/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/210203.mbx T R O U B L E D C O M P A N Y R E P O R T E R Wednesday, February 3, 2021, Vol. 25, No. 33 Headlines 1716 I LLC: DC Nightclub to Pay Unsecureds in Full in 3 Years 2014 S & S: Has Until Feb. 5 to File Plan & Disclosures 2018 BLUE ISLAND: Granted Cash Collateral Access on Final Basis 3135 MACARTHUR: Seeks to Hire Malaise Law as Legal Counsel 450 S. WESTERN: Sold for $57M; Unsecureds to Recover Up to 30% 4900-4904 QUARLES: Seeks to Hire Bennie Brooks as Legal Counsel 4915 QUARLES ST: Seeks to Hire Bennie Brooks as Legal Counsel 617 KEEFER: Seeks to Hire Bennie Brooks as Legal Counsel 900 CESAR CHAVEZ: Alleges Wrongful Foreclosure by Lender A & J CONSTRUCTION: US Trustee Questions Plan Funding ACPRODUCTS INC: S&P Alters Outlook to Stable, Affirms 'B' ICR ACRISURE LLC: S&P Assigns 'B' Rating on Senior Secured Notes AIRPORT VAN: Gets Cash Collateral Access Thru Feb. 26 ALGON CORP: Has Cash Collateral Access Thru April 30 AMC ENTERTAINMENT: S&P Raises First-Lien Debt Rating to 'CCC' AMERICAN AIRLINES: Court Denies USAir Merger Challenge AMERICAN COMMERCIAL: U.S. Trustee Unable to Appoint Committee ANDREW HUN KIM: $495K Sale of Clarksburg Property to Letters Denied ASTOR EB-5: Trustee Proposes Auction Sale of The Astor Hotel BENEDICT A. VERSACI: Sale of Properties to Ragno for $250K Approved BROOKS BROTHERS: Debtor to Seek Plan Confirmation on March 5 CA HOME BUYERS: Case Summary & Unsecured Creditor CENTRO EVANGELISTICO: Auction of Cutler Bay Property Set for Feb. 9 CGC-MROZ ACCOUNTANTS: Seeks to Use Pacific Premier & SBA Cash CHARLES C. MACAWILE, JR.: Trustee Selling Salida Property for $1.6M CHIP'S SOUTHINGTON: Seeks to Hire Premier Tax as Accountant CHIP'S SOUTHINGTON: Seeks to Hire Special Counsel in Kaiaffa Suit CRAZY CAT: Unsecured Creditors to Recover 100% Over Time CSI COMPRESSCO: S&P Affirms 'B-' ICR on Acquisition by Spartan D. J. GUZZARDO: Addresses IRS Objections to Plan DEAN & DELUCA: Thai Bank Takes 26.5% Stake in U.S. Chain DECO ENTERPRISES: $9.47M Unsecured Claims to Recover 5% in Plan DERISO DEVELOPMENT: Voluntary Chapter 11 Case Summary DIRECT TO YOUR DOOR: Seeks to Hire Eric A. Liepins as Counsel DIVERSIFIED POWER: Seeks to Hire Davis Ermis as Bankruptcy Counsel DIVINIA WATER: Seeks to Hire Parsons Behle as Legal Counsel DON BETOS TACOS-CLAYTON: Follows Raleigh Location in Chapter 11 DON BETOS: Files Emergency Bid to Use Cash Collateral DOS POTRILLOS: Seeks to Hire Vista Sotheby's as Real Estate Broker DRC III: Gets OK to Hire Turner Legal Group as Counsel EASTERDAY RANCHES: Files for Chapter 11 Amid Lawsuit EBONY MEDIA: Gets OK to Hire Schwartz Associates as Appraiser EVERGREEN MORTGAGE: $65K Orangeburg Property Sale to Robinson OK'd FESTIVE WORKS: Auction of Substantially All Assets Set for March 3 FIGR BRANDS: Gets Initial Order Under CCAA; FTI Named Monitor FORTOVIA THERAPEUTICS: $25K Zuplenz Assets Sale to Aquestive OK'd FORTOVIA THERAPEUTICS: Administrator Unable to Appoint Committee GARRETT MOTION: Feb. 16 Hearing on Plan Disclosures GIA REDEVELOPMENT: Case Summary & 3 Unsecured Creditors GIRARDI & KEESE: Abir Cohen Denies Poaching Clients GREYLOCK CAPITAL: Not Shutting Down, Opens Office in Stamford HAKU LLC: Voluntary Chapter 11 Case Summary IGLESIA TABERNACULO: Court Confirms Chapter 11 Plan IN-SHAPE HOLDINGS: Committee Taps Dundon as Financial Advisor IN-SHAPE HOLDINGS: Committee Taps Kelley Drye as Legal Counsel INTERSTATE COMMODITIES: Taps Jack Nitz & Associates as Auctioneer JIM'S DISPOSAL: Seeks to Hire Cochran Head as Accountant JOHN PICCIRILLI: Files Emergency Bid to Use Cash Collateral KNOTEL INC: Feb. 5 Deadline Set for Panel Questionnaires LABL INC: S&P Assigns 'B' Rating on Senior Secured Term Loans LBD PLLC: Seeks to Hire Chapin Owen as Accountant LBD PLLC: Seeks to Hire Tayman Lane as Legal Counsel LE JARDIN RESIDENCES: Ruling on Summary Judgment Reserved LIGHTSQUARED INC: Court Rejects Apollo's Bid to Reopen Case LOVES FURNITURE: Plan & Disclosures Due May 6 MALLINCKRODT PLC: Chapter 11 Trustee Sought by Third-Party Payors MANHATTAN HOSPITALITY: U.S. Trustee Unable to Appoint Committee MARTIN DEVELOPMENT: Seeks to Hire George C. Ferullo as Accountant MEADE INSTRUMENTS: Sheppard Says Its Claims Shouldn't Be Discarded MONTICELLO HORIZON: Gets Cash Collateral Access Thru March 10 MURRAY ENERGY: Bankruptcy Settlement Is Safe from CONSOL NATIONAL SMALL: Case Summary & 8 Unsecured Creditors NEELKANTH HOTELS: May Use Cash Collateral Thru March 31 OAKVIEW CROSSING: Seeks to Hire Norton Commercial as Broker PATHWAY VET: S&P Assigns 'B' Rating on $1.02B Sr. Secured Term Loan PBS BRAND: February 8 Hearing on Sale of All Assets to CrowdOut PERATON CORP: S&P Places 'B' ICR on Watch Pos. on Perspecta Deal PERSPECTA INC: S&P Places 'BB' ICR on Watch Neg. on Peraton Deal PINKLEY FARMS: Gets OK to Hire Weichert as Real Estate Agent PROPERTY VENTURES: Unsec. Creditors to Split $250K in Plan QUINCY STREET: Seeks to Hire Gordon Feinblatt as Special Counsel REDRHINO: Granted Cash Collateral Access on Final Basis REMINGTON OUTDOOR: Bankruptcy Liquidation Plan Cleared for Voting REMY'S HT RN: Seeks to Hire Havkin & Shrago as Legal Counsel SABLE PERMIAN: Simpson Thacher Advised Lender JPMorgan SAINT PETER'S HOSPITAL: S&P Affirms 'BB+' Rating on Revenue Bonds SEADRILL LTD: Says Forbearance Agreements Expired Jan. 29 SEISENBACHER INC: Seeks to Hire Epiq as Claims Agent SIGNET JEWELERS: S&P Affirms 'B+' ICR, Alters Outlook to Pos. SPRINGS MEDICAL: Seeks to Hire Hoff Law Offices as Legal Counsel SUNSHINE ADULT: Seeks to Hire Law Offices of Alla Kachan as Counsel SUNSHINE ADULT: Seeks to Hire Wisdom Professional as Accountant TBAG HOLDINGS: Files Emergency Bid to Use Cash Collateral TERRA-GEN FINANCE: S&P Cuts ICR to 'CCC+', Alters Outlook to Dev. TRIBECA BEVERAGE: Seeks to Hire Rosenberg & Estis as Legal Counsel TTK RE ENTERPRISE: Selling Egg Harbor Township Property for $200K TUMBLEWEED TINY HOUSE: Seeks to Use Cash Collateral Thru April 30 VISIUM TECHNOLOGIES: Court Tosses Involuntary Bankruptcy Petition WEEKLEY HOMES: S&P Alters Outlook to Pos., Affirms 'BB-' ICR YACHT CLUB: General Management Buying Condominiums Assets for $1.1M ZIER PROPERTIES: U.S. Trustee Unable to Appoint Committee ********* 1716 I LLC: DC Nightclub to Pay Unsecureds in Full in 3 Years ------------------------------------------------------------- 1716 I LLC filed with the U.S. Bankruptcy Court for the District of Columbia a Chapter 11 Plan of Reorganization and a Disclosure Statement on Jan. 22, 2021. The Debtor owns and operates a full-service nightclub, lounge and bar business located in the central business section of the District of Columbia. As a result of the coronavirus crisis, Debtor was forced to close the business and cease all business operations in March of 2020. Moreover, to date the business remains closed under emergency health regulations imposed by the District of Columbia. Apart from the implications of the coronavirus, the Debtor has now identified two financial opportunities facilitating the resumption of profitable business activities upon the resolution of the tax dispute. Based upon the Debtor's profitable track record, the landlord has offered Debtor a rent abatement pending the resolution of the current crisis and the opportunity to re negotiate the lease terms. The renegotiation of the lease will enable the Debtor to resume profitable operations immediately upon the lifting of the business restrictions. In addition, the Debtor has been contacted by investors interested in investing in the strategically located night-club, lounge and bar business. However, depending upon the outcome of negotiations with the District, the investors provide an option for the injection of capital to facilitate the resumption of profitable operations. Class III consists of the Secured Claim of the District of Columbia. The District of Columbia has filed an amended proof of claim (No. 2-2) asserting a secured claim in the amount of $1,842,610. The Debtor objected to the claim, contending that the District's claim should be reduced to $261,023.43, plus interest and penalties computed as to this amount. The parties have tentatively agreed to settlement of the District's claim in the total amount of $400,000. Class IV consists of three unsecured claims. A claim for workman's compensation was filed on behalf of Mike Dominic Moore in the amount of $25,000. Unsecured claims were also filed on behalf of the District of Columbia and the IRS. The IRS has asserted an unsecured claim, estimated at $15,200 for unfiled corporate income taxes. The District of Columbia included an unsecured claim in the amount of $6,127.58 as part of its disputed claim for corporate franchise taxes and sales & use taxes, which is included in the settlement negotiations of the parties. The claims of Moore and the IRS will be paid by the Debtor in equal monthly installments over a period of 36 months. Class IV is impaired. Class V consists of the Equity Interest in the Debtor. Chaz Zhou owns a 100 percent interest in the Debtor. The absolute priority rule provides that a class of equity security holders is not entitled to retain an interest in the Debtor unless unsecured creditors receive payment in full, or unsecured creditors consent to the Plan, or the holders of interest contribute new value to the Debtor. All allowed unsecured claims shall be paid by the Debtor in full. Class V is not impaired. The Plan will be funded from proceeds of the Debtor's business operations. Based upon cash flow projections, the Debtor believes that its cash flow will be more than sufficient to meet the obligations of the Plan and to fund ongoing business operations once the Debtor is authorized to resume business. A full-text copy of the Disclosure Statement dated Jan. 22, 2021, is available at https://bit.ly/3ajtaEA from PacerMonitor at no charge. Counsel for the Debtor: Wendell W. Webster, Esq. 1775 K Street, NW, Suite 290 Washington, DC 20006 Tel: (202) 659-8510 E-mail: wwebsterfredrickson.com About 1716 I 1716 I LLC owns and operates a full-service nightclub, lounge and bar business located in the central business section of the District of Columbia. It filed for Chapter 11 bankruptcy protection (Bankr. D.D.C. Case No. 19-00699) on Oct. 23, 2019. The Hon. S. Martin Teel, Jr. oversees the case. In its petition, the Debtor was estimated to have $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. The petition was signed by Charles Zhou, shareholder and principal. The Debtor is represented by Wendell W. Webster, Esq., at Webster & Fredrickson, PLLC. 2014 S & S: Has Until Feb. 5 to File Plan & Disclosures ------------------------------------------------------- Judge Roger L. Efremsky of the U.S. Bankruptcy Court for the Northern District of California has entered an order granting debtor 2014 S & S Investment LLC an extension until Feb. 5, 2021, of the deadline to file a Disclosure Statement and a Chapter 11 Plan. A full-text copy of the order dated Jan. 22, 2021, is available at https://bit.ly/3r5vgyz from PacerMonitor.com at no charge. Attorney for the Debtor: DAVID A. BOONE LAW OFFICES OF DAVID A. BOONE 1611 The Alameda San Jose, CA 95126 Tel: (408) 291-6000 About 2014 S & S Investments 2014 S & S Investments, LLC, is a privately held company in the healthcare business based in Concord, Calif. 2014 S & S Investments sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Cal. Case No. 20-41558) on Sept. 24, 2020. The petition was signed by Steve Chou, managing member. At the time of the filing, the Debtor had estimated assets of less than $50,000 and liabilities of between $1 million and $10 million. Judge William J. Lafferty oversees the case. The Law Offices of David A. Boone is Debtor's legal counsel. 2018 BLUE ISLAND: Granted Cash Collateral Access on Final Basis --------------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division, has authorized 2018 Blue Island LLC to use cash collateral and related relief on a final basis. The Debtor and Better Housing Foundation, Inc. stipulate and agree that the Debtor is obligated under several bond financing documents which include an indenture, certain "Obligations" to repay the Loan, in form of promissory notes, made by the Debtor pursuant to the indenture, and a Bond Purchase Agreement, dated May 24, 2018. The Debtor is authorized to use Cash Collateral and other Prepetition Collateral on a final basis, to the extent set forth in a budget, to and including the later of (a) 60 days after the closing of a sale of substantially all of the Debtor's assets; or (b) three months from the entry of a final order, unless otherwise agreed to by the Debtor and the Trustee, UMB Bank, N.A. The Debtor is authorized to make the expenditures set forth on the Budget, plus no more than 10% of the total proposed payments unless otherwise agreed by the Trustee or upon further Order of the Court. To the extent that the Debtor receives or uses any of the Prepetition Collateral, the Trustee is entitled to receive: (a) adequate protection of its interests in the Prepetition Collateral pursuant to sections 361 and 363(e) of the Bankruptcy Code, including, but not limited to, the Cash Collateral, for any diminution in value of its interests in the Prepetition Collateral. (b) a senior priority replacement lien upon all assets and property of the Debtors and their estates of any kind or nature, now existing or hereafter acquired, including without limitation, the Prepetition Collateral. (c) as adequate protection, a section 507(b) priority claim on a dollar-for-dollar basis for and solely to the extent of any Diminution in Value, which administrative claim will, among other things, have priority over all other costs and expenses of the kind specified in, or ordered pursuant to, sections 105, 328, 330, 331, 503(a), 503(b), 506(c), 507(a), 507(b), 546(c), 1113 and 1114 of the Bankruptcy Code, except for the Carve-Out. The Court also approved a "Carve-Out" to pay for allowed administrative claims in the Chapter 11 case, including without limitation, the fees and costs of all professionals employed under 11 U.S.C. section 327(a) and U.S. Trustee Quarterly Fees. The "Carve-Out": (a) consists of $500,880, or as otherwise agreed to in writing between the Trustee and the Debtor. (b) increase by 1% for every dollar the Properly is sold for in excess of $15,088,000; and (c) consist of the normal and customary seller-side closing costs, including, without limitation, seller's transfer taxes, title, escrow and wiring fees as determined and agreed to in writing between the Trustee and the Debtor. A copy of the Final Order and the Debtor's Budget is available for free at https://bit.ly/3afdQZq from PacerMonitor.com. About 2018 Blue Island LLC 2018 Blue Island, LLC, sought Chapter 11 protection (Bankr. N.D. Ill. Case No. 20-21563) on Dec. 15, 2020. The petition was signed by Andrew Belew, president, Better Housing Foundation, Inc., as manager. The Debtor disclosed $10 million to $50 million in both assets and liabilities. The case is assigned to Judge Jacqueline P. Cox. The Debtor tapped Kevin H. Morse, Esq., at Clark Hill PLC, as counsel. UMB Bank, N.A. is the Debtor's Trustee. 3135 MACARTHUR: Seeks to Hire Malaise Law as Legal Counsel ---------------------------------------------------------- 3135 MacArthur Plaza LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Texas to employ Malaise Law Firm as its legal counsel. The firm will provide these services: a. advise the Debtor of its powers and duties in the continued operation of its business and the management of its funds and property; b. prepare legal documents; c. work with the Debtor's creditors to devise a Chapter 11 plan; and d. perform all other legal services for the Debtor in connection with its Chapter 11 case. Malaise Law will be paid at these rates: Steven G. Cennamo $330 per hour J. Todd Malaise $330 per hour Legal Assistant $100 per hour Malaise Law will be paid a retainer in the amount of $12,000 and will be reimbursed for out-of-pocket expenses incurred. Steven Cennamo, Esq., a partner at Malaise Law Firm, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Malaise Law can be reached at: Steven G. Cennamo, Esq. Malaise Law Firm 909 N.E. Loop 410, Suite 300 San Antonio, TX 78209 Tel: (210) 732-5826 / 210-732-6699 Fax: (210) 732-5826 About 3135 MacArthur Plaza San Antonio, Texas-based 3135 MacArthur Plaza LLC is primarily engaged in renting and leasing real estate properties. It is the fee simple owner of a property located at 3135 Nacadoches Road San Antonio, Texas, having an appraised value of $3 million. 3135 MacArthur Plaza filed a Chapter 11 petition (Bankr. W.D. Texas Case No. 21-50045) on Jan. 13, 2021. In its petition, the Debtor disclosed $3,577,969 in assets and $3,354,501 in liabilities. Judge Craig A. Gargotta presides over the case. Malaise Law Firm serves as the Debtor's bankruptcy counsel. 450 S. WESTERN: Sold for $57M; Unsecureds to Recover Up to 30% -------------------------------------------------------------- 450 S. Western, LLC, filed with the Bankruptcy Court a Chapter 11 Plan of Liquidation and a Disclosure Statement on Jan. 27, 2021. At the auction and sale hearing held on Oct. 14, 2020, the Debtor's California Marketplace property was sold to Jake Sharp Capital for $57,500,000, with terms set forth in the Purchase and Sale Agreement, executed October 15, 2020. The sale closed on Dec. 8, 2020. On Nov. 30, 2020, the Debtor, the Official Committee of Unsecured Creditors, and creditors G 450, Pontis, Five West, Evergreen, and Philmont Management Inc. entered into a stipulation regarding the distribution of proceeds, wherein the parties agreed on a schedule setting out the order of distribution from the sale of the Property. The first party to be paid was the Los Angeles County Treasurer and Tax Collector, which would be paid in full for claims based on taxes for the 2019-2020 and 2020-2021 tax years. Among the secured creditors, G 450 would be paid in full first, with the disputed $2 million of its total claim of $30,778,046 to be held in a segregated trust account. To be paid in full second would be Pontis, then Five West. Fourth in priority was New Creation Engineering and Builders, Inc.'s secured claim for $706,425, the entire amount of which is wholly disputed by the Debtor and is to be held in a segregated trust account. New Creation was not a party to the stipulation. Both parts of Evergreen's claim were also to be paid in full. The last of the secured creditors was Philmont, whose claim in the amount of $2,361,878 is wholly disputed and to be held in a segregated trust account. As acknowledged in the stipulation, Philmont and Evergreen dispute which party has seniority. The split of the broker fees to be paid to CBRE and the Jake Sharp Group as the Buyer's broker, is disputed. Finally, the remaining portion of the proceeds was transferred to a segregated debtor-in-possession account pending a further stipulation or Court order authorizing distributions for attorney's fees, US Trustee fees, administrative claims, and all other creditors. Under the Plan, Class 3 General Unsecured Claims, Other Than Class 4 Claims, will recover 15% to 30% of their claims. Each holder of an Allowed Class 3 Claim shall receive its Pro Rata Share of the Net Available Cash from the Liquidating Trust, after payment of other claims. Class 3 is impaired Class 4 Unsecured Claims of Hyun Soon Rhee, Admire Capital Lending, LLC & Belmont Two Investment Holdings, LLC, are impaired. On account of any and all Class 4 claims, Admire, Belmont, and Hyun Soon Rhee shall receive the following transfers, benefits and retention of rights in full and complete satisfaction of such claims: (i) Admire, Belmont, and Hyun Soon Rhee shall retain all of their respective rights in the Admire Belmont Actions; (ii) the rights of the Debtor in the Admire Belmont Actions shall vest in the Liquidating Trust and to be prosecuted in accordance with the Liquidating Trust Agreement. On the Effective Date, all Existing Equity Interests in Class 5 will be cancelled. A full-text copy of the Disclosure Statement dated January 27, 2021, is available at https://bit.ly/2MkkC8r from PacerMonitor.com at no charge. General Bankruptcy of the Debtor: Aram Ordubegian M. Douglas Flahaut Christopher K.S. Wong ARENT FOX LLP 555 West Fifth Street, 48th Floor Los Angeles, CA 90013-1065 Telephone: 213.629.7400 Facsimile: 213.629.7401 Emails: aram.ordubegian@arentfox.com douglas.flahaut@arentfox.com christopher.wong@arentfox.com About 450 S. Western 450 S. Western, LLC, is the owner and operator of a three-story, 80,316 sq. ft. shopping center -- commonly known as California Marketplace -- located at the intersection of South Western Avenue and 5th Street in the heart of Koreatown. The shopping center has been a staple in the Los Angeles Korean community and is home to 28 thriving and popular stores, restaurants, and retail shops. 450 S. Western sought protection under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 20-10264) on Jan. 10, 2020. At the time of the filing, the Debtor disclosed assets of between $50 million and $100 million and liabilities of the same range. The Debtor is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). Judge Ernest M. Robles oversees the case. The Debtor has tapped Arent Fox, LLP as legal counsel; the Law Offices of Daniel M. Shapiro, as special litigation counsel; and Wilshire Partners of CA, LLC as financial advisor. The Office of the U.S. Trustee appointed an official committee of unsecured creditors in the Debtor's case on Feb. 4, 2020. The committee is represented by Lewis Brisbois Bisgaard & Smith, LLP. 4900-4904 QUARLES: Seeks to Hire Bennie Brooks as Legal Counsel --------------------------------------------------------------- 4900-4904 Quarles St. LLC seeks approval from the U.S. Bankruptcy Court for the District of Columbia to hire Bennie Brooks & Associates, LLC as its legal counsel. The firm's services will include: a. advising the Debtor of its duties and rights; b. filing all necessary schedules, statements, reports and other documents; c. filing adversary proceedings; d. preparing any disclosure statement or Chapter 11 plan of reorganization; e. other legal services necessary to administer the Debtor's Chapter 11 case. Bennie Brooks will be paid at these rates: Attorneys $350 per hour Paralegals $150 per hour The firm received a retainer in the amount of $3,500. Bennie Brooks does not have interests adverse to the Debtor or its estate, according to court papers filed by the firm. The firm can be reached through: Bennie R. Brooks, Esq. Bennie Brooks & Associates, LLC 8201 Corporate Drive, Suite 260 Landover, MD 20785 Phone: (301)731-4160 Email: bbrookslaw@aol.com About 4900-4904 Quarles St. 4900-4904 Quarles St. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Colo. Case No. 20-004997) on Dec. 28, 2020. At the time of the filing, the Debtor had estimated assets of less than $50,000 and liabilities of between $1 million and $10 million. Judge Elizabeth L. Gunn oversees the case. Bennie R. Brooks P.C. is the Debtor's legal counsel. 4915 QUARLES ST: Seeks to Hire Bennie Brooks as Legal Counsel ------------------------------------------------------------- 4915 Quarles St. LLC seeks approval from the U.S. Bankruptcy Court for the District of Columbia to hire Bennie Brooks & Associates, LLC as its legal counsel. The firm's services will include: a. advising the Debtor of its duties and rights; b. filing all necessary schedules, statements, reports and other documents; c. filing adversary proceedings; d. preparing any disclosure statement or Chapter 11 plan of reorganization; e. other legal services necessary to administer the Debtor's Chapter 11 case. Bennie Brooks will be paid at these rates: Attorneys $350 per hour Paralegals $150 per hour The firm received a retainer in the amount of $3,500. Bennie Brooks does not have interests adverse to the Debtor or its estate, according to court papers filed by the firm. The firm can be reached through: Bennie R. Brooks, Esq. Bennie Brooks & Associates, LLC 8201 Corporate Drive, Suite 260 Landover, MD 20785 Phone: (301)731-4160 Email: bbrookslaw@aol.com About 4915 Quarles St. 4915 Quarles St. LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. D.C. Case No. 20-00497) on Dec. 28, 2020. At the time of the filing, the Debtor had estimated assets of less than $50,000 and liabilities of between $100,001 and $500,000. Judge Elizabeth L. Gunn oversees the case. Bennie R. Brooks P.C. is the Debtor's legal counsel. 617 KEEFER: Seeks to Hire Bennie Brooks as Legal Counsel -------------------------------------------------------- 617 Keefer Pl. LLC seeks approval from the U.S. Bankruptcy Court for the District of Columbia to hire Bennie Brooks & Associates, LLC as its legal counsel. The firm's services will include: a. advising the Debtor of its duties and rights; b. filing all necessary schedules, statements, reports and other documents; c. filing adversary proceedings; d. preparing any disclosure statement or Chapter 11 plan of reorganization; e. other legal services necessary to administer the Debtor's Chapter 11 case. Bennie Brooks will be paid at these rates: Attorneys $350 per hour Paralegals $150 per hour The firm received a retainer in the amount of $3,500. Bennie Brooks does not have interests adverse to the Debtor or its estate, according to court papers filed by the firm. The firm can be reached through: Bennie R. Brooks, Esq. Bennie Brooks & Associates, LLC 8201 Corporate Drive, Suite 260 Landover, MD 20785 Phone: (301)731-4160 Email: bbrookslaw@aol.com About 617 Keefer Pl. 617 Keefer Pl. LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. D.C. Case No. 20-00498) on Dec. 28, 2020. At the time of the filing, the Debtor had estimated assets of less than $50,000 and liabilities of between $500,001 and $1 million. Judge Elizabeth L. Gunn oversees the case. Bennie R. Brooks P.C. is the Debtor's legal counsel. 900 CESAR CHAVEZ: Alleges Wrongful Foreclosure by Lender -------------------------------------------------------- 900 Cesar Chavez, LLC, 905 Cesar Chavez, LLC, 5th and Red River, LLC, and 7400 South Congress, LLC, filed a Fifth Amended Disclosure Statement in connection with their Joint Third Plan of Reorganization, to update on recent developments in the case. On Dec. 1, 2020, the Debtors filed an Amended Emergency Motion to Reinstate the Automatic Stay, requesting a two-week extension of the stay in order to finalize and obtain Court approval of financing, which would allow the Debtors to pay all creditors in full. A hearing was held on the Motion to Reinstate on Dec. 1, 2020. At the hearing, the Lender objected to the Motion to Reinstate, stating they had already foreclosed on the Properties and recorded the Substitute Trustee's Deed conveying the ownership of the Properties to the Lender. The Court required briefing from the Debtors and the Lender to be filed by Dec. 11, 2020, and scheduled a status hearing on the matter for Dec. 18, 2020. On Dec. 21, 2020, the Court entered an Order Granting Amended Emergency Motion to Reinstate Stay, which reinstated the automatic stay through Jan. 31, 2021. ATX Lender 5, LLC ("Lender) noticed a public non-judicial foreclosure sale of the Properties belonging to the Debtors' bankruptcy estates for Dec. 1, 2020. On Dec. 1, 2020, representatives of the Travis County Sheriff and Travis County Fire Marshall lawfully came to the designated foreclosure location, the west steps of the Travis County Courthouse, and enforced the Travis County Judge's COVID-19 order regarding bans on gatherings of more than ten people without express approval of the County Judge or Mayor of City of Austin, including for non-judicial foreclosure sales. Travis County has consistently prohibited the gathering of more than 10 people for non-judicial foreclosure auction sales under the County Judge's order. As a result of the enforcement of the order, potential bidders and other attendees at foreclosure location were told to disperse and to leave the premises, and did leave the premises, including Lender ("County Official Instruction to Disperse"). Lender inexplicably returned approximately one hour later and purported to conduct a public non-judicial foreclosure sale, (the "Alleged Foreclosure Sale"). There were no other bidders at the Alleged Foreclosure Sale other than Lender, and the result of the Alleged Foreclosure Sale was a credit bid at approximately $17.8 million, or nearly $4 million less than Lender's outstanding debt, and no more than 58% of the actual value of the Properties. Lender and the substitute trustee then recorded a deed into the real property records purporting to transfer the Properties to itself as a result of the Alleged Foreclosure Sale. On Dec. 7, 2020, the Debtors filed a state court action in the 53rd Judicial District, Travis County, Texas (Cause Number D-1-GN-20-007370), alleging claims under the Declaratory Judgment Act and for wrongful foreclosure, and seeking a temporary restraining order and eventually a mandatory injunction requiring Lender clear its deed from title to the Properties (the "State Court Wrongful Foreclosure Action"). A temporary injunction hearing was scheduled for January 25, 2021, but has been rescheduled to March 1, 2021 (the "TI Hearing"). On Jan. 13, 2021, the Debtors' filed their Emergency Motion to Alter or Amend the Order Granting Amended Emergency Motion to Reinstate Stay (the "Motion to Alter"). In the Motion to Alter, the Debtors asserted that the Lender has transferred the Properties to three of its affiliates (collectively, the "Stonelake Grantees"): SL Red River, LP; SL South Congress, LP; and SL Chavez, LP. On Jan. 20, 2021, the Court entered an order granting the Motion to Alter, making the Order Reinstating Stay applicable to the Lender, the Stonelake Grantees, and any of each of their respective affiliates, and extending the term of the Order Reinstating Stay to five days after a ruling on the temporary injunction in the State Court Wrongful Foreclosure Action. The TI Hearing has been rescheduled as a result of the actions of the Lender. The Debtors were informed by the Lender via email dated Jan. 22, 2021, that the Stonelake Grantees are paying the taxes. The amounts are: * SL Red River, LP - $301,298.90 * SL South Congress, LP - $80,595.67 * SL Chavez, LP - $119,975.45 Under the Plan, Class 2 Allowed Unsecured Claims totaling $189,910 will be paid in full, to be paid 30 days following of the Class 1 Secured Claim in full. A full-text copy of the Fifth Amended Disclosure Statement dated Jan. 22, 2021, is available at https://bit.ly/3r6aPl1 from PacerMonitor at no charge. Attorneys for Debtors: WALLER LANSDEN DORTCH & DAVIS, LLP Morris D. Weiss Mark C. Taylor William R. "Trip" Nix, III Evan J. Atkinson 100 Congress Ave., Suite 1800 Austin, Texas 78701 Telephone: (512) 685-6400 Facsimile: (512) 685-6417 E-mail: morris.weiss@wallerlaw.com mark.taylor@wallerlaw.com trip.nix@wallerlaw.com evan.atkinson@wallerlaw.com About 900 Cesar Chavez 900 Cesar Chavez, LLC, is engaged in renting and leasing real estate properties. 900 Cesar and its affiliates are single asset real estate entities (as defined in 11 U.S.C. Section 101(51B)). 900 Cesar Chavez, LLC (Bankr. W.D. Tex. Case No. 19-11527), the Lead Case, and its affiliates, 905 Cesar Chavez, LLC (Bankr. W.D. Tex. Case No. 19-11528), 5th and Red River, LLC (Bankr. W.D. Tex. Case No. 19-11529), and 7400 South Congress, LLC (Bankr. W.D. Tex. Case No. 19-11530), sought Chapter 11 protection on Nov. 4, 2019. The cases are assigned to Judge Tony M. Davis. In the petition signed by Brian Elliott, corporate counsel, 900 Cesar Chavez, LLC, was estimated to have assets in the range of $1 million to $10 million, and $10 million to $50 million in debt. The Debtors tapped Evan J. Atkinson, Esq., and Morris D. Weiss, Esq., at Waller Lansden Dortch & Davis LLP, as counsel. A & J CONSTRUCTION: US Trustee Questions Plan Funding ----------------------------------------------------- The United States Trustee objects to the adequacy of the disclosure statement filed by Debtor A & J Construction Management, LLC, and states as follows: * The Debtor has provided inadequate information on any sources of cash which would enable the Debtor's ability to fund a plan and has not provided projected financial information supporting the Debtor's ability to make plan payments. * The Debtor has provided no information on the existence of any debt related to pre-petition payroll tax withholdings or the status of any tax obligations on its post-petition payroll taxes. * The Debtor has excluded the postpetition hiring of its accountant and an aircraft broker in the significant events section, both of which should have been disclosed. A full-text copy of the U.S. Trustee's objection dated Jan. 22, 2021, is available at https://bit.ly/3j2DuVf from PacerMonitor at no charge. About A & J Construction Management A & J Construction Management, LLC, is a privately held company in the industrial building construction industry. It is based in Springdale, Ark. A & J Construction sought Chapter 11 protection (Bankr. W.D. Ark. Case No. 20-71501) on June 29, 2020. The petition was signed by Jeffrey Mann, Debtor's managing member. At the time of the filing, the Debtor disclosed total assets of $2,785,493 and total liabilities of $1,700,539. The Nixon Law Firm is the Debtor's legal counsel. ACPRODUCTS INC: S&P Alters Outlook to Stable, Affirms 'B' ICR ------------------------------------------------------------- S&P Global Ratings revised its outlook to stable from negative, while affirmed its 'B' issuer credit ratings on U.S.