/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/210311.mbx T R O U B L E D C O M P A N Y R E P O R T E R Thursday, March 11, 2021, Vol. 25, No. 69 Headlines 1 BIG RED: Sunshine Daily Buying Prairie Village Property for $360K 2374 VILLAGE COMMON: Unsec. Creditors to Recover 1% in Sale Plan 8TH AVENUE FOOD: Moody's Completes Review, Retains B2 CFR 96 WYTHE: Seeks to Tap Backenroth Frankel as Counsel ADVANCED SLEEP: Case Summary & 20 Largest Unsecured Creditors AES CORP: S&P Assigns 'BB' Rating on $1BB Equity Units ALAMO DRAFTHOUSE: Sets Bidding Procedures for Sale of All Assets ALBERTO DEL RIO SOTO: $250K Sale of Camuy Property to Lopez Okayed AMERICAN CAPITAL: A.M. Best Cuts Financial Strength Rating to C AMERICAN COMMERCIAL: HR Acquisition Buying Assets for $22.25M AMN HEALTHCARE: S&P Alters Outlook to Stable, Affirms 'BB' ICR ARDENTON CAPITAL: Gets Court's Initial Order Under CCAA ASAIG LLC: Retention of John Cornwell as Sale Monitor Approved ASAIG LLC: Stalking Horse Designation Deadline Moved to March 12 ASBURY AUTOMOTIVE: Egan-Jones Hikes Senior Unsecured Ratings to BB ASMS HOLDING: Voluntary Chapter 11 Case Summary ASPIRA WOMEN'S: Board Approves Amendment of Company Bylaws ATKINS NUTRITIONALS: Moody's Completes Review, Retains B1 CFR AUGUSTA MOTORS: March 29 Hearing on Sale of All Business Assets AUGUSTA MOTORS: Receives $225K Offer for All Business Assets AVID BIOSERVICES: Posts $2.21 Million Net Income in Third Quarter B&G FOODS: Moody's Completes Review, Retains B1 CFR BC HOSPITAL: Bain-Led Investors Acquire Assets for $330K BELLRING BRANDS: Moody's Completes Review, Retains B2 Rating BELTEMPO USA: Seeks Court Approval to Hire Accountant BERRY TWINS: Hunter Buying Tacoma Property for $350K, Free of Liens BETA MUSIC: Seeks Use of Cash Collateral BLINK CHARGING: COO Brendan Jones Assumes President's Post BMI INDUSTRIES: Gets OK to Hire Allen Barnes & Jones as Counsel BOART LONGYEAR: S&P Lowers ICR to 'CC', On CreditWatch Negative BRAZOS ELECTRIC: Gets Approval to Tap Stretto as Claims Agent CARBON AND CLAY: Seeks Use of SBA's Cash Collateral CARBONLITE HOLDINGS: Seeks Cash Collateral Access CARBONLITE HOLDINGS: Wins Court Nod for $35-Mil. DIP Financing CARLA'S PASTA: Seeks Approval to Hire Financial Advisor, CRO CARRIAGE SERVICES: Moody's Completes Review, Retains B1 CFR CARTER'S INC: S&P Alters Outlook to Stable, Affirms 'BB+' ICR CERIDIAN HCM: Moody's Lowers CFR to B3 on Debt Financed Deals CGC-MROZ: Seeks Court OK on Cash Collateral Access Deal CHESAPEAKE ENERGY: Settles Bankruptcy Fight With Energy Transfer CHG PPC PARENT: Moody's Completes Review, Retains B2 CFR CJ FOODS: Moody's Completes Review, Retains B2 Rating CLEANSPARK INC: Unit Secures Miners to Further Increase Hash Rate CLEARPOINT NEURO: Reports Fourth Quarter, Full-Year 2020 Results CMG CAPITAL: Seeks Approval to Hire Bankruptcy Attorney COMMERCEHUB INC: Moody's Completes Review, Retains B3 CFR COMMUNITY INTERVENTION: $32M Cash Sale of South Bays Assets OK'd CONSOLIDATED COMMUNICATIONS: Moody's Rates New $400MM Notes 'B2' COOPER TIRE: Egan-Jones Lowers Senior Unsecured Ratings to BB COWEN INC: Moody's Assigns Ba3 Corp. Family Rating CRED INC: Bankruptcy Caused by Execs Dereliction, Says Examiner CRITTENDEN EMS: March 29 Plan Confirmation Hearing Set CSM BAKERY: Moody's Completes Review, Retains Caa2 Rating CVENT INC: Moody's Completes Review, Retains Caa1 CFR CYPRUS MINES: FCR Seeks to Tap Gilbert LLP as Insurance Counsel DEA BROTHERS: Case Summary & 3 Unsecured Creditor DESTINATION MATERNITY: Plan Exclusivity Period Extended Thru May 17 DIAMOND SPORTS: Parent Sinclair Begins Talks to Ease Debt Load DIMAS ACEVEDO, JR: Selling Imperial Beach Property for $808K DISCOVERY DAY: Seeks April 30 Extension to Solicit Plan Votes DISPATCH ACQUISITION: Moody's Assigns First Time B3 CFR DRIVE CHASSIS: S&P Alters Outlook to Stable, Affirms 'B' ICR DWS CLOTHING: Disclosures Hearing Scheduled for April 14 EAGLE HOSPITALITY TRUST: Has $470M Floor Bid From Monarch EASTERN NIAGARA: Seeks Extension of Plan Exclusivity Until June 3 ECOARK HOLDINGS: To Issue $675,000 of Shares to Centrecourt Asset EDGEWELL PERSONAL: Egan-Jones Lowers Senior Unsecured Ratings to C EDISON INT'L: Moody's Rates $1.25BB Preferred Stock 'Ba2(hyb)' EMERALD X INC: Moody's Completes Review, Retains B2 CFR ENGINEERED PROPULSION: Seeks July 24 Plan Exclusivity Extension EYEPOINT PHARMACEUTICALS: Incurs $15.5M Net Loss in Fourth Quarter FADYRO DISTRIBUTORS: Seeks Court OK on Cash Collateral Access Deal FLORIDA TILT: Court Extends Plan Exclusivity Thru April 29 FORD MOTOR: Egan-Jones Lowers Senior Unsecured Ratings to B FOSSIL EXHIBITS: Seeks Use of Cash Collateral FURNITURE FACTORY: Seeks to Extend Plan Exclusivity Until June 3 FURNITURELAND USA: Best Price Buying Kissimmee Property for $1.638M GARY ZARS: Trustee Selling Canyon Lake Property to Cranes for $125K GATEWAY VENTURES: Seeks to Hire Weycer Kaplan as Counsel GLATFERER CORPORATION: Egan-Jones Hikes Sr. Unsecured Ratings to BB GOODYEAR TIRE: Egan-Jones Hikes Senior Unsecured Ratings to B+ GREEN PLAINS: Egan-Jones Upgrades Senior Unsecured Ratings to B GTT COMMUNICATIONS: Executive VP Assumes Division President's Post GULFPORT ENERGY: Fights Gas Contract Order of FERC H-FOOD HOLDINGS: Moody's Completes Review, Retains B3 CFR HEALTHIER CHOICES: Incurs $3.72 Million Net Loss in 2020 HEALTHIER CHOICES: Santi Remains President, COO Until 2024 HERC HOLDINGS: S&P Upgrades ICR to 'BB-' on Improved Debt Leverage HERTZ CORP: Kirkland, Pachulski Update List of Noteholder Group HILL-ROM HOLDINGS: Egan-Jones Hikes Senior Unsecured Ratings to BB+ HOSTESS BRANDS: Moody's Completes Review, Retains B1 CFR IDEANOMICS INC: Signs Investment Deal with Energica JAMES SAMATAS: Durkee Buying West Hollywood Property for $10M JFK HEATING: Files Emergency Bid to Use Cash Collateral JVA Operating: Seeks Use of Frost Bank's Cash Collateral KATHLEEN ELIZABETH BELL: Eakin Buying Las Vegas Property for $285K KC CULINARTE: Moody's Completes Review, Retains B3 CFR KENAN ADVANTAGE: Moody's Puts Caa1 CFR Under Review for Upgrade KLAUSNER LUMBER ONE: Committee Taps Faegre Drinker as Counsel KNOLL INCORPORATED: Egan-Jones Lowers Sr. Unsecured Ratings to BB- KUM GANG: Voluntary Chapter 11 Case Summary KYLE KINCAID WILLIAMS: Farrises Selling Baytown Property for $450K LAMB WESTON: Moody's Completes Review, Retains Ba1 CFR LAUREATE EDUCATION: Moody's Completes Review, Retains B1 CFR LE JARDIN HOUSE: Edelkopfs Buying Bay Harbor Island Asset for $795K LINDA M. ARMELLINO: Foster Buying 3 Alexandria Townhouses for $1.8M MAJESTIC HILLS: Plan Exclusivity Period Extended to May 17 MATRIX INTERNATIONAL: Case Summary & 19 Unsecured Creditors MERCURITY FINTECH: Appoints Two New Members to Board of Directors MIDWAY MARKET SQUARE: Unsecureds to Recover 80% in Plan MIDWEST-ST. LOUIS: Unsecureds to Get Share of Asset Sale Proceeds MILLER BRANGUS: Files Emergency Bid to Use Cash Collateral MKS REAL ESTATE: Seeks to Hire Eric A. Liepins as Legal Counsel MOORE PROPERTIES: Gets Court Approval to Hire Auctioneer NANO MAGIC: Changes Company Name to 'Nano Magic Holdings Inc.' NASDI LLC: Seeks Court Approval to Hire Special Counsel NATHAN'S FAMOUS: Egan-Jones Hikes Senior Unsecured Ratings to CCC+ NATIONAL RIFLE ASSOCIATION: Says Ad Agency Seeks Its Destruction NATURALSHRIMP INC: To Sell Up to $100 Million of Securities NELLSON NUTRACEUTICAL: Moody's Completes Review, Retains B3 CFR NEOVASC INC: To Report Q4, Fiscal Year 2020 Results Today NEP/NCP HOLDCO: Moody's Completes Review, Retains Caa1 CFR NOMAD RETAIL: Voluntary Chapter 11 Case Summary O'KIEFFE FAMILY: Seeks to Tap David Schroeder as Legal Counsel OMNITRACS LLC: Moody's Completes Review, Retains B3 CFR ONATAH FARMS: Bohnenkamps Buying Mountain Grove Property for $770K PARK PLACE: Unsecureds' Recovery Reduced to 31% in Trustee's Plan PEZZANO CONTRACTING: Seeks to Tap Dal Lago Law as Legal Counsel POST HOLDINGS: Moody's Completes Review, Retains B1 CFR PROQUEST LLC: Moody's Completes Review, Retains B2 CFR PURDUE PHARMA: Plan Exclusivity Extended Thru March 15 QUINCY STREET: March 31 Plan & Disclosure Hearing Set RACHEL NOVOSELLER: Hoberman Buying Lakewood Property for $793K REDWOOD TRUST: Egan-Jones Hikes Senior Unsecured Ratings to B RENOVATE AMERICA: $43 Mil. Asset Sale to Finance of America Okayed RKJ HOTEL: Seeks Court Approval to Hire Interest Rate Expert RYERSON HOLDING: S&P Alters Outlook to Stable, Affirms 'B' ICR SABON HOLDINGS: Unsecureds Recovery Cut to 15%-18% in Plan SAN JOAQUIN AIDS: Voluntary Chapter 11 Case Summary SC SJ HOLDINGS: Case Summary & 3 Unsecured Creditors SERVICE CORP: Moody's Completes Review, Retains Ba2 CFR SIERRA ENTERPRISES: Moody's Completes Review, Retains B2 CFR SLIDEBELTS INC: Seeks Court Approval to Hire Accountant SORENSON COMMUNICATIONS: Moody's Rates New $625MM Loans 'B2' SPECIALTY'S CAFE: Reopens After Forced to File for Chapter 7 SPI ENERGY: Unit Completes Purchase of Petersen-Dean Assets STONEMOR INC: Moody's Completes Review, Retains Caa1 CFR SUNDANCE ENERGY: Files for Chapter 11 With Debt-for-Equity Plan SUNDANCE ENERGY: Unsecured Creditors Unimpaired in Prepack Plan SURVEYMONKEY INC: Moody's Completes Review, Retains B3 CFR TEMBLOR PETROLEUM: Asks for April 17 Extension to File Plan TENNECO INC: Moody's Assigns Ba3 Rating to New $800M Secured Notes TENTLOGIX INC: March 30 Hearing on Sale of Assets for $59.6K TENTLOGIX INC: Premier Buying 7 Dodge and Ford Vehicles for $201K TENTLOGIX INC: Selling Roder Structure/Supa Track Flooring for $60K TERRY HAWKINS: $88K Cash Sale of Covington Property to Venture OK'd TIMOTHY D SEMONES: Ellison Buying Porsche, Hummer & Harley for $65K TREEHOUSE FOODS: Moody's Completes Review, Retains Ba3 CFR TRITON WATER: S&P Assigns 'B' Issuer Credit Rating, Outlook Stable TWILIO INC: Moody's Assigns Ba3 CFR & Rates New $1BB Notes Ba3 TWO GUNS CONSULTING: Voluntary Chapter 11 Case Summary UNITED RENTALS: S&P Upgrades ICR to 'BB+', Outlook Stable VERTEX AEROSPACE: Moody's Rates Amended $323MM First Lien Loan 'B2' VESTCOM PARENT: Moody's Completes Review, Retains B3 CFR VICTORIA GEWALT: Bahnasy Buying Tahoe City Property for $826K Cash VISHAY INTERTECHNOLOGY: Egan-Jones Hikes Sr. Unsec. Ratings to BB+ VIZIV TECHNOLOGIES: Has Until May 9 to File Plan W. KENT GANSKE: Sale of Sun Prairie Condo Unit 31 for $270K OK'd WADSWORTH ESTATES: Sets Bid Procedures for 92-Acre Property WAHOO'S MARINA: Trustee Seeks Approval to Hire Real Estate Agent WATLOW ELECTRIC: Moody's Assigns First Time B2 Corp Family Rating WC SOUTH CONGRESS: Unsecureds to be Paid in Full Without Interest WEISS BUSH: Sale of Equipment, Inventory and Supplies Approved WHOA NETWORKS: Wants Plan Exclusivity Extended Until May 27 WHOLE EARTH: Moody's Completes Review, Retains B2 CFR YELLOWSTONE TRANSPORTATION: Taps Essex Richards as Legal Counsel YOUFIT HEALTH: Unsecureds to Recover Up to 1% in Liquidating Plan Z REAL ESTATE: Voluntary Chapter 11 Case Summary ZAANA-17 LLC: Bunlong Heng Buying Pelham Property for $625K ZPOWER TEXAS: Unsecureds to Recover Up to 7% in Amended Plan [*] Epiq AACER: Bankruptcy Filings Down 3% in February 2021 [^] Recent Small-Dollar & Individual Chapter 11 Filings ********* 1 BIG RED: Sunshine Daily Buying Prairie Village Property for $360K ------------------------------------------------------------------- 1 Big Red, LLC, asks the U.S. Bankruptcy Court for the District of Kansas to authorize the sale of the real property located at 4512 W. 69th Terrace, in Prairie Village, Kansas, to Sunshine Daily, LLC, for $360,000, subject to higher and better offers. The Debtor buys and sells real estate and has a principal location at 440 E. 63rd Street, Kansas City, Missouri. Its assets consist of the Real Property and other real properties as further described in the Chapter 11 schedules. It wishes to sell the Real Property. The legal description for the Real Property is as follows: Lot 47, Block 12, Prairie Village, a Subdivision in the City of Prairie Village, Johnson County, Kansas, according to the recorded plat thereof. The Debtor has entered into a Real Estate Purchase Agreement with the Buyer for the sale of the property for the sum of $360,000. The Buyer has deposited with the Escrow Company the sum of $500, with the balance due upon closing. Mackaylee Beach is a member of the Buyer and may be considered and insider as she has a relationship with Sean Tarpenning. The Debtor is certainly willing to entertain higher and better offers from other buyers. The Debtor proposes to sell the Real Property free and clear of all liens pursuant to Section 363 of the Bankruptcy Code, including, but not limited to the following: Lima One Capital pursuant to a Commercial Mortgage Security Agreement and Fixture Filing recorded as Document No. 20190514-0004538 in Book 201905, Page 4538 with the Johnson County Register of Deeds on May 14, 2019. The Debtor will pay the balance owed to Lima One Capital, real estate taxes, usual and customary closing costs. It has attached the payoff statement from Lima One Capital that provides for a payoff of$52,286.47. Any real estate commission, real estate taxes, title insurance, and usual and regular closing costs will be paid at the time of the Closing of the transaction with the balance of the funds to be held in the Debtor's D.I.P. bank account pending further order of the Court. The Debtor believes that the proposed Sale to the Buyer is reasonable and for a fair market value. The property is in a state of rehabilitation and needs to be sold before it deteriorates. The property was listed in the schedules for $450,000 and Johnson County Treasurer's office list the property with a value of $333,300. The property cannot be readily marketed because of the condition of the property as it needs significant work. A copy of the Contract is available at https://tinyurl.com/pwd9ajwj from PacerMonitor.com free of charge. About 1 Big Red, LLC 1 Big Red, LLC, principally located at 440 E. 63rd St., Kansas City, MO 64110, is engaged activities related to real estate. 1 Big Red, LLC sought Chapter 11 protection (Bankr. D. Kan. Case No. 21-20044) on Jan. 15, 2021. The case is assigned to Judge Robert D. Berger. The Debtor listed total assets at $2.5 million and $3,094,099 in estimated liabilities. The Debtor tapped Colin Gotham, Esq., at Evans & Mullinix, P.A. as counsel. The petition was signed by Sean Tarpenning, CEO. 2374 VILLAGE COMMON: Unsec. Creditors to Recover 1% in Sale Plan ---------------------------------------------------------------- 2374 Village Common Drive, LLC, filed a Plan of Liquidation and a Disclosure Statement on March 5, 2021. The Debtor intends to sell that real estate titled to it located at 2374 Village Common Drive. The Debtor had previously engaged a realtor for these purposes. Any approval for this listing remains subject to the Court's approval. From this sale, combined with the sale of Lot 15, (2368) Village Common Drive, owned by Dr. Thomas personally, for which the Debtor has an aggregate purchase offer of $3,150,000, the Debtor estimates paying these claimants: 2374 Village Common Drive $3,000,000e ------------------------------------- Tax Collector(s) $590,000e Carve-Out for Administrative Claims $250,000e Wells Fargo $2,150,000e Lot 15, (2368) Village Common Drive $150,000 -------------------------------------------- Tax Collector(s) $5,000 Administrative Claims $15,000e Wells Fargo $100,000e Alternatively, if no sufficient aggregate purchase offer is successful, it is possible that these properties may be auctioned without a stalking horse bid. It is believed that Wells Fargo may also be paid from the disposition of certain equipment owned by GESC, all of which may be valued at $170,000. If all sale efforts fail, it is anticipated the Wells Fargo will likely obtain relief from stay and foreclose. The secured claims of all Class 1 creditors shall be paid in cash, in order of priority, from the sale of assets on which they have liens when such sale occurs. To the extent that the value of the collateral is not sufficient to pay Class 1 creditors, any deficiency balance due will be treated as an unsecured claim. Holders of Unsecured claims in Class 2 shall be paid the approximate amount of $30,000 or more from the liquidation of assets, or approximately 1% of the total estimated Class 2 Claims. Distribution percentage will increase/decrease if the amount of the allowed claims is reduced/increased because of, inter alia, the claims objection process and/or as a result of successful/unsuccessful sales. A copy of the Disclosure Statement dated March 5, 2021, https://bit.ly/3rB4cYu About 2374 Village Common Drive 2374 Village Common Drive, LLC, is a Pennsylvania Limited Liability Company having a primary business address located at 2374 Village Common Drive, Erie, PA 16505. It sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Pa. Case No. 21-10118) on March 5, 2021. In the petition signed by Joseph Martin Thomas, sole member, the Debtor disclosed up to $10 million in both assets and liabilities. The Debtor is a Single Asset Real Estate entity under 11 USC Sec. 101(51B). The Debtor owns the medical facility at which Tri-State Pain Institute, LLC and Greater Erie Surgery Center, Inc. conduct business. Tri-State has filed an associated bankruptcy case, Case No. 20-10049-TPA. The Debtor's sole member is Joseph Martin Thomas, M.D., who has also filed an associated bankruptcy case, Case No. 20-10334-TPA. The Debtor's filing is a result of, inter alia, efforts to liquidate assets free and clear for the benefit of creditors. Judge Thomas P. Agresti oversees the case. Michael P. Kruszewski, Esq., is the Debtor's counsel. 8TH AVENUE FOOD: Moody's Completes Review, Retains B2 CFR --------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of 8th Avenue Food & Provisions, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on March 1, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations 8th Avenue Food and Provisions, Inc.'s, B2 CFR reflects its relatively small scale within the US packaged foods sector, high financial leverage, and its leadership positions within narrowly defined private label food categories: private label nut butters, healthy snacks and dry pasta. The credit profile also reflects the controlling equity ownership held by a private equity firm. As a result, Moody's expect a more aggressive financial policy in the future, including possible acquisitions and liquidity events. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. 96 WYTHE: Seeks to Tap Backenroth Frankel as Counsel ---------------------------------------------------- 96 Wythe Acquisition LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of New York to hire Backenroth Frankel & Krinsky, LLP as its legal counsel. The firm will render these legal services: (a) advise the Debtor regarding its powers and duties in the continued operation of its business and management of its property during the Chapter 11 case; (b) prepare legal papers; (c) formulate and negotiate a plan of reorganization with creditors; and (d) perform such other legal services for the Debtor as required during the Chapter 11 case. Backenroth Frankel & Krinsky received $50,000 as initial retainer from the Debtor before the petition was filed. The hourly rates of the firm's counsel and staff are as follows: Scott A. Krinsky $575 Mark A. Frankel $655 Abraham J. Backenroth $695 Paralegals $125 The firm will seek reimbursement for expenses incurred. Mark Frankel, Esq., a member of Backenroth Frankel & Krinsky, disclosed in court filings that the firm and its attorneys are "disinterested persons" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Mark A. Frankel, Esq. Backenroth Frankel & Krinsky, LLP 800 Third Avenue New York, NY 10022 Telephone: (212) 593-1100 Facsimile: (212) 644-0544 Email: mfrankel@bfklaw.com About 96 Wythe Acquisition 96 Wythe Acquisition LLC, a privately held company in Brooklyn, N.Y., filed a Chapter 11 bankruptcy petition (Bankr. S.D.N.Y. Case No. 21-22108) on Feb. 23, 2021. David Goldwasser, chief restructuring officer, signed the petition. In the petition, the Debtor reported zero assets and liabilities of $79,990,206. Judge Robert D. Drain oversees the case. Backenroth Frankel & Krinsky, LLP serves as the Debtor's legal counsel. ADVANCED SLEEP: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: Advanced Sleep Medicine Services, Inc. 5805 White Oaks Ave. Unit 16819 Encino, CA 91316 Business Description: Advanced Sleep Medicine Services, Inc. -- https://www.sleepdr.com -- has helped patients and physicians across California diagnose and treat sleep disorders including sleep apnea. Advanced Sleep Medicine Services is a provider of in-center and in- home (HST) sleep studies, PAP therapeutic devices and replacement PAP supplies. Chapter 11 Petition Date: March 9, 2021 Court: United States Bankruptcy Court Central District of California Case No.: 21-10396 Debtor's Counsel: Gregory Salvato, Esq. SALVATO BOUFADEL LLP 777 So. Figueroa Street Suite 2800 Los Angeles, CA 90017 Tel: (213) 484-8400 E-mail: gsalvato@salvatoboufadel.com Debtor's Special Corporate Counsel: BAER, NEGRIN & TROFF LLP Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Kermit Newman, CEO. 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/CZCGNTI/Advanced_Sleep_Medicine_Services__cacbke-21-10396__0001.0.pdf?mcid=tGE4TAMA AES CORP: S&P Assigns 'BB' Rating on $1BB Equity Units ------------------------------------------------------ S&P Global Ratings assigned its 'BB' issue-level rating to global developer The AES Corp.'s $1 billion equity units, consisting of a purchase contract and one share of 0% cumulative perpetual convertible preferred stock. S&P said, "The rating is two notches below our issuer credit and senior debt ratings on AES because the issue's subordination ranks it junior to all other debt. We accord high equity content to this instrument because we expect the preferred stock to be converted to equity or repaid with subsequent remarketing proceeds in three years. AES will receive a second tranche of common equity proceeds in three years that it could use to settle the convertible preferred stock." AES plans to use the proceeds for additional investments in the year, compared with its original 2021 capital expenditure planA, including renewables, liquefied natural gas infrastructure, and investments in utility subsidiaries Dayton Power & Light Co. and Indianapolis Power & Light Co. Over 80% of these investments will be in the U.S. S&P treats its equity units as 100% equity to calculate its credit ratios because it expects these securities to add equity to the capital structure within three years of issuance by remarketing the convertible host security. AES has represented that the $975 million of proceeds from the common stock issuance would be used to repay other debt in the capital structure. The AES Corp. is a diversified project developer that owns and operates, either directly or indirectly, more than 100 power generation facilities held by more than 50 subsidiaries and distribution systems. The assets are scattered across 13 countries on four continents. AES has 30.5 gross gigawatts (GW) of generating capacity and 21.0 proportionate GW after adjusting for partial equity ownership in assets. ALAMO DRAFTHOUSE: Sets Bidding Procedures for Sale of All Assets ---------------------------------------------------------------- Alamo Drafthouse Cinemas Holdings, LLC, and its affiliated Debtors ask the U.S. Bankruptcy Court for the District of Delaware to authorize the bidding procedures in connection with the sale of substantially all assets to ALMO Holdings, LLC, subject to overbid. In exchange, the Stalking Horse Purchaser will pay a purchase price that consist of: (i) a credit bid of the DIP Loans (including the deemed term "roll up" of up to $26 million of Loans under the Credit Agreement; (ii) assumption of the Assumed Liabilities; (iii) the value of any liens or claims granted by the Debtors to the DIP Lenders as adequate protection for any diminution in value of the interests of the DIP Lenders in their collateral resulting from the use of cash collateral or otherwise; and (iv) Excluded Cash. A hearing on the Motion is set for March 25, 2021, at 2:00 p.m. (ET). The Objection Deadline is March 18, 2021 at 4:00 p.m. (ET). The Debtors operate and franchise one of the largest movie theater chains in the United States. Among other things, they provide patrons a unique movie-going experience that includes luxury seating, high-quality food, craft beer, wine and cocktails, seat-side food and beverage services, collectible consumer products, and a diverse selection of mainstream, independent, and classic movies. The Assets primarily comprise leases, furniture, fixtures, inventory, accounts receivable, and equipment. The goal of these Chapter 11 Cases is to consummate a sale of the Debtors' Assets that will maximize recoveries for the Debtors' estates, maintain a viable business, and ensure the continued employment of hundreds of current employees of the Debtors' venues. Absent the agreement of the Prepetition Secured Lenders to provide $20 million in postpetition financing and access to Cash Collateral to fund the Sale process and working capital needs pending a sale, the Debtors would have been forced to ceases operations, close their locations, and lay off their remaining employees. Accordingly, in connection with the postpetition financing, the Postpetition Lenders agreed to serve as stalking horse bidder, an important part of the Sale process. In addition, prior to the Petition Date, after experiencing financial difficulties, the Debtors engaged Houlihan Lokey Capital, Inc. to serve as their financial advisor and investment banker to assist in canvassing the market for interested buyers. The Debtors request, pursuant to the Motion, a hearing to be held on March 25, 2021 at 2:00 p.m. (ET) to consider approval of the Bidding Procedures. The DIP Facility is conditioned on the following case milestones, among others: a. Entry of an Interim Order Approving the Postpetition Financing - No later than two business days after the Petition Date b. Entry of the Bidding Procedures Order - No later than 23 days after the Petition Date c. Entry of a Final Order Approving the Postpetition Financing - No later than 23 days after the Petition Date d. Occurrence of an Auction - No later than 60 days after the Petition Date e. Entry of the Sale Order - No later than 63 days after the Petition Date f. Consummation of Sale Transaction - No later than 75 days after the Petition Date Among other things, the Sale Process will provide a transparent and comprehensive avenue through which the Debtors will seek bids for the Assets. In connection with the Sale Process, the Stalking Horse Purchaser, an entity created by the Postpetition Lenders for the purpose of the Sale, has submitted a credit bid for the Assets in the form of the Stalking Horse APA. Certain material terms of the Stalking Horse APA, and certain provisions of the Stalking Horse APA are: a. Stalking Horse Purchaser: A newly formed entity organized and controlled by the Postpetition Lenders. b. Purchase Price: The aggregate consideration for the Purchased Assets will consist of: (i) a credit bid of the DIP Loans (including the deemed term "roll up" of up to $26 million of Loans under the Credit Agreement; (ii) assumption of the Assumed Liabilities; (iii) the value of any liens or claims granted by the Debtors to the DIP Lenders as adequate protection for any diminution in value of the interests of the DIP Lenders in their collateral resulting from the use of cash collateral or otherwise; and (iv) Excluded Cash. c. Purchased Assets: The Purchased Assets will include substantially all of the assets of the Debtors, free and clear of all liens, claims, interests and encumbrances, other than the Excluded Assets, as will be more fully set forth in the Stalking Horse APA. d. Assignment of Contracts and Rights: No later than 10 days after the Petition Date, the Debtors will deliver to the Stalking Horse Purchaser a list of Contracts with the anticipated amount of the Cure Costs associated with each Contract. e. Sale Free and Clear: On the Closing Date, the Purchased Assets will be transferred to the Buyer and/or one or more Buyer Designees, as applicable, free and clear of all obligations, Liabilities and Encumbrances (including, for the avoidance of doubt, all successor liability), other than the Permitted Encumbrances and the Assumed Liabilities. f. Bid Protection: g. Credit Bid: The Stalking Horse APA includes a credit bid on account of the Stalking Horse Purchaser's secured debt in an amount equal to $60 million pursuant to section 363(k) of the Bankruptcy Code. h. Relief from Bankruptcy Rule 6004(h): The Motion seeks, and the proposed Bidding Procedures Order approves, relief from the 14-day stay imposed by Bankruptcy Rule 6004(h). i. Subject to entry of the Bidding Procedures Order and those conditions specified in the Stalking Horse APA, the Stalking Horse Purchaser will be entitled to payment of (i) a Break-up Fee equal to 2% of the Purchase Price, and (ii) Expense Reimbursement of up to $500,000 for reasonable and documented out-of-pocket fees and expenses incurred in connection with preparation, negotiation and documentation of the Stalking Horse APA and related agreements. The salient terms of the Bidding Procedures are: a. Bid Deadline: April 22, 2021, at 5:00 p.m. (ET) b. Initial Bid: The aggregate consideration proposed by the Qualifying Bidder must equal or exceed the sum of the amount of (A) the Purchase Price (offered under the Stalking Horse APA), (B) the Reimbursable Expenses, (C) the Break-Up Fee, and (D) $250,000. c. Deposit: 10% of the purchase price provided for in the Alternative APA d. Auction: The Auction will be held on April 28, 2021 at 10:00 a.m. (ET) at the offices of Young Conaway Stargatt & Taylor, LLP, 1000 North King Street, Wilmington, DE 19801 or virtually via telephone or video conference pursuant to information to be timely provided by the Debtors to the Auction Participants. e. Bid Increments: $250,000 f. Sale Hearing: May 3, 2021 g. Sale Objection Deadline: April 30, 2021 at noon (ET) h. Closing: May 17, 2021 The Debtors also ask approval of the Sale Notice. Upon entry of the Bidding Procedures Order, the Debtors will serve the Sale Notice upon the Sale Notice Parties. To facilitate the Sale, the Debtors ask authority to assume and assign to the Stalking Horse Purchaser or, in the event the Stalking Horse Purchaser is not the Winning Bidder, then to the Winning Bidder, the Purchased Contracts in accordance with the Assumption and Assignment Procedures. The Assumption Notice Deadline is March 17, 2021. The Contract Objection Deadline is 4:00 p.m. (ET) on April 7, 2021. By the Motion, the Debtors ask entry of: (a) the Bidding Procedures Order, (i) scheduling a date for the Sale Hearing, (ii) authorizing and approving the Bidding Procedures and the Assumption and Assignment Procedures, and the form and manner of notice thereof, (iii) authorizing and approving the Debtors’ entry into the Stalking Horse APA or, in the event the Stalking Horse Purchaser is not the Winning Bidder, then an Alternative APA with the Winning Bidder, (iv) approving the Stalking Horse Protections provided by the Debtors to the Stalking Horse Purchaser in accordance with the terms and conditions set forth in the Stalking Horse APA and the Bidding Procedures, and (v) granting related relief; and (b) the Sale Order, (i) authorizing and approving the Sale, free and clear of all Encumbrances other than Assumed Liabilities and Permitted Encumbrances, (ii) authorizing and approving the assumption and assignment of the Purchased Contracts to the Stalking Horse Purchaser or, in the event the Stalking Horse Purchaser is not the Winning Bidder, then to the Winning Bidder; and (iii) granting related relief. The Debtors submit that, in the interest of attracting the best offers, it is appropriate to sell the Assets on a final "as is" basis, free and clear of any and all Encumbrances other than Assumed Liabilities and Permitted Encumbrances. Furthermore, the Debtors propose that any Encumbrances asserted against the Assets be transferred to, and attach to, the proceeds of the Sale, and application of the proceeds generated by the Sale will be subject to any applicable provisions of the DIP Order and the DIP Credit Agreement. A copy of the Bidding Procedures and the Stalking Horse APA is available at https://tinyurl.com/tyr45pc from PacerMonitor.com free of charge. About Alamo Drafthouse The Alamo Drafthouse Cinema -- https://drafthouse.com -- is an American cinema chain founded in 1997 in Austin, Texas that is famous for its strict policy of requiring its audiences to maintain proper cinemagoing etiquette. Known for offering full meal and alcohol service at its theaters, the company also operates a movie merchandise store and an annual genre film festival, Fantastic Fest. Alamo Drafthouse had 41 locations as of March 31, 2021, with 23 of those locations ran by franchisees. On March 3, 2021, Alamo Drafthouse Cinemas Holdings, LLC and 33 affiliated companies filed Chapter 11 petitions (Bankr. D. Del. Lead Case No. 21-10474). Alamo Drafthouse was estimated to have $100 million to $500 million in assets and liabilities as of the bankruptcy filing. The Hon. Mary F. Walrath is the case judge. The Company tapped Young Conaway Stargatt & Taylor LLP as bankruptcy counsel, Portage Point Partners as its financial adviser, and Houlihan Lokey Capital as its investment banker. Epiq Corporate Restructuring, LLC, is the claims agent. ALBERTO DEL RIO SOTO: $250K Sale of Camuy Property to Lopez Okayed ------------------------------------------------------------------ Judge Enrique S. Lamoutte of the U.S. Bankruptcy Court for the District of Puerto Rico authorized Gladys Diana Hilerio Del Rio and the estate of Alberto Del Rio Soto to sell the property located at Puerto Ward, Sector Cibao, SR. 456 Km. 3.7, in Camuy, Puerto Rico, and described as Dairy Farm known as "Cibao," Composed of 120.7143 Cuerdas, to Luis Radai Romero Lopez for $250,000. The Debtors operate a dairy farm under license #3239 as authorized by the Oficina de Reglamentacion de Industria Lechera ("ORIL") in 367.31 cuerdas in the farm known as Aibonito, located at Rd 129, Km. 20 in Hatillo PR. They have a bi-weekly milk production quota of 280,204 liters. Without limiting the foregoing, the Debtors and the Buyer are authorized and required to, at the Closing Date, execute any and all documents to deliver, close, transition and consummate the Sale of the Properties to the Buyer or its designees. The sale is free and clear of all interests of any kind or nature whatsoever and whether known or unknown. Any and all claims, interests (including possession), liens, and encumbrances that may have been assessed and/or registered at the CRIM, the Puerto Rico Treasury Department, and the Puerto Rico Property Registry over the Properties will be cancelled. The Executive Director of the Municipal Revenue Collection Center will perform all operations necessary in the systems and records of the CRIM to cancel, eliminate and/or extinguish any and all real property taxes that appear as liens, claims, interests or encumbrances over the Properties. The Secretary of the Puerto Rico Treasury Department will perform all operations necessary in the systems and records of Treasury to cancel, eliminate and/or extinguish any and all real property taxes that appear as liens, claims, interests or encumbrances over the Properties. The Puerto Rico Property Registrar will perform all registrations and operations necessary in its systems and records of the PR Property Registry to cancel, eliminate and/or extinguish any and all claims, interests or encumbrances over the Properties. A Writ of Cancellation of Liens will be issued by the Clerk of the Court, whereby the Executive Director of the CRIM, the Secretary of the Puerto Rico Treasury Department, and/or the Puerto Rico Property Registrar will be instructed to cancel any liens, claims, interests or encumbrances assessed over the Properties. Each and every Commonwealth of Puerto Rico governmental agency or department and state and local governmental agency or department is directed to accept any and all documents and instruments necessary and appropriate to consummate the transfer of title of the Properties to the Buyer free and clear of any and all Interests, including the registration of the Buyer as owner of any real estate acquired from the Debtors. The authorizing notary will be exempt from cancellation of any and all stamp tax, internal revenue and legal aid stamps, or similar taxes for the transactions set forth at length in the Order in the original deeds of transfer and cancellation of mortgages, pursuant to 11 U.S.C. Section 1146(a). Any person or entity occupying the Properties upon the transfer of the same to the Buyer is and forthwith ordered, directed and commanded to immediately vacate the Properties and deliver to him the possession, keys and any other access to the Properties. Nothing contained in any subsequent order of the Court or any court of competent jurisdiction in this bankruptcy case or any Chapter 11 plan confirmed in the Debtors' bankruptcy case or any order confirming any such plan will nullify, alter, conflict with or in any manner derogate from the provisions of the Sale Order, and the provisions of this Sale Order will survive and remain in full force and effect. The Sale Order will supersede any other document or Order which related to the disposition of the Properties. Alberto Del Rio Soto and Gladys Diana Hilerio Del Rio sought Chapter 11 protection (Bankr. D.P.R. Case No. 17-03134) on May 2, 2017. The Debtors tapped Homel Mercado Justiniano, Esq., as counsel. AMERICAN CAPITAL: A.M. Best Cuts Financial Strength Rating to C --------------------------------------------------------------- AM Best has downgraded the Financial Strength Rating to C (Weak) from A- (Excellent) and the Long-Term Issuer Credit Rating to "ccc+" from "a-" of American Capital Assurance Corp (ACAC) (St. Petersburg, FL). In addition, AM Best has placed these Credit Ratings (ratings) under review with negative implications. The ratings reflect ACAC's balance sheet strength, which AM Best assesses as very weak, as well as its marginal operating performance, limited business profile, and marginal enterprise risk management. These rating actions result from net underwriting losses from multiple severe weather events in the second half of 2020, particularly in Louisiana, which led to significant surplus loss and a severe negative impact to ACAC's risk-adjusted capitalization on a standard and catastrophe-stressed basis, as measured by Best's Capital Adequacy Ratio (BCAR). These diminished operating results are also indicative of the product and geographic concentration concerns in the commercial property insurance book of business in Florida, Texas, and Louisiana, calling into question the soundness and fundamentals of ACAC's enterprise risk management program. In response to these developments, ACAC management has communicated near-term strategic initiatives that are designed to immediately improve risk-adjusted capitalization and stabilize operating results. The under review with negative implications status indicates continued pressure on the ratings and the heightened execution risk of strategic alternatives that ACAC's management is currently pursuing. The ratings will remain under review pending further discussions with ACAC management regarding the progress of its strategic initiatives. Management expects these actions to be implemented, resolved, and executed within the next 60 days. The negative implications status suggests that if these initiatives do not materialize, or if the timing of these initiatives is delayed, ACAC's ratings could be lowered further. AMERICAN COMMERCIAL: HR Acquisition Buying Assets for $22.25M ------------------------------------------------------------- American Commercial Management, LLC, asks the U.S. Bankruptcy Court for the Southern District of Texas to authorize the sale to HR Acquisition of San Antonio, Ltd. of assets that consist of the land, improvements, intangibles, and personal property located at 7616 Branford Place, in Sugar Land, Texas, all as more fully described and defined in the Agreement of Sale and Purchase, for $22.25 million, cash, subject to certain adjustments, subject to higher and better offers. A telephonic hearing on the Motion is set for April 7, 2021, at 11:00 a.m. (Dial In Telephone No.: 1 (712) 770-8095, Conference Code No.: 159497). Objections, if any, must be filed within 21 days from the date the Motion was served. The Debtor moves the Court to approve the sale of the Assets to the Buyer for $22.250 million, subject to certain adjustments as set forth in the PSA. Buyer Healthcare Realty has the financial and management capabilities to successfully close the transaction contemplated by the PSA. The purchase of the Assets is for all cash. There is no financing contingency, and no financing is involved with the purchase of the Assets by Healthcare Realty. The Debtor represents that Healthcare Realty has negotiated the sale outlined in the PSA in good faith and is purchasing the Assets in good faith, and, therefore, Healthcare Realty is entitled to the protections of Section 363(m) of the Bankruptcy Code. As such, the Debtor also requests that the 14-day stay requirements of Bankruptcy Rule 6004(h) be waived. It should be noted that the proposed transaction does not include a so-called "Breakup Fee." However, the PSA does contain certain bid protections and expense reimbursements which will be due to Healthcare Realty in the event that it is not the eventual purchaser of the Assets. It should also be noted that the PSA requires an insider of the Debtor to enter into a guarantee agreement for Suite 350 in such building concerning spaced leased by an affiliate of the Debtor. The Debtor, through its court-approved real estate broker, over the past weeks, has extensively marketed its business and has distributed information packages to potential buyers. Several offers were received by the Court-approved broker for the Assets proposed to be sold. To date, Healthcare Realty has made the highest and best offer for the Assets proposed to be sold. As in any bankruptcy sale, the sale of the Assets remains subject to higher and better offers until the Court approves such sale. At present, the Debtor has not decided whether to file a disclosure statement and plan of liquidation after the closing of the PSA or to request a conversion of the case to one under chapter 7 of the Bankruptcy Code. In the interest of attracting the best offers, the Debtor proposes that the sale of the Assets set forth in the PSA be made free and clear of all liens and other interests, with the secured creditors' valid liens attaching to the proceeds of the sale. These proceeds will be disbursed in accordance with a closing statement to be provided by the title company identified in the PSA. As part of the sale of the Assets to Healthcare Realty, the Debtor will assume and assign all commercial leases associated with the Assets all as more fully described and defined in the PSA. For ease of reference, Exhibit B is a Schedule of Leases to be Assumed and Assigned. In addition, the Debtor will assume and assign certain service contracts associated with the Assets all as more fully described and defined in the PSA. For ease of reference, Exhibit C is a Schedule of Service Contracts to be Assumed and Assigned. The PSA, at Section 7.4 thereof, requires that the Seller/Debtor enter into a lease agreement ("210 Agreement") with the Purchaser concerning Suite 210 of the Assets. The Debtor asks permission of the Court to ratify and enter into the 210 Agreement with the Purchaser. To maximize the value received for the Assets, the Debtor asks to close the sale under the PSA as soon as possible. Accordingly, it asks that the Court waives the 14-day stay period under Bankruptcy Rules 6004(h) and 6006(d) or, in the alternative, if an objection to the sale is filed, reduces the stay period to the minimum amount of time needed by the objecting party to file its appeal. A copy of the Agreement and the Exhibits is available at https://tinyurl.com/y5mnyz8y from PacerMonitor.com free of charge. The Purchaser: HR ACQUISITION OF SAN ANTONIO, LTD 3310 West End Avenue, Suite 700 Nashville, TN 37203 Attn: Sushil Puria Telephone: (615) 269-8175 Facsimile: (615) 690-8410 E-mail: Spuria@healthcarerealty.com 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. In its petition, the Debtor disclosed assets of between $10 million and $50 million and liabilities of the same range. Susan Rozman, manager, signed the petition. Judge Jeffrey P. Norman oversees the case. Hughes Watters Askanase, LLP is the Debtor's legal counsel. AMN HEALTHCARE: S&P Alters Outlook to Stable, Affirms 'BB' ICR -------------------------------------------------------------- S&P Global Ratings revised its rating outlook on U.S. health care staffing and workforce solutions provider AMN Healthcare Services Inc. to stable from negative and affirmed its 'BB' issuer credit rating on the company. S&P's 'BBB-' issue-level rating and '1' recovery rating on the company's senior secured debt and 'BB-' issue-level rating and '5' recovery rating on its unsecured debt are unchanged. The stable outlook reflects S&P Global Ratings' expectation that the company will experience EBITDA growth and steady cash flow generation as it invests increasingly in technology-enabled solutions. S&P expects adjusted leverage will remain below 3x over the next 12 months because of its conservative financial policies and continued efforts to diversify its revenue base toward higher-margin workforce solutions. S&P said, "The outlook revision to stable reflects our belief that the company is not pursuing a more aggressive financial policy and that it will maintain leverage between 2x and 3x, despite expected continued acquisitions. Having prioritized deleveraging over the past 12 months after the back-to-back acquisitions of Stratus Video in 2020 and Advanced Medical Personnel Services Inc. in 2019, we expect AMN to continue pursuing tuck-in acquisitions, but generally remain in the 2x-3x leverage target the company has committed to publicly. We expect these acquisitions to be accretive to profit margins and align with the company's recent pursuit of technologically enabled services with some components of recurring revenue, addressing market needs and further reducing the company's historical sensitivity to economic cycles. The company did not experience this sensitivity during the recent pandemic-influenced surge in unemployment due in part to the unusual pandemic-related demand for nurses. Should the company not achieve its acquisition goals, we expect it to prioritize debt repayment over share buybacks." With health care providers still experiencing patient volume below pre-COVID-19 levels, demand for several of the company's business lines, such as locum and permanent placement, remains suppressed while nursing and certain allied disciplines continue to benefit from exceptionally high demand. Starting in early March, bill rates and wages for nurses increased significantly due to significant demand, urgent need to quickly fill positions, and hazard pay requirements to attract nurses to higher-risk positions. Though bill rates and wages have fluctuated significantly over the past 12 months, they remain elevated. As COVID-19 hospitalizations decline, we expect the company's premium revenue to decrease slightly from recent levels, with declining average nurse bill rates and acuity levels. S&P said, "We expect the higher-than-usual compensation packages for nurses and other clinicians supporting the COVID surges to begin to subside in the first half of 2021, lowering corresponding bill rates. We expect volume in the company's higher-margin locum and permanent placement businesses to increase as health care utilization picks up, elective procedures return, and economic and labor trends return to normal patterns. While certain allied disciplines (such as respiratory therapists and laboratory technicians) have seen high demand due to the pandemic, and others (such as imaging and anesthesia specialties) have already recovered, we expect the gradual reopening of in-person education to allow for the recovery of professionals contracted to work with schools (such as speech and physical therapists)." S&P said, "We expect demand for the company's nurse and allied solutions to remain high because the workforce shortages that were already severe before the pandemic began have now been accentuated and are expected to worsen as a result of the pandemic. The nursing segment is expected to see a larger than usual number of retirements, greater than usual turnover among permanent staff, and some changes in work environments as the industry grapples with an unusually high level of burnout among nurses. "Our rating continues to reflect AMN's diversification of its business away from the cyclical nursing and allied solutions segment and toward more stable and entrenched managed service program relationships. The company has been adding value to its offerings by providing some intermediary services and by filling its customers' orders with its own or a third party's health care professionals. AMN has continually increased the proportion of higher-margin and more-stable workforce solutions offerings in its portfolio through multiple acquisitions. These include its 2020 acquisition of high-margin Stratus Video, which was in line with the company's total talent solutions strategy, allowing AMN to participate in the virtual and digital care segments, as well as the 2018 purchases of case management and coding service company MedPartners and related entities Phillips DiPisa and Leaders For Today, which offer leadership staffing and permanent placement solutions. The company has also converted a significant percentage of the revenue from its nurse, allied, and locum tenens customers to exclusive contracts. The stable outlook reflects S&P Global Ratings' expectation that the company will experience EBITDA growth and steady cash flow generation as it increases its investment in technology-enabled solutions. S&P expects adjusted leverage will remain below 3x over the next 12 months because of its conservative financial policies and continued efforts to diversify its revenue base toward higher-margin workforce solutions. S&P said, "We could lower the rating on AMN if it sustained leverage above 3x due to a deterioration in business prospects or a significant increase in debt due to a shift in financial policy. A drop in margins due to increased payments to nurses or an adverse pricing environment could prompt a downgrade. We also could lower the rating if AMN experienced an unforeseen operating issue that resulted in meaningful customer losses and a sharp contraction in EBITDA. "We could raise the rating if we believed the company would decrease leverage below 2x on a sustained basis. We view this scenario as unlikely in the near term because the company is actively pursuing acquisitions." ARDENTON CAPITAL: Gets Court's Initial Order Under CCAA ------------------------------------------------------- The Supreme Court of British Columbia entered an initial order granting Ardenton Capital Corporation and Ardenton Bridging Inc. protection pursuant to the Companies' Creditors Arrangement Act. Pursuant to the Initial Order, KSV Restructuring Inc. was appointed as monitor. The primary purpose of the CCAA proceedings is to provide Companies with the opportunity to restructure their debt obligations. The Monitor can be reached at: KSV Restructuring Inc. Attn: Jordan Wong 150 King Street West, Suite 2308 Ontario, M5H 1J9 Tel: +1 416-932-6025 Fax: +1 416-932-6266 E-mail: jwong@ksvadvisory.com Bobby Kofman Tel: (416) 932-6228 E-mail: bkofman@ksvadvisory.com Noah Goldstein Tel: (416) 932-6207 E-mail: ngoldstein@ksvadvisory.com Esther Mann Tel: (416) 932-6009 E-mail: emann@ksvadvisory.com Counsel to the Monitor: DLA Piper (Canada) LLP 6000-100 King Street West Toronto, Ontario M5X 1E2 Edmond Lamek Tel: (416) 365-3444 E-mail: edmond.lamek@dlapiper.com - and - DLA Piper (Canada) LLP 2800-666 Burrard Street Vancouver, British Columbia V6C 2Z7 Colin Brousson Tel: (604) 643-6400 E-mail: colin.brousson@dlapiper.com Co-counsel to the Companies: Aird & Berlis LLP 1800-181 Bay Street Toronto, Ontario M5J 2T9 Kyle B. Plunkett Tel: (416) 865-3406 E-mail: kplunkett@airdberlis.com D. Robb English Tel: (416) 865-4748 E-mail: renglish@airdberlis.com Jonathan Yantzi Tel: (416) 865-4733 E-mail: jyantzi@airdberlis.com - and - MLT Aikins LLP 2600-1066 West Hastings Street Vancouver, British Columbia V6E 3X1 William E. J. Skelly Tel: (604) 608-4597 E-mail: wskelly@mltaikins.com Thomas W. Clifford Tel: (604) 608-4555 E-mail: tclifford@mltaikins.com Vanessa Mensink Tel: (604) 608-4582 E-mail: vmensink@mltaikins.com A copy of the Initial Order and copies of materials filed in the restructuring proceedings are available on the Monitor's Web site at https://www.ksvadvisory.com/insolvency-cases/case/ardenton-capital-corporation. Ardenton Capital Corporation -- https://www.ardenton.com/ -- operates as a private equity firm, specializing in growth capital, buyouts, acquisitions, and industry consolidations. ASAIG LLC: Retention of John Cornwell as Sale Monitor Approved -------------------------------------------------------------- Judge Marvin Isgur of the U.S. Bankruptcy Court for the Southern District of Texas authorized ASAIG, LLC, and affiliates to retain John Cornwell as Sale Monitor. On Jan. 6, 2021, the Debtors obtained post-petition financing provided by American General Life Insurance Co., the Variable Annuity Life Insurance Co., and American Home Assurance Co. ("AIG Lenders") and the PGA TOUR, Inc. in accordance with the terms and conditions set forth in the Court's Final DIP Financing Order. The Debtors have obtained entry of the Court's Bidding Procedures Order. They have solicited bids for the acquisition of all or substantially all of their assets in accordance with the procedures of the Bidding Procedures. PGA TOUR and the Debtors are party to that certain Master Services Agreement, dated as of Dec. 15, 2020 ("PGA TOUR MSA"), approved by the Court pursuant to the Order (I) Approving Settlement and (II) Authorizing the Debtors to Enter Into Master Services Agreement With PGA TOUR, Inc. The PGA TOUR MSA expires by its terms on May 31, 2021, and the Debtors have asked PGA TOUR to meet with certain Potential Bidders that are interested in negotiating an extension of the PGA TOUR MSA or entry into a new Master Services Agreement and, with the support of the Official Committee of Unsecured Creditors, have requested that a representative of the Debtors or the Committee be present during discussions between PGA TOUR and such Potential Bidders, which PGA TOUR opposes. The Debtors, Committee and PGA TOUR have agreed to the appointment by the Court of a neutral third-party to act as a Sale Monitor, who will be present during discussions between PGA TOUR and Potential Bidders regarding potential business arrangements between such Potential Bidders and PGA TOUR to ensure compliance with the Monitor Guidelines, in accordance with the terms of the Order. The DIP Lenders and other parties signatory to the Order consent to the appointment of a Sale Monitor on the terms set forth in the Order. The Debtors are authorized to retain John Cornwell as Sale Monitor solely for the purposes of performing the duties set forth in the Order. The Sale Monitor will be retained, employed and compensated by the Debtors without the need for further application to or order of the Court, including any applications and related orders under Sections 330 or 331 of the Bankruptcy Code, but subject in all events to compliance with the Approved DIP Budget. The Sale Monitor will perform the following limited duties and will have no other duties or powers other than as set forth in this Order: (i) attend meetings between PGA TOUR and Potential Bidders as a passive participant with the limited role of monitoring the meetings to ensure that any discussions between PGA TOUR and Potential Bidder comply with the Monitor Guidelines (as defined below); (ii) if the Sale Monitor has a reasonable and good faith belief that the Monitor Guidelines have not been followed in any such discussion, the Sale Monitor will (a) first notify PGA TOUR and seek to resolve any issue or dispute with PGA TOUR and/or the Potential Bidder in a manner acceptable to the Sale Monitor and PGA TOUR, (b) if the Sale Monitor concludes in his sole and absolute discretion that a satisfactory resolution has not been reached with PGA TOUR regarding such issue or dispute, notify the Debtors and the Committee and seek to resolve such issue or dispute in a manner acceptable to PGA TOUR, the Debtors and the Committee, without the need for court intervention, and (c) if the parties cannot resolve such issue or dispute, seek a conference with the Court, with any filings made under seal. PGA TOUR and any such Potential Bidder will observe the following Monitor Guideline during any negotiations or discussions between them that occur during the bidding process (including through the closing of the Auction): a. PGA TOUR and the Potential Bidder will not discuss an alternative transaction or business arrangement governing the provision of services to PGA TOUR pursuant to an extension of the PGA TOUR MSA or a New PGA TOUR MSA that does not involve the acquisition of all or part of the Debtors' assets in accordance with the Bidding Procedures. b. PGA TOUR will not discourage Potential Bidders from participating in the bidding process for the purchase of all or part of the Debtors' assets. c. Except as contemplated in subsection b. above, PGA TOUR will not participate in a Potential Bidder's decision to bid or in determining the amount of its bid. The Debtors will instruct a Potential Bidder, prior to its submission of a Bid to the Debtors, not to disclose, and such Potential Bidder will not disclose, to PGA TOUR the amount or nature of consideration that it contemplates providing to the Debtors in connection with its Bid or any other terms of its Bid that do not directly relate to (i) the proposed terms governing the provision of services similar to those provided by the Debtors under the PGA TOUR MSA or (ii) such Potential Bidders ability to perform such proposed services, or the services under the PGA TOUR MSA as contemplated under Paragraph 15(p) of the Bidding Procedures. Nothing in the Order will preclude PGA TOUR from attending and participating in the Auction process in its capacity as a DIP Lender and Consultation Party under the Bidding Procedures. d. PGA TOUR will not disclose to a Potential Bidder the content of its negotiations with other Potential Bidders (or the identity of such Potential Bidders) or with the Debtors, regarding any business terms governing a future business arrangement, including the terms of an agreement for the provision of services similar to those provided by the Debtors under the PGA TOUR MSA; provided, however, that PGA TOUR may generally disclose to Potential Bidders that it is considering engaging with or of the fact that it is engaging with multiple Potential Bidders. The Debtors will compensate the Sale Monitor at the rate of $500 per hour for the services provided by the Sale Monitor under the Order, and will reimburse the reasonable and necessary expenses of the Sale Monitor in connection with such services up to a maximum expense reimbursement of $3,000, upon submission of fee statements to the Debtors, with copies to the DIP Lenders and Committee, without the need for filing a fee application. The Bidding Procedures are amended to include the provisions applicable to the Sale Monitor set forth in the Order. The Debtors will provide a copy of the Order to all Potential Bidders (or their advisors, as applicable) via email. The Debtors are authorized to take all actions necessary to effectuate the relief granted pursuant to the Order. The Court retains jurisdiction to hear and determine all matters arising from or related to the implementation, interpretation, or enforcement of the Order. About ASAIG LLC ASAIG, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 20-35600) on Nov. 17, 2020. The petition was signed by A. Kelly Williams, manager. At the time of the filing, the Debtor had estimated assets of between $1 million and $10 million and liabilities of between $10 million and $50 million. Judge Marvin Isgur oversees the case. Matthew Okin, Esq., at Okin Adams LLP, represents the Debtor as counsel. ASAIG LLC: Stalking Horse Designation Deadline Moved to March 12 ---------------------------------------------------------------- ASAIG, LLC, and affiliates filed with the U.S. Bankruptcy Court for the Southern District of Texas a notice that the Stalking Horse Designation Deadline for them to file the Stalking Horse Selection Notice has been extended to and including March 12, 2021. After the Bidding Procedures Hearing held on Jan. 26, 2021, the Court entered Bidding Procedures Order, which, among other things, provides: "no later than March 8, 2021 ("Stalking Horse Designation Deadline"), if the Debtors select a Stalking Horse Purchaser, the Debtors will file with the Court and serve on the Service Parties [defined in the Bidding Procedures Order] a notice that contains information regarding the Stalking Horse Purchaser and the Stalking Horse Bid, including any Stalking Horse Protections, and attached the proposed Stalking Horse Agreement (the "Stalking Horse Selection Notice"); provided, however, that the Debtors may extend the Stalking Horse Designation Deadline." In accordance with the Bidding Procedures Order, the Debtors provide notice that the Stalking Horse Designation Deadline for the Debtors to file the Stalking Horse Selection Notice has been extended to and including March 12, 2021. All other applicable dates and deadlines set forth in the Bidding Procedures Order remain unchanged. About ASAIG LLC ASAIG, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 20-35600) on Nov. 17, 2020. The petition was signed by A. Kelly Williams, manager. At the time of the filing, the Debtor had estimated assets of between $1 million and $10 million and liabilities of between $10 million and $50 million. Judge Marvin Isgur oversees the case. Matthew Okin, Esq., at Okin Adams LLP, represents the Debtor as counsel. ASBURY AUTOMOTIVE: Egan-Jones Hikes Senior Unsecured Ratings to BB ------------------------------------------------------------------ Egan-Jones Ratings Company, on February 24, 2021 upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Asbury Automotive Group, Inc. to BB from BB-. Headquartered in Duluth, Georgia, Asbury Automotive Group, Inc. operates as an automotive retailer operating franchises and dealership locations in the United States. ASMS HOLDING: Voluntary Chapter 11 Case Summary ----------------------------------------------- Debtor: ASMS Holding Company, Inc. 5805 White Oak Ave., Unit 16819 Encino, CA 91316 Chapter 11 Petition Date: March 9, 2021 Court: United States Bankruptcy Court Central District of California Case No.: 21-10397 Debtor's Counsel: Gregory Salvato, Esq. Joseph Boufadel, Esq. SALVATO BOUFADEL LLP 777 So. Figueroa Street Suite 2800 Los Angeles, CA 90017 Tel: (213) 484-8400 E-mail: gsalvato@salvatoboufadel.com jboufadel@salvatoboufadel.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Kermit Newman, CEO. The Debtor filed an empty 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/FFKKDAI/ASMS_Holding_Company_Inc__cacbke-21-10397__0001.0.pdf?mcid=tGE4TAMA ASPIRA WOMEN'S: Board Approves Amendment of Company Bylaws ---------------------------------------------------------- The board of directors of Aspira Women's Health Inc. approved an amendment and restatement of the Company's Sixth Amended and Restated Bylaws effective as of Feb. 26, 2021. The Amended and Restated Bylaws modify Article VI of the Former Bylaws and (i) provide for customary expense advancement rights for directors and officers, (ii) clarify that the Company has the power to provide such rights to agents and employees, (iii) set forth a process for enforcing directors' and officers' rights to indemnification and expense advancement and (iv) clarify that the rights conferred on the Company's directors and officers by Article VI are non-exclusive and may not be eliminated or impaired by amendments or repeals after the occurrence of any act or omission that is the subject of any proceeding for which indemnification or advancement of expenses is sought. About Aspira Women's Health ASPIRA formerly known as Vermillion, Inc. -- http://www.aspirawh.com-- is transforming women's health with the discovery, development and commercialization of innovative testing options and bio-analytical solutions that help physicians assess risk, optimize patient management and improve gynecologic health outcomes for women. OVA1 plus combines its FDA-cleared products OVA1 and OVERA to detect risk of ovarian malignancy in women with adnexal masses. ASPiRA GenetiXSM testing offers both targeted and comprehensive genetic testing options with a gynecologic focus. With over 10 years of expertise in ovarian cancer risk assessment ASPIRA has expertise in cutting-edge research to inform our next generation of products. Its focus is on delivering products that allow healthcare providers to stratify risk, facilitate early detection and optimize treatment plans. Vermillion reported a net loss of $15.24 million for the year ended Dec. 31, 2019, compared to a net loss of $11.37 million for the year ended Dec. 31, 2018. As of Sept. 30, 2020, the Company had $21.26 million in total assets, $6.71 million in total liabilities, and $14.55 million in total stockholders' equity. BDO USA, LLP, in Austin, Texas, the Company's auditor since 2012, issued a "going concern" qualification in its report dated April 7, 2020 citing that the Company has suffered recurring losses from operations and has negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern. ATKINS NUTRITIONALS: Moody's Completes Review, Retains B1 CFR ------------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Atkins Nutritionals Holdings, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Atkins Nutritionals Holdings, Inc.'s B1 CFR broadly reflects 1) its moderate scale relative to other consumer goods companies, 2) its high financial leverage, and 3) its relatively concentrated distribution channel with one customer representing approximately 34% of sales. In addition, the rating also reflects event risk including Moody's expectation of debt funded acquisitions to increase product and customer diversity and enhance growth. On the other hand, these factors are counterbalanced by the company's strong brand recognition in the growing niche nutritional snacking category, healthy EBITDA margin, and asset light operating model which enables the company to generate good free cash flow and interest coverage. