/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/250224.mbx T R O U B L E D C O M P A N Y R E P O R T E R Monday, February 24, 2025, Vol. 29, No. 54 Headlines 10831 PHELAN BLVD: Case Summary & 20 Largest Unsecured Creditors 10964 TWIN CITY: Case Summary & 20 Largest Unsecured Creditors 11 UM FOOD: Files Subchapter V Bankruptcy in New York 13514 S LHS DR: Case Summary & 20 Largest Unsecured Creditors 13730 FRONTAGE RD: Case Summary & 20 Largest Unsecured Creditors 13950 FERRY DR: Case Summary & 20 Largest Unsecured Creditors 13951 HIGHWAY 69: Case Summary & 20 Largest Unsecured Creditors 1521 V ST SE: Voluntary Chapter 11 Case Summary 1847 HOLDINGS: L1 Capital Holds 4.99% Stake as of Dec. 31 2271 WASHINGTON BLVD: Case Summary & 20 Top Unsecured Creditors 2307 GULFWAY DR: Case Summary & 20 Largest Unsecured Creditors 285 MADISON: Public Sale Auction Set for April 15 2873 LINK AVE: Case Summary & 20 Largest Unsecured Creditors 2958 HIGHWAY 365: Case Summary & 20 Largest Unsecured Creditors 301CRAINCOMMONS LLC: Hires Transwestern Carey Winston as Realtor 3252 EASTEX FWY: Case Summary & 20 Largest Unsecured Creditors 3954 N WHEELER: Case Summary & 20 Largest Unsecured Creditors 4763 N MAIN ST: Case Summary & 20 Largest Unsecured Creditors 75 ESSEX: March 25 Public Sale Auction Set ACCURIDE CORP: Plan Exclusivity Period Extended to May 7 AGEAGLE AERIAL: SEG Opportunity No Longer Holds Stake as of Dec. 31 AH LIQUIDATION: Court Affirms Enforcement of Sale Order ALCHEMY 365: Files Chapter 11 Bankruptcy in Colorado ALPHA EQUIPMENT: Ira Bodenstein Named Subchapter V Trustee ALTICE USA: Swings to $78.28 Million Net Loss in FY Ended Dec. 31 ALTISOURCE PORTFOLIO: S&P Lowers ICR to 'SD' on Distressed Exchange AMERICAN CANNABIS: Posts $636,172 Net Loss in Fiscal Q2 AMERICAN QSR: Case Summary & 20 Largest Unsecured Creditors AMERICAN QSR: Files Chapter 11 Bankruptcy in Texas AMERICAN WARRIOR: To Sell Equipment, Vehicles to M&T Excavation AMERICAN WARRIOR: To Sell Kansas Property to M&T Excavation AMSTED INDUSTRIES: S&P Rates New $400MM Sr. Unsecured Notes 'BB' AMSTERDAM HOUSE: Residents Could Suffer Major Losses in Deal ANTIGONE SKOULAS: Gina Klump Named Subchapter V Trustee APPLIED DNA: Incurs $2.7 Million Net Loss for Quarter Ended Dec. 31 APPLIED DNA: Logs $2.67 Million Net Loss in First Quarter of 2025 AUTO GLASS: Hires Richard L. Joliet CPA PLLC as Accountant AVIATION SAFETY: Liquidating Agent Hires Eric Oram as Witness AVON PRODUCTS: Natura in Talks to Sell Non-LatAm Operations BEAR COMMUNICATIONS: Court Narrows Claims in Western Surety Suit BELLEVUE HOSPITAL: Hires Frantz Ward LLP as Special Counsel BIOTRICITY INC: Reports Improved Q3 Net Loss of $1.32 Million BISHOP OF SAN DIEGO: Seeks to Extend Plan Exclusivity to June 12 BLACKBERRY LIMITED: Legal & General Group Holds 5.6% Equity Stake BONTERRA ENERGY: DBRS Finalizes B Credit Rating, Trend Stable BRIGHT LAKES: Hires KW Commercial as Real Estate Broker BROUDY GROUP: Court OKs Car Dealership Sale to G. Payne for $2.35MM BROWN FAMILY: Seeks to Hire Keck Legal LLC as Legal Counsel C AND D COMPANY: Files Chapter 11 Bankruptcy in Georgia C.I.I. INC: Jeanette McPherson Named Subchapter V Trustee CADUCEUS PHYSICIANS: Plan Exclusivity Period Extended to April 25 CANVAS SARASOTA: Aleida Martinez Molina Named Subchapter V Trustee CAPRI HOLDINGS: S&P Lowers ICR to 'BB' on Performance Pressure CBDMD INC: Incurs $985,406 Net Loss for Quarter Ended Dec. 31 CELSIUS NETWORK: Court Sustains Objection to Powers Claim CELSIUS NETWORK: Objection to Certain Proofs of Claim Sustained CELSIUS: Objection to Inaccurately Supported Claims Sustained CHAR GRILL: Jennifer Bennington Named Subchapter V Trustee CHASE CUSTOM: Awarded $218,152.90 in Damages in Zamboni Suit CINEMA MANAGEMENT: Gets OK to Use Cash Collateral Until March 4 COMANCHE COUNTY MEMORIAL HOSPITAL: S&P Affirms 'BB+' Bond Rating CORINTH AUTUMN: Stuart Walker Appointed as Chapter 11 Trustee CREATIVE REALITIES: Laurence Lytton Holds 6.3 Stake as of Dec. 31 CRYPTO COMPANY: Ups Promissory Note to $222,890 in Third Amendment D. RUSSELL THOMAS: Unsecureds to Split $10K in Subchapter V Plan DANPOWER64 LLC: Seeks Chapter 11 Bankruptcy in Massachusetts DCA OUTDOOR: Case Summary & 20 Largest Unsecured Creditors DIAMOND COMIC: Hires Getzler Henrich & Associates LLC as CRO DIAMOND COMIC: To Sell Publishing Business at Auction DIGITAL MEDIA: Plan Exclusivity Period Extended to March 10 DIGITALSPEED COMMUNICATIONS: Seeks to Hire Karalis PC as Counsel DITECH HOLDING: $21,657 Thomas Claim Disallowed DITECH HOLDING: $25,000 Cronin Claim Disallowed DOW CORNING: 6th Cir. Affirms Ruling in Korean Claimants' Suit DVC3 LLC: Hires William G. Haeberle CPA LLC as Accountant ELETSON HOLDINGS: Former Owners Get Ch. 11 Sanction Bid Reprieve ESCALON MEDICAL: Shifts to $246K Net Income in Second Quarter ESSEX REAL: Court Sets Briefing Deadlines in Pioneer Suit Appeals EVENTIDE CREDIT: Hires Coherent Economics LLC as Expert FIBERCO GENERAL: Files Subchapter V Bankruptcy in California FIRST MODE: Court Approves Adequacy of Disclosure Statement FIT FOR THE RUNWAY: Sec. 341(a) Meeting of Creditors on March 19 FLORIDA'S NATURAL: Taps CR3 Partners for Help to Enhance Business FOREVER 21: Set to Close 3 Conn. Locations Amid Bankruptcy Talks FRANCHISE GROUP: Advances Restructuring After Dismissal of Lawyers FREIRICH FOODS: Hires Iron Horse Commercial as Real Estate Agent GLOBAL TECHNOLOGIES: Posts $187K Net Income in Q2 GREENLEAF 2 CPE: Files Chapter 11 Bankruptcy in California GREENWAVE TECHNOLOGY: Joseph Reda, SEG Opportunity Hold 7.9% Stake GROOMORE INC: Moement's Bid to Lift Stay in IP Suit Granted in Part HAYDALE CERAMIC: To Sell Ceramic Materials Business at Auction HERMS LUMBER: Seeks Chapter 11 Bankruptcy in California HERTZ GLOBAL: Court Tosses Discovery's Breach of Contract Suit HIREX INC: Samuel Dawidowicz Named Subchapter V Trustee HOOTERS OF AMERICA: In Talks w/ Creditors on Possible Ch. 11 Filing HOSPITAL FOR SPECIAL: Hires Ordinary Course Professionals HUDSON 1702: Secured Party Sets April 10 Auction IDEAL PROPERTY: To Sell Sandy Property to Vortex Properties IHEARTMEDIA INC: Douglas Lane & Associates Holds 3.1% Stake IM3NY LLC: Creditors Oppose to Proposed CEO Bonus JEREMIAH PHILLIPS: Case Summary & 17 Unsecured Creditors JM GROVE: Seeks to Hire Evans & Mullinix as Legal Counsel JUNIPER ALF: Seeks Chapter 11 Bankruptcy in Florida JW REALTY: Case Summary & Three Unsecured Creditors KARMAN SPACE: S&P Assigns 'B+' ICR, Outlook Stable KING STATE: To Sell Tampa Property to Foxtail Coffee KINGSBOROUGH ATLAS: Case Summary & 20 Largest Unsecured Creditors KULR TECHNOLOGY: Teams Up With Worksport on Battery Innovation KUT AUTO: William Dennis Schilling Named Subchapter V Trustee LEFEVER MATTSON: Hires Marcus & Millichap as Real Estate Broker LEFEVER MATTSON: Taps Sotheby's International as Real Estate Broker LIFESCAN GLOBAL: Reaches Debt-Restructuring Deal with Lenders LIFT SOCIETY: Seeks Subchapter V Bankruptcy in California LPG 405 ALBERTO: Updates Unsecured Claims Details; Amends Plan MAATR CORP: DBRS Confirms 'BB' Issuer Rating, Trend Stable MARIA L. RADWANSKI: Texas First Wins Bid to Dismiss Newtek Lawsuit MBIA INC: Board OKs $10.18MM Retention Awards for Execs MCCLATCHIE PROPERTY: Hires Tavenner & Beran PLC as Counsel MCDANIEL LOGGING: Hires Wiregrass Auction Group as Appraiser MEADOWBROOK SERVICES: Seeks to Hire Elevated Tax as Accountant MEND CORRECTIONAL: Interlocutory Appeal Denied in Aery Lawsuit MERIDIAN WEIGHT: Craig Geno Named Subchapter V Trustee METATRON HEALTH: Case Summary & 20 Largest Unsecured Creditors MICHAL INTERNATIONAL: Secured Party Sets March 27 Auction MILAN SAI: Court Extends Cash Collateral Access to March 15 MMK SUBS: Taps Bernstein Shur Sawyer as Bankruptcy Counsel MOWBRAY WATERMAN: Seeks Chapter 11 Bankruptcy in California MULLEN AUTOMOTIVE: Reports Larger Net Loss of $118.8M for Q1 2025 NA RAIL: S&P Rates New Term Loan 'B', Affirms 'B-' LT ICR NAPLES ALF: Seeks Chapter 11 Bankruptcy in Florida NATIONAL EVENTS: Court Approves Wells Fargo Settlement Agreement NATIONAL EVENTS: Trustee's Bid to Amend KBT Retention Order Okayed NEDDY LLC: Case Summary & 17 Unsecured Creditors NIKOLA CORP: Begins Voluntary Chapter 11 Sale Process NIKOLA CORP: Feb. 26 Deadline Set for Panel Questionnaires NIKOLA CORP: Federal Anti-EV Moves Complicate Bankruptcy Sale NIKOLA CORP: Seeks Chapter 11 Bankruptcy, Plans to Liquidate Assets NP ELEVATE: Seeks Chapter 11 Bankruptcy in California NWFI LLC: Claims to be Paid From Disposable Income OFFICE PROPERTIES: Incurs $136.1 Million Net Loss in FY 2024 OPTINOSE INC: Stonepine Capital Holds 5.9% Equity Stake OUTFRONT MEDIA: Chief Revenue Officer Punter to Depart March 31 OUTFRONT MEDIA: The Goldman Sachs Group Holds 7% Stake P3 HEALTH: Expects 2025 Revenue of Up to $1.5 Billion PALATIN TECHNOLOGIES: Posts $2.44 Million Net Loss in Fiscal Q2 PALATIN TECHNOLOGIES: Reports Reduced Net Loss of $2.44M for Q2 PAVMED INC: Ayrton Capital, 2 Others Hold 9.9% Equity Stake PINSEEKERS DEFOREST: Seeks Chapter 11 Bankruptcy in Wisconsin POET TECHNOLOGIES: CEO Provides Business Update PORTSMOUTH SQUARE: Faces Increased Net Loss of $4.04M in Q1 2025 PROS HOLDINGS: Mariette Woestemeyer Holds 5.5% Stake as of Dec. 31 PROS HOLDINGS: RGM Capital Holds 5.37% Equity Stake PROS HOLDINGS: Ronald Woestemeyer Holds 5.5% Stake PROTEC RE HOLDING: Case Summary & 13 Unsecured Creditors PUFFCUFF LLC: Case Summary & 20 Largest Unsecured Creditors QHSLAB INC: Partners With Town Total for Digital Health Expansion QURATE RETAIL: Contrarius Investment Holds 9.1% Stake R & R TRAILERS: Thomas Richardson Named Subchapter V Trustee REBORN COFFEE: Terminates $5 Million SEPA With Yorkville RED RIVER: J&J Claims Ch. 11 Best Opportunity for Talc Recoveries RESEARCH EDUCATION: Edward Burr Named Subchapter V Trustee RHDM OIL: Case Summary & Seven Unsecured Creditors RICHMOND TELEMATICS: Seeks Subchapter V Bankruptcy in Florida RKSR INVESTMENTS: Hires Don Quick as Real Estate Broker ROBERT PAUL JOHNSON: Case Summary & Two Unsecured Creditors ROBERT PAUL: Seeks Subchapter V Bankruptcy in Alabama ROCK N CONCEPTS: Sec. 341(a) Meeting of Creditors on March 19 ROCKY MOUNTAIN: Wax Asset Management Holds 5.15% Stake RUSH INC: Matthew Brash of Newpoint Named Subchapter V Trustee SANUWAVE HEALTH: AWM Investment Holds 7.1% Equity Stake SEBASTIAN HABIB: To Sell 25 Land Parcels to TCNC Capital for $4.2MM SEBASTIAN TECH: Unsecureds Will Get 39.55% of Claims over 5 Years SELECTIS HEALTH: Sells Four Nursing Facilities for $27-Mil. SIGNAL RELIEF: Amends Unsecured Claims Pay Details SIGNIA LTD: Seeks to Extend Plan Exclusivity to June 17 SINCLAIR BROADCAST: Issues $1.43-Bil First Lien Notes in Debt Recap SINO GREEN: Needs Additional Time to File Q4 2024 Report SKY-SKAN: Savages Not Entitled to Discharges Under Sec. 727(a)(5) SKYLOCK INDUSTRIES: Plan Exclusivity Period Extended to April 24 SOLAR EXCLUSIVE: Case Summary & Seven Unsecured Creditors SOUTHERN AUTO: Court Extends Cash Collateral Access to March 10 SPEARMAN AEROSPACE: Gets OK to Use Cash Collateral Until March 14 SPIKE BODY: Trustee Taps Nicholas Recchia as Special Counsel SPIRE GLOBAL: Shares Tumble After Going-Concern Warning SPIRIT AIRLINES: Bankruptcy Court Approves Reorganization Plan SPIRIT AIRLINES: Gets Court Okay to Exit Ch. 11 via Go-Private Deal SS INNOVATIONS: Barry F. Cohen Holds 5.4% Equity Stake SS INNOVATIONS: Sudhir Srivastava, M.D. Holds 63.1% Stake STAFFING 360: Stockholders OK Merger With Atlantic International STANFORD CHOPPING: ALAC Must Face Fraudulent Transfer Lawsuit STEWART STREET: Ga. Property Not Part of Kimball Bankruptcy Estate SVB FINANCIAL: Court Sustains Objection to Certain Claims TANDEM CATERING: Hires Neeleman Law Group as Legal Counsel TEHUM CARE: US Trustee Objects to Plan Opt-Out Releases TERRAFORM LABS: Objectors Claim Ch. 11 Financial Adviser Overcharge THREE FISHERMAN: Claims to be Paid From Available Cash and Income TOG HOTELS: Seeks Chapter 11 Bankruptcy in Texas TRANSOCEAN LTD: Capital World Investors Holds 4.6% Stake TREES CORP: Troob Capital and Affiliates Report Equity Stake TYTUS DEVELOPMENT: Seeks Chapter 11 Bankruptcy in Washington UNIGEL GROUP: Completes Out-of-Court Reorganization VIGILANT HEALTH: Unsecureds Will Get 7.75% or 1.12% of Claims VINTAGE WINE: Wasatch Advisors Holds No Shares as of Dec. 31 VISION2SYSTEMS LLC: Seeks Chapter 11 Bankruptcy in Texas WEBSTERNT LLC: Hires Michael J. Barnes CPA as Accountant WEIR CONTRACTING: Seeks Subchapter V Bankruptcy in Texas WESTERN REGIONAL: To Sell LA Property to B. Noronha and R. Chan WILLAMETTE VALLEY: Fine-Tunes Plan Documents WILLAMETTE VALLEY: Taps International Business as Business Broker WILLOUGHBY EQUITIES: Hires Northgate as Real Estate Advisor WOM SA: Ex-CEO to Reassume Position After Ch. 11 Exit WORKHORSE GROUP: Issues $35MM Tenth Additional Note WORLD ACCEPTANCE: S&P Alters Outlook to Stable, Affirms 'B-' ICR WYNN RESORTS: Incurs $639.72 Million Net Income in FY Ended Dec. 31 WYNN RESORTS: Susquehanna and Affiliates Report 2.5% Stake XTI AEROSPACE: Regains Compliance with Nasdaq Listing Requirements YELLOW CORP: Seeks Court Approval for $11.5MM Terminal Sales [] FTI Consulting Welcomes Restructuring Expert Mark Shinderman [] Northgate Real Estate Tops NYC Bankruptcy Brokerage Rankings [^] BOND PRICING: For the Week from February 17 to 21, 2025 ********* 10831 PHELAN BLVD: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------------- Debtor: 10831 Phelan Blvd LLC 6432 Phelan Blvd. Beaumont TX 77706 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40457 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd., Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/TAZBH4Q/10831_Phelan_Blvd_LLC__txebke-25-40457__0001.0.pdf?mcid=tGE4TAMA 10964 TWIN CITY: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: 10964 Twin City Hwy LLC 4850 Twin City Hwy Groves TX 77619 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40469 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/EQLRGIA/10964_Twin_City_Hwy_LLC__txebke-25-40469__0001.0.pdf?mcid=tGE4TAMA 11 UM FOOD: Files Subchapter V Bankruptcy in New York ----------------------------------------------------- On February 21, 2025, 11 Um Food Corp. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of New York. According to court filing, the Debtor reports between $500,000 and $1 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About 11 Um Food Corp. 11 Um Food Corp., doing business as City Acres Market, is a retail grocery business located at 11 Broadway in Brooklyn, NY. 11 Um Food Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-40889) on February 21, 2025. In its petition, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $500,000 and $1 million. Honorable Bankruptcy Judge Elizabeth S. Stong handles the case. The Debtor is represented by: Adam P. Wofse, Esq. Lamonica Herbst & Maniscalco LLP 444 Coney Island Avenue Brooklyn, NY 11218 13514 S LHS DR: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: 13514 S LHS Dr LLC 108 S Lhs Dr Lumberton TX 77657 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40470 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas tX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $10 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/EZS2WNQ/13514_S_LHS_Dr_LLC__txebke-25-40470__0001.0.pdf?mcid=tGE4TAMA 13730 FRONTAGE RD: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------------- Debtor: 13730 Frontage Rd LLC 510 I-10 Frontage Rd Beaumont TX 77706 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40472 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/FBPX5CI/13730_Frontage_Rd_LLC__txebke-25-40472__0001.0.pdf?mcid=tGE4TAMA 13950 FERRY DR: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: 13950 Ferry Dr LLC 300 Ferry Dr Bridge City TX 77611 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40473 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas TX 75251 Tel: (214) 365-5377 Email: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/FLWABFY/13950_Ferry_Dr_LLC__txebke-25-40473__0001.0.pdf?mcid=tGE4TAMA 13951 HIGHWAY 69: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------------- Debtor: 13951 Highway 69 LLC 2621 U.S. 69 Access Rd Nederland TX 77627 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40468 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/EIQUIPA/13951_Highway_69_LLC__txebke-25-40468__0001.0.pdf?mcid=tGE4TAMA 1521 V ST SE: Voluntary Chapter 11 Case Summary ----------------------------------------------- Debtor: 1521 V St SE, LLC 1521 V. St SE #7 Washington, DC 20020 Business Description: 1521 V St SE, LLC is a debtor with a single real estate asset, as outlined in 11 U.S.C. Section 101(51B). Chapter 11 Petition Date: February 20, 2025 Court: United States Bankruptcy Court District of Columbia Case No.: 25-00063 Debtor's Counsel: Jill Phillips, Esq. THE PHILLIPS LAW OFFICES, LLC 6301 Ivy Lane Suite 700 Greenbelt, MD 20770 Tel: (401) 464-2991 E-mail: jp@phillipslaweast.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Sam Razjooyan as managing member. The Debtor did not provide a list of its 20 largest unsecured creditors in the petition. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/MGF3PMI/1521_V_St_SE_LLC__dcbke-25-00063__0001.0.pdf?mcid=tGE4TAMA 1847 HOLDINGS: L1 Capital Holds 4.99% Stake as of Dec. 31 --------------------------------------------------------- L1 Capital Global Opportunities Master Fund, Ltd. disclosed in a Schedule 13 filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owned 1,335,000 shares of 1847 Holdings LLC's common stock which includes Common Shares underlying 1,335,000 Series B Warrants, which are subject to a 4.99% beneficial ownership limitation. It does not include 331,666 Series B Warrants and 7,407,408 warrants, which are both subject to a 4.99% beneficial ownership limitation. The 4.99% is based on 25,400,386 shares of Common Shares outstanding as of January 22, 2025, based upon the Company's Definitive Proxy Statement on Schedule 14A filed with the Securities and Exchange Commission on January 23, 2025. David Feldman and Joel Arber are the Directors of L1 Capital Global Opportunities Master Fund, Ltd. As such, L1 Capital Global Opportunities Master Fund, Ltd., Mr. Feldman, and Mr. Arber may be deemed to beneficially own (as that term is defined in Rule 13d-3 under the Securities Exchange Act of 1934) the Company's securities described herein. To the extent Mr. Feldman and Mr. Arber are deemed to beneficially own such securities, Mr. Feldman and Mr. Arber disclaim beneficial ownership of these securities for all other purposes. L Capital may be reached at: David Feldman, Director 161A Shedden Road, 1 Artillery Court PO Box 10085 Grand Cayman, Cayman Islands KY1-1001 Tel: 646-688-5654 A full-text copy of L1 Capital's SEC Report is available at: https://tinyurl.com/36b3t9s5 About 1847 Holdings Based in New York, NY, 1847 Holdings LLC -- www.1847holdings.com -- is an acquisition holding company focused on acquiring and managing a group of small businesses, which the Company characterizes as those with an enterprise value of less than $50 million, in a variety of different industries headquartered in North America. Draper, Utah-based Sadler, Gibb & Associates, LLC, the Company's auditor since 2017, issued a "going concern" qualification in its report dated April 25, 2024, citing that the Company has suffered recurring losses and negative cash flows from operations and has a working capital deficit, which raises substantial doubt about its ability to continue as a going concern. 2271 WASHINGTON BLVD: Case Summary & 20 Top Unsecured Creditors --------------------------------------------------------------- Debtor: 2271 Washington Blvd LLC 1430 Washington Blvd Beaumont TX 77705 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40474 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/FTYQXVI/2271_Washington_Blvd_LLC__txebke-25-40474__0001.0.pdf?mcid=tGE4TAMA 2307 GULFWAY DR: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: 2307 Gulfway Dr LLC 4049 Gulfway Dr Port Arthur TX 77642 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40459 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd., Suite 850 Dallas, TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/TIPDJUY/2307_Gulfway_Dr_LLC__txebke-25-40459__0001.0.pdf?mcid=tGE4TAMA 285 MADISON: Public Sale Auction Set for April 15 ------------------------------------------------- KTB CRE Debt Fund No. 11, a Korean investment trust, the facility agent under a loan agreement ("secured party"), will offer at a public auction via Mannion Auctions LLC, by Matthew D. Mannion, auctioneer, all member and other equity interests in and to 100% of the limited liability company interests in 285 Madison Owner LLC ("mortgage borrower") pledged by 285 Madison Mezzanine LLC ("Debtor") which mortgage borrower, directly and indirectly owns, leases, and operates the real property located at 285 Madison Avenue, New York, New York 10022 ("premises"). Secured party is offering for sale the pledged securities and certain rights and property related thereto each of which was pledged by the Debtor under a pledged and security agreement, dated Nov. 6, 2007, in favor of secured party ("pledged agreement"). The sale is being made in connection with the foreclosure by secured party under the pledged agreement pursuant to which the Debtor granted to secured party a first priority lien on the pledged securities as collateral for the loan ("mezzanine loan") from secured party to the Debtor. The mezzanine loan was made pursuant to a loan agreement dated Nov. 6, 2017 ("mezzanine loan agreement"). The mezzanine loan is subordinate to a mortgage loan ("mortgage loan") made pursuant to a loan agreement dated Nov. 6, 2017 ("mortgage loan agreement") and other obligations and liabilities of the mortgage borrower or that are otherwise affecting the premises. The pledged securities are also subject to the governing documents of the mortgage borrower. The public auction will be held in person at the offices of DLA Piper US at 1251 Avenue of the Americas, 27th Floor, New York, New York 10020 and virtually via Zoom remote meeting on April 15, 2025, at 1:00 p.m. EST. Secured party reserves the right to cancel the sale in its entirety, or to adjourn the sale to a future date. The sale will be a public auction to the highest qualified bidder. In order to bid at the auction qualifying bidders will be required not later than April 11, 2025, to deposit a qualifying deposit of $500,000 with an escrow company selected by the secured party. Interested parties must execute a standard confidentiality and non-disclosure agreement. To review and execute the confidentiality agreement, visit the website at REVERE: https://bit.ly.286MadisonUCC. Further information regarding the sale, contact Amy Brooks of Newmark at Amy.Brooks@nmrk.com or Dennis D. Kiely, Esq. of DLA Piper US at dennis,kiely@dlapiper.com. 2873 LINK AVE: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: 2873 Link Ave LLC 1604 Link Ave Orange TX 77630 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40460 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/TTIRHFI/2873_Link_Ave_LLC__txebke-25-40460__0001.0.pdf?mcid=tGE4TAMA 2958 HIGHWAY 365: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------------- Debtor: 2958 Highway 365 LLC 1804 FM 365 Nederland TX 77627 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40462 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd., Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/T3XBZEI/2958_Highway_365_LLC__txebke-25-40462__0001.0.pdf?mcid=tGE4TAMA 301CRAINCOMMONS LLC: Hires Transwestern Carey Winston as Realtor ---------------------------------------------------------------- 301Craincommons, LLC seeks approval from the U.S. Bankruptcy Court for the District of Maryland to employ Transwestern Carey Winston, L.L.C., d/b/a Transwestern as realtor. The firm will sell the real property of the Debtor known as SE Robert Crain Hwy., Upper Marlboro, Maryland 20772. The firm will be paid a commission of 6 percent on any sale procured by the Realtors. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Michael D'Amelio Transwestern Carey Winston, L.L.C. d/b/a Transwestern 7373 Wisconsin Avenue, Suite 850 Bethesda, MD 20814 Tel: (301) 571-0900 Fax: (301) 571-0903 About 301Craincommons LLC 301Craincommons, LLC, is the fee simple owner of an undeveloped land located at SE Robert Crain Hwy., Upper Marlboro, Maryland 20772 having an appraised value of $1.75 million. 301Craincommons sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Md. Case No. 24-17244) on Aug. 29, 2024, with $1,750,000 in total assets and $276,252 in total liabilities. Garcia Omar Staley, Sr., managing member, signed the petition. William C. Johnson, Jr., Esq., is the Debtor's legal counsel. 3252 EASTEX FWY: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: 3252 Eastex Fwy LLC 5902b Eastex Fwy Beaumont TX 77708 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40464 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/QBQRZDQ/3252_Eastex_Fwy_LLC__txebke-25-40464__0001.0.pdf?mcid=tGE4TAMA 3954 N WHEELER: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: 3954 N Wheeler LLC 898 N Wheeler St Jasper TX 75951 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40465 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd., Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/QIZLPOA/3954_N_Wheeler_LLC__txebke-25-40465__0001.0.pdf?mcid=tGE4TAMA 4763 N MAIN ST: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: 4763 N Main St LLC 950 N Main St. Vidor TX 77662 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40467 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/QQMK3OI/4763_N_Main_St_LLC__txebke-25-40467__0001.0.pdf?mcid=tGE4TAMA 75 ESSEX: March 25 Public Sale Auction Set ------------------------------------------ In accordance with applicable provisions of the Uniform Commercial Cod3e as enacted in New York, by virtue of certain events of default under that certain ownership interests pledged and security agreement dated July 18, 2022 ("pledged agreement") executed and delivered by 75 Essex Corner LLC ("pledgor 1") and Eisner Bros. Realty Corp. ("pledgor 2") (collectively "pledgor"), Les Mixed Use LLC ("Secured Party") will offer for sale at a public auction all of pledgor's right, title, and interests in and to the following: (i) 100% of the limited liability membership interests in 75 Essex Equity LLC ("issuer"), and (ii) all other collateral pledged pursuant to the pledge agreement ("collateral"). Mannion Auctions under the direction of Matthew D. Mannion, will conduct a public sale consisting of the collateral on March 25, 2025, at 9:00 a.m. via Zoom Meeting Link: https://bit.ly/75Essex. Based upon information provided by pledgor and its affiliates, secured party's understanding is that: (i) pledgor owns 100% of the limited liability company membership interests in issuer; (ii) the principal asset of the issuer is that certain free interest in real property commonly known as 75 Essex Street, New York, New York 10002 ("property"); and (ii) the property is encumbered and subject to, among other things, a first priority mortgage held by issuer securing indebtedness in the principal amount of $9 million. The public sale of the collateral will be subject to the further terms and conditions set forth in the terms of sale, which are available by contacting the broker for secured party, Brock Cannon, head of sales, Newmark, 125 Park Avenue, New York, New York 10017, (212) 372-2066, brock.cannon@nmrk.com. Upon execution of confidentiality and non-disclosure agreement, additional documentation and information will be made available. Parties interested in bidding must contact the broker well in advance of the auction to receive the terms of sale, bidding instructions, and required deposit and registration information. Parties who do not qualify to bid prior to 4:00 p.m. New York Time on March 21, 2025, and deliver a good faith deposit of $250,000 by 10:00 a.m. New York Time on March 24, 2025, will forfeit their opportunity to register and may be barred from bidding. ACCURIDE CORP: Plan Exclusivity Period Extended to May 7 -------------------------------------------------------- Judge J. Kate Stickles of the U.S. Bankruptcy Court for the District of Delaware extended Accuride Corp. and its debtor-affiliates' exclusive periods to file a plan of reorganization and obtain acceptance thereof to May 7 and July 7, 2025, respectively. As shared by Troubled Company Reporter, the Debtors explain that these chapter 11 cases involve sixteen Debtor-affiliate entities that had approximately $485 million in funded-debt obligations as of the Petition Date. The Debtors have a wide variety of parties in interest, including vendors, customers, facility and equipment lessors, and other contractual counterparties, the AHG, the other Prepetition Term Lenders, the Prepetition ABL Agent and Prepetition ABL Lenders, and local, state, and federal agencies. Furthermore, the Debtors and their advisors have spent (and continue to spend) significant amounts of time coordinating with non-Debtor affiliates around the world, from navigating parallel proceedings for their Canadian affiliate to addressing the operational overhang for the Debtors' other affiliates resulting from the chapter 11 cases. Accordingly, the complexity of these chapter 11 cases weighs in favor of extending the Exclusivity Periods. The Debtors assert that their request for an extension of the Exclusivity Periods is their first such request and comes fewer than four months after the Petition Date. During this short time, the Debtors have accomplished a great deal, including filing the Plan and Disclosure Statement, all while the Debtors continue to work diligently with all stakeholders to ensure widespread support of the Plan and Disclosure Statement. Additionally, the fact that this is the Debtors' first request for an extension further supports granting the requested extension. Co-Counsel for the Debtors: Joseph Barry, Esq. Kenneth J. Enos, Esq. Jared W. Kochenash, Esq. Andrew A. Mark, Esq. YOUNG CONAWAY STARGATT & TAYLOR, LLP Rodney Square 1000 North King Street Wilmington, Delaware 19801 Tel: (302) 571-6600 Fax: (302) 571-1253 Email: jbarry@ycst.com kenos@ycst.com jkochenash@ycst.com amark@ycst.com Co-Counsel for the Debtors: Ryan Blaine Bennett, P.C. Alexander D. McCammon, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 333 West Wolf Point Plaza Chicago, Illinois 60654 Tel: (312) 862-2000 Fax: (312) 862-2200 Email: ryan.bennett@kirkland.com alex.mccammon@kirkland.com - and - Derek I. Hunter, Esq. 601 Lexington Avenue New York, New York 10022 Tel: (212) 446-4800 Fax: (212) 446-4900 Email: derek.hunter@kirkland.com About Accuride Corp. Accuride Corporation and its affiliates are a global leader in steel and aluminum wheels and wheel-end components and assemblies, supplying innovative products to over 1,000 customers in the commercial vehicles, passenger cars, agriculture, construction and industrial equipment markets. Headquartered in Livonia, Michigan, the Debtors are part of a global enterprise that employs approximately 3,600 individuals at facilities in the United States, Canada, Mexico, Germany, France, Turkey, Russia, and China. Accuride's U.S. entities first filed for Chapter 11 protection in October 2009, also in Delaware, to restructure in excess of $675 million in debt. The Court confirmed the Company's Plan of Reorganization in February 2010. On Oct. 9, 2024, Accuride Corp. and its U.S. entities filed voluntary petitions for protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-12289). Accuride reported $500 million to $1 billion in assets and liabilities as of the bankruptcy filing. In the new chapter 11 cases, the Debtors tapped Kirkland & Ellis LLP as bankruptcy counsel, Young Conaway Stargatt & Taylor, LLP, as local bankruptcy counsel, and Perella Weinberg Partners LP as investment banker. Alvarez & Marsal North America, LLC is the CRO provider. Omni Agent Solutions is the claims agent. The U.S. Trustee for Region 3 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. AGEAGLE AERIAL: SEG Opportunity No Longer Holds Stake as of Dec. 31 ------------------------------------------------------------------- SEG Opportunity Fund, LLC disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owns zero shares of AgEagle Aerial Systems, Inc.'s Common Stock. SEG Opportunity Fund, LLC may be reached at: Joseph Reda Manager 135 Sycamore Drive Roslyn N.Y 11576 Tel: (516) 521-1354 A full-text copy of SEG Opportunity's SEC Report is available at: https://tinyurl.com/ycyv7rm9 About AgEagle AgEagle Aerial Systems Inc. is headquartered in Wichita, Kansas, and operates through its wholly-owned subsidiaries, focusing on designing and delivering top-tier drones, sensors, and software to address critical customer needs. Founded in 2010, AgEagle initially pioneered proprietary, professional-grade, fixed-wing drones and aerial imagery-based data collection and analytics solutions for the agriculture sector. Today, the company is recognized as a globally respected market leader, offering customer-centric, advanced, autonomous unmanned aerial systems (UAS) that generate revenue at the intersection of flight hardware, sensors, and software across industries, including agriculture, military/defense, public safety, surveying/mapping, and utilities/engineering. AgEagle has achieved numerous regulatory milestones, including government approvals for its commercial and tactical drones to fly Beyond Visual Line of Sight (BVLOS) and/or Operations Over People (OOP) in the United States, Canada, Brazil, and the European Union. It has also received Blue UAS certification from the Defense Innovation Unit of the U.S. Department of Defense. More information can be found at www.ageagle.com. Orlando, Florida-based WithumSmith+Brown, PC, the company's auditor since 2020, issued a "going concern" qualification in its report dated April 1, 2024, citing recurring losses from operations, cash usage exceeding its current cash position, and an accumulated deficit as factors raising substantial doubt about the company's ability to continue as a going concern. As of June 30, 2024, AgEagle Aerial Systems had $22,830,836 in total assets, $14,756,362 in total liabilities, and $8,074,474 in total stockholders' equity. AH LIQUIDATION: Court Affirms Enforcement of Sale Order ------------------------------------------------------- In the appealed case captioned as HE, INC., Appellant, v. AVADIM HOLDINGS INC., and RELION HOLDINGS LLC, Appellees, Case No. 23-cv-00329-JLH (D. Del.), Judge Jennifer L. Hall of the United States District Court for the District of Delaware affirmed the order of the United States Bankruptcy Court for the District of Delaware enforcing the sale of the Debtors' assets to appellees Avadim Holdings, Inc. and Relion Holdings LLC. The Debtors filed for bankruptcy in May 2021. On Aug. 1, 2021, the Bankruptcy Court entered the Sale Order approving the Asset Purchase Agreement. Under the APA, the Buyer bought the "Purchased Assets." The term "Purchased Assets" was defined as all of the Debtors' assets not specifically listed as an Excluded Asset. The Purchased Assets included all the Debtors' "Owned Intellectual Property," which was defined as "all Intellectual Property owned by a Seller." The "Owned Intellectual Property" included, but was not limited to, the intellectual property listed on Schedule 4.9(a) of the APA. In turn, Schedule 4.9(a) contained a list of patents, including U.S. Patent No. 6,358,516. Referred to as the "One-Step System for Cleansing, Conditioning, and Treating the Skin," the Patent relates to a wet wipe product used to clean the skin of patients in a hospital setting in lieu of other bathing methods such as a wash basin. In sum, the Debtors sold all of their assets, including all of their intellectual property, unless specifically excluded. The Patent IP was not specifically excluded and, therefore, was a Purchased Asset. The Sale Order approved the transfer of Purchased Assets to the Buyer free and clear of any claims and encumbrances. HE's Post-Sale Suit In November 2022, HE sued the Buyer and its affiliate in the U.S. District Court for the Southern District of Georgia. HE alleged that under paragraph 44 of the Sale Order, the Buyer purposefully failed to purchase the intellectual property rights of HE, Inc. in the Bankruptcy Action, and therefore, the proprietary information reverted back to HE, Inc. Based on this view that the Proprietary Technical Information "reverted back to HE," HE sought damages and an injunction against the Buyer for its "unauthorized use" of the Proprietary Technical Information. Enforcement Order On Dec. 23, 2022, the Buyer filed a motion in the Bankruptcy Court to enforce the Sale Order against HE. The Motion to Enforce sought a ruling that HE's Complaint violated the Sale Order's free and clear provisions and that the Buyer owned the Patent IP free and clear of all claims, including any claims of HE. HE admitted that it had sold the Patent to the Debtors in 2013. HE further acknowledged that its reading of paragraph 44 of the Sale Order did not apply to the Patent (rather than the Proprietary Technical Information). Thus, the only asset at issue was the Proprietary Technical Information. HE further acknowledged that it had conveyed ownership of the Proprietary Technical Information to the Debtors in 2016. Finally, HE acknowledged that but for its reading of paragraph 44 of the Sale Order, the Proprietary Technical Information was a "Purchased Asset" under the APA. Rather, HE contended that the final sentence of Sale Order paragraph 44 removed the PTI from the APA's definition of "Purchased Assets." On the record before it, the Bankruptcy Court ruled that paragraph 44 of the Sale Order did not remove the Proprietary Technical Information from the asset sale. Rather, the Bankruptcy Court ruled that the PTI that was owned by the Debtor was transferred free and clear to the buyer in connection with the sales transaction that this Court previously approved. In reaching this ruling, the Bankruptcy Court specifically considered the language of paragraph 44 of the Sale Order and the parties' respective readings of that language. The Bankruptcy Court found that the Buyer's reading was the more sensible reading in this context. It also concluded that HE's reading of paragraph 44 of the Sale Order as "giving back essentially to the seller assets that it had transferred to the buyer under those agreements just isn't a sensible way to make sense of what that language was trying to do. The Bankruptcy Court then entered an order enforcing the Sale Order. HE's Appeal On March 23, 2023, HE filed its Notice of Appeal with respect to the Enforcement Order. HE's sole basis for asserting that the Buyer did not buy the Patent IP from the Debtors was its reading of Sale Order paragraph 44. Paragraph 44 states: Neither the Settlement Agreement nor the Confidentiality Agreement shall be an Assumed Contract. Further, notwithstanding anything to the contrary in this Order or the Stalking Horse APA, none of the Debtors' rights or obligations under the Settlement Agreement and the Confidentiality Agreement shall transfer to the Buyer. HE's primary argument on appeal is that the second sentence of Paragraph 44 of the Sale Order unambiguously prevented the transfer of the PTI to the Buyer. The Court finds Paragraph 44 of the Sale Order did not remove the Patent IP from the sale or cause ownership to somehow "revert back" to HE. Accordingly, the Bankruptcy Court did not err in construing paragraph 44 of the Sale Order as not affecting the Buyer's purchase of the Patent IP free and clear. A copy of the Court's decision is available at http://urlcurt.com/u?l=krL8c0from PacerMonitor.com. Counsel for Appellant HE, Inc.: Thomas G. Macauley, Esq. MACAULEY LLC 300 Delaware Ave., Suite 1018 Wilmington, DE 19801 Telephone: (302) 656-0100 Counsel for Appellees Avadim Holdings, Inc. and Relion Holdings LLC: David M. Griffiths, Esq. Rachel L. Foust, Esq. WEIL GOTSHAL & MANGES LLP 767 Fifth Avenue, New York, NY 10153-0119 Telephone: (212) 310-8000 E-mail: david.griffiths@weil.com Paul N. Heath, Esq. Zachary I. Shapiro, Esq. Corey D. Kandestin, Esq. Robert C. Maddox, Esq. Alexander R. Steiger, Esq. RICHARDS LAYTON & FINGER, P.A. One Rodney Square 920 North King Street Wilmington, DE 19801 Te;ephone: (302) 651-7700 E-mail: heath@rlf.com shapiro@rlf.com kandestin@rlf.com About Avadim Health Avadim Health, Inc. is an Asheville, N.C.-based healthcare and wellness company that develops, manufactures and markets topical products for the institutional care and consumer markets. It was formerly known as Avadim Technologies Inc. Avadim and its affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 21-10883) on June 1, 2021. In the petition signed by CRO Keith Daniels, Avadim disclosed total assets of between $10 million and $50 million and total liabilities of between $100 million and $500 million. Judge Craig T. Goldblatt oversees the cases. The Debtors tapped Pachulski Stang Ziehl & Jones LLP and Chapman and Cutler LLP as legal counsel, SSG Capital Advisors LLC as investment banker, and Carl Marks Advisory Group LLC as restructuring advisor. Keith Daniels, a partner at Carl Marks, serves as the Debtors' chief restructuring officer. Omni Agent Solutions is the claims and noticing agent and administrative agent. The U.S. Trustee for Regions 3 and 9 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases on June 9, 2021. The committee tapped Fox Rothschild, LLP and Lowenstein Sandler, LLP as its legal counsel and Province, LLC as its financial advisor. The U.S. Bankruptcy Court for the District of Delaware, on August 26, 2021, authorized the change of caption in the Debtors' cases to conform with the name change of Avadim Health, Inc. to AH Liquidation, Inc., pursuant to the Stalking Horse Asset Purchase Agreement governing the sale of substantially all of the Debtors' assets to Midava Holdings 3, Inc. (n/k/a Avadim Holdings, Inc.) for a $69,950,000 credit bid and the assumption of certain liabilities. ALCHEMY 365: Files Chapter 11 Bankruptcy in Colorado ---------------------------------------------------- On February 17, 2025, Alchemy 365 Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the District of Colorado. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 50 and 99 creditors. The petition states funds will be available to unsecured creditors. About Alchemy 365 Inc. Alchemy 365 Inc., doing business as lchemy 365, Inc., PowerTen Fitness, PowerTen, and Alchemy, is a Denver-based fitness company offering group classes that integrate yoga, strength training, and cardio. The Company provides these services at two Denver locations: LoHi at 2432 W 32nd Ave and Tennyson at 4144 Tennyson St. Alchemy 365 Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Col.Case No. 25-10797) on February 17, 2025. In its petition, the Debtor reports estimated assets between $100,000 and $500,000 and estimated liabilities between $1 million and $10 million. The Debtor is represented by: Gabrielle G. Palmer, Esq. ONSAGER | FLETCHER | JOHNSON | PALMER LLC 600 17th Street, Suite 425N Denver, CO 80202 Tel: 303-512-1123 Email: gpalmer@ofjlaw.com ALPHA EQUIPMENT: Ira Bodenstein Named Subchapter V Trustee ---------------------------------------------------------- The U.S. Trustee for Region 11 appointed Ira Bodenstein as Subchapter V trustee for Alpha Equipment Company. Mr. Bodenstein will be paid an hourly fee of $500 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Bodenstein declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. About Alpha Equipment Company Alpha Equipment Company is a transportation and logistics business that owns and leases a fleet of trucks and trailers for freight hauling. Alpha Equipment Company filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-01919) on February 7, 2025, listing total assets of $1,478,650 and total liabilities of $2,004,102. Judge David D. Cleary handles the case. The Debtor is represented by: David Freydin, Esq. Law Offices of David Freydin 8707 Skokie Blvd., Suite 305 Skokie, IL 60077 Tel: 888-536-6607 Fax: 866-575-3765 Email: david.freydin@freydinlaw.com ALTICE USA: Swings to $78.28 Million Net Loss in FY Ended Dec. 31 ----------------------------------------------------------------- Altice USA Inc. filed with the Securities and Exchange Commission its Annual Report on Form 10-K disclosing a net loss of $78.28 million for the year ended December 31, 2024, compared to a net income of $79.04 million on for the year ended December 31, 2023. As of December 31, 2024, the Company had $31.7 billion in total assets, $32.16 billion in total liabilities, and a total deficiency of $456.8 million. Dennis Mathew, Altice USA Chairman and Chief Executive Officer, said: "2024 was a transformative year for Optimum, marked by significant progress in strengthening our operations, enhancing customer experiences, and reinforcing financial discipline. We delivered record fourth quarter and full-year fiber and mobile performance, improved operational efficiency, and maintained positive Free Cash Flow despite a challenging macro and competitive environment. As we enter phase two of our transformation in 2025, we remain focused on expanding our product portfolio and AI-driven capabilities, enhancing margins through continued efficiencies, and accelerating multi-gig availability -- all while demonstrating strong capital stewardship to support our long-term growth objectives." A full-text copy of the Company's Form 10-K is available at: https://tinyurl.com/33f2482t About Altice USA Inc. Altice USA, Inc. is an American cable television provider. * * * As reported by the TCR on May 17, 2024, S&P Global Ratings lowered all its ratings on Altice USA Inc. one notch, including the Company credit rating to 'CCC+', and removed them from Credit Watch, where it placed them with negative implications on May 2, 2024. The negative outlook reflects that S&P could lower its ratings if the company opts to pursue a debt restructuring over the next year. S&P said, "We believe Altice USA's capital structure is unsustainable. We believe the company is vulnerable to nonpayment long term and depends on favorable business, financial, and economic conditions to meet its financial obligations as they come due in 2027 and beyond. We believe it is more likely than not that Altice USA will enter into a distressed debt restructuring that we consider tantamount to default, or it could face bankruptcy long term." ALTISOURCE PORTFOLIO: S&P Lowers ICR to 'SD' on Distressed Exchange ------------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on Altisource Portfolio Solutions S.A. to 'SD' from 'CC' and its issue rating on the senior secured term loan to 'D' from 'C'. S&P said, "The downgrade follows Altisource's completion of a debt exchange, which we view as a distressed exchange. We consider the transaction distressed because, in our view, investors received less value than the securities originally promised. This is because of the roughly $73 million reduction in the principal balance of the senior secured term loan, the lower interest on the term loan (annual cash savings of $8 million-$9 million for Altisource), and a maturity extension of five years (to April 2030). While lenders received common shares representing 63.5% of the pro forma outstanding shares of the company, we believe this equity compensation was not sufficient to offset losses for lenders. "Furthermore, without the transaction, we believe Altisource would have had difficulty repaying the exchanged term loan due April 2025 given the company's strained operating performance and limited liquidity, even if it exercised its option to extend the term loan's maturity to April 2026. "We expect to reevaluate our issuer credit rating and debt ratings on Altisource over the next week. We believe the debt exchange has improved Altisource's liquidity and interest coverage because of the debt reduction, interest savings, and maturity extension. However, we likely will continue to view Altisource's countercyclical business model as dependent on favorable financial and economic conditions. The cash savings from lower interest and the company's improving financial performance should help Altisource maintain positive cash flow from operations going forward, but liquidity remains constrained at $28 million in cash as of Sept. 30, 2024. The issuer credit rating will remain 'SD' until we reevaluate Altisource's creditworthiness in the coming days following the distressed exchange." AMERICAN CANNABIS: Posts $636,172 Net Loss in Fiscal Q2 ------------------------------------------------------- American Cannabis Company, Inc. filed with the U.S. Securities and Exchange Commission its Quarterly Report on Form 10-Q reporting a net loss of $636,172 on $431,878 of total revenue for the three months ended June 30, 2024, compared to a net income of $11,844 on $852,729 of total revenue for the three months ended June 30, 2023. For the six months ended June 30, 2024, the Company reported a net loss of $768,722 on $687,599 of total revenue, compared to a net loss of $456,156 on $1,565,115 of total revenue for the same period in 2023. As of June 30, 2024, the Company had $2,121,248 in total assets, $2,757,201 in total liabilities, and total shareholders' deficit of $635,953. A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/yxf7nmzx About American Cannabis American Cannabis Company, Inc. is based in Colorado Springs, Colorado, and operates alongside its subsidiary as a publicly listed company on the OTC Markets OTCQB Trading Tier under the symbol "AMMJ." The company utilizes a fully integrated business model that offers end-to-end solutions for businesses in the regulated cannabis industry, serving states and countries where cannabis is regulated, decriminalized for medical use, or legalized for recreational use. Houston, Texas-based Hudgens CPA, the company's auditor since 2022, issued a "going concern" qualification in its report dated May 8, 2024. This report, attached to American Cannabis' Form 10-K filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, noted that the company has a working capital deficit, has incurred net losses since its inception, and is expected to continue experiencing further losses. The auditor highlighted that the company requires additional funds to meet its obligations and operational costs, which raises substantial doubt about its ability to continue as a going concern. American Cannabis Company reported a net loss of $3,660,416 for the year ended December 31, 2023, as compared to $633,192 for the year ended December 31, 2022. As of March 31, 2024, American Cannabis Company had $2,628,487 in total assets, $2,759,498 in total liabilities, and $131,001 in total stockholders' deficit. AMERICAN QSR: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: American QSR, Inc. 19602 Country Lake Dr. Magnolia TX 77355 Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 25-40475 Debtor's Counsel: Howard Marc Spector, Esq. SPECTOR & COX, PLLC 12770 Coit Rd Suite 850 Dallas, TX 75251 Tel: (214) 365-5377 E-mail: hms7@cornell.edu Estimated Assets: $0 to $50,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Jeremiah Foster as chief restructuring officer. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/F2VBPEI/American_QSR_Inc__txebke-25-40475__0001.0.pdf?mcid=tGE4TAMA AMERICAN QSR: Files Chapter 11 Bankruptcy in Texas -------------------------------------------------- On February 21, 2025, American QSR Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of Texas. According to court filing, the Debtor reports between $10 million and $50 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About American QSR Inc. American QSR Inc. operates in the quick-service restaurant sector. American QSR Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Tex. Case No. 25-40475) on February 21, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $10 million and $50 million. The Debtor is represented by: Howard Marc Spector, Esq. Spector & Cox, PLLC 12770 Coit Road, Suite 850 Dallas, TX 75251 Telephone: (214) 365-5377 Facsimile: (214) 237-3380 Email: hspector@spectorcox.com AMERICAN WARRIOR: To Sell Equipment, Vehicles to M&T Excavation --------------------------------------------------------------- American Warrior Construction Inc. seeks approval from the U.S. Bankruptcy Court for the District of Kansas, to sell property to M&T Excavation, LLC, free and clear of liens and encumbrances and other claimed interests. The Debtor is selling its rights, title, and interests of the following equipment and vehicles: -- 2017 Amror Lite Belly Dump -- 2000 Caterpillar Compactor -- 2017 4T Dump Trailer -- 2017 MANAC CPS End Dump Trailer -- 2014 Hitachi Excavator -- 2019 John Deere Skidsteer -- 2007 Peterbuilt Semi Truck -- 2013 Kaufman Lowboy trailer -- 2013 Caterpillar Forklift -- 2020 DtichWitch HX30 Vac Trailer -- 1997 Case 8940 Tractor -- 2020 DitchWitch HX30 Vac Trailer -- 2011 International LF 627 Prostar Premium Semi Truck and more. The purchase price will be the orderly liquidation value of the Property in the amount of $1,105,000.00. Despite the assets it is purchasing, M&T is not purchasing all the assets of the Debtor's bankruptcy estate. M&T is not purchasing Debtor's real estate, any leases or other executory contract the Debtor maintains, and M&T is not purchasing any account receivables. Finally, M&T is not purchasing any Chapter 5 avoidance actions. M&T is not assuming any account payables or other liability of AWC whatsoever, regardless of whether such was incurred prepetition or post-petition. The Property will be sold to M&T for cash or cash equivalent. Dream First Bank maintains a perfected security interest in the Property, while The United States Small Business Administration also maintains a perfected security interest in the Property. M&T had entered into a lease agreement with the debtor regarding the Property. Under that agreement, M&T maintains a possessory interest in the Property, but does not maintain a secured claim against the Property. To the Debtor's knowledge, no other party maintains any interest in the Property other than the creditors identified. The Debtor is owned by Amro M. Samy and the Amro M. Samy Irrevocable Trust. M&T was formed in December 2023 and is owned by Trenton Nevola and Morgan Nevola. Trenton is Samy's stepson and Morgan is Samy's daughter-in-law. About American Warrior Construction Inc. American Warrior Construction, Inc. is a construction company based in 118 E Laurel Garden City, KS 67846. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.Kan. Case No.: 24-11168) on November 14, 2024. In the petition signed by by Amro M. Samy as president, the Debtor disclosed estimated assets of $0 to $50,000 and dstimated liabilities of $1 million to $10 million. Judge Mitchell L. Herren presides over the case. Nicholas R. Grillot, Esq., at HINKLE LAW FIRM LLC, represents the Debtor as legal counsel. AMERICAN WARRIOR: To Sell Kansas Property to M&T Excavation ----------------------------------------------------------- American Warrior Construction Inc. seeks permission from the U.S. Bankruptcy Court for the District of Kansas, to sell property to M&T Excavation, LLC, free and clear of liens and encumbrances and other claimed interests. The Debtor's property is located at 775 Industrial Dr., Garden City, Kansas 67846, which consists of a vacant lot that is fenced on all 4 sides and certain miscellaneous personal property assets owned by the Debtor including generators, hand and power tools, and construction inventory such as piping, manhole covers, and other construction materials. The Debtor proposes to sell the Property to M&T in the amount of $195,000.00. Despite the assets it is seeking to buy, M&T is not purchasing all the assets of Debtor's bankruptcy estate. M&T is not purchasing all of the Debtor's real estate, any leases or other executory contracts the Debtor might maintain and M&T is not purchasing any account receivables or other general intangibles the Debtor might otherwise own. Finally, M&T is not purchasing any Chapter 5 avoidance actions. Except for possible property tax obligations that might be due on the Property, M&T is not assuming any account payables or other liabilities of the Debtor, regardless of whether such was incurred prepetition or post-petition. There will be no broker or other professional that assisted the Debtor in the marketing and sale of the assets M&T proposes to purchase. Therefore, no commission, title fees, marketing fee, setup fees, lien search fees, or administrative fees will need to be paid in connection with the Sale. The Property will be sold to M&T for cash or cash equivalent. The Debtor believes that a prompt sale of the assets is critical to the estate to maximize the value of its assets for the benefit of all of its creditors and the Property will be sold free and clear of all liens and security interests of record. M&T had entered into a lease agreement with the Debtor regarding certain property owned by the Debtor. Such lease agreement might include some or all of the Property, although the Debtor does not believe that is the case. However, if the lease agreement does cover some or all of the Property, M&T maintains a possessory interest in the Property as a result of that lease. However, M&T does not maintain a secured claim against the Property. By proceeding with the private-treaty sale, the Debtor will avoid auction costs, auctioneer commissions, or depressed values through the payment of buyers' premium. The Debtor is owned by Amro M. Samy and the Amro M. Samy Irrevocable Trust. M&T was formed in December 2023 and is owned by Trenton Nevola and Morgan Nevola. Trenton is Samy's stepson and Morgan is Samy’s daughter-in-law. About American Warrior Construction Inc. American Warrior Construction, Inc. is a construction company based in 118 E Laurel Garden City, KS 67846. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.Kan. Case No.: 24-11168) on November 14, 2024. In the petition signed by by Amro M. Samy as president, the Debtor disclosed estimated assets of $0 to $50,000 and dstimated liabilities of $1 million to $10 million. Judge Mitchell L. Herren presides over the case. Nicholas R. Grillot, Esq., at HINKLE LAW FIRM LLC, represents the Debtor as legal counsel. AMSTED INDUSTRIES: S&P Rates New $400MM Sr. Unsecured Notes 'BB' ---------------------------------------------------------------- S&P Global Ratings assigned its 'BB' issue-level rating and '4' recovery rating to Amsted Industries Inc.'s proposed $400 million senior unsecured notes due 2033. The '4' recovery rating indicates its expectation for average (30%-50%; rounded estimate: 45%) recovery in the event of a payment default. This transaction is part of Amsted's broader, two-stage refinancing of its capital structure. The first stage of the refinancing took place earlier in February and involved upsizing the company's senior secured revolving credit facility to $1.4 billion from $900 million ($300 million drawn at close), with the bulk of the proceeds used to fully repay its $270 million term loan. The second stage of the refinancing will involve issuing $400 million of new senior unsecured notes due 2033 and incrementally drawing about $5 million on its trade receivables facility ($42 million drawn at close), with the proceeds used to fully repay its $400 million of existing senior unsecured notes due 2027 and funding transaction fees and expenses. The planned transaction is debt for debt and does not materially affect our forecast credit measures. ISSUE RATINGS--RECOVERY ANALYSIS Key analytical factors -- S&P's simulated default scenario contemplates a payment default occurring in 2030 due to a contraction in the company's end-market demand, which would lead to a significant decline in its operating performance and free cash flow generation. -- S&P believes if Amsted were to default, a viable business model would remain given its long-standing customer relationships and global footprint. Therefore, it believes its debtholders would achieve the greatest recovery value through a reorganization rather than a liquidation. -- S&P assumes a 5.5x EBITDA multiple at emergence, which reflects the company's relatively good market position in its key railroad, heavy-duty truck, and light-vehicle markets and its good relationships and share-of-wallet with its customers. Simulated default assumptions -- Simulated year of default: 2030 -- EBITDA multiple: 5.5x -- EBITDA at emergence: $369 million -- Jurisdiction: U.S. -- Debt amounts include six months of accrued interest that S&P assumes will be owed at default. -- Collateral value includes asset pledges from obligors plus equity pledges from nonobligors. -- An 85% draw on the cash flow revolver. -- A 100% draw on the trade receivables facility. Simplified waterfall -- Net enterprise value at default (after 5% administrative costs): $1.93 billion -- Valuation split (obligors/nonobligors): 71%/29% -- Priority claims and claims at nonobligor entities (primarily trade receivables facility): $300 million -- Collateral value available to secured debt: $1.46 billion -- Senior secured debt claims: $1.23 billion -- Value available to unsecured claims: $394 million ($226 million collateral plus $168 million non-collateral) -- Total unsecured claims: $822 million --Recovery expectations: 30%-50% (rounded estimate: 45%) AMSTERDAM HOUSE: Residents Could Suffer Major Losses in Deal ------------------------------------------------------------ Martin Z. Braun and Jonathan Randles of Bloomberg News report that the residents owed $130 million after their senior living community went bankrupt are poised to suffer big losses but won't be left empty-handed under a sale agreement approved by a New York federal court. Current and former residents of The Harborside, a 329-unit continuing-care retirement community in Port Washington on Long Island's North Shore, are anticipated to receive an initial $6 million distribution after a sale of the facility for $86 million to Chicago-based private equity firm Focus Healthcare Partners, according to a plan approved by a bankruptcy court on Thursday, February 20, 2025, the report states. About Amsterdam House Continuing Care Amsterdam House Continuing Care Retirement Community, Inc., doing business as The Amsterdam at Harborside, operates Nassau County's first and only continuing care retirement community licensed under Article 46 of the New York Public Health Law, which provides residents with independent living units, enriched housing and memory support services, comprehensive licensed skilled nursing care, and related health, social, and quality of life programs and services. Amsterdam House Continuing Care Retirement Community filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 23-70989) on March 22, 2023. In the petition signed by Brooke Navarre, president and chief executive officer, the Debtor disclosed $100 million to $500 million in both assets and liabilities. Judge Alan S. Trust oversees the cases. The Debtor tapped Gregory M. Juell, Esq., at DLA Piper LLP (US) as bankruptcy counsel; and Ankura Consulting Group, LLC as restructuring advisor. Michael W. Morton of Ankura Consulting Group is the Debtor's chief restructuring officer. The U.S. Trustee for Region 2 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. Cooley LLP and GlassRatner Advisory & Capital Group, LLC, doing business as B. Riley Advisory Services, serve as the committee's legal counsel and financial advisor, respectively. ANTIGONE SKOULAS: Gina Klump Named Subchapter V Trustee ------------------------------------------------------- The U.S. Trustee for Region 17 appointed Gina Klump, Esq., at the Law Office of Gina R. Klump, as Subchapter V trustee for Antigone Skoulas D.D.S., Inc. Ms. Klump will be paid an hourly fee of $500 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Klump declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Gina Klump, Esq. Law Office of Gina R. Klump 11 5th Street, Suite 102 Petaluma, CA 94952 Phone: (707) 778-0111 Email: gklump@klumplaw.net About Antigone Skoulas D.D.S. Antigone Skoulas D.D.S., Inc. is a dental practice in San Francisco specializing in cosmetic and restorative dentistry, offering services like implant restorations, Invisalign, dentures, and TMJ treatment. With a focus on advanced digital technology and artistic expertise, the practice provides compassionate care and exceptional results to help patients achieve their best smiles. Antigone filed Chapter 11 petition (Bankr. N.D. Cal. Case No. 25-30100) on February 9, 2025, listing $133,991 in assets and $1,568,196 in liabilities. Antigone Skoulas, president of Antigone, signed the petition. Judge Hannah L. Blumenstiel presides over the case. Brent D. Meyer, Esq., at Meyer Law Group, LLP represents the Debtor as bankruptcy counsel. APPLIED DNA: Incurs $2.7 Million Net Loss for Quarter Ended Dec. 31 ------------------------------------------------------------------- Applied DNA Sciences, Inc. filed with the U.S. Securities and Exchange Commission its Quarterly Report on Form 10-Q reporting a net loss of $2.7 million on $ $1.2 million of total revenue for the three months ended December 31, 2024, compared to a net loss of $1.1 million on $891 thousand of revenue for the three months ended December 31, 2023. Operating loss was $3 million, compared to an operating loss of $3.8 million for the first quarter of fiscal 2024. Cash and cash equivalents as of December 31, 2024 was $9.3 million, which includes $5.7 million of net proceeds (after deducting placement agent fees and other offering expenses) from the registered direct offering that closed on October 31, 2024. As of December 31, 2024, the Company had $16 million in total assets, $3.4 million in total liabilities, and $12.5 in total equity. Management Commentary "Our first quarter performance reflects the implementation of a strategic restructuring to support our growth through our synthetic DNA manufacturing strategy," stated Dr. James A. Hayward, Chairman and CEO of Applied. DNA. "We are taking difficult but necessary steps to optimize our corporate structure to lower our cash burn rate and stabilize our financial position to ensure our ability to execute against near-term operational goals." "As we move through fiscal 2025, we are focused on commercializing the DNA production capacity of our recently certified GMP Site 1 facility," concluded Dr. Hayward. "We are preparing for initial orders of clinical grade materials, the acquisition of which we believe will validate the economics of our proprietary low-CAPEX approach to enzymatic DNA production in front of an industry that is actively seeking cell-free, synthetic alternatives to traditional pDNA production processes. We believe our capacity for the GMP production of DNA in an economical, fast, and scalable manner to advance the rapid development of genetic medicines is a unique competitive advantage in the marketplace and is the lynchpin to our future success." A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/5f2wppf9 About Applied DNA Sciences Applied DNA Sciences -- adnas.com -- is a biotechnology company developing technologies to produce and detect deoxyribonucleic acid ("DNA"). Using the polymerase chain reaction ("PCR") to enable both the production and detection of DNA, the Company currently operates in three primary business markets: (i) the enzymatic manufacture of synthetic DNA for use in the production of nucleic acid-based therapeutics and the development and sale of a proprietary RNA polymerase ("RNAP") for use in the production of mRNA therapeutics; (ii) the detection of DNA and RNA in molecular diagnostics and genetic testing services; and (iii) the manufacture and detection of DNA for industrial supply chain security services. Melville, NY-based Marcum LLP, the Company's auditor since 2014, issued a "going concern" qualification in its report dated Dec. 17, 2024, citing that the Company has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. APPLIED DNA: Logs $2.67 Million Net Loss in First Quarter of 2025 ----------------------------------------------------------------- Applied DNA Sciences, Inc., filed its quarterly report on Form 10-Q with the Securities and Exchange Commission, reporting a net loss of $2.67 million on total revenues of $1.20 million for the three months ending Dec. 31, 2024. This compares to a net loss of $1.13 million on total revenues of $891,164 for the same period in 2023. As of Dec. 31, 2024, the Company had $15.97 million in total assets, $3.42 million in total liabilities, and $12.55 million in total equity. The Company has recurring net losses. The Company incurred a net loss and generated negative operating cash flow of $3,326,074 for the three-month period ended Dec. 31, 2024. At Dec. 31, 2024, the Company had cash and cash equivalents of $9,294,365. According to the Company, the factors mentioned above raise substantial doubt about its ability to continue as a going concern for one year from the date of issuance of these financial statements. "The ability of the Company to continue as a going concern is dependent on the Company's ability to further implement its business plan, raise capital, and generate revenues. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern," stated Applied DNA in the report. The Company's liquidity needs consist of its working capital requirements and research and development expenditure funding. As of Dec. 31, 2024, the Company had working capital of $8,889,342. For the three-month period ended Dec. 31, 2024, the Company used cash in operating activities of $3,326,074 consisting primarily of its loss of $2,668,713 net with non-cash adjustments of $58,580 in depreciation and amortization charges, $244,000 in unrealized gain on change in fair value of warrants classified as a liability, $28,973 in stock-based compensation expense, and $7,723 in provision for bad debts. Additionally, the Company had a net increase in operating assets of 372,738 and a net decrease in operating liabilities of $141,188. Management Commentary "Our first quarter performance reflects the implementation of a strategic restructuring to support our growth through our synthetic DNA manufacturing strategy," Dr. James A. Hayward, Chairman and CEO of Applied DNA, commented in a press release. "We are taking difficult but necessary steps to optimize our corporate structure to lower our cash burn rate and stabilize our financial position to ensure our ability to execute against near-term operational goals." "As we move through fiscal 2025, we are focused on commercializing the DNA production capacity of our recently certified GMP Site 1 facility," continued Dr. Hayward. "We are preparing for initial orders of clinical grade materials, the acquisition of which we believe will validate the economics of our proprietary low-CAPEX approach to enzymatic DNA production in front of an industry that is actively seeking cell-free, synthetic alternatives to traditional pDNA production processes. We believe our capacity for the GMP production of DNA in an economical, fast, and scalable manner to advance the rapid development of genetic medicines is a unique competitive advantage in the marketplace and is the lynchpin to our future success." The full text of the Form 10-Q is available for free at: https://www.sec.gov/Archives/edgar/data/744452/000141057825000126/apdn-20241231x10q.htm About Applied DNA Sciences Headquartered in Stony Brook, New York, Applied DNA Sciences -- adnas.com -- is a biotechnology company developing and commercializing technologies to produce and detect deoxyribonucleic acid ("DNA") and ribonucleic acid ("RNA"). Using polymerase chain reaction ("PCR") to enable the production and detection of DNA and RNA, the Company currently operate in three primary business markets: (i) the enzymatic manufacture of synthetic DNA for use in the production of nucleic acid-based therapeutics (including biologics and drugs), as well as the development and sale of a proprietary RNA polymerase ("RNAP") for use in the production of messenger RNA ("mRNA") therapeutics; (ii) the detection of DNA and RNA in molecular diagnostics and genetic testing services; and (iii) the manufacture and detection of DNA for industrial supply chains and security services. The Company's current growth strategy is to primarily focus its resources on the further development, commercialization, and customer adoption of its Therapeutic DNA Production Services, including the expansion of its contract development and manufacturing operation ("CDMO") for the manufacture of synthetic DNA and associated enzymes for use in the production of nucleic acid-based therapies. Melville, NY-based Marcum LLP, the Company's auditor since 2014, issued a "going concern" qualification in its report dated Dec. 17, 2024, citing that the Company has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. The Company has recurring net losses, which have resulted in an accumulated deficit of $309,672,755 as of Sept. 30, 2024. The Company incurred a net loss of $7,088,306 for the fiscal year ended Sept. 30, 2024. "We will continue to seek to raise additional working capital through public equity, private equity or debt financings. If we fail to raise additional working capital, or do so on commercially unfavorable terms, it would materially and adversely affect our business, prospects, financial condition and results of operations, and we may be unable to continue as a going concern. If we seek additional financing to fund our business activities in the future and there remains substantial doubt about our ability to continue as a going concern, investors or other financing sources may be unwilling to provide additional funding to us on commercially reasonable terms, if at all," stated Applied DNA in its Annual Report for the year ended Sept. 30, 2024. AUTO GLASS: Hires Richard L. Joliet CPA PLLC as Accountant ---------------------------------------------------------- Auto Glass 2020 LLC seeks approval from the U.S. Bankruptcy Court for the District of Arizona to employ Richard L. Joliet, CPA, PLLC as accountant. The firm's services include preparation of tax returns, completion of monthly operating reports, reporting of transactional activity, reconciliation of Debtor’s books and records, and general accounting services. The firm will be paid at these rates: Richard L. Joliet $200 per hour Associates $100 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Richard L. Joliet, a partner at Richard L. Joliet, CPA, PLLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Richard L. Joliet, CPA Richard L. Joliet, CPA, PLLC 1129 Iron Springs Rd #202 Prescott, AZ 86301 Tel: (328) 777-2386 About Auto Glass 2020 Auto Glass 2020, LLC is a windshield replacement and window tinting company operating out of two locations located on the east and west side of metropolitan Phoenix, Ariz. Auto Glass 2020 sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 25-00374) on January 16, 2025, listing up to $1 million in assets and up to $10 million in liabilities. Kristy LeSueur, manager, signed the petition. Judge Madeleine C. Wanslee oversees the case. The Debtor is represented by: Alan A. Meda, Esq. Burch & Cracchiolo, P.A. 1850 N. Central Ave., Suite 1700 Phoenix, AZ 85004 Telephone: (602) 274-7611 Email: ameda@bcattorneys.com AVIATION SAFETY: Liquidating Agent Hires Eric Oram as Witness ------------------------------------------------------------- Bearjack, LLC, the Liquidating Agent of Aviation Safety Resources, Inc., S.E., Inc. d/b/a strong enterprises, pioneer aerospace corporation d/b/a ASR-Pioneer seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ Eric Oram of MSH CPAs as witness. Mr. Oram will perform consulting and related services for and on behalf of the Debtor to obtain employee retention credits under the Act. Mr. Oram will be paid at $275 per hour. Eric Oram, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Eric Oram MSH CPAs 707 E Colonial Dr. Orlando, FL 32803 Tel: (407) 228-0700 About Aviation Safety Resources, Inc. Aviation Safety Resources, Inc., is a Florida corporation formed in December of 2018. