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250918.mbx T R O U B L E D C O M P A N Y R E P O R T E R Thursday, September 18, 2025, Vol. 29, No. 260 Headlines 23ANDME HOLDINGS: Bankruptcy Court to Review Lemonaid Sale 388 PROSPER: Case Summary & Four Unsecured Creditors 3910 ENTERPRISES: To Sell Galveston Property to Timothy Edwards 535 12TH AVE: Case Summary & One Unsecured Creditor 64-03 REALTY: Counsel Loses Bid to Appeal Bankruptcy Case Dismissal ABC CHILDREN'S EYE: Gets Interim OK to Use Cash Collateral ABERDEEN ENTERPRISES: Appeal on Bay Point Claim Objection Tossed AMERICAN AXLE: S&P Alters Outlook to Negative, Affirms 'BB-' ICR AMERIGLASS CONTRACTOR: Gets Final OK to Use Cash Collateral ANCHOR PACKAGING: S&P Places 'B' ICR on CreditWatch Positive APPLIED DNA: Intracoastal Capital, 2 Others Hold 9.99% Stake APPLIED MINERALS: Claims to be Paid from Plan Funding Transaction APPLIED POWDERCOAT: Inks Deal to Access FBOL's Cash Collateral AQUA METALS: Regains Nasdaq Bid Compliance After Reverse Split ARCH THERAPEUTICS: Claims to be Paid from Property Sale Proceeds ARP HOSPITALITY: Wins Bid to Stay NLRB Hearing Until October 16 ARTIFICIAL INTELLIGENCE: Stacy Stephens Named RAD-M's Sales SVP AZORRA AVIATION: S&P Alters Outlook to Positive, Affirms 'BB-' ICR BANNERS OF ABINGDON: Seeks DIP Loan, Cash Collateral Access BESTWALL LLC: Claimants Tell 4th Circ. Panel's Ch. 11 Ruling Risky BLOCKFI INC: Court Pegs Tubergen Claim at $0 BOY SCOUTS: Claimants Voice Frustrations With Chapter 11 Process CALDWELL HOLDINGS: Leon Jones Named Subchapter V Trustee CARTER LEASING: Robert Goe Named Subchapter V Trustee CENTER FOR SPECIAL: To Sell BFG Columbus Property to G&A Sharon CGA CORPORATION Seeks Cash Collateral Access CHORD ENERGY: S&P Rates New $500MM Senior Unsecured Notes 'BB' CLAIRE'S HOLDINGS: Unsecureds Will Get 1% to 3% of Claims in Plan CLEAN AIR: Wins Bid for Sanctions Against Wang, et al. CLST ENTERPRISES: Trustee Proposes Liquidating Plan COHERENT CORP: S&P Raises Secured Debt Rating to 'BB' CONGA CORP: Fitch Affirms 'B+' LongTerm IDR, Outlook Stable COTY INC: Fitch Affirms 'BB+' LongTerm IDR, Outlook Stable CTL-AEROSPACE: Court OKs $725K DIP Loan, Cash Collateral Access DATAVAULT AI: EOS Converts $3.2M Note Into 10M Shares DEL MONTE: Weighs Potential $800MM Equity Offering DELTA TOPCO: S&P Affirms 'B-' ICR on Proposed Debt Issuance DESKTOP METAL: Assets Acquired Out of Chapter 11 by Arc Impact DIAMOND ELITE: Claims to be Paid from Financing or Sale Proceeds DIVERSIFIED HEALTHCARE: S&P Upgrades ICR to 'B-' on Refinancing DTE ENERGY: Fitch Assigns 'BB+' Rating on Jr. Subordinated Notes DUFF & PHELPS: S&P Withdraws 'B-' Issuer Credit Rating ECHOSTAR CORP: To Sell Spectrum Licenses to SpaceX for $17 Billion ECOVYST CATALYST: S&P Places 'BB-' ICR on Watch Pos on Divestiture EISNER ADVISORY: Fitch Affirms & Then Withdraws 'B' IDR ELDER'S GRINDING: Claims to be Paid from Continued Operations ELETSON HOLDINGS: 2nd Circ. Won’t Stop Doc Handover in Shipping Row ELMWOOD VENTURES: Court Favors Chapter 7 Conversion over Dismissal ESSAR STEEL: Bid to Unseal Docs in Cliffs Case Granted in Part EVOKE PHARMA: Morgan Stanley Entities Hold 10.5% Stake FELTRIM BALMORAL: Court Oks Florida Properties Sale to Bellavista D FIVE POINT: S&P Rates Proposed $450MM Senior Unsecured Notes 'B+' FREE SPEECH: Jones Denied $10 Bond to Avoid $50MM Texas Judgment GAFI MIAMI: Voluntary Chapter 11 Case Summary GCAT 2025-NQM5: S&P Assigns Prelim B (sf) Rating on Cl. B-2 Certs GILDED GATHERINGS: Unsecureds Will Get 82.87% over 3 Years GLOBAL TECHNOLOGIES: Hires Qi CPA as Independent Auditor GRUBHUB INC: S&P Alters Outlook to Stable, Affirms 'CCC+' ICR GWG HOLDINGS: Ex-Judge Wants Secret Atty Romance Junked HYPERION DEFI: Hyunsu Jung Named Interim CEO HYPERION DEFI: Regains Compliance With Nasdaq Minimum Equity Rule ICON PARENT I: S&P Affirms 'B-' ICR, Outlook Stable IDEAL PROPERTY: Court Issues Findings of Fact on Ponzi Scheme INVESTMENTS GROUP: Robert Handler Named Subchapter V Trustee JAC RENTALS: Unsecureds Will Get 25% of Claims over 5 Years JMMJ DEVELOPMENT: Court Oks Greenport Property to LLT Properties KENDON INDUSTRIES: Unsecureds to Split $200K in Smart Trailer Plan KEYERA CORP: S&P Rates Proposed C$500MM Subordinated Notes 'BB+' KOKINOS MANAGEMENT: Section 341(a) Meeting of Creditors on Oct. 15 LAUREL CREEK: Seeks to Tap Kirk P. Reimer as Real Estate Appraiser LINX OF LAKE: Gets Final OK to Use Cash Collateral LORDSTOWN MOTORS: Court Upholds Bankruptcy Ruling in Foxconn Case LOUISIANA CRANE: To Sell Equipment to Align Equipment Finance LUMEN TECHNOLOGIES: Completes $425M Offering of First Lien Notes MERCURITY FINTECH: Chaince Securities Signs MOU With OGBC Group MERLIN BUYER: S&P Affirms 'B-' ICR on Acquisition of Provisur METERED APPLIANCES: Salvatore LaMonica Named Subchapter V Trustee MORGAN STANLEY 2025-NQM7: S&P Assigns B (sf) Rating on B-2 Certs MUKEUNJI II: Ronald Friedman Named Subchapter V Trustee MVP GROUP: Court OKs Interim Use of Cash Collateral OWENS-BROCKWAY GLASS: S&P Rates Proposed $650MM Term Loan B 'BB' PACK LIQUIDATING: Court Narrows Claims in Vagenas, et al. Case PALAZZO DEVELOPMENT: Ruediger Mueller Named Subchapter V Trustee PAWLUS DENTAL: Unsecureds to Get Share of Income for 3 Years PC LEARNING: Ronald Friedman of Rimon PC Named Subchapter V Trustee PHILLIPS ACRES: Case Summary & 11 Unsecured Creditors PHOEBEN 2 LLC: Seeks Subchapter V Bankruptcy in Texas PLAZA MARIACHI: Court Extends Cash Collateral Access to Oct. 31 POPELINO'S TRANSPORTATION: Gets Interim OK to Use Cash Collateral PROSPECT MEDICAL: Reaches Deal w/ Connecticut Healthcare Network RAFTER H FARM: Unsecureds to Get $2,500 per Month for 36 Months RIVER NORTH FARMS: Seeks Chapter 11 Bankruptcy in Texas RUSS'S MULCH: Seeks Subchapter V Bankruptcy in Wisconsin SBLA INC: Unsecured Creditors to Split $30K over 3 Years SEQUOIA GROVE: Case Summary & One Unsecured Creditor SIMBA IL HOLDINGS: Case Summary & 20 Largest Unsecured Creditors SIX COOKS: Gets Interim OK to Use Cash Collateral Until Oct. 12 SOLSTICE ADVANCED: Moody's Rates New $1BB Sr. Unsecured Notes 'Ba2' SOLSTICE ADVANCED: S&P Rates New Senior Unsecured Notes 'BB+' SOVRAN LLC: Benaroya Not Entitled to Injunctive Relief in Tax Row SSI PRODUCTS: Case Summary & 20 Largest Unsecured Creditors STEWARD HEALTH: Ex-CEO Prohibited from Suing Senate Panel STONEPEAK BAYOU: S&P Assigns 'B+' ICR, Outlook Stable SVB FINANCIAL: FDIC Secures More Discovery in Fraud Policy Case SVENHARD'S SWEDISH: Can't Assume Settlement Deal, 9th Cir. Says TK HOLDINGS: Court Tosses Claimant's Appeal on Expungement Order TRICOLOR AUTO: Lender Seizes Cars From Lots in Asset Recovery TRUCK & TRAILER: Unsecured Creditors Will Get 5% over 4.5 Years VALYRIAN MACHINE: Case Summary & 20 Largest Unsecured Creditors VANTAGE SPECIALTY: S&P Withdraws 'CCC+' LT Issuer Credit Rating VIASAT INC: The Baupost Group, 2 Others Hold 2.15% Stake WEATHERMASTER ROOFING: Seeks Subchapter V Bankruptcy in New York WHITESTONE CROSSING: Taps James Miller as Litigation Counsel WILDFIRE ENERGY I: Fitch Affirms 'B+' LongTerm IDR, Outlook Stable WINDTREE THERAPEUTICS: SVP & CMO Steven Simonson Resigns WOHALI LAND: EB5AN Seeks Chapter 11 Trustee Appointment WOLFSPEED INC: Court Confirms Joint Chapter 11 Plan YELLOW CORP: 3rd Circ. Rules Pension Obligations Persist in Ch. 11 YELLOW CORPORATION: Court Set to Approve Disclosure Statement YOUNG MEN'S CHRISTIAN: Completes Restructuring, Ch. 11 Exit OK'd [] 45-Unit Residential Complex for Sale on September 17 [] Two Scarborough Warehouses Up for Sale on September 25 [^] Recent Small-Dollar & Individual Chapter 11 Filings ********* 23ANDME HOLDINGS: Bankruptcy Court to Review Lemonaid Sale ---------------------------------------------------------- Chrome Holding Co. (formerly operating as "23andMe Holding Co.") announced September 16, 2025, that it has entered into a Stock Purchase Agreement with Bambu Ventures. Through the creation of a Special Purpose Vehicle (SPV) formed in partnership with Innova Capital Partners the SPV will acquire 100% of the equity of Lemonaid Health, Inc. and Lemonaid Pharmacy Holdings, Inc., pending approval by the United States Bankruptcy Court for the Eastern District of Missouri. Bambu Ventures and Innova began collaborating nearly four months ago on the pursuit of Lemonaid Health. Together, the partners plan to expand the company's on-demand telemedicine and online pharmacy services, building on its original mission of empowering patients with easier, faster access to care. "This acquisition is an incredible outcome for our portfolio, and we are thrilled to support Lemonaid Health's next phase of growth," said Kyle Pretsch, General Partner at Bambu Ventures. "We are committed to advancing Lemonaid's vision and expanding its reach to create an exceptional consumer healthcare experience." Lawrence Jacobs, Co-Managing Partner of Innova, added: "We look forward to working alongside Bambu Ventures to enhance Lemonaid's offerings, improve patient care, and accelerate telehealth adoption in the U.S. and beyond." Bambu Ventures will provide executive leadership to the new entity through General Partners Richard Hearn and Kyle Pretsch, with Dylan Runne joining Innova principals on the Board of Directors. "We are excited to pair vision with operational excellence, bringing Lemonaid back to an aggressive growth mindset," said Richard Hearn, General Partner at Bambu Ventures, who will also serve in an operational leadership role. Founded in 2013, Lemonaid Health has been a pioneer in telehealth, offering affordable, direct access to care for a wide range of common conditions. Its platform provides both medical consultations and same-day prescription delivery, making healthcare more convenient, efficient, and accessible for patients nationwide. About BambuMeta Ventures BambuMeta Ventures (bambuventures.com) acted as lead sponsor and guarantor of the transaction. Bambu specializes in overlooked and undervalued B2B SaaS, AI, and tech-enabled services at the Pre-Seed and Seed stages. Applying a private equity lens to early-stage investing, Bambu's partners take an active, hands-on role in operational execution, compounding learnings across the portfolio through the firm's "Contribution Effect," and driving momentum toward profitability. About Innova Capital Partners Innova Capital Partners (innovacapitalpartners.com) is a global private investment firm focused on disruptive innovators. With more than a decade of experience, Innova develops unique opportunities across sectors where its investment expertise and operational capabilities create value. The firm invests at multiple stages of growth, building and supporting talented teams while scaling promising businesses worldwide. Partners Goldenberg Heller & Antognoli P.C. served as legal counsel to the SPV. Collins Law Offices advised BambuMeta Ventures. Investors eGateway Capital (Cincinnati, Ohio) acted as a lead sponsors for the SPV, supported by Broadview Capital, Auctus Holding Ltd., Day Break Partners and others. About Lemonaid Health Lemonaid Health is a leading telemedicine and prescription delivery provider. By combining advanced clinical algorithms with the expertise of licensed medical professionals, the platform allows patients to quickly, safely, and affordably access care and prescriptions for a variety of conditions. Lemonaid's mail-order pharmacy ships most medications the same day, ensuring speed, convenience, and accessibility. Learn more at lemonaidhealth.com. About 23andMe Holding Co. 23andMe Holding Co. is a genetics-led consumer healthcare and biotechnology company in San Francisco, Calif. Through its direct-to-consumer genetic testing, 23andMe offers personalized insights into ancestry, genetic traits, and health risks. The company has developed a large database of genetic information from over 15 million customers, enabling it to provide health and carrier status reports and collaborate on genetic research for drug development. On the Web: http://www.23andme.com/ On March 23, 2025, 23andMe and 11 affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Mo. Lead Case No. 25-40976). 23andMe disclosed $277,422,000 in total assets against $214,702,000 in total liabilities as of Dec. 31, 2024. Paul, Weiss, Rifkind, Wharton & Garrison, LLP, Morgan, Lewis & Bockius, LLP and Carmody MacDonald, PC serve as legal counsel to the Debtors while Alvarez & Marsal North America, LLC serve as the restructuring advisor. The Debtors tapped Reevemark, LLC and Scale Strategy Operations, LLC as communications advisors and Kroll Restructuring Administration Services, LLC as claims agent. Lewis Rice LLC, Moelis & Company LLC, and Goodwin Procter LLP serve as special local counsel, investment banker, and legal advisor to the Special Committee of 23andMe's Board of Directors, respectively. Jerry Jensen, Acting U.S. Trustee for Region 13, appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee tapped Kelley Drye & Warren, LLP and Stinson, LLP as legal counsel and FTI Consulting, Inc. as financial advisor. 388 PROSPER: Case Summary & Four Unsecured Creditors ---------------------------------------------------- Debtor: 388 Prosper LLC 20840 San Simeon Way, Unit 706 Miami, FL 33179 Business Description: 388 Prosper LLC is classified as a single- asset real estate debtor under 11 U.S.C. Section 101(51B). Chapter 11 Petition Date: September 16, 2025 Court: United States Bankruptcy Court Southern District of Florida Case No.: 25-20745 Debtor's Counsel: Chad Van Horn, Esq. VAN HORN LAW GROUP, P.A. 500 NE 4th Street, Suite 200 Fort Lauderdale, FL 33301 Tel: (954) 765-3166 E-mail: chad@cvhlawgroup.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Shelly Ann Grant as managing member. A full-text copy of the petition, which includes a list of the Debtor's four unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/K4RQPWA/388_Prosper_LLC__flsbke-25-20745__0001.0.pdf?mcid=tGE4TAMA 3910 ENTERPRISES: To Sell Galveston Property to Timothy Edwards --------------------------------------------------------------- 3910 Enterprises, Inc. seeks permission from the U.S. Bankruptcy Court for the Southern District of Texas, Galveston Division, to sell Property, free and clear of liens, claims, interests, and encumbrances. The Debtor requests approval to sell one of their properties located at 3314 M 1/2 Galveston, Texas 77550, free and clear of liens. The Debtor entered into a contract to sell the Property prior to the Petition Date and is now working to close on the sale. The Debtor is selling the Property to the Debtor's owners' son. While the sale is an insider transaction, the Debtor attempted to market and sell the property previously but received only one low offer and, though Debtor tried to negotiate in good faith, no offer materialized into a contract. The current contract represents the highest offer and value that the Debtor has received or that the Debtor believes it could receive in this current market. The sale proceeds will pay off all liens on the Property and result in approximately $89,000.00 in cash proceeds to the Debtor's estate. The Debtor requests emergency consideration because it is in a critical cash position after paying for insurance to replace lender force-place insurance policies. The Debtor is a property holdings and management company that primarily serves low-income families in Galveston. The Debtor filed this case to stop a foreclosure and sell some of its properties. The Debtor routinely buys and sells real property as part of its business. Prior to the Petition Date, in late 2024, the Debtor listed the Property for sale for $265,000.00. The Debtor utilized David Wallace, a realtor with more than 26 years of experience in the real estate industry, who became a licensed broker in 2008. Mr. Wallace specializes in Galveston Island & Inner Loop Houston with an emphasis on investment properties. The Debtor listed the Property on Houston Association of Realtors' (HAR.com) website from December 15, 2025, to the date the listing expired on June 30, 2025. The Debtor, through Mr. Wallace, received a verbal offer for $175,000.00 from an investor. The Debtor countered at $225,000.00. That potential buyer did not move forward. The Debtor did not receive any other offers. The Debtor subsequently engaged in discussions with the Debtor’s owners' son, Timothy Edwards, who is also an employee of the Debtor. The Debtor agreed to a sale price of $270,000.00, which the Debtor believes represents the fair market value of the Property. Galveston County Appraisal District lists the Property market value, with improvements, at $226,553.00. The recent appraisal that the Debtor obtained for this sale appraised the Property at $275,000.00. The Debtor's owners' son was approved for an FHA loan that includes the Debtor granting an equity gift to lower Buyer's closing costs. The total equity gift is $39,350.00. Even with this equity gift, the proceeds that the Debtor will realize is more than the one offer received. At closing, the Debtor will receive $214,023.13. 3 The Debtor believes it owes total liabilities of approximately $124,702.96 on the Property, which is the payoff amount owed to the lender as of 9/18/25 per its servicer, Rushmore Servicing. The sale will therefore realize $89,320.17 in proceeds to the Debtor's estate. Although a sale to insiders is subject to heightened scrutiny, the sale will satisfy all debts on the Property and bring in approximately $89,000.00 in cash proceeds to the estate, which the Debtor needs to continue operating and to formulate a successful exit plan from the chapter 11 case. The Debtor has spent approximately $15,000.00 in the last two weeks on replacing insurance policies where lenders cancelled and placed force-place insurance. The cost disrupted the Debtor's cash position and the Debtor now critically needs cash to operate, which is why the Debtor is requesting authority to sell on an emergency basis. About 3910 Enterprises Inc. 3910 Enterprises, Inc. manages real estate on behalf of clients and provides property appraisal services. 3910 Enterprises Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-80362) on August 5, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Alfredo R. Perez handles the case. The Debtor is represented by Genevieve M. Graham, Esq., at Genevieve Graham Law, PLLC doing business as Graham, PLLC. 535 12TH AVE: Case Summary & One Unsecured Creditor --------------------------------------------------- Debtor: 535 12th Ave NE, LLC 535 12th Ave NE Saint Petersburg, FL 33701 Business Description: 535 12th Ave NE, LLC, a single-asset real estate entity as defined under 11 U.S.C. Section 101(51B), owns a property located at 535 12th Ave NE in St. Petersburg, Florida, which has an appraised value of $1.63 million. Chapter 11 Petition Date: September 16, 2025 Court: United States Bankruptcy Court Middle District of Florida Case No.: 25-06747 Debtor's Counsel: Jake C. Blanchard, Esq. BLANCHARD LAW, P.A. 8221 49th Street N. Pinellas Park, FL 33781 Tel: 727-531-7068 E-mail: jake@jakeblanchardlaw.com Total Assets: $1,636,583 Total Liabilities: $1,058,802 CJ Favour signed the petition as manager. The Debtor identified Truist, located at PO Box 791622, Baltimore, MD 21279-1622, as its sole unsecured creditor, listing a $15,517 claim associated with a credit card. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/6XSGXSA/535_12th_Ave_NE_LLC__flmbke-25-06747__0001.0.pdf?mcid=tGE4TAMA 64-03 REALTY: Counsel Loses Bid to Appeal Bankruptcy Case Dismissal ------------------------------------------------------------------- In the appeal styled 64-03 REALTY LLC, Appellant, – against – 64-03 WOODSIDE NOTEBUYER LLC, Appellee, Case No. 24-cv-05685-NCM (E.D.N.Y.), Judge Natasha C. Merle of the United States District Court for the Eastern District of New York affirmed the dismissal of the debtor's chapter 11 case. Judge Merle upheld the order of the United States Bankruptcy Court for the Eastern District of New York that denied Attorney William X. Zou's motion for an extension of time to file a notice of appeal of the Bankruptcy Court's dismissal order. The Bankruptcy Court had determined that the case was filed in bad faith. Zou made the motion for an extension of time on his own behalf, rather than on behalf of his client, 64-03 Realty LLC, the debtor in the underlying bankruptcy proceeding. He appeals the denial of that motion, also on his own behalf. On Feb. 23, 2024, 64-03 Realty LLC filed a Chapter 11 Bankruptcy petition. The petition was filed on the Debtor's behalf by Zou. Shortly thereafter, the Debtor's secured lender 64-03 Woodside Notebuyer LLC filed an emergency motion to dismiss the bankruptcy petition and/or to lift the automatic stay, which the Debtor opposed. The Bankruptcy Court held a hearing on April 2, 2024 during which it granted Notebuyer's motion. At that hearing, the Bankruptcy Court made various comments regarding the merits of the Debtor's bankruptcy petition and the emergency motion to dismiss. Those comments included that the Debtor's actions had been "outrageous" and that there had been "disregard for this Court and the practice of law." On April 26, 2024, the Bankruptcy Court entered a Dismissal Order which included a finding that the petition at issue was filed in bad faith. The deadline to file a notice of appeal expired 14 days later, on May 13, 2024. According to Zou, after the time to file a notice of appeal expired, the transcript of the April 2, 2024 hearing was used by Notebuyer, in a separate state court action against Zou in his individual capacity, to implicate him in allegedly violating New York State Judiciary Law Sec. 487. On June 3, 2024, Zou filed a motion in his personal capacity to extend the time to file a notice of appeal because he disagreed with the Dismissal Order to the extent the Order is implicating him in the bad faith filing. On July 30, 2024, the Bankruptcy Court held a hearing on the motion for an extension of time. During that hearing, it noted that the case had been closed on May 30, 2024 and that Zou had not made a motion to reopen the case or to vacate the dismissal order. The Bankruptcy Court then found Zou's motion for an extension of time to file a notice of appeal had not demonstrated excusable neglect for Zou's failure to timely file. It accordingly denied the motion on the record. On Aug. 15, 2024, Zou filed the appeal, which seeks relief from the Bankruptcy Court's denial of his motion for an extension of time to file a notice of appeal. Notebuyer argues Zou lacks standing to appeal the Bankruptcy Court's order denying his motion for an extension of time to file a notice of appeal, and that even if Zou did have standing, the Bankruptcy Court's denial of the motion was proper. The District Court finds that Zou lacks standing to appeal the Bankruptcy Court's denial of his motion for an extension of time to file a notice of appeal, and that even if Zou had standing, the Bankruptcy Court did not abuse its discretion in finding that Zou did not demonstrate excusable neglect for the belated request. Accordingly, the Bankruptcy Court's order denying Zou's motion for an extension of time. Zou has not offered any facts on which the District Court could find that he, not his client, has been directly and adversely affected pecuniarily by this denial. To the extent Zou attempts to argue that he could be adversely impacted due to Notebuyer's use of the Bankruptcy Court's statements in a separate state court action, that argument does not change the analysis. Zou does not indicate whether Notebuyer succeeded in its state court action against him and secured monetary relief. According to the District Court, any adverse effect from the use of the Bankruptcy Court's statements by Notebuyer to establish that Zou violated New York Judiciary Law Sec. 487 is too speculative to confer standing to Zou as a "person aggrieved." Even if Notebuyer ultimately recovers monetary damages, Zou cannot establish that the challenged order -- in this case, the denial of Zou's motion for an extension of time to appeal -- directly caused any state court monetary damages. Thus, the District Court concludes Zou lacks standing to appeal the Bankruptcy Court's denial of his motion for an extension of time to file a notice of appeal. A copy of the Court's Memorandum & Order dated September 9, 2025, is available at https://urlcurt.com/u?l=5KhiuA from PacerMonitor.com. 64-03 Realty LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). 64-03 Realty filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-40820) on Feb. 23, 2024, listing $10 million to $50 million in both assets and liabilities. The petition was signed by Wing Fung Chau as manager. Judge Nancy Hershey Lord oversaw the case. The Debtor was represented by William Zou, Esq. The case was dismissed on April 26, 2024. ABC CHILDREN'S EYE: Gets Interim OK to Use Cash Collateral ---------------------------------------------------------- ABC Children's Eye Specialists, PC received interim approval from the U.S. Bankruptcy Court for the District of Arizona to use cash collateral to fund operations. The court's interim order authorized the Debtor to use cash collateral through October 15 to pay the expenses set forth in its budget, subject to a 10% gross monthly variance. Sunflower Bank, N.A. holds a lien on the cash collateral and, as adequate protection, will receive $29,568.66 by October 15, and a replacement lien on the cash collateral and its proceeds. Other creditors with interests in the cash collateral will receive replacement liens on the Debtor's post-petition cash collateral and proceeds, with the same validity, priority and extent as their pre-bankruptcy liens. The interim order directed the Debtor to include monthly payments of $29,568.66 to Sunflower Bank in its proposed final budget as adequate protection, from November 15 through January 15, 2026. The final hearing is set for October 15. The deadline for filing objections or responses is on October 8. The Debtor is a healthcare business and professional corporation formed in 2002 in Arizona. It operates six leased locations in the Phoenix metropolitan area, providing pediatric eye care and related services to thousands of children across Maricopa County. The practice includes ophthalmology, optometry, and a behavioral and nutritional consulting division known as Children's Brain Academy. The business employs 92 staff members and has a monthly payroll obligation of approximately $672,500. The sole shareholder is Dr. Brendan Cassidy, a licensed physician for 36 years who has served the Phoenix community for 31 years. The Debtor is also involved in charitable medical missions abroad and provides mobile pediatric eye care to underserved communities in rural Arizona. The Chapter 11 case was filed on September 10, primarily due to excessive debt owed to multiple merchant cash advance lenders. No trustee or official committee has been appointed, and ABC continues to operate as a debtor-in-possession under Sections 1107 and 1108. The Debtor has identified 11 alleged secured creditors with a total of approximately $6.78 million in claimed interests in cash collateral, though UCC-1 financing statements could not be located for several. These creditors include the U.S. Small Business Administration, Sunflower Bank, and various MCA lenders. In 2024, the Debtor generated nearly $8.93 million in revenue, and from January to August, it earned over $8.15 million, averaging more than $1 million per month. Approximately 90% of revenue comes from insurance payments, with the rest from co-pays and direct patient payments. As of the petition date, the Debtor's gross accounts receivable totaled around $1.9 million, with an estimated collectible value of $1.37 million based on historical realization rates. All business locations remain open and are expected to generate revenue at pre-petition levels. About ABC Children's Eye Specialists PC ABC Children's Eye Specialists, PC is a healthcare business and professional corporation formed in 2002 in Arizona. ABC Children's Eye Specialists sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 25-08546) on September 10, 2025, listing up to $10 million in both assets and liabilities. Brendan Cassidy, owner of ABC Children's Eye Specialists, signed the petition. Judge Scott H. Gan oversees the case. Grant L. Cartwright, Esq., at May Potenza Baran & Gillespie, P.C., is the Debtor's legal counsel. Sunflower Bank, N.A., as secured creditor, is represented by: Wade M. Burgeson, Esq. Engelman Berger, P.C. 2800 North Central Avenue, Suite 1200 Phoenix, AZ 85004 Phone: (602) 222-4989 Wmb@eblawyers.com ABERDEEN ENTERPRISES: Appeal on Bay Point Claim Objection Tossed ---------------------------------------------------------------- Judge Gary R. Brown of the United States District Court for the Eastern District of New York dismissed the appeal styled LOUISE BLOUIN AND ABERDEEN ENTERPRISES (BVI) LTD, Appellants, -against- BAY POINT CAPITAL PARTNERS II, LP, Appellee, Case No. 24-cv-07744-GRB (E.D.N.Y.). The debtors in the main bankruptcy case were Aberdeen and its affiliate, Brickchurch Enterprises, Inc. Aberdeen and Brickchurch's main assets were two contiguous oceanfront properties comprising a four-acre estate in Southampton, New York, and the debtors were co-borrowers on a loan secured by the properties. Blouin owned and controlled Aberdeen and Brickchurch as well as the two properties. In July 2018, JGB Partners, LP and its related companies loaned the debtors $26 million, secured by both debtors' properties, with a first mortgage against the Brickchurch property, and a second lien mortgage against the Aberdeen property. Blouin and Aberdeen appeal from a final order of the Honorable Alan S. Trust, Chief United States Bankruptcy Judge for the Eastern District of New York, overruling the debtor's claim objection. Aberdeen had sought to reduce and/or reallocate the closing payments made to appellee Bay Point Capital Partners II, LP under a joint plan of liquidation filed by Bay Point, Aberdeen and Brickchurch, and approved by Judge Trust, arguing that the payment provisions in the plan were inconsistent with the sale provisions set forth in a pre-petition state court foreclosure. Bay Point moves to dismiss the instant appeal, asserting that dismissal is appropriate because: (1) appellant failed to timely comply with the filing requirements under Rule 8009 of the Federal Rules of Bankruptcy Procedure; and (2) appellant's claims for relief are barred by the doctrine of res judicata. The District Court agrees on both grounds and dismisses the instant appeal. Rule 8009 By operation of Bankruptcy Rule 8009, Blouin's Designation and Statement was due no later than Nov. 20, 2024. To date, appellant has not filed a Designation. Under these circumstances, where Blouin has failed to comply with the clear dictates of Bankruptcy Rule 8009 and has not attempted to show excusable neglect for her failure to do so, the District Court grants Bay Point's motion to dismiss the appeal. Res Judicata On March 1, 2024, the Bankruptcy Court confirmed the debtors' and Bay Point's second amended joint liquidating plan and entered an Order of Confirmation. The Order of Confirmation expressly stated that it was "a final order within the meaning of 28 U.S.C. Sec. 158(a) and the period in which an appeal must be filed shall commence immediately upon the entry thereof." In her present appeal to the District Court, Blouin is again challenging the payment provisions of the Joint Plan approved by the Bankruptcy Court in the Confirmation Order. Such a challenge, if successful, would destroy the rights granted to Bay Point under the Joint Plan and would invalidate the enforceability of the reorganization plan. Hence, Blouin's attempt to relitigate the issues resolved by the Confirmation Order is barred by res judicata. The District Court accordingly grants Bay Points' motion to dismiss the appeal on this alternative ground. A copy of the Court's Memorandum & Order dated September 4, 2025, is available at https://urlcurt.com/u?l=rgyZfd About Aberdeen Enterprises and Brickchurch Enterprises Brickchurch Enterprises, Inc. filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 22-70914) on April 30, 2022, with $50 million to $100 million in both assets and liabilities. On Aug. 2, 2023, Aberdeen Enterprises, Inc. filed Chapter 11 petition (Bankr. E.D.N.Y. Case No. 23-72834), with $50 million to $100 million in both assets and liabilities. The cases are jointly administered under Case No. 23-72834. Judge Alan S. Trust oversees the cases. Kevin J. Nash, Esq., at Goldberg Weprin Finkel Goldstein, LLP and Camisha L. Simmons, Esq. at Simmons Legal, PLLC serve as attorneys for Aberdeen and Brickchurch, respectively. AMERICAN AXLE: S&P Alters Outlook to Negative, Affirms 'BB-' ICR ---------------------------------------------------------------- S&P Global Ratings revised its outlook to negative from stable and affirmed its 'BB-' issuer credit rating on American Axle & Manufacturing Holdings Inc. S&P said, "We assigned a 'BB' issue-level rating and '2' recovery rating (70%-90%; rounded 70%) to the company's proposed $843 million term loan due 2032 and $843 million secured notes due 2032. We also lowered our issue-level rating on the rest of the company's senior secured debt to 'BB' from 'BB+', with a '2' recovery rating (70%-90%; rounded 70%). We also assigned a 'B+' issue-level rating and '5' recovery rating (10%-30%; founded 10%) to the company's proposed $600 million senior unsecured notes due 2033. "If the proposed transaction doesn't close, we would revert our senior secured issue level and recovery ratings back to 'BB+' and '1' (90%-100%; rounded 95%) respectively. The senior unsecured issue rating of 'B+' and recovery rating of '5' (10%-30%; rounded 10%) would remain unchanged. "The negative outlook reflects the risk that we could lower the ratings if credit metrics don't improve in line with expectations over the next 12 months, including leverage remaining below 5x in 2026 and our expectation that FOCF to debt approaches 5% by 2027." American Axle is issuing $2.286 billion in incremental debt to fund its acquisition of Dowlais, which will dramatically increase the company's scale and diversification. S&P expects credit metrics and cash flow to weaken in the near term, due to the increased debt load and heavy restructuring and synergy realization costs. Credit metric recovery will depend on successful integration of Dowlais and significant restructuring cost roll-offs. The negative outlook reflects potential integration risks and significant near-term free operating cash flow (FOCF) degradation. Pro forma for the close of the transaction, we expect adjusted leverage to increase to around 4.5x for fiscal 2025. This reflects the roughly $2.3 billion increase in gross debt. The combined company expects to achieve annual run-rate cost synergies of $300 million substantially by the end of the third year following closing and will cost $300 million over time to achieve. Additionally, the company will continue incurring significant ongoing restructuring costs. These costs are front-loaded and will substantially burden the company's margins and lead to substantially weaker FOCF in the near term. S&P said, "We forecast a sales decline of 1.6% in 2026 due to production volume softness across North America and Europe. We expect sales to marginally decline in 2027 due to regular pricing stepdowns partially offset by an improvement in global light vehicle production. Due to the heavy restructuring burden and lower sales volumes, we forecast EBITDA margins of 10.4% in 2026 before recovering to 11.9% in 2027. Margin recovery in 2027 will primarily be driven by restructuring cost roll-off and synergy realization. We forecast lower earnings in 2026 will result in leverage increasing to 4.8x and FOCF declining to 0.5%. Improved earnings will lower leverage to 4.1x and increase FOCF to debt to 4% in 2027. "Although the company's FOCF to debt will be below our 5% downside trigger for two years, we expect FOCF to debt to approach 5% in 2027 and get above 5% by 2028. We expect adjusted leverage to remain under 5x throughout our forecast horizon. However, given the large magnitude of the acquisition, we believe there could be integration and execution risks that could result in restructuring cost overruns and lower synergy realization. Therefore, the negative outlook captures the risk that FOCF to debt remains below our downside trigger for longer and leverage could exceed 5x." The combination will enhance American Axle's scale, diversification, and product portfolio, somewhat mitigating the risk of weak near-term credit metrics. The acquisition will dramatically increase American Axle's scale as a global tier 1 supplier (with pro forma sales of about $11.2 billion for the last 12 months ended June 30, 2025 up from $6.1 billion in 2024 for legacy American Axle) by providing it with capabilities across Dowlais' sideshaft and powdered metals businesses and complementing existing axle systems and metal forming businesses. In particular, Dowlais' sideshaft and powdered metals products are powertrain agnostic, which helps moderate some of American Axle's electrification transition risk. Dowlais also diversifies American Axle's customer base by reducing exposure to GM (dropping to 27% from 42%) and increasing exposure to VW, Toyota, and Renault-Nissan. The combination also expands participation in light passenger vehicles and adds industrial end-markets. The combined company will also be more geographically diverse, generating 57% of pro forma revenue in North America, 23% in EMEA, 18% in APAC, and 1% in South America. These changes improves S&P's view of the company's business profile as larger and more diverse companies tend to perform better through volatile economic cycles. The greater scale also should improve the company's bargaining power with customers. These benefits partially offset some of the near-term softness in credit metrics as it works through the transaction integration. S&P said, "Despite some of these business profile enhancements we note some risks to longer-term growth, particularly in the highly competitive European passenger vehicle and Chinese markets. Rising costs and lower volumes in Europe have put pressure on suppliers operating in Europe. To address this, Dowlais is incurring significant restructuring costs to reduce its European capacity and remain cost competitive. In China, growing domestic Chinese original equipment manufacturers (OEMs) have displaced global OEM market share. Dowlais is currently under-indexed to Chinese domestic OEMs (42% domestic, 58% global as of 2024), though we believe its domestic mix will improve over time through new bookings. Dowlais also de-risks its exposure to China by operating through a joint venture. "We believe the company's financial policy will be supportive of restoring credit metrics to historical levels. Despite credit metrics weakening in the years following the transaction and potential downside risks to our forecast, we believe the company will remain committed to reducing leverage toward 4x or lower and FOCF to debt above 5% over the longer term on an S&P adjusted basis. We believe the company will continue prioritizing organic reinvestment followed by debt repayment and shareholder returns. Debt repayment could accelerate credit metric improvement, which the company did following its Metaldyne acquisition in 2017. The company's capital structure has an ample amount of prepayable term loan debt and callable notes, but we haven't yet baked debt prepayment into our forecast. "Our negative outlook on American Axle reflects the potential risk that we could downgrade the company over the next 12 months if the company's credit metrics don't improve in line with expectations. This would include leverage remaining below 5x in 2026 and FOCF to debt approaching 5% by 2027." S&P could lower its rating on American Axle if it believes it won't be able to generate FOCF to debt of at least 5% on a sustained basis or if leverage remains at or above 5x. This could happen because of: -- Acquisition integration problems that result in cost overruns and materially lower synergy realization; or -- Subpar launch execution, lower-than-expected margins on the company's new and replacement programs, or an unexpected decline in vehicle sales due to lower OEM production or weaker demand. S&P could revise its outlook on American Axle back to stable if S&P expects it to improve FOCF to debt to above 5% on a sustained basis and maintains leverage well below 5x. This could happen if: -- The company successfully executes on the Dowlais integration such that synergy and restructuring costs substantially roll-off while also realizing substantial expected synergies; and -- Light vehicle production outperforms expectations and the company maintains strong operational execution. AMERIGLASS CONTRACTOR: Gets Final OK to Use Cash Collateral ----------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Florida, Fort Lauderdale Division granted Ameriglass Contractor Corp. final approval to use cash collateral to fund operations. The U.S. Small Business Administration and SouthState Bank have a blanket lien on all the Debtor's assets arising from their loans to the Debtor. Two other creditors -- Funding Metrics and M&D Capital NY, LLC -- may also assert a blanket lien on all the Debtor's assets resulting from the sale of accounts receivable. The Debtor believes that SBA as the first lienholder is protected by the filing of its Chapter 11 case as the filing prevented the creditors with inferior positions from withdrawing funds from the Debtor by electronic transfer (ACH). About Ameriglass Contractor Corp Ameriglass Contractor Corp. specializes in residential and commercial glass repair and replacement services in the Fort Lauderdale, Florida area. It offers a range of services, including window and sliding door repairs, storefront glass repairs, and high-impact window installations. The company operates 24/7, providing emergency glass repair services. Ameriglass Contractor Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-12349) on March 4, 2025. In its petition, the Debtor reported total assets of $423,551 and total liabilities of $1,389,948. Judge Scott M. Grossman handles the case. The Debtor is represented by Susan D. Lasky, Esq. ANCHOR PACKAGING: S&P Places 'B' ICR on CreditWatch Positive ------------------------------------------------------------ S&P Global Ratings placed all of its ratings on Anchor Packaging LLC, including the 'B' issuer credit rating, on CreditWatch with positive implications. S&P expects to resolve the CreditWatch placement when the proposed acquisition closes, subject to regulatory approvals and other customary closing conditions. On Sept. 8, 2025, Anchor announced that it entered a definitive agreement to be acquired by Georgia-Pacific LLC. The CreditWatch placement follows Anchor's announced acquisition by Koch-owned Georgia-Pacific. Anchor is a leading manufacturer of rigid containers and all-service cling wrap for the food service industry in North America and has been owned by TJC (formerly known as The Jordan Co.), since 2019. The companies expect the transaction will close later this year. Financial details of the agreement have not been disclosed. The CreditWatch placement with positive implications reflects S&P's view that it will likely raise the issuer credit rating on Anchor to 'A+', the same as Georgia-Pacific, when the proposed transaction closes. APPLIED DNA: Intracoastal Capital, 2 Others Hold 9.99% Stake ------------------------------------------------------------ Intracoastal Capital LLC, Mitchell P. Kopin, and Daniel B. Asher, disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of July 8, 2025, they beneficially own 143,336 shares of Applied DNA Sciences, Inc.'s common stock, par value $0.001 per share, representing 9.99% of the outstanding class. The reported securities consist of shares issuable upon the exercise of a warrant held by Intracoastal Capital LLC. The filing notes that additional shares are excluded due to blocker provisions that prevent ownership from exceeding 9.99% (and 4.99% for another warrant). Intracoastal Capital LLC may be reached through: Mitchell P. Kopin 245 Palm Trail Delray Beach, Fla. 33483 Tel: 847-562-9030 Daniel B. Asher may be reached through: Daniel B. Asher 1011 Lake Street, Suite 311 Oak Park, Ill. 60301 A full-text copy of Intracoastal Capital LLC's https://tinyurl.com/bdcr7zfm About Applied DNA Sciences Applied DNA Sciences -- adnas.com -- is a biotechnology company developing technologies to produce and detect deoxyribonucleic acid ("DNA"). Using the polymerase chain reaction ("PCR") to enable both the production and detection of DNA, the Company currently operates in three primary business markets: (i) the enzymatic manufacture of synthetic DNA for use in the production of nucleic acid-based therapeutics and the development and sale of a proprietary RNA polymerase ("RNAP") for use in the production of mRNA therapeutics; (ii) the detection of DNA and RNA in molecular diagnostics and genetic testing services; and (iii) the manufacture and detection of DNA for industrial supply chain security services. Melville, NY-based Marcum LLP, the Company's auditor since 2014, issued a "going concern" qualification in its report dated Dec. 17, 2024, citing that the Company has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of December 31, 2024, Applied DNA Sciences had $16 million in total assets, $3.4 million in total liabilities, and $12.5 in total equity. APPLIED MINERALS: Claims to be Paid from Plan Funding Transaction ----------------------------------------------------------------- Applied Minerals, Inc., and senior secured and super-priority creditor Halloysite Investment, LLC filed with the U.S. Bankruptcy Court for the District of Utah a Disclosure Statement with respect to Joint Plan of Reorganization. The Debtor currently operates the "Dragon Mine" property covering 267 acres located in Juab County, Utah and owns halloysite clay mineral rights in connection therewith. The Debtor is a mining and exploration company currently incorporated in the State of Delaware. Halloysite was formed on or about November 6, 2024, shortly before this Bankruptcy Case was filed, by Geoffrey G. Scott. Scott served as a director of the Debtor since approximately March 2019, and was appointed chairman of the board in August 2022 until he resigned on November 11, 2024, immediately before the Debtor filed its voluntary petition to commence this Case. The Debtor and Halloysite propose to reorganize the Debtor's business and financial affairs pursuant to the terms of the Plan. During the pendency of the Bankruptcy Case, the Debtor has received an infusion of new cash from Halloysite as a secured loan of up to $600,000. If the Plan is confirmed, Halloysite (a) will convert its secured claim to equity in the Reorganized Debtor, (b) will advance to the Debtor as additional capital any portion of the $600,000 loan that has not already been advanced, (c) will fund up to an additional $2,750,000 in cash to the Debtor to fund distributions to creditors and to provide working capital, and (d) on or about the three year anniversary of the Plan's effective date, will pay $8 per share to Class 2 Creditors that elected to receive New Equity in the Reorganized Debtor and subsequently elect to exercise a put option. In short, the Plan Funding Transaction combined with the Class 2 Put Option contemplates that Halloysite will fund cash in the amount of $3,350,000 to the Debtor and/or to pay the Debtor's creditors, purely in exchange for New Stock in the Reorganized Debtor. The cash funded by Halloysite will be used by the Reorganized Debtor (i) to distribute at least $1.5 million pro rata to the holders of Allowed Class 2 Claims (i.e., the Class 2 Claim Fund), (ii) to pay up to $70,000 (i.e., the Convenience Claims Fund) in pro rata distribution to the holders of nonpriority unsecured claims in the Convenience Class, (iii) to pay the Reorganized Debtor's Allowed Administrative Expenses including Professional Fees and quarterly fees due pursuant to Section 1930 (whether incurred or due before or after the Effective Date), (iv) to pay Allowed Priority Claims (including both Unclassified Priority Claims and Class 1 Claims), and (v) to fund the Debtor's ongoing operations, including required equipment expenditures. Additionally, the Plan proposes that all holders of Allowed General Unsecured Claims not classified as "Convenience Claims" shall be able to elect to receive either (1) (a) a pro rata distribution of 75,000 shares of "New Stock" in the Debtor (roughly equal to 20% of the New Equity in the Reorganized Debtor), divided among the holders of Allowed General Unsecured Claims that elect to receive New Stock in proportion to the amount of their Claims, and (b) a Class 2 Put Option requiring Halloysite to purchase the "New Stock" for eight dollars per share (up to $600,000 in the aggregate), (c) a Pro Rata Stock Purchase Right; or (2) a pro rata distribution of $600,000 within 60 days of the effective date divided among the holders of Allowed General Unsecured Claims. In exchange for funding the Plan Funding Transaction, and in full satisfaction of the DIP Credit Agreement, the Plan provides that Halloysite will receive 300,000 shares of New Stock in the Reorganized Debtor (equal to 80% of the New Equity in the Reorganized Debtor). Class 2 consists of General Unsecured Claims (Excluding Convenience Claims). Except to the extent that the holder of an Allowed Class 2 Claim makes a Convenience Class Election, each holder of an Allowed Class 2 Claim shall receive, in full satisfaction of its claim, a combination of cash and New Stock. Absent a timely and proper Convenience Class Election, the Claim of each holder of an Allowed nonpriority unsecured claim whose claim exceeds $150,000 is classified and treated under Class 2. In contrast, absent a timely and proper Class 2 Treatment Election, the Claim of each holder of an Allowed nonpriority unsecured claim whose claim is $150,000 or less is classified and treated as Convenience Class Claim under Class 10. Allowed nonpriority Claims in Class 2 will receive: * $1.5 Million Cash – an immediate cash distribution consisting of a pro rata share of $1,500,000 distributed from the Class 2 Claim Fund within 60 days after the Effective Date of the Plan; * Class 2 Supplemental Distribution: 20% of the Equity in the Reorganized Debtor or up to an additional $600,000. Allowed Class 2 Claim holders may elect as part of the Class 2 Supplemental Distribution Option one of the below options. For the avoidance of doubt, the total amount to be set aside for the Class 2 Supplemental Distribution Option will be $600,000. -- 20% of the Equity in the Reorganized Debtor – Each holder of an Allowed Class 2 Claim shall be entitled to select its pro rata share of 75,000 shares of New Stock pursuant to the Class 2 Stock Distribution, which includes ownership in the Reorganized Debtor with voting rights and a right to receive future profits distributions, which would give Class 2 Creditors in the aggregate 20% of the equity ownership of the Reorganized Debtor if all Class 2 members select to receive equity; or -- Up to $600,000 Additional Cash. Each holder of an Allowed Class 2 Claim may opt to receive its pro rata share of up to $600,000, in lieu of the right to receive any New Stock, to be paid within 60 days of the Effective Date; and * If the Allowed Class 2 Claim holder elects to receive equity, the Allowed Class 2 Claim holder will have a put option to sell the New Stock issued under the Plan to Halloysite for $8 per share, or $600,000 in the aggregate, at the three-year anniversary of the Effective Date; Holders of Allowed Class 2 Claims that elect to receive New Stock shall receive a warrant to purchase additional shares of New Stock in an amount up to (but not greater) than the number of shares of New Stock distributed to such holder as part of the Class 2 Stock Distribution at a price of ten dollars ($10.00) per share exercisable up to the three-year anniversary of the Effective Date. On the Effective Date, Existing Equity Interests shall be canceled, terminated, released, discharged, and extinguished, and shall be of no further force or effect. Holders of Existing Equity Interests will neither retain their stock, nor receive any recovery or distribution on account of such Existing Equity Interests. Class 10 consists of Convenience Claims. On or before sixty days after the Effective Date and in full satisfaction of each such Claim, the holders of Allowed Class 10 Claims shall receive a pro rata share of the Convenience Claims Fund (which fund totals $70,000), divided among the holders of all Allowed Class 10 Claims. Each holder of an Allowed Class 10 Convenience Claim may make a Class 2 Treatment Election, excepting any holder of a Class 10 Claim that became a Convenience Claim by making a Convenience Class Election. If the holder of an Allowed Class 10 Claim timely makes a Class 2 Treatment Election, then the Claim (a) shall be a Class 2 Claim, (b) shall be treated as specified in section 4.2 of the Plan, and (c) shall not receive treatment as a Class 10 Claim. Except as otherwise provided in the Plan, the Reorganized Debtor, as of the Effective Date, shall be vested with all of the assets of the Estate. All assets of Applied Minerals, Inc. shall be transferred to the Reorganized Debtor free and clear of any and all claims and interests pursuant to authority of Sections 363(f) and 1123(a)(5)(D) of the Bankruptcy Code, but subject to any and all Allowed Secured Claims expressly delineated and Allowed under the Plan. A full-text copy of the Disclosure Statement dated September 9, 2025 is available at https://urlcurt.com/u?l=1Jw6Q9 from PacerMonitor.com at no charge. The Debtor's Counsel: Matthew M. Boley, Esq. COHNE KINGHORN, P.C. 111 E. Broadway, 11th Floor Salt Lake City, UT 84111 Tel: 801-363-4300 E-mail: mboley@cohnekinghorn.com About Applied Minerals Applied Minerals, Inc., is a minerals exploration and mining company. Applied Minerals, Inc., in Eureka, UT, sought relief under Chapter 11 of the Bankruptcy Code filed its voluntary petition for Chapter 11 protection (Bankr. D. Utah Case No. 24-25849) on Nov. 11, 2024, listing $1 million to $10 million in assets and $50 million to $100 million in liabilities. Christopher T. Carney as president and chief executive officer, signed the petition. Judge Joel T Marker oversees the case. COHNE KINGHORN, P.C., serves as the Debtor's legal counsel. APPLIED POWDERCOAT: Inks Deal to Access FBOL's Cash Collateral -------------------------------------------------------------- Applied Powdercoat, LLC and First Bank of the Lake advise the U.S. Bankruptcy Court for the Central District of California, Northern Division, that they have reached an agreement regarding the Debtor's use of cash collateral through September 2025 and now desire to memorialize the terms of this agreement into an agreed order. This stipulation, filed with the Bankruptcy Court, follows a prior agreement approved on August 15, which authorized the Debtor’s use of cash collateral through August 31. The Debtor originally filed for bankruptcy on June 6. In August, the Debtor obtained a $1.281 million loan from FBOL, secured by a U.S. Small Business Administration Note and further backed by a security agreement that granted FBOL a security interest in the Debtor's deposit accounts. The lien was perfected via a UCC-1 financing statement filed with the California Secretary of State. As the Debtor continues its reorganization efforts, it requires access to FBOL's cash collateral to fund necessary operating expenses. FBOL has consented to this continued use of cash collateral, subject to the terms of the newly filed stipulation. This new stipulation integrates and affirms the terms of the prior agreement, including the grant of post-petition replacement liens, and applies them to a newly submitted September operating budget. According to this budget, the Debtor anticipates weekly collections of $30,000 to $35,000 and projects operating costs ranging from $21,500 to $47,500 per week, including payroll, raw materials, utilities, rent, and insurance. The stipulation allows the Debtor to use the cash collateral through September 30, unless earlier terminated by either an event of default or court order. A copy of the stipulation is available at https://is.gd/5uiHtq from PacerMonitor.com. About Applied Powdercoat LLC Applied Powdercoat, LLC is an Oxnard-based manufacturing firm specializing in powder coating, sandblasting, and silk screening services. Founded in 1989 and operating from a state-of-the-art 30,000 sq. ft. facility at 3101 Camino del Sol, the Company serves industrial, aerospace, defense, custom fabrication, automotive restoration, and commercial clients throughout Southern California. Applied Powdercoat sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-10762) on June 6, 2025. In its petition, the Debtor reported between $1 million and $10 million in assets and liabilities. Judge Ronald A. Clifford III handles the case. The Debtor is represented by Derrick Talerico, Esq., at Weintraub Zolkin Talerico & Selth, LLP. AQUA METALS: Regains Nasdaq Bid Compliance After Reverse Split -------------------------------------------------------------- As previously disclosed, on July 2, 2025, Aqua Metals, Inc. received a letter from the Nasdaq Stock Market, LLC notifying the Company that it had fallen below compliance with respect to the continued listing standard set forth in Rule 5550(a)(2) of the Nasdaq Listing Rules because the closing bid price of the Company's common stock over the previous 30 consecutive trading-day period had fallen below $1.00 per share. The Letter stated that due to the fact that the Company has effected a reverse stock split over the prior one-year period, the Company was not eligible for any grace period under the Nasdaq Listing Rules in order to regain compliance with the minimum bid requirement and, consequently, the Company's securities would be delisted from the Nasdaq Capital Market unless the Company requests an appeal with the Nasdaq Hearing Panel. Following the Company's one-for-ten reverse stock split effected on August 4, 2025 and the hearing of the Company's appeal to the Nasdaq Hearing Panel on August 19, 2025, the Company received a letter from the Nasdaq dated September 4, 2025 confirming the Company had regained compliance with minimum bid requirement in Listing Rule 5550(a)(2). The Company will be subject to a mandatory panel monitor for a period of one year ending September 4, 2026. If, within that one-year monitoring period, the Nasdaq staff finds the Company again out of compliance with the minimum bid requirement, the Company will not be eligible for any compliance grace period under the Nasdaq Listing Rules in order to regain compliance with Listing Rule 5550(a)(2), and, consequently, the Company would be subject to a delist determination from the Nasdaq Capital Market unless the Company requests an appeal with the Nasdaq Hearing Panel. Aqua Metals Headquartered in Reno, Nevada, Aqua Metals, Inc. develops recycling solutions for lead and lithium-ion batteries using a proprietary water-based technology called AquaRefining. The Company's electrochemical process enables low-emissions, closed-loop recovery of high-purity metals without the use of furnaces or hazardous chemicals. It operates modular systems known as "Aqualyzers" to support sustainable energy storage applications. In an audit report dated March 31, 2025, Forvis Mazars, LLP issued a "going concern" qualification citing that the Company has incurred substantial operating losses and negative cash flows from operations since inception that raise substantial doubt about its ability to continue as a going concern. As of June 30, 2025, the Company had $9.24 million in total assets, $4.13 million in total liabilities, and $5.12 million in total stockholders' equity. ARCH THERAPEUTICS: Claims to be Paid from Property Sale Proceeds ---------------------------------------------------------------- Arch Therapeutics, Inc. and Arch Biosurgery, Inc. filed with the U.S. Bankruptcy Court for the District of Massachusetts a Second Amended Disclosure Statement for the Second Amended Plan of Liquidation dated September 9, 2025. Arch is a Nevada corporation, and doing business in Framingham, MA. Arch's predecessor, Almah, Inc., was incorporated under the laws of the State of Nevada on September 16, 2009. Arch's corporate structure is comprised of itself and Biosurgery as a wholly-owned subsidiary. Biosurgery is a Massachusetts corporation. Biosurgery was incorporated on March 6, 2006 as Clear Nano Solutions, Inc., and