-based cabinet maker ACProducts Inc. At the same time, S&P also affirming its 'B' issue-level rating on its $1.1 billion first-lien loan. S&P said, "The stable outlook indicates our belief that sustained revenue growth will offset rising input costs over the next 12 months. "Robust demand from end markets' is growing revenues in 2020 and we expect this growth will continue for the next few quarters. "We expect 5%-6% revenue growth in 2021. During the initial months of the pandemic, demand held up as homebuilders continued to complete in progress projects. Since then, orders from homebuilders have remained strong driven by solid new residential construction demand. S&P expects residential construction to grow by 5.5% in 2021 versus 3.9% in 2020. We believe the company's organic revenue growth is supported by low mortgage rates, rising needs for suburban homes, higher home equity values and diversion of consumer spending towards home improvements. "Strong residential repair and remodel (R&R) markets are also helping ACProducts as the market experienced a quick rebound since June 2020. We believe this recovery was due to increased do-it-yourself (DIY) R&R activities as an outcome of stay at home orders leading to increased time spent at home. While we believe some of the elevated R&R demand may be a pull forward from future years, we don't expect revenues over the next 12 months to be adversely affected with still strong underlying produce demand. "Looking into 2021, we believe high-value renovation projects may have been deferred or delayed at the onset of the pandemic and are now being undertaken as consumer confidence improves. The company's premium products under the semi-custom and custom categories, sold primarily through the dealer and home center channels; however, have only recently experienced a recovery in the last quarter of 2020. We expect demand for the premium-price products to offset the moderation in value-based R&R projects." Rising costs this year will erode some of the margin improvement achieved in 2020. Cost inflation, including lumber, steel, labor and freight, will pressure earnings over the next few quarters. S&P believes the sustainability of the company's earnings in 2021 will be driven its ability to pass through these rising costs. The company is realizing cost savings and synergistic benefits in line with its initial targets since the close of the Masco cabinetry acquisition early last year. The company's progress on its integration efforts during 2020, has resulted in significant margin improvement over 2019 levels with EBITDA margins of about 13% in 2020 versus about 8%% in 2019. S&P said, "Furthermore, we expect EBITDA margins will face some deterioration in 2021 and expect them to be in the 12%-13% range. Overall, we expect earnings for 2021 to be relatively flat compared to 2020, with higher sales volumes somewhat offsetting modest margin compression. "We expect leverage to be in the 5x-6x range over the next 12 months compared with our prior expectation of above 7x. We forecast ACProducts to end 2020 with adjusted leverage in the 5x-6x range, which we believe the company will sustain in 2021. We expect the company will generate strong free operating cash flow of about $100 million over the next 12 months with capital expenditures expected to remain modest at about $40-50 million in 2021. "The stable outlook on ACProducts reflects our view that sustained strong end-market demand will be mostly offset by cost inflation, such that adjusted leverage remains in the 5x-6x range over the next 12 months." S&P could lower our rating over the next 12 months if: -- Lower-than-expected earnings or margins result in adjusted leverage sustained above 6x or EBITDA interest coverage below 2x; -- The company undertakes an aggressive financial policy, such as pursuing large debt-funded acquisitions or shareholder dividends, causing adjusted leverage to stay above 6x, on a permanent sustained basis. S&P could raise the rating over the next 12 months if the company's EBITDA improves such that adjusted leverage, with a commitment by the controlling financial sponsors, is sustained at less than 4x. Colony, Texas-based ACProducts Inc. is North America's largest private manufacturer of both stock and semi-custom residential kitchen and bath cabinets. The company offers a broad line of cabinet products and serves the single- and multifamily new construction markets as well as dealers and distributors and home centers. The company is owned by financial sponsors American Industrial Partners and does not publicly disclose its financial results. ACRISURE LLC: S&P Assigns 'B' Rating on Senior Secured Notes ------------------------------------------------------------ S&P Global Ratings assigned its 'B' debt rating to Acrisure LLC's eight-year senior secured notes offering. The recovery rating is '3', indicating its expectation for meaningful (50%-70%; rounded estimate: 50%) recovery of principal in the event of a default. S&P said, "We expect Acrisure to use the proceeds to refinance its existing senior secured notes due 2024. In addition, the company is seeking to raise $700 million of incremental debt via a fungible add-on to its existing term loan. We expect the company to use those proceeds to partly refinance its existing senior secured notes due 2024 and to fund future acquisitions. "The ratings on Acrisure Holdings Inc. and its core subsidiaries--including our 'B' long-term issuer credit ratings, 'B' first-lien credit facility debt ratings, and 'CCC+' unsecured debt rating--are unaffected by the new senior secured notes issuance. Our 'B' long-term issuer credit ratings on Acrisure continue to reflect its fair business risk profile and highly leveraged financial risk profile." The company competes in a highly competitive, fragmented, and cyclical middle-market insurance brokerage industry. Top-line growth has been supported by sustained acquisition activity (we expect about 110 deals completed in 2020). Organic growth for 2020 has lagged relative to trend, primarily due to the impact of the pandemic on certain business lines. Despite this, EBITDA margin remains strong due to a combination of increasing scale and expense management initiatives, resulting in growing absolute cash flow generation. For the 12 months ended Sept. 30, 2020, pro forma revenue (reflecting run rate) was $2.13 billion and pro forma adjusted EBITDA was $708 million (about 33% adjusted margin), according to S&P Global Ratings' calculations, which exclude certain add-back items. S&P said, "Our assessment of the company's financial risk continues to assume a debt-intensive capital structure, consisting of a combination of debt and debt-like instruments. Including this transaction, we expect S&P Global Ratings-adjusted financial leverage and EBITDA coverage to be 6.7x and 2.4x, respectively, for the 12 months ended Sept. 30, 2020. This reflects modest cushion relative to our run-rate expectations for financial leverage of 9.0x-10.0x (7.0x excluding preferred treated as debt) and EBITDA cash interest coverage above 2.0x." AIRPORT VAN: Gets Cash Collateral Access Thru Feb. 26 ----------------------------------------------------- The U.S. Bankruptcy Court for the Central District of California, Los Angeles Division, has authorized Airport Van Rental, Inc. to use cash collateral on an interim basis through February 26, 2021, in accordance with the budget subject to a 10% variance per line item and any further order of the Court. Each party claiming an interest in the cash collateral is granted a replacement lien on all of the Chapter 11 estate's assets, excluding avoiding power claims and recoveries, to the extent that the Debtors' use of cash collateral results in a decrease in the value of the party's interest in its cash collateral. As additional adequate protection for the Debtor's use of cash collateral during the interim period, the Debtors will make a payment to each Lender in accordance with the "Lender Adequate Protection Program" described in the Motion or such other amount as may be ordered by the Court, make a payment to the U.S. Small Business Administration in the amount of $1,562, and the Debtors will deposit $150,000 in a segregated debtor-in-possession account to cover circumstances in which a Debtor sells a vehicle but, because of significant damage to the vehicle, the amount achieved at auction is substantially less than the Manheim Market Report value of that type of vehicle in average condition. A final hearing on the Debtor's request will be held February 24 at 11 a.m. A copy of the order is available at https://bit.ly/39FFMqn from PacerMonitor.com. About Airport Van Rental, Inc. Airport Van Rental -- https://www.airportvanrental.com/ -- is a van rental company offering short and long-term rentals for road trips, weekend journeys, moving, and any other group outings. Airport Van Rental and its affiliates filed their voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Lead Case No. 20-20876) on Dec. 11, 2020. Yazdan Irani, its president and chief executive officer, signed the petitions. At the time of filing, Airport Van Rental disclosed between $10 million and $50 million in both assets and liabilities. The Debtors tapped Danning, Gill, Israel & Krasnoff, LLP as their bankruptcy counsel, CSA Partners LLC as financial consultant, and Joel Glaser, APC as litigation counsel. Kevin S. Tierney is the Debtors' chief reorganization officer. ALGON CORP: Has Cash Collateral Access Thru April 30 ---------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Florida, Miami Division, has authorized Algon Corporation to use cash collateral on an interim basis through April 30, 2021, to pay its payroll and other ordinary course expenses, pursuant to a budget. The Debtor will: (a) grant BBVA USA and EXIM Bank a post-petition replacement lien on all assets to the extent of any valid perfected pre-petition lien held by BBVA and a section 507(b) priority with respect to any loss of adequate protection subject only to U.S. Trustee fees. (b) maintain all required insurance coverage, including credit insurance as required by the BBVA loan documents and general liability insurance and workers' compensation insurance. (c) continue to pay payroll taxes as and when due. (d) file on a timely basis its DIP Monthly Operating Reports, as well as all required reports pursuant to Federal Rule 2015.3 for its subsidiary, Algon Mexico, and any other subsidiaries and affiliates to which Rule 2015.3 applies. (e) file on a timely basis its DIP Monthly Operating Reports, as well as all required reports pursuant to Federal Rule 2015.3 for its subsidiary, Algon Mexico, and any other subsidiaries and affiliates to which Rule 2015.3 applies. (f) provide to BBVA and counsel to EXIM Bank (a) weekly borrowing base certificates compliant with the pre-petition loan agreement between the Debtor and BBVA; and (b) weekly reports on accounts receivable and inventory from Algon Mexico, including the status of FF&E. (g) abide by the Budget, subject to a 10% increase variance per item per month for expenses. If there is an anticipated increase of more than 10% for any given expense, then the Debtor will seek prior approval from EXIM Bank and BBVA. In addition to the adequate protection of EXIM's and BBVA's interests, the Debtor will make monthly payment of $25,000 to be delivered on or by the last day of the month to be divided pro rata between EXIM Bank and BBVA in the amounts of $13,983.52 (representing 55.934%) to EXIM Bank and $11,016.48 (representing 44.066%) to BBVA, by wire transfer to EXIM Bank and BBVA, to be applied subject to further Court Order as to EXIM Bank, to an account designated by the Department of Justice, and as to BBVA to an account designated by BBVA. EXIM Bank, as BBVA's assignee, and BBVA will have a perfected post-petition lien against the Debtor's post-petition assets. A continued hearing on the Debtor's use of cash collateral is scheduled for April 29 at 1:30 p.m. A copy of the order and budget through April 2021 is available for free at https://bit.ly/3pKfSHM from PacerMonitor.com. About Algon Corporation Miami, Fla.-based Algon Corporation -- https://www.algon.com/ -- is a worldwide distributor of raw materials and industrial parts for the pharmaceutical, cosmetic, and food industries. Algon Corp sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 19-18864) on July 1, 2019. In the petition signed by its president, Alfredo Suarez, the Debtor was estimated to have assets and liabilities of less than $10 million. The case is assigned to Judge Robert A. Mark. The Debtor is represented by Geoffrey S. Aaronson, Esq., at Aaronson Schantz Beiley P.A. AMC ENTERTAINMENT: S&P Raises First-Lien Debt Rating to 'CCC' ------------------------------------------------------------- S&P Global Ratings raised its issue-level rating on AMC Entertainment Holdings Inc.'s first-lien debt to 'CCC' from 'CCC-' and revised the recovery rating to '2' from '3'. The '2' recovery rating indicated its expectation for substantial recovery (70%-90%; rounded estimate: 75%) for lenders in the event of a payment default. AMC has benefitted from the elevated demand for its equity shares over the past few months, which has allowed it to raise additional capital and improve its liquidity. This culminated with the company's completion of its remaining at-the-market equity program authorization by raising an additional $305 million on Jan. 26, 2021. Additionally, Silverlake Group LLC elected to convert the $600 million of 2.95% first-lien secured convertible notes issued by AMC into equity, which settled on Jan. 29, 2021. This conversion reduced the amount of first-lien debt in the company's capital structure and improved the recovery prospects for its other first-lien lenders. As such, S&P raised its issue-level rating and revised its recovery rating on AMC's first-lien debt. S&P said, "These two events will provide AMC with additional near-term liquidity and slightly reduce its interest burden, though we believe its capital structure remains unsustainable. The company previously expected to have only enough liquidity to last until July 2021. The incremental $305 million will extend its runway and provide AMC with greater flexibility if its theater attendance recovers more slowly than it currently expects. However, the company will exit the pandemic with a heavy debt load and a much higher cost of debt because it raised expensive debt during the pandemic. It will also have significant deferred lease costs, which will continue to stress its cash flow well after the pandemic ends. Therefore, we believe AMC still needs to significantly reduce its debt and interest burden or its capital structure will remain unsustainable. Additionally, we believe the risk of a subpar debt exchange or other form of debt restructuring, which we would view as a default, remains likely over the near term." ISSUE RATINGS--RECOVERY ANALYSIS Key analytical factors AMC's capital structure consists of: -- GBP400 million term loan due 2023 issued at Odeon (unrated); -- $225 million senior secured revolving credit facility maturing in 2024; -- $2 billion first-lien senior secured term loan maturing in 2026; -- $500 million of first-lien senior secured notes due 2025; -- $200 million of first-lien senior secured notes due 2026; -- $100 million of first-lien senior secured notes due 2026 (unrated); -- $100 million of first-lien paid-in-kind (PIK) toggle senior secured notes due 2026 (unrated); -- $1.36 billion of second-lien subordinated secured notes due 2026; and -- $290 million of outstanding subordinated notes with maturities ranging from 2024-2027. In addition: -- The GBP400 million term loan (not rated) has a priority claim on the company's European assets. -- The first-lien debt is contractually senior to the second-lien secured debt and all subordinated debt. -- The second-lien debt is contractually senior to the existing subordinated debt only in terms of the collateral, otherwise its ranks pari passu with the subordinated notes. -- In the event of rejected leases in a bankruptcy, S&P believes the subordinated debt would be structurally subordinated to the rejected lease claims. Simulated default assumptions -- S&P's simulated default scenario contemplates a hypothetical default occurring in 2021 due to a slower-than-expected recovery in theater attendance and a sudden and sharp shift toward alternative film delivery methods. -- Other default assumptions include an 85% draw on the revolving credit facilities, LIBOR is 2.5%, and all debt amounts include six months of prepetition interest. -- S&P assumes that in the event of a default or insolvency proceedings the company would reorganize, close its underperforming theaters, and unwind its leases. S&P used a distressed EBITDA multiple of 6x to value the company. Simplified waterfall -- EBITDA at emergence: About $545 million -- EBITDA multiple: 6x -- Net enterprise value (after 5% administrative costs): $3.1 billion -- Value available to first-lien senior secured debt after priority claims: $2.5 billion -- Estimated senior secured debt claims: $3.2 billion --Recovery expectations: 70%-90% (rounded estimate: 75%) -- Collateral value available to second-lien claims: $0 million -- Value available to subordinated claims: $0 million -- Estimated second-lien and subordinated debt claims: $1.7 billion --Recovery expectations: 0%-10% (rounded estimate: 0%) AMERICAN AIRLINES: Court Denies USAir Merger Challenge ------------------------------------------------------ Law360 reports that a New York bankruptcy court has rejected a long-running challenge to the 2013 merger between American Airlines and US Airways, following a rare bench trial on claims brought by customers alleging the deal has raised prices and reduced the quality of service. U.S. Bankruptcy Judge Sean H. Lane issued a decision Friday, Jan. 29, 2021, that denied the customers' bid to unwind the $11 billion deal, more than seven years after approving the bankruptcy plan based on the merger for American Airlines' former parent company AMR Corp. Judge Lane oversaw a bench trial on the claims in March and April of 2019. The plaintiffs, Carolyn Fjord, et al., filed, in the bankruptcy court handling AMR Corp.'s Chapter 11 case, a complaint alleging that the merger between AMR Corporation and US Airways Group, Inc. -- which ultimately formed American Airlines Group Inc. ("AAG" or the "Defendants") -- violates Section 7 of the Clayton Antitrust Act, 15 U.S.C. Sec. 18 (the "Clayton Antitrust Act"). The Plaintiffs seek, among other things, a final judgment of divestiture to unwind the Merger as well as injunctive relief to enjoin any future mergers pursuant to Section 16 of the Clayton Antitrust Act, 15 U.S.C. Sec. 26. In an 81-page opinion, Bankruptcy Judge Sean Lane concluded that the Plaintiffs have not effectively rebutted Defendants' evidence and thus, fail to carry their ultimate burden to show that the effect of the Merger has been to substantially lessen competition. A full-text copy of the Jan. 21 decision is available at: https://www.nysb.uscourts.gov/sites/default/files/opinions/241646_292_opinion.pdf The case is FJORD et al v. AMR Corporation et al, Adv. Pro. No. 1:13-ap-01392 (Bankr. S.D.N.Y Case No. 11-15463). About American Airlines American Airlines Group Incorporated is an American publicly traded airline holding company headquartered in Fort Worth, Texas. It was formed on December 9, 2013, in the merger of AMR Corporation, the parent company of American Airlines, and US Airways Group, the parent company of US Airways. Before the Coronavirus pandemic, American Airlines offered customers 6,800 daily flights to more than 365 destinations in 61 countries from its hubs in Charlotte, Chicago, Dallas-Fort Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix and Washington, D.C. As of Dec. 31, 2018, the company operated a mainline fleet of 956 aircraft. The airline industry has been severely affected by the economic shutdowns and travel restrictions brought by the Coronavirus pandemic. AMR-USAir AMR Corp. and its subsidiaries including American Airlines, the third largest airline in the United States, filed for bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 11-15463) in Manhattan on Nov. 29, 2011, after failing to secure cost-cutting labor agreements. AMR Corp., emerged from Chapter 11 bankruptcy protection on Dec. 9, 2013, upon which it merged with US Airways Group. The combination of American Airlines and US Airways will result in the largest U.S. airline, with the leading share of traffic along the East Coast and Central U.S. regions. In AMR Corp.'s Chapter 11 case, the Debtors tapped Weil, Gotshal & Manges LLP as bankruptcy counsel; Paul Hastings LLP and Debevoise & Plimpton LLP Groom Law Group, Chartered, as special counsel; and Rothschild Inc., as financial advisor. The Official Committee of Unsecured Creditors retained Skadden, Arps, Slate, Meagher & Flom LLP as counsel; Togut, Segal & Segal LLP as co-counsel for conflicts and other matters; Moelis & Company LLC as investment banker; and Mesirow Financial Consulting, LLC, as financial advisor. AMERICAN COMMERCIAL: U.S. Trustee Unable to Appoint Committee ------------------------------------------------------------- The U.S. Trustee for Region 7 disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of American Commercial Management, LLC. About American Commercial Management American Commercial Management, LLC is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). American Commercial Management filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Texas Case No. 20-35718) on Nov. 30, 2020. Susan Rozman, manager, signed the petition. At the time of filing, the Debtor estimated $10 million to $50 million in both assets and liabilities. Judge Jeffrey P. Norman oversees the case. Hughes Watters Askanase, LLP is the Debtor's legal counsel. ANDREW HUN KIM: $495K Sale of Clarksburg Property to Letters Denied ------------------------------------------------------------------- Judge Lori S. Simpson of the U.S. Bankruptcy Court for the District of Maryland denied Andrew Hun Kim's sale of the real property known as 23011 Birch Mead Road, in Clarksburg, Maryland, to Deborah Raissa Letter and Douglas Letter for $495,000. Andrew Hun Kim sought Chapter 11 protection (Bankr. D. Md. Case No. 12-16945-LSS) on April 13, 2012. ASTOR EB-5: Trustee Proposes Auction Sale of The Astor Hotel ------------------------------------------------------------ Drew M. Dillworth, the duly appointed Chapter 11 trustee of the bankruptcy estate of Astor EB-5, LLC, asks the U.S. Bankruptcy Court for the Southern District of Florida, on an emergent basis, to enter an order (i) scheduling an immediate auction sale of the estate's leasehold interest in The Astor Hotel located at 956 Washington Avenue, Miami Beach, Florida and related assets and valuing the interest of the Secured Lender, Astor EB-5 Funding, LLC, in its collateral; (ii) alternatively, if no buyer materializes at the auction, authorizing the turnover of The Astor Hotel to the landlord, 1651 Astor, LLC, for $50,000 and mutual releases; and (iii) alternatively, if the landlord fails to promptly consummate the turnover transactions, authorizing the immediate abandonment of the estate's leasehold interest. Prior to the Petition Date, the Debtor owned and operated the business commonly known as The Astor Hotel. However, its possessory interest in the Hotel is not in the fee, but in a leasehold interest pursuant to that certain Ground Lease dated July 24, 2008 with the Landlord, which was assigned to the Debtor on Aug. 30, 2013. The Debtor's leasehold interest is ostensibly encumbered by that certain Florida Leasehold Mortgage, Assignment of Leases and Rents and Security Agreement between the Lender and the Debtor. As of the Petition Date, the Landlord claims to be owed $989,062 [Claim No. 9-1] and the Lender claims to be owed $4,540,025. Upon Trustee Dillworth's appointment, he immediately reviewed the docket of the bankruptcy case, including the Trustee Motion, reviewed the books and records of the Debtor including the limited financials and insurance information, engaged in lengthy conversations with the counsel for the Debtor, the Landlord, and the Lender, and visited The Astor Hotel. The Trustee Motion makes clear that the anticipated scope of Trustee Dillworth's work in the chapter 11 case is the prompt and efficient liquidation of the bankruptcy estate's interests at The Astor Hotel. As a result of his efforts, Trustee Dillworth learned the following facts that caused him immediate concern regarding running a 90-day sale process as contemplated by the Trustee Motion: The hotel is not operational, has inadequate security, and is underinsured. Uilities are critically past due. The Trustee has no money to adequately secure the hotel, pay utilities, or preserve the hotel during an extensive marketing and sale period. The estate will suffer direct, immediate, and substantial harm if the Trustee is not immediately authorized to take the actions sought. Therefore, Trustee Dillworth asks authorization to administer the bankruptcy estate's interests in an efficient manner that is in keeping with the parties' bargained for relief in the Trustee Motion. First, Trustee Dillworth asks authorization to conduct an open auction for the leasehold interest and attendant personal property and to value the Lender's interest in such property. He proposes to conduct the auction at the hearing on the Motion. If no buyer materializes, then Trustee Dillworth asks authorization to turnover the estate's interests in The Astor Hotel to the Landlord, including immediately rejecting and terminating the leasehold interest and the other transactions contemplated in the Trustee Motion, for $50,000 and the exchange of mutual releases. Finally, if the Landlord does not wish to consummate the turnover of The Astor Hotel, then Trustee Dillworth asks authorization to abandon the estate's leasehold interest. For the reasons set forth, Trustee Dillworth submits that authorizing and approving the proposed immediate auction sale will promote the timely sale of the bankruptcy estate's assets in order to realize the highest value for the benefit of all creditors and parties in interest. He will provide proper notice of this Motion and all related motions, notices, hearings and orders to all creditors and interested parties as required by the Bankruptcy Code, Bankruptcy Rules, and Local Rules of the Court, or as otherwise directed by order of the Court. However, due to the conditions present at The Astor Hotel, Trustee Dillworth proposes to conduct the open cry auction at the emergency hearing on the Motion. Cause certainly exists to shorten any attendant notice periods under the circumstances. Trustee Dillworth is advised that the assets have been marketed by the Debtor for quite some time prior to his appointment. While a 90-day marketing process with a professional broker would be ideal, there is no money to fund that process or protect the estate throughout that process. Nevertheless, in the interim between the filing and service of the Motion and any attendant notice of hearing, Trustee Dillworth will provide notice of the proposed auction to all prospective buyers and the brokers with whom he has had contact. By agreement of the parties, the deadline to assume or reject the ground lease was enlarged through Feb. 5, 2021. In light of the relief requested, Trustee Dillworth also proposes a further enlargement of time through the date of any hearing on the Motion to assume or reject the leasehold. Without funds to administer the property of the estate in the manner contemplated by the Debtor, the Lender and the Landlord in the Trustee Motion, the estate is at risk of immediate and substantial harm for the reasons set forth. Allowing for the notice periods in the attendant Bankruptcy Rules and Local Rules associated with the proposed relief (i.e., sale, valuation, rejection, and abandonment) will only increase that risk. Thus, Trustee Dillworth respectfully asks that the Court hears his Motion on an emergent basis so that Trustee Dillworth may administer or abandon the estate's interests in the property while minimizing the estate's exposure to ongoing and future liabilities. About Astor EB-5 LLC Astor EB-5, LLC is a Florida limited liability company that operates Hotel Astor, in Miami, Florida. Located a few blocks from the beach, this art deco boutique hotel with original 1930s terrazzo floors offers modern rooms, private terraces with courtyard, and on-site pools, among other amenities. Based in Miami, Florida, Astor EB-5 filed a Chapter 11 petition (Bankr. S.D. Fla. Case No. 18-24170) on November 14, 2018. In the petition signed by David J. Hart, manager, the Debtor was estimated to have $1 million to $10 million in both assets and liabilities. The Honorable Jay A. Cristol presided over the case. Paul L. Orshan, Esq., at Orshan, P.A., served as bankruptcy counsel to the Debtor. Astor EB-5 sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 20-16595) on June 17, 2020. At the time of the filing, the Debtor Was estimated to have assets of $10 million to $50 million and liabilities of $1 million to $10 million. Judge A. Jay Cristol oversees the case. Joel M. Aresty, P.A. is the Debtor's bankruptcy counsel in the present case. On Jan. 21, 2021, Drew M. Dillworth was approved as chapter 11 trustee. BENEDICT A. VERSACI: Sale of Properties to Ragno for $250K Approved ------------------------------------------------------------------- Judge Cecelia G. Morris of the U.S. Bankruptcy Court for the Southern District of New York authorized the following: A. Benedict A. Versaci to transfer his interest in the following real properties to Michael Ragno for $250,000: i. located at, and known as 415 Meacham Avenue, in Elmont, New York, to Ragno, or an entity created by Ragno, free and clear of all liens, claims and encumbrances, including, but not limited to, the judgment, entered April 10, 2018, in favor of Roswell Properties, L.L.C., Ltd., in accordance with the Stipulation of Settlement, dated Dec. 1, 2020, between the Debtor and Ragno; ii. located at, and known as 42 Nassau Boulevard, in Garden City, New York, by and through an entity owned by the Debtor and Ragno, DMV Realty, LLC, to Ragno, of an entity created by Ragno, free and clear of all liens, claims and encumbrances, in accordance with the Stipulation; and iii. located at, and known as 1337 Star Avenue, in Elmont, New York, by and through an entity owned by the Debtor and Ragno, JAMS Land Holdings, LLC, to Ragno, of an entity created by Ragno, free and clear of all liens, claims and encumbrances, in accordance with the Stipulation; and b. the Debtor and LJC Dismantling Corp., an entity owned by the Debtor and Ragno, to settle the action Titan Industrial Services v. LJC Dismantling Corp., assigned index number 0655797/2018, pending in the Supreme Court of the State of New York, County of New York, by transferring three Hitachi excavators to Titan. The offer from Ragno is deemed the highest and best offer for 415 Meacham, 1337 Star, and 42 Nassau. The Debtor is authorized to do such things, execute such documents, and expend such funds as may be necessary to consummate the sale of 415 Meacham, 1337 Star, and 42 Nassau, and effectuate the terms of the sale. Benedict A. Versaci sought Chapter 11 protection (Bankr. S.D.N.Y. Case No. 19-36935) on Dec. 2, 2019. The Debtor tapped Andrea B. Malin, Esq., ast Genova & Malin, Attorneys as counsel. BROOKS BROTHERS: Debtor to Seek Plan Confirmation on March 5 ------------------------------------------------------------ Judge Christopher S. Sontchi has entered an order approving the Disclosure Statement of BBGI US, Inc., et al., and setting a hearing on March 5, 2021, at 1:00 p.m. (prevailing Eastern Time), to consider confirmation of the Debtors' Plan. Objections to confirmation are due Feb. 26, 2021, at 4:00 p.m. (prevailing Eastern Time). Ballots accepting and rejecting the Plan are due Feb. 26, 2021 at 5:00 p.m. (prevailing Eastern Time). The Debtors, which were renamed to BBGI US, Inc., et al., after selling most of their assets to Authentic Brands Group (ABG) and retail enterprise SPARC Group, filed a Plan and a Disclosure Statement. The final phase in the chapter 11 cases is the confirmation and consummation of the Plan, pursuant to which the Debtors will distribute the remaining cash proceeds from the sale of their assets and proceeds from the Litigation Trust, if any, to creditors in accordance with the absolute priority rule and section 1129 of the Bankruptcy Code, including by: * providing that all Allowed Administrative Expense Claims, Priority Tax Claims or Other Priority Claims, and Secured Claims, are unimpaired by the Plan; * distributing to holders of Allowed PBGC Claims and General Unsecured Claims (i) interests in a Liquidation Trust that will liquidate the Debtors' remaining assets