/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/250313.mbx T R O U B L E D C O M P A N Y R E P O R T E R Thursday, March 13, 2025, Vol. 29, No. 71 Headlines ADELAIDA CELLARS: Gets Final OK to Use Cash Collateral AMERICANAS SA: Begins Arbitral Proceeding Against Former Execs. AQ CARVER: Moody's Lowers CFR to 'B3', Outlook Stable ARIS WATER: S&P Affirms 'B+' Issuer Credit Rating, Outlook Stable BETTER 4 YOU BREAKFAST: Intrepid Entitled to $962,500 in Damages BEXIN REALTY: Claims Will be Paid from Property Sale/Refinance BRIGHT MOUNTAIN: Reports Reduced Net Loss of $17 Million for 2024 BRYAN BOWERS: Secured Party Sets March 11 Auction BURGERFI INT'L: Gets Court Chapter 11 Plan OK Despite Objections CLARIO HOLDINGS: S&P Withdraw 'B-' ICR on Debt Repayment CLEVELAND INSTITUTE: S&P Affirms 'BB' Rating on 2018 Revenue Bond COGENTRIX FINANCE: S&P Assigns 'BB-' Rating on Senior Debt CONTAINER STORE: Bankruptcy Judge to Issue Opt-Out Dispute Ruling CREDITO REAL: Restructuring Gains US Recognition Despite Opposition CREEKSIDE 2019: Seeks Chapter 11 Bankruptcy in Texas CRITICAL REHAB: Court Approves Final Use of Cash Collateral DECO GROUP: Seeks Subchapter V Bankruptcy in Texas DECORATIVE PLUMBING: Gets Final OK to Use Cash Collateral DIOCESE OF BURLINGTON: Creditors Resist Priests' Pension in Ch. 11 DIOCESE OF NEW ORLEANS: Creditor Seeks Committee Seat ENSYSCE BIOSCIENCES: Reports $7.99 Million Net Loss for 2024 FOOTHILL & TOWNE: To Sell Vacant Lot to Foothill Place for $6.2MM FULCRUM BIOENERGY: Gets Court Okay for Chapter 11 Plan Disclosure GOLDMAKER INC: Unsecureds Will Get 12.27% of Claims over 60 Months GRID AT MESA: Deal to Use Midland's Cash Collateral OK'd HARVEST NUTRITION: Claims to be Paid From Business Revenues HERSHEY CHAN: Seeks Chapter 11 Bankruptcy in New York HIGHLANDS GROUP: To Sell 180-Acre Parcel to Charles Conzatti HULKZ CONSTRUCTION: Files Amended Plan; Plan Hearing March 18 JW ALUMINUM: Moody's Affirms 'B3' CFR & Alters Outlook to Stable LA SALLE: Fitch Lowers IDR to 'BB-', Outlook Negative LCI INDUSTRIES: S&P Assigns 'BB-' ICR, Outlook Stable LEASING TRUCK: Unsecured Creditors to Split $70K over 5 Years LITTLE MINT: Seeks to Sell Restaurant Assets at Public Sale LIVE NATION: Moody's Raises CFR to 'Ba2' & Alters Outlook to Stable MASDAC LLC: Creditors to Get Adversary Proceedings & Receivables MAXLINEAR INC: Moody's Lowers CFR to B3 & Alters Outlook to Stable MITEL NETWORKS: Gets Court Okay for $131MM Financing MOM CA INVESTCO: 19 Affiliates' Chapter 11 Case Summary MOSAICS PUBLIC: Moody's Affirms Ba1 Rating on 2024A Revenue Bonds MTL PARTNERS: Unsecured Creditors to Split $69K over 3 Years NORTHVOLT AB: Prepares Bankruptcy Filing for Swedish Operations NORTHWEST GRADING: Gets Final OK to Use Cash Collateral Until June NOVO INTEGRATED: Extends CEO Resignation Effective Date to March 31 OCEAN BAY HOLDINGS: Seeks Chapter 11 Bankruptcy in New Jersey ONDAS HOLDINGS: Reports Reduced Net Loss of $38 Million for 2024 OTB HOLDING: Seeks to Sell Obsolete Assets PEDIATRIX MEDICAL: Moody's Alters Outlook on 'Ba3' CFR to Positive PLATINUM HEIGHTS: Gets Interim OK to Use Cash Collateral PREMIUM CRANE: Claims to be Paid From Available Cash and Income PROSPECT MEDICAL: Pennsylvania Hospitals Facing Potential Closure R.R. DONNELLEY: Moody's Affirms 'B3' CFR, Outlook Remains Stable SASAS HOSPITALITY: Case Summary & 20 Largest Unsecured Creditors SBLA INC: Case Summary & 20 Largest Unsecured Creditors SIGNATURE YHM: Case Summary & Five Unsecured Creditors SPD 2010: $1.2M Sale to Ranam Holdings to Fund Plan Payments SPIRIT AIRLINES: Opt-Out Releases Very Well Explained, Says Judge SSS MILWAUKEE: Case Summary & 20 Largest Unsecured Creditors STARSHIP LOGISTICS: Unsecureds Will Get 9.7% of Claims in Plan STORABLE INC: Moody's Affirms 'B3' CFR, Outlook Remains Stable SUNNOVA ENERGY: Fitch Lowers LongTerm IDR to 'CCC-' SUNNOVA ENERGY: Hires Ducera, Paul Weiss as Cash Crunch Looms TIMELINE CONSTRUCTION: Court Approves Chap. 11 Trustee Appointment TREE CONNECTION: Gets OK to Use Cash Collateral Until April 4 TUPPERWARE BRANDS: Court Orders Appointment of Retiree Committee UNIVERSAL BIOCARBON: U.S. Trustee Unable to Appoint Committee VALLEY PARK: Gets Final OK to Use Cash Collateral VALVOLINE INC: Moody's Rates New $650MM First Lien Term Loan 'Ba1' VILLAGE RV: Seeks Chapter 11 Bankruptcy in Florida VISION2SYSTEMS LLC: U.S. Trustee Appoints Creditors' Committee VUZIX CORP: COO Peter Jameson Steps Down for Health Reasons WALGREENS BOOTS: Moody's Puts 'Ba3' CFR on Review for Downgrade WAYFAIR LLC: Moody's Rates New $700MM Senior Secured Notes 'B1' WHITE FOREST: Committee Labels Chapter 11 Loans as Insider Deal YOUNG TRANSPORTATION: Unsecureds to Get Nothing in Plan YOUTHFUL SOLUTIONS: Case Summary & 14 Unsecured Creditors ZACHRY HOLDINGS: Contests Nebraska Utility's Administrative Claim [] Douglas Mintz Joins Cadwalader's Restructuring Practice [^] Recent Small-Dollar & Individual Chapter 11 Filings ********* ADELAIDA CELLARS: Gets Final OK to Use Cash Collateral ------------------------------------------------------ The U.S. Bankruptcy Court for the Central District of California granted Adelaida Cellars, Inc. final approval to use cash collateral. The court order authorized the company to use cash collateral to pay its expenses in accordance with its budget. Adelaida Cellars is not allowed to pay any pre-bankruptcy claims without further court order. To the extent that the Kedrin E. Van Steenwyk Issue Trust holds a perfected, unavoidable and valid lien on the company's cash as of the petition date and such cash is actually used by the company post-petition, then the trust will receive a replacement lien on the company's post-petition cash, according to the court order. Adelaida Cellars was ordered to remit prep-bankruptcy sales and excise taxes to the appropriate taxing authorities in the ordinary course, and to make the last installments for its insurance policies when they are due. About Adelaida Cellars Inc. Adelaida Cellars, Inc. is a family-owned and operated winery in Paso Robles, Calif. Adelaida Cellars sought Chapter 11 petition (Bankr. C.D. Calif. Case No. 24-11409) on December 13, 2024, with $10 million to $50 million in both assets and liabilities. Nicholas D. Rubin, chief restructuring officer of Adelaida Cellars, signed the petition. Judge Ronald A Clifford, III oversees the case. The Debtor is represented by Hamid R. Rafatjoo, Esq., at Raines Feldman Littrell, LLP. AMERICANAS SA: Begins Arbitral Proceeding Against Former Execs. --------------------------------------------------------------- Augusto Decker of Bloomberg Law reports that Americanas SA has initiated legal proceedings against former CEO Miguel Gomes Pereira Sarmiento Gutierrez and ex-directors Anna Christina Ramos Saicali, José Timotheo de Barros, and Marcio Cruz Meirelles, according to a company filing. The company seeks to hold the former executives accountable under Article 159 of Brazilian Corporate Law for all material and immaterial damages resulting from the multi-billion-dollar accounting fraud and other illicit acts committed in 2022, the report states. About Americanas SA Americanas was one of the largest diversified retail chains in Brazil, with a wide platform of physical stores, robust e-commerce, fintech, and has just entered into the niche food retail. It is listed on B3, being indirectly controlled by billionaire Jorge Paulo Lemann, Carlos Alberto Sicupira and Marcel Telles. The retailer nosedived in January 2023 after becoming mired in an accounting scandal. The firm filed for bankruptcy at a court in Rio de Janeiro on Jan. 19, 2023. Americanas sought protection under Chapter 15 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 23-10092) on Jan. 25, 2023. White & Case LLP, led by John K. Cunningham, is the U.S. counsel. AQ CARVER: Moody's Lowers CFR to 'B3', Outlook Stable ----------------------------------------------------- Moody's Ratings downgraded AQ Carver Buyer, Inc.'s (d/b/a "CoAdvantage") corporate family rating to B3 from B2 and the company's probability of default rating to B3-PD from B2-PD. Concurrently, Moody's downgraded the rating on CoAdvantage's backed senior secured first lien bank credit facility, comprised of a term loan maturing 2029 and a revolving credit facility expiring 2028 to B3 from B2. The company provides outsourced human resources functions including payroll and related services to small and medium-sized businesses. The outlook is stable. The rating action follows the announcement of the company's merger with PrimePay, a software provider for payroll and human resource applications, and recent operational weakness. Upon completion of this transaction, PrimePay will become a non-guarantor subsidiary of CoAdvantage and with first lien debt of approximately $64 million, increasing the combined entity's 2024 debt-to-EBITDA by 0.5x to approximately 7x (based on Moody's calculations). CoAdvantage's willingness to continue to maintain a highly levered capital structure is indicative of the company's aggressive financial strategies, a key ESG governance consideration and a driver of the rating action. RATINGS RATIONALE The B3 CFR reflects CoAdvantage's high pro forma debt-to-EBITDA of approximately 7x as of December 31, 2024 as well as small revenue scale relative to Professional Employer Organization ("PEO") industry leaders in a highly competitive market with relatively low barriers to entry. CoAdvantage's exposure to macroeconomic cyclicality with respect to employment trends, historically considerable turnover in the company's core SMB customer base, and substantial revenue concentration in the Southeast United States also pressure its credit profile. Moreover, CoAdvantage's concentrated private equity ownership by Aquiline Capital Partners ("Aquiline") presents corporate governance risks, particularly with respect to aggressive financial strategies. However, the company's credit profile is supported by the attractive long term secular growth prospects of the PEO sector and is bolstered strategically by additional product capabilities offered by PrimePay. CoAdvantage's recurring revenue business model, which provides good operating predictability as well as the company's strong profitability margins and modest capital expenditure budget should fuel improving free cash flow generation over the next 12-15 months. CoAdvantage's adequate liquidity position is supported by a pro forma unrestricted cash balance, excluding client funds, of approximately $15 million as of December 31, 2024, and Moody's expectations for muted annual free cash flow over the next 12-15 months due to the incurrence of one-time costs required to integrate PrimePay's operations. This level of free cash flow may be insufficient to cover approximately $5.5 million of annual required first lien term loan amortization. The company's liquidity is also bolstered by the undrawn $50 million revolving credit facility maturing in 2028. While the company's term loan is not subject to financial covenants, the revolving credit facility has a springing covenant based on a maximum first lien net leverage, which the company should be comfortably in compliance with over the next 12-15 months. The stable outlook reflects Moody's expectations that CoAdvantage will realize limited annual organic revenue growth in the coming 12 to 18 months as pricing pressures, which weighed on the company's business in 2024 remain prevalent. Concurrently, Moody's expects debt-to-EBITDA to contract gradually during this period towards the mid 6x level. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if CoAdvantage expands revenues and EBITDA to drive improved scale, Moody's expects the company will maintain debt-to-EBITDA below 6.5x, annual free cash flow to debt approaches 5%, and the company adheres to more conservative financial strategies. The ratings could be downgraded if CoAdvantage's operating performance weakens materially or the company adopts more aggressive financial policies, resulting in a deterioration in liquidity or a meaningful increase in debt-to-EBITDA from current levels. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. Headquartered in Tampa, FL, CoAdvantage, owned by Aquiline, provides outsourced human resource functions, including payroll, benefits acquisition, and regulatory compliance management, primarily to small and mid-sized businesses. In 2025, Moody's expects the company to generate net revenue of approximately $360 million. ARIS WATER: S&P Affirms 'B+' Issuer Credit Rating, Outlook Stable ----------------------------------------------------------------- S&P Global Ratings affirmed its 'B+' issuer credit rating on Aris Water Solutions Inc. S&P said, "At the same time, we assigned our 'B+' issue-level rating and '4' recovery rating to the Aris Water Holdings, LLC's proposed $400 million senior unsecured notes. The '4' recovery rating indicates our expectation for average (30%-50%; rounded estimate: 40%) recovery in the event of a default. "The stable outlook reflects our view that Aris will complete the proposed refinancing and maintain stable volumes across its systems. We expect the company's S&P Global Ratings-adjusted leverage will be in the 2.3x-2.7x range in 2025 and 2026." On March 11, 2025, Aris announced its intention to issue $400 million of senior unsecured notes due 2030, which it will use to repay its existing $400 million notes due April 2026. S&P said, "The refinancing will improve the maturity profile of Aris' capital structure. We do not anticipate the transaction will involve any significant changes aside from the extension of the notes' maturity to 2030, which will resolves the near-term maturity risk related to its outstanding debt." A stable commodity price environment will likely continue to support a modest expansion in Aris' volumes, while its inflation-linked contract escalators further improve its per-barrel operating margins in 2025. S&P expects the company will increase its S&P Global Ratings-adjusted EBITDA by at least 10% year over year in 2025, which will reduce its net leverage to the lower end of management 2.5x-3.5x target range. Our debt calculation incorporates an adjustment for tax receivable agreement (TRA) liabilities of about $99 million as of Dec. 31, 2024, which raises our S&P Global Ratings-adjusted leverage forecast for 2025 to the 2.3x-2.7x range. Based on Aris' proposed debt structure and leverage target, we expect it will generate annual free operating cash flow of $90 million-$100 million, which it will allocate toward shareholder returns. The stable outlook reflects our expectation that Aris will successfully refinance its $400 million senior unsecured notes due 2026 and maintain at least stable volumes across its systems. S&P expects the company's S&P Global Ratings-adjusted leverage will be in the 2.3x-2.7x range in 2025 and 2026. S&P could lower its rating on Aris if its S&P Global Ratings-adjusted leverage increases above 5x on a sustained basis. This could occur if: -- A sharp decline in crude oil prices leads to reduced drilling activity; -- The company pursues a more-aggressive financial policy; -- Its TRA liabilities increase; or -- More-rigorous environmental or regulatory factors impair its operations. S&P could also lower its rating if the company does not successfully close on the refinancing transaction. Although unlikely at this time, S&P could take a positive rating action on Aris if: -- It significantly expands its size, scale, and geographic footprint; and -- Sustains leverage of below 4x. BETTER 4 YOU BREAKFAST: Intrepid Entitled to $962,500 in Damages ---------------------------------------------------------------- The Honorable Sheri Bluebond of the United States Bankruptcy Court for the Central District of California granted Intrepid Investment Bankers LLC's motion for summary judgment or, in the alternative, summary adjudication against Better 4 You Breakfast, Inc. in the case captioned as Better 4 You Breakfast, Inc., Debtor, v. Intrepid Investment Bankers LLC, Defendant, Adv. No. 2:23-ap-01301-BB (Bankr. C.D. Cal.). Intrepid is an investment banking firm in the Los Angeles area. Intrepid and B4YB entered into a valid and enforceable Engagement Agreement dated Nov. 22, 2019. The Engagement Agreement included a nonrefundable fee payable upon the execution of Engagement Agreement equal to $75,000 which fee to be fully credited against any Transaction Fee. Under the Engagement Agreement, Intrepid was entitled to a percentage of B4YB's sale proceeds: (i) during the Engagement Agreement's term; and (ii) within a 12-month period after the term of the Engagement Agreement. Intrepid was entitled to be reimbursed for all reasonable out-of-pocket expenses up to $25,000 under the Engagement Agreement irrespective of whether a Transaction is completed. Intrepid was retained as the exclusive investment banker for B4YB under an Engagement Agreement, dated Nov. 22, 2019, between B4YB and Intrepid. On June 27, 2022, the Bankruptcy Court entered an order approving the sale of substantially all of B4YB's assets to RevFoods for $45 million. The sale to RevFoods closed on July 20, 2022, which is within the Tail Period under the Engagement Agreement. The sale of B4YB's assets triggered Intrepid's entitlement to a $1,000,000 minimum Transaction Fee under the Engagement Agreement. The Court finds Defendant Intrepid has demonstrated that no genuine issues of material fact exist regarding its entitlement to judgment as a matter of law under Rule 56 of the Federal Rules of Civil Procedure, made applicable by Rule 7056 of the Federal Rules of Bankruptcy Procedure. According to the Court, Intrepid is entitled to damages based on the tail provision of the Engagement Agreement, which remains enforceable under California law. The rejection of the Engagement Agreement pursuant to the Chapter 11 Plan constitutes a breach, entitling Intrepid to damages calculated under the Agreement's terms. Damages include the Retainer, the Transaction Fee, Expense Reimbursement and Attorney Fees. Intrepid filed a proof of claim, Claim No. 82-1, for $962,500 (as later corrected) in rejection damages under the tail provision of the Engagement Agreement. This claim is based on the undisputed facts that: a. The Engagement Agreement was valid and enforceable. b. The Engagement Agreement was rejected under 11 U.S.C. Sec. 365(g), creating a claim for breach damages. c. B4YB's assets sale occurred during the 12-month tail period, triggering Intrepid's entitlement to the Transaction Fee as outlined in the Engagement Agreement. d. B4YB has failed to provide evidence of probative force to refute the essential elements of Intrepid's claim. Specifically: i. B4YB has not contested the validity or enforceability of the Engagement Agreement or the tail provision. ii. B4YB has not provided evidence that negates Intrepid's entitlement to the Transaction Fee under the terms of the Agreement. B4YB's objections and allegations, including claims of breach of contract, breach of fiduciary duty, and failure to perform, fail to overcome the presumption of validity because they are unsupported by evidence and irrelevant to the calculation of rejection damages. B4YB has failed to satisfy its burden of production to negate the validity of Intrepid's claim. Consequently, the presumption of validity afforded to Intrepid's proof of claim under Rule 3001(f) remains intact. Based on the undisputed evidence, Intrepid has established by a preponderance of the evidence that its claim for $962,500, plus interest, attorneys' fees, and cost in rejection damages under the Engagement Agreement is valid and enforceable. Accordingly, the Court concludes that B4YB has failed to overcome the burden of proof, and Intrepid is entitled to summary judgment on its claim. A copy of the Court's decision dated March 4, 2025, is available at https://urlcurt.com/u?l=xMCdm2 from PacerMonitor.com. Attorneys for Defendant, Intrepid Investment Bankers LLC: Sharon Z. Weiss, Esq. Cindy Kaneko, Esq. BRYAN CAVE LEIGHTON PAISNER LLP 120 Broadway, Suite 300 Santa Monica, CA 90401-2386 Telephone: (310) 576-2100 Facsimile: (310) 576-2200 E-mail: sharon.weiss@bclplaw.com cindy.kaneko@bclplaw.com - and - Craig K. Schuenemann, Esq. BRYAN CAVE LEIGHTON PAISNER LLP 1700 Lincoln Street, Suite 4100 Denver, CO 80203-4541 Telephone: (303) 861-7000 Facsimile: (303) 866-0200 E-mail: craig.schuenemann@bclplaw.com - and - William N. Lobel, Esq. THEODORA ORINGHER PC 535 Anton Boulevard, Ninth Floor Costa Mesa, CA 92626-7109 Telephone: (714) 549-6200 Facsimile: (714) 549-6201 E-mail: wlobel@tocounsel.com About Better 4 You Breakfast Better 4 You Breakfast, Inc., is a school meal vendor based in Los Angeles, Calif. Better 4 You Breakfast sought protection under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Calif. Case No. 22-10994) on Feb. 24, 2022, listing as much as $50 million in both assets and liabilities. Fernando Castillo, president, signed the petition. Judge Sheri Bluebond oversees the case. The Debtor tapped Daniel A. Tilem, Esq., at the Law Offices of David A. Tilem as bankruptcy counsel; Felahy Employment Lawyers, APC and Steptoe & Johnson, LLP as special counsels; and Stout Capital, LLC as investment banker. James Wong, a principal at Armory Consulting Co., serve as the Debtor's chief restructuring officer. The U.S. Trustee for Region 16 appointed an official committee of unsecured creditors on April 18, 2022. Brinkman Law Group, PC and Province, LLC serve as the committee's legal counsel and financial advisor, respectively. BEXIN REALTY: Claims Will be Paid from Property Sale/Refinance -------------------------------------------------------------- Bexin Realty Corporation filed with the U.S. Bankruptcy Court for the Southern District of New York a Disclosure Statement describing Plan of Reorganization dated February 25, 2025. Formed in 1995, the Debtor is a corporation organized and existing under the laws of the State of New York. The Debtor was formed to acquire the real properties located at 24-26 and 28 30 West 125th Street, New York, New York 10027 (collectively, the "Property"). The Property consists of two fully constructed five-story contiguous but separately taxable lots each consisting of mixed use rental buildings with each building containing twenty residential apartments and two commercial stores on the ground floor The Debtor believes that the current aggregate fair market value of the Property is no less than $30,000,000. On or about October 27, 2022, Cathay Bank agreed to lend up to $16,375,000.00 to the Debtor (the "Loan"). As recently as November 2024, the Debtor believed it was still in negotiations with Cathay for a refinance of the Property, with Cathay in the process of conducting due diligence. However, on October 18, 2024, Cathay commenced a foreclosure action (the "Foreclosure Action") against the Debtor in New York County Supreme Court (the "State Court") styled as Cathay Bank v. Bexin Realty Corporation et al. On November 20, 2024, the State Court issued a Decision and Order granting Cathay's Application for appointment of a temporary receiver. As such, the Debtor determined to seek bankruptcy protection on November 27, 2024 (the "Petition Date") to: (a) preserve the value of the Property, and (b) obtain a reasonable amount of time to obtain a refinance either with Cathay or another financial institution. The Foreclosure Action has been stayed as a result of the Debtor's Chapter 11 filing. The Plan will be funded with the net proceeds from the sale or refinance of the Property. The sale or refinance of the Property, as applicable, following Confirmation of the Plan, shall not be subject to any stamp or similar transfer or mortgage recording tax pursuant to section 1146(a) of the Code because they be refinanced or sold under the Plan and after the Effective Date. Class 3 consists of General Unsecured Claims. General Unsecured Claims are Allowed in the amount reflected in Debtor's Schedules filed with the Bankruptcy Court, unless the Claims were scheduled by the Debtor as disputed, contingent, or unliquidated. If the Debtor scheduled a General Unsecured Claim as disputed, contingent, or unliquidated, and the Holder of such Claim did not file a Proof of Claim by the General Bar Date, then such General Unsecured Claim is hereby Disallowed. If a Proof of Claim was filed by the Holder of a General Unsecured Claim prior to the General Bar Date, the Debtor shall have 90 days after the Effective Date to file an objection to such General Unsecured Claim. If the Debtor does not file an objection within this time period, such General Unsecured Claim shall: (i) be Allowed in the amount reflected in the Proof of Claim, together with any unpaid statutory late fees, penalties, interest, costs, and reasonable attorneys' fees accrued thereon through the Sale Closing Date, and (ii) be paid up to the Allowed amount of their Claim, in Cash from the Distribution Fund upon the refinance of the Property or the Sale Closing Date, whichever is sooner, after payment in full of all unclassified, Class 1 and Class 2 Claims in full. If the Debtor does file an objection within such time period, then such General Unsecured Claim shall only be Allowed if the Bankruptcy Court determines the Allowed Amount of such Claim or the Debtor and the Holder of such Claim reach an agreement on the Allowed Amount of such Claim. Class 3 is Impaired. Class 4 consists of membership Interests in the Debtor. The Holders of the Debtor’s membership Interests shall retain those Interests in the Reorganized Debtor on and after the Effective Date. Class 4 is Unimpaired, and Holders of the Interests in the Debtor are conclusively presumed to have accepted the Plan pursuant to section 1126(f) of the Bankruptcy Code. Therefore, Holders of Interests in the Debtor are not entitled to vote to accept or reject the Plan, and the votes of such Holders will not be solicited with respect to the Plan. This Plan shall be funded with the net proceeds of: (a) sale of the Property, or (b) the refinance of the Property, as applicable. The sale of the Property, whether pursuant to a Sale Contract or public auction, shall be free and clear of any and all Claims, liens, encumbrances, equities and Interests of any nature or kind (collectively, "Liens") and shall constitute a sale under sections 105, 363(b), 363(f), 1123(b)(4) and 1129 of the Bankruptcy Code. Nothing set forth herein shall prevent a sale subject to certain liens, provided that the purchaser and the holder of the lien provide their respective consent in writing. A full-text copy of the Disclosure Statement dated February 25, 2025 is available at https://urlcurt.com/u?l=CGvvvq from PacerMonitor.com at no charge. Attorneys for the Debtor: Jonathan S. Pasternak, Esq. Davidoff Hutcher & Citron LLP 120 Bloomingdale Road, Suite 100 White Plains, NY 10605 Tel: (914) 381-7400 E-mail: jsp@dhclegal.com About Bexin Realty Corporation Bexin Realty Corporation is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). Bexin Realty filed Chapter 11 petition (Bankr. S.D.N.Y. Case No. 24-12080) on November 27, 2024, listing between $10 million and $50 million in both assets and liabilities. Bahram Benaresh, president of Bexin Realty, signed the petition. Judge Martin Glenn handles the case. The Debtor is represented by Jonathan S. Pasternak, Esq., at Davidoff Hutcher & Citron, LLP. Cathay Bank, as lender, is represented by: Conrad K. Chiu, Esq. Amanda Schaefer, Esq. Pryor Cashman LLP 7 Times Square New York, NY 10036-6569 Telephone: (212) 421-4100 Facsimile: (212) 326-0806 cchiu@pryorcashman.com aschaefer@pryorcashman.com BRIGHT MOUNTAIN: Reports Reduced Net Loss of $17 Million for 2024 ----------------------------------------------------------------- Bright Mountain Media, Inc., submitted its annual report on Form 10-K to the Securities and Exchange Commission, showing a net loss of $17.02 million on revenue of $56.68 million for the year ending Dec. 31, 2024, compared to a net loss of $35.56 million on revenue of $44.55 million for the year ending Dec. 31, 2023. As of Dec. 31, 2024, the Company had $41.97 million in total assets, $105.20 million in total liabilities, and a total stockholders' deficit of $63.23. New York, New York-based WithumSmith+Brown, PC, the Company's auditor since 2021, issued a "going concern" qualification in its report dated March 10, 2025. The report cited that the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. Historically, the Company has incurred losses, which has resulted in an accumulated deficit of approximately $166.9 million as of Dec. 31, 2024. Cash flows provided by (used in) operating activities were $1.9 million and $(4.7) million for the years ended Dec. 31, 2024, and 2023, respectively. As of Dec. 31, 2024, the Company had a working capital deficit of approximately $13.5 million, inclusive of $2.5 million in cash and cash equivalents and $1.9 million in restricted cash. According to Bright Mountain, "The Company's ability to continue as a going concern is dependent upon its ability to meet its liquidity needs through a combination of factors. During the next year, we anticipate that we will need approximately $3.9 million to meet our contractual obligations in addition to amounts needed for our working capital needs. "The Company is currently exploring several strategic alternatives, including restructuring or refinancing its debt, or seeking additional debt, including borrowing under the Centre Lane Senior Secured Credit Agreement or raising equity capital. The ability to access the capital markets is also dependent upon the volume and market price of the Company's stock, which cannot be assured. Other measures include reducing or delaying certain business activities, or reducing general and administrative expenses, including a reduction in headcount. The ultimate success of these plans is not guaranteed." The Company said its current cash and working capital, as of the filing of this Annual Report on Form 10-K, is not expected to be sufficient to fund its anticipated level of operations over the next twelve months. The full-text of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1568385/000095017025036193/bmtm-20241231.htm About Bright Mountain Bright Mountain Media, Inc. (together with its wholly-owned subsidiaries) is an end-to-end marketing services company that helps brands with the right audiences, at the right time, with the right message, both effectively and efficiently by removing the middlemen in the marketing workflow. The Company's end-to-end offerings combine consumer insights with creative services, media services, and advertising technology to deliver solutions to improve audience fidelity for brands. The Company focuses on digital publishing, advertising technology, consumer insights, creative services, and media services. BRYAN BOWERS: Secured Party Sets March 11 Auction ------------------------------------------------- AC 37 LLC and/or its successors and assigns ("secured party") will hold a public foreclosure sale on March 11, 2025, at 3:30 p.m. ET, in person at the offices of Cole Schotz PC, 1325 Avenue of the Americas, 19th Floor, New York, New York 10019 and virtually via online conference to the highest qualified bidder all of the right, title and interest of Bryan Bowers and Michael B. Licata ("pledgor") in: (a) 100% of the membership interest in Downtown Utica Development LLC ("Utica Borrower") pledged to secured party by pledgor ("Utica Interest"); (b) 100% of the membership interest in Radisson Development Company LLC ("Radisson Borrower") pledged to Secured Party by pledgor ("Radisson Interests"); (c) 100% of the membership interest in Bowers Busine Park LLC ("BBP Borrower") pledged to secured party by pledgor ("BBP Interests"). The sale are being held to enforce the rights of secured party under that certain: promissory note dated March 2, 2022, in the principal amount of $2,256,000.00 ("Utica Note"), given by Downtown Utica Development LLC ("Utica Borrower") in favor of Sachem Capital Corp. ("Prior Lender"); (b) ownership interest pledged and security agreement dated March 2, 2022, ("Bowers Pledge") between Bryan Bowers ("Bowers") and Prior Lender; (c) ownership interest pledge and security agreement dated March 2, 2022 ("Litaca Pledge") between Michael B. Licata ("Licata" and together with Bowers collectively, "Pledgor") and prior lender; (d) note modification agreement dated June 28, 2023 ("Utica Modification") between Utica Borrower and Prior Lender; (e) Amended and restated Commercial promissory note dated Aug. 2, 2023, in the principal amount of $7,000,374.00 ("Radisson Note") given by Radisson Development Company LLC ("Radisson") and Bowers Business Park LLC ("BBP" and together with Radisson, collectively "Radisson Borrower") in favor of prior lender; (f) pledge and security agreement dated Aug. 2, 2023 ("Radisson Pledge") between Bowers and Licata and Prior Lender. Utica Note, Bowers, Pledged, Licata Pledge, Utica Note Modification, Radisson Note, Radisson Pledge, and other documents memorializing the indebtedness of the Utica Borrower and Radisson Bower ("loan documents") were assigned