines for immune-mediated diseases and pain management, and we believe that its major footprint in hospitals addressing acute care needs can be leveraged to realize the full commercial and clinical value of our innovative cellular medicines." Steven Romano, M.D., executive vice president and chief scientific officer of Mallinckrodt, commented: "This agreement provides Mallinckrodt with a potential opportunity to extend our regenerative medicine pipeline in areas of high unmet patient need. We see Mesoblast as a leader in developing innovative cell-based medicines and look forward to establishing a fruitful partnership." Mesoblast's product candidate MPC-06-ID is currently being evaluated in a 360-patient Phase 3 trial as a treatment for moderate/severe CLBP due to disc degeneration in patients who have failed other non-surgical options, including steroid injections and opioids. Data from 24-month follow up of 100 patients participating in a randomized, placebo-controlled Phase 2 trial of MPC-06-ID were presented in August 2016 at the 24th Annual Scientific Meeting of the Spine Intervention Society. Mesoblast's product candidate MSC-100-IV is currently being evaluated in a 60-patient open label Phase 3 trial as a front-line therapy for children with steroid-refractory acute GVHD. The trial was recently successful in a pre-specified interim futility analysis, and Mesoblast expects to fully read out trial results during 2017. Based on guidance from the United States Food and Drug Administration (FDA), Mesoblast believes that positive data from this Phase 3 trial may be sufficient for filing for accelerated approval of MSC-100-IV in the United States. Mesoblast plans to broaden the use of its therapy in adult patients with high-risk steroid-refractory acute GVHD. About Mallinckrodt Mallinckrodt is a global business that develops, manufactures, markets and distributes specialty pharmaceutical products and therapies, as well as nuclear imaging products. Areas of focus include autoimmune and rare diseases in specialty areas like neurology, rheumatology, nephrology, pulmonology and ophthalmology; immunotherapy and neonatal respiratory critical care therapies; analgesics and hemostasis products; and central nervous system drugs. The company's core strengths include the acquisition and management of highly regulated raw materials and specialized chemistry, formulation and manufacturing capabilities. The company's Specialty Brands segment includes branded medicines and its Specialty Generics segment includes specialty generic drugs, active pharmaceutical ingredients and external manufacturing. To learn more about Mallinckrodt, visit www.mallinckrodt.com About Mesoblast Ltd. Melbourne, Australia-based Mesoblast Limited (ASX:MSB; Nasdaq:MESO) develops cell-based medicines. The Company has leveraged its proprietary technology platform, which is based on specialized cells known as mesenchymal lineage adult stem cells, to establish a broad portfolio of late-stage product candidates. Mesoblast's allogeneic, 'off-the-shelf' cell product candidates target advanced stages of diseases with high, unmet medical needs including cardiovascular diseases, immune-mediated and inflammatory disorders, orthopedic disorders, and oncologic/hematologic conditions. Mesoblast reported a loss before income tax of $90.82 million for the year ended June 30, 2016, compared to a loss before income tax of $96.24 million for the year ended June 30, 2015. As of Sept. 30, 2016, Mesoblast had $665.4 million in total assets, $155.6 million in total liabilities and $509.9 million in total equity. PricewaterhouseCoopers, in Melbourne, Australia, 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 that raise substantial doubt about its ability to continue as a going concern. MF GLOBAL: Insurers Can't Enforce Injunction, NY Court Says ----------------------------------------------------------- Stewart Bishop, writing for Bankruptcy Law360, reported that a New York bankruptcy judge blocked a group of insurers from enforcing anti-suit injunctions obtained in a Bermuda court against MF Global Holding Ltd, which sued the insurance companies for $65 million over their purported failure to fund a massive settlement in connection with the derivative broker's collapse. MFGH, the plan administrator, sued Allied World Assurance Company Ltd., Iron-Starr Excess Agency Ltd., Ironshore Insurance Ltd., Starr Insurance & Reinsurance Ltd. and Federal Insurance Co. About MF Global New York-based MF Global -- http://www.mfglobal.com/-- was one of the world's leading brokers of commodities and listed derivatives. MF Global provides access to more than 70 exchanges around the world. The firm also was one of 22 primary dealers authorized to trade U.S. government securities with the Federal Reserve Bank of New York. MF Global's roots go back nearly 230 years to a sugar brokerage on the banks of the Thames River in London. On Oct. 31, 2011, MF Global Holdings Ltd. and MF Global Finance USA Inc. filed voluntary Chapter 11 petitions (Bankr. S.D.N.Y. Case Nos. 11-15059 and 11-5058), after a planned sale to Interactive Brokers Group collapsed. As of Sept. 30, 2011, MF Global had $41,046,594,000 in total assets and $39,683,915,000 in total liabilities. On Nov. 7, 2011, the United States Trustee appointed the statutory creditors' committee in the Debtors' cases. At the behest of the Statutory Creditor's Committee, the Court directed the U.S. Trustee to appoint a chapter 11 trustee. On Nov. 28, 2011, the Bankruptcy Court entered an order approving the appointment of Louis J. Freeh, Esq., of Freeh Group International Solutions, LLC, as Chapter 11 trustee. On Dec. 19, 2011, MF Global Capital LLC, MF Global Market Services LLC and MF Global FX Clear LLC filed voluntary Chapter 11 petitions (Bankr. S.D.N.Y. Case Nos. 11-15808, 11-15809 and 11-15810). On Dec. 27, the Court entered an order installing Mr. Freeh as Chapter 11 Trustee of the New Debtors. On March 2, 2012, MF Global Holdings USA Inc. filed a voluntary Chapter 11 petition (Bankr. S.D.N.Y. Case No. 12-10863), and Mr. Freeh also was installed as its Chapter 11 Trustee. Judge Honorable Martin Glenn presides over the Chapter 11 case. J. Gregory Milmoe, Esq., Kenneth S. Ziman, Esq., and J. Eric Ivester, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, serve as bankruptcy counsel. The Garden City Group, Inc., serves as claims and noticing agent. The petition was signed by Bradley I. Abelow, Executive Vice President and Chief Executive Officer of MF Global Finance USA Inc. The Chapter 11 Trustee has tapped (i) Freeh Sporkin & Sullivan LLP, as investigative counsel; (ii) FTI Consulting Inc., as restructuring advisors; (iii) Morrison & Foerster LLP, as bankruptcy counsel; and (iv) Pepper Hamilton as special counsel. The Official Committee of Unsecured Creditors has retained Capstone Advisory Group LLC as financial advisor, while lawyers at Proskauer Rose LLP serve as counsel. The Securities Investor Protection Corporation commenced liquidation proceedings against MF Global Inc. to protect customers. James W. Giddens was appointed as trustee pursuant to the Securities Investor Protection Act. He is a partner at Hughes Hubbard & Reed LLP in New York. Jon Corzine, the former New Jersey governor and co-CEO of Goldman Sachs Group Inc., stepped down as chairman and chief executive officer of MF Global just days after the bankruptcy filing. In April 2013, the Bankruptcy Court approved MF Global Holdings' plan to liquidate its assets. Bloomberg News reported that the court-approved disclosure statement initially told creditors with $1.134 billion in unsecured claims against the parent holding company why they could expect a recovery of 13.4% to 39.1% from the plan. As a consequence of a settlement with JPMorgan, supplemental materials informed unsecured creditors their recovery was reduced to the range of 11.4% to 34.4%. Bank lenders will have the same recovery on their $1.174 billion claim against the holding company. As a consequence of the settlement, the predicted recovery became 18% to 41.5% for holders of $1.19 billion in unsecured claims against the finance subsidiary, one of the companies under the umbrella of the holding company trustee. Previously, the predicted recovery was 14.7% to 34% on bank lenders' claims against the finance subsidiary. MGM RESORTS: Egan-Jones Upgrades Sr. Unsecured Ratings to BB- ------------------------------------------------------------- Egan-Jones Ratings Company, on Dec. 13, 2016, raised the senior unsecured ratings on debt issued by MGM Resorts International to BB- from B+. MGM Resorts International is a global hospitality and entertainment company operating destination resorts in Las Vegas, Mississippi, New Jersey and Detroit, including Bellagio, MGM Grand, Mandalay Bay and The Mirage. MID-STATE PLUMBING: 10% Recovery for Unsecured Creditors -------------------------------------------------------- Mid-State Plumbing, Inc., filed with the U.S. Bankruptcy Court for the Western District of Louisiana a small business disclosure statement describing its plan of reorganization, which would give general unsecured creditors a distribution of approximately 10% of their allowed claims. Class 1, Secured Claim of Ford Motor Credit, is impaired under the plan. This is to be paid with interest at the rate of 5.25% in monthly installments of $870 each beginning month 1 after the effective date and continuing until the claim has been paid in full. Class 4, General Unsecured Class, is impaired under the plan. Beginning in month 28 after the effective date of the plan, the Debtor will pay $3,200 per month, pro rata, to the unsecured creditors holding allowed undisputed claims. The payments will continue until month 48 after the effective date for a total of $67,200. The Debtor estimates that unsecured creditors will be paid approximately 10%, but this amount may increase depending on the amount of allowed claims which remain undisputed. Payments and distributions under the Plan will be funded by future earnings of the Debtor. A full-text copy of the Disclosure Statement is available at: http://bankrupt.com/misc/lawb16-80392-75.pdf Mid-State Plumbing, Inc. filed for Chapter 11 bankruptcy protection (Bankr. W.D. La. Case No. 16-80392) on April 5, 2016. The Debtor is represented by: L. Laramie Henry, Esq. MOBILEDIRECT INC: Hearing on Plan Outline Set For Feb. 16 --------------------------------------------------------- The U.S. Bankruptcy Court for the District of Montana will hold on Feb. 16, 2017, at 9:00 a.m. the hearing to consider the approval of MobileDirect, Inc.'s disclosure statement referring to the Debtor's plan of reorganization. Feb. 13, 2017, is the last day for filing objections to the Disclosure Statement. About MobileDirect Inc. MobileDirect Inc. filed a Chapter 11 petition (Bankr. D. Mont. Case No. 16-60596), on June 13, 2016. The Petition was signed by Clyde Neu, Co-Founder and CFO. The Debtor is represented by Steve M. Johnson, Esq., at Church, Harris, Johnson and Williams, P.C. At the time of filing, the Debtor had less than $50,000 in estimated assets and $100,000 to $500,000 in estimated liabilities. Anderson ZurMuehlen was employed as accountants to the Debtor. MOSES INC: Seeks Feb. 10 Exclusive Plan Filing Period Extension --------------------------------------------------------------- Moses, Inc. asks the U.S. Bankruptcy Court for the District of Arizona to extend its exclusive periods for filing and soliciting acceptances to a chapter 11 plan through February 10, 2017 and April 11, 2017, respectively. The Debtor relates that it has negotiated and entered into a stipulation with its major creditors in an effort to move this Bankruptcy Case along. On Dec. 13, 2016, it filed the Stipulation Among Jackson Street, LLC, Joseph Anshell, Montecito Ventures, LLC, Louie Moses and the Debtor in Aid of Confirmation of Plan of Reorganization, which is currently set for hearing on January 25, 2017. The Debtor contends that since the Petition Date, it has made progress toward structural reorganization by downsizing staff and facilities. The Debtor relates that it is in the process of normalizing its reduced operations, assimilating the data resulting from its restructuring efforts and continues to work on forward looking financial projections based on its new operational structure. The Debtor's exclusivity period to file a Plan, absent an extension, was set to expire Dec. 27, 2016, which is prior to the hearing on the Stipulation. The Debtor further tells the Court that it is simply requesting a short extension of the exclusivity periods in order to seek approval of the Stipulation, complete negotiations with major creditors and complete reliable projections based on more recent data. The Debtor adds that given its progress to date, such an extension is warranted. About Moses, Inc. Moses, Inc., based in Phoenix, Ariz., filed a Chapter 11 petition (Bankr. D. Ariz. Case No. 16-09889) on August 26, 2016. The petition was signed by Tom Guilfoy, chief restructuring officer. The Debtor is represented by Christopher C. Simpson, Esq., at Stinson Leonard Street LLP. The case is assigned to Judge Brenda Moody Whinery. The Debtor disclosed $1.22 million in total assets and $5.73 million in total liabilities. MOTHERS FOOD: Plan Confirmation Hearing Set for Jan. 10 ------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Illinois is set to hold a hearing on Jan. 10, at 10:30 a.m., to consider approval of the disclosure statement and the Chapter 11 plan of reorganization of Mothers Food, Inc. The hearing will take place at the U.S. Bankruptcy Courtroom 619, 219 S. Dearborn, Chicago, Illinois. Objections are due by Jan. 3. Under the proposed plan, Class 1 general unsecured creditors will get 100% of their allowed claims. The claims will be paid in monthly installments over five years. The plan will be funded by income generated from sales and operation of Mothers Food's business. About Mothers Food Mothers Food, Inc. is a non-public corporation. Since 2011, the Debtor has been in the business of Debtor is an Illinois Corporation that was incorporated Dec. 13, 2011. The business is located 4758 S Wood Street, Chicago, Illinois 60609 and it is owned by Odieh J. Ayesh who is the sole shareholder. The Debtor operates a small grocery store. The Debtor's family helps with the store the owner is the only person receiving income from the store at this time. The Debtor filed a Chapter 11 petition (Bankr. N.D. Ill. Case No. 16-08646), on March 14, 2016. The Petition was signed by its President, Odieh Ayesh. The Debtor is represented by Robert J. Adams, Esq., at Robert J Adams & Associates. At the time of filing, the Debtor had $50,000 in estimated assets and $50,000 to $100,000 in estimated liabilities. MOUNSEF INTERNATIONAL: Court Confirms Amended Plan -------------------------------------------------- The Hon. Jacqueline Cox of the U.S. Bankruptcy Court for the District of Illinois approved Mounsef International, Inc.'s amended disclosure statement and confirmed its amended plan of reorganization, dated Oct. 18, 2016. The amended plan is confirmed with modifications in Articles II and IV, which modifications were considered by Judge Cox as not material. A full-text copy of the Plan Confirmation Order is available at: http://bankrupt.com/misc/ilnb15-35685-280.pdf As previously reported by the Trouble Company Reporter, general unsecured creditors will receive a distribution of 5% of their allowed claims under the plan. Class 2 General Unsecured Claims are impaired under the Plan and will receive a total of $54,000 or about 5% of allowed claims without interest pro rata in 20 quarterly installments starting on the first calendar day of the next calendar quarter after the Effective Date of the Plan. The Amended Disclosure Statement is available at: http://bankrupt.com/misc/ilnb15-35685-244.pdf About Mounsef International Mounsef International, Inc., is an Illinois corporation that was incorporated on Feb. 3, 2003. George Mounsef is the president and sole shareholder of the Debtor. The Debtor operates a retail grocery store and manufactures pita breads and assorted other baked goods. The Debtor operates out of the property commonly known as 3201-13 West Lawrence Avenue, Chicago, Illinois, and 4738-49 North Kedzie Avenue, Chicago, Illinois. The Debtor filed a Chapter 11 petition (Bankr. N.D. Ill. Case No. 15-35685) on Oct. 20, 2015. The petition was signed by George Mounsef, sole shareholder. The Debtor is represented by Robert R. Benjamin, Esq., at Golan & Christie, LLP. The case is assigned to Judge Jacqueline P. Cox. The Debtor disclosed total assets at $99,104 and total liabilities at $2.74 million. MOUNTAIN WEST VALVE: Unsecureds To Get $500 Per Month for 12 Months ------------------------------------------------------------------- Mountain West Valve, Inc., filed with the U.S. Bankruptcy Court for the District of Utah a disclosure statement describing its small business plan of reorganization, dated Dec. 23, 2016, which proposes to give general unsecured creditors a distribution of $500 per month for 12 months commencing 48 months after the Effective Date. Class 2, Secured Claim of Swift Financial Corp. dba Swift Capital, is impaired under the plan. The class 2 Creditor will be paid as follows: (i) $27,000 will be paid prior to the Effective Date (ii) The balance of $408,000 will be paid within 75 months after the Effective Date in minimum monthly payments of no less than $3,000 per month. (iii) The Debtor will have the option to make monthly payments in excess of $3,000 without penalty. (iv) The creditor's lien as it existed on the Petition Date shall be retained as security for the payment or performance by the Debtor of all sums required to be paid under the Plan. Except to the extent expressly modified in the Plan, nothing contained in the Plan or the Confirmation Order shall alter or affect the rights, claims and defenses of the Creditor and the Debtor with respect to this Claim. Class 4, General Unsecured Creditors, is impaired under the plan. All unsecured claims allowed under section 502 of the Code will be satisfied by receiving a Pro Rata distribution of $500 per month for 12 months commencing 48 months after the Effective Date. From time to time if the Debtor generates enough funds to pay creditors in Class 4 early, it may do so without penalty. No interest shall be paid to creditors in this class. These claims will be discharged upon the distribution of their Pro Rata portion of $6,000. Payments and distributions under the Plan will be funded by the operations of the Reorganized Debtor. A full-text copy of the Disclosure Statement is available at: http://bankrupt.com/misc/utb16-21396-175.pdf About Mountain West Mountain West Valve, Inc., based in Salt Lake City, UT, filed a Chapter 11 petition (Bankr. D. Utah, Case No. 16-21396) on February 29, 2016. Hon. William T. Thurman presides over the case. Matthew K. Broadbent, Esq., at Vannova Legal, PLLC, serves as the Debtor's 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 Kenny Guest, owner/president. MS ELMSFORD: Hires Bronson Law as Counsel ----------------------------------------- MS Elmsford Snack Mart Inc., seeks authority from the U.S. Bankruptcy Court for the Southern District of New York to employ Bronson Law Offices, P.C. as counsel to the Debtor. MS Elmsford requires Bronson Law to: a. assist the Debtor in the administration of its Chapter 11 proceeding, the preparation of operating reports and complying with applicable law and rules; b. set a bar date, review claims and resolve claims which should be disallowed; c. address lease issues; and d. assist in reorganizing and confirming a Chapter 11 plan. Bronson Law will be paid at these hourly rates: H. Bruce Bronson $375 Paralegal $120 Bronson Law will also be reimbursed for reasonable out-of-pocket expenses incurred. H. Bruce Bronson, member of Bronson Law Offices, P.C., 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. Bronson Law can be reached at: H. Bruce Bronson, Esq. BRONSON LAW OFFICES, P.C. 480 Mamaroneck Ave. Harrison, NY 10528 Tel: (914) 269-2530 About MS Elmsford MS Elmsford Snack Mart Inc. filed a chapter 11 petition (Bankr. S.D.N.Y. Case No. 16-22106) on January 28, 2016, disclosing under $1 million in both assets and liabilities. The petition was signed by Musa ElJamal, vice president. The Debtor is represented by H. Bruce Bronson, Jr., Esq., at Bronson Law Offices, P.C. N-LIQUIDATION: Refund Checks Are Acquired Assets, Court Says ------------------------------------------------------------ Judge Diane Davis of the United States Bankruptcy Court for the Northern District of New York denied the debtor-defendants' motion for summary judgment and granted, sua sponte, summary judgment in favor of the plaintiff in the adversary proceeding captioned Alder Creek Beverages, LLC, v. N-Liquidation, Inc., NT-Liquidation, Inc., NW-Liquidation, Inc., MWD-Liquidation, Inc., Adversary Proceeding No. 16-80016 (Bankr. N.D.N.Y.). On December 30, 2015, Alder Creek Beverages, LLC, acquired substantially all of the assets of the debtor-defendants, N-Liquidation, Inc., NT-Liquidation, Inc., NW-Liquidation, Inc., and MWD-Liquidation Inc., in accordance with a sale order issued by the Bankruptcy Court on November 24, 2015. The sale order authorized the sale of such assets pursuant to an Asset Purchase Agreement dated as of November 24, 2015, and an order was issued on December 21, 2015 approving the APA. The sale transaction closed on December 30, 2015, and the debtors issued a Bill of Sale to Alder Creek at the sale closing. On June 14, 2016, following closing of the sale transaction, Acadia Insurance Group — Continental Western Insurance Company issued check number 0600150767 payable to debtor-defendants Nirvana, Inc., n/k/a N-Liquidation Inc., and Millers Wood Development Corp., n/k/a MWD-Liquidation, Inc., in the amount of $18,236.01. The check represented an audit refund under the debtor-defendants' commercial liability policy number 0253038.18. Also on June 14, 2016, Acadia Insurance Group - Union Insurance Company issued check number 0600151667 payable to debtor-defendant Nirvana Transport, Inc., n/k/a NT-Liquidation, Inc., in the amount of $7,529.00. The check represented an audit refund under the debtor-defendants' workers' compensation policy number WCA5082946-11. On June 30, 2016, the New York State Insurance Fund issued check number 54925289 payable to debtor-defendant Nirvana Inc. in the amount of $32,630.58. The check represented an audit refund under the debtor-defendant's workers' compensation policy number 2373 920-4. These three checks totaled $58,220.45 and were deposited into the debtor-defendants' attorney's escrow account. On October 11, 2016, Alder Creek commenced an adversarial proceeding in order for there to be a determination as to whether the refund checks are "acquired assets" under the terms of the APA. The debtor-defendants moved for summary judgment, arguing that the refund checks are not "acquired assets," per Sections 1.1(c), 1.2(c), 1.2(m) and 1.4 of the APA. The debtor-defendants relied heavily on Sections 1.1(c) and 1.2(c), arguing that the insurance policies were not included among the assigned contracts identified in Section 1.1(c), or Schedule 1.1(c). The debtor-defendants argued that Section 1.1(j) only includes as an acquired asset refunds "relating to acquired assets or assumed liabilities." Therefore, the debtor-defendants contended, because the insurance policies were not included as assigned contracts, then the policies are not an acquired asset or assumed liability, and consequentially the refunds should also not be considered acquired assets. Additionally, the debtor-defendants argued that Section 1.4, listing excluded liabilities, is relevant because the insurance policies were not expressly assumed, and therefore they are not an assumed liability for purposes of Section 1.1(j). The plaintiffs refuted this argument by relying on Sections 1.1(j), (m), and 1.2(k), and Schedule 1.2(k). The plaintiffs argued that the APA must be read as a whole and that the debtor-defendants' arguments disregard the specific provisions of the APA relating to insurance policies and insurance proceeds. Citing Section 1.1(j), the plaintiff's position was that the APA specifically deems all refunds, including insurance refunds, relating to an acquired asset as acquired assets. Section 1.1(m) included as an acquired asset all insurance policies relating to the business, any acquired assets or any assumed liabilities, except those provided in Section 1.2(k). Section 1.2(k) excludes those insurance policies listed in Schedule 1.2(k). Schedule 1.2(k) lists only "none" as excluded insurance policies. Therefore, the plaintiffs argued that a plain reading of the APA indicates that the refund checks are acquired assets as the policies are not specifically excluded as acquired assets in Schedule 1.2(k). Judge Davis found that the refund checks are acquired assets. "The refund checks are refund proceeds from three separate insurance policies held by the debtor-defendants for business purposes (workers compensation and commercial liability). The APA specifically addresses when insurance policies, and refund proceeds therefrom, are to be considered acquired assets in Sections 1.1(j), (m), and 1.2(k), and Schedule 1.2(k). Section 1.1(j) includes as an acquired asset "all . . . refunds (including all tax and insurance refunds) . . . relating to any acquired assets or assumed liabilities." Section 1.1(m) must be read in conjunction with Section 1.1(j) because it specifically includes as an acquired asset "all of Sellers' insurance policies and claims and rights thereunder relating to the Business, any acquired assets or any assumed liabilities, except as provided in Section 1.2(k)." As these insurance policies do relate to the business, then Section 1.1(m) directs that they are acquired assets, unless specifically excluded in Section 1.2(k). Sections 1.1(j) and (m) direct that the insurance refund proceeds relating to the acquired insurance policies are to be considered acquired assets, subject to the exclusions in Section 1.2(k). Section 1.2(k) specifically excludes as acquired assets those insurance policies listed in Schedule 1.2(k). Schedule 