/raid1/www/Hosts/bankrupt/TCR_Public/210603.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, June 3, 2021, Vol. 25, No. 153
Headlines
1917 HEIGHTS: Case Summary & 20 Largest Unsecured Creditors
5035 N. LINCOLN: Voluntary Chapter 11 Case Summary
8533 GEORGETOWN: Case Summary & 11 Unsecured Creditors
AARNA HOTELS: May Use Cash Collateral Thru June 15
AJAY K. GOYAL: Case Summary & 2 Unsecured Creditors
ALAMO DRAFTHOUSE: Plans Post-Chapter 11 Expansion
ALH PROPERTIES: Embassy Suites Operator Seeks Access to Cash
ALLIANCE EDUCATION: Seeks to Tap Newmeyer & Dillion as Counsel
ALTO TOWNHOMES: July 12 Plan Confirmation Hearing Set
AMC ENTERTAINMENT: Mudrick to Sell Stakes, Calls Shares Overvalued
ANCHOR GENERAL: A.M. Best Affirms B(Fair) Finc'l. Strength Rating
AVADIM HEALTH: Case Summary & 35 Largest Unsecured Creditors
AZZIL GRANITE: July 15 Plan Confirmation Hearing Set
BEAR COMMUNICATIONS: Seeks Cash Collateral Access
BLACKSTONE DEVELOPERS: May Use Cash Collateral Until June 21
BROWNIE'S MARINE: Inks Distributor Agreement With Bright Weights
CALIFORNIA-NEVADA METHODIST: Taps Hanson Bridgett as Legal Counsel
CANTERA COURT: Wins Cash Access Thru June 30 Under Amended Order
CARBONYX INC: Hasmukh Patel Says Plan Disclosures Insufficient
CARBONYX INC: Objecting Creditors Say Plan Not Feasible
CCS ONCOLOGY: Steals $100,000 From Retirement Funds, Says DOL
CMC II: Committee Taps Porzio, Bromberg & Newman as Legal Counsel
CORE & MAIN: Moody's Raises CFR to B2, Placed on Further Review
DARMA LLC: Seeks Approval to Hire Boyer Terry as Legal Counsel
DEERFIELD DAKOTA: Moody's Affirms B3 CFR, Outlook Stable
DIAGNOSTIC RADIOLOGY: Case Summary & 6 Unsecured Creditors
DIGILITI MONEY: Executives Will Pay $460,000 Over Securities Fraud
DIOCESE OF ROCKVILLE: District Court to Hear Arrowood Coverage Row
DOHENY EQUITIES: U.S. Trustee Seeks Dismissal or Conversion
EAGLE HOSPITALITY: Court Rules Foreign Units Can Stay in Chapter 11
FAIRBANKS CO: District Court Hearing on Plan Injunction Sought
FANNIE MAE: President Gets Additional Role as Interim CFO
FOSSIL GROUP: All Three Proposals Passed at Annual Meeting
FR BR HOLDINGS: Moody's Alters Outlook on B3 CFR to Stable
FS ENERGY: Moody's Alters Outlook on Ba3 CFR to Stable
FTPO LLC: Case Summary & Unsecured Creditor
GAIA INTERACTIVE: Seeks to Hire BPM LLP as Financial Advisor
GUARDION HEALTH: Chief Financial Officer Won't Renew Contract
HEIGHTS HOSPITAL: Hits Chapter 11 Bankruptcy Protection
HOOKIN' C RANCH: Berkeley Research's Strong Named Ch.11 Trustee
HRAG LLC: Case Summary & 2 Unsecured Creditors
INFINERA CORP: All Four Proposals Passed at Annual Meeting
INTEGRATED AG: July 1 Disclosure Statement Hearing Set
INVESTVIEW INC: Invests Another $1 Million in NDAU
JACK COUNTY HOSPITAL: No Patient Care Concern, Says PCO 5th Report
JP INTERMEDIATE: Moody's Raises CFR to B3 on Profit Growth
KTR GLOBAL: Unsecured Creditors to Get Payments for 5 Years
KUMTOR GOLD: Case Summary & 30 Largest Unsecured Creditors
KUMTOR GOLD: Centerra Places Subsidiaries Under Chapter 11
LIBERTY POWER: $40MM DIP Loan from Boston Energy Gets Final OK
LINDA MAR: Seeks to Hire Maloy Law Group as Legal Counsel
LUCKY STAR-DEER: Abraham Leser's Joinder to Disclosure Objection
MC TOURS: Seeks to Hire MRO Attorneys at Law as Legal Counsel
MEDLEY LLC: Schulte Roth, Young Conaway Represent Noteholder Group
MKJC AUTO: Lucy Thomson Named Consumer Privacy Ombudsman
MKJC AUTO: Ombudsman Says PII Sale Permissible
MONAKER GROUP: Amends IP Purchase Agreement With IDS
MOUNT GROUP: Combined Disclosure & Plan Confirmed by Judge
OFS INTERNATIONAL: Hits Chapter 11 Bankruptcy Protection
OPTION CARE: All Four Proposals Approved at Annual Meeting
ORIGIN AGRITECH: Signs $10M Purchase Agreement With Oasis Capital
PARKING MANAGEMENT: Unsec. Creditors to Recover 82.84% in 5 Years
PEPCOM INC: Case Summary & 7 Unsecured Creditors
PIKEWOOD INC: Court OKs Cash Collateral Stipulation
QUEEN CITY REHABS: Unsec. Creditors to Get 0% in Sale-Based Plan
RABUN MANOR: Seeks Cash Collateral Access
REGENTS COURT: Involuntary Chapter 11 Case Summary
RICHARD DALE: Lisa Holder Named Subchapter V Trustee
ROI INDUSTRIES: Gets OK to Hire Nelson & Company as Accountant
SRI VARI: Wins Access to Cash Collateral Thru June 15
SWITCH LTD: Moody's Confirms 'Ba3' CFR & Alters Outlook to Stable
SYRACUSE INDUSTRIAL: Moody's Lowers 2007/2016 PILOT Bonds to Caa1
TCNR LLC: Cases Dismissed, Bid to Disallow Cash Access Moot
VALLEY FARM: Seeks Approval of Cash Stipulation with CBSM, SABR
WHITE STALLION: Gets Court Okay to Start Bankruptcy Sale Process
[^] Recent Small-Dollar & Individual Chapter 11 Filings
*********
1917 HEIGHTS: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: 1917 Heights Hospital, LLC
1917 Ashland Street, #300
Houston, TX 77008
Business Description: 1917 Heights Hospital, LLC is a Single Asset
Real Estate debtor (as defined in 11 U.S.C.
Section 101(51B)).
Chapter 11 Petition Date: June 1, 2021
Court: United States Bankruptcy Court
Southern District of Texas
Case No.: 21-31811
Debtor's Counsel: Steven Shurn, Esq.
HUGHES WATTERS ASKANASE
Total Plaza
1201 Louisiana Street, 28th Floor
Houston, TX 77002
Tel: (713) 759-0818
Email: sshurn@hwa.com
Estimated Assets: $100 million to $500 million
Estimated Liabilities: $10 million to $50 million
The petition was signed by Dr. Dharmesh Patel, manager.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/QJQT3MQ/1917_Heights_Hospital_LLC__txsbke-21-31811__0001.0.pdf?mcid=tGE4TAMA
List of Debtor's 20 Largest Unsecured Creditors:
Entity Nature of Claim Claim Amount
------ --------------- ------------
1. Carrier Rental Systems $217,073
35961 Eagle Way
Chicago, IL 60678
2. TXU Energy $199,382
P.O. Box 650638
Dallas, TX 75265-0638
3. Sabre Electric Company $166,243
P.O. Box 79292
Houston, TX 7727
4. HCSG Staff Leasing $101,790
Solutions, LLC
3220 Tillman Drive,
Suite 300
5. Entech Sales & Service, LLC $90,446
3404 Garden Brook Drive
Dallas, TX 75234-2444
6. Johnson Controls $69,523
Fire Protection, LP
4700 Exchange Court,
Suite 300
7. Thyssen Krupp Elevator Corp. $59,666
P.O. Box 933004
Atlanta, GA 31193-3004
8. ETS Environmental $38,039
Testing Services, LLC
10908 Metronome Drive
Houston, TX 77043
9. Airgas USA, LLC $33,662
P.O. Box 676015
Dallas, TX 75267-6015
10. City of Houston - $31,558
Utility Bill
P.O. Box 1560
Houston, TX 77251
11. The Hanover $24,077
Insurance Group
P.O. Box 580045
Charlotte, NC 28258
12. CenterPoint Energy $21,896
P.O. Box 4981
Houston, TX 77210-4981
13. WCA Waste Systems, Inc. $7,740
1330 Post Oak Blvd., 7th Floor
14. Wilson Fire Equipment $7,531
& Service Company,
7303 Empire Central Drive
15. Chem-Aqua, Inc. $6,112
P. O. Box 971269
Dallas, TX 75397-1269
16. AT&T Wireless $5,914
P.O. Box 105414
Atlanta, GA 30348-5414
17. LEI Grounds Groomers $5,108
/Lightfoot Ent., Inc.
P. O. Box 267
18. Kings III of America $5,061
751 Canyon Drive, Suite 100
Coppell, TX 75019-3857
19. Mueller Water $4,990
Conditioning, Inc.
P.O. Box 975118
Dallas, TX 75397-511
20. Facilities Survey, Inc. $4,214
400 Penn Center Boulevard
Suite 552
Pittsburgh, PA 15235
5035 N. LINCOLN: Voluntary Chapter 11 Case Summary
--------------------------------------------------
Debtor: 5035 N. Lincoln Avenue, LLC
770 N. Lasalle Dr. Ste 600
Chicago, IL 60654
Business Description: 5035 N. Lincoln Avenue, LLC is a Single
Asset Real Estate debtor (as defined in 11
U.S.C. Section 101(51B)).
Chapter 11 Petition Date: June 2, 2021
Court: United States Bankruptcy Court
Northern District of Illinois
Case No.: 21-07043
Judge: Hon. Lashonda A. Hunt
Debtor's Counsel: Mark L. Radtke, Esq.
COZEN O'CONNOR
123 N Wacker Dr
Suite 1800
Chicago, IL 60606
Tel: 312-382-3100
Fax: 312-382-8910
E-mail: mradtke@cozen.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Yuval Lapidot, manager.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/AGAXGGQ/5035_N_Lincoln_Avenue_LLC__ilnbke-21-07043__0001.0.pdf?mcid=tGE4TAMA
8533 GEORGETOWN: Case Summary & 11 Unsecured Creditors
------------------------------------------------------
Debtor: 8533 Georgetown Pike LLC
10110 Nedra Dr.
Great Falls, VA 22066
Business Description: 8533 Georgetown Pike LLC is a Single Asset
Real Estate debtor (as defined in 11 U.S.C.
Section 101(51B)).
Chapter 11 Petition Date: June 1, 2021
Court: United States Bankruptcy Court
Eastern District of Virginia
Case No.: 21-11000
Debtor's Counsel: John P. Forest, II, Esq.
LAW OFFICE OF JOHN P. FOREST, II
11350 Random Hills Rd, Suite 700
Fairfax, VA 22030
Tel: (703) 691-4940
E-mail: j.forest@stahlzelloe.com
Total Assets: Unknown
Total Debts: Unknown
The petition was signed by Raymond Rahbar, manager.
A full-text copy of the petition containing, among other items, a
list of the Debtor's 11 unsecrued creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/ITR3YWQ/8533_Georgetown_Pike_LLC__vaebke-21-11000__0001.0.pdf?mcid=tGE4TAMA
AARNA HOTELS: May Use Cash Collateral Thru June 15
--------------------------------------------------
Judge J. Craig Whitley authorized Aarna Hotels, LLC to continue
using cash collateral, consistent with the budget, through 11:59
p.m. on June 15, 2021, the next hearing on the Debtor's cash
collateral motion.
The Court directed the Debtor to pay A Plus Services of Carolinas,
Inc. a security deposit of $21,810 with respect to its
post-petition services, provided that A Plus shall not apply such
deposit to any amounts that may be owed to it by the Debtor except
upon further Court order. The Debtor's secured lender, M2
Charlotte Airport, LLC, agrees to the Debtor's continued use of
cash collateral.
The continued hearing on June 15 is scheduled at 9:30 a.m., in the
United States Bankruptcy Court, Charles Jonas Federal Building,
Courtroom 2B, 401 West Trade Street, in Charlotte, North Carolina.
A copy of order is available for free at https://bit.ly/3i5PFSQ
from PacerMonitor.com.
About Aarna Hotels
Aarna Hotels, LLC is a limited liability company formed in 2017
under the laws of the State of North Carolina. It owns and operates
an Aloft branded hotel located at 3928 Memorial Parkway in
Charlotte, North Carolina.
Aarna Hotels sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. W.D.N.C. Case No. 21-30249) on April 29,
2021. In the petition signed by Anuj N. Mittal, manager, the Debtor
disclosed up to $50 million in both assets and liabilities. Judge
Laura T. Beyer oversees the case. Richard S. Wright, Esq., at Moon
Wright & Houston, PLLC, is the Debtor's legal counsel.
AJAY K. GOYAL: Case Summary & 2 Unsecured Creditors
---------------------------------------------------
Debtor: Ajay K. Goyal, M.D., Inc.
1501 SE Lennard Rd
Port Saint Lucie, FL 34952
Chapter 11 Petition Date: June 1, 2021
Court: United States Bankruptcy Court
Southern District of Florida
Case No.: 21-15444
Judge: Hon. Mindy A. Mora
Debtor's Counsel: Robert C. Furr, Esq.
FURRCOHEN P.A.
2255 Glades Rd.
Suite 301E
Boca Raton, FL 33431
Tel: 561-395-0500
Total Assets: $652,391
Total Liabilities: $3,167,678
The petition was signed by HRAG, LLC c/o Ajay K. Goya, manager.
A full-text copy of the petition containing, among other items, a
list of the Debtor's two unsecured creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/YRFFKGI/Ajay_K_Goyal_MD_Inc__flsbke-21-15444__0001.0.pdf?mcid=tGE4TAMA
ALAMO DRAFTHOUSE: Plans Post-Chapter 11 Expansion
-------------------------------------------------
Kelly Gilblom of Bloomberg News reports that Alamo Drafthouse
Cinema, the quirky Texas-based theater chain, said Tuesday, June 1,
2021, it plans to open five new locations after emerging from
Chapter 11 bankruptcy.
The new theaters include Alamo's first location in Manhattan and
two in Washington, as well as openings in New York's Staten Island
borough and St. Louis. The Austin-based company is known for its
clever marketing, high-end theaters that serve food and cocktails,
and special kid-friendly shows.
Expansion is a rare move in the cinema business these days, with
about 30% of U.S. theaters still closed temporarily or permanently
because of the coronavirus.
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.
ALH PROPERTIES: Embassy Suites Operator Seeks Access to Cash
------------------------------------------------------------
ALH Properties No. Fourteen, LP asks the U.S. Bankruptcy Court for
the Southern District of Texas, Houston Division, for authority to
use cash collateral and provide adequate relief.
The Debtor needs access to cash on an emergency basis to continue
operating its hotel business. The Debtor currently has $2,548,561
in cash in its operating bank account at Amegy Bank, which is not a
lender to the Debtor. The Operating Account holds proceeds from
the hotel's operation as well as funds contributed by equity
holders.
The Debtor says the proceeds from the hotel operation are likely
cash collateral of its lender, Massachusetts Mutual Life Insurance
Company. The Debtor adds there is no deposit account control
agreement in place in favor of Mass Mutual.
The Debtor has prepared a proposed cash budget. According to the
Debtor, there are several independent bases justifying its use of
the cash collateral pursuant to the Budget:
1. To the extent that cash in the Operating Account is cash
collateral of the Lender, its use is permitted by the applicable
standards. If the budgeted obligations are not paid, the hotel
cannot operate and will suffer immediate and irreparable harm. The
Lender's interest in any cash collateral is adequately protected by
the Debtor's use of that cash to operate its business and maintain
the value of the Lender's collateral. In addition, the Debtor
offers to provide the Lender a replacement lien of the same scope,
validity and priority as the Lender's prepetition liens.
2. The value of the Lender's collateral substantially exceeds
the balance owed to the Lender. The principal balance of the loan
is $40,135,818 compared to the collateral, which has a value of
$60,000,000 as set forth in a May 1, 2021 appraisal. Even after
including accrued interest and any alleged prepayment penalty, a
very substantial equity cushion will remain. This equity cushion
independently provides adequate protection for the use of cash
collateral pursuant to the Budget. This is particularly true when
the Budget only contemplates use of not more than $200,000 on an
interim basis compared to cash on hand of more than $2.5 million.
The Debtor's hotel, Embassy Suites Discovery Green in Houston,
Texas, opened in 2011. In 2013, the Debtor obtained the current
loan from Mass Mutual in the original principal amount of
$44,750,000. The Debtor was profitable and timely paid every
principal and interest payment due under the Mass Mutual loan
through March 2020.
The Debtor says the effects of the COVID-19 pandemic and its impact
on the economy resulted in a near total shutdown of downtown
Houston, including the convention business upon which the Debtor
heavily relies. To put the effect of COVID-19 and the resulting
governmental restrictions into perspective, the Debtor's 2020
revenues were approximately $4.88 million, compared to over $14.49
million in 2019 and $14.37 million in 2018. Further, the Debtor's
revenue for the 12-month period from April 2020 to March 2021 was
$2.7 million.
The Debtor filed the Chapter 11 case to stay Mass Mutual's
aggressive actions and to explore options to maximize value for all
stakeholders.
The Debtor is the borrower under the Promissory Note dated as of
March 7, 2013 and Loan Agreement, by and among the Debtor and Mass
Mutual, Nicholas J. Massad, Jr., as guarantor, and Cornerstone Real
Estate Advisers LLC, as administrative agent therewith.
As of April 13, 2021, the principal balance of the Note according
to the Lender was $40,135,818, not including accrued interest and
other potentially alleged charges, including an alleged prepayment
penalty. Principal and interest under the Mass Mutual Loan is due
and payable monthly. The Debtor has not made principal and interest
payments since April 2020, although the Debtor attempted to make
certain payments that were rejected by the Lender. The Debtor and
Mass Mutual entered into a forbearance agreement in May 2020, which
provided that the monthly principal and interest payments from May
through July 2020, were deferred until May 2021. The deferred
payments were not made in May 2021.
On November 10, 2020, counsel to Barings, the Servicer, sent the
Debtor a notice of default. On January 12, 2021, Barings sent the
Debtor a notice stating that the Note had been accelerated
effective as of November 24, 2020 and that the collateral had been
posted for foreclosure. The Servicer, through counsel, posted the
property for foreclosure each month since February 2021. However,
no foreclosures have occurred in Harris County because of
moratoriums issued by Harris County Judge Lina Hidalgo.
The Debtor's efforts to resolve its issues with Mass Mutual and
Barings have been rejected. Instead of engaging with the Debtor, or
accepting its partial payments and offers to pay, Mass Mutual
instead accelerated the loan and posted for foreclosure.
Since the onset of COVID-19 and the resulting shutdowns, the Debtor
has continued operating using its meager revenues and contributions
from equity holders. While the Debtor has been able to keep its
doors open, it has accumulated substantial accounts payable
including its franchise fee to Hilton, management fees to its
affiliated management company, and amounts to other vendors. The
total amount of these non-Lender obligations is $503,298.
The Debtor has been funding all of its operating shortfalls with
contributions from its equity holders. Most recently, since
November 17, 2020, the Debtor's equity holders have contributed
$1,768,061 to the Debtor's Operating Account.
In his First Day Declaration filed with the Bankruptcy Court, the
Debtor's president and general partner, Mr. Massad, said the
current value of the hotel exceeds $60 million.
A copy of the Debtor's motion is available for free at
https://bit.ly/3wRPiQ7 from PacerMonitor.com.
About ALH Properties No. Fourteen, LP
ALH Properties No. Fourteen, LP is the owner and operator of the
Embassy Suites Discovery Green hotel in downtown Houston, Tex. The
Debtor is a full service hotel with 262 guest suites, 3,600 square
feet of meeting space, and a number of services and amenities.
Those services include a restaurant, room service, a bar, gift
shop, and parking.
It sought protection under Chapter 11 of the U.S. Bankruptcy Code
(Bankr. S.D. Tex. Case. No. 21-31797) on May 31, 2021. In the
petition signed by Nick Massad, Jr., president and general partner,
the Debtor disclosed up to $50 million in both assets and
liabilities.
Porter Hedges LLP is the Debtor's counsel.
ALLIANCE EDUCATION: Seeks to Tap Newmeyer & Dillion as Counsel
--------------------------------------------------------------
Alliance Education Specialists seeks approval from the U.S.
Bankruptcy Court for the Northern District of California to employ
Newmeyer & Dillion, LLP as its legal counsel.
The firm's services include:
(a) advising the Debtor regarding its rights, powers and
duties in the administration of its Chapter 11 case, the operation
of its business and the management of its property;
(b) preparing legal papers and conducting examinations;
(c) advising the Debtor in connection with all applications,
motions, or complaints for reclamation, adequate protection,
sequestration, relief from stays, appointment of a trustee or
examiner, and all other similar matters;
(d) developing the relationship of the status of the Debtor to
the claims of creditors;
(e) assisting the Debtor in the formulation and presentation
of a Chapter 11 plan; and
(f) other legal services necessary to administer the case.
The firm will be billed at a flat fee of $20,000 for all services
except adversary proceedings or related litigation. Its partners
and associates charge $425 per hour and $350 per hour,
respectively.
Michael Krueger, Esq., a partner at Newmeyer & Dillion, 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:
Michael T. Krueger, Esq.
Newmeyer & Dillion LLP
1333 N. California Blvd., Suite 600
Walnut Creek, CA 94596
Telephone: (925) 988-3200
Facsimile: (925) 988-3290
Email: michael.krueger@ndlf.com
About Alliance Education Specialists
Alliance Education Specialists filed its voluntary petition for
relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Cal.
Case No. 21-40463) on April 1, 2021, listing under $1 million in
both assets and liabilities. Irum Zaidi, president, signed the
petition. Judge William J. Lafferty oversees the case. Newmeyer &
Dillion LLP serves as the Debtor's legal counsel.
ALTO TOWNHOMES: July 12 Plan Confirmation Hearing Set
-----------------------------------------------------
On May 25, 2021, The Alto Townhomes on Hall, LLC, filed with the
U.S. Bankruptcy Court for the Northern District of Texas a Second
Amended Disclosure Statement for First Amended Plan of
Reorganization.
On May 27, 2021, Judge Harlin Dewayne Hale approved the Second
Amended Disclosure Statement and ordered that:
* July 12, 2021, at 9:00 a.m. at the United States Bankruptcy
Court, 1100 Commerce Street, 14th Floor, Dallas, Texas 75242 is the
hearing on the First Amended Plan of Reorganization.
* July 6, 2021, is fixed as the last day to file objections to
the Confirmation of the Plan.
* July 6, 2021, is fixed as the last day to submit Ballots
accepting or rejecting the Debtor's Plan of Reorganization.
A full-text copy of the order dated May 27, 2021, is available at
https://bit.ly/3wS1SP6 from PacerMonitor.com at no charge.
Attorneys for the Debtor:
Joyce W. Lindauer
Kerry S. Alleyne
Guy H. Holman
Joyce W. Lindauer Attorney, PLLC
1412 Main Street, Suite 500
Dallas, Texas 75202
Telephone: (972) 503-4033
Facsimile: (972) 503-4034
About Alto Townhomes on Hall
The Alto Townhomes on Hall, LLC is a single asset real estate
debtor (as defined in 11 U.S.C. Section 101(51B)).
The Alto Townhomes on Hall sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. N.D. Tex. Case No. 21-30379) on March
2, 2021. Lawrence Selevan, the managing member, signed the
petition. At the time of the filing, the Debtor disclosed assets of
between $1 million and $10 million and liabilities of between $10
million and $50 million. Judge Harlin Dewayne Hale oversees the
case. The Debtor is represented by Joyce W. Lindauer Attorney,
PLLC.
AMC ENTERTAINMENT: Mudrick to Sell Stakes, Calls Shares Overvalued
------------------------------------------------------------------
Katherine Doherty of Bloomberg News reports that Mudrick Capital
sold all its stock in AMC Entertainment Holdings Inc. as of
Tuesday, the same day the movie theater chain disclosed that the
investment firm had bought $230.5 million of fresh shares to
bolster its finances, according to a person with knowledge of the
matter.
Mudrick no longer holds any AMC shares and sold at a profit, the
person said, asking not to be identified discussing a private
matter. The firm disposed of its stake after concluding that
AMC’s stock is overvalued, propped up by a recent wave of
day-trader enthusiasm, the person said.
About AMC Entertainment Holdings
AMC Entertainment Holdings, Inc., is engaged in the theatrical
exhibition business. It operates through theatrical exhibition
operations segment. It licenses first-run motion pictures from
distributors owned by film production companies and from
independent distributors. The Company also offers a range of food
and beverage items, which include popcorn; soft drinks; candy; hot
dogs; specialty drinks, including beers, wine and mixed drinks, and
made to order hot foods, including menu choices, such as curly
fries, chicken tenders and mozzarella sticks.
AMC operates over 900 theatres with 10,000 screens globally,
including over 661 theatres with 8,200 screens in the United States
and over 244 theatres with approximately 2,200 screens in Europe.
The Company's subsidiary also includes Carmike Cinemas, Inc.
AMC was forced to shutter its theaters when the Covid-19 pandemic
struck in March 2020. It has reopened its theaters but admissions
have been substantially low.
The world's biggest theater chain said in an October 2020 filing
that liquidity will be largely depleted by the end of 2020 or early
2021 if attendance doesn't pick up, and it's exploring actions that
include asset sales and joint ventures.
ANCHOR GENERAL: A.M. Best Affirms B(Fair) Finc'l. Strength Rating
-----------------------------------------------------------------
AM Best has revised the outlooks to positive from stable and
affirmed the Financial Strength Rating of B (Fair) and the
Long-Term Issuer Credit Ratings of "bb+" (Fair) of Anchor General
Insurance Company (Anchor General) (San Diego, CA) and Pacific Star
Insurance Company (Pacific Star) (Madison, WI), which is a
subsidiary of Anchor General.
The Credit Ratings (ratings) of Anchor General reflect its balance
sheet strength, which AM Best assesses as adequate, as well as
adequate operating performance, limited business profile, and
appropriate enterprise risk management (ERM). The ratings of
Pacific Star reflect its balance sheet strength, which AM Best
assesses as very strong, as well as adequate operating performance,
limited business profile, appropriate ERM, and rating drag due to
its direct ownership by Anchor General.
The revision of Anchor General's outlook to positive is based on
its increased balance sheet strength in recent years, driven by
improved operating performance, policyholders' surplus growth,
improving loss reserving trends and reduced premium volume over a
five-year period. The revision of Pacific Star's outlooks to
positive is based on reduced rating drag from its parent, Anchor
General.
The management of Anchor General and Pacific Star has implemented
numerous corrective measures and strategies in recent years, which
included significant rate increases, agency management and risk
mitigation initiatives. The impact of these changes has materially
improved Anchor General and Pacific Star's underwriting results,
operating earnings, surplus position, along with underwriting
leverage and risk-adjusted capitalization. These positive rating
factors are partially offset by Anchor General and Pacific Star's
limited business profiles, primarily due to geographic and product
concentration as predominantly California private passenger
non-standard auto writers, which exposes both companies to market,
regulatory, legislative, and judicial risks.
AVADIM HEALTH: Case Summary & 35 Largest Unsecured Creditors
------------------------------------------------------------
Five affiliates that concurrently filed voluntary petitions for
relief under Chapter 11 of the Bankruptcy Code:
Debtor Case No.