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 23-04639) on November 1, 2023. In the petition signed by Michael Rinaldi, president, the Debtor disclosed up to $100,000 in assets and up to $10 million in liabilities. Judge Grace E. Robson oversees the case. Daniel R. Fogarty, Esq., at Stichter, Riedl, Blain & Postler, PA., represents the Debtor as legal counsel. AVON PRODUCTS: Natura in Talks to Sell Non-LatAm Operations ----------------------------------------------------------- Ney Hayashi of Bloomberg News reports that Natura is in negotiations with asset-management firm IG4 to sell Avon's non-Latin American operations, according to a regulatory filing. The talks are still in the early phases, and Natura is also exploring other strategic options. About AIO US and Avon Products AIO US Inc., Avon Products Inc, and some of its affiliates are manufacturers and marketers of beauty, fashion, and home products with operations and customers across the globe. AIO US sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-11836) on Aug. 12, 2024. In the petition filed by Philip J. Gund as chief restructuring officer, AIO US disclosed $1 billion to $10 billion in assets and debt. Richards, Layton & Finger, P.A. and Weil, Gotshal & Manges LLP are counsel to the Debtors. Ankura Consulting Group LLC serves as restructuring advisor to the Debtors. Rothschild & Co US Inc is the Debtors' investment banker and financial advisor. Epiq Corporate Restructuring LLC acts as claims and noticing agent to the Debtors. The U.S. Trustee for Region 3 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee tapped Cooley, LLP and A.M. Saccullo Legal, LLC as bankruptcy counsels; Gilbert, LLP as special insurance counsel; Caplin & Drysdale, Chartered as special asbestos counsel; Province, LLC as financial advisor; and Houlihan Lokey Capital, Inc. as investment banker. BEAR COMMUNICATIONS: Court Narrows Claims in Western Surety Suit ---------------------------------------------------------------- Chief Judge Greg N. Stivers of the United States District Court for the Western District of Kentucky granted in part and denied in part Western Surety Company's motion for summary judgment in the case captioned as WESTERN SURETY COMPANY, PLAINTIFF v. BRETT NILES et al, DEFENDANTS (W.D. Ky.). Western Surety Company brought this action against Brett Niles; Big Bear Leasing, Inc.; Big Bear Investments, LLC; Bear Communications of New Mexico, Inc.; and the Oaks Fame Farm, LLC. Western Surety is an Illinois company that issues payment and performance bonds and stands as a surety for selected contractors. Niles, a Kentucky resident, is the sole owner of the companies that comprise the other Defendants. He also owns Bear Communications, LLC, a construction contracting company that voluntarily filed for Chapter 11 bankruptcy in Kansas on May 28, 2021. In 2016, Bear sought to obtain a payment bond from Western Surety to submit bids for construction projects in Alabama. Bear executed two bonds with Western Surety in relation to the Alabama projects: the first bond, No. 58737827, was terminated on Dec. 14, 2016; and the second bond, No. 58737859 ( "Bond 859"), was executed on Feb. 23, 2017, is the bond at issue in the current case. In June 2016, as a condition of the first bond, Niles and Western Surety executed a General Agreement of Indemnity, with Niles agreeing to indemnify Western Surety for claims arising from work performed on all surety bonds issued by Western Surety. Niles signed the agreement on behalf of himself, Bear, Bear New Mexico, Bear Leasing, and Bear Investments. On May 9, 2027, Niles executed a Rider to the Indemnity Agreement, adding Oaks as an indemnitor. There is no dispute between the parties that the Indemnity Agreement and Indemnity Rider apply to Bond 859. Bond 859 covered a project concerning the installation of 1,000 aerial and underground fiber network miles in the City of Huntsville, Alabama. To complete the project, Bear contracted with several subcontractors. Upon completion, Bear sought final payment from the Board of a total of $1,740,976.00 in retainage for the Project. However, the Board refused to pay Bear in full. On May 22, 2021, the Huntsville Board and Bear reached a settlement agreement under which Bear was paid $1,082,127.57. At this point, no subcontractor had been paid, as all subcontracts with Bear contained pay if paid provisions, meaning that payment to the subcontractor was contingent upon payment to Bear. This led to six subcontractors seeking payment from Western Surety under Bond 859, either by bringing a civil suit under Alabama's Little Miller Act or threatening suit via demand letter. Western Surety issued payments under Bond 859 to four of the six subcontractors and incurred legal expenses defending all six claims. Pursuant to the Indemnity Agreement, Western Surety sought reimbursement from Defendants for the bond payments and expenses. Defendants refused to reimburse Western Surety, disputing their liability under the Indemnity Agreement. Western Surety brings this suit seeking reimbursement for the settlement payments made to the contractors, legal expenses incurred in defending the claims against Bond 859, as well as the legal expenses incurred in bringing the current case. Additionally, Western Surety seeks to compel Defendants to post collateral to protect it from all the losses and expenses that it has incurred or may incur in connection with the bond. Western Surety brought the following causes of action: indemnity (Count I); equitable indemnity, reimbursement, and exoneration against the Indemnitors (Count II); quia timet (Count III); breach of Indemnity Agreement (Count IV); and specific performance (Count V). The parties have conducted discovery and now move for partial summary judgment. Western Surety moved for summary judgment on its indemnity and breach of Indemnity Agreement claims (Counts I and IV). Defendants have responded and moved for summary judgment, seeking to dismiss Western Surety's claims to the extent they require Defendants to post collateral (Counts IIIV). Judge Stivers concludes that the terms of the Indemnity Agreement are clear --- Western Surety had the exclusive right to determine the merits of each subcontractor's claim against Bond 859 , and Defendants, as indemnitors, are required to reimburse Western Surety for any losses incurred in defending the claims. Under the Indemnity Agreement, a 'loss' includes any and every claim, demand, liability, cost, charge, suit, judgment, fee, interest on any amounts due Western Surety, and expense, including but not limited to attorney fees and consultant fees incurred by Western Surety as the result of issuing or considering the issuance of a Bond. 'Loss' also includes any cost incurred by Western Surety in bringing suit to enforce the obligation of any of the Indemnitors under the Agreement. Defendants were required to indemnify Western Surety for all losses incurred in defending the claims asserted by the subcontractors, and their failure to do so constitutes a breach of the agreement. The Court holds Western Surety's motion, therefore, is granted. Defendants shall reimburse Western Surety the incurred costs of defending the claims against the subcontractors, including settlement costs and attorneys' fees. Moreover, Defendants shall reimburse Western Surety the losses incurred in bringing this action to enforce the indemnitors' obligations. To the extent that Western Surety seeks to require Defendants to deposit collateral against potential future losses, the motion is denied as moot. The Court entered an Order as follows: 1. Defendants' Cross-Motion for Partial Summary Judgment is granted. Western Surety's claims for quia timet (Count III), breach of indemnity agreement (Count IV) and specific performance (Count V), to the extent they seek to require Defendants to deposit collateral against potential future losses, are dismissed. 2. Plaintiff's Motion for Summary Judgment is granted in part and denied in part. Western Surety's claims regarding Defendants' liability for indemnity (Count I) and breach of Indemnity Agreement (Count IV) are granted, and judgment is entered against Defendants jointly and severally in the amount of $730,776.02. Western Surety's claim for breach of Indemnity Agreement (Count IV), to the extent it requires Defendants to deposit collateral for potential future losses, is denied as moot. All other claims are dismissed as moot or duplicative of the remedy already provided. 3. Defendants shall reimburse Western Surety's reasonable attorneys' fees and expenses incurred in defending the claims brought by Genesis, RC, RBM, LTD, Frazier, and L&M, as well as the fees and expenses incurred by bringing this action. Western Surety is ordered to submit a separate motion under Fed. R. Civ. P. 54(d)(2), demonstrating appropriate support for its calculations of attorneys' fees and expenses. Western Surety shall submit this motion no later than Feb. 27, 2025. Defendants shall have 14 days to respond. A copy of the Court's decision is available at https://urlcurt.com/u?l=jSoNpw from PacerMonitor.com. About Bear Communications Lawrence, Kan.-based Bear Communications, LLC -- http://www.bearcommunications.net-- is a communications contractor offering aerial construction, underground construction, splicing, subscriber drop placement, residential and commercial installations, residential and commercial wiring, consulting, and testing services. Bear Communications filed its voluntary petition for Chapter 11 protection (Bankr. D. Kan. Case No. 21-10495) on May 28, 2021, disclosing total assets of up to $50 million and total liabilities of up to $100 million. Judge Dale L. Somers presides over the case. W. Thomas Gilman, Esq., at Hinkle Law Firm LLC, represents the Debtor as legal counsel. The U.S. Trustee for Region 20 appointed an official committee of unsecured creditors in the Debtor's case on June 29, 2021. The committee is represented by Robert Hammeke, Esq., at Dentons US LLP. BELLEVUE HOSPITAL: Hires Frantz Ward LLP as Special Counsel ----------------------------------------------------------- The Bellevue Hospital seeks approval from the U.S. Bankruptcy Court for the Northern District of Ohio to employ Frantz Ward LLP as special counsel. The firm will assist in the preparation of a Membership Substitution Agreement between the Debtor, its secured lender, Fifth Third Bank, and Firelands Regional Medical Center. The firm will be paid at these rates: Craig T. Haran, Partner $490 per hour Joel R. Hlavaty, Partner $490 per hour William A. Duncan, Partner $480 per hour Hans L. Larsen, Partner $460 per hour Brad D. Reed, Partner $410 per hour Meghan C. Lewallen, Associate Attorney $345 per hour Naomi G. Tellez, Associate Attorney $310 per hour Amy Wilkins, Paralegal $220 per hour Noelle Visintainer, Paralegal $220 per hour The firm received a retainer of $26,202.50. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Craig Haran, Esq., as Frantz Ward LLP, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Craig Haran, Esq. Frantz Ward LLP 200 Public Square Suite 3000 Cleveland, OH 44114 Tel: (216) 515-1652 About The Bellevue Hospital The Bellevue Hospital is a healthcare provider offering a range of services, including cancer care, cardiac and pulmonary rehab, diagnostic imaging, emergency care, and surgery. It serves residents of Bellevue, Clyde, Fremont, and surrounding areas, providing care 24/7. The organization is governed by a board of trustees and operates as a not-for-profit corporation. Bellevue Hospital was founded in 1914 and has interests in several subsidiary entities, including The Bellevue Hospital Foundation, Bellevue Professional Services, Inc., Bellevue Hospital Pain Management, LLC, Prairie Ridge, LLC, and Bellevue Hospital Medical Holdings, LLC. Bellevue Hospital filed Chapter 11 petition (Bankr. N.D. Ohio Case No. 25-30191) on February 5, 2025, listing between $10 million and $50 million in both assets and liabilities. Sara K. Brokaw, chief executive officer of Bellevue Hospital, signed the petition. Judge Mary Ann Whipple oversees the case. Richard K. Stovall, Esq., at Allen Stovall Neuman & Ashton LLP, represents the Debtor as legal counsel. Fifth Third Bank, as senior secured creditor, is represented by: Carrie M. Brosius, Esq. Vorys, Sater, Seymour and Pease LLP 200 Public Square, Suite 1400 Cleveland, OH 44114 Telephone: (216) 479-6189 Email: cmbrosius@vorys.com Firelands Regional Health System, as DIP lender, is represented by: Ellen Arvin Kennedy. Esq. Dinsmore & Shohl, LLP 100 W. Main Street, Suite 900 Lexington, Kentucky 40507 Telephone: (859) 425-1000 Facsimile: (859) 425-1099 Email: ellen.kennedy@dinsmore.com BIOTRICITY INC: Reports Improved Q3 Net Loss of $1.32 Million ------------------------------------------------------------- Biotricity Inc. submitted its quarterly report on Form 10-Q to the Securities and Exchange Commission, revealing a net loss attributable to common stockholders of $1.32 million on revenue of $3.62 million for the three months ending Dec. 31, 2024. This represents an improvement over the same period last year, when the Company posted a net loss attributable to common stockholders of $3.05 million on revenue of $2.97 million. For the nine months ending Dec. 31, 2024, the Company reported a net loss attributable to common stockholders of $9.92 million on revenue of $10.09 million, compared to a net loss attributable to common stockholders of $10.53 million on revenue of $8.89 million for the nine months ending Dec. 31, 2023. As of Dec. 31, 2024, the Company had $5.99 million in total assets, $35.78 million in total liabilities, $2.14 million in mezzanine equity, and a total stockholders' deficiency of $31.94 million. The Company said it continues to commercialize its current product ecosystem, while concurrently continuing in development mode, operating a research and development program in order to develop, obtain regulatory clearance for, and commercialize other proposed products. The Company has incurred recurring losses from operations, and as of Dec. 31, 2024, had an accumulated deficit of $137,419,652 and a working capital deficiency of $16,280,084. The Company mentioned that those conditions raise substantial doubt about its ability to continue as a going concern for a period of one year from the issuance of these Condensed Consolidated Financial Statements. During the nine months ended Dec. 31, 2024, the Company raised $1,519,000 from the issuance of convertible notes to private lenders, and sold 97,811 common shares through use of its registration statement, for net proceeds of $125,220. "In the course of operating its business, the Company has consistently increased revenues, improved margins and reduced net operating margins and improved metrics that indicate progress towards profitability. In addition to increasing revenues from its clinical customer base, the Company has expanded into new areas of business and business partnerships that management anticipates will propel the Company's progress in this regard," the Company stated in the report. "As we proceed with the commercialization of the Bioflux, Biocore, and Biocare product development, we expect to continue to devote significant resources on capital expenditures, as well as research and development costs and operations, marketing and sales expenditures," the Company continued. Based on the above facts and assumptions, the Company believes that its current cash reserves, along with expected near-term financing, will be adequate to cover its needs for the next twelve months from the filing date of this report. However, the Company will need to secure additional debt or equity capital to address business opportunities and challenges, including ongoing operating costs, safeguarding intellectual property, developing or acquiring new business ventures, and improving its operational infrastructure. The full text of the Form 10-Q is available for free at: https://www.sec.gov/Archives/edgar/data/1630113/000149315225007608/form10-q.htm About Biotricity Headquartered inRedwood City, CA, Biotricity Inc. -- www.biotricity.com -- is a medical technology company focused on biometric data monitoring solutions. The Company's aim is to deliver innovative, remote monitoring solutions to the medical, healthcare, and consumer markets, with a focus on diagnostic and post-diagnostic solutions for lifestyle and chronic illnesses. The Company approachs the diagnostic side of remote patient monitoring by applying innovation within existing business models where reimbursement is established. The Company believes this approach reduces the risk associated with traditional medical device development and accelerates the path to revenue. In post-diagnostic markets, the Company intends to apply medical grade biometrics to enable consumers to self-manage, thereby driving patient compliance and reducing healthcare costs. The Company first focused on a segment of the ambulatory diagnostic cardiac outpatient market, otherwise known as Mobile Cardiac Outpatient Monitoring ("COM"), while also providing the capability to perform all types of ambulatory cardiac studies. Richmond Hill, Ontario, Canada-based SRCO Professional Corporation, the Company's auditor since 2015, issued a "going concern" qualification in its report dated June 26, 2024, citing that the Company has incurred recurring losses from operations, has negative cash flows from operating activities, working capital deficiency and has an accumulated deficit that raise substantial doubt about its ability to continue as a going concern. Biotricity incurred a net loss attributed to common stockholders of $14,928,960 during the year ended March 31, 2024 as compared to $19,533,683 during the year ended March 31, 2023. From the Company's inception in 2009 through March 31, 2024, the Company has generated an accumulated deficit of $127,499,785. The Company devoted, and expects to continue to devote, significant resources in the areas of sales and marketing and research and development costs. The Company also expects to incur additional operating losses, as it builds the infrastructure required to support higher sales volume. BISHOP OF SAN DIEGO: Seeks to Extend Plan Exclusivity to June 12 ---------------------------------------------------------------- The Roman Catholic Bishop of San Diego asked the U.S. Bankruptcy Court for the Southern District of California to extend its exclusivity periods to file a plan of reorganization and obtain acceptance thereof to June 12 and August 13, 2025, respectively. The Debtor explains that its bankruptcy is complex and formulating a plan is a complicated process that will require substantial time. To formulate a plan, Debtor, the Committee, CMG and other parties are engaged in a mediation process. The assets and insurance available to pay abuse claims and the validity of those claims are complex and will necessarily require time to be resolved. The Debtor claims that it has made substantial efforts to move its bankruptcy forward. Specifically, Debtor obtained orders on its first day motions, schedules, and statements, reached an agreement with the Committee, its insurer, and other interested parties to engage mediators and continue negotiations toward a consensual plan, and negotiated a motion to set the claims bar date with the Committee and its insurer. Further, Debtor obtained approval of and complied with an extensive claims bar date notice procedure for the February 3, 2025 claims bar date. Debtor is currently in the process of reviewing and reconciling the voluminous claims received. The Debtor expects the substantial progress being made to date to continue as this case moves forward. The Debtor asserts that it does not seek an additional extension of the Exclusivity Periods in order to pressure its creditors. Rather, Debtor seeks an additional extension of the Exclusivity Periods in order to maintain the status quo and allow negotiations towards a just settlement of survivor claims and a consensual plan of reorganization to continue. The Committee consents to the relief requested herein. The Debtor further asserts that the Debtor will be unable to reach a consensual plan of reorganization without first reviewing the extent of the claims against its estate, the amount negotiated to settle abuse claims, and the availability of insurance coverage. Therefore, the Dow Corning factors favor the extension requested herein. The Roman Catholic Bishop of San Diego is represented by: GORDON REES SCULLY MANSUKHANI, LLP Jeffrey D. Cawdrey, Esq. Megan M. Adeyemo, Esq. Kathryn M.S. Catherwood, Esq. Kathleen M. Patrick, Esq. Annie Carter Matthews, Esq. 101 W. Broadway, Suite 2000 San Diego, California 92101 Telephone: (619) 696-6700 Facsimile: (619) 696-7124 Email: jcawdrey@grsm.com madeyemo@grsm.com kcatherwood@grsm.com kpatrick@grsm.com amatthews@grsm.com About The Roman Catholic Bishop of San Diego The Roman Catholic Bishop of San Diego sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.P.R. Case No. 24-02202) on June 17, 2024. In the petition signed by Rodrigo Valdivia, vice moderator of the Curia, the Debtor disclosed up to $500 million in both assets and liabilities. Judge Christopher B. Latham oversees the case. The Debtor tapped Gordon Rees Scully Mansukhani, LLP as counsel and GlassRatner Advisory & Capital Group, LLC, doing business as B. Riley Advisory Services, as financial advisor. Donlin, Recano & Company, Inc., as administrative advisor. BLACKBERRY LIMITED: Legal & General Group Holds 5.6% Equity Stake ----------------------------------------------------------------- Legal & General Group Plc, along with its affiliates, disclosed in a disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owned 33,185,748 shares, representing 5.6% of BlackBerry Limited's common stock, representing 5.6% of the shares outstanding. Legal & General Group Plc may be reached at: Mary Ann Colledge Head of Conduct Advisory One Coleman Street London EC2R 5AA A full-text copy of Legal & General Group's SEC Report is available at: https://tinyurl.com/yprtxkt9 About BlackBerry Headquartered in Waterloo, Canada, BlackBerry Limited provides intelligent security software solutions. At May 31, 2024, BlackBerry had $1.3 billion in total assets, $581 million in total liabilities, and $742 million in total equity. * * * Egan-Jones Ratings Company on December 18, 2024, maintained its 'CCC' foreign currency and local currency senior unsecured ratings on debt issued by BlackBerry Limited. BONTERRA ENERGY: DBRS Finalizes B Credit Rating, Trend Stable ------------------------------------------------------------- DBRS Limited finalized its provisional credit rating of B with a recovery rating of RR4 and a Stable trend on Bonterra Energy Corp.'s (Bonterra or the Company) $135 million Senior Secured Second Lien Notes (the Senior Notes). The recovery rating of RR4 suggests a recovery of 30% to 60% in a default scenario for the Senior Notes. There is no change to the Company's Issuer Rating of B with a Stable trend. The Senior Notes are secured, ranking pari passu in right of payment to all existing and future senior indebtedness and senior in right of payment to all existing and future Subordinated Indebtedness and are guaranteed by all of Bonterra' current and future subsidiaries. The Senior Notes have standard covenants, including, but not limited to, limits on indebtedness, restricted payments, liens, and asset sales. Bonterra intends to use the net proceeds from the Offering to redeem the Debentures and prepay amounts currently drawn under the Term Loan, along with related accrued interest and prepayment penalties, with the remainder, if any, to repay a portion of the amount then drawn under the Credit Agreement, to pay related transaction expenses and/or for general corporate purposes. The credit rating is underpinned by Bonterra's (1) light oil-weighted production mix; (2) relatively diversified asset base; and (3) relatively strong financial risk profile, which, under Morningstar DBRS' base-case commodity price assumption, provides an uplift to the Issuer Rating. Bonterra's credit ratings are constrained by its small scale of operations (average annual production of 14,586 boe/d for Q3 2024) and relatively higher cost structure. For more information, please see the press release "Morningstar DBRS Assigns Issuer Rating of B With a Stable Trend to Bonterra Energy Corp," dated January 15, 2025. Notes: All figures are in Canadian dollars unless otherwise noted. BRIGHT LAKES: Hires KW Commercial as Real Estate Broker ------------------------------------------------------- Bright Lakes - Cielo Villas, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Texas to employ KW Commercial as real estate broker. The firm will market and sell the Debtor's real property located at Babcock Rd and Cielo Vista Dr., San Antonio, TX 78255. The firm will be paid based upon its normal and usual commission. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Liz Blue Braden, a partner at KW Commercial, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Liz Blue Braden KW Commercial 1102 E. Sonterra Blvd. San Antonio, TX 78258 Tel: (210) 843-5853 About Bright Lakes - Cielo Villas LLC Bright Lakes - Cielo Villas LLC is engaged in activities related to real estate. Bright Lakes - Cielo Villas LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tex. Case No. 24-52243) on Nov. 4, 2024. In the petition filed by Craig Glendenning, as manager, the Debtor estimated assets and liabilities between $1 million and $10 million each. The Honorable Bankruptcy Judge Craig A. Gargotta handles the case. The Debtor is represented by Ronald Smeberg, Esq. at THE SMEBERG LAW FIRM. BROUDY GROUP: Court OKs Car Dealership Sale to G. Payne for $2.35MM ------------------------------------------------------------------- Broudy Group, Inc. received the green light from the U.S. Bankruptcy Court for the Eastern District of Texas, Sherman Division, to sell its property assets free and clear of liens, claims, and interests. The Debtor owns and operates a Nissan and used car dealership in Ardmore, Oklahoma, and owns various assets related to the business. The Debtor is authorized to sell its car dealership business to Glenn Payne for $2.35 million and empowered to consummate the transaction. The Debtor is allowed to enter into amendments of the purchase agreement attached as necessary to consummate the sale so long as those amendments do not reduce the consideration payable by the Purchaser to the Debtor. The Sale Order will be binding in all respects upon the Debtor and the estate, successors, and assigns, all creditors of and equity holders of the Debtor, and any and all other parties in interest, including, without limitation, any and all holders of Liens. About Broudy Group, Inc. Broudy Group Inc. is an automobile dealer in Celina, Texas. Broudy Group sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Tex. Case No. 24-42463) on Oct. 18, 2024, with $1 million to $10 million in both assets and liabilities. Carey E. Broudy, president and director, signed the petition. Judge Brenda T. Rhoades oversees the case. The Debtor is represented by Howard Marc Spector, Esq., at Specter & Cox, PLLC. BROWN FAMILY: Seeks to Hire Keck Legal LLC as Legal Counsel ----------------------------------------------------------- Brown Family Network, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Georgia to employ Keck Legal, LLC as counsel. The firm will render these services: (a) give the Debtor legal advice with respect to its powers and duties; (b) prepare on behalf of the Debtor necessary legal papers; (c) assist examination of the claims of creditors; (d) assist with formulation and preparation of the disclosure statement and plan of reorganization and with the confirmation and consummation thereof; and (e) perform all other legal services for the Debtor that may be necessary herein. The firm will be paid at these rates: Benjamin Keck, Attorney $465 per hour Maysen Moorehad, Attorney $265 per hour Selah Owusu, Paraprofessional $125 per hour Juan Montes, Paraprofessional $115 per hour Miguel Quinonez, Paraprofessional $105 per hour Jeremy's Place Inc., a company owned and managed by the wife of Johnny Dewayne Brow, the Debtor's CEO, paid a $20,000 retainer into the trust account of the firm. Mr. Keck disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Benjamin Keck, Esq. Keck Legal, LLC 2801 Buford Highway NE, Suite 115 Atlanta, GA 30329 Telephone: (470) 826-6020 Email: bkeck@kecklegal.com About Brown Family Network, LLC Brown Family Network LLC is a retail trade business operating from Palmetto, Georgia. Brown Family Network, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 25-51111) on February 3, 2025, listing between $1 million and $10 million in both assets and liabilities. Benjamin R. Keck, Esq., at Keck Legal, LLC represents the Debtor as bankruptcy counsel. C AND D COMPANY: Files Chapter 11 Bankruptcy in Georgia ------------------------------------------------------- On February 4, 2025, C and D Company LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Georgia. According to court filing, the Debtor reports between $100,000 and $500,000 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About C and D Company LLC C and D Company LLC is a single asset real estate company operating from 1962 Marietta St in Atlanta, Georgia. C and D Company LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 25-51159) on February 4, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100,000 and $500,000 each. C.I.I. INC: Jeanette McPherson Named Subchapter V Trustee --------------------------------------------------------- The U.S. Trustee for Region 17 appointed Jeanette McPherson, Esq., at Fox Rothschild, LLP, as Subchapter V trustee for C.I.I., Inc. Ms. McPherson will be paid an hourly fee of $625 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. McPherson declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Jeanette McPherson, Esq. Fox Rothschild, LLP 1980 Festival Plaza Drive, Suite 700 Las Vegas, NV 89135 Phone: (702) 699-5923 Email: TrusteeJMcPherson@FoxRothschild.com About C.I.I. Inc. C.I.I., Inc., doing business as Cover It Window Fashions and Cover-It Window Fashions, was founded in 1995 and specializes in window coverings and interior design solutions, offering exclusively Hunter Douglas shades along with custom drapery design and fabrication. It also supplies Eclipse Zipper Track Exterior Screens and Awnings to enhance outdoor living spaces. The company delivers services like in-home consultations, measurements, and installations to customers in the Las Vegas region. C.I.I. filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Nev. Case No. 25-10677) on February 6, 2025, listing total assets of $560,662 and total liabilities of $3,065,715. The Debtor is represented by: Corey B. Beck, Esq. Corey B. Beck, Esq. 425 South Sixth Street Las Vegas, NV 89101 Tel: 702-678-1999 Email: becksbk@yahoo.com CADUCEUS PHYSICIANS: Plan Exclusivity Period Extended to April 25 ----------------------------------------------------------------- Judge Theodor Albert of the U.S. Bankruptcy Court for the Central District of California extended Caduceus Physicians Medical Group, a Professional Medical Corporation d/b/a Caduceus Medical Group, and Caduceus Medical Services, LLC's exclusive periods to file a plan of reorganization and obtain acceptance thereof to April 25 and June 25, 2025, respectively. As shared by Troubled Company Reporter, the Debtors explain that their request for an extension of the exclusivity periods for the filing of a plan and the solicitation of acceptances to such plan satisfies the general principles established by courts as guideposts for demonstrating "cause" within the meaning of Section 1121(d). First, Debtors have made good faith progress in moving toward reorganization. Moreover, Debtors have made significant progress towards reorganization since the Petition Date. Debtors have obtained this Court's approval the Joint Administration Motion, the Utilities Motion, the Cash Management Motion, and the Wage Motion, as well as interim relief regarding the Cash Collateral Motion. The Debtors simply need additional time to have the bid procedure and sale motions heard by this Court. Third, Debtors have continued to pay its bills as they have come due. Fourth, this is Debtors' second request for an extension. Debtors have made significant progress towards reorganization by filing and obtaining orders granting the first-day motions, entering into the AP Stipulation, rejecting the Lease, setting the Claims Bar Date and preparing to file a bid procedure and sale motion. Counsel to the Debtors: David A. Wood, Esq. Matthew W. Grimshaw, Esq. Sarah R. Hasselberger, Esq. MARSHACK HAYS WOOD LLP 870 Roosevelt Irvine, CA 92620-3663 Tel: (949) 333-7777 Fax: (949) 333-7778 Email: dwood@marshackhays.com About Caduceus Physicians Medical Group Caduceus Physicians Medical Group, a Professional Medical Corporation, d/b/a Caduceus Medical Group, is a physician owned and managed multi-specialty medical group with locations in Yorba Linda, Anaheim, Orange, Irvine, and Laguna Beach. It specializes in primary care, pediatrics, and urgent care. Caduceus Physicians Medical Group and Caduceus Medical Services, LLC, filed Chapter 11 petitions (Bankr. C.D. Cal. Lead Case No. 24-11946) on August 1, 2024. The petitions were signed by CRO Howard Grobstein. At the time of the filing, Caduceus Physicians reported $1 million to $10 million in both assets and liabilities while Caduceus Medical reported up to $50,000 in both assets and liabilities. Judge Theodor Albert presides over the cases. David A. Wood, Esq., at Marshack Hays Wood, LLP, is the Debtors' legal counsel. CANVAS SARASOTA: Aleida Martinez Molina Named Subchapter V Trustee ------------------------------------------------------------------ The U.S. Trustee for Region 21 appointed Aleida Martinez Molina, Esq., as Subchapter V trustee for Canvas Sarasota, LLC. Ms. Molina will be paid an hourly fee of $450 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Molina declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Aleida Martinez Molina, Esq. 2121 NW 2nd Avenue, Suite 201 Miami, FL 33127 Telephone: (305) 297-1878 Email: Martinez@subv-trustee.com About Canvas Sarasota Canvas Sarasota, LLC filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-11395) on February 10, 2025, listing up to $50,000 in assets and between $1 million and $10 million in liabilities. Pablo Arce, manager of Canvas Sarasota, signed the petition. Judge Corali Lopez-Castro oversees the case. Ismael Jose Labrador, Esq., at Gallardo Law Firm, P.A. represents the Debtor as bankruptcy counsel. CAPRI HOLDINGS: S&P Lowers ICR to 'BB' on Performance Pressure -------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on Luxury accessory retailer Capri Holdings Ltd. two notches to 'BB' from 'BBB-'. S&P said, "We also assigned our issue-level rating to Capri's secured revolver and term loan of 'BBB-' with a recovery rating of '1', indicating full recovery of 90%-100% (rounded estimate: 90%). The negative outlook reflects our view that stabilizing Capri could take longer and be more costly than the company anticipates. "The lower rating reflects Capri's weak operating performance over the past two years, including underperformance across all brands, and our expectation of continued negative sales trends in the coming year." Capri's total revenue declined 11.6% in the third fiscal 2025 quarter ended Dec. 28, 2024, mainly due to a global slowdown in demand for luxury fashion goods and the underperformance of strategic initiatives. Operational missteps in repositioning the Versace and Michael Kors brands also hurt performance. Revenue fell across all three brands: Versace by 15%, Michael Kors by 12.1%, and Jimmy Choo by 4.2% as products failed to resonate with customers. Michael Kors attempted to appeal to younger customers. Meanwhile, Versace focused more on luxury and quality, removing unique styles and offering fewer products for aspirational consumers. S&P Global Ratings-adjusted EBITDA margins declined 370 basis points (bps) to 16.6% due in part to lower full-price sell-throughs across the group in the latest twelve months through the third fiscal 2025 quarter. To be more in line with its peers, it would need margins of mid-20%. Capri posted $1.18 billion of EBITDA through fiscal 2022 by our calculations and will only reach $257 million of EBITDA for fiscal 2025 by our projections. S&P said, "As a result, we believe the company's competitive advantage, scale, scope, and diversity, as well as its operating efficiency have deteriorated. We now view business risk profile one category lower as fair." S&P said, "Leverage will likely remain elevated above 4x through 2025, risking our expectation for deleveraging to below 4x in 2026 amid recent trends. This compares with 3.0x for the bank's fiscal 2025 covenant calculation. We now anticipate Capri's revenue will decline approximately 15% in 2025. This stems from ongoing store optimization efforts, reduction in the wholesale channel, and work to reposition its brands. We expect S&P Global Ratings-adjusted debt to EBITDA of low-4x for fiscal 2025 compared to our previous expectation of low-3x, potentially improving to mid-3x in 2026 but with downside risk to that forecast. "We note large execution risks with the multiprong approach Capri needs during a persistently challenging luxury retail environment in the coming year. As a result, Capri's leverage could remain elevated beyond our expectations in the coming two years. Therefore, we lowered our financial risk profile one category to significant. "In the coming year, we will monitor how Capri executes its plans for improving its core Jimmy Choo, Michael Kors, and Versace lines. Capri announced at an investor day on Feb. 19, 2025 plans to close 100 Michael Kors doors in fiscal 2025 and about 75 in fiscal 2026, offset with modest store openings. It also said it would reduce debt by about $200 million per year and end fiscal 2028 with about $600 million in net debt. It looks to improve operating margins through global headcount reductions, store closures, office consolidations, and other efficiencies in areas like the supply chain. These plans are in line with our expectations for the improvements needed to stabilize the business. "Additionally, we note that while the acquisitions of Jimmy Choo and Versace increased the company's presence in Europe and Asia, weak global demand for luxury goods has weighed on performance. In the third quarter of fiscal 2025, the company reported revenue declines across all regions. "We believe the company has lost market share to other competitors, not all of which are experiencing similar declines. Capri announced plans to invest in e-commerce, store renovations, and product development, reduce debt with excess cash flow, and keep share buybacks paused. While we expect modest performance recovery in the coming year, we believe this is a long term plan to improve brand positioning, pricing and footprint. We will continue to monitor the company's progress as it implements these turnaround strategies. We are not factoring in a sale of any brands at this time but recognize the value in Versace and Jimmy Choo and will be monitoring go-forward merger and acquisition (M&A) plans closely. Given underperformance in the business across regions and brands, as well as management's lack of strategic initiative while performance deteriorated amid the Tapestry deal, we are revising our management and governance score to moderately negative from positive. "The negative outlook reflects risks in the company's plans to turn around the business in the coming year in a cost-effective manner. We remain cautious about recent strategic missteps, the weak macroeconomic environment, and go-forward strategies to return to brand strength and improve profitability." S&P could lower its rating on Capri if the company's brands continue to falter such that leverage exceeds 4x on a sustained basis. This could occur if the company fails to execute on its strategy such that: -- A weak macroeconomic environment and lack of product resonance lead to sales continuing to drop at current levels and more stores close; -- Gross margins erode an additional 50 basis points; -- Costs and investments required to turn around the business appear to exceed the company's current resources, including cash on hand and revolver availability, such that liquidity could weaken. S&P could revise the outlook to stable if the company is successful in executing its strategy. This includes stabilizing revenues and demonstrating a track record of improved profitability that brings leverage comfortably below 4x on a sustained basis. This would require: -- More than 50 bps of gross margin improvement and positive sales growth; and -- A commitment to continue to prioritize deleveraging over shareholder-friendly dividends and share repurchases, with liquidity well positioned to support the business. CBDMD INC: Incurs $985,406 Net Loss for Quarter Ended Dec. 31 ------------------------------------------------------------- cbdMD, Inc. filed with the U.S. Securities and Exchange Commission its Quarterly Report on Form 10-Q reporting a net loss of $985,406 attributable to cbdMD, Inc. common shareholders on $5,113,476 of revenue for the three months ended December 31, 2024, compared to a net loss of $1,997,002 attributable to cbdMD, Inc. common shareholders on $5,375,405 of revenue for the three months ended December 31, 2023. The Company experienced income of $15,095 for the three months ended December 31, 2024, resulting in a working capital deficit of $2,809,100 at December 31, 2024. While the Company is taking strong action, believes in the viability of its strategy and path to profitability, and in its ability to raise additional funds, there can be no assurances to that effect. The Company's working capital position may not be sufficient to support the Company's daily operations for the 12 months subsequent to the issuance of these annual financial statements. The Company's ability to continue as a going concern is dependent upon its ability to improve profitability and the ability to acquire additional funding. These and other factors raise substantial doubt about the Company's ability to continue as a going concern within the next 12 months. As of December 31, 2024, the Company had $11,542,977 in total assets, $9,761,386 in total liabilities, and $1,781,591 in total shareholders' equity. A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/fkwa7w6z About cbdMD, Inc. Headquartered in Charlotte, NC, cbdMD, Inc. -- www.cbdmd.com -- owns and operates the nationally recognized CBD (cannabidiol) brands cbdMD, Paw CBD, and cbdMD Botanicals. Its mission is to enhance its customers' overall quality of life while bringing CBD education, awareness, and accessibility of high-quality and effective products to all. The Company sources cannabinoids, including CBD, which are extracted from non-GMO hemp grown on farms in the United States. Charlotte, North Carolina-based Cherry Bekaert LLP, the Company's auditor since 2016, issued a "going concern" qualification in its report dated Dec. 18, 2024, citing that the Company has historically incurred losses, including a net loss of approximately $3.7 million in the current year, resulting in an accumulated deficit of approximately $182 million as of September 30, 2024. These conditions raise substantial doubt about the Company's ability to continue as a going concern. CELSIUS NETWORK: Court Sustains Objection to Powers Claim --------------------------------------------------------- Chief Judge Martin Glenn of the United States Bankruptcy Court for the Southern District of New York sustained the objection of Mohsin Y. Meghji, in his capacity as Litigation Administrator of Celsius Network LLC and its debtor affiliates, to certain proofs of claim. Based on its review of the Debtors' schedules and books and records, the Litigation Administrator believes that the claims were filed in inaccurate amounts and/or were filed under the incorrect prepetition program. The Litigation Administrator seeks entry of an order modifying the Inaccurately Supported Claims. On Feb. 6, 2025, the Court docketed a response from Ryan Powers who opposed the Claims Objection with respect to proof of claim no. 27292, which Mr. Powers filed in the amount of $3,489,216.36 against All Debtors. Powers indicates that the asserted amounts are based on mining activity that resulted in deposits into Celsius, and his ability to provide further documentation is hindered by the loss of access to his Celsius wallet due to the bankruptcy proceedings. He argues that the burden of proof should rest with the Litigation Administrator to produce records that show that his claimed assets do not exist as opposed to him providing records that are solely in Celsius's possession. With respect to the Powers Claim, the Claims Objection seeks to modify the claim and reduce it from $3,489,216.36 to $411.99. The basis for the Litigation Administrator's objection is that the Powers Claim fails to provide sufficient supporting documentation to constitute prima facie evidence of the validity, type, and amount of the claim. The Litigation Administrator asserts that the Powers Claim was filed under the incorrect prepetition program and in an amount that differs from the amount reflected in the Debtors' schedules and books and records. The Court notes Powers has not offered any documentation that would support his position that the Litigation Administrator's proposed modification is inaccurate. As an initial matter, the Powers Claim was filed without any documentation to support the asserted amount. According to the Court, Powers also fails to carry his burden to prove the validity of the Powers Claim by a preponderance of the evidence. In addition, Powers also failed to opt out of the Class Claim Settlement, the Court finds. Article IV.B.8 of the Debtors' Chapter 11 Plan provides that such claims shall be expunged from the claims register and shall be of no further force and effect. The Court concludes the Litigation Administrator has satisfied its burden to show that the Inaccurately Supported Claims should be modified. According to the Court, modification of the Inaccurately Supported Claims is appropriate to prevent improper or excessive recovery at the expense of other creditors. Granting the relief sought would also provide the Post-Effective Date Debtors the added benefit of having a claims register that accurately reflects the Debtors' liabilities, the Court adds. The Court sustains the Claims Objection as to the Inaccurately Supported Claims and overrules the Powers Response. A copy of the Court's decision is available at http://urlcurt.com/u?l=ATnXvKfrom PacerMonitor.com. Co-Counsel to Mohsin Y. Meghji as Litigation Administrator: Seth H. Lieberman, Esq. Matthew W. Silverman, Esq. Andrew S. Richmond, Esq. PRYOR CASHMAN LLP 7 Times Square New York, NY 10036 Telephone: (212) 421-4100 E-mail: slieberman@pryorcashman.com msilverman@pryorcashman.com arichmond@pryorcashman.com Co-Counsel to Mohsin Y. Meghji as Litigation Administrator: Samuel P. Hershey, Esq. WHITE & CASE LLP 1221 Avenue of the Americas New York, NY 10020 Telephone: (212) 819-2699 E-mail: sam.hershey@whitecase.com - and - Ronald Gorsich, Esq. WHITE & CASE LLP 555 South Flower Street, Suite 2700 Los Angeles, CA 90071 Telephone: (213) 620-7769 E-mail: rgorsich@whitecase.com - and - Gregory F. Pesce, Esq. Laura Baccash, Esq. 111 South Wacker Drive, Suite 5100 Chicago, IL 60606 Telephone: (312) 881-5400 E-mail: gpesce@whitecase.com laura.baccash@whitecase.com About Celsius Network Celsius Network LLC -- http://www.celsius.network/-- is a financial services company that generates revenue through cryptocurrency trading, lending, and borrowing, as well as by engaging in proprietary trading. Celsius helps over a million customers worldwide to find the path towards financial independence through a compounding yield service and instant low-cost loans accessible via a web and mobile app. Celsius has a blockchain-based fee-free platform where membership provides access to curated financial services that are not available through traditional financial institutions. The Celsius Wallet claims to be one of the only online crypto wallets designed to allow members to use coins as collateral to get a loan in dollars, and in the future, to lend their crypto to earn interest on deposited coins (when they're lent out). Crypto lenders such as Celsius boomed during the COVID-19 pandemic, drawing depositors with high interest rates and easy access to loans rarely offered by traditional banks. But the lenders' business model came under scrutiny after a sharp sell-off in the crypto market spurred by the collapse of major tokens terraUSD and luna in May 2022. New Jersey-based Celsius froze withdrawals in June 2022, citing "extreme" market conditions, cutting off access to savings for individual investors and sending tremors through the crypto market. The list of major crypto firms that have filed for bankruptcy protection in 2022 now includes Celsius Network, Three Arrows Capital and Voyager Digital. Celsius Network, LLC and its subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 22-10964) on July 14, 2022. In the petition filed by CEO Alex Mashinsky, the Debtors estimated assets and liabilities between $1 billion and $10 billion. The Debtors tapped Kirkland & Ellis, LLP and Kirkland & Ellis International, LLP as bankruptcy counsels; Fischer (FBC & Co.) as special counsel; Centerview Partners, LLC as investment banker; and Alvarez & Marsal North America, LLC as financial advisor. Stretto is the claims agent and administrative advisor. On July 27, 2022, the U.S. Trustee appointed an official committee of unsecured creditors. The committee tapped White & Case, LLP as its bankruptcy counsel; Elementus Inc. as its blockchain forensics advisor; M3 Advisory Partners, LP as its financial advisor; and Perella Weinberg Partners, LP as its investment banker. Shoba Pillay, Esq., is the examiner appointed in the Debtors' Chapter 11 cases. Jenner & Block, LLP and Huron Consulting Services, LLC, serve as the examiner's legal counsel and financial advisor, respectively. * * * On November 9, 2023, the Bankruptcy Court entered the Findings of Fact, Conclusions of Law, and Order Confirming the Modified Joint Chapter 11 Plan of Celsius Network LLC and Its Debtor Affiliates. The Effective Date of the Plan occurred January 31, 2024. CELSIUS NETWORK: Objection to Certain Proofs of Claim Sustained --------------------------------------------------------------- Chief Judge Martin Glenn of the United States Bankruptcy Court for the Southern District of New York sustained the objection of Mohsin Y. Meghji, in his capacity as Litigation Administrator of Celsius Network LLC and its debtor affiliates, to certain proofs of claim. Based on its review of the Debtors' schedules and books and records, the Litigation Administrator believes that the claims were filed in inaccurate amounts and/or were filed under the incorrect prepetition program. The Litigation Administrator seeks entry of an order modifying the Inaccurately Supported Claims. Two responses were filed to the Claims Objection: (i) the response of claimant Parish Pearson, which was filed on Jan. 18, 2025 in connection with proof of claim no. 29963 filed in the amount of $14,320,519.41 against All Debtors, and (ii) the response of claimant David Alexander Perez Rodriguez in connection with proof of claim no. 27294 that was filed in the amount of $4,381.78. In connection with the Pearson Response, Pearson also separately submitted documentation in support of her opposition, which includes: (i) various emails she received from Celsius regarding her account and withdrawal attempts, and (ii) links to news coverage of former Celsius Chief Executive Officer Alex Mashinsky's criminal proceedings. Pearson opposes the Claims Objection, stating that: (i) the Litigation Administrator's proposed modification of the Pearson Claim does not accurately reflect the total value of her deposits and earnings, and (ii) neither the Litigation Administrator nor Celsius has provided any evidence to substantiate the proposed adjustment to her claim. Pearson requests that the Court and Litigation Administrator: (i) investigate her account records to determine the full extent of her holdings and staking rewards, and (ii) adjust the proposed claim amount to reflect the accurate value of her deposits and earnings. The Perez Response states that the Claims Objection addresses a proof of claim that he never submitted nor received any information about. Rather, he filed a proof of claim in the amount of $2,190.89 and has, to date, received $1,772.28 in distributions on account of his claim. Accordingly, he requests that the claims register's erroneous entry be removed or corrected to prevent any further confusion. With respect to the Pearson Claim, the Claims Objection seeks to modify the claim and reduce it from $14,320,519.41 to $1,986.98. The basis for the Litigation Administrator's objection is that the Pearson Claim fails to provide sufficient supporting documentation to constitute prima facie evidence of the validity, type, and amount of the claim. The Litigation Administrator asserts that the Pearson Claim was filed under the incorrect prepetition program and in an amount that differs from the amount reflected in the Debtors' schedules and books and records. The Court notes Pearson has not offered any documentation that would support her position that the Litigation Administrator's proposed modification is inaccurate. As an initial matter, the Pearson Claim was filed without any supporting documentation. According to the Court, Pearson also fails to carry her burden to prove the validity of her claim by a preponderance of the evidence. Pearson also failed to opt out of the Class Claim Settlement, the Court finds. As for the Perez Claim, the Claims Objection seeks to modify the claim and reduce it from $4,381.78 to $2,190.90. The Perez Response, however, appears to generally agree with the Litigation Administrator's proposed modification, stating that the Perez Claim should be in the amount of $2,190.89. The Court concludes the Litigation Administrator has satisfied its burden to show that the Inaccurately Supported Claims should be modified. According to the Court, modification of the Inaccurately Supported Claims is appropriate to prevent improper or excessive recovery at the expense of other creditors. Granting the relief sought would also provide the Post-Effective Date Debtors the added benefit of having a claims register that accurately reflects the Debtors' liabilities, the Court adds. The Court sustains the Claims Objection as to the Inaccurately Supported Claims and overrules the the Pearson and Perez Responses. A copy of the Court's decision is available at http://urlcurt.com/u?l=nLUIBtfrom PacerMonitor.com. Co-Counsel to Mohsin Y. Meghji as Litigation Administrator: Seth H. Lieberman, Esq. Matthew W. Silverman, Esq. Andrew S. Richmond, Esq. PRYOR CASHMAN LLP 7 Times Square New York, NY 10036 Telephone: (212) 421-4100 E-mail: slieberman@pryorcashman.com msilverman@pryorcashman.com arichmond@pryorcashman.com Co-Counsel to Mohsin Y. Meghji as Litigation Administrator: Samuel P. Hershey, Esq. WHITE & CASE LLP 1221 Avenue of the Americas New York, NY 10020 Telephone: (212) 819-2699 E-mail: sam.hershey@whitecase.com - and - Ronald Gorsich, Esq. WHITE & CASE LLP 555 South Flower Street, Suite 2700 Los Angeles, CA 90071 Telephone: (213) 620-7769 E-mail: rgorsich@whitecase.com - and - Gregory F. Pesce, Esq. Laura Baccash, Esq. 111 South Wacker Drive, Suite 5100 Chicago, IL 60606 Telephone: (312) 881-5400 E-mail: gpesce@whitecase.com laura.baccash@whitecase.com About Celsius Network Celsius Network LLC -- http://www.celsius.network/-- is a financial services company that generates revenue through cryptocurrency trading, lending, and borrowing, as well as by engaging in proprietary trading. Celsius helps over a million customers worldwide to find the path towards financial independence through a compounding yield service and instant low-cost loans accessible via a web and mobile app. Celsius has a blockchain-based fee-free platform where membership provides access to curated financial services that are not available through traditional financial institutions. The Celsius Wallet claims to be one of the only online crypto wallets designed to allow members to use coins as collateral to get a loan in dollars, and in the future, to lend their crypto to earn interest on deposited coins (when they're lent out). Crypto lenders such as Celsius boomed during the COVID-19 pandemic, drawing depositors with high interest rates and easy access to loans rarely offered by traditional banks. But the lenders' business model came under scrutiny after a sharp sell-off in the crypto market spurred by the collapse of major tokens terraUSD and luna in May 2022. New Jersey-based Celsius froze withdrawals in June 2022, citing "extreme" market conditions, cutting off access to savings for individual investors and sending tremors through the crypto market. The list of major crypto firms that have filed for bankruptcy protection in 2022 now includes Celsius Network, Three Arrows Capital and Voyager Digital. Celsius Network, LLC and its subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 22-10964) on July 14, 2022. In the petition filed by CEO Alex Mashinsky, the Debtors estimated assets and liabilities between $1 billion and $10 billion. The Debtors tapped Kirkland & Ellis, LLP and Kirkland & Ellis International, LLP as bankruptcy counsels; Fischer (FBC & Co.) as special counsel; Centerview Partners, LLC as investment banker; and Alvarez & Marsal North America, LLC as financial advisor. Stretto is the claims agent and administrative advisor. On July 27, 2022, the U.S. Trustee appointed an official committee of unsecured creditors. The committee tapped White & Case, LLP as its bankruptcy counsel; Elementus Inc. as its blockchain forensics advisor; M3 Advisory Partners, LP as its financial advisor; and Perella Weinberg Partners, LP as its investment banker. Shoba Pillay, Esq., is the examiner appointed in the Debtors' Chapter 11 cases. Jenner & Block, LLP and Huron Consulting Services, LLC, serve as the examiner's legal counsel and financial advisor, respectively. * * * On November 9, 2023, the Bankruptcy Court entered the Findings of Fact, Conclusions of Law, and Order Confirming the Modified Joint Chapter 11 Plan of Celsius Network LLC and Its Debtor Affiliates. The Effective Date of the Plan occurred January 31, 2024. CELSIUS: Objection to Inaccurately Supported Claims Sustained ------------------------------------------------------------- Chief Judge Martin Glenn of the United States Bankruptcy Court for the Southern District of New York sustained the objection of Mohsin Y. Meghji, in his capacity as Litigation Administrator of Celsius Network LLC and its affiliates, to certain proofs of claim. Based on its review of the Debtors' schedules and books and records, the Litigation Administrator believes that the claims were filed in inaccurate amounts and/or were filed under the incorrect prepetition program. The Litigation Administrator seeks entry of an order modifying the Inaccurately Supported Claims. Two responses were filed to the Claims Objection: (i) the response of Philip Del Pozzo in connection with proof of claim no. 14548 that was filed in the amount of $6,923.21, and (ii) the response of Jai Gopal-Singh Khalsa in connection with proof of claim no. 16922 that was filed in the amount of $76,425.09 Nothing in the Del Pozzo Response articulates his position on the Claims Objection as it pertains to the Del Pozzo Claim. Khalsa opposes the Claims Objection as it relates to his claim concerning custody on a collateralized loan. He states that the Debtors froze all withdrawals and transfers in and out of the platform and continued to issue margin calls and ultimately liquidated the collateral. He argues that the basis for that liquidation was fraudulent and resulted in the theft of the collateral. With respect to the Del Pozzo Claim, the Claims Objection seeks to modify the claim and reduce it from $6,923.21 to $923.20. The basis for the Litigation Administrator's objection is that the Del Pozzo Claim fails to provide sufficient supporting documentation to constitute prima facie evidence of the validity, type, and amount of the claim. With respect to the Khalsa Claim, the Claims Objection seeks to modify the claim and reduce it from $76,425.09 to $13,192.19. The Litigation Administrator argues that the Khalsa Claim was filed under the incorrect prepetition program and in an amount that differs from the amount reflected in the Debtors' schedules and books and records. The Litigation Administrator further asserts that the Khalsa Claim lacks supporting documentation. The basis for the Litigation Administrator's objection is that the Khalsa Claim, like the Del Pozzo Claim, also fails to provide sufficient supporting documentation to constitute prima facie evidence of the validity, type, and amount of the claim. The Court finds the Litigation Administrator has satisfied its burden to show that the Inaccurately Supported Claims should be modified. According to the Court, modification of the Inaccurately Supported Claims is appropriate to prevent improper or excessive recovery at the expense of other creditors. Granting the relief sought would also provide the Post-Effective Date Debtors the added benefit of having a claims register that accurately reflects the Debtors' liabilities, the Court adds. The Court sustains the Claims Objection as to the Inaccurately Supported Claims and overrules the Del Pozzo and Khalsa Responses. A copy of the Court's decision is available at http://urlcurt.com/u?l=3Nspxjfrom PacerMonitor.com. Co-Counsel to Mohsin Y. Meghji as Litigation Administrator: Seth H. Lieberman, Esq. Matthew W. Silverman, Esq. Andrew S. Richmond, Esq. PRYOR CASHMAN LLP 7 Times Square New York, NY 10036 Telephone: (212) 421-4100 E-mail: slieberman@pryorcashman.com msilverman@pryorcashman.com arichmond@pryorcashman.com Co-Counsel to Mohsin Y. Meghji as Litigation Administrator: Samuel P. Hershey, Esq. WHITE & CASE LLP 1221 Avenue of the Americas New York, NY 10020 Telephone: (212) 819-2699 E-mail: sam.hershey@whitecase.com - and - Ronald Gorsich, Esq. WHITE & CASE LLP 555 South Flower Street, Suite 2700 Los Angeles, CA 90071 Telephone: (213) 620-7769 E-mail: rgorsich@whitecase.com - and - Gregory F. Pesce, Esq. Laura Baccash, Esq. 111 South Wacker Drive, Suite 5100 Chicago, IL 60606 Telephone: (312) 881-5400 E-mail: gpesce@whitecase.com laura.baccash@whitecase.com About Celsius Network Celsius Network LLC -- http://www.celsius.network/-- is a financial services company that generates revenue through cryptocurrency trading, lending, and borrowing, as well as by engaging in proprietary trading. Celsius helps over a million customers worldwide to find the path towards financial independence through a compounding yield service and instant low-cost loans accessible via a web and mobile app. Celsius has a blockchain-based fee-free platform where membership provides access to curated financial services that are not available through traditional financial institutions. The Celsius Wallet claims to be one of the only online crypto wallets designed to allow members to use coins as collateral to get a loan in dollars, and in the future, to lend their crypto to earn interest on deposited coins (when they're lent out). Crypto lenders such as Celsius boomed during the COVID-19 pandemic, drawing depositors with high interest rates and easy access to loans rarely offered by traditional banks. But the lenders' business model came under scrutiny after a sharp sell-off in the crypto market spurred by the collapse of major tokens terraUSD and luna in May 2022. New Jersey-based Celsius froze withdrawals in June 2022, citing "extreme" market conditions, cutting off access to savings for individual investors and sending tremors through the crypto market. The list of major crypto firms that have filed for bankruptcy protection in 2022 now includes Celsius Network, Three Arrows Capital and Voyager Digital. Celsius Network, LLC and its subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 22-10964) on July 14, 2022. In the petition filed by CEO Alex Mashinsky, the Debtors estimated assets and liabilities between $1 billion and $10 billion. The Debtors tapped Kirkland & Ellis, LLP and Kirkland & Ellis International, LLP as bankruptcy counsels; Fischer (FBC & Co.) as special counsel; Centerview Partners, LLC as investment banker; and Alvarez & Marsal North America, LLC as financial advisor. Stretto is the claims agent and administrative advisor. On July 27, 2022, the U.S. Trustee appointed an official committee of unsecured creditors. The committee tapped White & Case, LLP as its bankruptcy counsel; Elementus Inc. as its blockchain forensics advisor; M3 Advisory Partners, LP as its financial advisor; and Perella Weinberg Partners, LP as its investment banker. Shoba Pillay, Esq., is the examiner appointed in the Debtors' Chapter 11 cases. Jenner & Block, LLP and Huron Consulting Services, LLC, serve as the examiner's legal counsel and financial advisor, respectively. * * * On November 9, 2023, the Bankruptcy Court entered the Findings of Fact, Conclusions of Law, and Order Confirming the Modified Joint Chapter 11 Plan of Celsius Network LLC and Its Debtor Affiliates. The Effective Date of the Plan occurred January 31, 2024. CHAR GRILL: Jennifer Bennington Named Subchapter V Trustee ---------------------------------------------------------- Brian Behr, the U.S. Bankruptcy Administrator for the Eastern District of North Carolina, appointed Jennifer K. Bennington as Subchapter V trustee for Char Grill Benson, LLC. About Char Grill Benson Char Grill Benson, LLC is a local fast-food chain serving charcoal-grilled burgers, fries and shakes. Char Grill Benson filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. E.D.N.C. Case No. 25-00459) on February 7, 2025, listing up to $50,000 in assets and between $1 million and $10 million in liabilities. Edwin Yancey, member-manager of Char Grill Benson, signed the petition. Judge David M. Warren presides over the case. Philip M. Sasser, Esq., at Sasser Law Firm represents the Debtor as bankruptcy counsel. CHASE CUSTOM: Awarded $218,152.90 in Damages in Zamboni Suit ------------------------------------------------------------ In the case captioned as JEFFREY P. ZAMBONI, Plaintiff/Defendant v. CHASE CUSTOM HOMES & FINANCE, INC., Defendant/Plaintiff, Adv. Proc. No. 23-02002 (Bankr. D. Maine.), Judge Peter G. Cary of the United States Bankruptcy Court for the District of Maine entered a judgment as follows: (1) in favor of Mr. Zamboni on Counts I, IV and V of his Complaint and award him damages in the amount of $231,903 plus attorney fees and costs to be determined following submission of counsel's affidavit; and (2) in favor of Chase on Count III of its Complaint with an award of $218,152.90 in damages. Further, Chase will be directed to discharge the Mortgage. This matter came before the Court on claims asserted by and between Chase Custom Homes & Finance, Inc. and Jeffrey P. Zamboni, arising out of a home construction contract. Specifically, at trial, Mr. Zamboni pressed claims alleged in his Complaint for breach of contract (Count I), violation of Maine's Home Construction Contracts Act, 10 M.R.S. Sec. 219-A, et seq. (Count IV), and violation of Maine's Unfair Trade Practices Act (Count V). For its part, Chase proceeded to trial on claims alleged in its Complaint for breach of contract and violation of Maine's Prompt Payment Act (Count I), unjust enrichment (Count II), and quantum meruit (Count III). The Construction Contract The Construction Contract stated a purchase price of $311,647 for the construction of a certain single-family home. Chase determined the Purchase Price which came due at a closing to occur within ten days after the Town issued a certificate of occupancy. In the meantime, Mr. Zamboni was to execute a promissory note for the outstanding balance and give Chase a mortgage on the property. In April of 2020, Mr. Zamboni reached out to Chase to express his concerns about the delays and lack of progress. Mr. Zamboni followed up on his concerns with Mr. Fox but was offered no resolution. In early May of 2020, Mr. Zamboni received from Chase, and executed, a promissory note in the amount of the Purchase Price and a mortgage securing that note. Soon thereafter, Chase sent a change order charging an additional $37,500.00 beyond the Purchase Price for the work and materials associated with the Extended Bedroom, which, at that point, had already been framed and roofed. Mr. Zamboni refused to pay the Change Order and told Chase that the Purchase Price included the cost of the Extended Bedroom. As of the trial, Mr. Zamboni had spent $320,316.80 completing the house after Chase walked off the job. He concedes that $25,104.92 of this amount is outside the scope of the contract. Breach of Contract Mr. Zamboni argues Chase materially breached the contract by conditioning future performance of its obligations under the contract upon Mr. Zamboni's payment of the Change Order, which effectively double-charged Mr. Zamboni for the Extended Bedroom. Chase, on the other hand, argues that Mr. Zamboni breached the contract by refusing to pay both the Change Order and the Purchase Price notwithstanding the fact that the Town issued the certificate of occupancy. Under either theory, the Change Order clearly led to a total breach. Although Mr. Zamboni and Mr. Fox executed the Construction Contact, the Specification Sheet, and the Clarification Sheet at the same time, it is impossible for the Court to determine the relationship between these three documents simply by referring to the language contained therein. Accordingly, the Court construes any ambiguity in the contract at issue against Chase, as the drafter. Construing the contract in Mr. Zamboni's favor, the Court concludes that his refusal to pay the Change Order was justified. The Court therefore finds that Chase materially breached the contract, and, therefore, that the entire transaction was at an end. At that point, Mr. Zamboni was relieved of his obligations to perform under the contract and, in turn, the Promissory Note. As such, Mr. Zamboni is entitled to damages and a discharge of Chase's lien on the property. Mr. Zamboni's Claim Under the HCCA and UPTA Mr. Zamboni further alleges that Chase violated the HCCA and the UTPA by: (1) failing to complete construction within the time estimated by Mr. Fox; and (2) refusing to finish constructing the home until Mr. Zamboni paid the Change Order. The contract at issue in this case contains neither an estimated date on which work would commence, nor an estimated date of completion and, therefore, the contract violates the HCCA. In the absence of a firm timeline, Mr. Zamboni prematurely sold his residence in Portland resulting in rental and storage costs that could otherwise have been avoided. The HCCA is designed to protect homeowners from exactly this type of financial harm. Therefore, it is not surprising that a violation of the HCCA constitutes a prima facie violation of the UTPA, which is designed to safeguard consumers from unfair or deceptive acts or practices in the conduct of any trade or commerce. Chase is therefore liable under both the HCCA and the UTPA, the Court finds. Chase's Claim Under the PPA In Count I of its Complaint, Chase contends that Mr. Zamboni violated the PPA by refusing to pay Chase even after the Town issued a certificate of occupancy. Chase's claim fails because it breached the contract prior to the issuance of the certificate of occupancy. As the Court found in resolving the breach of contract claims, this breach by Chase meant Mr. Zamboni was reasonably justified in treating the transaction as terminated. Accordingly, Chase is not entitled to recover attorney fees, costs, or interest under the PPA. Chase's Unjust Enrichment and Quantum Meruit Claims Chase seeks recovery under theories of unjust enrichment and quantum meruit for the work it performed prior to quitting the project. There is no question in this case that Chase rendered services to Mr. Zamboni and that Mr. Zamboni had knowledge of those services. The parties agree that the house was 70% complete when Chase walked off the job and that Mr. Zamboni has not paid Chase for any of that work. The question is whether the existence of an express contract precludes Chase from collecting under implied and constructive contract theories. The answer is affirmative with respect to Chase's claim for unjust enrichment. A quantum meruit claim, however, can co-exist with an express contract under Maine law. Therefore, the Court finds that Chase has established a claim for quantum meruit and is entitled to damages on that basis. A copy of the Court's decision is available at http://urlcurt.com/u?l=dsFgfAfrom PacerMonitor.com. About Chase Custom Homes & Finance Chase Custom Homes & Finance, Inc. -- https://cchfi.com -- specializes in new home construction, home renovations and remodeling in Portland, Maine. Chase Custom Homes & Finance filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Maine Case No. 23-20032) on Feb. 16, 2023. In the petition filed by Terina Chase as authorized party, the Debtor reported between $10 million and $50 million in both assets and liabilities. Judge Michael A. Fagone oversees the case. The Debtor tapped Bernstein Shur Sawyer & Nelson as legal counsel; Purdy, Powers & Company, P.A. as accountant; and Windsor Associates, LLC as financial advisor. The U.S. Trustee for Region 1 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. The committee is represented by Marcus Clegg. CINEMA MANAGEMENT: Gets OK to Use Cash Collateral Until March 4 --------------------------------------------------------------- John Pringle, the Chapter 11 trustee for Cinema Management Group, LLC, got the green light from the U.S. Bankruptcy Court for the Central District of California, Los Angeles Division, to use cash collateral. The interim order signed by Judge Neil Bason authorized the trustee to use the cash collateral for the period from Feb. 13 to March 4 to pay the expenses set forth in its budget, with a 10% variance. Netflix Worldwide Entertainment LLC, Hanmi Bank, Banc of California National Association, Banc of California, and Bondit LLC may assert liens on Cinema's cash collateral. As protection, the secured creditors will receive replacement liens on, and security interests in, the cash collateral and all other assets of the estate that are subject to their pre-bankruptcy liens. To the extent of any diminution in the value of their interests in their pre-bankruptcy collateral, the secured creditors will be granted allowed superpriority administrative expense claims in the same priority as the replacement liens. A final hearing is scheduled for March 4. About Cinema Management Group Cinema Management Group, LLC is an international sales company that was launched in 2003 and was previously headed by veteran sales and distribution executive, Edward Noeltner. Since 2003, the company has added over 80 feature film titles to its line-up. It currently holds distribution rights related to 82 feature films. Cinema Management Group filed Chapter 7 voluntary petition (Bankr. C.D. Calif. Case No. 24-20369) on December 20, 2024. The case was converted to one under Chapter 11 on February 6, 2025, and John Pringle was appointed as Chapter 11 trustee on February 10, 2025. Judge Neil W. Bason oversees the case. The Chapter 11 trustee is represented by Levene, Neale, Bender, Yoo & Golubchik L.L.P. COMANCHE COUNTY MEMORIAL HOSPITAL: S&P Affirms 'BB+' Bond Rating ---------------------------------------------------------------- S&P Global Ratings affirmed its 'BB+' long-term rating on the Comanche County Hospital Authority (CCHA), Okla.'s revenue bonds, issued for Comanche County Memorial Hospital (CCMH). The outlook is stable. S&P said, "We believe Comanche County's multiyear population decline slightly elevates social risk in our credit rating analysis because it has a small population of about 120,000, which we consider to be a limited service area. Partially offsetting this risk is the presence of the Fort Sill U.S. Army base, which houses more than 53,000 people, and brings some stability to the region. "We believe CCHA's governance risk is neutral in our credit rating analysis, but we note CCHA is governed by a five-member board appointed by the Board of County Commissioners, and members serve five-year terms. While this is not considered a best practice under our criteria as it is not self-perpetuating, we note it is a typical county board structure, which has not interfered with hospital operations. "Finally, we believe CCHA's service area faces elevated environmental risk due to severe weather given its location in Tornado Alley, a history of violent storms, and concerns of drought. There was a recent physical impact to the hospital following a hailstorm, which required CCHA to replace its roofs for about $15 million, with this cost covered by insurance and FEMA funds helping to offset some of the environmental risk. "The stable outlook reflects our view that CCHA will maintain positive operations in fiscal 2025 and beyond given multiple revenue improvement initiatives including Oklahoma's new managed Medicaid program as well as staff recruitment success enhancing multiple service lines. Furthermore, we expect the balance sheet will at least remain stable with no spend down of reserves expected including at the new Frederick CAH, although we recognize the addition of the hospital could dilute CCHA's already weak DCOH. Finally, we believe there is some room for additional debt at the current rating. "We could revise the outlook to negative or lower the rating if the integration of Frederick CAH or CCHA's underlying operations were to cause a material weakening of debt service coverage or a notable decline in unrestricted reserves or DCOH. "We could revise the outlook to positive or raise the rating if CCHA has a steady trend of solidly positive operations with continual positive cash flow that enhances balance-sheet metrics, especially DCOH, to levels that we consider more representative of a higher rating. In addition, stability or improvement in the enterprise profile would be a necessity for a higher rating." CORINTH AUTUMN: Stuart Walker Appointed as Chapter 11 Trustee ------------------------------------------------------------- Lisa Lambert, the U.S. Trustee for Region 6, asked the U.S. Bankruptcy Court for the Northern District of Texas to approve the appointment of Stuart Walker as Chapter 11 trustee for Corinth Autumn Oaks L.P. The appointment was made pursuant to the order from the bankruptcy court on Feb. 7. The U.S. Trustee selected Mr. Walker to serve as Chapter 11 trustee after consulting with Joyce Lindauer, counsel for Corinth Autumn Oaks, and Karl Burrer, counsel for SHS Guaranteed I, LP and HC Housing, LLC. Mr. Walker disclosed in a court filing that he does not have any connection with Corinth Autumn Oaks, creditors or any other party involved in Corinth Autumn Oaks' bankruptcy case. A copy of the application is available for free at https://urlcurt.com/u?l=51JicX from PacerMonitor.com. About Corinth Autumn Oaks L.P. Corinth Autumn Oaks L.P. is a senior care community and a member of the National Association of Activity Professionals. As trained and specialized caregivers, the Company provides personalized assistance in activities of daily living, supportive services, and compassionate care to its assisted living residents. Corinth Autumn Oaks L.P. creditors sought relief under involuntary Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 24-44464) on December 2, 2024. The Debtor is represented by: Gregory W. Mitchell, Esq. FREEMAN LAW, PLLC 7011 Main Street Frisco TX 75034 Tel: (214) 924-3124 Email: gmitchell@freemanlaw.com CREATIVE REALITIES: Laurence Lytton Holds 6.3 Stake as of Dec. 31 ----------------------------------------------------------------- Laurence W. Lytton disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, he beneficially owned 661,391 shares of Creative Realities, Inc.'s common stock, representing 6.3% of the 10,446,659 shares of Common Stock outstanding as of November 12, 2024, as reported in the Form 10-Q filed by the Company for the quarter ended September 30, 2024. A full-text copy of Mr. Lytton's SEC Report is available at: https://tinyurl.com/2b6wa8vh About Creative Realities Creative Realities, Inc. -- http://www.cri.com/-- provides innovative digital signage and media solutions to enhance communications in a wide-ranging variety of out-of-home environments, key market segments, and use cases, including Retail; Entertainment and Sports Venues; Restaurants, including quick-serve restaurants; Convenience Stores; Financial Services; Automotive; and Medical and Healthcare Facilities. Louisville, Kentucky-based Deloitte & Touche LLP, the Company's auditor since 2020, issued a "going concern" qualification in its report dated March 21, 2024, citing that the Company is experiencing difficulty in generating sufficient cash flow to service its debt and contingent consideration obligations, which raises substantial doubt about its ability to continue as a going concern. As of June 30, 2024, Creative Realities had $69.6 million in total assets, $41.3 million in total liabilities, and $28.2 million in total stockholders' equity. CRYPTO COMPANY: Ups Promissory Note to $222,890 in Third Amendment ------------------------------------------------------------------ The Crypto Company disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that on February 11, 2025, the Company and AJB Capital Investments LLC entered into a Third Amendment dated as of February 6, 2025 to that certain Promissory Note dated as of August 28, 2024. The First Amendment to the Promissory Note dated as of October 1, 2024, amends the Promissory Note, to increase the principal amount of the Promissory Note from $120,000 to $142,000. The Second Amendment to the Promissory Note amends the Promissory Note, as amended by the First Amendment, to increase the principal amount of the Promissory Note from $142,000 to $157,556. The Third Amendment to the Promissory Note amends the Promissory Note, as amended by the First and Second Amendments, to increase the principal amount of the Promissory Note from $157,556 to $222,890, provided, however, that the $65,334 of additional principal carries an original issue discount of $6,534 withheld from the Company to cover monitoring costs associated with the Promissory Note and $3,500 withheld from the Company to cover due diligence and legal costs in connection with the Third Amendment. About Crypto Company Malibu, Calif.