1.2(k) only lists "none" under insurance policies that are to be considered excluded assets, per Section 1.2(k). Therefore, under a conjunctive and plain reading of these four provisions of the APA, the Court finds that the refund checks are acquired assets," Judge Davis said. The bankruptcy case is In re: N-Liquidation, Inc. and NT-Liquidation, Inc. Chapter 11, Case No. 15-60823 (Bankr. N.D.N.Y.). A full-text copy of Judge Davis' December 13, 2016 letter-decision and order is available at https://is.gd/Xn8mm7 from Leagle.com. N-Liquidation, Inc. is represented by: Stephen A. Donato, Esq. Camille Wolnik Hill, Esq. Joseph Zagraniczny, Esq. BOND, SCHOENECK & KING, PLLC One Lincoln Center 110 West Fayette Street Syracuse, NY 13202-1355 Tel: (315)218-8000 Fax: (315)218-8100 Email: sdonato@bsk.com chill@bsk.com jzagraniczny@bsk.com U.S. Trustee is represented by: Erin Champion, Esq. Guy A. VanBaalen, Esq. OFFICE OF THE UNITED STATES TRUSTEE 10 Broad Street, Room 105 Utica, NY 13501 Tel: (315)793-8191 Fax: (315)793-8133 Official Committee of Unsecured Creditors, Creditor Committee, is represented by: Sharon L. Levine, Esq. Nicole Stefanelli, Esq. LOWENSTEIN SANDLER LLP 65 Livingston Avenue Roseland, NJ 07068 Tel: (973)597-2500 Fax: (973)597-2400 Email: nstefanelli@lowenstein.com About Nirvana Inc. Nirvana Inc. is a manufacturer and bottler of spring water that is captured from four natural springs on 1,600 acres of property located in the foothills of the Adirondack Mountains at Forestport, New York. Nirvana says its water is exceptionally pure and flows naturally to the surface at a temperature of 42 degrees Fahrenheit. Nirvana is a closely-held New York corporation with a principal office located at One Nirvana Plaza, Forestport, New York. Nirvana was formed on June 2, 1995 by Mozafar Rafizadeh and his brother, Mansur Rafizadeh. Nirvana, Inc., and three affiliates -- Nirvana Transport, Inc., Nirvana Warehousing, Inc. and Millers Wood Development Corp. -- sought Chapter 11 bankruptcy protection (Bankr. N.D.N.Y. Lead Case No. 15-60823) in Utica, New York, on June 3, 2015. The cases are assigned to Judge Diane Davis. According to the docket, the Debtors' Chapter 11 plan and disclosure statement are due Oct. 1, 2015. The deadline for filing claims by governmental units is Nov. 30, 2015. The Debtors tapped Bond, Schoeneck & King, PLLC, as general counsel, and Teitelbaum & Baskin, LLC, as special counsel. NAHID M F: U.S. Trustee Unable to Appoint Committee --------------------------------------------------- An official committee of unsecured creditors has not yet been appointed in the Chapter 11 case of Nahid M F International, Inc., as of Dec. 23, according to a court docket. Nahid M F is represented by: Elias L. Dsouza, Esq. Elias Leonard Dsouza, PA 111 N Pine Island Rd Ste 205 Plantation, FL 33324-1836 Email: dtdlaw@aol.com About Nahid M F International Nahid M F International, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S. D. Fla. Case No. 16-24969) on November 5, 2016. The petition was signed by Mohammed Faruk, president. At the time of the filing, the Debtor estimated assets and liabilities of less than $50,000. NASTY GAL: Court Sets Jan. 5 Final Hearing for Cash Collateral Use ------------------------------------------------------------------- Judge Sheri Blueblond of the U.S. Bankruptcy Court for the Central District of California approved the Third Interim Stipulation and Granting Adequate Protection between Nasty Gal Inc. and Hercules Capital, Inc. f/k/a Hercules Technology Growth Capital, Inc., in its capacity as administrative agent for itself and the several banks and other financial entities from time to time parties thereto. The final hearing on the Debtor's use of cash collateral is scheduled on January 5, 2017, at 10:00 a.m. A full-text copy of the Order, dated December 20, 2016, is available at http://tinyurl.com/jugv7ze About Nasty Gal Inc. Nasty Gal Inc. filed a Chapter 11 petition (Bankr. C.D. Cal. Case No. 16-24862), on November 9, 2016. The petition was signed by Joe Scirocco, president. The case is assigned to Judge Sheri Bluebond. The Debtor is represented by Scott F. Gautier, Esq., at Robins Kaplan LLP. At the time of filing, the Debtor estimated assets and liabilities at $10 million to $50 million. The Debtor hired Rust Consulting Omni Bankruptcy as claims, noticing and balloting agent. NASTY GAL: Seeks Court Permission to Launch Auction Process ----------------------------------------------------------- Nasty Gal, Inc., on Dec. 28, 2016, disclosed that it plans to seek permission from the U.S. Bankruptcy Court to launch an auction process for the sale of its business. The Company will seek approval of an agreement to have boohoo.com, one of the United Kingdom's leading online fashion retailers, act as the stalking horse bidder in that process with a bid of $20 million for Nasty Gal's intellectual property assets. "We believe this path will generate the highest value for the Company and ensure the continued success of the Nasty Gal brand that has served its consumers as a leading style destination over the last decade," said Joe Scirocco, President and Chief Restructuring Officer. The auction is expected to take place in early February, with bidding procedures to be approved by the United States Bankruptcy Court for the Central District of California on or about January 5, 2017. Peter J. Solomon Company, LLC in New York has served as the Company's investment banker and will manage the auction process. Nasty Gal will continue normal operations throughout the auction process and sale, which is expected to close by the end of February, 2017. The Company is represented in its chapter 11 case by Scott Gautier at Robins Kaplan LLP. Information regarding the Company's bankruptcy filing, including access to court documents, can be found at http://www.omnimgt.com/nastygaland http://www.cacb.uscourts.gov About boohoo.com "24/7 Global Fashion" Keeping one step ahead of the trends or making a subtle style change is easy with boohoo.com and with up to 100 new pieces hitting the site every day and a new collection each week, boohoo.com never stops -- it is 24/7 fashion at its best. From the UK's best kept fashion secret to one of the fastest growing own-brand, international etailers, boohoo.com has quickly evolved into a global fashion leader of its generation. Combining cutting-edge, aspirational design with an affordable price tag, boohoo.com has been pushing boundaries since 2006 to bring its customers all the latest looks for less. About Nasty Gal Inc. Nasty Gal Inc. filed a Chapter 11 petition (Bankr. C.D. Cal. Case No. 16-24862) on Nov. 9, 2016. The petition was signed by Joe Scirocco, president. The case is assigned to Judge Sheri Bluebond. The Debtor is represented by Scott F. Gautier, Esq., at Robins Kaplan LLP. At the time of filing, the Debtor estimated assets and liabilities at $10 million to $50 million. NATIONAL RURAL: Egan-Jones Hikes Sr. Unsecured Ratings to BB- ------------------------------------------------------------- Egan-Jones Ratings Company, on Dec. 2, 2016, raised the senior unsecured ratings on debt issued by National Rural Utilities Cooperative Finance Corp to BB- from B+. Headquartered in Dulles, Virginia, National Rural Utilities Cooperative Finance Corporation, a cooperative association, provides its members with financing to supplement the loan programs of the Rural Utilities Service of the United States Department of Agriculture. NEW BEGINNINGS: Disclosures Okayed, Plan Hearing on Jan. 31 ----------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Florida will consider approval of the Chapter 11 plan of reorganization of New Beginnings of South Florida, Inc. at a hearing on Jan. 31. The hearing will be held at 2:00 p.m., at C. Clyde Atkins U.S. Courthouse, Courtroom 4, 301 North Miami Avenue, Miami, Florida. The court had earlier approved New Beginnings' disclosure statement, allowing the company to start soliciting votes from creditors. The order set a Jan. 17 deadline for creditors to cast their votes and file their objections. Under the proposed plan, holders of Class 5 claims will be paid 100% of their allowed claims. They will receive a single payment due 12 months after the plan is confirmed. Class 5 claims consist of all allowed general unsecured claims estimated to total $1,956.74. New Beginnings will fund its restructuring plan through income generated from the operations of the company, according to court filings. About New Beginnings of South Florida New Beginnings of South Florida, Inc., is a not for profit holding company. The Debtor provides essential community services to the financially depressed city of Opa Locka, Florida. Reverend John Taylor, a director at New Beginnings, has operated a church and/or provided community services at the properties owned by New Beginnings for over 30 years. Currently, the Debtor generates revenue by collecting rents from its tenants, which include a church, day-care and school. The Debtor has no employees. The Debtor filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case No. 16-11907) on Feb. 10, 2016. The petition was signed by Elvira Smith, president. The Debtor is represented by Luis Salazar, Esq., at Salazar Jackson, LLP. The case is assigned to Judge Robert A. Mark. The Debtor estimated both assets and liabilities in the range of $1 million to $10 million. NEW COUNTRY WIRELESS: Case Summary & 20 Top Unsecured Creditors --------------------------------------------------------------- Debtor: New Country Wireless, LLC 420 Boston Post Road Sudbury, MA 01776 Case No.: 16-42199 Chapter 11 Petition Date: December 26, 2016 Court: United States Bankruptcy Court District of Massachusetts (Worcester) Judge: Hon. Christopher J. Panos Debtor's Counsel: Jonathan Horne, Esq. MURTHA CULLINA LLP 99 High Street Boston, MA 02110 Tel: (617) 457-4085 E-mail: jhorne@murthalaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Charbal M. Yousef, president, manager. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/mab16-42199.pdf NEW STREAMWOOD: Plan Confirmation Hearing Set for Jan. 10 --------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Illinois is set to hold a hearing on Jan. 10 to consider approval of the disclosure statement and the Chapter 11 plan of reorganization of New Streamwood Lanes, Inc. Creditors have until Jan. 3 to cast their votes and file their objections. About New Streamwood Lanes New Streamwood Lanes, Inc. filed a chapter 11 petition (Bankr. N.D. Ill. Case No. 14-20808) on June 2, 2014. The petition was signed by Terence Vaughn, president. The case is assigned to Judge Benjamin Godgar. The Debtor is represented by Ryan Kim, Esq., at Inseed Law PC. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. NGPL PIPECO: S&P Raises ICR to 'BB-'; Outlook Stable ---------------------------------------------------- S&P Global Ratings said it raised its issuer credit rating on NGPL PipeCo LLC to 'BB-' from 'B+'. The outlook is stable. S&P also affirmed its 'BB-' issue-level ratings on all outstanding notes; S&P revised its recovery rating to '3' from '2', reflecting meaningful (50%-70%; higher half of the range) recovery in the event of default. At the same time, S&P withdrew the 'BB-' issue-level rating and '2' recovery rating on NGPL's secured term loan maturing 2019, which has been repaid. "The stable outlook reflects our expectation that the issuer will see improved financial metrics in the next two years based on the potential provision of equity by its new sponsors and that its cash flow stability should improve by virtue of its more thorough contracted status; we anticipate leverage of under 7x in 2017," said S&P Global Ratings credit analyst Michael Ferguson. "We could raise the rating to 'BB' if leverage ultimately drops to 5.25x or better, contributing to an improved financial risk profile in conjunction with greater cash flow stability as a result of its new contracts; furthermore, we will continue to monitor the importance of this asset to the new sponsors. If NGPL's assets appear to have greater long-term strategic importance to Brookfield or Kinder Morgan, we could apply additional uplift," S&P said. S&P could lower the rating if NGPL's leverage increases again, or if its market exposure increases. In addition, a weakening of the bond with KMI, which provides some uplift, could weaken credit quality. NORTHWEST GF MUTUAL: A.M. Best Hikes Issuer Credit Rating From bb ----------------------------------------------------------------- A.M. Best has upgraded the Financial Strength Rating (FSR) to B+ (Good) from B (Fair) and the Long-Term Issuer Credit Rating (Long-Term ICR) to "bbb-" from "bb" of Northwest G.F. Mutual Insurance Company (Northwest) (Eureka, SD). The outlook for the Long-Term ICR has been revised to stable from positive, while the outlook for the FSR remains stable. The Credit Rating (rating) upgrades reflect Northwest's continued improvement and stabilization of underwriting results, and risk-adjusted capitalization under the current management team. The company has strengthened significantly its underlying book of business in the past five years by reducing policy count, expenses and investment risk, while re-underwriting the book and increasing rates. Loss reserve development continues to be favorable on an accident and calendar-year basis. Additionally, Northwest has developed solid agency relationships and local market knowledge fostered by its long-standing presence in North and South Dakota. Partially offsetting these positive rating factors is the company's geographic concentration in North Dakota and South Dakota, exposing results to frequent and severe weather-related events, as well as judicial, regulatory, and economic environments. Throughout 2016, the company has endured very active weather patterns; however, due to strict underwriting practices and a strong reinsurance program, Northwest has been able to withstand losses and report favorable results through the third quarter of 2016. NORTHWEST HEALTH: Hires Davidson Backman as Bankruptcy Counsel -------------------------------------------------------------- Northwest Health Summit, P.S., seeks authority from the U.S. Bankruptcy Court for the Eastern District of Washington to employ Davidson Backman Medeiros PLLC as bankruptcy counsel to the Debtor. Northwest Health requires Davidson Backman to: a. assist, advise, and represent the Debtor in consultations with creditors regarding the administration of the Chapter 11 case; b. assist, advise, and represent the Debtor in any manner relevant to a review of the Debtor's leases, other contractual obligations, and asset dispositions; c. assist, advise, and represent the Debtor in any issues associated with the acts, conduct, assets, liabilities, and financial condition of the Debtor; and d. assist, advise, and represent the Debtor in the performance of all of its duties and powers under the Bankruptcy Code and Bankruptcy Rule. Davidson Backman will be paid at these hourly rates: Attorneys $275-$400 Legal Assistants $125-$135 Davidson Backman will also be reimbursed for reasonable out-of-pocket expenses incurred. Barry W. Davidson, member of Davidson Backman Medeiros PLLC, 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. Davidson Backman can be reached at: Barry W. Davidson, Esq. DAVIDSON BACKMAN MEDEIROS PLLC 601 West Riverside Avenue Spokane, WA 99201 Tel: (509 623-1660 About Northwest Health Summit Northwest Health Summit, P.S. fka Women's Health Connection, P.S., dba Men's Health Connection, dba Women'S Health Connection, dba Metabolic Health Connection, dba Northwest Psychiatry and TMS Center filed a Chapter 11 petition (Bankr. E.D. Wash. Case No. 16-03406), on October 31, 2016. The Petition was signed by Debra Ravasia, M.D., president. The case is assigned to Judge Frederick P. Corbit. The Debtor's counsel is Barry W Davidson, Esq., Davidson Backman Medeiros PLLC. At the time of filing, the Debtor estimated assets and liabilities at $1 million to $10 million. NUTRITION RUSH: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: Nutrition Rush, LLC DBA Nutrition Rush DBA Nutrition Management, LLC DBA Lake Mead Nutrition, LLC DBA Jabada Group, LLC DBA Super Nutrition, LLC DBA Nutrition World, LLC DBA Nutrition Planet, LLC DBA Centennial Nutrition, LLC DBA Airport Center Nutrition, LLC DBA Country Club Nutrition, LLC DBA Murrieta Nutrition, LLC DBA East 215, LLC DBA Rainbow Nutrition, LLC DBA Stephanie Nutrition, LLC DBA Dysart Nutrition, LLC DBA Thunderbird Nutrition, LLC DBA Northsight Nutrition, LLC DBA Washington Nutrition, LLC DBA Serene Nutrition, LLC DBA Decatur Nutrition, LLC DBA Sports Arena Nutrition, LLC DBA Elliot Nutrition, LLC DBA Warner Nutrition, LLC FDBA K & N Investing Group, LLC FDBA Eastern Nutrition, LLC FDBA Craig Nutrition, LLC FDBA Aliante Nutrition, LLC FDBA Green Valley Nutrition, LLC FDBA La Quinta Nutrition, LLC FDBA Nutrition Systems, LLC FDBA Nutrition Lifestyles, LLC FDBA Nutrition Group, LLC 5815 Emerald Ave. Las Vegas, NV 89122 Case No.: 16-16771 Chapter 11 Petition Date: December 22, 2016 Court: United States Bankruptcy Court District of Nevada (Las Vegas) Judge: Hon. Laurel E. Davis Debtor's Counsel: Bryan A. Lindsey, Esq. SCHWARTZ FLANSBURG PLLC 6623 Las Vegas Blvd. So., Ste 300 Las Vegas, NV 89119 E-mail: bryan@nvfirm.com - and - Samuel A. Schwartz, Esq. SCHWARTZ FLANSBURG PLLC 6623 Las Vegas Blvd. So., Ste 300 Las Vegas, NV 89119 Tel: (702) 385-5544 Fax: (702) 385-2741 E-mail: sam@nvfirm.com Estimated Assets: $500,000 to $1 million Estimated Liabilities: $1 million to $10 million The petition was signed by Laura Kuveke, managing member. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/nvb16-16771.pdf ONCOBIOLIGICS INC: Issues $8.35 Million Senior Secured Notes ------------------------------------------------------------ Oncobiologics, Inc., entered into a note and warrant purchase agreement with existing investors, as disclosed in a Form 8-K report filed with the Securities and Exchange Commission. The agreement provides for the issuance and sale of up to $10 million of senior secured promissory notes, which bear interest at a rate of 5.0% per year and have a one-year maturity, and 5-year warrants to acquire an aggregate 2.3 million shares of the Company's common stock at an exercise price of $3.00 per share. At the initial closing, the Company issued $8.35 aggregate principal amount of Notes and 1,920,500 Warrants. Under the agreement, the Company may issue up to $1.65 million of additional Notes and 379,500 Warrants in additional closings over 90 days from the date of the Note and Warrant Purchase Agreement without approval of holders of the Notes. The Company used a portion of the proceeds from the sale of the Notes to pay off its existing senior secured bank loans, and will use the remainder for working capital purposes as it pursues strategic opportunities. About Oncobiologics Oncobiologics, Inc., is a clinical-stage biopharmaceutical company focused on identifying, developing, manufacturing and commercializing complex biosimilar therapeutics. The Cranbury, New Jersey-based Company's current focus is on technically challenging and commercially attractive monoclonal antibodies, or mAbs, in the disease areas of immunology and oncology. As of June 30, 2016, Oncobiologics had $32.99 million in total assets, $31.42 million in total liabilities and $1.56 million in total stockholders' equity. For the nine months ended June 30, 2016, Oncobiologics reported a net loss attributable to common stockholders of $52.57 million compared to a net loss attributable to common stockholders of $34.72 million for the year ended June 30, 2015. "The Company has incurred substantial losses and negative cash flows from operations since its inception and has an accumulated deficit of $136.8 million and $94.1 million as of June 30, 2016 and September 30, 2015, respectively. In addition, the Company has $4.6 million and $14.2 million of indebtedness that is due on demand, as of June 30, 2016 and September 30, 2015, respectively. These factors raise substantial doubt about the Company's ability to continue as a going concern," according to the Company's quarterly report for the period ended June 30, 2016. OUTSIDE PLANET: U.S. Trustee Forms 2-Member Committee ----------------------------------------------------- The Office of the U.S. Trustee on Dec. 23 appointed two creditors of Outside Plant Damage Recovery, LLC, to serve on the official committee of unsecured creditors. The committee members are: (1) Angela N. Frazier, Esq. Cox Communications, Inc. 6205-B Peachtree Dunwoody Rd. Atlanta, GA 30328 Tel: (404) 269-6180 Fax: (404) 269-5845 Email: angela.frazier@cox.com (2) Barry W. King, MBA, J.D. Charter Communications 12405 Powerscourt Dr. St. Louis, MO 63131 Tel: (314) 543-5640 Fax: (314) 909-0609 Email: Barry.King@charter.com Official creditors' committees have the right to employ legal and accounting professionals and financial advisors, at a debtor's expense. They may investigate the debtor's business and financial affairs. Importantly, official committees serve as fiduciaries to the general population of creditors they represent. About Outside Plant Damage Recovery Outside Plant Damage Recovery, LLC d/b/a Paragon Risk Management Group filed a Chapter 11 bankruptcy petition (Bankr. D.CO. Case No. 16-20629) on October 28, 2016. Hon. Thomas B. McNamara presides over the case. Adams Law, LLC represents the Debtor as counsel. In its petition, the Debtor estimated $0 to $50,000 in assets and $1 million to $10 million in liabilities. The petition was signed by Joseph Fanciulli, owner. OYSTER COMPANY: U.S. Trustee Forms 7-Member Committee ----------------------------------------------------- The U.S. trustee for Region 4 on Dec. 23 appointed seven creditors of Oyster Company of Virginia, LLC, to serve on the official committee of unsecured creditors. The committee members are: (1) Mark A. and Melissa V. Christian (2) William and Patricia Loughridge (3) G. Allen Ramer, Jr. (4) Martin Browder (5) Bruce Belt (6) William M. Benton (7) John B. Thompson Official creditors' committees have the right to employ legal and accounting professionals and financial advisors, at a debtor's expense. They may investigate the debtor's business and financial affairs. Importantly, official committees serve as fiduciaries to the general population of creditors they represent. About Oyster Company of Virginia A Chapter 7 Involuntary Petition was filed against Oyster Company of Virginia, LLC (Bankr. E. D. Va. Case No. 16-34750) on September 27, 2016. The case is assigned to Judge Keith L. Phillips. PACIFIC THOMAS: Ruling in Clawback Suit vs. Darrow Affirmed ----------------------------------------------------------- In the adversary proceeding captioned KYLE EVERETT, Chapter 11 Trustee, Plaintiff, v. DARROW FAMILY PARTNERS, Defendant, Adv. Proc. No. 14-05105 (N.D. Cal.), Judge Maxine M. Chesney of the United States District Court for the Northern District of California affirmed the judgment of the bankruptcy court, entered December 8, 2015, in favor of Kyle Everett, the Chapter 11 Trustee for the estate of the debtor, Pacific Thomas Corporation. On August 5, 2014, the Trustee commenced an adversary proceeding against Darrow Family Partner, in which the Trustee sought to avoid and recover from Darrow transfers in the amount of $22,024.15, which transfers allegedly were made to or for the benefit of Darrow by the debtor or another entity, Pacific Trading Ventures (PTV), in violation of Title 11 of the United States Code. With respect to the transfers by PTV, the parties appeared to agree that the funds transferred were rental payments collected by PTV from customers of a self-storage facility owned by the debtor. The parties disagreed, however, as to whether the rental payments were the property of the debtor or PTV, said dispute being centered on the nature of the contractual relationship between the debtor and PTV. The Trustee took the position that the relationship was governed by a 2003 management services agreement under which PTV collected rent on behalf of the debtor, i.e., that the rental payments were the property of the debtor, whereas Darrow took the position that the relationship was governed by a 2005 lease agreement whereby PTV leased the self-storage facility from the debtor, i.e., that the rental payments were the property of PTV. After conducting a court trial, the bankruptcy court found the Trustee was entitled to the total amount sought, specifically, $22,059.51. Darrow argued the bankruptcy court erred in finding the sums transferred by PTV were the property of the debtor. Darrow had observed that, in a prior adversary proceeding brought by the Trustee against PTV and others, but not Darrow, the bankruptcy court had found the lease agreement between the debtor and PTV was invalid and that the contractual relationship between said entities was governed by the management services agreement. Based thereon, Darrow contended the bankruptcy court erroneously determined that Darrow was "bound" by the judgment entered against PTV in the prior adversary proceeding, despite the fact that Darrow was not a party to that action. Judge Chesney found that the bankruptcy court did not base its determination on a finding that Darrow was bound by the bankruptcy court's decision in the prior adversary proceeding. First, the bankruptcy court found the Trustee had met its burden to show that any transfers to Darrow by PTV were the property of the debtor. The Trustee had served on Darrow requests for admission in which Darrow was asked to admit (1) the debtor and PTV were parties to a management services agreement in which PTV agreed to "provide property management services to [the] Debtor at [the] Debtor's self-storage facilities" and (2) any transfer made to Darrow by PTV that the Trustee sought to avoid and recover was "a transfer of an interest of the Debtor in property." Darrow failed to respond to either such request. Thus, the request was deemed "admitted." Next, the bankruptcy court, although finding the Trustee, given Darrow's admissions, had established the subject transfers were the property of the debtor, nonetheless afforded Darrow the "opportunity to introduce evidence in support of its defenses," including its defense