------ --------
Avadim Health, Inc. (Lead Case) 21-10883
f/k/a Avadim Technologies, Inc.
f/k/a Avadim LLC
d/b/a Theraworx
81 Thompson Street
Asheville, NC 28803
Avadim Health IP, Inc. 21-10884
Bionome Properties, Inc. 21-10885
Relion Manufacturing, Inc. 21-10887
Quality Assurance Associates, Inc. 21-10886
Business Description: Avadim Health is a vertically integrated
healthcare and wellness company that sells
topical products that improve neuromuscular
health and skin barrier health, and are a
key element of hospital infection prevention
bundles.
Chapter 11 Petition Date: May 31, 2021
Court: United States Bankruptcy Court
District of Delaware
Judge: Hon. Craig T. Goldblatt
Debtor's Counsel: Laura Davis Jones, Esq.
David M. Bertenthal, Esq.
Timothy P. Cairns, Esq.
PACHULSKI STANG ZIEHL & JONES LLP
919 North Market Street
17th Floor
Wilmington, DE 19801
Tel: 302-652-4100
Fax: 302-652-4400
Email: ljones@pszjlaw.com
dbertenthal@pszjlaw.com
tcairns@pszjlaw.com
Debtors'
Co-Bankruptcy
Counsel: Larry G. Halperin, Esq.
Joon P. Hong, Esq.
CHAPMAN AND CUTLER LLP
1270 Avenue of the Americas
New York, New York 10020
Tel: 212-655-6000
Fax: 212-697-7210
Email: halperin@chapman.com
joonhong@chapman.com
Debtors'
Restructuring
Advisor: CARL MARKS ADVISORS
Debtors'
Investment
Banker: SSG CAPITAL ADVISORS, LLC
Debtors'
Claims &
Noticing
Agent: OMNI AGENT SOLUTIONS
Estimated Assets: $10 million to $50 million
Estimated Liabilities: $100 million to $500 million
The petition was signed by Keith Daniels, chief restructuring
officer.
A full-text copy of Avadim Health's petition is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/X4OCSMQ/Avadim_Health_Inc__debke-21-10883__0001.0.pdf?mcid=tGE4TAMA
Consolidated List of Debtors' 35 Largest Unsecured Creditors:
Entity Nature of Claim Claim Amount
------ --------------- ------------
1. HE Note $5,290,476
915 Windmill Parkway
Evans, GA 30809
Randy Harod
Tel: 706-228-5165
Email: rush@hesales.com
2. Cooley LLP Professional $1,293,175
101 California St. 5th Services
Floor, San Franciso, CA
94111-5800
Yuve-Claude Pierre
Tel: 212-479-6721
Email: ypierre@cooley.com
3. The Swanson Group Trade $1,280,837
1110 W Lake Cook Rd #372
Buffalo, IL 60089
Rich Swanson
Tel: 847-850-7783
Email: rswanson@tsg-us.net
4. Donnelley Financial, LLC Trade $534,918
PO Box 8422282
Boston, MA 02284-2282
Michael Evans
Tel: 817-810-1432
Email: michael.j.evans@dfinsolutions.com
5. QSD Inc. Trade $450,848
1993 Francis-Hughes
Laval, Quebec, Canada
H7S 2G2
Danny Ayoub
Tel: 514-907-8760
Email: dannyayoub@me.com
6. GRS, LLC Trade $200,000
100 N Sepulveda Blvd
Suite 1600, El Segundo
CA 90245
Boris Shimanovsky
Tel: 310-626-1362 Ext 6204
Email: bshimanovsky@grventures.com
7. Daansen USA, Inc. Trade $190,526
31 Elm St. Nashua, NH 03060
Accounts Receivable Department
Tel: 603-882-8897
Email: ken.kieken@daansenusa.com
8. WPT Nonwovens Corp Trade $161,800
850 South Main St.
Beaver Dam, KY 42320
Accounts Receivable Department
Tel: 270-274-7115
Email: ar@wptnonwovens.com
9. Regenisis Inc. Trade $154,500
PO Box 1351
Lakeport, CA 95453
Accounts Receivable
Department
Tel: 877-766-4490
10. Berlin Packaging, LLC Trade $139,851
P.O. Box 74007164
Chicago, IL 60674-7164
Accounts Receivable Department
Tel: 704-612-4500
11. Hyman, Phelps & McNamara Professional $124,884
700 Thirteenth Street Services
N.W. Suite 1200
Washington D.C. 20005
Accounts Receivable
Department
Tel: 202-737-5600
Email: bdonato@hpm.com
12. Integrated Strategy Trade $80,000
Group, LLC
16 W. Washington Street
Lexington, VA 24450
Accounts Receivable Department
Tel: 239-405-5987
13. Drew Pinksy, Inc. Trade $76,198
Dr. Drew Pinsky
Tel: 310-231-0800
Email: syounger@mymangreespan.com
14. Amazon Advertising LLC Trade $71,641
P.O. Box 24651
Seattle, WA 98124-0651
Accounts Receivable Department
Email: advertising-receivables@amazon.com
15. Doximity Inc. Trade $70,000
Dept CH1919,
Palatine 60055-9291
Nick Lumley
Tel: 84-946-7951
Email: ar@doximity.com
16. University of South Trade $69,069
Carolina Contract
1600 Hampton Street
Room 612,
Columbia, SC 29208
Accounts Receivable Department
Tel: 803-777-8749
Email: bonifacio@mailbox.sc.edu
17. University of Pittsburgh Trade $67,500
Attn: 371220
Pittsburgh, PA 15262-0001
D. Kramer
Tel: 412-624-6040
Email: dkramer@cfo.pitt.edu
18. Catalina Marketing Corporation Trade $65,151
P.O. Box 620000
Orlando, FL 32891-8484
Accounts Receivable Department
Tel: 727-579-5389
Email: daron.cornell@catalina.com
19. Venture Trade $62,500
159 Bank St.
Suite 202
Burlington, VT 05401
Accounts Receivable Deparment
Tel: 844-780-6797
Email: hello@venture.com
20. SEKO Worldwide, LLC Trade $61,555
PO Box 71141
Chicago, IL 1141
Accounts Receivable Department
Tel: 847-238-1900
Email: cltintl@sekologistics.com
21. MMS, A Medical Supply Company Trade $56,772
13400 Lakefront Dr.
Earth City, MO 63045
Dan Rieman | Executive
VP - Procurement & Compliance
Concordance Healthcare Solutions
Tel: 314-593-2593
Email: drieman@concordancehs.com
22. Steris Isomedix Services Trade $51,212
PO Box 676548
Dallas, TX 75267
Karen Winkler
Tel: 864-582-3041
Email: Karen_Winkeler@steris.com
23. ICR, LLC Trade $40,830
761 Main Ave
Norwalk, CT 06851
Accounts Receivable Department
Tel: 203-682-8200
Email: accounts.receivable@icrinc.com
24. Cardinal Health Trade $40,396
Cardinal Health 105, Inc.
Dallas, TX 753798709
Alysia Jones
Tel: 615-287-5387
Email: alysia.jones@cardinalhealth.com
25. Technology Trade $38,925
Commercialization, LLC
8801 Fast Park Dr. Ste 205
Raleigh, NC 27617
Jim Woodward
Email: jim.woodwardf@tcgmedtech.com
26. Progress Container & Display Trade $34,270
653 Patrick Mill Rd. SW
Winder, GA 30680
K. McEnaney
Tel: 678-425-2200
Email: kmcenaney@progresscontainer.com
27. Sterigenics Trade $34,031
37244 Eagle Way
Chicago, IL 60678-1372
N. Lema
Tel: 828-274-7996
Email: NLema@sterigenics.com
28. Precision Label Trade $31,476
PO Box 5186
Hendersonville, SC
28793-5186
Gina
Tel: 828-692-7717
Email: gina@precisionlabelinc.com
29. Williams & Connolly LLP Professional $29,494
725 Twelfth St. N.W. Services
Washington, DC 20005-5901
Accounts Receivable
Tel: 202-434-5000
Email: accountsreceivable@wc.com
30. Manpower Trade $28,576
21271 Network Place
Chicago, IL 60673-1212
Accounts Receivable
Tel: 866-906-6687
Email: ar.question@manpowergroup.com
31. Aiton Anderson Trade $26,893
Architecture
117 Cherry Street
Black Mountain, NC 28711
B. Norman
Tel: 828-989-5154
Email: bnormal@soterahealth.com
32. Fed Ex Trade $25,874
PO Box 371461
Pittsbugh, PA 15250-7461
Accounts Receivable
Tel: 800-622-1147
33. Eric Paul Crispell Trade $24,810
Tel: 615-788-4528
Email: ecrisspell@gmail.com
34. Holland & Hart Professional $24,593
PO Box 17283 Services
Denver, CO 80217-0283
Tel: 303-295-8000
Email: rlachten@hollandhart.com
35. Skillsoft Corporation Trade $21,677
300 Innovative Way
Nashua, NH 03062
Tel: 603-821-3790
Email: receivables@skillsoft.com
AZZIL GRANITE: July 15 Plan Confirmation Hearing Set
----------------------------------------------------
On March 2, 2021, Azzil Granite Materials, LLC, filed with the
U.S. Bankruptcy Court for the District of New Jersey a disclosure
statement referring to a plan.
On May 27, 2021, Judge Michael B. Kaplan approved the disclosure
statement and ordered that:
* July 15, 2021, at 11:00 a.m. is fixed as the date and time
for the hearing on confirmation of the plan.
* Written acceptances, rejections or objections to the plan
shall be filed not less than 7 days before the hearing on
confirmation of the plan.
A full-text copy of the order dated May 27, 2021, is available at
https://bit.ly/3wS1SP6 from PacerMonitor.com at no charge.
Counsel to the Debtors:
DANIEL M. STOLZ, ESQ.
GENOVA BURNS LLC
110 Allen Road, Suite 304
Basking Ridge, NJ 07920
Tel: (973) 467-2700
Fax: (973) 467-8126
About the Debtors
Azzil Granite Materials is a supplier of high friction granite
aggregates for the New York City and Long Island market. Magnolia
Associates owns a 134-acre property with quarry located in White
Hall, N.Y., which is valued by the company at $15 million.
Based in Hackettstown, N.J., Lizza Equipment Leasing, LLC and its
affiliates, Azzil Granite Materials LLC and Magnolia Associates
LLC, sought Chapter 11 protection (Bankr. D.N.J. Lead Case No.
19-21763) on June 12, 2019. In the petitions signed by Carl J.
Lizza, co-managing member, Lizza Equipment Leasing disclosed $90 in
assets and liabilities of $987,830; Azzil Granite Materials
disclosed total assets of $813,825 and total liabilities of
$23,859,263; and Magnolia Associates disclosed total assets of
$15,317,480, and total liabilities of $13,137,533.
Judge Michael B. Kaplan oversees the cases.
Daniel M. Stolz, Esq., at Wasserman Jurista & Stolz, P.C., is the
Debtors' bankruptcy counsel.
Lizza Equipment won confirmation of its Liquidating Plan on Nov. 6,
2020.
BEAR COMMUNICATIONS: Seeks Cash Collateral Access
-------------------------------------------------
Bear Communications, LLC asks the U.S. Bankruptcy Court for the
District of Kansas for authority to use cash collateral and provide
adequate protection to entities that have of claim to have valid
and perfected security interests in the Debtor's cash collateral.
The Debtor asserts that Central Bank of the Midwest and the US
Small Business Administration could have perfected security
interests in the Debtor's cash collateral.
In addition, the Debtor believes that Advance Business Capital LLC,
Eagle Capital Corporation, and The Guarantee may claim an interest
in cash collateral, but the Debtor can find no evidence that such
claims were perfected.
As of the Petition Date, the Bank was owed approximately $5,668,886
by the Debtor. The Bank claims a lien in all assets owned by the
Debtor. Further, as of the Petition Date, the SBA claims it is owed
a secured debt of approximately $150,000. The SBA has a UCC filed
on all assets owned by the Debtor. The Bank's security interest
appears to be higher priority than the SBA's. Advance, Eagle and
Guarantee assert factoring claims, but, as the Debtor's counsel
understands the claims, not to the Debtor's accounts receivables.
There are no UCC filings in Kansas by Advance, Eagle or Guarantee.
To the Debtor's best knowledge, there are no other lien claimants
who assert rights in cash collateral.
As of the filing date, the Debtor claims the value of its assets
totals $19,366,888.61. The Debtor asserts the value of its
equipment is $801,186; the value of inventory is $408,980; and the
value of accounts receivable is $18,421,008. As of May 25, 2021,
the Debtor had these bank balances: Central Bank of the Midwest:
$347,396.10 and Bank of America: $83,110.71.
The Debtor requests to be authorized to use cash collateral in
accordance with the budget (provided the Debtor achieves Projected
Income and Total Costs within 20%, plus or minus, of the
projections) and the conditions set forth in the Motion during the
period commencing on the Petition Date through the date of any
hearing on any final order as set forth by the Court in such
amounts as set forth in the budget.
As adequate protection for the Bank's interest in cash collateral,
the Debtor proposes to pay the Bank a weekly payment in the amount
of $12,692 beginning June 4, 2021 and on Friday of each week
thereafter at the Bank's contractual, non‐default rate of
interest, which is presumed to be 11 % per annum. As adequate
protection for the SBA's interest in cash collateral, the Debtor
proposes to pay the SBA a weekly payment in the amount of $109
beginning June 4, 2021 and on Friday of each week thereafter at the
SBA's contractual, non‐default rate of interest, 3.75% per annum.
In addition, the Bank and the SBA will have and would be granted as
adequate protection for any post‐petition diminution in value of
its pre‐petition collateral (including, without limitation, cash
collateral), additional and replacement security interests and
liens, in the same priority as existed pre‐petition, in and upon
all of the pre‐petition collateral and all of the Debtor's now
owned and after acquired assets and rights. The Adequate Protection
Liens will be senior and prior to all other interests or liens
whatsoever in or on the collateral.
A copy of the Motion and the Debtor's budget is available at
https://bit.ly/3i5mpvq from PacerMonitor.com.
The Debtor projects income of $1,620,984 and total controllable
costs of $101,700 for the period from May 31 through June 27,
2021.
About Bear Communications, LLC
Bear Communications, LLC http://www.bearcommunications.net-- is a
communications contractor offering aerial construction, underground
construction, splicing, subscriber drop placement,
residential/commercial installations, residential/commercial
wiring, consulting, and testing services.
Bear Communications sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Kan. Case No. 21-10495) on May 28, 2021.
In the petition signed by Bryant Gray, VP of Legal and Risk, the
Debtor disclosed up to $50 million in assets and up to $100 million
in liabilities.
Judge Dale L. Somers oversees the case.
W. Thomas Gilman, Esq., at HINKLE LAW FIRM LLC is the Debtor's
counsel.
BLACKSTONE DEVELOPERS: May Use Cash Collateral Until June 21
------------------------------------------------------------
Judge Mark X. Mullin authorized Blackstone Developers, LLC to use
cash collateral on an interim basis until the final hearing on June
21, 2021 at 1:30 p.m. The cash collateral will be used to pay for
postpetition operating business expenses aggregating $9,258 for the
interim period.
The Court ruled that ALBP Reit, LLC, who holds an interest in the
Debtor's cash collateral, may receive replacement liens on the
Debtor's assets without the need of filing, recording or serving
any documents which may otherwise be required under federal or
state law.
The Court further ruled that:
* rents amounting to $30,156 that ABLP collected post-petition in
May 2021 shall be turned over to Debtor for use pursuant to the
cash collateral order;
* the Debtor may collect cash collateral in the form of rents
paid by tenants of the business location for the month of June 2021
and each month thereafter, as well as any uncollected rents for May
2021;
* cash collateral collected in excess of the amount required to
be paid for the operating expenses shall remain on deposit in
Debtor's DIP account until further Court order.
A copy of the Court order, and the list of operating expenses that
are allowed to be paid, is available for free at
https://bit.ly/2RYygAW from PacerMonitor.com.
The final hearing will be conducted via Webex.
ABLP Reit, LLC is represented by:
Matthew Giadrosich, Esq.
PADFIELD & STOUT, LLP
420 Throckmorton Street #1210
Fort Worth, TX 76102
Telephone: 817-888-1616
Facsimile: 817-888-1610
About Blackstone Developers
Red Oak, Texas-based Blackstone Developers, LLC is a single asset
real estate debtor (as defined in 11 U.S.C. Section 101(51B)).
Blackstone Developers sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. N.D. Texas Case No. 21-41055) on April 30,
2021. At the time of the filing, the Debtor disclosed total assets
of up to $50,000 and total liabilities of up to $10 million. Judge
Mark X. Mullin oversees the case. The Law Office of Marilyn D.
Garner is the Debtor's legal counsel.
BROWNIE'S MARINE: Inks Distributor Agreement With Bright Weights
----------------------------------------------------------------
Brownie's Marine Group, Inc. has entered into an exclusive
distributor agreement with Chrysalis Trading CC DBA Bright Weights
for the US and the Caribbean.
Robert Carmichael, Chairman of Brownie's Marine Group stated, "We
have been looking for the proper ballast systems that provides
flexibility and is more unique than the traditional source of lead
ballast available here in the US. Bright Weights provide us with
additional items to service the dive community that are
complementary to our Brownie's line of tankless diving equipment.
This exclusive distributorship will provide our customer base, as
well as new sources of distribution, an alternative to traditional
lead, that will allow the end user to customize weight, customize
weight placement and have a variety of colors to choose from. It
will also ease the inventory burden on the dive store owners, as it
provides a single weight SKU rather than the multiple weight SKU's
that are currently required. We are excited to bring this product
to market in the US and look forward to providing the consumer with
a Bright Weight alternative."
"Bright Weights have been on the technological leading edge of
weighting solutions for divers for more than 20 years. Innovation,
quality and value for money make our products stand out above the
rest. We are happy and confident to have partnered with Brownie's
Marine Group in introducing our outstanding, multiple award winning
products to the US market. They are an established "salt of the
earth" company and we look forward to gaining exponential market
share with their proactive approach. All divers need weights.
Accordingly, we believe that our products will open many doors for
Brownie's resulting in strong and sustainable growth for the
group." stated Jannie Wessels, CEO of Bright Weights.
Bright Weights will be available on Brownie's website
www.browniedive.com and other online marketplaces in coming weeks.
Additionally, the company will provide direct delivery to all south
Florida dive stores.
About Brownie's Marine
Headquartered in Pompano Beach, Florida, Brownie's Marine Group,
Inc., is the parent company to a family of innovative brands with a
unique concentration in the industrial, and recreational diving
industry. The Company, together with its subsidiaries, designs,
tests, manufactures, and distributes recreational hookah diving,
yacht-based scuba air compressors and nitrox generation systems,
and scuba and water safety products in the United States and
internationally. The Company has three subsidiaries: Trebor
Industries, Inc., founded in 1981, dba as "Brownie's Third Lung";
BLU3, Inc.; and Brownie's High-Pressure Services, Inc., dba LW
Americas. The Company is headquartered in Pompano Beach, Florida.
Brownie's Marine reported a net loss of $1.35 million for the year
ended Dec. 31, 2020, compared to a net loss of $1.42 million for
the year ended Dec. 31, 2019. As of March 31, 2021, the Company
had $2.28 million in total assets, $1.50 million in total
liabilities, and $776,105 in total stockholders' equity.
Boynton Beach, Florida-based Liggett & Webb, P.A., the Company's
auditor since 2018, issued a "going concern" qualification in its
report dated March 31, 2021, citing that the Company has
experienced net losses and has an accumulated deficit. These
factors raise substantial doubt about the Company's ability to
continue as a going concern.
CALIFORNIA-NEVADA METHODIST: Taps Hanson Bridgett as Legal Counsel
------------------------------------------------------------------
California-Nevada Methodist Homes received approval from the U.S.
Bankruptcy Court for the Northern District of California to hire
Hanson Bridgett, LLP as its legal counsel.
The firm's services include:
a. advising the Debtor of its rights, powers and duties under
the Bankruptcy Code;
b. preparing legal papers;
c. taking action to protect and preserve the Debtor's estate,
including the prosecution of actions on the Debtor's behalf, the
defense of actions commenced against the Debtor in its Chapter 11
case, the negotiation of disputes in which the Debtor is involved,
and the preparation of objections to claims filed against the
Debtor;
d. advising the Debtor with respect to any proposed Chapter 11
plan of reorganization and seeking approval of the plan and all
transactions contemplated therein;
e. assisting the Debtor with respect to the employment of
bankruptcy professionals; and
f. performing other legal services necessary to administer the
Debtor's case.
The hourly rates charged by the firm's attorneys and paralegal
designated to represent the Debtors are as follows:
Neal L. Wolf Partner $715 per hour
Pamela S. Kaufmann Partner $730 per hour
Anthony J. Dutra Senior Counsel $580 per hour
Peter Banyai Associate $430 per hour
Lori J. Moody Paralegal $340 per hour
Hanson received one lump-sum payment from the Debtor in the amount
of $650,000 to serve as a retainer and to cover fees and expenses
incurred.
Neal Wolf, Esq., a partner at Hanson Bridgett LLP, disclosed in a
court filing that his firm is a "disinterested person" within the
meaning of Section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Neal L. Wolf, Esq.
Anthony J. Dutra, Esq.
Hanson Bridgett LLP
425 Market Street, 26th Floor
San Francisco, CA 94105
Phone: (415) 777-3200
Fax: (415) 541-9366
Email: nwolf@hansonbridgett.com
adutra@hansonbridgett.com
About California-Nevada Methodist Homes
California-Nevada Methodist Homes -- http://www.cnmh.org/-- is a
California non-profit public benefit corporation that operates
nursing homes and long-term care facilities. It presently operates
two continuing care retirement communities, one known as Lake Park,
in Oakland Calif., and the other, known as Forest Hill, in Pacific
Grove, Calif.
On March 16, 2021, California-Nevada Methodist Homes filed a
Chapter 11 petition (Bankr. N.D. Calif. Case No. 21-40363). The
Debtor estimated assets of $10 million to $50 million and
liabilities of $50 million to $100 million.
The Hon. Charles Novack is the case judge.
The Debtor tapped Hanson Bridgett LLP, led by Neal L. Wolf, Esq.,
as legal counsel; and Silverman Consulting and B.C. Ziegler and
Company as financial advisors. Stretto LLC is the claims agent.
The U.S. Trustee for Region 17 appointed an official committee to
represent unsecured creditors in the Chapter 11 case of
California-Nevada Methodist Homes. Perkins Coie, LLP serves as the
committee's legal counsel.
CANTERA COURT: Wins Cash Access Thru June 30 Under Amended Order
----------------------------------------------------------------
Judge David R. Jones entered an amended interim order authorizing
Cantera Court Complex, Inc. to use cash collateral for the period
from April 30 through and including June 30, 2021.
The Court ruled that Falcon International is granted a replacement
on all postpetition income of the Debtor, including contract for
deed payments, rents and all accounts receivable acquired since the
Petition Date. Falcon is also ratified in its lien on the Debtor's
contract for deed payments, rents and all accounts receivable
perfected by Falcon prepetition.
The Court directed the Debtor to make periodic monthly payments to
Falcon of (i) $26,0132 on June 1, 2021, and (ii) on the first day
of each month thereafter, $29,205, as adequate protection payments.
The adequate protection payments will be applied to (x) payment of
interest only on the Debtor's Commercial Loan, secured by the
Debtor's office building in Laredo, Texas, and (y) payment of the
pre-default contractual principal and interest on the Debtor's
Residential Loan to Falcon.
The Falcon Adequate Protection Payments and tax and insurance
escrow will be reduced if, in the course of the Debtor's case, a
sale of property that is a prepetition collateral to the Loans is
approved by the Court and Falcon's lien is paid in full at the
closing of the said sale.
A copy of the amended order is available for free at
https://bit.ly/2Tnm7FU from PacerMonitor.com.
A final hearing on the cash collateral motion is set for June 30,
2021, at 9 a.m. by telephone and video conference. Objections are
due no later than two days before the hearing.
About Cantera Court Complex
Cantera Court Complex, Inc. is the owner and operator of Cantera
Court Complex, one of the premier multi-tenant retail centers in
Laredo, Texas. It also owns six residential properties doing
business as BMW Creative Homes that are under contracts for deed.
Cantera Court Complex sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. S.D. Texas Case No. 21-50044) on April
30, 2021. In the petition signed by Eric Lee Benavides, director,
the Debtor disclosed up to $10 million in both assets and
liabilities. Catherine S. Curtis, Esq., at Pulman, Cappuccio &
Pullen, LLP, is the Debtor's legal counsel.
Falcon International Bank, as lender, is represented by Richard E.
Haynes III, Esq., at Trevino Haynes, PLLC.
CARBONYX INC: Hasmukh Patel Says Plan Disclosures Insufficient
--------------------------------------------------------------
Hasmukh Patel objects to the Second Amended Disclosure Statement of
Frank Rango, Bhavna Patel, River Partners 2012-Cbx LLC, C6 Ardmore
Ventures, LLC, Ingo Wagner, And Harmir Realty Co. LP ("Hedge Fund
Proponents") for debtor Carbonyx, Inc.
Hasmukh Patel objects to the Disclosure Statement in that it fails
to provide sufficient information from which any creditor or
investor would be able to determine whether the Plan is feasible.
More particularly, Patel says the Disclosure Statement fails to
provide sufficient information as to feasibility and lacks a
detailed liquidation analysis.
Hasmukh Patel claims that Hedge Fund Proponents have failed to
provide an analysis of why the value related to these intangible
assets would be invalidated in a hypothetical Chapter 7 if the IP
is valuable and licensable to other participants in the steel and
iron making industries in the US and internationally. The
Disclosure Statement makes limited effort to value those assets and
provide the creditors with a clear liquidation analysis to
determine what is in their best interest.
Hasmukh Patel prays that the Disclosure Statement be denied until
such time as the Proponents provide the required and requested
information to the creditors and parties in interest, and for such
other relief in law or in equity to which he may be entitled.
A full-text copy of Hasmukh Patel's objection dated May 27, 2021,
is available at https://bit.ly/3z6PQn8 from PacerMonitor.com at no
charge.
Hasmukh Patel is represented by:
Shawn L. Desai, Managing Attorney
Desai Legal Services PLLC
6450 Maple Road
West Bloomfield, Michigan 48322
Cell: (810)-355-6134
Shawn@DesaiLegalServices.com
About Carbonyx Inc.
Plano, Texas-based Carbonyx, Inc., filed a Chapter 11 petition
(Bankr. E.D. Tex. Case No. 20-40494) on Feb. 18, 2020. In the
petition signed by Hasmukh Patel, authorized agent, the Debtor was
estimated to have up to $50,000 in assets and $10 million to $50
million in liabilities.
Judge Brenda T. Rhoades oversees the case. Eric A. Liepins, P.C.,
serves as the Debtor's bankruptcy counsel.
On Nov. 10, 2020, Linda Payne was appointed as Chapter 11 trustee
in the Debtor's case. The Trustee is represented by the Law
Offices of Bill F. Payne, PC.
CARBONYX INC: Objecting Creditors Say Plan Not Feasible
-------------------------------------------------------
Evan L. Shaw and Sunshine Recycling, Inc., creditors and parties
in-interest ("Objecting Creditors"), object to the Second Amended
Combined Chapter 11 Plan of Reorganization and Disclosure Statement
filed by Frank Rango, Bhavna Patel, River Partners 2012 CBX LLC, C6
Ardmore Ventures, LLC, Ingo Wagner, and Harmir Realty Co. LP for
debtor Carbonyx, Inc.
* The current plan is based on the marketing of intellectual
property of the Debtor that has no value. Therefore, the Plan is
not feasible and appears to be based on speculation.