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. AUGUSTA MOTORS: March 29 Hearing on Sale of All Business Assets --------------------------------------------------------------- Augusta Motors, Inc., and Westlane Financing, Inc., filed with the U.S. Bankruptcy Court for the Southern District of Indiana a notice of their proposed sale of all of their right, title and interest in and to all furniture, fixtures, equipment, vehicles, inventory, rolling stock, leases, contracts, accounts, intangibles, and goodwill they used in their respective businesses to an entity to be formed by the son of James Lowry, the owner of the Debtors, for $225,000. A telephonic hearing on the Sale Motion and any objection thereto will be held on March 29, 2021, at 10:45 a.m. (EDT). The dial-in telephonic number for interested parties to participate in the Hearing by conference call is 1-888-273-3658, passcode 6349352. The Objection Deadline is March 25, 2021. On March 1, 2021, the Debtors entered into an Asset Purchase Agreement to sell the Sale Assets to the Purchaser. James Lowry will not have an interest in the purchaser. The purchase price payable by the Purchaser will be $225,000. The Purchase Price will be allocated $150,000 to Augusta and $75,000 to Westlane. About Augusta Motors Augusta Motors, Inc., filed a Chapter 11 bankruptcy petition (Bankr. S.D. Ind. Case No. 20-05414) on September 28, 2020, disclosing under $1 million in both assets and liabilities. The Debtor is represented by Hester Baker Krebs LLC. AUGUSTA MOTORS: Receives $225K Offer for All Business Assets ------------------------------------------------------------ Augusta Motors, Inc., and Westlane Financing, Inc., ask the U.S. Bankruptcy Court for the Southern District of Indiana to authorize the sale of all of their right, title and interest in and to all furniture, fixtures, equipment, vehicles, inventory, rolling stock, leases, contracts, accounts, intangibles, and goodwill they used in their respective businesses to an entity to be formed by the son of James Lowry, the owner of the Debtors, for $225,000. Augusta is in the business of a buy/here and pay/here automotive sales and leasing operation with a principal place of business located at 3333 West 75th Street, Indianapolis, Indiana. Westlane is in the business of financing lessees of Augusta leases who elect to purchase the vehicle at the conclusion of their lease terms and has a principal place of business located at the Real Estate. The Debtors' records reflect that BMO Harris Bank, N.A. asserts a security interest in the assets of Augusta. On March 1, 2021, the Debtors entered into an Asset Purchase Agreement to sell the Sale Assets to the Purchaser. James Lowry will not have an interest in the purchaser. The purchase price payable by the Purchaser will be $225,000. The Purchase Price will be allocated $150,000 to Augusta and $75,000 to Westlane. By the Sale Motion, the Debtors ask authority to sell the Sale Assets to the Purchaser free and clear of all liens, claims, interests and encumbrances, including, but not limited to the pending lawsuits, Malone v. Nerz, Lowry, Nerz, et al., 49D05-1708-CT-030047, and Westlane Financing, Inc. v. Inza Doumbia, 49D02-1512-PL-040299. Further, any such lien, claims, interest or encumbrance will be adequately protected by attachment to the sale proceeds. The Debtor is obligated to BMO under a secured loan with a petition date balance of $192,315.88 Under the BMO loan documents, the Debtor granted BMO a "blanket lien" in its assets, including "general intangibles." BMO, or its predecessor, has filed UCC-1 financing statements against which provide notice that BMO has a lien on the Debtors' assets. The Debtor will distribute the net sale proceeds pursuant to further Court order. The Debtors have not formally marketed the Assets. However, they generally know the other entities in the scope of their businesses. There is only one other entity that directly overlaps the nature of their operations. Further, given the high risk of their assets, the Purchaser's knowledge of the Debtors' operations maximizes the value to this prospective purchaser. The Debtors will serve its creditors with notice of opportunity to object to the Sale Motion. Absent any objection to the Sale Motion, any parties holding liens, claims, interests or encumbrances on the Assets will be deemed to have consented to the sale thereby satisfying Section 363(f)(2). The Debtors also request that if no objections are filed or pending at the time of hearing on the Sale Motion, that the Court waives the 14-day stay imposed by Rule 6004(h) of the Federal Rules of Bankruptcy Procedure. They ask that the Court schedules a hearing on the Sale Motion. They propose to distribute the net sale proceeds in accordance with further Court order. About Augusta Motors Augusta Motors, Inc., filed a Chapter 11 bankruptcy petition (Bankr. S.D. Ind. Case No. 20-05414) on September 28, 2020, disclosing under $1 million in both assets and liabilities. The Debtor is represented by Hester Baker Krebs LLC. AVID BIOSERVICES: Posts $2.21 Million Net Income in Third Quarter ----------------------------------------------------------------- Avid Bioservices, Inc. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing net income of $2.21 million on $21.81 million of revenues for the three months ended Jan. 31, 2021, compared to a net loss of $2.10 million on $13.58 million of revenues for the three months ended Jan. 31, 2020. For the nine months ended Jan. 31, 2021, the Company reported net income of $9.22 million on $68.26 million of revenues compared to a net loss of $5.70 million on $47.15 million of revenues for the nine months ended Jan. 31, 2020. As of Jan. 31, 2021, the Company had $168.18 million in total assets, $82.81 million in total liabilities, and $85.37 million in total stockholders' equity. "The third quarter was exceptional on all fronts," stated Nicholas Green, president and chief executive officer of Avid Bioservices. "Top line revenues were strong, contributing to a significant improvement in margins and other key financial metrics, and we continued to generate cash from operations during the quarter. "Avid's business development team signed $74 million in new business during the quarter, resulting in a backlog of $120 million, the largest in our history. As a result, we are raising our revenue guidance for the second time in fiscal 2021 to between $88 million and $91 million. "Finally, to support this increase in demand, we are currently executing a two-phased expansion plan of our Myford facility that, when complete, is expected to provide a total revenue capacity of up to $270 million annually. During the quarter we also raised funds to support this expansion. The expansions represent critical developments in the business as we continue to provide capacity to onboard new clients as well as capacity to accommodate the successful clinical development and commercial growth of our existing clients. Furthermore, we look forward to incorporating a higher level of automation and digitization into the second phase as we add further focus on commercial manufacture. "The team's strong performance across all areas of the business is not only driving growth today, but also establishing the foundation necessary for continued growth in the future." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/Archives/edgar/data/704562/000168316821000810/avid_10q-013121.htm About Avid Bioservices Avid Bioservices -- http://www.avidbio.com-- is a dedicated contract development and manufacturing organization (CDMO) focused on development and CGMP manufacturing of biopharmaceutical drug substances derived from mammalian cell culture. The company provides a comprehensive range of process development, CGMP clinical and commercial manufacturing services for the biotechnology and biopharmaceutical industries. With over 28 years of experience producing monoclonal antibodies and recombinant proteins, Avid's services include CGMP clinical and commercial drug substance manufacturing, bulk packaging, release and stability testing and regulatory submissions support. For early-stage programs, the company provides a variety of process development activities, including upstream and downstream development and optimization, analytical methods development, testing and characterization. The scope of its services ranges from standalone process development projects to full development and manufacturing programs through commercialization. Avid Bioservires reported a net loss of $10.47 million for the year ended April 30, 2020, a net losses of $4.21 million for the year ended April 30, 2019, and a net loss of $21.81 million for the year ended April 30, 2018. As of Oct. 31, 2020, the Company had $113.59 million in total assets, $64.21 million in total liabilities, and $49.38 million in total stockholders' equity. B&G FOODS: Moody's Completes Review, Retains B1 CFR --------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of B&G Foods, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations B&G Foods Inc.'s B1 CFR reflects the company's high financial leverage and relatively aggressive financial policies, highlighted by large dividend payments and the periodic use of debt to fund potentially large acquisitions. The rating also reflects B&G's small but improving scale relative to more highly rated industry peers and its acquisitive growth strategy. B&G's rating benefits from relatively high margins, consistent operating cash flow generation from a broad food product portfolio with low cyclical demand volatility, and a largely successful track record of integrating acquisitions. The risk from the company's willingness to dividend a high portion (targeted at roughly 50% - 65%) of its cash from operations less capital spending is partially mitigated by the consistency of its cash flow generation. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. BC HOSPITAL: Bain-Led Investors Acquire Assets for $330K -------------------------------------------------------- Andrew Scurria and Aisha Al-Muslim of The Wall Street Journal report that By Chloe Restaurant investors the owner of vegan restaurant chain By Chloe named a group of investors as the top bidder to buy the company's assets out of bankruptcy while stipulating the eateries would quickly cease using their trademarked brand name. The plant-based restaurant chain's bankrupt parent, BC Hospitality Group Inc., in court papers on Tuesday said Bain Capital LP and other investors would acquire the company for $333,000 and the assumption of liabilities. But they aren't acquiring the chain's registered trademark, By Chloe, which a bankruptcy judge ruled last week wasn't the company's to sell without the consent of its co-founder, vegan celebrity chef Chloe Coscarelli. The investor group, which also includes Qoot International UK Ltd., along with equity investor Kitchen Fund LP, private-equity firm Lion Capital LLP and venture-capital firm Simple Capital Management LLC, agreed to make the purchase with a "limited-purpose license" of the By Chloe trademark, according to court papers. The limited trademark provides the investor group only as much time as necessary to remove the brand name from the company's "restaurants, supplies, digital media, and all other assets without having to close the restaurants entirely." About By Chloe By Chloe is a fast-casual vegan restaurant chain based in New York City. BC Hospitality Group Inc. and its affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 20-13103) on Dec. 14, 2020. BC Hospitality was estimated to have assets of $10 million to $50 million and liabilities of $1 million to $10 million. YOUNG CONAWAY STARGATT & TAYLOR, LLP, is the Debtors' counsel. ANKURA CONSULTING GROUP, LLC, is the financial advisor. BELLRING BRANDS: Moody's Completes Review, Retains B2 Rating ------------------------------------------------------------ Moody's Investors Service has completed a periodic review of the ratings of BellRing Brands, LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations BellRing Brands, LLC's B2 rating reflects high concentrations in its narrow protein shake, powder and bar product lines, customer base, and supply chain. Specifically, the Premier Protein brand currently generates over 80% of the company's sales and operating profit; over 60% of company sales are generated through club channels; and product production is highly concentrated among a few contract manufacturers. However, the rating benefits from favorable demand dynamics, reflecting growing consumer demand for healthy, convenient, protein-enriched food and beverages. The rating is also supported by BellRing's attractive profit margins, and very good liquidity, based partly on our forecast of about $100 million of free cash flow over the next year. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. BELTEMPO USA: Seeks Court Approval to Hire Accountant ----------------------------------------------------- Beltempo USA, LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to employ Armando Noda, an accountant at Arm Consulting & Co. The accountant will render these services: (a) prepare or review the Debtor's monthly operating reports; (b) assist the Debtor in the preparation of a Chapter 11 plan and other work appropriate to its Chapter 11 proceeding; (c) analyze the cash flows and profitability of the Debtor's businesses; (d) prepare or review the financial budgets, projections, project cost and profitability estimates; (e) tax compliance filings; and (f) review and analyze the reporting of cash collateral and any financing arrangements and budgets. The accountant will be paid at his standard billing rate of $175 per hour and will receive reimbursement for expenses. Mr. Noda and his firm do not represent interest adverse to the Debtor. The accountant can be reached at: Armando Noda Arm Consulting & Co. 3475 Sheridan Street, Suite 313 Hollywood, FL 33021 Telephone: (954) 623-8800 Email: armconsulting@ymail.com About Beltempo USA Beltempo USA, LLC, a Fort Lauderdale, Fla.-based company that owns furniture stores, filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 21-11323) on Feb. 11, 2021. Marco Sangiorgi, manager, signed the petition. In the petition, the Debtor disclosed $115,210 in assets and $1,280,728 in liabilities. Judge Scott M. Grossman oversees the case. The Debtor tapped Furr and Cohen PA as its legal counsel and Armando Noda of Arm Consulting & Co. as its accountant. BERRY TWINS: Hunter Buying Tacoma Property for $350K, Free of Liens ------------------------------------------------------------------- Berry Twins, LLC, asks the U.S. Bankruptcy Court for the Western District of Washington to authorize the sale of the real property located at 1435 E 31st St., in Tacoma, Washington, to Chester B. Hunter, Jr., for $350,000, free and clear of liens, claims, and encumbrances, pursuant to their purchase and sale agreement. A hearing on the Motion is set for March 31, 2021, at 9:00 a.m. The hearing will be via telephone: (1) Dial: 1-888-363-4749 (2) Enter Access Code: 5974828#. In the event, parties are unable to connect to the conference call, they can contact chambers at 253-882-3960. The Objection Deadline is March 24, 2021. The Debtor has signed a PSA with the Buyer to sell him the real property. The property is encumbered by three deeds of trust. The Buyer has tendered $2,000 earnest money which is held by Jason E Anderson for Berry Twins LLC. The anticipated proceeds of sale are as follows: Sale Price: $350,000 Pennymac $175,000 Charles Lane $152,616.38 Stanley Korona Holdback $ 10,000 Excise Taxes $ 6,230 Escrow $ 1,400 Repair Holdback $ 10,500 Projected Net to Estate: $12,226.32 Berry Twins agreed to provide for a holdback of 3% of the sales price to be allocated to any repairs the buyer identifies before purchasing. The decision was made to account for a previous buyer walking away from buying the property due to repair concerns. This holdback is also less than what would be paid to a real estate agent if the estate hired a real estate agent and relisted the property. There is a second position deed of trust in favor of Stanley Korona. It is likely that this deed of trust was satisfied when Mr. Korona had acquired the property before he then transferred the property to Berry Twins LLC. Alternatively, this deed of trust likely merged with Mr. Korona's interest in the property when he acquired the property. Under either theory, Berry Twins does not believe anything is owed on this claim. If this claim is not resolved prior to the sale of the property, the debtor proposes that $10,000 be held back out of the sale to satisfy this claim if further court resolution is required. The proposed sale terms will require the Charles Lane to consent to these terms since it will pay less than the full amount of his loan. Berry Twins has contacted Charles Lane and believes he is amenable to the transaction as described in part since his loan is also secured by other properties owned by other parties. The Charles Lane secured claim is a nonrecourse claim to Berry Twins LLC, so the sale would satisfy any claim he has in the case. In the case, business justification exists to support the proposed sale to the Buyer. The sale is for a reasonable market price, and would net funds for the estate. The claims secured by the property are accruing interest. The sale will pay the claims and stop the further accrual of interest, and satisfy the allowed amounts of all known claims. A copy of the PSA is available at https://tinyurl.com/55kavzrf from PacerMonitor.com free of charge. About Berry Twins Berry Twins, LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Wash. Case No. 21-40030) on Jan. 8, 2021. At the time of the filing, the Debtor disclosed assets of between $500,001 and $1 million and liabilities of the same range. Judge Brian D. Lynch oversees the case. Jason E Anderson, Esq., at Emerald City Law Firm, PC, is the Debtor's legal counsel. BETA MUSIC: Seeks Use of Cash Collateral ---------------------------------------- Beta Music Group, Inc. and Get Credit Healthy, Inc. ask the U.S. Bankruptcy Court for the Southern District of Florida, Fort Lauderdale Division, for authority to use cash collateral on an interim and final basis in accordance with their proposed budget. The Debtors seek authorization to use cash collateral to fund operating and day-to-day expenses, as well as the costs of administration in the Chapter 11 cases. The Debtors believe that the U.S. Small Business Administration will assert a security interest in the Debtors' assets, including accounts receivable. As adequate protection, the Debtors propose to provide the SBA with a replacement lien on GCH's account receivables and other proceeds that may be generated from GCH's business operations. Dan Oran, BEMG's former chief executive officer and investor, filed a lawsuit against the Debtor for, among other things, breach of promissory notes. He also instituted a lawsuit against GCH for unpaid rent. Mr. Oran also caused the filing of other lawsuits against the Debtors by shareholders of BEMG - most of which are friends or affiliates of Mr. Oran - for a variety of fraud-based claims, none of which have any merit. During Mr. Oran's five-month tenure as the sole officer and director of the BEMG, he caused BEMG to execute numerous promissory notes in favor of himself, increasing the debt on BEMG's books. The litigation between the Debtors, Mr. Oran, and Mr. Oran's affiliates was a drain on the Debtors' resources, redirected time from business operations, and ultimately culminated in the Debtors' decision to seek bankruptcy protection. On or about June 14, 2020, GCH obtained an Economic Injury Disaster Loan from the SBA in the principal amount of $150,000 evidenced by a promissory note signed by GCH. Payments under the SBA Loan were to commence in June 2021, with the balance of principal and interest payable 30 years from the date of the promissory note, or June 2050. The SBA Loan was funded on June 16, 2020, with interest to accrue at 3.75% per annum from the date the funds were advanced. The Debtors' account receivables constitute cash collateral in which the SBA has an interest. The Debtors anticipate that they will continue to generate and collect account receivables after the Petition Date, in the ordinary course of their business. As set forth in the Budget, the Debtors project revenue to total $176,194.31, and expenses to range between $174,540.04 and $196,884.96 during the period of the Petition Date through May 31, 2021 as set forth in their proposed Budget. As adequate protection, the Debtors propose to grant to the SBA a replacement lien on assets acquired after the Petition Date to the same extent, validity, and priority as existed on the Petition Date. The Debtors assert that the interests of the SBA will be adequately protected, and that no further provision for adequate protection is required. A copy of the motion and the Debtors' budget is available for free at https://bit.ly/3esJQNG from PacerMonitor.com. About Beta Music Group, Inc. Beta Music Group, Inc. through its operating subsidiary Get Credit Healthy (www.getcredithealthy.com), utilizes its proprietary processes, platform, and software to integrate with lenders to make it easier to recapture leads. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 21-12199) on March 5, 2021. In the petition signed by Elizabeth Karwowski, president, the Debtor disclosed $802,688 in assets and $1,336,478 in liabilities. Judge Scott M. Grossman oversees the case. Grace E. Robson, Esq., at MARKOWITZ, RINGEL, TRUSTY & HARTOG, P.A., is the Debtor's counsel. BLINK CHARGING: COO Brendan Jones Assumes President's Post ---------------------------------------------------------- Blink Charging Co.'s board of directors appointed Brendan S. Jones, the company's current chief operating officer, as president of the company. Mr. Jones was also elected to become a member of the board, increasing the board to seven members. In connection with the appointment, the board's compensation committee granted to Mr. Jones stock options to purchase 100,000 shares of common stock of the company at an exercise price of $38.39 per share, the closing price of the company's shares on Feb. 25, 2021. The stock options, which were granted under the terms of the company's 2018 Incentive Compensation Plan, are exercisable in three equal annual increments on the first, second and thirds anniversaries of the grant date. About Blink Charging Based in Miami Beach, Florida, Blink Charging Co. (OTC: CCGID) f/k/a Car Charging Group Inc. -- http://www.CarCharging.com/-- is an owner and operator of electric vehicle charging stations in the United States and a growing presence in Europe, Asia, Israel, the Caribbean, and South America. The Blink Network utilizes proprietary cloud-based software that operates, maintains, and tracks the EV charging stations connected to the network, along with the associated charging data. The Company has established key strategic partnerships to roll out adoption across numerous location types, including parking facilities, multifamily residences and condos, workplace locations, health care/medical facilities, schools and universities, airports, auto dealers, hotels, mixed-use municipal locations, parks and recreation areas, religious institutions, restaurants, retailers, stadiums, supermarkets, and transportation hubs. As of Sept. 30, 2020, the Company had $23.44 million in total assets, $7.20 million in total liabilities, and $16.24 million in total stockholders' equity. Marcum LLP, in New York, the Company's auditor since 2014, issued a "going concern" qualification in its report dated April 2, 2020, citing that the Company has a significant working capital deficiency, has incurred significant losses, and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. BMI INDUSTRIES: Gets OK to Hire Allen Barnes & Jones as Counsel --------------------------------------------------------------- BMI Industries, LLC received approval from the U.S. Bankruptcy Court for the District of Arizona to employ Allen Barnes & Jones, PLC as its legal counsel. The firm will render these legal services: (a) advise the Debtor with respect to its reorganization; (b) represent the Debtor in negotiations involving secured and unsecured creditors; (c) represent the Debtor at court hearings; and (d) prepare legal papers. The hourly rates of the firm's counsel and staff are as follows: Thomas H. Allen, Member $425 Hilary L. Barnes, Member $425 Michael A. Jones, Member $425 Philip J. Giles, Member $350 David B. Nelson, Associate $300 Cody D. Vandewerker, Associate $315 Legal Assistants and Law Clerks $135 - $205 The firm received a retainer of $22,500. Thomas Allen, Esq., a partner at Allen Barnes & Jones, disclosed in court filings that the firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Thomas H. Allen, Esq. David B. Nelson, Esq. Allen Barnes & Jones, PLC 1850 N. Central Ave., Suite 1150 Phoenix, AZ 85004 Telephone: (602) 256-6000 Facsimile: (602) 252-4712 Email: tallen@allenbarneslaw.com dnelson@allenbarneslaw.com About BMI Industries BMI Industries, LLC filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Ariz. Case No. 21-01440) on March 1, 2021. Brent Mann, managing member and president, signed the petition. In the petition, the Debtor disclosed assets of between $1 million and $10 million and liabilities of the same range. Judge Scott H. Gan oversees the case. Allen Barnes & Jones, PLC serves as the Debtor's legal counsel. BOART LONGYEAR: S&P Lowers ICR to 'CC', On CreditWatch Negative --------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on U.S.-based drilling services provider and manufacturer Boart Longyear Ltd. to 'CC' from 'CCC+', and placed all ratings on CreditWatch with negative implications. S&P said, "At the same time, we are lowering our issue-level rating on the company's senior secured debt to 'CC' from 'CCC+' with a '4' recovery rating. Our issue-level rating and recovery rating on the unsecured notes of 'C' and '6' remains unchanged. "The CreditWatch placement reflects the likelihood of a debt restructuring transaction in the coming months, which we would characterize as a default scenario. "The rating action reflects our belief that a default scenario is a virtual certainty within the coming months because the company has engaged debt advisors and is undergoing negotiations with creditors. We expect the company to undertake a refinancing or recapitalization of its debt facilities to address debt levels that are likely unsustainable with expected earnings and cash flow. Boart Longyear is negotiating a resolution to its capital structure with its creditors ahead of its June 2021 interest payment on its senior secured notes. As a result, we view a default scenario as a virtual certainty. "Since the restructuring transaction the company undertook in 2017, we have assessed the company's capital structure as unsustainable over the long term given the increasing debt burden from cumulative payment-in-kind interest and weak cash flow, as well as large upcoming debt maturities in 2022. "The CreditWatch placement reflects the likelihood of a debt restructuring transaction in the coming months, which we would characterize as a default scenario." BRAZOS ELECTRIC: Gets Approval to Tap Stretto as Claims Agent ------------------------------------------------------------- Brazos Electric Power Cooperative, Inc. received approval from the U.S. Bankruptcy Court for the Southern District of Texas to employ Stretto as claims, noticing and solicitation agent. Stretto will oversee the distribution of notices and will assist in the maintenance, processing and docketing of proofs of claim filed in the Debtor's Chapter 11 case. The firm will also provide balloting services in connection with any Chapter 11 plan proposed by the Debtor. Prior to the petition date, the Debtor provided Stretto an advance in the amount of $75,000. Stretto will bill the Debtor no less frequently than monthly. The Debtor agreed to pay out-of-pocket expenses incurred by the firm. Sheryl Betance, a managing director at Stretto, disclosed in court filings that her firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Sheryl Betance Stretto 410 Exchange, Ste. 100 Irvine, CA 92602 Telephone: (714) 716-1872 Email: sheryl.betance@stretto.com About Brazos Electric Power Cooperative Brazos Electric Power Cooperative is a 3,994-megawatt transmission and generation cooperative which members' service territory covers 68 counties from the Texas Panhandle to Houston. It was organized in 1941 and the first cooperative formed in the Lone Star state with the primary intent of generating and supplying electrical power. At present, Brazos Electric is the largest generation and transmission cooperative in the state and is the wholesale power supplier for its 16 member-owner distribution cooperatives and one municipal system. Brazos Electric filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Case No. 21-30725) on March 1, 2021. It listed $1 billion to $10 billion in both assets and liabilities as of the filing. Judge David R. Jones oversees the case. Brazos Electric hired Norton Rose Fulbright and Dallas partner Louis Strubeck, to lead its restructuring effort. Lawyers say that Foley & Lardner LLP bankruptcy partner Holland O'Neil is also advising Brazos Electric. Stretto is the claims and noticing agent. CARBON AND CLAY: Seeks Use of SBA's Cash Collateral --------------------------------------------------- Carbon and Clay Company asks the U.S. Bankruptcy Court for the Western District of Texas, San Antonio Division, for authority to use the cash collateral of the U.S. Small Business Administration. The Debtor requires the continued use of the cash collateral to make its ongoing payments incurred in day-to-day operations. Such expenses are encountered by Debtor in the ordinary course of the Debtor's business, and the payment of these expenses is critical to the continued existence of the business and the administration of the case and bankruptcy estate. The SBA holds pre-petition security interests on the Debtor's personal property used in the Debtor's operations. The SBA is owed approximately $500,000 under a disaster loan dated April 17, 2020 in the amount of $500,000. The Debtor scheduled the personal property with a value in the approximate amount of the debt owing to the SBA, which the Debtor contends, adequately protects the interests of the SBA. The Debtor was current on its payment obligations to the SBA pre-petition, and remains current on its post-petition obligations to the SBA as the date of the filing of its Motion. Under the disaster loan from the SBA, the Debtor has monthly payments in the amount of $2,437 beginning on May 1, 2021, and continuing monthly thereafter, for a 30-year term. The Debtor proposes to provide adequate protection to the SBA through ongoing monthly payments in the amount of $1,000 beginning on April 15, 2021, and granting automatic post-petition replacement liens to the SBA in existing pre-petition collateral. If the Debtor's Plan has not been confirmed by October, 2021, the monthly payments to the SBA will increase to the amount of S2,000 beginning on October 15, 2021 until the Plan is confirmed, at which time the Plan payments will be adjusted per the payments provided for in the Plan. A copy of the motion is available at https://bit.ly/2OyAqFt from PacerMonitor.com. About Carbon and Clay Company Carbon and Clay Company manufactures beauty and oral care products. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tex. Case No. 21-50242) on March 4, 2021. In the petition signed by Jessica Arman, chief executive officer, the Debtor disclosed $2,850,486 in assets and $1,434,965 in liabilities. Judge Craig A. Gargotta oversees the case. William R. Davis, Jr., Esq. at LANGLEY & BANACK, INC. is the Debtor's counsel. CARBONLITE HOLDINGS: Seeks Cash Collateral Access ------------------------------------------------- CarbonLite Recycling Holdings, LLC and affiliates ask the U.S. Bankruptcy Court for the District of Delaware for authority to, among other things, obtain senior secured superpriority postpetition financing, use cash collateral and provide related relief. The TX/PA Debtors consisting of CarbonLite Recycling, LLC, TX Holdings, CarbonLite P Holdings, LLC, and CarbonLite P, LLC need financing and access to cash collateral in order to maintain their operations and facilitate the sale and restructuring process. The proceeds of the DIP Facilities will be used to: (a) pay costs, fees, and expenses related to the Chapter 11 Cases of the TX/PA Debtors and in connection with the DIP Facilities, including, without limitation, payments of interest, fees and expenses owed to the DIP Lenders and the DIP Agents; (b) make permitted adequate protection payments in respect of the Prepetition Obligations as provided for in the Interim Order; and (c) provide financing for working capital and general corporate purposes (including capital expenditures) of the TX/PA Debtors. Only the TX/PA Debtors are seeking debtor-in-possession financing and authorization to use cash collateral of the TX/PA Debtors by the Motion. Debtors CarbonLite Holdings, LLC, CarbonLite Sub-Holdings, LLC, CarbonLite Industries LLC, CarbonLite Pinnpack, LLC, Pinnpack Packaging, LLC, CarbonLite PI Holdings LLC, and Pinnpack P, LLC are seeking the Court’s approval to obtain separate debtor-inpossession financing and authorization to use cash collateral of the CA Debtors to finance their respective operations. Holdings, a Delaware limited liability company, is the ultimate parent of the other Debtor entities and is privately held. As of the Petition Date, Holdings had issued 11 series of membership units, which are held of record by approximately 67 parties. Holdings owns 100% of the membership interests in Subholdings. Subholdings, in turn, owns 100% of the membership interests in each of TX Holdings and PA Holdings. Mission Economic Development Corporation and UMB, as trustee are parties to an Indenture, dated as of October 1, 2016 pursuant to which the Solid Waste Disposal Revenue Bonds were issued in an aggregate principal amount of $50,000,000. The TX Bonds Issuer loaned the proceeds of the TX Bonds to Recycling pursuant to a Loan Agreement, dated as of October 1, 2016 to finance the acquisition, construction and equipping of the Dallas Facility. As of the Petition Date, the TX Prepetition Obligors were indebted and liable, without defense, challenge, objection, claim, counterclaim, or offset of any kind, in the aggregate principal amount of not less than $45,765,000 in respect of outstanding principal amount of the TX Bonds, plus any accrued and unpaid interest, fees, expenses, and disbursements. As of the Petition Date, the PA Prepetition Obligors were indebted and liable, without defense, challenge, objection, claim, counterclaim, or offset of any kind, in the aggregate principal amount of not less than $61,800,000 in respect of outstanding principal amount of the PA Series 2019 Bonds, plus any accrued and unpaid interest, fees, expenses, and disbursements. As security for any Diminution in Value of the Prepetition Collateral (i) the TX Prepetition Secured Parties will be granted a valid, perfected replacement security interest in and lien on all of the TX DIP Collateral, including, subject to entry of the TX Final Order, TX Avoidance Action Proceeds, and (ii) the PA Prepetition Secured Parties will be granted a valid, perfected replacement security interest in and lien on all of the PA DIP Collateral, including, subject to entry of the PA Final Order, PA Avoidance Action Proceeds. The TX/PA Adequate Protection Liens will be subject and subordinate only to (i) the Carve-Out, (ii) the Prepetition Permitted Prior Liens, and (iii) the DIP Liens. A copy of the motion is available for free at https://bit.ly/30rrpRd from PacerMonitor.com. About CarbonLite Recycling Holdings, LLC CarbonLite Recycling Holdings, LLC and affiliates are on the forefront of processing post-consumer recycled polyethylene terephthalate (rPET) plastic products and producing high-quality rPET and polyethylene terephthalate ("PET") beverage and food packaging products. As of the Petition Date, the Debtors operate two facilities, one in Dallas, Texas and the other in Riverside, California at which they process PET bottles and flake into rPET pellets, which are later incorporated into other products and packaging. The Debtors are scheduled to begin operations at a third processing facility in Reading, Pennsylvania in April 2021. The Debtors also operate PinnPack, which processes the rPET and PET into high-quality thermoformed packaging and similar products at a facility in Oxnard, California which the Debtors sell to customers including restaurants and grocery stores. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 21-10527) on March 8, 2021. In the petition signed by Brian Weiss, chief restructuring officer, the Debtor disclosed up to $50,000 in both assets and liabilities. Judge John T. Dorsey oversees the case. James E. O'Neill, Esq. at Pachulski Stang Ziehl & Jones LLP is the Debtor's counsel. CARBONLITE HOLDINGS: Wins Court Nod for $35-Mil. DIP Financing -------------------------------------------------------------- Law360 reports that plastic recycler CarbonLite Holdings won approval from a Delaware bankruptcy judge on Tuesday, March 9, 2021, to tap into $35 million in Chapter 11 financing, as it heads for what it said will be a sale of at least some of its assets. At a virtual hearing, U.S. Bankruptcy Judge John Dorsey gave CarbonLite initial approval to draw on its Chapter 11 financing, a move the company said was needed to finish the lagging process of bringing its newest recycling plant online. In Monday's, March 8, 2021, bankruptcy filings, Los Angeles-based CarbonLite said it was sent into Chapter 11 by "suboptimal" production levels and unfavorable contracts. About CarbonLite CarbonLite is engaged in the processing of post-consumer recycled polyethylene terephthalate ("rPET") plastic products and producing rPET and polyethylene terephthalate ("PET") beverage and food packaging products through its two business segments, the Recycling Business and PinnPack. CarbonLite Holdings LLC and 10 of its affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 21-10527) on March 8, 2021. CarbonLite P, LLC, estimated assets of $100 million to $500 million and debt of $50 million to $100 million. The Hon. John T. Dorsey is the case judge. PACHULSKI STANG ZIEHL & JONES LLP is the Debtors' counsel. REED SMITH LLP is the corporate counsel. STRETTO is the claims agent. CARLA'S PASTA: Seeks Approval to Hire Financial Advisor, CRO ------------------------------------------------------------ Carla's Pasta, Inc. and Suri Realty, LLC seek approval from the U.S. Bankruptcy Court for the District of Colorado to employ Phoenix Executive Services, LLC as their financial advisor and Joseph Nappi, a senior managing director at Phoenix, as their chief restructuring officer. Phoenix will render these services: (a) assist the board of directors and the Debtors in the preparation of the various financial reporting requirements in their Chapter 11 cases; (b) meet regularly with the Debtors' board of directors and senior management; (c) assist the Debtors in their communications and negotiations with Bank of Montreal and People's United Bank, and any other secured and unsecured creditors; (d) prepare, monitor or modify the Debtors' cash flow forecasts and bankruptcy-related budgets on a periodic basis; (e) develop and maintain a scorecard to monitor and report to the various constituents the key value drivers of the cash flow; (f) oversee the preparation, monitoring and periodically modify the Debtors' business plan; (g) oversee the Debtors' daily cash management activities; (h) review and approve disbursements made by the Debtors; (i) work with the Debtors' restructuring counsel to assist in the preparation of monthly operating reports and bankruptcy statements and schedules; (j) provide the necessary oversight to assure all parties that the efforts of Cowen and Company, LLC to identify and solicit interest to buy the Debtors' assets are sufficient to conduct a far-reaching and effective auction process; (k) provide testimony; and (l) provide such other support as may be reasonably requested by the Debtors or their legal counsel. Phoenix will charge the Debtors a flat fee of $100,000 per month and will seek reimbursement for out-of-pocket expenses incurred. Joseph Nappi, a senior managing director at Phoenix, disclosed in court filings that the firm and its employees are "disinterested persons" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Joseph C. Nappi Phoenix Executive Services, LLC 50 Congress Street, Suite 843 Boston, MA 02109 Telephone: (617) 600-3602 Email: jnappi@phoenixmanagement.com About Carla's Pasta Carla's Pasta Inc. is a family-owned and operated business headquartered in South Windsor, Conn. It manufactures food products including pasta sheets, tortellini, ravioli, and steam bag meals for branded and private label retail, foodservice distributors, and restaurant. Founded in 1978 by Carla Squatrito, Carla's Pasta's stock is held by members of the Squatrito family. On Dec. 31, 2016, Carla's Pasta acquired 100% of Suri Realty, LLC's membership interests. Suri's business is limited to the ownership of two adjoining parcels of real property located at 50 Talbot Lane and 280 Nutmeg Road, South Windsor, Conn. Carla's Pasta operates its business from an approximately 150,000-square-foot BRC+ certified production facility. On Oct. 29, 2020, an involuntary petition for relief under Chapter 7 of the Bankruptcy Code was filed against Suri by Dennis Group, HJ Norris, LLC, Renaissance Builders, Inc., and Elm Electrical, Inc. On Dec. 17, 2020, the court approved Suri's request and converted the involuntary Chapter 7 case to one under Chapter 11. Carla's Pasta filed a Chapter 11 petition (Bankr. D. Conn. Case No. 21-20111) on Feb. 8, 2021. It estimated assets of $10 million to $50 million and liabilities of $50 million to $100 million. The cases are jointly administered under Case No. 21-20111. The Debtors tapped Locke Lord LLP as their counsel, Cowen & Co. as investment banker and Phoenix Executive Services, LLC as financial advisor. Joseph C. Nappi, a senior managing director at Phoenix, is the Debtors' chief restructuring officer. The U.S. Trustee for Region 2 appointed an official committee of unsecured creditors in the Debtors' cases on Feb. 18, 2021. The committee is represented by Green & Sklarz, LLC. CARRIAGE SERVICES: Moody's Completes Review, Retains B1 CFR ----------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Carriage Services, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Carriage Services, Inc.'s (Carriage) B1 corporate family rating (CFR) reflects its high financial leverage, unfavorable secular trends toward increasing cremation rates and declining revenue per service, and a small revenue base. However, in the near term, heightened demand is driven by the coronavirus pandemic, further supporting volume, revenue and profit expansion. The rating is supported by strong EBITDA margins, historically stable operating performance throughout economic cycles and its position as one of the larger players in the highly fragmented death care industry. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. CARTER'S INC: S&P Alters Outlook to Stable, Affirms 'BB+' ICR ------------------------------------------------------------- S&P Global Ratings revised its outlook to stable from negative and affirmed all its ratings on Atlanta–based babies' and young children's apparel seller Carter's Inc., including its 'BB+' issuer credit rating. S&P said, "The stable outlook reflects our expectation that despite a continuing challenging retail environment, Carter's credit metrics will remain strong, absent major shareholder return activities. We expect leverage maintained in the low-1x area in 2021 before returning to the high-1x area in 2022. "Carter's ended 2020 with historically low leverage of 1.3x due to better than expected free cash flow generation, and we expect similar leverage for 2021 as shareholder returns are restricted. We expect the company to end 2021 with adjusted leverage in the low-1x area, a slight improvement from 2020 as it continues to build cash. We believe its dividend and share repurchases will likely remain suspended until late 2021. Carter's has the capacity to resume shareholder returns given its excess liquidity position but is currently limited by the covenant amendment it entered into during the onset of the pandemic. Longer term, we expect the company will return to pre-pandemic shareholder return cadences and leverage will increase to the high-1x area by 2022." Carter's generated approximately $550 million of free cash flow in 2020, mostly from working capital initiatives, compared with approximately $325 million in 2019. Its low leverage is attributed to a higher than normal cash balance.S&P said, "We do not believe its 2020 cash flow generation is sustainable. Our cash flow projection for 2021 is materially weaker, in the $100 million area as Carter's reverts to more normalized payment terms which were extended in 2020. Nevertheless, we expect cash balances to remain elevated in 2021 as shareholder returns are suspended." Carter's has historically stated its willingness to increase leverage for acquisitions, despite a history of relatively low leverage. The company does not communicate an explicit financial leverage target but has operated in the high-1x area. The management's unwillingness to commit to a specific financial policy is likely due to it wanting to have the flexibility to raise debt for acquisitions when needed. S&P said, "As such, we believe Carter's would likely fund an acquisition with debt, raising leverage above 2x. Absent a debt-funded acquisition, we expect the company to continue its historical cadence of returning most of its free operating cash flow to shareholders while maintaining leverage under 2x, starting again in late 2021." S&P said, "We continue to expect 2021 to be challenging as Carter's navigates changing consumer preferences and its product supply remains constrained by a congested supply chain. The company's 14% revenue decline in 2020 was lower than the industry decline of 20% (per Euromonitor). We mostly attribute this to its less discretionary infant segment and big-box partnership with Walmart Inc., Target Corp., and Amazon.com that did not face closures. We expect there will be less pent-up demand for the company's products in 2021, resulting in lower revenue recovery than the industry. Additionally, the declining birth rate and increase in competitors could further pressure revenues. Most of Carter's products are sourced from Asia and sold in the U.S., relying on congested freight lanes and challenged West Coast ports. We believe the supply chain issues would pressure margins in 2021, but its margins should recover given that margin compression in 2020 was unusual and acute. Our expectation of continued margin expansion is also based on our assessment that Carter's brands will remain healthy, supported by expanding key wholesale partners' sales and incremental digital marketing investments." Carter's, like its peers, is prioritizing the digital shift amid the ongoing pandemic. The company announced the planned closure of 115 retail stores (out of its total U.S. fleet of approximately 864 stores) to focus on its digital and omnichannel sales. S&P said, "We view this as the right strategy for a post-pandemic world, because consumers are now comfortable shopping online and enjoy the convenience it offers. However, we believe maintaining a strategically located fleet of well-designed and merchandised retail stores will remain attractive. We estimate Carter's total digital penetration is approximately 40% of total revenue for 2020; that should continue to expand at least for the next year. The company also disclosed that its omnichannel demand, a combination of online and offline shopping experiences such as ship-to-store and same-day pick-up, increased to 24% of its owned e-commerce orders in in the fourth quarter 2020 from 12% the year before. We believe this is an important contributor to Carter's growth strategy and will offset some weakness in its brick-and-mortar retail segment." S&P said, "Cotton is a key raw material for Carter's, and we expect there will be some input cost pressures arising from the U.S. ban on the use of Xinjiang cotton. As the main raw material in manufacturing infant and children's wear, we believe cotton accounts for approximately 15% of the company's cost of goods sold. Carter's has indirect exposure to the cotton ban. Instead of directly importing cotton, it purchases finished garments to sell and thus has no direct exposure to the Xinjiang cotton ban. However, risks remain with its suppliers in their raw material sourcing. Carter's has outlined its supply chain initiatives to audit and hold its suppliers accountable for sourcing cotton from reputable growers. We believe that large-scale verifiable testing of the origin of cotton is still in its early stages. It will gradually be accepted as an operating standard but likely take several years to be established. We, therefore, do not believe there will be large supply chain disruption related to U.S.'s Xinjiang cotton ban at this time. However, we expect some input cost pressure given that Xinjiang accounts for approximately 20% of the world's cotton production. We expect Carter's can offset majority of the potential cotton price pressures with price increases and operating efficiencies. "The stable outlook reflects our expectation that despite a continuing challenging retail environment, Carter's credit metrics will remain strong, absent major shareholder return initiatives. We expect leverage to be maintained in the low-1x area in 2021, due to restrictions on shareholder payments during the covenant restriction periods, before returning to the historical high-1x area in 2022." S&P could raise its ratings if it believes the company's adjusted leverage will be sustained below 2x. This could occur if: -- Carter's commits to conservative financial policies, and we believe it will manage its capital allocation in line with such policies; and -- The company expands and diversifies its businesses, both geographically and through the addition of new brands, while maintaining its credit measures. S&P could lower its ratings if the company's adjusted leverage is sustained above 3x. This could occur if: -- Carter's brands fall out of favor with consumers due to increasing competition, significantly reducing revenue and profitability. S&P estimates EBITDA would need to decline approximately 45% in such a case; -- The company cannot offset input cost pressures with price increases or operating efficiencies; and -- It undertakes a large debt-funded acquisition or shareholder returns. CERIDIAN HCM: Moody's Lowers CFR to B3 on Debt Financed Deals ------------------------------------------------------------- Moody's Investors Service downgraded Ceridian HCM Holding Inc.'s corporate family rating to B3 from B2 and its probability of default rating to B3-PD from B2-PD. Concurrently, Moody's upgraded the rating on Ceridian's senior secured first lien credit facility to B1 from B2. The speculative grade liquidity rating remains SGL-2. The outlook is stable. The rating action follows Ceridian's announced issuance of $500 million in senior unsecured convertible notes due 2026 (subject to a $75 million overallotment option) with proceeds that will be partially used for the permanent financing of the company's acquisition of Ascender HCM Pty Limited ("Ascender") (which was temporarily funded with a revolver drawing) as well as to add cash to Ceridian's balance sheet. [1] Based on Moody's expectation of a relatively modest initial EBITDA contribution from the Ascender purchase, this transaction, despite its strategic benefits, will result in a considerable increase in Ceridian's gross debt leverage, weakening its overall credit quality. While the convertible issuance has negative implications for the company's overall credit profile, the considerable incremental first loss support provided to Ceridian's secured debt prompted the upgrade of the ratings for these instruments. Downgrades: Issuer: Ceridian HCM Holding Inc. Corporate Family Rating, Downgraded to B3 from B2 Probability of Default Rating, Downgraded to B3-PD from B2-PD Upgrades: Issuer: Ceridian HCM Holding Inc. Senior Secured Bank Credit Facility, Upgraded to B1 (LGD2) from B2 (LGD3) Outlook Actions: Issuer: Ceridian HCM Holding Inc. Outlook, Remains Stable RATINGS RATIONALE Ceridian's B3 CFR is principally constrained by the company's elevated pro forma LTM debt/EBITDA (Moodys' adjusted for leases and pensions) of approximately 12x (7.5x excluding stock compensation expense) as of December 31, 2020 and expectations for modest free cash flow generation in the coming year. The rating is also negatively impacted by competitive risks as well as corporate governance concerns relating to Ceridian's somewhat concentrated equity ownership, the potential for additional debt financed acquisitions, and more aggressive stock repurchase programs to offset the dilutive impact of rising stock compensation expense. While the company's business model demonstrated relatively healthy resiliency throughout 2020 despite the macroeconomic and social challenges presented by the coronavirus outbreak, ongoing uncertainties with respect to the pandemic and its continued impact on macroeconomic conditions and employment trends present ongoing credit risk. Ceridian's credit profile is supported by the healthy long term growth prospects of the company's target markets as well as Ceridian's strong relationships with its base of largely enterprise and middle market clients. Additionally, the company's credit quality is bolstered by healthy business visibility as a majority of its revenues are driven by cloud-based products and related services featuring long term contracts and high retention rates. Moody's believes Ceridian's liquidity will be good over the next year, as indicated by a SGL-2 rating. Despite Moody's fairly modest $50 million free cash flow expectations for 2021, liquidity is principally supported by the company's pro forma cash balance of approximately $285 million as of December 31, 2020. The cash sources provide strong coverage of just under $7 million of required term loan amortization in 2021. While Ceridian's term loan is not subject to financial covenants, the revolving credit facility has a springing covenant based on a maximum net first lien debt to EBITDA ratio of 7.25x which the company should be comfortably in compliance with over the next 12-18 months. The stable ratings outlook reflects Moody's expectation that Ceridian's revenues will increase by 6%, on an organic basis, in 2021 driven by an ongoing recovery in employment trends within the company's markets. However, adjusted EBITDA is expected to decline meaningfully during this period, due in part to escalating stock compensation expense, as Ceridian continues to fund future growth initiatives that will also weigh on free cash flow trends during this period. Moody's notes that an increasing component of stock-based compensation raises the probability of heightened stock repurchase activity in the future to offset dilution. Based on these expectations, debt leverage is expected to remain elevated over the near to intermediate term.. Ceridian's B1 bank debt instrument ratings reflect both the issuer's B3-PD PDR and a loss given default ("LGD") assessment of LGD2. The bank debt ratings are two notches above Ceridian's B3 CFR, reflecting the senior ranking and priority in the collateral of the bank debt relative to the company's newly issued senior unsecured convertible notes (unrated) which provide considerable first loss support to the bank debt. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS While unlikely over the near term, the ratings could be upgraded if Ceridian expands revenues and EBITDA such that debt/EBITDA metrics are sustained at less than 6.5x with free cash flow to debt exceeding 5% and the company adheres to conservative financial policies. The ratings could be downgraded if Ceridian's operating performance weakens materially or the company adopts more aggressive financial policies such that it is unable to sustain meaningful free cash flow generation, liquidity deteriorates, or debt/EBITDA increases to the extent that Moody's believes the company's equity cushion is highly limited. Ceridian is a publicly-traded human resources software and transaction processing company providing workforce management software, payroll and tax processing, and other human resources services. Moody's expects Ceridian to generate pro forma revenues of about $960 million in 2021. The principal methodology used in these ratings was Business and Consumer Service Industry published in October 2016. CGC-MROZ: Seeks Court OK on Cash Collateral Access Deal ------------------------------------------------------- CGC-Mroz Accountants & Advisors, Pacific Premier Bank, and the U.S. Small Business Administration have advised the U.S. Bankruptcy Court for the Central District of California, Riverside Division, that they have amended their agreement regarding CGC-Mroz's use of cash collateral and and now desire to memorialize the terms of this amended agreement into an Agreed Order. The parties agree that the Debtor may use cash collateral in accordance with the proposed budget, with a 10% variance, through August 1, 2021. The Debtor does not have sufficient available sources of working capital and financing to carry on the operation of its business over the next six month period in the bankruptcy case without the use of the Cash Collateral. Both the PPB and the SBA consent to the Debtor's use of the Cash Collateral subject to the terms and conditions set forth in the Stipulation, including the adequate protection for the Debtor's use of the Cash Collateral and to protect against the diminution of the Lender's and the SBA's interest in the Cash Collateral, if any and consistent with their respective priorities. The Debtor has only two prepetition secured creditors: (i) PPB, to whom the Debtor owes approximately $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, to whom the Debtor currently owes approximately $150,000 based upon a loan provided by the SBA to the Debtor prior to the Petition Date. The Prepetition Debts owed to both PPB and the SBA are secured by substantially all of the Debtor's prepetition assets. PPB has a first position security interest in such assets, while the SBA's security interest is junior to PPB’s. However, the only prepetition assets of the Debtor that is generating any cash for the Debtor to use consists of the Debtor's prepetition accounts receivable that have since been collected and have been 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 of the date hereof. The Debtor believes that PPB is the only secured creditor that has a partially secured interest in the Cash Collateral. As adequate protection to Lender and the SBA on account of the Debtor's continued use of the Cash Collateral, and in all cases subject to the Carve-Out, the Lender and the SBA are granted 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 the case of Lender 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 Lender and the Lender in existence as of the Petition Date, that were senior to the lien, if any, of Lender and the SBA, upon such collateral as of the Petition Date. A copy of the Stipulation is available for free at https://bit.ly/3v2rpFr 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. at KNAPP, PETERSEN & CLARKE. U.S. Small Business Administration, as lender, is represented by Gil Hopenstand, Esq. CHESAPEAKE ENERGY: Settles Bankruptcy Fight With Energy Transfer ---------------------------------------------------------------- Steven Church of Bloomberg News reports that Chesapeake Energy Corp. settled their fight over more than $500 million in natural gas contracts with Energy Transfer. At a hearing Monday, March 8, 2021, a bankruptcy judge approved the deal, under which affiliates of Energy Transfer will drop its opposition to Chesapeake's attempt to cancel and replace various pipeline contracts. In return, the affiliates would receive bankruptcy claims to be paid at the same recovery percentage as unsecured creditors. Those claims would compensate Energy Transfer for any early-termination provisions in the canceled contracts. Chesapeake exited bankruptcy last February 2021 under a plan that cut about $7 billion in debt. About Chesapeake Energy Corp. Headquartered in Oklahoma City, Chesapeake Energy Corporation's (NASDAQ: CHK) operations are focused on discovering and responsibly developing its large and geographically diverse resource base of unconventional oil and natural gas assets onshore in the United States. Chesapeake Energy and its affiliates sought Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 20-33233) on June 28, 2020, after reaching terms of a Chapter 11 plan of reorganization to eliminate approximately $7 billion of debt. The Debtors tapped Kirkland & Ellis LLP as legal counsel, Jackson Walker LLP as co-counsel and conflicts counsel, Alvarez & Marsal as restructuring advisor, Rothschild & Co and Intrepid Financial Partners as financial advisors, and Reevemark as communications advisor. Epiq Global is the claims agent, maintaining the page http://www.chk.com/restructuring-information Wachtell, Lipton, Rosen & Katz serves as legal counsel to Chesapeake Energy's Board of Directors. MUFG Union Bank, N.A., the DIP facility agent and exit facilities agent, has tapped Sidley Austin LLP as legal counsel, RPA Advisors LLC as financial advisor, and Houlihan Lokey Capital Inc. as investment banker. Davis Polk & Wardell LLP and Vinson & Elkins L.L.P. serve as legal counsel to an ad hoc group of first lien last out term loan lenders while Perella Weinberg Partners and Tudor, Pickering, Holt & Co. serve as the group's investment bankers. Franklin Advisers, Inc., has tapped Akin Gump Strauss Hauer & Feld LLP as legal counsel, FTI Consulting, Inc. as financial advisor, and Moelis & Company LLC as investment banker. On July 9, 2020, the Office of the U.S. Trustee appointed a committee to represent unsecured creditors in Debtors' Chapter 11 cases. The unsecured creditors' committee has tapped Brown Rudnick, LLP and Norton Rose Fulbright US, LLP as its legal counsel, and AlixPartners, LLP as its financial advisor. On July 24, 2020, the bankruptcy watchdog appointed a committee of royalty owners. The royalty owners' committee is represented by Forshey & Prostok, LLP. About Energy Transfer LP Energy Transfer LP provides energy-related services in the United States and China. The company owns and operates approximately 9,400 miles of natural gas transportation pipelines and three natural gas storage facilities in Texas; and approximately 12,200 miles of interstate natural gas pipelines. The company is based in Dallas, Texas. CHG PPC PARENT: Moody's Completes Review, Retains B2 CFR -------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of CHG PPC Parent LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations CHG PPC Parent LLC's, B2 CFR reflects its high, but manageable financial leverage, acquisitive growth strategy, and low organic sales growth. The credit profile is supported by good product and geographic diversity, stable product demand, low earnings and cash flow volatility, and good liquidity. The company produces a broad set of grain-based and seasoning products such as artisan breads, buns, rolls, biscuits, desserts, gravy mixes and others. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. CJ FOODS: Moody's Completes Review, Retains B2 Rating ----------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of CJ. FOODS, INC. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations CJ Foods, Inc.'s B2 rating broadly reflects its relatively small scale with annual pro forma revenue under $1.0 billion, and its elevated debt/EBITDA leverage. CJ Foods has relatively low single digits operating profit margins, geographic concentration given its US only operations, and its customer concentration. In addition, CJ Foods' competes with significantly larger, global, and well-known manufacturers in the pet food industry. The company's ownership by a private equity sponsor, increases the risk of shareholder friendly financial policies. However, the rating is supported by the non-cyclical nature and positive underlying trends of the pet food industry, CJ Foods' solid market position in the fast growing subsegment of the industry, and its well established customer relationships. Also, the 2020 American Nutrition acquisition brings product capabilities, supply chain footprint diversification within the US, and provides the company with cross sell opportunities. In addition, the rating also considers the company's vertical integrated operations with its ingredients segment, and its national coverage with its multi-plant manufacturing operations which offer a competitive advantage. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. CLEANSPARK INC: Unit Secures Miners to Further Increase Hash Rate ----------------------------------------------------------------- CleanSpark, Inc. announced an additional purchase of 1,150 new miners capable of producing 100 PH/s, scheduled for delivery in June 2021. The Company has now secured a total of 3,650 miners or 318 PH/s of additional Bitcoin mining hash rate capacity over the past two weeks for delivery and deployment in June and July 2021. Those orders, along with the Company's current mining fleet, are expected to bring the Company's total hash rate up to an estimated 633 PH/s. The order and delivery dates for miners are on schedule with the Company's previously stated goals for expansion, targeted to reach 1-1.3 PH/s this summer. "We are excited about our growing production capacity as we push towards our goal of reaching 1.3 EH/s by the end of summer 2021. We are also eager to add renewable energy resources to our existing mining facilities later this year. In addition to increasing on the hash rate at our Atlanta facilities we are analyzing opportunities to further expand to additional locations that would be supported by clean energy," CleanSpark CEO Zach Bradford said. CleanSpark's goal is to operate the lowest-energy-cost Bitcoin mining facilities at scale in the nation. The Company will work to accomplish this not only by securing advantageous power purchase agreements, but also by leveraging its patented microgrid energy solutions. About CleanSpark Headquartered in Bountiful, Utah, CleanSpark, Inc. -- www.cleanspark.com -- is in the business of providing advanced energy software and control technology that enables a plug-and-play enterprise solution to modern energy challenges. Its services consist of intelligent energy monitoring and controls, microgrid design and engineering and consulting services. Its software allows energy users to obtain resiliency and economic optimization. The Company's software is uniquely capable of enabling a microgrid to be scaled to the user's specific needs and can be widely implemented across commercial, industrial, military and municipal deployment. CleanSpark reported a net loss of $23.35 million for the year ended Sept. 30, 2020, a net loss of $26.12 million for the year ended Sept. 30, 2019, and a net loss of $47.01 million for the year ended Sept. 30, 2018. As of Dec. 31, 2020, the Company had $78.17 million in total assets, $6.14 million in total liabilities, and $72.03 million in total stockholders' equity. CLEARPOINT NEURO: Reports Fourth Quarter, Full-Year 2020 Results ---------------------------------------------------------------- ClearPoint Neuro, Inc. announced financial results for its fourth quarter and full-year ended Dec. 31, 2020. 