that any transfers Darrow received from PTV were the property of PTV. The court did not find Darrow's argument persuasive, and the evidence presented was insufficient to overcome Darrow's admission that each transfer was a transfer of an interest in debtor's property. In the alternative, Darrow asserted that it was in privity with a party to the prior adversary proceeding, and that the bankruptcy court erred by finding Darrow had failed to show the claims alleged by the Trustee in the adversary proceeding were barred under the doctrine of claim preclusion. Darrow argued that, under the doctrines of privity and claim preclusion, the Trustee was barred from proceeding against Darrow, having named, as a defendant to the prior adversary proceeding, Randall Whitney, a general partner in Darrow. The bankruptcy court rejected Darrow's argument. Judge Chesney found no error in the bankruptcy court's ruling because the claims alleged in the two actions are not the same. The bankruptcy case is In re PACIFIC THOMAS CORPORATION, dba PACIFIC THOMAS CAPITAL, dba SAFE STORAGE, Debtor, Case No. 15-cv-06324-MMC, Bankruptcy Case No. 14-54232 MEH (N.D. Cal.). A full-text copy of Judge Chesney's December 8, 2016 decision is available at https://is.gd/CmzihA from Leagle.com. In re Pacific Thomas Corporation is represented by: Anne-Leith Ferguson W. Matlock, Esq. MATLOCK LAW GROUP, A PROFESSIONAL CORPORATION 1475 N Broadway Ste 410 Walnut Creek, CA 94596-4666 Tel: (925)944-7131 Darrow Family Partners is represented by: Paul Gilruth McCarthy, Esq. 1 Kaiser Plz Ste 2300 Oakland, CA 94612 Tel: (510)836-0100 Fax: (510)832-3690 Email: p_mccarthy@sbcglobal.net Kyle Everett is represented by: Craig C. Chiang, Esq. Robert E. Izmirian, Esq. BUCHALTER NEMER 1000 Wilshire Boulevard, Suite 1500 Los Angeles, CA 90017-1730 Tel: (213)891-0700 Fax: (213)896-0400 Office of the U.S. Trustee/Oak, Tracy Hope Davis, Trustee, are represented by: Lynette Carol Kelly, Esq. U.S. DEPARTMENT OF JUSTICE 450 Golden Gate Avenue, 5th Floor, Suite #05-0153 San Francisco, CA 94102 Tel: (415)252-2080 Fax: (415)705-3379 About Pacific Thomas Corp. Walnut Creek, California, Pacific Thomas Corporation filed a Chapter 11 petition (Bankr. N.D. Cal. Case No. 12-46534) in Oakland on Aug. 6, 2012, estimating in excess of $10 million in assets and liabilities. The Debtor is related to Pacific Thomas Capital, which specializes in real estate services, focusing on the investment, ownership and development of commercial real estate properties, according to http://www.pacificthomas.com/ Real estate activities has spanned throughout the Hawaiian Islands as well as U.S. West Coast locations in California, Nevada, Arizona and Utah. Hawaii based activities are managed under the name Thomas Capital Investments. Bankruptcy Judge M. Elaine Hammond presides over the case. Anne- Leith Matlock, Esq., at Matlock Law Group, P.C., serves as general counsel. The petition was signed by Jill V. Worsley, COO, secretary. Kyle Everett was named Chapter 11 trustee of the Debtor. Craig C. Chiang, Esq., at Buchalter Nemer, P.C., in San Francisco, Calif., represents the Chapter 11 trustee as counsel. In its schedules, the Debtor disclosed $19,960,679 in assets and $16,482,475 in liabilities as of the petition date. In January 2014, Judge Hammond entered an order holding that Pacific Thomas Corp.'s Fourth Amended Disclosure Statement, filed on Dec. 31, 2013, is not approved for the reasons stated on the record at the Jan. 16 hearing. Pursuant to the Plan, the Debtor proposes to avail of a loan from Thorofare Capital to pay off some secured claims. The new loan would be refinanced by the reorganized company before the loan terms expires. If the reorganized company fails to do so, the safe storage parcels of the Pacific Thomas properties will be sold. PACIFIC THOMAS: Ruling in Clawback Suit vs. TCI Affirmed -------------------------------------------------------- In the adversary proceeding captioned KYLE EVERETT, Chapter 11 Trustee Plaintiff, v. THOMAS CAPITAL INVESTMENTS, a Hawaiian domestic limited partnership, Defendant, Adv. Proc. No. 14-05177 (N.D. Cal.), Judge Maxine M. Chesney of the United States District Court for the Northern District of California affirmed the judgment of the bankruptcy court, entered December 8, 2015, in favor of Kyle Everett, the Chapter 11 Trustee for the estate of the debtor, Pacific Thomas Corporation. On August 5, 2014, the Trustee commenced an adversary proceeding against Thomas Capital Investments (TCI), in which the Trustee sought to avoid and recover from TCI transfers in the amount of $341,059.51, which transfers allegedly were made to TCI by or on behalf of the debtor in violation of Title 11 of the United States Code. Of the amount sought, $107,794.88 had not been transferred to TCI by the debtor, but, rather, by another entity, Pacific Trading Ventures (PTV). With respect to the transfers by PTV, the parties appeared to agree that the funds transferred were rental payments collected by PTV from customers of a self-storage facility owned by the debtor. The parties disagreed, however, as to whether the rental payments were the property of the debtor or PTV, said dispute being centered on the nature of the contractual relationship between the debtor and PTV. The Trustee took the position that the relationship was governed by a 2003 management services agreement under which PTV collected rent on behalf of the debtor, i.e., that the rental payments were the property of the debtor, whereas TCI took the position that the relationship was governed by a 2005 lease agreement whereby PTV leased the self-storage facility from the debtor, i.e., that the rental payments were the property of PTV. After conducting a court trial, the bankruptcy court found the Trustee was entitled to the total amount sought, specifically, $341,059.51. TCI argued the bankruptcy court erred in finding the sums transferred by PTV were the property of the debtor. TCI had observed that, in a prior adversary proceeding brought by the Trustee against PTV and others, but not TCI, the bankruptcy court had found the lease agreement between the debtor and PTV was invalid and that the contractual relationship between said entities was governed by the management services agreement. Based thereon, TCI contended the bankruptcy court erroneously determined that TCI was "bound" by the judgment entered against PTV in the prior adversary proceeding, despite the fact that TCI was not a party to that action. Judge Chesney found that the bankruptcy court did not base its determination on a finding that TCI was bound by the bankruptcy court's decision in the prior adversary proceeding. First, the bankruptcy court found the Trustee had met its burden to show that the transfers to TCI by PTV were the property of the debtor. The Trustee had served on TCI requests for admission in which TCI was asked to admit (1) the debtor and PTV were parties to a management services agreement in which PTV agreed to "provide property management services to [the] Debtor at [the] Debtor's self-storage facilities" and (2) any transfer made to TCI by PTV that the Trustee sought to avoid and recover was "a transfer of an interest of the Debtor in property." TCI failed to respond to either such request. Thus, the request was deemed "admitted." Next, the bankruptcy court, although finding the Trustee, given TCI's admissions, had established the subject transfers were the property of the debtor, nonetheless afforded TCI the "opportunity to introduce evidence in support of its defenses," including its defense that any transfers TCI received from PTV were the property of PTV. The court did not find TCI's argument persuasive, and the evidence presented was insufficient to overcome TCI's admission that each transfer was a transfer of an interest in debtor's property. The bankruptcy case is In re PACIFIC THOMAS CORPORATION, dba PACIFIC THOMAS CAPITAL, dba SAFE STORAGE, Debtor, Case No. 15-cv-06321-MMC, Bankruptcy Case No. 14-54232 MEH (N.D. Cal.). A full-text copy of Judge Chesney's December 8, 2016 decision is available at https://is.gd/CmzihA from Leagle.com. Pacific Thomas Corporation is represented by: Anne-Leith Ferguson W. Matlock, Esq. MATLOCK LAW GROUP, A PROFESSIONAL CORPORATION 1475 N Broadway Ste 410 Walnut Creek, CA 94596-4666 Tel: (925)944-7131 Thomas Capital Investments is represented by: Paul Gilruth McCarthy, Esq. 1 Kaiser Plz Ste 2300 Oakland, CA 94612 Tel: (510)836-0100 Fax: (510)832-3690 Email: p_mccarthy@sbcglobal.net Kyle Everett is represented by: Craig C. Chiang, Esq. Robert E. Izmirian, Esq. BUCHALTER NEMER 1000 Wilshire Boulevard, Suite 1500 Los Angeles, CA 90017-1730 Tel: (213)891-0700 Fax: (213)896-0400 Office of the U.S. Trustee/Oak, Tracy Hope Davis, Trustee, are represented by: Lynette Carol Kelly, Esq. U.S. DEPARTMENT OF JUSTICE 450 Golden Gate Avenue, 5th Floor, Suite #05-0153 San Francisco, CA 94102 Tel: (415)252-2080 Fax: (415)705-3379 About Pacific Thomas Corp. Walnut Creek, California, Pacific Thomas Corporation filed a Chapter 11 petition (Bankr. N.D. Cal. Case No. 12-46534) in Oakland on Aug. 6, 2012, estimating in excess of $10 million in assets and liabilities. The Debtor is related to Pacific Thomas Capital, which specializes in real estate services, focusing on the investment, ownership and development of commercial real estate properties, according to http://www.pacificthomas.com/ Real estate activities has spanned throughout the Hawaiian Islands as well as U.S. West Coast locations in California, Nevada, Arizona and Utah. Hawaii based activities are managed under the name Thomas Capital Investments. Bankruptcy Judge M. Elaine Hammond presides over the case. Anne- Leith Matlock, Esq., at Matlock Law Group, P.C., serves as general counsel. The petition was signed by Jill V. Worsley, COO, secretary. Kyle Everett was named Chapter 11 trustee of the Debtor. Craig C. Chiang, Esq., at Buchalter Nemer, P.C., in San Francisco, Calif., represents the Chapter 11 trustee as counsel. In its schedules, the Debtor disclosed $19,960,679 in assets and $16,482,475 in liabilities as of the petition date. In January 2014, Judge Hammond entered an order holding that Pacific Thomas Corp.'s Fourth Amended Disclosure Statement, filed on Dec. 31, 2013, is not approved for the reasons stated on the record at the Jan. 16 hearing. Pursuant to the Plan, the Debtor proposes to avail of a loan from Thorofare Capital to pay off some secured claims. The new loan would be refinanced by the reorganized company before the loan terms expires. If the reorganized company fails to do so, the safe storage parcels of the Pacific Thomas properties will be sold. PATRIOT METALS: Disclosures Okayed, Plan Hearing on Feb. 1 ---------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida will consider approval of the Chapter 11 plan filed by Patriot Metals, Inc. at a hearing on Feb. 1. The hearing will be held at 9:30 a.m., at Sam M. Gibbons United States Courthouse, Courtroom 8A, 801 N. Florida Avenue, Tampa, Florida. The court will also consider at the hearing the final approval of the company's disclosure statement, which it conditionally approved on Dec. 15. The order required creditors to cast their votes no later than eight days before the Feb. 1 hearing. Objections to the disclosure statement and the plan must be filed no later than seven days prior to the hearing. About Patriot Metals Patriot Metals, Inc. dba Patriot Metals Recycling filed a Chapter 11 petition (Bankr. M.D. Fla. Case No. 16-06860), on August 8, 2016. The Debtor's counsel is James W. Elliott, Esq. at McIntyre Thanasides Bringgold Elliott Grimaldi & Guito, P.A. of Tampa, Florida. No trustee or examiner has been appointed in this case and no official committees have been appointed. PENNGOOD LLC: Feb. 1 Plan Confirmation Hearing ---------------------------------------------- Judge S. Martin Teel, Jr. of the U.S. Bankruptcy Court for the District of Columbia issued an order approving the amended disclosure statement relating to the amended plan of reorganization filed by Penngood LLC. Jan. 27, 2017, is fixed as the last day on which the holders of claims and interests may accept or reject the plan. Feb. 1, 2017, at 10:30 a.m., is fixed as the date and time for the hearing on confirmation of the plan. Jan. 27, 2017, is fixed as the last day for filing and serving written objections to confirmation of the plan. By no later than Jan. 31, 2017, the debtor shall file a summary of the completed ballots with a certification that the ballot summary sets forth an accurate and complete tabulation of all ballots received by the debtor as to rejection and acceptance of the Plan, by class of creditors and interests with number and total amount of claims or interests in each category. The Debtor's Amended Plan proposes an immediate distribution to the creditors of $360,000 upon the effective date of the Plan, and a payment of $216,962 from the debtor over the Plan term, in addition to a contribution of $20,000 from the debtor's principal, Clyde Penn. The total to be distributed to the creditors under the Plan is thus $596,962, and the amount of its cash retained by the debtor after the initial $360,000 disbursement is less than the present value of the monthly distributions at 4.5% interest over the Plan term. Taking everything into account, the creditors will receive $136,801.00 more under the debtor's Plan than they would receive in a hypothetical Chapter 7 liquidation. In a Chapter 7 liquidation the unsecured creditors would receive 8% of their claims, whereas under the Debtor's Plan they will receive approximately 12%. A full-text copy of the Amended Disclosure Statement dated December 20, 2016, is available at: http://bankrupt.com/misc/dcb16-00051-100.pdf About Penngood LLC Headquartered in Washington, DC, Penngood LLC dba Penn Good and Associates LLP derives its income primarily from government contracts, or from work done for companies who are themselves working on government contracts and has several promising opportunities to acquire new accounts and to expand its business in this area. It filed for Chapter 11 bankruptcy protection (Bankr. D.C. Case No. 16-00051) on Feb. 15, 2016, listing $1.85 million in total assets and $4.42 million in total liabilities. The petition was signed by Clyde H. Penn Jr., owner. PITTSBURGH CORNING: PPG's $110M Claim v. Midland Nixed ------------------------------------------------------ Jeff Sistrunk, writing for Bankruptcy Law360, reported that a New York appeals court affirmed a lower court's decision that PPG Industries cannot pursue a $110 million claim against insolvent insurer Midland Insurance Co. to help cover a sweeping settlement of asbestos litigation. The Court held that the value of the claim was not fixed by the cutoff date for filing proofs of claim against Midland's estate. PPG's claim against Midland was connected to its agreement in affiliate Pittsburgh Corning Corp.'s Chapter 11 bankruptcy proceeding to create a multibillion-dollar compensation trust. About Pittsburgh Corning Corporation Pittsburgh Corning Corporation filed for Chapter 11 bankruptcy protection (Bankr. W.D. Pa. Case No. 00-22876) on April 16, 2000, to address numerous claims alleging personal injury from exposure to asbestos. At the time of the bankruptcy filing, there were about 11,800 claims pending against the Company in state court lawsuits alleging various theories of liability based on exposure to Pittsburgh Corning's asbestos products and typically requesting monetary damages in excess of $1 million per claim. PCC's balance sheet at Sept. 30, 2012, showed $29.4 billion in total assets, $7.52 billion in total liabilities and $21.9 billion in total equity. The Hon. Judge Thomas Agresti handled the bankruptcy case. Reed Smith LLP served as counsel and Deloitte & Touche LLP as accountants to the Debtor. The U.S. Trustee appointed a Committee of Unsecured Trade Creditors on April 28, 2000. The Bankruptcy Court authorized the retention of Leech, Tishman, Fuscaldo & Lampl, LLC, as counsel to the Committee of Unsecured Trade Creditors, and Pascarella & Wiker, LLP, as financial advisor. The U.S. Trustee also appointed a Committee of Asbestos Creditors on April 28, 2000. The Bankruptcy Court authorized the retention of these professionals by the Committee of Asbestos Creditors: (i) Caplin & Drysdale, Chartered as Committee Counsel; (ii) Campbell & Levine as local counsel; (iii) Anderson Kill & Olick, P.C. as special insurance counsel; (iv) Legal Analysis Systems, Inc., as Asbestos-Related Bodily Injury Consultant; (v) defunct firm, L. Tersigni Consulting, P.C. as financial advisor, and (vi) Professor Elizabeth Warren, as a consultant to Caplin & Drysdale, Chartered. The Asbestos Committee was represented by Douglas A. Campbell, Esq., and Philip E. Milch, Esq., at Campbell & Levine, LLC; and Peter Van N. Lockwood, Esq., Leslie M. Kelleher, Esq., and Jeffrey A. Liesemer, Esq., at Caplin & Drysdale, Chartered. On Feb. 16, 2001, the Court approved the appointment of Lawrence Fitzpatrick as the Future Claimants' Representative. The Bankruptcy Court authorized the retention of Meyer, Unkovic & Scott LLP as his counsel, Young Conaway Stargatt & Taylor, LLP, as his special counsel, and Analysis, Research and Planning Corporation as his claims consultant. The FCR was later represented by Joel M. Helmrich, Esq., at Dinsmore & Shohl LLP; and James L. Patton, Jr., Esq., Edwin J. Harron, Esq., and Sara Beth A.R. Kohut, Esq., at Young Conaway Stargatt & Taylor, LLP. In 2003, a plan of reorganization was agreed to by various parties-in-interest, but, on Dec. 21, 2006, the Bankruptcy Court issued an order denying the confirmation of that plan, citing that the plan was too broad in addressing independent asbestos claims that were not associated with Pittsburgh Corning. On Jan. 29, 2009, an amended plan of reorganization (the Amended PCC Plan) -- which addressed the issues raised by the Court when it denied confirmation of the 2003 Plan -- was filed with the Bankruptcy Court. As reported by the TCR on April 25, 2012, Pittsburgh Corning, which is a joint venture between Corning Inc. and PPG Industries Inc., filed another amendment to its reorganization plan. In 2014, Pittsburgh Corning disclosed that its Modified Third Amended Plan of Reorganization has been confirmed by the U.S. District Court for the Western District of Pennsylvania, effective October 1. The confirmation affirmed a May 2013 ruling by the U.S. Bankruptcy Court for the Western District of Pennsylvania. In April 2016, Pittsburgh Corning disclosed that its Modified Third Amended Plan became effective as of April 27, and the Company emerged from Chapter 11 bankruptcy. The confirmed Plan of Reorganization established a trust valued in excess of $3.5 billion to assume all asbestos-related liabilities and resolve all asbestos personal injury claims. The trust is to be funded by Pittsburgh Corning, its shareholders PPG Industries Inc. and Corning Incorporated, and participating insurance carriers. PLAZA HEALTHCARE: Disclosures OK'd; Plan Hearing on March 1 ----------------------------------------------------------- The U.S. Bankruptcy Court for the Central District of California has approved Plaza Healthcare Center LLC's disclosure statement referring to the Debtor's plan of reorganization dated Dec. 8, 2016. The hearing for the Court to consider the confirmation of the Plan will be held on March 1, 2017, at 10:00 a.m. Any objection to confirmation of the Plan must be filed with the Court by Jan. 20, 2017. Ballots accepting or rejecting the Plan must be received by counsel to the Debtor by not later than 5:00 p.m. Pacific Standard Time on Jan. 20, 2017. By Feb. 3, 2017, the Debtor will file with the Court (i) a summary of the results of the balloting on the Plan together with a copy of all timely received ballots, (ii) a brief in support of confirmation of the Plan, and (iii) any reply to any objection filed to confirmation of the Plan. Headquartered in Santa Ana, California, Plaza Healthcare Center LLC and affiliate Plaza Convalescent Center LP were engaged in the business of owning and operating skilled nursing facilities in Southern California, which provided 24 hour, 7 days a week and 365 days a year care to patients who resided at these facilities. Collectively, the Debtors owned and operated 18 skilled nursing and one assisted living facility. The Debtors each filed a voluntary petition under Chapter 11 of the Bankruptcy Code on March 4, 2014. The following day, 17 of their affiliates filed for bankruptcy protection. The lead case is In re Plaza Healthcare Center LLC, Case No. 14-11335 (Bankr. C.D. Calif.). In its petition, Plaza Healthcare estimated its assets and liabilities at between $1 million and $10 million each. PODIUM PERFORMANCE: Seeks to Continue Using Suntrust Cash --------------------------------------------------------- Podium Performance, LLC seeks authorization from the U.S. Bankruptcy Court for the Southern District of Florida to continue using Suntrust Bank, N.A.'s cash collateral to pay its regular operating expenses in the course of its business, as well as the administrative expenses in these Chapter 11 proceedings as they become due. The Debtor's proposed Budget for the period from January through March 2017 provides a total of $48,342 in salary and wages, $70,731 total fixed business expenses, and other expenses in the approximate amount of $8,433. Suntrust Bank, N.A. filed a claim on December 15, 2016 alleging a secured lien interest in the Debtor's gym equipment and furnishings and fixtures by virtue of a Note and Security Agreement entered into by and between the Debtor and Suntrust. The Debtor contends that its continued use of the cash collateral is necessary for an effective reorganization and to avoid harm to its bankruptcy estate and the unsecured creditors. The Debtor further contends that it needs to be able to pay its regular business expenses, as well as its administrative expenses as they become due, to continue operating as a going concern, and to maintain compliance with the guidelines of the Office of the U.S. Trustee. A full-text copy of the Debtor's Motion, dated December 20, 2016, is available at https://is.gd/GiwKZ6 A full-text copy of the Debtor's Proposed Budget, dated December 20, 2016, is available at https://is.gd/firdpG About Podium Performance Podium Performance, LLC, filed a Chapter 11 petition (Bankr. S.D. Fla. Case No. 16-21400) on August 18, 2016. The petition is signed by Peter Willis, managing member. The Debtor is represented by Nadine V. White-Boyd, Esq., at White-Boyd Law. The Debtor estimated assets at $100,001 to $500,000 and liabilities at $500,001 to $1 million at the time of the filing. PRECISE CORPORATE: Western State Bank Prohibits Access to Cash -------------------------------------------------------------- Western State Bank, a secured creditor and party-in-interest in the Chapter 11 case of Precise Corporate Staging, L.L.C. notifies the U.S. Bankruptcy Court for the District of Arizona that it does not consent to, and requests the Court to prohibit the Debtor and any other entity or individual from using the Collateral and order that all proceeds of the Collateral be placed in a segregated interest bearing account pending further order of the Court. Western State Bank asserts that it has a secured claim against the Debtor, particularly an interest in substantially all of the Debtor's accounts receivable, deposit accounts, cash, and substantially all of the Debtor's other personal property, and all proceeds therefrom, as security for repayment of amounts due and owing to Western State Bank under the Loan Documents. Western State Bank relates that it loaned $980,000 to the Debtor and its affiliate, Precise Corporate Staging, L.L.C. Western State Bank further relates that it has loaned an additional $830,700 to Debtor and also made a Small Business Administration loan to Debtor in the principal sum of $3,015,200. Western State Bank tells the Court that each of the Loans are cross-defaulted and cross-collateralized with one another, and as such, the Debtor's assets serve as collateral for the Western State Bank's loans to Dedicated Staging as well as its loans to the Debtor. Accordingly, Western State Bank also requests the Court that in the event that the Debtor has dissipated its cash collateral post-petition, the Court would grant it replacement liens, an allowed administrative or super-priority claim since the Debtor is not providing, and has not offered to provide, Western State Bank with adequate protection (or any protection) of Western State Bank's interests in the Collateral. Western State Bank is represented by: James L. Ugalde, Esq. Elizabeth S. Fella, Esq. Quarles & Brady LLP Renaissance One Two North Central Avenue Phoenix, AZ 85004-2391 Telephone: 602.229.5200 Facsimile: 602.229.5690 Email: jim.ugalde@quarles.com elizabeth.fella@quarles.com About Precise Corporate Staging, L.L.C. Precise Corporate Staging, L.L.C. filed a Chapter 11 petition (Bankr. D. Ariz. Case No. 16-14281), on December 20, 2016. The Debtor is represented by John C. Smith, Esq. at Smith & Smith, PLLC of Tucson, AZ. PRICO ENTERPRISES: Disclosure Statement Hearing Set for Jan. 31 --------------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Georgia is set to hold a hearing on Jan. 31, at 2:00 p.m., to consider approval of the disclosure statement explaining the Chapter 11 plan of Prico Enterprises, Inc. The hearing will take place at the U.S. Bankruptcy Court, 901 Front Avenue, One Arsenal Place, Columbus, Georgia. Objections are due by Jan. 23. The company filed its proposed plan and disclosure statement on Dec. 6. Prico Enterprises is represented by: Wesley J. Boyer, Esq. Katz, Flatau, & Boyer, L.L.P. 355 Cotton Avenue Macon, GA 31201 Phone: (478) 742-6481 Fax: (478) 742-0108 Email: wjboyer_2000@yahoo.com About Prico Enterprises Prico Enterprises, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Ga. Case No. 15-71004) on August 28, 2015. The petition was signed by Bobby F. Price, Jr., authorized representative. The case is assigned to Judge John T. Laney, III. At the time of the filing, the Debtor estimated assets and liabilities of less than $500,000. PRO ENTERPRISES: Unsecureds To Receive 10% Over 5 Years ------------------------------------------------------- Pro Enterprises USA, Inc., and Alejandro Alan Azpurua filed with the U.S. Bankruptcy Court for the Southern District of Florida a joint disclosure statement in support of their joint plan of reorganization, dated Dec. 23, 2016. Class 5 consists of the allowed general unsecured claims of creditors of Pro Enterprises. The holders of Allowed General Unsecured Claims in Class 5 will receive in respect of their Allowed General Unsecured Claims, a cash payment equal to 10% of their claims over 5 years, payable in equal installments, with the first installment being made on the Effective Date. The Debtor or Reorganized Debtor will have the discretion to pre-pay the Class 5 distribution and any installment thereon in full at any time after the Effective Date. Class 5 is impaired under the plan. Class 6 consists of the allowed general unsecured claims of creditors of Azpurua. The holders of Allowed General Unsecured Claims in Class 6 will receive in respect of their Allowed General Unsecured Claims, a cash payment equal to 5% of their claims over 5 years payable in equal installments, with the first installment being made on the Effective Date. The Debtor or Reorganized Debtor will have the discretion to pre-pay the Class 6 distribution and any installment thereon in full at any time after the Effective Date. Class 6 is impaired under the plan. All payments necessary to achieve confirmation of the plan and to fund payment to creditors required by the plan will be funded from the cash flow of Pro Enterprises' operations as supplemented with an infusion of cash by Pro Enterprises' principal, Alejandro Alan Azpurua. A full-text copy of the Disclosure Statement is available at: http://bankrupt.com/misc/flsb16-16317-95.pdf About Pro Enterprises USA 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 The Debtor has retained Fresh Start Tax, LLC as accountant. REAM PROPERTIES: Hearing on Amended Plan Outline Set for Jan. 31 ---------------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Pennsylvania is set to hold a hearing on Jan. 31, at 9:30 a.m., to consider approval of the revised disclosure statement filed by Ream Properties, LLC on Dec. 14. The hearing will take place at The Ronald Reagan Federal Building, Bankruptcy Courtroom, Third Floor, Third and Walnut Streets, Harrisburg, Pennsylvania. Objections are due by Jan. 19. About Ream Properties Ream Properties, LLC, was formed in 2008 for the purpose of rehabbing and renting affordable properties in the greater Harrisburg area resulting in the restoration of properties to the tax and utility roles. The Debtor sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Pa. Case No. 15-02980) on July 15, 2015, listing under $1 million in assets and liabilities. Craig A. Diehl, Esq., at the Law Offices of Craig A. Diehl serves as the Debtor's bankruptcy counsel. REBUS CORP: Disclosure Statement Hearing Set for Jan. 11 -------------------------------------------------------- The U.S. Bankruptcy Court for the District of Puerto Rico is set to hold a hearing on Jan. 11, at 2:00 p.m., to consider approval of the disclosure statement explaining the Chapter 11 plan of Rebus Corp. The hearing will take place at the Jose V. Toledo Federal Building and U.S. Courthouse, Courtroom No. 1, Second Floor, 300 Recinto, Sur, Old San Juan, Puerto Rico. Objections must be filed not less than 14 days prior to the hearing. Under the proposed plan, Class 4 general unsecured creditors will get 1.5% of their claims, which equals $22,000, to be paid pro rata to these creditors. Unsecured creditors will receive $5,170 including interests, yearly over five years. The first payment will be made eight months after the plan is confirmed, according to court filings. About Rebus Corp. Rebus Corp. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 16-02891) on April 13, 2016. The petition was signed by Pedro Martinez, president. The case is assigned to Judge Brian K. Tester. At the time of the filing, the Debtor estimated its assets at $500,000 to $1 million and debts at $1 million to $10 million. RENNOVA HEALTH: Prices $12.35M Public Offering of Common Stock -------------------------------------------------------------- Rennova Health, Inc., announced the pricing of an underwritten public offering of 12,350 shares of its Series H Convertible Preferred Stock at a per share price to the public of $1,000. The Series H Preferred Stock has a stated value of $1,000 per share with each share convertible into 11,111 shares of common stock, at a conversion price of $0.09 per share. The gross proceeds to Rennova Health, Inc. from this offering are expected to be approximately $12,350,000 before deducting underwriting discounts and commissions and other estimated offering expenses. Approximately $8,300,000 of the net proceeds from this offering will be used to redeem certain outstanding shares of Rennova Health's Series G Convertible Preferred Stock. The offering is expected to close on Dec. 20, 2016, subject to customary closing conditions. Aegis Capital Corp. is acting as the sole book-running manager for the offering. A registration statement relating to these securities has been filed with the Securities and Exchange Commission and became effective on Dec. 15, 2016. The offering will be made only by means of a prospectus. A copy of the prospectus relating to the offering may be obtained, when available, by contacting Aegis Capital Corp., Prospectus Department, 810 Seventh Avenue, 18th Floor, New York, NY 10019, telephone: 212-813-1010, e-mail: prospectus@aegiscap.com. Investors may also obtain these documents at no cost by visiting the SEC's website at http://www.sec.gov. About Rennova Rennova Health, Inc. is a vertically integrated provider of a suite of healthcare related products and services. Its principal lines of business are diagnostic laboratory services, and supportive software solutions and decision support and informatics operations services. The Company reported a net loss attributable to the Company's common shareholders of $36.4 million for the year ended Dec. 31, 2015, following net income attributable to the Company's common shareholders of $2.81 million for the year ended Dec. 31, 2014. As of Sept. 30, 2016, Rennova Health had $10.19 million in total assets, $20.23 million in total liabilities and a total stockholders' deficit of $10.03 million. The Company said in its annual report for the year ended Dec. 31, 2015, that "Although our financial statements have been prepared on a going concern basis, we have recently accumulated significant losses and have negative cash flows from operations, which raise substantial doubt about our ability to continue as a going concern. "If we are unable to improve our liquidity position we may not be able to continue as a going concern. The accompanying consolidated financial statements do not include any adjustments that might result if we are unable to continue as a going concern and, therefore, be required to realize our assets and discharge our liabilities other than in the normal course of business which could cause investors to suffer the loss of all or a substantial portion of their investment." RENNOVA HEALTH: To Hold Business Update Conference Call on Jan. 5 ----------------------------------------------------------------- Rennova Health, Inc., announced the Company will host an investment community conference call on Jan. 5, 2017, beginning at 4:30 p.m. Eastern time. During the call members of the Rennova executive management team will discuss the Company's business strategy as well as its milestones and expectations for 2017. To access the conference call, U.S.-based listeners should dial 888-563-6275 and international listeners should dial 706-634-7417. All listeners should provide passcode 43727009. Individuals interested in listening to the live conference call via the Internet may do so by logging onto the Company's Web site at http://www.rennovahealth.com/ Following the conclusion of the conference call, a replay will be available through Jan. 11, 2017, and can be accessed by dialing 855-859-2056 from within the U.S. or 404-537-3406 from outside the U.S. All listeners should provide passcode 43727009. The webcast will be available for 30 days. About Rennova Rennova Health, Inc., is a vertically integrated provider of a suite of healthcare related products and services. Its principal lines of business are diagnostic laboratory services, and supportive software solutions and decision support and informatics operations services. The Company reported a net loss attributable to the Company's common shareholders of $36.4 million for the year ended Dec. 31, 2015, following net income attributable to the Company's common shareholders of $2.81 million for the year ended Dec. 31, 2014. As of Sept. 30, 2016, Rennova Health had $10.19 million in total assets, $20.23 million in total liabilities and a total stockholders' deficit of $10.03 million. The Company said in its annual report for the year ended Dec. 31, 2015, that "Although our financial statements have been prepared on a going concern basis, we have recently accumulated significant losses and have negative cash flows from operations, which raise substantial doubt about our ability to continue as a going concern. "If we are unable to improve our liquidity position we may not be able to continue as a going concern. The accompanying consolidated financial statements do not include any adjustments that might result if we are unable to continue as a going concern and, therefore, be required to realize our assets and discharge our liabilities other than in the normal course of business which could cause investors to suffer the loss of all or a substantial portion of their investment." REPUBLIC AIRWAYS: Needs Until March 31 to File Chapter 11 Plan -------------------------------------------------------------- Republic Airways Holdings Inc. and certain of its subsidiaries request the U.S. Bankruptcy Court for the Southern District of New York to further extend their exclusive plan filing period to and including March 31, 2017 and their exclusive solicitation period to and including June 1, 2017. Out of an abundance of caution, the Debtors request for exclusivity extensions to ensure that they will have an opportunity to confirm and consummate the Plan, or if need be, file a new or amended plan, before the Exclusive Periods expire. The Debtors relate that they had filed their Joint Plan of Reorganization and their related proposed Disclosure Statement on November 16, 2016, which is supported by the Creditors Committee. Subsequently, the Debtors filed amended versions of the Plan and Disclosure Statement, and on December 21, 2016, the Court approved the Disclosure Statement and the Debtors' proposed procedures for the solicitation and tabulation of votes on the Plan. Accordingly, the Debtors will commence the solicitation on or before December 29, 2016. The Debtors tell the Court that they are seeking these extensions solely because they need a rational timetable and circumstances for the solicitation and confirmation process to unfold since they have spent significant time over several months negotiating with its constituents and working to resolve critical issues in a manner that maximizes value for all stakeholders. Particularly, the Debtors have made extraordinary progress in achieving the objectives of chapter 11 in the initial ten months of these cases, including: (a) Stabilizing its business, (b) Resolving complex claims and assuming its contracts with its codeshare partners to ensure continuation of its business, (c) Reaffirming relationships with key business partners, (d) Implementing cost-reduction measures, (e) Restructuring its aircraft fleet and streamlining operations by moving to a single aircraft type (E170/E175) to be operated under a single air carrier certificate, (f) Restructuring the debt on more than half its EJET aircraft, securing the additional liquidity to fund future operational stability and growth, and (g) Generally administering the chapter 11 case efficiently. In addition, the Debtors further tell the Court that the culmination of all their reorganization efforts has been the filing of a consensual Plan that is supported by the Creditors' Committee. A hearing to consider the Debtor's Motion will be held on January 18, 2017 at 11:00 a.m. Any responses or objections to the Motion are required to be filed and received no later than January 6, 2017 at 4:00 p.m. About Republic Airways Based in Indianapolis, Indiana, Republic Airways Holdings Inc., (OTCMKTS:RJETQ) owns Republic Airline and Shuttle America Corporation. Both companies -- http://www.rjet.com/-- offer 1,000 flights daily to 105 cities in 38 states, Canada, the Caribbean and the Bahamas through Republic's fixed-fee codeshare agreements under its major airline partner brands of American Eagle, Delta Connection and United Express. The airlines currently employ about 6,000 aviation professionals. Republic Airways Holdings Inc. and six affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 16-10429) on Feb. 25, 2016. The petitions were signed by Joseph P. Allman as senior vice president and chief financial officer. Judge Sean H. Lane has been assigned the cases. As of Jan. 31, 2016, on a consolidated basis, Republic had assets and liabilities of $3,561,000,000 and $2,971,000,000 (unaudited), respectively. Zirinsky Law Partners PLLC and Hughes Hubbard & Reed LLP are serving as Republic's legal advisors in the restructuring. Seabury Group LLC is serving as financial advisor. Deloitte & Touche LLP is the independent auditor. Prime Clerk is the claims and noticing agent. The U.S. Trustee for Region 2 appointed seven creditors of Republic Airways Holdings Inc. to serve on the official committee of unsecured creditors. The Committee retained Morrison & Foerster LLP as attorneys and Imperial Capital, LLC, as investment banker and co-financial advisor. REPUBLIC AIRWAYS: Plan Confirmation Hearing on Feb. 14 ------------------------------------------------------ Judge Sean H. Lane of the U.S. Bankruptcy Court for the Southern District of New York issued an order approving Republic Airways Holdings Inc. and affiliates' disclosure statement for their second amended joint plan of reorganization, dated Dec. 19, 2016. A confirmation hearing will be held before the Honorable Sean H. Lane, U.S. Bankruptcy Judge, Courtroom 701 of the U.S. Bankruptcy Court for the Southern District of New York, One Bowling Green, New York, New York 10014, on Feb. 14, 2017 at 11:00 a.m. (Eastern Time) to consider the entry of an order, among other things, confirming the Plan pursuant to section 1129 of the Bankruptcy Code. Under the Plan, holders of claims in Class 3(a) (general unsecured claims) on the Dec. 21, 2016 Voting Record Date are entitled to vote on the plan and will receive a copy of the disclosure statement, the plan, and a Ballot for voting to accept or reject the plan. All Ballots must be received by the Debtors' voting agent no later than 4:00 p.m. (Eastern Time) on Jan. 31, 2017. Objections and responses to confirmation of the plan must be in writing and filed and served no later than 4:00 p.m. (Eastern Time) on Jan. 31, 2017. As previously reported, unsecured creditors will either receive a distribution of 45% in cash or 41%-48% new common stock under the plan. The Debtors believe that they will have sufficient cash resources to make the payments required pursuant to the plan, repay and service debt obligations, and maintain operations on a going-forward basis. A full-text copy of the Disclosure Statement is available at: http://bankrupt.com/misc/nysb16-10429-1312.pdf About Republic Airways Based in Indianapolis, Indiana, Republic Airways Holdings Inc., (OTCMKTS:RJETQ) owns Republic Airline and Shuttle America Corporation. Republic Airline and Shuttle America -- http://www.rjet.com/--offerapproximately 1,000 flights daily to 105 cities in 38 states, Canada, the Caribbean and the Bahamas through Republic's fixed-fee codeshare agreements under our major airline partner brands of American Eagle, Delta Connection and United Express. The airlines currently employ about 6,000 Aviation professionals. Republic Airways Holdings Inc. and six affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 16-10429) on Feb. 25, 2016. The petitions were signed by Joseph P. Allman as senior vice president and chief financial officer. Judge Sean H. Lane has been assigned the cases. As of Jan. 31, 2016, on a consolidated basis, Republic had assets and liabilities of $3,561,000,000 and $2,971,000,000 (unaudited), respectively. Zirinsky Law Partners PLLC and Hughes Hubbard & Reed LLP are serving as Republic's legal advisors in the restructuring. Seabury Group LLC is serving as financial advisor. Deloitte & Touche LLP is the independent auditor. Prime Clerk is the claims and noticing agent. The U.S. Trustee for Region 2 appointed seven creditors of Republic Airways Holdings Inc. to serve on the official committee of unsecured creditors. The Committee retained Morrison & Foerster LLP as attorneys and Imperial Capital, LLC, as investment banker and co-financial advisor. RESOLUTE ENERGY: Inks Underwriting Pact With BMO Capital, et al. ---------------------------------------------------------------- Resolute Energy Corporation entered into an underwriting agreement with BMO Capital Markets Corp. and Goldman, Sachs & Co., as representatives of the several underwriters named therein in connection with the issuance and sale of 3,800,000 shares of the Company's common stock, par value $0.0001 per share, in a public offering, at a purchase price per share to be paid to the Company of $36.9075 (the offering price to the public of $38.00 per share minus the underwriting discount and commissions of $1.0925 per share). Pursuant to the Underwriting Agreement, the Company granted the Underwriters an option to purchase up to an additional 570,000 Shares for a period of 30 days from the date of the Underwriting Agreement. On Dec. 21, 2016, the Underwriters exercised in full their option to purchase 570,000 additional Shares, bringing the total offering to 4,370,000 Shares. The net proceeds from the offering will be approximately $160.8 million, after deducting the underwriting discount and commissions and other estimated offering expenses payable by the Company. The Company expects the transaction, including the sale of the additional 570,000 Shares pursuant to the option exercised by the Underwriters, to close on or about Dec. 23, 2016. The Shares will be offered and sold pursuant to the Company's effective Registration Statement on Form S-3 (Registration No. 333-214480), previously filed with the Securities and Exchange Commission. The Underwriting Agreement contains customary representations, warranties and agreements by the Company and customary conditions to closing, obligations of the parties and termination provisions. Additionally, the Company has agreed to indemnify the Underwriters against certain liabilities, including liabilities under the Securities Act of 1933, or to contribute to payments the Underwriters may be required to make due to any such liabilities. Certain of the Underwriters or their affiliates have from time to time provided investment banking, commercial banking and financial advisory services to the Company, for which they have received customary compensation. The Underwriters and their affiliates may provide similar services in the future. Affiliates of BMO Capital Markets Corp., Barclays Capital Inc., Capital One Securities, Inc. and SunTrust Robinson Humphrey, Inc. are lenders under the Company's Second Amended and Restated Credit Agreement, as amended. About Resolute Energy Corporation Resolute Energy Corp. -- http://www.resoluteenergy.com/-- is an independent oil and gas company focused on the acquisition, exploration, exploitation and development of oil and gas properties, with a particular emphasis on liquids focused, long-lived onshore U.S. opportunities. Resolute's properties are located in the Paradox Basin in Utah and the Permian Basin in Texas and New Mexico. Resolute reported a net loss of $742 million in 2015, a net loss of $21.9 million in 2014, and a net loss of $114 million in 2013. As of Sept. 30, 2016, Resolute Energy had $294.9 million in total assets, $634.0 million in total liabilities, and a total stockholders' deficit of $339.1 million. * * * As reported by the TCR on Sept. 26, 2016, Moody's Investors Service, upgraded Resolute Energy's Corporate Family Rating (CFR) to 'Caa2' from 'Caa3', the Probability of Default Rating to Caa2-PD from Caa3-PD and its senior unsecured notes rating to 'Caa3' from 'Ca'. The Speculative Grade Liquidity rating was affirmed at SGL-3. The rating outlook was changed to positive from stable. "The upgrade to Caa2 reflects Resolute's improved production and drilling economics, which provide good visibility to continued growth in a mid $40s oil price environment without increasing debt. While leverage remains high, we expect moderation in the company's reserve- and production-based debt metrics from significant production growth at very competitive drillbit costs," noted John Thieroff, Moody's VP-senior analyst. Resolute Energy carries a 'CCC-' corporate credit rating, with a negative outlook, from S&P Global Ratings. ROMEO'S PIZZA: U.S. Trustee Unable to Appoint Committee ------------------------------------------------------- An official committee of unsecured creditors has not yet been appointed in the Chapter 11 case of Romeo's Pizza Express, Inc. as of Dec. 23, according to a court docket. Romeo's Pizza Express, Inc., filed a chapter 11 petition (Bankr. S.D. Fla. Case No. 16-24817) on Nov. 1, 2016. The petition was signed by Antonio Manglaviti, president and managing partner. The Debtor is represented by Malinda L. Hayes, Esq., at Markarian Frank White-Boyd & Hayes. The Debtor estimated assets and liabilities at $500,001 to $1 million at the time of the filing. RYAN EXCAVATING: Wants Plan Filing Deadline Moved to Jan. 23 ------------------------------------------------------------ Ryan Excavating LLC is asking the U.S. Bankruptcy Court for the Northern District of Illinois to extend to Jan. 23, 2017, the deadline to file the Debtor's disclosure statement and plan of reorganization. The Debtor is a small business case and is required to file a plan and a disclosure statement within 300 days of filing for Chapter 11 bankruptcy protection. The 300 days will expire on Feb. 9, 2017. The Court previously set a deadline of Oct. 24, 2016, and extended it to Nov. 15, 2016. The Debtor has been working on preparing projections to be used in preparing the disclosure statement, but has been unavailable to complete the same within the deadlines previously set. The Debtor is current with its reporting obligations and other obligations under the U.S. Bankruptcy Code. The Debtor's monthly operating reports indicate that the Debtor has a positive cash position since filing. The Debtor requests a final continuance to prepare and file an appropriate plan and disclosure statement. About Ryan Excavating Ryan Excavating LLC filed a Chapter 11 petition (Bankr. N.D. Ill. Case No. 16-12921) on April 15, 2016, is represented by Richard G. Larsen, Esq., at Springer Brown, LLC, in Wheaton, Illinois, and estimated its assets and liabilities at less than $1 million at the time of the filing. The petition was signed by Ryan Bright, president. The case judge is Judge Jacqueline P. Cox. S-3 PUMP SERVICE: Ally Bank Tries To Block Plan Outline Approval ---------------------------------------------------------------- Secured creditor Ally Bank filed with the U.S. Bankruptcy Court for the Western District of Louisiana an objection to the approval of S-3 Pump Service, Inc.'s amended disclosure statement and confirmation of the amended reorganization plan. The Secured Creditor is the holder of (i) a certain retail installment contract dated Feb. 24, 2014, whereby the Debtor purchased from Landers Dodge Chrysler Jeep a certain 2013 Dodge Ram 2500 Truck; and (ii) a certain Retail Installment Contract dated Feb. 24, 2014, whereby the Debtor purchased from Landers Dodge Chrysler Jeep a certain 2013 Dodge Ram Truck. The Secured Creditor avers that although the Debtor has paid Secured Creditor postpetition adequate protection payments, the Debtor is in default for each remaining unpaid post-petition installment. The net balance due to Secured Creditor as of Dec. 14, 2016, was $18,385.32 with interest continuing to accrue at the per diem rate of $1.72 per day. The Secured Creditor is fully secured. The Debtor, according to the Secured Creditor, has filed an Amended Disclosure Statement and Amended Plan of Reorganization which incorporate certain treatment of Secured Creditor's secured claims as an impaired creditor and seeks to materially alter the terms and conditions of the contracts. The Secured Creditor claims that: a. in the Treatment, the Debtor provides for payment of Secured Creditor's allowed Class 18 Claim and maintains in effect Secured Creditor's security interest until full payment of the Class 18 Claim. This treatment is satisfactory as having been agreed upon in conferences And e-mail messages between respective counsel for the parties. However, the Treatment adds a contradictory provision near the end of the Treatment that calls for release of the security interests upon payment of the Class 18 Secured Claim. The Secured Creditor objects to this portion of the Treatment; b. the Secured Creditor objects to the values assigned by the Debtor to the vehicles. The Debtor suggests without substantiation that each vehicle is valued at $12,000, thereby seeking to substantially limit Secured Creditor's claim; c. the Secured Creditor submits that each of the vehicles is essentially identical in every respect to the other, a fact demonstrated by the fact that their manufacturer's serial numbers are one digit apart; d. the Secured Creditor submits that a 6 month average of NADA retail values reflect a range of value between $33,675 to $37,200, all as will more fully appear by reference to the NADA valuations; f. contractual rights and remedies against Malcolm Sneed, third party guarantor under Contract 1 and Contract 2, are not acknowledged in Debtor's Amended Disclosure Statement or Amended Reorganization Plan. The contractual rights and remedies are separate and apart from these proceedings and no consideration is provided to the Secured Creditor to surrender its rights. The Secured Creditor is entitled to all rights and remedies contained in the Contracts as to payment and performance under non-bankruptcy law, notwithstanding any of the terms and conditions of the Debtor's Disclosure Statement or Reorganization Plan. A copy of the Objection is available at: http://bankrupt.com/misc/lawb16-10383-320.pdf The Secured Creditor is represented by: Arthur S. Mann, III, Esq. Earl F. Sundmaker, III, Esq. Gregory J. Walsh, Esq. THE SUNDMAKER FIRM, L.L.C. 1027 Ninth Street New Orleans, LA 70115 Tel: (504) 568-0516 E-mail: arthur@sundmakerfirm.com trey@sundmakerfirm.com greg@sundmakerfirm.