-based The Crypto Company -- https://www.thecryptocompany.com -- is engaged in the business of providing consulting services and education for blockchain technology and for the building of technological infrastructure and enterprise blockchain technology solutions. During 2023, the Company generated revenues and incurred expenses solely through these consulting operations. In February 2022, the Company acquired bitcoin mining equipment and entered into an arrangement with a third party to host and operate the equipment. However, by the end of 2022, the Company had exited that Bitcoin mining business. Crypto Company reported a net loss of $4.92 million for the year ended December 31, 2023, compared to a net loss of $5.66 million for the year ended December 31, 2022. As of June 30, 2024, Crypto Company had $1,293,153 in total assets, $5,939,990 in total liabilities, and $4,646,837 in total stockholders' deficit. Lakewood, Colorado-based BF Borgers CPA PC, the Company's former auditor, issued a "going concern" qualification in its report dated April 16, 2024, citing that the Company has suffered recurring losses from operations that raise substantial doubt about its ability to continue as a going concern. On May 8, 2024, the Audit Committee of the Board of Directors of the Company approved the dismissal of BF Borgers CPA PC as the Company's independent registered public accounting firm after the firm and its owner, Benjamin F. Borgers, were charged by the Securities and Exchange Commission with deliberate and systemic failures to comply with Public Company Accounting Oversight Board (PCAOB) standards in its audits and reviews incorporated in more than 1,500 SEC filings from January 2021 through June 2023; falsely representing to their clients that the firm's work would comply with PCAOB standards; fabricating audit documentation to make it appear that the firm's work did comply with PCAOB standards; and falsely stating in audit reports included in more than 500 public company SEC filings that the firm's audits complied with PCAOB standards. Borgers agreed to pay a $14 million civil penalty and agreed to permanent suspensions from appearing and practicing before the Commission as accountants, effective immediately. On May 8, 2024, the Company engaged Bush & Associates CPA LLC as BF Borgers' replacement. The decision to change independent registered public accounting firms was made with the recommendation and approval of the Audit Committee of the Company. D. RUSSELL THOMAS: Unsecureds to Split $10K in Subchapter V Plan ---------------------------------------------------------------- D. Russell Thomas, P.C., filed with the U.S. Bankruptcy Court for the Middle District of Tennessee a Plan of Reorganization under Subchapter V dated February 11, 2025. The Debtor is a small law firm owned by Dewey Russell Thomas. The Debtor began in October, 1985 and has been owned and operated by Mr. Thomas ever since. The Covid-19 pandemic took a significant toll on revenues due to the social exclusions put in place. While precise social distancing hardships have been alleviated, the effects of the pandemic have lingered in certain respects for the Debtor (and Mr. Thomas). The Debtor borrowed funds at expensive rates to keep the business operational during the pandemic years. In addition to Covid related factors, Mr. Thomas was befallen with medical hardships that kept him away from work and compounded cash flow issues for the Debtor. Mr. Thomas personally guaranteed many of the Debtor's obligations, and being unable to satisfy the same, he individually filed for Chapter 11 relief. The Debtor has withstood these events, though its current revenue, net of expenses, is insufficient to satisfy its debt obligations. The Debtor now proposes to restructure its obligations under Chapter 11 of the Bankruptcy Code and to satisfy the Plan obligations through application of projected income as further stated herein, while reserving the option to satisfy the Plan obligations via asset sales or commitment of other sources at its election. By extrapolation of the Debtor's budget, the Debtor will have projected disposable income of less than $138,000 (over 3 years). The final Plan Payment is expected to be paid on or before June 30, 2028. This Plan provides for the full payment of administrative and priority claims. This Plan also provides for three classes of secured claims, one class of non-priority unsecured claims, and one class of equity holders. Non-priority unsecured creditors holding allowed claims will receive pro rata distributions totaling $10,000.00 to the class. This Plan also provides for full payment of administrative and priority claims. Class 5 consists of All Allowed Unsecured Claims. A pool of $10,000.00 (the "Unsecured Pool") shall be paid pro-rata to the claimholders in this class. The Unsecured Pool shall be satisfied through payments paid pro-rata to the claimholders in this class on or before June 30, 2028. Class 6 shall consist of the membership interests in the Debtor. Mr. Thomas will retain a 100% membership interest in the Debtor. The Debtor will continue to operate to generate revenue to fund the Plan. A full-text copy of the Plan of Reorganization dated February 11, 2025 is available at https://urlcurt.com/u?l=keGP1p from PacerMonitor.com at no charge. Counsel to the Debtor: Gray Waldron DUNHAM HILDEBRAND PAYNE WALDRON, PLLC 9020 Overlook Boulevard, Suite 316 Brentwood, TN 37027 Tel: (629) 777-6519 Email: gray@dhnashville.com About D. Russell Thomas D. Russell Thomas, P.C. a professional corporation operating in Murfreesboro, Tennessee. D. Russell Thomas, P.C. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Tenn. Case No. 25-00027) on January 3, 2025 In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $500,000 and $1 million. Honorable Bankruptcy Judge Nancy B. King handles the case. Denis Graham (Gray) Waldron, Esq. of Dunham Hildebrand Payne Waldron, PLLC, is the Debtor's counsel. DANPOWER64 LLC: Seeks Chapter 11 Bankruptcy in Massachusetts ------------------------------------------------------------ On February 21, 2025, Danpower64 LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the District of Massachusetts. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Danpower64 LLC Danpower64 LLC is a general contractor specializing in the construction, renovation, and repair of multi-family residential buildings, while also owning and operating a single real estate asset as defined under 11 U.S.C. Section 101(51B). Danpower64 LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case No. 25-10311) on February 21, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by: Kate E. Nicholson, Esq. NICHOLSON DEVINE LLC 21 Bishop Allen Dr. Cambridge, MA 02139 Tel: 857-600-0508 Fax: 617-812-0405 E-mail: kate@nicholsondevine.com DCA OUTDOOR: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------- Nineteen affiliates that filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Petition Date: February 20, 2025 Debtor Case No. ------ -------- DCA Outdoor, Inc. 25-50053 5840 NW Prairie View Rd Kansas City, MO 64151 Petition Date: February 21, 2025 Anna Evergreen, LLC 25-50055 Brehob Nurseries, LLC 25-50056 Colonial Farms, LLC 25-50058 Colonial Gardens Developments, LLC 25-50059 Colonial Gardens, LLC 25-50060 DCA Land Holding Company, LLC 25-50061 DCA Land Illinois, LLC 25-50062 DCA Land Indiana, LLC 25-50063 DCA Land Kansas, LLC 25-50064 DCA Land Kentucky, LLC 25-50065 DCA Land Missouri, LLC 25-50066 DCA Land Oregon, LLC 25-50067 KAT Nurseries, LLC 25-50068 PlantRight Supply, LLC 25-50069 Schwope Brothers Tree Farm, LLC 25-50070 Schwope Brothers West Coast, LLC 25-50071 Utopian Plants Indiana, LLC 25-50072 Utopian Transport, LLC 25-50073 Utopian Trees, Inc. 25-50074 Business Description: DCA Outdoor, Inc., established in 2016, is a vertically integrated green industry organization headquartered in Kansas City, Missouri. The Company connects various sectors -- including agricultural production, landscape distribution, retail, agritourism, and transportation -- through its family of brands. The DCA Outdoor family comprises several brands including Schwope Brothers Tree Farms, Utopian Plants, RIO, Anna Evergreen, Brehob Nurseries, KAT Landscape, Colonial Gardens, PlantRight, PlantRight Supply, and Utopian Transport. Court: United States Bankruptcy Court Western District of Missouri Judge: Hon. Cynthia A Norton Debtors' Counsel: Larry E. Parres, Esq. LEWIS RICE LLC 600 Washington Ave. Suite 2500 Saint Louis, MO 63101 Tel: 314-444-7600 Email: lparres@lewisrice.com DCA Outdoor's Estimated Assets: $0 to $50,000 DCA Outdoor's Estimated Liabilities: $50 million to $100 million Brehob Nurseries, LLC's Estimated Assets: $50 million to $100 million Brehob Nurseries, LLC's Estimated Liabilities: $500,000 to $1 million The petitions were signed by Tory Schwope as managing member. Full-text copies of the petitions are available for free on PacerMonitor at: https://www.pacermonitor.com/view/YHCCIXY/DCA_Outdoor_Inc__mowbke-25-50053__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/JH5ANVI/Anna_Evergreen_LLC__mowbke-25-50055__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/PZNNV3I/Brehob_Nurseries_LLC__mowbke-25-50056__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/NM7CD7A/Colonial_Farms_LLC__mowbke-25-50058__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/SQ4Z72Q/Colonial_Gardens_Development_LLC__mowbke-25-50059__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/XIHX2XY/Colonial_Gardens_LLC__mowbke-25-50060__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/U6XRJGA/DCA_Land_Holding_Company__mowbke-25-50061__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/2ARBJCI/DCA_Land_Illinois_LLC__mowbke-25-50062__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/3LDQVYY/DCA_Land_Indiana_LLC__mowbke-25-50063__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/V4CPQLI/DCA_Land_Kansas_LLC__mowbke-25-50064__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/3DW7IYY/DCA_Land_Kentucky_LLC__mowbke-25-50065__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/YVOARZA/DCA_Land_Missouri_LLC__mowbke-25-50066__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/ZZK3QHI/DCA_Land_Oregon_LLC__mowbke-25-50067__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/7NAGRDA/KAT_Nurseries_LLC__mowbke-25-50068__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/5QW46LQ/Plantright_Supply_LLC__mowbke-25-50069__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/CRKEO6I/Schwope_Brothers_Tree_Farms_LLC__mowbke-25-50070__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/DBYZ5FQ/Schwope_Brothers_West_Coast_LLC__mowbke-25-50071__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/A5Q5TEA/Utopian_Plants_Indiana_LLC__mowbke-25-50072__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/GNLP5ZY/Utopian_Transport_LLC__mowbke-25-50073__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/HTOGXEQ/Utopian_Trees_Inc__mowbke-25-50074__0001.0.pdf?mcid=tGE4TAMA Copies of the Debtors' 20 Largest Unsecured Creditors are available for free on PacerMonitor at: https://www.pacermonitor.com/view/SBGLOWI/Colonial_Farms_LLC__mowbke-25-50058__0008.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/UNKMMAQ/Colonial_Gardens_LLC__mowbke-25-50060__0008.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/VRDLILA/DCA_Land_Holding_Company__mowbke-25-50061__0008.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/ZU5P4AY/DCA_Land_Missouri_LLC__mowbke-25-50066__0009.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/4BEA7EI/KAT_Nurseries_LLC__mowbke-25-50068__0008.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/ADCOFEA/Schwope_Brothers_West_Coast_LLC__mowbke-25-50071__0009.0.pdf?mcid=tGE4TAMA List of DCA Outdoor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Babbel $18,210 285 Madison Avenue Fl 26/PH New York, NY 10017 2. Bergan KDV $30,000 PO Box 735502 Dallas, TX 75373-5502 3. Chase $63,073 PO Box 15123 Wilmington, DE 19850-5123 4. Clear Company $12,897 PO Box 936918 Atlanta, GA 31193-6918 5. Cloud Crunchers $18,342 9619 Moonstone Mist Ln Katy, TX 77494 6. Commercial Card Services $65,960 PO Box 828702 Philadelphia, PA 19182-8702 7. Concur Technologies, Inc. $19,625 601 108th Avenue NE, Suite 1000 Bellevue, WA 98004 8. Creative Planning $18,900 Business Services PO Box 950459 Saint Louis, MO 63195-0459 9. Dysart Taylor $15,651 McMonigle Brumitt & Wilcox PO Box 410044 Kansas City, MO 64141 10. First Stop Health $23,636 24 E. Washington St. Suite 875 Chicago, IL 60602 11. GrowMojo Inc. $11,460 65 Manor Road Kentfield, CA 94904 12. HubSpot, Inc. $18,212 PO Box 419842 Boston, MA 02241-9842 13. Jackson Lewis $9,058 PO Box 416019 Boston, MA 02241-6019 14. Liacal LLC $33,007 3402 Shaker Dr Greensboro, NC 27410 15. Moss Adams $21,000 PO Box 101822 Pasadena, CA 91189-1822 16. New York Life Insurance $52,290 11400 Tomahawk Creek Pkwy Suite 200 Leawood, KS 66211 17. Northwestern Mutual $47,744 720 East Wisconsin Ave Milwaukee, WI 53202 18. SBI Software $20,000 2222 NE Oregon Street Suite 205 Portland, OR 97232 19. Seigfreid Bingham $9,763 2323 Grand Boulevard Suite 1000 Kansas City, MO 64108-2669 20. Workday, Inc. $47,000 PO Box 886106 Los Angeles, CA 90088-6106 List of Brehob Nurseries, LLC's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Alliance Outdoor Lighting $15,471 27461-B Diaz Road Temecula, CA 92590 2. Anna Evergreen $20,725 PO Box 1 Cobden, IL 62920 Email: accounting@annaevergreen.com 3. Armintrout's West $83,238 Michigan Farms, Inc 1156 Lincoln Road Allegan, MI 49010 Email: holly@armintrouts.com 4. Bountiful Farms Nursery Inc. $16,971 17091 Boones Ferry Rd NE Woodburn, OR 97071 Email: info@bountifulfarms.com 5. DCA Land Holding Company, LLC $35,000 5840 NW Prairie View Rd Kansas City, MO 64151 Email: invoices@dcaoutdoor.com 6. De Vroomen Garden Products $18,522 3850 Clearview Ct Gurnee, IL 60031 Email: sales@devroomen.com 7. Fairview Evergreen $15,930 Nurseries, Inc. 7463 West Ridge Rd PO Box 189 Fairview, PA 16415 8. Farm Credit Leasing Various $344,129 1665 Utica Ave S. Equipment & Suite 400 Buildings Minneapolis, MN 55416 9. Frontier Farm Credit Inventory, $97,091 PO Box 30222 Equipment & Omaha, NE AR 68103-1322 10. George Johnson $14,370 Nursery 3840 Hwy 112 Forest Hill, LA 71430 Email: betty@poolebrosnsy.com 11. Greenleaf Nursery Company $83,804 28406 Hwy 82 Park Hill, OK 74451 12. Iseli Nursery $21,431 PO Box 891 Middletown, OH 45044 13. Left Coast Logistics, LLC $79,975 5775 Jean Rd Suite 215 Lake Oswego, OR 97035-5399 Email: accounting@leftcoastlogisticsllc.com 14. Midwest Groundcovers LLC 46,071 PO Box 748 Saint Charles, IL 60174 15. Northern Nursery Inc $30,262 28415 Co Rd 98 Mc Millan, MI 49853 16. Oregon Pride $14,056 Nurseries, Inc. 5380 SE Booth Bend Rd McMinnville, OR 97128 17. Schwope Brothers West Coast $445,314 39550 NW Chalmers Lane Cornelius, OR 97113 18. Twin Springs Nursery $16,020 10786 Feller Road NE Hubbard, OR 97032 Email: twinspringsnursery@gmail.com 19. Twixwood Nursery, LLC $48,090 PO Box 247 Berrien Springs, MI 49103 20. Willoway Nurseries, Inc. $45,743 4534 Center Rd PO Box 299 Avon, OH 44011 DIAMOND COMIC: Hires Getzler Henrich & Associates LLC as CRO ------------------------------------------------------------ Diamond Comic Distributors, Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Maryland to employ Getzler Henrich & Associates LLC to designate Robert Gorin and William Henrich as co-chief restructuring officers to the Debtors. The firm will provide these services: CRO Services: a. review management's current revenue generation, cost reduction and working capital management initiatives; identify and implement additional revenue enhancement and expense control initiatives as appropriate; b. participate in the weekly preparation of and review of the Debtors' rolling 13-week cash flow forecast and approve all proposed weekly cash disbursements by the company, for appropriateness; c. participate in the preparation of financial projections; d. facilitate the Debtors' communication and negotiation with other parties-in-interest, including other retained parties, secured lender, and vendors; e. identify and work with management to prioritize projects and actions to enhance performance and cash flow through supplemental revenue/margin generation, cost reduction, working capital enhancement initiatives and financial analytic means; f. assist the Debtors in efforts to engage and work with third parties to identify and implement new sources of liquidity, up to and including a complete refinancing of the Debtors' obligations to the existing secured lender; g. facilitate and support the Debtors' communications with the existing secured lender, including periodic reports to and other communications with the lender as appropriate regarding the Debtors' financial and operational status and the results of Getzler Henrich's engagement; h. work with the Debtors' other professionals to ensure that work is performed efficiently; and i. assist in such other matters as the management or counsel to the Debtors may request from time to time. Chapter 11 Planning and Execution Services: Chapter 11 Planning and Execution Services: a. review and vet the Debtors' existing 13-week cash flow, including all underlying assumptions. Where appropriate, make recommendations for enhancements; b. on a weekly basis, review the company's 13-week cash flow with accompanying variance and make enhancement recommendations, when needed; c. oversee a section 363 sale process; d. assist with the preparation of Court motions as requested by counsel; e. assist with compliance with the reporting requirements of the Bankruptcy Code, Bankruptcy Rules and local rules, including reports, monthly operating statements and schedules; f. participate in Court hearings and, if necessary, provide testimony in connection with any hearings before the Court; g. consult with all other retained parties, secured lender, creditors' committee (if any), and other parties-in-interest; h. assist with the analysis and reconciliation of claims against the Debtors and other bankruptcy avoidance actions; and i. perform such other tasks as appropriate as may reasonably be requested by the Debtor's management or Company counsel. The firm will be paid at these rates: Principal/Managing Director $735 to $895 per hour. Director/Specialist $595 to $795 per hour Associate Professionals $225 to $595 per hour Prior to the Petition Date, the Debtors paid an initial retainer of $25,000, and an additional $25,000 retainer. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Robert Gorin, a partner at Getzler Henrich & Associates LLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Robert Gorin Getzler Henrich & Associates LLC 295 Madison Avenue, 20th Floor New York, NY 10017 Tel: (212) 697-2400 About Diamond Comic Distributors, Inc. Founded in 1982, Diamond Comic Distributors Inc. offers a multi-channel platform of publishing, marketing and fulfillment services, coupled with an unparalleled global distribution network for its retailers, publishers and vendors. Diamond Comic Distributors and its affiliates filed Chapter 11 petitions (Bankr. D. Md. Case No. 25-10308) on January 14, 2025. At the time of the filing, Diamond Comic Distributors reported between $50 million and $100 million in both assets and liabilities. Judge David E. Rice handles the case. The Debtors tapped Saul Ewing, LLP as legal counsel; Getzler Henrich & Associates, LLC as financial advisor; Raymond James & Associates, Inc. as investment banker; and Stephenson Harwood, LLP as U.K. counsel. Omni Agent Solutions is the Debtors' claims and noticing agent and administrative agent. DIAMOND COMIC: To Sell Publishing Business at Auction ----------------------------------------------------- Diamond Comic Distributors Inc. and its affiliates seek permission from the U.S. Bankruptcy Court for the District of Maryland, Baltimore Division, to sell its Assets at Auction, free and clear of liens, claims, interests, and encumbrances. The Debtor offers a multi-channel platform of publishing, marketing and fulfillment services, coupled with an unparalleled global distribution network for its retailers, publishers and vendors. The Debtors retain Raymond James & Associates, Inc., a highly experienced and qualified investment banker, to commence and run a sales process for all or substantially all of the Debtors' assets in connection with a section 363 sale. Raymond James spearheaded an all-inclusive marketing process, and solicited interest from potential financial and strategic investors for bids for all or substantially all the Debtors' Assets, on a going concern basis. After negotiating with those parties that submitted indications of interest in the Debtors' Assets, the Debtors decided to proceed with Universal Distribution LLC, as the stalking horse bidder for a subset of the Debtors' assets, constituting substantially all of the assets used in the Debtors' Alliance Game Distributors business. The Bidding Procedures Order established the following key deadlines in connection with the sale process: -- Contract Objection Deadline March 12, 2025 -- Sale Objection Deadline March 14, 2025 -- Bid Deadline March 19, 2025, at 5:00 p.m. (ET) -- Auction March 24, 2025, commencing at 10:00 a.m. (ET) -- Sale Hearing March 27, 2025, at 10:00 a.m. (ET) The Debtors intend to conduct a competitive postpetition sale process to maximize the value of their estates for creditors and other stakeholders. To that end, the Debtors and Raymond James are working diligently to conduct the sale process in an efficient and value-maximizing manner. The Debtors submit that their decision to consummate the Sale represents a reasonable exercise of the Debtors' business judgment and, accordingly, the Sale should be approved. The Debtors are conducting an extensive and fulsome process to market the Assets. The open and fair auction and sale process approved by the Court, as detailed in the Bidding Procedures Order, will ensure that the Debtors' estates receive the highest or otherwise best value available for the Assets, and will provide a greater recovery than would be provided by any other available alternative. The Debtors further assert that, in the interest of attracting the best offers, it is appropriate to sell the Assets on a final "as is" basis, free and clear of any and all liens, claims, interests, and encumbrances. About Diamond Comic Distributors Inc. Founded in 1982, Diamond Comic Distributors Inc. offers a multi-channel platform of publishing, marketing and fulfillment services, coupled with an unparalleled global distribution network for its retailers, publishers and vendors. Diamond Comic Distributors and its affiliates filed Chapter 11 petitions (Bankr. D. Md. Case No. 25-10308) on January 14, 2025. At the time of the filing, Diamond Comic Distributors reported between $50 million and $100 million in both assets and liabilities. Judge David E. Rice handles the case. The Debtors tapped Saul Ewing, LLP as legal counsel; Getzler Henrich & Associates, LLC as financial advisor; Raymond James & Associates, Inc. as investment banker; and Stephenson Harwood, LLP as U.K. counsel. Omni Agent Solutions is the Debtors' claims and noticing agent and administrative agent. DIGITAL MEDIA: Plan Exclusivity Period Extended to March 10 ----------------------------------------------------------- Judge Alfredo R. Perez of the U.S. Bankruptcy Court for the Southern District of Texas extended Digital Media Solutions, Inc. ("DMS Inc.") and its affiliates' exclusive periods to file a plan of reorganization and obtain acceptance thereof to March 10 and May 9, 2025, respectively. As shared by Troubled Company Reporter, the Debtors explain that there is no question that the Debtors' cases are large and complex. As of the Petition Date, the Debtors had funded debt obligations of approximately $358 million. Additionally, there are 37 Debtor entities, and the Debtors have already closed one sale transaction and are in the process of closing one more. Accordingly, the Debtors submit that the size and complexity of these chapter 11 cases weigh in favor of extending the Exclusivity Periods. The Debtors claim that they are working towards confirmation of a plan that is supported by the Debtors' key constituents and maximizes the value of the Debtors' estates for all stakeholders. The Debtors request a brief extension of the Exclusivity Periods not to pressure creditors, but to provide a sufficient, flexible window in which the Debtors can obtain additional certainty regarding their path to close the remaining sale transaction. The Debtors assert that extending the Exclusivity Periods will benefit all creditors by preventing the drain on time and resources that inevitably occurs when multiple parties, with potentially diverging interests, vie for the consideration of their own respective plans. All stakeholders benefit from the continued stability and predictability that a centralized process provides, which can only occur while the Debtors remain the sole potential plan proponents. Co-Counsel to the Debtors: Joshua A. Sussberg, P.C. Elizabeth H. Jones, Esq. KIRKLAND & ELLIS LLP AND KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, New York 10022 Telephone: (212) 446-4800 Facsimile: (212) 446-4900 E-mail: joshua.sussberg@kirkland.com elizabeth.jones@kirkland.com - and - Alexandra F. Schwarzman, P.C. 333 West Wolf Point Plaza Chicago, Illinois 60654 Tel: (312) 862-2000 Fax: (312) 862-2200 E-mail: alexandra.schwarzman@kirkland.com Co-Counsel to the Debtors: John F. Higgins, Esq. M. Shane Johnson, Esq. Megan Young-John, Esq. James A. Keefe PORTER HEDGES LLP 1000 Main St., 36th Floor Houston, Texas 77002 Tel: (713) 226-6000 Fax: (713) 226-6248 E-mail: jhiggins@porterhedges.com sjohnson@porterhedges.com myoung-john@porterhedges.com jkeefe@porterhedges.com About Digital Media Solutions Founded in 2012, Digital Media Solutions, Inc. is a technology-enabled digital advertising company in Clearwater, Fla., that leverages its advanced technology and proprietary customer data to efficiently and effectively connect its customers with their target consumers. As of Sept. 11, 2024, DMS and its affiliates operate in at least 15 countries and territories around the world and employ 247 individuals in the United States and Canada. Digital Media Solutions and 36 affiliates commenced voluntary Chapter 11 proceedings (Bankr. N.D. Tex. Lead Case No. 24-90468) on Sept. 11, 2024. At the time of the filing, Digital Media Solutions reported $100 million to $500 million in both assets and liabilities. Judge Alfredo R. Perez oversees the cases. The Debtors tapped Kirkland & Ellis, LLP and Porter Hedges, LLP as legal counsel; Portage Point Partners as restructuring advisor; and Houlihan Lokey Capital, Inc. as investment banker. Omni Agent Solutions is the claims agent. DIGITALSPEED COMMUNICATIONS: Seeks to Hire Karalis PC as Counsel ---------------------------------------------------------------- Digitalspeed Communications, Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of Pennsylvania to employ Karalis PC as counsel. The firm will render these services: a. advise the Debtor of their rights, powers, and duties as Debtor-in-possession in continuing to operate and manage their assets; b. advise the Debtor concerning, and assisting in the negotiation and documentation of the use of cash collateral and debtor-in-possession financing, debt restructuring and related transactions; c. review the nature and validity of agreements relating to the Debtor' businesses and advise the Debtor in connection therewith; d. review the nature and validity of liens, if any, asserted against the Debtor and advise as to the enforceability of such liens; e. advise the Debtor concerning the actions they might take to collect and recover property for the benefit of their estates; f . prepare on the Debtor' behalf all necessary and appropriate applications, motions, pleadings, orders, notices, petitions, schedules, and other documents, and review all financial and other reports to be filed in the Debtor' Chapter 11 cases; g. advise the Debtor concerning, and preparing responses to, applications, motions, pleadings, notices and other papers which may be filed in the Debtor' Chapter 11 cases; h. counsel the Debtor in connection with formulation, negotiation and promulgation of a plan of reorganization and related documents; and i. perform all other legal services for and on behalf of the Debtor, which may be necessary or appropriate in the administration of their Chapter 11 cases. The firm will be paid at these rates: Aris J. Karalis $675 per hour Robert W. Seitzer $525 per hour Robert M. Greenbaum $575 per hour Associates $300 to $325 per hour Jill Hysley, Paralegal $80 per hour On January 15, 2025, the firm received from Slingshot Technologies Corp. (merged with and into the Debtor) the sum of $10,000 as a retainer. On January 28, 2025, the firm received from the Debtor $50,000 as a retainer. On February 3, 2025, the firm received from the Debtor an additional retainer in the amount of $100,000 for the Chapter 11 filing fee and services rendered to the Debtor’s restructuring efforts. Aris J. Karalis, Esq., a partner at Karalis PC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Aris J. Karalis, Esq. Karalis PC 1900 Spruce St #6605 Philadelphia, PA 19103 Tel: (215) 546-4500 Email: akaralis@karalislaw.com About Digitalspeed Communications, Inc. DigitalSpeed Communications, Inc. d/b/a Slingshot Techonologies Corporation in West Conshohocken, PA, sought relief under Chapter 11 of the Bankruptcy Code filed its voluntary petition for Chapter 11 protection (Bankr. E.D. Pa. Case No. 25-10500) on Feb. 6, 2025, listing $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Adam H. Pasternack as president, signed the petition. Judge Ashely M. Chan oversees the case. KARALIS PC serve as the Debtor's legal counsel. DITECH HOLDING: $21,657 Thomas Claim Disallowed ----------------------------------------------- The Honorable James L. Garrity, Jr., of the United States Bankruptcy Court for the Southern District of New York entered a Memorandum Decision and Order sustaining the objection of the Consumer Claims Trustee in the bankruptcy case of Ditech Holding Corporation with respect to the proof claim filed by Helen Thomas. The Court disallows Claim No. 1972. Helen Thomas is acting pro se herein. She filed Proof of Claim No. 1972 as an unsecured claim in the amount of $1,657.00, and a secured claim of $20,000, against Ditech Holding Corp. (f/k/a Walter Investment Management Corp.). The basis of the Claim is listed as Goods Sold. In support of the Claim, she attaches a billing statement from Ditech, dated May 7, 2019. The statement lists the principal balance of the loan as $1,657.03 and a past due amount of $231.97. The Plan Administrator and Consumer Claims Trustee filed the Eighteenth Omnibus Objection seeking to disallow and expunge the Claim as a No Basis Consumer Creditor Claims. They contend that: (i) there is no evidence to support the validity of the No Basis Consumer Creditor Claims, in the amount and priority asserted, or (ii) the No Basis Consumer Creditor Claims have already been paid or otherwise satisfied. At a Sufficiency Hearing, the Court employs the legal standard of review applied to a motion to dismiss for failure to state a claim upon which relief may be granted under Rule 12(b)(6) of the Federal Rules of Civil Procedure. On or around Aug. 25, 1998, Claimant executed a Manufactured Home Retail Installment Contract and Security Agreement in favor of Green Tree Financial Corp. in the amount of $22,421.00. The manufactured home was located at 41 North 21st Avenue, Atmore, Alabama 36502. The Purchase Contract was secured by a security interest in the Property, perfected by Green Tree's filing of a Certificate of Title in the State of Alabama. The certificate lists a vehicle identification number associated with the Property and an issue date of 09/29/1998. Claimant requests reimbursement for 80% of her finance charges as damages because those charges exceeded the purchase price under the Purchase Contract. She mentions Truth in Lending Act in connection with the disclosure section of the Purchase Contract. She complains the 253 monthly payments she made exceeded the 240 provided under the Purchase Contract. She requests the Court consider Home Ownership and Equity Protection Act and Ditech's alleged fraudulent conduct. The Court concurs with the Consumer Claims Trustee and will interpret these allegations as purporting to assert claims for breach of contract and fraud, and for violations of TILA, relief under HOEPA, and violations of the FCRA. The Court finds the Claim fails to state a claim to relief against Ditech. Accordingly, the Court sustains the Objection and disallows the Claim. By simply using the term fraud and generally implying fraudulent intent, Claimant fails to meet the heightened pleading standards set forth in Rule 9(b) of the Federal Rules of Civil Procedure. According to the Court, her conclusions about the unfavorable terms of her loan do not give rise to a valid claim for fraud. The loan originated in 1998, and the statute of limitations lapsed in 1999. Claimant filed the Claim in 2019. Any TILA claim is barred by the statute of limitations, the Court concludes. According to the Court, Claimant's action for damages for violations of HOEPA are also barred by the statute of limitations. Claimant fails to allege any facts in support of her request for relief under the FCRA, the Court further finds. A copy of the Court's decision is available at https://urlcurt.com/u?l=0tQaU5 from PacerMonitor.com. About Ditech Holding Corporation Fort Washington, Pennsylvania-based Ditech Holding Corporation and its subsidiaries -- http://www.ditechholding.com/-- are independent servicer and originator of mortgage loans. Ditech Holding and certain of its subsidiaries, including Ditech Financial LLC and Reverse Mortgage Solutions, Inc., filed voluntary Chapter 11 petitions (Bankr. S.D.N.Y. Lead Case No. 19 10412) on Feb. 11, 2019, after reaching terms with lenders of a Chapter 11 plan that will reduce debt by $800 million. The Debtors tapped Weil, Gotshal & Manges LLP as legal counsel, Houlihan Lokey as investment banker and AlixPartners LLP as financial advisor. Epiq Bankruptcy Solutions LLC served as claims and noticing agent. Kirkland & Ellis LLP and FTI Consulting Inc. served as the consenting term lenders' legal counsel and financial advisor, respectively. The U.S. Trustee for Region 2 appointed an official committee of unsecured creditors in the Debtors' cases on Feb. 27, 2019. The creditors' committee tapped Pachulski Stang Ziehl & Jones LLP as its legal counsel and Goldin Associates, LLC, as its financial advisor. On May 2, 2019, the U.S. trustee appointed an official committee of consumer creditors. The consumers committee tapped Quinn Emanuel Urquhart & Sullivan, LLP, as counsel and TRS Advisors LLC, as financial advisor. On Sept. 26, 2019, the Bankruptcy Court confirmed Ditech's Chapter 11 bankruptcy plan, which became effective four days later. A Consumer Claims Trustee has been appointed in the case and is represented by Richard Levin, Esq., at Jenner & Block, LLP. DITECH HOLDING: $25,000 Cronin Claim Disallowed ----------------------------------------------- The Honorable James L. Garrity, Jr. of the United States Bankruptcy Court for the Southern District of New York entered a Memorandum Decision and Order sustaining the objection of the Plan Administrator and the Consumer Claims Trustee in the bankruptcy case of Ditech Holding Corporation with respect to the proof claim filed by Loretta Cronin. The Court disallows the claim. Loretta Cronin is acting pro se herein. She filed Proof of Claim No. 2494 as an administrative expense claim in the amount of $25,000 against Ditech Holding Corp. (f/k/a Walter Investment Management Corp.). The Plan Administrator filed his Twenty-Eighth Omnibus Objection seeking to disallow proofs of claim, including the Claim, as No Basis Consumer Admin Claims. The Plan Administrator contends that: (i) there is no evidence to support the validity of the No Basis Consumer Creditor Claims, in the amount and priority asserted, or (ii) the No Basis Consumer Creditor Claims have already been paid or otherwise satisfied. In substance, the Consumer Claims Trustee asks the Court to disallow the Claim because it fails to state a claim for relief against Ditech and because it is time barred. At a Sufficiency Hearing, the Court employs the legal standard of review applied to a motion to dismiss for failure to state a claim upon which relief may be granted under Rule 12(b)(6) of the Federal Rules of Civil Procedure. On or around Aug. 20, 2004, Claimant and her spouse, Joseph Cronin, executed a promissory note in the amount of $199,000 and a note in the amount of $20,000, both in favor of GMAC Mortgage Corporation DBA ditech.com. The First Note and Second Note were each secured by a mortgage on the real property located at 92 Wedgewood Avenue, Woodbridge, New Jersey 07095. On Sept. 10, 2004, the First Mortgage and Second Mortgage were recorded in Middlesex County, New Jersey. On Aug. 6, 2014, Mortgage Electronic Registration Systems, Inc., as nominee for GMAC assigned the First Mortgage to Green Tree Servicing LLC. On Jan. 17, 2020, Ditech Financial LLC (f/k/a Green Tree) assigned the First Mortgage to New Residential Mortgage LLC. Claimant asserts that she entitled to recover damages because Ditech failed to properly credit her payments and charged her for optional insurance without her authorization. She maintains this harmed her credit score and resulted in the denial of her application to refinance the First Mortgage. The Court interprets these allegations as claims for breach of contract and for violation of the Fair Credit Reporting Act. The Consumer Claims Trustee argues that even a generous reading of the Claim does not support any viable claim for relief. She contends that Claimant has failed to state a claim for breach of contract because any damages that Claimant has suffered arise out of her failure to make timely payments under the First Mortgage, and any such claim is time-barred by New Jersey's four-year statute of limitations. She asserts that Claimant has failed to state a claim under the FCRA because Claimant has not alleged that Ditech reported inaccurate information to a credit bureau, or that she disputed any negative credit reporting with Ditech or a credit reporting agency. As such, she fails to allege that any negative reporting by Ditech to the credit bureaus was inaccurate, let alone that she disputed the reporting and Ditech failed to correct it. The Consumer Claims Trustee maintains that the documents provided by Claimant show that she was delinquent on the mortgages and, therefore, her FCRA claim fails. Finally, the Consumer Claims Trustee asserts that Claimant does not sufficiently explain her claims regarding the optional insurance placed on the Second Mortgage, other than to allege that she did not authorize it. The Consumer Claims Trustee contends that, without more, she is unable to ascertain any legal claim. Claimant cannot state a breach of contract claim against Ditech, the Court holds. Under the applicable New Jersey statute of limitations, claims for breach of contract must be brought within six years. Claimant alleges that Ditech failed to properly credit her payments toward the First Mortgage in November of 2012. Therefore, the statute of limitations for such claim expired in November of 2018, almost a year before Claimant submitted the Claim, and any such claim is time-barred, the Court finds. Claimant does not provide sufficient explanation of her complaint regarding the optional insurance, except to conclude that she did not authorize it. The Court is unable to ascertain any legal claim. Claimant does not allege that Ditech reported inaccurate information to the credit bureaus. Nor does she claim to have disputed the reporting with Ditech or the CRAs. Claimant has failed to state facts sufficient to allege a violation of the FCRA, the Court finds. Claimant fails to state a claim for relief under the FCRA, the Court concludes. Accordingly, the Court sustains the Objection and disallows the Claim. A copy of the Court's decision is available at https://urlcurt.com/u?l=lICWYZ from PacerMonitor.com. About Ditech Holding Corporation Fort Washington, Pennsylvania-based Ditech Holding Corporation and its subsidiaries -- http://www.ditechholding.com/-- are independent servicer and originator of mortgage loans. Ditech Holding and certain of its subsidiaries, including Ditech Financial LLC and Reverse Mortgage Solutions, Inc., filed voluntary Chapter 11 petitions (Bankr. S.D.N.Y. Lead Case No. 19 10412) on Feb. 11, 2019, after reaching terms with lenders of a Chapter 11 plan that will reduce debt by $800 million. The Debtors tapped Weil, Gotshal & Manges LLP as legal counsel, Houlihan Lokey as investment banker and AlixPartners LLP as financial advisor. Epiq Bankruptcy Solutions LLC served as claims and noticing agent. Kirkland & Ellis LLP and FTI Consulting Inc. served as the consenting term lenders' legal counsel and financial advisor, respectively. The U.S. Trustee for Region 2 appointed an official committee of unsecured creditors in the Debtors' cases on Feb. 27, 2019. The creditors' committee tapped Pachulski Stang Ziehl & Jones LLP as its legal counsel and Goldin Associates, LLC, as its financial advisor. On May 2, 2019, the U.S. trustee appointed an official committee of consumer creditors. The consumers committee tapped Quinn Emanuel Urquhart & Sullivan, LLP, as counsel and TRS Advisors LLC, as financial advisor. On Sept. 26, 2019, the Bankruptcy Court confirmed Ditech's Chapter 11 bankruptcy plan, which became effective four days later. A Consumer Claims Trustee has been appointed in the case and is represented by Richard Levin, Esq., at Jenner & Block, LLP. DOW CORNING: 6th Cir. Affirms Ruling in Korean Claimants' Suit -------------------------------------------------------------- In the appealed case captioned as KOREAN CLAIMANTS, Interested Parties-Appellants, v. DOW SILICONES CORP., et al., Interested Parties-Appellees, No. 24-1653 (6th Cir.), Judges Jeffrey S. Sutton, Chad A. Readler, and Rachel S. Bloomekatz of the United States Court of Appeals for the Sixth Circuit affirmed the decision of the United States District Court for the Eastern District of Michigan that denied the motions filed by the Korean Claimants, a group of South Korean residents who opted to settle their claims, challenging certain claims as well as the terms of three closing orders issued by the district court to resolve the bankruptcy process. The Korean Claimants begin by challenging an administrator's ruling that they failed to timely cure deficiencies in their claims for payment, which resulted in the Claimants not receiving sums that they believed were owed. The settlement agreement—one of the reorganization plan's key documents—does authorize a claimant to appeal a ruling of the Claims Administrator to an Appeals Judge. But the Judge's substantive decisions as to individual claims, the agreement makes clear, are “final and binding.” In this case, the Korean Claimants, at bottom, are appealing individualized decisions by the Claims Administrator and Appeals Judge regarding deficiencies in their claim forms. The settlement agreement renders those decisions unreviewable, the Court concludes. Alternatively, the Korean Claimants package their claims as a denial of due process. As an initial matter, the Korean Claimants forfeited this argument by failing to raise it before the district court. Regardless, no due process violation occurred, the Court finds. According to the Court, the Claims Administrator evaluated their claims, identified their noncompliance with terms of the settlement agreement, and notified them of their denial. The Circuit Judges explain that the Korean Claimants had a year to cure those deficiencies. And they received expedited release payments after that year passed. Through it all, they enjoyed the right to appeal the rulings of the Claims Administrator to the Appeals Judge. Due process does not demand more. The Korean Claimants next challenge three closing orders the district court issued to wind down the payment process. They moved to challenge the three orders on both notice and discriminatory application grounds. The Court notes the Korean Claimants neither timely objected to nor appealed any of the three closing orders when they were originally issued. The Korean Claimants plainly were made aware of the status of the various orders. Nor does the record support the Korean Claimants' allegations of discrimination. According to the Court, the address verification procedures applied equally to all claimants, and the Settlement Facility has distributed address verification letters to every claimant with an unconfirmed address. The Court finds they received the same treatment as any other similarly positioned claimant. A copy of the Court's decision is available at http://urlcurt.com/u?l=3IX3Js About Dow Corning Dow Corning Corp. -- http://www.dowcorning.com/-- produces and supplies more than 7,000 silicon-based products and services to more than 25,000 customers worldwide. Dow Corning is equally owned by The Dow Chemical Company and Corning Incorporated. The Company filed for Chapter 11 protection on May 15, 1995 (Bankr. E.D. Mich. Case No. 95-20512) to resolve silicone implant-related tort liability. The Company owed its commercial creditors more than $1 billion at that time. A consensual Joint Plan of Reorganization, amended on Feb. 4, 1999, offering to pay commercial creditors in full with post-petition interest, establish a multi-billion-dollar settlement trust for tort claims, and leave Dow Corning's shareholders unimpaired, took effect on June 30, 2004. DVC3 LLC: Hires William G. Haeberle CPA LLC as Accountant --------------------------------------------------------- DVC3, LLC seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ William G. Haeberle, CPA, LLC as accountant. The firm will assist in the preparation of the Debtor's Monthly Operating Reports. The firm will be paid $200 for Monthly Operating Reports per month going forward. The retainer is $1,500. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. William G. Haeberle, CPA, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: William G. Haeberle, CPA William G. Haeberle, CPA, LLC 4446-1A Hendricks Ave. #245 Jacksonville, FL 32207 Tel: (904) 536-9810 About DVC3, LLC DVC3, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-03897) on December 23, 2024. In the petition signed by Rebecca L. Vetter, manager, the Debtor disclosed up to $500,000 in assets and up to $10 million in liabilities. Judge Jacob A. Brown oversees the case. Bryan K. Mickler, Esq., at Law Offices of Mickler & Mickler, LLP, represents the Debtor as bankruptcy counsel. ELETSON HOLDINGS: Former Owners Get Ch. 11 Sanction Bid Reprieve ---------------------------------------------------------------- Vince Sullivan of Law360 reports that the former owners and managers of Greek shipping group Eletson Holdings Inc. have until February 24, 2025, to comply with a New York bankruptcy judge's orders on the ownership transfer under a court-approved Chapter 11 plan or risk daily financial penalties. About Eletson Holdings Eletson Holdings Inc. is a family-owned international shipping company, which touts itself as having a global presence with headquarters in Piraeus, Greece as well as offices in Stamford, Connecticut, and London. At one time, Eletson claimed to own and operate one of the world's largest fleets of medium and long-range product tankers and boasted a fleet consisting of 17 double hull tankers with a combined capacity of 1,366,497 dwt, 5 LPG/NH3 carriers with a combined capacity of 174,730 cbm and 9 LEG carriers with capacity of 108,000 cbm. Eletson Holdings, a Liberian company, is Eletson's ultimate parent company and is the direct parent and owner of 100% of the equity interests in the two other debtors, Eletson Finance (US) LLC, and Agathonissos Finance LLC. Eletson and its two affiliates were subject to involuntary Chapter 7 bankruptcy petitions (Bankr. S.D.N.Y. Case No. 23-10322) filed on March 7, 2023 by creditors Pach Shemen LLC, VR Global Partners,L.P. and Alpine Partners (BVI), L.P. The petitioning creditors are represented by Kyle J. Ortiz, Esq., at Togut, Segal & Segal, LLP. On Sept. 25, 2023, the Chapter 7 cases were converted to Chapter 11 cases. The Honorable John P. Mastando, III is the case judge. Derek J. Baker, Esq., represents the Debtors as bankruptcy counsel. The U.S. Trustee for Region 2 appointed an official committee of unsecured creditors. The committee tapped Dechert, LLP as its legal counsel. ESCALON MEDICAL: Shifts to $246K Net Income in Second Quarter ------------------------------------------------------------- Escalon Medical Corp. filed its Quarterly Report on Form 10-Q with the Securities and Exchange Commission, reporting a net income of $246,021 on net revenues of $3.22 million for the three months ending Dec. 31, 2024. This represents a positive shift from the same period last year, when the Company incurred a net loss of $76,321 on net revenues of $2.87 million. For the six months ending Dec. 31, 2024, the Company reported a net income of $213,804 on net revenues of $6 million, compared to a net loss of $97,518 on net revenues of $5.81 million for the same period in 2023. As of Dec. 31, 2024, the Company disclosed $4.49 million in total assets, $2.46 million in total liabilities, and $2.02 million in total shareholders' equity. As of Dec. 31, 2024, the Company had approximately $521,000 of cash on hand and restricted cash of approximately $256,000, compared to approximately $209,000 of cash on hand and restricted cash of $256,000 as of June 30, 2024. The Company noted that, since its operations have not historically generated enough revenue to achieve profitability, it will continue to closely monitor costs and expenses, and may need to raise additional capital or take other actions to fund operations. Through Dec. 31, 2024, while the Company reported net income and positive cash flow from operations, it has historically incurred recurring losses and negative cash flows from operating activities. The Company stated that these factors raise substantial doubt about its ability to continue as a going concern for the next 12 months following the issuance of these unaudited condensed consolidated financial statements. The complete text of the Form 10-Q is available for free at: https://www.sec.gov/Archives/edgar/data/862668/000086266825000006/esmc-20241231.htm About Escalon Headquartered in Wayne, Pennsylvania, Escalon Medical Corp. operates in the healthcare market, specializing in the development, manufacture, marketing and distribution of medical devices for ophthalmic applications. Marlton, New Jersey-based Marcum LLP, the Company's auditor since 2010, issued a "going concern" qualification in its report dated Sept. 30, 2024, citing that the Company's historical recurring losses from operations and negative cash flows from operating activities raise substantial doubt about the Company's ability to continue as a going concern. The Company incurred a net loss of $125,261 for the year ending June 30, 2024. As of June 30, 2024, the Company had an accumulated deficit of $68.5 million, and had incurred historical recurring losses from operations and negative cash flows from operating activities in prior years except for the fiscal year ended June 30, 2023. Although the general trend has been toward profitability, with only one year of income in the past five, the Company questions whether it will maintain this positive trend in profitability and continue experiencing sales growth. ESSEX REAL: Court Sets Briefing Deadlines in Pioneer Suit Appeals ----------------------------------------------------------------- Judge Miranda M. Du of the United States District Court for the District of Nevada set briefing deadlines in the consolidated case PIONEER FUNDING GROUP III, LLC, a New York domestic limited liability company, and PIONEER FUNDING GROUP IV, LLC, a New York domestic limited liability company, Appellants v. ROYAL ESSEX LLC; ROYAL UNION PROPERTIES LLC; MARLON STEELE, JR.; FURTHER SOUTH LLC; JERI COPPAKNUDSON; GEORGE F. HOLMAN; MARTHA JANE HOLMAN, Appellees, Case No. 3:24-cv-00440-MMD (D. Nev.) as follows: a. Opening Briefs. The deadline for all appellants to file their opening briefs is 60 days after the Briefing Trigger Date. All opening briefs must be filed on the due date. Each party or group of parties who are appealing an order shall separately file a single combined opening brief, per party or group of parties. b. Answering Briefs. The deadline for all appellees to file their answering briefs is 60 days after the opening brief deadline. All answering briefs must be filed on the due date and shall be limited to addressing issues raised in the opening briefs. Each party or group of parties against whom relief is sought on appeal shall separately file a single combined answering brief, per party or group of parties. c. Reply Briefs. The deadline to file any reply brief is 30 days after answering brief deadline. All reply briefs must be filed on the due date. Each party or group of parties is entitled to file a single combined reply brief. Further South, LLC has appealed certain orders of the Bankruptcy Court in the bankruptcy case of Essex Real Estate Partners, LLC. The Court has determined that the Further South Appeals are appropriate for consolidation with this Appeal. The Court has also determined that a consolidated briefing schedule in this Appeal is in the interest of judicial economy. The briefing deadlines are without prejudice to any party's right to request an extension of the deadlines from the Court, for cause, and subject to the rights of any other party to object to the same. A copy of the Court's decision is available at https://urlcurt.com/u?l=kN5f1Z from PacerMonitor.com. Counsel for the Holman Parties: Mark E. Ferrario, Esq. Jason K. Hicks, Esq. GREENBERG TRAURIG, LLP 10845 Griffith Peak Drive, Suite 600 Las Vegas, NV 89135 Telephone: (702) 792-3773 E-mail: ferrariom@gtlaw.com hicksja@gtlaw.com About Essex Real Estate Partners Reno, Nev.-based Essex Real Estate Partners, LLC filed a Chapter 11 petition (Bankr. D. Nev. Case No. 19-51486) on Dec. 27, 2019. In the petition signed by Jeri Coppa-Knudson, manager, the Debtor was estimated to have $10 million to $50 million in assets and $1 million to $10 million in liabilities. Judge Natalie M. Cox oversees the case. Stephen R. Harris, Esq., a Harris Law Practice, LLC, serves as the Debtor's bankruptcy counsel. EVENTIDE CREDIT: Hires Coherent Economics LLC as Expert ------------------------------------------------------- Eventide Credit Acquisitions, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Coherent Economics, LLC as expert. The firm will provide these services: a. assist and consult with the Debtor regarding the 7023 Motion and all other issues relating to class actions in relation to this bankruptcy case; b. provide assistance and consulting in relation to the 7023 Motion, including preparation of an appropriate report with respect to the 7023 Motion; c. provide testimony in connection with the 7023 Motion; d. provide consulting and all such other services (including further reports and testimony) which the Debtor may deem appropriate or necessary; e. consult and advise the Debtor in relation to any matters relating to Rule 7023 and class actions in relation to this bankruptcy case; and f. provide all such other and further services as the Debtor may request or as may be necessary and appropriate. The firm will be paid at these rates: Laurel Van Allen $925 per hour Ann Hughes $775 per hour. Staff $315 to $700 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Laurel Van Allen, a partner at Coherent Economics, LLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Laurel Van Allen Coherent Economics, LLC 5918 West Courtyard Drive, Suite 250A Austin, TX 78730 Tel: (773) 828-1046 About Eventide Credit Acquisitions, LLC Eventide Credit Acquisitions, LLC, a Dallas-based company, filed voluntary Chapter 11 petition (Bankr. N.D. Tex. Lead Case No. 23-90007) on Sept. 6, 2023. On October 9, 3023, its affiliate, BWH Texas LLC, filed its voluntary petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code. In the petition signed by Matt Martorello, manager, Eventide Credit disclosed up to $100 million in both assets and liabilities. Judge Mark X. Mullin oversees the cases. The Debtors tapped Forshey Prostok as bankruptcy counsel and Donlin, Recano & Company, Inc. as notice, claims and balloting agent. FIBERCO GENERAL: Files Subchapter V Bankruptcy in California ------------------------------------------------------------ On February 18, 2025, Fiberco General Engineering Contractors Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports $2,989,654 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Fiberco General Engineering Contractors Inc. Fiberco General Engineering Contractors Inc. established in 1995, is a general engineering contractor based in Riverside, California. The Company specializes in utility system construction and heavy and civil engineering projects. Fiberco General Engineering Contractors Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-10912) on February 18, 2025. In its petition, the Debtor reports total assets of $2,451,262 and total liabilities of $2,989,654. Honorable Bankruptcy Judge Scott H. Yun handles the case. The Debtor is represented by: Michael R. Totaro, Esq. TOTARO & SHANAHAN, LLP P.O. Box 789 Pacific Palisades CA 90272 Tel: (310) 804-2157 E-mail: Ocbkatty@aol.com FIRST MODE: Court Approves Adequacy of Disclosure Statement ----------------------------------------------------------- The U.S. Bankruptcy Court for the District of Delaware approved the adequacy of the disclosure statement explaining the First Amended Joint Chapter 11 plan of Liquidation filed by First Mode Holdings Inc. and it debtor-affiliates. The voting deadline to accept or reject the Debtors' plan is 4:00 p.m. Eastern Time on March 14, 2025, unless extended by the Debtors. The record date for determining which holders of claims may vote on the Plan was Feb. 5, 2025. For your vote to be counted, you must return your properly completed Ballot in accordance with the voting instructions on the Ballot so that it is actually received by the Debtors' voting agent, Omni Agent Solutions, Inc. ("Voting Agent"), before the Voting Deadline. Ballots may be returned to the Voting Agent via: First Class Mail, Overnight Courier, or Hand/Personal Delivery: First Mode Holdings, Inc. Ballot Processing c/o Omni Agent Solutions, Inc. 5955 De Soto Ave., Suite 100 Woodland Hills, CA 91367 If you would like to coordinate hand delivery of your ballot, please email FirstModeInquiries@OmniAgnt.com and provide the anticipated date and time of your delivery. or Online E-Ballot Portal: visit https://omniagentsolutions.com/FirstModeBallots. Click on the "Submit E-Ballot" section of the Debtors’ website and follow the directions to submit your E-ballot. If you choose to submit your ballot via Omni's E-Ballot system ("E-Ballot Portal"), you should not also return a hard copy of your ballot. Ballots will not be accepted by telecopy, facsimile, email or other electronic means of transmission. Additional details on voting are discussed herein and set forth on Ballots delivered to Holders of Claims entitled to vote on the Plan. Terms of the Plan The Debtors said they believe that the implementation of the Plan is in the best interests of the Debtors and their stakeholders. The Debtors are soliciting votes in favor of the Plan from Holders of General Unsecured Claims. For all of the reasons described in this Disclosure Statement, the Debtors urge you to return your Ballot accepting the Plan by the Voting Deadline, which is on March 14, 2025, at 4:00 p.m. Eastern Time. On Dec. 15, 2024, the Debtors entered into that certain Asset Purchase Agreement with Cummins Inc. ("Cummins" or the "Stalking Horse Bidder" and the Asset Purchase Agreement, the "Stalking Horse APA"). The Stalking Horse APA provides that the Stalking Horse Bidder will purchase the majority of the Debtors' assets, along with various assets of certain non-Debtor affiliates, for a purchase price of $15 million, plus the assumption of certain Assumed Liabilities (as defined in the Stalking Horse APA). Importantly, the Stalking Horse APA also contemplates that a significant number of the Company’s employees will transition to Cummins following consummation of the sale. Under the Bidding Procedures outlined in the Bidding Procedures Motion, the deadline for interested parties to submit Qualified Bids was Jan. 27, 2025 at 4:00 pm (prevailing Eastern Time) (the "Qualified Bid Deadline"). As of the Qualified Bid Deadline, the Debtors did not receive any Qualified Bids other than the Stalking Horse Bid. Accordingly, the Debtors cancelled the Auction and designated the Stalking Horse Bidder as the successful bidder. Concurrently with the Stalking Horse APA, the Debtors entered into that certain Restructuring Support Agreement ("RSA") with Anglo American International Holdings Limited ("AAIH" or "Prepetition Secured Lender" or "DIP Lender") and Anglo American Technical & Sustainability Ltd ("AATS"). The RSA provides, among other things, for the Debtors to complete the sale to the Stalking Horse Bidder, or another bidder that submits a higher or otherwise better bid, and pursue confirmation of the Plan. According to the Debtors, their Plan is a liquidating plan that contemplates a monetary contribution by AATS, AAIH, Anglo American Services (UK) Ltd. ("AAS"), and other affiliates ("Anglo American") and a consensual subordination of its claims. The Plan is premised on the consummation of a value-maximizing sale followed by an efficient and orderly wind-down of the estates. The material terms of the Plan include, among others, the following: a) Subject to the terms and conditions outlined in the Plan and the RSA, Anglo American will provide $28,870,592, subject to adjustment as set forth in the Plan (the "Anglo Funding Amount") to the Debtors to fund distributions to holders of Allowed Claims under the Plan and the wind down of the Debtors. b) Anglo American’s DIP Claims and Prepetition Secured Lender Claims will be subordinated as and to the extent provided in the Plan. Specifically, Anglo American is not expected to receive a recovery on account of these Claims, other than from the sale proceeds, unless all Allowed General Unsecured Claims of Participating GUC Holders are to be paid in full. c) Holders of General Unsecured Claims will receive a pro rata share of the Distributable Proceeds if they are Participating GUC Holders. The estimated recovery for Participating GUC Holders is 100%. Holders of General Unsecured Claims that are not Participating GUC Holders will receive no recovery on account of their General Unsecured Claims. To be a Participating GUC Holder, a Holder of a General Unsecured Claim must: 1) either accept the Plan or abstain from voting on the Plan, and 2) opt into the third party releases. d) Holders of Equity Interests will receive no distribution on account of their Equity Interests. On the Effective Date, all Equity Interests will be canceled and extinguished and will be of no further force or effect. e) The Debtors and the Releasing Parties will release the Released Parties from various claims and causes of action, as set forth in the Plan. f) Pursuant to the Plan Administration Agreement,5 the Plan Administrator will, among other things, oversee the administration process of the Plan, which will provide for the wind down of the Debtors. The Plan constitutes a separate Plan for each Debtor for the resolution of outstanding Claims and Interests pursuant to the Bankruptcy Code. Each Debtor is a proponent of the Plan within the meaning of section 1129 of the Bankruptcy Code. The classification of Claims and Interests set forth in the Plan will be deemed to apply separately with respect to each Plan proposed by each Debtor, as applicable. The Plan provides for consolidation of the Debtors solely for purposes of voting, Confirmation, and distribution, but not for any other purpose. The Debtors reserve the right to seek substantive consolidation of the Debtors in connection with Confirmation, but substantive consolidation will not change the distributions to Holders of Claims compared to what is proposed in the Plan. Est. Est. Claim Class Status Amount Recovery ----- ----- ---------- ---------- -------- 1 Other Unimpaired $1,000,000 100% Priority Claim 2 Other Unimpaired $800,000 100% secured claim 3 Prepetition Unimpaired/ $76,000,000 100% Secured Impaired loan claims 4 General Unimpaired/ $25,900,000 100% Unsecured Impaired Claims 5 Intercompany Unimpaired/ N/A N/A Claims Impaired 6 Intercompany Unimpaired/ N/A N/A Interests Impaired 7 Equity Impaired N/A N/A Interests A full-text copy of the disclosure statement explaining the first amended joint Chapter 11 plan of liquidation is available for free at https://tinyurl.com/3d94tn98 If you wish to review the Debtors' plan, you may receive a copy of the plan for free of charge from Omni Agent Solutions, the voting and claims agent retained by the Debtors in these Chapter 11 cases, by (i) calling the Debtors' restructuring agent at 866-771-0558 (US & Canada Toll Free) or 747-288-6101 (international); (ii) visiting the Debtors' restructuring website at https://omniagentsolutions.com/FirstMode; and (iiI) sending an email to FirstModelInquiries@OmniAgent.com. You may obtain copies of any pleadings filed in these Chapter 11 cases for a free via PACER at http://deb.uscourts.govor free of charge at https://omniagentsolutions.com/FirstMode. About First Mode Holdings First Mode Holdings, Inc. is a multinational decarbonization company that designs, manufactures, and distributes hybrid battery systems and hydrogen fuel cell technologies for heavy duty mining and rail vehicles, along with hydrogen refueling equipment. First Mode Holdings, Inc. and Synchronous LLC filed for voluntary petitions under Chapter 11 of the Bankruptcy Code (Bankr. D. Del., Lead Case No. 24-12794) on Dec. 15, 2024. In their petitions signed by Colin Mark Freed as chief financial officer, the Debtors reported consolidated assets of $10 million to $50 million and consolidated liabilities of $50 million to $100 million. The Hon. Judge Karen B. Owens oversees the cases. The Debtors tapped Young Conaway Stargatt & Taylor, LLP, as bankruptcy counsel and Latham & Watkins LLP as bankruptcy co-counsel. PJT Partners serves as investment banker to the Debtors, while M3 Partners LP acts as financial advisor. Omni Agent Solutions Inc is the claims and noticing agent for the Debtors. The U.S. Trustee for Region 3 appointed an official committee to represent unsecured creditors in the Chapter 11 cases of First Mode Holdings, Inc. and Synchronous, LLC. FIT FOR THE RUNWAY: Sec. 341(a) Meeting of Creditors on March 19 ---------------------------------------------------------------- On February 18, 2025, Fit for the Runway LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Ohio. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. A meeting of creditors under 341(a) to be held on March 19, 2025 at 02:15 PM via remotely. About Fit for the Runway LLC Fit for the Runway LLC is a privately held company that operates in the personal services industry. Fit for the Runway LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ohio Case No.: 25-50239) on February 18, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Alan M. Koschik handles the case. The Debtor is represented by: Marc B. Merklin, Esq. ROETZEL & ANDRESS, LPA 222 S. Main St., Suite 400 Akron, OH 44308 Tel: 330-376-2700 E-mail: mmerklin@ralaw.com FLORIDA'S NATURAL: Taps CR3 Partners for Help to Enhance Business ----------------------------------------------------------------- Jill R. Shah of Bloomberg News reports that Florida's Natural Growers Inc. has sought assistance to enhance its business amid ongoing challenges in the orange juice industry. The company has hired CR3 Partners, a firm specializing in turnaround and performance improvement for businesses facing financial difficulties, according to a source familiar with the matter who requested anonymity due to the private nature of the information. Florida's Natural markets a range of citrus products nationwide under its brand. Representatives for Florida's Natural declined to comment, and CR3 did not respond to requests for comment. About Florida Natural Growers Inc. Florida's Natural Growers Inc. a cooperative owned by hundreds of citrus farmers. FOREVER 21: Set to Close 3 Conn. Locations Amid Bankruptcy Talks ---------------------------------------------------------------- Luther Turmelle of The Ridgefield Press reports that Forever 21 will close three of its six Connecticut stores this spring as it works to avoid another Chapter 11 bankruptcy filing. Stores in Manchester, Milford, and Waterford are expected to close between mid-March and late April 2025, depending on the pace of liquidation at each location, according to employees at those stores. Meanwhile, the Westfarms Mall in West Hartford, Trumbull Mall, and Tanger Outlets at Foxwoods Casino will continue to operate, employees confirmed. Employees who spoke with Hearst Connecticut Media did so anonymously to avoid potential backlash from their employer, the report states. Forever 21 previously closed its Stamford Town Center location in 2023 and the Meriden Mall store last year. The retailer currently operates 500 stores worldwide. Liquidation sales are already underway at the Connecticut locations set to close, with discounts ranging from 10% to 40%, according to store employees. Forever 21 filed for Chapter 11 bankruptcy protection in September 2019 and was bought out of bankruptcy five months later by SPARC Group, a joint venture between Authentic Brands and Simon Property Group. In January, SPARC Group merged with JCPenney to form Catalyst Brands. According to The Wall Street Journal, Forever 21's owners are considering another bankruptcy filing. David Cadden, professor emeritus at Quinnipiac University's School of Business, said the retailer's ongoing financial struggles reflect the unpredictable nature of consumer fashion trends. "They rode the wave of fashion tastes for many years, and now that wave has ended," Cadden said. About Forever 21 Inc. Founded in 1984 by South Korean husband and wife team Do Won Chang and Jin Sook Chang and headquartered in Los Angeles, Calif., Forever 21, Inc. -- http://www.forever21.com/-- is a fast-fashion retailer of women's, men's and kids clothing and accessories and is known for offering the hottest, most current fashion trends at a great value to consumers. Forever 21 delivers a curated assortment of new merchandise brought in daily. Forever 21, Inc. and seven of its U.S. subsidiaries each filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. D. Del. Lead Case No. 19-12122) on Sept. 29, 2019. According to the petition, Forever 21 has estimated liabilities on a consolidated basis of between $1 billion and $10 billion against assets of the same range. As of the bankruptcy filing, the Debtors operated 534 stores under the Forever 21 brand in the U.S. and 15 stores under beauty and wellness brand, Riley Rose. The Debtors tapped Kirkland & Ellis LLP as legal advisor; Alvarez & Marsal as restructuring advisor; and Lazard as investment banker; and Pachulski Stang Ziehl & Jones LLP as local bankruptcy counsel. Prime Clerk is the claims agent. Andrew Vara, acting U.S. trustee for Region 3, appointed a committee of unsecured creditors on Oct. 11, 2019. The committee is represented by Kramer Levin Naftalis & Frankel LLP and Saul Ewing Arnstein & Lehr LLP. Counsel to the administrative agent under the Debtors' prepetition revolving credit facility and the Debtors' DIP ABL financing facility are Morgan, Lewis & Bockius LLP and Richards, Layton & Finger, PA. Counsel to the administrative agent under the Debtors' DIP term loan facility is Schulte Roth & Zabel LLP. * * * In February 2020, the company was purchased by a consortium that includes Authentic Brands Group, Simon Property Group and Brookfield Property Partners for $81.1 million. As part of the deal, ABG and Simon will each own 37.5% of the fast-fashion retailer, while Brookfield controls the remaining 25% of Forever 21's operating and intellectual property businesses. FRANCHISE GROUP: Advances Restructuring After Dismissal of Lawyers ------------------------------------------------------------------ Jonathan Randles of Bloomberg News reports that Franchise Group Inc. received court approval to continue with a potential restructuring despite opposition from junior lenders and the recent dismissal of the law firm that had been overseeing its bankruptcy proceedings. The company appointed Kirkland & Ellis LLP as its new legal counsel after a Delaware judge disqualified Willkie, Farr & Gallagher due to its ties to former CEO Brian Kahn, investment adviser B. Riley Financial Inc., and a failed 2023 buyout linked to the bankruptcy. About Franchise Group Inc. Franchise Group, Inc., through its subsidiaries, operates franchised and franchisable businesses including The Vitamin Shoppe, Pet Supplies Plus, LLC, Badcock Home Furniture & More, American Freight, Buddy's Home Furnishings and Sylvan Learning Systems, Inc. Franchise Group, Inc. and its affiliates filed their voluntary petition for relief under Chapter 11 of the Bankrutpcy Code (Bankr. D. Del. Lead Case No. 24-12480) on Nov. 3, 2024, listing $1,000,000,001 to $10 billion in both assets and liabilities. The petitions were signed by David Orlofsky as chief restructuring officer. The Debtors tapped Willkie Farr & Gallagher LLP and Young Conaway Stargatt & Taylor, LLP as legal counsel; AlixPartners as financial advisor and chief restructuring officer; Ducera Partners as investment banker; Ernst & Young LLP as tax, accounting and valuation services provider; and Deloitte & Touche LLP as independent auditor. Paul Hastings LLP and Lazard serve as legal counsel and investment banker, respectively, to the first lien ad hoc group. FREIRICH FOODS: Hires Iron Horse Commercial as Real Estate Agent ---------------------------------------------------------------- Freirich Foods, Inc. seeks approval from the U.S. Bankruptcy Court for the Middle District of North Carolina to employ Iron Horse Commercial, LLC as real estate agents and auctioneer. The firm will market and sell the property of the Debtor located at 815 W Kerr St, Salisbury NC 28144, and 702 Holmes Street, Salisbury, NC 28144. The firm will be paid at a commission of 8 percent of the gross sales price of the Real Property if such property is sold before the expiration of the 120-day sale period. Chris Crawford, a partner at Iron Horse Commercial, LLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Chris Crawford Iron Horse Commercial, LLC 5501 NE 223rd Ave. Building D Fairview, OR 97024 Tel: (503) 674-0980 Fax: (503) 674-0989 About Freirich Foods Freirich Foods, Inc., is a deli meat processor that produces dry open-oven roasted products. Freirich Foods has been supplying specialty meats to select grocers and delis since 1921. Although initially opened in New York, the business is headquartered in Salisbury, North Carolina today and has been managed by four generations of the Freirich family. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D.N.C. Case No. 24-50204) on March 20, 2024. In the petition signed by Paul Bardinas, president, the Debtor disclosed $13,015,005 in assets and $14,524,627 in liabilities. Judge Benjamin A. Kahn oversees the case. The Debtor tapped John A Northen, Esq., at Northen Blue LLP as legal counsel and The Finley Group, Inc. as financial advisor. GLOBAL TECHNOLOGIES: Posts $187K Net Income in Q2 ------------------------------------------------- Global Technologies, Ltd. filed its quarterly report on Form 10-Q with the Securities and Exchange Commission, reporting a net income of $186,807 on revenue of $917,077 for the three-month period ending Dec. 31, 2024. This represents a significant improvement over the same period last year, when the Company incurred a net loss of $3.46 million on no revenue. For the six months ended Dec. 31, 2024, the Company reported a net income of $443,356 on revenue of $1.59 million, compared to a net loss of $2.23 million on zero revenue for the same period in 2023. As of Dec. 31, 2024, the Company had $8.60 million in total assets, $6.62 million in total liabilities, and $1.98 million in total stockholders' equity. As of Dec. 31, 2024, the Company had an accumulated deficit of $166,222,940 and a history of net losses. For the six months ended Dec. 31, 2024, the Company generated $336,489 in cash from operating activities, while investing activities resulted in a cash outflow of $238,000. Financing activities, primarily consisting of debt reduction and balance repayments, accounted for an additional cash outflow of $150,340, leading to a net decrease in cash and cash equivalents of $51,851. The Company began the period with $115,747 in cash and cash equivalents and ended with a balance of $63,896. The Company anticipates continued negative cash flows until its operating segments generate sufficient revenue to cover expenses and debt obligations. The Company stated that while management is actively pursuing strategies to improve liquidity -- including revenue expansion, cost optimization, and potential financing opportunities -- there can be no assurance that these efforts will be successful. "There is no assurance that sufficient funds required during the next year or thereafter will be generated from operations or that funds will be available through external sources. The lack of additional capital resulting from the inability to generate cash flow from operations or to raise capital from external sources would force the Company to substantially curtail or cease operations and would, therefore, have a material effect on the business. Furthermore, there can be no assurance that any such required funds, if available, will be available on attractive terms or they will not have a significant dilutive effect on the Company's existing shareholders. We have therefore concluded there is substantial doubt about our ability to continue as a going concern," the Company declared in the SEC report. The full text of the Form 10-Q is available at no charge at: https://www.sec.gov/Archives/edgar/data/932021/000149315225006730/form10-q.htm About Global Technologies Headquartered in Parsippany, NJ, Global Technologies, Ltd -- http://www.globaltechnologiesltd.info-- is a multi-operational company focused on driving innovation and sustainable growth within the technology and service sectors. With a strategic focus on health and wellness through 10 Fold Services and electric vehicle (EV) infrastructure via GOe3, the Company leverages cutting-edge technologies and robust business models to revolutionize these industries. Lagos, Nigeria-based Olayinka Oyebola & Co., the Company's auditor since 2024, issued a "going concern" qualification in its report dated Sept. 20, 2024, citing that the Company suffered an accumulated deficit of $(166,666,296), and a negative working capital of $(6,304,772). These matters raise substantial doubt about the Company's ability to continue as a going concern. GREENLEAF 2 CPE: Files Chapter 11 Bankruptcy in California ---------------------------------------------------------- On February 18, 2025, Greenleaf 2 CPE LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Greenleaf 2 CPE LLC Greenleaf 2 CPE LLC is a limited liability company. Greenleaf 2 CPE LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal.Case No. 25-11187) on February 18, 2025. In its petition, the Debtor reports estimated assets between $500,000 and $1 million and estimated liabilities between $1 million and $10 million. The Debtor is represented by: David B. Golubchik, Esq. LEVENE, NEALE, BENDER, YOO & GOLUBCHIK L.L.P. 2818 La Cienega Ave. Los Angeles, CA 90034 Tel: (310) 229-1234 GREENWAVE TECHNOLOGY: Joseph Reda, SEG Opportunity Hold 7.9% Stake ------------------------------------------------------------------ Joseph Reda and SEG Opportunity Fund, LLC disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of D February 11, 2025, they beneficially owned 4,500,000 shares of Greenwave Technology Solutions, Inc.'s Common Stock, representing 7.9% of the 56,792,577 shares of Common Stock of the Company outstanding after the closing of the registered direct offering of shares of Common Stock and Warrants of the Company, as verified with the Company on February 12, 2025. SEG Opportunity Fund, LLC may be reached at: Joseph Reda Manager 135 Sycamore Drive Roslyn N.Y 11576 Tel: (516) 521-1354 A full-text copy of SEG Opportunity's SEC Report is available at: https://tinyurl.com/yrzse4j3 About Greenwave As an operator of 13 metal recycling facilities, Greenwave Technology Solutions, Inc. (Nasdaq: GWAV) supplies leading steel mills and industrial conglomerates with ferrous and non-ferrous metal. With steel being one of the most recycled materials worldwide, Greenwave supplies the raw metal utilized in critical infrastructure projects and U.S. warships vital to American national security interests. Headquartered in Chesapeake, VA, the Company has 167 employees with metal recycling operations across Virginia, North Carolina, and Ohio. For detailed financials and updates, visit www.GWAV.com. New York, NY-based RBSM LLP, the Company's auditor since 2017, issued a "going concern" qualification in its report dated April 16, 2024. The report emphasizes that Greenwave has net loss, has generated negative cash flows from operating activities, has an accumulated deficit and has stated that substantial doubt exists about Company's ability to continue as a going concern. As of Sept. 30, 2024, Greenwave had $69.57 million in total assets, $18.30 million in total liabilities, and $51.27 million in total stockholders' equity. GROOMORE INC: Moement's Bid to Lift Stay in IP Suit Granted in Part ------------------------------------------------------------------- Judge Craig T. Goldblatt of the United States Bankruptcy Court for the District of Delaware is inclined to grant in part Moement, Inc.'s motion to lift the automatic stay to permit the case captioned Moement, Inc. v. Groomore, et al., Case No. 2:22-cv-02871 (C.D. Cal.). to proceed against GrooMore Inc. solely for the purpose of determining Moement's entitlement to injunctive relief. In the lawsuit, Moement accuses the debtor of, among other things, trade secret misappropriation and trademark infringement. The lawsuit also names a number of individuals. The complaint seeks both an injunction against future violations as well as damages for alleged past violations. Wwhile it denies the claims asserted in the action, the debtor concluded that in light of the cost of the litigation, it made more sense to remove the allegedly infringing aspects of its app than to continue litigating. The debtor's basic contention is that the actions it has taken have effectively mooted Moement's claims for injunctive relief. The only issue left in the Moement litigation, the debtor argues, is the question of how much (if any) damages it owes on account of its alleged past violations. Accordingly, the debtor asserts that it is entitled to seek to reorganize its business in bankruptcy. On this theory, while Moement's damages claims against it will ultimately need to be liquidated, that is not an urgent matter. Whatever claims Moement may have as a creditor will be paid, after GrooMore confirms a plan of reorganization, in accordance with the Bankruptcy Code's priority scheme and the terms of GrooMore's plan. However, Moement disputes the assertion that GrooMore has fixed its app so that it no longer uses Moement's trade secrets and intellectual property (assuming, for this purpose, that it previously did). And that is of critical importance, according to the Court. Chapter 11 is intended to facilitate the reorganization of a business that is otherwise a sensible one but is saddled with the problem of too much debt. And as much as the automatic stay in bankruptcy is intended to offer a debtor a breathing spell from the cost of litigation, it does not mean that a debtor can operate its business on a post-petition basis without having to face litigation (whether filed before or after the bankruptcy filing) alleging that the debtor's post-petition operations are unlawful, the Court states. Moement moved for relief from stay for the purpose of continuing its lawsuit in the Central District of California. It points out that the bankruptcy case was filed on the eve of trial and suggests that the bankruptcy filing is an improper effort to obtain strategic advantage in that lawsuit. And Moement takes issue with GrooMore's assertion that it has cleansed its operations of the use of Moement's trade secrets and intellectual property. The Court held a hearing on the lift-stay motion on Feb. 7, 2025. At that hearing, the Court suggested that the question whether the debtor had cleansed itself of any alleged violation of Moement's trade secrets and intellectual property was something of a gating issue. If so, the debtor was entitled to try to reorganize its business in bankruptcy. In that event, the questions about Moement's claim arising out of alleged prepetition violations could be dealt with later. If not, however, the debtor should not be entitled to operate its business on a post-petition basis in violation of Moement's rights. The Moement litigation pending in the Central District of California is before Judge Wesley Hsu. At the Feb. 7 hearing, the Court asked the parties if either party would object to the Court reaching out to Judge Hsu to puzzle through which court was in a better position to move forward to address the question whether GrooMore had cleansed itself of the alleged use of Moement's trade secrets and intellectual property. Both parties consented to that. Judge Goldblatt spoke with Judge Hsu. Judge Hsu reported that he has familiarity with the case from having presided over it. He said that if this Court were to lift the stay to permit the case to proceed against the debtor solely for the purpose of determining Moement's entitlement to injunctive relief, he would be able to set the case for trial within a reasonable period of time. In light of that fact, this Court is inclined to grant Moement's motion for relief from stay, solely for the purpose of addressing the question of Moement's entitlement to injunctive relief. The Court says the question of the damages (if any) owed to Moement by the debtor shall be reserved for the claims allowance process. Counsel for Moement suggested during the Feb. 7 hearing that if the Court were to grant stay relief for this purpose, principles of judicial economy would counsel in favor of allowing the claim to be fully liquidated in the district court. The Court is inclined to deny that request. While it is not clear to the Court how much (if at all) the estate will benefit from not being required to litigate damages, to the extent that the debtor seeks to reserve that issue for the claims allowance process, the Court believes that the debtor is entitled to do so. To the extent this Court lifts the stay to permit the case to proceed as to Moement, the question of whether and how to proceed to trial against the individuals (including the question whether that trial should include an assessment of damages, if any, against the individuals) is a matter left for Judge Hsu in the exercise of his discretion. As a matter of his own discretion, Judge Hsu stayed the claims against the individuals while awaiting a decision of this Court on Moement's motion for relief from stay. A copy of the Court's decision is available at https://urlcurt.com/u?l=BeQU2p from PacerMonitor.com. About GrooMore Inc. GrooMore Inc., a company based in Atlanta, Ga., operates a cloud-based pet grooming software platform providing scheduling, payment processing, and business management solutions for pet grooming businesses. GrooMore sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-10018) on January 9, 2025. In its petition, the Debtor reported assets between $100,000 and $500,000 and estimated liabilities between $500,000 and $1 million. Joseph C. Barsalona II, Esq., at Pashman Stein Walder Hayden, P.C. represents the Debtor as legal counsel. HAYDALE CERAMIC: To Sell Ceramic Materials Business at Auction -------------------------------------------------------------- Haydale Ceramic Technologies, LLC seeks permission from the U.S. Bankruptcy Court for the Northern District of Georgia, Gainesville Division, to sell Assetsto Silar Ceramic Technologies, LLC as the initial bidder, free and clear of liens, claims, and encumbrances. The Debtor is a manufacturer of silicon carbide ceramic materials. Notwithstanding efforts by the Debtor to address the issues impacting the operations of the Debtor, the Debtor was unable to resolve such issues prior to the filing of the case. The Debtor has continued to actively address the issues that led to the commencement of the Case by exploring viable strategic options, including identifying potential strategic partners and exploring options to reorganize and/or sell the operations of the Debtor. After evaluating alternatives, the Debtor concluded that it was in the best interests of the Debtor, its creditors, their employees and other parties in interest to effectuate a sale of the Purchased Assets. The highest pre-petition offer received by the Debtor is from Silar Ceramic, an entity owned by group of employees currently working for the Debtor. Silar Ceramic will pay $500,000.00 to the Debtor for the Purchased Assets. The amount will be comprised of the Break-Up Fee and a credit bid for their Secured Claim of $250,000.00 plus the necessary cash to reach $500,000.00. The Purchaser will also be assuming the claim of the Small Business Administrator that is approximately $200,000.00. The sale of Purchased Assets is to be free and clear of any and all liens, claims, interests and encumbrances, with these to attach to the net proceeds generated from the sale of the Purchased Assets, to the extent valid, perfected and enforceable. The Debtor proposes that Silar Ceramic will be paid an agreed-upon "Breakup Fee" in an amount equal to actual out-of-pocket costs, including attorneys' fees, that are capped at $20,000.00 (Breakup Fee); provided, however, that such Breakup Fee shall be due and payable only if the Debtor shall have closed a sale or other transfer of all or a material portion of the Purchased Assets to a third party other than or unrelated to the Silar Ceramic or if Debtor withdraws the Sale Motion prior to the entry of an Order approving the Silar Ceramic in an effort to submit a plan of reorganization. In order to ensure that asset values are truly maximized, the Debtor also requests approval of the bid procedures at the Procedures Hearing, so that competing offers for the assets of the Sellers shall be accepted only if they meet the requirements. Any third party (other than Silar Ceramic) that is interested in acquiring the Purchased Assets must submit an "Initial Overbid" not later than 5:00 p.m. local time in Atlanta, Georgia on April 7, 2025. The Debtor will conduct an Auction with respect to the sale of the Purchased Assets on April 15, 2025 beginning at 9:00 a.m. local time, at the offices of counsel for the Debtor, Rountree, Leitman, Klein & Geer, LLC, 2987 Clairmont Road, Suite 350, Atlanta, Georgia 30329, or at such other location as may be designated by the Debtor. The Debtor also asks the Court to direct that offers made prior to or at the Sale Hearing may not be withdrawn after they are made and any entity's refusal or failure to comply with its offer after acceptance of same by the Debtor and approval by the Court shall entitle the Debtor to retain any deposit submitted by such party. About Haydale Ceramic Technologies LLC Haydale Ceramic Technologies LLC is a manufacturer of Silicon Carbide (SiC) ceramic materials, boasting the largest installed production capacity across the Americas, Europe, and the APAC regions. Manufactured in Greer, South Carolina, the Company's cutting tools are crafted using the highest quality SiC materials, including particulates, fibers, and microfibers. Haydale Ceramic Technologies LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No.: 25-20159) on February 7, 2025. In its petition, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $10 million and $50 million. Honorable Bankruptcy Judge James R. Sacca handles the case. The Debtor is represented by William Rountree, Esq., at ROUNTREE, LEITMAN, KLEIN & GEER, LLC. HERMS LUMBER: Seeks Chapter 11 Bankruptcy in California ------------------------------------------------------- On February 19, 2025, Herms Lumber Sales Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Herms Lumber Sales Inc. Herms Lumber Sales Inc. specializes in the wholesale distribution of lumber and related construction materials. The Company offers a variety of products, including dense mixed hardwoods, softwoods, and plywood/OSB, catering to industries such as pallet manufacturing and construction. Herms Lumber Sales Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-10403) on February 19, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Theodor Albert handles the case. The Debtor is represented by: Aaron E. de Leest, Esq. MARSHACK HAYS WOOD LLP 870 Roosevelt Irvine, CA 92620-3663 Tel: (949) 333-7777 E-mail: adeleest@marshackhays.com HERTZ GLOBAL: Court Tosses Discovery's Breach of Contract Suit -------------------------------------------------------------- Judge Eric M. Davis of the Delaware Chancery Court granted Hertz Global Holdings, Inc.'s motion to dismiss the case captioned as DISCOVERY GLOBAL OPPORTUNITY MASTER FUND, LTD., and DISCOVERY GLOBAL BEACON PARTNERS, LP, Plaintiffs, v. HERTZ GLOBAL HOLDINGS, INC., Defendant, C.A. No. 2024-0655-EMD (Del. Ch.). Discovery Global Opportunity Master Fund, Ltd. is a company organized under the laws of the Cayman Islands. Discovery Global Beacon Partners, LP is a limited partnership organized under the laws of the State of Delaware. Hertz is a corporation organized under the laws of the State of Delaware. This is a breach of contract action. Plaintiffs Discovery Global Opportunity Master Fund, Ltd. and Discovery Global Beacon Partners, LP bring claims against Defendant Hertz Global Holdings, Inc. arising out of a warrant agreement. Discovery filed a verified complaint on June 14, 2024, alleging that Hertz engaged in a series of transactions that amount to a Reorganization Event as that term is defined in the Warrant Agreement. As a result, Discovery contends they are entitled to declaratory relief (Count I), monetary damages (Count II), and specific performance (Count III) for Hertz's failure to honor the Warrant Agreement. Hertz officially emerged from bankruptcy on June 30, 2021. Pursuant to the Plan, Hertz and Computershare Trust Company, N.A. (as warrant agent) entered into the Warrant Agreement. Each warrant entitles the holder, upon the proper exercise and payment of the applicable exercise price, to receive from Hertz one share of common stock at a price of $13.80 per share. There are currently 82,710,029 Warrants outstanding. Discovery beneficially holds 9,161,086 Warrants, accounting for approximately 11% of the outstanding Warrants. The Warrants have a 30-year term that expires on June 30, 2051. The Warrant Agreement provides for certain circumstances under which Hertz must redeem the Warrants prior to the 30-year term. The Warrant Agreement requires Hertz to redeem the Warrants within five business days at the Change of Control Payment Amount when there has been a Reorganization Event -- which includes a recapitalization. The Warrant Agreement sets the redeeming price through a specific formula. Hertz filed a motion to dismiss the the plaintiff's verified complaint on June 17, 2024. Through the Motion, it requests this Court to dismiss the Complaint in its entirety and find that no Reorganization Event has occurred in the transactions Discovery alleges in its Complaint. The Court held a hearing on the Motion on Nov. 12, 2024. Hertz maintains that dismissal is warranted because Discovery's interpretation of the Warrant Agreement is inconsistent with the plain and unambiguous terms of the contract. It argues that Discovery's interpretation disregards the Warrant Agreement's contractual requirements that trigger a mandatory redemption. It notes that the Warrant Agreement Section 12(g) requires a Reorganization Event which causes the Common Stock of Hertz to be converted into Reference Property before Hertz must redeem the Warrants. Hertz contends that Discovery's interpretation of the Warrant Agreement creates an unreasonable and absurd result. Under Discovery's interpretation, even where Hertz acquired a company for cash through a merger, it would constitute a Reorganization Event. That reading would be unreasonable in light of the Warrant Agreement's commercial purpose. Hertz goes on to argue that Discovery's interpretation destroys the purpose of Section 12(g)(i) and (v) which serve as anti-destruction clauses that prevent Warrant holders from losing their investments through events that would cause Hertz stock to cease to exist. Such events would cause the Warrants to become valueless. Conversion of the Warrant into the new underlying asset the stocks were exchanged for preserves the value of the Warrant. Discovery's interpretation would only apply where Hertz shares are not facing that threat to its existence. Judge Davis concludes that the repurchase and debt financing of Hertz's shares, even in an amount up to $3.4 billion, does not amount to the significant structural changes to Hertz's capital makeup that a 'recapitalization' suggests. Hertz's stock still exists, and Discovery can point to no fact that suggests a sufficiently detrimental impact to the existence of the stock which underlies the Warrant Agreements or the ability of the Warrant Holders to exercise their Warrant rights at the appropriate time. To hold otherwise would stretch the Warrant Agreements meaning of a 'Reorganization Event,' would be overly inclusive and could produce absurd results. Accordingly, the Court cannot find that Discovery's proposed interpretation is a reasonable alternative interpretation of Warrant Agreement Section 12(g)(i). A copy of the Court's decision is available at https://urlcurt.com/u?l=P9i9Fr from PacerMonitor.com. Attorneys for Plaintiffs Discovery Global Opportunity Master Find, Ltd. and Discovery Global Beacon partners, LP: Samuel T. Hirzel, II, Esq., Brendan Patrick McDonnell, Esq. HEYMAN ENERIO GATTUSO & HIRZEL LLP 300 Delaware Avenue, Suite 200 Wilmington, DE 19801 Telephone: (302) 472-7300 E-mail: shirzel@hegh.law bmcdonnell@hegh.law Daniel A. Fliman, Esq. Ryan Montefusco, Esq. Isaac S. Sasson, Esq. John F. Iaffaldano, Esq. PAUL HASTINGS LLP 200 Park Avenue New York, NY10166 Telephone: (212) 318-6000 E-mail: danfliman@paulhastings.com ryanmontefusco@paulhastings.com jackiaffaldano@paulhastings.com Attorneys for Defendant Hertz Global Holdings, Inc.: Blake Rohrbacher, Esq., Kevin M. Kidwell, Esq. RICHARDS, LAYTON & FINGER, P.A. One Rodney Square, 920 North King Street Wilmington, DE 19801 Telephone: (302) 651-7700 E-mail: rohrbacher@rlf.com Andrew Ditchfield, Esq. Alison B. Miller, Esq. Kyra M. Kaufman, Esq. DAVIS POLK & WARDWELL LLP 450 Lexington Avenue New York, NY 10017 Telephone: (212) 450-4000 E-mail: andrew.ditchfield@davispolk.com About Hertz Corp. Hertz Corp. and its subsidiaries -- http://www.hertz.com/-- operate a worldwide vehicle rental business under the Hertz, Dollar, and Thrifty brands, with car rental locations in North America, Europe, Latin America, Africa, Asia, Australia, the Caribbean, the Middle East, and New Zealand. They also operate a vehicle leasing and fleet management solutions business. On May 22, 2020, The Hertz Corporation and certain of its U.S. and Canadian subsidiaries and affiliates filed voluntary petitions for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware (Bankr. D. Del. Case No. 20-11218). Judge Mary F. Walrath oversees the cases. The Debtors have tapped White & Case LLP as their bankruptcy counsel, Richards, Layton & Finger, P.A., as local counsel, Moelis & Co. as investment banker, and FTI Consulting as financial advisor. The Debtors also retained the services of Boston Consulting Group to assist the Debtors in the development of their business plan. Prime Clerk LLC is the claims agent. The U.S. Trustee for Regions 3 and 9 appointed a Committee to represent unsecured creditors in Debtors' Chapter 11 cases. The Committee has tapped Kramer Levin Naftalis & Frankel LLP as its bankruptcy counsel, Benesch Friedlander Coplan & Aronoff LLP as Delaware counsel, UBS Securities LLC as investment banker, and Berkeley Research Group, LLC, as financial advisor. Ernst & Young LLP provides audit and tax services to the Committee. * * * Hertz Global and its subsidiaries emerged from Chapter 11 bankruptcy at the end of June 2021. Hertz won approval of a Plan of Reorganization that unimpaired all classes of creditors (who are legally deemed to have accepted it) and was approved by more than 97% of voting shareholders. The Plan provided for the existing shareholders to receive more than $1 billion of value. Recovery by shareholders of close to $8 a share was made possible after a fierce competition among bidders for control in the company. Initial offers from potential bidders for Hertz in its bankruptcy offered nothing for equity. Hertz in May 2021 selected investment firms Knighthead Capital Management LLC and Certares Management LLC, joined by other investors including Apollo Global Management Inc. and a group of existing shareholders, as the winning bidders for control of the bankrupt company. A rival group that included Centerbridge Partners LP, Warburg Pincus LLC and Dundon Capital Partners LLC was outbid at auction. Hertz's Plan eliminated over $5 billion of debt, including all of Hertz Europe's corporate debt, and will provide more than $2.2 billion of global liquidity to the reorganized Company. Hertz also emerged with (i) a new $2.8 billion exit credit facility consisting of at least $1.3 billion of term loans and a revolving loan facility, and (ii) an $7 billion of asset-backed vehicle financing facility, each on favorable terms. HIREX INC: Samuel Dawidowicz Named Subchapter V Trustee ------------------------------------------------------- The U.S. Trustee for Region 2 appointed Samuel Dawidowicz as Subchapter V trustee for HireX Inc. Mr. Dawidowicz will be paid an hourly fee of $565 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Dawidowicz declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Samuel Dawidowicz 215 East 68th Street New York, NY 10065 Phone: (917) 679-0382 About HireX Inc. HireX Inc. offers solutions for staffing, recruitment and HR services. HireX filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 25-10243) on February 7, 2025, listing total assets of $139,774 and total liabilities of $1,108,709. Judge David S. Jones oversees the case. The Debtor is represented by: Douglas Pick, Esq. Pick & Zabicki, LLP 369 Lexington Avenue 12th Floor New York City, NY 10017 Tel: (212) 695-6000 Email: dpick@picklaw.net HOOTERS OF AMERICA: In Talks w/ Creditors on Possible Ch. 11 Filing ------------------------------------------------------------------- Eliza Ronalds-Hannon and Reshmi Basu of Bloomberg News report that Hooters of America is coordinating with creditors on a plan to restructure the business through bankruptcy court in the coming months, according to sources familiar with the matter. The casual dining chain is working with law firm Ropes & Gray to prepare the filing, though the plans are not yet finalized, the sources said, requesting anonymity due to the sensitive nature of the discussions. The bankruptcy process is expected to begin within the next two months, they added. To manage its debt load, the company is collaborating with its legal team and turnaround advisers from boutique firm Accordion Partners. About Hooters of America Hooters of America, LLC owns and operates a restaurant chain with hundreds of locations in the United States. HOSPITAL FOR SPECIAL: Hires Ordinary Course Professionals --------------------------------------------------------- Hospital for Special Surgery, LLC d/b/a OneCore Health seeks approval from the U.S. Bankruptcy Court for the Western District of Oklahoma to employ ordinary course professionals. The Debtor seeks to hire these ordinary course professionals: Name Professional Services Work Description Forvis Mazars Medicare Cost Report Regulatory compliance and reporting Hall, Render, Legal support Various operational Killian, Heath decisions requiring & Lyman, P.C. legal opinion Kim Denson R.N. Case Management Case Management Program Oversight Olson Neaves & Tax Accounting CPA for Tax Reporting Company, P.C. Property Valuation Compliance and audit Services Property tax reporting support About Hospital for Special Surgery, LLC d/b/a OneCore Health Hospital for Special Surgery, LLC is a Medicare-certified surgical specialty hospital in Oklahoma City that specializes in diagnostic, surgical and rehabilitative services. Hospital for Special Surgery sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Okla. Case No. 24-12862) on October 7, 2024, with total assets of $8,285,647 and total liabilities of $21,797,844. Steve Hockert, chief executive officer, signed the petition. Judge Janice D. Loyd oversees the case. The Debtor is represented by Mark A. Craige, Esq., at Crowe & Dunlevy. HUDSON 1702: Secured Party Sets April 10 Auction ------------------------------------------------ Parkview Financial REIT LP, as the agent under certain loan agreements and a pledged agreement ("secured party"), will offer at a public auction the limited liability company interests ("collateral") in Hudson 1702 LLC ("1702") and Hudson 1701/1706 (together with 1702, "Company"), which entities, upon secured party's information and belief, own a leasehold estate in certain condominium units in the building known as 253 West 57th Street Condominium and by the street number 353-361 West 57th Street aka 356 West 58th Street, New York, New York, said condominium units being designated and described as Unit Nos. 1, 2 and 6 in the declaration relating to such condominium, as amended, recorded in the offices of the City Register of the City of New York, County of New York. The sale of the collateral involves the sale of the equity interests of the Company and does not involve the direct sale of the leasehold estate. The collateral has not been and will not be registered under the Securities Act of 1933 and is being offered for sale in a transaction exempt from the requirements of the Act. The collateral will be offered for sale as a single unit or in separate lots. The public auction will be held in person at the offices of DLA Piper LLP (US) located at 1251 Avenue of the Americas, New York, New York 10020 and virtually via Zoom Meetings, on April 10, 2025 at 10:30 a.m. (ET). The collateral secures indebtedness owning by the Company to secured party in an amount of not less than $193,806,115.34 plus unpaid interest and all other sums due under the applicable loan documents. The collateral will be sold to the highest qualified bidder; provided, however, secured party reserves the right to cancel the sale in its entirety or to adjourn the sale to a future date at any time. Secured Party also reserves the right to bid, including by credit bid. Additional documentation and information regarding the collateral will be made available, including the terms of the public sale, to interested parties that execute a confidentiality agreement. To review and execute such confidentiality agreement, visit the website at https://tinyurl.com/m9njnnnx. Interested parties that intend to bid on the collateral must contact Brock Cannon of Newmark, secured party's broker, at brock.cannon@nmrk.com or (212) 372-2066 no later than 5 days before the date scheduled for the auction to receive information on how to register for the auction. For question and inquiries, contact Brock Cannon or Neal Kronley of DLI Piper LLP (US), counsel to secured party, at neal.kronley@us.dlapiper.com. IDEAL PROPERTY: To Sell Sandy Property to Vortex Properties ----------------------------------------------------------- Ideal Property Investments LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Washington, to sell Property located at 586 West 9320 South, Sandy, Utah, 84070 to Vortex Properties for a purchase price of $3,100,000. Cadence Bank holds a secured interest in the Utah Property with the amount due of $1,428,332.85. The Debtor was placed in a state court receivership on May 3, 2024, at the request of creditor First Federal Bank. The Debtor owns 19 parcels of real property and additional parcels are owned by the Debtor's subsidiaries and affiliates, which have been merged into the Debtor as of December 16, 2024. The Utah Property, located at 586 West 9320 South, Sandy, Utah, is an approximately 13,425 square foot industrial building. The Debtor acquired the property on December 23, 2022. Cadence provided the funding for the initial purchase of the Utah Property with an initial loan of $1,387,500.00 on or about December 23, 2022, which was secured by a Promissory Note, Trust Deed with Assignment of Rents that was recorded on December 30, 2022, and a Guaranty. The Debtor entered into a purchase and sale agreement to sell the Property to Vortex Properties for $3,100,000. The Debtor has been represented by NAI Puget Sound Properties, through its co-broker, NAI Premier, in which it will receive 2.5% of the sales price. The Buyer is represented by Jeffrey Sorenson and Taylor Ogden of Mountain West CRE and will receive a commission of 2.5% of the sales price. The Debtor has immediate need of cash to fund its operations, including funding the insurance premium financing payments for the remaining real property of the estate and funding administrative expenses so the debtor can continue moving towards a plan of reorganization. By selling the Utah Property, the estate will save money by not having to continue to insure it and stopping the accrual of interest on the Cadence debt. About Ideal Property Investments LLC Ideal Property Investments, LLC is primarily engaged in renting and leasing real estate properties. The company is based in Everett, Wash. Ideal Property Investments filed Chapter 11 petition (Bankr. E.D. Wash. Case No. 24-01421) on September 5, 2024, with $50 million to $100 million in assets and $100 million to $500 million in liabilities. Judge Frederick P. Corbit oversees the case. Laurie Thornton, Esq., at DBS Law is the Debtor's bankruptcy counsel. IHEARTMEDIA INC: Douglas Lane & Associates Holds 3.1% Stake ----------------------------------------------------------- Douglas Lane & Associates, LLC disclosed in a Schedule 13G/A filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owned 4,637,817 shares of iHeartMedia, Inc. common stock, representing approximately 3.1% of the outstanding shares. Douglas Lane & Associates, LLC may be reached at: Nicole Solinga-Stasi Chief Compliance Officer One Dag Hammarskjold Plaza 885 Second Avenue, 42nd Floor New York, NY 10017 Tel: 212-262-7670 A full-text copy of 's SEC Report is available at: https://tinyurl.com/5xnffd56 About iHeartMedia iHeartmedia Inc. develops, owns, and operates the iHeart.com Website, which includes a broad selection of video content posted along with their stories. As of September 30, 2024, iHeartmedia had $5.8 billion in total assets, $7.2 billion in total liabilities, and $1.4 billion in total stockholders' deficit. * * * As reported by the Troubled Company Reporter on March 5, 2024, S&P Global Ratings lowered its issuer credit rating on iHeartMedia Inc. to 'CCC+' from 'B' because it believes the company is dependent on favorable business, financial, and economic conditions to meet its financial obligations. IM3NY LLC: Creditors Oppose to Proposed CEO Bonus ------------------------------------------------- James Nani of Bloomberg Law reports that unsecured creditors of bankrupt lithium-ion battery maker iM3NY LLC have opposed a proposed bonus plan for a top executive, claiming it lacks meaningful performance targets. The objection, filed on February 19, 2025, in the US Bankruptcy Court for the District of Delaware, states that Lukasz Cianciara, CEO of iM3NY's bankrupt affiliate Imperium3 New York Inc., would qualify for a bonus if the company or a portion of its lender debt is sold, the report states. About iM3NY LLC IM3NY LLC -- https://im3ny.com/ -- is an independent lithium-ion cell manufacturer that is commercializing cell chemistry developed in the USA. iM3NY LLC and Imperium3 New York, Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 25-10131) on January 27, 2025. In the petition, the Debtors reported estimated assets between $50 million and $100 million and estimated liabilities between $100 million and $500 million. The Honorable Bankruptcy Brendan Linehan Shannon handles the cases. The Debtors tapped William E. Chipman, Jr., Esq., at Chipman Brown Cicero & Cole, LLP as counsel; Novo Advisors as financial advisor; and Hilco Corporate Finance, LLC as investment banker. Stretto, Inc. is the Debtors' noticing claims management and reconciliation consultant. JEREMIAH PHILLIPS: Case Summary & 17 Unsecured Creditors -------------------------------------------------------- Debtor: Jeremiah Phillips LLC d/b/a Airline Coach Services, Inc. 889 N. Douglass St., Suite 212 El Segundo, CA 90245 Business Description: Jeremiah Phillips LLC, doing business as Airline Coach Services, Inc., is a California-based transportation company offering a variety of services such as airport and hotel shuttles, employee and university campus transit, private and corporate shuttles, and parking lot management. The Company is committed to sustainability, with 90% of its fleet running on alternative clean fuels. Airline Coach Services also operates Zero Transportation, a division focused on providing zero-emission transportation solutions to further reduce carbon emissions. Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Central District of California Case No.: 25-11344 Debtor's Counsel: Thomas B. Ure, Esq. URE LAW FIRM 8280 Florence Avenue, Suite 200 Downey, CA 90240 Tel: 213-202-6070 E-mail: tom@urelawfirm.com Total Assets: $970,683 Total Liabilities: $1,718,211 The petition was signed by Alex Morrison as managing member. A full-text copy of the petition, which includes a list of the Debtor's 17 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/YVJAZ7Y/Jeremiah_Phillips_LLC__cacbke-25-11344__0001.0.pdf?mcid=tGE4TAMA JM GROVE: Seeks to Hire Evans & Mullinix as Legal Counsel --------------------------------------------------------- JM Grove, LLC seeks approval from the U.S. Bankruptcy Court for the District of Kansas to employ Evans & Mullinix, P.A. as counsel to handle its Chapter 11 case. The firm will be paid at these rates: Colin N. Gotham $350 per hour Paralegals $125 per hour The firm received from the Debtor a retainer in the amount of $14,962, plus the filing fees of $1,738. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Colin N. Gotham, Esq., a partner at Evans & Mullinix, P.A., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Colin N. Gotham, Esq. Evans & Mullinix, P.A. 7225 Renner Road, Suite 200 Shawnee, KS 66217 Tel: (913) 962-8700 Fax: (913) 962-8701 Email: cgotham@emlawkc.com About JM Grove, LLC JM Grove, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Kan. Case No. 25-20111) on February 4, 2025, listing between $50,001 and $100,000 in assets and between $100,001 and $500,000 in liabilities. Jordan Grove, a member of JM Grove, signed the petition. Judge Dale L. Somers oversees the case. Colin Gotham, Esq., at Evans & Mullinix, P.A., represents the Debtor as legal counsel. JUNIPER ALF: Seeks Chapter 11 Bankruptcy in Florida --------------------------------------------------- On February 19, 2025, Juniper ALF Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Middle District of Florida. According to court filing, the Debtor reports $9,730,414 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Juniper ALF Inc. Juniper ALF Inc. is a real estate company, owns the property located at Upper Creek and Cortaro Road in Sun City Center, FL 33573, valued at approximately $3.1 million, based on similar property sales in the area. Juniper ALF Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla.Case No. 25-01021) on February 19, 2025. In its petition, the Debtor reports total assets of $3,100,000 and total liabilities of $9,730,414. Honorable Bankruptcy Judge Roberta A. Colton handles the case. The Debtor is represented by: Lisa M. Castellano, Esq. VENABLE LLP 100 N. Tampa Street, Suite 2600 Tampa, FL 33602 Tel: 813-439-3100 Fax: 813-439-3110 E-mail: LMCastellano@Venable.com JW REALTY: Case Summary & Three Unsecured Creditors --------------------------------------------------- Debtor: JW Realty Holdings LLC 18 Prag Boulevard Monroe, NY 10950 Business Description: JW Realty Holdings, a single-asset company, is the fee simple owner of the property located at 253 County Rte 105, Highland Mills, NY 10930, which is valued at $1.35 million. Chapter 11 Petition Date: February 20, 2025 Court: United States Bankruptcy Court Southern District of New York Case No.: 25-35180 Judge: Hon. Kyu Young Paek Debtor's Counsel: Jonathan S. Pasternak, Esq DAVIDOFF HUTCHER & CITRON LLP 605 Third Avenue 34th Floor New York, NY 10158 Tel: 212-557-7200 Fax: 212 286 1884 Total Assets: $1,350,000 Total Liabilities: $1,155,000 The petition was signed by Yitzchok Weiner as managing member. A full-text copy of the petition, which includes a list of the Debtor's three unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/7WC5ZKA/JW_Realty_Holdings_LLC__nysbke-25-35180__0001.0.pdf?mcid=tGE4TAMA KARMAN SPACE: S&P Assigns 'B+' ICR, Outlook Stable -------------------------------------------------- S&P Global Ratings assigned a 'B+' issuer credit rating to Karman Space and Defense. At the same time, S&P assigned a 'BB-' issue-level rating to Karman's $300 million term loan B, with a recovery rating of '2' (rounded estimate 70%). S&P said, "The stable outlook reflects our expectations that the company's credit metrics will improve over the next year or two and remain appropriate for the rating. We expect the company to benefit from strong demand across critical defense platforms while strong profitability contributes to positive cash flow." Karman Space and Defense completed its initial public offering (IPO) on Feb. 12, 2025, and has proposed raising a new $300 million term loan B and $50 million new revolving credit facility. S&P said, "We expect Karman's strong EBITDA margins to support improved credit metrics. Following its IPO on Feb. 12, 2025, Karman proposed raising a $300 million term loan B and a $50 million new revolving credit facility. We expect the company to allocate the aggregated proceeds toward refinancing the company's existing capital structure while also boosting cash held on the balance sheet. With S&P Global Ratings forecast 2025 revenue of about $415 million, Karman is among the smallest aerospace and defense (A&D) companies we rate, constraining our view of business risk strength. In the company's favor, it's sole source position across platforms and broad portfolio of intellectual property support margins in the 25%-30% area that have historically measured above industry averages. "We expect the company's profitability will remain supported by strong market conditions within defense and space segments, boosted by demand for military readiness and meaningful investment into space. As critical programs ramp up, we expect volumes to drive EBITDA growth and margin expansion. Management's focus on operational efficiency also supports the company's strong margin profile. "We forecast Karman will generate positive free operating cash flow (FOCF) of $40 million-$50 million in 2025 and 2026, while S&P adjusted debt levels remain steady at $425 million-$450 million. As a result, we expect funds from operations (FFO) to debt to measure 10%-15% in 2025 and 2026, while debt to EBITDA measures 3.5x-4.0x in 2025 and 2026. "We expect favorable market conditions to drive top-line growth. Karman is the sole supplier of many mission-critical systems across some of the most utilized space and defense platforms. The company's product lines are often specified into original equipment manufacturer (OEM) designs, and 90% of its revenue is protected by intellectual property (IP). Further, the critical nature of its systems and its long-term relationships with key defense companies allows Karman a secure position on next-generation system development. "As a result of ongoing conflicts and heightened security concerns throughout the world, governments have been prioritizing military readiness, driving demand for Karman systems, such as missile payload protection and deployment systems. We expect OEMs to ramp up production levels across many defense platforms, benefiting critical platform suppliers such as Karman. "Additionally, Karman has meaningful content on NASA-built platforms as well as on many of the most launched rockets within the commercial space market. We expect launches to increase in the near term, especially within the commercial segment, as space development continues to see significant investment. The company's sole sourced position and broad IP portfolio serves as a meaningful barrier to entry for new market participants, protecting Karman's position. We expect annual revenue growth of 15%-20% in 2025 and 2026. "We expect Karman's financial policy will incorporate periodic acquisitions, though will be relatively less risky. Karman has actively participated in the mergers and acquisitions (M&A) market over the past couple years; however, we expect near-term acquisitions to be limited. Management has noted that improving leverage while allocating capital toward organic growth will be the priority. Though we view smaller bolt-on acquisitions as a possibility, we anticipate the company will fund such targets through cash from operations. Additionally, we do not anticipate it will allocate capital toward dividends and/or share repurchases over the forecast period. We anticipate that Trive Capital, which holds approximately 60% of the company's equity following the IPO, will retain a majority ownership over the forecast period. "The stable outlook reflects our expectations that Karman is well positioned to benefit from sustained demand across established and next-generation defense and space systems. We expect the company to maintain its margin profile, protected by its broad IP portfolio, while ramping up production across end markets. We expect S&P Global Ratings-adjusted FFO to debt will remain above 12% over the next two years, while liquidity remains adequate." S&P could lower its rating on Karman if its FFO to debt falls below 12% and we expect it to remain at such levels. This could occur if: -- There are shifts in defense spending priorities such that demand moderates for systems that incorporate the company's products; -- EBITDA margins erode due to higher operating costs or changes in government contract terms; or -- The company pursues material debt-financed acquisitions or dividends. S&P said, "Although unlikely over the next 12 months, we could raise our rating on Karman if the company's scale and diversification expands such that we view its business risk as materially improved. We could also raise the rating if its FFO to debt comfortably exceeds 20% and its sponsor's equity position diminishes faster than expected." This could occur if: -- The company expands earnings, either organically or through acquisitions, without substantially increasing leverage; -- Karman adheres to a moderate financial policy with no significant debt-funded acquisitions or dividends; and -- The sponsor reduces its equity position faster than expected. KING STATE: To Sell Tampa Property to Foxtail Coffee ---------------------------------------------------- King State Coffee LLC seeks permission from the U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division, to sell in a private sale its property located at 520 E Floribraska Ave, Tampa, FL 33603, free and clear of liens, interests, and encumbrances. The Debtor originally plans to lease its Property to a new tenant, Orlando Group Investments, LLC d/b/a Foxtail Coffee hoping to operate a coffee shop at the Property, however, during the course of negotiations for the new lease, Foxtail offered to purchase the Property for $950,000.00. BayFirst National Bank holds a security with a mortgage on the property. The Property will be sold free and clear of all liens, claims, encumbrances and any other interests. The closing date of the sale will take place on or before 45 days from the effective date. The Debtor asserts that the sale to Foxtail is a private sale and without additional marketing auction is reasonable given the prior appraisal presented by BayFirst. An auction would not likely realize a higher net value to the estate and the Debtor’s creditors given the prior appraisals, expense or cost of the marketing and auction process, and damage to roof. The foregoing, the Sale is subject to higher and better offers tendered prior to the Closing Date on the condition that such offers must be in an amount $25,000 higher than the current purchase price of $950,000.00, new buyer's payment of non-refundable earnest money deposit of $10,000 to the Escrow Agent prior to the Closing Date, and be non-contingent on third party financing or have such financing arranged prior to the Closing Date. About King State Coffee LLC King State Coffee, LLC, a company in Tampa, Fla., filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-00576) on February 2, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Timothy F. McTague, manager, signed the petition. Judge Catherine Peek Mcewen oversees the case. David S. Jennis, Esq., at David Jennis, PA, doing business as Jennis Morse, represents the Debtor as legal counsel. KINGSBOROUGH ATLAS: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------------- Debtor: Kingsborough Atlas Tree Surgery Inc. 1544 Ludwig Avenue Santa Rosa, CA 95407 Business Description: Kingsborough Atlas Tree Surgery Inc. specializes in comprehensive tree care services, including tree pruning, removal, planting, stump grinding, and land clearing. The Company also offers fire hazard reduction, utility line clearance, and landscape maintenance for both residential and commercial clients in Santa Rosa, California. Chapter 11 Petition Date: February 20, 2025 Court: United States Bankruptcy Court Northern District of California Case No.: 25-10088 Debtor's Counsel: Michael C. Fallon, Esq. LAW OFFICE OF MICHAEL C. FALLON 100 E Street, Suite 219 Santa Rosa, CA 95404 Tel: (707) 546-6770 Fax: (707) 546-5775 E-mail: mcfallon@fallonlaw.net Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Richard Kingsborough as president. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/LOH5KMQ/Kingsborough_Atlas_Tree_Surgery__canbke-25-10088__0001.0.pdf?mcid=tGE4TAMA KULR TECHNOLOGY: Teams Up With Worksport on Battery Innovation -------------------------------------------------------------- KULR Technology Group, Inc. and Worksport Ltd., a pioneer in solar-integrated tonneau covers and portable energy storage, have announced a strategic partnership focused on advancing battery technology and strengthening domestic manufacturing. The collaboration centers on three key areas: joint battery pack development, thermal runaway protection, and AI-integrated battery management system (BMS) software design. Key Areas of Collaboration * Joint Battery Pack Development: KULR and Worksport will work together on the development of Worksport's COR Battery Pack System. This initiative will focus on optimizing BMS requirements, refining cell configurations, and improving overall system performance, safety, and reliability. * Software (BMS + AI Integration): Both companies aim to incorporate AI-driven software into the BMS, enabling real-time monitoring, predictive maintenance, and advanced data analytics. These advancements will optimize power distribution, extend battery lifespan, and reinforce safety measures. * Thermal Runaway Protection: The partnership will look to integrate KULR's patented thermal runaway protection technology into Worksport's battery systems. This enhancement is expected to significantly improve battery safety and longevity by mitigating thermal runaway risks. KULR will utilize its KULR ONE Design Solutions (K1-DS) to evaluate the performance, cost efficiency, and scalability of integrated battery solutions for the Worksport COR system. With the first generation of Worksport SOLIS and COR set for release in the second half of 2025, these studies will guide future development and innovation. The K1-DS platform includes advanced battery safety testing methodologies such as Fractional Thermal Runaway Calorimetry (FTRC), bomb calorimetry, and impingement zone mapping, ensuring thorough cell-level characterization and safety optimization. Market Growth and Business Impact As demand for U.S.-based production increases--fueled by the Trump administration's emphasis on tariffs--KULR and Worksport are exploring domestic manufacturing options for the COR Battery Pack and related products. This strategic move aligns with growing market preferences for American-made energy solutions and positions both companies for long-term scalability and expansion. After expanding U.S. production in 2024, Worksport's revenue surged more than 450% from 2023 to 2024, surpassing a monthly run rate of $1 million. Projections indicate the company could reach nine figure revenues within the next two to three years. This collaboration with KULR should advance Worksport's goal of transforming the $20 billion-plus portable energy market through innovation and scalable manufacturing. Through the integration of its advanced thermal management technology and AI-powered BMS into Worksport's products, KULR expects to open new revenue streams and establish a significant presence in the portable energy storage sector. The portable energy system market is projected to reach between $21.95 billion and $24.8 billion by 2032, per a Q4 2024 report by Astute Analytica, with an anticipated CAGR of 16% to over 24%. Battery solutions under 3000 kWh, such as the COR, are key drivers of this growth, particularly as off-grid and backup power needs continue to expand. About KULR Technology Group Headquartered in San Diego, California, KULR Technology Group Inc. -- www.kulrtechnology.com -- delivers cutting edge energy storage solutions for space, aerospace, and defense by leveraging a foundation of in-house battery design expertise, comprehensive cell and battery testing suite, and battery fabrication and production capabilities. The Company's holistic offering allows delivery of commercial-off-the-shelf and custom next generation energy storage systems in rapid timelines for a fraction of the cost compared to traditional programs. Los Angeles, Calif.-based Marcum LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated April 12, 2024, citing that the Company has a working capital deficit, has incurred losses from operations, and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of Dec. 31, 2023, the Company had cash of $1,194,764 and working capital deficit of $2,994,753. During the year ended Dec. 31, 2023, the Company incurred a net loss of $23,693,556 and used cash in operations of $11,965,387. KUT AUTO: William Dennis Schilling Named Subchapter V Trustee ------------------------------------------------------------- The U.S. Bankruptcy Administrator for the Northern District of Alabama appointed William Dennis Schilling as Subchapter V trustee for Kut Auto Finance, LLC. The Subchapter V trustee can be reached at: William Dennis Schilling P.O. Box 55147 Birmingham, AL 35255-5147 Telephone No. (205) 328-0464 Email: schillinglawoffice@gmail.com About Kut Auto Finance Kut Auto Finance, LLC is a used car dealership in Birmingham, Ala., which offers a wide selection of vehicles, including cars, pickups, and SUVs, tailored to fit various budgets. Kut Auto Finance filed Chapter 11 petition (Bankr. N.D. Ala. Case No. 25-00389) on February 8, 2025, listing $3,142,240 in assets and $2,730,169 in liabilities. Nathan Syme, managing member of Kut Auto Finance, signed the petition. Judge Tamara O. Mitchell oversees the case. Steven D. Altmann, Esq., at Altmann Law Firm, LLC, represents the Debtor as bankruptcy counsel. LEFEVER MATTSON: Hires Marcus & Millichap as Real Estate Broker --------------------------------------------------------------- Lefever Mattson seeks approval from the U.S. Bankruptcy Court for the Northern District of California to employ Marcus & Millichap as real estate broker. The firm will market and sell these real properties of the Debtors: -- 3310-3336 Cimmarron, Cameron Park; -- 5800 Engle Rd, Carmichael; -- 5800 Fair Oaks Blvd; -- 3217 Walnut Ave, Carmichael; -- 1621 Hood Rd, Sacramento; -- 7575 Power Inn Rd, Sacramento; -- 905 Broadway St, Fairfield; -- 1190 Dana Dr., Fairfield; -- 1189 Dana Dr., Fairfield; -- 500 Jackson St., Fairfield; -- Carpenter & Washington St., Fairfield; -- 830 Illinois Street $1-4, Fairfield; -- 1050 Elm St, Napa; -- 830-848 Studley St., Sonomoa; -- 1161-1167 Broadway, Sonomoa; -- 170-182 First St. E, Sonomoa; -- 222-226 W. Spain, Sonomoa; -- 17700 Sonoma Highway, Sonomoa; -- 18585 Manzanita Raod, Sonomoa; -- 370 Butcher Rd., Vacaville; -- 280 Butcher Road, Vacaville; -- 310/312 Butcher Road, Vacaville; -- 250 Butcher Road, Vacaville; -- 453 A Fleming Ave E, Vallejo; -- 2151 Salvio Street, Concord; -- 2280 Bates Ave., Concord; -- 103/105 Commerce Court, Fairfield; -- 802 Studley St., Sonoma; -- 801 W. Napa St., Sonoma; -- 525 W. Napa St., Sonoma; -- 921 Broadway, Sonoma; -- 635 Broadway, Sonoma; -- 645-651 Broadway/10 Maple St., Sonoma; -- 925-927 Broadway Street, Sonoma; -- 20490 Broadway, Sonoma; -- 1151 Broadway, Sonoma; -- 16721 Sonoma Highway, Sonoma; -- 18580 Sonoma Highway, Sonoma; -- 446-462 W. Napa, Sonoma; -- 941-1017 Amamo Dr., Vacaville; -- 4950, 4960, 4970 Allison Pkwy, Vacaville; -- 7456 Foothills Blvd, Roseville; -- 9415-9471 N Fort Washington Rd, Fresno; -- 23250 Maffe Road, Sonoma; -- 967 Broadway Street, Sonoma; The firm will be paid a commission of 1 to 5 percent of the sales price of each property. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Ramon Kochavi Marcus & Millichap 2626 Hanover Street Palo Alto, CA 94304 Tel: (650) 391-1700 About Lefever Mattson LeFever Mattson, a California corporation, manages a large real estate portfolio. Timothy LeFever and Kenneth W. Mattson each owns 50% of the equity in the company. Based in Citrus Heights, Calif., LeFever Mattson manages a portfolio of more than 200 properties, comprised of commercial, residential, office, and mixed-use real estate, as well as vacant land, located throughout Northern California, primarily in Sonoma, Sacramento, and Solano Counties. It generates income from the properties through rents and use the proceeds to fund its operations. LeFever Mattson and its affiliates filed voluntary Chapter 11 petitions (Bankr. N.D. Calif. Lead Case No. 24-10545) on September 12, 2024. At the time of the filing, LeFever Mattson listed $100 million to $500 million in assets and $10 million to $50 million in liabilities. Judge Charles Novack oversees the cases. Thomas B. Rupp, Esq., at Keller Benvenutti Kim LLP represents the Debtors as counsel. Kurtzman Carson Consultants, LLC is the Debtors' claims and noticing agent. The U.S. Trustee for Region 17 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. LEFEVER MATTSON: Taps Sotheby's International as Real Estate Broker ------------------------------------------------------------------- Lefever Mattson and its affiliates seek approval from the U.S. Bankruptcy Court for the Northern District of California to employ Sotheby's International Realty as real estate broker. The firm will market and sell the following real properties of the Debtors: -- 1870 Thornsberry Road Sonoma CA; -- 24265 Arnold Drive Sonoma CA; -- 24321 Arnold Drive Sonoma CA; -- 786 Broadway Sonoma CA; -- 790 Broadway Sonoma CA; -- 20564 Broadway Sonoma CA; -- 391-455 Oak and 19173 Railroad Avenue Sonoma CA; -- 19020/19022/19030 A/B Railroad Sonoma CA; -- 141-145 E. Napa Street Sonoma CA; -- 24160 Turkey Road Sonoma CA; -- 24237 Arnold Drive Sonoma CA; -- 1025 Napa Road Sonoma CA; -- 520/530/532 Studley Sonoma CA. The firm will be paid a commission of 2 percent of the purchase price of each property. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Daniel Casabonne Sotheby's International Realty 428 First Street East Sonoma, CA 95476 Tel: (707) 939-2222 About Lefever Mattson LeFever Mattson, a California corporation, manages a large real estate portfolio. Timothy LeFever and Kenneth W. Mattson each owns 50% of the equity in the company. Based in Citrus Heights, Calif., LeFever Mattson manages a portfolio of more than 200 properties, comprised of commercial, residential, office, and mixed-use real estate, as well as vacant land, located throughout Northern California, primarily in Sonoma, Sacramento, and Solano Counties. It generates income from the properties through rents and use the proceeds to fund its operations. LeFever Mattson and its affiliates filed voluntary Chapter 11 petitions (Bankr. N.D. Calif. Lead Case No. 24-10545) on September 12, 2024. At the time of the filing, LeFever Mattson listed $100 million to $500 million in assets and $10 million to $50 million in liabilities. Judge Charles Novack oversees the cases. Thomas B. Rupp, Esq., at Keller Benvenutti Kim LLP represents the Debtors as counsel. Kurtzman Carson Consultants, LLC is the Debtors' claims and noticing agent. The U.S. Trustee for Region 17 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. LIFESCAN GLOBAL: Reaches Debt-Restructuring Deal with Lenders ------------------------------------------------------------- Reshmi Basu of Bloomberg News reports that LifeScan Global Corp., a glucose-monitor manufacturer, has agreed with some creditors to ease its financial challenges and avoid a potential bankruptcy by converting part of its debt into equity, according to sources familiar with the matter. The Platinum Equity-owned company, which has been impacted by declining revenues, recently presented a debt-restructuring plan to a broader group of lenders that would maintain Platinum's ownership stake, the sources said, speaking on condition of anonymity due to the confidential nature of the discussions, the report states. About LifeScan Global Corporation LifeScan Global Corporation is a provider of blood glucose monitoring systems for home and hospital use. LIFT SOCIETY: Seeks Subchapter V Bankruptcy in California --------------------------------------------------------- On February 19, 2025, Lift Society Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports $1,235,866 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Lift Society Inc. Lift Society Inc. established in 2016, is a boutique fitness center focused on strength and aesthetic training. The gym provides semi-private lifting sessions, with a capacity of 8-12 people per class, ensuring individualized guidance and expert coaching. LIFT Society has several locations across Los Angeles, including Hollywood, Studio City, Culver City, and Santa Monica. Lift Society Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-10258) on February 19, 2025. In its petition, the Debtor reports total assets of $172,083 and total liabilities of $1,235,866. Honorable Bankruptcy Judge Martin R. Barash handles the case. The Debtor is represented by: Matthew D. Resnik, Esq. RHM LAW LLP 17609 Ventura Blvd., Ste 314 Encino, CA 91316 Tel: (818) 285-0100 Fax: (818) 855-7013 E-mail: matt@rhmfirm.com LPG 405 ALBERTO: Updates Unsecured Claims Details; Amends Plan -------------------------------------------------------------- LPG 405 Alberto Way Residential LLC submitted a Disclosure Statement to accompany Amended Plan of Reorganization dated February 12, 2025. The Plan contemplates paying all Allowed Claims (other than the Lamb Claim) in full. The Plan will be funded through exit financing, defined as the "NewCo Loan" in the Plan, and a contribution made by Randolph Lamb, Lisa Carey-Lamb, and/or Lamb Partners, LLC (the "Equity Contribution"). Saxon Spencer Capital has committed to provide the NewCo Loan in the principal amount of $16,860,000 and committed to being able to fund upon the Plan being confirmed and going effective. The Equity Contribution to NewCo will be in an amount necessary to enable Debtor to satisfy its obligations under the Plan, which contribution will be capped at $1,500,000. Integra Realty Resources previously provided an appraisal of Debtor's principal asset, the Real Property located at 401 – 409 Alberto Way, Los Gatos, CA 95030, bearing Assessor Parcel Number 529-23-018, providing a "market value as is" of $28.1 million as of April 24, 2024. The Plan provides for the Allowed Claim portion of all Secured Claims to be paid at the Closing of the NewCo Loan through the Title Company, with any Disputed Claim portion, plus twelve months of interest funded into the Disputed Claims Reserve with the Liens of such Secured Claims attaching to the Disputed Claim Reserve in the same priority as exists on the Effective Date. The Debtor has reached a settlement with Hillhouse Commercial Construction Company, Inc. for the treatment of its Secured Claim and its unsecured Claim, which settlement is discussed more fully herein and which treatment is set forth in Class 2. The Plan also provides for all unsecured Claims to be paid in full. With the sole exception of the Hillhouse Claim in Class 2 and the Lamb Claim, all Allowed Unsecured Claims will be paid in full with interest over four years, with annual Distributions beginning on the Effective Date. The Plan also provides that the Allowed Unsecured Claims may be paid sooner if there are sufficient funds available. In exchange for providing Debtor with the exit financing to fund the Plan's Distributions, all of Debtor’s Assets existing on the Effective Date (called the "Transferred Assets" in the Plan) will be transferred to, and shall vest in, NewCo, which is a California limited liability company organized on or before the Effective Date, which shall be a special purpose entity as required under the NewCo Loan, for purposes of acquiring Debtor's Transferred Assets in accordance with the terms of the Plan. After the Plan is consummated, Debtor will wind-up the business and file a certificate to dissolve with the California Secretary of State. Class 5 is comprised of the Allowed General Unsecured Claims. As of the filing of this Disclosure Statement, no creditors have filed Proofs of Claim asserting General Unsecured Claims, but the following creditors have been scheduled as holding Class 5 General Unsecured Claims against Debtor: (1) Brodie CM ($40,050); (2) Bucilla Architecture ($157,444); (3) Kier & Wright ($3,275); (4) Lsquared, LLC ($74,000); (5) Montgonery Pacific Corporation ($1,750); (6) PG&E ($2,465.64); (7) State Water Board (disputed) ($20,598); (8) Stuart Moore Staub ($15,577.50); (9) Town of Los Gatos ($1,000); and (10) State of California, Franchise Tax Board ($148.00). Except to the extent that a Holder of an Allowed General Unsecured Claim agrees to less favorable treatment, each Holder of a General Unsecured Claim shall, in full and final satisfaction of such Allowed General Unsecured Claim, be restructured and treated as follows: * On the later of: (i) the Effective Date; (ii) such date as may be fixed by the Bankruptcy Court; (iii) the fourteenth day after the General Unsecured Claim is Allowed by entry of a Final Order; and (iv) such other date as the Holder of such Claim and Debtor shall agree, each Holder of an Allowed General Unsecured Claim shall receive a Distribution from Debtor equal to fifteen percent of its Allowed Claim; * On the later of: (i) the first anniversary of the Effective Date; (ii) one year after the General Unsecured Claim is Allowed by entry of a Final Order; and (iii) such other date as the Holder of such Claim and Debtor shall agree, each Holder of an Allowed General Unsecured Claim shall receive a second Distribution equal to twenty-five percent of its Allowed Claim, which Distribution shall be paid by NewCo; * On the later of: (i) the second anniversary of the Effective Date; (ii) two years after the General Unsecured Claim is Allowed by entry of a Final Order; and (iii) such other date as the Holder of such Claim and Debtor shall agree, each Holder of an Allowed General Unsecured Claim shall receive a third Distribution equal to the thirty percent of its Allowed Claim, which Distribution shall be paid by NewCo; and * On the later of: (i) the third anniversary of the Effective Date; (ii) three years after the General Unsecured Claim is Allowed by entry of a Final Order; and (iii) such other date as the Holder of such Claim and Debtor shall agree, each Holder of an Allowed General Unsecured Claim shall receive a final Distribution equal to the thirty percent of its Allowed Claim, plus accrued post-Effective Date interest, which Distribution shall be paid by NewCo. Class 5 is Impaired under the Plan and the Holders of the Allowed Class 5 Claims are entitled to vote on this Plan. The Plan Distributions will be funded through the Saxon exit financing, defined as the "NewCo Loan" in the Plan, and the Equity Contribution provided by Randolph Lamb, Lisa Carey-Lamb, and/or Lamb Partners, LLC. Saxon has committed to provide the NewCo Loan in the principal amount of $16,860,000 upon the Plan being confirmed and going effective. The Equity Contribution to NewCo will be in an amount necessary to enable Debtor to satisfy its obligations under the Plan, which contribution will be capped at $1,500,000. Additionally, Integra Realty Resources has provided an appraisal of Debtor's principal asset, the Real Property located at 401 - 409 Alberto Way, Los Gatos, CA 95030, bearing Assessor Parcel Number 529-23-018, providing a "market value as is" of $28.1 million as of April 24, 2024, thereby providing a significant equity cushion. A full-text copy of the Disclosure Statement dated February 12, 2025 is available at https://urlcurt.com/u?l=70WpEx from PacerMonitor.com at no charge. Attorneys for the Debtor: Talitha Gray Kozlowski, Esq. William M. Noall, Esq. Garman Turner Gordon LLP 7251 Amigo Street, Suite 210 Las Vegas, NV 89119 Tel: (725) 777-3000 Email: tgray@gtg.legal Email: wnoall@gtg.legal About LPG 405 Alberto Way Residential LPG 405 Alberto Way Residential LLC is engaged in activities related to real estate. LPG 405 Alberto Way Residential LLC sought relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Cal. Case No. 24-51531) on Oct. 9, 2024. In the petition filed by Randolph F. Lamb, Managing Member of Lamb Partners, LLC, Managing Member of the Debtor, the Debtor estimated assets and liabilities between $10 million and $50 million each. The Debtor is represented by William M. Noall, Esq. at GARMAN TURNER GORDON LLP. MAATR CORP: DBRS Confirms 'BB' Issuer Rating, Trend Stable ---------------------------------------------------------- DBRS Limited confirmed the Issuer Rating of Mattr Corp. (Mattr or the Company, formerly Shawcor Ltd.) at BB and upgraded the credit rating on the Company's Senior Unsecured Notes (the Notes) to BB (low) from B (high). The trends on both ratings are Stable and the Recovery Rating on the Notes was changed to RR5 from RR6. With these actions, Morningstar DBRS removed the credit ratings from Under Review with Developing Implications where they had been placed on November 14, 2024. KEY CREDIT RATING CONSIDERATIONS On November 14, 2024, following the Company's announcement that it had signed a definitive agreement to acquire all outstanding shares of AmerCable Incorporated (AmerCable) from Nexans USA Inc. for a purchase price of USD 280 million ($390 million; the Transaction), Morningstar DBRS placed Mattr's ratings Under Review with Developing Implications. At the time, Morningstar DBRS stated that, assuming it closed as planned, the acquisition would enhance Mattr's wire and cable business exposure within the U.S. market. The Transaction would also broaden the existing portfolio and add to the Company's North American manufacturing capabilities, potentially bolstering long-term growth and margin outlook. That said, Morningstar DBRS also anticipated that the Transaction would result in increased leverage and a material weakening of the Company's financial profile. Since then, the Company has closed the acquisition, which incrementally improved Mattr's business risk profile as expected. However, the improvement in the Company's business risk profile is more than offset by the material weakening of its financial risk profile, which also limits the potential for any near-term upgrade to Mattr's Issuer Rating. Furthermore, the trend changes also consider the weaker-than-expected operating performance in the nine months ended September 30, 2024 (Q3 2024). However, the Stable trends reflect Morningstar DBRS expectations that, over the near to medium term, the Company should comfortably integrate AmerCable, deliver a relatively solid operating performance, and prioritize the allocation of excess cash toward debt reduction, leading to improving credit metrics. CREDIT RATING DRIVERS Morningstar DBRS could take a negative rating action if credit metrics were to remain weak over a sustained period or deteriorate further (i.e., debt-to-EBITDA decline toward 4.0 times (x) with a commensurate weakening of the Company's other key credit metrics), as a result of weaker-than-expected operating performance and/or more aggressive financial management. Morningstar DBRS could take a positive rating action should Mattr's business risk profile continue to strengthen as the Company integrates AmerCable and further expands its operational profile in the existing Composite Technologies and/or the Connection Technologies business segments while improving and maintaining key credit metrics at levels that are commensurate with a higher rating category. EARNINGS OUTLOOK Following the AmerCable acquisition, Morningstar DBRS forecasts the Company to post revenues of more than $1.25 billion in F2025 and $1.3 billion in F2026 from $913 million in the last 12 months (LTM) ended Q3 2024. This should be supported by aggregate revenue growth in both Composite Technologies and Connection Technologies business segments. Despite temporary weakness in 2024 in the Composite Technologies segment, Morningstar DBRS expects demand recovery in 2025 and beyond, especially following the U.S. elections that should spur broader economic activity, including North American drilling. In the Connection Technologies segment, contributions from AmerCable and increasing revenues at Shawflex should both contribute to growing revenues. In line with revenue growth, and including the contribution from AmerCable, Morningstar DBRS forecasts EBITDA (as calculated by Morningstar DBRS) to rise to more than $170 million in 2025 and more than $220 million in 2026 from $126 million in the LTM ended Q3 2024. This increase in EBITDA should be supported by contributions from AmerCable of more than $65 million annually. FINANCIAL OUTLOOK This increase in EBITDA should be accompanied by growth in free cash flow. Free cash flow (before changes in working capital) should increase to more than $150 million and $165 million in 2025 and 2026, respectively, from $73.7 million in the LTM ended Q3 2024. Morningstar DBRS anticipates the Company will use its free cash flow for debt reduction and/or incremental shareholder returns leading to improved credit metrics, such as debt-to-EBITDA declining below 3.5x by the end of 2025 and improving further thereafter. CREDIT RATING RATIONALE The ratings are supported by the Mattr's leadership position in both of its business divisions, including further improved market position in the Connection Technologies segment; diverse customer and geographic bases; growing manufacturing and market presence in the important U.S. market; strong technical expertise; and favorable long-term economic trends that should continue to support the business risk profile over the medium to long term. The ratings also consider Mattr's improved but still relatively small-scale exposure to the volatile oil and gas sector, the fluctuating cost of raw materials, and its small but growing water tank business. Notes: All figures are in Canadian dollars unless otherwise noted. MARIA L. RADWANSKI: Texas First Wins Bid to Dismiss Newtek Lawsuit ------------------------------------------------------------------ Judge Kai N. Scott of the United States District Court for the Eastern District of Pennsylvania granted Texas First Capital, Inc.'s motion to dismiss the amended complaint in the case captioned as NEWTEK SMALL BUSINESS FINANCE, LLC, Plaintiff, v. TEXAS FIRST CAPITAL, INC., Defendant, Case No. 22-cv-02461 (E.D. Pa.). The case is dismissed with prejudice as further amendment would be inequitable or futile. Plaintiff issued two loans to an entity named Children First Home Health Care, Inc. d/b/a Health Calls. The first loan was dated Dec. 27, 2018, and was in the principal amount of $1,200,000, and the second loan was dated March 28, 2019, and was in the principal amount of $550,000. As security for the obligations under the loans, Children First executed two Security Agreements granting Plaintiff a lien on and/or purchase money security interest in substantially all of Children First's personal property. Additionally, on March 28, 2019, Plaintiff, Children First, together with Maria Radwanski, a principal of Children First, her husband, David Radwanski, Michael Little, another principal of Children First and his wife, Kerri Little executed a Cross-Collateralization and Cross Default Agreement for the two loans. In July 2019, Defendant entered the fray when it purchased a portion of Children First's future receivables amounting to $954,381.43 in exchange for an upfront sum of $590,878.03, less origination fees of $35,000. Defendant collected these payments by auto-debiting Children First's bank account. At the time Defendant contracted for the purchase of Children First's receivables, Children First was in deep financial distress. Plaintiff alleges that Defendant actually knew, or should have known of Children First's financial troubles when it first extended financing, which gave rise to an affirmative duty to search the public records for any secured creditors whose interests might be affected, and to notify them of its intentions. Plaintiff further alleges that Defendant either: (a) negligently performed its underwriting, and failed to perform a search for UCC financing statements which would have revealed Plaintiffs prior perfected security interest in and lien on Children First's accounts, and the proceeds thereof; (b) actively conspired with Children First's officers to keep the contemplated transactions secret; and/or (c) enabled Children First's principals' wrongful conduct and breach of their fiduciary obligations to its creditors. Not too long after Defendant's purchase of Children First's receivables, in December 2019, M. Little filed for Chapter 7 bankruptcy, and then in April 2020, M. Radwanski and D. Radwanski filed for Chapter 11 bankruptcy. Thereafter, on Jan. 20, 2020, Children First ceased all business operations without satisfying the First and Second Loans. On June 23, 2022, Plaintiff filed its original Complaint against Defendant alleging the following counts: (1) declaratory judgment/injunctive relief; (2) avoidance and recovery of fraudulent conveyances under state law; (3) conversion; and (4) tortious interference with contract. Defendant filed a Motion to Dismiss the Complaint Pursuant to Federal Rule of Civil Procedure 12(b)(6), which after being fully briefed, the Honorable Edward G. Smith granted and dismissed the Complaint without prejudice to the Plaintiff filing an amended complaint. Principally, the Court's Prior Opinion found that the Complaint was devoid of any facts to support a finding of collusion, misconduct, or other fraudulent intent. Plaintiff timely filed an Amended Complaint, which alleged the same four counts in its original Complaint, along with the additional count (Count V) for enablement of breach of fiduciary duty and deepening insolvency. The Amended Complaint does contain factual allegations not contained in the original Complaint. However, virtually all of these allegations relate to M. Little's alleged fraudulent conduct with respect to Children First's business affairs prior to his departure from Children First and information that came to light during M. Little's and the Radwanski's bankruptcy filings, all of which occurred after the transactions at issue in this case, the Court notes. Thereafter, Defendant filed a Memorandum of Law in Support of its Motion to Dismiss arguing that like the original Complaint, Plaintiff's Amended Complaint fails to set forth any plausible claims against Defendant. The Court finds Plaintiff's Amended Complaint fails to cure the pleading deficiencies previously identified in the Court's Prior Opinion. Additionally, the new claim Plaintiff put forth in its Amended Complaint also fails to state a claim. Accordingly, to plausibly allege that Defendant aided and abetted Children First's officers' breach of fiduciary duty, Plaintiff must sufficiently plead that Defendant knew Children First was insolvent at the time it entered into the purchase agreements and that it substantially , assisted the officers in breaching their fiduciary duty. Plaintiff has failed to do so and, therefore, this claim fails, the Court concludes. A copy of the Court's decision is available at https://urlcurt.com/u?l=zFfmAB from PacerMonitor.com. Maria L. Radwanski and David R. Radwanski sought Chapter 11 protection (Bankr. E.D. Pa. Case No. 20-12159) on April 29, 2020. The Debtors tapped John A. Digiamberardino, Esq., as counsel. MBIA INC: Board OKs $10.18MM Retention Awards for Execs ------------------------------------------------------- MBIA Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Compensation and Governance Committee of the Board of Directors, and the Board, approved the grant of special one-time cash retention awards to four of the Company's named executive officers, made under the Company's Amended and Restated Omnibus Incentive Plan in the aggregate amount of $10,175,000. The Board designed the retention awards to enhance the prospect that the Executives remain with the Company and to promote continuity and stability. The Company and its shareholders are in an unusual situation where its operating companies' insured portfolios are in runoff, but the ongoing monitoring and remediation of the portfolios is critical to maximizing shareholder value. The Board strongly believes that the Company's current leadership team possesses unique skills and experience which are essential to the achievement of its priorities, including the generation of shareholder value: * The Executives continue to work towards mitigating losses at the Company's operating subsidiaries, National Public Finance Guarantee Corp. and MBIA Insurance Corporation, while simultaneously maximizing recoveries on paid insurance claims and ensuring adequate liquidity for the Company. * Specific to National and its exposures relating Puerto Rico, it is of critical importance to the Company and to National's policyholders that the Executives overseeing the day-to-day remediation efforts remain intact and motivated. * The Executives each have specialized industry knowledge, leadership and skill sets, and important and irreplaceable institutional knowledge that positively impacts the Company's operations and will be instrumental in helping it navigate the current challenging operating environment. Absent a change of circumstances, the retention awards will not vest for over 3 years from grant – until 2028 – thus ensuring that the Executives will see no benefit from these awards until such time. The retention awards will also be subject to the other restrictive conditions set forth in the Amended and Restated Omnibus Incentive Plan. Details of the retention awards are as follows: * Daniel M. Avitabile – AVP and MBIA Insurance's President & Chief Risk Officer – $1,950,000 * Adam T. Bergonzi – AVP and National's Chief Risk Officer – $2,775,000 * William C. Fallon – Chief Executive Officer – $3,500,000 * Christopher H. Young – AVP and National's Chief Financial Officer – $1,950,000 Under the terms of the retention awards, each Executive's retention award will cliff vest on March 1, 2028, provided the Executive remains continuously employed by the Company through such date. However, if, prior to the Vesting Date, the Executive experiences a "qualifying termination", then the awarded cash will vest at such time. A "qualifying termination" means a termination of an Executive's employment: (a) due to his death or disability, (b) by the Company or its successor in the event of a change of control, without cause, or (c) with the approval of the Board or the board of directors of the Company's successor in the event of a change of control. Any retention award that has not vested as of the Vesting Date will be forfeited. Such forfeiture will occur, for example, upon an Executive's voluntary resignation or retirement, or the Company's termination of the Executive's employment for cause. About MBIA MBIA Inc., together with its consolidated subsidiaries, operates within the financial guarantee insurance industry. MBIA manages its business within three operating segments: 1) United States public finance insurance; 2) corporate; and 3) international and structured finance insurance. The Company's U.S. public finance insurance portfolio is managed through National Public Finance Guarantee Corporation, its corporate segment is managed through MBIA Inc. and several of its subsidiaries, including its service company, MBIA Services Corporation, and its international and structured finance insurance business is primarily managed through MBIA Insurance Corporation and its subsidiaries. * * * Egan-Jones Ratings Company on December 19, 2024, maintained its 'CCC-' foreign currency and local currency senior unsecured ratings on debt issued by MBIA Inc. MCCLATCHIE PROPERTY: Hires Tavenner & Beran PLC as Counsel ---------------------------------------------------------- McClatchie Property Management, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Virginia to employ Tavenner & Beran, PLC as counsel. The firm will provide these services: a. prepare and file, based upon information provided by the Debtors, schedules of assets and liabilities, statement of financial affairs, and other pleadings necessary for the filing of a Chapter 11 petition; b. represent and advise the Debtors in seeking court approval for use of cash and other financing alternatives; c. represent and advise the Debtors in opposing complaints filed by creditors seeking relief from the automatic stay against any act or proceeding to enforce a lien against estate property or to continue any action against the Debtors; d. represent and advise the Debtors in connection with the enforcement of any violation of the automatic stay by creditors in possession of estate property; e. represent and advise the Debtors in all proceedings and negotiations relating to the assumption, rejection, and assignment of leases and other executory contracts; f. represent and advise the Debtors in proceedings and negotiations relating to the sale and/or refinancing of assets; g. assist the Debtors in formulating, preparing, and filing plan(s) of reorganization under Chapter 11 and in preparing related documents and pleadings; h. represent and advise the Debtors in the prosecution and recovery of any preferential payments and in other avoidance actions; and i. represent and advise the Debtors in all matters not specified above in connection with the Cases and related proceedings. The firm will be paid at these rates: Lynn L. Tavenner (partner/member) $695 per hour Paula S. Beran (partner/member) $680 per hour The Debtor paid the firm $1,738 as filing fee. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Lynn L. Tavenner, Esq., a partner at Tavenner & Beran, PLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Lynn L. Tavenner, Esq. Paula S. Beran, Esq. Tavenner & Beran, PLC 20 North 8th Street Richmond, VA 23219 Tel: (804) 783-8300 Email: ltavenner@tb-lawfirm.com pberan@tb-lawfirm.com About McClatchie Property Management, LLC McClatchie Property Management, LLC provides janitorial services to various businesses, including hospitals and churches. McClatchie Property Management and McClatchie Tree, LLC filed Chapter 11 petitions (Bankr. E.D. Va. Case Nos. 25-30237 and 25-30240) on January 22, 2025. At the time of the filing, McClatchie Property Management reported $100,001 to $500,000 in both assets and liabilities while McClatchie Tree reported up to $50,000 in assets and $50,001 to $100,000 in liabilities. Lynn L. Tavenne, Esq., at Tavenner & Beran, PLC, represents the Debtors as legal counsel. MCDANIEL LOGGING: Hires Wiregrass Auction Group as Appraiser ------------------------------------------------------------ McDaniel Logging, LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Georgia to employ Wiregrass Auction Group as appraiser. The firm will provide appraisal services regarding the logging equipment owned by the Debtor. The firm will be paid with these rates: -- Appraisal fee of $150 per hour; -- Retainer of $2,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Mark L. Manley Wiregrass Auction Group 13035 US Highway 319 North, Suit G Thomasville, GA 31757 Tel: (229) 890-2437 About McDaniel Logging, LLC McDaniel Logging, LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ga. Case No. 24-50464) on Sept. 25, 2024. In the petition signed by Michael Glenn McDaniel, an authorized representative, the Debtor disclosed $718,973 in assets and $1,027,943 in liabilities. Judge Michele J. Kim oversees the case. William O. Woodall, Jr., Esq., at Woodall & Woodall serves as the Debtor's counsel. MEADOWBROOK SERVICES: Seeks to Hire Elevated Tax as Accountant -------------------------------------------------------------- Meadowbrook Services, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Ohio to employ Elevated Tax & Accounting, LLC as accountant. The firm will provide assistance with respect to financial bookkeeping, preparation of financial statements, tax returns and monthly operating reports and other matters as necessary. The firm will be paid at these rates: Partner $125 per hour Accountant $85 per hour Staff $85 per hour Administrative Staff $75 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Elizabeth A. McCauley, a partner at Elevated Tax & Accounting, LLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Elizabeth A. McCauley Elevated Tax & Accounting, LLC 3435 Kent Road Stow, OH 44224 Tel: (330) 686-6666 About Meadowbrook Services, LLC Meadowbrook Services, LLC, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ohio Case No. 24-51266) on August 21, 2024, with $100,001 to $500,000 in assets and liabilities. Judge Alan M. Koschik presides over the case. Michael A. Steel, Esq., is the Debtor's legal counsel. MEND CORRECTIONAL: Interlocutory Appeal Denied in Aery Lawsuit -------------------------------------------------------------- Magistrate Judge Shannon G. Elkins of the United States District Court for the District of Minnesota denied the plaintiff's request for motion of reconsideration and motion for interlocutory appeal in the case captioned as James Paul Aery, Plaintiff, v. Unknown Actors in the Employ of Beltrami County Jail et al., Defendants, Case No. 21-cv-2422 (D. Minn.). Mr. Aery asks the Court to order more discovery that will validate his contention that Defendants misled the Court by claiming that Aery assaulted Defendants. The Court interprets Mr. Aery's filing as a request for permission to file a motion to reconsider. The Court denies Mr. Aery's request. He has not demonstrated that the Court has committed a manifest error of law in its earlier decisions, nor has he presented newly discovered evidence that would affect the Court's analysis. There is nothing demonstrating that the necessary compelling circumstances exist that would merit granting a motion for reconsideration. Mr. Aery also requests that this Court permit/certify partial appeal of this matter against the County defendants. Again liberally construing Mr. Aery's filings, the Court interprets Mr. Aery's filing as a motion for interlocutory appeal under 28 U.S.C. Sec. 1291. Judge Elkins concludes that even under its most liberal reading, Mr. Aery's filing does not allege that there is a controlling question of law meriting allowing him to pursue an interlocutory appeal. The thorough and careful Report and Recommendation that the District Court adopted does not present a controlling legal question about which there is a substantial ground for difference of opinion. The action has been stayed as to Defendants Todd A. Leonard and MEnD as a result of MEnD's Chapter 11 Bankruptcy. Any interlocutory appeal as to the dismissal of claims against other defendants would not hasten the end of the litigation as to Dr. Leonard or MEnD. Based on all of the above, this Court sees no reason to depart from the longstanding policy discouraging piece-meal appeals. A copy of the Court's decision is available at https://urlcurt.com/u?l=wwH0NI from PacerMonitor.com. About MEnD Correctional Care MEnD Correctional Care, PLLC, is a health care services and management company in Sartell, Minn. MEnD Correctional Care filed its voluntary petition for Chapter 11 protection (Bankr. D. Minn. Case No. 22-60407) on Nov. 30, 2022, with up to $50,000 in assets and $1 million to $10 million in liabilities. Todd Leonard, MD CCHP-P, president and chief medical officer, signed the petition. Judge Michael E. Ridgway oversees the case. Steven B. Nosek, P.A., serves as the Debtor's legal counsel. MERIDIAN WEIGHT: Craig Geno Named Subchapter V Trustee ------------------------------------------------------ The Acting U.S. Trustee for Region 5 appointed Craig Geno, Esq., at the Law Offices of Craig M. Geno, PLLC, as Subchapter V trustee for Meridian Weight Management Center, LLC. Mr. Geno will be paid an hourly fee of $250 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Geno declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Craig M. Geno, Esq. Law Offices of Craig M. Geno, PLLC 587 Highland Colony Parkway Ridgeland, MS 39157 Telephone: (601) 427-0048 Facsimile: (601) 427-0050 Email: cmgeno@cmgenolaw.com About Meridian Weight Management Center Meridian Weight Management Center, LLC filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Miss. Case No. 25-00302) on February 4, 2025, listing up to $50,000 in assets and between $100,001 and $500,000 in liabilities. Judge Katharine M. Samson presides over the case. Douglas M. Engell, Esq., represents the Debtor as legal counsel. METATRON HEALTH: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: Metatron Health LLC d/b/a Portland Regenerative Medicine 6464 SW Borland Road Tualatin, OR 97062 Business Description: Metatron Health LLC, doing business as Portland Regenerative Medicine, specializes in cutting-edge regenerative medicine and aesthetic treatments to enhance health and wellness. The Company offers services such as bioidentical hormone replacement therapy, sexual health treatments, pelvic health solutions, and advanced facial and body aesthetic procedures like Botox, fillers, CoolSculpting, and hair restoration. With a patient-centered approach, Metatron strives to improve and extend the quality of life for both women and men through personalized care and innovative therapies. Chapter 11 Petition Date: February 20, 2025 Court: United States Bankruptcy Court District of Oregon Case No.: 25-30533 Judge: Hon. David W Hercher Debtor's Counsel: Nicholas J. Henderson, Esq. ELEVATE LAW GROUP 6000 SW Meadows Road Suite 450 Lake Oswego, OR 97035 Tel: (503) 417-0500 Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Roberta Huang as member. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/HRLQVQI/Metatron_Health_LLC__orbke-25-30533__0001.0.pdf?mcid=tGE4TAMA MICHAL INTERNATIONAL: Secured Party Sets March 27 Auction --------------------------------------------------------- Pursuant to (i) Section 9-611 of the Massachusetts Uniform Commercial Code; (ii) that certain amended and restated pledged agreement dated July 16, 2023 ("first pledged agreement"), made by Moshe Yanai and Rachel Yanai ("pledgor") to Scintilla Fund LLP ("secured party") as laned; and (iii) that certain pledged agreement dated Sept. 10, 2023, by and among the pledgors and the secured party ("second pledged agreement"), and together with the first pledged agreement, "pledge agreement"), the secured party will sell 100% of the membership interests in Michal International Investment LLC to the highest or otherwise best qualified bidder at a public disposition to be conducted on March 27, 2025, at 10:00 a.m. (prevailing Eastern Time) at the offices of Chapman and Cutler LLP, 1270 Avenue of the Americas, 30th Floor, New York, New York 10020 and via zoom. Pursuant to the pledged agreements, the pledgors granted the secured party a security interest in the pledged collateral as set forth in the pledge agreements. Further information about how to attend the public sale either in person or via remote link, contact: Michael Friedman Chapman and Cutler LLP 1270 Avenue of the Americas New York NY 10020 Tel: (212) 655-2508 Email: friedman@chapman MILAN SAI: Court Extends Cash Collateral Access to March 15 ----------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Texas, Dallas Division, extended Milan Sai Joint Venture, LLC's authority to use cash collateral from Jan. 23 to March 15. The interim order authorized the company to use cash collateral to pay its expenses in accordance with its budget. The lender, Gregory Milligan, in his capacity as court-appointed receiver for Pride of Austin High Yield Fund 1, LLC, was granted replacement liens on all post-petition cash collateral and post-petition property of the company, to the same extent, validity, and priority it possessed as of the petition date. In addition, the lender is entitled to a superpriority administrative expense claim. A final hearing is set for March 20. About Milan Sai Joint Venture Milan Sai Joint Venture, LLC operates in the traveler accommodation industry. Milan Sai Joint Venture sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Texas Case No. 24-33560) on November 4, 2024, with up to $10 million in both assets and liabilities. Sunil Kumar Patel, managing member, signed the petition. Judge Michelle V. Larson oversees the case. Joyce W. Lindauer, Esq., at Joyce W. Lindauer Attorney, PLLC, represents the Debtor as bankruptcy counsel. MMK SUBS: Taps Bernstein Shur Sawyer as Bankruptcy Counsel ---------------------------------------------------------- MMK Subs, LLC seeks approval from the U.S. Bankruptcy Court for the District of Maine to employ Bernstein, Shur, Sawyer & Nelson, P.A. as general bankruptcy counsel. The firm's services include: (a) advising the Debtor with regard to the requirements of the Bankruptcy Court, Bankruptcy Code, Bankruptcy Rules, Local Rules, and the Office of the United States Trustee, as they pertain to the Debtor; (b) advising the Debtor with regard to certain rights and remedies of the bankruptcy estate and rights, claims, and interests of creditors and bringing such claims as the Debtor, in its business judgment, decides to pursue; (c) representing the Debtor in any proceeding or hearing in the Bankruptcy Court involving the estate; (d) conducting examinations of witnesses, claimants, or adverse parties, and representing the Debtor in any adversary proceeding; (e) reviewing and analyzing various claims of the Debtor's creditors and treatment of such claims and preparing, filing, or prosecuting any objections thereto or initiating appropriate proceedings regarding leases or contracts to be rejected or assumed; (f) preparing and assisting the Debtor with the preparation of reports, applications, pleadings, motions, and orders; (g) assisting the Debtor in the analysis, formulation, negotiation, and preparation of all necessary documentation relating to the sale of the Debtor's assets, as appropriate; (h) assisting the Debtor in the negotiation, formulation, preparation, and confirmation of a plan; and (i) performing any other services that may be appropriate in the firm's representation of the Debtor as general bankruptcy counsel in the case. The firm will be paid at these rates: Adam R. Prescott, Attorney (Shareholder) $495 per hour Jennifer Novo, Attorney (Associate) $325 per hour Angela Stewart, Paraprofessional $320 per hour In addition, the firm will seek reimbursement for expenses incurred. Mr. Prescott disclosed in a court filing that the firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Adam R. Prescott, Esq. Bernstein, Shur, Sawyer & Nelson, P.A. 100 Middle Street P.O. Box 9729 Portland, ME 04104 Tel: (207) 228-7145 Fax: (207) 774-1127 Email: aprescott@bernsteinshur.com About MMK Subs, LLC MMK Subs, LLC filed Chapter 11 petition (Bankr. D. Maine Case No. 25-20019) on February 4, 2025, listing up to $100,000 in assets and up to $1 million in liabilities. Michael Koman, president of MMK Subs, signed the petition. Judge Michael A. Fagone oversees the case. Adam Prescott, Esq., Bernstein Shur Sawyer & Nelson, PA, represents the Debtor as legal counsel. SouthState Bank, as prepetition lienholder, is represented by: Jeremy R. Fischer, Esq. Drummond Woodsum 84 Marginal Way, Suite 600 Portland, Maine 04101 Telephone: (207) 772-1941 Email: jfischer@dwmlaw.com MOWBRAY WATERMAN: Seeks Chapter 11 Bankruptcy in California ----------------------------------------------------------- On February 19, 2025, Mowbray Waterman Property LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Mowbray Waterman Property LLC Mowbray Waterman Property LLC is a real estate company based in San Bernardino, CA, specializing leasing of commercial and residential properties. Mowbray Waterman Property LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-10930) on February 19, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each . Honorable Bankruptcy Judge Mark D. Houle handles the case. The Debtor is represented by: Lauren Gans, Esq. ELKINS KALT WEINTRAUB REUBEN GARTSIDE LLP 10345 W. Olympic Boulevard Los Angeles, CA 90064 Tel: 310-746-4484 Fax: 310-746-4499 Email: LGans@elkinskalt.com MULLEN AUTOMOTIVE: Reports Larger Net Loss of $118.8M for Q1 2025 ----------------------------------------------------------------- Mullen Automotive Inc. submitted its Quarterly Report on Form 10-Q to the Securities and Exchange Commission, disclosing a net loss of $118.80 million on revenue of $2.92 million for the three months ending Dec. 31, 2024. This represents a decline compared to the same period last year, when the Company reported a net loss of $63.99 million on no revenue. The $3.0 million increase in revenue is largely attributed to the sale of 20 Bollinger B4 vehicles during the quarter ending Dec. 31, 2024. "To date, we have yet to generate any significant revenue from our business operations. We have funded our capital expenditure and working capital requirements by selling equity securities...Our ability to successfully expand our business will depend on many factors, including our working capital needs, the availability of equity or debt financing, and, over time, our ability to generate cash flows from operations," the Company stated in the report. The Company's principal source of liquidity consists of existing cash and restricted cash of approximately $2.7 million as of Dec. 31, 2024. During the three months ended Dec. 31, 2024, the Company used approximately $25.6 million of cash for operating activities. The net working capital deficit on Dec. 31, 2024 amounted to approximately $186.2 million, or $41.2 million, after excluding derivative and other warrant liabilities and liabilities to issue stock, that are supposed to be settled by issuing common stock without using cash. As of Dec. 31, 2024, the Company's accumulated deficit was $2.4 billion. As of Dec. 31, 2024, the Company had $173.02 million in total assets, $267.23 million in total liabilities, and a total stockholders' deficit of $94.21 million. "The Company believes that its available liquidity will not be sufficient to meet its current obligations for a period of at least twelve months from the date of the filing of these unaudited interim condensed consolidated financial statements. Accordingly, the Company has concluded there is substantial doubt about its ability to continue as a going concern," the Company continued. In the quarter ending Dec. 31, 2024, the Company decided to temporarily close key production facilities due to short-term liquidity issues, which directly affects vehicle production. The Company warns that if the shutdown persists, its cash flow from operations will continue to decline, worsening its financial position. The Company mentioned that management is exploring several options to improve liquidity, such as raising funds through equity or debt and implementing cost-cutting measures and operational changes. However, there is no guarantee that these strategies will succeed. The Company cautions that, without additional funding, it may struggle to continue its operations and could be forced to file for bankruptcy protection within 30 days of issuing these financial statements. The full text of the Form 10-Q is available for free at: https://www.sec.gov/Archives/edgar/data/1499961/000143774925004412/muln20241231_10q.htm About Mullen Automotive Brea, California-based Mullen Automotive Inc., formerly known as "Net Element, Inc., is a Southern California-based automotive company building the next generation of commercial electric vehicles ("EVs") with two United States-based vehicle plants located in Tunica, Mississippi, (120,000 square feet) and Mishawaka, Indiana (650,000 square feet). In August 2023, Mullen began commercial vehicle production in Tunica. As of January 2024, both the Mullen ONE, a Class 1 EV cargo van, and Mullen THREE, a Class 3 EV cab chassis truck, are California Air Resource Board ("CARB") and EPA certified and available for sale in the U.S. The Company has also recently expanded its commercial dealer network to seven dealers, which includes Pape Kenworth, Pritchard EV, National Auto Fleet Group, Ziegler Truck Group, Range Truck Group, Eco Auto, and Randy Marion Auto Group, providing sales and service coverage in key West Coast, Midwest, Pacific Northwest, New England and Mid-Atlantic markets. Larkspur, California-based RBSM, LLP, the Company's auditor since 2023, issued a "going concern" qualification in its report dated Jan. 24, 2025. The report highlighted that the Company, among other things, (i) has an accumulated deficit, (ii) has incurred recurring losses, and (iii) does not believe that its available liquidity will be sufficient to meet its current obligations for a period of at least twelve months from the date of the issuance of the financial statements, which raises substantial doubt about its ability to continue as a going concern. For the years ended Sept. 30, 2024 and 2023, the Company incurred net losses of $505.8 million and $1,006.7 million, respectively, and net cash used in operating activities was $185.6 million and $179.2 million, respectively. As of Sept.30, 2024, the Company had an accumulated deficit of $2.3 billion. The Company stated it will need significant capital to, among other things, continue any research and development, increase its production capacity, and expand its sales and service network. The Company expects to continue to incur substantial operating losses for the next several years as it advances its product development, manufacturing and commercialization efforts. NA RAIL: S&P Rates New Term Loan 'B', Affirms 'B-' LT ICR --------------------------------------------------------- S&P Global Ratings affirmed its 'B-' long-term issuer credit rating on NA Rail Hold Co LLC (d/b/a Patriot) and assigned its 'B' issue-level rating with a '2' recovery rating (recovery estimate: 70%) on the proposed facilities. The stable outlook reflects S&P's expectation that Patriot's revenue growth and stable margins will drive gradual deleveraging with debt to EBITDA improving over the next 12 months, though remaining in the low-5.0x area. S&P forecasts Patriot's revenue will increase in 2025, supported by volume growth. Based on the company's preliminary reporting for 2024, revenue grew about 9% year over year, boosted primarily by solid growth in carload volumes (about 4%), particularly in the packaging segment, which was affected by some plant shutdowns in 2023. The full-year contribution of Patriot's 2023 bolt-on acquisitions of a scenic railroad and a warehousing and transloading services provider also contributed. Revenue growth was also supported by an increase in revenue per carload (about 2.5%), led by the company's pricing initiatives. These were partially offset by declining non-freight revenue from lower rail car storage due to higher railcar utilization. Revenue growth also translated into higher earnings, although its S&P Global Ratings-adjusted EBITDA margins were about 130 basis points (bps) lower due to higher labor related expenses and increased contribution from lower-margin non-freight business. S&P said, "For 2025, we forecast Patriot's revenue will grow in the 4%-6% range, benefiting from increasing carloads and its demonstrated ability to undertake price increases above inflation. The capital spent on growth projects during 2023 and 2024 should contribute to Patriot's volume growth as these are operationalized, while the pricing authority on majority of its annually renewing railroad operations should allow it to undertake the said price increases. "We also expect Patriot's 2025 S&P Global Ratings-adjusted EBITDA margin to improve 40 bps to about 45%. This is based on our expectation that the impact of cost inflation will be more than offset by price increases and, at higher revenue levels, will lead to an improvement in absolute EBITDA. "We believe the impact of the proposed dividend recapitalization on Patriot's credit profile will be limited. We expect Patriot's pre-transaction S&P Global Ratings-adjusted debt to EBITDA to be 4.8x for 2024, and we estimate it would increase to 5.4x pro forma for the incremental debt Patriot will issue under the proposal. Its funds from operations (FFO) to debt will also weaken to slightly below 12% because we factor in the incremental debt. The transaction increases Patriot's leverage toward the higher end of its financial sponsor's stated net leverage target range of 4.5x-5.5x (similar to our calculations). We expect S&P Global Ratings-adjusted debt to EBITDA in the low-5.0x area for 2025. "We also note the transaction will reduce refinancing risk for the company by addressing the upcoming maturity of its existing debt facilities, which are due October 2026." Planned capital expenditure for growth projects over the next 12 months will be a drag on Patriot's free cash flows in 2025. Patriot, in conjunction with some class I rails, is currently undertaking multiple growth projects to serve its existing and new customers. Management estimates capital spend for 2025 will be $70 million-$75 million compared with historical levels of about $30 million annually. S&P said, "Although we expect these projects to support carload volume growth and generate additional profitability and free cash flows once operational, infrastructure projects have a long gestation period that includes a lengthy construction period followed by a period of volumes ramping up. Accordingly, we project Patriot's 2025 reported free cash flow to be a deficit of $35 million-$37 million." The company needs to bridge the timing gap between these cash flows. Though its parent has committed to investing additional capital to fund these projects in 2025, S&P believes this could delay deleveraging if the company funds part of the capital spending with additional debt. S&P said, "We view Patriot's business as stronger than before due to its increased size, reduced customer concentration, and expansion into new industries. Since being acquired by its current sponsor Igneo, Patriot has exited its relatively low-margin port business, doubled its rail freight operations through acquisitions and some organic expansion, and diversified into adjacent markets like warehousing and transloading and excursion railroad operations. Within its freight transportation business, the company largely carries bulk commodities that includes packaging products, chemicals, plastics food, forest and metal products with limited exposure to volatile categories like coal. It also has negligible intermodal loads which are more susceptible to substitution by trucks, especially amid Patriot's shorter lengths of haul. "Its long-standing and established relationships with its key customers and captive and dense network extending into customer facilities to transport goods act as entry barriers for Patriot's competition. Nonetheless, we believe Patriot's small scale and customer concentration from one to two anchor customers at nearly every rail line expose the company to some risks that limit its ratings. "The stable outlook reflects our expectation that Patriot's revenue growth and stable margins will drive gradual deleveraging, with debt to EBITDA improving over the next 12 months but remaining in the low-5.0x area. We also expect Patriot's financial sponsor to support the company by funding a part of its growth capital expenditures in the absence of sufficient free cash flow generation." S&P could lower its rating on Patriot over the next 12 months if we believe its capital structure is unsustainable over the long term. This could occur if: -- The company is more aggressive than S&P expects in pursuing debt-financed acquisitions; or -- Its liquidity deteriorates due to significantly weaker operating results. S&P could raise its ratings on Patriot over the next 12 months if: -- Patriot's competitive standing strengthens further through a broadening of its scale, geographic footprint, and reduction in end segment concentration; or -- Its credit metrics improve, with FFO to debt increasing above 12% and leverage declining below 5x on a sustained basis. Under this scenario, S&P would also need to believe the company's financial sponsor has adopted a less aggressive financial policy and is unlikely to increase leverage above 5.0x. NAPLES ALF: Seeks Chapter 11 Bankruptcy in Florida -------------------------------------------------- On February 19, 2025, Naples ALF Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Middle District of Florida. According to court filing, the Debtor reports $7,299,283 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Naples ALF Inc. Naples ALF Inc. is a debtor with a single real estate asset, as outlined in 11 U.S.C. Section 101(51B). The Company owns a property at 4599 Tamiami Trail, East, Naples, FL 34112, which is valued at approximately $3 million based on comparable sales. Naples ALF Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-01020) on February 19, 2025. In its petition, the Debtor reports total assets of $3,000,000 and total liabilities of $7,299,283. Honorable Bankruptcy Judge Roberta A. Colton handles the case. The Debtor is represented by: Lisa M. Castellano, Esq. VENABLE LLP 100 N. Tampa Street, Suite 2600 Tampa, FL 33602 Tel: 813-439-3100 Fax: 813-439-3110 E-mail: LMCastellano@Venable.com NATIONAL EVENTS: Court Approves Wells Fargo Settlement Agreement ---------------------------------------------------------------- The Honorable James L. Garrity, Jr. of the United States Bankruptcy Court for the Southern District of New York granted the motion filed by Kenneth P. Silverman, Esq., chapter 7 trustee of National Events Holdings, LLC, for an order pursuant to Rule 9019 of the Federal Rules of Bankruptcy Procedure approving the confidential settlement agreement and release by and among the trustee, Wells Fargo Bank, N.A., and the creditors. On Feb. 6, 2025, the Court conducted a hearing on the Motion. On May 31, 2017, the Debtors' former Chief Executive Officer and/or Managing Member, Jason Nissen, was arrested and charged by the Federal Bureau of Investigation with defrauding victims of at least $75 million through a Ponzi scheme. By order dated June 3, 2021, the Court authorized the Trustee to employ Kasowitz Benson Torres LLP as special litigation counsel to, among other things, pursue and prosecute potential claims against various financial institutions, including Wells Fargo, used by Nissen and the Debtors under Nissen's control. On Sept. 24, 2021, Kasowitz, on behalf of the Trustee, requested the entry of an order authorizing the direct examination of and production and turnover of documents by Wells Fargo. By order dated Oct. 18, 2021, the Court authorized the Trustee, through Kasowitz, to conduct discovery from Wells Fargo, pursuant to Rule 2004 of the Federal Rules of Bankruptcy Procedure, in connection with potential Bank Claims against Wells Fargo. The Trustee describes Wells Fargo as Nissen's and the Debtors' primary banking institution during a period of the time in which Nissen ran his Ponzi scheme -- specifically, until around the summer of 2015, when Nissen moved most of his and the Debtors' accounts to Citibank, N.A., which was willing and able to accommodate the deposit account control agreement required by the Debtors' then-lender and minority owner. He explains that pursuant to Rule 2004, he sought oral examination of Wells Fargo and the production of communications between or among Wells Fargo, Nissen, and/or the Debtors, and any Wells Fargo documents (except for exempt suspicious activity reports, i.e., SARs) concerning money laundering or other fraudulent, suspicious, or illegal activity on the part of Nissen and/or any other person associated with Nissen and/or the Debtors. On Feb. 2, 2022, the Court approved a stipulation between the Trustee and Wells Fargo setting Wells Fargo's deadline to respond to the Trustee's subpoena issued pursuant to the 2021 Discovery Order and addressing certain parameters concerning Wells Fargo's search of electronically stored information. On April 2, 2024, the Trustee and Wells Fargo submitted a joint letter informing the Court that they agreed to participate in a mediation with Deborah A. Reperowitz, Esq., of Stradley Ronon Stevens & Young, LLP, as their mediator. On April 4, 2024, the Court entered a stipulated order, in which it referred the Wells Fargo Claims to mediation and appointed the Mediator. Thereafter, the parties engaged in mediation. Settlement Agreement On or around July 3, 2024, the Trustee and Wells Fargo both accepted the Mediator's proposal to enter into a written agreement memorializing the following essential settlement terms: (a) Wells Fargo to pay the Trustee $400,000.00; (b) The Settling Parties to exchange mutual releases; (c) The three assignors of Bank Claims to the Trustee to execute the written settlement agreement as to the release sections only; and (d) Settlement to be subject to this Court's approval. In support of the Motion, the Trustee submits that the Settlement Agreement falls well with the range of reasonableness. The Trustee states that he has determined, in his business judgment, that the benefits of entering into the Settlement Agreement outweigh the burden of litigating the Wells Fargo Claims. He asserts that the difference between the amount of potential recovery in litigation and the amount Wells Fargo has agreed to pay under the Settlement Agreement is nominal. He contends that the probability of success in litigating the Wells Fargo Claims is far from certain. He notes that because Nissen moved his and the Debtors' bank accounts to Citibank in 2015, most of Wells Fargo's knowledge and conduct that would support any potential aiding and abetting claims is over ten years old. The Trustee believes that much of Nissen's fraud occurred after 2015, and Wells Fargo has represented that it does not have any correspondence during the Time Period to produce, further hindering the success of potential litigation. Based on these considerations, the Trustee submits that even if he could successfully obtain a higher recovery than the Settlement Amount in litigation, the benefits of the entering the Settlement Agreement outweigh the burden of litigating. The Trustee further contends that litigating the Wells Fargo Claims would be inordinately complex, delaying recovery of badly needed cash for the Estates. The Trustee maintains that the Settlement Agreement is in the paramount interests of the creditors because it provides for an expeditious, efficient means of resolving the complex Wells Fargo Claims. He contends that, since 2022, the parties have engaged in arm's length negotiations on-and-off. Accordingly, the Trustee requests the Court enter an order approving the Settlement Agreement. The Court finds the certain benefits to the Estates, compared to the uncertain possibility of success in future litigation, weigh in favor of approving the Settlement Agreement. The Trustee has also demonstrated the litigating the Wells Fargo Claims would be extremely complex, the Court further finds. According to the Court, the Settlement Agreement provides for an expeditious, efficient means of resolving the complex Wells Fargo Claims, which are in dispute and would be extremely difficult to litigate. As such, it is plainly in the paramount interests of all creditors, the Court concludes. The releases between the Creditors and Wells Fargo were a necessary condition for Wells Fargo's agreement and, therefore, are essential to the settlement. The releases are reasonable under the circumstances as they are narrowly tailored and necessary to the Settlement Agreement, the Court finds. The Court concludes the Settlement Agreement falls well above the lowest point in the range of reasonableness and is in the best interests of the Estates. It resolves the Wells Fargo Claims and related discovery disputes without the risk and expense of litigation and provides immediate payment to the Estates. The Court finds the settlement is fair and equitable under Rule 9019. A copy of the Court's decision is available at https://urlcurt.com/u?l=kOsXoq from PacerMonitor.com. Special Litigation Counsel to Kenneth P. Silverman, the Chapter 7 Trustee: David J. Mark, Esq. Michele L. Angell, Esq. KASOWITZ BENSON TORRES LLP 1633 Broadway New York, NY 10019 Telephone: (212) 506-1700 E-mail: dmark@kasowitz.com mangell@kasowitz.com About National Events Holdings National Events Holdings, LLC, et al., operate together a ticket broker and wholesale distributor of tickets for sporting and theatrical events that was formed in 2006. They provide ticketing services for all concert, theater and sporting event tickets, as well as various V.I.P. hospitality packages that deliver exclusive access to big name events, including hotels, celebrity meet and greets and exclusive parties. National Events Holdings, et al., filed for Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 17-11556) on June 5, 2017. The Debtors' attorneys are Stephen B. Selbst, Esq., and Hanh V. Huynh, Esq., at Herrick, Feinstein LLP, in New York. Timothy Puopolo of RAS Management Advisors, LLC, is the Debtors' chief restructuring officer. The case was converted to Chapter 7 on Aug. 7, 2017. Kenneth Silverman is the Chapter 7 trustee. NATIONAL EVENTS: Trustee's Bid to Amend KBT Retention Order Okayed ------------------------------------------------------------------ The Honorable James L. Garrity Jr. of the United States Bankruptcy Court for the Southern District of New York granted the motion filed by Kenneth P. Silverman, Esq., the Chapter 7 trustee of National Events Holdings, LLC and its debtor affiliates, to amend a prior order authorizing him to retain Kasowitz Benson Torres LLP as special litigation counsel under sections 327(e), 328 and 330 of the Bankruptcy Code. The United States Trustee's objection is overruled. On Feb. 11, 2021, the Trustee filed an application to employ KBT as special litigation counsel under sections 327(a), 328 and 330 of the Bankruptcy Code to, inter alia, pursue and prosecute potential claims against various financial institutions, including Citibank, N.A. On June 3, 2021, the Court approved the KBT Retention Application and entered the KBT Retention Order. By that order, the Trustee retained KBT as special litigation counsel. On June 1, 2022, KBT, as special litigation counsel, commenced an action against Citibank on behalf of the Trustee by filing a complaint in New York State Supreme Court, County of New York, Commercial Division. Citibank later removed the Citibank Action to the United States District Court for the Southern District of New York. On May 31, 2017, the Debtors' former Chief Executive Officer and/or Managing Member, Jason Nissen, was arrested and charged by the Federal Bureau of Investigation with defrauding victims of at least $75 million through a Ponzi scheme. Without limitation, the Complaint essentially alleges that Citibank aided and abetted Nissen's fraud. On Nov. 6, 2023, the District Court granted in part and denied in part Citibank's motion to dismiss the Complaint. On Sept. 30, 2024, the District Court denied Citibank's motion for judgment on the pleadings. The Trustee and Citibank remain engaged in discovery in the Citibank Action. Pursuant to a letter agreement dated Aug. 15, 2024, KBT, on behalf of the Trustee, retained Barry M. Koch PLLC to provide independent professional services in connection with the Citibank Action. Specifically, KBT retained Koch to provide expert testimony on the Trustee's behalf at deposition, mediation, arbitration, trial, or any other legal or alternative dispute resolution proceedings, as to those matters on which Koch consulted or performed work. Following the execution of the Retention Letter, the Trustee drafted and submitted to the UST a proposed application to employ Koch as a professional person under section 327 of the Bankruptcy Code. The UST advised the Trustee that it would oppose such an application on the ground that section 327 of the Bankruptcy Code does not provide for the retention of a litigation expert witness. The Trustee did not file an application to retain Koch. However, the Trustee sought the UST's approval of alternative potential mechanisms to pay Expert Fees in the Citibank Action. These alternatives include seeking confirmation that the UST would not object to interim fee applications submitted by KBT if KBT were to advance the Expert Fees, but no resolution with the UST was reached before Koch terminated the engagement. The Motion In the Motion, the Trustee seeks to modify the KBT Retention Order (which otherwise will remain in full force and effect) to: (i) authorize KBT to advance the Expert Fees; (ii) permit KBT to apply for reimbursement of the Expert Fees; (iii) allow KBT to seek reimbursement of Expert Fees at intervals of no more than every 120 days, to be reimbursed only when the Estates have sufficient funds; and (iv) calculate the contingency fee based on a percentage of the Net Recoveries, with no compensation or reimbursement to be paid to KBT except upon proper application under sections 327(e), 328, 330 and 331 of the Bankruptcy Code and further order of the Court. The Trustee contends that under the KBT Retention Order, the Estates, not KBT, bear the litigation costs and expenses. He says that in the Motion he seeks a minor modification to the KBT Retention Order to more clearly set forth what is already in there to begin with. He maintains that it is imperative for the Court to grant the relief to ensure that KBT, on behalf of the Trustee, can retain the experts needed to prosecute the Citibank Action. He argues that such arrangement is in the best interest of the Estates and creditor. UST's Objection To The Motion The UST contends that under the KBT Retention Order, KBT is responsible for paying its litigation expenses, including the Expert Fees, out of the Retainer and/or its contingency fee. He asserts that through the Motion, the Trustee seeks to circumvent the effect of the order by making the Estates liable for the payment of the Expert Fees. He argues that the Court should deny the Motion because there is no basis in fact or law for amending the terms of the KBT Retention Order. On Feb. 6, 2025, the Court conducted a hearing on the Motion. At issue in this case is whether the Court should revise the KBT Retention Order to authorize KBT to advance payment of the Expert Fees and thereafter seek reimbursement of such fees from the Estates. The UST objects to that relief essentially on the grounds that the KBT Retention Order obligates KBT to pay the costs and expenses incurred in the Citibank Action out of the Retainer and/or contingency fee, and that there are no grounds for relieving KBT of that obligation. The Court finds there is no merit to UST's contention as its position is incompatible with the language and framework of the KBT Retention Order. According to the Court, the UST's position that the Retainer or contingency fee must cover the Expert Fees and expenses does not accord with the KBT Retention Order and improperly shifts the burden of expenses from the Estates to KBT. The KBT Retention Order established a framework permitting reimbursement of KBT's litigation expenses through fee applications, subject to court approval and the UST's right to object. The Proposed Amended Order clarifies this arrangement in a manner that benefits the Estates. The Court therefore rejects the UST's position. A copy of the Court's decision is available at http://urlcurt.com/u?l=SFlE7vfrom PacerMonitor.com. Attorneys for the Chapter 7 Trustee: Brian Powers, Esq. Courtney M. Roman, Esq. RIMON P.C. 100 Jericho Quadrangle, Suite 300 Jericho, NY 11753 Telephone: (516) 479-6357 E-mail: brian.powers@rimonlaw.com courtney.roman@rimonlaw.com Attorney for William k. Harrington, United States Trustee, Region 2: Mark Bruh,Esq. U.S. Department of Justice OFFICE OF THE UNITED STATES TRUSTEE - NY OFFICE One Bowling Green, Room 534 New York, NY 10004 Telephone: (212) 510-0502 E-mail: mark.bruh@usdoj.gov Attorney for Barry M. Koch PLLC: Kenneth L. Kutner , Esq. LAW OFFICES OF KENNETH L. KUTNER 200 Garden City Plaza - Suite 315 Garden City, NY 11530 Telephone: (516) 455-8755 About National Events Holdings National Events Holdings, LLC, et al., operate together a ticket broker and wholesale distributor of tickets for sporting and theatrical events that was formed in 2006. They provide ticketing services for all concert, theater and sporting event tickets, as well as various V.I.P. hospitality packages that deliver exclusive access to big name events, including hotels, celebrity meet and greets and exclusive parties. National Events Holdings, et al., filed for Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Lead Case No. 17-11556) on June 5, 2017. The Debtors' attorneys are Stephen B. Selbst, Esq., and Hanh V. Huynh, Esq., at Herrick, Feinstein LLP, in New York. Timothy Puopolo of RAS Management Advisors, LLC, is the Debtors' chief restructuring officer. NEDDY LLC: Case Summary & 17 Unsecured Creditors ------------------------------------------------ Debtor: Neddy, LLC d/b/a Fortress Asphalt 9929 W Olive Ave Ste 306 Peoria, AZ 85345 Business Description: Neddy LLC, operating as Fortress Asphalt, is a specialty trade contractor located in Peoria, Arizona, focused on asphalt maintenance. The Company provides services such as seal coating, crack sealing, and mastic applications, all designed to enhance the durability of asphalt surfaces. Fortress Asphalt provides services to both residential and commercial clients, serving the Greater Phoenix area in Arizona as well as neighboring Southwest states. Chapter 11 Petition Date: February 22, 2025 Court: United States Bankruptcy Court District of Arizona Case No.: 25-01459 Judge: Hon. Brenda K Martin Debtor's Counsel: Alan A. Meda, Esq. BURCH & CRACCHIOLO, P.A. 1850 N. Central Ave., Suite 1700 Phoenix, AZ 85004 Tel: 602-274-8797 Fax: 602-850-9797 E-mail: ameda@bcattorneys.com Total Assets: $869,544 Total Liabilities: $1,098,250 The petition was signed by Michael Blake Linthicum as member. A full-text copy of the petition, which includes a list of the Debtor's 17 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/SIIRVCQ/Neddy_LLC_dba_Fortress_Asphalt__azbke-25-01459__0001.0.pdf?mcid=tGE4TAMA NIKOLA CORP: Begins Voluntary Chapter 11 Sale Process ----------------------------------------------------- Nikola Corporation, a global leader in zero-emissions transportation and energy supply and infrastructure solutions, via the HYLA brand, announced on Feb. 19, 2025, that the Company and certain of its subsidiaries have filed voluntary petitions under Chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. Nikola has also filed a motion seeking authorization to pursue an auction and sale process under Section 363 of the U.S. Bankruptcy Code. Nikola has filed a number of customary "first day" motions with the Court to ensure its limited operations are able to continue, including authorization to meet its obligations to employees, during the sale process. Subject to Court approval, the Company intends to continue certain limited directly provided (non-dealer) service and support operations for trucks currently in the field, including certain HYLA fueling operations through the end of March 2025. Thereafter, the Company will need one or more partners to support such activities. Nikola enters Chapter 11 with approximately $47 million in cash on hand to fund the foregoing activities, implement the postpetition sale process, and exit Chapter 11 through a plan process. Given the Company's liquidity profile and the anticipated expense of the cases and limited operations in Chapter 11, the Company intends to request authority from the Court to consummate a sale of its assets on a timeline that balances its liquidity needs with its significant prepetition marketing efforts to best position the Company to maximize value for its stakeholders. "With the dedication of our employees and support from our partners, Nikola has taken significant steps to move zero-emissions transportation forward, including bringing the first commercially available Class 8 hydrogen fuel cell electric trucks to market in North America and developing the HYLA hydrogen refueling highway, connecting Northern California to Southern California," said Steve Girsky, President and CEO of Nikola. "Our customers have accumulated approximately 3.3 million fleet miles across both our FCEV and BEV truck platforms and our HYLA fueling network has dispensed well over 330 metric tons of hydrogen. Like other companies in the electric vehicle industry, we have faced various market and macroeconomic factors that have impacted our ability to operate. In recent months, we have taken numerous actions to raise capital, reduce our liabilities, clean up our balance sheet and preserve cash to sustain our operations. Unfortunately, our very best efforts have not been enough to overcome these significant challenges, and the Board has determined that Chapter 11 represents the best possible path forward under the circumstances for the Company and its stakeholders." Nikola, together with its financial and legal advisors, engaged in an extensive analysis of all available and credible alternatives to identify a solution that would allow the business to sustain operations. Following months of actively pursuing these alternatives, the Company determined that a structured sale process represents the best possible solution to maximize the value of its assets. Nikola intends to market and sell all, substantially all, or a portion of its assets and effectuate an orderly wind down of its businesses. The proposed bidding procedures, if approved by the Court, would allow interested parties to submit binding offers to acquire Nikola's assets, purchased free and clear of Nikola's indebtedness and certain liabilities. Interested parties could include both strategic and financial buyers, for whom substantial due diligence materials are available. Additional information about this process and proposed asset sale, as well as other documents related to the Chapter 11 proceedings, is available on the website maintained by Epiq Corporate Restructuring, LLC, the Debtors' claims and noticing agent, located at https://dm.epiq11.com/Nikola. Nikola's legal counsel is Pillsbury Winthrop Shaw Pittman LLP and Potter Anderson & Corroon LLP, its investment banker is Houlihan Lokey Capital, Inc., and its financial advisor is M3 Partners. Interested parties should contact Drew M. Talarico and Marcus Bellows at Houlihan Lokey (nikola@hl.com) for additional information related to the auction and sale process and for access to due diligence materials. About Nikola Corp. Nikola Corporation manufactures commercial vehicles. The Company provides battery and hydrogen fuel-cell electric vehicles, drivetrains, components, energy storage systems, fueling station infrastructure, and other transportation solutions. Nikola serves customers worldwide. NIKOLA CORP: Feb. 26 Deadline Set for Panel Questionnaires ---------------------------------------------------------- The United States Trustee is soliciting members for committee of unsecured creditors in the bankruptcy cases of Nikola Corporation, et al. If a party wishes to be considered for membership on any official committee that is appointed, it must complete a questionnaire available at https://tinyurl.com/denxfznt and return by email it to Timothy Fox - Timothy.Fox@usdoj.gov - at the Office of the United States Trustee so that it is received no later than Wednesday, Feb. 26, 2025 at 4:00 p.m. Eastern Time. If the U.S. Trustee receives sufficient creditor interest in the solicitation, it may schedule a meeting or telephone conference for the purpose of forming a committee. About Nikola Corp. Nikola Corporation manufactures commercial vehicles. The Company provides battery and hydrogen fuel-cell electric vehicles, drivetrains, components, energy storage systems, fueling station infrastructure, and other transportation solutions. Nikola serves customers worldwide. Nikola Corporation and nine of its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Az. Case No. 25-10258) on February 19, 2025. In their petition, the Debtors reported as of Jan. 31, 2025, total assets of $878,094,000 and total debts of $468,961,000. The petitions were signed by Stephen J. Girsky as president and CEO. The Honorable Bankruptcy Judge Thomas M Horan Shannon handles the cases. The Debtors are represented by Potter Anderson & Corroon LLP and Pillsbury Winthrop Shaw Pittman LLP. Houlihan Lokey Capital, Inc. serves as investment banker to the Debtors, and M3 Advisory Partners, LP acts as financial advisor. The Debtors' claims and noticing agent is EPIQ Corporate Restructuring, LLC. NIKOLA CORP: Federal Anti-EV Moves Complicate Bankruptcy Sale ------------------------------------------------------------- Dorothy Ma of Bloomberg Law reports that Nikola Corp.'s efforts to sell its business in bankruptcy are complicated by anticipated federal policy changes that could reduce incentives for electric-vehicle sales. During the company's first bankruptcy hearing on Thursday, February 20, 2025, Judge Thomas M. Horan questioned the future of the electric-vehicle industry, asking whether its growth would depend more on private investment than on government support. "That's the question that all the potential acquirers of this business are trying to answer," said Joshua D. Morse, Nikola’s attorney. About Nikola Corp. Nikola Corporation manufactures commercial vehicles. The Company provides battery and hydrogen fuel-cell electric vehicles, drivetrains, components, energy storage systems, fueling station infrastructure, and other transportation solutions. Nikola serves customers worldwide. Nikola Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-10258) on February 19, 2025. In its petition, the Debtor reports estimated assets between $500 million and $1 billion and estimated liabilities between $1 billion and $10 billion. Honorable Bankruptcy Judge Thomas M. Horan handles the case. The Debtor is represented by: M. Blake Cleary, Esq. Shannon Forshay, Esq. Sarah R Gladieux, Esq. Maria Kotsiras, Esq. Potter Anderson & Corroon LLP 1313 N. Market Street, 6th Floor Wilmington, DE 19801 Phone: 302-984-6000 NIKOLA CORP: Seeks Chapter 11 Bankruptcy, Plans to Liquidate Assets ------------------------------------------------------------------- Kara Carlson of Bloomberg Law reports that Nikola Corp. has filed for bankruptcy, marking the collapse of the once-promising electric vehicle company, which faced declining sales and leadership upheaval following a fraud scandal. The company entered Chapter 11 in Delaware on Wednesday, February 19, 2025, planning to liquidate its assets. Court filings estimate its assets between $500 million and $1 billion, with liabilities ranging from $1 billion to $10 billion. The filing concludes Nikola's struggle to manage shrinking cash reserves, weak sales, and a falling stock price while attempting to develop electric and hydrogen-powered semi-trucks. About Nikola Corp. Nikola Corporation manufactures commercial vehicles. The Company provides battery and hydrogen fuel-cell electric vehicles, drivetrains, components, energy storage systems, fueling station infrastructure, and other transportation solutions. Nikola serves customers worldwide. Nikola Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del.) on February 19, 2025. In its petition, the Debtor reports estimated assets between $500 million and $1 billion, with liabilities ranging from $1 billion to $10 billion. Honorable Bankruptcy Judge Thomas M. Horan handles the case. The Debtor is represented by: M. Blake Cleary, Esq. Shannon Forshay, Esq. Sarah R Gladieux, Esq. Maria Kotsiras, Esq. Potter Anderson & Corroon LLP 1313 N. Market Street, 6th Floor Wilmington, DE 19801 Phone: 302-984-6000 NP ELEVATE: Seeks Chapter 11 Bankruptcy in California ----------------------------------------------------- On February 18, 2025, NP Elevate Pocatello LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About NP Elevate Pocatello LLC NP Elevate Pocatello LLC is a single asset real estate debtor, as defined in 11 U.S.C. Section 101(51B). NP Elevate Pocatello LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No.: 25-10394) on February 18, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Scott C. Clarkson handles the case. The Debtor is represented by: Eric Bensamochan, Esq. THE BENSAMOCHAN LAW FIRM, INC. 2566 S. Overland Ave. Suite 650 Los Angeles, CA 90054 Tel: (818) 574-5740 Fax: (818) 961-0138 E-mail: eric@eblawfirm.us NWFI LLC: Claims to be Paid From Disposable Income -------------------------------------------------- NWFI LLC and affiliates filed with the U.S. Bankruptcy Court for the District of Arizona a Small Business Joint Plan of Reorganization dated February 11, 2025. The Corporate Debtors began operations in the State of Arizona in July 2013. They are leading owner-operators of fast casual restaurants in the metro Phoenix area operating under the name Fired Pie. The Corporate Debtors commenced these chapter 11 cases to, among other things, (i) shed underperforming locations, (ii) address diminishing cash attributable to the unprofitable locations, (iii) preserve employee jobs, and (iii) preserve and capitalize on the going concern value of the business. Mr. Doyle, as the owner and operator of the Corporate Debtors, shares liability for several of the same debts that the Corporate Debtors seek to reorganize. Because his income is derived from the Corporate Debtors, Mr. Doyle's ability to reorganize is inextricably intertwined with the Corporate Debtors' reorganization. Thus, Mr. Doyle commenced his case to address his liabilities contemporaneously with the Corporate Debtors. Under this Plan, the Debtors will devote all of their projected disposable income over the next three years toward the payment of Creditors. Payments by the Corporate Debtors under the Plan will be made from income of the Corporate Debtors' business that is not reasonably necessary for the continuation, preservation, or operation of the business of the Debtors. Payments from Co-Debtor Douglass Doyle will be made from his projected monthly disposable income. Plan payments from the Debtors may be combined prior to remittance for ease and to reduce administrative expense. The Plan provides for payment of Administrative Expenses, Priority Claims, including Priority Tax Claims, and Allowed Secured Claims, in accordance with the Bankruptcy Code, and projects payment to Allowed General Unsecured Claims. Class 8 consists of all unsecured Claims that are not Class 6 or Class 7 Claims. Holders of allowed Class 8 claims shall receive a pro rata share of all plan payments paid by Debtors after satisfaction of the Claims of Classes 1 to 6. This Class is impaired. Class 9 Equity Interest holders are parties who hold an ownership interest (i.e., equity interest) in the Corporate Debtors. Equity Interest holders shall retain their interest under this Plan. The Plan will be funded by the proceeds realized from the post Effective Date operations of the Corporate Debtors, disposable income earned by Mr. Doyle, the sale of the Debtors' assets, if any, and the Debtors' continued use of its Cash. Plan payments shall consist of 36 monthly payments commencing on the 15th day of the month immediately following the Effective Date. Plan payments shall be in the amount of the projected disposable income set forth in the projections. A full-text copy of the Joint Plan dated February 11, 2025 is available at https://urlcurt.com/u?l=8x9pPx from PacerMonitor.com at no charge. Counsel for the Corporate Debtors: Andrew A. Harnish, Esq. Grant L. Cartwright, Esq. Eric W. Moats, Esq. May Potenza Baran & Gillespie, P.C. 201 North Central Avenue 22nd Floor Phoenix, AZ 85004-0608 Tel: (602) 252-1900 Email: aharnisch@maypotenza.com About NWFI LLC NWFI, LLC offers customizable pizzas and salads made from scratch using fresh ingredients. NWFI sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 24-09699) on November 13, 2024, with $500,000 to $100,000 in assets and $1 million to $10 million in liabilities. Doug Doyle, company owner, signed the petition. Philip J. Giles, Esq., at Allen, Jones & Giles, PLC, is the Debtor's legal counsel. OFFICE PROPERTIES: Incurs $136.1 Million Net Loss in FY 2024 ------------------------------------------------------------ Office Properties Income Trust filed with the Securities and Exchange Commission its Annual Report on Form 10-K, disclosing a net loss of $136.1 million for the fiscal year ended December 31, 2024, compared to a net loss of $69.4 million for the fiscal year ended December 31, 2023. As of December 31, 2024, the Company had $3.8 billion in total assets, $2.7 billion in total liabilities, and $1.2 billion. A full-text copy of the Company's Form 10-K is available at: https://tinyurl.com/yu2x3xe9 About Office Properties Office Properties Income Trust is a REIT organized under Maryland law. As of Dec. 31, 2023, its wholly owned properties were comprised of 152 properties, and it had noncontrolling ownership interests of 51% and 50% in two unconsolidated joint ventures that owned three properties containing approximately 468,000 rentable square feet. As of Dec. 31, 2023, the Company's properties are located in 30 states and the District of Columbia and contain approximately 20,541,000 rentable square feet. As of Dec. 31, 2023, its properties were leased to 258 different tenants, with a weighted average remaining lease term (based on annualized rental income) of approximately 6.4 years. The U.S. government is its largest tenant, representing approximately 19.5% of its annualized rental income as of Dec. 31, 2023. * * * In February 2025, S&P Global Ratings lowered its Company credit rating on Newton, Mass.-based REIT Office Properties Income Trust (OPI) to 'CC' from 'CCC' and its issue-level ratings on its senior unsecured notes due 2026, 2027 and 2031, which are part of the proposed exchange, to 'CC' from 'CCC-'. S&P said, "At the same time, we affirmed our 'CCC-' issue-level rating on the company's senior unsecured notes due 2050, which are not part of the proposed exchange, our 'B-' issue-level ratings on its existing secured notes due March 2029 and secured notes due March 2027, and our 'CCC' issue-level rating on its existing secured notes due September 2029. Our recovery ratings are unchanged. The negative outlook reflects that we will lower our Company credit rating on OPI to 'SD' (selective default) upon the completion of the distressed exchange." OPTINOSE INC: Stonepine Capital Holds 5.9% Equity Stake ------------------------------------------------------- Stonepine Capital Management, LLC and its affiliates disclosed in a Schedule 13G/A filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owned 588,657 shares of Common Stock of OptiNose, Inc, representing 5.9% of the outstanding Common Stock, based on 10,055,300 shares reported following a 1-for-15 reverse stock split. Stonepine may be reached at: Jon M. Plexico Managing Member 919 NW Bond Street Suite 204, Bend, OR 97703 Tel: 541-647-5673 A full-text copy of Stonepine's SEC Report is available at: https://tinyurl.com/4actwm9h About OptiNose Inc. Yardley, Pa.-based OptiNose, Inc. is a specialty pharmaceutical company focused on the development and commercialization of products for patients treated by ear, nose and throat (ENT) and allergy specialists. Philadelphia. Pa.-based Ernst & Young LLP, the Company's auditor since 2016, issued a "going concern" qualification in its report dated March 7, 2024, citing that the Company has incurred recurring losses from operations, has a working capital deficiency and expects to not be in compliance with certain debt covenants, and has stated that substantial doubt exists about the Company's ability to continue as a going concern. As of September 30, 2024, OptiNose had $131.02 million in total assets, $172.12 million in total liabilities, and $41.1 million in total shareholders' deficit. OUTFRONT MEDIA: Chief Revenue Officer Punter to Depart March 31 --------------------------------------------------------------- OUTFRONT Media Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that effective March 31, 2025, Clive Punter, Chief Revenue Officer, will separate from the Company. Mr. Punter's separation will be a separation without "Cause" under Mr. Punter's Employment Agreement with the Company, dated as of December 8, 2017, and Mr. Punter will be entitled to the payments and benefits provided for thereunder. About OUTFRONT Media Inc. Headquartered in New York, OUTFRONT Media Inc. leases advertising space on out-of-home advertising structures and sites. OUTFRONT Media reported a net loss attributable to the Company of $430.4 million for the year ended December 31, 2023, compared to a net income of $147.9 million for the year ended December 31, 2022. As of September 30, 2024, OUTFRONT Media had $5.2 billion in total assets, $4.5 billion in total liabilities, $13.5 million in redeemable noncontrolling interests, $119.8 million of preferred stock, and $618.2 million in total shareholders' equity. * * * Egan-Jones Ratings Company, on September 10, 2024, maintained its 'CCC' foreign currency and local currency senior unsecured ratings on debt issued by OUTFRONT Media Inc. OUTFRONT MEDIA: The Goldman Sachs Group Holds 7% Stake ------------------------------------------------------ The Goldman Sachs Group, Inc., disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owns 12,177,822.69 shares of OUTFRONT MEDIA INC.'s Reit shares, par value $0.01 per share, representing 7.0% of the shares outstanding. The Goldman Sachs Group, Inc. Sam Prashanth Attorney-in-fact 200 West Street New York, NY 10282 Tel: 212-902-1000 A full-text copy of The Goldman Sachs Group's SEC Report is available at: https://tinyurl.com/k2sn2jxr About OUTFRONT Media Inc. Headquartered in New York, OUTFRONT Media Inc. leases advertising space on out-of-home advertising structures and sites. OUTFRONT Media reported a net loss attributable to the Company of $430.4 million for the year ended December 31, 2023, compared to a net income of $147.9 million for the year ended December 31, 2022. As of September 30, 2024, OUTFRONT Media had $5.2 billion in total assets, $4.5 billion in total liabilities, $13.5 million in redeemable noncontrolling interests, $119.8 million of preferred stock, and $618.2 million in total shareholders' equity. * * * Egan-Jones Ratings Company, on September 10, 2024, maintained its 'CCC' foreign currency and local currency senior unsecured ratings on debt issued by OUTFRONT Media Inc. P3 HEALTH: Expects 2025 Revenue of Up to $1.5 Billion ----------------------------------------------------- P3 Health Partners Inc. is providing preliminary revenue guidance for 2025 of $1.350 billion to $1.500 billion and Adjusted EBITDA of negative $(35) million to $5 million. "The execution of our previously announced $130+ million EBITDA growth initiatives is going as planned, most of which have been actioned and implemented. Given our progress, we are targeting to be profitable in 2025. Additionally, we have highly supportive shareholders and the contemplated financing will provide adequate liquidity to fund expected working capital needs," said Aric Coffman, CEO of P3. "Our business model remains fundamentally strong as we continue to drive value for our PCP partners, payors, and patients. We intend to issue full 2025 guidance at the time when we report our fourth quarter 2024 earnings results." The Company is currently engaged in discussions with its largest shareholder for a proposed financing transaction to provide an additional $30 million unsecured promissory note and warrants, on terms that are expected to be similar to the financing transaction completed in December 2024. Any financing transaction remains subject to the approval of a committee of independent, disinterested directors of the Company and the negotiation and execution of definitive documentation. About P3 Health Partners Henderson, Nev.