2020 Full Year and Fourth Quarter Highlights * Reported fourth quarter 2020 revenue of $3.7 million, an increase of 16% compared with the fourth quarter of 2019. Reported revenue of $12.8 million for 2020, a 14% increase over 2019 and representing the sixth consecutive year of growth. * Increased biologics and drug delivery revenue to $5.0 million in 2020, a 109% increase over 2019, driven by service revenue. * Supported 682 cases in 2020 despite the continued challenges posed by the COVID-19 pandemic. * Completed a convertible note financing facility under which notes aggregating $25.0 million were issued, and ended 2020 with cash and cash equivalents totaling $20.1 million. "Our goal throughout the last 12 months was to exit the COVID-19 pandemic in a stronger position than we started, and I believe we are doing just that," commented Joe Burnett, president and CEO of ClearPoint Neuro. "Despite still dealing with COVID-related closures and postponements, we are stronger than we have ever been as it relates to our strategy, our partners, our portfolio, and our pipeline of potential new customers. We now have a strong balance sheet to match, which will allow our talented team to relentlessly execute on our strategy. We are proud of the growth we showed in 2020, particularly in our biologics and drug delivery business, and most importantly, proud of the close to 700 patients we helped treat throughout the year, in spite of the COVID-19 pandemic. "As we continue to see closures and postponements related to ICU bed capacity due to the COVID-19 pandemic, we are not yet in a position to give a forecast for 2021," continued Burnett. "We are, however, very encouraged that hospitals that have been closed to elective procedures for several months in states such as Massachusetts, California, Texas, Arizona, Oklahoma and Kansas, have started to schedule patients for March and April, and we expect to return to pre-COVID procedure volume in the second half of 2021." Financial Results - Year Ended December 31, 2020 Total revenues were approximately $12.8 million and $11.2 million for the years ended Dec. 31, 2020 and 2019, respectively. Functional neurosurgery navigation and therapy revenues, which consist of disposable product commercial sales related to cases utilizing the ClearPoint system and related services, decreased 12% to $6.3 million for 2020 from $7.1 million for 2019. This decrease primarily reflects the continuing effects of the COVID-19 pandemic. Although vaccinations to combat the COVID-19 virus have commenced, and elective surgical procedures that were postponed or cancelled at the outset of the pandemic have resumed, such resumption is at volumes that have not yet reached pre-pandemic activity. Biologics and drug delivery revenue, which include sales of services related to customer-sponsored clinical trials utilizing the ClearPoint system and of related disposable products, increased 109% to $5.0 million for 2020, from $2.4 million for 2019. This increase was due primarily to an increase from 2019 to 2020 of approximately $2.7 million, or 302%, in biologics and drug delivery services. Capital equipment revenue, consisting of sales of ClearPoint reusable hardware and software, and of related services, decreased 10% to $1.5 million for 2020, as compared with $1.7 million for 2019. While revenues from this product line historically have varied from quarter to quarter, the Company believes that many hospitals have postponed capital equipment acquisition activities due to the COVID-19 pandemic. The Company achieved a gross margin of 71% on its sales for 2020, compared to a gross margin of 65% for 2019. This increase was due primarily to a shift in the mix of revenues by line of business that resulted in service revenues, which bear higher gross margins in comparison to other product lines, representing a greater contribution to total sales for 2020, relative to 2019. Research and development costs were $4.7 million for 2020, compared to $2.8 million in 2019, an increase of 67%, resulting primarily from cost increases in compensation, collaborative research, and intellectual property, including amortization of acquired license rights. Sales and marketing expenses were $5.4 million for 2020, compared to $4.8 million for the same period in 2019, an increase of 13%, resulting primarily from an increase in base compensation costs, attributable primarily to headcount increases in the Company's clinical and marketing teams, that were partially offset by decreases in travel costs and incentive-based compensation. General and administrative expenses were $5.3 million for 2020, compared to $4.3 million for 2019, an increase of 22%, resulting primarily from increases in compensation, consisting primarily of stock-based compensation and officer transition costs, occupancy costs and legal fees. Financial Results - Three Months Ended December 31, 2020 Total revenues were approximately $3.7 million and $3.2 million for the three months ended Dec. 31, 2020 and 2019, respectively. Functional neurosurgery navigation and therapy product and service revenues decreased 5% to $1.6 million for the fourth quarter of 2020 from $1.7 million for the same period in 2019, due primarily to the previously mentioned continuing effects of the COVID-19 pandemic. Biologics and drug delivery revenue increased 40% to $1.5 million for the fourth quarter of 2020, from $1.1 million for the same period in 2019, due primarily to an increase in biologics and drug delivery services of approximately 81% from the fourth quarter of 2019 to the same period of 2020. Capital equipment product and related service revenue increased 41% to $0.6 million for the fourth quarter of 2020, as compared with $0.4 million for the same period in 2019, due primarily to an increase in systems placement in the fourth quarter of 2020, relative to the same period in 2019. The Company realized a gross margin of 61% on its sales for the fourth quarter of 2020, compared to a gross margin of 69% for the same period in 2019, due primarily to a one-time, year-to-date reclassification of certain costs, previously classified during 2020 as operating expenses, as cost of revenues. Research and development costs were $1.8 million for the fourth quarter of 2020, compared to $0.8 million for the same period in 2019, an increase of 120%, resulting primarily from cost increases in compensation, collaborative research, and intellectual property, including amortization of acquired license rights. Sales and marketing expenses were $1.5 million for the fourth quarter of each of 2020 and 2019, due primarily to decreases in travel costs and incentive-based compensation being substantially offset by increases in compensation costs due to headcount increases in the Company's clinical and marketing teams. General and administrative expenses were $1.3 million for the fourth quarter of each of 2020 and 2019, resulting primarily from increases in compensation costs, occupancy costs and legal fees being offset by the one-time reclassification of costs. At Dec. 31, 2020, the Company had cash and cash equivalents totaling approximately $20.1 million, resulting primarily from the issuance of senior secured convertible notes in January and December 2020 in the aggregate amount of $25 million, which resulted in net proceeds to the Company totaling approximately $24.3 million. From the proceeds of the January 2020 note issuance, the Company repaid and retired notes issued in 2010 having an aggregate principal amount of approximately $2.8 million and accrued interest of approximately $0.9 million at the date of repayment. About ClearPoint Neuro ClearPoint Neuro formerly MRI Interventions, Inc. -- http://www.clearpointneuro.com-- is a medical device company that develops and commercializes innovative platforms for performing minimally invasive surgical procedures in the brain under direct, intra-procedural magnetic resonance imaging, or MRI, guidance. Applications of the Company's current product portfolio include deep-brain stimulation, laser ablation, biopsy, neuro-aspiration, and delivery of drugs, biologics, and gene therapy to the brain. ClearPoint recorded a net loss of $5.54 million for the year ended Dec. 31, 2019, compared to a net loss of $6.16 million for the year ended Dec. 31, 2018. As of Sept. 30, 2020, the Company had $21.85 million in total assets, $21.70 million in total liabilities, and $149,100 in total stockholders' equity. CMG CAPITAL: Seeks Approval to Hire Bankruptcy Attorney ------------------------------------------------------- CMG Capital, LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to employ Nathan Mancuso, Esq., an attorney at Mancuso Law, PA, to handle its Chapter 11 case. Mr. Mancuso will render these legal services: (a) advise the Debtor regarding its powers and duties in the continued management of its business operations; (b) advise the Debtor in complying with the U.S. trustee's operating guidelines and reporting requirements and with the rules of the bankruptcy court; (c) prepare legal papers; (d) protect the Debtor's interests; and (e) represent the Debtor in negotiation with its creditors in the preparation of a Chapter 11 plan. Mr. Mancuso disclosed in a court filing that he and the firm are "disinterested persons" within the meaning of Section 101(14) of the Bankruptcy Code. The attorney can be reached at: Nathan G. Mancuso, Esq. Mancuso Law, PA Boca Raton Corporate Centre 7777 Glades Rd., Suite 100 Boca Raton, FL 33434 Telephone: (561) 245-4705 Facsimile: (561) 226-2575 Email: ngm@mancuso-law.com About CMG Capital CMG Capital, LLC filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 21-12013) on Feb. 27, 2021. Steven Suh, member, signed the petition. In the petition, the Debtor disclosed $1 million to $10 million in both assets and liabilities. Judge Jay A. Cristol oversees the case. Nathan G. Mancuso, Esq., at Mancuso Law, PA, serves as the Debtor's counsel. COMMERCEHUB INC: Moody's Completes Review, Retains B3 CFR --------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of CommerceHub, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations CommerceHub, Inc.'s B3 corporate family rating is supported by its established market position as a third-party drop shipping provider to US retailers, a high recurring revenue stream supported by high order retention and subscription fees, and the company's deep retailer integration and high switching costs. The rating is constrained by the company's high financial leverage and customer concentration. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. COMMUNITY INTERVENTION: $32M Cash Sale of South Bays Assets OK'd ---------------------------------------------------------------- Judge Elizabeth D. Katz of the U.S. Bankruptcy Court for the District of Massachusetts authorized Community Intervention Services, Inc., and South Bay Mental Health Center, Inc., to sell substantially all of South Bay's assets that it utilized in operating its business to SB Transitional Sub, LLC or its eligible designee for $32 million, cash, plus assumption of the Assumed Contracts and the Assumed Obligations. The Sale Hearing was held on March 4, 2021. The Sale to the Purchaser pursuant to the APA is authorized under Section 363(b) of the Bankruptcy Code. The APA and all ancillary documents, and all of the terms and conditions thereof, are approved, and the Debtors are authorized to consummate the transactions contemplated thereby. Pursuant to Sections 105(a), 363(b), 363(f), 365(b) and 365(f) of the Bankruptcy Code, the Debtors are authorized to transfer the Assets at the Closing. The Assets (including the Assumed Contracts) will be transferred to the Purchaser upon and as of the Closing and such transfer will constitute a legal, valid, binding and effective transfer of such Assets and, upon the Debtors' receipt of the Purchase Price, will be free and clear of all Encumbrances, except for the Assumed Obligations and Permitted Liens under the APA. All Encumbrances will attach solely to the net proceeds of the Sale. Subject to and conditioned on the Closing, the Debtors are authorized pursuant to Section 365(a) of the Bankruptcy Code to assume and assign the Assumed Contracts to the Purchaser. The Cash Purchase Price will be paid on the Closing Date for distribution as follows: (i) first, the Purchaser will pay to EOHHS the amount of $1,562,670.61, pursuant to that certain Settlement Agreement and Release dated on Feb. 7, 2018, by and among South Bay, CIS, EOHHS, the Office of the Massachusetts Attorney General, and Relator Christine Martino-Fleming, which resolved certain claims against South Bay and CIS that had been asserted in an action pending in the U.S. District Court for the District of Massachusetts under Case No. 1:15-cv-13065-PBS; (ii) second, the Purchaser will pay the Payment Amount to those certain individuals or entities identified on the Payment Schedule prepared in accordance with Section 2.5 of the APA due to or on account of, respectively, (A) the Cure Costs, and (B) the Transferred Employee Expenses; (iii) third, the Purchaser will pay the D&P Fee Escrow (or, if and to the extent approved this Court prior to the Closing Date, the D&P Fee), and (iv) fourth, the remaining proceeds from the Sale will be remitted at the Closing to Agent in partial satisfaction of the Prepetition Secured Parties' secured claims, which are described more fully in the Final Cash Collateral Order and Agent's Proof of Claim; provided that, as a carve-out from the proceeds of the Sale otherwise payable to the Prepetition Secured Parties, the following amounts will be paid by the Agent from the Secured Parties Payment: (A) the Qualifying MIP Expenses with respect to the Sale; (B) $195,000.00 to the Relator pursuant to that certain Settlement and Cooperation Agreement between the Agent and the Relator dated as of March 1, 2021, (C) payments described in the Letter Agreement between the Debtors and the Agent dated March 3, 2021, filed with the Notice of Letter Agreement Between Debtors and Capital One, National Association Memorializing Prepetition Arrangements for Non-Insider Employee Incentive Plan and Confirming Funding of Plan Payments Through Sale Proceeds Carve-Out, and (D) a payment to the Commonwealth of Massachusetts Executive Office of Health and Human Services the amount of $6,562,500, pursuant to that certain Settlement Agreement dated Feb. 25, 2021 and approved by the Court pursuant to its order dated March 4, 2021. The Debtors and the Purchaser may request, and upon reasonable request the Court will enter an order confirming the authorized sale of any specified Assets to the Purchaser pursuant to the APA and the Order, or otherwise clarifying or confirming with particularity any matter addressed by the Order, including without limitation as may be reasonably necessary or desired for purposes of establishing or recording evidence of title to specific Assets. The Order is a final order and is enforceable upon entry and to the extent necessary under Bankruptcy Rules 5003, 9014, 9021, and 9022 of the Federal Rules of Bankruptcy Procedure. The Court expressly finds that there is no just reason for delay in the implementation of this Order and expressly directs entry of judgment as set forth herein and the stays imposed by Bankruptcy Rules 6004(h), 6006(d), and 7062 are modified and will not apply to the Order or to the transactions contemplated by the APA. A copy of the APA is available at https://tinyurl.com/yvyfz6pu from PacerMonitor.com free of charge. About Community Intervention Services, Inc. Community Intervention Services, Inc. sought Chapter 11 protection (Bankr. D. Mass. Case No. 21-40002EDK). The case is being jointly administered with the bankruptcy cases of its affilliates Community Intervention Services Holdings, Inc., Futures Behavior Therapy Center, LLC, and South Bay Mental Health Center, Inc. CONSOLIDATED COMMUNICATIONS: Moody's Rates New $400MM Notes 'B2' ---------------------------------------------------------------- Moody's Investors Service has assigned a B2 rating to Consolidated Communications, Inc.'s (Consolidated) proposed $400 million of first lien senior secured notes due 2028 (New Secured Notes). Net proceeds are expected to repay a portion of the company's existing B2 rated $1.4 billion first lien senior secured term loan B. All other ratings including the company's B2 corporate family rating and stable outlook are unchanged. Assignments: Issuer: Consolidated Communications, Inc. Senior Secured Regular Bond/Debenture, Assigned B2 (LGD3) RATINGS RATIONALE Consolidated's B2 CFR reflects continued but slowing revenue decline trends exacerbated by continued traditional voice access line losses within its high margin legacy telecom segment, network access revenue erosion, persistent competition from cable and wireless operators and high pro forma leverage (Moody's adjusted) of 5.3x at year-end 2020. These negative factors are offset by Consolidated's improved financial flexibility to accelerate investment in its ILEC networks, including upgrading its core northern New England residential network, to now encompass approximately 1.6 million fiber home passings over the next seven years to enhance competitive positioning, grow market share and bolster future revenue and EBITDA growth. Stabilizing declining revenue with network investments and growth from data and transport and broadband services is critical to offsetting declining legacy revenue. While Consolidated's common stock dividend elimination in 2019 improved free cash flow and enabled greater focus on deleveraging through debt repayment, Moody's expects greater prioritization of capital investments with discretionary cash flow going forward. Given Moody's treatment of preferred stock issued by Consolidated as equity and our expectation of the conversion of a $350 million subordinated note held by Searchlight Capital into preferred equity during 2021, pro forma leverage (Moody's adjusted) at year-end 2021 will decline towards 4.7x. Consolidated's deleveraging trajectory could also benefit from a further slowing of revenue decline trends and continued cost cutting efforts. The potential for non-core divestitures, but excluding sales of interests in any wireless partnerships which contribute a meaningful portion of consolidated free cash flow currently, would likely amplify planned capital investment efforts or secondarily pay down debt. The company also benefits from diversified operations across carrier, commercial and consumer end markets, as well as an advanced 47,000-plus fiber-route mile backbone network that has more stable revenue prospects than copper-based local exchange carriers. Moody's views Consolidated's liquidity as good, as reflected by its SGL-2 speculative grade liquidity rating. As of December 31, 2020 the company had $156 million in cash and cash equivalents and full availability under its $250 million revolving credit facility. Estimated free cash flow for 2021 of around $25 million incorporates capital spending of $340 million associated with the company's comprehensive network upgrade plan tied to Searchlight Capital's recent subordinated note investment in the company. Consolidated expects to avoid cash payments and fully PIK under this subordinated note (or as a preferred stock upon its anticipated conversion) through year-end 2022 as the company accelerates the primary buildout in its northern New England markets. Moody's updated projections assume PIK payments through 2022 as well. The company can elect to PIK or pay cash for the first five years of its partnership with Searchlight Capital. Consolidated also faces no debt maturities until October 2025 when its revolver matures, which further supports liquidity. Under the company's network upgrade plans capital investment as a percentage of revenue will increase to the 25% area for several years, with success-based investing comprising a growing portion of that capital spending over time. Moody's rates the company's first lien senior secured credit facility, consisting of a $250 million revolver and remaining $1.0 billion first lien term loan B (post the partial $400 million paydown with proceeds from the New Secured Notes), $750 million first lien senior secured notes due 2028 and new $400 million first lien senior secured notes due 2028 B2, in line with the company's B2 CFR. Moody's has not provided any ratings lift relative to the CFR for the loss absorption provide by Searchlight Capital's subordinated note (unrated) given the high likelihood of its conversion to preferred in 2021. The first lien senior secured credit facility and first lien senior secured notes are pari passu. These first lien lenders benefit from a pledge of stock and security in assets of all subsidiaries, with the exception of Consolidated Communications of Illinois and its majority-owned subsidiary, East Texas Fiber Line Incorporated. The stable outlook reflects Moody's expectation for slowing revenue contraction over the next 12-18 months, steady EBITDA margins in the high 30% range and closer to breakeven free cash flow generation as a result of accelerating capital investments. The outlook also assumes conversion of the company's subordinated note into preferred stock during 2021 which will drive leverage (Moody's adjusted) to around 4.7x by year-end 2021. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Given Consolidated's current competitive positioning and network upgrade execution risks, upward pressure is limited but could develop if leverage was sustained below 4x (Moody's adjusted) and free cash flow was at least 10% of total debt (Moody's adjusted) on a sustained basis. An upgrade would also require the company to maintain a good liquidity profile. Downward pressure on the rating could arise should Moody's adjusted debt/EBITDA increase above 5x on a sustained basis or should the company's liquidity deteriorate or should execution of its growth strategy materially slow below budgeted expectations. The principal methodology used in these ratings was Telecommunications Service Providers published in January 2017. Consolidated Communications, Inc. is a broadband and business communications provider offering a wide range of communications solutions to consumer, commercial and carrier customers across a 23-state service area and an advanced fiber network spanning more than 45,000 fiber route miles. The company maintains headquarters in Mattoon, IL. During the last 12 months ended December 30, 2020, the company generated $1.3 billion in revenue. COOPER TIRE: Egan-Jones Lowers Senior Unsecured Ratings to BB ------------------------------------------------------------- Egan-Jones Ratings Company, on February 23, 2021 downgraded the foreign currency and local currency senior unsecured ratings on debt issued by Cooper Tire & Rubber Company to BB from BB+. Headquartered in Findlay, Ohio, Cooper Tire & Rubber Company manufactures and markets replacement tires. COWEN INC: Moody's Assigns Ba3 Corp. Family Rating -------------------------------------------------- Moody's Investors Service has assigned a Ba3 Corporate Family Rating to Cowen Inc. and a B1 Senior Secured Term Loan rating. The rating assignment follows Cowen's announcement of its proposed $300 million senior secured term loan. Moody's said Cowen's outlook is stable. The following ratings were assigned: Issuer: Cowen Inc. Corporate Family Rating, Assigned Ba3 $300 million senior secured term loan, Assigned B1 $25 million senior secured revolving credit facility, Assigned B1 Outlook actions: Issuer: Cowen Inc. Outlook, Assigned Stable RATINGS RATIONALE Moody's said Cowen's financial profile is supported by a strong yet niche capital markets franchise in underwriting, brokerage, advisory and investment management in the key sectors it serves. In particular, said Moody's, Cowen's healthcare sector activities provide it with a core differentiating strength, especially in the current pandemic environment and considering the ongoing increased emphasis on innovation in the sector, that can drive capital markets activity. In early 2020, a slowdown in global M&A activity resulted in lower advisory revenue, while declining financial markets pressured Cowen's investment income. This was partially offset by a rise in the firm's institutional brokerage revenue which benefitted from increase client trading activity. After the weaker performance in the first quarter of 2020, Cowen had a very strong remainder of the year, benefiting from a rebound in global M&A activity, which set the stage for a strong start to 2021. In 2020, Cowen also benefited from strong underwriting revenue following the improvement in market liquidity and overall client demand. Cowen's institutional brokerage and principal trading businesses are supported by prudent risk management policies and the oversight of an experienced management team. However, the firm is operating in highly competitive businesses, which introduces credit challenges, particularly for smaller firms such as Cowen, said Moody's. In facing these competitive challenges, Cowen and its peers retain employee talent through attractive compensation, while investing in technology and systems to bolster their brokerage and other capital markets platforms. Competition within the brokerage business has mostly been driven by the rise of electronically-driven market makers, whose ability to execute trades electronically and through alternative trading systems pressures trading commissions and spreads for all market makers. The firm may opportunistically, but rarely, participate in its clients' offerings. Although exposure to these investments has a low cost basis, unrealized gains and losses from these merchant banking exposures can result in significant fluctuations in periodic revenue. In addition, Cowen retains certain large concentrated investment positions, reported within its Asset Company business segment, which could result in large outsized mark-to-market losses, particularly in a stressed environment. Moody's said such losses could erode capital at a time when it is needed most. Cowen's stable outlook reflects its improved capital and liquidity position, and incorporates Moody's expectation of potential revenue variability (stemming from fair value marks on Cowen's investments) and the possibility of reduced revenue once the pandemic subsides. The proposed senior secured loan issued by Cowen Inc. (the group holding company) has been assigned a B1 rating. This is one notch below Cowen's Ba3 corporate family rating, because obligations at the holding company are structurally subordinated to Cowen's operating companies, where the preponderance of the group's debt and debt-like obligations reside. Cowen plans on using the net proceeds from its proposed $300 million senior secured term loan to repay some of its existing debt and retain as cash on-hand the excess net proceeds for general corporate purposes. Governance is highly relevant for Cowen, as it is to all firms that participate in the financial services industry. Corporate governance weaknesses can lead to a deterioration in a company's credit quality, while governance strengths can benefit its credit profile. Governance risks are largely internal rather than externally driven, and for Cowen Moody's do not have any particular governance concerns. Nonetheless, corporate governance remains a key credit consideration and requires ongoing monitoring. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Cowen's ratings could be upgraded should its revenue growth become accentuated towards more stable and less capital intensive streams; grow profitability in its core revenue lines (excluding incentive fees and investment income), resulting in lower pretax earnings volatility; increase its scale via developing a more diversified investment banking platform; and further improve its funding profile through growth and equity retention. Cowen's ratings could be downgraded should it suffer a significant reduction in revenue, either due to idiosyncratic events or a deterioration in the economic environment, not offset by a reduction in expenses (particularly employee compensation); if it experiences a risk control failure or a deterioration in liquidity; or if it demonstrates a material increase in risk appetite, such as a more aggressive stance in merchant banking. The principal methodology used in these ratings was Securities Industry Market Makers Methodology published in November 2019. CRED INC: Bankruptcy Caused by Execs Dereliction, Says Examiner --------------------------------------------------------------- Daniel Gill of Bloomberg Law reports that the examiner appointed in Cred Inc's Chapter 11 case said that grave dereliction by form executives caused the Company's bankruptcy. "Grave dereliction" by Cred Inc.'s former management contributed to the cryptocurrency company's bankruptcy, according to an independent examiner's report addressing fraud allegations. The San Mateo, Calif.-based company didn't maintain regular records or track customer's assets, which it commingled with other deposits, according to the report filed Monday, March 9, 2021, with the U.S. Bankruptcy Court for the District of Delaware. It also didn't have regular practices to ward off risks inherent in cryptocurrency investment, the report said. Cred's "failures in the most basic of business functions portended its eventual demise," examiner Robert Robert J. Stark said. About Cred Inc. Cred Inc. is a cryptocurrency platform that accepts loans of cryptocurrency from non-U.S. persons and pays interest on those loans. Cred -- https://mycred.io/ -- is a global financial services platform serving customers in over 100 countries. Cred is a licensed lender and allows some borrowers to earn a yield on cryptocurrency pledged as collateral. Cred Inc. and its affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 20-12836) on Nov. 7, 2020. Cred was estimated to have assets of $50 million to $100 million and liabilities of $100 million to $500 million as of the bankruptcy filing. The Debtors tapped Paul Hastings LLP as their bankruptcy counsel, Cousins Law LLC as local counsel, and MACCO Restructuring Group, LLC as financial advisor. Donlin, Recano & Company, Inc., is the claims agent. The U.S. Trustee for Region 3 appointed an official committee of unsecured creditors in the Debtors' Chapter 11 cases on Dec. 3, 2020. The Committee tapped McDermott Will & Emery LLLP as counsel and Dundon Advisers LLC as financial advisor. CRITTENDEN EMS: March 29 Plan Confirmation Hearing Set ------------------------------------------------------ Crittenden E.M.S., LLC, filed with the U.S. Bankruptcy Court for the Eastern District of Arkansas the First Modification Chapter 11 Plan for Small Business and Subchapter V. On March 4, 2021, Judge Phyllis M. Jones ordered that: * The Court is satisfied that the information disclosed in the Debtor's Subchapter V Small Business Plan satisfies the requirements of §1190, and no separate Disclosure Statement is required. * The motion to shorten time is granted. * March 29, 2021, at 10:00 a.m., is fixed for the date and time of the telephonic hearing on confirmation of the Debtor's Subchapter V Plan. * March 25, 2021, is fixed as the last day for filing and serving written objections to the confirmation of the Debtor's Subchapter V Plan. * March 26, 2021, is fixed as the last day for filing written acceptances or rejections of the Debtor's Subchapter V Plan. A full-text copy of the order dated March 4, 2021, is available at https://bit.ly/30rE3j0 from PacerMonitor.com at no charge. The Debtor is represented by: Jeannette A. Robertson, Esq. Robertson Law Firm 408 W. Jefferson, Suite A Jonesboro, AR 72401 Telephone: (870) 932-6606 About Crittenden E.M.S. Crittenden E.M.S., LLC, which operates in the health care business, sought Chapter 11 protection (Bankr. E.D. Ark. Case No. 20-11155) on March 2, 2020. At the time of the filing, Debtor disclosed assets of between $1 million and $10 million and liabilities of the same range. Judge Phyllis M. Jones oversees the case. The Debtor is represented by Robertson Law Firm. CSM BAKERY: Moody's Completes Review, Retains Caa2 Rating --------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of CSM Bakery Solutions LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on March 1, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations CSM Bakery Solutions LLC and parent guarantor CSM Bakery Solutions Limited (together, "CSM") Caa2 rating reflects its (1) high financial leverage, (2) low profit margin, (3) improved but only adequate liquidity, and 4) poor future earnings visibility due mainly to the coronavirus pandemic. However, these negative factors are counterbalanced against supportive fundamentals of CSM's business, including its leading positions in the North American and European premium bakery supply categories including icings, glazes, cakes, cookies, and pastry ingredients. Financial policies under private equity ownership are aggressive. CSM is controlled and supported by sponsor firm Rhône Capital. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. CVENT INC: Moody's Completes Review, Retains Caa1 CFR ----------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Cvent, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Cvent, Inc.'s Caa1 corporate family rating reflects Moody's current expectation that the company may experience meaningful earnings deterioration as a result of the coronavirus pandemic. However, the events technology market leader is well-positioned to benefit from the exponential increase in virtual events, the improving in-person events outlook due to coronavirus vaccines, and the promise of hybrid events. In response to the pandemic, Cvent added new capabilities to its event marketing and management platform to power virtual and hybrid events as an alternative solution to in-person events. The introduction of the new virtual capabilities helped bolster Cvent's financials during the pandemic. While the company has contractual subscription arrangements with event planners, marketers and hospitality partners, and a meaningful portion of cash has been collected from its clients, Moody's anticipates that a prolonged coronavirus outbreak could result in longer term financial stress on the company. Prolonged containment measures will cause further delays and cancellations on contract renewals and bookings of new events. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. CYPRUS MINES: FCR Seeks to Tap Gilbert LLP as Insurance Counsel --------------------------------------------------------------- James Patton, Jr., the future claimants' representative in Cyprus Mines Corporation's Chapter 11 case, filed an application with the U.S. Bankruptcy Court for the District of Delaware to employ Gilbert LLP as special insurance counsel. Gilbert will render these legal services: (a) analyze all insurance policies under which the Debtor may have rights and provide strategic advice to the FCR on steps to be taken to preserve and maximize insurance coverage; (b) attend meetings and negotiate with representatives of the Debtor, its non-bankrupt affiliates, insurance carriers, any appointed official committee, and other parties-in-interest in its Chapter 11 case; (c) assist the FCR with any insurance-related matters; and (d) perform such other insurance-related tasks as may be necessary during the course of the Debtor's case. The hourly rates of Gilbert's counsel and staff are as follows: Partners/Senior Counsel $700 - $1,700 Of Counsel/Associates $300 - $675 Paraprofessionals $190 - $330 Gilbert's primary attorneys who will be working on behalf of the FCR are as follows: Kami Quinn $1,100 per hour Heather Frazier $675 per hour Stuart Schmadeke $625 per hour In addition, the firm will be reimbursed for out-of-pocket expenses incurred. Kami Quinn, Esq., a partner at Gilbert, disclosed in a court filing that the firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. Ms. Quinn also provided the following pursuant to Paragraph D, Section 1 of the Revised U.S. Trustee Guidelines: Question: Did you agree to any variations from, or alternatives to, your standard or customary billing arrangements for this engagement? Response: No. Question: Do any of the professionals included in this engagement vary their rate based on the geographic location of the bankruptcy case? Response: No. Question: If you represented the client in the 12 months prepetition, disclose your billing rates and material financial terms for the prepetition engagement, including any adjustments during the 12 months prepetition. If your billing rates and material financial terms have changed post-petition, explain the difference and the reasons for the difference. Response: Gilbert represented the FCR and a group of law firms representing individuals who have asserted claims against the Debtor prior to its Chapter 11 filing. The hourly rates charged for Kami Quinn's and Heather Frazier's pre-bankruptcy services were the same as what is stated in the application. Question: Has your client approved your prospective budget and staffing plan, and, if so, for what budget period? Response: Gilbert has not been asked to provide a budget. The firm can be reached through: Kami E. Quinn, Esq. Gilbert LLP 700 Pennsylvania Avenue, SE Suite 400 Washington, DC 20003 Telephone: (202) 772-2336 Email: quinnk@gilbertlegal.com About Cyprus Mines Corp. Cyprus Mines Corporation is a Delaware corporation and a wholly-owned subsidiary of Cyprus Amax Minerals Co., which is an indirect subsidiary of Freeport-McMoRan Inc. It currently has relatively limited business operations, which include the ownership of various parcels of real property, certain royalty interests that generate de minimis revenue (e.g., less than $1,500 in each of the past two calendar years), and the ownership of an operating subsidiary that conducts marketing activities. Cyprus Mines is a predecessor in interest of Imerys Talc America, Inc. In June 1992, Cyprus Mines sold its talc-related assets to RTZ America Inc. (later known as Rio Tinto America, Inc.) through a two-step process. First, Cyprus Mines transferred its talc-related assets and liabilities (subject to minor exceptions) to Cyprus Talc Corporation, a newly formed subsidiary of Cyprus Mines, pursuant to an Agreement of Transfer and Assumption, dated June 5, 1992. Second, Cyprus Mines sold the stock of Cyprus Talc Corporation to RTZ pursuant to a Stock Purchase Agreement, also dated June 5, 1992 (as amended, the "1992 SPA"). The purchase price was approximately $79.5 million. Cyprus Talc Corporation was later renamed Imerys Talc America, Inc. By virtue of the 1992 ATA, the entity now named Imerys expressly and broadly assumed the talc liabilities of Cyprus Mines and its former subsidiaries that were in the talc business. Cyprus Mines filed for Chapter 11 bankruptcy protection (Bankr. D. Del. Case No. 21-10398) on Feb. 11, 2021, listing assets of between $10 million and $50 million, and liabilities of between $1 million and $10 million. The Hon. Laurie Selber Silverstein is the case judge. The Debtor tapped Reed Smith LLP, led by Kurt F. Gwynne, Esq., as bankruptcy counsel; Kasowitz Benson Torres, LLP as special conflicts counsel; and Prime Clerk LLC as claims agent. James L. Patton, Jr. was appointed as the future claimants' representative in the Debtor's Chapter 11 case. The FCR tapped Young Conaway Stargatt & Taylor, LLP as his bankruptcy counsel and Gilbert, LLP as his special insurance counsel. The U.S. Trustee for Regions 3 and 9 appointed an official committee of tort claimants on March 4, 2021. DEA BROTHERS: Case Summary & 3 Unsecured Creditor ------------------------------------------------- Debtor: DEA Brothers Sisters LLC 23276 S. Pointe Dr Laguna Hills, CA 92653 Business Description: DEA Brothers Sisters LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). Chapter 11 Petition Date: March 10, 2021 Court: United States Bankruptcy Court District of California Case No.: 21-10608 Debtor's Counsel: Roger J. Plasse, Esq. OSBORN & PLASSE 16152 Beach Blvd., Ste 250 Huntington Beach, CA 92647-3864 Tel: 714-375-5898 E-mail: rjplasse@beachcitylaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Enayat Ali Jiwani, the managing member. A copy of the Debtor's list of three unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/2GXEWYI/DEA_Brothers_Sisters_LLC__cacbke-21-10608__0003.0.pdf?mcid=tGE4TAMA A copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/MBZA4CY/DEA_Brothers_Sisters_LLC__cacbke-21-10608__0001.0.pdf?mcid=tGE4TAMA DESTINATION MATERNITY: Plan Exclusivity Period Extended Thru May 17 ------------------------------------------------------------------- At the behest of the Destination Maternity Corporation and its affiliates, Judge Brendan L. Shannon of the U.S. Bankruptcy Court for the District of Delaware extended the period in which the Debtors may file a Chapter 11 plan through and including May 17, 2021, and to solicit acceptances through and including July 19, 2021. The additional time will now give the Debtors a full and fair opportunity to devote their efforts to the winding down of the Debtors' business pursuant to a plan process or otherwise without the distraction, cost, and delay of a competing plan process. A copy of the Court's Extension Order is available at https://bit.ly/3kZAWbJ from primeclerk.com. About Destination Maternity Destination Maternity is a designer and omnichannel retailer of maternity apparel in the United States, with the only nationwide chain of maternity apparel specialty stores, as well as a deep and expansive assortment available through multiple online distribution points, including our three brand-specific websites. As of August 3, 2019, Destination Maternity operated 937 retail locations, including 446 stores in the United States, Canada, and Puerto Rico, and 491 leased departments located within department stores and baby specialty stores throughout the United States and Canada. It also sells merchandise on the Internet, primarily through Motherhood.com, APeaInThePod.com, and DestinationMaternity.com websites. Destination Maternity sells merchandise through its Canadian website, MotherhoodCanada.ca, through Amazon.com in the United States, and through websites of certain of our retail partners, including Macys.com. Destination Maternity's 446 stores operate under three retail nameplates: Motherhood Maternity(R), A Pea in the Pod(R), and Destination Maternity(R). It also operates 491 leased departments within leading retailers such as Macy's(R), buybuy BABY(R), and Boscov's(R). Generally, the company is the exclusive maternity apparel provider in its leased department locations. Destination Maternity and its two subsidiaries sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 19-12256) on October 21, 2019. As of Oct. 5, 2019, Destination Maternity disclosed assets of $260,198,448 and liabilities of $244,035,457. The Honorable Brendan Linehan Shannon is the case judge. The Debtors tapped Kirkland & Ellis LLP as legal counsel; Greenhill & Co., LLC as investment banker; Landis Rath & Cobb LLP as local bankruptcy counsel; Hilco Streambank LLC as intellectual property advisor; Prime Clerk LLC as claims agent; and Berkeley Research Group, LLC as restructuring advisor. BRG's Robert J. Duffy has been appointed as a chief restructuring officer. Andrew Vara, acting U.S. trustee for Region 3, on November 1, 2019, appointed five creditors to serve on the official committee of unsecured creditors in the Chapter 11 cases of Destination Maternity Corporation and its affiliates. The Committee hired Cooley LLP as lead counsel; Cole Schotz P.C., as Delaware and conflict counsel; and Province, Inc., as a financial advisor. In 2019, the Court approved the asset purchase agreement among the Debtors, the Marquee Brands, LLC as Purchaser, and a contractual joint venture between Hilco Merchant Resources, LLC and Gordon Brothers Retail Partners, LLC as Agent. On December 20, 2019, the Debtors closed the transaction approved in the APA. DIAMOND SPORTS: Parent Sinclair Begins Talks to Ease Debt Load -------------------------------------------------------------- Katherine Doherty of Bloomberg News reports that Diamond Sports Group has started talks with advisers for creditors about a potential bond exchange to ease its debt load, according to people with knowledge of the situation. Financial and legal advisers for certain creditor groups have signed non-disclosure agreements to begin formal discussions, the people said, asking not to be identified discussing a private matter. Potential options to rework the capital structure include an exchange of Diamond's unsecured bonds due 2027 for new secured debt, the people said. Parent company Sinclair Broadcast Group Inc. is also evaluating whether to move certain assets to an unrestricted subsidiary. About Diamond Sports Headquartered in Hunt Valley, Maryland, Diamond Sports Group, LLC, was formed on March 11, 2019 and is the entity through which Sinclair Broadcast Group, Inc executed the acquisition of the RSNs. Diamond owns and operates 22 RSNs that broadcast NBA, NHL and MLB games on pay-TV platforms. About Sinclair Broadcast Group Sinclair Broadcast Group (NASDAQ: SBGI) is a diversified media company and leading provider of local sports and news. The Company owns and/or operates 23 regional sports network brands; owns, operates and/or provides services to 191 television stations in 89 markets; is a leading local news provider in the country; owns multiple national networks; and has TV stations affiliated with all the major broadcast networks. Sinclair's content is delivered via multiple platforms, including over-the-air, multi-channel video program distributors, and digital platforms. On the Web: http://www.sbgi.net/ DIMAS ACEVEDO, JR: Selling Imperial Beach Property for $808K ------------------------------------------------------------ Dimas Acevedo, Jr., asks the U.S. Bankruptcy Court for the Southern District of California to authorize the sale of the real property located at 1361-63 Imperial Beach Blvd., in Imperial Beach, California, to Alva Lizarraga for $808,000, subject to overbid. A hearing on the Motion is set for April 1, 2021, at 2:30 p.m. The Property is a multi-family rental property and the Debtor's residence located in San Diego County, California. The known liens on the Property and the estimated amounts due are as follows: The Loan Company of San Diego ("TLC"), First Deed of Trust, $1,548,309.28; Alastra Investments, LLC, Second Deed of Trust, $99,000.001; County of San Diego Treasurer/Tax Collector, property tax lien, $104,746.702. The Debtor proposes to use the proceeds of the sale to pay off San Diego County's property tax lien in full, and pay down TLC's allowed secured claim in connection with its first trust deed lien on the Property to the extent Sale proceeds allow, net of the costs of sale. The Debtor's secured creditors will otherwise be paid according to the terms of its Plan. The Debtor believes that first trust deed lien holder TLC should receive the net proceeds of the sale in the approximate amount of $700,000 upon the close of escrow. The Debtor has received a post-petition offer to purchase the subject Property from a third-party individual, the Buyer. The Buyer is a third-party, arms'-length purchasers who proposes to purchase the Property free of all liens and claims. Exhibit B is the Buyer's pre-approval letter from the Pacific Lending Co. The essential terms of the proposed sale are: a. The purchase price is $808,000; b. The effective date will be the date on which the Purchase and Sale Agreement is executed by all parties as approved by the Court in the titled case; c. The Debtor has agreed to pay normal and customary escrow closing costs and the documentary transfer tax. There are no broker fees as the proposed sale of the Property is a private sale. The proposed sale is in the best interest of the Debtor's creditors and his bankruptcy estate because no brokers fees will be incurred (saving approximately $48,000) and the Debtor's secured creditors will be paid their allowed secured claims, to the extent Sale Proceeds allow, in an accelerated manner. While the Debtor is prepared to consummate the Sale of the Property to Buyer pursuant to the above terms, he is obliged to seek the maximum price for the Property. Accordingly, he asks that the Court authorizes him to implement an overbid procedure regarding the sale of the Property per the following terms: a. Present at Hearing: The Buyer and each Qualified Bidder, defined below, must be present (telephonically) at the hearing on the Motion or represented by an individual or individuals with the authority to participate in the overbid process; b. Notice of Overbid: Any party wishing to participate in the overbid process must notify the Debtor in writing directed to Debtor’s attorney of record, Edward J. Fetzer, Esq. via email addressed to edwardfetzer@gmail.com, of his/her/its intention to do so no later than close-of business two calendar days before the hearing on the Motion; c. Earnest Money: To be a qualified overbidder, each party participating in the overbid process must provide proof of their ability to deposit 10% of their highest bid, payable by certified check or cashier's check, at the close of the hearing on the Motion; d. Initial Overbid: The initial overbid for the Property will be $833,000 with subsequent overbids being made in minimum increments of $5,000. In the event that the Buyer is not the successful bidder for the Property, the successful bidder will then become the buyer under the same terms and conditions as set forth, except in Purchase Price. Under these circumstances, any proposed purchase agreement with the Buyer would no longer be effective and the Buyer would be entitled to full refund of any deposit. The known liens on the Property and the estimated amounts due are as follows: TLC, First Deed of Trust, $1,548,309.28; Alastra, Second Deed of Trust, $99,000; and County of San Diego Treasurer/Tax Collector, property tax lien, $104,746.70. It is important to note that the amounts secured by TLC's and Alastra's aforementioned deeds of trust are also secured by deeds of trust on the Debtor's other property located at 1351-55 Imperial Beach Blvd, Imperial Beach, CA 91932. See Debtor’s Balance of Schedules, filed on or about 08/28/2020, at Schedule D. It is a condition of escrow that all liens be released in order to close. Thus, the Debtor has assumed the obligation of negotiating with the Alastra to obtain release of its junior lien. In the alternative, the Debtor is concurrently asking a Court order stripping Alastra's junior lien from the Property. In addition, the Debtor will seek a stipulation with TLC for its consent to receive less than full payment on its First Trust Deed to effect the proposed Sale. The remaining balance on TLC's mortgage will be secured (with equity to spare) by the Debtor's other real property located at 1351-55 Imperial Beach Blvd, Imperial Beach, CA 91932. In the event a sale stipulation is not reached between the Debtor and TLC, the Debtor alternatively requests Court approval of the Sale, nonetheless, as argued. If the Court approves the Sale, the Debtor seeks authorization for distribution of the Sale proceeds at the close of escrow as follows: (a) Normal closing costs, including but not limited to the Trustee's share of escrow charges, the cost of a standard coverage title insurance policy, recording fees, documentary transfer taxes, pro-rated real property taxes, and other normal and customary charges, pro-rations, costs, and fees; (b) Payment of all outstanding property taxes from Sale proceeds; (c) Payment to satisfy amounts due and owing on the First Trust Deed to the extent Sale proceeds allow, subject to the Debtor's review and approval of final payoff demands. The Debtor believes that first trust deed lien holder TLC should receive the net proceeds of the sale in the approximate amount of $700,000 upon closing. (d) The remaining balance on TLC's mortgage (approximately $848,309.48) would be secured by the Debtor's other real property located at 1351-55 Imperial Beach Blvd, Imperial Beach, CA 91932 (valued at $1,035,0003). Similarly, Alastra's junior lien will be released or avoided per the Debtor's Motion to Value and Avoid Junior Lien with the balance of Alastra's loan secured by the Debtor's other real property, as well. The Debtor proposes to sell the subject Property free and clear of all interests in the Property, including the First and Second Trust Deeds, and property tax lien. He asks to liquidate the subject Property and to use the net proceeds to pay allowed secured claims and closing costs and, thereafter, continue to make payments on his secured creditor's allowed claims according to the terms of his Chapter 11 Plan of Reorganization. A copy of the Agreement is available at https://tinyurl.com/yvrzffb2 from PacerMonitor.com free of charge. Dimas Acevedo, Jr. sought Chapter 11 protection (Bankr. S.D. Cal. Case No. 20-04097) on Aug. 14, 2020. The Debtor tapped Edward Fetzer, Esq., as counsel. DISCOVERY DAY: Seeks April 30 Extension to Solicit Plan Votes ------------------------------------------------------------- Discovery Day Academy II, Inc. asks the U.S. Bankruptcy Court for the Middle District of Florida, Fort Myers Division, to extend its exclusive period to solicit acceptances to its Chapter 11 Plan through April 30, 2021. "Debtor seeks this extension to further advance an alternative plan premised on the sale of the Debtor's principal asset, the real property located at 23601 North Commons Drive, Bonita Springs, Florida 34134. . . The Debtor has already reached agreement with Bank OZK, regarding treatment under an amended plan of reorganization, and believes that an offer for the Property is imminent. This request is consistent with the resolution reached with Bank OZK and to allow an exit from this Bankruptcy case. The Debtor believes that the impending offer(s) may be sufficient to move forward with a fully consensual plan, but requires additional time to allow for the anticipated offer(s) to be made. Extending the Debtor's exclusivity period to April 30, 2021 would align the expiration of the Debtor's exclusive period with the time by which the Debtor has agreed to file a motion to sell the Property and will not prejudice any party in interest," the Debtor tells the Court. "Recently, the Debtor and Bank OZK were able to come to an agreement regarding the timing and structure for a sale of the Debtor's Property, as well as proposed treatment under a plan of reorganization. And on February 8, 2021 the Debtor filed its Amended Motion to Approve Compromise of Controversy. . . seeking approval of its agreement with Bank OZK. The U.S. Small Business Administration filed an Objection to the Motion to Compromise. . . on March 1, 2021 and a hearing to consider the Motion to Compromise has been set for March 24, 2021, though Debtor anticipates continuing that hearing to confirmation," the Debtor says. The Debtor believes that, through the efforts of its broker, an offer or offers for the Property is imminent. The Debtor contends it may be possible to reach agreement with the SBA as to the terms of the Debtor's forthcoming amended plan of reorganization. The Debtor further contends it requires an extension of the exclusive period to evaluate the offer(s) it believes to be forthcoming and pursue additional negotiations with the SBA in an attempt to obtain consensus on its amended plan. About Discovery Day Academy II Discovery Day Academy II Inc. is an independent private school located in Bonita Springs. Founded in 2006, Discovery Day Academy has developed The Discovery Method, a project-based learning model, with an emphasis on children ages two to eight years. Discovery Day Academy II filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 20-04183) on May 29, 2020. Discovery Day President Elizabeth A. Garcia signed the petition. At the time of the filing, the Debtor disclosed $5,500,000 and $6,050,389 in liabilities. Judge Caryl E. Delano oversees the case. The Debtor is represented by Michael R. Dal Lago, Esq., at Dal Lago Law. DISPATCH ACQUISITION: Moody's Assigns First Time B3 CFR ------------------------------------------------------- Moody's Investors Service assigned first-time ratings to Dispatch Acquisition Holdings, LLC (d/b/a Denali Water Solutions, "Denali"), including a B3 Corporate Family Rating, a B3-PD Probability of Default Rating and B3 rating on the company's proposed senior secured (first lien) bank credit facility, consisting of a revolving credit facility and term loan. The outlook is stable. The rating action follows Denali's plan to issue a $395 million 7-year term loan, which (along with sponsor equity) will be used to refinance $244 million of existing Denali debt and fund the acquisition of Organix Recyling, LLC ("Organix"), a provider of food waste collection and recycling services. In connection with the transaction, Denali will also issue a $60 million 5-year revolving credit facility, which will be undrawn upon transaction close. This is expected to occur in March 2021. RATINGS RATIONALE The ratings reflect Denali's modest scale in a fragmented industry, its primary niche market focus on organic waste disposal and recycling, elevated financial leverage with debt-to-EBITDA well above 6x pro forma (all ratios including Moody's standard adjustments), and Moody's expectations for aggressive acquisitions over time to meaningfully build scale. A lack of a track record of sustainable run-rate earnings driven by acquisitive growth, which is likely to continue, also constrains the ratings. Customer concentration is high within the Denali and Organix businesses (above 20% and 50%, respectively), although declining with the combination. Free cash flow generation (cash flow from operations less capital expenditures less dividends) was historically weak, driven in part by growth capital investments. However, Moody's expects this to improve modestly over the next year, aided by more moderate capital spending relative to 2020 and the higher EBITDA margin profile of Organix. Denali is exposed to some revenue and margin fluctuation from deferrals or delays in customer spending for turnaround/project work during weak economic cycles. The business model benefits from relatively steady waste volumes at its current core business, driven by population growth. The company is well-positioned to take advantage of favorable industry drivers that should support growing demand for its services, including regulatory requirements and rising costs related to tight landfill capacity. Denali has a sizeable base of contractually recurring revenue (about 70% pro forma), with the majority tied to operations embedded at customer locations. Long-term customer relationships averaging 10 years translate into a high renewal rate of over 90%. This is an industry characteristic which benefits Denali, but does limit organic growth prospects so Denali will likely be acquisitive. The company's established infrastructure network of sites, equipment and difficult-to-obtain environmental permits provides some barriers to entry. Organix will increase Denali's scale and enable stronger vertical integration, with potential synergies from areas such as route optimization and more waste internalization. Moody's expects these factors to support moderate organic top line growth with the potential to support an improvement in the leverage profile, with debt-to-EBITDA falling towards a mid 5x range absent meaningful debt funded acquisitions. Moody's expects Denali to have adequate liquidity, with nominal cash balances of about $5 million balanced by expectations of ample availability on the new $60 million revolving credit facility and modest positive free cash flow, with at least low single digit range (adjusted) free cash flow to debt. Scaling back growth capital spending closer to maintenance spending could potentially result in stronger free cash flow. The revolving facility will be subject to a springing net leverage covenant (ratio to be determined), tested if borrowings exceed 35% of the revolver commitment. The term loan is not expected to have any financial maintenance covenants. The stable outlook reflects Moody's expectation of relatively steady waste streams to support demand for Denali's services. Recovering macroeconomic conditions should also support customer capital spending for turnaround project-related work, although likely to be protracted with the lingering uncertainty of the coronavirus. The stable outlook also incorporates expectations of adequate liquidity over the next year. From an environmental perspective, Denali operates in an essential services industry. The company should benefit from regulatory requirements driving demand for its waste disposal and environmental services. The company complies with environmental laws and regulations and obtains necessary government permits to operate its facilities and land sites, with no material issues reported. Governance risk is highlighted by aggressive financial policies, including acquisitive growth initiatives that pose execution risks and could make it difficult to generate free cash flow. Specific terms of the new bank agreement have yet to be publicly disclosed. The senior bank credit facility is expected to contain covenant flexibility for transactions that could adversely affect creditors. Moody's took the following actions for Dispatch Acquisition Holdings, LLC.: Assignments: Issuer: Dispatch Acquisition Holdings, LLC Corporate Family Rating, Assigned B3 Probability of Default Rating, Assigned B3-PD Senior Secured 1st Lien Term Loan B, Assigned B3 (LGD3) Senior Secured 1st Lien Revolving Credit Facility, Assigned B3 (LGD3) Outlook Actions: Issuer: Dispatch Acquisition Holdings, LLC Outlook, Assigned Stable FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be downgraded with deteriorating liquidity, including Moody's expectation of negative free cash flow and/or diminishing revolver availability. Debt-to-EBITDA expected remain above 6x with a substantive debt-funded acquisition and with no clear prospects for de-levering would also drive downwards rating pressure, as could EBIT-to-interest sustained below 1.25x. A contraction in revenues or margins, and/or deteriorating business conditions or the loss of a customer/contract that leads to a fall-off in Denali's waste volumes, could also lead to a downgrade. Additionally, an inability to integrate Organix successfully could also result in a downgrade. The ratings could be upgraded with profitable growth in scale and stronger margins such that debt-to-EBITDA is expected to remain comfortably below 5x and EBIT-to-interest expected to be at least 2x. The maintenance of a good liquidity profile, including consistent positive free cash flow generation such that free cash flow to debt is expected to approach 5%, would also be a prerequisite to an upgrade. Dispatch Acquisition Holdings, LLC, based in Russellville, AR, provides specialty waste and environmental services related to managing organic waste generated by several end markets. These markets include municipal water and wastewater treatment facilities, industrial food processors and large industrial facilities such as refineries, chemical, power and pulp and paper plants. The company also provides waste solutions to the food service and delivery end markets. Revenues are expected to approximate $380 million for the last twelve months ended December 31, 2020, pro forma for the combination with Organix Recycling, LLC and several tuck-in acquisitions made in 2020. Dispatch Acquisition Holdings, LLC, is a portfolio company of affiliates of TPG Growth, LLC, a private equity firm. It was formed in January 2020 from the combination of American Residuals Group, LLC (legacy Denali Water Solutions, LLC) and American Industrial Services Group, LLC, purely a holding company for Wastewater Specialties, LLC, an industrial cleaning company. The principal methodology used in these ratings was Environmental Services and Waste Management Companies published in April 2018. DRIVE CHASSIS: S&P Alters Outlook to Stable, Affirms 'B' ICR ------------------------------------------------------------ S&P Global Ratings affirmed its 'B' issuer credit rating and revised its outlook to stable from negative on Drive Chassis Holdco LLC's (which operates as Direct ChassisLink Inc. [DCLI]). S&P also affirmed its 'B' issue-level rating on the company's term loan. The '4' recovery rating (rounded estimate: 45%) is unchanged. S&P said, "The stable outlook reflects our expectation that credit metrics will improve somewhat in 2021 but remain in line with the rating, with EBIT interest coverage of at least 0.5x and FFO to debt in the high-single-digit percent area. "We believe DCLI will continue to benefit from recent demand trends for chassis rentals. Chassis provided by DCLI are primarily utilized to transport international and domestic intermodal containers moving from ports and rail terminals. The combination of a chassis, which consists of a wheeled frame, with an intermodal container forms the equivalent of a truck trailer. The intermodal market in North America depends on macroeconomic growth, domestic consumption, and international trade. However, the industry also relies on the diversion of truck traffic to railroads. Thus, as truck market capacity tightens and spot market prices increase, intermodal rail traffic tends to benefit. Over the first half of 2020 as COVID-19 spread globally, both global trade and demand for intermodal transportation declined significantly, which also reduced demand for chassis. In the first quarter, intermodal volumes fell as factory closures in China reduced imports (which provide a proxy for international container demand) approximately 18% from the prior year according to S&P Global Panjiva. Lower spot market prices also made truck capacity more price competitive against intermodal transportation. In the second quarter, demand further declined amid economic shutdowns and social distancing measures in the U.S. Consequently, total intermodal traffic on U.S. railroads, which comprises both domestic and international containers, declined about 11% through the end of June 2020, according to the Assn. of American Railroads. However, as governments lifted restrictions and factories reopened, intermodal traffic rebounded in the second half, growing about 7%. Therefore, where chassis are involved in moving these containers, we believe that the improvement in intermodal traffic in the second half of 2020 reflected an improvement in demand for lessors like DCLI." S&P Global Ratings believes there remains high, albeit moderating, uncertainty about the evolution of the coronavirus pandemic and its economic effects. Vaccine production is ramping up and rollouts are gathering pace around the world. Widespread immunization, which will help pave the way for a return to more normal levels of social and economic activity, looks to be achievable by most developed economies by the end of the third quarter. However, some emerging markets may only be able to achieve widespread immunization by year-end or later. S&P said, "We use these assumptions about vaccine timing in assessing the economic and credit implications associated with the pandemic. As the situation evolves, we will update our assumptions and estimates accordingly." S&P said, "Our outlook on DCLI is stable. We expect the company's operating performance and credit metrics will continue to improve in 2021 as U.S. import volumes rebound and intermodal traffic benefits from constrained truck market capacity. We expect EBIT interest coverage will improve and remain at least 0.5x through 2021. We also forecast funds from operations (FFO) to debt will remain in the high-single-digit percent area. "We could lower the rating over the next 12 months if the company's credit metrics do not improve in line with our expectations, with EBIT interest coverage remaining well below 1x or FFO to debt declining to the low-single-digit percent area." This could occur if: -- Shipping volumes do not improve in line with our expectations; The macroeconomic situation deteriorates due to increased restrictions related to the pandemic; or -- The company and its owners pursue a more aggressive financial policy. S&P said, "We could raise