changed its name to Arch Therapeutics, Inc. on April 7, 2008, which was later changed to Biosurgery as part of the 2013 Merger. Since inception, the Debtors have devoted their resources primarily to research and development, intellectual property development and defense, commercialization, and support of obligations related to being a publicly traded company. The Debtors did not generate sufficient revenue to meet operating expenses prior to the bankruptcy filing. The Debtors' business plan contemplated infusion of additional investment capital to support a commercial launch and presence for the Products in the United States and Europe in order to generate revenues and realize the full economic value. On May 15, 2025, the Debtors filed the Sale Motion. The aggregate consideration under the Sale Agreement is (i) the assumption of certain assumed liabilities, (ii) a credit bid pursuant to section 363(k) of the Bankruptcy Code in the aggregate amount of $900,000 consisting of the capped DIP Loan outstanding as of the closing date, and (iii) $3,100,000 cash payment (including the carve-out of $500,000 under the DIP Financing Order payable to the Lender Agent). The hearing on the sale and bid procedures portion of the Sale Motion was held on May 23, 2025 and the Bankruptcy Court entered the Bid Procedures Order on May 27, 2025. The hearing on the Sale Motion was on June 20, 2025, after which the sale was approved. On June 25, 2025, the Bankruptcy Court entered the Order (I) Approving and Authorizing Sale of the Debtors' Assets Free and Clear of Any and All Liens, Claims, Encumbrances, and Other Interests; and (II) Granting Related Relief. The DIP Lender (though Arch Acquisition LLC) as the stalking horse bidder is the purchaser with the successful bid. The sale closing was consummated on or about June 30, 2025. Pursuant to the Sale Agreement, and the Sale Order, the Debtors sold all, or substantially all, their assets for $4,000,000.00, as discussed herein and in the Plan. The Debtors received net sale proceeds of $2,600,000.00, calculated as follows (the "Net Proceeds"). The Debtors' remaining assets are (i) Net Proceeds of $2,600,000.00, and (ii) balance of the DIP Loan and other cash balance of approximately $288,208.00 (as of August 31, 2025). Subject to the September 15, 2025 governmental bar date and the claims objection process, the total scheduled and filed unsecured claims is approximately $9,000,000.00 comprising of: (i) approximately $6,000,000.00 for trade claims and unsecured noteholders, and (ii) approximately $3,000,000.00 for Claims of secured noteholders in Scheduled D listed as disputed. This total does not include any Deficiency Claim to the extent not waived. As set forth in the Plan, it is unlikely that holders of Class 4 (General Unsecured Claims) will receive a dividend or distribution under the Plan based on the Net Proceeds being less than the estimated Allowed Lender Secured Claim amount, and the estimated aggregate amount of Allowed Administrative Expense Claims, and priority claims. The proposed distribution analysis shows a shortfall of over $150,000.00, including estimated Professional Fee Claims after July 15, 2025. The shortfall also includes (i) certain Priority Tax Claim of approximately $22,815.00 filed by the Massachusetts Department of Revenue, payment of which is expected to be less, and (ii) a claim related to the DIP Loan in the amount of $19,897.37 filed by Vivex, which is listed as an Administrative Expense Claim and subject to the claims objection process. Class 4 consists of General Unsecured Claims. Each holder of an Allowed Class 4 Claim shall receive a pro rata share, if any, from excess Cash in the Debtors' Estates, and the Plan Carve-Out after payment in full of all Allowed Administrative Expense Claims, Priority Tax Claims, Other Priority Claims, and holders of Class 1 to Class 3 claims. Notwithstanding the foregoing, the holder of the Class 4 Claim may receive such other less favorable treatment as may be agreed upon by such holder and the Debtors. Class 4 is Impaired under the Plan. No distribution on account of such equity interests in the Debtors. All existing equity interests, regardless of class, shall be deemed cancelled, extinguished, and discharged, and of no further force or effect, after which zero shares shall be outstanding and no holders of record shall remain. The funds needed to make distributions and other payments required by the Plan shall be from (a) the proceeds related to the Sale Transaction, and (b) recoveries from Causes of Action, if any or to the extent not deemed a Purchased Asset under Section 2.2(m) of the Sale Agreement. The Debtors sold the Property to Arch Acquisition LLC, an entity related to the DIP Lender, at a sale hearing in accordance with the terms of the Sale Agreement, the Bid Procedures Order, and the Sale Order (the "Sale Transaction"). The purchase price is $4,000,000.00 which includes $900,000.00 credit bid of the DIP Lender, and certain $500,000.00 carve out from the DIP Financing Order for the benefit of the Lender Secured Claims. The hearing on the sale and bid procedures portion of the Sale Motion was held on May 23, 2025 and the Bankruptcy Court entered the Bid Procedures Order on May 27, 2025. The hearing for approval of the Sale Transaction was on June 20, 2025, with the closing consummated on or about June 30, 2025. A full-text copy of the Second Amended Disclosure Statement dated September 9, 2025 is available at https://urlcurt.com/u?l=zBBa11 from PacerMonitor.com at no charge. Counsel to the Debtor: Alan L. Braunstein, Esq. Riemer & Braunstein LLP 100 Cambridge Street, 22nd Floor Boston, MA 02114 Tel: (617) 880-3516 Fax: (617) 692-3516 Email: abraunstein@riemerlaw.com About Arch Therapeutics Inc. Arch Therapeutics Inc. is a medical technology company operating in the diagnostic laboratory sector (NAICS code 6215). Arch Therapeutics sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case No. 25-40409) on April 18, 2025. In its petition, the Debtor listed assets between $10 million and $50 million and liabilities between $1 million and $10 million. The Debtor is represented by Alan L. Braunstein, Esq. at Riemer & Braunstein, LLC. ARP HOSPITALITY: Wins Bid to Stay NLRB Hearing Until October 16 --------------------------------------------------------------- The Honorable John K. Sherwood of the United States Bankruptcy Court for the District of New Jersey granted ARP Hospitality Group LLC's emergency motion to stay a National Labor Relations Board hearing scheduled on Sept. 16, 2025, for 30 days until Oct. 16, 2025 or the next date thereafter that the Administrative Law Judge can conduct the hearing. The Debtor seeks this stay to provide time for its court-approved accountant and business consultant, Thomas Colitsas, to recover from a severe illness, preserve the status quo, and provide it with a "breathing spell" so that it can engage in settlement talks with the Hotel and Gaming Trades Council, ALF-CIO ("the Union"). The Union and the NLRB object to the Debtor's motion to stay the Hearing, contending that the Hearing is not subject to the automatic stay because the issue to be tried before an ALJ relates to the police and regulatory powers of a federal agency. The Debtor purchased the Fairfield Inn & Suites in Paramus, New Jersey from the Shaner Hotel Group d/b/a The Fairfield Inn & Suites Paramus. Shaner and the Union were parties to a collective bargaining agreement that expired on Nov. 30, 2023. The Debtor began operating the Hotel on Jan. 4, 2024. The Union filed its Unfair Labor Practice Complaint against the Debtor on June 2, 2025, approximately a year and a half after the events giving rise to the claims in NLRB's Complaint occurred. The Debtor's petition for Chapter 11 relief was filed on July 29, 2025. The Debtor claims that it initiated settlement negotiations on Aug. 4, 2025, and provided the Union's counsel with requested financial information. The Court finds that the Hearing is within the Sec. 362(b)(4) exemption to the automatic stay but the Court decides to exercise its Sec. 105(a) powers and enjoin the Hearing. According to the Court, considering the brief time requested, the gravity of the CBA issue to this bankruptcy case, the ongoing settlement efforts, and the high costs of litigation, moving forward with the Hearing on Sept. 16, 2025 would burden the estate and hinder the bankruptcy process. Judge Sherwood concludes, "The treatment of the CBA and the Union's claims in this case seem to be very significant to the Debtor's financial reorganization. The Debtor should have ample time to negotiate a settlement with the Union or, if necessary, develop a litigation strategy. This matter is nothing more than a contested adjournment request. The Debtor is not seeking to tread upon the NLRB's enforcement rights. The Debtor has been in Chapter 11 for just over one month. Its request for a 30-day adjournment is not unreasonable. The parties are urged to meet and confer over factual and legal issues to streamline proceedings before the ALJ and this Court. Generally, the interests of debtors in bankruptcy and their creditors are not served by protracted and expensive legal proceedings." A copy of the Court's decision is available at https://urlcurt.com/u?l=d252nZ from PacerMonitor.com. About ARP Hospitality Group ARP Hospitality Group LLC, doing business as Fairfield by Marriott, operates a midscale hotel offering lodging, breakfast, and business services. The property is located in Paramus, New Jersey, and serves both business and leisure travelers. ARP Hospitality Group LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Case No. 25-17941) on July 29, 2025. In its petition, the Debtor reports total assets of $9,957,890 and total liabilities of $7,960,943. The Debtor tapped Michael S. Kopelman, Esq., at Kopelman & Kopelman, LLP as counsel; Bertram Siegel, Esq., as litigation counsel; and Eday & Associates LLC as accountant. ARTIFICIAL INTELLIGENCE: Stacy Stephens Named RAD-M's Sales SVP --------------------------------------------------------------- Artificial Intelligence Technology Solutions, Inc. (OTCID:AITX) announced that its subsidiary, Robotic Assistance Devices Mobile, Inc. (RAD-M), has appointed Stacy Stephens, former co-founder of Knightscope, Inc. (NASDAQ:KSCP), as Senior Vice President of Sales, effective immediately. In this role, Stephens will lead sales initiatives for RAD-M's portfolio of mobile robotic solutions, including ROAMEO(TM), RADDOG(TM), and the forthcoming humanoid robot HERO(TM). "AITX and its team of visionary leaders strengthened my passion for public safety and reinforced my belief in technology as an invaluable solution to the antiquated physical security model. The mobile solutions offered through RAD-M represent a reliable, clear path forward for organizations seeking smarter and safer ways to protect people and property while delivering meaningful cost savings. I look forward to working with the team at such a pivotal moment to propel the Company's growth and bring innovation to clients ready to embrace the future of security," commented Stephens. The Company anticipates initial deployments of ROAMEO Gen 4 to begin in September. ROAMEO, RAD-M's mobile security patrol vehicle, is designed to perform autonomous patrols that enhance safety, improve situational awareness and reduce reliance on costly manned guarding. These upcoming deployments are expected to mark a major milestone in RAD-M's growth as organizations expand their adoption of advanced mobile solutions that deliver improved performance and significant cost efficiencies. "We are thrilled to welcome Stacy to the AITX leadership team," said Steve Reinharz, CEO/CTO and founder of AITX and RAD-M. "His experience as a co-founder of Knightscope (#KSCP), reputation among peers, and history of bringing new approaches to the security industry will be invaluable as we accelerate the deployment of our mobile robotics portfolio. I am confident that his leadership will help expand the reach of ROAMEO and other mobile solutions as organizations look for smarter ways to improve safety and reduce costs." AITX, through its primary subsidiary, Robotic Assistance Devices, Inc. (RAD), is redefining the nearly $50 billion (US) security and guarding services industry1 through its broad lineup of innovative, AI-driven Solutions-as-a-Service business model. RAD solutions are specifically designed to provide cost savings to businesses of between 35%-80% when compared to the industry's existing and costly manned security guarding and monitoring model. RAD delivers these tremendous cost savings via a suite of stationary and mobile robotic solutions that complement, and at times, directly replace the need for human personnel in environments better suited for machines. All RAD technologies, AI-based analytics and software platforms are developed in-house. The Company's operations and internal controls have been validated through successful completion of its SOC 2 Type 2 audit, reinforcing the Company's credibility with enterprise and government clients who require strict data protection and security compliance. RAD has a prospective sales pipeline of over 35 Fortune 500 companies, many of which demand multi-unit deployments across sites nationwide, along with numerous other client opportunities. RAD expects to continue to attract new business as it converts its existing sales opportunities into deployed clients generating a recurring revenue stream. Each Fortune 500 client also has the potential of making numerous reorders over time. About Artificial Intelligence Technology Headquartered in Ferndale, Mich., Artificial Intelligence Technology Solutions Inc. provides artificial intelligence-based solutions that empower organizations to gain new insight, solve complex challenges, and fuel new business ideas. Through its next-generation robotic product offerings, AITX's RAD, RAD-R, RAD-M, and RAD-G companies help organizations streamline operations, increase ROI, and strengthen business. AITX technology improves the simplicity and economics of patrolling and guard services, allowing experienced personnel to focus on more strategic tasks. Customers augment the capabilities of existing staff and gain higher levels of situational awareness, all at drastically reduced costs. AITX solutions are well-suited for use in multiple industries such as enterprises, government, transportation, critical infrastructure, education, and healthcare. Deer Park, Illinois-based L J Soldinger Associates, LLC, the Company's auditor since 2019, issued a "going concern" qualification in its report dated May 29, 2025, attached to the Company's Annual Report on Form 10-K for the fiscal year ended February 28, 2025, citing that the Company had negative cash flow from operating activities of approximately $12.2 million, an accumulated deficit of approximately $156.5 million and negative working capital of approximately $2.5 million as of and for the year ended February 28, 2025, which raises substantial doubt about its ability to continue as a going concern. As of May 31, 2025, the Company had $9.76 million in total assets, $59.86 million in total liabilities, and $50.51 million in total stockholders' deficit. AZORRA AVIATION: S&P Alters Outlook to Positive, Affirms 'BB-' ICR ------------------------------------------------------------------ On Sept. 15, 2025, S&P Global Ratings revised its outlook on the ratings on Azorra Aviation Holdings ("Azorra") to positive from stable. At the same time, S&P affirmed its 'BB-' long-term issuer credit ratings on the company and issue rating on its unsecured notes, as well as its 'BB' rating on its term loan B. The positive outlook reflects S&P's expectation that Azorra will continue to grow its fleet and unencumber its balance sheet while maintaining EBIT interest coverage comfortably above 1.3x and debt to capital around 75%. S&P said, "Azorra has made good progress toward unencumbering its balance sheet while operating with credit metrics within our expectations. As of June 30, 2025, pro forma for the issuance of $550 million unsecured notes in July 2025, Azorra's secured debt to total assets ratio was about 38%, compared to our prior expectation of 45%-55% over the 12 months following the company's inaugural bond issuance in October 2024." The company has accessed the unsecured debt markets twice over the past 12 months, raising a total of $1.1 billion and using proceeds to pay down secured debt and finance further capital expenditures (capex). In third-quarter 2025, Azorra also repriced its term loan by 75 basis points to SOFR + 2.75%, savings from which it could invest in further fleet growth. S&P said, "We expect the company will continue to make progress toward unencumbering its fleet over the next 12-24 months. For most peers we rate, the ratio of secured debt to total assets is less than 30%. In our view, having fewer encumbered assets aids financial flexibility--lessors with a sizable, unencumbered asset base can use the assets as collateral for secured borrowings if access to unsecured borrowing becomes unavailable." Azorra ended 2024 with EBIT interest coverage of 1.5x, funds from operations (FFO) to debt of 7.1%, and debt to capital of 68%. Over the next 12 months, S&P expects these ratios to remain above 1.3x, in the 6%-9% area, and about 75%, respectively, on a weighted average basis. Azorra has continued to grow through its orderbook as well as secondary market activity, but it remains a small player relative to other aircraft lessors we rate. Azorra owned 124 aircraft, 24 engines, and an airframe as of June 30, 2025, valued at around $2.7 billion. The company also manages an additional five aircraft. Additionally, as of June 30, 2025, Azorra had commitments for 136 aircraft, airframes, and engines, including Embraer E2 E-Jet and Airbus A220 orders, as well as agreed upon acquisitions. In May 2025, the company announced the acquisition of 49 Embraer E-Jet aircraft and two General Electric CF-34 engines from Dubai Aerospace Enterprise Ltd., which it expects to fully close by the end of 2025. In July 2025, the company announced the acquisition of 13 Embraer E190 airframes and 36 General Electric CF34-10E6 engines from JetBlue, with deliveries beginning in the third quarter of 2025 through the second quarter of 2026. S&P said, "We view positively both the growth of the fleet and development of trading relationships with a diverse set of counterparties. In our view, all of this represents solid fleet growth, from 104 aircraft and four engines as of June 30, 2024." While the company has experienced solid growth, it remains smaller in scale relative to higher rated lessors such as Macquarie AirFinance (BBB-/Stable/--) and Aviation Capital Group (BBB-/Stable/A-3). S&P includes as peers other rated small and midsize aircraft lessors such as Griffin Global Asset Management Holdings (BB/Stable/--) and TrueNoord (B+/Stable/--). S&P expects the company to continue to benefit from a favorable macroeconomic backdrop. In recent years, aircraft lessors benefited from constrained supply conditions due to persistent delivery delays from the original equipment manufacturers (OEMs), stemming from challenges including labor strikes and supply chain quality issues. S&P said, "While the OEMs have been ramping up their production levels in 2025, we believe supply constraints are likely to persist for several years, particularly given engine shortages and reliability issues. We expect these factors will continue to keep lease rates and aircraft values high, benefiting Azorra and other lessors' operations over the next few years. These dynamics also make all the more valuable Azorra's orderbook and proven ability to find opportunistic transactions, in our view. "We expect Azorra's fleet yields to remain somewhat higher than peers given the focus on crossover and regional aircraft and lower share of new technology assets. We believe Azorra will continue to see strong lease rates, with lease yields (lease revenues/average fleet) in the 10%-12% area through 2026 (12% in 2024), supported by favorable demand dynamics and its differentiated fleet mix. Regional and crossover aircraft (which account for 80% of Azorra's fleet) form a narrower segment of global aircraft leasing, and its customer base is smaller than those of large jet aircraft lessors. However, it is also a somewhat less competitive market, which supports the higher lease yields. These aircraft types also have potential advantages such as the ability to open new flight paths (facilitating growth for OEMs and airlines in newer markets), as well as often, steady asset values through economic downturns, although the smaller customer base could also hurt liquidity in periods of weakness. We believe Azorra has a competitive advantage within this niche, given its track record thus far in managing complex transactions. "Azorra's fleet had a weighted average age of 5.5 years and a weighted average lease term of 6.3 years as of June 30, 2025. 95% of the owned fleet is placed, as well as 87% of committed assets. Customers are well diversified, with no airline comprising more than 9% of the fleet value. We view these fleet characteristics as in line with peer averages. "The positive outlook reflects our expectation that Azorra will continue to make progress toward unencumbering its balance sheet while growing its fleet. We also expect the company to maintain EBIT interest coverage comfortably above 1.3x and debt to capital around 70%-75% through 2026. "We could revise the outlook to stable if EBIT interest coverage approaches 1.3x or debt to capital rises materially above 75%, which may occur if demand weakens or profitability deteriorates, or if the company's financial policy becomes more aggressive. We could also revise the outlook to stable if progress toward unencumbering its balance sheet stalls. "We could raise the rating if Azorra makes progress toward unencumbering its balance sheet while continuing to grow its fleet and maintains EBIT interest coverage comfortably above 1.3x and debt to capital around or below 75%." BANNERS OF ABINGDON: Seeks DIP Loan, Cash Collateral Access ----------------------------------------------------------- Banners of Abingdon, LLC and affiliates ask the U.S. Bankruptcy Court for the District of Columbia for authority to use cash collateral and obtain post-petition financing to get through bankruptcy. The Debtors need funds to continue operations, especially as they prepare their Hallmark-licensed retail stores for the critical holiday sales season. The Debtors argue that they must quickly acquire new inventory from Hallmark and other vendors, pay post-petition rent and utilities, and compensate staff. Since inventory purchases require upfront payments and existing cash is encumbered by liens, the Debtors request the ability to borrow from third-party or existing creditors on terms that may include "priming" liens -- liens that take priority over existing ones. They also propose "rolling up" pre-petition debt into the new post-petition loans but only when the lender is the same party. The Debtors assert that such DIP financing is essential and that they are currently negotiating with potential lenders. While no final DIP term sheets are yet filed, they commit to presenting them for court approval before use. They do not seek unlimited borrowing power but instead request approval of specific, court-vetted terms. The Debtors emphasize that pre-petition creditors will not be harmed because the DIP loans will fund new inventory that will be sold at a profit and the proceeds will maintain or increase estate value. Meanwhile, the Debtors propose to use cash collateral in accordance with a 13-week rolling budget, not exceeding 10% variance every two weeks (unless increased revenues justify greater expenses). Creditors whose cash collateral is used would receive rolling replacement liens, subordinate to any DIP liens but still sufficient to maintain adequate protection of their secured interests. A copy of the motion is available at https://urlcurt.com/u?l=9tv85S from PacerMonitor.com. About Banners of Abingdon, LLC Banners of Abingdon, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.C. Case No. 25-00378-ELG) on September 14, 2025. In the petition signed by Michael Postal, authorized agent, the Debtor disclosed up to $50 million in assets and liabilities. Judge Elizabeth L. Gunn oversees the case. Maurice Verstandig, Esq., at The Belmont Firm, represents the Debtor as legal counsel. BESTWALL LLC: Claimants Tell 4th Circ. Panel's Ch. 11 Ruling Risky ------------------------------------------------------------------ Emlym Cameron of Law360 reports that asbestos claimants have asked the entire Fourth Circuit to rehear a panel's ruling that kept Georgia-Pacific's asbestos affiliate Bestwall in Chapter 11, contending the decision defies U.S. Supreme Court guidance and invites manipulation of the bankruptcy system. About Bestwall LLC Bestwall LLC -- http://www.Bestwall.com/-- was created in an internal corporate restructuring and now holds asbestos liabilities. Bestwall's asbestos liabilities relate primarily to joint systems products manufactured by Bestwall Gypsum Company, a company acquired by Georgia-Pacific in 1965. The former Bestwall Gypsum entity manufactured joint compounds containing small amounts of chrysotile asbestos; the manufacture of these asbestos-containing products ceased in 1977. Bestwall's non-debtor subsidiary, GP Industrial Plasters LLC ("PlasterCo"), develops, manufactures, sells and distributes gypsum plaster products, including gypsum floor underlayment, industrial plaster, metal casting plaster, industrial tooling plaster, dental plaster, medical plaster, arts and crafts plaster, pottery plaster and general purpose plaster. On Nov. 2, 2017, Bestwall sought Chapter 11 protection (Bankr. W.D.N.C. Case No. 17-31795) in an effort to equitably and permanently resolve all its current and future asbestos claims. The Debtor estimated assets and debt of $500 million to $1 billion. It has no funded indebtedness. The Hon. Laura T. Beyer is the case judge. The Debtor tapped Jones Day as bankruptcy counsel; Robinson, Bradshaw & Hinson, P.A., as local counsel; Schachter Harris, LLP as special litigation counsel for medicine science issues; King & Spalding as special counsel for asbestos matters; and Bates White, LLC, as asbestos consultants. Donlin Recano LLC is the claims and noticing agent. On Nov. 8, 2017, the U.S. bankruptcy administrator appointed an official committee of asbestos claimants in the Debtor's case. The committee retained Montgomery McCracken Walker & Rhoads, LLP as legal counsel; and Hamilton Stephens Steele + Martin, PLLC and JD Thompson Law as local counsel. On Feb. 22, 2018, the court approved the appointment of Sander L. Esserman as the future claimants' representative in the Debtor's case. Mr. Esserman tapped Young Conaway Stargatt & Taylor, LLP, as legal counsel; Hull & Chandler, P.A., as local counsel; Ankura Consulting Group, LLC, as claims evaluation consultant; and FTI Consulting, Inc., as financial advisor. BLOCKFI INC: Court Pegs Tubergen Claim at $0 -------------------------------------------- The Honorable Michael B. Kaplan of the United States Bankruptcy Court for the District of New Jersey granted BlockFi Inc.'s motion for entry of an order adjudicating the merits of claimant John W. Van Tubergen, Jr.'s Claim No. 7233 related to purportedly missing ETH and fixing the value of that Claim at $0, or, in the alternative, estimating the claim at $0 for all purposes. BlockFi Inc. and its affiliated debtors commenced these Chapter 11 cases on Nov. 28, 2022. The Bankruptcy Court entered its Confirmation Order approving the Debtors' Third Amended Joint Chapter 11 Plan of Reorganization. The Plan became effective on Oct. 24, 2023, and a Plan Administrator was thereafter vested with authority to administer remaining estate assets and reconcile disputed claims. Among the claims filed in this case was Proof of Claim No. 7233, submitted by Mr. Van Tubergen. That claim asserted, among other things, that 895 ETH was "missing" from Loan No. 1a118e43 (the "LSA" or "e43 LSA"), which he argued BlockFi was obligated to reinstate as part of a purported "collateral reinstatement" agreement. BlockFi filed its Seventh Omnibus Claim Objection seeking -- in relevant part -- to modify Mr. Van Tubergen's Claim to reflect BlockFi's books and records. Mr. Van Tubergen asserts, inter alia, that the Original Claim Objection with respect to the claim was procedurally and substantively deficient, and requesting that his claim be fixed in the amount of $10 million. On Jan. 16, 2024, the Bankruptcy Court held an evidentiary hearing on Mr. Van Tubergen's Claim. Following the hearing, in February 2024, the Court sustained the Wind-Down Debtors' Seventh Omnibus Objection to the claim, finding that Mr. Van Tubergen had failed to establish that he ever had deposited or transferred the disputed ETH and crediting the Wind-Down Debtors' evidence that the higher collateral figure in the LSA was the result of a scrivener's error. The Court accordingly disallowed the claim except for the nominal amount of $19.07. Mr. Van Tubergen appealed. On April 14, 2025, the District Court affirmed the Court's rulings in substantial part but remanded for further findings on the narrow issue of the "missing ETH" claim. Specifically, the District Court directed the Bankruptcy Court to address which party bore responsibility for providing the collateral under the e43 LSA and clarify the amount of collateral that was required to be posted. In all other respects, the District Court affirmed the disallowance of Mr. Van Tubergen's claim. The Wind-Down Debtors now request that the Bankruptcy Court, consistent with the remand directive, adjudicate the missing ETH claim at zero or, alternatively, estimate it at zero pursuant to section 502(c) of the Bankruptcy Code and the terms of the confirmed Plan. The Wind-Down Debtors contend that the missing ETH claim is without merit. They emphasize that the plain text of the e43 LSA requires the borrower, not the lender, to provide collateral. Mr. Van Tubergen contends that he is entitled to approximately 895 ETH, because BlockFi allegedly agreed in a June 29, 2021, email to purchase collateral on his behalf and because the e43 LSA lists total collateral of 4,230 ETH. Mr. Van Tubergen further submits BlockFi's failure to reinstate the missing ETH caused cascading harm, including additional liquidations and margin calls that might have been avoided had the full collateral been in place. His submissions describe BlockFi's conduct as predatory and unjust, asserting that he should not be held to strict compliance with the LSA while BlockFi is excused from honoring its terms According to the Bankruptcy Court, nothing in the agreement suggests that BlockFi, as lender, was obligated to supply cryptocurrency collateral for the benefit of the borrower, and Mr. Van Tubergen's position that BlockFi was required to post collateral is not supported by the operative contract. Accordingly, regardless of the collateral amount referenced in the e43 LSA, the obligation to post sufficient collateral rested at all times entirely with Mr. Van Tubergen. Inasmuch as it is undisputed that he failed to satisfy that obligation, the Bankruptcy Court need not consider any further argument to conclude that the missing ETH claim is unsupportable, and Mr. Van Tubergen is not to recover additional sums. The documentary record belies Mr. Van Tubergen's assertion that 895 ETH was ever missing, as it demonstrates that the collateral pledged was precisely that which the parties agreed would back the loan, and given the circumstances, the Bankruptcy Court is inclined to believe BlockFi's explanation that the discrepancy is due to a scrivener's error, and not the true intent of the parties. Thus, the Court finds that the LSA's facial inconsistency evidences a drafting error that misstates the actual bargain of the parties. To hold otherwise would elevate form over substance and disregard the clear contemporaneous understanding of the parties. Judge Kaplan holds, "Here, the LSA does not obligate BlockFi to provide collateral. The higher collateral figure was a drafting mistake, confirmed by parol evidence. The claim for missing ETH therefore fails. To the extent there remains any uncertainty, estimation at zero under section 502(c) is appropriate to prevent undue delay in the administration of the estate and to provide finality under the confirmed Plan. For the foregoing reasons, the Court grants the Motion. Claim No. 7233 is adjudicated at zero, or alternatively, estimated at zero for all purposes under the Plan. Mr. Van Tubergen is not entitled to any recovery on account of the missing ETH claim." A copy of the Court's decision dated September 11, 2025, is available at https://urlcurt.com/u?l=TamVxA from PacerMonitor.com. About BlockFi Inc. BlockFi was founded in 2017 by Zac Prince and Flori Marquez and in its early days had backing from influential Wall Street investors like Mike Novogratz and, later on, Valar Ventures, a Peter Thiel-backed venture fund as well as Winklevoss Capital, among others. BlockFi was building a bridge between digital assets and traditional financial and wealth management products to advance the overall digital asset ecosystem for individual and institutional investors. It made waves in 2019 when it began providing interest-bearing accounts with returns paid in Bitcoin and Ether, with its program attracting millions of dollars in deposits right away. BlockFi grew during the pandemic years and had offices in New York, New Jersey, Singapore, Poland and Argentina. BlockFi worked with FTX US after it took an $80 million hit from the bad debt of crypto hedge fund Three Arrows Capital, which imploded after the TerraUSD stablecoin wipeout in May 2022. BlockFi had significant exposure to the companies founded by former FTX Chief Executive Officer Sam Bankman-Fried. BlockFi received a $400 million credit line from FTX US in an agreement that also gave FTX the option to acquire BlockFi through a bailout orchestrated by Bankman-Fried over the summer. BlockFi also had collateralized loans to Alameda Research, the trading firm co-founded by Bankman-Fried. BlockFi Inc. and eight affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Lead Case No. 22-19361) on Nov. 28, 2022. In the petitions signed by their chief executive officer, Zachary Prince, the Debtors reported $1 billion to $10 billion in both assets and liabilities. Judge Michael B. Kaplan was assigned to the cases. The Debtors tapped Kirkland & Ellis and Haynes and Boone, LLP, as general bankruptcy counsels; Walkers (Bermuda) Limited as special Bermuda counsel; Cole Schotz, P.C., as local counsel; Berkeley Research Group, LLC as financial advisor; Moelis & Company as investment banker; and Street Advisory Group, LLC, as strategic and communications advisor. Kroll Restructuring Administration, LLC, is the notice and claims agent. In October 2023, BlockFi announced that its bankruptcy plan became is effective, and the company emerged from bankruptcy. BOY SCOUTS: Claimants Voice Frustrations With Chapter 11 Process ---------------------------------------------------------------- Clara Geoghegan of Law360 reports that a Delaware bankruptcy court on Tuesday, September 16, 2025, held that claim determinations under the Boy Scouts’ Chapter 11 plan could not be revisited, with the judge saying she was bound by the process despite survivors' frustrated appeals. About Boy Scouts of America The Boy Scouts of America -- https://www.scouting.org/ -- is a federally chartered non-profit corporation under title 36 of the United States Code. Founded in 1910 and chartered by an act of Congress in 1916, the BSA's mission is to train youth in responsible citizenship, character development, and self-reliance through participation in a wide range of outdoor activities, educational programs, and, at older age levels, career-oriented programs in partnership with community organizations. Its national headquarters is located in Irving, Texas. The Boy Scouts of America and affiliate Delaware BSA, LLC, sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 20-10343) on Feb. 18, 2020, to deal with sexual abuse claims. Boy Scouts of America was estimated to have $1 billion to $10 billion in assets and at least $500 million in liabilities as of the bankruptcy filing. The Debtors have tapped Sidley Austin LLP as their bankruptcy counsel, Morris, Nichols, Arsht & Tunnell LLP as Delaware counsel, and Alvarez & Marsal North America, LLC, as financial advisor. Omni Agent Solutions is the claims agent. The U.S. Trustee for Region 3 appointed a tort claimants' committee and an unsecured creditors' committee on March 5, 2020. The tort claimants' committee is represented by Pachulski Stang Ziehl & Jones, LLP, while the unsecured creditors' committee is represented by Kramer Levin Naftalis & Frankel, LLP. The Debtors obtained confirmation of their Third Modified Fifth Amended Chapter 11 Plan of Reorganization (with Technical Modifications) on September 8, 2022. The Order was affirmed on March 28, 2023. The Plan was declared effective on April 19, 2023. The Hon. Barbara J. House (Ret.) has been appointed as trustee of the BSA Settlement Trust. CALDWELL HOLDINGS: Leon Jones Named Subchapter V Trustee -------------------------------------------------------- The Acting U.S. Trustee for Region 21 appointed Leon Jones, Esq., at Jones & Walden, LLC, as Subchapter V trustee for Caldwell Holdings, LLC. Mr. Jones will be paid an hourly fee of $500 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Jones declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Leon S. Jones, Esq. Jones & Walden, LLC 699 Piedmont Ave. NE Atlanta, GA 30308 Phone: (404) 564-9300 ljones@joneswalden.com About Caldwell Holdings Caldwell Holdings, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 25-41374) on September 10, 2025, listing between $100,001 and $500,000 in assets and between $1 million and $10 million in liabilities. Will B. Geer, Esq., at Rountree Leitman Klein & Geer, LLC represents the Debtor as legal counsel. CARTER LEASING: Robert Goe Named Subchapter V Trustee ----------------------------------------------------- The U.S. Trustee for Region 16 appointed Robert Goe, Esq., a practicing attorney in Irvine, Calif., as Subchapter V trustee for Carter Leasing Company, Inc. Mr. Goe will be paid an hourly fee of $545 for his services as Subchapter V trustee while his case administrator, Arthur Johnston, will be paid an hourly fee of $195. In addition, the Subchapter V trustee will receive reimbursement for work-related expenses incurred. Mr. Goe declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Robert P. Goe, Esq. 17701 Cowan Building D, Suite 210 Irvine, CA 92614 Telephone: (949) 798-2460 Facsimile: (949) 955-9437 bktrustee@goeforlaw.com About Carter Leasing Company Carter Leasing Company, Inc., a company based in Oak View, California, provides heavy equipment leasing and rental services, primarily serving the Ojai Valley area. Carter Leasing Company sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-11207) on September 10, 2025, with $1 million to $10 million in assets and liabilities. Greg Webster, president of Carter Leasing Company, signed the petition. Judge Ronald A. Clifford, III presides over the case. William C. Beall, Esq., at Beall & Burkhardt, APC represents the Debtor as legal counsel. CENTER FOR SPECIAL: To Sell BFG Columbus Property to G&A Sharon --------------------------------------------------------------- Michael Goldberg, the Chapter 11 Trustee of The Center for Special Needs Trust Administration, Inc., seeks permission from the U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division, to sell Property owned by BFG Columbus Holdings LLC, free and clear of liens, claims, interests and encumbrances. The Debtor is a 501(c)(3) non-profit Florida corporation that administers pooled trusts and special needs trusts. The Debtor is the trustee or co-trustee of numerous special needs trusts, including both stand-alone trusts and pooled trusts for approximately 2,000 beneficiaries who suffer from various levels of disability. The Debtor's primary service as trustee of the Trusts is to manage the Trusts, maintain records for assets managed by third-party investment managers, respond to request for distributions from Beneficiaries, and make distributions in a manner that still ensures that the applicable beneficiary meets the income and asset thresholds to qualify for certain public assistance benefits, such as Medicaid, Social Security, or Supplemental Security Income. The Debtor's services help to ensure that Beneficiaries maintain their qualification for these critical public assistance benefits. The Debtor was initially established by Leo Govoni, who served on the Debtor's Board of Directors until he resigned in 2008 or early to mid-2009. However, following his resignation, Govoni allegedly continued to control and exert his influence over the Debtor's operation and finances through a web of corporate entities. The Chapter 11 Trustee, through its Final Judgment against Boston Finance Group, LLC (BFG), has established that BFG received numerous transfers of funds from the Debtor totaling well over $100 million between 2009 and 2020. The funds utilized to make these transfers were allegedly taken from over 1,000 Trusts managed by the Debtor and the transfers were documented as a purported loan from the Debtor to BFG. BFG Columbus is a Florida limited liability company formed in 2012 that maintains a principal office at 60 Mayflower Drive, Tenafly, NJ 07670. BFG Columbus is owned in part by BFG (32.80%), Seaboard (32.80%), Melrose Solomon Enterprises, LLC (23.50%), and ViaFinance Group II, LLC (10.9%). BFG Columbus and Seaboard are Debtor/Govoni related entities to which the Trustee holds title to on behalf of the Debtor's estate while MSE and VG are unrelated to the Debtor and Govoni, other than in their participation in certain real estate deals. BFG transferred Debtor funds to BFG Columbus or paid others on behalf of BFG Columbus which funds were used by BFG Columbus to purchase/maintain real property, including property located at 3437-3511 Sullivant Avenue, Columbus, Ohio 43204 (Property) which adjacent lots were purchased on December 20, 2012. The Property is encumbered by Sandia Area Federal Credit Union. The Trustee sought and obtained an order appointing Nperspective Advisory Services, LLC and William A. Long, Jr. as Restructuring Advisor and Chief Restructuring Officer of Global Litigation Consultants, LLC, Boston Settlement Group, LLC, and Boston Asset Management, Inc in the adversary filed against Govoni and Boston Finance Group LLC. The Chapter 11 Trustee, through Mr. Long, has received an offer to purchase the Real Property for a total purchase price of $2,400,000 from G&A Sharon Woods Center LLC. The Purchaser has no ownership or other interest in the Real Property or connections with Govoni or any entity owned or controlled by him which information was verified by the Trustee. Prior to accepting the Offer, Mr. Long retained real estate professionals to market and sell the Real Properties, whose efforts yielded the Offer, which Offer is the best and highest offer received to date on the Real Property and which Offer will yield a return to this estate of approximately $550,790.32 above and beyond the claim of the Secured Creditor and other distributions to interest holders unrelated to the case. The Chapter 11 Trustee believes that the acquisition of the Real Property was funded, in whole or in part, using funds that were held and/or owned by the Debtor. The Chapter 11 Trustee further asserts a constructive trust was created over the Real Property, which arose by operation of law, on the date of the acquisition of the Real Property, to the extent such Real Property was acquired with funds wrongfully obtained from the Debtor. Mr. Goldberg is authorized to sell the Real Property, as he is now the majority owner of BFG Columbus and has the consent from the other minority stakeholders. About The Center for Special Needs Trust Administration The Center for Special Needs Trust Administration, Inc. filed Chapter 11 petition (Bankr. M.D. Fla. Case No. 24-00676) on Feb. 9, 2024, with $100 million to $500 million in both assets and liabilities. Judge Roberta A. Colton oversees the case. Scott A. Stichter, Esq., at Stichter, Riedel, Blain & Postler, PA is the Debtor's legal counsel. On March 4, 2024, the U.S. Trustee appointed an official committee of unsecured creditors in this Chapter 11 case. The committee tapped Underwood Murray, PA as bankruptcy counsel and Gilbert Garcia Group, PA as special counsel. CGA CORPORATION Seeks Cash Collateral Access -------------------------------------------- CGA Corporation asks the U.S. Bankruptcy Court for the Central District of California, Los Angeles Division, for authority to use cash collateral. The Debtor initially filed for interim use of cash collateral in June and an interim order was approved on July 3, followed by a stipulation with the U.S. Small Business Administration, the Debtor's first-priority lienholder, which was approved on July 7. The Debtor now seeks a final order to allow continued use of this cash collateral, with modifications to its budget based on updated actual financial data. The proposed changes include increasing disposal expenses from $165 to $365 per month, adding a new $200 equipment rental expense, raising tax expenses from $1,585 to $2,500, and increasing utility expenses from $2,880 to $3,500. The Debtor also seeks authority to deviate from the budget by up to 20% per line item, with unused funds able to carry over weekly. CGA seeks to continue using cash from its ongoing food sales, potentially subject to liens held by the SBA and the California Department of Tax and Fee Administration (with liens recorded in May and June. The use of these funds is critical to paying essential operating expenses such as payroll, utilities, insurance, and equipment, without which the Debtor would be forced to cease operations, leading to immediate and irreparable harm to the estate and its creditors. To protect the interests of its secured creditors, the Debtor offers adequate protection in the form of replacement liens -- mirroring the pre-petition lien priorities -- and requests the court grant superpriority administrative expense claims under 11 U.S.C. Section 507(b) to compensate for any post-petition diminution in the value of their collateral. The Debtor's bankruptcy filing was driven by three primary financial disruptions: (i) the COVID-19 pandemic, which heavily impacted store revenue and workforce availability in 2021–2022; (ii) minimum wage increases in California's fast food industry beginning April 1, 2024; and (iii) the cost of mandatory remodeling as required by Subway's franchise agreement. To stay afloat, the Debtor borrowed $250,000 from the SBA, $35,000 from its bank, and $75,000 from merchant cash advance lenders, resulting in unsustainable monthly ACH withdrawals of about $15,000. The lack of further financing options and increasing liquidity constraints eventually led to the bankruptcy filing. About CGA Corporation CGA Corporation sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-15352) on June 25, 2025, listing up to $100,000 in assets and up to $500,000 in liabilities. Rosalina Acosta, chief executive officer of CGA, signed the petition. Judge Deborah J. Saltzman oversees the case. Thomas B. Ure, Esq., at Ure Law Firm, represents the Debtor as bankruptcy counsel. CHORD ENERGY: S&P Rates New $500MM Senior Unsecured Notes 'BB' -------------------------------------------------------------- S&P Global Ratings assigned its 'BB' issue-level rating and '3' recovery rating to Houston-based crude oil and natural gas exploration and production company Chord Energy Corp.'s proposed $500 million senior unsecured notes due 2030. The '3' recovery rating indicates its expectation for meaningful (50%-70%; rounded estimate: 65%) recovery of principal to creditors in the event of a payment default. The proposed notes will rank pari passu with the company's $750 million of outstanding 6.75% senior unsecured notes due 2033. Chord intends to use the net proceeds primarily to fund a portion of its $550 million asset acquisition from XTO Energy Inc., a wholly owned subsidiary of Exxon Mobil Corp., which the company announced on Sept. 15, 2025. Chord will acquire about 48,000 net acres in the Williston Basin, with about 9,000 barrels of oil equivalent per day of production through the transaction, which is expected to close by year-end 2025. Issue Ratings--Recovery Analysis Key analytical factors -- S&P's simulated default scenario assumes sustained low commodity prices, consistent with the conditions of past defaults in this sector. -- S&P bases its valuation for Chord on a company-provided year-end 2024 PV-10 report, using its recovery price deck assumptions of $50 per barrel for West Texas Intermediate crude oil and $2.50 per million Btu for Henry Hub natural gas. -- S&P's recovery analysis assumes Chord's reserve-based lending (RBL) credit facility will be fully drawn up to its $2 billion elected commitment amount at default. The RBL has a borrowing base of $2.75 billion and matures in July 2027. -- S&P caps its recovery rating on the company's unsecured debt at '3' because it assumes, based on empirical analysis, that the size and ranking of Chord's debt claims will change prior to a hypothetical default. Simulated default assumptions -- Simulated year of default: 2030 -- S&P adjust its gross enterprise valuation to account for restructuring administrative costs (estimated at about 5% of the gross value). Simplified waterfall -- Net enterprise value (after 5% administrative costs): $3.39 billion -- First-lien claims: $2.08 billion --Recovery expectations: Not applicable -- Remaining value available to unsecured debt claims: $1.31 billion -- Unsecured debt claims: $1.29 million --Recovery expectations: Capped at 50%-70% (rounded estimate: 65%) Note: All debt amounts include six months of prepetition interest. CLAIRE'S HOLDINGS: Unsecureds Will Get 1% to 3% of Claims in Plan ----------------------------------------------------------------- Claire's Holdings LLC and affiliates submitted an Amended Disclosure Statement for the First Amended Joint Chapter 11 Plan dated September 9, 2025. The principal objective of the Plan is to maximize value for all Holders of Allowed Claims and generally to distribute all property of the Estates that is or becomes available for distribution generally in accordance with the priorities established by the Bankruptcy Code. The Debtors believe that the Plan accomplishes this objective and is in the best interest of the Estates. Nevertheless, the Debtors continue to explore any viable paths that would further maximize recoveries. Generally, the Plan: * Embodies a global settlement of all Claims and Causes of Action; * Contemplates cash distributions being made pursuant to a waterfall priority scheme in accordance with the Bankruptcy Code; * Establishes a Liquidating Trust and provides for (1) the vesting in the Liquidating Trust of the Liquidating Trust Assets for the purpose of distributions pursuant to such waterfall priority scheme, and (2) the appointment of the Liquidating Trustee; and * Contemplates recoveries to Holders of Administrative Claims and Other Priority Claims as is necessary to satisfy section 1129 of the Bankruptcy Code. Class 6 consists of General Unsecured Claims. Except to the extent that a Holder of an Allowed General Unsecured Claim agrees to less favorable treatment, on or as soon as reasonably practicable after the Effective Date, each Holder of an Allowed General Unsecured Claim shall receive its Pro Rata share of (a) Distributable Proceeds pursuant to the Waterfall Recovery; and (b) the Trust GUC Assets after all Allowed Prepetition ABL Claims have been paid in full. The allowed unsecured claims total $78 million. This Class will receive a distribution of 1% to 3% of their allowed claims. On or after the Effective Date, the Debtors shall fund the Plan Distributions, as applicable, with the Distributable Proceeds on account of Allowed Claims in accordance with the Waterfall Recovery in accordance with Article III.B of the Plan. The Distributable Proceeds shall be allocated and paid to the Holders of Allowed Claims, other than Allowed Professional Fee Claims, as applicable, until paid in full, in each case, on a Pro Rata basis, and subject in all respects to the terms of the DIP Order, except as otherwise agreed to by such Holders of Claims or Interests, as follows: (a) first, on account of Allowed Administrative Claims and Priority Tax Claims; (b) second, on account of Allowed Other Secured Claims (solely to the extent such proceeds are collateral of such Allowed Other Secured Claim), if any; (c) third, on account of Allowed Other Priority Claims, if any; (d) fourth: * to the extent such proceeds are ABL Priority Collateral, -- first, on account of Allowed Prepetition ABL Claims; -- second, on account of Allowed Prepetition Priority Term Loan Claims (once the Allowed Prepetition ABL Claims have been paid in full); and -- third, on account of Allowed Prepetition Existing Term Loan Claims (which Claims, for the avoidance of doubt and pursuant to the Prepetition Term Loan Intercreditor Agreement, shall not be entitled to receive any distribution or recovery until the Allowed Prepetition Priority Term Loan Claims are paid in full); or * to the extent such proceeds are Term Loan Priority Collateral, -- first, on account of Allowed Prepetition Priority Term Loan Claims, -- second, on account of Allowed Prepetition Existing Term Loan Claims (which Claims, for the avoidance of doubt and pursuant to the Prepetition Term Loan Intercreditor Agreement, shall not be entitled to receive any distribution or recovery until the Allowed Prepetition Priority Term Loan Claims are paid in full); and -- third, on account of Allowed Prepetition ABL Claims (once the Allowed Prepetition Priority Term Loan Claims and Allowed Prepetition Term Loan Claims have been paid in full); and (e) fifth, on account of Allowed General Unsecured Claims. For purposes of the Waterfall Recovery, all Liquidating Trust Assets other than the Trust GUC Assets shall constitute either "ABL Priority Collateral" or "Term Loan Priority Collateral," in accordance with the terms of the ABL Intercreditor Agreement. On or after the Effective Date, the Disbursing Agent shall be responsible for making Plan Distributions on account of Allowed Claims. For the avoidance of doubt, any Plan Distribution made on account of an Allowed Administrative Claim that is a 507(b) Claim shall be subject in all respects to the Prepetition Term Loan Intercreditor Agreement, the ABL Intercreditor Agreement, and the DIP Order. A full-text copy of the Amended Disclosure Statement dated September 9, 2025 is available at https://urlcurt.com/u?l=ZEs11o from Omni Agent Solutions, Inc., claims agent. Proposed Co-Counsel to the Debtors: Joshua A. Sussberg, P.C. Allyson B. Smith, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, New York 10022 Tel: (212) 446-4800 Fax: (212) 446-4900 Email: joshua.sussberg@kirkland.com allyson.smith@kirkland.com AND Alexandra F. Schwarzman, P.C. Robert A. Jacobson, Esq. 333 West Wolf Point Plaza Chicago, Illinois 60654 Tel: (312) 862-2000 Fax: (312) 862-2200 Email: alexandra.schwarzman@kirkland.com rob.jacobson@kirkland.com Proposed Co-Counsel to the Debtors: Zachary I. Shapiro, Esq. Daniel J. DeFranceschi, Esq. Paul N. Heath, Esq. Clint M. Carlisle, Esq. Colin A. Meehan, Esq. RICHARDS, LAYRON & FINGER, P.A. One Rodney Square 920 N. King Street Wilmington Delaware 19801 Tel: (302) 651-7700 Fax: (302) 651-7701 Email: shapiro@rlf.com defranceschi@rlf.com heath@rlf.com carlisle@rlf.com meehan@rlf.com About Claire's Holdings LLC Claire's Holdings LLC is a fully integrated, global fashion brand powerhouse committed to inspiring self-expression through the creation and delivery of exclusive, well-curated products and experiences. Through its global brands, Claire's and Icing, the company delivers an immersive, omnichannel shopping experience with owned and concession stores throughout North America and Europe as well as around the world. On the Web: http://www.claires.com/ On August 6, 2025, Claire's Holdings LLC and certain of its U.S. and Gibraltar-based subsidiaries, the operator of Claire's and ICING stores globally, commenced Chapter 11 proceedings in the United States Bankruptcy Court in the District of Delaware. The cases are pending before the Honorable Judge Brendan L. Shannon and the Debtors have requested joint administration (Bankr. D. Del. Lead Case No. 25-11454). In parallel, Claire's Canadian subsidiary commenced a proceeding in the Ontario Superior Court of Justice (Commercial Division) under the Companies' Creditors Arrangement Act to monetize the Company's Canadian assets under the protections offered by the CCAA. KSV Restructuring Inc. is the monitor in the CCAA case. Claire's and ICING locations outside of North America are not included in the Chapter 11 or CCAA proceedings. Claire's listed $1 billion to $10 billion in assets and liabilities. Kirkland & Ellis LLP is serving as legal counsel to Claire's. Houlihan Lokey is serving as investment banker, and Alvarez & Marsal is serving as restructuring advisor. Osler, Hoskin & Harcourt LLP is serving as Canadian legal counsel to Claire's. Omni Agent Solutions LLC is the claims agent. Ankura Trust Company, LLC, as Prepetition Priority Term Loan Agent and Prepetition Existing Term Loan Agent, is represented by: Joel Moss, Esq. Amit Trehan. Esq. Sean Tierney, Esq. Cahill Gordon & Reindell LLP Email: JMoss@cahill.com ATrehan@cahill.com STierney@cahill.com JPMorgan Chase Bank, N.A., as Prepetition ABL Agent, is represented by: Elisha D. Graff, Esq. Zachary J. Weiner, Esq. Sean Lee, Esq. Simpson Thacher & Bartlett LLP Email: egraff@stblaw.com zachary.weiner@stblaw.com sean.lee@stblaw.com -and- L. Katherine Good, Esq. Jeremy Ryan, Esq. Potter Anderson & Corroon LLP Email: lkgood@potteranderson.com jryan@potteranderson.com) CLEAN AIR: Wins Bid for Sanctions Against Wang, et al. ------------------------------------------------------ Judge Nancy Hershey Lord of the United States Bankruptcy Court for the Eastern District of New York granted the joint motions filed by Clean Air Car Service & Parking Branch Two, LLC and Operr Plaza, LLC, IV CVCF NEB 1 Trust, and IV CVCF NEB REO, LLC seeking: (1) sanctions against Kevin Wang, David Wood, Wood Wang & Associates, PLLC, Clean Air Car Service & Parking Branch Three, Clean Air Car Service and Parking Corporation, Operr Technologies Group, Inc., and Operr Service Bureau, Inc. pursuant to the Court's inherent powers and pursuant to 28 U.S.C. Sec. 1927 for repeatedly and vexatiously raising frivolous arguments that were previously rejected; and (2) sanctions against the Respondents pursuant to Rule 9011 of the Federal Rules of Bankruptcy Procedure for filing a motion to dismiss these bankruptcy cases under 11 U.S.C. Sec. 305 based on those arguments. On June 8, 2023, the Debtors filed a motion to jointly administer their bankruptcy cases. On June 22, 2023, the Debtors filed applications to retain Westerman Ball Ederer Miller Zucker & Sharfstein, LLP as their counsel and to retain CBRE, Inc. as their real estate broker. On June 26, 2023, Mr. Wood, as counsel to Mr. Wang and the Wang Entities, filed a letter in response to the Debtors' motion for joint administration stating that, although not opposing joint administration, Mr. Wang's position is that the bankruptcy petitions were filed without authorization because Mr. Wood holds the managerial rights under the Debtors' operating agreements, and reserving Mr. Wang's right to seek dismissal of the bankruptcy cases on that basis. On June 30, 2023, the Court issued an order authorizing the joint administration of the Debtors' bankruptcy cases. On June 30, 2023, the Debtors filed a motion for approval of a stipulation with the Lender authorizing the Debtors to use cash collateral and providing for adequate protection. On July 10, 2023, Mr. Wang, by counsel Mr. Wood, filed objections to the Debtors' Retention Applications. On July 11, 2023, Mr. Wang, by counsel Mr. Wood, filed an objection to the Cash Collateral Motion, asserting the Managerial Rights Argument, and further arguing that the bankruptcy cases were filed in bad faith. First Sanctions Motion In the First Sanctions Motion, the Movants contend that the Respondents' assertion of the frivolous arguments constitute bad faith and vexatious litigation