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250630.mbx T R O U B L E D C O M P A N Y R E P O R T E R Monday, June 30, 2025, Vol. 29, No. 180 Headlines 12033 LLC: Taps Joshua R. Bronstein & Associates as Counsel 1575 GALENA: Seeks Chapter 11 Bankruptcy in Colorado 3M CO: Firefighters Exposed to Toxic Chemicals, Rafol Suit Says ADVANCE COMPANIES: Gets Final OK to Use Cash Collateral AGUA VIVA: Gets Interim OK to Use Cash Collateral AIMCO APARTMENT: Egan-Jones Retains BB+ Senior Unsecured Ratings AIR CANADA: Egan-Jones Retains B Senior Unsecured Ratings ALC ENGINEERED: Unsecureds Will Get 19.87% of Claims over 3 Years ALLIANCE FARM: Committee Hires Dykema Gossett PLLC as Counsel AMBASSADOR VETERANS: Taps Vilarino & Associates as Legal Counsel AMERICA'S GARDENING: June 30 Deadline for Panel Questionnaires AMERICAN 24: Seeks Cash Collateral Access APPLICO LLC: Seeks to Hire CNC Accounting as Accountant ARCH PRODUCTION: Seeks to Hire ARCH Production as Accountant ARCHDIOCESE OF NEW ORLEANS: Court Sets Settlement Deadlines AT HOME GROUP: To Close 26 Stores by Sept. 30 as Part of Chap. 11 ATI INC: Egan-Jones Retains B+ Senior Unsecured Ratings ATLANTIC NATURAL: Above Food Can File Adversary Proceeding ATM AFFILIATES: Hires Condon Tobin Sladek Thornton as Attorney AUTOMATED TRUCKING: Hires Johnson Pope Bokor as Counsel AVIENT CORP: Egan-Jones Retains BB- Senior Unsecured Ratings AVON PLACE: Amends Several Secured Claims Pay Details AZORRA FINANCE: Fitch Rates New $500MM Unsec. Notes 'BB-(EXP)' AZORRA FINANCE: Moody's Hikes Rating on Unsecured Notes to B1 B. RILEY FINANCIAL: Sells Financial Advisory Business to TorQuest BALERNO CASTLE: Seeks Chapter 11 Bankruptcy in California BANDGRIP INC: Taps William J. Factor Ltd. as Bankruptcy Counsel BATH & BODY: Egan-Jones Retains BB Senior Unsecured Ratings BAXTER INTERNATIONAL: Egan-Jones Retains BB+ Sr. Unsecured Ratings BAYSIDE LIMO: Gets Interim OK to Use Cash Collateral BC2 BEAUMONT: Loan Secured by Marriott Hotel Auctioned BEACH ACQUISITION: Moody's Rates New Secured Notes Due 2032 'Ba3' BEAN THERE: Seeks Subchapter V Bankruptcy in Florida BEST BUILD: Case Summary & One Unsecured Creditor BISHOP OF SANTA ROSA: Jeff Anderson Advises Abuse Claimants BLACKBERRY LIMITED: Egan-Jones Retains CCC Sr. Unsecured Ratings BOTEILHO HAWAII: Court Vacates Judgments in Honoka'a Land Dispute BOYD GAMING: Egan-Jones Retains BB- Senior Unsecured Ratings BRC CAPITAL: Unsecureds to be Paid in Full over 60 Months BRIGHT GREEN: Claimant Granted Stay Relief in Adversary Proceeding BROADWAY REALTY: Seeks Final OK to Use Cash Collateral BUILT TO LAST: Gets Interim OK to Use Cash Collateral Until July 30 BULLER MEDIA: Seeks to Use Cash Collateral Until Aug. 31 BURGESS POINT: Moody's Cuts CFR to 'Caa2', Outlook Stable C M HEAVY: Taps Receivables Control Corp as Collection Agent CAESARS ENTERTAINMENT: Egan-Jones Retains CCC Sr. Unsec. Ratings CAESARS HOLDINGS: Egan-Jones Retains CCC Sr. Unsec. Ratings CALI MADE: Unsecured Creditors Will Get 1% of Claims in Plan CAMERON THE SANDMAN: Seeks to Use Cash Collateral CAPTURE COLLECTIVE: Hires Book + Street as Financial Advisor CAPTURE COLLECTIVE: Seeks to Hire Kern Kendrick as Special Counsel CARAWAY TEA: Gets Interim OK to Use Cash Collateral CAREERBUILDER + MONSTER: Seeks Chapter 11 Bankruptcy in Delaware CAREERBUILDER LLC: S&P Downgrades ICR to 'D' on Bankruptcy Filing CARPENTER TECHNOLOGY: Egan-Jones Retains BB+ Sr. Unsecured Ratings CELSIUS NETWORK: Symbolic Loses Bid to Dismiss Adversary Case CENTURI HOLDINGS: Moody's Assigns 'Ba3' CFR, Outlook Stable CIRION TECHNOLOGIES: S&P Affirms 'B+' ICR, Alters Outlook to Neg. CLEVELAND-CLIFFS INC: Egan-Jones Hikes Sr. Unsec. Ratings to BB+ CM WIND: Egan-Jones Retains CCC+ Senior Unsecured Ratings CMC ADVERTISING: Case Summary & 20 Largest Unsecured Creditors CMS ENERGY: Egan-Jones Retains BB+ Senior Unsecured Ratings CNX RESOURCES: Egan-Jones Retains BB- Senior Unsecured Ratings COHERENT CORP: Egan-Jones Retains BB- Senior Unsecured Ratings COLUMBUS MCKINNON: Egan-Jones Retains BB- Senior Unsecured Ratings CONNECTICARE INC: A.M. Best Withdraws C (Weak) Fin. Strength Rating CONSOLIDATED COMMUNICATIONS: Egan-Jones Retains CCC+ Unsec. Ratings CONTRACT MANAGED: Gets Interim OK to Use Cash Collateral Until July CONVERGINT TECHNOLOGIES: Moody's Assigns 'B3' CFR, Outlook Stable CORIZON HEALTH: Berryman Case Can Proceed Against Two Ex-Employees CORNERSTONE HOME: Claims to be Paid from Asset Sale Proceeds COVE CASTLES: Unsecureds Will Get 7.78% in Liquidating Plan CRESCENT ENERGY: Moody's Rates New Senior Unsecured Notes 'B1' CROWN HOLDINGS: Egan-Jones Retains BB Senior Unsecured Ratings CURRY & CURRYS: Seeks to Hire Hixson Law Group as Legal Counsel D&J POOL: Zelaya Loses Bid for Default Judgment in SCP, et al. Case DAJ 1500 PINE: Secured Party Sets July 22 Auction DATASITE INT'L: Moody's Assigns 'B2' CFR, Outlook Stable DC VENTURES: Gets Extension to Access Cash Collateral DEL MONTE: Weighs Ch. 11 Filing That May Lead to Creditor Takeover DELTA AIR: Egan-Jones Retains BB Senior Unsecured Ratings DIAMOND ELITE: Hires Guidant Law PLC as Bankruptcy Counsel DOMINO'S PIZZA: Egan-Jones Retains BB- Senior Unsecured Ratings DON ENTERPRISES: Hires J. Martin & Associates LLC as Accountant DPL LLC: Fitch Hikes LongTerm IDR to 'BB+', Outlook Stable DYNASTY SONG: Seeks Subchapter V Bankruptcy in California E.F. MARKETING: Seeks to Hire Edward Bajec as Sales Agent ECI PHARMA: Court Dismisses Acute's Two Bankruptcy Appeals EDGEWELL PERSONAL: Egan-Jones Retains B Senior Unsecured Ratings EL DORADO: Trustee Taps Murphy Ball as Appellate Counsel ELLIE LANE: Gets Extension to Access Cash Collateral ELLINGSWORTH RESIDENTIAL: 11th Cir. Affirms Ruling on Guan Claims EPIC CRUDE: S&P Assigns 'BB-' Rating on Senior Secured Term Loan B ESSENTIALS MASSAGE: Gets Interim OK to Use Cash Collateral ESSEX REAL: Objections to Proposed Estate Distribution Overruled EXTREME PROFITS: Taps Florida Bankruptcy Group LLC as Attorney FIBERCO GENERAL: Unsecureds Will Get 20% of Claims over 60 Months FIELDWOOD: Altantic's LOWLA Privileges Not Extinguished by Plan FINLEY DESIGN: Hearing to Use Cash Collateral Set for July 30 FISERV INC: Egan-Jones Retains BB+ Senior Unsecured Ratings FORREST MACHINING: Los Angeles Waterkeeper Consent Decree Okayed FTX TRADING: Prelim. Injunction OK'd vs. Former Exec Salame FULLER INVESTMENT: Court Denies Bid to Prohibit Cash Collateral Use GEORGIA VASCULAR: Taps Pine Mountain Capital as Accountant GLOBAL NET LEASE: S&P Upgrades ICR to 'BB+' on Debt Reduction GLOBAL PROCESSING: Denial of Larson's Indemnification Claim Upheld GOLDEN TEMPLE: Voluntary Chapter 11 Case Summary GOLDNER CAPITAL: Has Until August 31 to Confirm Chapter 11 Plan GOOD LIFE: Seeks to Hire Keith Y. Boyd P.C. as Counsel GPD COMPANIES: S&P Raises ICR to 'CCC+' on Debt Exchange GREEN TERRACE: Trustee Taps Bast Amron LLP as Legal Counsel GREENE FAMILY: Gets Interim OK to Use Cash Collateral GREENPOINT TACTICAL: Disallowance of Ballard Spahr's Claim Affirmed H & H FAST: Toorak Wins Bid to Enforce Guaranty Claim Settlement HADLOCK ENTERPRISES: Gets Interim OK to Use Cash Collateral HAVOC BREWING: Court Extends Cash Collateral Access to July 20 HEIFER PLEASE: Hires Jennings and Messer P.C. as General Counsel HELIX ENERGY: Egan-Jones Hikes Senior Unsecured Ratings to B- HFZ EAST 51ST: Halcyon Condos Up for Auction on July 23 HIGH TECH: Moody's Affirms Ba1 Rating on Series 2017A Revenue Bonds HIGHER GROUND: Pursues Approval for Restructuring Agreement HILTON WORLDWIDE: Egan-Jones Retains BB Senior Unsecured Ratings HO WAN KWOK: Court Narrows Claims in Lamp, et al. Adversary Case HONOLULU SPINE: Gets OK to Use Cash Collateral Until Aug. 31 HOOPERS DISTRIBUTING: Gets Extension to Access Cash Collateral HUDSON PACIFIC: Fitch Lowers LongTerm IDR to 'B+', Outlook Stable HUNTINGTON GLEN: Voluntary Chapter 11 Case Summary IAMGOLD CORP: Egan-Jones Hikes Senior Unsecured Ratings to BB INNOVATIVE DESIGNS: Posts $204,189 Net Income in Fiscal Q2 INTERNATIONAL GAME: Egan-Jones Retains B+ Senior Unsecured Ratings IOK TECHNOLOGY: Gets Interim OK to Use Cash Collateral IPA ASSET: Voluntary Chapter 11 Case Summary IRIDIUM COMMUNICATIONS: Egan-Jones Retains B- Unsec. Ratings J.B. POINDEXTER: Moody's Affirms 'B1' CFR, Outlook Remains Stable JACK IN THE BOX: Egan-Jones Retains B- Senior Unsecured Ratings JAL HOLDINGS: Seeks to Hire Weiss Law Group LLC as Counsel JAW 2 INVESTMENT: Secured Party Sets July Auction for LLC Interests JEFFERIES GROUP: Egan-Jones Retains BB+ Senior Unsecured Ratings JND TROPICS: Files Emergency Bid to Use Cash Collateral JND TROPICS: Hires Michael W. Carmel Ltd. as Bankruptcy Counsel JOHNSON PHARMACY: Court OKs Limited Use of Cash Collateral JUBILEE HILLTOP: Case Summary & 20 Largest Unsecured Creditors KIDDE-FENWAL INC: Disclosure Statement Objections Overruled KLE EQUIPMENT: Seeks to Use Cash Collateral KPOWER GLOBAL: Frost Brown Advises Plymouth Landlord Entities KPOWER GLOBAL: Seeks to Hire Payne Law Firm as Counsel LAS VEGAS 0ILPK: Taps HomeSmart Encore Las Vegas as Realtor LEGETT & PLATT: Egan-Jones Retains BB Senior Unsecured Ratings LEISURE INVESTMENTS: Ex-CEO Fined $10K a Day in Conflict w/ Lenders LFS TOPCO: Moody's Rates New $400MM Senior Unsecured Notes 'B1' LGI HOMES: Moody's Lowers CFR to Ba3 & Alters Outlook to Negative LIKEWIZE CORP: Moody's Alters Outlook on 'B3' CFR to Negative LITTLE MINT: Gets Interim OK to Use Cash Collateral Until July 31 MARIA SOCORRO LUGO: San Juan Property Not Part of Bankruptcy Estate MARIETTA AREA HEALTH: Fitch Lowers IDR to 'B', Outlook Stable MARRA AIR: Gets OK to Use Cash Collateral Until July 16 MARS INTERMEDIATE: S&P Lowers ICR to 'CCC+' on Thinning Liquidity MASS POWER: Gets Interim OK to Use Cash Collateral Until July 10 MAVENIR SYSTEMS: Moody's Withdraws 'Caa3' Corporate Family Rating MBIA INC: Egan-Jones Retains CCC- Senior Unsecured Ratings MCCLAIN FAMILY: Seeks to Hire Golden Goodrich as General Counsel MEYER BURGER: Case Summary & 20 Largest Unsecured Creditors MEYER BURGER: Gets OK to Access $10MM DIP to Finance Chap. 11 Sale MEYER BURGER: U.S. Units File for Chapter 11 to Find Buyer MICHAEL S. BUTLER: Secured Party to Hold Public Auction on July 9 MID-COLORADO INVESTMENT: Taps MacDougall & Woldridge as Counsel MILWAUKEE FORGE: Faces Closure, Mass Layoffs MIMOSAS A CALI: Gets Interim OK to Use Cash Collateral MIRACLE RESTAURANT: Court Denies Bid to Use Cash Collateral MOFUS DOMUS: Case Summary & Three Unsecured Creditors MORVATT ENTERPRISES: Trustee Seeks to Taps Title Examiner MOSAIC SUSTAINABLE: U.S. Trustee Appoints Creditors' Committee NAOTA HASHIMOTO: Hires HomeSmart Encore Las Vegas as Realtor NATIONAL FOOD: Seeks Cash Collateral Access NATURAL STATE: Case Summary & 12 Unsecured Creditors NBA PROPERTIES: Hires Ure Law Firm as Bankruptcy Counsel NETCAPITAL INC: Issues Options, Forms Crypto and Gaming Boards NETCAPITAL INC: Raises $475K via Private Placement NEW EARTH: Gets Interim OK to Use Cash Collateral NEW JERSEY ORTHOPAEDIC: Updates Restructuring Plan Disclosures NOAHCO LLC: Seeks Chapter 11 Bankruptcy in California NOGIN COMMERCE: Assignee Loses Bid to Dismiss Chapter 7 Case NORTEX REDIMIX: Gets OK to Use Cash Collateral Until July 11 NUMALE CORP: Trustee Taps McAfee & Taft as Special Counsel NV FREIGHT: Seeks Chapter 11 Bankruptcy in Illinois ODS INC: Seeks to Hire Lex Nova Law LLC as Bankruptcy Counsel OFFICE DEPOT: Egan-Jones Retains BB- Senior Unsecured Ratings OFFICE PROPERTIES: Registers 2M Shares Under Amended Equity Plan ONESOURCE COMMUNITY: Hires Jennifer J. Jones as Accountant OSTENDO TECHNOLOGIES: Seeks Chapter 11 Bankruptcy in California OVERSEAS SHIPHOLDING: Egan-Jones Withdraws B Sr. Unsecured Ratings PALMETTO SURETY: A.M. Best Affirms B(Fair) FS Rating PARK HOTELS: Egan-Jones Retains BB Senior Unsecured Ratings PAW ORIGINS: Gets Interim OK to Use Cash Collateral PEGASUS BUILDERS: Hires GGG Partners LLC as Financial Advisor PEGGY NESTOR: Loses Bid to Dismiss Chapter 11 Bankruptcy Case PEGGY NESTOR: Loses Bid to Dismiss Greenspan Adversary Case PHB 2023: To Sell Sebring Homes to Elron LLC for $2.4MM PLAYHOUSE SQUARE: S&P Affirms 'BB+ Rating on 2018 Revenue Bond PRECISION CASTPARTS: Egan-Jones Retains B+ Sr. Unsecured Ratings PRIMARY PRODUCTS: $70MM Loan Upsize No Impact on Moody's 'B2' CFR PROJECT PIZZA LLC: Gets Final OK to Use Cash Collateral PROJECT PIZZA: Hires Boos & Associates as Accounting Consultant PROJECT PIZZA: Taps Boos & Associates PC as Financial Consultant PROSPECT MEDICAL: Hires Centurion Service as Auction Consultant RADIOLOGY PARTNERS: Moody's Rates New $390MM First Lien Loans 'B2' RADIX HAWK: Court Extends Cash Collateral Access to July 17 RAFTER H FARM: Hires Rochelle McCullough as Bankruptcy Counsel REGAL RECOVERY: Secured Party Sets July 8 Auction RELIANT LIFE: G. Douglas, M. Foland Out as Committee Members RHODIUM ENCORE: Objects to Bankruptcy Release Provisions RITE AID: Creditors Object to $1.9B Bankruptcy Loan Potential Risks RITE AID: Lands $19.2MM Offer for Thrifty Ice Cream Brand RITHUM HOLDINGS: Moody's Raises CFR to 'B3' Following Refinancing ROGUE SMOOTHIES: Case Summary & Six Unsecured Creditors SAFE & GREEN: Faces Nasdaq Delisting for Bid Price Non-Compliance SAKS GLOBAL: Reaches $600MM Debt Deal with Lenders SAMYS OC: Loses Bid for Joint Administration of Bankruptcy Cases SANCTUARYSPA INC: Seeks to Use Cash Collateral SANDY HILLS: Hires Weinberg Gross & Pergament LLP as Attorney SCARFE WHISPERS: Hires Mickler & Mickler LLP as Counsel SCARLET KITCHEN: Gets OK to Use Cash Collateral Until July 16 SHUBREW LLC: Seeks to Hire Wilke CPAs & Advisors as Accountant SKY GARDEN'S: Hilco to Sell Miami Beach Development Site SLM SERVICES: Seeks Subchapter V Bankruptcy in Connecticut SOLLIO COOPERATIVE: DBRS Gives BB(high) Issuer Rating SONOCO PRODUCTS: Egan-Jones Retains BB+ Senior Unsecured Ratings SOUND VISION: Seeks Chapter 11 Bankruptcy in New York SOUTH BROADWAY: Trustee Taps Joseph A. Broderick as Accountant SOUTH TEXAS: Gets Interim OK to Use Cash Collateral Until July 23 SOUTH TEXAS: Hires Lane Law Firm as Bankruptcy Counsel SOUTH TEXAS: Taps Omar Garcia of Secure Plus as CFO SOUTHWEST GAS: Egan-Jones Hikes Senior Unsecured Ratings to BB+ STAFFING MANAGEMENT: Case Summary & 12 Unsecured Creditors STARKS LAW: Lender Seeks to Prohibit Cash Collateral Access STERNE WOOD: Hires Law Office of Donald W. Reid as Counsel STOLI GROUP: Gets Extension to Access Cash Collateral STONE DELUXE: Hires DiMarco Warshaw APLC as Counsel STONEX GROUP: Egan-Jones Retains B+ Senior Unsecured Ratings STORMS FAMILY: Hires Susan D. Lasky PA as Bankruptcy Counsel SUNSET PALM: Section 341(a) Meeting of Creditors on July 17 SUNSTONE DEVELOPMENT: Taps Coldwell Banker Commercial as Broker SVB FINANCIAL: Three Motions to Dismiss Securities Case Tossed TELUS CORP: Egan-Jones Retains BB+ Senior Unsecured Ratings TERRA LAKE: Gets Interim OK to Use Cash Collateral Until July 15 THUNDER INTERNATIONAL: Gets Interim OK to Use Cash Collateral TIDEWATER INC: Moody's Assigns 'B2' CFR, Outlook Stable TITAN ENVIRONMENTAL: Signs $35M Acquisition LOI With Windtree TITAN INT'L: Moody's Alters Outlook on B1 CFR to Negative TOP MOBILITY: Case Summary & 20 Largest Unsecured Creditors TRAVEL + LEISURE: Moody's Affirms 'Ba3' CFR, Outlook Stable TRIANGLE 40 RANCH: Hires Whitaker Chalk Swindle as Counsel TRIPLETT FUNERAL: Trustee Hires Fiducial Business as Bookkeeper TRONOX LIMITED: Egan-Jones Retains B+ Senior Unsecured Ratings TW MEDICAL: Seeks Cash Collateral Access Until Oct. 31 UNITED CONSTRUCTION: Hires Landrau Rivera & Assoc. as Counsel UNIVERSAL DESIGN: Gets Interim OK to Use Cash Collateral USA STAFFING: Case Summary & 16 Unsecured Creditors VALKEN INC: Case Summary & 20 Largest Unsecured Creditors VAN SCOIT: VS Group Unsecureds to Split $150K over 5 Years VAN'S EQUIPMENT: Case Summary & 19 Unsecured Creditors VERINT SYSTEMS: Egan-Jones Retains BB+ Senior Unsecured Ratings VERRICA PHARMA: Lenders Waive Going Concern Clause in Credit Deal VICARA GROUP: Seeks to Hire Demarco Mitchell as Counsel VOLTZ INC: Case Summary & 20 Largest Unsecured Creditors VSM PROPERTIES: Seeks to Hire Tarpy Cox Fleishman as Counsel WELLPATH HOLDINGS: Court Lifts Stay, Reopens Belton Prisoner Case WELLPATH HOLDINGS: Loses Bid to Dismiss McGinnis Civil Rights Case WELLPATH: LBBS Wins Bid to Withdraw as Counsel in O'Neil Case WENER FINCO: Moody's Withdraws 'Caa1' Following Debt Repayment WHITE CAP: Moody's Affirms 'B2' CFR & Alters Outlook to Negative WHITESTONE CROSSING: Hearing to Use Cash Collateral Set for July 1 WOODHILL NC: Seeks to Hire Buckmiller & Frost PLLC as Counsel WOODMAN INVESTMENT: Has Deal on Cash Collateral Access WW INTERNATIONAL: Shareholders Reelect Board, Reject Exec Pay Plan YELLOW CORP: Seeks to Hire ASK LLP as Special Counsel ZEN JV: June 30 Deadline for Panel Questionnaires ZEN JV: Seeks Chapter 11 Bankruptcy in Delaware ********* 12033 LLC: Taps Joshua R. Bronstein & Associates as Counsel ----------------------------------------------------------- 12033 LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to hire Joshua R. Bronstein & Associates PLLC as counsel. The firm's services include: a. analysis of the financial situation, and rendering advice and assistance to the Debtor under Chapter 11 of the Bankruptcy Code; b. preparation and filing of the petition, schedules, statement of financial affairs and other documents required by the court; c. representation of the Debtor in Court and any meetings; d. preparation of motions, documents, and applications in connection with the case; and e. provision of legal advice to the Debtor in connection with all matters pending before the Court. Bronstein's billing rates are as follows: Joshua Bronstein $350 per hour The firm received a retainer from the Debtor in the amount of $2,500. Joshua R. Bronstein & Associates PLLC is a disinterested person within the meaning of Sec. 101(14) of the Bankruptcy Code, according to court filings. The firm can be reached through: Joshua R Bronstein, Esq. Joshua R. Bronstein & Associates, PLLC 114 Soundview Drive, Port Washington, NY 11050 Tel: (516) 698-0202 Email: jbrons5@yahoo.com About 12033 LLC 12033 LLC sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-43694) on September 6, 2024, listing $500,001 to $1 million in both assets and liabilities. Judge Jil Mazer-Marino presides over the case. Joshua R Bronstein, Esq. at The Law Offices Of Joshua R. Bronstein & Associates, PLLC. 1575 GALENA: Seeks Chapter 11 Bankruptcy in Colorado ---------------------------------------------------- On June 24, 2025, 1575 Galena LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the District of Colorado. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About 1575 Galena LLC 1575 Galena LLC is a single-asset real estate debtor, as defined in 11 U.S.C. Section 101(51B). 1575 Galena LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Col.Case No. 25-13853) on June 24, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Kimberley H. Tyson handles the case. The Debtors are represented by Jeffrey A. Weinman, Esq. at ALLEN VELLONE WOLF HELFRICH & FACTOR, P.C. 3M CO: Firefighters Exposed to Toxic Chemicals, Rafol Suit Says --------------------------------------------------------------- WENCESLAO RAFOL, individually and on behalf of all others similarly situated, Plaintiff v. 3M COMPANY (f/k/a Minnesota Mining and Manufacturing Company); AGC CHEMICALS AMERICAS INC.; ARKEMA, INC.; BASF CORPORATION; BUCKEYE FIRE EQUIPMENT COMPANY; CARRIER GLOBAL CORPORATION; CHEMDESIGN PRODUCTS, INC.; CHEMGUARD, INC.; CHEMICALS, INC.; CLARIANT CORPORATION; CORTEVA, INC.; DEEPWATER CHEMICALS, INC.; DUPONT DE NEMOURS, INC. (f/k/a DOWDUPONT, INC.); DYNAX CORPORATION; E.I. DU PONT DE NEMOURS AND COMPANY, individually and as successor in interest to DuPont Chemical Solutions Enterprise; NATION FORD CHEMICALCOMPANY; NATIONAL FOAM, INC.; THE CHEMOURS COMPANY, individually and as successor in interest to DuPont Chemical Solutions Enterprise; THE CHEMOURS COMPANY FC, LLC, individually and as successor in Interest to DuPont Chemical Solutions Enterprise; TYCO FIRE PRODUCTS L.P.; UTC FIRE & SECURITY AMERICAS CORPORATION, INC., Defendants, Case No. 2:25-cv-04075-RMG (D.S.C., May 15, 2025) is an action for damages for personal injury resulting from exposure to aqueous film-forming foams ("AFFF") containing the toxic chemicals collectively known as per and polyfluoroalkyl substances ("PFAS"). PFAS includes, but is not limited to, perfluorooctanoic acid ("PFOA") and perfluorooctane sulfonic acid ("PFOS") and related chemicals including those that degrade to PFOA and/or PFOS. According to the complaint, the Defendants collectively designed, marketed, developed, manufactured, distributed, released, trained users, produced instructional materials, promoted, sold, and/or otherwise released into the stream of commerce AFFF with knowledge that it contained highly toxic and bio persistent PFASs, which would expose end users of the product to the risks associated with PFAS. Further, defendants designed, marketed, developed, manufactured, distributed, released, trained users, produced instructional materials, promoted, sold and/or otherwise handled and/or used underlying chemicals and/or products added to AFFF which contained PFAS for use in firefighting. PFAS are highly toxic and carcinogenic chemicals. Defendants knew, or should have known, that PFAS remain in the human body while presenting significant health risks to humans. The Defendants' PFAS-containing AFFF products were used by the Plaintiff in their intended manner, without significant change in the products' condition. Plaintiff was unaware of the dangerous properties of the Defendants' AFFF products and relied on the Defendants' instructions as to the proper handling of the products. Plaintiff's consumption, inhalation and/or dermal absorption of PFAS from Defendant's AFFF products caused Plaintiff to develop the serious medical conditions and complications. 3M Company conducts operations in electronics, telecommunications, industrial, consumer and office, health care, safety, and other markets. The Company businesses share technologies, manufacturing operations, marketing channels, and other resources. 3M serves customers worldwide. [BN] The Plaintiff is represented by: Tessa G. Cuneo, Esq. Alexandra W. Robertson, Esq. ASK LLP 2600 Eagan Woods Drive, Suite 400 St. Paul, MN 55121 Telephone: (651) 406-9665 Facsimile: (651) 406-9676 Email: tcuneo@askllp.com arobertson@askllp.com ADVANCE COMPANIES: Gets Final OK to Use Cash Collateral ------------------------------------------------------- Advance Companies, Inc. received final approval from the U.S. Bankruptcy Court for the District of Minnesota to use cash collateral until September 30. The final order authorized the Debtor to utilize the cash collateral of its secured creditors, including Liquidity Access, LLC, FYM Capital, LLC, and Canfield Capital, LLC to pay its expenses. The secured creditors assert a lien on all assets of the Debtor on account of the loans made to the Debtor. These assets include cash and receivables, which constitute the secured creditors' cash collateral. As protection for the Debtor's use of their cash collateral, the secured creditors will be granted replacement liens on inventory, accounts, equipment, and general intangibles acquired by the Debtor after the petition date, maintaining the same priority as their pre-bankruptcy liens. The replacement liens do not apply to any Chapter 5 causes of action. As additional protection to secured creditors, the Debtor was ordered to keep its assets insured. About Advance Companies Inc. Advance Companies Inc. is a family-owned restoration and remodeling contractor based in Fridley, Minnesota. The company serves the Minneapolis-St. Paul area, specializing in water and fire damage restoration, mold remediation, and remodeling projects. It holds contractor licensing and certifications, offering services including emergency board-up and insurance claim assistance. Advance Companies sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Minn. Case No. 25-41603) on May 18, 2025. In its petition, the Debtor reported total assets of $98,837 and total liabilities of $1,515,858. Judge William J. Fisher handles the case. The Debtor is represented by John D. Lamey III, Esq., at Lamey Law Firm, P.A. AGUA VIVA: Gets Interim OK to Use Cash Collateral ------------------------------------------------- Agua Viva Ranch, LLC and Texas Star Land Works, LLC received interim approval from the U.S. Bankruptcy Court for the Western District of Texas, Austin Division, to use cash collateral, which consists of revenue generated by their construction business. The court's order authorized the Debtors to use cash collateral to pay up to 110% of each individual expense in their respective budgets so long as the total of cash collateral spent during the month does not exceed 5% of the total budget. The 30-day budget shows total projected cash disbursements of $173,162. As protection, creditors with interest in the cash collateral will be granted replacement liens on cash collateral generated and property acquired by the Debtors after the petition date, with the same extent, validity and priority as their pre-bankruptcy liens. The replacement liens do not apply to any Chapter 5 causes of action. A final hearing will be held on July 24. The Debtors are subject to numerous Uniform Commercial Code lien filings from secured creditors including Deere & Company, Caterpillar Financial, Kubota Credit, PNC Bank, and others—primarily for equipment and in some cases, all assets. In contrast, Texas Star Land Works, LLC has no UCC filings as of June 12. The Debtors request authority to use cash collateral to pay for operating expenses as outlined in the 14-day and 30-day budgets, as well as for any unforeseeable expenses necessary to maintain operations. They seek permission to use up to 110% of each budgeted line item, so long as the total monthly use of cash collateral does not exceed the budget by more than 5%. The funds would be sourced from ongoing revenue generated by the construction business and deposited into a Debtor-in-Possession account pending further court authorization or consent from secured creditors. A copy of the motion is available at https://urlcurt.com/u?l=3lYKO0 from PacerMonitor.com. About Agua Viva Ranch, LLC Agua Viva Ranch, LLC operates a construction company. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tex. Case No. 25-10927-smr) on June 19, 2025. In the petition signed by Jeremy Curry, chief executive officer, the Debtor disclosed up to $10 million in both assets and liabilities. Robert C Lane, Esq., at The Lane Law Firm, represents the Debtor as legal counsel. AIMCO APARTMENT: Egan-Jones Retains BB+ Senior Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on June 4, 2025, maintained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Aimco Apartment Investment and Management Company. Headquartered in Denver, Colorado, Aimco Apartment Investment and Management Company operates as a real estate investment trust. AIR CANADA: Egan-Jones Retains B Senior Unsecured Ratings --------------------------------------------------------- Egan-Jones Ratings Company on June 18, 2025, maintained its 'B' foreign currency and local currency senior unsecured ratings on debt issued by Air Canada. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Montreal, Canada, Air Canada provides domestic and international carrier service. ALC ENGINEERED: Unsecureds Will Get 19.87% of Claims over 3 Years ----------------------------------------------------------------- ALC Engineered Solutions LLC filed with the U.S. Bankruptcy Court for the Western District of Missouri a Plan of Reorganization for Small Business dated June 12, 2025. Under the name Kluhsman Machine, the Debtor designs, develops, manufactures, and ships components to various industries including the defense industry, aerospace, and NASCAR. The Debtor was formed August 25, 2022. In October 2022, it obtained A Small Business Administration (SBA) loan for $2,700,000 through Fund-Ex Solutions Group, LLC. Of those funds borrowed, $2,060,000 was dedicated to purchase the business, with the remaining amounts serving as operating capital and payment of guaranty fees and closing costs. The Debtor experienced a productive 20023 but a slower than expected 2024, with gross receipts trailing off. Since the filing of this case, the Debtor has finally seen a reversal of these losses, with revenues rising and costs coming under control. The Debtor was compelled by depressed 2024 receipts to evaluate what assets were necessary, what assets needed to be modernized or replaced, and how to obtain contracts to ensure steady revenue and enough cash flow to obtain large quantities of lead and other components at a bulk price. The Debtor has largely been able to do so following its bankruptcy filing, including a large component purchase in April 2025 to allow for increased production and sales. The Debtor's Plan will contain three classes of voting creditors: the first will consist of Always.Bank, the successor to Fund-Ex, the Debtor’s sole secured debt and its largest creditor by far. The second class will contain the Missouri Department of Revenue priority claim. The last class will consist of general unsecured creditors, including unsecured portions of claims from Always.Bank and the Missouri Department of Revenue. The Missouri Department of Revenue claim will be paid in full. The general unsecured creditors will receive a modest dividend to encourage votes in favor of this plan. The majority of the payments, especially following the lump sum payment of Subchapter V Trustee fees, will be devoted to Always.Bank as the Debtor explores refinancing options to allow it to complete its bankruptcy plan and provide a payoff to Always.Bank. The Debtor projects this plan to be a 3-year plan. Class 3 consists of General Unsecured Claims. This Class shall receive a payment of $2,000/month pro rata from October 1, 2025 to September 1, 2028. This Class will receive a distribution of 19.87% of their allowed claims. General Unsecured Class consists of the following creditors: ODK Capital, $95,667.68 (Claim #1); TCM Bank, $25,254.51 (Claim 2); American Express, $34,083.55 (Claim 3); American Express, $4154.46 (Claim 4); US Bank, $10,327.20 (Claim 5); Chase, $35,427.59 (Claim 6); Verizon, $2532.96 (Claim 7); Bayfirst Bank, $149,482.16 (Claim 9); Missouri Department of Revenue, $620.40 (Unsecured portion of Claim 8); Always.Bank, $4868.93 deficiency claim (Claim #10) as well as the following creditors who were scheduled by the Debtor but did not file a claim: The Missouri Bank, $26,271.13 (no claim filed). Members will retain their membership interest in the LLC. The Members will not receive a ballot to vote on this Plan. The Debtor does not expect any liquidation of assets or other major funding events outside of the ordinary course of business. The Debtor intends to use its monthly surplus to fund its Plan, until such time as it. The Debtor must submit all or such portion of the future earnings or other future income of the Debtor to the supervision and control of the Trustee as is necessary for the execution of the Plan. A full-text copy of the Plan of Reorganization dated June 12, 2025 is available at https://urlcurt.com/u?l=Ze5lIb from PacerMonitor.com at no charge. Counsel to the Debtor: Ryan A. Blay, Esq. WM Law 15095 W. 116th St. Olathe, KS 66062 Telephone: (913) 422-0909 Facsimile: (913) 428-8549 Email: blay@wagonergroup.com About ALC Engineered Solutions Founded in 1983, ALC Engineered Solutions, LLC (doing business as Kluhsman Machine) is a custom machining company based in Lockwood, Mo., specializing in precise manufacturing across a variety of sectors. ALC filed Chapter 11 petition (Bankr. W.D. Mo. Case No. 25-60147) on March 14, 2025, listing up to $50,000 in assets and up to $10 million in liabilities. Ryan Wheeler, co-owner and chief executive officer of ALC, signed the petition. Judge Brian T. Fenimore oversees the case. Ryan A. Blay, Esq., at WM Law, PC, represents the Debtor as bankruptcy counsel. ALLIANCE FARM: Committee Hires Dykema Gossett PLLC as Counsel ------------------------------------------------------------- The official committee of unsecured creditors of Alliance Farm and Ranch, LLC and its affiliates seeks approval from the U.S. Bankruptcy Court for the Southern District of Texas to employ Dykema Gossett, PLLC as counsel. The firm will provide these services: a. advise the Committee with respect to its rights, duties, and powers in this Case; b. participate in in-person and telephonic meetings of the Committee and subcommittees formed thereby, if any; c. assist and advise the Committee in its meetings and negotiations with the Trustee and other parties in interest regarding the chapter 11 Case; d. assist the Committee in analyzing claims asserted against, and interests in, the Debtors, and in negotiating with the holders of such claims and interest and bringing, or participating in, objections or estimation proceedings with respect to such claims and interests; e. assist the Committee in analyzing the Debtors' assets and liabilities, including in its review of the Debtor's Schedules of Assets and Liabilities, Statements of Financial Affairs, and other reports prepared by the Debtor, investigating the extent and validity of liens and participating in and reviewing any proposed transfer, sale, or disposition of the Debtors' assets, financing arrangements, and cash collateral stipulations or proceedings; f. assist the Committee in its investigation of the acts, conduct, assets, liabilities, management, and financial conditions of the Debtors, the Debtors' historic and ongoing operations of its business, and any other matters relevant to the chapter 11 Case; g. assist the Committee in its analysis of, and negotiations with the Debtors or any third party related to, financing, asset disposition transactions, and compromises of controversies, reviewing and determining the Debtors' rights and obligations under leases and executory contracts, and assisting, advising, and representing the Committee in any manner relevant to the assumption and rejection of executory contracts and unexpired leases; h. assist the Committee in its analysis of, and negotiations with, the Debtors or any third party related to, the formulation, confirmation, and implementation of a chapter 11 plan and all documentation related thereto (including the disclosure statement); i. assist, advise, and represent the Committee in understanding its powers and duties under the Bankruptcy Code and the Bankruptcy Rules and in performing other services as are in the interests of those represented by the Committee; j. assist and advise the Committee with respect to communications with the general creditor body regarding significant matters in the Case; k. respond to inquiries from individual creditors as to the status of, and developments in, the Case; l. represent the Committee at hearings and other proceedings before the Court and other courts or tribunals, as appropriate; m. review and analyze complaints, motions, applications, orders, and other pleadings filed with the Court, and advise the Committee with respect to formulating positions with respect, and filing responses, thereto; n. assist the Committee in its review and analysis of, and negotiations with the Debtors and their non-Debtor affiliates related to intercompany claims and transactions; o. review and analyze third-party analyses and reports prepared in connection with the Debtors' potential claims and causes of action, advise the Committee with respect to formulating positions thereon, and perform such other diligence and independent analysis as may be requested by the Committee; p. advise the Committee with respect to applicable federal and state regulatory issues, as such issues may arise in the Case; q. assist the Committee in preparing pleadings and applications, and pursuing or participating in adversary proceedings, contested matters, and administrative proceedings as may be necessary or appropriate in furtherance of the Committee's duties; r. take all necessary or appropriate actions as may be required in connection with the administration of the Debtors' estates, including with respect to a chapter 11 plan and related disclosure statement; and s. perform such other legal services as may be necessary or as may be requested by the Committee in accordance with the Committee's powers and duties as set forth in the Bankruptcy Code. The firm will be paid at these rates: William Hotze $675 per hour Nicholas Zugaro $630 per hour In addition, the firm will seek reimbursement for its out-of-pocket expenses. Mr. Hotze disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: William Hotze, Esq. Dykema Gossett, PLLC 5 Houston Center 1401 McKinney Street, Suite 1625 Houston, TX 77010 Tel: (713) 904-6900 E-mail: whotze@dykema.com About Alliance Farm and Ranch, LLC Alliance Farm and Ranch, LLC filed voluntary Chapter 7 petition (Bankr. S.D. Texas Case No. 25-30155) on January 7, 2025, listing between $1 million and $10 million in both assets and liabilities. On March 19, 2025, the case was converted to one under Chapter 11. Alliance Energy Partners LLC, a directional drilling service provider in Spring, Texas, filed Chapter 11 petition (Bankr. S.D. Tex. Case No. 25-31937) on April 7, 2025. In its petition, Alliance Energy Partners reported total assets of $1 million and total liabilities of $2,614,465. On April 23, 2025, the court ordered the joint administration of the Debtors' Chapter 11 cases. Judge Alfredo R. Perez oversees the cases. The Debtors are represented by Okin Adams Bartlett Curry, LLP. AMBASSADOR VETERANS: Taps Vilarino & Associates as Legal Counsel ---------------------------------------------------------------- Ambassador Veterans Services of Puerto Rico LLC seeks approval from the U.S. Bankruptcy Court for the District of Puerto Rico to hire Vilarino & Associates, LLC as counsel. The firm will provide these services: (a) advise the Debtor concerning its duties, powers, and responsibilities; (b) advise the Debtor in connection with a determination whether reorganization is feasible; (c) assist the Debtor concerning negotiations with creditors to propose and confirm a viable plan of reorganization; (d) prepare, on behalf of the Debtor, the necessary legal papers or documents; (e) appear before the bankruptcy court, or any court in which the Debtor asserts a claim interest or defense directly or indirectly related to this bankruptcy case; (f) perform such other legal services for the Debtor as may be required in these proceedings or in connection with the operation and involvement with its business; and (g) employ other professional services, if necessary. The firm will be paid at these rates: Javier Villarino, Attorney $325 per hour Associates $250 per hour Paralegals $150 per hour In addition, the firm will seek reimbursement for expenses incurred. The firm received a retainer in the amount of $22,262. Mr. Villarino disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Javier Villarino, Esq. Villarino & Associates LLC P.O. Box 9022515 San Juan, PR 00902 Tel: (787) 565-9894 Email: jvillarino@vilarinolaw.com About Ambassador Veterans Services of Puerto Rico LLC Ambassador Veterans Services of Puerto Rico LLC operates a nursing and intermediate care facility for veterans in Juana Diaz, Puerto Rico. The Company provides residential healthcare services to eligible veterans at its location in Barrio Amuelas. Ambassador Veterans Services of Puerto Rico LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.P.R. Case No. 25-02690) on June 13, 2025. In its petition, the Debtor reports total assets of $2,567,403 and total liabilities of $4,068,135. The Debtors are represented by Javier Vilarino, Esq. at VILARINO AND ASSOCIATES LLC. AMERICA'S GARDENING: June 30 Deadline for Panel Questionnaires -------------------------------------------------------------- The United States Trustee is soliciting members for committee of unsecured creditors in the bankruptcy cases of America's Gardening Resource Inc., et al. If a party wishes to be considered for membership on any official committee that is appointed, it must complete a questionnaire available at https://tinyurl.com/yfhdeu8t and return by email it to Hannah McCollum -- Hannah.McCollum@usdoj.gov -- at the Office of the United States Trustee so that it is received no later than Monday, June 30, 2025 at 4:00 p.m. Eastern Time. If the U.S. Trustee receives sufficient creditor interest in the solicitation, it may schedule a meeting or telephone conference for the purpose of forming a committee. About America's Gardening Resource Inc. America's Gardening Resource Inc. develops, manufactures, and distributes gardening products and eco-friendly equipment through direct-to-consumer, retail, and wholesale channels across the United States. Operating under the Gardener's Supply brand, the Company serves home gardeners with tools, supplies, and resources tailored to diverse climates and growing conditions. America's Gardening Resource Inc. and its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 25-11180) on June 20, 2025. In the petition, the Debtors reported estimated assets of $1 million to $10 million and estimated liabilities of $10 million to $50 million. Honorable Bankruptcy Judge Brendan Linehan Shannon handles the case. The Debtors are represented by Patrick J. Reilley, Esq., Jack M.Dougherty, Esq., Gary H. Leibowitz, Esq., H.C. Jones III, Esq., and J. Michael Pardoe, Esq. at Cole Schotz P.C. Tower Partners is the Debtors' investment banker. Aurora Management Partners is the Debtors' chief restructuring officer. AMERICAN 24: Seeks Cash Collateral Access ----------------------------------------- American 24, LLC asked the U.S. Bankruptcy Court for the District of Arizona for authority to use cash collateral and provide adequate protection to creditors Brian Fuller and Alliance Financial Resources, LLC. The Debtor owns and operates several rental properties and aims to maintain operations while reorganizing its debts and ultimately paying all allowed claims in full. The Debtor requested approval to use rental income generated from three properties located at 1820 E. Jasmine Circle, 2064 N. Maple Circle, and 1453 E. Ivyglen Street in Mesa, Arizona, to pay necessary property-related expenses and service mortgage debt owed to Fuller and AFR. The Debtor proposed that Fuller and AFR receive adequate protection in the form of replacement liens on their respective collateral to account for any potential diminution in value during the bankruptcy process. Fuller holds liens on the Jasmine Circle and Maple Circle properties and a second-position lien on the Ivyglen Street property while AFR holds the first-position lien on the Ivyglen property. Each property is currently leased, generating monthly rental income that the Debtor proposes to use for maintenance, taxes, insurance, and debt payments. For example, Jasmine Circle generates $6,295 per month in rent, with $1,257 in expenses and a mortgage payment of $4,457, leaving a surplus of $581. Similar budgeting is provided for the Maple Circle and Ivyglen properties, ensuring that each creditor's interest is protected and that surplus funds are reserved for ongoing maintenance and operational costs. About American 24 LLC American 24, LLC, a limited liability company in Scottsdale, Ariz., sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 25-04328) on May 13, 2025. In its petition, the Debtor reported between $1 million and $10 million in assets and liabilities. Judge Daniel P. Collins handles the case. The Debtor is represented by Joseph G. Urtuzuastegui III, Esq., at REI Law Firm. APPLICO LLC: Seeks to Hire CNC Accounting as Accountant ------------------------------------------------------- Applico, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Alabama to employ CNC Accounting to provide accounting and bookkeeping services. The Debtor needs the firm's assistance with preparing and filing certain income tax returns with the Alabama Department of Revenue and Internal Revenue Service. The monthly rate for Bookkeeping at CNC Accounting is $625. CNC Accounting also charges for theser services: Annual Business Tax Preparation $3,250 Additional Print Copy of Tax Return $60/per copy Facsimile $3/per page As disclosed in the court filings, CNC Accounting does not hold or represent any interest adverse to the Debtor-in-Possession or to its bankruptcy estate. The firm can be reached through: Lynn Robertson, EA CNC Accounting About Applico, LLC Applico LLC, an appliance & lighting company, operates a single-location showroom in Tuscaloosa, Alabama, retailing major household appliances, indoor and outdoor lighting fixtures, fireplaces and related home-improvement products. The family-owned company partners with manufacturers such as GE, LG and Samsung to serve residential customers, builders and remodelers in the Tuscaloosa metro area. Applico LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ala. Case No. 25-70561) on April 23, 2025. In its petition, the Debtor reports estimated assets of $100,000 and $500,000 and estimated liabilities of $1 million and $10 million. Honorable Bankruptcy Judge Jennifer H. Henderson handles the case. The Debtor is represented by Anthony Brian Bush, Esq. at THE BUSH LAW FIRM, LLC. ARCH PRODUCTION: Seeks to Hire ARCH Production as Accountant ------------------------------------------------------------ ARCH Production and Design NYC, Inc. seeks approval from the U.S. Bankruptcy Court for the Northern District of New York to employ Susan G. Baer, CPA to provide accounting services. The firm will bill these rates: a. $150 per hour for accounting services b. Sales Tax Filing $125 monthly c. Federal filing $1,500 d. Misc. fee for monthly requirements $150 to $300 As disclosed in the court filings, Miss Baer assured the court that she does not hold any interest adverse to the Debtor or its estate. The firm can be reached through Susan G. Baer, CPA Ghent, NY 12075 Tel.: (518) 567-2288 Email: SueBaer2288@gmail.com About ARCH Production and Design NYC, Inc. ARCH Production and Design, NYC, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. N.Y. Case No. 25-10390-1) on April 4, 2025. In the petition signed by Evan Collier, president, the Debtor disclosed up to $500,000 in assets and up to $10,000 in liabilities. Mitchell Canter, Esq., at Law Offices of Mitchell J. Canter, represents the Debtor as legal counsel. ARCHDIOCESE OF NEW ORLEANS: Court Sets Settlement Deadlines ----------------------------------------------------------- Stephanie Riegel of nola.com reports that the U.S. Bankruptcy Judge Meredith Grabill has outlined the next phase in the Archdiocese of New Orleans' long-running bankruptcy case, setting the stage for a critical vote by clergy abuse survivors and a potential trial later this 2025 to determine whether the case can move toward final resolution. According to the report, during a hearing on Thursday, June 26, 2025, Judge Grabill tentatively scheduled a trial for November 12, which could include sworn testimony from Archbishop Gregory Aymond and key advisors. The court will consider whether to approve a proposed settlement aimed at compensating hundreds of clergy abuse survivors. Before that can happen, more than two-thirds of survivors -- and other creditor groups -- must vote in favor of the yet-to-be-finalized plan. Grabill set a July 15, 2025 deadline for the filing of the proposal. If the plan fails to gain support, the trial will not proceed, the report said. Judge Grabill has repeatedly warned she may dismiss the case, citing frustration over the lack of progress after more than five years and nearly $50 million in legal costs. A dismissal would clear the way for survivors to pursue claims in state court against the archdiocese and its affiliated parishes and charities, according to nola.com. A significant faction of survivors, possibly 20% or more of the 600 individuals who filed claims, are pushing for dismissal. This group opposes the settlement and argues that the case has been mishandled from the start. Many say they prefer to take their cases before a jury rather than accept any financial deal, the report relays. Meanwhile, the official committee representing survivors supports a tentative deal announced in May 2025 that would pay at least $180 million over five years, with the potential for additional compensation from insurance recoveries and asset sales. The proposed settlement also includes new child protection protocols, according to report. The settlement plan also faces opposition beyond the survivor community. A group of bondholders who loaned the archdiocese over $40 million in 2017 has raised objections, accusing the church of defaulting on its obligations and committing securities fraud—claims the archdiocese denies. The allegations have not been formally filed with regulators, the report states. Traveler's Insurance, one of the archdiocese’s insurers, has also yet to sign off on the deal. Another variable is the potential sale of Christopher Homes, a portfolio of 15 senior housing properties that the archdiocese is marketing to raise additional settlement funds. Until a sale is completed, some survivors remain unconvinced, the report cites. "With Christopher Homes still unsold and too many unknowns, I'd rather take my case to a jury," said Richard Coon, 58, who said he was repeatedly abused starting at age 10. The Archdiocese of New Orleans has declined to comment on the case. 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 PachulskiStangZiehl& Jones, LLP and Locke Lord, LLP. Berkeley Research Group, LLC is the committee's financial advisor. AT HOME GROUP: To Close 26 Stores by Sept. 30 as Part of Chap. 11 ----------------------------------------------------------------- At Home, the Coppell, Texas-based home decor and furniture retailer, filed for Chapter 11 bankruptcy on Monday, June 16, citing "broader economic and retail-specific market pressures," according to court filings. Greta Cross of USA Today, citing court filings, reports as part of the restructuring, the company plans to close 26 underperforming stores across the U.S. by September 30, 2025. The closures -- spanning states from California to New York -- follow a year in which At Home had already shuttered six locations. The move places At Home among a growing list of big-box retailers, including Big Lots, Joann Fabrics, Kohl's, JCPenney, Macy's, and Party City, that have sought bankruptcy protection amid ongoing retail turbulence in 2025. Court documents cite rising interest rates, persistent inflation, and unsustainable customs costs tied to increased tariffs as major factors driving the bankruptcy decision. These pressures, combined with the high operational costs of maintaining physical storefronts, have led many of At Home's remaining locations to perform below expectations. As part of its bankruptcy restructuring, At Home will transfer ownership to a group of hedge funds and investment firms headquartered in New York City and San Francisco, USA Today report. According to court documents, the following locations are among the initial round of closures for 2025: * 6135 Junction Boulevard in Rego Park, New York * 300 Baychester Ave. in Bronx, New York * 750 Newhall Drive in San Jose, California * 2505 El Camino Real in Tustin, California * 14585 Biscayne Boulevard in North Miami, Florida * 2200 Harbor Boulevard in Costa Mesa, California * 3795 E. Foothills Boulevard in Pasadena, California * 1982 E. 20th St. in Chico, California * 2820 Highway 63 South in Rochester, Minnesota * 26532 Towne Center Drive Suites A-B in Foothill Ranch, California * 1001 E. Sunset Drive in Bellingham, Washington * 8320 Delta Shores Circle South in Sacramento, California * 1361 NJ-35 in Middletown Township, New Jersey * 2900 N. Bellflower Boulevard in Long Beach, California * 720 Clairton Boulevard in Pittsburgh, Pennsylvania * 2530 Rudkin Road in Yakima, Washington * 571 Boston Turnpike in Shrewsbury, Massachusetts * 5203 W. War Memorial Drive in Peoria, Illinois * 8300 Sudley Road in Manassas, Virginia * 461 Route 10 East in Ledgewood, New Jersey * 301 Nassau Park Boulevard in Princeton, New Jersey * 300 Providence Highway in Dedham, Massachusetts * 905 S 24th St. West in Billings, Montana * 19460 Compass Creek Parkway in Leesburg, Virginia * 3201 N. Mayfair Road in Wauwatosa, Wisconsin * 13180 S. Cicero Ave. in Crestwood, Illinois About At Home Group Inc. At Home Group Inc. is a home decor and furnishings retailer offering a wide range of everyday and seasonal products for all areas of the home. The Company operates 260 large-format stores across 40 U.S. states and an e-commerce platform. Headquartered in Coppell, Texas, At Home was founded in 1979 and employs 7,170 people. On June 16, 2025, At Home announced it entered a Restructuring Support Agreement (RSA) with certain of its lenders, which will eliminate substantially all of its long-term debt and provide the Company with new financial resources to support the business and position At Home for future success. To implement the terms of the RSA, At Home and 41 of its subsidiaries have commenced voluntary Chapter 11 proceedings in Delaware (Bankr. D. Del. Lead Case No. 25-11120). The proceedings are pending before Judge J. Kate Stickles. In connection with this process, At Home is entering into an agreement for $600 million in debtor-in-possession financing, which includes a $200 million capital infusion from certain of its existing lenders and a "roll up" of $400 million of existing senior secured debt. The Debtors tapped Kirkland & Ellis LLP as restructuring counsel; Young Conaway Stargatt & Taylor, LLP, as Delaware restructuring counsel; AlixPartners LLP as financial advisor; and PJT Partners, Inc., as investment banker. Omni Agent Solutions, Inc., is the claims agent. ATI INC: Egan-Jones Retains B+ Senior Unsecured Ratings ------------------------------------------------------- Egan-Jones Ratings Company on June 18, 2025, withdrew its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by ATI Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Dallas, Texas, ATI Inc. produces specialty materials. ATLANTIC NATURAL: Above Food Can File Adversary Proceeding ---------------------------------------------------------- Judge Meredith S. Grabill of the United States Bankruptcy Court for the Eastern District of Louisiana granted in part the motion filed by Above Food Ingredients, Inc. and Above Food USA Corp. for derivative standing to bring complaint to determine the extent, validity, and priority of liens and claims, as amended in the bankruptcy case of Atlantic Natural Foods, LLC. Through the Motion, Above Food seeks leave to initiate an adversary proceeding to challenge the extent, validity, priority, and amount of the security interests held by Comerica Bank in the Debtor's equipment and inventory. Comerica Bank, the Debtor, and Robert Reiser & Co., Inc. oppose the Motion. No official committee has been appointed in this case to advocate for the interests of general unsecured creditors and the Debtor continues to function as a debtor-in-possession under 11 U.S.C. Secs. 1107 and 1108. Above Food alleges in its Complaint that certain equipment that is subject to Comerica Bank's perfected security interests has been exported overseas. It also alleges that the Debtor owns inventory located outside of the United States. Above Food does not appear to contest Comerica Bank's perfected security interests in equipment and inventory located in the United States. Its allegations focus on the extent, validity, priority, and amount of those security interests in equipment moved overseas and inventory created abroad. The Complaint alleges that Comerica Bank has not complied with applicable security rights laws of Portugal, Thailand, and the Philippines to recognize and enforce its domestic security rights in those jurisdictions. For those reasons, Above Food asserts that other parties hold perfected liens that outrank any liens held by Comerica Bank. In the oppositions to the Motion and at oral argument at the hearing on the Motion, Comerica Bank and the Debtor essentially argued that the Delaware Uniform Commercial Code applies extraterritorially without limit such that a change in location of collateral has no effect on perfection or the priority of security interests. The Court views Above Food's allegations not as a challenge to the existence of Comerica Bank's security interests, but to the enforceability of those interests, which may affect the financial value of Comerica Bank's secured claim. Thus, the Court finds that Above Food has stated colorable claims under state law and bankruptcy law that would benefit the estate if successful. Above Food alleges that the Debtor refused to investigate whether Comerica Bank's liens are enforceable overseas or to bring any challenge to Comerica Bank's liens. The Debtor has stipulated, as part of the current interim order granting the Debtor's motion for use of Comerica Bank's cash collateral, that Comerica Bank's liens are valid and enforceable, and the Debtor vigorously opposed the instant Motion. However, the record is silent on whether the Debtor has performed any independent analysis or investigation into the extent, validity, priority, and amount of Comerica Bank's liens. The Court finds that the Debtor has unjustifiably refused to challenge Comerica Bank's liens on equipment and inventory located overseas. The Court grants Above Food Ingredients, Inc. and Above Food USA Corp. leave to file an adversary proceeding challenging the extent, validity, priority, and amount of Comerica Bank's security interests. To the extent the Motion seeks allowance of an administrative expense claim pursuant to 11 U.S.C. Sec. 503(b)(3), the Motion is denied in part as premature. A copy of the Court's Memorandum Opinion and Order is available at https://urlcurt.com/u?l=TjXYP0 from PacerMonitor.com. About Atlantic Natural Foods, LLC Atlantic Natural Foods, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. La. Case No. 25-10676) on April 7, 2025, listing between $10 million and $50 million in assets and between $1 million and $10 million in liabilities. J. Douglas Hines, manager, signed the petition. Judge Meredith S. Grabill oversees the case. The Debtor tapped Tristan Manthey, Esq., at Fishman Haygood, LLP as counsel and Malcom M. Dienes LLC as accountant. ATM AFFILIATES: Hires Condon Tobin Sladek Thornton as Attorney -------------------------------------------------------------- ATM Affiliates LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to hire Condon Tobin Sladek Thornton Nerenberg, PLLC attorneys. The firm will render these services: (a) assist the Debtor is preparing its Schedule of Assets and Liabilities, Statement of Financial Affairs and Monthly Operating Reports, and otherwise providing the Court and parties in interest with required financial disclosure; (b) attend with the Debtor the initial debtor interview with the United States Trustee and the 341 meeting of creditors; (c) advise the Debtor of its rights, powers and duties as a debtor and debtor in possession continuing to operate and manage its business and properties under chapter 11 of the Bankruptcy Code; (d) prepare on behalf of the Debtor all necessary and appropriate applications, motions, proposed orders, other pleadings, notices, schedules and other documents, and review all financial and other reports to be filed in the Bankruptcy Case; (e) advise the Debtor concerning, and preparing responses to, applications, motions, other pleadings, notices and other papers that may be filed by other parties in the Bankruptcy Case and appear on behalf of the Debtor in any hearing or other proceedings relating to those matters; (f) advise the Debtor concerning executory contract and unexpired lease assumptions, assignments and rejections; (g) assist the Debtor with obtaining post-petition financing and its use of cash collateral, as necessary; (h) commence and conduct litigation that is necessary and appropriate to assert rights held by the Debtor, protect assets of the Debtor's chapter 11 estate or otherwise further the goal of completing the Debtor's successful reorganization; (i) advise the Debtor regarding, and represent the Debtor in, any pre-bankruptcy litigation that may be removed to the Court; (j) represent the Debtor in any adversary proceeding initiated by the Debtor or any other party; (k) assist the Debtor to retain necessary of professionals that will assist in the reorganization efforts in this Bankruptcy Case; (l) respond to inquiries by creditors and other stakeholders of the Debtor regarding the Bankruptcy Case; (m) assist the Debtor in reviewing, estimating and resolving claims asserted against the Debtor's estate; (n) advise and assist the Debtor in negotiations with the Debtor's debt holders and other stakeholders; (o) advise and assist the Debtor in connection with any asset dispositions; (p) advise and assist the Debtor with any compromise and settlement agreements that it enters into post-petition; (q) advise, and represent, the Debtor with respect to employment related issues; (r) advise the Debtor in connection with the formulation, negotiation and promulgation of a plan or plans of reorganization, and related transactional documents; (s) provide non-bankruptcy services for the Debtor to the extent requested by the Debtor, including, among others things, advice related to: real estate, finance, mergers and acquisitions and corporate governance, and potential investments; and (t) perform all other necessary and appropriate legal services in connection with the Bankruptcy Case for or on behalf of the Debtor. The firm will charge $500 to $600 per hour for attorneys and $250 to $350 per hour for paralegals, legal assistants, and other paraprofessionals. The firm received a retainer in the amount of $10,000. The following information is provided in response to the request for additional information set forth in Paragraph D.1. of the U.S. Trustee Guidelines: Question: Did Condon Tobin agree to any variations from, or alternatives to, Condon Tobin's standard billing arrangements for this engagement? Response: Yes, Condon Tobin provided a discount to the Debtor, given the size of this matter. Question: Do any of Condon Tobin's professionals in this engagement vary their rate based on the geographic location of the Debtor's chapter 11 case? Response: No. Question: If Condon Tobin has represented the client in the 12 months prepetition, disclose your billing rates and material financial terms for the prepetition engagement, including any adjustments during the 12 months prepetition. If your billing rates and material financial terms have changed post-petition, explain the difference and the reasons for the difference. Response: Not applicable. Condon Tobin's professional rates re-main the same prepetition and post-petition, except when providing clients discounted services. Question: Has your client approved your prospective budget and staffing plan, and, if so for what budget period? Response: No. H. Joseph Acosta, Esq., a partner at Condon Tobin, disclosed in a court filing that the firm is a "disinterested person" as defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: H. Joseph Acosta, Esq. CONDON TOBIN SLADEK THORNTON NERENBERG PLLC 8080 Park Lane, Suite 700 Dallas, TX 75231 Tel: (214) 265-3852 Fax: (214) 265-3800 Email: jacosta@condontobin.com About ATM Affiliates LLC ATM Affiliates LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-31668) on May 5, 2025, listing $1,000,001 to $10 million in assets and $500,001 to $1 million in liabilities. Judge Scott W Everett presides over the case. Joseph Acosta, Esq. at Condon Tobin Sladek Thornton Nerenberg, PLLC represents the Debtor as counsel. AUTOMATED TRUCKING: Hires Johnson Pope Bokor as Counsel ------------------------------------------------------- Automated Trucking, LLC seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ Johnson, Pope, Bokor, Ruppel, & Burns, LLP, as counsel. The firm will render these services: a. give the Debtor legal advice with respect to their duties and obligations as Debtor in Possession or "DIP"; b. take necessary steps to analyze and pursue any avoidance actions, if in the best interest of the estate; c. prepare on behalf of the Debtor the necessary motions, notices, pleadings, petitions, answers, orders, reports and other legal papers required in this Chapter 11 case; d. assist the Debtor in taking all legally appropriate steps to effectuate compliance with the Bankruptcy Code; and e. perform all other legal services for the Debtor which may be necessary including closings of sales of the Debtor's real property assets. The firm will be paid at $500 per hour. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Alberto (Al) F. Gomez, Jr., Esq., a partner at Johnson Pope Bokor Ruppel & Burns, LLP, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Alberto (Al) F. Gomez, Jr., Esq. Johnson Pope Bokor Ruppel & Burns, LLP 400 North Ashley Drive, Ste. 3100, Tampa, FL 33602 Tel: (813) 225-2500 Email: Al@jpfirm.com About Automated Trucking, LLC Automated Trucking LLC provides managed trucking services, allowing investors to lease trucks while the Company handles operations including driver management, maintenance, insurance, and dispatch. It is based in Lakeland, Florida. Automated Trucking LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-03886) on June 10, 2025. In its petition, the Debtor reports estimated assets and liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Catherine Peek Mcewen handles the case. The Debtors are represented by Alberto ("Al") F. Gomez, Jr., Esq. at JOHNSON, POPE, BOKOR, RUPPEL & BURNS, LLP. AVIENT CORP: Egan-Jones Retains BB- Senior Unsecured Ratings ------------------------------------------------------------ Egan-Jones Ratings Company on June 13, 2025, maintained its 'BB-' foreign currency and local currency senior unsecured ratings on debt issued by Avient Corporation. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Avon Lake, Ohio, Avient Corporation is an international polymer services company with operations in North America, Europe, Asia, Australia, and South America. AVON PLACE: Amends Several Secured Claims Pay Details ----------------------------------------------------- Avon Place, LLC submitted an Amended Disclosure Statement describing Plan of Reorganization dated June 12, 2025. The Debtor has elected Chapter 11 protection to pause collection efforts so that it can reinstate the loan under its original terms in a Chapter 11 plan without the added default interest and penalties claimed in the foreclosure action. Class 1 consists of Avon Connecticut real estate tax, water, sewer and other liens. The Debtor estimates Class 1 Claims total approximately $584,403. The Town of Avon has filed proofs of claim totaling $1,579,471.69. Payment in full in Cash of Allowed Amount on the Effective Date, plus interest at the applicable statutory rate as it accrues from the Petition Date through the date of payment. Class 2 consists of the Allowed Secured Claims of the Mortgagee. The Debtor estimates that principal, non-default contract rate of interest, amortization, advances and other charges total approximately $28,100,785 as of the Petition Date. The Mortgagee has filed a proof of claim asserting $35,156,668.77. On the Effective Date, pursuant to section 1124(2) of the Bankruptcy Code, the Debtor shall cure pre-Petition Date and post-Petition Date defaults, if any, following which the Debtor shall pay all remaining amounts due defaults, if any, following which the Debtor shall pay all remaining amounts due. Class 3 consists of the Allowed Secured Claim of Altbanq Lending LLC. The Debtor estimates that $3,000,000 is due as of the Petition Date secured by a mortgage on the Property. On the Effective Date, pursuant to section 1124(2) of the Bankruptcy Code, the Debtor shall cure pre-Petition Date and post-Petition Date defaults, if any, following which the Debtor shall pay all remaining amounts due defaults, if any, following which the Debtor shall pay all remaining amounts due. Like in the prior iteration of the Plan, General Unsecured Claims in Class 5 shall receive payment in full in Cash plus interest through the payment date on the Effective Date. Plan payments will be paid by the Interest Holders, cash on hand, and additional funds from a refinancing or sale of the Property. Projected sources and uses of funds is annexed to Exhibit B to the Disclosure Statement. Refinancing is in prospect based on the letter of intent. If the Debtor is able avoid paying default interest to the Mortgagee, the refinance proceeds plus a capital contribution may be sufficient to pay all creditors in full. If the Debtor is not able to avoid default interest, the Debtor may need to sell the Property to pay all creditors in full, and the Debtor is engaged in negotiations with at least one potential purchaser for that purpose. A full-text copy of the Amended Disclosure Statement dated June 12, 2025 is available at https://urlcurt.com/u?l=Qw9G6u from PacerMonitor.com at no charge. Counsel to the Debtor: Mark Frankel, Esq. Backenroth Frankel & Krinsky, LLP 488 Madison Avenue, Floor 23 New York, NY 10022 Telephone: (212) 593-1100 About Avon Place LLC Avon Place LLC is a real estate company owning multiple properties at 44, 46, 47, 48 Avonwood Road in Avon, Connecticut. Avon Place LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-41368) on March 21, 2025. In its petition, the Debtor reports estimated assets and liabilities between $10 million and $50 million each. Honorable Bankruptcy Judge Jil Mazer-Marino handles the case. The Debtor tapped Backenroth, Frankel & Krinsky, LLP, as counsel and FIA Capital Partners, LLC, as restructuring advisor. AZORRA FINANCE: Fitch Rates New $500MM Unsec. Notes 'BB-(EXP)' -------------------------------------------------------------- Fitch Ratings expects to assign a 'BB-(EXP)' rating to Azorra Finance Limited's (AFL) proposed $500 million of senior unsecured notes. The fixed rate of interest and final maturity date will be determined at the time of issuance. Key Rating Drivers Notes Rank Equally in Capital Structure: The expected rating on the proposed issuance is equalized with AFL's existing senior unsecured notes as the issuance will rank equally in the capital structure. The expected rating is aligned with Azorra Aviation Holdings, LLC's (Azorra) Long-Term Issuer Default Rating (IDR) of 'BB-'/Positive. This reflects Fitch's expectations for average recovery prospects in a stress scenario due to the availability of unencumbered assets. Incremental Increase in Leverage: The transaction will lead to an incremental increase in leverage, as proceeds from the issuance will be used primarily for the repayment of outstanding borrowings under the company's revolving credit facility (RCF), and for general corporate purposes. The RCF borrowings being repaid include amounts used to finance the recent acquisition of 49 E-Jets and two engines from Dubai Aerospace Enterprise Ltd (DAE) in May 2025. Azorra's gross debt to tangible equity, which treats its Series A preferred shares as 100% equity, was 2.0x as of March 31, 2025. Pro forma for the expected issuance, Fitch anticipates leverage to increase to 2.4x, however this is roughly in line with expectations and remains below Fitch's leverage downgrade trigger of 3x. The company continues to target leverage on a gross debt-to-equity basis in the range of 2.0x-2.5x, or approximately 2.5x-3.0x based on Fitch's core leverage benchmark metric. Increase in Unsecured Debt Mix; Sustained Sound Liquidity Coverage: Unsecured debt accounted for 28% of total debt as of March 31, 2025. Following this issuance, the unsecured debt mix will increase to around 46% of total funding, which Fitch views positively. In addition, Fitch projects liquidity coverage will remain around 1.5x, pro forma for the proposed debt issuance, which is appropriate for the current rating. Enhanced Franchise: Azorra's ratings reflect its strengthened market position as a global lessor focused on regional and small narrowbody aircraft. The ratings also reflect its appropriate leverage appetite, absence of any meaningful near-term debt maturities, solid liquidity metrics, and senior management's expertise. The company also has a track record in managing aviation assets and the ownership benefits from Oaktree Capital Management, L.P., which provides investment expertise and capital commitment to support planned fleet growth. Regional Aircraft Focus: The ratings are constrained by portfolio concentrations in regional and small narrowbody aircraft and by execution risks linked to ambitious growth and financial targets, although execution has been well-managed thus far. Additional constraints include a limited standalone operating track record, reliance on secured wholesale funding, orderbook placement risk, key person risk related to founder and CEO John Evans, and governance risks from limited board independence and majority ownership by fixed-life fund structures. Positive Outlook: The Positive Outlook reflects Azorra's enhanced scale and franchise following the announced portfolio acquisition from DAE. Fitch anticipates Azorra will realize tangible financial benefits from its expanded scale and strengthened franchise, solidifying its position as a leading lessor in the regional and small narrowbody market. A one-notch upgrade over the Outlook horizon is possible if Azorra successfully completes and integrates the acquisition from DAE. This includes novating newly acquired leases, accessing unsecured capital markets to term-out acquisition financing and achieving stated financial targets aligned with management forecasts. Key targets include sustained net spread profitability above 7% and maintaining balance sheet leverage below 3x. For more information on the key rating drivers and sensitivities underpinning Azorra's ratings, see "Fitch Revises Azorra Aviation Holdings' Outlook to Positive; Affirms IDR at 'BB-'," dated May 29, 2025. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - The Outlook could be revised to Stable if operational challenges arise from integrating newly acquired assets and lessees into the existing portfolio, particularly if this results in a significant deterioration in the impairment ratio, a sustained decline in net spreads below 6%, or an inability to convert acquisition financing into unsecured debt. A downgrade of the ratings could be driven by: - Erosion of earnings such that net spreads decline below 5%, an increase in leverage above 3.0x and/or liquidity coverage below 1.0x; - Macroeconomic and/or geopolitical driven headwinds that pressure airlines and lead to lease restructurings, rejections, lessee defaults and increased losses would also be rating negative; - Azorra's ownership by fixed-life private funds could also contribute to negative rating action if it leads to elevated capital extractions, or if a forced sale of the company at fund maturity impairs Azorra's financial profile, franchise or long-term strategic direction; - Any key person event involving CEO and Chairman John Evans would not lead to an immediate downgrade of Azorra's ratings. However, Fitch would evaluate the event's impact on the firm's strategic direction and industry relationships before taking any rating actions. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - A one-notch upgrade over the Outlook horizon would depend on successful execution of novating newly acquired leases, particularly if this leads to an enhanced business profile, sustained net spreads above 7%, unsecured debt exceeding 35%, and liquidity coverage remaining above 1.2x. - Solid execution of planned growth targets and long-term strategic financial objectives, including maintenance of leverage within the targeted range; - Increased lessee diversification, reduced exposure to weaker airlines, maintenance of low impairment ratios, and reduction in the proportion of tier 3 aircraft; - Rating upside remains subject to Fitch's view on governance and conflict of interest risks associated with Azorra's externally managed business model, limited board independence and ownership by a fixed-life private equity fund. DEBT AND OTHER INSTRUMENT RATINGS: KEY RATING DRIVERS The expected unsecured debt rating is equalized with Azorra's Long-Term IDR. This reflects Fitch's expectations for average recovery prospects in a stress scenario due to the availability of unencumbered assets. DEBT AND OTHER INSTRUMENT RATINGS: RATING SENSITIVITIES The expected senior unsecured debt rating is primarily sensitive to changes in Azorra's Long-Term IDR and the relative recovery prospects of the instruments. A decline in unencumbered asset coverage, combined with a material increase in secured debt, relative to Azorra's business plan, could result in the notching of the unsecured debt down from the Long-Term IDR. Date of Relevant Committee May 28, 2025 ESG Considerations Azorra has an ESG Relevance Score of '4' for Management Strategy due to the execution risk associated with the operational implementation of the company's outlined strategy. This has a negative impact on the credit profile and is relevant to the ratings in conjunction with other factors. Azorra has an ESG Relevance Score of '4' for Governance Structure due to the potential governance and conflict of interests associate with Azorra's externally managed business model, and ownership by a fixed-life private fund structure. This also reflects key man risk related to its CEO and Chairman John Evans, who is leading the growth and strategic direction of the company. This has a negative impact on the credit profile and is relevant to the ratings in conjunction with other factors. 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 ----------- ------ Azorra Finance Limited senior unsecured LT BB-(EXP) Expected Rating AZORRA FINANCE: Moody's Hikes Rating on Unsecured Notes to B1 ------------------------------------------------------------- Moody's Ratings has upgraded the ratings of Azorra Aviation Holdings, LLC's (Azorra) wholly-owned subsidiaries, including Azorra SOAR TLB Finance Limited's backed senior secured term loan B rating to Ba1 from Ba2 and Azorra Finance Limited's backed senior unsecured notes rating to B1 from B2. Moody's have also affirmed Azorra's Ba3 corporate family rating. The outlook for the three entities is stable. The rating actions follow the announcement by Azorra that it plans to issue new senior unsecured notes, the proceeds from which will be used to repay the outstanding amount under the company's existing revolving facility and for future asset purchases. RATINGS RATIONALE The upgrade of Azorra SOAR TLB Finance Limited's backed senior secured term loan B rating to Ba1 from Ba2 reflects the company's reduced reliance on secured debt funding, the senior secured priority of the term loan, and the guarantee provided by Azorra. The upgrade of Azorra Finance Limited's backed senior unsecured rating to B1 from B2 reflects the greater proportion of unsecured debt in the company's debt capital structure (approximately 45% of total debt pro-forma for new unsecured notes). Azorra's Ba3 CFR reflects the company's niche business model of investing in and leasing crossover and regional commercial aircraft, its currently moderate profitability, its recent debt transformation and its increasing leverage as it expands its fleet and increasingly relies on debt for financing. The majority of the company's existing fleet consists of Embraer E-jet family of aircraft, including the E-170, E175, E190 and E195 series aircraft, with the remaining fleet comprised of seven ATRs, 9 A330, 14 A220 aircraft, two 777 and twelve engines. On May 08, 2025, Azorra announced the acquisition of 49 E-jets and of two GE CF-34 engines, which is expected to close in stages throughout 2025. For the remainder of 2025, the company's purchase commitments will be approximately $900 million. The company's purchase commitments include 25 A220-300 aircraft. While the operator base for this aircraft is still relatively limited, larger airlines continue to invest in A220s, including Air France, Delta Air Lines, Inc. (Baa2 stable) and JetBlue Airways Corp. (B3 stable), resulting in rising acceptance and a growing base of users. Azorra has relatively high customer concentrations with its top five customers accounting for approximately 39% of its airline customers as of March 31, 2025. Furthermore, Moody's expects that the company's debt-to-equity leverage will rise as it expands its fleet investments, though the company's long-term objective is to maintain leverage comparable with well-established aircraft leasing peers. The stable outlook reflects Moody's expectations that Azorra will continue to place its expanding fleet at favorable lease rates, while achieving better operating leverage, such that its profitability continues to expand. The stable outlook also reflects Moody's expectations that Azorra's debt-to-equity leverage will rise as it issues debt to fund its fleet growth and that its leverage will rise to around 2.5x over time, comparable with peers. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Moody's could upgrade Azorra's ratings if the company demonstrates effective management of existing fleet risks, mostly focused on regional aircraft; profitability is sustained, as measured by net income/average managed assets above 1.0% as the business model evolves and demonstrates consistent operating performance; and the company continues to reduce its reliance on secured debt, lowers its customer concentrations and maintains strong capitalization. Moody's could downgrade the ratings if Azorra suffers from a deterioration in profitability such that net income/average managed assets profitability declines to less than 0.5%; if the company loses a key customer relationship; or if the company's overall liquidity weakens. The ratings could also be downgraded if Azorra's fleet risks rise, raising risks to financial performance and stability. Azorra Aviation Holdings, LLC is an aircraft and engine leasing company based in Florida, USA. It is majority owned by certain funds managed by Oaktree Capital Management. As of March 31, 2025, the company had 143 aviation assets and total assets of $3.1 billion. The principal methodology used in these ratings was Finance Companies published in July 2024. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. B. RILEY FINANCIAL: Sells Financial Advisory Business to TorQuest ----------------------------------------------------------------- Eliza Ronalds-Hannon, Jill R. Shah, and Dorothy Ma of Bloomberg News report that B. Riley Financial Inc. has offloaded its GlassRatner advisory business to Canadian private equity firm TorQuest Partners, as part of its continued effort to shed assets amid financial headwinds. The $118 million deal covers GlassRatner Advisory & Capital Group LLC and B. Riley Farber Advisory Inc., and is expected to generate a $66 million gain for B. Riley, according to a statement reviewed by Bloomberg News. "Letting go of GlassRatner allows us to unlock capital to drive future growth and further strengthen our financial position," said Chairman and Co-CEO Bryant Riley. About B. Riley Financial B. Riley Financial, Inc. -- http://www.brileyfin.com/-- is a diversified financial services company that delivers tailored solutions to meet the strategic, operational, and capital needs of its clients and partners. B. Riley leverages cross-platform expertise to provide clients with full service, collaborative solutions at every stage of the business life cycle. Through its affiliated subsidiaries, B. Riley provides end-to-end financial services across investment banking, institutional brokerage, private wealth and investment management, financial consulting, corporate restructuring, operations management, risk and compliance, due diligence, forensic accounting, litigation support, appraisal and valuation, auction, and liquidation services. B. Riley opportunistically invests to benefit its shareholders, and certain affiliates originate and underwrite senior secured loans for asset-rich companies. As of June 30, 2024, B. Riley Financial had $3.2 billion in total assets, $3.4 billion in total liabilities, and $143.1 million in total deficit. BALERNO CASTLE: Seeks Chapter 11 Bankruptcy in California --------------------------------------------------------- On June 24, 2025, Balerno Castle LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports $2,074,239 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Balerno Castle LLC Balerno Castle LLC owns a multifamily residential building located at 253 S. Carondelet Street in Los Angeles, California. The two-story property comprises six rental units and is classified as single-asset real estate under 11 U.S.C. Section 101(51B). The Company also owns a separate property at 3912 Eagle Street in Los Angeles. Balerno Castle LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-15322) on June 24, 2025. In its petition, the Debtor reports total assets of $3,804,000 and total liabilities of $2,074,239. Honorable Bankruptcy Judge Julia W. Brand handles the case. The Debtors are represented by Kevin Tang, Esq. at TANG & ASSOCIATES. BANDGRIP INC: Taps William J. Factor Ltd. as Bankruptcy Counsel --------------------------------------------------------------- BandGrip Inc. seeks approval from the U.S. Bankruptcy Court for the Northern District of Illinois to hire The Law Office of William J. Factor, Ltd. as its bankruptcy counsel. The firm's services include: a. advising and consulting with the Debtor with respect to its powers, rights, and duties as a debtor and debtor-in-possession; b. attending meetings and negotiating with creditors, other parties in interest, and their respective representatives; c. advising and consulting with the Debtor on the conduct of the case, including all the legal and administrative requirements of operating under chapter 11 of the Bankruptcy Code; d. taking all necessary action to protect and preserve the Estate, including but not limited to, prosecuting or defending all motions and proceedings on behalf of the Debtor and the Estate; e. preparing and filing, or defending, adversary proceedings or other litigation involving the Debtor or its interests in property; f. preparing motions, applications, answers, orders, reports, and other papers necessary to the administration of the cases; g. preparing and negotiating a plan and disclosure statement and all related agreements and/or documents, and taking any necessary action to obtain confirmation of a plan; and h. performing other necessary legal services and providing other necessary legal advice required by the Debtor in connection with the case. The firm will be paid at these rates: William J. Factor, Partner $450 per hour Lars Peterson, Partner $400 per hour Alex J. Whitt, Associate $350 per hour Samuel Rodgers, Paralegal $150 per hour Danielle Mesikapp, Paralegal $150 per hour The firm will be paid a retainer in the amount of $10,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. William J. Factor, a partner at Law Office of William J. Factor, Ltd., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: William J. Factor, Esq. Justin Storer, Esq. FACTORLAW 105 W. Madison, Suite 2300 Chicago, IL 60602 Tel: (312) 878-6976 Fax: (847) 574-8233 Email: jstorer@wfactorlaw.com About BandGrip Inc. BandGrip Inc. is a U.S.-based medical device company specializing in non-invasive wound closure solutions. The Company's flagship product, the BandGrip Micro-Anchor Skin Closure, utilizes patented micro-anchor technology to securely close skin wounds without the need for sutures or staples. Headquartered in Chicago, Illinois, BandGrip aims to reduce procedure times, minimize scarring, and improve patient comfort. BandGrip Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-06139) on April 21, 2025. In its petition, the Debtor reports total assets as of March 31, 2025 amounting to $228,066 and total liabilities as of March 31, 2025 of $2,199,581. Honorable Bankruptcy Judge Jacqueline P. Cox handles the case. The Debtor is represented by William Factor, Esq. at THE LAW OFFICE OF WILLIAM J. FACTOR, LTD. BATH & BODY: Egan-Jones Retains BB Senior Unsecured Ratings ----------------------------------------------------------- Egan-Jones Ratings Company on June 12, 2025, maintained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by Bath & Body Works, Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Columbus, Ohio, Bath & Body Works, Inc. manufactures personal care products. BAXTER INTERNATIONAL: Egan-Jones Retains BB+ Sr. Unsecured Ratings ------------------------------------------------------------------ Egan-Jones Ratings Company on June 12, 2025, maintained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Baxter International Inc. Headquartered in Deerfield, Illinois, Baxter International Inc. develops, manufactures, and markets products and technologies related to hemophilia, immune disorders, infectious diseases, kidney disease, trauma and other chronic and acute medical conditions. BAYSIDE LIMO: Gets Interim OK to Use Cash Collateral ---------------------------------------------------- Bayside Limo of Tampa, LLC got the green light from the U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division, to use cash collateral. At the hearing held on June 23, the court granted the Debtor's motion to use cash collateral on an interim basis and set a further hearing on the motion for July 15. The Debtor requires access to cash collateral to continue its operations, pay necessary expenses, and avoid immediate and irreparable harm to the estate. Several creditors including the U.S. Small Business Administration, CT Corporation System (as a representative of various parties), Credibly of Arizona LLC, Silverline Services, Inc., and CHTD Company may assert secured claims against the Debtor's assets, although the validity and priority of those liens may be challenged. The Debtor identifies approximately $13,167 in collateralized assets, consisting of $4,224 in cash, $6,419 in a frozen merchant account, $1,304 in accounts receivable, and $1,220 in personal property. To provide adequate protection to the secured creditors, the Debtor offers post-petition replacement liens on the same collateral, limited inspection rights, and regular financial reporting. About Bayside Limo of Tampa LLC Bayside Limo of Tampa LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No.8:25-bk-03982-CPM) on June 13, 2025. In the petition signed by Kevin New, chief executive officer, the Debtor disclosed up to $500,000 in assets and up to $1 million in liabilities. Judge Catherine Peek McEwen oversees the case. Buddy D. Ford, Esq, at Ford & Semach, P.A., represents the Debtor as legal counsel. BC2 BEAUMONT: Loan Secured by Marriott Hotel Auctioned ------------------------------------------------------ Daniel P. McLaughlin & Co. Auctioneers LLC scheduled a sale at public auction on June 26, 2025, at 11:00 (Eastern Time) at Riemer & Braunstein LLP, Time Square Tower, Suite 2506, Seven Times Square, New York, New York 10036, all right, title and interest of BC2 Beaumont LLC, in and to a certain loan arrangement between BC2 Beaumont LLC, as lender, and Dave Raj Brother LLP, as borrower, in the original amount of $7,250,000 including a deed of trust, security agreement and financing statement with respect to real property located at 2275 Interstate 10 South, Beaumont, Texas. The sale of loan secured by former Marriott Courtyard Hotel. Terms of sale: $250,000 deposit in certified or bank cashier's check will be required at the time and place of the sale in order to qualify as a bidder. If you wish to bid remotely then the deposit must be wired to the auctioneer prior to the bidding. The balance will be due with 39 days at the offices of the Attorney for the Mortgagee: Phillip J. Block Riemer & Braunstein LLP 71 South Wacker Drive Suite 3515 Chicago, Illinois 60606 The auctioneer can be reached at: Daniel P. McLaughlin & Co. LLC Attn: Dan McLaughlin 77 Fourth Avenue, 3rd Floor Waltan, MA 02451 Tel: 781-208-0377 Email: dan@mclaughlinco.com For further information regarding the sale visit: https://www.re-auctions.com/ BEACH ACQUISITION: Moody's Rates New Secured Notes Due 2032 'Ba3' ----------------------------------------------------------------- Moody's Ratings assigned a Ba3 rating to Beach Acquisition Bidco, LLC's (Skechers) proposed senior secured notes due 2032 (split into USD and Euro tranches) and Caa1 to the proposed senior unsecured pay-in-kind (PIK) toggle notes due 2033. The company's existing B2 corporate family rating, B2-PD probability of default rating and Ba3 senior secured first lien bank credit facilities ratings remain unchanged. The outlook remains unchanged at positive. Proceeds from the proposed $1,750 million senior secured notes due 2032 and $2,500 million unsecured notes due 2033, together with $2,115 million senior secured first lien term loans due 2032 (rated Ba3) and $4,540 million common equity will be used to finance Skechers' leveraged buyout by 3G Capital (3G). RATINGS RATIONALE Skechers' B2 CFR is constrained by the company's high leverage and modest interest coverage following the LBO, with Moody's-adjusted debt/EBITDA of 5.6x and EBITA/interest expense of 1.5x, respectively. It also reflects governance considerations, including risks associated with private equity ownership, the need to establish a succession plan for key leadership roles and the migration from a family run business to private equity owners. Moody's expects credit metrics to improve in 2026 from pro-forma levels, with Moody's-adjusted debt/EBITDA declining to the 4.5x-5.0x range and EBITA/interest expense increasing to 1.6-1.7x. The company will need to contend with weakening discretionary spending and higher tariffs, which will result in revenue and margin headwinds. Roughly 38% of Skechers' sales are generated from the US, and the majority of its US product is sourced from Vietnam and China. While the company is shifting sourcing for its US business away from China, the tariff impact on product costs will remain significant. Nevertheless, Moody's expects revenue and earnings growth to be supported by international growth, the partially replenishment-driven nature of footwear demand, and trade down of more affluent consumers. Moody's also expects the company to realize significant cost savings from product and overhead cost reduction initiatives. 