* The Plan is a liquidating plan which is not in the best
interests of the creditors. There is insufficient disclosure or
evidence about the financial ability of the Plan Proponents to make
the required $1,650,000 cash contribution when due; or that this
cash contribution is sufficient to continue the business operations
of the Debtor and repay creditors.
* The Plan fails to indicate what return the Class 3 General
Unsecured Creditors will receive under the Plan. The Proponents'
Business Plan contains absolutely no financial information in the
form of projections, pro forma, projected earnings or cost basis.
* Probably most telling about the lack of feasibility of this
Plan, is that the Plan Proponents hope to rely on tax breaks from
the Biden Administration to fund the Plan.
* It is unclear how the Plan Proponents will obtain the votes
to confirm this Plan. Not all creditors have been listed or
accounted for in the Plan, as the claim of Van Shaw is a separate
Class of Creditor entitled to vote who is not being paid in full
and will not vote for the Plan Proponents' Plan.
A full-text copy of Objecting Creditors' objection dated May 27,
2021, is available at https://bit.ly/3g7iOdR from PacerMonitor.com
at no charge.
Attorneys for Evan L. Shaw And Sunshine Recycling:
Joyce W. Lindauer
Kerry S. Alleyne
Guy H. Holman
Joyce W. Lindauer Attorney, PLLC
1412 Main Street, Suite 500
Dallas, Texas 75202
Telephone: (972) 503-4033
Facsimile: (972) 503-4034
About Carbonyx Inc.
Plano, Texas-based Carbonyx, Inc., filed a Chapter 11 petition
(Bankr. E.D. Tex. Case No. 20-40494) on Feb. 18, 2020. In the
petition signed by Hasmukh Patel, authorized agent, the Debtor was
estimated to have up to $50,000 in assets and $10 million to $50
million in liabilities. Judge Brenda T. Rhoades oversees the case.
Eric A. Liepins, P.C., serves as the Debtor's bankruptcy counsel.
On Nov. 10, 2020, Linda Payne was appointed as Chapter 11 trustee
in the Debtor's case. The Trustee is represented by the Law
Offices of Bill F. Payne, PC.
CCS ONCOLOGY: Steals $100,000 From Retirement Funds, Says DOL
-------------------------------------------------------------
Law360 reports that the U.S. Department of Labor slapped a bankrupt
Buffalo, New York-area oncology firm with an Employee Retirement
Income Security Act suit Tuesday, June 1, 2021, accusing it of
stealing roughly $100,000 worth of employees' retirement money to
pay its debts.
The suit accuses Comprehensive Cancer Services Oncology PC of
pocketing at least three months' worth of employee contributions to
the company 401(k) plan, using the money to pay for the company's
"day-to-day operations, or to pay creditors" rather than sending
the money to the plan. Those contributions totaled at least
$101,061, the complaint said. Comprehensive Cancer Services
Oncology, which ran businesses called CCS Oncology.
About CCS Oncology
Comprehensive Cancer Services Oncology, P.C., doing business as CCS
Oncology, doing business as CCS Healthcare, along with its
affiliates, sought Chapter 11 protection (Bankr. W.D.N.Y. Lead Case
No. 18-10598) on April 2, 2018. In the petitions signed by Won Sam
Yi, president/CEO, CCS estimated at least $50,000 in assets and
$10
million to $50 million in liabilities.
CCS Oncology is a professional corporation operating a practice of
medical and radiological oncology treatment, with offices in
Orchard Park, Frankhauser, Niagra Falls, Kenmore, and Lockport.
CSS Medical PLLC is a provider of primary care and specialty
medicine services currently operating at Orchard Park, Delaware
Avenue, and Youngs.
CCS Oncology is the sole member of CCS Medical. CCS Equipment is
the owner of certain medical equipment used in the medical
practices and CCS Oncology is its sole member. CCS Billing was
intended to be developed into a separate billing entity for the
medical practices, but was never funded or operational. CCS Billing
has no assets and has had no activity other than showing a couple
of minimal historical accounting entries. WSEJ is the owner of
certain real property used by the medical practices. The Debtors
are headquartered in Orchard Park, New York.
Judge Michael J. Kaplan is the case judge. Arthur G. Baumeister,
Jr., Esq., of Baumeister Denz LLP, serves as the Debtors' counsel.
Mark Schlant has been named the Chapter 11 trustee. Joseph J.
Tomaino of Grassi Healthcare Advisors LLC has been appointed
patient care ombudsman.
CMC II: Committee Taps Porzio, Bromberg & Newman as Legal Counsel
-----------------------------------------------------------------
The official committee of unsecured creditors of CMC II, LLC and
its affiliates received approval from the U.S. Bankruptcy Court for
the District of Delaware to hire Porzio, Bromberg & Newman, P.C. as
its legal counsel.
The firm's services include:
a. advising the committee regarding its power and duties under
the Bankruptcy Code;
b. assisting the committee in its investigation of the acts,
conduct, assets, liabilities and financial condition of the
Debtors;
c. assisting the committee in connection with the Debtors'
proposed sale of their assets;
d. assisting the committee in connection with any proposed
Chapter 11 plan or other disposition of the Debtors' Chapter 11
cases;
e. assisting the committee in analyzing the claims of
creditors and the Debtors' capital structure and in negotiating
with holders of claims;
f. representing the committee in matters generally arising in
the cases of the Debtors, including their motion to obtain
debtor-in-possession financing;
g. reviewing legal documents, statements of operations and
bankruptcy schedules filed by the Debtors or third parties,
advising the committee as to their propriety, and, after
consultation with the committee, taking appropriate action;
h. preparing legal papers; and
i. representing the committee at court hearings and
communicating with the committee regarding the issues raised as
well as the decisions of the court.
The hourly rates charged by the firm's attorneys and paralegal who
are expected to represent the Debtors are as follows:
Robert M. Schechter Principal $735
William J. Hughes, Jr. Principal $690
Kelly D. Curtin Principal $690
Cheryl A. Santaniello Principal $690
Rachel A. Parisi Principal $690
David Sklar Associate $500
Christopher P. Mazza Associate $450
Maria P. Dermatis Paralegal $290
Neidy V. Fuentes Paralegal $270
Jessica M. O'Connor Paralegal $260
Robert Schechter, Esq., a principal at Porzio, disclosed in a court
filing that his firm is a "disinterested person" within the meaning
of Section 101(14) of the Bankruptcy Code.
In accordance with Appendix B-Guidelines for reviewing fee
applications filed by attorneys in larger Chapter 11 cases,
Schechter disclosed the following:
a. Porzio did not agree to a variation of its standard or
customary billing arrangements for this engagement.
b. None of the professionals included in this engagement have
varied their rate based upon the geographic location of the
Debtors' Chapter 11 cases.
c. The committee retained Porzio on March 19, 2021. The
billing rates for the period prior to April 15, 2021, are the same
as the rates currently charged by the firm; and
d. Porzio, in conjunction with the committee, is developing a
prospective budget and staffing plan to comply with the Office of
the U.S. Trustee Guidelines and any additional disclosures.
The firm can be reached through:
Robert M. Schechter, Esq.
Porzio, Bromberg & Newman, P.C.
600 Alexander Road, Suite 2-1
Princeton, NJ 08540-6011
Phone: 609.524.1838/609.924.8555
Fax: 609.924.3036
Email: rmschechter@pbnlaw.com
About CMC II LLC
CMC II, LLC, 207 Marshall Drive Operations, LLC and 803 Oak Street
Operations LLC are part of a group of Consulate Health care
corporate affiliates that manage and operate 140 skilled nursing
facilities.
CMC II provides management and support services to approximately
140 SNFs, each of which is operated by an affiliate under the
common ownership of non-debtor LaVie Care Centers, LLC, doing
business as Consulate Health Care. 207 Marshall operates Marshall
Health and Rehabilitation Center, a 120-bed SNF located in Perry,
Fla., while 803 Oak Street operates Governor's Creek Health and
Rehabilitation, a 120-bed SNF located in Green Cove Springs, Fla.
On March 1, 2021, CMC II, 207 Marshall, 803 Oak Street and three
inactive affiliates sought Chapter 11 protection (Bankr. D. Del.
Lead Case No. 21-10461). As of the bankruptcy filing, CMC II had
between $100 million and $500 million in both assets and
liabilities.
Judge John T. Dorsey oversees the cases.
The Debtors tapped Chipman Brown Cicero & Cole, LLP as legal
counsel and Alvarez & Marsal North America, LLC as restructuring
advisor. Configure Partners and McDonald Hopkins, LLC jointly act
as the Debtors' investment banker and litigation financing advisor,
respectively.
Stretto is the claims agent and administrative advisor.
The U.S. Trustee for Regions 3 and 9 appointed an official
committee of unsecured creditors in the Debtors' Chapter 11 cases.
The committee is represented by Porzio, Bromberg & Newman, P.C.
CORE & MAIN: Moody's Raises CFR to B2, Placed on Further Review
---------------------------------------------------------------
Moody's Investors Service upgraded the Core & Main LP's Corporate
Family Rating to B2 from B3, Probability of Default Rating to B2-PD
from B3-PD, senior secured term loan due 2024 to B1 from B2, and
senior unsecured notes to Caa1 from Caa2. Moody's also upgraded
Core & Main Holdings, LP's senior unsecured PIK toggle notes to
Caa1 from Caa2. All ratings have been placed on review for
upgrade.
The upgrade of the CFR to B2 considers Moody's expectation of
continued improvement in key credit metrics through 2022, including
leverage trending to 5.3x and interest coverage increasing to 2.8x
as a result of earnings improvement.
The following ratings were upgraded and placed on review for
upgrade:
Issuer: Core & Main Holdings, LP
Senior Unsecured PIK Toggle Notes, Upgraded to Caa1 (LGD6) from
Caa2 (LGD6); Placed Under Review for further Upgrade
Issuer: Core & Main LP
Probability of Default Rating, Upgraded to B2-PD from B3-PD;
Placed Under Review for further Upgrade
Corporate Family Rating, Upgraded to B2 from B3; Placed Under
Review for further Upgrade
Senior Secured Term Loan, Upgraded to B1 (LGD3) from B2 (LGD3);
Placed Under Review for further Upgrade
Senior Unsecured Notes, Upgraded to Caa1 (LGD5) from Caa2 (LGD5);
Placed Under Review for further Upgrade
Outlook Actions:
Issuer: Core & Main Holdings, LP
Outlook, Changed To Rating Under Review From Stable
Issuer: Core & Main LP
Outlook, Changed To Rating Under Review From Stable
RATINGS RATIONALE
Notwithstanding the rating review, the B2 Corporate Family Rating
reflects Core & Main's leading position as a national water
products distributor, diverse product offering and improving end
market fundamentals. In particular, Moody's expects strong topline
growth and margin expansion in 2021, due in part to robust demand
coupled with low supply of single-family homes. Furthermore, both
the municipal and non-residential construction segments are
experiencing a slow but steady recovery as delayed projects move
out of backlog. Finally, Core & Main's maintains good liquidity,
including ample availability on its ABL facility (currently
undrawn) and strong free cash generation. Moody's anticipates free
cash flow of approximately $100 million in the next year. These
factors are offset by the inherent cyclicality of Core & Main's end
markets and the company's exposure to commodity pricing,
specifically those used to produce PVC pipe and ductile iron pipe
products, which can create cash flow volatility.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The review for upgrade follows the announcement of Core & Main's
intended initial public offering (IPO), the net proceeds of which
would be used, in conjunction with the proceeds of an amended
senior secured term loan and cash on hand to redeem the senior
unsecured notes and senior unsecured PIK toggle notes. The rating
review will focus on the successful execution of the IPO as
outlined in the company's S-1 filing, as well as the ultimate
capital structure and expected financial policy of the company on a
go-forward basis. Moody's expects to conclude the review process
shortly after the completion of the proposed IPO and application of
net proceeds to reduce outstanding debt. The planned IPO also
increases the company's financial flexibility through access to
public equity markets, which is credit positive.
Moody's expects the CFR may be upgraded by up to two notches to Ba3
from B2 upon execution of the IPO. A key driver for the potential
upgrade of the CFR is the significant deleveraging event that is
expected to occur as a result of the IPO, resulting in adjusted
debt to EBITDA decreasing to 4x on a pro forma basis from 5.4x for
the twelve month period ended May 2, 2021.
The principal methodology used in these ratings was Distribution &
Supply Chain Services Industry published in June 2018.
Core & Main LP, headquartered in Saint Louis, Missouri, is a US
based distributor of water, sewage, drainage, storm water, and fire
protection products. Revenue for the twelve month period ended May
2, 2021 was $3.9 billion.
DARMA LLC: Seeks Approval to Hire Boyer Terry as Legal Counsel
--------------------------------------------------------------
Darma, LLC seeks approval from the U.S. Bankruptcy Court for the
Middle District of Georgia to hire Boyer Terry LLC as its counsel.
The firm will render these services:
a. provide legal advice with respect to the powers and
obligations of the Debtor in the continued operation of its
business and management of its property;
b. prepare legal papers;
c. continue existing litigation, if any, to which Debtor may
be a party and to conduct examinations incidental to the
administration of its estate;
d. take necessary actions for the proper preservation and
administration of the Debtor's estate;
e. assist in the preparation and filing of the Debtor's
statement of financial affairs and bankruptcy schedules;
f. take whatever actions are necessary with reference to the
use by the Debtor of its property pledged as collateral, including
cash collateral and to preserve the property for the benefit of the
Debtor and secured creditors;
g. prosecute claims asserted by the Debtor;
h. work with the Sub-Chapter V trustee to comply with all
provisions of the Bankruptcy Code and propose a consensual plan of
reorganization;
i. perform all other legal services for the Debtor.
The firm will charge $300 to $340 per hour for attorney's time and
$100 per hour for paralegal time.
Boyer Terry received a retainer in the amount of $18,500.
Christopher Terry, Esq., a partner at Boyer Terry, 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.
Wesley J. Boyer can be reached at:
Christopher W. Terry, Esq.
Boyer Terry, LLC
348 Cotton Avenue, Suite 200
Macon, Georgia 31201
Tel: (478) 742-6481
Fax: (770) 200-9320
Email: chris@boyerterry.com
About Darma LLC
Darma, LLC filed a Chapter 11 petition (Bankr. M.D. Ga. Case No.
21-10254) on May 3, 2021. In the petition signed by John D.
Hawkins, president, the Debtor estimated assets between $1 million
and $10 million, and liabilities between $500,000 and $1 million.
Boyer Terry LLC is the Debtor's legal counsel. Robert M. Matson is
appointed as the Debtor's Subchapter V trustee.
DEERFIELD DAKOTA: Moody's Affirms B3 CFR, Outlook Stable
--------------------------------------------------------
Moody's Investors Service affirmed Deerfield Dakota Holding LLC's
(dba "Kroll", aka "Duff & Phelps) B3 corporate family rating and
B3-PD Probability of Default Rating. Moody's also affirmed Kroll's
B2 senior secured first lien instrument rating and Caa2 senior
secured second lien rating. The outlook remains stable.
Affirmations:
Issuer: Deerfield Dakota Holding, LLC
Corporate Family Rating, Affirmed B3
Probability of Default Rating, Affirmed B3-PD
Senior Secured 1st Lien Bank Credit Facility, Affirmed B2 (LGD3)
Senior Secured 2nd Lien Bank Credit Facility, Affirmed Caa2
(LGD6)
Outlook Actions:
Issuer: Deerfield Dakota Holding, LLC
Outlook, Remains Stable
RATINGS RATIONALE
The ratings reflect Kroll's highly leveraged capital structure with
debt/EBITDA above 8.5x (Moody's adjusted, as of March 2021, pro
forma for recent debt issuances to finance M&A). Intense
competition, weak free cash flow to debt and the expectation for
aggressive financial policies and debt-funded M&A also weigh on the
credit. Kroll faces strong competition against large,
well-capitalized peers in the valuation, corporate finance, risk
advisory and other consulting services markets. The firm's appetite
for debt has resulted in periods of very high debt/EBITDA after
acquisitions, followed by deleveraging as a result of successful
integrations. A very active M&A pipeline has kept transaction and
integration costs high, reducing free cash flow. Moody's adjusted
FCF/debt has remained below 3% over the last 3 years. The company
completed 4 acquisitions in 2020 and recently announced the
acquisition of Redscan, a cyber security asset.
Kroll benefits from an established franchise as a provider of a
broad range of financial advisory, risk management, bankruptcy
solutions, valuation, governance and cyber services to a
diversified client base. Well-known brands, such as Duff & Phelps,
and an entrenched network of customer relationships provide revenue
stability. While the majority of client fees are not contractually
recurring, a large proportion of existing assignments require
periodic reviews, resulting in predictable contributions to
revenue. Over the years, Kroll has materially reduced its reliance
on cyclical corporate finance advisory fees through acquisitions.
The majority of revenue is now derived from non-cyclical or
counter-cyclical sources, which helped Kroll sustain a strong 9.7%
pro forma growth rate in 2020, despite the economic downturn caused
by COVID-19. Moody's expects the firm's revenue will continue to
diversify through M&A. Acquired business lines will benefit from
cross-selling opportunities across the company's client base.
The stable outlook reflects the expectation that revenue will grow
in the high single-digit percentage range over the next 12 months,
aided by inorganic contributions, with a pro forma organic rate in
the mid single-digit range. Strong growth in cyber security and
other non-cyclical/counter-cyclical segments, as the economy
recovers from the COVID-19 downturn, will be partially offset by an
expected slowdown in bankruptcy claims services. Leverage will
remain very high in 2021 given the expectation for ongoing
debt-funded transactions. The impact of leveraging acquisitions
will be partially offset by margin expansion and strong growth,
with long term leverage expected to decline towards 7.5x (Moody's
adjusted). Free cash flow is expected to remain constrained by high
transaction and integration costs in 2021, partially offset by
improving working capital dynamics, with Moody's adjusted FCF/debt
in the 2.0% - 4.0% range.
Kroll has good liquidity, supported by a $273 million cash balance
as of March 2021, a $200 million revolving facility (undrawn) and
expected FCF/debt in the 2.0% - 4.0% range. The revolver includes a
8x first-lien springing senior secured leverage covenant when 35%
or more of the revolver is drawn. The company is expected to remain
in compliance with the covenant.
The ratings for the individual debt instruments incorporate Kroll's
overall probability of default, reflected in the B3-PDR, and the
loss given default assessments for the individual instruments. The
first lien credit facilities, consisting of a $200 million revolver
expiring in 2025 and a $2.4 billion multicurrency term loan due
2027 are rated B2, one notch above the B3 CFR, with a loss given
default assessment of LGD3. The B2 first lien instrument rating
reflects the relative size and senior position ahead of the second
lien senior secured term loan. The $450 million second lien senior
secured term loan due 2028 is rated Caa2, two notches below the
CFR, with a loss given default assessment of LGD6. The Caa2 second
lien senior secured rating reflects its junior ranking as well as
its relative size within the capital structure.
A reduction in the proportion of second lien debt versus first lien
would diminish the loss absorption benefit provided by the second
lien term loan to the first lien instruments, which could result in
a downgrade of the B2 first lien instrument rating. The second lien
debt provides a loss cushion that would drive a higher recovery for
first lien debt holders in an event of default. A lower proportion
of second lien debt would flatten the capital structure and push
the first lien instrument rating towards the B3 corporate family
rating.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded if the company demonstrates a
commitment to more balanced financial policies, sustaining its debt
to EBITDA ratio below 6.0x and EBITDA less capex to interest ratio
above 2.0x, combined with good liquidity and free cash flow to debt
above 5% (all metrics Moody's adjusted). Increasing scale and
evidence of strong and sustainable organic revenue growth and
improving margins would benefit credit metrics and create upward
rating momentum.
The ratings could be downgraded if increased competition or other
factors result in declining revenue and lower profitability.
Aggressive financial policies or debt-financed acquisitions leading
to the expectation that debt to EBITDA will be sustained above 7.5x
without a path to deleveraging, EBITDA less capex to interest will
decline below 1.0x, or free cash flow to debt will become negative
(all metrics Moody's adjusted), or a material weakening in the
company's liquidity position, would also pressure the ratings.
Deerfield Dakota Holding, LLC is the holding company of Kroll (aka
Duff & Phelps), a global consulting and business services firm.
Kroll operates in five main business segments: valuation advisory;
governance, risk, investigations and disputes ("GRID"); cyber risk;
corporate finance; and business services. The company generated
approximately $1.3 billion of revenue in 2020. The company was
acquired in April 2020 by private equity sponsors Stone Point
Capital (majority owner) and Further Global. Former owner Permira
also maintained a minority stake.
The principal methodology used in these ratings was Business and
Consumer Service Industry published in October 2016.
DIAGNOSTIC RADIOLOGY: Case Summary & 6 Unsecured Creditors
----------------------------------------------------------
Debtor: Diagnostic Radiology Center of The Treasure Coast, Inc.
2011 S. 25th St.
Fort Pierce, FL 34947
Business Description: The Debtor provides a wide variety of
imaging services, with old-fashioned
personalized patient care combined with
advanced technology.
Chapter 11 Petition Date: June 1, 2021
Court: United States Bankruptcy Court
Southern District of Florida
Case No.: 21-15443
Judge: Hon. Erik P. Kimball
Debtor's Counsel: Robert C. Furr, Esq.
FURRCOHEN P.A.
2255 Glades Rd.
Suite 301E
Boca Raton, FL 33431
Tel: 561-395-0500
Total Assets: $1,627,813
Total Liabilities: $2,755,580
The petition was signed by HRAG, LLC c/o Ajay K. Goyal, manager.
A full-text copy of the petition containing, among other items, a
list of the Debtor's six unsecured creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/WKES3HI/Diagnostic_Radiology_Center_of__flsbke-21-15443__0001.0.pdf?mcid=tGE4TAMA
DIGILITI MONEY: Executives Will Pay $460,000 Over Securities Fraud
------------------------------------------------------------------
Law360 reports that two former executives of fintech company
Digiliti Money Group Inc. consented to a judgment Tuesday, June 1,
2021, in Minnesota federal court that will see them pay fines and
disgorgement of nearly $500,000 for their roles in a securities
fraud scheme.
In the judgments, former President and CEO Jeffrey C. Mack and
former Executive Vice President of Sales Lawrence C. Blaney agreed
to be permanently enjoined from violating various sections of the
Securities Exchange Act and to disgorge money they gained through
the $18 million securities fraud.
About Digiliti Money Group Inc.
Digiliti Money Group Inc. is a software company that provides
technology solutions and services to the financial services
industry.
DIOCESE OF ROCKVILLE: District Court to Hear Arrowood Coverage Row
------------------------------------------------------------------
District Judge Valerie Caproni of the U.S. District Court for the
Southern District of New York granted the request of Arrowood
Indemnity Company to withdraw the bankruptcy court reference
pursuant to 28 U.S.C. section 157(d) of the lawsuit initiated by
the Roman Catholic Diocese of Rockville Centre, New York.
The Diocese claims its bankruptcy petition was motivated by New
York state legislation that allows alleged victims of sexual abuse
to assert claims that had previously been barred by the statute of
limitations. On the same day that it filed for bankruptcy, the
Diocese commenced an adversary proceeding against various insurance
companies, including Arrowood, seeking a declaratory judgment
regarding the scope of its insurance coverage and damages for
breach of contract.
According to the Diocese, Royal Insurance Company, which is now
known as Arrowood, provided general liability coverage to the
Diocese and its members from the Diocese's founding in 1957 through
September 1, 1976. The Diocese alleges that the primary Arrowood
policies lacked an aggregate limit and, accordingly, are of
significant value to the Diocese.
The Diocese and Arrowood disagree about the scope of insurance
coverage provided by the Arrowood policies. The Diocese claims the
insurer has refused to indemnify the Diocese for liability on any
claims under the Child Victims Act enacted by New York state in
2019, and has not fully reimbursed the Diocese's defense costs, in
violation of Arrowood's obligations pursuant to the relevant
insurance policies. In contrast, Arrowood claims it has no
obligation to defend or indemnify certain claims, including,
although not limited to, claims that involve alleged abuse by
priests whose conduct was previously known to the Diocese.
In granting Arrowood's request, the District Court held that the
Diocese's claims against Arrowood are non-core because they do not
turn on bankruptcy laws, arose before the bankruptcy petition was
filed, and are independent of the bankruptcy proceedings.
Judge Caproni also held there is no indication Arrowood was engaged
in forum shopping when it moved to withdraw the bankruptcy
reference. Because the Bankruptcy Court cannot enter a final
judgment over these claims, this matter will end up before a
district court regardless of the outcome of this motion, she said.
Judge Caproni clarified that bankruptcy reference is withdrawn only
with respect to the Diocese's claims against Arrowood. The Court
has not withdrawn the reference with respect to any other parties
or claims, including those claims currently pending before Judge
Cronan. If any party or entity believes it should be included as a
party in this matter, it is welcome to file such a motion in
accordance with the Federal Rules of Civil Procedure.
A copy of the Court's May 17, 2021 Opinion and Order is available
at https://bit.ly/3g2xfjb from Leagle.com.
About The Roman Catholic
Diocese of Rockville Centre, New York
The Roman Catholic Diocese of Rockville Centre, New York, is the
seat of the Roman Catholic Church on Long Island. The Diocese has
been under the leadership of Bishop John O. Barres since February
2017. The State of New York established the Diocese as a religious
corporation in 1958. The Diocese is one of eight Catholic dioceses
in New York, including the Archdiocese of New York. The Diocese's
total Catholic population is approximately 1.4 million, roughly
half of Long Island's total population of 3.0 million. The Diocese
is the eighth largest diocese in the United States when measured by
the number of baptized Catholics.
The Roman Catholic Diocese of Rockville Centre, New York, filed a
Chapter 11 petition (Bankr. S.D.N.Y. Case No. 20-12345) on Sept.
30, 2020. The Diocese was estimated to have $100 million to $500
million in assets and liabilities as of the filing.
The Hon. Shelley C. Chapman is the case judge.
The Diocese tapped Jones Day as legal counsel, Alvarez & Marsal
North America, LLC, as restructuring advisor, and Sitrick and
Company, Inc., as communications consultant. Epiq Corporate
Restructuring, LLC, is the claims agent.
The U.S. Trustee for Region 2 appointed a committee to represent
unsecured creditors in the Chapter 11 case. The Committee retained
Pachulski Stang Ziehl & Jones LLP as its legal counsel.
DOHENY EQUITIES: U.S. Trustee Seeks Dismissal or Conversion
-----------------------------------------------------------
Peter C. Anderson, United States Trustee for Region 16, asks the
Bankruptcy Court to convert, dismiss, or appoint a Chapter 11
Trustee in, the Chapter 11 case of Doheny Equities LLC.
Based on his review of the record and evidence, the U.S. Trustee
suggests that dismissal of the Debtor's case appears to be in the
best interest of creditors, noting that the Debtor listed three
parcels of real property, with possible equity in each. The
Debtor, however, failed to provide the U.S. Trustee with any
evidence of insurance, cash flows, and the real property
questionnaires necessary to analyze the real estate. Without the
basic compliance, the U.S. Trustee said that the case should be
dismissed.
Nevertheless, if the case is converted to one under Chapter 7, the
U.S. Trustee asks the Court to enter an order requiring the
Debtor's counsel to file, within 30 days, a fee application under
Section 330 of the Bankruptcy Code. If the case is dismissed, the
U.S. Trustee asks the Court to enter an order prohibiting the
Debtor from filing another bankruptcy petition for a period of 180
days after the entry of the dismissal order.
In the alternative, the U.S. Trustee asks the Court to set dates
certain for the Debtor to file a disclosure statement and plan, to
obtain Court approval of the adequacy of information in the
disclosure statement, and to obtain Plan confirmation. The U.S.
Trustee also asks the Court to rule that the Debtor's case be
converted or dismissed without further hearing if the Debtor fails
to comply with any dates set by the Court.