tactics because they were interposed to delay and to interfere with the progress of these bankruptcy cases. The Movants allege that the Respondents, frivolously and in bad faith, asserted the Managerial Rights Argument, which had been rejected by other courts and by this Court, in opposition to nearly every motion filed in these cases, including the Debtors' Retention Applications and the Cash Collateral Motion. The First Sanctions Motion further asserts that the Respondents appealed virtually every order and sought stays in connection with those appeals, which were without merit. The Movants note that the Respondents untimely filed notices of appeal from the retention orders. The Movants allege that, in addition to seeking to delay the cases, the Respondents raised their meritless claims in order to enable Clean Air 3, which operated the public parking garage owned by Debtor Clean Air 2, to avoid paying any rent, leaving Clean Air 2 with no revenue, a condition which led to the filing of the Debtors' chapter 11 petitions. The Movants further alleged that Clean Air 3 continued to divert hundreds of thousands of dollars to Mr. Wang, who owns and controls Clean Air 3 and Clean Air Corp. The Respondents assert that they did not engage in vexatious litigation in this Court or any other court, that they have the right to appeal rulings, and that this Court cannot sanction them for actions taken in other courts. In support of their argument that they have not acted in bad faith and have not asserted frivolous arguments, the Respondents point to the fact that the automatic stay was lifted to pursue the appeals on their motions. The Court finds the Respondents' repeated assertion of the Managerial Rights Argument and other barred or irrelevant arguments, especially in the context of opposition to the Debtors' routine motions, establishes that the Respondents must have intended to delay these bankruptcy cases with those frivolous arguments, as there was no other reason to raise those arguments at those times. According to the Court, while the Respondents argued at the hearings that the arguments were not asserted in bad faith, but rather raised in order to preserve them for appeal, such assertion does not hold water. Raising precluded arguments that could not have been successful in this Court due to well-established principles of full faith and credit and collateral estoppel cannot legitimately be argued to have been raised in good faith, even if the Respondents hoped they would eventually succeed on appeal. For these reasons, sanctions are warranted under 28 U.S.C. Sec. 1927 and the Court's inherent power. As a sanction, the Respondents shall be prohibited from filing any motion in these cases unless they receive prior authorization from this Court. Additionally, monetary sanctions are warranted to deter further vexatious conduct. The Debtors assert that the Respondents' unreasonable, vexatious and sanctionable filings and conduct in this Court that form the basis of the First Sanctions Motion caused Clear Air 2 to incur fees of $131,318.00 and caused Operr Plaza to incur fees of $69,516.50. As such, the Debtors request the imposition of sanctions in those amounts against Mr. Wang and the Law Firm with respect to the First Sanctions Motion. Additionally, the Lender and Sole Member assert that they incurred fees of $144,896.90. This Court has no doubt that the Movants incurred significant legal fees in connection with the Respondents' unreasonable and vexatious filings and conduct in this Court for which they are being sanctioned pursuant to 28 U.S.C. 1927 and/or the Court's inherent power. However, because the primary purpose of sanctions is to deter future sanctionable conduct, rather than to make the Movants whole, the Court concludes, after taking into account all considerations, including that the Respondents are prohibited from filing any motion in these cases without receiving prior authorization from this Court, that a sanction of $40,000 is appropriate with respect to the First Sanctions Motion. The Respondents shall be jointly and severally liable for such sanction, and it shall be divided as follows: $15,000 shall be paid to each Debtor, $5,000 shall be paid to the Lender, and $5,000 shall be paid to the Sole Member. Second Sanctions Motion In the Second Sanctions Motion, the Movants seek the imposition of sanctions against the Respondents under Bankruptcy Rule 9011 based upon the filing of the Respondents' 305 Dismissal Motion. The Movants allege that the Respondents raised the frivolous arguments in the 305 Dismissal Motion, despite the rejection of those arguments. As with the First Sanctions Motion, the Movants assert that the Respondents have continuously engaged in vexatious, baseless, repetitive and dilatory practices before this Court in a malicious effort to cause delays; to obstruct these proceedings; to increase costs for the Lender, the Sole Member, and the Debtors; and to burden and interfere with this Court's administration of these Bankruptcy Cases. The Second Sanctions Motion also notes the various instances in these cases when the Court explained to the Respondents that the Court cannot undo state court orders and warned of possible sanctions. The Respondents assert that the arguments have a good chance of success on appeal and, therefore, the Second Sanctions Motion should be denied. In support, the Respondents note that they succeeded in obtaining a temporary stay from the District Court on or about Feb. 21, 2024. The Respondents argue that this Court should not only dismiss the frivolous Second Sanctions Motion but also should dismiss the bankruptcy petitions because the petitions were filed without proper authorization. At the hearing held on July 29, 2024, the Court determined that the 305 Dismissal Motion was frivolous, thereby violating Bankruptcy Rule 9011(b)(2). Although the 305 Dismissal Motion was not denied on the merits because it was withdrawn on the record, it may nonetheless give rise to sanctions under Bankruptcy Rule 9011 because it was not withdrawn by the Respondents within the safe harbor provision's period of 21 days of being served with the Second Sanctions Motion and was only withdrawn once rendered moot by the sales of the Debtors' properties. While the 305 Dismissal Motion cited the factors to be considered under 11 U.S.C. Sec. 305, it largely recycled and retrofit into those factors the arguments that were already rejected by the state court and by this Court. There is no doubt that relief under 11 U.S.C. Sec. 305 would have only served the interests of Mr. Wang and the Wang Entities, and not those of the Debtors and the other creditors. Notably, subsequent to the filing of the 305 Dismissal Motion, the Debtors' plans were accepted by creditors and confirmed by the Court. To the extent the Respondents assert that the arguments raised in the 305 Dismissal Motion are not sanctionable under Rule 9011 because they were raised in order to preserve them for appeal, such argument is rejected, the Court holds. As with this First Sanctions Motion, this Court will again prohibit the Respondents from filing any motion in these cases absent prior authorization by this Court. Additionally, monetary sanctions are warranted against Mr. Wang and the Law Firm to further ensure that they do not run afoul of Bankruptcy Rule 9011 in the future. The Court shall impose a sanction of $10,000 against Mr. Wang and the Law Firm, for which they are jointly and severally liable, to be paid as follows: $3,500 shall be paid to each Debtor, $1,500 shall be paid to the Lender; and $1,500 shall be paid to the Sole Member. A copy of the Court's decision dated September 5, 2025, is available at https://urlcurt.com/u?l=Z2XV26 from PacerMonitor.com. About Clean Air Car Service and Operr Plaza Clean Air Car Service & Parking Branch Two, LLC, and Operr Plaza, LLC filed Chapter 11 bankruptcy petitions (Bankr. E.D.N.Y. Lead Case No. 23-41937) on May 31, 2023. At the time of filing, Clean Air Car Service reported $1 million to $10 million in assets and $10 million to $50 million in liabilities while Operr Plaza reported $10 million to $50 million in both assets and liabilities. Judge Nancy Hershey Lord oversees the cases. The Debtors tapped Westerman Ball Ederer Miller Zucker & Sharfstein, LLP, as bankruptcy counsel. CLST ENTERPRISES: Trustee Proposes Liquidating Plan --------------------------------------------------- Kenneth P. Silverman, the Chapter 11 Trustee, submitted a Disclosure Statement for the First Amended Plan of Liquidation for CLST Enterprises, LLC dated September 9, 2025. The Debtor is a New York limited liability company, whose members consist of Carl Thomson and Margaret Thomson (together, the "Thomsons" or "Members"). The Debtor owns and, prior to the appointment of the Trustee, managed the real property known as and located at 19 E. 75th Street, New York, New York 10021 (the "Real Property"). The Real Property is located less than a block from Central Park and consists of six floors, including commercial and residential spaces. The commercial space has remained empty with no occupants since at least January 2021. The residential space was occupied by the Thomsons. Pursuant to a certain Amended, Restated and Consolidated Mortgage Note, dated June 9, 2014 (the "Note") and a certain Amended and Restated Mortgage and Security Agreement, dated June 9, 2014 (the "Mortgage"), which was executed in conjunction and simultaneously with a certain Mortgage Consolidation, Extension and Modification Agreement (the "CEMA") Sterling National Bank made a loan (the "Loan") to the Debtor. On January 5, 2021, 75 Street Servicing commenced an action against the Debtor in New York Supreme Court for the County of New York (the "State Court"), seeking to foreclose upon the Mortgage against the Property based upon the Maturity Date Default (the "State Court Acton"). On December 8, 2022, the State Court entered a foreclosure judgment in favor of 75 Street Servicing against the Debtor in the amount of $7,346,196.91, plus interest at 9% per annum. The Plan provides for the Sale of the Real Property, subject to approval by the Bankruptcy Court. The proceeds of the Sale will be used to satisfy all Allowed Secured, Administrative, and Priority Tax Claims. The Plan further provides for the liquidation of all of the Debtor's remaining assets, including Causes of Action, by the Plan Administrator. The Net Sale Proceeds from the Sale of the Real Property and the Unsecured Creditor Funds will be used to make all distributions pursuant to the terms of the Plan, including distributions to Unsecured Creditors. Class 3 consists of all General Unsecured Claims held against the Debtor other than Class 4 Claims. Holders of Allowed General Unsecured Claims will receive, in full and final satisfaction, settlement, and discharge and in exchange for each Allowed General Unsecured Claim: (i) first, their Pro Rata Share of any amounts remaining of the Carve Out, and (ii) if not paid in full from the Carve Out, on a Pro Rata basis together with Class 4, their share of the Unsecured Creditor Funds. Class 3 is Impaired. Class 5 consists of all of the Interests in the Debtor. To the extent that any funds are available after full payment of all statutory fees, Administrative Claims, Priority Tax Claims, and Claims in Classes 1, 2, 3, and 4, the Holders of Class 5 Interests shall receive the remaining funds on a Pro Rata basis. The payments due under the Plan will be paid primarily from the Net Sale Proceeds from the Sale of the Real Property, including the Carve Out. The payments due under the Plan to Holders of Class 1 and Class 2 Claims will be paid from the Net Sale Proceeds at the closing of the Sale, to be approved by the Bankruptcy Court pursuant to Section 363 of the Bankruptcy Code. The Sale will be consummated free and clear of Liens, Claims and Encumbrances pursuant to Section 363(f) of the Bankruptcy Code, with all Liens, Claims and Encumbrances to attach to the Net Sale Proceeds, subject to the terms and conditions set forth in the Pre-Petition Lender Stipulation and this Plan. A full-text copy of the Disclosure Statement dated September 9, 2025 is available at https://urlcurt.com/u?l=fJEPKv from PacerMonitor.com at no charge. Attorneys for Kenneth P. Silverman, Esq.: RIMÔN P.C. Brian Powers, Esq. Haley L. Trust, Esq. Courtney Roman, Esq. 100 Jericho Quadrangle, Suite 300 Jericho, New York 11753 (516) 479-6300 About CLST Enterprises CLST Enterprises, LLC owns a 4,742-square-foot mixed-use building consisting of residence with commercial retail and office space rentals valued at $9.36 million. CLST Enterprises filed Chapter 11 petition (Bankr. S.D.N.Y. Case No. 24-10596) on April 8, 2024, listing $9,393,173 in assets and $7,356,006 in liabilities. The petition was signed by Carl Thomson as member. Judge Martin Glenn oversees the case. The Debtor tapped Weinberg Zareh Malkin Price, LLP and Vernon Consulting, Inc., as legal counsel and financial advisor, respectively. COHERENT CORP: S&P Raises Secured Debt Rating to 'BB' ----------------------------------------------------- S&P Global Ratings raised the issue-level rating on Coherent Corp.'s secured debt to 'BB' from 'BB-'. S&P also revised the recovery rating on the debt to '2' from '3'. Coherent announced a debt transaction to refinance and repay existing debt. It also announced its asset sale closed, which it used the proceeds to pay down secured debt. Coherent has paid more than $1 billion of secured debt over the past two fiscal years. Coherent also got a new upsized revolving credit facility and term loan A, which S&P will not rate. Coherent also plans to reprice its existing term loan B to get better expected interest expense. S&P affirmed the ratings on Coherent's unsecured debt at 'B+' with a '5' recovery rating. S&P's 'BB-' issuer credit rating and stable outlook remain unchanged. ISSUE RATINGS – RECOVERY ANALYSIS Key analytical factors: -- S&P raised its issue-level rating to 'BB' from 'BB-' and revised its recovery rating to '2' from '3' on Coherent's secured debt. S&P also affirmed its 'B+' issue-level and '5' recovery rating on its unsecured debt. -- For the purposes of this analysis, S&P valued the company as a going concern, which would maximize the value available to its creditors. -- S&P's simulated default scenario considers weakened demand for its solutions amid tougher macroeconomic and sector-specific volatility, leading to a default in 2029. -- S&P applied a 6x multiple to estimate a gross enterprise value at emergence. This multiple is consistent with the multiples it uses for other technology hardware companies with similar scale, growth trajectories, and market positions. Simulated default assumptions: -- Simulated year of default: 2029 -- EBITDA at emergence: $395 million -- EBITDA multiple: 6x -- Revolving credit facility: 85% drawn at default Simplified waterfall: -- Net enterprise value (after 5% administrative costs): $2.3 billion -- Valuation split (obligors/nonobligors): 40%60% -- Senior secured debt claims: $2.8 billion -- Value available to first-lien debt claims: $2 billion --Recovery expectations: 50%-70% (rounded estimate: 70%) -- Senior unsecured debt: $1.0 billion -- Value available to senior unsecured debt: $241 million --Recovery expectations for senior unsecured debt: 10%-30% (rounded estimate: 20%) CONGA CORP: Fitch Affirms 'B+' LongTerm IDR, Outlook Stable ----------------------------------------------------------- Fitch Ratings has affirmed Project Everest Ultimate Parent, LLC's and its wholly owned subsidiary, Conga Corporation's (collectively, Conga) Long-Term Issuer Default Ratings (IDRs) at 'B+'. Additionally, Fitch has upgraded Conga's secured revolving credit facility (RCF) and first lien secured term loan to 'BB+' with a Recovery Rating of 'RR1' from 'BB'/'RR2'. The Rating Outlook is Stable. Fitch expects Conga's Fitch-adjusted EBITDA leverage to sustain below 5.5x and that cash flow growth will be driven by EBITDA growth due to operational optimization implementation. Additionally, Fitch expects CFO less capex to debt of over 7% in the rating horizon due to reduced operating expenses as a percentage of revenues. Conga's rating is also supported by recurring revenue with high retention and strong cash generation qualities. Key Rating Drivers Improving Leverage Profile: Fitch-adjusted leverage was 3.7x at FY25 year-end (fiscal year ends Jan. 31), improved from 4.8x at FY24 year-end. Fitch expects FY26 year-end, Fitch-defined leverage near 3.5x and EBITDA margins in the low 30s, reflecting operational optimization. Although Conga's FCF generation supports further deleveraging capacity beyond 2025, Fitch expects limited deleveraging as private equity ownership will likely prioritize ROE maximization over debt prepayment. Fitch expects excess capital to fund acquisitions for growth or dividends to equity owners, with financial leverage remaining moderate. Ongoing Migration to New Platform: In 2023, Conga launched the Conga Revenue Lifecycle Cloud (RLC) to reduce reliance on Salesforce. RLC has diversified Conga's product offerings and enhanced gross margins by shifting the billing composition more towards subscriptions. The new platform should drive continued efficiencies as more customers migrate. However, many larger customers have yet migrated, and the process will likely take several years. Fitch sees risks in migrating customers to a new platform, including potential disruptions and customer retention challenges. Strengthening FCF: Conga has reversed historically negative FCF to positive after successfully integrating Apttus, which streamlined operations and improved overall efficiency. Fitch expects minimal capex and working capital requirements, with operational improvements supporting mid-teens FCF margins in line with industry peers. High Recurring Revenues, Revenue Retention: Over 90% of billings are recurring in nature, with gross retention rates close to 90% and net retention rates near 100%. These attributes provide significant visibility on future revenue streams and profitability. Diversified Customer Base: Conga serves over 10,000 customers, with most sales from enterprise accounts. Conga began as a Salesforce independent software vendor (ISV) in 2006, relying heavily on the platform. The 2023 launch of Conga RLC significantly reduced this dependence, shifting the business from a Salesforce ISV to an open cloud solution. Nearly all pipeline and 100% of annual recurring revenue (ARR) now originate independently of Salesforce. Sales are contracted directly between Conga and its customers. No single customer represents more than 2% of ARR, and end-markets span diverse industries, with no industry exceeding 20% of ARR. Strong Brand Recognition: Conga is the only pure-play, end-to-end revenue operations vendor, with no independent competitor at their scale. It is a recognized leader across the revenue operations software spectrum, including Workflow and Content Automation, Contract Lifecycle Management (CLM), and Configure Price Quote Applications (CPQ). Conga is one of the largest independent software vendors at Salesforce, with Conga Composer being one of the most widely adopted applications in the Salesforce ecosystem. Secular Tailwinds: Many organizations are increasingly adopting recurring revenue models, increasing demand for revenue operations solutions that can handle these models' greater complexity. Digitalization of sales, especially within B2B markets, is also driving organizations to adopt software solutions to generate opportunities and capture market share. Increased compliance and regulatory pressures also drive organizations to adopt solutions to drive improved efficiency. Peer Analysis Conga's 'B+' Long-Term IDR reflects its strong market position as a software vendor in the fragmented revenue operations software industry. The company provides customers of varying scale the means to improve the speed and efficiency of revenue operations. Conga does this with a product suite helping businesses manage and automate processes involving documentation, contracts, and commerce. Although there are no direct peers in the Fitch rated universe, Conga's credit profile is comparable to other software providers under private ownership with similar ratings and subscription-based revenue model, including ConnectWise, LLC (B+/Stable) Cloud Software Group, Inc. (B+/Stable), and Capstone Borrower, Inc. (B+/Stable) Cloud Software Group, Inc. exhibits very large scale with highly recurring subscription base and demonstrates an improving credit profile, supported by EBITDA growth and disciplined cost management. Fitch expects (CFO-capex)/debt to remain in the mid- to high single digits, with gross leverage trending toward 5x over the rating horizon. Capstone Borrower, Inc. and ConnectWise, LLC both have larger scale and comparable margin profiles but higher leverage (approximately 4.5x-5.5x) than Conga's current level. Key Assumptions - Organic revenue growth in the low- to mid-single-digit range; - Fitch-calculated EBITDA margins of low-30s% in the rating horizon; - Capex intensity of approximately 1.5% of revenues per year; - Aggregate acquisitions totaling $600 million through 2029; - No debt prepayment or incremental issuance through the forecast period; - Annual SOFR rates of 4.3% in 2025, declining gradually to 3.5% by 2028. Recovery Analysis - The recovery analysis assumes that Conga would be reorganized in bankruptcy rather than liquidated. - A 10% administrative claim is assumed. - In estimating a distressed enterprise valuation (EV) for Conga, Fitch assumes a combination of customer churn and margin compression on lower revenue scale in a distressed scenario. This result in approximately a 15% decline from the FY26 estimated revenue, with a stressed margin in the high-20s, leading to a going-concern EBITDA that is approximately 25% lower relative to FY25 estimated adjusted EBITDA. - An EV multiple of 7x EBITDA is applied to the GC EBITDA to calculate a post-reorganization enterprise value. The choice of this multiple considered the following factors: - Fitch's Bankruptcy Enterprise Values and Creditor Recoveries showed that bankruptcy case study exit multiples for TMT peer companies ranged from 4.0x-7.0x. Median multiple was 5.4x small samples of technology cases. Of these companies, only five were in the Software sector: Allen Systems Group, Inc. (8.4x); Avaya Inc. (2017: 8.1x and 2023: 7.5x); Aspect Software Parent, Inc. (5.5x), Sungard Availability Services Capital, Inc. (4.6x) and Riverbed Technology Software (8.3x). - Conga's growing and resilient recurring sales profile, mission critical nature of the product, brand recognition, leadership position in the revenue operations management industry, and cash generative qualities supports the 7.0x recovery multiple. - Fitch's EV applies the 10% administrative claim and assumes a full draw on the $50 million revolver. Fitch estimates strong recovery prospects for the first lien term loan and revolver and upgrades them to 'BB+'/'RR1'. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Fitch-adjusted EBITDA leverage sustaining above 5.5x; - (CFO-capex)/ debt ratio sustaining below 7.5%; - Operating performance pressure in the form of sustained customer churn and/or pressure on EBITDA margins. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Fitch-adjusted EBITDA leverage sustaining below 4.0x; -(CFO-capex)/debt ratio sustaining near 10%; - Organic revenue growth sustained above the mid-single digits with Fitch-adjusted EBITDA margin sustaining at/above the low 30s. Liquidity and Debt Structure As of April 30, 2025, Conga's liquidity was sufficient, supported by approximately $250 million cash on the balance sheet, which is up from the cash balance of the year ago period. The $50 million secured first lien revolving credit facility due 2026 is undrawn. Conga's Debt structure consists of an undrawn secured first lien revolver and approximately $544 million of secured first lien debt, with annual amortization payments of around $5 million until maturity in 2028. Issuer Profile Project Everest Ultimate Parent, LLC (dba Conga) is a global provider of Software as a Service (SaaS) that offers its customers products to manage the revenue lifecycle. 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 ----------- ------ -------- ----- Project Everest Ultimate Parent, LLC LT IDR B+ Affirmed B+ Conga Corporation LT IDR B+ Affirmed B+ senior secured LT BB+ Upgrade RR1 BB COTY INC: Fitch Affirms 'BB+' LongTerm IDR, Outlook Stable ---------------------------------------------------------- Fitch Ratings has affirmed Coty Inc. (Coty) and Coty B.V.'s Long-Term Issuer Default Ratings (IDRs) at 'BB+'. Fitch has also affirmed Coty's credit facility and senior notes at 'BBB-' with a Recovery Rating of 'RR2'. The Rating Outlook is Stable. Coty's 'BB+' ratings reflect its leading market position as one of the world's largest beauty companies with a recently improved product mix toward higher growth and higher margin prestige fragrance and skin care. Recent performance has been weak due to execution issues in the U.S and a general slowdown in the global beauty market. Fitch expects EBITDA leverage could be elevated in the low to mid 4x in fiscal 2026 (ending June 2026) before returning to under 4x in fiscal 2027 on both EBITDA growth and debt reduction. Key Rating Drivers Operating Weakness: Coty's results were weak in fiscal 2025, and revenue could remain negative through at least the first half of fiscal 2026, after several years of strong operating momentum. This decline stems from execution issues in the U.S. business (40% of total revenue), retailer destocking, flat growth in its fragrance business after double-digit growth in fiscal 2024, and declines in mass cosmetics. In the U.S., Coty's prestige beauty sales fell mid-single digits while the market rose 4%, and its mass beauty sales were down mid-teens while the market was down 1%. These gaps indicate share losses. Coty's prestige revenue was flat in fiscal 2025 after growing approximately 13% in fiscal 2024 and drove over 80% of EBITDA. Fitch expects revenue for the first half of 2026 to decline mid-single digits before stabilizing or modestly improving in the second half as retailers rightsize inventory and Coty's aligns sell-in to retailers with sell-out. Prestige fragrance should remain relatively healthy, while consumer beauty remains challenged. Fitch expects EBITDA to decline just over 10% to approximately $960 million before recovering toward $1 billion in fiscal 2027 and growing in line with about 2% revenue growth thereafter. Improved Long-Term Business Profile: Coty's operating performance and financial profile improved meaningfully between fiscal 2021 and fiscal 2024, driven by its prestige fragrance business. Prestige accounted for 59% of its revenue in fiscal 2025 and had a CAGR of 10% between fiscal 2021-2025. The company has taken steps to fill gaps in its consumer beauty portfolio and stem share losses in its key consumer brands, including Covergirl, Rimmel, Max Factor and Sally Hansen. Its consumer beauty business had a CAGR of 2% between fiscal 2021-fiscal 2025, even with the 10% decline during the last year. It is investing heavily in skin care and natural products across legacy and newer brands. Investments in innovation, new product launches and marketing could stem share losses, although the company will likely have to continue heavy investments and potentially undertake portfolio reshaping activities. Low-Single Digit Top Line Growth: Fitch expects Coty to return to positive growth in fiscal 2027 and be able to sustain 2% revenue growth annually. This assumes its prestige fragrance business will remain healthy with mid-single digit growth supported by strong consumer demand and Coty's ability to successfully launch new products. The consumer beauty business revenue could be flat to down 2%, given repositioning efforts across key brands while recognizing overall challenges in the mass market beauty space. Coty's emerging presence in categories like mass fragrances and body mist, prestige makeup and skin care, could provide medium-term growth opportunities. Elevated Leverage: Coty ended fiscal 2025 with around $4.4 billion in debt (including its preferreds and A/R securitization) and leverage at 4.1x, essentially flat to fiscal 2024, higher than its prior expectations of mid-3x. Fitch expects leverage to be around 4.4x in fiscal 2026 before trending towards the high 3x in fiscal 2027 on EBITDA growth and debt reduction. Coty had a stated goal of reducing net leverage to approximately 2.5x exiting CY24 and approximately 2.0x exiting CY25. Given the recent operating weakness, company-calculated net leverage was 3.5x at June 30, 2025 but expects to continue its deleveraging path as business and FCF recovers. Dynamic and Evolving Industry: The fragrance and color cosmetics industries have demonstrated positive long-term characteristics, including mid-single-digit annual growth and relatively high margins, due to a growing middle class, premiumization of fragrances and skin care products and a focus on wellness. However, the strong growth rates for prestige brands and fragrances could moderate given the overall pullback in discretionary consumer spending. Peer Analysis Similarly rated peers in the consumer products market include Hasbro, Inc., Mattel, Inc., and Reynolds Consumer Products Inc. Mattel's 'BBB-'/Stable rating reflects low leverage, which Fitch expects to remain in the mid-to-high 2.0x range in 2025. It also reflects good profitability and a strong liquidity profile, with annual FCF around $500 million to $600 million. Mattel's leading market position and strong portfolio of owned intellectual property (IP) helps offset its narrow product focus and seasonality. Hasbro's 'BBB-'/Stable rating reflects its significant EBITDA recovery and debt reduction in 2024, continued focus on cost improvements and debt reduction supporting leverage in the low to mid 3.0x range in 2025. Hasbro's ratings also consider its strong profitability, highly visible brands portfolio and leading market shares in several categories, which help offset the seasonality and potential for volatility of profitability inherent in the toy industry. Reynolds Consumer Products' 'BB+'/Stable rating reflects its conservative financial policies, with EBITDA leverage projected to remain below 3x over the rating horizon. A focus on innovation supports its leading market position and liquidity is robust with good annual FCF generation. This is offset by Reynolds' smaller scale, high exposure to raw material price fluctuations, and limited product diversity vs. larger consumer goods firms. Key Assumptions - Revenue declines at approximately 2% in fiscal 2026 on a fiscal 2025 revenue base of $5.9 billion, assuming mid-single digits declines in the first half and flat to low single digit growth in the second half due to a recovery in its fragrance business. Fitch expects organic revenue to grow in the 2% range thereafter, assuming mid-single growth in its fragrance business and flattish to down 2% decline in its consumer beauty (mass market cosmetics) brands; - EBITDA in fiscal 2026 declines ~ 11% to $960 million on top line declines, with EBITDA margins falling to 16.7% from 18.4% in FY2025. EBITDA generally grows in line with revenue thereafter; - FCF of around $200 million in fiscal 2026 and over $400 million annually in fiscal years 2027-2028, given EBITDA growth and assuming minimal working capital swings in fiscal 2027. Fitch's forecast does not assume any sale proceeds from the potential sale of the company's 25.9% stake in Wella. The company recently commented that the Wella business performance remains strong and it is focused on divesting the business with proceeds to be used toward debt reduction. - EBITDA leverage is expected to increase to the mid-4x in fiscal 2026, on account of EBITDA contraction before declining the high 3x in fiscal 2027. Fitch's debt calculations include $143 million in preferred stock and approximately $211 million in factored receivables; - Coty's debt generally has fixed interest rate structures aside from its revolving credit facilities. Pricing its SOFR +150bps for the $1.67 billion revolver and Euribor +150bps for the EUR300 million tranche. Recovery Analysis Fitch assigns Recovery Ratings (RRs) to the various debt tranches in accordance with Fitch's criteria, which allows for the assignment of RRs for issuers with IDRs in the 'BB' category. Given the distance to default, RRs in the 'BB' category are not computed by bespoke analysis. Instead, they serve as a label to reflect an estimate of the risk of these instruments relative to other instruments in the entity's capital structure. Fitch has affirmed Coty's senior secured credit facilities at 'BBB-'/'RR2', indicating outstanding recovery prospects in the event of default. The senior credit facilities are senior secured obligations of Coty and are guaranteed on a senior secured basis by each of Coty's wholly owned domestic subsidiaries. Fitch has also affirmed Coty's $1.7 billion senior secured notes and $1.9 billion unsecured notes at 'BBB-'/'RR2'. The notes went from secured to unsecured, with a covenant suspension and collateral release in effect since September 2024 as described below in the Criteria Variation section. The Series B preferred stock is rated 'BB-'/'RR6' due to its deeply subordinated nature. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - A downgrade to 'BB' could result from a worse than expected deceleration in top-line growth and declining EBITDA margins such that EBITDA leverage is sustained above 4.0x; - A downgrade could also result from a change in financial policy or debt-financed acquisitions that result in EBITDA leverage sustained above 4.0x. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - An upgrade of Coty's ratings to 'BBB-' could result from strong operating performance, with annual organic top-line growth in the low to mid-single digits, stable to improving market shares, with EBITDA leverage sustained under 3.5x. Liquidity and Debt Structure Coty's liquidity as of June 30, 2025, consisted of $257.1 million in cash and over $1.5 billion available under its revolving credit facilities. The company has two senior secured revolving credit tranches maturing in July 2028: a $1.670 billion tranche available in U.S. dollars and other currencies, and a EUR300 million tranche. Coty had $407 million of borrowings outstanding at June 30, 2025. Coty also maintains receivables factoring facilities, including a U.S. facility of $150 million and a European facility of EUR143 million. Net utilization was $211.8 million as of June 30, 2025, and Fitch includes this in its debt calculations. As of June 30, 2025, Coty had $3.6 billion of senior notes and $142 million of convertible series B preferred stock. Fitch treats the preferred stock as debt given due to its high coupon, which creates a lack of permanence in the capital structure. Coty faces sizable maturities on April 15, 2026, when about $1.17 billion comes due. Fitch expects the company to refinance a significant portion of this debt. Fitch expects Coty to generate around $200 million in FCF in fiscal 2026 and over $400 million in fiscal 2027, which could fund debt paydown or share buybacks. Issuer Profile Founded in 1904, Coty Inc. is one of the world's largest beauty companies. It manufactures, markets and distributes prestige and mass market products with a top three global position in prestige fragrances. Criteria Variation According to Fitch's "Corporates Recovery Ratings and Instrument Ratings Criteria," unsecured debt is capped at 'RR4'/+0. Fitch maintains an 'RR2' Recovery Rating and +1 notching for the $1.9 billion senior notes due 2027, 2028 and 2030, which were converted from secured to unsecured. This reflects the high likelihood that the notes' security will reactivate near or upon a default. Implicit in this assumption is that the liens created in favor of the holders of these notes wouldn't provide more capacity for new secured debt than what already exists in the indentures. Coty's senior secured notes are its senior secured obligations. The notes are guaranteed on a senior secured basis by each of Coty's wholly owned domestic subsidiaries that guarantees the company's obligations under its existing senior secured credit facilities. The notes are secured by first priority liens on the same collateral that secures Coty's obligations under its existing senior secured credit facilities. Upon the respective senior secured notes achieving investment grade ratings from two out of the three ratings agencies, the senior secured notes provide for certain collateral release and covenant suspension provisions, as follows: - For the 2026 Dollar Senior Secured Notes and the 2026 Euro Senior Secured Notes, the guarantees and certain covenants will be released; - For the 2029 Dollar Senior Secured Notes, the collateral security relating to the co-issuers and guarantors, the guarantees and certain covenants will be released; - For the 2027 Euro Senior Secured Notes, the 2028 Euro Senior Secured Notes and the 2030 Dollar Senior Secured Notes, the collateral security, the guarantees and certain covenants will be released. As a result, Coty's $1.9 billion senior secured notes due 2027, 2028 and 2030 went unsecured after the notes received investment grade ratings from two rating agencies, with the note guarantees suspended during a covenant suspension period which is now in effect. The collateral will be reinstated if the notes are downgraded to noninvestment grade by two out of the three rating agencies. Summary of Financial Adjustments Fitch adjusted historical and projected EBITDA to add back non-cash, stock-based compensation and exclude nonrecurring charges. With respect to the balance of receivables under Coty's factoring programs, Fitch has reinstated the balance of accounts receivables that were treated as sold on the balance sheet with a related addition to debt; accordingly, cash flows from operating and financing activities have also been adjusted. Fitch also added the Convertibles Series B Preferred Stock to its debt calculations. 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 ----------- ------ -------- ----- Coty Inc. LT IDR BB+ Affirmed BB+ Preferred LT BB- Affirmed RR6 BB- senior secured LT BBB- Affirmed RR2 BBB- senior unsecured LT BBB- Affirmed RR2 BBB- Coty B.V. LT IDR BB+ Affirmed BB+ senior secured LT BBB- Affirmed RR2 BBB- CTL-AEROSPACE: Court OKs $725K DIP Loan, Cash Collateral Access --------------------------------------------------------------- CTL-Aerospace, Inc. received interim approval from the U.S. Bankruptcy Court for the Southern District of Ohio, Western Division, to use cash collateral to fund operations. The interim order signed by Judge Beth Buchanan authorized the Debtor to use funds, including cash and deposits in which Wells Fargo Bank, National Association, the pre-bankruptcy lender, has an interest. Wells Fargo Bank's cash collateral must be used strictly in accordance with the terms of the budget filed with the court. In return for the Debtor's use of its cash collateral, Wells Fargo Bank will be provided with adequate protection including replacement liens on all property to which the lender previously held security interests and an allowed secured claim of at least $14.97 million. In addition, liens held by Wells Fargo Bank before the Debtor's bankruptcy filing will be treated as having priority status over other claims or liens. $725,000 Debtor-in-Possession Financing CTL-Aerospace is authorized under the interim order to obtain debtor-in-possession loan from Wells Fargo Bank to the extent the amount of cash collateral available is insufficient to cover the expenses in the budget that are due and payable. The following terms of the financing were specifically approved by the court: (i) The maximum principal amount of the multi-draw term post-petition loan is $725,000. (ii) The Debtor is permitted up to two draws of post-petition loans. (iii) No letters of credit may be issued under or in connection with the post-petition agreement. (iv) Post-petition loans shall bear interest at a per annum rate equal to the base rate, plus, following an event of default, 2.0%. (v) There are no fees associated with the post-petition loan. (vi) The post-petition debt shall mature and be due and payable in full by the Debtor on September 26, which date may be extended by Wells Fargo Bank in its sole and absolute discretion. Wells Fargo Bank will be granted post-petition liens to secure the $725,000 loan. This post-petition loan will have superpriority status over all administrative expenses in the Debtor's Chapter 11 case, according to the interim order. The interim order is available at https://is.gd/qcVJQO The bankruptcy court will hold a final hearing on September 30. Objections are due by September 26. Wells Fargo Bank holds a perfected security interest in substantially all of the Debtor's assets, including cash, accounts receivable, equipment, inventory, and general intangibles, based on a prebankruptcy security agreement. As of the petition date, Wells Fargo Bank is owed approximately $15.1 million, comprised of $3.7 million in term loans and $11.3 million in revolving credit. According to appraisals, the Debtor's equipment is valued at $5.1 million and its inventory at $14.05 million while collectible accounts receivable total $5.79 million. This brings the total value of secured assets to approximately $24.97 million, far above the debt owed, suggesting Wells Fargo Bank is over-secured and its exposure is limited. The Debtor filed for bankruptcy on September 8 due to severe liquidity constraints that rendered it unable to fund ongoing operations, including payroll. At the time of filing, the Debtor anticipated receiving $725,000 from General Electric, one of its customers, to cover immediate expenses. However, that financing was structured as a loan, not a customer payment, and thus required court approval post-petition. Due to a misunderstanding by Debtor's management and counsel, that funding could not be accessed. Compounding the issue, accounts receivable collections fell short of expectations, leaving the Debtor short of the cash necessary to fund payroll obligations due on September 10. GE was only willing to provide financing on a secured basis, which Wells Fargo Bank, as the senior secured lender, opposed. Consequently, Wells Fargo Bank agreed to step in as the DIP lender, provided its existing collateral rights would not be diluted. About CTL-Aerospace Inc. CTL-Aerospace, Inc. is a family-owned composites manufacturer based in West Chester, Ohio, specializing in advanced fiber-reinforced polymer structures and component repair and overhaul. Founded in 1946, the Company operates as a full-service NADCAP- and AS9100D-certified facility supplying the U.S. government and major aerospace firms. Its products serve aerospace and industrial markets, leveraging its location in the Cincinnati aerospace corridor for cost and supply chain advantages. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ohio Case No. 25-12226) on September 8, 2025. In the petition signed by Scott Crislip, president and COO, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Beth A. Buchanan oversees the case. Patricia Friesinger, Esq., at COOLIDGE WALL CO., L.P.A., represents the Debtor as legal counsel. Wells Fargo Bank, N.A., as pre-petition and DIP lender, is represented by: Elliot M. Smith, Esq. Benesch, Friedlander, Coplan & Aronoff, LLP 127 Public Square, Suite 4900 Cleveland, OH 44114 Tel: (216) 363-4500 esmith@beneschlaw.com -and- Jacob H. Marshall, Esq. Benesch, Friedlander, Coplan & Aronoff, LLP 71 South Wacker Drive, Suite 1600 Chicago, IL 60606 Tel: (312) 212-4949 jmarshall@beneschlaw.com DATAVAULT AI: EOS Converts $3.2M Note Into 10M Shares ----------------------------------------------------- As previously disclosed, on December 31, 2024, Datavault AI Inc. (formerly known as WiSA Technologies, Inc.) entered into a Convertible Promissory Note with EOS Technology Holdings Inc. (formerly known as Data Vault Holdings Inc.) in the original principal amount of $10,000,000. Nathaniel Bradley, Chief Executive Officer and a director of the Company, is also the chief executive officer and sole director of EOS and owns shares in EOS. On September 7, 2025, Datavault disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company and EOS entered into an amendment and conversion agreement to the EOS Note, pursuant to which EOS converted $3,200,000 of the balance of the EOS Note into 10,000,000 shares of the Company's common stock, par value $0.0001 per share, at a conversion price of $0.32 per share, and the floor price set forth in the EOS Note was waived and did not apply to the EOS Note Conversion. Full text of the EOS Note Amendment is available at https://tinyurl.com/36e93rfy About Datavault AI Datavault AI Inc. (formerly WiSA Technologies, Inc.) -- www.wisatechnologies.com -- develops and markets spatial audio wireless technology for smart devices and home entertainment systems. The Company's WiSA Association collaborates with consumer electronics companies, technology providers, retailers, and industry partners to promote high-quality spatial audio experiences. WiSA E is the Company's proprietary technology for seamless integration across platforms and devices. San Jose, California-based BPM LLP, the Company's auditor since 2016, 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 December 31, 2024, citing that the Company's recurring losses from operations, a net capital deficiency, available cash and cash used in operations raise substantial doubt about its ability to continue as a going concern. As of June 30, 2025, the Company had $120.7 million in total assets, against $46.6 million in total liabilities. DEL MONTE: Weighs Potential $800MM Equity Offering -------------------------------------------------- Elffie Chew and Cliff Venzon of Bloomberg News report that Del Monte Group is exploring ways to raise up to $800 million in equity to pay down debt, people with knowledge of the discussions said. Working with a financial adviser, the company is considering a rights issue or placement among the potential approaches. The deliberations remain at an initial stage, and no final course of action has been determined, the report states. About Del Monte Foods Corporation II Inc. Del Monte Foods, Inc. produces, distributes, and markets branded plant-based packaged food products in the United States and Mexico. Del Monte Foods Corporation II Inc. and its affiliates filed their voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Lead Case No. 25-16984) on July 1, 2025, listing $1,000,000,001 to $10 billion in both assets and liabilities. Judge Michael B Kaplan presides over the case. Michael D. Sirota, Esq. at Cole Schotz P.C. represents the Debtor as counsel. DELTA TOPCO: S&P Affirms 'B-' ICR on Proposed Debt Issuance ----------------------------------------------------------- S&P Global Ratings affirmed its 'B-' issuer credit rating on U.S.-based provider of network automation solutions Delta Topco Inc. (dba Infoblox), its 'B-' issue-level rating on the company's pro-forma first-lien term loan, and its 'CCC' issue-level rating on the company's pro-forma second-lien term loan. S&P said, "The stable outlook on Infoblox reflects our view that despite the dividend recapitalization, the company will generate positive FOCF over the next 12 months with FOCF to debt of 4%-5% in fiscal 2026 and improving in fiscal 2027. We expect its revenues to grow in the low-20% area and EBITDA margins to be stable in the mid-30% area as it benefits from its renewal flywheel. In addition, we expect Infoblox will maintain its leadership position in the DDI market and continue to increase the portfolio of subscription-based offerings in its DDI and DNS security segments." Infoblox is planning to issue a $600 million incremental first-lien term loan as well as a $160 million incremental second-lien term loan and use the proceeds to fund a shareholder distribution. Despite the incremental debt issuance, S&P expects the company to generate meaningful positive free cash flow (FOCF) during fiscal 2026 due to strong EBITDA growth and strong cash collection from new multiyear contracts as part of its upcoming tech refresh cycle. S&P said, "Infoblox's proposed dividend recapitalization increases leverage to about 9x, but we still expect positive FOCF over the next 12 months. Management is capitalizing on improved business performance and strong revenue growth projections from the ongoing tech refresh cycle by executing a dividend recapitalization--its second during calendar 2025. The transaction increases our S&P Global Ratings-adjusted debt to EBITDA expectations to about 9x for fiscal 2026, but we project its leverage will improve to the low-7x area in fiscal 2027 due to 20% year-over-year (YoY) revenue growth in fiscal 2026 and 2027. "Additionally, we expect total cash interest expense to increase by about $100 million in fiscal 2026 compared with 2025 due to multiple dividend recap transactions in 2025. Nonetheless, we project FOCF to debt of 4%-5% in fiscal 2026 and improving in fiscal 2027." Infoblox looks to drive growth through the tech refresh cycle over the next 12-18 months. The company had a strong fourth-quarter 2025 (ended July 31, 2025), with 47% YoY growth in revenue and fourth-quarter revenues approaching $300 million. S&P said, "We believe the upcoming tech refresh will result in a hardware buying cycle and allow for a pricing uplift for new software solutions, while the company maintains stable retention levels. As a result, we expect ARR to approach $1 billion in fiscal 2026 and a permanent step up in booking and cash flow following the upcoming refresh cycle." As part of this refresh, the company should benefit from upfront cash collection on multiyear contracts, though this could increase average contract length (currently at 1.6 years), something the company worked to reduce over the past five years. S&P said, "Over the longer term, we expect growth to normalize with mid- to high-single-digit percent annual revenue growth. Additionally, Infoblox is seeing traction in its cloud native UDDI solutions and could also gain new customers from its recently announced Google partnership. Overall, we expect Infoblox to benefit from multiple positive events and comfortably manage the incremental $100 million increase in interest expense YoY. "The stable outlook on Infoblox reflects our view that despite the dividend recapitalization, the company will generate positive FOCF over the next 12 months with FOCF to debt of 4%-5% in fiscal 2026, improving in fiscal 2027. We expect its revenues to grow in the low-20% area and EBITDA margins to be stable in the mid-30% area as the company benefits from its renewal flywheel. In addition, we expect Infoblox will maintain its leadership position in the DDI market and continue to increase the portfolio of subscription-based offerings in its DDI and DNS security segments." S&P could lower its rating on Infoblox if: -- It faces lower-than-expected renewal rates and weaker product sales due to increasing competition and pricing pressure in its core DDI offering such that FOCF materially declines; and -- S&P views its capital structure as unsustainable. S&P could consider raising its rating on Infoblox over the long term if it continues ARR growth, improving profitability, and: -- Sustains S&P Global Ratings-adjusted leverage below the 8x area; -- Sustains reported FOCF to debt approaching 5%; and -- It maintains these metrics through future mergers and acquisitions and shareholder returns. DESKTOP METAL: Assets Acquired Out of Chapter 11 by Arc Impact -------------------------------------------------------------- Arc Impact Acquisition Corporation on Sept. 16, 2025, announced that it has acquired selected assets of Desktop Metal, Inc. out of Chapter 11 and is relaunching the business as an advanced manufacturing platform that combines binder-jet metal and ceramic additive manufacturing with production-grade polymers and AI-assisted materials R&D to onshore critical U.S. production. Under new ownership, the company's mission is restoring American and domestic manufacturing capacity--from defense, automotive, and aerospace parts to high-performance medical and energy components--by combining binder-jet metal and ceramic printing, production-grade polymer platforms, and AI-assisted materials discovery into a unified platform built for speed, cost efficiency, and domestic resiliency. Arc Impact will focus on programs where domestic, scalable manufacturing is essential to economic competitiveness and national security--including heavy rare-earth--free permanent magnets, sodium-ion solid-state battery components, solid-state transformer parts for AI data centers and grid modernization, and other high-consequence applications. "Our north star is simple: put advanced, automated manufacturing back to work in domestic markets," said Thomas Nogueira, Chief Executive Officer. "By pairing proven additive processes with data-driven, autonomous workflows and AI-accelerated materials R&D, we can shorten development cycles from years to months--and deliver qualified parts at scale to solve our customers' challenges with high precision and service." Comprehensive Platform to Accelerate Autonomous Manufacturing The acquired portfolio includes Desktop Metal's binder-jet IP and know-how (covering the Production System(TM) and X-Series platforms), Adaptive3D's DuraChain(TM) elastomers and FreeFoam(TM) expandable resins--creating a comprehensive stack for end-use parts across metals, ceramics, and elastomeric polymers. The company will deploy these assets in a distributed R&D-as-a-Service network with universities, feeding successful prototypes into centralized, high-throughput manufacturing hubs. "Binder jetting's throughput and per-part economics unlock true production in metals," said Rick Lucas, Chief Growth Officer. "Coupled with our ceramic capability--including carbides for industrial, energy and defense markets--and elastomer platforms for medical and industrial applications, we can address programs that conventional methods can't touch on speed and part complexity." "AI is a force multiplier," added Jonah Myerberg, Chief Innovation Officer. "With high-fidelity process data, digital twins, and simulation-led tools, we'll continuously optimize chemistries, geometries, and sintering profiles to maximize performance and economics." Key Programs and Applications Arc Impact will immediately build on high-impact government and commercial initiatives already underway, such as: -- A $7.9 million collaborative program with the U.S. Army DEVCOM Ground Vehicle Systems Center (GVSC), administered by the National Center for Manufacturing Sciences (NCMS), to qualify aluminum binder jet additive manufacturing (BJAM) for defense vehicle components. -- Several U.S. Department of Defense projects to develop silicon carbide (SiC) components and SiC 3D printing techniques to improve missile defense system performance that includes a related collaboration with Northrop Grumman to 3D print SiC optics for high-energy laser systems. -- A $2 million program with the U.S. Department of Veterans Affairs to manufacture FreeFoam(TM) parts, including patient cushioning devices, using digital light processing (DLP) technology. These and other government-supported initiatives underscore Arc Impact's commitment to advancing additive manufacturing applications that deliver previously unattainable value in sectors such as clean energy and veteran healthcare. The transaction was approved through the U.S. Bankruptcy Court as part of the Desktop Metal Chapter 11 restructuring process. Customer Support Current customers with questions about ongoing projects, orders, or service support may contact the organization at info@desktopmetal.com. A dedicated team is in place to ensure continuity, maintain product quality, and support customers. About Arc Impact Acquisition Corporation Arc Impact Acquisition Corporation is a mission-driven investment group focused on restoring U.S. industrial capacity through autonomous systems and AI-enabled materials innovation. Arc Impact partners with government, academia, and industry to accelerate the commercialization of advanced manufacturing technologies in service of economic resilience, sustainability, and national security. For more information, visit www.arc-pbc.com About Desktop Metal Inc. Desktop Metal designs and markets 3D printing systems. ExOne's business primarily consisted of manufacturing and selling 3D printing machines and printing products to specification for its customers for both direct and indirect applications. ExOne offered its pre-production collaboration and print products for customers through its network of ExOne Adoption Centers and supplied the associated materials, including consumables and replacements parts, and other services, including training and technical support, necessary for purchasers of its 3D printing machines to print products. Desktop Metal and its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 25 90268) on July 28, 2025, listing under up to $50,000 in both assets and liabilities. The case is jointly administered in Case No. 25-90268. Judge Christopher M. Lopez oversees the case. Benjamin Lawrence Wallen at Pachulski Stang Ziehl & Jones LLP serves as the Debtors' counsel. On August 6, 2025, the Office of the United States Trustee appointed an official committee of unsecured creditors in these Chapter 11 cases. The committee tapped Lowenstein Sandler LLP and Munsch Hardt Kopf & Harr, PC as counsel and Province LLC as financial advisor. DIAMOND ELITE: Claims to be Paid from Financing or Sale Proceeds ---------------------------------------------------------------- Diamond Elite 121 LLC filed with the U.S. Bankruptcy Court for the District of Arizona a Disclosure Statement describing Plan of Reorganization dated September 9, 2025. The Debtor is a real estate holding company with a single asset that is the real property located at 121 W. Florence Blvd., Casa Grande, Arizona 85122 (the "Property"). The Property is a commercial property, and is currently worth approximately $1.1 million. In April 2023, the Debtor took out a loan for approximately $1.7 million from Robert Schuck, which was secured by four real properties, including the Property at issue here. While the Debtor was negotiating the loan with Schuck, the Debtor understood that the loan would be issued with an interest rate of 12%. It later turned out that the documents reflected an interest rate of 14%. Because the Debtor had missed some payments, Schuck had noticed a Trustee's sale for March 25, 2025, but agreed to postpone the sale to June 12, 2025, to allow time for the Debtor to arrange a payoff. Thus, on June 11, 2025, the Debtor filed a voluntary petition for relief under Chapter 11 of the United States Code. The Debtor filed its bankruptcy petition to prevent the Trustee's sale, which would have led to a below-market-price sale and potentially even a deficiency claim against the Debtor. The Debtor anticipates that once the claims asserted in this bankruptcy case are paid, it will have sufficient financing available to complete the construction on the building that has already been commenced. The Debtor already has a prospective tenant who will occupy most of the space, on the second floor, once construction is complete, and will use the space to operate a Jewish School, which will provide a substantial benefit to the Casa Grande community. The Debtor estimates the total amount of Allowed Unsecured Claims in this Class will be approximately $78,708.83. Class 2 consists of the Allowed Unsecured Claims of Creditors. The creditors with Allowed Unsecured Claims in Class 2 shall be paid from the post-petition financing to be obtained or, if the Property is sold, the creditors with Allowed Unsecured Claims in Class 2 will be paid in full (if sufficient funds are available) or shall be paid their pro rata share of the total amount of allowed unsecured claims, out of the net proceeds of the sale of the Property after all administrative, priority, and secured claims are paid in full. Class 3 consists of Allowed Interests of the Debtor. Pursuant to Section 1129(a)(15) and (b)(2)(B)(ii) of the Bankruptcy Code, the Debtor shall retain its interest in all estate property, after payment of the claims herein. Allowed Interests shall receive a pro-rata distribution, based upon their interest percentage, after all costs of operations, and allowed administrative, priority, secured, and unsecured creditors are paid in full. The Debtor is