and make cash distributions to holders of Allowed PBGC Claims and Allowed General Unsecured Claims, and (ii) interests in a Litigation Trust that will pursue certain potential estate causes of action for the benefit of holders of Allowed PBGC Claims and Allowed General Unsecured Claims. A full-text copy of the Order dated Jan. 27, 2021, is available at https://bit.ly/3cnqJ6m from PacerMonitor.com at no charge. A full-text copy of the Disclosure Statement dated Jan. 27, 2021, is available at https://bit.ly/3almNQY from PacerMonitor.com at no charge. Attorneys for the Debtors: Garrett A. Fail David J. Cohen WEIL, GOTSHAL & MANGES LLP 767 Fifth Avenue New York, New York 10153 Telephone: (212) 310-8000 Facsimile: (212) 310-8007 - and - Mark D. Collins Zachary I. Shapiro Christopher M. De Lillo RICHARDS, LAYTON & FINGER, P.A. One Rodney Square 910 N. King Street Wilmington, Delaware 19801 Telephone: (302) 651-7700 Facsimile: (302) 651-7701 About Brooks Brothers Group Brooks Brothers -- https://www.brooksbrothers.com/ -- was a clothing retailer with over 1,400 locations in over 45 countries. Brooks Brothers Group, Inc., and 12 of its affiliates filed for Chapter 11 protection (Bankr. D. Del., Lead Case No. 20-11785) on July 8, 2020. The Debtors were estimated to have assets and liabilities of $500 million to $1 billion. The Hon. Christopher Sontchi presides over the cases. Richards, Layton & Finger, P.A., and Weil, Gotshal & Manges LLP serve as counsel to the Debtors. PJ Solomon, L.P acts as investment banker; Ankura Consulting Group LLC as financial advisor; and Prime Clerk LLC as claims and noticing agent. On July 21, 2020, the Office of the United States Trustee formed an official committee of unsecured creditors. The Committee selected Akin Gump Strauss Hauer & Feld LLP and Troutman Pepper Hamilton Sanders LLP as its counsel, and FTI Consulting, Inc. as its financial advisor. * * * In August 2020, the Court entered an order authorizing the Debtors to sell substantially all assets for $325 million to SPARC Group LLC, the successful bidder. The sale closed Aug. 31, 2020. The Debtors were renamed to BBGI US Inc., et al., following the sale. CA HOME BUYERS: Case Summary & Unsecured Creditor ------------------------------------------------- Debtor: CA Home Buyers 247, LLC 4858 West Pico Blvd. #245 Los Angeles, CA 90019 Business Description: CA Home Buyers 247, LLC is the owner of fee simple title to a property located at 944 Randall Ranch Rd, Corona, California having a current value of $1.2 million. Chapter 11 Petition Date: February 1, 2021 Court: United States Bankruptcy Court Central District of California Case No.: 21-10817 Judge: Hon. Ernest M. Robles Debtor's Counsel: Matthew Abbasi, Esq. ABBASI LAW CORPORATION 6320 Canoga Ave. Suite 220 Woodland Hills, CA 91367 Tel: (310) 358-9341 E-mail: matthew@lamawgroup.com Total Assets: $1,200,000 Total Liabilities: $0 The petition was signed by Edward Lamotte, manager. The Debtor listed Howard Terrell as its sole unsecured creditor holding an unknown amount of claim. A copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/ZO3CO7A/CA_HOME_BUYERS_247_LLC__cacbke-21-10817__0001.0.pdf?mcid=tGE4TAMA CENTRO EVANGELISTICO: Auction of Cutler Bay Property Set for Feb. 9 ------------------------------------------------------------------- Judge Laurel M. Isicoff of the U.S. Bankruptcy Court for the Southern District of Florida authorized Centro Evangelistico La Roca, Inc.'s bidding procedures relating to the sale of its real property located at 20851 SW. 97th Avenue, in Cutler Bay, Florida, Folio Number 36-6009-000-0160, to Century Homebuilders Group, LLC ("CHB") for $1.5 million, subject to overbid. A hearing on the Motion was held on Jan. 27, 2021. The form of the proposed Asset Purchase Agreement regarding the Sale between the Debtor and the stalking horse bidder, CHB, is approved. The Debtor is authorized to enter into the APA by and between the Debtor and CHB in regards to the Sale but the APA will not be consummated pending further Court approval at a Final Sale Hearing. The Breakup Fee of up to $20,000 to be paid by the Debtor's estate to CHB if CHB is not the Prevailing Bidder is approved. The salient terms of the Bidding Procedures are: a. Bid Deadline: Feb. 8, 2021, at 5:00 p.m. (EST) b. Initial Bid: $1.55 million c. Deposit: $100,000 d. Auction: If one or more Qualified Bids are received, the Debtor will conduct the Auction with respect to the Property prior to the Final Sale Hearing via Zoom or similar video or electronic format and the Debtor will provide login credentials to all potential bidders who submit a Qualifying Bid and a Qualifying Bid Packet prior to the expiration of the Bid Deadline. The Auction will take place on Feb. 9, 2021 at 10:00 a.m. (EST) if it is necessary. It will be recorded. e. Bid Increments: $50,000 f. Final Sale Hearing: Feb. 10, 2021 at 3:00 p.m. (EST) via video conference using the services of Zoom Video Communications, Inc. All parties wishing to participate in the hearing by video conference will register no later than 4:00 p.m. (EST) on Feb. 9, 2021. To register for the video conference, go to: httgs://www.zoomgov.com/meetinglregisterlltceChlzoiHRJxEAvww-Qp-aGSROU. If no Qualified Bid, other than CHB's stalking horse bid, is received by the Bid Deadline, the Debtor may then deem CHB the Prevailing Bidder and CHB's bid the highest or otherwise best offer for the sale of the Property and may proceed with asking final Court approval of the Sale to CHB at the Final Sale Hearing scheduled by the Court. A copy of the Bidding Procedures is available at https://tinyurl.com/y5mncqeu from PacerMonitor.com free of charge. About Centro Evangelistico La Roca Centro Evangelistico La Roca, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 20-17654) on July 15, 2020. At the time of the filing, the Debtor had estimated assets of between $1 million and $10 million and liabilities of between $500,001 and $1 million. Judge Laurel M. Isicoff oversees the case. Debtor has tapped Sagre Law Firm, P.A. as its legal counsel. CGC-MROZ ACCOUNTANTS: Seeks to Use Pacific Premier & SBA Cash ------------------------------------------------------------- CGC-Mroz Accountants & Advisors has advised the U.S. Bankruptcy Court for the Central District of California, Riverside Division, that it has reached an agreement with secured creditors, Pacific Premier Bank and the U.S. Small Business Administration regarding: -- the use of cash collateral in which the Lenders assert an interest, and -- the form and scope of adequate protection to the Lenders. The parties now desire to memorialize the terms of this agreement into an Agreed Order. Through its Chapter 11 bankruptcy case, the Debtor seeks to obtain "breathing room" from creditors while it takes steps to address operational and financial difficulties, and implement the changes required to return the Company to profitability. The Debtor believes that this, in turn, will enable it to formulate and pursue confirmation of a viable plan of reorganization or pursue an alternative transaction that will allow the Company to restructure its existing debt in a cohesive and efficient manner and continue operating its business. To the best of the Debtor's knowledge, it has only two secured creditors: (i) PPB, to whom the Debtor owes $229,323.62 as of the Petition Date based upon a loan provided by PPB to the Debtor prior to the Petition Date; and (ii) the SBA, which provided the Debtor an Economic Injury Disaster Loan in the amount of $150,000 prior to the Petition Date. The debts owed to both the PPB and the SBA are secured by substantially all of the Debtor's assets. PPB has a first position security interest in the assets, while the SBA's security interest is junior to PPB's. The only prepetition assets of the Debtor that are generating any cash consists of the Debtor's prepetition accounts receivable that have since been collected and placed in a post-petition, debtor-in-possession segregated cash collateral account. The amount of cash in the cash collateral account is approximately $111,000 in the aggregate. As a CPA firm, the Debtor's business focuses heavily on preparing tax returns as a primary source of revenue. Due to the April 15 filing deadline for tax returns, cash receipts are historically highest in March through May, with a small increase again in September and October at the extended filing deadline, and a dip in receipts from November through the end of January. This seasonal variance is the reason why the Debtor's access to the Cash Collateral is necessary until increased revenue from the 2020 tax preparation season is realized. The parties agree that the Debtor may use cash collateral subject to these terms and conditions, including without limitation: (a) The Lenders are granted, to the extent of any diminution in value of their respective interest, if any, in the Cash Collateral, replacement security interests in, and liens upon: (i) the Debtor's assets to the same extent, validity, scope and priority of their respective prepetition liens; and (ii) all of the Debtor's equipment, inventory, general intangibles, claims and choses in action. The Replacement Liens will be, in PPB's case, a first priority security interest, and in the case of the SBA, a second priority security interest, subject only to properly granted and perfected liens and encumbrances upon the collateral granted to the Lenders. (b) To the extent the Replacement Lien is insufficient to adequately protect the Lenders against any diminution in value of the Cash Collateral, the Lenders will be entitled to an allowed administrative claim. (c) The Debtor will remit these sums to PPB: (i) payment in the aggregate amount of $20,067.00 within five days following the entry of the Approval Order; (ii) payment in the aggregate amount of $14,067.00 on the 10th day of the month following the First Payment; and (iii) payment in the aggregate amount of $5,067.00 on the 10th day of each month commencing on the month following the Second Payment and continuing through and including the Termination Date. The Debtor will remit payments to the SBA in accordance with the deadlines and amounts set forth in the applicable loan documents. (d) PPB has agreed not to file, pursue or oppose the payment by the Debtor of the Carve-Out, which consists of the allowed professional fees and disbursements of: (a) Sklar Kirsh, LLP in an aggregate amount not to exceed $50,000.00 incurred on or prior to receipt by Debtor of written notice of the occurrence of a Termination Event; (b) the Subchapter V trustee appointed in the bankruptcy case; and (c) any fees payable to the Clerk of the Bankruptcy Court. A hearing on the relief set forth in the Motion will be held telephonically on February 23 at 1 p.m. Objections to the motion is due no later than February 16. A copy of the Motion and the Debtor's budget is available for free at https://bit.ly/3akwgrZ from PacerMonitor.com. About CGC-Mroz Accountants & Advisors CGC-Mroz Accountants & Advisors sought protection for relief under Chapter 11 of the Bankurptcy Code (Bankr. C.D. Calif. Case No. 20-16924) on Oct. 16, 2020, listing under $1 million in both assets and liabilities. Judge Wayne E. Johnson oversees the case. Sklar Kirsh, LLP serves as the Debtor's counsel. Pacific Premier Bank, as lender, is represented by: Mitchell B. Ludwig, Esq. KNAPP, PETERSEN & CLARKE 550 N. Brand Blvd., Ste. 1500 Glendale, CA 91203 E-mail: mbl@kpclegal.com U.S. Small Business Administration, as lender, is represented by: Gil Hopenstand, Esq. 312 N. Spring St., 5th Floor Los Angeles, CA 90012 E-mail: gil.hopenstand@sba.gov CHARLES C. MACAWILE, JR.: Trustee Selling Salida Property for $1.6M ------------------------------------------------------------------- David M. Sousa, the Subchapter V Trustee for the bankruptcy estate of Charles Collantes Macawile, asks the U.S. Bankruptcy Court for the Eastern District of California to authorize the sale of the real property located at 5412 Kiernan Ave., in Salida, California, to Northcastle, LLC for $1.6 million cash, subject to higher and better bids. A hearing on the Motion is set for March 11, 2021, at 10:30 a.m. The Trustee has determined that it would be in the best interest of the estate to sell the Property. To assist him with marketing, negotiating and closing a sale of the Property, the Trustee entered into that Commercial and Residential Income Listing Agreement with Corcoran Commercial. On Jan. 26, 2021, Northcastle tendered an offer to purchase the Property for a cash price of $1.6 million, which offer the Trustee accepted, subject to a number of amendments. Through the Purchase Agreement, inter alia, Northcastle has waived any and all contingencies, and is purchasing the Property "as-is, where-is," and without any warranties. Northcastle and its real property broker, as provided for in the Addendum to the Purchase Agreement, appreciate that the sale of the Property is subject to the Court's approval, and higher and better bids, at an auction to be conducted by the Court on the date of the hearing on the Motion. Northcastle's offered purchase price for the Property is sufficient to pay all known liens and encumbrances on the Property, as well as the closing and escrow costs that the estate is responsible for under the Purchase Agreement. The Broker has received interest from parties other than Northcastle regarding the purchase of the Property, and believes there could be at least one further party interested in purchasing the Property. To that end, the Trustee submits that it is appropriate to hold an auction at the sale hearing on the Motion for the Property if any potential overbidder submits to the Broker, Jeremy Williams of Corcoran Commercial, at jwilliams@corcorangl.com, an overbid of at least $1.65 million, all-cash upon closing, on substantially the same terms as the Purchase Agreement, and to be submitted with a $100,000 good faith deposit on or before March 5, 2021. If no higher or better offer is presented by March 5, 2021, and the Purchase Agreement remains unmodified, the Trustee asks authority to consummate the sale on the basis of the Purchase Agreement. The Purchase Agreement requires that the Property be transferred to Northcastle (or an overbidder) free and clear of all rights, claims, liens, leases, and interests. The Trustee is in possession of a Preliminary Report that lists two creditors with a lien against the Property. There are outstanding county real property taxes owed to the Stanislaus County Tax Collector in the approximate amount of $8,077 for the 2020-2021 tax years. There is a deed of trust in favor of Iron Oak Home Loans, Inc. dated Sept. 6, 2018, which the Trustee estimates will total approximately $1,328,843 on the date of the closing of the proposed sale. The Trustee has not found the Property to be subject to any leases, and the Debtor's schedules do not list any leases against the Property. The Trustee estimates that the closing costs that the estate will be responsible for under the Purchase Agreement will total approximately $4,600. Pursuant to the Listing Agreement, and as set forth in that Application for Authorization to Employ Real Estate Broker (Corcoran Commercial), the brokers' commissions from the sale as set forth in the Purchase Agreement totals $88,000 (5.5% of the sale amount). The sale price of $1.6 million under the Purchase Agreement is sufficient to pay the tax liens against the Property, the estate's portion of the closing costs, and the brokers' commissions, which together will be approximately $100,677, and sufficient sale proceeds would remain ($1,499,323) to pay the only other secured claim against the Property, that of Iron Oak ($170,480 would remain after payment of all closing costs and liens against the Property). Through the Motion, the Trustee asks that the following amounts be allowed to be paid directly from escrow: a. Any and all taxes owed to the Stanislaus County Tax Collector for taxes on the Property in the estimated amount of $8,077; b. Any and all closing costs that the estate is responsible for in the estimated amount of $4,600; and c. The commissions owed to the real property brokers (i.e., Corcoran Commercial and Century 21 MM) in the estimated amount of $88,000 (5.5% of the sale price). The liens of Iron Oak and any holders of creditor claims against and equity interest related to the Property will attach to the net proceeds of the proposed sale in the same nature, priority, extent and validity that they had against the Property, and subject to further order of the Court. The net proceeds of the sale will be transferred to a blocked account established by the Trustee, with no transfers from the account except upon further order of the Court. Northcastle has informed the Trustee that time is of the essence in closing the proposed sale given its intended use of the Property. As the Trustee is only requesting that real property taxes, normal closing costs, and broker commissions be paid from the sale proceeds, with all other rights, claims, interest and leases attaching to the net sale proceeds, which net sale proceeds will be held in a blocked account pending further order of the Court, no party-in-interest is prejudiced by the Court's waiving of the 14 day stay. In fact, waiver of the stay ensures the receipt of $1.6 million in cash to the estate just days after the sale hearing. Counsel for Trustee: Ronald A. Clifford, Esq. Shanon J. Slack, Esq. BLAKELEY LLP 18500 Von Karman Ave., Suite 530 Irvine, CA 92612 Telephone: (949) 260-0611 Facsimile: (949) 260-0613 E-mail: RClifford@BlakeleyLLP.com SSlack@BlakeleyLLP.com Charles Collantes Macawile, Jr. sought Chapter 11 protection (Bankr. E.D. Cal. Case No. 20-90435) on June 22, 2020. The Debtor tapped David Johnston, Esq., as counsel. CHIP'S SOUTHINGTON: Seeks to Hire Premier Tax as Accountant ----------------------------------------------------------- Chip's Southington, LLC seeks approval from the U.S. Bankruptcy Court for the District of Connecticut to employ Premier Tax Consultant, LLC as its accountant. The firm's services will include: a. assisting the Debtor in the preparation of tax returns; b. assisting in the preparation of any additional required reports, including monthly operating reports; c. advising the Debtor in any applications for a Paycheck Protection Program loan; and d. other accounting services as directed by the court, the Debtor or the Debtor's legal counsel. The firm will be paid at an hourly rate of $250 and will be reimbursed for out-of-pocket expenses incurred. Premier Tax Consultant received a retainer in the amount of $750 from the Debtor. Cynthia Vassilowitch, a partner at Premier Tax Consultant, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached as: Cynthia Vassilowitch Premier Tax Consultant, LLC 56 Sperry Road Bethany, CT 06524 Tel: (203) 687-6373 Fax: (866) 235-0548 About Chip's Southington Southington, Conn.-based Chip's Southington LLC is a privately owned restaurant founded in 1966. It conducts business under the name Chip's Family Restaurant. Chip's Southington filed a Chapter 11 petition (Bankr. D. Conn. Case No. 20-21458) on Dec. 29, 2020. In its petition, the Debtor estimated $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Judge James J. Tancredi presides over the case. Green & Sklarz LLC is the Debtor's bankruptcy counsel. The Debtor tapped the law firms of DanaherLagnese, PC, Kanner & Whiteley, LLC and Sweeney Merrigan Law, LLP as its special counsel. CHIP'S SOUTHINGTON: Seeks to Hire Special Counsel in Kaiaffa Suit ----------------------------------------------------------------- Chip's Southington, LLC seeks approval from the U.S. Bankruptcy Court for the District of Connecticut to employ the law firms of DanaherLagnese, PC, Kanner & Whiteley, LLC and Sweeney Merrigan Law, LLP as its special counsel. The Debtor needs legal assistance in the insurance lawsuit styled Kaiaffa, LLC, et al. v. Twin City Fire Insurance Company, et al. (Case No. HHD-CV20-6134789-S) pending in the Hartford Superior Court. The Debtor will pay the firms a contingency fee of 20 percent to 40 percent of the amount recovered from the suit. The firms are "disinterested" as the term is defined in Section 101(14) of the Bankruptcy Code, according to court papers filed by the firm. The firms can be reached at: DanaherLagnese, P.C. 21 Oak St Suite 700 Hartford, CT 06106 Tel: (860) 247-3666 -and- Kanner & Whiteley, L.L.C. 701 Camp St. New Orleans, LA 70130 Tel: (504) 524-5777 -and- Sweeney Merrigan Law, L.L.P., 268 Summer St. Boston, MA 02210 Tel: (617) 944-5134 About Chip's Southington Southington, Conn.-based Chip's Southington LLC is a privately owned restaurant founded in 1966. It conducts business under the name Chip's Family Restaurant. Chip's Southington filed a Chapter 11 petition (Bankr. D. Conn. Case No. 20-21458) on Dec. 29, 2020. In its petition, the Debtor estimated $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Judge James J. Tancredi presides over the case. Green & Sklarz LLC is the Debtor's bankruptcy counsel. The Debtor tapped the law firms of DanaherLagnese, PC, Kanner & Whiteley, LLC and Sweeney Merrigan Law, LLP as its special counsel. CRAZY CAT: Unsecured Creditors to Recover 100% Over Time -------------------------------------------------------- Crazy Cat Cyclery filed a Small Business Chapter 11 Subchapter V Plan and Disclosure Statement. The Company, which runs a bicycle shop, has seen its business surge during the Covid-19 pandemic. While inventory levels are limited, its service and repair business has tripled. General unsecured creditors are classified in Classes 5 through 7 and will receive a distribution of 100% of their allowed claims. The claims include the non-priority unsecured claim include Giant Bicycle, Inc., in the approximate amount of 238,913 in Class 6, and the non-priority unsecured claims of Specialized Bicycle Components, Inc., in the approximate amount of $15,346 in Class 7. On the Effective Date, Classes 6 and 7 will be paid 2% of the allowed unsecured claim of each unsecured creditor in the Class. On the first through the fifth anniversary date of the Effective Date, the Debtor will pay a similar 2% distribution to each of these creditors. If the Debtor has surplus funds available for the prior year's operations, the Debtor will pay 10% of the allowed unsecured claim one week after the anniversary date of the Effective Date. After the fifth year anniversary date, the Debtor shall pay any remaining balance due of these general unsecured claims if profits from the five prior years' operations have generated sufficient profits in order to do so. Roberto Barrio shall contribute a minimum of $10,000 on the Effective Date to assure the initial payments due under the Plan can be funded. The Debtor has funds in the Bank as of the filing date of the Plan and anticipates the ability to generate profits as reflected in the Projections. A full-text copy of the Disclosure Statement dated January 27, 2021, is available at https://bit.ly/3pBvs8n from PacerMonitor.com at no charge. Attorney for the Debtor: Corey W. Haugland JAMES & HAUGLAND. P.C. 609 Montana Avenue El Paso, Texas 79902 Tel: (915) 532-3911 Fax: (915) 541-6440 About Crazy Cat Cyclery Crazy Cat Cyclery, LLC, owns a bicycle sales and repair business in El Paso, Texas. The business is run and was founded by Roberto Barrio in 1995. The business had four locations, with the central hub located at 2800 N. Stanton Street. Based in El Paso, Texas, Crazy Cat Cyclery, LLC filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Tex. Case No. 19-31773) on Oct. 25, 2019. At the time of the filing, the Debtor had estimated assets of between $100,001 and $500,000 and liabilities of between $500,001 and $1 million. Judge H. Christopher Mott oversees the case. The Debtor tapped James & Haugland, P.C. as its legal counsel and Phillips & Baca, P.C. as its accountant. CSI COMPRESSCO: S&P Affirms 'B-' ICR on Acquisition by Spartan -------------------------------------------------------------- S&P Global Ratings affirmed its 'B-' issuer credit rating on CSI Compressco LP. The issue-level ratings are unchanged. S&P said, "We rate the 2022 senior unsecured notes 'CCC'. The recovery rating on this debt is '6', reflecting our expectation for negligible recovery (0%-10%; rounded estimate 0%) in the event of a payment default. We rate the 2025 first-lien notes 'B+'. Our '1' recovery rating on this debt indicates our expectations for very high recovery (90%-100%; rounded estimate: 95%). We rate the 2026 second-lien notes 'CCC+'. Our recovery rating '5' indicates modest recovery (10%-30%; rounded estimate: 15%) in the event of a payment default. The stable outlook reflects our expectation that CSI Compressco will maintain debt to EBITDA of about 6x and have adequate liquidity over the next 12 months. We anticipate CSI to address its $81 million 2022 maturities before August 2021 when the debt becomes current." S&P said, "The affirmation of our 'B-' issuer credit rating on CSI Compressco follows its acquisition by Spartan Energy Partners. Spartan acquired 100% of the membership interests in CSI Compressco LP's general partner (GP) including incentive distribution rights, as well as an approximate 23% economic interest in CSI's limited partnership. Following the acquisition, we expect CSI will maintain adjusted debt to EBITDA of about 6x in 2020 and 2021, consistent with our previous forecast for the partnership." Spartan Energy Partners is a Houston–based partnership that provides natural gas treating, processing, and compression services primarily in the Haynesville and Eagle Ford basins in the U.S. It also has operations in Latin America and Egypt. Spartan's parent Silverhawk Capital Partners effectively owns 16% of CSI through its partial ownership of Spartan. S&P said, "We view Silverhawk as a financial sponsor because it is a private equity firm focused on returns. Pro forma for the transaction, CSI will make up the majority of Spartan's consolidated cash flows. Additionally, Spartan has effective control of CSI through the ownership of the CSI's GP. Therefore, we believe Spartan will support CSI in periods of stress." S&P said, "The stable outlook reflects our expectation that CSI will maintain debt to EBITDA ratio of about 6x and have adequate liquidity over the next 12 months despite the potential for reduced demand for compression services. We also anticipate CSI to repay or refinance its outstanding $81 million 2022 notes before August 2021 when the debt becomes current. "We could lower the rating if we viewed the partnership's capital structure as unsustainable or if we viewed liquidity as less than adequate. This could occur if industry conditions significantly weaken, or if CSI is unable to repay or refinance its 2022 notes before the debt becomes current. "Although unlikely at this time, we could take a positive rating action if the partnership can maintain debt to EBITDA below 5x on a sustained basis, while maintaining adequate liquidity, growing in scale, and improving its utilization to the 90% area. This could occur if industry conditions improve, resulting in greater demand for the partnership's equipment." D. J. GUZZARDO: Addresses IRS Objections to Plan ------------------------------------------------ D. J. Guzzardo, Inc., made immaterial modifications to the First Amended Chapter 11 Small Business Disclosure Statement and First Amended Plan of Reorganization to cure the objection filed by the Internal Revenue Service as follows. The immaterial modifications provide: * All unsecured priority tax claims will be paid within 36 months after the Plan Confirmation Order is entered into the record of this proceeding. Payments shall begin within 30 days of the entry of the Plan Confirmation Order and the 15th day of each successive month thereafter. * The Plan allows any holder of an Allowed Claim to notify the Debtor in writing of a default under the Plan. Should the Debtor fail to adequately and properly account for the Estate Proceeds in a timely manner as herein provided, or should the Debtor make distributions that are not in accordance with the Plan or Court Orders, the United States Trustee or his representative, upon 20 days written notice to all parties in interest, the Court and Debtor's Counsel, may seek an order of the Court to remedy and/or cure any such deficiency pursuant to this Plan. * If the reorganized debtor substantially defaults on the plan payments due to the IRS, the outstanding balance is immediately due and payable. Payment shall be for the entire amount owed to the IRS under the plan. The IRS may collect these unpaid tax liabilities through the administrative collection provisions of the Internal Revenue Code." * Beginning on the 30th day after the entry of the Plan Confirmation Order and on the 15th day of each successive month thereafter, Debtor will pay the IRS priority claim of $68,953.15 plus interest at the Statutory Rate in 36 equal monthly installments. The statutory rate provides for compound interest at the IRS rate the month of Confirmation. As of the first quarter 2021, the rate is 3%. About D.J. Guzzardo D.J. Guzzardo, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. La. Case No. 20-10141) on Jan. 20, 2020. At the time of the filing, the Debtor disclosed assets of between $500,001 and $1 million and liabilities of the same range. Phillip K. Wallace, Esq., is the Debtor's legal counsel. DEAN & DELUCA: Thai Bank Takes 26.5% Stake in U.S. Chain -------------------------------------------------------- Marimi Kishimoto of Nikkei Asia reports that Siam Commercial Bank, one of the largest banks in Thailand and whose largest individual shareholder is King Maha Vajiralongkorn, said Monday, February 1, 2021, it has secured a 26.49% stake in upscale grocer Dean & DeLuca by converting debt held in the U.S.-based company. The stake acquisition results from a debt-to-equity option exercised for a $45.83 million loan extended to Dean & DeLuca. The chain filed for Chapter 11 bankruptcy protection in a U.S. court last March 2020. Thai property group Pace Development bought Dean & DeLuca in 2014 and placed the company under its Pace Food Retail subsidiary. But the parent's real estate operations caused finances to sour, leading to a business failure last April. Pace is undergoing a restructuring, and was unable to meet debt obligations. On Monday, Feb. 1, 2021, Pace reported to the Stock Exchange of Thailand that Dean & DeLuca "has fully fulfilled conditions for completion of the business rehabilitation plan" stipulated by the Chapter 11 bankruptcy proceedings. Pace Food Retail now owns 73.51% of Dean & DeLuca while Siam Commercial Bank owns the rest. Pace has scaled down Dean & DeLuca's U.S. operations. The parent's business issues will not impact Dean & DeLuca locations in Japan, since the brand is managed locally by Welcome, a group company under the Tokyo-based retailer Oisix ra daichi. About Dean & Deluca New York Dean & DeLuca New York, Inc., is a multi-channel retailer of premium gourmet and delicatessen food and beverage products under the Dean & DeLuca brand name. It traces its roots to the opening of the first Dean & DeLuca store in the Soho district of Manhattan, New York City by Joel Dean and Giorgio DeLuca in 1977. Affiliate Dean & DeLuca, Inc. was incorporated in Delaware in 1999. On Sept. 29, 2014, Pace Development Corporation, through its wholly owned subsidiary, Pace Food Retail Co., Ltd., acquired 100% of the shares of Dean & DeLuca, Inc. from its then shareholders. Dean & DeLuca New York and six affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 20-10916) on March 31, 2020. At the time of the filing, the Debtors had estimated assets of between $10 million and $50 million and liabilities of between $100 million and $500 million. The Debtors tapped Brown Rudnick LLP as their legal counsel, Stretto as claims and noticing agent, and Saul Ewing Arnstein & Lehr LLP as special counsel. The U.S. Trustee for Region 2 appointed a committee to represent unsecured creditors in Debtors' bankruptcy cases. The committee is represented by Arent Fox, LLP. DECO ENTERPRISES: $9.47M Unsecured Claims to Recover 5% in Plan --------------------------------------------------------------- Deco Enterprises, Inc., submitted a Chapter 11 Plan and a Disclosure Statement. The Debtor has proposed a reorganizing plan. Deco proposes to restructure its debts through the Plan and accomplish payments under the Plan with cash on hand in the debtor-in-possession account and with income generated through its business operations. The effective date of the Plan is 45 days following entry of a final roder confirming the Plan. The Debtor does not own any real estate. The Debtor's assets consist of funds on deposit, accounts receivable, inventory, two vehicles, machinery, fixtures, equipment and furniture, intellectual property, and a claim against Benjamin Pouladian. According to the bankruptcy schedules, the estimated fair market value of the estate's assets was $4.35 million as of the Petition Date, excluding the value of the OP and the POuladian claim. According to its bankruptcy schedules, Deco had secured claims approximating $2.73 million, priority claims totaling $100,817, and general unsecured claims approximating $11.6 million as of the Petition Date. Under the PLan, the secured claims of Paragon, Crossroads, and ABS Capitol are unimpaired. The general unsecured claims of the active sales representative agencies in Class 4 will receive a dividend of 100% of their claims paid in 18 equal monthly installments of approximately $21,057.60 each commencing on the first day of the first full month after Effective Date. The general unsecured claims of SB Associates totaling $97,496 in Class 5 will receive a dividend of 100% of their claims paid in 18 equal monthly installments of approximately $737.62 each, commencing on the first day of the first full month after the Effective Date. The general unsecured claims of the customer warranty claimants totaling $86,438 in Class 6 will receive a dividend of 100% of their claims paid in 18 equal monthly installments of approximately $4,802 each, commencing on the first day of the first full month after effective date. General unsecured creditors with claims totaling $9,466,322 in Class 7 will receive a dividend of 5% of their claims paid in 60 equal monthly installment of $7,888.60 each, commencing on the first day of 6th full month after the effective date, and will receive 100% of the net recovery realized by the Deco estate form the Pouladian Lititgation, after payment with such dividend combined with the monthly installments not to exceed the allowed amount of each claimant's claim. The shares of Babak Sinai, Saman Sinai, Siamak Sinai, and Benjamin Pouladian will be canceled and stock in reorganized debtor will be issued in the name of the new value contributors. The Plan will be funded by (a) cash on hand ($218,148 as of Dec. 31, 2020); (b) $2.45 million in new investor capital to be arranged by Babak Sinai and Siamak Sinai; (c) availability under the Paragon and Crossroads agreement; (d) net monthly income from operation of Deco's business averaging $257,774. during the term of the plan A full-text copy of the Disclosure Statement dated January 27, 2021, is available at https://bit.ly/2MEwGku from PacerMonitor.com at no charge. General Insolvency Counsel for the Debtor: Raymond H. Aver LAW OFFICES OF RAYMOND H. AVER A Profession Corporation 10801 National Boulevard, Suite 100 Los Angeles, California 90064 Telephone: (310) 571-3511 Email: ray@averlaw.com About Deco Enterprises Deco Enterprises, Inc., manufactures lighting fixtures and systems. Deco Enterprises filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 20-11846) on Feb. 20, 2020. In the petition signed by Babak Sinai, president/chief executive officer, the Debtor was estimated to have $1 million to $10 million in assets and $10 million to $50 million in liabilities. The Honorable Sheri Bluebond oversees the case. Raymond H. Aver, Esq., at the Law Offices of Raymond H. Aver, APC, is the Debtor's counsel. Mousavi & Lee, LLP, is the special corporate and litigation counsel. DERISO DEVELOPMENT: Voluntary Chapter 11 Case Summary ----------------------------------------------------- Debtor: DeRiso Development, L.L.C. 835 Station Drive Suite 101 Arlington, TX 76015 Business Description: DeRiso Development, L.L.C. is engaged in activities related to real estate. Chapter 11 Petition Date: February 1, 2021 Court: United States Bankruptcy Court Northern District of Texas Case No.: 21-40222 Debtor's Counsel: Lee Stringham, Esq. HIXSON & STRINGHAM, PLLC 2705 S. Cooper St. Suite 300 Arlington, TX 76015 Tel: 817-261-5000 Email: lee@hixsonstringham.