to secured party lender and secured party. The Utica Note and Radisson Note have matured by their terms. Borrower owns certain real property located within New York State. The collateral is pledged to secure the amount due under the Utica Notes with an aggregate unpaid balance amount of $2,538,348.57 as of Jan. 31, 2025, with interest and fees continuing to accrue from that date, and the amount due under the Radisson Note with an aggregate unpaid balance of $8,505,285.96 as of Jan. 31, 2025, with interest and fees continuing to accrue from that date. The public sale will be conducted by Mannions Auctions LLC, by Matthew D. Mannion, or other such licensed auctioneers as may be selected by the secured party, without further publication or notice. Any parties interests in further information about the collateral, the exact location of the sale and link to the sales, the requirements to be a "qualified bidder, and the terms of the public sale should contact Jim Barr Coleman (+1 (212) 584-6173; email: jimbarr@wmcapitalpartners.com). BURGERFI INT'L: Gets Court Chapter 11 Plan OK Despite Objections ---------------------------------------------------------------- Yun Park of Law360 Bankruptcy Authority reports that a Delaware bankruptcy judge on Tuesday, March 11, 2025, approved the disclosure statement and Chapter 11 reorganization plan for bankrupt restaurant operator BurgerFi International Inc., rejecting objections from the U.S. Trustee's Office concerning tax claims on certain interest fees. About BurgerFi Int'l BurgerFi International, Inc. (NASDAQ:BFI) is a multi-brand restaurant company that develops, markets, and acquires fast casual and premium-casual dining restaurant concepts around the world, including corporate-owned stores and franchises. BurgerFi International, Inc. is the owner and franchisor of two brands with a combined 144 locations: (i) Anthony's, a premium pizza and wing brand with 51 restaurants (50 corporate-owned casual restaurant locations and one dual brand franchise location), as of Sept. 10, 2024, and (ii) BurgerFi, among the nation's fast-casual better burger concepts with 93 BurgerFi restaurants (76 franchised and 17 corporate-owned) as of Sept. 10, 2024. BurgerFi International, Inc., and 114 affiliated debtors filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code on Sept. 11, 2024 (Bankr. D. Del. Lead Case No. 24-12017). The cases are pending before the Honorable Judge Craig T. Goldblatt. Raines Feldman Littrell LLP serves as the Debtors' counsel. Force Ten Partners' Jeremy Rosenthal serves as the Company's Chief Restructuring Officer. Sitrick And Company serves as strategic communications advisor to the Company. Stretto is the claims agent. CLARIO HOLDINGS: S&P Withdraw 'B-' ICR on Debt Repayment -------------------------------------------------------- S&P Global Ratings withdrew its 'B-' issuer credit rating on technology-enabled digital endpoint solutions provider Clario Holdings Inc. at the issuer's request. At the same time, we discontinued our 'B-' issue-level rating and '3' recovery rating on the company's first-lien credit facility (comprising a revolving credit facility and a term loan), which was issued at eResearchTechnology Inc., following the full repayment of its outstanding rated debt. At the time of the withdrawal, our outlook on Clario was stable. CLEVELAND INSTITUTE: S&P Affirms 'BB' Rating on 2018 Revenue Bond ----------------------------------------------------------------- S&P Global Ratings affirmed its 'BB' rating on Ohio Higher Educational Facility Commission's (the commission) series 2018 facility revenue bonds, issued for Cleveland Institute of Art (CIA). The outlook is stable. S&P said, "We analyzed the university's environmental, social, and governance factors related to its market position and financial performance. We view these factors as neutral in our credit rating analysis. "The stable outlook reflects S&P Global Ratings' opinion that despite enrollment decreases, CIA will maintain solid demand metrics, financial resources will remain stable, and the college will not issue additional debt. "We could lower the rating if financial resources were to fall to a level we no longer consider commensurate with the rating, if demand metrics were to weaken, or if CIA were to issue additional debt without corresponding financial resource growth. "We could raise the rating if CIA were to stabilize enrollment, demonstrate sustained improvement in operating performance without extraordinary endowment draws, and improve financial resources to levels commensurate with those of higher-rated peers." COGENTRIX FINANCE: S&P Assigns 'BB-' Rating on Senior Debt ---------------------------------------------------------- Following its closing on February 26, 2025, S&P Global Ratings assigned its 'BB-' issue ratings and '2' recovery ratings to Cogentrix Finance Holdco I LLC's (Cogentrix, the holdco, or the project) $ 1 billion term loan B and $250 million revolving credit facility. Cogentrix consolidated its four separate portfolio projects, Nautilus Power LLC (Nautilus), Odyssey Projects Acquiror LLC (Odyssey), Revere Power LLC (Revere), and its 75% ownership in Hamilton Projects Acquiror LLC (Hamilton), and used the loan to repay existing subsidiary debt at Nautilus, Revere, and Odyssey. Hamilton's debt remains outstanding. This financing follows the acquisition of Cogentrix Energy by Quantum Capital Group, Trafigura, and Carnelian Energy Capital from funds managed by Carlyle Group. S&P said, "Our 'BB-' rating reflects our assessment of the creditworthiness of Cogentrix as a more diversified project among its peers, with multiple assets in three distinctive markets: Pennsylvania-New Jersey-Maryland (PJM) Interconnection, Independent Systems Operator New England (ISO-NE), and Electric Reliability Council of Texas (ERCOT). At the same time, we note the 75% stake in Hamilton remains encumbered because its senior secured debt remains outstanding. We view this as a structural weakness. "The stable outlook reflects our expectation the project will generate a minimum debt service coverage ratio (DSCR) of 1.48x on a fully consolidated basis through its life, including the post-refinancing period (2032-2045). At the holdco level, we project a minimum DSCR of 1.61x, which we also view as commensurate with the rating. Additionally, it reflects the outlook of the project's material counterparty, Hamilton, which caps Cogentrix's debt's rating because Hamilton distributions are material to Cogentrix. Based on our view of the current market environment, we project a Cogentrix Holdco-level term loan B balance of about $500 million at maturity in 2032." Cogentrix is a portfolio of gas-fired generation with net operational capacity of 5.3 gigawatts (GW) located in the PJM Interconnection, ISO-NE, and ERCOT markets. The portfolio has a mix of baseload and peaking facilities across the dispatch stack. Its four generation subsidiaries collectively own 11 power plants comprising: -- Nautilus (net 1.9 GW) is a portfolio of two baseload combined cycle gas turbines (CCGTs) and two peaking facilities located in the PJM Eastern Mid-Atlantic Area Council zone and ISO-NE. -- Hamilton (net 1.3 GW) has two CCGTs in the PJM Mid-Atlantic Area Council (MAAC) zone, which are in the eastern portion of the Marcellus shale gas play with access to reliable natural gas supply. -- Odyssey (net 856 MW) is a portfolio of two CCGTs that sells power into the ERCOT energy-only merchant power market within the Houston zone. One of its assets, Altura Cogen, is adjacent to Lyondell Chemical Co. (LCC) and sells steam and a portion of its electricity to LCC exclusively under a long-term contract. -- Revere (1.1 GW) is a portfolio of three CCGTs within ISO-NE. -- The highly diversified project with 11 assets across three markets provides a key differentiation compared with single-asset facilities due to market diversification and operational redundancy that mitigates against potential event risks. -- The PJM fleet benefits from both highly competitive dispatch (Hamilton) and potential upside from future capacity auctions (Nautilus PJM assets). -- ERCOT is supportive of gas-fired plants with access to cheap fuel. In recent years, power generators were able to realize higher spark spreads due to extreme weather events. -- Dual-fuel capabilities at key ISO-NE assets and strong winterization among the PJM fleet provide added flexibility during extreme weather events. -- Hamilton's creditworthiness serves as a cap to our debt rating on Cogentrix due to its material 25% contribution to Cogentrix's debt servicing. -- The consolidated creditworthiness also serves as a cap to our debt rating on Cogentrix because we look through the lens of full Hamilton consolidation. -- S&P views Opco Revere's past operating challenges as a risk without an improvement in market conditions. -- Energy transition is a tangible, although long-dated, risk factor given the operating profile and competitive characteristics of the majority of the portfolio. -- Consistent with other merchant projects financed with term loan B structures, Cogentrix is exposed to market and refinancing risk. S&P said, "Our 'BB-' rating on Cogentrix reflects its creditworthiness on a fully consolidated basis. Cogentrix raised $1.25 billion in senior secured financing at the Holdco entity following the consolidation of its four separate portfolio projects, Nautilus, 75% of Hamilton, Odyssey, and Revere. The financing includes $1 billion in term loan B, proceeds of which it used to repay existing subsidiary debt at Nautilus ($522 million outstanding), Revere ($468 million outstanding) and Odyssey ($7 million outstanding), pay a onetime sponsor distribution ($35 million), pay transaction fees and expenses ($25 million), and for general corporate purposes. The transaction also includes access to a $250 million revolving credit facility. On an unconsolidated basis, we consider the cash flows generated from Revere, Nautilus, Odyssey, and its 75% share of distributions from Hamilton, while excluding its debt. This leads to a minimum DSCR of 1.61x through its 2045 asset life, including the post-refinancing period. "We also look at the portfolio on a fully consolidated basis as a test of the project's ability to cover the combined project's total debt service. This results in a minimum DSCR of 1.48x, which we also view as commensurate with a 'bb-' rating. As a result, the holdco and consolidated stand-alone credit profile (SACP) are the same. We will continue monitoring both the Holdco and consolidated DSCR (because it could cap the rating if its consolidated metrics deteriorate). "Hamilton's creditworthiness caps our rating on Cogentrix, while its partial pledge creates structural protection weakness. We view the distribution from Hamilton as an important component to Cogentrix's debt servicing, making Hamilton a material counterparty that caps our rating on the project. We expect distribution from Hamilton to make up about 25% of Cogentrix's cash flow available for debt service (CFADS) with some level of stability and moderate resiliency. Hamilton's efficient base load assets have a history of adequate operation and ability to capture adequate spark spread under favorable hedges. The distribution is only paid to Cogentrix after Hamilton meets all its obligations (operating, maintenance, debt service, and other) and distribution test of 1.1x. "At the same time, Cogentrix's lenders only benefit from Hamilton's equity pledge because the physical assets have been secured for the benefit of Hamilton's senior secured lenders. We view this partial security as a structural protection weakness and reflect such weakness through a negative structural protection notch. "Debt paydown is key for our rating on Cogentrix under both consolidated and unconsolidated consideration. The transaction at the holdco largely replaces debt at Revere and Nautilus, both of which experienced financial and operation challenges in the past. The 75%-owned Hamilton remains encumbered at $654 per kilowatt (kW), which we view as somewhat more leveraged within the peer group after its May 2024 upsizing." Consolidating Hamilton's $1.115 billion senior secured debt, the transaction leads to moderate $415/kW debt sizing on consolidated basis. S&P views the unencumbered Odyssey cash flow as an additional cushion to the downside and continue to expect deleveraging via the sweep structures for the consolidated debt in order to maintain the rating. Additional upsizing at the Hamilton or the holdco level alongside an equity distribution could indicate financial policy risk. The multiportfolio project benefits from three distinctive markets. Cogentrix is one of the more diversified projects among its peers, with 51% net capacity in PJM, 33% in ISO-NE, and 16% in ERCOT. The distinctive dynamics among these markets mitigate concentration and event risks. In addition, having multiple assets in each market reduces service interruption risks. S&P said, "We factor the 11 assets into a positive performance redundancy assessment under performance risk. The assets have not experienced major operation issues during past severe weather events, and Cogentrix also has fuel diversity--Newington (ISONE) and Lakewood (PJM) are dual-fueled with sufficient storage, allowing them to run on both gas and ultra-low-sulfur diesel when the market is in need. We believe the assets are positioned to capture potential market upside." Cogentrix should benefit from a favorable environment in PJM. On Jan. 28, 2025, Pennsylvania Governor Josh Shapiro reached an agreement with PJM to settle his recent complaint about capacity auction rules, which sets a price cap of $325 per megawatt-day (/MW-day) and floor price of $175/MW-day for the next two auctions (2026/2027 and 2027/2028 auction). The price cap/floor agreement is subject to review by PJM stakeholders and its board. S&P expects capacity price to result in $250/MW-day for the 2026/27 auction, $225/MW-day for the 2027/28 auction, and $175/MW-day for the 2028/2029 auction. The direction of the next two auctions is driven by industrial onshoring, data center growth, electrification, and retirement of less efficient thermal units. On Nov. 25, 2024, the PJM added 1.8 GW to its 2025 load forecast and increased 2030 forecasts by 17 GW. S&P continues to expect capacity price to mean revert from this high level as supply and demand reach equilibrium, though at higher level than it previously expected. S&P said, "We expect power prices to also benefit from this dynamic in at least the near term due to the lack of new baseload power plants coming online to replace the retired firm supply. In the midterm, potential tariffs on China would hinder the cost of renewable new builds. This would be an additional favorable credit factor for existing thermal units on top of reliability focus, the long approval process for new thermal plants, and power demand surge. Cogentrix has about 60% and 40% capacity running as baseload and peaking facilities, respectively, and 67% of capacity dispatching in PJM and ERCOT. We expect Cogentrix could capture the potential tailwind." ISO-NE remains a challenging market. The market continues to be in a state of power oversupply. In addition, the gas supply dynamic may worsen in winter as Independent Electricity System Operator (IESO) and Hydro Quebec are expecting higher winter heating demand, limiting the amount to be exported to ISO-NE going forward. S&P said, "Under this dynamic, we believe the dual-fueled Newington has a more favorable dispatch at an average annual spark of $18 per megawatt hours (/MWh) during the asset life to 2045 compared with Revere assets, which had more operation challenges in the past and has a portfolio average annual spark of about 13/MWh under the same asset life. We expect the diversified portfolio to compensate with potential market upside from PJM and ERCOT." The portfolio is exposed to merchant power risk, particularly in the ERCOT market. ERCOT is an energy-only market that has aggressive renewable buildout and a history of severe weather events, and Cogentrix's ERCOT portfolio (Odyssey) is expected to contribute about 20% of the holdco's cash flow. Odyssey assets sell 70% of its net capacity in the merchant market, subjecting it to high market volatilities. Texas has seen a net decrease in flexible generation capacity in the last decade along with high renewable penetration of 27% and anticipated renewable load growth of 6.50%-6.75%. In 2023, Texas intraday wind power generation varied between 62.5% of all ERCOT electricity production to only 3.1%. Translating that to power price, the intraday power price shifted from $7/MWh to close to a $5,000/MWh price cap. The market continues to anticipate regional load growth to outpace installed capacity for the next 10 years, driven by AI infrastructure growth, liquefied natural gas exports growth along the Gulf Coast, and electric vehicle penetration. With the lack of long duration battery storage technology, firm power is required to plug in the supply. ERCOT took measures in 2023 to increase grid reliability and lower energy cost, such as the Performance Credit Mechanism and Dispatchable Reliability Reserve Service, but the details and implementation timeline has not yet finalized. The on-time disbursement of the low-cost Texas Energy Fund in 2025 will provide incentive for about 9.8 GW of new firm power builds, which puts marginal downward pressure on ERCOT's power price in the midterm. However, it could also increase gas prices through higher demand and put upward pressure on power price. S&P said, "We expect the high volatility in ERCOT to continue with upside potential during the forecast period. Odyssey assets are located in the premium ERCOT Houston zone. Its 70% merchant exposure enables it to capture the prices peaks, when the 30% contracted and hedged capacity offers a source of stability by covering about 50% of the portfolio's fixed and major maintenance costs. The contract is an exclusive steam and electric power sales agreement signed with a LyondellBasell Industries N.V. subsidiary that runs the world largest propylene oxide tertiary butyl alcohol plant. The relation started in early 2000s, and we expect the contract to remain for the rest of the asset life (2045). On normalized basis, we expect Odyssey to realize average asset life spark spread of $23/MWh from the merchant market, contributing about 20% of total asset life cash flow." The project has adequate anti-filing mechanisms in place. The project will have independent directors whose vote is required for bankruptcy filing, meaning the project's credit quality is delinked from that of the parent. The rating has been finalized after the review of the final credit agreement. S&P Said, "The stable outlook reflects our expectation that the project will generate a minimum DSCR of 1.48x on a consolidated basis through its life, including the post-refinancing period (2032-2045). At the holdco level, we project a minimum DSCR of 1.61x, which we also view as commensurate with the rating. Additionally, it reflects the outlook of the project's material counterparty, Hamilton, which caps our debt rating on Cogentrix. Based on our view of the current market environment, we project a Cogentrix holdco-level term loan B balance of about $500 million at maturity in 2032." S&P could lower its rating on Cogentrix's debt if: -- S&P believes the project is unable to maintain a minimum consolidated and the holdco minimum DSCR of 1.4x on a sustained basis. This could result from lower-than-expected capacity factors, weaker energy margins, downward pressure on capacity prices, and operational issues. -- The project's cash flow sweeps are materially lower than our forecast, which would lead to a higher-than-expected debt balance at maturity and weaker minimum DSCR. -- S&P lowers its issue credit rating on Hamilton, which caps its rating on Cogentrix. S&P could raise the rating on Cogentrix's debt if consolidated and the holdco minimum DSCR reaches 1.8x on sustained basis and it raises the rating on Hamilton. This outcome would largely be a function of highly favorable business conditions, which would lead to widening spark spreads or higher-than-expected capacity pricing. CONTAINER STORE: Bankruptcy Judge to Issue Opt-Out Dispute Ruling ----------------------------------------------------------------- Alex Wittenberg of Law360 Bankruptcy Authority reports that on Tuesday, March 11, 2025, a Texas bankruptcy judge announced that he would issue a written opinion on whether the U.S. Trustee's Office can halt The Container Store's Chapter 11 plan to appeal a ruling that a creditor's failure to opt out of the plan's third-party releases amounts to consent to those releases. About Container Store Group Inc. Container Store Group Inc. is a company renowned for for selling closet organizers and storage solutions. Container Store Group Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas) on December 22, 2024. In its petition, the Debtor reports assets and liabilities between $100 million and $500 million. Honorable Bankruptcy Judge Alfredo R Perez handles the case. Debtors' Legal Counsel is Timothy A. ("Tad") Davidson II, Esq., Ashley L. Harper, Esq., and Philip M. Guffy, Esq., at Hunton Andrews Kurth, LLP, in Houston, Texas. Debtors' Legal Counsel is George A. Davis, Esq., Hugh Murtagh, Esq., Tianjiao (TJ) Li, Esq., and Jonathan J. Weichselbaum, Esq., at Latham & Watkins, LLP, in New York, and Ted A. Dillman, Esq., in Latham & Watkins, LLP, in Los Angeles, California. Debtors' Investment Banker is HHoulihan Lokey Capital Inc. Debtors' Claims, Noticing & Solicitation Agent is Verita Gloabl (previously Kurtzman Carson Consultants, LLC). CREDITO REAL: Restructuring Gains US Recognition Despite Opposition ------------------------------------------------------------------- Angelica Serrano-Roman of Bloomberg Law reports that a Delaware bankruptcy judge has agreed to recognize the foreign restructuring of Mexican lender Crédito Real SAB de CV, despite objections citing last 2024's US Supreme Court ruling that invalidated nonconsensual liability releases. Judge Thomas M. Horan of the US Bankruptcy Court for the District of Delaware announced during a Tuesday, March 11, 2025, hearing that he would approve the cross-border plan under Chapter 15 of the US Bankruptcy Code, which addresses foreign restructurings with US connections. The judge granted recognition of the plan—which includes liability releases for nonbankrupt third parties—despite concerns raised by two US federal agencies referencing the Supreme Court's decision. About Credito Real SAB Credito Real SAB de CV SOFOM ENR is a Mexico-based company that provides consumer financing. Credito is Mexico's biggest payroll lender and second largest non-bank lender after Real Unifin. Credito Real provides loans, either by providing direct financing to consumers or by establishing financing programs with consumer financing dealers that sell to Credito Real the collection rights from consumer financing products. It also provides financing directly to individuals that are employed by corporations with payroll deduction agreements with consumer financing dealers authorized by Credito Real. Credito Real operates through a number of subsidiaries, including AFS Acceptance LLC. Credito Real failed to pay a 170 million Swiss franc ($184 million) bond due Feb. 9, 2022. It had been looking to line up financing from existing creditors. In early June, it was reported Credito Real had been weighing a Chapter 11 filing after defaulting on a repayment of the Swiss franc bond. But Bloomberg News later reported June 10 that the Mexican company has scrapped its U.S. bankruptcy plans and is instead planning to pursue insolvency proceedings in Mexico known as concurso mercantil. Three alleged creditors signed a petition to send Credito Real to Chapter 11 bankruptcy on June 22, 2022 (Bankr. S.D.N.Y. Case No. 22-10842). Institutional Multiple Investment Fund LLC, of Boston, Massachusetts; Banco Monex, S.A., of Mexico, and Solitaire Fund, of Liechtenstein, who claim to own an aggregate $8 million of unsecured bond debt, signed the involuntary Chapter 11 petition. David H. Botter of Akin Gump Strauss Hauer & Feld LLP is advising the three bondholders. CREEKSIDE 2019: Seeks Chapter 11 Bankruptcy in Texas ---------------------------------------------------- On March 4, 2025, Creekside 2019 LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Texas. According to court filing, the Debtor reports between $1 million to $10 million in debt owed to 1 and 49 creditors. The petition states funds will not be available to unsecured creditors. About Creekside 2019 LLC Creekside 2019 LLC is a limited liability company. Creekside 2019 LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-80094) on March 4, 2025. In its petition, the Debtor reports estimated assets between $100,000 and $500,000 and estimated liabilities between $ million and $10 million. Honorable Bankruptcy Judge Alfredo R. Perez handles the case. The Debtor is represented by: James Q. Pope, Esq. THE POPE LAW FIRM 6161 Savoy Drive 1125 Houston TX 77036 Tel: (713) 449-4481 Email: jamesp@thepopelawfirm.com CRITICAL REHAB: Court Approves Final Use of Cash Collateral ----------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Florida granted Critical Rehab Corporation final approval to use cash collateral. The final order authorized the company to use cash collateral, which includes cash on hand and income to be received during normal operations, to pay its expenses. To protect its interest in the cash collateral, the U.S. Small Business Administration was granted replacement liens on the company's post-petition assets. In addition, Critical Rehab was ordered to set aside $1,522 monthly for SBA until confirmation of a Chapter 11 plan. About Critical Rehab Corporation Critical Rehab Corporation filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Fla. Case No. 24-40444) on November 4, 2024, with up to $50,000 in assets and up to $500,000 in liabilities. Meagan Peluso, president of Critical Rehab, signed the petition. Judge Karen K. Specie oversees the case. The Debtor is represented by Justin M. Luna, Esq., at Latham, Luna, Eden & Beaudine, LLP. DECO GROUP: Seeks Subchapter V Bankruptcy in Texas -------------------------------------------------- On March 4, 2025, Deco Group LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Texas. According to court filing, the Debtor reports $2,238,074 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Deco Group LLC Deco Group LLC runs and oversees both a quick-service restaurant and a full-service restaurant business. Deco Group LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-31252) on March 4, 2025. In its petition, the Debtor reports total assets of $106,682 and total debts of $2,238,074. Honorable Bankruptcy Judge Jeffrey P. Norman handles the case. The Debtor is represented by: Robert C Lane, Esq. THE LANE LAW FIRM 6200 Savoy Dr Ste 1150 Houston TX 77036-3369 Tel: (713) 595-8200 Fax: (713) 595-8201 E-mail: notifications@lanelaw.com DECORATIVE PLUMBING: Gets Final OK to Use Cash Collateral --------------------------------------------------------- Decorative Plumbing Distributors, LLC received final approval from the U.S. Bankruptcy Court for the Northern District of California to use its lenders' cash collateral to pay operating expenses. The lenders, Bank of America, N.A. and the U.S. Small Business Administration, were granted replacement security interests in, and liens on, all post-petition property of the company except Chapter 5 claims. As additional protection, the company will make a monthly payment of $23,000 to BofA and $2,527 to SBA. The ruling also granted super-priority claims to lenders and ensures their liens remain intact in the event of case conversion or dismissal. About Decorative Plumbing Distributors Decorative Plumbing Distributors, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 25-40140) on January 28, 2025, listing up to $10 million in assets and up to $50 million in liabilities. Anne Butler, chief executive officer of Decorative Plumbing Distributors, signed the petition. Judge Charles Novack oversees the case. Chris Kuhner, Esq., at Kornfield, Nyberg, Bendes, Kuhner & Little P.C., represents the Debtor as legal counsel. Bank of America, N.A., as lender, is represented by: Jennifer Witherell Crastz, Esq. Hemar, Rousso & Heald, LLP 15910 Ventura Boulevard, 12th Floor Encino, CA 91436-2829 Tel: (818) 501-3800 Fax: (818) 501-2985 Email: jcrastz@hrhlaw.com DIOCESE OF BURLINGTON: Creditors Resist Priests' Pension in Ch. 11 ------------------------------------------------------------------ Emily Lever of Law360 Bankruptcy Authority reports that on Tuesday, March 11, 2025, unsecured creditors of the bankrupt Roman Catholic Diocese of Burlington objected to the debtor's continued payment of pension benefits to retired priests accused of child abuse. The creditors argued that the diocese's own investigation found the allegations against the two priests to be credible. About Roman Catholic Diocese of Burlington Roman Catholic Diocese of Burlington sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Vt. Case No. 24-10205) on Sept. 30, 2024. In the petition signed by Reverend John Joseph McDermott, bishop, the Debtor disclosed up to $50 million in assets and up to $10 million in liabilities. Judge Heather Z. Cooper oversees the case. The Debtor tapped James Baillie, Esq., at Fredrikson & Byron, P.A. as bankruptcy counsel and Obuchowski Law Office as local counsel. DIOCESE OF NEW ORLEANS: Creditor Seeks Committee Seat ----------------------------------------------------- A creditor of the Roman Catholic Church of the Archdiocese of New Orleans filed a motion seeking to change the membership of the official committee of unsecured creditors appointed in its Chapter 11 case. The creditor, identified only in his initials D.J.B., requested to be added to the existing committee, or alternatively, to be appointed to an additional creditors' committee. D.J.B. said his appointment is necessary to "ensure adequate representation of creditors or equity security holders." The creditor's legal team represents approximately 100 sex abuse survivors, all alleging claims in the archdiocese's bankruptcy proceeding. Despite this significant number of claimants, without membership on the committee, D.J.B. and his counsel remain uninformed of important information about the proceedings. "[D.J.B.] asserts his interests would best be protected and his legal approaches best advanced if he were allowed a presence on the committee so that he may be kept abreast of movement in the case, both procedurally and substantively," Frank Elliot III, Esq., attorney for D.J.B., said. Mr. Elliot can be reached through: N. Frank Elliot III, Esq. N. Frank Elliot III, LLC P.O. Box 3065 1511 Watkins Street (70601) Lake Charles, LA 70602-3065 Telephone: (337) 309-6999 Facsimile: (337) 429-5541 Email: frank@nfelaw.com -- and -- T. Taylor Townsend, Esq. T. Taylor Townsend, LLC 725 Third Street (71457) P.O. Box 784 Natchitoches, LA 71458-0784 Telephone: (318) 238-3612 Facsimile: (318) 238-6103 Email: taylor@townsendlaw.com -- and -- Robert L. Salim, Esq. Salim-Beasley, LLC 1901 Texas Street Natchitoches, LA 71457 Telephone: (318) 352-5999 Facsimile: (318) 352-5998 Email: skeeter@salim-beasley.com About Roman Catholic Church of the Archdiocese of New Orleans The Roman Catholic Church of the Archdiocese of New Orleans -- https://www.nolacatholic.org/ -- is a non-profit religious corporation incorporated under the laws of the State of Louisiana. Created as a diocese in 1793, and established as an archdiocese in 1850, the Archdiocese of New Orleans has educated hundreds of thousands in its schools, provided religious services to its churches and provided charitable assistance to individuals in need, including those affected by hurricanes, floods, natural disasters, war, civil unrest, plagues, epidemics, and illness. Currently, the archdiocese's geographic footprint occupies over 4,200 square miles in southeast Louisiana and includes eight civil parishes: Jefferson, Orleans, Plaquemines, St. Bernard, St. Charles, St. John the Baptist, St. Tammany, and Washington. The Roman Catholic Church for the Archdiocese of New Orleans sought Chapter 11 protection (Bankr. E.D. La. Case No. 20-10846) on May 1, 2020. The archdiocese was estimated to have $100 million to $500 million in assets and liabilities as of the bankruptcy filing. Judge Meredith S. Grabill oversees the case. Jones Walker, LLP and Blank Rome, LLP, serve as the archdiocese's bankruptcy counsel and special counsel, respectively. Donlin, Recano & Company, Inc., is the claims agent. The U.S. Trustee for Region 5 appointed an official committee of unsecured creditors on May 20, 2020. The committee is represented by the law firms of Pachulski Stang Ziehl & Jones, LLP and Locke Lord, LLP. Berkeley Research Group, LLC is the committee's financial advisor. ENSYSCE BIOSCIENCES: Reports $7.99 Million Net Loss for 2024 ------------------------------------------------------------ Ensysce Biosciences, Inc. filed its annual report on Form 10-K with the Securities and Exchange Commission, reporting a net loss of $7.99 million for the year ending Dec. 31, 2024, supported by federal grants totaling $5.21 million. In comparison, for the year ending Dec. 31, 2023, the Company posted a net loss of $10.63 million with federal grants amounting to $2.23 million. As of Dec. 31, 2024, the Company had $5.60 million in total assets, $2.22 million in total liabilities, and $3.38 million in total stockholders' equity. As of Dec. 31, 2024, the Company had $3.5 million of cash and cash equivalents. San Diego, California-based Moss Adams LLP, the Company's auditor since 2023, issued a "going concern" qualification in its report dated March 10, 2025. The report highlighted that the Company has incurred recurring losses from operations and has an accumulated deficit that raise substantial doubt about its ability to continue as a going concern. The Company stated that, since its inception, it has generated limited revenues and experienced significant operating losses and negative cash flows from its operations, and anticipates continuing to incur losses for the foreseeable future. The Company has not yet commercialized any of its product candidates and does not expect to generate revenue from product sales for several years, if at all. The Company mentioned that it has primarily financed its operations to date through proceeds from the sale of common equity, federal research grants, and borrowings under convertible promissory notes. To support future operations, the Company will need to secure additional capital. The amount and timing of these future funding needs will depend on various factors, including the progress and outcomes of its ongoing research and development efforts, as well as general and administrative support. The Company expects to fund its operations through public or private equity or debt financing, or potentially through collaboration agreements. However, it cannot guarantee that additional financing will be available on favorable terms, or at all. According to the Company, the remaining cash funding under the MPAR federal research grant totaled $10.6 million at Dec. 31, 2024 and is expected to be utilized by May 31, 2027. Pursuant to the terms and conditions, the Company is required to submit progress reports to NIDA on an annual basis and a final research performance progress report within 120 days of the performance period end date. "We have generated limited revenues and have incurred significant operating losses since our inception. We expect to continue to incur significant expenses and operating losses for the foreseeable future. Without capital raised through financing transactions, existing cash resources are sufficient to allow us to fund current planned operations into the second quarter of 2025, which raises substantial doubt about our ability to continue as a going concern," the Company mentioned in the report. The complete text of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1716947/000149315225009703/form10-k.htm About Ensyce Biosciences, Inc. Headquartered in La Jolla, California, Ensyce Biosciences, Inc., is a clinical stage pharmaceutical company seeking to develop innovative solutions for severe pain relief while reducing the potential for opioid misuse, abuse, and overdose. The Company is currently developing product candidates designed to improve the safety of prescription drugs. The Company's primary focus has been on opioid pain products and opioid use disorder products. The Company's current development pipeline features two innovative drug platforms: the abuse-resistant opioid prodrug technology, known as the Trypsin Activated Abuse Protection (TAAP) platform, and the overdose protection opioid prodrug technology, referred to as the Multi-Pill Abuse Resistant (MPAR) platform. FOOTHILL & TOWNE: To Sell Vacant Lot to Foothill Place for $6.2MM ----------------------------------------------------------------- Foothill and Towne LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California, Santa Ana Division, to sell real property, free and clear of liens, interests, and encumbrances. The Debtor's property is comprised of vacant land located at 700 and 704 West Foothill Boulevard, in the City of Pomona, County of Los Angeles, State of California. The Debtor wants to sell the property to Foothill Place LLC, a Delaware limited liability company, successor by assignment to G8 Urban, with a purchase price of $6,200,000 payable in cash at close of the Escrow. The transaction requires an initial deposit of $50,000. The proposed sale is on an "as is, where is" and "with all faults" basis without any warranties, express or implied, and without contingencies. The sale will be free and clear of the disputed lien of Green Lotus Group LLC, with such disputed lien attached to the proceeds of the sale. The Debtor will also pay a broker's commission in the amount of $310,000, divided between the Seller's and Buyer's brokers. The Debtor retains Gene Tsair of Legacy Real Real Estate as broker. About Foothill and Towne LLC Foothill and Towne, LLC, a company in Irvine, Calif., filed Chapter 11 petition (Bankr. C.D. Calif. Case No. 25-10136) on January 17, 2025, with $1 million to $10 million in both assets and liabilities. Judge Theodor Albert oversees the case. The Debtor is represented by Stephen R. Wade, Esq., of the Law Offices of Stephen R. Wade. FULCRUM BIOENERGY: Gets Court Okay for Chapter 11 Plan Disclosure ----------------------------------------------------------------- Yun Park of Law360 Bankruptcy Authority reports that a Delaware bankruptcy judge has approved Fulcrum BioEnergy Inc.'s Chapter 11 plan disclosure statement, allowing the trash-to-gas fuel refiner's unsecured creditors to receive up to $325 million. The approval came after a brief Monday, March 10, 2025, hearing, following an agreement among the parties on disputed matters, including claims against directors and officers. About Fulcrum Bioenergy Fulcrum Bioenergy Inc. operates as a clean energy company described as a pioneer in sustainable aviation fuel (SAF) production. Fulcrum Bioenergy Inc. and its affiliates sought relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-12008) on Sept. 9, 2024. In the petition filed by Mark J. Smith, as chief restructuring officer, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $100 million and $500 million. The Honorable Bankruptcy Judge Thomas M. Horan handles the case. The Debtors tapped MORRIS, NICHOLS, ARSHT & TUNNELL LLP as counsel; and DEVELOPMENT SPECIALISTS, INC., as investment banker. KURTZMAN CARSON CONSULTANTS, LLC, d/b/a VERITA GLOBAL, is the claims agent. GOLDMAKER INC: Unsecureds Will Get 12.27% of Claims over 60 Months ------------------------------------------------------------------ Goldmaker Inc., submitted a Second Amended Small Business Disclosure Statement describing Second Amended Plan of Reorganization dated February 25, 2025. The plan will be funded from the funds accumulated on the Debtor's DIP account, from the date of the petition, as well as from continuing operating income and reorganized business operations of the Debtor. Class II consists of General Unsecured Claims. The allowed unsecured claims total $268,210.33. * Shall consist of the unsecured claim of Consolidated Edison Company of New York Inc., in the amount of $8,586.62. The claim will be paid 12.27% dividend ($1,054.80) in 60 monthly installment payments in the amount of $17.58, commencing on the effective date of the plan. * Shall consist of the unsecured claim of National Grid, in the amount of $1,219.71. The claim will be paid 12.27% dividend ($149.65) in 60 monthly installment payments in the amount of $2.49, commencing on the effective date of the plan. * Shall consist of the unsecured claim of Ming Chu Chen, in the amount of $79,509.00. The claim will be paid 12.27% dividend ($9,755,75) in 60 monthly installment payments in the amount of $162.59, commencing on the effective date of the plan. In the event there is any outstanding the DOB violation, this DOB violation will be paid in full directly to the NYC Department of Buildings on or before the effective date, or in such other manner as may be agreed upon by this claimholder. * Shall consist of the unsecured claim of Ykaz Tax Service Inc., in the amount of $1,760.00. The claim will be paid 12.27% dividend ($212.95) in 60 monthly installment payments in the amount of $3.59, commencing on the effective date of the plan. * Shall consist of the unsecured claim of Joe Hand Promotion Inc., in the amount of $7,375.00. The claim will be paid 12.27% dividend ($904.91) in 60 monthly installment payments in the amount of $15.08, commencing on the effective date of the plan. * Shall consist of the unsecured claim of Salem Boudine, in the amount of $169,510.00. The claim will be paid 12.27% dividend ($20,798.87) in 60 monthly installment payments in the amount of $346.64, commencing on the effective date of the plan. * Shall consist of the unsecured claim of the New York State Department of Taxation & Finance, in the amount of $250.00. The claim will be paid 12.27% dividend ($30.67) in 60 monthly installment payments in the amount of $0.51, commencing on the effective date of the plan. A full-text copy of the Second Amended Disclosure Statement dated February 25, 2025 is available at https://urlcurt.com/u?l=CpjzBQ from PacerMonitor.com at no charge. Attorney for the Debtor: Alla Kachan, Esq. The Law Offices of Alla Kachan, PC 415 Brighton Beach Ave Brooklyn, NY 11235 Phone: (718) 513-3145 Fax: 347-342-3156 Email: alla@kachanlaw.com About Goldmaker Inc. Goldmaker Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 21-41309) on May 14, 2021, listing up to $50,000 in assets and up to $500,000 in liabilities. Judge Jil Mazer-Marino oversees the case. Alla Kachan, Esq., at the The Law Offices of Alla Kachan, PC, is serving as the Debtor's legal counsel. GRID AT MESA: Deal to Use Midland's Cash Collateral OK'd -------------------------------------------------------- The U.S. Bankruptcy Court for the District of Arizona issued an order approving a stipulation between Keith Bierman, the Chapter 11 trustee for The Grid at Mesa, LLC, and Midland States Bank. The stipulation authorizes the bankruptcy trustee to pay the company's operating expenses from the cash collateral of Midland, which consists of proceeds in the trustee's interest-bearing deposit account. The stipulation also authorizes the trustee to collect a note receivable identified as "BENF Stock Proceeds -- The Grid HoldCo., LLC" in the amount of $1,586,391.01, and to deposit the proceeds into the account. Midland holds a senior lien on the note receivable. About The Grid at Mesa The Grid at Mesa, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Ariz. Case No. 24-02408) on March 20, 2024, listing $10 million to $50 million in both assets and liabilities. The petition was signed by Mitch Pinkard as authorized representative of the Debtor. Judge Eddward P. Ballinger, Jr. oversees the case. Grant L. Cartwright, Esq., at May Potenza Baran & Gillespie, P.C. represents the Debtor as counsel. Keith Bierman was appointed as trustee in this Chapter 11 case. The trustee tapped Perkins Coie LLP as counsel and MCA Financial Group, Ltd. as financial advisor. HARVEST NUTRITION: Claims to be Paid From Business Revenues ----------------------------------------------------------- Harvest Nutrition, LLC, filed with the U.S. Bankruptcy Court for the District of Kansas a Chapter 11 Plan of Reorganization dated February 25, 2025. The Debtor is a health nutrition store headquartered in Larned, Kansas. Debtor is owned by Alexis Hernandez Dickens who owns 100% interest. The cause for this Chapter 11 case originates from failure to file and pay sales tax to the State of Kansas, due to limited knowledge of the owner as to business tax requirements. Once the owner became aware of these requirements and her failure to fulfill them, she then started charging sales tax and has ensured that all sales tax obligations have been filed, and paid, since before the date this Chapter 11 bankruptcy petition was filed. However, due to collection actions by the State of Kansas, Debtor was unable to continue operating her business without filing the Chapter 11 bankruptcy for the purpose of stopping collection proceedings and to reorganize and restructure in order to pay her creditors. The Debor's Plan is for a period of five years beginning the date the first installment Plan payment is paid under the confirmed Plan and ending five years thereafter (the "Plan Period"). Upon entry of an Order confirming this Plan (the "Confirmation Order"), all property of the estate shall vest in Debtor free and clear of all liens and encumbrances, except such liens and encumbrances as are specifically provide for in this Plan or in the Confirmation Order. The Plan provides for full payment of a portion of allowed administrative, priority and secured claims, if applicable. The Debtor will be able to make payments under this Plan from its business revenues as evidenced by its anticipated budget and cash flow projections. Class 1 consists of the priority unsecured claim of the Kansas Department of Revenue ("KDOR") in the amount of $29,548.61, as evidenced by its Proof of Claim No. 2) filed herein on February 11, 2025. Debtor shall pay the claim in equal monthly payments of $492.50 over 60 months beginning thirty days after the Effective Date. The unsecured, non-priority portion of this Claim should be discharged. Class 2 consists of all timely filed and allowed general non priority unsecured claims, including that portion of the claims of secured creditors which exceeds the value of their collateral. There have been no general unsecured claims filed as of the date of this Plan, with the exception of the unsecured, non-priority portion of Claim No. 2 filed by KDOR, which shall be discharged. Should any other general unsecured claims be filed, said claims should be discharged. Upon entry of an Order confirming this Plan, all personal property of the Debtor shall vest in Debtor free and clear of all liens and encumbrances except such liens and encumbrances as are specifically provided for in this Plan or in the Confirmation Order. A full-text copy of the Plan of Reorganization dated February 25, 2025 is available at https://urlcurt.com/u?l=hT4TPx from PacerMonitor.com at no charge. Counsel to the Debtor: Shaun Colglazier Huff, Esq. Hagerman & Colglazier, LLC PO Box 360 102 W. 6 th Street Larned, KS 67550 Tel: (620) 285-3157 E-mail: shaun@hc-law.net About Harvest Nutrition Harvest Nutrition, LLC, is a health nutrition store headquartered in Larned, Kansas. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Kan. Case No. 24-11224) on Nov. 27, 2024, with as much as $50,000 in both assets and liabilities. Judge Mitchell L. Herren presides over the case. Shaun Colglazier Huff, Esq., at Hagerman & Colglazier, LLC, is the Debtor's legal counsel. HERSHEY CHAN: Seeks Chapter 11 Bankruptcy in New York ----------------------------------------------------- On March 4, 2025, Hershey Chan Realty Inc. 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 $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Hershey Chan Realty Inc. Hershey Chan Realty Inc. is a debtor with a single real estate asset, as outlined in 11 U.S.C. Section 101(51B). Hershey Chan Realty Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-41079) on March 4, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by: Rachel L. Kaylie, Esq. LAW OFFICES OF RACHEL L. KAYLE, P.C. 1702 Avenue Z Suite 205 Brooklyn, NY 11235 Tel: 718-615-9000 Fax: 718-228-5988 E-mail: rachel@kaylielaw.com HIGHLANDS GROUP: To Sell 180-Acre Parcel to Charles Conzatti ------------------------------------------------------------ The Highlands Group LLC seeks permission from the U.S. Bankruptcy Court for the Western District of Pennsylvania, to sell real property, free and clear of liens, interests, and encumbrances. The Debtor's property is comprised of 180 acres and is identified on the Debtor's schedules as 424 Country Club Road, Johnstown, PA 15905 in Somerset County, PA. The Debtor operates its golf course complex on approximately 1/2 of the overall acreage and the other acreage is lies vacant. The Debtor listed for sale and has been marketing approximately 85 vacant acres of the overall approximately 180-acre parcel. The Debtor has received a purchase offer in the amount of $400,000.00 from Charles M. Conzatti, Jr. Trust for acreage as described in the Standard Agreement for Sale of Vacant Land as follows: -- Saylor School Road – 85 Acres +/- -- Municipality of Conemaugh Twp. -- School District of Conemaugh Twp Area -- Somerset County -- Part of Tax ID S12-003-056-00 -- Part of Identification #2747/838 The Real Property is encumbered by the following known liens: a) Real estate taxes owed to the Somerset County Tax Claim Bureau with claimed amount owed of $108,936.00. b) First mortgage lien held by 1st Summit Bank with claimed amount owed of $418,722.33. c) Mortgage lien held by Jari Growth Fund, Inc. with claimed amount owed of $23,598.92. d) Mortgage lien held by Johnstown Regional Industries, Inc. with claimed amount owed of $18,291.51. e) Mortgage lien held by Pennsylvania Industrial Development Authority with claimed amount owed of $178,960.15. The Debtor employs Robert Colvin and and Remax Team Realtors as realtor for the Debtor and will receive a commission of 6% of the total sale price plus $450.00 subject to court approval. The Buyer's offer is a cash offer and is not subject to any mortgage contingency. The sale will be advertised according to local and national rules and will request higher or better offers at hearing on sale. The Debtor's counsel is seeking $3,570.00 in fees and expense reimbursement for work done related to sale approval. About The Highlands Group LLC The Highlands Group LLC in Johnstown, PA, filed its voluntary petition for Chapter 11 protection (Bankr. W.D. Pa. Case No. 24-70160) on April 22, 2024, listing as much as $1 million to $10 million in both assets and liabilities. Brian C. Durham as member, signed the petition. Judge Jeffery A. Deller presides over the case. STEIDL & STEINBERG, P.C., serves as the Debtor's legal counsel. HULKZ CONSTRUCTION: Files Amended Plan; Plan Hearing March 18 ------------------------------------------------------------- Hulkz Construction LLC submitted a Second Amended Disclosure Statement for Plan of Reorganization dated February 25, 2025. The Debtor purchased the Business Propeties, as well as a third two family property located at 1122 Webster Street, Schenectady, NY 12303 (the "Webster Property", collectively with the Business Properties, the "Rental Properties"). The Debtor believes that its chapter 11 case has been and will be successful, and that it will therefore be in a position to emerge from chapter 11 having achieved all of the goals it had on the Filing Date. The Debtor believes that the terms of its proposed Plan of Reorganization are fair and equitable, and provide Creditors and Claimants with the best available distribution for and on account of their pre Confirmation Claims against the Debtor. Class 3 designated under and by the Plan consists of Allowed Equity Interests. On the Effective Date, the holders of Class 3 Equity Interests shall retain their interests as they existed on the Filing Date, being held and owned 100% by Doodnauth. Other than having paid the retention fees for the Debtor's attorney and some miscellaneous expenses, the holders of Class 3 Interests have thus far contributed no new value to the Debtor. There shall be no distributions to the holders of Class 3 Interests pending the full and final payment of all sums required under Section 5.1 and 5.2 of the Plan, inclusive. This class is Unimpaired are therefore not entitled to vote for or against the Plan and will be deemed to have accepted the Plan. All monies which shall be used to make the payments to all holders of Administrative claims, Priority Tax claims, Class Claims, Class 2 Claims and Class 3 Claims shall be derived from the Debtor's operations, as well as from monies contributed by Doodnauth. The Debtor plans to satisfy the Administration Expenses from two sources. Initially, the Debtor shall use the funds from its Debtor-In-Possession account that it has amassed during the pendency of the Chapter 11 case. If and to the extent the funds in the Debtor-In Possession account are not sufficient to satisfy the payment of administration expenses, then Doodnauth shall infuse his own personal funds to make said payment. As for the Debtor's Plan, it requires regular payments over a period of seven years. The Debtor has compiled a detailed analysis of its projected income and expenses over each of the next seven years which clearly evidences its ability to make all the required payments under its Plan. The Debtor took great efforts to ensure that its comprehensive Financial Projections were prepared with the greatest possible accuracy. Therefore, the Debtor has the determined belief that it has the ability to make the payments required under its Plan. The Bankruptcy Court has scheduled a hearing to consider confirmation of the Plan for March 18, 2025 at 11:30 a.m., before the Honorable Nancy Hershey Lord, United States Bankruptcy Judge, at the United States Bankruptcy Court for the Eastern District of New York. A full-text copy of the Second Amended Disclosure Statement dated February 25, 2025 is available at https://urlcurt.com/u?l=NEXT1e from PacerMonitor.com at no charge. Counsel for the Debtor: Raymond W. Verdi Jr., Esq. Law Offices of Raymond W. Verdi Jr., PC 116 East Main Street, Suite C Patchogue, NY 11772 Telephone: (631) 289-2670 Facsimile: (631) 758-2304 About Hulkz Construction LLC Hulkz Construction LLC is in the business of owning and operating the real properties being (1) a two family property located at 1834 Hamburg Street, Schenectady, NY 12304 (the "Hamburg Property") and (2) a one family property located at 142 N. Brandywine Ave., Schenectady, NY 12307 (the "Brandywine Property") (collectively the "Business Properties"). The Debtor sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-70785) on February 5, 2024, listing up to $50,000 in both assets and liabilities. Judge Nancy Hershey Lord presides over the case. Raymond W. Verdi Jr., Esq. at the Law Offices of Raymond W. Verdi Jr., is the Debtor's counsel. JW ALUMINUM: Moody's Affirms 'B3' CFR & Alters Outlook to Stable ---------------------------------------------------------------- Moody's Ratings changed JW Aluminum Continuous Cast Company's (JW Aluminum) outlook to stable from positive. At the same time, Moody's assigned a B3 rating to the company's proposed $350 million senior secured notes and affirmed the B3 Corporate Family Rating, B3-PD Probability of Default Rating. The B3 rating on the existing senior secured notes have been reviewed in the rating committee and remain unchanged. The rating is unchanged because Moody's expects the proceeds from the new notes will be used to redeem the existing $300 million senior secured notes (B3 rated $285 million notes and $15 million unrated notes) and to pay a $50 million shareholder dividend. "The change in JW Aluminum's outlook to stable reflects Moody's expectations for weaker operating results and credit metrics in 2025, along with longer term concerns about metal cost and competitive price pressures as customers focus on sustainability and aluminum fabricators materially increase domestic capacity. It also reflects the risk of shareholder friendly actions," said Michael Corelli, Moody's Ratings' Senior Vice President and lead analyst for JW Aluminum. RATINGS RATIONALE JW Aluminum's B3 corporate family rating reflects its modest interest coverage (EBIT/interest), history of limited free cash generation, small scale, reliance on its Mt. Holly plant for more than 75% of its sales volumes and about 5 customers for almost 50% of revenues, its exposure to a single commodity, and reliance on cyclical sectors. The company faces cyclical risks due to its dependence on the Building & Construction and HVAC end-markets, and to a lesser extent on the transportation sector. The rating also incorporates Moody's expectations for a weak near-term operating performance and deteriorating credit metrics and the risk of longer-term scrap metal cost and competitive price pressures as customers focus on sustainability and aluminum fabricators materially increase domestic capacity. In addition, the rating considers the risk of shareholder friendly actions as the amount of outstanding preferred stock (about $1 billion as of December 31, 2024) continues to grow (12.5% PIK dividend), and only preferred shareholders receive the first $85 million of dividends paid by the company of which $10 million was paid in 2023 and $50 million is expected to paid with the proceeds of the note issuance. JW Aluminum's rating benefits from a strong market position for most of its flat rolled aluminum products and its long-term relationships with a large number of customers. Its rating also benefits from its moderate financial leverage, its sector leading operating margins and the company's aluminum price pass-through model that provides some level of earnings stability with volume levels and scrap metal costs being critical factors. Although the company hedges a large portion of its aluminum and scrap purchases, thereby reducing its exposure to volatility in this market, it retains some sensitivity to movements in the scrap market. If not fully hedged, the company is also exposed to operational and liquidity risks during periods of high aluminum price volatility. JW Aluminum produced Moody's adjusted EBITDA of about $86 million in 2024 versus $101 million in 2023 as higher metal costs and about a $7 million increase in selling, general & administrative expenses (S,G&A) more than offset the benefit of higher volumes. The higher S,G&A expenses were mostly attributable to higher legal expenses related to a worker's compensation settlement, and to a lesser extent, an increase in management incentive and compensation expenses. The company generated only about $13 million of free cash flow in 2024 as it invested around $17 million in working capital. This cash was added to the company's cash balance which was about $28 million as of December 2024. The lower earnings led to an increase in the company's adjusted leverage ratio (Debt/EBITDA) to 3.6x from 3.1x in December 2023, as its interest coverage (EBIT/Interest) weakened to 1.6x from 2.0x. JW Aluminum's operating performance and credit metrics are likely to weaken in 2025 as metal and conversion margins contract, but the timing and magnitude of import tariffs could somewhat alter this expectation. Moody's anticipates lower metal margins due to higher scrap costs and weaker conversion margins pressured by lower sales prices due to competitive market conditions and inflationary cost pressures. Therefore, Moody's expects the company to generate adjusted EBITDA of about $80 million and to generate modest free cash flow. The combination of higher debt and weaker earnings will result in an adjusted leverage ratio of about 4.5x and interest coverage of around 1.3x. These metrics are in line with the B3 rating. JW Aluminum is expected to maintain adequate liquidity. The company had $28 million in cash and no borrowings outstanding under its $100 million unrated ABL facility, excluding $0.2 million of outstanding L/Cs. The total borrowing base stood at $84.2 million, leaving ABL availability at about $84 million. Moody's believes the company will remain in compliance with the ABL facility minimum fixed-charge coverage ratio covenant of 1.0x over the next 12 to 18 months. The B3 rating on the senior secured notes reflects their preponderance of debt in the capital structure and expectations for limited borrowings under the ABL over the next twelve to eighteen months. The notes are guaranteed by the company's wholly owned domestic subsidiaries and are primarily secured by a first-priority lien on the company's fixed assets. The notes have a second lien on the assets securing the ABL. The stable ratings outlook assumes JW Aluminum's operating performance and credit metrics will moderately weaken in 2025, but its credit profile will remain commensurate with its rating. A comprehensive review of all credit ratings for the respective issuer(s) has been conducted during a rating committee. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS JW Aluminum's small scale, limited operational diversity and narrow business profile limit the upside potential for its rating. Nevertheless, a ratings upgrade would be considered if the company maintains a leverage ratio below 4.5x, interest coverage above 2.0x and generates consistent free cash flow. Sustaining a good liquidity position and addressing the preferred shares of the parent company which have a mandatory redemption in 2032 are also pre-requisites for an upgrade. The company plans to extend the redemption date to 2032 concurrent with the completion of its refinancing. Negative rating pressure could develop if the company experiences any significant operating issues, particularly at its flagship Mt. Holly facility, or fails to refinance its senior secured notes due in June 2026. Any material disruption that leads to heavy reliance on the ABL facility, weaker liquidity or reduction in its ability to meet compliance covenants could result in a downgrade. A leverage ratio sustained above 5.5x or interest coverage persisting below 1.0x could also lead to a downgrade. Headquartered in South Carolina, JW Aluminum produces rolled aluminum products that serve the Building and Construction (B&C), HVAC, transportation, and other end markets. The company operates two manufacturing facilities located in Mt. Holly, South Carolina and Russellville, Arkansas, and is privately owned by affiliates of FS/KKR Advisor, LLC, Goldman Sachs & Co. LLC, Magnetar Capital, Pentwater Capital Management and others. The company generated about $630 million in net sales in the year ended December 31, 2024. The principal methodology used in these ratings was Steel published in November 2021. LA SALLE: Fitch Lowers IDR to 'BB-', Outlook Negative ----------------------------------------------------- Fitch Ratings has downgraded the Issuer Default Rating (IDR) for La Salle University (La Salle) and the ratings on the following bonds issued on behalf of La Salle to 'BB-' from 'BB': - $43,595,000 Philadelphia Authority for Industrial Development, La Salle University revenue bonds series 2024; - $40,050,000 Philadelphia Industrial Development Authority, La Salle University revenue bonds series 2017; - $94,975,000 Pennsylvania Higher Educational Facilities Authority, La Salle University revenue bonds series 2012. The Rating Outlook is Negative. Entity/Debt Rating Prior ----------- ------ ----- La Salle University (PA) LT IDR BB- Downgrade BB La Salle University (PA) /General Revenues/1 LT LT BB- Downgrade BB As noted with Fitch's last review, La Salle's rating is highly sensitive to deviations from the university's budget rationalization plan, asset monetization goals, and student enrollment targets. Fitch recognizes La Salle's success in planned asset monetization actions to date, overhaul of its enrollment function, and execution of meaningful expense and revenue adjustments including a 9% yoy increase in net student revenues expected in fiscal year 2025. However, La Salle's fiscal year 2024 performance lagged Fitch's expectations, resulting in deterioration of available funds (AF) beyond Fitch's projections. Together with the expected increase in debt from the series 2024 bond issuance, La Salle's leverage ratios weakened, supporting the downgrade to 'BB-' from 'BB.' Additionally, the downgrade is supported by Fitch's change in assessment of La Salle's Operating Risk Profile to 'bb' from 'bbb'. The change is prompted by successively weak Fitch-calculated cash flow margins that Fitch believes will persist. Furthermore, the weak cash flow calculations are buoyed by La Salle's repeated recognition of outsized endowment draws into income. La Salle's ratings reflect the university's financial asset base that, while still adequate relative to the university's significant debt, has declined notably in recent years. The ratings also incorporate La Salle's weak student demand metrics that are influenced by the highly competitive and demographically unfavorable Northeast U.S. market, but with promising trends of notable improvements in first-time matriculations. The Negative Outlook reflects that absent further significant asset monetization, revenue growth and expense reductions, further balance sheet deterioration is likely, and may result in liquidity pressures as well. SECURITY The series 2012, series 2017 and series 2024 bonds are secured on parity by a pledge of the university's unrestricted gross revenue. Upon an event of default, an intercreditor agreement provides for this revenue to be delivered to the parity debt trustees and the collateral agent. The series 2024 bonds will be additionally secured by certain campus properties appraised in February 2024 at $144.7 million (La Salle's total property value was appraised at over $300 million). Through an intercreditor agreement, holders of the series 2012 and series 2017 bonds share in a pari passu claim to the series 2024 mortgages. KEY RATING DRIVERS Revenue Defensibility - 'bb' Endowment, Fundraising, and Asset Monetization Capacities Partially Counter Pressure on Student Revenue La Salle's 'bb' revenue defensibility assessment reflects the university's historical dependence on student-generated revenues that have faced several years of enrollment contraction and weak student demand. Total FTE enrollment in fall 2024 fell by 5% to about 2,500 students, with declines in both undergraduate and graduate cohorts. Undergraduate acceptance and matriculation rates are weak, at 86% and 11% respectively, reflecting the fiercely competitive Southeast Pennsylvania marketplace and declining local demographics. Despite the decline in total students, there are promising signs of improvement, likely related to La Salle's overhaul of enrollment personnel, processes, and strategies. New matriculants grew in fall 2024, with early indicators of substantially higher levels of first-time matriculants for fall 2025. Furthermore, net student revenues are projected to increase in fiscal year 2025 by approximately 9% despite the overall drop in fall 2024 enrollment. La Salle has been able to counter some of the volatility in student revenues with meaningful contributions from endowment income, fundraising, use of reserves and asset monetization. However, recent endowment draws of over 7% and the use of strategic reserves are unsustainable, in Fitch's opinion, and compromise future flexibility. La Salle has solid fundraising capacity, in Fitch's opinion, with a history of private and state grants for operations, capital, scholarships and endowment. La Salle is also considering the launch of a sizable fundraising campaign. Fitch believes La Salle has significant capacity and willingness to monetize noncore assets such as excess real estate and two steam plants. Operating Risk - 'bb' Steps to Reduce Structural Balance to Date Not Sufficient to Preserve Cash Flow Fitch has downgraded La Salle's Operating Risk assessment to 'bb' from 'bbb'. The downgrade incorporates weaker Fitch-calculated operating cash flows (over negative $10 million in fiscal year 2024) and La Salle's repeated practice of taking supplemental draws, which elevate cash flow calculations beyond what cash is fundamentally generated. Management projections for fiscal year 2025 represent significant improvement in operations yoy, largely from reductions in the expense base. However, balance in fiscal year 2025 is still reliant on the use of strategic reserves and a large nonrecurring revenue item related to a gift for La Salle's basketball arena. Going forward, expense reductions should result from accepted early retirement offers, productivity initiatives, expiration of one-time restructuring expenses and cutback in plant maintenance costs for offloaded real estate. However, without generation of additional revenues, Fitch believes that La Salle will struggle to generate cash flow margins beyond the 0%-5% range, which is most consistent with the 'bb' Operating Risk assessment. Fitch's operating risk assessment is also tempered by La Salle's high fixed costs for its elevated debt load. Average annual debt service of approximately $12 million represents a high 16% of fiscal year 2024 operating income. Restoration of healthy and consistent cash flow margins over the next five years is essential to La Salle's capacity to comfortably cover debt service when significant principal amounts start to amortize in fiscal 2030. La Salle's internally funded capital plans for the coming years are limited to repair and replacement costs as the university prioritizes cash preservation, but its average age of plant of more than 20 years may reflect growing capital needs. Roughly $18 million in new money proceeds from the series 2024 bonds, capital gifts from a planned fundraising campaign and some state capital funds for private universities are expected to finance current capex needs. Financial Profile - 'bb' Reduction of AF Beyond Expectations Weakened Leverage; Financial Profile Subject to Change with Asset Monetization The 'bb' financial profile assessment reflects strain on La Salle's leverage profile from declining assets. Fitch-calculated AF (cash and investments less permanently restricted net assets) as of FYE 2024 amounted to about $40 million, a recent low and about half of what it was at FYE 2019. Following the series 2024 bond issue, La Salle's debt increased to approximately $138 million (all fixed rate). La Salle has no debt-equivalent leases. The resulting approximately 29% AF-to-adjusted debt is low, particularly in the context of La Salle's 'bb' Revenue Defensibility and Operating Risk assessments. La Salle is bound by a debt service coverage ratio covenant in the series 2012 and series 2017 bonds of 1.0x annually, and 1.2x on the series 2024 bonds, with different remedies for missing these thresholds. The definitional calculation of funds available for debt service differs somewhat for the series 2024 bonds, but all add balance sheet assets to the typical adjusted revenues. La Salle attests meeting the thresholds for fiscal year 2024 and is expecting to meet the thresholds for fiscal year 2025. Budgetary balance is essential to maintain adequate liquidity for operations. In Fitch forward-looking scenarios, liquidity as measured by AF-to-operating expenses falls to concerning levels unless significant new asset monetization plans are achieved, and deficits are eliminated. La Salle is working on securing a working capital line of credit to manage temporary FYE cash troughs. For fiscal years 2023 and 2024, La Salle's auditor has issued unqualified opinions but noted concerns prior to reviewing the university's deficit reduction plans. Absent improvements in recurring operating performance and a fully successful execution of its asset monetization plans, La Salle remains susceptible to further deterioration in AF, leverage, and liquidity over the near term, consistent with a lower rating. Conversely, successful execution of the university's revenue enhancement, expense rationalization and asset monetization strategies, may warrant a positive rating action such as reversion to Stable Outlook. Asymmetric Additional Risk Considerations Fitch considers continued operating deficits that have been addressed with supplemental draws on reserves to be an asymmetric operating risk. With various measures of liquidity at low levels, Fitch considers La Salle to have an elevated asymmetric liquidity risk. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Continued enrollment declines in fall 2025 and beyond that pressure net tuition and student fee revenue; - Operating performance that does not steadily improve without the use of supplemental endowment draws after fiscal 2025 enough to support ascending debt service requirements starting in fiscal 2030; - An unfavorable shift in financial flexibility from either additional debt, erosion in AF or reduction of operating liquidity; - Inability to meet annual targets and make steady progress toward the university's financial right-sizing, revenue building and asset monetization plans; - Debt service coverage ratio performance under 1.0x as defined in the series 2024 bonds, which would result in an event of default. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Signs of stabilization or growth in total enrollment, retention and/or residential housing levels in fall 2026; - Execution of La Salle's asset monetization, revenue enhancement and expense reduction plans that is better than Fitch's current expectations, resulting in significant and sustained improvement in Fitch-calculated operating cash flow margins and leverage ratios (AF-to-adjusted debt); - A return to a sustainable level of endowment support that persists over several years, supported by stronger cash flows and solid Fitch-calculated debt service coverage on a recurring basis. PROFILE La Salle University, founded in 1863 by the Institute of the Brothers of the Christian Schools (Christian Brothers), is a private, co-educational university located on a 133-acre campus in the Germantown area of Philadelphia, 10 miles from Center City. La Salle is one of six Lasallian colleges in the U.S. and among numerous colleges and educational institutions in the Lasallian network worldwide. La Salle was granted university status in 1984. The Christian Brothers' residence is co-located on the campus of the university. La Salle offers undergraduate and graduate degrees at its three schools: Arts and Sciences, Business, and Nursing and Health Sciences. La Salle's most popular majors among undergraduates are business and nursing, and among graduates are business, education and health science. Roughly 68% of students are undergraduates and 80% are Pennsylvania residents. With several NCAA Division I men's and women's athletic programs and several hundred student-athletes, athletics is an important component of La Salle's operations. La Salle's accreditation from the Middle States Commission on Higher Education was most recently affirmed in 2016. The university is currently in the process of its self-review scheduled for 2025. La Salle's U.S. Department of Education (DOE) composite score for fiscal year 2024 was 1.3, which the DOE considers financially responsible but may require some cash oversight. Sources of Information In addition to the sources of information identified in Fitch's applicable criteria specified below, this action was informed by data from Lumesis. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. LCI INDUSTRIES: S&P Assigns 'BB-' ICR, Outlook Stable ----------------------------------------------------- S&P Global Ratings assigned its 'BB-' issuer credit rating to Leisure and industrial equipment supplier LCI Industries. S&P said, "We also assigned our 'BB+' issue level rating and '1' recovery rating to the proposed revolving credit facility and term loan B. This is two notches above the issuer credit rating, indicating S&P Global Ratings' view that lenders could expect a very high (90%-100%; rounded estimate: 95%) recovery in the event of default." The stable outlook reflects S&P's expectation that S&P Global Ratings-adjusted leverage pro forma for the financing will be in the mid-2x area in 2025, which would be a good cushion compared with our 4x downgrade threshold to accommodate potential future acquisitions, shareholder capital returns, and high volatility over the economic and inventory cycle. The company operates in highly competitive and volatile markets. The company is a manufacturer and distributor of component parts and supplies for the recreational vehicle (RV), marine, and adjacent industries. S&P said, "We believe the business has low barriers to entry and competes primarily on price, reliability, delivery times, and quality. LCI's end markets are fragmented, and it competes with regional and national players, some of which have similar scale or cost advantages, including rated peer Patrick Industries Inc. (BB-/Stable). However, the company has good positions in the RV and marine markets. These business factors result in lower EBITDA margin than the broader leisure universe, but in line with other leisure goods manufacturers. LCI is also exposed to the risk of commodity input price increases. We believe LCI's ability to pass on higher costs ultimately depends on the overall health of the supply chain and on its customers' ability to accept higher prices." LCI operates in highly cyclical industries, which could see substantial deterioration in demand in an economic downturn. In 2024, about 53% of LCI's sales were to the RV and marine original equipment manufacturer (OEM) markets. RVs and boats are big-ticket, highly discretionary leisure purchases that depend on the strength of the economy, discretionary income levels, consumer confidence, and credit availability. LCI's North American marine OEM sales were down about 30% in 2024 because consumer sentiment was lower and higher interest rates have made financing RV sales less palatable, especially for new buyers. Over time, marine demand could be supported by the replacement cycle of registered boats in the U.S., where the average boat is generally older. Manufacturers' ability to capitalize on this replacement cycle will depend on consumers' willingness to replace boats and any competition from other big-ticket leisure options. Business risks are mitigated by some revenue diversification. S&P said, "We believe LCI's exposure to different end markets helps to diversify its revenue, particularly if revenue components among end markets are not highly correlated over an economic cycle. This can help offset industry-specific end-market risks. For example, the negative effect of sales declines in 2024 in the marine OEM market has been moderated by less volatile conditions in the aftermarket and adjacent end markets. It is also our understanding that some capacity is interchangeable among LCI's production facilities and that this flexibility could help to absorb excess capacity in individual end markets. We believe LCI's acquisition and diversification strategy may help to expand EBITDA margin over time, partly through purchasing companies that produce higher value-added products." S&P said, "However, we believe correlation across end markets would likely increase in a cyclical downturn, particularly in response to changes in discretionary income, interest rates, and other macroeconomic variables. "We expect LCI will maintain a moderate financial policy with leverage levels that provide cushion for operating variability, particularly during economic or cyclical downturns. LCI's stated financial policy is to reduce and sustain its measure of net debt to EBITDA of 1.5x-2.0x, but we believe LCI could temporarily exceed that level for opportunistic acquisitions. The company's measure of 1.7x net leverage in 2024 translates into our higher 2.3x adjusted metric primarily because of our lease adjustment, and we do not net cash balances for highly volatile companies like LCI. Risk considerations are also partly mitigated by our forecast that S&P Global Ratings-adjusted debt to EBITDA will improve to the mid-2x area in 2025 from about 2.7x pro forma for 2024, which incorporates a modest increase in demand for RVs in 2025 and 2026, along with growth in the company's aftermarket segment. This would represent a good cushion compared with our 4x downgrade threshold at the 'BB-' rating, some revenue diversification, anticipated prudent financial management, and an acquisition strategy that could expand EBITDA margins over time. We estimate a moderate economic recession could cause the company's leverage to spike by 1x or more. If the company makes acquisitions and increases leverage near the top of the cycle, anticipated volatility in a downturn could cause leverage to spike further. As a result, we factor this incremental financial risk into the rating." Material prolonged tariffs could pressure margins. LCI sourced about 35% of its raw materials outside of the U.S. in 2024, with some imports coming from China. S&P said, "This exposure is somewhat offset by LCI's expansive supplier footprint, and our view that the company may be able to mitigate tariff exposure through pricing pass-through mechanisms. While LCI will try to pass on these higher input costs to the degree it can, ultimately original equipment manufacturers' willingness to continue to share higher input costs with suppliers depends on consumers' willingness to pay higher prices. We believe material tariffs could pose a burden on margins and may lead to weaker credit metrics than we are currently assuming in our base case." S&P said, "The stable outlook reflects our expectation that S&P Global Ratings-adjusted leverage pro forma for the financing will be in the mid-2x area in 2025, which would be a good cushion compared with our 4x downgrade threshold to accommodate potential future acquisitions, shareholder capital returns, and high volatility over the economic and inventory cycle. "We could lower our rating on LCI if its operating performance were weaker than we expected, and we believed it would sustain our measure of adjusted gross debt to EBITDA above 4x. This would likely be due to debt-funded acquisitions and a prolonged recession in the U.S. that hurts consumer spending in LCI's end markets. "We could raise our rating on LCI to 'BB' if we believed it would sustain S&P Global Ratings-adjusted leverage of below 3x, incorporating temporary spikes for acquisitions as well as volatility over the economic cycle. We estimate a moderate economic recession could cause the company's leverage to rise by 1x or more. The rating upside would likely depend on the company maintaining a lower leverage tolerance for acquisitions or an improved business risk profile; however, this would also depend on LCI's ability to use its debt capacity to complete an acquisition large enough to improve its product scale and diversity over time while remaining within our leverage expectations for a higher rating." LEASING TRUCK: Unsecured Creditors to Split $70K over 5 Years ------------------------------------------------------------- Leasing Truck Solution Inc. filed with the U.S. Bankruptcy Court for the Northern District of Illinois a Disclosure Statement describing Plan of Reorganization dated February 25, 2025. The Debtor is a holding company which leases all its trucks and trailers to Patriot Transport, which in turn provides freight transportation and supply chain services for clients in the U.S. The company was founded in 2013, and its headquarters are currently in Carol Stream, Illinois. The Debtor is owned and operated by Igor Terletsky. The Debtor currently owns 29 trucks and 18 trailers. During Covid-19, the Debtor remained in business due to the high demand for transportation and financial support from the government. However, post 2021, fuel prices started to climb and in 2022 fuel prices were double than in previous years. In 2022, the demand and load prices decreased by 40% creating a national crisis for transportation companies. In addition, high demand for new trucks and trailers in 2021 caused delays in fulfilling equipment orders, coupled with increased equipment costs and higher debt service. These factors contributed to significant cash flow issues in 2022 and 2023 and a decline in operations. In 2024, BMO Harris and Daimler Financial Services initiated litigation against the Debtor to repossess equipment, and filed suit against the related guarantor entities. As a result of the litigation, the Debtor filed Chapter 11 proceeding in July, 2024. The Debtor's Plan of Reorganization provides for distribution to the holders of allowed claims and interests from cash, cash equivalents and other funds and income derived the continued operations of the Debtor. The Reorganized Debtor shall distribute payments as provided by the Plan to each class of claims according to the priorities set forth in the Bankruptcy Code and on a pro rata basis within each class of claims. Class 2 consists of General Non Priority Unsecured Claims. The allowed unsecured claims total $2.6 Million. Class 2 Claims including unsecured claims asserted by the Taxing Authorities shall be paid pro rata distributions of deferred cash payments aggregating $70,000 from the General Unsecured Creditor Fund payable in five equal payments of $14,000 with the first installment due 6 months following the Effective Date (or July 31, 2025 whichever sooner) and $14,000 payable annually on July 31, 2026, 2027, 2028 and 2029. Class 2 Claims are impaired. Class 5 consists of Equity Interests. All equity interests shall be deemed to be terminated and canceled upon the Effective Date. Newly issued equity security interests of the Reorganized Debtor consisting of 1,000 shares of the newly issued common stock shall be transferred to Igor Terletsky upon waiver of Mr. Terletsky's Class 4 Claim on the Effective Date and payment of the Class 2 Claims hereunder. Class 5 Claims and Equity interests are impaired under the Plan. Except as otherwise provided in the Plan or the Confirmation Order, all cash necessary for the Debtor to make payments pursuant to the Plan to Allowed Administrative Claims, Priority Claims, Priority Tax Claims, Secured Claims and General Unsecured Non- Priority Claims will be from the continued operations of the Debtor. Except as otherwise provided herein or as ordered by the Bankruptcy Court, distributions to be made on account of Class 2 Claims that are Allowed Claims as of the Effective Date shall be made on the Distribution Date and on each anniversary thereof for a total of five payments of $14,000 (or $70,000 in the aggregate). Any payment or distribution required to be made under the Plan on a day other than a Business Day shall be made on the next succeeding Business Day. A full-text copy of the Disclosure Statement dated February 25, 2025 is available at https://urlcurt.com/u?l=h7AKhC from PacerMonitor.com at no charge. Counsel to the Debtor: David Freydin, Esq. Law Offices of David Freydin PC 8707 Skokie Blvd, Suite 312 Skokie, IL 60077 Tel: (847) 972-6157 Fax: (866) 897-7577 Email: david.freydin@freydinlaw.com About Leasing Truck Solution Inc. Leasing Truck Solution Inc. is a truck and trailer leasing company in Carol Stream, Illinois. Leasing Truck Solution Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 24-09880) on July 8, 2024. In the petition filed by Igor Terletsky, as president, the Debtor reports total assets of $1,960,000 and total liabilities of $9,106,341. Honorable Bankruptcy Judge Timothy A. Barnes oversees the case. The Debtor is represented by David Freydin, Esq. at the LAW OFFICES OF DAVID FREYDIN. LITTLE MINT: Seeks to Sell Restaurant Assets at Public Sale ----------------------------------------------------------- The Little Mint Inc. seeks permission from the U.S. Bankruptcy Court for the Eastern District of North Carolina, New Bern Division, to sell personal property in a public sale, free and clear of liens, claims, and encumbrances. The Debtor is a North Carolina corporation, founded in 1991 and headquartered in Mount Olive, North Carolina, that operates a fast casual restaurant chain known as "Hwy 55 Burger Shakes & Fries." The Debtor has 71 locations, consisting of 14 corporate-owned stores and 57 franchised stores. The stores are located primarily throughout the Southeast, with operations in North Carolina, South Carolina, Georgia, Florida, Tennessee, and Texas. The Debtor employs Mike Gurkins and Country Boys Auction & Realty, Inc., D.E. 127, as the auctioneer. The Auctioneer has inspected and appraised the personal property of the Debtor that was removed the Debtor's former corporate office in Mount Olive, North Carolina. The personal property consists of office furniture, miscellaneous restaurant equipment, and related items. The Auctioneer will hold a public sale to sell the personal property that will be held on April 23, 2025, at 10:00 a.m. or shortly thereafter at Country Boys Auction & Realty Inc. located at 1211 W. 5th St. Washington, N.C. 27889. The Property will be sold in an "AS IS" condition, and the buyer will bear all costs, including registration fees and local applicable transfer fees or taxes and any North Carolina sales tax that may apply. The Debtor believes that the best method to liquidate the property, and to preserve the rights of lienholders, is to sell the same in public auction. The proceeds from the sale will be distributed first to costs and allowed fees, and the secured claims. About The Little Mint Inc. The Little Mint, Inc. owns multiple Hwy 55 Burgers, Shakes & Fries restaurants. It conducts business under the name Hwy 55 Burgers Shakes & Fries and is based in Mount Olive, N.C. Little Mint sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 24-04510) on Dec. 31, 2024. In its petition, the Debtor reported assets between $1 million and $10 million and liabilities between $10 million and $50 million. Judge Joseph N. Callaway presides over the case. The Debtor tapped Rebecca F. Redwine, Esq., at Hendren, Redwine & Malone, PLLC as counsel and Nunn, Brashear & Uzzell, PA as accountant. LIVE NATION: Moody's Raises CFR to 'Ba2' & Alters Outlook to Stable ------------------------------------------------------------------- Moody's Ratings upgraded Live Nation Entertainment, Inc.'s (Live Nation) corporate family rating to Ba2 from Ba3, probability of default rating to Ba2-PD from Ba3-PD, senior secured bank credit facilities and senior secured notes ratings to Ba1 from Ba2, and senior unsecured notes ratings to Ba3 from B1. The company's speculative grade liquidity rating was unchanged at SGL-1. The outlook was changed to stable from positive. "The upgrade recognizes Live Nation's ongoing good operating performance, driven by robust demand for live events, which will allow the company to sustain good credit metrics", said Peter Adu, a Moody's Ratings analyst. RATINGS RATIONALE Live Nation's Ba2 CFR benefits from: (1) a large scale and strong market position, enhanced by established relationships with performing artists, which create substantial barriers to entry; (2) sustainable and predictable cash flow due to its established platform for concert promotions and ticketing; (3) material improvement in debt/EBITDA post COVID-19 pandemic, supported by EBITDA growth, together with Moody's expectations that the ratio will be sustained below 4x through 2026, barring material acquisitions (was 3.6x for 2024); (4) good long term growth prospects, especially in emerging markets where rising middle class incomes will drive increased consumption of live events; and (5) very good liquidity boosted by positive free cash flow generation. The rating is constrained by: (1) reputational and regulatory risks from periodic publicity and ongoing lawsuits while exposed to event risk of regulatory changes addressing its substantial market position or mandated consumer protection initiatives; (2) a business model that is tied to live events, which are discretionary and subject to material volatility as was experienced during the pandemic; and (3) governance risks stemming from its lack of a publicly articulated financial leverage target despite having an acquisition growth strategy together with its ownership profile, which could introduce shareholder friendly actions. Live Nation has three classes of debt: (1) Ba1-rated senior secured credit facilities and senior secured notes; (2) Ba3-rated senior unsecured notes; and (3) unrated subordinated convertible notes. The Ba1 rating on the company's secured debt is one notch above the CFR to reflect their preferential access to realization proceeds as well as loss absorption capacity provided by junior ranking unsecured notes and subordinated convertible notes. The Ba1 rating incorporates a one notch override because the security package is provided by domestic restricted subsidiaries and there is material value in the foreign subsidiaries that do not provide guarantees. The unsecured notes are rated Ba3, one notch below the CFR, to reflect the sizeable amount of secured debt ranking ahead of them. Live Nation has very good liquidity (SGL-1) through March 31, 2026, with sources approximating $4.1 billion while the company has about $310 million of debt maturities and term loan amortization in this time frame. Liquidity sources include unrestricted cash of about $1.6 billion ($6.1 billion balance sheet cash less $1.6 billion in ticketing client cash and $2.9 billion in net event-related deferred revenue and accrued artist fees), full availability under its $1.3 billion revolving credit facility that expires in November 2029, full availability under its new $400 million venue expansion revolving credit facility that expires in November 2029, and Moody's free cash flow estimate of about $800 million over the next 12 months. Moody's expects the company to remain in compliance with a 6.75x net leverage covenant, with a step down to 6.25x on March 31, 2026 (more than 50% cushion). Live Nation has limited ability to generate liquidity from asset sales. The outlook is stable because Moody's expects the company to continue demonstrating good operating performance and maintaining very good liquidity while sustaining debt/EBITDA below 4x through 2026. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if the company's operating fundamentals continue to improve, including growth in revenue and EBITDA while maintaining very good liquidity and sustaining debt/EBITDA towards 3x and EBITA/Interest above 4.5x. The ratings could be downgraded if the company's growth strategy were challenged, evidenced by material revenue or EBITDA declines or if it sustains debt/EBITDA above 4.5x and EBITA/Interest below 3.5x. Weak liquidity, possibly due to negative free cash flow generation on a consistent basis could also cause a downgrade. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. Live Nation, headquartered in Beverly Hills, California, owns, operates and/or exclusively books venues and promotes live entertainment with operations in North America, Europe, Asia and South America. The company also operates a leading live entertainment ticketing and marketing company (Ticketmaster). MASDAC LLC: Creditors to Get Adversary Proceedings & Receivables ---------------------------------------------------------------- MASDAC, LLC, d/b/a Larsen & Ruggiero Mechanical, d/b/a L&R Mechanical, filed with the U.S. Bankruptcy Court for the Eastern District of New York a Plan of Reorganization dated February 25, 2025. Class 2 consists of Allowed General Unsecured Claims. This Class consists of eleven claims. This class will be paid a pro rata percentage commencing within thirty days of the effective date of the Plan from the amount in the Debtor's DIP account from collections. The Debtor will make quarterly pro rata distribution from collections. The Class 2 creditors are impaired pursuant to Section 1124 of the Bankruptcy Code because they are being paid less than 100% of their claim and are entitled to vote pursuant to Section 1126(c) of the Bankruptcy Code. Class 3 consists of the Claims of Member Interest. The Class 3 ius impaired for the purpose of Section 1124 of the Bankruptcy Code and is entitled to vote pursuant to Section 1126(f) of the Bankruptcy Code but the vote will not count towards the required consenting class, as the member is an insider. The Plan shall be effectuated from money being held in the Debtor's DIP account and from the continued collection of receivables and money collected from adversary proceedings the Debtor will commence. Upon the confirmation of this Plan, the Debtor shall be re-vested with legal and equitable title to its property and the property of the estate. A full-text copy of the Plan of Reorganization dated February 25, 2025 is available at https://urlcurt.com/u?l=AHVsQm from PacerMonitor.com at no charge. The Debtor's Counsel: Heath S. Berger, Esq. BERGER, FISCHOFF, SHUMER, WEXLER & GOODMAN, LLP 6901 Jericho Turnpike Suite 230 Syosset, NY 11791 Tel: 516-747-1136 Email: hberger@bfslawfirm.com/ gfischoff@bfslawfirm.com About MASDAC LLC MASDAC, LLC, doing business as Larsen & Ruggiero Mechanical, doing business as L&R Mechanical, is part of the building equipment contractor industry. MASDAC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-41830) on April 30, 2024. In the petition signed by Alain Holtz, managing member, the Debtor disclosed $822,341 in assets and $1,227,301 in liabilities. Judge Elizabeth S. Stong oversees the case. Heath S. Berger, Esq., at Berger, Fischoff, Shumer, Wexler & Goodman, LLP, serves as the Debtor's counsel. MAXLINEAR INC: Moody's Lowers CFR to B3 & Alters Outlook to Stable ------------------------------------------------------------------ Moody's Ratings downgraded MaxLinear, Inc.'s corporate family rating to B3 from B1, probability of default rating to B3-PD from B1-PD. Moody's also downgraded the senior secured first lien credit facilities, comprised of the revolver due June 2026 (Revolver) and term loan B due June 2028 (Term Loan) to B3 from B1. The Speculative Grade Liquidity Rating is maintained at SGL-3. The outlook was revised to stable from negative. The downgrade of MaxLinear's CFR reflects the poor financial performance and Moody's expectations that EBITDA margins and leverage metrics will remain weak over the next 12 to 18 months. While the inventory clearing process in MaxLinear's end markets has largely been completed, Moody's expects only a modest recovery over the next 12 to 18 months. Moody's believes that MaxLinear's actions in 2024 to reduce operating expenses will result in the company generating free cash flow (FCF) in the coming quarters as revenues increase and profitability improves. RATINGS RATIONALE The B3 CFR reflects MaxLinear's depressed revenues and profitability, with quarterly revenues down nearly 27% year over year (down 68% since 2022) and negative free cash flow (FCF) and EBITDA (Moody's adjusted) for the quarter ended December 31, 2024. The revenue volatility is due in part to MaxLinear's concentrated end market exposure, which differs from the company's larger competitors such as Broadcom Technology Inc. (Broadcom), whose diverse end markets limit the overall revenue impact of declines in any one segment. Moody's expects FCF will gradually improve during 2025 as customer inventories are now largely balanced, which should provide for a revenue recovery in 2025 and 2026. MaxLinear benefits from a large cash balance and its outsourced manufacturing model, which limits capital spending needs. MaxLinear has valuable intellectual property (IP) as indicated by the high gross margins (maintained at the mid to upper 50 percent level despite the currently depressed revenues). MaxLinear also holds niche market positions in radio frequency (RF) chips used primarily in home networking, wireless infrastructure, and data center systems. MaxLinear has been engaged in an arbitration initiated by Silicon Motion Technology Corp. (Silicon Motion) since October 2023 with the Singapore International Arbitration Centre. This follows MaxLinear's termination of its agreement to acquire Silicon Motion a month earlier citing, among several other reasons, that Silicon Motion had suffered a Material Adverse Effect (as defined in the acquisition agreement) that was continuing. Silicon Motion formally rejected MaxLinear's grounds for terminating the acquisition. Through the arbitration process, Silicon Motion is seeking payment of the $160 million acquisition termination fee plus damages. Should Silicon Motion prevail in the arbitration, and MaxLinear is compelled to make a substantial cash payment to Silicon Motion, this would pressure MaxLinear's B3 CFR. The stable outlook reflects Moody's expectations of a modest recovery revenues from the currently depressed level, as Moody's believes that end market excess inventories have now largely cleared. Moody's expects revenues to increase at an upper single digits percent annual rate over the next 12 to 18 months. The outlook also reflects the risk that the Silicon Motion arbitration could require MaxLinear to make a settlement payment to Silicon Motion. Though the magnitude of a potential settlement payment is unknown, Moody's notes that MaxLinear has some capacity to address this due to the large cash balance ($118.6 million as of December 31, 2024), which should steadily grow over the coming quarters due to increasing cash generation. Though the potential settlement payment timing and magnitude is unknown at this time, MaxLinear believes that based on similar situations, no cash payment would be required until 2027 at the earliest. Over the period, Moody's expects the EBITDA margin to rise to the mid-single digits percent level (Moody's adjusted) and debt to EBITDA improving toward the lower 7x level (Moody's adjusted) due to growing revenues and the cost reduction actions taken over the past year. The SGL-3 rating reflects MaxLinear's adequate liquidity, incorporating the potential for a moderately negative outcome of the Silicon Motion arbitration. Liquidity is supported by a large cash balance ($118.6 million at December 31, 2024). Moody's expects that MaxLinear will generate annual FCF (Moody's adjusted) of at least $20 million over the next 12 to 18 months (exclusive of any settlement payment that may be required under the Silicon Motion arbitration). This reflects a continuing recovery in revenues, profitability, and FCF generation, with the recovery continuing in 2026. Absent a negative outcome on the Silicon Motion arbitration, given the large cash balance and improving FCF, Moody's do not expect that MaxLinear will need to draw on the $100 million Revolver. The Term Loan is not subject to any financial maintenance covenants. The Revolver, however, contains a springing financial covenant set at 3.5x debt to EBITDA (as defined in the credit agreement), which is tested at Revolver utilization in excess of just 1% of total commitments (borrowings or letters of credit). Given MaxLinear's depressed profitability, Moody's believes that availability under the Revolver, which matures in just over a year (June 2026), will be severely limited for at least the next several quarters. The Term Loan and the Revolver are both rated B3, reflecting the single class of debt in the capital structure. These debt instruments benefit from the collateral, which is comprised of a first priority lien on the company's assets. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Given the uncertain outcome of the Silicon Motion arbitration, a rating upgrade is unlikely over the near term. Assuming successful resolution of the Silicon Motion arbitration, the rating could be upgraded if MaxLinear profitably increases scale and diversity. Annual revenues should be sustained above $500 million and the EBITDA margin (Moody's adjusted) sustained at least in the upper teens percent level. Moody's would also expect MaxLinear to limit the use of financial leverage such that FCF to debt (Moody's adjusted) would be maintained above the mid single digits percent level. The ratings could be downgraded if Silicon Motion is awarded a large settlement upon conclusion of the arbitration, which strains MaxLinear's liquidity or, if funded by borrowing, materially increases financial leverage. The rating could also be downgraded if revenues and profitability further weaken. If cash consumption persists or intensifies such that MaxLinear's liquidity materially erodes, the rating could be downgraded. MaxLinear, Inc. is a fabless semiconductor firm that produces radiofrequency (RF) and mixed-signal integrated circuits used in broadband communications, data centers, and metro and long-haul data transport network applications. The principal methodology used in these ratings was Semiconductors published in October 2023. MITEL NETWORKS: Gets Court Okay for $131MM Financing ---------------------------------------------------- Dorothy Ma of Bloomberg Law reports that a Texas court has given interim approval for Canadian telecommunications firm Mitel Networks' debtor-in-possession (DIP) financing. "There are simply no other viable options," Judge Christopher M. Lopez stated during Tuesday's, March 11, 2025, bankruptcy hearing. The $131 million DIP facility consists of $69 million in new money term loans and $62 million in roll-up term loans, according to court documents. Priority-lien lenders who join the restructuring agreement are eligible to fund the new money loan in proportion to their stake. About Mitel Networks Inc. Mitel Networks Inc. provides communication solutions. Mitel Networks Inc. and affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-90094) on March 10, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 billion and $10 billion each. MOM CA INVESTCO: 19 Affiliates' Chapter 11 Case Summary ------------------------------------------------------- Nineteen affiliates of MOM CA Investco LLC that simultaneously filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Retreat at Laguna Villas, LLC 25-10432 520 Newport Center Drive Suite 480 Newport Beach CA 92660 Retreat at Laguna Villas, LLC 25-10432 Sunset Cove Villas, LLC 25-10433 Duplex at Sleepy Hollow, LLC 25-10434 Cliff Drive Properties DE, LLC 25-10435 694 NCH Apartments, LLC 25-10436 Heisler Laguna, LLC 25-10437 Laguna Festival Center, LLC 25-10438 891 Laguna Canyon Road, LLC 25-10439 777 at Laguna, LLC 25-10440 Laguna Art District Complex, LLC 25-10441 Tesoro Redlands DE, LLC 25-10442 Aryabhata Group LLC 25-10444 Hotel Laguna, LLC 25-10445 4110 West 3rd Street DE, LLC 25-10446 314 S. Harvard DE, LLC 25-10447 Laguna HI, LLC 25-10448 Laguna HW, LLC 25-10449 The Masters Building, LLC 25-10450 837 Park Avenue, LLC 25-10451 Business Description: The Debtors constitute a real estate joint venture comprised of a portfolio of commercial properties owned by the Debtors. The properties that make up the portfolio include hotels, an apartment complex, office buildings, other commercial real estate, and individual homes used as luxury vacation rentals. The Debtors have requested joint administration of their Chapter 11 cases under lead Case No. 25-10321 (Bankr. D. Del. in MOM CA Investco LLC). Chapter 11 Petition Date: March 10, 2025 Court: United States Bankruptcy Court District of Delaware Judge: Hon. Brendan Linehan Shannon Debtors' Restructuring Co-Counsel: Christopher M. Samis, Esq. Aaron H. Stulman, Esq. R. Stephen McNeill, Esq. Gregory J. Flasser, Esq. Ethan H. Sulik, Esq. Sarah R. Gladieux, Esq. POTTER ANDERSON & CORROON LLP 1313 N. Market Street, 6th Floor Wilmington, Delaware 19801 Tel: (302) 984-6000 Fax: (302) 658-1192 Email: csamis@potteranderson.com astulman@potteranderson.com rmcneill@potteranderson.com gflasser@potteranderson.com esulik@potteranderson.com sgladieux@potteranderson.com Debtors' Lead Restructuring Counsel: Jeffrey K. Garfinkle, Esq. Rebecca Wicks, Esq. BUCHALTER, A PROFESSIONAL CORPORATION 18400 Von Karman Avenue, Suite 800 Irvine, CA 92612-0514 Tel: (949) 760-1121 Email: jgarfinkle@buchalter.com rwicks@buchalter.com - and - J. Leland Murphree, Esq. John T. Baxter, Esq. BUCHALTER, A PROFESSIONAL CORPORATION 1 Music Circle South, Suite 300 Nashville, TN 37203 Tel: (629) 224-6600 Email: lmurphree@buchalter.com jbaxter@buchalter.com - and - Khaled Tarazi, Esq. BUCHALTER, A PROFESSIONAL CORPORATION 15279 N. Scottsdale Road, Suite 400 Scottsdale, Arizona 85254-2659 Tel: (480) 383-1800 Email: ktarazi@buchalter.com Debtors' Restructuring Advisor: FTI CONSULTING, INC. Estimated Assets: $100 million to $500 million Estimated Liabilities: $100 million to $500 million The petitions were signed by Mark Shinderman as chief restructuring officer. Full-text copies of some of the petitions are available for free on PacerMonitor at: https://www.pacermonitor.com/view/D4VNDRQ/Retreat_at_Laguna_Villas_LLC__debke-25-10432__0002.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/JRQFAKY/Sunset_Cove_Villas_LLC__debke-25-10433__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/J6RV6VA/Duplex_at_Sleepy_Hollow_LLC__debke-25-10434__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/JYOZIZY/Cliff_Drive_Properties_DE_LLC__debke-25-10435__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/OEQ3J6I/694_NCH_Apartments_LLC__debke-25-10436__0001.0.pdf?mcid=tGE4TAMA Consolidated List of Debtors' 30 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Cantor Group IV LLC Loan Unknown 520 Newport Center Dr Suite 480 Newport Beach, CA 92660 Email: Cantorgroupiv@gmail.com 2. Coastline Santa Monica Loan Unknown Investments LLC 520 Newport Center Dr Suite 480 Newport Beach, CA 92660 Email: Coastlinesantamonica@outlook.com 3. Cantor Group V LLC Loan Unknown 520 Newport Center Dr Suite 480 Newport Beach, CA 92660 Email: Cantorgroupv@gmail.com 4. Allen Matkins Professional $2,488,807 865 S Figueroa St Services Suite 2800 Los Angeles, CA 90017 Phone: 949-553-1313 Email: demmel@allenmatkins.com 5. My Laguna Stay Inc. Vendor $185,205 24351 Armada Dr Dana Point, CA 92629 Phone: 760-659-3986 Email: vacation@everydaylux.com 6. BPM LLP Professional $97,032 2001 N Main St Services Suite 360 Walnut Creek, CA 94596 Phone: 925-296-1040 Email: mrowe@bmp.com 7. Prenovost Normandin Professional $90,823 2122 N Broadway Services Suite 200 Santa Ana, CA 92706 Phone: 714-547-2444 Email: receptionist@pnbd.com 8. Cal Star Services Vendor $88,010 PO Box 1172 Loma Linda, CA 92354 Phone: 951-850-9998 Email: info@calstar.com 9. Worldwide Produce Vendor $71,493 PO Box 745159 Los Angeles, CA 90074-5159 Phone: 213-747-4411 Email: shawnb@wwproduce.com 10. The Chef's Warehouse Vendor $52,512 West Coast LLC PO Box 601154 Pasadena, CA 91189-1154 Phone: 626-465-4200 Email: chef@chefswarehouse.com 11. Regal Court Reporting Professional $48,366 1551 N Tustin Ave #750 Services Santa Ana, CA 92705 Phone: 866-228-2685 Email: info@regalcourtreporting.com 12. Newport Meat Company Vendor $35,639 PO Box 19726 Irvine, CA 92623 Phone: 949-399-4299 Email: tonys@newportmeat.com 13. Santa Monica Seafood Vendor $34,906 Company 18531 S Broadwick St Rancho Dominguez, CA 90220 Phone: 800-969-8862 Email: orders@smseafood.com 14. A&S Accounting Solutions Professional $30,000 321 5th St Services Huntington Beach, CA 92648 Phone: 714-536-6828 Email: audra@asaccountingsolutions.com 15. Fuscoe Vendor $29,500 16795 Von Karmen Suite 100 Irvine, CA 92602 Phone: 949-474-1960 Email: ar-invoices@fuscoe.com 16. Traker Development Vendor $26,250 260 Newport Center Dr Suite 410 Newport Beach, CA 92660 Phone: 949-999-0834 Email: jim_trammell@yahoo.com 17. US Foods Vendor $26,207 File 6993 Los Angeles, CA 90074-6993 Phone: 714-670-3500 Email: tradeinvoices@usfoods.com 18. Liberty Landscaping Inc. Vendor $23,029 5212 El Rivino Rd Riverside, CA 92509 Phone: 951-683-2999 Email: office@libertylandscaping.com 19. Reece Bath & Kitchen Vendor $21,528 PO Box 740039 Los Angeles, CA 90074-0039 Phone: 714-459-5019 Email: ecomsupport@reece.com 20. Kendall Brill & Kelly LLP Professional $20,303 10100 Santa Monica Blvd Services Suite 1725 Los Angeles, CA 90067 Phone: 310-556-2700 Email: mender@kbkfirm.com 21. D&D Wholesale Vendor $19,940 777 Baldwin Park Blvd City of Industry, CA 91746 Phone: 626-333-2111 Email: ddwholesaler@gmail.com 22. Pro-Line Electrical Vendor $18,974 Contractors, Inc. 360 E 1st St #169 Tustin, CA 92780 Phone: 714-832-1187 Email: info@prolineelectrical.com 23. Southern California Grading Vendor $17,284 16291 Construction Circle E Suite A Irvine, CA 92606 Phone: 949-551-6655 Email: estimating@socalgrading.com 24. Smart Key Locksmith Vendor $16,380 25211 Sunnymead Blvd Suite C-4 Moreno Valley, CA 92553 Phone: 951-544-2544 Email: smartkeylocksmiths@yahoo.com 25. International Marine Vendor $15,963 Products Inc. 3020 E Washington Blvd Los Angeles, CA 90023 Phone: 213-893-6123 Email: order@intmarine.com 26. Standard Air Mechanical Inc. Vendor $15,630 PO Box 5803 Norco, CA 92860 Phone: 909-896-1825 Email: felix96@live.com 27. Trend Systems Group Vendor $15,506 2126 S Standard Ave Santa Ana, CA 92708 Phone: 714-936-6545 Email: reice@trendsystems.net 28. Vierergruppe Management Inc. Vendor $14,486 1932 E Deere Ave Suite 150 Santa Ana, CA 92705 Phone: 949-546-5452 Email: brian@vgruppemanagement.com 29. SureTech Insurance Company Vendor $13,503 2103 City West Blvd Suite 1300 Houston, TX 77042 Phone: 800-446-6671 Email: zoe.zuo@amwins.com 30. Camacho's Plumbing and Vendor $12,420 Welding 5590 W Mission Blvd Ontario, CA 91762 Phone: 909-961-3912 Email: jose@camachorepair.com MOSAICS PUBLIC: Moody's Affirms Ba1 Rating on 2024A Revenue Bonds ----------------------------------------------------------------- Moody's Ratings has affirmed the Ba1 rating on MOSAICS Public School, ID's Nonprofit Facilities Revenue Bonds (MOSAICS Public School Project), Series 2024A (Credit Enhancement) and Series 2024B (Credit Enhancement) (Federally Taxable). The outlook is stable. The school currently has $9 million in revenue debt outstanding. RATINGS RATIONALE The Ba1 rating reflects the charter school's solidifying competitive profile and market position, driven by increasing enrollment within a growing service area and academic performance that continues to outperform the local school district. The rating also considers the school's sound fiscal health, characterized by stable operating margins since inception and adequate debt service coverage of 1.2x for fiscal 2024. Liquidity remains healthy in terms of days cash on hand, though it is modest in absolute terms. Near-term budget forecasts predict consistent operating performance and a gradual increase in cash reserves over the coming years. Additionally, Moody's credit assessment accounts for the school's elevated leverage and small scale of operations. Charter renewal risk is low and the school's authorizer recently renewed the school's charter contract for a 6-year term. RATING OUTLOOK The stable outlook reflects the expectation that the school will continue to increase enrollment to near or full building capacity over the next few years while maintaining a strong student demand. This anticipated increase in enrollment is expected to bolster both revenue and nominal liquidity, ensuring the preservation of stable operating margins and annual debt service coverage. FACTORS THAT COULD LEAD TO AN UPGRADE OF THE RATINGS -- Demonstrated ability to increase and sustain student enrollment at or near full capacity, along with maintenance of a strong student waitlist -- Sustained strengthening of liquidity to at least 200 days cash and debt service coverage above 2.0x FACTORS THAT COULD LEAD TO A DOWNGRADE OF THE RATINGS -- Inability to increase and sustain student enrollment at or near full capacity, or diminished student waitlist =- Reduced liquidity below 90 days cash or debt service coverage falling near 1.0x -- Material increase to the charter school's leverage ratio LEGAL SECURITY The school's outstanding bonds are payable from payments received pursuant to a loan agreement between MOSAICS Public School and the Idaho Housing and Finance Association. The association serves as the issuer of the debt. Under the loan agreement, the school has pledged to make payments from a pledge of gross revenues. The gross revenues are primarily comprised of state funding, though the agreement does also include any other revenues derived from operation of the school. A deed of trust on the school's real estate backs the loan in the event of nonpayment. Key bond covenants include maintaining a debt service coverage ratio of 1.1x, or 1.0x if the school maintains over 90 days cash on hand, and a liquidity covenant requiring at least 45 days cash on hand. The school was approved to use the Idaho Public Charter School Facilities Program for its outstanding Series 2024A and Series 2024B bonds. A key requirement of the program is a direct-pay arrangement for debt service, whereby all state per pupil payments to the school are sent directly to the bond trustee to set aside funds in accordance with the bond indenture. The bonds also benefit from a debt service reserve funded at the lesser of the standard three-prong test or at least twelve months of debt service. PROFILE MOSAICS Public School, a non-profit, tuition-free, open-enrollment charter school located in Caldwell, ID, commenced operations in Fall 2020. It currently enrolls approximately 530 students across grades K-8. The school is authorized by the Idaho Public Charter School Commission, which recently renewed its charter for an additional six-year term, extending through June 30, 2031. METHODOLOGY The principal methodology used in these ratings was US Charter Schools published in April 2024. MTL PARTNERS: Unsecured Creditors to Split $69K over 3 Years ------------------------------------------------------------ MTL Partners LLC filed with the U.S. Bankruptcy Court for the Middle District of Florida a Plan of Reorganization dated February 25, 2025. The Debtor is a Florida limited liability company created by Articles of Organization filed with the Florida Secretary of State on or around September 3, 2010, with an effective date of September 1, 2010. The Debtor is a large online retailer of high quality leather furniture. The Debtor also operates a physical location in Sanford, Florida. Most of the Debtor's income is derived from online sales. The Debtor's physical place of business is located at 101 Towne Center Blvd, Sanford, FL 32771 ("Premises"), which the Debtor leases from Sanford Commercial Group LLC, 650 NE 32nd St, Ste 5304, Miami, FL 33137 (a noninsider). This Plan provides for: 1 class of secured claim; 1 class of unsecured claims; and 1 class of equity security holders. Class 2 consists of the Allowed Unsecured Claims against the Debtor. This Class is Impaired. * Consensual Plan Treatment: The liquidation value or amount that unsecured creditors would receive in a hypothetical chapter 7 case is approximately $0.00. Accordingly, the Debtor proposes to pay unsecured creditors a pro rata portion of $69,000.00. The Reorganized Debtor shall pay said amount in equal quarterly payments of $5,750.00 and shall be disbursed pro rata to the holders of Allowed General Unsecured Claims. Payments shall commence on the fifteenth day of the month, on the first month that begins more than fourteen days after the Effective Date and shall continue quarterly for eleven additional quarters. Pursuant to Section 1191 of the Bankruptcy Code, the value to be distributed to unsecured creditors is greater than the Debtor's projected disposable income to be received in the 3-year period beginning on the date that the first payment is due under the plan. Holders of Class 2 General Unsecured Claims shall be paid directly by the Debtor. * Nonconsensual Plan Treatment: The liquidation value or amount that unsecured creditors would receive in a hypothetical chapter 7 case is approximately $0.00. Accordingly, Debtor proposes to pay unsecured creditors a pro rata portion of its projected Disposable Income, $68,952.00. If the Debtor remains in possession, plan payments shall include the Subchapter V Trustee's administrative fee which will be billed hourly at the Subchapter V Trustee's then current allowable blended rate. Plan Payments shall commence on the Effective Date, and shall continue quarterly for eleven additional quarters. The initial quarterly payment is $5,746.00. Holders of class 2 claims shall be paid directly by the Debtor. Class 3 consists of any and all equity interests and warrants currently issued or authorized in the Debtor. This Class is Unimpaired. Holders of Class 3 interests shall retain their full equity interest in the same amounts, percentages, manner and structure as existed on the Petition Date. The Plan contemplates that the Reorganized Debtor will continue to operate the Debtor's business. Except as explicitly set forth in this Plan, all cash in excess of operating expenses generated from operation until the Effective Date will be used for Plan Payments or Plan implementation, cash on hand as of Confirmation shall be available for Administrative Expenses. A full-text copy of the Plan of Reorganization dated February 25, 2025 is available at https://urlcurt.com/u?l=GUINTV from PacerMonitor.com at no charge. About MTL Partners LLC MTL Partners LLC, doing business as Collier's Furniture Expo, is a furniture store in Sanford, Florida, offering stationary sofas, reclining sofas, stationary sectionals, and reclining sectionals. MTL Partners sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-06518) on Nov. 27, 2024. In the petition filed by Michael Collier, as managing member, the Debtor reported total assets of $97,459 and total liabilities of $2,244,020. Judge Grace E. Robson 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 Email: jeff@bransonlaw.com NORTHVOLT AB: Prepares Bankruptcy Filing for Swedish Operations --------------------------------------------------------------- Jonas Ekblom and Rafaela Lindeberg of Bloomberg News report that Northvolt AB, a battery manufacturer, is reportedly preparing to file for bankruptcy for its entire Swedish operations as soon as Wednesday, according to Dagens Nyheter, which cited unnamed sources. The electric-vehicle supplier, already undergoing Chapter 11 restructuring in the United States, is expected to proceed with the filing if it fails to secure new funding by Tuesday, the Swedish newspaper reported, citing two independent sources. The Stockholm government has been notified, the report added. A Northvolt spokesperson declined to comment when reached by phone. About Northvolt AB Northvolt AB was established in 2016 in Stockholm, Sweden. Pioneering a sustainable model for battery manufacturing, the company has received orders from several leading automotive companies. The company is currently delivering batteries from its first gigafactory, Northvolt Ett, in Skelleftea, Sweden and from its R&D and industrialization campus, Northvolt Labs, in Vasteras, Sweden. On Nov. 21, 2024, Northvolt AB and eight affiliated debtors filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. S.D. Tex. Case No. 24-90577). The cases are before the Honorable Alfredo R. Perez. Northvolt is being advised by Teneo as its restructuring and communications advisor. Kirkland & Ellis LLP, A&O Shearman and Mannheimer Swartling Advokatbyra AB are serving as legal counsel. The company has also engaged Rothschild & Co to run its marketing process. Stretto is the claims agent. NORTHWEST GRADING: Gets Final OK to Use Cash Collateral Until June ------------------------------------------------------------------ Northwest Grading, Inc. received final approval from the U.S. Bankruptcy Court for the District of Idaho to use cash collateral until June 30. The final order, signed by Judge Noah Hillen, approved the use of cash collateral for payment of expenses set forth in the company's budget. Secured lenders, including Merchants National Bonding and the U.S. Small Business Administration, were granted liens on all post-petition cash collateral to the same extent and with the same priority as their pre-bankruptcy liens. About Northwest Grading Inc. Northwest Grading, Inc. is a heavy civil contractor in Hauser, Idaho, specializing in infrastructure, water and sewer facilities. Northwest Grading filed Chapter 11 petition (Bankr. D. Idaho Case No. 24-20429) on December 20, 2024, listing between $1 million and $10 million in both assets and liabilities. William J. Krick, president of Northwest Grading, signed the petition. Judge Noah G. Hillen oversees the case. The Debtor is represented by Matthew T. Christensen, Esq., at Johnson May, PLLC. NOVO INTEGRATED: Extends CEO Resignation Effective Date to March 31 ------------------------------------------------------------------- Novo Integrated Sciences, Inc., filed a Form 8-K with the Securities and Exchange Commission, announcing that the Company and Robert Mattacchione had mutually agreed to extend the date of Mr. Mattacchione's resignation to no later than March 31, 2025. This extension allows the Company additional time to ensure a smooth transition for the chief executive officer role. On Nov. 7, 2024, Mr. Mattacchione stepped down as the Company's chief executive officer, with his resignation taking effect 90 days after the notification date, specifically on Feb. 5, 2025. As previously mentioned, the effective date of his resignation was later extended to Feb. 20, 2025, and then further extended to no later than March 7, 2025. Following Mr. Mattacchione's departure as CEO, Mr. Mattacchione intends to continue to serve as (i) the Company's Chairman of the Board, and (ii) Chairman of Novo Healthnet Limited, a wholly owned subsidiary of the Company. Mr. Mattacchione's resignation was not due to any disagreement with the Company on any matter related to the Company's operations, policies, or practices. About Novo Integrated Novo Integrated Sciences, Inc., headquartered in Bellevue, Washington, owns Canadian and U.S. subsidiaries which provide, or intend to provide, essential and differentiated solutions to the delivery of multidisciplinary primary care and related wellness products through the integration of medical technology, interconnectivity, advanced therapeutics, diagnostic solutions, unique personalized product offerings, and rehabilitative science. Spokane, Washington-based Fruci & Associates II, PLLC, the Company's auditor since 2022, issued a "going concern" qualification in its report dated Dec. 14, 2023, citing that the Company has incurred recurring losses from operations, has negative cash flows from operating activities, and has an accumulated deficit as of Aug. 31, 2023. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern. For the fiscal years ended Aug. 31, 2024 and 2023, the Company reported net losses attributed to Novo Integrated Sciences of $16,166,744 and $13,214,552, respectively, and negative cash flow from operating activities of $5,069,840 and $2,243,315, respectively. As of Aug. 31, 2024, the Company had an aggregate accumulated deficit of $83,199,785. "Such losses have historically required us to seek additional funding through the issuance of debt or equity securities. Our long-term success is dependent upon among other things, achieving positive cash flows from operations and if necessary, augmenting such cash flows using external resources to satisfy our cash needs. There can be no assurance that we will be able to obtain additional funding, if needed, on commercially reasonable terms, or of all," stated Novo Integrated in its Annual Report for the year ended Aug. 31, 2024. OCEAN BAY HOLDINGS: Seeks Chapter 11 Bankruptcy in New Jersey ------------------------------------------------------------- On March 4, 2025, Ocean Bay Holdings LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the District of New Jersey. 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 Ocean Bay Holdings LLC Ocean Bay Holdings LLC is a limited liability company. Ocean Bay Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Case No. 25-12234) on March 4, 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: Brian W. Hofmeister, Esq. LAW FIRM OF BRIAN W. HOFMEISTER, LLC 3131 Princeton Pike Building 5, Suite 110 Lawrenceville, NJ 08648 Tel: 609-890-1500 Fax: 609-890-6961 ONDAS HOLDINGS: Reports Reduced Net Loss of $38 Million for 2024 ---------------------------------------------------------------- Ondas Holdings Inc. filed its annual report on Form 10-K with the Securities and Exchange Commission, reporting a net loss of $38.01 million on net revenue of $7.19 million for the year ending Dec. 31, 2024. This represents an improvement compared to the net loss of $44.84 million on net revenues of $15.69 million for the year ending Dec. 31, 2023. As of Dec. 31, 2024, the Company had $109.62 million in total assets, $73.68 million in total liabilities, $19.36 million in redeemable noncontrolling interest, and $16.58 million in total stockholders' equity. Somerset, New Jersey-based Rosenberg Rich Baker Berman, P.A., the Company's auditor since 2018, issued a "going concern" qualification in its report date March 12, 2025. The report highlighted that the Company has experienced recurring losses from operations, negative cash flows from operations and a working capital deficit as of Dec. 31, 2024. Since its inception, the Company has experienced substantial net losses. As of Dec. 31, 2024, and Dec. 31, 2023, the accumulated deficit stood at approximately $236 million and $198 million, respectively. To date, the Company has primarily funded its operations through the sale of equity securities and debt financing. The Company expects a notable rise in operating costs as it implements its growth strategy, especially through substantial investments in research, development, and marketing. The Company said the timeline for achieving profitability is highly uncertain, and it anticipates continuing to incur significant expenses and operating losses for the foreseeable future. Further losses could negatively impact stockholders' equity and the value of its common stock and the Company cannot assure that it will ultimately become profitable. Management Comments "Ondas entered 2024 with deepening customer engagement and a growing business pipeline at OAS, allowing us to end the year with $10 million in backlog at OAS. We believe 2025 will be a record year with OAS expected to contribute at least $20 million in revenues of the expected Ondas Holdings revenue of $25 million," said Eric Brock, Chairman and CEO of Ondas Holdings. "Our momentum in 2024 was supported by securing two key programs with a major military customer for our Optimus and Iron Drone platforms, opening the large and fast-growing global defense markets. Additionally, we fortified our financial position by securing $35 million of capital in the fourth quarter, supporting our strong growth outlook. "In 2025, as we recover from the war-related disruptions of the previous year, we are delivering on our backlog and growing bookings. Our focus is on expanding our current programs in Israel and the United Arab Emirates (UAE), and securing new military customers, while also capturing important Drone as First Responder (DFR) and critical infrastructure customers in the U.S. As we bring more customers on board, we will expand our operating platform with targeted investments in our supply chain and field services capabilities, supporting the multi-year growth plan we are executing. The recently announced partnership with Palantir will be critical to scaling our global operating platform as revenues ramp and we create optionality around strategic activities that broaden our solutions portfolio for customers. "We recently significantly bolstered our leadership team with the addition of Oshri Lugassi as Co-CEO at OAS and Markus Nottelmann as CEO at Ondas Networks. Oshri and Markus bring incredible leadership experience and valuable skillsets to help Ondas operationalize and drive adoption of our platform technologies. We are already witnessing expanded customer and strategic opportunities at both OAS and Ondas Networks as they hit the ground running. I look forward to working closely with these two exceptional leaders as we build the business across Ondas. "At OAS, we are advancing the fulfillment of military programs for the Iron Drone Raider and Optimus System drone platforms. I want to emphasize the outstanding work with Iron Drone, where we collaborated intensively with our customers and technology partners to enhance, commercialize, and operationalize the Raider platform for combat deployments. The Iron Drone Raider features what we believe are best-in-class intelligent navigation capabilities in global navigation satellite system (GNSS) complex environments, meeting global requirements for low kinetic mitigation of threats from hostile drones. We have made similar navigation enhancements for the Optimus System, further establishing this platform as a valuable component of border and military base security for defense and homeland security customers. "At Ondas Networks, we continue to see significant long-term opportunities with the dot16 standard in the railroad sector. Although the railroads' spending plans for the new 900 MHz network have remained slower than expected, we anticipate eventual upgrades there as legacy equipment is obsoleted, as well as in other private rail networks. As we continue to engage customers on network adoption timelines, we expect to secure new product development and service partners in 2025, which will drive increasing operational use cases for applications supported by our dot16-enabled solutions. These new products and services underscore the significant and growing strategic value of our unique software-based IP supporting the dot16 industrial wireless standard, as well as the technology expertise our team brings to the rail markets," Brock concluded. The complete text of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1646188/000121390025022968/ea0232702-10k_ondashold.htm About Ondas Holdings Marlborough, Mass.