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. SANDIA DISTRIBUTOR: Disclosures OK'd; Plan Hearing on Feb. 7 ------------------------------------------------------------ The Hon. Scott H. Gan of the U.S. Bankruptcy Court for the District of Arizona has approved the Official Committee of Unsecured Creditors combined disclosure statement and plan for Sandia Distributor, Inc. A hearing to consider the confirmation of the Plan is scheduled for Feb. 7, 2017, at 2:00 p.m. Jan. 6, 2017, is the deadline for the Committee to serve the Combined Disclosure Statement and Plan, and ballots on creditors and parties-in-interest. Jan. 24, 2017, at 5:00 p.m. (mst) is the deadline for parties to submit ballots. It is also the deadline for parties-in-interest to file and serve objections to confirmation of the Combined Disclosure Statement and Plan. Jan. 31, 2017, is the deadline for the Committee to file summary of ballots. It is also the deadline for the Committee to file replies to objections to confirmation of the Combined Disclosure Statement and Plan and the deadline for the Committee to file a brief regarding confirmation of the Combined Disclosure Statement and Plan. About Sandia Distributor Sandia Distributors, Inc., filed a Chapter 11 bankruptcy petition (Bankr. D. Ariz. Case No. 15-12314) on September 25, 2015, disclosing under $1 million in both assets and liabilities. The Debtor is represented by Eric Ollason, Esq. SCOTT COUNTY HOSPITAL: Rennova Health to Acquire Assets ------------------------------------------------------- Rennova Health, Inc., a vertically integrated provider of industry-leading diagnostics and supportive software solutions to healthcare providers, on Dec. 27, 2016, disclosed that it has entered into an Asset Purchase Agreement and paid a deposit to acquire certain assets related to Scott County Hospital, based in Oneida, Tennessee. Prior to closing in July 2016, Scott County Hospital was classified as a Critical Access Hospital (rural), had 25 beds, operating rooms and a Laboratory that provided a complement of ancillary diagnostic services, as well as an emergency department capable of operating 24/7. The purchase includes a 52,000 sq. ft. hospital building and 6,300 sq. ft. professional building on approximately 4.3 acres. The hospital was one of a group of seven hospitals that entered Chapter 11 bankruptcy in early 2016. Rennova entered into an agreement to acquire the assets out of bankruptcy for approximately $1,000,000, which includes $400,000 owed to a local bank that has a lien on the property. The bankruptcy court issued an order on December 23rd thereby making the purchase agreement effective. Closing of the purchase is expected to take place in early January 2017. The hospital has a number of licenses that need to be reinstated and is party to a number of in-network contracts with payers. Subject to obtaining requisite government and other approvals and licenses, Rennova believes the hospital will reopen in part in the 2nd quarter of 2017 and is working towards having the hospital in full operation by the 3rd quarter of 2017. The hospital had unaudited annual revenues of approximately $12 million for 2015. These revenues were attributable to the typical services of a rural acute care hospital, including emergency room visits, outpatient procedures, diagnostic ancillary tests, physical therapy and inpatient hospital stays. Based on the hospital's historical information, Rennova believes it offers a predictable patient base with predictable revenues as it serves the general healthcare needs of its community and supports local physicians. "This acquisition is further demonstration of Rennova's efforts to grow our business in a direction that will secure more predictable, recurring revenue for the provision of health care services and our state of the art solutions," said Seamus Lagan, CEO of Rennova. "A Rural Critical Access Hospital creates certain opportunities for Rennova to leverage its existing knowledge and services for the benefit of the hospital and surrounding physicians. We have hired specific expertise to oversee this project and believe we can reinstate the majority of the team from the local community that previously operated the hospital successfully. We look forward to proving and expanding this rural hospital model in the coming years." About Rennova Health, Inc. Rennova Health -- http://www.rennovahealth.com/-- provides industry-leading diagnostics and supportive software solutions to healthcare providers, delivering an efficient, effective patient experience and superior clinical outcomes. Through an ever-expanding group of strategic brands that work in unison to empower customers, we are creating the next generation of healthcare. SEMINOLE TRACKS: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: Seminole Tracks, Inc. c/o Pavia & Harcourt LLP 230 Park Avenue New York, NY 10169 Case No.: 16-10583 Chapter 11 Petition Date: December 13, 2016 Court: United States Bankruptcy Court Middle District of Florida (Ft. Myers) Judge: Hon. Caryl E. Delano Debtor's Counsel: Andrew M Brumby, Esq. SHUTTS & BOWEN LLP 300 South Orange Avenue, Suite 1000 Orlando, FL 32801 Tel: (407) 835-6901 Fax: (407) 849-7201 E-mail: abrumby@shutts-law.com - and - Ryan C Reinert, Esq. SHUTTS & BOWEN LLP 4301 W Boy Scout Blvd, Ste 300 Tampa, FL 33607 Tel: 813-289-8900 Fax: 813-289-8901 E-mail: rreinert@shutts.com - and - Larry I Glick, Esq. SHUTTS & BOWEN LLP 200 South Biscayne Boulevard Suite 4100 Miami, FL 33131 Tel: (305) 358-6300 E-mail: lglick@shutts.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Fabio Soldati, president. The Debtor listed United Rentals, Inc. as its unsecured creditor holding an unknown amount of claim. A full-text copy of the petition is available for free at: http://bankrupt.com/misc/flmb16-10583.pdf SIDNEY TRANSPORTATION: Unsecureds To Get 26K Per Year For 5 Years ----------------------------------------------------------------- Sidney Transportation Services LLC, et al., filed with the U.S. Bankruptcy Court for the Northern District of Ohio a disclosure statement and plan of reorganization, a full-text copy of which is available at: http://bankrupt.com/misc/ohnb16-32270-108.pdf Under the plan, the Debtor is proposing to contribute the aggregate sum of $26,366 per year, for a period of 5 years, for distribution, on a pro-rata basis, to unsecured creditors in Class 9 holding allowed claims. The aggregate amount of this distribution is $131,833. The Distribution Amount constitutes 25% of the Debtor's projected net profits for the ensuing five years. The Distribution Amount, and each claimant's pro-rata share thereof, will be made over a period of 5 years, in 60 equal monthly payments, commencing on first month following the Effective Date of the Debtor's proposed plan, and continuing each month thereafter, until all required payments are complete. The total estimated monthly payment for distribution, pro rata, to allowed general unsecured claims is $2,197. The monthly payments, under the Debtor's proposed Plan, shall be due by the 5th day of every month, or if such date falls on a weekend or legal Federal Holiday, then on the first business day thereafter. The Reorganized Debtor will continue the operations and continue in the same line of business as prior to the commencement of this case. It is anticipated that the revenue derived from the Reorganized Debtor's business operations will enable the Reorganized Debtor to satisfy its obligations under the confirmed plan. About Sidney Transportation Services Sidney Transportation Services, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N. D. Ohio Case No. 16-32270) on July 18, 2016. The petition was signed by Steven Woodruff, owner/managing member. The case is assigned to Judge John P. Gustafson. The Debtor is represented by Eric R. Neuman, Esq., at Diller and Rice, LLC. At the time of the filing, the Debtor estimated its assets at $500,000 to $1 million and debt at $1 million to $10 million. SKYHIGH PROPERTY: Wants to Use Cash Collateral Through July 5 ------------------------------------------------------------- Skyhigh Property LLC asks the U.S. Bankruptcy Court for the Eastern District of California for authorization to use cash collateral, from Jan. 1, 2017 through July 5, 2017, or the date on which a Plan is confirmed. The Debtor was previously authorized by the Court to use cash collateral through Dec. 31, 2016. The Debtor's sole business is the ownership of commercial real estate in the North Natomas area of Sacramento, California. Its real estate consists of a free-standing building in a strip center, leased to a restaurant. The Debtor currently leases the entirety of the Property to Oshima Sushi, Inc., an entity owned by Ming Le, the Debtor's principal. Oshima's current rent is $26,000 per month. DCR Mortgage VI, Sub I, LLC and the United States Small Business Administration have security interests in the Rents pursant to their deeds of trust encumbering the Property. The Debtor owes DCR Mortgage VI approximately $2,264,655, and the SBA approximately $1,362,079. The Debtor's proposed Budget contemplates monthly expenditures of $19,893, of which $19,218 will be paid to DCR Mortgage VI and to taxing authorities. The Budget provides for monthly payments of $675.38 to other ordinary course creditors. The Debtor proposes to grant DCR Mortgage VI and the SBA with replacement liens on future Rents in the same priority and to the same extent and validity as their liens existed prepetition. A full-text copy of the Debtor's Motion, dated Dec. 21, 2016, is available at http://bankrupt.com/misc/SkyhighProperty2016_1623223_77.pdf About Skyhigh Property LLC Headquartered in Sacramento, California, Skyhigh Property LLC's sole business is the ownership of the Natomas property, commercial real estate, a free-standing building in a strip center in the North Natomas area of Sacramento. The Natomas Property has been leased for many years to Oshima Sushi, Inc., an entity owned by Ming Le, the principal of the Debtor. Oshima Sushi, in turn, operates a restaurant on the leased premises known as Oshima Sushi. Skyhigh Property filed for Chapter 11 bankruptcy protection (Bankr. E.D. Cal. Case No. 16-23223) on May 17, 2016. The petition was signed by Ming Le, managing member. The Debtor is represented by Howard S. Nevins, Esq., at Hefner, Stark & Marois, LLP. The case is assigned to Judge Robert S. Bardwil. The Debtor disclosed $2.06 million in total assets and $3.86 million in total liabilities. SKYVIEW ACADEMY: S&P Affirms 'BB+' Rating on Outstanding Debt ------------------------------------------------------------- S&P Global Ratings revised its outlook on Colorado Educational & Cultural Facilities Authority's series 2014 charter school revenue and refunding bonds, issued for SkyView Academy, to negative from stable. At the same time, S&P Global Ratings affirmed its 'BB+' long-term rating on SkyView Academy's debt outstanding. "The negative outlook reflects our view that the school's coverage levels have fallen below levels typical for the 'BB+' rating level in fiscal 2016, following improvement in fiscal 2015, due primarily to an increase in instructional costs," said S&P Global Ratings credit analyst Brian Marshall. Given the school's good demand profile and other favorable enterprise profile measures, S&P believes that SkyView's financial profile may improve to levels more consistent with the rating. More specifically, the rating reflects S&P's assessment of the school's: -- History of growing enrollment bolstered by good faculty retention, a solid wait list, and a strong academic profile; -- Increased per-pupil funding from the State of Colorado in fiscal 2016, with similar levels of support expected in fiscal 2017; -- Experienced management team that is looking to gradually expand SkyView to its full operating capacity over the next five years since all major capital needs are now completed; and -- Improved liquidity to 78 days' cash on hand for fiscal 2016, which is good for the rating category. Factors that partially offset the preceding credit strengths include: -- Below-average maximum annual debt service (MADS) coverage for the rating level at 0.94x based on fiscal 2016 results; -- A high MADS burden of 16.7%, although SkyView has no additional debt plans at this time; and -- The inherent risks associated with charter schools, including the possibility that SkyView's charter could be revoked. SkyView is a prekindergarten-through-12th grade (pre-K-12) charter school situated on one campus in Highland Ranch (Douglas County), Colo., approximately 15 miles south of Denver. The negative outlook reflects S&P's view that MADs coverage has fallen below 1x for fiscal 2016 which is no longer consistent for the 'BB+' rating level. The outlook also reflects S&P's expectation that enrollment will remain steady with possible growth, demand will continue to be strong, and cash levels will remain stable to growing. S&P would consider a negative rating action within the one-year outlook period if MADs coverage levels do not improve to levels more commensurate for the 'BB+' rating level, demand and enrollment weakens, or cash levels declines substantially. S&P would also view negatively additional debt without improvement in operations or cash. S&P would consider revising the outlook to stable within the one-year outlook period if operations improved such that MADS coverage was more commensurate with the 'BB+' rating median. S&P would also view positively increases to days' cash on hand. SOLID ROCK: Case Summary & 3 Unsecured Creditors ------------------------------------------------ Debtor: Solid Rock Holdings, LLC 18525 Interstate 30 Benton, AR 72015-2708 Case No.: 16-16828 Chapter 11 Petition Date: December 27, 2016 Court: United States Bankruptcy Court Eastern District of Arkansas (Little Rock) Judge: Hon. Richard D. Taylor Debtor's Counsel: Charles Darwin "Skip" Davidson, Esq. DAVIDSON LAW FIRM P. O. Box 1300 Little Rock, AR 72203-1300 Tel: (501) 374-9977 Fax: (501) 374-5917 E-mail: skipd@dlf-ar.com Total Assets: $4.08 million Total Liabilities: $2.61 million The petition was signed by Scott A. McElroy, managing member. A copy of the Debtor's list of three unsecured creditors is available for free at http://bankrupt.com/misc/areb16-16828.pdf SOTHEBY'S: Egan-Jones Lowers Sr. Unsecured Ratings to BB+ --------------------------------------------------------- Egan-Jones Ratings Company, on Dec. 7, 2016, downgraded the senior unsecured ratings on debt issued by Sotheby's to BB+ from BBB-. Sotheby's is a British multinational corporation headquartered in New York City. It is one of the largest brokers of fine and decorative art, jewelry, real estate, and collectibles. SPI ENERGY: KPMG Huazhen LLP Raises Going Concern Doubt ------------------------------------------------------- SPI Energy Co., Ltd., filed with the U.S. Securities and Exchange Commission its amended annual report on Form 20-F/A, disclosing a net loss of $185.08 million on $190.51 million of net sales for the year ended December 31, 2015, compared to a net loss of $5.20 million on $91.64 million of net sales for the year ended December 31, 2014. KPMG Huazhen LLP in Shanghai, China, issued a "going concern" qualification on the consolidated financial statements, stating that the Group has suffered significant losses from operations and has a negative working capital as of December 31, 2015. In addition, the Group has substantial amounts of debt that will become due for repayment in 2016. The Company's balance sheet at December 31, 2015, showed total assets of $709.57 million, total liabilities of $493.01 million, and a stockholders' equity of $216.56 million. A full-text copy of the Company's Form 20-F/A is available at: https://is.gd/0Wp85f SPI Energy Co., Ltd., and its subsidiaries is a provider of photovoltaic ("PV") solutions for business, residential, government and utility customers and investors. The Group provides a full spectrum of engineering, procurement and construction services ("EPC") to third party project developers, as well as develop, own and operate solar PV projects that sell electricity to the grid in multiple countries in Asia, North America and Europe. STONE ENERGY: Thomas Satterfield Reports 8.96% Stake as of Dec. 21 ------------------------------------------------------------------ In a Schedule 13G filed with the Securities and Exchange Commission, Thomas A. Satterfield, Jr. disclosed that as of Dec. 21, 2016, he beneficially owns 510,036 shares of common stock of Stone Energy Corporation representing 8.96 percent based on 5,690,253 shares of Common Stock of Stone Energy Corporation outstanding as of Nov. 17, 2016. A full-text copy of the regulatory filing is available for free at https://is.gd/i9IMpr About Stone Energy Stone Energy Corp. is an independent oil and natural gas exploration and production company headquartered in Lafayette, Louisiana with additional offices in New Orleans, Houston and Morgantown, West Virginia. Stone is engaged in the acquisition, exploration, development and production of properties in the Gulf of Mexico and Appalachian basins. For additional information, contact Kenneth H. Beer, chief financial officer, at 337-521-2210 phone, 337-521-9880 fax or via e-mail at CFO@StoneEnergy.com As of Dec. 31, 2015, the Debtors' estimated proved oil and gas reserves, as determined by Netherland Sewell & Associates, were approximately 57 million barrels of oil equivalent ("MMBoe"), or approximately 342 billion cubic feet of gas equivalent ("Bcfe") compared to Dec. 31, 2014, estimated proved oil and gas reserves of approximately 153 MMBoe, or approximately 915 Bcfe. Stone Energy had 247 employees as of the bankruptcy filing. Stone Energy Corp. and two affiliates sought Chapter 11 protection (Bankr. S.D. Tex. Case Nos. 16-36390, 16-36391 and 16-36392) on Dec. 14, 2016, to pursue a prepackaged plan of reorganization. Judge Marvin Isgur is assigned to the cases. The Debtors hired Latham & Watkins LLP as general counsel, Porter Hedges LLP as local counsel; Alvarez & Marsal North America, LLC as financial advisor; Lazard Freres & Co. LLC, as investment banker; and Epiq Bankruptcy Solutions, LLC as claims, noticing, solicitation and balloting agent. SUMMIT MIDSTREAM: S&P Raises Rating on Sr. Unsecured Debt to B+ --------------------------------------------------------------- S&P Global Ratings said that it has reviewed its recovery and issue-level ratings on C that were labeled as "under criteria observation" (UCO) after publishing its revised recovery ratings criteria on Dec. 7, 2016. With S&P's criteria review complete, it is removing the UCO designation from these ratings and are raising the issue-level rating to 'B+' from 'B' and revising the recovery rating to '4' from '5', reflecting S&P's expectation of average (30%-50%; lower half of the range) in the event of a payment default. These rating actions stem solely from the application of S&P's revised recovery criteria and do not reflect any change in its assessment of the corporate credit rating. Ratings list Issue Ratings Raised, Recovery Ratings Revised Due To Revised Recovery Rating Criteria For Speculative-Grade Corporate Issuers To From Summit Midstream Finance Corp. Summit Midstream Holdings LLC Senior Unsecured B+ B Recovery Rating 4L 5L SUNDEVIL POWER: Wins Plan Confirmation, Exits Ch.11 the Next Day ---------------------------------------------------------------- The Bankruptcy Court for the District of Delaware on Dec. 22, 2016, entered an order confirming the Amended Joint Chapter 11 Plan of Liquidation of Sundevil Power Holdings, LLC, et al. The Debtors declared the Plan effective the next day. On Dec. 27, Bankruptcy Judge Kevin J. Carey entered a final decree closing SPH Holdco's case. As reported by the Troubled Company Reporter, Sundevil and affiliate SPH Holdco's Joint Chapter 11 plan contemplate the liquidation of the Debtors' assets that remain following the closing of the sale of substantially all of the Debtors' assets, and distribution of the proceeds of the liquidation to creditors. Sundevil informed the Bankruptcy Court in May that they have accepted a purchase offer from CLMG Corp., on behalf of itself and Beal Bank USA. The Bankruptcy Court approved that deal in August. Beal Bank, Sundevil's prepetition lender, also extended $45 million in DIP financing. Matt Chiappardi, writing for Bankruptcy Law360, said the sale to creditors canceled out more than $200 million in debt. The Debtors were slated to close upon the sale of substantially all of their assets in December subject to the timing of receipt of the requisite approvals from the Federal Energy Regulatory Commission. Under the Plan, Class 5 - General Unsecured Claims, estimated to total $21 million, will receive no distribution. Class 5 is impaired and are conclusively presumed to have rejected the Plan. Therefore, holders of Class 5 Claims are not entitled to vote to accept or reject the Plan. Holders of the Secured Lender Claim, and the DIP Lenders, have credit bid in an amount equal to their entire DIP Claim, estimated to total $234,115,321.55. In full and final satisfaction of the remaining Secured Lender Claim, the holders of the Secured Lender Claim will receive any excess cash from the Wind-Down Amount after the payment in full of all Allowed Administrative Expense Claims, all Allowed Accrued Professional Compensation Claims, all Allowed Priority Tax Claims, and all Allowed Other Priority Claims and Plan Expenses. The U.S. Trustee filed a limited objection, targeting the Plan's overbroad exculpation clause set forth in section 11.8 of the Plan, saying it is not consistent with the requirements of the Bankruptcy Code and applicable case law. A full-text copy of the Disclosure Statement dated November 18, 2016, is available at http://bankrupt.com/misc/deb16-10369-377.pdf The Plan and Disclosure Statement were filed by Steven K. Kortanek, Esq., Patrick A. Jackson, Esq., and Joseph N. Argentina, Jr., Esq., at Drinker Biddle & Reath LLP, in Wilmington, Delaware. About Sundevil Power Holdings, LLC Merchant power generators Sundevil Power Holdings, LLC and SPH Holdco LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case Nos. 16-10369 and 16-10370, respectively), on Feb. 12, 2016. The petitions were signed by Blake M. Carlson as authorized signatory. Sundevil Power Holdings, LLC, owns natural gas-fired power plants. The Company was incorporated in 2010 and is based in Wayzata, MN. The Debtors are merchant power generators through Sundevil's ownership of two of the four 550 megawatt natural gas-fired power blocks of the Gila River Power Station, located in Gila Bend, Arizona. Sundevil and the other power block owners sell energy into the Southwest electric power market, specifically the sub-region of Arizona, New Mexico, and Southern Nevada known as the Desert Southwest. Most of Sundevil's output is sold at the Palo Verde hub and to California Independent System Operator. Sundevil also sells capacity to CAISO and is capable of reaching other market hubs like Mead (Southern Nevada) and Four Corners. The Debtors estimated assets in the range of $100 million to $500 million and liabilities of at least $100 million. The Debtors have engaged Vinson & Elkins LLP as legal counsel, Drinker Biddle & Reath LLP as Delaware counsel, and Garden City Group as claims and noticing agent. Judge Kevin J. Carey is assigned to the case. Bayard PA's Justin R. Alberto, Esq., has been appointed as Fee Examiner. SUNEDISON INC: CEO Urges Court to Reject Panel's Litigation Bid --------------------------------------------------------------- Matt Chiappardi, writing for Bankruptcy Law360, reported that John S. Dubel, the CEO of bankrupt SunEdison Inc., testified during a hearing in Manhattan bankruptcy court on Dec. 22 that he believes the renewable energy giant may have "substantial" and plausible claims against its yieldco subsidiaries, and allowing unsecured creditors to pursue them derivatively would short-circuit a joint process seeking sale or reorganization. As reported by the Troubled Company Reporter, the Creditors Committee is seeking standing to commence avoidance actions against TerraForm Power, Inc. and TerraForm Global, Inc., and each of their respective direct and indirect subsidiaries. The Committee asserts that the Debtors have unjustifiably refused to bring suit against the Yieldcos. The Debtors have indicated in court papers that only they -- and not the Committee -- owe fiduciary duties to the estates as a whole -- the Committee only owes duties to unsecured creditors. And the Debtors strongly disagree with the Committee's self-interested and value-destructive "sue now" approach. About SunEdison, Inc. SunEdison, Inc. (OTC PINK: SUNEQ), is a developer and seller of photovoltaic energy solutions, an owner and operator of clean power generation assets, and a global leader in the development, manufacture and sale of silicon wafers to the semiconductor industry. On April 21, 2016, SunEdison, Inc., and 25 of its affiliates each filed a Chapter 11 bankruptcy petition (Bankr. S.D.N.Y. Case Nos. 16-10991 to 16-11017). Martin H. Truong, the senior vice president, general counsel and secretary, signed the petitions. The Debtors disclosed total assets of $20.7 billion and total debt of $16.1 billion as of Sept. 30, 2015. The Debtors have hired Skadden, Arps, Slate, Meagher & Flom LLP as counsel, Togut, Segal & Segal LLP as