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Robert C. Barton, manager. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/PYFM6QA/DeRiso_Development_LLC__txnbke-21-40222__0001.0.pdf?mcid=tGE4TAMA DIRECT TO YOUR DOOR: Seeks to Hire Eric A. Liepins as Counsel ------------------------------------------------------------- Direct to Your Door, Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of Texas to employ Eric A. Liepins, P.C. to handle its Chapter 11 case. The firm will be paid at these rates: Attorneys $275 Paralegals $30 to $50 The firm will be paid a retainer in the amount of $5,000 and will be reimbursed for out-of-pocket expenses incurred. Eric Liepins, Esq., disclosed in a court filing that his firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Eric A. Liepins, Esq. Eric A. Liepins, P.C. 12770 Coit Road, Suite 1100 Dallas, TX 75251 Tel: (972) 991-5591 Fax: (972) 991-5788 About Direct to Your Door Direct to Your Door, Inc. filed a Chapter 11 bankruptcy petition (Bankr. E.D. Texas Case No. 21-40122) on Jan. 26, 2021. At the time of the filing, the Debtor had estimated assets of less than $50,000 and liabilities of between $100,001 and $500,000. The Debtor tapped Eric A. Liepins, P.C. as its legal counsel. DIVERSIFIED POWER: Seeks to Hire Davis Ermis as Bankruptcy Counsel ------------------------------------------------------------------ Diversified Power Systems, Inc. seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Davis Ermis & Roberts, P.C. as its legal counsel. The firm's services will include: (a) advising the Debtor regarding its powers and duties in the continued operation of its business and management of its property; (b) preparing legal papers; and (c) other legal services necessary to administer the Debtor's Chapter 11 case. The firm will be paid at these rates: Attorneys $400 per hour Legal Assistants $150 per hour The firm will also be reimbursed for out-of-pocket expenses incurred. Craig Davis, Esq., a partner at Davis Ermis, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Davis Ermis can be reached at: Craig D. Davis, Esq. Davis Ermis & Roberts, P.C. 1010 N. Center, Suite 100 Arlington, X 76011 Tel: (972) 263-5922 Fax: (972) 262-3264 Email: davisdavisandroberts@yahoo.com About Diversified Power Systems Diversified Power Systems filed a Chapter 11 bankruptcy petition (Bankr. N.D. Texas Case No. 21-40034) on Jan. 7, 2021. At the time of the filing, the Debtor had estimated assets of between $100,001 and $500,000 and liabilities of between $500,001 and $1 million. Judge Mark X. Mullin oversees the case. The Debtor is represented by Davis Ermis & Roberts, P.C. DIVINIA WATER: Seeks to Hire Parsons Behle as Legal Counsel ----------------------------------------------------------- Divinia Water, Inc. seeks approval from the U.S. Bankruptcy Court for the District of Idaho to employ Parsons Behle & Latimer as its legal counsel. The firm's services will include: (a) advising the Debtor and taking necessary actions at the Debtor's direction to protect the estate, including the defense of any actions commenced against the Debtor, the negotiation of disputes in which the Debtor is involved, and the preparation of objections to claims filed against the estate; (b) preparing legal papers; (c) taking all necessary actions in connection with a Chapter 11 plan of reorganization, disclosure statement and all related documents; (d) taking all necessary actions in connection with the Debtor's reorganization and operations, including documentation; and (e) other legal services necessary to administer the Debtor's Chapter 11 case. Parsons Behle will be paid at the rates of $265 to $360 per hour, and a retainer in the amount of $50,000. The firm will also be reimbursed for out-of-pocket expenses incurred. Brian Rothschild, Esq., a partner at Parsons Behle, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Parsons Behle can be reached at: Brian M. Rothschild, Esq. Christina W. Hardesty, Esq. Parsons Behle & Latimer 350 Memorial Drive, Suite 300 Idaho Falls, ID 83402 Tel: (208) 562-4900 Fax: (208) 562-4901 Email: BRothschild@parsonsbehle.com CHardesty@parsonsbehle.com About Divinia Water Inc. Divinia Water, Inc. filed a Chapter 11 bankruptcy petition (Bankr. D. Id. Case No. 21-40059) on Jan. 27, 2021. At the time of the filing, the Debtor had estimated assets of between $100,001 and $500,000 and liabilities of between $500,001 and $1 million. Judge Joseph M. Meier oversees the case. The Debtor tapped Parsons Behle & Latimer as its legal counsel. DON BETOS TACOS-CLAYTON: Follows Raleigh Location in Chapter 11 --------------------------------------------------------------- Lauren Ohnesorge of the Triangle Business Journal reports that Clayton, North Carolina taco spot, Don Beto's Tacos Y Tequila, has filed for bankruptcy just months after its Raleigh location sought Chapter 11 protection. The latest bankruptcy petition estimates the restaurant's assets at just under $30,000. That's as its debts add up to more than $107,000, according to the filing. The financial trouble could be a consequence of the pandemic, as the filing shows a major revenue decline in 2020. In 2019, the restaurant inked nearly $972,000 in gross revenue. In 2020, however, the total was under $434,000. So far in 2021, the restaurant has made about $57,600, according to the filing. In November, the restaurant's Raleigh location filed for Chapter 11 bankruptcy protection. Attorney Bill Janvier said at the time the restaurant had no plans to close -- the restaurant remains open. About Don Beto's Tacos Y Tequila Beto's Tacos Y Tequila is a Mexican restaurant in Clayton and Raleigh, North Carolina. Don Beto's Bryan Flores, company president, operates both locations and is listed in both filings. The pandemic has been exceptionally hard on restaurants, as shutdown orders and capacity limits have severely disrupted business. Don Betos Tacos-Raleigh Inc. filed a Chapter 11 petition (Bankr. E.D.N.C. Case No. 20-03662) on Nov. 17, 2020, listing less than $100,000 in assets and at least $100,000 in liabilities. Don Betos Tacos-Clayton Inc., operator of a Don Betos at 10376 US 70 Business in Clayton, sought Chapter 11 protection (Bankr. E.D.N.C. Case No. 21-00168) on Jan. 28, 2021, estimating less than $50,000 in assets and less than $500,000 in liabilities. Judge Stephani W. Humrickhouse oversees the cases. William P. Janvier, Esq., at Janvier Law Firm, PLLC, represents the Debtors. DON BETOS: Files Emergency Bid to Use Cash Collateral ----------------------------------------------------- Don Betos Tacos-Clayton Inc. asks the U.S. Bankruptcy Court for the Eastern District of North Carolina, Raleigh Division, for authority to use cash collateral pursuant to 11 U.S.C. section 363 to pay ordinary operating expenses. Don Betos says a review of the North Carolina Secretary of State's UCC filings reveals four financing statements which might perfect a lien on cash collateral. From first in time to most recent, they are: a. File # 20160041129H dated 04/25/2016, in favor of US Foods, Inc. b. File # 20180107198J dated 10/18/2018, in favor of ASSN Company. c. File # 20190069678K dated 06/28/2019, in favor of PeopleCredit. d. File # 20200036139H dated 04/03/2020, in favor of First Data Merchant Services, LLC. These potentially secured parties have not yet consented to the Debtor's use of cash collateral. The Debtor currently has $6,400 in its pre-petition bank account and $6,000 in inventory. The Debtor believes it can be operated profitably and emerge successfully from Chapter 11. A copy of the motion is available for free at https://bit.ly/3oAM1A3 from PacerMonitor.com. About Don Betos Tacos-Clayton Inc. Don Betos Tacos-Clayton Inc. operates a restaurant located at 10376 US 70 Business in Clayton, North Carolina. It sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.C. Case No. 20-03662) on Nov. 17, 2020, listing under $1 million in both assets and liabilities. Judge Stephani W. Humrickhouse oversees the case. JANVIER LAW FIRM, PLLC represents the Debtor as counsel. DOS POTRILLOS: Seeks to Hire Vista Sotheby's as Real Estate Broker ------------------------------------------------------------------ Dos Potrillos LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ Vista Sotheby's SIR as its real estate broker. The Debtor needs a real estate broker to assist in the sale of its real property located at 329 W Magnolia, Compton, Calif. Vista Sotheby's will be paid a commission of 5 percent of the gross sales price. Bryan Dean, associate broker at Vista Sotheby's, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Vista Sotheby's can be reached at: Bryan Dean Vista Sotheby's SIR 2501 N. Sepulveda Boulevard, 2nd FL Manhattan Beach, CA 90266 Tel: (310) 650-1078 About Dos Potrillos LLC Long Beach, Calif.-based Dos Potrillos LLC filed a Chapter 11 petition (Bankr. C.D. Calif. Case No. 20-20771) on Dec. 7, 2020. In the petition signed by David Romero, manager, the Debtor had estimated assets of less than $50,000 and liabilities of between $1 million and $10 million. Judge Barry Russell oversees the case. Ure Law Firm serves as the Debtor's bankruptcy counsel. DRC III: Gets OK to Hire Turner Legal Group as Counsel ------------------------------------------------------ DRC III, LLC and its affiliates received approval from the U.S. Bankruptcy Court for the District of Nebraska to hire Turner Legal Group, LLC as their legal counsel. The firm's services include: a. advising the Debtors with respect to their powers and duties in the continued management and operation of their businesses and properties; c. attending meetings and negotiating with creditors and other parties in interest; d. taking all necessary actions to protect and preserve the Debtors' assets, including the prosecution of actions on behalf of the Debtors' estates, the defense of any actions commenced against the Debtors' estates, negotiations concerning litigation in which the Debtors may be involved, and objections to claims filed against the estates; e. preparing legal papers; f. taking any necessary action to obtain approval of a disclosure statement and confirmation of a Chapter 11 plan of reorganization; g. representing the Debtors in connection with any potential post-petition financing; h. court appearances; and i. other necessary legal services in connection with the Debtors' Chapter 11 cases and reorganization. The firm received a retainer in the amount of $25,000. Turner Legal Group is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code, according to court papers filed by the firm. The firm can be reached through: Patrick R. Turner, Esq. Turner Legal Group, LLC 139 S. 144th Street, #665 Omaha, NE 68010 Tel: (402) 690-3675 Email: pturner@turnerlegalomaha.com About DRC III DRC III and affiliates own and operate the Dismal River Club or DRC in Mullen, Neb. Established in 2006, the DRC has attracted golfers from across the country and around the globe to the hills of Western Nebraska to experience the Debtors' world class hunting, fishing outdoor excursions, lodging amenities, five-star dining, spa services and two highly rated golf courses. It is a vitally important part of the economy of Mullen, Nebraska. DRC III and affiliates filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Neb. Case No. 21-80011) on Jan. 7, 2021. At the time of the filing, DRC III disclosed assets of between $10,000,001 and $50 million and liabilities of the same range. Judge Brian S. Kruse oversees the cases. Turner Legal Group, LLC is the Debtors' legal counsel. EASTERDAY RANCHES: Files for Chapter 11 Amid Lawsuit ---------------------------------------------------- Thomas Clouse of The Spokesman-Review reports that one of the biggest farming and ranching families, owner of Easterday Farms Inc., in Washington filed for Chapter 11 bankruptcy protection Monday, February 1, 2021, after Tyson Foods Inc. previously alleged in court records the family defrauded it of more than $225 million related to 200,000 cattle that never existed. The modern-day cattle rustling case is alleged in a civil suit in state court filed last December 2020 by Tyson Foods against Easterday Ranches Inc. The lawsuit was joined Monday, February 1, 2021, by Spokane-based Washington Trust Bank. An attorney for the bank told a judge Monday the Easterday family has been transferring assets and selling collateral in violation of its loan agreement. At the hearing Monday, Feb. 1, 2021, in Pasco, Franklin County Superior Court Judge Samuel Swanberg approved Washington Trust's request for a temporary restraining order against a separate entity, Easterday Farms Inc., to prevent it from selling crops or assets in violation of the loan agreement with the bank. The flurry of legal activity surrounds the Pasco-based Easterday family, which for decades has operated one of the largest agriculture operations in Washington, with more than 25,000 acres of farmland, a dairy operation, and thousands of feeder cattle. In a complaint filed last week, Tyson Foods alleged Easterday Ranches Inc. had defrauded the company over a period of years of more than $225 million by claiming to have purchased, fed, and provided about 200,000 cattle that never existed. It was seeking immediate legal intervention to protect another 54,000 head of Tyson-owned cattle in Easterday possession. For several years, Tyson Foods and the Easterday family, led by company president Cody Easterday, had provided a service by which Tyson would reimburse the Easterdays for the purchase and feeding costs of cattle housed in Easterday feedlots that were then provided to Tyson’s packing plant in Wallula. "President Cody Easterday admitted to the fraudulent scheme, and has explained that he concocted the scheme in order to offset over $200 million in losses he incurred in the commodities trading market," Tyson attorney Alan D. Smith wrote in the complaint. As of Oct. 3, 2020, Easterday Ranches claimed it had 186,000 cattle valued at about $321 million. Then in November and December, Tyson began to discover discrepancies, according to the suit. "Its investigation, including the admissions of Defendant's President Cody Easterday, showed there were over 200,000 head of cattle that Defendant reported to be in inventory, but which did not exist," Smith wrote. For several years, Easterday Ranches submitted fake invoices that appeared to show cattle and corresponding feed that were never purchased as part of a scheme "to defraud Plaintiff in a way that has caused Plaintiff losses of in excess of $225 million," the Tyson suit states. Smith, the Tyson attorney, attended the Monday hearing by phone. He told Judge Swanberg that his request to appoint a receiver to oversee the Easterday Ranches operations was moot, because he had just learned that the Easterdays had filed for Chapter 11 bankruptcy protection. "So, we do not believe you can go forward on the Tyson request," Smith told Judge Swanberg. "Our action, with the defendant in bankruptcy, is stayed." However, Washington Trust attorney Trevor Pincock, of the Spokane-based law firm Lukins & Annis, continued to seek to have the judge either appoint a receiver or issue a temporary restraining order against the other Easterday entity, Easterday Farms Inc., which is also based in Pasco. "We submit that there has been some diversions and transfer of funds of Washington Trust Bank collateral that causes us some concern," Pincock said. "What we don't want to happen is to have cash collateral and other crop inventory to be sold to someone who doesn't have a claim or a right to it." Online federal court records on Monday did not reflect the bankruptcy filing by Easterday Ranches Inc. However, the attorney representing the Easterdays, Thomas Buford, confirmed the filing and said that Easterday Farms Inc. was also in the process of filing for Chapter 11 bankruptcy protection. The Easterday family has "already put in independent management with full authority (to run the operations) with no connection to the Easterdays," Buford said. "I understand what Mr. Pincock is saying. But, we haven’t even been able to review the allegations." Swanberg then granted Pincock's request to place a temporary restraining order against the management of Easterday Farms Inc. to prevent any moves other than normal business operations. He set a hearing for the second week of February 2021. If Easterday Farms has not filed for federal bankruptcy protection by then, "We will move forward at that time and decide whether a receivership should be put in place and who it should be," Swanberg said. About Easterday Farms Easterday Farms is a family-owned and operated agricultural farm in Pasco, Washington. According to PacerMonitor.com, Easterday Ranches, Inc., doing business as Easterday Farms, filed a Chapter 11 bankruptcy petition (Bankr. E.D. Wash. Case No. 21-00141) on Feb. 1, 2021. T. Scott Avila and Peter Richter of Paladin Management Group, currently serving as co-CROs, signed the petition. The Debtor estimated at least $100 million in assets and liabilities in its bankruptcy filing. Pachulski Stang Ziehl & Jones LLP is the Company's bankruptcy counsel. Bush Kornfeld LLP is the Debtor's general and litigation counsel. Davis Wright Tremaine LLP is the special counsel. EBONY MEDIA: Gets OK to Hire Schwartz Associates as Appraiser ------------------------------------------------------------- Ebony Media Operations, LLC and Ebony Media Holdings, LLC received approval from the U.S. Bankruptcy Court for the Southern District of Texas to employ Schwartz Associates, LLC to conduct a valuation of their copyright assets. W. Marc Schwartz, chairman of Schwartz Associates who will lead the firm in the valuation of the Debtors' assets, will be paid at the rate of $550 per hour. The rates for professional staff and other experts who may assist him range from $195 to $405 per hour. Mr. Schwartz disclosed in a court filing that his firm does not hold any interest adverse to the Debtor or its estate. The firm can be reached through: W. Marc Schwartz, CPA Schwartz Associates, LLC 712 Main St., Suite 1830 Houston, TX 77002 Phone: +1 832-583-7021 Email: admin@schwartzassociates.us About Ebony Media Ebony Media Holdings LLC is the publisher of Black cultural magazines Ebony and Jet. Creditors Parkview Capital Credit Inc. and David M. Abner & Associates, Plum Studio filed involuntary Chapter 7 petitions against Ebony Media Operations, LLC, and Ebony Media Holdings LLC (Bankr. S.D. Texas Case Nos. 20-33665 and 20-33667) on July 23, 2020. The cases were converted to cases under Chapter 11 of the Bankruptcy Code on Sept. 3, 2020. The Hon. David R. Jones is the presiding judge. The Debtors tapped Pendergraft & Simon, LLP as their legal counsel, FTI Capital Advisors, LLC as investment banker, Doeren Mayhew, PC as tax accountant, and Schwartz Associates, LLC as appraiser. EVERGREEN MORTGAGE: $65K Orangeburg Property Sale to Robinson OK'd ------------------------------------------------------------------ Judge Lori V. Vaughn of the U.S. Bankruptcy Court for the Middle District of Florida authorized Evergreen Mortgage Notes, LLC's sale of the real property commonly known as 243 Eastwood Circle, in Orangeburg, Orangeburg County, South Carolina, TMS 0209-00-09-011.000, to Barbara Robinson for $64,500. A preliminary hearing on the Motion was held on Jan. 27, 2021. The sale is free and clear of all liens, claims, encumbrances and interests, with any outstanding property taxes owed on the Property being satisfied at closing. The Rule 6004(h) stay period of 14 days is waived. Subject to the entry of an order by the Court authorizing their employment, Keller Williams Palmetto and Linda Fischer, the real estate broker and agent, are permitted to receive 6% Broker Commission at closing. About Evergreen Mortgage Notes, LLC Evergreen Mortgage Notes, LLC is engaged in activities related to real estate. Evergreen Mortgage Notes, LLC sought Chapter 11 protection (Bankr. M.D. Fla. Case No. 20-07071) on Dec. 31, 2020. The Debtor listed total assets at $459,500 and total liabilities at $1,270,000. The Debtor tapped Andrew S. Ballentine, Esq., at de Beaubien, Simmons, Knight, Et Al. as counsel. The petition was signed by Marc Younger, CEO. FESTIVE WORKS: Auction of Substantially All Assets Set for March 3 ------------------------------------------------------------------ Judge John K. Sherwood of the U.S. Bankruptcy Court for the District of New Jersey authorized the bidding procedures proposed by Festive Works, LLC and affiliates in connection with the sale of substantially all assets to Temple Hill Partners, LLC and Temple Hill Associates, LLC for $3.5 million, subject to overbid. The Debtors are authorized to proceed with the Sale in accordance with the Bidding Procedures and are authorized to take any and all actions necessary or appropriate to implement the Bidding Procedures (subject to the terms thereof) in accordance with the following dates and deadlines: a. Entry of Bidding Procedures Order: Jan. 29, 2021 b. Deadline to Serve Sale Notice and Cure Notice: No later than three business days after entry of the Bidding Procedures Order c. Cure and Assignment Objection Deadline: No later than 10 days after service of the Cure Notice d. Bid Deadline: March 1, 2021, at 4:00 p.m. (ET) e. Sale Objection Deadline: March 1, 2021, at 4:00 p.m. (ET) f. Deadline to Notify Qualified Bidders and Select Starting Bid: March 2, 2021, at 10:00 a.m. (ET) g. Auction (if required): March 3, 2021, at 10:00 a.m. (ET) h. Deadline to object to (i) conduct of the Auction, and (ii) the proposed Sale Transaction if the Winning Bidder is not the Stalking Horse Bidder: March 5, 2021, at 4:00 p.m. (ET) i. Notice of Winning Bidder to be Filed: March 4, 2021, at 4:00 p.m. (ET) j. Deadline for Reply Pleadings in Support of Sale: March 8, 2021, at 4:00 p.m. (ET) k. Sale Hearing: March 9, 2021, at 10:00 a.m. (ET) k. Outside Closing Date of Sale: March 12, 2021 Other salient terms of the Bidding Procedures are: a. Initial Bid: $3.71 million b. Deposit: 10% of the proposed aggregate Purchase Price, but in no event will the deposit be less than $371,000 c. Bid Increments: $50,000 d. Expense Reimbursement: $45,000 If the Sellers do not receive a Qualified Bid with respect to the Purchased Assets other than the Stalking Horse Bid in accordance with the Bidding Procedures, the Sellers will not hold the Auction and the Stalking Horse Bidder will be deemed the Winning Bidder with respect to the Purchased Assets in accordance with the Bidding Procedures. In the event of a competing Qualified Bid with respect to the Purchased Assets, the Stalking Horse Bidder will be entitled, but not obligated, to submit subsequent Overbids, and, for purposes of evaluating the Overbids, the full amount of the Expense Reimbursement will be treated as equal to cash in the same amount. The Debtors' entry into the Stalking Horse Agreement is authorized and approved, and will be deemed a Qualified Bid, subject to higher and better offers at the Auction regarding the Purchased Assets in accordance with the Bidding Procedures. The Expense Reimbursement for the Stalking Horse Bidder is approved. The Debtors are authorized to pay any amounts that may become due to the Stalking Horse Bidder on account of the Expense Reimbursement on the terms set forth in the Stalking Horse Agreement. The Stalking Horse Bidder will be granted an allowed administrative expense claim under sections 503(b)(1) and 507(a)(2) of the Bankruptcy Code in an amount equal to the Expense Reimbursement, up to $45,000, to the extent it becomes due in accordance with the terms of the Stalking Horse Agreement, which (if triggered) will be payable in accordance with the terms of the Stalking Horse Agreement, without further order of or proceedings before the Court. Any deposit provided by the Stalking Horse Bidder and all other Qualified Bidders will be held in escrow by the Debtors or their agent, and will not become property of the Debtors' bankruptcy estates unless and until released from escrow to the Debtors pursuant to the terms of the applicable escrow agreement, the Bidding Procedures, or order of the Court. Unity Bank's right to credit bid is preserved. The Notice of Proposed Sale of Certain Assets, Auction Date, Objection Deadline and Sale Hearing is approved. The Debtors shall, within three business days after entry of the Order, serve a copy of the Sale Notice upon all Sale Notice Parties. Additionally, within seven days after entry of the Order, or as soon as reasonably practicable thereafter, the Debtors will publish a notice, setting forth the information contained in the Sale Notice, on one occasion, in either The Star Ledger, The New York Times, or Wall Street Journal. Such publication notice will be deemed sufficient and proper notice of the Sale to any other interested parties whose identities are unknown to the Debtors. The Notice of Assumption and Cure Amount with Respect to Executory Contracts or Unexpired Leases Potentially to be Assumed and Assigned in Connection with Sale of Debtors' Assets is approved. The Debtors shall, within three business days of the entry of the Order, serve the Cure Notice upon the Contract Parties. The Cure and Assignment Objection Deadline is 10 days from service of the Cure Notice. Notwithstanding the possible applicability of Bankruptcy Rules 6004(h) or 6006(d), or otherwise, the terms and conditions of the Order will be immediately effective and enforceable upon entry. A copy of the Bid Procedures is available at https://tinyurl.com/yy9j67h9 from PacerMonitor.com free of charge. About Festive Works, LLC Festive Works, LLC sought Chapter 11 protection (Bankr. D. N.J. Case No. 21-10445) on Jan. 20, 2021. The case is assigned to Judge John K. Sherwood. The Debtor assets and liabilities in the range of $1 million to $10 million. The Debtor tapped John S. Mairo, Esq., at Porzio, Bromberg & Newman, P.C. as counsel. M. Greenwald Associates LLP serves as the Debtor's Financial Advisor. The petition was signed by Agapios Kyritsis, member. FIGR BRANDS: Gets Initial Order Under CCAA; FTI Named Monitor ------------------------------------------------------------- Pyxus International Inc.'s FIGR Brands Inc., Canada's Island Garden Inc., and FIGR Norfolk Inc. sought and obtained an order from the Ontario Superior Court of Justice under the Companies' Creditors Arrangement Act. The Initial Order provides, among other things, a stay of proceedings until Jan. 29, 2021 which may be extended by the Court from time to time. FTI Consulting Canada Inc. has been appointed as monitor. A copy of the Initial Order and materials filed in respect of the CCAA Proceedings have been posted on the Monitor’s website at http://cfcanada.fticonsulting.com/FIGR. The Monitor can be reached at: FTI Consulting TD Waterhouse Tower 79 Wellington Street West Suite 2010, P.O. Box 104 Toronto, Ontario M5K 1G8 Tel: 1-416-649-8128 Toll Free: 1-844-669-6345 Fax: 416-649-8101 E-mail: figr@fticonsulting.com Jeffrey Rosenberg Tel: (416) 649-8073 E-mail: jeffrey.rosenberg@fticonsulting.com Jodi Porepa Tel: (437) 332-5743 E-mail: jodi.porepa@fticonsulting.com Counsel to the Monitor: Cassels Bork & Blackwell LLP Suite 2100, Scotia Plaza 40 King Street West Toronto, ON M5H 3C2 Ryan Jacobs Tel: (416) 869-5963 Email: rjacobs@cassels.com Jane O. Dietrich Tel: (416) 860-5523 Email: jdietrich@cassels.com Kieran May Tel: (416) 869-5321 Email: kmay@cassels.com Counsel to the Companies: Bennett Jones LLP 3400 One First Canadian Place P.O. Box 130 Toronto, ON, M5X 1A4 Sean Zweig Tel: (416) 777-6254 Email: zweigs@bennettjones.com Mike Shakra Tel: (416) 777-6236 Email: shakram@bennettjones.com Aiden Nelms Tel: (416) 777-4641 Email: fosterj@bennetjones.com About FIGR Brands et al. FIGR Brands Inc. -- https://www.figr.com/ -- offers cannabis and medical marijuana. Canada's Island Garden markets its products in Canada. In January 2021, FIGR Brands, Inc., Canada's Island Garden Inc. (FIGR East) and FIGR Norfolk, Inc. filed for and received protection from their creditors under the Companies' Creditors Arrangement Act (Canada) ("CCAA"). FTI Consulting Canada Inc. has been appointed as the Court-appointed monitor ("FTI" or "the Monitor") of the Applicants. FIGR Brands, et al., are Canadian subsidiaries of Pyxus International, Inc. (OTC Pink: PYYX), a global value-added agricultural company. The CCAA filings are a result of Pyxus' decision to divest its cannabis business in order to focus on its more profitable tobacco and e-liquid businesses. FORTOVIA THERAPEUTICS: $25K Zuplenz Assets Sale to Aquestive OK'd ----------------------------------------------------------------- Judge Stephani W. Humrickhouse of the U.S. Bankruptcy Court for the Eastern District of North Carolina authorized Fortovia Therapeutics, Inc.'s sale to Aquestive Therapeutics, Inc. of Zuplenz-related assets, consisting of the Zuplenz related inventory (at Aquestive's option), New Drug Application 022524, the Investigational New Drug Application102262, business records, and marketing and branding materials. In exchange, Aquestive will pay Debtor $25,000 and, with the exception of rights in certain insurance coverage, will forgive and will waive all claims against the Debtor, which Aquestive asserts total in excess of $400,000 (however, regardless of actual amount, Aquestive has agreed to waive any and all amounts owing by Debtor other than claims connected with insurance coverage). The sale is free and clear of all liens, claims, interests, and encumbrances. Any liens will attach to sale proceeds, with the court reserving for later determination the extent, validity, and priority of any such lien. The 14-day stay period provided for in Bankruptcy Rule 6004(h) does not apply and the Order is immediately effective. The Bankruptcy Administrator will be given 24 hours to review the Final Agreement reached between the Debtor and the Buyer