A copy of the motion is available for free at
https://bit.ly/3uKHDlc from PacerMonitor.com.
The Court will consider the motion on June 29, 2021 at 10 a.m. at
the U.S. Bankruptcy Court for the District of California, Court
Room 1668, 255 E Temple St., Los Angeles, California.
About Doheny Equities LLC
Doheny Equities LLC, with principal place of business in 8484
Wilshire Blvd Ste 870, Beverly Hills, California, filed a petition
under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr.
C.D. Cal. Case No. 21-13836) on May 10, 2021.
In the petition signed by Youval Ziv, managing member, the Debtor
estimated assets between $10,000,001 and $50,000,000 and
liabilities between $100,001 and $500,000.
The Debtor is represented by LAW OFFICES OF MADAEN. The firm can
be reached through:
Bahrma Madaen, Esq.
LAW OFFICES OF MADAEN
16787 Beach Blvd., No. 777
Huntington Beach, CA 92647
Telephone: 818-908-2618
Email: ssiroos@hotmail.com
EAGLE HOSPITALITY: Court Rules Foreign Units Can Stay in Chapter 11
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Law360 reports that a Delaware bankruptcy judge on Tuesday denied
Bank of America's bid to dismiss the Chapter 11 cases of Eagle
Hospitality's Singapore real estate investment trust, finding it
was eligible to file for bankruptcy under Singapore law. In his
opinion, U.S. Bankruptcy Judge Christopher Sontchi said EHT's
expert witness had persuaded him that the Singapore trust was an
entity capable of filing for bankruptcy and that the Singapore
courts had granted the REIT trustee the authority to do so.
About Eagle Hospitality Group
Eagle Hospitality Trust -- https://eagleht.com/ -- is a hospitality
stapled group comprising Eagle Hospitality Real Estate Investment
Trust ("Eagle H-REIT") 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 and/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, Inc., estimated $500 million to $1 billion in assets and
liabilities as of the bankruptcy filing.
The Debtors tapped Paul Hastings LLP as bankruptcy counsel; FTI
Consulting, Inc., as restructuring advisor; and Moelis & Company
LLC, as investment banker. Cole Schotz P.C. is the Delaware
counsel. Rajah & Tann Singapore LLP is Singapore Law counsel, and
Walkers is Cayman Law counsel. Donlin, Recano & Company Inc. is the
claims agent.
FAIRBANKS CO: District Court Hearing on Plan Injunction Sought
--------------------------------------------------------------
Bankruptcy Judge Paul W. Bonapfel entered an order requesting the
U.S. District Court for the Northern District of Georgia to
establish a miscellaneous proceeding to consider confirmation of
the bankruptcy-exit plan of The Fairbanks Company.
Judge Bonapfel said it is necessary that a District Judge issue an
order confirming the Plan for the channeling injunction provision
to be valid and effective.
On April 29, 2019, the Debtor, the Committee of Asbestos Claimants
and James L. Patton, Jr., as a legal representative for the purpose
of protecting the rights of persons that might subsequently assert
asbestos claims, jointly filed the First Amended Plan of
Reorganization. In general, the Plan provides for these terms:
1. The creation of the Fairbanks Personal Injury Trust;
2. The Asbestos Trust will receive these assets:
a. Initial cash funding from settlements with the
Insurers, provided that a final Bankruptcy Court order
approves the settlements, as follows:
i. From Liberty Mutual, $46,658,500, less certain
adjustments that may be required under the
settlement agreement;
ii. From National Union, $475,000; and
iii. From Travelers, $714,639.
b. 100% of the newly issued equity interests of the
reorganized Debtor, which will be liquidated after
confirmation;
c. Any cash remaining in the Administrative Fund
established pursuant to the settlement with Liberty
Mutual after satisfaction of liabilities for which it
was established (generally, administrative expenses
in the chapter 11 case);
d. All rights and claims of Liberty Mutual against
certain Asbestos Insurance Entities arising from
Asbestos Claims; and
e. Rights against non-settling insurance companies.
3. The Asbestos Trust will assume liability for Asbestos
Claims and use its assets to resolve the Asbestos
Claims and to compensate eligible claimants.
4. An injunction will be issued under 11 U.S.C. section
524(g) that will prohibit demands for Asbestos Claims
against the Debtor and the Reorganized Debtor, as well
as other Asbestos Protected Parties,1 based on any
purported liability arising from their ownership of or
relation to the Debtor or based on actual or alleged
liability with respect to Asbestos Claims related to or
arising from the conduct or products of the Debtor that
purportedly caused asbestos-related personal injury or
wrongful death, including any claim based upon a theory
of veil piercing, alter ego, successor liability,
fraudulent conveyance, or conspiracy. This type of
injunction is commonly referred to as a "channeling
injunction."
The effect of "channeling" Asbestos Claims to the
Asbestos Trust is that they may be pursued through, and
paid from, only the Asbestos Trust, in accordance with
the Asbestos Trust Distribution Procedures. After
Asbestos Claims are "channeled" to the Asbestos Trust,
they may not be asserted against any of the Asbestos
Protected Parties.
The Court on May 4, 2021, entered an Order approving the Disclosure
Statement and scheduling a hearing on confirmation of the Plan for
10 a.m. on July 8, 2021, in Courtroom 1401, U.S. Courthouse, 75 Ted
Turner Drive, Atlanta, Georgia. The Order scheduled for the same
time the hearing to consider approval of the settlements with
Liberty Mutual, National Union, and Travelers.
A copy of the Bankruptcy Court's May 19, 2021 Order is available at
https://bit.ly/3ccES5M from Leagle.com.
About The Fairbanks Company
Incorporated in 1891, The Fairbanks Company --
http://www.fairbankscasters.com/-- is a Georgia corporation that
manufactures customized material handling equipment in its more
than 200,000-square-foot manufacturing and warehousing facility
located in Rome, Georgia. It previously manufactured, sold or
distributed a line of bronze and iron valves that contained
asbestos packing.
The Fairbanks Company sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. N.D. Ga. Case No. 18-41768) on July 31,
2018. In the petition signed by CEO Robert P. Lahre, the Debtor
estimated assets of $1 million to $10 million and liabilities of
$100,000 to $500,000.
Judge Paul W. Bonapfel oversees the case.
The Debtor tapped Reed Smith LLP as its bankruptcy counsel, and
Ogier, Rothschild & Rosenfeld, PC, as its local counsel. Cohen &
Grigsby, P.C., is the insurance coverage counsel.
On Oct. 11, 2018, the U.S. Trustee for Region 21 appointed a
committee, which is comprised of creditors who hold unsecured
claims against the Debtor for personal injury or wrongful death
resulting from exposure to asbestos or asbestos-containing
products. The committee tapped Caplin & Drysdale, Chartered as its
legal counsel, and Jones & Walden, LLC as its local counsel.
On April 17, 2019, the court appointed James L. Patton Jr. as legal
representative for persons who may in the future assert an
asbestos-related personal injury claim against the Debtor. Young
Conaway Stargatt & Taylor, LLP and Scroggins & Williamson, P.C.,
serve as counsel to the Future Claimants' Representative.
Dentons US LLP serves as counsel to Liberty Mutual Insurance
Company. Broooks & Warner and David Christian Attorneys, LLC,
advise National Union Fire Ins. Co. Faegre Drinker Biddle & Reath
LLP and Lewis Brisbois Bisgaard & Smith LLP represent The Travelers
Indemnity Company.
FANNIE MAE: President Gets Additional Role as Interim CFO
---------------------------------------------------------
Fannie Mae (formally, the Federal National Mortgage Association)
appointed the company's President, David C. Benson, as its interim
chief financial officer, effective May 29, 2021. Mr. Benson will
serve as both the company's president and its interim chief
financial officer while the company conducts a search for a
permanent chief financial officer.
Mr. Benson, age 61, has been president since August 2018. Mr.
Benson previously served as executive vice president and chief
financial officer from 2013 to August 2018, as executive vice
president-Capital Markets, Securitization & Corporate Strategy from
2012 to 2013 and as executive vice president-Capital Markets from
2009 to 2012. He also served as treasurer from 2010 to 2012. Mr.
Benson previously served as Fannie Mae's executive vice
president-Capital Markets and Treasury from 2008 to 2009, as Fannie
Mae's senior vice president and treasurer from 2006 to 2008, and as
Fannie Mae's vice president and assistant treasurer from 2002 to
2006. Prior to joining Fannie Mae, Mr. Benson was managing director
in the fixed income division of Merrill Lynch & Co. From 1988
through 2002, he served in several capacities at Merrill Lynch in
the areas of risk management, trading, debt syndication and
e-commerce based in New York and London.
About Fannie Mae and Freddie Mac
Federal National Mortgage Association (OTCQB: FNMA), commonly known
as Fannie Mae, is a government-sponsored enterprise (GSE) that was
chartered by U.S. Congress in 1938 to support liquidity, stability
and affordability in the secondary mortgage market, where existing
mortgage-related assets are purchased and sold. Fannie Mae helps
make the 30-year fixed-rate mortgage and affordable rental housing
possible for millions of Americans. The Company partners with
lenders to create housing opportunities for families across the
country.
Visit -- http://www.FannieMae.com
Fannie Mae has been under conservatorship, with the Federal Housing
Finance Agency ("FHFA") acting as conservator, since Sept. 6, 2008.
As conservator, FHFA succeeded to all rights, titles, powers and
privileges of the company, and of any shareholder, officer or
director of the company with respect to the company and its assets.
The conservator has since provided for the exercise of certain
authorities by the Company's Board of Directors. The Company's
directors do not have any fiduciary duties to any person or entity
except to the conservator and, accordingly, are not obligated to
consider the interests of the company, the holders of the Company's
equity or debt securities, or the holders of Fannie Mae MBS unless
specifically directed to do so by the conservator.
A brother organization of Fannie Mae is the Federal Home Loan
Mortgage Corporation (FHLMC), better known as Freddie Mac Freddie
Mac (OTCBB: FMCC) -- http://www.FreddieMac.com-- was established
by Congress in 1970 to provide liquidity, stability and
affordability to the nation's residential mortgage markets.
Freddie Mac supports communities across the nation by providing
mortgage capital to lenders.
As of March 31, 2021, the Company had $4.07 trillion in total
assets, $4.04 trillion in total liabilities, and $30.23 billion in
total stockholders' equity.
FOSSIL GROUP: All Three Proposals Passed at Annual Meeting
----------------------------------------------------------
Fossil Group, Inc. held its 2021 Annual Meeting of Stockholders at
which the stockholders:
(i) elected Mark R. Belgya, William B. Chiasson, Kim H. Jones,
Kosta N. Kartsotis, Kevin Mansell, Diane L. Neal, Marc R.
Y.
Rey, and Gail B. Tifford as directors to serve for a term
of
one year or until their respective successors are elected
and
qualified;
(ii) approved, on an advisory basis, the compensation of the
Company's executive officers; and
(iii) ratified the appointment of Deloitte and Touche LLP as the
Company's independent registered public accounting firm for
the fiscal year ending Jan. 1, 2022.
About Fossil Group
Headquartered in Richardson, Texas, Fossil Group, Inc. --
www.fossilgroup.com -- is a global design, marketing and
distribution company that specializes in consumer fashion
accessories. The Company's principal offerings include an
extensive line of men's and women's fashion watches and jewelry,
handbags, small leather goods, belts, and sunglasses. In the watch
and jewelry product categories, the Company have a diverse
portfolio of globally recognized owned and licensed brand names
under which its products are marketed.
Fossil Group reported a net loss of $95.94 million in 2020, a net
loss of $50.01 million in 2019, and a net loss of $938,000 in 2018.
As of April 3, 2021, the Company had $1.35 billion in total assets,
$507.23 million in total current liabilities, $433.06 million in
total long-term liabilities, and $408.82 million in total
stockholders' equity.
FR BR HOLDINGS: Moody's Alters Outlook on B3 CFR to Stable
----------------------------------------------------------
Moody's Investors Service changed FR BR Holdings, L.L.C.'s rating
outlook to stable from negative, and simultaneously affirmed the
company's B3 Corporate Family Rating, B3-PD Probability of Default
Rating, and B3 senior secured term loan rating.
"The stable outlook reflects the improved business conditions of
Blue Racer Midstream LLC (Blue Racer or BRM, B1 stable) and its
customers, more supportive natural gas and NGLs fundamentals, and
increased availability of capital for energy companies more
broadly," said Sajjad Alam, Moody's Senior Analyst.
Affirmations:
Issuer: FR BR Holdings, L.L.C.
Probability of Default Rating, Affirmed B3-PD
Corporate Family Rating, Affirmed B3
Senior Secured Term Loan, Affirmed B3 (LGD4)
Outlook Actions:
Issuer: FR BR Holdings, L.L.C.
Outlook, Changed To Stable From Negative
RATINGS RATIONALE
FR BR's B3 CFR reflects its high financial leverage, single asset
concentration in the Utica and Marcellus Shale plays, a
structurally subordinated position to Blue Racer's cash flow, joint
control and non-operatorship of BRM, and limited liquidity. FR BR's
standalone leverage will remain very high as long as BRM continues
to focus on its own debt reduction, leading to limited
distributions to FR BR for debt repayment at the holding company.
FR BR also has to address its December 2023 term loan maturity in a
timely manner to keep its credit profile supported.
FR BR's credit profile benefits from BRM's mostly fee-based
revenue, integrated midstream business model, steady operating
history since inception, and ability to generate a base level of
cash flow capable of fully servicing FR BR's debt and operating
costs. The structural supports in the credit agreement such as the
cash flow sweep, equity cure provision, and prohibition against the
issuance of preferred or subordinated debt at BRM reduce the risk
of default and limit the potential for additional layering of
priority claim debt at BRM. The rating also considers the
governance structure of BRM, including FR BR's equal Board
representation enabling its joint and equal control of the
decisions of BRM.
FR BR has adequate liquidity based on Moody's expectation that BRM
will continue to distribute just enough cash to cover FR BR's
roughly $40 million in annual interest expense, 1% scheduled debt
amortization and other fixed charges. FR BR has little liquidity
cushion given it had minimal cash at March 31, 2021 and no
revolving credit facility or a debt service reserve account. If
BRM's distributions are insufficient, FR BR's sponsor will need to
inject equity to fund operations. There is a 1.1x DSCR (debt
service coverage ratio) covenant in the term loan agreement, which
the company should be able to maintain based on its revised
distribution arrangement with BRM. While FR BR's term loan facility
does not mature until December 14, 2023, Moody's expects the
company will refinance its debt over the next 12- 18 months.
FR BR's senior secured term loan is rated B3, the same level as the
company's B3 CFR, because of the preponderance of a single class of
debt in the capital structure.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
FR BR's ratings are unlikely to be upgraded absent an increase in
Blue Racer's ratings. For an upgrade, FR BR's standalone leverage
has to decline substantially, debt maturity profile has to improve
and consolidated debt/EBITDA has to be sustainable below 6x. FR
BR's ratings could be downgraded if Blue Racer further limits
distributions leading to weak liquidity or if it appears FR BR will
have difficulties in refinancing its debt maturity in a timely
manner. A downgrade could also stem from a downgrade of Blue
Racer's ratings or further structural subordination of FR BR's
debt.
The principal methodology used in these ratings was Midstream
Energy published in December 2018.
FR BR is a Delaware incorporated limited liability company, which
owns a 50% equity interest in Blue Racer Midstream, LLC -- an
integrated and growing midstream company focused in the Utica and
Marcellus Shale plays in eastern Ohio and West Virginia.
FS ENERGY: Moody's Alters Outlook on Ba3 CFR to Stable
------------------------------------------------------
Moody's Investors Service has affirmed the Ba3 long-term corporate
family and senior secured debt ratings of FS Energy and Power Fund
(FSEP). Moody's has also revised FSEP's outlook to stable from
negative. The stable outlook reflects improvements in the company's
investment fair values and capitalization, which have been
supported by improved operating conditions in the energy sector,
driven by higher energy prices.
Affirmations:
Issuer: FS Energy and Power Fund
- Corporate Family Rating, Affirmed at Ba3
- Senior Secured Regular Bond/Debenture, Affirmed at Ba3
Outlook Actions:
Issuer: FS Energy and Power Fund
- Outlook, Changed to Stable from Negative
RATINGS RATIONALE
Moody's said that the ratings affirmation and outlook revision to
stable were based on the recent improvement in FSEP's financial
fundamentals, supported by improved operating conditions in the
energy sector, driven by higher energy prices. FSEP has benefited
from significant improvements in the fair value of its investments
and its Asset Coverage Ratio (ACR) cushion, as well as ongoing
stability in its liquidity position.
FSEP's investments were marked at 89% of cost as of March 31, 2021,
up significantly from a low 64% one year earlier, at the depths of
the coronavirus pandemic. The significant improvement in fair
values over the last year resulted in an increase in FSEP's ACR to
317% as of March 31, 2021, from 217%. FSEP must maintain a
regulatory minimum ACR of 200%, per its election, as permitted
under the Small Business Credit Availability Act, passed in 2018.
As a result, FSEP's capital buffer or ACR cushion, which is the
difference between its actual ACR and the minimum statutory asset
coverage requirement, expressed as a percentage of the minimum
required asset coverage, improved to 59% from 9%.
Despite these improvements, FSEP continues to be challenged by
weaker asset quality than many rated business development companies
(BDCs) and ongoing vulnerability to oil price volatility given its
energy concentration. FSEP is more exposed to oil price volatility
than other rated BDCs because it invests primarily in private US
energy and power companies, with significant exposure to
exploration and production (E&P) companies. Although FSEP has
reduced its exposure to E&P companies in recent years, E&P
investments still accounted for a meaningful 47% of FSEP's total
portfolio as of March 31, 2021.
The decline in oil prices in the first half of 2020, driven by an
acute oil demand dislocation caused by the coronavirus pandemic and
the lack of production cuts by the OPEC+ countries, severely
stressed the E&P sector, which lead to significant deterioration in
FSEP's asset quality. The company's percentage of nonaccrual
investments (at fair value) remained high at 13.7% as of March 31,
2021, although Moody's expects this ratio to decline over the next
12-18 months, given the company's progress in restructuring problem
credits.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
FSEP's ratings could be upgraded if the company significantly
improves its asset quality and profitability, enhances its funding
diversity and debt maturity laddering, and maintains a substantial
ACR cushion above its 200% minimum requirement.
FSEP's ratings could be downgraded if Moody's determines that the
company is likely to incur substantial realized or unrealized
losses that meaningfully reduce FSEP's ACR cushion, that would
increase the probability of a covenant breach under the company's
credit facilities. The ratings could also be downgraded if FSEP's
asset quality does not continue to improve or if its liquidity
position deteriorates significantly.
The principal methodology used in these ratings was Finance
Companies Methodology published in November 2019.
FTPO LLC: Case Summary & Unsecured Creditor
-------------------------------------------
Debtor: FTPO, LLC
1501 SE Lennard Rd
Port Saint Lucie, FL 34952
Business Description: FTPO, LLC is a Single Asset Real Estate
debtor (as defined in 11 U.S.C. Section
101(51B)).
Chapter 11 Petition Date: June 1, 2021
Court: United States Bankruptcy Court
Southern District of Florida
Case No.: 21-15445
Judge: Hon. Erik P. Kimball
Debtor's Counsel: Robert C. Furr, Esq.
FURRCOHEN P.A.
2255 Glades Rd.
Suite 301E
Boca Raton, FL 33431
Tel: 561-395-0500
Total Assets: $686,408
Total Liabilities: $3,192,633
The petition was signed by HRAG, LLC c/o Ajay K. Goyal, manager.
The Debtor listed First Citzens Bank & Trust Company as its sole
unsecured creditor holding a claim of $2.6 million.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/AKBSIRY/FTPO_LLC__flsbke-21-15445__0001.0.pdf?mcid=tGE4TAMA
GAIA INTERACTIVE: Seeks to Hire BPM LLP as Financial Advisor
------------------------------------------------------------
Gaia Interactive, Inc. seeks approval from the U.S. Bankruptcy
Court for the Northern District of California to hire BPM, LLP as
its financial advisor and accountant.
The Debtor requires an accountant to compile data for reporting and
provide additional services, including forecasting, budgeting and
modeling for its monthly operating reports and plan of
reorganization and in determining the value of its assets.
The firm will be paid at these rates:
Partner $560 - $720 per hour
Managing Director $530 - $560 per hour
Director $450 - $530 per hour
Senior Manager $390 - $450 per hour
Manager $365 - $445 per hour
Supervisor $265 - $360 per hour
Senior $230 - $250 per hour
Associate II $200 - $215 per hour
Associate I $170 - $180 per hour
Bookkeeper $135 - $150 per hour
BPM holds a $25,000 retainer.
Edward Webb, senior managing director at BPM, disclosed in a court
filing that his firm is "disinterested" as defined in Section
101(14) of the Bankruptcy Code.
The firm can be reached through:
Edward S. Webb
BPM LLP
10 Almaden Boulevard, Suite 1000
San Jose, CA 95113
About Gaia Interactive
Gaia Interactive, Inc. owns and operates online communities
platform in Santa Clara, Calif. It conducts business under the
names Gaia Online, Gaia Online LLC, Ravel Labs LLC and Unrave.
Gaia Interactive filed a Chapter 11 petition (Bankr. N.D. Calif.
Case No. 21-50660) on May 12, 2021) signed by James Cao, chief
executive officer. At the time of the filing, the Debtor had
$567,616 in total assets and $8,193,464 in total liabilities.
Judge Stephen L. Johnson oversees the case.
The Debtor tapped Binder & Malter, LLP as legal counsel and BPM,
LLP as financial advisor and accountant.
GUARDION HEALTH: Chief Financial Officer Won't Renew Contract
-------------------------------------------------------------
Andrew Schmidt, the chief financial officer of Guardion Health
Sciences, Inc., has decided not to renew his employment agreement
with the company.
Pursuant to the agreement dated July 20, 2020, Mr. Schmidt's
employment with the company as CFO will terminate on July 20, 2021,
unless terminated sooner in accordance with its terms. The company
is engaged in a search for his replacement.
About Guardion Health Sciences
Headquartered in San Diego, California, Guardion --
http://www.guardionhealth.com-- is a specialty health sciences
company that develops clinically supported nutrition, medical foods
and medical devices, with a focus in the ocular health marketplace.
Located in San Diego, California, the Company combines targeted
nutrition with innovative, evidence-based diagnostic technology.
Guardion Health reported a net loss of $8.57 million for the year
ended Dec. 31, 2020, compared to a net loss of $10.88 million for
the year ended Dec. 31, 2019. As of March 31, 2021, the Company
had $44.70 million in total assets, $1.21 million in total
liabilities, and $43.49 million in total stockholders' equity.
HEIGHTS HOSPITAL: Hits Chapter 11 Bankruptcy Protection
-------------------------------------------------------
Lauren Coleman-Lochner of Bloomberg News reports that Houston's
Heights Hospital filed for Chapter 11 bankruptcy Tuesday, June 1,
2021, listing assets of $100 million to $500 million and
liabilities of $10 to $50 million. The hospital closed suddenly
and locked out staff after unpaid rents, local news outlets
reported in January 2021.
About Heights Hospital
Heights Hospital is a hospital and healthcare company based in
Houston, Texas. Before shutting its doors, the hospital offered
several outpatient clinics and inpatient addiction recovery center
along with other standard services, according to its Web site.
Heights Hospital sought Chapter 11 protection (Bankr. S.D. Tex.
Case No. 21-31811) on June l 1, 2021. In the petition signed by
its manager Dr. Dharmesh Patel, Heights Hospital estimated assets
of between $100 million and $500 million and liabilities of between
$10 million and $50 million. Steven Douglas Shurn, of Hughes
Watters and Askanase, is the Debtor's counsel.
HOOKIN' C RANCH: Berkeley Research's Strong Named Ch.11 Trustee
---------------------------------------------------------------
Patrick S. Layng, United States Trustee for Region 19, appointed D.
Ray Strong as Subchapter V Trustee for Hookin' C Ranch Inc. on May
24, 2021.
Mr. Strong is managing director at global consulting firm Berkeley
Research Group LLC. He anticipates to be compensated at $375 per
hour for his services as Subchapter V Trustee.
Mr. Strong said he is a disinterested person within the meaning of
Section 101(14) of the Bankruptcy Code, with respect to the
Debtor.
A copy of the appointment notice is available for free at
https://bit.ly/3fGvkC2 from PacerMonitor.com.
About Hookin' C Ranch
Hookin' C Ranch Inc., with principal place of business at 7092 N
6000 W, Neola, Utah, filed a petition under Subchapter V of Chapter
11 (Bankr. D. Utah Case No. 21-22120) on May 17, 2020.
In the petition signed by Jessica Lee Clegg, president, the Debtor
estimated between $100,001 and $500,000 in assets and between
$500,001 and $1,000,000 in liabilities.
D. Ray Strong was named as the Debtor's Subchapter V Trustee by
U.S. Trustee for Region 19, Patrick S. Layng.
Judge R. Kimball Mosier presides over the case. STOKES LAW PLLC
represents the Debtor as counsel.
The firm can be reached through:
Theodore F. Stokes, Esq.
STOKES LAW PLLC
2072 North Main Suite 102
North Logan, UT 84341
Telephone: (435)213-4771
E-mail: ted@stokeslawpllc.com
HRAG LLC: Case Summary & 2 Unsecured Creditors
----------------------------------------------
Debtor: HRAG, LLC
f/d/b/a HRAG, INC.
1501 SE Lennard Road
Port Saint Lucie, FL 34952
Chapter 11 Petition Date: June 1, 2021
Court: United States Bankruptcy Court
Southern District of Florida
Case No.: 21-15446
Judge: Hon. Erik P. Kimball
Debtor's Counsel: Robert C. Furr, Esq.
FURRCOHEN P.A.
2255 Glades Rd.
Suite 301E
Boca Raton, FL 33431
Tel: 561-395-0500
Total Assets: $0
Total Liabilities: $2,603,100
The petition was signed by Ajay K. Goyal, manager.
A full-text copy of the petition containing, among other items, a
list of the Debtor's two unsecured creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/3WEFTAI/HRAG_LLC__flsbke-21-15446__0001.0.pdf?mcid=tGE4TAMA
INFINERA CORP: All Four Proposals Passed at Annual Meeting
----------------------------------------------------------
At the Annual Meeting of Stockholders of Infinera Corporation, the
Company's stockholders:
(a) elected Gregory P. Dougherty, David W. Heard, Paul J.
Milbury, and David F. Welch, Ph.D. as directors for three
-year terms expiring at the 2024 Annual Meeting of
Stockholders or until their respective successors have been
duly elected and qualified;
(b) approved an Amendment and Restatement of the Infinera
Corporation 2016 Plan to Increase the Number of Shares
Authorized for Issuance thereunder by 4,350,000;
(c) approved, on an advisory basis, the compensation of the
Company's named executive officers for fiscal year 2020, as
described in the Proxy Statement; and
(d) ratified the appointment of Ernst & Young LLP as the
Company's independent registered public accounting firm for
the fiscal year ending Dec. 25, 2021.
Christine Bucklin, Thomas J. Fallon, Marcel Gani, Sharon Holt,
Kambiz Y. Hooshmand, Amy H. Rice, George A. Riedel and Mark A.
Wegleitner will continue to serve as members of the Board until the
expiration of their respective terms or until their respective
successors have been duly elected and qualified.
About Infinera Corp.
Headquartered in Sunnyvale, Calif., Infinera Corp. --
www.infinera.com -- is a global supplier of innovative networking
solutions that enable carriers, cloud operators, governments, and
enterprises to scale network bandwidth, accelerate service
innovation, and automate network operations. The Infinera
end-to-end packet-optical portfolio delivers industry-leading
economics and performance in long-haul, submarine, data center
interconnect, and metro transport applications.