3G targets at least $250 million of cost savings to be realized in 2025-2027. Reflecting these factors, Moody's model mid-single-digit revenue growth in 2025 and 2026, and EBITDA (before standard Moody's adjustments) declining low-single-digits in 2025 and increasing in the high teens in 2026. The credit profile is also limited by the highly competitive and fragmented nature of the footwear industry. At the same time, the rating benefits from Skechers' solid market position and scale as the third largest footwear brand globally, and its track record of revenue and earnings growth. The company's diversified business across geographies, channels and casual footwear product categories mitigates its exposure to volatile discretionary consumer spending and fashion risk. Skechers' value proposition is comfort, value and accessibility, with a focus on the core family and older customer. The company has also been expanding its appeal to a broader customer base through marketing initiatives and growing its performance sneaker and higher price point offerings. Its fast follower approach and shorter product cycles relative to peers provide it with flexibility to react to style trends. The company's very good liquidity over the next 12-18 months also provides key rating support. Pro-forma for the transaction, the company expects to have at least $950 million of balance sheet cash and full revolver availability. Moody's expects positive free cash flow and no revolver utilization despite very high capital expenditures for distribution center expansion in 2025 and 2026, supported by a PIK option on the unsecured notes. The positive outlook reflects the potential for deleveraging driven by earnings growth and debt repayment, as well as very good liquidity over the next 12-18 months. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if the company demonstrates a commitment to debt repayment, while maintaining very good liquidity including strong positive free cash flow. An upgrade would require continued revenue growth and margin expansion, providing evidence that cost reduction initiatives are not compromising the growth and long-term health of the business. Quantitatively, the ratings will be upgraded if Moody's-adjusted debt/EBITDA is maintained below 5.5x and EBITA/interest expense above 1.75x. The ratings could be downgraded if operating performance or liquidity weakens. The ratings could also be downgraded if Skechers undertakes aggressive financial strategy actions such as acquisitions or dividend distributions. Quantitatively, the ratings could be downgraded if Moody's-adjusted debt/EBITDA is sustained above 6.0x or EBITA/interest expense is sustained below 1.25x. Headquartered in Manhattan Beach, California, Beach Acquisitions Bidco, LLC (Skechers) is engaged in the design, development, marketing distribution and sale of casual footwear. The company's products are sold through digital and wholesale channels as well as company-operated retail stores globally. Revenue for the twelve months ended March 31, 2025 was approximately $9.1 billion. The principal methodology used in these ratings was Retail and Apparel published in November 2023. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. BEAN THERE: Seeks Subchapter V Bankruptcy in Florida ---------------------------------------------------- On June 24, 2025, Bean There Done That LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Middle District of Florida. According to court filing, the Debtor reports $1,504,704 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Bean There Done That LLC Bean There Done That LLC operates a drive-thru coffee shop offering specialty beverages and breakfast items. Bean There Done That LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-04265) on June 24, 2025. In its petition, the Debtor reports total assets of $143,453 and total liabilities of $1,504,704. Honorable Bankruptcy Judge Catherine Peek McEwen handles the case. The Debtors are represented by Jake C. Blanchard, Esq. at BLANCHARD LAW, P.A. BEST BUILD: Case Summary & One Unsecured Creditor ------------------------------------------------- Debtor: Best Build 1 LLC 776 East 8th Street, Unit 1 Brooklyn, NY 11230 Business Description: Best Build 1 LLC is a single-asset real estate company based in New York. It owns a residential condominium unit located at 776 East 8th Street, Unit 1, in Brooklyn. Chapter 11 Petition Date: June 26, 2025 Court: United States Bankruptcy Court Eastern District of New York Case No.: 25-43013 Judge: Hon. Nancy Hershey Lord Debtor's Bankruptcy Counsel: Vivian Sobers, Esq. SOBERS LAW PLLC 11 Broadway Suite 615 New York, NY 10004 Phone: (917) 225-4501 Email: vsobers@soberslaw.com Total Assets: $1,100,100 Total Liabilities: $1,369,724 The petition was signed by Isaac Stern as sole member. The Debtor listed the New York State Department of Taxation, located at Harriman Campus Road in Albany, NY 12227, as its only unsecured creditor with a claim totaling $35,000. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/PKCURBI/Best_Build_1_LLC__nyebke-25-43013__0001.0.pdf?mcid=tGE4TAMA BISHOP OF SANTA ROSA: Jeff Anderson Advises Abuse Claimants ----------------------------------------------------------- The law firm of Jeff Anderson & Associates filed a verified statement pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure to disclose that in the Chapter 11 case of the Roman Catholic Bishop of Santa Rosa, the firm represents several sexual abuse claimants. Jeff Anderson & Associates has offices at 366 Jackson St., Suite 100, Saint Paul, MN 55101 and 12011 San Vicente Blvd., Suite 700, Los Angeles, CA 90049. Attorney Michael G. Finnegan, among other attorneys at Jeff Anderson & Associates, are duly licensed to practice before Courts of the State of California and the United States District Court of the Northern District of California. Jeff Anderson & Associates individually represents each Sexual Abuse Claimant listed in Exhibit A attached to this disclosure. Due to confidentiality, each Claimant listed in Exhibit A has been identified by their Sexual Abuse Proof of Claim Form number. The names and addresses of the confidential Claimants are available to Permitted Parties who have executed a confidentiality agreement and have access to the Sexual Abuse Claim Forms. Pursuant to individual fee agreements, Jeff Anderson & Associates was individually retained by each Claimant listed in Exhibit A to pursue claims for damages against The Roman Catholic Bishop of Santa Rosa, as a result of childhood sexual abuse. This includes representing and acting on behalf of each Claimant in the bankruptcy case. Each Claimant maintains an individual economic interest against the Debtor, The Roman Catholic Bishop of Santa Rosa, that has been disclosed in the confidential Form 410 and a voluntary Confidential Survivor Supplement to Official Form 410 for Sexual Abuse Claimants or will be disclosed in the future. The law firm can be reached at: Michael G. Finnegan, Esq. Jennifer E. Stein, Esq. JEFF ANDERSON & ASSOCIATES, P.A. 12011 San Vicente Boulevard, Suite 700 Los Angeles, California 90049 Telephone: (310) 357-2425 Facsimile: (651) 297-6543 Email: mike@andersonadvocates.com Email: jennifer@andersonadvocates.com About The Roman Catholic Bishop of Santa Rosa The Roman Catholic Bishop of Santa Rosa is a diocese, or ecclesiastical territory, of the Roman Catholic Church in the Northern California region of the United States, named in honor of St. Rose of Lima. Abuse victims filed hundreds lawsuits after the state of California paused for three years its statute of limitation on claims for child sexual abuse. The pause ended on Dec. 31, 2022. Facing more than 200 new legal claims over childhood sexual abuse, the Roman Catholic Bishop of Santa Rosa, also known as the Diocese of Santa Rosa, filed a Chapter 11 petition (Bankr. N.D. Calif. Case No. 23-10113) on March 13, 2023. The Debtor estimated $10 million to $50 million in both assets and liabilities. The Hon. Charles Novack is the case judge. The Debtor tapped Felderstein Fitzgerald Willoughby Pascuzzi & Rios, LLP as bankruptcy counsel; GlassRatner Advisory & Capital Group, LLC as financial advisor; and Donlin, Recano & Company, Inc. as claims agent. Shapiro Galvin Shapiro & Moran, Weinstein & Numbers, LLP, and Foley & Lardner, LLP serve as special counsels. The U.S. Trustee for Region 17 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. Stinson, LLP and Berkeley Research Group, LLC serve as the committee's legal counsel and financial advisor, respectively. BLACKBERRY LIMITED: Egan-Jones Retains CCC Sr. Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on May 30, 2025, maintained its 'CCC' foreign currency and local currency senior unsecured ratings on debt issued by BlackBerry Limited. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Waterloo, Canada, BlackBerry Limited provides intelligent security software solutions. BOTEILHO HAWAII: Court Vacates Judgments in Honoka'a Land Dispute ----------------------------------------------------------------- In the appeals styled as, HONOKA'A LAND COMPANY, LLC, a Hawai'i limited liability company, Plaintiff-Appellant, v. BOTEILHO HAWAII ENTERPRISES, INC., a Hawaii corporation; EDWARD BOTEILHO, JR.; DUTCH-HAWAIIAN DAIRY FARMS, LLC, a Hawai'i limited liability company; MAUNA KEA MOO, LLC, a Hawai'i limited liability company; KEES C.J. KEA; CORNEL A. KEA; MALENA A. KEA, Defendants-Appellees, and DOES 1-50, Defendants, No. CAAP-21-0000470; and HONOKA'A LAND COMPANY, LLC, a Hawai'i limited liability company, Plaintiff-Appellant, v. BOTEILHO HAWAII ENTERPRISES, INC., a Hawaii corporation; EDWARD BOTEILHO, JR.; DUTCH-HAWAIIAN DAIRY FARMS, LLC, a Hawai'i limited liability company; MAUNA KEA MOO, LLC, a Hawai'i limited liability company; KEES C.J. KEA; CORNEL A. KEA; MALENA A. KEA, Defendants-Appellees, and DOES 1-50, Defendants, No. CAAP-21-0000290, Judges Keith K. Hiraoka, Clyde J. Wadsworth and Karen T. Nakasone of the Intermediate Court of Appeals of the State of Hawai'i vacate the judgments of the Circuit Court of the Third Circuit and remand for entry of an order dismissing Count I of Honoka'a Land's complaint as moot, and further proceedings on Count II. Honoka'a Land Company, LLC appeals from the March 22, 2021 Final Judgment re: Specific Performance for Boteilho Hawaii Enterprises, Inc. and Edward Boteilho, Jr.; and the July 21, 2021 Final Judgment for Boteilho Hawaii, Boteilho, Dutch-Hawaiian Farms LLC, Mauna Kea Moo, LLC, Kees Kea, Cornel Kea, and Malena Kea, both entered by the Circuit Court of the Third Circuit. This case involves the Clover Leaf Dairy. It was operated by Boteilho Hawaii on land under Lease from the State of Hawaii. In January 2017 Boteilho Hawaii and Honoka'a Land signed a Contract for Honoka'a Land to purchase the Dairy for $2 million. In January 2020 Boteilho Hawaii agreed to sell the Dairy to Kees Kea for $700,000. On July 9, 2020, Honoka'a Land sued Boteilho Hawaii for breach of contract (Count I), and Boteilho, Dutch-Hawaiian, Mauna Kea, and the Keas for tortious interference with contractual relations (TICR) (Count II). Honoka'a Land sought specific performance of the Contract, damages, costs, and attorney fees. Boteilho Hawaii and Boteilho moved for partial summary judgment on Honoka'a Land's specific performance claim, which was part of Count I (MPSJ). The Circuit Court granted the MPSJ and purported to enter a Hawaii Rules of Civil Procedure Rule 54(b)-certified judgment. Honoka'a Land's appeal created Judiciary Information Management System (JIMS) No. CAAP-21-0000290. Dutch-Hawaiian and Mauna Kea then moved for summary judgment (MSJ). Boteilho Hawaii and Boteilho joined in the MSJ. The Circuit Court granted the MSJ and awarded attorney fees to Boteilho Hawaii, Boteilho, Dutch-Hawaiian, and Mauna Kea. The Final Judgment was entered on July 21, 2021. Honoka'a Land's appeal created JIMS No. CAAP-21-0000470. Honoka'a Land contends that the Circuit Court erred by: (1) granting the MPSJ; (2) certifying its order granting the MPSJ under HRCP Rule 54(b); (3) granting the MSJ; and (4) awarding attorney fees. Honoka'a Land's breach-of-contract claim against Boteilho Hawaii (Count I) was rendered moot by Boteilho Hawaii's discharge in bankruptcy. Kees Kea, Cornel Kea, and Malena Kea neither moved for summary judgment nor joined in Dutch-Hawaiian and Mauna Kea's motion for summary judgment. The Circuit Court thus erred by entering the Final Judgment for the Keas, the Appellate Court finds. Dutch-Hawaiian and Mauna Kea argued it was the law of the case that there was no enforceable contract between Honoka'a Land and Boteilho Enterprises to purchase the Dairy. They relied on the order granting Boteilho Enterprises' MPSJ. The MPSJ argued Honoka'a Land wasn't entitled to specific performance because it couldn't show it was ready, willing, and able to perform under the Contract. It did not argue there was no contract -- it actually attached a copy of the Contract to its motion -- or that the Contract was unenforceable or had been terminated. Honoka'a Land opposed the MPSJ with a declaration from the president of its sole member. He stated that Honoka'a Land was ready, willing, and able to tender the purchase price under the Contract. He also stated that Honoka'a Land was ready, willing, and able to apply for State approval of an assignment of the Lease. Thus, there was a genuine issue of material fact about whether Honoka'a Land was ready, willing, and able to perform under the Contract. The Circuit Court erred by granting the MPSJ, the Appellate Court holds. As a matter of law, the order granting the MPSJ should not have formed the law of the case. The Appellate Judges conclude that utch-Hawaiian and Mauna Kea failed to sustain their burden as MSJ movant to show there was no contract to sell the Dairy to Honoka'a Land, that they didn't induce Boteilho Hawaii to breach the Contract, that Honoka'a Land had no damages, or that Honoka'a Land couldn't sustain its burden to prove TICR. The Circuit Court erred by granting the MSJ. A copy of the Court's Summary Disposition Order is available at https://urlcurt.com/u?l=1O1olu About Boteilho Hawaii Enterprises Boteilho Hawaii Enterprises, Inc. operates the Cloverleaf Dairy in North Kohala, near Hawi, on the northern tip Hawaii island. The Boteilho family has operated it continuously since 1962. The Debtor is the last remaining commercial dairy farm in the State of Hawaii. Boteilho Hawaii Enterprises sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Hawaii Case No. 22-00827) on Nov. 21, 2022. In the petition signed by Edward Boteilho, Jr., president, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Robert J. Faris oversees the case. The Debtor tapped Chuck C. Choi, Esq., at Choi & Ito as bankruptcy counsel, Dentons as special litigation counsel, and Richard M. Okuna as accountant. BOYD GAMING: Egan-Jones Retains BB- Senior Unsecured Ratings ------------------------------------------------------------ Egan-Jones Ratings Company on June 18, 2025, withdrew its 'BB-' foreign currency and local currency senior unsecured ratings on debt issued by Boyd Gaming Corporation. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Las Vegas, Nevada, Boyd Gaming Corporation is a casino entertainment company. BRC CAPITAL: Unsecureds to be Paid in Full over 60 Months --------------------------------------------------------- BRC Capital, LLC filed with the U.S. Bankruptcy Court for the Northern District of Illinois a Disclosure Statement describing Plan of Reorganization dated June 12, 2025. The Debtor is in the business of operating a commercial parcel of real estate in Chicago, Illinois. The Debtor is the owner and landlord of the real property commonly known as 1615 Vollmer Rd., Flossmoor, Illinois ("the Property") and has two tenants. Accordingly, the Debtor has the right of management and control as to the Property, and this matter is a single asset real estate case, as defined at Section 101(51B) of the Code. The Debtor is an Illinois Limited Liability Company, and its Managing Member is Louis Morgan. This case was necessitated by the impending expiration of the redemption period and tax sale of the Property. Initially, the real estate taxes had been purchased at sale by FNA DZ, LLC and Integrity Investment Fund, LLC. The Debtor was able to file the original case prior to the expiration of the redemption date of May 10, 2024. Subsequently, both tax purchasers voluntarily issued sales in errors resulting in the tax claims reverting to the Cook County Treasurer. This case was filed primarily for the purpose of redeeming by payment over time the real estate tax claims. The Debtor's Plan of Reorganization contemplates repayment of 100% to all creditors with payments to be made to creditors over a total of five years (60 months) which will pay approximately $614,700 throughout the life of the Plan. The Plan will be funded by the Debtor from its business operations in the amount of $10,000 per month, and an additional $250 per month funded by the Debtor's Members over the life of the Plan. Louis Morgan, the Debtor's managing member, will be responsible for the administration of payments to Creditors under the terms of the Plan. Upon confirmation of the Plan, the Reorganized Debtor will either retain its DIP checking account or open a new account separate from its business operating account for the purposes of funding and disbursements hereunder. The Reorganized Debtor will either pay quarterly payments out of the existing DIP account or deposit the monthly payment into that separate account and make distributions to creditors quarterly on the last business day of each third month following the Plan Effective Date until completion of all required payments. Payments under the Plan will be funded from income the Reorganized Debtor generates in connection with its operation of the Property. The Class 4 Claimants consist of the general unsecured creditors (GUC). To be paid in full over 60 months without interest in approximately $115/mo. Installments paid quarterly pro-rata. The allowed unsecured claims total $6,653. The Class 5 Claimants consist of the holders of memberships of BRC Capital LLC, and will receive no payments under the terms of this Plan, but will retain their pre-petition interests in the Reorganized Debtor. The Class 4 Claimants will collectively contribute an additional $250 per month to the Plan payments for 60 months in the gross amount of $15,000 to help fund the Plan as their new value contribution. The Debtor intends to continue its operations which, based upon historical data and the budget projections should generate net positive cash flow sufficient to pay the distributions required under the Plan. All distributions under the Plan will be made from the Debtor's future income and supplemented by the Debtor's members' contributions. A full-text copy of the Disclosure Statement dated June 12, 2025 is available at https://urlcurt.com/u?l=CfC4JL from PacerMonitor.com at no charge. Counsel to the Debtor: Konstantine T. Sparagis, Esq. Law Offices of Konstantine Sparagis, P.C. 900 W. Jackson Blvd., Ste. 4E Chicago, IL 60607 Telephone: (312) 753-6956 Email: gus@konstantinelaw.com About BRC Capital LLC BRC Capital LLC is a single asset real estate company based in Flossmoor, Illinois. BRC Capital LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-00789) on Jan. 20, 2025. In its petition, the Debtor estimated assets between $500,000 and $1 million and liabilities between $100,000 and $500,000. Bankruptcy Judge Deborah L. Thorne handles the case. The Debtor is represented by Konstantine T. Sparagis, Esq. at Law Offices of Konstantine Sparagis PC. BRIGHT GREEN: Claimant Granted Stay Relief in Adversary Proceeding ------------------------------------------------------------------ Judge Robert H. Jacobvitz of the United States Bankruptcy Court for the District of New Mexico will grant the motion for relief from stay filed by John Fikany in the bankruptcy case of Bright Green Corporation pursuant to 11 U.S.C. Sec. 362 to continue the adversary proceeding currently pending in the Thirteenth Judicial State District Court of New Mexico. Mr. Fikany seeks relief from the automatic stay to proceed to a jury trial on his claims against Debtor and third-parties Lynn and John Stockwell in the State Court Action. Debtor had removed the State Court Action to the Bankruptcy Court, initiating Adversary Proceeding No. 25-1010. On May 28, 2025, the Bankruptcy Court held a final evidentiary hearing on the Motion for Relief from Stay in this Bankruptcy Case and on Mr. Fikany's motion for abstention and remand in the Adversary Proceeding. On June 6, 2025, the Bankruptcy Court entered an order in Adversary Proceeding No. 25-1010 granting a motion for abstention and remand in which it remanded the removed state court action entitled Bright Green Corporation vs. John Fikany, D-1333-CV-2020-00231, which is pending in the Thirteenth Judicial District Court of the State of New Mexico. Debtor commenced the State Court Action by filing a complaint against Mr. Fikany seeking a declaratory judgment that: (i) there never was an agreement entitling Mr. Fikany to become a shareholder in Debtor, (ii) Mr. Fikany never became a shareholder of Debtor, (iii) Mr. Fikany did not fulfill and satisfy the agreed upon and express conditions precedent to earn the compensation contemplated by the Agreement by failing to complete the Acoma Pueblo Project and obtaining all necessary licenses and approvals needed to operate the hemp and cannabis growing operation and (iv) Mr. Fikany is not entitled to any stock in Debtor. Mr. Fikany filed a jury demand, an answer to Debtor's Amended Complaint, counterclaims against Debtor, and third-party claims against Lynn and John Stockwell in March 2021. In his claims against Debtor and the Stockwells, Mr. Fikany asserts he is entitled to compensatory, punitive, and/or statutory damages under the following theories: (1) wrongful termination in violation of public policy, (2) unpaid wages under N.M.S.A. 1978, Sec. 50-4-4(A), (3) breach of employment contract, (4) promissory estoppel, (5) fraud in the inducement, (6) breach of the duty of good faith and fair dealing, (7) negligent misrepresentation, (8) constructive trust, (9) breach of personal guarantee, and (10) breach of contract. Following a bench trial, the State Court issued detailed findings of fact and conclusions of law in which the State Court determined that 5,000,000 shares of stock in Debtor were transferred to Mr. Fikany as a result of which he became the owner of the shares, Mr. Fikany's entitlement to the shares was not contingent on completion of the Acoma Project, and even if there had been such a contingency it was satisfied. The State Court also ruled, with respect to Mr. Fikany's damages claim for the lost value of his 5,000,000 shares of stock which the State Court found to have been wrongfully canceled. Mr. Fikany seeks stay relief to pursue his claims in the now-remanded State Court Action against Debtor. Whether relief from the automatic stay is warranted to proceed with an action in another court is governed by 11 U.S.C. Sec. 362(d)(1), which allows the Bankruptcy Court to grant a party relief from the automatic stay for "cause." Mr. Fikany filed a proof of claim in the amount of $488,241.260. The proof of claim is based on the same claims he has asserted against Debtor in the State Court Action. According to Judge Jacobvitz, "Mr. Fikany's claim against Debtor should be determined by the State Court in the remanded State Court Action rather than in bankruptcy court." The Bankruptcy Court has determined that cause exists to modify the automatic stay only to permit prosecution of the State Court Action to final judgment on all claims. The automatic stay will remain in place pending further order of the Bankruptcy Court or termination of the stay by operation of law, with respect to enforcement of a judgment against Debtor or property of the estate. A copy of the Court's Memorandum Opinion is available at https://urlcurt.com/u?l=Q4M4P9 from PacerMonitor.com. About Bright Green Corporation Bright Green Corporation, was among the first entrants in the U.S. federally authorized cannabis space for research and medical development. The Debtor filed a Chapter 11 bankruptcy petition (Bankr. D.N.M. Case No. 25-10195-11) on Feb. 22, 2025. The Debtor hires NEPHI D. HARDMAN ATTORNEY AT LAW, LLC as counsel. BROADWAY REALTY: Seeks Final OK to Use Cash Collateral ------------------------------------------------------ Broadway Realty I Co., LLC and its affiliates asked the U.S. Bankruptcy Court for the Southern District of New York for authority to use cash collateral on a final basis. The Debtors need to use cash collateral, which includes post-petition rental income and a $7.4 million pre-funded property tax reserve to operate their business and preserve the value of 93 multifamily, rent-stabilized residential properties in New York City during their Chapter 11 proceedings. These buildings house over 5,000 tenants. The Debtors, who filed for bankruptcy on May 21, argued that continued access to rental income is essential for paying operating costs such as maintenance, utilities, emergency repairs, and capital expenditures. They also requested approval to use the tax advance to pay upcoming semi-annual property taxes, originally funded for that purpose under their loan agreements with Flagstar Bank, their sole secured creditor. Flagstar holds mortgages totaling approximately $564 million on all the Debtors' properties. While it objects to the continued use of cash collateral, the Debtors cite recent property appraisals by Bowery Valuation (as of June 1), which demonstrate that Flagstar is over-secured on each individual loan and protected by a "substantial aggregate equity cushion." This equity cushion provides adequate protection under 11 U.S.C. Section 363(e), which allows use of collateral if the secured lender's interests are not being harmed. Additionally, the potential for increased property value through future condominium conversions and plan-based tax efficiencies further supports the proposed use of funds. About Broadway Realty I Co. Broadway Realty I Co., LLC is a real estate investment business and management company headquartered in New York City. The company operates from its principal location at 2 Grand Central Tower in Manhattan, with its main asset property at 4530 Broadway in New York. It specializes in real estate investment and property management activities across the New York metropolitan area. Broadway Realty I Co. and affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 25-11050) on May 21,2025. In its petition, Broadway Realty I Co. reported between $500 million and $1 billion in both assets and liabilities. Judge David S. Jones, Esq. handles the cases. The Debtors are represented by Gary Holtzer, Esq., at Weil Gotshal & Manges, LLP. Flagstar Bank, N.A., as creditor, is represented by: Harvey A. Strickon, Esq. Brett Lawrence, Esq. Justin Rawlins, Esq. Nicholas A. Bassett, Esq. PAUL HASTINGS LLP 200 Park Avenue New York, New York 10166 Telephone: (212) 318-6000 Facsimile: (212) 319-4090 Emails: harveystrickon@paulhastings.com brettlawrence@paulhastings.com justinrawlins@paulhastings.com nicholasbassett@paulhastings.com BUILT TO LAST: Gets Interim OK to Use Cash Collateral Until July 30 ------------------------------------------------------------------- Built to Last Construction, LLC got the green light from the U.S. Bankruptcy Court for the Southern District of Indiana, Indianapolis Division, to use cash collateral. The court's order authorized the Debtor's interim use of cash collateral for the period from June 16 to July 30 to pay operating expenses in accordance with its budget. As protection for the Debtor's use of their cash collateral, lenders will be granted replacement liens on cash collateral generated by the Debtor after the petition date, with the same priority and extent as their pre-bankruptcy liens. The lenders are Huntington National Bank, Quick Bridge Funding LLC, Mahindra Finance USA LLC, and Corporation Service Company, as representative. SBA is believed to hold a first-priority lien. Meanwhile, the Debtor was ordered to continue its monthly payments to Ford Motor Credit and John Deere Financial, which hold purchase money security interests in certain company equipment. As of the petition date, Ford was owed $4,146 while John Deere Financial was owed $14,000. The Debtor believes the collateral for the debts owed under their loan agreements are worth more than the outstanding balance of the loans. The final hearing is scheduled for July 30. About Built to Last Construction Built to Last Construction, LLC provides services ranging from roofing jobs, bathroom and kitchen remodels, to constructing decks, updating and replacing windows and remodeling basements. Built to Last Construction sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ind. Case No. 25-03452) on June 16, 2025, listing up to $500,000 in assets and up to $1 million in liabilities. Bradley Ford, managing member, signed the petition. Judge Andrea K. McCord oversees the case. Morgan A. Decker, Esq., at Rubin and Levin, PC, represents the Debtor as legal counsel. BULLER MEDIA: Seeks to Use Cash Collateral Until Aug. 31 -------------------------------------------------------- Buller Media Corporation asked the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division, for authority to use cash collateral through August 31 and provide adequate protection to its secured creditor, Bay First National Bank. The Debtor has two outstanding loans with Bay First totaling over $230,000, secured by personal property such as equipment, accounts, and other business assets. The Debtor requested retroactive authority to use cash collateral from the date of the bankruptcy filing and proposed to grant Bay First replacement liens on receivables and other assets as adequate protection, limited to any decrease in the value of Bay First's collateral. The Debtor has about $30,151 in bank accounts, $4,389 in accounts receivable, and approximately $25,855 in equipment. A court hearing is scheduled for July 2. About Buller Media Corporation Buller Media Corporation sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-09018) on June 13, 2025. In the petition signed by Steven E. Buller, president, the Debtor disclosed up to $50,000 in assets and up to $500,000 in liabilities. Judge Timothy A. Barnes oversees the case. Joel Schechter, Esq., at Law Offices of Joel A. Schechter, represents the Debtor as legal counsel. BURGESS POINT: Moody's Cuts CFR to 'Caa2', Outlook Stable --------------------------------------------------------- Moody's Ratings downgraded Burgess Point Purchaser Corporation's (Burgess Point) (d/b/a TERREPOWER and f/k/a BBB Industries) corporate family rating to Caa2 from B3 and probability of default rating to Caa2-PD from B3-PD. Moody's also downgraded the backed senior secured bank credit facilities rating to Caa1 from B2. The outlook is stable. The ratings downgrades reflect Moody's expectations that the company will continue to operate with weak liquidity attributed to ongoing negative free cash flow and limited revolver availability, very high leverage and low interest coverage. Governance was a key consideration for this rating action. Governance factors including aggressive financial strategies and risk management practices resulted in weak liquidity and high financial leverage. The credit impact score was revised to CIS-5 from CIS-4 to reflect these risks and management's track record of failing to adequately generate sufficient cash flow to service the high debt balance and support investment in the business. The CIS-5 indicates that the rating is lower than it would have been if ESG risk exposures did not exist and that the negative impact is more pronounced than for issuers scored CIS-4. RATINGS RATIONALE Burgess Point's Caa2 CFR reflects weak liquidity and very high financial leverage. Burgess Point has a high debt balance and the associated interest costs result in ongoing negative free cash flow. There is limited financial flexibility for Burgess Point to absorb any underperformance or negative developments over the next several quarters. Moody's expects debt-to-EBITDA to decline but still be approximately 9.0x by the end of 2025. Further, EBITDA to interest expense is expected to remain weak at below 1.0x in 2025. The modest improvement in leverage reflects Moody's expectations that Burgess Point will have revenue growth in 2025. Most of the growth is expected to come from a full year of revenue from All Star Auto Lights, which was acquired in August 2024, and some organic growth. Moody's forecasts modest EBITDA margin expansion as the company focuses on cost containment measures. Moody's expects Burgess Point will have weak liquidity over the next twelve to eighteen months. Moody's expects continued negative free cash flow will require Burgess Point to remain reliant on its two revolvers. However, availability under those arrangements are already constrained. Availability under the company's asset-based lending facility is suppressed by a borrowing base which has been below the $125 million commitment. Further, the company will likely be limited in drawing further on the facility due to the springing covenant requirements. The company also has a $100 million revolving credit facility with $31 million already drawn at March 31, 2025. The stable outlook reflects Moody's expectations for revenue growth and modest margin expansion from pricing actions and cost containment initiatives. These factors are expected to lead to modest leverage reduction, although debt-to-EBITDA is expected to remain high. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be downgraded if Burgess Point fails to improve liquidity, including generating positive free cash flow or increasing revolver availability, or if the capital structure becomes untenable. A downgrade could also occur if Moody's believes the likelihood of default, including a distressed exchange, increases or Moody's estimates of recovery rates declines. The ratings could be upgraded if Burgess Point materially improves its liquidity and operating performance. In addition, demonstrating a trajectory of meaningfully reducing debt-to-EBITDA and adequately covering the related interest expense could support an upgrade. The principal methodology used in these ratings was Automotive Suppliers published in December 2024. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. Headquartered in Daphne, Alabama, Burgess Point Purchaser Corporation (d/b/a TERREPOWER and f/k/a BBB Industries) is a supplier of primarily remanufactured non-discretionary replacement parts for automotive, industrial, energy and solar markets in North America and Europe. The company's main products include alternators, starters, brake calipers, power steering components and turbochargers. For the twelve months ended March 31, 2025 the company's net revenue was approximately $1.2 billion. C M HEAVY: Taps Receivables Control Corp as Collection Agent ------------------------------------------------------------ C M Heavy Machinery, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Oklahoma to employ Logan Dahlk and Receivables Control Corp as accounts receivable collection agents. The firm will assist the Debtor in the identification, collection, and recovery of outstanding receivables owed to the its estate. The services include, identifying and verifying all outstanding accounts receivables, contacting account debtors to secure timely payments, negotiating payment plans or settlements, if necessary, to maximize recovery, providing regular reports on collection efforts and expected receivable recoveries, and advising the Debtor on receivable-related disputes and potential litigation strategies. The proposed compensation structure is a contingency fee of 35 percent of all funds recovered from a total receivable portfolio of $492,994.09. Receivables Control Corp is disinterested and does not hold or represent any interest adverse to the estate, according to court filing. The firm can be reached through: Logan Dahlk Receivables Control Corp 7373 Kirkwood Ct Suite 200 Maple Grove, MN 55369 Phone: (763) 315-9600 About C M Heavy Machinery C M Heavy Machinery, LLC sells and rents a full range of heavy machinery and equipment. It is based in Okemah, Okla. C M Heavy Machinery filed Chapter 11 petition (Bankr. E.D. Okla. Case No. 24-80617) on August 8, 2024, with total assets of $19,152,335 and total liabilities of $5,491,300. Clint Meadors, president, signed the petition. Judge Paul R. Thomas oversees the case. The Debtor tapped Maurice VerStandig, Esq., at The Verstanding Law Firm, LLC as counsel and Zachary Richardson as accountant. CAESARS ENTERTAINMENT: Egan-Jones Retains CCC Sr. Unsec. Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on May 29, 2025, maintained its 'CCC' foreign currency and local currency senior unsecured ratings on debt issued by Caesars Entertainment, Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Reno, Nevada, Caesars Entertainment, Inc. is a gaming company operating casino resorts. CAESARS HOLDINGS: Egan-Jones Retains CCC Sr. Unsec. Ratings ----------------------------------------------------------- Egan-Jones Ratings Company on May 29, 2025, maintained its 'CCC' local currency senior unsecured ratings on debt issued by Caesars Entertainment, Inc. Headquartered in Reno, Nevada, Caesars Entertainment, Inc. is a gaming company operating casino resorts. CALI MADE: Unsecured Creditors Will Get 1% of Claims in Plan ------------------------------------------------------------ Cali Made Cold Planing LLC filed with the U.S. Bankruptcy Court for the Central District of California an Amended Plan of Reorganization for Small Business dated June 12, 2025. The Debtor provides paving and asphalt work as a subcontractor to general contractors. The Debtor specializes in telecommunication trenches and pothole repairs, as well as installation and maintenance of asphalt surfaces. The Debtor is managed and operated by its 4 shareholders, each one of whom holds a 25% equity security interest in the Debtor. The equity security holders are Alexander Lopez, his spouse Sarah Lopez, and Sarah's parents, Estela Sanchez and Zeferino Sanchez. In 2024 the Debtor had a bad year, with an approximate 50% drop in revenue from the previous year. This decline resulted in Debtor missing payments on its equipment and trucks and trailers, and resorting to chapter 11 bankruptcy filing to restructure and get a fresh start. Since the petition date, the Debtor made changes to its working model which is promising to generate more income. This Amended Plan classifies Debtor's secured creditors in 14 classes, the priority tax claim of Franchise Tax Board separately to be paid in full on the effective date of the Amended Plan, and the general unsecured creditors in a separate class. Class 2 consists of General Unsecured Claims. Total general unsecured claims including the undersecured portions of claims is $1,549,298.58. This Class shall receive a monthly payment of $258.21 from August 1, 2025 to August 1, 2030. This Class will receive a distribution of 1% of their allowed claims. This Class is impaired. The Debtor will fund its Amended Plan from the continued operation of its business. Since the filing of the case, the Debtor reduced its overhead expenses and is working on expanding the scope of services it provides to attract more bids. It has a very good reputation in the community and receives many referrals from contractors and other parties. Debtor also has a number of clients that it does business on a regular basis, which guarantees continued flow of work to generate the funds needed to support the proposed reorganization plan. A full-text copy of the Amended Plan dated June 12, 2025 is available at https://urlcurt.com/u?l=PqO3ji from PacerMonitor.com at no charge. Counsel to the Debtor: Michael Jay Berger, Esq. Law Offices of Michael Jay Berger 9454 Wilshire Blvd, 6th Floor Beverly Hills, CA 90212 Telephone: (310) 271-6223 Facsimile: (310) 271-9805 Email: Michael.Berger@bankruptcypower.com About Cali Made Cold Planing LLC Cali Made Cold Planing LLC is a services company based in Mentone, California. Cali Made Cold Planing sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-10398) on Jan. 24, 2025. In its petition, the Debtor estimated assets and liabilities between $1 million and $10 million. Bankruptcy Judge Scott H. Yun handles the case. The Law Offices of Michael Jay Berger serves as the Debtor's counsel. CAMERON THE SANDMAN: Seeks to Use Cash Collateral ------------------------------------------------- Cameron the Sandman, Inc. asked the U.S. Bankruptcy Court for the Eastern District of Michigan, Southern Division, for authority to use cash collateral and provide adequate protection. The Debtor seeks to use cash collateral as working capital to maintain business operations, including staffing and administration, as outlined in its budget. The primary secured creditor is PNC Bank, National Association, which holds a first lien securing a $103,000 loan. Although the Debtor's business assets are valued at only $13,500, PNC is also secured by a mortgage on third-party property with sufficient value. A second lien creditor, the U.S. Small Business Administration, holds a lien on cash collateral but its $385,000 loan is entirely unsecured. To protect the interests of secured creditors, the Debtor proposed providing adequate protection in the form of maintaining the going-concern value of the business through continued operations and replacement liens on post-petition cash, limited to the same extent and priority of pre-bankruptcy liens. A court hearing is set for July 2. About Cameron the Sandman Inc. Cameron the Sandman, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Mich. Case No. 25-46278-tjt) on June 19, 2025. In the petition signed by Greg Cameron, sole shareholder, the Debtor disclosed up to $50,000 in assets and up to $1 million in liabilities. Judge Thomas J. Tucker oversees the case. George E. Jacobs, Esq., at Bankruptcy Law Offices, is the Debtor's bankruptcy counsel. PNC Bank, National Association, as secured creditor, is represented by: Kelly J. Shefferly, Esq. Plunkett Cooney 38505 Woodward Avenue, Suite 100 Bloomfield Hills, MI 48304 (248) 594-6309 kshefferly@plunkettcooney.com CAPTURE COLLECTIVE: Hires Book + Street as Financial Advisor ------------------------------------------------------------ Capture Collective, Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the Southern District of Ohio to employ Book + Street as financial advisor. The firm's services include: a) advising the Debtors with respect to the financial matters that arise during the Cases; b) assisting with the preparation of the Debtors' Schedules and Statement of Affairs, financial reports, budgets and projections as required or requested by the Court, the United States Trustee, and/or the Subchapter V Trustee; c) attending meetings and negotiating with representatives of the Debtors' creditors, equity holders, and other parties-in-interest as necessary; d) attending hearings as necessary to support the Debtors; e) advising the Debtors with respect to the financial aspects of any proposed plan of reorganization or sale ; f) assisting the Debtors in reviewing, assessing, estimating, and resolving claims asserted against the Debtors' estates; and g) providing other further advisory services reasonably related to bankruptcy compliance and restructuring support. The firm will be paid at these rates: Michelle Murcia $250 per hour Arthi Rathi $250 per hour As disclosed in the court filings, Book is a "disinterested person" within the meaning of 11 U.S.C. Secs. 101(14) and 101(31). The firm can be reached through: Michelle Murcia Book + Street 855 Grandview Ave #110 Columbus, OH 43215 Phone: (614) 382-6565 About Capture Collective Capture Collective, Inc. develops MiRAD, a high-throughput biodosimetry diagnostic test based on microRNA biomarkers to assess individual radiation exposure. The Company employs physiological, biochemical, and molecular techniques to support rapid and accurate biodosimetry in mass casualty situations. Its team includes experienced scientists and radiation experts dedicated to advancing emergency preparedness through innovative diagnostics. Capture Diagnostics and Capture Diagnostics HIB01 halted their COVID-19 testing operations in May 2023. Capture Collective and its affiliates filed Chapter 11 petitions (Bankr. S.D. Ohio Case No. 25-52291) on May 27, 2025. In the petitions signed by Scott Barnes, CEO and president, Capture Collective disclosed up to $3,470,581 in total assets and up to $836,316 in total liabilities. Judge John E. Hoffman Jr. oversees the case. Carolyn J. Johnsen, Esq., at Dickinson Wright PLLC represents the Debtors as legal counsel. CAPTURE COLLECTIVE: Seeks to Hire Kern Kendrick as Special Counsel ------------------------------------------------------------------ Capture Collective, Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the Southern District of Ohio to employ Kern Kendrick, LLC as special counsel. The firm's services include: a. advising the Debtors with respect to the maintenance of their licensed U.S. Patents; b. advising the Debtors with respect to the preparation, filing, prosecution, and maintenance of foreign and domestic patent applications; c. advising the Debtors with respect to the maintenance of their registered foreign and domestic trademarks; d. advising the Debtors with respect to the prosecution and maintenance of their trademarks applications; e. advising the Debtors with respect to their freedom to practice certain technologies; f. advising the Debtors with respect to the patentability of certain inventions; and g. advising the debtors with respect to potential license arrangements, including drafting and negotiating the licenses. The firm's customary and proposed flat fee rate is $10,000 per month. Kern Kendrick, LLC is a "disinterested person” within the meaning of 11 U.S.C. Secs. 101(14) and 101(31), according to court filings. The firm can be reached through: Benjamen Kern, Esq. Kern Kendrick, LLC 297 Stanbery Avenue Bexley, OH 43209 About Capture Collective Capture Collective, Inc. develops MiRAD, a high-throughput biodosimetry diagnostic test based on microRNA biomarkers to assess individual radiation exposure. The Company employs physiological, biochemical, and molecular techniques to support rapid and accurate biodosimetry in mass casualty situations. Its team includes experienced scientists and radiation experts dedicated to advancing emergency preparedness through innovative diagnostics. Capture Diagnostics and Capture Diagnostics HIB01 halted their COVID-19 testing operations in May 2023. Capture Collective and its affiliates filed Chapter 11 petitions (Bankr. S.D. Ohio Case No. 25-52291) on May 27, 2025. In the petitions signed by Scott Barnes, CEO and president, Capture Collective disclosed up to $3,470,581 in total assets and up to $836,316 in total liabilities. Judge John E. Hoffman Jr. oversees the case. Carolyn J. Johnsen, Esq., at Dickinson Wright PLLC represents the Debtors as legal counsel. CARAWAY TEA: Gets Interim OK to Use Cash Collateral --------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of New York entered an interim order, authorizing Caraway Tea Company LLC to use cash collateral. The Debtor was authorized to use cash collateral to pay ordinary and necessary business expenses as set forth in the budget. Spending is capped at 110% of budgeted amounts unless approved by M&T, Wallkill, and the U.S. Small Business Administrtion or by further court order. The Debtor's accounts are subject to liens from M&T Bank, Wallkill Valley Federal S&L, SBA, Fundbox, Rapid Finance, Kapitus, TD Bank, and First Citizens Bank. The Debtor disputes the validity or enforceability of some liens. As protection, lenders were granted post-petition replacement liens, with the same validity and priority as their pre-bankruptcy liens. In addition, the Debtor must make post-petition loan payments to M&T, Wallkill, and SBA per existing agreements. A further hearing on cash collateral use is scheduled for July 15. About Caraway Tea Company LLC Caraway Tea Company LLC is a U.S.-based private label tea manufacturer and co-packer that supplies specialty teas, supplements, and wholesale tea products. With over 20 years of experience, the Company sources from global tea-growing regions including China, India, Sri Lanka, and Japan, partnering directly with artisan growers using organic and sustainable practices. Caraway offers customized co-packing services across retail, foodservice, and e-commerce sectors, supported by in-house blending and manufacturing capabilities. Caraway Tea Company LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 25-35620) on June 9, 2025. In its petition, the Debtor reports estimated assets between $100,000 and $500,000 and estimated liabilities between $1 million and $10 million. The Debtors are represented by Michael D. Pinsky, Esq. at LAW OFFICE OF MICHAEL D. PINSKY, P.C. CAREERBUILDER + MONSTER: Seeks Chapter 11 Bankruptcy in Delaware ---------------------------------------------------------------- Ginger Christ of HRDive reports that CareerBuilder + Monster announced on Tuesday, June 24, 2025, that it has voluntarily filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the District of Delaware. The company has signed asset purchase agreements with three prospective buyers, each serving as a "stalking horse" bidder to establish the opening offers in the bankruptcy auction, according to HRDive. CEO Jeff Furman cited a difficult and uncertain economic climate as the driving force behind the decision. He said the company conducted a thorough sale process and determined that a court-supervised sale is the best way to preserve jobs and maximize the value of its assets. The bankruptcy filing comes nearly a year after CareerBuilder and Monster announced their merger, which they said would combine resources and capabilities to better serve job seekers and employers in a rapidly evolving employment landscape. The merger was completed in September 2024, giving Apollo—CareerBuilder's owner—a controlling interest in the joint venture, while Randstad, which owns Monster, retained a minority stake. Analysts viewed the merger as a strategic effort to compete more effectively in a job board market dominated by Indeed. Court documents show that CareerBuilder + Monster has between $50 million and $100 million in assets and owes between $100 million and $500 million. The company said it is restructuring its U.S. operations and exploring strategic alternatives for parts of its international business. "As we move through the sale process, we're making difficult but necessary decisions to cut costs and support a smooth transition," said CEO Jeff Furman. "As a company focused on people and talent, reducing our workforce is an especially difficult step." As part of the restructuring, the company has entered into asset purchase agreements with three buyers: JobGet Inc. for its job board operations; Valnet Inc. for Monster Media Properties, including military.com and fastweb.com; and Valsoft Corp. for Monster Government Services, which provides HR software to federal and state governments. The sales are expected to close in the coming weeks, pending court approval. CareerBuilder + Monster is also working to secure up to $20 million in debtor-in-possession financing from Blue Torch Capital to maintain operations during bankruptcy. The company has filed motions seeking court authorization to continue paying employee wages and benefits throughout the process, the report states. About CareerBuilder + Monster Venture CareerBuilder + Monster is an online job searching company. CareerBuilder + Monster sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-11200) on June 24, 2025. In its petition, the Debtor reports between $50 million and $100 million in assets and owes between $100 million and $500 million. Honorable Bankruptcy Judge J Kate Stickles handles the case. The Debtor is represented by Daniel J. DeFranceschi, Esq. and Zachary I. Shapiro, Esq. at Richards, Layton & Finger, P.A. CAREERBUILDER LLC: S&P Downgrades ICR to 'D' on Bankruptcy Filing ----------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on CareerBuilder LLC to 'D' from 'CCC-'. S&P also lowered its issue-level rating on the company's first-lien term loan to 'D' from 'CCC-'. On June 24, 2025, U.S based software and services provider for hiring and managing employees CareerBuilder LLC filed for Chapter 11 Bankruptcy. S&P downgraded CareerBuilder after it initiated proceedings under Chapter 11 of the U.S. Bankruptcy Code. This follows a constant deterioration in the company's profitability, liquidity, and cash flows due to a challenging macroeconomic environment, leading to softening of the labor market and lower hiring demand. The company's turnaround initiatives--which included a merger with Monster to achieve synergies--was insufficient to materially improve operating performance. Revenue for the trailing 12 months as of March 31, 2025, declined by 32% to $66 million. The first-lien term loan had approximately $133 million outstanding at the time of default. The company intends to finance its operations and bankruptcy related expenses throughout the Chapter 11 proceedings through a $20 million loan subject to bankruptcy court approval. As part of the bankruptcy process, CareerBuilder intends to sell or wind down job board business, Monster Media properties, and Monster Government Services. CARPENTER TECHNOLOGY: Egan-Jones Retains BB+ Sr. Unsecured Ratings ------------------------------------------------------------------ Egan-Jones Ratings Company on June 18, 2025, withdrew its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Carpenter Technology Corporation. Headquartered in Philadelphia, Pennsylvania, Carpenter Technology Corporation manufactures, fabricates, and distributes stainless steels, titanium, and specialty metal alloys. CELSIUS NETWORK: Symbolic Loses Bid to Dismiss Adversary Case ------------------------------------------------------------- In the adversary proceeding captioned as CELSIUS NETWORK LLC, et al., Plaintiff, v. SYMBOLIC CAPITAL PARTNERS LTD., Defendant, Adv. Pro. Case No. 24-03997 (S.D.N.Y.), Chief Judge Martin Glenn of the United States Bankruptcy Court for the Southern District of New York denied Symbolic Capital Partners Ltd.'s motion to dismiss for failure to timely serve the summons and complaint. Celsius is granted the discretionary extension. The initial complaint was brought by Celsius to avoid and recover from Symbolic transfers of property during the 90-day period before the commencement of the Debtor's chapter 11 cases. Symbolic brought this motion for Celsius's failure to timely serve the Complaint and Amended Complaint within the 90-day window pursuant to Rule 4(m) after the initiation of this adversary proceeding. While there is a good cause exception to Rule 4(m), Symbolic argues that it does not apply as Celsius is entirely at fault for the delay, since Celsius was actively litigating this matter and had access to Symbolic's address and legal department's email address, but did not take steps to effectuate service during the three months or to request more time. Symbolic argues that this Court should not (retroactively) provide Celsius with a discretionary extension of time to file, and should instead dismiss the case with prejudice, despite the fact that Rule 4(m) provides for dismissal without prejudice. Symbolic asserts that it would be prejudiced by an extension of time for Celsius to serve and that dismissal with prejudice is warranted, as the statute of limitations has passed and, in its view, Celsius's claims are irredeemably flawed and should be dismissed for substantive reasons. Celsius argues that there was good cause for its delayed service of process, and that the Court should exercise its discretion to extend the service deadline by 10 days. Celsius believes it made reasonable efforts to effect proper service. The Post-Effective Date Debtors requested the First Summons on Symbolic within weeks of filing the Complaint, but there was a misunderstanding with the Clerk's Office that led to the summons on Symbolic not being issued when Celsius originally requested it, a confusion that led to untimely service. Upon realizing its error, Celsius moved to fix it, resulting in a brief, week-and-a-half delay of service. Celsius argues that Symbolic has not demonstrated any prejudice from the 10-day delay in service of the Second Summons and Amended Complaint. Celsius contends that it was not required to request an extension of the time to serve in order for the Court to find good cause, and points to the fact that it realized its error concerning the service deadline and quickly thereafter requested and served a new summons. Even if this Court declines to find good cause, Celsius believes that the Court should exercise its discretion to extend the deadline, because, among other reasons, the statute of limitations would otherwise bar refiling, Symbolic has not been able to identify prejudice arising from the delay, and Second Circuit precedent shows a clear preference for resolving disputes on the merits. The Court finds an extension for good cause is not warranted because Celsius has not presented sufficient evidence of their diligence to serve or of exceptional circumstances beyond their control. Celsius did not make reasonable efforts to serve by notifying Symbolic using its available contact information, nor did Celsius request an extension once it realized that it would be unable to serve defendants before the service deadline. The Court, however, recognizes that this is a unique circumstance in which Celsius is handling more than 2,500 adversary complaints. The confusion with the Clerk's Office that Celsius attests to is, in part, a result of the administrative burden on the Court and the Clerk's Office by the filing of many adversary complaints. Although it is not clear that good cause for a mandatory extension is present, the Court finds that the circumstances justify a discretionary extension of time. A copy of the Court's Memorandum Opinion and Order is available at https://urlcurt.com/u?l=WKLrSV from PacerMonitor.com. About Celsius Network Celsius Network LLC -- http://www.celsius.network/-- is a financial services company that generates revenue through cryptocurrency trading, lending, and borrowing, as well as by engaging in proprietary trading. Celsius helps over a million customers worldwide to find the path towards financial independence through a compounding yield service and instant low-cost loans accessible via a web and mobile app. Celsius has a blockchain-based fee-free platform where membership provides access to curated financial services that are not available through traditional financial institutions. The Celsius Wallet claims to be one of the only online crypto wallets designed to allow members to use coins as collateral to get a loan in dollars, and in the future, to lend their crypto to earn interest on deposited coins (when they're lent out). Crypto lenders such as Celsius boomed during the COVID-19 pandemic, drawing depositors with high interest rates and easy access to loans rarely offered by traditional banks. But the lenders' business model came under scrutiny after a sharp sell-off in the crypto market spurred by the collapse of major tokens terraUSD and luna in May 2022. New Jersey-based Celsius froze withdrawals in June 2022, citing "extreme" market conditions, cutting off access to savings for individual investors and sending tremors through the crypto market. The list of major crypto firms that have filed for bankruptcy protection in 2022 now includes Celsius Network, Three Arrows Capital and Voyager Digital. Celsius Network, LLC and its subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 22-10964) on July 14, 2022. In the petition filed by CEO Alex Mashinsky, the Debtors estimated assets and liabilities between $1 billion and $10 billion. The Debtors tapped Kirkland & Ellis, LLP and Kirkland & Ellis International, LLP as bankruptcy counsels; Fischer (FBC & Co.) as special counsel; Centerview Partners, LLC as investment banker; and Alvarez & Marsal North America, LLC as financial advisor. Stretto is the claims agent and administrative advisor. On July 27, 2022, the U.S. Trustee appointed an official committee of unsecured creditors. The committee tapped White & Case, LLP as its bankruptcy counsel; Elementus Inc. as its blockchain forensics advisor; M3 Advisory Partners, LP as its financial advisor; and Perella Weinberg Partners, LP as its investment banker. Shoba Pillay, Esq., is the examiner appointed in the Debtors' Chapter 11 cases. Jenner & Block, LLP and Huron Consulting Services, LLC, serve as the examiner's legal counsel and financial advisor, respectively. * * * On November 9, 2023, the Bankruptcy Court entered the Findings of Fact, Conclusions of Law, and Order Confirming the Modified Joint Chapter 11 Plan of Celsius Network LLC and Its Debtor Affiliates. The Effective Date of the Plan occurred January 31, 2024. CENTURI HOLDINGS: Moody's Assigns 'Ba3' CFR, Outlook Stable ----------------------------------------------------------- Moody's Ratings assigned a Ba3 rating to Centuri Holdings, Inc.'s ("Centuri") proposed $1.22 billion senior secured first lien bank credit facilities, which include a $450 million revolver maturing in 2030 and a $770 million term loan B maturing in 2032. Moody's also assigned a Ba3 corporate family rating, Ba3-PD probability of default rating, a Speculative Grade Liquidity rating of SGL-3, and a stable ratings outlook to Centuri Holdings, Inc. Upon the closing of the transaction and once the existing credit facility amounts at Centuri Group, Inc. are repaid, Moody's will be withdrawing the existing Ba3 CFR, Ba3-PD probability of default rating, and the SGL-3 speculative grade liquidity rating for Centuri Group, Inc. since it is Moody's conventions to assign the "issuer" ratings to the highest level in a family's corporate structure that has rated debt. The proceeds from the issuance of the $1.22 billion senior secured credit facilities will be used to pay off the existing revolver and term loan as well as transaction fees and expenses. RATINGS RATIONALE Despite a modest increase in pro forma debt, the refinancing is viewed positively as it enhances liquidity, extends maturities, and provides some covenant flexibility. Centuri's Ba3 CFR is supported by its strong position as a utility infrastructure services company, multi-year master service agreements which provide revenue visibility, highly-rated utility customer base, and favorable contract pricing terms which provide a high degree of revenue and margin stability. The rating is further supported by long-term relationships with most of its customers and average length of contracts. The company's end markets should continue to experience healthy demand given an aging infrastructure and the importance of the utility industry in the US. The credit profile is constrained by modest scale and diversity compared to higher rated peers, meaningful concentration with its top customers, inconsistent free cash flow generation over the years, and limited track record of operating as a standalone company. For 2025, Moody's expects modest EBITDA growth driven by continued strength on the electric utility side and a recovery of the gas utility segment following a weak Q1. Moody's expects the Moody's adjusted leverage to be slightly below 4.0x by end of 2025. Over the medium term, Moody's expect Centuri to continue delivering organic growth driven by increasing power demand as a result of continued electrification of the economy, grid resilience and hardening initiatives, and sustained data center construction necessitated by further adoption of AI. Centuri has adequate liquidity supported by, pro forma for the contemplated refinancing transaction, approximately $15 million of balance sheet cash and $213 million of availability (based on covenant constraints) under its $450 million revolver. Revolver borrowings are subject to a net leverage ratio covenant, which will start at 4.5x and steps down to 4.0x after four fiscal quarters, and a minimum interest coverage ratio covenant of 2.5x. Moody's expects the company to remain in compliance with the covenants over the next 12-18 months. The Ba3 ratings for the senior secured term loan and revolving credit facility are in line with the Ba3 CFR given the preponderance of secured debt in the capital structure. The stable outlook assumes stable operations supported by sufficient liquidity and expects the company to prioritize deleveraging before pursuing any shareholder returns or meaningful M&A activities. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Moody's could consider an upgrade if the company improves its scale and diversity, Debt/EBITDA is sustained below 2.75x, EBITDA/interest expense is sustained above 4.0x, and retained cash flow to total debt (RCF/Debt) is consistently in excess of 20%. Moody's could consider a downgrade if Debt/EBITDA is sustained above 4.5x, EBITDA/interest expense is sustained below 2.5x, retained cash flow to total debt (RCF/Debt) is sustained below 10%, the company experiences material deterioration in its liquidity profile, there is a large debt-financed acquisition, or a loss of a major customer. Centuri Holdings, Inc., headquartered in Phoenix, AZ, provides outsourced services to gas and electric utilities across the US and Canada. Following the 2024 IPO of Centuri and subsequent secondary sales in 2025, its parent Southwest Gas, a regulated utility holding company, currently retains approximately 53% ownership interest. Centuri reported revenue of $2.7 billion for the last twelve months ended March 31, 2025. The principal methodology used in these ratings was Construction published in April 2025. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. CIRION TECHNOLOGIES: S&P Affirms 'B+' ICR, Alters Outlook to Neg. ----------------------------------------------------------------- S&P Global Ratings revised the outlook to negative from stable and affirmed the 'B+' long-term issuer credit rating on Cirion Technologies (Cirion). The negative outlook reflects increased risk of a potential downgrade in the next six months if S&P doesn't see a change in revenue and profitability trends, and operating performance is insufficient to support sustained deleveraging and improved cash flow. Cirion has been struggling to grow revenue amid the ongoing winddown of lower-margin products, the sale of Lumen's content delivery network business, and some execution challenges. The company reported a revenue decline of 8.5% at year-end 2024, after a low-single-digit increase in 2023. In addition, during first-quarter 2025, revenue declined about 12% year on year, mainly due to weaker performance from the fiber business given an unexpected high churn event, higher customer credits and associated reserves related to last year's billing transition, and the more rapid winddown of low-margin products. This was partially offset by continued monthly recurring revenue growth in core data center services, collocation, and interconnections. S&P expects the winddown of low-margin products (wholesale voice and public cloud service reselling) will continue to weigh on full-year 2025 results, with revenue declining 7%-8%. Completion of certain investment projects, recent management hires, and a new commercial strategy may improve performance in 2026. To restore growth, Cirion made several strategic hires to supplement the existing management team. In addition, the company has invested in strategic fiber and data center projects, including a new subsea fiber route and new data centers in Lima and Santiago, scheduled for completion in second-quarter 2025. S&P said, "We expect that the new commercial strategy--targeting enterprises, hyperscalers, and service providers--combined with the operation of the new facilities, should contribute to revenue growth in the coming years. While we think execution risks will remain given macroeconomic uncertainties, along with increasing market competition, we also forecast revenue will recover and grow 5%-6% in 2026. "Additionally, we believe a larger proportion of higher-margin services in the mix and the launch of several cost-saving actions by management will allow margins to recover to 35.5% in 2025 and about 37.5% in 2026, from 33.5% in 2024. "We now expect slower deleveraging amid weaker than previously expected performance. The considerably weaker top line in 2024 and expected for 2025 will hit EBITDA and operating cashflow. We now expect EBITDA of $262 million in 2025 and $290 million in 2026, versus $325 million-$350 million in our previous projections. "Consequently, we forecast the company will take longer to deleverage, with debt to EBITDA peaking at 5x in 2025 and remaining at 4.0x-4.6x in the following two years." Persistently high capital expenditure (capex) requirements will continue to weigh on FOCF over the medium term. Cirion is prioritizing growth in high-margin and higher-growth products, which will drive increased investment, particularly during 2025. S&P expects capex to reach $320 million in 2025 (representing 42% of revenue), before decreasing to approximately $200 million in subsequent years (20%-25% of revenue). These investments will primarily support the expansion of the data center business--benefiting from high demand in the region--and subsea cable projects, resulting in an FOCF deficit of about $213 million in 2025, then narrowing to a deficit of $15 million-$45 million in the next two years. However, there is low visibility around the company's investment plans beyond 2025 and FOCF could considerably deviate from our base case if it pursues new projects. During the past few years, financial sponsor Stonepeak publicly committed to supporting capital investments through equity contributions, including $212 million in 2024. Additionally, during first-quarter 2025, it invested a further $32 million to fund the data center segment. S&P expects Stonepeak will continue to support capital investments, particularly project capex, but there is no publicly committed amount. Cirion's liquidity remains adequate. Its total liquidity as of March 2025 includes $44 million in cash on hand and $112 million available under its revolving credit facility that matures in 2027. In addition, the absence of material near-term debt maturities and the potential to reduce capex further support liquidity. The negative outlook reflects the potential for a lower rating due to the uncertainty around Cirion's ability to stabilize revenue and EBITDA and reduce cash burn, which could result in leverage persistently above 4x and FOCF remaining negative. S&P said, "We could lower the rating on Cirion in the next six months if we don't observe a change in revenue and profitability trends. This could result in leverage remaining considerably above 4x and no clear path to positive FOCF in the next couple of years. "We could revise the outlook to stable if the company successfully executes its strategy--improving revenue and EBITDA, and with leverage very close to or below 4x--and we observe a clear path to positive FOCF in the next couple of years." CLEVELAND-CLIFFS INC: Egan-Jones Hikes Sr. Unsec. Ratings to BB+ ---------------------------------------------------------------- Egan-Jones Ratings Company on June 12, 2025, upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Cleveland-Cliffs Inc. to BB+ from BBB-. Headquartered in Cleveland, Ohio, Cleveland-Cliffs Inc. manufactures custom-made pellets and hot briquetted iron (HBI), flat-rolled carbon steel, stainless, electrical, plate, tinplate and long steel products, as well as carbon and stainless steel tubing, hot and cold stamping and tooling. CM WIND: Egan-Jones Retains CCC+ Senior Unsecured Ratings --------------------------------------------------------- Egan-Jones Ratings Company on June 4, 2025, maintained its 'CCC+' foreign currency and local currency senior unsecured ratings on debt issued by CM Wind Down Topco Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Atlanta, Georgia, CM Wind Down Topco Inc. operates as a radio broadcasting company. CMC ADVERTISING: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: CMC Advertising Ltd. d/b/a Mailworks II 2 N. Westwood Ave. Toledo, OH 43607 Business Description: CMC Advertising Ltd., dba Mailworks II, provides integrated direct mail and digital marketing solutions across the U.S. The Company offers a campaign platform called Mail Works DI, which combines traditional mail with digital channels such as Google, Facebook, Instagram, and USPS Informed Delivery to increase engagement and attribution. It also offers a range of print services including wide-format printing, dye sublimation, and signage from its Toledo facility. Chapter 11 Petition Date: June 27, 2025 Court: United States Bankruptcy Court Northern District of Ohio Case No.: 25-31341 Judge: Hon. John P. Gustafson Debtor's Counsel: Eric R. Neuman, Esq. DILLER AND RICE, LLC 1107 Adams St. Toledo, OH 43624 Tel: 419-244-8500 Fax: 419-244-8538 E-mail: eric@drlawllc.com Total Assets: $389,597 Total Liabilities: $2,333,323 The petition was signed by Claude R. Montgomery Jr. 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/CARKWHY/CMC_Advertising_Ltd__ohnbke-25-31341__0001.0.pdf?mcid=tGE4TAMA CMS ENERGY: Egan-Jones Retains BB+ Senior Unsecured Ratings ----------------------------------------------------------- Egan-Jones Ratings Company on May 29, 2025, maintained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by CMS Energy Corporation. Headquartered in Jackson, Michigan, CMS Energy Corporation is an energy company. CNX RESOURCES: Egan-Jones Retains BB- Senior Unsecured Ratings -------------------------------------------------------------- Egan-Jones Ratings Company on June 17, 2025, maintained its 'BB-' foreign currency and local currency senior unsecured ratings on debt issued by CNX Resources Corporation. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Canonsburg, Pennsylvania, CNX Resources Corporation operates as a natural gas exploration and production company. COHERENT CORP: Egan-Jones Retains BB- Senior Unsecured Ratings -------------------------------------------------------------- Egan-Jones Ratings Company on May 29, 2025, maintained its 'BB-' foreign currency and local currency senior unsecured ratings on debt issued by Coherent Corp. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Saxonburg, Pennsylvania, Coherent Corp. designs engineered materials and optoelectronic components. COLUMBUS MCKINNON: Egan-Jones Retains BB- Senior Unsecured Ratings ------------------------------------------------------------------ Egan-Jones Ratings Company on June 18, 2025, withdrew its 'BB-' foreign currency and local currency senior unsecured ratings on debt issued by Columbus McKinnon Corporation of New York. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in New York, Columbus McKinnon Corporation of New York designs, manufactures, and distributes a variety of material handling, lifting, and positioning products. CONNECTICARE INC: A.M. Best Withdraws C (Weak) Fin. Strength Rating ------------------------------------------------------------------- AM Best has withdrawn the Financial Strength Rating of C (Weak) and the Long-Term Issuer Credit Rating of "ccc" (Weak) of ConnectiCare, Inc. (Farmington, CT). At the time of the withdrawal, these Credit Ratings were under review with developing implications. The rating withdrawals reflect AM Bes's lack of active participation with ConnectiCare, Inc. or its new ownership. AM Best's procedure is for a final rating opinion to be produced in conjunction with a rating withdrawal. However, in this case, a final rating opinion could not be provided due to a lack of sufficient updated financial information and strategy for this entity post-acquisition. CONSOLIDATED COMMUNICATIONS: Egan-Jones Retains CCC+ Unsec. Ratings ------------------------------------------------------------------- Egan-Jones Ratings Company on June 17, 2025, withdrew its 'CCC+' foreign currency and local currency senior unsecured ratings on debt issued by Consolidated Communications Holdings, LLC. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Mattoon, Illinois, Consolidated Communications Holdings, LLC operates as a holding company. CONTRACT MANAGED: Gets Interim OK to Use Cash Collateral Until July ------------------------------------------------------------------- The U.S. Bankruptcy Court for the Western District of Kentucky, Louisville Division issued an interim order authorizing Contract Managed Services, LLC to use cash collateral through July 19. The Debtor was authorized to use cash collateral to pay operating and administrative expenses incurred after the petition date. Secured creditors including Fifth Third Bank, N.A. and the U.S. Small Business Administration will be granted replacement liens on all property acquired by the Debtor similar to their pre-bankruptcy collateral as protection for the Debtor's use of their cash collateral. The replacement liens do not prime pre-existing liens or security interests held by other creditors. As additional protection to secured creditors, the Debtor was ordered to keep its assets insured. The final hearing is set for July 15. As of the petition date, the Debtor's bankruptcy estate had cash on hand and in deposit accounts totaling approximately $25,000 and total accounts receivable of approximately $84,900.00. The Debtor maintains no inventories for sale other than supply materials for warehousing operations. Fifth Third Bank and SBA assert an interest in the cash collateral on account of the loans made to the Debtor. As of the petition date, the Debtor owed $300,00 to Fifth Third Bank and $1,360,900 to SBA. About Contract Managed Services Contract Managed Services, LLC provides third-party logistics services including contract packaging, order fulfillment, warehousing, and distribution. Founded in 1996, the company now operates over 100,000 square feet of modern facilities in Louisville, Kentucky. It is privately owned and managed by professionals with decades of experience in packaging and distribution. Contract Managed Services sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Ky. Case No. 25-31420) on June 14, 2025. In its petition, the Debtor reported estimated assets between $500,000 and $1 million and estimated liabilities between $1 million and $10 million. Judge Joan A. Lloyd handles the case. The Debtor is represented by Charity S. Bird, Esq., at Kaplan Johnson Abate & Bird, LLP. CONVERGINT TECHNOLOGIES: Moody's Assigns 'B3' CFR, Outlook Stable ----------------------------------------------------------------- Moody's Ratings assigned new ratings to Convergint Technologies Group Holdings LLC (Convergint) with a corporate family rating of B3 and a probability of default rating of B3-PD. Concurrently, Moody's assigned B2 ratings to the proposed backed senior secured first lien term loan and backed senior secured first lien revolving credit facility (RCF) to be issued by the company's subsidiary, DG Investment Intermediate Holdings 2, Inc. (DG Investment). Moody's also affirmed the B2 ratings on DG Investment's existing backed senior secured first lien bank credit facilities (BCF), and the Caa2 rating on DG Investment's existing backed senior secured second lien term loan. The proposed backed senior secured first lien BCF will be comprised of a $300 million revolver expiring 2030 and a $2.15 billion backed senior secured first lien term loan due 2032. The proceeds from the proposed backed senior secured BCF as well as cash on hand will be used principally to repay DG Investment's existing first lien senior secured debt and redeem the company's existing perpetual preferred equity. DG Investment's CFR and PDR have been withdrawn and the ratings on DG Investment's existing backed senior secured first lien BCF instruments will be withdrawn upon closing of the refinancing transaction. The outlook for both Convergint and DG Investment is stable. RATINGS RATIONALE Convergint's CFR is principally constrained by high pro forma financial leverage as the debt funded repayment of the company's existing preferred equity increased LTM debt-to-EBITDA by 1.2x to approximately 8.5x (including Moody's adjustments) as of March 31, 2025. Convergint's credit profile is also negatively impacted by modest profitability and corporate governance risks related to the company's concentrated equity ownership. While Moody's expects EBITDA growth to principally drive a contraction in debt-to-EBITDA towards 8x by the end of 2025, the company's acquisitive growth strategy creates potential for additional debt funded acquisitions that may constrain efforts to reduce financial leverage. The company's credit profile is also pressured by concerns relating to macroeconomic cyclicality and potential periodic supply constraints which could negatively impact Convergint's ability to capitalize on the company's healthy secular growth prospects in the commercial security systems services market. These risk factors are somewhat mitigated by Convergint's large, global operating scale and a highly re-occurring revenue stream with little customer or end market concentration as well as Moody's expectations for sustained demand and strong growth in commercial security installation services. Moody's expects the low capital intensity of Convergint's business model and the benefits of existing interest rate hedges (approximately 65% of the pro forma backed senior secured first lien term loan is hedged through July 2027) to support positive, albeit modest, free cash flow over the next 12-15 months. Moody's considers Convergint's liquidity profile to be adequate supported by the company's pro forma cash balance of approximately $86 million following completion of the refinancing transaction as well as Moody's expectations of annual free cash flow-to-debt approximating 1% over the next 12-15 months. However, supply chain disruptions have created delays in the company's ability to complete system installations in past years, resulting in working capital outflows and free cash flow deficits from 2021-2023. The risk of a periodic recurrence of such shortages or operational underperformance adds a degree of uncertainty to Convergint's liquidity and overall credit profile as it may prompt the company to periodically utilize its proposed $300 million backed senior secured first lien RCF which will be undrawn at closing. While Convergint's term loans are not subject to financial covenants, the revolving credit facility has a springing covenant (activated if utilization is above 40%) based on a maximum first lien net leverage ratio of aproximately 10x which the company should be comfortably in compliance with over the next 12-15 months. The B2 ratings for DG Investment's backed senior secured first lien BCF are one notch higher than Convergint's CFR. The B2 ratings for these instruments take into account their priority in the collateral and senior ranking in the company's capital structure relative to DG Investment's $280 million of backed senior secured second lien term loan rated Caa2. Marketing terms for the new credit facilities (final terms may differ materially) include the following: Incremental pari passu debt capacity up to the greater of $365 million and 100% of pro forma Consolidated EBITDA, plus available amounts under the general debt basket and the general restricted payment basket, plus unlimited amounts subject to the greater of the closing date first lien net leverage and leverage neutral incurrence. There is an inside maturity basket up to the greater of $365 million and 100% of pro forma Consolidated EBITDA, plus debt incurred under, or reclassified to the ratio incremental amount and debt incurred in connection with permitted investments. There are no "blocker" provisions which prohibit the transfer of specified assets to unrestricted subsidiaries. There are no protective provisions restricting an up-tiering transaction. The builder basket may be reallocated to incur debt. The stable outlook reflects Moody's expectations for Convergint to realize high single digit organic annual revenue growth over the next 12 to 18 months, modest expansion in EBITDA margins, and a contraction in debt-to-EBITDA towards 8x by the end of 2025 FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS A ratings upgrade may be considered upon the achievement of ongoing strong revenue gains, margin expansion, and significant, sustained deleveraging below 6x while Convergint adopts less aggressive financial strategies as evidenced by minimal dividend distributions and balanced funding of acquisitions. The ratings could be downgraded if Convergint adopts more aggressive financial strategies or experiences a material deceleration in revenue and EBITDA growth such that debt-to-EBITDA leverage is expected to increase from current levels while the company incurs free cash flow deficits that result in weakened liquidity. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. Convergint is a service-based organization that designs, installs, and maintains building systems, with a focus in the areas of security systems with ancillary services in fire alarm/notification and life safety. The corporate entity is owned by Ares Management Corporation (Ares), Leonard Green & Partners, L.P. (LGP), and funds managed by Harvest Partners, LP (Harvest). Pro forma for recently completed and pending acquisitions, Moody's expects the company to generate revenues approximating $3.1 billion in 2025. CORIZON HEALTH: Berryman Case Can Proceed Against Two Ex-Employees ------------------------------------------------------------------ Magistrate Judge Patricia T. Morris of the United States District Court for the Eastern District of Michigan denied the motion filed by Defendants Rickey Coleman and Kim Farris to stay the case captioned as PHILIP BERRYMAN, Plaintiff, v. GEORGE STEPHENSON, et al., Defendants, Case No. 2:21-cv-10925 (E.D. Mich.). Coleman and Farris are both former employees of Corizon Health, which was a private company that provided healthcare services to inmates in the custody of the Michigan Department of Corrections. Sometime after Plaintiff filed this action, Corizon filed for Chapter 11 Bankruptcy in the Southern District of Texas. Because of Corizon's bankruptcy filing, nearly all civil claims against it were automatically stayed under the Bankruptcy Code pending resolution of the bankruptcy proceedings. Under the District Court's inherent authority, it entered a stay of the entire case -- even though the claims in this case are against former employees of Corizon rather than Corizon itself -- until the bankruptcy proceedings are terminated or the Bankruptcy Court lifts the stay as to this matter. A few months ago, the Bankruptcy Court entered an Order Confirming the First Modified Joint Chapter 11 Plan of Reorganization of the Tort Claimants' Committee Official Committee of Unsecured Creditors, and Debtor. That Plan is now in effect, meaning that claims brought by individuals who have opted out of the Plan may proceed. On April 21, 2025, the District Court held a status conference via Zoom with Plaintiff and defense counsel. Counsel for Coleman and Farris indicated that Plaintiff had opted out and that Defendants would not be contesting whether Plaintiff properly opted out. Based on counsel's representation, the parties and the District Court agreed that the next steps in the case would be lifting the stay and scheduling this matter for a settlement conference. The District Court proceeded accordingly by lifting the stay and scheduling a settlement conference for June 30, 2025. A copy of the Court's Order is available at https://urlcurt.com/u?l=INuABp from PacerMonitor.com. About Tehum Care Services Tehum Care Services Inc., doing business as Corizon Health Services Inc., is a privately held prison healthcare contractor in the United States. It is based in Brentwood, Tenn. Tehum Care Services filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Case No. 23-90086) on Feb. 13, 2023. In the petition filed by Russell A. Perry, as chief restructuring officer, the Debtor reported assets between $1 million and $10 million and liabilities between $10 million and $50 million. Judge Christopher M. Lopez oversees the case. The Debtor is represented by Jason S Brookner, Esq., at Gray Reed & McGraw, LLP. CORNERSTONE HOME: Claims to be Paid from Asset Sale Proceeds ------------------------------------------------------------ Cornerstone Home Care Services, LLC, filed with the U.S. Bankruptcy Court for the Middle District of Florida a Subchapter V Plan dated June 10, 2025. The Debtor is a Florida Limited Liability Company formed on July 1, 2010. The Debtor provides home healthcare services solely to Medicaid recipients. The Debtor proposes to sell substantially all of its business assets of the Debtor to the Purchaser pursuant to an Asset Purchase Agreement ("Purchase Agreement") and correspondingly pursuant to this proposed Plan (the "Going Concern Sale") conditioned on entry of an order of the Bankruptcy Court confirming the Plan ("Confirmation Order"), with all Allowed Claims, including non-priority unsecured claims to be paid in full from the sale proceeds shortly after closing of the Going Concern Sale ("Closing"). The sale will be free and clear of all liens and encumbrances, with such liens and encumbrances to attach to the proceeds of the Going Concern Sale ("Proceeds") in the pre-existing order of priority, to be released once all claims are paid from the Proceeds. This Plan provides for payment to: one class of unsecured, priority claims; three classes of secured claims; six classes of general unsecured claims; and one class of equity security holders. Creditors receiving distributions under the Plan will be paid from the net proceeds of the sale of the Debtor's business, as a going concern, which is greater than its projected cumulative disposable income. This Plan provides for the payment of each class of administrative, priority, secured, and general unsecured claims in full (100%) from the post-confirmation sale of all the Debtor's assets. All creditors with Allowed Claims will be paid as soon as reasonably possible after the Effective Date from the proceeds of a proposed going concern sale of all the Debtor’s assets to National Homecare Services, LLC, a Delaware Limited Liability Company (the "Purchaser"). The Debtor projects that the total amount of all potential Allowed Claims of $808,681.48, will be satisfied from the proposed sale proceeds in full (100%). Since the plan will pay all creditors with Allowed Claims in full (100%), non-priority unsecured creditors, will receive more than such creditors would receive under a hypothetical Chapter 7 liquidation. Class 5 consists of the non-priority unsecured claim, in the amount of $13,092.59, filed by Blue Vine (Proof of Claim No. 1). To the extent the Class 5 creditor has an Allowed Claim, it will receive payment in full of its claim from the sale proceeds within fourteen days of the Effective Date of the Plan. Class 5 is unimpaired. Class 6 consists of the consists of the nonpriority unsecured claim, in the amount of $18,986.04, filed by Lincoln Automotive Financial Services (Proof of Claim No. 2). This is an executory contract that the Debtor will be assuming and then assigning to Vauna Lawrence. On the Effective Date, the lease underlying Proof of Claim No. 2 will be assigned to Vauna Lawrence and she will make all payments due on the lease on a monthly basis per the original contract terms. Class 7 consists of the consists of the nonpriority unsecured claim, in the amount of $1,935.87, filed by BMW Financial Services NA, LLC (Proof of Claim No. 3). To the extent the Class 7 creditor has an Allowed Claim, it will receive payment in full of its claim from the sale proceeds within fourteen days of the Effective Date of the Plan. Class 7 is unimpaired. Class 8 consists of the consists of the nonpriority unsecured claim, in the amount of $49,384.26, filed by SouthState Bank, NA (Proof of Claim No. 4). To the extent the Class 8 creditor has an Allowed Claim, it will receive payment in full of its claim from the sale proceeds within fourteen days of the Effective Date of the Plan. Class 8 is unimpaired. Class 9 consists of the consists of the nonpriority unsecured claim, in the amount of $432,721.41, filed by SouthState Bank, NA (Proof of Claim No. 5). To the extent the Class 9 creditor has an Allowed Claim, it will receive payment in full of its claim from the sale proceeds within fourteen days of the Effective Date of the Plan. Class 9 is unimpaired. Class 10 consists of the consists of the nonpriority unsecured portion of the claim, in the amount of $31,209.59, filed by the Internal Revenue Service (Claim No. 8-3). To the extent the Class 10 creditor has an Allowed Claim, it will receive payment in full of its claim from the sale proceeds within fourteen days of the Effective Date of the Plan. Class 10 is unimpaired. Class 11 consists of Vauna Lawrence's membership interests, warrants, and equity interests currently issued or authorized in the Debtor. The Sole Member shall receive a distribution equal to the balance of the Purchase Price remaining after payment of all Allowed Claims as set forth in this Plan, on account of her equity interest in the Debtor. The Plan contemplates that upon the Closing of the Going Concern Sale, the Proceeds shall be distributed to holders of Allowed Claims in full satisfaction thereof. Except as explicitly set forth in this Plan and the Purchase Agreement, all cash in excess of operating expenses incurred in connection with operation of the Debtor's business through the Effective Date will be used for Plan Payments or Plan implementation, including payment of professional fees and Administrative Expenses. A full-text copy of the Liquidating Plan dated June 10, 2025 is available at https://urlcurt.com/u?l=yUJrB9 from PacerMonitor.com at no charge. About Cornerstone Home Care Services Cornerstone Home Care Services, LLC, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-06707) with $50,001 to $100,000 in assets and $100,001 to $500,000 in liabilities. Judge Tiffany P. Geyer oversees the case. The Debtor is represented by: Melissa A. Youngman, Esq. Winter Park Estate Plans & ReOrgs P.O. Box 303 Winter Park, FL 32790 Telephone: (407) 374-1372 Email: melissayoungman@melissayoungman.com COVE CASTLES: Unsecureds Will Get 7.78% in Liquidating Plan ----------------------------------------------------------- Cove Castles Development Corporation filed with the U.S. Bankruptcy Court for the District of Delaware a Disclosure Statement describing Plan of Liquidation dated June 12, 2025. The Debtor is a Delaware corporation with an address at 220 Mead, Waccabuc, NY 10597. The Debtor owns a portion (the "Property") of the Cove Castles Resort (the "Resort"). There are other owners of portions of the Resort, including Cove Castles Limited, which is the subject of a liquidation proceeding before the Eastern Caribbean Supreme Court in the High Court of Justice, Anguilla Circuit (Civil Division) (the "Anguilla Court"). The Resort is currently being marketed and will be sold pursuant to a sale process subject to the jurisdiction and approval of the Bankruptcy Court, as to the Debtor, and Anguilla Court, as to Limited. This will likely occur after confirmation of the Plan, though it may be earlier. The Debtor will file a separate motion in the Bankruptcy Court to approve the sale to the Approved Purchaser. The Anguilla Court has issued an order stating that it will decide how the proceeds of such sale should be divided amongst the various parties with ownership interests in the Resort, including the Debtor. Once the Anguilla Court makes such determination and following the approval of the sale and the closing of the sale, under the Plan, the proceeds of such sale that are determined to be the Debtor's will be used by the Debtor to make the payments under the Plan. In large part, such payments shall be in priority order. One significant exception is the claim of Shapiro Litigation Group ("SLG"). Although it is a secured claim, SLG has agreed to be treated as a general unsecured creditor as against the Debtor pursuant to and conditioned on confirmation of the Plan. The Plan provides for the liquidation of the Debtor by transferring the Debtor's only material asset, the Property, to the Approved Purchaser (or its assignee, designee or nominee). At the closing of the Sale, Claims shall be paid from Available Cash. Available Cash will consist entirely of the proceeds of the Sale, and such proceeds will be distributed in accordance with the priority provisions set forth in the Bankruptcy Code as reflected by the Plan. Class 4 consists of all General Unsecured Claims. The General Unsecured Claims in Class 4 are Impaired under the Plan. Subject to the provisions of Article 8 of the Plan with respect to Disputed Claims, and with the exception of holders of General Unsecured Claims who waive any distribution under the Plan on account of their Class 4 General Unsecured Claims, each holder of an Allowed Class 4 General Unsecured Claim will receive payment of up to payment in full with interest at the Federal Judgment Rate pari passu with the payments to be made to the holder of the Class 3 SLG Claim and, if applicable holder(s) of Claims in Class 5 (Beach House Lessees), from Available Cash after payment in full of all Statutory Fees, Administrative Claims and all Claims in Classes 1 and 2, with interest from the Petition Date onwards at the Federal Judgment Rate on such Class 1 and Class 2 Claims. The allowed unsecured claims total $15,002,500. This Class will receive a distribution of 7.78% of their allowed claims. Holders of Allowed Class 6 Interests shall continue to retain and maintain such Interests in the Debtor and the Post-Confirmation Debtor following the Effective Date of the Plan in the same percentages as existed as of the Petition Date. Additionally, to the extent that there is any Available Cash after full payment of all Statutory Fees, Administrative Claims and all Claims, with interest from the Petition Date onwards at the Federal Judgment Rate as to Claims in Class 1, Class 2, Class 3, Class 4, and Class 5, each holder of an Allowed Class 6 Interest shall receive such remaining Available Cash, pro rata, in accordance with their respective percentage interests in Debtor. The Plan will be funded by Available Cash at the closing of the Sale of the Resort. Available Cash shall consist entirely of the proceeds from the Sale of the Property. Such payments of Claims will be distributed in order of priority and in accordance with the terms set forth in the Plan. The Debtor shall take all necessary steps and perform all acts to consummate the terms and conditions for the Plan. The Confirmation Order shall contain appropriate provisions consistent with Section 1142 of the Bankruptcy Code, directing the Debtor and any other necessary party to execute or deliver or to join in the extension or delivery of any instrument required to affect the Plan or to perform any act necessary to consummate the Plan. A full-text copy of the Disclosure Statement dated June 12, 2025 is available at https://urlcurt.com/u?l=vJqbBD from PacerMonitor.com at no charge. Counsel to the Debtor: Garvan F. McDaniel, Esq. Hogan McDaniel 1311 Delaware Avenue, Wilmington, DE 19806 Tel: (302) 656-7596 Email: gmcdaniel@dkhogan.com Daniel N. Zinman, Esq. Kriss & Feuerstein LLP 360 Lexington Ave #1200 New York, 10017 Tel: (212) 661-2900 About Cove Castles Development Corporation Cove Castles Development Corporation is primarily engaged in renting and leasing real estate properties. Cove Castles Development Corporation sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 24-11667) on August 6, 2024. In the petition signed by Michael H. Steinhardt, as Board Member, the Debtor reports estimated assets between $100,000 and $500,000 and estimated liabilities between $10 million and $50 million. The Honorable Bankruptcy Judge Thomas M. Horan oversees the case. The Debtor is represented by Garvan F. McDaniel, Esq. of HOGAN MCDANIEL. CRESCENT ENERGY: Moody's Rates New Senior Unsecured Notes 'B1' -------------------------------------------------------------- Moody's Ratings assigned a B1 rating to Crescent Energy Finance LLC's (Crescent) proposed offering of senior unsecured notes. Crescent's existing ratings, including its Ba3 Corporate Family Rating, existing B1 senior unsecured notes ratings and stable outlook are unchanged. Crescent intends to use net proceeds from its proposed notes offering to refinance a portion of its senior unsecured notes due 2028. Crescent's refinancing benefits the company's credit profile by extending its debt maturities. RATINGS RATIONALE Crescent's senior unsecured notes are rated B1, which is one notch below the CFR, reflecting their effective subordination to the secured revolver. Crescent's Ba3 CFR reflects meaningful scale in the Eagle Ford and Uinta Basins. The company pursues acquisitions for growth and is well positioned to continue benefiting from industry consolidation. Important to Crescent's credit profile is the balance of long-term debt and equity used to finance acquisitions, alongside using free cash flow to reduce debt and maintain low leverage. Moody's anticipates that Crescent will continue pursuing acquisitions, targeting low-decline producing assets that complement its existing portfolio, while also returning capital to shareholders, executing both objectives in a disciplined way that maintains balance sheet strength and liquidity. Crescent has set a long-term leverage target of 1.0x but is willing to increase up to 1.5x for acquisitions. Its hedging program enhances cash flow visibility and mitigates commodity price volatility. Crescent's SGL-1 rating indicates Moody's expectations that the company will maintain very good liquidity. As of March 31, 2025, Crescent had $547 million in borrowings outstanding on its RBL revolver which has $2.0 billion in elected commitments and a borrowing base of $2.6 billion, with $20 million in letters of credit outstanding. The revolver is set to expire in April 2029, but its maturity springs to November 2027 if more than $100 million in senior notes due February 2028 remain outstanding at the time. The revolver's covenants include a maximum leverage ratio of 3.5x and a minimum current ratio of 1.0x. Moody's expects Crescent to remain in compliance with these covenants. As of March 31, 2025, Crescent held $6 million in cash. The stable outlook reflects Moody's expectations for Crescent to maintain strong credit metrics and solid liquidity as the company grows via acquisitions. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING Factors that could lead to an upgrade include a further increase in scale; sustained low leverage and strong credit metrics; consistent positive free cash flow generation and maintenance of strong liquidity and conservative financial policies; retained cash flow (RCF) to debt remaining above 50%; and a leveraged full cycle ratio (LFCR) above 2x. Factors that could lead to a downgrade include a meaningful decline in production; large increases in leverage; RCF/debt below 35%; an LFCR approaching 1x; or weakening liquidity. Crescent Energy Finance LLC, headquartered in Houston, Texas, is a subsidiary of publicly traded Crescent Energy Company, an independent exploration and production company. KKR & Co. Inc., through an indirect subsidiary, holds an ownership interest in Crescent and provides management services. The principal methodology used in this rating was Independent Exploration and Production published in December 2022. CROWN HOLDINGS: Egan-Jones Retains BB Senior Unsecured Ratings -------------------------------------------------------------- Egan-Jones Ratings Company on June 16, 2025, maintained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by Crown Holdings, Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Philadelphia, Pennsylvania, Crown Holdings, Inc. designs, manufactures, and sells packaging products for consumer goods through plants located in countries around the world. CURRY & CURRYS: Seeks to Hire Hixson Law Group as Legal Counsel --------------------------------------------------------------- Curry & Currys Investment Group, LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to hire Hixson Law Group as counsel. The firm will render these services: (a) give advice to the debtor with respect to its powers and duties as a debtor in possession and the continued management of its business operations; (b) advise the debtor with respect to its responsibilities in complying with the U.S. Trustee's Operating Guidelines and Reporting Requirements and with the rules of the court; (c) prepare motions, pleadings, orders, applications, adversary proceedings, and other legal documents necessary in the administration of the case; (d) protect the interest of the debtor in all matters pending before the court; and (e) represent the debtor in negotiation with its creditors in the preparation of a plan. The firm will bill $400 per hour for its services. Christopher Hixson, Esq., an attorney at Hixson Law Group, disclosed in a court filing that he is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Christopher Hixson, Esq. Hixson Law Group 18167 U.S. Hwy. 19 N, Suite 250 Clearwater, FL 33764 Telephone: (833) 203-5294 Email: chris@hixlawgroup.com About Curry & Currys Investment Group, LLC Curry & Currys Investment Group, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-16269) on June 2, 2025, listing $500,001 to $1 million in both assets and liabilities. Judge Robert A Mark presides over the case. Christopher L Hixson, Esq. at Hixson Law Group represents the Debtor as counsel. D&J POOL: Zelaya Loses Bid for Default Judgment in SCP, et al. Case ------------------------------------------------------------------- Magistrate Judge Leslie Hoffman Price of the United States District Court for the Middle District of Florida denied without prejudice Plaintiffs' Motion for Entry of Final Default Judgment and Incorporated Memorandum of Law in the case captioned as SCP DISTRIBUTORS LLC and SUPERIOR POOL PRODUCTS LLC, Plaintiffs, v. MAURO ZELAYA, Defendant, Case No: 6:24-cv-1413-CEM-LHP (M.D. Fla.). On Aug. 1, 2024, Plaintiffs SCP Distributors LLC and Superior Pool Products LLC initiated this suit against Defendant Mauro Zelaya, asserting one claim of Breach of Guaranty. In sum, this case concerns Zelaya's alleged failure to pay Plaintiffs money due for pool supplies and goods that Zelaya's company, D & J Pool Prep Corp f/k/a D & J Pool Prep LLC ("D & J Pool"), received and retained from Plaintiffs. Specifically, on Feb. 5, 2021, D & J Pool entered into a Business Application and Agreement with Plaintiffs, wherein D & J Pool could order pool supply equipment on credit and make periodic payments. As part of the Agreement, Zelaya executed a Personal Guaranty Agreement, personally guaranteeing any amounts due to Plaintiffs by D & J Pool, to include legal fees and costs, and agreeing that in the event of D & J Pool's default, Plaintiffs could proceed directly against him to collect sums due. Plaintiffs sold and delivered materials to D & J Pool under the Agreement, but D & J Pool defaulted by failing to pay. D & J Pool filed for Chapter 11 bankruptcy on June 11, 2024. On June 25, 2024, Plaintiffs sent notice to Zelaya regarding the amounts due and owing and demanded payment pursuant to the Guaranty. As of July 18, 2024, the total amount owed was $96,762.64. Zelaya has failed and/or refused to remit the balance due. Upon consideration of the complaint and Plaintiffs' motion, it appears that Plaintiffs have adequately established that default judgment would be appropriate on liability for the claim of breach of guaranty against Zelaya. Specifically, Plaintiffs seek to recover the outstanding balance on the contract, plus interest. Plaintiffs state, however, that since filing the complaint, they have received an unspecified amount of funds from D & J Pool in the bankruptcy proceedings, and the amount they seek to collect now has been updated accordingly. They say that the principal amount owed as of Jan. 10, 2025 was $92,729.40, to include interest. Plaintiffs seek a judgment in the amount of $92,729.40, plus additional prejudgment interest accruing between Jan. 13, 2025 and the date of the judgment. Upon review, the Court finds Plaintiffs' submissions insufficient. According to the Court, Plaintiffs provide no amount nor corroboration for any amounts received from D & J Pool, either in the motion or supporting evidence, nor do they explain where those figures were deducted in their calculations. Besides conclusory assertions as to the principal amount due by way of the motion and supporting declaration, Plaintiffs provide no supporting explanation or evidence, such as what appear to be separate invoices for the total amounts due, or any explanation as to the amounts outstanding for each transaction. Moreover, they do not provide a sufficient explanation as to how the prejudgment interest was calculated for each separate transaction. Even on default judgment, conclusory assertions and evidence as to the amount of damages suffered are insufficient, the Court concludes. Plaintiffs also seek to establish entitlement to attorney's fees and expenses. But the request, assuming it is properly considered at this juncture, does not comply with Local Rule 7.01(b)(2). The Court will permit Plaintiffs to file a renewed motion, addressing each of these identified deficiencies. A copy of the Court's Order is available at https://urlcurt.com/u?l=bgGLxB from PacerMonitor.com. About D&J Pool Prep D&J Pool Prep Corp. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-02922), with $50,001 to $100,000 in assets and $500,001 to $1 million in liabilities. Judge Tiffany P. Geyer presides over the case. The Debtor is represented by: Chad T. Van Horn, Esq. Van Horn Law Group PA Tel: 954-637-0000 Email: chad@cvhlawgroup.com DAJ 1500 PINE: Secured Party Sets July 22 Auction ------------------------------------------------- MF1 Capital LLC ("secured party") will offer for sale at public auction, all right, title and interest of DAJ 1500 Pine Manager LLC, in and to 100% of the limited liability company membership interest, together with all economic rights and governance rights associated therewith, and to DAJ 1500 Pine LLC ("collateral"). DAJ 1500 Pine LLC owns a real property, and improvements located at 1500 Pine Street, Philadelphia, Pennsylvania 19102 ("property"). The sale will occur on July 22, 2025, at 10:30 a.m. ET at the top of the front steps of the Courthouse of the New York County Supreme Court located at 60 Centre Street, New York, New York 10007 with an option to participate virtually via the following Zoom meeting link: https://bit.ly.DAJ1500, Meeting ID: 845 1412 0695, Password: 047834, Call-in number: 1-646-931-3860 (US). The sale will be conducted by Matthew D. Mannion of Mannion Auctions LLC. Parties interested in bidding on the collateral must contact secured party's counsel: Jack Doherty, Esq. of Holland & Knight at (212) 751-3003 or jack.doherty@hklaw.com Secured Party, as lender, made a loan to pledgor, in the original principal amount of $2,950,000. In connection with the mezzanine loan, secured party obtained a first-priority lien on the collateral pursuant to a certain pledged and security agreement. DATASITE INT'L: Moody's Assigns 'B2' CFR, Outlook Stable -------------------------------------------------------- Moody's Ratings assigned a B2 corporate family rating and a B2-PD probability of default rating to Datasite International LLC (Datasite), with a stable outlook. Moody's also affirmed Mermaid Bidco Inc.'s senior secured bank credit facility ratings at B2, including the revolving credit facility expiring in January 2031 and the US dollar and Euro denominated term loans due July 2031. The outlook for Mermaid Bidco Inc. remains stable. Moody's also withdrew Mermaid Bidco Inc.'s B2 CFR and B2-PD PDR. Datasite is a global SaaS provider of AI-powered workflow collaboration and automation solutions for M&A, investment and strategic projects. Datasite's innovative products drive execution, while generating unique data insights to empower knowledge workers around the world to succeed across the entire project lifecycle. Proceeds from the proposed incremental $490 million term loan (expected to be fungible with the existing term loan), along with cash, will be used to fund a shareholder distribution, as well as a tuck-in acquisition and related transaction fees and expenses. Although debt/EBITDA leverage will be higher than anticipated following the announced debt-funded distribution, the ratings affirmation reflects Moody's expectations that Datasite will continue its solid performance, as evidenced by its good track record of revenue growth, strong EBITDA margins, and robust cash flow generation over the next 12 to 18 months. These factors should help bring the company's debt/EBITDA leverage back to a level more consistent with the B2 rating. However, Moody's views Datasite's debt-funded distribution as indicative of aggressive financial strategies and a negative credit development, given that the increase in debt weakens the company's credit metrics. RATINGS RATIONALE Datasite's credit profile is constrained by its high debt-to-EBITDA leverage, which Moody's estimates was around 7.5x as of April 30, 2025, pro forma for this transaction, or around 8.5x after expensing capitalized software development costs. The company's modest revenue size, concentrated operations, and significant exposure to sell-side M&A volumes create uncertainty around its future revenue trajectory. Datasite operates in a fragmented, highly competitive environment susceptible to technological changes. Its aggressive financial strategies involving debt-funded acquisitions or distributions are expected to persist, delaying deleveraging efforts and exerting pressure on its credit profile. Moody's anticipates financial leverage will decline to around 6x in fiscal year 2026, driven by modest margin enhancement and mandatory debt repayment. The credit profile is supported by its defensible market position and long operating history as a provider of secure online workspaces, with a reputation for product reliability and security. The company also benefits from geographic diversification, high customer retention rates, and a significant portion of recurring sales from repeat business, which enhance revenue predictability despite its correlation with M&A cycles. Moody's expects organic revenue growth in the low to mid-teens percentage range and a strong EBITDA margin of at least 42% over the next 12-18 months. Moody's also anticipates that the company will maintain good liquidity, with free cash flow/debt of in a mid-to-high single-digit percentage range over the next 12 to 15 months. All financial metrics cited reflect Moody's standard adjustments. Datasite's good liquidity is supported by the company's $44 million of cash on hand, pro forma for the proposed transaction, as of April 30, 2025, and Moody's expectations of annual free cash flow generation of $70-$90 million over the next 12 to 15 months. The company has nearly full access to its $100 million multi-currency revolving credit facility expiring in January 2031. Moody's believes that available liquidity sources provide good coverage relative to the annual 1% mandatory US dollar term loan amortization (with no required amortization on the EUR tranche), paid quarterly. There are no financial maintenance covenants applicable to the term loans, but the revolver is subject to a springing maximum senior secured first-lien net leverage ratio (as defined in the credit agreement) of 7.5x if the amount drawn exceeds more than 40% of the revolving credit facility. Moody's do not expect the covenant to be triggered in the near term, and Moody's believes Datasite will maintain substantial headroom under the financial covenant. Debt capital consists of a $100 million multi-currency senior secured revolving credit facility expiring in January 2031, an $809 million (as of April 2025) senior secured term loan B due in July 2031, and a EUR495 million senior secured term loan B due in July 2031. The B2 senior secured first-lien credit facility ratings (including the revolver and term loans), issued by Mermaid Bidco Inc., aligns with the B2 CFR since it represents the majority of debt in Datasite's capital structure. The revolver and term loans are part of the same debt class and are secured pari passu with each other. The stable outlook reflects Moody's expectations that Datasite will achieve organic revenue growth in the low to mid-teens percentage range and sustain its EBITDA margin at 42% or above, while maintaining good liquidity over the next 12 to 18 months. Additionally, the stable outlook anticipates no further debt-funded transactions and a reduction in financial leverage below 6x over the same period. Additional debt-funded transactions in the near term would pressure the ratings. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Datasite expands its scale and service line diversity, and commits to a more balanced financial policy while maintaining good liquidity. Additionally, the ratings could be upgraded if Moody's expects the company to maintain debt/EBITDA (not including capitalized software) of around 4x, and free cash flow/debt in the high single digits. The ratings could be downgraded if operating performance weakens or if free cash flow-to-debt is sustained below 5%. The ratings could be also downgraded if Moody's expects the company's debt-to-EBITDA (not including capitalized software) to remain above 6x, or if the company adopts a more aggressive financial policy. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. Datasite, headquartered in Minneapolis, MN, offers a secure, on-demand SaaS platform used by enterprise and advisory customers for information management and collaboration on complex, confidential, and regulated business projects. The company specializes in virtual data rooms, which provide online spaces for companies to store and share sensitive documents during M&A transactions and other processes. Datasite is primarily owned by affiliates of private equity sponsor CapVest Partners LLP, with minority stakes held by 22C Capital and management. DC VENTURES: Gets Extension to Access Cash Collateral ----------------------------------------------------- DC Ventures, PLLC received another extension from the U.S. Bankruptcy Court for the Eastern District of Tennessee to use cash collateral. The court's order authorized the Debtor's interim use of cash collateral to pay its expenses from June 18 until conclusion of the final hearing, which is scheduled for September 18. As protection for the use of cash collateral, the Debtor will pay Basket Medical, PLLC $1,000 per month, beginning July 1, and in return, gain confidential access to the secured creditor's training materials under a June 11 agreement. A final hearing is set for September 18. A pre-bankruptcy lien review showed that Basket Medical recorded a UCC financing statement, which asserts a lien on virtually all of the Debtor's assets. The Debtor's assets include three checking accounts, with a balance of $6,602.61; accounts receivable of $34,373.65; office furniture and computers worth approximately $900; chiropractic equipment worth $15,000; and medications worth approximately $7,000. Based on the value of its assets as of the petition date and estimated secured claim values, the Debtor believes that the secured claim of Basket Medical, including any claim it may have regarding cash collateral, is almost entirely secured. About DC Ventures PLLC DC Ventures, PLLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Ten. Case No. 25-11004) on April 23, 2025, listing $50,001 to $100,000 in assets and $100,001 to $500,000 in liabilities. Judge Nicholas W Whittenburg oversees the case. W. Thomas Bible, Jr., Esq., at the Law Office of W. Thomas Bible, Jr., is the Debtor's bankruptcy counsel. Basket Medical, PLLC, as secured creditor, is represented by: Shane G. Ramsey, Esq. Nelson Mullins Riley & Scarborough, LLP 1222 Demonbreun Street, Suite 1700 Nashville, TN 37203 Telephone: (615) 664-5355 Facsimile: (615) 664-5399 shane.ramsey@nelsonmullins.com DEL MONTE: Weighs Ch. 11 Filing That May Lead to Creditor Takeover ------------------------------------------------------------------ Reshmi Basu of Bloomberg News reports that Del Monte Foods is considering a Chapter 11 bankruptcy filing that may result in its creditors taking control of the business, according to individuals with knowledge of the matter. The plans are still preliminary and could change, the sources noted, speaking on condition of anonymity due to the sensitive nature of the discussions. A filing would mark the end of a turbulent year for the company, the report states. About Del Monte Foods Inc. Del Monte Foods manufactures and distributes packaged food products. The Company provides canned fruits and vegetables, as well as a wide range of snacks. Del Monte Foods serves customers worldwide. DELTA AIR: Egan-Jones Retains BB Senior Unsecured Ratings --------------------------------------------------------- Egan-Jones Ratings Company on June 12, 2025, maintained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by Delta Air Lines, Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Atlanta, Georgia, Delta Air Lines, Inc. provides scheduled air transportation for passengers, freight, and mail over a network of routes. DIAMOND ELITE: Hires Guidant Law PLC as Bankruptcy Counsel ---------------------------------------------------------- Diamond Elite 121 LLC seeks approval from the U.S. Bankruptcy Court for the District of Arizona to employ Guidant Law, PLC as bankruptcy counsel. The firm will render these services: (a) advise the Debtor with respect to all legal matters in connection with the continued operation of its business, rejecting executory contracts, and making new contracts; (b) prepare pleadings and applications and conduct examinations incidental to administration of the bankruptcy proceeding; (c) develop the relationship of the status of the Debtor to the claims of creditors; (d) advise the Debtor of its rights, duties and obligations; (e) take any and all necessary action incident to the proper preservation and administration of the bankruptcy estate; and (f) advise the Debtor in the formulation and presentation of a plan of reorganization pursuant to Chapter 11 of the Bankruptcy Code and concerning matters relating thereto. The firm will be paid at these rates: Attorneys $395 to $490 per hour Paralegals $150 to $185 per hour Paralegal Assistants $80 to $125 per hour The firm will be paid a retainer of $25,000, plus filing fee of $1,738. In addition, the firm will seek reimbursement for expenses incurred. Mr. Hawkins disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: D. Lamar Hawkins, Esq. JoAnn Falgout, Esq. Karen Bentley, Esq. Guidant Law, PLC 402 E. Southern Ave. Tempe, AZ 85282 Telephone: (602) 888-9229 Facsimile: (480) 725-0087 E-mail: lamar@guidant.law joann.falgout@guidant.law karen.bentley@guidant.law About Diamond Elite 121 LLC Diamond Elite 121 LLC is a single-asset real estate entity under U.S. bankruptcy law, with its primary property located at 121 W Florence Blvd, Casa Grande, Arizona. Diamond Elite 121 LLC in Casa Grande, AZ, sought relief under Chapter 11 of the Bankruptcy Code filed its voluntary petition for Chapter 11 protection (Bankr. D. Ariz. Case No. 25-05298) on June 11, 2025, listing $1 million to $10 million in assets and $0 to $50,000 in liabilities. Yehoishiah Rubin as manager, signed the petition. Judge Scott H. Gan oversees the case. GUIDANT LAW PLC serve as the Debtor's legal counsel. DOMINO'S PIZZA: Egan-Jones Retains BB- Senior Unsecured Ratings --------------------------------------------------------------- Egan-Jones Ratings Company on June 4, 2025, maintained its 'BB-' foreign currency and local currency senior unsecured ratings on debt issued by Domino's Pizza, Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Ann Arbor, Michigan, Domino's Pizza, Inc. operates a network of company-owned and franchise Domino's Pizza stores, located throughout the United States and in other countries. DON ENTERPRISES: Hires J. Martin & Associates LLC as Accountant --------------------------------------------------------------- DON Enterprises, Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of Pennsylvania to hire J. Martin & Associates LLC as accountants. The firm will render these services: a. prepare Form 990, Return of Organization Exempt from Income Tax, with supporting schedules, and file it with the Internal Revenue Service on behalf of Debtor; b. prepare the Pennsylvania Form BCO-10 – Charitable Organization Registration Statement for the Term of Agreement, for submission by the Debtor; c. prepare any bookkeeping entries they find necessary in connection with the preparation of these returns; and d. prepare and post any adjusting entries required for Form 990 reporting purposes; e. audit the statements of financial position for the Term of Agreement; and f. audit related statements of activities, functional expenses and cash flows for the Term of Agreement. The rates for the accounting services are: Service 1-year-term 3-year-term Filing Preparation 3,000 3,000 2,400 2,300 Auditing 18,500 18,500 17,000 15,000 Michele Renz, CPA, administrative partner of J. Martin & Associates LLC, disclosed in the court filings that the firm is a "disinterested person" within the meaning of sections 101(14) and 1107(b) of the Bankruptcy Code and as required by section 327(a). The firm can be reached through: Michele Renz, CPA J. Martin & Associates, LLC PO Box 498 Beaver, PA 15009-0498 Tel: (724) 622-6563 About DON Enterprises Inc. DON Enterprises Inc. is a nonprofit organization focusing on community revitalization, housing, and employment opportunities for people with disabilities. Through its range of programs and services, DON Enterprises strives to foster a more inclusive community while promoting independence and integration into society. DON Enterprises Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Pa. Case No. 25-20379) on February 17, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by Kathryn L. Harrison, Esq. at CAMPBELL & LEVINE, LLC. Wesbanco Bank, as lender, is represented by Jeffrey R. Lalama, Esq. at Meyer Unkovic & Scott LLP. DPL LLC: Fitch Hikes LongTerm IDR to 'BB+', Outlook Stable ---------------------------------------------------------- Fitch Ratings has affirmed AES Corporation's (AES) Long-Term (LT) Issuer Default Rating (IDR) at 'BBB-'. Fitch has also affirmed the LT IDRs for IPALCO Enterprises, Inc.'s (IPALCO) at 'BBB-', for Indianapolis Power & Light Company (dba AES Indiana) at 'BBB+', and for Dayton Power and Light Company (dba AES Ohio) at 'BBB-'. The Rating Outlooks are Stable for all entities. Fitch has also upgraded DPL LLC's (DPL) LT IDR to 'BB+' from 'BB' and removed it from Rating Watch Positive (RWP). The Outlook is Stable. At the same time, Fitch has upgraded DPL's senior unsecure debt rating to 'BB+' with a Recovery Rating of 'RR4' from 'BB'/'RR4', and DPL Capital Trust II's junior subordinated debt rating to 'BB'/'RR5' from 'BB-'/'RR5'. The upgraded debt has also been removed from RWP. AES's ratings and Outlook are supported by its large and diversified portfolio, long-term contracted and regulated earnings and cash flow. The affirmation of AES's U.S. utilities subsidiaries' ratings is based on Fitch's expectation of continued supportive regulatory decisions and balance sheet support from AES. The upgrade of DPL reflects the closing of the minority interest sale of AES Ohio by DPL to Caisse de dépôt et placement du Québec (CDPQ). DPL used the majority of the transaction proceeds to retire $415 million of debt, improving its financial and credit metrics. Key Rating Drivers AES Corp Adequate Credit Metrics: Fitch calculates AES's holdco-only funds from operations (FFO) leverage for 2024 at about 3.8x and estimates it will be in the 3.8x-4.2x range through 2027 while new projects come online. Fitch applies a deconsolidated approach when calculating AES's credit metrics because the company finances its operation using primarily non-recourse debt. Inflation Reduction Act (IRA) Rollback Concerns: The potential repeal of the IRA poses ongoing challenges and uncertainties for AES and other renewable developers. Fitch's base case assumed a continuation of the existing federal tax incentives for renewable energy including no change to tax transferability provision over Fitch's forecast period of 2025-2027. This is driven by the safe harbor rules and Fitch's view that there will be a phased expiration of technology neutral clean energy tax credits. If transferability of tax credits is repealed, AES plans to rely on its strong relationships with tax equity investors to monetize tax credits and to fund growth. Contracted and Diversified Portfolio: AES invests in regulated utilities and power-generating assets with long-and short-term contracts. Majority of pre-tax contributions (PTCs) are from projects under long-term contracts and utility investments. The average remaining contract life is about 17 years. AES's diversified asset portfolio mitigates geopolitical adversity affecting a single power market or project. Fitch views increasing presence in the U.S. and less reliance on developing markets as credit positive. U.S. assets represented 60% of total PTC at YE 2024, compared with about 45% in 2023. Fitch expects U.S. PTC to rise to over 60% in 2025-2027, as about 85% of AES's investment will be in the U.S. Protection from Macro Headwinds: Projects have reasonable protection against inflation, tariffs, interest rates, and geopolitical risks. About 83% of AES' revenue is protected by inflation indexation or hedges, and the remainder is from renewables with no fuel costs and a known cost structure. In addition, about 0.3% of AES' capital spending in the U.S. is exposed to tariffs. As of Dec. 31, 2024, 100% of recourse interest rate exposure and 90% of long-term non-recourse interest rate exposure is fixed or hedged. About 85% of the PTC is US-dollar denominated. Improving Fuel Mix: AES' portfolio has shifted meaningfully to renewables over the last few years, a credit positive. At YE 2024, generation output comprised 50% renewables, 32% natural gas, and 16% coal. Of its backlog, all is in renewables and energy storage. AES estimates that renewables and natural gas will represent 52% and 33%, respectively, of total generation by 2025. Robust Backlog: Given the strong demand for renewable generation, AES had a robust 11.7GW backlog concentrated in renewables and secured by power purchase agreements as of May 2025. There is construction risks associated with new projects. However, in Fitch's view, renewable projects are not politically controversial, technologically complex or labor intensive. Significant Investment Plan: AES has a large capital program of about $20 billion - $22 billion from 2025-2027. The company is expected to fund its growth plan in a credit-supportive manner, with net proceeds from asset sales and additional holdco debt. Parent and Subsidiary Linkage: Fitch does not apply parent subsidiary linkage between AES and its investments, including IPALCO and DPL. Fitch considers AES a financial investor and view its investments as non-recourse. IPALCO and AES Indiana Constructive Regulatory Environment: IPALCO's ratings continue to benefit from the favorable regulatory environment in Indiana. On April 17, 2024, the IURC approved AES Indiana's rate case settlement of $71 million increase in revenue requirement without imposing any modification. The new rates became effective in May 2024 and include an authorized ROE of 9.90% and equity capitalization of 44.7%. In addition, regulatory pass-through of fuel and purchased power costs remains unchanged, which mitigates exposure to commodity risk. Additionally, recovery riders are in place for environmental upgrades, energy-efficiency programs, transmission and other costs to reduce regulatory lag. Accelerated Coal Retirement: IPALCO is exposed to coal generation through AES Indiana. In 2024, 21% of retailed energy was from coal-fired steam generation, 68% from natural gas-fired units, and 10% from power purchase agreements (mainly renewables) and the wholesale power market. After retiring one coal plant in June 2023, two remain. On March 11, 2024, AES Indiana filed for IURC approval to repower the two, Petersburg generation units 3 and 4, from coal to natural gas. The conversion of Unit 3 is expected to begin in February 2026 and be completed by June 2026. The conversion of Unit 4 is expected to begin in June 2026 and be completed by December 2026. On Nov. 6, 2024, the IURC approved the repowering project along with $101 million in asset retirement costs associating with the two units and $20.4 million in supplies and inventories that will no longer be used to be recovered through future rates. Once the repowering of units 3 and 4 is completed by YE 2026, AES Indiana's generation mix will be coal-free. Rate Case Filing: On June 3, 2025, AES Indiana filed a new rate case to seek a two-step rate increase of $360.4 million in step one and $107.6 million in step 2, totaling $468 million. Net rate increase seeks over the two-year period is about $193 million, after adjusting for existing amounts recovered through trackers. Fitch assumes a constructive outcome in line with historical and most recent rate decisions in the state. Fully Regulated Business: IPALCO's rating reflects its low business risk profile as a utility holding company of a regulated electric utility-AES Indiana. The latter is a fully regulated, vertically integrated electric utility operating in Indianapolis and other communities of Central Indiana. AES Indiana's revenue represents 100% of IPALCO's consolidated revenue. Elevated Capex: IPALCO has a large capital program to execute over 2025-2027, with capex of about 2.5x the depreciation expense driven by AES Indiana. Fitch expects IPALCO and AES Indiana to fund this large capital program prudently, through a mix of internal cash flows, debt issuances, and equity support from the corporate parent to maintain AES Indiana's regulatory capital structure and maintain IPALCO's credit metrics within its sensitivity threshold Adequate Leverage: IPALCO's YE 2024 FFO leverage was 6.4x, which was higher-than-expected due to higher capex and new base rate in-effect in May 2024. With full-year new base rates in effect for 2025, continual equity support from AES, and capital costs recovery, Fitch expect credit metrics to improve with FFO leverage of about 5.6x-5.9x in 2025-2027. For AES Indiana, Fitch forecast FFO leverage of about 4.5x-4.7x in 2025-2027. DPL and AES Ohio Improving Regulatory Construct: The Ohio legislature recently passed House Bill 15 (HB15), which became law on May 15, 2025, replacing electric security plans (ESPs) and riders with forward-looking three-year rate cases that would be subject to annual true-ups. In addition, the legislation also includes a statutory deadline, 405 days (including 45 days for application completeness review), for the Public Utilities Commission of Ohio (PUCO) to render rate case decisions. Fitch views this positively as the multi-year rate plan and true-up provide cash flow visibility and stability. Fitch expects AES Ohio to utilize this new rate setting construct for distribution rates in 2027. HB15 slightly offsets this benefit by repealing the cost recovery mechanism that allows AES Ohio and other utilities to recover costs relates to two coal plants at Ohio Valley Electric Corporation (OVEC; BBB-/Stable), a wholesale power generator in which AES Ohio has a 4.9% interest. Fitch expects the impact to be manageable and offset by the new supportive rate structure. Strategic Partnership with CDPQ is Credit Supportive: On April 4, 2025, DPL closed the 30% minority interest sale of AES Ohio to CDPQ for $544 million. DPL used a portion of the proceeds from the transaction to retire $415 million of debt at the holdco level, resulting in meaningful reduction in leverage at the DPL level. Fitch views this positively. Another benefit of this transaction is that it alleviates pressure on DPL and AES Corp. (AES; BBB-/Stable), the ultimate parent of AES Ohio, as the sole source provider of equity to the utility to support its large capital plan. Adequate Credit Metrics: DPL's 2024 FFO leverage remains high at 10.4x, mainly driven by execution of a very large capital plan that is about 5x depreciation expense. With the recent closing of the minority sale and retirement of debt, Fitch expects DPL's FFO leverage to improve to about 7.4x for 2025 and further improve to about 6.8x in 2026-2027 with new distribution base rates established. Fitch forecasts AES Ohio's FFO leverage at about 6.2x in 2025 and then average about 5.3x in 2026-2027. Rate Case Filing: On Nov. 29, 2024, AES Ohio filed for electric distribution base rate increase requesting $235.2 million, or $190 million net of DIR. The rate application includes a test year ending May 31, 2025, to calculate its revenue requirement, a 10.6% requested ROE and 54% equity layer, consistent with existing approved equity layer. A decision by the PUCO is expected in Q1/2026. Fitch assumes a constructive outcome from the rate decision. ESP4 Approval Credit Supportive: Fitch views the recent approval of the electric security plan (ESP4) as credit supportive. Historically, AES Ohio's financial performance has been hampered by successful intervenors challenges on approved rate plans and regulatory lag. Implementation of the DIR in ESP4 should reduce regulatory lag prospectively. With more than 90% of AES Ohio's planned $1.3 billion in investments over the next three years expected to be recovered through riders or formula rates, Fitch expects DPL and AES Ohio's financial performance to improve. On Aug. 9, 2023, the PUCO issued an order approving the three-year ESP4 that includes a DIR to recover distribution investments between rate cases during the ESP term. It also provides recovery of $66 million related to past expenditures by AES Ohio, plus future carrying costs and the recovery of incremental vegetation management expenses up to annual limits over the term of the ESP. 2022 Rate Order: In December 2022, PUCO issued the last AES Ohio rate order that allowed a $75.6 million base-rate increase, based on a 10% ROE and 53.87% equity layer. The increase was about 62% of AES Ohio's request and higher than the staff recommendation. The PUCO-authorized ROE and equity ratio are above the industry average. Rates went into effect on Sept. 1, 2023, with the approval of ESP4. The base rates increase was delayed due to a rate freeze precedent set in 2009 as long as ESP1 remained in effect. Low Business Risk: DPL is a nearly 100% regulated electric transmission and distribution (T&D) utility holding company. The only generation exposure for AES Ohio is its 4.9% equity interest in OVEC. Peer Analysis AES is reasonably well positioned compared with Brookfield Renewable Partners L.P. (BBB+/Stable) and XPLR Infrastructure, LP (BB+/Stable). AES owns and operates about 32.1GW of renewable and thermal generation assets as of Dec. 31, 2024, compared with Brookfield's 33GW of renewables. AES's operating scale and diversity partially compensate for its less favorable asset mix and exposure in South America and developing countries. AES has a record of stable project distributions. Holdco-only FFO leverage has been stable and commensurate for the rating. Over the next two years, Fitch projects AES's Holdco-only FFO leverage to be stronger than XPLR's but weaker than Brookfield's. Unlike some peers, AES does not have a financial sponsor. However, it has a record of conservative capital allocation. Brookfield benefits from the sponsorship from Brookfield Corporation (A-/Stable), which provides robust capital access and liquidity. XPLR has benefited from its affiliation with NextEra Energy, Inc. (A-/Stable), which is the largest renewable developer in the U.S. Following the name change, Fitch expects NextEra will continue to support XPLR operationally. Fitch does not expect NextEra to provide equity support to XPLR. Key Assumptions AES Corp. - 3.2 GW of projects come online in 2025; - No equity issuance in 2025-2026; - Shareholder dividend in-line with company's guidance; - Cash shortfall funded by short-term debt; - Asset sales and investment into subsidiaries in-line with company's guidance for 2025-2026; IPALCO and AES Indiana - Approximately $2.8 billion capex in total from 2025 to 2027; - No adverse regulatory outcome; including AES Indiana's two-step base rate increases and expect rate decision consistent with prior rate cases in the state; - Continued equity support from shareholders to IPALCO flowing further to AES Indiana; - Dividends paid in line with maintenance of the regulatory capital structure at AES Indiana; - Dividends paid in line with the net income for IPALCO. DPL Inc. and AES Ohio - Approximately $1.4 billion capex in total from 2025 to 2027; - No adverse regulatory outcome; including AES Ohio's base rate increases; - Base distribution rates for 2027 and beyond will be set under a multi-year rate plan with annual true-ups. RATING SENSITIVITIES AES Corp. Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Holdco-only FFO leverage sustaining above 4.5x; - Cost overruns or delays of construction projects resulting in sustained deterioration of FFO leverage; - A change in corporate strategy to invest in more speculative, noncontracted assets or a material decline in cash distributions from contracted power-generation assets; - Increase shareholder distributions (dividends or share buybacks) materially beyond Fitch's expectations. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Holdco-only FFO leverage ratio sustains at or below 3.5x. IPALCO Enterprises, Inc. Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Negative regulatory treatment or an aggressive upstream dividend causing FFO leverage to rise above 6.0x on a sustained basis Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - IPALCO could be upgraded if FFO leverage is below 5.0x on a sustained basis. AES Indiana Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Negative regulatory development resulting in FFO leverage rising above 4.7x on a sustained basis. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - If IPALCO is upgraded and if AES Indiana's FFO leverage sustains below 3.7x, as Fitch intends to maintain a two-notch IDR differential between IPALCO and AES Indiana. DPL Inc. Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Any adverse regulatory outcomes leading to DPL's FFO leverage sustaining above 7.3x. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - DPL's FFO leverage sustaining below 6.3x. AES Ohio Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade: - AES Ohio's FFO leverage sustains above 6.3x; - Signs of deterioration of regulatory construct or successful challenges from intervenors against future rate orders. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade: - AES Ohio's FFO leverage sustains below 5.3x. Liquidity and Debt Structure AES has a $1.5 billion committed revolving credit facility (RCF), maturing in September 2027. The company also has a $300 million RCF, maturing in December 2026. AES uses its RCF mostly to bridge the timing difference between investments and project distribution. AES's obligations under the RCF are unsecured. As of March 31, 2025, the credit facility had about $1.5 billion available, net of $256 million in commercial paper borrowings, and $18 million in letters of credit outstanding. The RCF contains one financial covenant, evaluated quarterly, requiring AES to maintain a maximum recourse debt-to-adjusted operating cash flow ratio of 5.75x, with which AES is compliant. Near-term debt maturities are high, but manageable. In March 2025, AES issued $800 million senior unsecured notes and partly used the proceeds to purchase a portion of its $900 million upcoming debt maturity. The remaining debt maturity for 2025 is $124 million. The next debt maturity is $800 million senior notes in 2026. Fitch expects AES to continue to have good access to capital markets thereby managing any refinancing risk. Issuer Profile The AES Corporation is a power generation developer and utilities holding company. It owns and operates approximately 32.7 GW of power generation assets and utilities four continents and 12 countries in 2024. AES is headquartered in Arlington, VA. 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 ----------- ------ -------- ----- IPALCO Enterprises, Inc. LT IDR BBB- Affirmed BBB- senior secured LT BBB Affirmed BBB Indianapolis Power & Light Company LT IDR BBB+ Affirmed BBB+ senior secured LT A Affirmed A senior secured ULT A Affirmed A The AES Corporation LT IDR BBB- Affirmed BBB- ST IDR F3 Affirmed F3 senior unsecured LT BBB- Affirmed BBB- junior subordinated LT BB Affirmed BB senior unsecured ST F3 Affirmed F3 The Dayton Power & Light Company LT IDR BBB- Affirmed BBB- senior secured LT BBB+ Affirmed BBB+ senior secured LT BBB+ Affirmed BBB+ DPL LLC LT IDR BB+ Upgrade BB senior unsecured LT BB+ Upgrade RR4 BB DPL Capital Trust II junior subordinated LT BB Upgrade RR5 BB- DYNASTY SONG: Seeks Subchapter V Bankruptcy in California --------------------------------------------------------- On June 18, 2025, Dynasty Song LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of California. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Dynasty Song LLC Dynasty Song LLC operates apartment buildings in San Mateo County, California. The Company is associated with a multifamily residential property located at 260 San Marco Avenue in San Bruno. Dynasty Song LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 25-30482) on June 18, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtors are represented by Arasto Farsad, Esq. at FARSAD LAW OFFICE, P.C. E.F. MARKETING: Seeks to Hire Edward Bajec as Sales Agent --------------------------------------------------------- E.F. Marketing Group LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Texas to employ Edward Bajec as sales agent. The firm will assist in the sale of equipment, furniture and other personal property owned by Debtor, located a 3503 Crosspoint, San Antonio, Texas. The firm will be paid a commission of 16 percent of the sales price. Mr. Bajec disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Edward Bajec 9350 Canyon Mist Helotes, TX 78023 Tel: (210) 789-9011 About E.F. Marketing Group LLC E.F. Marketing Group, LLC is a full-service advertising and marketing agency based in San Antonio, Texas. It designs and executes data-driven direct-mail and digital campaigns for regional colleges and small to mid-sized businesses. E.F. Marketing Group sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Texas Case No. 25-50842) on April 23, 2025. In its petition, the Debtor reported assets between $500,000 and $1 million and liabilities between $1 million and $10 million. Judge Craig A. Gargotta handles the case. The Debtor is represented by Steven G. Cennamo, Esq., at the Law Office of Cennamo & Werner. ECI PHARMA: Court Dismisses Acute's Two Bankruptcy Appeals ---------------------------------------------------------- In the matter ACUTE, INC., Appellant, v. ECI PHARMACEUTICALS, LLC, Appellee, Case No. 24-cv-61915-RAR (S.D. Fla.), Judge Rodolfo A. Ruiz II of the United States District Court for the Southern District of Florida dismissed two appeals by Acute, Inc. from orders issued by the United States Bankruptcy Court for the Southern District of Florida in the bankruptcy case of ECI Pharmaceuticals LLC. This cause comes before the Court on Appellee's first Motion to Dismiss Appellant's Pending Appeal, Motion for Leave to Amend Sale Order, and Appellee's second Motion to Dismiss Pending Appeal. First Appeal On Aug. 16, 2024, Debtors filed an Expedited Motion to Authorize and Approve (I) Proposed Private Sale of Substantially All of Debtors' Assets, and (II) Other Related Relief. The Sale Motion sought the Bankruptcy Court's approval of an undated Asset Purchase Agreement, by which Debtors would sell substantially all their assets to Acute in a private sale pursuant to 11 U.S.C. Sec. 363(b)(1). With no objections to the Sale Motion, the Bankruptcy Court entered an Order on Aug. 30, 2024, authorizing Debtors to sell substantially all their assets to Acute pursuant to the terms set out in the APA. At some point after the Bankruptcy Court entered the Sale Order, a dispute arose between Debtors and Acute regarding the parties' closing obligations under the APA. On Sept. 13, 2024, Acute filed a Motion for Reconsideration of the Sale Order pursuant to Bankruptcy Rules 9023 and 9024. According to Acute, it entered into a contract with a company called South Florida Business Plaza to purchase the building and real estate where the Debtors operated their businesses. Closing under the Real Estate Contract was to take place simultaneously with closing under the APA. However, Acute claimed that SFBP, with the consent and knowledge of the Debtors, embarked on an aggressive course of conduct against Acute, with the ultimate goal of causing the failure of the sale of the real estate to Acute, which in turn would cause the failure of Acute to purchase the Debtors' assets under the APA. SFBP decided to unilaterally impose a closing date on the Real Estate Contract for Sept. 10, 2024. In Acute's view, this closing demand was in violation of the contractual obligations of the parties and in violation of the Sale Order. When Acute did not appear at the closing on Sept. 10, 2024, SFBP declared that Acute was in default under the Real Estate Contract. Acute posited that the Bankruptcy Court needed to vacate and amend the Sale Order in order to clarify when the closing on the APA and the Real Estate Contract needs to occur, in order to give the Debtors and Acute the time needed for the appropriate governmental agencies to allow Acute the ability to operate the businesses with the appropriate Licenses intact. Specifically, Acute requested that the Bankruptcy Court modify the Sale Order to allow sufficient time for appropriate procedures to be put in place to allow for the use, transfer and/or assignment of the Licenses so that Acute will be able to operate the businesses upon closing. On Sept. 25, 2025, the Bankruptcy Court held a hearing on the Motion for Reconsideration. At the Sale Hearing, the Bankruptcy Court explained that it would deny the Motion for Reconsideration because it was an inappropriate procedural vehicle for Acute's requested relief. According to the Bankruptcy Court, the APA itself, not the Sale Order, specified the parties' closing obligations. The Sale Order simply authorized Debtors to sell their assets to Acute. If Acute wanted the Bankruptcy Court to determine the parties' obligations under the APA, the proper procedural vehicle would be a motion to enforce, not to vacate, rehear, or amend the Sale Order. On Sept. 27, 2024, the Bankruptcy Court issued a written Order memorializing its oral ruling denying the Motion for Reconsideration. On Oct. 11, 2024, Appellant filed a Notice of Appeal of both the Sale Order and the Order Denying Reconsideration. ECI contends that Bankruptcy Rule 8002(b) did not toll the time for Acute to appeal the Sale Order because the Motion for Reconsideration was not, in fact, a motion under Bankruptcy Rule 9023 or Bankruptcy Rule 9024 even though it was labelled as such. And because the Notice of Appeal was filed on Oct. 11, 2024, forty-two days after the Bankruptcy Court entered the Sale Order, Acute's appeal of the Sale Order is not timely. The District Court agrees that the Motion for Reconsideration was not properly brought under either Bankruptcy Rule 9023 or 9024, and, therefore, did not toll the time to appeal the Sale Order. Although the Motion for Reconsideration is styled as a motion under Bankruptcy Rules 9023 and 9024, the style of a motion is not controlling. Therefore, the District Court holds Acute's appeal of the Sale Order is untimely and must be dismissed for lack of jurisdiction. Judge Ruiz explains that the Motion for Reconsideration requests that the Bankruptcy Court amend the Sale Order to determine the parties' contractual obligations under the APA -- but amending the Sale Order is the wrong way to go about doing this. If Acute is right about the parties' closing obligations under the APA, amending the Sale Order would have no effect because the parties' closing obligations are already set by the APA. If Acute thought Debtors breached the APA, it could simply ask the Bankruptcy Court to enforce the APA pursuant to the Sale Order. He adds that the Motion for Reconsideration does not articulate a basis for the requested relief under Rule 59 or 60. Nor does it state how the Bankruptcy Court should amend the Sale Order -- only that the Bankruptcy Court should determine when and under what circumstances closing must occur under the APA. The Bankruptcy Court retains jurisdiction to enforce the APA. Acute's requested relief -- to determine the parties' closing obligations -- would be most properly brought as a motion to enforce, not as a motion to vacate or amend the Sale Order on reconsideration. Acute's problem is with the parties' contractual obligations under the APA, not with the Sale Order itself -- as Acute's own briefing recognizes. Although the First Appeal is untimely with respect to the Sale Order, it is timely with respect to the Order Denying Reconsideration because the Notice of Appeal was filed fourteen days after the Bankruptcy Court entered the Order Denying Reconsideration. However, the District Court finds that it does not have appellate jurisdiction because the Order Denying Reconsideration is not a final order and there are no grounds to grant leave for interlocutory appeal. The Motion for Reconsideration sought a determination of the parties' contractual obligations under the APA. The Bankruptcy Court's Order Denying Reconsideration did not make any determination on the merits of that question, much less terminate a procedural unit separate from the remaining case or conclusively resolve Acute's entitlement to the requested relief. Rather, the Bankruptcy Court denied Acute's Motion for Reconsideration because it was an inappropriate procedural vehicle for seeking a determination of the parties' contractual obligations under the APA. Acute remains free to seek its preferred interpretation of the APA through a motion to enforce. Accordingly, the Order Denying Reconsideration is not appealable as a final order, the District Court concludes. Second Appeal Acute separately appeals from the Bankruptcy Court's Order Confirming Debtors' Amended Joint Plan of Liquidation. In parallel to the sale process that is the subject of the First Appeal, Debtors sought the Bankruptcy Court's approval of a small business plan of liquidation pursuant to 11 U.S.C. Chapter 11, Subchapter V, filing an initial plan of liquidation on Aug. 1, 2025. On Nov. 7, 2024, Acute filed a Notice of Appeal from the Confirmation Order. The Second Appeal was transferred to the undersigned and the Court consolidated it with this case. ECI argues that Acute does not have standing to appeal the Confirmation Order and waived its arguments on appeal because it did not attend the Confirmation Hearing and did not object to the Confirmation Order when it had the opportunity to do so before the Bankruptcy Court. ECI contends that Acute's failure to attend or object deprives it of prudential standing to appeal the Confirmation Order under the "person aggrieved" doctrine, and also constitutes a forfeiture of Acute's right to appeal the Confirmation Order. Although it is unclear whether failure to attend and object deprives a party of person aggrieved status, the District Court agrees that Acute forfeited its arguments on appeal because it failed to attend the Confirmation Hearing or object to the Confirmation Order -- despite having ample opportunity to do so. The District Court rules as follows: 1. Appellee's Motion to Dismiss First Appeal, and Motion to Dismiss Second Appeal, are granted. Appellant's First Appeal, and Second Appeal, Acute, Inc. v. ECI Pharmaceuticals, LLC, Case No. 24-cv-62112 (S.D. Fla. Nov. 8, 2024), are dismissed. 2. The Motion for Leave to Amend Sale Order, is denied as moot without prejudice to seek leave to amend the Sale Order in the Bankruptcy Case. A copy of the Court's Order is available at https://urlcurt.com/u?l=WsSWFr from PacerMonitor.com. About ECI Pharmaceuticals ECI Pharmaceuticals LLC is a specialty generic and branded pharmaceutical manufacturing and marketing company specializing in the manufacturing of non-sterile, solid oral dose products. The Debtor's business premises are located at 5311 NW 35th Terrace, Fort Lauderdale, Florida 33309. ECI Pharmaceuticals, LLC and BioRamo, LLC filed their voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Lead Case No. 24-14430) on May 3, 2024, listing up to $500,000 in assets and up to $10 million in liabilities. The case is jointly administered in Case No. 24-14430. Judge Scott M. Grossman oversees the cases. Aaron A. Wernick, Esq., at Wernick Law, PLLC serves as the Debtors' counsel. EDGEWELL PERSONAL: Egan-Jones Retains B Senior Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on June 20, 2025, maintained its 'B' foreign currency and local currency senior unsecured ratings on debt issued by Edgewell Personal Care Company. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Shelton, Connecticut, Edgewell Personal Care Company operates as a personal care company. EL DORADO: Trustee Taps Murphy Ball as Appellate Counsel -------------------------------------------------------- Dawn M. Ragan, the duly appointed chapter 11 trustee for El Dorado Gas & Oil, Inc., seeks approval from the U.S. Bankruptcy Court for the Southern District of Mississippi to hire Murphy Ball Stratton LLP as special appellate counsel. The firm's services include: a. defending the State Court Case on behalf of the Trustee; b. advising the Trustee with respect to the State Court Case and strategy; c. drafting briefs and other attendant documents in connection with the State Court Case; d. corresponding with opposing counsel in the State Court Case; e. corresponding with the Trustee's bankruptcy counsel for updates regarding the State Court Case; f. delivering oral argument in the State Court Case if it is ordered by the court; and g. attending to all such other legal services as may be necessary or appropriate in connection with the State Court Case as special appellate counsel. The current hourly rate of the MBS attorneys are: Michelle Stratton $800 Christian McGuire $800 MBS provides the following responses to the questions set forth in Part D of the Appendix B of the Revised UST Guidelines: Questions: Did you agree to any variations from, or alternatives to, your standard or customary billing arrangements for this engagement? Answer: No Questions: Do any of the professionals included in this engagement vary their rate based on the geographic location of the bankruptcy case? Answer: No Questions: If you represented the client in the last 12 months prepetition, disclose your billing rates and material financial terms for the prepetition engagement, including any adjustments during the 12 months prepetition. If your billing rates and material financial terms have changed post-petition, explain the difference and reasons for the difference. Answer: N/A Questions: Has your client approved your respective budget and staffing plan, and, if so, for what budget period? Answer: MBS anticipates developing a proposed budget and staffing plan to reasonably comply with the U.S. Trustee's request for information and additional disclosures, as to which MBS reserves all rights. Michelle Stratton, a partner at the law firm of Murphy Ball Stratton LLP, assured the court that the firm is a disinterested person within the meaning of 11 U.S.C. Sec. 101(14). The firm can be reached through: Michelle Stratton, Esq. Murphy Ball Stratton LLP 001 Fannin St Suite 720 Houston, TX 77002 Email: mstratton@mbssmartlaw.com Phone: (832) 726-8321 About El Dorado Gas & Oil and Hugoton Operating Company Hugoton Operating Company, Inc. filed a voluntary Chapter 11 petition (Bankr. S.D. Miss. Case No. 23-51139) on Aug. 14, 2023. El Dorado Gas & Oil, Inc., a company in Gulfport, Miss., filed Chapter 11 petition (Bankr. S.D. Miss. Case No. 23-51715) on Dec. 22, 2023, with $500 million to $1 billion in assets and $50 million to $100 million in liabilities. Thomas L. Swarek, president, signed the petition. On Feb. 22, 2024, Bluestone Natural Resources II - South Texas, LLC and World Aircraft, Inc. filed separate Chapter 11 petitions (Bankr. S.D. Miss. Case Nos. 24-50223 and 24-50224). On Jan. 12, 2024, the Court entered an order directing the appointment of a Chapter 11 trustee for Hugoton. On Jan. 22, 2024, the Court approved Dawn Ragan as the Chapter 11 trustee for Hugoton. On Jan. 31, 2024, the Court ordered the appointment of a Chapter 11 trustee for El Dorado. On Feb. 2, 2024, the Court approved Ms. Ragan as Chapter 11 trustee for El Dorado. No official committee of unsecured creditors has been established in any of the Debtor cases. Hugoton and El Dorado are both Arkansas corporations engaged in the exploration, production, and development of crude oil and natural gas properties. El Dorado is a lease holder and operator of oil and gas wells covering about 4,000 net acres in South Texas. El Dorado also owns a substantial amount of oil field equipment and owns real estate in multiple locations and states. Hugoton also owns oil and gas interests and operates wells in South Texas. Hugoton is 100% owned by El Dorado and El Dorado is 100% owned by Thomas Swarek. Bluestone is 100% owned by Hugoton. Bluestone owns oil and gas interests operated by the EDGO Debtors. World Aircraft is 100% owned by EDGO. World Aircraft owns various aircraft and equipment assets. Judge Katharine M Samson oversees the cases. Patrick Sheehan, Esq., at Sheehan & Ramsey, PLLC, is Debtors Bluestone Natural Resources II-South Texas, LLC and World Aircraft, Inc. R. Michael Bolen, Esq., at Hood & Bolen, PLLC; and Nancy Ribaudo, Esq., Katherine Hopkins, Esq., and Joseph Austin, Esq., at Kelly Hart & Hallman LLP, serve as counsel to Dawn Ragan, Chapter 11 Trustee for El Dorado Gas & Oil, Inc. and Hugoton Operating Company, Inc. ELLIE LANE: Gets Extension to Access Cash Collateral ---------------------------------------------------- Ellie Lane Capital, LLC received another extension from the U.S. Bankruptcy Court for the Southern District of California to use cash collateral. The court's order authorized the Debtor's interim use of cash collateral in accordance with its budget from July 1 until (i) the dismissal or conversion of the Debtor's Chapter 11 case; confirmation of the Debtor's bankruptcy plan; or the occurrence of the effective date of the plan, whichever comes first. As protection, First Bank of the Lake will be granted a replacement lien on all assets or interests in assets acquired by the Debtor on or after the petition date that are similar to its pre-bankruptcy collateral. In addition, the Debtor was ordered to make monthly payments of $2,000 to First Bank of the Lake beginning on July 1. The Debtor was also ordered to pay $1,000 per month to the Subchapter V trustee starting on July 1. The funds will be maintained in the trustee's client trust account until approval of trustee's fee application. The Debtor, which operates in the solar energy sector, said that ongoing access to this cash collateral is critical for maintaining its daily operations. It intends to file a second amended plan of reorganization by July 15 as ordered by the court and believes continued access to cash collateral is necessary to support that process. The Debtor has previously received court approval for three prior cash collateral motions, the most recent of which was approved on January 22 and authorized use through June 30. The Debtor has been compliant with all prior court orders and has been making $2,000 monthly adequate protection payments to its primary secured creditor, First Bank of the Lake. Other secured creditors affected include Advantage Capital Investment Management, LLC and GCal Services, LLC (the latter holding a disputed claim). About Ellie Lane Capital Ellie Lane Capital, LLC, doing business as Your SolarMate, offers solar PV or energy storage system installers and contractors services that simplify the interconnection and rebate processes. The Debtor acts as representative/applicant in order to complete all applications required by the utility companies in order to quickly receive permission to operate (PTO) letters and rebate approvals. Ellie Lane Capital sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Calif. Case No. 24-02207) on June 17, 2024, with $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. David Wood of Marshack Hays Wood serves as Subchapter V trustee. Judge J. Barrett Marum oversees the case. The Debtor is represented by Vanessa M Haberbush, Esq. at Haberbush, LLP. ELLINGSWORTH RESIDENTIAL: 11th Cir. Affirms Ruling on Guan Claims ----------------------------------------------------------------- In the appeal styled ALICE GUAN, Plaintiff-Appellant, versus ELLINGSWORTH RESIDENTIAL COMMUNITY ASSOCIATION, INC., Defendant-Appellee, No. 22-13317 (11th Cir.), Judges Kevin C. Newsom, Elizabeth L. Branch and R. Lanier Anderson III of the United States Court of Appeals for the Eleventh Circuit affirmed the order of the United States District Court for the Middle District of Florida that upheld the bankruptcy court's partial allowance and disallowance of her claims against Ellingsworth Residential Community Association, Inc. This is another appeal stemming from a dispute between Alice Guan and her homeowners association -- Ellingsworth. After Guan failed to conform her yard to the HOA's covenants, Ellingsworth sued Guan in state court. Guan countersued Ellingsworth for various state-law claims. The state court awarded Guan costs and fees because Ellingsworth had waived its claims against Guan by suing rather than arbitrating the dispute. But before Guan could collect and proceed with her counterclaims, Ellingsworth petitioned for subchapter V bankruptcy. Guan appealed in the bankruptcy proceeding and filed proofs of claims. In Claim 4-3, she sought $500,000 for attorneys' fees and costs associated with defending the state court lawsuit that Ellingsworth had filed against her (although the amount of the attorney's fees and costs Guan was entitled to had yet to be determined by the state court). In Claim 5-2, she sought $1,600,000 for "Counterclaim/Modification of Such," which Guan averred included an estimate of her damages for her state court counterclaims, the $500,000 in attorney's fees and costs, and punitive damages. Ellingsworth objected to Guan's amended claims on numerous grounds. Although Guan's appeals from the orders were pending, the bankruptcy court issued an order and memorandum opinion partially allowing Guan's Claim 4-3 in the amount of $377,496.60 in attorney's fees and costs related to the state court litigation6 and disallowing Claim 5-2, concluding that she failed to state a claim for relief regarding her remaining state claims for abuse of process, RICO violation, and intentional infliction of emotional distress. Guan then appealed the order partially allowing Claim 4-3 and disallowing Claim 5-2 to the district court. The district court affirmed the bankruptcy court's order. The present appeal followed. Guan, proceeding pro se, argues that: (1) the bankruptcy court lacked jurisdiction to issue the underlying order because she had already appealed several other bankruptcy court orders at that time thereby divesting the bankruptcy court of jurisdiction; (2) the bankruptcy court lacked the statutory and constitutional authority to adjudicate her state law claims; and (3) the bankruptcy court erred in its handling of the trial on Guan's state law claims and her objections. The Circuit Judges hold, "Here, the pending appeals of the case management order, the motion for relief from stay, and the abstention order did not divest the bankruptcy court of jurisdiction to issue the claims order. Those other orders that Guan appealed each definitively resolved 'discrete controversies' that were collateral to whether her proof of claims should be allowed or disallowed in the bankruptcy proceeding. Moreover, Guan was denied a stay, and therefore, the remainder of the bankruptcy proceedings continued to go on. Accordingly, we conclude that the bankruptcy court was not divested of jurisdiction by Guan's other appeals." A copy of the Court's Opinion is available at https://urlcurt.com/u?l=kmrLXp About Ellingsworth Residential Community Association, Inc. Ellingsworth Residential Community Association, Inc., operates a homeowner's association consisting of approximately eighty homes in three subdivisions. Ellingsworth Residential Community Association, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 20-01346) on March 3, 2020, listing under $1 million in both assets and liabilities. Justin M. Luna, Esq. at LATHAM LUNA EDEN & BEAUDINE LLP represents the Debtor as counsel. EPIC CRUDE: S&P Assigns 'BB-' Rating on Senior Secured Term Loan B ------------------------------------------------------------------ S&P Global Ratings assigned a 'BB-' issue-level rating to the proposed repricing of Epic Crude Services L.P.'s senior secured term loan B due in 2031. The issuance will not affect the company's credit metrics. S&P said, "Our 'BB-' issuer credit rating and stable outlook are unchanged. The recovery rating on the senior secured debt is '3', indicating our expectation of meaningful (50%-70%; rounded estimate: 65%) recovery in the event of a payment default. We expect Epic will continue to deleverage with S&P Global Ratings-adjusted debt to EBITDA trending toward 4.5x in 2025." ESSENTIALS MASSAGE: Gets Interim OK to Use Cash Collateral ---------------------------------------------------------- Essentials Massage and Facials of Trinity 54, LLC got the green light from the U.S. Bankruptcy Court for the Middle District of Florida to use cash collateral. The court's order authorized the Debtor's interim use of cash collateral pending a further hearing to be conducted by the court on July 10. As protection, each creditor that may have a security interest in the cash collateral will be granted a perfected post-petition lien on the cash collateral to the same extent and with the same validity and priority as its pre-bankruptcy lien. In addition, the Debtor was ordered to keep its property insured as required by its loan agreements. with secured creditors. As of the petition date, the Debtor had cash on hand of approximately $26,443.57 and had $1,073.25 in short-term accounts receivable, which constitute cash collateral. The Debtor identifies a single secured creditor -- the U.S. Small Business Administration -- which may have a blanket lien on its assets although it disputes the validity or amount of that lien. About Essentials Massage and Facials of Trinity 54 Essentials Massage and Facials of Trinity 54, LLC operates a wellness and beauty spa offering massages, facials, body sculpting, and spa packages. It provides customized, results-focused treatments that blend relaxation with aesthetic goals. It serves clients from its location in Trinity, Florida. Essentials Massage sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-03987) on June 13, 2025. In its petition, the Debtor reported total assets of $33,228 and total liabilities of $8,225,240. Judge Roberta A. Colton handles the case. The Debtor is represented by Kristina Feher, Esq., at Feher Law, PLLC. ESSEX REAL: Objections to Proposed Estate Distribution Overruled ---------------------------------------------------------------- The Honorable Gary Spraker of the United States Bankruptcy Court for the District of Nevada overruled Anthony Pusateri and Ronald Fadel's objections to the proposed distribution of the remaining proceeds in the bankruptcy case of Essex Real Estate Partners, LLC. George F. Holman, Sr., individually and in his capacity as Trustee of the MJH Irrevocable Trust, and Martha Jane Holman, individually and in her capacity as Trustee of the GFH Irrevocable Trust, and Kirkland Development Associates LLC, have moved for an order directing the disbursing agent under the confirmed plan of liquidation to distribute the outstanding balance of funds held payable to equity interests in the debtor, Essex Real Estate Partners, LLC On Jan. 24, 2025, counsel for the Holmans filed two alternative proposed Findings of Fact and Conclusions of Law detailing the proposed distribution to equity interest holders. Pusateri and Fadel, equity holders of Preferred A units in Essex, have objected to the proposed Findings of Fact and Conclusions of Law. Additionally, they have filed a motion to stay any distribution of the estate's remaining proceeds. The Court has since denied that motion as premature. Pusateri and Fadel argue that the proposals were fatally flawed because: (1) They contradict rulings made by the Nevada Supreme Court in a final and binding order on state law matters germane to distribution. (2) They violate the bankruptcy court's Confirmation Order and Order of Abstention mandating the effectuation of this distribution in a manner comporting with Nevada state law as dictated by a final unappealable order. (3) They violate the Essex Operating Agreement, the relevant operational terms of which the Nevada Supreme Court has clarified in its ruling, the only final and unappealable order now in effect. On Dec. 17, 2019, George Holman signed a document entitled "Second Amendment of the Operating Agreement of Essex Real Estate Partners, LLC," as manager of Essex. This amendment revised Section 6 of the Operating Agreement governing Debtor's profits, losses, and distributions from operations or the sale or refinancing of Debtor's property. The Dec. 17 Amendment revised Sec. 6.01(a) to insert a 20% cap on the preferred return to be paid to the Preferred A unit holders from any sale or refinancing. Another amendment to the Operating Agreement was adopted effective Dec. 24, 2019 that also capped the distribution to Preferred A members. Unlike the prior amendment, the Dec. 24 Amendment created a new class of 150 Preferred B units. Pusateri and Fadel have admitted that they voluntarily executed the Dec. 24 Amendment which caps their distributions at the amount of their original investments -- the same amounts they have sought for years and the amount proposed to be distributed to them. According to the Court, Pusateri and Fadel have not provided any factual or legal analysis to establish the consequence of invalidating the Dec. 17 Amendment. The later Dec. 24 Amendment recast the obligation to the Preferred A members and limited that distribution to repayment of the original investments. On that basis, Essex was placed into bankruptcy, the real property was sold, the settlement with the creditors was reached, and a plan was confirmed. The proposed Findings of Fact and Conclusions of Law apply the revised, capped distribution to Preferred A members provided by the Dec. 24 Amendment and otherwise agreed to by Pusateri and Fadel. In this regard, the earlier Dec. 17 Amendment is wholly irrelevant, the Court finds. Despite their ongoing filings beyond the objection deadline, Pusateri and Fadel have provided nothing to suggest that the Dec. 17 Amendment affects the proposed distribution. As such, their argument regarding the Dec. 17 Amendment fails to state a valid objection to either the proposed Findings of Fact and Conclusions of Law or to the proposed distribution, the Court concludes. A copy of the Court's Memorandum Decision is available at https://urlcurt.com/u?l=QoJpku from PacerMonitor.com. About Essex Real Estate Partners Reno, Nev.