our rating over the next 12 months if we expect the company's credit metrics to improve more than we currently expect, with EBIT interest coverage increasing above 1.1x and FFO to debt improving to at least 9% on a sustained basis. We would also need to believe the company is pursuing a financial policy supportive of these levels." Improvement in credit metrics could occur if: -- The recovery in trade volumes and economic activity leads to better-than-expected asset utilization and profitability; or -- The company uses free cash flow to repay debt. DWS CLOTHING: Disclosures Hearing Scheduled for April 14 -------------------------------------------------------- Due to recent changes to the court's motion calendar, Judge Erik P. Kimball rescheduled to April 14, 2021, at 1:30 p.m. the continued hearing on DWS Clothing Too, LLC's Disclosure Statement. According to the Court's order, DWS Clothing Too, LLC, shall file an amended plan and disclosure statement by April 1, 2021. Any objections to the amended disclosure statement shall be filed by April 8, 2021. The hearing will take place only by video conference via Zoom for Government. Attorneys must advise their clients not to appear at the courthouse. Although conducted by video conference, the hearing is a court proceeding. The formalities of the courtroom must be observed. All participants must dress appropriately, exercise civility, and otherwise conduct themselves in a manner consistent with the dignity of the Court. To participate in the hearing, you must register in advance no later than 3:00 p.m., one business day before the date of the hearing. If a party is unable to register online, please call Dawn Leonard, Courtroom Deputy, at 561-514-4143. To register, click on or enter the following registration link in a browser: https://www.zoomgov.com/meeting/register/vJIsduGsrTouGn7Udkhqe_ZF90qPJ3uM95E A copy of the order dated March 15, 2021, is available at https://bit.ly/3v4v59s About DWS Clothing Too Operating as Alene Too, DWS Clothing Too, LLC, sells women's clothes. DWS Clothing Too sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 18-25551) on Dec. 14, 2018. In the petition signed by Maxine Schwartz, member, the Debtor disclosed assets of less than $50,000 and liabilities of up to $10 million. The case is assigned to Judge Mindy A. Mora. Rappaport Osborne & Rappaport, PLLC, is the Debtor's counsel. EAGLE HOSPITALITY TRUST: Has $470M Floor Bid From Monarch --------------------------------------------------------- Ameya Karve of Bloomberg News reports that Eagle Hospitality Trust and its entities, which have sought Chapter 11 bankruptcy protection, obtained a bidder for their hotel properties that values them at a floor price of $470 million. Madison Phoenix LLC, a so-called stalking-horse bidder and affiliate of Monarch Alternative Capital LP, submitted a proposal superior to all the others received to date, Singapore-listed EHT said in a filing Tuesday, March 9, 2021. The company got 29 proposals mostly related to the purchase of all or some of the Chapter 11 properties, it said. About Eagle Hospitality Trust Eagle Hospitality Trust -- https://eagleht.com/ -- is a hospitality stapled group comprising Eagle Hospitality Real Estate Investment Trust and Eagle Hospitality Business Trust. Based in Singapore, Eagle H-REIT is established with the principal investment strategy of investing on a long-term basis in a diversified portfolio of income-producing real estate, which is used primarily for hospitality or hospitality-related purposes as well as real estate-related assets in connection with the foregoing, with an initial focus on the United States. EHT US1, Inc. and 26 affiliates, including 15 LLC entities that each owns hotels in the U.S., sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 21-10036) on Jan. 18, 2021. EHT US1 estimated $500 million to $1 billion in assets and liabilities as of the bankruptcy filing. The Debtors tapped Paul Hastings LLP and Cole Schotz P.C. as their bankruptcy counsel, FTI Consulting Inc. as restructuring advisor, and Moelis & Company LLC as investment banker. Rajah & Tann Singapore LLP and Walkers serve as Singapore Law counsel and Cayman Law counsel, respectively. Donlin, Recano & Company, Inc. is the claims agent. The U.S. Trustee for Regions 3 and 9 appointed an official committee of unsecured creditors in the Debtors' Chapter 11 cases on Feb. 4, 2021. The committee is represented by Morris James, LLP and Kramer Levin Naftalis & Frankel, LLP. EASTERN NIAGARA: Seeks Extension of Plan Exclusivity Until June 3 ----------------------------------------------------------------- Debtor Eastern Niagara Hospital, Inc. requests the U.S. Bankruptcy Court for the Western District of New York to extend by 90 days the exclusive periods during which the Debtors may file a Chapter 11 disclosure statement and plan and solicit acceptances of such plan through and including June 3, 2021, and August 2, 2021, respectively. Since the commencement of this case, the Debtor has made a number of initial steps along the path toward filing a Chapter 11 plan. The Debtor has rejected various executory contracts which were burdensome to the estate and has assumed contracts that are beneficial to the estate. The Debtor brought a motion to lift the automatic stay in connection with creditors who sought relief from the stay in its prior bankruptcy filing and also resolved several additional motions for relief from stay. The Debtor retained a broker to sell real property it is no longer operating. The Debtor has obtained authority to sell a small parcel of real estate and has a motion pending for sale of other parcels of real estate. The Debtor has entered into a management agreement with Catholic Health Systems. The Debtor has resolved the claim of its secured creditor, Citizens Bank, and has received approval on its Debtor-in-Possession financing. Also, since the Petition Date, the Debtor has remained current on the payment of all of its post-petition expenses. The Debtor has received a positive report from its patient care ombudsman. While the Debtor has taken or is in the process of taking a number of necessary steps towards developing and filing a Chapter 11 plan, the Debtor must continue working on its business model with CHS and discussing its proposal with its secured lenders and Creditors' Committee, before proposing a plan. Terminating the exclusivity periods before the Debtor has an adequate opportunity to resolve key issues affecting any proposed plan will frustrate the purpose of Bankruptcy Code Section 1121. The Debtor intends to file a plan as soon as practicable. A copy of the Debtor's Motion to extend is available at https://bit.ly/3va6T5K from PacerMonitor.com. About Eastern Niagara Hospital, Inc. Eastern Niagara Hospital -- http://www.enhs.org-- is a not-for-profit organization, focused on providing general medical and surgical services. The Hospital offers radiology, surgical services, rehabilitation services, cardiac services, respiratory therapy, obstetrics & women's health, emergency services, acute & intensive care, chemical dependency treatment, occupational medicine services, DOT medical exams, dialysis, laboratory services, and express care. Eastern Niagara Hospital previously sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D.N.Y. Case No. 19-12342) on November 7, 2019. Eastern Niagara Hospital again sought Chapter 11 protection (Bankr. W.D. N.Y. Case No. 20-10903) on July 8, 2020. In the petition signed by Anne E. McCaffrey, president, and CEO, the Debtor disclosed between $10 million to $50 million in both assets and liabilities. Judge Michael J. Kaplan oversees the case. The Debtor tapped Jeffrey Austin Dove, Esq., at Barclay Damon LLP, as its legal counsel. The U.S. Trustee for Region 2 appointed creditors to serve on the official committee of unsecured creditors on November 22, 2019. The committee is represented by Bond, Schoeneck & King, PLLC. Michele McKay was appointed as health care ombudsman in the Debtor's bankruptcy case. On August 27, 2020, the Court appointed Hunt Commercial Real Estate as a broker. ECOARK HOLDINGS: To Issue $675,000 of Shares to Centrecourt Asset ----------------------------------------------------------------- Ecoark Holdings, Inc. entered into a consulting agreement with Centrecourt Asset Management LLC, a New York limited liability company, and Richard Smithline solely for the purpose of Section 12 thereof. Pursuant to the Consulting Agreement, the Company agreed to issue to the Consultant $675,000 of shares of the Company's common stock, par value $0.001 per share, as compensation for the financial advisory services to be provided by the Consultant thereunder and for services previously rendered by the Consultant. The number of shares of Common Stock to be issued to the Consultant will be determined based on the lower of $8.05 per share, which is the closing price of the Common Stock on Feb. 2, 2021, and (ii) the closing price of the Common Stock on the date of the effectiveness of a registration statement which the Company agreed to file by April 1, 2021 or as soon thereafter as is commercially reasonable at the request of the Consultant pursuant to a Registration Rights Agreement entered into by and between the Company and the Consultant concurrently with the Consulting Agreement for purposes of registering the sale of all such shares by the Consultant or its designees. Under the Consulting Agreement, the Company also agreed to pay the Consultant such other fees as are mutually agreed by the parties, and to indemnify the Consultant for certain losses and liabilities incurred by the Consultant in performing services for the Company pursuant thereto. About Ecoark Holdings Rogers, Arkansas-based Ecoark Holdings, Inc., founded in 2011, is a diversified holding company. Ecoark Holdings has four wholly-owned subsidiaries: Ecoark, Inc., a Delaware corporation which is the parent of Zest Labs, Inc., 440IoT Inc., Banner Midstream Corp., and Trend Discovery Holdings Inc. Through its subsidiaries, the Company is engaged in three separate and distinct business segments: (i) technology; (ii) commodities; and (iii) financial. Ecoark reported a net loss of $12.14 million for the year ended March 31, 2020, compared to a net loss of $13.65 million for the year ended March 31, 2019. As of Dec. 31, 2020, the Company had $39.32 million in total assets, $15.46 million in total liabilities, and $23.86 million in total stockholders' equity. EDGEWELL PERSONAL: Egan-Jones Lowers Senior Unsecured Ratings to C ------------------------------------------------------------------ Egan-Jones Ratings Company, on February 23, 2021 downgraded the foreign currency and local currency senior unsecured ratings on debt issued by Edgewell Personal Care Company to C from B. Headquartered in Shelton, Connecticut, Edgewell Personal Care Company operates as a personal care company. EDISON INT'L: Moody's Rates $1.25BB Preferred Stock 'Ba2(hyb)' -------------------------------------------------------------- Moody's Investors Service assigned a Ba2 (hyb) rating to Edison International's (Edison, Baa3 stable) $1.25 billion Series A Fixed-Rate Reset Cumulative Perpetual Preferred Stock. The outlook for Edison is stable. RATINGS RATIONALE The Ba2 (hyb) rating assigned to Edison's Preferred Stock reflects the security's relative position in the company's capital structure compared to its senior unsecured rating, which represents Edison's ability to honor senior unsecured debt and other unsecured obligations. The Preferred Stock is subordinated, and junior in right of payment, to roughly $21 billion of Edison's outstanding long-term debt. The two notch differential between the Ba2 (hyb) assigned to the Series A Preferred Stock and Edison's Baa3 senior unsecured rating is consistent with Moody's methodology guidance for notching corporate instrument ratings based on differences in security and priority of claim. Edison intends to use the net proceeds from the Preferred Stock issuance for general corporate purposes and to repay commercial paper. The Preferred Stock contains equity like features including no stated maturity and the option to skip coupon payments. The Preferred Stock will receive basket "C" treatment (i.e. 50% equity and 50% debt) for the purpose of adjusting financial statements. Please refer to Moody's cross-sector rating methodology "Hybrid Equity Credit" (September 2018) for further details. Edison's Baa3 senior unsecured credit rating primarily reflects the credit profile of its utility subsidiary Southern California Edison Company (SCE, Baa2 stable). Edison's debt is rated two notches lower than SCE because Edison has over $3 billion of additional holding company debt, which is structurally subordinated to SCE's $17.5 billion of long-term debt and around $2 billion of trust preferred shares. Edison's debt at the holding company accounts for about 14% of the consolidated debt amount. SCE is a large, fully regulated investor-owned utility (IOU) with its entire service territory located within California. SCE's credit profile is weaker than the average fully regulated utility company in the US predominantly because of its exposure to a high degree of wildfire risk. Over the past few years, wildfires have become a key risk factor confronting electric IOUs in California. Due to catastrophic wildfires in 2017 and 2018, and the concern that more could materialize, SCE's credit profile declined over this period. However, California legislators responded strongly to these developments and bolstered IOU financial viability by enacting AB 1054, legislation to address wildfire risk, in July 2019. OUTLOOK Edison's outlook is stable because the wildfire risk has been moderated by the company's wildfire mitigation measures and other credit supportive developments. The passage of AB 1054 and the subsequent establishment of the wildfire fund has had a strong stabilizing effect on Edison's credit profile. However, Edison's rating could still evolve, to either a stronger or weaker position, depending on the implementation of the new wildfire legislation and the company's future success in containing and eventually reducing underlying wildfire risk. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Factors that could lead to an upgrade Moody's could upgrade Edison and SCE's ratings if SCE's wildfire risk diminishes and the provisions under AB 1054 are implemented on a timely basis and successfully tested. A higher rating would also require a CFO pre-WC to debt ratio in the mid-teens for Edison. Factors that could lead to a downgrade Failure by regulators to successfully implement the provisions of AB 1054 associated with the wildfire insurance fund in a consistent and credit supportive manner would likely trigger negative action on the rating. Moody's could also take a negative rating action on both Edison and SCE, if SCE's underlying wildfire risk increases or if the insurance fund is exhausted well ahead of its expected life. Downward pressure is also likely if Edison records a ratio CFO pre-W/C to debt below 13% on a sustained basis. The principal methodology used in these ratings was Regulated Electric and Gas Utilities published in June 2017. EMERALD X INC: Moody's Completes Review, Retains B2 CFR ------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Emerald X, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Emerald X, Inc.'s B2 corporate family rating reflects the company's high leverage and weak operating performance driven by the impact of the coronavirus pandemic on its trade show business. The rating also reflects the company's very good liquidity position, improved expectations regarding collectability of payments under event cancellation insurance, and an anticipated resumption of the trade show business despite Moody's expectation that attendance levels during the pandemic will likely be reduced relative to historical levels. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. ENGINEERED PROPULSION: Seeks July 24 Plan Exclusivity Extension --------------------------------------------------------------- Debtor Engineered Propulsion Systems, Inc. asks the U.S. Bankruptcy Court for the Western District of Wisconsin to extend by 120 days the Debtor's exclusive period to file a Chapter 11 plan and to solicit acceptances to July 24, 2021, and September 22, 2021, respectively. On December 2, 2020, the Court entered the Order Authorizing Asset Sale under 11 U.S.C. §363, approving the sale of the Debtor to EPS Engineered Propulsion Systems, Inc. pursuant to the terms of an asset purchase agreement, its related attachments, and a court-ordered modification. Since the Buyer consists of a group that includes foreign nationals, the sale requires review and certification by the Committee on Foreign Investment in the United States ("CFIUS"). CFIUS is an inter-agency committee of the United States government that is authorized to review, investigate and block any transaction or investment that could result in the control of any U.S. businesses or assets by a foreign person that may raise national security concerns, or involve critical infrastructure. The Debtor submits that an extension of the exclusivity periods will support a number of important objectives: (i) it will permit time for completion of the CFIUS review and certification; (ii) the extension will provide breathing room in the (unlikely) event that the sale of the Debtor's assets to the Buyer is further delayed by CFIUS or otherwise negatively impacted by the continuing COVID-19 pandemic; and (iii) it will provide the time that the Debtor will need to go through the claims review process, including potentially the resolution of other claims objections that may be material to plan confirmation. In addition, as evidenced by its last monthly operating report, as of January 31, 2021, the Debtor is current on its post-petition taxes, payroll, and monthly operating expenses. Furthermore, the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 ("BAPCPA") amended Section 1121 by limiting the maximum length of the extensions that could be authorized, but it did not otherwise restrict the Court's authority to grant extensions on a showing of cause. However, this is only Debtor's second request for an extension of these periods, and the BAPCPA limitations on the maximum length of such extensions are not implicated. Such an extension will provide the Debtor with the additional time needed for the conclusion of the CFIUS review and closing of the sale to the Buyer, for the Debtor to review and assess claims and to bring and resolve appropriate proceedings to quantify contingent or disputed claims, and for the Debtor to resolve other pending matters, in order to propose a confirmable chapter 11 plan for the benefit of all creditors and investors. A copy of the Debtor's Motion to extend is available at https://bit.ly/3bmvtbu from PacerMonitor.com. About Engineered Propulsion Systems Engineered Propulsion Systems, Inc., a manufacturer of aircraft engines and engine parts in New Richmond, Wis., filed a Chapter 11 petition (Bankr. W.D. Wis. Case No. 20-11957) on July 29, 2020. Engineered Propulsion president Michael Fuchs signed the petition. At the time of the filing, the Debtor was estimated to have $100 million to $500 million in assets and $10 million to $50 million in liabilities. Judge G. Michael Halfenger oversees the case. The Debtor tapped Steinhilber Swanson, LLP as its bankruptcy counsel; Jarchow Law, LLC as its general corporate counsel; and Shaun M. Simma, CPA, and Simma Flottemesch & Orenstein, Ltd. as accountants. EYEPOINT PHARMACEUTICALS: Incurs $15.5M Net Loss in Fourth Quarter ------------------------------------------------------------------ EyePoint Pharmaceuticals, Inc. reported financial results for the fourth quarter and year ended Dec. 31, 2020 and highlighted recent corporate developments. "This year was transformative for EyePoint, across all clinical, financial and commercial fronts, despite the impact of COVID-19 on our business. In December 2020, we filed the IND for EYP-1901, a potential twice-yearly sustained delivery intravitreal anti-VEGF treatment for wet age-related macular degeneration (wet AMD), and the first patient was dosed in January. We are excited about the potential for EYP-1901 to dramatically transform the treatment of wet AMD offering patients the opportunity for fewer treatments and improved results," said Nancy Lurker, president and chief executive officer of EyePoint Pharmaceuticals. "On the commercial front, despite the challenges of COVID-19 with closures in the earlier part of the year, we were pleased to see a return of customer demand of our commercial products to near pre-COVID levels in the second half of 2020." Ms. Lurker continued, "In addition to the advancement of EYP-1901, we have made tremendous progress to improve our balance sheet, including a recent upsized follow-on stock offering with $115.1 million of gross proceeds and a $16.5 million royalty monetization with $15 million applied to reduce outstanding debt obligations." Corporate Update * In February 2021, the Company completed an upsized underwritten public offering of 10,465,000 shares of its common stock at a public offering price of $11.00 per share, including the exercise in full by the underwriters of their option to purchase up to 1,365,000 additional shares of common stock. The gross proceeds of the offering to the Company were approximately $115.1 million, before deducting the underwriting discounts and commissions and other estimated offering expenses. Cowen and Guggenheim acted as joint book-running managers for the offering. * In December, Ocumension Therapeutics, a China-based ophthalmic pharmaceutical company traded on the Stock Exchange of Hong Kong (1477.HK), made a $15.7 million equity investment in EyePoint, purchasing approximately 3.01 million shares of EyePoint's common stock. * Also in December, EyePoint announced a royalty monetization agreement with SWK Holdings Corporation for royalties payable to EyePoint under its license agreement with Alimera Sciences, Inc. for ILUVIEN. EyePoint received a one-time $16.5 million payment from SWK in exchange for the rights to future royalties payable to EyePoint from the Alimera agreement. $15 million of the net proceeds from this transaction were applied toward debt obligations with CRG Servicing LLC (CRG). The remaining $1.5 million will be used to advance product pipeline programs. Commercial Performance in Fourth Quarter 2020 * Net product revenue for YUTIQ and DEXYCU was $4.0 million and $2.7 million, respectively. * Customer demand of approximately 6,200 units for DEXYCU and approximately 500 units for YUTIQ, increases of 30% and 10%, respectively, over Q3 2020. * DEXYCU commercial alliance partner, ImprimisRx, began driving volume through their experienced cataract surgery field force, materially adding to Q4 customer demand. Review of Results for Fourth Quarter Ended Dec. 31, 2020 For the three months ended Dec. 31, 2020, total net revenue was $7.1 million compared to $8.6 million for the three months ended Dec. 31, 2019. Net product revenue for the three months ended Dec. 31, 2020 was $6.7 million, with $4.0 million for YUTIQ and $2.7 million for DEXYCU, compared to net product revenue for three months ended Dec. 31, 2019 of $7.9 million with $4.8 million for YUTIQ and $3.1 million for DEXYCU. Net product revenue represents product purchased by EyePoint's distributors whereas customer demand represents purchases of product by physician practices and ASCs from EyePoint's distributors. Net revenue from licenses, royalties and collaborations for the three months ended Dec. 31, 2020 totaled $0.4 million compared to $0.7 million in the corresponding quarter in 2019. Operating expenses for the three months ended Dec. 31, 2020 totaled $19.9 million compared to $17.6 million in the prior year period. This increase was driven by a $1.6 million increase in G&A expense, a $1.1 million increase in cost of sales and a $1.1 million increase in R&D expense being partially offset by a $1.6 million reduction in sales and marketing expense. Non-operating expense, net, for the three months ended Dec. 31, 2020 totaled $2.7 million of net interest expense. Net loss for the three months ended Dec. 31, 2020 was $15.5 million, or $1.07 per share, compared to a net loss of $10.4 million, or $0.98 per share, for the prior year quarter. Review of Results for the Full Year Ended Dec. 31, 2020 For the full year ended Dec. 31, 2020, total net revenue was $34.4 million compared to $20.4 million for the full year ended Dec. 31, 2019. Net product revenue for the full year ended Dec. 31, 2020 was $20.8 million, compared to net product revenues for the full year ended Dec. 31, 2019 of $16.8 million. Net revenue from royalties and collaborations for the full year ended Dec. 31, 2020 totaled $13.6 million compared to $3.5 million in the corresponding period in 2019. Operating expenses for the full year ended Dec. 31, 2020 totaled $71.7 million versus $68.2 million in the prior year period. This increase was primarily due to a $3.1 million increase in cost of sales, a $2.8 million increase in G&A expense, a $2.1 million increase in R&D expense partially offset by a $4.5 million decrease in sales and marketing expense. Non-operating expense, net, totaled $8.1 million and net loss was $45.4 million, or $3.54 per share, compared to a net loss of $56.8 million, or $5.44 per share, for the prior year period. Cash and cash equivalents at Dec. 31, 2020 totaled $44.9 million compared to $22.2 million at Dec. 31, 2019. Financial Outlook The Company expects the cash on hand at Dec. 31, 2020 together with the approximate $108 million of net proceeds from the February 2021 public stock offering and expected net cash inflows from the Company's product sales will enable the Company to fund its current and planned operations through the second quarter of 2022. About EyePoint Pharmaceuticals EyePoint Pharmaceuticals, formerly pSivida Corp. -- http://www.eyepointpharma.com-- headquartered in Watertown, MA, is a specialty biopharmaceutical company committed to developing and commercializing innovative ophthalmic products in indications with high unmet medical need to help improve the lives of patients with serious eye disorders. The Company currently has two commercial products: DEXYCU, the first approved intraocular product for the treatment of postoperative inflammation, and YUTIQ, a three-year treatment of chronic non-infectious uveitis affecting the posterior segment of the eye. Eyepoint reported a net loss of $56.79 million for the year ended Dec. 31, 2019. For the six months ended Dec. 31, 2018, the Company reported a net loss of $44.72 million. As of Sept. 30, 2020, the Company had $76.79 million in total assets, $69.19 million in total liabilities, and $7.59 million in total stockholders' equity. Deloitte & Touche LLP, in Boston, Massachusetts, the Company's auditor since 2008, issued a "going concern" qualification in its report dated March 13, 2020, citing that the combination of the Company's limited currently available cash, cash equivalents and available borrowings, together with its history of losses, and the uncertainty in timing of cash receipts from its newly launched products raise substantial doubt about the Company's ability to continue as a going concern. FADYRO DISTRIBUTORS: Seeks Court OK on Cash Collateral Access Deal ------------------------------------------------------------------ Fadyro Distributors, Inc. and Oriental Bank, formerly Scotiabank de Puerto Rico, have advised the U.S. Bankruptcy Court for the District of Puerto Rico that they have reached an agreement regarding Fadyro's use of cash collateral and now desire to memorialize the terms of this agreement into an agreed order. Prior to the Petition Date, Debtor and OB entered into a credit relationship pursuant to which Debtor provided as collateral to OB estate assets including, among others, Debtor's inventory and account receivables and the proceeds thereof. A judgment for the foreclosure of said estate assets was entered prior to the Petition Date. The parties met through their respective counsels and reached an agreement in which OB will allow Debtor to temporarily use its cash collateral, until July 12, 2021, solely under and in reliance upon, the terms and conditions and adequate protection set forth the Stipulation. The Debtor will pay consecutive monthly installments of $4,500 directly to OB as adequate protection for the use of OB's cash collateral from the petition date on and until July 12, 2021, or the effective date of a confirmed plan, in which payments under such confirmed plan to OB will commence, whichever occurs first. The aforementioned payments will provide adequate protection for and, in exchange for the temporary use of OB's cash collateral. The monthly direct payments to OB as adequate protection will start on February 12, 2021 and will continue to be made by Debtor directly to OB on the 12th day of each consecutive calendar month. In addition to the conditions, the Debtor will continue at all times to insure the real property which comprises OB's collateral as to claim #5, for its replacement cost in the amount of $1,100,000.00 and with a loss payee endorsement in favor of OB as mortgage creditor. The Debtor will also timely pay all applicable post-petition real property taxes of said realty. A copy of the Stipulation is available for free at https://bit.ly/3l05auR from PacerMonitor.com. About Fadyro Distributors, Inc. Fadyro Distributors, Inc. filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 21-00029) on Jan. 5, 2021. At the time of filing, the Debtor disclosed between $1 million and $10 million in both assets and liabilities. Judge Mildred Caban Flores oversees the case. The Debtor tapped Landrau Rivera & Assoc. as its legal counsel and Joel Rodriguez Fernandez, an accountant practicing in San Lorenzo, P.R. FLORIDA TILT: Court Extends Plan Exclusivity Thru April 29 ---------------------------------------------------------- At the behest of the Debtor Florida Tilt, Inc., Judge Robert A. Mark of the U.S. Bankruptcy Court for the Southern District of Florida, Miami Division extended the period in which the Debtor may file a Chapter 11 plan and Disclosure Statement and to solicit acceptances to April 29, 2021, and May 31, 2021, respectively. The Debtor now has ample time under the circumstances of this case to conclude the matter with Mexal Corp., Inc. to formulate and/or review realistic terms of any proposed plan with creditors. And also the Debtor will be able to continue devoting its energies to recover monies owed and is attempting to reorganize. A copy of the Debtor's Motion to extend is available at https://bit.ly/3rtlzKJ from PacerMonitor.com. About Florida Tilt Inc. Florida Tilt, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 20-20779) on October 1, 2020, listing under $1 million in both assets and liabilities. Judge Robert A. Mark oversees the case. Ariel Sagre, Esq., at Sagre Law Firm, P.A., serves as the Debtor's legal counsel. Until further notice, the United States Trustee said it will not appoint a Committee of Creditors pursuant to 11 USC Section 1102. FORD MOTOR: Egan-Jones Lowers Senior Unsecured Ratings to B ----------------------------------------------------------- Egan-Jones Ratings Company, on February 22, 2021 downgraded the foreign currency and local currency senior unsecured ratings on debt issued by Ford Motor Company to B from B+. Headquartered in Dearborn, Michigan, The Ford Motor Company, commonly known as Ford, is an American multinational automaker that has its main headquarters in Dearborn, Michigan, a suburb of Detroit. FOSSIL EXHIBITS: Seeks Use of Cash Collateral --------------------------------------------- Fossil Exhibits International LLC asks the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, for authority to use cash collateral to pay for its operating expenses, to maintain business operations, and protect their ability to reorganize in under Chapter 11. The Debtor has enjoyed relatively steady growth in both sales and market exposure throughout the majority of their existence, with total sales peaking around six million dollars in 2018. The majority of their business comes from large trade shows. This all came to an end with the COVID-19 pandemic. All large gatherings —including trade shows — were cancelled, and Fossil was left with little but their storage income to keep them afloat. Fossil tried briefly to reinvent themselves, offering general fabrication services to try to keep staff on payroll. Unfortunately, the pandemic economy simply didn't provide customers as hoped, and as a result, Fossil was forced to make the difficult decision to lay off workers. They went from twenty-two employees down to just two. Now that restrictions due to the pandemic have begun to lift, old familiar trade shows are being rescheduled; so far, thirty of Fossil's trade shows that were cancelled last year are already back on the books. More are being scheduled each week. Fossil is already booking new business for the first time in over a year. Fossil's sole secured creditor is Cadence Bank, N.A., which has a lien on substantially all of Fossil's assets, including accounts, inventory, and equipment. As of the Petition Date, Cadence had two secured notes; a long-term note with an outstanding balance of approximately $802,695, bearing interest at 5.75% per annum, and a renewable short-term note with an outstanding balance of approximately $236,500, bearing interest at 6.00% per annum. Cherie Quentin is a personal guarantor of both secured loans. As of the Petition Date, Fossil owed $355,000 plus per diem interest of $3,015.07 on an unsecured loan from Cadence pursuant the CARES Act that is guaranteed by the U.S. Small Business Administration. Prior to the Petition Date, Fossil had used 100% of the 1st PPP Loan proceeds in accordance with the requirements for forgiveness. Fossil is currently in the process of submitting their application for forgiveness of this loan. As of the Petition Date, Fossil owed $274,905.80 plus per diem interest of $60.25 on an unsecured loan from Allegiance Bank pursuant to the CARES Act that is guaranteed by the SBA. As of the Petition Date, Fossil had used $30,535.51 of the proceeds from the 2nd PPP Loan, leaving a loan proceeds balance of $244,370.29 remaining in Fossil's checking account. Fossil has used all funds in accordance with the requirements for forgiveness, and intends to use the remaining funds accordingly as well. The 2nd PPP Loan was funded on February 18, 2021, eight days before the Petition Date. As proceeds from a CARES Act PPP Loan, Fossil believes that the remaining funds from the 2nd PPP Loan are not cash collateral. In order to adequately protect Cadence for Fossil's use of cash collateral, Fossil is offering to provide Cadence replacement liens pursuant to 11 U.S.C. section 362(2), in and to all property of the estate of the kind presently securing the secured notes held by Cadence, as well as other adequate protection as described in the proposed interim order. A copy of the motion is available at https://bit.ly/3rwLcue from PacerMonitor.com. About Fossil Exhibits International LLC Based in Houston, Texas, Fossil Exhibits International LLC -- http://fossil-exhibits.com-- provides its clients with trade show booths, permanent installations, and event management services. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Court (Bankr. S.D. Tex. Case No. 21-30714) on February 26, 2021. In the petition signed by Cherie Quentin, president, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Christopher M. Lopez oversees the case. Ravi Patrick Ratnala, Esq. at THE RATNALA LAW FIRM, PLLC is the Debtor's counsel. FURNITURE FACTORY: Seeks to Extend Plan Exclusivity Until June 3 ---------------------------------------------------------------- Furniture Factory Ultimate Holding, L.P. and its affiliates request the U.S. Bankruptcy Court for the District of Delaware to extend by 90 days the exclusive periods during which the Debtors may file a plan and solicit acceptances through and including June 3, 2021, and August 2, 2021, respectively. The Debtors have been working in good faith toward maximizing the value of the Debtors' assets, in order to achieve the most value from their assets and will continue those efforts in developing a successful plan of liquidation. To this point, the Debtors' efforts in the sale process have resulted in the successful sale of substantially all of their assets and will lead to a plan to wind down the estate. Also, the Debtors are substantially current on their post-petition expenses. The Debtors are in the process of drafting a liquidating plan and will continue to negotiate with their constituents in an effort to improve the plan with respect to all interested parties and seek to address any concerns raised by their constituents, including the Committee. Thus, the Debtors have satisfied this prong, and retaining control over the planning process will provide the most efficient path to maximize recoveries for all constituents and provide a successful conclusion in the cases. The complexity of negotiating and closing the sale has required a significant amount of time and energy from the Debtors and their advisors. As a result, the Debtors require additional time for the Exclusive Periods to consummate the sale of substantially all of the Debtors' assets. Furthermore, the Debtors' governmental bar date is May 4, 2021, at 4:00 p.m. EST and there is the potential for additional claims that will need to be resolved during these cases. As unresolved contingencies still exist in these cases, the additional time will also provide the Debtors the control over the planning process, which will provide the necessary framework and efficiencies that are necessary for this instance. The Debtors have been in regular communication with the Committee on numerous issues facing the Debtors' estates and will not prejudice the legitimate interests of any creditor and will, in fact, afford the parties the opportunity to pursue to fruition the beneficial objectives of a confirmable plan of liquidation. A copy of the Debtors' Motion to extend is available at https://bit.ly/3cbtarg from stretto.com. About Furniture Factory Ultimate Holding Furniture Factory Outlet, LLC retails furniture and accessories products and serves customers in the United States. It was founded in 1984 in Muldrow, Okla., around an original concept of providing quality furniture at highly competitive prices with its "lowest price every day" guarantee. Furniture Factory and its affiliates, including Furniture Factory Outlet, LLC, sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 20-12816) on November 5, 2020. Furniture Factory was estimated to have $10 million to $50 million in assets and liabilities. The Honorable John T. Dorsey is the case judge. The Debtors tapped Klehr Harrison Harvey Branzburg LLP as legal counsel, Focalpoint Securities LLC as an investment banker, RAS Management Advisors LLC as a financial advisor, and B. Riley Real Estate, LLC as their real property lease consultant. Stretto is the claims agent. FURNITURELAND USA: Best Price Buying Kissimmee Property for $1.638M ------------------------------------------------------------------- Furnitureland USA, Inc., asks the U.S. Bankruptcy Court for the Middle District of Florida to authorize the sale of the parcel of real property located at 2345 North Orange Blossom Trail, in Kissimmee, Florida, to Best Price Mattress and Furniture Discount, Inc., for $1.638 million. The Debtor holds fee simple title to the Property, which is encumbered by a first mortgage lien in favor of Centerstate Bank, N.A. in the amount of $1,079,699.41, and other liens. The Property and the mortgage lien encumbering the Property are the subject of that certain foreclosure suit pending in Osceola County, Florida (case No. 2020 CA 1457 MF) ("State Court Action"), which was commenced by Lender on June 1, 2020. As of the Petition Date, litigation in the State Court Action remained ongoing, but no judgment of foreclosure had been entered in the case. After the Petition Date, the Debtor received a purchase offer from the Purchaser for the Property. The Purchaser's offer is memorialized in a real estate purchase agreement dated Dec. 11, 2020 which contemplates that the Debtor will sell the Property to the Purchaser for a total purchase price of $1.638 million, and that closing would take place after the expiration of time permitted for due diligence, inspections and satisfaction of those certain closing contingencies set forth in the Purchase Agreement. Pursuant to the Purchase Agreement, closing was scheduled for Feb. 17, 2021. As a result of ongoing and ordinary due diligence preceding the sale contemplated by the Purchase Agreement, the parties, by agreement, extended the closing date to March 12, 2021. On Feb. 11, 2021, and after notice to all parties, the Court heard the Debtor's 363 Motion and granted it. At the time, it was the Debtor's intent to retain the net proceeds resulting from the anticipated sale and to disburse the net proceeds following the filing of and anticipated approval of a Chapter 11 Plan of Liquidation. Since the date of the hearing on the Debtor's 363 Motion, the Purchaser's lender has expressed concerns about the gap in time between closing and the distribution of net proceeds through a Chapter 11 Plan of Liquidation, and namely, whether clear title can be issued after closing but before all proceeds are distributed. Consequently, the Purchaser and its lender have cast doubt on their willingness to close if claims issues remain after closing and before distribution of the net proceeds. Through the Motion, the Debtor asks entry of an Amended Order on the Debtor's 363 Motion, which would allow the Debtor to pay all claims at closing, with a schedule of payments to be filed in supplement of the Motion. It further intends to seek a dismissal of the case, after all claims have been paid and the sale proceeds have otherwise been distributed consistent with the Code. In so doing, the Debtor believes the closing of the Purchase Agreement will be preserved, the subject property will be sold, and all creditors of the Debtor will be paid in full. The Debtor asks authorization to sell the Property to the Purchaser in accordance with the terms of the Purchase Agreement as amended, with any liens on the Property to attached to the sale proceeds, and further requests authorization to pay all costs in connection with such sale. In addition, it asks authorization to distribute the remaining sums to the holders of claims against the Debtor, including administrative claims, which will all be paid in full. About Furnitureland USA Inc. Furnitureland USA, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 20-06634) on Dec. 1, 2020. In its petition, the Debtor disclosed assets of between $1 million and $10 million and liabilities of the same range. Furnitureland President Mark Cantley signed the petition. Judge Lori V. Vaughan oversees the case. The Law Offices Of Scott W. Spradley, P.A., is the Debtor's legal counsel. GARY ZARS: Trustee Selling Canyon Lake Property to Cranes for $125K ------------------------------------------------------------------- John Patrick Lowe, the Trustee for the estate of Gary L. Zars, asks the U.S. Bankruptcy Court for the Western District of Texas to authorize the sale of the real property commonly known as 119 Yard Arm Drive, in Canyon Lake, Comal County, Texas, to Carl P. Crane and Barbara M. Crane for $125,000. The Debtor's Schedules disclose as an asset of the estate, among many other assets, the Property, an improved real property asset also commonly known as 2 Yard Armin Canyon Lake, Texas. The asset is legally described as Cabana Site No. 10, Lake Canyon Yacht Club Tract, according to map or plat recorded in volume 2, pages 57-58 of the map and plat records of Comal County, Texas, being the same property described in a Special Warranty Deed dated July 14, 2004 from Gail Zars to Gary Zars recorded at instrument number 200906010694 in the Official Public Records of Comal County, Texas. The Trustee is aware of no liens on this asset other than current, that is, year 2021, ad valorem tax liens. The Debtor places a value of $99,090 on this asset. The current Comal Central Appraisal District valuation of the asset for ad valorem tax purposes is $98,070. The Trustee sought and obtained authority from the Court to employ Mel. T. Davis as the real estate broker for the estate to assist the Trustee in the liquidation of the estate’s real property assets. The real property asset is an asset of the estate. It is not part of the Debtor's exempt property. The real estate broker for the estate procured a contract to sell the asset to the Buyers for the amount of $125,000. The Trustee moves for authority to sell this asset to the buyers for $125,000. The sale should be free and clear of any and all liens, claims, security interests and encumbrances, except ad valorem tax liens for the year 2021, with all of those matters, except year 2021 ad valorem tax liens, to attach to the sales proceeds. The sale is subject to year 2021 ad valorem tax liens which will be prorated at the closing of the sale as the contract provides. The Trustee moves that the 6% real estate broker's commission and the costs of sale the contract requires the Trustee to pay, such as the premium for the owner's policy of title insurance, be allowed as expenses of the administration of the estate and that the Trustee be authorized and directed to pay those matters at closing. The Trustee doesn't yet know if the proposed sale will create a federal income tax liability for the estate. The Trustee also moves for authority to execute, acknowledge and deliver any instrument or record necessary to consummate or memorialize the sale. Any party may make a higher offer for this asset by appearing at the hearing of the motion. A copy of the Contract is available at https://tinyurl.com/yufkwpre from PacerMonitor.com free of charge. The Purchasers: Carl P. Crane and Barbara M. Crane 100 NE Loop 410, Suite 510 San Antonio, TX 78216 About Gary L. Zars Gary L. Zars sought Chapter 11 protection (Bankr. W.D. Tex. Case No. 10-50514) on Feb. 9, 2010. The case is assigned to Judge Judge Ronald B. King. The Debtor estimated assets and liabilities in the range of $1 million to 10 million. According to the schedules, the Company has assets of $3,657,000, and total debts of $1,931,023. The Debtor tapped William R. Davis, Jr., at Langley & Banack, Inc., as counsel. The petition was signed by Mr. Zars. GATEWAY VENTURES: Seeks to Hire Weycer Kaplan as Counsel -------------------------------------------------------- The Gateway Ventures, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Texas to employ Weycer, Kaplan, Pulaski & Zuber, PC as its legal counsel. The firm will render these legal services: (a) advise the Debtor regarding its rights, powers, duties, and obligations in its Chapter 11 case; (b) take all necessary actions to protect and preserve the estates of the Debtor; (c) assist the Debtor in the investigation of its acts, conduct, assets and liabilities; (d) investigate and potentially prosecute preference, fraudulent transfer, and other causes of action arising under the Debtor's avoidance powers; (e) prepare legal papers; (f) negotiate, draft and present a plan for the reorganization of the Debtor's financial affairs, and the related disclosure statement; (g) handle all litigation and other contested matters for the Debtor arising in connection with the case; and (h) perform all other necessary legal services in connection with the case. The hourly rates of the firm's counsel and staff are as follows: Jeff Carruth, Shareholder $485 Other Shareholders $485 or less Associates $300 or less Paralegals $150 In addition, the firm will seek reimbursement for expenses incurred. The retainer fee is $32,000. Jeff Carruth, Esq., an attorney at Weycer Kaplan, disclosed in a court filing that the firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Jeff Carruth, Esq. Weycer, Kaplan, Pulaski & Zuber, PC 3030 Matlock Rd., Suite 201 Arlington, TX 76015 Telephone: (713) 341-1058 Facsimile: (866) 666-5322 Email: jcarruth@wkpz.com About The Gateway Ventures The Gateway Ventures, LLC filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Texas Case No. 21-30071) on Feb. 2, 2021, listing under $1 million in both assets and liabilities. Judge H. Christopher Mott oversees the case. Weycer, Kaplan, Pulaski & Zuber, PC serves as the Debtor's counsel. GLATFERER CORPORATION: Egan-Jones Hikes Sr. Unsecured Ratings to BB ------------------------------------------------------------------- Egan-Jones Ratings Company, on February 22, 2021 upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Glatfelter Corporation to BB from B+. Headquartered in York, Pennsylvania, Glatfelter Corporation manufactures and supplies papers and engineered materials. GOODYEAR TIRE: Egan-Jones Hikes Senior Unsecured Ratings to B+ -------------------------------------------------------------- Egan-Jones Ratings Company, on February 23, 2021 upgraded the foreign currency and local currency senior unsecured ratings on debt issued by The Goodyear Tire & Rubber Company to B+ from B-. Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company develops, manufactures, distributes, and sells tires for most applications. GREEN PLAINS: Egan-Jones Upgrades Senior Unsecured Ratings to B --------------------------------------------------------------- Egan-Jones Ratings Company, on February 26, 2021, upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Green Plains Inc. to B from C. Headquartered in Omaha, Nebraska, Green Plains Inc. owns and operates ethanol plants located in the Midwest U.S. GTT COMMUNICATIONS: Executive VP Assumes Division President's Post ------------------------------------------------------------------ Christopher McKee, GTT Communications, Inc.'s general counsel and executive vice president, corporate development and a named executive officer of the Company, has assumed the role of division president, Infrastructure, effective March 8, 2021. There will be no change to Mr. McKee's compensation in connection with his change in role. The Company and Mr. McKee have also agreed that the change will not constitute "good reason" under his employment agreement and retention bonus letter agreement with the Company. The Board of Directors of the Company appointed Douglass B. Maynard as general counsel of the Company, effective March 8, 2021. Mr. Maynard served as the general counsel of Akin Gump Strauss Hauer & Feld LLP, a major international law firm, from February 2016 to March 2021. He was also a Partner of Akin Gump Strauss Hauer & Feld LLP from August 2002 to December 2012 and from August 2014 to March 2021, where, prior to becoming General Counsel, he specialized in internal investigations, board and board committee representations, white collar and regulatory matters and complex civil litigation. Mr. Maynard has extensive governmental experience, including serving as Deputy Commissioner, Legal Matters for the New York City Police Department from January 2013 to July 2014, where he managed 250 lawyers and staff in the nation's largest police department, and as Assistant United States Attorney, Criminal Division for the US Attorney's Office for the Southern District of New York. Mr. Maynard serves on the Judiciary Committee for the New York City Bar Association and on the Board of Directors for Ronald McDonald House of the Greater Hudson Valley. He graduated cum laude with a B.A. in Philosophy from Yale University and holds a J.D. from New York University School of Law. The Company entered into an indemnification agreement with Mr. Maynard, dated as of March 8, 2021. About GTT Headquartered in McLean, Virginia, GTT Communications, Inc. -- www.gtt.net -- owns and operates a global Tier 1 internet network and provides a comprehensive suite of cloud networking services. * * * As reported by the TCR on March 1, 2021, S&P Global Ratings lowered all of its ratings on U.S.-based internet protocol network operator GTT Communications Inc. by one notch, including its issuer credit rating, to 'CCC-' from 'CCC', to reflect the increased likelihood of a default or distressed exchange over the next six months. In December 2020, Moody's Investors Service downgraded GTT Communications, Inc's corporate family rating to Caa2 from B3. The downgrade reflects the continued delays in the company reaching an agreement with its lenders over a long-term cure of its reporting requirements which GTT is in breach of due to recently discovered accounting issues which have led to the company being unable to file its Q2 and Q3 financial reports. GULFPORT ENERGY: Fights Gas Contract Order of FERC -------------------------------------------------- Law360 reports that Gulfport Energy Corp. on Monday, March 8, 2021 urged the Fifth Circuit to review the Federal Energy Regulatory Commission's conclusion that there's no need for the bankrupt driller to ditch a gas transportation contract. FERC said in a Nov. 6, 2020 order that concerns over potential public interest harms don't require Gulfport to shed or modify its contract with Midship Pipeline Co. LLC and that the current contract remains just and reasonable. It came just over a month after FERC issued a declaratory order that the Natural Gas Act gives it concurrent jurisdiction with bankruptcy courts over Gulfport's gas transportation contract with Midship. About Gulfport Energy Gulfport Energy Corporation (NASDAQ: GPOR) -- http://www.gulfportenergy.com/-- is an independent natural gas and oil company focused on the exploration and development of natural gas and oil properties in North America and a producer of natural gas in the contiguous United States. Headquartered in Oklahoma City, Gulfport holds significant acreage positions in the Utica Shale of Eastern Ohio and the SCOOP Woodford and SCOOP Springer plays in Oklahoma. In addition, Gulfport holds non-core assets that include an approximately 22% equity interest in Mammoth Energy Services, Inc. (NASDAQ: TUSK) and has a position in the Alberta Oil Sands in Canada through its 25% interest in Grizzly Oil Sands ULC. As of Sept. 30, 2020, Gulfport had $2,375,559,000 in assets and $2,520,336,000 in liabilities. Gulfport and its subsidiaries sought Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 20-35562) on Nov. 13, 2020. The Hon. David R. Jones is the case judge. The Debtors tapped Kirkland & Ellis LLP as their bankruptcy counsel; Jackson Walker L.L.P. as local bankruptcy counsel; Alvarez & Marsal North America, LLC as restructuring advisor; and Perella Weinberg Partners L.P. and Tudor, Pickering, Holt & Co. as financial advisor; and PricewaterhouseCoopers LLP as tax services provider. Epiq Corporate Restructuring LLC is the claims agent. Wachtell, Lipton, Rosen & Katz is counsel for the special committee of Gulfport's Board of Directors while Chilmark Partners is the financial advisor. Katten Muchin Rosenman LLP is counsel for the special committee of the governing body of each Debtor other than Gulfport while M III Partners, LP is the financial advisor. The Office of the U.S. Trustee formed an official committee of unsecured creditors in the Debtors' Chapter 11 cases. The Committee is represented by Norton Rose Fulbright US LLP and Kramer Levin Naftalis & Frankel, LLP. H-FOOD HOLDINGS: Moody's Completes Review, Retains B3 CFR --------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of H-Food Holdings, LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on March 1, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations H-Food Holdings, LLC's, B3 CFR reflects its high financial leverage with debt to EBITDA of over 8x as of September 26, 2020, the risk in achieving targeted profitability from its capital expansion program during a time of low visibility due to the coronavirus pandemic, and modest customer concentration. Further, the rating also reflects event risk, such as additional leveraged acquisitions and aggressive shareholder distributions, given the company's financial sponsor ownership. However, the rating incorporates the company's good position as a contract manufacturer and packager of food products. The company has long-standing relationships with leading US food companies and limited commodity exposure due to pass-through cost arrangement that helps limit cash flow and earnings volatility. The company has good liquidity. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. HEALTHIER CHOICES: Incurs $3.72 Million Net Loss in 2020 -------------------------------------------------------- Healthier Choices Management Corp. filed with the Securities and Exchange Commission its Annual Report on Form 10-K disclosing a net loss of $3.72 million on $13.92 million of net total sales for the year ended Dec. 31, 2020, compared to a net loss of $2.80 million on $15.11 million of net total sales for the year ended Dec. 31, 2019. As of Dec. 31, 2020, the Company had $11.87 million in total assets, $9.62 million in total liabilities, and $2.26 million in total stockholders' equity. The Company currently and historically has reported net losses and cash outflows from operations. As of Dec. 31, 2020, cash and cash equivalents totaled approximately $0.9 million. Subsequent to the year ended Dec. 31, 2020, the Company entered into a $5.0 million Securities Purchase Agreement. The Company anticipates that its current cash, cash equivalent and cash generated from operations and $5.0 million received from the Securities Purchase Agreement will be sufficient to meet the projected operating expenses for the foreseeable future through a year and a day from the issuance of these consolidated financial statements. Should the Company require additional funds (either through equity or debt financing, collaborative agreements or from other sources) the Company said it has no commitments to obtain such additional financing, and it may not be able to obtain any such additional financing on terms favorable to it, or at all. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/Archives/edgar/data/844856/000084485621000019/form10k.htm About Healthier Choices Headquartered in Hollywood, Florida, Healthier Choices Management Corp. -- http://www.healthiercmc.com-- is a holding company focused on providing consumers with healthier daily choices with respect to nutrition and other lifestyle alternatives. HEALTHIER CHOICES: Santi Remains President, COO Until 2024 ---------------------------------------------------------- Healthier Choices Management Corp. entered into an amended and restated employment agreement with Christopher Santi, the company's president and chief operating officer. Pursuant to the amended agreement, Mr. Santi will continue to serve as the company's president and COO through Jan. 30, 2024. Mr. Santi will receive a base salary of $363,000 for 2021 and his salary will increase 10% in each subsequent year. About Healthier Choices Headquartered in Hollywood, Florida, Healthier Choices Management Corp. -- http://www.healthiercmc.com-- is a holding company focused on providing consumers with healthier daily choices with respect to nutrition and other lifestyle alternatives. Healthier Choices reported a net loss of $3.72 million for the year ended Dec. 31, 2020, compared to a net loss of $2.80 million for the year ended Dec. 31, 2019. As of Dec. 31, 2020, the Company had $11.87 million in total assets, $9.62 million in total liabilities, and $2.26 million in total stockholders' equity. HERC HOLDINGS: S&P Upgrades ICR to 'BB-' on Improved Debt Leverage ------------------------------------------------------------------ S&P Global ratings raised its issuer credit rating on HERC Holdings Inc. to 'BB-' from 'B+'. At the same time, S&P also raised its senior secured debt rating on the company's asset-based revolving credit facility to 'BB+' from 'BB' and the rating on the company's senior unsecured notes to 'BB-' from 'B+'. S&P said, "The stable outlook reflects our view that, although the company could experience lingering challenging conditions as a result of the pandemic-induced recession, we expect it to continue to prudently manage costs and capital spending to maintain leverage below 3.0x. "The upgrade reflects our expectation for the company to sustain its improved debt leverage, which we believe will be supported by the company's financial policies and commitment to maintaining a lower leverage target. Equipment rental revenues were down almost 20% during the worst of the pandemic in the second quarter of 2020, but have shown significant sequential improvement since, with rental revenues down 12.5% and 6.5% in the third quarter and fourth quarter of 2020, respectively. Strong cost-containment actions resulted in S&P Global Ratings' adjusted EBITDA margin growth of approximately 70 basis points in 2020 to about 41%, which we deem above average for equipment rental companies. Herc has demonstrated good margin improvement since its spin out from Hertz about five years ago, but these margins still trail the larger peers in the industry, such as United Rentals Inc. and Ashtead Group PLC, both of whom are in the high-40% area. We believe the company will continue to reduce its costs and close the gap with the peers over the coming years. The company also noted on its fourth quarter 2020 earnings call that it would manage to a target leverage range of 2.0x to 3.0x, as per the company's calculation. Over the next 12-18 months, we expect the company to maintain S&P Global Ratings' adjusted leverage in the 2.5-3x range, which differs slightly from Herc's leverage calculation given that our measure includes other adjustments, such as operating leases. "Herc generated strong free operating cash flow in 2020 by reducing its equipment rental expenditures by more than 50%. Given the improved economic outlook, we expect Herc to increase its capital expenditures (capex) in 2021 to slightly below 2019 levels. Equipment rental companies typically exhibit countercyclical cash flows, significantly reducing equipment purchases during periods of low demand. Specifically, the company generated $456 million of free operating cash flow, by far the highest level since it spun out from the parent company in 2016. Its net capital spending in 2020 was just $193 million, well below the $577 million and $471 million in 2018 and 2019, respectively (figures are S&P adjusted). We believe free operating cash flow could be lower in the coming years as the company increases its spending on equipment. "While the American Rental Association (ARA) is expecting rental revenues to remain relatively flat year-over-year, we believe Herc could beat this due to its focus on its ProSolutions business, which should outperform the overall market. As a result, we expect low-single digit equipment rental growth in 2021, along with improving EBITDA margins. The ProSolutions business rents equipment that is especially useful during emergencies, such as power generators, portable air conditioners, heating, drying and restoration, and pumps. The ProSolutions business had a 22% increase in revenue in the fourth quarter of 2020, and we expect that it will continue to perform well. The ProSolutions and ProContractor businesses now make up 23% of Herc's total original equipment cost (OEC). We believe the specialty segment has a higher margin relative to other equipment types. "We expect the company to increase its penetration through 10-20 greenfields a year, plus bolt on mergers and acquisitions (M&A). Herc recently increased the level of its expected greenfields per year to 10-20, versus its previous expectations of six-10 per a year. This is in addition to bolt-on acquisitions, such as the company's recent acquisition of Houston-based Champion Rentals this year. We view this purchase as in line with the company's strategy of increasing its presence in urban markets where space is at a premium and the trend of rental versus ownership could be greater than the overall market. We believe Herc maintains the flexibility for this type of investment as it does not pay dividends or materially repurchase shares. Herc Maintains good liquidity with ample availability on its revolver and no significant near-term debt maturities. As of Dec. 31, 2020, Herc maintained about $1.4 billion of liquidity, including the availability on its asset-based lending (ABL) revolving credit facility, as well as cash on its balance sheet. We expect the company to generate solid funds from operations (FFO), which supplements its existing liquidity. In addition, the company has relatively few liquidity needs with no expected dividends or share repurchases. The company's $175 million accounts receivable securitization comes due in 2021, but we do not expect the company to have difficulty refinancing it. Beyond next year, the ABL facility comes due in 2024 and its senior notes mature in 2027, providing the company ample flexibility. S&P said, "The stable outlook reflects our view that Herc will continue to manage costs and the business prudently even if faced with continued challenging market conditions over the next 12 months, particularly within certain pockets of commercial construction. We expect the company to operate with debt leverage in the 2x-3x range on an S&P Global Ratings' adjusted basis. "We could lower the rating on Herc if operating performance deteriorates to the point where leverage increases above 3x, particularly in favorable business conditions. We could also lower the rating if the company were to engage in a more aggressive financial policy than we currently expect, such as large acquisitions or shareholder returns, that result in a similar level of increased debt leverage. "Although we view an upgrade as unlikely over the next 12 months, we could consider raising the ratings if the company were to continue to improve its business and generate S&P Global Ratings' adjusted debt to EBITDA of less than 2x, providing ample cushion to withstand earnings volatility through an economic cycle. At the same time, we would expect Herc to maintain prudent risk management, particularly with regards to equipment purchases, such that the company consistently generated positive free cash flow." HERTZ CORP: Kirkland, Pachulski Update List of Noteholder Group --------------------------------------------------------------- In the Chapter 11 cases of The Hertz Corporation, et al., the law firms of Kirkland & Ellis LLP and Pachulski, Stang, Ziehl & Jones LLP submitted a supplemental verified under Rule 2019 of the Federal Rules of Bankruptcy Procedure, to disclose an updated list of Ad Hoc Group that they are representing. A separate, screened K&E team represents the Plan Sponsors. Subject to the foregoing, Counsel does not represent any other entity in connection with these chapter 11 cases, i.e., Counsel is not taking a position before the court or soliciting votes regarding the confirmation of a plan on behalf of any other entity in connection with these chapter 11 cases. As of March 3, 2021, members of the Ad Hoc Group and their disclosable economic interests are: Aristeia Capital, L.L.C. One Greenwich Plaza Greenwich, CT 06830 * 2021 Senior Notes: EUR33,215,000 * 2023 Senior Notes: EUR37,845,000 * Other: ($1,206) 6.25% Notes due 2022 ($3,000) 5.5% Notes due 2024 ($1,370) 6.0% Notes due 2028 Atlas Merchant Capital LLC 5 Welbeck Street London, W1G 9YQ * 2021 Senior Notes: EUR1,300,000 * 2023 Senior Notes: EUR4,500,000 Aurelius Capital Management, LP 535 Madison Avenue 31st Floor New York, NY 10022 * 2021 Senior Notes: EUR9,626,000 * 2023 Senior Notes: EUR48,600,000 * Revolver: $4,994,972 Benefit Street Partners 9 West 57th Street Suite 4920 New York, NY 10019 * 2023 Senior Notes: EUR12,235,000 Carronade Capital, LP 17 Old Kings Highway South Suite 140 Darien, CT 06820 * 2023 Senior Notes: EUR11,000,000 Catalur Capital Management, LP One Grand Central Place 60 East 42nd Street Suite 2107 New York, NY 10165 * 2023 Senior Notes: EUR5,000,000 Centerbridge Partners Europe, LP 10 New Burlington St Mayfair London, W1S 3BJ, UK * 2023 Senior Notes: EUR11,000,000 * $100,000,000 New DIP TL * $39,080,000 6.00% Notes due 2028 * $11,269,000 7.625% Notes due 2022 CTC Alternative Strategies Ltd. 425 S. Financial Place 4th Floor Chicago, IL 60605 * 2023 Senior Notes: EUR10,000,000 DSC Meridian Capital LP 888 Seventh Avenue New York, NY 10106 * 2023 Senior Notes: EUR4,237,000 * Other: $15,000,000 New DIP TL Fortress Investment Group (UK) Limited 7 Clarges Street London, W1J 8AE, UK * 2021 Senior Notes: EUR10,360,000 * 2023 Senior Notes: EUR78,700,000 Goldman Sachs International 25 Shoe Lane Holborn London, EC4A 4AU, UK * 2021 Senior Notes: EUR15,497,000 * 2023 Senior Notes: EUR28,655,000 Hein Park Capital Management LP 888 7th Avenue 4th Floor New York, NY 10106 * 2021 Senior Notes: EUR18,661,000 * $17,570,523 Term Loan * $5,845,766 Revolver * $40,228,000 aggregate Notes * Other: ($7,653,000) 5.5% Notes due 2024 ($21,264,000) 7.125% Notes due 2026 ($16,654,000) 6.0% Notes due 2026 2,249,999 HTZGQ Jefferies 100 Bishopsgate London, EC2N 4JL, UK * 2021 Senior Notes: EUR5,299,000 * 2023 Senior Notes: EUR13,896,000 * $112,614 General Unsecured Claim against THC * Other: ($1,390,000) 5.5% Notes due 2024 ($400,000) 6.250% Notes due 2022 75,000 HTZGQ JH Lane Partners LP 126 East 56th Street 16th Floor New York, NY 10022 * 2021 Senior Notes: EUR3,000,000 * 2023 Senior Notes: EUR2,950,000 * $1,939,000 7.625% Notes due 2022 Lynstone SSF Holdings S.A.R.L. 25 Bank St Canary Wharf London, E14 5JP, UK * 2021 Senior Notes: EUR11,880,000 * 2023 Senior Notes: EUR33,450,000 * $9,000,000 6.00% Notes due 2028 * $2,000,000 7.125% Notes due 2026 Old Bellows Partners LP 660 Madison Avenue 20th Floor New York, NY 10065 * 2023 Senior Notes: EUR650,000 Scoggin Capital Management LLC 660 Madison Avenue 20th Floor New York, NY 10065 * 2023 Senior Notes: EUR3,350,000 * $1,000,000 7.00% Notes due 2028 Serengeti Asset Management, LP 632 Broadway Suite 901 New York, NY 10012 * 2021 Senior Notes: EUR6,000,000 * 2023 Senior Notes: EUR6,500,000 Silver Point Capital, L.P. Two Greenwich Plaza Greenwich, CT 06830 * 2021 Senior Notes: EUR1,850,000 * 2023 Senior Notes: EUR17,800,000 * $5,000,000 New DIP TL * $28,7000,000 Term Loan * $10,000,000 Revolver * $27,643,000 7.625% Notes due 2022 Strategic Value Partners 100 West Putnam Avenue Greenwich, CT 06830 * 2021 Senior Notes: EUR42,000,000 * 2023 Senior Notes: EUR46,121,000 Tresidor Investment Management LLP 55 New Bond St Greater, Mayfair London, W1S 1DG, UK * 2021 Senior Notes: EUR2,550,000 * 2023 Senior Notes: EUR24,797,000 Whitebox Advisors LLC 3033 Excelsior Blvd. Suite 500 Minneapolis, MN 55416 * 2021 Senior Notes: EUR6,797,000 * 2023 Senior Notes: EUR5,230,000 * $1,700,000 6.25% Notes due 2022 * $4,035,000 of 5.5% Notes due 2024 * $2,806,000 7.125% Notes due 2026 * 400,000 HTZGQ Co-Counsel to the Ad Hoc Group can be reached at: PACHULSKI STANG ZIEHL & JONES LLP Laura Davis Jones, Esq. Timothy P. Cairns, Esq. 919 North Market Street, 17th Floor P.O. Box 8705 Wilmington, DE 19899-8705 (Courier 19801) Telephone: (302) 652-4100 Facsimile: (302) 652-4400 E-mail: ljones@pszjlaw.com - and - KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP Patrick J. Nash Jr., Esq. Gregory F. Pesce, Esq. 300 North LaSalle Chicago, IL 60654 Telephone: (312)862-2000 Facsimile: (312) 862-2200 E-mail: patrick.nash@kirkland.com gregory.pesce@kirkland.com A copy of the Rule 2019 filing, downloaded from PacerMonitor.com, is available at https://bit.ly/3t5YTAJ and https://bit.ly/3l3THL1 About Hertz Corp. Hertz Corp. and its subsidiaries -- http://www.hertz.com-- operate a worldwide vehicle rental business under the Hertz, Dollar, and Thrifty brands, with car rental locations in North America, Europe, Latin America, Africa, Asia, Australia, the Caribbean, the Middle East, and New Zealand. They also operate a vehicle leasing and fleet management solutions business. On May 22, 2020, The Hertz Corporation and certain of its U.S. and Canadian subsidiaries and affiliates filed voluntary petitions for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware (Bankr. D. Del. Case No. 20-11218). Judge Mary F. Walrath oversees the cases. The Debtors have tapped White & Case LLP as their bankruptcy counsel, Richards, Layton & Finger, P.A. as local counsel, Moelis & Co. as investment banker, and FTI Consulting as financial advisor. The Debtors also retained the services of Boston Consulting Group to assist the Debtors in the development of their business plan. Prime Clerk LLC is the claims agent. The U.S. Trustee for Regions 3 and 9 appointed a Committee to represent unsecured creditors in Debtors' Chapter 11 cases. The Committee has tapped Kramer Levin Naftalis & Frankel LLP as its bankruptcy counsel, Benesch Friedlander Coplan & Aronoff LLP as Delaware counsel, UBS Securities LLC as investment banker, and Berkeley Research Group, LLC as financial advisor. Ernst & Young LLP provides audit and tax services to the Committee. HILL-ROM HOLDINGS: Egan-Jones Hikes Senior Unsecured Ratings to BB+ ------------------------------------------------------------------- Egan-Jones Ratings Company, on February 22, 2021 upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Hill-Rom Holdings, Inc. to BB+ from BB. Headquartered in Chicago, Illinois, Hill-Rom Holdings, Inc. manufactures equipment for the healthcare industry and provides wound care, pulmonary, and trauma management services. HOSTESS BRANDS: Moody's Completes Review, Retains B1 CFR -------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Hostess Brands, LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Hostess Brands, LLC's, B1 CFR reflects its 1) high financial leverage, 2) moderate scale among consumer goods companies, and 3) the limited growth of the U.S. sweet baked goods industry. Further, the rating also reflects Moody's expectation for a steady pace of acquisitions. These factors are counterbalanced by the company's well-known snack cake brands, high profit margins, very good liquidity and solid free cash flow. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. IDEANOMICS INC: Signs Investment Deal with Energica --------------------------------------------------- Energica Motor Company S.p.A. has signed an investment agreement with Ideanomics, Inc., a company incorporated under the law of Nevada, listed on the Nasdaq, for the subscription of Euro 10,909,091 equal to 64.17% of the share capital increase, with the exclusion of the option right pursuant to article 2441, paragraph 5, of the civ. code, approved by the Board of Directors on March 2, 2021 against the issue of no. 6,128,703 Energica ordinary shares. Upon completion of the subscription of the capital increase, the investor will hold a stake of at least 20% of the Company's share capital. The subscription price was determined at Euro 1.78 per share, as a result of the weighted average of the official price of Energica shares recorded in the six months prior to the execution of the transaction. The settlement of the transaction will take place in the next few days and will be communicated in accordance with the law. "We are proud to be part of this unified platform of which we fully share the vision. The creation of a network of innovative companies can only accelerate the growth and adoption of new technologies such as sustainable mobility that sees us among the leaders. We are confident to make our contribution derived from decades of experience in the field of high-performing electric motorcycles," Energica CEO Livia Cevolini said. "The investment will give further strength to the Energica growth already underway in recent years thanks to the innovations brought to our products within the racing experience in MotoE," the CEO further said. "Energica has combined zero emission EV technology with the pedigree of high-performance mobility synonymous with Italy's Motor Valley to create a range of exceptional products for the high-performance motorcycle market. To support its products, it has developed proprietary EV battery and DC fast-charging in-house that has applications and synergies with our broader interests in the global EV sector. We were very impressed with Livia and her team throughout our discussions, and we are very pleased to support them through their next phase of growth," Ideanomics CEO Alf Poor said. The agreement provides for a 90-day lock-up for the investor and a right of first refusal with respect to any further injections of risk capital into the Company in order to limit the dilution of the investors. In addition, an observer appointed by the investor may attend the meeting of the board of directors. If the assembly approves the proposal to introduce the right to convert ordinary shares into multiple voting shares, the investor will not proceed with the request for registration in the appropriate list. About Ideanomics Ideanomics is a global company focused on the convergence of financial services and industries experiencing technological disruption. Its Mobile Energy Global (MEG) division is a service provider which facilitates the adoption of electric vehicles by commercial fleet operators through offering vehicle procurement, finance and leasing, and energy management solutions under its innovative sales to financing to charging (S2F2C) business model. Ideanomics Capital is focused on disruptive fintech solutions and services across the financial services industry. Together, MEG and Ideanomics Capital provide their global customers and partners with leading technologies and services designed to improve transparency, efficiency, and accountability, and its shareholders with the opportunity to participate in high-potential, growth industries. The company is headquartered in New York, NY, with offices in Beijing, Hangzhou, and Qingdao, and operations in the U.S., China, Ukraine, and Malaysia. Ideanomics reported a net loss of $96.83 million for the year ended Dec. 31, 2019, compared to a net loss of $28.42 million for the year ended Dec. 31, 2018. As of Sept. 30, 2020, the Company had $138.46 million in total assets, $49.33 million in total liabilities, $1.26 million in convertible redeemable preferred stock, $7.37 million in redeemable non-controlling interest, and $80.50 million in total equity. B F Borgers CPA PC, in Lakewood, Colorado, the Company's auditor since 2018, issued a "going concern" qualification in its report dated March 16, 2020, citing that the Company incurred recurring losses from operations, has net current liabilities and an accumulated deficit that raise substantial doubt about its ability to continue as a going concern. JAMES SAMATAS: Durkee Buying West Hollywood Property for $10M ------------------------------------------------------------- James Samatas asks the U.S. Bankruptcy Court for the Northern District of Illinois to authorize the sale of interest in the real and personal property located at 1424 Tanager Way, in West Hollywood, California, to Durkee Living Trust for $10 million. A hearing on the Motion is set for March 15, 2021, at 9:30 a.m. Motion will be presented and heard electronically using Zoom for Government. To appear by video, one can use the link: https://www.zoomgov.com/. Then enter the meeting ID and password. The meeting ID for the hearing is 161 500 0972 and the password is 726993. The meeting ID and password can also be found on the judge’s page on the court's web site. To appear by telephone, call Zoom for Government at 1-669-254-5252 or 1-646-828- 7666. Then enter the meeting ID 161 500 0972 and password 726993. The Objection Deadline is two business days before the hearing date. On March 2, 2021, Debtor obtained a Real Estate Sales Contract with the Buyer. The purchase price under the terms of the Contract is $10 million. Any proposed sale of the Tanager Property by the Debtor is specifically subject to approval by the Court. The Debtor is asking the entry of an Order approving the sale of the Tanager Property to the Buyer pursuant to the terms of the Contract, as may be amended from time to time. The Buyer is a disinterested prospective purchaser, without any financial or business connection to the Debtor or any insider of the Debtor. The Buyer was procured through the marketing efforts of the Debtor. On July 2, 2018, a Judgment of Dissolution of Marriage was entered by the Superior Court of California, County of Los Angeles, in the dissolution of marriage action captioned as, James Samatas, Petitioner v. Carlye Samatas, Respondent, as Case No. BD 604 752, through which Samatas dissolved his marriage to Carlye Samatas, and the parties equalized their personal and real properties in their marital estate. According to the Divorce Decree, Carlye was awarded spousal support in the amount of $1.74 million, payable in equal monthly installments of $20,000. Samatas' obligations for Spousal Support were secured by a second mortgage on the Tanager Property, subordinate to the first mortgage indebtedness of $6.2 million to JPMorgan Chase. Prior to the initiation of the bankruptcy case, Samatas initiated an action against Carlye in the Circuit Court of California, County of Los Angeles captioned as, James Samatas v. Carlye Samatas, Case No. 20 STCV 35064. Through the Complaint that Samatas filed to initiate the Carlye Action, Samatas alleged that Carlye had tortiously interfered with his rights in the Tanager Property. On Feb. 24, 2020, Carlye tendered to Samatas a written notice of default, claiming that Samatas had defaulted in his obligation to pay Carlye the Spousal Support. On May 28, 2020, Carlye filed a notice of default, setting a foreclosure sale of the Tanager Property for Sept. 22, 2020. After the entry of the Divorce Decree and after the recording of the second mortgage of Carlye, Samatas cooperated in the recording of mortgages against the Tanager Property by his attorneys to secure the indebtedness owed to these attorneys: namely, Howard and Howard (owed approximately $30,000), Parker Mills (owed approximately $150,000) and Wolf Wallenstein & Abrams (owed approximately $300,000). Samatas' efforts to procure a purchaser of the Tanager Property at fair market value started in 2019. Prior to obtaining the Real Estate Contract, Samatas showed the Tanager Property to over 100 individuals (not including brokers); but procured only six written offers for the purchase of the Tanager Property ranging from $8.8 million to $9.3 million. The efforts of Samatas to procure a purchaser offering more than $9 million were frustrated by Carlye's efforts to cause a forfeiture of the Tanager Property, including through the Foreclosure Sale. Despite the challenges presented by the Covid pandemic and Carlye's actions, the Debtor was successful in procuring the Contract. The consummation of the proposed sale will result in a final and definitive resolution of the ongoing dispute between the Debtor and Carlye concerning the Tanager Property, and specifically, will result in payment in full of all sums that are due on the mortgage indebtedness encumbering the Tanager Property: meaning, Carlye Samatas ( owed approximately $1.4 million), JP Morgan Chase N. A. (owed approximately $6.2 million), Howard and Howard (owed approximately $30,000), Parker Mills (approximately $150,000), and Wolf Wallenstein & Abrams (owed approximately $300,000). Finally, there will be substantial funds after the satisfaction of the mortgage indebtedness to pay creditors of the estate (approximately $1.3 million). As a condition of the sale, any Sale Order will provide that the sale is being made free and clear of all claims of creditors in the bankruptcy case. The Debtor submits that such a provision is justified. He will serve notice of the Sale Hearing on all creditors and other parties in interest in the estate. He does not anticipate any opposition from creditors because the purchase price equals the fair market value of the Tanager Property, achieved after a substantial marketing effort of the Tanager Property. The Debtor is asking to shorten the notice period set forth in Federal Rule of Bankruptcy Procedure 2002 for good cause. He cannot allow Durkee Living Trust any excuse for terminating the excellent offer, which was so difficult to procure. Based on the reasons set forth in the Motion, the Debtor respectfully requests that the Court enters an Order approving the sale of the Tanager Property to Durkee Living Trust pursuant to the Contract and enter an Order directing the payment to the creditors holding valid mortgages encumbering the Tanager Property at the closing of the sale of the property in satisfaction of their secured claims. A copy of the Contract is available at https://tinyurl.com/4mcas3yp from PacerMonitor.com free of charge. James Samatas sought Chapter 11 protection (Bankr. N.D. Ill. Case No. 20-17355) on Sept. 21, 2020. The Debtor tapped Marvin Miller, Esq., as counsel. JFK HEATING: Files Emergency Bid to Use Cash Collateral ------------------------------------------------------- JFK Heating & Cooling, LLC asks the U.S. Bankruptcy Court for the Southern District of Ohio, Western Division, for authority to, among other things, use cash collateral and provide adequate protection. The Debtor requires use of cash collateral in order to continue funding its necessary business expenses and to fund the costs associated with the administration of the Chapter 11 Case. The Debtor commenced the case with the goal of restructuring its secured and unsecured debt in such a manner that provides maximum return to the creditor constituents while maintaining operations. The Debtor will require the use of cash collateral, which the Debtor believes is subject to the following liens, in the following priority: Lien Position Creditor Filing Details Debt Amount First Small Business Administration Filed 5/18/2020 $150,000 (EIDL) OH00240021216 Second First Corporate Solutions, as Filed 10/14/2020 $70,643.87 Representative OH00247182718 Third Retail Capital dba Credibly Filed 10/16/2020 $89,714.54 OH00249283421 Fourth Idea 247, Inc. Filed 1/12/2021 $65,864.77 OH00247272264 The Debtor entered into a certain loan wherein the SBA is the current first position lender of record. The Loans are secured by a security interest in any and all items which may be subject to a security interest under the Uniform Commercial Code. The Prepetition Collateral includes the cash collateral of the Debtor. As of the date of the Motion, the first position lender, the SBA, has not consented to the Debtor's use of its Cash Collateral. There are four creditors with six loans secured by the Debtor's assets, not including vehicles. The Cash Collateral of the Debtor, includes: Bank Balances $37,309.02 Accounts Receivable $38,581.39 Total $75,890.41 To the best of the Debtor's knowledge, the Loans of the SBA are far in excess of the value of the Prepetition Collateral, including the Cash Collateral. Adequate Protection is provided to SBA since the Debtor will make monthly payments towards the Loans – by making payments on the EIDL, and pursuing forgiveness of the PPP loans. The Debtor also proposes to grant adequate protection to SBA by only spending cash collateral in accordance with its proposed budget and by making reports to the SBA. The Debtor also proposes to re-grant pre-petition security interests. A copy of the motion is available at https://bit.ly/30rUVX5 from PacerMonitor.com. About JFK Heating & Cooling, LLC JFK Heating & Cooling, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ohio Case No. 3:21-bk-30341 ) on March 8, 2021. In the petition signed by Jason Kirby, member, the Debtor disclosed up to $500,000 in assets and up to $10 million in liabilities. Patricia J. Friesinger, Esq. at Coolidge Wall Co., L.P.A is the Debtor's counsel. JVA Operating: Seeks Use of Frost Bank's Cash Collateral -------------------------------------------------------- JVA Operating Company, Inc. and affiliates ask the U.S. Bankruptcy Court for the Western District of Texas, Midland Division for authority to, among other things, use the cash collateral of Frost Bank and provide adequate protection. The Debtors require the use of cash collateral to pay employees and taxes as well as to pay for ordinary operational expenses. Problems in production coupled with a decline in oil and gas prices resulted in operating deficits. After a prolonged attempt to sell the assets of the companies, the Debtors, together with other non-debtor working interest owners, were able to negotiate a Purchase and Sale Agreement with TOMS OIL, LLC, subject to a Section 363 sale process in the Court. Following commencement of the cases, the Debtors plan to immediately file a motion to sell substantially all assets of the three debtors to TOMS OIL, LLC subject to Court approval and appropriate notice to creditors and parties in interest. An agreement has been negotiated and the parties are in the due diligence phase. Prior to the Petition Date, the Debtors granted prepetition liens and security interests to Frost Bank, including cash collateral, under these documents: -A renewal and extension Loan Agreement, dated as of August 10, 2020, effective on July 31, 2020, by and between Guadalupe Energy, LTD, as borrower, Jerry V. Atkinson, G-7 Family Limited Partnership, JVA Operating Company, Inc., and Manzanita Corporation, as guarantors, and Frost Bank, as lender; -A renewal and extension Promissory Note, dated as August 10, 2020, effective on July 31, 2020, by and between Guadalupe Energy, LTD, as borrower, and Frost Bank, as lender, in the principal amount of $278,629.29; -A guaranty, dated as of August 10, 2020, effective on July 31, 2020, by JVA Operating Company, Inc., as guarantor, for the benefit Frost Bank, as lender; -A Guaranty, dated as of August 10, 2020, effective on July 31, 2020, by Manzanita Corporation, as guarantor, for the benefit Frost Bank, as lender; -A Deed of Trust, Mortgage, Security Agreement, Assignment of Production and Financing Statement, dated as of September 24, 2015, effective on August 16, 2015, by and between JVA Operating Company, Inc., Manzanita Corporation, and Guadalupe Energy, LTD, as grantors, and Frost Bank, as beneficiary; -A Deed of Trust, Mortgage, Line of Credit Mortgage, Assignment of Rents, Security Agreement, Fixture Filing, and Financing Statement, dated as of November 16, 2016, effective on August 16, 2016, by and between Frost Bank, as mortgagee, and JVA Operating Company, Inc., as mortgagor; -UCC Financing Statement 10-0021947357 and related documents, filed by Frost Bank on July 29, 2010; -UCC Financing Statement 10-0021947115 and related documents, filed by Frost Bank on July 29, 2010; and -UCC Financing Statement 10-0021947236 and related documents, filed by Frost Bank on July 29, 2010. To secure each of the Frost Bank Loan Documents, each respective Debtor granted Frost Bank security interests in personal property as defined in the security agreements between Frost Bank and each Debtor, including certain cash collateral. As adequate protection for the use of Frost Bank’s Cash Collateral, the Debtors propose to grant Frost Bank continuing, valid, automatically perfected nonavoidable and enforceable replacement liens in and upon all of the assets of the Debtors. The Replacement Liens are valid, perfected, enforceable, and effective as of the date of the entry of the Interim Order without further action by the Debtors or Frost Bank, and without the necessity of the execution, filing, or recordation of any financing statements, security agreements, mortgages, or other documents. The Replacement Liens will have the same priority as existed on the Petition Date. A copy of the motion is available at https://bit.ly/3btYbat from PacerMonitor.com. About JVA Operating Company, Inc. JVA Operating Company, Inc., a Texas corporation, was incorporated in 1987. JVA operates wells in Nolan, Coke, and Runnels Counties, Texas. JVA owns working interest in wells in Nolan and Coke Counties, and Manzanita Corporation, a wholly-owned subsidiary of JVA, owns working interests in wells in Coke County, Texas. Guadalupe owns 37.5% of two subsidiaries: Noramco Production, LLC, a Texas limited liability company and Double Eagle Oilfield Services, LLC, a Texas limited liability company. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Court (Bankr. W.D. Tex. Case No. 21-70028) on March 5, 2021. In the petition signed by Jerry V. Atkinson, president, the Debtor disclosed up to $10 million in both assets and liabilities. Michael McConnell, Esq. at Kelly Hart & Hallman LLP represents the Debtor as counsel. KATHLEEN ELIZABETH BELL: Eakin Buying Las Vegas Property for $285K ------------------------------------------------------------------ Kathleen Elizabeth Bell asks the U.S. Bankruptcy Court for the District of Nevada to authorize the sale of the real property located at 6560 Beacon Road, in Las Vegas, Nevada, to Gerald M. Eakin for $285,000. Listed on the Debtor's Schedules and Statements is the Property and is more particularly described on the Preliminary Title Report. The Debtor wishes to sell the Property to the Buyer. The terms of said sale are set forth on the Residential Purchase Agreement. The purchase price of the property will be $285,000. The value of the property is substantiated by an appraisal conducted on Feb. 4, 2021. The appraisal value of the home is $285,000. The sale will result in payment of all commissions, fees, escrow and title charges as customary. The sale is free and clear of all liens under both Sections 363(t)(3) and (i)(4), including the following: a. Amount: $96,000 Dated: Feb. 26, 2003 Trustor/Grantor: Kathleen Bell, an unmarried woman Trustee: California Reconveyance Co. Beneficiary: Washington Mutual Bank FA a Federal Association Recording Date: Feb. 26, 2003 Recording No.: The Deed of Trust recorded as instrument #20030226-901 of Official Records was assigned to JPMorgan Chase Bank, NA by instrument recorded as instrument #20130227-456 of Official Records. The Deed of Trust recorded as instrument #20030226-901 of Official Records was assigned to MTGLO, L.P. by instrument recorded as instrument #20160217-467 of Official Records. b. Amount: $87,000 Dated: May 24, 2004 Trustor/Grantor: Kathleen Bell, an unmarried woman Trustee: 6700 Corp., a California Corporation Beneficiary: GB Home Equity LLC, a Wisconsin Limited Liability Company Recording Date: June 15, 2004 Recording No.: The Deed of Trust recorded as Instrument #20040615-3841 of Official Records was assigned to Old Republic Insurance Co. by instrument recorded as Instrument #20101207-1615 of Official Records c. Amount: $25,000 Dated: Aug. 5, 2002 Trustor/Grantor: Kathleen Bell, an unmarried woman Trustee: Nevada Title Co. Beneficiary: Community One Federal Credit Union Recording Date: Aug. 9, 2002 Recording No.: The Deed of Trust recorded as Instrument #20020809-81 of Official Records recites that it is subordinate to the Deed of Trust recorded concurrently therewith. d. Amount: $99,144.21 Dated: March 31, 2009 Trustor/Grantor: Kathleen Bell, an unmarried woman Trustee: Wells Fargo Bank Beneficiary: Wells Fargo Bank Recording Date: July 12, 2010 Recording No.: Recorded as Instrument #20100720001408 of Official Records It is to clarify that the sale is "free and clear of liens" including any disputed payoffs by MTGLQ Investors, LP, its assignees and/or successors, by and through its servicing agent Rushmore Loan Management Services, LLC. The correct balance due under the Plan is approximately $40,000. The Debtor is in jeopardy of losing the sale if delay ensues. The Debtor asks the Court issues an order specifying that the sale is free and clear of Rushmore Loan Management Services, LLC's lien under Section 363(f)(3). In addition, the sale is "free and clear of liens" including any disputed payoffs by Old Republic Insurance. The correct balance due under the Plan is approximately $9,500. The Debtor is in jeopardy of losing the sale if delay ensues. It asks the Court issues an order specifying that the sale is free and clear of Old Republic Insurance's lien under Section 363(f)(3). All proceeds will be sent to the Attorney for the Debtor. The Debtor's Attorney will then disburse the necessary amount to pay Rushmore Loan Management Services, LLC and Old Republic Insurance's Lien and the balance of the plan in full. The Trustee will then disburse funds to any unpaid creditor under the plan. All remaining proceeds will be returned to the Debtor. The actual payoff to Rushmore Loan Management Services, LLC and Old Republic Insurance will be in accordance with the most recent settlement, subject to objection by the Debtor. The ultimate disbursement to Rushmore Loan Management Services, LLC and Old Republic Insurance will result in the free and clear release of Rushmore Loan Management Services, LLC and Old Republic Insurance's lien and that the lien of deed of trust has been transferred to the proceeds. The sale is in the best interest of the Debtor because it will permit her to maintain and preserve equity in the property which she would be otherwise unable to preserve, thereby benefiting the estate. The attorney's fees to Thomas E. Crowe Professional Law Corp., in the amount of$4,000, will be paid from funds from the sale of the house. The Debtor asks that the Court waives the 14-day appeals process if there is no objection to the sale. All proceeds will be turned over to the attorney for the Debtor in trust to be used to complete her Plan obligations, including administrative, secured and unsecured debt. Finally, the Debtor asks the Court orders that the unsecured Judgment Liens of Wells Fargo Bank and Community One Federal Credit Union is avoided in its entirety. A copy of the Contract is available at https://tinyurl.com/6tn9yamw from PacerMonitor.com free of charge. Kathleen Elizabeth Bell sought Chapter 11 protection (Bankr. D. Nev. Case No. 10-22685) on July 7, 2010. The Debtor's Chapter 11 Plan was confirmed on June 13, 2011. KC CULINARTE: Moody's Completes Review, Retains B3 CFR ------------------------------------------------------ Moody's Investors Service has completed a periodic review of the ratings of KC Culinarte Intermediate, LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on March 1, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations KC Culinarte Intermediate, LLC's B3 CFR is constrained by its 1) small scale, 2) high product concentration and 3) high financial leverage. These factors are counterbalanced against a fundamentally stable business profile characterized by modest sales growth potential, capacity to generate attractive EBITDA margins in the teens, and typically good cash flow conversion. Additionally, the company's business profile is supported by favorable long-term consumer demand trends toward fresh, high quality foods and by its long relationships with a diversified core customer base. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. KENAN ADVANTAGE: Moody's Puts Caa1 CFR Under Review for Upgrade --------------------------------------------------------------- Moody's Investors Service rated Kenan Advantage Group, Inc.'s proposed maturity extension on its first lien senior secured credit facilities to 2026 from 2022, consisting of a $1 billion senior secured term loan and an upsized senior secured revolving credit facility of $150 million at B2, and placed the Caa1 corporate family rating, Caa1-PD probability of default rating and Caa3 senior unsecured bonds under review for upgrade. There is no rating action on the company's existing B3 senior secured credit facilities, which are expected to be withdrawn upon close of the transaction. The outlook was revised to ratings under review from negative. Upon completing of the proposed amend and extension, the corporate family rating will be upgraded to B3 from Caa1, the probability of default rating will be upgraded to B3-PD from Caa1-PD and the senior unsecured bonds will be upgraded to Caa2 from Caa3. The outlook will be stable. The proposed upgrade of the ratings reflects that this transaction addresses refinancing risk, which had weighed heavily on the rating, and addresses liquidity by putting in place a larger revolving credit facility. Additionally, the action considers the company's improved operating profile, based on stronger cash flow generation, stemming from permanent cost reductions, improved efficiency, and better than expected credit metrics. RATINGS RATIONALE The ratings consider Kenan's position as a leading provider of liquid bulk transportation services in North America with a broad presence across the United States and Canada, which facilitates strong customer relationships and a reliable dedicated contract carriage model. The company recently achieved meaningful administrative cost reductions by consolidating certain operations and utilizing technology to gain efficiencies. Those efforts, together with significant investments in the truck fleet over the past years that have yielded cost savings, enabled Kenan to expand margins and bolster cash flow generation in 2020. Moody's expects some margin contraction in 2021 as some costs return and the company spends money on recruiting and training drivers as volumes recover, after being pressured by the economic impact of Covid-19 in 2020. Moody's expects debt-to-EBITDA (inclusive of Moody's standard adjustments) to remain below 6 times in 2021 in the absence of debt-funded acquisitions. Although leverage is elevated, it has decreased from prior years and is expected to continue to improve in the near term. Moody's expects Kenan's EBITA margin to approximate the mid-6% levels in 2021, slightly below 2020 margins due to headwinds from costs required to ramp up the business to meet expected rising demand, especially in the fuel delivery business. These margins represent an improvement from prior years. As an operator of heavy-duty trucks with diesel engines, Kenan is exposed to the environmental risk that emission regulations will become more stringent, which could result in higher engine costs. Furthermore, the company faces corporate governance risks given private equity ownership and its acquisitive nature, which could further constrain the metrics if acquisitions are funded with debt. Liquidity is adequate. Moody's expects positive free cash flow (cash flow from operations minus capital expenditures minus dividends) in 2021, albeit more moderate than in 2020 due to the return to more normal levels of capital expenditures after capital investments were substantially reduced to shore up liquidity amidst the pandemic. The liquidity profile would benefit from the proposed refinancing that extends maturities of the term loan and revolving credit facility to 2026, as well as from the upsized revolver. Pro forma for the transaction, availability under the revolver approximates $80 million, net of letters of credit. Moody's expects the company's cash balance to stand close to $90 million in 2021, in the absence of acquisitions. On Review for Possible Upgrade: Issuer: Kenan Advantage Group, Inc. Corporate Family Rating, Placed on Review for Upgrade, currently Caa1 Probability of Default Rating, Placed on Review for Upgrade, currently Caa1-PD Senior Unsecured Regular Bond/Debenture, Placed on Review for Upgrade, currently Caa3 (LGD5) Assignments: Issuer: Kenan Advantage Group, Inc. Gtd Senior Secured Revolving Credit Facility, Assigned B2 (LGD3) Gtd Senior Secured Term Loan B, Assigned B2 (LGD3) Issuer: Kenan Canada GP Gtd Senior Secured Revolving Credit Facility, Assigned B2 (LGD3) Outlook Actions: Issuer: Kenan Advantage Group, Inc. Outlook, Changed To Rating Under Review From Negative Kenan is a provider of liquid bulk transportation and logistics services to the fuels, chemicals, liquid food and merchant gas markets. Kenan offers transportation services throughout the U.S. and in Canada using primarily a dedicated contract carriage model. Revenues were approximately $1.6 billion for year ended December 31, 2020. Kenan is owned by OMERS Private Equity, a manager of the private equity investments of Canadian pension fund, Ontario Municipal Employees Retirement System (OMERS). The principal methodology used in these ratings was Surface Transportation and Logistics published in May 2019. KLAUSNER LUMBER ONE: Committee Taps Faegre Drinker as Counsel ------------------------------------------------------------- The official committee of unsecured creditors appointed in Klausner Lumber One, LLC's Chapter 11 case seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Faegre Drinker Biddle & Reath, LLP as its legal counsel. Faegre Drinker will render these legal services: (a) assist the committee in its consultations with the Debtor regarding its reorganization; (b) review and analyze all applications, motions, orders, statements of operations and schedules filed with the court by the Debtor or third parties, advise the committee as to their propriety, and take appropriate action after consultation; (c) prepare legal papers; (d) represent the committee at court hearings and communicate with the committee regarding the issues raised as well as the decisions of the court; and (e) perform other legal services for the committee, which may be required in the Debtor's Chapter 11 proceeding. Richard Bernard, Esq., and Elizabeth Little, Esq., the firm's attorneys who are anticipated to represent the committee, will charge $1,150 per hour and $570 per hour, respectively. Faegre Drinker will seek reimbursement for expenses. Richard Bernard, Esq., a partner at Faegre Drinker, disclosed in a court filing that the firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Richard J. Bernard, Esq. Faegre Drinker Biddle & Reath LLP 1177 Avenue of the Americas, 41st Floor New York, NY 10036 Telephone: (212) 248-3263 Facsimile: (212) 248-3141 Email: richard.bernard@faegredrinker.com About Klausner Lumber One Klausner Lumber One, LLC is a privately-held company in the lumber and plywood products manufacturing industry. It is 100% owned by non-debtor Klausner Holding USA, Inc. Klausner Lumber One sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 20-11033) on April 30, 2020. At the time of the filing, Debtor disclosed assets of between $100 million and $500 million and liabilities of the same range. Judge Karen B. Owens oversees the case. The Debtor has tapped Westerman Ball Ederer Miller Zucker & Sharfstein, LLP as its bankruptcy counsel; Morris, Nichols, Arsht & Tunnell, LLP as local counsel; Asgaard Capital, LLC as restructuring advisor; and Cypress Holdings, LLC as investment banker. The Office of the U.S. Trustee appointed a committee to represent unsecured creditors in the Debtor's Chapter 11 case. The committee tapped Foley & Lardner LLP and Faegre Drinker Biddle & Reath LLP as its counsel. KNOLL INCORPORATED: Egan-Jones Lowers Sr. Unsecured Ratings to BB- ------------------------------------------------------------------ Egan-Jones Ratings Company, on February 26, 2021 downgraded the foreign currency and local currency senior unsecured ratings on debt issued by Knoll, Inc. to BB- from BB. EJR also downgraded the rating on commercial paper issued by the Company to B from A2. Headquartered in East Greenville, Pennsylvania, Knoll, Inc. designs and manufactures branded office furniture products and textiles. KUM GANG: Voluntary Chapter 11 Case Summary ------------------------------------------- Debtor: Kum Gang, Inc. 13828 Northern Blvd Flushing, NY 11354-3406 Business Description: Kum Gang, Inc. operates a restaurant, a banquet hall and catering business. Chapter 11 Petition Date: March 3, 2021 Court: United States Bankruptcy Court Eastern District of New York Case No.: 21-40557 Debtor's Counsel: H Bruce Bronson, Esq. BRONSON LAW OFFICE, P.C. 480 Mamaroneck Ave Harrison, NY 10528-1621 Tel: (877) 385-7793 E-mail: hbbronson@bronsonlaw.net Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Ji Sung Yoo, president. 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/ENQURHY/Kum_Gang_Inc__nyebke-21-40557__0001.0.pdf?mcid=tGE4TAMA KYLE KINCAID WILLIAMS: Farrises Selling Baytown Property for $450K ------------------------------------------------------------------ Penney Elaine Farris and Matthew Farris, and Patrick Farris, Defendants in Kyle Kincaid Williams' adversary proceeding, ask the U.S. Bankruptcy Court for the Southern District of Texas to authorize the sale of the real property located at 9706 Ellen Street, in Baytown, Chambers County, Texas, to Juan Lucatero for $450,000. Objections, if any, must be filed within 21 days of the date the Motion was served. The Property was owned by Gary Laughlin, against which Plaintiff Kyle Kincaid Williams filed an abstract of judgment. Gary Laughlin sold the Property to Ken and Penney Farris in April of 2015. Plaintiffs Kyle Kincaid Williams and Renee Arcemont Williams contend that the judgment lien against Gary Laughlin attached to the Property and that the Property is rightfully theirs. The Farris Defendants contend that the Property was Gary Laughlin's homestead and they took the Property free of Kyle William's Judgment. The Farris Defendants currently have a pending Motion for Summary Judgment on the issue of whether the Property was Gary Laughlin's homestead. They also have a buyer that is willing and able to purchase the Property and they would like to sell the Property. The Purchase price is $450,000 pursuant to One to Four Family Residential Contract (Resale). The parties agree that the property should be sold and further agree that that the proceeds from the sale of the property should be deposited in the Court's registry less the broker fees and other closing costs allocated to the seller in the sales contract attached as Exhibit 1 and Exhibit 2 to the Motion. For these reasons, the Farris Defendants respectfully ask that the Court (1) orders the Property to be sold; and (2) orders the funds from the sale less the brokerage fees and other closing costs allocated to the seller in the sales contract be deposited in the Court's Registry. A copy of the Contract is available at https://tinyurl.com/jpcjdh6f from PacerMonitor.com free of charge. Counsel for Debtor: Anthony P. Brown, Esq. MCLEOD, ALEXANDER, POWEL & APFFEL, P.C. 802 Rosenberg - P.O. Box 629 Galveston, TX 77553 Telephone: (409) 763-2481 Facsimile: (409) 762-1155 E-mail: apbrown@mapalaw.com - and - H. Brad Parker, Esq. H. BRAD PARKER, P.C 2180 North Loop West #510 Houston, TX 77018 Telephone (713) 892-5588 Facsimile (713) 892-5598 The bankruptcy case is In re: Kyle Kincaid Williams, Case 19-32784-H3-13 (Bankr. S.D. Tex.). LAMB WESTON: Moody's Completes Review, Retains Ba1 CFR ------------------------------------------------------ Moody's Investors Service has completed a periodic review of the ratings of Lamb Weston Holdings, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Lamb Weston's Ba1 CFR reflects the company's leading North America market position and top-tier global market position in value-added frozen potato products, a category with attractive operating profit margins and good global growth prospects. Further, the rating is supported by the company's established track record of stable operating performance and moderate financial leverage. However, the rating is constrained by its narrow business focus, relatively high customer and supply concentrations. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. LAUREATE EDUCATION: Moody's Completes Review, Retains B1 CFR ------------------------------------------------------------ Moody's Investors Service has completed a periodic review of the ratings of Laureate Education, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Laureate Education, Inc.'s B1 corporate family rating reflects its moderate leverage and strong position in the for-profit education sector primarily in Latin America. The company benefits from unfilled demand for higher education, where there is a large earning-ability premium that can be achieved by its graduates. Laureate's rating considers regulatory risk, exposure to foreign currency risk and localized macro-economic exposure potentially impacting tuition revenue in the event of a downturn. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. LE JARDIN HOUSE: Edelkopfs Buying Bay Harbor Island Asset for $795K ------------------------------------------------------------------- Le Jardin House, LLC, asks the U.S. Bankruptcy Court for the Southern District of Florida to authorize the sale of the real property located at 1150 102nd Street, Unit 404, in Bay Harbor Island, Florida, to Levi Edelkopf and Shterna S. Edelkopf for $795,000. The Debtor is the owner of the Property, and is also the developer of a 30-unit condominium project located on the Property commonly referred to as Le Jardin Residences. Prior to the Petition Date, Unit 404 was under contract to be sold to Titan LJ, LLC and/or assigns ("Original 404 Buyer"). On Aug. 9, 2019, the Debtor filed a motion asking authority to Sell Unit 404 to the Original 404 Buyer. On Sept. 16, 2019, the Court entered an Agreed Final Order Approving the Sale Motion in its entirety with respect to Unit 404 for the purchase price of $757,190. For a variety of reasons, the Debtor and the Original 404 Buyer have not closed on the sale of Unit 404. The Debtor now asks authority to sell Unit 404 to the New 404 Buyers for $795,000 in accordance with the Confirmed Plan and to refund the Original 404 Buyer's deposit from the sale proceeds. On Feb. 5, 2020, the Court entered the Confirmation Order. Since then, the Debtor has actively marketed units within the Property. Unfortunately, due to the Covid-19 pandemic, sales have not closed as anticipated. Nevertheless, the Debtor brings before the Court a proposal to sell a unit consistent with the Confirmed Plan in the best interests of all constituencies. The Confirmed Plan and Confirmation Order specifically contemplate post-confirmation unit sales and the Court's retention of jurisdiction to enter orders approving same. The Confirmed Plan and Confirmation Order provide the Debtor authority to close on the sale contemplated. It files the Motion out of an abundance of caution and to help facilitate the closing the sale of Unit 404 to the New 404 Buyer pursuant the Purchase Agreement. The proposed sale of Unit 404 to the New 404 Buyers will be free of the liens, claims, and encumbrances and facilitates the implementation of the Confirmed Plan. Sound business reasons justifying the sale of Unit 404 to the New 404 Buyer. These reasons include, among others, that the sale will generate significant funds to paydown its secured creditor, resolve payment obligations with respect to two outstanding settlement agreements, and provide a modest distribution to unsecured creditors. The Debtor believes the purchase price of Unit 404 is reflective of the market value. The Debtor proposes to sell Unit 404 to the New 404 Buyers, a third-party that is not an insider of the Debtor. The New 404 Buyers intend to purchase Unit 404 for its market value which was negotiated at arms'-length. The Debtor requests authority to execute all documents and pay all expenses necessary to close on the sale of Unit 404, including, but not limited to, secured creditors, any fees due, documentary stamps (should not be required) and any other items that normally appear on a closing statement, or that will appear on the closing statement. The net proceeds of the sale of Unit 404 will be distributed pursuant to the priority scheme of the Confirmed Plan, and secured creditors’ distributions will be included in the closing statement and distributed at the closing to the appropriate secured creditor by the closing agent. Exhibit B draft closing statement4 reflecting the distribution of sale proceeds, including the fees and costs associated with the proposed sale. Notably, the proposed distributions include, among other things: (i) a refund to the Original 404 Buyer of its deposit in the amount of approximately $378,595; (ii) payment to DevStar in the amount of $3,445.21; (iii) paydown of the secured mortgage to Titan Capital ID LLC in the approximate amount of $378,595; and (iv) payment to ItalKraft LLC in the amount of $6,049.49. A copy of the Agreement is available at https://tinyurl.com/2acj3cxa from PacerMonitor.com free of charge. About Le Jardin House Le Jardin House, LLC is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). Le Jardin is the fee simple owner of a property located at 1150 102nd St., Bay Harbor Island, Fla., valued by the company at $26.21 million. Le Jardin House sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 19-19182) on July 11, 2019. At the time of the filing, the Debtor disclosed $27,490,523 in assets and $7,167,406 in liabilities. The case is assigned to Judge Robert A. Mark. Edelboim Lieberman Revah Oshinsky PLLC is the Debtor's bankruptcy counsel. On Feb. 5, 2020, the Court confirmed the Debtor's Plan of Reorganization. LINDA M. ARMELLINO: Foster Buying 3 Alexandria Townhouses for $1.8M ------------------------------------------------------------------- Linda M. and Michael J. Armellino ask the U.S. Bankruptcy Court for the Eastern District of Virginia to authorize the sale to Thomas Foster and/or Foster Consulting, Inc. for $1,795,000, pursuant to a contract dated Feb. 22, 2021, with Addendums, of the properties known as 206, 208, and 210 Queen Street, in Alexandria, Virginia 22314, with the Tax ID Numbers 065.03-09-04, 065.03-09-05, and 065.03-09-06, and otherwise described as: Lot 500 of AWS Subdivision, as shown on a plat of a subdivision prepared by John A. Kephart, dated Nov. 2, 1976, and recorded March 10, 1977, In Deed Book 851 at Page 133, among the records of the City of Alexandria, Virginia, and Lots 501 and 502, of AWS Subdivision, as shown on a plat of subdivision prepared by John A. Kephart, dated Nov. 2, 1976 and recorded March 10, 1977 in Deed Book 851 at page 133, among the land records of the City of Alexandria, Virginia. The properties are three townhouses, located side by side, and sharing connected internal spaces which were most recently used for the Bilbo Baggins restaurant. The Debtors propose selling the properties to the Buyer for $1,795,000, pursuant to their Contract. There is a real estate commission incurred in the transaction of 5.5% of the sales price, or $98,725, to be apportioned between the Sellers' and the Buyer's agents, Century 21 Commercial New Millennium and Proplocate Realty, LLC. The sales transaction includes the sale of restaurant equipment, fixtures, and other property owned by Armac, Inc., as described in the contract, and located in the properties. Since Armac, Inc. is a corporation owned solely by the debtor, Michael J. Armillino, it is also appropriate to seek the Court's authority in this motion for the sale of its property. While the apportionment of the sale proceeds between the debtors and Armac is to be determined prior to the sale, all of the proceeds will be used to pay the claims secured by the properties and the balance will be placed into the Debtors' DIP account. The properties are encumbered by two liens which will be paid at settlement: one arising out a series of mortgage notes and a judgment in favor of Burke and Herbert Bank with a balance of approximately $1,232,521.41 (Proof of Claim No.7), and a property tax lien held by the City of Alexandria in the amount of $52,808 (Proof of Claim 3). While the Debtors expect the property tax to increase slightly by the time of sale, the net proceeds which will come from the proposed sale exceed total of all liens on the property. The value received from the sale is appropriate, the Contract was acquired after a reasonable marketing effort, and is the best result the commercial sales agent believes will be obtained. The proposed sale is in the best interest of the estate since it represents the greatest value to the estate and to the creditors which may be derived from the properties. A copy of the Contract is available at https://tinyurl.com/6cact2y6 from PacerMonitor.com free of charge. LLinda M. and Michael J. Armellino sought Chapter 11 protection (Bankr. E.D. Va. Case No. 20-12475) on Nov. 6, 2020. The Debtors tapped Richard Hall, Esq., as counsel. MAJESTIC HILLS: Plan Exclusivity Period Extended to May 17 ---------------------------------------------------------- Judge Gregory L. Taddonio of the U.S. Bankruptcy Court for the Western District of Pennsylvania, extended Majestic Hills, LLC's exclusive right to file a disclosure statement and chapter 11 plan to May 17, 2021. Judge Taddonio also extended the Debtor's exclusive right to obtain acceptance of the plan to July 15, 2021. About Majestic Hills Majestic Hills, LLC, a privately held company that owns property in Pennsylvania, filed a Chapter 11 petition (Bankr. W.D. Pa. Case No. 20-21595) on May 21, 2020. Majestic Hills operated as the developer of the Majestic Hills residential development pursuant with a Lot Purchase Agreement with NVR, Inc. d/b/a Ryan Homes. The petition was signed by Joseph DeNardo, its manager. At the time of filing, the Debtor was estimated to have $1 million to $10 million in assets and liabilities. Judge Gregory L. Taddonio oversees the case. The Debtor tapped Donald R. Calaiaro, Esq., at Calairo Valencik as counsel and Dingess, Foster, Luciana, Davidson & Chleboski LLP as its special counsel. The official committee of unsecured creditors appointed in the Debtor's Chapter 11 case has tapped Leech Tishman Fuscaldo & Lampl, LLC as its legal counsel. MATRIX INTERNATIONAL: Case Summary & 19 Unsecured Creditors ----------------------------------------------------------- Debtor: Matrix International Textile, Inc. DBA Nemax 1363 South Bonnie Beach Place Los Angeles, CA 90023 Chapter 11 Petition Date: March 10, 2021 Court: United States Bankruptcy Court Central District of California Case No.: 21-11893 Judge: Hon. Deborah J. Saltzman Debtor's Counsel: Raymond H. Aver, Esq. LAW OFFICES OF RAYMOND H. AVER A PROFESSIONAL CORPORATION 10801 National Boulevard, Suite 100 Los Angeles, CA 90064 Tel: (310) 571-3511 E-mail: ray@averlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Kourosh Neman, president. A copy of the Debtor's list of 19 unsecured creditors is available for free at: https://www.pacermonitor.com/view/EWOK2YA/Matrix_International_Textile_Inc__cacbke-21-11893__0002.0.pdf?mcid=tGE4TAMA A copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/EINVIQY/Matrix_International_Textile_Inc__cacbke-21-11893__0001.0.pdf?mcid=tGE4TAMA MERCURITY FINTECH: Appoints Two New Members to Board of Directors ----------------------------------------------------------------- Cong Huang and Liu Hao have been appointed to Mercurity Fintech Holding Inc.'s Board of Directors. This change in the Board's composition was put into effect on March 4, 2021. Mr. Cong Huang is a renowned researcher and entrepreneur in financial technology innovation. After receiving the PhD degree in Statistics from Yale University, he worked at Columbia University as an assistant professor in the Statistics Department, conducting research focused on algorithms and implementations in data mining. After a period of time, he decided to leave campus to develop his career in financial innovation and technology. At Goldman Sachs (GS), he played a pivotal role in developing various new models and algorithms to improve the speed and accuracy of options pricing methods. At McKinsey & Company, he helped financial institutions implement strategic innovation and transformation initiatives. As a founding member of PingAn Lufax (Nasdaq: LU), he led the Innovative Product Department and developed numerous retail loan products from zero, which have been widely used for reference by Internet finance industry. As the CEO of Xiaoying Tech (Nasdaq: XYF), one of the top finance companies in China, he set up the management and operations structure to lift the trading volume from RMB100 million per month to RMB3 billion per month in two years. Meanwhile, Mr. Cong Huang is the founder and CEO of Weiyan Tech, a leading AI company that provides risk-control and marketing solutions for financial institutions. Mr. Huang has Bachelor's degree in Mathematics from the University of Science & Technology of China and a PhD degree from Yale University. Mr. Liu Hao is the founder and president of Columbus Fintech LTD, one of the world's leading financial data technology companies as well as co-founder and CEO of Jeethen Capital. Mr. Liu is a senior fintech expert and has been invited to participate in the Global Quantitative Finance Conference multiple times. He is a pioneer of the combination of artificial intelligence technology and quantitative trading, and he set up a financial algorithm cloud service, which has served more than 150 listed companies and securities firms. Mr. Liu is also a leader in the field of blockchain applications and one of the initiators of the Hong Kong Blockchain Association. He led the team that developed cross-chain clearing technology, which achieved a breakthrough in the interconnection of multi-chain services and greatly promoted the application and development of blockchain technology. Mr. Liu Hao is also an angel investor in a number of financial technology companies, with extensive industry experience and excellent strategic vision. "It's a great honor to join MFH," Mr. Liu said. "As a fintech company focusing on blockchain technology, MFH has a great vision and entrepreneurial spirit. The core management team and I share the same mission for the future of the Company's development. We believe that scenarios for blockchain applications will be widely used in financial transactions, asset management, supply chain supervision, and other related fields. Under the current market environment, we are more willing to do research on in-depth technology, technological innovation of investment and asset management and services, and the integration of new fintech compliance and digital currency on a global scale. We consider the possibilities of investing and holding digital assets such as bitcoin under compliance conditions, and we also would like to show the experience of our traditional asset management and technology and how it has accumulated to this young field in the past decades." "On behalf of the Board of Directors, I warmly welcome Mr. Liu Hao and Mr. Huang Cong to join the Board," Ms. Hua Zhou, Chairperson of the Board and chief executive officer, commented. "Both are top experts in financial technology and blockchain. With the introduction of two new directors, our team will build stronger capabilities in SaaS service systems such as a decentralized trading system, clearing and matchmaking counters, and penetration investment solutions for blockchain assets and financial assets. In the recent future, our blockchain payment and cross chain scenario applications will gradually launch to the market. We believe that the application of blockchain technology is an integral part of financial technology, which is not only a direction, but also an important tool for changing the market and optimizing the financial environment. I believe that the two directors can devote their expertise to strengthening our innovation and landing capabilities." About Mercurity Formerly known as JMU Limited, Mercurity Fintech Holding Inc.'s current principal business is to design and develop digital asset transaction platforms based on blockchain technologies for customers to facilitate asset trading, asset digitalization and cross-border payments and provide supplemental services for such platforms, such as customized software development services, maintenance services and compliance support services. The Company started this new business since its acquisition of Mercurity Limited (previously known as Unicorn Investment Limited) in May 2019. Mercurity reported a net loss of $1.22 million for the year ended Dec. 31, 2019, a net loss of $123.24 million for the year ended Dec. 31, 2018, and a net loss of $161.90 million for the year ended Dec. 31, 2017. MIDWAY MARKET SQUARE: Unsecureds to Recover 80% in Plan ------------------------------------------------------- Midway Market Square Elyria LLC filed a Chapter 11 Plan of Reorganization and a Disclosure Statement. Under the Plan, Fort CRE 2018-1 Issuer, LLC will recover 100% of its allowed Class 1 secured claim plus interest at a rate of 5.0% per annum for 5 years based on a 30-year amortization schedule and a balloon payment at the end of the fifth year from the Effective Date (the "Maturity Date"). In the event, the Debtor's property is sold prior to the Maturity Date, the Class 1 Claim will be paid in full from the Sale Proceeds. Additionally, the Debtor reserves the right to pay the Class 1 Claim in full the Allowed Amount of its Claim from a refinance of the Property, or otherwise, anytime prior to the sale of the Property. The Class 2 secured claim of M.J. Griffith Paving and the Class 3 secured claim of Anchor Associates, LLC, will be paid 100% of the allowed claims without interest paid over 3 years. General unsecured claims in Class 5 will recover 80% of Allowed Claim, without interest, with 20% payable on the Effective Date and yearly payments of 20% on the 1st, 2nd and 3rd anniversary of the Effective Date. In the event the Property is sold, the Class 5 Claims will be paid any remaining unpaid amount of its Distribution from the Sale Proceeds Holders of equity interests in Class 6 will retain their interests. The class will receive no Distribution, unless the Property is sold and in that case the Class 6 Equity Interest Holders will receive the net Sale Proceeds after payment of all Administrative Claims and Class 1 through 5 Claims. A hearing on the Disclosure Statement is scheduled for April 12, 2021 at 10:00 a.m. A copy of the Disclosure Statement dated March 5, 2021, is available at https://bit.ly/3cxBxxx About Midway Market Square Midway Market Square Elyria LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). The Company is the owner of fee simple title to a property located at 1180 West River Road Elyria, OH, having a current value of $25 million. Midway Market Square Elyria LLC filed a voluntary petition for reorganization under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 20-23142) on Oct. 27, 2020. The petition was signed by Chaim Lobl, vice president/managing member. At the time of filing, the Debtor estimated $27,502,148 in assets and $20,251,166 in liabilities. Scott S. Markowitz, Esq. at TARTER KRINSKY & DROGIN LLP represents the Debtor as counsel. MIDWEST-ST. LOUIS: Unsecureds to Get Share of Asset Sale Proceeds ----------------------------------------------------------------- Midwest-St. Louis, LLC, filed with the U.S. Bankruptcy Court for the Eastern District of Missouri a Disclosure Statement for Plan of Reorganization on March 4, 2021. Midwest St. Louis, LLC is a family-owned limited liability company. The ownership is held by members of the Abdeljabbar family. Midwest owns and operates businesses at properties in Missouri. The sole reason for the chapter 11 filing was the entry of a judgment against the Debtor and in favor of Christopher Westmoreland in the approximate amount of $5,600,000. The Debtor's Plan contemplates sale of its assets and payment of the net proceeds to creditors (primarily Westmoreland) upon finality of the Westmoreland Litigation and a potential Malpractice Claim. Class 5 shall consist of the disputed, contingent Westmoreland Claim in the approximate amount of $6,172,628. After payment of Classes 1 – 4 and the Debtor in Possession Financing, funds will be deposited into the Escrow Account in an amount equal to the lesser of: (a) the Westmoreland Judgment amount and statutory interest to date of funding; attorney's fees claimed by Westmoreland to date of funding; 6-month interest reserve; or (b) all remaining Asset Sale Proceeds. Upon Final Adjudication of the Westmoreland Claim the funds in the Escrow Account shall be disbursed as follows: (a) if Final Adjudication of the Westmoreland Claim is made in favor of Westmoreland, then all funds in the Escrow Account shall be disbursed to the holder of the Westmoreland Claim, such that, payment of the Escrow Account funds and any payment from the Malpractice Claim shall be in full satisfaction of the Westmoreland Claim; or (b) if Final Adjudication of the Westmoreland Claim is made in favor of the Debtor or other Defendants, then all funds in the Escrow Account shall be paid to Class 6 and Class 7 as set forth in the Plan. Class 6 will consist of all Allowed Unsecured Claims not otherwise classified. Each Class 6 Allowed Unsecured Claimant shall receive their pro-rata share of any Asset Sale proceeds after full payment of Class 1 through Class 4 and escrow of funds for Class 5 (the "Class 6 Distribution"). In the event that Final Adjudication of the Westmoreland Claim is made in favor of the Debtor or other Defendants, then the Class 6 Claims will be paid in full from the Escrow Account funds. Class 7 consists of all Allowed Interests in the Debtor. All Class 7 Allowed Interests will be canceled on the Confirmation Date. The Allowed Class 7 Interests will receive any remaining Asset Sale Proceeds after payment, in full, of Classes 1-4, Class 6 and Final Adjudication and treatment of the Class 5 Claim under the Plan. Concurrent with filing the Plan, the Debtor has filed a Motion for Order Authorizing Sale of Substantially All Assets Free and Clear of All Interests, Including Liens, Claims and Encumbrances; Approving Bidding Procedures; and Approving Break-Up Fee ("Sale Motion"). Upon entry of a Final Order approving the Sale Motion and closing of the Sale, the Asset Sale Proceeds will be distributed in accordance with the Plan. A full-text copy of the Disclosure Statement dated March 4, 2021, is available at https://bit.ly/3eotKVd from PacerMonitor.com at no charge. The Debtor is represented by: Spencer P. Desai, Esq. Thomas H. Riske, Esq. Carmody MacDonald P.C. 120 South Central, Suite 1800 St. Louis, MO 63105 Phone: (314) 854-8600 E-mail: spd@carmodymacdonald.com E-mail: thr@carmodymacdonald.com About Midwest-St. Louis Midwest-St. Louis, LLC, owner of a gas station and convenience store in St. Louis, filed a voluntary Chapter 11 petition (Bankr. E.D. Mo. Case No. 19-42279) on April 12, 2019. In the petition signed by Munji Abdeljabber, member, the Debtor estimated $50,000 in assets and $1 million to $10 million in liabilities. The case is assigned to Judge Kathy A. Surratt-States. Spencer P. Desai, Esq., at Carmody MacDonald P.C., represents the Debtor as counsel. MILLER BRANGUS: Files Emergency Bid to Use Cash Collateral ---------------------------------------------------------- Miller Brangus, LLC asks the U.S. Bankruptcy Court for the Middle District of Tennessee, Columbia Division, for authority to sell assets on a final basis, and to use cash collateral and provide adequate protection on an interim and final basis in accordance with its proposed budget. The proposed Budget identifies the Debtor's projected expenses for the entirety of 2021. The Debtor anticipates incurring expenses in the amount of $43,633 for March, $32,982.48 for April, and $33,017.31 for May, provided, that the confirmation hearing is set for May 5, 2021. The Debtor requires the use of cash collateral to fund ordinary business operations and necessary expenses. Without access to cash collateral, the Debtor would be forced to cease operations and liquidate its assets. The Debtor asserts that the motion must be considered on an expedited basis because the Debtor proposes to sell assets (namely cattle) from March 16-27, 2021 by way of a standard auction process. The assets are secured by liens in favor of Wayne County Bank, Peoples Bank, and the Wayne Farmers Cooperative. After filing its