-based P3 Health Partners Inc is a patient-centered and physician-led population health management company and, for accounting purposes, the successor to P3 Health Group Holdings, LLC and its subsidiaries after the consummation of a series of business combinations in December 2021 with Foresight Acquisition Corp. As the sole manager of P3 LLC, P3 operates and controls all of the business and affairs of P3 LLC and P3's only assets are equity interests in P3 LLC. As of September 30, 2024, P3 Health Partners had $833.3 million in total assets, $569.4 million in total liabilities, $143.4 million in redeemable non-controlling interest, and $120.5 million in total shareholders' equity. Going Concern As of June 30, 2024, and December 31, 2023, the Company had $73.1 million and $36.3 million, respectively, in unrestricted cash and cash equivalents available to fund future operations. The Company's capital requirements will depend on many factors, including the pace of the Company's growth, ability to manage medical costs, the maturity of its members, and its ability to raise capital. The Company continues to explore raising additional capital through a combination of debt financing and equity issuances. When the Company pursues additional debt and/or equity financing, there can be no assurance that such financing will be available on terms commercially acceptable to the Company. If the Company is unable to obtain additional funding when needed, it will need to curtail planned activities in order to reduce costs, which will likely have an unfavorable effect on the Company's ability to execute on its business plan and have an adverse effect on its business, results of operations, and future prospects. As a result of these matters, substantial doubt exists about the Company's ability to continue as a going concern within one year after the date the financial statements are issued. PALATIN TECHNOLOGIES: Posts $2.44 Million Net Loss in Fiscal Q2 --------------------------------------------------------------- Palatin Technologies Inc. filed with the U.S. Securities and Exchange Commission its Quarterly Report on Form 10-Q reporting a net loss of $2,442,482 with no revenues for the three months ended December 31, 2024, compared to a net loss of $7,844,034 on $2,034,113 of product net revenue for the three months ended December 31, 2023. For the six months ended December 31, 2024, the Company reported a net loss of $10,266,131 with no revenues, compared to a net loss of $13,050,033 on $4,140,090 of product net revenue for the same period in 2023. As of December 31, 2024, the Company had $4,310,018 in total assets, $10,691,127 in total liabilities, and $6,381,109 in total stockholders' deficit. A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/bdh2x3v4 About Palatin Headquartered in New Jersey, Palatin -- www.Palatin.com -- is a biopharmaceutical company developing first-in-class medicines based on molecules that modulate the activity of the melanocortin receptor systems, with targeted, receptor-specific product candidates for the treatment of diseases with significant unmet medical need and commercial potential. Palatin's strategy is to develop products and then form marketing collaborations with industry leaders to maximize their commercial potential. Philadelphia, Pennsylvania-based KPMG LLP, the Company's auditor since 2002, issued a "going concern" qualification in its report dated Sept. 30, 2024, citing that the Company has incurred operating losses and negative cash flows from operations since inception and will need additional funding to complete planned product development efforts that raise substantial doubt about its ability to continue as a going concern. PALATIN TECHNOLOGIES: Reports Reduced Net Loss of $2.44M for Q2 --------------------------------------------------------------- Palatin Technologies, Inc. filed its quarterly report on Form 10-Q with the Securities and Exchange Commission, reporting a net loss of $2.44 million and no revenue for the three months ending Dec. 31, 2024. This marks a notable improvement compared to the same period last year, when the Company reported a net loss of $7.84 million on revenues of $2.03 million. For the six months ending Dec. 31, 2024, the Company posted a net loss of $10.27 million on zero revenues, compared to a net loss of $13.05 million on revenues of $4.14 million for the six months ending Dec. 31, 2023. As of Dec. 31, 2024, the Company had $4.31 million in total assets, $10.69 million in total liabilities, and a total stockholders' deficiency of $6.38 million. As of Dec. 31, 2024, the Company's cash and cash equivalents were $3,416,604 and current liabilities were $9,558,756. Management intends to utilize existing capital resources for general corporate purposes and working capital, including clinical development of the Company's MC1r and MC4r programs, and development of other portfolio products. After reviewing the available cash and cash equivalents as of Dec. 31, 2024, and the $4,309,641 received in February 2025, management has determined that there is significant uncertainty regarding the Company's ability to remain operational for the next year from the date the consolidated financial statements are issued. "The Company is evaluating strategies to obtain additional funding for future operations which include but are not limited to obtaining equity financing, issuing debt, or reducing planned expenses. A failure to raise additional funding or to effectively implement cost reductions could harm the Company's business, results of operations, and future prospects. If the Company is not able to secure adequate additional funding in future periods, the Company could be forced to make additional reductions in certain expenditures. This could include liquidating assets and suspending or curtailing planned programs. The Company may also have to delay, reduce the scope of, suspend, or eliminate one or more research and development programs or its commercialization efforts or pursue a strategic transaction. If the Company is unable to raise capital when needed or enter into a strategic transaction, then the Company could be required to cease operations, which could cause its stockholders to lose all or part of their investment," the Company mentioned in the report. The full text of the Form 10-Q is available for free at: https://www.sec.gov/Archives/edgar/data/911216/000165495425001431/ptn_10q.htm About Palatin Headquartered in New Jersey, Palatin -- http://www.Palatin.com/-- is a biopharmaceutical company developing first-in-class medicines based on molecules that modulate the activity of the melanocortin receptor ("MCr") system. The Company's product candidates are targeted, receptor-specific therapeutics for the treatment of diseases with significant unmet medical need and commercial potential. Palatin's strategy is to develop products and then form marketing collaborations with industry leaders to maximize product commercial potential. Philadelphia, Pennsylvania-based KPMG LLP, the Company's auditor since 2002, issued a "going concern" qualification in its report dated Sept. 30, 2024, citing that the Company has incurred operating losses and negative cash flows from operations since inception and will need additional funding to complete planned product development efforts, that raise substantial doubt about its ability to continue as a going concern. As of June 30, 2024, the Company had an accumulated deficit of $441.8 million. The Company had $29.7 million in net loss for the year ended June 30, 2024, compared to $24.0 million in net loss for the year ended June 30, 2023. "We may not achieve or sustain profitability in future years, depending on numerous factors, including whether and when development and product commercialization milestones are met, whether and when we enter into license agreements for any of our products under development, regulatory actions by the FDA and other regulatory bodies, the performance of our licensees, and market acceptance of our products," stated Palatin in its Annual Report for the year ended June 30, 2024. PAVMED INC: Ayrton Capital, 2 Others Hold 9.9% Equity Stake ----------------------------------------------------------- Ayrton Capital LLC, Alto Opportunity Master Fund, SPC - Segregated Master Portfolio B, and Waqas Khatri disclosed in a Schedule 13G/A filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, they beneficially owned 1,226,316 shares of Common Stock of PAVmed Inc., representing 9.9% of the outstanding shares. This includes 29,816 shares of Common Stock and 1,196,500 shares issuable upon the conversion of certain convertible notes, subject to a 9.99% beneficial ownership blocker. Ayrton Capital LLC may be reached at: Waqas Khatri Managing Member 55 Post Rd West 2nd Floor Westport, CT 06880 Tel: 646-793-9056 A full-text copy of Ayrton Capital's SEC Report is available at: https://tinyurl.com/54k4h586 About PAVMed Headquartered in New York, NY, PAVmed is structured to be a multi-product life sciences company organized to advance a pipeline of innovative healthcare technologies. Led by a team of highly skilled personnel with a track record of bringing innovative products to market, PAVmed is focused on innovating, developing, acquiring, and commercializing novel products that target unmet needs with large addressable market opportunities. Leveraging its corporate structure -- a parent company that will establish distinct subsidiaries for each financed asset -- the Company has the flexibility to raise capital at the PAVmed level to fund product development, or to structure financing directly into each subsidiary in a manner tailored to the applicable product, the latter of which is its current strategy given prevailing market conditions. Headquartered in New York, NY, Marcum LLP, the Company's auditor since 2019, issued a "going concen" qualification in its report dated March 25, 2024. The report cites that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of June 30, 2024, PAVmed had $39.41 million in total assets, $58.06 million in total liabilities, and a total stockholders' deficit of $18.64 million. The Company incurred a net loss attributable to PAVmed Inc. common stockholders of approximately $66.3 million and had net cash flows sed in operating activities of approximately $52.0 million for the year ended Dec. 31, 2023. As of Dec. 31, 2023, the Company had negative working capital of approximately $29.7 million, with such working capital inclusive of the Senior Secured Convertible Notes classified as a current liability of an aggregate of approximately $44.2 million and approximately $19.6 million of cash. "The Company's ability to continue operations beyond March 2025, will depend upon generating substantial revenue that is conditioned upon obtaining positive third-party reimbursement coverage for its EsoGuard Esophageal DNA Test from both government and private health insurance providers, increasing revenue through contracting directly with self-insured employers, and on its ability to raise additional capital through various potential sources including equity and/or debt financings or refinancing existing debt obligations," PAVMed said in its 2023 Annual Report. PINSEEKERS DEFOREST: Seeks Chapter 11 Bankruptcy in Wisconsin ------------------------------------------------------------- On February 18, 2025, PinSeekers DeForest Operations LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Western District of Wisconsin. According to court filing, the Debtor reports between $10 million and $50 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About PinSeekers DeForest Operations LLC PinSeekers DeForest Operations LLC operates a hybrid golf entertainment facility located in DeForest, Wisconsin, just outside of Madison. The facility's year-round offerings include Toptracer golf suites, which are equipped with all-weather luxury suites suitable for golfers of all skill levels. The facility also features mini bowling, with a scaled-down version of traditional bowling called duckpin bowling, a custom-built putting course that caters to all levels of skill and age, and high-definition multi-sports simulators. PinSeekers provides a spacious event space for corporate gatherings, networking events, meetings, or parties. The venue also includes a restaurant and bar, offering a diverse menu for casual dining. PinSeekers DeForest Operations LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Wis. Case No. 25-10326) on February 18, 2025. In its petition, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $10 million and $50 million. The Debtor is represented by: Rebecca R. DeMarb, Esq. SWANSON SWEET LLP 8020 Excelsior Drive, Suite 401 Madison, WI 53717 Tel: 608-709-5992 Fax: 608-709-5887 Email: rdemarb@swansonsweet.com POET TECHNOLOGIES: CEO Provides Business Update ----------------------------------------------- POET Technologies Inc. issued its "2025 Outlook" letter to shareholders from its Chairman and Chief Executive Officer, Dr. Suresh Venkatesan, providing a review of the market, the Company's customers, the progress toward meeting the demand for AI infrastructure and an early look at what the Company is planning for 2025, including its participation in the Optical Fiber Communications Conference (OFC) in San Francisco (March 31-April 3, 2025). Turning Vision into Reality POET's strategic vision of becoming a global leader in chip-scale photonics solutions based on our unique POET Optical Interposer™ platform technology is closer than ever. Our vision came into sharp focus about a year ago as demand exploded for high-speed transceivers that enable Artificial Intelligence software programs and the systems that they run on to communicate with users at light speed. For the past year we have been intensely focused on developing and manufacturing a suite of optical engines that meet not just the current demand for 800Gbps transceiver speeds, but also, when combined into multiples, are expected to address customer needs at the next two generations of products, providing pluggable module solutions at 1.6Tbps and 3.2Tbps. Over the same period, our customers have been designing modules based on POET's optical engines and are preparing to market these modules to the top tier of AI network systems companies around the globe. Step by step along the way, our engineers have worked with their teams to build customized solutions for the data center giants that are building out an enormous AI infrastructure. Several industry experts have recognized our groundbreaking innovations in AI hardware based on the POET Optical Interposer, with awards and recognitions, including the AI Breakthrough Award, Winner of Global Tech's "Best in Artificial Intelligence" award, and the Gold Medal from the Merit Awards as "AI Innovator of the Year". Demand for AI is Outpacing Capacity In recent news reports, several companies, including Microsoft and AWS, have openly stated that they can't keep up with the demand for AI. Commitments to invest in AI infrastructure, from the U.S. government's $500 billion funding of the Stargate project to the plan from the big tech companies to spend $325 billion in the coming years, punctuate the opportunity in front of POET. Amazon alone has said it will commit $100 billion to AI spending to deal with the constraints on capacity its data centers face. These proposals have shattered forecasts for optical transceiver demand. The growth rate in optical transceiver sales is expected to expand at an annual rate of 56.5%, reaching 31.9 million units of 400Gbps or greater speeds in 2025, according to TrendForce. POET expects to play a leading role in that market with our optical engines that are designed to fuel the next generation of optical transceivers. The recent news of China's DeepSeek R1 and Alibaba's QWen outpacing more well-known AI models likely only helps POET, because their lower cost and reduced complexity makes AI development more accessible to a wider range of companies. Advanced chip-scale hardware solutions such as those offered by POET will be even more relevant to meeting this higher demand. POET's Customer Base POET's largest customers, Foxconn Interconnect Technologies (FOIT) and Luxshare Tech, are large suppliers of network equipment, systems and components to hyperscale data centers. Both companies are developing a variety of high speed solutions to help satisfy demand for 800Gbps and higher speed transceivers. POET is supplying advanced optical engines and working directly with these companies and others to enter the high speed transceiver market rapidly and efficiently. POET's optical engines allow multiple types of direct and multiplexed versions to be utilized in a common module design, thereby improving customer R&D efficiency and time to market. Enabling time to market gains for new entrants into the optical module market is a key competitive advantage for POET. Mitsubishi Electric is among the world's largest suppliers of the lasers that drive optical modules. POET is working with Mitsubishi to enable them to introduce one of the most advanced high-speed Electro-absorption Modulated Lasers (EMLs). We are integrating Mitsubishi Electric's 400G EMLs into the POET Optical Interposer, along with drivers, optical waveguides, and other key functional building blocks to produce 1.6Tbps optical engine chipsets. When complete, the 1.6Tbps solution will achieve the most advanced level of chip scale integration yet accomplished for EML lasers. Behind the Scenes Three major initiatives during the past several months can give some insight into how the Company is preparing to meet the demand for our AI Infrastructure hardware. The first has been our ability to substantially strengthen the Company's balance sheet, adding over $110 million in cash, including our pending, fully subscribed $25 million public offering. This capital will allow us to execute on our near-term manufacturing expansion and give us maximum flexibility to grow into other markets with our versatile Optical Interposer platform. Our recently announced project in the financial services industry is just one example. On the manufacturing front, we have acquired control over Super Photonics Xiamen (SPX), which allowed us to execute a diversified manufacturing strategy by establishing a relationship with Globetronics in Malaysia. Together, POET and Globetronics will build out a full wafer-scale assembly and test operation for optical engines. The proximity of our long-term wafer foundry partner, Silterra Malaysia, gives us additional operational flexibility. The Malaysian ecosystem for semiconductors is extremely supportive of POET's efforts and provides a convincing demonstration of the Company's ability to scale to the volume requirements of our customers. The third internal effort has been a reorganization of the Company along functional lines, which provides broader customer reach, more intensive customer engagement, and focuses the organization on revenue generation for 2025 and beyond. What's Next? As our optical engines and light source efforts accelerate, we are also innovating to be ahead of the market with other products. This includes a novel Optical Interposer-based laser that we expect will achieve a level of speed and bandwidth in data transfer that AI developers and hyperscalers will demand, and be at a price point that enables the market for chip-to-chip light-based data communications to expand rapidly. We expect to demonstrate this new product in the second half of 2025. The OFC Conference has always been the main opportunity for POET to demonstrate our capabilities, to capture the attention of new customers and convert those who had previously expressed interest in our solutions. At this year's OFC Conference in San Francisco, we plan to showcase all of our new products, including the most advanced optical engine we have ever developed. We anticipate that we will be one of only a handful of companies able to demonstrate a production-ready 1.6Tbps transmit optical engine at OFC. With the Company's commercialization efforts well underway, customers can be assured we have the technology, cost structure, and capacity to meet their needs. As the year unfolds, POET is in an ideal position to capitalize on the massive AI infrastructure spending that is underway. POET shareholders can expect more news as we achieve our ambitions for additional design wins, market penetration and revenue. About POET Technologies Inc. POET Technologies Inc. -- www.poet-technologies.com -- is a design and development company offering high-speed optical modules, optical engines, and light source products to the artificial intelligence systems market and hyperscale data centers. POET's photonic integration solutions are based on the POET Optical Interposer, a novel, patented platform that allows the seamless integration of electronic and photonic devices into a single chip using advanced wafer-level semiconductor manufacturing techniques. POET's Optical Interposer-based products are lower cost, consume less power than comparable products, are smaller in size, and are readily scalable to high production volumes. In addition to providing high-speed (800G, 1.6T, and above) optical engines and optical modules for AI clusters and hyperscale data centers, POET has designed and produced novel light source products for chip-to-chip data communication within and between AI servers, the next frontier for solving bandwidth and latency problems in AI systems. POET's Optical Interposer platform also solves device integration challenges in 5G networks, machine-to-machine communication, self-contained "Edge" computing applications, and sensing applications, such as LIDAR systems for autonomous vehicles. POET is headquartered in Toronto, Canada, with operations in Allentown, PA, Shenzhen, China, and Singapore. Hartford, Conn.-based Marcum LLP, the Company's auditor since 2009, issued a "going concern" qualification in its report dated March 15, 2024, citing that the Company has incurred significant losses over the past few years and needs to raise additional funds to meet its future obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. PORTSMOUTH SQUARE: Faces Increased Net Loss of $4.04M in Q1 2025 ---------------------------------------------------------------- Portsmouth Square, Inc., filed its quarterly report on Form 10-Q with the Securities and Exchange Commission, showing a net loss of $4.04 million on revenue of $9.97 million for the three-month period ending Dec. 31, 2024. This marks a decline over the same period last year, when the Company reported a net loss of $2.57 million on revenue of $10.23 million. As of Dec. 31, 2024, the Company had $39.65 million in total assets, $160.56 million in total liabilities, and a total shareholders' deficit of $120.92 million. The Company had cash and cash equivalents of $3,106,000 and $3,511,000 as of Dec. 31, 2024 and June 30, 2024, respectively. The Company had restricted cash of $987,000 and $1,264,000 as of Dec. 31, 2024 and June 30, 2024, respectively. The Company had marketable securities, net of margin due to securities brokers, of $138,000 and $209,000 as of Dec. 31, 2024 and June 30, 2024, respectively. These marketable securities are short-term investments and liquid in nature. On Jan. 21, 2025, the Company executed a non-binding term sheet with Prime Finance to refinance the senior mortgage loan and received and accepted new terms from its current mezzanine lender, CRED Reit Holdco LLC. The Company is in advanced discussions with both lenders and believes that, based on the progress of negotiations, refinancing will be successfully completed by March 2025. While no absolute assurance can be provided, the Company remains highly focused on finalizing the transaction. Additionally, the Company is in discussions with its existing lenders regarding a potential extension of the current debt terms, should more time be required. "While the Company remains on track to complete the refinancing, failure to close the transaction as expected, secure alternative financing, or obtain an extension of current loan terms could materially impact the Company's ability to meet its obligations. As a result, substantial doubt remains regarding the Company's ability to continue as a going concern for one year following the issuance of these financial statements," the Company mentioned in the SEC report. The complete text of the Form 10-Q is available at no charge at: https://www.sec.gov/Archives/edgar/data/79661/000149315225006761/form10-q.htm About Portsmouth Square Portsmouth Square, Inc., is a California corporation, incorporated on July 6, 1967, for the purpose of acquiring a hotel property in San Francisco, California through a California limited partnership, Justice Investors Limited Partnership. As of June 30, 2024, approximately 75.7% of the outstanding common stock of Portsmouth was owned by The InterGroup Corporation, a public company (NASDAQ: INTG). As of June 30, 2024, the Company's Chairman of the Board and Chief Executive Officer, John V. Winfield, owns approximately 2.5% of the outstanding common shares of the Company. Mr. Winfield also serves as the President, Chairman of the Board and Chief Executive Officer of InterGroup and owns approximately 69.4% of the outstanding common shares of InterGroup as of June 30, 2024. East Brunswick, NJ-based WithumSmith+Brown, PC, the Company's auditor since 2022, issued a "going concern" qualification in its report dated Sept. 30, 2024. The report highlighted that the outstanding balance as of June 30, 2024 of the hotel's mortgage notes payable consists of a senior mortgage loan and mezzanine loan totaling $100,783,000, net of debt issuance costs amounting to $679,000. Both loans matured on Jan. 1, 2024, and were subsequently extended to Jan. 1, 2025 through forbearance agreements. In addition, the Company has recurring losses and has an accumulated deficit of $117,102,000. These factors and the Company's ability to successfully refinance the debt on favorable terms in the current lending environment raise substantial doubt about the Company's ability to continue as a going concern for one year after the financial statement issuance date. PROS HOLDINGS: Mariette Woestemeyer Holds 5.5% Stake as of Dec. 31 ------------------------------------------------------------------ Mariette M. Woestemeyer disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, she beneficially owned 2,598,300 shares of common stock of PROS Holdings, Inc., representing 5.5% of the shares outstanding. A full-text copy of Ms. Woestemeyer's SEC Report is available at: https://tinyurl.com/4n4phdn8 About PROS Holdings Headquartered in Houston, Texas, PROS Holdings, Inc. (NYSE: PRO), is a provider of AI-powered SaaS pricing, CPQ, revenue management, and digital offer marketing solutions. As of June 30, 2024, PROS Holdings had $384.9 million in total assets, $467.9 million in total liabilities, and $83 million in total shareholders' deficit. * * * Egan-Jones Ratings Company, on August 22, 2024, maintained its 'CCC-' foreign currency and local currency senior unsecured ratings on debt issued by PROS Holdings, Inc. PROS HOLDINGS: RGM Capital Holds 5.37% Equity Stake --------------------------------------------------- RGM Capital, LLC, disclosed in a Schedule 13G/A filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, RGM Capital beneficially owns 2,540,752 shares of common stock of PROS Holdings, Inc., representing 5.37% of the shares outstanding. RGM Capital may be reached through: Robert G. Moses Managing Member 9010 Strada Stell Court Suite 105 Naples, FL 34109 Tel: 239-593-1280 A full-text copy of RGM Capital's SEC Report is available at: https://tinyurl.com/3whv3jyw About PROS Holdings Headquartered in Houston, Texas, PROS Holdings, Inc. (NYSE: PRO), is a provider of AI-powered SaaS pricing, CPQ, revenue management, and digital offer marketing solutions. As of June 30, 2024, PROS Holdings had $384.9 million in total assets, $467.9 million in total liabilities, and $83 million in total shareholders' deficit. * * * Egan-Jones Ratings Company, on August 22, 2024, maintained its 'CCC-' foreign currency and local currency senior unsecured ratings on debt issued by PROS Holdings, Inc. PROS HOLDINGS: Ronald Woestemeyer Holds 5.5% Stake -------------------------------------------------- Ronald F. Woestemeyer disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, she beneficially owned 2,598,300 shares of common stock of PROS Holdings, Inc., representing 5.5% of the shares outstanding. A full-text copy of Mr. Woestemeyer's SEC Report is available at: https://tinyurl.com/3jwxph78 About PROS Holdings Headquartered in Houston, Texas, PROS Holdings, Inc. (NYSE: PRO), is a provider of AI-powered SaaS pricing, CPQ, revenue management, and digital offer marketing solutions. As of June 30, 2024, PROS Holdings had $384.9 million in total assets, $467.9 million in total liabilities, and $83 million in total shareholders' deficit. * * * Egan-Jones Ratings Company, on August 22, 2024, maintained its 'CCC-' foreign currency and local currency senior unsecured ratings on debt issued by PROS Holdings, Inc. PROTEC RE HOLDING: Case Summary & 13 Unsecured Creditors -------------------------------------------------------- Debtor: Protec RE Holding, Inc. 38 Edge Hill Road Waltham, MA 02451 Business Description: Protec RE Holding is a single-asset real estate company. Chapter 11 Petition Date: February 20, 2025 Court: United States Bankruptcy Court District of Massachusetts Case No.: 25-10323 Debtor's Counsel: Peter M. Daigle, Esq. DAIGLE LAW OFFICE 1550 Falmouth Road, Suite 10 Centerville, MA 02632 Tel: (508) 771-7444 Fax: (508) 771-8286 E-mail: pmdaigleesq@yahoo.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Verena Streber as president. A full-text copy of the petition, which includes a list of the Debtor's 13 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/5WMFA6Y/Protec_RE_Holding_Inc__mabke-25-10323__0001.0.pdf?mcid=tGE4TAMA PUFFCUFF LLC: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: Puffcuff, LLC 1165 Allgood Rd., Suite 9 Marietta, GA 30062 Business Description: Puffcuff, LLC, established in August 2013, focuses on innovative hair accessories tailored for individuals with curly hair. The Company's flagship product, the PuffCuff, is a unique alternative to traditional elastic bands, designed to provide a secure and comfortable hold without causing damage or breakage. The Company offers a variety of sizes and styles to accommodate different curl types, including Type 2, Type 3, and Type 4, as well as locs, braids, and twists. Chapter 11 Petition Date: February 22, 2025 Court: United States Bankruptcy Court Northern District of Georgia Case No.: 25-51881 Debtor's Counsel: John Mills, Esq. MILLS BUSINESS LAW 1336 Harvard Rd., NE Atlanta, GA 30306 Tel: (404) 219-5038 E-mail: jmills@millsbizlaw.com Total Assets: $4,435,300 Total Liabilities: $2,655,111 The petition was signed by Ceata Lash as member. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/W425J3Q/Puffcuff_LLC__ganbke-25-51881__0001.0.pdf?mcid=tGE4TAMA QHSLAB INC: Partners With Town Total for Digital Health Expansion ----------------------------------------------------------------- QHSLab Inc. has entered into a strategic co-marketing partnership with Town Total Compounding to expand market opportunities and enhance patient care through a comprehensive, integrated approach. This collaboration will introduce QHSLab's Integrated Service Program (ISP) to over 200 primary care medical practices within Town Total's network, aligning digital medicine assessments with personalized prescription therapies for GLP-1s, Hormone Replacement Therapy (HRT), Allergen Immunotherapy, Pain Management, and Dermatological treatments. By leveraging QHSLab's digital medicine technology and Town Total's expertise in patient-specific compounding, this mutually supportive partnership offers a non-dilutive growth opportunity for both organizations while expanding access to cutting-edge healthcare solutions. This co-marketing initiative underscores both companies' commitment to expanding market reach without requiring additional capital investment. By integrating QHSLab's digital health capabilities into Town Total's established provider relationships, the partnership fosters organic business growth, enhances provider engagement, and drives better patient adherence and treatment outcomes. Enhancing Patient Outcomes with Integrated Care QHSLab's digital screening and assessment tools empower physicians with AI-driven insights and patient engagement resources, seamlessly integrating with Town Total Compounding's ability to tailor treatments to individual patient needs. The partnership ensures a holistic approach to healthcare, optimizing both pharmacological and behavioral health interventions for better long-term patient outcomes. "At Town Total Compounding, our mission is to help keep patients healthy by delivering personalized, high-quality medications," said Joseph Navarra, R.Ph., FACA, Head of Pharmacy and Owner of Town Total Compounding Center. "This collaboration with QHSLab allows us to offer primary care providers a seamless way to integrate digital medicine into their patient care plans, ensuring tailored treatment strategies that enhance clinical effectiveness." "QHSLab's partnership with Town Total represents a significant step forward in combining digital health innovation with customized pharmacy solutions," said Troy Grogan, CEO of QHSLab, Inc. "By providing primary care practices with advanced screening tools alongside specialized compounding services, we are creating a scalable, patient-centered approach to improving health outcomes--without the need for external financing or equity dilution." For more information about QHSLab and its healthcare solutions, please visit www.qhslab.com. About QHSLab, Inc. Beach, Fla.-based QHSLab, Inc. is a medical device technology and software-as-a-service company focused on enabling primary care physicians to increase their revenues by providing them with relevant, value-based tools to evaluate and treat chronic disease as well as provide preventive care through reimbursable procedures. Going Concern The Company has only recently operated profitably, is highly leveraged and has only recently begun to generate cash from operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. The continuation of the Company's business is dependent upon its ability to achieve increased positive cash flows and profitability and, pending such achievement, future issuances of equity or other financings to fund ongoing operations. However, access to such funding may not be available on commercially reasonable terms, if at all. QURATE RETAIL: Contrarius Investment Holds 9.1% Stake ----------------------------------------------------- Contrarius Investment Management Ltd and Contrarius Investment Management (Bermuda) Ltd disclosed in a Schedule 13G/A filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, they beneficially owned 35,138,516 shares of Qurate Retail, Inc. Series A Common Stock, representing 9.1% of the shares outstanding. Contrarius Investment Management Ltd may be reached at: Thomas Daniel Perkins Director 2 Bond Street St. Helier Y9 JE2 3NP Channel Islands A full-text copy of Contrarius Investment's SEC Report is available at: https://tinyurl.com/2s48495a About Qurate Retail Headquartered in Englewood, Colorado, Qurate Retail, Inc. comprised of six retail brands - QVC, HSN, Ballard Designs, Frontgate, Garnet Hill and Grandin Road. Qurate Retail Group is the largest player in video commerce ("vCommerce"), which includes video-driven shopping across linear TV, ecommerce sites, digital streaming and social platforms. The retailer reaches more than 200 million homes worldwide via 15 television channels, which are widely available on cable/satellite TV, free over-the-air TV, and digital livestreaming TV. The retailer also reaches millions of customers via its QVC+ and HSN+ streaming experience, websites, mobile apps, social pages, print catalogs, and in-store destinations. Qurate Retail, Inc. also holds various minority interests. Qurate Retail reported a net loss of $94 million for the year ended Dec. 31, 2023, compared to a net loss of $2.53 billion for the year ended Dec. 31, 2022. Qurate Retail received written notice from the Nasdaq Stock Market on June 10, 2024 notifying the Company of its non-compliance with the minimum bid price requirement for continued listing of the Company's Series A common stock on the Nasdaq Global Select Market. The Company thereafter had 180 calendar days to regain compliance with the Minimum Bid Price Requirement or to transfer to the Nasdaq Capital Market and request an additional 180-day extension to comply with the Minimum Bid Price Requirement. Effective the opening of business on Dec. 2, 2024, QRTEA, the Company's Series B common stock, and the Company's 8.0% Series A Cumulative Redeemable Preferred Stock were transferred from the Nasdaq Global Select Market to the Nasdaq Capital Market. On Dec. 10, 2024, Nasdaq granted the Company an additional 180-day extension, or until June 9, 2025, to comply with the Minimum Bid Price Requirement. * * * As reported by TCR on April 22, 2024, S&P Global Ratings revised its outlook to stable from negative and affirmed all its ratings on U.S.-based video commerce and online retailer Qurate Retail Inc., including its 'CCC+' Company credit rating. The stable outlook reflects S&P's expectation that Qurate will maintain sufficient liquidity over the next 12 months despite its view that its capital structure remains unsustainable, as further cost reductions offset sales weakness and support profit recovery. R & R TRAILERS: Thomas Richardson Named Subchapter V Trustee ------------------------------------------------------------ The U.S. Trustee for Regions 3 and 9 appointed Thomas Richardson, Esq., at Lewis Reed and Allen, as Subchapter V trustee for R & R Trailers, Inc. Mr. Richardson will be paid an hourly fee of $325 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Richardson declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Thomas C. Richardson, Esq. Lewis Reed and Allen 136 East Michigan Ave., Suite 800 Kalamazoo, MI 49007 Phone: 269-388-7600 Email: trichardson@lewisreedallen.com About R & R Trailers R & R Trailers, Inc. specializes in manufacturing American-made aluminum trailers for a variety of uses, including hauling cars, cargo, and recreational vehicles. It is based in Three Rivers, Mich. R & R Trailers filed Chapter 11 petition (Bankr. W.D. Mich. Case No. 25-00318) on February 7, 2025, listing $276,910 in assets and $1,351,582 in liabilities. Ross M. Daniels, shareholder and vice-president of R & R Trailers, signed the petition. Judge Scott W. Dales oversees the case. Steven M. Bylenga, Esq., at CBH Attorneys & Counselors, PLLC, represents the Debtor as bankruptcy counsel. REBORN COFFEE: Terminates $5 Million SEPA With Yorkville -------------------------------------------------------- Reborn Coffee, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company sent notice to YA II PN, Ltd. - "Yorkville", a Cayman Islands exempt limited partnership terminating the Standby Equity Purchase Agreement effective as of February 12, 2025. Pursuant to the SEPA, the Company had the right to terminate the SEPA at any time upon five trading days' prior notice. The Company sold no shares to Yorkville under the SEPA, other than the 64,656 shares of Common Stock issued to Yorkville as consideration for its commitment to purchase shares of Common Stock under the SEPA. The Company incurred no penalties or fees as a result of the termination. As previously reported, on February 12, 2024, the Company entered into the SEPA with Yorkville, pursuant to which the Company had the right, but not the obligation, to sell to Yorkville up to $5,000,000 of the Company's Common Stock, at the Company's request any time during the commitment period commencing on February 12, 2024 and terminating on March 1, 2027. About Reborn Coffee Brea, Calif.-based Reborn Coffee, Inc. (NASDAQ: REBN) is focused on serving high quality, specialty-roasted coffee at retail locations, kiosks, and cafes. Reborn is an innovative company that strives for constant improvement in the coffee experience through exploration of new technology and premier service, guided by traditional brewing techniques. Reborn believes they differentiate themselves from other coffee roasters through innovative techniques, including sourcing, washing, roasting, and brewing their coffee beans with a balance of precision and craft. For more information, please visit www.reborncoffee.com. Going Concern The Company cautioned in its Form 10-Q Report filed with the U.S. Securities and Exchange Commission for the quarterly period ended March 31, 2024, that substantial doubt exists about its ability to continue as a going concern. According to the Company, it had incurred a net comprehensive loss of $990,544 during the three months ended March 31, 2024, and has an accumulated deficit of $17,747,468 as of March 31, 2024. As of June 30, 2024, Reborn Coffee had $10,529,006 in total assets, $7,986,318 in total liabilities, and $2,542,688 in total stockholders' equity. RED RIVER: J&J Claims Ch. 11 Best Opportunity for Talc Recoveries ----------------------------------------------------------------- Rick Archer of Law360 Bankruptcy Authority reports that the attorneys for Johnson & Johnson and supporters of its talc spinoff's Chapter 11 plan argued before a Texas bankruptcy judge on Thursday, February 20, 2025, that the proposed $10 billion talc settlement offers the best resolution for thousands of claimants. About J&J Talc Units LLT Management, LLC (formerly known as LTL Management LLC) was a subsidiary of Johnson & Johnson that was formed to manage and defend thousands of talc-related claims and oversee the operations of Royalty A&M. Royalty A&M owns a portfolio of royalty revenue streams, including royalty revenue streams based on third-party sales of LACTAID, MYLANTA/MYLICON and ROGAINE products. LTL Management first filed a petition for Chapter 11 protection (Bankr. W.D.N.C. Case No. 21-30589) on Oct. 14, 2021. The case was transferred to New Jersey (Bankr. D.N.J. Case No. 21-30589) on Nov. 16, 2021. The Hon. Michael B. Kaplan is the case judge. At the time of the filing, the Debtor was estimated to have $1 billion to $10 billion in both assets and liabilities. In the 2021 case, LTL Management tapped Jones Day and Rayburn Cooper & Durham, P.A., as bankruptcy counsel; King & Spalding, LLP and Shook, Hardy & Bacon LLP as special counsel; McCarter & English, LLP as litigation consultant; Bates White, LLC as financial consultant; and AlixPartners, LLP as restructuring advisor. Epiq Corporate Restructuring, LLC, served as the claims agent. On Dec. 24, 2021, the U.S. Trustee for Regions 3 and 9 reconstituted the talc claimants' committee and appointed two separate committees: (i) the official committee of talc claimants I, which represents ovarian cancer claimants, and (ii) the official committee of talc claimants II, which represents mesothelioma claimants. The official committee of talc claimants I tapped Genova Burns LLC, Brown Rudnick LLP, Otterbourg PC and Parkins Lee & Rubio LLP as its legal counsel. Meanwhile, the official committee of talc claimants II is represented by the law firms of Cooley LLP, Bailey Glasser LLP, Waldrep Wall Babcock & Bailey PLLC, Massey & Gail LLP, and Sherman Silverstein Kohl Rose & Podolsky P.A. Re-Filing of Chapter 11 Petition On Jan. 30, 2023, a panel of the Third Circuit issued an opinion directing this Court to dismiss the 2021 Chapter 11 Case on the basis that it was not filed in good faith. Although the Third Circuit panel recognized that the Debtor "inherited massive liabilities" and faced "thousands" of future claims, it concluded that the Debtor was not in financial distress before the filing. On March 22, 2023, the Third Circuit entered an order denying the Debtor's petition for rehearing. The Third Circuit entered an order denying LTL's stay motion on March 31, 2023, and, on the dame day, issued its mandate directing the Bankruptcy Court to dismiss the 2021 Chapter 11 Case. The Bankruptcy Court entered an order dismissing the 2021 Case on April 4, 2023. Johnson & Johnson on April 4, 2023, announced that its subsidiary LTL Management LLC (LTL) has re-filed for voluntary Chapter 11 bankruptcy protection (Bankr. D.N.J. Case No. 23-12825) to obtain approval of a reorganization plan that will equitably and efficiently resolve all claims arising from cosmetic talc litigation against the Company and its affiliates in North America. In the new filing, J&J said it has agreed to contribute up to a present value of $8.9 billion, payable over 25 years, to resolve all the current and future talc claims, which is an increase of $6.9 billion over the $2 billion previously committed in connection with LTL's initial bankruptcy filing in October 2021. LTL also has secured commitments from over 60,000 current claimants to support a global resolution on these terms. In August 2023, U.S. Bankruptcy Judge Michael Kaplan in Trenton, New Jersey, ruled that the second bankruptcy case should be dismissed. 3rd Try In May 2024, J&J announced its subsidiary LLT Management LLC is soliciting support for a consensual prepackaged bankruptcy plan to resolve its talc-related liabilities. Under the terms of the plan, a trust would be funded with over $5.4 billion in the first three years and more than $8 billion over the course of 25 years, which J&J calculates to have a net present value of $6.475 billion. Claimants must cast their vote to accept or reject the Plan by 4:00 p.m. (Central Time) on July 26, 2024. A solicitation package may be requested at www.OfficialTalcClaims.com or by calling 1-888-431-4056. If the Plan is accepted by at least 75% of voters, a bankruptcy may be filed under the case name In re: Red River Talc LLC in a bankruptcy court in Texas or in the bankruptcy court of another jurisdiction. Epiq Corporate Restructuring, LLC is serving as balloting and solicitation agent for LLT. On Sept. 20, 2024, Red River Talc LLC filed a Chapter 11 bankruptcy petition (Bankr. S.D. Tex. Case No. 24-90505). Porter Hedges LLP and Jones Day serve as counsel in the new Chapter 11 case. Epiq is the claims agent. Paul Hastings LLP is counsel to the Ad Hoc Committee of Supporting Counsel. Randi S. Ellis is the proposed prepetition legal representative of future claimants. RESEARCH EDUCATION: Edward Burr Named Subchapter V Trustee ---------------------------------------------------------- The U.S. Trustee for Region 17 appointed Edward Burr of Mac Restructuring Advisors, LLC as Subchapter V trustee for Research Education and Access for Community Health. Mr. Burr will be paid an hourly fee of $450 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Burr declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Edward Burr Mac Restructuring Advisors, LLC 10191 E. Shangri La Road Scottsdale, AZ 85260 Phone: (602) 418-2906 Email: Ted@macrestructuring.com About Research Education and Access for Community Research Education and Access for Community Health sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Nev. Case No. 25-10689) on February 6, 2025, listing between $100,001 and $500,000 in assets and between $500,001 and $1 million in liabilities. Judge Mike K. Nakagawa presides over the case. Ryan A. Andersen, Esq., at Andersen Beede Weisenmiller represents the Debtor as legal counsel. RHDM OIL: Case Summary & Seven Unsecured Creditors -------------------------------------------------- Debtor: RHDM Oil, Inc. d/b/a Rosecrans Norwalk 76 12030 Rosecrans Ave. Norwalk, CA 90650 Business Description: RHDM Oil, Inc., operating under the trade name Rosecrans Norwalk 76, is a gasoline service station located in Norwalk, CA, offering fuel and related services to the local community. Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court Central District of California Case No.: 25-11337 Judge: Hon. Neil W Bason Debtor's Counsel: Andrew Bisom, Esq. LAW OFFICE OF ANDREW S. BISOM 300 Spectrum Center Drive, Ste. 400 Irvine, CA 92618 Tel: (714) 643-8900 E-mail: abisom@bisomlaw.com Estimated Assets: $50,000 to $100,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Mohammed Ansari as CEO & CFO. A full-text copy of the petition, which includes a list of the Debtor's seven unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/WFFD2XQ/RHDM_Oil_Inc__cacbke-25-11337__0001.0.pdf?mcid=tGE4TAMA RICHMOND TELEMATICS: Seeks Subchapter V Bankruptcy in Florida ------------------------------------------------------------- On February 18, 2025, Richmond Telematics Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Middle District of Florida. According to court filing, the Debtor reports $1,614,121 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Richmond Telematics Inc. Richmond Telematics Inc., d/b/a Richmond Transmission & Auto Service, located in West Melbourne, FL, is a highly rated automotive repair shop specializing in transmission services. The Company offers a wide range of services including automatic, manual, and continuously variable transmissions, as well as differential, axle, driveshaft, and suspension repairs. Richmond Telematics Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-00907) on February 18, 2025. In its petition, the Debtor reports total assets of $1,216,440 and total liabilities of $1,614,121. Honorable Bankruptcy Judge Lori V. Vaughan handles the case. The Debtor is represented by: Jeffrey S. Ainsworth, Esq. BRANSONLAW, PLLC 1501 E. Concord Street Orlando, FL 32803 Tel: 407-894-6834 E-mail: jeff@bransonlaw.com RKSR INVESTMENTS: Hires Don Quick as Real Estate Broker ------------------------------------------------------- RKSR Investments, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Texas to employ Don Quick & Associates, Inc. as real estate broker. The firm will market and sell the Debtor's real property located at 3000 Glacier Pass Lane, Cedar Park, Williamson County, TX 78613. The firm will market and sell the property for a price of $7 million for a commission of 4 percent which will be reduced to 3 percent if no other broker is involved in the trasaction. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Shelly Morgan Don Quick & Associates, Inc. 1000 N. Interstate 35 Round Rock, TX 786811 Tel: (512) 255-3000 About RKSR Investments, LLC RKSR Investments LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). RKSR Investments LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tex. Case No. 24-11528) on December 2, 2024. In the petition filed by Dr. Narendra Punjabi, as manager, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Shad Robinson oversees the case. The Debtor is represented by Stephen W. Sather, Esq. at BARRON & NEWBURGER, P.C. ROBERT PAUL JOHNSON: Case Summary & Two Unsecured Creditors ----------------------------------------------------------- Debtor: Robert Paul Johnson Properties LLC 5711 Spring Creek Dr Guntersville, AL 35976 Business Description: The Debtor operates a real estate investment business focused on owning, managing, and renting residential properties. The Company's portfolio includes a single-family home in Guntersville, AL, five properties in Grant, AL, and a residential rental property in Madison, AL. Chapter 11 Petition Date: February 20, 2025 Court: United States Bankruptcy Court Northern District of Alabama Case No.: 25-40242 Debtor's Counsel: Tameria S. Driskill, Esq. TAMERIA S. DRISKILL, LLC 246 South 8th Street Gadsden, AL 35901 Tel: (256) 5460-5591 Email: driskill-law@outlook.com Total Assets: $1,367,300 Total Liabilities: $1,432,534 The petition was signed by Robert Paul Johnson as president. A copy of the Debtor's list of two unsecured creditors is available for free on PacerMonitor at: https://www.pacermonitor.com/view/QJE77EI/Robert_Paul_Johnson_Properties__alnbke-25-40242__0002.0.pdf?mcid=tGE4TAMA A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/QNBCTBQ/Robert_Paul_Johnson_Properties__alnbke-25-40242__0001.0.pdf?mcid=tGE4TAMA ROBERT PAUL: Seeks Subchapter V Bankruptcy in Alabama ----------------------------------------------------- On February 21, 2025, Robert Paul Johnson Properties LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Alabama. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Robert Paul Johnson Properties LLC Robert Paul Johnson Properties LLC is a real estate company based in Guntersville, Alabama. Robert Paul Johnson Properties LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ala. Case No. 25-40242) on February 21, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by: Tameria S. Driskill, Esq. Tameria S. Driskill, LLC 246 South 8th Street Gadsden, AL 35901 Phone: 256-504-9773 ROCK N CONCEPTS: Sec. 341(a) Meeting of Creditors on March 19 ------------------------------------------------------------- On February 18, 2025, Rock N Concepts LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of Texas. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will not be available to unsecured creditors. A meeting of creditors under Section 341(a) to be held on March 19, 2025 at 09:00 AM via Telephonic Dial-In Information at https://www.txeb.uscourts.gov/341info. About Rock N Concepts LLC Rock N Concepts LLC is a limited liability company. Rock N Concepts LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-40416) on February 18, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by: Sarah M. Cox, Esq. SPECTOR & COX 12770 Coit Road Suite 850 Dallas TX 75251 Tel: (214) 310-1321 Email: sarah@spectorcox.com ROCKY MOUNTAIN: Wax Asset Management Holds 5.15% Stake ------------------------------------------------------ Wax Asset Management, LLC disclosed in a Schedule 13G/A filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owned 396,189 shares of common stock of Rocky Mountain Chocolate Factory, Inc., representing 5.15% of the shares outstanding. Wax Asset Management, LLC may be reached at: Evan Wax President 265 Turner Drive Durango Co 80202 Tel: (970) 259-0554 A full-text copy of 's SEC Report is available at: https://tinyurl.com/34bdcfku About Rocky Mountain Chocolate Factory Durango, Colo.-based Rocky Mountain Chocolate Factory, Inc. is an international franchisor, confectionery producer, and retail operator. Founded in 1981, the Company produces an extensive line of premium chocolate candies and other confectionery products. As of August 31, 2024, Rocky Mountain Chocolate Factory had $21.1 million in total assets, $10.6 million in total liabilities, and $10.5 million in total shareholders' equity. Going Concern In accordance with ASC 205-40, Going Concern, the Company's management has evaluated whether there are conditions and events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern within one year after the date the accompanying financial statements were issued. During the nine months ended November 30, 2024, the Company incurred a net loss of $3.2 million and used cash in operating activities of $7.8 million. Although the Company paid off the outstanding debt with Wells Fargo at maturity through the issuance of a $6.0 million note payable, the Company still has incurred losses and used cash from operating activities. These factors raise substantial doubts about the Company's ability to continue as a going concern within the next 12 months. RUSH INC: Matthew Brash of Newpoint Named Subchapter V Trustee -------------------------------------------------------------- The U.S. Trustee for Region 11 appointed Matthew Brash of Newpoint Advisors Corporation as Subchapter V trustee for Rush Inc. Mr. Brash will be paid an hourly fee of $415 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Brash declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Matthew Brash Newpoint Advisors Corporation 655 Deerfield Road, Suite 100-311 Deerfield, IL 60015 Tel: (847) 404-7845 About Rush Inc. Rush Inc. operates in the transportation and logistics industry. Rush Inc. filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-01695) on February 3, 2025, listing total assets of $547,000 and total liabilities of $2,241,538. Judge David D. Cleary handles the case. The Debtor is represented by David Freydin, Esq., at the Law Offices of David Freydin, in Skokie, Ill. SANUWAVE HEALTH: AWM Investment Holds 7.1% Equity Stake ------------------------------------------------------- AWM Investment Company, Inc. disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owns 606,061 shares of Common Stock of SANUWAVE Health, Inc., representing 7.1% of the shares outstanding. These shares are held by: * Special Situations Cayman Fund, L.P. (91,948 shares) * Special Situations Fund III QP, L.P. (330,835 shares), * Special Situations Private Equity Fund, L.P. (109,091 shares), and * Special Situations Life Sciences Fund, L.P. (74,187 shares). AWM is the investment adviser to each of the Funds. As the investment adviser to the Funds, AWM holds sole investment power over 91,948 shares of Common Stock of the Company (the Shares) held by CAYMAN, 330,835 Shares held by SSFQP, 109,091 Shares held by SSPE and 74,187 Shares held by SSLS. Greenhouse and Stettner are members of: SSCAY, the general partner of CAYMAN; MGP, the general partner of SSFQP; MG, the general partner of SSPE; and LS, the general partner of SSLS. Greenhouse and Stettner are also controlling principals of AWM. AWM may be reached at: Adam Stettner Executive Vice President 527 Madison Avenue Suite 2600, New York, NY 10022 Tel: 212-319-6670 A full-text copy of AWM's SEC Report is available at: https://tinyurl.com/28yyfywb About SANUWAVE Health Headquartered in Suwanee, Georgia, SANUWAVE Health, Inc. (OTCQB:SNWV) -- http://www.SANUWAVE.com-- is an ultrasound and shock wave technology company using patented systems of noninvasive, high-energy, acoustic shock waves or low intensity and non-contact ultrasound for regenerative medicine and other applications. The Company's focus is regenerative medicine utilizing noninvasive, acoustic shock waves or ultrasound to produce a biological response resulting in the body healing itself through the repair and regeneration of tissue, musculoskeletal, and vascular structures. The Company's two primary systems are UltraMIST and PACE. UltraMIST and PACE are the only two Food and Drug Administration (FDA) approved directed energy systems for wound healing. New York, NY-based Marcum LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated March 21, 2024, citing that the Company has incurred recurring losses and needs to raise additional funds to meet its obligations, sustain its operations, and to resolve the events of default on the Company's debt. These conditions raise substantial doubt about the Company's ability to continue as a going concern. SANUWAVE Health reported a net loss of $25.81 million for the year ended Dec. 31, 2023, compared to a net loss of $10.29 million for the year ended Dec. 31, 2022. As of September 30, 2024, SANUWAVE Health had $21.8 million in total assets, $82.1 million in total liabilities, and $60.3 million in total stockholders' deficit. SEBASTIAN HABIB: To Sell 25 Land Parcels to TCNC Capital for $4.2MM ------------------------------------------------------------------- Sebastian Habib LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta Division, to sell Property free and clear of liens or interests. The Debtor wants to sell a total of 25 parcels of real property to TCNC Capital LLC, its successors and/ or assigns for the purchase price of $4,200,000. The properties are as follows: a. 1758 Dunlap Avenue, East Point, Georgia 30344. Currently, the only outstanding lien on 1758 Dunlap is held by U.S. Bank N.A. as Trustee in the amount of $110,000.00. b. 2701 Flintlock Place, Austell, Georgia 30106. Currently, the only outstanding liens on 2701 Flintlock are held by U.S. Bank in the amount of $120,000.00; and Sweetwater Valley Condominium Association Inc. in the amount of $4,555.64. c. 5038 Austell Powder Springs Road, Austell, Georgia 30106. Currently the only outstanding lien on 5038 Austell is held by U.S. Bank in the amount of $132,800.00. d. 5034 Austell Powder Springs Road, Austell, Georgia 30106. Currently, the only outstanding lien on 5034 Austell is held by U.S. Bank in the amount of $133,600.00. e. 2764 Whitewater Court, Austell, Georgia 30106. Currently, the only outstanding liens on 2764 Whitewater are held by U.S. Bank in the amount of $70,400.00; and Sweetwater in the amount of $7,985.52. f. 2324 Nelms Drive SW, Atlanta, Georgia 30315. Currently, the only outstanding lien on 2324 Nelms Drive is held by Wilmington Savings Fund Society, FSB in the amount of $105,000.00. g. 2231 Nelms Drive SW, Atlanta, Georgia 30315. Currently, the only outstanding lien on 2231 Nelms Drive is held by Wilmington Savings in the amount of $85,000.00. h. 1744 Nathan Lane, Austell, Georgia 30106. Currently, the only outstanding lien on 1744 Nathan Lane is held by Wilmington Savings in the amount of $190,000.00. i. 6286 Lobelia Drive, Mableton, Georgia 30126. Currently, the only outstanding lien on 6286 Lobelia is held by Wilmington Savings in the amount of $156,000.00. j. 950 Lake Drive, Snellville, Georgia 30039. Currently, the only outstanding liens on 950 Lake Drive are held by Wilmington Savings in the amount of $265,000.00; and Norris Lake Community Benefits Corporation in the amount of $1,032.60. k. 2206 Clay Road, Austell, Georgia 30106. Currently, the only outstanding lien on 2206 Clay Road is held by Wilmington Savings in the amount of $106,000.00. l. 865 Old Rocky Road SW, College Park, Georgia 30349. Currently, the only outstanding lien on 865 Old Rocky Road is held by Wilmington Savings in the amount of $153,000.00. m. 1905 Connally Drive, East Point, Georgia 30344. Currently, the only outstanding lien on 1905 Connally is held by Wilmington Savings in the amount of $100,000.00. n. 7085 Winkfield Place, College Park, Georgia 30349. Currently, the only outstanding lien on 7085 Winkfield is held by Wilmington Savings in the amount of $100,000.00. o. 2610 Northfield Court, College Park, Georgia 30349. Currently, the only outstanding lien on 2610 Northfield is held by Wilmington Savings in the amount of $100,000.00. p. 2274 Nelms Drive SW, Atlanta, Georgia 30315. Currently, the only outstanding lien on 2274 Nelms Drive is held by Wilmington Savings in the amount of $170,000.00. q. 6405 Kensington Court, Austell, Georgia 30106. Currently, the only outstanding lien on 6405 Kensington is held by Lima One Capital, LLC in the amount of $128,000.00. r. 6240 Humphries Hill Road, Austell, Georgia 30106. Currently, the only outstanding lien on 6240 Humphries Hill is held by Lima One in the amount of $130,000.00. s. 2330 Nelms Drive SW, Atlanta, Georgia 30315. Currently, the only outstanding lien on 2330 Nelms Drive is held by Toorak Capital Partners, LLC in the amount of $100,000.00. t. 3655 Sulene Drive, College Park, Georgia 30349. Currently, the only outstanding lien on 3655 Sulene is held by Goldman Sachs Mortgage Company in the amount of $170,000.00. u. 4140 Huntcliff Drive, Woodstock, Georgia 30189. Currently, the only outstanding lien on 4140 Huntcliff is held by Goldman Sachs in the amount of $260,000.00. v. 2318 Nelms Drive SW, Atlanta, Georgia 30315. Currently, the only outstanding lien on 2318 Nelms Drive is held by Churchill Funding I, LLC in the amount of $120,000.00. w. 91 Park Avenue, Mableton, Georgia 30126. 91 Park Ave is owned solely by Debtor’s sole member and manager, Mohammad Hariri. Debtor manages 91 Park Ave and rents it to tenants on behalf of Mr. Hariri. 91 Park Ave is being included in the sale with the Debtor’s Properties. x. 0 Nelms Drive, Atlanta, Georgia 30315. 0 Nelms Drive is owned solely by Debtor’s sole member and manager Mohammad Hariri and is being included in the sale with Debtor’s Properties. y. 6580 Woodford Road, College Park, Georgia 30349. Currently, the only outstanding liens on 6580 Woodford are held by Investa Services LLC in the amounts of $267.64; and $1,143.22. The Debtor believes the completion of the sale of the Properties is in the best interest of the estate and its creditors. About Sebastian Habib LLC Sebastian Habib LLC is a domestic limited liability company headquartered in Woodstock, Georgia. Sebastian Habib LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 25-50148) on January 6, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Lisa Ritchey Craig handles the case. Adam E. Ekbom, Esq. of Jones & Walden LLC represents the Debtor as counsel. SEBASTIAN TECH: Unsecureds Will Get 39.55% of Claims over 5 Years ----------------------------------------------------------------- Sebastian Tech Systems LLC, filed with the U.S. Bankruptcy Court for the Eastern District of Arkansas a Plan of Reorganization dated February 11, 2025. The Debtor is a Virginia limited liability company that engages in IT and technology services to private businesses and federal government agencies throughout the United States. The Debtor began struggling in 2020, when the COVID-19 pandemic began, and business slowed down. Debtor had to take on more debt to stay afloat, and eventually was unable to make its obligations to its creditors. Debtor tried working with every creditor when its financial problems began. In an effort to deal with cash flow struggles, the Debtor took on debts from merchant cash advance creditors, which intensified its debt obligations. Such creditors initiated collection efforts, including notifying Debtor's largest customers to pay accounts receivables to such creditors. which necessitated the filing of this case. The Plan Proponent's financial projections show that the Debtor will have projected disposable income of $500,000, resulting in a 39.55% distribution to unsecured creditors. This Plan provides for 7 classes. Unsecured creditors holding allowed claims will be paid $600,000.00, which is 39.55% of allowed aggregated unsecured claims totaling $1,517,057.36 over five years from the effective date of the Plan with no interest. Class 7 consists solely of Debtor's allowed general unsecured, non priority, undisputed, non-insider claims in the aggregate amount of $1,517,057.36. This class shall be paid consists solely of Debtor's timely filed allowed general unsecured, non-priority, undisputed, non-insider, claims in the estimated aggregate amount of $1,517,057.36. Payments shall begin on the first day of the ninth month following the effective date of the Plan and shall be made yearly thereafter until five payments are made. In the event sufficient cash flows are not available for any given due date, distributions will be made as soon as possible based on Debtor's cash flow, but a total distribution to this class will be a total of $600,000 over 5 years. Payments will be made quarterly over the life of the Plan beginning June 30, 2025, and continuing quarterly over the life of the plan. This Class is impaired. The Debtor will continue its current business operations and payments will be made from cash flow from operations and/or future income. A full-text copy of the Plan of Reorganization dated February 11, 2025 is available at https://urlcurt.com/u?l=Kw5Xjw from PacerMonitor.com at no charge. Counsel to the Debtor: Kevin P. Keech, Esq. Keech Law Firm, PA 2011 S. Broadway St. Little Rock, AR 72206 Tel: (501) 221-3200 Fax: (501) 221-3201 Email: kkeech@keechlawfirm.com About Sebastian Tech Systems Sebastian Tech Systems, LLC owns and operates an IT Service company in Jonesboro, Ark. Sebastian Tech Systems sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Ark. Case No. 24-13722) on Nov. 13, 2024, with up to $500,000 in assets and up to $10 million in liabilities. Meg Sebastian, managing member, signed the petition. Judge Phyllis M. Jones oversees the case. Kevin P. Keech, Esq., at Keech Law Firm, PA, is the Debtor's bankruptcy counsel. SELECTIS HEALTH: Sells Four Nursing Facilities for $27-Mil. ----------------------------------------------------------- Selectis Health, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that effective on February 7, 2025, the Company caused three of its wholly-owned subsidiaries Global Abbeville Property, LLC, Dodge NH, LLC, and ATL/WARR, LLC, each a Georgia limited liability company, to execute and deliver a definitive Purchase and Sale Agreement with the purchaser, Abbeville Propco Holdco, LLC, a Delaware limited liability company; and also caused a fourth subsidiary, Providence HR, LLC, a Georgia limited liability company, to execute and deliver an additional Purchase and Sale Agreement with the Purchaser. Pursuant to both PSAs, each Seller agreed to sell substantially all of the real and personal property owned by each, namely the skilled nursing facilities located at: (i) 206 Main Street East, Abbeville, Georgia, 31001, upon which is located that certain 101-bed skilled nursing facility commonly known as "Glen Eagle Healthcare & Rehab", (ii) 556 Chester Highway, Eastman, Georgia, 31023, upon which is located that certain 100-bed skilled nursing facility commonly known as "Eastman Healthcare & Rehab", (iii) 60 Providence Street, Sparta, Georgia, 31087, upon which is located that certain 71-bed skilled nursing facility commonly known as "Providence of Sparta Health and Rehabilitation", and (iv) 813 Atlanta Highway, Warrenton, Georgia, 30828, upon which is located that certain 110-bed skilled nursing facility commonly known as "Warrenton Health and Rehabilitation" The Sparta Facility was covered under a separate PSA to reflect the Purchaser's desire and intent to assume the HUD loan secured by the Sparta Facility. The purchase price to be paid by Purchaser for the four Facilities under the two PSAs is an aggregate of $27.0 million, subject to certain prorations, holdbacks and adjustments customary in transactions of this nature. The Facilities are operated by separate, wholly-owned subsidiaries of the Company, namely Global Abbeville, LLC, a Georgia limited liability company, Global Eastman, LLC, a Georgia limited liability company, Selectis Sparta, LLC, a Georgia limited liability company, and Selectis Warrenton, LLC, a Georgia limited liability company. Concurrently with the execution of the PSA, the Company caused three of the Existing Operators to execute Operations Transfer Agreement with a new entity affiliated with the Purchaser, Abbeville Opco Holdco LLC, a Delaware limited liability company and also cause the Existing Operator Selectis Sparta, LLC to execute an OTA with Sparta Opco Holdcso LLC, a Delaware limited liability company. If consummated, of which there can be no assurance, the OTA will govern the transfer of the skilled nursing operations from the Existing Operators to the New Operators. In connection with the PSA, the Company's three wholly-owned subsidiaries Global Abbeville Property, LLC, Dodge NH, LLC, and ATL/WARR, LLC, each a Georgia limited liability company, Abbeville Propco Holdco LLC, a Delaware limited liability company, and Landmark Abstract Agency, LLC, entered into an Escrow Agreement dated February 7, 2025 whereby the Purchaser delivered or will deliver to Escrow Agent an initial deposit of $500,000. The Initial Deposit and any other sums deposited in escrow by Purchaser under the PSA, will be held by the Escrow Agent, together with any interest and dividends earned thereon, if any. About Selectis Health Headquartered in Greenwood Village, Colo., Selectis Health, Inc. owns and operates, through wholly-owned subsidiaries, Assisted Living Facilities, Independent Living Facilities, and Skilled Nursing Facilities across the South and Southeastern portions of the US. In 2019, the Company shifted from leasing long-term care facilities to third-party, independent operators towards an owner operator model. As of Sept. 30, 2024, Selectis Health had $33.93 million in total assets, $38.76 million in total liabilities, and a total stockholders' deficit of $4.83 million. For the nine months ended September 30, 2024, the Company had negative operating cash flows of $1,401,076 and negative net working capital of $16.7 million. As a result of its losses and its projected cash needs, substantial doubt exists about the Company's ability to continue as a going concern. SIGNAL RELIEF: Amends Unsecured Claims Pay Details -------------------------------------------------- Signal Relief, Inc., submitted a First Amended Plan of Reorganization dated February 11, 2025. Broadly speaking, the Debtor's Plan proposes to pay holders of Allowed Claims $60,000 per month for a period of five years, which will be distributed to such holders on a pro rata basis as provided in this Plan, to be distributed on a Quarterly Basis. Although the Debtor does not have precise projections, the Debtor anticipates most of its Plan Payments will be paid to holders of Class 2 General Unsecured Claims. The Debtor also anticipates that the Subchapter V Trustee will have an Administrative Expense Claim between $5,000 to $10,000. The Estate is subject to a Class 1 Priority Claim of nCAP in an amount between $200,000 to $400,000. However, the Debtor has commenced an adversary proceeding against nCAP and its principals and will object to nCAP's Claim and anticipates seeking a substantial reduction thereof. If the Debtor's challenges are successful and Administrative Expense Claims do not substantially increase, most of the Debtor's Plan Payments are anticipated to be distributed to Class 2 Claims beginning as soon as the Initial Distribution Date. If the Debtor is unsuccessful in objecting to nCAP's Claims, or if Administrative Expense Claims substantially increase, then distributions to Class 2 Claims will be delayed accordingly. The Debtor has approximately $1,050,000 in cash on hand as of the date of this Plan. Debtor's cash on hand fluctuates depending on the costs of producing, marketing, and shipping its Patches. Furthermore, sales of Patches are seasonal with more products sold in the colder months than in the warmer ones. The Debtor's cash flows have grown exponentially over the past twelve months and have quadrupled. Debtor believes that its growth will continue, which will continue to be an asset for its creditors and shareholders if it is allowed to continue to operate unfettered. Accordingly, the Debtor believes that the realizable value from any Avoidance Action against the listed transferees are limited, especially taking into account the cost of professionals' fees to pursue such Avoidance Actions. The Debtor places a value of $235,460.00, or ten percent of the total transfer amount. The Debtor's business operation is generating enough cash to pay all creditors in full. As such, any avoidance would likely be repaid through the Plan, and the only party to benefit is the attorneys' bringing and defending these actions. Class 2 consists of General Unsecured Claims. he holders of Allowed Class 2 Claims shall be paid pro rata from Plan Payments. Plan Payments will be paid, first, to the holders of Allowed claims having greater priority in distribution, if any. Class 2 Claims shall be paid in full through the Plan. Class 2 is impaired. On the Effective Date, all assets of the Debtor's estate, including all real and personal property, all Causes of Action, interests, claims, choses in action, and rights under any contracts (executory or otherwise), against any person will re vest and be transferred to the post-Effective Date Debtor. The Debtor will remain in possession of all other assets, including its business and will continue to sell its products through its existing marketing channels while seeking to incrementally increase its sales through a measured growth model that emphasizes profitability. From and after the Effective Date, the Debtor shall exist and continue to exist as a separate legal entity, with all powers in accordance with the laws of the State of Delaware and shall be governed by the pre-Petition Date bylaws and corporate governing documents. The Debtor shall have all of the powers of such a legal entity under applicable law and without prejudice to any right to alter or terminate such existence (whether by merger, conversion, dissolution or otherwise) under applicable law. A full-text copy of the First Amended Plan dated February 11, 2025 is available at https://urlcurt.com/u?l=rqsbYr from PacerMonitor.com at no charge. Attorneys for the Debtor: J. Thomas Beckett, Esq. Darren Neilson, Esq. PARSONS BEHLE AND LATIMER 201 S. Main Street Suite 1800 Salt Lake City UT 84111 Telephone: (801) 532-1234 Facsimile: (801) 536-6111 Email: TBeckett@parsonsbehle.com DNeilson@parsonsbehle.com About Signal Relief Signal Relief, Inc., is a manufacturer of a pain relief patch that reduces pain by focusing on the body's electrical impulses. Signal Relief, Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Utah Case No. 24-22947) on June 14, 2024, listing $1,198,072 in assets and $3,341,600 in liabilities. The petition was signed by Daniel Marirott as CEO. Judge Joel T. Marker presides over the case. The Debtor tapped Darren Neilson, Esq., at Parsons Behle and Latimer as counsel and Tanner LLC, doing business as Tanner Accountants & Advisors, as tax preparer and accountants. SIGNIA LTD: Seeks to Extend Plan Exclusivity to June 17 ------------------------------------------------------- Signia, Ltd., asked the U.S. Bankruptcy Court for the District of Colorado to extend its exclusivity periods to file a plan of reorganization and obtain acceptance thereof to June 17 and August 14, 2025, respectively. The Debtor seeks to extend the Exclusive Period and the Solicitation Period for 120 days, without prejudice to seeking further extensions if circumstances require it. Here, several factors favor granting the requested extension: * First, good faith progress has been made towards reorganization. The initial plan and an accompanying disclosure statement were filed within 120 days of the Petition Date. There is a pending, but contested, motion seeking approval of a settlement agreement with certain parties that, if approved, would reduce unsecured claims in the case by $1.85 million. In addition, the Debtor succeeded in negotiating a consensual cash collateral order and a consensual DIP financing order and is in negotiations with the Colorado Department of Revenue regarding its tax reporting and withholding obligations. * Second, the filed First Amended Plan is a viable reorganization plan that addresses pre-petition claims while also providing a path forward for continued operations. * Third, the Debtor is paying its bills as they come due, timely filing its monthly operating reports, and operating in compliance with its approved DIP financing agreement. * Fourth, there are complexities to this case, primarily centering on disputes between the Debtor and judgment creditors Male Excel Medical, P.A. and Male Excel, Inc. (together "Male Excel") over ownership of various litigation claims and whether Male Excel has violated the automatic stay. * Fifth, the Debtor is not seeking an extension to pressure creditors. Signia, Ltd., is represented by: David V. Wadsworth, Esq. Aaron J. Conrardy, Esq. Wadsworth Garber Warner Conrardy, P.C. 2580 West Main Street, Suite 200 Littleton, CO 80120 Tel: (303) 296-1999 Fax: (303) 296-7600 Email: dwadsworth@wgwc-law.com aconrardy@wgwc-law.com About Signia, Ltd. SIGNIA provides the full spectrum of customer service and care from order and payment processing to customer inquiries and timely follow-up to Tier 1 support. Signia, Ltd., filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. 