before the sale is closed. If personally identifiable information is discovered and the Debtor wishes to disclose and transfer, a separate Motion will be filed; otherwise, personally identifiable information will not be transferred. All rights of setoff or recoupment against the Debtor are preserved by the Order. Accounts receivable are not being transferred with the approval of the Motion. Upon request, the Debtor will provide a copy of the Final Agreement to the counsel for McKesson Corp. and any similarly situated party requesting such. The Final Agreement may redact confidential information. About Fortovia Therapeutics, Inc. Fortovia Therapeutics, Inc., is an oncology supportive care pharmaceutical and medical device company headquartered in Raleigh, North Carolina. Fortovia Therapeutics, Inc., filed a voluntary petition pursuant to Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.C. Case No. 20-02970) on August 31, 2020. The petition was signed by Ernest De Paolantonio, CFO. The Debtor estimated between $1 million to $10 million in assets and liabilities. William P. Janvier, Esq. at JANVIER LAW FIRM, PLLC, represents the Debtor as counsel. FORTOVIA THERAPEUTICS: Administrator Unable to Appoint Committee ---------------------------------------------------------------- The U.S. Bankruptcy Administrator for the Eastern District of North Carolina disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of Fortovia Therapeutics Inc. About Fortovia Therapeutics Fortovia Therapeutics, Inc., is an oncology supportive care pharmaceutical and medical device company headquartered in Raleigh, North Carolina. Fortovia Therapeutics filed a Chapter 11 petition (Bankr. E.D.N.C. Case No. 20-02970) on Aug. 31, 2020. At the time of the filing, the Debtor disclosed assets of between $1 million and $10 millio and liabilities of the same range. Judge Stephani W. Humrickhouse oversees the case. William P. Janvier, Esq., at Janvier Law Firm, PLLC, is the Debtor's counsel. GARRETT MOTION: Feb. 16 Hearing on Plan Disclosures --------------------------------------------------- Garrett Motion Inc., et al., submitted an Amended Plan of Reorganization and a corresponding Disclosure Statement ahead of the disclosure statement hearing scheduled for Feb. 16, 23021 at 11:00 a.m. The Debtors have proposed an April 6, 2021 hearing on the Plan. The Plan provides for the recapitalization and reorganization of the Debtors. The principal features of the Plan are set forth in the Plan Support Agreement among Centerbridge Partners, L.P., Oaktree Capital Management, L.P., Honeywell International Inc., certain shareholders represented by Jones Day, and certain senior noteholders, who collectively hold more than 88% of the Senior Notes and 58% of GMI's Common Stock. The Debtors entered into the Plan Support Agreement to maximize the value of the Debtors' estates following the Debtors' extensive auction process and after hard-fought, arm's-length negotiations among the parties thereto. The Plan and the Plan Support Agreement provide for the following restructuring transactions: i. the infusion of significant debt and equity commitments to support the Debtors' go forward operations and payments under the Plan as follows: a. committed direct equity investments by certain members of the COH Group in the amount of $1,050.8 million in the aggregate to purchase Convertible Series A Preferred Stock from the Reorganized Debtors; b. a $200 million rights offering available to Holders of Existing Common Stock to purchase Convertible Series A Preferred Stock, which is fully backstopped by Centerbridge, Oaktree, and the Additional Investors for no additional backstop fee; and c. committed debt financing of $1.5 billion; ii. payment in full in cash, plus accrued and unpaid interest at the non-default contractual rate, for Holders of Prepetition Credit Agreement Claims; if liquidation will occur the creditor will recover 45.9% to 64.4% of their claims; iii. payment in full in cash, plus accrued and unpaid interest in cash at the non-default contractual rate through the Effective Date plus $15 million in cash in resolution of claims related to the Applicable Premium, for Holders of Senior Subordinated Noteholder Claims; iv. payment in full in cash for all other secured and unsecured creditors, except Honeywell, who has agreed to its treatment; v. a global settlement with Honeywell, who will receive on the Effective Date $375 million in cash and Series B Preferred Stock issued by the Reorganized Debtors pursuant to which the Reorganized Debtors will pay Honeywell a total of $834.8 million in the aggregate through 2030, subject to the various put and call rights set forth therein; and vi. Holders of Existing Common Stock will have the option to receive a number of shares of GMI Common Stock equal to the number of shares of Existing Common Stock held by each such Holder and each such holder's pro-rata share of the Subscription Rights or, at such Holder's election, receive cash in the amount of $6.25 per share in exchange for cancelation of their shares. The Plan is a significant achievement for the Debtors and has support from the Debtors' senior lenders, senior noteholders, the Official Committee of Unsecured Creditors, Honeywell, and a majority of GMI's stockholders. After evaluating all sale and restructuring proposals made in connection with the Bankruptcy Court approved-auction process and by other parties in interest in the Chapter 11 Cases, the Debtors determined, in their business judgment, that entry into the Plan Support Agreement with its committed equity and debt financing, significant "cash out" option for other stockholders, and a settlement with Honeywell that resolves numerous litigation issues is in the best interests of the Debtors' estates and all stakeholders. A full-text copy of the Disclosure Statement dated January 27, 2021, is available at https://bit.ly/3r2iUas from PacerMonitor.com at no charge. Counsel for Debtors: Andrew G. Dietderich Brian D. Glueckstein Alexa J. Kranzley Benjamin S. Beller SULLIVAN & CROMWELL LLP 125 Broad Street New York, New York 10004 Telephone: (212) 558-4000 Facsimile: (212) 558-3588 E-mail: dietdericha@sullcrom.com gluecksteinb@sullcrom.com kranzleya@sullcrom.com bellerb@sullcrom.com About Garrett Motion Based in Switzerland, Garrett Motion Inc. (NYSE: GTX) designs, manufactures, and sells highly engineered turbocharger and electric-boosting technologies for light and commercial vehicle original equipment manufacturers and the global vehicle and independent aftermarket. Garrett Motion and its affiliates sought Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 20-12212) on Sept. 20, 2020. Garrett disclosed $2.066 billion in assets and $4.169 billion in liabilities as of June 30, 2020. The Debtors tapped Sullivan & Cromwell LLP as counsel, Quinn Emanuel Urquhart & Sullivan LLP as co-counsel, Perella Weinberg Partners and Morgan Stanley & Co. LLC as investment bankers, and AlixPartners LP as restructuring advisor. Kurtzman Carson Consultants LLC is the claims agent. On Oct. 5, 2020, the U.S. Trustee for Region 2 appointed a committee to represent unsecured creditors in the Debtors' Chapter 11 cases. White & Case LLP and Conway MacKenzie, LLC, serve as the Creditors' Committee's legal counsel and financial advisor, respectively. An Official Committee of Equity Securities Holders has also been appointed in the case and is represented by Kasowitz Benson Torres LLP. GIA REDEVELOPMENT: Case Summary & 3 Unsecured Creditors ------------------------------------------------------- Debtor: GIA Redevelopment, LLC 530 S. Lake Ave Pasadena, CA 91101 Chapter 11 Petition Date: February 1, 2021 Court: United States Bankruptcy Court Central District of California Case No.: 21-10803 Judge: Hon. Neil W. Bason Debtor's Counsel: Robert Altagen, Esq. ROBERT S ALTAGEN 1111 Corporate Center Drive #201 Monterey Park, CA 91754 Tel: (323) 268-9588 E-mail: robertaltagen@altagenlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Jeff Thompson, managing member. A copy of the petition containing, among other items, a list of the Debtor's three unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/6GFAZZQ/GIA_REDEVELOPMENT_LLC__cacbke-21-10803__0001.0.pdf?mcid=tGE4TAMA GIRARDI & KEESE: Abir Cohen Denies Poaching Clients --------------------------------------------------- Law360 reports that California plaintiffs firm Abir Cohen Treyzon Salo LLP has hit back against claims by the bankruptcy trustee for Girardi Keese that ACTS has been poaching the troubled firm's clients, calling those "fabricated allegations" counterproductive and warning failure to proceed cautiously could inject even more chaos into an already messy situation. In an opposition brief filed Friday, Jan. 29, 2021, the ACTS firm criticized Girardi Keese's Chapter 7 trustee Elissa Miller for rushing to conclusions and accusing ACTS of wrongdoing, even as she signed a client-sharing agreement with the rival Frantz Law Group before even hearing ACTS out. About Girardi & Keese Girardi and Keese or Girardi & Keese was a Los Angeles-based law firm founded in 1965 by lawyers Thomas Girardi and Robert Keese. It served clients in California in a variety of legal areas. It was known for representing plaintiffs against major corporations. An involuntary Chapter 7 petition (Bankr. C.D. Cal. Case No. 20-21022) was filed in December 2020 against GIRARDI KEESE by alleged creditors Jill O'Callahan, Robert M. Keese, John Abassian, Erika Saldana, Virginia Antonio, and Kimberly Archie. The petitioners' attorneys: Andrew Goodman Goodman Law Offices, Apc Tel: 818-802-5044 E-mail: agoodman@andyglaw.com Elissa D. Miller, a member of the firm SulmeyerKupetz, has been appointed as Chapter 7 trustee. The Chapter 7 trustee can be reached at: Elissa D. Miller 333 South Grand Ave., Suite 3400 Los Angeles, California 90071-1406 Telephone: 213.626.2311 Facsimile: 213.629.4520 E-mail: emiller@sulmeyerlaw.com GREYLOCK CAPITAL: Not Shutting Down, Opens Office in Stamford ------------------------------------------------------------- Greylock Capital Associates filed for bankruptcy protection in New York as investors pulled money from the hedge fund following three consecutive years of losses. Greylock has cut its staff to nine people from 21 three years ago, and is in talks with its remaining major investors, confident that the business can "successfully reorganize and continue as a going concern" after the bankruptcy. The firm has no plans to shut down, according to a message from Greylock President Ajata "AJ" Mediratta, Bloomberg News reported. According to Bloomberg, the hedge fund opened a small office in Stamford, Connecticut last year to make it easier for the firm's commuters, reducing the need for a large office in midtown Manhattan. Bloomberg recounts that Greylock, founded in 2004 according to the filing and led by Chief Executive Officer Hans Humes, is known for making bets on distressed debt and troubled sovereign bonds. It was one of the funds that negotiated the Greek government's debt restructuring, according to its Web site. The fund struggled last year as emerging market bond prices cratered at the start of the pandemic. Creditors took haircuts in Ecuador and Argentina, and Venezuelan and Lebanese sovereign bonds also slipped as the countries have yet to resolve their defaults. Greylock filed for Chapter 11 protection under the Subchapter V provision, which was introduced last year to make the bankruptcy process cheaper and easier for small companies. About Greylock Capital Greylock Capital Associates, LLC, is the parent of Greylock Capital Management, LLC, an SEC-registered alternative investment advisor, that advises pooled vehicles and separate accounts for institutional and high net worth investors. The business was founded in 2004, and its primary investment focus has been distressed debt and sovereign debt restructurings. Greylock Capital Associates sought Chapter 11 protection (Bankr. S.D.N.Y. Case No. 21-22063) on Jan. 31, 2021. The petition was signed by CEO and Chief Investment Officer Willem Humes. The Debtor was estimated to have $1 million to $10 million in assets and liabilities as of the bankruptcy filing. The Hon. Robert D. Drain is the case judge. AMINI LLC, led by Jeffery Chubak, is the Debtor's bankruptcy attorney. HAKU LLC: Voluntary Chapter 11 Case Summary ------------------------------------------- Debtor: Haku, LLC 860 Detroit St. Denver, CO 80206 Chapter 11 Petition Date: February 2, 2021 Court: United States Bankruptcy Court Northern District of California Case No.: 21-50134 Debtor's Counsel: Paul Seabrook, Esq. SEABROOK LAW OFFICES 2055 Junction Ave, Suite 138 San Jose, CA 95131 Tel: 408-703-1563 E-mail: bankruptcy@seabrooklawoffices.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $0 to $50,000 The petition was signed by Jeremy Crotts, the managing member. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/TV42KCA/Haku_LLC__canbke-21-50134__0001.0.pdf?mcid=tGE4TAMA IGLESIA TABERNACULO: Court Confirms Chapter 11 Plan --------------------------------------------------- Judge Edward A. Godoy has entered an order confirming the Plan filed by Iglesia Tabernaculo de Adoracion y Alabanza Inc. The judge also approved the Disclosure Statement. As reported in the Troubled Company Reporter, the Debtor filed a Small Business Chapter 11 Plan and a corresponding Disclosure Statement on Dec. 18, 2020. Under the Plan, the $915,000 secured claim by creditor Nemesio Reyes Rivera will be paid pursuant to an agreement filed before the Court on Dec. 17, 2020, whereby the secured claim in the amount of $915,000 plus 4% annual interest, will be paid in 120 monthly payments of $9,264. Rivera's deficiency claim of $940,209 will be paid $60,000, for a recovery of 6.38%. The Debtor did not identify other unsecured claims. A copy of the Disclosure Statement dated Dec. 18, 2020, is available at https://bit.ly/2XHhKEA About Iglesia Tabernaculo De Adoracion Y Alabanza, Inc. Iglesia Tabernaculo De Adoracion Y Alabanza, Inc., is a non-profit religious organization that operates an evangelical church. The Company owns in fee simple a real property, where the church is located, at PR Road 132, Km. 22.6, Canas Ward, Ponce, PR, having an appraised value of $915,000. Iglesia Tabernaculo De Adoracion Y Alabanza, Inc., filed its voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 20-01752) on May 5, 2020. In the petition signed by Jesus F. Perez Gutierrez, president, the Debtor disclosed $938,025 in assets and $1,274,467 in liabilities. Noemi Landrau Rivera, Esq. at LANDRAU RIVERA & ASSOCIATES, represents the Debtor. IN-SHAPE HOLDINGS: Committee Taps Dundon as Financial Advisor ------------------------------------------------------------- The official committee of unsecured creditors appointed in the Chapter 11 cases of In-Shape Holdings, LLC and its affiliates seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Dundon Advisers LLC as its financial advisor. The firm's services will include: a. assisting the committee in the analysis, review, and monitoring of the restructuring process, including an assessment of the unsecured claims pool and potential recoveries for unsecured creditors; b. reviewing the terms of the debtor-in-possession facility; c. assisting in the analysis of lease rejection damages and sale transaction analysis of leases to be assumed; and d. advising the committee regarding the Debtors' businesses , including current and "go-forward" business plans and operations, COVID-19 protocols, footprint optimization, club closure or lease rejection program to support the committee superintendence of the sales process and preparation for any contingencies. Dundon Advisers will be paid at the rates of $400 to $700 per hour. Matthew Dundon, a partner at Dundon Advisers, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Dundon Advisers can be reached at: Matthew Dundon Dundon Advisers LLC 440 Mamaroneck Avenue, Fifth Floor Harrison, NY 10528 Tel: (914) 341-1188 Fax: (212) 202-4437 About In-Shape Holdings In-Shape is a regional health club operator. Before the outbreak of COVID-19, In-Shape operated 65 clubs with over 470,000 members. Its clubs offer premium amenities and member-focused community club experiences at tiered pricing levels in secondary markets around California. Visit https://www.inshape.com/ for more information. In-Shape Holdings, LLC, In-Shape Health Clubs, LLC and In-Shape Personal Training, LLC sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 20-13130) on Dec. 16, 2020. In-Shape Holdings was estimated to have $50 million to $100 million in assets and $100 million to $500 million in liabilities as of the bankruptcy filing. Judge Laurie Selber Silverstein oversees the cases. The Debtors tapped Keller Benvenutti Kim LLP and Troutman Pepper Hamilton Sanders LLP as their bankruptcy counsel, Chilmark Partners LLC as investment banker, and B. Riley Financial, Inc. as real estate advisor. Stretto is the claims agent and administrative advisor. The U.S Trustee for Region 3 appointed an official committee of unsecured creditors on Dec. 29, 2020. Kelley Drye & Warren LLP and Dundon Advisers LLC serve as the committee's legal counsel and financial advisor, respectively. IN-SHAPE HOLDINGS: Committee Taps Kelley Drye as Legal Counsel -------------------------------------------------------------- The official committee of unsecured creditors appointed in the Chapter 11 cases of In-Shape Holdings, LLC and its affiliates seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Kelley Drye & Warren LLP as its legal counsel. The firm's services will include: (a) advising the committee with respect to its rights, duties and powers in the Debtors' Chapter 11 cases; (b) assisting the committee in its consultations with the Debtors; (c) assisting the committee in its investigation of the acts, conduct, assets, liabilities and financial condition of the Debtors; (d) assisting the committee in connection with the proposed sale process; (e) assisting the committee in analyzing the claims of the Debtors' creditors; (f) advising the committee on matters generally arising in the Debtors' cases, including post-petition financing and asset sale; (g) court appearances; (h) preparing legal papers and other necessary legal services. Kelley Drye will be paid at these rates: Partners $745 to $1,315 per hour Special Counsel $625 to $870 per hour Associates $455 to $680 per hour Paraprofessionals $285 to $380 per hour Kelley Drye will also be reimbursed for out-of-pocket expenses incurred. James Carr, Esq., a partner at Kelley Drye, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Kelley Drye can be reached at: James S. Carr, Esq. Kristin S. Elliott, Esq. Lauren S. Schlussel, Esq. Kelley Drye & Warren LLP 101 Park Avenue New York, NY 10178 Tel: (212) 808-7800 Fax: (212) 808-7897 Email: jcarr@kelleydrye.com kelliott@kelleydrye.com lschlussel@kelleydrye.com About In-Shape Holdings In-Shape is a regional health club operator. Before the outbreak of COVID-19, In-Shape operated 65 clubs with over 470,000 members. Its clubs offer premium amenities and member-focused community club experiences at tiered pricing levels in secondary markets around California. Visit https://www.inshape.com/ for more information. In-Shape Holdings, LLC, In-Shape Health Clubs, LLC and In-Shape Personal Training, LLC sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 20-13130) on Dec. 16, 2020. In-Shape Holdings was estimated to have $50 million to $100 million in assets and $100 million to $500 million in liabilities as of the bankruptcy filing. Judge Laurie Selber Silverstein oversees the cases. The Debtors tapped Keller Benvenutti Kim LLP and Troutman Pepper Hamilton Sanders LLP as their bankruptcy counsel, Chilmark Partners LLC as investment banker, and B. Riley Financial, Inc. as real estate advisor. Stretto is the claims agent and administrative advisor. The U.S Trustee for Region 3 appointed an official committee of unsecured creditors on Dec. 29, 2020. Kelley Drye & Warren LLP and Dundon Advisers LLC serve as the committee's legal counsel and financial advisor, respectively. INTERSTATE COMMODITIES: Taps Jack Nitz & Associates as Auctioneer ----------------------------------------------------------------- Interstate Commodities, Inc. seeks approval from the U.S. Bankruptcy Court for the Northern District of New York to employ Jack Nitz & Associates Auctioneers and Land Brokers to auction its trucking equipment, vehicles, tools and inventory. Jack Nitz & Associates will be paid a commission of 10 percent of the gross proceeds. Jay Nitz, president and chief executive officer of Jack Nitz & Associates, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Jack Nitz & Associates can be reached at: Jay Nitz Jack Nitz & Associates Auctioneers 230 Ridgeland Ave. Inglewood, NE 68025 Tel: (402) 727-8800 About Interstate Commodities Interstate Commodities Inc. engages in the merchandise of commodities. It offers whole corn, soybean meal, soybeans, soy hulls, soyhull pellets, corn gluten meal, canola meal, sunflower meal, beet pulp pellets, citrus pulp pellets, and wheat. Interstate Commodities filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D.N.Y. Case No. 20-11139 on Aug. 26, 2020. Michael G. Piazza, chief operating officer, signed the petition. At the time of the filing, the Debtor disclosed $12,558,336 in assets and $25,513,305 in liabilities. Judge Robert E. Littlefield Jr. oversees the case. Forchelli Deegan Terrana, LLP is the Debtor's legal counsel. JIM'S DISPOSAL: Seeks to Hire Cochran Head as Accountant -------------------------------------------------------- Jim's Disposal Service, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Missouri to hire Cochran Head Vick & Co., P.A. as its accountant. The firm's services include assisting the Debtor in the preparation of its tax returns, Chapter 11 plan of reorganization and financial projections. The firm will be paid at these rates: Partners $275 per hour Staff $150 per hour Cochran neither holds nor represents any interest adverse to the Debtors' estates and the members of the firm are disinterested persons within the meaning of Sections 327(a) and 101 of the Bankruptcy Code, according to court papers filed by the firm. The firm can be reached through: Alan F. Broxterman, CPA Cochran Head Vick & Co. 7255 W 98th Terrace, Suite 100 Overland Park, KS 66212 Phone: (913) 378-1100 About Jim's Disposal Service Jim's Disposal Service, LLC, a company that specializes in residential waste solutions, filed a Chapter 11 petition (Bankr. W.D. Mo. Case No. 20-40050) on Jan. 6, 2020. At the time of the filing, the Debtor was estimated to have less than $50,000 in assets and $1 million to $10 million in liabilities. Judge Brian T. Fenimore oversees the case. The Debtor tapped Mann Conroy, LLC as its legal counsel and Cochran Head Vick & Co., P.A. as its accountant. JOHN PICCIRILLI: Files Emergency Bid to Use Cash Collateral ----------------------------------------------------------- John Piccirilli Inc., asks the U.S. Bankruptcy Court for the Northern District of New York for authority to use cash collateral in accordance with a budget and to pay pre-petition wages. John Piccirilli says it has no source of income other than from the operation of its plumbing and heating business. If the Debtor is not permitted to use the proceeds from its ongoing business, John Piccirilli says it will have to close down operation forthwith without paying its employees. In the absence of the use of Cash Collateral, the continued operation of the Debtor's business would not be possible, and serious and irreparable harm to the Debtor and its estate would occur, John Piccirilli tells the Court. In 2020, the Debtor's revenue decreased to just over $777,000, and the Debtor obtained a four-year contract with New York State which would result in $250,000 per year for the duration of the contract. Due to COVID-19 and the loss of trained employees, the Debtor was unable to fulfil the contract, and it was rescinded. Throughout 2020, the Debtor gradually lost six trained employees, which greatly affected the revenue it could obtain. Until 2020, the Debtor also had two affiliated businesses. In March, Cline's Universal Well Pumps & Drilling, Inc closed. In May, a franchise, One Hour Heating and Air Conditioning, closed. In December 2020, one of the Debtor's creditors, Trane U.S. Inc., obtained a judgment against the Debtor. On January 14th, 2021, Trane U.S. Inc. sent a restraining notice to the Debtor's bank, freezing the Debtor's three bank accounts including its payroll account. As a result, the Debtor cannot continue to operate its business without a reorganization. M&T Bank, First Home Bank, On Deck and Trane U.S. Inc. may assert that Debtor's deposit accounts, accounts receivable and monies are subject to their respective security interests and, therefore, constitute cash collateral. The Debtor and M&T Bank entered into a Promissory Note and Security Agreement and a UCC-1 was filed on December 9, 2013. The UCC-1 was renewed on June 12, 2018. The Debtor granted M&T Bank a security interest in all of its assets. As of the bankruptcy filing date, the approximate balance owing to M&T Bank is $69,780. The Debtor's principal and M&T Bank entered into another promissory note and security agreement and a UCC-1 was filed against fixtures and equipment at the Debtor's premises on May 26, 2009, and renewed on December 3, 2013 and November 27, 2018. The Debtor and First Home Bank entered into a promissory note and security agreement. The Debtor granted First Home Bank a security interest in Debtor's assets. A UCC-1 Financing Statement was duly filed on October 2, 2017. As of the bankruptcy filing date, the approximate balance owing to First Home Bank is $71,289. The Debtor and On Deck are also parties to an agreement and the Debtor granted On Deck a security interest in the Debtor's assets. A UCC-1 Financing Statement was duly filed on May 20, 2019. As of the bankruptcy filing date, the approximate balance owing to On Deck is unknown. Trane U.S. Inc. obtained a judgment against the Debtor on December 30, 2020, and issued a restraining notice to the Debtor's bank accounts at M&T Bank on January 14, 2021. As of the bankruptcy filing date, the approximate balance owing to Trane U.S. Inc. on the judgment is $33,992. According to John Piccirilli, to the extent that the liens and security interests are properly perfected, all of the Debtor's cash on hand and to be collected from its customers may constitute proceeds of the Collateral and, therefore, may be deemed to be cash collateral of M&T Bank, First Home Bank, On Deck and Trane U.S. Inc. within the meaning of Bankruptcy Code. The Debtor cautions that it is not admitting that M&T Bank, First Home Bank, On Deck and Trane U.S. Inc. hold valid, perfected or enforceable pre-petition liens and security interests in and to any of the Debtor's property. It also does not waive the right to contest the validity, perfection or enforceability of their liens and security interests in and to any such property. A copy of the Debtor's request is available at https://bit.ly/3j2V0su from PacerMonitor.com. About John Piccirilli Inc. John Piccirilli Inc. operates a plumbing, heating and air conditioning business in Conklin, New York. It was incorporated on June 14, 2005. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D.N.Y. Case No. 21-60057) on January 28, 2021. In the petition signed by John Piccirilli, the president, the Debtor disclosed up to $500,000 in assets and up to $1 million in liabilities. Peter A. Orville, Esq., at Orville & McDonald Law, P.C. serves as the Debtor's counsel. KNOTEL INC: Feb. 5 Deadline Set for Panel Questionnaires -------------------------------------------------------- The United States Trustee is soliciting members for an unsecured creditors committee in the bankruptcy cases of Knotel, Inc., et al. If a party wishes to be considered for membership on any official committee that is appointed, it must complete a Questionnaire available at https://bit.ly/3tiRKxZ and return it to Joseph.McMahon@usdoj.gov at the Office of the United States Trustee so that it is received no later than 12:00 noon Eastern Time, on Feb. 5, 2021. If the U.S. Trustee receives sufficient creditor interest in the solicitation, it may schedule a meeting or telephone conference for the purpose of forming a committee. About Knotel Inc. Knotel -- http://www.Knotel.com/-- is a flexible workspace platform that matches, tailors and manages space for customers. New York-based Knotel offers workspace properties such as desks, open, and private spaces on rent for companies in 20 global markets. In the U.S., Knotel primarily serves in the New York City and San Francisco areas. Knotel, founded in 2015, raised hundreds of millions of dollars from investors. It expanded rapidly for years and was one of the more aggressive competitors in the co-working and flexible office space sector, becoming one of WeWork's fiercest rival. As the COVID-19 pandemic upended the co-working industry, Knotel, Inc., and its U.S. subsidiaries sought Chapter 11 protection (Bankr. D. Del. Case No. 21-10146) on Jan. 30, 2021 to pursue a sale of the assets to Newmark Group. Knotel estimated $1 billion to $10 billion in assets and liabilities as of the bankruptcy filing. Morris, Nichols, Arsht & Tunnell LLP is serving as the Company's counsel. Moelis & Company is the investment banker. Omni Agent Solutions is the claims agent. LABL INC: S&P Assigns 'B' Rating on Senior Secured Term Loans ------------------------------------------------------------- S&P Global Ratings said it assigned its 'B' issue-level rating and '3' recovery ratings to LABL Inc.'s proposed senior secured $632 million term loan and EUR500 million term loan, both due July 1, 2026. The '3' recovery rating indicated its expectation for meaningful (50%-70%; rounded estimate: 55%) recovery in the event of a payment default. The company is issuing the debt via an amendment to its July 1, 2019, credit agreement, and the proceeds will be used to fully redeem existing term loans. All of its existing ratings, including its 'B' issuer credit rating, are unchanged. S&P said, "With the applicable margins on its term loans reduced at least 50 basis points pro forma for the refinancing, we believe the company may save almost $8 million in annual interest expense. We expect the transaction to be leverage-neutral and for the company to continue to improve upon its highly leveraged capital structure. Its adjusted-debt-to-EBITDA ratio (for the 12 months ended Sept. 30, 2020, S&P Global Ratings-adjusted figures) was 7x, and we believe it was at the low end of the 7x-7.5x range at the end of the Dec. 31, 2020, quarter." LABL Inc. is the parent holding company of Multi-Color Corp., a global producer of labels serving the food and beverage, wine and spirits, home and personal care, and health care and specialty markets. The recession-resistance of its end markets allowed the company to perform relatively well despite challenges brought about by the COVID-19 pandemic, as adjusted EBITDA rose 10% and organic sales declined only 1% year to date ended Sept. 30. The company has achieved--and continues to target--synergies and operational improvements related to purchasing, administrative expenses, and plant consolidation among others. It seeks to realize $40 million-$50 million of additional synergies through June 30, 2022. Key to any rating upside consideration are sustained improvement in Multi-Color's operating performance and adherence to disciplined financial policies to reduce adjusted debt to EBITDA comfortably below 7x on a sustained basis. ISSUE RATINGS - RECOVERY ANALYSIS Key analytical factors -- S&P's simulated default scenario contemplates a default in 2024 stemming from very weak economic conditions and changes in consumer preferences that reduce demand for the products of Multi-Color's key consumer packaged goods customers. The company's lower label volumes would pressure margins. Because of these conditions, cash flow from operations would be insufficient to cover the fixed charges related to its interest, working capital, and capital outlays. Eventually, Multi-Color's liquidity and capital resources would become so strained it could not operate without filing for bankruptcy. -- S&P said, "Given the company's leading market positions, operational scale, and diversity of label types, we believe it would be reorganized rather than liquidated in a default scenario. As such, we value it based on an enterprise value approach to gauge its recovery and apply an assumed distressed emergence EBITDA of $259 million against a 5.5x multiple to estimate a gross recovery value of $1.4 billion." Simulated default assumptions -- LIBOR of 250 basis points at default; -- The $300 million asset-based lending (ABL) facility 60% drawn at default; and -- All debt amounts include six months of prepetition interest. Simplified waterfall -- Simulated year of default: 2024 -- EBITDA at emergence: $268 million -- EBITDA multiple: 5.5x -- Gross enterprise value: $1.47 billion -- Administrative expenses: $74 million -- Net enterprise value: $1.4 billion -- Valuation split (obligors/nonobligors): 56%/44% -- Secured ABL claims: $183 million -- Value available to second-priority