plan of reorganization on March 2, 2021, the Debtor learned that at least one of the Secured Creditors did not consent to the sale of assets. Prior to filing the Chapter 11 case, the Debtor has always been able to sell cattle without the consent or permission of the Secured Creditors. The proposed sale is an ordinary course of business sale that is exempt from the provisions of 11 U.S.C. section 363. The Debtor only filed the motion because it understands that the Secured Creditors do not consent to the sale of cattle and because the Debtor acknowledges that the Secured Creditors' liens will attach to the proceeds from the sale. The Debtor has customarily realized revenue from regular, periodic sales of cattle. The Debtor projects the same business practice on a going-forward basis. Within the cattle industry, there are only periodic events that realize revenue. These events are usually 2-3 large auctions that occur at different times during the year, and smaller local auctions for transferring cull cattle that are not highly value. For the remainder of 2021, the Debtor anticipates three sales. Wayne County Bank has filed a proof of claim in the amount of $704,637.15. Wayne County Bank has a lien on the Debtor's real estate, evidenced by a deed of trust, dated December 27, 2007, recorded with the Wayne County Register of Deeds. Wayne County Bank also asserts a lien on personalty pursuant to a UCC-1 financing statement, dated October 13, 2011, recorded with the Tennessee Secretary of State, Instrument No. 211-082080. This financing statement covers all livestock and proceeds. Peoples Bank has filed two proofs of claim. The first proof of claim (Claim No. 7) is in the amount of $247,848.90. This claim is secured by a deed of trust, dated March 6, 2009, recorded with the Wayne County Register of Deeds. The second proof of claim (Claim No. 8) is in the amount of $224,887.66. This claim is secured by a UCC-1 financing statement, dated April 2, 2018, recorded with the Tennessee Secretary of State, Instrument No. 428490085. This financing statement covers all livestock and replacements. Wayne Farmers Cooperative has a judgment lien, recorded with the Wayne County Register of Deeds at Record Book 173, Page 798. Wayne Farmers Cooperative has filed a proof of claim (Claim No. 11) and the Debtor asserts the amount owed to Wayne Farmers Cooperative is $50,000. The Debtor asserts, for interim purposes only, that the Secured Creditors are fully secured creditors and a substantial equity cushion exists. In addition, the sale of cattle is expected to net fair market proceeds in the amount of approximately $108,500. The Secured Creditors' liens will attach to these proceeds. The Debtor's expenses incurred between now and the confirmation hearing are reasonably necessary to preserve the collateral in which the Secured Creditors have an interest. The Debtor anticipates an additional 140 calves to be born prior to July 2021. The Secured Creditors' liens will attach to all these additional cattle and the Debtor's use of cash will ensure the calves are provided adequate nutrition, medical care, and facilities so that the value of the calves will increase as they mature. A finding of adequate protection is left to case-by-case interpretation and development. For these reasons, the Debtor contends that adequate protection payments are not necessary or required under the Bankruptcy Code. Notwithstanding, and in exchange for the use of cash collateral on an interim basis, the Debtor proposes to provide adequate protection. The Debtor will grant replacement liens in all of the Debtor’s post-petition assets, in the same priority that existed as of the Petition Date, and in the priority that will exist by operation of the Interim Order, a superpriority claim status, and provide reasonable and periodic financial reporting and access to business records to ensure the Secured Creditors are able to monitor the Debtor's performance and adherence to the Interim Order. The Debtor also requests a hearing date of on or before March 16. A copy of the motion is available at https://bit.ly/30vOu52 from PacerMonitor.com. About Miller Brangus, LLC Headquartered in Franklin, Tennessee, Miller Brangus LLC filed for Chapter 11 bankruptcy protection (Bankr. M.D. Tenn. Case No.: 20-05282) on Dec. 2, 2020. The petition was signed by David Doyle Miller, member. The Debtor estimated $4,579,945 in assets and $3,304,162 in liabilities. Judge Marian F. Harrison presides over the case. Griffin S. Dunham, Esq. at DUNHAM HILDEBRAND, PLLC serves as the Debtor's counsel. MKS REAL ESTATE: Seeks to Hire Eric A. Liepins as Legal Counsel --------------------------------------------------------------- MKS Real Estate, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Eric A. Liepins, PC as its legal counsel. The firm will render these legal services: (a) orderly liquidate the assets; (b) reorganize the claims of the Debtor's estate; and (c) determine the validity of claims asserted in the estate. The firm received a retainer of $7,500 plus the filing fee. The hourly rates charged by the firm are as follows: Eric A. Liepins $275 Paralegals and Legal Assistants $30 - $50 The firm will seek reimbursement for out-of-pocket expenses. Eric Liepins, Esq., an attorney at Eric A. Liepins, PC, disclosed in a court filing that his firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Eric A. Liepins, Esq. Eric A. Liepins, PC 12770 Coit Road, Suite 1100 Dallas, TX 75251 Telephone: (972) 991-5591 Facsimile: (972) 991-5788 Email: eric@ealpc.com About MKS Real Estate MKS Real Estate, LLC filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Texas Case No. 21-40424) on March 1, 2021. Luis Leal, managing member, signed the petition. In the petition, the Debtor disclosed less than $50,000 in assets and $1 million to $10 million in liabilities. Judge Edward L. Morris oversees the case. Eric A. Liepins, Esq., at Eric A. Liepins, PC serves as the Debtor's counsel. MOORE PROPERTIES: Gets Court Approval to Hire Auctioneer -------------------------------------------------------- Moore Properties of Person County, LLC received approval from the U.S. Bankruptcy Court for the Middle District of North Carolina to employ William Lilly Jr., an auctioneer at Iron Horse Auction Co. Inc. The Debtor requires the services of an auctioneer to sell its 75-acre real property in Timberlake, N.C., through an online auction. Mr. Lilly will be compensated based on a graded schedule of commissions. Mr. Lilly disclosed in a court filing that his firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The auctioneer can be reached at: William Lilly Jr. Iron Horse Auction Co. Inc. 174 Airport Rd. Rockingham, NC 28379 Telephone: (910) 997-2248 About Moore Properties of Person County Moore Properties of Person County, LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D.N.C. Case No. 20-80081) on March 1, 2021. At the time of the filing, the Debtor disclosed assets of between $100,001 and $500,000 and liabilities of the same range. Judge Benjamin A. Kahn oversees the case. The Debtor tapped James C. White, Esq., at J.C. White Law Group, PLLC, as its legal counsel. NANO MAGIC: Changes Company Name to 'Nano Magic Holdings Inc.' -------------------------------------------------------------- The directors of Nano Magic, Inc. acted to change the name of the company to Nano Magic Holdings Inc. The certificate of incorporation was amended on March 2, 2021, to reflect the change. About Nano Magic Headquartered in Bloomfield Hills, Michigan, Nano Magic -- http://www.nanomagic.com-- develops, commercializes and markets consumer and industrial products powered by nanotechnology that solve everyday problems for customers in the optical, transportation, military, sports and safety industries. Its primary business is the formulation, marketing and sale of products powered by nanotechnology including the ULTRA CLARITY brand eyeglass cleaner, its defogging products and nano-coating products for glass and ceramics. As of Sept. 30, 2020, the Company had $4.26 million in total assets, $2.95 million in total liabilities, and $1.31 million in total stockholders' equity. UHY LLP, in Sterling Heights, Michigan, the Company's auditor since 2019, issued a "going concern" qualification in its report dated May 13, 2020, citing that the Company has recurring losses from operations, limited cash flows from operations, and an accumulated deficit. These conditions raise substantial doubt about the Company's ability to continue as a going concern. NASDI LLC: Seeks Court Approval to Hire Special Counsel ------------------------------------------------------- NASDI, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Massachusetts to employ Megan Dart, Esq., an attorney practicing in Easton, Mass., as its special counsel. The Debtor needs the assistance of a special counsel in various litigation cases pending in the Commonwealth of Massachusetts. Ms. Dart will be compensated at an hourly rate of $200 and will be reimbursed for any out-of-pocket expenses. The Debtor paid the attorney a retainer in the amount of $3,000. Ms. Dart disclosed in a court filing that she is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The attorney can be reached at: Megan M. Dart, Esq. 704 Washington Street, Suite 146 Easton, MA 02375 About NASDI LLC A group of creditors including IUOE Local 4 Health and Welfare Fund, IUOE Local 4 Pension Fund and IUOE Local 4 Annuity & Savings Fund filed a Chapter 7 involuntary petition against NASDI LLC (Bankr. D. Mass. Case No. 20-12188) on Nov. 5, 2020. The creditors are represented by Gregory A. Geiman, Esq. On Dec. 22, 2020, the court ordered the conversion of the case to one under Chapter 11. Judge Melvin S. Hoffman oversees the Debtor's Chapter 11 case. The Debtor tapped Gary W. Cruickshank, Esq., as bankruptcy attorney and McAlpine, PC and Megan M. Dart, Esq., as special counsel. NATHAN'S FAMOUS: Egan-Jones Hikes Senior Unsecured Ratings to CCC+ ------------------------------------------------------------------ Egan-Jones Ratings Company, on February 23, 2021 upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Nathan's Famous, Inc. to CCC+ from CCC. Headquartered in Jericho, New York, Nathan's Famous, Inc. is an American company that operates a chain of fast food restaurants specializing in hot dogs. NATIONAL RIFLE ASSOCIATION: Says Ad Agency Seeks Its Destruction ---------------------------------------------------------------- Alex Wolf of Bloomberg Law reports that the National Rifle Association said that New York, Ad Agency seeks the organization's destruction. The National Rifle Association has a "legitimate need" to restructure its debts and move to Texas, the organization said in response to calls from New York Attorney General Letitia James and Ackerman McQueen to dismiss its bankruptcy. The gun rights organization filed for bankruptcy to preserve its ability to keep operating and address liabilities to "true creditors," the NRA said in a Saturday court filing. Unlike lenders and trade creditors, James and former NRA ad agency Ackerman McQueen don't seek to resolve disputes or collect on a discrete debt, the NRA said. About the National Rifle Association Founded in 1871 in New York State, the National Rifle Association of America is a gun rights advocacy group. The NRA claims to be the longest-standing civil rights organization and has more than five million members. Seeking to move its domicile and principal place of business to Texas amid lawsuits in New York, National Rifle Association of America sought Chapter 11 protection (Bankr. N.D. Tex. Case No. 21-30085) on Jan. 15, 2021. Affiliate Sea Girt LLC simultaneously sought Chapter 11 protection (Case No. 21-30080). The NRA was estimated to have assets and liabilities of $100 million to $500 million as of the bankruptcy filing. Judge Harlin Dewayne Hale oversees the cases. The Debtors tapped Neligan LLP and Garman Turner Gordon LLP as their bankruptcy counsel, and Brewer, Attorneys & Counselors as their special counsel. The U.S. Trustee for Region 6 appointed an official committee of unsecured creditors on Feb. 4, 2021. The committee is represented by Norton Rose Fulbright US, LLP. NATURALSHRIMP INC: To Sell Up to $100 Million of Securities ----------------------------------------------------------- NaturalShrimp, Inc. has filed a primary shelf registration statement on Form S-3 to sell up to $100 million of its securities. Any potential offerings are subject to the Form S-3 being declared effective by the Securities and Exchange Commission, market and other conditions, and there can be no assurance as to whether or when any offerings may be completed, or as to the actual size or terms of the offerings. If one or more offerings are completed, all of the securities in the offerings will be sold by NaturalShrimp, Inc. If the SEC declares the Form S-3 effective then securities may be offered only by means of a written prospectus, including a prospectus supplement, forming a part of the effective registration statement. An electronic prospectus supplement and the accompanying prospectus relating to any offerings will be filed with the SEC and will be available on the SEC's website at www.sec.gov. About Natural Shrimp NaturalShrimp, Inc. is a publicly traded aqua-tech Company, headquartered in Dallas, with production facilities located near San Antonio, Texas. The Company has developed a commercially viable system for growing shrimp in enclosed, salt-water systems, using patented technology to produce fresh, never frozen, naturally grown shrimp, without the use of antibiotics or toxic chemicals. NaturalShrimp systems can be located anywhere in the world to produce gourmet-grade Pacific white shrimp. NaturalShrimp recorded a net loss of $4.81 million for the year ended March 31, 2020, compared to a net loss of $7.21 million for the year ended March 31, 2019. As of Dec. 31, 2020, the Company had $15.39 million in total assets, $9.60 million in total liabilities,$208,333 in series D redeemable convertible preferred stock, and $5.58 million in total stockholders' equity. Turner, Stone & Company, L.L.P., in Dallas, Texas, issued a "going concern" qualification in its report dated June 26, 2020, citing that Company has suffered significant losses from inception and has a significant working capital deficit. These conditions raise substantial doubt about its ability to continue as a going concern. NELLSON NUTRACEUTICAL: Moody's Completes Review, Retains B3 CFR --------------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Nellson Nutraceutical, LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on March 1, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Nellson Nutraceutical, LLC B3 CFR reflects it's 1) moderate scale, 2) limited product diversity, 3) high financial leverage and 4) event risks from private equity ownership and aggressive financial strategies. At the same time, the rating reflects the company's low exposure to changes in raw material costs through the use of pass-through provisions in customer contracts. The company benefits from its participation in the nutritional bars category that is experiencing positive social trends towards products that are nutritional and convenient. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. NEOVASC INC: To Report Q4, Fiscal Year 2020 Results Today --------------------------------------------------------- Neovasc, Inc. will report results for the fourth quarter and fiscal year ended Dec. 31, 2020 after the market close today. Neovasc President and Chief Executive Officer Fred Colen and Chief Financial Officer Chris Clark will host a conference call to review the Company's results at 4:30 pm EST. Interested parties may access the conference call by dialing (877) 407-9208 or (201) 493-6784 (International). Participants wishing to join the call via webcast should use the link posted on the investor relations section of the Neovasc website at https://www.neovasc.com/investors. About Neovasc Inc. Neovasc -- http://www.neovasc.com-- is a specialty medical device company that develops, manufactures and markets products for the rapidly growing cardiovascular marketplace. Its products include the Reducer, for the treatment of refractory angina, which is not currently commercially available in the United States (2 U.S. patients have been treated under Compassionate Use) and has been commercially available in Europe since 2015, and Tiara, for the transcatheter treatment of mitral valve disease, which is currently under clinical investigation in the United States, Canada, Israel and Europe. Neovasc recorded a net loss of $35.13 million for the year ended Dec. 31, 2019, compared to a net loss of $107.98 million for the year ended Dec. 31, 2018. At Dec. 31, 2019, the Company had $10.10 million in total assets, $24.55 million in total liabilities, and a total deficit of $14.44 million. Grant Thornton LLP, in Vancouver, Canada, the Company's auditor since 2002, issued a "going concern" qualification in its report dated March 30, 2020 citing that the Company incurred a comprehensive loss of $33,618,494 during the year ended Dec. 31, 2019, and as of that date, the Company's liabilities exceeded its assets by $14,445,765. These conditions, along with other matters, raise substantial doubt about the Company's ability to continue as a going concern. NEP/NCP HOLDCO: Moody's Completes Review, Retains Caa1 CFR ---------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of NEP/NCP Holdco, Inc and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations NEP/NCP Holdco, Inc.'s Caa1 corporate family rating reflects the company's highly leveraged capital structure, Moody's expectation of operating headwinds in the live events segment, restrained free cash flow due to a highly capital intensive business model driven by contract requirements and technology demands, foreign currency exchange risk, moderate social and reputational risks and an aggressive acquisition strategy from its private equity ownership. However, NEP's rating benefits from a strong global position in the niche video production industry, a diversified blue-chip customer base with long-standing relationships and low customer concentration, and demonstrated capacity to manage its cost base in challenging economic environments. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. NOMAD RETAIL: Voluntary Chapter 11 Case Summary ----------------------------------------------- Two affiliates that concurrently filed voluntary petitions seeking relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Nomad Retail LLC (Lead Case) 21-30821 DBA Sleep First 18 Augusta Pines Dr. Suite 157-W Spring, TX 77389 ETX Retail LLC 21-30822 DBA Sleep First 18 Augusta Pines Dr Suite 157-W Spring, TX 77389 Business Description: The Debtors own and operate furniture stores. Chapter 11 Petition Date: March 8, 2021 Court: United States Bankruptcy Court Southern District of Texas Judge: Christopher M. Lopez Debtors' Counsel: Melissa A. Haselden, Esq. HASELDEN FARROW PLLC 700 Milam, Suite 1300 Pennzoil Place Houston, Texas 77002 Tel: (832) 819-1149 Fax: (866) 405-6038 E-mail: mhaselden@haseldenfarrow.com - and - Elyse M. Farrow, Esq. HASELDEN FARROW PLLC 700 Milam, Suite 1300 Pennzoil Place Houston, Texas 77002 Tel: (832) 819-1149 Fax: (866) 405-6038 E-mail: efarrow@haseldenfarrow.com Nomad Retail's Estimated Assets: $1 million to $10 million Nomad Retail's Estimated Liabilities: $1 million to $10 million ETX Retail's Estimated Assets: $500,000 to $1 million ETX Retail's Estimated Liabilities: $100,000 to $500,000 The petitions were signed by Ryan D. Vinson, president. The Debtors failed to include in the petitions lists of their 20 largest unsecured creditors. Copies of the petitions are available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/FN5OOJA/NoMaD_Retail_LLC__txsbke-21-30821__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/FXH552I/ETX_Retail_LLC__txsbke-21-30822__0001.0.pdf?mcid=tGE4TAMA O'KIEFFE FAMILY: Seeks to Tap David Schroeder as Legal Counsel -------------------------------------------------------------- O'Kieffe Family Partners, LP seeks approval from the U.S. Bankruptcy Court for the Western District of Missouri to employ David Schroeder, Esq., an attorney at David Schroeder Law Office, PC, to handle its Chapter 11 case. Mr. Schroeder will render these legal services: (a) advise the Debtor regarding its power and duties in the continued management and operation of its business; (b) attend meeting and negotiate with representatives of creditors, the Office of the U.S. Trustee, and other parties-in-interest; (c) take all necessary action to protect and preserve the estate; (d) prepare legal papers; (e) negotiate and prosecute all contracts for the sale of assets, plan of reorganization, disclosure statement, and all related documents; (f) appear before the court; and (g) perform all other necessary legal services. The attorney will be compensated at his hourly rate of $325. Paralegal time will be paid at $90 per hour. In addition, the attorney will seek reimbursement for expenses incurred. Mr. Schroeder 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 attorney can be reached at: David E. Schroeder, Esq. David Schroeder Law Office, PC 1524 E. Primrose, Suite A Springfield, MO 65804 Telephone: (417) 890-1000 Facsimile: (417) 886-8563 Email: bkl@dschroederlaw.com About O'Kieffe Family Partners O'Kieffe Family Partners, LP sought Chapter 11 protection (Bankr. W.D. Mo. Case No. 21-60122) on Feb. 27, 2021. Patsy O'Kieffe, general partner, signed the petition. At the time of the filing, the Debtor disclosed assets of between $1 million and $10 million and liabilities of the same range. David E. Schroeder, Esq., at David Schroeder Law Office, PC, serves as the Debtor's counsel. OMNITRACS LLC: Moody's Completes Review, Retains B3 CFR ------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Omnitracs, LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Omnitracs, LLC's B3 corporate family rating reflects its leading position as one of North America's top service providers of fleet management software and communications systems for the long-haul trucking and last mile delivery industry, its strong recurring revenue base, high retention rates and cash generating capabilities. However, Omnitracs' rating is constrained by its high leverage and exposure to economic cycles, small scale, and adequate liquidity. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. ONATAH FARMS: Bohnenkamps Buying Mountain Grove Property for $770K ------------------------------------------------------------------ Douglas W. Morrow and Mary Beth Morrow, affiliated Debtors of MBD Farms LLC and NCI Farms LLC, ask the U.S. Bankruptcy Court for the Northern District of Indiana to authorize the private sale of the real estate commonly known as 221 Route 2, in Mountain Grove, Missouri, to Daniel Bohnenkamp and Nancy Bohnenkamp for $769,500. The Morrows are the owners of the Real Estate. The purchase of the Real Estate by the Morrows was financed by Landmark Bank, known now as Simmons First National Corp. On information and belief, First Financial Bank as a second lien on the Real Estate. The Real Estate remains subject to the lien of the Bank. The Morrows have entered into a Farm Sale Contract to sell the Real Estate to an unrelated third party, the Purchasers, subject to approval by the Court. In order to broker the sale of the Real Estate, the Morrows with to engage Julie A. Thompson with Re/Max Farm & Home. The Debtors are filing their Application to Employ Missouri Realtors as Realtor simultaneously with the Motion. The Purchaser has agreed to purchase the Real Estate for $769,500. The Purchase Price will be paid as follows: a. First, to the costs of the sale of the Real Estate, including any commission earned by the Broker following Court approval of such commission; and b. Second, to the Bank in the amount of $766,932 or as much as the Bank and the Morrows determine are owed to the Bank in respect of its mortgage lien. The only material contingencies of the potential sale approval from the Court and the Purchasers' sale of the farm located at 1012 Cooper Drive, MG. The sale does not involve the sale of any personally identifiable information. Pursuant to 11 U.S.C. Section 363(f)(2), the Real Estate would be sold free and clear of all known liens because the Bank consents to the sale of the Real Estate and will retain a lien on the remaining portion of the Real Estate after the sale. First Financial will also retain its lien on the remaining portion of the Real Estate. The Debtors submit that the sale of the Real Estate through the means of a private sale is an exercise of their sound business judgment, as the Purchase Price is at or above the known value of other land in the area. They also submit that proceeding with the purchase of the Real Estate through a private sale is in the best interest of the estate and its creditors because the sale will bring in proceeds to the estate above and beyond that owed to the first lien holder. A copy of the Contract is available at https://tinyurl.com/ybseu2av from PacerMonitor.com free of charge. About Onatah Farms LLC Onatah Farms LLC and its affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ind. Lead Case No. 21-10091) on Feb. 3, 2021. Douglas Morrow, member, signed the petitions. At the time of the filing, Onatah Farms had estimated assets of between $1 million and $10 million and liabilities of between $10 million and $50 million. Overturf Fowler LLP and Steeplechase Advisors, LLC serve as the Debtors' legal counsel and financial advisor, respectively. PARK PLACE: Unsecureds' Recovery Reduced to 31% in Trustee's Plan ----------------------------------------------------------------- Robert Nistendirk, the Chapter 11 trustee for debtor Park Place Properties, LLC, filed an Amended Disclosure Statement describing its Plan of Liquidation on March 2, 2021. The Trustee has authorized and employed Attorney Joe Caldwell to pursue certain credit card debts and predatory lenders or factoring companies that the Debtor had dealt with. At a hearing on October 29, 2020, Judge Mignault approved a settlement with BlueVine Capital in the amount of $5,000 cash payment to the Debtor's estate and a release of Blue Vine's claim of approximately $86,895. The terms of that certain Agreed Order Granting Motion by Plaintiff Park Place Properties, LLC, to Compromise/Approve Settlement are incorporated herein by this reference. The Estate has received the settlement funds. Mr. Caldwell also threatened litigation against American Express National Bank (also known as Amex) for the receipt of preferential funds. The Trustee and American Express have agreed to American Express' payment to the Estate in the amount of $3,000 to settle the Estate's claim against American Express. The Trustee intends to seek Court approval regarding the settlement. The Estate has not received the settlement funds. Allowed claims in Class 2 to the West Virginia State Auditor, Community Trust Bank, and to Huntington Federal Savings Bank will be paid monthly in accordance with agreed orders entered by the Court. A Final Agreed Order for Adequate Protection to Community Trust Bank, Inc. as to Real Property Located at 1616 Spring Valley Drive and 1606 and 1608 Spring Valley Drive, West Virginia was entered by the Court on or about February 26, 2021. The loans with Community Trust Bank shall be governed by the original loan documents, as modified, along with the Community Trust Order for Adequate Protection. Also, it is notable, the Trustee negotiated a reduction in late penalties with Community Trust Bank by $36,101. The Trustee has a tentative agreement reached with Huntington Federal Savings Bank while the secured collateral is listed for sale. Huntington Federal Savings Bank shall be paid as a Class 2 Secured Creditor until the sale date, at which time, the Huntington Federal Savings Bank shall be paid in full and the Pro Rata share of unpaid real property taxes shall be paid. The terms of the loan with Huntington Federal Savings Bank shall be governed by the original loan documents, along with the Agreed Order for Adequate Protection, as entered by this Court. Allowed claims in Class 3 will receive in full satisfaction, release and exchange for such Allowed Claim, a Pro Rata share of the available funds, after payment of any Class 1 claims and after payment of all administrative expenses, U.S. Trustee fees and other payment required to be made under the Plan. The Trustee intends to pay a Pro Rata share of 15% of the claimed amount for the first 12 months of the Plan and 35% of the claimed amount for the final 48 months of the Plan. It is estimated the Pro Rata share will be at approximately 31 percent of the claim amounts. The Trustee will file an objection to Community Trust Bank's Proof of Claim No. 9 because said indebtedness is for the studio apartments that are not part of the Estate. However, the Debtor is a co-borrower on said loan. The Trustee and Community Trust Bank have reached agreement that if payments are made by John C. Spence or his bankruptcy estate, Park Place does not have to pay on this loan and will not list it as an unsecured general claim. If John C. Spence or his bankruptcy estate cease payment or there are other defaults under the loan documents, Community Trust will pursue the collateral. The amount of the deficiency, if any, after the liquidation of collateral, will be added as a general unsecured claim at that time and will be paid out pro rata with all other general unsecured creditors. As of the Bar Date, there was a total of $4,128,553 in Class 2 claims against the Estate. There was a total of $218,281 in Class 3 claims against the Estate, including scheduled claims. As of March 2, 2021, the Trustee has control of approximately $100,000 in cash that is in the debtor-in-possession bank account for the Estate. The funds will be used, along with going-concern revenues, to fund the Plan on the Effective Date. A full-text copy of the Amended Disclosure Statement dated March 2, 2021, is available at https://bit.ly/3carjTs from PacerMonitor.com at no charge. Attorney for the Chapter 11 Trustee: Sarah C. Ellis Steptoe & Johnson PLLC PO Box 1588 Charleston, West Virginia 25326 Tel: (304) 353-8000 E-mail: Sarah.ellis@steptoe-johnson.com About Park Place Properties Park Place Properties, LLC, a single-member LLC founded in 1997 by John C. Spence, owns the Properties that consist of the Park Place Apartments; the Park Place Office; and the Flower Shop. The Flower Shop Property located at 3208-3210 Piedmont Road, in Huntington, West Virginia. The Debtor sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. W.Va. Case No. 19-30186) on April 30, 2019. At the time of the filing, the Debtor was estimated to have assets of less than $50,000 and liabilities of less than $1 million. Judge Frank W. Volk oversees the case. Caldwell & Riffee is the Debtor's bankruptcy counsel. Robert L. Nistendirk was appointed as the Debtor's Chapter 11 trustee. The Trustee is represented by Steptoe & Johnson PLLC. PEZZANO CONTRACTING: Seeks to Tap Dal Lago Law as Legal Counsel --------------------------------------------------------------- Pezzano Contracting and Development, LLC seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ Dal Lago Law as its legal counsel. Karlinsky & Golub will render these services: (a) advise the Debtor regarding its rights, duties, and powers in this Chapter 11 case; (b) prepare legal papers; (c) prosecute and defend any causes of action on behalf of the Debtor; (d) assist and advise in the formulation of a plan of reorganization; (e) assist the Debtor in considering and requesting the appointment of a trustee or examiner; (f) consult with the Office of the United States Trustee concerning the administration of the Debtor's estate; (g) represent the Debtor at hearings and other judicial proceedings; (h) consult with the Subchapter V trustee appointed in the Debtor's Chapter 11 case; and (i) perform such other legal services as may be required. Dal Lago Law received a pre-bankruptcy retainer from the Debtor's principal in the amount of $4,912. The hourly rates of the firm's counsel and staff are as follows: Michael R. Dal Lago, Esq. $395 Associates and Paraprofessionals $180 - $325 In addition, the firm will seek reimbursement for out-of-pocket expenses incurred. Michael Dal Lago, Esq., the owner and president of Dal Lago Law, disclosed in court filings that his firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Michael R. Dal Lago, Esq. Christian Garrett Haman, Esq. Dal Lago Law 999 Vanderbilt Beach Road, Suite 200 Naples, FL 34108 Telephone: (239) 571-6877 Email: mike@dallagolaw.com chaman@dallagolaw.com About Pezzano Contracting and Development Pezzano Contracting and Development, LLC sought Chapter 11 protection (Bankr. M.D. Fla. Case No. 21-00242) on Feb. 24, 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. Dal Lago Law serves as the Debtor's counsel. POST HOLDINGS: Moody's Completes Review, Retains B1 CFR ------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Post Holdings, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Post Holding's B1 CFR reflects its growth-through-acquisitions strategy and related periods of high financial leverage, and strong operating cash flow generated by the slowly declining, but highly profitable ready-to-eat (RTE) cereal business, which generates about 40% of sales. The company's foodservice and refrigerated food segments, which together represent 45% of sales, are also important contributors to earnings. However, revenue in the foodservice segment, which includes the company's commercial egg business, is currently being negatively affected by restaurant and other foodservice closures and reduced volume related to the coronavirus. Finally, the company's credit profile is supported by good product diversity, moderate geographic sales diversity and solid brand equities in high margin product categories. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. PROQUEST LLC: Moody's Completes Review, Retains B2 CFR ------------------------------------------------------ Moody's Investors Service has completed a periodic review of the ratings of ProQuest LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations ProQuest LLC's B2 corporate family rating is supported by the company's large subscription base in the library reference market with extensive content databases sold to libraries, corporations and government organizations, a high recurring revenue stream supported by high renewal rates, and good free cash flow generation. While a portion of the company's revenue is derived from secularly challenged printed products, these product offerings are being replaced over time by higher margin digital options, which has been accelerated by the coronavirus pandemic. The ratings are constrained by high leverage and an aggressive financial policy. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. PURDUE PHARMA: Plan Exclusivity Extended Thru March 15 ------------------------------------------------------ Judge Robert D. Drain of the U.S. Bankruptcy Court for the Southern District of New York extended the periods within which Purdue Pharma L.P. and its affiliates have the exclusive right to file a Plan of Reorganization through and including March 15, 2021. The Debtors are in the midst of serious and productive discussions with key constituencies with the goal of putting forth a value-maximizing Plan with as broad creditor support as feasible. The Debtors believe that the brief extension, within the time period available under 11 U.S.C. section 1121(d), is essential to enable these negotiations to continue at this critical stage in the Debtors' cases. The Debtors said that the continued exclusivity will permit them to bring to a conclusion the substantial progress—including agreements with many creditor groups—that has been achieved to date. The Debtors also continue to show flexibility in working towards consensus around a host of difficult issues and have worked with creditors throughout this case to compromise and resolve matters that in many cases would have required judicial intervention. The Debtors have continued to make timely payments on account of their undisputed post-petition obligations. The Debtors have made every effort to advance these extraordinarily complicated Cases as expeditiously as possible while maximizing the value of their estates for the benefit of stakeholders and the American public. The Debtors have invested all appropriate resources to finalizing the Plan, which they will file on or before March 15, 2021, in any and all circumstances. The Debtors have requested a brief, final extension of the Exclusive Filing Period because parties are in the midst of intense negotiations concerning remaining Plan-related issues. A copy of the Debtors' Motion to extend is available at https://bit.ly/3t3dywr from primeclerk.com. A copy of the Court's Extension Order is available at https://bit.ly/3sZi6E9 from primeclerk.com. About Purdue Pharma LP Purdue Pharma L.P. and its subsidiaries -- http://www.purduepharma.com/-- develop and provide prescription medicines and consumer products that meet the evolving needs of healthcare professionals, patients, consumers, and caregivers. Purdue's subsidiaries include Adlon Therapeutics L.P., focused on treatment for Attention-Deficit/Hyperactivity Disorder (ADHD) and related disorders; Avrio Health L.P., a consumer health products company that champions an improved quality of life for people in the United States through the reimagining of innovative product solutions; Imbrium Therapeutics L.P., established to further advance the emerging portfolio and develop the pipeline in the areas of CNS, non-opioid pain medicines, and select oncology through internal research, strategic collaborations and partnerships; and Greenfield Bioventures L.P., an investment vehicle focused on value-inflection in early stages of clinical development. Opioid makers in the U.S. are facing pressure from a crackdown on the addictive drug in the wake of the opioid crisis and state attorneys general file lawsuits against manufacturers. More than 2,000 states, counties, municipalities, and Native American governments have sued Purdue Pharma and other pharmaceutical companies for their role in the opioid crisis in the U.S., which has contributed to the more than 700,000 drug overdose deaths in the U.S. since 1999. OxyContin, Purdue Pharma's most prominent pain medication, has been the target of over 2,600 civil actions pending in various state and federal courts and other fora across the United States and its territories. On September 15 and 16, 2019, Purdue Pharma L.P. and 23 affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 19-23649), after reaching terms of a preliminary agreement for settling the massive opioid litigation. The Debtors' consolidated balance sheet as of Aug. 31, 2019, showed $1.972 billion in assets and $562 million in liabilities. U.S. Bankruptcy Judge Robert Drain oversees the cases. The Debtors tapped Davis Polk & Wardwell LLP and Dechert LLP as legal counsel; PJT Partners as investment banker; AlixPartners as financial advisor; and Prime Clerk LLC as claims agent. Akin Gump Strauss Hauer & Feld LLP and Bayard, P.A., represent the official committee of unsecured creditors appointed in Debtors' bankruptcy cases. David M. Klauder, Esq., was appointed as fee examiner. The fee examiner is represented by Bielli & Klauder, LLC. QUINCY STREET: March 31 Plan & Disclosure Hearing Set ----------------------------------------------------- Creditor ACF Holding DE LLC, the proponent of the First Amended Plan of Liquidation for Debtor Quincy Street Townhomes I LLC, filed with the U.S. Bankruptcy Court for the District of Columbia a motion for entry of an order Shortening the Time for Hearing on the Final Approval of the Disclosure Statement and the Confirmation of the Plan. On March 4, 2021, Judge Elizabeth L. Gunn granted the motion and ordered that: * The Disclosure Statement is approved on an interim basis. * March 31, 2021 at 1:00 pm n the United States Bankruptcy Court for the District of Columbia, 333 Constitution Avenue N.W., Washington, DC 20001 is the hearing on approval of the Disclosure Statement and on confirmation of the Plan. * March 29, 2021 is the deadline to file objections to the adequacy of the Disclosure Statement and to confirmation of the Plan. * March 29, 2021 is fixed as the last day on which Holders of Claims may accept or reject the Plan by returning a completed ballot to counsel for ACF. * March 30, 2021 at 5:00 p.m. is the deadline for ACF to file a ballot summary. A full-text copy of the order dated March 4, 2021, is available at https://bit.ly/3qwaxTJ from PacerMonitor.com at no charge. Counsel for Plan Proponent: Mary Joanne Dowd Arent Fox LLP 1717 K Street, NW Washington, DC 20006-5344 Telephone: (202) 857-6059 Facsimile: (202) 857-6395 E-mail: mary.dowd@arentfox.com About Quincy Street Townhomes 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. RACHEL NOVOSELLER: Hoberman Buying Lakewood Property for $793K -------------------------------------------------------------- Rachel Novoseller asks the U.S. Bankruptcy Court for the District of New Jersey to authorize the short sale of the real property located at 567 8th Street, in Lakewood, Ocean County, New Jersey, to Ira Hoberman for $793,000. A hearing on the Motion is set for March 25, 2021. One of the assets of the Debtor is the Property. The Debtor has entered into a contract for the sale of the Property with the Buyer. The Property is not encumbered by any liens except for a mortgage held by Wilmington Savings Fund Society. There are no judgments entered against the Debtor. The contract price is $793,000 which is a "short sale" from which the court-appointed broker, Chaim Sochet, has agreed to accept a commission of 2% and Wilmington Savings Fund Society, holder of the first mortgage has agreed to accept $775,000. The contract of sale is not contingent upon financing and the closing can occur shortly after authorization of the sale. While a report of title does not disclose the existence of any liens other than the first mortgage, the Debtor requests authorization to sell the Property free and clear of liens, secured claims, unsecured claims, encumbrances and interests other than the first mortgage which will be satisfied and discharged at closing. Such liens, claims, encumbrances or interests to attach to the sale proceeds. Counsel for Debtor: Timothy P. Neumann, Esq. Geoffrey P. Neumann, Esq. BROEGE, NEUMANN, FISCHER & SHAVER, LLC 25 Abe Voorhees Drive Manasquan, NJ 08736 Telephone: (732) 223-8484 E-mail: timothy.neumann25gmail.com geoff.neumann@gmail.com Rachel Novoseller sought Chapter 11 protection (Bankr. D.N.J. Case No. 19-20637) on May 28, 2019. The Debtor tapped Timothy P. Neumann, Esq., at Broege, Neumann, Fischer & Shaver as counsel. REDWOOD TRUST: Egan-Jones Hikes Senior Unsecured Ratings to B ------------------------------------------------------------- Egan-Jones Ratings Company, on February 25, 2021 upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Redwood Trust, Inc. to B from C. Headquartered in Mill Valley, California, Redwood Trust, Inc. is an internally-managed specialty finance company focused on making credit sensitive investments in residential loans and other mortgage-related assets, as well as residential mortgage banking activities. RENOVATE AMERICA: $43 Mil. Asset Sale to Finance of America Okayed ------------------------------------------------------------------ Law360 reports that a Delaware bankruptcy judge on Tuesday, March 9, 2021, approved home improvement lender Renovate America Inc.'s $43 million Chapter 11 sale to Finance of America Mortgage LLC after hearing the buyer and the company's unsecured creditors had modified a deal they struck last week. At a virtual hearing, U.S. Bankruptcy Judge Laurie Selber Silverstein approved the sale to Finance of America Mortgage LLC, or FAM, after being told FAM and the unsecured creditors committee had expanded a settlement they had announced last week to increase the purchase price and give key Renovate employees more incentive to stay through the ownership transition. About Renovate America Renovate America is one of the nation's preeminent providers of home improvement financing through its industry-leading home financing product, Benji. The Company offers a proprietary technology platform that helps Americans improve their homes while giving contractors the tools they need to grow their business. In addition to offering intuitive financing options, Renovate America offers industry-leading education, training and mentoring to contractor teams in the field. On the Web: http://www.renovateamerica.com/ Renovate America, Inc., and two affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 20-13173) on Dec. 21, 2020. Renovate America was estimated to have $50 million to $100 million in assets and $100 million to $500 million in liabilities as of the bankruptcy filing. Bryan Cave Leighton Paisner LLP is acting as the Company's legal counsel. Stretto is the claims agent. Culhane Meadows, PLLC, is the bankruptcy co-counsel. Armanino LLP is the financial advisor. GlassRatner Advisory & Capital Group, LLC, is the restructuring advisor. Stretto is the claims agent. RKJ HOTEL: Seeks Court Approval to Hire Interest Rate Expert ------------------------------------------------------------ RKJ Hotel Management, LLC seeks approval from the U.S. Bankruptcy Court for the District of Nevada to employ Alvarez & Marsal Disputes and Investigations, LLC to provide interest rate analysis and related services. The firm will be paid at hourly rates, which range from $425 to $875, and will be reimbursed for out-of-pocket expenses. The retainer fee is $25,000. Edward McDonough, managing director at Alvarez & Marsal, disclosed in court filings that his firm is a "disinterested person" as that term is defined in section 101(14) of the Bankruptcy Code. The firm can be reached through: Edward M. McDonough, Esq. Alvarez & Marsal Disputes and Investigations, LLC 2029 Century Park East, Suite 2060 Los Angeles, CA 90067 Telephone: (310) 975-2600 Facsimile: (310) 975-2601 Email: emcdonough@alvarezandmarsal.com About RKJ Hotel Management RKJ Hotel Management, LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Nev. Case No. 21-10593) on Feb. 9, 2021. Jeff Katofsky, member and authorized representative, signed the petition. In the petition, the Debtor disclosed assets of between $10 million and $50 million and liabilities of the same range. The Debtor tapped Garman Turner Gordon, LLP as its legal counsel. RYERSON HOLDING: S&P Alters Outlook to Stable, Affirms 'B' ICR -------------------------------------------------------------- S&P Global Ratings revised its outlook on Chicago-based Ryerson Holding Corp. to stable from negative and affirmed all its ratings, including its 'B' issuer credit rating. S&P said, "The stable outlook reflects our expectations for good market conditions over the next 12 months as steel demand follows a manufacturing activity rebound in 2021. We expect Ryerson to maintain debt to EBITDA of about 5x in 2021. "We expect Ryerson's order activity to recover in 2021 and 2022 as steel demand from key markets remains resilient. A gradual recovery in volumes over the next 12-18 months and current high steel prices should result in Ryerson generating $200 million-$250 million of adjusted EBITDA in 2021 and 2022 (compared to $140 million in 2020). Demand for steel rebounded sharply in the second half of 2020, and customers began rebuilding inventories following the demand disruption and uncertainty of 2020. However, steel supply constraints may slow restocking supply chains in the near term, as demand has recovered but steel remains below pre-COVID-19 pandemic production. "However, we believe underlying demand will return Ryerson to pre-pandemic volumes by the end of 2022. Construction demand remains robust with little disruption during 2020. We expect this to continue in 2021 as the nonresidential construction market remains stable and residential construction increases 5.5% in 2021. We expect Ryerson's end markets of metal fabrication, manufacturing, and industrial machinery and equipment should expand in 2021, supported by consumer spending growth of 5% and real equipment investment growth of 8.5%." Supportive market conditions and deleveraging in 2020 should improve leverage to 5x-6x. Ryerson's counter cyclical cash flow generation and recent refinance reduced debt about $240 million. This, in addition to robust earnings recovery should support debt to EBITDA trending toward 5x by the end of 2021. While demand and steel prices increase, working capital will become a use of cash and free cash flow generation will decrease. Thus, S&P expects neutral free cash flow in 2021 after modest capital expenditure (capex) of about $40 million. This compares to $250 million in 2020 due to declining steel prices and activity. S&P said, "The stable outlook reflects our expectations for good market conditions over the next 12 months as steel demand follows a manufacturing activity rebound in 2021. We expect Ryerson to maintain debt to EBITDA of about 5x in 2021. "We could lower the ratings in the next 12 months if there is a material decline in end-market demand, such as a 15% drop in volumes processed or a rapid decline in steel prices, resulting in an inventory price mismatch that could erode operating margins." This could cause: -- Adjusted leverage sustained above 8x; or -- EBITDA interest coverage falling below 1.5x. S&P could raise the rating in the next 12 months if: -- Strong steel demand conditions lead to a sustained increase in volumes processed, improving product mix, and higher EBITDA generation; -- Debt to EBITDA sustainably approaches 4x and stays there under most market conditions; or -- S&P views management and ownership are committed to sustaining lower leverage consistent with a higher rating. SABON HOLDINGS: Unsecureds Recovery Cut to 15%-18% in Plan ---------------------------------------------------------- Sabon Holdings, LLC, et al., filed a First Amended Joint Plan of Reorganization and a corresponding Disclosure Statement. The Debtors estimate -- based on the filed claims, its schedules and giving effect to the rejection of leases -- there are approximately $2,000,370 in general unsecured claims. These general unsecured claims will be satisfied with payment of each creditors pro rata share of $400,000, minus the payment of Priority Claims, if any, or approximately 15% to 18% of each creditor's claim. The Debtors' estimate of general unsecured claims is subject to change, as is the estimated distribution percentage. The prior iteration of the Disclosure Statement said that unsecured creditors were projected to recover 20% under the Plan. The cash distributions contemplated by the Plan shall be funded by cash generated in the operation of the Reorganized Debtors' business and by the purchase of new shares in the Reorganized Debtors by GRHUS for the total sum of $400,000, on or before the Effective Date, plus additional funding from GRHUS, in the amounts necessary to pay the operating expenses of the Reorganized Debtors and the Plan payments, if needed. In addition, GRHUS is waiving any rights to distributions on the GRHUS Claim in the approximate amount $10,283,527. GRHUS has provided debtor in possession financing to the Debtors during the Chapter 11 Cases and the amount of Cash to be paid by GRHUS for the purchase price of the new shares shall be reduced by the amount owed under the DIP Financing Facility as of the Effective Date and GRHUS will not seek repayment of the DIP Financing Facility. A copy of the First Amended Disclosure Statement dated March 5, 2021, is available at https://bit.ly/3l47NMc About Sabon Holdings Sabon Holdings distributes personal care products. It offers, among other items, bath balls, foams, mineral powders, body scrubs, shower gels, milky soaps, deodorants, perfumes, massage oil, body lotions, hand soaps, scrubs and exfoliants, moisturizers, hand sanitizers, lip care, and eye care products. Sabon Holdings LLC and its affiliates sought Chapter 11 protection (Bankr. S.D.N.Y. Case No. 20-11320) on May 29, 2020. The Debtors tapped SMITH, GAMBRELL & RUSSELL, LLP as counsel; and DEVELOPMENT SPECIALISTS, INC., as restructuring advisor. SAN JOAQUIN AIDS: Voluntary Chapter 11 Case Summary --------------------------------------------------- Debtor: San Joaquin AIDS Foundation 4330 N. Pershing Avenue Suite B-3 Stockton, CA 95207 Business Description: San Joaquin AIDS Foundation is a non-profit organization in Stockton, California that provides personal counseling and support to people living with HIV. Chapter 11 Petition Date: March 9, 2021 Court: United States Bankruptcy Court Eastern District of California Case No.: 21-20823 Judge: Hon. Christopher D. Jaime Debtor's Counsel: David C. Johnston, Esq. DAVID C. JOHNSTON 1600 G Street, Suite 102 Modesto, CA 95354 Tel: (209) 579-1150 E-mail: david@johnstonbusinesslaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Robert L. Lampkins, Jr., president. 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/IZIAPRY/San_Joaquin_AIDS_Foundation__caebke-21-20823__0001.0.pdf?mcid=tGE4TAMA SC SJ HOLDINGS: Case Summary & 3 Unsecured Creditors ---------------------------------------------------- Debtor: SC SJ Holdings LLC 3223 Crow Canyon Road Suite 300 San Ramon, CA 94583 Business Description: SC SJ Holdings LLC is a privately held company in the traveler accommodation industry. Chapter 11 Petition Date: March 10, 2021 Court: United States Bankruptcy Court District of Delaware Case No.: 21-10549 Debtor's Bankruptcy Counsel: PILLSBURY WINTHROP SHAW PITTMAN LLP Debtor's Local Counsel: Justin R. Alberto, Esq. COLE SCHOTZ P.C. 500 Delaware Avenue, Suite 1410 Wilmington, DE 19801 Tel: (302) 652-3131 Email: jalberto@coleschotz.com Debtor's Financial Advisor: Neil Demchik VERITY LLC Estimated Assets: $100 million to $500 million Estimated Liabilities: $100 million to $500 million The petition was signed by Neil Demchick, chief restructuring officer. A copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/2GY6RDA/SC_SJ_Holdings_LLC__debke-21-10549__0001.0.pdf?mcid=tGE4TAMA List of Debtor's Three Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ 1. Accor/Fairmont Hotel Resorts Contract $1,979,070 155 Wellington Street West Suite 3300 Toronto, ON M5V 0C3 Canada Barbara Kilner Tel: 416-874-2859 Email: Barbara.Kilner@accor.com 2. Accor/Fairmont Hotel Resorts Contract $1,500,000 155 Wellington Street West Suite 3300 Toronto, ON M5V 0C3 Canada Barbara Kilner Tel: 416-874-2859 Email: Barbara.Kilner@accor.com 3. City of San Jose Government $1,063,305 200 E Santa Clara St San Jose, CA 95113 Nora Frimann, City Attorney Tel: 408-535-1900 Email: cao.main@sanjoseca.gov SERVICE CORP: Moody's Completes Review, Retains Ba2 CFR ------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Service Corporation International and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Service Corporation International's (SCI) Ba2 corporate family rating is supported by a large and diverse portfolio of funeral homes and cemeteries, a greater than $12 billion backlog of pre-need sales that provides tangible asset coverage of its debt and balanced financial strategies. The profile is constrained by modest free cash flow generation relative to debt, potential future debt-funded acquisitions or shareholder returns and negative secular trends including a continuing shift to cremation and lower average pricing per service. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. SIERRA ENTERPRISES: Moody's Completes Review, Retains B2 CFR ------------------------------------------------------------ Moody's Investors Service has completed a periodic review of the ratings of Sierra Enterprises LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Sierra Enterprises, LLC's B2 CFR is constrained by its high financial leverage and customer concentration with its three largest customers accounting for over 50% of revenue. The rating also reflects some execution risk in the entry into and expansion of the low-acid aseptic packaging business. Financial policies are aggressive under private equity ownership. However, the rating benefits from Sierra's well-established market position as a foodservice supplier of beverage syrups, nutritional beverages, and toppings in the U.S. The company also benefits from long-standing customer relationships and low exposure to fluctuations in raw material costs. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. SLIDEBELTS INC: Seeks Court Approval to Hire Accountant ------------------------------------------------------- SlideBelts, Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of California to employ Frances Hernandez, a certified public accountant at JD Tax and Accounting Services. Ms. Hernandez will render these services: (a) compute tax liabilities for the Internal Revenue Service; (b) calculate shareholder wages and dividend draws; and (c) assist in the preparation of federal and state income tax returns for the Debtor. Ms. Hernandez will be paid at her hourly rate of $175 for non-technical services and $350 for more complex consultations. Ms. Hernandez is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The accountant can be reached at: Frances Hernandez JD Tax and Accounting Services 1104 Corporate Way Sacramento, CA 95831 Telephone: (916) 721-2172 About SlideBelts Inc. SlideBelts, Inc. -- https://slidebelts.com -- is an El Dorado Hills, Calif.-based belt company founded in 2004. SlideBelts sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Calif. Case No. 20-24098) on Aug. 25, 2020. Brig Taylor, president and chief executive officer, signed the petition. At the time of the filing, the Debtor disclosed assets of between $1 million and $10 million and liabilities of the same range. Judge Fredrick E. Clement oversees the case. The Debtor tapped Reynolds Law Corporation as legal counsel and Frances Hernandez as accountant. SORENSON COMMUNICATIONS: Moody's Rates New $625MM Loans 'B2' ------------------------------------------------------------ Moody's Investors Service affirmed Sorenson Communications, LLC's corporate family rating at B2, assigned a B2 rating to the proposed $625 million senior secured first lien credit facility (term loan and revolver) and downgraded probability of default rating to B3-PD from B2-PD. The ratings outlook was changed to stable from negative. The rating affirmation and change in outlook to stable from negative reflect Sorenson's improved liquidity and solid operating performance in 2020 that allowed substantial debt repayment. Governance considerations, specifically the company's focus on debt reduction and Moody's expectations for a disciplined financial strategy of operating with moderate leverage of under 2x (company definition, before Moody's adjustments) support the ratings. The proposed refinancing will be leverage neutral but Moody's views the planned repayment of expensive second lien debt as credit positive because it will reduce the interest burden, thus improving cash flows. liquidity and the company's ability to delever going forward. Sorenson plans to use net proceeds from the new term loan in conjunction with $90 million of cash on the balance sheet to fully repay its existing first lien term loan and repay a portion of existing second lien PIK loan ($214 million out of $259 million total outstanding). Assignments: Issuer: Sorenson Communications, LLC Gtd Senior Secured First Lien Revolving Credit Facility, Assigned B2 (LGD3) Gtd Senior Secured First Lien Term Loan, Assigned B2 (LGD3) Affirmation: Issuer: Sorenson Communications, LLC Corporate Family Rating, Affirmed B2 Downgrade: Probability of Default Rating, Downgraded to B3-PD from B2-PD Outlook Actions: Issuer: Sorenson Communications, LLC Outlook, Changed To Stable From Negative The following rating at Sorenson Communications, LLC remains unchanged and will be withdrawn upon the closing of the transaction and repayment of the debt in full: Gtd Senior Secured First Lien Term Loan due 2024 at B2 (LGD3) Gtd Senior Secured First Lien Revolver due 2024 at B2 (LGD3) RATINGS RATIONALE Sorenson's B2 CFR continues to reflect its narrow business focus, reliance on compensation rates set by the FCC, uncertainty around future rates and the prospect for further rate decreases that pose meaningful risk to the credit profile. Advances in automated speech recognition technologies support the company's captioning agents though it could also be potentially disruptive to the business over time, particularly as word accuracy increases. The company operates in a narrow market with two primary lines of business: Video Relay Service ("VRS") to the deaf and hard-of-hearing market and CaptionCall, service known more generically as IP Captioned Telephone Service ("IP CTS"), a captioned telephone service specifically designed for the hard-of-hearing market. These credit challenges are counterbalanced by the company's strong market position within its niche business, double-digit EBITDA margins that provide cushion to absorb known rate declines and moderate leverage with estimated FY2020 Debt/EBITDA of 2.4x (including Moody's standard adjustments). Moody's expectation that Sorenson will generate strong free cash flow with any excess cash flow being used to pay down debt also supports the rating. The uncertainty around future rates and the prospect for further decreases continue to pose meaningful risk to the credit profile. ESG CONSIDERATIONS Governance risks taken into consideration include the company's disciplined financial policy, as demonstrated by a track record of substantial debt repayment. Sorenson operates with moderate leverage, which Moody's believes is appropriate given the company's high business risk from regulatory actions. Sorenson's estimated FY2020 leverage is moderate at 2.4x (down from 3.1x at the end of 2019) and solid interest coverage of 3.2x, up from 2.4x in 2019. All metrics include Moody's standard adjustments. Despite declining rates and on-going coronavirus-related challenges, we expect the company to generate free cash flow in the $140-$150 million this year supporting further debt reduction. Social risks include regulatory changes that could reduce profitability, particularly the rates for minutes of use in both the VRS and IP Captioned Telephone Service. The company's VRS and CaptionCall businesses are governed by several regulatory acts including the Americans with Disabilities Act (ADA) and the Telecommunications Relay Service Act (TRS). The Company's VRS business operates under close supervision from the Federal Communications Commission (FCC) and its administrative body. LIQUIITY Moody's expects that Sorenson will maintain good liquidity over the next twelve months supported largely by strong free cash flow in the $140-$150 million range. The proposed $25 million undrawn revolver adds support though is relatively small for a company of Sorenson's size. The revolver expires three months ahead of the term loan in 2025. The first lien term loan amortizes at a rate of 10% per year ($60 million), supporting meaningful delevering over the next 12-18 through debt repayment alone. Cash balances will be minimal due to a cash flow sweep that requires that 75% of quarterly excess cash flows be applied towards first lien term loan repayment beginning with the quarter ended September 30, 2021, with step downs if certain leverage levels are met. The first lien credit facilities (both the term loan and the revolver) are anticipated to have a maximum first lien net leverage ratio of 3x. Moody's expect Sorenson to have comfortable cushion in excess of 20% over the requirement in the next 12-18 months. The company's proposed $25 million first lien revolver due 2025 and $600 million first lien term loan due 2026 are each rated B2, at the same level as the CFR. The proposed first lien debt will be senior to the second lien PIK note (unrated, anticipated to be repaid in summer 2021). The downgrade of the probability of default rating to B3-PD reflects the shift to a largely all-first lien bank debt structure with maintenance covenants proforma for the refinancing and repayment of a portion of the second lien notes. The stable outlook reflects Moody's expectations that the company will continue to generate positive free cash flow and operate with a moderate leverage despite declining revenue trends. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded with improved visibility into future compensation rates, with rates that are supportive of revenue stability or growth. Greater product diversification could reduce exposure to declining rates. The maintenance of low leverage, strong interest coverage and good liquidity would also be required for an upgrade. The ratings could be downgraded if future rates are expected to decline materially, such that Moody's expects Debt/EBITDA to be sustained over 4.5x or EBITA/interest below 1.5x (both metrics are Moody's adjusted) or liquidity deteriorates. The principal methodology used in these ratings was Business and Consumer Service Industry published in October 2016. Sorenson, headquartered in Salt Lake City, Utah, is a provider of IP-based video communication technology and services to the deaf and hard of hearing. The company is majority-owned by affiliates of GSO Capital Partners with ownership stakes also held by affiliates of Franklin Mutual Advisors, affiliates of FS Investments, and other investors. Sorenson generated revenues of $891 million in FY2020. SPECIALTY'S CAFE: Reopens After Forced to File for Chapter 7 ------------------------------------------------------------ Fareeha Rehman of KRON4 reports that beloved Bay Area cafe and bakery, Specialty's, is reopening after being forced to file for bankruptcy due to the COVID-19 pandemic. Specialty's is back to serving up breakfast, lunch and desserts at its original location in Mountain View after closing in May 2020. Not only did it reopen its first store, but the cafe is being run once again by the original founders, Craig and Dawn – plus their grown kids. If Mountain View is a bit too far, the owners have not completely shut down the possibility of opening other locations again, saying: "We will open additional locations based on customer demand." However, people who didn't get a chance to use up their gift cards and rewards before the bankruptcy are out of luck. "With the Chapter 7 Bankruptcy, all assets were liquidated, which, unfortunately, included all Specialty's Rewards and Gift Cards issued prior to 2021," Specialty's said. They added: "We will continue to offer the Specialty's Rewards program — place 12 orders and receive a credit for the average value of those orders. New rewards status info can be found under My Account, Specialty's Reward Status." And before you head to 645 Ellis St for a long-time favorite treat, Specialty’s has said they returned with some new menu items to try as well! About Specialty's Cafe & Bakery Specialty's Cafe & Bakery serves made-from-scratch and healthy breakfasts, lunches and baked goods and offers convenient, same-day online ordering, business catering, and lunch delivery. San Francisco, California-based Specialty's Cafe and Bakery filed a petition for a liquidation under Chapter 7 of the Bankruptcy Code (Bankr. N.D. Cal. Case No. 20-40954) on May 27, 2020. The Debtor was estimated to have less than $50,000 in assets and at least $1 million in liabilities. The Debtor is represented by: Eric A. Nyberg Kornfield Nyberg Bendes Kuhner & Little E-mail: e.nyberg@kornfieldlaw.com SPI ENERGY: Unit Completes Purchase of Petersen-Dean Assets ----------------------------------------------------------- Solarjuice American, Inc., a wholly owned subsidiary of SPI Energy Co., Ltd., has successfully purchased certain assets and intellectual property of Petersen-Dean, Inc., a full-service, privately-held roofing and solar company. The sale received court approval and allows Solarjuice America to resume and enhance Petersen-Dean's national solar, battery and re-roofing installations. "Now that the court has approved the sale of Petersen-Dean's assets and intellectual property to Solarjuice America, we are confident that we will reclaim our place as the industry leader while continuing to grow our residential renewable and roofing energy business segments," stated Xiaofeng Peng, chairman and chief executive officer of SPI Energy. "We plan to pursue the existing project backlog from Petersen-Dean while continuing to synergize the product lines and installation processes across our businesses." Petersen-Dean and Solarjuice America previously agreed to a court-approved sale of Petersen-Dean's consumer assets, including the sale of the consumer contracts that were in the Petersen-Dean pipeline before the pandemic and the resulting Chapter 11 filing caused these projects to stall. US solar installations grew 43% year-over-year in 2020 and are expected to grow at a 17.3% CAGR through 2025 according to data from the Solar Energies Industries Association and Mordor Intelligence. About SPI Energy Co., Ltd. SPI Energy -- http://www.spigroups.com-- is a global renewable energy company and provider of solar storage and electric vehicle solutions for business, residential, government, logistics and utility customers and investors. The Company provides a full spectrum of EPC services to third party project developers, as well as develops, owns and operates solar projects that sell electricity to the grid in multiple countries, including the U.S., the U.K., Greece, Japan and Italy. The Company has its US headquarters in Santa Clara, California and maintains global operations in Asia, Europe, North America and Australia. SPI is also targeting strategic investment opportunities in green industries such as battery storage and charging stations, leveraging the Company's expertise and growing base of cash flow from solar projects and funding development of projects in agriculture and other markets with significant growth potential. SPI Energy reported a net loss attributable to shareholders of the Company of $15.26 million for the year ended Dec. 31, 2019, compared to a net loss attributable to shareholders of the Company of $12.28 million for the year ended Dec. 31, 2018. Marcum Bernstein & Pinchuk LLP, in Beijing China, the Company's auditor since 2018, issued a "going concern" qualification in its report dated June 29, 2020, citing that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. STONEMOR INC: Moody's Completes Review, Retains Caa1 CFR -------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of STONEMOR INC. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations StoneMor Inc.'s (StoneMor) Caa1 corporate family rating reflects its small scale, high financial leverage and limited free cash flow generation. However, the rating is supported by a diverse portfolio of cemetery properties throughout the United States and a valuable base of trust assets and sizable pre-need revenue backlog. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. SUNDANCE ENERGY: Files for Chapter 11 With Debt-for-Equity Plan --------------------------------------------------------------- Sundance Energy Inc. (NASDAQ: SNDE) and its affiliates sought Chapter 11 protection to effectuate a transaction that will strengthen the Company's balance sheet and best position Sundance for sustained future success. Sundance Energy, an onshore independent oil and natural gas company focused on the development of large, repeatable resource plays in North America, said all operations will continue as usual without interruption, and the Chapter 11 process is expected to conclude in approximately 60 days. Prepackaged Plan On March 9, 2021, Sundance entered into a Restructuring Support Agreement (the "RSA") with the administrative agent under its prepetition reserve-based revolving credit facility (the "RBL Facility"), holders of 100% of the outstanding principal amount of revolving loans under the RBL Facility, the administrative agent under the prepetition term loan (the "Term Loan Facility"), and holders of 100% of the outstanding principal amount of term loans under the Term Loan Facility, whereby the parties agreed to support the Company's prepackaged plan of reorganization (the "Prepackaged Plan") under Chapter 11 of the U.S. Bankruptcy Code. The Prepackaged Plan provides for a debt-for-equity exchange that will eliminate over $250 million of funded debt obligations from the Company's balance sheet. Implementation of the Prepackaged Plan will strengthen Sundance's financial structure, allowing it to focus on core competencies without the burden of servicing significant debt levels. With the significant support of its lenders, implementation of the Prepackaged Plan will enable the Company to quickly and efficiently recapitalize its balance sheet and reorganize as a private entity with no material impact on the majority of its creditors. Under the Prepackaged Plan, which remains subject to approval by the Bankruptcy Court and consummation, existing equity interests would be cancelled on the effective date and holders of existing equity interests are not expected to receive any consideration or distributions on account of such interests. $45MM DIP Financing The Company has secured commitments from certain of its Term Loan lenders for at least $45 million in debtor-in-possession ("DIP") financing that, along with normal operating cash flows and the consensual use of cash collateral, will fund normal-course operations and reorganization expenses. Upon emergence, the Company's recapitalized balance sheet will include (i) $137.5 million of funded indebtedness comprising a senior secured reserve-based revolving credit facility, a senior secured second out term loan, and, if necessary, a senior secured third out term loan, in each case provided by the existing RBL Facility lenders and (ii) new common equity interests issued in exchange for DIP financing claims and Term Loan claims, subject to dilution by new common equity interests granted under a new management incentive plan. "Sundance has faced numerous challenges in the last few years resulting in declining cash flow and liquidity that have only been exacerbated by the unprecedented COVID-19 pandemic and volatility in the market price of crude oil and natural gas," said Eric McCrady, Sundance's Chief Executive Officer. "As a result, we are taking decisive action to address these challenges and deleverage our balance sheet to best position our business for sustained future success. We are grateful for the support of our lenders throughout this process and anticipate that the consensus already achieved will simplify our path through Chapter 11 and enable us to emerge with a strengthened financial structure." Business as Usual Sundance expects to continue operations uninterrupted through the Chapter 11 process. The Company has filed customary motions with the Bankruptcy Court seeking authority for Sundance to continue operations in the ordinary course, including, but not limited to, paying employees and continuing existing benefit programs, paying royalty owners and vendors in the normal course, and meeting commitments to customers, including crude buyers. The Company has also filed a customary motion seeking to implement equity trading procedures in an effort to preserve the value of the Company's tax attributes. Such motions are typical in the Chapter 11 process and Sundance anticipates that they will be heard and approved in the first few days of the Chapter 11 cases. In addition, the RSA and Prepackaged Plan contemplate that unsecured trade creditors will be paid in full under the Prepackaged Plan. About Sundance Energy Sundance Energy Inc. -- http://www.sundanceenergy.net/-- is an independent energy exploration and production company located in Denver, Colorado. The Company is focused on the acquisition and development of large, repeatable oil and natural gas resource plays in North America. Current activities are focused in the Eagle Ford. On March 9, 2021, Sundance Energy, Inc. and 3 affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 21-30882). The Honorable David R. Jones is the case judge. Sundance is represented in this matter by Latham & Watkins LLP, Hunton Andrews Kurth LLP, Miller Buckfire & Co., LLC, and FTI Consulting Inc. Prime Clerk LLC is the claims agent. * * * On March 10, 2021, the Debtors filed a joint prepackaged plan of reorganization and a proposed disclosure statement. A combined hearing to consider, among other matters, the adequacy of the Disclosure Statement and confirmation of the Plan will be held on April 19, 2021 at 9:30 a.m., prevailing Central Time, before the Honorable David R. Jones, United States Bankruptcy Court for the Southern District of Texas, Courtroom 400, 4th Floor, 515 Rusk Street, Houston, Texas 77002 via electronic means (audio and video) only. SUNDANCE ENERGY: Unsecured Creditors Unimpaired in Prepack Plan --------------------------------------------------------------- Sundance Energy Inc. (NASDAQ: SNDE) and its affiliates commenced "prepackaged" cases for the purpose of implementing an agreed restructuring of the Debtors' first lien reserve-based revolving loan debt and the Debtors' second lien term loan debt. The Debtors will seek confirmation of their Prepackaged Plan on April 19, 2021. Following months of negotiations, the Debtors entered into the Restructuring Support Agreement with: (a) Toronto Dominion (Texas) LLC, as successor administrative agent under the Debtors' prepetition reserve-based revolving credit facility (in such capacity, together with any successor agent, the "Prepetition RBL Agent"), (b) holders of 100% of the outstanding principal amount of revolving loans under the Debtors' prepetition reserve-based revolving credit facility (such lenders, the "Consenting RBL Lenders"), (c) Morgan Stanley Capital Administrators Inc. (f/k/a Morgan Stanley Energy Capital Inc.), as administrative agent under the Debtors' prepetition term loan (in such capacity, together with any successor agent, the "Prepetition Term Loan Agent"), and (d) holders of 100% of the outstanding principal amount of term loans under the Debtors' prepetition term loan (such holders, the "Consenting Term Lenders"). As of the Petition Date, the Debtors have outstanding funded debt obligations in the amount of approximately $400 million, comprised of $146.95 million outstanding under the Prepetition RBL Facility and $252.997 million outstanding under the Prepetition Term Loan Facility. As of the Petition Date, the Debtors have unsecured trade debt and other obligations, including royalty obligations, of $30.21 million on account of prepetition goods and services provided to the Debtors. In addition, the Debtors borrowed approximately $1.9 million under the Payroll Protection Program, and the Debtors believe it is probable that the PPP loan will be forgiven in its entirety. Under the terms of the Restructuring Support Agreement, the parties agreed to deleveraging transactions, including a debt for equity exchange, that will eliminate over $250 million of funded debt obligations of the Debtors through the proposed Plan. The Restructuring contemplates these transactions: -- Funding of the Cases. The Chapter 11 Cases will be financed by the DIP Facility, which will be a new $45 million junior priority debtor-in-possession credit facility provided by the Prepetition Term Lenders. -- Exit Facilities. On the Effective Date of the Plan, the Reorganized Debtors will enter into the following Exit Facilities: * Exit RBL Facility. The Reorganized Debtors and each Prepetition RBL Lender that elects to participate in the Exit RBL Facility will enter into the Exit RBL Facility, which will be a new reserve-based lending revolving credit facility having a borrowing base of $107.5 million (inclusive of a $20 million letter of credit subfacility) minus the Initial Third Out Term Loan Amount. * Exit Second Out Term Loan Facility. The Reorganized Debtors and each Prepetition RBL Lender that elects to participate in the Exit RBL Facility will enter into the Exit Second Out Term Loan Facility, which will be a new first lien second out term loan facility having a principal amount of $30 million. * Exit Third Out Term Loan Facility. The Reorganized Debtors and each Non-Participating RBL Lender will be deemed to enter into the Exit Third Out Term Loan Facility, which will be a new first lien third out term loan facility having a principal amount equal to the amount of Allowed Prepetition RBL Claims held by Non-Participating RBL Lenders minus the aggregate Cash Paydown received by all Non-Participating RBL Lenders (the "Initial Third Out Term Loan Amount"). -- All Allowed Administrative Claims, Priority Tax Claims, Other Priority Claims, Secured Tax Claims, and Other Secured Claims will be paid in full (or will receive such other treatment rendering such Claims unimpaired). -- DIP Facility Claims. Each holder of an Allowed DIP Facility Claim will receive its pro rata share of the New Common Equity Interests DIP Pool, comprising 38.0338% of the New Common Equity Interests (subject to dilution by the MIP Equity); provided, that in the discretion of the Required Consenting Term Lenders the New Common Equity Interests DIP Pool shall be increased to include equity to be issued in exchange for Case Extension Loans (if any), which shall be subject to dilution by the MIP Equity. -- Prepetition RBL Claims. * Each holder of a Prepetition RBL Claim that votes to accept the Plan will receive: (i) its pro rata share (determined as a percentage of the Allowed Prepetition RBL Claims held by lenders electing to participate in the Exit RBL Facility) of the loans under the Exit RBL Facility; (ii) its pro rata share (determined as a percentage of the Allowed Prepetition RBL Claims held by lenders electing to participate in the Exit RBL Facility) of the loans under the Exit Second Out Term Loan Facility; and (iii) its pro rata share (determined as a percentage of all Allowed Prepetition RBL Claims) of the Cash Paydown. * Each Non-Participating Lender will receive: (i) loans under the Exit Third Out Term Loan Facility with a principal amount equal to the amount of such holder's Allowed Prepetition RBL Claim minus the amount of Cash Paydown received by such holder; and (ii) its pro rata share (determined as a percentage of all Allowed Prepetition RBL Claims) of the Cash Paydown. -- Prepetition Term Loan Claims. Each holder of an Allowed Prepetition Term Loan Claim will receive its pro rata share of 100% of the New Common Equity Interests Term Loan Pool, comprising 61.9662% of the New Common Equity Interests (subject to dilution by the MIP Equity) and equity issued in exchange for Case Extension Loans (if any) (which shall be subject to dilution by the MIP Equity)). -- General Unsecured Claims. The legal, equitable, and contractual rights of holders of Allowed General Unsecured Claims will be unaltered by the Plan. On or as soon as practicable after the earliest to occur of the Effective Date of the Plan and the date an Allowed General Unsecured Claim becomes due in the ordinary course of business, each Holder of an Allowed General Unsecured Claim will receive payment in full in Cash on account of its General Unsecured Claim or such other treatment as would render such claim unimpaired. -- Old Parent Interests. All existing common stock in Parent and all 510(b) Equity Claims (the "Old Parent Interests") will be cancelled, and each holder of an Old Parent Interest will not receive any distribution or retain any property on account of such Old Parent Interest. -- Management Incentive Plan. On the Effective Date of the Plan, the Reorganized Parent will enter into a management incentive plan, which will provide for the grant of 6% of the New Common Equity Interests (which may be in the form or a combination of options, restricted stock units, and/or other full value or appreciation awards exercisable, exchangeable, or convertible into such New Common Equity Interests) on a fully diluted basis to certain members of senior management (the "MIP Equity"). The Restructuring will leave the Debtors' business intact and substantially de-levered, which will allow the Debtors to emerge from the Chapter 11 Cases as reorganized entities better positioned to perform in the competitive oil and natural gas industry. The Restructuring proposed under the Plan provides value to many of the Debtors' non-affiliate stakeholders. The Plan provides for a recovery to each class of claims (other than intercompany claims) in the form of cash, debt, or stock. Distributions of equity in the Reorganized Debtors will allow certain stakeholders to participate in potential future upside in the Reorganized Debtors. The proposed Restructuring has the additional benefit of ensuring that management remains highly committed to the future of the Reorganized Debtors. A copy of the Disclosure Statement is available at https://bit.ly/3l4wckU About Sundance Energy Sundance Energy Inc. -- http://www.sundanceenergy.net/-- is an independent energy exploration and production company located in Denver, Colorado. The Company is focused on the acquisition and development of large, repeatable oil and natural gas resource plays in North America. Current activities are focused in the Eagle Ford. On March 9, 2021, Sundance Energy, Inc. and 3 affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 21-30882). The Honorable David R. Jones is the case judge. Sundance is represented in this matter by Latham & Watkins LLP, Hunton Andrews Kurth LLP, Miller Buckfire & Co., LLC, and FTI Consulting Inc. Prime Clerk LLC is the claims agent. * * * On March 10, 2021, the Debtors filed a joint prepackaged plan of reorganization and a proposed disclosure statement. A combined hearing to consider, among other matters, the adequacy of the Disclosure Statement and confirmation of the Plan will be held on April 19, 2021 at 9:30 a.m., prevailing Central Time, before the Honorable David R. Jones, United States Bankruptcy Court for the Southern District of Texas, Courtroom 400, 4th Floor, 515 Rusk Street, Houston, Texas 77002 via electronic means (audio and video) only. SURVEYMONKEY INC: Moody's Completes Review, Retains B3 CFR ---------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of SurveyMonkey Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations SurveyMonkey's B3 corporate family rating reflects its solid position in a niche web-based surveys market segment and recent success in the expansion of its services into the Enterprise market, strong cash flow generation and good liquidity position. Moody's believes the company's core products are well-positioned, and that revenue growth and expansion into the Enterprise market will continue over the longer-term horizon. The rating is constrained by high financial leverage, small scale, high stock-based compensation expense and continued investment needs to mitigate technology risk. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. TEMBLOR PETROLEUM: Asks for April 17 Extension to File Plan ----------------------------------------------------------- Temblor Petroleum Company, LLC asks the U.S. Bankruptcy Court for the Eastern District of California, to extend its time to file a Second Amended Disclosure Statement and Second Amended Plan of Liquidation to April 17, 2021. The Debtor relates it filed a First Amended Disclosure Statement and First Amended Plan of Liquidation on February 3, 2021, and that the Court denied approval of the First Disclosure Statement on February 24. The Debtor further relates it was ordered by the Court to file a Second Amended Disclosure Statement and Second Amended Plan of Liquidation by March 17. The Debtor contends that since the hearing on approval of the First Amended Disclosure Statement, it has undertaken a review of its Chapter 11 case and the options available to it, including: (a) preparing and filing a Second Amended Disclosure Statement and Second Amended Plan of Liquidation; (b) converting its Chapter 11 case to Chapter 7; or (c) seeking the dismissal of its Chapter 11 case. The Debtor further contends it needs between 30 and 45 days to decide how it should proceed in its Chapter 11 case. The Debtor proposes that the Court set the following schedule concerning a Second Amended Disclosure Statement and Second Amended Plan if its application is approved: (a) April 17, 2021 as deadline to file the Second Amended Disclosure Statement and Second Amended Plan (b) April 30, 2021 as deadline to file Objections to approval of the Second Amended Disclosure Statement (c) May 6, 2021 as the date set for hearing to approve the Second Amended Disclosure Statement. The Debtor tells the Court that it knows of no harm or prejudice that will occur to any party in interest if its application is approved. About Temblor Petroleum Company Temblor Petroleum Company, LLC, is part of the oil and gas exploration and production industry. It is based in Bakersfield, Calif. Temblor Petroleum Company filed a Chapter 11 petition (Bankr. E.D. Cal. Case No. 20-11367) on April 9, 2020. In its petition, the Debtor disclosed $12,688,376 in assets and $12,198,911 in liabilities. Philip Bell, the managing member, signed the petition. Judge Fredrick E. Clement oversees the case. The Law Offices of Leonard K. Welsh serves as the Debtor's bankruptcy counsel. TENNECO INC: Moody's Assigns Ba3 Rating to New $800M Secured Notes ------------------------------------------------------------------ Moody's Investors Service assigned a Ba3 rating to Tenneco Inc.'s proposed $800 million senior secured notes. Tenneco's existing ratings, including the Corporate Family and Probability of Default ratings at B2 and B2-PD, respectively, the existing senior secured debt rating at Ba3 and senior unsecured debt rating at Caa1 are all unaffected. The Speculative Grade Liquidity rating remains SGL-3. The outlook is stable. The proceeds from these notes, along with a nominal amount of cash on hand, will be used to redeem the existing senior secured notes due 2024 in addition to paying the related call premiums, fees and expenses. Moody's took the following rating action on Tenneco Inc.: New Senior Secured Regular Bond/Debenture, assigned at Ba3 (LGD2) The following ratings for Tenneco Inc. were unaffected, but LGD adjustments have been made: Corporate Family Rating, at B2 Probability of Default Rating, at B2-PD Senior Secured Bank Credit Facility, at Ba3 to (LGD2) from (LGD3) Existing Senior Secured Regular Bond/Debenture, at Ba3 to (LGD2) from (LGD3) Senior Unsecured Regular Bond/Debenture, at Caa1 (LGD6) Speculative Grade Liquidity Rating, remains SGL-3 Outlook, Stable RATINGS RATIONALE Tenneco's ratings reflect a strong competitive position as a Tier One OEM automotive supplier, with a sizeable aftermarket business composed of well-known brand names. The Clean Air business (about 28% of value-add revenue) will remain important as auto OEMs address increasingly more stringent emission regulations. The MotorParts business (23% of value-add revenue) that produces aftermarket auto parts should continue to benefit from increasing average vehicle age and stable growth while the Ride Performance business (18% of value-add revenue) with its noise, vibration and harshness materials, should experience trends consistent with global automotive production. While Moody's believes the internal combustion engine will retain sizeable vehicle penetration for some time, Tenneco's Powertrain business (about 31% of value-add revenue) faces long-term pressures as the auto industry transitions to electric propulsion. Debt-to-EBITDA for the twelve months ended December 31, 2020 was still high at 8x (after Moody's standard adjustments) with EBITA-to-interest coverage below 1x but with Moody's expectations for debt-to-EBITDA to fall comfortably below the mid-6x range by the end of 2021. Free cash flow was strong in 2020 (free cash flow-to-debt near 8%) boosted by several one-time items but is expected to again be meaningfully positive in 2021 despite a return to a more normalized sales cycle and overall growth. The stable outlook includes Moody's expectation for continued, positive operating momentum through 2021 as vehicle production levels steadily climb back towards pre-pandemic levels. Tenneco's good cash position and financial covenant headroom also support improving financial flexibility. Tenneco's SGL-3 Speculative Grade Liquidity Rating reflects adequate liquidity supported by cash at December 31, 2020 of roughly $800 million and near full availability under the $1.5 billion revolving credit facility. Moody's expects Tenneco to generate positive free cash flow over the course of 2021, enabling further debt reduction to go along with stronger earnings. The credit facility has two financial covenants, a maximum senior secured net leverage ratio and a minimum interest coverage ratio, that are not expected to be triggered over the next twelve months. Tenneco also relies on significant accounts receivable factoring/securitization facilities as a source of financing (included in Moody's adjusted debt calculations). If unable to maintain and extend these programs, additional borrowings under the revolving credit facility would be required to meet liquidity needs. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING The ratings could be upgraded with stronger than anticipated profit and cash flow growth from sustained stability in global automotive demand or the ability to manage the volatility, with increasing product penetration and faster than expected realized synergies. Consideration for a higher rating could result from debt-to-EBITDA sustained below 5.5x, and EBITA-to-interest coverage, inclusive of restructuring, above 1.5x, while maintaining an adequate liquidity profile. The ratings could be downgraded if the company is unable to demonstrate operating performance resulting from merger synergies and additional cost saving actions in 2021 above levels generated in 2019. The ratings could also be downgraded if debt-to-EBITDA is expected to be sustained over 6.5x or EBITA-to-interest coverage sustained below 1x in the second half of 2021. The automotive industry exposes the company to material environmental risks arising from increasing regulations on carbon emissions. Tenneco's Clean Air division helps the company address this customer risk with products targeting emission reduction. Yet, the company's Powertrain division products may face pressure as increasing build rates of hybrid vehicles reduce the size of internal combustion engines paired with these vehicles. The Powertrain division's ability to develop competitive products driving engine efficiency will be important to the company's competitive position. The principal methodology used in this rating was Automotive Supplier Methodology published in January 2020. Tenneco Inc. designs, manufactures and markets Ride Performance, Clean Air, Aftermarket and Powertrain products and technology solutions for light vehicle, commercial truck, off-highway, industrial and the aftermarket automotive parts industry. Revenues for the year ended December 31, 2020 were approximately $15.4 billion. TENTLOGIX INC: March 30 Hearing on Sale of Assets for $59.6K ------------------------------------------------------------ The U.S. Bankruptcy Court for the Southern District of Florida will convene a telephonic hearing via CourtSolutions LLC on March 30, 2021, at 1:30 p.m., to consider Tentlogix Inc.'s proposed sale of the following: (i) a 20m x 40m Roder Structure, which is a temporary building structure, to Jamaica Tent Co., Inc. for the price of $19,602; and (ii) 20,000 square feet of Supa Track Flooring with 400 linear feet of edging, to U.S. Tent Rental, for the price of $40,000. To participate through CourtSolutions, parties must make a reservation in advance no later than 3:00 p.m., one business day before the date of the hearing. Reservations should be arranged online at https://www.court-solutions.com. If a party is unable to register online, a reservation may also be made by telephone at (917) 746-7476. About Tentlogix Inc. Tentlogix Inc. filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case No. 20-22971) on Nov. 27, 2020. Gary Hendry, chief executive officer, signed the petition. At the time of the filing, the Debtor disclosed $3,135,866 in assets and $10,689,420 in liabilities. Judge Mindy A. Mora oversees the case. The Debtor tapped Kelley, Fulton & Kaplan, P.L. as its legal counsel and Carr Riggs & Ingram as its accountant. TENTLOGIX INC: Premier Buying 7 Dodge and Ford Vehicles for $201K ----------------------------------------------------------------- Tentlogix Inc. asks the U.S. Bankruptcy Court for the Southern District of Florida to authorize the sale to Premier Truck Center of the following vehicles: Vehicle VIN Purchase Lienholder Amount Due Price 2016 Dodge 5500 5536 $28,000 Citizen's Bank, N.A. $16,708.09 2016 Ford 8709 $10,000 Seacoast Claim #22 $ 9,049.88 2018 Dodge 5500 6698 $39,000 Seacoast Claim #25 $38,474.98 2018 Dodge 5500 2157 $38,000 Seacoast Claim #26 $38,474.98 2017 Ford Transit 6254 $12,000 Seacoast Claim #23 $ 9,945 2018 Dodge 5500 0820 $38,000 Ally Financial Claim #18 $36,514.37 2018 Dodge 5500 3507 $36,000 Ally Financial Claim #17 $36,754.64 The terms of the offers are set forth in the Trade In Appraisals. The Purchaser has no relationship to the Debtor or its principals, so the purchase offer is arms'-length. The sale is "as is, where is" and is made without warranties, express or implied. The Debtor respectfully requests, pursuant to Sectio 363(b) and (f) of the Bankruptcy Code, the entry of an order: (a) authorizing the sale of the Vehicles to the Purchaser free and clear of all liens, claims, encumbrances, and interests; and (b) authorizing the Debtor to pay Seacoast National Bank and/or Ally Bank from the sale of the Collateral to satisfy the claims in full; and (c) for other such relief as the Court deems just and proper. The Vehicles listed are not necessary for the Debtor's reorganization. Allowing the Vehicles to be sold will relieve the Debtor of the burdens of property ownership, such as monthly installment payments and vehicle insurance. The Debtor requests that the Court waives the 14-day stay requirement of Rule 6004(h) of Federal Rule of Bankruptcy Procedure. A copy of the Trade In Appraisals is available at https://tinyurl.com/4ch4x5r from PacerMonitor.com free of charge. About Tentlogix Inc. Tentlogix Inc. filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case No. 20-22971) on Nov. 27, 2020. Gary Hendry, chief executive officer, signed the petition. At the time of the filing, the Debtor disclosed $3,135,866 in assets and $10,689,420 in liabilities. Judge Mindy A. Mora oversees the case. The Debtor tapped Kelley, Fulton & Kaplan, P.L. as its legal counsel and Carr Riggs & Ingram as its accountant. TENTLOGIX INC: Selling Roder Structure/Supa Track Flooring for $60K ------------------------------------------------------------------- Tentlogix Inc. asks the U.S. Bankruptcy Court for the Southern District of Florida to authorize the sale of the following: (i) a 20m x 40m Roder Structure, which is a temporary building structure, to Jamaica Tent Co., Inc. for the price of $19,602; and (ii) 20,000 square feet of Supa Track Flooring with 400 linear feet of edging, to U.S. Tent Rental, for the price of $40,000. The Debtor operates a business that rents tents and other equipment for large scale events such as tradeshows, galas, corporate events, weddings, and festivals. When the COVID-19 pandemic struck the country, the rental industry was effectively shut down as large-scale events were banned nationwide in an attempt to flatten the curve and slow the spread of the novel coronavirus. The result is that the Debtor's business slowed to nothing short of a screeching halt. As a result of the foregoing, the Debtor filed for relief under Chapter 11 of the Bankruptcy Code to restructure its business affairs. By way of the Motion, the Debtor respectfully requests approval by the Court to sell the Assets to the Buyers. These Assets are owned free and clear of any liens. The terms of the offers are set forth in the offers (Exhibit A). Neither Jamaica Tent nor U.S. Tent Rental has a relationship to the Debtor or its principals, so the purchase offer is arm’s length. The sale is "as is, where is" and is made without warranties, express or implied. The Debtor respectfully asks for the entry of an order authorizing the sale of the Assets to the respective purchasers as detailed. Due to a decrease in the Debtor's business and income as a result of the COVID-19 pandemic, the Debtor has made the business decision to sell these Assets. The Debtor is not using these Assets in its business operations and it would benefit the estate to use these Assets to fund business operations in lieu of maintaining Assets that the Debtor is no longer using. The Assets are not necessary for the Debtor's reorganization and the sale is in the best interest of the estate. Finally, the Debtor asks that the Court waives the 14-day stay requirement of Rule 6004(h) of Federal Rule of Bankruptcy Procedure. A copy of the Offers is available at https://tinyurl.com/yf4p4une from PacerMonitor.com free of charge. The Purchasers: JAMAICA TENT CO., INC. Attn: Joseph Sadler, VP Telephone: (561) 848-8823 U.S. TENT RENTAL 7600 Matoaka Rd. Sarasota, FL 34243 Attn: Timothy A. Boyle, VP/Co-Owner Telephone: (941) 727-3311 Facsimile: (941) 727-4938 About Tentlogix Inc. Tentlogix Inc. filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case No. 20-22971) on Nov. 27, 2020. Gary Hendry, chief executive officer, signed the petition. At the time of the filing, the Debtor disclosed $3,135,866 in assets and $10,689,420 in liabilities. Judge Mindy A. Mora oversees the case. The Debtor tapped Kelley, Fulton & Kaplan, P.L. as its legal counsel and Carr Riggs & Ingram as its accountant. TERRY HAWKINS: $88K Cash Sale of Covington Property to Venture OK'd ------------------------------------------------------------------- Judge Jennie D. Latta of the U.S. Bankruptcy Court for the Western District of Tennessee authorized Terry Hawkins and Jackie Hawkins to sell the real property at 1725 Highway 51 South, in Covington, Tennessee, to Venture Capital Properties, LLC, for $88,000, pursuant to their Sales Contract. The sale is free and clear of liens, claims, tax liens, interests, and encumbrances. The Court authorized the $8,000 buyer's premium being paid to Jeff Morris and Morris Realty & Auction, and all necessary closing costs in accordance with the Sales Contract be paid at closing with the balance of sales proceeds after these payments be paid to the lienholder, Ready Cap Lending, LLC. Notice of the Motion has been provided in accordance with Bankruptcy Rule 2002 and Rule 6004 with 14-day stay imposed by Rule 6004(h) of the Federal Rules of Bankruptcy Procedure is waived. Terry Hawkins and Jackie Hawkins sought Chapter 11 protection (Bankr. W.D. Tenn. Case No. 19-25640) on July 22, 2019. The Debtors tapped Toni Campbell Parker, Esq., as counsel. TIMOTHY D SEMONES: Ellison Buying Porsche, Hummer & Harley for $65K ------------------------------------------------------------------- Timothy D. Semones and Susan C. Desko ask the U.S. Bankruptcy Court for the District of Idaho to authorize the sale to Tom Ellison of the following vehicles: (i) Porsche for $45,000, (ii) Hummer for $15,000, and (iii) Harley for $5,000. The Debtors owned the vehicles. There are no liens on the vehicles, and the values of the vehicles being sold were calculated based on Kelley Blue Book values. The Purchaser's address is 11400 SE 6th Street, Ste 220, Bellevue, WA 98004. Upon Court approval of the sale, the Debtors will transfer the vehicles via a Bill of Sale in return for the payment. They will then pay the sale proceeds to unsecured creditors pursuant to the terms of their confirmed plan, immediately upon the entry of a confirmation order. Timothy D. Semones and Susan C. Desko sought Chapter 11 protection (Bankr. D. Idaho Case No. 19-40057) on Jan. 24, 2019. The Debtor tapped Matthew Todd Christensen, Esq., at Angstman Johnson, PLLC as counsel. TREEHOUSE FOODS: Moody's Completes Review, Retains Ba3 CFR ---------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of TreeHouse Foods, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations TreeHouse Foods, Inc.'s Ba3 CFR reflects its leading position as the nation's largest private label food manufacturer. Further, the ratings are supported by the company's significant scale and good diversification. At the same time, these credit strengths are counterbalanced by execution risk related to ongoing restructuring; potential further plant disruptions due to the coronavirus pandemic; relatively high financial leverage; and raw material price volatility. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. TRITON WATER: S&P Assigns 'B' Issuer Credit Rating, Outlook Stable ------------------------------------------------------------------ S&P Global Ratings assigned a 'B' issuer credit rating to Triton Water Holdings Inc., which is the borrower of the proposed credit facilities and will be the financial reporting entity going forward. S&P said, "At the same time, we are assigning our 'B' issue-level to the company's proposed $1.8 billion senior secured first-lien term loan due 2028. The recovery rating is '3', reflecting our expectation for meaningful (50%-70%; rounded estimate 65%) recovery in the event of default. For recovery analysis purposes, we have assumed the $1.8 billion term loan and $750 million of other secured debt will be pari passu. "The stable outlook reflects our expectation over the next year that the company will generate modest topline and EBITDA growth, and realize synergies, such that adjusted leverage will improve to the mid-6x area by the end of 2021 from the low-7x area pro forma for the transaction. "Our ratings reflect high pro forma leverage, financial sponsor ownership, and aggressive financial policy. We estimate financial leverage will be in the low-7x area when the transaction closes. We believe the company's financial policies are largely driven by its financial sponsor One Rock Capital Partners and those policies will likely prevent the company from sustaining leverage below 5x for an extended time. Therefore, while we expect credit metrics to moderately improve over time, we believe the company will likely add leverage to make acquisitions or distribute dividends to its shareholders. "Our ratings further reflect the company's leading market position and strong brand recognition in the U.S. bottled water market, and narrow business focus, limited geographic diversity, some customer concentration and raw material cost volatility. Triton is the no. 1 player with a portfolio of highly recognizable brands in the U.S. bottled water market and has the no. 2 position in beverage delivery services. It is a pure-play water company and holds about 19% aggregate market share in U.S. bottled water market. Other players include the Coca-Cola Company, Pepsico, and Danone S.A. Though not pure-play water companies, all these competitors possess greater scale, and financial and marketing resources than Triton. There is risk that these competitors could increase their focus and investment in the space to support their brands and gain market share. The company also faces fierce private-label competition. We believe the company has lost market share in still water as private labels continue to grow and gain share in recent years." The company produces and sells six regional spring water brands which include Poland Spring, Deer Park, Ice Mountain, Ozarka, Zephyrhills, and Arrowhead, and two national water brands Pure Life and Splash. S&P said, "We view the bottled water category as commoditized with limited pricing power. Triton sells through the retail channel (supermarket, club, mass merchandiser, C-store, and others), which represents about 75% of sales, and through direct-to-consumer and office beverage delivery services through its ReadyRefresh channel, which represents about 25% of sales. Its products include case packs, occasion packs/single bottles, multi-serve bottles, and sparking water, serving various consumption occasions. The company has a national manufacturing footprint of spring water sites, production facilities, and ReadyRefresh branches. We believe the company's large spring sites footprint, production facilities and logistic network create barriers to entry." The company has strong relationships with major retail customers, though there is some customer concentration in the retail channel. Its largest three customers represent about 30% of sales in the retail business. S&P believes the loss of any of these customers would have a negative impact on the company's operations. On the other hand, there is no material customer concentration in the ReadyRefresh business. The subscription-based model and long average customers tenure provide some recurring revenue. Triton is also exposed to raw material costs and distribution cost volatility. Fluctuations in resin and fuel prices can hurt the company's margins if it cannot successfully pass those costs to customers. The company uses a combination of in-house and third-party distributors in the retail business, and owns its fleet and provides distribution services in its ReadyRefresh business. S&P said, "We expect the company to modestly grow both its topline and EBITDA, driven by continued stable demand, with additional upside from the high growth categories. Total U.S. bottled water category retail sales is about $18 billion according to IRI data, with mid-single-digit percentage CAGR growth in the last few years, driven by sparkling and premium still water. Bottled water consumption in the U.S. outpaced carbonated soft drinks in 2016, and we expect continued stable growth in the category as consumers increase their focus on health and wellness." Triton mainly plays in the mainstream still water category, which is mature and stable with low growth prospects. COVID-19 had a negative impact on the business in 2020 as revenue declined by a mid-single-digit percentage and EBITDA by a high-teens percentage. S&P said, "We expect operating performance to recover in 2021. We expect the company to grow its core business, driven by moderate volume growth and some pricing actions. We expect the company to invest more in sales and marketing to differentiate its products, reposition its spring water to better connect with customers, accelerate product innovation, optimize its pricing strategy as well as realize some cost savings. We expect continued growth in the residential segment of the ReadyRefresh business, and a very gradual recovery in the commercial segment as offices and businesses reopen this year." S&P believes growth opportunity comes from the sparking and premium still water subcategories, and that the company can leverage its under-utilized manufacturing capabilities to participate. There is also opportunity to grow its presence in the C-stores channel, which currently only represents about a mid-single-digit percentage of sales in its retail business, but has higher margins than other channels. In addition, RTD coffee and tea categories are growing fast, which represent additional opportunities for the company to tap into, but may require acquisitions. Environmental risks exist, though we believe the company is well-positioned in the industry and believe the potential for significant profit deterioration over the next few years is low. In S&P's view, the main environmental, social, and government (ESG) risks include plastic packaging waste and water use, and to a lesser extent, greenhouse gas emission. There is heightened societal concern around the potential negative effects of plastic products on the environment. To tackle this, Triton is investing in recycling infrastructure, creating bottles from recycled plastic and planning to eliminate the use of virgin plastic by 2030. The company also has 18% recycled polyethylene plastic (rPET) usage (and a stated goal of 50% by 2025), compared with PepsiCo's low-single-digit and Coca-Cola's 10% usage currently. Triton's Poland Spring, Zephyrhills, Deer Park, and Ozarka brands use 100% rPet in a number of bottle sizes. On greenhouse gas emissions, its ReadyRefresh business is certified carbon neutral and half of its fleet use alternative fuel. Triton uses large quantities of water and given greater water scarcity in many regions, the company could have higher operating costs to source water or face government restrictions. The company indicates it is committed to water stewardship and protecting water sources and the surrounding environment, and is the sole Alliance for Water Stewardship certified water bottler. However, the company is exposed to litigation risks regarding its compliance with all the terms and conditions on spring sites and chemical analysis of spring water. Demand for its product or brand could drop sharply if consumers no longer trust the environmental sustainability of its products. S&P said, "Overall, we believe the company is well-positioned in the industry and view the environmental risk as manageable over the next few years because of Triton's stated commitment to sustainability, the prevalence of plastics in society, and the historically gradual change of U.S. consumer preferences toward sustainability. We also believe the process of eliminating or replacing plastics will be measured. "The stable outlook reflects our expectation that, over the next year, the company will generate modest topline and EBITDA growth, and realize synergies, such that adjusted leverage will improve to the mid-6x area by the end of 2021 from the low-7x area pro forma for the transaction. "We could lower our ratings if the company's operating performance does not recover as expected in order to sustain organic growth and strong free cash flow generation. This could be the result of lingering impacts from the COVID-19 pandemic or more intense competition from private-label rivals, which would lead to lower demand for the company's products or the loss of major customers, resulting in leverage sustained above 7x at the end of 2021. We could also lower our ratings if the company's financial policy becomes more aggressive, with significant debt-financed shareholder distributions or acquisitions. "Although unlikely in the next 12 months, we could raise our ratings if the company performs substantially above our expectations and we are confident that the company will adopt a less aggressive financial policy, including sustaining leverage below 5x. An upgrade would also be predicated on a commitment from the financial sponsor not to pursue debt-financed dividends or acquisitions that would lead to a meaningful deterioration of credit ratios." TWILIO INC: Moody's Assigns Ba3 CFR & Rates New $1BB Notes Ba3 -------------------------------------------------------------- Moody's Investors Service assigned a Ba3 Corporate Family Rating and a Ba3-PD Probability of Default Rating to Twilio Inc. Concurrently, Moody's rated Twilio's proposed $1 billion senior unsecured notes at Ba3 and assigned a Speculative Grade Liquidity rating of SGL-1. The outlook is stable. Net proceeds from the proposed note issuance will be used for general corporate purposes, funding approximately $1 billion to Twilio's balance sheet. Assignments: Issuer: Twilio Inc. Corporate Family Rating, Assigned Ba3 Probability of Default Rating, Assigned Ba3-PD Speculative Grade Liquidity Rating, Assigned SGL-1 Senior Unsecured Regular Bond/Debenture, Assigned Ba3 (LGD4) Outlook Actions: Issuer: Twilio Inc. Outlook, Assigned Stable RATINGS RATIONALE The Ba3 CFR reflects Twilio's very high Moody's adjusted leverage, negative free cash flow generation, and expectations for continued substantial operating losses over the near-term as the company continues to aggressively fund growth. Twilio's adjusted EBITDA generation (on a Moody's adjusted basis) was negative in the year ended December 31, 2020, resulting in an infinite leverage profile however, when adjusting for certain one-time items, change in deferred revenue and stock based compensation expense, "cash" adjusted leverage could still be viewed in excess of 10x. However, pro forma for the financing, follow-on equity offering and investment in Syniverse, Twilio is expected to maintain a substantial net cash position of approximately $4 billion. Although Twilio is currently cash flow negative, with low fixed payments and currently no dividend, Moody's expects the company to become free cash flow positive over the next 12-18 months with free cash flow to gross debt growing into the high single-digit percent range. The improvement in free cash flow will be driven by improvements in operating leverage as customers continue to adopt and increase usage of Twilio's products as well as an increasing focus on collecting cash up front which will drive deferred revenue growth. Despite Twilio's currently weak profitability, the ratings are supported by the company's substantial liquidity (approximately $5 billion of cash and equivalents pro forma for the notes offering, follow-on equity offering, and investment in Syniverse). The rating is also supported by Twilio's leading market position as the largest provider of a Communications Platform as a Service (CPaaS), rapid revenue growth (Twilio grew 55% year over year in 2020) and very strong equity cushion. Twilio has solid operating scale (approximately $1.8 billion in 2020 revenues) which is expected to improve as the company continues to grow both organically and through potential acquisitions. Moody's expects Twilio to realize organic revenue growth in the mid double-digit percentage range over the next 12-18 months, driven by secular advances in digital communications and software applications that will support continued new customer acquisition and ramping usage growth with existing customers. Twilio has a respectable geographic presence with 27% of 2020 revenues based outside of the US. Moody's expects that Twilio will continue to diversify revenue internationally as the company pursues new foreign markets. Over the past few years, Twilio has been able to achieve industry leading revenue retention with attrition rates below 5%. The low churn adds to revenue predictability and supports operating leverage. While messaging is the largest product revenue stream for Twilio, app services carries the highest gross margin. Twilio's messaging service has seen a recent resurgence in growth which will dampen margin improvements over the near term. However, as app services constitute a larger portion of total revenue, Twilio's overall gross margins will improve. The SGL-1 rating reflects very good liquidity supported by expected cash and cash equivalents of approximately $5 billion at the close of the transaction. Moody's expects Twilio to become free cash flow positive within the next 12-18 months, generating free cash flow to gross debt in the high single-digit percent range. Twilio does not have access to an external revolving credit facility. Twilio has issued common shares to bolster cash balances and could do so again to raise sizable capital if necessary. The stable outlook reflects Moody's expectation of mid double-digit percentage organic annual revenue growth and significant improvement in free cash flow generation over the next 12-18 months. The stable outlook also incorporates Moody's expectation that Twilio will maintain its very strong net cash position. As a software company, Twilio's exposure to environmental risk is considered low. Social risks are considered low to moderate, in line with the software sector. Broadly, the main credit risks stemming from social issues are linked to data security, diversity in the workplace and access to highly skilled workers. Moody's expects that Twilio, a public company with an independent board of directors, will pursue a disciplined financial policy which balances shareholder and creditor interests. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Twilio's ratings could be downgraded if the company is not on track to generate significant free cash flow (CFO -- capex) over the next 12-18 months. There could also be downward pressure on ratings if organic revenue growth decelerates as a result of sustained market pressures or if Twilio were to further increase debt balances before achieving operating profitability. An erosion of the substantial net cash position could also lead to a downgrade. Ratings could be upgraded if operating performance were to improve such that free cash flow generation was consistently positive (in excess of 15% of gross debt) while also maintaining a net cash position, strong revenue growth profile and improving profitability. Twilio Inc., headquartered in San Francisco, CA, creates and provides Application Programming Interfaces (APIs) to its software developer customer base. These APIs enable software developers to digitize communications and improve customer engagement through messaging, voice, email, and other modes of communication. Twilio Inc. is a public company with an independent board. The company generated revenues of approximately $1.8 billion in 2020. The principal methodology used in these ratings was Software Industry published in August 2018. TWO GUNS CONSULTING: Voluntary Chapter 11 Case Summary ------------------------------------------------------ Debtor: Two Guns Consulting & Construction, LLC 4136 IH 37 N. Service Rd Odem, TX 78370 Business Description: Two Guns Consulting & Construction, LLC is part of the heavy & civil engineering construction industry. Chapter 11 Petition Date: March 9, 2021 Court: United States Bankruptcy Court Southern District of Texas Case No.: 21-21061 Judge: Hon. David R. Jones Debtor's Counsel: Nathaniel Peter Holzer, Esq. JORDAN, HOLZER & ORTIZ, P.C. 500 North Shoreline Blvd. Suite 900 Corpus Christi, TX 78401 Tel: 361-884-5678 Fax: 361-888-5555 E-mail: pholzer@jhwclaw.com Total Assets as of December 31, 2020: $1,313,914 Total Liabilities as of December 31, 2020: $5,038,064 The petition was signed by Charles Luke Duncan, sole 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/EZYRKNY/Two_Guns_Consulting__Construction__txsbke-21-21061__0001.0.pdf?mcid=tGE4TAMA UNITED RENTALS: S&P Upgrades ICR to 'BB+', Outlook Stable --------------------------------------------------------- S&P Global Ratings raised its issuer credit ratings on United Rentals Inc. (URI) and its subsidiary, United Rentals (North America) Inc., to 'BB+' from 'BB'. S&P said, "We also raised our rating on the company's senior unsecured debt to 'BB' from 'BB-', and we affirmed our 'BBB-' rating on the company's secured debt. "The stable outlook indicates that we expect URI to generate solid free operating cash flows and maintain S&P Global Ratings-adjusted leverage below 3x over the next 12 months." The upgrade reflects URI's significant competitive advantages, which stem from its relatively small (an estimated 13% market share) but leading position in the fragmented North American equipment rental industry. S&P believes URI's scale and broad range of products and services allow it to weather cyclical end-market demand and gain purchasing power with suppliers. The company continues to leverage its operating flexibility, product diversification, and scale to adjust operating expenses and limit the impact to its margins. In 2020, facing coronavirus-related shutdowns and shelter-in-place rules, URI curtailed discretionary spending, reduced overtime expenses, and shifted outsourced equipment hauling and repair servicing in-house to support margins. Furthermore, the company shifted its fleet of assets between construction and industrial sectors and across geographies and verticals, thus partially mitigating the pressure on revenue. S&P believes URI's broad-based offerings should help it maintain or expand its market share in the U.S. equipment rental industry. S&P siad, "We expect the company to continue to be a consolidator within its industry, as its 2018 acquisitions of BlueLine and BakerCorp demonstrate, and larger acquisitions come with some integration risk. Still, we expect URI to manage the integration of any future acquisitions so that it maintains its strong adjusted EBITDA margins of close to 50%, which is highest among its rated equipment rental peers. "We believe that the current mid-50% equipment rental penetration rate in the U.S. has room for expansion due to capital constraints across multiple end markets. We expect that in a recessionary environment, the benefits of renting equipment--such as having the right equipment for varying projects, capital conservation, and no need for equipment maintenance--will continue to outweigh the costs of ownership for customers, especially for large national or multiregional projects." The COVID-19-induced recession highlighted capital constraints of a variety of end markets that historically have been underpenetrated by equipment rental companies. As URI and other large equipment rental entities shift their resources to serve those end markets (government and auto manufacturing in particular), we anticipate growing overall equipment rental penetration in the U.S. A growing proportion of business in the higher-margin specialty segment should support stable EBITDA margins over the next 12 months. The company's specialty equipment (trench safety, power and HVAC, fluid and tool solutions, and onsite services) rental proportion is about 24.5% of overall revenues, a significant expansion from 7.2% in 2012. S&P believes the company will focus on increasing the penetration of specialty products in large metro areas--both through organic growth and acquisitions. URI's strong free operating cash flow generation and disciplined capital-allocation strategy should enable it to maintain leverage in the low- to mid-2x area over the next 12 months. S&P said, "Although we expect URI's volumes in 2021 could still be pressured by COVID-19-driven recession in its primary end markets--nonresidential construction and industrial--we expect the company will generate robust free cash flow of over $1.5 billion. We also expect the company to gradually increase capital expenditure investments in its fleet in 2021 and 2022 to the pre-pandemic levels. In addition, we anticipate that the company will increase its share repurchases in conjunction with higher expected earnings. We do not forecast transformative acquisitions or large shareholder returns over the next 12 months and believe the company will direct the majority of its free operating cash flow (FOCF) toward maintaining adequate liquidity and leverage at 2x–3x." S&P said, "The stable outlook reflects our expectation for gradual demand and volume growth over the next 12 months that will support improving equipment rental pricing and utilization. We also expect the company to continue to focus on cost and capital management. This should enable URI to maintain its S&P Global Ratings-adjusted leverage in the low- to mid-2x area over the next 12 months, which provides a moderate cushion to absorb the potential further volatility in its EBITDA over the economic cycle and the high degree of capital intensity in its industry. The outlook also reflects our expectation that the company will continue to make financial policy decisions--particularly those related to share repurchases and future acquisitions--that enable it to sustain leverage below 3x over the next 12 months." S&P could lower the rating if: -- S&P expects the company to experience a significant decline in end-market demand and erosion of its competitive advantages through loss of market share and profitability declines; -- The company sustains high levels of debt-funded capital investments that result in leverage increasing and remaining above 3x, which would not provide sufficient cushion to weather a cyclical downturn; or -- The company completes significant share repurchases or debt-funded acquisitions that result in the same level of leverage. S&P said, "We could raise the rating if we expect the company's debt to EBITDA to improve to below 2x in an upcycle while balancing capital investments with cash flow generation. We would also need to be confident about management's ability and willingness to maintain a more conservative financial policy that supports an investment-grade rating, with leverage below 2x during normalized demand conditions, even when incorporating share repurchases and acquisitions." VERTEX AEROSPACE: Moody's Rates Amended $323MM First Lien Loan 'B2' ------------------------------------------------------------------- Moody's Investors Service has assigned a B2 rating to an amended $323 million first lien term loan of Vertex Aerospace Services Corp. All other ratings, including the B2 CFR, are unchanged and the rating outlook continues unchanged at stable. Through the amendment Vertex will re-price its first lien term loan and extend the loan's maturity by two years to 2027. Assignments: Issuer: Vertex Aerospace Services Corp. Senior Secured Bank Credit Facility, Assigned B2 (LGD4) RATINGS RATIONALE The B2 rating that has been assigned to the term loan due 2027 reflects its preponderance within the company's debt structure. The term loan will hold a second lien on the collateral backing Vertex's $75 million asset-based revolver including accounts receivable, cash and deposit accounts, and will hold a first lien on remaining assets including a pledge of equity in the borrower and subsidiaries. Despite the ABL's first lien position on high quality collateral, the revolver line is not so large as to depress the term loan rating versus the CFR. Effectively junior non-debt claims including lease and trade payables would absorb loss in a stress scenario and thereby help recovery of the first lien term loan. The CFR of B2 continues unchanged and reflects a business profile and credit metrics that Moody's views as well suited for the rating. Pro forma for the recent transfer of Aerospace Fabrication & Manufacturing assets ("AFM" and comprising $70 million in annual revenue) outside of the restricted group, Moody's estimates debt to EBITDA in the low-5x range and expects free cash flow generation of $20-$25 million near term, about 6%-8% of debt. While not large compared to peers, the company possesses a well-established brand and broad set of fixed and rotary wing aircraft maintenance, repair, and overhaul capabilities. Vertex's qualifications position the company to benefit from the US Department of Defense's emphasis on operational readiness and equipment modernization. Although revenue performance has been weaker than expected when the rating was initially assigned in 2018, margins have been better. Moody's had expected EBITDA margin in the low 7% range (Moody's adjusted basis) but in 2019 and the first 9 months of 2020 margin has been around 8%. Additionally, contracts awarded in 2020 could enable 5% to 10% organic revenue growth in 2021, taking the revenue base, pro forma for the AFM transfer, above $800 million in 2021 versus $750 million in 2020. As with the $100 million dividend declared in January 2021 and the AFM asset transfer, Vertex's financial policies will likely continue prioritizing shareholder returns. But, Moody's does not anticipate that Vertex will seek debt funded dividend payments and, should there be borrowing for investment activity, leverage would likely continue below 6x (Moody's adjusted basis). FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING Upward rating movement would depend on debt to EBITDA below 5x, free cash flow to debt above 10%, annual revenue rising toward $1.2 billion with an encouraging backlog trend. Downward rating movement would follow contract losses, leverage approaching 6x, a weak liquidity profile or annual free cash flow generation below $15 million. Vertex Aerospace Services Corp., headquartered in Madison, MS, is an aviation and aerospace technical services company managing and servicing aircraft and other equipment, primarily for government customers. Total revenue for the twelve months ended September 30, 2020 was approximately $818 million. The company is owned by affiliates of American Industrial Partners. The principal methodology used in this rating was Aerospace and Defense Methodology published in July 2020. VESTCOM PARENT: Moody's Completes Review, Retains B3 CFR -------------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Vestcom Parent Holdings, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 24, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Vestcom Parent Holdings, Inc. B3 corporate family rating is constrained by moderately high debt-to-EBITDA leverage, adequate liquidity, limited free cash flow, high customer concentration, small scale and aggressive financial policies under its private equity ownership. However, Vestcom's rating benefits from its leading position in the shelf-edge price communication services industry, its long track record with existing customers and high visibility into earnings from long-term contracts with its client base. The principal methodology used for this review was Business and Consumer Service Industry published in October 2016. VICTORIA GEWALT: Bahnasy Buying Tahoe City Property for $826K Cash ------------------------------------------------------------------ Victoria M. Gewalt asks the U.S. Bankruptcy Court for the Eastern District of California to authorize the sale of the real property of the estate commonly known as 490 Club Drive, in Tahoe City, California, APN 083-340-016-000, to Reema Bahnasy for $826,000 cash, less a credit not to exceed $4,000, subject to higher and better offers. A hearing on the Motion is set for March 24, 2021, at 11:00 a.m. Among the assets of the bankruptcy estate is the Debtor's interest in the Property. The Faizullah Note is also secured by 801 and 807 Wheelock, Franklin Texas. Placer County property taxes in the approximate amount of $5,541.20 are also owed. A Preliminary Title Report has been ordered but not yet received. The Debtor anticipates filing a Supplement to the Exhibits when the Report is available. The Debtor had listed the Property prior to the filing of the case. After filing, the Debtor received multiple offers, she selected the offer submitted by the Buyer as the best offer. Gewalt is aware of two consensual liens secured by the Property. A first priority Note secured by deed of trust held by Pacific Funding Solutions in the approximate amount of $391,000 and a second priority Note secured by deed of trust held by Gulamali Faizullah in the approximate amount of $205,000. The Property comprises a residence of approximately 1,176 square feet on an approximately 1/3rd acre lot pursuant to the terms of the Purchase and Sale Agreement dated Feb. 28, 2021 and amended by Seller Multiple Counter Offer No. 1 dated March 2, 2021 and Buyer Counter Offer No. 1 executed by Victoria Gewalt on March 3, 2021. The sale "is where is, as is," without any warranty express or implied. The proposed sale terms are $826,000 cash less a credit not to exceed $4,000 for the rental income earned between March 10, 2021 and the escrow closing. Other than the credit for rental income there are no inspection or financial contingencies, and the Buyer hopes to close as soon as a Certified Copy of Court's Order Approving Sale is available and no later than March 29, Subject to Court Approval, the Debtor asks approval of overbid procedures that require a proposed overbidder, prior to the hearing on the