Infinera reported a net loss of $206.72 million for the year ended
Dec. 26, 2020, compared to a net loss of $386.62 million for the
year ended Dec. 28, 2019.
As of March 27, 2021, the Company had $1.57 billion in total
assets, $505.93 million in total current liabilities, $453.43
million in long-term debt, $1.96 million in long-term financing
obligations, $19.94 million in long-term accrued warranty, $28.96
million in long-term deferred revenue, $3.68 million in long-term
deferred tax liability, $72.91 million in long-term operating lease
liabilities, $86.79 million in other long-term liabilities, and
$393.35 milion in total stockholders' equity.
INTEGRATED AG: July 1 Disclosure Statement Hearing Set
------------------------------------------------------
Integrated AG XI, LLC filed with the Bankruptcy Court a Disclosure
Statement explaining its Chapter 11 Plan of Reorganization. On May
27, 2021, Judge Daniel P. Collins ordered that:
* July 1, 2021, at 1:30 p.m., via Zoom is the hearing to
consider approval of the Disclosure Statement.
* June 24, 2021, is fixed as the last day for filing and
serving written objections to the Disclosure Statement.
* June 1, 2021, is the deadline for filing proofs of claim.
A full-text copy of the order dated May 27, 2021, is available at
https://bit.ly/3yZ4YTc from PacerMonitor.com at no charge.
Counsel to Debtor:
Alan A. Meda, Esq.
Burch & Cracchiolo, P.A.
1850 N. Central Ave., Suite 1700
Phoenix, AZ 85004
Tel: 602.274.7611
Email: ameda@bcattorneys.com
About Integrated AG XI
Scottsdale, Ariz.-based Integrated AG XI, LLC, filed a Chapter 11
petition (Bankr. D. Ariz. Case No. 21-00414) on July 9, 2018. In
its petition, the Debtor disclosed $33,909,241 in assets and
$20,701,272 in liabilities. Bryan Hepler, an authorized
representative, signed the petition. Judge Daniel P. Collins
oversees the case. Burch & Cracchiolo, P.A., serves as the
Debtor's bankruptcy counsel.
INVESTVIEW INC: Invests Another $1 Million in NDAU
--------------------------------------------------
Investview, Inc. has extended its diversification to its blockchain
technology holdings with its follow-on investment of an additional
$1 million purchase of NDAU- the World's First Adaptive Digital
Currency -- a unique category of Proof-of-Stake digital asset
optimized for a long-term store of value with attractive staking
income.
NDAU is a decentralized digital asset, with a trusted ecosystem
where NDAU holders digitally self-govern and where NDAU has the
freedom to rise with increasing demand while mitigating downside
volatility.
"While we have made significant progress in our investment in NDAU
already, this decision to follow-on and further invest in NDAU is a
more concerted effort to accelerate our business growth at a
pivotal point for Investview, while supporting innovative
blockchain projects through long-term investment strategies. The
additional investment in NDAU will help further support the NDAU
decentralized finance (DeFi) technology project. We have an
experienced management team that focuses on different business and
investment strategies across our subsidiaries, and bringing
everyone together under a single entity, we continue to create a
more cohesive strategy and continue to invest in and support the
most innovative projects that are shaping the blockchain and DeFi
spaces," said Joe Cammarata, Investview CEO.
"We bought both Bitcoin and NDAU adding it to our treasury balance
sheet because we remain confident that both these crypto currencies
will provide our company more flexibility to further diversify and
maximize returns on our cash," said Mario Romano, Investview
Director of Finance.
Mario Romano added, "the price appreciation and less volatile
nature of NDAU over the past six months continue to be a great
complementary DeFi asset and hedge for the company."
Joseph Cammarata, CEO added, "NDAU which is Proof of Stake is more
of a storage low-power requirement as opposed to a power
consumption crypto. While we have seen a sharp decline in Proof of
Work coins the past week, NDAU has increased. The investment
combination of our BTC proof of work and NDAU proof of stake
continue to be producing assets and a great hedge for the
company."
Further, Investview expects to pay its next quarterly dividend of
eighty-one cents ($.81) per Preferred Series B share to all holders
of record as of the close of business June 30th, 2021. The Company
has made the decision to further accommodate both domestic and
foreign shareholders by extending an option to receive quarterly
dividends via cash payment, Bitcoin, and now NDAU (subject to a
$100 minimum.) The company views this as an easier and less
expensive way for its international shareholders to manage the
income derived from the company's Perpetual Preferred Unit
Offering. Investview may be the first public company to offer an
option to pay out a Preferred Share dividend payment via Bitcoin
and now NDAU.
Holders of Investview Preferred Shares are expected to receive an
annual dividend yield of 13% as described in their Perpetual
Preferred Unit Offering. The 13% annual dividend for the first
three years is escrowed from the $25 Preferred Share price. To
learn about Investview's Perpetual Preferred Unit Offering visit
the Capital Engine link: https://bit.ly/2xj21lD
About Investview
Headquartered in Salt Lake City, Utah, Investview, Inc., is a
diversified financial technology organization that operates through
its subsidiaries, to provide financial products and services to
individuals, accredited investors and select financial
institutions.
Investview reported a net loss of $21.28 million for the year ended
March 31, 2020, compared to a net loss of $4.98 million for the
year ended March 31, 2019. As of Dec. 31, 2020, the Company had
$10.77 million in total assets, $23.79 million in total
liabilities, and a total stockholders' deficit of $13.02 million.
Haynie & Company, in Salt Lake City, Utah, the Company's auditor
since 2017, issued a "going concern" qualification in its report
dated June 29, 2020, citing that the Company has suffered losses
from operations and its current cash flow is not enough to meet
current needs. This raises substantial doubt about the Company's
ability to continue as a going concern.
JACK COUNTY HOSPITAL: No Patient Care Concern, Says PCO 5th Report
------------------------------------------------------------------
Susan N. Goodman, Patient Care Ombudsman for Jack County Hospital
District, d/b/a Faith Community Health System, said her continued
remote engagement with the Director of Nursing at the Debtor's
facility, as well as the review of quality data metrics through
February 2021 did not demonstrate any patient care concerns
contemplated under Section 333 of the Bankruptcy Court, according
to a Fifth Report Goodman filed with the Bankruptcy Court on May
24, 2021.
A copy of the Fifth Report is available for free at
https://bit.ly/3uJU4h8 from PacerMonitor.com.
The PCO filed her First Report on September 15, 2020 and a Second
Report on November 16. A Third Report was filed on January 20,
2021 and a Fourth Report two months thereafter on March 21.
Ms. Goodman was appointed PCO on July 16, 2020.
About Jack County Hospital District
Jack County Hospital District sought protection under Chapter 9 of
the Bankruptcy Code (Bankr. D. Tex. Case No. 20-40858) on Feb. 29,
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 petition was signed by Frank L.
Beaman, chief executive officer.
On May 26, 2020, the Bankruptcy Court dismissed the Debtor's case
without prejudice.
On June 11, 2020, the Debtor re-filed a Chapter 9 bankruptcy
petition.
On July 16, 2020, Susan N. Goodman was appointed Patient Care
Ombudsman for the Debtor.
On November 23, 2020, the Debtor filed a Chapter 9 Plan and
Disclosure Statement, and an Amended Chapter 9 Plan and related
Disclosure Statement on December 15. On January 6, 2021, the
Debtor filed a notice of its filing of Plan Documents supplementing
the Amended Plan.
Judge Mark X. Mullin is assigned to the case.
J. Robert Forshey, Esq., at Forshey & Prostok LLP is the Debtors'
counsel.
JP INTERMEDIATE: Moody's Raises CFR to B3 on Profit Growth
----------------------------------------------------------
Moody's Investors Service upgraded the Corporate Family Rating for
JP Intermediate B, LLC to B3 from Caa3 and the Probability of
Default Rating to B3-PD from Caa3-PD. JP Intermediate B is the
indirect parent of The Juice Plus Company and a direct seller of
whole-food, plant based nutritional supplements. At the same time
Moody's upgraded the ratings for the company's senior secured
credit facilities to B2 from Caa2. The facilities consist of a $50
million senior secured first lien revolving credit facility and a
$450 million secured first lien term loan. The rating outlook is
stable.
The upgrade reflects Moody's expectation for better top line and
operating profit growth and gradual leverage improvement. Juice
plus has made good progress in reducing financial leverage largely
due to significantly better earnings as consumers continue to focus
on wellness as a result of the pandemic, as well as debt repayment.
Price increases, new digital tools and compensation plan
improvements are also contributing to the earnings rebound and
continued positive free cash flow. The company also repurchased
about $30 million of debt in 2020. Moody's estimates that
debt-to-EBITDA leverage will improve to about 6.5x in 2021 from
near 7.0x (including puttable preferred equity) during the twelve
months ending January 31, 2021.
The stable outlook reflects Moody's view that the company will
generate modest revenue growth and stable margins, and that Juice
Plus will generate comfortably positive free cash flow and maintain
good liquidity. The stable outlook recognizes the potential
volatility in the number of sales representatives as consumers
resume their everyday activities away from the home.
The following ratings/assessments are affected by the action:
Ratings Upgraded:
Issuer: JP Intermediate B, LLC
Corporate Family Rating, Upgraded to B3 from Caa3
Probability of Default Rating, Upgraded to B3-PD from Caa3-PD
GTD Senior Secured 1st Lien Term Loan B, Upgraded to B2 (LGD3)
from Caa2 (LGD3)
GTD Senior Secured 1st Lien Revolving Credit Facility, Upgraded to
B2 (LGD3) from Caa2 (LGD3)
Outlook Actions:
Issuer: JP Intermediate B, LLC
Outlook, Changed To Stable From Negative
RATINGS RATIONALE
The B3 CFR reflects Juice Plus' high financial leverage of about
6.9x debt-to-EBITDA (including the seller notes and puttable
preferred equity), narrow product line of nutritional supplements,
and the focus on a supplements industry that is highly competitive
and subject to changing consumer preferences. The company's
multi-level marketing structure creates risk of adverse regulatory
or legal actions that affect the company's business and sales
practices such as the Italian ICA investigation in 2019. Financial
policies are expected to be aggressive under private equity
ownership including the potential for leveraging transactions. The
company's preferred stock also creates event risk because features
such as investor put rights and a high coupon that can be paid in
cash if leverage as defined in the credit agreement is below 3.5x,
may lead to a debt-funded redemption. The sales force is a
significant driver of revenue across the company's multi-level
marketing business model, and a decline in enrollment would
negatively impact business performance.
The credit profile is supported by the company's improved
profitability and cash flow, as well as solid industry dynamics
driven by an increasing trend towards wellness by consumers. The
heightened focus on health and wellness as a result of the
coronavirus provides additional support for healthy food demand.
The company also has a good presence in Europe's developed markets
with 50% of revenue generated outside the US. Moody's expects
revenue growth in the low single digit range, and demand is also
vulnerable to cyclical downturns.
ENVIRONMENTAL SOCIAL AND GOVERNANCE CONSIDERATIONS
The coronavirus outbreak and the government measures put in place
to contain it continue to disrupt economies and credit markets
across sectors and regions. Although an economic recovery is
underway, it is tenuous, and its continuation will be closely tied
to containment of the virus. As a result, there is uncertainty
around Moody's forecasts. Moody's regard the coronavirus outbreak
as a social risk under its ESG framework, given the substantial
implications for public health and safety.
Social risks are a key consideration to Juice Plus' credit profile.
The company depends on its sales force to sell its products. Sales
associates can sell products to the public — often by word of
mouth, social media and direct sales. Sales associates can also
earn commissions, not only for their own sales, but also for sales
made by the people they recruit, which can lead to unfavorable
regulatory scrutiny. The Federal Trade Commission has taken action
in the past on a number of multi-level marketing companies and in
some instances has made those companies pay fines. In addition,
changes to consumer preferences can also drive shifts in demand.
Juice Plus' products and labeling are also subject to FDA
oversight.
Juice Plus also faces important corporate governance challenges
reflecting meaningful turnover at the senior management ranks,
including a new chief executive that started in February 2021. The
company also has an aggressive financial policy as demonstrated by
its $1.3 billion leveraged buyout in November 2018. Environmental
considerations are not considered material to Juice Plus' credit
profile, but the company must monitor the land, water, energy and
raw material usage of its contract manufacturers.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be downgraded if Juice Plus' operating
performance deteriorates, if the number of distributors or sales
representative decline or turnover increases meaningfully, if free
cash flow weakens or turns negative or if there are adverse
regulatory developments. Ratings could also be downgraded if
debt/EBITDA is sustained above 7.0x, or if liquidity deteriorates.
The rating could be upgraded if the company continues to grow
revenue, the EBITDA margin improves, and the regulatory environment
remains stable. The rating could also be upgraded if debt to EBITDA
is sustained below 5.5x and Moody's gains greater comfort with the
company's business model.
The principal methodology used in these ratings was Consumer
Packaged Goods Methodology published in February 2020.
Based in Collierville, TN, The Juice Plus Company is a
direct-seller of whole-food, plant based nutritional supplements
(98% of revenue) and growing products. Products are available in a
variety of delivery formats including capsules, soft chewables
(gummies), shakes and bars. The company operates through a
multi-level marketing system that consists of approximately active
161,000 distributors in the US and a number of international
markets. Juice Plus generates about $673 million in revenue per
annum and is owned by Altamont Capital following a November 2018
leveraged buyout.
KTR GLOBAL: Unsecured Creditors to Get Payments for 5 Years
-----------------------------------------------------------
KTR Global Partners LLC submitted a First Amendment to its Joint
Chapter 11 Plan of Reorganization on May 27, 2021.
Those claims categorized as Class 1 (Administrative), Class 2
(Governmental Unit Priority) and Class 3 (Landlord's arrearage
claim) shall be paid on a Pro Rata basis from funds provided by the
Debtor to the Allowed Claims Distribution Fund and administered by
Trustee, Lynton Kotzin. They will be paid first and on a quarterly
basis on the Distribution Dates to the Holders of Allowed Claims.
The Class 4 claim of JP Morgan Chase/SBA shall be paid on a monthly
basis consistent with the original terms of the note that presently
has a termination date in 2025. To the extent any arrearages exist
they shall be addressed by continuing monthly payments in the same
amount as set forth in the note to continue after the termination
date until the note principal and accrued interest is paid in
full.
The Class 5 general unsecured claims shall be paid on a pro rata
basis from funds paid by the Debtor to the Trustee and placed in
the Allowed Claims Distribution Fund. The Debtor shall be
obligated to continue payments Excess Income into the Fund until
the earlier of the end of the fifth year from the date of the first
payment made into the Fund or until all Class 5 claims have been
paid in full.
The Debtor will continue to operate in the ordinary course. From
Excess Income, the Debtor shall fund and establish the
Normalization Fund. Thereafter, all Excess Income shall go to the
Allowed Claims Distribution Fund in the custody of the Trustee. In
turn the Trustee as Distribution Agent will pay the Holders of
Allowed Claims as set forth in the Plan.
At the end of each quarter following the effective date, and on the
designated Distribution Date, the Trustee shall pay the balance in
the Allowed Claims Distribution Fund to each Holder of an Allowed
Claim in Classes 1, 2, and 3 under the Plan on a pro rata basis.
After allowed claims in Classes 1, 2 and 3 have been paid in full,
then the balance in the Allowed Claims Distribution Fund as it
accrues over the 5 year period of the plan, shall be used to pay
Class 5 Allowed Claims on a pro rata basis until they are paid in
full or until the end of the 5 year plan period, whichever first
occurs.
A full-text copy of the First Amendment to Joint Plan dated May 27,
2021, is available at https://bit.ly/2TB2p9X from PacerMonitor.com
at no charge.
Attorneys for Debtor:
Gerald L. Shelley, Esq.
Fennemore Craig, P.C.
2394 E. Camelback Rd., Suite 600
Phoenix, AZ 85016
Tel: (602) 916-5000
Email: aaustin@fclaw.com
About KTR Global Partners
KTR Global Partners, LLC owns and operates an indoor action sports
playground serving kids of all ages and abilities.
KTR Global Partners sought Chapter 11 protection (Bankr. Ariz. Case
No. 20-08282) on July 16, 2020. At the time of the filing, Debtor
disclosed total assets of $1,294,450 and total liabilities of
$1,533,572. Judge Brenda K. Martin oversees the case.
Fennemore Craig, P.C. is Debtor's legal counsel.
KUMTOR GOLD: Case Summary & 30 Largest Unsecured Creditors
----------------------------------------------------------
Two affiliates that concurrently filed voluntary petitions for
relief under Chapter 11 of the Bankruptcy Code:
Debtor Case No.
------ --------
Kumtor Gold Company CSJC 21-11051
24 Ibraimova Street, 720001
Bishkek, Kyrgyz Republic
Kumtor Operating Company CSJC 21-11052
Business Description: Kumtor Gold Company is a gold mining company
headquartered in Bishkek, the Kyrgyz
Republic.
Chapter 11 Petition Date: May 31, 2021
Court: United States Bankruptcy Court
Southern District of New York
Judge: Hon. Lisa G. Beckerman
Debtors' Counsel: James L. Bromley, Esq.
SULLIVAN & CROMWELL LLP
125 Broad Street
New York, NY 10004
Tel: 212-558-4000
Email: bromleyj@sullcrom.com
Debtors'
Restructuring
Co-Counsel: STIKEMAN ELLIOT LLP
Estimated Assets
(on a consolidated basis): $1 billion to $10 billion
Estimated Liabilities
(on a consolidated basis): $100 million to $500 million
The petitions were signed by Daniel Richard Desjardins, authorized
representative.
Copies of the petitions are available for free at PacerMonitor.com
at:
https://www.pacermonitor.com/view/S2OTFHA/Kumtor_Gold_Company_CSJC__nysbke-21-11051__0001.0.pdf?mcid=tGE4TAMA
https://www.pacermonitor.com/view/TB5Q5DY/Kumtor_Operating_Company_CSJC__nysbke-21-11052__0001.0.pdf?mcid=tGE4TAMA
Consolidated List of Debtors' 30 Largest Unsecured Creditors:
Entity Nature of Claim Claim Amount
------ --------------- ------------
1. Machinery Intertrade Limited Trade Debts Undetermined
Alliance House 12
Caxton Street
London, Great Britain
Bulent Atar
Email: batar@borusan.com
Mobile Number: +7 701 951 9869
2. Central Treasury of the Gross Proceeds Undetermined
Ministry of Finance of Tax
Kyrgyz Republic
Erkindik Boulevard
58, 720040
Bishkek, Kyrgyzstan
Public Reception:
E-mail: minfin@minfin.kg
Tel: +996 (312) 66-12-27 ext.3812
3. IP Consult (International) Ltd Trade Debts Undetermined
Portland House,
Glacis Road, GX11
1AA, Gibraltar
Stephane Kieffer
Email: s.kieffer@ciseg.eu
Tel: +33 620 61 01 54
4. Vzryvprom Technology Ltd. Trade Debts Undetermined
BLD 34
Karbysheva Str,
Kostanay, Kazakhstan
Romanenko Alexander
Tel: +7 778 742 97 97
Email: romanenko_a72@mail.ru
5. YSYK-KOL Resource Ltd Trade Debts Undetermined
32 Janetov St.,
Tilekmat V, Jeti-Oguz Region,
Issyk-Kul Obl, Kyrgyz Republic
Askhad K. Seitkaziev
Tel: +7 705008334
Email: ASKHAD.SEITKAZIEV76@MAIL.RU
6. Sandvik Mining and Trade Debts Undetermined
Construction
Kazakhstan, Almaty,
42 Timiry Azev Street
Exhibition Hall No. 10
Block C. 7 Floor
VOROZHTSOV
Email: Bunakova@sandvik.com
Tel: +7 727 292 70 61
7. Eurasian Machinery LLP Trade Debts
Undetermined
Kazakhstan, Almaty City
N. Nazarbaev Avenue
277/66
KASSENOV B.
+7 701 208 14 91
Kemal Cetinelli
Email: kcetinelli@eurasiancm.com
Sergey GREKHOV
Tel: +7 701 2284822
Email: s.grekhov@eurasiancm.com
8. Maxam Kazakhstan LLP Trade Debts Undetermined
40, 4th Floor,
Republic Avenue,
Karaganda,
Republic of Kazakhtstan
Alexey Chernov
Tel: (+7) 701 705 61 64
Email: chernov@maxam.net
Aliya Makhmutova
Email: amakhmutova@maxam.net
Tel: (+7) 721 2320458
9. Drilling Company Stalker Ltd Trade Debts Undetermined
2 Cholpon-Atinskaya St.,
Bishkek, Kyrgyz Republic
Norvin V.V.
Tel: +996 555771548
Email: prospecting_ltd@mail.ru
10. Liebherr Export AG –Spare Parts Trade Debts
Undetermined
General- Guisanstrasse 14,
Nussbaumen AG, Switzerland
Steiner Sandra
Email: Sandra.Steiner@liebherr.com
Tel: +41 56 2961111
11. Agrostroy PT LLC Trade Debts Undetermined
Room #10A, 43
ZHILUNOVICH STREET,
Minsk, Belarus
Andrey Bekrenev
Email: agrostroy@tut.by
Tel: +37 517 2072036
12. Central Treasury of Issyk-Jul Undetermined
The Ministry of Finance Development Fund
of Kyrgyz Republic
Erkindik boulevard 58,
720040, Bishkek, Kyrgyzstan
Public reception:
E-mail: minfin@minfin.kg
Tel: +996 (312) 66-12-27 ext.3812
13. Rimex Supply Ltd. Trade Debts Undetermined
9726 186th Street,
Surrey BC, Canada
Zahra Nerval
Tel: +1 604 8880025
Email: zahra.nerval@rimex.com
14. Cummins LLC Trade Debts Undetermined
Klyazma, 1G,
Khimki Moscow Region, Russia
Andrei Stepanov
Email: mc864@cummins.com
Tel: +7 495 9268624
15. SDL Ugo Ltd. Trade Debts Undetermined
184 Ahunbaeva St.
Apt 413
Bishkek, Kyrgyz Republic
B. Chukin
Tel: +996 550 344424
16. Stewart Assay and Trade Debts Undetermined
Environmental
2 Kalinina St.
Kara-Balta
Jayyl Reg.
Chuy OBL,
Kyrgyz Republic
Salamat Imanakunov, Laboratory
Email: stewart-karabalta@ktnet.kg
Tel: +996 3133 61925
17. Maptek Ltd. Trade Debts Undetermined
3 Darnaway Street
Edinburgh, United Kingdom
Stephen Cowley
Tel: +44 13 12258447
Email: accounts@maptek.com
18. Usubaliev Kylychbek V Trade Debts Undetermined
Verh-Atbashi,
Stroitelnaya 3, Kyrgyz Republic
Usubaliev Kylychbek Sadygalievic
Tel: +996 550970128
Email: chpusubaliev@mail.ru
19. Goldenman Petroleum Trade Debts Undetermined
Equipment Co.
RM 712,
Wandaguoji Park,
No 67 Fuquan str.
Dongying, China
Edilbek Esenbekov
Email: 015@goldenman.cn
Tel: +86 15601626937
20. Specpricep Company LLC Trade Debts Undetermined
Proezd Melioratorov
House 38, TVER City
Russian Federation
Volkova Natalia
Tel: +74822744503
Email: tvercompania@specpricep.ru
21. Algol DV LLC Euro Trade Debts Undetermined
2nd Ambulatorniy
Passway, 10
2nd Floor, Unit 207
Moscow, Russian Federation
Ivan Loboiko
Email: loboiko.i@tsc.su
Tel: +79858586432
22. Transityre BV Trade Debts Undetermined
Michelin Export FA
Eikdong 5
PO Box 6578, 4802 HN
Breda, Netherlands
Isma Bouhaddouf
Email: isma.bouhaddouf@michelin.com
Tel: +33473304087
Boivka Vitaliy
Tel: +7 968 534 27 87
Email: vitaly.boivka@michelin.com
23. SPC Vulcan Inc Trade Debts Undetermined
17 Akademika Artsimovicha str., rm IV,
Office 10, Moscow,
Russian Federation
Oleg Razinkov
Email: info@vulcan-inc.ru
Tel: +7 (495) 585-9733
24. GTH Tehnodom Trade Debts Undetermined
Germaniya LLP
Royzybakieva
Street 125/1 AP 4
Almaty, Kazakhstan
Email: v.prokopenko@outlook.com
25. Kemira OYJ Trade Debts Undetermined
Porkkalankat
U 3, PO Box 330
Helsinki Finland
Tuomo Keskinen
Tel: +358 10 86 11
Email: tuomo.keskinen@kemira.com
26. Esco Belgium S.A. Trade Debts Undetermined
Zoning Industrial Rue Des
Fours A Chaux
Frameries, Belgium
Svetlana Titova
Tel: +32 65 611563
Email: Svetlana.Titova@escocorp.com
27. Epiroc Central Asia LLP Trade Debts Undetermined
14, Iliyas Zhansugiruly,
Astana, Kazakhstan
Roman Uteshev
Email: roman.uteshev@epiroc.com
Tel: +77770086195
28. Sanatori Avrora UD PKR Trade Debts Undetermined
S. Bulan-Sorgottu
Issyk-Kul Reg.
Issyk-Kul OBL
Kyrgyz Republic
Akibaev A.A.
29. Sanatorium Kyrgyzskoe Trade Debts Undetermined
Vzmorye
Cholpon-Ata
Bosteri, Kyrgyz Republic
Namazova Aliya
Kadyrbekovna
Email: +996 77081-18-89
30. R.C. Moffatt Supply Limited Trade Debts Undetermined
725 Macakenzie Ave East
PO Box 13
Atikokan ONT
P0T 1C0, Canada
Emily Kingston
Email: salesdm@moffattsupply.com
Tel: +1 780 4351921
KUMTOR GOLD: Centerra Places Subsidiaries Under Chapter 11
----------------------------------------------------------
The Canadian Press reports that Centerra Gold Inc. says its wholly
owned subsidiaries that own and operate the Kumtor Mine have filed
for Chapter 11 bankruptcy protection in the U.S. in a move to
protect its interests after the government of the Kyrgyz Republic
seized the mine in the central Asian country.
The Toronto-based miner says the Kumtor Gold Co. and Kumtor
Operating Co. started the filing in the Southern District of New
York.
The court-supervised process provides for a worldwide stay of all
claims against the companies.
The Kyrgyz Republic issued a statement last month that it took
control of the Kumtor mine because of what it said was the
"abdication of its fundamental duties of care" by Centerra.
The Canadian miner has said the seizure was unjustified and
initiated binding arbitration against the government.
Centerra also says it is conducting a strategic review related to
its ownership of KGC and KOC in light of the recent events
involving the Kumtor mine.
About Kumtor Gold
Centerra Gold Inc. is a Canadian mining company that owns and
operates the Kumtor Gold Mine in the Kyrgyz Republic.
Centerra placed subsidiaries, Kumtor Gold Co and Kumtor Operating
Co., into Chapter 11 bankruptcy in the U.S. following
nationalization of the miner's Kumtor gold mine by the Kyrgyz
Republic, a former Soviet republic.
Kumtor Gold Company CSJC and Kumtor Operating Company CSJC sought
Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case Nos.
21-11051 to 21-11052) on May 31, 2021. Kumtor Gold was estimated
to have $1 billion to $10 billion in assets and $100 million to
$500 million in liabilities as of the bankruptcy filing. The Hon.
Lisa G. Beckerman is the case judge. SULLIVAN & CROMWELL LLP, led
by James L. Bromley, is the Debtor's counsel. STIKEMAN ELLIOT LLP
is the co-counsel.
LIBERTY POWER: $40MM DIP Loan from Boston Energy Gets Final OK
--------------------------------------------------------------
Judge Scott M. Grossman entered a Final Order authorizing Liberty
Power Holdings, LLC to (i) use cash collateral to fund its
day-to-day operations, and (ii) obtain up to $40,000,000 of
postpetition financing from Boston Energy Trading and Marketing,
LLC (BETM), or its designee or assignee, pursuant to the DIP
Financing Term Sheet dated April 29, 2021.