conflicts counsel, Rothschild Inc. as investment banker and financial advisor, McKinsey Recovery & Transformation Services U.S., LLC, as restructuring advisors and Prime Clerk LLC as claims and noticing agent. The Debtors employed PricewaterhouseCoopers LLP as financial advisors; and KPMG LLP as their auditor and tax consultant. SunEdison also has tapped Eversheds LLP as its special counsel for Great Britain and the Middle East. Cohen & Gresser LLP has also been retained as special counsel. The Debtors retained Ernst &Young LLP to provide tax-related services. Keen-Summit Capital Partners LLC has been hired as real estate advisor. Binswanger of Texas, Inc. also has been retained as real estate agent. Sullivan & Cromwell LLP serves as counsel to TerraForm Power, Inc., and TerraForm Global, Inc. An official committee of unsecured creditors has been appointed in the case. The Committee tapped Weil, Gotshal & Manges LLP as its general bankruptcy counsel and Morrison & Foerster LLP as special counsel. Togut, Segal & Segal LLP and Kobre & Kim LLP serve as conflicts counsel. Alvarez & Marsal North America, LLC, serves as the Committee's financial advisors. Counsel to the administrative agent under the Debtors' prepetition first lien credit agreement are Richard Levy, Esq., and Brad Kotler, Esq., at Latham & Watkins. Counsel to the administrative agent under the postpetition DIP financing facility are Scott Greissman, Esq., and Elizabeth Feld, Esq. at White & Case LLP. Counsel to the Tranche B Lenders (as defined in the DIP credit agreement) and the steering committee of the second lien creditors are Arik Preis, Esq., and Naomi Moss, Esq., at Akin Gump Strauss Hauer & Field, LLP. Counsel to the administrative agent under the Debtors' prepetition second lien credit agreement is Daniel S. Brown, Esq., at Pillsbury Winthrop Shaw Pittman LLP. The collateral trustee under the Debtors' prepetition second lien credit agreement and the indenture trustee under each of the Debtors' outstanding bond issuances, is represented by Marie C. Pollio, Esq., at Shipman & Goodwin LLP. Counsel to the ad hoc group of certain holders of the Debtors' convertible senior notes is White & Case LLP's Tom Lauria, Esq. SUNEDISON INC: Shareholders Seek Appointment of Equity Committee ---------------------------------------------------------------- Several common shareholders of SunEdison Inc. have sent letters to the Hon. Judge Stuart M. Bernstein asking the Bankruptcy Court to consider the appointment of an official committee of equity security holders in the Chapter 11 cases of SunEdison Inc. One of those letters, from Ali Abidi, says: "DANGER!! Even after Evidence has stacked against them, Debtors continue to delay the already super-delayed Financials (10K/10Qs) and plan to sell off YieldCos for pennies on the dollar, and wipe out common Shareholders before the incriminating 10K/10Qs can be filed. Please apply TREMENDOUS PRESSURE on Debtors to release 10K and 10Qs. And please support us for OEC (Official Equity Committee)." He also said, "we common shareholders, posit/urge that the best way forward is to MERGE SUNE, TERP, and GLBL. It will remove need for intra-companies litigation, and time/funds wastage. It will create an entity that is much more valuable than its sum of parts, and it will be fair to all. Please give us OEC. Thanks." TERP is Terraform Power, Inc. and GLBL is Terraform Global, Inc. About SunEdison, Inc. SunEdison, Inc. (OTC PINK: SUNEQ), is a developer and seller of photovoltaic energy solutions, an owner and operator of clean power generation assets, and a global leader in the development, manufacture and sale of silicon wafers to the semiconductor industry. On April 21, 2016, SunEdison, Inc., and 25 of its affiliates each filed a Chapter 11 bankruptcy petition (Bankr. S.D.N.Y. Case Nos. 16-10991 to 16-11017). Martin H. Truong, the senior vice president, general counsel and secretary, signed the petitions. The Debtors disclosed total assets of $20.7 billion and total debt of $16.1 billion as of Sept. 30, 2015. The Debtors have hired Skadden, Arps, Slate, Meagher & Flom LLP as counsel, Togut, Segal & Segal LLP as conflicts counsel, Rothschild Inc. as investment banker and financial advisor, McKinsey Recovery & Transformation Services U.S., LLC, as restructuring advisors and Prime Clerk LLC as claims and noticing agent. The Debtors employed PricewaterhouseCoopers LLP as financial advisors; and KPMG LLP as their auditor and tax consultant. SunEdison also has tapped Eversheds LLP as its special counsel for Great Britain and the Middle East. Cohen & Gresser LLP has also been retained as special counsel. The Debtors retained Ernst &Young LLP to provide tax-related services. Keen-Summit Capital Partners LLC has been hired as real estate advisor. Binswanger of Texas, Inc. also has been retained as real estate agent. Sullivan & Cromwell LLP serves as counsel to TerraForm Power, Inc., and TerraForm Global, Inc. An official committee of unsecured creditors has been appointed in the case. The Committee tapped Weil, Gotshal & Manges LLP as its general bankruptcy counsel and Morrison & Foerster LLP as special counsel. Togut, Segal & Segal LLP and Kobre & Kim LLP serve as conflicts counsel. Alvarez & Marsal North America, LLC, serves as the Committee's financial advisors. Counsel to the administrative agent under the Debtors' prepetition first lien credit agreement are Richard Levy, Esq., and Brad Kotler, Esq., at Latham & Watkins. Counsel to the administrative agent under the postpetition DIP financing facility are Scott Greissman, Esq., and Elizabeth Feld, Esq. at White & Case LLP. Counsel to the Tranche B Lenders (as defined in the DIP credit agreement) and the steering committee of the second lien creditors are Arik Preis, Esq., and Naomi Moss, Esq., at Akin Gump Strauss Hauer & Field, LLP. Counsel to the administrative agent under the Debtors' prepetition second lien credit agreement is Daniel S. Brown, Esq., at Pillsbury Winthrop Shaw Pittman LLP. The collateral trustee under the Debtors' prepetition second lien credit agreement and the indenture trustee under each of the Debtors' outstanding bond issuances, is represented by Marie C. Pollio, Esq., at Shipman & Goodwin LLP. Counsel to the ad hoc group of certain holders of the Debtors' convertible senior notes is White & Case LLP's Tom Lauria, Esq. TANDOORI AT TRANSIT: Can Use Cash Collateral Through March 31 ------------------------------------------------------------- Judge Carl L. Bucki of the U.S. Bankruptcy Court for the Western District of New York, authorized the Debtor Tandoori at Transit, Inc. to use cash collateral in which the Internal Revenue Services, the New York State Department of Taxation and Finance, Rewards Network Establishment Services Inc., Foxtrot Capital, and Tango Capital have or claim liens, through March 31, 2017. Judge Bucki granted the Secured Creditors with rollover replacement liens in post-petition assets of the Debtors of the same priority and on the same types and kinds of collateral as they possessed pre-petition, to the extent of cash collateral actually used. As additional adequate protection, the Debtor was directed to make adequate protection payments to the IRS in the amount of $500 every other week, commencing on March 22, 2016; and to NYS Tax in the amount of $500 every other week commencing on March 29, 2016. A further hearing on the Debtor's continued use of cash collateral after March 31, 2017 will be held on March 27, 2017 at 10:00 a.m. A full-text copy of the Order, dated December 20, 2016, is available at https://is.gd/3o6UCC About Tandoori at Transit Tandoori at Transit, Inc. is based in Williamsville, New York, and operates a restaurant and banquet hall facilities serving Royal Indian cuisine. It sought Chapter 11 protection (Bankr. W.D. N.Y. Case No. 16-10413) on March 7, 2016. At the time of filing, Tandoori at Transit estimated $50,000 to $100,000 in assets and $1 million to $10 million in debt. Ravi Sabharwal, vice-president of Tandoori at Transit, sought Chapter 11 protection (Bankr. W.D.N.Y. Case No. 16-10362) on Feb. 29, 2016. His wife, Rita Sabharwal, owns 100 percent of the stock and is the chief executive officer of Tandoori at Transit. On March 28, 2016, the court ordered the joint administration of the cases. The Debtors are represented by Daniel F. Brown, Esq., at Andreozzi, Bluestein, Weber, Brown, LLP. TANDOORI AT TRANSIT: Has Until May 1 to File Small Business Plan ---------------------------------------------------------------- Judge Carl L. Bucki of the U.S. Bankruptcy Court for the Western District of New York extended Tandoori at Transit, Inc. and Ravi Sabharwal's exclusive period for filing a small business plan and disclosure statement to May 1, 2017. The Debtors previously sought the extension of their exclusive period for filing a small business plan and disclosure statement to July 3, 2017. The Debtors related that certain sales tax audit claims of New York State Department of Taxation and Finance were the subject of ongoing administrative proceedings with NYS Tax. The Debtors further related that they were disputing the assertion of NYS Tax of pre-petition audit claims against the Debtor Tandoori for priority sales taxes and interest and general unsecured claims for pre-petition penalties, in addition to liens which it had filed against the Debtor Tandoori pre-petition. The Debtors told the Court that the resolution of the NYS Tax sales tax audit may have a material impact on the amounts which the Debtors would be able to or be required to pay to their creditors through their Joint Chapter 11 Plan. The Debtors related that since the commencement of the cases, the Debtor Tandoori's principals have had discussions with several individuals and groups regarding potential new equity investments in Tandoori's restaurant business, as well as a potential sale of the business. The Debtors further related that Debtor Tandoori's principals have also had discussions with potential lenders regarding potentially refinancing the mortgage on the real property in Williamsville, New York, where Tandoori's business is located, as a potential source of funds which might be used by the Debtors in connection with a proposed Chapter 11 Plan. The Debtors submitted that the upcoming statutory deadline of January 3, 2017, will not permit sufficient time to achieve their objectives, nor will it permit the Debtors to pursue financing with potential lenders who have requested to see financials from the Debtor Tandoori for 12-months of operations while in Chapter 11. The Office of the United States Trustee requested that the Debtor consent to limit the extension being sought to an extension through May 1, 2017, with a further hearing on the balance of the extension being sought to be considered on the same date. A further hearing on the balance of the extension being sought through the Debtor's Motion is scheduled for May 1, 2017 at 10:00 a.m. About Tandoori at Transit, Inc. Tandoori at Transit, Inc. is based in Williamsville, New York, and operates a restaurant and banquet hall facilities serving Royal Indian cuisine. It sought Chapter 11 protection (Bankr. W.D. N.Y. Case No. 16-10413) on March 7, 2016. Ravi Sabharwal, vice-president of Tandoori at Transit, sought Chapter 11 protection (Bankr. W.D.N.Y. Case No. 16-10362) on Feb. 29, 2016. His wife, Rita Sabharwal, owns 100 percent of the stock and is the chief executive officer of Tandoori at Transit. On March 28, 2016, the court ordered the joint administration of the cases. The Debtors are represented by Daniel F. Brown, Esq., at Andreozzi, Bluestein, Weber, Brown, LLP. At the time of filing, Tandoori at Transit estimated $50,000 to $100,000 in assets and $1 million to $10 million in debt. TIME INC: S&P Lowers CCR to 'B+' on Higher-Than-Expected Leverage ----------------------------------------------------------------- S&P Global Ratings said that it lowered its corporate credit rating on New York City-based Time Inc. to 'B+' from 'BB-'. The outlook is negative. At the same time, S&P lowered its issue-level rating on the company's senior secured credit facility to 'BB' from 'BB+'. The recovery rating remains '1', indicating S&P's expectation for very high (90%-100%) recovery of principal in the event of a payment default. S&P also lowered its issue-level rating on the company's senior unsecured notes to 'B' from 'BB-' and revised the recovery rating to '5' from '3'. The '5' recovery rating indicates S&P's expectation for modest (lower half of the 10%-30% range) recovery of principal in the event of a payment default. Concurrent with the rating action, S&P removed the issue ratings from under criteria observation (UCO). "The downgrade primarily reflects our forecast that Time Inc.'s leverage reduction and operating performance will be meaningfully below our previous expectations. In our opinion, the underperformance primarily reflects a meaningful acceleration in the decline of circulation revenue and difficulty leveraging and scaling the operating platform. We had forecast that adjusted leverage will decline to the high-2x area in 2017. However, we now expect that a combination of stronger industry headwinds and high operating costs will continue to weigh on company's EBITDA margins, resulting in expected adjusted leverage in the low-4x area. Furthermore, the company is in the early to mid-stages of its transformation effort to extend and scale its brands, content, and audiences into new revenue streams and distribution platforms. We believe the transformation could prove challenging to execute, given the initiatives' large scale and complexity, and our view that competition from existing and new participants continues to intensify," S&P said. The revised recovery rating on the senior unsecured notes reflects S&P's simulation of higher decline in operating performance under its default scenario, a lower emergence enterprise value under its simulated default recovery analysis, and S&P's revised recovery criteria. S&P's assessment of Time Inc.'s business risk profile is based on S&P's view that the structural migration of advertising and readership to digital media from print media and the pace of audience fragmentation will increase. Time Inc.'s high exposure to print advertising and circulation revenue (about 70% of total revenue in 2016 and declining at a high-single-digit percentage rate) threatens the economic viability of its business model long term. In addition, the company's revenues are concentrated in its marquee titles--People, InStyle, Sports Illustrated, and Real Simple--and it faces intense competition from traditional and digital advertisers. Partial mitigating factors include Time Inc.'s position as a leading magazine publisher in the U.S. and U.K.; its broad audience reach, with over 120 million print magazine readers and over 150 million monthly digital unique visitors; and its strong liquidity profile, which supports operational flexibility. S&P's base-case forecast includes these assumptions: -- U.S. GDP growth of 1.5% in 2016 and 2.4% in 2017. -- Revenue declining at a low-single-digit percentage rate in 2017, reflecting ongoing secular and foreign exchange pressures that offset U.S. GDP growth. -- Adjusted EBITDA margins in the 14% area in 2017 (including about $50 million of cash restructuring expenses and about a $90 million benefit from S&P's operating lease, stock compensation, and pension adjustments). -- Adjusted debt of about $1.75 billion in 2017. S&P's adjusted debt balance includes a large debt adjusted related to S&P's operating lease adjustment and doesn't net the company's large cash balances, which S&P believes will support growth initiatives. -- Capital expenditures (capex) of about $65 million in 2017. Based on these assumptions, S&P arrives at adjusted debt leverage in the low-4x area in 2017, which is high for the current rating given S&P's view that industry trends will persist or worsen and could result in increased high cash flow volatility. Accordingly, S&P's 'B+' rating incorporates the expectation that leverage will gradually decline to 4x or below over the next 12-24 months. S&P's assessment of Time Inc.'s liquidity was revised to adequate from strong. The revision reflects the company's high adjusted debt leverage and S&P's opinion that the company's access to the capital markets will be limited if business performance or economics conditions worsen. S&P expects liquidity sources to exceed uses by more than 3x over the next 12 months and that the company will have sufficient covenant headroom for forecast EBITDA to decline by over 50%. In S&P's view, Time Inc. could absorb low-probability, high-impact events with limited need for refinancing because of its FOCF generation and healthy cash balances, sound relationships with banks, and generally satisfactory standing in the credit markets. In the event of liquidity distress, S&P expects the company to scale back capital spending and acquisitions to preserve adequate liquidity. Principal liquidity sources: -- Cash and short-term investments of $304 million as of Sept. 30, 2016; -- Borrowing availability of about $500 million under the revolving credit facility; and -- S&P's estimate for cash from operations of over $170 million in 2017. Principal liquidity uses: -- Estimated capex of $65 million in 2017; -- Scheduled debt amortization of $7 million per year; -- Cash dividends of $77 million per year; and -- Acquisitions of $50 million per year. The revolving credit agreement has a secured net (up to $250 million in cash) leverage covenant of 2.75x. The covenant doesn't step down for the life of the agreement. The negative rating outlook reflects S&P's expectation that market conditions will remain challenging in 2017 and that Time Inc. could struggle to protect and grow its EBITDA margins, improve FOCF, and reduce debt leverage if it's unable to offset revenue declines with additional cost cuts. The outlook also reflects S&P's more cautious view of recent changes to the executive management team and shareholder composition and its uncertain impact on the company's business or financial risk tolerance. S&P could lower its rating on the company to 'B' if S&P become convinced that adjusted leverage will remain above 4x or that reported FOCF will remain below $120 million (about 10% of reported gross debt). S&P could also consider a downgrade if management sells assets without a commensurate decrease in debt leverage or reinvests a large portion of cash in high-priced acquisitions, sizable share repurchases, or shareholder dividends. S&P could revise the outlook to stable if the company's underlying operating performance or credit measures improve, resulting in S&P's expectation that adjusted leverage will decline and remain below 4x with a sharp improvement in FOCF generation. Although less likely, S&P could raise the rating if digital or other adjacent revenues significantly offset print revenue declines, and if S&P expects EBITDA and FOCF credit measures to meaningfully improve. TOO FAST APPAREL: Can Continue Using BB&T Cash Through April 30 --------------------------------------------------------------- Judge Andrew B. Altenburg of the U.S. Bankruptcy Court for the District of New Jersey approved the Agreement between Too Fast Apparel, LLC and Branch Banking and Trust Company, extending the Debtor's authority to use cash collateral on an interim basis, through the earlier of a final hearing or April 30, 2017. The Debtor's pre-petition indebtedness to Branch Banking was in the aggregate principal amount of not less than $441,649, including accrued interest, reasonable costs, attorneys' fees and any and all other amounts owing under the Loan Documents. The Debtor had asserted that the orderly continuation of its business continues to be dependent upon its ability to use cash collateral and that the Debtor is without sufficient funds to continue operations without the use of cash collateral. The Debtor's Budget indicates: cost of goods totaling $78,415; operating and administrative expenses in the aggregate total amount of $21382; merchant & bank fees in the aggregate total amount of $3,600; total payroll of $76500 for the covered period from January 2017 through April 2017, and adequate protection payments to Branch Banking in the amount $2,500 per month. A final hearing to consider the Debtor's permanent use of the cash collateral will be held on April 27, 2017 at 10:00 a.m. The deadline for the filing of objections to the Debtor's permanent use of cash collateral is set on April 20, 2017. A full-text copy of the Order, dated December 20, 2016, is available at https://is.gd/BHAZMv Branch Banking and Trust Company is represented by: Christine L. Barba, Esq. Ballard Spahr LLP 1735 Market Street, 51st Floor Philadelphia, PA 19103 Telephone: (215) 864-8515 Email: BarbaC@ballardspahr.com About Too Fast Apparel Too Fast Apparel, LLC, filed a chapter 11 petition (Bankr. D.N.J. Case No. 16-29175) on Oct. 6, 2016. The petition was signed by Maureen Keough, member. The Debtor is represented by Ira Deiches, Esq., at Deiches & Ferschmann. The Debtor estimated assets at $100,001 to $500,000 and liabilities at $500,001 to $1 million at the time of the filing. TRIANGLE USA: Unsecureds To Recover 29%-30% Under Amended Plan -------------------------------------------------------------- Triangle USA Petroleum Corp. and its affiliated debtors filed a notice to the U.S. Bankruptcy Court for the District of Delaware regarding their first amended disclosure statement with respect to their first amended joint chapter 11 plan of reorganization. The plan provides for payment in full of administrative, priority tax, and other priority claims. Secured claims other than claims arising under the RBL Credit Facility will be paid in full in cash or otherwise left unimpaired. RBL Claims will be paid in full in Cash on the Effective Date. Holders of TUSA General Unsecured Claims, including all Senior Notes Claims, will receive their Pro Rata Share of the new common stock of New TUSA HoldCo, and, to the extent eligible under applicable securities laws and regulations, will have the opportunity to participate in a rights offering for the purchase of up to approximately $185 million in convertible preferred stock of New TUSA HoldCo. In lieu of new equity in the Reorganized Debtors, Holders of TUSA General Unsecured Claims less than $150,000 will receive a cash distribution of up to $0.50 for each $1 of their Allowed Claims; Holders of TUSA General Unsecured Claims greater than $150,000 may also elect such "convenience class" treatment by voluntarily reducing their claims to $150,000. Each Holder of an Allowed Ranger Unsecured Claim will receive its Pro Rata Share of a Cash amount allocated from proceeds of the Rights Offering or another source of plan funding. Class 5, TUSA General Unsecured Claims, is impaired under the Plan. Each Holder of an Allowed TUSA General Unsecured Claim will receive: (a) its Pro Rata Share of the New TUSA HoldCo Common Stock, subject to dilution in accordance with the New HoldCo Common Stock Allocation; and (b) solely if the Holder is an Eligible Holder of an Allowed TUSA General Unsecured Claim or a Disputed TUSA General Unsecured Claim that has been Provisionally Allowed, subscription rights for the purchase of Rights Offering Securities on a ratable basis in proportion to the Allowed amount (or amount deemed Provisionally Allowed) of such Eligible Holder's TUSA General Unsecured Claims as of the Distribution Record Date. Estimated recovery for this class is 29%-30%. Distributions under the plan, and the Reorganized Debtors' future operations, will be funded in part by: (a) a new senior secured, reserve-based Exit Facility; and (b) a new-money Rights Offering, through which Eligible Holders of TUSA General Unsecured Claims may subscribe for the purchase of up to approximately $185 Million of Rights Offering Securities. Certain members of the Ad Hoc Noteholder Group have agreed to backstop $150 million of the Rights Offering. A full-text copy of the Amended Disclosure Statement is available at: http://bankrupt.com/misc/deb16-11566-534.pdf About Triangle USA Petroleum Corporation Triangle USA Petroleum Corporation is an independent exploration and production company with a strategic focus on developing the Bakken Shale and Three Forks formations in the Williston Basin of North Dakota and Montana. TUSA is a wholly owned subsidiary of Triangle Petroleum Corporation (NYSE MKT: TPLM). Neither TPLM nor its affiliated company, RockPile Energy Services, LLC, is included in TUSA's Chapter 11 filing. Triangle USA Petroleum Corporation and its affiliates filed voluntary petitions under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 16-11566) on June 29, 2016. The cases are pending before Judge Mary F. Walrath. The Debtors have engaged Sarah E. Pierce, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP as counsel, AP Services, LLC, as financial advisor, PJT Partners Inc. as investment banker and Prime Clerk LLC as claims & noticing agent. At the time of the filing, TUSA estimated assets in the range of $500 million to $1 billion and liabilities of up to $1 billion. Andrew R. Vara, Acting U.S. Trustee, informs the U.S. Bankruptcy Court for the District of Delaware that a committee of unsecured creditors has not been appointed in the Chapter 11 case of Triangle USA Petroleum Corporation due to insufficient response to the U.S. Trustee communication/contact for service on the committee. TURN4 LOGISTICS: Plan, Disclosures Hearing Set for Jan. 31 ---------------------------------------------------------- Judge Paul Baisier of the U.S. Bankruptcy Court for the District of Georgia conditionally approved the amended disclosure statement and amended plan of reorganization filed by Turn4 Logistics, LLC, on Dec. 21, 2016. The deadline for filing written objections to the disclosure statement or the plan shall be no later than 4:00 p.m. on Jan. 24, 2017. A hearing to consider confirmation of the plan and to consider final approval of the disclosure statement shall be held in Courtroom 1202, U.S. Courthouse, Russell Federal Building, 75 Ted Turner Drive, Atlanta, Georgia at 11:00 a.m. on Jan. 31, 2017. The deadline for casting ballots to accept or reject the plan shall