term loans and secured notes (collateral + unpledged share): $1.13 billion -- Second-priority secured debt claims: $1.99 billion --Recovery expectations: 50%-70% (rounded estimate: 55%) -- Unpledged value still available: $216 million -- Unsecured note claims: $726 million -- Deficiency claim on first-lien debt: $987 million -- Total unsecured claims: $1.71 billion --Recovery expectations: 10%-30% (rounded estimate: 10%) Ratings List New Rating LABL Inc Senior Secured EUR500 mil bank ln due 07/01/2026 B Recovery Rating 3(55%) US$632 mil bank ln due 07/01/2026 B Recovery Rating 3(55%) LBD PLLC: Seeks to Hire Chapin Owen as Accountant ------------------------------------------------- LBD, PLLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Virginia to employ Chapin Owen & Associates, P.A. as its accountant. The firm will assist in the preparation of federal and state tax returns for the Debtor. Chapin Owen will be paid at the rates of $175 to $290 per hour, and will be paid a retainer in the amount of $3,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Chapin Owen is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code, according to court papers filed by the firm. Chapin Owen can be reached at: Chapin Owen & Associates, P.A. 3901 National Dr. Suite 260 Burtonsville, MD 20866 Tel: (301) 421-1330 About LBD PLLC LBD, PLLC -- https://www.dipietropllc.com -- is a law firm specializing in divorce, family law, estate planning and business law. The firm has offices throughout Northern Virginia, Maryland and the Washington, D.C. Metro areas. LBD filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Va. Case No. 20-10414) on Feb. 9, 2020. In the petition signed by Joseph J. DiPietro, member and manager, the Debtor estimated $50,000 to $100,000 in assets and $1 million to $10 million in liabilities. Jeffery T. Martin, Jr., Esq. at Henry & O'Donnell, P.C., is the Debtor's legal counsel. LBD PLLC: Seeks to Hire Tayman Lane as Legal Counsel ---------------------------------------------------- LBD, PLLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Virginia to employ Tayman Lane Chaverri, LLP to handle its Chapter 11 case. Tayman Lane will be paid at the rate of $480 per hour and will be reimbursed for out-of-pocket expenses incurred. Jeffery Martin, Jr., Esq., a partner at Tayman Lane, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Tayman Lane can be reached at: Jeffery T. Martin, Jr., Esq. Tayman Lane Chaverri LLP 601 13th Street NW, Suite 900 South Washington, DC 20005 Tel: (202) 921-4070 Email: jmartin@tlclawfirm.com About LBD PLLC LBD, PLLC -- https://www.dipietropllc.com -- is a law firm specializing in divorce, family law, estate planning and business law. The firm has offices throughout Northern Virginia, Maryland and the Washington, D.C. Metro areas. LBD filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Va. Case No. 20-10414) on Feb. 9, 2020. In the petition signed by Joseph J. DiPietro, member and manager, the Debtor estimated $50,000 to $100,000 in assets and $1 million to $10 million in liabilities. Jeffery T. Martin, Jr., Esq. at Henry & O'Donnell, P.C., is the Debtor's legal counsel. LE JARDIN RESIDENCES: Ruling on Summary Judgment Reserved --------------------------------------------------------- Judge Robert A. Mark of the United States Bankruptcy Court for the Southern District of Florida denied Alleged Debtor Le Jardin Residences Manager, LLC's Motion to Strike Nadezda Danilochkina's Affidavit. Judge Mark also reserved ruling on the Petitioning Creditor's Motion for Summary Judgment, and abated the case without prejudice to the Petitioning Creditor or the Alleged Debtor moving to lift the abatement after the Court decides the contested matter on Le Jardin House, LLC's objection to Claim numbers 4 and 5. He held that the Bank Account Injunction will remain in full force and effect. Judge Mark says that the Court has considered the record in the chapter 11 case of Le Jardin House, LLC (the "House Case"), including, in particular, the contested matter on the House Debtor's objection to Claim No. 4 and Claim No. 5. He also says that Claim No. 4 was filed by the Alleged Debtor. Claim No. 5 was filed by Le Jardin Residences Lenders LLC ("Lenders"). The Alleged Debtor is the manager of Lenders. On October 14, 2016, the Petitioning Creditor obtained a final judgment against the Alleged Debtor in the amount of $505,500 in Case No. 2015-028337-CA-01, Circuit Court, Miami-Dade County, Florida (the "2015 Case"). The judgment is a debt that is not subject to bona fide dispute as to liability or amount. The Alleged Debtor has not paid the final judgment and is therefore generally not paying its debts as that term is used in 11 U.S.C. Section 303(h)(1). On September 18, 2017, the Alleged Debtor filed a state court complaint against the Petitioning Creditor and others, Case No. 2017-022215-CA-01 (the "First 2017 Lawsuit"). On October 19, 2017, the Petitioning Creditor filed a state court complaint against the Alleged Debtor and Lender (the Second 2017 Lawsuit"). The 2015 Case, the First 2017 Lawsuit, and the Second 2017 Lawsuit (collectively, the "State Court Cases") are all pending before Circuit Court Judge Peter Lopez. "The House Debtor is a party defendant in one or more of the State Court Cases and, according to counsel for the Alleged Debtor, Judge Lopez has stated that he will not move forward with the State Court Cases in any respect until this Court resolves the claims filed in the House Case by the Alleged Debtor and by Lender... There is no per se rule precluding a sole creditor from obtaining involuntary bankruptcy relief under Section 303 of the Bankruptcy Code... However, dismissal or suspension under Section 305 may be appropriate when the case constitutes a two-party dispute between the alleged debtor and a single creditor... A relevant factor in deciding whether to abstain is whether the petitioning creditor has an adequate remedy of law in a non-bankruptcy forum... In theory, the Petitioning Creditor here has an adequate remedy because it has a final judgment against the Alleged Debtor in the 2015 Case and that judgment is enforceable under state law. However... the judgment was entered in one of three consolidated State Court Cases that are not moving forward until the claims against the House Debtor are resolved in the House Case," Judge Mark explained. "It is unlikely that resolution of the Alleged Debtor's claim against the House Debtor will resolve the claims by and between the Petitioning Creditor and the Alleged Debtor, but resolving the claims against the House Debtor should change the landscape in the State Court Cases and remove obstacles presently impacting the Petitioning Creditor's ability to proceed with enforcement of its judgment in the state court... If this Court enters an Order for Relief in this case, it is likely that this Court will become embroiled in several issues pending in the State Court Cases," Judge Mark observed. On May 5, 2020, shortly after the involuntary petition was filed, and while it was pending in the Broward Division, Judge Hyman entered an Order Granting Petitioning Creditor's Emergency Motion for Appointment of an Interim Chapter 7 Trustee or, in the Alternative, for an Order Enjoining the Debtor and all other Persons from Transferring, Conveying, Selling, Disposing or Encumbering any Property of the Debtor (the "Bank Account Injunction"). The Bank Account Injunction protects the Petitioning Creditor's claims to the proceeds in a Wells Fargo account in the name of the Alleged Debtor's affiliate, Lenders. Counsel for the Alleged Debtor has stipulated that the Bank Account Injunction will remain in place if the case is abated pending resolution of the claim objections in the House Case. Judge Mark held that "the Court will abate this case. Abstention and dismissal may be justified because this is a two-party dispute. However, dismissal will dissolve the Bank Account Injunction and, given the present posture of the State Court Cases, it may be very difficult for the Petitioning Creditor to obtain comparable injunctive relief in the state court." The case is In re: LE JARDIN RESIDENCES MANAGER, LLC, Chapter 7 (Involuntary), Debtor, Case No. 20-14606 (Bankr. S.D. Fla.). A full-text copy of the Order (1) Reserving Ruling on Petitioning Creditor's Motion for Summary Judgment; and (2) Denying Alleged Debtor's Motion to Strike, dated January 25, 2021, is available at https://tinyurl.com/y35noog5 from Leagle.com. LIGHTSQUARED INC: Court Rejects Apollo's Bid to Reopen Case ----------------------------------------------------------- Maria Chutchian of Reuters reports that the New York judge who oversaw the bankruptcy of wireless venture LightSquared has rejected Apollo Global Management's attempt to reopen the nine-year-old Chapter 11 case to fend off litigation from hedge fund Harbinger Capital Partners, which in 2008 bought LightSquared's predecessor from Apollo. U.S. Bankruptcy Judge Shelley Chapman in Manhattan issued her ruling at the conclusion of a remote hearing on Monday, Feb. 1, 2021, finding that because Apollo was not a player in the company's reorganization, it was not entitled to protection afforded by the reorganization plan she confirmed in 2015. Apollo, represented by O'Melveny & Myers, sought the relief after Harbinger filed a lawsuit in New York state court last year accusing it and former LightSquared executives of duping it into investing $1.9 billion into the company before the bankruptcy. About LightSquared Inc. LightSquared Inc. had invested more than $4 billion to deploy an integrated satellite-terrestrial network. In February 2012, however, the U.S. Federal Communications Commission told LightSquared the agency would revoke a license to build out the network as it would interfere with global positioning systems used by the military and various industries. In March 2012, the Company's partner, Sprint, canceled a master services agreement. LightSquared's lenders deemed the termination of the Sprint agreement would trigger cross-defaults under LightSquared's prepetition credit agreements. LightSquared Inc. and 19 of its affiliates filed Chapter 11 bankruptcy petitions (Bankr. S.D.N.Y. Lead Case No. 12-12080) on May 14, 2012, as the Company seeks to resolve regulatory issues that have prevented it from building its coast-to-coast integrated satellite 4G wireless network. Lawyers at Milbank, Tweed, Hadley & McCloy LLP served as counsel to the Debtors. Alvarez & Marsal North America, LLC, was the financial advisor. Kurtzman Carson Consultants LLC was the claims and notice agent. * * * Bankruptcy Judge Shelley C. Chapman in late March 2015, approved LightSquared Inc.'s Chapter 11 reorganization plan. LightSquared pursued confirmation of the Plan in partnership with a group of investors, including Fortress Credit Opportunities Advisors LLC, Centerbridge Partners, L.P., JPMorgan Chase & Co., and Harbinger Capital Partners LLC. Among other features, the Plan provides for the full satisfaction of all claims and preferred equity interests, over $3 billion in aggregate new-money debt and equity investments, and the installation of a board of directors chaired by former Verizon Chairman and CEO Ivan Seidenberg. LOVES FURNITURE: Plan & Disclosures Due May 6 --------------------------------------------- In the Chapter 11 case of Loves Furniture Inc., Judge Thomas J. Tucker has entered an order setting these deadlines and hearing dates: a. The deadline for the Debtor to file motions or requests to value security under L.B.R. 9014-1 is March 8, 2021. b. The deadline for parties to request the Debtor to include any information in the disclosure statement is April 6, 2021. c. The deadline for the Debtor to file a combined plan and disclosure statement is May 6, 2021. d. The deadline to return ballots on the plan, as well as to file objections to final approval of the disclosure statement and objections to confirmation of the plan, is June 10, 2021. e. The hearing on objections to final approval of the disclosure statement and confirmation of the plan will be held on Wednesday, June 16, 2021, at 11:00 a.m., in Room 1925, 211 W. Fort Street, Detroit, Michigan. f. The deadline for all professionals to file final fee applications is 30 days after the confirmation order is entered. g. The deadline to file objections to the Scheduling Order is 21 days from date the Order is entered. h. The deadline to file a motion to extend the deadline to file a plan is April 6, 2021. i. The deadline to file a motion to extend the time to file a motion to assume or reject a lease under 11 U.S.C. Sec. 365(d)(4) is April 13, 2021. Counsel for the Debtor must consult with the courtroom deputy to assure that such a motion is set for hearing on or before May 6, 2021. j. These dates and deadlines are subject to change upon notice if the Debtor files a plan before the deadline in paragraph c above. About Loves Furniture Inc. Loves Furniture Inc. -- http://www.lovesfurniture.com/-- is a furniture retailer that sells furniture, mattresses, home decor, and appliances. It conducts business under the name Loves Furniture and Mattresses. Loves Furniture sought Chapter 11 protection (Bankr. E.D. Mich. Case No. 21-40083) on Jan. 6, 2021. The Debtor was estimated to have $10 million to $50 million in assets and liabilities at the time of the filing. Judge Thomas J. Tucker oversees the case. Butzel Long, A Professional Corporation, led by Max J. Newman, Esq., is the Debtor's counsel. MALLINCKRODT PLC: Chapter 11 Trustee Sought by Third-Party Payors ----------------------------------------------------------------- Law360 reports that a group of third-party payors sought to have a Chapter 11 trustee take over Mallinckrodt PLC's bankruptcy case Monday, February 1, 2021, saying the global drug giant is trying to unfairly escape antitrust and racketeering claims and is mismanaging estate funds. The payors include the city of Rockford and union funds that have accused Mallinckrodt of unfairly raising prices on its H.P. Acthar Gel. They told the court Sunday, January 31, 2021, that Mallinckrodt has "completely shut them out" of the reorganization plan and has mismanaged its estate by overpaying professional fees. About Mallinckdrodt PLC Mallinckrodt -- http://www.mallinckrodt.com/-- is a global business consisting of multiple wholly-owned subsidiaries that develop, manufacture, market and distribute specialty pharmaceutical products and therapies. The company's Specialty Brands reportable segment's 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 gastrointestinal products. Its Specialty Generics reportable segment includes specialty generic drugs and active pharmaceutical ingredients. On Oct. 12, 2020, Mallinckrodt plc and certain of its affiliates sought Chapter 11 protection in Delaware in the U.S. (Bankr. D. Del. Lead Case No. 20-12522) to seek approval of a restructuring that would reduce total debt by $1.3 billion and resolve opioid-related claims against them. Mallinckrodt plc disclosed $9,584,626,122 in assets and $8,647,811,427 in liabilities as of Sept. 25, 2020. Judge John T. Dorsey oversees the cases. The Debtors tapped Latham & Watkins LLP and Richards, Layton & Finger P.A. as their bankruptcy counsel; Arthur Cox and Wachtell, Lipton, Rosen & Katz as corporate and finance counsel; Ropes & Gray LLP as litigation counsel; Torys LLP as CCAA counsel; Guggenheim Securities LLC as investment banker; and AlixPartners LLP as restructuring advisor. Prime Clerk, LLC is the claims agent. The official committee of unsecured creditors retained Cooley LLP as its legal counsel, Robinson & Cole LLP as co-counsel, and Dundon Advisers LLC as its financial advisor. On Oct. 27, 2020, the Office of the United States Trustee for Region 3 appointed an official committee of opioid related claimants (OCC). The OCC tapped Akin Gump Strauss Hauer & Feld LLP as its lead counsel, Cole Schotz as Delaware co-counsel, Province Inc., as financial advisor, and Jefferies LLC as investment banker. MANHATTAN HOSPITALITY: U.S. Trustee Unable to Appoint Committee --------------------------------------------------------------- The U.S. Trustee for Region 20 disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of Manhattan Hospitality Inc. About Manhattan Hospitality Manhattan Hospitality, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Kansas Case No. 20-41003) on Dec. 17, 2020. At the time of the filing, the Debtor had estimated assets of between $1,000,001 and $10,000,000 and liabilities of between $10,000,001 and $50,000,000. The Debtor is represented by Sader Law Firm. MARTIN DEVELOPMENT: Seeks to Hire George C. Ferullo as Accountant ----------------------------------------------------------------- Martin Development, LLC and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Massachusetts to employ George C. Ferullo, C.P.A., P.C. as their accountant. The firm will provide these services: a. review the Debtors' 2019 business records and bank statements and prepare accounting of the same; and b. prepare the Debtors' 2019 Federal and Massachusetts income tax returns. The firm will be paid a flat fee of $2,500 and will be reimbursed for out-of-pocket expenses incurred. George Ferullo, a partner at George C. Ferullo, C.P.A., disclosed in a court filing that his firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: George C. Ferullo George C. Ferullo, C.P.A., P.C. 100 Corporate Pl Suite 103 Peabody, MA 01960 Tel: (978) 817-2178 About Martin Development Martin Development, LLC, a North Andover, Mass.-based freight shipping broker, and its affiliates filed voluntary Chapter 11 petitions (Bankr. D. Mass. Lead Case No. 20-40935) on Sept. 23, 2020. David M. Martin, manager, signed the petitions. At the time of the filings, Martin Development had estimated assets of between $1 million and $10 million and liabilities of the same range. Judge Elizabeth D. Katz oversees the cases. The Debtors tapped Parker & Lipton as their legal counsel and George C. Ferullo, C.P.A., P.C. as their accountant. MEADE INSTRUMENTS: Sheppard Says Its Claims Shouldn't Be Discarded ------------------------------------------------------------------ Creditor Sheppard, Mullin, Richter & Hampton LLP submitted an objection to approval of the Disclosure Statement explaining the Chapter 11 Plan filed by the Unsecured Creditors Committee of Meade Instruments Corp. As reported in the TCR, the Committee has proposed the Plan with the support and financial contributions of the Debtor's largest creditor, Optronic Technologies, Inc. d/b/a Orion Telescopes & Binoculars. Under the Plan, Class 1 Orion Unsecured Claim in the amount of $53,660,743 is impaired. In exchange for the plan consideration, a new company formed by Orion will receive title to all of the assets of the Debtor not including the Estate Litigation Claims. Class 2 General Unsecured Claims will recover 30% of their claims. Sheppard served as the Debtor's prepetition trial attorneys in a complex antitrust lawsuit charging the Debtor with price-fixing and monopolistic activities. Sheppard provided extensive legal services to the Debtor for several years, culminating in the representation of the Debtor at a trial that resulted in a verdict, including an award of treble damages under the antitrust laws, in favor of Optronic Technologies, Inc. d/b/a Orion Telescopes. The actual damages verdict was $16.8 million, which after trebling resulted in a judgment of $50.4 million. Sheppard timely filed a proof of claim for approximately $2.7 million. In its objection, Sheppard points out that the Disclosure Statement assumes, in violation of 11 U.S.C. Sec. 502 and Bankruptcy Rule 3001, that Sheppard's claim is disallowed and cannot be voted in class 2. The liquidation analysis states that the "Plan analysis assumes claim is disallowed in its entirety." After making that unfounded assumption, the liquidation analysis estimates that the remaining allowed claims of $743,213 will be paid 30%, substantially more than would be recovered in a Chapter 7 liquidation. Yet on page 26 of the disclosure statement, that conclusion is further undermined by a dollar-for-dollar reduction in Class 2 distributions if certain revenues are not achieved. To provide adequate information to cast a vote, the Disclosure Statement should be presented with a liquidation analysis in which Sheppard's claim is both allowed and in which it is disallowed. * The Disclosure Statement and liquidation analysis are inadequate and misleading. They assume, with no discussion or analysis, that the largest unsecured claim, will be disallowed in its entirety. To provide adequate information, the Disclosure Statement should provide projections that show both the estimated Class 2 recoveries if Sheppard's claim is allowed and if it is disallowed. Sheppard also believes the proposed plan contains provisions that may make it unconfirmable, and, while Sheppard reserves all rights to object to the plan and is not waiving any rights, Sheppard believes it is appropriate to raise these issues at this time. By way of background, Meade has indicated that it intends to assert claims against Sheppard, seeking at least $15 million for alleged professional negligence, breach of fiduciary duty, and avoidance (defined in the plan as "SMRH Claims"). Meade has not yet specified its supposed claims against Sheppard, but any claims that are asserted will be vigorously defended. The attorney-client relationship out of which Meade suggests it will assert claims concerns complex antitrust litigation that spanned more than four years, including a six-week trial, thousands of attorney-hours, dozens of pre-trial motions, and more than 700 docket entries. See generally Civil Docket, Optronic Technologies, Inc. v. Ningbo Sunny Electronic Co., Ltd., et al., Case No. 5:16-cv-06370-EJD. Moreover, while Meade failed to prosecute an appeal, its co-defendant is prosecuting an appeal of the very same judgment, and briefing in that appeal is still ongoing. In connection with the supposed SMRH Claims, the plan should not authorize the alteration, modification or amendment of Sheppard's rights, claims, remedies and defenses with respect to such claims. Attorneys for the objector: AARON MALO SHEPPARD, MULLIN, RICHTER & HAMPTON LLP 650 Town Center Drive, 10th Floor Costa Mesa, California 92626 Telephone: 714.513.5100 Facsimile: 714.513.5130 E-mail: amalo@sheppardmullin.com About Meade Instruments Corp. Meade Instruments Corp. designs and manufactures optical products, including telescopes, cameras, binoculars, and sports optics products. Meade Instruments Corp. filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 19-14714) on Dec. 4, 2019. In the petition signed by Victor Aniceto, president, the Debtor was estimated to have $10 million to $50 million in both assets and liabilities. Marc C. Forsythe, Esq., at Goe Forsythe & Hodges LLP is the Debtor's legal counsel. Sall Spencer Callas & Krueger, a Law Corporation, and Parker Mills LLP, as co-special litigation counsels. MONTICELLO HORIZON: Gets Cash Collateral Access Thru March 10 ------------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of New York, Poughkeepsie Division, has authorized Monticello Horizon Legacy, LLC to use cash collateral on an interim basis, through March 10, 2020 and fix monthly adequate protection payment. The Debtor owns investment rental properties in Sullivan County, New York. As of October 15, 2020, the Debtor was an obligor under a note and security agreement with Wilmington Trust, National Association, as Trustee, for the Benefit of the Holders of Corevest American Finance 2019-1 Trust Mortgage Pass-Through Certificates in the approximate amount of $2,595,957. The obligation owed to Wilmington is collateralized by the investment rental properties owned by the Debtor. The Debtor is authorized to use cash collateral in the ordinary course of business and provide monthly adequate protection payments of $1,500 to Wilmington Trust starting December 2020, payable on or before the 20th of each month. A copy of the order is available at https://bit.ly/2MJj5sk from PacerMonitor.com. About Monticello Horizon Legacy, LLC South Fallsburg, N.Y.-based Monticello Horizon Legacy, LLC filed a Chapter 11 petition (Bankr. S.D.N.Y. Case No. 20-35665) on June 24, 2020. In the petition signed by Esther Loeffler, managing member, the Debtor estimated $1 million to $10 million in both assets and liabilities. The Hon. Cecelia G. Morris oversees the case. Michelle Trier, Esq., at Genova & Malin, serves as the Debtor's bankruptcy counsel. MURRAY ENERGY: Bankruptcy Settlement Is Safe from CONSOL -------------------------------------------------------- Alex Wolf of Bloomberg Law reports that CONSOL Energy Inc. failed in its bid to challenge a bankruptcy court-approved agreement between Murray Energy Corp. and Murray's employee retirement plan beneficiaries. CONSOL, based in Canonsburg, Pa., lacks standing to challenge Murray's agreement, the U.S. Bankruptcy Appellate Panel for the Sixth Circuit ruled Monday, February 1, 2021. The ruling keeps alive the question of whether CONSOL -- which had sold certain mining operations to a Murray subsidiary in 2013 -- is on the hook for benefits payments of the workers who became Murray employees following the deal. CONSOL's liability to now-retired Murray Energy coal miners is for another court to decide, outside of Murray's Chapter 11. About Murray Energy Headquartered in St. Clairsville, Ohio, Murray Energy -- http://murrayenergycorp.com/-- is the largest privately owned coal company in the United States, producing approximately 76 million tons of high quality bituminous coal each year, and employing nearly 7,000 people in the United States, Colombia and South America. Murray Energy now operates 15 active mines in five regions in the United States, plus two mines in Colombia, South America. It operates 12 underground longwall mining systems, 42 continuous mining units, 10 transloading facilities, and five mining equipment factory and fabrication facilities. Murray Energy and its affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Ohio Lead Case No. 19-56885) on Oct. 29, 2019. At the time of the filing, the Debtors were estimated to have assets of between $1 billion and $10 billion and liabilities of the same range. The cases have been assigned to Judge John E. Hoffman Jr. The Debtors tapped Kirkland & Ellis LLP and Kirkland & Ellis International LLP as general bankruptcy counsel; Dinsmore & Shohl LLP as local counsel; Evercore Group L.L.C. as investment banker; Alvarez and Marsal L.L.C. as financial advisor; and Prime Clerk LLC as notice and claims agent. The U.S. Trustee for Region 9 appointed creditors to serve on the official committee of unsecured creditors on Nov. 7, 2019. NATIONAL SMALL: Case Summary & 8 Unsecured Creditors ---------------------------------------------------- Debtor: National Small Business Alliance, Inc. 601 Pennsylvania Ave NW South Building, Suite 900 Washington, DC 20004 Business Description: National Small Business Alliance, Inc. -- http://www.nsbamembers.org-- is a small business owners' membership association that provides a varienty of critical services to thousands of small businesses. Chapter 11 Petition Date: January 31, 2021 Court: United States Bankruptcy Court District of Columbia Case No.: 21-00031 Judge: Hon. Elizabeth L. Gunn Debtor's Counsel: Eric Nwaubani, Esq. LAW GROUP INTERNATIONAL CHARTERED 1629 K Street, NW Suite 300 Washington, DC 20006 Tel: 202-446-8050 E-mail: attorney@lgic.us Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Michael Holleran, director/CEO. A copy of the petition containing, among other items, a list of the Debtor's eight unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/RPHBCPY/National_Small_Business_Alliance__dcbke-21-00031__0001.0.pdf?mcid=tGE4TAM NEELKANTH HOTELS: May Use Cash Collateral Thru March 31 ------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta Division, has authorized Neelkanth Hotels, LLC to use cash collateral on an interim basis until March 31, 2021, in accordance with a budget and subject to the terms and conditions of the Order Allowing Continued Interim Use of Cash Collateral by Neelkanth Hotels, LLC through December 31, 2020, as modified by the Unopposed Order Allowing Continued Interim Use of Cash Collateral. The Debtor is the owner of a 99-room hotel property located at 1302 Green Street SE, Conyers, Georgia 30012. The Property is being operated as a Best Western hotel pursuant to a franchise agreement. The income derived from the Property may be claimed to be cash collateral by U.S. Bank, National Association, as trustee for the holders of COM2012-CCRE3 Commercial Mortgage Pass-Through Certificates, pursuant to the Deed to Secure Debt, Security Agreement, Assignment of Leases and Fixture Filing dated August 30, 2012, recorded at Book 5224, Page 110 of the real estate records of Rockdale County, Georgia. The Debtor's counsel is directed to serve a copy of the Order on all creditors listed in the Debtor's matrix filed in the case. A copy of the order is available at https://bit.ly/2L9gVBN from PacerMonitor.com. About Neelkanth Hotels, LLC Neelkanth Hotels, LLC is a privately held company in the traveler accommodation industry. It is a single asset real estate (as defined in 11 U.S.C. Section 101(51B)). Neelkanth Hotels filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Case No. 20-69501) on Aug. 31, 2020. In the petition signed by Hemant Thaker, member and manager, the Debtor estimated $1 million to $10 million in both assets and liabilities. Judge Jeffery W. Cavender oversees the case. Schreeder, Wheeler & Flint, LLP is the Debtor's legal counsel. OAKVIEW CROSSING: Seeks to Hire Norton Commercial as Broker ----------------------------------------------------------- Oakview Crossing of Hartwell, LLC seeks approval from the U.S. Bankruptcy Court for the Middle District of Georgia to employ Norton Commercial Acreage Group, LLC as its real estate broker. The Debtor needs a real estate broker to market and sell its real property located on Highway 29 in Hartwell, Ga. Norton Commercial will be paid a commission of 8 percent of the gross sale proceeds. Thomas Howard, a partner at Norton Commercial, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Norton Commercial can be reached at: Thomas Howard Norton Commercial Acreage Group, LLC 434 Green Street Gainesville, GA 30501 Tel: (770) 536-1250 Fax: (800) 955-0022 About Oakview Crossing of Hartwell Oakview Crossing of Hartwell, LLC is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). It owns a single tract of real property consisting of 39.88 acres of land in Hart County, Ga. Oakview Crossing of Hartwell filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Ga. Case No. 20-30720) on Oct. 4, 2020. C. William Kidd, the Debtor's manager, signed the petition. At the time of filing, the Debtor estimated $1 million to $10 million in both assets and liabilities. Judge James P. Smith oversees the case. Kelley & Clements, LLP, serves as the Debtor's legal counsel. PATHWAY VET: S&P Assigns 'B' Rating on $1.02B Sr. Secured Term Loan ------------------------------------------------------------------- S&P Global Ratings assigned its 'B' issue-level rating and '3' recovery rating to Pathway Vet Alliance LLC's proposed senior secured term loan (about $1.02 billion, including the delayed-draw term loan). The '3' recovery rating indicated its expectation for meaningful (50%-70%; rounded estimate: 50%) recovery in the event of a payment default. S&P said, "The company is repricing its first-lien debt. We view this transaction as leverage-neutral. We will remove the rating on the existing term loan once the transaction closes. "Our 'B' issuer credit rating on Pathway reflects its leading position in U.S. veterinary practice management and positive trends in the pet industry. However, the company is smaller than peers such as NVA Holdings Inc. and Mars Inc., which could be a disadvantage competing for acquisitions. The stable outlook reflects our expectation that Pathway will continue generating acquisition-driven, double-digit percentage revenue growth and that EBITDA margins will expand, allowing the company to generate free operating cash flow. We also expect Pathway's aggressive, debt-financed growth strategy will keep leverage above 7x for the next couple of years. In 2021 and beyond, we expect discretionary cash flow to debt to be at least 3%." PBS BRAND: February 8 Hearing on Sale of All Assets to CrowdOut --------------------------------------------------------------- PBS Brand Co., LLC, and its debtor affiliates filed with the U.S. Bankruptcy Court for the District of Delaware a notice of the Feb. 8, 2021 hearing on their proposed bidding procedures in connection with the sale of substantially all assets to CrowdOut Capital, LLC, subject to overbid. The purchase price is an amount equal to at least the sum of (i) the amount of the Prepetition Secured Debt estimated to be $21,194,462, plus (ii) the DIP Obligations estimated to be $11.212 million, plus the Assumed Liabilities. On Jan. 27, 2021, the Debtor's counsel filed with the Court the Debtors' Bidding Procedures Motion and the Debtors' Motion for Entry of an Order Shortening the Notice Period with Respect to the Debtors' Bidding Procedures Motion. On Jan. 29, 2021, the Court entered the Order granting the Motion to Shorten. As indicated in the Order, the Court set the deadline to respond to the Bidding Procedures Motion as Feb. 8, 2021, at 9:00 a.m. (ET) and scheduled the hearing on the Bidding Procedures Motion for Feb. 8, 2021, at 2:00 p.m. (ET). Due to COVID-19, and in accordance with the Court's Fifth Amended Order Governing The Conduct Of Hearings Due to Coronavirus Disease 2019 (COVID-19) And Reconstituting Operations, the hearing will be conducted electronically. About PBS Brand Co. PBS Brand Co. LLC and its affiliates are a chain of "eatertainment" venues that blends best in category scratch-kitchen culinary specialties, and craft cocktail and craft non-alcoholic programs. Each of the Punch Bowl locations is a design-forward environment that provides its patrons with a different and diverse selection of games including, among other things, bowling, scrabble, shuffleboard, virtual reality, billiards, karaoke, vintage arcade games, ping-pong, darts, and skee-ball, and in one location, a nine-hole miniature golf course, that create a setting conducive to large corporate gatherings as well as a la carte sales. PBS Brand Co. and its affiliates concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 20-13157) on Dec. 21, 2020. Stacy Johnson Galligan, authorized representative, signed the petitions. At the time of the filing, PBS Brand was estimated to have $10 million to $50 million in both assets and liabilities. Judge John T. Dorsey oversees the cases. The Debtors tapped Morris James LLP as counsel, Gavin/Solmonese as restructuring advisor, and Omni Agent Solutions as claims, noticing, and balloting agent. PERATON CORP: S&P Places 'B' ICR on Watch Pos. on Perspecta Deal ---------------------------------------------------------------- S&P Global Ratings placed its ratings on Herndon, Va.