A 13-week DIP Budget reflecting the Debtor's receipts and
disbursements through the week ending July 30, 2021, provided for
$60,762,000 in total receipts and $73,876,000 in total
disbursements, including $61,441,000 in total disbursements from
operations. A copy of the DIP Budget is available for free as
Exhibit B at https://bit.ly/3fzUWQS from PacerMonitor.com.
Under the Final DIP Order, the DIP Obligations shall become due and
payable on the earliest of:
-- the Effective Date of a Chapter 11 Plan;
-- the closing of sale of all or a substantial part of the
Debtor's assets;
-- December 1, 2021; or
-- the occurrence and declaration of an event of default by the
DIP Lender.
Subject to the Carve-out, all of the DIP obligations shall
constitute allowed senior administrative expense claims against the
Debtor with priority over all administrative expenses and other
claim against the Debtor.
As security for the DIP Obligations, subject to the Carve-out, the
Debtor grants the DIP Lender:
* priming liens on the prepetition collateral;
* liens senior to certain other liens;
* perfected security interest on the Debtor's bank accounts at JP
Morgan, (including the proceeds and postpetition deposits therein)
which accounts are subject to an account control agreement; and
* a security interest in and lien on all of the Debtor's personal
property, as adequate protection for the use of cash collateral,
which liens are junior to the DIP Liens and the Carve-out.
BETM is also the Debtor's Prepetition Secured Lender under a Supply
and Service Agreement obtained in July 2020 which aimed at
restructuring the Debtor's capital. As of the Petition Date, the
Debtor owes BETM, under the Prepetition Indebtedness $12,031,960,
plus interest, costs and attorney's fees.
Milestones
The DIP Lender required the Debtor to comply with certain
milestones, the non-compliance to which shall constitute an event
of default under the DIP Documents.
The milestones provide that:
a. on or before June 4, 2021, the Court shall have approved the
Bidding Procedures Motion by entry of a Bidding Procedures Order,
in form acceptable to the DIP Lender;
b. no later than 15 calendar days after entry of the DIP
Procedures Order, the Debtor shall deliver a draft confidential
information memorandum to the DIP Lender, along with a proposed
draft purchase agreement for the sale (the Debtor is contemplating
a sale of all or substantially all of its assets);
c. on or before August 19, 2021, the Bid Deadline shall have
occurred;
d. on or before August 24, 2021, the Debtor, in consultation
with the DIP Lender, will select the highest and best offer for the
sale received by the Bid Deadline;
e. on or before August 25, 2021, the Debtor shall have commenced
the Auction, if necessary;
f. on or before August 31, 2021, a hearing shall have occurred
to consider approval of the sale contemplated by the Bidding
Procedures Order;
g. on or before September 3, 2021, the Court shall have entered
the Sale Order.
The validity, priority and extent of the liens and security
interests granted to the DIP Lender pursuant to the Final DIP Order
shall not be modified, absent written consent of the DIP Lender, by
any plan of reorganization in the Debtor's case.
Credit Bid
The DIP Lender shall have the right to credit bid all or any
portion of the outstanding DIP Obligation and the Prepetition
Obligations in any sale of the Collateral pursuant to Section 363
of the Bankruptcy Code, a plan of reorganization or plan of
liquidation under Section 1129 of the Bankruptcy Code, or a sale or
disposition by a Chapter 7 Trustee for the Debtor under Section 725
of the Bankruptcy Code.
A copy of the Final DIP Order is available for free at
https://bit.ly/3fzUWQS from PacerMonitor.com.
$4 Million Additional DIP Loan
Along with the request for final approval of the DIP Financing, the
Debtor asked the Court for an interim hearing with respect to
additional DIP borrowing from the DIP Lender of up to $4,000,000
under a DIP Supply and Services Agreement dated May 5, 2021. This
financing arrangement is similar to the supply and financing
arrangement in place before the Petition Date.
A full-text copy of the terms of Supply and Services Agreement
dated May 5, 2021 is available as Exhibit A at
https://bit.ly/3fzUWQS from PacerMonitor.com at no charge.
About Liberty Power
Established in 2001 and headquartered in Fort Lauderdale, Florida,
Liberty Power is one of the largest and longest-tenured
owner-operated retail electricity provider in the United States.
Liberty Power provides large and small businesses, government
agencies and residential customers with competitively-priced
electricity, sustainability solutions and exceptional customer
service.
Liberty Power filed a voluntary petition for Chapter 11
reorganization (Bankr. S.D. Fla. Case No. 21-13797) on April 20,
2021. The Debtor estimated $50 million to $100 million in assets
and at least $100 million in liabilities as of the bankruptcy
filing.
Judge Scott M. Grossman oversees the case.
Genovese Joblove & Battista, P.A., is the Debtor's counsel.
Boston Energy Trading and Marketing, LLC, as DIP Lender, is
represented by:
David T. McIndoe, Esq.
Eversheds Sutherland (US) LLP
700 6th Street, NW, Suite 700
Washington, DC 20001-3980
- and -
Mark D. Sherrill, Esq.
Eversheds Sutherland (US) LLP
101 Fannin Street, Suite 3700
Houston, TX 77002-6760
LINDA MAR: Seeks to Hire Maloy Law Group as Legal Counsel
---------------------------------------------------------
Linda Mar Imports Incorporated seeks approval from the U.S.
Bankruptcy Court for the Southern District of Florida to hire Maloy
Law Group, LLC as its legal counsel.
The firm will render these services:
(a) give advice to the Debtor with respect to its powers and
duties and the continued management of its business operations;
(b) advise the Debtor with respect to its responsibilities in
complying with the U.S. Trustee's Operating Guidelines and
Reporting Requirements and with the rules of the court;
(c) prepare legal documents necessary in the administration of
the Debtor's Chapter 11 case;
(d) protect the interest of the Debtor in all matters pending
before the court;
(e) represent the Debtor in negotiation with its creditors in
the preparation of a Chapter 11 plan.
Marilyn Maloy, Esq., managing member of Maloy Law, disclosed in a
court filing that her firm does not represent an interest adverse
to the Debtor and its estate.
The firm can be reached through:
Marilyn L. Maloy, Esq.
Maloy Law Group, LLC
540 N.W. 165 Street Road, Suite 210
Miami, FL 33169
Email: service@maloylaw.com
About Linda Mar Imports Incorporated
Linda Mar Imports Incorporated filed its voluntary petition for
relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla.
Case No. 21-14628) on May 12, 2021, listing under $1 million in
both assets and liabilities. Judge Laurel M. Isicoff oversees the
case. Marilyn L. Maloy, Esq., at Maloy Law Group, LLC, represents
the Debtor as legal counsel.
LUCKY STAR-DEER: Abraham Leser's Joinder to Disclosure Objection
----------------------------------------------------------------
Abraham Leser, an undisputed judgment creditor of Victoria Towers
Development Corp., a debtor affiliate of Lucky Star-Deer Park LLC,
objects to the Disclosure Statement in connection with the Chapter
11 Plan of Reorganization.
Mr. Leser joins in the prior Objections, including the Objection of
American Chengyi Investment Management Group, Inc. which states
that the Disclosure Statement should be denied because the Plan
violates the absolute priority rule as it seeks to distributes
funds to unsecured creditors prior to paying secured creditors in
full.
Mr. Leser, like Chengyi, is a secured creditor, with an undisputed
judgment docketed against the Debtor'sreal property. Moreover, the
Plan admits that there will be no distribution to Mr. Leser, while
there will be distributions to unsecured creditors. Thus, as per
the Chengyi Objection, the Plan violates the absolute priority
rule.
A full-text copy of Abraham Leser's objection dated May 27, 2021,
is available at https://bit.ly/34EUsTp from PacerMonitor.com at no
charge.
Attorneys for Abraham Leser:
BACKENROTH, FRANKEL & KRINSKY, LLP
Abraham Backenroth, Esq. (AB-1989)
800 Third Avenue, 11th Floor
New York, New York 10022
Tel: (212) 593-1100
About Lucky Star-Deer Park
Lucky Star-Deer Park, LLC is a single asset real estate as defined
in 11 U.S.C. Section 101(51B) based in Flushing, N.Y.
Lucky Star-Deer Park and affiliates, Flushing Landmark Realty LLC
and Victoria Towers Development Corp. sought protection under
Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case Nos.
20-73301, 20-73302 and 20-73303) on Oct. 30, 2020. On Nov. 3,
2020, another affiliate, Queen Elizabeth Realty Corp., filed a
Chapter 11 petition (Bankr. E.D.N.Y. Case No. 20-73327). Judge
Robert E. Grossman oversees the cases, which are jointly
administered under Case No. 20-73301.
At the time of the filing, Lucky Star-Deer Park had estimated
assets of less than $50,000 and liabilities of between $100,001 and
$500,000.
The Debtors tapped Rosen & Kantrow, PLLC as their legal counsel,
Joseph A. Broderick, P.C., as accountant, and Miu & Co. as audit
consultant.
MC TOURS: Seeks to Hire MRO Attorneys at Law as Legal Counsel
-------------------------------------------------------------
MC Tours Inc. seeks approval from the U.S. Bankruptcy Court for the
District of Puerto Rico to hire MRO Attorneys at Law, LLC to handle
its Chapter 11 case.
Myrna Ruiz-Olmo, Esq., the firm's attorney who will work primarily
in the case, will be paid at her hourly rate of $300 and will be
reimbursed for work-related expenses incurred.
The firm receive a retainer in the amount of $10,0000.
Ms. Ruiz-Olmo 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 firm can be reached through:
Myrna L. Ruiz-Olmo, Esq.
MRO Attorneys at Law LLC
PO Box 367819
San Juan, PR 00936-7819
Tel. 787-404-2204
Email: mro@prbankruptcy.com
About MC Tours Inc.
Toa Baja, P.R.-based MC Tours Inc. filed its voluntary petition for
relief under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case
No. 21-01609) on May 24, 2021. At the time of the filing, the
Debtor disclosed $591,707 in assets and $1,482,592 in liabilities.
Myrna L. Ruiz Olmo, Esq., at MRO Attorneys at Law LLC, represents
the Debtor as legal counsel.
MEDLEY LLC: Schulte Roth, Young Conaway Represent Noteholder Group
------------------------------------------------------------------
Pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure,
the law firms of Schulte Roth & Zabel LLP and Young Conaway
Stargatt & Taylor, LLP submitted a verified statement to disclose
that they are representing the Committee of Medley Noteholders in
the Chapter 11 cases of Medley LLC.
The counsel submitted a verified statement with respect to certain
beneficial holders or investment advisers or managers for certain
beneficial holders of (i) $53,600,000 in aggregate principal amount
of senior unsecured notes due in 2026 at a stated coupon rate of
6.875% issued pursuant to that certain indenture agreement dated
August 9, 2016 and (ii) $69,000,000 million in aggregate principal
amount of senior unsecured notes due in 2024 at a stated coupon
rate of 7.25% issued pursuant to that certain indenture agreement
dated August 9, 2016.
In April 2021, the Committee of Medley Noteholders retained Schulte
Roth to advise them, solely in their capacity as noteholders, in
connection with the potential restructuring of the Debtor's
business operations and the above captioned chapter 11 case. In May
2021, the Committee of Medley Noteholders retained Young Conaway as
its Delaware Counsel in connection with the Chapter 11 Case.
As of June 1, 2021, member of the Committee of Medley Noteholders
and their disclosable economic interests are:
Cove Lane Partners LP
800 Third Avenue, 29th Floor
New York, NY 10022
* 2014 Notes: $1,090,325
* 2024 Notes: $909,900
Pretium Partners, LLC
810 7th Avenue,
New York, NY 10019
* 2014 Notes: $1,347,625
* 2024 Notes: $1,003,200
Medley Noteholder Counsel reserves the right to amend or supplement
this Statement for any reason in accordance with Bankruptcy Rule
2019.
Counsel for the Committee of Medley Noteholders can be reached at:
YOUNG CONAWAY STARGATT & TAYLOR, LLP
Edwin J. Harron, Esq.
Andrew L. Magaziner, Esq.
Rodney Square
1000 North King Street
Wilmington, DE 19801
Telephone: (302) 571-6600
Facsimile: (302) 571-1253
E-mail: amagaziner@ycst.com
- and -
SCHULTE ROTH & ZABEL LLP
Douglas S. Mintz, Esq.
901 Fifteenth Street, NW, Suite 800
Washington, DC 20005
Telephone: (202) 729-7470
Facsimile: (202) 730-4520
E-mail: douglas.mintz@srz.com
Adam C. Harris, Esq.
Kelly Knight, Esq.
919 Third Avenue
New York, NY 10022
Telephone: (212) 756-2000
Facsimile: (212) 593-5955
E-mail: adam.harris@srz.com
kelly.knight@srz.com
A copy of the Rule 2019 filing is available at
https://bit.ly/3wHk8e6 at no extra charge.
About Medley LLC
Medley LLC, through its direct and indirect subsidiaries, including
Medley Capital LLC, is an alternative asset management firm
offering yield solutions to retail and institutional investors. It
provides investment management services to a permanent capital
vehicle, long-dated private funds, and separately managed accounts,
and serves as the general partner to the private funds. Medley is
headquartered in New York City and incorporated in Delaware.
As of Sept. 30, 2020, Medley had $3.4 billion of assets under
management in two business development companies, Medley Capital
Corporation (NYSE: MCC) and Sierra Income Corporation, and several
private investment vehicles. Over the past 18 years, Medley has
provided capital to over 400 companies across 35 industries in
North America.
Medley filed a Chapter 11 bankruptcy petition (Bankr. D. Del. Case
No. 21-10526) on March 7, 2021. The Debtor disclosed $5,422,369 in
assets and $140,752,116 in liabilities as of March 2, 2021.
The Debtor tapped Lowenstein Sandler LLP and Morris James LLP as
bankruptcy counsel, Eversheds Sutherland (US) LLP as special
counsel, B. Riley Securities Inc. as investment banker, and
Andersen Tax LLC as tax accountant. Kurtzman Carson Consultants,
LLC is the claims agent, maintaining the page
https://www.kccllc.net/medley
The U.S. Trustee for Region 3 appointed an official committee of
unsecured creditors on April 22, 2021. The committee is
represented by Potter Anderson & Corroon, LLP and Kelley Drye &
Warren, LLP.
MKJC AUTO: Lucy Thomson Named Consumer Privacy Ombudsman
--------------------------------------------------------
William K. Harrington, United States Trustee for Region 2,
appointed Lucy Thomson, Esq., as the Consumer Privacy Ombudsman for
MKJC Auto Group, LLC on May 25, 2021.
A copy of the appointment is available for free at
https://bit.ly/34IkN34 from PacerMonitor.com.
About MKJC Auto Group, LLC
MKJC Auto Group, LLC owns and operates the automobile dealership
out of Long Island, New York, known as Hyundai of Long Island City,
selling and leasing new and pre-owned Hyundai automobiles to
consumers.
MKJC Auto Group, LLC filed its voluntary petition for relief under
Chapter 11 of the Bankruptcy Code (Bankr. E.D. N.Y. Case No.
20-42283) on June 8, 2020. The petition was signed by Ryan
Kaminsky, Executor of The Estate of Mitchell Kaminsky. At the time
of filing, the Debtor estimated $10,319,999 in assets and
$10,034,320 in liabilities.
Judge Jil Mazer-Marino replaced Judge Carla E. Craig as the
presiding judge of the Debtor's case.
The Debtor tapped Shafferman & Feldman LLP as its bankruptcy
counsel and the Law Offices of Paul J. Solda, Esq. and Paris
Ackerman, LLP as its special counsel. Citrin Cooperman serves as
the Debtor's accountant.
Lucy Thomson, Esq., was appointed as the Debtor's Consumer Privacy
Ombudsman.
MKJC AUTO: Ombudsman Says PII Sale Permissible
----------------------------------------------
Lucy L. Thomson, Consumer Privacy Ombudsman (CPO) for MKJC Auto
Group, LLC, d/b/a Hyundai of Long Island City, advised the
Bankruptcy Court on the issues related to the protection of
personally identifiable information (PII) of the Debtor's consumers
relating to the sale of substantially all of the Debtor's assets to
proposed buyer, Koeppel Hyundai, Inc.
The Asset Purchase Agreement entered into between the Debtor and
Koeppel Hyundai provides that the Seller shall permit its sales and
service records to remain with the Buyer, and that the Buyer will
safeguard the records and permit the Seller access thereto during
business hours. Seven years from the Closing Date, the Seller
shall either remove the records from the Premises or the Buyer
shall be permitted to abandon and discard them.
Personal information to be transferred to the new Koeppel Hyundai
dealership includes records of approximately 91,500 consumers and
customers, including customers who purchased or leased a Hyundai
vehicle, consumer prospects, and service repair orders (includes
repeat customers).
The applicable non-bankruptcy law -- the Gramm-Leach-Bliley Act
(GLB) -- requires that financial institutions covered by the GLB,
including entities that provide financing, must tell their
consumers and customers about their information-sharing practices
and explain their right to opt out if they do not want their
information shared with certain third parties.
The Ombudsman found that under an exception to the privacy notice
and consent regime in the applicable non-bankruptcy laws, the GLB,
as well as under the Federal Trade Commission (FTC) Privacy Rule,
the Debtor's consumer records may be sold and transferred to
Koeppel Hyundai without the need to provide consumers with notice
of the sale or an opportunity to opt-out.
Moreover, because the Debtor's case involves the purchase of an
automobile dealership by another dealership whose owner has a
long-standing record in the automobile industry, the Ombudsman
believes the Court should apply those criteria that are consistent
with the GLB and the FTC Privacy Rule. The CPO recommends that the
Court make a determination that Koeppel Hyundai is a Qualified
Buyer because these criteria have been met:
* The Buyer is in the same line of business as the Seller and
has been qualified as a Hyundai dealer;
* The Debtor and Hyundai Motor American (HMA) are parties to a
Hyundai Motor America Dealer Sales and Service Agreement pursuant
to which Debtor was appointed as an authorized dealer of Hyundai
products;
* The Buyer agrees to use the personally identifiable consumer
records for the same purpose as they were used previously by the
Debtor;
* The Buyer will provide consumers and customers with
opportunities to Opt-out of receiving e-mail and postal mailings of
advertisements and notices of promotions and special product
offerings (customers may unsubscribe from the Buyers promotions at
any time online, by email, or by phone by following the
instructions provided);
* The Buyer agrees to employ appropriate information security
controls (technical, operational and managerial) to protect
electronic personally identifiable customer information, including
strong encryption;
* The Buyer agrees to abide by the Gramm-Leach-Bliley Act and
the FTC Privacy Rule and all applicable federal, state, and
international laws, including laws prohibiting unfair or deceptive
practices "UDAP", data breach, data disposal, "do-not-track",
"do-not-call", and "no spam" laws.
* The Buyer agrees to notify the Debtor's customers that in the
future they will be protected by the privacy policy of the group of
Koeppel dealerships. The Buyer has agreed to provide an
appropriate notice of the sale on its website.
The Ombudsman believes there is no loss of privacy to the Debtor's
consumers as a result of the proposed sale because the Buyer will
provide them the benefit of its privacy policy and follow the
privacy requirements of the applicable non-bankruptcy laws.
A full-text copy of the Ombudsman Report is available for free at
https://bit.ly/3iqmv19 from PacerMonitor.com.
About MKJC Auto Group, LLC
MKJC Auto Group, LLC owns and operates the automobile dealership
out of Long Island, New York, known as Hyundai of Long Island City,
selling and leasing new and pre-owned Hyundai automobiles to
consumers.
MKJC Auto Group, LLC, filed its voluntary petition for relief under
Chapter 11 of the Bankruptcy Code (Bankr. E.D. N.Y. Case No.
20-42283) on June 8, 2020. The petition was signed by Ryan
Kaminsky, Executor of The Estate of Mitchell Kaminsky. At the time
of filing, the Debtor estimated $10,319,999 in assets and
$10,034,320 in liabilities.
Judge Jil Mazer-Marino replaced Judge Carla E. Craig as the
presiding judge of the Debtors case.
The Debtor tapped Shafferman & Feldman LLP as its bankruptcy
counsel and the Law Offices of Paul J. Solda, Esq. and Paris
Ackerman, LLP as its special counsel. Citrin Cooperman serves as
the Debtors accountant.
Lucy Thomson, Esq., was appointed as the Debtor's Consumer Privacy
Ombudsman.
MONAKER GROUP: Amends IP Purchase Agreement With IDS
----------------------------------------------------
Monaker Group, Inc., IDS Inc., TD Asset Holdings, Inc. and Ari
Daniels, the principal of IDS, entered into an Amendment to their
Intellectual Property Purchase Agreement, effective on May 18,
2021.
Pursuant to the IP Purchase Agreement, the parties amended the IP
Purchase Agreement, with the Company agreeing to make a payment to
IDS in the amount of $2,850,000, payable at the rate of an initial
payment of $500,000, and twelve monthly payments of approximately
$195,833, with such monthly payments beginning 30 days after the
initial payment, which is due seven days after the date of the IP
Purchase Amendment. Such monthly payments may be pre-paid at any
time without penalty. At Monaker's option, any portion of the
amount due may be paid to IDS by a party separate from the Company
(either a related party of Monaker or a third-party), for the
benefit of Monaker, which shall be treated for all purposes as a
payment by Monaker. As consideration for such Paying Party making
such payment on behalf of Monaker, IDS agreed to transfer the
Paying Party a number of the IDS Shares equal to the amount of the
cash payments made by a Paying Party multiplied by 0.6888 as to the
first $500,000 payment, and 0.691 as to the monthly payments.
In the event the Company fails to make any payment timely, and the
Company does not cure such default within seven days of written
notice of default being provided by IDS, IDS is entitled to entry
of a default judgment against the Company in the amount of the
differential, if any, between the realized value of the IDS Shares
upon the future sale thereof in the open market by IDS, and the
unpaid amount of any payment due. In the event of any such
default, IDS will be entitled to attorneys' fees incurred to obtain
said judgment.
Upon each payment of amounts due to IDS pursuant to the terms of
the IP Agreement Amendment as discussed above by Monaker (instead
of a Paying Party), IDS agreed to transfer the portion of the IDS
Shares equal to the Applicable Portion, to the Company.
Until such time as the IDS Shares are no longer held by IDS, IDS
agreed not to transfer or encumber any of such shares, except
pursuant to the terms of the IP Purchase Amendment.
IDS also agreed to transfer certain unbranded travel videos back to
the Company which were previously purchased by IDS from Monaker,
pursuant to the IP Purchase Agreement.
A further requirement of the IP Purchase Amendment was that IDS
enter into a Shareholder Voting Representation Agreement with
William Kerby, the Company's chief executive officer and director,
which was entered into effective on May 18, 2021. Pursuant to the
Shareholder Voting Agreement, IDS provided Mr. Kerby the right to,
and an irrevocable proxy to, vote all of the IDS Shares held by IDS
at any meeting of stockholders of the Company and/or via any
written consent of stockholders of the Company. The Shareholder
Voting Agreement remains in place until the earlier of the fifth
anniversary of the Shareholder Voting Agreement; the disposition of
the IDS Shares pursuant to the IP Purchase Amendment; a change of
control of Monaker resulting in persons prior to such transaction
obtaining more than 50% voting control of the Company following
such transaction; the sale of all or substantially all of the
assets of the Company; or termination of the agreement by Mr.
Kerby. Mr. Kerby may also assign his rights under the agreement to
another party and/or the Company may assign Mr. Kerby's rights
under the agreement if Mr. Kerby is unable to make such assignment
due to his death or disability. Mr. Kerby was provided the voting
rights as the shareholder representative of, and for the benefit
of, the Company.
Also effective on May 18, 2021, the Company, IDS, TD Asset and Ari
Daniels, entered into a Confidential Settlement Agreement and
Mutual Release, whereby (a) we provided a general release to IDS,
TD Asset and Mr. Daniels, and (b) IDS, TD Asset and Mr. Daniel
provided a general release to the Company; the parties agreed to
file a Joint Notice of Voluntary Dismissal to dismiss the pending
lawsuit; and the parties agreed that a prior Web Based Booking
Engine Development Agreement dated Oct. 24, 2017, was terminated.
As previously disclosed, on Aug. 15, 2019, Monaker entered into an
Intellectual Property Purchase Agreement with IDS. Pursuant to the
agreement, the Company purchased certain proprietary technology
from IDS for the reservation and booking of air travel, hotel
accommodations, car rentals, and ancillary products, services, and
amenities, integration of the same with the providers of such
products and services, associated functions, including website
addresses, patents, trademarks, copyrights and trade secrets
relating thereto, and all goodwill associated therewith. In
consideration for the purchase, the Company issued IDS 1,968,000
shares of restricted common stock valued at $2.50 per share, or
$4,920,000 in aggregate.
On April 27, 2020, the Company filed a verified complaint for
injunctive relief against IDS and certain other defendants
affiliated with IDS in the Circuit Court of the Seventeenth
Judicial Circuit in and for Broward County, Florida. Pursuant to
the complaint, the Company alleged causes of action against the
defendants, including IDS, based on among other things, fraud,
conspiracy to commit fraud, aiding and abetting fraud, rescission,
and breach of contract, and sought a temporary and permanent
injunction against the defendants, requiring such persons to return
the IDS Shares to the Company and preventing such persons from
selling or transferring any IDS Shares, seeking damages from the
defendants, rescission of the IP Purchase Agreement, attorneys fees
and other amounts. The defendants subsequently filed various
counterclaims against the Company.
About Monaker Group
Headquartered in Weston, Florida, Monaker Group, Inc. --
http://www.monakergroup.com-- is a technology-driven company
focused on delivering innovation to the alternative lodging rental
(ALR) market. The proprietary Monaker Booking (MBE) provides
access to more than 3.2 million instantly bookable vacation rental
homes, villas, chalets, apartments, condos, resort residences, and
castles. MBE offers travel distributors and agencies an industry
first: a customizable, instant-booking platform for alternative
lodging rental.
Monaker Group reported a net loss of $9.45 million for the year
ended Feb. 29, 2020. As of Nov. 30, 2020, Monaker had $32.40
million in total assets, $12.72 million in total liabilities, and
$19.68 million in total stockholders' equity.
Thayer O'Neal Company, LLC, in Sugar Land, Texas, the Company's
auditor since 2019, issued a "going concern" qualification in its
report dated May 29, 2020, citing that the Company has an
accumulated deficit and limited financial resources. This raises
substantial doubt about its ability to continue as a going concern.
MOUNT GROUP: Combined Disclosure & Plan Confirmed by Judge
----------------------------------------------------------
Judge Maria L. Oxholm has entered an order confirming the Third
Amended Combined Disclosure Statement and Plan of Reorganization of
Mount Group, LLC.
The Plan is amended as follows:
-- The Class of General Unsecured Claims shall be treated as
follows:
* Class of general unsecured claims. This class appears to be
made up of the general unsecured claims of Patricia and John
Jurczak, Jr., Allied Electrical Service, and Cushman & Wakefield.
This class shall be paid 100% of their claims as follows: Initial
payment of 29.1667% of the claim, followed by 4 yearly payments of
17.708325% of the claim for each payment, totaling 100% of the
claim, plus 2% interest. For example, as to the Jurczak claim,
Debtor shall pay $175,000 on the Effective Date, and make yearly
payments of $106,250 for the next four anniversary payments, plus
amortized accrued interest for a total of $600,000 plus interest.
Claimants in this class shall have a first lien on the Debtor's
assets to secure payment of the obligations in this Class. These
payments shall be guaranteed by Hammoud Family LLC.