continuing to operate; one of its tenants pays the utilities connected with the building's operations in lieu of rent. Pursuant to its agreement with Schuck, the Debtor has sequestered and will continue to sequester rent received from its other tenant to be used to pay for property insurance and repairs to the building. Additionally, Diamond Elite Estates, LLC (the Debtor's management company), has provided support services and funding for accountants and other professionals and will continue to provide funding as needed to make up operational shortfalls while this bankruptcy case is pending. The Debtor anticipates that it will obtain post-petition financing or will sell the Property at a price sufficient to pay all claims. At that point, the Debtor will seek to conclude the bankruptcy case. A full-text copy of the Disclosure Statement dated September 9, 2025 is available at https://urlcurt.com/u?l=zuum2k from PacerMonitor.com at no charge. Counsel to the Debtor: 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 serves as the Debtor's legal counsel. DIVERSIFIED HEALTHCARE: S&P Upgrades ICR to 'B-' on Refinancing --------------------------------------------------------------- S&P Global Ratings raised its issuer credit rating on Diversified Healthcare Trust (DHC) to 'B-' from 'CCC+' and assigned its 'B+' issue-level rating and '1' recovery rating to the new senior secured notes. S&P said, "At the same time, we raised our issue-level rating on the company's existing senior secured notes and guaranteed unsecured notes to 'B+' from 'B' and our issue-level rating on its non-guaranteed senior unsecured notes to 'B-' from 'CCC+'. Our '1' recovery rating on DHC's existing senior secured notes and guaranteed senior unsecured notes, as well as our '3' recovery rating on the non-guaranteed unsecured notes, are unchanged. "The stable outlook reflects our expectation that the company's operating performance will continue to improve over the next two years, buoyed by favorable demographic tailwinds. Additionally, the outlook reflects our belief that DHC's upcoming refinancings seem manageable, given its improved covenant headroom and our view that its capital structure appears sustainable." DHC's senior secured notes offering has greatly reduced its refinancing risk and its capital structure appears sustainable. Following this successful issuance, the company will be able to repay its senior secured notes due January 2026 using cash on hand, borrowings from its revolving credit facility, and the proceeds from asset sales that are under contract. After repaying its senior secured notes due January 2026, DHC's next maturity will be in February 2028, when its $500 million of senior unsecured notes mature. In 2025, S&P expects the company will raise approximately $1 billion from a combination of asset sales, mortgage loans, and secured note issuance, which will improve its capital structure to a level that appears sustainable. Moreover, incurrence covenant headroom under its debt service covenant has improved materially such that the company should have greater financial flexibility to address its upcoming debt maturities, even if interest rates remain high. Furthermore, it has significant headroom under the secured debt to total assets covenant to issue additional secured debt. In S&P's view, this financial flexibility greatly minimizes DHC's upcoming refinancing risk. Operating performance continues to improve and the company should also benefit from recent operator transitions. In the second quarter of 2025, occupancy within the company's senior housing operating property (SHOP) portfolio increased 160 basis points (bps) year over year to 80.6%, driving same-property net operating income (NOI) growth of 18.5%. Given the strong demographic tailwinds with robust growth in the elderly population expected over the next two decades and limited near-term supply, the backdrop for senior housing looks very favorable. Moreover, the recent announcement that DHC is selling its AlerisLife's 116 management agreements to seven different operators could further accelerate the improvement in its operating performance over the medium term. These sales would also improve the company's operator diversification, minimize its related party risk (AlerisLife is also owned by RMR Group), and deleverage DHC as the company is expected to monetize its 34% investment in AlerisLife. The new operators are regional operators that may unlock additional operational efficiencies and cost savings for DHC. S&P said, "We expect the company will materially improve its key credit metrics over the next two years, with S&P Global Ratings-adjusted debt to EBITDA declining to about 10x as of year-end 2025 (from 11.9x in 2024) and to the high-8x to low-9x range in 2026. We also project fixed-charge coverage (FCC) to increase to the low- to mid-1x range as of year-end 2025 (from 1.0x in 2024) and to the mid- to high-1x range in 2026. "The stable outlook reflects our expectation that the company's operating performance will continue to improve over the next two years, buoyed by favorable demographic tailwinds. Additionally, the outlook reflects our belief that DHC's upcoming refinancings seem manageable, given its improved covenant headroom and our view that its capital structure appears sustainable. We project the company will reduce its S&P Global Ratings-adjusted debt to EBITDA to about 10x in 2025 and to the high-8x to low-9x range in 2026." S&P could take a negative rating action on DHC if: -- Its covenant cushion deteriorates, perhaps as a result of poor operating performance; or -- Its liquidity is pressured such that S&P thinks future refinancings may be more challenging to execute. S&P could raise its ratings on DHC if: -- It continues to execute on asset sales and deleverages its balance sheet such that it strengthens its liquidity position; -- Its S&P Global Ratings-adjusted debt to EBITDA declines to and is sustained below 9.5x, with FCC improving to and remaining comfortably above 1.7x; and -- It continues to improve its operating performance. DTE ENERGY: Fitch Assigns 'BB+' Rating on Jr. Subordinated Notes ---------------------------------------------------------------- Fitch Ratings has assigned a 'BBB' rating to DTE Energy Co.'s (BBB/Stable) issuance of senior unsecured notes and a 'BB+' rating to its issuance of junior subordinated notes. DTE has issued $600 million of junior subordinated notes and $800 million of unsecured notes. The unsecured notes will be issued in two tranches: $550 million of new 10-year unsecured notes and $250 million through a reopening of its existing 2023 Series C $800 million 4.875% due June 1, 2028 (rated 'BBB'). The unsecured notes and junior subordinated debt will rank pari passu with DTE's existing senior unsecured and junior subordinated notes. DTE will use the note proceeds to repay short-term borrowings and for general corporate purposes. The junior subordinated notes qualify for 50% equity credit under Fitch's "Corporate Hybrids Treatment and Notching Criteria" due to deep subordination and the ability to defer coupon payments for over five years. Key Rating Drivers Growing Data Center Demand: Fitch views growing data center demand as positive. DTE is in advanced talks with hyperscalers for over 3 GW and has ongoing discussions for another 4 GW. Near-term ramps up to 3 GW will be served with 1 GW of existing generation and new one-for-one energy storage capacity. Management expects the first deal to ramp to at least 1 GW by year-end. New generation will be required in the long term. DTE is in the Midwestern Independent System Operator (MISO) queue for new combined cycle gas turbine (CCGT) capacity and continues to plan retirement of its Monroe coal plant by end-2032. DTE will rely on its forthcoming 2026 Integrated Resource Plan to optimize its resource mix. The initial 3 GW is projected to lift load by about 40% over five years, driving sales growth to 4%-5%, and data center/storage investments are incremental to the current capex plan. Stable Utility Business: Michigan's regulatory environment remains constructive following credit-supportive rate case outcomes at the utilities, despite increased regulatory scrutiny of storm response efforts. A supportive regulatory environment remains a key rating driver, as most of DTE's cash flow comes from DTE Electric Company (DTEE, A-/Stable) and DTE Gas Company (DTEG, BBB+/Stable). Fitch does not expect non-regulated businesses, including renewable natural gas (RNG), to exceed 10% of total earnings. Significant Utility-Focused Investments: DTE's $30 billion capital program for 2025-2029 represents a 20% increase over the prior plan and a 50% increase over the prior five years, driven by investments in cleaner generation and distribution. Non-regulated investments, which represent 7% of the total, are focused on new RNG and cogeneration projects. Growth in data center demand, which seems likely, would cause upward capex revisions. DTE plans to issue up to $100 million of equity annually through 2027 to support the plan. Credit Metrics Support Ratings: Fitch projects that DTE's FFO leverage will remain in line with its ratings over the forecast. DTE's FFO leverage in 2024 improved by 80 bps to 5.1x following rate relief from recent rate cases at DTEE and DTEG and hot summer weather at DTEE. Fitch projects FFO leverage will average 5.4x in 2025-2027, supported by frequent rate filings and credit supportive rate case outcomes. Fitch expects parent debt will remain elevated at around 34%-36% of total debt over the forecast. One Big Beautiful Bill Passed: Fitch expects limited impact on DTE's renewable plans from the July passage of the One Big Beautiful Bill (OBBB). DTE's renewable projects are safe-harbored through 2029, and battery storage remains eligible for tax incentives through 2036. While the bill accelerates the phaseout of wind and solar credits, it preserves tax credit transferability and requires eligible projects to either begin construction within 12 months of enactment or be placed in service by year-end 2027. DTE does not anticipate exposure to the alternative minimum tax (AMT) until it reaches the $1 billion pre-tax earnings threshold in 2025. Any potential negative cash effects should be largely offset by accelerated depreciation and renewable tax credits, including RNG credits extended under the OBBB through 2029. Parent/Subsidiary Linkage: There is parent subsidiary linkage between DTE and its rated subsidiaries, DTEE and DTEG. Fitch determines DTE's Standalone Credit Profile (SCP) based on consolidated metrics. DTEE and DTEG have stronger SCPs, and Fitch follows the stronger subsidiary path. Fitch emphasizes their status as regulated entities with porous access and control and legal ringfencing. DTE centrally manages treasury functions and is the sole equity source, while subsidiaries issue their own debt. Consequently, Fitch limits the rating difference between DTE and its subsidiaries, DTEE and DTEG, to two notches. Peer Analysis DTE's credit profile is in line with its peers, Dominion Energy, Inc. (DEI; BBB+/Stable) and CMS Energy Corporation (BBB/Stable), which are also parents to regulated utility operations and have sizable debt at the parent level. DTE's consolidated operations are smaller than Dominion and larger than CMS Energy. DTE and peers have geographic concentration with Dominion more diversified than DTE and CMS. Dominion generates the majority of consolidated EBITDA from Virginia followed by South Carolina and North Carolina while DTE and CMS are limited to a single state (Michigan). Fitch expects 90% of DTE's EBITDA to come from its single-state regulated utility businesses over the forecast period similar to its peers. Approximately 90% of DEI's EBITDA will come from state-regulated utility businesses while most of CMS's EBITDA (95%) comes from a regulated utility in Michigan. Fitch expects DTE's parent-level debt to stay around 35% over its forecast period. Although elevated, it is similar to the 30%-40% level projected for DEI and higher than about 20%- 23% level at CMS Energy. Fitch anticipates DTE's FFO leverage to average 5.4x in 2025-2027, similar to CMS's, which Fitch expects to average 5.6x over the near term before improving to 5.2x in the outer years of the forecast period. Fitch projects that DEI's FFO leverage post in service of its offshore wind farm will be within its negative sensitivity threshold of 5.0x. Key Assumptions - Constructive regulatory environment in Michigan with ROEs for DTEE and DTEG in line with currently approved returns; - Equity issuances of up to $100 million annually in 2025-2027; - Securitization debt is excluded from the FFO leverage calculations; - DTE Vantage business growing earnings $20 million annually and remaining below 10% EBITDA target over the forecast period; - Capital structure commensurate with regulatory structure. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - A significant deviation from the current business risk with the regulated businesses comprising less than 90% of consolidated cash flow due to growth in the non-utility businesses; - An adverse change in Michigan's regulatory environment; - Sustained weakening in FFO leverage of 5.8x or higher through the forecast period; - Sustained increase in parent-level debt materially beyond currently projected 35% of total. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - While not anticipated at this time, given the sizable capital program and elevated leverage, sustained improvement in FFO leverage of 4.8x or lower through the forecast period. Liquidity and Debt Structure DTE and its subsidiaries had around $2.3 billion of available liquidity as of June 30, 2025, consisting of cash and amounts available under RCFs and letter of credit facilities. DTE's RCFs expire in October 2029. The RCFs are $1.5 billion at DTE, $800 million at DTEE and $300 million at DTEG. DTE, DTEE and DTEG were compliant with consolidated debt/capitalization of 65%, 53% and 48%, respectively, as defined under the credit agreement as of June 30, 2025. Debt maturities remain manageable given the history of successful refinancing, and Fitch expects DTE to have continued access to the capital markets. Fitch assigns 50% equity credit to the junior subordinated debentures issued by DTE. Issuer Profile DTE is the parent company of DTEE and DTEG, regulated utilities providing electric and gas services throughout Michigan. DTE owns non-utility operations, including industrial energy projects and energy trading, which contribute up to 10% of consolidated FFO. Date of Relevant Committee 10-Mar-2025 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 ----------- ------ DTE Energy Company junior subordinated LT BB+ New Rating senior unsecured LT BBB New Rating DUFF & PHELPS: S&P Withdraws 'B-' Issuer Credit Rating ------------------------------------------------------ S&P Global Ratings withdrew all its ratings on Duff & Phelps Holdings Corp., including the 'B-' issuer credit rating and 'B-' and 'CCC' issue-level rating on its first-lien and second-lien debt, respectively. The company requested the withdrawal following the completion of its refinancing in the direct lend market and the full repayment of its rated debt. At the time of the withdrawal, S&P's outlook on Duff & Phelps Holdings Corp. was negative. ECHOSTAR CORP: To Sell Spectrum Licenses to SpaceX for $17 Billion ------------------------------------------------------------------ EchoStar Corporation disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company, Space Exploration Technologies Corp., a Texas corporation, and Spectrum Business Trust 2025-1, a Nevada Business Trust, entered into a License Purchase Agreement. Pursuant to the terms and subject to the conditions set forth in the License Purchase Agreement, EchoStar has agreed to sell to Space Exploration Technologies its rights and licenses related to an aggregate of 50 MHz of spectrum in frequency ranges 2000–2020, 2180–2200, 1915–1920 and 1995–2000 granted by the United States Federal Communications Commission, together with certain international authorizations, filings, concessions, licenses, rights and priorities related to that spectrum and certain assets associated therewith. The transfer of the Licenses will occur in two steps: first, the Licenses will be transferred by Seller to Trust, and second, the Licenses will be transferred by Trust to Purchaser. The Foreign Assets will be transferred directly to Purchaser at the Spectrum Acquisition Closing, to the extent the required regulatory approvals have been obtained by such date; provided, however, that the failure to obtain such approvals will not delay or prevent the Spectrum Acquisition Closing. The consideration for the Transactions payable at the Spectrum Acquisition Closing is $17 billion. A portion of the Total Consideration Amount will be used to: (i) fully pay off all outstanding amounts owed on the 10.75% Senior Spectrum Secured New Notes due 2029 and the 6.75% Senior Spectrum Secured Exchange Notes due 2030 and (ii) settle the anticipated redemption and conversions of the 3.875% Convertible Senior Secured Notes due 2030. The remaining amount after paying off the Seller Notes will be paid by Purchaser to Seller as follows: (i) up to $8.5 billion will be paid in Purchaser's Class A Common Stock, valued at $212 per share; and (ii) any amount of the Purchase Price exceeding $8.5 billion will be paid in cash. If the Total Payoff Consideration Amount exceeds $8.5 billion, Seller may elect to pay the excess in cash, its Class A Common Stock (with respect to the Convertible Notes), or both, to maintain its receipt of the full Equity Amount. However, if Seller elects not to pay such excess amount, the Equity Amount will be reduced dollar-for-dollar to ensure that the combined Equity Amount and Total Payoff Consideration Amount do not exceed the Total Consideration Amount. The Spectrum Acquisition Closing is expected to occur on or about November 30, 2027, following the expiration of the make-whole period for the Seller Notes and the date on which the Convertible Notes become eligible for redemption. If Purchaser elects to proceed with the Spectrum Acquisition Closing prior to November 30, 2027, Purchaser will be responsible for any additional amounts required to satisfy the Seller Notes, other than additional amounts payable as a result of a default under the Seller Notes. Additionally, in connection with the License Purchase Agreement and the Transactions, on September 7, 2025, Purchaser and Trust entered into a Credit Agreement, pursuant to which Purchaser has agreed to loan to Trust (via automatically cancellable loans) amounts sufficient to make debt service payments on the Seller Notes through at least November 30, 2027, which will be secured on a junior lien basis by the Licenses. The aggregate amount of payments for the Interim Debt Service through November 30, 2027, will equal approximately $2 billion. The License Purchase Agreement provides that completion of each of the Spectrum Transfer Closing and the Spectrum Acquisition Closing is subject to the satisfaction or waiver of certain mutual closing conditions applicable to both Seller and Purchaser, including: (a) the absence of any judgment or injunction restraining, enjoining, or otherwise prohibiting the Transactions; (b) the expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended; and (c) the receipt of certain consents and approvals from the Federal Communications Commission. The License Purchase Agreement provides for specified termination rights. Among other customary termination rights, Purchaser has the right to terminate the License Purchase Agreement if the Spectrum Transfer Closing has not occurred on or before December 31, 2026. Additionally, Purchaser or Seller may terminate the License Purchase Agreement if the Spectrum Acquisition Closing is not consummated by December 15, 2027, subject to one six-month extension, at the election of either Seller or Purchaser, if necessary to allow the completion of obtaining the HSR Approval and the FCC Approval. Such outside date may be further extended to December 15, 2028, at the option of Purchaser, if necessary to allow the completion of obtaining the HSR Approval and the FCC Approval, subject to the prior written consent of Seller, which Seller may only withhold if the receipt of such approvals is not reasonably likely to occur by such further extended date. The License Purchase Agreement contains customary representations, warranties and covenants related to the Licenses and the Foreign Assets. The License Purchase Agreement also provides that Purchaser and Seller will indemnify one another under certain circumstances, subject to the terms and conditions set forth in the License Purchase Agreement. These provisions include, among others: (a) indemnification by Purchaser in favor of Seller for losses arising from or relating to the ownership or operation of the Licenses or the Foreign Assets following the Spectrum Acquisition Closing; and (b) indemnification by Seller in favor of Purchaser for losses arising from or relating to the ownership or operation of the Licenses or the Foreign Assets during the period prior to the Spectrum Acquisition Closing. The License Purchase Agreement also provides for Purchaser and Seller to enter into long-term commercial agreements that will enable EchoStar to offer its Mobile subscribers access to Purchaser's next-generation Starlink Direct to Cell text and voice and broadband services utilizing certain rights and licenses related to the Spectrum that are to be conveyed by Seller to Purchaser at the Spectrum Acquisition Closing. The commercial agreements will also provide for a fee-based referral program that lets EchoStar refer existing HughesNet customers and new Starlink customers to Purchaser. The foregoing description of the License Purchase Agreement does not purport to be complete and is qualified in its entirety by reference to the License Purchase Agreement, which will be filed as an exhibit to Seller's next Quarterly Report on Form 10-Q. Supplemental Indentures: In connection with the Transactions, on September 7, 2025, EchoStar, the guarantors named therein and The Bank of New York Mellon Trust Company, N.A., as trustee and collateral agent, entered into a: (i) Supplemental Indenture to that certain Indenture, dated November 12, 2024 (the "Convertible Notes Indenture"), pursuant to which EchoStar issued the Convertible Notes, (ii) Supplemental Indenture to that certain Indenture, dated November 12, 2024, pursuant to which EchoStar issued the 6.75% Secured Notes and (iii) Supplemental Indenture (together with the Supplemental Indentures referred to in clauses (i) and (ii) above, the "Guarantor Supplemental Indentures" and each a "Guarantor Supplemental Indenture") to that certain Indenture, dated November 12, 2024, pursuant to which EchoStar issued the 10.75% Secured Notes. Each Guarantor Supplemental Indenture provides that Trust will be added as guarantor and a pledgor (and therefore a "Subsidiary" for indenture purposes) under each of the Seller Notes. Additionally, on September 7, 2025, EchoStar entered into a support agreement with holders of a majority of the outstanding principal amount of the Convertible Notes whereby such holders consented to an amendment of the asset sale covenant in Section 4.13 of the Convertible Notes Indenture to expressly permit the Transactions, subject to the cash proceeds of the Transactions being used to redeem in full the 10.75% Secured Notes and the 6.75% Secured Notes, as described in Exhibit 99.2 hereto, which is incorporated by reference. EchoStar expects to enter into a supplemental indenture to the Convertible Notes Indenture to effect such amendments on or before September 30, 2025. The foregoing descriptions of the Guarantor Supplemental Indentures and the Convertible Notes Supplemental Indenture do not purport to be complete and are qualified in their entirety by reference to the Guarantor Supplemental Indentures and the Convertible Notes Supplemental Indenture, which will be filed as an exhibit to EchoStar's next Quarterly Report on Form 10-Q. About EchoStar Corporation EchoStar Corporation (Nasdaq: SATS) -- www.echostar.com -- is a provider of technology, networking services, television entertainment, and connectivity, offering consumer, enterprise, operator, and government solutions worldwide under its EchoStar, Boost Mobile, Boost Infinite, Sling TV, DISH TV, Hughes, HughesNet, HughesON, and JUPITER brands. In Europe, EchoStar operates under its EchoStar Mobile Limited subsidiary, and in Australia, the Company operates as EchoStar Global Australia. * * * In Sept. 2025, S&P Global Ratings placed its 'CCC+' issuer credit rating on Echostar Corp. and all subsidiaries on CreditWatch with positive implications. S&P also placed the issue-level ratings on Echostar and all its subsidiaries' secured and unsecured debt on CreditWatch with positive implications. S&P plans to resolve the CreditWatch following close of the transaction, expected in mid-2026. ECOVYST CATALYST: S&P Places 'BB-' ICR on Watch Pos on Divestiture ------------------------------------------------------------------ S&P Global Ratings placed all its ratings on Ecovyst Catalyst Technologies LLC, including its 'BB-' issuer credit rating, on CreditWatch with positive implications. S&P plans to resolve the CreditWatch when the deal closes, sometime in the next quarter or so. On Sept. 11, 2025, Ecovyst announced an agreement to sell its Advanced Materials & Catalyst (AM&C) segment to Technip Energies for a purchase price of $556 million with net proceeds of $530 million. S&P expects Ecovyst will use proceeds for a combination of mandatory debt repayment, share repurchases, and balance sheet cash, with pro forma S&P Global Ratings-adjusted net debt to EBITDA improving to about 2x from well over 3x on a last-12-months basis. S&P said, "The CreditWatch positive reflects that we could raise our rating one notch. We expect Ecovyst to repay debt following the divestiture of the company's AM&C business, which includes its silica catalyst and catalyst supports business as well as an equity stake in its Zeolyst International joint venture with Shell, using the net proceeds of $530 million. On a last-12-months basis, funds from operations (FFO) to debt stood at about 20% and we forecast it will end the year in the low-20% area on a pre-transaction basis. AM&C accounted for about 27% of last-12-months segment EBITDA, however expected net proceeds will be more than 60% of the company's balance sheet debt. Thus, initially following the transaction, we expect credit metrics will improve materially. We forecast FFO to debt will rise above 30% (our current upside trigger), due to both mandatory debt repayment required under the credit agreement and a substantial increase in balance sheet cash. "Management has stated that it expects pro forma debt to EBITDA on a company-adjusted basis will be below 1.5x, stronger than Ecovyst's stated net 2x-2.5x net leverage target. We believe leverage will increase over time as it uses balance sheet cash for share repurchases (under its current $200 million authorization) and for bolt-on mergers and acquisitions. However, given its expected capital structure, Ecovyst should remain above our upgrade threshold of 30% FFO to debt." The divestiture reduces scale and diversification for the business. The silica catalyst and Zeolyst businesses together accounted for about $70 million of Ecovyst's $257 million of segment EBITDA over the last 12 months, but provided incremental diversification and scale to a business that is already smaller and less diversified from an end-market and geographic perspective than other 'BB' rating category peers such as Avient Corp. or Element Solutions Inc. AM&C's exposure to end markets such as polyethylene production and renewable fuels also provided structural growth opportunities versus the more mature Ecoservices business. Both AM&C businesses were also highly profitable and cash generative, with historical segment EBITDA margins in excess of 30%. Pro forma for the divestiture, Ecovyst will become primarily a supplier of virgin sulfuric acid and regeneration services. Virgin sulfuric acid contracts are typically 3 years while regeneration services sales are made under long-term contracts (generally 3-8 years) with refining customers. Contracts allow for the direct pass-through of sulfur and freight costs, and contain favorable features, including take-or-pay arrangements, capacity reservation fees, or quarterly price adjustments (covering more than 90% of Ecoservices sales) that should continue to support S&P Global Ratings-adjusted EBITDA margins in the low- to mid-30% area. Ecoservices facilities are strategically located near certain customers, concentrated in California and along the U.S. Gulf Coast. Its assets and dedicated transportation and logistics infrastructure provide a key cost advantage and material barriers to entry for potential competitors. This geographic and customer concentration also leaves the company's operations vulnerable to the loss of key customers, or operational outages from natural disasters or refinery outages, particularly from hurricanes or winter storms along the Gulf Coast. Historically, Ecovyst has retained key customers, however, 10 customers account for approximately 60% of revenues. Its assets are often configured to serve certain specific facilities. The loss of large refining customers could significantly reduce both demand for sulfuric acid regeneration and the supply of key raw materials for the production of sulfuric acid (sulfur). S&P said, "We plan to resolve the CreditWatch when the divestiture closes (expected in the first quarter of 2026). We will review the terms, Ecovyst's financial policies and debt reduction plans, and changes to capital allocation. We will also consider the business risks of the new entity, including its reduced scale and diversification. If we raise our issuer credit rating, we believe it would be limited to one notch." EISNER ADVISORY: Fitch Affirms & Then Withdraws 'B' IDR ------------------------------------------------------- Fitch Ratings has affirmed Eisner Advisory Group, LLC's (Eisner) Long-Term Issuer Default Rating (IDR) of 'B'. The Rating Outlook is Stable. Fitch has also affirmed the company's senior secured debt at 'B+' with a Recovery Rating of 'RR3'. Fitch has subsequently withdrawn all ratings and will no longer provide rating or analytical coverage on Eisner. Fitch has withdrawn the ratings on Eisner due to commercial reasons. Key Rating Drivers Higher-Risk Acquisition-Driven Growth: Fitch expects Eisner to continue to actively pursue acquisitions as a key part of its strategy to enhance its market position and grow earnings. The company completed multiple acquisitions since its 2021 LBO primarily funded by debt, which contributed to high leverage. Despite rapid growth, acquisition and integration costs, and business optimization initiatives aimed at efficiencies and synergies, combined with high interest rates, have reduced cash flows. This underscores the strategy's financial and execution risks. Leverage Within Prior Sensitivities: Eisner's profitability and cash flow have improved. Fitch now expects EBITDA leverage to be in the 5.5x to 6.0x range in fiscal 2025 compared with pro forma leverage of 6.5x in fiscal 2024. Fitch expects cash flow-based leverage, defined as (CFO - capex)/debt excluding restructuring and integration costs, to be above 2% in fiscal 2025, after negative levels in fiscal 2024 and fiscal 2023. Fitch expects Eisner's private equity owners to prioritize growth and return on equity (ROE) optimization over debt reduction. Fitch, therefore, assumes EBITDA leverage will remain in the 5.0x to 6.0x range. Middle Market Positioning: Eisner is adequately positioned within the 'B' category, reflecting its competitive capabilities, market presence, and scale. The company ranks among the top 20 public accounting firms, according to industry estimates. It operates within the mid-tier accounting services market, which is highly fragmented compared to the upper-tier market dominated by the Big Four accounting firms. Highly Recurring Revenue Model: Eisner's credit profile benefits from highly recurring revenue streams, driven by strong customer retention in the assurance and tax businesses, which together represent a significant portion of the company's revenues. Client retention is aided by cross-selling across multiple business lines, leading to deeper customer relationships. Diversified Business Lines and Client Base: Eisner serves over 45,000 customers, with the top 10 customers comprising less than 10% of overall revenues. The company also has multiple business lines across audit, tax, and advisory services. The largest sector, financial services, constitutes less than 30% of total revenues, with other clients spread across diverse end-markets. Relatively Inelastic Demand for Services: The firm's audit and tax services are typically non-discretionary due to the critical role of audited financials and tax filings. This minimizes the risk of significant disruptions from economic cycles. While demand for advisory services is more volatile than demand for tax and audit services, Fitch expects advisory services to remain a relatively small share of overall revenues. Peer Analysis Eisner is well-positioned compared with peers in the middle market for accounting services in terms of service breath and market position but carries more leverage than some of the companies Fitch follows in the sector. The company compares less favorably with the Big Four accounting firms, which have higher scale advantages. Eisner also has a significant debt load due to its LBO and recent acquisitions. Fitch assesses Eisner relative to other companies in the business services sector. VT Topco (Veritext; B/Stable) operates in the similarly stable and fragmented court reporting industry. Both firms have high retention rates and private equity ownership. Veritext generates solid FCF, with its rating reflecting deleveraging capacity, though shareholder returns may limit its actual deleveraging. The insurance brokerage industry shares stability and fragmentation characteristics with the accounting services industry. Firms like Canadian firm Navacord Intermediate Holdings, Inc. (B/Stable) similarly pursue debt-funded M&A roll-up strategies. Insurance brokers typically have higher EBITDA margins above 30%, compared with accounting industry firms in the mid-teens area. However, insurance brokers within the 'B' rating category have also operated with higher leverage. Key Assumptions - Organic revenue growth of mid-single digits; - Fitch-adjusted EBITDA margins of around 14%; - Acquisition strategy is primarily debt-funded; - Operating cash costs other than interest, working capital and taxes do not exceed $40 million per year; - Capex around 1% of revenues. Recovery Analysis Fitch's recovery analysis assumes the company will be reorganized as a going concern (GC) in the event of bankruptcy rather than liquidated. This analysis considers a decline in EBITDA to reflect the stress leading up to the bankruptcy, as well as corrective actions taken prior to emerging from bankruptcy. The GC analysis contemplates a scenario where a high-profile audit mistake causes clients to leave, leading to significant revenue decline. To determine a GC EBITDA, Fitch assumes ongoing partner or client defections, leading to a substantial loss of revenue of around 20%. The estimated GC EBITDA of $130 million is significantly lower than the pro forma EBITDA when considering completed acquisitions. The recovery multiple of 6.0x considers several factors, including the stable recurring revenue characteristic of the accounting business and Eisner's favorable positioning in the fragmented mid-tier market for accounting services, while also acknowledging the low growth nature of the accounting industry. At the time of default, the company's debt balance is estimated to be close to $1.2 billion, consisting of pari passu senior secured debt. Fitch assumes a fully drawn revolver of $130 million and a fully drawn delayed-draw term loan (DDTL) used for M&A. With a 6.0x emergence multiple, $130 million in GC EBITDA and 10% allocated for administrative claims, the recovery rate for the secured debt falls within the 'RR3' range, resulting in a one-notch uplift to the debt rating from the IDR. RATING SENSITIVITIES Rating sensitivities are no longer relevant as the ratings have been withdrawn. Liquidity and Debt Structure Eisner's liquidity is adequate, comprising of cash on hand, $125 million of revolver availability, and $75 million of DDTL availability as of April 2025. The company has no meaningful near-term maturities. Depending on the pace of debt-funded acquisitions, FCF margin could come under pressure. Fitch currently forecasts FCF-to-revenue in the positive low-single digits. For Fitch's cash flow and EBITDA metrics, partner distributions are treated as operating outflows. Eisner's debt consists of a first lien senior secured credit facility made up of a $984 million term loan B and a $75 million DDTL, both maturing in February 2031, and a secured RCF maturing in February 2029. Issuer Profile Eisner Advisory Group is a middle-market U.S. professional services firm with a national platform and global presence. The company has a full suite of accounting, tax, and advisory services, with more than 45,000 clients across multiple industries. Summary of Financial Adjustments Fitch treats partner distributions as operating items when calculating cash flow from operations and EBITDA. 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 ----------- ------ -------- ----- Eisner Advisory Group, LLC LT IDR B Affirmed B LT IDR WD Withdrawn senior secured LT B+ Affirmed RR3 B+ senior secured LT WD Withdrawn ELDER'S GRINDING: Claims to be Paid from Continued Operations ------------------------------------------------------------- Elder's Grinding & Recycling, Inc. filed with the U.S. Bankruptcy Court for the Western District of North Carolina an Amended Plan of Reorganization dated September 9, 2025. The Debtor is a North Carolina corporation operating as a wholesale landscape supply manufacturer and mobile grinding contractor in Marshville, North Carolina. It was organized on or about November 13, 2021 by Mat Rodriguez as 100% shareholder. The Debtor provides mobile grinding services to land clearing jobs and recycles material from a local landfill to turn it into a viable product for landscape supply yards. Rodriguez is the only current worker and the Debtor's sole member and manager. The Debtor's financial situation began deteriorating in spring of 2024 when a few customers failed to pay invoices in a timely manner, and the Debtor experienced significant mechanical breakdowns on a few main pieces of equipment, which slowed cashflow during repair. Debtor obtained a Merchant Cash Advance ("MCA") from Lendr.online, LLC to assist with these expenses, but the payments to Lendr quickly became greater than the Debtor could afford and were due on a daily and then weekly basis. Class 2 consists of the Allowed General Unsecured Claims including but not limited to Laura E. Rodriguez, B&B Oil Company, Inc., Truist Bank, and Lendr. Allowed General Unsecured Creditors shall be paid a Pro Rata share of the liquidation value of the Reorganized Debtor's estate totaling $28,799.71 as follows: (1) from funds received from the sale of the Grinder under Section 3.1.2; if said funds are in an amount less than $28,799.71, then (2) pro-rata payments totaling being made on or before June 30 of 2026, 2027, 2028, 2029, and 2030. Class 2 is impaired by the Amended Plan. Class 3 consists of consists of the Equity Interests in the Debtor. All Equity Interests held prior to the Petition Date shall be retained. Class 3 is not impaired by the Amended Plan. The Amended Plan contemplates that distributions will be funded by revenues generated during the Debtor's post-petition operations and the Reorganized Debtor's future revenue. Additionally, if necessary, the Debtor may choose to sell unencumbered pieces of equipment to generate cash. A full-text copy of the Amended Plan dated September 9, 2025 is available at https://urlcurt.com/u?l=gxU2Cf from PacerMonitor.com at no charge. Counsel to the Debtor: Kristen Scott Nardone, Esq. Nardone Law, PLLC 241 Church St. NE Concord, NC 28025 Tel: (704) 784-9440 Fax: (980) 781-5867 E-mail: kristen@nardonelawfirm.com E-mail: kristen@davisnardone.com About Elder's Grinding & Recycling Elder's Grinding & Recycling, Inc., is a North Carolina corporation operating as a wholesale landscape supply manufacturer and mobile grinding contractor in Marshville, North Carolina. The Debtor filed a Chapter 11 bankruptcy petition (Bankr. W.D.N.C. Case No. 25-30366) on April 15, 2025. The Debtor tapped Nardone Law Firm, PLLC as bankruptcy counsel. ELETSON HOLDINGS: 2nd Circ. Won’t Stop Doc Handover in Shipping Row --------------------------------------------------------------------- Emily Sawicki of Law360 reports that on Sept. 17, 2025, the Second Circuit rejected Reed Smith LLP's emergency bid to block the transfer of client files tied to its former representation of Greece-based Eletson Holdings before the company's October 2024 reorganization but sent the stay request to a three-judge panel for review. About Eletson Holdings Eletson Holdings Inc. is a family-owned international shipping company, which touts itself as having a global presence with headquarters in Piraeus, Greece as well as offices in Stamford, Connecticut, and London. At one time, Eletson claimed to own and operate one of the world's largest fleets of medium and long-range product tankers and boasted a fleet consisting of 17 double hull tankers with a combined capacity of 1,366,497 dwt, 5 LPG/NH3 carriers with a combined capacity of 174,730 cbm and 9 LEG carriers with capacity of 108,000 cbm. Eletson Holdings, a Liberian company, is Eletson's ultimate parent company and is the direct parent and owner of 100% of the equity interests in the two other debtors, Eletson Finance (US) LLC, and Agathonissos Finance LLC. Eletson and its two affiliates were subject to involuntary Chapter 7 bankruptcy petitions (Bankr. S.D.N.Y. Case No. 23-10322) filed on March 7, 2023 by creditors Pach Shemen LLC, VR Global Partners,L.P. and Alpine Partners (BVI), L.P. The petitioning creditors are represented by Kyle J. Ortiz, Esq., at Togut, Segal & Segal, LLP. On Sept. 25, 2023, the Chapter 7 cases were converted to Chapter 11 cases. The Honorable John P. Mastando, III is the case judge. Lawyers at Reed Smith represent the Debtors as bankruptcy counsel. Riveron RTS served as the Debtors' Domestic Financial Advisor; Harold Furchtgott-Roth as Economic Expert; and Kurtzman Carson as Voting Agent. The U.S. Trustee for Region 2 appointed an official committee of unsecured creditors. The committee tapped Dechert, LLP as its legal counsel and FTI Consulting as the Committee's financial advisors. ELMWOOD VENTURES: Court Favors Chapter 7 Conversion over Dismissal ------------------------------------------------------------------ Chief Judge Martin Glenn of the United States Bankruptcy Court for the Southern District of New York denied Elmwood Ventures, LLC's motion to dismiss its Chapter 11 bankruptcy case. The Small Business Administration's cross-motion to convert the case to one under Chapter 7 is granted. On Sept. 8, 2020, the Debtor executed a Note and other loan documents with respect to a COVID-19 Economic Injury Disaster Loan from the SBA in the principal amount of $150,000, which accrues interest at 3.75% per annum with a 30-year repayment term. The EIDL program provides a 30-month payment deferment period from the date of the original note, during which time interest accrues. On May 6, 2025, the Debtor filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code as a small business debtor under Subchapter V of the Bankruptcy Code. Salvatore LaMonica was appointed the subchapter V trustee. The Debtor sought immediate relief because of significant back rent owed to its landlord, as well as debts owed to general creditors. On June 3, 2025, the SBA filed a proof of claim arising from Debtor's failure to repay the EIDL. The SBA Claim asserts a secured claim of $160,832.24, consisting of $150,000.00 in principal and $10,832.24 in interest as of the Petition Date. The Debtor's income and profit post-petition has been less than expected and the Debtor no longer believes it will be able to confirm a plan of reorganization as anticipated. The Debtor seeks dismissal rather than conversion so that the business can stay in operation for its employees, while it winds down operations. The SBA, however, believes conversion is in the best interests of creditors. The SBA points to the Debtor's list of significant assets on its filed schedules that could be liquidated by a Chapter 7 trustee for the benefit of creditors, including: -- bank accounts containing funds totaling approximately $34,923.69, -- food and liquor inventory totaling approximately $72,000, -- furniture and leasehold improvements totaling approximately $5,991,793, -- machinery and equipment totaling approximately $231,865, and -- a 16-foot glass Buddha statue valued at approximately $135,000. According to the SBA, a sale of the Buddha statue, to which SBA's lien attaches -- again according to the SBA -- would provide enough funds to cover approximately 90% of the SBA's secured claims. The SBA claims that an orderly liquidation under the supervision of a Chapter 7 trustee would provide an opportunity for negotiated sales of these assets at better prices than might be obtainable outside of bankruptcy. Moreover, since the business is not viable, liquidation is inevitable and conversion to a case under Chapter 7 would not harm the estate. The SBA argues the Debtor's stated reason for dismissal -- so that the business can stay in operation for its employees -- "only delays the inevitable and inappropriately benefits Debtor's employees at the expense of creditors by permitting Debtor to drain its bank accounts and diminish the value of its collateral indefinitely." Judge Glenn holds, "Conversion, rather than dismissal, is the best approach in this case, since the Debtor 'has potentially valuable assets to administer in the estate.' Moreover, an orderly liquidation, rather than a rush to the courthouse -- which would be the result with dismissal -- would best be accomplished by converting the case to a case under Chapter 7." A copy of the Court's Memorandum Opinion & Order dated September 10, 2025, is available at https://urlcurt.com/u?l=pFTSkr from PacerMonitor.com. About Elmwood Ventures LLC Elmwood Ventures, LLC, doing business as Buddha-Bar New York, operates a modern Asian fusion restaurant located at 62 Thomas Street in the Tribeca neighborhood of Manhattan. The venue features a two-story dining space with a prominent 16-foot Buddha sculpture and offers dinner service from Wednesday to Sunday. Elmwood Ventures sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 25-10932) on May 6, 2025. In its petition, the Debtor reported between $1 million and $10 million in both assets and liabilities. Judge Martin Glenn handles the case. The Debtors are represented by Lawrence Morrison, Esq., at Morrison Tenenbaum, PLLC. ESSAR STEEL: Bid to Unseal Docs in Cliffs Case Granted in Part -------------------------------------------------------------- Judge Craig T. Goldblatt of the United States Bankruptcy Court for the District of Delaware granted in part and denied in part Mesabi Metallics Company LLC's motion to unseal certain documents in the adversary proceeding captioned as MESABI METALLICS COMPANY LLC, Plaintiff, v. CLEVELAND-CLIFFS, INC., et al., Defendants, Adv. Proc. No. 17-51210 (Bankr. D. Del.). Mesabi, the reorganized debtor in this bankruptcy case, has been working for more than a decade to develop an iron ore mine in northern Minnesota. It contends that a leading iron ore manufacturer, Cleveland-Cliffs, has been interfering with its efforts, in violation of federal antitrust laws, in order to stymie competition in the market. The parties have been engaged in a protracted litigation battle over many years, in bankruptcy court, in Minnesota state regulatory proceedings, and in the Minnesota state courts. The District Court for the District of Delaware has now withdrawn the reference over the antitrust case that had been proceeding in the Bankruptcy Court and has entered an order setting that matter for a 10-day jury trial beginning on May 5, 2027. Back when the antitrust case was before the Bankruptcy Court, Mesabi moved for a preliminary injunction to prevent Cliffs from leasing certain parcels of land (that Mesabi argued were important to its own project) from the state of Minnesota. The Court denied that motion. Later, Mesabi moved to unseal certain of the documents it had attached to its preliminary injunction motion, citing the public's right to access judicial records. The documents it sought to unseal were ones that it obtained in discovery under a protective order that permitted them to be used only for purposes of the litigation -- not in other courts, not in state regulatory proceedings, and not as part of a public relations campaign in the parties' ongoing skirmishes over the Mesabi project. The Court held an evidentiary hearing on the disputed documents on Aug. 11, 2025. The Court concludes that with respect to most of the documents that Cliffs seeks to maintain under seal, it has met its burden, under the Third Circuit's standard, of showing that the disclosure of those documents would impose on it a substantial risk of competitive injury. There are certain documents (or portions thereof), however, as to which Cliffs has not met its burden and that should be unsealed. Specifically, the Court finds that 10 of the 11 documents and 3 of the 5 deposition excerpts contain Sec. 107(b)(1) commercial confidential information and denies, in relevant part, Mesabi's motion to unseal those documents and deposition excerpts. The rest should be unsealed. A copy of the Court's Memorandum Opinion dated September 4, 2025, is available at https://urlcurt.com/u?l=yU7flT from PacerMonitor.com. About Essar Steel Minnesota Essar Steel Minnesota LLC, now known as Mesabi Metallics Company LLC, and ESML Holdings Inc. filed for Chapter 11 bankruptcy protection (Bankr. D. Del. Case Nos. 16-11627 and 16-11626) on July 8, 2016. Madhu Vuppuluri, president and CEO, signed the petitions. ESML Holdings Inc. estimated assets at $1 billion to $10 billion and debt at $500 million to $1 billion. Essar Steel Minnesota LLC estimated assets and debt at $1 billion to $10 billion. Judge Brendan Linehan Shannon presided over the bankruptcy cases. Lawyers at White & Case LLP and Fox Rothschild LLP served as counsel to the Debtors. Epic Bankruptcy Solutions, LLC, served as claims and noticing agent. Andrew Vara, acting U.S. trustee for Region 3, on July 20, 2016, appointed the official committee of unsecured creditors of ESML Holdings, Inc., and its affiliates. The Committee retained Kasowitz Benson Torres & Friedman LLP, to act as counsel. Hogan McDaniel served as Delaware counsel and Zolfo Cooper, LLC, served as the Committee's financial advisor. * * * In June 2017, the Bankruptcy Court approved the Chapter 11 exit plan that, according to the Duluth News Tribune, would allow the stalled Essar Steel Minnesota taconite mine and pellet plant to proceed to completion. Duluth News Tribune said the plan allows Chippewa Capital Partners to take control of the project, partially payback more than $1 billion in claims and resume construction, with an eye to beginning production by early 2020. EVOKE PHARMA: Morgan Stanley Entities Hold 10.5% Stake ------------------------------------------------------ Morgan Stanley and Morgan Stanley Smith Barney LLC, disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of August 31, 2025, they beneficially own 163,718 shares of Evoke Pharma Inc.'s common stock, representing 10.5% of the outstanding class. The shares are held with shared dispositive power and no sole voting or dispositive power was reported. Morgan Stanley may be reached through: Christopher O'Hara, Authorized Signatory 1585 Broadway New York, N.Y. 10036 Tel: 212-761-4000 Morgan Stanley Smith Barney LLC may be reached through: David Galasso, Authorized Signatory 1585 Broadway New York, N.Y. 10036 A full-text copy of Morgan Stanley's SEC report is available at: https://tinyurl.com/mu9hksx3 About Evoke Pharma Headquartered in Solana Beach, California, Evoke Pharma Inc. -- www.EvokePharma.com -- is a specialty pharmaceutical company focused primarily on the development of drugs to treat GI disorders and diseases. The Company developed, commercialized and markets GIMOTI, a nasal spray formulation of metoclopramide, for the relief of symptoms associated with acute and recurrent diabetic gastroparesis in adults. Diabetic gastroparesis is a GI disorder affecting millions of patients worldwide, in which the stomach takes too long to empty its contents resulting in serious GI symptoms as well as other systemic complications. The gastric delay caused by gastroparesis can compromise absorption of orally administered medications. Prior to FDA approval to commercially market GIMOTI, metoclopramide was only available in oral and injectable formulations and remains the only drug currently approved in the United States to treat gastroparesis. San Diego, California-based BDO USA, P.C., the Company's auditor since 2014, issued a "going concern" qualification in its report dated March 13, 2025. The report cited that the Company has experienced continuous losses and negative operating cash flows since its inception, anticipates ongoing losses in the foreseeable future, and Eversana Life Science Services, LLC holds the authority to end the commercial services agreement for the marketing of Gimoti. These factors raise substantial doubt about the Company's ability to continue as a going concern. As of Dec. 31, 2024, Evoke Pharma had $17.52 million in total assets, $10.48 million in total liabilities, and $7.04 million in total stockholders' equity. FELTRIM BALMORAL: Court Oks Florida Properties Sale to Bellavista D ------------------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division, has permitted Feltrim Balmoral Estates and its affiliates, The Enclave at Balmoral LLC, Balmoral Estates LP, along with Applicable Debtor, The Enclave at Balmoral LLC, to sell Property, free and clear of liens, claims, interests, and encumbrances. The Enclave owns several parcels of real estate which the buyer proposes to develop into Parcel 1 - senior living apartments and cottages (former soccer field), Parcel 2 - senior living units (6 vacant platted lots) and Parcel 3 - vacant land. The Real Property is not currently income producing. For additional visualization of the Real Property, a sample video of the complex can be found accessing the following link: https://www.youtube.com/watch?v=BH2f9wK7NbQ and sample video of a representative home can be found accessing the following link: https://www.youtube.com/watch?v=BH2f9wK7NbQ The relief granted is in the best interests of the Debtor, its estate and creditors, and other parties in interest. Accordingly, based upon the foregoing findings of fact and conclusions of law, the Court concludes, decrees, finds and orders as follows: Process is Ratified. The Process utilized by the Debtor with respect to the Sale is ratified and was appropriately conducted by the Debtor under the circumstances in order to maximize the value obtained from the Sale for the benefit of the estate. Objections Overruled. All objections or responses to the Sale Motion, to the extent they exist, or the relief requested that have not been withdrawn, waived, sustained, resolved, settled, or otherwise addressed by the Sale Order and all reservations of rights included are expressly overruled on the merits and denied with prejudice. The Sale Motion, including the modified Purchase Price of $4,270,000.00 to Bellavista Development Group, LLC, is granted. Each of the Debtor and the Purchaser are authorized and directed to take any and all actions necessary or appropriate to (i) consummate the sale contemplated by the Puchase Sale Agreement, including the modified Purchase Price of $4,270,000.00, and (ii) execute, perform, consummate, implement and fully close on the Sale. At the closing of the Sale, the net sale proceeds are to be distributed consistent with the Sale Order. About Feltrim Balmoral Estates Feltrim Balmoral Estates, LLC owns a clubhouse located at 124 Kenny Blvd., Haines City, Fla., having a fair value of $3 million. Feltrim Balmoral Estates and its affiliates filed their voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-02122) on April 17, 2024. The case is Jointly administered in Case No. 24-02122. In the petitions signed by Garrett Kenny, owner and manager, Feltrim Balmoral Estates disclosed $4,657,697 in assets and $16,239,519 in liabilities; The Enclave At Balmoral, LLC disclosed $5,091,844 in assets and $10,565,256 in liabilities; and Balmoral Estates, LP listed $14,327,306 in assets and $25,909,466 in liabilities. Judge Catherine Peek McEwen oversees the case. Alberto F. Gomez Jr., Esq., at Johnson Pope Bokor Ruppel & Burns LLP, is the Debtors' counsel. FIVE POINT: S&P Rates Proposed $450MM Senior Unsecured Notes 'B+' ----------------------------------------------------------------- S&P Global Ratings assigned its 'B+' issue-level rating and '2' recovery rating to Five Point Holdings LLC's proposed $450 million senior unsecured notes due 2030. The '2' recovery rating indicates its expectation of substantial (70%-90%; rounded estimate: 85%) recovery in the event of a default. Five Point Holdings LLC intends to use the proceeds from this offering, together with cash on hand, to redeem its 2028 notes. The proposed notes will be senior unsecured obligations considered pari passu to its other unsecured debt obligations. S&P said, "Our 'B' issuer credit rating and stable outlook on Five Point Holdings, LLC remain unchanged. We view the refinancing positively because it is deleveraging in nature as the company plans to use $75 million of cash to pay down debt. Additionally, we believe this further supports interest coverage ratios as it mitigates the interest rate escalation on the existing notes and extends its maturity." FREE SPEECH: Jones Denied $10 Bond to Avoid $50MM Texas Judgment ---------------------------------------------------------------- Ryan Autullo of Bloomberg Law reports that a Texas judge has refused Alex Jones' bid to post a $10 bond to avoid paying a $50 million defamation judgment tied to his false claims about the Sandy Hook Elementary School shooting. Judge Maya Guerra Gamble ruled Tuesday, September 16, 2025, that Jones' declaration of negative net worth was not credible, pushing the case closer to the appointment of a receiver to collect on behalf of the victims' families. The ruling follows earlier developments in related Sandy Hook litigation. In August, Guerra Gamble approved the appointment of a receiver in connection with a $1.3 billion Connecticut judgment, which Jones has appealed and temporarily stalled. She also pointed to a February 2025 bankruptcy decision voiding the transfer of Free Speech Systems LLC's assets to a trustee, reinforcing her finding that Jones' company retains significant value. Plaintiffs' attorney Mark Bankston pressed the judge to sanction Jones' legal team, accusing them of misrepresenting the impact of the bankruptcy order and submitting a false declaration about company finances. While Guerra Gamble declined to issue sanctions, she delivered a sharp rebuke, describing the conduct of Jones and his attorneys over the years as "absolutely disgraceful to the profession," according to Bloomberg Law. The dispute hinges on whether Free Speech Systems' assets remain under bankruptcy control or are subject to state court collection. Guerra Gamble said the record shows the bankruptcy court intended for collections to move forward in Texas. Jones continues to appeal both the Texas and Connecticut judgments, with a state appeals court considering a reduction of the Texas award and the Connecticut case pending before the U.S. Supreme Court, the report states. About Free Speech Systems Free Speech Systems LLC is a broadcast media production and distribution company that provides broadcasting aural programs by radio to the public. Free Speech Systems is a family-run business founded by Alex Jones. FSS is presently engaged in the business of producing and syndicating Jones' radio and video talk shows and selling products targeted to Jones' loyal fan base via the Internet. Today, FSS produces Alex Jones' syndicated news/talk show (The Alex Jones Show) from Austin, Texas, which airs via the Genesis Communications Network on over 100 radio stations across the United States and via the internet through websites including Infowars.com. Due to the content of Alex Jones' shows, Jones and FSS have faced an all-out ban of Infowars from mainstream online spaces. Shunning from financial institutions and banning Jones and FSS from major tech companies began in 2018. Conspiracy theorist Alex Jones has been sued by victims' family members over Jones' lies that the 2012 Sandy Hook Elementary School shooting was a hoax. Jones' InfoW LLC and affiliates, IWHealth, LLC and Prison Planet TV, LLC, filed petitions under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 22-60020) on April 18, 2022. GAFI MIAMI: Voluntary Chapter 11 Case Summary --------------------------------------------- Debtor: Gafi Miami LLC 47 West 28th Street New York, NY 10001 Business Description: The Debtor holds a 50% membership interest in Miami Worldwide Exchange LLC, which owns a ten-story mixed-use retail and office property at 1 NE 1st Street, Miami, Florida. The development comprises four retail floors and six office floors, primarily serving jewelry tenants. Chapter 11 Petition Date: September 16, 2025 Court: United States Bankruptcy Court Southern District of New York Case No.: 25-12010 Judge: Hon. Martin Glenn Debtor's Counsel: Ted Donovan, Esq. GOLDBERG WEPRIN FINKEL GOLDSTEIN LLP 125 Park Ave New York, NY 10017-5690 Tel: (212) 301-6943 E-mail: tdonovan@gwfglaw.