-based government services provider Peraton Corp., including its 'B' issuer credit rating, on CreditWatch with positive implications. Peraton Corp., a portfolio company of private investment firm Veritas Capital, has entered into a definitive agreement to acquire Perspecta Inc., a leading U.S. government services provider, in an all-cash transaction valued at $7.1 billion. S&P said, "The positive CreditWatch placement reflects the possibility that we would raise our ratings on Peraton after its acquisition of higher-rated Perspecta. We view the addition of Perspecta as increasing Peraton's scale and diversification, improving its margins, and expanding its ability to compete for information technology services contracts, including with Department of Defense and intelligence customers. We expect to reassess our ratings on Peraton after the acquisition closes, likely in the first half of 2021." CreditWatch S&P said, "We expect to resolve the CreditWatch placement when the acquisition closes, at which time we anticipate raising the ratings on Peraton by at least one notch. Alternatively, we would reassess our ratings on Peraton if the transaction fails to close, most likely causing us to affirm the current ratings and assign a negative outlook." PERSPECTA INC: S&P Places 'BB' ICR on Watch Neg. on Peraton Deal ---------------------------------------------------------------- S&P Global Ratings placed its ratings on Chantilly, Va.-based U.S. government service contractor Perspecta Inc. and its debt, including its 'BB' issuer credit rating, on CreditWatch with negative implications. Perspecta Inc. announced that it has entered into a definitive agreement to be acquired by Peraton Corp., a company owned by Veritas Capital, for $7.1 billion. S&P said, "The negative CreditWatch placement reflects the potential that we would lower our ratings on Perspecta after lower-rated Peraton acquires it. The CreditWatch does not apply to Perspecta's Enterprise Solutions LLC notes which benefit from a guarantee from HP Inc. We expect to reassess our ratings on Perspecta after the acquisition closes. Although we anticipate that the combined company will have greater scale and contract diversification, leverage will likely increase significantly from Perspecta's current leverage. We anticipate that the transaction will close by mid-year. "We expect to resolve the CreditWatch placement when the acquisition closes, at which time we anticipate lowering the ratings on Perspecta and its debt by at least one notch and discontinuing the ratings after its debt is repaid. Alternatively, we would reassess our ratings on Perspecta and its debt if the transaction fails to close, in which case we would likely affirm the current ratings and stable outlook." PINKLEY FARMS: Gets OK to Hire Weichert as Real Estate Agent ------------------------------------------------------------ Pinkley Farms, Inc. received approval from the U.S. Bankruptcy Court for the Western District of Arkansas to hire Weichert Realtors-The Griffin Company-The Commercial Division as its real estate agent. Weichert Realtors will assist the Debtor in the sale of its property located at 3194 Pinkley Road, Springdale, Ark. The firm will get a 5 percent commission on the gross sale price. Weichert Realtors and its agents are "disinterested" within the definition contained in Section 101(14) of the Bankruptcy Code, according to court papers filed by the firm. The firm can be reached through: Philip Taldo Weichert Realtors, The Griffin Company 5100 S Thompson Springdale, AR 72764 Phone: 479-756-1003 Fax: 479-756-0274 About Pinkley Farms Inc. Pinkley Farms, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Ark. Case No. 20-72281) on Nov. 5, 2020. Pinkley Farms President Terry Pinkley signed the petition. At the time of the filing, the Debtor had estimated assets and liabilities of less than $50,000. Judge Ben T. Barry oversees the case. Bond Law Office is the Debtor's legal counsel. PROPERTY VENTURES: Unsec. Creditors to Split $250K in Plan ---------------------------------------------------------- Property Ventures, LLC, submitted an Amended Chapter 11 Plan of Reorganization on Jan. 27, 2021. A hearing to consider confirmation of the Plan is scheduled for March 15, 2021 at 1:00 p.m., at Omaha Courtroom. Objections to confirmation are due March 5, 2021. Upon the Effective Date, all of the Debtor's property will continue to be owned by the Reorganized Debtor. The membership interests in the Debtor will continue to be owned by the Trust. The Debtor will continue to own and operate the business and use the funds generated from the business and the Capital Infusion to pay Debtor's creditors pursuant to the terms of this Plan. All funds recovered through litigation will be used, first, to pay in full all costs associated with such litigation, including all attorneys and other professional fees, second, to pay in full all Allowed Administrative Expense Claims, third, to make distributions to holders of Allowed Secured Claims, according to the terms of this Plan, fourth, to holders of Allowed Priority Claims, and fifth, to holders of Allowed Unsecured Claims. First Westroads Bank's secured claim of $440,958 in Class 1 will receive monthly payments over a 120-month period, with the entire unpaid balance of the claim due and owing on or before March 31, 2025, and interest accruing at the rate of 5% per annum. Class 1 is impaired. After Class 1 is paid in full, Gloria Ann Murante's secured claim of $194,371 will receive monthly payments over a period of 96 months, subject to interest accruing at the lower of the Till Rate or the applicable statutory judgment rate. Class 2 is impaired. Holders of unsecured claims in Class 5 will receive the sum of $250,000. The Debtor will make a cash payment in the amount of $75,000 on the Effective Date and will contribute the sum of $175,000 in deferred payments to the holders of Allowed Class 5 Claims. Holders of equity security interests in the Debtor in Class 6 shall retain their interests in the Debtor under the Plan. Classes 1 through 5 will be paid from the revenue derived from Debtor's post-petition income. A full-text copy of the Amended Chapter 11 Plan of Reorganization dated Jan. 27, 2021, is available at https://bit.ly/39uFsdP from PacerMonitor.com at no charge. Counsel for the Debtor: Patrick R. Turner Turner Legal Group, LLC 139 S. 144th Street, #665 Omaha, NE 68010 Tel No. 402-690-3675 E-mail: pturner@turnerlegalomaha.com About Property Ventures Property Ventures, LLC, was formed in 2001 for the purpose of developing, acquiring, and holding real estate for investment purposes. It currently owns four commercial real estate properties (with accompanying parking lots) located in Nebraska. All of the Company's income is generated from the rental income derived from the properties. Property Ventures previously sought bankruptcy protection on Dec. 13, 2017 (Bankr. D. Neb. Case No. 17-81762). Property Ventures, LLC, filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. D. Neb. Case No. 20-80750) on June 8, 2020. The petition was signed by Lisa Rezac, Trustee, Gloria Ann Murante Intervivos Trust. At the time of the filing, the Debtor disclosed total assets of $318,708 and total liabilities of $6,210,101 as of May 31, 2020. The Debtor tapped Turner Legal Group, LLC as counsel. QUINCY STREET: Seeks to Hire Gordon Feinblatt as Special Counsel ---------------------------------------------------------------- Quincy Street Townhomes I, LLC seeks approval from the U.S. Bankruptcy Court for the District of Columbia to employ Gordon Feinblatt, LLC as its special counsel. The Debtor needs the firm's legal assistance to resolve a title issue involving its real property located at 431 Quincy St., NW, in the District of Columbia. Gordon Feinblatt will be paid at the rate of $375 per hour. The firm will also be reimbursed for out-of-pocket expenses incurred. Lindsay D'Andrea, Esq., a partner at Gordon Feinblatt, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Gordon Feinblatt can be reached at: Lindsay D'Andrea, Esq. Gordon Feinblatt, LLC 233 East Redwood Street Baltimore, MD 21202 Tel: (410) 576-4000 Email: ldandrea@gfrlaw.com About Quincy Street Townhomes I LLC Washington, DC-based Quincy Street Townhomes I, LLC is engaged in activities related to real estate. Quincy Street Townhomes I and its affiliates, Quincy Street Townhomes II, LLC and Potomac Construction Flats, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.D.C. Lead Case No. 19-00826) on Dec. 16, 2019. At the time of the filing, Quincy Street Townhomes disclosed assets of between $1 million and $10 million and liabilities of the same range. Judge Martin S. Teel, Jr. oversees the cases. Whiteford, Taylor & Preston L.L.P. serves as the Debtors' bankruptcy counsel. The Debtors tapped Miles & Stockbridge P.C. and Gordon Feinblatt, LLC as special counsel. REDRHINO: Granted Cash Collateral Access on Final Basis ------------------------------------------------------- The U.S. Bankruptcy Court for the Central District of California, Los Angeles Division, has authorized Redrhino: The Epoxy Flooring Company, Inc. to use cash collateral on a final basis. The Debtor requires the use of cash collateral in which its secured creditors may assert an interest, in order to pay reasonable expenses during the ordinary course of operating its business. The Debtor says secured creditors have filed UCC Financing Statements on account of claims totaling about $782,275. The secured creditors are: 1. Pawnee Leasing Corporation (UCC Financing Statement filed on 10/1/2015) is secured by certain equipment pursuant to that certain Lease Agreement between the Debtor and Pawnee Leasing Corporation. Pawnee Leasing does not have an interest in the Debtor's cash. 2. FirstLease. Inc. (UCC Financing Statement filed on 10/1/2015) is secured by certain equipment described in the UCC Financing Statement. FirstLease, Inc. does not have an interest in the Debtor's cash. 3. On Deck Capital (UCC Financing Statement filed on 10/28/2017) has an interest in the Debtor's rights, title and interest, whether now existing or hereafter acquired, in and to any and all assets of the Debtor. On Deck Capital has an interest in the Debtor's cash. 4. Libertas Funding LLC (UCC Financing Statement filed on 11/29/2017) has an interest in the Debtor's rights, title and interest, whether now existing or hereafter acquired, in and to any and all assets of the Debtor. Libertas Funding LLC has an interest in the Debtor's cash. 5. 1 West Capital LLC (UCC Financing Statement filed on 1/10/2019) has an interest in the Debtor's cash. 6. FirstLease, Inc. (Notice of Judgment Lien filed on 9/22/2020) has an interest in all property subject to enforcement of a money judgment against the debtor to which a judgment lien on personal property may attach. The Debtor's unsecured creditors include various confessions of judgment for breach of contracts or merchant agreements, vendors, and unpaid fees and have an estimated total claim amount of $781,174. A copy of the Final Order is available at https://bit.ly/36QJkV9 from PacerMonitor.com. About Redrhino: The Epoxy Flooring Company, Inc. Redrhino: The Epoxy Flooring Company, Inc. is an independent contractor offering epoxy coating for concrete floors. Redrhino filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 20-20257) on Nov. 16, 2020. The petition was signed by Michael D. Kenealy, its president. At the time of filing, the Debtor disclosed $38,800 in total assets and $1,563,449 in total liabilities. Judge Sandra R. Klein oversees the case. The Law Offices of Michael Jay Berger represents the Debtor as counsel. REMINGTON OUTDOOR: Bankruptcy Liquidation Plan Cleared for Voting ----------------------------------------------------------------- Daniel Gill of Bloomberg Law reports that Remington Outdoor Co. Inc. can solicit votes for its liquidation plan after a bankruptcy judge conditionally approved the gun manufacturer's disclosures. Judge Clifton R. Jessup Jr. of the U.S. Bankruptcy Court for the Northern District of Alabama will consider final approval of Remington's disclosure statement March 8, 2021. The Plan, which follows the $157 million sale of most of Remington's assets, would create two trusts: a creditor trust and a sub-trust for tort claimants. Sandy Hook Families—a group that sued Remington over the 2012 elementary school shooting—and others with litigation claims against the company would be able to pursue insurance proceeds. About Remington Outdoor Company Based in Madison, North Carolina, Remington Outdoor Company, Inc. -- https://www.remingtonoutdoorcompany.com/ -- manufactures and markets firearms, ammunition, and related products for commercial, military, and law enforcement customers worldwide. The company operates through two segments, Firearms and Ammunition. Remington Outdoor Company, Inc., and its affiliates filed their voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ala. Lead Case No. 20-81688) on July 27, 2020. The petitions were signed by CEO Ken D'Arcy. At the time of filing, the Debtors estimated $100 million to $500 million in both assets and liabilities. O'MELVENY & MYERS LLP, led by Stephen H. Warren, and Karen Rinehart, is the Debtors' general bankruptcy counsel. BURR & FORMAN LLP, led by Derek F. Meek and Hanna Lahr, is the Debtors' local counsel. M-III ADVISORY PARTNERS, LP, is the Debtors' financial advisor, while DUCERA PARTNERS LLC, is the investment banker. PRIME CLERK LLC is the Debtors' notice, claims & balloting agent. REMY'S HT RN: Seeks to Hire Havkin & Shrago as Legal Counsel ------------------------------------------------------------ Remy's HT RN, LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Havkin & Shrago, Attorneys At Law, as its legal counsel. The firm will provide these services: (1) represent the Debtor at its initial interview; (2) represent the Debtor at its meeting of creditors pursuant to Bankruptcy Code Section 341(a), or any continuance thereof; (3) represent the Debtor at all hearings before the bankruptcy court; (4) prepare legal papers; (5) advise the Debtor regarding matters of bankruptcy law, including the Debtor's rights and remedies with respect to its assets and the claims of its creditors; (6) represent the Debtor with regard to all contested matters; (7) represent the Debtor with regard to the preparation of a plan of reorganization and the negotiation and implementation of the plan; (8) analyze any secured, priority or general unsecured claims that have been filed in the Debtor's Chapter 11 case; (9) negotiate with the Debtor's secured and unsecured creditors regarding the amount and payment of their claims; (10) object to claims as may be appropriate; and (11) perform all other legal services for the Debtor other than adversary proceedings which would require a further written agreement. The firm received a pre-bankruptcy retainer of $7,500 exclusive of the filing fees and is expected to receive another $7,500 in the next 60 days. The firm will be paid at these rates: Stella Havkin $440 per hour David Jacob $350 per hour Havkin & Shrago is "disinterested" within the meaning of Section 101(14) of the Bankruptcy Code, according to court papers field by the firm. The firm can be reached through: Stella Havkin, Esq. Havkin & Shrago Attorneys at Law 5950 Canoga Avenue, Ste. 400 Woodland Hills, CA 91367 Telephone: (818) 999-1568 Facsimile: (818) 305-6040 Email: stella@havkinandshrago.com About Remy's HT RN Remy's HT RN, LLC sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Calif. Case No. 21-10026) on Jan. 4, 2021, disclosing under $1 million in both assets and liabilities. Havkin & Shrago, Attorneys At Law serves as the Debtor's legal counsel. SABLE PERMIAN: Simpson Thacher Advised Lender JPMorgan ------------------------------------------------------ Simpson Thacher represented JPMorgan Chase Bank, N.A. ("JPM"), as administrative agent and lender under a pre-petition RBL facility and subsequent debtor-in-possession financing facility, in connection with the bankruptcy cases of Sable Land Company ("Sable Land") and its affiliate debtors (the "Debtors") filed in the United States Bankruptcy Court for the Southern District of Texas. Sable Land's chapter 11 restructuring went effective February 1, 2021, after the Bankruptcy Court confirmed the Company's plan of reorganization at the January 29, 2021 confirmation hearing. Following the commencement of the chapter 11 cases on June 25, 2020, Simpson Thacher guided JPM through an in-court auction process to sell substantially all of the assets of Sable Land and certain of its related debtors. The lender syndicate submitted a credit bid at the auction, which contemplated equitizing a portion of the lenders' prepetition loans for the assets of Sable Land through a chapter 11 plan, and was subsequently chosen by the Debtors as the highest and best offer for the Debtors' assets. Such plan was subsequently solicited to the stakeholders of the Debtors' estates, and following significant negotiations with both the unsecured creditors' committee and an ad-hoc group of secured and unsecured noteholders, ultimately received nearly unanimous support of the various classes of creditors. Simpson Thacher also guided the lenders through a cash-out process, wherein syndicate members were able to monetize their post-emergence share of equity during the bankruptcy process at an attractive valuation through an anonymous sale process. Additionally, JPM and the other lenders under the pre-petition RBL facility are providing exit financing in the form of a post-petition RBL of up to $315,000,000. Bighorn Permian Resources, LLC, the successor to Sable Land, emerges from bankruptcy as an independent E&P company located in Irving, Texas. Bighorn focuses on the exploration and development of assets in the Permian Basin. The Simpson Thacher team included Partner Elisha Graff and Associates Daniel Biller and Dov Gottlieb (New YorkRestructuring); Partner Chris May, Counsel Brad Honeycutt and Associate Juan Gonzalez (New York) (M&A); Partner Matt Einbinder and Associate Brandon Barton (Banking and Credit); and Partner Brian Rosenzweig (Capital Markets). All attorneys are based in Houston unless otherwise noted. About Sable Permian Resources Sable Permian Resources, LLC and its affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 20-33193) on June 25, 2020. At the time of the filing, Sable Permian Resources disclosed assets of between $1 billion and $10 billion and liabilities of the same range. Judge Marvin Isgur oversees the cases. The Debtors have tapped Latham & Watkins, LLP and Hunton Andrews Kurth LLP as legal counsel, Alvarez & Marsal North America LLC as financial advisor, Evercore Group LLC as an investment banker, and M-III Advisory Partners, LP as financial advisor. Mohsin Y. Meghji of M-III Advisory Partners is Debtors' chief restructuring officer. Hilco Valuation Services, LLC, Hilco Real Estate Appraisal, LLC, and Hilco Fixed Asset Recovery, LLC are tapped as liquidation analysis and valuation experts and sage-popovich, inc., as valuation expert. The Office of the U.S. Trustee appointed a committee of unsecured creditors on July 17, 2020. The committee has tapped Paul Hastings LLP and Mani Little & Wortmann, PLLC as its legal counsel, Conway MacKenzie LLC as a financial advisor, and Miller Buckfire & Co. LLC and Stifel, Nicolaus & Co. Inc. as an investment banker. SAINT PETER'S HOSPITAL: S&P Affirms 'BB+' Rating on Revenue Bonds ----------------------------------------------------------------- S&P Global Ratings' revised its outlook to positive from stable and affirmed its 'BB+' long-term rating on New Jersey Health Care Facilities Financing Authority's series 2011 and 2007 revenue bonds, issued for Saint Peter's University Hospital, the obligated group of Saint Peter's Healthcare System. In September 2020 Saint Peter's entered into a definitive agreement to be acquired by RWJ Barnabas Health (RWJ Barnabas). Under the agreement, RWJ Barnabas would become the corporate parent of Saint Peter's, which would remain a Catholic institution, and the Saint Peter's board would continue to oversee the system's day-to-day operations; however, reserve powers would be held at the RWJ Barnabas board level. "The outlook revision reflects our view that the rating on Saint Peter's has upward potential under our group rating methodology criteria if the affiliation is consummated, but Saint Peter's remains responsible for its own debt," said S&P Global credit analyst Cynthia Keller. If S&P was to apply group rating methodology criteria, it would most likely consider Saint Peter's to be 'strategically important' to RWJ Barnabas and the rating could be raised up to three notches at the time of affiliation. However, under the definitive agreement RWJ Barnabas intends to assume responsibility for Saint Peter's debt at which point the rating would be on parity with the 'AA-' rating currently on RWJ Barnabas. The rating reflects a trend of steadily improving operating margins and cash flow that have led to a stronger balance sheet that has provided Saint Peter's with cushion at the current rating level. SEADRILL LTD: Says Forbearance Agreements Expired Jan. 29 --------------------------------------------------------- Seadrill Limited (OSE:SDRL,OTCQX:SDRLF) on Jan. 29, 2021, announced that forbearance agreements entered into with certain creditors in respect of the group's senior secured credit facility agreements have expired. According to the announcement, the term of the forbearance agreements expired on Jan. 29, 2021, and, accordingly, the creditors with whom forbearance agreements were entered into are no longer prevented from taking actions in respect of events of default that may arise under the senior secured credit facility agreements as a result of the group not making interest payments under the group's senior secured credit agreements. The Company continues to maintain its readiness to carry out a comprehensive restructuring of its balance sheet. Such a restructuring may involve the use of a court-supervised process. The Company continues to engage in constructive discussions in relation to potential further forbearances and to finalise the heads of terms of a comprehensive restructuring of its balance sheet; whilst no agreement has been reached at this point it is expected that potential solutions will lead to significant equitization of debt which is likely to result in minimal or no recovery for current shareholders. About Seadrill Ltd. Seadrill Limited (OSE:SDRL, OTCQX:SDRLF) -- http://www.seapdrill.com/-- is a deepwater drilling contractor providing drilling services to the oil and gas industry. As of March 31, 2018, it had a fleet of over 35 offshore drilling units that include 12 semi-submersible rigs, 7 drillships, and 16 jack-up rigs. On Sept. 12, 2017, Seadrill Limited sought Chapter 11 protection after reaching terms of a reorganization plan that would restructure $8 billion of funded debt. It emerged from bankruptcy in July 2018. Demand for exploration and drilling has fallen further during the COVID-19 pandemic as oil firms seek to preserve cash, idling more rigs and leading to additional overcapacity among companies serving the industry. In June 2020, Seadrill wrote down the value of its rigs by $1.2 billion and said it planned to scrap 10 rigs. Seadrill is presently in talks with lenders on a restructuring of its $5.7 billion bank debt. SEISENBACHER INC: Seeks to Hire Epiq as Claims Agent ---------------------------------------------------- Seisenbacher Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of New York to hire Epiq Corporate Restructuring, LLC as its claims, noticing, solicitation and administrative agent. The firm will oversee the distribution of notices and the maintenance, processing and docketing of proofs of claim filed in the Chapter 11 cases of Seisenbacher and its affiliates. The firm will also provide bankruptcy administrative services. Epiq will charge these hourly fees: Clerical/Administrative Support $35 - $55 IT/Programming $65 - $85 Case Managers $85 - $165 Consultants/Directors/VPs $160 - $165 Solicitation Consultant $195 Executive VP, Solicitation $215 Executives No Charge Before the petition date, the Debtors provided Epiq a retainer in the amount of $15,000. Kate Mailloux, a senior director at Epiq, disclosed in court filings that the firm is "disinterested" as defined in Section 101(14) of the Bankruptcy Code. Epiq can be reached through: Kate Mailloux Epiq Corporate Restructuring, LLC 777 Third Avenue, 12th Floor New York, NY 10017 Phone: (646) 282-2523 About Seisenbacher Rochester, New York-based Seisenbacher Inc. manufactured various interior components for passenger railway car manufacturers before shutting operations and selling its inventory and equipment. Seisenbacher filed a Chapter 11 petition (Bankr. W.D.N.Y. Case No. 21-20022) on Jan. 19, 2021. In the petition signed by CEO Andrew Callahan, the Debtor disclosed total assets of $490,058 and total liabilities of $2,070,585 Nixon Peabody LLP, led by Christopher Desiderio, Esq., is the Debtor's legal counsel. Epiq Corporate Restructuring, LLC is the claims, noticing, solicitation and administrative agent. SIGNET JEWELERS: S&P Affirms 'B+' ICR, Alters Outlook to Pos. ------------------------------------------------------------- S&P Global Ratings revised the outlook to positive from negative and affirmed its 'B+' issuer credit rating on diamond and jewelry retailer Signet Jewelers Ltd. The positive outlook reflects Signet's improving credit metrics as a result of better-than-expected operating performance and balance-sheet deleveraging. Performance gradually improved over the last few months following the initial negative effects of the coronavirus pandemic. For example, Signet reported that same-store sales increased 15% for the quarter ended Oct. 31, 2020, after a comparable sales decline of more than 30% earlier in the year. Furthermore, the positive trends continued through the holiday season as Signet reported that November same-store sales increased about 3% followed by 5.6% growth in the holiday season, with omnichannel sales outpacing (but still positive) growth at its physical stores. In addition, adjusted EBITDA margins meaningfully improved over the same period. Moreover, better-than-expected operating performance and lower capital expenditures (capex) and working capital inflows bolstered free cash flow. Signet used it to repay all outstanding borrowings on its revolving credit facility, which further improved its S&P Global Ratings-adjusted credit protection metrics relative to our prior estimates. S&P said, "We expect Signet's operating performance and credit metrics to improve over the next fiscal year. The rebound in the back half of 2020 will continue this year. Low-double-digit percent sales growth will likely be led by easier comparisons in the first half of 2021 and continued increases in comparable store growth. Our projections include continued closure of underperforming stores in many mall-based locations and a further migration to omnichannel sales sources. Moreover, we project adjusted EBITDA margin of 13%-14% on better sales leveraging. While we continue to think the recovery will be uneven, we believe key industry drivers, including jewelry sales and consumer spending, will continue to rise over the long term, which should support the demand for Signet's products. Our performance projections along with recent debt repayment leads to expect adjusted leverage in the low- to mid-3x range. This leads us to revise our assessment of its financial risk profile to significant from aggressive. "We expect Signet to maintain a moderate financial policy amid recent debt reduction but see potential risk in the company's strategy for the preferred shares. We expect it will maintain a moderate financial policy and excess cash flows will be used to fund strategic investments, debt management, and shareholder initiatives over the next 12-18 months. This reflects our expectation of FOCF generation of $175 million-$200 million over the next year. We also project credit protection metrics to remain consistent with recent results, including adjusted leverage in the low- to mid-3x area and funds from operations (FFO) to debt of 19%-20% over the next two years. "That said, our view of the company's financial policy is partially tempered by the stated intention to pay preference share interest in kind. We consider the more than $600 million in preferred equity as debt in our adjusted debt calculations because of the medium-term maturity schedule and our belief that management would refinance the preferred equity with debt in the future. While unlikely to pose near-term financial risks given our base-case projections, we believe payment-in-kind (PIK) interest on the preferred shares could pose a long-term risk in increasing debt amounts. "Heightened competition and secular shifts in retail will continue to weigh on Signet's operating performance. Given the highly discretionary nature of jewelry purchases, we expect the operating environment will remain uncertain even after fears related to the pandemic subside. We believe consumers will place greater scrutiny on their prior spending habits, as we forecast a relatively slow economic recovery. In addition to indefinite consumer spending on highly discretionary products, we believe Signet remains susceptible to the segmentation of its customer base toward low- and middle-class consumers." Moreover, the retail industry continues to feel the effects of secular shifts as consumers increasingly shop online and make fewer trips to physical retail stores, hurting mall traffic. These risks could be exacerbated by shifting customer preferences, particularly among millennials, who prefer to spend more on experiences than on material goods, and the multidecade decline in marriage rates. The company has pivoted aggressively toward omnichannel sales and benefited from customer self-spending during the pandemic. While turning to online sales in 2020, Signet remains leveraged to mall-based physical stores. S&P said, "These factors lead us to believe long-term performance could be volatile. We accordingly apply a negative comparable ratings analysis modifier, revised from neutral." The positive outlook reflects Signet's recent deleveraging and paydown in debt, where S&P projects leverage in the mid-3x area over the next 12 months. S&P could raise the rating on Signet if it: -- Effectively addresses competitive pressures and succeeds in its strategic initiatives, resulting in consistent operating performance; -- Maintains conservative financial policy such that we expect adjusted leverage to remain below 4x on a sustained basis; and -- Maintains meaningful FOCF generation to support financial obligations and growth initiatives. S&P could revise the outlook to stable if: -- Operating performance improvements expected over the coming year do not materialize; -- There is evidence of weakened market share, elevated economic uncertainty, and an inability to sustain comparable sales; or -- Signet indicates a less conservative financial policy such that increased balance sheet debt leads to adjusted leverage of 4x or more. SPRINGS MEDICAL: Seeks to Hire Hoff Law Offices as Legal Counsel ---------------------------------------------------------------- Springs Medical Associates P.C. seeks approval from the U.S. Bankruptcy