24-13438) on June 20, 2024, listing $507,431 in assets and $10,081,009 in liabilities. The petition was signed by Jeffrey Fell as CEO. Judge Thomas B. Mcnamara presides over the case. David V. Wadsworth, Esq. at WADSWORTH GARBER WARNER CONRARDY, P.C. represents the Debtor as counsel. SINCLAIR BROADCAST: Issues $1.43-Bil First Lien Notes in Debt Recap ------------------------------------------------------------------- As previously disclosed, Sinclair Television Group, Inc. and certain affiliated entities, including its direct parent, Sinclair Broadcast Group, LLC, entered into a Transaction Support Agreement with certain of STG's secured creditors, including lenders holding term loans under STG's existing credit facilities governed by STG's existing bank credit agreement and various holders of STG's outstanding 4.125% Senior Secured Notes due 2030, on the principal terms of new money financings and a debt recapitalization to strengthen the Company's balance sheet and better position it for long-term growth. In connection with the Transaction Support Agreement, STG consummated the following transactions: First-Out First Lien Notes Offering and Indenture On February 12, STG issued $1,430 million aggregate principal amount of 8.125% First-Out First Lien Secured Notes due 2033 (the "New First-Out Notes"), which mature on February 15, 2033, pursuant to an indenture, dated as of February 12 (the "First-Out Notes Indenture") by and among STG and the other guarantors identified therein and U.S. Bank Trust Company, National Association, as trustee and collateral trustee for the New First-Out Notes. The net proceeds from the private placement of the New First-Out Notes, plus cash on hand were, or will be, used to repay $1,175 million aggregate principal amount of outstanding term loans B-2 under the Existing Credit Agreement, to consummate the AHG Notes Repurchase, and to pay related fees and expenses related to the Transactions. The New First-Out Notes were priced at 100.0% of their principal value and bear interest at a rate of 8.125% per annum payable semi-annually on February 15 and August 15, commencing August 15. Prior to February 15, 2028, STG may redeem the New First-Out Notes, in whole or in part, at any time or from time to time at a price equal to 100% of the principal amount of the New First-Out Notes, plus accrued and unpaid interest, if any, to the redemption date, plus a "make-whole" premium as set forth in the First-Out Notes Indenture. On or prior to February 15, 2028, STG may redeem up to 40% of the aggregate principal amount of the New First-Out Notes (including the aggregate principal amount of any additional New First-Out Notes issued after the original issue date of the New First-Out Notes) at a price equal to 108.125% of the principal amount of the New First-Out Notes, plus accrued and unpaid interest, if any, to, but not including, the date of redemption using the proceeds of certain equity offerings. In addition, prior to February 15, 2028, STG may redeem the New First-Out Notes, in whole but not in part, at a redemption price equal to 108.125% of the principal amount of the New First Out Notes, plus accrued and unpaid interest, if any, to, but not including, the redemption date upon certain change of control transactions or certain significant acquisitions. STG's obligations under the New First-Out Notes, as set forth in the First-Out Notes Indenture, are secured on a first priority basis by substantially all tangible and intangible personal property of STG and the guarantors securing STG's and each such guarantor's obligations under the New Credit Agreement (which security interest, in the case of the grant by SBG, is limited to its right, title and interest in the equity interests of STG and each designated SBG subsidiary, if any) and on a pari passu basis with all of STG's and such guarantors' existing and future indebtedness that is secured by a first priority lien on the collateral securing the New First-Out Notes, including, the Exchange Second-Out Notes and the indebtedness under the New Credit Agreement, subject to permitted liens and certain other exceptions, provided that the New First-Out Notes are effectively senior to all existing and future "second-out" priority indebtedness to the extent of the value of the collateral securing the New First-Out Notes and the payment priorities provided under a collateral trust agreement. The First-Out Notes Indenture contains certain restrictive covenants including, but not limited to, restrictions on indebtedness, liens, restricted payments, investments, mergers, consolidations, sales and other dispositions of assets and affiliate transactions. These covenants are subject to a number of exceptions and limitations as described in the First Out Notes Indenture. The First-Out Notes Indenture also includes events of default, including certain cross-default and cross-acceleration provisions with other debt of STG, customary for an agreement of its type. The New First-Out Notes have not been registered under the Securities Act of 1933, as amended, or any state securities law. Absent registration, the New First-Out Notes currently may be sold only pursuant to an applicable exemption from the requirements for registration. The offering of the New First-Out Notes was made only to "qualified institutional buyers" (as defined in Rule 144A under the Securities Act) and, outside the United States, to non-U.S. persons in compliance with Regulation S under the Securities Act. There are no registration rights associated with the New First-Out Notes. Seventh Amendment to Seventh Amended and Restated Credit Agreement In connection with the Transactions, STG and SBG entered into a Seventh Amendment, dated February 12, to its Existing Credit Agreement, with the guarantors party thereto, the lenders party thereto, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, CSC Delaware Trust Company, as successor administrative agent and collateral agent, and JPMorgan Chase Bank, N.A. (as successor to Chase Lincoln First Commercial Corporation), as swingline lender and each of lenders from time to time party thereto, providing for, among other things, the subordination of liens held by lenders under the Existing Credit Agreement who did not participate in or consent to the Term Loan Exchanges or the RCF Exchange to third lien obligations, and the elimination of substantially all covenants, certain of the events of default and related definitions contained therein. New Credit Agreement and First Lien Credit Facilities On February 12, STG and SBG entered into an up to $575.0 million aggregate principal amount first-out first lien revolving credit facility, including a letter of credit sub-facility and a swing-line sub-facility pursuant to the terms of a new credit agreement with the issuing banks and lenders party thereto, JPMorgan Chase Bank, N.A., as administrative agent, and U.S. Bank Trust Company, National Association, solely as collateral trustee. In connection with the Transactions, STG provided all eligible lenders of revolving loans and commitments outstanding under the Existing Revolving Credit Facility the opportunity to participate in or consent to the First-Out Revolving Credit Facility. Lenders of $75.0 million aggregate principal amount of revolving loans and commitments outstanding under the Existing Credit Agreement did not participate in or consent to the RCF Exchange. As a result, such obligations are ranked as third lien obligations under the Amended Credit Agreement. In addition, STG provided the lenders of outstanding term loans B-3 and outstanding term loans B-4 under the Existing Credit Agreement the opportunity to refinance and/or exchange such TLB-3 Term Loans into second-out first lien term loans B-6 maturing December 31, 2029 and such TLB-4 Term Loans into second-out first lien term loans B-7 maturing December 31, 2030, in each case under the New Credit Agreement on a dollar-for-dollar basis, with accrued and unpaid interest on the TLB-3 Term Loans and the TLB-4 Term Loans paid in cash. On February 12, lenders of approximately $711.4 million and $731.3 million aggregate principal amount of outstanding TLB-3 Term Loans and TLB-4 Term Loans, respectively, under the Existing Credit Agreement elected to refinance and/or exchange such term loans into TLB-6 Term Loans and TLB-7 Term Loans, respectively, under the New Credit Agreement, consisting of: (i) approximately $711.4 million aggregate principal amount of TLB-6 Term Loans and (ii) approximately $731.3 million aggregate principal amount of TLB-7 Term Loans. The remaining approximately $2.7 million of TLB-3 Term Loans held by lenders that did not participate in or consent to the exchange into TLB-6 Term Loans are ranked as third lien obligations under the Amended Credit Agreement. Borrowings under the First Lien Credit Facilities bear interest at a rate per annum equal to, at STG's option, either: (i) a base rate, which is subject to an interest rate floor of, in the case of TLB-6 Term Loans and TLB-7 Term Loans, 0.00% per annum, and in the case of the First-Out Revolving Credit Facility, 1.00% per annum, plus a margin of, 2.30% (in the case of the TLB-6 Term Loans), 3.10% (in the case of the TLB-7 Term Loans), or 1.00% (in the case of the First-Out Revolving Credit Facility) or (ii) a SOFR (or successor) rate, which is subject to an interest rate floor of 0.00% per annum, plus a margin of, 3.30% (in the case of the TLB-6 Term Loans), 4.10% (in the case of the TLB-7 Term Loans), or 2.00% (in the case of the First-Out Revolving Credit Facility). STG's obligations under the First-Out Revolving Credit Facility are secured on a first priority basis by substantially all tangible and intangible personal property of STG, the designated SBG subsidiaries, and each wholly-owned material restricted subsidiary of STG that is directly held by STG or a subsidiary guarantor (which security interest, in the case of the grant by SBG, is limited to its right, title and interest in the equity interests of STG and each designated SBG subsidiary, if any) and on a pari passu basis with all of STG's and such guarantors' existing and future indebtedness that is secured by a first priority lien on the collateral securing the First-Out Revolving Credit Facility, including, the New First-Out Notes, the Second-Out Term Loan Facility and the Exchange Second-Out Notes, subject to permitted liens and certain other exceptions, provided that the First-Out Revolving Credit Facility is effectively senior to all existing and future "second-out" priority indebtedness to the extent of the value of the collateral securing the First-Out Revolving Credit Facility and the payment priorities provided under a collateral trust agreement. STG's obligations under Second-Out Term Loan Facility, are secured on a first priority, "second-out" basis by substantially all tangible and intangible personal property of STG, the designated SBG subsidiaries, and each wholly-owned material restricted subsidiary of STG that is directly held by STG or a subsidiary guarantor (which security interest, in the case of the grant by SBG, is limited to its right, title and interest in the equity interests of STG and each designated SBG subsidiary, if any) and on a pari passu basis with all of STG's and such guarantors' existing and future indebtedness that is secured by a first priority lien on the collateral securing the Second-Out Term Loan Facility, including, the New First-Out Notes, the First-Out Revolving Credit Facility and the Exchange Second-Out Notes, subject to permitted liens and certain other exceptions, provided that the Second-Out Term Loan Facility is effectively subordinated to all existing and future "first-out" priority indebtedness, and the payment priorities as provided under a collateral trust agreement. The First Lien Credit Facilities contain customary affirmative covenants including, among others: delivery of annual audited and quarterly unaudited financial statements; delivery of notices of defaults, material litigation and material ERISA events; submission to certain inspections; maintenance of property and customary insurance; payment of taxes; and compliance with laws and regulations. The First Lien Credit Facilities also contain customary negative covenants that, subject to certain exceptions, qualifications and "baskets," generally limit the ability of STG and its restricted subsidiaries to incur debt, create liens, make fundamental changes, enter into asset sales, make certain investments, pay dividends or distribute or redeem certain equity interests and prepay or redeem certain debt. The First-Out Revolving Credit Facility includes a financial maintenance covenant, which requires the first-out first lien leverage ratio not to exceed 3.5x, measured as of the end of each fiscal quarter, which is only applicable if more than 35% of the capacity (as a percentage of total commitments) under the First-Out Revolving Credit Facility, measured as of the last day of each fiscal quarter, is utilized as of such date. Exchange Offer and Consent Solicitation; Supplemental Indenture to Existing 2030 Notes; Exchange Second-Out Notes and Indenture As previously announced, on January 27, STG commenced: (i) an exchange offer of new 4.375% Second-Out First Lien Secured Notes due 2032 for any and all of STG's outstanding Existing 2030 Notes and (ii) a consent solicitation with respect to the Amendments on the terms and subject to the conditions set forth in a Confidential Offering Memorandum, Offer to Exchange and Consent Solicitation Statement, as amended and supplemented by Supplement No. 1 dated January 30. Prior to the launch of the Exchange Offer and Consent Solicitation, STG obtained commitments to consent to the Amendments from the holders of over two-thirds (66 2/3%) in aggregate principal amount of outstanding Existing 2030 Notes not owned by STG or any of its affiliates required to adopt the Amendments with respect to the Existing 2030 Notes. The Existing 2030 Notes were issued pursuant to an indenture, dated as of December 4, 2020, among STG, the guarantors listed therein, and U.S. Bank Trust Company, National Association (formerly known as U.S. Bank National Association), as trustee and collateral agent (as amended and supplemented by a Supplemental Indenture No. 1 dated as of March 15, 2021, a Supplemental Indenture No. 2 dated as of June 16, 2022 and a Supplemental Indenture No. 3 dated as of May 30, 2024, the "Existing 2030 Indenture"). Pursuant to the Exchange Offer and Consent Solicitation, STG obtained the Requisite Consents to adopt the proposed Amendments with respect to the Existing 2030 Notes. On February 10, STG and the guarantors party thereto entered into a Supplemental Indenture No. 4 to the Existing 2030 Indenture providing for certain amendments to the Existing 2030 Indenture. The Amendments, among other things, (i) eliminate substantially all of the restrictive covenants and certain of the events of default and related definitions contained in the Existing 2030 Indenture, (ii) permit STG to consummate the Transactions and (iii) provide for the release and termination of the liens on the collateral securing the Existing 2030 Notes that remain outstanding following completion of the Exchange Offer. Holders of Existing 2030 Notes who do not tender prior to the expiration time of the Exchange Offer, which is expected to occur at 11:59 pm, New York City time, on March 7, will continue to hold Existing 2030 Notes under the Existing 2030 Indenture, as amended and supplement by the Supplemental Indenture. As amended and supplemented, such Existing 2030 Notes will become unsecured obligations of STG. The Supplemental Indenture was effective immediately upon execution thereof, and the Amendments became operative on February 12, the date when the Existing 2030 Notes that have been validly tendered (and not validly withdrawn) prior to the Early Tender Time were accepted for exchange in accordance with the terms of the Statement. On February 12, STG issued approximately $267.2 million aggregate principal amount of Exchange Second-Out Notes pursuant to an indenture, dated as of February 12, by and among STG and the other guarantors identified therein and U.S. Bank Trust Company, National Association, as trustee and collateral trustee for the Exchange Second-Out Notes. A cash payment was made to holders of Existing 2030 Notes accepted for exchange in connection with accrued interest on such Existing 2030 Notes. The Exchange Second-Out Notes bear interest at a rate of 4.375% per annum, payable semi-annually on June 1 and December 1 of each year, beginning on June 1. The Exchange Second-Out Notes mature on December 31, 2032. Prior to December 1, STG may redeem the Exchange Second-Out Notes, in whole or in part, at any time or from time to time, at a price equal to 100.0% of the principal amount of the Exchange Second-Out Notes plus accrued and unpaid interest, if any, to the date of redemption, plus a ''make-whole'' premium as set forth in the Second-Out Notes Indenture. In addition, beginning on December 1, STG may redeem some or all of the Exchange Second-Out Notes at any time or from time to time at the redemption prices set forth in the Second-Out Notes Indenture, plus accrued and unpaid interest, if any, to, but not including, the redemption date. Upon the sale of certain of STG's assets or certain changes of control, STG may be required to offer to repurchase some or all of the Exchange Second-Out Notes. STG's obligations under the Exchange Second-Out Notes, as set forth in the Second-Out Notes Indenture, are secured on a first priority, "second-out" basis by substantially all tangible and intangible personal property of STG and the guarantors securing STG's and each such guarantor's obligations under the New Credit Agreement which security interest, in the case of the grant by SBG, is limited to its right, title and interest in the equity interests of STG and each designated SBG subsidiary, if any) and on a pari passu basis with all of STG's and such guarantors' existing and future indebtedness that is secured by a first priority lien on the collateral securing the Exchange Second-Out Notes, including, the New First-Out Notes and the indebtedness under the New Credit Agreement, subject to permitted liens and certain other exceptions, provided that the Exchange Second-Out Notes are effectively subordinated to all existing and future "first-out" priority indebtedness, and the payment priorities as provided under a collateral trust agreement. The Second-Out Notes Indenture contains certain restrictive covenants including, but not limited to, restrictions on indebtedness, liens, payments, investments, mergers, consolidations, liquidations and dissolutions, acquisitions, sales and other dispositions of assets and affiliate transactions. These covenants are subject to a number of exceptions and limitations as described in the Second-Out Notes Indenture. The Second-Out Notes Indenture also includes events of default, including certain cross default and cross-acceleration provisions with other debt of STG, customary for agreements of this type. The Exchange Second-Out Notes have not been registered under the Securities Act or any state securities law. Absent registration, the Exchange Second-Out Notes currently may be sold only pursuant to an applicable exemption from the requirements for registration. The offering of the Exchange Second-Out Notes was made only to "qualified institutional buyers" (as defined in Rule 144A under the Securities Act) and, outside the United States, to non-U.S. persons in compliance with Regulation S under the Securities Act. There are no registration rights associated with the Exchange Second-Out Notes. Private Debt Repurchase In connection with the Transactions, STG agreed to repurchase or redeem for cash approximately $63.6 million aggregate principal amount of Existing 2030 Notes at 84% of the principal amount thereof and approximately $104.0 million aggregate principal amount of STG's 5.125% Senior Unsecured Notes due 2027 at 97% of the principal amount thereof, each together with any accrued and unpaid interest, held by certain parties to the Transaction Support Agreement. Certain of these repurchases occurred on February 12. The repurchases that remain are expected to occur as soon as practicable following the closing of the Transactions. Private Exchange Offer; New Second Lien Notes and Indenture STG agreed to issue to certain holders of the Existing 2030 Notes party to the Transaction Support Agreement $432 million aggregate principal amount of STG's 9.750% Senior Secured Second Lien Notes due 2033 in exchange for $432 million aggregate principal amount of Existing 2030 Notes, with accrued and unpaid interest on the exchanged amount of Existing 2030 Notes paid in cash. Certain of these exchanges occurred on February 12. The remaining exchanges are expected to occur over the next three weeks, as previously agreed with such holders. The New Second Lien Notes were issued pursuant to an indenture, dated as of February 12 by and among STG and the other guarantors identified therein and U.S. Bank Trust Company, National Association, as trustee and collateral trustee for the New Second Lien Notes. The New Second Lien Notes bear interest at a rate of 9.750% per annum, payable semi-annually on February 15 and August 15 of each year, beginning on August 15. The New Second Lien Notes mature on February 15, 2033. Prior to February 15, 2027, STG may redeem the New Second Lien Notes, in whole or in part, at any time or from time to time at a price equal to 100% of the principal amount of the New Second Lien Notes, plus accrued and unpaid interest, if any, to the redemption date, plus a "make-whole" premium as set forth in the Second Lien Notes Indenture. On or prior to February 15, 2027, STG may redeem up to 40% of the aggregate principal amount of the New Second Lien Notes (including the aggregate principal amount of any additional New Second Lien Notes issued after the original issue date of the New Second Lien Notes) at a price equal to 109.750% of the principal amount of the New Second Lien Notes, plus accrued and unpaid interest, if any, to, but not including, the date of redemption using the proceeds of certain equity offerings. In addition, prior to February 15, 2027, STG may redeem the New Second Lien Notes, in whole but not in part, at a redemption price equal to 109.750% of the principal amount of the New Second Lien Notes, plus accrued and unpaid interest, if any, to, but not including the redemption date upon certain change of control transactions or certain significant acquisitions. STG's obligations under the New Second Lien Notes, as set forth in the Second Lien Notes Indenture, are secured on a second priority basis by substantially all tangible and intangible personal property of STG and the guarantors securing STG's and each such guarantor's obligations under the New Credit Agreement which security interest, in the case of the grant by SBG, is limited to its right, title and interest in the equity interests of STG and each designated SBG subsidiary, if any) and on a pari passu basis with all of STG's and such guarantors' future indebtedness that is secured by a second priority lien on the collateral securing the New Second Lien Notes (if any), subject to permitted liens and certain other exceptions, provided that the New Second Lien Notes are effectively subordinated to all existing and future first priority indebtedness (including the New First-Out Notes, the First-Out Revolving Credit Facility, the Second-Out Term Loan Facility and the Exchange Second-Out Notes). The Second Lien Notes Indenture contains certain restrictive covenants including, but not limited to, restrictions on indebtedness, liens, payments, investments, mergers, consolidations, liquidations and dissolutions, acquisitions, sales and other dispositions of assets and affiliate transactions. These covenants are subject to a number of exceptions and limitations as described in the Second Lien Notes Indenture. The Second Lien Notes Indenture also includes events of default, including certain cross-default and cross-acceleration provisions with other debt of STG, customary for agreements of this type. The New Second Lien Notes have not been registered under the Securities Act or any state securities law. Absent registration, the New Second Lien Notes currently may be sold only pursuant to an applicable exemption from the requirements for registration. The offering of the New Second Lien Notes was made only to "qualified institutional buyers" and, outside the United States, to non-U.S. persons in compliance with Regulation S under the Securities Act. There are no registration rights associated with the New Second Lien Notes. About Sinclair Broadcast Group Headquartered in Cockeysville, Maryland, Sinclair Broadcast Group, LLC of Maryland, operates as a media company. * * * Egan-Jones Ratings Company on November 1, 2024, maintained its 'CCC+' foreign currency and local currency senior unsecured ratings on debt issued by Sinclair Broadcast Group, LLC of Maryland. SINO GREEN: Needs Additional Time to File Q4 2024 Report -------------------------------------------------------- Sino Green Land Corp. disclosed in a Form 12b-25 with the U.S. Securities and Exchange Commission that it is unable to file, without unreasonable effort or expense, its Quarterly Report on Form 10-Q for the period ended December 31, 2024. Additional time is needed for the Company to compile and analyze supporting documentation in order to complete the Form 10-Q and in order to permit the Company's independent registered public accounting firm to complete its review of the condensed consolidated financial statements included in the Form 10-Q. The Company undertakes the responsibility to file such quarterly report no later than fifth calendar day after its prescribed due date. About Sino Green Land Corp. Sino Green Land Corp. is a US holding company incorporated in Nevada. It conducts business through its Malaysia subsidiary "Tian Li Eco Holdings Sdn. Bhd", which is an environmental protection technology, recycling and renewal of plastic waste bottles and packaging materials being recycled and sale of recovered and recycled products, a company incorporated and based in Malaysia. With the mission to rooted in advocating for waste recycling, aiming for a sustainable environmental future. With its strategic initiatives, the company's objective is to become a prominent environmental recycling entity in Asia over the coming five years. As of June 30, 2024, the Company had $4,921,457 in total assets, $5,481,601 in total liabilities, and $560,144 in total stockholders' deficit. Singapore-based Audit Alliance LLP, the Company's auditor since 2024, issued a "going concern" qualification in its report dated September 30, 2024, citing that during the year ended June 30, 2024, the Company incurred a net loss of $798,804 and used cash in operating activities of $752,278, result in an accumulated deficit of $2,891,559. The Company's current liabilities exceeded current assets $2,679,437, and the stockholder deficit of $560,144. These conditions raise substantial doubt about the Company's ability to continue as a going concern. SKY-SKAN: Savages Not Entitled to Discharges Under Sec. 727(a)(5) ----------------------------------------------------------------- In the case captioned as Coastal Capital, LLC v. Steven Savage and Virginia Savage, Opinion No. 2025 DNH 016 (D.N.H.), Judge Steven J. McAuliffe of the United States District Court for the District of New Hampshire affirmed the decision of the United States Bankruptcy Court for the District of New Hampshire denying the Savages a discharge, pursuant to Sec. 727(a)(5). After their company, Sky-Skan, Inc., experienced financial difficulty and filed for bankruptcy protection, Steven and Virginia Savage filed their own bankruptcy petition in the United States Bankruptcy Court, District of New Hampshire. One of the Savages' creditors, Coastal Capital, LLC, filed an adversary proceeding, In re Savage, 21-bk-01006-KB (Bankr. N.H.), seeking to deny them discharges under 11 U.S.C. Sec. 727 and to except the Savages' obligations to Coastal from discharge under 11 U.S.C. Sec. 523. Following a two-day trial, the bankruptcy court ruled in favor of the Savages on five of Coastal's claims but concluded under Sec. 727(a)(5) that the Savages were not entitled to discharges. The Savages appeal the judgment entered in the adversary proceeding on grounds that the court made legal and factual errors in arriving at that result. The Savages raise five issues in support of their appeal of the bankruptcy court's decisions. They challenge the bankruptcy court's calculation of the amount of the unaccounted for missing money. They contend that the amount of unaccounted-for money was not a substantial asset within the meaning of Sec. 727(a)(5). The Savages contend that the bankruptcy court erred in finding that they did not account for part of the missing money, and argue alternatively, that the bankruptcy court erred in not finding that Coastal prevented them from making the necessary showing by withholding and destroying the supporting documentation. The Savages contend that the bankruptcy court erred in denying their discharges entirely rather than limiting the denial to the amount of unaccounted-for money. Coastal opposes all grounds that the Savages raise. The District Court finds the Savages have not shown that the bankruptcy court erred in shifting the burden to them to account for the missing money. It also finds the Savages have shown no error in the bankruptcy court's calculation of the missing and unaccounted-for money. As the Savages concede, whether to deny a discharge under Sec. 727(a)(5) is a matter left to the bankruptcy court's discretion, which turns on the particular circumstances presented. The Savages have not shown any circumstances suggesting that the thousands of dollars of missing and unaccounted-for money was insubstantial or that the bankruptcy court's exercise of discretion was in any way objectionable. Therefore, the Savages have not shown error or an abuse of discretion by the bankruptcy court based on a theory that the unaccounted-for missing money was not substantial, the District Court concludes. According to the District Court, the Savages have shown no abuse of discretion by the bankruptcy court in finding that they did not provide a satisfactory explanation for the unaccounted-for money. They have not shown that the bankruptcy court abused its discretion in denying them relief under Rule 60(b)(3). They also provide no grounds to reverse the bankruptcy court's decision to deny them discharges, based on their partial discharge theory, the District Court finds. The District Court is satisfied that the bankruptcy court fully considered equitable principles and the material circumstances presented by the Savages in concluding that they were not entitled to a discharge under Sec. 727(a)(5). A copy of the Court's decision is available at http://urlcurt.com/u?l=ZthKH2from PacerMonitor.com. About Sky-Skan Inc. Sky-Skan, Inc., was founded in 1967 as a company dedicated solely to the development and manufacture of specialized devices for depicting dynamic visualizations of astronomical and meteorological phenomena on planetarium domes in museums, schools, and universities. The company has since grown to become a provider of digital full dome science visualization, theater control, and show programming systems for hundreds of planetariums on six continents, serving hundreds of clients in the niche field of immersive science interpretation and education. From the initial planning stage to staff training and ongoing support, Sky-Skan provides all services required by the most advanced digital full-dome planetariums and visualization theaters. Sky-Skan, based in Nashua, New Hampshire, filed a Chapter 11 petition (Bankr. D.N.H. Case No. 17-11540) on Nov. 1, 2017. In the petition signed by Steven T. Savage, president, the Debtor was estimated to have less than $50,000 in assets and $1 million to $10 million in liabilities as of the bankruptcy filing. Peter N. Tamposi, Esq., at The Tamposi Law Group, P.C., serves as bankruptcy counsel to the Debtor, and SquareTail Advisors, LLC, is the financial advisor. The Office of the U.S. Trustee appointed an official committee of unsecured creditors on Dec. 1, 2017. The Committee retained William S. Gannon PLLC as its bankruptcy counsel. SKYLOCK INDUSTRIES: Plan Exclusivity Period Extended to April 24 ---------------------------------------------------------------- Judge Sheri Bluebond of the U.S. Bankruptcy Court for the Central District of California extended Skylock Industries Inc.'s exclusive periods to file a plan of reorganization and obtain acceptance thereof to April 24 and June 23, 2025, respectively. As shared by Troubled Company Reporter, the Debtor explains that the first months of the chapter 11 case were characterized by disputes between the company's management and its secured lender and intercompany disputes, resulting in an Order to Show Cause re Appointment of a Chapter 11 Trustee being issued by the Bankruptcy Court. Fortunately, the result of the Court's OSC was a consensual appointment of Jeffrey Nerland, an experienced Chief Restructuring Officer on December 20, 2024. Mr. Nerland is now in the process of evaluating the Debtor's chapter 11 plan options, while at the same time preparing budgets, investigating and negotiating sale opportunities and assisting the Debtor in its business operations. The Debtor asserts that there are no allegations that the company with its newly appointed Chief Restructuring Officer is proceeding in bad faith, in fact Mr. Nerland was appointed via stipulation with the Debtor's principal previously objecting creditors Adhara Aerospace and Defense, LLC and Pasadena Private Finance, LLC. The Debtor further asserts that it is negotiating sales that will greatly improve operating revenues and has reasonable prospect for filing a viable plan. The Debtor is making significant progress negotiating creditors. An extension of time is therefore appropriate. Skylock Industries Inc. is represented by: Jeffrey S. Shinbrot, Esq. JEFFREY S. SHINBROT, APLC 15260 Ventura Blvd., Suite 1200 Sherman Oaks, CA 91403 Telephone: (310) 659-5444 Facsimile: (310) 878-8304 Email: jeffrey@shinbrotfirm.com About Skylock Industries Skylock Industries Inc. is a California-based aircraft parts manufacturer. Skylock Industries sought relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 24-17820) on Sept. 26, 2024, with $10 million to $50 million in both assets and liabilities. Judge Sheri Bluebond handles the case. The Debtor is represented by Jeffrey S. Shinbrot, Esq., at The Shinbrot Firm. SOLAR EXCLUSIVE: Case Summary & Seven Unsecured Creditors --------------------------------------------------------- Debtor: Solar Exclusive, LLC d/b/a Moldremovalexclusive.com d/b/a Windowsexclusive.com d/b/a Turfexclusive.com d/b/a Kitchenbathexclusive.com d/b/a Homeproexclusive.com d/b/a exclusiveads.ai d/b/a coatingexclusive.com f/d/b/a Leadgen Marketing & Design, LLC 9550 S. Eastern Ave., Ste. 253 Las Vegas, NV 89123 Business Description: Solar Exclusive, LLC, founded in 2019, is a marketing company specializing in generating exclusive solar leads and pre-scheduled appointments for solar businesses across the United States. The Company's services aim to help solar companies expand their customer base and enhance sales by providing high-quality, exclusive leads. Chapter 11 Petition Date: February 21, 2025 Court: United States Bankruptcy Court District of Nevada Case No.: 25-10950 Judge: Hon. August B Landis Debtor's Counsel: Matthew C. Zirzow, Esq. LARSON & ZIRZOW, LLC 850 E. Bonneville Ave. Las Vegas, NV 89101 Tel: 702-382-1170 Email: mzirzow@lzlawnv.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Richard J. Feola as managing member. A full-text copy of the petition, which includes a list of the Debtor's seven unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/4F7MBPI/SOLAR_EXCLUSIVE_LLC__nvbke-25-10950__0001.0.pdf?mcid=tGE4TAMA SOUTHERN AUTO: Court Extends Cash Collateral Access to March 10 --------------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of North Carolina, New Bern Division, extended Southern Auto Parts, Inc.'s authority to use cash collateral from Feb. 10 to March 10. The interim order signed by Judge David Warren authorized the company to use cash collateral to pay the operating expenses set forth in its budget. The budget projects total operational expenses of $179,668.49 for the interim period. The creditors that assert an interest in the company's cash collateral are General Parts Distribution, LLC, Carolina Small Business Development Fund, House-Hasson Hardware Company, First-Citizens Bank & Trust Company, and the U.S. Small Business Administration. As protection, the creditors were granted post-petition lien and security interest in all property of Southern Auto Parts with the same priority as their pre-bankruptcy lien and security interest. As additional protection, First-Citizens, the current holder of several loans, will be granted a superpriority administrative expense claim to the extent the use, sale, or lease of its collateral results in a decrease in its interest therein. The next hearing is set for March 3. About Southern Auto Parts Southern Auto Parts, Inc., formerly known as Trenton Auto Parts, Inc., owns and operates an auto parts store in Trenton, N.C. Southern Auto Parts filed Chapter 11 petition (Bankr. E.D.N.C. Case No. 25-00294) on January 27, 2025, with $1 million to $10 million in both assets and liabilities. Jared L. Beverage, president of Southern Auto Parts, signed the petition. Judge David M. Warren presides over the case. Joseph Z. Frost, Esq., at Buckmiller & Frost, PLLC represents the Debtor as legal counsel. SPEARMAN AEROSPACE: Gets OK to Use Cash Collateral Until March 14 ----------------------------------------------------------------- Spearman Aerospace, Inc. got the green light from the U.S. Bankruptcy Court for the Central District of California, Los Angeles Division, to use cash collateral. The interim order signed by Judge Deborah Saltzman authorized the company to use cash collateral until March 14 to pay the expenses set forth in its budget. Any creditor with a perfected security interest in the cash collateral will be granted a replacement lien on Spearman's post-petition assets, with the same validity, priority and scope as its pre-bankruptcy lien. The next hearing is set for March 13. About Spearman Aerospace Inc. Spearman Aerospace Inc. manufactures high-precision components for the aerospace industry, specializing in parts for landing gear assemblies, door pivots, and gearboxes. It utilizes advanced CNC technology to produce these components for satellite or space applications and other aerospace needs. Spearman Aerospace filed Chapter 11 petition (Bankr. C.D. Calif. Case No. 25-10917) on February 6, 2025, listing between $1 million and $10 million in both assets and liabilities. Judge Deborah J. Saltzman handles the case. The Debtor is represented by: M. Douglas Flahaut, Esq. Echo Park Legal, APC 2210 Sunset Blvd. 301 Los Angeles, CA 90026 Tel: 310-709-0658 Email: df@echoparklegal.com SPIKE BODY: Trustee Taps Nicholas Recchia as Special Counsel ------------------------------------------------------------ Neema T. Varghese, the Trustee for Spike Body Werks, Inc., seeks approval from the U.S. Bankruptcy Court for the Northern District of Illinois to employ Nicholas Recchia, Attorney at Law, as Special Counsel. The Debtor needs the firm's legal assistance in connection with a case (Case No. 2024LA000461) filed in the Circuit Court of Kane County, captioned as Timothy Ward v. Spike Body Work Inc. an Illinois Corp d/b/a Geneva Body Shop Inc. The firm will be paid a retainer of $1,000. The firm was owed the sum of $50,000.00 prior to the Petition Date. Mr. Recchia disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Nicholas Recchia, Esq. Nicholas Recchia, Attorney at Law 1701 E. Woodfield Road, Suite 925 Schaumburg, IL 60173 Tel: (847) 619-3000 Fax: (847) 619-3389 About Spike Body Werks, Inc. Spike Body Werks, Inc., is an Illinois company engaged in the business of autobody collision restoration and custom work. Spike Body Werks filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 23-13885) on Oct. 17, 2023, with $1 million to $10 million in both assets and liabilities. Pasquale Roppo, president of Spike Body Werks, signed the petition. Judge Donald R. Cassling oversees the case. The Debtor is represented by: Scott R Clar, Esq. Crane, Simon, Clar & Goodman Tel: (312) 641-6777 Email: sclar@cranesimon.com SPIRE GLOBAL: Shares Tumble After Going-Concern Warning ------------------------------------------------------- Hari Govind of Bloomberg News reports that Spire Global shares tumble as much as 52%, the biggest drop on record, after the provider of space-based data analytics issued a going-concern warning. Due to cash needs, there is substantial doubt about the company's ability to continue as a going concern for a period of at least 12 months, Spire Global said in a regulatory filing. It intends to seek additional equity or debt financing and may seek waivers or amendments to contractual obligations, the report states. About Spire Global Spire Global is a provider of satellite data, analytics and services. SPIRIT AIRLINES: Bankruptcy Court Approves Reorganization Plan -------------------------------------------------------------- Spirit Airlines, Inc. announced that the Company's Plan of Reorganization was confirmed by the United States Bankruptcy Court for the Southern District of New York. With this approval in place, the Company expects to emerge from Chapter 11 in the coming weeks. "Today's approval is a major milestone as we progress toward the successful conclusion of our in-court process," said Ted Christie, Spirit's President and Chief Executive Officer. "We will emerge as a stronger airline with the financial flexibility to continue providing Guests with enhanced travel experiences and greater value. Throughout this process, we've had virtually unanimous support from our bondholders, who recognize Spirit's value and potential. As we move forward, our leadership team remains focused on reducing costs while also advancing our strategic initiatives to transform our Guest experience and position Spirit for success." Mr. Christie continued, "I'm especially grateful for the dedication and unwavering commitment of our entire Spirit Family, who continue their outstanding work to serve our Guests and drive our business forward." Under the approved Plan, Spirit will equitize $795 million of funded debt, receive $350 million of new equity investment and issue $840 million aggregate principal amount of new senior secured debt to existing bondholders upon emergence. In addition, Spirit will enter into a new revolving credit facility of up to $300 million. Spirit vendors, aircraft lessors and holders of secured aircraft indebtedness will not be impaired. Spirit continues to operate its business in the normal course. Guests can continue to book and fly without interruption. Advisors Davis Polk & Wardwell LLP is serving as the Company's restructuring counsel, Alvarez & Marsal is serving as restructuring advisor, and Perella Weinberg Partners LP is acting as investment banker. Akin Gump Strauss Hauer & Feld LLP is acting as legal counsel and Evercore is acting as financial advisor to the ad hoc group of loyalty noteholders. Paul Hastings LLP is acting as legal counsel and Ducera Partners LLC is acting as financial advisor to the convertible bondholders. Additional information about the Company's chapter 11 case, including access to Court filings and other documents related to the restructuring process, is available at https://dm.epiq11.com/SpiritGoForward or by calling Spirit's restructuring information line at (888) 863-4889 (U.S. toll free) or +1 (971) 447-0326 (international). Additional information is also available at www.SpiritGoForward.com. About Spirit Airlines Spirit Airlines, Inc. (SAVE) is a low-fare carrier committed to delivering the best value in the sky by offering an enhanced travel experience with flexible, affordable options. Spirit serves destinations throughout the United States, Latin America and the Caribbean with its Fit Fleet, one of the youngest and most fuel-efficient fleets in the U.S. On the Web: http://wwww.spirit.com/ Spirit Airlines and its affiliates sought Chapter 11 protection (Bankr. S.D.N.Y. Case No. 24-11988) on Nov. 18, 2024, after reaching terms of a pre-arranged plan with bondholders. At the time of the filing, Spirit Airlines reported $1 billion to $10 billion in both assets and liabilities. Judge Sean H. Lane oversees the case. The Debtors tapped Davis Polk & Wardwell, LLP as legal counsel; Alvarez & Marsal North America, LLC, as financial advisor; and Perella Weinberg Partners LP as investment banker. Epiq Corporate Restructuring, LLC, is the claims agent. Paul Hastings, LLP and Ducera Partners, LLC serve as legal counsel for the Ad Hoc Group of Convertible Noteholders. Akin Gump Strauss Hauer & Feld, LLP and Evercore Group LLC represent the Ad Hoc Group of Senior Secured Noteholders. The official committee of unsecured creditors retained Willkie Farr & Gallagher LLP as counsel. Citigroup Global Markets, Inc., is serving as financial advisor and Latham & Watkins LLP is serving as legal counsel to Frontier. SPIRIT AIRLINES: Gets Court Okay to Exit Ch. 11 via Go-Private Deal ------------------------------------------------------------------- Jonathan Randles and Mary Schlangenstein of Bloomberg News report that Spirit Airlines Inc. received court approval to exit bankruptcy through a lender-backed take-private deal, rejecting a takeover bid from Frontier Group Holdings Inc. Judge Sean Lane said Thursday he would approve Spirit's restructuring plan, which transfers control of the Florida-based budget airline to its primary bondholders, including Ken Griffin's Citadel Advisors, Pacific Investment Management Co., and Western Asset Management Co., according to court documents. Spirit filed for bankruptcy in November to restructure about $1.6 billion in debt after losing market share post-pandemic, as larger airlines drew travelers with expanded basic-economy fare offerings. About Spirit Airlines Spirit Airlines, Inc. (SAVE) is a low-fare carrier committed to delivering the best value in the sky by offering an enhanced travel experience with flexible, affordable options. Spirit serves destinations throughout the United States, Latin America and the Caribbean with its Fit Fleet, one of the youngest and most fuel-efficient fleets in the U.S. On the Web: http://wwww.spirit.com/ Spirit Airlines and its affiliates sought Chapter 11 protection (Bankr. S.D.N.Y. Case No. 24-11988) on Nov. 18, 2024, after reaching terms of a pre-arranged plan with bondholders. At the time of the filing, Spirit Airlines reported $1 billion to $10 billion in both assets and liabilities. Judge Sean H. Lane oversees the case. The Debtors tapped Davis Polk & Wardwell, LLP as legal counsel; Alvarez & Marsal North America, LLC, as financial advisor; and Perella Weinberg Partners LP as investment banker. Epiq Corporate Restructuring, LLC, is the claims agent. Paul Hastings, LLP and Ducera Partners, LLC serve as legal counsel for the Ad Hoc Group of Convertible Noteholders. Akin Gump Strauss Hauer & Feld, LLP and Evercore Group LLC represent the Ad Hoc Group of Senior Secured Noteholders. The official committee of unsecured creditors retained Willkie Farr & Gallagher LLP as counsel. Citigroup Global Markets, Inc., is serving as financial advisor and Latham & Watkins LLP is serving as legal counsel to Frontier. SS INNOVATIONS: Barry F. Cohen Holds 5.4% Equity Stake ------------------------------------------------------ Barry F. Cohen disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, he beneficially owned 9,177,717 shares of Common Stock of SS Innovations International, Inc. This includes 8,839,480 shares of Common Stock held directly by him and options exercisable to purchase 338,237 additional shares under the Issuer's 2016 Incentive Stock Plan. He has sole voting and dispositive power over these shares, which represent 5.4% of the 170,873,415 shares outstanding as of January 14, 2025. A full-text copy of Mr. Cohen's SEC Report is available at: https://tinyurl.com/nhh6nr6t About SS Innovations International SS Innovations International, Inc. (OTC: SSII) is a developer of innovative surgical robotic technologies headquartered in Gurugram, Haryana, India. The company's vision is to make robotic surgery benefits more affordable and accessible globally. SSII's product range includes its proprietary "SSi Mantra" surgical robotic system and "SSi Mudra," a broad array of surgical instruments for various procedures, including robotic cardiac surgery. The company plans to expand its presence with technologically advanced, user-friendly, and cost-effective surgical robotic solutions. SS Innovations International had a net loss of $20.94 million for the year ended December 31, 2023. As of June 30, 2024, SS Innovations International had $38.32 million in total assets, $21.33 million in total liabilities, and $16.98 million in total stockholders' equity. Lakewood, Colo.-based BF Borgers CPA PC, the Company's former auditor, issued a "going concern" qualification in its report dated March 22, 2024, citing recurring losses from operations that raise substantial doubt about the Company's ability to continue as a going concern. On May 13, 2024, SS Innovations dismissed BF Borgers CPA PC as its independent registered public accounting firm after the firm and its owner, Benjamin F. Borgers, were charged by the Securities and Exchange Commission with deliberate and systemic failures to comply with PCAOB standards in audits and reviews included in over 1,500 SEC filings from January 2021 through June 2023. The charges included false representations of compliance with PCAOB standards, fabrication of audit documentation, and false statements in audit reports. Borgers agreed to a $14 million civil penalty and a permanent suspension from practicing before the Commission. On May 29, 2024, SS Innovations engaged BDO India LLP as its new independent registered public accounting firm. This engagement was approved by the Company's board of directors through unanimous written consent in lieu of a meeting dated May 23, 2024. SS INNOVATIONS: Sudhir Srivastava, M.D. Holds 63.1% Stake --------------------------------------------------------- Sudhir Srivastava, M.D., disclosed in a Schedule 13G/A filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, he beneficially owned 107,818,790 shares of Common Stock of SS Innovations International, Inc, representing 63.1% of the 170,873,415 shares of common stock outstanding as of January 14, 2025, as reported in the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2023. This includes 103,197,140 shares held by Sushruta PVT LTD, 7% Convertible One-Year Promissory Notes held by Sushruta PVT LTD convertible into 224,719 shares, 32,000 shares held directly by Dr. Srivastava, and options to purchase 4,364,931 shares. Dr. Srivastava has a 100% interest in both Sushruta PVT LTD and Sudhir Srivastava Innovations PTE LTD. A full-text copy of Mr. Srivastava's SEC Report is available at: https://tinyurl.com/mj3pfrbw About SS Innovations International SS Innovations International, Inc. (OTC: SSII) is a developer of innovative surgical robotic technologies headquartered in Gurugram, Haryana, India. The company's vision is to make robotic surgery benefits more affordable and accessible globally. SSII's product range includes its proprietary "SSi Mantra" surgical robotic system and "SSi Mudra," a broad array of surgical instruments for various procedures, including robotic cardiac surgery. The company plans to expand its presence with technologically advanced, user-friendly, and cost-effective surgical robotic solutions. SS Innovations International had a net loss of $20.94 million for the year ended December 31, 2023. As of June 30, 2024, SS Innovations International had $38.32 million in total assets, $21.33 million in total liabilities, and $16.98 million in total stockholders' equity. Lakewood, Colo.-based BF Borgers CPA PC, the Company's former auditor, issued a "going concern" qualification in its report dated March 22, 2024, citing recurring losses from operations that raise substantial doubt about the Company's ability to continue as a going concern. On May 13, 2024, SS Innovations dismissed BF Borgers CPA PC as its independent registered public accounting firm after the firm and its owner, Benjamin F. Borgers, were charged by the Securities and Exchange Commission with deliberate and systemic failures to comply with PCAOB standards in audits and reviews included in over 1,500 SEC filings from January 2021 through June 2023. The charges included false representations of compliance with PCAOB standards, fabrication of audit documentation, and false statements in audit reports. Borgers agreed to a $14 million civil penalty and a permanent suspension from practicing before the Commission. On May 29, 2024, SS Innovations engaged BDO India LLP as its new independent registered public accounting firm. This engagement was approved by the Company's board of directors through unanimous written consent in lieu of a meeting dated May 23, 2024. STAFFING 360: Stockholders OK Merger With Atlantic International ---------------------------------------------------------------- Staffing 360 Solutions, Inc. held its special meeting of stockholders on February 13, 2025. As of the close of business on January 8, 2025, the record date for the Special Meeting, there were: (i) 1,643,738 shares of common stock, par value $0.00001 per share issued and entitled to vote on the proposals and (ii) 9,000,000 shares of Series H Convertible Preferred Stock, par value $0.00001 per share issued, which were entitled to vote on an "as converted" basis on the proposals, representing voting power equal to 35,002 shares of Common Stock. The matters were submitted to a vote of the holders of the Company's Common Stock and Series H Preferred Stock at the Special Meeting. At the Special Meeting, stockholders: 1. Approved to adopt that certain Agreement and Plan of Merger, dated as of November 1, 2024, as amended by that certain First Amendment, dated as of January 7, 2025, by and among the Company, Atlantic International Corp. and A36 Merger Sub, Inc., and the transactions contemplated thereunder. 2. Approved a proposal to adjourn of the Special Meeting to a later date or dates, if necessary or appropriate, to solicit additional proxies if there are not sufficient votes at the time of the Special Meeting to approve the Merger Agreement Adoption Proposal. About Staffing 360 Headquartered in New York, Staffing 360 Solutions, Inc. is engaged in the execution of a buy-integrate-build strategy through the acquisition of domestic and international staffing organizations in the United States. The Company believes that the staffing industry offers opportunities for accretive acquisitions and, as part of its targeted consolidation model, is pursuing acquisition targets in the finance and accounting, administrative, engineering, IT, and light industrial staffing space. New York, NY-based RBSM LLP, the Company's auditor since 2024, issued a "going concern" qualification in its report dated June 11, 2024, citing that the Company has incurred substantial operating losses and will require additional capital to continue as a going concern. This raises substantial doubt about the Company's ability to continue as a going concern. As of Sept. 28, 2024, Staffing 360 Solutions had $62.22 million in total assets, $76.86 million in total liabilities, and a total stockholders' deficit of $14.64 million. STANFORD CHOPPING: ALAC Must Face Fraudulent Transfer Lawsuit ------------------------------------------------------------- The Honorable Rene Lastreto II of the United States Bankruptcy Court for the Eastern District of California denied AuguStar Life Assurance Corporation's motion to dismiss the the case captioned as LISA HOLDER, in her capacity as the Chapter 7 Trustee of the Bankruptcy Estate of Stanford Chopping, Inc., Plaintiff, v. AUGUSTAR LIFE ASSURANCE CORPORATION formerly known as OHIO NATIONAL LIFE ASSURANCE CORPORATION, a subsidiary of CONSTELLATION INSURANCE, INC.; and DOES 1 through 25, Defendant, Adv. Proc. No. 24-01023-B (Bankr. E.D. Calif.). During her tenure as Chapter 7 Trustee, Holder filed the complaint in this adversary proceeding against ALAC seeking to avoid certain transfers from Debtor to ALAC totaling $207,500.00 alleging that the transfers were either actually fraudulent or constructively fraudulent under 11 U.S.C. Sec. 548 and the California Uniform Voidable Transactions Act (C.C.C. Sec. 3439, et seq.). Because the IRS and Small Business Administration have claims that are debts to the United States, Holder also asserts that the premium payments are recoverable under Federal Debt Collection Procedures (28 U.S.C. Sec. 3304) and 11 U.S.C. Sec. 550(a)(1). The transfers were premium payments on a life insurance policy paid by Stanford. According to the Complaint and so far undisputed by ALAC, Jack Stanford was Stanford's CEO as of the petition date. Jack's son, Alex Stanford, was the Secretary and a director of Stanford. Larry Stanford, Jack's brother and Alex's uncle, was, prior to his death, the CFO and a director of Stanford. Jack, Alex, and Larry were all insiders of Stanford, with Jack owning 37.10% of the company stock, Larry owning 50%, and Alex owning 12.90%. The Complaint alleges that, on Aug. 8, 2014, ALAC's predecessor, Ohio National Life Assurance Corporation, issued a life insurance policy insuring Larry's life with a death benefit of $1 million, with Alex in his individual capacity as the owner of the Policy and the sole beneficiary. The $2,500 monthly premium was paid by Stanford. The policy was ostensibly for the purpose of providing funds for Alex to purchase Larry's shares in the event of Larry's death. The total amount of the transfers (premiums) made by Stanford was $207,500.00 paid to both ONLAC and ALAC. The Policy accumulated a cash value which was not disclosed as Debtor's asset. On July 7, 2021,about a year before the petition date, Larry died in an auto accident. The Complaint further alleges that Stanford was insolvent while it was paying the premiums for the Policy. Stanford, Holder alleges, was pursuing an expansion plan whereby it purchased a considerable amount of expensive equipment that it could not afford and so financed the purchases through a series of promissory notes and security agreements specified in the complaint. ALAC challenges the Chapter 7 Trustee's claims that it received avoidable transfers of premium payments from Stanford. ALAC's motion to dismiss the complaint asserts that Stanford received adequate consideration for the premium payments; that ALAC (or its predecessor) was discharged from liability by the state court when it interpleaded the insurance policy funds; and that Trustee failed to name other necessary parties under Fed. R. Civ. Proc. 19. Finding the complaint sufficiently alleges the basis for avoiding the transfers and that Trustee properly named the party defendant, the Court denies the motion. In the case's current posture (i.e. consideration of a 12(b)(6) motion), the only relevant question is whether the complaint contains factual assertions that, if accepted as true, state a claim to relief that is plausible on its face. The Court emphasizes that whether Alex and Jack have engaged in fraudulent conduct in their individual capacities is not germane at this juncture to the question of whether the Debtor made the transfer to ALAC in the form of $207,500.00 in premium payments without receiving a reasonably equivalent value in exchange and while Debtor was or was about to become substantially insolvent. According to the Court, an ancillary question is whether, for 12(b)(6) purposes, the complaint alleges the existence of Sec. 3304(b)(2) factors which may determine the presence of actual intent under Sec. 3304(b)(1). Per the allegations in the Complaint, these transfers were made for the benefit of an insider, that neither the transfers nor the cash value of the insurance policy were disclosed, that there was no consideration received by Debtor for the premium payments, and that the premium payments were made against the backdrop of a substantial acquisition of new debt. Accepting the allegations as true, the Court accepts that Sec. 3304(b)(2) factors appear to exist. The Trustee has joined the necessary parties, thus there is no merit to the joinder challenge under Civ. Rule 12 (b)(7), the Court finds. Accordingly, ALAC has failed to meet its heavy burden under Rule 12(b), the Court concludes. The motion to dismiss is denied. A copy of the Court's decision is available at https://urlcurt.com/u?l=BkxXaL from PacerMonitor.com. Attorney for Lisa Holder, Plaintiff: Estela O. Pino, Esq. PINO & ASSOCIATES 1520 Eureka Rd, Ste 101 Roseville, CA 95661-2849 Telephone: 916-641-2288 E-mail: epino@epinolaw.com Attorney for AuguStar Life Assurance Corporation, Defendant: Ryan Hunter Voss, Esq. CHITTENDEN, MURDAY & NOVOTNY LLC 303 W. Madison Street, Suite 2400 Chicago, IL 60606 Telephone: 312-281-3633 E-mail: rvoss@cmn-law.com About Stanford Chopping Stanford Chopping, Inc., a company in Chowchilla, Calif., filed a voluntary petition for relief under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. E.D. Calif. Case No. 22-11403) on Aug. 17, 2022, with up to $10 million in both assets and liabilities. Lisa Holder has been appointed as Subchapter V trustee. Judge Rene Lastreto II oversees the case. David C. Johnston, Esq., serves as the Debtor's legal counsel. The case was converted to Chapter 7 in October 2022. STEWART STREET: Ga. Property Not Part of Kimball Bankruptcy Estate ------------------------------------------------------------------ Judge Paul Baisier of the United States Bankruptcy Court for the Northern District of Georgia granted TCABA Carrollton, LLC's Expedited Motion for a Comfort Order in the case captioned as TCABA CARROLLTON, LLC, Movant, v. RANDALL E. KIMBALL, Respondent, Case No. 24-11036-PMB (Bankr. N.D. Ga.). The Movant seeks to have this Court determine that certain real property located at 204 Stewart Street, Carrollton, Carrol County, Georgia was not property of this bankruptcy estate under 11 U.S.C. Sec. 541(a) on the date this case was filed and thus that an Aug. 6, 2024, nonjudicial foreclosure sale of that property conducted by Coastal States Bank was not stayed by the automatic stay of 11 U.S.C. Sec. 362(a). The Debtor maintains that the Motion should be denied because the Property was property of his bankruptcy estate at the time of the Foreclosure Sale and was thus protected by the automatic stay. At all relevant times, title to the Property was in the name of Stewart Street Academy & Childcare, LLC, a Georgia limited liability company, in the real property records of Carroll County, Georgia, where the Property is located. The membership interests in the LLC were at all relevant times owned one hundred percent (100%) by the Debtor. From Sept. 1, 2020, to Nov. 30, 2022, the LLC was a Chapter 11 debtor before this Court in Case No. 20-11216. A plan was confirmed in the LLC Case and the LLC Case was subsequently closed. The Georgia Secretary of State administratively dissolved the LLC on Oct. 28, 2022, pursuant to O.C.G.A. Sec. 14-11-603(b)(2), and the LLC remains administratively dissolved. There is no evidence in the record that any actions were taken since the administrative dissolution to wind up the LLC as permitted by O.C.G.A. Sec. 14-11-603(b)(3) or to transfer any of its assets to the Debtor as its sole owner. For example, there is no evidence that the LLC filed a statement of commencement of winding up with the Secretary of State pursuant to O.C.G.A. Sec. 14-11-606, nor was there any evidence presented that any of actions to address claims against the LLC as permitted by O.C.G.A. Secs. 14-11-607, 608 were taken or that a certificate of termination was filed with the Secretary of State pursuant to O.C.G.A. Sec. 14-11-610. Instead, it appears the Debtor continued to operate the LLC in violation of the limitations contained in O.C.G.A. Sec. 14-11-603(b)(3). Beginning in 2023, the Lender asserts that the LLC failed to make required payments to the Lender timely on its debt to the Lender. On or about May 24, 2024, notwithstanding the administrative dissolution of the LLC and the issues it was having with the Lender, the Debtor signed a Commercial Real Estate Lease Agreement with Option to Purchase with the Movant on behalf of the LLC regarding the Property. Pursuant to the Lease, the LLC leased the Property to the Movant for three (3) years, commencing on June 1, 2024. Additionally, the Lease contains an option to buy the Property for $1.45 million, with a discounted price of $1.4 million available if the Property is purchased in the first two (2) years of the Lease. In connection with the execution of the Lease, the Movant paid the LLC $275,000. The Debtor initiated this case by filing a voluntary petition under Chapter 13 of Title 11 of the United States Code on Aug. 5, 2024. The Property and the Debtor's interest in the LLC are both listed in the Debtor's initial Schedules. On Aug. 6, 2024, the Lender conducted the Foreclosure Sale, at which the Lender was the successful bidder. On Aug. 16, 2024, the Movant filed the Motion. On Aug. 20, 2024, the Movant also filed a Motion to Convert to Chapter 7, asserting the Chapter 13 case was filed in bad faith and should be converted to Chapter 7 for cause. The Motion to Convert was ultimately granted by the Court's Order (Docket No. 42), in which Judge Ritchey Craig converted this case to Chapter 7 for cause but deferred ruling on the Motion. Because the case was converted to Chapter 7, it was reassigned to Judge Paul M. Baisier. The Debtor asserts that under Georgia law, because the LLC was administratively dissolved, it no longer exists, and he holds a legal and/or equitable interest in the Property. He is wrong on both counts, the Court holds. The Court notes O.C.G.A Sec. 14-11-603(b)(3) expressly provides that a limited liability company administratively dissolved continues its existence, while the remainder of O.C.G.A Sec. 14-11-603 makes clear the administrative dissolution is a temporary state that is intended to be resolved by the dissolved entity curing the matters that led to its dissolution. Judge Baisier explains, "This is apparent because the limited liability company is given five (5) years to seek reinstatement, and during that lengthy period its exclusive right to use its name is maintained notwithstanding its purported dissolution. It is further apparent because, in cases where reinstatement occurs, the limited liability company is treated as if the administrative dissolution has never occurred. Based on the foregoing, it is simply incorrect to say that the LLC no longer exists, such that it could no longer be the owner of the Property." As for the idea that the Debtor has a legal or equitable interest in the Property as a result of the administrative dissolution, it is first important to note that the Debtor has no actual legal ownership interest in the Property. According to the Court, the property is instead titled one hundred percent (100%) in the name of the LLC. Further, the Debtor's ownership interest in the LLC does not provide him with such an interest, the Court says. According to Judge Baisier, the LLC may not carry on any business except that necessary to wind up and liquidate its business and affairs. Thus, the administrative dissolution does not create new rights in the Debtor as the owner of the LLC. And absent the administrative dissolution, the Court and others have held that property owned by a limited liability company is not property of the estate of its owner. O.C.G.A Sec. 14-11-605 requires the limited liability company, in connection with a winding up, to both pay its liabilities and distribute its remaining assets. No evidence was provided in this case that any winding up of the LLC ever commenced, the Court finds. In fact, the evidence is entirely to the contrary. Instead of winding up the LLC, the Debtor continued to operate it and treat the LLC as if it existed and owned the Property. Therefore, Court ordered, adjudged and decreed that none of the assets of the LLC, including the Property, were as of the Filing Date property of the Debtor's bankruptcy estate, and thus the Foreclosure Sale was not stayed by the automatic stay of Section 362(a) of the Bankruptcy Code. A copy of the Court's decision is available at https://urlcurt.com/u?l=3wXl27 from PacerMonitor.com. About Stewart Street Academy and Childcare Stewart Street Academy and Child Care, LLC was a Georgia limited liability company that owns non-residential real property located at 204 Stewart St., Carrollton, Ga. The entire property was leased to Stewart Street Childcare Services, Inc., which operated a child care center on the property. The center was owned and operated by the sister of Randall Kimball, the Debtor's owner. Stewart Street Academy and Child Care sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Case No. 20-11216) on Sept. 1, 2020. In the petition signed by Randall Kimball, managing member, the Debtor disclosed assets of between $1 million and $10 million and liabilities of the same range. Judge Paul Baisier oversaw the case. The Debtor tapped the Law Office of Scott B. Riddle, LLC and Wiggam & Geer, LLC, as legal counsel. A plan was confirmed and the case was subsequently closed. The Georgia Secretary of State administratively dissolved the business on Oct. 28, 2022, pursuant to O.C.G.A. Sec. 14-11-603(b)(2), and it remains administratively dissolved. SVB FINANCIAL: Court Sustains Objection to Certain Claims --------------------------------------------------------- Judge Martin Glenn of the United States Bankruptcy Court for the Southern District of New York sustained the thirteenth omnibus objection of SVB Financial Trust, as successor-in-interest to SVB Financial Group, to certain proofs of claims. The response of claimant Michael Scheffe is overruled. The Liquidating Trust seeks entry of an order disallowing and expunging each of the No Liability Claims in their entirety from the Debtor's claims register. In support of disallowance, the Liquidating Trust cites to section 502(b)(1), which provides that a claim may not be allowed to the extent that such claim is unenforceable against the debtor. The Liquidating Trust indicates that the No Liability Claims allege (i) amounts owed on account of ownership of common stock or preferred stock or (ii) amounts owed due to the loss in value of such common stock or preferred stock. It maintains it is unclear as to what the basis of many of the No Liability Claims are. The Liquidating Trust argues that, to the extent that the No Liability Claims are based solely on ownership of common stock or preferred stock, they are interests and not claims. To the extent that the No Liability Claims are seeking amounts on account of loss in stock value, the Liquidating Trust argues that these claims, if properly stated, would be claims against the Debtor's directors and officers as opposed to the Debtor. Citing to this Court's previous ruling on the eighth omnibus claims objection, the No Liability Claims, the Liquidating Trust contends, would therefore be general claims that belong to the Liquidating Trust, as successor to the Debtor, and not to individual creditors or shareholders. It further argues even if these claims were not general claims that belonged to the Debtor, they would have been subject to subordination under 11 U.S.C. Sec. 510(b) because they relate to damages arising from the purchase or sale of such a security. The Scheffe Claim The Scheffe Claim was filed in the amount of $50,146.50 in connection with SVB Financial Group shares CUSIP 78486QAG6. Mr. Scheffe opposes the Claims Objection on grounds that the failure of Silicon Valley Bank was not his responsibility. The amount sought in the Scheffe Claim was on account of the loss in value of certain SVB Series B Notes that Mr. Scheffe held. The Court finds the Liquidating Trust has sufficiently overcome the prima facie validity of the No Liability Claims and established that these claims are unenforceable. As noted, these claims seek amounts allegedly owed on account of ownership of common or preferred stock or amounts owed due to loss in value of such common or preferred stock. According to the Court, in general, an equity interest does not constitute a claim under section 101(5) of the Bankruptcy Code and should not be filed on a proof of claim. For claims that seek amounts in connection with loss in stock value, this Court previously concluded that: (i) such claims, if properly stated, would be claims against the Debtor's directors and officers, and not against the Debtor, and (ii) would be claims that belonged to the Liquidating Trust as opposed to individual creditors or shareholders. In any event, such claims would be subject to subordination under section 510(b) of the Bankruptcy Code because they concern damages arising from the purchase or sale of such a security, the Court finds. With respect to the Scheffe Claim, such claim is clearly predicated on the alleged loss in value of the preferred stock Mr. Scheffe held. However, the Scheffe Claim does not establish the Debtor's liability for the loss in value he is seeking -- simply showing that there was a decrease without establishing that it is the Debtor who was responsible is not enough, the Court concludes. A copy of the Court's decision is available at https://urlcurt.com/u?l=GZb3Wi from PacerMonitor.com. Attorneys for the Reorganized Debtor: James L. Bromley, Esq. Andrew G. Dietderich, Esq. Christian P. Jensen, Esq. SULLIVAN & CROMWELL LLP 125 Broad Street New York, NY 10004 E-mail: bromleyj@sullcrom.com dietdericha@sullcrom.com jensenc@sullcrom.com About SVB Financial Group SVB Financial Group (Pink Sheets: SIVBQ) is a financial services company focusing on the innovation economy, offering financial products and services to clients across the United States and in key international markets. Prior to March 10, 2023, SVB Financial Group owned and operated Silicon Valley Bank, a state chartered bank. During the week of March 6, 2023, Silicon Valley Bank, Santa Clara, CA, experienced a severe "run-on-the-bank." On the morning of March 10, the California Department of Financial Protection and Innovation seized SVB and placed it under the receivership of the Federal Deposit Insurance Corporation. SVB was the nation's 16th largest bank and the biggest to fail since the 2008 financial meltdown. On March 17, 2023, SVB Financial Group sought Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case No. 23-10367). The Debtor had assets of $19,679,000,000 and liabilities of $3,675,000,000 as of Dec. 31, 2022. The Hon. Martin Glenn is the bankruptcy judge. The Debtor tapped Sullivan & Cromwell, LLP as bankruptcy counsel; Centerview Partners, LLC as investment banker; and Alvarez & Marsal North America, LLC as restructuring advisor. William Kosturos, a partner at Alvarez & Marsal, serves as the Debtor's chief restructuring officer. Kroll Restructuring Administration, LLC, is the claims and noticing agent and administrative advisor. The U.S. Trustee for Region 2 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. The committee tapped Akin Gump Strauss Hauer & Feld, LLP as bankruptcy counsel; Cole Schotz P.C. as conflict counsel; Lazard Freres & Co. LLC as investment banker; and Berkeley Research Group, LLC as financial advisor. TANDEM CATERING: Hires Neeleman Law Group as Legal Counsel ---------------------------------------------------------- Tandem Catering & Events, Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of Washington to employ Neeleman Law Group as legal counsel. The firm's services include: a. assisting the Debtor in the investigation of the financial affairs of the estate; b. providing legal advice and assistance to the Debtor with respect to matters relating to this case and creditor distribution; c. preparing all pleadings necessary for proceedings arising under this case; and d. performing all necessary legal services for the estate in relation to this case The firm will be paid at these rates: Attorney $550 per hour Associate $475 per hour and Paralegal $225 per hour The firm will be paid a retainer in the amount of $4,738. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Jennifer L. Neeleman, Esq., a partner at Neeleman Law Group, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Jennifer L. Neeleman, Esq. Neeleman Law Group, P.C. 1403 8th Street Marysville, WA 98270 Tel: (425) 212-4800 Email: jennifer@neelemanlaw.com About Tandem Catering & Events Inc. Tandem Catering & Events Inc. based in Snohomish, Washington, operates a catering and events services business. Tandem Catering & Events Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Wash. Case No. 25-10117) on January 16, 2025. In its petition, the Debtor reports estimated assets between $50,000 and $100,000 and estimated liabilities between $100,000 and $500,000. Honorable Bankruptcy Judge Christopher M. Alston handles the case. The Debtor is represented by Jennifer L Neeleman, Esq., at Neeleman Law Group, P.C. TEHUM CARE: US Trustee Objects to Plan Opt-Out Releases ------------------------------------------------------- Ben Zigterman of Law360 Bankruptcy Authority reports that the U.S. Trustee's Office filed an objection on February 21, 2025, challenging the opt-out mechanism for third-party releases in Tehum Care Services' Chapter 11 plan, arguing that it results in nonconsensual releases. About Tehum Care Services Tehum Care Services Inc., doing business as Corizon Health Services Inc., is a privately held prison healthcare contractor in the United States. It is based in Brentwood, Tenn. Tehum Care Services filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Case No. 23-90086) on Feb. 13, 2023. In the petition filed by Russell A. Perry, as chief restructuring officer, the Debtor reported assets between $1 million and $10 million and liabilities between $10 million and $50 million. Judge Christopher M. Lopez oversees the case. The Debtor tapped Gray Reed & McGraw, LLP as bankruptcy counsel; Bradley Arant Boult Cummings, LLP, as special litigation counsel; and Ankura Consulting Group, LLC, as financial advisor. Russell A. Perry, senior managing director at Ankura, serves as the Debtor's chief restructuring officer. Kurtzman Carson Consultants, LLC, is the claims, noticing and solicitation agent. The U.S. Trustee for Region 7 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. Stinson, LLP and Dundon Advisers, LLC, serve as the committee's legal counsel and financial advisor, respectively. TERRAFORM LABS: Objectors Claim Ch. 11 Financial Adviser Overcharge ------------------------------------------------------------------- Clara Geoghegan of Law360 Bankruptcy Authority reports that the U.S. Trustee's Office and a plan administrator have accused an adviser to unsecured creditors in the Delaware Chapter 11 case of bankrupt cryptocurrency developer Terraform Labs of having "unreliable" fee records, alleging that some professionals billed over 400 hours per month across multiple bankruptcy cases. About Terraform Labs Terraform Labs Pte. Ltd. -- https://www.terra.money -- is a startup that created Terra, a blockchain protocol and payment platform used for algorithmic stablecoins. It was co-founded by Do Kwon and Daniel Shin in 2018 in Seoul, South Korea. Terraform Labs introduced its first cryptocurrency token, TerraUSD, in 2019. Investment firms like Arrington Capital, Coinbase Ventures, Galaxy Digital, and Lightspeed Venture Partners helped Terraform Labs raise more than $200 million. The collapse of the stablecoins TerraUSD (UST) and Luna in May 2022 caused the temporary suspension of the Terra network, wiping out over $45 billion in market capitalization in a single week. Both of Terra Form Labs' founders have encountered legal problems as a result of the devaluation of the company's currency. In September 2022, South Korean prosecutors filed a warrant for Do Kwon's arrest. He was also added to Interpol's Red Notice list, which urges other law enforcement to find and detain him. Terraform Labs Pte. Ltd. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 24-10070) on Jan. 22, 2024. In the petition filed by Chris Amani, as chief executive officer, the Debtor estimated assets and liabilities between $100 million and $500 million each. The Debtor is represented by: Zachary I Shapiro, Esq. Richards, Layton & Finger, P.A. 1 Wallich Street #37-01 Guoco Tower 078881 THREE FISHERMAN: Claims to be Paid From Available Cash and Income ----------------------------------------------------------------- Three Fisherman Seafood, LLC, filed with the U.S. Bankruptcy Court for the Southern District of Florida a Plan of Reorganization dated February 11, 2025. The Debtor is a seafood restaurant. The Debtor's managing member is Rasica Selvarajah Srikumar. The Debtor was seriously impacted by Hurricane Ian, which substantially damaged the building where they were renting. The Debtor advanced the funds to rebuild the rented building, relying on the Landlord's promise of reimbursement or a dollar-for-dollar reimbursement towards the rent. The closure due to the hurricane and the advance of funds to repair the building have forced Debtor to file a Chapter 11 Bankruptcy. This reorganization plan will reduce the Debtor's debt to the non-dispute claims plus administrative costs. The plan equity holders contend that they will have the funds to make the limited payments required. The Debtor will have projected disposable income of $10,000 per month which over the life of the Plan which will amount to $360,000. In the unlikely event that their claim for reimbursement were denied they could still pay all claims in full. This Plan of Reorganization proposes to pay all unsecured creditors in full, except for the disputed claim. The Debtor's assets and income are sufficient to fully pay the allowed claim and any administrative claims. Even if the Landlord's disputed claim were allowed, the Debtor would remain viable. The Plan includes an objection to the Landlords claim as well as proceedings to assume the lease and if necessary cure any defaults in performance under the lease. A full-text copy of the Plan of Reorganization dated February 11, 2025 is available at https://urlcurt.com/u?l=lrrw7T from PacerMonitor.com at no charge. Counsel to the Debtor: John M. Weinberg, Esq. WEINBERG LAW FIRM, P.A. 2000 Palm Beach Lakes Blvd., Ste. 701 West Palm Beach, Florida 33409 Phone: (561) 355-0901 Fax: (561) 557-8991 Email: Weinberglawpa@gmail.com About Three Fisherman Seafood Three Fisherman Seafood, LLC is a seafood restaurant. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-01761) on November 18, 2024, with as much as $50,000 in both assets and liabilities. Judge Caryl E. Delano presides over the case. John Weinberg, Esq., at Weinberg Law Firm, PA represents the Debtor as bankruptcy counsel. TOG HOTELS: Seeks Chapter 11 Bankruptcy in Texas ------------------------------------------------ On February 20, 2025, TOG Hotels Downtown LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Texas. According to court filing, the Debtor reports between $10 million and $50 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About TOG Hotels Downtown LLC TOG Hotels Downtown LLC operates the Crowne Plaza Dallas Downtown hotel, located at 1015 Elm Street in Dallas, Texas. TOG Hotels Downtown LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-30600) on February 20, 2025. In its petition, the Debtor reports estimated assets and liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Scott W. Everett handles the case. The Debtor is represented by: Joyce W. Lindauer, Esq. Joyce W. Lindauer Attorney, PLLC 1412 Main Street, Suite 500 Dallas, TX 75202 Phone: 972-503-4033 Fax: 972-503-4034 TRANSOCEAN LTD: Capital World Investors Holds 4.6% Stake -------------------------------------------------------- Capital World Investors disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owned 40,222,614 shares of Common Stock of Transocean Ltd., representing 4.6% of the 875,803,595 shares believed to be outstanding. Capital World Investors is a division of Capital Research and Management Company and its investment management subsidiaries and affiliates, collectively providing investment management services under the name "Capital World Investors." The firm has sole voting and dispositive power over all reported shares. Capital World Investors may be reached at: Jae Won Chung Vice President and Senior Counsel II 333 South Hope Street 55th Floor Los Angeles, California 90071 Tel: 213-486-9200 A full-text copy of Capital World's SEC Report is available at: https://tinyurl.com/zzfem7uz About Transocean Transocean Ltd. is an international provider of offshore contract drilling services for oil and gas wells. The Company specializes in technically demanding sectors of the offshore drilling business with a particular focus on ultra-deepwater and harsh environment drilling services. As of Feb. 14, 2024, the Company owned or had partial ownership interests in and operated 37 mobile offshore drilling units, consisting of 28 ultra-deepwater floaters and nine harsh environment floaters. Additionally, as of Feb. 14, 2024, the Company was constructing one ultra-deepwater drillship. * * * Egan-Jones Ratings Company on January 21, 2025, maintained its 'CCC-' foreign currency and local currency senior unsecured ratings on debt issued by Transocean Ltd. TREES CORP: Troob Capital and Affiliates Report Equity Stake ------------------------------------------------------------ Troob Capital Advisors LLC disclosed in a Schedule 13G/A filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it beneficially owns 13,384,507 shares of Common Stock of Trees Corp, which include: (a) 7,412,349 shares of Common Stock issuable upon the exercise of certain warrants held by TCM Tactical Opportunities Fund II LP, and (b) 5,972,158 shares of Common Stock issuable upon the partial conversion of certain Senior Secured Promissory Notes of the Company held by TCM Tactical Opportunities Fund II LP, which portion is freely convertible. As of December 31, 2024, Context|TCM Series beneficially owned 1,632,800 shares of Common Stock, which includes 1,632,800 shares of Common Stock issuable upon the exercise of Warrants held by it. Context|TCM LLC, as the investment manager of Context|TCM Series, may be deemed to beneficially own the shares of Common Stock beneficially owned by Context|TCM Series. Each of Douglas M. Troob and Peter J. Troob, as the Managing Members of Capital Advisors and Context|TCM LLC, may be deemed to beneficially own the 15,017,307 shares of Common Stock beneficially owned by each of Capital Advisors and Context|TCM LLC. The shares owned represent 10.8% of the 123,763,827 shares of Common Stock outstanding, which is the sum of (i) 108,746,520 shares of Common Stock outstanding as of November 8, 2024, as disclosed in the Company's Quarterly Report on Form 10-Q, filed with the Securities and Exchange Commission on November 8, 2024, (ii) 9,045,149 shares of Common Stock issuable upon the exercise of the Warrants, and (iii) 5,972,158 shares of Common Stock issuable upon the partial conversion of the Notes. As of December 31, 2024, the Reporting Persons may be deemed to beneficially own approximately 12.1% of the outstanding shares of Common Stock. Troob Capital Advisors LLC may be reached through: Douglas M. Troob Managing Member of Troob Capital Management LLC, its General Partner 4 International Drive Suite 230 Rye Brook, NY 10573. A full-text copy of Troob's SEC Report is available at: https://tinyurl.com/4wnzk5dp About Trees Corporation Trees Corporation is a cannabis company at the intersection of community, content, and commerce. Listed on Cboe Canada, Trees offers a differentiated retail experience, that aims to educate, amplify and unlock emerging consumer segments and need states that allows Trees to uniquely engage the 360-cannabis consumer. The Trees Group currently has 13 branded Trees storefronts in Canada, including 9 stores owned and operated in Ontario and 4 stores owned and operated in BC. Going Concern For the quarterly period ended September 30, 2024, the Company cautioned that it has incurred recurring losses and negative cash flows from operations since inception and have primarily funded its operations with proceeds from the issuance of debt and equity. The Company incurred a net loss of $3,033,403 and lost $724,309 in cash from operations during the nine months ended September 30, 2024, respectively, and had an accumulated deficit of $103,535,443 as of September 30, 2024. It had cash and cash equivalents of $245,367 as of September 30, 2024. The Company expects its operating losses to continue into the foreseeable future as it continues to execute its acquisition and growth strategy. As a result, the Company has concluded that there is substantial doubt about its ability to continue as a going concern. The Company's ability to continue as a going concern is dependent upon its ability to raise additional capital to fund operations, support its planned investing activities, and repay its debt obligations as they become due. If the Company is unable to obtain additional funding, the Company would be forced to delay, reduce, or eliminate some or all of its acquisition efforts, which could adversely affect its growth plans. As of September 30, 2024, Trees Corporation had $21,159,317 in total assets, $23,782,654 in total liabilities, and $2,623,337 in total stockholders' deficit. TYTUS DEVELOPMENT: Seeks Chapter 11 Bankruptcy in Washington ------------------------------------------------------------ On February 21, 2025, Tytus Development Corp. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Western District of Washington. According to court filing, the Debtor reports between $500,000 and $1 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Tytus Development Corp. Tytus Development Corp. is a real estate company headquartered at 12629 16th Avenue South in Seattle, Washington, has filed for Chapter 11 bankruptcy protection. Tytus Development Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Wash. Case No. 25-10451) on February 21, 2025. In its petition, the Debtor reports estimated assets and liabilities between $500,000 and $1 million each. Honorable Bankruptcy Judge Christopher M. Alston handles the case. UNIGEL GROUP: Completes Out-of-Court Reorganization --------------------------------------------------- Mayer Brown reports that The Unigel Group, one of Latin America's largest chemical companies and the leading national producer of nitrogen fertilizers, has completed its out-of-court reorganization, which began in February 2024. The process, akin to a pre-pack, restructured BRL 5 billion in debt. The restructuring involved converting the debt into new financial instruments, including bonds and Brazilian debentures. Unigel also secured BRL 600 million in new funding. Tauil & Chequer Advogados, in association with Mayer Brown, advised The Bank of New York Mellon, the trustee for the bondholders with claims totaling approximately BRL 3 billion. The team was led by partner Liv Machado, supported by associates Aline Sanches and Sofia Nielsen. The firm also handled cross-border issues related to recognizing the reorganization in the U.S. under Chapter 15 of the Bankruptcy Code and advised on the debt conversion through the issuance of new restructured notes, with BNY Mellon acting as trustee. About Unigel Participacoes SA Unigel Participacoes SA is a Brazilian fertilizer manufacturer. Unigel Participacoes sought relief under Chapter 15 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 24-11982) on November 15, 2024. VIGILANT HEALTH: Unsecureds Will Get 7.75% or 1.12% of Claims ------------------------------------------------------------- Vigilant Health Network, Inc., and affiliates filed with the U.S. Bankruptcy Court for the Middle District of Tennessee a Joint Chapter 11 Plan of Reorganization dated February 11, 2025. From its founding, Vigilant has had a two-fold mission: to eliminate healthcare disparities where the affluent receive better care than those less fortunate, and to change the fee-for-service healthcare system, which focuses on volume and sick care rather than prevention and effective management. As of the Petition Date, Vigilant operated nine clinics, including five in Mississippi, two in Kentucky, and one each in Nevada and Arkansas. As of the Petition Date, the Company had 52 employees, including 36 clinical professionals that include physicians, nurse practitioners, nurses, and diabetes educators. These are all dedicated professionals and they are central to delivering Vigilant's exceptional care model. Vigilant was adversely impacted by the Covid-19 pandemic and its aftermath, it has struggled through some of the growing pains common with expanding businesses, and it has been undercapitalized based on the pace of its growth. Historically, the Company has funded shortfalls primarily through reliance on insiders. As of the Petition Date, total insider debt is approximately $4.7 million, which includes nearly $1 million in loans from Mr. Triggs and Dr. Bouldin in the last Prepetition quarter to fund payrolls and other critical expenses. The Company also began borrowing from merchant cash advance lenders in an effort to bridge the gap on temporary cash shortfalls. When the Company defaulted, certain MCA lenders sent demands to Vigilant’s customers to redirect payments. That put Vigilant's clients in an untenable position, and so the decision was made to file for Chapter 11 protection to remove the cloud and to deal with the Company's debt burden in an organized way under the Bankruptcy Court's supervision. Class 4 consists of General Unsecured Claims. After satisfaction in full of Allowed Class 2 Claims and 3 Claims, if any, each Holder of an Allowed Class 4 Claim shall be paid its Pro Rata portion of the Disposable Income of the Business in annual Distributions during the Commitment Period, with the first such payment due on first anniversary of the Effective Date. This Class shall receive 7.75% if no Allowed Class 3 Claims or 1.12% if Class 3 Claims equal $500,000. Class 5 consists of Subordinated Claims. Class 5 Claims shall be equitably subordinated under section 510(c) of the Bankruptcy Code and thus subordinated to Class 4 General Unsecured Claims for purposes of Distribution. Holders of Allowed Class 5 Claims shall receive no Distribution under this Plan unless and until all Allowed Claims in Classes 2, 3 and 4 are paid in full. Only after satisfaction of those higher-priority Claims shall Holders of Class 5 Claims be eligible to receive any remaining distributable value, if any, on a pro-rata basis. If no remaining value is available, Holders of Class 5 Claims shall not receive any Distribution. Any Lien securing a Class 5 Claim shall be transferred to the Estate. Class 6 consists of Interest Holders. Except for Equity Conversion Rights rejected pursuant to section 12.2 of the Plan, and any property to be sold, abandoned, or otherwise relinquished under this Plan, Interests in and ownership of the Debtors shall remain unaltered. The Debtors shall use proceeds from Business operations to pay all required payments on the Effective Date and all payments due under the Plan on an on-going basis. A full-text copy of the Joint Plan dated February 11, 2025 is available at https://urlcurt.com/u?l=Q5Jp3v from PacerMonitor.com at no charge. Counsel to the Debtors: Robert J. Gonzales, Esq. Nancy B. King, Esq. EMERGELAW, PLLC 4235 Hillsboro Pike, Suite 350 Nashville, TN 37215 Tel: (615) 815-1535 Email: robert@emerge.law nancy@emerge.law About Vigilant Health Network, Inc. Vigilant Health Network, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Tenn. Case No. 25-00100) on January 9, 2025, with up to $10 million in both assets and liabilities. G. Austin Triggs, Jr., executive chairman of Vigilant Health Network, signed the petition. Judge Charles M. Walker oversees the case. Robert J. Gonzales, Esq., at EmergeLaw, PLC, represents the Debtor as bankruptcy counsel. VINTAGE WINE: Wasatch Advisors Holds No Shares as of Dec. 31 ------------------------------------------------------------ Wasatch Advisors LP disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it no longer owns shares of Vintage Wine Estates, Inc.'s common stock. Wasatch Advisors LP may be reached at: Mike Yeates, CEO 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Tel: 801-533-0777 A full-text copy of Wasatch Advisors' SEC Report is available at: https://tinyurl.com/34ssut6m About Vintage Wine Estates Vintage Wine Estates, Inc. (NASDAQ: VWE) produces and sells wines and craft spirits in the United States, Canada, and internationally. The company offers its products under the Layer Cake, Cameron Hughes, Clos Pegase, B.R. Cohn, Firesteed, Bar Dog, Kunde, Cherry Pie, and others. It also owns and operates hospitality facilities; and provides bottling, fulfillment, and storage services to other companies on a contract basis. The company was founded in 2019 and is headquartered in Incline Village, Nevada. As of March 31, 2024, the Company had $478.63 million in total assets, $393.47 million in total liabilities, and $84.92 million in total stockholders' equity. As of Dec. 31, 2023, the Company had $502.5 million in total assets and $391.6 million in total liabilities. Vintage Wine Estates, Inc., announced that the Company and certain of its subsidiaries filed a voluntary petition for reorganization under chapter 11 of title 11 of the United States Code in the United States Bankruptcy Court for the District of Delaware. This process is intended to establish a fair, structured process for VWE to address outstanding debt obligations while the business pursue the sale of its assets. Over the preceding months, the Company experienced negative financial headwinds that severely impacted its liquidity position. In response, the Company explored several solutions to overcome these challenges, with the monetization of all assets being the most viable path forward to maximize value. On July 24, 2024, Meier Wine Cellars Acquisition, LLC, and 11 subsidiaries, including Vintage Wine Estates, Inc. (CA) and Vintage Wine Estates, Inc. (NV), each filed petitions in the United States Bankruptcy Court for the District of Delaware seeking relief under chapter 11 of the United States Bankruptcy Code. The Debtors cases are jointly administered under In re Meier's Wine Cellars Acquisition, LLC, Case No. 24-11575. The Debtors entered chapter 11 with approximately $310 million in secured debt and successfully negotiated a $60.5 million debtor-in-possession financing facility, including $26.5 million of new money, with their prepetition secured lenders. The Debtors intend to seek confirmation of a chapter 11 plan following the successful sale of their assets. Jones Day and Richards, Layton & Finger, P.A., serve as counsel to the Debtors. Riveron RTS, LLC, is the financial advisor. Epiq is the claims agent. Fox Rothschild LLP is the Creditors' Committee's counsel. VISION2SYSTEMS LLC: Seeks Chapter 11 Bankruptcy in Texas -------------------------------------------------------- On February 19, 2025, Vision2Systems LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Texas. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will not be available to unsecured creditors. About Vision2Systems LLC Vision2Systems LLC founded in 2012, is a software company based in Dallas, Texas, that provides online giving and membership management platforms tailored for churches. The platform offers solutions for accounting, donations, event planning, and overall church management. Vision2Systems LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-40583) on February 19, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by: Jason P. Kathman, Esq. SPENCER FANE 5700 Granite Parkway, Suite 650 Plano, TX 75024 Tel: 972-324-0300 Email: jkathman@spencerfane.com WEBSTERNT LLC: Hires Michael J. Barnes CPA as Accountant -------------------------------------------------------- Websternt LLC seeks approval from the U.S. Bankruptcy Court for the Western District of New York to employ Michael J. Barnes, CPA as accountant. The firm will provide these services: a. prepare the Debtor's federal and state income tax returns; b. prepare those bookkeeping and accounting procedures deemed necessary for the preparation of those tax returns; and c. assist with such other matters as the Debtor or its counsel may request from time to time. The firm will be paid $500 per month. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Michael J. Barnes, CPA, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Michael J. Barnes, CPA 3425 Veterans Memorial Highway Suite B Ronkonkoma, NY 11779 Tel: (341) 471-3400 About Websternt LLC WebsterNT, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. N.Y. Case No. 24-11436) on December 19, 2024, with $1 million to $10 million in both assets and liabilities. Judge Carl L. Bucki oversees the case. Scott J. Bogucki, Esq., at Gleichenhaus, Marchese & Weishaar, PC represents the Debtor as legal counsel. WEIR CONTRACTING: Seeks Subchapter V Bankruptcy in Texas -------------------------------------------------------- On February 21, 2025, Weir Contracting Brothers LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Texas. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Weir Contracting Brothers LLC Weir Contracting Brothers LLC is a limited liability company. Weir Contracting Brothers LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-40604) on February 21, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $1 million and $10 million. The Debtor is represented by: John A. Sopuch, III, Esq. 4833 Saratoga Blvd. Corpus Christi, TX 78413 Phone: 808-343-1158 WESTERN REGIONAL: To Sell LA Property to B. Noronha and R. Chan --------------------------------------------------------------- Western Regional Properties LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California, San Fernando Valley Division, to sell its real property located at 119 South Westlake Avenue, Los Angeles, California 90057, free and clear of liens, claims, and encumbrances. The Debtor's property is a tenancy-in-common unit in a four-unit building, and is the third unit to be sold. The Debtor seeks to pay secured lender, GITSIT Solutions LLC, the net proceeds of this sale (after broker, title and escrow fees) in the estimated amount of $502,000, plus the proceeds of a loan transaction in the amount of $345,000. The Debtor wants to sell the property to Brandon Noronha and Rica Chan and/or Assignee, on the following terms: 1. The price will be $540,000.00, no financing contingencies; 2. The sale is free and clear of all liens, claims and encumbrances as set forth herein; to the extent that any secured claims against the property are not paid at the close of escrow, the liens shall continue to attach to the remaining 25% interest in the fee and to Unit 119 1/2. The lienholders of the property include GITSIT Solutions, Alt-Cap, brokers' commission of 5% to TRG Realty Company and Liz McDonald with (2 1/2%and Nancy Gerber and Teresa Fuller Real Estate Team with 2 1/2%. The property will be sold free and clear of liens, encumbrances and interests because the price to be paid plus the loan proceeds is more than the value of all liens against the unit and/or the holder could be compelled in a legal or equitable proceeding to accept a money satisfaction of that interest. About Western Regional Properties LLC Western Regional Properties, LLC, owns, as tenant-in-common, properties in Los Angeles, Calif., valued at $1.3 million. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 24-10860) on May 28, 2024. In the petition signed by Temidayo Akinyemi, managing member, the Debtor disclosed $1,374,512 in total assets and $934,036 in total liabilities. Judge Martin R. Barash oversees the case. Richard T. Baum, Esq., represents the Debtor as legal counsel. WILLAMETTE VALLEY: Fine-Tunes Plan Documents -------------------------------------------- Willamette Valley Hops, LLC ("WVH") submitted a Fourth Amended Disclosure Statement accompanying Plan of Reorganization dated February 12, 2025. The accompanying Plan of Reorganization describes how all claims will be treated under the proposed plan. In particular, if the plan is confirmed, holders of general unsecured claims will receive a dividend of approximately 11% of their allowed claims. The payment to unsecured creditors will come from Debtor's operations. If Debtor is unable to sell the equity interest in Debtor for at least $1,047,200, one of Debtor's members, Bruce Wolf, will sell sufficient real property within 60 days of Confirmation to pay secured creditor U.S. Bank in full on its secured debt which totals over $1,500,000 including the amounts guaranteed by Willamette Valley Hops in the amount of $648,263.33. If Debtor is able to sell the equity interest for at least $1,047,200, the money from the sale will be used to pay off the U.S. Bank secured debt. Any balance of the U.S. Bank secured debt guaranteed by Debtor will be paid off by Bruce Wolf. If Debtor is unable to sell the equity interest for at least $1,047,200, the payment to U.S. Bank will be funded by the sale of Bruce Wolf's 60 acre hop farm and an office warehouse on the property. In the alternative, the pay off may be funded by sale of the equity interest in Debtor. After the sale, Debtor will lease back the office and warehouse from the buyer. Bruce Wolf has a pending sale of the farm, which will pay off both U.S. Bank loans. The agreement on the sale is subject to confirmation of the Plan. Debtor will lease back the office and warehouse for $6,000 per month. The cash flow attached as Exhibit B is calculated based upon the leaseback at $6,000 per month. Class 2 consists of Unsecured Claims of less than $10,000.00. These creditors will be paid 50% of their claim amount within 90 days of confirmation as payment in full. Any creditor with a claim of more than $10,000.00 can elect to be a part of this class and receive a payment of $5,000.00 in full satisfaction of its claim. Class 3 consists of General Unsecured Claims of more than $10,000.00. These claims total approximately $8,700,000.00. Debtor understands that creditor John I Haas intends to file claims for the rejection of most of the contracts Debtor had with Haas. This will increase the total claims significantly and will lower the overall percentage the unsecured creditors will receive. These creditors will share pro-rata in monthly distributions beginning at $2,000.00 in November 2024. The creditors will receive approximately 11% of their claims which might be lowered to as much as 5% depending on the amount of Haas' claim for rejection of contract damages. Haas owes Debtor approximately $140,000 for work Debtor did in 2023 in the form of receiving and inventorying hops. On the Effective Date of the Plan Haas will be allowed to offset this debt against the debt owed to it by Debtor. The total to be distributed is $954,000.00. The Debtor's member, Bruce Wolf, is selling his 60-acre hop farm and office and warehouse for enough to pay off the secured creditor U.S. Bank. The total owed to U.S. Bank is approximately $1,590,342.16, which includes the guaranteed debt of Bruce Wolf in the approximate amount of $648,263.33 and $942,078.83 owed by Debtor. The amounts that were due and owing as of the date of the U.S. Bank claims; the actual payoff will be the amount of each claim calculated at the contract rate until the date of payment, subject to any modification of the contract rate under the confirmed Plan. The 60-acre farm and warehouse were additional security for the U.S. Bank loan to Debtor. The payments to the other creditors will be funded from the income generated by Debtor's business. If Debtor sells its equity to a third party under an accepted bid under the procedures set forth below, the Plan will require that Bruce Wolf irrevocably pledge to sell or refinance the hop farm that secures the debt of U.S. Bank under Claim No. 10 and to pay Claim No. 10 in full at the contract rate, with such sale or refinance to close with full payment of the U.S. Bank under Claim No. 10 out of the closing escrow, no later than the Effective Date. A full-text copy of the Fourth Amended Disclosure Statement dated February 12, 2025 is available at https://urlcurt.com/u?l=ufU3zd from PacerMonitor.com at no charge. Attorney for the Debtor: Ted A. Troutman, Esq. TROUTMAN LAW FIRM, PC 5075 SW Griffith Dr., Suite 220 Beaverton, OR 97005 Telephone: (503) 292-6788 Facsimile: (503) 596-2371 Email: tedtroutman@sbcglobal.net About Willamette Valley Hops Willamette Valley Hops, LLC, is a family owned and operated premium hop product distributor established in 2008 and located in the heart of the Willamette Valley. Willamette Valley Hops filed a Chapter 11 petition (Bankr. D. Ore. Case No. 24-60110) on Jan. 19, 2024, with $10 million to $50 million in both assets and liabilities. Paul Stevens, managing member, signed the petition. Judge Peter C. Mckittrick oversees the case. Ted A. Troutman, Esq. at Troutman Law Firm, PC, is the Debtor's legal counsel. WILLAMETTE VALLEY: Taps International Business as Business Broker ----------------------------------------------------------------- WILLAMETTE VALLEY HOPS, INC. seeks approval from the U.S. Bankruptcy Court for the District of Oregon to employ Cameron Johnson of International Business Associates, Inc. as business broker. The firm will sell the equity interest of the Debtor for a total price of not less than $1,047,200, which includes the brokers commissions of $104,720 that will net Debtor at least $952,000 to pay off the secured debt of U.S. Bank. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Cameron Johnson International Business Associates, Inc. 1050 SW 6th Avenue, Suite 1100 Portland, OR 97204 Tel: (503) 739-4880 About Willamette Valley Hops, Inc. Willamette Valley Hops, LLC, is a family owned and operated premium hop product distributor established in 2008 and located in the heart of the Willamette Valley. Willamette Valley Hops filed a Chapter 11 petition (Bankr. D. Ore. Case No. 24-60110) on Jan. 19, 2024, with $10 million to $50 million in both assets and liabilities. Paul Stevens, managing member, signed the petition. Judge Peter C. Mckittrick oversees the case. Ted A. Troutman, Esq. at Troutman Law Firm, PC, is the Debtor's legal counsel. WILLOUGHBY EQUITIES: Hires Northgate as Real Estate Advisor ----------------------------------------------------------- Willoughby Equities, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to employ Northgate Real Estate Group as Real Estate Advisor. The firm will market and sell, arrange refinancing for, or otherwise dispose of the property of the Debtor located at 599-601 Willoughby Street, Brooklyn, New York. The firm will be paid a commission of 3 percent of the purchase price of the property. Greg Corbin, a partner at Northgate Real Estate Group, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Greg Corbin Northgate Real Estate Group 1633 Broadway, 46th Floor New York, NY 10019 Tel: (212) 369-4000 About Willoughby Equities, LLC Willoughby Equities LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). The Debtor is the owner of real property located at 599-601 Willoughby St. valued at $3 million. Willoughby Equities LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-44217) on October 10, 2024. In the petition filed by Abraham Lowenstein, as president/sole member, the Debtor reports total assets of $3,000,000 and total liabilities of $2,864,604. The Honorable Bankruptcy Judge Jil Mazer-Marino handles the case. The Debtor is represented by: Eric Snyder, Esq. WILK AUSLANDER LLP 825 Eight Avenue Suite 2900 New York, NY 10019 Tel: (212) 981-2300 Fax: (212) 752-6380 E-mail: esnyder@wilkauslander.com WOM SA: Ex-CEO to Reassume Position After Ch. 11 Exit ----------------------------------------------------- Carolina Gonzalez of Bloomberg News reports that Chris Bannister will take over as CEO from Martin Vaca Narvaja, the company announced. A hearing for WOM's restructuring plan is scheduled for March 6, 2025, the statement said. Chile's WOM's reorganization plan has received court approval. It also has been authorized to raise $500 million to exit US bankruptcy. About WOM S.A. WOM is a Chilean telecommunications provider, focused on offering mobile voice, data, and broadband services, along with a rapidly expanding "Fiber to the Home" broadband offering, to consumers and businesses in Chile. Since the acquisition of Nextel Chile in 2015 through Novator Partners LLP's investment vehicle NC Telecom AS, WOM has expanded from having virtually no market share to establishing itself as the second-largest mobile network operator in Chile. WOM sought relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-10628) on April 1, 2024. In the petition filed by Timothy O'Connoer, as independent director, the Debtor estimated assets and liabilities between $1 billion and $10 billion each. The Honorable Bankruptcy Judge Karen B. Owens oversees the case. The Debtors tapped White & Case, LLP as general bankruptcy counsel; Richards, Layton & Finger, P.A. as local bankruptcy counsel; Riveron Consulting, LLC, as financial advisor; and Rothschild & Co US Inc. as investment banker. Kroll Restructuring Administration, LLC, is the claims agent. WORKHORSE GROUP: Issues $35MM Tenth Additional Note --------------------------------------------------- As previously disclosed, on March 15, 2024, Workhorse Group Inc. entered into a securities purchase agreement with an institutional investor under which the Company agreed to issue and sell, in one or more registered public offerings by the Company directly to the Investor, (i) senior secured convertible notes for up to an aggregate principal amount of $139,000,000 that will be convertible into shares of the Company's common stock, par value of $0.001 per share and (ii) warrants to purchase shares of Common Stock in multiple tranches over a period beginning on March 15, 2024. Pursuant to the Securities Purchase Agreement, on February 12, 2025, the Company issued and sold to the Investor (i) a Note in the original principal amount of $35,000,000 and (ii) a Warrant to purchase up to 55,045,655 shares of Common Stock. The Investor has waived its right to receive certain Warrants in connection with the issuance of the Tenth Additional Note. The Tenth Additional Note was issued pursuant to the Company's Indenture between the Company and U.S. Bank Trust Company, National Association, as trustee, dated December 27, 2023, and a Twelfth Supplemental Indenture, dated February 12, 2025, entered into between the Company and the Trustee. As previously disclosed, the Company has issued and sold to the Investor (i) Notes in aggregate original principal amount of $42,485,714 and (ii) Warrants to purchase up to 15,640,900 shares of Common Stock pursuant to the Securities Purchase Agreement (following adjustment in connection with the Company's 1-for-20 reverse stock split, which became effective on June 17, 2024). As of February 11, 2025, $8,350,000 aggregate principal amount remained outstanding under the Notes, and no shares had been issued pursuant to the Warrants. Upon our filing of one or more additional prospectus supplements, and our satisfaction of certain other conditions, the Securities Purchase Agreement contemplates additional closings of up to $61,514,286 in aggregate principal amount of additional Notes and a corresponding Warrant pursuant to the Securities Purchase Agreement as further described in our Current Report on Form 8-K filed on March 15, 2024. The description of the Securities Purchase Agreement, form of Note, form of Warrant, Indenture, Security Agreement and Subsidiary Guarantee contained therein is hereby incorporated by reference herein in its entirety. No Note may be converted and no Warrant may be exercised to the extent that such conversion or exercise would cause the then holder of such Note or Warrant to become the beneficial owner of more than 9.99% of the Company's then outstanding Common Stock, after giving effect to such conversion or exercise (the "Beneficial Ownership Cap"). Notes Like the Prior Notes, the Tenth Additional Note was issued with original issue discount of 12.5%, resulting in $30,625,000 of proceeds to the Company before fees and expenses. Pursuant to a letter agreement entered into between the Company and the Investor in connection with the Tenth Additional Note (the "Lockbox Letter"), such proceeds, after fees and expenses, were deposited into a lockbox account under the control of the collateral agent under the Securities Purchase Agreement. Funds may be released from the lockbox from time to time (i) in an amount corresponding to the principal amount converted, if the Investor converts any portion of the Tenth Additional Note; (ii) in the amount of $2,625,000 each calendar month, if the Company satisfies the conditions of a Market Release Event (as defined in the Lockbox Letter), including minimum common stock price and trading volume conditions; or (iii) otherwise, with the consent of the Investor. Although the Company expects that it will receive the funds held in the lockbox account during the term of the Tenth Additional Note, it is possible that the foregoing events will not occur with respect to some or all of the principal amount of the Tenth Additional Note and that, accordingly, it will not be able to draw some or all of the funds in the lockbox account. The Tenth Additional Note is a senior, secured obligation of the Company, ranking senior to all other unsecured indebtedness, subject to certain limitations and is unconditionally guaranteed by each of the Company's subsidiaries, pursuant to the terms of a certain security agreement and subsidiary guarantee. Like the Prior Notes, the Tenth Additional Note bears interest at a rate of 9.0% per annum, payable in arrears on the first trading day of each calendar quarter, at the Company's option, either in cash or in-kind by compounding and becoming additional principal. Upon the occurrence and during the continuance of an event of default, the interest rate will increase to 18.0% per annum. Unless earlier converted or redeemed, the Tenth Additional Note will mature on the one-year anniversary of the date hereof, subject to extension at the option of the holders in certain circumstances as provided in the Tenth Additional Note. Like the Prior Notes, all amounts due under the Tenth Additional Note are convertible at any time, in whole or in part, and subject to the Beneficial Ownership Cap, at the option of the holders into shares of Common Stock at a conversion price equal to the lower of $0.4244 (the "Reference Price") or (b) the greater of (x) $0.1000 (the "Floor Price") and (y) 87.5% of the volume weighted average price of the Common Stock during the ten trading days ending and including the trading day immediately preceding the delivery or deemed delivery of the applicable conversion notice, as elected by the converting holder. The Reference Price and Floor Price are subject to customary adjustments upon any stock split, stock dividend, stock combination, recapitalization or similar event. The Reference Price is also subject to full-ratchet adjustment in connection with a subsequent offering at a per share price less than the Reference Price then in effect. Subject to the rules and regulations of Nasdaq, we have the right, at any time, with the written consent of the Investor, to lower the reference price to any amount and for any period of time deemed appropriate by our board of directors. Upon the satisfaction of certain conditions, we may prepay the Tenth Additional Note upon 15 business days' written notice by paying an amount equal to the greater of (i) the face value of the Tenth Additional Note at premium of 25% (or 75% premium, during the occurrence and continuance of an event of default, or in the event certain redemption conditions are not satisfied) and (ii) the equity value of the shares of Common Stock underlying the Tenth Additional Note. The equity value of the Common Stock underlying the Tenth Additional Note is calculated using the two greatest volume weighted average prices of our Common Stock during the period immediately preceding the date of such redemption and ending on the date we make the required payment. Like the Prior Notes, the Tenth Additional Note contains customary affirmative and negative covenants, including certain limitations on debt, liens, restricted payments, asset transfers, changes in the business and transactions with affiliates. It also requires the Company to maintain minimum liquidity on the last day of each fiscal quarter in the amount of either (i) $1,500,000 if the sale leaseback transaction of Company's manufacturing facility in Union City, Indiana (the "Sale Leaseback") has not been consummated and (ii) $4,000,000 if the Sale Leaseback has been consummated, subject to certain conditions. The Tenth Additional Note also contains customary events of default. The Company and the Investor previously entered into a limited waiver (the "Waiver") of certain provisions of the Securities Purchase Agreement, whereby (i) for the period from entry into the Waiver and ending on and including October 16, 2025, the Investor waived certain provisions of the Securities Purchase Agreement to permit the Company to sell up to $5 million in shares of Common Stock pursuant to an at-the-market offering program without a price floor and without application of certain anti-dilution and participation provisions in the Notes and the Warrants, and (ii) the Company waived the obligation of an affiliate of the Investor to make certain ongoing lease payments under the asset purchase agreement pursuant to which the Company divested from its aero business. Under certain circumstances, including a change of control, the holder may cause us to redeem all or a portion of the then-outstanding amount of principal and interest on the Tenth Additional Note in cash at the greater of (i) the face value of the amount of the Tenth Additional Note to be redeemed at a 25% premium (or at a 75% premium, if certain redemption conditions are not satisfied or during the occurrence and continuance of an event of default), except that if the Company is required to make a redemption under the Tenth Additional Note and no event of default has occurred and is continuing and there is no redemption conditions failure, the redemption premium on principal and interest of the Tenth Additional Note corresponding to funds held in the lockbox account will be 10%, (ii) the equity value of our Common Stock underlying such amount of the Tenth Additional Note to be redeemed and (iii) the equity value of the change of control consideration payable to the holder of our Common Stock underlying the Tenth Additional Note. In addition, during an event of default, the holder may require us to redeem in cash all, or any portion, of the Tenth Additional Note at the greater of (i) the face value of our Common Stock underlying the Tenth Additional Note at a 75% premium and (ii) the equity value of our Common Stock underlying the Tenth Additional Note. In addition, during a bankruptcy event of default, we shall immediately redeem in cash all amounts due under the Tenth Additional Note at a 75% premium unless the holder of the Tenth Additional Note waives such right to receive payment. Further, upon the sale of certain assets, the holder may cause a redemption at a premium, including upon consummation of the Sale Leaseback if the redemption conditions are not satisfied. The Tenth Additional Note also provides for purchase and participation rights in the event of a dividend or other purchase right being granted to the holders of Common Stock. Warrants The exercise price per share of Common Stock under the New Warrant is $0.6999. Like the Prior Warrants, the New Warrant is immediately exercisable for a period of 10 years following its issuance date. Like the Prior Warrants, the Investor has a purchase right that allows the Investor to participate in transactions in which the Company issues or sells certain securities or other property to holders of Common Stock, allowing the Investor to acquire, on the terms and conditions applicable to such purchase rights, the aggregate purchase rights which the Investor would have been able to acquire if the Investor held the number of shares of Common Stock acquirable upon exercise of the New Warrant. In the event of a Fundamental Transaction (as defined in the New Warrant) that is not a change of control or corporate event as described in the New Warrant, the surviving entity would be required to assume the Company's obligations under the New Warrant. In addition, if the Company engages in certain transactions that result in the holders of the Common Stock receiving consideration, a holder of the New Warrant will have the option to either (i) exercise the New Warrant prior to the consummation of such transaction and receive the consideration to be issued or distributed in connection with such transaction or (ii) cause the Company to repurchase the New Warrant for its then Black Scholes Value (as defined in the New Warrant). The issuance of the Tenth Additional Note, the New Warrant and the shares of Common Stock issuable upon conversion have been registered pursuant to the Company's effective shelf registration statement on Form S-3 (File No. 333-273357) (the "Registration Statement"), and the related base prospectus included in the Registration Statement, as further supplemented by a prospectus supplement filed on February 12, 2025. About Workhorse Group Workhorse Group Inc. -- http://www.workhorse.com-- is an American technology company with a vision to pioneer the transition to zero-emission commercial vehicles. The Company designs, develops, manufactures and sells fully electric ground and air-based electric vehicles. Cincinnati, Ohio-based Grant Thornton LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated March 12, 2024, citing that the Company incurred a net loss of $123.9 million and used $123.0 million of cash in operating activities during the year ended December 31, 2023. As of that date, the Company had total working capital of $40.5 million, including $25.8 million of cash and cash equivalents, and an accumulated deficit of $751.6 million. These conditions, along with other matters, raise substantial doubt about the Company's ability to continue as a going concern. WORLD ACCEPTANCE: S&P Alters Outlook to Stable, Affirms 'B-' ICR ---------------------------------------------------------------- S&P Global Ratings revised its outlook on World Acceptance Corp. (WRLD) to stable from negative and affirmed its 'B-' issuer credit rating on the company. S&P also affirmed its 'CCC+' issue rating on the company's senior unsecured notes. The outlook revision is based on WRLD's improved asset quality. For the nine months ended Dec. 31, 2024, the company's annualized net charge-offs to average net loan receivables improved to 17.1% ($123 million in net charge-offs) from 17.4% ($132 million in net charge-offs) a year prior and 23.6% ($204 million in net charge-offs) in the same period in 2022. Of the $139 million in gross charge-offs recognized in the nine months ended Dec. 31, 2024, $103 million was related to loans originated in fiscal year 2024 (12 months ended March 2024). The company's 90-day-plus delinquency ratio improved to 3.4% as of Dec. 31, 2024, from 3.7% a year prior and 4.9% as of Dec. 31, 2022. The decline in net charge-offs and delinquencies was due to the company tightening its credit underwriting and revising its strategy to focus on small loans with higher yield. As of Dec. 31, 2024, the company's large loan portfolio accounted for 48% of total loans, marginally down from 52% a year prior. S&P expects the company to maintain cushion relative to the covenant requirements in 2025. The company's revolving credit agreement contains financial covenants based on its fixed-charge coverage ratio (FCCR), collateral performance indicator, and total debt to consolidated adjusted net worth. After a covenant breach in the quarter ended September 2022, the company obtained covenant waivers or amendments from its lenders. The company's cushion relative to the 2.0x FCCR covenant requirement (the most restrictive one in recent quarters) had improved due to stronger operating performance. Absent any further amendments, S&P expects the cushion to remain modest since the FCCR requirement will increase to 2.25x in the quarter ended March 2025. S&P said, "We expect the company to prudently address the upcoming debt maturities related to its revolving credit facility and senior unsecured notes. In our view, the company faces modest refinancing risk in the second half of 2026 as it has $223 million of senior unsecured notes due November 2026 and its revolving credit facility ($336 million outstanding as of Dec. 31, 2024) due June 2026. As of Dec. 31, 2024, the company had about $16 million cash on its balance sheet and $244 million available capacity on its revolver. "The company had gradually increased its originations in recent quarters, and we expect leverage, measured as debt to adjusted total equity (ATE), to remain 1.5x-2.75x as its originations normalize. WRLD's debt to ATE declined slightly to 1.3x as of Dec. 31, 2024, from 1.4x a year prior. The decline in leverage was primarily owing to lower unsecured notes balance and higher equity retention from improved operating performance, partially offset by higher drawdown on its revolver. "For the nine months ended Dec. 31, 2024, the company repurchased about $48 million (16% of original issued amount) in unsecured notes at an average price of about 98% of par. We treat the debt repurchase as treasury management rather than a distressed debt exchange because the debt repurchase was done at a price with minimal discount to par. "Our issue rating on WRLD's senior unsecured notes is unchanged at 'CCC+'. The rating on the notes is one notch below the issuer credit rating because priority debt remains above 30% of adjusted assets, and we expect that the unencumbered assets-to-unsecured debt ratio will remain above 1.0x. If that ratio drops below 1.0x and priority debt remains above 30% of adjusted assets, we would lower the issue rating by one notch to 'CCC'. "The stable outlook reflects our expectation that over the next 12 months, the company will maintain stable asset quality and sufficient cushion to its covenant requirements. Our outlook also considers WRLD operating with leverage, as measured by debt to ATE, of 1.5x-2.75x on a sustained basis." S&P could downgrade the company over the next 12 months if: -- WRLD is unable to get covenant waivers on its credit facilities, such that a default is imminent; -- The company has difficulty addressing its upcoming debt maturities; -- Asset quality becomes materially strained--as indicated by rising delinquencies, net charge-offs, or credit loss provisions--and profitability metrics decline; or -- Regulatory issues materially affect the company's ability to operate. S&P could raise the ratings over the next 12 months if the company operates with steady operating performance while maintaining sufficient covenant cushion, leverage of 1.5x-2.75x, and adequate liquidity. An upgrade will also be contingent on no potential regulatory risk hindering operating performance and the company addressing its upcoming debt maturities. WYNN RESORTS: Incurs $639.72 Million Net Income in FY Ended Dec. 31 ------------------------------------------------------------------- Wynn Resorts Ltd. filed with the Securities and Exchange Commission its Annual Report on Form 10-K disclosing a net income of $639.72 million on $7.13 billion of total operating revenue for the year ended December 31, 2024, compared to a net income of $782.22 million on $6.53 billion of total operating revenue for the year ended December 31, 2023. Operating revenues were $1.84 billion for the fourth quarter of 2024, flat compared to operating revenues of $1.84 billion for the fourth quarter of 2023. Net income attributable to Wynn Resorts, Limited was $277 million for the fourth quarter of 2024, compared to net income attributable to Wynn Resorts, Limited of $729.2 million for the fourth quarter of 2023. Net income attributable to Wynn Resorts, Limited for the fourth quarter of 2023 included an income tax benefit of $474.2 million related to the release of valuation allowance on certain deferred tax assets. Diluted net income per share was $2.29 for the fourth quarter of 2024, compared to diluted net income per share of $6.19 for the fourth quarter of 2023. Adjusted Property EBITDAR was $619.1 million for the fourth quarter of 2024, compared to Adjusted Property EBITDAR of $630.4 million for the fourth quarter of 2023. "Our fourth quarter and full year results reflect continued strength throughout our business, setting another full-year record for Adjusted Property EBITDAR for the Company in 2024, with another annual record in Las Vegas," said Craig Billings, CEO of Wynn Resorts, Limited. "We delivered strong quarterly performance in Las Vegas on very tough comparables and drove healthy market share in Macau led by strength in both premium mass and VIP. In addition, construction of the Wynn Al Marjan Island project in the UAE continued to advance, and the thirty-fifth floor of the hotel tower was recently completed. We are confident the resort will be a 'must see' tourism destination in the UAE and will support strong long-term free cash flow growth. At the same time, during the fourth quarter, we continued to focus on the return of capital to shareholders through both a cash dividend and the repurchase of $200 million of our stock." As of December 31, 2024, the Company had $12.98 billion in total assets, $13.95 billion in total liabilities, and a total stockholders' deficit of $968.60 million. A full-text copy of the Company's Form 10-K is available at: https://tinyurl.com/55tucudh About Wynn Resorts Ltd. Headquartered in Las Vegas, Nevada, Wynn Resorts, Limited owns and operates hotels and casino resorts. * * * Egan-Jones Ratings Company on January 14, 2025, maintained its 'CCC+' foreign currency and local currency senior unsecured ratings on debt issued by Wynn Resorts. WYNN RESORTS: Susquehanna and Affiliates Report 2.5% Stake ---------------------------------------------------------- Susquehanna Securities, LLC disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of December 31, 2024, it and its affiliated entities -- G1 Execution Services, LLC, SIG Brokerage, LP, Susquehanna Fundamental Investments, LLC, Susquehanna Investment Group -- beneficially owns 2,684,996 shares of Wynn Resorts, Limited's common stock, representing 2.5% of the 109,814,972 Shares outstanding as of October 29, 2024. The number of Shares reported as beneficially owned by Susquehanna Investment Group consists of options to buy 114,000 Shares. The number of Shares reported as beneficially owned by Susquehanna Securities includes options to buy 2,036,000 Shares. Susquehanna Securities may be reached through: Brian Sopinsky, Secretary 401 E. City Avenue Suite 220 Bala Cynwyd Pa. 19004 Tel: 610-617-2600 A full-text copy of Susquehanna's SEC Report is available at: https://tinyurl.com/449ewmdp About Wynn Resorts Ltd. Headquartered in Las Vegas, Nevada, Wynn Resorts, Limited owns and operates hotels and casino resorts. Wynn Resorts reported a net income of $639.72 million for the year ended December 31, 2024, compared to a net income of $782.22 million for the year ended December 31, 2023. As of December 31, 2024, the Company had $12.98 billion in total assets, $13.95 billion in total liabilities, and a total stockholders' deficit of $968.60 million. * * * Egan-Jones Ratings Company on January 14, 2025, maintained its 'CCC+' foreign currency and local currency senior unsecured ratings on debt issued by Wynn Resorts. XTI AEROSPACE: Regains Compliance with Nasdaq Listing Requirements ------------------------------------------------------------------ XTI Aerospace, Inc. (NASDAQ: XTIA), a pioneer in advanced aircraft design, announced that it has received formal notification from The Nasdaq Stock Market LLC confirming that the company has regained compliance with the minimum bid price requirement set forth in Nasdaq Listing Rule 5550(a)(2). This notification follows XTI Aerospace's recent efforts to address its non-compliance status, which was triggered when the company's common stock failed to maintain a minimum bid price of $1.00 per share over the required consecutive 30-business-day period. "We are pleased to have achieved compliance with Nasdaq's listing requirements," said Brooke Turk, CFO of XTI Aerospace. "This announcement further evidences the progress we’ve made as we continue executing on our long-term growth strategy, and we look forward to delivering continued value to our shareholders." Nasdaq's confirmation acknowledges that the closing bid price of XTI Aerospace’s common stock has been at $1.00 per share or greater for more than 10 consecutive business days, as required to regain compliance. XTI Aerospace remains fully focused on executing its strategic initiatives to drive growth, deliver long-term value to shareholders, and continue advancing its industry-leading solutions in vertical takeoff and landing (VTOL) aircraft technology. About XTI Aerospace XTI Aerospace, Inc. -- https://xtiaerospace.com -- is the parent company of XTI Aircraft Company headquartered near Denver, Colorado. XTI Aerospace is developing the TriFan 600, a vertical lift crossover airplane (VLCA) that combines the vertical takeoff and landing (VTOL) capabilities of a helicopter with the speed and range of a fixed-wing business aircraft. The TriFan 600 is designed to reach speeds of 345 mph and a range of 700 miles. Additionally, the Inpixon (inpixon.com) business unit of XTI Aerospace is a provider of real-time location systems (RTLS) technology with customers around the world who use the Company's location intelligence solutions in factories and other industrial facilities to help optimize operations, increase productivity, and enhance safety. New York-based Marcum LLP, the Company's auditor since 2012, issued a "going concern" qualification in its report dated April 16, 2024, citing that the Company has a significant working capital deficiency, has incurred significant losses, and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. The Company incurred net losses from continuing operations of approximately $34.4 million and $19.7 million for the fiscal years ended Dec. 31, 2023 and 2022, respectively. As of Sept. 30, 2024, the Company has a working capital deficit of approximately $11.9 million, and cash of approximately $0.5 million. For the nine months ended Sept. 30, 2024, the Company had a net loss of approximately $21.7 million. During the nine months ended Sept. 30, 2024, the Company used approximately $14.3 million of cash for operating activities. "If we are unable to obtain adequate financing or financing on terms satisfactory to us, when we require it, our ability to continue to pursue our business objectives and to respond to business opportunities, challenges, or unforeseen circumstances could be significantly limited, which could have a material adverse effect on our business, results of operations, and financial condition," the Company stated in its Quarterly Report for the period ended Sept. 30, 2024. In several instances in the past, including as recently as on July 9, 2024, the Company received written notification from Nasdaq informing it that because the closing bid price of its common stock was below $1.00 for 30 consecutive trading days, its shares no longer complied with the minimum closing bid price requirement for continued listing on Nasdaq under the Nasdaq Listing Rules. Each time, the Company was given a period of 180 days from the date of the notification to regain compliance with Nasdaq's listing requirements by having the closing bid price of its common stock listed on Nasdaq be at least $1.00 for at least 10 consecutive trading days. YELLOW CORP: Seeks Court Approval for $11.5MM Terminal Sales ------------------------------------------------------------ Clara Geoghegan of Law360 Bankruptcy Authority reports that defunct trucking company Yellow Corp. sought approval from a Delaware bankruptcy judge for the $11.5 million private sale of two leased truck terminals to ABF Freight System Inc. About Yellow Corporation Yellow Corporation -- http://www.myyellow.com/-- operates logistics and less-than-truckload (LTL) networks in North America, providing customers with regional, national, and international shipping services throughout. Yellow's principal office is in Nashville, Tenn., and is the holding company for a portfolio of LTL brands including Holland, New Penn, Reddaway, and YRC Freight, as well as the logistics company Yellow Logistics. Yellow Corporation and 23 affiliates concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-11069) on August 6, 2023, before the Hon. Craig T. Goldblatt. As of March 31, 2023, Yellow Corporation had $2,152,200,000 in total assets against $2,588,800,000 in total liabilities. The petitions were signed by Matthew A. Doheny as chief restructuring officer. The Debtors tapped Kirkland & Ellis, LLP as restructuring counsel; Pachulski Stang Ziehl & Jones, LLP as Delaware local counsel; Kasowitz, Benson and Torres, LLP as special litigation counsel; Goodmans, LLP as special Canadian counsel; Ducera Partners, LLC, as investment banker; and Alvarez and Marsal as financial advisor. Epiq Bankruptcy Solutions is the claims and noticing agent. Milbank LLP serves as counsel to certain investment funds and accounts managed by affiliates of Apollo Capital Management, L.P. while White & Case, LLP and Arnold & Porter Kaye Scholer, LLP serve as counsels to Beal Bank USA and the U.S. Department of the Treasury, respectively. On Aug. 16, 2023, the U.S. Trustee for Region 3 appointed an official committee of unsecured creditors in the Chapter 11 cases. The committee tapped Akin Gump Strauss Hauer & Feld, LLP and Benesch, Friedlander, Coplan & Aronoff, LLP as counsels; Miller Buckfire as investment banker; and Huron Consulting Services, LLC, as financial advisor. [] FTI Consulting Welcomes Restructuring Expert Mark Shinderman --------------------------------------------------------------- FTI Consulting, Inc. announced on Feb. 19, 2025, the appointment of Mark Shinderman as a Senior Managing Director within the firm's Corporate Finance & Restructuring segment. Mr. Shinderman, who is based in Los Angeles, has more than 35 years of restructuring experience inside and outside of bankruptcy, directing bankruptcy-related litigation, and handling the purchase and sale of distressed assets. He has represented ad hoc committees of lenders and bondholders and official creditors' committees, as well as debtors, purchasers of assets from troubled companies, key vendors, equity sponsors and other stakeholders in insolvency situations. In his role at FTI Consulting, Mr. Shinderman will continue to focus on assisting clients across various industries with restructurings, insolvency situations and bankruptcy litigation. "Mark is the type of expert who brings certainty in a time of uncertainty," said Michael Eisenband, Global Segment Leader of Corporate Finance & Restructuring at FTI Consulting. "He has played a significant role in numerous high-profile restructurings and insolvencies, and he has an incredible grasp of bankruptcy nuances. With his restructuring and law firm experience combined, I'm confident he will be able to identify commercially viable solutions for our clients as they navigate today's business challenges and opportunities." Prior to joining FTI Consulting, Mr. Shinderman was a Partner at Milbank LLP. His engagements have involved companies across industries including apparel, biopharma, consumer products and services, e-commerce, energy, finance, healthcare, hospitality, media and entertainment, real estate, retail, technology and transportation. Prior to Milbank, he was a Partner at Munger, Tolles & Olson LLP. Commenting on his appointment, Mr. Shinderman said, "I've worked with and across from FTI Consulting experts for years, and I've always trusted and respected their work. I'm excited to join this deep bench of restructuring experts as we help our clients identify business opportunities and mitigate risks associated with today's business challenges, including the impacts from tariffs, supply chain disruptions, geopolitical uncertainty, rising interest rates, taxes and energy costs." About FTI Consulting FTI Consulting, Inc. is a leading global expert firm for organizations facing crisis and transformation, with more than 8,300 employees in 34 countries and territories. The Company generated $3.49 billion in revenues during fiscal year 2023. In certain jurisdictions, FTI Consulting's services are provided through distinct legal entities that are separately capitalized and independently managed. More information can be found at www.fticonsulting.com. [] Northgate Real Estate Tops NYC Bankruptcy Brokerage Rankings --------------------------------------------------------------- Northgate Real Estate Group, led by Greg Corbin, dominated the distressed real estate market for a second consecutive year, driving record-high transaction volume and aggregate dollar value. Recognized as the preeminent leader in bankruptcy, foreclosure, and restructuring brokerage, the firm was ranked #1 in New York City, and one of the top 3 firms in the country by New Generation Research's BankruptcyData. In 2024, Northgate signed, put into contract, and closed 56 deals with aggregate value of $625 Million, and a substantially greater volume of transactions projected to close in 2025. "Northgate Real Estate Group's performance has been outstanding, and their ability to consistently lead in this space is a testament to their expertise and dedication," said James Hammond, CEO of BankruptcyData. "Their results speak volumes about their commitment to delivering value for clients in distressed real estate." Northgate's innovative strategies and expertise in bankruptcy, foreclosure, workouts, and loan sales have positioned the firm as the sought after and trusted brokerage firm of choice for property owners, lenders, investors, receivers, and attorneys. "When a property is in foreclosure or bankruptcy, decisive action is key, and knowledge of the industry and its players is imperative. Our team moves with urgency, strategy, and the expertise needed to close conventional and complex deals alike" said Greg Corbin, Northgate's President. "Distressed real estate is a highly specialized niche, and over the years, we've leveraged unmatched experience and deep-seated relationships to deliver for our clients. Our relentless work ethic, connections, and creative solutions have earned us a reputation as the go-to firm in this space, and we're grateful that the real estate community continues to place their trust in us". In 2024, Northgate continued to lead the way with groundbreaking efforts that encompassed property sales and creative restructuring deals that aligned the interests of borrowers and lenders. "The firm's holistic approach enabled it not only to sell property but to successfully execute workouts in 2024 for over a dozen distressed assets, representing a total value exceeding $120 million, delivering meaningful outcomes for all stakeholders involved" said Chaya Milworn, Northgate's Executive Managing Director. "With over $3.4 billion in transactions completed to date, we are proud of the impact we've made in the industry and are excited to build on this momentum in 2025 and beyond." "I'm grateful to work with such a talented, hardworking, and knowledgeable team who play a crucial role our company's success" concluded Corbin. About Northgate Real Estate Group Northgate Real Estate Group is a New York City-based brokerage and advisory firm specializing in the sale and restructuring of distressed assets and loans. The firm provides strategic services to property owners, financial institutions, investors, and lenders dealing with bankruptcy, foreclosure, and loan sales. [^] BOND PRICING: For the Week from February 17 to 21, 2025 ----------------------------------------------------------- Company Ticker Coupon Bid Price Maturity ------- ------ ------ --------- -------- 2U LLC TWOU 2.250 40.125 5/1/2025 99 Cents Only Stores LLC NDN 7.500 12.283 1/15/2026 99 Cents Only Stores LLC NDN 7.500 12.283 1/15/2026 99 Cents Only Stores LLC NDN 7.500 12.283 1/15/2026 Allen Media LLC / Allen Media Co-Issuer Inc ALNMED 10.500 38.588 2/15/2028 Allen Media LLC / Allen Media Co-Issuer Inc ALNMED 10.500 39.650 2/15/2028 Allen Media LLC / Allen Media Co-Issuer Inc ALNMED 10.500 38.647 2/15/2028 Amyris Inc AMRS 1.500 0.406 11/15/2026 Anagram Holdings LLC/Anagram International Inc AIIAHL 10.000 0.750 8/15/2026 Anagram Holdings LLC/Anagram International Inc AIIAHL 10.000 0.750 8/15/2026 Anagram Holdings LLC/Anagram International Inc AIIAHL 10.000 0.750 8/15/2026 At Home Group Inc HOME 7.125 29.132 7/15/2029 At Home Group Inc HOME 7.125 29.132 7/15/2029 Audacy Capital LLC CBSR 6.750 1.542 3/31/2029 Audacy Capital LLC CBSR 6.750 1.542 3/31/2029 Audacy Capital LLC CBSR 6.500 3.407 5/1/2027 Avon Products Inc AVP 8.450 3.648 3/15/2043 BPZ Resources Inc BPZR 6.500 3.017 3/1/2049 Beasley Mezzanine Holdings LLC BBGI 8.625 60.500 2/1/2026 Beasley Mezzanine Holdings LLC BBGI 8.625 60.500 2/1/2026 Biora Therapeutics Inc BIOR 7.250 56.500 12/1/2025 BuzzFeed Inc BZFD 8.500 92.501 12/3/2026 Castle US Holding Corp CISN 9.500 45.138 2/15/2028 Castle US Holding Corp CISN 9.500 44.356 2/15/2028 CorEnergy Infrastructure Trust Inc CORR 5.875 70.250 8/15/2025 Cornerstone Chemical Co LLC CRNRCH 10.250 49.875 9/1/2027 Cumulus Media New Holdings Inc CUMINT 8.000 36.276 7/1/2029 Cumulus Media New Holdings Inc CUMINT 8.000 36.220 7/1/2029 Curo Oldco LLC CURO 7.500 15.875 8/1/2028 Curo Oldco LLC CURO 7.500 11.586 8/1/2028 Curo Oldco LLC CURO 7.500 15.875 8/1/2028 Cutera Inc CUTR 2.250 9.138 6/1/2028 Cutera Inc CUTR 2.250 15.747 3/15/2026 Cutera Inc CUTR 4.000 8.550 6/1/2029 Danimer Scientific Inc DNMR 3.250 0.625 12/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 6.625 0.226 8/15/2027 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 6.625 0.226 8/15/2027 Energy Conversion Devices Inc ENER 3.000 0.762 6/15/2013 Enviva Partners LP / Enviva Partners Finance Corp EVA 6.500 24.592 1/15/2026 Enviva Partners LP / Enviva Partners Finance Corp EVA 6.500 24.592 1/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 11.500 30.000 7/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 11.500 27.831 7/15/2026 Federal Farm Credit Banks Funding Corp FFCB 1.840 97.118 2/24/2025 Federal Home Loan Banks FHLB 2.000 99.365 2/27/2025 Federal Home Loan Banks FHLB 2.200 99.336 2/28/2025 Federal Home Loan Banks FHLB 1.600 99.373 2/25/2025 Federal Home Loan Banks FHLB 1.550 99.734 2/25/2025 Federal Home Loan Banks FHLB 2.050 99.366 2/27/2025 Federal Home Loan Banks FHLB 1.625 99.860 2/25/2025 Federal Home Loan Banks FHLB 0.625 99.844 2/25/2025 Federal Home Loan Banks FHLB 0.625 99.346 2/26/2025 Federal Home Loan Banks FHLB 0.375 99.839 2/25/2025 Federal Home Loan Banks FHLB 1.125 99.337 2/28/2025 Federal Home Loan Banks FHLB 1.800 99.361 2/27/2025 Federal Home Loan Banks FHLB 1.810 99.361 2/27/2025 Federal Home Loan Banks FHLB 1.625 99.373 2/25/2025 Federal Home Loan Banks FHLB 0.580 99.345 2/26/2025 Federal Home Loan Banks FHLB 3.125 99.386 2/28/2025 Federal Home Loan Banks FHLB 0.375 99.352 2/25/2025 Federal Home Loan Banks FHLB 1.550 99.372 2/25/2025 Federal Home Loan Banks FHLB 1.875 99.355 2/28/2025 Federal Home Loan Banks FHLB 2.100 99.896 2/25/2025 Federal Home Loan Banks FHLB 2.000 97.264 3/25/2025 Federal Home Loan Banks FHLB 2.050 97.293 3/25/2025 Federal Home Loan Banks FHLB 1.635 99.889 2/25/2025 Federal Home Loan Banks FHLB 1.625 99.737 2/25/2025 Federal Home Loan Banks FHLB 1.625 99.735 2/25/2025 Federal Home Loan Banks FHLB 1.550 99.347 2/28/2025 Federal Home Loan Banks FHLB 1.540 99.375 2/24/2025 Federal Home Loan Banks FHLB 4.000 99.412 2/25/2025 Federal Home Loan Banks FHLB 0.500 99.841 2/25/2025 Federal Home Loan Banks FHLB 0.520 99.842 2/25/2025 Federal Home Loan Banks FHLB 0.570 99.344 2/26/2025 Federal Home Loan Banks FHLB 0.625 99.345 2/26/2025 Federal Home Loan Banks FHLB 0.650 99.708 2/26/2025 Federal Home Loan Banks FHLB 0.580 99.718 2/25/2025 Federal Home Loan Banks FHLB 3.000 99.806 2/26/2025 Federal Home Loan Banks FHLB 4.020 99.774 2/25/2025 Federal Home Loan Mortgage Corp FHLMC 4.000 99.406 2/28/2025 Federal Home Loan Mortgage Corp FHLMC 3.400 67.951 5/23/2025 Federal Home Loan Mortgage Corp FHLMC 3.600 99.409 2/24/2025 Federal Home Loan Mortgage Corp FHLMC 0.750 68.121 5/21/2025 Federal Home Loan Mortgage Corp FHLMC 5.000 99.428 2/27/2025 Federal Home Loan Mortgage Corp FHLMC 4.000 99.418 2/26/2025 Federal National Mortgage Association FNMA 0.520 99.878 2/25/2025 Finance of America Funding LLC FIAMER 7.875 82.125 11/15/2025 Finance of America Funding LLC FIAMER 7.875 82.125 11/15/2025 First Republic Bank/CA FRCB 4.375 0.025 8/1/2046 First Republic Bank/CA FRCB 4.625 0.250 2/13/2047 Goldman Sachs Group Inc/The GS 4.000 100.000 2/25/2025 Goldman Sachs Group Inc/The GS 4.000 100.000 2/25/2025 Goodman Networks Inc GOODNT 8.000 5.000 5/11/2022 Goodman Networks Inc GOODNT 8.000 1.000 5/31/2022 H-Food Holdings LLC / Hearthside Finance Co Inc HEFOSO 8.500 3.250 6/1/2026 H-Food Holdings LLC / Hearthside Finance Co Inc HEFOSO 8.500 2.989 6/1/2026 HSBC USA Inc HSBC 3.098 99.838 2/28/2025 Hallmark Financial Services Inc HALL 6.250 19.614 8/15/2029 Homer City Generation LP HOMCTY 8.734 38.750 10/1/2026 Inotiv Inc NOTV 3.250 39.750 10/15/2027 Invacare Corp IVC 5.000 0.667 11/15/2024 JPMorgan Chase Bank NA JPM 2.000 89.762 9/10/2031 Jefferies Financial Group Inc JEF 6.000 99.662 2/28/2029 Jervois Mining USA Ltd JERMNG 12.500 70.007 7/20/2026 Karyopharm Therapeutics KPTI 3.000 75.323 10/15/2025 KeyCorp KEY 5.695 99.750 5/23/2025 Ligado Networks LLC NEWLSQ 15.500 34.000 11/1/2023 Ligado Networks LLC NEWLSQ 17.500 11.250 5/1/2024 Ligado Networks LLC NEWLSQ 15.500 32.000 11/1/2023 Ligado Networks LLC NEWLSQ 17.500 10.750 5/1/2024 Lightning eMotors Inc ZEVY 7.500 1.000 5/15/2024 Luminar Technologies Inc LAZR 1.250 57.750 12/15/2026 MBIA Insurance Corp MBI 15.824 3.559 1/15/2033 MBIA Insurance Corp MBI 15.824 3.559 1/15/2033 Macy's Retail Holdings LLC M 6.700 85.676 7/15/2034 Macy's Retail Holdings LLC M 6.900 86.691 1/15/2032 Mashantucket Western Pequot Tribe MASHTU 7.350 51.000 7/1/2026 Morgan Stanley MS 1.800 78.636 8/27/2036 Oaktree Specialty Lending Corp OCSL 3.500 99.785 2/25/2025 Polar US Borrower LLC / Schenectady International Group Inc SIGRP 6.750 54.683 5/15/2026 Polar US Borrower LLC / Schenectady International Group Inc SIGRP 6.750 54.683 5/15/2026 Rackspace Technology Global Inc RAX 5.375 29.832 12/1/2028 Rackspace Technology Global Inc RAX 3.500 28.010 2/15/2028 Rackspace Technology Global Inc RAX 3.500 28.010 2/15/2028 Rackspace Technology Global Inc RAX 5.375 31.327 12/1/2028 Renco Metals Inc RENCO 11.500 24.875 7/1/2003 Rite Aid Corp RAD 7.700 1.700 2/15/2027 Rite Aid Corp RAD 6.875 3.618 12/15/2028 Rite Aid Corp RAD 6.875 3.618 12/15/2028 Shutterfly LLC SFLY 8.500 51.251 10/1/2026 Shutterfly LLC SFLY 8.500 51.251 10/1/2026 Spanish Broadcasting System Inc SBSAA 9.750 65.089 3/1/2026 Spanish Broadcasting System Inc SBSAA 9.750 65.089 3/1/2026 Spirit Airlines Inc SAVE 1.000 46.250 5/15/2026 Spirit Airlines Inc SAVE 4.750 46.000 5/15/2025 Stem Inc STEM 0.500 25.250 12/1/2028 Sunnova Energy International Inc NOVA 0.250 49.750 12/1/2026 Sunnova Energy International Inc NOVA 2.625 24.500 2/15/2028 TPI Composites Inc TPIC 5.250 19.000 3/15/2028 TerraVia Holdings Inc TVIA 5.000 4.644 10/1/2019 Tricida Inc TCDA 3.500 8.125 5/15/2027 Veritone Inc VERI 1.750 46.250 11/15/2026 Virgin Galactic Holdings SPCE 2.500 41.313 2/1/2027 Vitamin Oldco Holdings GNC 1.500 0.463 8/15/2020 Voyager Aviation Holdings LLC VAHLLC 8.500 9.462 5/9/2026 Voyager Aviation Holdings LLC VAHLLC 8.500 9.462 5/9/2026 Voyager Aviation Holdings LLC VAHLLC 8.500 9.462 5/9/2026 WW International Inc WW 4.500 22.067 4/15/2029 WW International Inc WW 4.500 21.633 4/15/2029 Wesco Aircraft Holdings WAIR 9.000 42.077 11/15/2026 Wesco Aircraft Holdings WAIR 9.000 42.077 11/15/2026 ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR editor holds some position in the issuers public debt and equity securities about which we report. Each Tuesday edition of the TCR contains a list of companies with insolvent balance sheets whose shares trade higher than $3 per share in public markets. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. 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