-based Essex Real Estate Partners, LLC filed a Chapter 11 petition (Bankr. D. Nev. Case No. 19-51486) on Dec. 27, 2019. In the petition signed by Jeri Coppa-Knudson, manager, the Debtor was estimated to have $10 million to $50 million in assets and $1 million to $10 million in liabilities. Judge Natalie M. Cox oversees the case. Stephen R. Harris, Esq., a Harris Law Practice, LLC, serves as the Debtor's bankruptcy counsel. EXTREME PROFITS: Taps Florida Bankruptcy Group LLC as Attorney -------------------------------------------------------------- Extreme Profits Inc. seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to hire Florida Bankruptcy Group, LLC as attorneys. The firm will render these services: a. give advice to the Debtor with respect to its powers and duties as a Debtor in possession and the continued management of its business operations; b. advise the Debtor with respect to its responsibilities in complying with the U.S. Trustee's Operating Guidelines and Reporting Requirements and with the rules of the court; c. prepare motions, pleadings, orders, applications, adversary proceedings, and other legal documents necessary in the administration of the case; d. protect the interest of the Debtor in all matters pending before the court; and e. represent the Debtor in negotiation with its creditors in the preparation of a plan. The firm's hourly rates are as follows: Kevin C. Gleason, Esq. $450 per hour Paralegal/Others $175 per hour The firm received a retainer in the amount of $15,000. Kevin C Gleason, Esq., an attorney at Florida Bankruptcy Group, LLC, assured the court that the firm is disinterested as required by 11 U.S.C. Sec. 327(a). The firm can be reached through: Kevin C. Gleason, Esq. FLORIDA BANKRUPTCY GROUP, LLC 4121 N. 31st Ave. Hollywood, FL 33021-2011 Tel: (954) 893-7670 Fax: (954) 252-2540 Email: BankruptcyLawyer@aol.com Email: KGPAECMF@aol.com About Extreme Profits Inc. Extreme Profits Inc., operating as X-Stream Power Washing and Cleaning Services, is a pressure washing and cleaning company based in Key West, Florida. Extreme Profits Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-15709) on May 21, 2025. In its petition, the Debtor reports estimated assets between $500,000 and $1 million and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Corali Lopez-Castro handles the case. The Debtors are represented by Kevin C Gleason, Esq. FIBERCO GENERAL: Unsecureds Will Get 20% of Claims over 60 Months ----------------------------------------------------------------- Aracena Auto Center, LLC, filed with the U.S. Bankruptcy Court for the District of New Jersey a Plan of Reorganization for Small Business dated June 12, 2025. The Debtor is the owner and operator of a mechanic shop/garage at 1650 South Broad Street, Trenton, NJ 08610. Part of the premises are subleased to Garcia & Loaca which generates$ 3500 per month. The Debtor began operations in 2016. Originally located at 2101 S. Broad Street, Hamilton, NJ, it moved to 74 Parker St., Trenton, NJ in 2017 and then to the present location upon the purchase of the property in 2018. Business as a mechanic shop has continued through present. The Debtor filed a prior Chapter 11 Bankruptcy which was dismissed in anticipation of a contract sale of the property. That contract was cancelled by the buyer who apparently desired to buy the property at a lower price at a pending Sheriff's Sale. This bankruptcy was filed to stop the Sheriff's Sale and save the property and the equity there from being lost. The Debtor proposes to pay the foreclosure judgment in full over five years to K&K Lending with interest at the judgment rate. In addition, the debtor proposes to pay the two priority creditors in full in 60 equal installments commencing on the effective date. Finally, the Debtor proposes to pay a dividend to the unsecured creditors in an amount of 20% of the unsecured claims. In total, debtor will make monthly payments totaling $4,695.85 for sixty months commencing the effective date. Class 3 consists of General Unsecured Claims. GUC estimated at $33,693 and will receive 20% ($6738.60) without interest for 60 monthly payments = $ 112.31 deminimus claims (under $750) will be paid in a lump sum within six months of the effective date. The Debtor must submit all or such portion of the future earnings or other future income of the Debtor to the supervision and control of the Trustee as is necessary for the execution of the Plan. The Debtor's financial projections show that the Debtor will have an aggregate annual average cash flow, after paying operating expenses and post-confirmation taxes, of approximately $50,000. The final Plan payment is expected to be paid on August 1, 2030. A full-text copy of the Plan of Reorganization dated June 12, 2025 is available at https://urlcurt.com/u?l=P3CydQ from PacerMonitor.com at no charge. About Aracena Auto Center Aracena Auto Center, LLC, an auto repair company, filed a Chapter 11 petition (Bankr. D.N.J. Case No. 25-12613) on March 14, 2025, listing between $100,001 and $500,000 in both assets and liabilities. Judge Christine M. Gravelle oversees the case. The Debtor is represented by: Steven J. Abelson, Esq. Abelson Law Offices 80 West Main Street P.O. Box 7005 Freehold, NJ 07728 Phone: 732-462-4773 atrbk1@gmail.com FIELDWOOD: Altantic's LOWLA Privileges Not Extinguished by Plan --------------------------------------------------------------- In the appeal styled QuarterNorth Energy, L.L.C., and certain of its affiliates, Appellee, versus Atlantic Maritime Services, L.L.C., Appellant, No. 23-20218 (5th Cir.), Judges James E. Graves, Jr. and Cory T. Wilson of the United States Court of Appeals for the Fifth Circuit reversed the judgment of the United States Bankruptcy Court for the Southern District of Texas declaring that the statutory privileges of Atlantic Maritime Services were extinguished by the "satisfaction" and "settlement" language in Fieldwood's Chapter 11 reorganization plan. This dispute stems from a debt owed by Fieldwood Energy to Atlantic. Fieldwood, as the designated operator for various oil-and-gas wells, hired Atlantic to provide drilling services. Atlantic provided those services and charged Fieldwood over $13 million for them. Before paying Atlantic, however, Fieldwood (and its affiliates) filed for Chapter 11 bankruptcy in the United States Bankruptcy Court for the Southern District of Texas. After Fieldwood filed for bankruptcy, Atlantic sought to recover on Fieldwood's debt by asserting statutory privileges over the property of third-party non-debtors. The Louisiana Oil Well Lien Act (LOWLA) provides a contractor that performed work on an oil-and-gas well a lien over the property of an operator or lessee in order to secure the price of his contract for operations. Under LOWLA, a lessee is a person who owns an operating interest. Accordingly, Atlantic filed two lawsuits in the Eastern District of Louisiana seeking the recognition and enforcement of LOWLA privileges over certain property of non-debtor working-interest owners of the leases on which Atlantic provided drilling services. Fieldwood, although not a party to the Louisiana Lawsuits, initiated an adversary proceeding in its Chapter 11 bankruptcy to have the court extend the bankruptcy's automatic stay to the Louisiana Lawsuits. The bankruptcy court did so. Fieldwood distributed its proposed plan of reorganization, it amended its adversary complaint against Atlantic. In Count VI of its amended complaint, Fieldwood sought a "Declaration that Satisfaction, Settlement, and Discharge of Atlantic's Claims Under the Plan Shall Extinguish Any Privileges Held by Atlantic Under LOWLA." In Count IX, Fieldwood sought an accompanying permanent injunction. Soon after, Atlantic moved to dismiss Fieldwood's request for declaratory relief, and Fieldwood moved for summary judgment. The bankruptcy court confirmed Fieldwood's proposed plan before ruling on either Fieldwood's motion for summary judgment or Atlantic's motion to dismiss. Several months after confirming the plan, the bankruptcy court returned to the adversary proceeding between Fieldwood and Atlantic, denying both Fieldwood's motion for summary judgment and Atlantic's motion to dismiss. The court then heard evidence and argument on the matter and issued a bench ruling in favor of Atlantic, concluding that the terms satisfaction and settlement are "colloquial terms dealing with a discharge. Accordingly, the bankruptcy court allowed the litigation in Louisiana to proceed. QuarterNorth -- which acquired Fieldwood's assets and was substituted for Fieldwood as the plaintiff in the proceeding -- moved for reconsideration based on purportedly incorrect factual findings supporting the bankruptcy court's bench ruling. The bankruptcy court granted QuarterNorth's motion and flipped its ruling. While a bankruptcy discharge -- standing alone -- does not extinguish debt, the bankruptcy court determined that Fieldwood's plan provides for more than a bankruptcy discharge. The bankruptcy court concluded that Fieldwood's obligation to Atlantic, instead of simply being discharged, was fulfilled and extinguished, such that Atlantic's alleged LOWLA privileges were extinguished under Louisiana law. The bankruptcy court entered judgment for QuarterNorth on its claims for declaratory and injunctive relief. Atlantic filed a notice of appeal. The primary question on appeal is whether the terms "satisfaction" and "settlement" in Fieldwood's Chapter 11 reorganization plan extinguished Atlantic's statutory privileges over non-debtor co-working-interest owners' property. If Fieldwood's obligation to Atlantic was rendered "extinct", then Atlantic's LOWLA privileges over non-debtor co-working-interest owners' property were extinguished. The Fifth Circuit notes the mere discharge of Atlantic's claim against Fieldwood pursuant to 11 U.S.C. Sec. 524 is not sufficient to render Fieldwood's obligation to Atlantic "extinct." Section 524(e) specifies that the debt still exists and can be collected from any other entity that might be liable. Accordingly, Atlantic's claims against Fieldwood were only rendered extinct if, as the bankruptcy court concluded, Fieldwood's plan provides for more than a bankruptcy discharge. The Circuit Judges hold, "Fieldwood's plan does not specifically discuss Fieldwood's debt to Atlantic, much less expressly extinguish Atlantic's LOWLA privileges over non-debtor working-interest owners' property. Neither QuarterNorth's arguments nor the bankruptcy court's reasoning persuade us that the terms 'satisfaction' and 'settlement' do anything other than discharge Fieldwood's liability." They conclude, "Fieldwood's reorganization plan clearly does not render Fieldwood's obligation to Atlantic extinct. It merely discharges Fieldwood's liability for the debt. Accordingly, the plan did not extinguish Atlantic's LOWLA privileges on the working-interest owners' property. We reverse the bankruptcy court's judgment in favor of QuarterNorth on Counts VI and IX of its amended complaint. We remand for proceedings consistent with this opinion." A copy of the Court's Opinion is available at https://urlcurt.com/u?l=eCtI40 About Fieldwood Energy Fieldwood Energy -- https://www.fieldwoodenergy.com/ -- is a portfolio company of Riverstone Holdings focused on acquiring and developing conventional assets, primarily in the Gulf of Mexico region. It is the largest operator in the Gulf of Mexico owning an interest in approximately 500 leases covering over two million gross acres with 1,000 wells and 750 employees. Fieldwood Energy and its 13 affiliates previously sought Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 18-30648) on Feb. 15, 2018, with a prepackaged plan that would deleverage $3.286 billion of funded by $1.626 billion. On Aug. 3, 2020, Fieldwood Energy and its 13 affiliates again filed voluntary Chapter 11 petitions (Bankr. S.D. Tex. Lead Case No. 20-33948). Mike Dane, senior vice president and chief financial officer, signed the petitions. At the time of the filing, the Debtors disclosed $1 billion to $10 billion in both assets and liabilities. Judge David R. Jones oversees the cases. The Debtors tapped Weil, Gotshal & Manges LLP as their legal counsel, Houlihan Lokey Capital, Inc. as investment banker, and AlixPartners, LLP as financial advisor. Prime Clerk LLC is the claims, noticing, and solicitation agent. The first-lien group employed O'Melveny & Myers LLP as its legal counsel and Houlihan Lokey Capital, Inc. as its financial advisor. The RBL lenders employed Willkie Farr & Gallagher LLP as their legal counsel and RPA Advisors, LLC as their financial advisor. Meanwhile, the cross-holder group tapped Davis Polk & Wardwell LLP and PJT Partners LP as its legal counsel and financial advisor, respectively. On Aug. 18, 2020, the Office of the U.S. Trustee appointed a committee of unsecured creditors. Stroock & Stroock & Lavan, LLP and Conway MacKenzie, LLC, serve as the committee's legal counsel and financial advisor, respectively. FINLEY DESIGN: Hearing to Use Cash Collateral Set for July 30 ------------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of North Carolina is set to hold a hearing on July 30 to consider another extension of Finley Design, P.A.'s authority to use cash collateral. Finley Design previously received interim approval to use the cash collateral of its secured creditors in accordance with its budget, which shows total operational expenses of $82,171.97 for the period from June 13 to July 1. The interim order issued on June 18 granted secured creditors replacement liens on assets acquired by the Debtor after the petition date, with the same priority and extent as their pre-bankruptcy liens. The creditors that may have interest in the cash collateral are First Citizens Bank & Trust Co., Marlin Leasing Co., Kapitus, LLC, Blade Funding Corp., Highland Hill Capital, LLC, and the U.S. Small Business Administration. The Debtor owes these creditors $2,065,762. About Finley Design P.A. Finley Design P.A., doing business as Finley Design PA Architecture + Interiors, provides architectural, interior, and master planning services for retail, office, medical, mixed-use, residential, and environmental design projects. The firm focuses on client-centered solutions, offering design leadership and project execution across various commercial and residential sectors. Finley Design sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 25-02252) on June 2, 2025. In its petition, the Debtor reported estimated assets between $100,000 and $500,000 and estimated liabilities between $1 million and $10 million. Judge Pamela W. Mcafee oversees the case. The Debtor is represented by Philip M. Sasser, Esq., at Sasser Law Firm. FISERV INC: Egan-Jones Retains BB+ Senior Unsecured Ratings ----------------------------------------------------------- Egan-Jones Ratings Company on June 16, 2025, maintained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Fiserv, Inc. Headquartered in Milwaukee, Wisconsin, Fiserv, Inc. provides fintech solutions. FORREST MACHINING: Los Angeles Waterkeeper Consent Decree Okayed ---------------------------------------------------------------- In the case captioned as LOS ANGELES WATERKEEPER, a California non-profit association, Plaintiff, v. FORREST MACHINING LLC, a California Limited Liability Company, Defendant, Case No. 2:25-cv-02828 (C.D. Cal.), Magistrate Judge Maria A. Audero of the United States District Court for the Central District of California approved a consent decree entered into by the parties to settle the action. Plaintiff Los Angeles Waterkeeper is a 501(c)(3) non-profit public benefit corporation organized under the laws of the State of California, with its main office in Los Angeles, California. LA Waterkeeper is dedicated to the preservation, protection and defense of the surface, ground, coastal and ocean waters of Los Angeles County from all sources of pollution and degradation. Forrest Machining LLC operates a facility at 27756 Avenue Mentry Valencia, CA 91335, under Waste Discharger Identification number 4 19I02736 commencing on or about Oct. 30, 2023, the date of Defendant's Notice of Intent to Comply with the General Permit. Forrest is an establishment primarily engaged in manufacturing aircraft parts and auxiliary equipment, not elsewhere classified under Standard Industrial Classification Code 3728. Storm water discharges associated with Industrial Activity at the Facility are regulated by the National Pollutant Discharge Elimination System General Permit No. CAS000001 [State Water Resources Control Board], Water Quality Order 2014-0057-DWQ, as amended by Order Nos. 2015-0122-DWQ and 2018-0028-DWQ incorporating: 1) Federal Sufficiently Sensitive Test Method Ruling; 2) Total Maximum Daily Load Implementation Requirements; and 3) Statewide Compliance Options Incentivizing On-Site or Regional Storm Water Capture and Use, at the Facility, and the Federal Water Pollution Control Act, 33 U.S.C. Secs. 1251, et seq. ("Clean Water Act" or "CWA"), Sections 301(a) and 402, 33 U.S.C. Secs. 1311(a), 1342. Plaintiff alleges that Forrest's operations at the Facility result in discharges of pollutants into waters of the United States and are regulated by the Clean Water Act Sections 301(a) and 402. 33 U.S.C. Secs. 1311(a), 1342. On Oct. 31, 2024, Plaintiff issued a notice of intent to file suit ("60-Day Notice") to Forrest, its registered agent, the Administrator of the United States Environmental Protection Agency, the Executive Director of the State Water Resources Control Board, the Executive Director Los Angeles Regional Water Quality Control Board, and the Regional Administrator of EPA Region IX, alleging violations of the Clean Water Act and the General Permit. On April 1, 2025, LA Waterkeeper filed a complaint against Forrest in the Central District of California, Civil Case No. 2:25-cv-02828. Plaintiff's Complaint alleged violations of the General Permit and the Clean Water Act for Forrest's discharges of pollutants into storm drains and surface waters, including the Santa Clara River. On Feb. 25, 2025, and Feb. 26, 2025, FMI (along with Dynamic Aerostructures LLC and Dynamic Aerostructures Intermediate LLC) filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code. The bankruptcy case is pending joint administration under Case No. 25-10292 before the Honorable Laurie Selber Silverstein in the United States Bankruptcy Court for the District of Delaware. The Debtors in these chapter 11 cases: Dynamic Aerostructures LLC (3076); Dynamic Aerostructures Intermediate LLC (9800); and Forrest Machining LLC (3421). LA Waterkeeper and Forrest agree that it is in their mutual interest to enter into a Consent Decree setting forth terms and conditions appropriate to resolving the allegations set forth in the 60-Day Notice and Complaint without further proceedings. Since receiving the 60-Day Notice, Forrest has spent and anticipates further spending up to $500,000 to improve stormwater management at the Facility and implement the Consent Decree. Forrest agrees to partially defray costs associated with Plaintiff's monitoring of its compliance with the Consent Decree during the Term by paying LA Waterkeeper the sum of Nine Thousand Dollars ($9,000.00). Payment shall be made within thirty (30) days of approval by the bankruptcy court. To fund environmentally beneficial project activities that will reduce or mitigate the impacts of storm water pollution from industrial activities occurring in the Santa Clara River Watershed, Forrest agrees to make a payment totaling Thirty Thousand Dollars ($30,000.00) to be made within thirty (30) days of approval by the bankruptcy court, payable to Santa Clara River Conservancy. Forrest agrees to pay a total of Sixty-Five Thousand Dollars ($65,000.00) to LA Waterkeeper to reimburse LA Waterkeeper's investigation fees and costs, expert/consultant fees and costs, attorneys' fees, and other costs incurred by investigating and filing the lawsuit and negotiating a resolution of this matter within thirty (30) days of approval by the bankruptcy court. The payment shall be made payable to Aqua Terra Aeris Law Group. Forrest shall pay interest on any payments, fees, or costs owed pursuant to the Consent Decree that are not received by the due date. The Court shall retain jurisdiction over this matter for the Term for the purpose of enforcing its terms and conditions and adjudicating all disputes among the Parties that may arise under the provisions of the Consent Decree. The Court shall have the power to enforce the Consent Decree with all available legal and equitable remedies, including contempt. Upon the Effective Date of the Consent Decree, Forrest, on its own behalf and on behalf of its officers, directors, employees, parents, subsidiaries, affiliates and each of their successors or assigns, release Plaintiff, its officers, and directors, from and waives all claims related to the 60-Day Notice and/or the Complaint up to and including the Termination Date of the Consent Decree. The Consent Decree constitutes a full and final settlement of this matter. A copy of the Consent Decree is available at https://urlcurt.com/u?l=unr2jz from PacerMonitor.com. Attorneys for Plaintiff LOS ANGELES WATERKEEPER: Anthony M. Barnes, Esq. Theresa Trillo, Esq. AQUA TERRA AERIS LAW GROUP 8 Rio Vista Ave. Oakland, CA 94611 Phone: (917) 371-8293 E-mail: amb@atalawgroup.com tt@atalawgroup.com Attorneys for Defendant FORREST MACHINING LLC: S. Wayne Rosenbaum, Esq. Grant R. Olsson, Esq. ENVIRONMENTAL LAW GROUP LLP 225 Broadway, Suite 1900 San Diego, CA 92101 Tel: (619) 231-5858 E-mail: swr@envirolawyer.com golsson@envirolawyer.com About Dynamic Aerostructures Dynamic Aerostructures, LLC are a manufacturer and supplier of critical structural components and assemblies for the aerospace and defense industry. They specialize in complex, large-format structural airframe and wing components, large aluminum structures, and complex assemblies for key aerospace and defense customers such as Lockheed Martin, Northrop Grumman, and Boeing, among others. They have one of the largest independent aerospace and defense manufacturing sites in North America, operating out of 226,000 square feet across two facilities in Southern California. Dynamic Aerostructures and its affiliates filed Chapter 11 petitions (Bankr. D. Del. Case No. 25-10292) on February 25, 2025. At the time of the filing, listed between $10 million and $50 million in assets and between $50 million and $100 million in liabilities. Judge Laurie Selber Silverstein oversees the cases. The Debtors tapped Chipman Brown Cicero & Cole, LLP and Ropes & Gray, LLP as bankruptcy counsels; Berkeley Research, LLC as financial advisor; Configure Partners, LLC as investment banker; and Carroll Services LLC as restructuring advisor. Kurtzman Carson Consultants, LLC is the notice, claims, balloting and solicitation agent. FTX TRADING: Prelim. Injunction OK'd vs. Former Exec Salame ----------------------------------------------------------- Vince Sullivan of Law360 reports that on Friday, June 27, 2025, a Delaware bankruptcy judge granted a preliminary injunction against former FTX executive Ryan Salame, barring him from disposing of up to $6 million in assets he is alleged to have taken from the cryptocurrency exchange before its collapse in 2022. About FTX Trading Ltd. FTX is the world's second-largest cryptocurrency firm. FTX is a cryptocurrency exchange built by traders, for traders. FTX offers innovative products including industry-first derivatives, options, volatility products and leveraged tokens. Then CEO and co-founder Sam Bankman-Fried said Nov. 10, 2022, that FTX paused customer withdrawals after it was hit with roughly $5 billion worth of withdrawal requests. Faced with liquidity issues, FTX on Nov. 9 struck a deal to sell itself to its giant rival Binance, but Binance walked away from the deal amid reports on FTX regarding mishandled customer funds and alleged US agency investigations. At 4:30 a.m. on Nov. 11, Bankman-Fried ultimately agreed to step aside, and restructuring vet John J. Ray III was quickly named new CEO. FTX Trading Ltd (d/b/a FTX.com), West Realm Shires Services Inc. (d/b/a FTX US), Alameda Research Ltd. and certain affiliated companies then commenced Chapter 11 proceedings (Bankr. D. Del. Lead Case No. 22-11068) on an emergency basis on Nov. 11, 2022. Additional entities sought Chapter 11 protection on Nov. 14, 2022. FTX Trading and its affiliates each listed $10 billion to $50 million in assets and liabilities, making FTX the biggest bankruptcy filer in the US this year. According to Reuters, SBF shared a document with investors on Nov. 10 showing FTX had $13.86 billion in liabilities and $14.6 billion in assets. However, only $900 million of those assets were liquid, leading to the cash crunch that ended with the company filing for bankruptcy. The Hon. John T. Dorsey is the case judge. The Debtors tapped Sullivan & Cromwell, LLP as bankruptcy counsel; Landis Rath & Cobb, LLP as local counsel; and Alvarez & Marsal North America, LLC as financial advisor. Kroll is the claims agent, maintaining the page https://cases.ra.kroll.com/FTX/Home-Index The official committee of unsecured creditors tapped Paul Hastings as bankruptcy counsel; Young Conaway Stargatt & Taylor, LLP as Delaware and conflicts counsel; FTI Consulting, Inc. as financial advisor; and Jefferies, LLC as investment banker. Montgomery McCracken Walker & Rhoads LLP, led by partners Gregory T. Donilon, Edward L. Schnitzer, and David M. Banker, is representing Sam Bankman-Fried in the Chapter 11 cases. White collar crime specialist Mark S. Cohen has reportedly been hired to represent SBF in litigation. Lawyers at Paul Weiss previously represented SBF but later renounced representing the entrepreneur due to a conflict of interest. FULLER INVESTMENT: Court Denies Bid to Prohibit Cash Collateral Use ------------------------------------------------------------------- The U.S. Bankruptcy Court for the Western District of North Carolina, Charlotte Division, denied SouthState Bank, N.A.'s motion to prohibit Fuller Investment Group, LLC from using cash collateral. SouthState's request is based on its claim that the Debtor, which filed for bankruptcy on May 18, just one day before a scheduled state court hearing where the lender sought possession of its collateral, has acted in bad faith and continues to violate both state court orders and bankruptcy rules. SouthState had previously loaned $2.377 million to the Debtor under a 2023 SBA-backed agreement, secured by a first-priority lien on nearly all of the Debtor's assets. After the Debtor defaulted, the lender initiated a state court claim and delivery action to recover its collateral, and the court issued an order forbidding the Debtor from transferring or disposing of the collateral. Despite this, the Debtor allegedly made a $1,729 payment to its counsel just before the bankruptcy filing and has continued to sell inventory and generate proceeds classified as "cash collateral" without SouthState's consent or court approval in violation of 11 U.S.C. section 363. According to SouthState, the Debtor is severely undersecured by over $1.5 million and cannot offer adequate protection for the continued use of cash collateral. The lender cited the Debtor's admission in its own filings that it lacks the resources to reorganize and has no realistic chance of successful rehabilitation. About Fuller Investment Group LLC Fuller Investment Group, LLC, doing business as Amodernary Furniture Designs, is a luxury modern furniture retailer based in Charlotte, North Carolina. Founded in 2017, the company offers a curated selection of contemporary furniture, lighting, and accessories for residential and commercial spaces. It operates two showrooms in Charlotte and provides interior design services to clients. Fuller Investment Group sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D.N.C. Case No. 25-30505) on May 18, 2025. In its petition, the Debtor reported estimated assets between $50,000 and $100,000 and estimated liabilities between $1 million and $10 million. Judge Ashley Austin Edwards handles the case. The Debtor is represented by Richard S. Wright, Esq. at Moon Wright & Houston, PLLC. SouthState Bank, N.A., as lender, is represented by: Byron L. Saintsing, Esq. Landon G. Van Winkle, Esq. Smith Debnam Narron Drake Saintsing & Myers, L.L.P. P.O. Box 176010 Raleigh, NC 27619-6010 Telephone: (919) 250-2000 bsaintsing@smithdebnamlaw.com lvanwinkle@smithdebnamlaw.com GEORGIA VASCULAR: Taps Pine Mountain Capital as Accountant ---------------------------------------------------------- Georgia Vascular Specialists, P.C. seeks approval from the U.S. Bankruptcy Court for the Northern District of Georgia to employ Pine Mountain Capital Partners, LLC as accountant. The firm will render these services: a. prepare and file the Debtor's 2024 Federal and State Tax Returns; b. propose adjusting journal entries as needed for the preparation of federal and state tax returns; c. prepare personal property tax returns, if requested; and d. provide other accounting and bookkeeping services/assistance as requested including, but not limited to, cash flow projections, assistance with improving the collection process and billing for services provided to patients, and projecting cash available for vendor payables. The firm will charge $125 per hour for its services. Pine Mountain has no interests adverse to the Debtor or the Debtor's estate in the matters upon which it is to be engaged, according to court filings. The firm can be reached through: Kevin Irlbeck, CPA Pine Mountain Capital Partners, LLC 6265 Mount Vernon Oaks Dr Sandy Springs, GA 30328-8203 About Georgia Vascular Specialists, P.C. Georgia Vascular Specialists, P.C. provides vascular medicine and surgical services, including minimally invasive and traditional procedures for arterial, venous, and lymphatic conditions. The practice operates an accredited vascular ultrasound lab, ambulatory wound care services, and vein treatments, and offers inpatient care at Piedmont Hospital and Atlanta Medical Center. Founded in 1989, Georgia Vascular Specialist is based in Georgia. Georgia Vascular Specialists sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 25-55352) on May 13, 2025. In its petition, the Debtor reported between $1 million and $10 million in both assets and liabilities. The Debtor is represented by Benjamin Keck, Esq., at Keck Legal, LLC. GLOBAL NET LEASE: S&P Upgrades ICR to 'BB+' on Debt Reduction ------------------------------------------------------------- S&P Global Ratings raised its issuer credit rating on Global Net Lease Inc. (GNL) to 'BB+' from 'BB' and removed all ratings from CreditWatch, where S&P placed them with positive implications on Feb. 27, 2025. S&P said, "At the same time, we raised our issue-level rating on the company's senior unsecured notes to 'BBB-' from 'BB+'. The '2' recovery rating is unchanged. "The stable outlook reflects our view that GNL's operating performance will remain sound, supported by its well-diversified portfolio, high occupancy, minimal near-term lease expirations, and long-term, triple-net leases. We expect the company to continue to focus on noncore asset sales and the balance sheet, with S&P Global Ratings-adjusted debt to EBITDA in the mid- to high-7x area over the next two years. "GNL's leverage materially reduced following the close of the transaction and associated debt repayment, and we expect it to operate with a more conservative balance sheet going forward. GNL completed the sale of its muti-tenant portfolio for total gross proceeds of approximately $1.8 billion. The company utilized proceeds to repay a portion of the balance on its unsecured revolving credit facility, repay 2025 maturing secured debt, and fund share repurchases. As a result, it significantly reduced debt and improved leverage. During the first quarter of 2025, the company reduced net debt by $833 million, supported by the close of the first phase of the transaction for $1.1 billion in gross proceeds. We expect net debt levels will further decrease during the second quarter of 2025 as the remaining two phases have closed during the quarter. As of March 31, 2025, the company's net debt to adjusted EBITDA was 6.7x, in line with our S&P Global Ratings-adjusted debt to EBITDA calculation of 6.7x. We expect S&P Global Ratings-adjusted debt to EBITDA will rise to the mid- to high-7x area by year-end 2025 as a full year of lower EBITDA related to dispositions flows through the trailing-12-month calculation. We expect the company will continue to focus on noncore asset sales to further strengthen its balance sheet and liquidity position over the next two years. "We view the transaction as relatively neutral to GNL's business risk profile. While the multi-tenant portfolio sale results in a smaller and less diversified portfolio, we believe the simplification of the business is positive. The transaction allows GNL to become a pure-play, single-tenant net lease company, generating cash savings from reduced annual capital expenditures, fewer annual general and administrative expenses, and eliminating the complexities of owning multi-tenant retail properties. Moreover, the sale should improve operating statistics, increasing occupancy to 98% (relative to 96% pre-transaction as of Sept. 30, 2024), extending the weighted-average remaining lease term to 6.4 years (from 6.3 years), increasing the proportion of investment-grade tenants to 66% (from 60.5%), and enhancing annual rent escalations to 89% (from 80%). Going forward, we expect the focus of its investments to be in single-tenant net lease properties. Moreover, we expect solid operating performance in 2025, with same-store net operating income (NOI) growth in the low-single-digit percent area. "The stable outlook reflects our view that GNL's operating performance will remain sound, supported by its well-diversified portfolio, high occupancy, minimal near-term lease expirations, and long-term, triple-net leases. We expect the company to continue to focus on noncore asset sales and the balance sheet, with S&P Global Ratings-adjusted debt to EBITDA in the mid- to high-7x area over the next two years." S&P could lower the rating if: -- GNL fails to address upcoming maturities in a timely manner such that its weighted-average maturity of debt falls to and is sustained below three years; -- GNL pursues debt-financed acquisitions that cause S&P Global Ratings-adjusted debt to EBITDA to rise above 8.5x over a sustained period through increased reliance on the revolving credit facility; or -- Its operating performance deteriorates for a prolonged period and compares unfavorably with peers and S&P's expectations. -- In addition, S&P could lower its 'BBB-' issue-level rating if GNL incurs additional property-level debt that diminishes the recovery prospects for unsecured bondholders below 70%. While unlikely over the next 12 months, S&P could consider raising our rating on GNL if: -- The company pursues growth while also deleveraging such that S&P Global Ratings-adjusted debt to EBITDA approaches the mid-6x area with fixed-charge coverage sustained at or above 2.1x; -- It demonstrates access to a diverse source of capital and reduces its reliance on its revolver, boosting its weighted-average debt maturity to comfortably above three years; and -- Its operating performance remains relatively solid with no major tenant issues, demonstrating continued cash flow stability. GLOBAL PROCESSING: Denial of Larson's Indemnification Claim Upheld ------------------------------------------------------------------ In the appeal styled SCOTT LARSON, Plaintiff-Appellant, vs. IOWA GRAIN INDEMNITY FUND BOARD, Defendant-Appellee, No. 24-1195 (Iowa Ct. App.), Judges Samuel P. Langholz, Mary Tabor and Paul B. Ahlers of the Iowa Court of Appeals upheld the ruling of the Iowa District Court for Hancock County that affirmed the denial by the Iowa Grain Indemnity Fund Board of Scott Larson's claim for indemnification for a certain transaction with Global Processing Inc. . The Iowa Grain Indemnity Fund Board reviews claims by sellers who contracted with now-defunct grain dealers, and if it finds a claim derives from a covered transaction, it may indemnify ninety percent of the loss. Covered transactions include those where title to the grain is transferred within six months of the dealer's bankruptcy filing. Scott Larson is a soybean farmer. Between April 11 and April 13, 2022, Larson delivered 5648.71 bushels of soybeans to Global. On April 14, Global created a settlement sheet, which contained final pricing. In that document, Global noted no deductions for foreign material, dirt, or moisture. And after deducting $439.83 for checkoffs, Global priced Larson's delivery at $87,525.89. The settlement sheet was stamped as "PAID APR 14, 2022" and Global internally prepared a printed check to Larson for that amount the same day. But Global never signed the check nor sent it to Larson. On Oct. 24, 2022, Global filed for Chapter 11 bankruptcy. The Iowa Department of Agriculture and Land Stewardship promptly sent notices to parties --including Larson -- who may have unpaid balances from Global, notifying them of the bankruptcy. The notice instructed that Oct. 24 was the "claim incurrence date" for indemnity purposes and provided a copy of the form for submitting a claim to the Board. Larson submitted a claim for indemnification for the unpaid April delivery. After review, the Board denied his claim, finding all grain delivered and sold occurred more than six months from the incurrence date, Oct. 24, 2022, and thus was not a covered transaction. Larson sought judicial review. Larson argued Global's quality-review process and failure to deliver the drafted check shows that acceptance of and transfer of title to Larson's grain did not occur on April 14. Without substantial evidence that Global indeed accepted his grain on April 14, he argued the Board's denial should be reversed. The Board resisted, pointing to Global's pricing, lack of quality deductions, settlement, and preparation of payment for the final delivery as evidence supporting the Board's finding. The district court affirmed the Board's denial. It reasoned a number of factors provide substantial evidence that title to the grain transferred on April 14, including the grain was physically delivered to Global, it was weighed and scale tickets were generated, and a check and a settlement statement were completed. As for Larson's quality-review argument, the district court found no evidence showing Global rejected the beans or had any concerns about quality standards, as Global did not assess fees or costs for storing or drying any in-review grain. Because title to the grain passes on delivery, and the record evidence showed Larson delivered the soybeans on April 14, the district court thus found his claim was not a covered transaction. He now appeals, arguing the Board's factual findings are not supported by substantial evidence. Reviewing the administrative record as a whole, the Judges agree substantial evidence supports the Board's finding that Larson transferred title to the grain outside the six-month indemnity window. Global's settlement sheet contained all the necessary information for final payment, including each bushel's pricing, no quality deductions, the checkoff amount, and the payment check number. While Global never signed and delivered the check, the Board could reasonably infer that failure was because of its insolvency—not a refusal to accept the grain. And Global did not behave as if Larson retained title. They thus affirm the Board's denial." A copy of the Court's Opinion is available at https://urlcurt.com/u?l=HnPZll About Global Processing Inc. Global Processing, Inc. -- http://www.globalprocessing.org/-- supplies customers around the world with value-added, quality, farm-grown food products. The company is based in Kanawha, Iowa. Global Processing filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Iowa Case No. 22-00669) on Oct. 24, 2022, with $10 million to $50 million in both assets and liabilities. David M. Wilcox, president of Global Processing, signed the petition. Judge Thad J. Collins oversees the case. The Debtor tapped Ronald C. Martin, Esq., at Day Rettig Martin, PC as bankruptcy counsel; Nyemaster Goode, P.C. Law Firm as special litigation counsel; Gregory DeWeese of DeWeese Consulting, LLC as chief restructuring officer; and Oertli & Pleschourt, LLP as tax accountant. The U.S. Trustee for Region 12, appointed an official committee of unsecured creditors on Dec. 1, 2022. The committee tapped Gislason & Hunter, LLP as its counsel. GOLDEN TEMPLE: Voluntary Chapter 11 Case Summary ------------------------------------------------ Debtor: Golden Temple Investment LLC W6318 Wisconsin Avenue Greenville, WI 54942 Chapter 11 Petition Date: June 27, 2025 Court: United States Bankruptcy Court Eastern District of Wisconsin Case No.: 25-23716 Judge: Hon. Rachel M. Blise Debtor's Counsel: Claire Ann Richman, Esq. RICHMAN & RICHMAN LLC 122 W. Washington Avenue Suite 850 Madison, WI 53703-2732 Tel: 608-630-8990 Email: crichman@randr.law Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Hardeep S. Arora as member. The Debtor stated in the petition that there are no creditors with unsecured claims. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/VUMXDOI/Golden_Temple_Investment_LLC__wiebke-25-23716__0001.0.pdf?mcid=tGE4TAMA GOLDNER CAPITAL: Has Until August 31 to Confirm Chapter 11 Plan --------------------------------------------------------------- Chief Judge Alan S. Trust of the United States Bankruptcy Court for the Eastern District of New York denied Goldner Capital Management LLC's motion to vacate and/or reconsider a prior court order its bankruptcy case. On Oct. 22, 2024, the Court issued an order authorizing the joint administration of the Debtors' Chapter 11 cases pursuant to rule 1015(b) of the Federal Rules of Bankruptcy Procedure. On Oct. 2, 2024, Goldner Capital Management LLC, GCM Manager LLC, GCM Parkside LLC, GCM Up LLC, GCM Wash LLC, LHW Master Tenant LLC, and Missouri MT Holding LLC filed individual petitions for relief under Chapter 11 of Title 11 of the United States Code in the Eastern District of New York. On Oct. 14, 2024, Capital Source, LLC and The Capital Foresight Limited Partnership filed a motion to dismiss, alleging that the Debtors lacked corporate authority to file for Chapter 11 and that the cases were filed in bad faith. On Oct. 22, 2025, Capital Funding, LLC filed a motion to dismiss the Chapter 11 Case of LHW Master Tenant. On Jan. 28, 2025, the Court issued an order severing LHW Master Tenant LLC from the joint administration of the Debtors' Chapter 11 cases. On May 5, 2025, the Court entered an order denying the Motions to Dismiss. The Denial Order held that moving parties had failed to show that Debtors lacked corporate authority to file for Chapter 11 and failed to show that Debtors acted in bad faith. Additionally, the May 5, 2025, Denial Order specified that the Debtors would have until Aug. 31, 2025, to confirm their Chapter 11 plan, and further specified that failure to confirm a Chapter 11 plan by Aug. 31, 2025 "shall" result in dismissal of the Debtors' cases. On May 19, 2025, the Debtor filed the instant Motion to vacate and/or reconsider the Denial Order, seeking to alter the phrase "shall be dismissed" to "may be dismissed" regarding the Aug. 31, 2025, Chapter 11 plan deadline. On June 5, 2025, Capital filed an objection to the Debtors' Motion, arguing that the Court's use of "shall" in the Denial Order was proper, and should remain unchanged. The Debtors' Motion fails to cite any controlling decisions that would apply directly to the facts of the case at bar, that would steer the Court towards reconsideration. The Debtors' Motion fails to identify any data or information that the Court overlooked that would cause it to alter "shall" to "may." The Court deliberately chose to use the word "shall." The Debtors' Chapter 11 cases are approaching a year old, and a confirmable plan of reorganization has yet to be presented. The Court intended the Aug. 31, 2025, deadline to be just that -- a deadline by which the Debtors shall present a confirmable plan or face dismissal. The Court's use of "shall" was indeed purposeful, not inadvertent as is alleged in the Debtors' Motion. Therefore, based on the Court's consideration of the record as whole in these jointly administered Chapter 11 cases, the Motion is denied. The Debtors shall confirm their Chapter 11 plans by no later than Aug. 31, 2025, or the Debtors' Chapter 11 cases shall be dismissed. A copy of the Court's Order is available at https://urlcurt.com/u?l=NWd5wq About Goldner Capital Management Goldner Capital Management LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-73789) on October 2, 2024. In the petition filed by Samuel Goldner, as manager, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $10 million and $50 million. Bankruptcy Judge Alan S. Trust handles the case. The Debtor is represented by Gary F. Herbst, Esq. at LAMONICA HERBST & MANISCALCO, LLP. GOOD LIFE: Seeks to Hire Keith Y. Boyd P.C. as Counsel ------------------------------------------------------ Good Life, Inc. seeks approval from the U.S. Bankruptcy Court for the District of Oregon to employ Keith Y. Boyd, P.C. to handle its Chapter 11 case. The firm will be paid at these rates: Keith Y. Boyd $445 per hour Melissa A. Arnold, ACP $185 per hour Law Clerk $200 per hour Legal Assistants $115 per hour On May 12, 2025, the firm received a retainer from the Debtor in the amount of $25,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Keith Y. Boyd, Esq., a partner at The Law Offices of Keith Y. Boyd, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Keith Y. Boyd, Esq. The Law Offices of Keith Y. Boyd 724 S. Central Ave., Suite 106 Medford, OR 97501 Tel: (541) 973-2422 Fax: (541) 973-2426 Email: keith@boydlegal.net About Good Life, Inc. Good Life, Inc. develops and sells ultrasonic bark control and pest repellent products. The company operates through its primary e-commerce site -- ultimatebarkcontrol.com -- and is based in Medford, Oregon. Its offerings include devices such as the Dog Silencer MAX, BarkWise, and Pest Repeller Ultimate. Good Life sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ore. Case No. 25-61636) on June 11, 2025, listing up to $500,000 in assets and up to $10 million in liabilities. Kathy Alexander, secretary, signed the petition. Judge Thomas M. Renn oversees the case. Keith Y. Boyd, Esq., at Keith Y Boyd, PC, represents the Debtor as legal counsel. GPD COMPANIES: S&P Raises ICR to 'CCC+' on Debt Exchange -------------------------------------------------------- S&P Global Ratings raised its issuer credit rating on global plastics distributor and service provider GPD Companies Parent Inc. to 'CCC+' from 'SD'. The outlook is positive. S&P also rated the new senior secured notes due 2029 'CCC+', with a '4' (30%) recovery rating. S&P said, "The positive outlook reflects our view that earnings and credit metrics will probably improve over the next 6-12 months to a range appropriate for a 'B-' rating. However, we believe GPD's high leverage will leave the company reliant on good economic conditions to meet its ongoing financial obligations." The upgrade follows the completion of GPD's exchange of its 10.125% senior secured notes for a combination of cash and new 12.5% senior secured notes due in 2029. With the close of this exchange, the company paid down its debt by about $175 million and extended its maturities to 2029. Furthermore, with the sale of Distripol earlier in the year, GPD improved its liquidity profile by freeing up availability under its asset-backed lending (ABL) facility. After a weak first quarter of 2025 as the company worked through high-cost inventory, GPD's earnings and credit metrics began to rebound in Q2. S&P said, "We think that, with GPD's cost cutting actions and new supplier authorizations, credit metrics should continue to improve throughout the year. Ultimately, while we still view leverage as high, we believe GPD's S&P Global Ratings-adjusted debt to EBITDA will improve to the 8.5x-9.5x range as of year-end 2025 from about 10x at year-end 2024." S&P said, "We anticipate persisting demand weakness and macroeconomic uncertainty to continue to pressure margins. We are not expecting pricing to improve in the near term since almost half of GPD's portfolio is exposed to the polyolefins segment, which is experiencing unfavorable market conditions. Hence, we expect margins in 2025 to decline following the sale of the higher margin Distrupol business and lower prices. "We expect GPD's credit metrics to improve over the next couple years. The company continues to implement selling, general, and administrative (SG&A) cost reductions and net working capital improvements, which we anticipate will boost earnings in the back half of fiscal 2025. We expect GPD's low capital expenditure (capex) requirements, coupled with its efficient working capital management, will help improve credit measures. The company does not have any upcoming debt maturities and maintains significant availability under its $270 million ABL facility, which drops to a $211 million facility in October, for any near-term liquidity requirements. In addition, the company is engaging two new thermoplastic suppliers, which we expect will provide incremental EBITDA from higher sales volumes over the next couple years. This along with the structural savings from the Distrupol sale, the full year contribution of cost savings completed in 2025, and further planned cost saving actions, is likely to improve margins over the next couple years. "We continue to assess GPD's business risk as weak, given the company's reliance on key suppliers and susceptibility to changes in polypropylene and polyethylene prices. Our assessment also incorporates GPD's sizable market share, its broad customer base across diverse industries, and its strong brand reputation. "The positive rating outlook on GPD reflects our belief that its credit measures could exceed what we expect for the 'CCC+' rating if the company can continue to cut costs and improve earnings. We anticipate the company will moderately improve its EBITDA and slightly reduce its leverage this year, though we expect it will remain highly leveraged as of year-end 2025. We believe GPD's low capital spending and working capital requirements, along with the availability under its credit facility, will enable it to address any near-term liquidity requirements. We expect GPD's S&P Global Ratings-adjusted weighted average debt to EBITDA will remain in the high-single-digit area over the next 6-12 months. "We could revise our outlook on GPD in the next year if we believe its leverage will increase into the double-digits as of the end of 2025 or its liquidity sources decline to less than 1.2x of its uses without a near-term remedy. This could occur if the anticipated improvements in the company's volumes and EBITDA do not materialize, it experiences an unfavorable shift in its product mix, its volumes deteriorate unexpectedly and weaken its revenue and margins, a key supplier unexpectedly outsources its products to a competing distributor, or the demand for the products it distributes declines. We could also lower our ratings if GPD's owners take a dividend, the company engages in a transaction we view as distressed or pursue debt-funded acquisitions such that its leverage rises to unsustainable levels. "We could raise our ratings on GPD over the next 6-12 months if it increases its earnings and credit metrics such that weighted average debt to EBITDA improves to and remains below 8.5x. We would also expect the company to maintain adequate liquidity." GREEN TERRACE: Trustee Taps Bast Amron LLP as Legal Counsel ----------------------------------------------------------- Daniel J. Stermer, Chapter 11 trustee of Green Terrace Condominium Association Inc., seeks approval from U.S. Bankruptcy Court for the Southern District of Florida to hire Bast Amron LLP as his attorney. The firm will represent the Trustee in connection with the performance of his duties as trustee and provide him with legal advice on a variety of legal issues that must be addressed in this case. The firm will be compensated in accordance with 11 U.S.C. Sec. 330. Brett Amron, Esq., a partner at Bast Amron LLP, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Brett M. Amron, Esq. Jaime B. Leggett, Esq. BAST AMRON LLP One Southeast Third Avenue, Suite 2410 Miami, FL 33131 Tel: (305) 379-7904 Email: bamron@bastamron.com Email: jleggett@bastamron.com About Green Terrace Condominium Association Inc. Green Terrace Condominium Association Inc. is a not-for-profit corporation established in 1973 that manages Green Terrace Condominiums, a two-story residential complex in West Palm Beach, Florida. The association oversees amenities including a community pool, clubhouse, and parking, and permits rentals under specific restrictions. Green Terrace Condominium Association Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-14568) on April 25, 2025. In its petition, the Debtor reports estimated assets between $500,000 and $1 million and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Mindy A. Mora handles the case. The Debtor is represented by Michael J. Niles, Esq. at BERGER SINGERMAN LLP. GREENE FAMILY: Gets Interim OK to Use Cash Collateral ----------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Jacksonville Division granted Greene Family Enterprises, LLC interim approval to use cash collateral. The interim order signed by Judge Jacob A Brown authorized the company to use cash collateral to pay the amounts expressly authorized by the court, including payments to the U.S. trustee for quarterly fees; the "bare necessities" for day-to-day operations; and additional amounts approved by secured creditors, GFE Holdings and the U.S. Small Business Administration. This authorization will continue until further order of the court. Creditors including GFE Holdings and SBA with a security interest in cash collateral will have a perfected post-petition lien on the cash collateral to the same extent and with the same validity and priority as their pre-bankruptcy liens. As further protection, the Debtor was ordered to keep its property insured in accordance with the obligations under its loan agreements with the secured creditors. The next hearing is scheduled for July 21. The Debtor operates a Rita's Italian Ice franchise, selling mainly Italian ice, frozen custard, and specialty creations to customers. As part and parcel of its operations, the Debtor generates most income from sales to customers. SBA has a blanket lien on all of the Debtor's assets, including account receivables and monies in the bank account. About Greene Family Enterprises Greene Family Enterprises, LLC, doing business as Rita's Italian Ice, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-01910) on June 9, 2025, with $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Jerrett McConnell, Esq., at McConnell Law Group, P.A., serves as Subchapter V trustee. Judge Jacob A. Brown presides over the case. Donald M. DuFresne, Esq., at Parker & Dufresne represents the Debtor as legal counsel. GREENPOINT TACTICAL: Disallowance of Ballard Spahr's Claim Affirmed ------------------------------------------------------------------- In the appeal styled BALLARD SPAHR LLP, Appellant, v. OFFICIAL COMMITTEE OF EQUITY SECURITY HOLDERS and GREENPOINT TACTICAL INCOME FUND LLC, Appellees, Case No. 21-cv-175-pp (E.D. Wis.), the Honorable Pamela Pepper of the United States District Court for the Eastern District of Wisconsin affirmed the bankruptcy court's ruling that granted summary judgment in favor of the Official Committee of Equity Security Holders of Greenpoint Tactical Income Fund, LLC and disallowed Ballard Spahr LLP's claim. On Dec. 5, 2019, the U.S. Trustee filed a notice of the appointment of an official committee of equity security holders. On Feb. 6, 2020, law firm Ballard Spahr LLP filed a proof of claim for $236,717.73 (Claim No. 98). Ballard directed that notices to the creditor should be sent to David Axelrod of Ballard Spahr. The proof of claim stated that the claim was for "Services provided." On Sept. 9, 2020, the Committee filed an objection to Ballard's claim. The Committee asserted that the claim related to fees and expenses incurred by Bluepoint and Michael Hull in pre-petition arbitrations rather than for services provided to Greenpoint. The Committee asserted that Hull and Bluepoint should not be allowed to use Greenpoint's assets "as their own personal piggybank to backstop their own legal responsibilities." The Committee urged the bankruptcy court to disallow Ballard's claim. Ballard asserted that it had three grounds for its claim against Greenpoint: the Greenpoint operating agreement, Wisconsin law and the alleged oral promise by Greenpoint to pay Ballard's fees. On Jan. 29, 2021, Judge G. Michael Halfenger issued an oral ruling on the Committee's motion for summary judgment. He granted the motion, finding that there was no genuine dispute as to an issue of material fact surrounding Ballard Spahr's claim. The Court finds Judge Halfenger's factual conclusions were not clearly erroneous, nor were his ultimate legal conclusions erroneous. It will not reverse his ruling regarding the statute of frauds barring any oral promise. Judge Pepper explains, "The record shows that Ballard has not 'put up' sufficient evidence to create a genuine issue of fact regarding whether Greenpoint entered into an unconditional agreement to pay any fees Ballard incurred, regardless of whether Hull first defaulted. That is why Judge Halfenger concluded that any oral promise -- even if it existed -- was rendered unenforceable by the statute of frauds. He did not reach that decision by making improper credibility determinations, or weighing evidence, or resolving factual disputes. He reached that conclusion because Ballard did not 'put up' evidence sufficient to demonstrate that there was a genuine issue of material fact to be decided by a trier of fact." According to the Court, Judge Halfenger did not err in concluding that Ballard has not demonstrated that the bankruptcy court's failure to enforce the alleged oral contract via promissory estoppel would work an injustice. Ballard has not identified sufficient evidence to raise a genuine issue of fact over whether Ballard and Greenpoint had an unconditional agreement for Greenpoint to pay Ballard's fees. Ballard did have a written agreement with Hull, and if it did not seek payment under that agreement, it hasn't explained why. Although Judge Halfenger did not say it, Ballard also has not explained why it did not reduce its alleged oral agreement with Greenpoint to writing as required by the statue of frauds, and as it did with Hull. The Court will not reverse Judge Halfenger's promissory estoppel ruling. Judge Halfenger found that Hull was not a "member or manager" of Greenpoint, and therefore was not entitled to indemnification under either Wisconsin's LLC statute or Greenpoint's operating agreement. The Court concludes Judge Halfenger did not err -- factually or legally -- in finding that there was no genuine issue of material fact regarding whether Hull was entitled to indemnification. He correctly observed that the Wisconsin LLC statute mandates indemnification for members or managers of an LLC. He also correctly observed that there is no evidence in the record that Michael Hull was a member or manager of Greenpoint, the LLC from whom Ballard claims Hull was entitled to indemnification. The Court will not reverse Judge Halfenger's conclusion that Hull was not entitled to indemnification by Greenpoint. A copy of the Court's Order is available at https://urlcurt.com/u?l=qdLrCN from PacerMonitor.com About Greenpoint Tactical Income Fund Madison, Wisc.-based Greenpoint Tactical Income Fund, LLC is a private investment fund. Its wholly owned subsidiary, GP Rare Earth Trading Account LLC, is the entity that holds the gems and minerals. Greenpoint and GP Rare Earth sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Wis. Lead Case No. 19-29613) on Oct. 4, 2019. Judge G. Michael Halfenger oversees the cases. At the time of the filing, Greenpoint estimated assets of $100 million to $500 million and liabilities of $10 million to $50 million. GP Rare Earth estimated assets of $100 million to $500 million and liabilities of $10 million to $50 million. Steinhilber Swanson, LLP and CliftonLarsonAllen, LLP serve as the Debtors' bankruptcy counsel and accountant, respectively. The Debtors tapped Iavarone Law Firm PC, Landsman Law Firm LLC, Husch Blackwell LLP, California Appellate Law Group LLP, Braganca Law LLC, Kopecky Schumacher Rosenburg LLC as special counsels, and NAV Consulting, Inc. as fund administrator. On Dec. 5, 2019, the U.S. Trustee for Region 11 appointed an official committee of equity security holders in the Debtors' Chapter 11 cases. Freeborn & Peters, LLP and Phoenix Management Services, LLC serve as the equity committee's legal counsel and financial advisor, respectively. H & H FAST: Toorak Wins Bid to Enforce Guaranty Claim Settlement ---------------------------------------------------------------- Chief Judge Jacqueline P. Cox of the United States Bankruptcy Court for the Northern District of Illinois granted the motion of Toorak Capital Partners, LLC to enforce its settlement agreement with H & H Fast Properties Inc. relating to a guaranty claim. The property in dispute is a building located at 20745 S, Alexander Street, Olympia Fields, Illinois (60461). Toorak is the owner and holder of a commercial mortgage loan made in 2019 to the Debtor in the principal amount of $203,575.00. The loan is secured by security interests in the property, including a mortgage and security agreement, an assignment of rents, leases and a fixture filing statement which was recorded with the Cook County Recorder of Deeds. Toorak has a first-priority lien on the property. Non-debtor Amanda L. Henderson guaranteed the payment and performance of the loan on Sept. 3, 2019. On July 20, 2022, Toorak commenced a foreclosure action in the Circuit Court of Cook County, Illinois to enforce the loan documents. That proceeding is captioned Toorak Capital Partners, LLC v. H & H Fast Properties, Inc., Case No. 2022 CH 07009. Toorak is seeking foreclosure of both real and personal property, damages for breach of the note and damages against Debtor's principal, Amanda L. Henderson, for breach of the guaranty. On July 18, 2024, creditor Toorak filed a Motion for Relief from Stay in the bankruptcy case. Following the Dec. 18, 2023 bankruptcy filing, on Jan. 3, 2024, the foreclosure case judge stayed all proceedings therein against the Debtor and continued the matters against all other defendants to Jan. 30, 2024. On Jan. 22, 2024, the Debtor filed Adversary Proceeding number 24-00020 in the bankruptcy case wherein it sought an extension of the automatic stay and a preliminary injunction to stay Toorak from prosecuting the guaranty claim against Henderson. On Jan. 30, 2024, the judge in the foreclosure case granted Toorak's motion, entering summary judgment in Toorak's favor and against the non-debtor guarantor Henderson in the amount of $317,578.92. On March 18, 2024, the Court denied the Debtor's motion for a preliminary injunction, in part, because Illinois Supreme Court Rule 304{a) barred enforcement of the judgment where the trial judge refused a request to allow enforcement of the judgment because not all claims in the lawsuit had been resolved. Essentially, Toorak could not enforce the judgments until all claims in the state court foreclosure case were resolved. To date the Debtor has filed five (5) plans: (1) a March 18, 2024 Small Business Subchapter V Plan; (2) a May 20, 2024 First Amended Chapter 11 Small Business Plan; (3) a September 3, 2024 Second Amended Chapter 11 Small Business Plan; (4) a November 18, 2024 Third Amended Chapter 11 Small Business Plan; and (5) a January 31, 2025 Fourth Amended Chapter 11 Small Business Plan. On Feb. 3, 2025, the Debtor's attorney filed a Motion to Approve Compromise or Settlement with Toorak pursuant to Federal Rule of Bankruptcy Procedure 2019. It was set for hearing on March 18, 2025. That motion informed that all claims between the Debtor, Henderson and Toorak had been settled, although the settlement agreement had not been signed by all of the parties. The proposed settlement was expected to resolve confirmation of the Fourth Amended Small Business Subchapter V Plan, objections to the proof of claim of Toorak as well as the state court litigation. According to the settlement approval motion a $526,587.88 judgment (as of Nov. 30, 2024) was to be entered against Henderson in the state court case. That judgment was to be recorded. The 24-0020 Adversary Proceeding in this case was to be dismissed. The March 18, 2025 was the date set for a confirmation hearing on the Debtor's Fourth. It was also the hearing date of Toorak's Motion for Relief from the Automatic Stay. Debtor was required to pay Toorak $500,000 as follows: $10,000 on the effective date of the plan and $3000 on the first business day of each month thereafter for six (6) months. On the last business day of the sixth month after the plan effective date the Debtor was required to pay Toorak the balance of the settlement amount. On March 16, 2025, the Debtor withdrew its motion seeking approval of the settlement agreement. Before the Court is Toorak's March 14, 2025 Motion to Enforce Settlement Agreement. The Debtor argues in opposition to Toorak's effort to enforce the settlement agreement that it is not enforceable until the bankruptcy court approves it pursuant to Fed. R. Bankr. P. 9019(a). Judge Cox holds, "The problem is that the Debtor's conduct in withdrawing the approval motion denied Toorak the opportunity to obtain approval. The Debtor should not be allowed to argue that a requirement has not been shown when it has caused the absence of the requirement. Note that Fed. R. Bankr. P. 9019 does not state that an agreement is void or unenforceable in the absence of court approval. Also note that the Bankruptcy Code does not require court approval of debtors' agreements." A copy of the Court's Memorandum Opinion dated is available at https://urlcurt.com/u?l=bKwmHK from PacerMonitor.com. About H & H Fast Properties H & H Fast Properties, Inc., a Chicago-based company, filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 23-16874) on December 18, 2023, with $1 million to $10 million in both assets and liabilities. Amanda Henderson, president, signed the petition. Judge Jacqueline P. Cox oversees the case. Paul M. Bach, Esq., at Bach Law Offices represents the Debtor as bankruptcy counsel. HADLOCK ENTERPRISES: Gets Interim OK to Use Cash Collateral ----------------------------------------------------------- Hadlock Enterprises, LLC got the green light from the U.S. Bankruptcy Court for the Western District of Washington, at Seattle, to use cash collateral. The court's order authorized the Debtor's interim use of cash collateral until July 11 to pay operating expenses in accordance with its budget. As protection for the Debtor's use of its cash collateral, Pinnacle Bank will be granted replacement liens on post-petition cash, receivables and inventory and the proceeds thereof, to the same extent and with the same priority as its pre-bankruptcy lien. In addition, Pinnacle Bank will receive a monthly payment of $13,500 as further protection. The final hearing is scheduled for July 10. The Debtor operates out of two locations in Poulsbo and Bremerton, Washington, and services various vehicle and glass needs, including mobile windshield repairs and commercial/residential installations. The business was purchased by Russ Hadlock in late 2022 but began to experience financial difficulties soon after due to reduced revenues, increased operating costs, and outstanding debt—some of which was accrued before the acquisition. Efforts to reduce costs and restructure debt were not enough to restore solvency. After losing a location, reducing staff, and cutting employee benefits, Hadlock filed for Chapter 11 Subchapter V bankruptcy on June 16, 2025, to avoid liquidation and preserve the value of the business. At the time of filing, the Debtor held about $178,917 in cash and receivables but needed immediate access to these funds—considered "cash collateral" to pay for payroll, utilities, inventory, and lease obligations. The Debtor's primary secured creditor is Pinnacle Bank (formerly Fund-Ex Solutions Group), which holds an SBA-backed loan of approximately $1.4 million and has a blanket lien on the Debtor's assets. Other secured creditors include Milestone Bank and Rapid Finance, though they are subordinate and unlikely to recover anything from the estate. About Hadlock Enterprises LLC Hadlock Enterprises, LLC doing business as Autoglass Clinic and Mobile Radio, provides auto glass repair and replacement, car audio installation, and window tinting services. The company serves individual and commercial clients across automotive, residential, and marine sectors. Its offerings include RV and boat glass services as well as home and commercial glass solutions. Hadlock Enterprises sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Wash. Case No. 25-11654) on June 16, 2025. In the petition signed by Russell F. Hadlock, managing member, the Debtor disclosed $275,750 in total assets and $2,170,473 in total liabilities. Steven M. Palmer, Esq., at Cairncross & Hempelmann, P.S., represents the Debtor as legal counsel. HAVOC BREWING: Court Extends Cash Collateral Access to July 20 -------------------------------------------------------------- Havoc Brewing Company, LLC received third interim approval from the U.S. Bankruptcy Court for the Eastern District of North Carolina to use cash collateral. The order penned by Judge Pamela McAfee authorized the Debtor's interim use of cash collateral through July 20 to pay the expenses set forth in its budget, with a 10% variance. The budget shows total operational expenses of $108,357.04 for the period from June 20 to July 20. Celtic Bank and Catfish Haggen, LLC are the secured creditors that have interests in the Debtor's assets. The secured creditors were granted a replacement lien on the Debtor's post-petition property to the same extent and with the same validity and priority as their pre-bankruptcy liens. These secured creditors may seek administrative expense claims under Section 507(b) if their interests are not adequately protected. The next hearing is scheduled for July 16. The Debtor's sole sources of revenue and income consist of the funds currently on hand and on deposit in its bank accounts and the income and revenue generated from the sale and distribution of its beverages and merchandise both at the Brewery and through third party retailers and wholesalers. Prepetition, the Debtor incurred certain indebtedness in connection with its business operations, in which the following creditors took a security interest in certain property, proceeds, and other collateral owned by the Debtor, which may constitute cash collateral: Celtic Bank and Catfish Haggen, LLC. The funds in the possession of the Debtor, which were generated from business operations, as well as the proceeds generated from the collection of any outstanding accounts receivable and other post-petition operations, may constitute the cash collateral of these secured creditors. About Havoc Brewing Company LLC Havoc Brewing Company, LLC is a veteran-owned craft brewery based in Pittsboro, N.C. Founded in 2023, the company operates a 6,500-square-foot taproom that features award-winning beers, a coffee bar, and regular community events such as trivia nights, live music, and food trucks. Havoc Brewing Company sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 25-01498) on April 25, 2025. In its petition, the Debtor reported between $1 million and $10 million in both assets and liabilities. Judge Pamela W. McAfee handles the case. The Debtor is represented by Joseph Z. Frost, Esq., at Buckmiller & Frost, PLLC. HEIFER PLEASE: Hires Jennings and Messer P.C. as General Counsel ---------------------------------------------------------------- Heifer Please Home Decor, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Alabama to hire Jennings and Messer, P.C. as general counsel. The firm will render these services: a. advise the Debtor with respect to its powers and duties; b. negotiate and formulate a plan of reorganization under Chapter 11; c. deal with secured claim holders regarding adequate protection and arrangements for payment of the Debtor's debts and contesting the validity of claims or liens; d. prepare the necessary petition, schedules, statements, answers, orders, reports and other required legal documents; and e. provide all other legal services. Christopher Messer, Esq. will charge $300 per hour for his services. In addition, the firm will seek reimbursement for expenses incurred. Christopher Messer, Esq., a partner at Jennings and Messer, P.C., disclosed in a court filing that his firm is a "disinterested person" pursuant to Section 101(14) of the Bankruptcy Code. The firm can be reached through: Christopher Messer, Esq. JENNINGS AND MESSER, PC 1518 Leighton Avenue Anniston, AL 36207 Tel: (256) 236-7222 E-mail: christopher@jenningsandmesser.com About Heifer Please Home Decor, LLC Heifer Please Home Decor, LLC sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ala. Case No. 25-40768) on June 11, 2025, listing up to $50,000 in assets and $50,001 to $100,000 in liabilities. Judge James J Robinson presides over the case. Christopher R Messer, Esq. at Jennings And Messer, P.C. represents the Debtor as counsel. HELIX ENERGY: Egan-Jones Hikes Senior Unsecured Ratings to B- ------------------------------------------------------------- Egan-Jones Ratings Company on May 29, 2025, upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Helix Energy Solutions Group, Inc. to B- from CCC+. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Houston, Texas, Helix Energy Solutions Group, Inc. is an American oil and gas services company. HFZ EAST 51ST: Halcyon Condos Up for Auction on July 23 ------------------------------------------------------- Howard W. Kingsley, Esq., court-appointed referee, will hole a public auction on July 23, 2025, at 2:15 p.m., in Room 130 of the New York Country Courthouse, Supreme Court, 60 Centre Street, New York, New York, to sell that certain premises situate, lying and being in the Borough of Manhattan, County, City and State of New York, the Condominium Units in the Building known as Halcyon Condominium located at 303 East 51st Street, New York, New York, pursuant to that certain final judgment of foreclosure and sale dated May 15, 2025. The property is owned by HFZ East 51st Street Retail Owner LLC et al. The judgment foreclosure is in the amount of $29,913,652.38 plus interest and costs. The premises will be sold subject to provisions of the final judgment of foreclosure and sale and terms of sale. Further information regarding the sale contact: Holland & Knight LLP Attn: Maximilian0 Rinaldi, Esq. Keith M. Brandofino, Esq. Dani Estis, Esq. 787 Seventh Avenue New York, NY 10019 Tel: (212) 751-3001 Email: keith.brandofino@hklaw.com maximiliano.rinaldi@hklaw.com dani.estis@hklaw.com HIGH TECH: Moody's Affirms Ba1 Rating on Series 2017A Revenue Bonds ------------------------------------------------------------------- Moody's Ratings has affirmed the Ba1 rating on High Tech High, CA's School Facility Revenue Refunding Bonds (HTH Learning Project) Series 2017A issued through the California School Finance Authority. The outlook is stable. The obligated group has $21 million in debt outstanding. RATINGS RATIONALE The Ba1 rating reflects the stable enrollment trend at the two schools in the obligated group, HTH Media Arts and HTH Chula Vista. The two schools comprise approximately 16% of High Tech High's total enrollment. Operating performance at the schools will remain stable given a history of sound financial management. The schools' combined liquidity is solid at nearly 200 days cash on hand, largely the result of substantial one-time emergency federal pandemic funding. Academic performance across the two schools continues to be mixed: ELA scores remain favorable, but math scores lag behind the state and local district. Student demand, as reflected by the waitlist across the two schools, remains satisfactory. The rating also acknowledges the schools' long operating histories and multiple charter renewals. The schools are part of a larger network of 16 charter schools serving grades K-12, managed by High Tech High, a charter management organization. RATING OUTLOOK The stable outlook reflects the likelihood that the obligated group schools will continue to maintain its stable operating performance driven by High Tech High's solid management. FACTORS THAT COULD LEAD TO AN UPGRADE OF THE RATING -- Sustained improvement in the obligated group's operating performance resulting annual debt service coverage above 2x -- Sustained strengthening of combined obligated group liquidity above 200 days cash on hand FACTORS THAT COULD LEAD TO A DOWNGRADE OF THE RATING -- Declining enrollment and student demand across the two obligated group schools -- Weakened operating performance resulting in obligated group annual debt service coverage below 1.1x -- Material weakening in financial metrics across the network as a whole, resulting in pressure on the obligated group schools PROFILE High Tech High (HTH) is a charter management organization (CMO) operating 16 charter schools across San Diego. The networks provides K-12 education to around 6,500 students. Combined enrollment at the two obligated group schools is currently 1,025 for the 2024-25 school year. METHODOLOGY The principal methodology used in this rating was US Charter Schools published in April 2024. HIGHER GROUND: Pursues Approval for Restructuring Agreement ----------------------------------------------------------- Angelica Serrano-Roman of Bloomberg Law reports that the Higher Ground Education Inc., the operator of a network of Montessori schools, has asked a Texas bankruptcy court to approve a restructuring support agreement with its creditors as part of its Chapter 11 proceedings. According to a filing Thursday, June 26, 2025, in the U.S. Bankruptcy Court for the Northern District of Texas, the agreement includes a reorganization plan with $8 million in bankruptcy funding, asset transfers, and provisions for addressing creditor claims. The company called the agreement "essential to the debtors’ success in obtaining confirmation of the plan." Guidepost Global Education Inc., a major player within the Montessori network, is among the supporters of the proposed deal, the report states. About Higher Ground Education Inc. Higher Ground Education Inc. and its subsidiaries operate Montessori schools and provide related training and consulting services worldwide. Founded in 2016, the Group grew to manage more than 150 schools by 2024, with locations across the U.S. and international expansion into Hong Kong and mainland China. It also offers virtual and home-based education, teacher training, and licensing of its content to independent partners. Higher Ground Education Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Lead Case No. 25-80121) on June 17, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. Honorable Bankruptcy Judge Michelle V. Larson handles the case. The Debtors are represented byHolland N. O'Neil, Esq. and Timothy C. Mohan, Esq. at FOLEY & LARDNER LLP and Nora J. McGuffey, Esq. and Quynh-Nhu Truong, Esq. at FOLEY & LARDNER LLP. SIERRACONSTELLATION PARTNERS, LLC is the Debtors' Financial Advisor. VERITA GLOBAL, LLC F/K/A KURTZMAN CARSON CONSULTANTS, LLC is the Debtors' Notice, Claims, Solicitation & Balloting Agent. HILTON WORLDWIDE: Egan-Jones Retains BB Senior Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on May 28, 2025, maintained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by Hilton Worldwide Holdings. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in McLean, Virginia, Hilton Worldwide Holdings owns and manages hotels, resorts, and time share properties worldwide. HO WAN KWOK: Court Narrows Claims in Lamp, et al. Adversary Case ---------------------------------------------------------------- Judge Julie A. Manning of the United States Bankruptcy Court for the District of Connecticut granted the motion for summary judgment filed by Luc A. Despins, in his capacity as the Chapter 11 trustee for the bankruptcy estate of Mr. Ho Wan Kwok, in the adversary proceeding captioned as LUC A. DESPINS, CHAPTER 11 TRUSTEE FOR THE ESTATE OF HO WAN KWOK, Plaintiff, v. LAMP CAPITAL LLC, INFINITY TREASURY MANAGEMENT INC., HUDSON DIAMOND NY LLC, HUDSON DIAMOND HOLDING LLC, LEADING SHINE NY LTD., MEI GUO, and YANPING, A/K/A "YVETTE" WANG, Defendants, Adv. P. No. 23-05023 (Bankr. D. Conn.). On Feb. 15, 2022, the Individual Debtor filed a voluntary Chapter 11 petition in this Court. On June 15, 2022, presented with allegations related to the Individual Debtor's financial mismanagement and an alleged shell game involving numerous corporate alter egos, the Court entered a memorandum of decision and order appointing a Chapter 11 trustee to administer the Individual Debtor's bankruptcy estate. On Oct. 26, 2023, the Trustee commenced the adversary proceeding by filing a complaint. The complaint alleges six claims for relief: 1. The first claim seeks declaratory judgment that Lamp Capital LLC is the alter ego of the Individual Debtor and, on that basis, an order requiring turnover of all assets of Lamp Capital to the Trustee pursuant to 11 U.S.C. Secs. 541, 542, and 544; 2. The second claim seeks declaratory judgment that the Individual Debtor beneficially owns Lamp Capital and/or its assets and, on those bases, an order requiring turnover of Infinity Treasury Management Inc.'s ownership interest in Lamp Capital and all assets of Lamp Capital to the Trustee pursuant to 11 U.S.C. Secs. 541, 542, and 544; 3. The third claim seeks declaratory judgment that HDNY is the alter ego of the Individual Debtor and, on that basis, an order requiring turnover of all assets of HDNY to the Trustee pursuant to 11 U.S.C. Secs. 541, 542, and 544; 4. The fourth claim seeks declaratory judgment that the Individual Debtor beneficially owns HDNY and/or its assets and, on those bases, an order requiring turnover of HD Holding's ownership interest in HDNY and all assets of HDNY to the Trustee pursuant to 11 U.S.C. Secs. 541, 542, and 544; 5. The fifth claim seeks declaratory judgment that LSNY is the alter ego of the Individual Debtor and, on that basis, an order requiring turnover of all assets of LSNY to the Trustee pursuant to 11 U.S.C. Secs. 541, 542, and 544; 6. The sixth claim seeks declaratory judgment that the Individual Debtor beneficially owns LSNY and/or its assets and, on those bases, an order requiring turnover of Ms. Guo's ownership interest in LSNY and all assets of LSNY to the Trustee pursuant to 11 U.S.C. Secs. 541, 542, and 544. A separate judgment has entered on the first and second claims in favor of the Trustee and against Lamp Capital and Infinity Treasury. The Motion seeks summary judgment on the third, fourth, fifth, and sixth claims of the complaint against defendants Hudson Diamond NY LLC, Hudson Diamond Holding LLC, Leading Shine NY Ltd., and Ms. Mei Guo, the Individual Debtor's daughter. The claims at issue allege HDNY and LSNY are the alter egos of, or are beneficially owned by, the Individual Debtor and seek turnover of HD Holding's ownership interest in HDNY, Ms. Guo's ownership interest in LSNY, and the assets of HDNY and LSNY to the Trustee for the benefit of the Individual Debtor's estate. On March 14, 2024, LSNY filed a motion to dismiss the complaint on the same bases as the HD Entities' and Ms. Guo's joint motion. On March 19, 2024, a hearing was held on the motions to dismiss. On Sept. 19, 2024, the Trustee filed the Motion for Summary Judgment, seeking summary judgment on the remaining unresolved claims of the complaint. The Court concludes the Trustee is entitled to judgment as a matter of law on his sixth claim that the Individual Debtor beneficially owns LSNY and its bank accounts. The Trustee alleges HDNY and LSNY are, under New York and Delaware law respectively, alter egos of, or they and their assets are beneficially owned by, the Individual Debtor. The Trustee argues he is entitled to judgment as a matter of law on his claims upon the undisputed facts. In addition to their evidentiary objections, the HD Entities and LS Parties object to the Trustee's standing to bring his claims, object to the relief he seeks through his alter ego claims, and assert the factual record is insufficient to establish beneficial ownership. In ruling on the HD Entities' and LS Parties' motions to dismiss, the Court determined the Trustee has standing to bring his claims. The Trustee argues there is no reason to revisit the Court's prior ruling, which was correct. The Trustee argues he is entitled to a judgment as a matter of law that the Individual Debtor beneficially owned HDNY and its assets because HDNY and its assets benefitted him as if they were his own as shown by the same factual record that establishes HDNY is the Individual Debtor's alter ego. In addition to their evidentiary objections, the HD Entities argue the Trustee has insufficiently identified the assets he claims the Individual Debtor beneficially owns. The HD Entities argue (i) under New York law alter ego is a remedy—not a claim—that must be brought with a companion claim and, therefore, the Trustee fails to state a claim for relief; and (ii) the Trustee impermissibly seeks nunc pro tunc relief. The Court finds there is no genuine dispute of material fact that the abuse of HDNY's corporate form hindered, delayed, or defrauded the Individual Debtor's creditors. It is undisputed the Individual Debtor is nominally insolvent to an extreme degree. The Court agrees with the Trustee. The Trustee has identified HDNY and its bank accounts specifically Based on the undisputed facts, the Court concludes the Trustee is entitled to a judgment as a matter of law on his fourth claim that the Individual Debtor beneficially owns HDNY and its bank accounts. The Court determines there is no genuine dispute of material fact, and the Trustee is entitled to a judgment as a matter of law on his third claim that HDNY is an alter ego of the Individual Debtor. The Trustee argues the undisputed facts establish Individual Debtor dominated and controlled LSNY to the exclusion of Ms. Guo causing fraud or injustice to his creditors. In addition to their evidentiary objections, the LS Parties argue that, (i) under Delaware law, alter ego only imposes vicarious liability and, hence, the Trustee cannot recover; and (ii) the Trustee impermissibly seeks nunc pro tunc relief. The Court finds there is no genuine dispute of material fact that the abuse of LSNY's corporate form hindered, delayed, or defrauded the Individual Debtor's creditors. There is no genuine dispute of material fact that LSNY was a shell company without its own stakeholders who would be prejudiced by an alter ego determination. The Court determines there is no genuine dispute of material fact, and the Trustee is entitled to a judgment as a matter of law on his fifth claim that LSNY is an alter ego of the Individual Debtor. The Court concludes the Trustee has met his burden at summary judgment. Consistent with their persistent inability to comply with discovery requirements and Court deadlines, the HD Entities and LS Parties have failed to put forward any factual material tending to support their claims. Instead, the HD Entities and LS Parties have relied on legal arguments as to the sufficiency of the Trustee's factual material and the availability of relief for his claims. None of these arguments has any merit. Accordingly, the Motion for Summary Judgment is granted. A copy of the Court's Memorandum Decision and Order is available https://urlcurt.com/u?l=VHXzWa from PacerMonitor.com. About Ho Wan Kwok Ho Wan Kwok sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Conn. Case No. 22-50073) on Feb. 15, 2022. Judge Julie A. Manning oversees the case. Dylan Kletter, Esq., is the Debtor's legal counsel. Ho Wan Kwok aka Guo Wengui is an exiled Chinese businessman. According to Reuters, Guo was a former real estate magnate who fled China for the U.S. in 2014 ahead of corruption charges. Guo filed for bankruptcy after a New York court ordered him to pay lender Pacific Alliance Asia Opportunity Fund $254 million stemming from a contract dispute. PAX had initially loaned two of Guo's companies $100 million in 2008 for a construction project in Beijing and sued Guo when he failed to pay off the loan. An Official Committee of Unsecured Creditors has been appointed in the case and is represented by Pullman & Comley, LLC. Luc A. Despins was appointed Chapter 11 Trustee in the case. HONOLULU SPINE: Gets OK to Use Cash Collateral Until Aug. 31 ------------------------------------------------------------ The U.S. Bankruptcy Court for the District of Hawaii issued a third stipulated order authorizing Honolulu Spine Center, LLC's interim use of cash collateral through August 31. The order authorized the Debtor to use the pre-bankruptcy cash collateral of Central Pacific Bank to pay its operating expenses in accordance with its 2025-Q3 budget, and to exceed the budget by 20% each on an aggregate and cumulative basis. The Debtor projects total monthly operational expenses of $916,260 for each of July, August and September. As adequate protection, Central Pacific Bank will be granted replacement liens on post-petition assets and the proceeds thereof, and will continue to receive a monthly payment at the non-default interest of $6,543.89. The next hearing is scheduled for August 25. The Debtor owes Central Pacific Bank approximately $1 million on a line of credit that is evidenced by, among other loan documents, a promissory note and security agreement, both dated May 3, 2024. The CPB loan is secured by a blanket UCC-1 financing statement recorded on April 1, 2024, at the Bureau of Conveyances for the State of Hawaii and on April 9, 2024, at the Delaware Department of State U.C.C. Filing Section. About Honolulu Spine Center Honolulu Spine Center, LLC, doing business as Honolulu Sports & Spine Surgery Center and Honolulu Sports and Spine Center, is a surgical center in Honolulu, Hawaii. Honolulu Spine Center sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Hawaii Case No. 24-01110) on December 6, 2024, with $1 million to $10 million in both assets and liabilities. Louis DiMartini, the authorized signatory, signed the petition. Judge Robert J. Faris handles the case. The Debtor is represented by: Chuck C. Choi, Esq. Choi & Ito 700 Bishop Street, Suite 1107 Honolulu, HI 96813 Tel: 808-533-1877 Fax: 808-566-6900 Email: cchoi@hibklaw.com HOOPERS DISTRIBUTING: Gets Extension to Access Cash Collateral -------------------------------------------------------------- Hoopers Distributing, LLC received another extension from the U.S. Bankruptcy Court for the Eastern District of North Carolina to use cash collateral. The sixth interim order authorized the Debtor to use cash collateral for its operating expenses in accordance with its budget, with a 10% variance allowed. The budget shows the Debtor's projected expenses of $113,243.86 for the period from July 1 to 31. As protection, Kapitus, LLC's and Kalamata Capital Group, LLC's liens will extend to the Debtor's post-petition cash generated from sales and all other assets against which the secured creditors held liens. As additional protection, Kapitus will receive a cash payment of $1,334.17 by July 15. The interim order will remain in full force and effect until July 25; the replacement of or termination of the sixth interim order by a subsequent order; or the filing of a notice of default, whichever comes first. The next hearing is scheduled for July 25. The Debtor's only significant source of income is through continued operations and the cash proceeds generated thereby. Certain proceeds generated from the Debtor's continuing operations may constitute cash collateral of Kapitus and Kalamata. Both secured creditors a UCC against the Debtor in 2024 purporting to cover all assets of the Debtor. However, the Debtor believes that any claim that may be asserted by the creditors against it is unenforceable. About Hoopers Distributing Hoopers Distributing, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 25-00447) on February 7, 2025, listing between $500,001 and $1 million in both assets and liabilities. J.M. Cook serves as Subchapter V trustee. Judge Joseph N. Callaway presides over the case. Benjamin E.F.B. Waller, Esq., at Hendren, Redwine & Malone, PLLC is the Debtor's legal counsel. Kapitus, LLC, as secured creditor, is represented by: Byron L. Saintsing, Esq. Smith Debnam Narron Drake Saintsing & Myers, LLP P.O. Box 176010 Raleigh, NC 27619-6010 Telephone: (919) 250-2000 bsaintsing@smithdebnamlaw.com HUDSON PACIFIC: Fitch Lowers LongTerm IDR to 'B+', Outlook Stable ----------------------------------------------------------------- Fitch Ratings has downgraded Hudson Pacific Properties, Inc.'s (HPP) and Hudson Pacific Properties, L.P.'s Long-Term Issuer Default Ratings (IDRs) to 'B+' from 'BB-', and HPP's preferred stock rating to 'B-' with a Recovery Rating of 'RR6' from 'B/RR6'. Fitch has also affirmed Hudson Pacific Properties, L.P.'s senior debt at 'BB-' and revised the recovery rating to 'RR3' from 'RR4'. The Rating Outlook is Stable. The ratings reflect HPP operating well outside Fitch's leverage sensitivities in 2024, which is anticipated to persist into 2025. Fitch expects improvement in 2026, as lower lease expirations should be more than offset by leasing activity, helping stem the decline in office occupancy seen in recent years due to the pandemic's impact on office demand. The persistent lag from the 2023 writer's strike also appears likely to delay a near-term recovery in HPP's studio business until conditions improve in 2026. Key Rating Drivers Deterioration of Property Fundamentals: High lease expirations in 2023 and 2024 drove office portfolio occupancy down to 76.5% in 1Q25, from 78.9% in 4Q24 and 88.0% in 4Q22. Cash same store net operating income (SSNOI) fell by -12.8% in 2024 and is expected to fall by another -13% in 2025, due to lower average occupancy and rents. HPP envisions occupancy in the low 80% range by YE 2025 and mid-80% by YE 2026, supported by consistent leasing with fewer offsetting lease expirations. SSNOI growth should turn positive in 2026. Normalization in the studio business is also expected to contribute to improving results. Heightened Pressure on Credit Metrics: Fitch expects weaker-than-historical REIT leverage, net debt/recurring operating EBITDA, fixed charge coverage (FCC) and unencumbered assets/unsecured debt (UA/UD), to limit HPP's financial flexibility and for the company to operate outside historical levels for the next few years. Fitch anticipates REIT leverage will remain considerably elevated in 2025 and above 8.0x throughout the forecast period. HPP's leverage has remained above 8x over the past three years (12.0x in 2024, 9.3x in 2023 and 8.5x in 2022). Management's target is a leverage policy of 7.5x-8.5x (including preferred) in a multi-year strategy. Fitch expects FCC to fall below 1x in 2025 due to elevated capex and lower EBITDA, before subsiding to 1.0x-1.5x from 2026 onward, driven by improving portfolio fundamentals in the office and studio businesses and somewhat lower capex requirements. HPP's FCC was 1.2x in 2024, 1.3x in 2023 and 2.2x in 2022. Additionally, net UA/UD, calculated as unencumbered property NOI divided by a stressed 8.75% capitalization rate, was 0.9x at 1Q25, down from 1.4x at 1Q24, and 1.8x at 1Q23; compared to the typical 2.0x threshold for investment-grade REITs. Cash Flow Volatility: HPP's portfolio rental income may experience above-average volatility through the cycle due to concentration risk and its studio business's nature. The portfolio is principally located in three West Coast metros, highly exposed to technology and new media companies, which are historically more cyclically sensitive than other industries like legal, defense and government. Although the tech sector might show increased relative resilience, demand for office space could decline due to potential shifts towards flexible working arrangements. High-Quality, but Concentrated Portfolio: HPP owns class A office properties in the San Francisco (62% of in-service office portfolio annualized base rent [ABR]), Los Angeles (19%), Seattle (12%) and Vancouver (7%) metros. These cities are key technology and new-media hubs, with strong office demand demographics, employment and population growth, high household incomes and education rates. Fitch believes that most of HPP's assets are top-tier or in high quality locations. Additionally, 40% of HPP's ABR comes from investment grade tenants or parent-entities. HPP's markets also benefit from high political and physical barriers to new supply. Historical Solid Capital Markets Access: HPP completed its inaugural public unsecured bond issuance in 2017 with a $400 million, 10-year issuance of senior unsecured notes, followed by two public bond offerings in 2019 and a green unsecured bond issuance in 2022. HPP previously demonstrated access to unsecured bank term-loan and private placement notes. Fitch expects HPP to maintain unsecured debt capital access, though recently, it has secured financing on five properties to pay down upcoming, unsecured debt maturities to fortify near-term liquidity. Additionally, in June 2025, HPP executed a $600 million equity offering. Value-Add Strategy Risk: HPP's external growth strategy focuses on acquiring and stabilizing office assets via lease-up and property development. Fitch views the risk/reward of its value-add acquisitions as between core investments and ground-up development. However, HPP completed only one acquisition last year, emphasizing asset dispositions with $122 million in sales since early 2024 with an additional $100 million-$125 million expected in 2025. As of March 31, 2025, HPP had one consolidated development property in the pipeline, with a fully funded $350 million investment, expected to generate NOI in 2H26. Peer Analysis HPP's ratings are supported by its high-quality portfolio, with strong market positions in West Coast CBD office markets with high political and geographic supply barriers. The company's portfolio is less seasoned and has higher tenant industry concentration risk than office REIT peers, SL Green Realty Corp. (BB+/Stable) and Vornado Realty Trust (BB+/Stable). HPP's investment strategy entails moderate execution risk, emphasizing value-add acquisitions and moderate development. In the last few years, results have strayed from historical financial policy levels due to decreasing portfolio occupancy and negative impact of the 2023 writer's strike on its studio business. Historically, HPP has accessed unsecured debt markets via private placements and public bonds. The two-notch differential between HPP's IDR and preferred stock rating is consistent with Fitch's criteria for corporate entities with a 'B+' IDR. Based on "Fitch's Corporate Hybrids Treatment and Notching Criteria," these preferred securities are deeply subordinated and have loss-absorption elements that would likely result in poor recoveries in the event of a corporate default. Fitch rates the IDRs of the parent REIT, HPP, and subsidiary operating partnership, Hudson Pacific Properties, L.P., on a consolidated basis, using the weak parent/strong subsidiary approach and open access and control factors. This is based on the entities operating as a single enterprise with strong legal and operational ties. Key Assumptions - SSNOI to decline -13% in 2025, as occupancy is expected to trough in 2Q25 before improving by YE 2025. Fitch then projects positive low-to-mid-single digit SSNOI growth in 2026-2027, as leasing initiatives continue against a backdrop of fewer lease expirations and as development projects deliver; - HPP pays off $465 million of private placement notes in 2025 and refinances other existing secured debt; - The studio business generates around $4 million NOI in 2025, given lagged recovery from the 2023 writer's strike, ramping up towards the 2022 NOI level by 2027. Recovery Analysis Fitch's recovery analysis uses a direct capitalization approach for HPP typically used for REITs. Fitch implements a stressed EBITDA for Hudson Pacific based on Fitch's Stress case 2026 EBITDA to assume a going-concern EBITDA, to which Fitch applies a 10% administrative claim. Fitch separates the estimated EBITDA from secured assets to calculate their overall derived value. At the midpoint 8.75% stressed cap rate level, this results in 63% recovery of the mortgage value; therefore, there is no residual value from the mortgaged assets to apply to the the unsecured notes recovery. However, Fitch estimates approximately $109 million of going-concern EBITDA would be generated from the assets that are unencumbered. At the 8.75% stress cap rate level, this generates 68% recovery on the $1.65 million of unsecured debt outstanding as of March 31, 2025 pro forma for the payoff of the series B, C, D notes in May 2025 through use of the credit facility, which in turn will be paid off with proceeds from the public equity offering in June 2025. This translates to a 'RR3' (+1 notching) recovery, and would result in a 'BB-' rating on the unsecured debt. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Fitch's expectation of REIT leverage remaining above 10.0x; - Persistently lower demand for office space and/or the studio business exhibited through lower leasing activity; - An unusually strong regional economic or tech industry downturn in HPP's west coast markets; - Fitch's expectation of REIT FCC remaining below 1.2x. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Fitch's expectation of REIT leverage (net debt/recurring operating EBITDA) being sustained below 9.0x; - HPP demonstrating its financial policy commitments through a cycle or improving tenant diversification; - Strong recovery in NOI studio business back towards pre-writer's strike expectations; - Fitch's expectation of REIT FCC being sustained above 1.5x; - The Outlook could be revised to Stable through tangible progress of occupancy returning to above 85%. Liquidity and Debt Structure HPP has a sufficient liquidity position. The company's sources cover uses by 1.7x, based on its base-case liquidity analysis for the April 1, 2025 to Dec. 31, 2026 forecast period, which incorporates HPP's projected development and capex. Of the company's remaining 2025 debt maturities as of April 1, 2025, HPP's $259 million series B notes were paid off in May 2025 as were the $150 million series D notes due 2026 and the $56 million series C notes due 2027. The company has one remaining mortgage loan (1918 Eighth) representing $314 million (although HPP has a 45% partner on the asset). Fitch estimates that committed, unfunded development expenditure and recurring and non-routine leasing and maintenance capex represent the other anticipated uses of capital through 2026, at roughly $297 million combined. Issuer Profile Hudson Pacific Properties, Inc. (NYSE: HPP), a fully integrated real estate investment trust, owns, acquires and (re)develops a high-quality portfolio of office and media and entertainment properties in high-growth, high-barrier-to-entry submarkets throughout Northern and Southern California and the Pacific Northwest. 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 ----------- ------ -------- ----- Hudson Pacific Properties, Inc. LT IDR B+ Downgrade BB- preferred LT B- Downgrade RR6 B Hudson Pacific Properties, L.P. LT IDR B+ Downgrade BB- senior unsecured LT BB- Affirmed RR3 BB- HUNTINGTON GLEN: Voluntary Chapter 11 Case Summary -------------------------------------------------- Two affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Huntington Glen Swng TIC 1 LLC 25-42991 183 Wilson Street, Suite 358 Brooklyn, NY 11211 Huntington Glen Swng TIC 2 LLC 25-42992 183 Wilson Street, Suite 358 Brooklyn, NY 11211 Case No.: 25-42992 Business Description: The Debtors own the property at 12023 Bissonnet Street, Houston, Texas 77099. Chapter 11 Petition Date: June 25, 2025 Court: United States Bankruptcy Court Eastern District of New York Judge: Hon. Elizabeth S Stong (25-42991) Hon. Jil Mazer-Marino (25-42992) Debtors' Bankruptcy Counsel: Eric H. Horn, Esq. A.Y. STRAUSS LLC 290 West Mount Pleasant Avenue Suite 3260 Livingston, NJ 07039 Tel: 973-287-5006 E-mail: ehorn@aystrauss.com Each Debtor's Estimated Assets: $10 million to $50 million Each Debtor's Estimated Liabilities: $10 million to $50 million The petitions were signed by Baruch Teitelbaum as authorized signatory. The lists of the Debtors' 20 largest unsecured creditors were not provided alongside the petitions. Full-text copies of the petitions are available for free on PacerMonitor at: https://www.pacermonitor.com/view/T7RHRRA/Huntington_Glen_Swng_TIC_1_LLC__nyebke-25-42991__0001.0.pdf?mcid=tGE4TAMA https://www.pacermonitor.com/view/QCFA6SA/Huntington_Glen_Swng_TIC_2_LLC__nyebke-25-42992__0001.0.pdf?mcid=tGE4TAMA IAMGOLD CORP: Egan-Jones Hikes Senior Unsecured Ratings to BB ------------------------------------------------------------- Egan-Jones Ratings Company on June 4, 2025, upgraded the foreign currency and local currency senior unsecured ratings on debt issued by IAMGOLD Corporation to BB from BB-. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Toronto, Canada, IAMGOLD Corporation is an intermediate gold producer and developer company. INNOVATIVE DESIGNS: Posts $204,189 Net Income in Fiscal Q2 ---------------------------------------------------------- Innovative Designs, Inc., filed with the U.S. Securities and Exchange Commission its Quarterly Report on Form 10-Q reporting a net income of $204,189 on $796,369 of net revenues for the three months ended April 30, 2025, compared to a net income of $22,228 on $300,331 of net revenues for the three months ended April 30, 2024. For the six months ended April 30, 2025, the Company reported a net income of $240,390 on $1,340,285 of net revenues, compared to a net loss of $41,164 on $366,217 of net revenues for the same period in 2024. In addition, the Company has an accumulated deficit of ($10,299,643). Management's plans to reduce this deficit includes cash receipts through sales, sales of Company stock, and borrowings from private parties, if necessary. As of April 30, 2025, the Company had $2,017,980 in total assets, $212,714 in total liabilities, and $1,805,266 in total stockholders' equity. A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/3bmabcw2 About Innovative Designs Headquartered in Pittsburgh, Pennsylvania, Innovative Designs, Inc., operates in two separate business segments: a house wrap for the building construction industry and cold weather clothing. Both of the Company's segment lines use products made from Insultex, which is a low-density polyethylene semi-crystalline, closed cell foam in which the cells are totally evacuated, with buoyancy, scent block, and thermal resistant properties. The Company also offers a product that helps restore the waterproof character of the outer side of its Arctic Armor clothing. In addition, the Company offers cold weather headgear and base insulation clothing product. Asesoria Global, S.A., the Company's auditor based in Guatemala City, Guatemala, issued a 'going concern' qualification in its report dated Feb. 19, 2025, attached in the Company's Form 10-K Report for the year ended Oct. 31, 2024. The report cited that, due to accumulated losses and the risks tied with the Company's heavy reliance on two customers for sales, the Company is evaluating its ability to continue as a going concern. INTERNATIONAL GAME: Egan-Jones Retains B+ Senior Unsecured Ratings ------------------------------------------------------------------ Egan-Jones Ratings Company on May 27, 2025, maintained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by International Game Technology. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Reno, Nevada, International Game Technology designs and manufactures computerized casino gaming systems. IOK TECHNOLOGY: Gets Interim OK to Use Cash Collateral ------------------------------------------------------ IOK Technology, LLC got the green light from the U.S. Bankruptcy Court for the Southern District of Indiana, New Albany Division, to use cash collateral. At the hearing held on June 24, the court granted the Debtor's bid to use cash collateral on an interim basis and set a final hearing for July 31. The Debtor, which operates a machine shop with 10 employees, filed for Chapter 11 bankruptcy on June 19, and intends to use its operating cash, accounts receivable, and inventory to maintain liquidity during the bankruptcy process. Prior to filing, the Debtor was funded through daily business operations and financing from the U.S. Small Business Administration and two equipment lenders. While the SBA may claim a security interest, its lien may have lapsed. The equipment lenders are believed to hold perfected liens, and it is unclear whether any party currently has a perfected interest in the cash collateral. The Debtor intends to use approximately $31,173 in cash collateral on an interim basis to prevent business disruption and loss of asset value. About IOK Technology LLC IOK Technology, LLC operates a machine shop. IOK Technology sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ind. Case No. 25-90702) on June 19, 2025, listing up to $500,000 in assets and up to $1 million in liabilities. Benny Garland, president of IOK Technology, signed the petition. KC Cohen, Esq., at KC Cohen, Lawyer, PC, represents the Debtor as legal counsel. IPA ASSET: Voluntary Chapter 11 Case Summary -------------------------------------------- Debtor: IPA Asset Management, LLC 45 Sarah Drive Farmingdale, NY 11735 Business Description: IPA Asset Management, LLC is a real estate holding company that owns four residential properties in Suffolk County, New York. It is affiliated with 31FO LLC, which owns property at 31 Fort Hill in Lloyd Harbor, NY. Chapter 11 Petition Date: June 27, 2025 Court: United States Bankruptcy Court Eastern District of New York Case No.: 25-43102 Debtor's Counsel: Kevin Nash, Esq. GOLDBERG WEPRIN FINKEL GOLDSTEIN LLP 125 Park Ave New York, NY 10017-5690 E-mail: knash@gwfglaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by David De Rosa as managing member. The Debtor failed to attach a list of its 20 largest unsecured creditors to the petition. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/Q3D4FWA/IPA_Asset_Management_LLC__nyebke-25-43102__0001.0.pdf?mcid=tGE4TAMA IRIDIUM COMMUNICATIONS: Egan-Jones Retains B- Unsec. Ratings ------------------------------------------------------------ Egan-Jones Ratings Company on May 30, 2025, maintained its 'B-' foreign currency and local currency senior unsecured ratings on debt issued by Iridium Communications Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in McLean, Virginia, Iridium Communications Inc. offers mobile satellite communications services. J.B. POINDEXTER: Moody's Affirms 'B1' CFR, Outlook Remains Stable ----------------------------------------------------------------- Moody's Ratings affirmed the ratings of J.B. Poindexter & Co., Inc. (J.B. Poindexter), including the B1 corporate family rating, the B1-PD probability of default rating and the B2 senior unsecured rating. The outlook is maintained at stable. The rating action follows the announcement by J.B. Poindexter that it completed the acquisition of Demers Braun Ambulance Manufacturer, Inc. (DBCM). The transaction was funded with available cash and incremental debt. The affirmation of the ratings reflects Moody's views that the acquisition adds a sizeable business with relatively stable demand prospects which will mitigate J.B. Poindexter's exposure to more cyclical end-markets in the company's existing businesses. In addition, Moody's expects the acquisition of DBCM to be margin-accretive. The use of a sizeable amount of available cash results in a still manageable increase in financial leverage. The stable outlook reflects Moody's expectations that leverage will fall below 4.0x by the end of 2026 as margins expand from higher order activity in late 2025 and into 2026. RATINGS RATIONALE J.B. Poindexter's ratings reflect the company's strong competitive position in its main business lines and long-standing relationships with key blue chip customers. The ratings also reflect the company's exposure to cyclical end markets, with significant customer concentrations and volatility around annual fleet truck orders in both its Morgan and Morgan Olson segments. Moody's expects the addition of DBCM to J.B. Poindexter's portfolio of businesses to temper the company's cyclical earnings fluctuations. The company was able to largely sustain a notable improvement in profitability and cash flow with prospects for further improvement in 2025. The EBIT margin in 2024 held at 6.2%, despite the suspension of orders by UPS in the Morgan Olson segment. Costs associated with a plant shutdown in Mexico for the LEER division further weighed on the company's operating performance. Moody's anticipates that the losses at Leer will abate, in part because most of the Mexican plant closure costs will not reoccur in 2025. But the resumption of orders from UPS at Morgan Olson remains uncertain following UPS' decision to lower delivery volumes for their largest customer, Amazon, by more than 50%. Also, the backlog at the Morgan division normalized in the course of 2024, making production volumes in this division more reliant on the continuation of new order flow in 2025. DBCM's multi-year backlog of orders for new ambulances augments J.B. Poindexter's revenue visibility, however. Debt/EBITDA pro forma for the DBCM acquisition will be 4.2 times at year-end 2025, compared to 3.5 times before the transaction as of March 31, 2025. Moody's anticipates that J.B. Poindexter will maintain good liquidity, supported by Moody's expectations that free cash flow will be sustained at around $60 million in 2025. The cash balance following the transaction is expected to be around $50 million, meaningfully below historical levels. However, the company will have a new $250 million asset-based revolving facility, with access to $150mm of availability following transaction close. Moody's anticipates that the company will not require further borrowing under the ABL through 2026 and that the company uses available cash to pay down the revolver. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if J.B. Poindexter maintains debt/EBITDA below 3.0x and EBITDA/interest above 4.0 times through cyclical periods in its end-markets. Good liquidity is also an important consideration for a ratings upgrade. The rating could also be upgraded if the company sustains the EBIT margin above 6.5%. The ratings could be downgraded if J.B. Poindexter is unable to maintain debt/EBITDA below 4.5 times, or if liquidity deteriorates, including in the event negative free cash flow erodes the remaining cash balance further. The ratings can also be downgraded if the EBIT margin is sustained below 4.5%. The adoption of more aggressive financial policies, such as sizeable owner distributions or additional sizeable debt funded acquisitions could also cause a ratings downgrade. The principal methodology used in these ratings was Automotive Suppliers published in December 2024. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. J.B. Poindexter & Co., Inc. manufactures commercial truck bodies for medium-duty trucks, pickup truck caps and tonneau covers, truck bodies for walk-in step vans, service utility trucks, commercial vehicle shelving and storage systems, funeral coaches and limousines. Headquartered in Houston, Texas, the company is privately held by Mr. J.B. Poindexter. JACK IN THE BOX: Egan-Jones Retains B- Senior Unsecured Ratings --------------------------------------------------------------- Egan-Jones Ratings Company on June 3, 2025, maintained its 'B-' foreign currency and local currency senior unsecured ratings on debt issued by Jack in the Box Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in San Diego, California, Jack in the Box Inc. operates a chain of restaurants. JAL HOLDINGS: Seeks to Hire Weiss Law Group LLC as Counsel ---------------------------------------------------------- JAL Holdings, LLC seeks approval from the U.S. Bankruptcy Court for the District of Maryland to employ The Weiss Law Group, LLC as counsel. The firm's services include: (a) providing legal advice with respect to the powers, rights, and duties of the Debtor and Debtor-in-Possession; (b) providing legal advice and consultation related to the legal and administrative requirements of this case, including assisting Applicant in complying with the procedural requirements of the Office of the United States Trustee and the Subchapter V Trustee; (c) taking appropriate actions to protect and preserve the Estate, including prosecuting actions on the Debtor's behalf, defending actions commenced against the Debtor, and representing the Debtor's interests in any negotiations or litigation in which the Debtor may be involved, including objections to the claims filed against the Estate, and preparing witnesses and reviewing documents in this regard; (d) preparing appropriate documents and pleadings, including but not limited to Schedules, Applications, Motions, Answers, Orders, Complaints, Reports, or other documents appropriate to the administration of the Estate; (e) representing the Debtor's interests at the Initial Debtor Interview, the Meeting of Creditors, any Status Conferences, the Confirmation Hearing, and other hearings before this Court related to the Debtor; (f) assisting and advising the Debtor in the formulation, negotiation, and implementation of a Chapter 11 Plan and all documents related thereto; (g) assisting and advising the Debtor with respect to negotiation, documentation, implementation, consummation, and closing of transactions, including the sale of assets or the incurring of debt; (h) assisting and advising the Debtor with respect to the use of cash collateral, critical vendors, obtaining financing, and negotiating, drafting, and seeking approval of any documents related thereto; (i) reviewing and analyzing claims filed in this case, and advising and representing the Debtor in connection with objections to such claims; (j) assisting and advising the Debtor with respect to executory contracts and unexpired leases, including assumptions, assignments, rejections, and renegotiations; (k) coordinating with other professionals employed in the case; (l) reviewing and analyzing applications, orders, motions, and other pleadings and documents filed with the Bankruptcy Court and advising the Debtor thereon; and (m) assisting the Debtor in performing such other services as may be in the interest of the Debtor and the Estate and performing all other legal services required by the Debtor. The firm will be paid at these rates: Brett Weiss, Attorney $695 hour Associates $400 hour Paralegals $195 hour In addition, the firm will seek reimbursement for expenses incurred. Prior to the filing, the firm received a retainer of $25,000. Mr. Weiss disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Brett Weiss, Esq. The Weiss Law Group, LLC 8843 Greenbelt Road, Box 299 Telephone: (301) 924-4400 Facsimile: (240) 627-4186 Email: brett@BankruptcyLawMaryland.com About JAL Holdings, LLC JAL Holdings, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Md. Case No. 25-14107) on May 6, 2025, with $500,001 to $1 million in both assets and liabilities. Judge Michelle M. Harner presides over the case. Brett Weiss, Esq., at The Weiss Law Group, LLC represents the Debtor as bankruptcy counsel. JAW 2 INVESTMENT: Secured Party Sets July Auction for LLC Interests ------------------------------------------------------------------- CPIF MRA LLC ("secured party") will sell at public auction all limited liability company interests held by Jaw 2 Investment LLC and Laurcon LLC in 393 Holdings LLC ("pledged entity", "pledged interests"). The equity interests secured indebtedness owning by pledged entity to secured party in a principal amount of not less than $44,405,031.14 plus unpaid interest, attorney's fees and other charges including the costs to sell the equity interests ("debt"). The public auction sale will be held on July 8, 2025 by virtual bidding via Zoom via the following Zoom meeting link: https://bit.ly/JawLaurcon, meeting ID: 859 0686 5329, passcode: 999083 (or by telephone at +1-646-931-3860 US, using same meeting ID and passcode). The public sale will be conducted by auctioneer Eric Rubin of Moecker Auctions Inc. in conjunction with Matthew D. Mannion of Mannion Auctions LLC. The Secured Party's understanding, without making any representation or warranty as to accuracy or completeness, is that the principal asset of the pledged entity is real property commonly known as the Pinewood-30A Condominiums and located at 179 S. County Highway 393, Santa Rosa Beach, Florida 35459. Parties interested in bidding on the equity interests must contact Stephen Schwalb at Newmark ("Broker"), secured party's broker at +1-469-467-2084 or stephen.schwalb@nmrk.com. Upon execution of a standard non-disclosure agreement, additional documentation and information will be available. Interested parties who do not contact the buyer and register before the public sale may not be permitted to participate in bidding at the public sale. Additional information can be found at https://tinyurl.com/UCCPinewood. JEFFERIES GROUP: Egan-Jones Retains BB+ Senior Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on June 18, 2025, maintained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Jefferies Group LLC. Headquartered in New York, Jefferies Group LLC provides institutional brokerage services. JND TROPICS: Files Emergency Bid to Use Cash Collateral ------------------------------------------------------- JND Tropics, LLC asked the U.S. Bankruptcy Court for the District of Arizona for authority to use cash collateral held by its lender, ApplePie Capital, Inc. and provide adequate protection. The Debtor argued that access to cash is necessary to cover ongoing operational expenses such as payroll and daily inventory purchases, and to preserve the business as a going concern. Without use of the cash collateral, the stores would be forced to shut down, destroying business value and harming creditors. The Debtor borrowed approximately $2.6 million across two loans from ApplePie, both secured by a broad range of business assets including inventory, equipment, accounts receivable, and licenses. It is currently delinquent on both loans and also owes an unknown amount in sales taxes to the Arizona Department of Revenue. As protection for ApplePie, the Debtor proposed granting replacement liens on post-petition assets and carefully tracking use of funds, all within the boundaries of a court-approved operating budget. The Debtor believes it can generate sufficient positive cash flow to meet ongoing obligations while negotiating a longer-term cash collateral agreement with ApplePie. It also notes potential disputes with its franchisor over royalty fees, suggesting a possible claim against the franchisor. About JND Tropics LLC JND Tropics, LLC, a limited liability company in Phoenix, Ariz., filed Chapter 11 petition (Bankr. D. Ariz. Case No. 25-05356) on June 12, 2025, listing up to $10 million in both assets and liabilities. Daniel Rudolph, member, signed the petition. Judge Madeleine C. Wanslee oversees the case. Michael Carmel, Esq., at Michael W. Carmel, Ltd., represents the Debtor as legal counsel. ApplePie Capital, Inc., as lender, is represented by: Robert A. Riether, Esq. Wright, Finlay & Zak, LLP 8337 W. Sunset Rd., Suite 220 Las Vegas, NV 89113 Telephone (702) 475-7964 Facsimile: (702) 946-1345 rriether@wrightlegal.net JND TROPICS: Hires Michael W. Carmel Ltd. as Bankruptcy Counsel --------------------------------------------------------------- JND Tropics LLC seeks approval from the U.S. Bankruptcy Court for the District of Arizona to employ Michael W. Carmel, Ltd. as bankruptcy counsel. The firm will provide these services: (a) give the Debtor-in-Possession legal advice with respect to its powers and duties in these proceedings; (b) prepare on behalf of the Debtor-in-Possession the necessary applications, answers, orders, reports and other legal papers; and (c) perform all other legal services for the Debtor-in-Possession which may be necessary herein, and is necessary for the Debtors-in-Possession to employ an attorney for such professional services. The firm will be paid at these rates: Michael W. Carmel $700 per hour Paralegals $135 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Michael W. Carmel, Esq., a partner at Michael W. Carmel, Ltd., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Michael W. Carmel, Esq. Michael W. Carmel, Ltd. 80 East Columbus Avenue Phoenix, AZ 85012-2334 Tel: (602) 264-4965 Fax: (602) 277-0144 Email: Michael@mcarmellaw.com About JND Tropics LLC JND Tropics LLC in Phoenix AZ, sought relief under Chapter 11 of the Bankruptcy Code filed its voluntary petition for Chapter 11 protection (Bankr. D. Ariz. Case No. 25-05356) on June 12, 2025, listing as much as $1 million to $10 million in both assets and liabilities. Daniel Rudolph as member, signed the petition. Judge Madeleine C Wanslee oversees the case. MICHAEL W. CARMEL, LTD. serve as the Debtor's legal counsel. JOHNSON PHARMACY: Court OKs Limited Use of Cash Collateral ---------------------------------------------------------- Johnson Pharmacy, LLC got the green light from the U.S. Bankruptcy Court for the Eastern District of Michigan, Southern Division, to use cash collateral. At the hearing held on June 25, the court granted the Debtor limited use of cash collateral and set a further hearing for July 16. The Debtor employs five people and has operated since 2017 but financial strain caused by declining sales has led to cash flow issues. Although sales have improved over the past two months, the Debtor remains unable to service its current debt obligations. The primary secured creditor is United Community Bank, which holds a $430,000 loan secured by assets valued at approximately $102,500, rendering it undersecured. Other creditors, including CHTD and Capital Funding, assert security interests but are effectively unsecured due to insufficient collateral value. The Debtor intends to use $63,854 in cash collateral for the six-week period from June 18 through July 30, 2025, to fund necessary operational expenses as outlined in the submitted budget. Without access to these funds, the Debtor said it will be unable to continue operations, resulting in immediate and irreparable harm, including the potential loss of substantial assets and going concern value. As protection for any diminution in the value of United Community Bank's collateral, the Debtor offered to provide the bank with replacement liens on post-petition cash and receivables, arguing that maintaining the going concern value of the business sufficiently protects the creditor's interest. About Johnson Pharmacy LLC Johnson Pharmacy, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Mich. Case No. 25-31298) on June 18, 2025. In the petition signed by Mark Johnson, president, the Debtor disclosed $500,000 in assets and up to $1 million in liabilities. Judge Joel D. Applebaum oversees the case. George E. Jacobs, Esq., at Bankruptcy Law Offices, represent the Debtor as legal counsel. United Community Bank, as secured creditor, is represented by: Lisa A. Hall, Esq. Plunkett Cooney 333 Bridge St. NW, Ste. 530 Grand Rapids, MI 49504 (616) 752-4615 lhall@plunkettcooney.com JUBILEE HILLTOP: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: Jubilee Hilltop Ranch, LLC 901 Beech St. Roaring Spring, PA 16673 Business Description: Jubilee Hilltop Ranch is a family-run farm based in Osterburg, Pennsylvania, producing grass-finished beef, pastured pork, and eggs. The farm operates using all-natural, organically managed practices and supplies meat products to households, restaurants, and grocery stores. It emphasizes sustainable agriculture and community collaboration without formal organic certification. Chapter 11 Petition Date: June 26, 2025 Court: United States Bankruptcy Court Western District of Pennsylvania Case No.: 25-70267 Judge: Hon. Jeffery A Deller Debtor's Counsel: Kevin Petak, Esq. SPENCE CUSTER 1067 Menoher Boulevard Johnstown, PA 15905 Tel: (814) 536-0735 Fax: (814) 539-1423 Email: kpetak@spencecuster.com Estimated Assets: $500,000 to $1 million Estimated Liabilities: $1 million to $10 million The petition was signed by Neal Salyards as president. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/JU2HJPI/Jubilee_Hilltop_Ranch_LLC__pawbke-25-70267__0001.0.pdf?mcid=tGE4TAMA KIDDE-FENWAL INC: Disclosure Statement Objections Overruled ----------------------------------------------------------- Judge Laurie Selber Silverstein of the United States Bankruptcy Court for the District Delaware overruled the objections to Kidde-Fenwal Inc.'s motion to approve its disclosure statement. On June 4, the Court heard argument on Debtor's motion. The bulk of the hearing consisted of arguments that the Plan should not be solicited because it is patently unconfirmable. A central feature of the Plan is Debtor's settlement with its parent, Carrier Global Corporation. In exchange for Debtor's release of all causes of action against Carrier, RTX Corporation and each of their Related Parties, Carrier will pay Debtor $540 million less net sale proceeds and contribute its insurance rights to the Primary AFFF Settlement Trust. Recoveries from insurance coverage litigation are shared between the Trust and Carrier, with Carrier to receive up to $2.4 billion. This central feature prompts both objections. Certain Insurers object that the Plan is patently unconfirmable because it is not filed in good faith under Sec. 1129(a)(3). They contend that the overall scheme of the Plan, which provides Carrier with up to $2.4 billion from insurance recoveries, violates their policies. Additionally, the Insurers contend that this "kickback" of insurance proceeds together with the proposed procedures in the TDP misalign the incentives between the Insurers and its insureds -- Carrier and Kidde-Fenwal -- such that claims resulting from the settlement trust process will be inflated. Judge Silverstein says this Plan is funded by Debtor through Carrier's Guaranteed Cash Payment and the Insurance Policy Rights naming Debtor, Carrier and other specified parties as insured. Further, without evidence, she cannot determine whether the sharing of insurance proceeds improperly disincentivizes Debtor or Carrier with respect to the underlying PFAS litigation. These issues, therefore, are appropriately addressed at confirmation, the Court notes. The States contend that the Plan is patently unconfirmable because it provides for third-party releases in a different guise. This position is prompted by what can charitably be described as a lengthy and detailed written definition of the term "Estate Causes of Action" and the interlocking definitions of "Independent AFFF Causes of Action"' and "Sovereign State Retained Causes of Action." Simply put, the States contend that this expansive definition impinges on their rights to assert claims against Carrier and other non-debtors including in their capacities as parens patriae, which are claims only the States are able to assert on behalf of their respective citizens. Debtor counters that these definitions simply reflect Third Circuit binding precedent on what constitutes a cause of action belonging to the estate, which Debtor, as trustee, can prosecute, or as 1s the case here, settle. The nub of the issue that will need to be decided at confirmation is whether causes of action against Carrier and other non-debtors based on theories of alter ego, veil piercing, successor liability or the like constitute assets of the estate, and if so, whether Debtor's settlement of those actions should be approved. According to the Court, to better frame the issues at confirmation, Debtor should work with the plan supporters (and others, to the extent necessary) to create a schedule of the Released Claims, Independent AFFF Causes of Action and Sovereign State Retained Causes of Action. That schedule should include a breakdown, by count, of each cause of action contained in complaints that were filed prepetition against Carrier, RTX, Related Parties and any other Released Party under the Plan. It should also specifically list which counts are not being released. Further, the parties should provide guidance in the confirmation briefing on the appropriate standard to evaluate a settlement that includes release of Emoral-type estate causes of action, that is, causes of action that creditors can bring on their own behalf prepetition, and, perhaps, debtors can also bring, the Court adds. Approving a settlement in this context clearly has an impact on third parties' causes of action because they are no longer able to bring them. A bankruptcy court may address the issue of plan confirmation where it is obvious at the disclosure statement stage that a later confirmation hearing would be futile because the plan described by the disclosure statement is patently unconfirmable. After considering the arguments of counsel, Judge Silverstein concludes that evidence and further legal argument are needed to determine whether the Plan is confirmable. For that reason, she overrules the disclosure statement objections on this ground. But certain additions must be made before the disclosure statement can be approved. Debtor should make the appropriate changes and resubmit for further consideration. A copy of the Court's Ruling is available at https://urlcurt.com/u?l=9m3gsJ About Kidde-Fenwal Inc. Kidde-Fenwal Inc. -- https://www.kidde-fenwal.com/ -- manufactures fire protection systems. It offers products such as fire control systems, explosion aircraft protection, laser-based smoke detection devices, electronic gas ignitions, and fire suppressions. Kidde-Fenwal markets its products to mining, manufacturing, education, and commercial sectors. Kidde-Fenwal sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 23-10638) on May 14, 2023. In the petition filed by its chief transformation officer, James Mesterharm, the Debtor reported assets between $100 million and $500 million and estimated liabilities between$1 billion and $10 billion. The Debtor tapped Sullivan & Cromwell, LLP and Morris Nichols Arsht & Tunnell, LLP as legal counsels; and Guggenheim Securities, LLC as investment banker. Stretto, Inc. is the claims and noticing agent and administrative advisor. KLE EQUIPMENT: Seeks to Use Cash Collateral ------------------------------------------- KLE Equipment Leasing, LLC and affiliates asked the U.S. Bankruptcy Court for the Eastern District of Wisconsin for authority to use cash collateral and provide adequate protection to their secured creditor, BMO Bank N.A. The Debtors assert that they have reached a comprehensive, permanent agreement with BMO, regarding the use of cash collateral. Under this agreement, BMO consents to the Debtors' continued use of its cash collateral, provided that certain conditions for adequate protection are maintained. BMO Bank N.A. is believed to be one of the primary secured creditors of the Debtors, with blanket liens on various business assets, including receivables, cash, equipment, and possibly real estate held by the various affiliated debtor entities. About KLE Equipment Leasing KLE Equipment Leasing, LLC is a Wisconsin-based equipment leasing company headquartered in Neenah. KLE Equipment Leasing sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Wis. Case No. 25-22922) on May 21, 2025. In its petition, the Debtor reported between $10 million and $50 million in both assets and liabilities. Judge G. Michael Halfenger handles the case. The Debtor is represented by Nicholas Kerkman, Esq. and Jerome R. Kerkman, Esq., at Kerkman & Dunn. KPOWER GLOBAL: Frost Brown Advises Plymouth Landlord Entities ------------------------------------------------------------- The law firm of Frost Brown Todd LLP ("FBT") filed a verified statement pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure to disclose that in the Chapter 11 case of KPower Global Logistics, LLC, the firm represents Plymouth 10682 Ridgewood MS LLC ("Plymouth Ridgewood"), and Plymouth 3670 S Perkins TN LLC ("Plymouth S Perkins," and collectively with Plymouth Ridgewood, the "Plymouth Landlord Entities"). Plymouth Ridgewood is a landlord of the Debtor as parties to that certain unexpired lease of nonresidential real property dated May 19, 2022 for real property located at 10682 Ridgewood Road, Olive Branch, DeSoto County, Mississippi. Plymouth S Perkins, is a landlord of the Debtor as parties to that certain unexpired lease of nonresidential real property dated March 24, 2021 for real property located at 3670 Perkins Blvd., Memphis, Tennessee. The Plymouth Landlord Entities, who are related entities, have each requested that FBT represent them and their interests in connection with the bankruptcy case and have each consented to such multiple representation. The names and addresses of the parties represented by FBT in the bankruptcy case are: 1. Plymouth 10682 Ridgewood MS LLC c/o Plymouth Industrial REIT, Inc. 20 Custom House Street - 11th Floor Boston, MA 02110 2. Plymouth 3670 S Perkins TN LLC c/o Plymouth Industrial REIT, Inc. 20 Custom House Street - 11th Floor Boston, MA 02110 The law firm can be reached at: FROST BROWN TODD LLP Patricia K. Burgess, Esq. 150 Third Avenue South, Suite 1900 Nashville, Tennessee 37201 Tel: (615) 251-5550 Fax: (615) 251-5551 Email: pburgess@fbtlaw.com - and – Ronald E. Gold, Esq. Erin P. Severini, Esq. 301 East Fourth Street Cincinnati, Ohio 45202 Tel: (513) 651-6800 Fax: (513) 651-6981 E-mail: rgold@fbtlaw.com eseverini@fbtlaw.com About KPower Global Logistics KPower Global Logistics LLC provides third-party logistics services specializing in customized supply chain solutions across the United States. The Company offers staffing, warehousing, bulk storage, consulting, packaging, and special project services for distribution centers and manufacturing operations. KPower Global Logistics sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tenn. Case No. 25-22294) on May 8, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million. Honorable Bankruptcy Judge M. Ruthie Hagan handles the case. The Debtor is represented by the Law Offices of Craig M. Geno, PLLC. KPOWER GLOBAL: Seeks to Hire Payne Law Firm as Counsel ------------------------------------------------------ KPower Global Logistics, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Tennessee to employ Payne Law Firm as counsel. The firm will render these services: a. advise and consult with the Debtor-in-Possession regarding questions arising from certain contract negotiations which will occur during the operation of business by the Debtor-in-Possession; b. evaluate and attack claims of various creditors who may assert security interests in the assets and who may seek to disturb the continued operation of the business; c. appear in, prosecute, or defend suits and proceedings, and to take all necessary and proper steps and other matters and things involved in or connected with the affairs of the estate of the Debtor; d. represent the Debtor in court hearings and to assist in the preparation of contracts, reports, accounts, petitions, applications, orders and other papers and documents as may be necessary in this proceeding; e. advise and consult with Debtor in connection with any reorganization plan which may be proposed in this proceeding and any matters concerning Debtor which arise out of or follow the acceptance or consummation of such reorganization or its rejection; and f. perform such other legal services on behalf of Debtor as they become necessary in this proceeding. The firm will be paid at these rates: Jerome C. Payne $400 per hour Associates $200 per hour Paralegals $175 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Jerome C. Payne, Esq., a partner at Payne Law Firm, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Jerome C. Payne, Esq. Payne Law Firm 3525 Ridge Meadow Parkway, Suite 100 Memphis, TN 38115 Tel: (901) 794-0884 Fax: (901) 235-1246 Email: jerpaynelaw@gmail.com About KPower Global Logistics, LLC KPower Global Logistics LLC provides third-party logistics services specializing in customized supply chain solutions across the United States. The Company offers staffing, warehousing, bulk storage, consulting, packaging, and special project services for distribution centers and manufacturing operations. KPower Global Logistics sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tenn. Case No. 25-22294) on May 8, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million. Honorable Bankruptcy Judge M. Ruthie Hagan handles the case. The Debtor is represented by the Law Offices of Craig M. Geno, PLLC. LAS VEGAS 0ILPK: Taps HomeSmart Encore Las Vegas as Realtor ----------------------------------------------------------- Las Vegas 0ILPK 280, LLC seeks approval from the U.S. Bankruptcy Court for the District of Nevada to employ HomeSmart Encore Las Vegas as realtor. The realtor will market and sell the Debtor's property located at 2720 East Quail Avenue, Las Vegas Nevada 89120. The agent is seeking a five percent commission. HomeSmart Encore Las Vegas is a "disinterested person" within the meaning of 11 U.S.C. 101(14), according to court filings. The firm can be reached through: Robert J. Sluys HomeSmart Encore Las Vegas 2470 Saint Rose Pkwy Ste 206 Henderson, NV 89074 Tel: (702) 579-3300 About Las Vegas 0ILPK 280 LLC Las Vegas 0ILPK 280 LLC is a single-asset real estate entity as defined in 11 U.S.C. Section 101(51B), is the fee simple owner of the property located at 2720 E Quail Ave, which is valued at $1.41 million. Las Vegas 0ILPK 280 LLC relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Nev. Case No. 25-11510) on March 20, 2025. In its petition, the Debtor reports total assets of $1,405,000 and total liabilities of $613,161. David J. Winterton & Assoc., Ltd. serves as the Debtor's counsel. LEGETT & PLATT: Egan-Jones Retains BB Senior Unsecured Ratings -------------------------------------------------------------- Egan-Jones Ratings Company on May 28, 2025, maintained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by Leggett & Platt, Incorporated. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Carthage, Missouri, Leggett & Platt, Incorporated manufactures a wide range of engineered products. LEISURE INVESTMENTS: Ex-CEO Fined $10K a Day in Conflict w/ Lenders ------------------------------------------------------------------- Steven Church and Jonathan Randles of Bloomberg News report that the former CEO of a bankrupt chain of dolphin-themed animal parks has been hit with a $10,000-per-day fine over allegations he redirected ticket revenue from the company's Mexican locations using credit card readers purchased at Costco. A Delaware federal judge imposed the sanctions on Eduardo Albor, who is in an ongoing dispute with U.S. lenders over control of The Dolphin Company, which runs parks in Latin America, the U.S., and Europe. Judge Laurie Silverstein ordered Albor to stop disrupting company operations and to provide the new management team with access to financial records and bank accounts, according to Bloomberg News. About Leisure Investments Holdings Leisure Investments Holdings LLC and affiliates are operating under the name "The Dolphin Debtor," manage over 30 attractions, including dolphin habitats, marinas, water parks, and adventure parks, located in eight countries across three continents. Their primary operations are based in Mexico, the United States, and the Caribbean, with locations in Jamaica, the Cayman Islands, the Dominican Republic, and St. Kitts. These attractions are home to approximately 2,400 animals from more than 80 species of marine life, including a variety of marine mammals such as dolphins, sea lions, manatees, and seals, as well as birds and reptiles. As of 2023, the marine mammal population at the Debtors' parks includes roughly 295 dolphins, 51 sea lions, 18 manatees, and 18 seals. Leisure Investments Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case 25-10606) on March 31, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. Honorable Bankruptcy Judge Laurie Selber Silverstein handles the case. The Debtors tapped Young Conaway Stargatt & Taylor, LLP as counsel; Riveron Management Services, LLC as restructuring advisor; and Kurtzman Carson Consultants, LLC d/b/a Verita Global, as claims & noticing agent. LFS TOPCO: Moody's Rates New $400MM Senior Unsecured Notes 'B1' --------------------------------------------------------------- Moody's Ratings has assigned a B1 rating to LFS TopCo, LLC's (Lendmark) proposed $400 million senior unsecured notes due 2030. The company plans to use the proceeds from the proposed issuance to repay its outstanding $270 million senior unsecured notes due in 2026 and repay a portion of its securitization facilities. This rating action does not affect Lendmark's B1 corporate family rating or its existing B1 senior unsecured rating. The issuer's outlook is stable. RATINGS RATIONALE The B1 rating assigned to Lendmark's proposed senior unsecured notes is consistent with the company's existing B1 senior unsecured rating. The B1 senior unsecured rating is in line with the company's existing B1 CFR, reflecting the priority ranking of the unsecured debt in the company's capital structure. Lendmark's ratings are supported by the company's solid capitalization and stronger-than-average liquidity runway relative to other single-B rated peers as well as its solid franchise positioning and profitability. Offsetting these positive credit attributes is a deterioration in consumer loan asset quality following the run-off of pandemic-era stimulus programs compounded by a high inflationary environment. Lendmark's ratings also reflect the risk surrounding the company's high reliance on secured funding and resulting modest level of unencumbered assets that it could pledge and use to access alternative sources of liquidity should a need arise. The stable outlook reflects that over the next 12-18 months, Moody's expects that Lendmark's profitability and asset quality will improve and return to its long-term averages of around 2.5% net income/average managed assets and 8.0% to 9.0% net charge-offs/average gross loans, respectively, as the firm also maintains its current liquidity and funding profile as well as resilience to unexpected losses evidenced by sound capitalization and reserves. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING Lendmark's ratings could be upgraded if the company reduces its reliance on secured corporate funding, strengthens its capitalization levels, or increases its liquidity runway while maintaining steady asset quality and solid profitability. Lendmark's ratings could be downgraded if its financial performance deteriorates such that 1) profitability as measured by net income/average managed assets declines and Moody's expects it to remain below 1.75%; 2) capitalization as measured by tangible common equity plus loan loss reserves/tangible managed assets declines and Moody's expects it to remain below 14.5%; 3) asset quality weakens such that net charge-offs are expected to remain above 9.0%; or 4) its liquidity runway declines and Moody's expects it to remain below 15 months. The principal methodology used in this rating was Finance Companies published in July 2024. LGI HOMES: Moody's Lowers CFR to Ba3 & Alters Outlook to Negative ----------------------------------------------------------------- Moody's Ratings downgraded LGI Homes, Inc.'s (LGI) Corporate Family Rating to Ba3 from Ba2, Probability of Default Rating to Ba3-PD from Ba2-PD, and the ratings on the company's senior unsecured notes to Ba3 from Ba2. The company's Speculative Grade Liquidity rating was downgraded to SGL-3 from SGL-2. The outlook was changed to negative from stable. The ratings downgrade reflects the company's elevated leverage and weak interest coverage metrics and limited prospects for near term improvements given the current weakness in the homebuilding market, particularly with respect to the entry-level demand because of constrained consumer affordability. At March 31, 2025, LGI's debt to book capitalization and EBIT to interest coverage stood at 44% and 2.4x, respectively. The ratings downgrade also reflects the company's liquidity which Moody's assesses to be only adequate given the expectation of negative to modestly positive free cash flow generation and the significant reliance on its revolving credit facility to fund the business. RATINGS RATIONALE LGI's Ba3 CFR is supported by the company's: 1) good market position, revenue scale of $2.2 billion, and broad geographic diversification across 36 markets and 21 states; 2) business model that focuses on standardized home construction and creates production efficiencies; 3) track record of strong gross margins, although currently margins are impacted by broad utilization of incentives to facilitate first-time homebuyers' affordability parameters; and 4) focus on the entry-level home segment, supported by favorable demographic trends and demand of the millennial buyers, significant size of first-time buyer pool, and consumer preferences for affordable offerings. The credit profile is constrained by: 1) weak interest coverage and debt leverage that is currently at the higher end of the company's operating range and only adequate liquidity with negative cash flow generation and the reliance on the revolving credit facility; 2) the company's all speculative construction strategy that can lead to high unsold home inventory during a weak market; 3) a very long land position with total land supply of 11 years and owned land supply of 9 years as of March 31, 2025, and the associated exposure to impairments during periods of land and home price declines; 4) vulnerability of the first-time homebuyers, the company's main customers, to affordability pressures and the cyclicality of the homebuilding industry; and 5) the risk of shareholder-friendly actions in the form of share repurchases. The negative outlook reflects the risk that LGI's weak interest coverage and leverage metrics will not improve materially in the next 12 to 18 months given the current weakening sector trends. LGI's SGL-3 Speculative Grade Liquidity rating reflects Moody's views that the company will maintain adequate liquidity over the next 12 to 15 months. This reflects Moody's expectations of negative to modestly positive free cash flow, while only modest cash balances are typically maintained, and the meaningful reliance on the revolving credit facility. Liquidity is supported by good covenant compliance cushions and alternate sources of liquidity given the long owned supply of land. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if the company increases its revenue size and scale and improves product and geographic diversity. Additionally, maintenance of a conservative financial policy with respect to shareholder returns and leverage, and strong credit metrics including sustained debt to book capitalization below 40%, EBIT to interest coverage above 5.0x, strong gross margin along with good liquidity and positive free cash flow would also be important upgrade considerations. The ratings could be downgraded if the end market softness contributes to weakening of the company's credit metrics or liquidity. If debt to book capitalization approaches 50%, EBIT to interest coverage is sustained below 4.0x, gross margins decline below 20%, risk of impairments increases, or if the company shifts to a more aggressive financial policy with respect to shareholder friendly activities or large scale acquisitions the ratings could be downgraded. The principal methodology used in this rating was Homebuilding and Property Development published in October 2022. LGI Homes, Inc., established in 2003 and headquartered in Houston, Texas, builds largely starter single-family homes and operates in 146 communities in 36 markets across 21 states (as of March 2025). In the LTM period ended March 31, 2025, the company generated $2.2 billion in revenue and $183 million in net income. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. LIKEWIZE CORP: Moody's Alters Outlook on 'B3' CFR to Negative ------------------------------------------------------------- Moody's Ratings has affirmed Likewize Corp.'s (Likewize) B3 corporate family rating and its B3-PD probability of default rating. Moody's also affirmed Likewize's B3 ratings on its senior secured first lien term loan, senior secured first lien delayed draw term loan and senior secured first lien revolving credit facility. The outlook is changed to negative from stable. "The negative outlook reflects weaker than anticipated performance and Moody's expectations for weak liquidity," said Moody's Ratings analyst Justin Remsen. "Revenue declines in Likewize's device protection and upgrade businesses led to a high single digit revenue drop in 2024 where Moody's had anticipated low single digit growth. While the company has made some headway on margin improvement, Likewize will need to stabilize revenue and continue to improve profitability to generate sufficient free cash flow, particularly given the company's modest revolver availability and high mandatory debt amortization," added Remsen. RATINGS RATIONALE Likewize's B3 CFR reflects the company's elevated leverage, limited free cash flow generation, significant vendor concentration in the upgrade business, and execution risk with the company's on-going effort to reposition its business model. Since 2021, Likewize has deprioritized its low margin mobile device distribution and supply chain businesses and increased focus on the higher margin, but highly competitive device protection sector. At the same time, the rating benefits from Likewize's solid market positions and long-standing relationships with large, blue chip customers. Over the next 12 months, Moody's projects Likewize revenue to decline low to mid-single digit percentage as the company continues to prioritize higher margins, but lower volume in the upgrade segment. Moody's views Likewize's liquidity as weak given increasing amortization requirements. The company has $20 million of unrestricted cash as of December 31, 2024. For 2025 and 2026, Moody's projects Likewize will generate around $10 to $20 million in free cash flow before required debt amortization. The company's $125 million revolver availability is limited by about $40 million in letters of credit and $26 million drawn as of December 31, 2024. While Moody's expects profitability to improve, higher cash taxes, and about $50 million of mandatory amortization over the next two years will constrain liquidity. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Likewize demonstrates consistent revenue growth and operating margin improvement, such that debt/EBITDA is expected to be sustained below 5x with free cash flow to debt above 5%. The ratings could be downgraded if Likewize's revenue and earnings continue to decline, or free cash flow remains negative, particularly if it is not sufficient to meet the debt amortization schedule. Additionally, the ratings could be downgraded if debt financed acquisitions or shareholder initiatives increase debt/EBITDA above 6.5x on a more than temporary basis. Likewize Corp.'s provides end-to-end device life-cycle management solutions for the mobile device industry. Services include trade-in and upgrade, device protection, supply chain services, reverse logistics, and repair solutions. The company is majority owned by funds affiliated with Genstar Capital LLC. Likewize reported revenue of approximately $1.8 billion for fiscal year 2024. The principal methodology used in these ratings was Distribution and Supply Chain Services published in December 2024. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. LITTLE MINT: Gets Interim OK to Use Cash Collateral Until July 31 ----------------------------------------------------------------- The Little Mint, Inc. received seventh interim approval from the U.S. Bankruptcy Court for the Eastern District of North Carolina, New Bern Division to use cash collateral through July 31. The seventh interim order authorized the Debtor to use cash collateral to pay post-petition operating expenses set forth in its budget, which projects total operational expenses of $812,882.58 for July. Any expenditure exceeding 10% of the budget requires prior written consent of the Debtor's secured creditors. Secured creditors include the U.S. Small Business Administration, Johnson Breeders, Austin Business Finance (CBW Bank), Institution Food House, and Performance Food Group. Other creditors including Navitas Credit Corp. and North Mill Credit Trust may also assert in the cash collateral. As adequate protection, the secures creditors' liens on the collateral securing their indebtedness extend to the Debtor's post-petition assets to the extent and amount that they are secured as of the petition date. The replacement liens are subject to and subordinate to a carveout for the payment of allowed professional fees and disbursements incurred by court-approved professionals. As additional protection, the Debtor was ordered to make payment of $40,000 to Johnson Breeders and $25,000 to Performance Food by July 25. The payment to Performance Food is related to its claim asserted under the Perishable Agricultural Commodities Act of 1930. The interim order will remain in full force and effect until July 31; the replacement of or termination of the seventh interim order by a subsequent order; or the filing of a notice of default, whichever comes first. The next hearing is scheduled for July 24. About The Little Mint Inc. The Little Mint Inc., doing business as Hwy 55 Burgers Shakes & Fries, owns multiple Hwy 55 Burgers, Shakes & Fries restaurants. The Little Mint sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 24-04510) on December 31, 2024. In its petition, the Debtor reported estimated assets between $1 million and $10 million and estimated liabilities between $10 million and $50 million. Judge Joseph N. Callaway presides over the case. Rebecca F. Redwine, Esq., at Hendren, Redwine & Malone, PLLC represents the Debtor as counsel. MARIA SOCORRO LUGO: San Juan Property Not Part of Bankruptcy Estate ------------------------------------------------------------------- Judge Maria de los Angeles Gonzalez of the United States Bankruptcy Court for the District of Puerto Rico granted the motion for relief from stay and/or to determine that foreclosed property is not part of María Socorro Figueroa Lugo's bankruptcy estate filed by Island Portfolio Services LLC, as servicer for PR Recovery and Development JV, LLC. Island Portfolio argues that the real estate property in question is not part of Debtor's bankruptcy estate and, therefore, is not subject to the automatic stay. Debtor opposes and requests, in part, that the Court pierce the corporate veil in her favor as she has been the alter ego of The Woman from Mallorca, Inc. ("Corporation") and extend the automatic stay to the non-debtor Corporation under 11 U.S.C. Sec. 105(a). Debtor also argued that the Corporation was cancelled by the Puerto Rico Department of State on Dec. 30, 2023, and that Island Portfolio had reached an agreement with Debtor and the Corporation prior to the filing of the petition, for the repayment of the amount owed, but failed to honor such agreement. On Feb. 7, 2013, Banco de Desarrollo Economico de Puerto Rico, Island Portfolio's predecessor in interest, granted the Corporation certain credit facilities in the total amount of $1,493,286. On the same date, the Corporation executed a mortgage note in the amount of $1,493,286 in favor of BDE or to its order. The Mortgage Note is secured by Deed of Mortgage No. 10 executed on Feb. 7, 2013, which was duly registered under the Karibe system in the Property Registry of Puerto Rico. The mortgage encumbered a property recorded at page 213 of volume 86 of San Juan Antiguo, property number 829, Property Registry of San Juan, First Section. Additionally, Debtor signed an Unlimited and Continuing Guarantee, whereby she stood as a personal guarantor for the Loan. On Sept. 7, 2018, the Mortgage Note that encumbered the Property was duly endorsed in favor of PR Recovery. Island Portfolio, as servicer for PR Recovery, is the current holder of the Mortgage Note. On April 8, 2019, PR Recovery filed a collection of monies and foreclosure complaint against the Corporation, Iron Sphynx, Corp. and Debtor ("Co-Debtors") with the Court of First Instance of Puerto Rico, Superior Court of San Juan. The state court entered judgment against such defendants on Jan. 26, 2023. Per the Judgment the Corporation is the title owner of the Property. On Nov. 22, 2023, Co-Debtors appealed the Judgment with the Puerto Rico Court of Appeals. The Puerto Rico Court of Appeals affirmed the Judgment, on March 27, 2024. Upon Co-Debtors' default with the terms of the Judgment, the Puerto Rico Court of First Instance issued an Order and Writ of Execution of Judgment, on Jan. 21, 2025, which included the foreclosure of the Property. The judicial sale of the Property was scheduled for April 7, 2025. The judicial sale of the Property was held, as scheduled, on April 7, 2025. The Property was awarded to Island Portfolio for $1,493,286. On April 15, 2025, Debtor filed Adversary Proceeding No. 25-00019 against Island Portfolio, claiming that the Property is part of Debtor's bankruptcy estate, that the automatic stay should be extended to the Corporation and that the foreclosure proceeding should have been stayed upon notice of Debtor's bankruptcy filing. Island Portfolio is yet to file its answer to the complaint. The Bankruptcy Court finds the judicial sale and the execution of the deed of judicial sale were not in violation of the automatic stay provision of the Bankruptcy Code. The fact that the Corporation was cancelled by the Puerto Rico State Department on Dec. 30, 2023, does not entail the automatic transfer of its assets to the stockholders. In this case, the Corporation was the titleholder of the Property and Debtor the sole stockholder of the Corporation. Island Portfolio sued both, the Corporation as titleholder of the Property and Debtor as guarantor, and the state court ordered the foreclosure of the Property. At no time during the extended State Court Case did Debtor allege that the Property was hers, and the state court in its rulings always recognized that the Property belonged to the Corporation. Now that Debtor seeks the applicability of the automatic stay to the Property, she alleges that the Corporation was her alter ego and thus she has an interest in the Property. According to the Bankruptcy Court, generally, a sole stockholder cannot pierce the corporate veil in the traditional legal sense because veil piercing is a remedy used against shareholders, not by them. In fact, under Puerto Rico corporate law, the stockholder of a corporation may not request the piercing of the corporate veil when the structure of the corporation is inconvenient to the stockholder in detriment of creditors. Debtor is requesting that the Bankruptcy Court sanction an inside reverse piercing of the corporate veil, whereby the corporate veil would be disregarded for the benefit of the owner's creditors, not the corporation's creditors, as opposed to an outside reverse piercing where the creditor of the corporation requests the piercing to access the owner's assets. However, alter ego is not a doctrine that allows the persons who actually control the corporation to disregard the corporate form. Debtor is requesting that the Bankruptcy Court disregard the corporate entity to evade the consequences of said incorporation. It will not. Island Portfolio argues that the Bankruptcy Court lacks subject matter jurisdiction under the Rooker-Feldman doctrine to consider any challenge to its standing as a creditor for the Loan because this argument was raised in the State Court Case and was fully litigated. The Bankruptcy Court agrees with Island Portfolio in that it lacks subject matter jurisdiction under the Rooker-Feldman doctrine because the claim that Island Portfolio/PR Recovery does not have creditor standing was litigated at great length in the State Court Case (including trial, intermediate and highest appellate forums) and the issue is currently final and unappealable. A copy of the Court's Opinion and Order is available at https://urlcurt.com/u?l=W2ywYc Maria Socorro Figueroa Lugo filed for Chapter 11 bankruptcy protection (Bankr. D.P.R. Case No. 25-01546) on April 4, 2025. MARIETTA AREA HEALTH: Fitch Lowers IDR to 'B', Outlook Stable ------------------------------------------------------------- Fitch Ratings has downgraded the rating on the revenue bond on debt issued by Southeastern Ohio Port Authority on behalf of Marietta Area Health Care Inc. (dba Memorial Health System; MHS) to 'B' from 'B+'. Fitch has also downgraded MHS's Issuer Default Rating (IDR) to 'B' from 'B+'. The Rating Outlook is Stable. Entity/Debt Rating Prior ----------- ------ ----- Marietta Area Health Care Inc. dba Memorial Health System (OH) LT IDR B Downgrade B+ Marietta Area Health Care Inc. dba Memorial Health System (OH) /General Revenues/1 LT LT B Downgrade B+ The downgrade to 'B' reflects MHS's weak net leverage profile through Fitch's forward-looking scenario analysis due to stated growth and spending objectives. While operating performance has stabilized over the past three years (averaging about 6.9% operating EBITDA margin) and reflects cost efficiency strategies, improved cash flow funded higher levels of capital spending in fiscal years 2022 through 2024. Capex is expected by Fitch to continue at higher levels in the medium term. As a result, MHS's balance sheet remains very constrained, and Fitch expects financial profile metrics will continue to be weak due to MHS's growth objectives. Fitch also expects operating performance may soften moderately but remain consistent with the midrange operating risk assessment (with operating EBITDA margins around 7.0%) as claim denials and underpayments increase, labor cost pressures remain, and management works to improve revenue cycle with internal processes and productivity reporting. Management continues to focus on growth and improving access to fuel volume, top line revenue growth and margin improvement. There are execution risks related to the growth strategy. Fitch believes that if MHS successfully executes on strategic growth and improved access investments, and cash flows remain consistent with the midrange operating risk assessment, the financial profile and liquidity metrics will begin to stabilize, supporting the Stable Outlook. Meaningful balance sheet growth and improved financial flexibility is likely beyond Fitch's five year forward look. SECURITY The bonds are secured by general revenues of the obligated group, a mortgage on certain system facilities and a debt service reserve fund. KEY RATING DRIVERS Revenue Defensibility - 'bbb' Marginally Leading Market Position MHS has a stable 40% primary service area market share that has been supported by recent strategic initiatives and a large, predominantly employed medical staff. Recent growth initiatives have supported growing inpatient and outpatient volumes, and generally increasing surgical procedures. Competition stems primarily from West Virginia University Camden Clark located about 15 miles to the south. MHS introduced cardiac surgery in July 2020 and continues to build that program and benefit from ancillary procedures. Competition for cardiac surgery is primarily from Camden Clark. Continued focus on expanding access, including the recent acquisition of a critical access hospital, Sistersville General Hospital in West Virginia (total annual revenues of about $20 million) and growth in strategic locations should support the leading market position and moderate revenue growth. The service area is characterized by weaker demographics compared to state and national averages and declining population trends. Medicaid and self-pay of totaled 19% of gross revenues in fiscal 2024 and Fitch expects the service area will continue to support a stable payor mix. Operating Risk - 'bbb' Softer Operations to Reflect Cost Pressures MHS's operating performance has been consistent with the midrange assessment with operating EBITDA margins averaging about 7.0% over the past three years. Though six months ending March 31, 2025, operating EBITDA margin has been constrained at 4.2% primarily from increasing payer denials and underpayments and labor costs. MHS has engaged with a consultant to identify and appeal under payments. Management has identified about $9.5 million in revenue enhancement initiatives for the remainder of fiscal 2025 coupled with expense reduction strategies of $5.3 million, with an expectation by Fitch to improve operating EBITDA margin to between 6% and 7% by the end of the fiscal year. MHS recognized $13.6 million of FEMA funds in fiscal 2024. Fitch has no expectation of further relief funding. Fitch expects operating EBITDA margins to stabilize around 7%, as volumes continue to grow. MHS continues to focus on cost structure and margin improvement initiatives and physician productivity and standards. Capital spending plans are high, consistent with the current growth strategy, with stated capex to average about 140% of depreciation expense over the next five years, which is captured in Fitch's five-year forward-looking scenario. Due to stated plans, flexibility to defer or delay capex is somewhat limited. The average age of plant is somewhat elevated at about 16 years. Financial Profile - 'b' Financial Flexibility Remains Weak As of FYE 2024, MHS had about $413 million of adjusted debt, including long-term debt, a line of credit, and operating leases. Unrestricted cash and investment was about $111 million at FYE 2024. The resulting cash to adjusted debt of 27% demonstrates very constrained financial flexibility. MHS has broken ground on a new 30,000 square foot facility at the Sisterville campus with an estimated cost of $35 million. Approximately $25 million will be funded with a private loan and the remainder will be funded with a draw down on a $10 million grant from the state of West Virginia. Additionally, MHS will be building a women and children's hospital at the Belpre campus. The project is estimated at $90 million, and will be funded with $60 million bond anticipation note (BAN), cash and significant fundraising. The women and children's hospital is expected to open in 2027. Following the completion the BAN will be taken out by a USDA loan. MHS's financial profile is assessed as weak and reflects the constrained liquidity position and high leverage. Improved operating cash flow will help to fund expansion but may be insufficient to fund stated growth plans without further eroding the balance sheet. Through Fitch's base case scenario over the next five years due to Fitch's expectations of MHS's operating performance and capital spending, Fitch expects that MHS will see some stabilization in liquidity as increasing volumes continue to generate improved cash flow, however continued expansionary spending will continue to constrain the system's financial metrics. Fitch's base case shows cash to adjusted near 30% before growing in the out years, while in the stress case cash-to-adjusted debt falls close to 20% before rebounding and exceeding 40% by year four. Asymmetric Additional Risk Considerations MHS's weak balance sheet continues to pose a financial asymmetric risk. Days cash on hand has averaged just under 60 days' over the last five year including FYE24 (59 days), as calculated by Fitch. Most recently, through six months ending March 31, 2025, days cash on hand was at 58 days' as calculated by Fitch. Fitch believes MHS's low days' cash highlights the financial stress MHS is experiencing as it continues to pursue its growth strategy. MHS's covenant is to maintain days' cash on hand over 55 days'. Breech of covenant would result in a consultant call-in. Fitch notes that MHS liquidity covenant allows them to include deferred compensation and prefunding depository trustee held funds in calculating days' cash on hand for covenant purposes. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Continued weakening of the balance sheet due to an erosion of liquidity and/or financial profile metrics; - Failure to maintain margins at or above 6% while executing the aggressive growth strategy; - Volume weakness or a trend of decreasing market share. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - MHS successfully demonstrates sustained operating improvement with operating EBITDA margins exceeding 8%; - Successful execution of the MHS's growth strategy while maintaining 'Midrange' operating EBITDA margins and strengthening of the balance sheet through cash flow. PROFILE CREDIT PROFILE MHS operates the 199-bed Marietta Memorial Hospital (MMH) and a 25-bed critical access hospital, Selby General Hospital (SGH), both located in Marietta, OH, and the most recently acquired Sisterville General Hospital, a critical access hospital, as well as nine outpatient care centers, 26 medical staff offices, and clinical care delivery locations in southeast Ohio. The system delivers services primarily in Washington County (OH) and Wood County (WV). The obligated group includes employed physicians and the foundation and accounted for substantially all of total revenues and assets of the system. Operating revenues totaled approximately $728 million in fiscal 2024. 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. MARRA AIR: Gets OK to Use Cash Collateral Until July 16 ------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Orlando Division entered a preliminary order authorizing Marra Air Conditioning Services, Inc. to use cash collateral through July 16. The order signed by Judge Lori Vaughan authorized the Debtor to use cash collateral to pay the amounts expressly authorized by the court, including payments to the U.S. trustee for quarterly fees; the expenses set forth in the budget, plus an amount not to exceed 10% for each line item; and additional amounts expressly approved in writing by secured creditor, The U.S. Small Business Administration. The Debtor projects total operational expenses of $93,478 for the period from June to August. As protection for the Debtor's use of their cash collateral, SBA and other secured creditors will be granted post-petition replacement liens with the same priority and validity as their pre-bankruptcy liens. As further protection, the Debtor was ordered to keep its property insured in accordance with the obligations under its loan agreements with secured creditors. A further preliminary hearing is scheduled for July 16. About Marra Air Conditioning Services Marra Air Conditioning Services, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-03488) on June 6, 2025, listing up to $50,000 in assets and between $100,001 and $500,000 in liabilities. Judge Lori V Vaughan oversees the case. The Debtor is represented by: Jeffrey Ainsworth, Esq. Bransonlaw PLLC Tel: 407-894-6834 Email: jeff@bransonlaw.com MARS INTERMEDIATE: S&P Lowers ICR to 'CCC+' on Thinning Liquidity ----------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on Los Angeles-based customer support and business process outsourcing provider Mars Intermediate Ltd. (dba VXI Global Solutions; VXI) by one notch to 'CCC+' from 'B-', reflecting its view that its capital structure is unsustainable. S&P also lowered its issue-level rating on the company's senior secured loans by one notch to 'CCC+'; the '3' recovery rating is unchanged. S&P said, "The negative outlook reflects that we could lower our ratings if VXI continues to burn cash, causing further liquidity deterioration, and leading us to expect a payment default or a distressed debt restructuring within the next 12 months. "VXI's operating results were weaker than we expected, which worsened credit metrics and further strained liquidity. We expect further liquidity deterioration as industry headwinds continue to suppress revenue and result in a cash burn into 2026. "We do not believe VXI's capital structure is sustainable in the long term because we do not believe it can cover its fixed charges at its current level of profitability. Over the past 12 months, the company's liquidity deteriorated by more than $20 million, leaving it in a tighter liquidity position than before with only $52.5 million of cash and $18 million available under its revolver as of March 31, 2025. We project only modest, low-single-digit percent revenue growth and contracting profit margins. Also, its debt service obligations are set to increase with a $5 million step-up to $15 million in debt amortization in 2026. We think the company has little cushion for adversities and depends on favorable business conditions to meet its high level obligations, which include debt servicing requirements, lease payments for its contact centers and office spaces, and capital expenditures. We estimate VXI will burn about $30 million after covering its fixed charges, further deteriorating its already limited liquidity. While we think its liquidity levels will be able to support anticipated burn for over a year, we expect the company could face a liquidity shortfall over the longer term absent unforeseen improvements in cash generation or additional sources of liquidity. "With continued margin pressure and delays in VXI's revenue ramp-up, we think refinancing could become increasingly challenging. For the three months ended March 31, 2025, revenue declined 1.5% year over year due to reduction in revenue from legacy clients, though partially offset by new logos and new lines of business. While the company's new logo growth and pipeline momentum have improved, its new customers' allocation of volumes to VXI have been limited, and we think anticipated growth may take time given current macroeconomic uncertainty. We also believe the growing trend of generative AI adoption and industry-wide secular threats will continue to increase competition and pricing pressure. Based on this, we revised our forecast for EBITDA margin in 2025 to 15.7%, down from 17.3%. VXI will also be approaching refinancing requirements starting in 2027, when its term loan A becomes due. Considering limited growth, pressure on profitability, and indications of weaker standing in the credit markets given low secondary debt trading levels, we think it may be difficult to refinance at par. "The negative outlook reflects the risk that we could lower our ratings if VXI continues to burn cash, causing further liquidity deterioration, leading us to expect a payment default or a distressed debt restructuring within the next 12 months." S&P could lower its ratings if it expects a payment default or a distressed debt restructuring over the next 12 months. This could occur if: -- Liquidity deteriorates such that S&P believes it will not be able to cover debt and lease obligations; or -- S&P sees growing risk regarding its ability to refinance its 2027 maturities. S&P could take a positive rating action if VXI's operating performance improves such that: -- Its liquidity cushion expands from current levels; -- It demonstrates an ability to consistently generate positive cash flow to comfortably cover debt amortization and lease requirements; and -- Prospects of its ability to refinance its 2027 maturities improve. MASS POWER: Gets Interim OK to Use Cash Collateral Until July 10 ---------------------------------------------------------------- The U.S. Bankruptcy Court for the District of Massachusetts issued a proceeding memorandum and order authorizing Mass Power Solutions, LLC to use cash collateral on an interim basis through July 10 under the same terms set forth in its May 27 interim order. A further hearing is scheduled for July 10. Lenders including Fox Funding, LLC and Elevations Capital, LLC may assert a lien on the cash collateral. The Debtor previously entered into account receivable purchase contracts with the lenders under which the lenders advanced funds against alleged purchases of future receivables. Both lenders have recorded UCC financing statements with the Massachusetts Secretary of State's office. As of the petition date, the Debtor owed $55,100 and $94,000 to Fox Funding Group and Elevation Capital, respectively. The Debtor had certain assets that may constitute cash collateral as of the petition date. The Debtor had approximately $4,000 in its bank account, which was the proceeds from an insurance refund. It appears from a review of the loan documents and financing statements that any lien of Fox Funding or Elevation Capital would not attach to the funds in the bank account under the provisions of the Uniform Commercial Code. The Debtor has no current receivables other than a disputed receivable from Sunnova of about $350,000 and it will be necessary to initiate a lawsuit to collect the amount due from Sunnova, according to court filings. About Mass Power Solutions LLC Mass Power Solutions, LLC is an electrical contracting company specializing in renewable energy solutions, including solar project design, installation, and management, serving both residential and commercial clients. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case No. 25-40234) on March 5, 2025. In the petition signed by Ryan Lane, manager, the Debtor disclosed up to $50,000 in assets and up to $10 million in liabilities. Judge Elizabeth D. Katz oversees the case. John O. Desmond, Esq., represents the Debtor as legal counsel. MAVENIR SYSTEMS: Moody's Withdraws 'Caa3' Corporate Family Rating ----------------------------------------------------------------- Moody's Ratings has withdrawn all credit ratings of Mavenir Systems, Inc. (Mavenir), including the Caa3 corporate family rating, Caa3-PD probability of default rating and Caa3 backed senior secured first lien bank credit facilities ratings. The outlook at the time of withdrawal was negative. RATINGS RATIONALE Moody's have decided to withdraw the rating(s) following a review of the issuer's request to withdraw its rating(s). Mavenir Systems, Inc. sells core network infrastructure software solutions for 4G/5G, to mobile network operators. The Company is a combination of the former mobile division of Mitel Networks Corporation and Xura, Inc., excluding Xura's enterprise messaging business. Mavenir is majority owned and controlled by the private equity firm, Siris Capital. Koch Strategic Platforms, a subsidiary of Koch Investments Group, owns a minority interest. MBIA INC: Egan-Jones Retains CCC- Senior Unsecured Ratings ---------------------------------------------------------- Egan-Jones Ratings Company on June 4, 2025, maintained its 'CCC-' foreign currency and local currency senior unsecured ratings on debt issued by MBIA Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Purchase, Harrison, New York, MBIA Inc. provides financial guarantee insurance and other forms of credit protection. MCCLAIN FAMILY: Seeks to Hire Golden Goodrich as General Counsel ---------------------------------------------------------------- McClain Family Cellars, Inc. seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Golden Goodrich LLP as general counsel. The firm will render these services: 1. advise the Debtor with respect to the requirements and provisions of the Bankruptcy Code, Subchapter V, Federal Rules of Bankruptcy Procedure, Local Bankruptcy Rules, U.S. Trustee Guidelines, and other applicable requirements which may affect the Debtor; 2. assist the Debtor in preparing and filing any amendments to the Schedules and Statement of Financial Affairs, complying with and fulfilling U.S. Trustee requirements, complying with and fulfilling subchapter V requirements, and preparing other documents as may be required after the initiation of a chapter 11 case; 3. assist the Debtor in negotiations with creditors and other parties-in-interest; 4. assist the Debtor in the preparation of a disclosure statement and formulation of a chapter 11 plan; 5. advise the Debtor concerning the rights and remedies of the estate and of the Debtor in regard to adversary proceedings which may be removed to, or initiated in, the Court, and assist the Debtor, if appropriate, in retaining special counsel to litigate such adversary proceedings; 6. prepare all motions, applications, orders, reports, and papers on behalf of the Debtor that are necessary to the administration of the Case; 7. represent the Debtor before the Court, but excluding any adversary proceeding unless the Court has approved an amended application which expands the Firm’s representation of the Debtor in that proceeding or proceedings; and 8. otherwise provide those services to the Debtor as are generally provided by general insolvency counsel to a debtor and debtor-in-possession in a chapter 11 case. The firm will undertake representation of the Debtor at hourly rates ranging from $250 to $850. The majority of the work will be performed by David M. Goodrich at $750 per hour and Sara Tidd at $625 per hour. David M. Goodrich, Esq., a partner at Golden Goodrich, disclosed in a court filing that his firm is a "disinterested person" pursuant to Section 101(14) of the Bankruptcy Code. The firm can be reached at: David M. Goodrich, Esq. Golden Goodrich, LLP 3070 Bristol Street, Suite 640 Costa Mesa, CA 92626 Telephone No: (714) 966-1000 Facsimile No: (714) 966-1002 Email: dgoodrich@go2.law About McClain Family Cellars Inc. McClain Family Cellars Inc. is a Black-owned winery based in the Santa Ynez Valley, Calif. The winery is known for producing luxury, award-winning wines and emphasizes four core pillars: Family, Friends, Faith, and Freedom, offering a range of wines from both red and white varieties. It provides experiences like private events, in-home tastings, and barrel blending. Additionally, McClain operates multiple locations, including in Laguna Beach, Irvine, Solvang, and Buellton, and offers a wine club with various membership options. It is a proud member of the African-American Vintners Association. McClain sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-10589) on March 1, 2025. In its petition, the Debtor reported between $100,000 and $500,000 in assets and between $1 million and $10 million in liabilities. Judge Theodor Albert handles the case. The Debtor is represented by Marc C. Forsythe, Esq. at Goe Forsythe & Hodges, LLP. MEYER BURGER: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Lead Debtor: Meyer Burger (Holding) Corp. 1685 S. Litchfield Road Goodyear, AZ 85338 Business Description: Meyer Burger (Holding) Corp. is a Delaware- based non-operating holding company for the U.S. operations of Meyer Burger Technology AG, a Swiss solar technology company. Through its subsidiaries -- Meyer Burger (Arizona) LLC, Meyer Burger (Americas) Ltd., and Meyer Burger (Americas) Lease Co., LLC -- the Group operates a solar module manufacturing facility in Goodyear, Arizona. The facility uses proprietary SmartWire Connection Technology to produce photovoltaic modules for the U.S. market. Chapter 11 Petition Date: June 25, 2025 Court: United States Bankruptcy Court District of Delaware Four affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Meyer Burger (Holding) Corp. (Lead Case) 25-11217 Meyer Burger (Arizona) LLC 25-11218 Meyer Burger (Americas) Ltd. 25-11219 Meyer Burger (Americas) Lease Co., LLC 25-11220 Judge: Hon. Craig T Goldblatt Debtors' Counsel: Paul N. Heath, Esq. Brendan J. Schlauch, Esq. Jason M. Madron, Esq. Zachary J. Javorsky, Esq. Nicholas A. Franchi, Esq. RICHARDS, LAYTON & FINGER, P.A. One Rodney Square 920 North King Street Wilmington, Delaware 19801 Tel: 302-651-7700 Fax: 302-651-7701 E-mail: heath@rlf.com schlauch@rlf.com madron@rlf.com javorsky@rlf.com franchi@rlf.com Debtors' Financial Restructuring Advisor: FTI MANAGEMENT, INC. Debtors' Investment Banker: JEFERRIES LLC Debtors' Claims & Noticing Agent and Administrative Advisor: KROLL RESTRUCTURING ADMINISTRATION LLC Estimated Assets (on a consolidated basis): $100 million to $500 million Estimated Liabilities (on a consolidated basis): $500 million to $1 billion Justin D. Pugh signed the petitions as chief restructuring officer. A full-text copy of the Lead Debtor's petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/QO6PNIY/Meyer_Burger_Holding_Corp__debke-25-11217__0001.0.pdf?mcid=tGE4TAMA Consolidated List of Debtors' 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Ingka Investments Prepaid $67,000,000 1155 Perimeter Center Deposit West, Atlanta, Georgia 30338, US Attn.: Christian Smith Email: christian.smith@ingka.com 2. US Customs and Border Import Duties $5,118,223 Protection 1300 Pennsylvania Avenue N.W., MS: 1345, Washington, DC 20229, US Attn.: Angela Murray Phone: 1 (877) 227-5511 Email: delinquentdebts@cbp.dhs.gov 3. Amcor Flexibles Transpac Trade $798,091 Ottergemsesteenweg ZUID 801, 9000 Gent, BE Attn.: Geert Smesman Phone: + 00 32-92408305 Email: geert.smesman@amcor.com 4. Amphenol Industrial Opera Trade $710,765 20 Valley St, Endicott, NY 13760, US Attn.: Matt Brodowski Phone: (607) 242-2498 Email: mbrodowski@amphenol-aio.com 5. Vinson & Elkins LLP Professional $534,381 845 Texas St Ste 4700, Services Houston, TX 77002, US Attn.: Michael Bielby Phone: 1 (713) 758-2222 Email: mbielby@velaw.com 6. AOK Freight LLC Trade $377,350 13851 W 63rd St # 377, Shawnee, KS 62216, US Attn.: Jeff Dangelo Phone: (513) 623-4249 Email: jeff@fura.com 7. Shinyang Metal Viet Nam Trade $300,450 Dai An Expansion IZ, Lai Cach, Hai Duong, VN Attn.: MinSoo, Chun / President Phone: + 84 (934) 326-400; + 84 (220) 3559-858 Email: mschun@shin-yang.com 8. Dow Silicones Corporation Trade $215,316 2200 West Salzburg Road, Midland, MI 48686, US Attn.: Dallas Longstreth Phone: (989) 636-0260 Email: dlongstreth@dow.com 9. Mrkt Logistics LLC Trade $205,542 310 South 67th Ave, Phoenix, AZ 85043, US Attn.: Thomas Clayton Phone: (844) 966-6758 Email: tj.clayton@mrktfreight.com; Accountpayable@mrktfreight.com 10. Homewood Suites Trade $196,435 11450 W Hilton Way, Avondale, AZ 85323, US Attn.: Jason Rutherford Phone: (623) 882.3315 Email: jason.rutherford@hilton.com 11. Pallet Management Solutions Trade $142,218 17932 W San Miguel Ave, Litchfield Park, AZ 85340, US Attn.: Christopher Raya Phone: (602) 618-9400; (480) 604-6373 Email: chris@pmspallets.com 12. FMT Flexible Montagetechn Trade $142,123 An der Hopfendarre 11, 09212 Limbach-Oberfrohna Attn.: Rita Schafer-Gieselmann Phone: 07151/3005-146 Email: r.gieselmann@urt-utz.de 13. Schrader Mechanical Inc. Interest/ $137,975 1015 Black Diamond Late Fees Way, Lodi, CA 95240, US Attn.: Desiree Nicol Phone: (209) 369-6888 Email: Desiree.N@smiwest.com 14. Protecpac Trade $135,709 5320 W Buckeye Rd, Phoenix, AZ 85043, US Attn.: Evelin Bujanda-Acosta Phone: (602) 269-5000 Email: Evelin.Bujanda@protecpac.com 15. Commerzbank AG Trade $131,890 Theodor-Heuss-Allee 50, Frankfurt am Main, DE Attn.: Andreas Kappenberg Phone: +49 40 3683 2471 Email: Andreas.Kappenberg@commerzbank.com; FKS-Dresden@commerzbank.com 16. Pasan SA Insurance $100,231 Rue Jaquet-Droz 8, 2000 Claim Neuchatel CH Phone: +41 32 391 16 00 Email: info@pasan.ch 17. Synergy West LLC Trade $81,438 4020 S 15th Ave, Phoenix, AZ 85041, US Attn.: Angela Pinto Phone: (978) 501-2377 Email: Angela@synergywastegroup.com; accounting@synergywastegroup.com 18. Mondragon Assembly Trade $81,259 Pol.Ind. Bainetxe Pab 5A, 20550 ARETXABALETA (Gipuzkoa), ES Attn.: Oscar Macias Phone: +34 647 42 04 33 Email: o.macias@mondragon-assembly.co 19. PriceWaterhouseCoppers LLP Professional $79,635 Birchstrasse 160 Services 8050 Zurich, CH Attn.: Simon Hux Phone: + 41 58 792 6876 Email: simon.hux@pwc.ch 20. Hisco Inc Trade $69,563 6650 Concord Park Dr, Houston, TX 77040, US Attn.: Ranjith Raja Phone: (713) 934-1600; (480) 330-7294 Email: ranjith.raja@testequity.onmicrosoft.com; acctr@hiscoinc.com MEYER BURGER: Gets OK to Access $10MM DIP to Finance Chap. 11 Sale ------------------------------------------------------------------ Clara Geoghegan of Law360 Bankruptcy Authority reports that on Thursday, June 26, 2025, a Delaware bankruptcy judge granted interim approval for a $10 million debtor-in-possession loan to the U.S. unit of Swiss solar panel maker Meyer Burger, as the company moves to sell two manufacturing facilities under Chapter 11. About Meyer Burger (Holding) Corp. Meyer Burger (Holding) Corp. is a manufacturer of solar photovoltaic equipment and systems. Meyer Burger (Holding) Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-11217) on June 25, 2025. In its petition, the Debtor reports estimated assets between $100 million and $500 million, and liabilities between $500 million and $1 billion. Honorable Bankruptcy Judge Craig T. Goldblatt handles the case. The Debtor is represented by Zachary Javorsky, Esq., Paul Noble Heath, Esq., Brendan Joseph Schlauch, Esq.,Nicholas Franchi, Esq., and Jason M. Madron, Esq. at Richards, Layton & Finger, P.A. MEYER BURGER: U.S. Units File for Chapter 11 to Find Buyer ---------------------------------------------------------- U.S. units of The Meyer Burger group have sought Chapter 11 protection after parent Meyer Burger Technology AG (SWX: MBTN) and its German affiliates were forced into formal insolvency proceedings in Switzerland and Germany. Switzerland-based Meyer Burger has been at the forefront of solar technology for more than 25 years, and the Meyer Burger brand has long been a household name for excellence in the solar industry. But in the past few years, Meyer Burger Technology AG (SWX: MBTN) ("MBT AG") has faced a confluence of financial and operational setbacks due to, among other things, the inundation of the global market with low-priced Chinese products and debilitating trade restrictions. This product oversupply paired with trade restrictions led to market distortion within the global solar industry, and these pains were especially felt by Meyer Burger in Europe. In light of these macro-economic headwinds, MBT AG decided to expand the business outside of Europe and enter into the solar market in the U.S. The strategic plan was to grow the global business by manufacturing and offering for sale a truly "Made in America" product that would be sold worldwide. To advance their U.S. expansion, the U.S. units leased a state-of-the-art manufacturing facility and a warehouse in Goodyear, Arizona. The 276,000-square-foot manufacturing plant (and a nearby 218,451-square-foot warehouse), was expected to produce 150 to 200 megawatts of solar modules in 2024, 1.8 gigawatts in 2025, and 2.1 gigawatts thereafter. At full capacity, the AZ module production facility would have manufactured 10,000 solar modules daily and employed 600 individuals. The Debtors estimated that up to $1.295 billion in lucrative tax credits would be generated between 2024 and 2030 under the Advanced Manufacturing Production Credit in IRC Section 45X under the Inflation Reduction Act of 2022. However, the Company was unable to secure adequate financing to complete construction of its facilities in Arizona and a second facility in Colorado Springs, Colorado. Because maximum production was never achieved, the Debtors were unable to monetize the estimated level of the available tax credits. In addition, on May 22, 2025, the United States House of Representatives passed its version of the budget reconciliation bill known as H.R. 1 (the "OBBA"), which contains proposed revisions that would phase out or eliminate the Section 45X Credits. Strategic Alternatives CRO Justin D. Pugh explained in U.S. court filings that as a result of the economic pressures facing the Meyer Burger Group, in August 2024, the Meyer Burger Group began exploring strategic alternatives to preserve liquidity and maintain operations. The Debtors were in talks with an ad hoc group of certain of the holders of EUR 361 million of publicly traded bonds issued by MBT Systems GmbH, a subsidiary of MBT AG, and the Debtors' largest customer, DESRI. In November, the Meyer Burger Group secured a bridge loan facility from AHG that provided the company funding while it pursues a global recapitalization transaction. The Debtors assumed that they could stabilize U.S. operations and successfully pursue an overall recapitalization transaction through a deal with DESRI but a comprehensive deal with DESRI was not be achieved. The Meyer Group explored the possibility of a sale of the global enterprise or parts of the global enterprise. Meyer Burger were engaged in negotiations with various potential bidders, and Meyer was approached by a U.S. investor purportedly backed by a major financial institution to purchase substantially all the assets of the Meyer Burger Group. But no binding offer was made. In April 2025, the Meyer Burger Group believed that it had reached substantial agreement on the terms of a deal under which MBG AT would be recapitalized with, among other things, a substantial investment by a third-party investor, but at the end of April, the third-party investor decided not to proceed with the transaction. The Meyer Burger Group entities' operations then began to aggressively break down, and the Meyer Burger Group entities sought to "mothball" operations. Partly as a result of the requirements of German law, the AHG was unable to continue funding MBG and MBI. As a result, on May 30, 2025, MBT AG filed for a debt restructuring moratorium in Switzerland. Shortly thereafter, Meyer Burger (Germany) GmbH ("MBG") and Meyer Burger (Industries) GmbH ("MBI") filed for insolvency proceedings in Germany, with a preliminary insolvency administrator having been appointed for each company. The European restructuring proceedings further complicated Meyer Burger's U.S. plans. At the beginning of May 2025, the Debtors employed more than 400 employees at the AZ Module Production Facility. German law restrictions on the ability to advance funds to the Debtors' German affiliates, one of which (MBI) was the sole supplier of the Debtors' solar cells, ultimately led to MBI and MBG commencing preliminary liquidation proceedings in Germany led to the Debtors having to make the difficult decision to lay off their entire workforce and cease all production at the AZ Module Production Facility by no later than May 31, 2025. Following this layoff, certain of the Debtors' former employees filed a class-action lawsuit styled, Gilbert v. Meyer Burger (Americas) Ltd., No. 2:25-cv-01898-PHX-SPL (D. Ariz) (the "WARN Litigation"), alleging that the company violated the Worker Adjustment Retraining and Notification Act by failing to (i) give them a 60-day advance written notice and (ii) pay them 60 days of backpay and benefits. The WARN Litigation remains pending. Sale of U.S. Units Meyer Burger (Holding) Corp. and its U.S. affiliates have filed Chapter 11 cases to maximize value for the benefit of all their stakeholders through a sale of all or substantially all of their assets pursuant to a sale process under Section 363 of the Bankruptcy Code. Given their extensive prepetition marking efforts, the Debtors expect to establish a quick sale process timeline, but one that still provides sufficient runway to conduct a comprehensive in-court marketing process. The Debtors engaged FTI Consulting Inc., effective June 13, 2025, to provide turnaround management and contingency-planning advisory services, and FTI senior managing director Justin D. Pugh was appointed CRO of the Debtors, effective June 13, 2025. Further, certain of the Debtors have appointed Alex Zyngier and Richard Miller as independent directors to oversee the Chapter 11 Cases. The Debtors enter Chapter 11 with $435,000 in cash on hand to fund the Chapter 11 cases and the proposed sale process. The Debtors have entered into consulting agreements with certain key former employees. The Debtors believe that the consultants, who possess key information and know-how about the Debtors and their assets, will help maximize value in the Debtors' proposed section 363 sale process. The Debtors have $89.06 million outstanding under the secured bridge loans as of the Petition Date. In addition, the total amount of intercompany loans from MBT AG outstanding was $370 million. Moreover, as of the Petition Date, the Debtor's estimated outstanding trade payables and other unsecured debt are $100 million. About Meyer Burger U.S. Meyer Burger (Holding) Corp. is a Delaware-based non-operating holding company for the U.S. operations of Meyer Burger Technology AG, a Swiss solar technology company. Through its subsidiaries -- Meyer Burger (Arizona) LLC, Meyer Burger (Americas) Ltd., and Meyer Burger (Americas) Lease Co., LLC -- the Group operates a solar module manufacturing facility in Goodyear, Arizona. The facility uses proprietary SmartWire Connection Technology to produce photovoltaic modules for the U.S. market. On May 30, 2025, MBT AG filed for a debt restructuring moratorium in Switzerland. Shortly thereafter, Meyer Burger (Germany) GmbH ("MBG") and Meyer Burger (Industries) GmbH ("MBI") filed for insolvency proceedings in Germany. Meyer Burger (Holding) Corp. and three U.S. subsidiaries sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 25-11217) on June 25, 2025. The Hon. Craig T Goldblatt is the U.S. case judge. The U.S. Debtors estimated $100 million to $500 million in assets against $500 million to $1 billion in liabilities. The Debtors tapped RICHARDS, LAYTON & FINGER, P.A., as counsel, FTI CONSULTING, INC., as financial restructuring advisor, and JEFFERIES LLC as investment banker. KROLL RESTRUCTURING ADMINISTRATION LLC is the claims agent. MICHAEL S. BUTLER: Secured Party to Hold Public Auction on July 9 ----------------------------------------------------------------- St. Cloud Capital Partners III SBIC LP ("Secured Party") intends to offer for sale, at public auction, all right, title and interest of Michael S. Butler, Michael S. Butler Beneficiary Grantor Trust dated March 31, 2015, and Michael S. Butler Power of Appointment Trust Under Article III of the Michael S. Butler Beneficiary Grantor Trust dated March 31, 2015 ("Debtor") in, under, and to all right title and interest of the Debtors in and to (a) all capital stock and other equity interest in Life Spine Inc. ("company") representing approximately 50.7% of the common stock equity interest of the Company, and (b) certain related rights and property relating thereto ("collateral"). The public auction will be conducted on July 9, 2025, at 10:00 a.m. PT, at the offices of the secured party, 10866 Wilshire Boulevard, Suite 1450, Los Angeles, California 90024, and by remote auction via telephonic and/or web-based video conferencing. Parties interested in entering a bid must contact Cordell Gee, at 310 475 2700 ext. 108, to receive terms of sale, bidding procedures, and other information, which will be available after execution of confidentiality agreement. MID-COLORADO INVESTMENT: Taps MacDougall & Woldridge as Counsel --------------------------------------------------------------- Mid-Colorado Investment Company, Inc. seeks approval from the U.S. Bankruptcy Court for the District of Colorado to employ MacDougall & Woldridge, P.C. as special counsel. The firm will assist the Debtor in its intention to sell, or implement a process to sell, the business, which includes water rights and other water-related matters to the business. The attorney who will work on this case is primarily Julianne Woldridge, whose hourly billing rate is $405. As disclosed in the court filings, MacDougall & Woldridge, P.C. does not hold or represent any interest adverse to the Debtor's estate or any other party in interest. The firm can be reached through: Julianne Woldridge, Esq. MacDougall & Woldridge, P.C. 70 Morning Sun Dr., Ste. A P.O. Box 7273 Colorado Springs, CO 80863 Tel: (719) 358-8643 About Mid-Colorado Investment Company, Inc. Mid-Colorado Investment Company provides bulk water services to a community in El Paso County and operates a small cattle ranch. Mid-Colorado Investment Company filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Colo. Case No. 25-11742) on March 31, 2025, listing up to $10 million in assets and up to $50,000 in liabilities. Charles A. Hagedorn, president and treasurer of Mid-Colorado Investment Company, signed the petition. Judge Joseph G. Rosania, Jr. oversees the case. The Debtor tapped Daniel J. Garfield, Esq., at Fairfield and Woods, PC as bankruptcy counsel and Hackstaff Snow Atkinson & Griess, LLC as special counsel. MILWAUKEE FORGE: Faces Closure, Mass Layoffs -------------------------------------------- Nick Rommel of Wisconsin Public Radio reports that Milwaukee Forge, a long-standing metal manufacturer on the city's south side, is facing possible closure this August following an unsuccessful attempt to sell the business during its court-ordered receivership. The company, in operation since 1913 and at its Bay View location since 1918, has been under receivership since late March due to its debts exceeding its assets, according to the Milwaukee Journal Sentinel. Court-appointed receiver Michael Polsky, who has overseen more than 300 financially distressed companies, reported this week that efforts to sell the company's assets have not succeeded. "Unfortunately, the Receiver has been unable to sell Milwaukee Forge's assets," Polsky wrote in a notice of potential layoffs filed with the state. "Therefore, a mass layoff or plant closing will follow." If no buyer emerges, layoffs are expected to begin on August 18, 2025. Milwaukee Forge currently employs 67 workers, including machinists, laborers, engineers, supervisors, and office staff. A June 16, 2025 auction drew no successful bids. While Polsky said sale efforts will continue, the layoff notice was filed in case those efforts ultimately fail, the report states. Employees are represented by the United Steelworkers and the International Association of Machinists and Aerospace Workers, according to report. "We regret having to make the decision," Polsky wrote in the notice. "But due to current industry conditions, we have no other choice. We thank all employees for their dedication." Milwaukee Forge will remain in operation during the ongoing attempt to find a buyer, the report relays. About Milwaukee Forge Milwaukee Forge provides forging and heat-treating services for the agriculture, off-highway, construction and mining industries. MIMOSAS A CALI: Gets Interim OK to Use Cash Collateral ------------------------------------------------------ Mimosas A Cali Life LLC got the green light from the U.S. Bankruptcy Court for the Central District of California, Los Angeles Division, to use cash collateral. The court's order authorized the Debtor's interim use of cash collateral to pay its expenses pending a further hearing set for July 8. The Debtor's cash collateral includes cash received from food and beverage sales held by Toast Downey or the Debtor, and personal property. Secured creditors that may assert interest in the cash collateral include Employment Development Department, NewCo Capital Group LLC, Restaurant Refrigeration Rentals, and U.S. Foods, Inc. These creditors will be granted replacement liens, with the same validity, priority and amount as their pre-bankruptcy liens. About Mimosas A Cali Life LLC Mimosas A Cali Life LLC, d/b/a Mimosas and Story Anaheim, operates bar and restaurant venues under the names Mimosas and Story Anaheim. The establishments offer a variety of food and beverage services, including brunch, lunch, dinner, and cocktails, with a focus on spirits, wine, and beer. They are based in California and cater to weekday and weekend dining experiences. Mimosas A Cali Life LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-14956) on June 12, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Vincent P. Zurzolo handles the case. The Debtors are represented by David Goodrich, Esq. at GOLDEN GOODRICH LLP. MIRACLE RESTAURANT: Court Denies Bid to Use Cash Collateral ----------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Louisiana issued an order denying Miracle Restaurant Group, LLC's motion to use cash collateral as moot. The court denied the motion after the Debtor's confirmed Subchapter V plan of reorganization took effect on June 11. About Miracle Restaurant Group Miracle Restaurant Group, LLC owns and operates a fast-food restaurant in Covington, La. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. La. Case No. 24-11158) on June 20, 2024, with $1 million to $10 million in both assets and liabilities. Dwayne Murray, Esq., at Murray & Murray, LLC, serves as Subchapter V trustee. Judge Meredith S. Grabill presides over the case. The Debtor is represented by Douglas S. Draper, Esq., and Michael E. Landis, Esq., at Heller, Draper & Horn, LLC. First Franchise Capital Corp., as secured creditor, is represented by: Jeffrey M. Hendricks, Esq. Bricker Graydon, LLP 312 Walnut Street, Suite 1800 Cincinnati, OH 45202 Telephone:(513) 629-2786 Facsimile: (513) 651-3836 Email: jhendricks@brickergraydon.com MOFUS DOMUS: Case Summary & Three Unsecured Creditors ----------------------------------------------------- Debtor: Mofus Domus, LLC 6464 SW Borland Rd #C3 Tualatin, OR 97062 Business Description: Mofus Domus, LLC is a single-asset real estate debtor, as defined in 11 U.S.C. Section 101(51B). Chapter 11 Petition Date: June 25, 2025 Court: United States Bankruptcy Court District of Oregon Case No.: 25-32147 Judge: Hon. Peter C McKittrick Debtor's Counsel: Keith Y. Boyd, Esq. KEITH Y BOYD, PC 724 S Central Ave 106 Medford, OR 97501 Tel: (541) 973-2422 E-mail: keith@boydlegal.net Estimated Assets: $500,000 to $1 million Estimated Liabilities: $1 million to $10 million The petition was signed by Rob Miracle as practice manager. A full-text copy of the petition, which includes a list of the Debtor's three unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/BCI3AKA/Mofus_Domus_LLC__orbke-25-32147__0001.0.pdf?mcid=tGE4TAMA MORVATT ENTERPRISES: Trustee Seeks to Taps Title Examiner --------------------------------------------------------- Matthew J. Golden, the Trustee for Morvatt Enterprises, LLC, seeks approval from the U.S. Bankruptcy Court for the Western District of Kentucky to employ The Law Offices of Tyler F. Stebbins, PLLC as title examiner and special counsel. The firm will examine the titles of the following properties, to search the property records for additional properties, and examine the public record for transfers occurring within two years of the date of the Petition: -- 1842 KY 56S Beech Grove KY includes dwelling, 6 poultry houses and equipment within houses on 16.8 acres (Map No. 10-41-B); -- 2500 Ky 56N, including dwelling, 8 poultry houses and equipment and litter barn on 36.8 ac (Map 10-43); -- 1061 Collins Rd Sebree KY 8 poultry houses, with equipment, on 40.326 ac (Map No. 085-011-001) (1,100,000) and 1097 Collins Rd including dwelling, 8 poultry houses (Map 085-011-002 (1,100,000); -- 53 Honeysuckle Ln, Sebree KY with 8 chicken houses, with equipment, on 13.181 ac (Map 096-017-000); 70 Honeysuckle Ln including dwelling and 6.477 acres (Map 096-017-003); 4.48 ac on Honeysuckle Ln (Map 096-016-002); -- 1714 Wrightsburg Rd, Sebree KY, 4 poultry houses, with equipment, on 14.0 acres (Map 096-017-006); -- 1866 Gravel Pit Rd incl 8 chicken houses, with equipment, on 21.51 ac (Map 096-016-003); -- 377 Davis Rd with residence, garage, on .0779 acres Map No. 093-012-002. The firm will be paid at the rate of $250 per hour. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. In addition, the firm will seek reimbursement for its out-of-pocket expenses. Mr. Stebbins disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Tyler F. Stebbins, Esq. The Law Offices of Tyler F. Stebbins, PLLC 8921 Stone Green Way Louisville, MI 40220 Tel: (502) 315-1515 About Morvatt Enterprises, LLC Morvatt Enterprises, LLC, a company in Henderson, Ky., filed a Chapter 11 petition (Bankr. W.D. Ky. Case No. 23-40488) on Aug. 22, 2023, with up to $50,000 in assets and $1 million to $10 million in liabilities. Charles H. Morris, Jr., owner and sole member, signed the petition. Judge Charles R. Merrill oversees the case. Sandra D. Freeburger, Esq., at Deitz Shields & Freeburger, LLP, is the Debtor's legal counsel. MOSAIC SUSTAINABLE: U.S. Trustee Appoints Creditors' Committee -------------------------------------------------------------- The U.S. Trustee for Region 7 appointed an official committee to represent unsecured creditors in the Chapter 11 cases of Mosaic Sustainable Finance Corporation and its affiliates. The committee members are: 1. Intive GmbH Franz-Mayer Str. 5 93053 Regensburg, Germany Representative: Robert Price Robert.Price@intive.com 2. Encora Digital LLC 4988 Great American Parkway Santa Clara, CA 95054 Representative: Adam B. Crickman Adam.crickman@encora.com 480-433-2504 3. Omnidian, Inc. 301 Union Street #21647 Seattle, WA 98111 Representative: Mark Liffmann legal@omnidian.com 4. Gretchen Wallace c/o Amy Judkins 3165 Mcrory Pl, Ste 175 Orlando, FL 32803 Representative: Gretchen Wallace gw71181@gmail.com 407-603-6031 5. Michael Robertson c/o Kristi Kelly 3925 Chain Bridge Rd. Suite 202 Fairfax, VA 22030 Representative: Michael Robertson Mdarrellrobertson5@gmail.com 703-424-7572 6. Faviola Vasquez c/o Adam McNeile 1120 Mar West St., Ste C2 Tiburon, CA 94920 Representative: Faviola Vasquez Faviola311@gmail.com 415-632-1979 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 Mosaic Sustainable Finance Corp. Mosaic Sustainable Finance Corp. and four affiliates filed Chapter 11 petition (Bankr. S.D. Texas Lead Case No. 25-bk-90156) on June 6, 2025. The affiliates are Solar Mosaic LLC, Modern Home LLC, Mosaic Funding Holdings LLC, and SMCTX LLC. At the time of the filing, Mosaic Sustainable Finance listed between $1 billion and $10 billion in assets and liabilities. Judge Christopher M. Lopez oversees the cases. The Debtor is represented by: Charles Persons, Esq. Paul Hastings LLP 609 Main Street, Suite 2500 Houston, TX 77002 Phone: (713) 860-7300 charlespersons@paulhastings.com NAOTA HASHIMOTO: Hires HomeSmart Encore Las Vegas as Realtor ------------------------------------------------------------ Naota Hashimoto, LLC seeks approval from the U.S. Bankruptcy Court for the District of Nevada to employ HomeSmart Encore Las Vegas as realtor. The realtor will market and sell the Debtor's property located at 395 East Wingwam Avenue, Las Vegas Nevada 89123. The agent is seeking a five percent commission. HomeSmart Encore Las Vegas is a "disinterested person" within the meaning of 11 U.S.C. 101(14), according to court filings. The firm can be reached through: Robert J. Sluys HomeSmart Encore Las Vegas 2470 Saint Rose Pkwy Ste 206 Henderson, NV 89074 Tel: (702) 579-3300 About Naota Hashimoto Naota Hashimoto LLC is a single-asset real estate debtor, as defined in 11 U.S.C. Section 101(51B). It holds an equitable interest in the property at 395 E. Wigwam Ave., valued at $1.54 million. Naota Hashimoto LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Nev. Case No. 25-11511) on March 1, 2025. In its petition, the Debtor reports total assets of $1,535,000 and total liabilities of $1,212,533. David J. Winterton & Assoc., Ltd. serves as the Debtor's counsel. NATIONAL FOOD: Seeks Cash Collateral Access ------------------------------------------- National Food & Beverage Foundation asked the U.S. Bankruptcy Court for the Eastern District of Louisiana for authority to use cash collateral and provide adequate protection to secured creditor, Northeast Bank. The Debtor filed for bankruptcy following a foreclosure action initiated by Northeast Bank, the current holder of a $3.5 million loan originally issued by First NBC Bank (now defunct) and secured by the museum building and rental income. The property was transferred to the Debtor in 2023 to preserve its nonprofit purpose. The Debtor sought approval to use cash collateral to continue operations, pay necessary operating expenses, and cover fees for professionals, as detailed in a budget supported by the affidavit of its executive director. Its income includes donations, grants, event charges, and limited tenant rent, which may be subject to Northeast Bank's lien. As adequate protection, the Debtor proposed to pay $7,500 per month starting in September and grant a replacement lien on post-petition assets. The Debtor argued this, along with the property's $1.85 million appraisal and the equity cushion from the bank's discounted loan acquisition, adequately protects the creditor's interest. A court hearing is scheduled for July 2. About National Food & Beverage Foundation National Food & Beverage Foundation, doing business as Southern Food and Beverage Museum, based in New Orleans, is a nonprofit organization focused on the study and celebration of food, drink, and related cultural traditions in America and globally. Its Southern Food and Beverage Museum houses multiple entities, including the Museum of the American Cocktail, SoFAB Research Center, and Deelightful Roux School of Cooking, among others, and serves as a versatile event venue. National Food & Beverage Foundation sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. La. Case No. 25-10974) on May 14, 2025. In its petition, the Debtor reported estimated assets and liabilities between $1 million and $10 million each. Judge Meredith S. Grabill handles the case. The Debtor is represented by Leo D. Congeni, Esq., at Congeni Law Firm, LLC. Northeast Bank, as secured creditor, is represented by: J. David Forsynth, Esq. Sessions, Fishman & Nathan, L.L.C. 400 Poydras Street, Suite 2550 New Orleans, LA 70130 Tel: (504) 582-1521 Fax: (504) 582-1555 dforsyth@sessions-law.com NATURAL STATE: Case Summary & 12 Unsecured Creditors ---------------------------------------------------- Debtor: Natural State Contractors Inc. 840 Fleetwood Hot Springs National, AR 71913 Business Description: Natural State Contractors Inc. is a construction firm based in Hot Springs National Park, Arkansas. The Company specialized in residential remodeling projects, including kitchen and bathroom renovations, custom home building, and countertop installations. Chapter 11 Petition Date: June 25, 2025 Court: United States Bankruptcy Court Western District of Arkansas Case No.: 25-71062 Judge: Hon. Richard D Taylor Debtor's Counsel: Marc Honey, Esq. HONEY LAW FIRM, P.A. PO Box 1254 1311 Central Avenue Hot Springs, AR 71902 Tel: (501) 321-1007 Fax: (877) 697-1777 E-mail: mhoney@honeylawfirm.com Total Assets: $839,049 Total Liabilities: $1,839,890 The petition was signed by Jason Taylor as president. A full-text copy of the petition, which includes a list of the Debtor's 12 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/HOKHGYI/NATURAL_STATE_CONTRACTORS_INC__arwbke-25-71062__0001.0.pdf?mcid=tGE4TAMA NBA PROPERTIES: Hires Ure Law Firm as Bankruptcy Counsel -------------------------------------------------------- NBA Properties Inc. seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ Ure Law Firm as counsel. The firm will render these services: (a) advise the Debtor regarding matters of bankruptcy law and concerning the requirement of the Bankruptcy Code and Bankruptcy Rules relating to the administration of this case and the operation of its estate; (b) represent the Debtor in proceedings and hearings in court involving matters of bankruptcy law; (c) assist in compliance with the requirements of the Office of the United States Trustee; (d) advise and assist the Debtor with respect to its powers and duties in the continued operation of its business and management of the estate's property; (e) assist the Debtor in the administration of the estate's assets and liabilities; (f) prepare necessary legal documents on behalf of the Debtor; (g) assist in the collection of all accounts receivable and other claims that the Debtor may have and resolve claims against its estate; (h) provide advice, as counsel, concerning the claims of secured and unsecured creditors, prosecution and/or defense of all actions; and (l) prepare, negotiate, prosecute, and attain confirmation of a plan of reorganization. The firm will be paid as follows: Thomas B. Ure, Attorney $495 per hour Associates $295 per hour Paralegals $195 per hour Law Clerks $95 per hour ` In addition, the firm will seek reimbursement for expenses incurred. The Debtor agreed to pay the firm $11,750 as an initial deposit for fees and expenses. Mr. Ure disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Thomas B. Ure, Esq. Ure Law Firm 8280 Florence Avenue, Suite 200 Downey, CA 90240 Tel: (213) 202-6070 Fax: (213) 202-6075 Email: tom@urelawfirm.com About NBA Properties Inc. NBA Properties Inc. owns three assets in California -- Pasadena, Sierra Madre, and Victorville -- including 9.7 acres of vacant land subdivided into 37 lots. The portfolio is collectively valued at $7.25 million. NBA Properties Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-14395) on May 27, 2025. In its petition, the Debtor reports total assets of $7,283,500 and total liabilities of $6,762,891. Honorable Bankruptcy Judge Sheri Bluebond handles the case. The Debtors are represented by Thomas B. Ure, Esq. at URE LAW FIRM. NETCAPITAL INC: Issues Options, Forms Crypto and Gaming Boards -------------------------------------------------------------- Netcapital Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that it issued non-qualified stock options under the Netcapital 2023 Omnibus Equity Incentive Plan, as amended to officers and advisors, all of whom are accredited investors as defined under Rule 501 of Regulation D of the Securities Act of 1933, as amended. On June 9, 2025, the Company granted stock options under the Plan to Martin Kay, Chief Executive Officer, and Coreen Kraysler, Chief Financial Officer, as follows: * Martin Kay: 55,000 options * Coreen Kraysler: 55,000 options These options were issued under the terms of a stock option agreement and are immediately exercisable, fully vested, have a four-year term, and have an exercise price of $2.68 per share, which is equal to the fair market value of the Company's common stock on the grant date. The options were structured to qualify as incentive stock options to the extent permitted under Section 422 of the Internal Revenue Code. However, because the aggregate grant-date fair value of the options, as calculated under the Black-Scholes option pricing model, exceeds $100,000, the excess portion will be treated as non-qualified stock options in accordance with applicable tax rules. On June 6, 2025, the Board approved an amendment to the Plan, subject to stockholder approval, to: * Increase the number of shares authorized for issuance under the Plan by 1,300,000 shares, from 247,556 to a total of 1,547,556 shares, and * Increase the evergreen limit from 5% to 10% of the Company's outstanding shares, to allow for greater flexibility in future equity awards. The Company also granted additional non-qualified stock options under the Plan, as amended, to Mr. Kay and Ms. Kraysler, subject to stockholder approval, as follows: * Martin Kay: 100,000 options * Coreen Kraysler: 100,000 options These options were issued pursuant to a form of stock option agreement entered into between the Company and optionee and such options are fully vested and have a four-year term and an exercise price of $2.68 per share, but such options are not exercisable unless and until the Amendment is approved by the Company's stockholders. The aggregate grant-date fair value of the option awards to Mr. Kay and Ms. Kraysler, as calculated under the Black-Scholes option pricing model, is $822,900. Furthermore, on June 6, 2025, the Board of Directors of the Company approved the formation of two strategic advisory boards: the Crypto Advisory Board and the Game Advisory Board, and appointed the following members to each: Crypto Advisory Board: * Matt Morgan * Noah Holmes * Eric Galen * Josh Meier * Kyle Klemmer * Armando Soto "The integration of blockchain, digital assets, and crypto with traditional finance presents an exciting opportunity for Netcapital to lead in shaping the future of capital formation," said Martin Kay, CEO of Netcapital Inc. "We are excited to welcome Matt and the entire Crypto Advisory Board to the team as we pursue innovation at the intersection of fintech and decentralized finance." In connection with their appointments, the Company has granted each Crypto Advisory Board member stock options under its 2023 Equity Incentive Plan. Game Advisory Board: * Greg Engelsbe * Trey Smith * Jared Peterson * Peter Voogd * Nik Rudenko * Nadeem Dossa "Netcapital's platform is well positioned to resonate with the online game community, which shares our focus on innovation, engagement, and community-driven progress," said Martin Kay, CEO of Netcapital Inc. "We're honored to welcome this group of advisors as we expand our relationship with a dynamic digital ecosystem." In connection with their appointments, the Company has granted each Game Advisory Board member stock options under its 2023 Equity Incentive Plan. Each advisor is an accredited investor as defined under Rule 501(a) of Regulation D. The Company entered into advisory agreements with each member of the Crypto and Game Advisory Boards. Under these advisory agreements, each advisor will provide the Company with sector-specific strategic guidance, marketing insight, partnership referrals, and other advisory services relevant to their industry expertise. The initial term of each advisory agreement is eighteen months and may be extended by mutual agreement of the parties. In consideration of the services rendered under these advisory agreements, the Company agreed to issue a total of 783,722 non-qualified stock options to the advisors of the Crypto and Game Advisory Boards under the Plan as amended by the Amendment. In addition, the Company granted 80,000 nonqualified stock options to one employee of the Company. These stock options were granted and issued pursuant to a form of stock option agreement between the Company and each optionee. These option have the following terms: * Fully vested as of the grant date (June 6, 2025) * Not exercisable unless and until stockholders approve the amendment to the Plan * Have a four-year term from the date of grant * Have an exercise price of $2.68 per share, equal to the fair market value on the date of grant The aggregate grant-date fair value of the 863,722 granted options, which are subject to shareholder approval, calculated under the Black-Scholes option pricing model, is $2,293,000. About Netcapital Inc. Headquartered in Boston, Mass., Netcapital Inc. -- www.netcapital.com -- is a fintech company with a scalable technology platform that allows private companies to raise capital online and provides private equity investment opportunities to investors. The Company's consulting group, Netcapital Advisors, provides marketing and strategic advice and takes equity positions in select companies. The Company's funding portal, Netcapital Funding Portal, Inc. is registered with the U.S. Securities & Exchange Commission (SEC) and is a member of the Financial Industry Regulatory Authority (FINRA), a registered national securities association. Spokane, Washington-based Fruci & Associates II, PLLC, the Company's auditor since 2017, issued a "going concern" qualification in its report dated July 29, 2024, citing that the Company has negative working capital, net operating losses, and negative cash flows from operations. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern. As of January 31, 2025, the Company had $39,900,677 in total assets, $4,930,412 in total liabilities, and total stockholders' equity of $34,970,265. NETCAPITAL INC: Raises $475K via Private Placement -------------------------------------------------- Netcapital Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company entered into subscription agreements with 10 accredited investors to issue an aggregate of 118,750 shares of common stock at a purchase price of $4.00 per share in a private placement, for gross proceeds of $475,000. The Company has agreed to file a registration statement on providing for the resale of the Shares within 60 calendar days of the initial closing of the private placement and to use reasonable best efforts to cause the Resale Registration Statement to be declared effective by the SEC within 90 calendar days following the final closing of the private placement date of the Filing Date. Until the shares are sold in accordance with applicable law, the Subscriber agrees to vote the shares in favor of all resolutions recommended by the Company's Board of Directors, and to deliver any proxy or voting instruction required by the Company to effectuate this obligation. The Subscription Agreements include a price adjustment provision whereby if the Company issues additional shares at a price lower than the Purchase Price during the period beginning on the date of the Subscription Agreements and prior to the date that is 6-months following the Filing Date, investors will receive additional shares to reflect the lower price, subject to the minimum price as defined under Nasdaq Rule 5635(d) on the date the Subscription Agreements were signed, which was $2.56. The Company intends to use the net proceeds from the offering for general corporate purposes. About Netcapital Inc. Headquartered in Boston, Mass., Netcapital Inc. -- www.netcapital.com -- is a fintech company with a scalable technology platform that allows private companies to raise capital online and provides private equity investment opportunities to investors. The Company's consulting group, Netcapital Advisors, provides marketing and strategic advice and takes equity positions in select companies. The Company's funding portal, Netcapital Funding Portal, Inc. is registered with the U.S. Securities & Exchange Commission (SEC) and is a member of the Financial Industry Regulatory Authority (FINRA), a registered national securities association. Spokane, Washington-based Fruci & Associates II, PLLC, the Company's auditor since 2017, issued a "going concern" qualification in its report dated July 29, 2024, citing that the Company has negative working capital, net operating losses, and negative cash flows from operations. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern. As of January 31, 2025, the Company had $39,900,677 in total assets, $4,930,412 in total liabilities, and total stockholders'equity of $34,970,265. NEW EARTH: Gets Interim OK to Use Cash Collateral ------------------------------------------------- New Earth Yoga, LLC got the green light from the U.S. Bankruptcy Court for the Middle District of Florida, Orlando Division, to use cash collateral. At the hearing held on June 24, the court granted the Debtor's motion to use cash collateral on an interim basis and set a further hearing on the motion for July 22. The Debtor, operating as a YogaSix franchise in the Waterford Lakes area near Orlando, Florida, is the sole remaining location following the closure of other planned studios due to an economic downturn. The Debtor has approximately $8,500 in cash on hand and expects to receive future revenue, which may be subject to alleged liens. Five Star Bank is the only known secured creditor, asserting a lien on all of the Debtor's assets, including accounts and equipment, based on a UCC Financing Statement filed in Florida on March 19, 2024. However, the Debtor argued that Five Star Bank's lien on deposit accounts is likely unperfected due to the absence of a deposit control agreement, making the lien potentially unenforceable. As adequate protection, the Debtor offered granting FSB a replacement lien mirroring the validity, extent, and priority of any pre-bankruptcy liens it may hold without conceding their enforceability. The Debtor requires use of the cash collateral to cover operating costs such as lease payments, professional fees, and other necessary expenses, as outlined in a six-month budget. About New Earth Yoga LLC New Earth Yoga, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 6:25-bk-03782-LVV) on June 18, 2025. In the petition signed by Tania Rupp, the Debtor disclosed up to $50,000 in assets and up to $1 million in liabilities. Judge Lori V. Vaughan oversees the case. L. Todd Budgen, Esq., at Budgen Law, is the Debtor's bankruptcy counsel. Five Star Bank, as secured creditor, is represented by: George L. Zinkler, III, Esq. Lorium Law 101 Northeast Third Avenue, Suite 1800 Fort Lauderdale, FL 33301 Telephone: (954) 462-8000 Facsimile: (954) 462-4300 gzinkler@loriumlaw.com NEW JERSEY ORTHOPAEDIC: Updates Restructuring Plan Disclosures -------------------------------------------------------------- New Jersey Orthopaedic Institute LLC and Northlands Orthopaedic Institute LLC submitted a First Amended Combined Disclosure Statement and Plan of Reorganization dated June 12, 2025. This is a reorganization plan. In other words, the Proponents seek to accomplish payments under the Plan by making distributions from present assets and future cash flows. The Effective Date of the proposed Plan is the date on which an order confirming the Plan is entered. On April 23, 2025, the Debtors and the Judgment Creditors engaged in a Court-facilitated mediation. During that mediation, the Debtors and the Judgment Creditors reached a settlement in principal of all issues in the Adversary Proceeding and bankruptcy cases. The pertinent terms of the settlement are being formalized into a written settlement agreement (the "Settlement Agreement"). On the Effective Date of this Plan, the FL Escrow with accrued interest thereon will be released to the Judgment Creditors and the Debtors will transfer to the Judgment Creditors $300,000 from the Saul Escrow on account of their secured claims. The Debtors will also pay the Judgment Creditors an additional $300,000 over 30 months on account of their unsecured claims, which shall be memorialized by a promissory note. Dr. McInerney and his wife Lisa McInerney (the "McInerneys") will make the following transfers (the "New Value Contribution"): * The McInerneys will cause the funding shortfall in the cash balance plan administered by Merrill Lynch (the "Cash Balance Plan") to be paid, shall direct the Cash Balance Plan to disburse to the Judgment Creditors their portion of the Cash Balance Plan (individual retirement assets belonging to Judgment Creditors and are not property of the Debtors' Estates) to accounts of the Judgment Creditors' choosing and shall also transfer cash or assets worth $300,000.00 from Dr. McInerney's portion of the Cash Balance Plan to the Judgment Creditors, as the Judgment Creditors direct. The payment from Dr. McInerney will be in addition to the sums transferred to the Judgment Creditors by the Debtors. * The McInerneys will also transfer their direct and/or indirect membership interests in the entities that own (i) the real estate located at 504 Valley Rd, Suite 22, Wayne, NJ 07470; and (ii) the real estate located at 622 Eagle Rock Avenue, West Orange, NJ 07052. * Dr. McInerney will personally guarantee the Debtors' obligations under the promissory note. The Amended Disclosure Statement and Plan does not alter the proposed treatment for unsecured creditors and the equity holder: * Class #2(a) consists of General Unsecured Creditors of New Jersey Orthopaedic Institute LLC; aggregate amount of claims is approximately $6.7 million, including unsecured portions of the claims of the Judgment Creditors. The Judgment Creditors will receive $300,000 over 30 months on account of their claims against both Debtors, representing an effective 2.79% distribution on account of their Class 2(a) claims. All other Class 2(a) creditors will receive a pro rata 3% distribution over 30 months. * Class #2(b) consists of General Unsecured Creditors of Northlands Orthopaedic Institute LLC; aggregate amount of claims is approximately $5.5 million, including unsecured portions of the claims of the Judgment Creditors. The Judgment Creditors will receive $300,000 over 30 months on account of their claims against both Debtors, representing an effective 2.79% distribution on account of their Class 2(b) claims. All other Class 2(b) creditors will receive a pro rata 3% distribution over 30 months. * Class 3 is unimpaired by this Plan. All equity holders retain their equity postconfirmation on account of the New Value Contribution. Payments and distributions under the Plan will be funded by the following: * Held Funds: Distributions from the FL Escrow and Saul Escrow will be made to the Judgment Creditors pursuant to the Settlement Agreement. Any remaining funds in the Saul Escrow will be used to pay administrative claims as they are allowed. Any further funds will be applied to the Debtors' ordinary course expenses or towards other payments under the Plan, as the Debtors determine in their business judgment. * Operations: Net cash from operations will fund incremental monthly payments under the Plan. * New Value Contribution: Pursuant to the Settlement Agreement, the McInerneys have made or will make the New Value Contribution from their shares of the Cash Balance Plan, their ownership in real estate holding entities and from their other sources of funds. These are contributions of money or money's worth exceeding $300,000, are reasonably equivalent to the unimpaired equity interests retained pursuant to this Plan and are necessary to the performance of this Plan. * Potential Affiliation Agreement: The Debtors are pursuing an opportunity to affiliate their practice with other larger healthcare providers. A successful affiliation agreement will permit the practice to bill more patients as in-network, and to charge higher negotiated in network rates, both of which will increase the collectability and profitability of operations. A full-text copy of the Amended Combined Disclosure Statement and Plan dated June 12, 2025 is available at https://urlcurt.com/u?l=HiyiBg from PacerMonitor.com at no charge. The Debtor's Counsel: Stephen B. Ravin, Esq. SAUL EWING LLP 1037 Raymond Blvd. Suite 1520 Newark, NJ 07102 Tel: (973) 286-6714 Email: stephen.ravin@saul.com About New Jersey Orthopaedic Institute New Jersey Orthopaedic Institute LLC provides specialized care in orthopaedics and sports medicine, offering cutting-edge treatments to patients of all ages. The institute serves a diverse range of patients, including athletes and community members, and is the team physician for several local high schools and universities. NJOI specializes in a wide range of orthopedic procedures, including joint replacements for the shoulder, hip, and knee, as well as the treatment of complex orthopedic trauma and sports medicine conditions affecting the shoulder, elbow, wrist, hand, hip, knee, ankle, and foot. With six locations and a multilingual staff, NJOI focuses on education and patient-centered care to improve quality of life and help patients return to daily activities. New Jersey Orthopaedic Institute LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Case No. 25-11370) on Feb. 10, 2025. In its petition, the Debtor estimated assets and liabilities between $1 million and $10 million each. Bankruptcy Judge John K. Sherwood handles the case. Stephen B. Ravin, Esq., at Saul Ewing LLP, serves as the Debtor's counsel. NOAHCO LLC: Seeks Chapter 11 Bankruptcy in California ----------------------------------------------------- On June 24, 2025, Noahco LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Noahco LLC Noahco LLC leases nonresidential buildings, excluding miniwarehouses and self-storage units. The Company operates in the commercial real estate sector, focusing on properties not used as residences or dwellings. Noahco LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. ) on June 24, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Barry Russell handles the case. The Debtors are represented by Yoon O. Ham, Esq. at LAW OFFICE OF YOON O. HAM. NOGIN COMMERCE: Assignee Loses Bid to Dismiss Chapter 7 Case ------------------------------------------------------------ Chief Judge Martin Glenn of the United States Bankruptcy Court for the Southern District of New York denied the motion of Anthony Sodono III, assignee for the benefit of the creditors, that seeks entry of an order (i) dismissing the involuntary chapter 7 proceeding of Nogin Commerce LLC pursuant to 11 U.S.C. Secs. 305 and 707 of the Bankruptcy Code, or (ii) in the alternative, for abstention pursuant to 11 U.S.C. Sec. 305 and 28 U.S.C. Sec. 1334 and related relief. On May 19, 2025, Karen Kane Inc., S.K.I. Essential LLC, Jump Design Group Inc. and Rujo Boots Company LLC ("Petitioning Creditors") filed an opposition to the Motion. On May 27, 2025, CPH Capital Fund I, LLC, a senior secured creditor of the Alleged Debtor, also filed a joinder in support of the Motion. On June 9, 2025, the Court held a hearing on the Motion. The Alleged Debtor is a Delaware limited liability company with offices at 15 West 38th Street, Suite 501, New York, New York 10018. The Alleged Debtor managed ecommerce for top brands in apparel, outdoor, health, household goods, as well as other areas. The Alleged Debtor's main assets comprise: (i) its intellectual property and technology platform; (ii) fifty (50%) percent ownership interest in Bicoastal Alliance LLC; and (iii) cash on hand of approximately $650,000, which is maintained in the Assignee's bank account that was specifically designated for the Alleged Debtor. The Assignee indicates that the Technology and ownership interests in Bicoastal are identified for the Court as items capable of being sold or transferred in the Assignment Proceeding" along with other causes of action, including "avoidance-type" actions pursuant to NYDCL. Finally, the Assignee further indicates that the Alleged Debtor owes secured debt to CPH in excess of $17 million that it believes exceeds the value of the Assets. On April 8, 2025, an order to show cause and related pleadings regarding the commencement of the assignment proceeding were filed with the Supreme Court of New York, New York County, Docket No. 154700/2025. On April 24, 2025, the Petitioning Creditors, without prior notice, commenced the involuntary chapter 7 proceeding. The Petitioning Creditors indicate that the case was filed due to concerns of, among other things, lack of payment and lack of communication from the Alleged Debtor regarding the status of its business and the findings made during pre-filing diligence about the circumstances surrounding the sudden shut down of the Alleged Debtor's business. The Assignee contends that the bankruptcy case is resulting in unnecessary confusion and delay and could detrimentally impact any sale of the Assets. The Petitioning Creditors indicate that the Alleged Debtor's predecessor had a prior chapter 11 case. Specifically, on Dec. 5, 2023, Nogin Inc. ("Old Nogin"), the Alleged Debtor's predecessor, filed a voluntary chapter 11 petition in the U.S. Bankruptcy Court for the District of Delaware. In that case, B. Riley Securities Inc. was a pre- and post-petition lender to Old Nogin that sponsored Old Nogin's plan, which was confirmed on March 28, 2024, and went effective on May 3, 2024. Under the plan, B. Riley was to purchase 100% of the reorganized Old Nogin's equity. Accordingly, the Alleged Debtor in this case is the entity whose equity B. Riley acquired in Old Nogin's chapter 11 case. The Assignee seeks dismissal of the involuntary chapter 7 case or, alternatively, for the Court to abstain so that the Assignment Proceeding can proceed. The Assignee further seeks payment of costs and attorneys' fees on a joint and several basis, including damages to the value of the Assets and the Alleged Debtor's business stemming from delays in the administration of the Assignment Proceeding as a result of the bankruptcy filing. At a minimum, the Assignee argues that the Petitioning Creditors should be required to post a bond pursuant to 11 U.S.C. Sec. 303(e) to indemnify the assignment estate for amounts the Court may award pursuant to 11 U.S.C. Sec. 303(i). The Petitioning Creditors assert that the Assignee's allegation that they failed to engage in due diligence prior to the filing of the involuntary chapter 7 petition is without merit. In fact, not only was the Petitioning Creditors' pre-filing diligence extensive, such diligence, they indicate, continued post-petition. They further note that they engaged in discussions with the Assignee regarding why the bankruptcy case should be dismissed, accounting for the Assignee's articulated reasons for why the Petitioning Creditors should consent to dismissal and found each to be unpersuasive. Indeed, the Petitioning Creditors' diligence both pre- and post-petition, they maintain, reflected the need for an independent fiduciary to immediately take possession of the Alleged Debtor's estate to protect and maximize the value of those assets for the benefit of all creditors. The Petitioning Creditors argue, therefore, that the involuntary chapter 7 case, which was commenced pursuant to section 303 of the Bankruptcy Code, should not be dismissed. As an initial matter, they believe that they have satisfied the requirements of section 303(b) and have properly filed the chapter 7 case since (i) the Petitioning Creditors filed the petition with claims substantially in excess of the required amount, and (ii) the Assignee has not challenged the eligibility of the Petitioning Creditors' claims by the Assignee nor could it. Due to the need for an independent third-party investigation, the Petitioning Creditors believe that abstention is also not appropriate. As the filing of the involuntary chapter 7 petition has not resulted in any delays in the Assignment Proceeding, the Assignee's request for damages or sanctions, the Petitioning Creditors argue, should be denied. Indeed, they indicate that the Assignment Proceeding has not commenced and will not commence until the New York state court acts on the OSC, and the Assignee had requested an adjournment of the hearing on the OSC due to the commencement of this chapter 7 case and the pending Motion. No showing of a delay can be established and, instead, the Petitioning Creditors believe that they have filed this case in good faith. As an initial matter, the Assignee does not dispute that the involuntary chapter 7 petition was properly commenced. Rather, he argues that dismissal is warranted because the bankruptcy case has caused chaos and confusion with respect to the Assignment Proceeding, has had detrimental impact on any sale of the Alleged Debtor's Assets, and the bankruptcy proceeding is otherwise duplicative of the Assignment Proceeding. Indeed, it also does not appear that the Assignee disputes that at least three of the four Petitioning Creditors are creditors. Given the absence of an objection, the Court considers the involuntary chapter 7 petition to have been properly filed. Courts will consider nine factors in determining whether an involuntary chapter 7 petition should be dismissed: (1) the bankruptcy court was the most recent battlefield in a long-running, two-party dispute; (2) the creditor brought the case solely to enforce a judgment; (3) there were no competing creditors; (4) there was no need for pari passu distribution; (5) assuming there were fraudulent transfers to be avoided, the creditor could do so in another forum; (6) the creditor had adequate remedies to enforce its judgment under non-bankruptcy law; (7) the creditor invoked the bankruptcy laws solely to secure a benefit that it did not have under non-bankruptcy law and without a creditor community to protect; (8) no assets would be lost or dissipated in the event that the bankruptcy case did not continue; and (9) the debtor did not want or need a bankruptcy discharge. In this case, the Court concludes dismissal is not appropriate as the majority of the Murray factors do not weigh in favor of dismissing the involuntary bankruptcy case. The Court finds that abstention under section 305(a) is not warranted. It is the bankruptcy proceeding that may better serve the interests of both creditors and the Alleged Debtor, including ensuring that all creditor interests are accounted for and that value is maximized for the Alleged Debtor's estate. Accordingly, the Court will not abstain, either in the form of dismissal or suspension, pursuant to section 305(a) of the Bankruptcy Code. A copy of the Court's Memorandum Opinion and Order is available at https://urlcurt.com/u?l=GxWLOT from PacerMonitor.com. Attorneys for Anthony Sodono III, Assignee for the Benefit of Creditors of Nogin Commerce LLC: Michele M. Dudas, Esq. Anthony Sodono III, Esq. MCMANIMON, SCOTLAND & BAUMANN, LLC 75 Livingston Avenue, Suite 201 Roseland, NJ 07068 E-mail: mdudas@msbnj.com asodono@msbnj.com Attorneys for the Petitioning Creditors: S. Jason Teele, Esq. SILLS CUMMIS & GROSS P.C. 101 Park Avenue, 28th Floor New York, NY 10178 E-mail: steele@sillscummis.com Attorneys for CPH Fund I, LLC: David L. Neale, Esq. LEVENE, NEALE, BENDER, YOO & GOLUBCHIK LLP 2818 La Cienega Avenue Los Angeles, CA 90034 E-mail: dln@lnbyg.com About Nogin Inc. Nogin, Inc., a New York-based company, provides enterprise-class ecommerce technology and services for consumer products through its Intelligent Commerce technology, a cloud-based ecommerce environment purpose-built for brands selling direct-to-consumer (D2C) and business-to-business (B2B). Nogin and its affiliates filed Chapter 11 petitions (Bankr. D. Del. Lead Case No. 23-11945) on Dec. 5, 2023. In the petition signed by its chief restructuring officer, Vladimir Kasparov, Nogin reported $47,263,000 in assets and $142,815,000 in liabilities. Judge Craig T. Goldblatt oversees the cases. The Debtors tapped Daniel J. DeFransceschi, Esq., at Richards, Layton & Finger, P.A. as legal counsel; Livingstone Partners, LLC as investment banker; and Triple P RTS, LLC as restructuring advisor. Mr. Kasparov and Robin Chiu of Triple P RTS serve as the Debtors' chief restructuring officer and deputy chief restructuring officer, respectively. Donlin, Recano & Company, Inc. is the Debtors' claims and noticing agent and administrative advisor. The U.S. Trustee for Region 3 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee tapped Lowenstein Sandler, LLP and Morris James, LLP as bankruptcy counsels, and Dundon Advisers, LLC as financial advisor. NORTEX REDIMIX: Gets OK to Use Cash Collateral Until July 11 ------------------------------------------------------------ The U.S. Bankruptcy Court for the Eastern District of Texas, Sherman Division approved Nortex Redimix, LLC's interim use of cash collateral from June 14 to July 11. The third interim order signed by Judge Brenda Rhoades authorized the Debtor to use cash collateral to pay its expenses in accordance with its budget. The Debtor must not exceed the expenditures set forth in the budget by more than 10% in the aggregate for the interim period without prior written approval of the U.S. Small Business Administration. As protection, SBA will be granted replacement liens on all assets of the Debtor co-extensive with its pre-bankruptcy liens. The next hearing is scheduled for July 7. Objections are due by July 3. SBA is the Debtor's secured creditor which claims a lien on substantially all of its property including accounts, equipment, inventory and other personal property. About Nortex Redimix Nortex Redimix, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Texas Case No. 25-41505) on May 28, 2025, listing up to $50,000 in both assets and liabilities. Judge Brenda T. Rhoades oversees the case. The Debtor is represented by: Howard Marc Spector, Esq. Spector & Cox, PLLC Tel: 214-365-5377 Email: hspector@spectorcox.com NUMALE CORP: Trustee Taps McAfee & Taft as Special Counsel ---------------------------------------------------------- Michael Carmel, the Chapter 11 trustee of Numale Corporation, seeks approval from the U.S. Bankruptcy Court for the District of Nevada to employ McAfee & Taft LLP as special counsel. McAfee & Taft will represent the Debtor in connection with Judgment collection efforts, including appearances in any related litigation, and to ensure the estate and its rights, remedies, defenses, and counterclaim are adequately represented in connection with this matter which involves a relatively significant asset of this estate. The firm will be paid at these rates: Justin Hiersche $450 per hour Paralegals $130 per hour McAfee & Taft does not hold or represent an interest adverse to the Debtors or the estates with respect to the matter on which McAfee & Taft is to be employed, according to court filings. The firm can be reached through: Justin Hiersche, Esq. McAfee & Taft LLP Eighth Floor Two Leadership Square 211 N. Robinson Oklahoma City, OK 73102-7103 Phone: (405) 235-9621 Email: justin.hiersche@mcafeetaft.com About Numale Corporation Numale Corporation and six affiliates filed Chapter 11 petitions (Bankr. D. Nev. Lead Case No. 25-10341) on January 22, 2025. At the time of the filing, Numale reported up to $50,000 in both assets and liabilities. Judge Natalie M. Cox oversees the cases. The Debtors are represented by David A. Riggi, Esq., at Riggi Law Firm. NV FREIGHT: Seeks Chapter 11 Bankruptcy in Illinois --------------------------------------------------- On June 24, 2025, NV Freight Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Illinois. 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 NV Freight Inc. NV Freight Inc. provides long-distance freight transportation services. The Company operates in the trucking industry, handling non-local cargo transport across various regions in the United States. NV Freight Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-09610) on June 24, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Michael B. Slade handles the case. The Debtors are represented by Saulius Modestas, Esq. at MODESTAS LAW OFFICES, P.C. ODS INC: Seeks to Hire Lex Nova Law LLC as Bankruptcy Counsel ------------------------------------------------------------- ODS, Inc. seeks approval from the U.S. Bankruptcy Court for the District of New Jersey to hire Lex Nova Law, LLC as counsel. The firm will represent the Debtor in this Chapter 11 proceeding, including the prosecution and defense of motions and the preparation of a Plan of Reorganization, etc. as required throughout the case. The firm's services include: a. advising the Debtor with respect to its powers, duties and responsibilities in its continuing management of its financial affairs as a debtor- in possession; b. advising the Debtor with respect to the preparation and approval of a disclosure statement and plan of reorganization; c. preparing necessary pleadings on behalf of the Debtor and appearing before this Court regarding the same; d. preparing a disclosure statement and plan of reorganization; e. advising the Debtor regarding procedural and operational issues in its capacity as a debtor in possession; and f. performing additional legal services as may be required to facilitate the Debtor's reorganizational efforts. The firm will be paid at these rates: Associates/Partners $425 - $975 E. Richard Dressel, Attorney $675 Paralegals $300 - $370 Mr. Dressel disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: E. Richard Dressel, Esq. Lex Nova Law, LLC 10 E. Stow Road, Suite 250 Marlton, NJ 08053 Telephone: (856) 382-8211 Email: rdressel@lexnovalaw.com About ODS, Inc. ODS, Inc. sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Case No. 25-16371) on June 16, 2025, listing up to $50,000 in assets and $1,000,001 to $10 million in liabilities. Judge Jerrold N Poslusny Jr presides over the case. E. Richard Dressel, Esq. at Lex Nova Law, LLC represents the Debtor as counsel. OFFICE DEPOT: Egan-Jones Retains BB- Senior Unsecured Ratings ------------------------------------------------------------- Egan-Jones Ratings Company on June 12, 2025, maintained its 'BB-' foreign currency and local currency senior unsecured ratings on debt issued by Office Depot, Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Boca Raton, Florida, Office Depot, Inc. operates a chain of office product warehouse stores in North America, Europe, Asia, and Central America. OFFICE PROPERTIES: Registers 2M Shares Under Amended Equity Plan ---------------------------------------------------------------- Office Properties Income Trust filed a Registration Statement on Form S-8 with the U.S. Securities and Exchange Commission relating to 2,000,000 common shares of beneficial interest, $.01 par value per share, or Common Shares, issuable under the Second Amended and Restated Office Properties Income Trust 2009 Incentive Share Award Plan, or the Plan. At the 2025 Annual Meeting of Shareholders of the Company held on June 12, 2025, the Company's shareholders approved the Plan to increase by 2,000,000 the total number of Common Shares available for award under the Plan to 3,500,000 Common Shares. A full-text copy of the Registration Statement is available at https://tinyurl.com/y3j385xm About Office Properties Office Properties Income Trust is a REIT organized under Maryland law. As of Dec. 31, 2023, its wholly owned properties were comprised of 152 properties, and it had noncontrolling ownership interests of 51% and 50% in two unconsolidated joint ventures that owned three properties containing approximately 468,000 rentable square feet. As of Dec. 31, 2023, the Company's properties are located in 30 states and the District of Columbia and contain approximately 20,541,000 rentable square feet. As of Dec. 31, 2023, its properties were leased to 258 different tenants, with a weighted average remaining lease term (based on annualized rental income) of approximately 6.4 years. The U.S. government is its largest tenant, representing approximately 19.5% of its annualized rental income as of Dec. 31, 2023. * * * In May 2025, S&P Global Ratings raised its issuer credit rating on Office Properties Income Trust (OPI) to 'CCC-' from 'SD' (selective default) and its issue-level ratings on the senior unsecured notes that were part of the exchange to 'CC' from 'D'. S&P lowered its issue-level rating on the company's 2050 senior unsecured notes, which were not part of the debt exchange, to 'CC' from 'CCC-'. The recovery rating on all the unsecured notes without guarantees remains '5'. S&P said, "We also lowered our issue-level rating on the company's March 2027 and March 2029 senior secured notes to 'CCC+' from 'B-', with the recovery rating remaining '1'. We also lowered our issue-level rating on the company's September 2029 senior secured notes to 'CCC-' from 'CCC', with the recovery rating remaining '3'. "We also assigned our 'CCC+' and '1' recovery rating to the company's new senior priority guaranteed unsecured notes due 2030. The negative outlook on OPI reflects our view that an event of default (perhaps via another distressed debt exchange or a debt restructuring) is likely over the near term." S&P Global Ratings completed its review of OPI following its debt exchange. Significant near-term debt commitments remain and the company's liquidity is constrained. As such, specific events of default are envisioned, including another debt exchange, over the next six months. ONESOURCE COMMUNITY: Hires Jennifer J. Jones as Accountant ---------------------------------------------------------- OneSource Community Mental Health Services of Virginia, Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of Virginia to employ Jennifer J. Jones, CPA LLC as accountant. The firm's services include: -- assistance with preparation and review of the Debtor's financial records; -- analysis of financial records and preparation of financial statements; -- tax planning and preparation of tax returns; -- cash flow analysis and projections for plan confirmation; -- consultation on accounting matters related to the reorganization; and -- provision of other accounting and financial services as may be necessary. The firm will be paid at the rate of $250 per hour. In addition, the firm will seek reimbursement for its out-of-pocket expenses. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Jennifer J. Jones Jennifer J. Jones, CPA LLC 2920 W Broad Street, Unit 106 Richmond, VA 23230 Tel: (804) 446-4380 About OneSource Community Mental Health Services of Virginia, Inc. OneSource Community Mental Health Services of Virginia, Inc. is a full-service counseling and drug-treatment business in Richmond, Va. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Va. Case No. 24-34038) on October 24, 2024, with up to $1 million in assets and up to $10 million in liabilities. Stephen A. Parson, Jr., chief executive officer, signed the petition. Christopher M. Winslow, Esq., at Winslow, McCurry & MacCormac, PLLC, represents the Debtor as counsel. Arthur Peabody, Jr., is the patient care ombudsman appointed in the Debtor's case. OSTENDO TECHNOLOGIES: Seeks Chapter 11 Bankruptcy in California --------------------------------------------------------------- On June 24, 2025, Ostendo Technologies Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports between $10 million and $50 million in debt owed to 100 and 199 creditors. The petition states funds will be available to unsecured creditors. About Ostendo Technologies Inc. Ostendo Technologies Inc. develops advanced display and imaging technologies, including micro-LED and quantum photonic imagers. The Company operates in the semiconductor sector and maintains facilities in California. Ostendo Technologies Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-11111) on June 24, 2025. In its petition, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Victoria S. Kaufman handles the case. The Debtors are represented by Ron Bender, Esq. at LEVENE, NEALE, BENDER, YOO & GOLUBCHIK L.L.P. OVERSEAS SHIPHOLDING: Egan-Jones Withdraws B Sr. Unsecured Ratings ------------------------------------------------------------------ Egan-Jones Ratings Company on June 3, 2025, withdrew its 'B' foreign currency and local currency senior unsecured ratings on debt issued by Overseas Shipholding Group, Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Tampa, Florida, Overseas Shipholding Group, Inc. maintains a fleet of marine transport vessels. PALMETTO SURETY: A.M. Best Affirms B(Fair) FS Rating ---------------------------------------------------- AM Best has revised the outlook to negative from stable for the Long-Term Issuer Credit Rating (Long-Term ICR) and affirmed the Financial Strength Rating (FSR) of B (Fair) and the Long-Term ICR of "bb+" (Fair) of Palmetto Surety Corporation (Palmetto) (headquartered in Mount Pleasant, SC). The outlook of the FSR is stable. The Credit Ratings (ratings) reflect Palmetto's balance sheet strength, which AM Best assesses as adequate, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM). The revised Long-Term ICR outlook to negative from stable reflects the pressure on Palmetto's overall balance sheet strength assessment, as well as risk management given the challenges related to the timely collection and reporting of its premiums and agents' balances that in 2024, resulted in a reduction in admitted assets and corresponding decline in overall surplus. Concerns related to ERM relate to management's failure to collect its premium in a timely manner and its consequential effects on capital management. Negative rating action could occur if there continues to be volatility of Palmetto's risk-adjusted capitalization, as measured by Best's Capital Adequacy Ratio (BCAR), or if the overall balance sheet strength assessment deteriorates further as a result of a continued uptick of uncollected premiums and agents' balances in the course of collection. Additionally, negative rating action could occur if the company fails to strengthen its risk management, accounting and reporting controls resulting in the continued augmentation of uncollected premiums and outstanding agents' balances in the course of collection. Management is aware of the over 90 aging of uncollected premium receivables and has been instituting better collections procedures to improve the overall non-admitted assets for the company. PARK HOTELS: Egan-Jones Retains BB Senior Unsecured Ratings ----------------------------------------------------------- Egan-Jones Ratings Company on May 28, 2025, maintained its 'BB' local currency senior unsecured ratings on debt issued by Park Hotels & Resorts Inc. Headquartered in Tysons, Virginia, Park Hotels & Resorts Inc. owns and operates hotels. PAW ORIGINS: Gets Interim OK to Use Cash Collateral --------------------------------------------------- Paw Origins, LLC got the green light from the U.S. Bankruptcy Court for the District of Wyoming to use the cash collateral of its secured creditors. The court authorized the Debtor's interim use of cash collateral to pay the expenses set forth in its budget pending a final hearing. As protection for any diminution in the value of their collateral, secured creditors will be granted security interests in and liens on all post-petition assets of the Debtor, with the same validity, priority and extent as their pre-bankruptcy liens. In addition, secured creditors will be granted administrative claims under Section 507(b) of the Bankruptcy Code in case the replacement liens are not enough to protect their interests. The bankruptcy court ordered financial technology company GetParker to unfreeze the Debtor's operating account. The account contains $102,628, which is significantly more than the $26,141 the Debtor owes GetParker. The final hearing is set for July 17. The Debtor's cash collateral consists of funds held in its operating account and revenue from business operations, which it intends to use to cover essential expenses such as payments to contractors, suppliers, logistics providers, and advertisers. The secured creditors with interests in the cash collateral are GetParker, Wayflyer Financial LLC, and Clearco. About Paw Origins LLC Paw Origins, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Wyo. Case No. 25-20234) on June 5, 2025, listing up to $1 million in both assets and liabilities. Mike Yap Xin Cheng, sole member, signed the petition. Judge Cathleen D. Parker oversees the case. Clark D. Stith, Esq., represents the Debtor as legal counsel. PEGASUS BUILDERS: Hires GGG Partners LLC as Financial Advisor ------------------------------------------------------------- Pegasus Builders Inc. seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to hire GGG Partners, LLC as financial advisor. The firm will provide these services: (a) advise the Debtors with respect to finances and guide them in making sound financial decisions for their operations in order to ensure that they reap the benefits of reorganization and will be able to continue their operations and comply with the rules of the court; (b) prepare financial documents for the Debtors' edification and use in making sound financial decisions, and other documents as necessary for the success of their Chapter 11 cases; and (c) provide financial advice to the Debtors in negotiation with their creditors and in the preparation of a confirmable plan. The hourly rates of the firm's professionals are: Katie Goodman, Managing Partner $495 Dan Cooper, Partner $325 In addition, the firm will seek reimbursement for expenses incurred. The firm will also require a post-petition retainer of $15,000. Ms. Goodman disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Katie Goodman GGG Partners LLC 2870 Peachtree Rd, Ste 502 Atlanta, GA 30305 Telephone: (404) 256-0003 Facsimile: (404) 256-4555 Email: Info@GGGPartners.com About Pegasus Builders Inc. Pegasus Builders Inc. is a licensed general contractor specializing in luxury custom homes and equestrian estates across Wellington and South Florida. The Company holds licenses in general contracting, engineering, and roofing, backed by over 25 years of experience in the Florida market. It serves both residential and commercial clients and actively participates in philanthropic initiatives supporting various local and national organizations. Pegasus Builders Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-16181) on May 30, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Mindy A. Mora handles the case. The Debtors are represented by Aaron Wernick, Esq. at WERNICK LAW PLLC. PEGGY NESTOR: Loses Bid to Dismiss Chapter 11 Bankruptcy Case ------------------------------------------------------------- The Honorable Michael E. Wiles of the United States Bankruptcy Court for the Southern District of New York denied Peggy Nestor's renewed motion to dismiss her voluntary Chapter 11 bankruptcy case. Peggy Nestor is the debtor in the Chapter 11 case, which was commenced by the filing of a voluntary chapter 11 petition on April 25, 2023. The bankruptcy filing preceded, by one day, a scheduled foreclosure sale as to certain real property located at 15 East 63d Street in Manhattan. The plaintiff in the state court foreclosure action was Lynx Asset Services, LLC, which had made a loan to a company named Gemeaux Ltd. The loan to Gemeaux was guaranteed by Peggy Nestor and by her sister, Marianne Nestor Cassini, and the 63d Street property was pledged as security for the guaranty. On July 24, 2024, the Debtor filed a motion to dismiss the Chapter 11 case, contending that the case should have been filed as a corporate bankruptcy of Gemeaux Ltd. and that it had been "misfiled" by the Debtor's attorneys. At the Oct. 2, 2024 hearing, Peggy Nestor argued that the loan that Lynx had made was a loan to Gemeaux and that the bankruptcy case therefore should have been filed as a bankruptcy of Gemeaux rather than as a personal bankruptcy of Peggy Nestor. However, she acknowledged that she had personally guaranteed the loan to Gemeaux; that she had pledged her property in support of that guaranty; and that it was her own property (not Gemeaux's property) that was the subject of the state court foreclosure judgment. She then denied that she had realized that the bankruptcy case was a personal bankruptcy case, even though she had attended multiple court hearings and even though the petition, various affidavits, schedules and other docketed filings made clear that the case was a personal chapter 11 filing. On Oct. 9, 2024, Judge Wiles entered an order denying the Debtor's motion to dismiss. During the Oct. 2, 2024 hearing, he explained, "I stated that it was not credible for the Debtor to contend that she did not know the case had been filed as an individual case, and that it was not credible for her to contend she only happened to realize the truth after I appointed a Trustee and after the Trustee evicted the Debtor (and other family members) from the 63d Street property. I also noted that creditors had strongly opposed dismissal and that the interests of creditors required that I deny the motion." The Debtor filed a notice of appeal on Oct. 24, 2024. That appeal is still pending. On April 29, 2025, Peggy Nestor filed a letter in which she renewed her contention that the bankruptcy filing "was incorrectly done." She asserted that the copy of the bankruptcy petition that had been filed bore a conformed signature rather than an actual signature, and she contended that she had never signed the petition or other papers. Judge Wiles holds, "The renewed motion by Peggy Nestor to dismiss this chapter 11 bankruptcy case, this time based on contentions that she did not actually sign the bankruptcy petition and did not actually authorize the bankruptcy filing, is denied. The record at the evidentiary hearing shows conclusively that the reasons for a personal bankruptcy filing were explained to her, that she had approved the personal bankruptcy filing, and that she had actually signed the relevant papers." A copy of the Court's decision is available at https://urlcurt.com/u?l=KYdtg4 Peggy Nestor filed for Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case No. 23-10627) on April 25, 2023, listing under $1 million in both assets and liabilities. The Debtor is represented by Anne Penachio, Esq. PEGGY NESTOR: Loses Bid to Dismiss Greenspan Adversary Case ----------------------------------------------------------- The Honorable Michael E. Wiles of the United States Bankruptcy Court for the Southern District of New York denied Peggy Nestor's motion to dismiss the adversary proceeding captioned as THE GREENSPAN COMPANY/ADJUSTERS INTERNATIONAL, Plaintiff, -against- PEGGY NESTOR, Debtor, Adv. Pro. No. 24-04045 (Bankr. S.D.N.Y.). The Debtor, Peggy Nestor, commenced this bankruptcy case by filing a voluntary petition for relief on April 25, 2023. The Greenspan Company/Adjusters International claims in this adversary proceeding that an arbitration award was entered in its favor and against the Debtor in the amount of $700,471.39. It seeks a declaration that the debt owed to it is not dischargeable on various theories, and it contends that the arbitration award has collateral estoppel effect in this adversary proceeding. The Debtor has moved to dismiss the complaint. Many of her contentions relate to the underlying merits of the claims asserted in the arbitration proceeding, but she also contends that the parties’ disputes need to be resolved in California. In this adversary proceeding, Greenspan alleges that an arbitration hearing was scheduled for Oct. 26, 2023 (six months after the bankruptcy filing), that the Debtor did not appear, and that the arbitrator thereafter entered an award on Jan. 11, 2024 in favor of Greenspan. However, an automatic stay took effect immediately upon the filing of the bankruptcy petition on April 25, 2023, which automatically barred the continuation of any then-pending legal proceedings (including arbitration proceedings) to collect on debts owed by the Debtor. The Debtor has moved to dismiss this adversary proceeding. However, Judge Wiles holds says her arguments focus on the merits of the underlying dispute rather than the issues of whether a debt (if it is owed) would be dischargeable or not. The dispute itself needs to be resolved, and the defenses posed by the Debtor are matters that go to the merits and that require further proceedings. They are not appropriate for a ruling on a motion to dismiss, and so the motion to dismiss will be denied. The Debtor has also insisted that Greenspan’s claims against her should be resolved in California and not in this Court. It appears that an arbitration proceeding had already been commenced in California prior to the filing of this bankruptcy case. It also appears that the arbitrator can properly determine the claims that the Debtor and Greenspan have made against each other and the defenses that the Debtor wishes to assert, and that the automatic stay should be lifted for that purpose. According to Judge Wiles, if the arbitrator determines that a debt is owed by the Debtor to Greenspan, the issue of whether that debt is dischargeable is a federal bankruptcy issue that can and will be decided only by this Court. In addition, if the arbitrator determines that any debt is owing by the Debtor to Greenspan, any efforts to collect on that debt will remain subject to the automatic stay, and any collection must occur pursuant to the proof of claim procedures in this Court. The Court orders as follows: 1. Any proceedings that occurred on or after April 25, 2023 and prior to the date of this Order in the arbitration brought by Greenspan against the Debtor, including but not limited to the arbitration award, are void and of no effect by reason of the automatic stay set forth in section 362 of the Bankruptcy Code. 2. The automatic stay is lifted to permit the continuation of the foregoing arbitration proceeding, provided: (1) that the Debtor’s failure to appear at any arbitration hearing that was scheduled after April 23, 2023 and before the date of this Order, and her failure to submit any papers or to take any other action during that period in connection with the arbitration, may not be held against her; (2) the arbitration award is void, and any hearings held, testimony taken or orders entered in the arbitration after April 23, 2023 and before the date of this Order cannot be given any effect; (3) if it is determined that the Debtor owes a debt to Greenspan, Greenspan’s contentions that such debt is nondischargeable will be determined by this Court, and the automatic stay is not lifted for the purpose of allowing that issue to be decided by any other tribunal; and (4) if it is determined that the Debtor owes a debt to Greenspan, the automatic stay remains in effect as to any efforts to collect on such a debt. 3. Further proceedings in this adversary proceeding are stayed pending the outcome of the arbitration reference above, except to the extent this Court orders otherwise in response to an application by any of the parties hereto. A copy of the Court's Order dated June 24, 2025, is available at https://urlcurt.com/u?l=vjcUAf from PacerMonitor.com. Peggy Nestor filed for Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case No. 23-10627) on April 25, 2023, listing under $1 million in both assets and liabilities. The Debtor is represented by Anne Penachio, Esq. PHB 2023: To Sell Sebring Homes to Elron LLC for $2.4MM ------------------------------------------------------- PHB 2023, LLC, seeks approval from the U.S. Bankruptcy Court for the Northern District of Alabama, Southern Division, to sell Property, free and clear of liens, interests, and encumbrances. The Debtor proposes to sell its interest in certain real estate consisting of 20 partially completed residential homes in the community known as Sebring Highlands, in the municipality of Sebring, Highlands County, Florida. The proposed sale will be by private sale and the total purchase price of the WIP Assets is $2,400,000.00. The Debtor proposes to sell all of the estate's interest free and clear of any and all mortgages, liens, interests and/or other encumbrances, excepting that CF Encore Purchaser LLC's lien rights specifically and fully attach to all proceeds of the sale. Elron, LLC, a Florida limited liability company, enters into the Contract to purchase the above-described WIP Assets. The Debtor sets forth that the total sales price for the WIP Assets represents the fair market value of the WIP Assets. The WIP Assets will be purchased at closing on or before the later of September 30, 2025, and the14th day following the entry of this Court's final order approving the Sale. The WIP Assets are subject to the liens, mortgages or other interest held by Encore. About PHB 2023 LLC PHB 2023 LLC is part of the residential building construction industry. PHB 2023 LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ala. Case No. 24-03678) on December 5, 2024. In the petition filed by Misty M. Glass, as manager, the Debtor reports total assets of $16,265,505 and total liabilities of $16,265,517. Honorable Bankruptcy Judge Tamara O. Mitchell handles the case. Stephen P. Leara, Esq., at SPAIN & GILLON, LLC represents as the legal counsel of the Debtor. PLAYHOUSE SQUARE: S&P Affirms 'BB+ Rating on 2018 Revenue Bond -------------------------------------------------------------- S&P Global Ratings affirmed its 'BB+' long-term rating on the Cleveland-Cuyahoga County Port Authority, Ohio's series 2018 cultural facility revenue bonds, issued for Playhouse Square Foundation (PSF). The outlook is positive. S&P said, "We analyzed PSF's environmental, social, and governance factors and view them as neutral in our credit rating analysis. "The positive outlook reflects our expectation that stronger occupancy at Lumen is sustainable, and upcoming theater programming will be successful, resulting in continued overall balanced financial performance and stability in financial resources. "We could consider a negative rating action if occupancy at Lumen or other properties declines so that revenues decline and it pressures overall financial operations, resulting in recurring deficits or draws on financial resources. We would also view negatively the issuance of significant additional debt without commensurate growth in financial resources. "We could consider a positive rating action if PSF's operating margins remain positive and financial resources continually improve while absorbing the additional debt and the management confirms plans regarding the refinancing of the upcoming bullet maturity. We would also view favorably the maintenance of strong occupancy at Lumen." PRECISION CASTPARTS: Egan-Jones Retains B+ Sr. Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on June 20, 2025, maintained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by Precision Castparts Corp. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Portland, Oregon, Precision Castparts Corp. manufactures and sells metal components. PRIMARY PRODUCTS: $70MM Loan Upsize No Impact on Moody's 'B2' CFR ----------------------------------------------------------------- Moody's Ratings said Primary Products Finance LLC's (Primary Products) ratings including the B2 Corporate Family Rating and stable outlook are not impacted by the upsize of the company's senior secured first lien term loan due April 2029 by $70 million to $1,289 million outstanding from $1,219 million outstanding as of March 31, 2025. In addition, the B2 ratings on the company's senior secured first lien revolving credit facility due April 2027 and the upsized first lien term loan also remain unchanged. The company will utilize the proceeds from the term loan upsize to repay current borrowings on the unrated $400 million asset based revolving credit facility (ABL) due April 2027 and the transaction is leverage neutral, with Moody's adjusted debt to EBITDA remaining at 4.3x as of March 2025 pro-forma for the transaction. The company has utilized ABL borrowings to fund the free cash flow deficit including shareholder distributions and sizable capital spending. The offering will thus favorably increase ABL capacity, which enhances liquidity. Primary Product's recently reported results for the fiscal year ended March 2025 exhibited a year over year improvement with EBITDA improving by 7% to $347 million (incorporating Moody's adjustments) compared to $324 million in Fiscal 2024. The year over year improvement in EBITDA reflected strong commercial performance and earnings growth from the company's joint ventures. Earnings in the fourth quarter were nevertheless weaker with a 9% decline in EBITDA (incorporating Moody's adjustments) mainly attributed to lower volumes due to production challenges at the Decatur manufacturing plant in January and February. Management highlighted that production was back to normal at the Decatur plant by the end of March. Moody's adjusted debt to EBITDA of 4.3x as of Fiscal 2025 was unchanged compared to 3Q25 and represented a slight increase from Fiscal 2024 Moody's adjusted debt to EBITDA of 3.9x. The increase in leverage is attributable to an increase in debt to fund the approximately $200 million free cash flow deficit including shareholder dividends that were used to fund KPS' secondary purchase of Tate & Lyle's 49.9% stake in the company and for tax distributions. Primary Products (dba Primient) is a provider of nutritive sweeteners, industrial starches, acidulants and other corn derived products for food, beverage and industrial end markets. Annual sales were approximately $2.7 billion for the fiscal year ended March 31, 2025. KPS Capital Partners, LP. acquired a 50.1% stake in the company from Tate & Lyle in April 2022 in a transaction valued at roughly $1.7 billion and acquired the remaining 49.9% interest from Tate & Lyle for $350 million in June 2024. PROJECT PIZZA LLC: Gets Final OK to Use Cash Collateral ------------------------------------------------------- Project Pizza, LLC received final approval from the U.S. Bankruptcy Court for the Northern District of California to use its secured creditors' cash collateral. The secured creditors are JPMorgan Chase Bank, N.A., In Kind Cards, Inc., Web Bank, Fundomate, Retail Capital, LLC and Parafin, Inc. As protection for the Debtor's use of their cash collateral, secured creditors will be granted automatically perfected post-petition replacement liens in the same amount, validity, and priority existing in the cash collateral as of the petition date. The replacement liens are subordinate to allowed fees and expenses of the Subchapter V trustee and professionals employed in the Debtor's bankruptcy case, according to the final order. As of the petition date, the Debtor had approximately $7,846 in its deposit accounts, which constitutes cash collateral. The Debtor's other assets include inventory valued at $18,304 and vehicles and equipment valued at$35,000 as of the petition date. JPMorgan Chase Bank, N.A., as secured creditor is represented by: Asaph Abrams, Esq. Aldridge Pite, LLP 3333 Camino del Rio South Suite 225 San Diego, CA 92108 Telephone: (858) 750-7600 Facsimile: (619) 590-1385 ecfcanb@aldridgepite.com Parafin, Inc., as secured creditor is represented by: Jay M. Ross, Esq. Lathrop GPM, LLP P.O. Box 1469 San Jose, CA 95109-1469 Telephone: 408.286.9800 Facsimile: 408.998.4790 jay.ross@lathropgpm.com About Project Pizza LLC Project Pizza, LLC operates Fiorella Clement, a neighborhood Italian restaurant in San Francisco known for wood-fired pizzas, handmade pastas, and seasonal dishes. The restaurant serves customers through dine-in, takeout, and delivery. Project Pizza sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Calif. Case No. 25-30397) on May 5, 2025. In its petition, the Debtor reported total assets of $78,855 and total liabilities of $1,001,045. Judge Hannah L. Blumenstiel handles the cases. The Debtor is represented by Chris Kuhner, Esq., at Kornfield, Nyberg, Bendes, Kuhner & Little P.C. PROJECT PIZZA: Hires Boos & Associates as Accounting Consultant --------------------------------------------------------------- Project Pizza, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of California to employ Boos & Associates, P.C. as accounting consultant. The firm's services include: a. assisting in reporting compliance regarding use of cash collateral; b. advising the Debtor in preparing monthly operating reports, tax consequences of any transactions occurring in this bankruptcy case, and preparation of budgets and cash flow projections for the case and a plan of reorganization; c. assisting with communication with the subchapter V trustee and creditors; and d. assisting in evaluating claims filed in the case, litigation issues and prepare any reports for regulators and agencies. The firm will be paid at the rates of $70 to $450 per hour. In addition, the firm will seek reimbursement for its out-of-pocket expenses. Mr. Chambers disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Aaron G. Chambers Boos & Associates, P.C. 405 N. I St. A Madera, CA 93637 Tel: (559) 871-5950 About Project Pizza, LLC Project Pizza, LLC operates Fiorella Clement, a neighborhood Italian restaurant in San Francisco known for wood-fired pizzas, handmade pastas, and seasonal dishes. The restaurant serves customers through dine-in, takeout, and delivery. Project Pizza sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Calif. Case No. 25-30397) on May 5, 2025. In its petition, the Debtor reported total assets of $78,855 and total liabilities of $1,001,045. Judge Hannah L. Blumenstiel handles the cases. The Debtor is represented by Chris Kuhner, Esq., at Kornfield, Nyberg, Bendes, Kuhner & Little P.C. PROJECT PIZZA: Taps Boos & Associates PC as Financial Consultant ---------------------------------------------------------------- Project Pizza Sunset LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of California to employ Boos & Associates, P.C. as financial consultant. The firm will render these services: (a) assist the Debtor administrative and reporting aspects of its Chapter 11 case, including: (i) preparation of budgets and projections re cash collateral, borrowings, and the Plan; (ii) assistance in preparing monthly operating reports; and (iii) assistance in reporting compliance re cash collateral orders; (b) assist the Debtor in communications with the Subchapter V Trustee and secured creditors regarding administrative and reporting aspects of its case; (c) evaluate claims, provide litigation support, and prepare reports for litigation; and (d) provide other consulting and litigation services as necessary. The firm shall charge these hourly rates: Director/Managing Director/ Principal $360 to 450 Manager/Senior Manager $295 to 325 Associate/Senior Associate $160 to 240 Associate Intern $70 The Firm is a disinterested person and neither represents nor holds any interest adverse to the Debtor, its estate, or the creditor, according to court filings. The firm can be reached through: Aaron G. Chambers Boos & Associates, P.C. 405 N. I Street, Suite A Madera, CA 93637 Phone: (559) 777-2977 About Project Pizza Sunset LLC Project Pizza Sunset, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Calif. Case No. 25-30258) on April 1, 2025, listing up to $500,000 in assets and up to $1 million in liabilities. Judge Hannah L. Blumenstiel oversees the case. Robert G. Harris, Esq., at Binder Malter Harris Rome-Banks, LLP, represents the Debtor as legal counsel. PROSPECT MEDICAL: Hires Centurion Service as Auction Consultant --------------------------------------------------------------- Prospect Medical Holdings, Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Centurion Service Group, LLC as auction consultant. The firm will render these services: a. auction preparations including lotting, tagging, photographing, and marketing individual Pennsylvania Personal Property in a manner designed to enhance the net recovery; b. use industry standard practices to delete sensitive electronic protected health information ("ePHI") that is on the Pennsylvania Personal Property known to be capable of storing ePHI (the "ePHI Services"); c. sell the Pennsylvania Personal Property for cash to bidder(s) at an Auction; d. charge and collect sale proceeds due from purchasers at the auction with applicable taxes; and e. provide the Debtors with reporting and reconciliation of accounting information in a form acceptable to the Debtors. The terms of compensation proposed for Centurion are: a. first, Centurion shall be reimbursed for direct auction-related out-of-pocket operating expenses that are reasonable and documented, and $350 for each of the Pennsylvania Personal Property for which Centurion performs the ePHI Services, as provided in the Retention Agreement; and b. second, sale proceeds from the Pennsylvania Personal Property shall be split 95 percent to the Debtors and five percent to Centurion. c. Centurion will also receive an 18 percent buyer's premium payable by the buyers of the Pennsylvania Personal Property. Centurion is a "disinterested person" within the meaning of section 101(14) of the Bankruptcy Code, as required by section 327(a) of the Bankruptcy Code and does not hold or represent any interest adverse to the Debtors' estates, according to court filings. The firm can be reached through: Jim Salmons Centurion Service Group, LLC 151 Regal Row, Suite 231 Dallas, TX Tel: (708) 761-6655 About Prospect Medical Holdings, Inc. Prospect Medical Holdings owns Roger Williams Medical Center, Our Lady of Fatima Hospital, and several other healthcare facilities. Prospect Medical sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Lead Case No. 25-80002) on Jan. 11, 2025. In the petition filed by Paul Rundell, chief restructuring officer, the Debtor estimated assets and liabilities between $1 billion and $10 billion each. 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 also tapped Alvarez & Marsal North America, LLC as financial advisor; Houlihan Likey, Inc. as investment banker; and Omni Agent Solutions, Inc. as claims, noticing & solicitation agent. On Jan. 29, 2025, the Office of the United States Trustee for Region 6 appointed an official committee of unsecured creditor in these Chapter 11 cases. The committee tapped Brinkman Law Group, PC as efficiency counsel. RADIOLOGY PARTNERS: Moody's Rates New $390MM First Lien Loans 'B2' ------------------------------------------------------------------ Moody's Ratings assigned B2 ratings to Radiology Partners, Inc.'s ("Radiology Partners") proposed $390 million backed senior secured first lien revolving credit facility expiring 2030, $1,500 million backed senior secured first lien term loan due 2032, and $800 million senior secured first lien global notes due 2032. There are no changes to Radiology Partners' existing ratings, including the B3 Corporate Family Rating, B3-PD Probability of Default Rating, Ba3 rating on the $240 million backed senior secured first lien revolving credit facility, B2 ratings on the backed senior secured first lien term loan B, $150 million backed senior secured revolving credit facility and senior secured first lien global notes due 2029, and Caa2 ratings on the senior secured global notes due 2025, senior unsecured global notes due 2028, and senior secured second lien global notes due 2030. Ratings on the backed senior secured revolving credit facility and backed senior secured first lien revolving credit facility expiring 2028, backed senior secured first lien term loan B due 2029, senior secured first lien global notes due 2029, and senior secured global notes due 2025, will be withdrawn at the close of the refinancing transaction. The outlook remains unchanged at stable. Radiology Partners proposed refinancing transaction extends all first lien debt maturities, removes the super priority debt in the capital structure, and shifts all first lien debt to fully cash pay from partial PIK. Proceeds from the new senior secured first lien term loan and senior secured first lien notes will be used to fully repay the existing backed senior secured first lien term loan B due 2029, senior secured first lien global notes due 2029, and remaining $1 million of senior secured global notes due 2025. Moody's expects debt to EBITDA to increase slightly to 7.7x pro forma the refinancing (from 7.5x) due to incremental debt issued to pay transaction fees. While Moody's expects minimal change in the company's overall cost of debt, Moody's expects an approximate $45 million increase in annual cash interest expense as all first lien debt will be cash pay, compared to partial PIK previously. Moody's expects debt to EBITDA will decline toward 7.0x over the next 12 to 18 months. Moody's also expects the company will maintain very good liquidity. RATINGS RATIONALE Radiology Partners' B3 CFR is constrained by the company's high financial leverage and risks tied to its aggressive growth strategy. The rating is also constrained by ongoing risks tied to working capital pressure from the NSA, including uncertainty surrounding timing of receivables collection from out of network payors. The rating is supported by Radiology Partners' position in a fragmented industry as the largest radiology practice in the US, diversification by geography and customer type, stable business prospects, and favorable payor mix. The rating also reflects Moody's expectations for improved free cash flow due to improved working capital, a reduction in cash add-backs, and ongoing organic growth. The company's debt to EBITDA was approximately 7.7x for the twelve months ending March 31, 2025 pro forma the refinancing, on an adjusted basis. Moody's expects the company's leverage will decline toward 7.0x over the next 12-18 months due to EBITDA growth from new business wins, ongoing pricing initiatives and business optimization, as well as organic volume growth. Deleveraging will be slowed by an increase in debt tied to PIK interest on the second lien debt. The stable outlook reflects Moody's expectations that Radiology Partners will gradually reduce its leverage and maintain very good liquidity in the next 12-18 months. Moody's expects Radiology Partners will maintain very good liquidity. Radiology Partners will have $130 million of cash at March 31, 2025 pro forma the refinancing and an undrawn $390 million revolving credit facility. Moody's expects more than $75 million of free cash flow in 2025 pro forma the refinancing and excluding refinancing costs, with cash flows benefitting from PIK interest, improved working capital, and lower NSA related costs. Note that with the refinancing, all first lien debt will be cash pay, which Moody's estimates will increase annual cash interest expense by approximately $45 million. Radiology Partners' revolving credit facility will have a maximum first lien net leverage covenant of 6.5x (previously 7.75x). Moody's expects the company will maintain sufficient buffer within the covenant. Moody's estimates first lien net leverage of approximately 3.9x at March 31, 2025. Radiology Partners' assets will be pledged as collateral for the secured credit facilities, thereby limiting the sale of assets as an alternative source of liquidity. The B2 ratings on the backed senior secured first lien revolving credit facility, backed senior secured first lien term loan, and senior secured first lien notes due 2032, reflect this debts senior position in the capital structure, such that these lenders would be repaid in full before any distributions to the other lenders. The Caa2 rating on the senior secured second lien global notes is two notches below the CFR. This reflects the effective subordination of the second lien notes to all of the more senior secured debt. The Caa2 rating on the senior unsecured notes due 2028 reflect their subordinated rankings to all debt tranches in the payment waterfall. Marketing terms for the new credit facilities (final terms may differ materially) include the following: Incremental pari passu debt capacity up to the greater of $550 million and 100% of consolidated EBITDA, plus unlimited amounts subject to 4.25x first lien net leverage ratio. There is an inside maturity sublimit up to the greater of $275 million and 50% of consolidated EBITDA. The credit agreement is expected to include a "J. Crew" blocker limiting the transfer of material property to unrestricted subsidiaries. The credit agreement is also expected to provide some limitations on up-tiering transactions, requiring affected lender consent for amendments that subordinate the debt or liens (subject to exceptions TBD). Affected lender consent is required for amendments to the "Chewy" related provisions. The consent of 66 2/3% of the revolving lenders is required for amendments to (i) the "J. Crew" related provisions; and (ii) the subordination provisions and requirements of intercompany loans and guarantees. Amendments to non-pro rata payments or sharing of payments will only require simple majority lender consent. Non-pro rata distributions and commitment reductions will be allowed in the final documentation. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if there is continued growth in earnings and profitability while maintaining good liquidity demonstrated by sustained positive free cash flow. Quantitatively, debt to EBITDA sustained below 6.0x could support an upgrade. The ratings could be downgraded if the company's operating performance and/or liquidity deteriorates, including sustained negative free cash flow, or if financial policies become more aggressive. Headquartered in El Segundo, CA, Radiology Partners, Inc. is the largest radiology practice in the US The company's services include diagnostic and interventional radiology. Radiology Partners, Inc. employs more than 4,000 radiologists that provide services to more than 3,400 hospitals and outpatient facilities across all 50 states. Radiology Partners' physician partners own nearly 30% of the company, and financial sponsor New Enterprise Associates Inc. (NEA), Starr, and LPs of NEA, LPs of Starr, and other investors own the remainder. The company's LTM revenues were approximately $3.0 billion as of March 31, 2025. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. RADIX HAWK: Court Extends Cash Collateral Access to July 17 ----------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Orlando Division, issued its third interim order authorizing Radix Hawk Holdings, LLC to continue using cash collateral through July 17. The third interim order signed by Judge Lori Vaughan authorized the Debtor to use cash collateral to pay the amounts expressly authorized by the court, including payments to the U.S. trustee for quarterly fees; the expenses set forth in the budget, plus an amount not to exceed 10% for each line item; and additional amounts expressly approved in writing by secured creditor, Altamar Financial Group, LLC. As protection, Altamar will be granted a post-petition lien on the cash collateral and all other post-petition assets to the same extent and with the same validity and priority as its pre-bankruptcy lien. As further protection to Altamar, the Debtor was ordered to keep its property insured in accordance with its obligations under the loan agreement with the secured creditor. Altamar may have a lien on the cash collateral of the Debtor by virtue of a UCC-1 financing statement filed on September 28, 2022, in the Florida Secured Transaction Registry The next hearing is scheduled for July 17. A copy of the court's order and the Debtor's budget is available at https://shorturl.at/I0Pqv from PacerMonitor.com. About Radix Hawk Holdings Radix Hawk Holdings, LLC is a real estate holding company primarily owning hotel and motel complexes located at 5859 American Way, Orlando, Fla. Radix Hawk Holdings sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-01631) on March 24, 2025. In its petition, the Debtor reported up to $50,000 in assets and between $10 million and $50 million in liabilities. Judge Lori V. Vaughan handles the case. The Debtor is represented by Craig I. Kelley, Esq., at Kelley Kaplan & Eller, PLLC. Altamar Financial Group, LLC, as secured creditor, is represented by: Jessika Arce Graham, Esq. Eric P. Hockman, Esq. Weiss Serota Helfman Cole & Bierman 2800 Ponce de Leon Boulevard, Suite 1200 Coral Gables, FL 33134 Telephone: 305/854-0800 JGraham@wsh-law.com EHockman@wsh-law.com RAFTER H FARM: Hires Rochelle McCullough as Bankruptcy Counsel -------------------------------------------------------------- Rafter H Farm and Ranch, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Rochelle McCullough, LLP as bankruptcy counsel. The firm's services include: a. advising the Debtors with respect to rights, powers and duties as Debtors continue to operate and manage the business of the Debtors; b. advising the Debtors concerning, and assisting in the negotiation and documentation of, agreements, debt restructuring, and related transactions; c. monitoring transactions proposed by the parties in interest during the course of this case and advising the Debtors regarding the same; d. reviewing the nature and validity of liens asserted against the property of the Debtors and advising the Debtors concerning the enforceability of such liens; e. advising the Debtors concerning the actions that might be taken to collect and to recover property for the benefit of the Debtors' estate; f. reviewing and monitoring the Debtors' ongoing business; g. preparing on behalf of the Debtors all necessary and appropriate applications, motions, pleadings, draft orders, notices and other documents, and reviewing all financial and other reports to be filed in this chapter 11 case; h. advising the Debtors concerning, and preparing responses to, applications, motions, pleadings, notices and other papers that may be filed and served in this chapter 11 case; i. advising the Debtors in connection with any suggested or proposed plan(s) of reorganization; j. counseling the Debtors in connection with the formulation, negotiation and promulgation of a plan of reorganization; and k. performing all other legal services for and on behalf of the Debtors that may be necessary or appropriate in the administration of this chapter 11 case. The firm will be paid at these rates: Partners $550 to 900 per hour Associates $325 to 450 per hour Paraprofessionals $225 per hour The firm received a retainer in the amount of $25,000. Joseph Postnikoff, Esq., a partner at Rochelle McCullough, disclosed in a court filing that his firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Joseph F. Postnikoff, Esq. Rochelle McCullough, LLP 300 Throckmorton, Suite 520 Fort Worth, TX 76102 Tel: (817) 347-5260 Email: jpostnikoff@romclaw.com About Rafter H Farm and Ranch, LLC Rafter H Farm and Ranch, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-10112-bwo11) on June 11, 2025. In the petition signed by Sam Hemphill, managing member, the Debtor disclosed up to $1 million in assets and up to $10 million in liabilities. Judge Brad W. Odell oversees the case. Joseph Fredrick Postnikoff, Esq., at Rochelle McCullough, LLP, represents the Debtor as legal counsel. REGAL RECOVERY: Secured Party Sets July 8 Auction ------------------------------------------------- For default in payment of a debt and performance of obligations owned by Regal Recovery JP Holdings Co. LLC and its affiliates to WHAT Lender LLC ("secured party"), Secured Party will a public auction on July 8, 2025, at 10:00 a.m. (prevailing Central Time) at he Law Offices of Polsinelli PC, 150 N Riverside Plaza, Suite 3000, Chicago, Illinois 60606 and via Zoom Video conference https:polsinelli.zoom.us/j/92569417825, Meeting ID Number: 925 6941 7825, Passcode: 796235, to sell to the highest bidder for cash the Debtors' interest. All parties seeking to submit a bid at he sale must deliver a deposit at least two business days prior to the sale by delivering a wire, bank certified check, or money order in an amount equal to at least 10% of the amount of the bidder's irrevocable bid. No cash will be accepted. All funds must be exhibited to the escrow agent prior to the commencement of bidding. Unless proper funds have been verified. The balance of the successful bid is payable at closing, which will be held no later than 5:00 p.m. (prevailing Central Time) of the day of the auction date. For further information regarding the sale, contact: Nathan Grzegorek, Esq. Polsinelli PC 150 N. Riverside Plaza Suite 3000 Chicago, IL 60606 Tel: (312) 819-1900 Fax: (312) 277-7820 Email: ngrzegorek@polsinelli.com RELIANT LIFE: G. Douglas, M. Foland Out as Committee Members ------------------------------------------------------------ The U.S. Trustee for Region 16 disclosed in a notice filed with the U.S. Bankruptcy Court for the Central District of California that these creditors are the remaining members of the official committee of unsecured creditors in the Chapter 11 case of Reliant Life Shares, LLC: 1. Kailesh Karavadra 1653 Via Di Salerno Pleasanton, CA 94566 Kailesh.karavadra@ey.com (925) 998-2896 2. My Thi Nguyen c/o John D. Nguyen 550 W. Orangethorpe Ave. Placentia, CA 92870 john@thejnfgroup.com (714) 231-5807 3. Craig Patrick Sherreitt 22 San Julian Rancho Santa Margarita, CA 92688 sherreitt@gmail.com (949) 292-2388 Gwendalyn Douglas and Melissa Foland were previously identified as members of the creditors committee. Their names no longer appear in the new notice. About Reliant Life Shares Reliant Life Shares, LLC is an investment service in Los Angeles, Calif. Reliant Life Shares sought relief under Chapter 11 of the U.S. Bankruptcy Code {Bankr. C.D. Calif. Case No. 24-11695) on Oct. 7, 2024, with $10 million to $50 million in both assets and liabilities. Nicholas Rubin, chief restructuring officer, signed the petition. Judge Martin R. Barash oversees the case. The Debtor tapped Raines Feldman Littrell, LLP as legal counsel and Force Ten Partners, LLC as restructuring advisor. Stretto is the claims agent. The U.S. Trustee for Region 16 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. The committee is represented by Golden Goodrich, LLP. RHODIUM ENCORE: Objects to Bankruptcy Release Provisions -------------------------------------------------------- Randi Love of Bloomberg Law reports that the U.S. Trustee is challenging Rhodium Encore LLC's bankruptcy disclosure statement, arguing that it improperly includes third-party releases without securing valid creditor consent. In a filing Thursday, June 26, 2025, with the U.S. Bankruptcy Court for the Southern District of Texas, the Justice Department's bankruptcy watchdog said the plan's opt-out provision does not meet the requirement for "affirmative consent." "Hundreds of creditors and interest holders would be bound to release various third parties unless they take timely action to opt out," the U.S. Trustee stated. About Rhodium Encore Rhodium Encore LLC is a founder-led, Texas based, digital asset technology company utilizing proprietary tech to self-mine bitcoin. The Company creates innovative technologies with the goal of being the most sustainable and cost-efficient producer of bitcoin in the industry. Rhodium Encore sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 24-90448) on Aug. 24, 2024. In the petition filed by Michael Robinson, as co-CRO, the Debtor reports lead debtor's estimated assets between $100 million and $500 million and estimated liabilities between $50 million and $100 million. The Honorable Bankruptcy Judge Alfredo R. Perez oversees the case. The Debtor tapped QUINN EMANUEL URQUHART & SULLIVAN, LLP, as counsel, and PROVINCE as restructuring advisor. RITE AID: Creditors Object to $1.9B Bankruptcy Loan Potential Risks ------------------------------------------------------------------- Alex Wolf of Bloomberg Law reports that Rite Aid's plan to continue borrowing up to $1.9 billion during its Chapter 11 proceedings poses a risk of leaving approximately $600 million in essential business obligations unpaid, creditors argued. On Wednesday, June 25, 2025, vendors, landlords, and other unsecured creditors asked the U.S. Bankruptcy Court in the District of New Jersey to deny final approval of the proposed debtor-in-possession financing. They contend the loan would give priority to repaying pre-bankruptcy lenders, putting other critical stakeholders at a disadvantage, according to Bloomberg Law. Creditors also expressed concern that the company's asset sale strategy is unlikely to generate enough proceeds to fully repay senior lenders, potentially leaving vendors and employees with substantial losses, the report states. About Rite Aid Rite Aid is a full-service pharmacy committed to improving health outcomes. Rite Aid is defining the modern pharmacy by meeting customer needs with a wide range of solutions that offer convenience, including retail and delivery pharmacy, as well as services offered through the Company's wholly owned subsidiary Bartell Drugs. On the Web: http://www.riteaid.com/ Rite Aid and certain of its subsidiaries previously filed for Chapter 11 bankruptcy in October 2023 and emerged from bankruptcy in August 2024. On May 5, 2025, New Rite Aid, LLC and its subsidiaries, including Rite Aid Corporation, commenced voluntary Chapter 11 proceedings (Bankr. D.N.J. Lead Case No. 25-14861). As of the 2025 bankruptcy filing date, Rite Aid operates 1,277 stores and 3 distribution centers in 15 states and employs approximately 24,500 people. Rite Aid is using the Chapter 11 process to pursue a sale of its prescriptions, pharmacy and front-end inventory, and other assets. The cases are being administered by the Honorable Michael B. Kaplan. Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal advisor, Guggenheim Securities, LLC is serving as investment banker, and Alvarez & Marsal is serving as financial advisor to the Debtors. Joele Frank, Wilkinson Brimmer Katcher is serving as strategic communications advisor to the Debtors. Kroll is the claims agent and maintains the page https://restructuring.ra.kroll.com/RiteAid2025 Bank of America, N.A., as DIP Agent, is represented by lawyers at Greenberg Traurig, LLP; and Choate Hall & Stewart LLP. RITE AID: Lands $19.2MM Offer for Thrifty Ice Cream Brand --------------------------------------------------------- Alex Wolf of Bloomberg Law reports that Rite Aid is set to sell its Thrifty Ice Cream brand and associated assets for $19.2 million to an investment entity linked to Monster Beverage Corp. CEO Hilton Schlosberg. Hilrod Holdings LP, affiliated with Schlosberg, submitted the winning bid during an auction earlier this week, Rite Aid disclosed in a Thursday, July 26, 2025, filing with the U.S. Bankruptcy Court for the District of New Jersey. About Rite Aid Rite Aid is a full-service pharmacy committed to improving health outcomes. Rite Aid is defining the modern pharmacy by meeting customer needs with a wide range of solutions that offer convenience, including retail and delivery pharmacy, as well as services offered through the Company's wholly owned subsidiary Bartell Drugs. On the Web: http://www.riteaid.com/ Rite Aid and certain of its subsidiaries previously filed for Chapter 11 bankruptcy in October 2023 and emerged from bankruptcy in August 2024. On May 5, 2025, New Rite Aid, LLC and its subsidiaries, including Rite Aid Corporation, commenced voluntary Chapter 11 proceedings (Bankr. D.N.J. Lead Case No. 25-14861). As of the 2025 bankruptcy filing date, Rite Aid operates 1,277 stores and 3 distribution centers in 15 states and employs approximately 24,500 people. Rite Aid is using the Chapter 11 process to pursue a sale of its prescriptions, pharmacy and front-end inventory, and other assets. The cases are being administered by the Honorable Michael B. Kaplan. Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal advisor, Guggenheim Securities, LLC is serving as investment banker, and Alvarez & Marsal is serving as financial advisor to the Debtors. Joele Frank, Wilkinson Brimmer Katcher is serving as strategic communications advisor to the Debtors. Kroll is the claims agent and maintains the page https://restructuring.ra.kroll.com/RiteAid2025 Bank of America, N.A., as DIP Agent, is represented by lawyers at Greenberg Traurig, LLP; and Choate Hall & Stewart LLP. RITHUM HOLDINGS: Moody's Raises CFR to 'B3' Following Refinancing ----------------------------------------------------------------- Moody's Ratings upgraded Rithum Holdings, Inc.'s corporate family rating to B3 from Caa1 and its probability of default rating to B3-PD from Caa1-PD. Concurrently, Moody's assigned a B3 rating to the company's proposed backed senior secured first lien bank credit facility, comprised of a $80 million revolver expiring 2030 and a $805 million term loan due 2032, and affirmed the company's existing backed senior secured first lien bank credit facilities at B3. Additionally, Rithum's backed senior secured second lien term loan was affirmed at Caa3. The proceeds from the proposed bank facility and the issuance of $350 million of perpetual preferred stock by holding company Great Dane Intermediate Holding I, LLC ("Great Dane") will be used to repay Rithum's existing debt. Ratings on the predecessor debt instruments will be withdrawn upon closing of the refinancing transaction. The outlook is stable. The company is a provider of cloud-based software that integrates retailers with suppliers to expand their ecommerce-based programs. The rating action takes into account the considerable reduction in Rithum's debt from the proposed refinancing (resulting in a contraction in debt-to-EBITDA from 7.8x to a pro forma level of 5.7x for the LTM period ended March 31, 2025) while balanced by longer term re-leveraging risk if the company pursues a debt-funded repayment of the proposed preferred stock in subsequent years. Rithum's pursuit of a capital structure with a less sizable, albeit still considerable, debt balance is indicative of the company's more balanced financial strategy, a key governance consideration and a driver of the rating action. RATINGS RATIONALE Rithum's B3 CFR is principally constrained by the company's high pro forma trailing debt/EBITDA, limited revenue scale, and a concentrated vertical market focus on the retail e-commerce industry. Macroeconomic uncertainties which could drive slowing sales in the retail sector and softening consumer spending in discretionary categories, particularly home improvement, could weigh materially on Rithum's operating performance and limit debt leverage reduction efforts. Additional credit challenges relate to the company's concentrated ownership by affiliates of GTCR LLC ("GTCR"), Sycamore Partners ("Sycamore") and Insight Partners ("Insight") with the potential for a resumption of aggressive financial strategies such as incremental debt-funded acquisitions or dividend distributions. However, Rithum benefits from its established market position as a third-party drop shipping provider to top US retailers, the company's mission critical role within the retailer and supplier network, a highly recurring revenue stream supported by high order retention and subscription fees, very high profitability rates (Moody's adjusted EBITDA margins are projected to approach 45% over the next 12-18 months, not including capitalized software costs as an expense) and the company's deep retailer integration with high switching costs. Moody's considers Rithum's liquidity profile to be good supported by the company's pro forma cash balance of $55 million following completion of the refinancing transaction as well as Moody's expectations of annual free cash flow-to-debt approximating 3%-4% over the next 12-15 months. A seasonal demand profile and the risk of operational underperformance may prompt the company to periodically utilize its proposed $80 million revolving credit facility which will be undrawn at closing. While Rithum's proposed term loan is not subject to financial covenants, the revolving credit facility will be subject to a springing maximum first-lien net leverage ratio of 8.25x when usage exceeds 40% ($32 million). Moody's expects the company will be comfortably in compliance with this covenant over the next 12-15 months if it is measured. The ratings for Rithum's proposed senior secured first-lien bank debt instruments are consistent with the B3 CFR as the company's pro forma debt structure is principally comprised of a single class of debt. Marketing terms for the new credit facilities (final terms may differ materially) include the following: Incremental pari passu debt capacity up to the greater of $150 million and 100% of pro forma Consolidated EBITDA, plus unlimited amounts subject to 0.25x above closing date First Lien Leverage Ratio. There is an inside maturity basket up to the greater of $75 million and 50% of pro forma Consolidated EBITDA. A "blocker" provision restricts the designation of a subsidiary that owns material intellectual property as an unrestricted subsidiary. The credit agreement is expected to include "Chewy", J. Crew" and "Serta" blockers. The stable rating outlook reflects Moody's expectations that Rithum's revenue and EBITDA will increase at a mid single-digit annual rate over the next 12-18 months, resulting in a reduction in debt/EBITDA towards 5.0x by 2026. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Rithum is able to sustain moderate revenue growth, expand profit margins, maintain debt/EBITDA below 6.0x, sustain annual free cash flow-to-debt in a mid single-digit range, and Moody's anticipates the company will adhere to more conservative financial policies. The ratings could be downgraded if the company is unable to generate organic revenue growth on a sustained basis, reflecting increased competition, customer losses, or shifts in the e-commerce business model while debt/EBITDA increases above 8.0x or the company incurs ongoing free cash flow deficits. The principal methodology used in these ratings was Software published in June 2022 and available at https://ratings.moodys.com/rmc-documents/389867. Alternatively, please see the Rating Methodologies page on https://ratings.moodys.com for a copy of this methodology. Rithum, with headquarters in Atlanta, GA, provides cloud-based software that integrates retailers with suppliers to expand their e-commerce-based programs. The company is controlled by affiliates of private equity firms GTCR, Sycamore, and Insight. Moody's projects revenue of approximately $330 million in 2025. ROGUE SMOOTHIES: Case Summary & Six Unsecured Creditors ------------------------------------------------------- Debtor: Rogue Smoothies, Inc. d/b/a Auntie Anne's d/b/a Jamba Juice 20 Rossanley Dr. #104 Medford, OR 97501 Business Description: Rogue Smoothies, Inc. operates franchise locations of Jamba and Auntie Anne's in Medford, Oregon. The Company provides smoothies, juices, fruit bowls, and baked pretzel products through its retail outlets. Chapter 11 Petition Date: June 25, 2025 Court: United States Bankruptcy Court District of Oregon Case No.: 25-61778 Judge: Hon. Thomas M Renn Debtor's Counsel: Keith Y Boyd, Esq. KEITH Y. BOYD, PC 724 S Central Ave 106 Medford, OR 97501 Tel: (541) 973-2422 E-mail: keith@boydlegal.net Estimated Assets: $1 million to $10 million Estimated Liabilities: $500,000 to $1 million The petition was signed by Dewey Yung as president. A full-text copy of the petition, which includes a list of the Debtor's six unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/5TKOPVA/Rogue_Smoothies_Inc__orbke-25-61778__0001.0.pdf?mcid=tGE4TAMA SAFE & GREEN: Faces Nasdaq Delisting for Bid Price Non-Compliance ----------------------------------------------------------------- Safe & Green Holdings Corp. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company was notified by the Listing Qualifications Department of The Nasdaq Stock Market LLC that, based upon the Company's continued non-compliance with the minimum $1.00 bid price requirement set forth in Nasdaq Listing Rule 5550(a)(2) as of June 10, 2025, the deficiency could serve as an additional basis for the delisting of the Company's securities from Nasdaq. The Company plans to present its plan to regain compliance with the Rule at its upcoming hearing before the Nasdaq Hearings Panel. The notice has no immediate effect on the listing or trading of the Company's common stock, and the Company's common stock will continue to trade under symbol "SGBX" at least pending the ultimate conclusion of the hearing process. As previously disclosed, on December 12, 2024, Nasdaq notified the Company that the bid price of its listed securities had closed at less than $1.00 per share over the previous 30 consecutive business days and, as a result, the Company did not comply with the Rule. In accordance with Nasdaq Listing Rule 5810(c)(3)(A), the Company was provided 180 calendar days, or until June 10, 2025, to regain compliance with the Rule. The Company was not eligible for a second grace period to regain compliance with the Rule and, accordingly, the Staff issued the additional delist determination dated June 11, 2025. About Safe & Green Safe & Green Holdings Corp. is a modular solutions company headquartered in Miami, Florida. The company specializes in the development, design, and fabrication of modular structures, focusing on safe and green solutions across various industries. The Woodlands, Texas-based M&K CPAS, PLLC, the Company's auditor since 2024, issued a "going concern" qualification in its report dated Mar. 31, 2025, attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has incurred net losses since its inception, negative working capital, and negative cash flows from operations, which raises substantial doubt about its ability to continue as a going concern. As of Dec. 31, 2024, the Company had $6,071,524 in total assets, $18,531,832 in total liabilities, and a total stockholders' deficit of $12,460,308. SAKS GLOBAL: Reaches $600MM Debt Deal with Lenders -------------------------------------------------- Eliza Ronalds-Hannon of Bloomberg News reports that Saks Global Enterprises has finalized a $600 million debt deal with a group of its current lenders that would subordinate some creditors and impose losses on them. As outlined in documents reviewed by Bloomberg, holders of a slim majority of the company's recently issued $2.2 billion in 11% bonds have agreed to provide a $300 million loan upfront. This new debt would hold priority in repayment should Saks enter bankruptcy. About Saks Global Enterprises Saks Global Enterprises operates as an investment and wealth management company. The Company invests in a set of stocks that are associated with historically high dividend payments to their shareholders. Saks Global Enterprises serves clients worldwide. SAMYS OC: Loses Bid for Joint Administration of Bankruptcy Cases ---------------------------------------------------------------- Judge Mitchell L. Herren of the United States Bankruptcy Court for the District of Kansas denied the motions of Samys OC, LLC, S&O Investments, Inc. and American Warrior Construction, Inc. for joint administration and procedural consolidation of their bankruptcy cases. The motions are opposed by creditors Cairo of Western Kansas, LLC and Debt Recovery Services, Inc. Debtors' motions are governed by Fed. R. Bankr. P. 1015. Since the motions for joint administration and procedural consolidation were filed, there have been significant changes in each case: * The Court approved the application for employment of new bankruptcy counsel for the Individual Debtors. * The Court entered a Memorandum Opinion and Order denying the applications for employment of bankruptcy counsel for the Debtor Entities, concluding the single law firm proposed as counsel did not meet the qualifications required by 11 U.S.C. Sec. 327 or the conflict-of-interest standards of the Kansas Rules of Professional Conduct. * The meeting of creditors in each case was concluded * The Individual Debtors and each Debtor Entity have either retained separate bankruptcy counsel or are in the process of seeking employment of new bankruptcy counsel. * The Court has docketed a Case Management Order, establishing a dedicated docket day for the four cases and establishing other procedural guidelines for the management of the cases and related adversary proceedings. The Court concludes joint administration is not appropriate under Rule 1015(b) based on the same reasoning underlying the Court's Memorandum Opinion and Order denying employment of a single law firm for the Debtor Entities. In addition, Debtors appear to be proceeding on different tracks, with one Debtor Entity proposing a liquidating plan. Procedurally, the meetings of creditors have been concluded in each case, and the Court has already established a dedicated hearing date and entered a Case Management Order to govern certain related procedural aspects for the cases. It is therefore ordered the motions for joint administration and procedural consolidation are denied in each case. A copy of the Court's Order is available at https://urlcurt.com/u?l=YZhPut from PacerMonitor.com. About Samys OC LLC Samys OC, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Kansas Case No. 24-11166) on Nov. 14, 2024, listing up to $50,000 in assets and $10 million to $50 million in liabilities. The petition was signed by Amro M. Samy as managing member. Judge Mitchell L Herren presides over the case. Lora J. Smith, Esq., at Hinkle Law Firm is the Debtor's bankruptcy counsel. Dream First Bank, as secured creditor, is represented by: Scott M. Hill, Esq. Hite, Fanning & Honeyman, LLP 100 N. Broadway, Ste. 950 Wichita, KS 67202-2216 Telephone: (316) 265-7741 Facsimile: (316) 267-7803 hill@hitefanning.com SANCTUARYSPA INC: Seeks to Use Cash Collateral ---------------------------------------------- Sanctuaryspa Inc. asked the U.S. Bankruptcy Court for the Central District of California, Los Angeles Division, for authority to use cash collateral. The Debtor operates a beauty spa offering services like facials, massages, and skin treatments, and currently leases commercial space in Long Beach, Calif. The Debtor intends to use cash collateral to cover essential business expenses—such as payroll, rent, insurance, utilities, and supplies—as outlined in the budget. The continued use of cash collateral is deemed necessary to prevent business interruption and preserve the value of the estate, with the goal of a successful reorganization. The Debtor's assets total about $60,637, while its secured debts, including loans and merchant cash advances, total approximately $507,538. General unsecured debts total around $524,684, including a $500,000 EIDL loan. The financial strain was worsened by declining revenue and enforcement action from LG Funding LLC, which caused a freeze on merchant payments. The Debtor proposed using cash collateral already on hand and future revenue to cover budgeted operating costs, with flexibility to exceed budget totals by up to 15% and shift between categories without further court approval. If denied use of the funds, the Debtor warned it cannot maintain operations or pursue reorganization. For adequate protection, the Debtor proposed a replacement lien and monthly payments of $843.95 to Five Star Bank, its primary secured creditor, reflecting any reduction in the value of cash collateral used post-petition. Other secured creditors will receive only replacement liens, as their claims are undersecured and expected to be reclassified as general unsecured claims under the reorganization plan. About Sanctuaryspa Inc. Sanctuaryspa Inc. is a boutique day spa in Long Beach offering a range of services including facials, massages, body treatments, dermaplaning, chemical peels, and DiamondGlow treatments. The spa customizes services to individual needs and emphasizes a holistic approach to skincare. It operates in a tranquil setting designed to promote wellness and relaxation. Sanctuaryspa sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C. D. Calif. Case No. 25-14964) on June 12, 2025. In the petition signed by Crista Rossi, chief executive officer, the Debtor disclosed $50,397 in assets and $1,032,222 in liabilities. Michael Jay Berger, Esq., at the Law Offices of Michael Jay Berger, is the Debtor's bankruptcy counsel. Five Star Bank, as secured creditor, is represented by: Thomas P. Griffin, Jr., Esq. Hefner, Stark & Marois, LLP 2150 River Plaza Drive, Suite 450 Sacramento, CA 95833 Telephone: (916) 925-6620 Facsimile: (916) 925-1127 tgriffin@hsmlaw.com SANDY HILLS: Hires Weinberg Gross & Pergament LLP as Attorney ------------------------------------------------------------- Sandy Hills LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to hire Weinberg, Gross & Pergament LLP as attorneys. The firm will provide these services: (a) advise the Debtor with respect to its powers and duties in the continued management of its business and property; (b) represent the Debtor before the Bankruptcy Court and at all hearings on matters pertaining to its affairs; (c) advise and assist the Debtor in the preparation and negotiation of a plan of reorganization with its creditors; (d) prepare all necessary legal papers; and (e) perform all legal services for the Debtor which may be desirable and necessary. The hourly rates of the firm's counsel and staff are as follows: Partners $650 - $675 Associates $450 - $550 Paralegals $120 Marc Pergament, Esq., an attorney at Weinberg, Gross & Pergament disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Marc A. Pergament, Esq. Weinberg, Gross & Pergament, LLP 400 Garden City Plaza, Suite 309 Garden City, NY 11530 Telephone: (516) 877-2424 Email: mpergament@wgplaw.com About Sandy Hills LLC Sandy Hills LLC is a land development company based in Babylon, New York. It focuses on acquiring and rezoning land for residential and mixed-use projects. Sandy Hills LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-72181) on June 2, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Alan S. Trust handles the case. The Debtors are represented by Marc A. Pergament, Esq. at WEINBERG, GROSS & PERGAMENT LLP. SCARFE WHISPERS: Hires Mickler & Mickler LLP as Counsel ------------------------------------------------------- Scarfe Whispers Oyster Bar & Seafood Lounge LLC seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ the Law Offices of Mickler & Mickler LLP to handle its Chapter 11 case. The firm will be paid at its hourly rate of $300 to $400. Bryan Mickler, Esq., an attorney at Mickler & Mickler, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Bryan K. Mickler, Esq. Law Offices of Mickler & Mickler, LLP 5452 Arlington Expressway Jacksonville, FL 322211 Telephone: (904) 725-0822 Facsimile: (904) 725-0855 Email: bkmickler@planlaw.com About Scarfe Whispers Oyster Bar & Seafood Lounge LLC Scarfe Whispers Oyster Bar & Seafood Lounge LLC, filed a Chapter 11 bankruptcy petition (Bankr. D. Fla. Case No. 3:25-bk-01951-BAJ) on June 12, 2025. The Debtor hires the Law Offices of Mickler & Mickler LLP as counsel. SCARLET KITCHEN: Gets OK to Use Cash Collateral Until July 16 ------------------------------------------------------------- Scarlet Kitchen & Lounge, LLC got the green light from the U.S. Bankruptcy Court for the Central District of California, Santa Ana Division, to use cash collateral until July 16. The court's order authorized the Debtor to use up to $141,000 in cash collateral to pay its expenses during the interim period. The Debtor was also authorized to pay all pre-bankruptcy payroll obligations that (i) are not more than $17,150 total to any employee; (ii) were earned within 180 days before June 17; (iii) are not payable to insiders within the meaning under Section 101(31)(B); and (iv) are otherwise entitled to priority under Section 507(b)(4) of the Bankruptcy Code. The next hearing is set for July 16. Objections are due by July 14. The Debtor faced financial hardship after opening shortly before the COVID-19 pandemic, leading to a reliance on merchant cash advances to fund operations. These MCAs, totaling $424,047, were repaid through daily ACH withdrawals, ultimately depleting the Debtor's cash flow and forcing it to obtain additional advances. Other liabilities include $74,881 in unpaid sales taxes, approximately $20,000 in property taxes, and $109,194 owed to trade vendors. As of the filing date, the Debtor's cash on hand was just $305, with an additional $3,325 in accounts receivable. The Debtor prepared a six-month operating budget and plans to use the cash collateral consisting of cash and receivables potentially subject to liens from MCA lenders. To protect secured creditors, the Debtor offers replacement liens of equal value. About Scarlet Kitchen & Lounge LLC Scarlet Kitchen & Lounge, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 8:25-bk-11641-SC) on June 17, 2025. In the petition signed by Paige Riordan, owner/executive chef, the Debtor disclosed up to $500,000 in assets and up to $1 million in liabilities. Judge Scott C. Clarkson oversees the case. Donald Reid, Esq., at Law Office of Donald W. Reid, represents the Debtor as legal counsel. SHUBREW LLC: Seeks to Hire Wilke CPAs & Advisors as Accountant -------------------------------------------------------------- ShuBrew LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Pennsylvania to hire Wilke CPAs & Advisors, LLP to prepare various tax returns and filings. The Debtor proposes to pay the accountant fees based upon their standard billing rates of $100 to $250 per hour depending upon the professional and a retainer of $2,750 to engage the services, which will be applied to future work performed. Wilke CPAs & Advisors is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code and as required by Section 327(a) of the Bankruptcy Code and will hold no interest adverse to the Debtor and the bankruptcy estate for the matters for which he is to be engaged, according to court filings. The firm can be reached through: Peter E. Fleming, CPA Wilke CPAs & Advisors, LLP 1721 Cochran Road, Suite 200 Pittsburgh, PA 15220-1002 Tel: (412) 278-2200 Email: Info@wilkecpa.com About ShuBrew LLC ShuBrew LLC is a famous beer and brewery brand. ShuBrew LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Pa. Case No. 25-20577) on March 6, 2025. In its petition, the Debtor reports estimated assets ranging from $100,000 to $500,000 and liabilities between $500,000 and $1 million. The Debtor is represented by Brian C. Thompson, Esq. at Thompson Law Group, PC. SKY GARDEN'S: Hilco to Sell Miami Beach Development Site -------------------------------------------------------- Hilco Real Estate Sales is accepting offers starting July 22, 2025, for a fully entitled, North Miami Beach Development Site located at 16300 NE 19th Avenue, North Miami Beach, Florida. The property is owned by Sky Garden's Residences LLC. The sale is subject to approval of the U.S. Bankruptcy Court for the District of Florida. For further information on the property, terms of participation or to obtain access to due diligence documents, please visit HilcoRealEstateSales.com or call (855) 755-2300. SLM SERVICES: Seeks Subchapter V Bankruptcy in Connecticut ---------------------------------------------------------- On June 24, 2025, SLM Services LLC 2025 filed Chapter 11 protection in the U.S. Bankruptcy Court for the District of Connecticut. According to court filing, the Debtor reports $1,054,349 in debt owed to 50 and 99 creditors. The petition states funds will be available to unsecured creditors. About SLM Services LLC SLM Services LLC, DBA Northeast Horticultural Services, provides tree care and organic landscaping services in Fairfield County, Connecticut, including Fairfield, Weston, and Westport. The Company offers plant health care, tree removal, landscape design, and organic lawn care, with a focus on environmentally friendly practices. It serves both residential and commercial clients. SLM Services LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Conn. Case No. 25-50514) on June 24, 2025. In its petition, the Debtor reports total assets of $2,855,436 and total liabilities of $1,054,34. The Debtors are represented by Jeffrey Hellman, Esq. at LAW OFFICES OF JEFFREY HELLMAN, LLC. SOLLIO COOPERATIVE: DBRS Gives BB(high) Issuer Rating ----------------------------------------------------- DBRS Limited assigned an Issuer Rating of BB (high) to Sollio Cooperative Group (Sollio or the Company) and a provisional credit rating of (P) BB to the Company's Senior Unsecured Notes, both with Stable trends. The provisional Senior Unsecured Notes rating is based on a recovery rating of RR5. KEY CREDIT RATING CONSIDERATIONS The credit ratings are supported by Sollio's established brands, market position, and distribution network as well as by the business risk benefits associated with the Company's cooperative structure and the high barriers to entry in the agri-food business. That said, the credit ratings also take into consideration Sollio's relative geographic concentration, competitive market environment, exposure to economic cycles (particularly in the home improvement segment), volatility in the Olymel business segment, and the idiosyncrasies associated with the Company's financials, due to its cooperative structure. The Stable trends are based on Morningstar DBRS' expectation that the Company will remain prudent with its capital allocation priorities and maintain key credit metrics that, in aggregate, are acceptable within the current rating category on a sustainable basis (i.e., debt-to-EBITDA remains below 4.5 times (x) and EBITDA-interest coverage remains above 3.5x). For these key credit metrics, Morningstar DBRS' debt calculation includes the Company's lease liabilities, accounts receivable securitization, a portion of outstanding preferred shares, and all subsidiary debt. Sollio is proposing to issue up to $200 million of senior unsecured notes (the Proposed Notes). The Company is expected to use the proceeds towards the repurchase of preferred shares. Given the staggered repayment periods, excess proceeds in the interim may go towards temporary revolver repayments. The remainder of proceeds is expected to be used for transaction fees and expenses. The Proposed Notes will be senior unsecured obligations and will rank equally and pari passu with other present and future unsecured obligations and senior in right of payment to all existing and future subordinated obligations. The Proposed Notes will be initially fully and unconditionally guaranteed solidarily (jointly and severally), on a senior unsecured basis, by the existing and future subsidiaries that, subject to specified exemptions, are borrowers under or provide guarantees with respect to Sollio's Revolving Credit Facility, for so long as guarantees are in place thereunder. The Proposed Notes and the guarantees will be effectively subordinated to all future secured obligations, to the extent of the value of the assets securing such obligations. The Proposed Notes will be structurally subordinated to all existing and future obligations, including indebtedness and trade payables, of any of Sollio's subsidiaries that do not guarantee the Proposed Notes. CREDIT RATING DRIVERS Should the Company materially improve its business risk profile through increased size and diversification while credit metrics are sustained at levels acceptable for the higher credit rating category (i.e., debt-to-EBITDA comfortably below 3.50x), Morningstar DBRS could take a positive credit rating action. Conversely, should operating performance deteriorate and/or the Company implement more aggressive financial management practices such that credit metrics weaken to levels no longer appropriate for the current credit ratings (i.e., debt-to-EBITDA above 4.50x), Morningstar DBRS would likely take negative rating action. EARNINGS OUTLOOK Morningstar DBRS expects Sollio's earnings profile to remain relatively stable during the forecast period and commensurate with the current rating category. Morningstar DBRS anticipates revenues to increase in the low-single digits, increasing towards $8.0 billion in F2025 and above $8.1 billion in F2026 from $7.8 billion in F2024. The revenue growth forecast assumes steady growth in the food and agriculture segments while BMR retail sales are expected to be relatively flat in the near term as consumer spending trends in the home improvement sector remain subdued. In the absence of any material trade actions or tariff policy shifts, Morningstar DBRS expects the Company to be able to maintain EBITDA margins at the current improved levels and to be relatively resilient compared with the post-pandemic volatility. Morningstar DBRS expects margin stability to be driven by an increased proportion of higher-margin value-added products and efficiency improvements, partially offset by near-term input cost pressures. As a result, Morningstar DBRS expects EBITDA to grow toward $520 million by F2026 from $497 million in F2024. FINANCIAL OUTLOOK In terms of financial profile, Morningstar DBRS expects leverage will increase during F2025 and F2026 to support the Company's growth capital investments but remain acceptable for the current rating category. Morningstar DBRS expects Sollio's financial profile to be supported by the Company's solid cash flow-generating capacity, which is more than sufficient to cover its capital expenditure (capex) plans and mandatory debt repayments. Cash flow from operations (including distributions from joint ventures and before any patronage refunds) are forecast at around $350 million in F2025 and F2026, relatively flat compared with $361 million in F2024. Capex is expected to remain elevated in the $135 million to $150 million range during F2025 and F2026, similar to F2024 levels, as Sollio continues to invest in its distribution networks and technology improvements. Morningstar DBRS expects the Company will continue to distribute the patronage refund at the end of the year to qualifying dealers in the form of cash or common shares. Morningstar DBRS expects the Company will use the free cash flows (before any working capital changes) of $170 million and $190 million in F2025 and F2026, respectively, combined with additional debt, toward capital projects for process optimization as well as preferred share redemptions. As such, and with the additional debt issuance, debt-to-EBITDA is expected to increase toward 3.8x in F2025 and 4.1x in F2026 compared with 3.3x in F2024, remaining acceptable for the current rating category. CREDIT RATING RATIONALE Over the last five years Sollio's earnings have experienced some volatility as operating performance was significantly affected by several events during and following the coronavirus pandemic. Sollio's revenue increased materially at the beginning of the pandemic to $8.4 billion in the fiscal year ended October 31, 2022 (F2022), from $7.6 billion in F2020, primarily driven by higher commodity prices and increased demand for home improvement products. Since then, revenue has reverted to $7.8 billion, primarily as a result of the normalization of both commodity prices and consumer home improvement spending, as well as some strategic divestitures, including the Company's Giannone partnership and its direct grain merchandising operations. Sollio's EBITDA margins were materially affected in F2021 and F2022, resulting in a decline in EBITDA (adjusted for operating leases and including the cash distributions from equity investments) to $129 million in F2022 from $441 million in F2020. This decline was primarily due to headwinds related to bans on exports to China; labor disruptions and shortages that affected the Company's slaughtering operations, resulting in outsourcing and increased feed costs as hogs stayed longer on farms; and elevated grain prices that affected hog production margins. Morningstar DBRS notes that Sollio has taken steps to improve its operating efficiency and reduce future volatility in earnings. These actions include reducing the Company's reliance on sales to China and its exposure to unpredictable trade restrictions, increasing the proportion of higher-margin chicken and value-added pork products, and reducing its reliance on foreign labor through asset consolidation and supporting permanent residency status for select foreign workers. The effects of these strategic initiatives, coupled with normalization in commodity pricing and gross margins, resulted in EBITDA recovering to $497 million in F2024. Comprehensive Business Risk Assessment (CBRA): Sollio's CBRA of BBH is supported by the Company's established brands, market position, and distribution network as well as by the business risk benefits associated with the Company's cooperative structure and the high barriers to entry in the agri-food business. The CBRA also takes into consideration Sollio's relative geographic concentration, competitive market environment, exposure to economic cycles (particularly in the home improvement segment), and volatility in the Olymel business segment Comprehensive Financial Risk Assessment (CFRA): Sollio's CFRA of BBH reflects Morningstar DBRS' expectation that the Company will prudently manage capital allocation priorities, particularly in the case of any earnings volatility, to maintain key credit metrics at levels that are acceptable for the current rating category. Intrinsic Assessment (IA): The IA of BBH is within the Intrinsic Assessment range and is based on the CBRA and CFRA, also taking into consideration peer comparisons, among other factors. Additional Considerations: The credit ratings include no further negative or positive adjustments from additional considerations. Notes: All figures are in Canadian dollars unless otherwise noted. SONOCO PRODUCTS: Egan-Jones Retains BB+ Senior Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on June 4, 2025, maintained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Sonoco Products Company. Headquartered in Hartsville, South Carolina, Sonoco Products Company manufactures industrial and consumer packaging solutions for customers around the world. SOUND VISION: Seeks Chapter 11 Bankruptcy in New York ----------------------------------------------------- On June 23, 2025, Sound Vision Care 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 Sound Vision Care Inc. Sound Vision Care Inc. provides comprehensive eye care services, including eye exams, treatment for various eye conditions, and personalized fittings for eyeglasses and contact lenses. Operating in Riverhead, Southold, and Southampton, New York, the practice serves patients of all ages and needs. The clinic is staffed by trained professionals and led by Dr. Jeffrey Williams, who offers referrals to ophthalmologists for surgical care. Sound Vision Care Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-72421) on June 23, 2025. In its petition, the Debtor reports estimated assets between $50,000 and $100,000 and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Louis A. Scarcella handles the case. The Debtors are represented by Robert L. Rattet, Esq. at DAVIDOFF HUTCHER & CITRON LLP. SOUTH BROADWAY: Trustee Taps Joseph A. Broderick as Accountant -------------------------------------------------------------- Allan B. Mendelsohn, Chapter 11 trustee of South Broadway Realty Enterprise Inc., seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to employ Joseph A. Broderick, P.C. as his accountants. The firm will render these services: a. prepare monthly operating reports; b. analyze tax issues relating to a plan or other exit strategy and proposed transactions; c. provide tax advice; d. prepare appropriate tax returns; e. prepare appropriate requests for the determination pursuant to Section 505(b) of the Bankruptcy Code; f. review proofs of claims filed by taxing authorities; and g. assist with such other matters as the Trustee or his counsel may request from time to time. The firm will be paid at these rates: Partners $500 per hour Seniors $250 per hour Staff $175 per hour Joseph Broderick is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code, according to a court filing. The firm can be reached through: Joseph A. Broderick, CPA Joseph A. Broderick, P.C. 734 Walt Whitman Rd. Melville, NY 11747 Telephone: (631) 462-1779 About South Broadway Realty Enterprise Inc. South Broadway owns a commercial building located at 640 South Broadway Hicksville, New York 11801 valued at $2.5 million. South Broadway Realty Enterprise, Inc. in Hicksville, NY, filed its voluntary petition for Chapter 11 protection (Bankr. E.D.N.Y. Case No. 23-74237) on November 13, 2023, listing $2,500,013 in assets and $2,080,067 in liabilities. Francesco Guerrieri as president, signed the petition. Judge Alan S. Trust oversees the case. LAW OFFICES OF AVRUM J. ROSEN, PLLC serve as the Debtor's legal counsel. SOUTH TEXAS: Gets Interim OK to Use Cash Collateral Until July 23 ----------------------------------------------------------------- South Texas Corral, LLC got the green light from the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, to use cash collateral. The court's order authorized the Debtor's interim use of cash collateral, including but not limited to, revenue through July 23 in accordance with its budget. The Debtor needs to use cash collateral to cover essential operating expenses. Without access to this cash, the Debtor said it will be forced to cease business operations. The Debtor identifies multiple creditors with UCC liens, but only Banc of California (successor to CapitalSource) holds a first-position blanket lien on the cash collateral. Other creditors are considered junior lienholders and are believed to be unsecured. As protection for any diminution in the value of its collateral, Banc of California will be granted replacement liens on and security interests in all assets of the Debtor and the proceeds thereof. In addition, Banc of California will receive a monthly payment of $855, representing the accruing interest on its secured loan. Payments will start next month. Other creditors with interest in the cash collateral will also be provided with protection in the form of replacement liens on cash collateral generated and property acquired by the Debtor after the petition date, with the same validity, priority and extent as their pre-bankruptcy liens. The final hearing is scheduled for July 23. Banc of California is represented by: Lynn Hamilton Butler, Esq. Husch Blackwell, LLP 111 Congress Avenue, Suite 1400 Austin, Texas 78701-4093 (512) 479-9758 (Telephone) (512) 479-1101 (Facsimile) Lynn.Butler@huschblackwell.com About South Texas Corral LLC Established in 2014, South Texas Corral, LLC operates a Golden Corral buffet restaurant franchise in Brownsville, Texas. It offers dine-in and takeout services featuring a wide variety of food options including breakfast, lunch, and dinner buffets. South Texas Corral sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Case No. 25-10113) on June 17, 2025, listing $149,674 in assets and $1,636,260 in liabilities. Gaspar Hernandez, president of South Texas Corral, signed the petition. Judge Eduardo V Rodriguez oversees the case. Robert C. Lane, Esq., and Kyle K. Garza, Esq., at The Lane Law Firm, PLLC, represent the Debtor as legal counsel. SOUTH TEXAS: Hires Lane Law Firm as Bankruptcy Counsel ------------------------------------------------------ South Texas Corral LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Texas to hire The Lane Law Firm, PLLC as counsel. The firm will render these services: (a) assist, advise and represent the Debtor relative to the administration of the Chapter 11 case; (b) assist, advise and represent the Debtor in analyzing its assets and liabilities, investigating the extent and validity of lien and claims, and participating in and reviewing any proposed asset sales or dispositions; (c) attend meetings and negotiate with the representatives of the secured creditors; (d) assist the Debtor in the preparation, analysis and negotiation of any plan of reorganization and disclosure statement accompanying any plan of reorganization; (e) take all necessary action to protect and preserve the interests of the Debtor; (f) appear, as appropriate, before this Court, the Appellate Courts, and other Courts in which matters may be heard and to protect the interests of the Debtor before said courts and the United States Trustee; and (g) perform all other necessary legal services in this case. The firm will be paid at these rates: Robert Lane, Partner $595 per hour Zach Casas, Partner $500 per hour Kyle Garza, Partner $450 per hour Grant Bullwinkel, Partner $450 per hour Paralegals $250 per hour In addition, the firm will seek reimbursement for expenses incurred. The firm received retainer payments in the amount of $35,000 from the Debtor. Mr. Lane disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Robert C. Lane, Esq. The Lane Law Firm, PLLC 6200 Savoy, Suite 1150 Houston, TX 77036 Tel: (713) 595-8200 Fax: (713) 595-8201 Email: notifications@lanelaw.com About South Texas Corral LLC South Texas Corral LLC established in 2014, operates a Golden Corral buffet restaurant franchise in Brownsville, Texas. The Company offers dine-in and takeout services featuring a wide variety of food options including breakfast, lunch, and dinner buffets. South Texas Corral LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-10113) on June 17, 2025. In its petition, the Debtor reports total assets of $149,674 and total liabilities of $1,636,260. Honorable Bankruptcy Judge Eduardo V. Rodriguez handles the case. The Debtors are represented by Robert C. Lane, Esq. and Kyle K. Garza, Esq. at THE LANE LAW FIRM, PLLC. SOUTH TEXAS: Taps Omar Garcia of Secure Plus as CFO --------------------------------------------------- South Texas Corral LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Texas to hire Omar Garcia of Secure Plus Financial as fractional CFO. Secure Plus will provide bookkeeping and tax preparation services according to the fee rate of $1,500 per week. Omar Garcia, CEO of Secure Plus Financial, assured the court that his firm is a "disinterested person" within the meaning of 11 U.S.C. 101(14). The firm can be reached through: Omar Garcia Secure Plus Financial 4002 Paredes Line Rd Ste 15 Brownsville, TX 78526 Phone: (956) 233-7841 About South Texas Corral LLC South Texas Corral LLC established in 2014, operates a Golden Corral buffet restaurant franchise in Brownsville, Texas. The Company offers dine-in and takeout services featuring a wide variety of food options including breakfast, lunch, and dinner buffets. South Texas Corral LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-10113) on June 17, 2025. In its petition, the Debtor reports total assets of $149,674 and total liabilities of $1,636,260. Honorable Bankruptcy Judge Eduardo V. Rodriguez handles the case. The Debtors are represented by Robert C. Lane, Esq. and Kyle K. Garza, Esq. at THE LANE LAW FIRM, PLLC. SOUTHWEST GAS: Egan-Jones Hikes Senior Unsecured Ratings to BB+ --------------------------------------------------------------- Egan-Jones Ratings Company on June 16, 2025, upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Southwest Gas Corporation to BB+ from BBB-. Headquartered in Las Vegas, Nevada, Southwest Gas Corporation operates as a utility services. STAFFING MANAGEMENT: Case Summary & 12 Unsecured Creditors ---------------------------------------------------------- Debtor: Staffing Management Group, LLC 3502 Henderson Blvd Unit 227 Tampa, FL 33607 Business Description: Staffing Management Group, LLC provides consulting services to recruiting firms, staffing agencies, and entrepreneurs across the United States. It offers solutions including EOR support, technology integration, staffing web tools, payroll funding, payrolling services, and recruiting support to improve workforce and organizational performance. Chapter 11 Petition Date: June 27, 2025 Court: United States Bankruptcy Court Middle District of Florida Case No.: 25-04366 Judge: Hon. Catherine Peek McEwen Debtor's Counsel: Daniel Etlinger, Esq. UNDERWOOD MURRAY, P.A. 100 N. Tampa St Tampa, FL 33602 Tel: (813) 540-8407 E-mail: detlinger@underwoodmurray.com Total Assets: $744,318 Total Liabilities: $1,979,487 The petition was signed by Matthew Kolinski as CEO. A full-text copy of the petition, which includes a list of the Debtor's 12 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/XOMMOMA/Staffing_Management_Group_LLC__flmbke-25-04366__0001.0.pdf?mcid=tGE4TAMA STARKS LAW: Lender Seeks to Prohibit Cash Collateral Access ----------------------------------------------------------- Firstrust Bank asked the U.S. Bankruptcy Court for the Western District of Pennsylvania to prohibit Starks Law, PC from using cash collateral. The Debtor filed for Chapter 11 bankruptcy on December 13, 2024, and owes Firstrust approximately $1.03 million, secured by a first priority interest in nearly all of the Debtor's assets, including cash and receivables. The court previously authorized limited use of cash collateral under two interim orders, which required the Debtor to make monthly adequate protection payments. The Debtor failed to comply, making only one payment and missing others, including a required $9,456 payment due June 4. Firstrust notified the Debtor of the default but the default was not cured within the required seven-day period, triggering automatic termination of the Debtor's authority to use the cash collateral. A court hearing is scheduled for July 17. About Starks Law PC Starks Law, PC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Pa. Case No. 24-23028) on Dec. 13, 2024, listing between $100,001 and $500,000 in assets and between $1 million and $10 million in liabilities. Judge John C. Melaragno oversees the case. Donald R. Calaiaro, Esq., at Calaiaro Valencik is the Debtor's legal counsel. Firstrust Bank is represented by: Joseph S. Sisca, Esq. Grenen & Birsic, P.C. One Gateway Center, 9th Floor Pittsburgh, PA 15222 Phone: 412-281-7650 Fax: 412-281-7657 jsisca@grenenbirsic.com STERNE WOOD: Hires Law Office of Donald W. Reid as Counsel ---------------------------------------------------------- Sterne Wood, LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of California to employ Law Office of Donald W. Reid as counsel. a. prepare pleadings, applications and conduct examinations incidental to administration; b. advise the Debtor with respect to its rights, powers, duties and obligations as a debtor in possession in the administration of this case, the management of its financial affairs and the management of their income and property; c. advise and assist the Debtor with respect to compliance with the requirements of the Office of the United States Trustee; d. advise the Debtor regarding matters of bankruptcy law, including rights and remedies of Debtor with respect to its assets and with respect to claims of creditors and to communicate and negotiate with such creditors; e. advise and represent the Debtor in connection with all applications, motions or complaints for adequate protection, sequestration, relief from stays, appointment of a trustee or examiner and all other similar matters; f. develop the relationship of the status of the Debtor to the claims of creditors in these proceedings; g. advise and assist the Debtor with obtaining court approval of the sale of the Properties; h. advise and assist the Debtor in the formulation and presentation of a plan pursuant to Chapter 11 of the Bankruptcy Code and concerning any and all matters relating thereto; i. represent the Debtor in any necessary adversary proceedings; and j. perform any and all other legal services incident and necessary herein. The firm will be paid at the rate of $500 per hour. The Debtor paid the firm an initial retainer of $15,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. In addition, the firm will seek reimbursement for its out-of-pocket expenses. Mr. Reid disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Donald W. Reid, Esq. Toby Shanner, Esq. Law Office Of Donald W. Reid PO Box 2227 Fallbrook, CA 92088 Tel: (951) 777-2460 Email: don@donreidlaw.com toby@shannerlaw.com About Sterne Wood, LLC Sterne Wood LLC is a limited liability company in San Diego, Calif. Sterne Wood sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Calif. Case No. 25-01945) on May 13, 2025. In its petition, the Debtor reported up to $50,000 in assets and between $1 million and $10 million in liabilities. Judge J. Barrett Marum oversees the case. The Debtor is represented by Donald Reid, Esq., at the Law Office of Donald W. Reid. STOLI GROUP: Gets Extension to Access Cash Collateral ----------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Texas approved the sixth stipulation allowing Stoli Group (USA), LLC and Kentucky Owl, LLC to continue to use the cash collateral of Fifth Third Bank, National Association. The stipulation extended the Debtors' authority to use the lender's cash collateral to July 4 to pay the expenses set forth in their latest budget. The Debtors are required to pay the lender $250,000 by July 1 for the lender's professionals fees and expenses that accrued in May. The next hearing is set for July 2. Prior to the petition date, the Debtors entered into and obtained separate senior secured revolving credit facilities from Fifth Third Bank. Under the credit agreements, Stoli and Kentucky Owl were provided $50 million and $40 million, respectively. The loans are secured by a first priority lien on substantially all of the Debtors' assets. Moreover, Fifth Third Bank alleges that the Debtors' collective obligations are further secured via cross-collateralization and that the Debtors are purportedly guarantors of each other's obligations. As of the petition date, the Debtors' aggregate principal outstanding funded debt obligations total approximately $78,374,334.30. Fifth Third Bank holds valid, senior, perfected, and enforceable liens on the collateral, including cash proceeds and other cash equivalents, which constitute the lender's cash collateral. A copy of the court's order and the budget is available at https://shorturl.at/uMP5n from PacerMonitor.com. About Stoli Group (USA) LLC Stoli Group (USA), LLC is a producer, manager, and distributor of a global portfolio of spirits and wines. Stoli Group (USA) and Kentucky Owl, LLC filed Chapter 11 petitions (Bankr. N.D. Texas Lead Case No. 24-80146) on November 27, 2024. At the time of the filing, Stoli Group (USA) reported $100 million to $500 million in assets and $10 million to $50 million in liabilities while Kentucky Owl reported $50 million to $100 million in assets and $50,000,001 to $100 million in liabilities. Judge Scott W. Everett handles the cases. Holland N. O'Neil, Esq., at Foley & Lardner, LLP is the Debtor's legal counsel. Fifth Third Bank, N.A., as lender, is represented by: Brent McIlwain, Esq. Christopher A. Bailey, Esq. Holland & Knight, LLP 1722 Routh Street, Suite 1500 Dallas, TX 75201 Telephone: 214.969.1700 Email: brent.mcilwain@hklaw.com chris.bailey@hklaw.com -- and -- Jeremy M. Downs, Esq. Steven J. Wickman, Esq. Goldberg Kohn, Ltd. 55 East Monroe Street, Suite 3300 Chicago, IL 60603 Telephone: 312.201.4000 Email: jeremy.downs@goldbergkohn.com steven.wickman@goldbergkohn.com STONE DELUXE: Hires DiMarco Warshaw APLC as Counsel --------------------------------------------------- Stone Deluxe, Inc. seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ DiMarco Warshaw, APLC as counsel. The firm will render these services: 1. represent Debtor as a Debtor in Possession; 2. advise Debtor regarding the requirements of the Bankruptcy Code, the Bankruptcy Rules, the Local Bankruptcy Rules, and the requirements of the Office of the United States Trustee pertaining to the administration of the Estate and the use thereof; 3. advise and represent the Debtor concerning its rights and remedies regarding the assets of the Estate; 4. prepare, among other things, motions, applications, answers, orders, memoranda, reports, and papers in connection with the administration of the Estate, including assisting with monthly operating reports; 5. protect and preserve the Estate by prosecuting and defending actions commenced by or against the Debtor; 6. analyze and prepare necessary objections to proofs of claim filed against the Estate; 7. represent Debtor in proceedings or hearings in this Court; 8. negotiate, formulate, and draft any plan(s) of reorganization and disclosure statement(s); 9. advise and represent Debtor in connection with its investigation of potential causes of action against persons or entities, including, but not limited to, avoidance actions, and the litigation thereof, if warranted; and 10. render such other advice and services as Debtor may require in connection with the Case. The firm will be paid at these rates: Darren J. DiMarco, Partner $460 per hour Andy C. Warshaw, Partner $460 per hour Other Of Counsel Attorney $425 per hour Firm Associates $375 per hour Paralegals/Paraprofessionals $225 per hour Law Clerks $195 per hour In addition, the firm will seek reimbursement for expenses incurred. The Debtor paid the firm a retainer of $20,000. Mr. Warshaw disclosed in a court filing that the firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Andy C. Warshaw, Esq. DiMarco Warshaw, APLC P.O. Box 704 San Clemente, CA 92674 Telephone: (949) 345-1455 Facsimile: (949) 417-9412 Email: andy@dimarcowarshaw.com About Stone Deluxe, Inc. Stone Deluxe Inc., operating as Stone Deluxe Tile, is a specialized design services company focusing on stone and tile products. Stone Deluxe sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-11348) on May 20, 2025. In its petition, the Debtor reported estimated assets between $100,000 and $500,000 and estimated liabilities between $500,000 and $1 million. Judge Scott C. Clarkson handles the case. The Debtor is represented by Andy C. Warshaw, Esq. STONEX GROUP: Egan-Jones Retains B+ Senior Unsecured Ratings ------------------------------------------------------------ Egan-Jones Ratings Company on June 17, 2025, maintained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by StoneX Group Inc. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in New York, StoneX Group Inc. is an institutional-grade financial services network that connects companies, organizations, and investors to the global markets ecosystem. STORMS FAMILY: Hires Susan D. Lasky PA as Bankruptcy Counsel ------------------------------------------------------------ Storms Family Land Trust seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to hire Susan D. Lasky, PA as legal counsel. The firm will render these services: (a) advise the Debtor with respect to its powers and duties in the continued management of its financial affairs; (b) advise the Debtor with respect to its responsibilities in complying with the U.S. Trustee's Operating Guidelines and Reporting Requirements and with the rules of the court; (c) prepare legal documents necessary in the administration of the case; (d) protect the interest of the Debtor in all matters pending before the court; and (e) represent the Debtor in negotiation with its creditors in the preparation of a Plan. The firm will be paid at these rates: Susan Lasky, Attorney $500 per hour Paralegal $250 per hour The firm holds a retainer of $2,500. In addition, the firm will seek reimbursement for expenses incurred. Ms. Lasky disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Susan D. Lasky, Esq. 320 S.E. 18th St. Ft. Lauderdale, FL 33316 Telephone: (954) 400-7474 Email: Sue@SueLasky.com About Storms Family Land Trust Storms Family Land Trust is a land trust that holds a single real estate asset located at 3325 NE 14 Court in Fort Lauderdale, Florida. The property is valued at approximately $2.49 million. Storms Family Land Trust sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-16373) on June 2, 2025. In its petition, the Debtor reports total assets of $2,489,590 and total liabilities of $3,279,886. Honorable Bankruptcy Judge Peter D. Russin handles the case. The Debtors are represented by Susan D. Lasky, Esq. at SUSAN D. LASKY, PA. SUNSET PALM: Section 341(a) Meeting of Creditors on July 17 ----------------------------------------------------------- On June 21, 2025, Sunset Palm Villas Condominium Association Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Florida. According to court filing, the Debtor reports between $10 million and $50 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. A meeting of creditors under Section 341(a) to be held on July 17, 2025 at 09:00 AM by TELEPHONE. About Sunset Palm Villas Condominium Association Inc. Sunset Palm Villas Condominium Association Inc. oversees the management and maintenance of the Sunset Palm Villas residential complex located in Miami, Florida. The association handles property operations, common area upkeep, and enforces community regulations on behalf of unit owners. Sunset Palm Villas Condominium Association Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-17036) on June 21, 2025. In its petition, the Debtor reports estimated assets between $500,000 and $1 million and estimated liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Corali Lopez-Castro handles the case. The Debtors are represented byRobert Reynolds, Esq. at LAW OFFICES OF ROBERT E. REYNOLDS, P.A. SUNSTONE DEVELOPMENT: Taps Coldwell Banker Commercial as Broker --------------------------------------------------------------- Sunstone Development, LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ Coldwell Banker Commercial Realty as real estate broker. The firm will market and sell four parcels of vacant land in Dana Point, California. Two of the Dana Point Parcels (Assessor Parcel Numbers ("APN") 121-305-57 and 682-165-01) are located on the southwest corner of Pacific Coast Highway and Dana Point Harbor Drive ("Southside Parcels") and two of the Dana Point Parcels (APNs 682-166-24 and 682-166-08) are located on the northwest corner ("Northside Parcels"). Coldwell will receive a total commission of 2 percent of the sale price. Katherine Griffiths, a broker at Coldwell Banker, disclosed in the court filings that the firm is a disinterested person within the meaning of 11 U.S.C. Sec. 101(14). The firm can be reached through: Katherine Griffiths Coldwell Banker Commercial Realty 31582 Coast Highway Laguna Beach, CA 92651 Email: Pebblebeachkathy@gmail.com About Sunstone Development Sunstone Development, LLC filed Chapter 11 petition (Bankr. C.D. Calif. Case No. 25-11049) on April 22, 2025, listing between $10 million and $50 million in assets and liabilities. Judge Scott C. Clarkson oversees the case. Franklin Soto Leeds, LLP is the Debtor's legal counsel. SVB FINANCIAL: Three Motions to Dismiss Securities Case Tossed -------------------------------------------------------------- Judge Noel Wise of the United States District Court for the Northern District of California denied the motions filed by the Exchange Act Defendants, KPMG, and the Executive, Underwriter and Director Defendants to dismiss the consolidated case IN RE SVB FINANCIAL GROUP SECURITIES LITIGATION, Case No. 23-cv-01097-NW (N.D. Cal.) This is a putative class action for securities fraud against former officers, directors, underwriters, and an auditor of Silicon Valley Bank Financial Group, the parent company of Silicon Valley Bank. Lead Plaintiffs Norges Bank and Sjunde AP-Fonden filed a Consolidated Amended Complaint alleging violations of Sections 11, 12, and 15 of the Securities Act of 1933 and Sections 10(b), 20(a), and 20A of the Securities Exchange Act of 1934. Different configurations of defendants filed three motions to dismiss. Defendants to the Exchange Act counts, SVB CEO Gregory W. Becker and CFO Daniel J. Beck ("Exchange Act Defendants"), filed a motion specifically challenging those counts. KPMG, SVB's outside auditor, filed a motion to dismiss the single count against them under the Securities Act. Because the Exchange Act Defendants were also subject to Securities Act counts, Becker and Beck joined fellow executive Karen Hon the "Executive Defendants"), the Underwriters Defendants, and the Director Defendants in their motion to dismiss the Securities Act claims. Plaintiffs opposed the motions. The Court denies all three motions. Plaintiffs' Complaint is divided into two independent parts and is based on two, independent sets of claims. In Part One, Plaintiffs assert claims under Exchange Act Sections 10(b), 20(a), and 20A against Becker and Beck. Plaintiffs bring the Exchange Act claims "individually and on behalf of all persons and entities who purchased or otherwise acquired the common stock of Silicon Valley Bank Financial Group between Jan. 21, 2021, and March 10, 2023, inclusive(the "Class Period")." In Part Two, Plaintiffs assert claims under the Securities Act Sections 11, 12(a)(2) and 15 against former SVB executives, directors, underwriters, and KPMG. Plaintiffs bring the Securities Act claims individually and on behalf of the persons and entities who purchased SVB securities in, or traceable to, one or more of the Bank's eleven securities offerings during the Class Period. The principal issue in this case is whether the Defendants made materially false representations or omissions about SVB that induced Plaintiffs to buy securities in the Bank. As a general matter, the alleged misstatements and omissions at issue in this case can be distilled into eight categories, i.e., statements related to: (i) risk controls and their effectiveness; (ii) risk models and their effectiveness; (iii) interest rate risk controls and their effectiveness; (iv) purported benefits to SVB from rising interest rates; (v) liquidity controls and their effectiveness; (vi) held-to-maturity securities; (vii) internal controls over financial reporting and their effectiveness, and (viii) omissions of material information required by regulation S-K. Plaintiffs allege that SVB suffered from material financial weaknesses when it came to liquidity risk. Among other things: (1) SVB purportedly lacked an adequate liquidity limits framework; (2) the bank's internal liquidity stress testing suffered from material financial weaknesses; (3) its contingency funding plan suffered from material financial weaknesses; and (4) SVB suffered from material financial weaknesses in its controls for liquidity risk management. Plaintiffs allege that SVB misclassified tens of billions of dollars in investment debt securities as HTM ("Held-to-Maturity") in violation of GAAP ("Generally Accepted Accounting Principles"), masking the increasingly troubling financial health of the Bank. As a result of the misstatements, Plaintiffs allege that the Bank's Annual Reports and Quarterly Reports violated the requirements of Item 303 of Regulation S-K. Plaintiffs allege the Exchange Defendants made 25 misstatements in violation of Section 10(b). In response, Defendants contend Plaintiffs failed to meet three of the six elements required by Section 10(b): falsity, scienter, and loss causation. As a result, the Exchange Defendants argue that Plaintiffs' Section 10(b) claim must fail, which then negates their Section 20(a) and 20A claims. The Court finds that Plaintiffs sufficiently allege scienter. Defendants had contemporaneous knowledge of information that contradicted the representations Defendants made to their investors. While Plaintiffs are not required to prove loss causation at the motion to dismiss stage, they must (1) allege a "significant" drop in price and (2) allege with particularity facts plausibly suggesting that the fraud caused the stock drop, as opposed to some other fact. With SVB's billions of dollars in losses, Plaintiffs meet this standard easily, the Court concludes. The Securities Act Defendants present four reasons why Plaintiffs claims must fail: (1) the statements were not false at the time they were made; (2) the statements included sufficient warnings; (3) no reasonable investor would rely on statements concerning risk management; and (4) as to the HTM statements, those statements were accurate under appropriate accounting standards. KPMG was SVB's registered auditing firm from 1994 until the Bank collapsed. It issued unqualified audit reports in connection with SVB's Annual Reports filed on Forms 10-K for the years-ending Dec. 31, 2020, and Dec. 31, 2021 (filed March 1, 2021, and March 1, 2022, respectively), and consented to the incorporation-by-reference of those reports into the Offering Documents. Plaintiffs allege that KPMG issued clean audit reports for SVB including specifically that: (i) the consolidated financial statements issued by SVB presented fairly, in all material respects, the financial condition of the Bank in accordance with GAAP; (ii) SVB maintained, in all material respects, effective internal control over financial reporting" as of year-end; (iii) KPMG conducted its audits in accordance with the standards of the PCAOB," the Public Company Accounting Oversight Board; and (iv) KPMG disclosed each Critical Audit Matter as required by PCAOB standards. According to Plaintiffs, these statements were materially false, misleading, and omitted material facts because SVB suffered from significant and ongoing deficiencies in internal controls concerning the Bank's liquidity, interest rate risk, and ability to hold its HTM securities to maturity. KPMG contends that the alleged misrepresentations Offering Documents are decidedly statements of opinion -- not fact, and asks the Court to consider them under the Omnicare standard. Plaintiffs nominally disagree but spend most of their opposition insisting that KPMG's statements are actionable under Section 11 even if they are opinions. Because, as alleged, Plaintiffs' omissions theory of liability calls into question the issuer's basis for offering the opinion, KPMG's motion to dismiss is denied. A copy of the Court's Order is available at https://urlcurt.com/u?l=sXz5W5 from PacerMonitor.com. About SVB Financial Group SVB Financial Group (Pink Sheets: SIVBQ) is a financial services company focusing on the innovation economy, offering financial products and services to clients across the United States and in key international markets. Prior to March 10, 2023, SVB Financial Group owned and operated Silicon Valley Bank, a state chartered bank. During the week of March 6, 2023, Silicon Valley Bank, Santa Clara, CA, experienced a severe "run-on-the-bank." On the morning of March 10, the California Department of Financial Protection and Innovation seized SVB and placed it under the receivership of the Federal Deposit Insurance Corporation. SVB was the nation's 16th largest bank and the biggest to fail since the 2008 financial meltdown. On March 17, 2023, SVB Financial Group sought Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case No. 23-10367). The Debtor had assets of $19,679,000,000 and liabilities of $3,675,000,000 as of Dec. 31, 2022. The Hon. Martin Glenn is the bankruptcy judge. The Debtor tapped Sullivan & Cromwell, LLP as bankruptcy counsel; Centerview Partners, LLC as investment banker; and Alvarez & Marsal North America, LLC as restructuring advisor. William Kosturos, a partner at Alvarez & Marsal, serves as the Debtor's chief restructuring officer. Kroll Restructuring Administration, LLC, is the claims and noticing agent and administrative advisor. The U.S. Trustee for Region 2 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. The committee tapped Akin Gump Strauss Hauer & Feld, LLP as bankruptcy counsel; Cole Schotz P.C. as conflict counsel; Lazard Freres & Co. LLC as investment banker; and Berkeley Research Group, LLC as financial advisor. TELUS CORP: Egan-Jones Retains BB+ Senior Unsecured Ratings ----------------------------------------------------------- Egan-Jones Ratings Company on June 3, 2025, maintained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by TELUS Corporation. Headquartered in Vancouver, Canada, TELUS Corporation is a telecommunications company providing a variety of communications products and services. TERRA LAKE: Gets Interim OK to Use Cash Collateral Until July 15 ---------------------------------------------------------------- Leslie Osborne, Esq., the Chapter 11 trustee for Terra Lake Heights, LLC, got the green light from the U.S. Bankruptcy Court for the Southern District of Florida to use cash collateral through July 15. The court order signed by Judge Scott Grossman authorized the trustee's interim use of cash collateral to pay the amounts authorized by the court, including payments to the U.S. trustee for quarterly fees; the expenses set forth in the budget; and additional amounts approved by secured creditor, Big Real Estate Finance II, LLC. As protection for the use of its cash collateral, the secured creditor will be granted a post-petition security interest in and lien on its pre-bankruptcy collateral, with the same validity, extent and priority as its pre-bankruptcy security interests. In addition, Big Real Estate Finance will be granted an allowed superpriority administrative expense claim, with priority over all administrative expenses and other claims against the Debtor. The Debtor's authority to use cash collateral terminates upon the occurrence of so-called events of default, including its failure to remit to the secured creditor any "adequate protection" payment; dismissal or conversion of its Chapter 11 case; the reversal, revocation, modification, amendment, stay or rescission of the interim order unless consented to by the secured creditor; the distribution of any cash collateral other than in accordance with the terms of the interim order and budget; and upon payment in full of the entire claim of the secured creditor. The next hearing is scheduled for July 9. The Debtor, a multi-unit apartment complex in Tallahassee, Fla., filed for Chapter 11 protection on April 23. The Debtor allegedly owes the secured creditor approximately $19.8 million, secured by a first-priority lien on the Debtor's real and personal property, including leases, rents, equipment, and accounts. The bankruptcy trustee believes the rental income constitutes cash collateral and intends to use it for necessary business expenses like utilities, insurance, and property management. Big Real Estate Finance is represented by: Matthew A. Barish, Esq. Cole Schotz, P.C. One Boca Place 2255 Glades Road, Suite 300E Boca Raton, FL 33431 Phone: (646) 563-8958 mbarish@coleschotz.com vfink@coleschotz.com About Terra Lake Heights Terra Lake Heights, LLC is a limited liability company in Hollywood, Fla. Terra Lake Heights sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-14464) on April 23, 2025. In its petition, the Debtor reported up to $50,000 in assets and between $10 million and $50 million in liabilities. Judge Scott M. Grossman handles the case. The Debtor is represented by Chad Van Horn, Esq., at Van Horn Law Group, P.A. Leslie Osborne is the Chapter 11 trustee appointed in the Debtor's case. THUNDER INTERNATIONAL: Gets Interim OK to Use Cash Collateral ------------------------------------------------------------- Thunder International Group, Inc. and affiliates received further interim approval from the U.S. Bankruptcy Court for the District of New Jersey to use cash collateral. The order penned by Judge John Sherwood authorized the Debtors' interim use of cash collateral to pay the expenses set forth in their 13-week budget. This authorization will terminate upon the dismissal or conversion of the Debtors' Chapter 11 cases, the appointment of a bankruptcy trustee or the Debtors' failure to perform their obligations under the order. The Debtors intend to use funds generated from their accounts receivable and business income, which constitute the cash collateral of East West Bank, the U.S. Small Business Administration and merchant cash advance creditors. As protection for the use of their cash collateral, these secured creditors will be granted replacement liens on the Debtors' personal property to the same extent and priority as their pre-bankruptcy liens. The next hearing is scheduled for July 15, with objections due by July 11. About Thunder International Group Inc. Thunder International Group, Inc. is a fifth-party logistics (5PL) provider specializing in omni-channel logistics solutions for commerce and e-commerce sellers. It operates nine warehouses across six U.S. states, offering services including nationwide fulfillment, drop shipping, air and ocean freight, global shipping, industrial inspection and maintenance, bonded zones, reverse logistics, and cross-border e-commerce branding. Thunder International Group sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. N.J. Lead Case No. 25-15229) on May 15, 2025, listing up to $10 million in both assets and liabilities. Mingming Wang, secretary, signed the petition. Judge John K. Sherwood oversees the case. White and Williams, LLP represents the Debtor as legal counsel. TIDEWATER INC: Moody's Assigns 'B2' CFR, Outlook Stable ------------------------------------------------------- Moody's Ratings assigned new ratings to Tidewater Inc. (Tidewater), including a B2 Corporate Family Rating, a B2-PD Probability of Default Rating, a SGL-1 Speculative Grade Liquidity Rating, and a B3 rating to its proposed senior unsecured notes. The outlook is stable. Tidewater is a listed company operating a fleet of marine offshore support vessels (OSVs), which provide supply and support services to the offshore oil and gas and construction industries in nearly all major markets worldwide. Tidewater intends to use the proceeds of the proposed senior unsecured notes to refinance outstanding indebtedness and for general corporate purposes. "Tidewater's B2 CFR reflects the strong competitive positioning of the company's OSV fleet, moderate leverage and very good liquidity," commented Thomas Le Guay, a Moody's Ratings Senior Analyst. "The CFR also reflects the company's high exposure to re-contracting risk in a highly cyclical industry." RATINGS RATIONALE Tidewater's B2 CFR is supported by the company's strong market position in the offshore support services industry and large owned fleet with meaningful collateral value. The CFR also reflects Moody's expectations that Tidewater will maintain sound financial policies, including moderate leverage and strong liquidity. Moody's expects sustained offshore drilling activity to support gradually improving contract and utilization rates for the offshore marine services industry, which should allow Tidewater to continue generating strong operating margins and positive free cash flow over the next 12 to 18 months. The inherently cyclical nature of the oilfield services industry and the high level of volatility in oil and gas prices constrain Tidewater's CFR because of the significant re-contracting risks they entail. Tidewater has limited cash flow visibility beyond 12 months and oil and gas prices need to stay high to attract continued offshore upstream investment and demand for offshore marine services. Tidewater needs to demonstrate its ability to operate within its stated financial policies, including holding net leverage towards 1x in the current market conditions, maintaining strong liquidity and managing shareholder distributions and potential acquisitions prudently. The stable outlook reflects Moody's expectations of sustained offshore drilling activity supporting a gradual improvement in contract and utilization rates for offshore marines services. Tidewater has very good liquidity, reflected in its SGL-1 rating. Liquidity is supported by cash and cash equivalents of $342 million as of March 31, 2025, and a fully available $250 million revolving credit facility maturing in 2029 (unrated). Tidewater has no newbuild commitments and no capital investment requirements beyond the general maintenance of its fleet and Moody's expects it to generate around $200 million of free cash flow in 2025. The company requires a relatively higher level of working cash than domestic operators because of its international operations. Maintenance financial covenants at the revolving credit facility level require net leverage below 3.0x, minimum liquidity greater than 10% of net debt, or $20 million at a minimum, and a minimum asset collateral of 250%. Moody's expects Tidewater to remain well in compliance with these covenants through 2025. Tidewater's proposed senior unsecured notes are rated B3, one notch below the B2 CFR, given the significant size of the $250 million revolving credit facility maturing in 2029, which is secured by a first-lien claim on Tidewater's assets. The notes are fully and unconditionally guaranteed on a senior unsecured basis by substantially all of Tidewater's subsidiaries. ENVIRONMENTAL, SOCIAL AND GOVERNANCE CONSIDERATIONS The assigned ESG Credit Impact Score of CIS-4 indicates the rating is lower than it would have been if ESG risk exposures did not exist. Stricter environmental regulations will force Tidewater to invest in its fleet to reduce and ultimately eliminate greenhouse gas emissions from its operations. The company is also indirectly exposed to the increasing pressure facing the oil and gas industry as economies pivot away from oil and natural gas in the coming decades. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Tidewater develops a track record of operating within the stated financial policies, while managing potential acquisitions prudently. Consistent free cash flow generation and Debt/EBITDA approaching 1.0x would be supportive of an upgrade. The ratings could be downgraded in case of a material decline in earnings and backlog; if Debt/EBITDA is sustained above 2.5x; or if liquidity deteriorates significantly. Tidewater Inc. (NYSE: TDW) is a listed company providing supply and support services to the offshore oil and gas and construction industries. The company operates 214 marine offshore support vessels (OSVs) as of March 31, 2025, nearly all owned, including 138 platform supply vessels (PSV) and 52 anchor handling towing supply vessels (AHTS) that have a combined average age of around 13 years. It has significant operating presence in nearly all major deepwater offshore service markets worldwide. The company reported $1.4 billion of revenue and $575 million of adjusted EBITDA in the twelve months to March 31, 2025. The principal methodology used in these ratings was Oilfield Services published in January 2023. Tidewater's B2 CFR is two notches below the scorecard-indicated outcome of Ba3. The difference reflects Tidewater's high earnings volatility driven by demand cyclicality and a high level of competition. TITAN ENVIRONMENTAL: Signs $35M Acquisition LOI With Windtree ------------------------------------------------------------- Titan Environmental Services, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company entered into a binding letter of intent for the potential acquisition of Titan by the Windtree Therapeutics, Inc., a publicly traded Delaware corporation which trades on The Nasdaq Capital Market under the symbol "WINT". The LOI provides that the Windtree and Titan contemplate negotiating definitive documentation to effect the Acquisition by way of a purchase of all the issued and outstanding securities of Titan. The proposed terms of the Acquisition, pursuant to the LOI include consideration of $35 million of Windtree's preferred stock. Windtree will also purchase three notes, pursuant to the LOI, in the principal amounts of $750,000, with respect to the first note, and $500,000 with respect to the second and third notes. The first note will be issued after the signing of the LOI, the second on the 30th day following execution of the LOI, and the third note will be issued on the 60th day following execution of the LOI. The LOI also proposes that Titan will select two members of the Windtree's board of directors following the Acquisition. The LOI grants the Company a 60-day exclusivity period during which Titan may not pursue any transaction as an alternative to the Acquisition. The LOI expires at the end of the Exclusivity Period. Pursuant to the terms of a side letter agreement between Windtree and Titan, in the event that Titan does not complete the Acquisition pursuant to the LOI, Titan will pay Windtree a break-up fee of $8 million. * June 5, 2025 Senior Note: On June 5, 2025, the Company's wholly-owned subsidiary, Standard Waste Services, LLC was issued a senior note in the principal amount of $6,617,857, with an original issuance discount of $1,985,357. The Company plans to use the proceeds of the Standard Note, when received, for the repayment of certain outstanding debt and general working capital. The Note matures on the earlier of: (i) January 15, 2026 and (ii) the initial time of the Company's consummation of the acquisition of all of the issued and outstanding equity of the Company by Windtree. The Note does not accrue interest. If an Event of Default occurs, as defined in the Note, then Windtree may: (i) declare all outstanding principal and other sums payable to be immediately due and payable and (ii) exercise any and all of its other rights under applicable law. The Company may prepay the Standard Note but anticipates repayment of the Note through the adjustment of the Acquisition Shares. A full text copy of the Letter of Intent entered into with Windtree Therapeutics, Inc. is available at https://tinyurl.com/2n2tmvax About Titan Environmental Bloomfield Hills, Mich.-based Titan Environmental Solutions, Inc. is a professional service firm that provides consultation on regulatory compliance to departments at corporations, public agencies, and residential communities to ensure that its clients are aware of and take steps to comply with relevant laws and regulations. The firm also offers solutions to remove the risk caused by harmful environmental hazards. Buffalo, New York-based Freed Maxick P.C. (f/k/a Freed Maxick CPAs, P.C.), the Company's auditor since 2023, issued a "going concern" qualification in its report dated March 31, 2025, attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. This raises substantial doubt about the Company's ability to continue as a going concern. TITAN INT'L: Moody's Alters Outlook on B1 CFR to Negative --------------------------------------------------------- Moody's Ratings affirmed the ratings of Titan International, Inc. (Titan), including the B1 corporate family rating, the B1-PD probability of default rating and the B1 senior secured rating. At the same time, Moody's changed the outlook to negative from stable. Titan's speculative grade liquidity rating (SGL) was unchanged at SGL-2. The rating action reflects Moody's expectations for key credit metrics to remain well below Moody's original 2025 projections as demand for agriculture and construction equipment looks to be constrained into 2026. High interest rates, macroeconomic uncertainty highlighted by tariff concerns and moderating commodity prices continue to weigh on new equipment spending. The partially debt funded acquisition of Carlstar Group LLC (Carlstar) in February 2024 closed around the start of the current agriculture sector downturn, worsening the impact of weak operating results on key credit metrics. RATINGS RATIONALE Titan's ratings reflect the company's solid competitive position as a tire and wheel supplier to leading global agriculture and construction equipment manufacturers. Titan's operating results are heavily dependent on demand for new farm, construction and mining equipment. Though currently in the midst of a sharp downcycle, long term demand for agriculture equipment is supported by greater need for grain output for a growing global population, aging equipment fleets and the need for technologically advanced equipment to offset increasingly difficult farming conditions. In response to shifting conditions, Titan's agriculture customers have scaled back production because of the weaker demand environment, which in turn has weighed heavily on Titan's operating results. Earthmoving and construction equipment markets are mixed with solid demand in mining. However, construction activity is slower except for pockets of infrastructure and onshoring spending. The weak market conditions are testing Titan's structural cost saving initiatives that were implemented to limit erosion in earnings when production volumes decline. Accordingly, Moody's expects the EBITA margin to improve only modestly to the mid 3% range in 2025, up from roughly 3% in 2024. Debt-to-LTM EBITDA was over 6x at March 31, 2025 but is expected to fall back below 6x in 2025 with free cash flow used for debt repayment. Anticipated benefits from the Carlstar acquisition, including enhanced scale, consumer focus and a broader customer base, have been muted by the weak demand environment as aftermarket revenues haven't been able to offset the pullback in new equipment spending. The negative outlook reflects Moody's concern that improvement in key credit metrics, including debt-to-EBITDA and EBITA margin could be prolonged if core markets remain mired in extended downturns. EBITDA-to-interest coverage is also weak and could deteriorate further if equipment spending doesn't recover over the intermediate term. Titan's SGL-2 rating reflects Moody's expectations that the company will maintain good liquidity supported by a cash position of around $200 million and increase availability via revolver repayments through the remainder of 2025 ($57 million at Q1 2025) under its unrated $225 million asset-based lending (ABL) facility. Moody's expects free cash flow to be positive in 2025 but lower than in previous years as disciplined working capital management and reduced capital expenditures will be unable to offset weak earnings. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Moody's expects Titan to sustain operational efficiencies to support an EBITA margin in excess of 7%, debt-to-EBITDA approaching the mid 4x range, even during a downturn in its cyclical end markets, and EBITA-to-interest above 4x. In addition, Moody's would expect Titan to maintain good liquidity with consistently positive free cash flow and greater availability under its ABL. The ratings could be downgraded if Titan's EBITA margin remains below 5%, debt-to-EBITDA remains above 5.5x or EBITA-to-interest remains below 3x. Deteriorating liquidity, including the inability to pay down the ABL balance, or free cash flow falling toward breakeven, could also lead to a ratings downgrade. The ratings could also be downgraded if Titan engages in a more aggressive financial policy of debt funded acquisitions or share repurchases that reduce financial flexibility. The principal methodology used in these ratings was Manufacturing published in September 2021. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. Titan International, Inc. is a manufacturer of wheels, tires, assemblies and undercarriage products for off-highway vehicles. The company serves end markets in the agricultural, earthmoving/construction and consumer industries. Titan sells its products directly to original equipment manufacturers as well as in the aftermarket through independent distributors, equipment dealers and distributions centers. Tires are sold primarily under the Titan and Goodyear brand names. Revenue for the twelve months ended March 31, 2025 was approximately $1.85 billion. TOP MOBILITY: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: Top Mobility Scooters, Inc. 16609 US Highway 19 Hudson, FL 34667 Business Description: Top Mobility Scooters, Inc. is a Florida- based retailer specializing in mobility products such as scooters, power wheelchairs, lift chairs, vehicle lifts, and related accessories. The Company operates both online and through a showroom in Hudson, offering personalized service, on- site repairs, and in-home labor warranties. Founded in 2009, Top Mobility partners with leading brands in the industry to serve customers across the United States. Chapter 11 Petition Date: June 26, 2025 Court: United States Bankruptcy Court Middle District of Florida Case No.: 25-04323 Judge: Hon. Roberta A. Colton Debtor's Counsel: Michael A. Stavros, Esq. DAVID JENNIS, PA D/B/A JENNIS MORSE 606 East Madison Street Tampa, FL 33602 Tel: (813) 229-2800 E-mail: ecf@JennisLaw.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Timothy Sweeney as president. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/6UUCVZQ/Top_Mobility_Scooters_Inc__flmbke-25-04323__0001.0.pdf?mcid=tGE4TAMA TRAVEL + LEISURE: Moody's Affirms 'Ba3' CFR, Outlook Stable ----------------------------------------------------------- Moody's Ratings affirmed the ratings of Travel + Leisure Co. (T&L) including its corporate family rating at Ba3, probability of default rating at Ba3-PD, senior secured notes rating at Ba3 and senior secured bank credit facility rating at Ba3. The outlook is stable. The company's Speculative Grade Liquidity rating is unchanged at SGL-2. The affirmation reflects Moody's forecasts that T&L will be able to maintain steady, albeit modest, earnings growth and continue to reduce debt/EBITDA towards 5x over the next 12-18 months. T&L's adjusted debt/EBITDA for the trailing 12 months ended March 31, 2025 approximated 5.5x which includes 100% of the company's non-recourse securitized debt. Moody's also expects that T&L will be able to maintain good liquidity over this time period. RATINGS RATIONALE T&L's credit profile benefits from its market position as one of the largest vacation ownership companies and operator of the largest timeshare exchange network in terms of number of members. It also benefits from its licensing agreement with Wyndham Hotels & Resorts (Ba1 stable), its brand and geographic diversification, the stability of the timeshare exchange business and recurring property and management fees. Constraints on the rating include the high risk profile of the timeshare development and finance segment, including high default rates associated with timeshare consumer receivables. Timeshare development and finance also has a higher capital investment requirement than its exchange business and a reliance on the securitization market to recycle consumer receivables so that capital can be made available for other corporate objectives, including returns to shareholders. The company is also constrained by its high debt/EBITDA of 5.5x, which includes securitization debt, relative to other Ba3 rated companies. T&L's SGL-2 reflects its good cash balance of $188 million and $786 million of availability under the $1 billion committed revolving credit facility as of March 31, 2025. Moody's expects a refinancing of the revolving credit facility in the near future. The stable outlook reflects Moody's expectations that Travel + Leisure Co. will be able to maintain performance and reduce leverage over time to pre-pandemic levels. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The company's ratings could be upgraded if the company is able to maintain adjusted debt/EBITDA, inclusive of securitized debt, below 4.75x with EBITDA/interest expense, including financing expense as interest expense, approaching 3.5x. Factors that could lead to a downgrade include if debt/EBITDA, inclusive of securitized debt, is sustained above 5.25x with EBITDA/interest expense, including financing expense as interest expense, sustained below 2.5x. Ratings could also be downgraded if liquidity weakens or the company takes a more aggressive stance on share repurchases or dividends that leads to higher leverage. Travel + Leisure Co. operates in two segments: Vacation Ownership and Travel and Membership. The Vacation Ownership segment develops and sells vacation ownership (timeshare) intervals to individual consumers and provides consumer financing in connection with these sales. It also provides management services to hotels, rental properties and vacation ownership resorts. The Travel and Membership segment operates a variety of travel businesses, including three vacation exchange brands (including RCI), a home exchange network, travel technology platforms, travel memberships, and direct-to-consumer rentals. Net revenue for the 12 months ended March 31, 2025 was approximately $3.9 billion. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. TRIANGLE 40 RANCH: Hires Whitaker Chalk Swindle as Counsel ---------------------------------------------------------- Triangle 40 Ranch LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Whitaker Chalk Swindle & Schwartz PLLC as bankruptcy counsel. The firm will give legal advice to the Debtors with respect to the Bankruptcy Cases, the Debtors' powers and duties as Debtors-in-Possession and will perform all necessary legal services for the Debtors that may be necessary to assist them in their reorganization. The firm will be paid at these rates: Robert A. Simon (Member) $500 per hour Associates $250 to $325 per hour Bonnie Peck (paralegal) $150 The Debtor paid the firm a retainer of $5,000. In addition, the firm will seek reimbursement for its out-of-pocket expenses. Mr. Simon disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Robert A. Simon, Esq. Whitaker Chalk Swindle & Schwartz, PLLC 301 Commerce Street, Suite 3500 Fort Worth, TX 76102 Tel: (817) 878-0543 Fax: (817) 878-0501 E-mail: rsimon@whitakerchalk.com About Triangle 40 Ranch LLC Triangle 40 Ranch LLC is a limited liability company. Triangle 40 Ranch LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-42047) on June 3, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtors are represented by Robert A. Simon, Esq. at WHITAKER CHALK SWINDLE AND SCHWARTZ. TRIPLETT FUNERAL: Trustee Hires Fiducial Business as Bookkeeper --------------------------------------------------------------- Robert E. Eggmann, the Trustee for Triplett Funeral Homes, LLC, seeks approval from the U.S. Bankruptcy Court for the Eastern District of Missouri to employ Fiducial Business Centers, Inc., d/b/a Federated Fiducial as bookkeeper The firm will perform certain work arising in the instant chapter 11 bankruptcy proceeding, including, but not limited to bookkeeping, tax, and consulting services for the funeral business. The firm will be paid as follows: A. Bookkeeping Services - $1,266 for June 2025 and $1,288 per month beginning July 2025. B. Payroll Services - Base fee of $86 per month plus $13 per month for Missouri and Illinois tax payments with an additional fee of $4 per check fee for each check over the 5 checks included in the base fee. In addition, the firm will seek reimbursement for its out-of-pocket expenses. Mr. Sheagren disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Roger Sheagren Fiducial Business Centers, Inc. d/b/a Federated Fiducial 3201 Old Jacksonville Road Springfield, IL 62711 Tel: (217) 525-1712 About Triplett Funeral Homes, LLC Triplett Funeral Homes LLC, located in Kahoka, MO, is a locally owned and operated funeral service provider dedicated to offering compassionate services and personalized care to families during their time of need. Triplett Funeral Homes LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Miss. Case No. 25-20049) on March 27, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by Fredrich J Cruse, Esq. at CRUSE CHANEY-FAUGHN. TRONOX LIMITED: Egan-Jones Retains B+ Senior Unsecured Ratings -------------------------------------------------------------- Egan-Jones Ratings Company on June 3, 2025, maintained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by Tronox Limited. EJR also withdrew the rating on commercial paper issued by the Company. Headquartered in Stamford, Connecticut, Tronox Limited operates mining and inorganic chemical businesses. TW MEDICAL: Seeks Cash Collateral Access Until Oct. 31 ------------------------------------------------------ TW Medical Group, LLC and Taylor G. Wright, P.C. asked the U.S. Bankruptcy Court for the District of Utah, Central Division, for authority to use cash collateral through October 31. The request includes authority to exceed individual budget line items by 10%, carry forward savings, and spend additional amounts with creditor consent. As adequate protection, creditors will receive replacement liens on post-petition assets, valid and perfected without further filings, but only to the extent their secured claims are diminished by the use of cash collateral. The Debtors operate medical clinics across Utah, Colorado, and New Mexico under the tradename Innovation Medical Group, employing 118 staff and focusing on services like primary care and diabetes treatment, particularly in rural and Native American communities. TGW P.C. acts as a billing entity for TW Medical Group, forwarding 98% of collected revenue per an Administrative Services Agreement, which the court has approved. The bankruptcy filings were triggered by aggressive collection efforts from various creditors who diverted or seized critical revenue streams. The Debtors now seek to reorganize by restoring lost revenue and cutting costs. Without immediate access to cash collateral, the Debtors risk halting operations, which would jeopardize patient care, reduce estate value, and lead to financial losses. There are eight identified secured creditors with potential interests in the cash collateral, some of whom are represented by agents whose principals remain unidentified. A court hearing is scheduled for July 15. About TW Medical Group TW Medical Group, LLC is a podiatry practice offering state-of-the-art care across many locations in the U.S. The Company provides care for patients of all ages, from infants to older adults. Its podiatry team specializes in diagnosing and treating many foot and ankle conditions, including plantar fasciitis, tendonitis, ingrown toenail, toenail fungus, bunions, and flat feet. TW Medical Group and Taylor G. Wright, P.C. filed Chapter 11 petitions (Bankr. D. Utah Lead Case No. 24-25495) on October 23, 2024. Zachary Paul, chief financial officer, signed the petitions. At the time of the filing, TW Medical Group reported $10 million to $50 million in both assets and liabilities while Taylor G. Wright reported $100,001 to $500,000 in assets and $1 million to $10 million in liabilities. Judge Joel T. Marker oversees the cases. George B. Hofmann, Esq., at Cohne Kinghorn, P.C., represents TW Medical Group while Ted F. Stokes, Esq., at Stokes Law, PLLC represents Taylor G. Wright. UNITED CONSTRUCTION: Hires Landrau Rivera & Assoc. as Counsel ------------------------------------------------------------- United Construction LLC seeks approval from the U.S. Bankruptcy Court for the District of Puerto Rico to employ the law offices of Landrau Rivera & Assoc. as its legal counsel. The firm will render these services: (a) advise the Debtor with respect to its duties, powers and responsibilities; (b) advise the Debtor in connection with a determination whether a reorganization is feasible and, if not, aid it in the orderly liquidation of its assets; (c) assist the Debtor with respect to negotiations with creditors for the purpose of proposing a viable plan of reorganization; (d) prepare on behalf of the Debtor necessary legal papers or documents; (e) appear before the Bankruptcy Court, or any court in which the Debtor asserts a claim interest or defense directly or indirectly related to this bankruptcy case; (f) perform such other legal services for the Debtor as may be required in these proceedings or in connection with the operation of/and involvement with its business; and (g) employ other professional services as necessary to complete the Debtor's financial reorganization with Chapter 11 of the Bankruptcy Code. The hourly rates of the firm's counsel and staff are: Noemi Landrau Rivera, Attorney $250 Josue Landrau Rivera, Attorney $175 Legal and Financial Assistants $75 In addition, the firm will seek reimbursement for expenses incurred. The firm also received a $10,000 retainer from the Debtor. Ms. Rivera disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Noemi Landrau Rivera, Esq. Landrau Rivera & Assoc. P.O. Box 270219 San Juan, PR 00928 Telephone: (787) 774-0224 Facsimile: (787) 919-7713 Email: nlandrau@landraulaw.com About United Construction LLC United Construction LLC sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 25-02726) on June 17, 2025, listing $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Noemi Landrau Rivera, Esq., at Landrau Rivera & Assoc. serves as the Debtor's counsel. UNIVERSAL DESIGN: Gets Interim OK to Use Cash Collateral -------------------------------------------------------- Universal Design Solutions, LLC got the green light from the U.S. Bankruptcy Court for the Middle District of Florida, Jacksonville Division, to use cash collateral. At the hearing held on June 26, the court granted the Debtor's motion to use cash collateral on an interim basis and set a further hearing on the motion for September 4. The Debtor requires the use of cash collateral to cover operating expenses in accordance with its budget, which shows projected net revenue of $42,000 and expenses of $36,295 for the period from June 21 to July 21. The Debtor's primary secured creditor is TD Bank, N.A., which claims a lien on all of the Debtor's assets, including cash and receivables, in connection with a loan balance of approximately $507,488. Universal Design Solutions offers adequate protection to TD Bank in the form of a replacement lien on post-petition collateral, including receivables. About Universal Design Universal Design Solutions, LLC is a limited liability company formed and organized under the laws of the State of Florida. Its primary business is the modification and building accessible spaces, as well as providing high-quality medical equipment tailored to the needs of its clients based out of Duval County, Florida. Universal Design Solutions filed Chapter 11 petition (Bankr. M.D. Fla. Case No. 25-01970) on June 13, 2025, listing up to $100,000 in assets and up to $1 million in liabilities. Michael Jones, company owner, signed the petition. Judge Jason A. Burgess oversees the case. Thomas Adam, Esq., at Adam Law Group, PA, represents the Debtor as bankruptcy counsel. USA STAFFING: Case Summary & 16 Unsecured Creditors --------------------------------------------------- Debtor: USA Staffing Services, LLC 3502 Henderson Blvd Unit 227 Tampa, FL 33609 Business Description: USA Staffing Services, LLC provides staffing solutions across the United States through a network of locally owned partner offices. The Company offers temporary staffing, direct hire, and customized workforce solutions for businesses across various industries and locations. Chapter 11 Petition Date: June 27, 2025 Court: United States Bankruptcy Court Middle District of Florida Case No.: 25-04358 Judge: Hon. Catherine Peek McEwen Debtor's Counsel: Daniel Etlinger, Esq. UNDERWOOD MURRAY, P.A. 100 N. Tampa St Tampa, FL 33602 Tel: (813) 540-8407 Email: detlinger@underwoodmurray.com Total Assets: $6,315,418 Total Liabilities: $3,239,607 The petition was signed by Matthew Kolinski as CEO. A full-text copy of the petition, which includes a list of the Debtor's 16 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/WB3YIEI/USA_Staffing_Services_LLC__flmbke-25-04358__0001.0.pdf?mcid=tGE4TAMA VALKEN INC: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------- Debtor: Valken Incorporated f/d/b/a Victory Gel Caps, LLC (successor by merger) d/b/a Valken Sports 135 High Hill Road Swedesboro, NJ 08085 Business Description: Valken Incorporated, formed in 2008, provides equipment and technology for paintball, airsoft, defense protection, and other shooting sports. The Company supplies a broad range of products across the United States and Europe and operates Victory as a division. Chapter 11 Petition Date: June 25, 2025 Court: United States Bankruptcy Court District of New Jersey Case No.: 25-16742 Judge: Hon. Jerrold N Poslusny Jr Debtor's Counsel: Albert A. Ciardi, III, Esq. CIARDI CIARDI & ASTIN 1905 Spruce Street Philadelphia, PA 19103 Tel: 215-557-3550 E-mail: aciardi@ciardilaw.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $10 million to $50 million The petition was signed by Eugenio Postorivo as president. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/3XV2FLI/Valken_Incorporated__njbke-25-16742__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. American Express $179,100 PO Box 1270 Newark, NJ 07101 2. Capital One SPARK Card Credit Card $274,329 PO Box 70884 Charlotte, NC 28272 3. CIOF-I-NJW01, LLC $591,630 Cabot Industries One Beacon Street Ste 2800 Boston, MA 02108 4. Dow Chemical $163,537 victory gel 2211 HH Dow Way Midland, MI 48674 5. ERC Specialists $154,698 560 E. Timpanigis Circle Orem, UT 84097 6. Estes Express Lines Trade Debt $129,278 PO Box 25612 Richmond, VA 23260 7. Eugenio Postorivo $1,822,016 50 Mill Road Swedesboro, NJ 08085 8. Fox Funding Group $374,725 803 S. 21st Avenue Hollywood, FL 33020 9. Leaf Capital Funding, LLC $420,809 One Commerce Square 2005 Market Street 14th Floor Philadelphia, PA 19103 10. McKenna & Associates $1,069,371 1220 N. Fillmore Street Suite 420 Arlington, VA 22201 11. Ningbo Yuanjun $108,384 Plastic Co No. 768 Xin Shen Road West Industry Zone Cixi 315322 12. Norman Fox & Co $220,246 victory gel 14970 Don Julian Road La Puente, CA 91746 13. PayPal $113,326 2211 North First Street San Jose, CA 95131 14. SBA/WSFS $4,835,381 500 Delaware Avenue Wilmington, DE 19801 15. Small Business Administration $150,000 14925 Kingsport Road Fort Worth, TX 76155 16. SNJ Indusrial Owner LLC $240,000 PO Box 715737 Cincinnati, OH 45271 17. Summit Investment Management $1,359,784 1700 Lilcoln Street Suite 2150 Denver, CO 80203 18. Umarex USA $105,995 770 Chad Colley Blvd Fort Smith, AR 72916 19. Victory Battery $496,570 Technology, Co., Ltd. Hudie No. 2 Road Tianxin Village Huangjiang Town 523507 20. Xiamen Gleken $170,425 Gelatin Co. Ltd victory ge 402 Building 4 Aviation FTZ Plaza No 420 Gaoqi North Road Xiamen, CN 361006 VAN SCOIT: VS Group Unsecureds to Split $150K over 5 Years ---------------------------------------------------------- Van Scoit Group LLC and Van Scoit Services LLC filed with the U.S. Bankruptcy Court for the Northern District of Texas an Amended Joint Plan of Reorganization dated June 12, 2025. The Debtors' primary source of revenue is derived from operating several Schlotzsky's restaurant franchises. VS Group operates two franchises, each of which operate from premises owned by VS Group. VS Services owns two operating franchises, each of which are operated from leased locations. VS Services had additional franchise operations, but VS Services has ceased operations at those leased locations. The Plan provides for a reorganization and restructuring of the Debtors' financial obligations. The Plan provides for a distribution to Creditors in accordance with the terms of the Plan from the Debtors over the course of five years from the Debtors' continued employment. Class 3A consists of Allowed Claims against VS Group. Each holder of an Allowed Unsecured Claim in Class 3A shall be paid by Reorganized VS Group from an Unsecured Creditor Pool, which pool shall be funded as follows, commencing the first day of the first full calendar month following the Effective Date and continuing on the same day each month thereafter until the sum of $150,000 is funded: * $1,000.00 per month, for months of November, through January; and * $3,000.00 per month for months of February through October. The holders of Allowed Class 3 Claims shall be paid quarterly from the Unsecured Creditor Pool for a period not to exceed five years (20 quarterly payments). The Debtors estimate the aggregate of all Allowed Class 3A Claims against VS Group to be approximately $1,325,000.00. based upon Debtors' review of the Court's claim register, Debtors' bankruptcy schedules, and anticipated Claim objections. Class 3B consists of Allowed Claims against VS Services. Each holder of an Allowed Unsecured Claim in Class 3B shall be paid by Reorganized VS Services from an unsecured creditor pool, which pool shall be funded at the rate of $4,500.00 per month. Payments from the unsecured creditor pool shall be paid quarterly, for a period not to exceed five years (20 quarterly payments) and the first quarterly payment will be due on the twentieth day of the first full calendar month following the last day of the first quarter. The Debtors estimate the aggregate of all Allowed Unsecured Claims against VS Services to be approximately $600,000.00 based upon the Debtor's review of the Court's claim register, the Debtor's bankruptcy schedules, and anticipated Claim objections. The Debtors proposes to implement and consummate this Plan through the means contemplated by Sections 1123 and 1145(a) of the Bankruptcy Code. From and after the Effective Date, in accordance with the terms of this Plan and the Confirmation Order, the Reorganized Debtors shall perform all obligations under all executory contracts and unexpired leases assumed in accordance with Article 6 of this Plan. A full-text copy of the Amended Joint Plan dated June 12, 2025 is available at https://urlcurt.com/u?l=dQ4KWR from PacerMonitor.com at no charge. Counsel to the Debtors: Robert T. DeMarco, Esq. Demarco Mitchell, PLLC 12770 Coit Road, Suite 850 Dallas, TX 75251 Tel: (972) 991-5591 Email: robert@demarcomitchell.com About Van Scoit Group LLC Van Scoit Group LLC is a Texas-based business primarily involved in the restaurant industry, operating Schlotzsky's Deli locations. Schlotzsky's Deli offers a variety of menu items, including their signature sandwiches, salads, soups, flatbreads, and pizzas, as well as sides like chips and cookies. Van Scoit Group LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-40641) on February 25, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Mark X Mullin handles the case. The Debtor is represented by Robert T. DeMarco, Esq. at DEMARCO MITCHELL, PLLC. VAN'S EQUIPMENT: Case Summary & 19 Unsecured Creditors ------------------------------------------------------ Debtor: Van's Equipment Co 212 County Shop Lane Burlington, WA 98233 Business Description: Van's Equipment Co. sells and rents new and used heavy equipment, specializing in dirt equipment such as excavators, loaders, and dozers. Based in Burlington, Washington, the Company serves contractors and homeowners and operates as an authorized dealer for Yanmar, Canycom, Okada, and Felling Trailers. Its services include equipment sales, rentals, maintenance, and customization. Chapter 11 Petition Date: June 26, 2025 Court: United States Bankruptcy Court Western District of Washington Case No.: 25-11750 Judge: Hon. Christopher M Alston Debtor's Counsel: Thomas D. Neeleman, Esq. NEELEMAN LAW GROUP, P.C. 1403 8th Street Marysville, WA 98270 Tel: (425) 212-4800 Fax: (425) 212-4802 E-mail: courtmail@expresslaw.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Alok Sharma as president. A full-text copy of the petition, which includes a list of the Debtor's 19 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/H6HDH6Y/Vans_Equipment_Co__wawbke-25-11750__0001.0.pdf?mcid=tGE4TAMA VERINT SYSTEMS: Egan-Jones Retains BB+ Senior Unsecured Ratings --------------------------------------------------------------- Egan-Jones Ratings Company on May 27, 2025, maintained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Verint Systems Inc. Headquartered in Huntington, New York, Verint Systems Inc. provides analytic solutions for communications, interception, digital video security and surveillance, and enterprise business intelligence. VERRICA PHARMA: Lenders Waive Going Concern Clause in Credit Deal ----------------------------------------------------------------- Verrica Pharmaceuticals Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company entered into the sixth amendment and waiver to its Credit Agreement dated as of July 26, 2023, by and between the Company, as borrower, OrbiMed Royalty & Credit Opportunities IV, LP, as a lender, each other lender that may from time to time become a party thereto, and OrbiMed Royalty & Credit Opportunities IV, LP, as administrative agent for the Lenders. Pursuant to the Sixth Amendment, the Lenders agreed to waive specified covenants under the Credit Agreement, including the requirements under Section 7.1(b) and Section 7.1(c) of the Credit Agreement that there be no "going concern" qualification with respect to the financial statements for the quarters ending June 30, 2025 and September 30, 2025, and the year ending December 31, 2025. In connection with the Sixth Amendment, the Company agreed to pay the Lenders an amendment fee of $110,465.12. Except as set forth in the Sixth Amendment, the remaining terms of the Credit Agreement remain unchanged. About Verrica Pharmaceuticals West Chester, Pa.-based Verrica Pharmaceuticals Inc. is a dermatology therapeutics company developing and selling medications for skin diseases requiring medical intervention. Philadelphia, Pennsylvania-based KPMG LLP, the Company's auditor since 2008, issued a "going concern" qualification in its report dated March 11, 2025, attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has incurred substantial operating losses since inception and has negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern. As of December 31, 2024, the Company had $54.1 million in total assets, $63.9 million in total liabilities, and total stockholders' deficit of $9.9 million. VICARA GROUP: Seeks to Hire Demarco Mitchell as Counsel ------------------------------------------------------- The Vicara Group LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Demarco Mitchell, PLLC as counsel. The firm will provide these services: a. take all necessary action to protect and preserve the Estate, including the prosecution of actions on its behalf, the defense of any actions commenced against it, negotiations concerning all litigation in which it is involved, and objecting to claims; b. prepare on behalf of the Debtor all necessary motions, applications, answers, orders, reports, and papers in connection with the administration of the estate; c. formulate, negotiate, and propose a plan of reorganization; and d. perform all other necessary legal services in connection with these proceedings. The firm will be paid at these rates: Robert T. DeMarco $450 per hour Michael S. Mitchell $300 per hour Barbara Drake, Paralegal $125 per hour The firm was paid a retainer in the amount of $12,500. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Robert T. DeMarco, Esq., a partner at Demarco Mitchell, PLLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Robert T. DeMarco, Esq. Michael S. Mitchell, Esq. Demarco Mitchell, PLLC 12770 Coit Road, Suite 850 Dallas, TX 75251 Tel: (972) 991-5591 Email: robert@demarcomitchell.com mike@demarcomitchell.com About The Vicara Group LLC The Vicara Group LLC, filed a Chapter 11 bankruptcy petition (Bankr. N.D. Tex. Case No. 25-42109) on June 9, 2025. The Debtor hires Demarco Mitchell, PLLC as counsel. VOLTZ INC: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------- Debtor: Voltz, Inc. d/b/a Legacy Toys 10 Southdale Center Ste 1585 Edina, MN 55435 Business Description: Founded in 2012, Legacy Toys, a brand of Voltz, Inc., operates a specialty toy retail business based in Minnesota. The Company offers a curated selection of educational, imaginative, and high-quality toys through its network of stores, designed to encourage creative play and family engagement. Legacy Toys currently operates five locations across the United States. Chapter 11 Petition Date: June 25, 2025 Court: United States Bankruptcy Court District of Minnesota Case No.: 25-42086 Debtor's Counsel: John D. Lamey III, Esq. LAMEY LAW FIRM, P.A. 980 Inwood Ave N Oakdale, MN 55128-7094 Tel: 651-209-3550 E-mail: JLAMEY@LAMEYLAW.COM Total Assets: $620,582 Total Liabilities: $3,187,414 The petition was signed by Brad Ruoho as president. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/OL5LREY/VOLTZ_INC__mnbke-25-42086__0001.0.pdf?mcid=tGE4TAMA VSM PROPERTIES: Seeks to Hire Tarpy Cox Fleishman as Counsel ------------------------------------------------------------ VSM Properties LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Tennessee to employ Tarpy, Cox, Fleishman & Leveille, PLLC as general bankruptcy counsel. The firm will include all matters dealing with the Chapter 11 bankruptcy including, but not limited to, litigation in the bankruptcy, federal, and state courts. The firm will be paid at these rates: Lynn Tarpy $385 per hour Ed Shultz $350 per hour Kelli Holmes $250 per hour Paralegal/law clerk $70 to $95 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Edward Shultz, a partner at Tarpy, Cox, Fleishman & Leveille, PLLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Edward J. Shultz, Esq. Lynn Tarpy, Esq. Tarpy, Cox, Fleishman & Leveille, PLLC 1111 N. Northshore Drive, Suite N-290 Knoxville, TN 37919 Tel: (865) 588-1096 Email: eshultz@tcflattorneys.com About VSM Properties LLC VSM Properties LLC is a real estate management company based in Tellico Plains, Tennessee. It owns commercial properties in the area, including the riverside building at 1641 Cherohala Skyway. VSM Properties LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Tenn. Case No. 25-31124) on June 12, 2025. In its petition, the Debtor reports estimated assets between $500,000 and $1 million and estimated liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Suzanne H. Bauknight handles the case. The Debtors are represented byEdward J. Shultz, Esq. at TARPY, COX, FLEISHMAN & LEVEILLE, PLLC. WELLPATH HOLDINGS: Court Lifts Stay, Reopens Belton Prisoner Case ----------------------------------------------------------------- Judge James Donato of the United States District Court for the Northern District of California lifted the stay and reopened the case captioned as DWIGHT CLAYTON BELTON, Plaintiff, v. ALAMEDA COUNTY SHERIFF'S DEPARTMENT, et al., Defendants, Case No. 24-cv-00380-JD (N.D. Cal.). Plaintiff, a state prisoner, filed a pro se civil rights complaint under 42 U.S.C. Sec. 1983, alleging a denial of medical care and interference with his legal mail at Santa Rita Jail. The Court ordered service on two deputies involved with the interference of legal mail and Alameda County Sheriff Sanchez regarding the denial of medical care ("County Defendants"). The Court also ordered service on Dr. Magat and WellPath Healthcare Providers, who contracted to provide medical care at the jail ("Medical Defendants"). On Jan. 2, 2025, this case was stayed after the Medical Defendants filed a Suggestion of Bankruptcy and Notice of Stay advising that Wellpath Holdings, Inc. filed a petition for chapter 11 bankruptcy in the United States Bankruptcy Court for the Southern District of Texas on Nov. 11, 2024. The Bankruptcy Court issued a stay order pursuant to Section 362 of the Bankruptcy Code to cases against WellPath and extended the stay to physicians employed by WellPath. The Bankruptcy Court also issued a temporary stay for non-debtor defendants. The Medical Defendants filed a status report and indicated that the WellPath entities have emerged from their chapter 11 cases and are no longer debtors under the Bankruptcy Code. Consequently, the stay is lifted and the case is reopened. Because this case was already delayed due to the stay and in light of plaintiff's status as an incarcerated litigant acting pro se, the Medical Defendants and County Defendants will be ordered to provide plaintiff with his pharmacy records and medical records from 2022 and 2023, that were obtained during plaintiff's detention. Now that plaintiff is a state prisoner, he may review all non-confidential materials in his medical and central files, pursuant to In re Olson, 37 Cal. App. 3d 783 (Cal. Ct. App. 1974); 15 California Code of Regulations Sec. 3370; and the CDCR's Department Operations Manual Secs. 13030.4, 13030.16, 13030.16.1-13030.16.3, 13030.21, and 71010.11.1. Requests to review these files or for copies of materials in them must be made directly to prison officials. Plaintiff must request his medical files from prison staff pursuant to Olson to obtain any of the relevant medical information that he seeks. A copy of the Court's Order is available at https://urlcurt.com/u?l=IwVjNd from PacerMonitor.com. About Wellpath Holdings Wellpath Holdings, Inc., formerly known as CCS-CMGC Holdings, Inc., is a provider of medical and mental healthcare in jails, prisons, and inpatient and residential treatment facilities. Wellpath Holdings and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 24-90533) on Nov. 11, 2024. Timothy Dragelin, chief restructuring officer and chief financial officer, signed the petitions. At the time of the filing, the Debtors reported $1 billion to $10 billion in assets and liabilities. Judge Alfredo R. Perez oversees the cases. The Debtors tapped Marcus A. Helt, Esq. at McDermott Will & Emery, LLP, as bankruptcy counsel; FTI Consulting, Inc., as financial advisor; and Lazard Freres & Co., LLC and MTS Partners, LP as investment banker. WELLPATH HOLDINGS: Loses Bid to Dismiss McGinnis Civil Rights Case ------------------------------------------------------------------ Judge Susan Paradise Baxter of the United States District Court for the Western District of Pennsylvania denied without prejudice Wellpath's motion to dismiss the case captioned as VERN E. MCGINNIS, JR., Plaintiff, NURSE KATE HILL, et al, , Defendants, Case No. 24-cv-00073-SPB-MPK (W.D. Pa.). Plaintiff, an inmate incarcerated at the State Correctional Institution at Forest in Marienville, Pennsylvania initiated this pro se civil rights action on March 7, 2024, by filing motion to proceed in forma pauperis accompanied by a complaint. The matter was referred to United States Magistrate Judge Maureen P. Kelly for report and recommendation in accordance with the Magistrates Act, 28 U.S.C. Sec. 636(b)(1), and Rules 72.1.3 and 72.1.4 of the Local Rules for Magistrates. Plaintiff's ifp motion was granted by Order dated March 22, 2024. Plaintiff filed an amended complaint on April 30, 2024, and a second amended complaint on July 31, 2024 which is the operative pleading in this case. Named as Defendants in the second amended complaint are Health Care Provider Wellpath, LLC, Nurse Kate Hill, Correctional Healthcare Administrator Jana Jordan, SCI-Albion Superintendent R. Irwin, and the Pennsylvania Department of Corrections. Plaintiff alleges that Defendants were deliberately indifferent to his serious medical needs in violation of his rights under the Eighth Amendment to the United States Constitution and are liable for "general negligence." Defendant Wellpath and the DOC Defendants each filed a motion to dismiss the second amended complaint. Subsequently, on Nov. 16, 2024, counsel for Wellpath filed a Suggestion of Bankruptcy and Notice of Stay, reflecting that on November 11, 2024, Wellpath Holdings, Inc. petitioned for relief under Chapter 11 of the United States Bankruptcy Code. Accordingly, on Nov. 18, 2024, the Court stayed this action in accordance with the automatic stay provisions of Section 362(a) of the United States Bankruptcy Code. The bankruptcy court subsequently lifted the automatic stay as to all non-debtor defendants on May 7, 2025. As a result, the Court lifted the stay of this action as to all non-debtor defendants on May 19, 2025. On May 19, 2025, Magistrate Judge Kelly issued a Report and Recommendation recommending that the DOC Defendants' motion to dismiss be granted in part and denied in part. Specifically, the R&R recommends that the DOC Defendants' motion be granted as to all claims against the DOC, all official capacity claims against all DOC Defendants, all negligence claims against all DOC Defendants, and all Eighth Amendment claims against Defendants Jordan and Irwin, and that all such claims be dismissed with prejudice. However, the R&R recommends that the motion be denied to the extent it is based on Plaintiff's failure to exhaust administrative remedies. In addition, the R&R recommends that Defendant Wellpath's motion to dismiss be denied without prejudice to be refiled should any claim(s) survive the bankruptcy proceedings. No timely objections to the R&R have been received by the Court. The report and recommendation of Magistrate Judge Kelly, issued May 19, 2025, is adopted as the opinion of the Court. A copy of the Court's Memorandum Order is available at https://urlcurt.com/u?l=1YjrxR from PacerMonitor.com About Wellpath Holdings Wellpath Holdings, Inc., formerly known as CCS-CMGC Holdings, Inc., is a provider of medical and mental healthcare in jails, prisons, and inpatient and residential treatment facilities. Wellpath Holdings and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 24-90533) on Nov. 11, 2024. Timothy Dragelin, chief restructuring officer and chief financial officer, signed the petitions. At the time of the filing, the Debtors reported $1 billion to $10 billion in assets and liabilities. Judge Alfredo R. Perez oversees the cases. The Debtors tapped Marcus A. Helt, Esq. at McDermott Will & Emery, LLP, as bankruptcy counsel; FTI Consulting, Inc., as financial advisor; and Lazard Freres & Co., LLC and MTS Partners, LP as investment banker. WELLPATH: LBBS Wins Bid to Withdraw as Counsel in O'Neil Case ------------------------------------------------------------- Magistrate Judge Nancy J. Koppe of the United States District Court for the District of Nevada granted Lewis Brisbois Bisgaard and Smith LLP's motion to withdraw as counsel of record for Defendant Wellpath, LLC in the case captioned as ASHLEY O'NEIL, an individual Plaintiff, vs. LAS VEGAS METROPOLITAN POLICE DEPARTMENT, A POLITICAL SUBDIVISION OF THE STATE OF NEVADA; COUNTY OF CLARK, CLARK COUNTY DETENTION CENTER, A POLITICAL SUBDIVISION OF THE STATE OF NEVADA; SHERIFF JOE LOMBARDO, INDIVIDUALLY AND IN HIS CAPACITY AS SHERIFF OF THE LAS VEGAS METROPOLITAN POLICE DEPARTMENT; WELLPATH, LLC, A FOREIGN CORPORATION, DOE NURSE COCO, INDIVIDUALLY; DOE OFFICERS 1 THROUGH 10, INDIVIDUALLY; DOE NURSES 1 THROUGH 10, INDIVIDUALLY; ROE CORPORATIONS 11 THROUGH 20; AND ABC LIMITED LIABILITY COMPANIES 21 THROUGH 30, INCLUSIVE Defendant, Case No. 2:22-cv-00474-ART-BNW (D. Nev.). This action was initiated by Plaintiff Ashley O'Neil on Dec. 22, 2021. On Nov. 11, 2024, Wellpath filed a bankruptcy petition before the United States Bankruptcy Court for the Southern District of Texas, thereby commencing case no. 24-90533 pursuant to Chapter 11 of the United States Bankruptcy Code. The Court entered its Civil Order to Stay the Case until May 8,2025, and on that date the bankruptcy case concluded. Wellpath was discharged from debt and judgments, and Plaintiff was enjoined from continuing this case against Wellpath. Since the closing of the bankruptcy, LBBS received communication from Wellpath instructing defense counsel to withdraw representation. According to LBBS, the law firm should be allowed to withdraw as counsel in this matter because Wellpath terminated representation and good cause exists. There are no delays of trial or another matter that would result by granting this motion as Plaintiff opted-out of the bankruptcy agreement thereby allowing this case to continue against the individually named defendants. A copy of the Court's Order is available at https://urlcurt.com/u?l=PEQv0h from PacerMonitor.com. Attorneys for Wellpath, LLC: S. Brent Vogel, Esq. Pranava Moody, Esq. LEWIS BRISBOIS BISGAARD & SMITH LLP 6385 S. Rainbow Boulevard, Suite 600 Las Vegas, NV 89118 Tel: 702.893.3383 Fax: 702.893.3789 E-mail: Brent.Vogel@lewisbrisbois.com Pranava.Moody@lewisbrisbois.com About Wellpath Holdings Wellpath Holdings, Inc., formerly known as CCS-CMGC Holdings, Inc., is a provider of medical and mental healthcare in jails, prisons, and inpatient and residential treatment facilities. Wellpath Holdings and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 24-90533) on Nov. 11, 2024. Timothy Dragelin, chief restructuring officer and chief financial officer, signed the petitions. At the time of the filing, the Debtors reported $1 billion to $10 billion in assets and liabilities. Judge Alfredo R. Perez oversees the cases. The Debtors tapped Marcus A. Helt, Esq. at McDermott Will & Emery, LLP, as bankruptcy counsel; FTI Consulting, Inc., as financial advisor; and Lazard Freres & Co., LLC and MTS Partners, LP as investment banker. WENER FINCO: Moody's Withdraws 'Caa1' Following Debt Repayment -------------------------------------------------------------- Moody's Ratings withdrew all of Werner FinCo LP's ("ProDriven Global Brands") ratings including the Caa1 corporate family rating, Caa1-PD probability of default rating, B3 senior secured global notes, Caa2 senior secured junior notes, and Caa3 senior unsecured notes. Prior to the withdrawal, the outlook was stable. This action follows the company's completed refinancing, where all rated debt has been redeemed. RATINGS RATIONALE Moody's have withdrawn the ratings as a result of the refinancing and repayment of the company's senior unsecured notes due July 2025, and senior secured notes due June 2028. COMPANY PROFILE ProDriven Global Brands, headquartered in Itasca, Illinois, is a global manufacturer and distributor of ladders, jobsite storage and truck and van tool storage products and other equipment used in the construction industry. For the period ended December 31, 2024, the company generated $1.3 billion in revenue. WHITE CAP: Moody's Affirms 'B2' CFR & Alters Outlook to Negative ---------------------------------------------------------------- Moody's Ratings affirmed White Cap Supply Holdings, LLC's (White Cap) B2 corporate family rating and B2-PD probability of default rating. Moody's also affirmed the company's senior secured revolving credit facility expiring in 2029 and senior secured term loan maturing 2029 at B2 and senior unsecured notes due 2028 at Caa1. At the same time, Moody's changed the outlook to negative from stable. The affirmation of the B2 CFR and change in outlook to negative reflects Moody's expectations that White Cap's credit metrics will remain stressed over the next 12-18 months due to ongoing economic uncertainties, slowing of construction projects in North America and weak consumer confidence that is negatively impacting domestic residential construction. Moody's anticipations for ongoing debt-financed acquisitions funded with revolver borrowings at a time of continued softness in the US construction industry is delaying significant improvement in credit metrics and further warranting the change to a negative outlook. RATINGS RATIONALE White Cap's B2 CFR reflects the company's high debt leverage and low interest coverage. Moody's forecasts debt/EBITDA remaining near 7x and EBITDA/interest expense of around 2x over the next 12-18 months. Operating expenses related to growth initiatives will put some pressure on profit margins. White Cap operates in the competitive distribution sector, with some reliance on commodity-like products, which are easily available from other companies. Uncertainty remains regarding White Cap's future financial policy and commitment to deleveraging relative to growth through acquisitions and providing a future return of capital to its shareholders. All financial metrics cited reflect Moody's standard adjustments. Providing an offset to these credit challenges at this time is good operating performance, with EBITDA margin at around 11.5% for fiscal-year 2025 (ending January 2026). White Cap's meaningful scale as the largest rated distributor of concrete accessories and specialty construction products in North America favorably positions the company with suppliers in realizing discounted pricing and ensuring product availability to serve customer needs. White Cap will benefit from ongoing public funding for infrastructure projects from which the company derives about 25% of its revenue and exposure to favorable trend in non-residential mega-projects and data centers. The company's good liquidity is a credit strength, including Moody's anticipations for around $65 million of free cash flow in fiscal-year 2025. White Cap has access to a $1.5 billion asset-based revolving credit facility due 2029, which is governed by a borrowing base calculation that fluctuates with business seasonality. As of May 05, 2025, revolver availability totaled about $900 million, after considering $110 million in borrowings, some letters of credit issuances and the borrowing base formula. White Cap has no material debt maturities over the next three years. The B2 senior secured bank credit facility rating, which is the same as the B2 CFR, results from its subordination to company's asset based revolving credit facility but priority of payment relative to the company's senior unsecured notes. The bank credit facility consists of a revolving credit facility and a term loan. The revolving credit facility and term loan are pari passu. Both have a first lien on substantially all noncurrent assets and a second lien on assets securing the company's asset based revolving credit facility (ABL priority collateral). The Caa1 senior unsecured notes rating, which is two notches below the B2 CFR, results from their subordination to the company's considerable amount of secured debt. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Stabilization of the outlook could occur if end markets improve and become more supportive of organic revenue growth. White Cap executing its operating plan that results in better credit metrics and cash flow would also support stabilizing the outlook. A ratings upgrade is unlikely over the next 12-18 months on account of White Cap's high debt leverage. However, upwards rating movement over the long term could occur if end markets remain supportive of long-term organic growth such that debt/EBITDA nears 4.5x. Preservation of good liquidity and predictable financial policies regarding capital deployment would also support an upgrade. A ratings downgrade could occur if debt/EBITDA remains above 6.5x and EBITDA/interest stays around 2x. Negative ratings pressure may also develop if the company experiences deteriorating liquidity or adopts increasingly aggressive acquisition or shareholder-return initiatives. The principal methodology used in these ratings was Distribution and Supply Chain Services published in December 2024. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. White Cap Supply Holdings, LLC, headquartered in Doraville, Georgia, is a North American industrial distributor of specialty construction products. Through their respective affiliates, Clayton, Dubilier & Rice (CD&R) owns on a pro forma basis about 77% (on a fully diluted basis) of White Cap and The Sterling Group owns around 10%, with the remainder owned by current management and retirees. Moody's projects White Cap's fiscal-year 2025 revenue of $6.5 billion. WHITESTONE CROSSING: Hearing to Use Cash Collateral Set for July 1 ------------------------------------------------------------------ The U.S. Bankruptcy Court for the Northern District of Texas, Dallas Division, is set to hold a hearing on July 1 to consider another extension of Whitestone Crossing Austin, LLC's authority to use cash collateral. The Debtor's authority to utilize cash collateral pursuant to the court's June 24 order expires on July 1. The June 24 order allowed the Debtor to use up to $23,000 in cash collateral held by LFT CRE 2021-FL1, Ltd. In return for the use of the lender's cash collateral, the Debtor offered making interest payments or another negotiated amount. LFT's cash collateral consists of rents and revenue from the Debtor's apartment complex located in Cedar Park, Texas. The Debtor previously received a $17 million loan from LFT, which is administered by Lument Real Estate Capital, LLC. That loan is secured by real estate and rental income. About Whitestone Crossing Austin Whitestone Crossing Austin, LLC operates Whitestone Crossing, an apartment community located in Cedar Park, Texas. The property offers one- and two-bedroom units featuring modern amenities such as nine-foot ceilings, fiber-ready internet, and in-home washers and dryers. The community also provides facilities including a swimming pool, clubhouse, and fitness center. Whitestone Crossing Austin sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-31768) on May 12, 2025. In its petition, the Debtor reported estimated assets and liabilities between $10 million and $50 million. Judge Stacey G. Jernigan handles the case. The Debtor is represented by Abhijit Modak, Esq., at Abhijit Modak, Attorney at Law. WOODHILL NC: Seeks to Hire Buckmiller & Frost PLLC as Counsel ------------------------------------------------------------- Woodhill NC, LLLC seeks approval from the U.S. Bankruptcy Court for the Middle District of North Carolina to hire Buckmiller & Frost, PLLC to handle the Chapter 11 proceedings. The firm will be paid at these rates: Matthew W. Buckmiller $400 per hour Joseph Z. Frost $375 per hour Yorlibeth Martinez $300 per hour Paralegals, Law Clerks, & Staff $65 to $160 per hour The firm received from the Debtor a retainer of $21,738. Buckmiller & Frost is a disinterested person within the meaning of Sec. 101(14) of the Bankruptcy Code, according to court filings. The firm can be reached through: Joseph Z. Frost, Esq. Buckmiller & Frost, PLLC 4700 Six Forks Road, Suite 150 Raleigh, NC 27609 Tel: (919) 296-5040 Fax: (919) 977-7101 Email: jfrost@bbflawfirm.com About Woodhill NC Woodhill NC, LLLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. N.C. Case No. 25-80120) on May 20, 2025, listing up to $50,000 in assets and up to $10 million in liabilities. Brian Kileff, manager of Woodhill NC, signed the petition. Judge Lena M. James oversees the case. Joseph Z. Frost, Esq., at Buckmiller & Frost, PLLC, represents the Debtor as legal counsel. WOODMAN INVESTMENT: Has Deal on Cash Collateral Access ------------------------------------------------------ Woodman Investment Group, LLC and LA Buyer, LLC advised the U.S. Bankruptcy Court for the Central District of California, San Fernando Valley Division, that they have reached an agreement regarding the use of cash collateral and now desire to memorialize the terms of this agreement into an agreed order. Woodman owns a shopping center in Van Nuys, California, which secures a $25 million loan held by LA Buyer through a first-position deed of trust. Following the Debtor's bankruptcy filing on May 2, 2025, and subsequent motions and objections regarding the use of cash collateral, the parties have agreed to terms for its continued use. Under the stipulation, LA Buyer consents to the Debtor's use of cash collateral strictly for necessary property maintenance, with any monthly surplus to be paid to LA Buyer as adequate protection. For May 2025, the surplus was $20,291, which the Debtor must pay to LA Buyer by June 30, 2025. The Debtor will also file monthly income and expense reports by the 10th of each following month. LA Buyer may object to these reports within seven days; if no objection is filed, surplus funds must be paid by the end of the month. As further protection, LA Buyer will receive a replacement lien on post-petition revenues, limited to any reduction in cash collateral value caused by the Debtor's use. These liens are valid, enforceable, and automatically perfected. Monthly adequate protection payments will continue until the Court orders otherwise or the Debtor's reorganization plan is confirmed. Any missed payments or reports by the Debtor will constitute a default, allowing LA Buyer to seek immediate relief from the Court. Both parties retain all rights and remedies under law, and any modification to the stipulation must be in writing or ordered by the Court. The agreement is binding on both parties and their successors, and LA Buyer's replacement lien will survive any dismissal of the bankruptcy case. A copy of the motion is available at https://urlcurt.com/u?l=475ST2 from PacerMonitor.com. About Woodman Investment Group Woodman Investment Group, LLC owns the retail shopping center at 6801-6817 Woodman Avenue in Van Nuys, Calif. The property is valued at $12 million based on comparable sales in the area. Woodman Investment Group sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-10775) on May 2, 2025. In its petition, the Debtor reported total assets of $12,338,987 and total liabilities of $27,605,068. Judge Martin R. Barash handles the case. Michael Jay Berger, Esq., at the Law Offices of Michael Jay Berger is the Debtor's bankruptcy counsel. LA Buyer, LLC, as lender, is represented by: Jackson Waste, Esq. Fennemore, LLP 8080 N. Palm Avenue, Third Floor Fresno, CA 93711 Phone: 559.446.3203 Fax: 559.432.4590 jwaste@fennemorelaw.com WW INTERNATIONAL: Shareholders Reelect Board, Reject Exec Pay Plan ------------------------------------------------------------------ WW International, Inc. held its 2025 annual meeting of shareholders. At this meeting, the Company's shareholders: (a) elected the persons listed below to serve as Class III directors for a term of three years expiring at the Company's 2028 annual meeting of shareholders and until their successors have been duly elected and qualified or until the earlier of their resignation, removal, retirement, disqualification or death; (b) ratified the selection of PricewaterhouseCoopers LLP as the Company's independent registered public accounting firm for fiscal 2025; and (c) did not approve, on an advisory basis, the Company's named executive officer compensation. Set forth below are the voting results for these proposals: a. Election of three Class III directors for a term of three years expiring at the 2028 Annual Meeting and until their successors have been duly elected and qualified or until the earlier of their resignation, removal, retirement, disqualification or death: 1. Steven M. Altschuler, M.D. * Votes For: 5,652,083 * Votes Withheld: 4,848,827 * Broker Non-Votes: 30,683,983 2. Julie Bornstein * Votes For: 5,292,254 * Votes Withheld: 5,208,656 * Broker Non-Votes: 30,683,983 3. Thilo Semmelbauer * Votes For: 8,729,799 * Votes Withheld: 1,771,111 * Broker Non-Votes: 30,683,983 b. Ratification of the selection of PricewaterhouseCoopers LLP as the Company's independent registered public accounting firm for fiscal 2025: * Votes For: 37,472,963 * Votes Against: 3,169,688 * Abstentions: 542,242 * Broker Non-Votes: N/A c. Advisory vote to approve the Company's named executive officer compensation: * Votes For: 3,610,345 * Votes Against: 6,128,895 * Abstentions: 761,667 * Broker Non-Votes: 30,683,986 About WW International Inc. WW International, Inc. provides weight control programs. It offers subscriptions for commitment plans that give their clients access to meetings and online subscriptions and give their members guidance and access to a supportive community to help enable them for healthy habits. WW International filed Chapter 11 petition (Bankr. D. Del. Case No. 25-10829) on May 6, 2025. In the petition signed by Felicia DellaFortuna, chief financial officer, the Debtor disclosed between $1 billion and $10 billion in both assets and liabilities. Judge Craig T. Goldblatt oversees the case. The Debtor is represented by Christin Cho, Esq. and Simon Franzini, Esq., at Dovel & Luner, LLP. YELLOW CORP: Seeks to Hire ASK LLP as Special Counsel ----------------------------------------------------- Yellow Corporation and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ ASK LLP as special counsel to pursue avoidance actions. ASK will serve as special counsel to the Debtors to analyze, prosecute and settle Avoidance Actions. ASK will be compensated as follows: Analysis Fee. Subject to Court approval, and in accordance with the Bankruptcy Code, the Bankruptcy Rules, and the Local Rules, ASK's compensation for a full avoidance claims analysis is included as part of the contingency fee. The Avoidance Claim Analysis reflects the gross transfer totals as well as potential defenses under section 547(c) of the Bankruptcy Code. Contingency Fees. a. Pre-Suit. ASK shall earn legal fees on a contingency basis of 23 percent of the cash value of any recoveries and the cash equivalent value of any claim waiver obtained from a potential defendant of an Avoidance Action after ASK issues a demand letter but prior to initiating an Avoidance Action proceeding against such defendant. b. Post Suit. ASK shall earn legal fees on a contingency basis of 27 percent of the cash value of any recoveries and the cash equivalent value of any claim waiver obtained in connection with the settlement of any Avoidance Action after ASK initiates such Avoidance Action proceeding. The following disclosures are provided in response to the request for additional information set forth Part D1 of Appendix B Guidelines for Reviewing Applications for Compensation and Reimbursement of Expenses Filed Under United States Code by Attorneys in Larger Chapter 11 Cases. Question: Did you agree to any variations from, or alternatives to, your standard or customary billing arrangements for this engagement? Answer: No. Question: Do any of the professionals included in this engagement vary their rate based on the geographic location of the bankruptcy case? Answer: No. Question: If you represented the client in the 12 months prepetition, disclose your billing rates and material financial terms for the prepetition engagement, including any adjustments during the 12 months prepetition. If your billing rates and material financial terms have changed post-petition, explain the difference and reasons for the difference. Answer: N/A Question: Has your client approved your respective budget and staffing plan, and, if so, for what budget period? Answer: Compensation is a contingency based fee, plus reimbursement of expenses. Brigette McGrath, Esq., a partner of ASK, assured the court that the firm is a "disinterested person" within the meaning of section 101(14) of the Bankruptcy Code. The firm can be reached through: Brigette G. McGrath, Esq. ASK LLP 2600 Eagan Woods Drive, Suite 400 St. Paul, MN 55121 Direct Dial: (651) 289-3845 E-mail: bmcgrath@askllp.com About Yellow Corporation Yellow Corporation -- www.myyellow.com -- operates logistics and less-than-truckload (LTL) networks in North America, providing customers with regional, national, and international shipping services throughout. Yellow's principal office is in Nashville, Tenn., and is the holding company for a portfolio of LTL brands including Holland, New Penn, Reddaway, and YRC Freight, as well as the logistics company Yellow Logistics. Yellow Corporation and 23 affiliates concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-11069) on August 6, 2023, before the Hon. Craig T. Goldblatt. As of March 31, 2023, Yellow Corp had $2,152,200,000 in total assets against $2,588,800,000 in total liabilities. The petitions were signed by Matthew A. Doheny as chief restructuring officer. Kirkland & Ellis LLP is serving as the Company's restructuring counsel, Pachulski Stang Ziehl& Jones LLP is serving as the Company's Delaware local counsel, Kasowitz, Benson and Torres LLP is serving as special litigation counsel, Goodmans LLP is serving as the Company's special Canadian counsel, Ducera Partners LLC is serving as the Company's investment banker, and Alvarez and Marsal is serving as the Company's financial advisor. Epiq Bankruptcy Solutions serves as claims and noticing agent. Milbank LLP, serves as counsel to certain investment funds and accounts managed by affiliates of Apollo Capital Management, L.P. White & Case LLP, serves as counsel to Beal Bank USA. Arnold & Porter Kaye ScholerLLP, serves as counsel to the United States Department of the Treasury. Alter Domus Products Corp., the Administrative Agent to the DIP Lenders, is represented by Holland & Knight LLP. ZEN JV: June 30 Deadline for Panel Questionnaires ------------------------------------------------- The United States Trustee is soliciting members for committee of unsecured creditors in the bankruptcy cases of Zen JV, LLC, et al. If a party wishes to be considered for membership on any official committee that is appointed, it must complete a questionnaire available at https://tinyurl.com/529zphu9 and return by email it to Timothy Fox -- timothy.fox@usdoj.gov -- at the Office of the United States Trustee so that it is received no later than 4:00 p.m., June 30, 2025. If the U.S. Trustee receives sufficient creditor interest in the solicitation, it may schedule a meeting or telephone conference for the purpose of forming a committee. ZEN JV: Seeks Chapter 11 Bankruptcy in Delaware ----------------------------------------------- On June 24, 2025, Zen JV LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the District of Delaware. According to court filing, the Debtor reports between $100 million and $500 million in debt owed to 1,000 and 5,000 creditors. The petition states funds will noy be available to unsecured creditors. About Zen JV LLC Zen JV LLC operates online employment platforms and related digital media services through brands such as CareerBuilder, Monster, Fastweb, and Military.com. The Company also provides human capital software solutions to government agencies via Monster Government Services. Zen JV LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. ) on June 24, 2025. In its petition, the Debtor reports estimated assets between $50 million and $100 million and estimated liabilities between $100 million and $500 million. Honorable Bankruptcy Judge J Kate Stickles handles the case. The Debtors are represented by Zachary I. Shapiro, Esq., Daniel J. DeFranceschi, Esq., Huiqi Liu, Esq., Clint M. Carlisle, Esq., and Colin A. Meehan, Esq. at RICHARDS, LAYTON & FINGER, P.A. The Debtors' bankruptcy co-counsels are Ray C. Schrock, Esq. and Candace M. Arthur, Esq. at LATHAM & WATKINS LLP. ALIXPARTNERS, LLP is the Debtors' Financial Advisor. PJT PARTNERS LP is the Debtors' Investment Banker. OMNI AGENT SOLUTIONS is the ********* 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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