-based Ondas Holdings Inc. provides private wireless data solutions through its subsidiary, Ondas Networks Inc., and commercial drone solutions through Ondas Autonomous Systems Inc. (OAS), which includes wholly owned subsidiaries American Robotics, Inc. and Airobotics LTD. OAS focuses on the design, development, and marketing of autonomous drone solutions, while Ondas Networks specializes in proprietary, software-based wireless broadband technology for both established and emerging commercial and government markets. Together, Ondas Networks, American Robotics, and Airobotics deliver enhanced connectivity, situational awareness, and data collection capabilities to users in defense, homeland security, public safety, and other critical industrial and government sectors. OTB HOLDING: Seeks to Sell Obsolete Assets ------------------------------------------ OTB Holding LLC and its affiliates seek permission from the U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta Division, to sell obsolete Assets, free and clear of liens, interests, and encumbrances. The Debtors have identified certain property that is obsolete, excessive, or burdensome (De Minimis Assets) and requests to sell such assets with de minimis value and for consideration not to exceed $100,000 per transaction, free and clear of liens, claims, interests, and encumbrances. If the consideration for a particular sale of De Minimis Assets does not exceed $50,000, the Debtors seek authorization to consummate such sale without further notice to any party other than by filing a report of sale with this Court upon completion of the sale. In the event the particular sale of De Minimis Assets exceeds $50,000 but is less than $100,000, the Debtors seek authorization to consummate such sale pursuant to the following procedures: a. The Debtors shall give written notice of the proposed sale. b. The Sale Notice will be served on the Notice Parties via first class mail, overnight mail or email. c. If the terms of a proposed sale or transaction are materially amended after the transmittal of the Sale Notice, the Debtors will transmit an amended Sale Notice to the Notice Parties. d. The Notice Parties will have the right to object to any such proposed sale of De Minimis Assets by notifying the Debtors in writing of such objection without the need to file a formal objection with the Court, not later than 5:00 p.m. (Prevailing Eastern Time) on the 7th calendar day after the date of service of the Sale Notice or Amended Sale Notice. e. If no written objection is received by the Debtors by 5:00 p.m. eastern time on the 7th day following the Sale Notice, the Debtors shall be authorized, without further notice and without further Court approval, to immediately consummate the proposed sale transaction, and any entities having a Lien on the property sold shall be deemed to have consented to the sale. f. If a Notice Party provides a timely written objection to the proposed transaction, the Debtors and such objecting Notice Party shall use good faith efforts to consensually resolve the objection. In connection with the day-to-day operation of their businesses, the Debtors have accumulated certain miscellaneous De Minimis Assets, including, but not limited to, liquor licenses, restaurant furniture, computer and other restaurant related equipment, spare or other unusable parts and inventory, and various other personal property. The Debtors assert that the prompt sale of De Minimis Assets without the need for further Court approval is in the best interests of their estates and creditors because it will maximize recoveries by reducing administrative expenses in connection therewith and conserve the resources of both the Court and the Debtors by avoiding the need for serial motions to approve sales which fall below a certain value threshold. About OTB Holding LLC OTB Holding LLC The Debtors are the operators of the well-known restaurant brand "On The Border Mexican Grill & Cantina," which focuses on the development, operation, and franchising of casual dining establishments in the U.S. and South Korea. Founded in 1982 in Dallas, Texas, On The Border is recognized for its sizzling mesquite-grilled fajitas, award-winning margaritas, house-made salsa, and endless chips and salsa. Over the past 40 years, the brand has expanded from a single cantina into one of the most popular Tex-Mex chains in the country, offering a wide range of flavorful dishes inspired by Texas and Mexico. With more than 80 locations in the U.S. and internationally, it has become a go-to spot for fresh Tex-Mex food and lively dining experiences. On The Border stands out in the casual dining industry by leveraging its unique and authentic brand. As of the Petition Date, the Debtors continue to operate 60 restaurant locations across 18 states, all of which are leased. In addition, the Company has franchise agreements with third parties who run 20 additional locations in the U.S. and South Korea. The Debtor sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ge. Case No. 25-52415 (SMS) on March 4, 2025. In the petitions signed by Jonathan Tibus as chief restructuring officer, the Debtor reports an estimated assets of $10 million to $50 million and liabilities of $10 million to $50 million. Seven affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- OTB Holding LLC (Lead Case) 25-52415 OTB Acquisition LLC 25-52416 OTB Acquisition of New Jersey LLC 25-52417 OTB Acquisition of Howard County LLC 25-52418 Mt. Laurel Restaurant Operations LLC 25-52419 OTB Acquisition of Kansas LLC 25-52420 OTB Acquisition of Baltimore County, LLC 25-52421 Judge Sage M. Sigler presides over the case. Jeffrey R. Dutson, Esq., Brooke L. Bean, Esq., and Kyung Won Song, Esq., at KING & SPALDING LLP, represent the Debtors as legal counsel. ALVAREZ & MARSAL NORTH AMERICA, LLC serves as the Debtors' Chief Restructuring Officer Provider. KURTZMAN CARSON CONSULTANTS, LLC serves as the Debtors' Claims & Noticing Agent. HILCO CORPORATE FINANCE, LLC represents the Debtors as Lead Investment Banker. PEDIATRIX MEDICAL: Moody's Alters Outlook on 'Ba3' CFR to Positive ------------------------------------------------------------------ Moody's Ratings affirmed the ratings of Pediatrix Medical Group, Inc., including its Ba3 Corporate Family Rating, Ba3-PD Probability of Default Rating, and Ba3 senior unsecured notes rating. Pediatrix's Speculative Grade Liquidity Rating is unchanged at SGL-1. At the same time, Moody's revised Pediatrix's outlook to positive from stable. The ratings' affirmation reflects the company's strong market position, national footprint in the pediatrics and obstetrics health segments, and solid operating performance. The revision of the outlook to positive reflects Moody's expectations for a return to revenue growth and profitability, after the 2024 contract portfolio optimization, such that the financial leverage will decline below 3.0x in the next 12 months. RATINGS RATIONALE Pediatrix Medical Group's CFR is supported by the company's moderate financial leverage and stable operating performance. The company benefits from a strong market position, national footprint with presence in 36 US states, favorable healthcare services outsourcing market trends and very good liquidity. Moody's expects that the company will operate with debt/EBITDA below 3.0 times in the next 12-18 months. Pediatrix's rating is constrained by underlying demographic trend characterized by falling birth rate, service line concentration on women's and children's health, revenue concentration in select states (-67% revenue from 5 states) and potential challenges from the regulatory and reimbursement environment. The Speculative Grade Liquidity rating of SGL-1 reflects Moody's expectations that Pediatrix will maintain very good liquidity over the next 12-18 months. The company's liquidity is supported by approximately $230 million in cash and full availability under the company's $450 million unsecured revolver (not rated). In addition, Moody's expects the company to generate positive free cash flow in the range of $50-$100 million in the next 12 months. Pediatrix's revolver and term loan have two financial covenants. The company needs to maintain a maximum consolidated net leverage ratio below 4.5x and the minimum interest coverage ratio above 3.0x to satisfy the credit agreement covenants. The company's unsecured notes do not have any financial maintenance covenants. Moody's expects the company will maintain covenant compliance over the next 12-18 months. Pediatrix's $400 million unsecured notes are rated Ba3, at the same level as the Corporate Family Rating. The capital structure also includes a $450 million unsecured revolving credit facility and $250 million unsecured term loan (both not rated). The company has only one class of debt and all individual debt instruments are pari passu with each other. The outlook is positive, indicating the potential for an upgrade if leverage will steadily improve, along with sustained strong cash flows. The outlook also incorporates Moody's expectations of successful execution of contract portfolio optimization, organic growth post optimization, and conservative tuck-in acquisition policy. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Pediatrix maintains its earnings and margins growth and very good liquidity profile. Quantitatively, ratings could be upgraded if debt/EBITDA is sustained below 3.0 times. The ratings could be downgraded if Pediatrix faces reimbursement, volume, or payor mix pressures that will weaken operating performance. A weakening in liquidity or operating margins could also lead to a downgrade. Quantitatively, ratings could be downgraded if debt/EBITDA is sustained above 4.0 times. Based in Sunrise, FL, Pediatrix Medical Group, Inc. is a provider of physician services including newborn, maternal-fetal, and other pediatric subspecialty care. The company provides its services through a network of more than 2,300 physicians in 36 US states. Its revenues for the fiscal year that ended on 12/31/2024 were approximately $2.0 billion. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. PLATINUM HEIGHTS: Gets Interim OK to Use Cash Collateral -------------------------------------------------------- Platinum Heights, LP received interim approval from the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division to use cash collateral. The interim order signed by Judge Alfredo Perez approved the use of cash collateral for the period from March 3 to 19 to pay the expenses set forth in Platinum Heights' projected budget. B1 Bank, a secured lender, holds a first-priority security interest in some of Platinum Heights' assets, including an interest in the cash collateral. As of the petition date, the secured lender was owed more than $28.3 million. As protection for the use of its cash collateral, B1 Bank was granted replacement liens on all post-petition property of Platinum Heights to the same extent and with the same priority as its pre-bankruptcy liens. In addition, Platinum Heights was ordered to make a regularly scheduled payment of $191,134 to the secured lender. A final hearing is set for March 19. Objections are due by March 17. About Platinum Heights LP Platinum Heights, LP filed Chapter 11 petition (Bankr. S.D. Texas Case No. 25-90012) on February 20, 2025, listing between $50 million and $100 million in both assets and liabilities. Judge Alfredo R. Perez oversees the case. The Debtor is represented by: Omar Jesus Alaniz, Esq. Reed Smith, LLP 2850 N. Hardwood Street Dallas, TX 75201 Tel: 469-680-4292 Email: oalaniz@reedsmith.com PREMIUM CRANE: Claims to be Paid From Available Cash and Income --------------------------------------------------------------- Premium Crane, LLC, filed with the U.S. Bankruptcy Court for the Middle District of Florida a Plan of Reorganization dated February 25, 2025. The Debtor was formed on September 24, 2018. The business is located in Davenport, Florida. It is a crane service operating throughout the state of Florida. Its certified operators provide mobile crane services for schools, businesses and restaurants. Premium Crane, LLC also provides HVAC crane services, billboard crane services and crane services for constructions sites. As of the Petition Date, the Debtor operates from 2051 Moulin Road, Haines City, FL 33844. The Debtor's Plan will be funded by the current and future income earned by the Debtor. The Debtor is currently in the process of obtaining appraisals of its vehicles and equipment; the Debtor will supplement its financial projections once it has obtained the necessary appraisals and can determine the secured creditor payments through the plan as well as the projected net disposable income available for unsecured creditors. The Plan under Chapter 11 of the Bankruptcy Code proposes to pay creditors of the Debtor from the Debtor's current and future earnings. This Plan provides for one class of priority claims; thirty classes of secured claims; one class of general unsecured claims; and one class of equity security holders. Unsecured creditors holding allowed claims will receive a pro rata distribution of their allowed claim payable over five years. This Plan also provides for the payment of administrative and priority claims under the terms to the extent permitted by the Code or by agreement between the Debtor and the claimant. Class 32 consists of General Unsecured Claims. The Debtor will pay its projected net disposable income for the period described in Section 1191(c)(2) of the Bankruptcy Code to pay claimants in this class with allowed claims. The Debtor is currently working on obtaining appraisals of its equipment and will supplement its financial projections once it determines the secured creditor payments according to the proposed plan treatment as well as the projected net disposable income available to pay the Class 32 claimants. Creditors in this class will receive a pro rata distribution of their claim, without interest, in twenty equal quarterly distributions, with payments commencing on the start of the calendar quarter immediately following the last deadline for creditors to file deficiency claims and continuing for a total of twenty consecutive quarters. In the event that this quarter starts less than thirty days following the last deadline for creditors to file deficiency claims, then the payments shall not commence until the following quarter. Class 33 consists of Equity Security Holders of the Debtor. David Anglin will retain ownership in the Debtor post-confirmation. No distributions will be made to equity until such time as all payments in Class 32 have been made. David Anglin will continue to manage the Debtor post-confirmation. The Plan will be funded by the current and future income earned by the Debtor. A full-text copy of the Plan of Reorganization dated February 25, 2025 is available at https://urlcurt.com/u?l=N7atJy from PacerMonitor.com at no charge. Counsel to the Debtor: Buddy D. Ford, Esq. Jonathan A. Semach, Esq. Heather M. Reel, Esq. Buddy D. Ford, P.A. 9301 West Hillsborough Avenue Tampa, FL 33615-3008 Tel: (813) 877-4669 Email: Buddy@tampaesq.com Email: Jonathan@tampaesq.com Email: Heather@tampaesq.com About Premium Crane LLC Premium Crane, LLC, is a crane service operating throughout the state of Florida. The Debtor sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-07071) on Nov. 27, 2024. In the petition filed by David Anglin, as AMBR, the Debtor reports total assets of $3,041,564 and total liabilities of $3,076,549. Honorable Bankruptcy Judge Roberta A. Colton oversees the case. The Debtor is represented by Buddy D. Ford, Esq., at Buddy D. Ford, P.A. PROSPECT MEDICAL: Pennsylvania Hospitals Facing Potential Closure ----------------------------------------------------------------- Dorothy Ma of Bloomberg Law reports thatProspect Medical Holdings Inc. plans to close several hospitals and outpatient facilities in Pennsylvania to cut cash outflows -- a move that employees warn could have a devastating impact on local communities. "There is no long-term solution at this point," said William Curtin, an attorney for Prospect, during a court hearing on Tuesday, March 11, 2025. The company's debtors argued that the closures would help keep other hospitals operational. Doctors at Crozer Health, a major employer and healthcare provider in Delaware County, Pennsylvania, warned that the shutdown would not only harm residents but also put thousands of jobs at risk. About Prospect Medical Holdings Prospect Medical Holdings owns Roger Williams Medical Center, Our Lady of Fatima Hospital, and several other healthcare facilities. Prospect Medical Holdings sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Lead Case No. 25-80002) on January 11, 2025. In the petition filed by Paul Rundell, as chief restructuring officer, the Debtor reports estimated assets and liabilities between $1 billion and $10 billion each. Honorable Bankruptcy Judge Stacey G. Jernigan handles the case. The Debtors' General Bankruptcy Counsel is Thomas R. Califano, Esq., and Rakhee V. Patel, Esq., at Sidley Austin LLP, in Dallas, Texas, and William E. Curtin, Esq., Patrick Venter, Esq., and Anne G. Wallice, Esq., at Sidley Austin LLP, in New York. The Debtors' Financial Advisor is ALVAREZ & MARSAL NORTH AMERICA, LLC. The Debtors' Investment Banker is HOULIHAN LIKEY, INC. The Debtors' Claims, Noticing & Solicitation Agent is OMNI AGENT SOLUTIONS, INC. R.R. DONNELLEY: Moody's Affirms 'B3' CFR, Outlook Remains Stable ---------------------------------------------------------------- Moody's Ratings has affirmed R.R. Donnelley & Sons Company's (RRD) B3 corporate family rating and the B3-PD probability of default rating. Moody's have also affirmed the rating on the senior secured notes at B1 and the ratings on the senior unsecured notes and junior lien senior secured notes at Caa1. The outlook remains stable. RATINGS RATIONALE R.R. Donnelley & Sons Company's CFR benefits from: (1) good position in the commercial printing market with large scale and client diversity; (2) growth in digital marketing and packaging offsetting declining commercial print mitigating the pressure on EBITDA; and (3) good liquidity, including its ability to generate free cash flow despite demand pressures. However, the rating is constrained by: (1) aggressive financial policies and shareholder friendly transactions by RRD's private owners, investment funds managed by Chatham Asset Management; (2) high adjusted Debt/EBITDA of 6.2x at Q4 2024 including the ~$1.2 billion combined Holdco Payment-In-Kind (PIK) and PIK Toggle notes (4.4x excluding all PIK Debt); (3) exposure to the secular decline in commercial printing due to digital substitution pressuring its revenue and profitability; and (4) execution risks as it transforms itself from a commercial printer focused on manuals, publications, and brochures to innovative businesses such as packaging, labels, direct marketing and digital offerings. RRD has good liquidity through mid 2026, with sources totaling about $1,110 million versus about $8 million mandatory annual debt amortization. Liquidity is supported by about $288 million of cash as of Dec 2024, Moody's projected free cash flow of about $80 million through mid 2026 and Moody's estimates of full availability under its $750 million ABL facility expiring April 2026 (subject to a borrowing base). Moody's expects the ABL to be refinanced within a reasonable timeframe. RRD's ABL has a springing fixed charge coverage covenant of 1x, where the company has good cushion. RRD has limited ability to generate liquidity from asset sales. RRD has four classes of debt: (1) the ABL facility expiring April 2026; (2) the senior secured notes due August 2029 and private term loan B; (3) the junior lien notes; and (4) the senior unsecured notes and debentures due 2029 through 2031. RRD's ABL facility benefits from a first priority lien on accounts receivable, inventory, and equipment and a second priority lien on principal properties. The senior secured notes are rated B1, two notches above the CFR, because they benefit from first priority liens on principal properties and second priority liens on accounts receivable, inventory, and equipment and are ahead of the junior lien notes. The junior lien secured notes, and unsecured notes and debentures are rated Caa1 to reflect their junior ranking to the ABL and secured notes. The stable outlook reflects Moody's expectations that RRD will maintain good liquidity (including the refinancing of the company's ABL facility ahead of its expiry in April 2026) with debt to EBITDA in the high 6x range (inclusive of all PIK notes) over the next 12-18 months. The outlook also reflects Moody's expectations that the company will manage its business mix to offset the secular decline in its commercial printing segment. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be downgraded if revenue and EBITDA declines and results in an untenable capital structure or higher refinancing risk, debt to EBITDA moves towards 7x (including PIK notes), (EBITDA-Capex)/Interest remains below 1x (including PIK interest), or if liquidity weakens possibly from persistent negative free cash flow. The ratings could be upgraded if the company generates sustainable positive organic growth in revenue and EBITDA, and maintains debt to EBITDA below 5x (including PIK notes). The principal methodology used in these ratings was Media published in June 2021. Headquartered in Chicago, Illinois, R.R. Donnelley & Sons Company is the leader in the North American commercial printing industry. RRD is owned by investment funds managed by Chatham Asset Management, LLC (Chatham), a private investment firm. SASAS HOSPITALITY: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------------- Debtor: SASAS Hospitality, LLC 4909 Oakton Street Skokie, IL 60077 Business Description: The Debtor is a hospitality company that owns a property at 5105 S Howell Ave, Milwaukee, WI. Chapter 11 Petition Date: March 10, 2025 Court: United States Bankruptcy Court Northern District of Illinois Case No.: 25-03643 Judge: Hon. Jacqueline P Cox Debtor's Counsel: Paul M. Bach, Esq. BACH LAW OFFICES P.O. Box 1285 Northbrook, IL 60065 E-mail: paul@bachoffices.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Amin Amdani as managing 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/XRJIHZQ/SASAS_Hospitality_LLC__ilnbke-25-03643__0001.0.pdf?mcid=tGE4TAMA SBLA INC: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------- Debtor: SBLA, Inc. 17111 Huntington Park Way Boca Raton, FL 33496 Business Description: SBLA focuses on providing non-invasive, at-home anti-aging solutions through its innovative "sculpting wands." The Company's product line includes items like the Neck, Chin & Jawline Sculpting Wand, Facial Instant Sculpting Wand, and Lip Plump & Sculpt to help firm, lift, and rejuvenate various areas of the face and body. Known for its collaboration with Christie Brinkley, SBLA emphasizes effective, science-backed skincare to offer alternatives to invasive procedures. Chapter 11 Petition Date: March 11, 2025 Court: United States Bankruptcy Court Southern District of Florida Case No.: 25-12606 Judge: Hon. Mindy A Mora Debtor's Counsel: Bradley S. Shraiberg, Esq. SHRAIBERG PAGE PA 2385 NW Executive Center Dr Suite 300 Boca Raton, FL 33431 Tel: 561-443-0800 E-mail: bss@slp.law Total Assets: $801,858 Total Liabilities: $3,252,917 The petition was signed by Leonard Cogan as CFO. 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/ES4YFSA/SBLA_Inc__flsbke-25-12606__0001.0.pdf?mcid=tGE4TAMA SIGNATURE YHM: Case Summary & Five Unsecured Creditors ------------------------------------------------------ Debtor: Signature YHM Land, LLC 484 Washington Street, Suite B190 Monterey, CA 93940 Business Description: The Debtor operates in the real estate sector. Chapter 11 Petition Date: March 11, 2025 Court: United States Bankruptcy Court Northern District of Georgia Case No.: 25-50324 Debtor's Counsel: Jeffrey I. Golden, Esq. GOLDEN GOODRICH LLP 3070 Bristol Street, Suite 640 Costa Mesa, CA 92626 Tel: (714) 966-1000 E-mail: jgolden@go2.law Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Nickolas W. Jekogian as managing member. A full-text copy of the petition, which includes a list of the Debtor's five unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/72JC7NA/Signature_YHM_Land_LLC_a_California__canbke-25-50324__0001.0.pdf?mcid=tGE4TAMA SPD 2010: $1.2M Sale to Ranam Holdings to Fund Plan Payments ------------------------------------------------------------ SPD 2010, LLC filed with the U.S. Bankruptcy Court for the Eastern District of New York a Combined Plan of Liquidation and Disclosure Statement dated February 25, 2025. The Debtor maintains its principal place of business at 142 Joralemon Street, Brooklyn, New York, 11201 (the "Property"). The Debtor operates a management services organization that owns cooperative shares in a building owned and operated by Medical Arts Offices Corporation ("Medical Arts"), located in Kings County at the Property pursuant to a Stock Certificate No. 34A, issued to the Debtor dated December 13, 2022 and the proprietary lease and all other property rights to which the certificate relates (such property, collectively, the "Stock Certificate"). The Debtor's personal property was valued at $1,410,576.37 as of the filing date. The Debtor's assets consist of, among other things, cash and cash equivalents consisting of business checking accounts with Bank of America ("BOA") and Apple Bank, and the Stock Certificate. The BOA business checking account ending in 4137 has approximately $4,615.37, and the Apple Bank business checking account ending in 0909 has approximately $5,961.00. The Stock Certificate is being sold for $1,200,000 pursuant to the Buyer's offer. The Debtor's Plan will be funded by a sale of the Stock Certificate to Ranam Holdings, LLC (the "Buyer") for $1,200,000 (the "Sale"). The Sale of the Stock Certificate will be memorialized in a definitive agreement acceptable to the Buyer prior to confirmation of the Plan. The Debtor does not have any secured creditors or owe any debt to taxing authorities. The sale proceeds shall satisfy the Debtor's administrative costs and creditors in full. The Plan will pay creditors one-hundred percent of their claims. General Unsecured Claims Class 1 consists of the Claim of Medical Arts with a total amount of claims which is estimated to be $5,413.79 for pre petition Co Op Monthly payments, plus additional post petition monthly Co Op payments that have accrued since the Petition Date. Class 1 shall receive payment in full upon closing of the Sale. Class 2 consists of the Claim of Seyfarth in the disputed amount of $160,000 for legal fees for representation of Medical Arts. Class 2 shall receive payment in full as to the amount to be determined after Motion to Reduce Seyfarth's fees is adjudicated. Class 3 consists of the Claim of BOA which is owed $4,902.29 for credit card debt. Class 3 shall receive payment in full upon closing of the Sale. Class 4 consists of the Claim of Con Ed which is owed $1,000 for utilities. Class 4 shall receive payment in full upon closing of the Sale. Class 5 consists of the Claim of DPS which is owed $119,600 for utilities. Class 5 shall receive payment in full. Class 6 consists of the Claim of Yuniver which is owed $43,000 for services. Class 6 shall receive payment in full upon closing of the Sale. The Debtor shall retain its equity interests upon confirmation of the Plan. The Debtor will hold certain proceeds from the Sale of its Stock Certificate after payment to all creditors. Thereafter, the Debtor shall distribute the proceeds to its sole member. The Debtor will sell its Stock Certificate to the Buyer. The Buyer will purchase the Stock Certificate from the Debtor for $1,200,000. The sale is not subject to higher and better offers. The sale proceeds shall fund the Debtor's Plan. The Debtor and Buyer are finalizing a sale contract. The Sale is scheduled to close within thirty days upon confirmation of the Plan, failing which the transaction shall be terminated, and any deposit fully and immediately returned to the Buyer, unless otherwise agreed to in writing by the Debtor and the Buyer. A full-text copy of the Combined Plan and Disclosure Statement dated February 25, 2025 is available at https://urlcurt.com/u?l=HZnjlR from PacerMonitor.com at no charge. The Debtor's Counsel: Sari B. Placona, Esq. MCMANIMON, SCOTLAND & BAUMAN, LLC 75 Livingston Avenue Suite 201 Roseland, NJ 07068 Tel: 973-622-1800 Fax: 973-622-3744 Email: splacona@msbnj.com About SPD 2010 LLC SPD 2010, LLC was formed as a domestic limited liability company duly organized pursuant to the laws of the State of New York. The Debtor sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-44982) on November 27, 2024, with $1 million to $10 million in assets and $100,000 to $500,000 in liabilities. The petition was signed by Svetlana Kibrik, sole owner, member and president of SPD 2010. The Debtor is represented by Sari B. Placona, Esq. at McManimon, Scotland & Baumann, LLC represents the Debtor as counsel. SPIRIT AIRLINES: Opt-Out Releases Very Well Explained, Says Judge ----------------------------------------------------------------- Emlyn Cameron of Law360 reports that a New York bankruptcy judge has defended his February 2025 decision to approve third-party releases in Spirit Airlines' Chapter 11 plan, stating that the opt-out mechanism adequately demonstrates creditor consent, considering the thorough discussion of the process and the number of creditors who opted out. 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. SSS MILWAUKEE: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: SSS Milwaukee Hospitality LLC 5311 S. Howell Avenue 4909 Oakton Street Skokie, IL 60077 Business Description: SSS Milwaukee is a hospitality company that owns a hotel located at 5311 South Howell Avenue in Milwaukee, Wisconsin. Chapter 11 Petition Date: March 10, 2025 Court: United States Bankruptcy Court Northern District of Illinois Case No.: 25-03642 Judge: Hon. Donald R Cassling Debtor's Counsel: Penelope Bach, Esq. BACH LAW OFFICES P.O. Box 1285 Northbrook, IL 60065 Tel: (847) 564-0808x216 Fax: (847) 564-0985 E-mail: pnbach@bachoffices.