be Jan. 24, 2017. Under the Plan, holders of Allowed Class 10 Claims (Unsecured Claims In Excess of $500) will be paid 34% of the Allowed Unsecured Claim in 60 equal monthly installments. The first payment will be due on the 15th business day of the month following the Effective Date. The Debtor will pay all claims from its postpetition income. A full-text copy of the Amended Disclosure Statement dated December 21, 2016, is available at: http://bankrupt.com/misc/ganb16-51846-122.pdf Turn4 Logistics, LLC, sought bankruptcy protection (Bankr. N.D. Ga. Case No. 16-51846) on Feb. 1, 2016. The Debtor is in the transportation business. It operates 15 semi-trucks through Summit Corporation. ULTRA PETROLEUM: Ad Hoc Committee Seeks Appointment of Trustee -------------------------------------------------------------- The ad hoc committee of unsecured creditors of Ultra Resources Inc. has filed a motion seeking the appointment of a Chapter 11 trustee for the company. In its motion filed with the U.S. Bankruptcy Court for the Southern District of Texas, the committee said the company and its affiliates "are operating with blatant conflicts of interest." According to the ad hoc committee, Ultra Resources' only board members Michael Watford and Garland Shaw are also officers and equity holders at Ultra Petroleum Corp. The committee complained that both board members do not only stand to profit from the transfer of value from Ultra Resources to Ultra Petroleum's equity holders under the proposed Chapter 11 plan of reorganization but will also receive "record breaking compensation" as officers. "The Debtors are using these Chapter 11 cases for the benefit of their equity holders and structurally junior creditors at the parent level to the detriment of their senior creditors and other parties in interest, who have been completely excluded from the plan negotiation process," the committee said in the court filing. A court hearing to consider the motion is scheduled for January 19. About Ultra Petroleum Houston, Texas-based Ultra Petroleum Corp. (OTC Pink Marketplace: "UPLMQ") is an independent oil and gas company engaged in the development, production, operation, exploration and acquisition of oil and natural gas properties. On April 29, 2016, Ultra Petroleum Corp. and seven subsidiary companies filed petitions (Bankr. S.D. Tex.) seeking relief under chapter 11 of the United States Bankruptcy Code. The Debtors' cases have been assigned to Judge Marvin Isgur. These cases are being jointly administered for procedural purposes, with all pleadings filed in these cases will be maintained on the case docket for Ultra Petroleum Corp. Case No. 16-32202. Ultra Petroleum disclosed total assets of $1.28 billion and total liabilities of $3.91 billion as of March 31, 2016. James H.M. Sprayregen, P.C., David R. Seligman, P.C., Michael B. Slade, Esq., Christopher T. Greco, Esq., and Gregory F. Pesce, Esq., at Kirkland & Ellis LLP; and Patricia B. Tomasco, Esq., Matthew D. Cavenaugh, Esq., and Jennifer F. Wertz, Esq., at Jackson Walker, L.L.P., serve as co-counsel to the Debtors. Rothschild Inc. serves as the Debtors' investment banker; Petrie Partners serves as their investment banker; and Epiq Bankruptcy Solutions, LLC, serves as claims and noticing agent. The Office of the U.S. Trustee has appointed seven creditors of Ultra Petroleum Corp. to serve on an Official Committee of Unsecured Creditors. The Committee tapped Weil, Gotshal & Manges LLP as its legal counsel; Opportune LLP as advisor; and PJT Partners LP as its financial advisor. UNIVERSAL DOOR: Disclosure Statement Hearing Set for Feb. 21 ------------------------------------------------------------ The U.S. Bankruptcy Court for the District of Puerto Rico is set to hold a hearing on Feb. 21, at 10:00 a.m., to consider approval of the disclosure statement explaining the Chapter 11 plan of Universal Door and Window Manufacture Inc. Objections to the disclosure statement must be filed not less than 14 days prior to the hearing. Universal Door is represented by: Winston Vidal-Gambaro, Esq. Winston Vidal Law Office P.O. Box 193673 San Juan, PR 00919-3673 Tel: (787) 751-2864 Fax: (787) 763-6114 Email: wvidal@prtc.net About Universal Door Universal Door and Window Manufacture Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. P.R. Case No. 15-01120) on February 19, 2015. The petition was signed by Evelio Crespo Traverzo, president and treasurer. The case is assigned to Judge Enrique S. Lamoutte Inclan. At the time of the filing, the Debtor disclosed $1.54 million in assets and $2.86 million in liabilities. USA SALES: Seeks Approval to Use Zeenat Hirani Cash Collateral -------------------------------------------------------------- USA Sales, Inc., asks the U.S. Bankruptcy Court for authorization to use cash collateral through the date of confirmation of a chapter 11 plan or the dismissal of its case. The Debtor believes that the use of cash collateral is necessary for it to continue its operations and to reorganize. The Debtor's collateral consists of inventory in the amount of $2,940,788, as of Oct. 31, 2016, including proceeds from its sale. The Debtor earns income or rent in the amount of $13,035 per month. The Debtor names Zeenat Hirani as its first lien holder, to whom it owes the principal balance of $535,000. The Debtor offers Mr. Hirani adequate protection in the form of equity in the collateral, in the amount of $2,405,788, above each respective lien. The Debtor contends that the use or sale of the cash collateral will generate more collateral each month. The Debtor further offers a lien in the Replacement Collateral. The Debtor tells the Court that it has executed a separate Settlement Agreement with Mr. Hirani granting it an allowed secured claim and the making of pre-confirmation payments, which will be the subject of a separate 9019 Settlement Motion. The Debtor further tells the Court that the pre-confirmation payments under the Settlement Agreement are the equivalent of adequate protection payments and Mr. Hirani has consented to them. The Debtor's proposed Budget covers the months of December 2016 through December 2017. The Budget projects total operating disbursements in the amount of $49,308,877. The Debtor contends that in addition to the expenses set forth in its proposed Budget, the Debtor wants to use cash collateral to pay quarterly fees to the United States Trustee and to pay any required fees to the court. A hearing on the Debtor's Motion is scheduled on Jan. 17, 2017 at 2:00 p.m. A full-text copy of the Debtor's Motion, dated Dec. 21, 2016, is available at http://bankrupt.com/misc/USASales2016_616bk14576mw_102.pdf Zeenat Hirani is represented by: Richard T. Baum, Esq. 11500 West Olympic Blvd., Suite 400 Los Angeles, CA 90064 About USA Sales, Inc. USA Sales, Inc., d/b/a Statewide Distributors, Inc., filed for Chapter 11 bankruptcy protection (Bankr. C.D. Cal. Case No. 16-14576) on May 20, 2016, estimating assets and liabilities between $1 million and $10 million. The petition was signed by Claudia Ali, surviving spouse of Kabiruddin Karim Ali and 100 percent beneficiary. Judge Mark S. Wallace presides over the case. Daren M Schlecter, Esq., at the Law Office of Daren M. Schletcter, APC, serves as the Debtor's bankruptcy counsel. VERIFONE SYSTEMS: Egan-Jones Lowers Sr. Unsec. Ratings to BB ------------------------------------------------------------ Egan-Jones Ratings Company, on Dec. 12, 2016, downgraded the senior unsecured ratings on debt issued by Verifone Systems Inc. to BB from BB+. Verifone is an American multinational corporation headquartered in San Jose, California that provides technology for electronic payment transactions and value-added services at the point-of-sale. VERTELLUS SPECIALTIES: Tanner, Hexion Resign from Committee ----------------------------------------------------------- Andrew Vara, acting U.S. trustee for Region 3, on Dec. 23 disclosed in a court filing that Tanner Industries and Hexion Inc. have resigned from Vertellus Specialties Inc.'s official committee of unsecured creditors. The remaining committee members are: (1) Pension Benefit Guaranty Corporation Attn: Mark Shelton 1200 K. St. NW Washington, DC 20005 Phone: 202-326-4020, ext. 3965 Fax: 202-380-2074 (2) SSI Services, LLC Attn: Steve Barnes 308 S. State Avenue Indianapolis, IN 46201 Phone: 317-269-2120 Fax: 317-269-3608 (3) Citizen Energy Group Attn: Alejandro Valle, Esq. 2020 N. Meridian Street Indianapolis, IN 46202 Phone: 317-927-4317 Fax: 317-927-4317 About Vertellus Specialties Vertellus Specialties Inc. was 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. Judge Christopher S. Sontchi presides over the case. 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 Debtors estimated their assets at between $100 million and $500 million and debts at between $500 million and $1 billion. The petitions were signed by Anne Frye, vice president, secretary and general counsel. 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. * * * The Troubled Company Reporter reported that Vertellus Specialties Inc. completed the sale of substantially all of its U.S. and international assets to its prior term loan lenders, a group including Black Diamond Capital Management and Brightwood Capital Advisors, among others, on Oct. 31, 2016. VIKING INVESTMENTS: Recurring Losses Casts Going Concern Doubt -------------------------------------------------------------- Viking Investments Group, Inc., filed with the U.S. Securities and Exchange Commission its amended quarterly report on Form 10-Q/A, disclosing a net income of $1.87 million on $105,427 of oil & gas sales for the three months ended September 30, 2016, compared to a net loss of $362,911 on $32,425 of oil & gas sales for the same period in 2015. For the nine months ended September 30, 2016, the Company recorded a net loss of $2.10 million on $232,013 of oil & gas sales, compared to a net loss of $1.03 million on $64,448 of oil & gas sales for the same period last year. The Company's balance sheet at September 30, 2016, showed total assets of $3.39 million, total liabilities of $3.87 million, and a stockholders' deficit of $486,005. The Company had a net comprehensive loss of $1,953,798 and $1,047,211 for the nine months ended September 30, 2016 and 2015, respectively. The Company has accumulated a stockholders' deficit of $486,005 as of September 30, 2016. These conditions raise substantial doubt about the Company's ability to continue as a going concern. A full-text copy of the Company's Form 10-Q/A is available at: https://is.gd/CRe4dE Viking Investments Group, Inc.'s business plan is to engage in the acquisition, exploration, development and production of oil and natural gas properties, both individually and through collaborative partnerships with other companies in this field of endeavor. On March 8, 2016, the Company incorporated a wholly owned subsidiary, Viking Oil & Gas (Canada) ULC, in Alberta, Canada, to hold its Canadian oil and gas interests. In November of 2014, the Company entered into its first contract relative to oil and gas activities involving jointly controlled assets and related liabilities by purchasing an undivided 50% interest in the Joffre project located in Alberta, Canada. On February 23, 2016, the Company closed on the acquisition of working interests in four leases with access to the mineral rights (oil and gas) concerning approximately 281 acres of property in Miami and Franklin Counties in eastern Kansas. VINH PHAT: Disclosures Conditionally OK'd; Plan Hearing on Jan. 24 ------------------------------------------------------------------ The U.S. Bankruptcy Court for the Eastern District of California has conditionally approved Vin Phat Supermarket, Inc.'s disclosure statement dated Dec. 8, 2016, referring to the Debtor's plan of reorganization dated Dec. 8, 2016. The hearing on the final approval of the Disclosure Statement is scheduled for Jan. 24, 2017, at 10:30 a.m. Jan. 10, 2017, is the last day for filing objections to the Disclosure Statement and confirmation of the Plan. Jan. 10, 2017, is also the last day for filing written acceptances or rejections of the Plan. As reported by the Troubled Company Reporter on Dec. 20, 2016, the Debtor filed with the Court a small business disclosure statement describing its plan of reorganization, dated Dec. 8, 2016, which proposes to give general unsecured creditors a distribution of 100% of their allowed claims without interest and over time. Class 3-2 consists of general unsecured creditors, which will be paid a percentage of their claims over time. The percentage will be determined based on the amount available after all other plan payments are made. Starting at the end of the first quarter following the Effective Date, a minimum of 25% of the amount general unsecured claims will be paid quarterly over four quarters in equal installments; the remaining percentage will be paid over no longer than a period of three years in equal quarterly installments directly from the payments to be received by the Debtor from the promissory note from the purchaser. About Vinh Phat Supermarket Vinh Phat Supermarket, Inc., based in Sacramento, California, filed a Chapter 11 petition (Bankr. E.D. Cal. Case No. 16-24672) on July 18, 2016. The petition was signed by Eric Vong, board member/authorized individual. Judge Christopher M. Klein presides over the case. In its petition, the Debtor estimated $500,000 to $1 million in assets and $1 million to $10 million in liabilities. The Debtor employs Jamie P. Dreher, Esq., at Downey Brand LLP, as its bankruptcy counsel; and Gonzales & Sisto LLP as its accountant. VIOLIN MEMORY: U.S. Trustee Forms 3-Member Committee ---------------------------------------------------- Andrew R. Vara, Acting U.S. Trustee for Region 3, on Dec. 27, 2016, appointed three creditors of Violin Memory, Inc., to serve on the official committee of unsecured creditors. The committee members are: (1) Wilmington Trust, N.A. Attn: Rita Ritrovato 1100 North Market Street, 5th Floor Wilmington, DE 19890 Tel: (302) 636-5137 Fax: (302) 636-4140 (2) Clinton Group, Inc. Attn: Joseph De Perio 510 Madison Avenue, 9th Floor New York, NY 10022 Tel: (212) 377-4252 (3) Forty Niners SC Stadium Company LLC Attn: Jihad Beauchman 4949 Marie P. DeBartolo Way Santa Clara, CA 95054 Tel: (408) 673-2031 Fax: (408) 727-4937 Official creditors' committees have the right to employ legal and accounting professionals and financial advisors, at a debtor's expense. They may investigate the debtor's business and financial affairs. Importantly, official committees serve as fiduciaries to the general population of creditors they represent. About Violin Memory Violin Memory, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 16-12782) on Dec. 14, 2016. The petition was signed by Cory J. Sindelar, chief financial officer. At the time of the filing, the Debtor disclosed $38.93 million in assets and $145.40 million in liabilities. Pillsbury Winthrop Shaw Pittman LLP serves as the Debtor's legal counsel while Bayard, P.A., serves as co-counsel. The Debtor has hired Houlihan Lokey Capital, Inc. as financial advisor and investment banker. The Debtor develops and supplies memory-based storage systems for high-speed applications, servers and networks in the Americas, Europe and the Asia Pacific. Founded in 2005, the Debtor is headquartered in Santa Clara, California. VISUALANT INC: Issues 187,500 Series D Preferred Shares ------------------------------------------------------- Visualant Inc., issued 187,500 shares of Series D Convertible Preferred Stock and a warrant to purchase 187,500 shares of common stock in a private placement to an accredited investor for gross proceeds of $150,000 pursuant to a Series D Preferred Stock and Warrant Purchase Agreement dated Dec. 14, 2016. The initial conversion price of the Series D Shares is $0.80 per share, subject to certain adjustments. The initial exercise price of the warrant is $1.00 per share, also subject to certain adjustments. As part of the Purchase Agreement, the Company has agreed to register with the SEC the shares of common stock issuable upon conversion of the Series D Shares and the shares of common stock issuable upon exercise of the warrant for resale or other disposition. The Series D Shares and warrant were issued in a transaction that was not registered under the Securities Act of 1933, as Amended in reliance upon applicable exemptions from registration under Section 4(a)(2) of the Act and Rule 506(b) of SEC Regulation D under the Act. As previously reported, the Company intends to issue up to 3,125,000 Series D Shares (and an equal number of warrants) for gross proceeds of $2,500,000 pursuant on a "best efforts" basis. About Visualant Inc. Seattle, Wash.-based Visualant, Inc., was incorporated under the laws of the State of Nevada on Oct. 8, 1998. The Company develops low-cost, high speed, light-based security and quality control solutions for use in homeland security, anti- counterfeiting, forgery/fraud prevention, brand protection and process control applications. Visualant reported a net loss of $2.63 million on $6.29 million of revenue for the year ended Sept. 30, 2015, compared to a net loss of $1.01 million on $7.98 million of revenue for the year ended Sept. 30, 2014. As of June 30, 2016, Visualant had $3.05 million in total assets, $7.22 million in total liabilities, all current, and a total stockholders' deficit of $4.17 million. PMB Helin Donovan, LLP, in Seattle, Washington, issued a "going concern" qualification on the consolidated financial statements for the year ended Sept. 30, 2015, citing that Company has sustained a net loss from operations and has an accumulated deficit since inception. These factors raise substantial doubt about the Company's ability to continue as a going concern. VIVA INVESTMENTS: Has Until February 21 to File Chapter 11 Plan --------------------------------------------------------------- Judge Paul G. Hyman, Jr. of the U.S. Bankruptcy Court for the Southern District of Florida extended the exclusive period within which VIVA Investments Limited Liability Company has the exclusive right to file a plan of reorganization, through and including Feb. 21, 2017, and the exclusive period within which to solicit acceptances of a plan, through and including April 20, 2017. The Troubled Company Reporter had earlier reported that the Debtor sought a 90-day extension of its exclusivity periods, telling the Court that it had filed its plan and disclosure statement on Sept. 28, 2016, and the hearing for confirmation of the plan had been set for Jan. 10, 2017. In an abundance of caution, the Debtor asked for an extension in the event any amendments to the Plan were necessary. About VIVA Investments Palm Beach Gardens, Florida-based VIVA Investments Limited Liability Company filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case No. 15-11753) on Jan. 29, 2015, listing $1.19 million in total assets and $1.95 million in total liabilities. The petition was signed by Sriram Srinivasan, manager. Judge Paul G. Hyman, Jr., presides over the case. Aaron A Wernick, Esq., at Furr & Cohen serves as the Debtor's bankruptcy counsel. WEST CORP: Amends Credit Facility with Wells Fargo -------------------------------------------------- West Corporation announced that it has finalized and closed on an amendment to the credit agreement governing its senior secured credit facilities. The amendment reduces the applicable interest rate of its Term Loan B-12 by 50 basis points and of its Term Loan B-14 by 25 basis points, as well as reduces the LIBOR floor on its Term Loan B-14 from 0.75% to zero. As of the closing of the amendment, the affected term loan tranches are as follows: * Term Loan B-12: Approximately $867.8 million of term loans due June 2023 at a rate of LIBOR + 2.50% with a 0.75% LIBOR floor * Term Loan B-14: Approximately $259.4 million of term loans due June 2021 at a rate of LIBOR + 2.50% with a zero LIBOR floor The Company expects these changes to reduce its annual cash interest expense by approximately $5 million, before amortization of deferred financing fees. Additional information is available for free at: https://is.gd/qADvEp About West Corporation Omaha, Neb.-based West Corporation is a global provider of communication and network infrastructure solutions. West helps manage or support essential enterprise communications with services that include conferencing and collaboration, public safety services, IP communications, interactive services such as automated notifications, large-scale agent services and telecom services. West Corporation reported net income of $242 million on $2.28 billion of revenue for the year ended Dec. 31, 2015, compared to net income of $158 million on $2.21 billion of revenue for the year ended Dec. 31, 2014. As of Sept. 30, 2016, West Corporation had $3.47 billion in total assets, $3.96 billion in total liabilities and a total stockholders' deficit of $490.95 million. * * * As reported by the TCR on June 21, 2013, Standard & Poor's Ratings Services raised its corporate credit rating on West Corp. to 'BB-' from 'B+'. The upgrade reflects Standard & Poor's view that lower debt leverage and a less aggressive financial policy will strengthen the company's financial profile. In the April 4, 2013, edition of the TCR, Moody's Investor Service upgraded West Corporation's Corporate Family Rating to 'B1' from 'B2'. "The CFR upgrade to B1 reflects West's shift to a more conservative capital structure and financial policies as a publicly owned company," stated Moody's analyst Suzanne Wingo. WESTERN REFINING: S&P Affirms 'B+' Rating on Sr. Secured Term Loan ------------------------------------------------------------------ S&P Global Ratings said that it has reviewed its recovery and issue-level ratings on Western Refining Inc. that were labeled as "under criteria observation" (UCO) after publishing its revised recovery ratings criteria on Dec. 7, 2016. With S&P's criteria review complete, it is removing the UCO designation from these ratings. "We are affirming our 'B+' issue-level rating on the company's senior secured term loans due 2020 and 2023 and revising our recovery rating on this debt to '3' from '4', indicating our expectation for meaningful (50%-70%, in the lower half of the range) recovery if a payment default occurs. We also are affirming our senior unsecured issue-level rating of 'B' on the company's $350 million 6.25% notes due 2021. The recovery rating remains '5', indicating our expectation for a modest (10%-30%, at the lower end of the range) recovery," S&P said. These rating actions stem solely from the application of S&P's revised recovery criteria and do not reflect any change in its assessment of the corporate credit ratings for issuers of the affected debt issues. S&P's corporate credit rating on Western Refining is 'B+', and the rating is on CreditWatch with positive implications. Ratings List Rating Affirmed; Recovery Rating Revised To From Western Refining Inc. Senior Secured B+ B+ Recovery Rating 3L 4H Rating Affirmed; Recovery Rating Unchanged Western Refining Inc. Senior Unsecured B Recovery Rating 5L WORLDS ONLINE: Incurs $6,860 Net Loss in Third Quarter ------------------------------------------------------ Worlds Online Inc. filed with the Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $6,860 on $873,549 of total revenues for the three months ended Sept. 30, 2016, compared to a net loss of $56,889 on $392,833 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 $27,421 on $2.13 million of total revenues compared to a net loss of $786,986 on $543,580 of total revenues for the nine months ended Sept. 30, 2015. As of Sept. 30, 2016, Worlds Online had $7.69 million in total assets, $9.25 million in total liabilities and a total stockholders' deficit of $1.55 million. The Company raised $2,942,594 during the nine months ended Sept. 30, 2016, by issuing notes and $206,157 from issuing Class A shares in Mia Development in order to fund MariMed's business operations. The Company expects to continue to pursue additional sources of capital though it has no current arrangements with respect to, or sources of, additional financing at this time and there can be no assurance that any such financing will become available. "The Company has had only minimal revenues from operations, has a negative working capital, has a negative stockholders deficit and negative cash flows from operations. There can be no assurance that the Company will be able to obtain the substantial additional capital resources necessary to fully implement its business plan or that any assumptions relating to its business plan will prove to be accurate. The Company is pursuing sources of additional financing and there can be no assurance that any such financing will be available to the Company on commercially reasonable terms, or at all. Any inability to obtain additional financing will likely have a material adverse effect on the Company, including possibly requiring the Company to reduce and/or cease operations," the Company stated in its quarterly report for the period ended Sept. 30, 2016. A full-text copy of the Form 10-Q is available for free at: https://is.gd/UR2Ojy About Worlds Online Based in Brookline, Mass., Worlds Online Inc. currently operates in two separate segments with one segment being a 3D entertainment portal which leverages its proprietary licensed technology to offer visitors a network of virtual, multi-user environments which the Company calls "worlds" and the second segment, MariMed Advisors, being a management company in the medical cannabis industry. For the year ended Dec. 31, 2015, Worlds Online reported a net loss of $1.84 million following a net loss of $7.42 million in 2014. L&L CPAS, PA, in Cornelius, NC, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company has suffered recurring operating losses, has an accumulated stockholders' deficit, has negative working capital, has had minimal revenues from operations, and has yet to generate an internal cash flow that raises substantial doubt about its ability to continue as a going concern. WRAP MEDIA: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------- Debtor affiliates filing separate Chapter 11 bankruptcy petitions: Debtor Case No. ------ -------- Wrap Media, LLC 