Motion, to provide the counsel for the Debtor a deposit by cashier's check in the amount of $43,300 ($41,300 deposit and 1st overbid in the amount of $1,000) and provide proof of funds for the balance of the purchase price. Any overbidding will proceed in increments of at least $2,000. In the event the overbidder is unable to complete the sale within five days of the hearing the deposit will be retained by the estate as liquidated damages. The Debtor also asks an order approving compensation to the estate's real estate broker, West Lake Properties at Tahoe, in the amount of $41,300 (5% of the gross sale price), or the appropriate commission resulting from an overbid. The Debtor does not anticipate any opposition to the Motion. The proposed sale terms require a very prompt closing and generate funds adequate to pay secured claims as generate a significant surplus for the estate. Further, the Buyer desires immediate ownership and was prepared to close within days of the original offer. The Buyer indicates that her offer presupposed a very prompt closing. Accordingly, the Debtor requests that the 14-day stay period imposed by Federal Rule of Bankruptcy Procedure 6004(h) be waived so that the sale can move forward immediately upon entry of the Court's order approving sale. Victoria M. Gewalt sought Chapter 11 protection (Bankr. E.D. Cal. Case No. 21-20600) on Feb. 22, 2021. The Debtor tapped Stephen M. Reynolds, Esq., as counsel. VISHAY INTERTECHNOLOGY: Egan-Jones Hikes Sr. Unsec. Ratings to BB+ ------------------------------------------------------------------ Egan-Jones Ratings Company, on February 26, 2021 upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Vishay Intertechnology, Inc. to BB+ from BB. Headquartered in Malvern, Pennsylvania, Vishay Intertechnology, Inc. manufactures a broad line of passive and discreet active electronic components, particularly resistors, capacitors, inductors, diodes, and transistors. VIZIV TECHNOLOGIES: Has Until May 9 to File Plan ------------------------------------------------ Judge Stacey G.C. Jernigan of the U.S. Bankruptcy Court for the Northern District of Texas, Dallas Division, extended Viziv Technologies, LLC's exclusivity period to file a plan through May 9, 2021. Judge Jernigan also extended the Debtor's exclusivity period during which only the Debtor may confirm a plan through July 9, 2021. About Viziv Technologies Viziv Technologies, LLC is an electronics company that specialized in the field of electromagnetic surface waves. On Oct 7, 2020, creditors Surface Energy Partners LP, Kendol C. Everroad and Jamison Partners, LP filed an involuntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Texas Case No. 20-32554) against Viziv Technologies. The creditors are represented by Kenneth Stohner Jr., Esq., at Jackson Walker, LLP. Judge Stacey G. Jernigan oversees the case. Cavazos Hendricks Poirot, PC is the Debtor's bankruptcy counsel. The Debtor tapped Allred & Wilcox, PLLC, The Beckham Group and King & Fisher Law Group, PLLC as its special counsel, and Stout Risius Ross, LLC as its investment banker. W. KENT GANSKE: Sale of Sun Prairie Condo Unit 31 for $270K OK'd ---------------------------------------------------------------- Judge Katherine Maloney Perhach of the U.S. Bankruptcy Court for the Eastern District of Wisconsin authorized W. Kent Ganske and Julie L. Ganske to sell the real property described as 886 Stonehaven Drive, Unit 31, in Sun Prairie, County of Dane, Wisconsin, to Shane Heim for the purchase price of $270,000. The sale will be free and clear of all liens and encumbrances. All liens and encumbrances will attach to the net proceeds of sale. The proceeds of the sale will be first distributed to cover all normal costs of sale and broker's fees. The broker's commission is approved in the amount of $16,200, and will be paid immediately from the proceeds of sale at closing. The net proceeds of the sale, after normal costs of sale and broker's fees, will be paid to United Cooperative. The Stay of Order contained in F.R.B.P. 6004 is waived, in order to allow the sale to proceed as scheduled. W. Kent Ganske and Julie L. Ganske sought Chapter 11 protection (Bankr. E.D. Wisc. Case No. 20-21042) on Feb. 11, 2020. WADSWORTH ESTATES: Sets Bid Procedures for 92-Acre Property ----------------------------------------------------------- Wadsworth Estates, LLC, asks the U.S. Bankruptcy Court for the Eastern District of Louisiana to authorize the bidding procedures in connection with the auction sale of its 92-acre tract of land and water in St. Tammany Parish near Interstate Highway 12 and Louisiana Highway 1088, Louisiana. The Debtor's sole tangible asset is the Property, which meets the definition of "single asset real estate" under Section 101 (51B) of the Bankruptcy Code. On March 11, 2020, the Court entered a standard "120-day order," which requires the Debtor to file a plan within 120 days of its petition for relief, among other provisions. On April 21, 2020, the Debtor appeared for its 341 meeting through it managing member, Ashton Ryan, Jr. Mr. Ryan's counsel (not the Debtor's counsel) directed him not to answer certain questions about the Debtor and its creditors on Fifth Amendment grounds. On May 7, 2020, First American filed its Motion for Order that Debtor is Subject to 11 U.S.C. Section 362(d)(3) ("SARE Motion"). On June 3, 2020, the Court entered an order granting the SARE Motion and stating that the Debtor is subject to 11 U.S.C. Section 362(d)(3). On Aug. 6, 2020, the Court entered an order extending the Debtor's exclusivity period to file a disclosure statement and plan until Aug. 10, 2020. On Aug. 10, 2020, the Debtor filed its Disclosure Statement of Debtor's Chapter 11 Plan of Reorganization dated August 10, 2020 and its proposed Chapter 11 Plan of Debtor Wadsworth Estates, LLC dated August 10, 2020. As of the date the Motion is filed, no hearing has been held on the adequacy of the Debtor's disclosure statement. The Debtor's counsel has expressed an intent to file a new plan. The Debtor's exclusivity period for filing a plan and disclosure statement has passed. On Aug. 19, 2020, the Court entered an order approving an agreement whereby the Debtor must make certain monthly payments to First American and Azby as a form of adequate protection in exchange for the automatic stay remaining in place with respect to First American's state-court foreclosure proceeding. On Jan. 4, 2021, the U.S. Trustee filed the United States Trustee's Motion to Convert Case to Chapter 7 or, in the Alternative, to Dismiss, and First American filed its Motion to Convert, or Alternatively, to Dismiss, Pursuant to 11 U.S.C. Section 1112(b) ("Motions to Convert"). Both Azby and Beverly filed Memoranda in support of the Motions to Convert. The Motions to Convert are currently set for hearing on April 14, 2021, at 1:00 p.m. On Jan. 12, 2021, the Debtor filed its Motion to Employ Auctioneer and to Sell the Wadsworth Tract Free and Clear of All Liens and Encumbrance. First American filed a limited objection to the Auctioneer/Sale Motion. On Feb. 3, 2021, the Court held a status conference with all the parties and conducted a hearing on the Auctioneer/Sale Motion as well as a preliminary hearing on the Motions to Convert. At the hearing, it was agreed that the Property would be sold, the Movants would be allowed to credit bid, and their claims would be paid at closing, to the extent that funds are available. Other details were left open for agreement or later hearing. On Feb. 9, 2021, the Court held a hearing to resolve a dispute over language in the proposed order regarding whether the Debtor should be "authorized" to sell the Property or "authorized and directed"” to sell the Property. It determined that the order would reflect the Debtor is "authorized and directed" to sell the Property via absolute auction. Also on Feb. 9, 2021, the Court entered its Order on Debtor's Motion to Employ Auctioneer and to Sell the Wadsworth Tract Free and Clear of all Liens and Encumbrances. Since the Auctioneer/Sale Order was entered, the court-appointed auctioneer, Henderson Auctions, as well as the Movants, have been preparing for what they hope will be a successful auction on April 8, 2021 and a final closing on the sale of the Property no less than 45 days later, as required by the Auctioneer/Sale Order. In their preparations, Henderson and the Movants have identified additional relief to request from the Court to facilitate the success of the anticipated auction and sale closing. The Movants request relief as a form of adequate protection for their interest in the Property and its proceeds under 11 U.S.C. Section 361, and pursuant to the Court's authority granted by 11 U.S.C. Sections 105(a) and 363. The Movants request an order clarifying the terms of Henderson's engagement. For example, Page 4 of the Auctioneer/Sale Order refers to a "Proposed Engagement Agreement for Marketing and Auctioneer Sale dated January 6, 2021 and signed on January 12, 2021" (Exhibit A). The Auctioneer Sale Motion attaches such a letter, but the Auctioneer/Sale Order does not. A slightly modified letter agreement between the Debtor and Henderson was filed into the record at ECF Doc. No. 158 ("New Auctioneer Letter Agreement"). The Movants understand that both Henderson and the Debtor intend to be obligated under that New Auctioneer Letter Agreement and for the Auctioneer/Sale Order to refer to that document. They ask entry of an order making that clarification to the record. The Property is encumbered by several mortgages, liens, and other encumbrances. Exhibit 2 is a "Mortgage Certificate"” for the Property issued by the Clerk of Court for St. Tammany Parish dated as of March 2, 2021. As reflected in the Mortgage Certificate, there is no dispute that the holders of the three highest-priority liens on the property, in order of priority, are: (1) First American, (2) Azby, and (3) Beverly. The Movants have the right to credit bid their debt at the upcoming auction; each Movant is contemplating how much cash it will bid in addition to its outstanding debt. The Mortgage Certificate also reflects a statutory lien s filed by G.E.C., Inc. GEC filed a lien claim on June 12, 2018. Its lien claim is extinguished pursuant to La. R.S. 9:4823(A) because GEC failed to file an action on its lien within one year of the date it filed its lien or on or before June 12, 2019. Thus, GEC is an unsecured creditor. The Mortgage Certificate reflects mortgages on the Property granted to Joseph Young and First National Bankers Bank. Those mortgages secure debt owed by the Debtor's principal, Ashton Ryan; they do not secure an obligation owed by the Debtor (Claim Nos. 4 and 7). The Movants and Henderson have determined that an order from the Court setting forth the Movants' credit-bid amounts as of the auction date -- April 8, 2021 -- will be helpful for facilitating a smooth auction where each Movant and third-party bidder knows how much debt may be credit-bid and at what dollar amount each Movant will be bidding with cash instead of with its claim. Each of the Movants timely filed a proof of claim accurately stating the amount due to it as of the Petition Date (Claims Register Nos. 1-3 and 8). Each Movant is entitled to post-petition interest at the rate set by its contract with the Debtor, and to reasonable fees, costs, or charges as provided for in its agreements with the Debtor, or by state law, to the extent there is equity in the property available to pay such interests and other charges. To facilitate the auction and a smooth closing, Movants calculated the amount of principle, interest, and an estimate of other fees that will be owed to them by the Debtor as of the auction date. Those amounts, with per diem interest from the auction date, are stated below, except that Azby’s estimate does not include post-petition interest or fees, costs and charges at this time; those will be supplemented at or prior to the hearing on the Motion: Movants Principal Total Credit Bid Amount First American $2,941,371.62 $1,715.80 Azby $ 400,000 TBD Beverly $1,971,000 $ 229.50 Totals $5,312,371.62 $1,945.30 The Movants will provide updated figures accounting for any credits due for post-petition adequate protection payments and additional "Fees, Costs & Charges" incurred through April 8, 2021 to each other, the Debtor, and Henderson no later than 10:00 a.m. that day. That updated figure will set the "Final Credit Bid Amount" for each Movant. The Movants request that the Court enter an order reciting that each of them is able to credit-bid its "Final Credit Bid Amount" at the auction. The Auctioneer/Sale Order and the New Auctioneer Letter Agreement each state: The Property will be sold absolute to the highest bidder using the purchase agreement incorporated into the Sale Order or otherwise approved by the Court. However, no purchase agreement was submitted with Auctioneer/Sale Motion or incorporated into the Auctioneer/Sale Order. To fulfill the obligations under the New Auctioneer Letter Agreement and to facilitate a successful auction and closing, the Movants request that the Court enters an order approving the proposed form of "Purchase and Sale Agreement -- Wadsworth Tract." With an agreed form of PSA in place, Henderson's focus, and the auction's focus, will be on the dollar amount each bidder willing to offer on a contract being used by all bidders. The Movants ask the Court to enter an order designating the PSA as the form of purchase agreement that applies to all bids for the Property. They request that the order allows Henderson the discretion to accept minor deviations from the PSA if Henderson deems that doing so is consistent with its duties to solicit and select the highest and best bid for the Property. The Movants and Henderson have determined that having an experienced and insured Louisiana attorney designated in the PSA as the "Closing Agent" for the sale is advisable for facilitating a successful closing. The Closing Agent will receive and hold in escrow in the Closing Agent's designated IOLTA or real-estate trust account pending a closing the bidder deposit of $10,000 from the successful high bidder and back-up bidder (after the auction, and only if applicable), the 5% purchase-price deposit due within two banking days of the auction, and the balance of the purchase price for the Property as determined by the auction. The Closing Agent will disburse funds at closing as required by the Auctioneer/Sale Order, the Court's order on the Motion, and any subsequent order from the Court. The PSA provides that Crescent Title, LLC will serve as the Closing Agent for the sale unless another qualified attorney is designated in writing by the successful bidder provided to Henderson no later than April 9, 2021 at 1:00 p.m. (CT). Crescent Title is an experienced title company with licensed attorneys which maintains a trust account with Home Bank and has the ability to write title insurance up to $10 million to and at least $2 million in Errors and Omissions insurance coverage. While the Movants may bid based on the Final Credit Bid Amounts, the amount of interest, legal fees, and other charges owed on their claims will continue to accrue until the sale of the Property closes -- at least to the extent that the auction finds value in the Property. The closing will occur on a date set by the successful bidder and the Closing Agent that is no later than May 21, 2021. The Movants ask that the Court enters an order with the following provisions to facilitate a successful closing for the auction and sale: a. The Court will hold a hearing on April 14, 2021, at 1:00 p.m. (or such other time set by the Court) for the purpose of confirming the sale of the Property to the successful bidder as determined by Henderson and entering an order confirming the sale as may be requested by the Debtor or the Closing Agent; b. By the Closing Date, the successful bidder will pay the full purchase price to the Closing Agent by federal wire transfer of immediately available funds, or other immediately available funds accepted by the Closing Agent in his/her sole discretion; c. On the Closing Date, the Closing Agent will pay the Movants' claims in the order of priority (First American, Azby, and Beverly) in the amounts equal to their Final Credit Bid Amounts, plus any accrued interest, fees, and charges through the Closing Date. The Movants will provide final payoff figures to each other, the Closing Agent, and the Debtor prior to the closing; d. Any objection to a proof of claim filed by a Movant must be filed no later than April 1, 2021. e. After payment of (and any escrows for) the Movant's secured claims, the Closing Agent will pay or provide an escrow for the following payment obligations, in the following order, but only to the extent that funds are available: (a) all property taxes due to the Parish of St. Tammany for the Property as of the Closing Date; (b) any ordinary and customary closing costs of sale not paid by the successful bidder; (c) all fees due the United States Trustee on the Closing Date (specifically including but not limited to the statutory 1% minimum fee provided in 28 U.S.C. Section 1930); and (d) the 6% Auction Fee and the Expense Reimbursement due to Henderson. f. The Closing Agent will continue to hold any remaining sale proceeds in escrow until further order from the Court, which may include an order allowing the Closing Agent to implead the funds with the Clerk of Court. A copy of the Agreement and the Exhibits is available at https://tinyurl.com/x7jj943x from PacerMonitor.com free of charge. About Wadsworth Estates Wadsworth Estates is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). Wadsworth Estates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. La. 20-10540) on March 10, 2020. Ashton J. Ryan, Jr., managing member, signed the petition. At the time of the filing, the Debtor disclosed assets of between $10 million and $50 million and liabilities of the same range. William G. Cherbonnier, Jr., Esq., at Caluda Group, LLC, is the Debtor's legal counsel. WAHOO'S MARINA: Trustee Seeks Approval to Hire Real Estate Agent ---------------------------------------------------------------- Brendon Singh, the Subchapter V trustee appointed in the Chapter 11 case of Wahoo's Marina, LLC, seeks approval from the U.S. Bankruptcy Court for the Southern District of Texas to employ Daphne Carlsen, a real estate agent at Full Stringer Realty. Ms. Carlsen will render these services: (a) market the Debtor's property for sale, procure a buyer, and negotiate the sale of the property; (b) advertise the property; and (c) disseminate information about the property to other realtors and prospects. The Debtor has agreed to pay the real estate agent a 6 percent commission on the sales price. Ms. Carlsen disclosed in a court filing that she is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The real estate agent can be reached at: Daphne Carlsen Full Stringer Realty 22996 Highway 60 Matagorda, TX 77457 Telephone: (979) 863-1143 About Wahoo's Marina Wahoo's Marina, LLC filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Texas Case No. 20-80225) on Aug. 31, 2020, listing under $1 million in both assets and liabilities. Judge Jeffrey P. Norman oversees the case. Stephen W. Sather, Esq., at Barron & Newburger, PC, serves as the Debtor's legal counsel. On Sept. 1, 2020, the U.S. Trustee for Region 7 appointed Brendon Singh to serve as the Subchapter V trustee in the Debtor's case. Tran Singh LLP is the Subchapter V trustee's legal counsel. WATLOW ELECTRIC: Moody's Assigns First Time B2 Corp Family Rating ----------------------------------------------------------------- Moody's Investors Service assigned a B2 Corporate Family Rating and a B2-PD Probability of Default Rating to Watlow Electric Manufacturing Company. Concurrently, Moody's assigned a B2 rating to the company's proposed $50 million senior secured revolving credit facility and $515 million senior secured first lien term loan. Proceeds from the term loan, along with a significant cash and rollover equity contribution, will be used to fund the acquisition of a majority stake in Watlow by Tinicum Incorporated. The rating outlook is stable. This is a first-time rating for Watlow Electric Manufacturing Company. Assignments: Issuer: Watlow Electric Manufacturing Company Corporate Family Rating, Assigned B2 Probability of Default Rating, Assigned B2-PD Gtd. Senior Secured 1st Lien Revolving Credit Facility, Assigned B2 (LGD4) Gtd. Senior Secured 1st Lien Term Loan B, Assigned B2 (LGD4) Outlook Actions: Issuer: Watlow Electric Manufacturing Company Outlook, Assigned Stable RATINGS RATIONALE Watlow's B2 CFR reflects the company's moderate scale with revenues of less than $500 million, high financial leverage, and exposure to cyclical end-markets. The ratings are also constrained by Watlow's high revenue concentration in the semiconductor industry and its customer base. The rating is supported by the company's leading position in thermal technologies, high switching costs given its product's design qualification, and long-standing customer relationships. Moody's views Watlow's technical competence as a key barrier to entry as many of its products are mission critical and have been specified to customers end-products designs. Moody's estimates Watlow's pro forma leverage to be approximately 6.7 times. The ratings acknowledges the recent rebound in the company's operating performance, and expects further improvements as demand in semiconductor markets remains strong and ongoing restructuring continues to drive efficiency gains. As a result, Moody's expects leverage to reduce below 6.0x in 2021. Moody's also expects free cash flow to remain above $25 million as restructuring and non-recurring charges abate. Nevertheless, these expectations are susceptible to governance risk arising from its private equity ownership. The stable outlook reflects Moody's expectation that Watlow's profitability will improve in 2021 as it continues to benefit from its restructuring activities and increasing end-market demand. Moody's also anticipates that the negative earnings drag from restructurings and non-recurring charges will reduce and support higher free cash flow over the next 12-18 months. The first lien credit agreement contains provisions for incremental debt capacity up to the greater of $100 million and four consecutive fiscal quarters EBITDA plus additional amounts subject to 5.0x pro forma first lien net leverage (if pari passu secured); 6.0x pro forma secured net leverage (if junior secured); and, either 6.25x pro forma total net leverage ratio or 2.0x pro forma fixed charge coverage ratio (if unsecured or secured by non-collateral). Alternatively, the ratio tests may be satisfied so long as leverage (coverage) does not increase (decrease) on a pro forma basis in the case of incremental facilities incurred in connection with a permitted acquisition or investment. The credit facility also includes provisions allowing early maturity indebtedness up to the greater of $100.0 million and 100% of TTM EBITDA. Expected terms allow the release of guarantees when any subsidiary ceases to be wholly owned; asset transfers to unrestricted subsidiaries are permitted, subject to the carve-outs and there are no anticipated "blocker" provisions providing additional restrictions on such transfers. There are no leverage-based step-downs to the assets sales proceeds prepayment requirement. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Moody's could upgrade Watlow's ratings if the company's scale and profitability improve as it solidifies its manufacturing operations in Mexico and resets its cost base. A financial policy that supports adjusted debt-to-EBITDA below 4.5x and EBITA/interest above 2.0x could also lead to an upgrade. Ratings could be downgraded if the company's is unable to reap the benefits of recent restructurings, if margins do not improve, or end-market demand erodes leading to a weakening operating performance. Increasing financial leverage with debt-to-EBITDA exceeding 6.0x, deteriorating liquidity or an increasingly aggressive financial policy including a debt-financed dividends or sizeable acquisitions could also result in a downgrade. Headquarters in St. Louis, Missouri, Watlow Electric Manufacturing Company produces highly engineered thermal technologies for diverse end-markets including semiconductor manufacturing, medical, aerospace & defense, energy, heavy vehicle and general industrial. Revenues are approximately $468 million. The principal methodology used in these ratings was Manufacturing Methodology published in March 2020. WC SOUTH CONGRESS: Unsecureds to be Paid in Full Without Interest ----------------------------------------------------------------- WC South Congress Square, LLC, submitted a First Amended Plan of Reorganization and a corresponding Disclosure Statement on March 4, 2021. Class 1 consists of the 510 South Congress Lender, LLC Claim. Noteholder's Allowed Claim shall be paid at the election of the Debtor either over the time period specified in the Plan or from cash from proceeds of refinancing or sale. Until paid off in full, Class 1 will receive interest-only payments at the rate of 4.25%/annum. Class 2 consists of the Travis County Tax Collector Claim. Travis County's Allowed Secured Claim shall be paid in 60 equal monthly installments of principal and interest, commencing on the first day of the first month following the Effective Date and continuing on the first day of each succeeding month until paid in full. Interest shall begin to accrue as of the Petition Date and will be paid at the rate of 12% per annum. Class 3 consists of all Unsecured Claims that are not Insider Claims. The Debtor believes there are approximately $34,729 in non-insider Unsecured Claims. This includes $11,144.50 attributable to tenant security deposits. Each Allowed Unsecured Claim shall be paid in full, without interest, on the later of (i) 30 days after the payment in full of Class 1 and Class 2 Claims, and (ii) 10 days after such Claim becomes an Allowed Claim, or (iii) if the Unsecured Claim is for a refund of a security deposit, in the ordinary course of business as provided under the applicable lease. The Debtor does not presently anticipate an objection to the allowance of any Unsecured Claim except to the extent that the Noteholder asserts a deficiency claim. This Class is impaired, and holders of Claims in this Class are entitled to vote to accept or reject the Plan. Class 4 consists of Insider Claims. The Debtor believes there are approximately $32,564 in Insider Claims. Insider Claims will be paid in full without interest, but only after all other Claimants in the Case have been paid in full. Class 5 consists of Allowed Equity Interests. Each holder of an Equity Interest shall retain such interests, but shall not receive any distribution on account of such interests until Class 1, 2, 3 and 4 Claims are paid in full. All consideration necessary for the payment or tender of Distributions under the Plan will be derived from (i) Cash on hand on the Effective Date, (ii) income generated by the Reorganized Debtor from operations, (iii) the proceeds from any sale or refinancing of the Property. To the extent the Reorganized Debtor does not have sufficient funds to make the necessary Distributions when due on account of any Allowed Administrative Expense, Allowed Priority Tax Claim, or Allowed Unsecured Claim, the Equity owner shall provide such additional funding as may be necessary to ensure the timely payment of such Distributions. A full-text copy of the First Amended Disclosure Statement dated March 4, 2021, is available at https://bit.ly/38tYTTc from PacerMonitor.com at no charge. Proposed Counsel for the Debtor: Mark H. Ralston, Esq. FISHMAN JACKSON RONQUILLO PLLC Three Galleria Tower 13155 Noel Road, Suite 700 Dallas, TX 75240 Telephone: (972) 419-5544 Facsimile: (972) 4419-5500 E-mail: mralston@fjrpllc.com About WC South Congress Square Based in Austin, Texas, WC South Congress Square LLC owns a multi-family apartment community with 115 rental units located at 500 South Congress Avenue in Austin, as well as two adjacent office buildings with a total of over 70,000 square feet of office space. The managing member of the Debtor is World Class Holdings VI, LLC, which is controlled by Natin Paul, a real estate entrepreneur very active in the Austin market. WC South Congress Square sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Tex. Case No. 20-11107) on October 6, 2020. The petition was signed by Natin Paul, manager of general partner. At the time of the filing, the Debtor had estimated assets of between $50 million and $100 million and liabilities of between $10 million and $50 million. Fishman Jackson Ronquillo PLLC is the Debtor's legal counsel. WEISS BUSH: Sale of Equipment, Inventory and Supplies Approved -------------------------------------------------------------- Judge Catherine J. Furay of the U.S. Bankruptcy Court for the Western District of Wisconsin authorized Weiss Bush Collision Center, LLC's sale of equipment, inventory and supplies identified in its Motion. The Debtor will file a report of sale with the Court on or within 14 days of the sale. The Debtor will use the proceeds of the sale of equipment, inventory and supplies to pay State Bank Financial in full. Any net proceeds remaining from the sale of equipment, inventory and supplies will be paid to the Pittman & Pittman Law Offices, LLC Trust Account and held until further order of the Court. About Weiss Bush Collision Center Weiss Bush Collision Center filed a Chapter 11 petition (Bankr. W.D. Wis. Case No. 20-12710) on Oct. 29, 2020. The petition was signed by William Bush, owner. At the time of the filing, the Debtor had estimated assets of less than $50,000 and liabilities of less than $50,000. Judge Catherine J. Furay oversees the case. Greg P. Pittman, Esq., at Pittman & Pittman Law Offices, LLC, serves as the Debtor's legal counsel. WHOA NETWORKS: Wants Plan Exclusivity Extended Until May 27 ----------------------------------------------------------- Whoa Networks Inc. and its affiliates ask the U.S. Bankruptcy Court for the Southern District of Florida, Fort Lauderdale Division to extend by 90 days the Debtors' exclusive periods to file a plan of reorganization from February 26, 2021, to and including May 27, 2021, and to solicit and obtain acceptances from April 27, 2021, to and including July 26, 2021. Prior to the Petition Date, the Debtors faced various challenges that propelled them to make the decision to restructure their liabilities by commencing these Chapter 11 Cases. Among those challenges was the substantial amount of debt on their balance sheet, which included senior secured loans owed to Radius Bank and Johnson Bank. Additionally, the Debtors are parties to over 50 individual secured financing agreements with equipment finance companies related to the Debtors' acquisition of certain computer hardware, related equipment, software, licenses, and related services and support. Much of the Debtors' Computer Equipment has depreciated significantly in value through use in the ordinary course of business, including licenses and software that has been fully consumed. In addition, The Court is aware from the hearings in these Chapter 11 Cases to date, the Debtors have made significant progress in negotiating the terms of Interim and Final Cash Collateral Orders with its two Senior Secured Lenders. The Cash Collateral Orders authorized the respective Debtors to use the cash collateral of Radius Bank and Johnson Bank on a final basis during the pendency of these Chapter 11 Cases prior to confirmation of a plan of reorganization. The Debtors have fully complied with their obligations under the Cash Collateral Orders, including making the adequate protection payments thereunder. In addition, the Debtors have provided all of the required reporting to Radius Bank under its Cash Collateral Order. Further, the Debtors have promptly responded to several requests for information from Radius Bank, and have arranged physical inspections for Radius Bank in respect of its collateral. The Debtors have also engaged in settlement discussions with Radius Bank as their single largest creditor towards a consensual restructuring of the debt owed to Radius Bank, which discussions are ongoing. The Debtors are optimistic that they will be able to reach a consensual resolution with Radius Bank in respect of the restructuring of its debt under a plan of reorganization. In addition, as the Court is aware, the Debtors have reached agreements with several equipment lenders who have filed motions seeking, among other things: (i) to compel the assumption or rejection of purported equipment leases; (ii) relief from the automatic stay; or (iii) the payment of adequate protection payments. In addition, on February 17, 2021, the Court held hearings on the following motions by certain other equipment finance companies: (i) De Lage Landen Financial Services, Inc.'s Motion to Compel Assumption or Rejection of Executory Contract and Unexpired Lease and for Adequate Protection; (ii) Balboa Capital Corporation's Motion to Compel Assumption or Rejection of Executory Contract and/or Unexpired Lease and for Adequate Protection; and (iii) Verified Motions for Relief from Stay, or in the Alternative Motion for Adequate Protection filed by Creditor LEAF Capital Funding, LLC. In advance of the Hearing, the Debtor made proposals to resolve each Equipment Finance Motion. Based on the Debtors' efforts, the Court (i) continued the Hearing on the De Lage Landen and Balboa Motions to March 10, 2021, at 2:00 pm to enable the parties to finalize settlement discussions, and (ii) approved a settlement of the Leaf Capital Motions announced on the record. Notwithstanding the above achievements and progress, certain contingencies and issues remain before the Debtors will be in a position to propose a feasible plan of reorganization and proceed to emerge from chapter 11. Most critically, the Debtors must devote all of their resources and attention to formulate the terms of a consensual plan with their Senior Secured Lenders. In connection with the foregoing, the Debtors and Radius Bank have been diligently working on a structure and terms of a consensual plan. The Debtors and Radius Bank require additional time to complete those tasks. Additionally, the Debtors and their professionals are continuing to analyze various equipment finance agreements in order to negotiate the terms of additional adequate protection packages for such lenders, as well as their proposed treatment under a plan of reorganization. The requested extension of the Exclusive Periods is not unduly burdensome or prejudicial to any parties in interest in these cases. A copy of the Debtors' Motion to extend is available at https://bit.ly/3uYVEgi from PacerMonitor.com. About Whoa Networks Whoa Networks is a secure cloud services provider (CSP). It specializes in security, compliance, cloud, and enterprise solutions for customers. Whoa Networks and its affiliates filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Lead Case No. 20-21883) on October 29, 2020. Mark Amarant, authorized officer, signed the petitions. At the time of filing, Whoa Networks, Inc., a Florida Corporation, was estimated to have $1 million to $10 million in assets and $10 million to $50 million in liabilities. Whoa Networks, Inc., a Delaware Corporation, disclosed $500,000 to $1 million in assets and $1 million to $10 million in liabilities while Hipskind Technology Solutions Group, Incorporated and Platinum Systems Holdings, LLC disclosed $1 million to $10 million in both assets and liabilities. Judge Scott M. Grossman replaced Judge Peter D. Russin, who previously oversees the Debtors' case. Genovese Joblove & Battista, P.A., led by Paul J. Battista, Esq., is the Debtors' legal counsel. WHOLE EARTH: Moody's Completes Review, Retains B2 CFR ----------------------------------------------------- Moody's Investors Service has completed a periodic review of the ratings of Whole Earth Brands, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review discussion held on February 23, 2021 in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since January 1, 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. Key rating considerations Whole Earth Brands, Inc.'s B2 CFR reflects its (1) global presence in the natural and sugar free sweeteners categories as well as its global leadership position in natural licorice extracts and derivatives, and (2) good profitability and predictable free cash flow generation resulting from its asset light business model. These factors are counterbalanced by the company's relatively small scale and focus on the mature and competitive sweetener categories, and moderately high financial leverage. The liquidity position is good with expectations to hold nominal cash on the balance sheet along with a $75 million revolving credit facility that could be used to partially fund future acquisitions. The principal methodology used for this review was Consumer Packaged Goods Methodology published in February 2020. YELLOWSTONE TRANSPORTATION: Taps Essex Richards as Legal Counsel ---------------------------------------------------------------- Yellowstone Transportation Group, Inc. received approval from the U.S. Bankruptcy Court for the Western District of North Carolina to employ Essex Richards, PA as its legal counsel. Essex Richards will render these legal services: (a) advise the Debtor concerning its responsibilities in the continued management of its business; (b) negotiate, prepare and pursue confirmation of a Chapter 11 plan and approval of disclosure statement, and all related reorganization agreements or documents; (c) prepare legal papers; (d) appear in bankruptcy court to protect the Debtor's interests; (e) prosecute and defend the Debtor in all adversary proceedings related to its Chapter 11 case; and (f) perform all other legal services for the Debtor. Essex Richards' hourly rates are as follows: John C. Woodman $300 David R. DiMatteo $275 Paralegal $175 Staff $65 In addition, the firm will seek reimbursement for expenses incurred. John Woodman, Esq., an attorney at Essex Richards, disclosed in court filings that the firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: John C. Woodman, Esq. Essex Richards, PA 1701 South Boulevard Charlotte, NC 28203 Telephone: (704) 377-4300 Facsimile: (704) 372-1357 Email: jwoodman@essexrichards.com About Yellowstone Transportation Group Yellowstone Transportation Group, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D.N.C. Case No. 21-30050) on Jan. 28, 2021. Andre Isaac, authorized representative, signed the petition. At the time of the filing, the Debtor disclosed $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. Essex Richards, PA serves as the Debtor's counsel. YOUFIT HEALTH: Unsecureds to Recover Up to 1% in Liquidating Plan ----------------------------------------------------------------- YouFit Health Clubs, LLC, et al., submitted a Combined Disclosure Statement and Amended Chapter 11 Plan of Liquidation on March 2, 2021. Class 3 consists of Prepetition Lender Claims. This Class has an estimated amount of not less than $17,727,918 and will receive up to 1% or more of Allowed Lender Claims Depending on trust funding and litigation recoveries. Each Holder of an Allowed Lender Claim shall receive its Pro Rata share of the Class 3 Liquidating Trust Interests. Class 4 consists of General Unsecured Claims. This Class has $20,000,000 estimated amount of claims and will receive up to 1% or more depending on trust funding and litigation recoveries. Each Holder of an Allowed General Unsecured Claim shall receive its Pro Rata share of the Class 4 Liquidating Trust Interests. Holders of Intercompany Claims shall not receive a distribution on account of such Intercompany Claims. On the Effective Date, all Interests shall be deemed canceled, extinguished and of no further force or effect, and the Holders of Interests shall not be entitled to receive or retain any property on account of such Interest. The Debtors engaged in a lengthy prepetition marketing process for the sale of substantially all of the Debtors' assets. The prepetition process culminated with the Debtors’ entry on the Petition Date into the Asset Purchase Agreement with YF FC Acquisition, LLC, an acquisition vehicle created by the Prepetition Lenders and DIP Lenders, (in such capacity, the "Buyer"), as the stalking horse bidder for the sale of substantially all of their assets. The APA contemplated a purchase price for the Acquired Assets of not less than $75,000,000. The Debtors consummated the Sale on Feb. 18, 2021 (the "Closing Date"). As of the Closing Date, and in accordance with the terms of the Creditors' Committee Settlement, the Buyer credit bid and/or assumed obligations under the DIP Credit Facility and the Prepetition Credit Agreement in the aggregate amount of $85,000,000. The Buyer is in the process of finalizing the allocation of such credit bid/assumption of debt between the DIP Lender Claims and the Prepetition Lender Claims. Accordingly, the allocation of the Lender Claims Allowed Amount between the DIP Lender Claims and the Prepetition Lender Claims has not yet been finalized. Counsel for the Debtors: Dennis A. Meloro GREENBERG TRAURIG, LLP The Nemours Building 1007 North Orange Street, Suite 1200 Wilmington, Delaware 19801 Telephone: (302) 661-7000 Facsimile: (302) 661-7360 E-mail: melorod@gtlaw.com - and - Nancy A. Peterman Eric Howe Nicholas E. Ballen 77 West Wacker Dr., Suite 3100 Chicago, Illinois 60601 Telephone: (312) 456-8400 Facsimile: (312) 456-8435 Emails: petermanN@gtlaw.com howeE@gtlaw.com ballenN@gtlaw.com About YouFit Health Clubs YouFit Health Clubs, LLC, and its affiliates own and operate 85 fitness clubs in the states of Alabama, Arizona, Florida, Georgia, Louisiana, Maryland, Pennsylvania, Rhode Island, Texas, and Virginia. Visit https://www.youfit.com/ for more information. On Nov. 9, 2020, YouFit Health Clubs and its affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 20-12841). YouFit was estimated to have $50 million to $100 million in assets and $100 million to $500 million in liabilities as of the filing. The Hon. Mary F. Walrath is the case judge. The Debtors tapped Greenberg Traurig LLP as its bankruptcy counsel, FocalPoint Securities LLC as investment banker, Red Banyan Group LLC as communications consultant, and Hilco Real Estate LLC as real estate advisor. Donlin Recano & Company Inc. is the claims agent. On Nov. 18, 2020, the U.S. Trustee for Region 3 appointed a committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee tapped Berger Singerman LLP and Pachulski Stang Ziehl & Jones LLP as its legal counsel, and Dundon Advisers LLC as its financial advisor. Z REAL ESTATE: Voluntary Chapter 11 Case Summary ------------------------------------------------ Debtor: Z Real Estate Holdings LLC 2015 California St. Huntington, CA 92648 Chapter 11 Petition Date: March 9, 2021 Court: United States Bankruptcy Court Central District of California Case No.: 21-10594 Debtor's Counsel: Marc Goldbach, Esq. GOLDBACH LAW GROUP 111 West Ocean Boulevard, Suite 400 Long Beach, CA 90802 Tel: 562-696-0582 Fax: 888-771-5425 E-mail: marc.goldbach@goldbachlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Zollie Stevens, the managing member. The Debtor stated it has no creditors holding unsecured claims. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/7HTVJ5Q/Z_Real_Estate_Holdings_LLC__cacbke-21-10594__0001.0.pdf?mcid=tGE4TAMA ZAANA-17 LLC: Bunlong Heng Buying Pelham Property for $625K ----------------------------------------------------------- Zaana-17, LLC, asks the U.S. Bankruptcy Court for the District of Massachusetts to authorize the private sale of all of its right, title and interest in property known as Lot 5 or 33 Chardonnay Road, in Pelham, New Hampshire ("Lot 5"), to Bunlong Heng for $625,480, inclusive of upgrades. The Debtor owns an eight lot subdivision which it is developing, known as lots 1-8 Sherburne Road, "The Vineyards," Pelham, New Hampshire which it acquired on April 22, 2020 and recorded in the Hillsborough County Registry of Deeds on April 23, 2020. At that time, the Debtor acquired by assignment, those Purchase and Sale Agreements which had been entered prior its acquisition of the Subdivision, including the Lot 5 Purchase and Sale Agreement ("P&S"). On Feb. 3, 2020, the P&S was entered for Lot 5 with the Proposed Buyer for the sum of $574,165. Thereafter, there were two addendums entered, with the final executed on Feb. 27, 2021 for the sale price of $625,480 inclusive of upgrades. The closing upon the sale is scheduled to occur by April 1, 2021 or upon final order of the Court, whichever is later. The P&S provided for in initial deposit of $27,500 which sums are held by the Proposed Buyer's broker. The Proposed Buyers also paid $46,315.42 for upgrades and materials comprised of the sum of $25,480 for upgrades, $3,300 for a fireplace and light, and $17,535.42 on account to Benson Lumber for the purchase and installation of windows ("Upgrade and Materials Deposit"). The Upgrade and Material Deposit was utilized for the purchase of materials and incorporated into the home built for the proposed buyers. The remaining balance due at closing under the P&S is $579,164.58 inclusive of the Deposit. The Debtor proposes to sell Lot 5 pursuant to 11 U.S.C. Sections 363 (b) (f), (h) and (m) however, the sale of lots is in the ordinary course of business and the sale of Lot 5 is authorized in accordance with Section 363(c). The Debtor believes that the proposed sale price for the newly constructed home is fair and reasonable given the current market conditions and comparable sales in the immediate area and the marketing which was conducted prior to entering into the P&S. There are no contingencies as the time for obtaining financing has expired. The Debtor intends to sell Lot 5 to the Proposed Buyer free and clear of liens claims and encumbrances, with liens to attach to the proceeds in accordance with their priority. It asks an Order approving the private sale in the ordinary course of its business and as such, there is no need for establishing procedures otherwise be required by Fed. R. Bankr. P. 6004 and MLBR 6004-1. The Bank of New England ("BoNE") holds a blanket first mortgage on the Subdivision to secure a Promissory Note with a principal amount due of $900,000 together with interest as of the Petition Date of $15,812.50 and late charges of $661.24. The per diem is $143.75. The BoNE holds a blanket second mortgage on the Subdivision to secure a Construction Loan Promissory Note with the face amount of $1,145,000 ("Construction Loan Note") and which as of the Petition date, the sum of $313,112.41 had been advanced. Interest to the Petition date is due in the sum of $5,216.30 and late charges of $217.24. The per diem is $48.41. Nelia J. and Ron Benjamin hold a Promissory Note in the principal amount of $325,000 secured by a Mortgage on the Subdivision. The Benjamin Note is subordinated to the mortgages of the BoNE. The proof of claim filed in connection with the Benjamin Note reflects a balance due as of the Petition Date in the sum of $470,570.88. Silva Bros. Investment Inc. holds a Promissory Note in the principal amount of $204,000 ("Silva Note 1") secured by a Mortgage on the Subdivision. The Silva Note 1 Mortgage is subordinated to the BoNE Note, the Construction Loan Note and the Benjamin Note. In addition, Silva Bros. Investment Inc. holds a Promissory Note in the amount of $150,000 dated May 27, 2020 ("Silva Note 2") secured by a Mortgage on the Subdivision. The Silva Note 2 Mortgage is subordinated to the BoNE Note, the Construction Loan Note, the Benjamin Note and the Silva Note 1. The Proofs of Claim reflect three notes with sums owed of approximately $364,000 plus interest. On Sept. 18, 2020, Maureen Appleyard, Trustee of the 59 Newhall Street Realty Trust recorded an ex parte real estate attachment in the sum of $875,000. The Debtor and Newhall reached a resolution which provides for a secured claim of $75,000. The Stipulation was approved by the Court on Jan. 19, 2021. The Debtor proposes to sell Lot 5 free and clear of all liens, claims and encumbrances, including both consensual and judicial liens and to distribute sums as detailed in the Motion. The Subdivision has been extensively marketed, both by a third-party broker, Dick Lapine Real Estate Inc. from March 2, 2020 until June 9, 2020 as well as by the Manager of the Debtor, Frank J. Gorman, who is also a licensed real estate broker and works through the Harper Valley Real Estate, LLC. In addition, the Subdivision was marketed through the multiple listing service MLS Property Information Network Inc. The MLS Multiple Listing agreements was also filed with the Massachusetts Multiple Listing Service so as to reach potential buyers throughout both states. The P&S does not specifically provide for payment of a commission to a real estate broker or agent by the Seller/Debtor. There is a Buyer's Agent, BH&G: The Masiello Group who is holding the sum of $27,500. There is no provision for payment of a broker commission at the closing from the sale proceeds paid to the Debtor as the Debtor has not employed same, the P&S having been entered prior to the filing. The sums held by the Buyers’ Agent will be turned over at the closing to the Debtor for payment of sums due at closing as set forth. The Debtor seeks a determination on the order approving the sale in light of the following (a) the sale is scheduled to close on April 1. 20216; (b) the sale is a private sale in the ordinary course of business of the Debtor; and (c) the Debtor provisions of Fed. R. Bankr. P. 6004 and MLBR 6004-1 are not applicable so counteroffers are not being sought. From the sale proceeds, the Debtor will pay all ordinary and usual closing costs which are estimated to be approximately $5,000 and any outstanding real estate taxes and sums required to be paid to the BoNE under the BoNE Note and the BoNE Construction Loan Note for the release of Lot 5. The balance of the funds will be held by counsel to the Debtor in a segregated IOLTA pending further order of the Court. The Debtor requests that the 14-day stay imposed by Fed. R. Bankr. P.6006 (h) be waived in order to ensure that an order authorizing the sale becomes final and may be certified by the Clerk after a hearing, but prior to the scheduled closing. As the sale is scheduled to take place on April 1, 20217, there is insufficient time for this matter to be heard upon adequate notice and for an order authorizing the sale to become a "final order" unless the Rule 6004(h) stay is waived. A copy of the P&S is available at https://tinyurl.com/3bvxytxn from PacerMonitor.com free of charge. About Zaana-17 Zaana-17 LLC, based in Dracut, MA, filed a Chapter 11 petition (Bankr. D. Mass. Case No. 20-41170) on Dec. 16, 2020. In the petition signed by Frank J. Gorman, Sr., manager, the Debtor was estimated to have $1 million to $10 million in both assets and liabilities. The Hon. Christopher J. Panos presides over the case. PARKER & LIPTON, serves as bankruptcy counsel to the Debtor. ZPOWER TEXAS: Unsecureds to Recover Up to 7% in Amended Plan ------------------------------------------------------------ ZPower Texas, LLC, filed an Amended Chapter 11 Plan and a corresponding Disclosure Statement. The Amended Disclosure Statement does not alter the proposed treatment of claims and interests. Like in its prior iteration, the Amended Plan provides that holders of Class 4 owed $70,000,000 are projected to recover 0% to 7%. The projected amounts and recoveries for claims under the Plan are: Estimated Estimated Category Amount Recovery -------- ------ -------- Administrative Claims $160,000 100% Class 1 Priority Claims $300,000 100% Class 2 Secured Tax Claims $360,000 100% Class 3 Riot Energy Claims $21,000,000 0% Class 4 Unsecured Claims $70,000,000 0% to 7% The Debtors and the Estates do not have sufficient assets to provide large recoveries to affected creditors, and the value of equity interests in the Debtors is zero, and likely has been for a long time. Within the next few years, the Debtor's sales of current products will likely decline to a negligible amount. The only real upside for the Debtor in the future is its large portfolio of patents and proprietary knowledge and knowhow, as well as extensive research and development, concerning the next generation of flexible, printable batteries. While the Debtor has so far been successful with these efforts and believes itself to be at the forefront of the new battery technology, producing a market-ready flexible, printable battery still needs millions of dollars of additional research and development, licensing, and marketing funds, which the Debtor does not have. Moreover, through extensive communications with key constituents, it became clear that no large creditor or equity interest holder (other than the individuals affiliated with Riot Energy) were prepared to participate in a rights offering, through which they could purchase interests in a reorganized debtor in exchange for new money and some of their old interests. This meant that the Debtor did not have a source of capital from which it could reorganize and fund future research and development. In the end, the only viable solution is a liquidation of the Debtors. In order to accomplish this objective, the Plan contains two significant components: (1) Riot Energy will acquire all the Debtors' Business Assets in exchange for a credit bid of $4,300,000. The Plan provides that Riot Energy has an allowed claim of $21,187,503. Riot Energy will be responsible for paying all Administrative Claims, Priority Claims, and Secured Tax Claims. Thereafter, Riot Energy will fund, monetize, or otherwise use the Business Assets as it sees fit, at its sole cost and burden, and for its sole potential benefit and profit. (2) A liquidating trust will be created under the Plan for the benefit of General Unsecured Creditors. On the Effective Date of the Plan, these assets will be transferred to the Creditor Trust: (a) all Causes of Action, including (i) the Widex Actions; (ii) the D&O Actions, (iii) the Avoidance Actions, and (iv) the D&O Insurance Actions; and (b) $50,000 in cash from the Debtors that is otherwise Riot Energy's cash collateral. A trustee will be appointed to liquidate these assets and distribute the proceeds to General Unsecured Creditors on a pro rata basis. General Unsecured Creditors will therefore have the benefit of everything of value that they have today, plus additional cash and consideration, and without more than $20 million of Riot Energy debt to share that value with. On the Effective Date, all equity interests in the Debtors will be canceled. The Debtors will then undertake the process of winding down under applicable state law, and they will thereafter cease to exist. A copy of the Amended Disclosure Statement filed March 5, 2021, is available at https://bit.ly/2Oaye7j About ZPower Texas ZPower -- https://www.zpowerbattery.com/ -- is a manufacturer of silver-zinc rechargeable microbatteries. The Company serves the consumer electronics, medical, and military and defense industries. ZPower Texas, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Tex. Case No. 20-41158) on March 17, 2020. At the time of the filing, the Debtor estimated assets of between $10 million to $50 million and liabilities of between $10 million to $50 million. The petitions were signed by Glynne Townsend, the CRO. The case is presided by Hon. Mark X. Mullin. Davor Rukavina, Esq., of Munsch Hardt Kopf & Harr, P.C., is the Debtors' bankruptcy counsel. Honigman LLP is special IP counsel. [*] Epiq AACER: Bankruptcy Filings Down 3% in February 2021 ----------------------------------------------------------- Epiq, a global technology-enabled services leader to the legal services industry and corporations, released its February 2021 bankruptcy filing statistics from its AACER bankruptcy information services business. February experienced the lowest number of new monthly bankruptcy filings across all chapters, with only 31,188 filings, since February 2006 (26,617 filings). The continued slide represents a decrease of 3% over January 2021 filings and a 45% decrease over February 2020 filings, where there were 56,209 new cases. Commercial filings across all chapters fell to 1,945 new cases, a 5% drop over January 2021 and a 38% drop over February 2020, which had a total of 3,112 new cases. "Access to capital, agreements among stakeholders, and general economic uncertainty has caused a continued pause in commercial Chapter 11 filings in February," said Deirdre O'Connor, senior managing director of corporate restructuring at Epiq. "The decline in chapter 11 cases reveals that seeking bankruptcy protection does not appear to be the most viable option for companies that are currently experiencing liquidity challenges." Chapter 13 non-commercial filings are down 7.25% over last month with only 8,320 new cases. Chapter 7 non-commercial filings are also down 1.8% in February 2021 with only 20,850 new cases. "New bankruptcy filing rates continue a historic slide," said Chris Kruse, senior vice president of Epiq AACER. "The bubble that emerged last April as the global pandemic picked up steam is now getting bigger, and the backlog of new filings is growing. We still expect new filings rates will change course and grow substantially in the second half of 2021 as vaccination rates climb, government stimulus ramps down, and COVID19-related policies are relaxed, forcing filers to evaluate their financial positions." About Epiq AACER Epiq AACER bankruptcy information services platform is built with superior data, technology, and expertise to create insight and mitigate risk for businesses impacted by bankruptcies. It offers free bankruptcy statistics and monthly email updates for both commercial and non-commercial (consumer) bankruptcy filings for Chapter 7, Chapter 11, and Chapter 13 cases. About Epiq Epiq -- https://www.epiqglobal.com/ -- is a global technology-enabled services leader to the legal services industry and corporations. It takes on large-scale, increasingly complex tasks for corporate counsel, law firms, and business professionals with efficiency, clarity, and confidence. Clients rely on Epiq to streamline the administration of business operations, class action and mass tort, court reporting, eDiscovery, regulatory, compliance, restructuring, and bankruptcy matters. Epiq subject-matter experts and technologies create efficiency through expertise and deliver confidence to high-performing clients around the world. [^] Recent Small-Dollar & Individual Chapter 11 Filings ------------------------------------------------------- In re Lounge 201 LLC Bankr. D.D.C. Case No. 21-00064 Chapter 11 Petition filed March 2, 2021 See https://www.pacermonitor.com/view/QUCHBKA/Lounge_201_LLC__dcbke-21-00064__0001.0.pdf?mcid=tGE4TAMA represented by: Craig M. Palik, Esq. MCNAMEE, HOSEA, JERNIGAN, KIM, GREENAN & LYNCH, P.A. E-mail: cpalik@mhlawyers.com) In re Jose Angel Rosales Bankr. C.D. Cal. Case No. 21-11720 Chapter 11 Petition filed March 3, 2021 represented by: Nancy Korompis, Esq. In re Raymond Madjidian Tash Bankr. C.D. Cal. Case No. 21-11716 Chapter 11 Petition filed March 3, 2021 represented by: Summer Shaw, Esq. In re Howard Hilton Christie, Jr. Bankr. M.D. Fla. Case No. 21-00518 Chapter 11 Petition filed March 3, 2021 represented by: Bryan Mickler, Esq. In re DAEC Home Improvement, LLC Bankr. D. Mass. Case No. 21-40160 Chapter 11 Petition filed March 3, 2021 See https://www.pacermonitor.com/view/33MHSIY/DAEC_Home_Improvement_LLC__mabke-21-40160__0001.0.pdf?mcid=tGE4TAMA represented by: John F. Sommerstein, Esq. LAW OFFICES OF JOHN F. SOMMERSTEIN E-mail: jfsommer@aol.com In re Green Valley at ML Country Club, LLC Bankr. D.N.J. Case No. 21-11747 Chapter 11 Petition filed March 3, 2021 See https://www.pacermonitor.com/view/VGH6RQA/Green_Valley_at_ML_Country_Club__njbke-21-11747__0001.0.pdf?mcid=tGE4TAMA represented by: Robert N. Braverman, Esq. MCDOWELL LAW, PC E-mail: rbraverman@mcdowelllegal.com In re Specialty Orthopedic Group Properties, PLLC Bankr. M.D. Tenn. Case No. 21-00604 Chapter 11 Petition filed March 3, 2021 See https://www.pacermonitor.com/view/I6BAYQA/Specialty_Orthopedic_Group_Properties__tnmbke-21-00604__0001.0.pdf?mcid=tGE4TAMA represented by: Steven L. Lefkovitz, Esq. LEFKOVITZ & LEFKOVITZ E-mail: slefkovitz@lefkovitz.com In re Jay P Fleischer and Tamara Lee Fleischer Bankr. W.D. Wash. Case No. 21-10427 Chapter 11 Petition filed March 3, 2021 represented by: James A. Sturdevant, Esq. In re Florence F. Smith Bankr. E.D.N.Y. Case No. 21-40578 Chapter 11 Petition filed March 4, 2021 In re Ulises Rafael Vargas Bankr. E.D.N.Y. Case No. 21-40573 Chapter 11 Petition filed March 4, 2021 represented by: Alla Kachan, Esq. In re LCAV Enterprises, LLC Bankr. W.D.N.Y. Case No. 21-20137 Chapter 11 Petition filed March 4, 2021 See https://www.pacermonitor.com/view/XFSV27Y/LCAV_Enterprises_LLC__nywbke-21-20137__0001.0.pdf?mcid=tGE4TAMA represented by: Robert B. Gleichenhaus, Esq. GLEICHENHAUS, MARCHESE & WEISHAAR, P.C. In re Great American Treating, Inc. Bankr. E.D. Tex. Case No. 21-60078 Chapter 11 Petition filed March 4, 2021 See https://www.pacermonitor.com/view/AROU42I/Great_American_Treating_Inc__txebke-21-60078__0001.0.pdf?mcid=tGE4TAMA represented by: Glen Patrick, Esq. PATRICK LAW OFFICES E-mail: sherry@patricklawoffices.com In re PNW Redone 10 Bankr. W.D. Wash. Case No. 21-40376 Chapter 11 Petition filed March 4, 2021 See https://www.pacermonitor.com/view/HJOQ2QA/PNW_Redone_10__wawbke-21-40376__0001.0.pdf?mcid=tGE4TAMA represented by: John A. Sterbick, Esq. STERBICK & ASSOCIATES, P.S. E-mail: jsterbick@sterbick.com; LoreleiW@sterbick.com In re Pittman D. Moore Bankr. W.D. Ark. Case No. 21-70299 Chapter 11 Petition filed March 5, 2021 In re Monroe Subways The Beach, Inc. Bankr. M.D. Fla. Case No. 21-01068 Chapter 11 Petition filed March 5, 2021 See https://www.pacermonitor.com/view/JVRQFAY/Monroe_Subways_The_Beach_Inc__flmbke-21-01068__0001.0.pdf?mcid=tGE4TAMA represented by: Daniel Etlinger, Esq. DAVID JENNIS, PA D/B/A JENNIS MORSE ETLINGER E-mail: ecf@JennisLaw.com In re Eric Jamar Lee and Jerrie Lynn Lee Bankr. M.D. Ga. Case No. 21-40087 Chapter 11 Petition filed March 5, 2021 represented by: Wesley Boyer, Esq. In re Hospitality Woodworks LLC Bankr. N.D. Ga. Case No. 21-51852 Chapter 11 Petition filed March 5, 2021 See https://www.pacermonitor.com/view/GUEDABI/Hospitality_Woodworks_LLC__ganbke-21-51852__0001.0.pdf?mcid=tGE4TAMA represented by: William A. Rountree, Esq. ROUNTREE, LEITMAN & KLEIN, LLC E-mail: swenger@rlklawfirm.com In re GreenKarma, LLC Bankr. D.N.J. Case No. 21-11823 Chapter 11 Petition filed March 5, 2021 See https://www.pacermonitor.com/view/MTBZWDA/GreenKarma_LLC__njbke-21-11823__0001.0.pdf?mcid=tGE4TAMA represented by: David L. Stevens, Esq. SCURA, WIGFIELD, HEYER, STEVENS & CAMMAROTA, LLP E-mail: ecfbkfilings@scuramealey.com In re Manzanita Corporation Bankr. W.D. Tex. Case No. 21-70029 Chapter 11 Petition filed March 5, 2021 See https://www.pacermonitor.com/view/QSJE5SQ/Manzanita_Corporation__txwbke-21-70029__0001.0.pdf?mcid=tGE4TAMA represented by: Michael McConnell, Esq. KELLY HART & HALLMAN LLP E-mail: michael.mcconnell@kellyhart.com In re Jason Todd Jones Bankr. E.D. Tenn. Case No. 21-10470 Chapter 11 Petition filed March 6, 2021 represented by: Amanda Stofan, Esq. In re Christopher Scott Sehman Bankr. N.D. Fla. Case No. 21-30141 Chapter 11 Petition filed March 7, 2021 In re Michael Todd Beacham Bankr. M.D. Fla. Case No. 21-00980 Chapter 11 Petition filed March 8, 2021 represented by: Aldo Bartolone, Esq. In re The Palms NL Condominium Association Inc. Bankr. S.D. Fla. Case No. 21-12227 Chapter 11 Petition filed March 8, 2021 See https://www.pacermonitor.com/view/KNA3VOI/The_Palms_NL_Condominium_Association__flsbke-21-12227__0001.0.pdf?mcid=tGE4TAMA represented by: Michael S. Hoffman, Esq. HOFFMAN, LARIN & AGNETTI, P.A. E-mail: mshoffman@hlalaw.com In re Who Dat ?, Inc. Bankr. E.D. La. Case No. 21-10292 Chapter 11 Petition filed March 8, 2021 See https://www.pacermonitor.com/view/MPZQVXQ/Who_Dat__Inc__laebke-21-10292__0001.0.pdf?mcid=tGE4TAMA represented by: Christopher T. Caplinger, Esq. LUGENBUHL, WHEATON, PECK, RANKIN & HUBBARD E-mail: ccaplinger@lawla.com In re Anthony Reginelli, Jr. Bankr. E.D. La. Case No. 21-10294 Chapter 11 Petition filed March 8, 2021 represented by: Darryl Landwehr, Esq. In re Bruce Chatman and Marilyn Chatman Bankr. D. Md. Case No. 21-11410 Chapter 11 Petition filed March 8, 2021 represented by: Leonard Jones, Esq. In re Deldor LLC Bankr. D.N.J. Case No. 21-11857 Chapter 11 Petition filed March 8, 2021 See https://www.pacermonitor.com/view/7AFRM3Y/Deldor_LLC__njbke-21-11857__0001.0.pdf?mcid=tGE4TAMA represented by: Jose R. Torres, Esq. TORRES LEGAL E-mail: jrt@torreslegal.com In re Luis Rivera and Emma Rivera Bankr. S.D. Fla. Case No. 21-12268 Chapter 11 Petition filed March 9, 2021 represented by: Nicholas Bangos, Esq. In re Click Bio, Inc. Bankr. D. Nev. Case No. 21-50169 Chapter 11 Petition filed March 9, 2021 See https://www.pacermonitor.com/view/NKF6DEY/CLICK_BIO_INC__nvbke-21-50169__0001.0.pdf?mcid=tGE4TAMA represented by: Kevin A. Darby, Esq. DARBY LAW PRACTICE E-mail: kevin@darbylawpractice.com In re William C. White, III Bankr. S.D.N.Y. Case No. 21-10442 Chapter 11 Petition filed March 9, 2021 represented by: Douglas Pick, Esq. In re Brian Thomas Barefoot and Tonya Byrd Barefoot Bankr. E.D.N.C. Case No. 21-00521 Chapter 11 Petition filed March 9, 2021 represented by: Danny Bradford, Esq. In re Charles Luke Duncan Bankr. S.D. Tex. Case No. 21-21062 Chapter 11 Petition filed March 9, 2021 represented by: Nathaniel Holzer, Esq. ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR editor holds some position in the issuers public debt and equity securities about which we report. Each Tuesday edition of the TCR contains a list of companies with insolvent balance sheets whose shares trade higher than $3 per share in public markets. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. On Thursdays, the TCR delivers a list of recently filed Chapter 11 cases involving less than $1,000,000 in assets and liabilities delivered to nation's bankruptcy courts. The list includes links to freely downloadable images of these small-dollar petitions in Acrobat PDF format. Each Friday's edition of the TCR includes a review about a book of interest to troubled company professionals. All titles are available at your local bookstore or through Amazon.com. Go to http://www.bankrupt.com/books/to order any title today. Monthly Operating Reports are summarized in every Saturday edition of the TCR. The Sunday TCR delivers securitization rating news from the week then-ending. TCR subscribers have free access to our on-line news archive. Point your Web browser to http://TCRresources.bankrupt.com/and use the e-mail address to which your TCR is delivered to login. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter is a daily newsletter co-published by Bankruptcy Creditors Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA. Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Valerie Udtuhan, Howard C. Tolentino, Carmel Paderog, Meriam Fernandez, Joel Anthony G. Lopez, Cecil R. Villacampa, Sheryl Joy P. Olano, Psyche A. Castillon, Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and Peter A. Chapman, Editors. Copyright 2021. All rights reserved. ISSN: 1520-9474. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR subscription rate is $975 for 6 months delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are $25 each. For subscription information, contact Peter A. Chapman at 215-945-7000. *** End of Transmission ***