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $1 million to $10 million The petition was signed by Ellie Deutsch as 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/WW7P5IA/Gafi_Miami_LLC__nysbke-25-12010__0001.0.pdf?mcid=tGE4TAMA GCAT 2025-NQM5: S&P Assigns Prelim B (sf) Rating on Cl. B-2 Certs ----------------------------------------------------------------- S&P Global Ratings assigned its preliminary ratings to GCAT 2025-NQM5 Trust's mortgage pass-through certificates. The certificate issuance is an RMBS securitization backed by first-lien, fixed- and adjustable-rate residential mortgage loans, including mortgage loans with initial interest-only periods, to prime and nonprime borrowers. The loans are secured by single-family residential properties, planned-unit developments, townhouses, condominiums, a cooperative, and two- to four-family residential properties. The pool has 612 loans, which are either qualified mortgage (QM)/non-higher-priced mortgage loans (HPML) (average prime offer rate), QM/HPML, non-QM/ability-to-repay (ATR) compliant, or ATR exempt. The preliminary ratings are based on information as of Sept. 16, 2025. Subsequent information may result in the assignment of final ratings that differ from the preliminary ratings. The preliminary ratings reflect S&P's view of: -- The pool's collateral composition; -- The transaction's credit enhancement, associated structural mechanics, geographic concentration, and representation and warranty framework; -- The mortgage aggregator, Blue River Mortgage VI LLC; the transaction-specific review on the mortgage originator, Arc Home LLC; and any S&P Global Ratings-reviewed mortgage originators; and -- S&P's economic outlook, which considers its current projections for U.S. economic growth, unemployment rates, and interest rates, as well as its view of housing fundamentals, and is updated, if necessary, when these projections change materially. Preliminary Ratings Assigned(i) GCAT 2025-NQM5 Trust Class A-1A(ii), $252,217,000: AAA (sf) Class A-1B(ii), $36,580,000: AAA (sf) Class A-1(ii), $288,797,000: AAA (sf) Class A-2, $15,912,000: AA (sf) Class A-3, $36,580,000: A (sf) Class M-1, $12,620,000: BBB- (sf) Class B-1, $4,573,000: BB (sf) Class B-2, $4,389,000: B (sf) Class B-3, $2,926,978: NR Class A-IO-S, notional(iii): NR Class X, notional(iii): NR Class R, not applicable: NR (i)The preliminary ratings address our expectation for the ultimate payment of interest and principal. (ii)Initial exchangeable certificates can be exchanged for the exchangeable certificates, and vice versa. The class A-1 certificates are entitled to receive a proportionate share of all payments otherwise payable to the initial exchangeable certificates. (iii)The notional amount equals the aggregate stated principal balance of the loans. NR--Not rated. GILDED GATHERINGS: Unsecureds Will Get 82.87% over 3 Years ---------------------------------------------------------- Gilded Gatherings, LLC filed with the U.S. Bankruptcy Court for the District of Arizona a Plan of Reorganization under Subchapter V dated September 8, 2025. The Debtor is a licensed and insured caterer located in Mesa, Arizona. Although the Gilded Gatherings name has been around for nearly fifteen years at the helm of Debtor's principal, Shellie Bowers, the LLC was formed in August of 2019. Gilded currently works with nine event planners and seven event venues, and regularly receives referrals from all of them. Although May, June, and July are the slowest months of Gilded's seasonal business, business operations are picking up and Ms. Bowers is committed to this reorganization. Gilded currently has more than 45 events booked through the end of this year, which will generate gross revenue of approximately $300,000.00. The Debtor's Plan of Reorganization under Chapter 11 proposes to pay certain claims in full on or before the Effective Date, and to distribute funds to creditors from profit generated by future business operations. This Plan provides for: * Payment to administrative and priority creditors in full; * Treatment of six disputed secured claims as unsecured, with the exception of $950.00 to the first-position lien holder (see Class 1) and in Debtor's contemporaneous filings), consistent with § 552 which precludes attachment of their purported security interests to post-petition assets; * Payment to General Unsecured Creditors holding allowed claims: the pro rata share of Disposable Income over a three year period, after payment in full of allowed priority claims and payment to all eligible and allowed General Unsecured Claims who Opt-In to Class 7-B; * A Convenience Class in which General Unsecured Creditors holding small claims may "Opt-In" for prompt but reduced payment. Non-priority, unsecured creditors holding allowed claims of $5,500.00 or less are eligible to "opt-in" to receive 65% of the allowed claim within approximately ninety days after the Effective Date. * The Debtor's owner to retain ownership and continue operating the business. The Debtor anticipates that net profit generated in the three years following the Effective Date will be sufficient to pay unsecured creditors 82.87% of their allowed claims. Class 7-A consists of General Unsecured Claims. The Debtor expects this Class will also include the Claims in Classes 1 through 6 (with the exception of $950.00, as outlined in Class 1), subject to Court determination of Debtor's Objections to Proofs of Claim and Motions to Determine Secured Status. Holders of allowed Class 7-A Non-Priority, General Unsecured Claims shall be paid their pro rata share of funds placed into the Plan Account in the prior quarter. Distributions to Class 7-A creditors shall begin after all administrative expenses, priority tax claims, and Class 7-B Opt-In Claims (if any) are paid in full, which Debtor anticipates will be no later than October 31, 2026. This Class will receive a distribution of 82.87% of their allowed claims. This Class is impaired. Class 7-B consists of General Unsecured Claims (Convenience Class Opt-In). Class 7-B is available only to unsecured creditors holding allowed (non-priority) unsecured claims of $1,300.00 or less. If eligible, unsecured creditors may "opt-in" (via election on their Ballot) to Class 7-B for a prompt but reduced payment (65% of the allowed claim, mailed no later than ninety days days after the Effective Date), in full satisfaction of any claims against the Debtor and co-liable parties (if any). The Debtor anticipates creditors in this Class will be paid no later than April 30, 2026. This Class will receive a distribution of 65% of their allowed claims. Class 8 consists of Equity Interests. The Debtor's principal, Ms. Bowers, shall retain her interest in the Debtor and shall provide her ongoing services and expertise to ensure the Debtor is able to continue operating and make the payments required under the Plan. Ms. Bowers shall not receive any distribution on account of her interests until after all distributions are made. The Debtor will fund the Plan from ongoing business operations. The Debtor will soon establish a Plan Account for the management of net profits for distribution to creditors pursuant to this Plan (once Confirmed). The Debtor shall contribute its actual Disposable Income to the Plan Account on a monthly basis. A full-text copy of the Plan of Reorganization dated September 8, 2025 is available at https://urlcurt.com/u?l=Y5oQQ6 from PacerMonitor.com at no charge. Counsel to the Debtor: James F. Kahn, Esq. Krystal M. Ahart, Esq. KAHN & AHART, PLLC BANKRUPTCY LEGAL CENTER 301 E. Bethany Home Rd., Suite C-195 Phoenix, AZ 85012-1266 Phone: 602-266-1717 Fax: 602-266-2484 Email: James.Kahn@azbk.biz Email: Krystal.Ahart@azbk.biz About Gilded Gatherings Gilded Gatherings, LLC, is a licensed and insured caterer located in Mesa, Arizona. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 25-05257) on June 10, 2025, listing up to $50,000 in assets and between $100,001 and $500,000 in liabilities. James F. Kahn, Esq., at Kahn & Ahart, PLLC, is the Debtor's legal counsel. GLOBAL TECHNOLOGIES: Hires Qi CPA as Independent Auditor -------------------------------------------------------- Global Technologies, Ltd. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that effective September 5, 2025, the Company engaged Qi CPA, LLC as its independent registered public accounting firm to audit the Company's financial statements for the fiscal years ended June 30, 2025 and June 30, 2024, and to review the Company's interim financial information for the quarterly periods ending September 30, 2025, December 31, 2025, and March 31, 2026. The engagement of Qi was approved by the unanimous written consent of the Company's board of directors, acting as the audit committee, on September 5, 2025. During the Company's two most recent fiscal years ended June 30, 2025 and June 30, 2024, and through the date of this Current Report, neither the Company nor anyone acting on its behalf consulted with Qi regarding: (a) the application of accounting principles to a specified transaction, either completed or proposed, or the type of audit opinion that might be rendered on the Company's financial statements, nor (b) any matter that was either the subject of a disagreement, as defined in Item 304(a)(1)(iv) of Regulation S-K, or a "reportable event" as defined in Item 304(a)(1)(v) of Regulation S-K. About Global Technologies Headquartered in Parsippany, NJ, Global Technologies, Ltd -- http://www.globaltechnologiesltd.info/-- is a multi-operational company with a strong desire to drive transformative innovation and sustainable growth across the technology and service sectors, empowering businesses and communities through advanced, scalable solutions that enhance connectivity, efficiency, and environmental stewardship. The Company envisions a future where technology seamlessly integrates into every aspect of life, improving the quality of life and the health of the planet. The Company's vision is to lead the industries it serves with groundbreaking initiatives that set new standards in innovation, customer experience, and corporate responsibility, thereby creating enduring value for all shareholders. Lagos, Nigeria-based Olayinka Oyebola & Co., the Company's auditor since 2024, issued a "going concern" qualification in its report dated Sept. 20, 2024, citing that the Company suffered an accumulated deficit of $(166,666,296), and a negative working capital of $(6,304,772). These matters raise substantial doubt about the Company's ability to continue as a going concern. As of Dec. 31, 2024, Global Technologies had $8.60 million in total assets, $6.62 million in total liabilities, and $1.98 million in total stockholders' equity. As of Mar. 31, 2024, it had $4.91 million in total assets, $4.09 million in total liabilities, and $821,825 in total stockholders' equity. GRUBHUB INC: S&P Alters Outlook to Stable, Affirms 'CCC+' ICR ------------------------------------------------------------- S&P Global Ratings revised its rating outlook on Grubhub Inc. to stable from positive and affirmed its ratings on the company. S&P said, "We also assigned our 'CCC+' issue-level and '3' recovery ratings to the company's new senior exchange notes and lowered our issue-level rating on any outstanding senior unsecured notes following the exchange to 'CCC-' from 'B-' and revised its recovery rating to '6' from '2' to reflect its reduced recovery prospects. "The stable outlook reflects our view that Wonder has sufficient liquidity to support Grubhub if it needs additional funding to support its growth strategy over the next 12 months. It also reflects our view that the company could reduce its investments to generate positive FOCF if its investments do not lead to sufficient returns over the next year." Since closing of Grubhub Inc.'s acquisition by Wonder in January 2025, the company has shifted its strategy toward investments to grow order volumes, resulting in negative S&P Global Ratings-adjusted EBITDA and a free operating cash flow (FOCF) deficit through the first half of 2025. S&P expects these trends will continue into 2026. Grubhub's total liquidity has declined as of June, 30, 2025, and there is execution risk to the company returning to profitable growth in the highly competitive restaurant delivery market. S&P expects the company's recently announced exchange offer of its $500 million senior unsecured notes due in July 2027 for up to $554 million of new senior secured notes due in 2030 will provide about $40 million of additional liquidity. S&P said, "We expect Grubhub's EBITDA and FOCF will be significantly weaker in 2025 and 2026 than previously forecast due to the company's strategic shift to invest in marketplace order growth. We expect the company will generate negative S&P Global Ratings-adjusted EBITDA with a FOCF deficit in 2025 and 2026, limiting ratings upside. At the time of Wonder's acquisition of Grubhub, cost-savings initiatives were leading to EBITDA growth and FOCF generation, and we had anticipated Wonder's cost-cutting plans and synergies could add incremental EBITDA." However, in the two quarters since closing, the company has ramped up its investments in growth through lower consumer fees and elevated marketing spending. In the second quarter alone, the company reported $54 million of incremental investment in its value proposition compared to the prior year quarter. S&P expects the company will continue to invest heavily in the back half of 2025 and into 2026 as it tries to stabilize and grow its order volumes, which declined about 10% in 2024. The company operates in a highly competitive market, and a transition to profitable order volume growth is uncertain. Grubhub faces competition from better capitalized peers Doordash and UberEats. S&P said, "While increased marketing spending, customer fee discounts, and restaurant incentives may improve order volumes over the next few quarters, we believe food delivery services are commoditized because most restaurants are available on multiple apps. Grubhub may have difficulty maintaining any growth momentum if it reduces its investment. While we believe it is difficult to forecast the company's 2026 operating performance, there are a few factors that could result in performance exceeding our 2026 base case. For example, the company has a strong market position in New York City, and the recent fee cap amendment in the city provides more pricing flexibility to help offset growth investments. Also, Grubhub's workforce reductions earlier this year will generate over $100 million in annualized cost savings with another $25 million of planned savings initiatives. Furthermore, Grubhub has an opportunity to better monetize ancillary revenue streams like advertising, which could provide additional high-EBITDA margin revenues." The proposed debt exchange will provide additional liquidity and extend maturities. As of Sept. 8, 2025, Grubhub has 94% participation in an exchange of its $500 million 5.5% senior unsecured notes due in July 2027 for up to $554.4 million of new senior secured notes due in 2030. The interest rate on the new notes is 13% in total, with 6% cash payments that step up to 10.5% over the life of the notes. S&P said, "In our view, the exchange is opportunistic, proactive treasury management because the exchange is roughly at par, and we believe the existing lenders are being adequately compensated with a cash interest uplift of 0.5% (increasing to 5% over the next few years plus meaningful payment-in-kind [PIK] interest and fees). We expect the company to receive about $40 million of incremental liquidity from the transaction, which would bring pro forma liquidity to about $90 million as of June 30, 2025." S&P said, "Still, we think the company will likely need more than $90 million of cash to continue to operate with elevated levels of growth investment and cover its interest, capex, and lease payments. While we view the company's liquidity as less than adequate based on expected uses of cash exceeding Grubhub's sources of cash over the next 12 months, we acknowledge that the company could cut back on its discretionary spending. We also believe Wonder is committed to supporting Grubhub and providing additional liquidity if needed over the next 12-18 months. "Wonder raised over $800 million in 2024, and while we believe Wonder is burning cash to execute its own growth initiatives, we believe it has access to additional capital. Wonder has already provided a $50 million intercompany revolving note (fully drawn) since acquiring Grubhub, and terms of the new senior secured notes would require that facility to increase to $100 million if Grubhub misses an interest payment or if Grubhub's gross transaction value is negative for the 12 months ending Dec. 31, 2026. We also believe growth in Grubhub's active user base and order volume are beneficial to profitable growth for Wonder's restaurants. "The stable outlook reflects our view that Wonder has sufficient liquidity to support Grubhub if it needs additional funding to support its order growth strategy over the next 12 months. It also reflects our view that the company could reduce its investments and return to FOCF generation if it does not generate sufficient returns on its investments. "We could take a negative rating action if the company depletes its available liquidity and we do not anticipate Wonder will provide additional financial support, or we expect a default or distressed debt restructuring within 12 months." This could occur if: -- Marketplace order volumes continue to decline despite the company's significant investment; or -- The company is unable to return to profitability if it decides to pull back on its growth investments. S&P could raise the rating if the company's growth investment strategy successfully stabilizes order volumes and leads to significantly improved profitability. In this scenario, it would expect the company to sustain FOCF to debt above 5%. GWG HOLDINGS: Ex-Judge Wants Secret Atty Romance Junked ------------------------------------------------------- Ryan Boysen of Law360 reports that ex-bankruptcy judge David R. Jones has asked to be released from a suit alleging his secret romance compromised GWG Holdings Inc.'s restructuring, contending that judicial immunity bars the claims against him. About GWG Holdings Headquartered in Dallas Texas, GWG Holdings, Inc. (NASDAQ: GWGH) conducts its life insurance secondary market business through a wholly owned subsidiary, GWG Life, LLC, and GWG Life's wholly owned subsidiaries. GWG Holdings Inc. and affiliates sought Chapter 11 bankruptcy protection (Bankr. S.D. Texas Lead Case No. 22-90032) on April 20, 2022. In the petition filed by Murray Holland, president and chief executive officer, GWG Holdings disclosed between $1 billion and $10 billion in both assets and liabilities. Judge Marvin Isgur oversees the cases. The Debtors tapped Mayer Brown, LLP and Jackson Walker, LLP, as bankruptcy counsels; Tran Singh, LLP as special conflicts counsel; FTI Consulting, Inc. as financial advisor; and PJT Partners, LP, as investment banker. Donlin Recano & Company is the Debtors' notice and claims agent. National Founders LP, a debtor-in-possession (DIP) lender, is represented by Michael Fishel, Esq., Matthew A. Clemente, Esq., and William E. Curtin, Esq., at Sidley Austin, LLP. The U.S. Trustee for Region 7 appointed an official committee to represent bondholders in the Debtors' cases. The committee tapped Akin Gump Strauss Hauer & Feld, LLP and Porter Hedges, LLP, as legal counsels; Piper Sandler & Co. as investment banker; and AlixPartners, LLP as financial advisor. The Debtors obtained confirmation of their Further Modified Second Amended Joint Chapter 11 Plan on June 20, 2023. HYPERION DEFI: Hyunsu Jung Named Interim CEO -------------------------------------------- Hyperion DeFi Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that Michael Rowe notified the Board of Directors of his intent to resign from his position as Chief Executive Officer of the Company. Pending the effectiveness of Mr. Rowe's resignation, Hyunsu Jung, who is currently the Company's Chief Investment Officer and a member of the Board, will serve as Interim Chief Executive Officer, Principal Financial Officer, Treasurer, and Secretary of the Company. Mr. Jung will work with Mr. Rowe to ensure a smooth transition. In addition, on September 8, 2025, the Board of the Company expanded the size of the Board to six (6) members and appointed Happy Walters as a member of the Board, effective immediately. Mr. Walters will serve as a director until the Company's 2026 annual meeting of stockholders and thereafter until his successor has been elected and qualified or until his earlier death, resignation or removal. Mr. Walters has also been appointed to serve on the Board's Nominating and Governance Committee. Mr. Walters, age 58, is the founder of and has been Chief Executive Officer of Blue Horizon Capital LLC since 2019, where Mr. Walters leverages his deep expertise and strategic vision to drive growth in cutting-edge sectors such as telehealth, blockchain, fitness, and lifestyle. Mr. Walters also serves on the board of directors of Immutable Holdings, Inc. (Cboe: HOLD). Mr. Walters previously co-founded and served on the board of LifeMD, Inc. (Nasdaq: LFMD) and co-founded Bitcoin treasury ZOOZ Power Ltd. (Nasdaq and TASE: ZOOZ). Mr. Walters was an early investor in Hedera Hashgraph, an open-source, public network governed by a council of leading global institutions, consulting on counsel and investor relations. As an early investor in Axelar Networks, a Layer 2 protocol blockchain platform, Mr. Walters provided strategic support in investor fundraising and go-to-market strategies. Mr. Walters earned his B.A. degree from the University of Michigan in 1990. There is no arrangement between Mr. Walters and any person pursuant to which he was selected as a director, and there is no family relationship between Mr. Walters and any other director or executive officer of the Company. In connection with his service on the Board, Mr. Walters will receive cash compensation pursuant to the compensation arrangements for non-employee directors described in the Company's definitive proxy statement relating to its 2025 Annual Meeting of Stockholders. In addition, Mr. Walters received a grant of 50,000 restricted stock units, which will vest as follows: (1) 25,000 RSUs shall vest on March 31, 2026; (2) 12,500 RSUs shall vest on August 16, 2026; and (3) 12,500 RSUs shall vest on November 16, 2026, or immediately and in full upon a change in control of the Company or termination of the director's board service for other than a voluntary resignation. About Hyperion DeFi Inc. Hyperion DeFi, Inc. formerly known as Eyenovia, Inc., is the first U.S. publicly listed company building a long-term strategic treasury of Hyperliquid's native token, HYPE. The Company is focused on providing its shareholders with simplified access to the Hyperliquid ecosystem, one of the fastest growing, highest revenue-generating blockchains in the world. New York, N.Y.-based Marcum LLP, the Eyenovia's auditor since 2020, issued a "going concern" qualification in its report dated April 15, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 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. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of June 30, 2025, the Company had $55.66 million in total assets, against $18.30 million in total liabilities. HYPERION DEFI: Regains Compliance With Nasdaq Minimum Equity Rule ----------------------------------------------------------------- As previously reported, on April 29, 2025, Hyperion DeFi, Inc. received a notice from the Staff of the Nasdaq Stock Market LLC stating that the Company's stockholders' equity as reported in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 was below the minimum $2,500,000 required for continued listing under Listing Rule 5550(b)(1). On September 2, 2025, the Company disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that it received a notice from the Staff indicating that the Company has regained compliance with the Minimum Equity Requirement. About Hyperion DeFi Inc. Hyperion DeFi, Inc. formerly known as Eyenovia, Inc., is the first U.S. publicly listed company building a long-term strategic treasury of Hyperliquid's native token, HYPE. The Company is focused on providing its shareholders with simplified access to the Hyperliquid ecosystem, one of the fastest growing, highest revenue-generating blockchains in the world. New York, N.Y.-based Marcum LLP, the Eyenovia's auditor since 2020, issued a "going concern" qualification in its report dated April 15, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 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. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of June 30, 2025, the Company had $55.66 million in total assets, against $18.30 million in total liabilities. ICON PARENT I: S&P Affirms 'B-' ICR, Outlook Stable --------------------------------------------------- S&P Global Ratings affirmed its 'B-' issuer credit rating on Icon Parent I Inc.'s (dba Instructure). S&P said, "We also affirmed our 'B-' issue-level and '3' recovery ratings on its $225 million revolving credit facility and $1.7 billion first-lien term loan, and its 'CCC' issue-level and '6' recovery rating to its $365 million second-lien term loan. "The stable outlook reflects our view that Instructure will maintain its leadership position in the North American learning management system (LMS) market. It also reflects the company's high level of recurring revenue as well as our expectation that the company will continue to grow its business in the mid-single-digit percent area, generate positive free operating (FOCF), and maintain adequate liquidity." S&P Global Ratings classified Instructure's $1.3 billion notes as equity under the new criteria, due in part to the interest-paid-in-kind (PIK) feature and expected repayment via equity issuance at maturity. While this treatment resulted in improved S&P Global Ratings-adjusted credit metrics, S&P expects Instructure's leverage will remain elevated, in the high-8x to low-9x range, over the next 12-18 months. S&P said, "We expect leverage to remain high and the company will maintain good liquidity. As part of KKR's leveraged buyout of Instructure in November 2024, Instructure entered into an intercompany loan agreement with parent Icon Holdco Inc. for a loan of about $1.3 billion. The loan, bearing a 4% interest rate with interest paid in kind, matures March 31, 2026, and can be repaid in cash or through the issuance of equity. As per the CSF methodology, we classified the $1.3 billion note as equity instead of debt, due in part to the interest-paid-in-kind feature and anticipated repayment via equity issuance at maturity. Consequently, we expect debt-to-EBITDA of low-9x in fiscal 2025 and high-8x in fiscal 2026. "The company has good liquidity, with a cash balance of $139 million as of June 30, 2025, and an undrawn revolver of $225 million. We expect it will maintain good liquidity, generating S&P Global Ratings-adjusted free operating cash flow (FOCF) of over $70 million in fiscal 2025 and 2026. In August 2025, the company repriced its $1.7 billion first lien term loan, resulting in a 25-basis-point reduction in the interest rate or about $4 million in annual interest savings, further supporting FOCF generation. "We expect Instructure will organically grow revenue by mid-single-digit percent and maintain healthy EBITDA margin over the short to medium term. Instructure's revenue increased about 28% in fiscal 2024 (ended December 2024), largely due to the acquisition of Parchment in February 2024, and we expect high-single-digit percent growth in fiscal 2025. Over the short to medium term, we expect the company will organically grow in the mid-single-digit percent range. We expect the company's growth in the U.S. higher education market will primarily come from existing install bases through cross-selling and upselling, as well as replacing legacy systems, given that the U.S. higher education market is largely penetrated. The company is also expanding in international higher education, which is less penetrated and would support the company's growth in install base. We expect the company's growth in the K-12 space will mainly come from the North American market via cross-selling and upselling within its install base and acquiring new customers, as many school districts currently lack paid learning management system (LMS) solutions. The company's high proportion of recurring revenue (about 94%), good gross retention (over 90%), and net retention rate (over 100%) provides good revenue predictability and visibility. "Instructure has historically maintained healthy S&P Global Ratings-adjusted EBITDA margins (low- to mid-30%). We expect margins to dip to the high-20% area in fiscal years 2025 and 2026, primarily due to cash payments for unvested restricted stock units (RSU) related to the 2024 take-private transaction (treated as an operating expense). As the RSU payments decrease each year, we anticipate an improvement in the EBITDA margin. "We expect Instructure will maintain its leading market position, although market shares could change over time. Instructure maintains a leading position in both the higher education and K-12 LMS markets in North America. Over the past decade, the company has doubled its market share in both the spaces by consistently growing faster than its direct peers, mainly by capturing market share from Blackboard and Moodle. We believe Instructure will continue to capture market share from legacy and point solution providers. However, further market share gains will be slower than the historical pace because it already has a strong presence in higher education, which is fully penetrated, and K-12 markets, where schools may prefer free platform providers such as Google classroom over paid LMS." Instructure's core product Canvas has good brand recognition in the LMS market. The company's large installed base and good brand value also contribute to its advantage in winning new customers, as customer decisions are often influenced by word-of-mouth and the choices of other reputable institutions in the LMS market, which is reflected in its win rate of 60%-70% (as per the company) for new RFP bids since 2021. However, unlike other software markets such as enterprise resource planning (ERP), where switching vendors can be costly or cumbersome, S&P views switching costs in the LMS market as relatively low. Therefore, the risk of customers switching to other vendors is high if Instructure does not perform as per customer's expectations or if its competitors develop a better platform or solution. S&P said, "The stable outlook reflects our view that Instructure will maintain its leadership position in the North American LMS market. It also reflects the company's high level of recurring revenue as well as our expectation that the company will continue to grow its business in the mid-single-digit percent area, generate positive FOCF, and maintain adequate liquidity. "Although unlikely given our expectation for revenue growth and positive free cash flow generation, we could lower our rating on Instructure if it faces increased competition or declining market share that causes its free cash flow after debt service to be negative with no prospects for improvement, leading us to view its capital structure as unsustainable. “We would consider upgrading Instructure if it generates sustained revenue growth and maintains its market share in the North American LMS market while improving its leverage below the 7.5x area and increases its free cash flow-to-debt ratio to about 5% on a sustained basis." IDEAL PROPERTY: Court Issues Findings of Fact on Ponzi Scheme ------------------------------------------------------------- Judge Frederick P. Corbit of the United States Bankruptcy Court for the Eastern District of Washington issues findings of act, conclusions of law, and order with respect to a Ponzi scheme perpetrated by Ideal Property Investments LLC. On July 16, 2025, Ideal Property Investments LLC filed its Second Amended Plan of Liquidation. The Court set and held the Plan confirmation hearing on Sept. 8, 2025. In connection with the Confirmation Hearing, the Official Committee of Unsecured Creditors requested that the Court make findings and draw conclusions with respect to whether the Debtor had operated its business as a Ponzi scheme. The Court finds the Debtors perpetrated a scheme to defraud thousands of victims by raising more than $400 million in outside capital under false pretenses, failing to deploy investor funds as promised, and misappropriating and converting funds for unauthorized purposes including the enrichment of insiders. According to the Court, to execute the scheme, the Debtors falsely held the WST Enterprise out to the public as the manufacturer, the Debtors perpetrated a scheme to defraud thousands of victims by raising more than $400 million in outside capital under false pretenses, failing to deploy investor funds as promised, and misappropriating and converting funds for unauthorized purposes including the enrichment of insiders. To execute the scheme, the Debtors falsely held the WST Enterprise out to the public as the manufacturer, assembler, seller, servicer, and owner of a highly profitable, nationwide vending machine business. Based on the evidence presented, the Court finds that: (i) the "WST Enterprise," consisting of Debtors in these consolidated cases and their related affiliates, operated as a single economic unit; (ii) the WST Enterprise inextricably commingled their financial affairs; (iii) the WST Enterprise had insufficient operating income to meet their liabilities on a current basis no later than March 1, 2018; (iv) the WST Enterprise routinely used funds raised from machine purchasers, bond issues, and lenders to make payments owed to earlier investors and creditors; and (v) the WST Enterprise operated as Ponzi scheme no later than March 1, 2018. A copy of the Court's Findings of Fact, Conclusions of Law, and Order Establishing Existence of Ponzi Scheme dated September 9, 2025, is available at https://urlcurt.com/u?l=Oyuh7i from PacerMonitor.com. About Ideal Property Investments LLC Ideal Property Investments, LLC is primarily engaged in renting and leasing real estate properties. The company is based in Everett, Wash. Ideal Property Investments filed Chapter 11 petition (Bankr. E.D. Wash. Case No. 24-01421) on September 5, 2024, with $50 million to $100 million in assets and $100 million to $500 million in liabilities. Judge Frederick P. Corbit oversees the case. Laurie Thornton, Esq., at DBS Law is the Debtor's bankruptcy counsel. INVESTMENTS GROUP: Robert Handler Named Subchapter V Trustee ------------------------------------------------------------ The U.S. Trustee for Region 11 appointed Robert Handler of Commercial Recovery Associates, LLC as Subchapter V trustee for Investments Group, LLC. Mr. Handler will be paid an hourly fee of $450 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Handler declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Robert P. Handler Commercial Recovery Associates, LLC 205 West Wacker Drive, Suite 918 Chicago, IL 60606 Tel: (312) 845-5001 x221 Email: rhandler@com-rec.com About Investments Group LLC Investments Group, LLC filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-13964) on September 10, 2025, listing up to $50,000 in assets and between $500,001 and $1 million in liabilities. Scott R. Clar, Esq., at Crane, Simon, Clar & Goodman represents the Debtor as legal counsel. JAC RENTALS: Unsecureds Will Get 25% of Claims over 5 Years ----------------------------------------------------------- JAC Rentals Excavators, LLC, filed with the U.S. Bankruptcy Court for the Western District of Louisiana a Disclosure Statement describing Plan of Reorganization dated September 9, 2025. The Debtor was formed on December 12, 2016, as a limited liability company under the laws of the State of Louisiana. JAC thereafter acquired through financing an inventory of heavy equipment which is rented to contractors and others from its two business locations, situated at 102 S. Huntington Street, Sulphur, Louisiana, and 3105 Eastex Freeway, Beaumont, Texas, which locations are rented from the owners of the property. Those two executory contracts of lease have been accepted by the Debtors through motions filed with the Court. The business of the Debtor is affected by weather conditions. During rainy days, the rentals are lower, until the sun dries the ground sufficiently for heavy equipment to be used. Gross income and gross expenses on a cash basis for the months since this reorganization case are reflected in the Monthly Operating Reports on file in this proceeding. Contemporaneous with the filing of this Disclosure Statement, the Debtor has filed a Plan of Reorganization. Creditors are specifically referred to that Plan of Reorganization for the terms and conditions thereof. The Debtors' Plan envisions continued operation of the Debtor's business and restructuring secured claims to be amortized in monthly payments as indicate in the cash flow projections, together with interest at 9.5% per annum, priority claims to be paid in full over 60 months and unsecured creditors to be paid 25% of their claims. Class 1 consists of unsecured and trade creditor claimants. Class 1 consists of allowed unsecured and under-secured claims of the Debtors which were filed by the Bar Date totaling $380,267.00. These claims will be paid 25% of their claims over 5 years without interest beginning 30 days after the Confirmation Order. This class is deemed impaired by the Plan. Class 3 consists of Claims of Equity Security Holders and Insiders. Class 3 shall consist of the equity security claims of the owner of the limited liability company interests, namely Jacob Cameron. The equity security holder's interests are subordinate to the claims of Classes 1 through 2. Priority claims totaling $38,604.65 will be paid in full with 3% interest over 60 months. The Debtor will continue to operate the rental of heavy equipment from its locations in Louisiana and Texas and pay the required plan payments from cash flow. About JAC Rentals Excavators JAC Rentals Excavators LLC specializes in heavy equipment rentals for construction and industrial projects. The Company offers a wide range of machinery, including excavators, skid steers, lifts, and tools. Serving Texas and Louisiana, JAC Rentals provides equipment for both large-scale projects and smaller tasks. JAC Rentals Excavators LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. La. Case No. 25-20139) on March 24, 2025. In its petition, the Debtor reports total assets of $4,593,578 and total liabilities of $1,554,519. Honorable Bankruptcy Judge John W. Kolwe handles the case. The Debtor is represented by Wade N. Kelly, Esq., at Packard Lapray. JMMJ DEVELOPMENT: Court Oks Greenport Property to LLT Properties ---------------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of New York has granted JMMJ Development LLC to sell one of its lots located in Greenport, New York, free and clear of any liens and encumbrances. The Debtor owns six properties in Columbia County, New York. The Court has authorized the Debtor to sell and convey real property located at 27-29 Pulcher Avenue, Greenport, New York pursuant to the terms of the contract attached to the Sale Motion for the gross purchase price of $270,000.00 to LLT Properties and Projects, LLC. From the gross proceeds of sale, the Debtor is authorized to pay usual and customary closing expenses including, but not limited to, broker’s commissions of 6% to Barns & Farms Realty, LLC, pro-rated taxes, a credit of $3,490.00 to the buyer at closing for building permits of the sale contract, and a closing attorney's fee not to exceed $1,000.00 to O'Connell and Aronowitz. The sale shall be free and clear of liens pursuant to with liens of TBOGC to attach to proceeds. The net proceeds shall be paid at closing to TBOGC, in exchange for TBOGC delivering an executed release of its liens with respect to 27-29 Pulcher Property. Following TBOGC's receipt of the net closing proceeds and application to the amounts due by Debtor to TBOGC pursuant to the Order Confirming Report of Amount Due, Granting Judgment of Foreclosure and Sale and Order Awarding Attorney's Fees, Costs, and Disbursement, dated May 21, 2024 which was entered in the Columbia County Clerk's Office on May 21, 2024. About JMMJ Development LLC The Debtor is a single-asset real estate company. The Debtor sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. N.Y. Case No.: 25-10191) on February 25, 2025. In its petition, Joseph Melino as managing member, discloses an estimated assets of $1 million to $10 million and estimated liabilities of $500,000 to $1 million. Judge Patrick G. Radel presides over the case. Peter A. Pastore, Esq., at O'CONNELL & ARONOWITZ, P.C., represents the Debtor as counsel. KENDON INDUSTRIES: Unsecureds to Split $200K in Smart Trailer Plan ------------------------------------------------------------------ Smart Trailer Innovations LLC submitted an Amended Disclosure Statement describing Chapter 11 Plan for Kendon Industries, LLC dated September 9, 2025. Established in 1991, the Debtor is the originator of a full line of stand-up motorcycle trailers, utility trailers and motorcycle lifts. The Debtor's product line tends specifically to the motorcycle, offroad, ATV/UTV, hot rod and classic car markets. The Plan Proponent, Smart Trailer Innovations LLC, is a newly formed entity owned by Troy E. Shockley. Troy E. Shockley is the principal of Towblazer Inc. The Plan Proponent is therefore an affiliate of Towblazer. Towblazer is a competitor of the Debtor. The Debtor has a judgment against Towblazer and Troy E. Shockley in an amount exceeding $2,900,000, but the judgment has been appealed and Towblazer and Troy E. Shockley assert that under applicable South Carolina law, the Debtor will not be able to execute on the judgment while the appeal is pending. Towblazer and Troy E. Shockley also assert that in the event execution on the judgment proceeds, the Debtor will not be able to fully collect on the judgment because the amount of the judgment exceeds the amount that could be recovered from them in execution proceedings. The Plan is a competing plan which provides for a sale of substantially all assets of the Debtor to the Plan Proponent in accordance with the terms of the Asset Purchase Agreement. The proceeds of the sale of Assets will be used to pay claims. The Plan Proponent will make payments to creditors consisting of $400,000 to the Class 1 Senior Secured Lender on the Effective Date of the Plan, payment of Administrative Claims and Priority Tax Claims and Priority Non-Tax Claims on the Effective Date of the Plan and payment of $200,000 on account of Class 3 General Unsecured Claims on the first anniversary of the Effective Date of the Plan. The Plan contemplates a sale of Assets to the Plan Proponent, and requires that the Bankruptcy Court approve a sale of the Towblazer Claim free and clear of all rights and interests of any other parties. In the event the Bankruptcy Court does not approve a sale of the Towblazer Claim to the Plan Proponent free and clear of the interests of all other parties, to the Plan will not be confirmed. Class 3 consists of General Unsecured Claims. The Plan Proponent estimates that General Unsecured Claims total approximately $2,550,000, based on information provided by the Debtor's Disclosure Statement. Except to the extent that a Holder of an Allowed General Unsecured Claim agrees to a different treatment, each holder of such claim shall receive its pro rata share of the Class 3 Payment Amount of $200,000, which shall be paid on the first anniversary of the Effective Date. The treatment and consideration to be received by holders of Class 3 Allowed Claims shall be in full settlement, satisfaction, release and discharge of their respective Claims and Liens against the Assets to be sold pursuant to the Asset Purchase Agreement, but the Debtor shall not be discharged with respect to such claims. Class 3 is impaired and entitled to vote. Class 4 consists of Holders of Equity Interests. Holders of Class 4 Equity Interests shall not receive any distribution or other payment on account of their interests. Effective upon the completion of payments to creditors under the Plan, the interests of the Class 4 Equity Interests shall be deemed cancelled. The Plan will be funded by the proceeds of a sale of the Assets of the Debtor to the Plan Proponent in accordance with the terms of the Asset Purchase Agreement. On closing of the sale, all property of the Debtor, tangible and intangible, will be transferred to the Plan Proponent free and clear of all Claims and Equitable Interests except as provided in the Plan to the Plan Proponent, in accordance with the terms of the Asset Purchase Agreement. The purchase price for the Assets shall consist of: (a) to be paid on the Effective Date, $400,000, plus the amount necessary to pay all allowed administrative and priority claims; and (b) to be paid on or before the first anniversary of the Effective Date, $200,000. Such funds will be used to make payments to creditors in accordance with the terms of the Plan. A full-text copy of the Amended Disclosure Statement dated September 9, 2025 is available at https://urlcurt.com/u?l=vV2lTI from PacerMonitor.com at no charge. Counsel to Plan Proponent: DILWORTH PAXSON LLP Peter C. Hughes, Esq. 800 N. King Street, Suite 202 Wilmington, DE 19801 Telephone: 302-571-9800 Facsimile: 302-571-8875 1650 Market Street, Suite 1200 Philadelphia, PA 19103 Telephone: 215-575-7000 Email: phughes@dilworthlaw.com Facsimile: 215-754-4603 About Kendon Industries Established in 1991, Kendon Industries, LLC, is the originator of a full line of stand-up motorcycle trailers, utility trailers and motorcycle lifts. Since that first motorcycle trailer, Kendon has expanded its product line to include a full range of trailers and lifts for the powersports market. Kendon motorcycle trailers and lifts are stocked nationwide in multiple Powersports dealerships as well as distributed internationally in Canada, Mexico, Europe, China and Australia. Kendon is based in Anaheim, Calif. Kendon Industries filed its voluntary petition for Chapter 11 protection (Bankr. D. Del. Case No. 24-11923) on September 4,2024, listing $3,100,789 in assets and $3,817,530 in liabilities. Randy Cecola, director, signed the petition. Judge Laurie Selber Silverstein oversees the case. Cross & Simon, LLC, serves as the Debtor's legal counsel. KEYERA CORP: S&P Rates Proposed C$500MM Subordinated Notes 'BB+' ---------------------------------------------------------------- S&P Global Ratings assigned its 'BB+' issue rating to Keyera Corp.'s proposed C$500 million subordinated notes. The company will use proceeds from the issuance to finance its acquisition of Plains All American Pipeline L.P.'s Canadian natural gas liquid assets. S&P said, "We have assessed the proposed subordinated notes as having no equity content at this time given its mandatory redemption requirement if the transaction does not close, resulting in the issuance not meeting the conditions of permanence for intermediate equity content. We believe the notes will have intermediate equity content as soon as the acquisition takes place until their first reset date, which we understand will be no earlier than ten years from issuance. The issuance meets our criteria in terms of subordination, deferability, permanence (after acquisition close), and management intent. "We derive the 'BB+' issue-level rating on the proposed subordinated notes issuance by notching down from our 'BBB' issuer credit rating. The two-notch difference reflects a one-notch deduction for subordination, and one notch for deferability." KOKINOS MANAGEMENT: Section 341(a) Meeting of Creditors on Oct. 15 ------------------------------------------------------------------ On September 12, 2025, Kokinos Management LLC filed Chapter 11 protection in the District of New Jersey. According to court filing, the Debtor reports $352,712 in debt owed to 1 and 49 creditors. The petition states funds will not be available to unsecured creditors. A meeting of creditors under Section 341(a) to be held on October 15, 2025 at 09:00 AM at Telephonic. About Kokinos Management LLC Kokinos Management LLC leases residential and commercial real estate. Kokinos Management LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Case No. 25-19562) on September 12, 2025. In its petition, the Debtor reports total assets of $1,202,000 and total liabilities of $352,712 Honorable Bankruptcy Judge Mark Edward Hall handles the case. The Debtor is represented by Geoffrey P. Neumann, Esq. and Timothy P. Neumann, Esq. at BROEGE, NEUMANN, FISCHER & SHAVER, LLC. LAUREL CREEK: Seeks to Tap Kirk P. Reimer as Real Estate Appraiser ------------------------------------------------------------------ Laurel Creek, LP, a California limited partnership, seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Kirk P. Reimer, a Certified General Real Estate Appraiser, as appraiser in its Chapter 11 case. Mr. Reimer will provide these services: (a) inspect, evaluate, and appraise the Debtor's real property and related assets; (b) prepare and deliver written appraisal reports as may be required by the Debtor and the Court; (c) provide expert testimony regarding the appraisals if requested; and (d) perform any other appraisal-related services necessary to assist the Debtor in these proceedings. The terms of the Mr. Reimer's employment agreed to by the Debtor, subject to approval of the Court, are as follows: 1. Flat Fee. The fee for this assignment will be $1,000, which will be paid from funds of the Debtor upon completion of the valuation. 2. No Requirement to File Fee Application. The Appraiser will not be required to submit either an interim or a final fee application. According to court filings, Mr. Reimer has no connection with the Debtor, its creditors, or any other party in interest and is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. He can be reached at: Kirk P. Reimer Senior Appraiser, BBG 3200 Park Center Drive, Suite 1170 Costa Mesa, CA 92626 Work: (714) 415-0172 E-mail: kreimer@bbgres.com About Laurel Creek, LP Laurel Creek, LP, a California limited partnership, is a real estate company whose principal assets are located at 1150 Laurel Lane in San Luis Obispo, California. Laurel Creek, LP in Santa Barbara, CA, sought relief under Chapter 11 of the Bankruptcy Code filed its voluntary petition for Chapter 11 protection (Bankr. C.D. Cal. Case No. 25-10985) on July 24, 2025, listing as much as $50 million to $100 million in both assets and liabilities. Patrick Smith as Manager of 1160 Laurel Lane, LLC, general partner of the Debtor, signed the petition. Judge Ronald A. Clifford III oversees the case. GOLDEN GOODRICH LLP serve as the Debtor's legal counsel. LINX OF LAKE: Gets Final OK to Use Cash Collateral -------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida granted Linx of Lake Mary, LLC final approval to use cash collateral. All prior interim cash collateral orders are deemed final. The cash collateral is comprised of cash on hand and funds to be received from sales during its normal operations that are encumbered by the liens of HLI Investments and Funding-Fund 2, LLC, a secured creditor. HLI may assert a first priority security interest in the Debtor's cash and cash equivalents. As of the petition date, the Debtor owns cash and cash equivalents of approximately $18,000 and accounts receivable in the face amount of $143,249.41 (books show approximately $130,000 of this owed from prior owner's companies). About Linx of Lake Mary Linx of Lake Mary, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-06781) on December 13, 2024, listing up to $10 million in both assets and liabilities. Patrick Schneider, manager of Linx of Lake Mary, signed the petition. Judge Grace E. Robson oversees the case. Justin M. Luna, Esq., at Latham, Luna, Eden & Beaudine, LLP is the Debtor's legal counsel. HLI Investments and Funding-Fund 2, as secured creditor, is represented by: Jeffrey S. Ainsworth, Esq. BransonLaw, PLLC 1501 E. Concord St. Orlando, FL 32803 Phone: 407-894-6834 Fax: 407-894-8559 jeff@bransonlaw.com jacob@bransonlaw.com jacob@flentkelegal.com lisa@bransonlaw.com tammy@bransonlaw.com LORDSTOWN MOTORS: Court Upholds Bankruptcy Ruling in Foxconn Case ----------------------------------------------------------------- Nu Ride Inc., formerly known as Lordstown Motors Corp., announced that on September 12, 2025, the United States District Court for the District of Delaware affirmed the Bankruptcy Court's decision partially denying and partially granting the Foxconn Adversary Motion to Dismiss. Accordingly, as found by the Bankruptcy Court, nine of the Company's claims continue to survive the motion to dismiss, including without limitation claims for fraud, breach of the investment agreement, and tortious interference. Andrew L. Sole, Chairman of the Board, remarked, "We are pleased that the District Court affirmed the Bankruptcy Court decision." As previously disclosed, on June 27, 2023, the Company commenced an adversary proceeding against Foxconn in the United States Bankruptcy Court for the District of Delaware seeking relief for fraudulent and tortious conduct as well as breaches of the Investment Agreement and other agreements entered into by the parties that the Company believes were committed by Foxconn. On September 29, 2023, Foxconn filed a motion to dismiss all counts of the Foxconn Litigation and brief in support of the same (the "Foxconn Adversary Motion to Dismiss"), asserting that all of the Company's claims are subject to binding arbitration provisions and that the Company has failed to state a claim for relief. On August 1, 2024, the Bankruptcy Court entered an opinion and order partially denying and partially granting the Foxconn Adversary Motion to Dismiss, which was subsequently amended on October 1, 2024. Nine of the Company's claims survived the motion to dismiss on the grounds that the Company pled viable claims against Foxconn and the claims were not subject to mandatory arbitration. The Court also dismissed two of the Company's claims in favor of arbitration, and allowed that the two dismissed claims should proceed to arbitration. The order was appealed by Foxconn in the United States District Court for the District of Delaware, and the Bankruptcy Court stayed litigation of the claims that it ruled were not subject to arbitration pending that appeal. The Company continues to believe that Foxconn's actions have caused substantial harm to the Company's operations and prospects and caused significant damages and intends to vigorously continue pursuing this litigation. However, no assurances can be provided as to the Company having sufficient resources to pursue the Foxconn Litigation, the outcome or recoveries, if any. Additional information about the Company is available on the company's website (www.nurideinc.com) and in the Company's filings with the U.S. Securities and Exchange Commission, available at www.sec.gov/edgar. Please send inquiries to inquiries@nurideinc.com. View original content:https://www.prnewswire.com/news-releases/district-court-affirms-bankruptcy-decision-allowing-nu-ride-incs-adversary-claims-against-foxconn-to-proceed-302556810.html About Lordstown Motors Corp. Lordstown Motors Corp. -- http://www.lordstownmotors.com/-- was an electric vehicle OEM developing innovative light duty commercial fleet vehicles, with the Endurance all electric pickup truck as its first vehicle. It has engineering, research and development facilities in Farmington Hills, Mich. and Irvine, Calif. On June 27, 2023, Lordstown Motors Corp. and two affiliated debtors filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-10831). The cases are pending before Judge Mary F. Walrath. The Debtors tapped White & Case, LLP and Richards, Layton & Finger, P.A., as bankruptcy counsels; Baker & Hostetler, LLP as special counsel; Jefferies, LLC as investment banker; KPMG, LLP as auditor; and Silverman Consulting as restructuring advisor. Kurtzman Carson Consultants, LLC is the Debtors' claims and noticing agent and administrative advisor. The U.S. Trustee for Regions 3 and 9 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee tapped Troutman Pepper Hamilton Sanders, LLP, as legal counsel and Huron Consulting Group Inc. as financial advisor. In October 2023, Lordstown Motors received Bankruptcy Court approval to sell its manufacturing assets to a new company affiliated with its founder and former CEO Stephen Burns for $10.2 million. LAS Capital, majority-owned by Burns, acquired the Debtors' intellectual property, business records, and machinery including assembly lines for electric vehicle motors and batteries. The Debtors later renamed to Nu Ride Inc. The Court on March 6, 2024, confirmed the Debtors' Third Modified First Amended Joint Chapter 11 Plan. The Plan was declared effective on March 14, 2024. LOUISIANA CRANE: To Sell Equipment to Align Equipment Finance ------------------------------------------------------------- Louisiana Crane & Construction, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Louisiana, Lafayette Division, to sell Property, free and clear of liens, claims, interests, and encumbrances. The Debtor wants to sell the Property to Align Equipment Finance, LLC Series SL-A3, a Delaware series limited liability company, the property identified in Exhibit A and then lease back the Equipment for use in its operations. The effect of the transaction is to reduce the monthly payments due by the Debtor and, thus, increase its liquidity and ability to operate as a going concern. The Debtor pays monthly $231,000.00 to the secured creditors who will be paid off pursuant to this transaction. Under the proposed sale and leaseback, the Debtor will pay $121,833.97 in monthly lease payments. A table that shows the schedule of certain of the Equipment that is currently encumbered broken up by the secured lenders currently having a lien upon the particular Equipment including the serial number and type of equipment and payment being made to these secured lenders is also provided. The Debtor proposes to sell the Equipment free and clear of liens and claims to Align Equipment Finance. The Secured Lenders all hold properly perfected first liens on the Equipment sought to be sold and the Secured Lenders' consent to the sale. The Debtor further requests authority to execute the lease of the Equipment being sold pursuant to this Motion. The essential terms of the lease are the following: A. Lease Term - Duration: 48 months from Commencement Date - Commencement: October 1, 2025 B. Rent Schedule 1. Months 1-36: $121,833.97 per month (beginning October 1, 2025) 2. Months 37-48: $114,949.77 per month (beginning October 1, 2028) 3. Final Payment: $1,276,899.79 (due on last day of term) 4. Rate Adjustment: 1% increase for every 0.25% that prime rate exceeds 8.5% 5. Interim Rent: Applicable between equipment purchase and first payment C. Additional Financial Obligations 1. Lease Fee: $177,996.00 (due on Commencement Date) 2. Rent Reserve Deposit: $60,916.98 (security deposit applied to final payment if no default) 3. Monthly Service Fee: $500.00 (equipment inspections) D. Purchase Options 1. End-of-Term Buyout: $1,276,899.79 plus applicable taxes and outstanding amounts 2. Early Buyout Options: - August 1, 2027: $3,485,364.50 (10 days' prior notice required) - August 1, 2028: $2,405,935.36 (10 days' prior notice required) Contemporaneous with the purchase by Align Equipment Finance, a pro rata payment to the entities listed below will be made on behalf of the guarantors of such loans. The amount funded by Align Equipment Finance to purchase the Equipment will be $5,085,600.00, which will be made by a third party on behalf of the Guarantors. The Debtor requests that the Court waive the stay imposed by Bankruptcy Rule 6004(h) to allow the sale to close in an expeditious manner. About Louisiana Crane Louisiana Crane & Construction, LLC, is a Eunice, La.