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Amin Amdani 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/QX5CWYY/SSS_Milwaukee_Hospitality_LLC__ilnbke-25-03642__0001.0.pdf?mcid=tGE4TAMA STARSHIP LOGISTICS: Unsecureds Will Get 9.7% of Claims in Plan -------------------------------------------------------------- Starship Logistics LLC, filed with the U.S. Bankruptcy Court for the Central District of California a Disclosure Statement describing Plan of Reorganization dated February 25, 2025. The Debtor is a logistics company located near the Port of Long Beach, offering its international customers mid-mile and last-mile logistics resources to fulfill all types of shipping requirements. The Debtor is wholly owned by RPG Star Holdings Inc., a Delaware corporation. RPG (aka Rush Parcel Global) is a holding company with no operations. Clarence Xu is the Chief Executive Officer and Manager of the Debtor. The Debtor's operations and needed warehouse space have decreased significantly, and as a result, the Debtor became unable to stay current with its large monthly rent obligations. Accordingly, multiple of the Debtor's prior landlords commenced unlawful detainer actions, obtained judgments, and were attempting to collect on such judgments. Ultimately, these collection activities by the Debtor's former landlords forced the Debtor to seek bankruptcy protection. Class 3 consists of All General Unsecured Claims. Holders of Allowed General Unsecured Claims shall receive their pro rata share of at least $250,000 over the life of the Plan. This Class will receive a distribution of 9.7% of their Allowed General Unsecured Claim. This calculation is subject to change based on resolution of Disputed Claims and passage of the Claims Bar Date. The allowed unsecured claims total $2,575,320.97 (this number is subject to change based upon the resolution of Disputed Claims and passage of Bar Date). This Class is impaired. Class 4 consists of Equity Interests of RPG Star Holdings, Inc. (Previously defined as "Old Equity Holder"). The Debtor's sole member, RPG Star Holdings Inc., will lose its membership units in the Debtor. The Plan will be funded by the Exit Financing in the aggregate amount of approximately $75,000, plus the Debtor's Cash on hand of approximately $43,000. A full-text copy of the Disclosure Statement dated February 25, 2025 is available at https://urlcurt.com/u?l=BjqzYh from PacerMonitor.com at no charge. Counsel to the Debtor: Susan K. Seflin, Esq. Steven T. Gubner, Esq. Jessica L. Bagdanov, Esq. BG Law LLP 21650 Oxnard Street, Suite 500, Woodland Hills, CA 91367 Tel: (818) 827-9000 Fax: (818) 827-9099 Email: sgubner@bg.law sseflin@bg.law jbagdanov@bg.law About Starship Logistics Starship Logistics, LLC, a company in Long Beach, Calif., offers freight transportation arrangement services. Starship Logistics sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 24-18834) on Oct. 28, 2024, with $1 million to $10 million in both assets and liabilities. Clarence Xu, chief executive officer and managing director, signed the petition. Judge Barry Russell oversees the case. The Debtor is represented by Susan K. Seflin, Esq., at BG Law, LLP. STORABLE INC: Moody's Affirms 'B3' CFR, Outlook Remains Stable -------------------------------------------------------------- Moody's Ratings affirmed Storable, Inc.'s B3 Corporate Family Rating, B3-PD Probability of Default Rating and its Caa2 senior secured second lien term loan rating. Storable's senior secured first lien term loan and senior secured revolving credit facility ratings were downgraded to B3 from B2. Moody's also assigned B3 ratings to the incremental senior secured first lien term loan and senior secured revolving credit facility. The outlook remains stable. Storable intends to use proceeds from the proposed incremental first lien term loan to fully repay the outstanding revolving credit facility balance and the $155 million second lien term loan (rated Caa2). If Storable's second lien term loan is fully repaid as part of this transaction, its ratings will be withdrawn. In addition, the proposed transaction will extend the maturities of the revolving credit facility and first lien term loan by three years, to April 2029 and April 2031, respectively. The proposed transaction is leverage neutral. On a pro forma basis, Moody's estimates that Storable's Moody's-adjusted debt/EBITDA will remain between 7-8x through 2025 (7.7x for the last twelve-month period ended September 30, 2024). The affirmation of the CFR reflects Storable's predictable recurring revenues and highly leveraged capital structure. The downgrade of the company's senior secured first lien credit facilities reflects the relative mix shift of first lien versus second lien debt in the company's capital structure. The reduction in second lien debt and increase in first lien debt reduces junior debt capital and lowers recovery levels on the first lien debt. RATINGS RATIONALE Storable's B3 corporate family rating reflects its small size (as measured by recurring revenues), high financial leverage, and narrow market focus as a provider of integrated technology and software solutions to property owners and managers in the self-storage commercial real estate sector as well as other end markets such as marine and RVs and campgrounds. The ratings also reflect the company's highly acquisitive track record, and Moody's expectations that Storable will continue to expand its platform through debt-funded acquisitions in the future. These challenges are partially offset by Storable's healthy profit margins and free cash flow generation, driven by its strong base of subscription business and high customer retention rates. The ratings also reflect the company's leading presence and market share within the niche segment of software solutions for self-storage real estate. However, demand for self-storage is slowing on lower residential moves and new construction activity. RATING OUTLOOK The stable outlook reflects Moody's expectations that Storable will continue to grow its products and service capabilities, operating earnings will remain healthy through economic cycles and leverage metrics will remain steady. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Storable profitably expands its scale while adhering to a more conservative financial strategy, resulting in debt to EBITDA (Moody's adjusted) sustained below 6.5x and annual free cash flow to debt sustained above 5%. The ratings could be downgraded if Storable experiences a weakening competitive position, free cash flow deficits on a sustained basis or a more aggressive financial policy that prevents meaningful deleveraging. Storable, Inc., headquartered in Austin, Texas is a privately held company that provides integrated technology and software solutions to property owners and managers in the self-storage commercial real estate sector as well as other end markets such as marine and RVs and campgrounds. Storable is owned by private equity firms, EQT Partners and Cove Hill Partners, following a leveraged buyout ("LBO") transaction. The principal methodology used in these ratings was Software published in June 2022. SUNNOVA ENERGY: Fitch Lowers LongTerm IDR to 'CCC-' --------------------------------------------------- Fitch Ratings has downgraded Sunnova Energy International Inc.'s (Sunnova) and Sunnova Energy Corporation's (SEC) Long-Term Issuer Default Ratings (IDRs) to 'CCC-' from 'B-'. Fitch has also downgraded SEC's senior unsecured debt rating to 'CCC-' with a Recovery Rating of 'RR4' from 'B'/'RR3'. The downgrade reflects Fitch's view of a greater likelihood that Sunnova would be unable to refinance its upcoming 2026 and 2028 corporate maturities on reasonable terms. Cash flow generation fell short of Fitch's expectations, and residential solar developers face tougher operation conditions due to a peer's bankruptcy and uncertainties about renewable asset funding. Recent poor capital market performance of Sunnova's equity and debt instruments, along with limited access new corporate debt, further constrain its options. The company issued a going-concern warning along with its 10-K filing earlier this week. Sunnova's ratings also reflect the structural subordination of corporate debt to nonrecourse securitization debt, a primary funding source for the company. Key Rating Drivers Refinancing Risk Heightened: Fitch views a higher likelihood that Sunnova will be unable to refinance its $400 million senior unsecured bonds and $575 million convertible bonds, maturing in September and December 2026, respectively, at reasonable terms, or generate enough cash to repay bonds at maturity. As of Dec. 31, 2024, Sunnova had $211.4 million in cash and cash equivalents. However, only $34.7 million was held outside of secured collection accounts and available for corporate use. On March 2, 2025, Sunnova issued a $185 million term loan with a 15% interest rate, secured by pledging residual equity interests in all Sunnova's securitizations, excluding those of the Hestia and RAYS programs. The company intends to use the proceeds to manage its working capital. The term loan weakens Sunnova's already high consolidated leverage, constrains any future capital market access, and subordinates the existing corporate debt. Credit Metrics to Remain Weak: Fitch expects Sunnova's funds from operations (FFO) coverage metrics and cash flow from operations (CFO) to remain weak over the forecast horizon, with the consolidated FFO interest coverage ratio persistently low, in the 1.1x-1.2x range through 2026. Fitch believes cash flows could improve from Sunnova's cost-saving measures, including a 30% headcount reduction since 2023, moderated capex, and efforts to renegotiate dealer terms. However, Sunnova's working capital is expected to remain under pressure from timing mismatches between dealer payables and tax equity inflows. Fitch's calculation of FFO includes principal payments from solar loans customers. Structural Subordination of Corporate Debt: Sunnova's senior unsecured debt, issued by SEC, is subordinated to nonrecourse securitization debt. Most of Sunnova's revenue services securitizations and tax equity obligations, with the residual available for debt service and operating expenses. A smaller portion is unencumbered by securitization and flows directly to Sunnova, including revenue from sale of the renewable energy credits, loan and inventory sales, and residual revenue from securitizations. It also receives management and service fees, which are paid before any tax equity and securitization payments. Securitization Refinancing Risk: The main concern at the holding company level is the securitization refinancing risk at the anticipated repayment date (ARD), typically five to 10 years after issuance. If not refinanced by then, cash flow from residuals ceases. While a performance trigger breach could similarly disrupt cash flow, this is less likely given the diversified customer base, which would require a systemic market disruption. The next ARD is in 2027, providing some runway. However, the main risk would be Sunnova can secure capital market access, especially in the current high-interest-rate environment. Parent Subsidiary Linkage: There is parent-subsidiary linkage between Sunnova and SEC. Fitch determines Sunnova's standalone profile based on consolidated metrics. SEC has a stronger standalone profile than its parent Sunnova due to additional debt at the Sunnova level. Legal ring-fencing, access and control are open. As a result, Fitch consolidates the IDRs of Sunnova and SEC. Peer Analysis Sunnova's closest peers among Fitch-rated renewable energy providers are TerraForm Power Operating LLC (TerraForm; BB-/Stable) and Leeward Renewable Energy Operations (Leeward; BB-/Stable), which own and operate portfolios of nonrecourse, predominantly renewable projects. Fitch views Sunnova's portfolio of assets as different from its peers, as it consists of more than 441,000 residential solar projects across U.S. states and territories. In contrast, its peers concentrate ownership in a few large utility-scale wind or solar projects. Portfolio diversity provides more protection from any single project failure affecting credit, which has an issue for some of Sunnova's peers. Fitch also views favorably Sunnova's portfolio mix, primarily consisting of solar and solar/storage assets. Leeward owns almost 100% wind generation assets, which exhibit more resource variability. TerraForm's portfolio benefits from a large proportion of solar generation assets at 44%. Sunnova's has a longer remaining contract life of about 22 years, compared to Leeward's nine years. TerraForm's long-term contracted fleet has a remaining contract life of 11 years. However, Sunnova's credit metrics are materially weaker than those of its peers, with historically negative CFO. Additionally, Sunnova has a materially weaker liquidity position and high refinancing risk, contributing to a several-notch difference between Sunnova's rating and its peers'. Sunnova does not have a parent support like its peers. Leeward benefits from having OMERS Administration Corporation (AAA/Stable) as a sponsor, while TerraForm is fully owned by Brookfield Renewable Partners L.P. (BBB+/Stable). Sunnova depends on public market access to facilitate growth. Key Assumptions - Growth capex to be financed with a combination of tax equity and non-recourse securitized debt; - No dividends over the forecast period; - Revenue, EBITDA, FFO and CFO are adjusted to include principal payments (net of those already in revenue) from those customers who have loan contracts with Sunnova. Revenue and EBITDA also include interest income from loan customers; - Average interest rate on the new securitized loans of 6.5% over the forecast period. Recovery Analysis The 'CCC-'/'RR4' rating, where 'RR4' denotes a 31%-50% recovery for Sunnova's senior unsecured notes in a bankruptcy case, is based on a scenario in which Sunnova is not able to refinance its senior unsecured note maturing in 2026. Fitch assumes the deconsolidated going-concern (GC) EBITDA at Sunnova is approximately $120 million. The deconsolidated GC EBITDA reflects the steady-state, no-growth residual cash flow after securitizations and tax equity payments, and other unencumbered revenue available to service corporate debt, assuming there is no additional growth beyond 2024. GC EBITDA reflects the absence of growth expenditure and a full year of operations from the assets put in place as of YE 2025. Fitch used a multiple of 4.0x to calculate a post-reorganization valuation. The multiple applied in the Sunnova recovery scenario reflects the company's operating profile as an entity with a predominately subordinated cash flow stream. Using this GC EBITDA and a 10% administrative claim in the recovery calculation as specified in Fitch's Corporates Notching and Recovery Ratings Criteria, the agency determines the senior unsecured notes' recovery rating to be 'RR4'. Recovery ratings are capped at 'RR2' for senior unsecured rating. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Inability to refinance/repay upcoming 2026 maturities such that a default appears probable; - A debt restructuring that is considered as a distressed debt exchange; - Inability to access capital markets to refinance existing securitizations or finance future growth; - An inability to maintain sufficient cash levels to operate over the next 12 months. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Repayment or refinancing of its 2026 maturities without a material reduction in terms; - Meaningful improvement in liquidity, FFO interest coverage consistently over 1.0x, and positive CFO generation. Liquidity and Debt Structure As of Dec. 31, 2024, Sunnova had total $211 million in unrestricted cash and cash equivalents, of which $34.7 million was held outside of secured collection accounts. It also had available borrowing capacity under various non-recourse financing arrangements, consisting of $383.4 million under the EZOP RCF, $194.1 million under the TEPH facility, $42.6 million under the IS facility and $3.8 million under the BMB facility. However, these are typically not available for corporate use. In January 2025, an event of default was introduced in the EZOP agreement requiring repayment of a substantial portion of the facility by March 31, 2025 if Sunnova failed to complete takeout transactions for 95% of eligible solar loans within 60 days. On March 2, 2025, Sunnova issued a $185 million secured term loan with a 15% interest rate to manage its working capital. Sunnova has significant upcoming maturities, with $400 million in senior unsecured bonds and $575 million in convertible bonds, due in September and December 2026, respectively. Another $400 million in senior unsecured bonds and $600 million in convertible bonds mature in 2028. Poor recent capital market performance restricts funding access. Sunnova was compliant with its debt covenants as of Dec. 31, 2024. Issuer Profile Sunnova Energy International Inc. is a leading residential energy service provider, serving nearly 441,000 customers across the 50 U.S. states and territories. Sunnova builds, owns, operates and finances residential solar and battery storage assets. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery Prior ----------- ------ -------- ----- Sunnova Energy International Inc. LT IDR CCC- Downgrade B- Sunnova Energy Corporation LT IDR CCC- Downgrade B- senior unsecured LT CCC- Downgrade RR4 B SUNNOVA ENERGY: Hires Ducera, Paul Weiss as Cash Crunch Looms ------------------------------------------------------------- Reshmi Basu of Bloomberg News reports thatA group of creditors to Sunnova Energy International Inc. has enlisted advisers after the solar panel provider disclosed to investors that it lacks adequate cash flow to meet its obligations, according to people familiar with the matter. The group, which holds various debt positions, is working with boutique investment bank Ducera Partners and law firm Paul Weiss Rifkind Wharton & Garrison, the sources said, requesting anonymity due to the confidential nature of the information. About Sunnova Energy Sunnova Energy International Inc. (NYSE: NOVA) is an industry-leading adaptive energy services company focused on making clean energy more accessible, reliable, and affordable for homeowners and businesses. Through its adaptive energy platform, Sunnova provides a better energy service at a better price to deliver its mission of powering energy independence. Founded in Houston, Texas in 2012, Sunnova started its journey to create a better energy service at a better price. Driven by the changing energy landscape, technology advancements, and demand for a cleaner, more sustainable future, we are proud to help pioneer the energy transition. TIMELINE CONSTRUCTION: Court Approves Chap. 11 Trustee Appointment ------------------------------------------------------------------ Yun Park of Law360 Bankruptcy Authority reports that on Tuesday, March 11, 2025, a Texas bankruptcy judge approved a request to appoint a Chapter 11 trustee to oversee the bankruptcy case of Timeline Construction Inc. The decision followed claims by the U.S. Trustee's Office that the debtor's sole member may have committed fraud, including allegedly providing false financial information to creditors. About Timeline Construction Timeline Construction, LLC is a full-service construction company in Houston, Texas, specializing in high-end residential and commercial construction, build-outs, remodeling, and renovations. Timeline Construction filed Chapter 11 petition (Bankr. S.D. Tex. Case No. 25-30212) on January 10, 2025, with between $10 million and $50 million in both assets and liabilities. Judge Alfredo R. Perez oversees the case. The Law Office of Thomas F. Jones, III represents the Debtor as counsel. TREE CONNECTION: Gets OK to Use Cash Collateral Until April 4 ------------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Pennsylvania granted The Tree Connection, LLC interim approval to use cash collateral. The interim order signed by Judge Patricia Mayer was authorized to use cash collateral from the petition date through April 4 pursuant to its budget, with a permitted 10% variance. As protection, secured creditors Kapitus, LLC and the U.S. Small Business Administration will be granted replacement liens on the company's post-petition assets in case of any diminution in value of their collateral. If Tree Connection defaults or violates the interim order, its right to use cash collateral will automatically cease until further order of the court. A final hearing is set for April 3. About The Tree Connection The Tree Connection, LLC offers tree services, landscaping and hardscaping services. It is based in Coatesville, Pa. The Tree Connection sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Pa. Case No. 24-14410) on December 11, 2024, with $500,000 to $1 million in assets and $1 to $10 million in liabilities. Ryan Sipple, sole member and managing member of The Tree Connection, signed the petition. Judge Patricia M. Mayer handles the case. The Debtor is represented by Thomas Daniel Bielli, Esq., at Bielli & Klauder, LLC. TUPPERWARE BRANDS: Court Orders Appointment of Retiree Committee ---------------------------------------------------------------- A U.S. bankruptcy judge ordered the U.S. Trustee for Region 3 to appoint an official committee that will represent retirees in the Chapter 11 case of Tupperware Brands Corp. In her order, Judge Brendan Linehan Shannon of the U.S. Bankruptcy Court for the District of Delaware directed the Justice Department's bankruptcy watchdog to determine procedures for contacting and identifying candidates to serve on the retiree committee. Tupperware Brands in January requested for the appointment of a retiree committee, saying it is necessary to meet the requirements of Section 1114 of the Bankruptcy Code. Tupperware Brands and its affiliates maintain a self-funded health reimbursement arrangement plan for retired employees over the age of 65. There are approximately 250 retirees participating in the retiree benefit plan. Specifically, these retirees receive monthly funding of a health reimbursement account under the retiree benefit plan. The companies presently intend to modify or terminate the retiree benefit plan in connection with their Chapter 11 plan process. About Tupperware Brands Tupperware Brands Corporation (NYSE: TUP) -- https://www.tupperwarebrands.com/ -- is a global consumer products company that designs innovative, functional, and environmentally responsible products. Founded in 1946, Tupperware's signature container created the modern food storage category that revolutionized the way the world stores, serves, and prepares food. Today, this iconic brand has more than 8,500 functional design and utility patents for solution-oriented kitchen and home products. The company distributes its products into nearly 70 countries, primarily through independent representatives around the world. Tupperware Brands sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 24-12166) on Sept. 17, 2024. In the bankruptcy petition, Tupperware reported more than $1.2 billion in total debts and $679.5 million in total assets. Judge Brendan Linehan Shannon oversees the case. Kirkland & Ellis LLP is serving as legal advisor to Tupperware, Moelis & Company LLC is serving as the Company's investment banker, and Alvarez & Marsal is serving as the Company's financial and restructuring advisor. Epiq is the claims agent and has put up the page https://dm.epiq11.com/Tupperware UNIVERSAL BIOCARBON: U.S. Trustee Unable to Appoint Committee ------------------------------------------------------------- The U.S. Trustee for Region 21, until further notice, will not appoint an official committee of unsecured creditors in the Chapter 11 case of Universal Biocarbon, Inc., according to court dockets. About Universal Biocarbon Inc. Universal Biocarbon Inc. transforms vegetative biomass such as yard waste and tree trimmings, into high-quality carbon products like compost, mulch, biochar, and activated carbon. Through a partnership with the Sunshine State Biomass Cooperative, UBC creates a cycle of beneficial reuse, sharing profits with the suppliers of biomass feedstock. The company is based in Canal Point, Fla. Universal Biocarbon filed Chapter 11 petition (Bankr. S.D. Fla. Case No. 25-10987-EPK) on January 30, 2025, listing up to $1million in assets and up to $10 million in liabilities. David Disbrow, chairman and founder of Universal Biocarbon, signed the petition. Judge Erik P. Kimball oversees the case. Craig I. Kelley, Esq., at Kelley Kaplan & Eller, PLLC, represents the Debtor as legal counsel. VALLEY PARK: Gets Final OK to Use Cash Collateral ------------------------------------------------- Valley Park Elevator, Inc. received final approval from the U.S. Bankruptcy Court for the Southern District of Mississippi to use the cash collateral of United Bank and the U.S. Small Business Administration. The final order granted both lenders a replacement security interest in certain property acquired by the company after its Chapter 11 filing as protection for the use of their cash collateral. As additional protection, Valley Park Elevator was ordered to keep United Bank's non-cash collateral insured. The bankruptcy court ordered the transfer of the company's funds currently held in accounts with United Bank to segregated debtor-in-possession accounts. From the segregated DIP accounts, the company must remit to the bank monthly payments of $12,358.37, starting this month until further court order. Meanwhile, Valley Park Elevator was ordered to make payments of $2,513.00 per month to SBA, starting this month. About Valley Park Elevator Inc. Valley Park Elevator, Inc., a company in Valley Park, Miss., filed Chapter 11 petition (Bankr. S.D. Miss. Case No. 25-00228) on January 29, 2025, listing between $10 million and $50 million in assets and between $1 million and $10 million in liabilities. David Johnson, president of Valley Park Elevator, signed the petition. Judge Jamie A. Wilson oversees the case. Thomas C. Rollins, Jr., Esq., at The Rollins Law Firm, PLLC, represents the Debtor as bankruptcy counsel. United Bank, as lender, is represented by: Jeffrey R. Barber, Esq. Jones Walker, LLP 3100 North State Street, Suite 300 (39216) Post Office Box 427 Jackson, MS 39205-0427 Telephone (601) 949-4765 Telecopy (601) 949-4804 Email: jbarber@joneswalker.com VALVOLINE INC: Moody's Rates New $650MM First Lien Term Loan 'Ba1' ------------------------------------------------------------------ Moody's Ratings assigned a Ba1 rating to Valvoline Inc.'s new $650 million senior secured first lien term loan due 2032. The company's Ba2 corporate family rating, Ba2-PD probability of default rating and Ba3 senior unsecured notes rating remain unchanged. Valvoline's speculative grade liquidity rating (SGL) also remains SGL-2. The outlook remains negative. Proceeds from the proposed new term loan will be used to fund Valvoline's $625 million acquisition of Breeze Autocare, a large operator of about 200 quick lube stores, plus transaction fees and expenses. A comprehensive review of all credit ratings for the respective issuer(s) has been conducted during a rating committee. RATINGS RATIONALE Valvoline's Ba2 CFR is supported by its leading position in the "do-it-for-me" (DIFM) instant oil change market, a proven business model that generates elevated revenue growth, high margins and good operating cash flow. The rating is also supported by solid industry fundamentals including increasing vehicle miles traveled, an aging car parc and growing vehicle registrations. However, the debt-funded acquisition of Breeze Autocare will result in debt/EBITDA remaining elevated at about 4.4x through the end of fiscal 2025 pro forma for the acquisition and 3.7x through the end of fiscal 2026. Positively, Moody's expects EBITA/interest to be in the high 3x range during this timeframe. By the end of fiscal 2027, Moody's expects leverage to fall to 3.0x while coverage to be in the 4x-5x range. The overall deleveraging will be driven by a combination of growth in the business yielding earnings and free cash flow improvements, but also by acquisition debt paydown funded primarily by a pause in share repurchase activity. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING An upgrade is unlikely over the near term because of the company's size and its aggressive debt-funded growth plan. However, ratings could be upgraded if the company is able to increase systemwide revenue to over $4 billion, keep adjusted debt/EBITDA below 2.5x, sustain EBITA/interest above 4.0x, generate at least $250 million of free cash flow on a consistent basis and maintain very good liquidity. Ratings could be downgraded should the integration of Breeze Autocare or the integration of other large acquisitions not be successful, should adjusted debt/EBITDA be sustained above 3.5x, if EBITA/interest falls below 3.0x or if liquidity deteriorates. Headquartered in Lexington, Kentucky, Valvoline Inc., is a leading instant oil change company in the US and Canada. It operates through Valvoline Instant Oil Change (VIOC) and Great Canadian Oil Change retail locations. The company has 2,045 franchised and company-owned stores and generated $1.7 billion in revenue for the LTM period ending December 31, 2024. Valvoline's systemwide revenue, which includes the revenue earned by franchised stores, was about $3.2 billion for the LTM period ending December 31, 2024. The principal methodology used in this rating was Retail and Apparel published in November 2023. VILLAGE RV: Seeks Chapter 11 Bankruptcy in Florida -------------------------------------------------- On March 4, 2025, Village RV Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Middle District of Florida. According to court filing, the Debtor reports $3,076,024 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Village RV Inc. Village RV Inc. is an RV dealership located in Florida, offering a variety of recreational vehicles from different brands. The Debtor owns the property at 11585 South US Hwy 441, Belleview, FL 34420, in Marion County, which is currently valued at $1.9 million. Village RV Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-00640) on March 4, 2025. In its petition, the Debtor reports total assets of $1,919,311 and total liabilities of $3,076,024 Honorable Bankruptcy Judge Jacob A. Brown handles the case. The Debtor is represented by: Richard A. Perry, Esq. RICHARD A. PERRY P.A. 820 East Fort King Street Ocala, FL 34471-2320 Tel: 352-732-2299 E-mail: richard@rapocala.com VISION2SYSTEMS LLC: U.S. Trustee Appoints Creditors' Committee -------------------------------------------------------------- The U.S. Trustee for Region 6 appointed an official committee to represent unsecured creditors in the Chapter 11 case of Vision2Systems, LLC. The committee members are: 1. Christ Presbyterian Church c/o Timothy Bettenga and Mark Paetznick 6901 Normandale Road Edina, MN 55435-1599 (952) 920-8515 Courtneym@cpcedina.org 2. Christ's Church of Oronogo c/o Alan R. Stanley 22145 Kafir Road Oronogo, MO 64855-9141 (417) 673-3945 Alan.Stanley@cco.church 3. Mitchell Road Presbyterian Church c/o Ted Dankovich 207 Mitchell Road Greenville, SC 29615 (864) 268-2218 Tdankovich@mitchellroad.org 4. Mobberly Baptist Church c/o Andrew Hill 625 East Loop 281 Longview, TX 75605-5004 (903) 663-3100 Andyh@mobberly.org 5. One Church Home c/o Shane Ecklund 1091 Highway 96 N. Fairview, TN 37062 (615) 266-6122 shane@onechurchhome.com 6. Saddleback Valley Community Church c/o Karyn Johnson 1 Saddleback Pkwy Lake Forest, CA 92630-8700 (949) 609-8047 Karynj@saddleback.com 7. The Crossing Church c/o Sandee Torres 10130 Tuscany Ridge Drive Tampa, FL 33619 (813) 626-0783 Storres@crossingonline.org Official creditors' committees serve as fiduciaries to the general population of creditors they represent. They may investigate the debtor's business and financial affairs. Committees have the right to employ legal counsel, accountants and financial advisors at a debtor's expense. About Vision2systems LLC Founded in 2012, Vision2Systems LLC is a software company based in Dallas, Texas, which provides online giving and membership management platforms tailored for churches. The platform offers solutions for accounting, donations, event planning, and overall church management. Vision2Systems sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Texas Case No. 25-40583) on February 19, 2025. In its petition, the Debtor reported between $1 million and $10 million in both assets and liabilities. The Debtor is represented by Jason P. Kathman, Esq., at Spencer Fane, LLP. VUZIX CORP: COO Peter Jameson Steps Down for Health Reasons ----------------------------------------------------------- Peter Jameson, the chief operating officer of Vuzix Corporation, notified the Company of his immediate resignation due to health issues, as disclosed in a Form 8-K filed with the Securities and Exchange Commission on March 11, 2025. Since Jan. 10, 2022, Mr. Jameson has held this position at the Company, and the Board of Directors extends its appreciation for his leadership and valuable contributions during his tenure. Following discussions with Mr. Jameson, the Company has adjusted and broadened the responsibilities of certain senior staff members. Vuzix remains dedicated to facilitating a seamless transition throughout this process. The Board of Directors and the Company extend their heartfelt wishes to Mr. Jameson for a speedy recovery and continued good health. About Vuzix Vuzix Corporation -- www.vuzix.com -- incorporated in Delaware in 1997, is a designer, manufacturer, and marketer of Smart Glasses and Augmented Reality (AR) technologies and products for the enterprise, medical, defense, and consumer markets. The Company's HUDs) smart personal display and wearable computing devices