Court for the District of Colorado to hire Hoff Law Offices, P.C. as its bankruptcy counsel. The firm's services include: a. advising the Debtor of its powers and duties; b. preparing legal papers and representing the Debtor in negotiations and at court hearings and related proceedings; c. assisting in the preparation and confirmation of disclosure statement and Chapter 11 plan; and d. other legal services necessary to administer the Debtor's Chapter 11 case. The firm will be paid at these rates: Jessica L. Hoff $400 per hour Paralegals $125 per hour The firm received a retainer in the amount of $24,000. Hoff Law Offices is disinterested as defined by Section 101(14) of the Bankruptcy Code, according to court papers filed by the firm. The firm can be reached through: Jessica L. Hoff, Esq. Hoff Law Offices, P.C. 9233 Park Meadows Drive, Suite 223 Lonetree, CO 80124 Tel: 720-739-3599 Email: jhoff@hofflawoffices.com About Springs Medical Associates Springs Medical Associates P.C. sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Colo. Case No. 20-17026) on Oct. 26, 2020. At the time of the filing, the Debtor disclosed assets of between $500,001 and $1 million and liabilities of the same range. Judge Kimberley H. Tyson oversees the case. Jessica L. Hoff, Esq., at Hoff Law Offices, P.C. serves as the Debtor's legal counsel. SUNSHINE ADULT: Seeks to Hire Law Offices of Alla Kachan as Counsel ------------------------------------------------------------------- Sunshine Adult Social Center, Corp. seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to hire the Law Offices of Alla Kachan, P.C. as its legal counsel. The firm's services will include: a. assisting the Debtor in administering its Chapter 11 case; b. filing motions; c. representing Debtor in adversary proceedings to collect assets of the estate; d. taking the necessary steps to marshal and protect the estate's assets; e. negotiating with creditors in formulating a plan of reorganization; f. drafting and prosecuting the confirmation of the Debtor's Chapter 11 plan of reorganization; and g. other legal services related to the case. The firm's attorneys will be paid at the rate of $475 per hour. The rate for clerks and paraprofessionals is $250 per hour. The Debtor paid the firm an initial retainer of $25,000. Alla Kachan is "disinterested" within the meaning of Section 101(14) of the Bankruptcy Code, according to court papers filed by the firm. The firm can be reached through: Alla Kachan, Esq. Law Offices of Alla Kachan, P.C. 3099 Coney Island Avenue Brooklyn, NY 11235 Tel: (718) 513-3145 Email: alla@kachanlaw.com About Sunshine Adult Social Center Sunshine Adult Social Center sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 20-44231) on Dec. 9, 2020, disclosing $50,001 to $100,000 in assets and $100,001 to $500,000 in liabilities. Judge Jil Mazer-Marino oversees the case. The Debtor tapped the Law Offices of Alla Kachan as its legal counsel and Wisdom Professional Services Inc. as its accountant. SUNSHINE ADULT: Seeks to Hire Wisdom Professional as Accountant --------------------------------------------------------------- Sunshine Adult Social Center, Corp. seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to employ Wisdom Professional Services Inc. as its accountant. The firm will assist the Debtor in the preparation of its monthly operating reports and will be compensated at the rate of $225 per report. The firm received an initial retainer fee in the amount of $2,250. Michael Shtarkman, a certified public accountant at Wisdom Professional, disclosed in court filings that the firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Michael Shtarkman, CPA Wisdom Professional Services Inc. 626 Sheepshead Bay Rd., Ste. 640 Brooklyn, NY 11224 Tel: (718) 554-6672 Email: michael@shtarkmancpa.com About Sunshine Adult Social Center Sunshine Adult Social Center sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 20-44231) on Dec. 9, 2020, disclosing $50,001 to $100,000 in assets and $100,001 to $500,000 in liabilities. Judge Jil Mazer-Marino oversees the case. The Debtor tapped the Law Offices of Alla Kachan as its legal counsel and Wisdom Professional Services Inc. as its accountant. TBAG HOLDINGS: Files Emergency Bid to Use Cash Collateral --------------------------------------------------------- TBAG Holdings, Inc. asks the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, for authority to use cash collateral in accordance with the budget. The Debtor says it has immediate need to use cash collateral, pending a final hearing, to meet its ongoing operational expenses. Essentially all of the Debtor's assets are encumbered by lenders under various liens or security interests. Absent authority to use cash collateral, the Debtor has insufficient unencumbered funds to meet its ongoing obligations of payroll and normal operating expenses. In 2004, the Debtor entered into an $825,000 Adjustable Rate Promissory Note with BLX Capital LLC. The BLX Note is secured by the DryCleaners land, building and substantially all of the DryCleaners equipment. Approximately $550,000 remains due on the BLX Note. In January 2017, the Debtor entered into a Master Equipment Finance Agreement with Direct Capital, a subsidiary of CIT, in connection with purchasing a Union Dry-cleaning Machine and Fulton Return System. The Direct Capital Note is secured by the Direct Capital Collateral and potentially a subordinate lien in substantially all of the Debtor's equipment. Approximately $14,725 remains outstanding. The Direct Capital Collateral is worth approximately $8,000. In June 2020, the Debtor received a $10,000 grant and borrowed $28,000 from the U.S. Small Business Administration under its Economic Injury Disaster Loan program. Payments under the EIDL program are not due for a year, so the current loan balance has increased to $28,100. The loan is secured by substantially all of the Debtor's equipment, but because of prior loans, there is no equity in the equipment. Additionally, the Debtor owes about $33,000 in past due real property taxes and $9,000 in past due personal property taxes. The Debtor's operations were severely impacted because of the COVID-19 related shut downs and work from home mandates. In April 2020, the Debtor ceased making payments to BLX. Despite attempting to work out a loan modification or deferral, on January 6, 2021, BLX accelerated the BLX Note and served Notice on the Debtor of a Substitute Trustee's sale on February 2, 2021. The Debtor filed for Chapter 11 to stop the foreclosure and allow it to reorganize. As adequate protection, the Debtor seeks to grant the Lender postpetition Replacement Liens in the DryCleaners' equipment, supplies and office furniture in the same order and priority as existed on the date the case was filed as adequate protection to the extent that prepetition collateral is expended postpetition. The Lenders are further adequately protected by Bankruptcy Code section 507(b), which grants Lenders an administrative expense claim for any diminution in the value of the Cash Collateral. The Debtor requests that the Court set a preliminary hearing on the use of Cash Collateral, and that at preliminary hearing, the Court authorize the use of Cash Collateral, in order to avoid immediate and irreparable harm to this estate pending a final hearing. A copy of the Debtor's request is available at https://bit.ly/3oAGY2G from PacerMonitor.com. About TBAG Holdings, Inc. TBAG Holdings Inc., dba Dry Cleaning Supercenters, filed a Chapter 11 petition (Bankr. S.D. Tex. Case No. 21-30266) on January 28, 2021, listing $537,535 in total assets and $2,050,341 in total liabilities. The petition was signed by J. Christopher Baughman, president. John Akard Jr., Esq., at Coplen & Banks, P.C., serves as counsel to the Debtor. TERRA-GEN FINANCE: S&P Cuts ICR to 'CCC+', Alters Outlook to Dev. ----------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on Terra-Gen Finance Co. LLC to 'CCC+' from 'B-' and its issue-level rating on its term loan B to 'B-' from 'B'. S&P said, "Our '2' recovery rating on its senior secured term loan remains unchanged, indicating our expectation for substantial (70%-90%; rounded estimate: 85%) recovery in the event of a payment default. At the same time, we are revising the outlook to developing from negative. "The developing outlook reflects the probability that we could lower or raise the rating, depending on whether Terra-Gen successfully refinances its December 2021 term loan and maintains generally consistent operating performance." The downgrade reflects the company's near-term refinancing risks. Terra-Gen successfully extended the maturity of its $20 million revolving credit facility to Oct. 31, 2021, albeit with total availability $2.5 million lower than the previous availability. Despite its successful revolver maturity extension, S&P believes that the company has limited time and liquidity to refinance its term loan, which matures in December 2021. Although the term loan currently features a 100% excess cash flow sweep to a target debt balance, cash flows have been softer over the past year, causing the company to not meet the stated target debt balance of about $100 million by the end of 2020. S&P said, "We evaluate Terra-Gen's creditworthiness and financial risk profile of the consolidated enterprise as a key consideration of our analysis. The current balance on the term loan stands at approximately $184 million. Currently, Terra-Gen has not addressed the December 2021 maturity, although we expect it to refinance in the coming months. We view the refinancing of its term loan due December 2021 as a bigger hurdle than the revolving credit facility due to the current volatility and the potential for uncertainty in the debt markets and limited market access for speculative-grade issuers. Consequently, we believe the credit markets could not be open for Terra-Gen coincident to refinancing. The company's refinancing risks thus constrain our rating. "In our opinion, the company's liquidity is insufficient to repay the outstanding amount on its term loan B and any borrowings on the revolving credit facility. Given the revolver and term loan mature within one month of each other, we do not believe Terra-Gen has sufficient cash on its balance sheet or availability on its revolver to repay the December 2021 maturity of its term loan without a concrete refinancing plan or an equity contribution from its financial sponsors, Energy Capital Partners (ECP) or First Sentier Investors. If the refinancing is delayed or not completed in the next quarter, we could lower our rating to reflect the higher likelihood of a default in the second half of 2021. However, if Terra-Gen overcomes these hurdles and successfully refinances its capital structure, we could raise our rating. Terra-Gen's term loan is currently trading close to par - reflecting the likelihood of a successful refinance in the coming months. Further, ECP has displayed a track-record of supporting Terra-Gen in the past, with the sponsor contributing about $180 million in capital for the development of new assets and repowerings for Terra-Gen over the past year alone. Consequently, we believe ECP could provide some measure of support in the future also. "The developing outlook reflects the probability that we could lower or raise the rating, depending on whether Terra-Gen successfully refinances its December 2021 term loan and maintains generally consistent operating performance." S&P could lower its ratings on Terra-Gen if: -- It fails to refinance its December 2021 term loan by the end of second-quarter 2021. -- Its liquidity becomes further constrained or if unfavorable economic conditions lead S&P to conclude the company will likely default over the following quarters. -- These scenarios include a near-term liquidity crisis, or the likely implementation of a distressed exchange offer or debt redemption over the next several quarters. S&P could raise the rating if the company successfully refinances its senior secured term loan in the near term. TRIBECA BEVERAGE: Seeks to Hire Rosenberg & Estis as Legal Counsel ------------------------------------------------------------------ Tribeca Beverage, Inc. and Tompkins Square Distributors, Inc. seek approval from the U.S. Bankruptcy Court for the Southern District of New York to hire Rosenberg & Estis, P.C. as their legal counsel. The firm's services will include: a. advising the Debtors with respect to their powers and duties and the continued management of their property and affairs; b. preparing legal papers; c. appearing before the court; d. preparing and pursuing confirmation of a Chapter 11 plan and approval of a disclosure statement; e. attending meetings and negotiating with representatives of creditors and other parties in interest; and f. other legal services necessary to administer the Debtors' Chapter 11 cases. The firm will be paid at these rates: Partners $500 - $900 per hour Associates $250 - $460 per hour Paralegals $200 - $280 per hour Jack Rose, Esq., a partner at Rosenberg & Estis, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Rosenberg & Estis can be reached at: Jack Rose, Esq. Rosenberg & Estis, P.C. 733 Third Avenue New York, NY 10017 Tel: (212) 867-6000 Email: jrose@rosenbergestis.com About Tribeca Beverage Tribeca Beverage sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 21-10053) on Jan. 14, 2021. Jack Rose, Esq. at Rosenberg & Estis, P.C., serves as the Debtor's legal counsel. At the time of the filing, the Debtor disclosed assets of between $100,001 and $500,000 and liabilities of the same range. TTK RE ENTERPRISE: Selling Egg Harbor Township Property for $200K ----------------------------------------------------------------- Judge Jerrold N. Poslusny of the U.S. Bankruptcy Court for the District of New Jersey will convene a hearing on March 2, 2021, at 11:00 a.m. to consider TTK RE Enterprises, LLC's sale of the residential property located at 19 Robin Road, in Egg Harbor Township, New Jersey, to Yarisel C. Henriquez $199,900. The Debtor owned approximately 48 residential properties in southern New Jersey as of the Petition Date. Among the rental units it owned is the Property. The Property is a four-bedroom and two and one-half-bathroom, single family home. The Comparative Market Analysis dated Jan. 18, 2021 set the value of the Property at $189,900. As of the Petition Date, the Debtor was indebted to Fay Servicing, LLC, as servicer for U.S. Bank Trust National Assn., in its capacity as trustee of HOF I Grantor Trust 5 in the original amount of $4,405,944 (Proof of Claim #1-1). The Loan Funder Claim was secured by a commercial mortgage against 28 of the Debtor's real properties, including the Property as of the Petition Date. The Loan Funder mortgage against the Property dated May 14, 2019 was recorded on June 4, 2019 in the Atlantic County Clerk's Office in Instrument #2019027956. The Loan Funder Claim is also secured by the rents from the real properties against which Loan Funder possesses a mortgage(s), including the Property. According to the Title Report, the Property is also subject to (a) Tax Sale Certificate No. 19-00082 of TLOA of NJ LLC recorded on January 31, 2020 in the amount of $3,012, and (b) UCC-1 Financing Statement #2019027821 in favor of Loan Funder LLC filed on June 3, 2019. The balance owed to Loan Funder and secured by the Loan Funder Mortgage UCC-1 Financing Statement against the Property is far in excess of the value of the Property. The Property was listed for sale with Century 21 Alliance, the Court approved realtor for the Property and has been actively marketed by Century 21. As the result of the efforts of Century 21, the Debtor has entered into a Contract for Sale of the Property with the Buyer for the sum of $199,900, subject to the approval of the Court, which would entitle Century 21 to a commission of 5% of the gross sale price or $9,995. Except for all transfer Taxes associated with the sale or as otherwise provided for in the Agreement and all normal, customary cost of closing, all other costs relating to the sale and settlement of the Property, will be the sole obligation of the Purchaser at the time of closing, including all searches and title search fees, all survey fees, all title company settlement charges and title insurance costs, all of the Purchaser's closing expenses (including legal fees), all settlement fees and any other and all other costs associated with the transfer of the Property. All property taxes, all public utility charges, rents and like charges, if any, relating to the Property will be pro-rated as of settlement. The appropriate pro-rated taxes and other charges with net balances owed will be paid by either Party at the time of closing. The Debtor submits that at the time of closing the proceeds of the sale of the Property should be paid as follows: a. Normal costs attendant with closing on the sale of the Property (real estate, taxes, utilities, et.); b. 5% of the Purchase Price ($9,995) to Century 21, to be split equally with any participating/cooperating broker in connection with the sale of the Property; c. The Tax Sale Certificate; and d. All remaining proceeds to Loan Funder on account of the Loan Funder Secured Claims (Loan Funder Mortgage against the Property and UCC-1 Financing Statement). The Debtor believes the $199,900 purchase price for the Property is the highest and best offer which the Debtor will receive for the Property and that it is in its best business judgment to proceed with the sale of the Property to the Purchaser. By the Motion, the Debtor asks the entry of an order approving the sale of the Property to the Purchaser free and clear of Liens, which such Liens to attach to the proceeds of such sale pursuant to the terms of the Contract for Sale, and for the net proceeds of the sale of the Property, after normal costs attendant with closing and any specific items as set forth in the Motion and proposed form of Order, to be paid to Loan Funder on account of the Loan funder Mortgage in exchange for Loan Funder's release of the Loan Funder Mortgage against the Property. Finally, the Debtor asks that the stay of an order granting the Motion under Bankruptcy Rule 6004(h) be waived for cause because the Purchaser intends to close as soon as practical after an Order Approving Sale is entered, the Debtor is concerned that the Purchaser will refuse to close if he cannot do so once an Order approving the sale of the Property has been entered. A copy of the Contract is available at https://tinyurl.com/yxbvut7o from PacerMonitor.com free of charge. The Purchasers: Yarisel C. Henriquez 2235 Seward Ave. Bronx, NY 10473 About TTK RE Enterprise TTK RE Enterprise LLC is a privately held company in Somers Point, New Jersey. The Company is the 100% owner of 48 real estate properties in New Jersey having a total current value of $9,265,000. TTK RE Enterprise sought Chapter 11 protection (Bankr. D.N.J. Case No. 19-30460) on Oct. 29, 2019 in Camden, New Jersey. In the petition signed by Emily K. Vu, president, the Debtor disclosed total assets of $9,269,950, and total liabilities of $6,432,457. Judge Jerrold N. Poslusny Jr. oversees the case. FLASTER GREENBERG PC - CHERRY HILL is the Debtor's counsel. TUMBLEWEED TINY HOUSE: Seeks to Use Cash Collateral Thru April 30 ----------------------------------------------------------------- Tumbleweed Tiny House Company, Inc. asks the U.S. Bankruptcy Court for the District of Colorado to approve a stipulated order authorizing the use of cash collateral from February 1 to April 30, 2021. Tumbleweed seeks to use the post-petition proceeds from pre-petition accounts receivable and contracts in order to preserve and maintain its business as a going concern. Tumbleweed says all of the Debtor's creditors will benefit from the Debtor's continued operations and any return to creditors will be greater through continued operations and a reorganization under Chapter 11 of the Bankruptcy Code than immediately ceasing operations and winding up the Debtor's business under applicable law. Prior to the Petition Date, on January 14, 2020, the Debtor entered into a Loan Agreement with REDI GUNN 1 LLC. Under the Loan Agreement, the Debtor is required to make interest only payments of $708.33 on the 20th day of each month. Under paragraph 7 of the Loan Agreement, the Debtor grants REDI a security interest in all assets of its business. REDI filed a UCC Financing Statement with the Colorado Secretary of State on January 14, 2020 to perfect any security interests granted under the Loan Agreement. REDI asserts a $100,000 claim as of the Petition Date against the Debtor. REDI asserts it has a valid, perfected pre-petition lien and security interest in all assets of the Debtor. REDI also asserts that its security interest was perfected through the filing of UCC Financing Statements. Other creditors have filed UCC Financing Statement against the Debtor or its assets and the Debtor will attempt to resolve any additional claims regarding cash collateral through separate motions or stipulations. Under the proposed stipulated order, the Debtor and REDI agree that: a. The Debtor will be authorized to use Cash Collateral for the period or pursuant to the terms of a confirmed plan of reorganization; b. REDI will be granted a replacement lien and security interest upon the Debtor's post-petition assets with the same priority and validity as REDI's pre-petition liens to the extent of the Debtor's post-petition use of the proceeds of REDI's pre-petition collateral. c. To the extent the Adequate Protection Liens prove to be insufficient, REDI will be granted superpriority administrative expense claims under section 507(b) of the Bankruptcy Code. d. The Debtor will pay REDI $708.33 per month by the last day of each month beginning on February 28, 2021 through April 30, 2021 unless this payment scheduled is altered by a confirmed plan of reorganization. e. The Debtor will provide REDI by the 21st of each month a copy of the Debtor's monthly operating report. A copy of the motion is available for free at https://bit.ly/2MCUmG6 from PacerMonitor.com. About Tumbleweed Tiny House Company Tumbleweed Tiny House Company, Inc., a manufacturer of tiny house RVs, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Colo. Case No. 20-11564) on March 4, 2020. At the time of the filing, the Debtor estimated between $500,000 and $1 million in assets and between $1 million and $10 million in liabilities. Judge Kimberley H. Tyson oversees the case. Wadsworth Garber Warner Conrardy, P.C. is the Debtor's legal counsel. The Debtor hired Stockman Kast Ryan + Company as its accountant. VISIUM TECHNOLOGIES: Court Tosses Involuntary Bankruptcy Petition ----------------------------------------------------------------- Visium Technologies, Inc. (OTC PINK:VISM), on Feb. 1, 2021, disclosed that it has won a dismissal of the involuntary bankruptcy petition that was filed against the Company in the Southern District Court of Florida on December 30, 2020, which had been brought by three parties, (i) Tarpon Bay Partners LLC, (ii) J.P. Carey Enterprises Inc., and (iii) Anvil Financial Mgmt LLC (collectively the "Petitioning Creditors"). [SL1] The Court ruled in Visium's favor, dismissing the involuntary bankruptcy petition and allowing Visium to file a motion with the Court seeking compensatory and punitive damages. In addition, Visium plans to file an affidavit of fees and costs incurred in connection with Visium's defense of the Involuntary Petition.[SL2] Mark Lucky, Visium's Chief Executive Officer, commented, "We could not have asked for a better outcome to this litigation. The court unequivocally ruled in our favor. We plan to seek substantial compensatory and punitive damages and expect further clarity regarding the extent of such damages in the coming weeks." About Visium Technologies, Inc. Visium Technologies, Inc. (OTC PINK:VISM) is a Florida corporation based in Fairfax, Virginia, focused on global cybersecurity clarity, machine learning, and advancing technology and automation services to support enterprises in protecting their most valuable assets -- their data, business applications, and IoT on their networks and in the cloud. WEEKLEY HOMES: S&P Alters Outlook to Pos., Affirms 'BB-' ICR ------------------------------------------------------------ S&P Global Ratings revised its outlook on Houston-based Weekley Homes LLC to positive from stable. At the same time, S&P affirmed its 'BB-' issuer credit rating on the company and its 'BB-' issue-level rating on its senior unsecured notes. S&P said, "Our positive outlook on Weekley Homes is based on our view that the company's debt to EBITDA will remain below 2x and debt to capital trends toward 30%. "Weekley Homes' credit profile continues to improve sharply. We forecast 2021 EBITDA to rise by about 5%, compared to the 2020 jump that we now estimate at close to 55%. Driven by a combination of sales volumes and margin improvements, we believe these profit increases are more sustainable than price increases, in our opinion. Moreover, debt declined by about $50 million this past September, after the prepayment of long-dated notes and the issuance of its 2028 bonds--its only tranche of recourse debt outstanding. "A significant cash balance is Weekley's first line of defense against a downturn. We think the company began 2021 with close to $150 million in cash. Including its $400 million revolver, which was undrawn, the company's liquidity likely exceeds $500 million, or nearly equivalent to the past three years' combined EBITDA. In addition, relatively large distributions to owners and land and development spending, which are somewhat variable costs, could be curtailed amid a sharp downturn (which we do not expect in 2021 or 2022), and therefore represent potentially its second and third lines of defense against a downturn." Management appears unlikely to waver from its conservative approach. S&P understands this private builder has suffered only two annual EBITDA losses since its founding in 1980. Moreover, in the multiple downcycles that have occurred since then, Weekley has responded by pulling back on land acquisition and thus bolstering free cash flows. In addition, the company does not have a history of making large acquisitions. Entries into new markets, while infrequent and one-at-a-time, tend to occur midcycle if not early in the cycle. Finally, the company has not entered a new market since 2017 (i.e., Colorado Springs and Portland). The company's land strategies help limit overall risk. Most of Weekley's homes are sold as part of larger, master-planned communities where land investment is made in stages and over many years. In addition, 80%-90% of these land and homebuilding assets are controlled via option-based contracts, which limit the amount of capital exposed on the balance sheet. In times of slow demand, these agreements' low deposits act to moderate this builder's exposure to deterioration in land values. S&P said, "Our positive outlook on Weekley Homes is based on our view that 2021 debt to EBITDA will remain around 2x, with EBITDA covering interest by more than 10x, and that debt to capital will approach 30%. With higher closings and firm margins as the key drivers, we expect revenues to rise by nearly another 10% in 2021 (following an estimated 20% jump in 2020), and for EBITDA margins to approach the 11.0% level we think it achieved in 2020. "We would consider an upgrade to 'BB' during the next 12 months if the builder were to sustain debt to EBITDA at or below 2x and debt to capital below 40%. Maintaining leverage at these improved levels would provide an important buffer to avert potential downgrade should demand sustainably weaken. Alternatively, we could also consider a higher rating if Weekley were to significantly increase its scale of operations to bring it closer in size to larger 'BB' rated builders (e.g., KB Home, Meritage Homes, Mattamy Group). We view the latter scenario to be less likely in the next year given the company's track record of conservative expansion." S&P could return its outlook to stable within the next 12 months if debt to EBITDA began trending above 2x. This could occur amid either one of the following scenarios: -- A sharp decline in demand caused EBITDA to decline to less than $225 million, or about a 25% drop compared to our 2021 forecast of about $305 million; or -- A large debt-financed acquisition that effectively doubled the company's borrowings, to over $600 million, but without any material contribution to EBITDA. YACHT CLUB: General Management Buying Condominiums Assets for $1.1M ------------------------------------------------------------------- Yacht Club Vacation Owners Association, Inc., asks the U.S. Bankruptcy Court for the Western District of Missouri to authorize the sale of all assets in the Yacht Club Vacation Condominiums located at 611 Rock Lane Drive, in Branson, Missouri, including furniture, fixtures and equipment, to General Management VII, LLC for $1.1 million, subject to higher and better bids. Any response to the Motion must be filed within 21 days of the date of the notice with the Clerk of the Court. The Debtor has continued to maintain, manage and operate a timeshare community, the Condominiums. The Debtor subsequently negotiated an Asset Purchase Agreement with the Stalking Horse Purchaser for the sale of the Assets for $1.1 million, subject to higher and better bids at auction. It employed Fisher Auction Co. to market the Assets, which will continue to market the Assets until the online auction date. The Debtor filed an adversary proceeding on Nov. 23, 2020, asking a judgment to enable the transfer of interests the Condominiums currently held by timeshare owners, and for related declaratory judgment. None of the more than 400 defendants in the adversary proceeding, Yacht Club Vacation Owners Association, Inc. v. Aabano, et al., Adv. No. 20-03020, opposed the granting of the relief sought. The Debtor has filed for default judgment and for judgment on the pleadings to obtain the relief sought to enable the sale of all interests in the Condominiums. The Debtor has no secured creditors and no liens are asserted in the Condominiums. The value of the Condominiums, if marketed as a timeshare property instead of a conventional condominium complex, is believed to be zero. The Debtor asks that the Court authorizes the sale of the Assets free and clear of all interests, with all such interests attaching to the sale proceeds, including all timeshare interests. The Debtor, in attempting to obtain the highest and best offer for the purchase of the Assets, asks Court approval of sale and bidding procedures, which will ensure all competing bidders at auction are financially qualified and that the auction and bid process is fair, equitable, and efficient. Consistent with the terms of the Stalking Horse APA, it asks approval of an expense reimbursement or break-up fee for the Stalking Horse Purchaser of ($33,000) to compensate the Stalking Horse Purchaser for fees and costs incurred by the Stalking Horse Purchaser in connection with conducting due diligence, negotiating and executing the Stalking Horse APA, and other activities, if the Purchaser is not the successful bidder. The Bid Procedures require an initial overbid of at least $50,000, which is high enough to pay the Break-Up Fee but low enough to avoid chilling the bidding at auction. The Break-Up Fee is reasonable in amount and would fairly compensate the Stalking Horse Purchaser for the time and effort it invested, and for time and effort Purchaser has and will incur prior to a sale hearing. The Stalking Horse APA is key to obtaining the highest possible price because it establishes a reasonable opening bid at the online auction. A copy of the Agreement is available at https://tinyurl.com/yxoxtbaq from PacerMonitor.com free of charge. The Purchaser: GENERAL MANAGEMENT VII, LLC c/o R. Emmett McNulty 2 Shelton Road Swampscott, MA 01907 Telephone: (978) 414-5720 E-mail: emcnulty@generalmanagementgroup.com The Purchaser is represented by: John F. Mahoney, Esq. 7330 College Drive, Suite 107 Palos Heights, IL 60463 Telephone: (708) 341-7261 E-mail: jmahoney@JFMLAWOffice.com About Yacht Club Vacation Owners Association Yacht Club Vacation Owners Association, Inc. filed its voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Mo. Case No. 20-41555) on Aug. 28, 2020, listing under $1 million in both assets and liabilities. Judge Brian T. Fenimore oversees the case. Daniel D. Doyle, Esq., at Lashly & Baer, P.C., Attorneys at Law, serves as Debtor's legal counsel. ZIER PROPERTIES: U.S. Trustee Unable to Appoint Committee --------------------------------------------------------- The U.S. Trustee for Region 18 disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of Zier Properties Reverse, LLC. About Zier Properties Reverse Zier Properties Reverse, LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Wash. Case No. 20-42868) on Dec. 31, 2020. At the time of the filing, the Debtor disclosed $1,000,300 in assets and $2,862,193 in liabilities. Judge Mary Jo Heston oversees the case. The Debtor is represented by the Law Offices of David Smith, PLLC. ********* 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. 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