Payments to Patricia and John Jurczak, Jr. shall be made by two
party checks, made payable to both Patricia and John Jurczak, Jr.,
and also to Couzens Lansky, P.C., and delivered to Couzens Lansky's
office which is currently 39395 W. 12 Mile Rd., Ste. 200,
Farmington Hills, MI 48331.
The Debtor will timely pay to the United States Trustee all fees
payable under Section 1930 of Title 28 of the United States Code
after the Effective Date on a quarterly basis until this Chapter 11
case is closed, converted, or dismissed.
A full-text copy of the order dated May 27, 2021, is available at
https://bit.ly/2TAiigS from PacerMonitor.com at no charge.
Attorneys for Debtor:
Robert N. Bassel, Esq.
P.O. Box T
Clinton, MI 49236
Tel: (248) 835-7683
Email: bbassel@gmail.com
About Mount Group
Mount Group, LLC, is a Single Asset Real Estate (as defined in 11
U.S.C. Section 101(51B)). Mount Group filed a Chapter 11 petition
(Bankr. E.D. Mich. Case No. 20-46958) on June 19, 2020. At the
time of filing, the Debtor had $1 million to $10 million assets and
$1 million to $10 million liabilities. Robert N. Bassel, Esq., is
the Debtor's Counsel.
OFS INTERNATIONAL: Hits Chapter 11 Bankruptcy Protection
--------------------------------------------------------
Eliza Ronalds-Hannon of Bloomberg News reports that OFS
International, LLC, filed for Chapter 11 bankruptcy on Monday, May
31, 2021, in the Southern District of Texas, listing as much as $50
million in assets and as much as $100 million in liabilities in its
bankruptcy petition. OFS International is a provider of oilfield
services to the oil and gas industry, according to its website.
Court papers indicate OFS International hired Porter Hedges LLP to
represent it in connection with the bankruptcy, which will include
affiliated entities OFSI Holding LLC and Threading and Precision
Manufacturing LLC.
About OFS International
OFS International providers of oil and gas production/processing
equipment and services, with their headquarters in Houston, Texas
and operations in the Permian, Barnett and Marcellus regions. It
provides field services, inspections, couplings, threading and
accessories to the oil and gas industry.
OFS International and affiliates, OFSI Holding LLC and Threading
and Precision Manufacturing LLC, sought Chapter 11 protection
(Bankr. S.D. Tex. Lead Case No. 21-31784) on May 31, 2021. In the
petition signed by chief financial officer Alexey Ratnikov, OFS
estimated assets of between $10 million and $50 million and
estimated liabilities of between $50 million and $100 million. The
cases are handled by Honorable Judge David R. Jones. The Debtors'
attorneys are Joshua W. Wolfshohl, Aaron J. Power, and Megan
Young-John of PORTER HEDGES LLP. BMC GROUP, Inc., is the Debtors'
claims agent.
OPTION CARE: All Four Proposals Approved at Annual Meeting
----------------------------------------------------------
Option Care Health, Inc. held its 2021 Annual meeting of
Stockholders, at which the stockholders:
(1) elected John J. Arlotta, Elizabeth Q. Betten, David W.
Golding, Harry M. Jansen Kraemer, Jr., Alan Nielsen,
R. Carter Pate, John C. Rademacher, Nitin Sahney,
Timothy Sullivan, and Mark Vainisi as directors for a term
expiring at the next annual meeting of stockholders of the
Company or until their successor are elected and qualified;
(2) approved KPMG LLP as the Company's independent registered
public accounting firm for the year ending Dec. 31, 2021;
(3) approved, on a non-binding advisory basis, the Company's
executive officer compensation; and
(4) approved an amendment to the Option Care Health, Inc. 2018
Equity Incentive Plan for the reservation of an additional
5,000,000 shares of the Company's common stock for future
issuance under such plan.
About Option Care Health
Option Care Health, together with its wholly-owned subsidiaries,
provides infusion therapy and other ancillary health care services
through a national network of 145 locations around the United
States. The Company contracts with managed care organizations,
third-party payers, hospitals, physicians, and other referral
sources to provide pharmaceuticals and complex compounded solutions
to patients for intravenous delivery in the patients' homes or
other nonhospital settings. Its services are provided in
coordination with, and under the direction of, the patient's
physician. Its multidisciplinary team of clinicians, including
pharmacists, nurses, dietitians and respiratory therapists, work
with the physician to develop a plan of care suited to each
patient's specific needs.
Option Care reported a net loss of $8.07 million for the year ended
Dec. 31, 2020, compared to a net loss of $75.92 million for the
year ended Dec. 31, 2019. As of March 31, 2021, the Company had
$2.64 billion in total assets, $1.62 billion in total liabilities,
and $1.02 billion in total stockholders' equity.
ORIGIN AGRITECH: Signs $10M Purchase Agreement With Oasis Capital
-----------------------------------------------------------------
Origin Agritech Limited has entered into an Equity Purchase
Agreement with Oasis Capital LLC under which the Company may sell
its ordinary shares to Oasis from time to time, subject to the
limitations set forth in the Equity Purchase Agreement.
The ordinary shares are being registered pursuant to a prospectus
supplement filed with the Securities and Exchange Commission on May
20, 2021, as a supplement to the Registration Statement on Form F-3
(Registration Statement No. 333- 253866) declared effective on
March 15, 2021.
Pursuant to the Equity Purchase Agreement, the Company may sell to
Oasis ordinary shares having an aggregate gross sales price of up
to $10,000,000. Oasis has committed to purchase the shares subject
to a placement notice as principal. Additionally, the Company is
selling and issuing 14,245 ordinary shares to Oasis
contemporaneously with the filing of the prospectus supplement with
the SEC.
Upon delivery of a placement notice and subject to the terms and
conditions of the Equity Purchase Agreement, Oasis is committed to
purchase the Company ordinary shares. The price to be paid by
Oasis for an ordinary share will be 94% of the market price, where
the market price shall mean the lowest one day VWAP of ordinary
shares on the Nasdaq market for any trading day during the five
trading days immediately following the date of the placement
notice. The Company will not sell any shares to Oasis unless
either (i) the last traded price at the time of the placement
notice is $5.50 or greater, or (ii) if the per share purchase price
would be less than $5.00. A placement notice will not be for more
than the lesser of $1,500,000 or 100% of the average number of
shares traded for the ten trading days prior to the placement
notice or less than $25,000. The Company is not required to give a
placement notice to Oasis, but if the Company does give a placement
notice that complies with the requirements and limitations of the
Equity Purchase Agreement, Oasis is required to purchase the
ordinary shares.
The Company will secure the listing of the ordinary shares that it
may sell to Oasis under the Equity Purchase Agreement with the
Nasdaq Stock Market. Although the Company will not enter into any
similar sale agreement of its shares while the Company is able to
give a placement notice under the Equity Purchase Agreement, the
Company may make a private or public offering of its securities if
the net proceeds are greater than $2,000,000.
The Company has also entered into a Registration Rights Agreement
to register the shares to be issued from time to time under the
Equity Purchase Agreement and the additional ordinary shares issued
thereunder as the commitment fee. The prospectus supplement to the
Registration Statement currently satisfies the Company obligations
under the Registration Rights Agreement.
About Origin Agritech
Founded in 1997 and headquartered in Zhong-Guan-Cun (ZGC) Life
Science Park in Beijing, Origin Agritech Limited (NASDAQ GS: SEED)
-- http://www.originseed.com.cn-- is an agricultural biotechnology
company, specializing in crop seed breeding and genetic
improvement, seed production, processing, distribution, and related
technical services. Origin operates production centers, processing
centers and breeding stations nationwide with sales centers located
in key crop-planting regions. Product lines are vertically
integrated for corn, rice and canola seeds.
Origin Agritech reported a net loss of RMB102.84 million for the
year ended Sept. 30, 2020, a net loss of RMB65.65 million for the
year ended Sept. 30, 2019, and a net loss of RMB152.79 million for
the year ended Sept. 30, 2018. As of Sept. 30, 2020, the Company
had RMB254.88 million in total assets, RMB340.34 million in total
liabilities, and a total deficit of RMB85.46 million.
Lakewood, Colorado-based B F Borgers CPA PC, the Company's auditor
since 2020, issued a "going concern" qualification in its report
dated Feb. 16, 2021, 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.
PARKING MANAGEMENT: Unsec. Creditors to Recover 82.84% in 5 Years
-----------------------------------------------------------------
Parking Management Services of America, Inc., submitted a Third
Amended Disclosure Statement to its Small Business Chapter 11 Plan
of Reorganization dated May 27, 2021.
Class 2H consists of the Secured Claim of Kabbage, Inc. The claim
is fully secured. The Debtor will make 60 equal monthly payments
under the Plan on this claim at 6% interest per annum in equal
installments of $270.66 each, for the total sum of $16,239.60
($270.66x60), beginning on the first day of the month subsequent to
the Effective Date of the Plan.
Class 4A consists of General Unsecured Claims which total $190,303.
This Class shall be paid in 60 monthly installments from the
Effective Date at 0% interest as follows:
Months 1-35: $101.74 a month
Months 36-38: $1,993.95 a month
Months 39: $3,946.12 a month
Months 40-50: $5,400.02 a month
Months 51-55: $7,210.52 a month
Months 56-60: $9,739.72 a month
The class will receive a total estimated payout of $157,640.29;
estimated to pay 82.84% of all claims in this class, but not more
than 100% of all claims in this class.
Class 5A consists of 100% shareholder Eric Vargas. Claimant will
not receive or retain any value, unless Class 4A receives 100%
value on their allowed claims. Claimant is entitled to continue
receiving per un-objected Notice filed with the U.S. Trustee.
The Plan will be funded by continuing the Debtor's business
operations.
A full-text copy of the Third Amended Disclosure Statement dated
May 27, 2021, is available at https://bit.ly/3pbjtPD from
PacerMonitor.com at no charge.
Counsel for Parking Management Service of America:
Alla Tenina, Esq.
Tenina Law, Inc.
15250 Ventura Blvd, Suite 601
Sherman Oaks, CA 91403
Tel: (213)596-0265
Fax: (310)774-3674
E-mail: alla@teninalaw.com
About Parking Management
Services of America
Parking Management Services of America, Inc., provides parking
attendants and attending personnel to various third parties'
parking locations. Parking Management Services filed a Chapter 11
petition (Bankr. C.D. Cal. Case No. 19-21103) on Sept. 19, 2019, in
Los Angeles, California. TENINA LAW, INC., serves as the Debtor's
counsel.
PEPCOM INC: Case Summary & 7 Unsecured Creditors
------------------------------------------------
Debtor: Pepcom, Inc.
955 NW 17th Ave Bldg L
Delray Beach, FL 33445
Business Description: Pepcom, Inc. is a media showcase events
company.
Chapter 11 Petition Date: June 2, 2021
Court: United States Bankruptcy Court
Southern District of Florida
Case No.: 21-15475
Judge: Hon. Mindy A. Mora
Debtor's Counsel: Robert C. Furr, Esq.
FURRCOHEN P.A.
2255 Glades Rd.
Suite 301E
Boca Raton, FL 33431
Tel: 561-395-0500
E-mail: rfurr@furrcohen.com
Total Assets: $729,018
Total Liabilities: $2,443,473
The petition was signed by Christopher O'Malley, president.
A full-text copy of the petition containing, among other items, a
list of the Debtor's seven unsecured creditors is available for
free at PacerMonitor.com at:
https://www.pacermonitor.com/view/DCWERSA/Pepcom_Inc__flsbke-21-15475__0001.0.pdf?mcid=tGE4TAMA
PIKEWOOD INC: Court OKs Cash Collateral Stipulation
---------------------------------------------------
Judge Patricia M. Mayer approved the stipulation authorizing
Pikewood, Inc. to use cash collateral and granting the
corresponding adequate protection for the use of cash collateral.
As previously reported by the Troubled Company Reporter, Pikewood
entered into a Stipulation to govern the Debtor's use of cash
collateral, providing adequate protection, and granting conditional
relief from the automatic stay. The Debtor requires the use of
cash collateral for the continued operation of its business and to
permit the Debtor to formulate and confirm a plan of
reorganization.
The Provident Bank provided to the Debtor a loan originally dated
January 30, 2012, in the original principal amount of $209,680. The
loan has a current outstanding principal balance in the amount of
$27,513 plus interest, costs, and attorneys' fees. The Provident
loan is secured by, inter alia, a first position lien on all of the
Debtor's assets, including, but not limited to, accounts receivable
and inventory, and the proceeds thereof.
Provident perfected its lien on the Debtor's assets by filing a
UCC-1 Financing Statement on October 18, 2006, which was duly
continued by the filing of continuation statements, most recently
on May 18, 2016.
The Debtor's Stipulation with Provident provides for these terms:
A. The Debtor may use the Collateral, including cash collateral, in
the ordinary course of its business.
B. As adequate protection for the Debtor's use of the Collateral:
(i) the Debtor acknowledges that Provident has a duly
perfected first priority security interest in and lien on all of
the Debtor's assets; and
(ii) Provident is granted a replacement lien and security
interest pursuant to 11 U.S.C. section 363(c) and (e) to the extent
that Provident's cash collateral is used by the Debtor, which
replacement lien and security interest will have the same priority
in the Debtor's post-petition assets and the proceeds thereof, as
does Provident's pre-petition lien and security interest.
C. Provident's replacement lien is automatically deemed to be
continuously perfected from the Petition Date without the necessity
of Provident Bank taking possession, filing financing Statements,
mortgages or other documents to continue the perfection of its
lien.
D. The Debtor will continue to make regular monthly payments to
Provident Bank in the amount of $2,287.23, representing the
ordinary debt service payments required under the Provident loan.
E. In the event that the Debtor's payments are more than seven days
late, the Debtor shall be deemed in default of this Stipulation and
Provident is entitled to certify such default to the Bankruptcy
Court. In the event that such payment default is not cured within
five business days, Provident may proceed to enforce its
non-bankruptcy remedies, with the automatic stay being lifted for
cause as to Provident and the Collateral pursuant to 11 U.S.C.
section 362(d)(1) immediately upon the filing of the Certification
of Default and without further Court Order.
About Pikewood Inc.
Pikewood, Inc. is the operator of a Minuteman Press franchise,
which has two locations, in Allentown and Bethlehem, Pennsylvania.
The Debtor sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. E.D. Pa. Case No. 21-10595) on March 11, 2021. David
A. Pike, vice president, signed the petition. In its petition, the
Debtor disclosed assets of $113,419 and liabilities of $3,039,125.
Judge Patricia M. Mayer oversees the case.
Fitzpatrick Lentz & Bubba, P.C. is the Debtor's legal counsel.
QUEEN CITY REHABS: Unsec. Creditors to Get 0% in Sale-Based Plan
----------------------------------------------------------------
Queen City Rehabs and Renovations, LLC, filed with the U.S.
Bankruptcy Court for the Central District of California a
Disclosure Statement describing Chapter 11 Plan of Reorganization
dated May 27, 2021.
The Debtor is an LLC that was formed with the purpose of managing
the real property located at 5516 Hardison Road, Charlotte, North
Carolina 28226 ("Real Property"). This bankruptcy was filed to
prevent the Real Property from being sold in foreclosure. The
Debtor intends to market and sell the Real Property itself so that
it can obtain fair market value for the Real Property and pay off
all secured creditors in full.
Class 1 is the Impaired Secured Claim of Triumph Capital Partners,
LLC. This claim is secured by a lien on the Debtor's real property
located at 5516 Hardison Road, Charlotte, NC 28226. Total amount of
allowed claim is $1,547,035.65. The Plan proposes paying the Class
1 creditor $1,000,000.00 on either the Effective Date or as soon as
the Real Property is sold.
Class 2 is the Impaired Secured Claim of Richard Cox fbo Erik
Myhrer MD, PA. Total amount of allowed claim is $198,728.13. The
Plan proposes paying the Class 2 creditor $100,000.00 on either the
Effective Date or as soon as the Real Property is sold.
Class 3 is the Impaired Secured Claim of NMK Real Estate LLC. Total
amount of allowed claim is $233,000.00. The Plan proposes paying
the Class 3 creditor $30,000.00 on either the Effective Date or as
soon as the Real Property is sold.
Class 4 consists of General Unsecured Claims. The Debtor estimates
that the total amount of claims in this class is equal to
$119,031.00. The amount this class will receive depends on the sale
price of the Real Property but at this time the Debtor estimates
that this class will receive a payout of $0.00 or 0% of their
allowed claims. This class is impaired and entitled to vote on the
Plan.
Dayo Beverly will retain an ownership interest in any assets still
available after distribution to other creditors which is estimated
to be $0.00.
All cash distributions to be made on or near the Effective Date
will be funded from the sale of the Debtor's real property located
at 5516 Hardison Road, Charlotte, NC 28226. The Real Property is
estimated to sell for approximately $1,200,000.00, although this
amount may be more or less depending on the state of the real
estate market. If the Real Property sells for a different amount
then the Debtor will amend the Plan to reflect the true sale price.
In the event that the Real Property is not sold prior to the
Effective Date, then the cash distributions will be made at the
time that the Real Property is sold.
The Debtor's Plan is to be funded from the sale of the Debtor's
Real Property so the amount of funds available on the Effective
Date depends on when the Real Property is sold. The Debtor
estimates that the sale of the Real Property will generate
approximately $1,200,000.00 in cash. The Plan will pay secured
creditors $1,130,000.00 leaving $70,000.00 in cash to pay any
administrative claims. The Debtor's administrative claims are
estimated to be around $70,000.00 on the Effective Date, therefore
this aspect of the Plan's feasibility is satisfied.
A full-text copy of the Disclosure Statement dated May 27, 2021, is
available at https://bit.ly/3yVNRSt from PacerMonitor.com at no
charge.
Counsel for the Debtor:
RoseAnn Frazee, Esq.
Frazee Law Group
155 North Lake Avenue, 8th Floor
Pasadena, CA 91101
Telephone: (626) 993-6690
Facsimile: (626) 993-6690
E-mail: roseann@frazeelawgroup.com
About Queen City Rehabs and Renovations
Queen City Rehabs and Renovations LLC, a Van Nuys, California-based
company that is engaged in activities related to real estate,
sought Chapter 11 protection (Bankr. C.D. Cal. Case No. 20-12110)
on Nov. 27, 2020. Dayo Beverly, president and managing member,
signed the petition. At the time of the filing, the Debtor
disclosed $1 million to $10 million in both assets and liabilities.
RoseAnn Frazee, Esq., at Frazee Law Group serves as the Debtor's
bankruptcy counsel.
RABUN MANOR: Seeks Cash Collateral Access
-----------------------------------------
Rabun Manor Resort, LLC asks the U.S. Bankruptcy Court for the
Northern District of Georgia, Gainsville Division, for authority to
use cash collateral and provide adequate protection.
Rabun Manor says it has an immediate need to use cash collateral to
pay for critical operating expenses prior to the scheduling of a
final hearing on the request.
All the assets of the Debtor are pledged to First Citizens Bank &
Trust Company under a Promissory Note Agreement dated February 15,
2019, in the original principal amount of $675,000 and a Security
Deed dated February 15, 2019, pledging the Debtor's bed & breakfast
and restaurant facility as collateral for the Note.
The Lender asserts liens upon and security interests against all
assets of the Debtor, including accounts receivable owned by the
Debtor, and the proceeds thereof, and against Debtor's inventory,
equipment and fixtures.
As adequate protection for any interest the Lender may have in cash
collateral, the Debtor proposes:
A. granting the Lender a security interest in and lien upon
the Debtor's post-petition accounts receivable and proceeds to the
same extent and priority as its pre-petition lien and interest in
its pre-petition collateral;
B. continuing the lien and security interest held by the
Lender in its pre-petition Collateral; and
C. filing monthly operating reports.
A copy of Rabun Manor's motion is available at
https://bit.ly/3fAzoUn from PacerMonitor.com.
About Rabun Manor Resort, LLC
Rabun Manor Resort, LLC owns and operates a bed & breakfast and
150-seat restaurant facility located at 205 Carolina Street,
Dillard, GA 30537.
Rabun Manor Resort's manager is David Okun, who owns a 50% equity
interest in the Debtor. Mr. Okun has over 22 years of experience in
the hospitality business.
Rabun Manor Resort sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. N.D. Ga. Case No. 21-20596) on May 31,
2021. In the petition signed by Mr. Okun, manager, the Debtor
disclosed up to $10 million in both assets and liabilities.
Theodore N. Stapleton serves as the Debtor's counsel.
REGENTS COURT: Involuntary Chapter 11 Case Summary
--------------------------------------------------
Alleged Debtor: Regents Court Investors, LLC
6301 Ashcroft Drive
Houston, TX 77081
Involuntary Chapter
11 Petition Date: May 31, 2021
Court: United States Bankruptcy Court
Southern District of Texas
Case No.: 21-31802
Judge: Hon. Jeffrey P. Norman
Petitioners' Counsel: Leonard H. Simon, Esq.
PENDERGRAFT & SIMON, LLP
2777 Allen Parkway, Suite 800
Houston, TX 77019
Tel: 713-528-8555
Email: lsimon@pendergraftsimon.com
A full-text copy of the Involuntary Petition is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/Q66ZAQI/Regents_Court_Investors_LLC__txsbke-21-31802__0001.0.pdf?mcid=tGE4TAMA
Alleged creditors who signed the petition:
Petitioners Nature of Claim Claim Amount
----------- --------------- ------------
Meredith Capital Corporation Unsecured $98,000
10220 Memorial Drive, No 63 Advances
Houston, TX 77024
David William Hall Architecture Services $11,000
7622 jBetty Jane Lane Provided
Houston, TX 77055
Benchmark Engineering Services $336,127
2401 Fountainview Drive, Suite 500 Provided
Houston, TX 77057
RICHARD DALE: Lisa Holder Named Subchapter V Trustee
----------------------------------------------------
Tracy Hope Davis, United States Trustee for Region 17, appointed
Lisa Holder as Subchapter V Trustee for Richard Dale Lincoln
Business Trust on May 25, 2021.
Ms. Holder anticipates to be compensated at $300 per hour for her
services, in addition to seeking reimbursement for related expenses
incurred. Ms. Holder asserted that is a disinterested person
within the meaning of Section 101(14) of the Bankruptcy Code.
A copy of the appointment is available for free at
https://bit.ly/2SPGzz1 from PacerMonitor.com.
Ms. Holder's contact information is:
Lisa Holder
3710 Earnhardt Dr.
Bakersfield, CA 93306
Telephone: 661-205-2385
Email: Lholder@Lnhpc.com
About Richard Dale Lincoln Business Trust
Richard Dale Lincoln Business Trust, with principal place of
business at 2005 NW Columbia Summit Dr., in Camas, Washington,
filed a voluntary petition under Subchapter V of Chapter 11 of the
Bankruptcy Code (Bankr. E.D. Cal. Case No. 21-11300) on May 21,
2021.
In the petition signed by Richard Dale Lincoln, trustee, the Debtor
estimated assets between $1,000,001 and $10,0000 and liabilities
between $500,001 and $1,000,000.
Judge Rene Lastreto II is assigned to the case.
ROI INDUSTRIES: Gets OK to Hire Nelson & Company as Accountant
--------------------------------------------------------------
ROI Industries Group, Inc., received approval from the U.S.
Bankruptcy Court for the Middle District of North Carolina to hire
Nelson & Company, PA as its accountant.
The Debtor requires an accountant to assist in the preparation of
tax returns and provide accounting assistance to its other
professionals as and when requested.
Nelson & Company will be paid at its customary hourly rates and
reimbursed for work-related expenses incurred.
As disclosed in court filings, Nelson & Company is "disinterested"
within the meaning of Section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Lehman B. Pollard
Nelson & Company, PA
3603 University Drive
Durham, NC 27707
Phone: 919-490-8585
Fax: 919-490-8591
Email: lee.pollard@nelsonandcompany.com
About ROI Industries Group
ROI Industries Group, Inc. sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. M.D.N.C. Case No. 21-80134) on April 7,
2021. At the time of the filing, the Debtor disclosed total assets
of up to $500,000 and total liabilities of up to $1 million. Judge
Benjamin A. Kahn oversees the case.
Northern Blue, LLP and Nelson & Company, PA serve as the Debtor's
legal counsel and accountant, respectively.
SRI VARI: Wins Access to Cash Collateral Thru June 15
-----------------------------------------------------
Judge J. Craig Whitley authorized Sri Vari CRE Development, LLC to
continue using cash collateral on an interim basis, pursuant to the
approved budget, through 11:59 p.m. on June 15, 2021, the date of
the continued hearing on the Debtor's cash collateral motion. M2
Steele Creek CY LLC, a secured creditor of the Debtor, has agreed
to the Debtor's use of the cash collateral.
Judge Whitley directed the Debtor to pay A Plus Services of the
Carolinas, Inc. a security deposit of $4,103 with respect to its
postpetition services, provided that A Plus shall not apply the
deposit to any amounts that may be owed to it by the Debtor except
upon further Court order.
The June 15 cash collateral hearing is set for 9:30 a.m. in the
United States Bankruptcy Court, Charles Jonas Federal Building,
Courtroom 2B, 401 West Trade Street, in Charlotte, North Carolina.
A copy of the order is available for free at https://bit.ly/2S2MS24
from PacerMonitor.com.
About Sri Vari CRE Development
Sri Vari CRE Development, LLC is a limited liability company formed
in 2017 under the laws of the State of North Carolina. The company
owns and operates the Courtyard by Marriott branded hotel located
at 8536 Outlets Boulevard in Charlotte, N.C.
Sri Vari CRE Development sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. W.D.N.C. Case. No. 21-30250) on April 29,
2021. In the petition signed by Anuj N. Mittal, manager, the Debtor
disclosed up to $50 million in assets and up to $10 million in
liabilities. Judge Laura T. Beyer oversees the case. The Debtor
tapped Richard S. Wright, Esq., at Moon Wright & Houston, PLLC, as
legal counsel and Greerwalker, LLP as financial advisor.
SWITCH LTD: Moody's Confirms 'Ba3' CFR & Alters Outlook to Stable
-----------------------------------------------------------------
Moody's Investors Service has confirmed Switch, Ltd.'s Ba3
corporate family rating and maintained the company's SGL-2
speculative grade liquidity rating based on the expectation that
improved portfolio market and tenant diversity following the fully
levered acquisition of Data Foundry Inc. will offset the moderate
deterioration in its leverage and coverage metrics, both on a
Moody's adjusted basis. Moody's has also confirmed the Ba1 rating
on Switch's senior secured credit facility, comprised of a $500
million revolver and $400 million term loan, and the B1 rating on
the company's $600 million of unsecured notes. These actions
conclude Moody's review of these ratings initiated on May 3, 2021,
which was precipitated by the company's plan to acquire Data
Foundry, a privately-held operator of four data centers in Austin
and Houston markets, for $420 million utilizing all debt financing
under a to-be-disclosed financing structure.
The stable outlook incorporates Moody's expectation that the
company's future growth and cash flow deficits will be prudently
funded and that dividend payouts will remain modest.
Outlook Actions:
Issuer: Switch, Ltd.
Outlook, Changed To Stable From Rating Under Review
Confirmations:
Issuer: Switch, Ltd.
Corporate Family Rating, Confirmed at Ba3
Senior Secured Bank Credit Facility, Confirmed at Ba1
Senior Unsecured Regular Bond/Debenture, Confirmed at B1
Withdrawals:
Issuer: Switch, Ltd.
Probability of Default Rating, Withdrawn , previously rated
Ba3-PD
RATINGS RATIONALE
Switch's Ba3 CFR reflects its strong growth profile and bookings
trends, contracted recurring revenue, low churn, efficient capital
investment and the company's market position as a leading retail
data center operator and landlord and interconnection services
provider. The company's rating is also supported by its patent
protected technology, innovative data center design concepts and
value proposition that differentiates it from competitors.