that offer users a portable high-quality viewing experience, providing solutions for mobility, wearable displays, and augmented reality, as well as OEM waveguide optical components and display engines. The Company's wearable display devices are worn like eyeglasses or attach to a head-worn mount. Buffalo, New York-based Freed Maxick CPAs, P.C., the Company's auditor since 2014, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company has suffered recurring losses from operations and has future cash requirements to fund operating losses. This raises substantial doubt about the Company's ability to continue as a going concern. The Company reported a net loss of $50,149,077 for the year ended Dec. 31, 2023, a net loss of $40,763,573 for the year ended Dec. 31, 2022, and a net loss of $40,377,160 for the year ended Dec. 31, 2021. The Company has an accumulated deficit of $293,984,793 as of Dec. 31, 2023. "We may not achieve or maintain profitability in the future. We will need to increase sales in order to achieve and maintain profitability. In addition, we expect that our expenses relating to product development and research, sales and marketing, as well as our general and administrative costs, may increase as our business grows. If we do not achieve and maintain profitability, our financial condition will ultimately be materially and adversely affected and we would eventually be required to raise additional capital. We may not be able to raise any necessary capital on commercially reasonable terms or at all. If we fail to achieve or maintain profitability on a quarterly or annual basis within the timeframe expected by investors, the market price of our common stock may decline," the Company stated in its 2023 Annual Report. "Our cash requirements related to funding operating losses depend upon numerous factors, including new product development activities, our ability to commercialize our products, our products' timely market acceptance, selling prices and gross margins, and other factors. Historically, the Company has met its cash needs primarily through the sale of equity securities. The Company will need to grow its business significantly to become profitable and self-sustaining on a cash flow basis or it will be required to cut its operating costs significantly or raise new equity and/or debt capital," the Company mentioned in its Quarterly Report for the period ended Sept. 30, 2024. WALGREENS BOOTS: Moody's Puts 'Ba3' CFR on Review for Downgrade --------------------------------------------------------------- Moody's Ratings has placed the ratings for Walgreens Boots Alliance, Inc. ("WBA") and its subsidiary Walgreen Co. (together combined referred to as "Walgreens") on review for downgrade. Ratings for downgrade include the company's Ba3 corporate family rating, its Ba3-PD probability of default rating, its B1 senior unsecured notes ratings and Walgreen Co.'s B1 senior unsecured notes rating. Previously, the outlook for both issuers was negative. The speculative grade liquidity rating ("SGL") remains unchanged at SGL-2 and the backed commercial paper program rating remains unchanged at Not Prime. This action follows Walgreens' plan to be acquired by private equity firm Sycamore Partners ("Sycamore") in a go-private transaction. On March 6, 2025, Walgreens announced that it had entered into an agreement to be acquired by Sycamore Partners for up to $23.7 billion [1]. Sycamore plans to pay $11.45 per share in cash for Walgreens. Walgreens shareholders will also receive rights to receive up to an additional $3.00 per share from the sale of the company's VillageMD assets, which include Village Medical, Summit Health and CityMD businesses. The deal also features a 35-day "go-shop" period, during which Walgreens can solicit and evaluate other offers. The transaction will be financed with a combination of debt and equity. Management expects the closing of the transaction to occur in the 4th quarter of 2025 and is subject to regulatory approvals. The review for downgrade reflects governance considerations related to the company's change from public ownership to private equity ownership and the potential for more aggressive financial strategies. It also reflects that the acquisition by Sycamore will likely result in leverage remaining higher than Moody's originally expected and comes at a time when Walgreens' credit metrics were already weak. For the twelve months ended November 30, 2024, Moody's adjusted debt/EBITDA was 5.5x and EBITA/interest was 1.5x. RATINGS RATIONALE / FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The review for downgrade will focus on Walgreens final capital structure, liquidity profile and financial strategies under its new ownership. The review for downgrade will also focus on Walgreens' strategic and operating plans. These include but are not limited to its strategies to stabilize and restore earnings growth, and the prospect for asset sales. Given the review for downgrade, an upgrade is unlikely at the current time. However, excluding the ratings review, ratings could be upgraded if Walgreens' strategic review results in material improvement in profitability that leads to a sustained improvement in credit metrics and consistently positive free cash flow. An upgrade would also require the company to maintain good liquidity, to address its upcoming maturities in a timely manner, and to demonstrate financial policies that support debt/EBITDA (including the present value of the opioid liability) sustained below 4.75x and EBITA to interest sustained above 2.25x. Ratings could be downgraded if Walgreens' strategic review does not result in steady operational improvement that leads to stronger credit metrics and sustained positive free cash flow. Ratings could also be downgraded should liquidity weaken, should financial policies become more aggressive or should the company fail to address its upcoming debt maturities in a timely manner. Quantitatively ratings could be downgraded if debt/EBITDA (including the present value of the opioid liability) is sustained above 5.5x or EBITA/interest is sustained below 1.75x. Walgreens Boots Alliance, Inc. is a global retail pharmacy operator. Walgreens together with the companies in which it has equity method investments has a presence in more than 8 countries, and has more than 12,500 locations. The company generated about $150 billion in annual revenue and $6.4 billion of EBITDA for the LTM ended November 30th, 2024. A comprehensive review of all credit ratings for the respective transactions has been conducted during a rating committee. The principal methodology used in these ratings was Retail and Apparel published in November 2023. WAYFAIR LLC: Moody's Rates New $700MM Senior Secured Notes 'B1' --------------------------------------------------------------- Moody's Ratings assigned a B1 rating to Wayfair LLC's proposed $700 million backed senior secured notes due 2030. All ratings of Wayfair Inc. ("Wayfair"), including its B3 corporate family rating, B3-PD probability of default rating and Wayfair LLC's B1 backed senior secured notes rating remain unchanged. Wayfair's speculative grade liquidity rating ("SGL") remains unchanged at SGL-1. The outlook for both issuers remains stable. Net proceeds from the proposed notes will be used to fund balance sheet cash to prefund all or a portion of its convertible notes due in October 2025 and August 2026. The company also plans to refinance its senior secured revolver due March 2026 (unrated) and extend its maturity to March 2030. The B1 rating assigned to the proposed $700 million senior secured notes at Wayfair LLC reflects that the notes will be pari passu to its proposed $500 million secured revolving credit facility due March 2030, its existing $800 million senior secured notes due October 2029 and will be senior to the over $2.3 billion of senior unsecured convertible notes due on or after 2025. RATINGS RATIONALE Wayfair's B3 CFR reflects its high debt level of over $3 billion relative to its weak operating margins and modest lease adjusted EBITDA as the company continues to maintain stable top line trends in a challenging consumer environment. Significant improvement in revenue and earnings is needed for leverage to reach sustainable levels as Wayfair's lease adjusted EBITDA was just $159 million (as per Moody's definitions which does not addback stock compensation expense) and debt/EBITDA was 26.5x for the fiscal year ended December 31, 2024. Wayfair continues to improve its cost structure as evidenced by its exit of the German market and further headcount reductions to right size its technology workforce as consumer demand for its home goods and furnishings remains pressured. Nonetheless, assuming the consumer market for home goods begins to stabilize, Moody's expects Wayfair to return to modest revenue growth in 2025 and that leverage will improve to approximately 12x in 2025. Assuming a more significant improvement in consumer spending on the home, credit metrics could improve to sustainable levels at the end of 2026. Wayfair's very good liquidity (SGL-1) and positive free cash flow, is a key support to the B3 CFR. Wayfair continues to maintain a high cash balance of $1.3 billion as of December 2024 and generated $83 million of free cash flow (cash from operations less capex) for fiscal 2024. Moody's forecasts positive free cash flow in 2025 with full availability under its new proposed revolver, net of letters of credit. These sources combined with the net proceeds from its proposed $700 million senior secured notes are projected to be more than sufficient to fund cash needs over the next 12-18 months including the repayment of its $971 million of convertible notes maturing in 2025 and 2026, capital expenditures, interest expense and taxes. The proposed notes offering will enhance the company's liquidity to address its upcoming convertible maturities. Positive ratings consideration was given to Wayfair's significant scale with almost $12 billion of revenue in the fragmented home products category. Wayfair's e-commerce platform reaches over 21 million active customers and connects over 20 thousand suppliers through its technology and logistics infrastructure. Its business model has limited inventory risk as Wayfair primarily takes ownership of product after purchase. Most of its products sold are shipped to customers directly from suppliers with Wayfair increasing the number of shipments through its own logistical network. The stable outlook reflects Moody's views that sales and operating performance will improve as the consumer environment for home goods stabilizes and the company executes on its initiatives to expand operating margins. Moody's expects strong positive free cash flow and debt reduction to drive improved credit metrics over time as its convertible debt maturities are repaid while maintaining very good liquidity. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING Ratings could be upgraded if Wayfair generates consistent revenue and operating earnings growth while maintaining at least good liquidity, which includes positive free cash flow. An upgrade would also require the maintenance of a conservative financial policy which prioritizes debt reduction, addresses its debt maturities in a timely manner while extending the duration of its maturity profile. Quantitatively ratings could be upgraded if adjusted debt/EBITDA (per Moody's definitions) was sustained below 5.5x and (EBITDA-Capex)/Interest expense (per Moody's definitions) of over 1.5x. Ratings could be downgraded if sales and profitability growth are insufficient to generate positive free cash flow and deleveraging which results in a sustainable capital structure. The ratings could also be downgraded if liquidity deteriorates or financial strategy became more aggressive including upcoming debt maturities not being prefunded with internal cash sources or refinanced well in advance. The principal methodology used in this rating was Retail and Apparel published in November 2023. Wayfair Inc. is one of the world's largest destinations for the home, through a family of sites including Wayfair, Joss & Main, AllModern, Birch Lane, Perigold, and Wayfair Professional. The company had $11.8 billion of sales as of December 31, 2024. Wayfair is publicly traded on the NYSE under the symbol, "W". WHITE FOREST: Committee Labels Chapter 11 Loans as Insider Deal --------------------------------------------------------------- Vince Sullivan of Law360 Bankruptcy Authority reports that the official committee of unsecured creditors in White Forest Resources Inc.'s Chapter 11 case has opposed the proposed bankruptcy financing package, arguing that it constitutes an insider transaction. The committee contends that the deal places liens on previously unencumbered assets, making them unavailable for recovery by unsecured creditors. About White Forest Resources, Inc. White Forest Resources Inc. and affiliates are privately-held producers of premium metallurgical and thermal coal in the Central Appalachian coal basin. The Debtors operate two mining operations in West Virginia. The main buyers of the Debtors' premium metallurgical coal, which is used in a process to produce coke for steel manufacturing, include steel manufacturers, commodity brokers, and industrial clients. Electric utilities and industrial companies are the principal customers for the Debtors' thermal coal. White Forest Resources Inc. and affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 25-10195) on February 7, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Thomas M. Horan handles the case. The Debtor is represented by Alan M. Root, Esq., William E. Chipman, Jr., Esq., and Alison R. Maser, Esq., at Chipman Brown Cicero & Cole LLP in Wilmington, Delaware. The Debtors' CRO Provider is RK Consultants LLC. The Debtors' special counsel is Jones & Associates. The Debtors' noticing and claims agent is Stretto. YOUNG TRANSPORTATION: Unsecureds to Get Nothing in Plan ------------------------------------------------------- Young Transportation Inc. filed with the U.S. Bankruptcy Court for the Northern District of Mississippi a Plan of Reorganization under Subchapter V dated February 24, 2025. Young Transportation Inc. began in 2018 when founder Danny Young recognized the growing demand for transportation services in Mississippi. Young Transportation Inc. primarily specializes in long-haul trucking of furniture, medical supplies and other dry goods, offering transportation solutions for general freight on back hauls. Young Transportation Inc. facilitates trade and commerce, stimulates business activity, and creates employment-opportunities in the community and surrounding areas. Prior to filing, the Debtor had obtained operating funds from various creditors who charged tremendously high interest rates and hidden fees and began sweeping the Debtors bank account daily leaving them nothing to operate on. The Debtor is investigating possible Chapter 5 Causes of Action and is exploring its legal remedies against these Lenders. The Debtor's Plan will provide for a specific treatment for each secured creditor, depending on their collateral. Executory Contracts and leases will each be addressed separately with the Debtor either rejecting them or assuming them and providing for a cure of any default. The priority tax claim will be paid in full under the Plan as provided by law. There will not be any disposable income to pay General Unsecured Creditors or the creditors that claim they purchased future receivables. Class 9 consists of General Unsecured Claims. The General Unsecured Claims would be paid from the Debtor's projected disposable income. In this case there is no projected disposable income so General Unsecured Creditors will not receive any payments under the Plan. General Unsecured Creditors shall be deemed impaired under this Plan. Class 10 consists of Equity Security Holder. The Equity Security Holder Danny Young owns 100% interest in the company. On Confirmation of the Plan, all property of the Debtor, tangible and intangible, including, without limitation, licenses, furniture, fixtures and equipment, will revert, free and clear of all Claims and Equitable Interest except as provided in the Plan, to the Debtor. The Debtor expects to have sufficient cash on hand to make the payments required on the Effective Date. The Debtor shall submit all or such portions of the future earnings or other future income of the Debtor. A full-text copy of the Plan of Reorganization dated February 24, 2025 is available at https://urlcurt.com/u?l=UsC33M from PacerMonitor.com at no charge. Counsel to the Debtor: J. Walter Newman IV, Esq. Newman & Newman 587 Highland Colony Parkway Ridgeland, MS 39157 Tel: (601) 948-0586 Email: wnewman95@msn.com About Young Transportation Young Transportation Inc. operates in the general freight trucking industry. Young Transportation filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Miss. Case No. 24-13174) on Oct. 11, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Daniel L. Young, president, signed the petition. Judge Jason D. Woodard handles the case. The Debtor is represented by J. Walter Newman, IV, Esq., at Newman & Newman. YOUTHFUL SOLUTIONS: Case Summary & 14 Unsecured Creditors --------------------------------------------------------- Debtor: Youthful Solutions, LLC Youthful Solutions Ideal Weight & Skin, LLC Youthful Solutions Medispa Youthful Solutions Medispa and Wellness Ideal Weight & Ski 3009 Glacier Pass Lane Cedar Park, TX 78613 Business Description: Youthful Solutions, operating as Youthful Solutions MediSpa, is a high-quality medical aesthetics and wellness practice located in Cedar Park, Texas, offering a wide range of services including medical facials, anti- wrinkle treatments (like Botox and Dysport), skin rejuvenation treatments, body contouring, and wellness services such as weight loss and hormone balancing. The Company's mission is to help both men and women improve their appearance and overall well-being. Chapter 11 Petition Date: March 10, 2025 Court: United States Bankruptcy Court Western District of Texas Case No.: 25-10319 Judge: Hon. Shad Robinson Debtor's Counsel: Frank B Lyon, Esq. FRANK B LYON PO Box 50210 Austin TX 78763-0210 Tel: (512) 345-8964 E-mail: frank@franklyon.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Wesley Gene Markum as CEO. A full-text copy of the petition, which includes a list of the Debtor's 14 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/QHQXMFI/Youthful_Solutions_LLC__txwbke-25-10319__0001.0.pdf?mcid=tGE4TAMA ZACHRY HOLDINGS: Contests Nebraska Utility's Administrative Claim ----------------------------------------------------------------- MJ Koo of Law360 reports that Zachry Holdings, a bankrupt natural gas contractor, has opposed a $38 million administrative claim by a Nebraska public electric utility over construction delays at new generating stations, arguing that the claim is premature and the requested fees exceed the alleged damages. About Zachry Holdings Zachry Holdings, Inc., is the engineering, construction, maintenance, turnaround and fabrication services offshoot of the storied family-owned business that began as H.B. Zachry Company one hundred years ago. The other offshoot, Zachry Construction, has operated separately from Zachry Industrial since the two businesses branched off from their common roots in 2008. The Zachry Group provides engineering and construction services to clients in the energy, chemicals, power, manufacturing, and industrial sectors across North America. None of the entities affiliated with Zachry Construction are Debtors in the chapter 11 cases. Zachry Holdings and its subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 24-90377) on May 21, 2024, with $1 billion to $10 billion in assets and liabilities. James R. Old, general counsel, signed the petitions. Judge Marvin Isgur presides over the case. The Debtors tapped White & Case LLP as general bankruptcy counsel; Susman Godfrey L.L.P. and Hicks Thomas, LLP as special litigation counsel; and Kurtzman Carson Consultants as notice & claims agent. [] Douglas Mintz Joins Cadwalader's Restructuring Practice ---------------------------------------------------------- Cadwalader has strengthened its Financial Restructuring team with the addition of Douglas Mintz. Mr. Mintz's practice focuses on the representation of creditors in financial restructurings and special situations, including bank agents, private credit funds, ad hoc committees of creditors, equity sponsors and distressed investors. A frequent lecturer, author and media presence, he has been consistently recognized as a leading restructuring lawyer by The Legal 500 U.S., Lawdragon and Chambers USA, which has listed him every year since 2012. Mr. Mintz joins Cadwalader from another leading law firm where he was co-chair of its business reorganization practice group and co-head of the firm's special situations cross-practice team. This represents a return for Mr. Mintz, who started his career at Cadwalader more than 25 years ago -- before rising to serve as special counsel and work on such cases as the bankruptcies of GM, Chrysler, Lyondell and Northwest Airlines. "We're excited to welcome Doug back to Cadwalader," said Managing Partner Pat Quinn. "As our firm continues to address the strategic objectives of private capital creditors, including in particular liability management transactions, Doug's experience will strengthen our capacity to match the growing demand." "Doug has significant experience in navigating the out-of-court and in-court solutions necessary to bring the full complement of expertise across practice disciplines required to address the complex structures dominating the market," said Financial Restructuring Group Chair and London Co-Managing Partner Greg Petrick. "Doug has the commitment to legal excellence, innovation and client service that are hallmarks of Cadwalader in his DNA. The firm is very happy to welcome Doug's return as an integral part of our team." "I'm thrilled to be coming back ‘home'," said Doug. "The firm has meant so much to me during my career, and I'm excited to be working once again with my long-time Cadwalader colleagues. The market has really shifted to prioritize cross-practice restructuring efforts both in- and out-of-court. Cadwalader has the multidisciplinary approach and depth across restructuring, finance, corporate, litigation and tax that our clients need every day. This will enable me to build on what I enjoy doing the best -- bringing together an integrated team to help clients with any type of distressed situation." [^] Recent Small-Dollar & Individual Chapter 11 Filings ------------------------------------------------------- In re The Complex at Port Chester LLC Bankr. S.D.N.Y. Case No. 25-22181 Chapter 11 Petition filed March 5, 2025 See https://www.pacermonitor.com/view/URZPVUY/The_Complex_at_Port_Chester_LLC__nysbke-25-22181__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Mike Jackson, Inc. Bankr. N.D. Fla. Case No. 25-50043 Chapter 11 Petition filed March 5, 2025 See https://www.pacermonitor.com/view/QIG2BQQ/Mike_Jackson_Inc__flnbke-25-50043__0001.0.pdf?mcid=tGE4TAMA represented by: Jodi Daniel Dubose, Esq. STICHTER, RIEDEL, BLAIN & POSTLER, P.A. E-mail: jdubose@srbp.com In re Jack Robert Thacker, Jr. Bankr. E.D. Tenn. Case No. 25-50237 Chapter 11 Petition filed March 6, 2025 represented by: Maurice Guinn, Esq. GENTRY TIPTON & MCLEMORE, P.C. Email: mkg@tennlaw.com In re Samuel Pfeiffer Bankr. E.D.N.Y. Case No. 25-41111 Chapter 11 Petition filed March 6, 2025 represented by: J. Donovan, Esq. In re Jason Christopher Hagan Bankr. D. Md. Case No. 25-11850 Chapter 11 Petition filed March 5, 2025 represented by: Amanda Kaniowski, Esq. In re Mark Walters, Sr. Bankr. D. Md. Case No. 25-11910 Chapter 11 Petition filed March 6, 2025 represented by: David Cahn, Esq. In re Katrina Alisha Smith Bankr. S.D. Tex. Case No. 25-31290 Chapter 11 Petition filed March 5, 2025 In re Infinity Gear LLC Bankr. D. Colo. Case No. 25-11134 Chapter 11 Petition filed March 6, 2025 See https://www.pacermonitor.com/view/3CQAPKI/Infinity_Gear_LLC__cobke-25-11134__0001.0.pdf?mcid=tGE4TAMA represented by: Aaron A. Garber, Esq. WADSWORTH GARBER WARNER CONRARDY, P.C. E-mail: agarber@wgwc-law.com In re Felix Mechanical Systems LLC Bankr. D. Nev. Case No. 25-50192 Chapter 11 Petition filed March 6, 2025 See https://www.pacermonitor.com/view/EAM3BSQ/FELIX_MECHANICAL_SYSTEMS_LLC__nvbke-25-50192__0001.0.pdf?mcid=tGE4TAMA represented by: Kevin A Darby, Esq. DARBY LAW PRACTICE E-mail: kevin@darbylawpractice.com In re Revolution Auto Brokers, L.L.C. Bankr. E.D. La. Case No. 25-10403 Chapter 11 Petition filed March 6, 2025 See https://www.pacermonitor.com/view/YUZWVDY/Revolution_Auto_Brokers_LLC__laebke-25-10403__0001.0.pdf?mcid=tGE4TAMA represented by: Ryan J. Richmond, Esq. STERNBERG, NACCARI & WHITE, LLC E-mail: ryan@snw.law In re ShuBrew, LLC Bankr. W.D. Pa. Case No. 25-20577 Chapter 11 Petition filed March 6, 2025 See https://www.pacermonitor.com/view/4ZUFBKY/ShuBrew_LLC__pawbke-25-20577__0001.0.pdf?mcid=tGE4TAMA represented by: Brian C. Thompson, Esq. THOMPSON LAW GROUP, P.C. E-mail: bthompson@thompsonattorney.com In re Messiah Inc. Bankr. E.D.N.Y. Case No. 25-41119 Chapter 11 Petition filed March 6, 2025 See https://www.pacermonitor.com/view/NZSA6LA/Messiah_Inc__nyebke-25-41119__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re SRL Montauk LLC Bankr. E.D.N.Y. Case No. 25-70888 Chapter 11 Petition filed March 6, 2025 See https://www.pacermonitor.com/view/Q7DGV7I/SRL_Montauk_LLC__nyebke-25-70888__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Harp and Clover, LLC Bankr. N.D. Ala. Case No. 25-40308 Chapter 11 Petition filed March 6, 2025 See https://www.pacermonitor.com/view/DLEOGEA/Harp_and_Clover_LLC__alnbke-25-40308__0001.0.pdf?mcid=tGE4TAMA represented by: Tameria S. Driskill, Esq. TAMERIA S. DRISKILL, LLC E-mail: driskill-law@outlook.com In re Fly7 Installations LLC Bankr. E.D. Va. Case No. 25-70482 Chapter 11 Petition filed March 8, 2025 See https://www.pacermonitor.com/view/4EAHYXI/Fly7_Installations_LLC__vaebke-25-70482__0001.0.pdf?mcid=tGE4TAMA represented by: Carolyn Bedi, Esq. BEDI LEGAL, P.C. E-mail: carolyn@bedilegal.com In re Sonder Counseling LLC Bankr. E.D. Mo. Case No. 25-40726 Chapter 11 Petition filed March 7, 2025 See https://www.pacermonitor.com/view/7W3DZ5I/Sonder_Counseling_LLC__moebke-25-40726__0001.0.pdf?mcid=tGE4TAMA represented by: Robert Eggmann, Esq. CARMODY MACDONALD P.C. E-mail: ree@carmodymacdonald.com In re Nurse Yard, Inc. Bankr. M.D. Fla. Case No. 25-01427 Chapter 11 Petition filed March 7, 2025 See https://www.pacermonitor.com/view/CGKIZPQ/Nurse_Yard_Inc__flmbke-25-01427__0001.0.pdf?mcid=tGE4TAMA represented by: Chad Van Horn, Esq. VAN HORN LAW GROUP, P.A. E-mail: chad@cvhlawgroup.com In re 2809 W. 8th St., LLC Bankr. C.D. Calif. Case No. 25-11819 Chapter 11 Petition filed March 7, 2025 See https://www.pacermonitor.com/view/H5CMIXA/2809_W_8TH_ST_LLC__cacbke-25-11819__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Franco Hauling L.L.C. Bankr. N.D. Ill. Case No. 25-03520 Chapter 11 Petition filed March 7, 2025 See https://www.pacermonitor.com/view/KZVJNGI/FRANCO_HAULING_LLC__ilnbke-25-03520__0001.0.pdf?mcid=tGE4TAMA represented by: O. Allan Fridman, Esq. LAW OFFICE OF ALLAN FRIDMAN E-mail: allan@fridlg.com In re Our Family Direct Primary Care, PLLC Bankr. W.D. Ky. Case No. 25-30532 Chapter 11 Petition filed March 7, 2025 See https://www.pacermonitor.com/view/WNSN5TA/Our_Family_Direct_Primary_Care__kywbke-25-30532__0001.0.pdf?mcid=tGE4TAMA represented by: Peter Gannott, Esq. GANNOTT LAW GROUP, PLLC E-mail: pgannott@gannottlaw.com In re Global Values Barre VT QOZ, LLC Bankr. M.D. Ga. Case No. 25-50379 Chapter 11 Petition filed March 7, 2025 See https://www.pacermonitor.com/view/EZ6NRZQ/Global_Values_Barre_VT_QOZ_LLC__gambke-25-50379__0001.0.pdf?mcid=tGE4TAMA represented by: David L. Bury, Jr., Esq. STONE & BAXTER, LLP E-mail: dbury@stoneandbaxter.com In re Mane Source Counseling, PLLC Bankr. E.D.N.C. 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Case No. 25-35241 Chapter 11 Petition filed March 7, 2025 See https://www.pacermonitor.com/view/LGAHGVA/Meadow_Creek_Farm_of_NY_Realty__nysbke-25-35241__0001.0.pdf?mcid=tGE4TAMA represented by: Michelle L. Trier, Esq. GENOVA, MALIN & TRIER, LLP E-mail: michelle@gmtllp.com In re InvesTN, LLC Bankr. W.D. Tenn. Case No. 25-21170 Chapter 11 Petition filed March 7, 2025 See https://www.pacermonitor.com/view/EZHSD3Q/InvesTN_LLC__tnwbke-25-21170__0001.0.pdf?mcid=tGE4TAMA represented by: S. Jonathan Garrett, Esq. JONES & GARRETT LAW FIRM, An Association of Attorneys In re Level Up Staffing, LLC Bankr. N.D. Ga. Case No. 25-52359 Chapter 11 Petition filed March 4, 2025 Filed Pro Se In re QS Professionals Corp Bankr. N.D. Ga. Case No. 25-52381 Chapter 11 Petition filed March 4, 2025 Filed Pro Se In re Garden Property Restoration LLC Bankr. N.D. Ga. Case No. 25-52369 Chapter 11 Petition filed March 4, 2025 Filed Pro Se In re Templeguard Homes LLC Bankr. N.D. Ga. Case No. 25-52253 Chapter 11 Petition filed March 3, 2025 Filed Pro Se In re Kelmarid International LLC Bankr. N.D. Ga. Case No. 25-52312 Chapter 11 Petition filed March 3, 2025 Filed Pro Se In re Elite Partners Inc. Bankr. N.D. Ga. Case No. 25-52310 Chapter 11 Petition filed March 3, 2025 Filed Pro Se In re Handsome Home CO, LLC Bankr. N.D. Ga. Case No. 25-52317 Chapter 11 Petition filed March 3, 2025 Filed Pro Se In re Georgia Community Development Association, Inc. Bankr. S.D. Ga. Case No. 25-50098 Chapter 11 Petition filed March 3, 2025 See https://www.pacermonitor.com/view/PTL2PYQ/Georgia_Community_Development__gasbke-25-50098__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re TH Mack Bankr. D. Colo. Case No. 25-10944 Chapter 11 Petition filed February 25, 2025 See https://www.pacermonitor.com/view/PDXQZBY/TH_Mack__cobke-25-10944__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Waypoint Roofing & Construction Inc. Bankr. M.D. Fla. Case No. 25-00874 Chapter 11 Petition filed February 14, 2025 See https://www.pacermonitor.com/view/T62G64Q/Waypoint_Roofing__Construction__flmbke-25-00874__0001.0.pdf?mcid=tGE4TAMA represented by: Michael Faro, Esq. FARO & CROWDER E-mail: ahinkley@farolaw.com In re Giovanni Martinez Bankr. M.D. Fla. Case No. 25-01306 Chapter 11 Petition filed March 7, 2025 represented by: Jeffrey Ainsworth, Esq. In re David James Truscott Bankr. S.D. Ohio Case No. 25-30378 Chapter 11 Petition filed March 7, 2025 represented by: Denis Blasius, Esq. In re Muti Enterprises, Inc. Bankr. S.D. Fla. Case No. 25-12526 Chapter 11 Petition filed March 9, 2025 See https://www.pacermonitor.com/view/KLYRA5Y/Muti_Enterprises_Inc__flsbke-25-12526__0001.0.pdf?mcid=tGE4TAMA represented by: Brian K. McMahon, Esq. BRIAN K. MCMAHON, PA E-mail: briankmcmahon@gmail.com In re Shabaz Yogurt Land Inc. Bankr. S.D. Fla. Case No. 25-12523 Chapter 11 Petition filed March 9, 2025 See https://www.pacermonitor.com/view/7GQHT3A/Shabaz_Yogurt_Land_Inc__flsbke-25-12523__0001.0.pdf?mcid=tGE4TAMA represented by: Mark S. Roher, Esq. LAW OFFICE OF MARK S. ROHER, P.A. E-mail: mroher@markroherlaw.com In re Floatus, Inc. Bankr. D. Md. Case No. 25-12007 Chapter 11 Petition filed March 9, 2025 See https://www.pacermonitor.com/view/4KQCC6A/Floatus_Inc__mdbke-25-12007__0001.0.pdf?mcid=tGE4TAMA represented by: Michael P. Coyle, Esq. THE COYLE LAW GROUP E-mail: mcoyle@thecoylelawgroup.com In re Photo Video Plus LLC Bankr. E.D.N.Y. Case No. 25-41149 Chapter 11 Petition filed March 10, 2025 See https://www.pacermonitor.com/view/LXGSELA/Photo_Video_Plus_LLC__nyebke-25-41149__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Kast Iron Kitchen LLC Bankr. E.D.N.Y. Case No. 25-41145 Chapter 11 Petition filed March 10, 2025 See https://www.pacermonitor.com/view/LMHJC6Q/Kast_Iron_Kitchen_LLC__nyebke-25-41145__0001.0.pdf?mcid=tGE4TAMA represented by: Jay Meyers, Esq. J.MEYERS, PLLC Email: jm@561legalstrategy.com In re SaaliRealty Bankr. D. Mass. Case No. 25-10472 Chapter 11 Petition filed March 11, 2025 See https://www.pacermonitor.com/view/NHRCLIQ/SaaliRealty__mabke-25-10472__0001.0.pdf?mcid=tGE4TAMA represented by: Joseph Butler, Esq. JOSEPH BUTLER E-mail: jgb@jgbutlerlaw.com In re Galina Grigoryevna Goldberg Bankr. E.D.N.Y. Case No. 25-41152 Chapter 11 Petition filed March 10, 2025 represented by: Alla Kachan, Esq. In re Shannon L. Bryant Bankr. M.D. Ala. Case No. 25-30558 Chapter 11 Petition filed March 10, 2025 In re Johnnie Jemel Mainer-Smith Bankr. E.D.N.Y. Case No. 25-40339 Chapter 11 Petition filed March 10, 2025 represented by: Mark Gensburg, Esq. In re Francis Xavier Haas Bankr. S.D. Ala. Case No. 25-10653 Chapter 11 Petition filed March 10, 2025 represented by: Anthony Bush, Esq. In re Patrick Michael Paul Bankr. N.D. Ga. Case No. 25-52688 Chapter 11 Petition filed March 11, 2025 represented by: Cameron McCord, Esq. ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR constitutes an offer or solicitation to buy or sell any security of any kind. 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