-based supplier of traditional crane services and general oilfield construction, pipeline, plant maintenance, rotating equipment, and millwright services. Louisiana Crane & Construction sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D. La. Case No. 21-50198) on April 6, 2021. At the time of the filing, the Debtor had between $10 million and $50 million in both assets and liabilities. Judge John W. Kolwe oversees the case. Heller, Draper & Horn, LLC is the Debtor's legal counsel. LUMEN TECHNOLOGIES: Completes $425M Offering of First Lien Notes ---------------------------------------------------------------- Lumen Technologies, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that Level 3 Financing, Inc., an indirect wholly-owned subsidiary of the Company and a direct wholly-owned subsidiary of Level 3 Parent, LLC, completed its previously-announced offering of an additional $425,000,000 aggregate principal amount of its 7.000% First Lien Notes due 2034. The New Notes were issued as additional notes under the indenture dated August 18, 2025, entered into among Level 3 Financing, Level 3 Parent, the other guarantors party thereto, U.S. Bank Trust Company, National Association, as trustee, and Wilmington Trust, National Association, as collateral agent, pursuant to which Level 3 Financing issued $2.0 billion in aggregate principal amount of its 7.000% First Lien Notes due 2034 on August 18, 2025. The New Notes form a single series with, and have the same terms (other than the issue date and issue price) as, the Initial Notes. Level 3 Financing intends to use the net proceeds from the offering, together with cash on hand, to redeem all $373,000,000 aggregate principal amount of Level 3 Financing's 10.750% First Lien Notes due 2030, including payment of redemption premium, and to pay related fees and expenses. This Current Report on Form 8-K does not constitute a notice of redemption with respect to any of Level 3 Financing's outstanding senior notes. Interest on the Notes accrues from August 18, 2025 and is payable on March 31 and September 30 of each year, beginning on March 31, 2026. The Notes are: (i) senior obligations of Level 3 Financing, ranking equal in right of payment with all existing and future indebtedness of Level 3 Financing that is not expressly subordinated in right of payment to the Notes; (ii) secured on a first lien basis by the collateral securing the Notes, subject to a shared lien of equal priority with the other first lien obligations of Level 3 Financing secured by such collateral and subject to other liens permitted by the Indenture and, in certain cases, to receipt of necessary regulatory approvals; (iii) effectively senior to all existing and future second lien obligations of Level 3 Financing to the extent of the value of the collateral of Level 3 Financing (after giving effect to the sharing of such value with holders of equal ranking liens on such collateral, and subject, in certain cases, receipt of necessary regulatory approvals); (iv) effectively senior to all existing and future senior unsecured indebtedness of Level 3 Financing to the extent of the value of the collateral of Level 3 Financing (after giving effect to the sharing of such value with holders of equal ranking liens on such Collateral, and subject, in certain cases, to receipt of necessary regulatory approvals); (v) contractually senior in right of payment to all existing and future indebtedness of Level 3 Financing that is expressly subordinated in right of payment to the Notes; (vi) effectively subordinated to any obligations of Level 3 Financing secured by liens on assets of Level 3 Financing that do not constitute collateral, to the extent of the value of such assets; and (vii) effectively subordinated to all liabilities, including trade payables, of Level 3 Financing's subsidiaries that are not guarantors under the Indenture. The Notes are fully and unconditionally guaranteed, jointly and severally, on a first lien secured basis by Level 3 Parent and certain of Level 3 Parent's material domestic subsidiaries which were able to guarantee the Notes without regulatory approval and, subject to the receipt of applicable regulatory approvals, other material domestic subsidiaries of Level 3 Financing will guarantee each series of Notes. Each such guarantee will be: (i) a senior obligation of the applicable guarantor, ranking equal in right of payment with all existing and future indebtedness of such guarantor that is not expressly subordinated in right of payment to the guarantee of such guarantor; (ii) secured on a first lien basis by the collateral of such guarantor, subject to a shared lien of equal priority with the other first lien obligations of such guarantor secured by such collateral, subject to other liens on such collateral permitted by the Indenture and, in certain cases, receipt of certain necessary regulatory approvals; (iii) effectively senior to all existing and future second lien obligations of such guarantor to the extent of the value of the collateral of such guarantor (after giving effect to the sharing of such value with holders of equal ranking liens on such collateral, and subject, in certain cases, to receipt of necessary regulatory approvals); (iv) effectively senior to all existing and future senior unsecured indebtedness of such guarantor to the extent of the value of the collateral of such guarantor (after giving effect to the sharing of such value with holders of equal ranking liens on such collateral, and subject, in certain cases, to receipt of necessary regulatory approvals); (v) contractually senior in right of payment to all existing and future indebtedness of such guarantor that is expressly subordinated in right of payment to the guarantee of such guarantor; (vi) effectively subordinated to any obligations of such guarantor secured by liens on assets of such guarantor that do not constitute collateral, to the extent of the value of such assets; and (vii) effectively subordinated to all liabilities, including trade payables, of the subsidiaries (other than Level 3 Financing) of such guarantor that are not themselves guarantors. Each such guarantee will be secured on a first lien basis by the collateral of such guarantor, subject to a shared lien of equal priority with the other first lien obligations of such guarantor secured by such collateral, subject to other liens on such collateral permitted by the Indenture and, in certain cases, receipt of necessary regulatory approvals. Level 3 Financing may redeem some or all of the Notes: (i) at any time prior to August 31, 2028 at a redemption price equal to 100% of their principal amount, plus the applicable "make-whole" premium set forth in the Indenture and accrued and unpaid interest (if any) to, but not including, the date of redemption, and (ii) some or all of the Notes on or after August 31, 2028, at the redemption prices as set forth in the Indenture, plus accrued and unpaid interest (if any) to, but not including, the date of redemption. Prior to August 31, 2028, Level 3 Financing may also, at its option, redeem up to 40% of the aggregate principal amount of the Notes with an amount not greater than the net cash proceeds from one or more equity offerings at the redemption price specified in the Indenture. In addition, at any time prior to August 31, 2028, but not more than once during each twelve-month period commencing August 18, 2025, Level 3 Financing may redeem up to 10% of the aggregate principal amount of the Notes at a price equal to 103% of the principal amount of the Notes redeemed, plus accrued and unpaid interest (if any) to, but not including, the date of redemption. Upon the occurrence of certain specified change of control events, Level 3 Financing will be required, unless it has elected to redeem the Notes as described above, to make an offer to purchase all the outstanding Notes at a price in cash equal to 101% of their principal amount on the purchase date, plus accrued and unpaid interest (if any) to, but not including, such purchase date. The Indenture provides for customary events of default, including, among other things, the: (i) failure to pay principal, interest or premium (if any) on the Notes when due, subject to certain grace periods; (ii) failure to perform various specified covenants continued for 90 days after written notice with respect thereto to Level 3 Financing by the trustee or the holders of at least 30% of the aggregate principal amount of such Notes then outstanding; or (iii) occurrence of certain specified defaults, judgments, bankruptcy proceedings, insolvencies or other events relating to Parent, Level 3 Financing or certain of its significant subsidiaries. In addition, subject to the terms and conditions set forth in the Indenture, if certain specified events of default with respect to the Notes occur and are continuing, the trustee or holders of at least 30% of the aggregate principal amount of the Notes then outstanding may declare the principal of the Notes to be due and payable immediately. The Indenture contains certain restrictive covenants that limit the incurrence of additional indebtedness, liens and certain other corporate transactions. These covenants are subject to a number of important limitations and exceptions, and are subject to termination upon the occurrence of certain events described in the Indenture. The Notes and the related guarantees are not and will not be registered under the Securities Act of 1933, as amended, or any state securities laws in the United States and may not be offered or sold in the United States absent registration or an exemption from the applicable registration requirements. Accordingly, the Notes were offered and sold only to persons reasonably believed to be qualified institutional buyers in accordance with Rule 144A promulgated under the Securities Act and to non-U.S. persons outside the United States in accordance with Regulation S promulgated under the Securities Act. Holders of the Notes do not have registration rights. The foregoing description of the Indentures does not purport to be complete and is subject to, and qualified in its entirety by, the full text of the Indenture is available at https://tinyurl.com/4k3bkfmy About Lumen Technologies Headquartered in Monroe, Louisiana, Lumen Technologies, Inc. -- lumen.com -- is a facilities-based technology and communications company that provides a broad array of integrated products and services to its domestic and global business customers and its domestic mass markets customers. The Company's platform empowers its customers to swiftly adjust digital programs to meet immediate demands, create efficiencies, accelerate market access, and reduce costs, which allows its customers to rapidly evolve their IT programs to address dynamic changes. As of June 30, 2024, it had $32.98 billion in total assets, $33.57 billion in total liabilities, and $595 million in total stockholders' deficit. * * * In July 2025, Fitch Ratings has placed the Long-Term Issuer Default Ratings (IDRs) of Lumen Technologies Inc., Level 3 Parent LLC, Level 3 Financing Inc., Qwest Corporation and related subsidiaries on Rating Watch Positive (RWP). The current Long-Term IDR for each rated entity is 'CCC+'. MERCURITY FINTECH: Chaince Securities Signs MOU With OGBC Group --------------------------------------------------------------- Mercurity Fintech Holding Inc. announced that its wholly owned subsidiary Chaince Securities, LLC, a U.S.-based broker-dealer, has entered into a Memorandum of Understanding (MOU) with OGBC Group Pte. Ltd., a Singapore-based blockchain innovation firm. The MOU is non-binding and has an initial 90-day term, with an option to extend by mutual agreement. The strategic collaboration is designed around a two-tier strategy: * DAT Fund Advisory – Chaince Securities and OGBC Group will jointly advise on the creation of a Digital Asset Treasury (DAT) fund to identify high-quality blockchain projects in Asia. The initiative will also explore suitable U.S. public holding companies to adopt the DAT strategy, creating a bridge between innovative digital assets and listed equity structures. * Investment Banking & Fundraising – Chaince Securities will act as the investment bank for companies adopting the DAT model, providing fundraising, syndication, and capital markets advisory services to accelerate their integration into U.S. public markets. This dual-layer collaboration positions Chaince Securities and OGBC Group at the intersection of digital assets and traditional finance, expanding opportunities for both blockchain innovators and investors while maintaining a focus on regulatory compliance. "Collaborating with OGBC Group allows us to combine blockchain innovation with our licensed broker-dealer capabilities," said Wilfred Daye, Chief Executive Officer of Chaince Securities and Chief Strategy Officer of Mercurity Fintech. "Through the DAT fund and our investment banking platform, we can bring high-quality crypto projects into the U.S. capital markets with an emphasis on regulatory clarity and the aim of providing investor confidence." The collaboration aligns with Mercurity Fintech's mission to be a leader in bridging digital and traditional finance. By combining tokenization strategies, capital formation, and regulatory expertise, MFH continues to expand its footprint as a next-generation financial services group. About OGBC Group Pte. Ltd. OGBC Group is a global innovation group building and investing in companies across Web3, AI, and next-gen consumer ecosystems. With a strong presence in APAC, it supports early-stage ventures in frontier and emerging technologies, backing bold ideas that redefine how industries evolve, scale, and thrive. About Chaince Securities, LLC Chaince Securities, LLC (CRD #10590) is a FINRA-registered broker-dealer founded in 1982 and headquartered in New York City. The firm specializes in equity capital markets, investment banking, asset management, and innovative financial solutions. With decades of institutional experience, Chaince Securities is committed to building long-term relationships and delivering tailored strategies that align with the unique goals of its clients. About Mercurity Fintech Holding Mercurity Fintech Holding Inc. is a digital fintech company with subsidiaries engaged in distributed computing and financial brokerage. Beyond its core fintech operations, the Company contributes to the advancement of AI hardware technology by delivering secure and innovative solutions in intelligent manufacturing and advanced liquid cooling systems. Its focus on compliance, innovation, and operational efficiency supports its position as a trusted player in both the evolving digital finance space and the AI technology sector. For more information, please visit the Company's website at https://mercurityfintech.com. In an audit report dated April 30, 2025, the Company's auditor, Onestop Assurance PAC, issued a "going concern" qualification, citing that at Dec. 31, 2024, the Company has incurred recurring net losses of $4.5 million and negative cash flows from operating activities of $3.6 million and has an accumulated deficit of $680 million, which raise substantial doubt about its ability to continue as a going concern. As of Dec. 31, 2024, Mercurity Fintech Holding had $35.69 million in total assets, $11.60 million in total liabilities, and $24.09 million in total shareholders' equity. MERLIN BUYER: S&P Affirms 'B-' ICR on Acquisition of Provisur ------------------------------------------------------------- S&P Global Ratings affirmed our 'B-' issuer credit rating on Merlin Buyer Inc. (dba Fortifi Food Processing Solutions). The outlook remains stable. S&P said, "We also affirmed our 'B-' issue-level rating and '3' recovery rating on the company's first-lien debt facilities (inclusive of the $400 million incremental first-lien term loan). Our '3' recovery rating reflects our expectation for meaningful (50% to 70%; rounded estimate: 50%) recovery in the event of default. "We intend to withdraw our ratings on the second-lien term loan once it is fully repaid. "The stable outlook on Fortifi reflects our forecast for acquisition contribution and growth in aftermarket services, as well as the realization of cost savings efforts, to translate to pro forma S&P Global Ratings-adjusted leverage in the high-6x area in 2025, improving toward the high-5x area in 2026, and for the company to generate positive free operating cash flow (FOCF)." On August 19, 2025, Fortifi entered into a definitive agreement to acquire Chicago-based Provisur Technologies Inc. (Provisur), a global manufacturer of industrial food processing equipment that forms burger patties, chicken nuggets, and slices protein for quick service restaurants (QSRs) and case-ready applications. Fortifi intends to issue a $400 million incremental (fungible) first-lien term loan, along with equity contributions from its private equity sponsor, KKR & Co. and Provisur's seller to help fund the acquisition and fully repay the existing $85 million second-lien term loan. As part of the transaction, Fortifi will upsize its existing revolving credit facility (RCF) to $100 million, from $90 million and extend the maturity to September 2028, from December 2026. Pro forma to include a full year of contribution of Provisur, S&P forecasts S&P Global Ratings-adjusted debt to EBITDA to be in the high-6x area in 2025, modestly lower than 7x as of year-end 2024. The acquisition of Provisur expands Fortifi's scale and scope, though the company remains vulnerable to volatility in the protein end markets. S&P views favorably the expansion of Fortifi's capabilities that comes with the Provisur acquisition, which increases its scale to about $960 million proforma revenue for 2025, from $580 million as of the last 12 months ended June 30, 2025. Provisur will add complementary products to Fortifi's products and solutions and broaden its reach in the downstream protein end market. Provisur, a supplier of forming, slicing, and separation protein processing equipment, which is used to form burger patties, chicken nuggets, and slice bacon for QSRs. Fortifi is heavily weighted to the upstream protein end market (inclusive of primary and secondary processing), with some exposure to downstream protein (further processing), produce, cheese and dairy. The addition of Provisur deepens Fortifi's capabilities in downstream protein processing, and in advanced solutions in grinding, forming, slicing, and tumbling technologies. Pro forma for the acquisition, upstream protein will represent 46% of pro forma revenue; downstream protein 41%; cheese, dairy, seafood, and ready-made 8%; and produce 6%. This compares with 65% of revenue from upstream protein; downstream protein 14%; cheese, diary, seafood, and ready-made 12%; and produce 9% before the acquisition. The exposure to downstream protein is a benefit because it increases Fortifi's exposure to the full protein value chain, as it represents a low-cost value proposition to the customer. Downstream protein also increases Fortifi's exposure to QSRs, which have seen generally stable demand with loyal end-customer preferences over time, as well as customer retention. Traffic in the QSR space has been softer in 2025, driven by global economic uncertainty and rising unemployment, leading those with lower income to consume more food at home. However, there has been trade down from middle- and upper-income consumers as they look for low-cost, value-seeking opportunities relative to the overall industry, helping offset the softer traffic from low-income consumers. S&P expects this trend to continue into 2026 because as forecast U.S. personal and household consumption levels to wind down to 1.8% in 2026 from 2.4% in 2025 as cautious consumer behavior continues. Provisur will also bring additional high-margin aftermarket parts and services, resulting in 56% of revenue from recurring revenue by solution for the combined company, up slightly from 53% pre-acquisition. In our view, some of Provisur's customers will overlap Fortifi's existing customer base and will increase cross-selling opportunities to offer a full line of solutions across the protein value stream. Nevertheless, Fortifi remains highly exposed to the consumption of pork, poultry, and beef, which remain vulnerable to shifts in consumer consumption in certain regions and short-term inflationary pressures. S&P said, "We expect demand for poultry and pork will continue to recover from a market contraction in 2022 (due to weaker commodity prices and higher feed costs). In our view, the relative affordability of chicken compared with beef, as well as healthy consumer demand, support growth in poultry. However, tight cattle supply and higher pricing will continue to pressure the beef market." S&P said, "We expect the acquisition to modestly improve leverage on a pro forma basis, before further improving in 2026. We forecast S&P Global Ratings-adjusted leverage, pro forma to include a full year of contribution of Provisur, in the high-6x area in 2025, improving to the high-5x area by fiscal 2026 (first year of full consolidation). Our forecast assumes continued strong aftermarket sales and incorporates that Fortifi went into the year with healthy backlog of capital equipment sales, which supports revenue growth in 2025. "However, in 2026 its equipment business will continue to be challenged driven by the softening macroeconomic environment and increased caution around its customers' capital expenditures (capex), resulting in projects being delayed. Our forecast also assumes gross profit improvement and contributions from acquisitions (we assume bolt-on acquisitions in 2026 and higher acquisition spend in 2027). We forecast Fortifi will achieve a majority of its cost synergies over the next three years, with a priority focus on back-office reorganization and footprint consolidation. "We expect S&P Global-Ratings adjusted EBITDA margin will compress to 16%-17% pro forma for the acquisition of Provisur due to the dilutive impact of the acquisition, partially offset by higher prices and cost-savings initiatives as it relates to facility consolidations and labor for the remainder of 2025 and into 2026. We assume transaction-related expenses will be about $16 million in 2025, which reduces our calculation of adjusted EBITDA. "Our assessment of Fortifi's financial risk incorporates its financial-sponsor ownership and aggressive financial management, resulting in the potential that leverage could remain high. Specifically, we expect it will opportunistically pursue acquisitions over time that could keep leverage elevated and compress its FOCF given its acquisition growth-based strategy. In our view, Fortifi will work to integrate the larger acquisition of Provisur in 2026, before likely seeking higher acquisition spend in 2027. "We forecast Fortifi will generate moderately positive FOCF and maintain adequate liquidity. With our forecast for higher interest expense, working capital to be a use of cash, and capex of about $30 million, we expect Fortifi will generate moderately positive S&P Global Ratings-adjusted FOCF of $15 million-$20 million in 2025 pro forma for the acquisition of Provisur, compared with negative FOCF $17.3 million as of Dec. 31, 2024. "We continue to believe Fortifi's FOCF is difficult to forecast given the transaction costs associated with its acquisitive growth strategy. We expect the company will use excess cash and debt to fund opportunities that support both its customer base and new market growth. With modest cash on the balance sheet and full availability on its recently upsized credit facility post-transaction, the company should have adequate liquidity and covenant headroom to manage operating needs over the next 12 months. "The stable outlook on Fortifi reflects our forecast for acquisition contribution and growth in aftermarket services, as well as the realization of cost savings efforts, to translate to pro forma S&P Global Ratings-adjusted leverage in the high-6x area in 2025, improving toward the high-5x area in 2026, and for the company to generate FOCF." S&P could lower its rating on Fortifi if: -- Its sales decline over the next 12 months, drastically depressing its earnings and materially weakening its S&P Global Ratings-adjusted debt to EBITDA such that we believe its capital structure is unsustainable; -- Its working capital or operating trends deteriorate materially, leading to more materially negative FOCF, reduced liquidity, and heightened risk of a covenant violation; or -- Its interest coverage deteriorates toward 1x. Although unlikely over the next 12 months given the additional debt from its acquisitions, S&P could raise its rating on Fortifi if: -- S&P expects its S&P Global Ratings-adjusted debt to EBITDA will remain consistently below 6.5x and anticipate its financial policies will support this improved level of leverage over the long term, even after incorporating potential acquisitions or shareholder returns; and -- It generates sustained positive FOCF while maintaining sufficient liquidity. METERED APPLIANCES: Salvatore LaMonica Named Subchapter V Trustee ----------------------------------------------------------------- The U.S. Trustee for Region 2 appointed Salvatore LaMonica, Esq., at LaMonica Herbst & Maniscalco, LLP, as Subchapter V trustee for Metered Appliances, Inc. Mr. LaMonica will be paid an hourly fee of $725 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. LaMonica declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Salvatore LaMonica, Esq. LaMonica Herbst & Maniscalco, LLP 3305 Jerusalem Avenue, Suite 201 Wantagh, NY 11793 Phone: (516) 826-6500 Email: sl@lhmlawfirm.com About Metered Appliances Metered Appliances, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-73481) on September 9, 2025, listing up to $50,000 in assets and liabilities. Judge Alan S. Trust presides over the case. Charles Wertman, Esq., at the Law Offices of Charles Wertman P.C. represents the Debtor as bankruptcy counsel. MORGAN STANLEY 2025-NQM7: S&P Assigns B (sf) Rating on B-2 Certs ---------------------------------------------------------------- S&P Global Ratings assigned its preliminary ratings to Morgan Stanley Residential Mortgage Loan Trust 2025-NQM7's mortgage-backed certificates. The certificate issuance is an RMBS transaction backed by first-lien, fixed- and adjustable-rate, fully amortizing residential mortgage loans (some with interest-only periods) to both prime and nonprime borrowers. The loans are secured by single-family residential properties including townhouses, planned-unit developments, condominiums, two- to four-family residential properties, five- to 10-unit multifamily properties, and a mixed-use property. The pool consists of 844 loans backed by 859 properties, which are qualified mortgage (QM) safe harbor (average prime offer rate), QM/higher-priced mortgage loans, non-QM/ability-to-repay (ATR) compliant, and ATR-exempt loans. Of the 844 loans, four loans are cross-collateralized loans backed by 19 properties. The preliminary ratings are based on information as of Sept. 16, 2025. Subsequent information may result in the assignment of final ratings that differ from the preliminary ratings. The preliminary ratings reflect S&P's view of: -- The pool's collateral composition and geographic concentration; -- The transaction's credit enhancement, associated structural mechanics, and representation and warranty framework; -- The mortgage aggregators, Morgan Stanley Mortgage Capital Holdings LLC and Morgan Stanley Bank N.A.; -- The mortgage originators, including S&P Global Ratings reviewed originators; -- The 100% due diligence results consistent with represented loan characteristics; and -- S&P's economic outlook, which considers its current projections for U.S. economic growth, unemployment rates, and interest rates, as well as its view of housing fundamentals, and which is updated, if necessary, when these projections change materially. Preliminary Ratings Assigned(i) Morgan Stanley Residential Mortgage Loan Trust 2025-NQM7 Class A-1-A, $272,007,000: AAA (sf) Class A-1-B, $41,783,000: AAA (sf) Class A-1, $313,790,000: AAA (sf) Class A-2, $25,697,000: AA- (sf) Class A-3, $39,902,000: A- (sf) Class M-1, $15,669,000: BBB- (sf) Class B-1, $8,565,000: BB (sf) Class B-2, $8,984,000: B (sf) Class B-3, $5,223,156: NR Class A-IO-S, notional(ii): NR Class XS, notional(ii): NR Class R-PT, $20,896,106: NR Class PT, $396,934,050: NR Class R, not applicable: NR (i)The preliminary ratings address the ultimate payment of interest and principal. They do not address the payment of the cap carryover amounts. (ii)The notional amount will equal the aggregate stated principal balance of the mortgage loans as of the first day of the related due period and is initially $417,830,156. NR--Not rated. MUKEUNJI II: Ronald Friedman Named Subchapter V Trustee ------------------------------------------------------- The U.S. Trustee for Region 2 appointed Ronald Friedman, Esq., at Rimon, PC as Subchapter V trustee for Mukeunji II, Inc. Mr. Friedman will be paid an hourly fee of $800 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Friedman declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Ronald J. Friedman, Esq. Rimon PC 100 Jericho Quadrangle, Ste. 300 Jericho, NY 11753 Email: ronald.friedman@rimonlaw.com About Mukeunji II Mukeunji II, Inc., a restaurant operator in New York, filed its voluntary petition for Chapter 11 protection (Bankr. E.D.N.Y. Case No. 21-41737) on June 30, 2021, listing up to $50,000 in assets and up to $10 million in liabilities. Yong Sun Kim, chief executive officer, signed the petition. Judge Elizabeth S. Stong oversees the case. Morrison Tenenbaum, PLLC serves as the Debtor's legal counsel. MVP GROUP: Court OKs Interim Use of Cash Collateral --------------------------------------------------- MVP Group, LLC received interim approval from the U.S. Bankruptcy Court for the Southern District of Florida to use cash collateral to fund operations. The interim order authorized the Debtor to use the cash collateral of lenders, Austin Financial Services, Inc. and Libertas Funding, LLC, in accordance with its interim budget. As adequate protection, lenders will be granted continuing liens on all property of the Debtor, of the same type and nature as the property subject to the lenders' pre-bankruptcy liens, including all proceeds. To the extent the continuing liens do not fully protect against any diminution in the value of their pre-bankruptcy collateral, lenders will be granted replacement liens on the Debtor's current or future assets. The replacement liens do not extend to avoidance actions under Bankruptcy Code Section 544–550 and are automatically perfected, with no further action required by the lenders. The Debtor's authority to use cash collateral remains effective until the final hearing or earlier if terminated by an event of default, which includes noncompliance with the order, unauthorized liens, appointment of a trustee, conversion or dismissal of the Debtor's Chapter 11 case, or reversal of the inteim order. A final hearing is set for September 25. A copy of the court's order and the Debtor's budget is available at https://shorturl.at/r288r from PacerMonitor.com. About MVP Group LLC MVP Group, LLC is a Fort Lauderdale-headquartered distributor of commercial food service equipment. The Company supplies products to restaurants, hotels, schools, government institutions, and other foodservice operators, with clients including global chains such as Subway, Burger King, Marriott and Best Western. MVP Group supports its operations through a network of warehouses, inventory centers and authorized service agents throughout North America. MVP Group sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr.????S.D. Fla. Case No. 25-20199) on August 29, 2025. In its petition, the Debtor reported estimated assets between $1 million and $10 million and estimated liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Scott M. Grossman handles the case. Michael D. Seese, Esq., is the Debtor's legal counsel. Austin Financial Services, Inc., as lender, is represented by: Donald R. Kirk, Esq. Carlton Fields, P.A. P.O. Box 3239 Tampa, FL 33601-3239 (813) 223-7000 dkirk@carltonfields.com OWENS-BROCKWAY GLASS: S&P Rates Proposed $650MM Term Loan B 'BB' ---------------------------------------------------------------- S&P Global Ratings assigned its 'BB' issue-level rating and '2' recovery rating to O-I Glass Inc.'s subsidiary Owens-Brockway Glass Container Inc.'s proposed $650 million term loan B due in 2032. The '2' recovery rating indicates its expectation for very high (70%-90%; rounded estimate: 85%) recovery in the event of payment default. The company intends to use the net proceeds from this offering, along with an $800 million term loan A due 2030 (not rated), to refinance the company's existing credit facilities due 2027. As part of the transaction, the company will also refinance its revolving credit facilities due 2027 with a $1.25 billion multicurrency revolving credit facility due 2030. The transaction will reduce near-term refinancing risk in 2027 on its credit facilities. S&P said, "The transaction is leverage neutral and our ratings are unchanged. The stable outlook on O-I Glass reflects our expectation for its leverage to improve close to 4.5x over the next 12 months due to earnings growth as a result of both permanent capacity reductions and fewer temporary production curtailments. We also expect cash flows to improve in 2025 due to higher earnings and lower capital expenditure (capex), leading to a modest reduction in net debt." Issue Ratings--Recovery Analysis Key analytical factors -- S&P's simulated default scenario assumes a payment default in early 2029 as a result of declining volume on tepid end-market demand amid intensifying competition and weak economic conditions. This also assumes product substitution and increasing input costs pressure margins and cash flow. Market conditions may inhibit the ability to raise prices. As a result, its cash flow is insufficient to cover interest expense, required term loan amortization, working capital, and capex requirements. Eventually, the company's liquidity and capital resources become strained to the point the company cannot continue to operate without a bankruptcy filing. -- S&P assumes roughly 20% of the company's enterprise value at emergence relates to the U.S. (Owens-Brockway Glass Container Inc.), 25% to the Mexican subsidiaries (which roll up under Owens-Brockway), and 55% to its other foreign subsidiaries (OI European Group B.V. and subsidiaries O-I Canada Corp. and O-I Europe S.a.r.l). -- U.S. borrowings under Owens-Brockway's credit facility benefit from a lien on most of O-I Glass's domestic assets (excluding mortgages on real estate and 35% of the equity in its foreign subsidiaries). Secured borrowings by foreign subsidiaries ($1.25 billion multicurrency revolver) has additional guarantees and collateral. -- The senior unsecured notes issued by O-I European Group have a structurally senior claim on the non-U.S. enterprise value (relative to U.S. debt), although this claim is unsecured and effectively junior to the foreign secured borrowings. The notes are also guaranteed by Owens-Brockway and other domestic subsidiaries. -- The senior unsecured notes issued by Owens-Brockway have unsecured guarantees by O-I Glass and its domestic subsidiaries. Simulated default assumptions -- Simulated year of default: 2029 -- EBITDA multiple: 6.0x -- EBITDA at emergence: $710 million -- Jurisdiction: U.S. Simplified waterfall -- Valuation split (U.S./Mexico/other): 20%/25%/55% -- Net recovery value (after 5% administrative expenses): $4.049 billion -- Net value of Mexican equity obligors (after estimated securitization priority claims of $33 million): $891 million (collateral of $579 million/unpledged value of $312 million) -- Net value of O-I European Group and subsidiaries (after estimated securitization priority claims of $414 million): $1.814 billion -- Credit facility borrowings by U.S. nonobligors (collateral): $744 million -- Total value available to O-I European Group unsecured debt (including unpledged share): $1.070 billion* -- O-I European Group unsecured debt: $1.738 billion --Recovery expectations: 50%-70% (rounded estimate: 60%)* -- Net value of U.S. obligors (after estimated securitization priority claims of $105 million): $705 million -- Total value available for first-lien claims (collateral and unpledged share): $2.116 billion -- Total domestic credit facility claims (U.S. and foreign amounts): $2.524 billion --Recovery expectations: 70%-90% (rounded estimate: 85%) -- Value available to unsecured claims: $312 million -- Owens-Brockway unsecured debt: $1.658 billion -- Deficiency claims (secured debt/European notes): $668 million ($0/$668 million) -- Total unsecured claims: $2.734 billion --Recovery expectations: 10%-30% (rounded estimate: 10%) Note: S&P said, "Debt amounts include six months of accrued interest that we assume will be owed at default. Credit facility collateral reflects a collection allocation mechanism that combines the value from direct foreign (nonobligors) credit facility borrowings, domestic borrowings and collateral, and equity pledges in nonobligors. We generally assume usage of 85% for cash flow revolvers at default. We also generally assume debt maturing before our simulated default is refinanced before maturity." *The recovery on O-I European Group's unsecured debt includes its share of the value available to domestic creditors. PACK LIQUIDATING: Court Narrows Claims in Vagenas, et al. Case -------------------------------------------------------------- Judge Craig T. Goldblatt of the Unithed States Bankruptcy Court for the District of Delaware granted in part and denied in part the motion to dismiss filed by the defendants in the adversary proceeding captioned as Official Committee of Unsecured Creditors of Pack Liquidating, LLC, et al., derivatively, on behalf of the debtors' estate, Plaintiff, v. Andrew Vagenas, et al., Defendants, Adv. Proc. No. 23-50590 (Bankr. D. Del.). This action involves claims that have been made against various entities and individuals associated with Quality King Distributors. The claims arise out of the defendants' relationship with Packable and its affiliates, which are the debtors in the underlying bankruptcy case. In addition to being a supplier of the debtors, Quality King was also an early investor. As a result of its equity holdings, Quality King's principal, Glenn Nussdorf, sat on the debtors' board of directors. Pharmapacks was founded in 2010 by Andrew Vagenas, Bradley Tramunti, and James Mastronardi as an e-commerce venture selling health and wellness products. In 2014, as part of an effort to raise capital, the founders formed a holding company, known as Packable Holdings. Each of the founders originally held a one-third interest in the holding company. In August 2014, Jonathan Webb, Adam Berkowitz, and Quality King collectively paid $500,000 for 50% of the equity of the holding company. At the same time that it acquired equity in the holding company, Quality King made a revolving loan to the debtors under which it provided up to $9 million in financing. In September 2023, the Committee filed its initial complaint in this adversary proceeding. In March 2024, the Committee filed its first amended complaint. The defendants filed their motion to dismiss the first amended complaint in June 2024, for failure to state a claim upon which relief may be granted. The Committee did not oppose this motion. Instead, it filed a second amended complaint. It did so, however, without seeking leave of this Court or with permission from the defendants. The defendants subsequently filed their motion to strike the second amended complaint, or in the alternative, renewed their motion to dismiss. Actual Fraudulent Conveyance Claims The Committee alleges that several transfers made by the debtors to the QK Entities were made with actual intent to hinder, delay, or defraud creditors. To survive dismissal, the Committee must plead facts sufficient to support a plausible inference of fraudulent intent. The Committee's theory is that the QK Entities -- for the same reason they are alleged to be insiders -- effectively controlled the debtors and thus directed the challenged transfers. According to the Court, the complaint makes no allegation about any specific communication, board deliberations, or factual circumstances that would support an inference of fraudulent intent. Such conclusory allegations do not meet the heightened pleading requirement that fraud be pled with particularity. The Court finds because the Committee has not plausibly alleged that the debtors acted with actual intent to hinder, delay, or defraud creditors -- and because the complaint fails to satisfy Rule 9(b) -- the claims under Sec. 548(a)(1)(A) must be dismissed. Constructive Fraudulent Conveyance Claims In several counts of the amended complaint, the Committee seeks to avoid transfers to the defendants as constructive fraudulent conveyances under Sec. 548(a)(1)(B) and state-law analogs under Sec. 544(b). In this case, insolvency is sufficiently pled only as to those transactions that occurred after the end of 2021. And as to those transactions, there is no allegation that the debtors did not receive reasonably equivalent value in exchange for those transfers. Because the complaint does not allege that there were transfers between the time of the going concern qualification and the end of calendar year 2021, there is no need to parse the legal sufficiency of the going concern qualifications standing alone. It is clear that the complaint does allege insolvency with respect to transactions that occurred after the end of 2021. It does not, however, sufficiently plead insolvency as to any of the transfers that it alleges were made before that time, the Court concludes. In this case, the two categories of "transfers" that were alleged to have occurred after the debtors became insolvent were the payment of invoices to Quality King and the releases granted in connection with the term loan and the bridge loan. The Court finds the complaint fails to allege that the consideration that the debtors received in connection with either of these types of transfers was not reasonably equivalent to the value of the transfers. In this case, there is no suggestion in the complaint that the payments did not, in fact, satisfy otherwise valid debts. Accordingly, the Committee cannot claim that the invoice payments were not made for reasonably equivalent value. The constructive fraudulent conveyance claim with respect to these payments thus fails to state a claim, the Court holds. The second amended complaint also alleges that the releases that were given to Quality King in connection with the two loans that Quality King made to the debtors were themselves fraudulent conveyances. Specifically, in connection with both the $10.5 million term loan and the $1.4 million bridge loan, the debtors granted releases to Quality King, its affiliates, and related individuals. The Committee's primary argument for a lack of reasonable value rests on the fact that they contend the releases were over broad and disproportionate to the lending relationship. The complaint alleges that general releases were granted for the benefit not only of the Quality King entity that made the loan, but also for the benefit of affiliates of and individuals associated with Quality King. The defendants argue that the plaintiffs have not satisfied their burden of demonstrating a lack of reasonably equivalent value. The Court agrees with the defendants that the Committee has not plausibly alleged that, in these transactions, the estate did not receive reasonably equivalent value. Judge Goldblatt explains, "Taking all the facts in the complaint as true and drawing all reasonable inferences in favor of the Committee, the complaint fails to allege a lack of reasonably equivalent value. The complaint recognized that at the time that Quality King elected to extend credit by making the loans in question, the debtors had effectively exhausted all efforts to obtain a third-party loan. Under these circumstances, the fact that the loan terms included a release for the lender and related parties is woefully inadequate to suggest that the terms did not reflect reasonably equivalent value." With respect to the Committee's claims seeking to avoid the releases granted in connection with the term loan and the bridge loan, Judge Goldblatt says the Committee fails to allege claims that are plausible under the standards laid out in Iqbal and Twombly. Those claims will accordingly be dismissed. The Committee has pled various common law causes of action against the defendants, including breach of contract, breach of fiduciary duty, breach of the covenant of good faith and fair dealing, unjust enrichment, aiding and abetting breach of fiduciary duty, aiding and abetting breach of contract, and tortious interference with contract. Other than their unsuccessful effort to set aside the releases on the grounds that the releases themselves amounted to fraudulent conveyances, the Committee does not otherwise take issue with the validity or enforceability of the general releases. Because the common law claims all fall within the ambit of those releases, they fail to state a claim for which relief may be granted. Preference Claims Many of the transfers that the Committee seeks to avoid as preferential are alleged to have occurred outside the 90-day period, so can only be avoided if the transferee is an "insider" of the debtor as that term is defined in Sec. 101(31) of the Bankruptcy Code. According to the Court, neither party disputes that Nussdorf is a statutory insider of the debtors by virtue of his role as a manager and board member. The issue turns on whether the Quality King Entities themselves qualify as insiders under Sec. 101(31). The Committee's position rests one argument: they contend that the defendants' ability to select a member to the debtors' board effectively makes each of them a statutory insider within the definition of Sec. 101(31)(B)(iii), by virtue of their "control" over the debtors. Essentially, the argument is that Nussdorf was acting as an agent of the QK Entities, and that the QK Entities thereby controlled the debtors. The Committee grounds this argument in the second amended complaint's assertions relating to: (1) the proximity of QK Entities to the debtors, (2) the control and influence exerted by the QK Entities on the debtors, and (3) the asserted non-arms'-length transactions between the QK Entities and the debtors. The defendants respond by pointing out that these assertions are largely conclusory, and that the complaint does not contain concrete factual allegations sufficient to establish the kind of close relationship sufficient to meet the requirements of a non-statutory insider. The Third Circuit's decision in In re Winstar Commc'ns, Inc., 554 F.3d 382, 396 (3d Cir. 2009) explains that a defendant may be deemed a non-statutory insider upon a showing: (i) of the existence of a close relationship between the debtor and the alleged insider, and (ii) that the transactions between the parties were not conducted at arm's-length. Applying that standard in this case, the Court finds the second amended complaint fails to allege facts sufficient to make this showing. Equitable Subordination Claim According to the Court, the second amended complaint does not allege conduct that would provide a basis to subordinate the defendants' claim under the equitable subordination doctrine. The plaintiff's claim for equitable subordination will accordingly be dismissed. Recharacterization Claim The Committee also asks the Court to recharacterize Quality King's term loan as equity rather than a secured claim. It contends that the term loan was not a bona fide loan transaction but rather a disguised equity infusion, pointing to what it says were non-arm's-length terms, the absence of certain traditional repayment features, and the debtors' undercapitalization at the time of funding. The Committee further argues that recharacterization is appropriate because the economic reality of the transaction was that the term lenders were functioning as investors whose repayment was dependent on the possibility that the debtors would be able to return value to their shareholders, rather than as creditors expecting repayment on standard commercial loan terms. According to the Court, the complaint's allegations fall short of plausibly supporting recharacterization. The Court concludes the Committee has failed to state a claim upon which relief can be granted, and the motion to dismiss the recharacterization claim will be granted. Claim for Disallowance The complaint alleges that certain of the defendants have filed proofs of claim, including for the debt that was due under the term loan. The Court finds because certain of the preference claims (those made within 90 days of the bankruptcy filing) survive the motion to dismiss, the Sec. 502(d) disallowance claims against those defendants are accordingly sufficient to state a claim. The motion to dismiss those claims will therefore be denied. A copy of the Court's Memorandum Opinion dated September 5, 2025, is available at https://urlcurt.com/u?l=SGCZAR About Pack Liquidating Pack Liquidating, LLC, filed a Chapter 11 petition (Bankr. D. Del. Case No. 22-10797) on August 28, 2022, with $100 million to $500 million in assets and liabilities. Judge Craig R. Goldblatt oversees the case. Christopher M. Samis, Esq., at Potter Anderson & Corroon LLP, is the Debtor's counsel. PALAZZO DEVELOPMENT: Ruediger Mueller Named Subchapter V Trustee ---------------------------------------------------------------- The Acting U.S. Trustee for Region 21 appointed Ruediger Mueller of TCMI, Inc. as Subchapter V trustee for Palazzo Development Group, Inc. Mr. Mueller will be paid an hourly fee of $350 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Mueller declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Ruediger Mueller TCMI, Inc. 1112 Watson Court Reunion, FL 34747 Telephone: (678) 863-0473 Facsimile: (407) 540-9306 Email: truste@tcmius.com About Palazzo Development Group Palazzo Development Group, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-01721) on September 3, 2025, with $100,001 to $500,000 in assets and liabilities. Judge Caryl E. Delano presides over the case. Jonathan M. Bierfeld, Esq. at Martin Law Firm Pl represents the Debtor as legal counsel. PAWLUS DENTAL: Unsecureds to Get Share of Income for 3 Years ------------------------------------------------------------ Pawlus Dental, Inc., filed with the U.S. Bankruptcy Court for the Southern District of Indiana a Small Business Chapter 11 Plan dated September 9, 2025. The Debtor has been in operation since 1998, incorporated in 2024 and is located in Columbus, Indiana. Pawlus is owned by John Pawlus and operates as a dental office, specializing in transformative dentistry. In 2023, Pawlus obtained a loan from a merchant cash advance lender to address a liquidity crunch. Pawlus notified its primary secured lender, German American Bank ("GAB"), who subsequently sent notices to the various account debtors asserting GAB’s prior security interest and advised account debtors to refrain from remitting monies to asserted junior lien holders. Pawlus' ability to pay its ongoing expenses was drastically affected by the freezes, and there was approximately $600,000.00 in receivables owed to Pawlus prior to the Petition Date. The bulk of that amount were invoices Pawlus had intentionally not submitted to insurance companies out of an abundance of caution and for fear the monies would be sent to MCA parties. With the bankruptcy stay in place and this Court entering a cash use order, Pawlus' funds have started flowing to it and Pawlus believes it will be able to successfully reorganize. Class 8 consists of General Unsecured Claims. General Unsecured Claims include any merchant cash advance ("MCA") party's claim that holds a claim allowed by court order. Three MCA parties have filed timely claims in this case, and the Debtor scheduled all MCAs as disputed, contingent, and unliquidated. Accordingly, any MCA that did not timely file a claim shall not have an Allowed Claim. The General Unsecured Claims shall receive an annual pro rata distribution of the disposable income of the Debtor commencing on or before October 2026, for the prior twelve months and continuing on or before October of 2027 and 2028 for the respective prior twelve month periods, for a total three-year term. The Debtor shall be entitled to retain an operating capital reserve of $25,000.00 before calculating the disposable income to be distribute under this Plan. The Debtor believes there are no less than sixteen unsecured creditors holding Allowed Claims in the amount of no less than $431,624.41, including MCA claims. Class 9 consists of Equity Holders. In a limited liability company, the Equity Interest holders are the members. Finally, with respect to an individual who is a debtor, the Debtor is the Equity Interest holder. John Pawlus shall remain the sole shareholder. The source of funds used in this Plan for payments to creditors shall be from the business operations of Pawlus. The Debtor believes that the Debtor will have enough cash on hand on the Effective Date of the Plan to pay all the Claims and expenses that are entitled to be paid on that date. A full-text copy of the Chapter 11 Plan dated September 9, 2025 is available at https://urlcurt.com/u?l=r9jA2I from PacerMonitor.com at no charge. Pawlus Dental Inc. is represented by: Jeffrey M. Hester, Esq. Hester Baker Krebs LLC Suite 1330 One Indiana Square Indianapolis, IN 46204 Telephone: (317) 608-1129 Facsimile: (317) 833-3031 Email: jhester@hbkfirm.com About Pawlus Dental Pawlus Dental, Inc., provides comprehensive dental services in Columbus, Ind., focusing on preserving natural teeth and enhancing smile aesthetics. The practice offers treatments including dental implants, sleep apnea management, clear aligners, periodontal and cosmetic care, preventive and restorative dentistry, wisdom teeth extraction, root canal therapy, and sedation dentistry. Pawlus Dental sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ind. Case No. 25-02780) on May 14, 2025, listing $890,156 in total assets and $1,119,328 in total liabilities. John G. Pawlus, president and owner of Pawlus Dental, signed the petition. Judge James M. Carr oversees the case. John Allman, at Hester Baker Krebs, LLC, is the Debtor's bankruptcy counsel. German American Bank, as lender, is represented by: Bruce A. Smith, Esq. Rhonda S. Miller, Esq. Smith & Miller, LLP P.O. Box 387 Bargersville, IN 46106 Phone: (812) 802-0222 E-mail: bsmith@smithmillerlaw.com rmiller@smithmillerlaw.com PC LEARNING: Ronald Friedman of Rimon PC Named Subchapter V Trustee ------------------------------------------------------------------- The U.S. Trustee for Region 2 appointed Ronald Friedman, Esq., at Rimon, PC as Subchapter V trustee for PC Learning Centers, Inc. Mr. Friedman will be paid an hourly fee of $800 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Friedman declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Ronald J. Friedman, Esq. Rimon PC 100 Jericho Quadrangle, Ste. 300 Jericho, NY 11753 Email: ronald.friedman@rimonlaw.com About PC Learning Centers PC Learning Centers, Inc., doing business as NYC Seminar and Conference Center (NYCSCC), operates a 9,300-square-foot event and conference facility in New York City's Flatiron District, Chelsea neighborhood. The center provides flexible seminar and meeting spaces accommodating 6 to 200 participants, supporting hybrid events with integrated audiovisual and technology infrastructure, including internet connectivity, video conferencing, and on-site tech support. NYCSCC offers event planning services, catering options, customizable room configurations and online booking, targeting corporate meetings, training sessions, and professional seminars. PC Learning Centers filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. N.Y. Case No. 25-11964) on September 9, 2025, with up to $50,000 in assets and $1 million to $10 million in liabilities. Tod Shapiro, vice president of PC Learning Centers, signed the petition. Judge Michael E. Wiles presides over the case. Kenneth L. Baum, Esq., at the Law Offices of Kenneth L. Baum, LLC represents the Debtor as the bankruptcy counsel. PHILLIPS ACRES: Case Summary & 11 Unsecured Creditors ----------------------------------------------------- Debtor: Phillips Acres, Inc. 492 Phillips Ln. Farmville, NC 27828 Business Description: Phillips Acres, Inc. owns and manages agricultural real estate in Farmville, North Carolina, comprising three parcels totaling 108.1 acres at 499 Albritton Road. The property includes four turkey houses, a waste lagoon, and surrounding fields and forests. Chapter 11 Petition Date: September 16, 2025 Court: United States Bankruptcy Court Eastern District of North Carolina Case No.: 25-03601 Judge: Hon. Pamela W McAfee Debtor's Counsel: C. Scott Kirk, Esq. SCOTT KIRK 1025C Director Court Greenville, NC 27858 Tel: (252) 689-6249 Email: scott@csklawoffice.com Total Assets: $715,000 Total Liabilities: $2,107,758 The petition was signed by David N. Phillips as president. A full-text copy of the petition, which includes a list of the Debtor's 11 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/2W2LSVQ/Phillips_Acres_Inc__ncebke-25-03601__0001.0.pdf?mcid=tGE4TAMA PHOEBEN 2 LLC: Seeks Subchapter V Bankruptcy in Texas ----------------------------------------------------- On September 12, 2025, Phoeben 2 LLC filed Chapter 11 protection in the Southern District of Texas. According to court filing, the Debtor reports $3,098,776 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Phoeben 2 LLC Phoeben 2 LLC, doing business as Armenta, is a Houston-based jewelry company that designs and manufactures handcrafted collections using mixed metals and gemstones. Phoeben 2 LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-35368) on September 12, 2025. In its petition, the Debtor reports total assets of $710,465 and total liabilities of $3,098,776. Honorable Bankruptcy Judge Alfredo R. Perez handles the case. The Debtor is represented by Kimberly A. Bartley, Esq. at WALDRON & SCHNEIDER, PLLC. PLAZA MARIACHI: Court Extends Cash Collateral Access to Oct. 31 --------------------------------------------------------------- Plaza Mariachi, LLC received approval from the U.S. Bankruptcy Court for the Middle District of Tennessee, Nashville Division, to use cash collateral until October 31, marking the third extension since its Chapter 11 filing. The court order authorized the Debtor to use the cash collateral of secured creditors, First Financial Bank, N.A. and Capital One, N.A., for the period from April 23 to October 31 in accordance with its monthly budget. This cash collateral includes rental income and other operating revenues. Both secured creditors hold a lien on the Debtor's property located at 3955 Nolensville Pike, Nashville, Tenn. Rents and profits generated by the property constitute the secured creditors' cash collateral. As protection for the use of First Financial Bank's cash collateral, the bankruptcy court approved the monthly payments of $55,000 to the bank in lieu of interest-only payments. The Debtor also agreed to hold bi-weekly calls with its broker, Colliers International, with participation open to both lenders and counsel, to provide updates on efforts to market and sell The Shops at Plaza Mariachi. About Plaza Mariachi LLC Plaza Mariachi is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). Plaza Mariachi LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Tenn. Case No. 24-02441) on July 1, 2024, listing $10 million to $50 million in both assets and liabilities. The petition was signed by Mahan Mark Janbakhsh, member/manager. Judge Charles M. Walker oversees the case. Sean C. Wlodarczyk, Esq. at Evans, Jones & Reynolds, PC, is the Debtor's counsel. First Financial Bank, as lender, is represented by: Chase Fann, Esq. Spencer Fane, LLP 511 Union Street, Suite 1000 Nashville, TN 37219 Telephone: (615) 238-6300 Facsimile: (615) 238-6301 Email: cfann@spencerfane.com POPELINO'S TRANSPORTATION: Gets Interim OK to Use Cash Collateral ----------------------------------------------------------------- Popelino's Transportation, Inc. received interim approval from the U.S. Bankruptcy Court for the Central District of California, Riverside Division, to use cash collateral. The interim order authorized the Debtor to use cash collateral from August 28 to October 14 to pay the expenses set forth in its budget. The Debtor has the flexibility to increase expenditures by up to 15% for any particular line item in the budget and 15% in the aggregate. To protect the interests of secured creditors, the court granted them adequate protection by way of replacement liens on the Debtor's post-petition accounts and accounts receivable on a dollar-for-dollar basis, maintaining the same priority and scope as each creditor's original pre-bankruptcy lien. A final hearing is scheduled for October 14. The Debtor's income constitutes cash collateral, which is secured by two creditors: the U.S. Small Business Administration, holding a secured claim of approximately $1.26 million, and ODK Capital LLC, with a partially secured claim of $158,470. The combined value of the Debtor's assets is estimated at $1.2 million. About Popelino's Transportation Inc. Popelino's Transportation, Inc. is a Riverside, California-based company that has been offering green waste hauling and transportation services since 2005. Additionally, the Company recycles green waste at its facility to generate compost, mulch, and woodchips for landscaping. Popelino's Transportation filed petition (Bankr. C.D. Calif. Case No. 25-11628) on March 18, 2025, listing $3,318,612 in total assets and $8,329,194 in total liabilities. Jose Barragan, president of Popelino's Transportation, signed the petition. Judge Mark D. Houle oversees the case. Todd Turoci, Esq., at The Turoci Firm represents the Debtor as legal counsel. PROSPECT MEDICAL: Reaches Deal w/ Connecticut Healthcare Network ---------------------------------------------------------------- Randi Love of Bloomberg Law reports that bankrupt hospital operator Prospect Medical Holdings Inc. said it has settled a dispute with a Connecticut-based health system stemming from an uncompleted $435 million deal. Three hospitals that had been part of a 2022 agreement with Yale New Haven Health Services Corp. will instead be auctioned off, Prospect attorney Thomas Califano told a Texas bankruptcy judge Tuesday, September 16, 2025. Further terms of the settlement will be detailed in filings expected next week, the report states. About Prospect Medical Holdings 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, as 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 tapped Alvarez & Marsal North America, LLC as financial advisor; Houlihan Lokey, Inc. as investment banker; and Omni Agent Solutions, Inc. as claims, noticing and solicitation agent. RAFTER H FARM: Unsecureds to Get $2,500 per Month for 36 Months --------------------------------------------------------------- Rafter H Farm and Ranch, LLC filed with the U.S. Bankruptcy Court for the Northern District of Texas a Plan of Reorganization under Subchapter V dated September 9, 2025. Formed June 6, 2018, Rafter H is a Texas limited liability company which transports agricultural products in the Abilene, Texas region. Sam Hemphill is the sole member/manager of the Debtor. RafterH started with one truck and a small farm. When the truck was not in use for farm operations, it was used for hauling frac sand in the Eagle Ford Basin. Eventually, RafterH started contracting and dispatching other trucks for hauling services. Sam Hemphill additionally used his farming connections to start trading/growing white corn for a customer in Texas. Rafter H's financial difficulties arose primarily from losses experienced in connection with the sale of corn to Lipan Cattle Feeders, LLC and Veribest Cattle Feeders, Inc. and subsequent high interest loans and merchant cash advances secured by the Debtor to cover the resulting cash shortfall. As a result of a mediation conducted April 11, 2025, the Debtor has entered into a settlement agreement with Lipan Cattle Feeders, LLC and Veribest Cattle Feeders, Inc. which will result in a total of $535,000 paid to the Debtor over a period of 31 months secured by a judgment in the principle amount of $700,000 (the "Lipan Settlement"). Prior to the Petition Date, payments received by the Debtors pursuant to the Lipan Settlement totaled $140,000.00 and since the Petition Date, the Debtors have received an additional $70,000.00. Before Rafter H reached the point where financial recovery was hopeless, it was determined commencement of chapter 11 proceedings was the only viable option for an internal reorganization of the Debtors' operations. This Plan is provided to all known Creditors and parties in interest pursuant to the Bankruptcy Code. Under the Plan, Debtor will pay in full Allowed Secured Claims, Allowed Administrative Claims, Allowed Priority Claims and Allowed Priority Tax Claims. Debtor will make payments to Creditors holding Allowed General Unsecured Claims over a period of thirty-six months in quarterly distributions of a fixed amount proposed herein or, alternatively, of Disposable Income available to the Debtor. The Plan provides for a distribution to Creditors in accordance with the terms of the Plan from the Debtor over the course of three years from the Effective Date of the Plan from the Debtor's continued business operations. Class 13 consists of Non priority Unsecured Creditors. Each holder of an Allowed Unsecured Claim in Class 13 shall be paid by Reorganized Debtor as follows in full satisfaction of such creditor's claim: holders of an allowed Class 13 (as well as other Classes of Claims deemed to be a member of Class 13) shall receive their pro-rata share of payments from a common fund (the "Unsecured Creditor Pool"), which pool shall consist of a fixed payment amount of $2,500.00 per month for thirty-six months or, alternatively, of Disposable Income available to the Debtor in payment of these Claims. Payments from the Unsecured Creditor Pool to holders of allowed Class 13 Claims shall be accrued and paid quarterly, for a period not to exceed three years. The first of twelve quarterly Disposable Income Payments shall be made on the first day of the third month following the Effective Date and every three months thereafter. No Holder of a Class 13 Claim shall receive more than 100% of their Allowed Claim. This Class is impaired. Class 14 consists of the holder of Allowed Interests of Debtor. The holder of an Allowed Class 14 Interest shall retain its interest in the Reorganized Debtor. The Debtor 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 Debtor shall perform all obligations under all executory contracts and unexpired leases assumed in accordance with Article 8 of this Plan. A full-text copy of the Plan of Reorganization dated September 9, 2025 is available at https://urlcurt.com/u?l=DrZWCX from PacerMonitor.com at no charge. Counsel to the Debtor: 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. FBN Finance, LLC, as secured creditor, is represented by: Jason P. Kathman, Esq. Laurie N. Patton, Esq. Spencer Fane, LLP 5700 Granite Parkway, Suite 650 Plano, TX 75024 Tel: (972) 324-0300 Fax: (972) 324-0301 E-mail: jkathman@spencerfane.com lpatton@spencerfane.com United First, LLC, as secured creditor, is represented by: Broocks Wilson, Esq. Wilson, PLLC 708 Main Street, 10th Floor Houston, TX 77002 Tel: (713) 320-8690 E-mail: mack@wilson-pllc.com Midwest Regional Bank, as secured creditor, is represented by: James W. Brewer, Esq. Kemp Smith, LLP P.O. Box 2800 El Paso, TX 79999-2800 Tel: (915) 533-4424 Fax: (915) 546-5360 E-mail: James.brewer@kempsmith.com jim.brewer@kempsmith.com RIVER NORTH FARMS: Seeks Chapter 11 Bankruptcy in Texas ------------------------------------------------------- On September 15, 2025, River North Farms Incorporated filed Chapter 11 protection in the Northern District of Texas. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will not be available to unsecured creditors. About River North Farms Incorporated River North Farms Incorporated operates as a general crop farming business with additional mineral interests in Tarrant County. River North Farms Incorporated sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-43509) on September 15, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by Joyce Lindauer, Esq. at JOYCE W. LINDAUER ATTORNEY, PLLC. RUSS'S MULCH: Seeks Subchapter V Bankruptcy in Wisconsin -------------------------------------------------------- On September 12, 2025, Russ's Mulch & Trucking LLC filed Chapter 11 protection in the Eastern District of Wisconsin. 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 Russ's Mulch & Trucking LLC Russ's Mulch & Trucking LLC provides general freight trucking services in Wisconsin, focusing on the intrastate transport of bulk and general freight materials. Russ's Mulch & Trucking LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Wis. Case No. 25-25134) on September 12, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Rachel M. Blise handles the case. The Debtor is represented by Kevin Benjamin, Esq. at BENJAMIN LEGAL SERVICES, PLC. SBLA INC: Unsecured Creditors to Split $30K over 3 Years -------------------------------------------------------- SBLA, Inc., submitted a First Amended Plan of Reorganization dated September 9, 2025. The Debtor is a Delaware corporation with its principal place of business located at 1615 S. Congress Ave., Suite 103, Delray Beach, FL 33445; however, the Debtor's employees all work remotely. The Debtor manufactures and sells beauty and anti-aging products. The Debtor filed for bankruptcy as a result of its unsustainable reliance on merchant cash advance (MCA) financing. It initially sought what it believed to be short-term financing from 8Fig, Inc. Unfortunately, the debt service to 8Fig became untenable, and the Debtor had to take out additional loans from new MCA lenders in order to service the prior lenders. Prepetition, the Debtor's MCA lenders issued UCC § 9-406 notices to Amazon, Shopify, and Paypal, all of which collect funds from the Debtor's customers and remit those funds to the Debtor. Accordingly, the Debtor's cash flow evaporated. The Debtor's MCA lenders also demanded repayment and filed lawsuits against the Debtor. Accordingly, the Debtor filed this Case to reorganize and regain control of its cash flow. Class 2 consists of Allowed General Unsecured Claims. This Class includes the 8Fig Deficiency Claim and the Unsecured MCA Claims. Without prejudice, the Debtor estimates that Class 2 may consist of Allowed General Unsecured Claims in an amount as high as $7,861,135.92. The holders of the Unsecured MCA Claims each allege a perfected security interest in, variously, the Debtor's assets and accounts. The relevant UCC-1 filings were all later in time than the UCC-1 filings by 8Fig. Accordingly, the security interests securing the Unsecured MCA Claims are junior to the security interests of 8Fig. Accordingly, the Unsecured MCA Claims are wholly undersecured and shall receive treatment as Allowed Class 2 General Unsecured Claims. Except to the extent that a holder of an Allowed Class 2 Claim has been paid prior to the Effective Date or agrees to a different treatment, in full satisfaction, settlement, release, extinguishment and discharge of such Claim, each holder of an Allowed Class 2 Claim shall receive a Pro Rata Distribution from a total of $30,000 payable on the third anniversary of the Effective Date. The Allowed Class 2 Claims are Impaired. Accordingly, each holder of an Allowed Class 2 Claim is entitled to vote to accept or reject the Plan. Class 3 consists of 100% of the Equity Interest in the Debtor held by SBLA Brands, Inc. Upon the Effective Date, unless otherwise provided in the Plan or the Confirmation Order, SBLA Brands, Inc shall retain its 100% Equity Interest in the Debtor. The Allowed Class 3 Equity Interest is unimpaired and is deemed to have accepted the Plan. The sources of consideration for Distributions under the Plan is the Debtor's operating income. Historically, the Debtor offered products solely to the U.S. market. Post-confirmation, the Reorganized Debtor will offer products to all markets which will result in increased revenues compared to the Debtor's historical performance, for the benefit of the Debtor's estate and creditors. A full-text copy of the First Amended Plan dated September 9, 2025 is available at https://urlcurt.com/u?l=GTcZvh from PacerMonitor.com at no charge. Attorneys for the Debtor: SHRAIBERG PAGE P.A. Bradley S. Shraiberg, Esq. Samuel W. Hess, Esq. 2385 NW Executive Center Drive, Suite 300 Boca Raton, Florida 33431 Telephone: 561-443-0800 Facsimile: 561-998-0047 Email: bss@slp.law Email: shess@slp.law About SBLA Inc. SBLA, Inc. focuses on providing non-invasive, at-home anti-aging solutions through its innovative "sculpting wands." Its product line includes items like the Neck, Chin & Jawline Sculpting Wand, Facial Instant Sculpting Wand, and Lip Plump & Sculpt to help firm, lift, and rejuvenate various areas of the face and body. Known for its collaboration with Christie Brinkley, SBLA emphasizes effective, science-backed skincare to offer alternatives to invasive procedures. SBLA sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-12606) on March 11, 2025, listing $801,858 in assets and $3,252,917 in liabilities. Leonard Cogan, chief financial officer of SBLA, signed the petition. Judge Mindy A. Mora oversees the case. Bradley S. Shraiberg, Esq., at Shraiberg Page PA, is the Debtor's legal counsel. SEQUOIA GROVE: Case Summary & One Unsecured Creditor ---------------------------------------------------- Debtor: Sequoia Grove, Inc. GM Outdoor Living, Pool & Spa 1207 West Ferguson St. Humble TX 77338 Business Description: Sequoia Grove, Inc., doing business as GM Outdoor Living, Pool & Spa, designs, builds, renovates, and maintains custom swimming pools, outdoor living spaces, and kitchens for residential clients in the Greater Houston area from its base in Humble, Texas. The Company also partners with third-party financial institutions to provide customer financing for pool construction and outdoor living projects. Chapter 11 Petition Date: September 16, 2025 Court: United States Bankruptcy Court Southern District of Texas Case No.: 25-35441 Judge: Hon. Jeffrey P Norman Debtor's Counsel: Leonard Simon, Esq. PENDERGRAFT & SIMON LLP 2777 Allen Parkway Suite 800 Houston TX 77019 Tel: 713-528-8555 E-mail: lsimon@pendergraftsimon.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Martin Rafter as president and CEO. The Debtor listed American Express, P.O. Box 6031, Carol Stream, Illinois, as its sole unsecured creditor with a $161,977 claim tied to credit card debt. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/XK5GCHA/Sequoia_Grove_Inc__txsbke-25-35441__0001.0.pdf?mcid=tGE4TAMA SIMBA IL HOLDINGS: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------------- Debtor: Simba IL Holdings, LLC 610 Newport Center Drive, Suite 950 Newport Beach, CA 92660 Business Description: Simba IL Holdings, LLC operates as a nonbank holding company that manages equity interests in subsidiary businesses. Chapter 11 Petition Date: September 16, 2025 Court: United States Bankruptcy Court Central District of California Case No.: 25-12616 Debtor's Counsel: Leonard M. Shulman, Esq. SHULMAN BASTIAN FRIEDMAN BUI & O'DEA LLP 100 Spectrum Center Drive, Suite 600 Irvine CA 92618 Tel: 949-340-3400 Email: lshulman@shulmanbastian.com Debtor's Special Counsel: REEVES & WEISS LLP Debtor's Chief Restructuring Officer: Richard Marshack, Esq. MARSHACK HAYES WOOD LLP Estimated Assets: $10 million to $50 million Estimated Liabilities: $100 million to $500 million The petition was signed by Mordechai H. Ferder as manager. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/CGSJLUQ/SIMBA_IL_HOLDINGS_LLC__cacbke-25-12616__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Champion Force $56,393,258 c/o Leib M Lerner/Alston & Bird LLP 350 South Grand Ave 51st Floor Los Angeles, CA 90071 Leib M. Lerner Phone: (213) 576-1000 Email: Leib.lerner@alston.com 2. Testa, Darren $6,377,794 c/o Todd C Theodora Theodora Oringher PC 535 Anton Blvd Ninth Floor Costa Mesa, CA 92626-7109 Phone: (714) 549-6200 Email: ttheodora@tocounsel.com c/o Mark Eckard Raines Feldman Littrell LLP 824 N. Market Street, Suite 805 Wilmington, DE 19801 c/o Mark Eckard Raines Feldman Littrell LLP 1900 Avenue of the Stars 19th Fl Los Angeles, CA 90067 Phone: (302) 647-1018 Email: meckard@raineslaw.com c/o Michelle Schindler Ferguson Schindler Law Firm 119 South Spring Street Suite 201 Aspen, CO 81611 Phone: (970) 925-6288 Email: michelle@fsaspenlaw.com 3. Belgium New York LLC $1,032,784 c/o Patrick Papalia/Archer & Greiner PC 1211 Avenue of the Americas #2750 New York, NY 10036 Patrick Papalia Phone: (212) 682-4940 Email: ppapalia@archerlaw.com 4. Aronoff, Barry $18,367,608 c/o Lance N Jurich/Loeb & Loeb LLP 10100 Santa Monica Blvd Ste 2200 Los Angeles, CA 90067 Lance Jurich Phone: (310) 282-2000 Email: ljurich@loeb.com 5. Wazana, Avi - $12,430,000 c/o Darren Enenstein Enenstein Pham Glass & Rabbat 8439 W Sunset Blvd Suite 300 Los Angeles, CA 90069 Darren Enenstein Phone: (310) 899-2070 Email: dse@epgrlawyers.com 6. N.B.S. Diamonds/c/o Joseph M. Kar $10,500,000 Law Office of Joseph M. Kar PC 15250 Ventura Blvd Suite PH-1220 Sherman Oaks, CA 91403 Joseph Kar Phone: (818) 501-6930 Email: info@civillegal.com 7. Simon, Scott $9,000,000 641 St James Road Newport Beach, CA 92663 Phone: (949) 500-3686 Email: Wss.sfo@gmail.com 8. Winters, Kristopher-c/o S. Katzman $8,550,000 Bienert Katzman Littrell Williams LLP 903 Calle Amanecer Ste 350 San Clemente, CA 92673 Steven Katzman Phone: (949) 369-3700 Email: skatzman@bklwlaw.com 9. Holzer, Rusty - c/o B Capitummino $8,000,000 Woods Oviatt Gilman LLP 1900 Bausch & Lomb Place Rochester, NY 14604 Brian Capitummino Phone: (585) 987-2863 Email: bcapitummino@woodsoviatt.com 10. Gadol, Bryan $7,929,072 c/o Todd C Theodora Theodora Oringher PC 535 Anton Blvd Ninth Floor Costa Mesa, CA 92626-7109 Todd Theodora Phone: (714) 549-6200 Email: ttheodora@tocounsel.com c/o Mark Eckard Raines Feldman Littrell LLP 824 N Market Street Suite 805 Wilmington, DE 19801 Phone: (302) 647-1018 Email: meckard@raineslaw.com c/o Mark Eckard Raines Feldman Littrell LLP 1900 Avenue of the Stars 19 th Floor Los Angeles, CA 90067 c/o Michelle Schindler Ferguson Schindler Law Firm 119 South Spring Street Suite 201 Aspen, CO 81611 Phone: (970) 925-6288 Email: michelle@fsaspenlaw.com 11. Sydney Holdings Limited $5,580,000 c/o J Levin Glaser Weil Fink Howard Jordan et al 10250 Constellation Blvd 19th Floor Los Angeles, CA 90067 Jesse Levin Phone: (310) 553-3000 Email: jlevin@glaserweil.com c/o B. Capitummino - Woods Oviatt 1900 Bausch & Lomb Place Rochester, NY 14604 Brian Capitummino Phone: (585) 987-2863 Email: bcapitummino@woodsoviatt.com 12. Kelsay, Kaci $5,000,000 110 Westminster Road West Palm Beach, FL 33405 Phone: (561) 889-7754 Email: Kaci.kelsay@gmail.com 13. McMacken, Ron $4,650,000 1660 South Ocean Blvd Manalapan, FL 33462-6210 Phone: (949) 285-9750 Email: ron@panpacplumbing.com 14. Dacus, Debbie $4,000,000 5444 Candlewood Drive Houston, TX 77056 Phone: (281) 804-4489 Email: debdacus@me.com 15. Simon, Ron $4,000,000 620 Newport Center Drive Newport Beach, CA 92660 Phone: (949) 887-5430 Email: rsimon@rsiequity.com 16. Perl, Daniel/c/o Omar J. Yassin $3,175,200 Yassin Law APC 1010 E. Union Street Suite 201 Pasadena, CA 91106 Omar Yassin Phone: (626) 921-4144 Email: oyassin@yassinlegal.com 17. Brandes, Adrienne $2,500,000 919 Gardenia Way Corona Del Mar, CA 92625 Adrienne Brandes Phone: (714) 401-8277 Email: abrandes@suterreproperties.com 18. Cohen, Raymond $2,200,000 c/o Jonathan Hersey/K&L Gates 1 Park Plaza Twelfth Floor Irvine, CA 92614 Jonathan Hersey Phone: (949) 253-0900 Email: Jonathan.hersey@klgates.com 19. Moens, Lawrence $2,000,000 2335 S Ocean Blvd Palm Beach, FL 33480 Phone: (561) 797-9711 Email: moens@moensrealestate.com 20. Shelly, Damon $2,000,000 9881 Research Drive Irvine, CA 92618 Phone: (949) 877-1099 Email: damon@shellygroup.com SIX COOKS: Gets Interim OK to Use Cash Collateral Until Oct. 12 --------------------------------------------------------------- Six Cooks, LLC received second interim approval from the U.S. Bankruptcy Court for the Eastern District of North Carolina, New Bern Division to use cash collateral. The second interim order authorized the Debtor to use cash collateral through October 12, for ordinary, necessary business expenses as listed in the budget. The Debtor may exceed any line item by up to 10%. The Debtor projects total operational expenses of $171,974 for the period from September 15 to October 15. As adequate protection, the U.S. Small Business Administration and other secured creditors will be granted a replacement lien on the Debtor's post-petition property, with the same validity, priority and extent as their pre-bankruptcy lien. In addition, the Debtor has to make monthly payment of $2,538 to the SBA by October 1, or default may be declared. The order remains effective until October 12 unless earlier terminated by an event of default, which includes noncompliance with the order and dismissal or conversion of the Debtor's Chapter 11 case. A third interim hearing is scheduled for October 7. About Six Cooks LLC Six Cooks LLC, doing business as Blue Forest Market, Industrial Puppy, Wild Baby, and Pro Nutrition Labs, operates as a limited liability company managing multiple businesses under various DBAs including Blue Forest Market, Industrial Puppy, Wild Baby, and Pro Nutrition Labs. The Company's operations span retail sales of toys and household goods, manufacturing and sales of service animal products, nutritional supplements, and other specialized product lines. Six Cooks sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 25-03043) on August 8, 2025. In its petition, the Debtor reports total assets of $630,133 and total liabilities of $2,103,297. Honorable Bankruptcy Judge David M. Warren handles the case. The Debtor is represented by David J. Haidt, Esq., at Ayers & Haidt, PA. SOLSTICE ADVANCED: Moody's Rates New $1BB Sr. Unsecured Notes 'Ba2' ------------------------------------------------------------------- Moody's Ratings assigned a Ba2 rating to $1 billion of senior unsecured notes to be issued by Solstice Advanced Materials Inc. (Solstice). Proceeds from the new debt will be used to fund a portion of the distribution to Honeywell International Inc. ("Honeywell") in connection with the spin-off of Solstice. Solstice's other ratings remain unchanged and the outlook is unchanged at stable. ESG considerations are a key driver for this action. Governance risks are always a driver in initial assignment of ratings for a new company. "The issuance of unsecured notes will complete Solstice's debt structure for the spin and will leave the company with relatively strong credit metrics for a high yield company," stated John Rogers, Moody's Ratings Senior Vice President and lead analyst on Solstice. RATINGS RATIONALE Solstice's Ba1 CFR reflects the company's (i) significant business and operational diversity similar to many investment grade companies; (ii) strong profit margins consistent with a specialty chemical and materials company; (iii) substantial intellectual property; (iv) several businesses with attractive end markets and high organic growth potential; and (v) relatively low capital requirements, subsequent to catch-up investments in the first few years. The rating is limited by the secured capital structure, management's desire to maintain substantial financial flexibility subsequent to the spin, and the company's lack of a track record as a standalone entity. The businesses also have significant sales exposure to North America production, elevated supplier concentration, and some risk related to countervailing tariffs on international sales, depending on how the US government manages trade policies over the next several years. Pro forma credit metrics for the proposed capital structure at 30 June 2025 are Debt/EBITDA of 2.1x and RCF/Debt of 26%. The Ba2 rating on the senior unsecured notes is one notch below the CFR reflecting their subordinated position to a like amount of secured term loan debt and a large secured revolver. Given the company's large cash balance at spin, usage of the revolver is expected to be minimal over the near term. The first-lien revolver and term loan are secured by a lien on substantially all assets of the borrower and the U.S. guarantors, including equity interests of first-tier foreign subsidiaries of the guarantors, subject to customary limitations. LIQUIDITY Solstice's SGL-1 rating reflects its excellent liquidity, with roughly $450 million in cash on hand subsequent to the spin, Moody's expectation of over $100 million in free cash flow generation (after dividends), and expected full availability under its $1.0 billion secured revolving credit facility. The company is expected to have substantial room under the financial covenant in the secured revolver. According to the Form 10 the company's liquidity will also include $750 million in bi-lateral letter of credit facilities, primarily used to manage its asset retirement obligations. OUTLOOK The stable outlook reflects the expectation that leverage will remain below 3.0x and that Retained Cash Flow/Debt will remain above 20%. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING An upgrade would be considered if the company moves to an unsecured capital structure, demonstrates a track record appropriate risk management as a standalone entity and is committed to maintaining strong credit metrics with adjusted Debt/EBITDA of below 2.5x and RCF/Debt of over 25% on a sustained basis. A downgrade would be considered, if leverage is sustained above 3.3x and RCF/Debt falls below 20% for an extended period, or if the company pursues aggressive acquisitions or shareholder distributions. ESG CONSIDERATIONS Solstice's CIS-3 indicates that ESG considerations have a limited impact on the current credit rating with potential for greater negative impact over time, as increasing expenses and capital are required to reduce emissions and address increasingly stringent environmental regulations. Environmental risks are significant for chemical companies due to the amount of waste and pollution generated on an annual basis relative to most other industries and the level of carbon transition risks due to the use of raw materials derived from fossil fuels, as well as the amount of heat and energy required in its processes. Social risks are also significant due to the nature of the manufacturing process and potential exposure to materials that can be flammable, toxic or carcinogenic. As a new company, governance risks are elevated until the company's transition to a standalone entity is completed and management establishes a track record with its debt and equity constituents. Additional information on the company's businesses is contained in Moody's press release dated 9 September 2025. Solstice Advanced Materials Inc., headquartered in Morris Plains, NJ, is an advanced materials company that is a leading global provider of refrigerants, semiconductor materials, protective fibers and healthcare packaging. The company is unusually diverse for its size and operates through two segments, Refrigerants & Applied Solutions and Electronic & Specialty Materials. Solstice generates annual revenues of under $4 billion. The principal methodology used in this rating was Chemicals published in October 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. SOLSTICE ADVANCED: S&P Rates New Senior Unsecured Notes 'BB+' ------------------------------------------------------------- S&P Global Ratings assigned its 'BB+' issue-level rating and '3' (capped) recovery rating to Solstice Advanced Materials Inc.'s proposed $1 billion senior unsecured notes due in 2033. The '3' recovery rating indicates our expectation for meaningful (50%-70%; rounded estimate: 65%) recovery in the event of a default. Issue Ratings – Recovery Analysis Key analytical factors -- Solstice's capital structure consists of a $1 billion senior secured revolving credit facility, unrated $750 million bilateral letter of credit facility, $1 billion senior secured term loan B due in 2032, and proposed $1 billion senior unsecured notes due in 2033. -- S&P said, "We assess recovery prospects on an assumed net reorganization value of approximately $3.29 billion in 2030 to support creditor recoveries after Chapter 11 administrative expenses. We assume 61% of the recovery value would relate to Solstice's U.S. operations (reflecting value attributable to obligors, Solstice, and its domestic subsidiaries that will guarantee the credit facilities and notes) and 39% to its non-U.S. operations (reflecting value attributable to nonobligors and foreign subsidiaries). We assume the bilateral letter of credit facility (used to fund financial assurance obligations at Solstice's alternative energy services facility at Metropolis, Ill.) will be undrawn in our default scenario." -- The collateral package for the senior secured credit facilities includes substantially all of Solstice's U.S. assets plus a 65% stock pledge of first-tier foreign subsidiaries. Simulated default assumptions -- Year of default: 2030 -- EBITDA at emergence: $578 million -- Implied enterprise value multiple: 6x -- Gross enterprise value: $3.47 billion Simplified waterfall -- Net enterprise value (after 5% administrative costs): $3.29 billion -- Obligor/nonobligor valuation split: 49%/51% -- Total collateral value for first-lien secured debt: $2.84 billion -- Total senior secured claims: $1.86 billion --Recovery expectation for senior secured debt: 90%-100% (rounded estimate: 95%, capped) -- Estimated unsecured claims: $1.03 billion -- Total value available to unsecured claims: $1.44 billion --Recovery expectation for unsecured debt: 50%-70% (rounded estimate: 65%, capped) S&P said, "We typically do not notch up ratings on debt instruments issued by companies with issuer credit ratings of 'BB+' more than once above the issuer rating, regardless of the recovery rating. We generally cap recovery ratings on unsecured debt issued by companies rated 'BB-' or higher at '3' to account for the increased risk of impaired recovery prospects due to incremental debt issuance before default." SOVRAN LLC: Benaroya Not Entitled to Injunctive Relief in Tax Row ----------------------------------------------------------------- Judge Mary Jo Heston of the United States Bankruptcy Court for the Western District of Washington holds that there are no genuine disputes of material fact and The Benaroya Company LLC is entitled to judgment as a matter of law as to its first cause of action for declaratory relief in the adversary proceeding captioned as THE BENAROYA COMPANY LLC, a Washington limited liability company, Plaintiff v. LEWIS COUNTY, a County, Defendant and STATE OF WASHINGTON, DEPARTMENT OF REVENUE Intervenor-Defendant, STATE OF WASHINGTON, DEPARTMENT OF REVENUE, Counter-Claimant v. THE BENAROYA COMPANY LLC, a Washington limited liability company, Counter Defendant, Adversary No. 25-04023-MJH (W.D. Wash.). According to Judge Heston, Benaroya has not established as a matter of law that it is entitled to injunctive relief as requested in its second cause of action and such relief is unnecessary. This matter came before the Court on Aug. 7, 2025, on a motion for summary judgment filed by Benaroya proceeding pursuant to Fed. R. Bankr. P. 70561. Defendant Lewis County takes no position at this time. Intervenor Defendants, the State of Washington and the Washington State Department of Revenue, oppose the Motion. Benaroya filed this adversary proceeding on March 18, 2025, seeking an order declaring the respective rights and duties of Benaroya and Lewis County, requiring Lewis County to accept a deed of conveyance to a buyer from Benaroya on a sale, accept Benaroya's Property real-estate tax affidavit that excludes excise tax, and accept Benaroya's Property conveyance and affidavit without payment of the excise tax to Lewis County. In their counterclaim, the State Defendants assert a cause of action for unjust enrichment, alleging that Benaroya's refusal to pay excise taxes serves only itself with no benefit to the bankruptcy estate. They also seek a declaratory judgment that Benaroya is required to pay real estate excise taxes imposed by Wash. Rev. Code 82.45 on the unrealized sale of properties secondary to the original transfer. On Aug. 7, 2025, the Court held a hearing on the Motion and heard argument from the parties. The debtor, Sovran LLC, filed chapter 11 bankruptcy on June 23, 2011. Sovran's primary asset at the time of petition was the Property, which consisted of approximately 320 acres of raw land located in Winlock, Washington, and was valued by Sovran in its schedules at $18,945,000. Sovran's schedules listed Benaroya and Lewis County as holder of claims secured by the Property. On Oct. 5, 2011, on the joint motion of Benaroya and Timberland Bank, the Court entered an Order Determining that Debtor Sovran LLC is a Single Asset Real Estate Entity as defined in Sec. 101(51B). The State Defendants, who were not creditors at the time of the petition filing, were not included in Sovran's list of creditors, nor does it appear that they were ever added to the mailing matrix at any time during the pendency of the case. Lewis County, however, was included on the creditor matrix and filed three claims in the bankruptcy case and also cast a ballot rejecting Sovran's original plan of reorganization. The bankruptcy schedules did not list any claims held by either of the State Defendants, nor did either of the State Defendants file a claim in the case. On May 18, 2012, Sovran filed its Second Amended Chapter 11 Plan of Reorganization. The Plan incorporated the terms of a settlement agreement entered into between Sovran and Benaroya. The Plan classified Benaroya's claim, Class 2a, as an impaired allowed secured claim in the amount of $7,189,221, and classified Lewis County's claim, Class 2c, as an unimpaired allowed secured claim. As part of a settlement with Benaroya and Lewis County on their allowed secured claims, and with other creditors, Sovran developed a consensual plan, which provided that all the Debtor's property would be transferred to Benaroya on the effective date of the Plan, subject to Lewis County's secured claims and free and clear of all other claims, liens, and interests of creditors and interest holders. The Plan also provided a waterfall for payment of the proceeds between Benaroya and Sovran's creditors to be distributed under the Plan's terms following Benaroya's development and/or sale of the Property. On June 1, 2012, approximately one year after filing the case, the Court entered an order confirming the Plan. The Order Confirming Plan includes a detailed provision similar to that contained in the Plan that identifies those transfers, etc., of the Property "under, in furtherance of, or in connection with, the Plan" that are exempt from excise taxes pursuant to Sec. 1146(a). As an initial matter, to the extent the State Defendants contend the complaint is vague as to precisely which property Benaroya's requested relief applies, the Court finds no basis in the record to support this argument. It is evident from the Motion and Declaration of Marc Nemirow in support, that the only property at issue in this Adversary Proceeding is the remaining 248 acres of the Winlock property referenced in the Plan. The parties do not dispute that the Plan contemplated the sale of the Property by Benaroya to third parties in a two-step transaction and that the first-step transfer of the Property to Benaroya was exempt from taxation under Sec. 1146(a). Benaroya also concedes that if it elects the Step Two option to develop all or part of the Property (as opposed to a sale), as it did with a small section of the Property, and later transfers that Property to a third party, that transfer would be subject to State excise tax. Further, the parties do not dispute that the Plan expressly provided in section 8.11 that any subsequent transfers of the Property by Benaroya under the Plan would be exempt from real estate excise taxes under Sec. 1146. Thus, the only dispute is whether Sec. 1146(a) applies as a matter of law if Benaroya elects the Step Two option to sell all or part of the remaining Property to a third party. Accordingly, the Court finds that there are no material facts in dispute, and the issue before the Court is solely a question of law appropriate for resolution on summary judgment: whether Sec. 1146(a) applies to any postconfirmation sales of the Property by Benaroya to third parties. The State Defendants argue that Sec. 1146(a) does not contemplate transfers under a plan by a nondebtor or a party acting on behalf of a debtor. According to the Court, nowhere in the language of the statute, however, is there a requirement that the transfer be by a debtor-in-possession. To the contrary, Sec. 1146 only references transfers "under a plan." Benaroya argues that it is entitled to judgment as a matter of law because the plain language of Sec. 1146(a) clearly provides for two-step transfers under the Plan. It further argues that the statute only requires that transfers be authorized by the Plan and that such transfers be necessary to facilitate the Plan's terms. Section 1146(a) by its terms is plain and does not exclude two-step transactions. Accordingly, the transfers at issue in this case are exempt under Sec. 1146(a) so long as Benaroya can establish that they are transfers "under" confirmed Plan. The State Defendants argue that the terms of the Plan itself do not require Benaroya to sell the Property for the Plan to be consummated, thus such a sale is not "under a plan." This argument suffers from the same deficiency as the State Defendants' argument regarding transfers by a nondebtor, according to the Court. The Court finds that under the plain reading of Sec. 1146(a), it is sufficiently broad to include the transfer authorized by the Plan, notwithstanding that Benaroya had an option to not sell the Property if it so chose. The Court holds that the Property transfers at issue are exempt from excise tax under Sec. 1146(a) if "authorized" by the confirmed Plan. The Court has ruled that the plain text of Sec. 1146 does not preclude two-step transfers, or transfers from nondebtors to third parties so long as such transfer are under a plan. Based on the terms of the Plan, the Court finds that the transfers at issue are made in accordance with the confirmed Plan. Benaroya seeks to sell the Property as contemplated in Paragraphs 8.8 through 8.12, and any such transfer of the Property is explicitly exempt from excise taxes pursuant to Paragraph 8.11 of the Plan. The Court concludes Benaroya has established as a matter of law that the proposed third-party sales are therefore transfers "under a plan" within the meaning of § 1146(a) and that it is entitled to judgment as a matter of law on its first cause of action. Injunctive Relief. According to Benaroya, Lewis County has declined to assure Benaroya that it will honor the Sec. 1146(a) excise-tax exemption on a future sale by Benaroya of all or part of the Property. Yet, there is nothing in the record suggesting that Lewis County would not comply with this Court's declaratory judgment holding that Benaroya's sale of the Property pursuant to the Plan is exempt from excise tax under § 1146(a). A grant of injunctive relief requires additional findings and absent such evidence, the Court finds that Benaroya has not established as a matter of law that it is entitled to injunctive relief. A copy of the Court's Memorandum Decision dated September 11, 2025, is available at https://urlcurt.com/u?l=Y9zc7C from PacerMonitor.com. About Sovran LLC Sovran LLC, is a development company that was formed to acquire and develop a large commercial piece of real property located between Military Road and Interstate 5, in Winlock, Washington. Sovran filed a Chapter 11 petition (Bankr. W.D. Wash. Case No. 11-45107) on June 23, 2011. Richard G. Birinyi, Esq., and Lawrence R. Ream, Esq., at Bullivant Houser Bailey PC, in Seattle, Washington, serve as counsel. In its schedules, the Debtor disclosed $18,968,289 in assets and $11,619,450 in liabilities. Judge Paul B. Snyder entered a final decree on July 1, 2014, closing the Chapter 11 case of Sovran LLC. SSI PRODUCTS: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: SSI Products, LLC 598 N. Beach St., #104 Fort Worth, TX 76111 Business Description: SSI Products, LLC, based in Fort Worth, Texas, manufactures and distributes laboratory consumables, including various grades of glass microfiber filters, oil and grease filters, cellulose filters, syringe filters, and aluminum weighing pans. Founded in 2008, the Company serves environmental laboratories, water treatment plants, and industrial manufacturers across the United States, providing products designed to enhance laboratory performance while reducing operational costs. Chapter 11 Petition Date: September 16, 2025 Court: United States Bankruptcy Court Northern District of Texas Case No.: 25-43542 Judge: Hon. Edward L Morris Debtor's Counsel: Laurance C. Boyd, Esq. THE LAW OFFICE OF LAURANCE C. BOYD, PLLC 12740 Hillcrest Road 138 Dallas TX 75230 Email: larry@lcboyd-law.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million Terry Treacy signed the petition as authorized representative of the Debtor. 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/WR7INCI/SSI_Products_LLC__txnbke-25-43542__0001.0.pdf?mcid=tGE4TAMA STEWARD HEALTH: Ex-CEO Prohibited from Suing Senate Panel --------------------------------------------------------- Mary Anne Pazanowski of Law360 Bankruptcy Authority reports that the U.S. District Court for the District of Columbia on Tuesday, September 16, 2025, dismissed a suit brought by former Steward Health Care CEO Ralph de la Torre against the Senate Health, Education, Labor, and Pensions Committee, citing the Constitution's speech and debate clause. Judge Trevor N. McFadden ruled the panel was absolutely immune in subpoenaing de la Torre to testify on Steward's bankruptcy, rejecting his jurisdictional challenge. About Steward Health Care Steward Health Care System, LLC, owns and operates the largest private physician-owned for-profit healthcare network in the U.S. Headquartered in Dallas, Texas, Steward's operations include 31 hospitals in eight states, approximately 400 facility locations, 4,500 primary and specialty care physicians, 3,600 staffed beds, and nearly 30,000 employees. Steward Health Care provides care to more than two million patients annually. Steward and 166 affiliated debtors filed Chapter 11 petitions (Bankr. S.D. Texas Lead Case No. 24-90213) on May 6, 2024. Judge Christopher M. Lopez oversees the proceeding. The Debtors tapped Weil, Gotshal & Manges, LLP as bankruptcy counsel; McDermott Will & Emery as special corporate and regulatory counsel; AlixPartners, LLP as financial advisor and John Castellano of AlixPartners as chief restructuring officer. Lazard Freres & Co. LLC, Leerink Partners LLC, and Cain Brothers, a division of KeyBanc Capital Markets Inc., provide investment banking services to the Debtors. Kroll is the claims agent. Susan N. Goodman has been appointed as patient care ombudsman in the Debtors' Chapter 11 cases. STONEPEAK BAYOU: S&P Assigns 'B+' ICR, Outlook Stable ----------------------------------------------------- S&P Global Ratings assigned our 'B+' issuer credit rating (ICR) to Stonepeak Bayou Holdings LP (SBH) and its 'B+' issue-level rating and '3' recovery rating to SBH's new senior secured term loans. The ratings reflect its view of SBH's minority equity interest in the project and the subordination of its interest relative to project-level debt. The stable outlook reflects S&P's expectation that VGCP will continue to generate LNG volumes covering at least nameplate capacity of 10 million tonnes per annum (MTPA) and maintain stable distributions to SBH through intermediate holding company Calcasieu Pass Holdings, LLC. SBH is a minority equity investor in the Venture Global Calcasieu Pass (VGCP) liquified natural gas (LNG) facility, with a 23.4% interest in Calcasieu Pass Holdings, LLC, an intermediate holding company that indirectly owns 100% of VGCP. SBH is issuing $550 million of seven-year senior secured term loans The 'B+' ICR is based on SBH's non-controlling equity interest in Calcasieu Pass Holdings LLC, which is an indirect 100% owner of VGCP. SBH's cash flows and credit strength are driven by the performance of VGCP. SBH receives a share of distributions from VGCP proportionate to its ownership and has no other assets, so SBH's ability to service debt is dependent on the operations of VGCP. S&P expects distributions to SBH for its 23.4% interest in VGCP of about $112 million-$117 million annually in the next three years, with interest coverage at SBH of 3.5x-3.3x and debt leverage around 4.6-4.7x. S&P said, "We expect the distributions from VGCP to be stable given the robust contracts with investment-grade offtakers. The project has already lifted a large number of cargos during construction, and it recently completed its lender's reliability test at a sustained production level above nameplate capacity. We believe the project is suitably staffed and is building an operational history of stable performance and costs. With 85% of contracts running for 20 years and our expectation of recontracting for the other 1.5 MTPA (with SBH having a collar that supports its distributions, even if those replacement contracts are at lower-than-expected prices), we believe the project has high cash-flow visibility." The intermediate holding company, Calcasieu Pass Holdings, LLC (CP Holdings), has a covenant package supporting cash flows to SBH. Distributions to SBH flow through CP Holdings, and CP Holdings also defines SBH's rights as minority equity holder through its covenant package. Covenants restrict additional debt issuance at CP Holdings and subsidiaries, and SBH has board representation at this entity, with voting on budgets as well as board control while an event of severe underperformance or distress is occurring at VGCP. There is also a payment covenant that insulates SBH from recontracting risk. VGCP has offtake contracts that sell LNG at Henry Hub price * 115% + a fixed facility charge. 1.5 MTPA of contracts expire within five years, and upon renewal, the payments to SBH are made under a collar hedge. If the fixed payment is below $2, SBH is paid as though that contract was at $2, and if the fixed payments are above $3, SBH is paid as though the fixed payment is $3. This payment is made to SBH, with any difference coming from the payment to Venture Global LNG. This ensures stability of payment to SBH regardless of the actual prices in contracts replacing the ones that expire within five years. The 'B+' rating on SBH reflects the minority interest and subordination compared to the project. SBH owns 23.4% of CP Holdings, which indirectly owns 100% of VGCP, and our rating on SBH is driven by the credit strength of VGCP. The rating differential between VGCP and SBH reflects the structural subordination of SBH's debt to that at VGCP. SBH receives all revenues in the form of distributions from VGCP that are passed on to CP Holdings. As a minority equity owner of CP Holdings, S&P analyzes SBH based on four factors: -- Cash-flow stability; -- Corporate governance and financial policy; -- SBH's financial ratios; and -- SBH's ability to liquidate its interest in CP Holdings. S&P said, "For SBH, we assess the cash-flow stability as positive, owning to its largely contracted nature. All of VGCP's nameplate capacity is contracted with investment-grade counterparties. S&P said, "We believe there's little risk of a dividend policy change, as construction risk has been eliminated and the majority owner is funding other projects with distributions from this project. Cash flows are underpinned by about 85% of long-term contractedness at VGCP; 15% of nameplate capacity has contract renewal risk in three to five years, while 85% extend for 20 years. Given the current strength of the LNG market, we expect the three- and five-year contracts to be renewed at termination." Given the highly contracted nature at VGCP, there is no exposure to market risk that could arise from an inability to sell cargoes or price volatility. Any excess production above 10 MPTA at the project also generates revenues through sales at a fixed price to Venture Global's trading arm. (The trading arm takes the risk of being able to sell those above-nameplate volumes.)" The project has also been lifting cargos during the last two years of construction, with over 400 lifted so far, so it has already established a production history. With repairs to project components such as heat recovery steam generators complete, S&P expects the project to operate at levels similar to those during the lender's reliability test. S&P Global Ratings views the company's corporate governance and financial policy as neutral. The LLC agreement at CP Holdings limits activity and additional debt at CP Holdings and subsidiaries. S&P said, "However, we see one significant weakness that stops us assessing this factor as positive: SBH doesn't have a direct right to vote on dividend policy at VGCP. However, we don't anticipate an adverse change to the dividend policy." VGCP is now operating, and expansion activities at other VG facilities provide an incentive for VG to maintain dividends at this facility. Budget approval happens annually by the board of CP Holdings, which includes a board member nominated by SBH. SBH have a vote in normal course activities and step in rights in certain cases including a material breach of the LLC agreement. Distributions are paid quarterly in cash. S&P said, "We calculate financial ratios looking at 2026-2028. VGCP's revenues and costs changed materially between construction and operations, and with operations achieved in the first half of 2025, we view forward-looking numbers as representative of project performance with the operational SPAs in place. With a weighting of 30%/40%/30% for these three years, we forecast an interest coverage ratio of 3x-5x through the period and leverage of 4.6x-4.7x. This meets our criteria for a neutral assessment." As CP Holdings is a privately held entity, this significantly limits the ability of investors to exit their positions. Without a relatively deep publicly traded market, this doesn't meet the threshold for a neutral score under its criteria, and so S&P considers the ability to liquidate as negative. S&P also assess a positive holistic adjustment to reflect the strength of the distributions to SBH under the investee company LLC agreement. This includes a collar on the capacity price paid to SBH from the project finance subsidiary and the strong incentives to maintain distributions to the majority equity owner. Overall, the rating outcome for SBH is 'B+', which is four notches below the rating on the senior secured debt at VGCP. This considers the minority interest and subordination of this entity in the corporate structure. The new senior secured debt at SBH also has a rating of 'B+', with a recovery rating of 3 (65%). The stable outlook on SBH is due to S&P's expectation of stable operations and consistent cash distributions from VGCP. S&P would lower the rating on SBH if the rating on VGCP falls from the current 'BBB-' or if distributions are reduced such that interest coverage at SBH falls below 3x and debt leverage moves above 4x. An upgrade for SBH would require an upgrade on VGCP. S&P would expect an upgrade for VGCP to lead to a similar action on SBH. SVB FINANCIAL: FDIC Secures More Discovery in Fraud Policy Case --------------------------------------------------------------- Hope Patti of Law360 reports that a North Carolina federal judge has ordered a Chubb subsidiary to comply with an earlier directive requiring it to turn over documents on the drafting history of certain policy provisions to SVB Financial Group, the former parent of Silicon Valley Bank, in a $73 million private equity fraud coverage dispute. 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. SVENHARD'S SWEDISH: Can't Assume Settlement Deal, 9th Cir. Says --------------------------------------------------------------- In the appeal styled SVENHARD'S SWEDISH BAKERY, Appellant, v. BAKERY AND CONFECTIONARY UNION AND INDUSTRY INTERNATIONAL PENSION FUND, Appellee, No. 23-60045 (9th Cir.), Judges Marsha S. Berzon, Michelle T. Friedland and Salvador Mendoza, Jr. of the United States Court of Appeals for the Ninth Circuit affirmed, on a different ground, the decision of the Ninth Circuit Bankruptcy Appellate Panel that upheld the bankruptcy court's order denying the motion of Chapter 11 debtor-in-possession Svenhard's Swedish Bakery to assume and assign a contract. The panel affirmed on the second ground, holding that the contract was a financial accommodation and therefore not assumable or assignable. The contract was a settlement agreement between Svenhard, a commercial bakery that had sold its business to United States Bakery and had closed one of its facilities, and the Bakery and Confectionary Union and Industry International Pension Fund. Before the bankruptcy filing, the Pension Fund asserted that, under the Employee Retirement Income Security Act, Svenhard was subject to withdrawal liability of $50 million -- which is capped by ERISA to $39 million -- and delinquent-contribution liability of more than $500,000. The Pension Fund agreed to settle Svenhard's liabilities for a significantly reduced amount, to be paid in monthly installments over 20 years: 1. Svenhard promised to pay $12,500 each month for 240 months (totaling $3 million) to satisfy the withdrawal liability. 2. Svenhard agreed to pay the delinquent-contribution liability, with interest, in monthly installments of $8,580.80. The Settlement Agreement expressly indicated that the Pension Fund agreed to that arrangement because, after reviewing Svenhard's financial information, the Pension Fund concluded that pursuing the full value of its claims against Svenhard "would almost certainly cause . . . secured creditors to assert their rights to Svenhard's assets, leaving little or nothing for the Pension Fund" to recover. The Settlement Agreement further stated that the reduced monthly payments would likely allow Svenhard "to be able to pay while continuing to operate its business." A few months later, however, Svenhard ceased operations, defaulted on the Settlement Agreement and filed for bankruptcy protection. US Bakery filed a motion to convert Svenhard's bankruptcy from Chapter 11 to Chapter 7. The bankruptcy court denied that motion, and USB appealed. While that appeal was pending in the Ninth Circuit, Svenhard, US Bakery, and a committee of Svenhard's unsecured creditors participated in a mediation facilitated by the Ninth Circuit Mediation Program. Although the Pension Fund was one of Svenhard's unsecured creditors, it recused itself from the mediation at Svenhard and US Bakery's request. Through that mediation, Svenhard and US Bakery reached a conditional compromise to settle their litigation. That compromise was contingent upon, among other things, a ruling from the bankruptcy court allowing the Settlement Agreement between Svenhard and the Pension Fund to be assumed by Svenhard and assigned to US Bakery. The Pension Fund opposed Svenhard's motions, contending that the Settlement Agreement could not be assumed or assigned under Sec. 365 and that a proceeding on a motion to assume and assign was not an appropriate proceeding in which to decide the validity of the Settlement Agreement. The Pension Fund also asserted that the Settlement Agreement is voidable for fraud because Svenhard "failed to disclose to the Pension Fund the scope of its relationship with [US Bakery], let alone that [US Bakery] was covertly encouraging negotiations to reduce the outstanding liabilities owed to the Pension Fund." The bankruptcy court denied the motion to assume and assign the agreement. The bankruptcy court held that the contract is not "executory" within the meaning of 11 U.S.C. Sec. 365(a) and, in the alternative, that it is a "financial accommodation" and therefore not assumable or assignable under Sec. 365(c)(2). The Bankruptcy Appellate Panel affirmed on the first ground, leaving the second undecided. Under 11 U.S.C. Sec. 365(c)(2), a debtor-in-possession is prohibited from assuming or assigning any contract "to make a loan, or extend other debt financing or financial accommodations, to or for the benefit of the debtor." Consulting Black's Law Dictionary, the panel concluded that the ordinary and common meaning of "financial accommodation" at the time of enactment of Sec. 365 included contracts to forebear or reduce payments to which one was otherwise entitled, if those contracts were agreed upon to aid a debtor's poor financial condition. The panel concluded that the settlement agreement was plainly such a contract, and therefore was not assumable or assignable. A copy of the Court's Opinion dated September 12, 2025, is available at https://urlcurt.com/u?l=LkOoyM About Svenhard's Swedish Bakery Svenhard's Swedish Bakery is a privately held company in Fresno, Calif., that is primarily engaged in manufacturing fresh and frozen bread and other bakery products. Svenhard's Swedish Bakery filed a Chapter 11 petition (Bankr. E.D. Cal. Case No. 19-15277) on Dec. 19, 2019. In the petition signed by David Kunkel, chief operating officer, the Debtor was estimated to have $1 million to $10 million in assets and $10 million to $50 million in liabilities. The Hon. Rene Lastreto II is the presiding judge. The Debtor tapped Zolkin Talerico LLP as bankruptcy counsel, and Gary Garrigues Law Firm and Cera LLP as special litigation counsel. The U.S. Trustee for Region 17 appointed an official committee of unsecured creditors in the Debtor's case on Feb. 13, 2020. The committee is represented by Rimon, P.C. TK HOLDINGS: Court Tosses Claimant's Appeal on Expungement Order ---------------------------------------------------------------- In the appeal styled DINA GONZALES, Appellant v. ERIC D. GREEN, trustee of the PSAN PI/WD Trust doing business as Takata Airbag Tort Compensation Trust Fund, No. 24-1604 (3rd Cir.), Judges Stephanos Bibas, Arianna J. Freeman and Richard L. Nygaard of the United States Court of Appeals for the Third Circuit affirmed the judgment of the United States District Court for the District of Delaware that upheld the decision of the United States Bankruptcy Court of Delaware denying pro se litigant Dina Gonzales's motion to reconsider an expungement order in the bankruptcy case of TK Holdings Inc. This appeal stems from Chapter 11 bankruptcy proceedings initiated by TK Holdings Inc. and its affiliated debtors. Takata manufactured airbag inflators that "had the potential to rupture upon airbag deployment, causing death and serious injury to automobile occupants. Those inflators were eventually the subject of the largest product recall in U.S. history. After Takata filed for bankruptcy, Gonzales filed a proof of claim against Takata, alleging injuries stemming from a 2011 accident during which an airbag in her Honda Accord failed to deploy (as opposed to rupturing upon deployment). Her claim was one of many brought against Takata by individuals who alleged injuries based on an airbag's failure to deploy. The Trustee for the Takata Airbag Tort Compensation Trust Fund objected to that group of claims. In October 2020, the Bankruptcy Court disallowed and expunged that group of claims, concluding that the preponderance of the evidence demonstrated that Takata's airbag inflators played no role in airbags' failure to deploy. In March 2023, Gonzales moved the Bankruptcy Court to reconsider the expungement order. The Trustee opposed Gonzales's motion. In June 2023, the Bankruptcy Court denied Gonzales's motion, concluding that: (1) the motion was untimely to the extent that it sought relief under Federal Rule of Civil Procedure 60(b)(2), and (2) to the extent that the motion sought relief based on a showing of excusable neglect, see Fed. R. Civ. P. 60(b)(1), such relief was not warranted. Gonzales subsequently appealed to the District Court, challenging the Bankruptcy Court's June 2023 decision. In March 2024, the District Court affirmed that decision, concluding that the Bankruptcy Court had not abused its discretion in denying reconsideration. Gonzales then timely filed the present appeal, challenging the District Court's judgment. The Circuit Judges agree with the Bankruptcy Court and the District Court that Gonzales's motion for reconsideration was untimely to the extent that it sought relief under Rule 60(b)(2), as it was filed more than one year after the entry of the Bankruptcy Court's expungement order. In this case, the Bankruptcy Court identified the Pioneer factors, and it concluded that a balancing of these factors weighed against Gonzales. It concluded that the length of the delay (without any proffered reason or explanation) and the burden upon the Trust mandate denial of the Motion. The Bankruptcy Court further explained that the Trustee has credibly demonstrated that the Trust will suffer legal prejudice if the Motion for Reconsideration goes forward. It also notes that there is a real prospect of harm to the holders of allowed claims in this proceeding, as the Trustee represents that the administration of this case is nearing its conclusion and the cost and delay of continued legal proceedings places at risk their expected and approved distributions. The panel holds, "Having carefully reviewed the record and the parties' briefing, we cannot say that the Bankruptcy Court abused its discretion in concluding that a balancing of the Pioneer factors weighed in favor of denying Gonzales's motion for reconsideration. Accordingly, we will affirm the District Court's judgment upholding the Bankruptcy Court's denial of reconsideration." A copy of the Court's Opinion dated September 9, 2025, is available at https://urlcurt.com/u?l=kPlfVn About TK Holdings Japan-based Takata Corporation (TYO:7312) -- http://www.takata.com/en/-- develops, manufactures, and sells safety products for automobiles. The Company offers seatbelts, airbags, steering wheels, child seats, and trim parts. Headquartered in Tokyo, Japan, Takata operates 56 plants in 20 countries with approximately 46,000 global employees worldwide. The Company has subsidiaries located in Japan, the United States, Brazil, Germany, Thailand, Philippines, Romania, Singapore, Korea, China, and other countries. Takata Corp. filed for bankruptcy protection in Tokyo and the U.S., amid recall costs and lawsuits over its defective airbags. Takata and its Japanese subsidiaries commenced proceedings under the Civil Rehabilitation Act in Japan in the Tokyo District Court on June 25, 2017. Takata's main U.S. subsidiary TK Holdings Inc. and 11 of its U.S. and Mexican affiliates each filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 17-11375) on June 25, 2017. Together with the bankruptcy filings, Takata announced it has reached a deal to sell all its global assets and operations to Key Safety Systems (KSS) for US$1.588 billion. Nagashima Ohno & Tsunematsu is Takata's counsel in the Japanese proceedings. Weil, Gotshal & Manges LLP and Richards, Layton & Finger, P.A., are serving as counsel in the U.S. cases. PricewaterhouseCoopers is serving as financial advisor, and Lazard is serving as investment banker to Takata. Ernst & Young LLP is tax advisor. Prime Clerk is the claims and noticing agent. The Debtors Meunier Carlin & Curfman LLC, as special intellectual property counsel. Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal counsel, KPMG is serving as financial advisor, Jefferies LLC is acting as lead financial advisor. UBS Investment Bank also provides financial advice to KSS. On June 28, 2017, TK Holdings, as the foreign representative of the Chapter 11 Debtors, obtained an order of the Ontario Superior Court of Justice (Commercial List) granting, among other things, a stay of proceedings against the Chapter 11 Debtors pursuant to Part IV of the Companies' Creditors Arrangement Act. The Canadian Court appointed FTI Consulting Canada Inc. as information officer. TK Holdings, as the foreign representative, is represented by McCarthy Tetrault LLP. The U.S. Trustee has appointed an Official Committee of Unsecured Trade Creditors and a separate Official Committee of Tort Claimants. The Official Committee of Unsecured Creditors has selected Christopher M. Samis, Esq., L. Katherine Good, Esq., and Kevin F. Shaw, Esq., at Whiteford, Taylor & Preston LLC, in Wilmington, Delaware; Dennis F. Dunne, Esq., Abhilash M. Raval, Esq., and Tyson Lomazow, Esq., at Milbank Tweed Hadley & McCloy LLP, in New York; and Andrew M. Leblanc, Esq., at Milbank, Tweed, Hadley & McCloy LLP, in Washington, D.C., as its bankruptcy counsel. The Committee has also tapped Chuo Sogo Law Office PC as Japan counsel. The Official Committee of Tort Claimants selected Pachulski Stang Ziehl & Jones LLP as counsel. Gilbert LLP will evaluate the insurance policies. Sakura Kyodo Law Offices is serving as special counsel. Roger Frankel, the legal representative for future personal injury claimants of TK Holdings Inc., et al., tapped Frankel Wyron LLP and Ashby & Geddes PA to serve as co-counsel. Takata Corporation ("TKJP") and affiliates Takata Kyushu Corporation and Takata Services Corporation commenced Chapter 15 cases (Bankr. D. Del. Case Nos. 17-11713 to 17-11715) on Aug. 9, 2017, to seek U.S. recognition of the civil rehabilitation proceedings in Japan. The Hon. Brendan Linehan Shannon oversees the Chapter 15 cases. Young, Conaway, Stargatt & Taylor, LLP, serves as Takata's counsel in the Chapter 15 cases. In February 2018, the U.S. Bankruptcy Court confirmed the Fifth Amended Chapter 11 Plan of Reorganization filed by TK Holdings, Inc. ("TKH"), Takata's main U.S. subsidiary, and certain of TKH's subsidiaries and affiliates. TRICOLOR AUTO: Lender Seizes Cars From Lots in Asset Recovery ------------------------------------------------------------- Isabella Farr, Scott Carpenter, Scott Carpenter, and Carmen Arroyo of Bloomberg Law report that Tricolor Holdings' unexpected collapse has triggered a nationwide rush among creditors eager to safeguard their investments and recover assets. In Dallas, Triumph Financial Inc. is sending employees to repossess cars from lots, treating them as collateral for its loans. In Manhattan, bondholder Clear Haven Capital Management has begun urging other investors to align their efforts and fight collectively in the wake of the subprime auto lender's downfall. About Tricolor Auto Acceptance Tricolor Auto Acceptance is an Irving, Texas-based subprime auto lender. Tricolor Auto Acceptance, together with its parent Tricolor Auto Group and other affilites sought relief under Chapter 7 of the U.S. Bankruptcy Code(Bankr. N.D. Tex. Case No. 25-33497) on September 10, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 billion and $10 billion each. The Debtor is represented by Thomas Robert Califano, Esq. at Sidley Austin LLP. TRUCK & TRAILER: Unsecured Creditors Will Get 5% over 4.5 Years --------------------------------------------------------------- Truck & Trailer Leasing Avenue LLC filed with the U.S. Bankruptcy Court for the Northern District of Illinois a Disclosure Statement describing Plan of Reorganization dated September 9, 2025. In 2019, Truck & Trailer was formed as an Illinois limited liability company. The intention was to have Truck & Trailer purchase and own trucks and trailers, with its partner company Pigeon Freight Services, Inc. In 2022, Russia invaded Ukraine. This led to serious disruptions in world-wide supply chains, for commodities such as grain, oil, aluminum, and other resources. These factors, as well as the economic and financial steps taken by governments in response to the Covid pandemic, led to worldwide inflation on a scale not seen in a generation. The Debtor had cash-flow problems which made it difficult for them to stay current on their equipment loans. This led to the Chapter 11 filing. Since the Chapter 11 filing, the Debtor has returned many units of equipment and has streamlined their operations to maximize profitability. They have stayed substantially current with their adequate protection payments and, in this plan of reorganization, propose to reduce and restructure their liabilities, primarily through the payment of secured claims based on value of assets and the extension of loan terms. The Debtor receives its income from leasing out its units to operating companies that contract with shippers. Its monthly income has increased from approximately $57,000/month to almost $500,000.00/month. The Debtor projects future income to be approximately $450,000 to 500,000.00/month and expects that it will operate at a sufficient profit to make all payments under the Plan. The Debtor's Plan of Reorganization provides for payment in full of all priority claims, with interest at 6% per annum, over 4 years, and the payment of all claims secured by trucks and trailers, to the extent of the value of collateral, with interest at 8.0% per annum, over 4.5 years. Class IV consists of General Unsecured Claims. All general unsecured creditors, including the unsecured deficiency claims of under-secured creditors, and the general unsecured portion of any governmental claims, will be paid a 5% distribution, in quarterly payments, over a period of 4.5 years. The Debtor has one equity owner, Sergiu Tintiuc, who is the sole member of Truck & Trailer Leasing Avenue LLC. Sergiu Tintiuc is the manager of Truck & Trailer, and will continue in that role. During the pendency of this case, has not received any compensation from Debtor. The Debtor does not have any plans to pay compensation to Mr. Tintiuc in the immediate future, but will pay compensation at a reasonable rate if and when funds become available. The Plan provides for the current equity owner of the Debtors, Sergiu Tintiuc, to retain his equity interest in the debtor, with payment of $1,000.00 in new value to the estate as required to satisfy the "absolute priority rule" under Section 1129(b)(2) of the Bankruptcy Code. In order to determine the value of the equity interest and the adequacy of the new value contribution by the Debtor's equity owner, the Debtor will conduct an auction of the equity interest of the Debtor on a date to be determined, at the office of the Debtor’s counsel. The Debtor will continue to operate their trucking business, which the Debtor expects will provide sufficient funding to pay all expenses and all payments to creditors under the Plan. A full-text copy of the Disclosure Statement dated September 9, 2025 is available at https://urlcurt.com/u?l=f9tPQf from PacerMonitor.com at no charge. Counsel to the Debtor: Saulius Modestas, Esq. Modestas Law Offices, P.C. 401 S. Frontage Road, Ste. C Burr Ridge, IL 60527 ARDC No. 6278054 (312) 251-4460 Email: smodestas@modestaslaw.com About Truck & Trailer Leasing Avenue LLC Truck & Trailer Leasing Avenue LLC specializes in long-distance freight transportation services, operating in Illinois. Truck & Trailer Leasing Avenue LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-05906) on April 16, 2025. In its petition, the Debtor reports estimated assets and liabilities between $10 million and $50 million each. Honorable Bankruptcy Judge Jacqueline P. Cox handles the case. The Debtor is represented by Saulius Modestas, Esq. at MODESTAS LAW OFFICES, P.C. VALYRIAN MACHINE: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------------- Debtor: Valyrian Machine, LLC Euclid Machine & Mfg. Co. 29030 Northline Road Romulus, MI 48174 Business Description: Valyrian Machine, LLC provides CNC machining and engineering services, specializing in 5- axis milling for high-precision parts. The Company, which acquired Euclid Machine in 2023, serves businesses of all sizes with CNC-based precision machining, design, and build capabilities across materials including aluminum, brass, copper, plastics, stainless steel, steel, titanium, and specialty alloys. Its operations combine experienced CNC machinists, a full-time design engineer, and advanced ERP and CAD/CAM systems to produce manufactured parts. Chapter 11 Petition Date: September 16, 2025 Court: United States Bankruptcy Court Eastern District of Michigan Case No.: 25-49284 Judge: Hon. Paul R. Hage Debtor's Counsel: Julie Beth Teicher, Esq. MADDIN, HAUSER, ROTH & HELLER, P.C. One Towne Center Fifth Floor Southfield, MI 48076 Tel: 248-351-7059 E-mail: jteicher@maddinhauser.com Total Assets as of Sept. 15, 2025: $985,565 Total Debts as of Sept. 15, 2025: $2,644,140 The petition was signed by Kris J. Surcek as sole member. A copy of the Debtor's list of 20 largest unsecured creditors is available for free on PacerMonitor at: https://www.pacermonitor.com/view/NXNNJQI/Valyrian_Machine_LLC__miebke-25-49284__0003.0.pdf?mcid=tGE4TAMA A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/JMDKFII/Valyrian_Machine_LLC__miebke-25-49284__0001.0.pdf?mcid=tGE4TAMA VANTAGE SPECIALTY: S&P Withdraws 'CCC+' LT Issuer Credit Rating --------------------------------------------------------------- S&P Global Ratings withdrew all its ratings on Vantage Specialty Chemicals Inc., including the 'CCC+' long-term issuer credit rating and 'CCC+' issue-level rating and '3' recovery rating on its senior secured debt, at the issuer's request. At the time of the withdrawal, S&P's outlook on the company was developing. VIASAT INC: The Baupost Group, 2 Others Hold 2.15% Stake -------------------------------------------------------- The Baupost Group, L.L.C., Baupost Group GP, L.L.C., and Seth A. Klarman, disclosed in a Schedule 13 (Amendment No. 13) filed with the U.S. Securities and Exchange Commission that as of August 31, 2025, they beneficially own 2,885,619 shares of Viasat Inc.'s common stock, representing 2.15% of the outstanding class. The securities were purchased on behalf of various private investment limited partnerships managed by Baupost. The Baupost Group may be reached through: Seth A. Klarman, Chief Executive Officer The Baupost Group, L.L.C. 10 St. James Avenue, Suite 1700 Boston, Mass. 02116 A full-text copy of The Baupost Group, L.L.C.'s SEC report is available at: https://tinyurl.com/3bkta9m4 About Viasat Inc. Headquartered in Carlsbad, California, Viasat, Inc. operates a consumer satellite broadband internet business, an in-flight connectivity business, and provides satellite and related communications, networking systems, and services to government and commercial customers. Inmarsat operates a satellite communications network using L-band, Ka-band, and S-band spectrum and provides voice and data services to customers on land, at sea, and in the air. As of June 30, 2025, the Company had $14.90 billion in total assets, $10.29 billion in total liabilities, and $4.60 billion in total equity. * * * Egan-Jones Ratings Company on November 5, 2024, maintained its 'CCC+' foreign currency and local currency senior unsecured ratings on debt issued by Viasat, Inc. WEATHERMASTER ROOFING: Seeks Subchapter V Bankruptcy in New York ---------------------------------------------------------------- On September 12, 2025, Weathermaster Roofing Co. Inc. filed Chapter 11 protection in the Northern District of New York. According to court filing, the Debtor reports $2,597,003 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Weathermaster Roofing Co. Inc. Weathermaster Roofing Co. Inc., established in 1984, provides commercial and institutional roofing installation and architectural sheet metal services, operating in the Southern Tier region of New York. The Company specializes in single ply systems, modified bitumen systems, and specialty roofing systems. It is licensed, bonded, and carries full liability and workers' compensation insurance. Weathermaster Roofing Co. Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D.N.Y. Case No. 25-60824) on September 12, 2025. In its petition, the Debtor reports total assets of $1,704,705 and total liabilities of $2,597,003. Honorable Bankruptcy Judge Wendy A. Kinsella handles the case. The Debtor is represented by Peter A. Orville, Esq. at ORVILLE & MCDONALD LAW, P.C. WHITESTONE CROSSING: Taps James Miller as Litigation Counsel ------------------------------------------------------------ Whitestone Crossing Austin LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to hire James Miller, Attorney at Law, to serve as special litigation counsel in its Chapter 11 case. Mr. Miller will provide these services: (a) address possible post-judgment relief in a state court matter in which a judgment was obtained against the Debtor; (b) address the judgment through mediation and/or appellate relief; and (c) provide assistance in connection with the litigation and judgment. Mr. Miller will receive an hourly rate of $300. Mr. Miller is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code, according to court filings. He can be reached at: James Miller, Esq. P.O. Box 540848 Houston, TX 77254 E-mail: jitmiller@outlook.com 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. LFT CRE 2021-FL1, Ltd., acting through Lument Real Estate Capital, 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 brent.mcilwain@hklaw.com WILDFIRE ENERGY I: Fitch Affirms 'B+' LongTerm IDR, Outlook Stable ------------------------------------------------------------------ Fitch Ratings has affirmed the Long-Term Issuer Default Ratings (IDRs) of 'B+' for WildFire Energy I LLC (WildFire) and WildFire Intermediate Holdings, LLC. Fitch has also affirmed the 'BB+' rating with a Recovery Rating of 'RR1' on the senior secured reserve-based lending credit facility (RBL) and the 'BB-'/'RR3' rating on the senior unsecured notes issued by WildFire Intermediate Holdings, LLC. The Rating Outlook is Stable. WildFire's ratings reflect its high-quality, high-oil-mix assets in the Eagle Ford that drive peer-leading netbacks and strong free cash flow (FCF) generation. The rating also considers the company's conservative financial policy with a leverage target below 1.0x, moderate distribution policy, disciplined acquisition strategy and supportive hedging policy. The rating remains constrained to the 'B' category given WildFire's limited scale. Key Rating Drivers High-Quality Assets, Small Production Scale: WildFire's assets include approximately 808,000 net acres in the Eagle Ford and Austin Chalk, providing 15 years of development opportunities across 768 gross drilling locations. The asset base has high exposure to liquids and oil at 87% and 72%, respectively, with production of approximately 48 mboepd as of 2Q25. Though production scale remains limited, the company has a low decline rate in the mid-20% range which compares favorably to the industry average of above 30%. The company plans to transition to a two-rig program in September 2025 to increase production levels in the near term. Peer-Leading Netbacks, Strong FCF Generation: WildFire has the highest Fitch-calculated netbacks in the peer group at $31.50 per boe for 2Q25. The company's netbacks benefit from strong pricing and cost savings due to the proximity to the Gulf Coast and the company's sand mine and midstream infrastructure, along with an oil cut of over 70%. WildFire operates a low decline, mature proved developed producing (PDP) base, leading to low capex requirements with a reinvestment rate below 50%. High profitability and moderate capex spend translate to robust FCF generation. Conservative Financial Policy: WildFire has a conservative financial policy that includes a leverage target of below 1.0x, a moderate distribution policy, and a high percentage of PDP production hedged. The company also takes a conservative approach to mergers and acquisitions (M&A) with a commitment to keeping leverage below 1.5x following any acquisitions. The company has managed distributions to prioritize the balance sheet and liquidity and would reduce distributions if necessary during periods of stressed commodity prices. Supportive Hedging Policy: The company has a rolling four-year hedging strategy that aims to cover 80% of PDP production in the next two years, 50% in the third year and 30% in the fourth year. WildFire's hedging program helps to lock in future returns and meaningfully reduces cash flow volatility and downside pricing risks. The company also hedges all acquisitions at 85% PDP for four years and gas differentials for three years. Fitch believes that management's willingness to hedge beyond the 70% of PDP requirement under the company's RBL agreement benefits the credit profile and through-the-cycle leverage metrics. Growth Through Bolt-On Acquisitions: WildFire has a track record of increasing production scale through five bolt-on acquisitions since the company was founded in 2019. The company targets acquisitions that are PDP heavy with low decline assets and low-risk development. As the largest operator in the area, the company is well-positioned for further consolidation through additional bolt-on acquisitions; however, larger scale acquisition opportunities remain limited going forward. Funding for previous acquisitions has been conservative, utilizing a mix of RBL borrowings, cash and sponsor equity, a policy Fitch expects to continue. Peer Analysis WildFire is the smallest operator in the peer group with 47 mboepd in 1Q25 compared to Crescent Energy Company (BB-/Positive; 258 mboepd), Kraken Oil & Gas Partners LLC (BB-/Stable; 86 mboepd), California Resources Corporation (B+/Stable; 141 mboepd), Moss Creek Resources Holdings, LLC (B/Stable; 66 mboepd) and Highpeak Energy Inc. (B/Stable; 53 mboepd). Although WildFire is the smallest in the peer group in terms of production scale, it has one of the highest oil cuts at 72% and the highest netbacks in the group at $37.20/boe for 1Q25. Moss Creek has the next highest netbacks in the group at $35.50/boe for 1Q25 with 66% oil, followed by Highpeak Energy ($34.20/boe; 72% oil). Fitch forecasts leverage of 1.1x in 2025, which is in the middle range of WildFire's peer group. Key Assumptions - WTI (USD/barrel) of $65 in 2025, $60 in 2026 and 2027, and $57 thereafter; - Henry Hub (USD/thousand cubic feet) of $3.60 in 2025, $3.50 in 2026, $3.00 in 2027, and $2.75 thereafter; - Production growth through 2027 driven by efficiencies, non-op production and addition of a second rig; - Capex in line with management's expectations; - Measured distributions to sponsors throughout the forecast; - Deferred acquisition costs repaid as scheduled; - Post-distribution FCF used to repay RBL borrowings; - Base interest rates applicable to the company's outstanding variable rate debt obligations reflect current secured overnight financing rate (SOFR) forward curve. Recovery Analysis Key Recovery Rating Assumptions The recovery analysis assumes that WildFire would be reorganized as a going concern (GC) in bankruptcy rather than liquidated. Fitch has assumed a 10% administrative claim. GC Approach Fitch's projections under a stressed case price desk assume WTI prices of $32 in 2025, $42 in 2026 and $45 in the long-term, along with Henry Hub prices of $2.50 in 2025 and $2.25 in the long term. The GC EBITDA assumption reflects Fitch's view of a sustainable, post-reorganization EBITDA level upon which Fitch bases the enterprise valuation. This valuation reflects the decline from current pricing levels to stressed levels, followed by a partial recovery coming out of a trough pricing environment. WildFire's GC EBITDA is supported by the company's strong hedging protection through the stress case. An EV multiple of 3.5x EBITDA is applied to the GC EBITDA to calculate a post-reorganization enterprise value. The 3.5x multiple reflects WildFire's large, oil-weighted asset base in the Eagle Ford. The choice of this multiple also considered that the historical bankruptcy case study exits multiples for peer companies ranged between 2.8x and 7.0x, with an average of 5.2x and a median of 5.4x. Liquidation Approach The liquidation estimate reflects Fitch's view of the value of balance sheet assets that can be realized through sale or liquidation processes conducted during a bankruptcy or insolvency proceedings and distributed to creditors. Fitch considers valuations, such as SEC PV-10, or present value of estimated future oil and gas revenue, net of estimated direct expenses discounted at an annual discount rate of 10%, and M&A transactions for each basin including multiples for production per flowing barrel, proved reserves valuation, value per acre and value per drilling location. Fitch has assumed the $1.5 billion RBL is 80% drawn in the bankruptcy scenario. The allocation of value in the liability waterfall results in recovery corresponding to 'RR1' for the senior secured RBL facility and 'RR3' for the senior unsecured notes. The unsecured notes are capped at 'RR3' for ratings at the 'B+' level, which is consistent with "Fitch's Corporates Recovery Ratings and Instrument Ratings Criteria." RATING SENSITIVITIES Factors That Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Deviation from stated financial policies including overly debt-funded M&A activity or shareholder distributions; - Material reduction in liquidity including sustained high revolver utilization; - Midcycle EBITDA leverage sustained above 2.5x. Factors That Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Total production sustained above 75 mboepd while maintaining a similar oil mix; - Maintenance of economic drilling inventory and reserve life; - Continued positive FCF generation that allows for a reduction of RBL borrowings; - Maintenance of conservative financial policy resulting in midcycle EBITDA leverage sustained below 2.0x. Liquidity and Debt Structure WildFire has sufficient availability under its $1.5 billion RBL facility due in 2027. Fitch expects the company's post-distribution FCF generation to be allocated toward reducing outstanding RBL borrowings to further enhance liquidity. The liquidity profile is also supported by a strong four-year hedging program. WildFire has a manageable maturity profile with the RBL coming due in 2027 and the unsecured notes in 2029. Issuer Profile WildFire Energy I LLC is a private equity-owned energy company focused on the acquisition, exploration and production of oil and natural gas properties in the U.S., including the East Texas Eagle Ford shale and Austin Chalk. 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 WildFire Energy I LLC has an ESG Relevance Score of '4' for Energy Management due to the company's cost competitiveness and financial and operational flexibility due to scale, business mix and diversification, which 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 Recovery Prior ----------- ------ -------- ----- WildFire Intermediate Holdings, LLC LT IDR B+ Affirmed B+ senior unsecured LT BB- Affirmed RR3 BB- senior secured LT BB+ Affirmed RR1 BB+ WildFire Energy I LLC LT IDR B+ Affirmed B+ WINDTREE THERAPEUTICS: SVP & CMO Steven Simonson Resigns -------------------------------------------------------- Windtree Therapeutics, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that Steven G. Simonson, M.D. resigned as Senior Vice President and Chief Medical Officer, effective immediately. About Windtree Therapeutics Headquartered in Warrington, Pennsylvania, Windtree Therapeutics, Inc. -- windtreetx.com -- is a biotechnology company focused on advancing early and late-stage innovative therapies for critical conditions and diseases. The Company's portfolio of product candidates includes: (a) istaroxime, a Phase 2 candidate that inhibits the sodium-potassium ATPase and also activates sarco endoplasmic reticulum Ca2+ -ATPase 2a, or SERCA2a, for acute heart failure and associated cardiogenic shock; preclinical SERCA2a activators for heart failure; rostafuroxin for the treatment of hypertension in patients with a specific genetic profile; and a preclinical atypical protein kinase C iota, or aPKCi, inhibitor (topical and oral formulations), being developed for potential application in rare and broad oncology indications. The Company also has a licensing business model with partnership out-licenses currently in place. Philadelphia, Pennsylvania-based EisnerAmper LLP, the company's auditor since 2022, issued a "going concern" qualification in its report dated April 15, 2025, attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has suffered recurring losses from operations and expects to incur losses for the foreseeable future, that raise substantial doubt about its ability to continue as a going concern. As of June 30, 2025, the Company had $31.83 million in total assets, $24.98 million in total liabilities, and $3.61 million in total stockholders' equity. WOHALI LAND: EB5AN Seeks Chapter 11 Trustee Appointment ------------------------------------------------------- EB5AN Wohali Utah Fund XV, LP, a secured creditor, asked the U.S. Bankruptcy Court for the District of Utah to appoint a trustee to take over the Chapter 11 case of Wohali Land Estates, LLC. In a court filing, EB5AN explained that the Debtor owns the "Wohali Project," an over 5,000-acre planned development located in Coalville, Utah. EB5AN cited that there is abundant cause to appoint a Chapter 11 trustee and relieve John Kaiser and Dave Boyden of their rights and responsibilities with respect to the Debtor, whether this court believes Section 1104(a)(1) requires EB5 to show that cause by clear and convincing evidence or by a preponderance of the evidence. EB5AN noted that suspicious activity with respect to the Eagle Course also isn't new: over $5 million in loan proceeds were spent operating the golf course, staffing the resort and restaurant, and providing related services, all in clear defiance of the express terms of the loan agreement and without any apparent return to the Debtor. Even if there were a sound business justification for using loan proceeds to fund the golf course, the effect was simply to strip the Debtor of EB5's cash collateral without materially advancing the development of the Wohali Project. In addition, when Wohali Builders, the Wohali Project's in-house construction entity (which was not owned by the Debtor), was administratively dissolved earlier this summer, Messrs. Kaiser and Boyden caused the Debtor to assume Wohali Builders' liabilities, including a litany of unsecured trade debt claims and, per the Debtor's schedules and statements, over $1.2 million in mechanics' liens on EB5's collateral. Finally, the Debtor only filed for bankruptcy once EB5 had initiated a non-judicial foreclosure sale to foreclose on the collateral and had sought the appointment of a receiver over all collateral pledged by the Debtor to EB5 in connection with the loan agreement. The Debtor's bankruptcy, commenced the same day it filed a non-substantive reply to EB5's receiver motion, is little more than a "ruse" and "litigation tactic" to delay EB5's efforts to access its collateral, a delay which has enabled additional fraudulent transfers of collateral outside the estate. And finally, the U.S. Trustee has confirmed that there is not sufficient interest at this time to form an official committee of unsecured creditors. The lack of a committee to serve in an independent watchdog role is an additional equitable factor weighing in favor of the appointment of a Chapter 11 trustee as in the best interests of the estate and its creditors, according to EB5AN. A court hearing is scheduled for September 23. EB5AN is represented by: Michael R. Johnson, Esq. Jeffrey W. Shields, Esq. David H. Leigh, Esq. Ray Quinney & Nebeker, P.C. 36 South State Street, 14th Floor Salt Lake City, Utah 84111 Telephone: (801) 532-1500 Facsimile: (801) 532-7543 mjohnson@rqn.com jshields@rqn.com dleigh@rqn.com About Wohali Land Estates LLC Wohali Land Estates, LLC develops the Wohali master-planned community in Coalville, Utah, combining private residential neighborhoods with public-access resort amenities such as a golf course, lodge, spa, and dining facilities. The development's design integrates luxury homes and estate lots with hospitality, recreation, and infrastructure improvements including public roadways, utility systems, and environmental stabilization measures. Its operations include property maintenance and site preparation to preserve asset value and support future construction. Wohali Land Estates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Utah Case No. 25-24610) on August 8, 2025. In its petition, the Debtor reported between $100 million and $500 million in assets and liabilities. Honorable Bankruptcy Judge Peggy Hunt handles the case. The Debtor is represented by Mark C. Rose, Esq., at McKay, Burton & Thurman, P.C. WOLFSPEED INC: Court Confirms Joint Chapter 11 Plan --------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Texas confirmed the Joint Prepackaged Chapter 11 plan of reorganization of Wolfspeed Inc. and its debtor-affiliates. The Court approved the adequacy of the Debtors' disclosure statement explaining the Debtors' joint prepackaged Chapter 11 plan on Sept. 8, 2025. The Debtors said they proposed their Plan for the treatment and resolution of the outstanding claims against, and interests. According the the Plan, although proposed jointly for administrative purposes, the Plan constitutes a separate Plan for each Debtor for the treatment and resolution of outstanding Claims and Interests herein pursuant to the Bankruptcy Code. The Debtors said they seek to consummate the Restructuring Transactions on the Effective Date. Each Debtor is a proponent of this Plan within the meaning of section 1129 of the Bankruptcy Code. The classifications of Claims and Interests will be deemed to apply separately with respect to each Plan proposed by each Debtor, as applicable. The Plan does not contemplate substantive consolidation of any of the Debtors. The Plan will be deemed a motion to approve the good-faith compromises and settlements of all Claims, Interests, Causes of Action, and controversies pursuant to Bankruptcy Rule 9019. If you have any questions about this notice or any documents or materials that you received, please contact the Solicitation Agent, Epiq Corporate Restructuring LLC, by visiting the Debtors' restructuring website at https://dm.epiq11.com/Wolfspeed. The Solicitation Agent cannot and will not provide legal advice. Summery of the Plan Treatment Estimated Class Claim of Claim Recovery ----- ----- ---------- --------- 1 Other Secured Unimpaired 100% Claim 2 Other Priority Unimpaired 100% Claim 3 Sr. Secured Impaired 80% Notes Claim 4 Convertible Impaired 25%-30% Notes Claim 5 Rensas Claim Impaired 27%-29% 6 Gen. Unsec. Unimpaired 100% Claim 7 Intercompany Unimpaired/ 0%-100% Claim Impaired 8 Intercompany Unimpaired/ 0%-100% Interests Impaired 9 510(b) Claim Unimpaired 100% 10 Existing Equity Impaired NA Interest A full-text copy of the disclosure statement explaining the joint prepackaged Chapter 11 plan of reorganization is available for free at https://tinyurl.com/bdd95wht About Wolfspeed, Inc. Wolfspeed, Inc. (NYSE:WOLF) is an innovator of wide bandgap semiconductors, focused on silicon carbide materials and devices for power applications. Its product families include silicon carbide materials and power devices targeted for various applications such as electric vehicles, fast charging and renewable energy and storage. On June 30, 2025, Wolfspeed, Inc. and Wolfspeed Texas, LLC each filed petitions seeking relief under chapter 11 of the United States Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 25-90163), with Judge Christopher M. Lopez presiding. The Debtors sought Chapter 11 protection after reaching a deal with lenders on a debt-for-equity plan that would reduce debt by $4.6 billion. Latham & Watkins LLP and Hunton Andrews Kurth LLP are serving as legal counsel to Wolfspeed, Perella Weinberg Partners is serving as financial advisor and FTI Consulting is serving as restructuring advisor. Epiq is the claims agent. Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal counsel to the senior secured noteholders and Moelis & Company is serving as the senior secured noteholders' financial advisor. Kirkland & Ellis LLP is serving as legal counsel to Renesas Electronics Corporation, PJT Partners is serving as its financial advisor, and BofA Securities is serving as its structuring advisor. Ropes & Gray LLP is serving as legal counsel to the convertible debtholders and Ducera Partners is serving as financial advisor to the convertible debtholders. YELLOW CORP: 3rd Circ. Rules Pension Obligations Persist in Ch. 11 ------------------------------------------------------------------ Rick Archer of Law360 reports that on September 16, 2025, the Third Circuit rejected Yellow Corp.'s challenge to a bankruptcy court ruling, affirming that the trucking company's pension funds properly determined its obligations as part of its Chapter 11 exit from retirement plans. About Yellow Corporation Yellow Corporation -- http://www.myyellow.com/-- operates logistics and less-than-truckload (LTL) networks in North America, providing customers with regional, national, and international shipping services throughout. Yellow's principal office is in Nashville, Tenn., and is the holding company for a portfolio of LTL brands including Holland, New Penn, Reddaway, and YRC Freight, as well as the logistics company Yellow Logistics. Yellow Corporation and 23 affiliates concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-11069) on August 6, 2023, before the Hon. Craig T. Goldblatt. As of March 31, 2023, Yellow Corporation had $2,152,200,000 in total assets against $2,588,800,000 in total liabilities. The petitions were signed by Matthew A. Doheny as chief restructuring officer. The Debtors tapped Kirkland & Ellis, LLP as restructuring counsel; Pachulski Stang Ziehl & Jones, LLP as Delaware local counsel; Kasowitz, Benson and Torres, LLP as special litigation counsel; Goodmans, LLP as special Canadian counsel; Ducera Partners, LLC, as investment banker; and Alvarez and Marsal as financial advisor. Epiq Bankruptcy Solutions is the claims and noticing agent. Milbank LLP serves as counsel to certain investment funds and accounts managed by affiliates of Apollo Capital Management, L.P. while White & Case, LLP and Arnold & Porter Kaye Scholer, LLP serve as counsels to Beal Bank USA and the U.S. Department of the Treasury, respectively. On Aug. 16, 2023, the U.S. Trustee for Region 3 appointed an official committee of unsecured creditors in the Chapter 11 cases. The committee tapped Akin Gump Strauss Hauer & Feld, LLP and Benesch, Friedlander, Coplan & Aronoff, LLP as counsels; Miller Buckfire as investment banker; and Huron Consulting Services, LLC, as financial advisor. YELLOW CORPORATION: Court Set to Approve Disclosure Statement ------------------------------------------------------------- Judge Craig T. Goldblatt of the United States Bankruptcy Court for the District of Delaware is set to approve a disclosure statement in connection with the Yellow Corp.'s fourth amended plan subject to the addition of an insert. The Court held a hearing on Sept. 5, 2025 on the fourth amended disclosure statement. Various objecting parties, led by MFN, objected to the approval of the disclosure statement. MFN contends the proposed plan is beset by problems of corporate governance. It contends the most significant factor that will drive the recoveries of the holders of unsecured claims will be the allowance of various claims asserted by multiemployer pension plans, to which it (and the debtors) have objected. Under the plan, a majority of the board of managers of the liquidating trust will be appointed by the Committee. And a majority of the Committee's members are multiemployer pension plans. MFN views this situation as one of the fox being left to guard the henhouse. MFN further argues that this problem is exacerbated by the fact that the trust will control a cause of action that the debtors asserted, prepetition, against the Teamsters Union. So MFN contends that the close relationships between the multiemployer pension funds and the unions thereby creates further conflicts. The debtors argue there is nothing at all surprising about the beneficiaries of a trust having a say in the governance of the trust, and that (for this reason) it is commonplace in chapter 11 cases for creditors' committees to appoint the managers of post-confirmation liquidating trusts. To the extent that issues may arise between the trust and one or more of the entities that has appointed a member of the board of managers, ordinary corporate law principles involving disclosure of conflicts and recusal of conflicted members should be sufficient to ensure that the trust operates as an honest fiduciary that acts in the best interests of the beneficiaries of the trust. At the Sept. 5 hearing, the Court concluded it would approve a disclosure statement, but that the disclosure statement should include an insert in which MFN states the reasons why it contends that the plan is deficient, and the debtors may offer their response to MNF's statement. Needless to say, the merits of the objection to confirmation are not before the Court at this time, and all parties' rights on that merits issue are reserved. The parties have met and conferred about the language to be included in such an insert to the disclosure statement but could not agree. They have provided dueling language to the Court for its consideration. This letter ruling is intended to resolve that dispute. A copy of the Court's letter ruling dated September 12, 2025, is available at https://urlcurt.com/u?l=6KlXE5 from PacerMonitor.com. About Yellow Corporation Yellow Corporation -- http://www.myyellow.com/-- operates logistics and less-than-truckload (LTL) networks in North America, providing customers with regional, national, and international shipping services throughout. Yellow's principal office is in Nashville, Tenn., and is the holding company for a portfolio of LTL brands including Holland, New Penn, Reddaway, and YRC Freight, as well as the logistics company Yellow Logistics. Yellow Corporation and 23 affiliates concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-11069) on August 6, 2023, before the Hon. Craig T. Goldblatt. As of March 31, 2023, Yellow Corporation had $2,152,200,000 in total assets against $2,588,800,000 in total liabilities. The petitions were signed by Matthew A. Doheny as chief restructuring officer. The Debtors tapped Kirkland & Ellis, LLP as restructuring counsel; Pachulski Stang Ziehl & Jones, LLP as Delaware local counsel; Kasowitz, Benson and Torres, LLP as special litigation counsel; Goodmans, LLP as special Canadian counsel; Ducera Partners, LLC, as investment banker; and Alvarez and Marsal as financial advisor. Epiq Bankruptcy Solutions is the claims and noticing agent. Milbank LLP serves as counsel to certain investment funds and accounts managed by affiliates of Apollo Capital Management, L.P. while White & Case, LLP and Arnold & Porter Kaye Scholer, LLP serve as counsels to Beal Bank USA and the U.S. Department of the Treasury, respectively. On Aug. 16, 2023, the U.S. Trustee for Region 3 appointed an official committee of unsecured creditors in the Chapter 11 cases. The committee tapped Akin Gump Strauss Hauer & Feld, LLP and Benesch, Friedlander, Coplan & Aronoff, LLP as counsels; Miller Buckfire as investment banker; and Huron Consulting Services, LLC, as financial advisor. YOUNG MEN'S CHRISTIAN: Completes Restructuring, Ch. 11 Exit OK'd ---------------------------------------------------------------- Kayode Crown of kcrown@al.com reports that one year after filing for bankruptcy, the Heart of the Valley YMCA has officially emerged from the process. U.S. Bankruptcy Judge Clifton R. Jessup, Jr. signed an order on September 11, 2025 ending the proceedings, marking the completion of a restructuring plan that included property sales, debt refinancing, and operational adjustments. The YMCA filed for Chapter 11 protection in August 2024 after $15 million in loan repayments came due, calling the move a necessary step toward long-term stability. As part of its reorganization, the YMCA secured $13.35 million in refinancing from Redstone Federal Credit Union at 2.75% interest, payable over 10 years. The plan also provided for vendor payments totaling $702,000 over two years, continued repayment of U.S. Small Business Administration loans, and settlement of nearly $23,000 in arrears to Huntsville Utilities. In addition, the organization closed its previous downtown location and signed a 10-year lease at The Times Building for a new facility, while also launching a four-year capital campaign to raise $4 million, according to report. Leadership changes accompanied the restructuring, with Rob Gray, former head of the Bath Area Family YMCA in Maine, stepping in as CEO. In a statement, Gray called the development a "turning point" that positions the organization to expand youth, family, and community programs across the Huntsville area. Redstone Federal Credit Union CEO Joe Newberry praised the YMCA's mission and reaffirmed the institution's support, while the YMCA emphasized its commitment to ensuring broad community access to its programs regardless of financial means, the report states. About The Young Men's Christian Association The Young Men's Christian Association of Metropolitan Huntsville, Alabama is a non-profit organization that offers programs to support the needs of a growing and diverse communities including childcare, health & fitness, teen programs and community programs. YMCA filed Chapter 11 petition (Bankr. N.D. Ala. Case No, 24-81638) on August 23, 2024, with $10 million to $50 million in both assets and liabilities. Jeff Collen, interim chief executive officer of YMCA, signed the petition. Judge Clifton R Jessup Jr. presides over the case. Kevin D. Heard, Esq., at Heard, Ary & Dauro, LLC, is the Debtor's legal counsel. [] 45-Unit Residential Complex for Sale on September 17 ------------------------------------------------------- Keen Auction Company Inc. will hold a real estate auction 25-100 on Sept. 17, 2025, at 11:00 a.m., at 45-Unit Luxury Residential Complex, 100 U.S. Route One in Cumberland, Maine. A $500,000 deposit (nonrefundable as to highest bidder) in Cash Or Certified U.S. funds, made payable to Keenan Auction Company, Inc. -- deposited with the Auctioneer as a qualification to bid -- increased to 5% of the purchase price within 5 business days of the sale with balance due and payable within 28 days from date of auction. A 5% Buyer’s Premium. All other terms will be announced at the public sale. For additional terms and a Property Information Package visit KeenanAuction.com or call (207) 885-5100 and request by auction #25-100. Richard J. Keenan #236. Our 53rd Year and 8,800th Auction. Keenan Auction can be reached at: Keenan Auction Co. Inc. 2063 Congress Street Portland, ME 04102 207-885-5100 info@keenanauction.com [] Two Scarborough Warehouses Up for Sale on September 25 --------------------------------------------------------- Keenan Auction Company Inc. will hold a real estate foreclosure auction 25-124 and 25-125 on Sept. 25, 2025, at 2:00 p.m., for the sale of two warehouse/office buildings located in Scarborough Industrial Park, Scarborough, Maine. Auction 25-124: Land Consists of a 3+/- acre Industrial-I zoned parcel with 60+/- ft. of road frontage. The level parcel is located within the Scarborough Industrial Park that has convenient access to U.S. Route 1, the Haigis Parkway and the Maine Turnpike. Improving the site is a circa 1990 warehouse/office building containing 40,000+/-SF. The concrete block building has a 28’ wall height and ceiling heights ranging from 22’-24’. Features include wet sprinkler system, full central air heating and cooling, and (7) loading docks. Auction 25-125: Land consists of a 1.79+/- acre Industrial-I zoned parcel located within the Scarborough Industrial Park. The level site has convenient access to U.S. Route 1, the Haigis Parkway and the Maine Turnpike. Improving the site is a circa 2006 warehouse building containing 20,000+/-SF. The steel sided building has a 30' wall height and ceiling heights ranging from 22'-24'. Features include wet sprinkler system, radiant heat, and (2) loading docks and (1) ground level OH door, and an office area. A $100,000 deposit to bid -- nonrefundable as to highest bidder -- in Cash, Wire Or Certified U.S. funds, made payable to Keenan Auction Company, Inc., Increased to 10% of the purchase price within 5-calendar days of the public sale, with balance due and payable within 30 days from date of auction. All other terms will be announced at the public sale. For a Property Information Package containing additional terms visit KeenanAuction.com or call (207) 885-5100 and request by auction #25-125. Richard J. Keenan #236. Our 53rd Year and 8,810th Auction. Keenan Auction can be reached at: Keenan Auction Co. Inc. 2063 Congress Street Portland, ME 04102 207-885-5100 info@keenanauction.com [^] Recent Small-Dollar & Individual Chapter 11 Filings ------------------------------------------------------- In re Michael Fullard Bankr. W.D. Pa. Case No. 25-22385 Chapter 11 Petition filed September 7, 2025 represented by: Michael Geisler, Esq. In re Da Noi Hospitality, LLC Bankr. D.D.C. Case No. 25-00371 Chapter 11 Petition filed September 8, 2025 See https://www.pacermonitor.com/view/6HB5EAA/Da_Noi_Hospitality_LLC__dcbke-25-00371__0001.0.pdf?mcid=tGE4TAMA represented by: Steven Greenfeld, Esq. LAW OFFICE OF STEVEN H. GREENFELD E-mail: steveng@cohenbaldinger.com In re Federico Family Trust Corp Bankr. S.D. Fla. Case No. 25-20400 Chapter 11 Petition filed September 8, 2025 See https://www.pacermonitor.com/view/JNZCGWY/Federico_Family_Trust_Corp__flsbke-25-20400__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Gabriel Nathan Schwartz Bankr. N.D. Fla. Case No. 25-30856 Chapter 11 Petition filed September 8, 2025 represented by: Byron Wright, Esq. In re Poleline Lender LLC Bankr. D. Idaho Case No. 25-20295 Chapter 11 Petition filed September 8, 2025 See https://www.pacermonitor.com/view/F3IPLMQ/Poleline_Lender_LLC__idbke-25-20295__0001.0.pdf?mcid=tGE4TAMA represented by: Patrick J. Geile, Esq. FOLEY FREEMAN, PLLC E-mail: pgeile@foleyfreeman.com In re Anita L Vara Bankr. D. Kan. Case No. 25-10960 Chapter 11 Petition filed September 8, 2025 represented by: Mark J. Lazzo, Esq. In re Tabitha Soileau Miller Bankr. W.D. La. Case No. 25-50800 Chapter 11 Petition filed September 8, 2025 represented by: H. Kent Aguillard, Esq. In re Dynamism LLC Bankr. S.D.N.Y. Case No. 25-35951 Chapter 11 Petition filed September 8, 2025 See https://www.pacermonitor.com/view/SV26I3A/Dynamism_LLC__nysbke-25-35951__0001.0.pdf?mcid=tGE4TAMA represented by: Michael D. Pinsky, Esq. LAW OFFICE OF MICHAEL D. PINSKY, P.C. E-mail: michael.d.pinsky@gmail.com In re Kathleen P. Sinis Bankr. S.D.N.Y. Case No. 25-22844 Chapter 11 Petition filed September 8, 2025 represented by: H. Bronson, Esq. In re ASN Investment Group Bankr. E.D. Pa. Case No. 25-13576 Chapter 11 Petition filed September 8, 2025 See https://www.pacermonitor.com/view/K4L7EWQ/ASN_Investment_Group__paebke-25-13576__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Austin Hewitt House, LLC Bankr. M.D. Tenn. Case No. 25-03772 Chapter 11 Petition filed September 8, 2025 See https://www.pacermonitor.com/view/RZCQDAQ/Austin_Hewitt_House_LLC__tnmbke-25-03772__0001.0.pdf?mcid=tGE4TAMA represented by: Denis Graham "Gray" Waldron, Esq. DUNHAM HILDEBRAND PAYNE WALDRON, PLLC E-mail: gray@dhnashville.com In re Dale Eugene Behan and Linda Nell Behan Bankr. N.D. Tex. Case No. 25-43412 Chapter 11 Petition filed September 8, 2025 See https://www.pacermonitor.com/view/MHZYKPQ/Dale_Eugene_Behan_and_Linda_Nell__txnbke-25-43412__0001.0.pdf?mcid=tGE4TAMA represented by: Joyce Lindauer, Esq. JOYCE W. LINDAUER ATTORNEY, PLLC E-mail: joyce@joycelindauer.com In re Elvira Nario DDS Inc Bankr. C.D. Cal. Case No. 25-16437 Chapter 11 Petition filed September 9, 2025 See https://www.pacermonitor.com/view/4KDPY3Q/Elvira_Nario_DDS_Inc__cacbke-25-16437__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Abide Ventures, LLC Bankr. M.D. Fla. Case No. 25-05693 Chapter 11 Petition filed September 9, 2025 See https://www.pacermonitor.com/view/RPONEGI/Abide_Ventures_LLC__flmbke-25-05693__0001.0.pdf?mcid=tGE4TAMA represented by: Chad Van Horn, Esq. VAN HORN LAW GROUP, P.A. E-mail: chad@cvhlawgroup.com In re Hannon Enterprise Group, LLC Bankr. M.D. Fla. Case No. 25-05691 Chapter 11 Petition filed September 9, 2025 See https://www.pacermonitor.com/view/SJWVRNI/Hannon_Enterprise_Group_LLC__flmbke-25-05691__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Metered Appliances Inc. Bankr. E.D.N.Y. Case No. 25-44316 Chapter 11 Petition filed September 9, 2025 See https://www.pacermonitor.com/view/G4RFZHI/Metered_Appliances_Inc__nyebke-25-44316__0001.0.pdf?mcid=tGE4TAMA represented by: Charles Wertman, Esq. LAW OFFICES OF CHARLES WERTMAN P.C. E-mail: charles@cwertmanlaw.com In re Situpfront Inc. Bankr. E.D.N.Y. Case No. 25-73463 Chapter 11 Petition filed September 9, 2025 See https://www.pacermonitor.com/view/P5U5FOQ/Situpfront_Inc__nyebke-25-73463__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Stephen Carl Silverberg Bankr. E.D.N.Y. Case No. 25-73436 Chapter 11 Petition filed September 9, 2025 represented by: Stephen Silverberg, Esq. In re Alexis P. Blair Bankr. N.D.N.Y. Case No. 25-11037 Chapter 11 Petition filed September 9, 2025 represented by: Erica Aisner, Esq. In re Kenneth Leach and Doris Leach Bankr. E.D.N.C. Case No. 25-03517 Chapter 11 Petition filed September 9, 2025 represented by: Christopher Kirk, Esq. In re Ramprasad Chitpadi Dandillaya Bankr. C.D. Cal. Case No. 25-17948 Chapter 11 Petition filed September 10, 2025 represented by: David Golubchik, Esq. In re Alexander Rolinitis Bankr. M.D. Fla. Case No. 25-06570 Chapter 11 Petition filed September 10, 2025 represented by: Buddy Ford, Esq. FORD & SEMACH, P.A. In re Shaun Caldwell and Kaila Caldwell Bankr. N.D. Ga. Case No. 25-60465 Chapter 11 Petition filed September 10, 2025 represented by: Will Geer, Esq. In re Investments Group LLC Bankr. N.D. Ill. Case No. 25-13964 Chapter 11 Petition filed September 10, 2025 See https://www.pacermonitor.com/view/UAHYDQQ/Investments_Group_LLC__ilnbke-25-13964__0001.0.pdf?mcid=tGE4TAMA represented by: John H. Redfield, Esq. CRANE, SIMON, CLAR & GOODMAN E-mail: jredfield@cranesimon.com In re Richard Puleo Bankr. S.D.N.Y. Case No. 25-22850 Chapter 11 Petition filed September 10, 2025 See https://www.pacermonitor.com/view/ZASRKKI/Richard_Puleo__nysbke-25-22850__0001.0.pdf?mcid=tGE4TAMA represented by: H Bruce Bronson, Esq. BRONSON LAW OFFICES PC E-mail: hbbronson@bronsonlaw.net In re Terra Cottage Realty Group, LLC Bankr. M.D. Pa. Case No. 25-02547 Chapter 11 Petition filed September 10, 2025 See https://www.pacermonitor.com/view/YSDC73Q/Terra_Cottage_Realty_Group_LLC__pambke-25-02547__0001.0.pdf?mcid=tGE4TAMA represented by: Jason Zac Christman, Esq. J. ZAC CHRISTMAN, ESQUIRE E-mail: zac@jzacchristman.com In re Shane Barnes Construction, LLC Bankr. N.D. Ala. Case No. 25-81865 Chapter 11 Petition filed September 11, 2025 See https://www.pacermonitor.com/view/N4G4EJA/Shane_Barnes_Construction_LLC__alnbke-25-81865__0001.0.pdf?mcid=tGE4TAMA represented by: Kevin D. Heard, Esq. HEARD, ARY & DAURO, LLC E-mail: kheard@heardlaw.com In re Thelma Parivar Bankr. D. Ariz. Case No. 25-08612 Chapter 11 Petition filed September 11, 2025 represented by: Liz Nguyen, Esq. In re Standford Mart LP Bankr. C.D. Cal. Case No. 25-17990 Chapter 11 Petition filed September 11, 2025 See https://www.pacermonitor.com/view/GN5XGJA/STANFORD_MART_LP__cacbke-25-17990__0001.0.pdf?mcid=tGE4TAMA represented by: Matthew Abbasi, Esq. ABBASI LAW CORPORATION E-mail: matthew@malawgroup.com In re Jason Akeem Vialet and Nitasha Christina Vialet Bankr. M.D. Fla. Case No. 25-05746 Chapter 11 Petition filed September 11, 2025 represented by: Jodi Dubose, Esq. In re M&K Active Transport LLC Bankr. N.D. Ga. Case No. 25-60477 Chapter 11 Petition filed September 11, 2025 See https://www.pacermonitor.com/view/T2LH44A/MK_Active_Transport_LLC__ganbke-25-60477__0001.0.pdf?mcid=tGE4TAMA represented by: Thomas T. McClendon, Esq. JONES & WALDEN LLC E-mail: tmcclendon@joneswalden.com In re Kaliber Electric, LLC Bankr. W.D. Ky. Case No. 25-32207 Chapter 11 Petition filed September 11, 2025 See https://www.pacermonitor.com/view/DSRXQYA/Kaliber_Electric_LLC__kywbke-25-32207__0001.0.pdf?mcid=tGE4TAMA represented by: Charity S. Bird, Esq. KAPLAN JOHNSON ABATE & BIRD LLP E-mail: cbird@kaplanjohnsonlaw.com In re A P Beck Lawrence Realty, LLC Bankr. D. Mass. Case No. 25-40962 Chapter 11 Petition filed September 11, 2025 See https://www.pacermonitor.com/view/QES2FZY/A_P_Beck_Lawrence_Realty_LLC__mabke-25-40962__0001.0.pdf?mcid=tGE4TAMA represented by: Matthew T. Desrochers, Esq. LAW OFFICE OF MATTHEW T. DESROCHERS E-mail: matthewtdesrochers@gmail.com In re Elizabeth Reny Inc. Bankr. E.D.N.Y. Case No. 25-44350 Chapter 11 Petition filed September 11, 2025 See https://www.pacermonitor.com/view/NLZ7L6Y/Elizabeth_Reny_Inc__nyebke-25-44350__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Lake St Brooklyn LLC Bankr. E.D.N.Y. Case No. 25-44353 Chapter 11 Petition filed September 11, 2025 See https://www.pacermonitor.com/view/NYRZNGY/Lake_St_Brooklyn_LLC__nyebke-25-44353__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re Isaac Shouela Bankr. E.D.N.Y. Case No. 25-44355 Chapter 11 Petition filed September 11, 2025 represented by: Rachel Blumenfeld, Esq. In re Mamdouh Mhmoud Bankr. E.D.N.Y. Case No. 25-73486 Chapter 11 Petition filed September 11, 2025 represented by: Kamini Fox, Esq. In re Tyrus Devon Davis Bankr. M.D.N.C. Case No. 25-10592 Chapter 11 Petition filed September 11, 2025 represented by: S. Whitesell, Esq. In re Early American Pittsburgh, Inc. Bankr. W.D. Pa. Case No. 25-22453 Chapter 11 Petition filed September 12, 2025 See https://www.pacermonitor.com/view/Z46RKSA/Early_American_Pittsburgh_Inc__pawbke-25-22453__0001.0.pdf?mcid=tGE4TAMA represented by: Christopher M. Frye, Esq. STEIDL & STEINBERG, P.C. E-mail: chris.frye@steidl-steinberg.com In re Donald Ernest Brandt Bankr. M.D. Tenn. Case No. 25-03817 Chapter 11 Petition filed September 11, 2025 In re Alfonso Pettis Bankr. W.D. Tex. Case No. 25-11415 Chapter 11 Petition filed September 11, 2025 represented by: Holly Jamjoo, Esq. In re Douglas Brian Hawes and Vicki Renee Hawes Bankr. W.D. Wash. Case No. 25-12541 Chapter 11 Petition filed September 11, 2025 represented by: Thomas Neeleman, Esq. In re John E. Davis Bankr. S.D. Ala. Case No. 25-12486 Chapter 11 Petition filed September 12, 2025 In re Anderson Hoop Dreams, Inc. Bankr. M.D. Fla. Case No. 25-05772 Chapter 11 Petition filed September 12, 2025 See https://www.pacermonitor.com/view/MRLWWAQ/Anderson_Hoop_Dreams_Inc__flmbke-25-05772__0001.0.pdf?mcid=tGE4TAMA represented by: Jeffrey S. Ainsworth, Esq. BRANSONLAW, PLLC E-mail: jeff@bransonlaw.com In re F1 Motor Transport LLC Bankr. M.D. Fla. Case No. 25-06659 Chapter 11 Petition filed September 12, 2025 See https://www.pacermonitor.com/view/R43MX7A/F1_Motor_Transport_LLC__flmbke-25-06659__0001.0.pdf?mcid=tGE4TAMA Filed Pro Se In re SVK Properties LLC Bankr. S.D. Fla. Case No. 25-20603 Chapter 11 Petition filed September 11, 2025 See https://www.pacermonitor.com/view/7VBZWBA/SVK_Properties_LLC__flsbke-25-20603__0001.0.pdf?mcid=tGE4TAMA represented by: John J. Torikashvili, Esq. LAW OFFICE OF JOHN J. TORIKASHVILI, PA E-mail: John@TorikashviliLaw.com In re Andrew C Heaner and Mary Helen Heaner Bankr. N.D. Ga. Case No. 25-41398 Chapter 11 Petition filed September 12, 2025 represented by: Anna Humnicky, Esq. In re Benjamin Carpenter Bankr. S.D. Ind. Case No. 25-05528 Chapter 11 Petition filed September 12, 2025 represented by: Jeffrey Hester, Esq. In re Brightlife Electric NV LLC Bankr. D. Nev. Case No. 25-50836 Chapter 11 Petition filed September 12, 2025 See https://www.pacermonitor.com/view/2BDS6UY/BRIGHTLIFE_ELECTRIC_NV_LLC__nvbke-25-50836__0001.0.pdf?mcid=tGE4TAMA represented by: Kevin A Darby, Esq. DARBY LAW PRACTICE E-mail: kevin@darbylawpractice.com ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR editor holds some position in the issuers public debt and equity securities about which we report. Each Tuesday edition of the TCR contains a list of companies with insolvent balance sheets whose shares trade higher than $3 per share in public markets. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. 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