16-31325 aka Karmagraphics, LLC 275 Sacramento Street, 4th Floor San Francisco, CA 94111 Wrap Media, Inc. 16-31326 aka Karmagraph, LLC 275 Sacramento Street, 4th Floor San Francisco, CA 94111 Chapter 11 Petition Date: December 10, 2016 Court: United States Bankruptcy Court Northern District of California (San Francisco) Judge: Hon. Hannah L. Blumenstiel Debtors' Counsel: Michael St. James, Esq. ST. JAMES LAW, P.C. 22 Battery St. #888 San Francisco, CA 94111 Tel: (415) 391-7566 E-mail: ecf@stjames-law.com michael@stjames-law.com Estimated Estimated Assets Liabilities --------- ----------- Wrap Media, LLC $1M-$10M $10M-$50M Wrap Media, Inc. $1M-$10M $10M-$50M The petitions were signed by Eric Greenberg, chief executive officer. A copy of Wrap Media, LLC's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/canb16-31325.pdf A copy of Wrap Media, Inc.'s list of four unsecured creditors is available for free at http://bankrupt.com/misc/canb16-31326.pdf XTERA COMMUNICATIONS: $7.4M DIP Loan Gets Final Court Approval -------------------------------------------------------------- BankruptcyData.com reported that the U.S. Bankruptcy Court issued a final order approving Xtera Communications' D.I.P. financing motion. As previously reported, "The D.I.P. facility consists of super-priority post-petition financing is made up of a term loan in the principal amount of up to $7,409,793. H.I.G. European Capital Partners is the D.I.P. lender, and Wilmington Trust is the administrative and collateral agent. The agreement with H.I.G. contemplates approximately $7.4 million in senior debtor in possession financing secured by substantially all assets of the Debtors to fund the Debtors through a sale process. Additionally, an affiliate of H.I.G. is acting as stalking horse bidder to purchase all of the Debtor's assets for a purchase price of $10 million inclusive of amounts due under the DIP Financing." About Xtera Communications Xtera Communications and seven affiliated debtors filed for Chapter 11 protection (Bankr. D. Del. Lead Case No. 16-12577) on Nov. 15, 2016. The company sells telecommunications-related optical transport solutions. The company disclosed $50.47 million in assets and $66.45 million in total debt as of the bankruptcy filing. Xtera tapped DLA Piper LLP as legal counsel; Cowen & Company as investment banker; and Epiq Systems Inc. as claims agent. On Nov. 23, 2016, the Office of the U.S. Trustee appointed five creditors to serve on the official committee of unsecured creditors. Lawyers at Bayard P.A., and Lowenstein Sandler LLP serve as counsel to the Committee. HIG Neptune, the Postpetition Lender, is represented by Allen & Overy LLP; and Morris, Nichols, Arsht & Tunnell LLP. Counsel to Wilmington Trust, N.A., the DIP Agent is Kaye Scholer LLP. Counsel to the Prepetition Senior Lender are Levy, Small & Lallas; and Chipman Brown Cicero & Cole, LLP. Counsel to Horizon Technology Finance Corp., the Prepetition Subordinated Lender, is K&L Gates LLP. [*] S&P Reviews Ratings on US Capital Goods Sector -------------------------------------------------- S&P Global Ratings said that it has reviewed its recovery and issue-level ratings in the U.S. capital goods sector for speculative-grade corporate issuers that were labeled as "under criteria observation" (UCO) after publishing its revised recovery ratings criteria on Dec. 7, 2016. With S&P's criteria review complete, it is removing the UCO designation from these ratings and are revising issue-level and recovery ratings as appropriate. This release pertains to rated companies in the U.S. capital goods sector. The ratings list below is arranged alphabetically by issuer and identifies the debt types with rating changes. In addition to the changes and affirmations mentioned below, S&P will review its recovery and issue-level ratings on Hoover Group Inc. separately. As an overview, S&P is revising the issue-level ratings on 16 rated debt issues in the U.S. capital goods sector, reflecting three upgrades and 13 downgrades. In nine of the 13 downgrade cases, the revision to the issue-level rating resulted from a revision to the recovery rating on the debt instrument. In the remaining four downgrade cases, the recovery ratings on the secured debt remain unchanged and the issue-level rating change results because S&P now caps issue-level ratings at 'BBB-' for issuers rated 'BB' and 'BB+', regardless of S&P's recovery ratings. This change deemphasizes the weight recovery plays in up-notching issue ratings for issuers near the investment-grade threshold, since recovery is a smaller component of credit risk when default risk is more remote and because recovery prospects may be less predictable and more variable for these issuers. This revision does not reflect a change in S&P's assessment of the company's default risk, which is indicated by its corporate credit rating, or S&P's opinion of recovery given default, which is indicated by its recovery ratings. These rating actions stem solely from the application of S&P's revised recovery criteria and do not reflect any change in S&P's assessment of the corporate credit ratings for issuers of the affected debt issues. RATINGS LIST Issue Ratings Raised; Recovery Ratings Revised Due To Revised Recovery Rating Criteria For Speculative-Grade Corporate Issuers To From Milacron LLC Senior secured $730 mil term loan B+ B Recovery rating 2L 3H Park-Ohio Industries Inc. Senior unsecured $250 mil notes B B- Recovery rating 5L 6 Wastequip LLC Senior secured $40 mil 1st out revolver bank ln due 2019 BB BB- Recovery rating 1+ 1 Issue Ratings Lowered; Recovery Ratings Unchanged Due To Revised Recovery Rating Criteria For Speculative-Grade Corporate Issuers EnerSys Senior secured $500 mil revolver bank ln due 2018 BBB- BBB Recovery rating 1 1 $150 mil bank ln due 2018 BBB- BBB Recovery rating 1 1 Oshkosh Corp. Senior secured $850 mil revolving bank ln due 2019 BBB- BBB Recovery rating 1 1 $400 mil term bank ln due 2019 BBB- BBB Recovery rating 1 1 Issue Ratings Lowered; Recovery Ratings Revised Due To Revised Recovery Rating Criteria For Speculative-Grade Corporate Issuers Ahern Rentals Inc. Senior secured $550 mil notes due 2023 B- B Recovery rating 5L 4H Duke Finance LLC Senior secured $125 mil 2nd-lien term loan bank ln due 2022 CCC+ B- Recovery rating 6 5L HD Supply Inc. Senior secured $850 mil term B bank ln due 2021 BB- BB Recovery rating 3L 2L $550 mil B-2 trm ln bank ln 2023 BB- BB Recovery rating 3L 2L $1.25 bil 5.25% 1st-lien nts due 2021 BB- BB Recovery rating 3L 2L Penn Engineering Fastening Technologies Ltd. Penn Engineering & Manufacturing Corp. PEG GmbH Senior secured $125 mil revolving credit Fac bank ln due 2019 BB- BB Recovery rating 2L 1 Penn Engineering & Manufacturing Corp. PEG GmbH Senior secured $670 mil term bank ln due 2021 BB- BB Recovery rating 2L 1 Titan International Inc. Senior secured $400 mil notes due 2020 B- B Recovery rating 3L 2L Wastequip LLC Senior secured $210 mil term bank ln due 2019 B B+ Recovery rating 3L 2H Issue Ratings Affirmed; Recovery Ratings Revised Due To Revised Recovery Rating Criteria For Speculative-Grade Corporate Issuers Amsted Industries Inc. Senior unsecured $600 mil 5.00% sr nts due 2022 BB BB Recovery rating 3H 4L $250 mil 5.375% sr nts due 2024 BB BB Recovery rating 3H 4L EnerSys Senior unsecured $300 mil notes due 2023 BB+ BB+ Recovery rating 3L 4H EnPro Industries Inc. Senior unsecured $300 mil notes due 2022 BB- BB- Recovery rating 4H 3H J.B. Poindexter & Co. Inc. Senior unsecured $225 mil 9.00% sr nts due 2022 B+ B+ Recovery rating 3H 4H Shape Technologies Group Inc. Senior secured $225 mil 7.625% nts due 2020 B B Recovery rating 4L 3H Xerium Technologies Inc. Senior secured $475 mil sr nts due 2021 B B Recovery rating 4H 3L Issue Ratings Affirmed; Recovery Expectation Revised Due To Revised Recovery Rating Criteria For Speculative-Grade Corporate Issuers NES Rentals Holdings Inc. Senior secured $300 mil 2nd-lien nts due 2018 B- B- Recovery rating 5L 5H Issue Ratings Affirmed; Recovery Ratings Unchanged Due To Revised Recovery Rating Criteria For Speculative-Grade Corporate Issuers Duke Finance, LLC Senior secured $75 mil revolver bank ln due 2020 B Recovery rating 3L $450 mil 1st-lien term loan bank ln due 2021 B Recovery rating 3L HD Supply Inc. Senior secured $1.5 bil revolver bank ln due 2018 BB+ Recovery rating 1 Senior unsecured $1 bil 5.75% sr nts due 2024 B Recovery rating 6 Mcron Finance Corp. Milacron LLC Senior unsecured $465 mil notes B- Recovery rating 5L Oshkosh Corp. Senior unsecured $250 mil 5.375% sr nts due 2025 BB+ Recovery rating 4L $250 mil 5.375% sr nts due 2022 BB+ Recovery rating 4L Trimas Co. LLC Senior secured $500 mil revolver bank ln due 2020 BB- Recovery rating 3L $275 mil fltg rate term A bank ln due 2020 BB- Recovery rating 3L [*] S&P Reviews Ratings on US Leisure Sector -------------------------------------------- S&P Global Ratings said that it has reviewed most of its recovery and issue-level ratings in the U.S. leisure sector for speculative-grade (rated 'BB+' and lower) corporate issuers that were labeled as "under criteria observation" (UCO) after publishing its revised recovery ratings criteria on Dec. 7, 2016. With S&P's criteria review complete, it is removing the UCO designation from these ratings and are revising the issue-level and recovery ratings as appropriate. This release pertains to rated companies in the U.S. leisure sector. The ratings list below is arranged alphabetically by issuer and identifies the debt instruments with ratings changes. As an overview, S&P is raising issue-level ratings on five rated debt issues in the sector. In each case, the revision to the issue-level rating resulted from a revision to the recovery rating on the debt instrument. These rating actions stem solely from the application of S&P's revised recovery criteria and do not reflect any change in its assessment of the corporate credit ratings for issuers of the affected debt issues. RATINGS LIST Issue Ratings Raised, Recovery Ratings Revised Due To Revised Recovery Rating Criteria For Speculative-Grade Corporate Issuers To From BC Equity Ventures LLC Senior secured priority revolver BB BB- Recovery rating 1+ 1 Equinox Holdings Inc. Senior secured B+ B Recovery rating 2H 3H IMG Worldwide Holdings Inc. Senior secured B+ B Recovery rating 2L 3H Playa Resorts Holding B.V. Senior unsecured B B- Recovery rating 4H 5L Travel Leaders Group LLC Senior secured BB- B+ Recovery rating 2H 3H Issue Ratings Affirmed, Recovery Ratings Unchanged BC Equity Ventures LLC Senior Secured First lien term loan B Recovery rating 3H Asset sale bridge loan BB- Recovery rating 1 Equinox Holdings Inc. Senior Secured Second lien term loan CCC+ Recovery Rating 6 IMG Worldwide Holdings Inc. Senior Secured Second lien term loan B- Recovery rating 5L Playa Resorts Holding B.V. Senior secured BB- Recovery rating 1 [] A.M. Best Maintains Negative Outlook on Global Reinsurance ------------------------------------------------------------- A.M. Best is holding its outlook for the global reinsurance sector at negative, citing the continued market challenges that will hinder the potential for positive rating actions over time and may eventually translate into negative rating pressures. The Best's Briefing, titled, "Global Reinsurance Outlook Maintained at Negative," states that the strain on profitability is evident in reduced risk-adjusted returns with market headwinds at this point, presenting significant longer-term challenges. "Recent indications of a market bottoming are slowly emerging, but the overall operating environment remains negative, which is concerning," said Robert DeRose, senior director, A.M. Best. Negative factors such as low rates, broader terms and conditions, the unsustainable flow of net favorable loss development and anemic investment yields will continue to adversely impact risk-adjusted returns over the longer term. Alternative capital also looms as an additional pressure-bearing front and now comprises approximately 20% of the dedicated global reinsurance market capacity. This percentage has been steadily growing year over year, underscoring why cycle management has been a key strategy for organizations possessing the capability to move between primary and reinsurance platforms. While rated balance sheets are currently well-capitalized and capable of withstanding various stress scenarios, this strength may erode over time for some carriers as earnings come under increased pressure, favorable reserve development wanes, earnings grow more volatile, and the ability to earn back losses following events is prolonged by the instantaneous inflow of alternative capacity. "These issues have placed unrelenting pressure on underwriting discipline, forcing insurers to exercise restraint or risk long-term viability," DeRose said. In A.M. Best's view, companies with diverse business portfolios, advanced distribution capabilities and broad geographic scope are better-positioned to withstand the pressures in this difficult operating environment and have greater ability to target profitable opportunities as they arise. [] A.M. Best Retains Commercial Lines Insurance Outlook Negative ---------------------------------------------------------------- A.M. Best has maintained a negative outlook on the commercial lines segment of the U.S. property/casualty industry for 2017, reflecting continuing pressure points that are likely to drive deterioration in results through the year. The Best's Briefing, titled, "Commercial Lines Outlook Remains Negative as Market Conditions Become Increasingly Competitive Across the Segment," states that the segment is being impacted by intensifying price competition in most lines, decreasing levels of favorable development of prior years' loss reserves and persistently low investment yields, as well as a return to a more historically normal level of catastrophe losses. Overall, the segment's profitability remains solid, but these results continue to be driven primarily by dominant players that have established defensible positions and whose results reflect consistent underwriting fundamentals and income generated by conservative investments. Workers' compensation and general liability rates remain under pressure and most property lines of business continue to see rate reductions. While commercial automobile rate achievement remains well above the industry average, price adequacy in this line remains a challenge for some companies as a result of continuing elevated frequency and severity trends. Those companies that have developed capabilities to effectively establish technical price and maintain underwriting criteria will be best-positioned to manage the competitive phase of the market cycle. With operating performance, business profiles and enterprise risk management capabilities remaining in line with expectations, A.M. Best anticipates that the majority of rating actions in this segment will be affirmations. However, as performance metrics deteriorate for companies that are in a weaker competitive position, these companies may also face lower risk-adjusted capital levels, all of which would lead to the potential for negative rating actions. [] A.M. Best Retains Neg. Outlook on US Health Insurance Sector --------------------------------------------------------------- A.M. Best has maintained a negative outlook on the U.S. health insurance sector for 2017, citing the pressure being placed on health insurers' earnings and capitalization from the Patient Protection and Affordable Care Act (ACA) and growth in lower margin product lines. A new Best's Briefing, titled, "A.M. Best Maintains Negative Outlook on the U.S. Health Industry," states that although A.M. Best acknowledges that the commercial group health market remains profitable, the losses experienced on the health insurance exchange business have led to a lower level of earnings for the third consecutive year. The exchange population continues to be high risk and a greater utilizer of services. For 2017, the number of carriers that exited the exchanges grew, and this has resulted in more markets with just a single carrier participating. Premium increases in 2017 escalated in many markets as well, which could lead to fewer healthier participants electing coverage, especially if the individual is paying a significant portion of the cost. This would negatively impact the risk pool of the exchange population. Moreover, two of the three Centers for Medicare and Medicaid Services (CMS) programs designed to stabilize claims experience for insurance carriers concluded at the end of 2016. Known as the 3Rs, they were made up of: risk corridors, risk adjustment, and reinsurance recoverables. Only the risk-adjustment program remains for 2017. Health insurers have experienced significant growth in the government-funded sector, which includes Medicaid managed care and Medicare Advantage. The growth in Medicaid managed care has been driven by the expansion in numerous states for program eligibility to 133% of the federal poverty level. While Medicaid managed care has been profitable for some companies, margins could compress with contract renewals. However, even with margin compression, A.M. Best anticipates earnings should remain favorable. Given the aging population, carriers also have expanded into the Medicare Advantage space with a focus on the star bonus program; however, losses of a four-star or higher rating have led to membership declines. Although not factored into A.M. Best's 2017 outlook on the U.S. health insurance industry, it is highly anticipated that changes will be made to the ACA due to the results of the U.S. presidential election and Republican control of Congress. While it is expected that the repeal may be passed in the first half of 2017, the replacement plan may not be passed until later in the year. A.M. Best does not expect any significant impact to the ACA for 2017 and that the earliest significant changes could occur is 2018, although that would depend upon when a replacement plan is developed and passed. A.M. Best believes overall losses may improve in 2017 for some carriers due to rate increases, product redesigns and market exits. However, A.M. Best still anticipates losses on carriers' exchange business due to the higher risk and utilization trends of this population. Furthermore, in 2017, it is possible that the higher premium cost coupled with uncertainty around the future access to comprehensive benefits may put additional pressure on utilization, as members might be accelerating treatments prior to repeal and replace. [^] Recent Small-Dollar & Individual Chapter 11 Filings ------------------------------------------------------- In re CCF Enterprises, LLC Bankr. M.D. Fla. Case No. 16-04579 Chapter 11 Petition filed December 16, 2016 See http://bankrupt.com/misc/flmb16-04579.pdf represented by: Anthony J. Comparetto, Esq. COMPARETTO LAW FIRM E-mail: ajc@comparettolawfirm.com In re William Arthur Willis Bankr. D. Md. Case No. 16-26458 Chapter 11 Petition filed December 16, 2016 represented by: John Douglas Burns, Esq. THE BURNS LAWFIRM, LLC E-mail: ecf@burnsbankruptcyfirm.com In re Edward N. Fitzgerald, III and Karen A. Fitzgerald Bankr. E.D.N.C. Case No. 16-06455 Chapter 11 Petition filed December 16, 2016 represented by: Danny Bradford, Esq. PAUL D. BRADFORD, PLLC E-mail: dbradford@bradford-law.com In re Watts Perfections, Inc. Bankr. W.D.N.C. Case No. 16-40523 Chapter 11 Petition filed December 16, 2016 See http://bankrupt.com/misc/ncwb16-40523.pdf represented by: William S. Gardner, Esq. GARDNER LAW OFFICES, PLLC E-mail: Billgardner@gardnerlawoffices.com In re Dabin Trucking, Inc. Bankr. D.N.J. Case No. 16-33969 Chapter 11 Petition filed December 16, 2016 See http://bankrupt.com/misc/njb16-33969.pdf represented by: Scott M. Itzkowitz, Esq. E-mail: scottitzkowitz@aol.com In re 1 Perry St. Restaurant Inc. Bankr. E.D.N.Y. Case No. 16-45681 Chapter 11 Petition filed December 16, 2016 See http://bankrupt.com/misc/nyeb16-45681.pdf represented by: Lawrence Morrison, Esq. MORRISON TENENBAUM PLLC E-mail: lmorrison@m-t-law.com In re Fussion Restaurant Group Inc. Bankr. D.P.R. Case No. 16-09756 Chapter 11 Petition filed December 16, 2016 See http://bankrupt.com/misc/prb16-09756.pdf represented by: Juan Carlos Bigas Valedon, Esq. JUAN C BIGAS LAW OFFICE E-mail: cortequiebra@yahoo.com In re Richard Francis Saskowski Bankr. M.D. Tenn. Case No. 16-08922 Chapter 11 Petition filed December 16, 2016 represented by: Denis Graham (Gray) Waldron, Esq. LAW OFFICE OF TIMOTHY G NIARHOS E-mail: gray@niarhos.com In re HD Retail Repair, LLC Bankr. N.D. Tex. Case No. 16-34817 Chapter 11 Petition filed December 16, 2016 See http://bankrupt.com/misc/txnb16-34817.pdf represented by: Robert Thomas DeMarco, Esq. DEMARCO-MITCHELL, PLLC E-mail: robert@demarcomitchell.com In re Eric W. Stetenfeld and Elizabeth Stetenfeld Bankr. S.D. Tex. Case No. 16-36423 Chapter 11 Petition filed December 16, 2016 See http://bankrupt.com/misc/txsb16-36423.pdf Filed Pro Se In re Channing Wynne Steele Bankr. E.D. Va. Case No. 16-14244 Chapter 11 Petition filed December 16, 2016 represented by: Christopher S. Moffitt, Esq. E-mail: moffittlawoffices@gmail.com In re Juan Carlos Morales and Mirtha Morales Bankr. S.D. Fla. Case No. 16-26663 Chapter 11 Petition filed December 17, 2016 represented by: Richard Siegmeister, Esq. E-mail: rspa111@att.net In re Blackridge Group, Inc. Bankr. C.D. Cal. Case No. 16-26507 Chapter 11 Petition filed December 18, 2016 See http://bankrupt.com/misc/cacb16-26507.pdf represented by: Allan O Cate, Esq. CATE LEGAL GROUP E-mail: allan@acatelaw.com In re James Warren Bankr. E.D. Ark. Case No. 16-16706 Chapter 11 Petition filed December 19, 2016 represented by: Sheila F. Campbell, Esq. SHEILA CAMPBELL, P.A. E-mail: campbl@sbcglobal.net In re Desert Fun Foods, LLC Bankr. D. Ariz. Case No. 16-14236 Chapter 11 Petition filed December 19, 2016 See http://bankrupt.com/misc/azb16-14236.pdf represented by: Daniel J. Rylander,Esq. DANIEL J. RYLANDER, P.C. E-mail: ecf@robrylaw.com In re Citi Cars Inc. Bankr. S.D. Fla. Case No. 16-26681 Chapter 11 Petition filed December 19, 2016 See http://bankrupt.com/misc/flsb16-26681.pdf Filed Pro Se In re Barbara A. Wigley Bankr. D. Minn. Case No. 16-43707 Chapter 11 Petition filed December 19, 2016 represented by: Joel D. Nesset, Esq. COZEN O'CONNOR E-mail: jnesset@cozen.com In re Mario Moretto Bankr. E.D.N.Y. Case No. 16-45691 Chapter 11 Petition filed December 19, 2016 represented by: J Ted Donovan, Esq. GOLDBERG WEPRIN FINKEL GOLDSTEIN LLP E-mail: Tdonovan@gwfglaw.com In re Rose Bernadine Eskandari Bankr. E.D. Va. Case No. 16-14261 Chapter 11 Petition filed December 19, 2016 represented by: Steven H. Greenfeld, Esq. COHEN BALDINGER & GREENFELD, LLC E-mail: steveng@cohenbaldinger.com In re Jesse Basich Bankr. N.D. Ill. Case No. 16-39834 Chapter 11 Petition filed December 20, 2016 represented by: J Kevin Benjamin, Esq. BENJAMIN & BRAND LLP E-mail: attorneys@benjaminlaw.com In re Kanwal Kaur Minhas Bankr. D. Md. Case No. 16-26585 Chapter 11 Petition filed December 20, 2016 represented by: Morgan William Fisher, Esq. LAW OFFICES OF MORGAN FISHER LLC E-mail: bk@morganfisherlaw.com In re The Redeemed Christian Church of God, House of Praise, NY Bankr. E.D.N.Y. Case No. 16-75866 Chapter 11 Petition filed December 20, 2016 See http://bankrupt.com/misc/nyeb16-75866.pdf represented by: Irene Nwanyanwu, Esq. ANELE & ASSOCIATES E-mail: irenenn@optonline.net In re Bronx Midtown Locksmiths Bankr. S.D.N.Y. Case No. 16-13540 Chapter 11 Petition filed December 20, 2016 See http://bankrupt.com/misc/nysb16-13540.pdf represented by: Irene M. Costello, Esq. SHIPKEVICH, PLLC E-mail: icostello@shipkevich.com In re German Rosado Santana and Lillian Alejandro Diaz Bankr. D.P.R. Case No. 16-09874 Chapter 11 Petition filed December 20, 2016 represented by: Nicolas A. Wong, Esq. WONG LAW OFFICES E-mail: lcdo.nwong@gmail.com In re Wired Coffee Bar, LLC Bankr. E.D. Tenn. Case No. 16-15452 Chapter 11 Petition filed December 20, 2016 See http://bankrupt.com/misc/tneb16-15452.pdf represented by: W. Thomas Bible, Jr., Esq. LAW OFFICE OF W. THOMAS BIBLE, JR. E-mail: wtbibleecf@gmail.com In re Charles Blake Stringer Bankr. N.D. Tex. Case No. 16-44871 Chapter 11 Petition filed December 20, 2016 represented by: Jeff P. Prostok, Esq. FORSHEY & PROSTOK, LLP E-mail: jpp@forsheyprostok.com In re Dip-Tex Customs Bankr. S.D. Tex. Case No. 16-36461 Chapter 11 Petition filed December 20, 2016 See http://bankrupt.com/misc/txsb16-36461.pdf Filed Pro Se In re Peter E. Kim Bankr. W.D. Tex. Case No. 16-32054 Chapter 11 Petition filed December 20, 2016 represented by: E. P. Bud Kirk, Esq. E-mail: budkirk@aol.com In re Dalton Evonne Grant Bankr. C.D. Cal. Case No. 16-26583 Chapter 11 Petition filed December 20, 2016 represented by: Joshua L. Sternberg, Esq. STERNBERG LAW GROUP E-mail: js@sternberglawgroup.com In re Ardalan Ardy Shokri Bankr. N.D. Cal. Case No. 16-43480 Chapter 11 Petition filed December 20, 2016 represented by: David A. Arietta, Esq. LAW OFFICES OF DAVID A. ARIETTA E-mail: david@ariettalaw.com In re Creative Catering of Wadhams, LLC Bankr. E.D. Mich. Case No. 16-57000 Chapter 11 Petition filed December 21, 2016 See http://bankrupt.com/misc/mieb16-57000.pdf represented by: David R. Heyboer, Esq. HEYBOER LAW PLC E-mail: HFLaw@iwarp.net In re Mel Wabuke Bankr. C.D. Cal. Case No. 16-26645 Chapter 11 Petition filed December 21, 2016 represented by: David A. Tilem, Esq. LAW OFFICES OF DAVID A. TILEM E-mail: davidtilem@tilemlaw.com In re Matthew Aaron Beard Bankr. W.D. Mo. Case No. 16-61279 Chapter 11 Petition filed December 22, 2016 represented by: David E. Schroeder, Esq. DAVID SCHROEDER LAW OFFICES, PC E-mail: bk1@dschroederlaw.com In re Rhino Gear Manufacturing Inc. Bankr. N.D. Ohio Case No. 16-16968 Chapter 11 Petition filed December 22, 2016 See http://bankrupt.com/misc/ohnb16-16968.pdf represented by: Glenn E. Forbes, Esq. FORBES LAW LLC E-mail: bankruptcy@geflaw.net In re Haro Investment Corp Bankr. D.P.R. Case No. 16-09944 Chapter 11 Petition filed December 22, 2016 See http://bankrupt.com/misc/prb16-09944.pdf represented by: Maximiliano Trujillo Gonzalez, Esq. E-mail: maxtrujillolegal@gmail.com ********* 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 ***