The company's planned acquisition of Data Foundry adds geographic
diversity, over 400 additional customers, and provides for value
creation through meaningful future growth potential and operating
cost synergies. These factors are offset by the company's moderate
scale, moderately higher leverage due to its debt-financed
acquisition plans, and potential for integration risk given that
Data Foundry is its first acquisition. Moody's expects Switch's
2022 leverage and coverage metrics, both on a Moody's adjusted
basis, to be meaningfully weaker than pre-transaction levels due to
the all-debt acquisition financing plan.
Moody's has maintained an SGL-2 speculative grade liquidity rating
on Switch primarily supported by its cash balances and $500 million
revolver despite expectations of continued negative free cash flow
over the next 12 months. As of March 31, 2021, the company had $500
million of available borrowing capacity under its revolving credit
facility, net of outstanding letters of credit, and $38.9 million
of balance sheet cash. Moody's anticipates the company will rely on
its cash balances and utilize its revolver to finance cash flow
deficits over the next 12-18 months. Moody's expects capital
spending to remain high in the $350 million to $375 million range
in 2021 and 2022 and estimates that maintenance capital spending
will remain low. However, Moody's notes that if liquidity becomes
strained, Switch can pull back on current or future growth-based
capital spending.
The stable outlook reflects Moody's view that Switch will grow
revenue and EBITDA while maintaining adequate liquidity. The
outlook also incorporates Moody's expectation that the dividend
rate will remain at about the current level. Moody's notes that
given Switch's current sizable owned portfolio of data center
assets and likely future trends in its portfolio customer mix, the
company will now be analyzed under the REITs and Other Commercial
Real Estate Firms methodology (the Communications Infrastructure
Industry methodology had been used previously).
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The rating drivers for Switch reflect the quality of the company's
large owned data center portfolio including assets associated with
the planned acquisition of Data Foundry.
Moody's could upgrade Switch's ratings following continued strong
bookings trends and steady revenue and EBITDA growth execution in
both new and existing markets. Other key considerations would be an
unencumbered asset ratio of at least 30% and higher EBITDA
margins.
The rating could be downgraded if liquidity deteriorates or if
leverage is sustained above 6.5x or if secured leverage exceeds 30%
both on a Moody's adjusted basis. Also, the ratings could face
pressure if the company pursues large leveraged acquisitions or
engages in shareholder friendly activity that pressures its credit
metrics or liquidity.
The principal methodology used in these ratings was REITs and Other
Commercial Real Estate Firms published in September 2018.
Switch, Ltd. provides colocation space and related services to
global enterprises, financial companies, government agencies and
others that conduct critical business on the internet. Switch also
licenses its intellectual property to data center equipment
manufacturers. The company operated 12 data centers across four
campuses as of March 31, 2021.
SYRACUSE INDUSTRIAL: Moody's Lowers 2007/2016 PILOT Bonds to Caa1
-----------------------------------------------------------------
Moody's Investors Service has downgraded to Caa1 from B3 the rating
on Syracuse Industrial Development Agency, NY's (SIDA) Carousel
Center Project, NY's PILOT Revenue Bonds Series 2007B, Series
2016A, and Series 2016B. The outlook is negative.
These actions conclude the review for downgrade that was initiated
on March 5, 2021.
Downgrades:
Issuer: Syracuse Industrial Development Agency, NY
Senior Unsecured Revenue Bonds, Downgraded to Caa1 from B3
Underlying Senior Unsecured Revenue Bonds, Downgraded to Caa1 from
B3
RATINGS RATIONALE
The downgrade to Caa1 reflects the rising default risk following
the public announcement that Carousel Center Company L.P. has hired
a restructuring agent and counsel and is actively engaging its
lenders, including some PILOT bondholders and the PILOT bond
trustee, with an unknown restructuring proposal. This disclosure
when coupled with the financial stress, high leverage, and
significant pandemic-related tenant loss at the Carousel Center
indicate a higher likelihood of a default occurring in the form of
a debt restructuring, distressed exchange transaction or a
bankruptcy filing. Because of lower valuations for shopping malls,
including the Carousel Center, there is a higher likelihood that
the PILOT bonds could be impaired should one of these events occur.
While the PILOT bonds have strong protections, in extreme cases
like a bankruptcy, the PILOT bondholders could be impaired if the
PILOT agreement is rejected or if some unforeseen action occurred
in that proceeding as there is no legal precedent for what will
happen to the PILOT bonds in a bankruptcy. For example, the
property tax generation potential of the legacy Carousel Center is
arguably lower than the PILOT payments given the below 60%
occupancy rates now compared to above 80% before the pandemic.
The rapid decline in occupancy in the legacy Carousel Center
portion of the Destiny USA mall has also reduced the publicly
reported asset's value that is materially lower than the PILOT
bonds and the subordinate CMBS loans outstanding. This very low
recent valuation draws into question the ability of the pledged
collateral to support the outstanding CMBS loan at its current
level and if the CMBS loan servicer (Wells Fargo) will extend the
maturity when the loan matures on June 6, 2022 per the Standstill
Agreement. Moody's understand that the CMBS loan servicer has given
no indication that they will not advance liquidity from the
available liquid reserves per the Standstill Agreement until the
loan's maturity date. However, the loan servicer is reportedly the
one that requested the new valuation, which could indicate a lower
willingness to extend the loan maturity when it comes due next
year. The borrower for the CMBS loan is Carousel Center Company
L.P., the same obligor of the PILOT revenue bonds, which exposes
the PILOT bonds to the broader credit stress of the borrower and a
bankruptcy filing if the CMBS loan maturity due next year is not
extended.
The Carousel Center is beginning to see foot traffic improve to
about 80% of pre-pandemic levels, indicating that recovery to
pre-pandemic levels is possible over time, especially since the
movie theater and entertainment offerings still have capacity
limits and the Canadian border remains closed to discretionary
travel. That being said, there is significant uncertainty as to
whether the Carousel Center can reach previous occupancy levels
above 80% given the currently low level and difficult market for
new retail tenants. With below 60% occupancy levels, the mall's
market position has also weakened and with the loss of several
anchors and large box stores, the overall impact is larger than
losing the smaller in-line tenants. The Carousel Center does have a
couple of new sizeable tenants opening in the near term that will
replace some of the larger spaces and negotiations continue with
other new and existing tenants as well. The accelerated transition
to online shopping during the pandemic constrains the ability to
attract more retailors and may result in the need to convert to new
offerings to drive foot traffic.
The rating acknowledges the cash-funded $31 million PILOT bond debt
service reserve fund (DSRF) held under a guaranteed investment
contract as compared to the $22 million of debt service due in
2021, providing liquidity before a PILOT bond payment default would
occur. Moody's also understand that the PILOT debt service account
continues to be funded on a monthly basis as required under the
indenture. This liquidity reduces the likelihood of a payment
default on the PILOT bonds but does not insulate the bondholders
from the broader credit stress on the mall that will remain
pressured for several years.
OUTLOOK
The negative outlook reflects the increased default risk
uncertainty as Moody's understand that restructuring talks are
currently ongoing, the mall's cashflows remain weak owing to a
rapid decline in occupancy and the subordinate CMBS loan matures in
June 6, 2022. The negative outlook reflects the challenging
business environment the mall must navigate in the near and
long-term, especially given the uncertainty about the future
operating environment for brick and mortar retail that was already
challenged before the pandemic.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Factors that could lead to an Upgrade
- While a rating upgrade is unlikely at this time, the rating or
outlook could be changed to stable if the mall successfully
refinances its pending CMBS debt maturities outside of a bankruptcy
and adds new tenants sufficient to notably improve NOI on a
sustained basis
- Material reduction in debt
Factors that could lead to a Downgrade
- Bankruptcy filing by the issuer or insolvency action taken by
the issuer's creditors
- Continued loss of tenants and NOI
- Decline in tax rates collected from tenants below scheduled SIDA
PILOT payment increases
- Use of the PILOT debt service reserve fund (DSRF)
LEGAL SECURITY
The PILOT bonds are special obligations of SIDA, secured solely by
the trust estate and funds held by the bond trustee pledged to
secure the bonds, including scheduled PILOT payments for the
existing Carousel Center (pursuant to a PILOT agreement between the
Carousel Center owner and SIDA). The PILOT bonds are senior to the
subordinate $300 million CMBS loan except under an unlikely
casualty, condemnation, or eminent domain scenario. A cash-funded
debt service reserve fund (DSRF) held under a guaranteed investment
contract at $30.9 million satisfies the DSRF requirement of 125% of
average annual debt service.
OBLIGOR PROFILE
Carousel Center Company, L.P. is a New York limited partnership and
a single purpose entity with the sole purpose of owning and
operating the Carousel Center. Syracuse Industrial Development
Agency, NY (SIDA) is a public benefit corporation established to
enhance the city's economic development, and has acted as the
financing conduit by issuing the bonds on behalf of the Carousel
Center Company, L.P.
METHODOLOGY
The principal methodology used in these ratings was Generic Project
Finance Methodology published in November 2019.
TCNR LLC: Cases Dismissed, Bid to Disallow Cash Access Moot
-----------------------------------------------------------
The U.S. Bankruptcy Court for the District of Massachusetts denied
as moot the motions of creditor Newmarket Triangle, LLC which
sought to prohibit each of Debtors TCNR, LLC and LRNCT, LLC from
using cash collateral.
The Bankruptcy Court dismissed the Debtors' cases on June 2, 2021,
at the behest of Newmarket Triangle. Newmarket had said the
Debtors' cases should either be dismissed or converted to cases
under Chapter 7.
About TCNR, LLC and LRNCT, LLC
TCNR, LLC and LRNCT, LLC are engaged in non-residential building
construction. TCNR and LRNCT filed voluntary petitions for relief
under Chapter 11 of the Bankruptcy Code (Bankr. D. Mass. Case Nos.
21-10310 and 21-10311). Nicholas Heras, Jr., manager and member,
signed the petitions. At the time of the filing, the Debtors each
had between $10 million and $50 million in both assets and
liabilities.
Judge Janet E. Bostwick presides over the cases.
TCNR and LRNCT are represented by Morrissey Wilson & Zafiropoulos,
LLP and John M. McAuliffe & Associates, P.C., respectively.
VALLEY FARM: Seeks Approval of Cash Stipulation with CBSM, SABR
---------------------------------------------------------------
Valley Farm Supply, Inc. asked the Bankruptcy Court to approve the
stipulation it entered into with secured creditors Community Bank
of Santa Maria (CBSM) and Simplot AB Retail, Inc. (SABR) concerning
the use of cash collateral.
Before the Petition Date, the Debtor borrowed from CBSM $1,250,000
under a revolving line of credit, evidenced by a promissory note.
The Debtor conveyed to CBSM a security interest in all of its
personal property assets by executing the Security Stipulation
dated January 30, 2008. CBSM timely perfected its interest in the
prepetition collateral by a UCC-1 Financing Statement. The
Debtor's principals and the Compton Family Trust executed
guarantees on the revolving line of credit in March 2011.
In or around May and June 2015, a portion of the Revolving Line was
converted into a term loan between the Debtor and CBSM, as
evidenced by promissory note dated May 15, 2015 for $1,000,000.
The term loan was renewed on November 15, 2019 for $300,000 and
continues to be secured by the prepetition collateral. The term
loan matures on May 15, 2022.
The Debtor's obligation to Creditor SABR is also secured by the
prepetition collateral.
Since the Petition Date, the parties have entered into a first, a
second and a third stipulation. The Debtor is seeking approval of
a fourth stipulation, which provides that:
* CBSM and SABR consent to the Debtor's use of the cash
collateral in the amounts set forth in the budget, and may not
exceed spending on any line item by more than 10% without the
written consent of CBSM and SABR;
* As adequate protection to CBSM and SABR and in exchange for
the Debtor's use of cash collateral, the Debtor, to the extent of
any diminution of value of the prepetition collateral, agrees to:
* pay CBSM on the 15th of each month the regular monthly
principal and/or interest payment on the prepetition loans at the
non-default rate;
* grant CBSM and SABR, respectively, first priority and second
priority replacement security interests in and liens on cash and
cash equivalents acquired after the Petition Date;
* grant CBSM and SABR, respectively first priority and second
priority security interests in and liens on cause of action on
account of collateral encumbered by the postpetition security
interest and liens in favor of CBSM and SABR granted in the
Stipulation;
* in the event adequate protection does not provide CBSM and
SABR with protection for the diminution of value of the prepetition
collateral, CBSM and SABR will be granted super priority claims to
the extent of diminution of the value of the prepetition
collateral.
The parties agree that the Stipulation becomes effective upon entry
of the related Court order until 11:59 p.m. on the 90th day
thereafter.
A copy of the Stipulation is available for free at
https://bit.ly/2TAjHEh from PacerMonitor.com.
About Valley Farm Supply
Valley Farm Supply, Inc., a wholesaler of farm product raw
materials based in Nipomo, California, filed its voluntary petition
for relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D.
Cal. Case No. 20-11072) on Sept. 2, 2020. The petition was signed
by Peter Compton, president. At the time of filing, the Debtor
disclosed total assets of $3,711,542 and total liabilities of
$8,460,250.
Judge Deborah J. Saltzman oversees the case.
The Debtor tapped Beall & Burkhardt, APC, as counsel; Terence J.
Long as restructuring consultant; and McDermott & Apkarian, LLP as
accountant.
Community Bank of Santa Maria, as secured creditor, is represented
by Sandra K. McBeth, Esq.
Simplot AB Retail, Inc., as secured creditor, is represented by
Hagop T. Bedoyan, Esq.
WHITE STALLION: Gets Court Okay to Start Bankruptcy Sale Process
----------------------------------------------------------------
Alex Wolf of Bloomberg Law reports that White Stallion Energy LLC
won court approval to launch a bankruptcy auction process,
advancing efforts to sell substantially all of the coal company's
assets in just one month.
The Evansville, Ind.-based company hopes to land a deal and return
to court for sale approval by July 1, 2021, according to its
bidding procedures that were approved by Judge Laurie Selber
Silverstein of the U.S. Bankruptcy Court for the District of
Delaware during a virtual hearing Tuesday, June 1, 2021.
The company said its access to cash runs out on July 2, 2021.
About White Stallion Energy
White Stallion Energy, LLC, was founded in February 2010 for the
purpose of developing and operating surface mining complexes in
Indiana and Illinois and subsequently grew through a series of
strategic acquisitions. It operates six high-quality, low-cost
thermal surface mines in Indiana and Illinois with approximately
200 million tons of demonstrated reserves.
On Dec. 2, 2020, White Stallion Energy and 18 affiliated debtors
each filed a voluntary petition for relief under Chapter 11 of the
Bankruptcy Code (Bankr. D. Del. Lead Case No. 20-13037) on Dec. 2,
2020. White Stallion and its affiliates reported between $100
million and $500 million in assets and liabilities. On Jan. 26,
2021, Eagle River Coal, LLC filed a voluntary Chapter 11 petition.
Eagle River is seeking for its case to be jointly administered with
the Initial Debtors' cases.
The Hon. Laurie Selber Silverstein is the case judge.
The Debtors tapped Paul Hastings LLP as bankruptcy counsel, Young
Conaway Stargatt & Taylor, LLP as local counsel, and FTI
Consulting, Inc., as financial advisor. Prime Clerk LLC is the
claims agent and administrative advisor.
The U.S. Trustee for Region 3 appointed an official committee to
represent unsecured creditors in the Debtors' cases. The committee
tapped Cooley LLP as its bankruptcy counsel, Robinson & Cole LLP as
Delaware counsel, and Province LLC as financial advisor.
Riverstone Credit Management, LLC serves as DIP Agent. Its advisors
are Bailey & Glasser LLP and Simpson Thacher & Bartlett LLP.
[^] Recent Small-Dollar & Individual Chapter 11 Filings
-------------------------------------------------------
In re Don Kojima and Susan Kojima
Bankr. C.D. Cal. Case No. 21-11352
Chapter 11 Petition filed May 26, 2021
represented by: Richard Golubow, Esq.
In re Malachi Paving & Grading Inc.
Bankr. N.D. Cal. Case No. 21-40721
Chapter 11 Petition filed May 26, 2021
See
https://www.pacermonitor.com/view/VX7UPRY/Malachi_Paving__Grading_Inc__canbke-21-40721__0001.0.pdf?mcid=tGE4TAMA
represented by: Marc Voisenat, Esq.
LAW OFFICE OF MARC VOISENAT
E-mail: voisenat@gmail.com
In re Thomas E. Beeson and Donna L. Beeson
Bankr. N.D. Ill. Case No. 21-06718
Chapter 11 Petition filed May 26, 2021
represented by: Ian Fisher, Esq.
In re ONRD, Inc.
Bankr. S.D. Miss. Case No. 21-00922
Chapter 11 Petition filed May 26, 2021
See
https://www.pacermonitor.com/view/BZYPGLI/ONRD_Inc__mssbke-21-00922__0001.0.pdf?mcid=tGE4TAMA
represented by: R. Michael Bolen, Esq.
HOOD & BOLEN, PLLC
E-mail: rmb@hoodbolen.com
In re RVH Investments, Inc.
Bankr. S.D. Miss. Case No. 21-00923
Chapter 11 Petition filed May 26, 2021
See
https://www.pacermonitor.com/view/GS5JKEY/RVH_Investments_Inc__mssbke-21-00923__0001.0.pdf?mcid=tGE4TAMA
represented by: R. Michael Bolen, Esq.
HOOD & BOLEN, PLLC
E-mail: rmb@hoodbolen.com
In re Gennady Vinogradov
Bankr. E.D.N.Y. Case No. 21-41433
Chapter 11 Petition filed May 26, 2021
represented by: Alla Kachan, Esq.
In re WSCE Corp
Bankr. M.D. Pa. Case No. 21-01194
Chapter 11 Petition filed May 26, 2021
See
https://www.pacermonitor.com/view/6F25USQ/WSCE_Corp__pambke-21-01194__0001.0.pdf?mcid=tGE4TAMA
represented by: To be determined
In re Christopher Lee Weatherford
Bankr. N.D. Tex. Case No. 21-30975
Chapter 11 Petition filed May 26, 2021
represented by: Joyce Lindauer, Esq.
In re Mammoth Slate Company Inc.
Bankr. D. Vt. Case No. 21-10115
Chapter 11 Petition filed May 26, 2021
See
https://www.pacermonitor.com/view/YCM5L4A/Mammoth_Slate_Company_Inc__vtbke-21-10115__0001.0.pdf?mcid=tGE4TAMA
Filed Pro Se
In re John Gregory Vogel
Bankr. D. Ariz. Case No. 21-04140
Chapter 11 Petition filed May 27, 2021
represented by: Daniel J. Rylander, Esq.
THOMPSON LAW GROUP, PC
In re Alex A. Khadavi
Bankr. C.D. Cal. Case No. 21-14449
Chapter 11 Petition filed May 27, 2021
See
https://www.pacermonitor.com/view/JCPU25Q/Alex_A_Khadavi__cacbke-21-14449__0001.0.pdf?mcid=tGE4TAMA
represented by: Michael Berger, Esq.
LAW OFFICES OF MICHAEL JAY BERGER
Email: michael.berger@bankruptcypower.com
In re Alex A. Khadavi
Bankr. C.D. Cal. Case No. 21-14449
Chapter 11 Petition filed May 27, 2021
See
https://www.pacermonitor.com/view/JCPU25Q/Alex_A_Khadavi__cacbke-21-14449__0001.0.pdf?mcid=tGE4TAMA
represented by: Michael Jay Berger, Esq.
LAW OFFICES OF MICHAEL JAY BERGER
E-mail: michael.berger@bankruptcy power.com
In re Craig A. Lapiner
Bankr. C.D. Cal. Case No. 21-10962
Chapter 11 Petition filed May 27, 2021
represented by: Thomas Ure, Esq.
In re Conategi, LLC
Bankr. S.D. Fla. Case No. 21-15212
Chapter 11 Petition filed May 27, 2021
See
https://www.pacermonitor.com/view/WMSWDHY/Conategi_LLC__flsbke-21-15212__0001.0.pdf?mcid=tGE4TAMA
represented by: Chad Van Horn, Esq.
VAN HORN LAW GROUP, P.A.
E-mail: chad@cvhlawgroup.com
In re John Joseph Popolizio and Elly Nacinovic
Bankr. D.N.J. Case No. 21-14454
Chapter 11 Petition filed May 27, 2021
represented by: Brian Hannon, Esq.
NORGAARD, O'BOYLE & HANNON
In re Joseph Mezzina
Bankr. D.N.J. Case No. 21-14458
Chapter 11 Petition filed May 27, 2021
represented by: Andrew L. Miller, Esq.
In re All Wheel Drive Tuning, Inc.
Bankr. E.D. Tex. Case No. 21-40790
Chapter 11 Petition filed May 27, 2021
See
https://www.pacermonitor.com/view/JQS33JQ/All_Wheel_Drive_Tuning_Inc__txebke-21-40790__0001.0.pdf?mcid=tGE4TAMA
represented by: Susan B. Hersh, Esq.
SUSAN B. HERSH, P.C.
E-mail: Susan@susanbhershpc.com
In re Frank Troy Zellers and Michelle Patricia Zellers
Bankr. D. Alaska Case No. 21-00105
Chapter 11 Petition filed May 28, 2021
In re Scott Tarnol and Amanda Tarnol
Bankr. C.D. Cal. Case No. 21-10978
Chapter 11 Petition filed May 28, 2021
represented by: Michael Jones, Esq.
In re Genesis Weight Loss Centers, LLC
Bankr. M.D. Fla. Case No. 21-02820
Chapter 11 Petition filed May 28, 2021
See
https://www.pacermonitor.com/view/DWBMCMI/Genesis_Weight_Loss_Centers_LLC__flmbke-21-02820__0001.0.pdf?mcid=tGE4TAMA
represented by: Daniel Etlinger, Esq.
DAVID JENNIS, PA DBA JENNIS MORSE
ETLINGER
E-mail: ecf@JennisLaw.com
In re Bradley Allen Page
Bankr. N.D. Ga. Case No. 21-20588
Chapter 11 Petition filed May 28, 2021
represented by: William A. Rountree, Esq.
ROUNTREE LEITMAN & KLEIN, LLC
In re Eddie Joseph Tucker
Bankr. D. Kan. Case No. 21-10497
Chapter 11 Petition filed May 28, 2021
represented by: Mark J. Lazzo, Esq.
Justin T. Balbierz, Esq.
In re Kelley J Pierce and Paula M Pierce
Bankr. D. Maine Case No. 21-10161
Chapter 11 Petition filed May 28, 2021
represented by: Christopher J. Keach, Esq.
MOLLEUR LAW OFFICE
In re Frantz P. Monestime, Jr. and Cristin Erin Monestime
Bankr. D. Mass. Case No. 21-10785
Chapter 11 Petition filed May 28, 2021
represented by: David Madoff, Esq.
MADOFF & KHOURY LLP
E-mail: madoff@mandkllp.com
In re Malcolm Mark Mathis
Bankr. S.D. Miss. Case No. 21-50642
Chapter 11 Petition filed May 28, 2021
See
https://www.pacermonitor.com/view/K5J6XNA/MALCOLM_MARK_MATHIS__mssbke-21-50642__0001.0.pdf?mcid=tGE4TAMA
represented by: Douglas Engell, Esq.
DOUG ENGELL
E-mail: dengell@dougengell.com
In re Yoel M. Bacallao
Bankr. S.D. Miss. Case No. 21-00938
Chapter 11 Petition filed May 28, 2021
See
https://www.pacermonitor.com/view/FTKERKQ/Yoel_M_Bacallao__mssbke-21-00938__0001.0.pdf?mcid=tGE4TAMA
represented by: R. Michael Bolen, Esq.
HOOD & BOLEN, PLLC
E-mail: rmb@hoodbolen.com
In re Dean R. Mon
Bankr. D.N.J. Case No. 21-14511
Chapter 11 Petition filed May 28, 2021
represented by: Richard Trenk, Esq.
TRENK ISABEL P.C.
E-mail: rtrenk@trenkisabel.law
In re Juan Gabriel Reyes Viruet
Bankr. D.P.R. Case No. 21-01691
Chapter 11 Petition filed May 28, 2021
represented by: Juan Batista Sanchez, Esq.
In re Vieques FO & G, Inc.
Bankr. D.P.R. Case No. 21-01688
Chapter 11 Petition filed May 28, 2021
See
https://www.pacermonitor.com/view/4ERA3WI/VIEQUES_FO__G_INC__prbke-21-01688__0001.0.pdf?mcid=tGE4TAMA
represented by: Rafael A. Gonzalez Valiente, Esq.
GODREAU & GONZALEZ LAW
E-mail: rgv@g-glawpr.com
In re Vansh N Moksh, Inc.
Bankr. E.D. Tex. Case No. 21-40809
Chapter 11 Petition filed May 28, 2021
See
https://www.pacermonitor.com/view/2YKPATQ/Vansh_N_Moksh_Inc__txebke-21-40809__0001.0.pdf?mcid=tGE4TAMA
represented by: Eric A. Liepins, Esq.
ERIC A. LIEPINS
E-mail: eric@ealpc.com
In re Milton Duane Keele
Bankr. W.D. Tex. Case No. 21-10431
Chapter 11 Petition filed May 28, 2021
represented by: Jerome Brown, Esq.
In re Conida Elma Cyrus
Bankr. D. Ore. Case No. 21-31265
Chapter 11 Petition filed May 31, 2021
represented by: Timothy Solomon, Esq.
In re Mary Brenna Rylee
Bankr. W.D. Tex. Case No. 21-10436
Chapter 11 Petition filed May 31, 2021
represented by: Jameson Watts, Esq.
In re Original Riverfront RV Park, LLC
Bankr. S.D. Tex. Case No. 21-60054
Chapter 11 Petition filed May 31, 2021
See
https://www.pacermonitor.com/view/LBGNUUY/Original_Riverfront_RV_Park_LLC__txsbke-21-60054__0001.0.pdf?mcid=tGE4TAMA
represented by: Susan Tran Adams, Esq.
TRAN SINGH, LLP
E-mail: stran@ts-llp.com
In re Leopoldo R Vasquez III
Bankr. S.D. Tex. Case No. 21-31789
Chapter 11 Petition filed May 31, 2021
represented by: Alan Gerger, Esq.
In re Freight-Base Customs Brokers, Inc.
Bankr. N.D. Ill. Case No. 21-06991
Chapter 11 Petition filed June 1, 2021
See
https://www.pacermonitor.com/view/7QCVGLY/Freight-Base_Customs_Brokers_Inc__ilnbke-21-06991__0001.0.pdf?mcid=tGE4TAMA
represented by: Timothy M. Hughes, Esq.
LAVELLE LAW, LTD.
E-mail: thughes@lavellelaw.com
In re Freight-Base Services, Inc.
Bankr. N.D. Ill. Case No. 21-06990
Chapter 11 Petition filed June 1, 2021
See
https://www.pacermonitor.com/view/7K7V64Y/Freight-Base_Services_Inc__ilnbke-21-06990__0001.0.pdf?mcid=tGE4TAMA
represented by: Timothy M. Hughes, Esq.
LAVELLE LAW, LTD.
E-mail: thughes@lavellelaw.com
In re Joseph R. Reisinger
Bankr. M.D. Pa. Case No. 21-01257
Chapter 11 Petition filed June 1, 2021
represented by: Patricia Ratchford, Esq.
In re Ricky Joe Palasota
Bankr. W.D. Tex. Case No. 21-60248
Chapter 11 Petition filed June 1, 2021
represented by: Maxine McGee, 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
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public debt and equity securities about which we report.
Each Tuesday edition of the TCR contains a list of companies with
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than a balance sheet solvency test.
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liabilities delivered to nation's bankruptcy courts. The list
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TCR subscribers have free access to our on-line news archive.
Point your Web browser to http://TCRresources.bankrupt.com/and use
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