Court approves Best Products' liquidation
plan; Company to begin paying allowed claims in late June
RICHMOND, Va.--May 30, 1997--
Payments for disputed claims may be delayed into 1998
Best Products Co., Inc. said
that a U.S. bankruptcy court approved its plan of liquidation on
May 29, 1997 and, as a result, the company will begin
distributing recovery checks to holders of allowed claims in late
Best Products said about 1,200 claims in dispute will not be
paid until the disputes are resolved, which the company said
could take until the end of the year or longer. Best Products is
actively reconciling disputed claims and creditors holding them
can receive more information about the reconciliation process by
calling the company at (804) 261-2000 ext. 2500.
About 5,000 creditors - those who are claim holders of record
as of the record date and whose claims have been allowed - will
begin receiving distributions late next month. With the exception
of those for a limited number of landlords, all bar dates for
filing claims have passed.
Holders of allowed administrative or priority claims will
receive 100% recoveries. General unsecured creditors with allowed
claims will begin receiving partial distributions late next
month. Ultimate recoveries for creditors in this class are
estimated at approximately 68% of claim amounts once all
distributions have been completed. Completing the distribution
process to these creditors could take at least a year. The
company is setting reserves to cover disputed claims, and general
unsecured creditors with allowed claims will receive additional
distributions as the disputed claims are resolved and portions of
the disputed claim reserve become available.
In approving the plan, the court indicated that Best Products
is insolvent. Consequently, the company's shareholders will not
receive any distributions.
Best Products said that while it has liquidated nearly all its
assets, it is still pursuing recoveries on vendor receivables and
marketing several real estate properties. Among those properties
are the company's former Rockville, Md., Fort Collins, Colo. and
Winston-Salem, N.C. stores, a parcel adjacent to Best Products'
former distribution center in Ashland, Va. and several other
small, undeveloped parcels adjacent to former Best Products
stores. Details about these properties may be obtained by calling
(804)261- 2000 ext. 2500.
CONTACT: McGuire Woods Battle Booth, L.L.P. Slate Dabney,
Holly Holdings announces global settlement between name="COUNTRY">Country World Casinos and New Allied
BALA CYNWYD, PA.--May 30, 1997--Holly Holdings Inc.
(NASDAQ:HOPR, HOPRW; BSE:HOP, HOPP) today announced an agreement
between its majority owned subsidiary, href="chap11.country.html">Country World Casinos Inc. and New
Allied Development Corp.
Counsel for both sides are currently finalizing documents and
formal closing is set for Monday, June 2.
The terms of the agreement call for a global settlement of all
outstanding issues between the parties, including but not limited
to, the dismissal of all federal and state litigation, the
forgiveness of all indebtedness due from Country World to New
Allied and the conversion, pursuant to its terms, of the Series A
Preferred Stock held by New Allied into common stock of Country
William H. Patrowicz, president of Holly Holdings Inc. stated,
"A three phase solution was required to allow the casino and
hotel complex to be built. Phase one was to emerge from
bankruptcy; phase two was to settle all issues with New Allied
Development Corporation and phase three is to secure the
financing. With phase one and two completed, we look forward to
signing formal documents for the financing in the next few weeks
so construction can begin at the earliest possible date.
Negotiations for the financing have been ongoing during phase one
and two and are substantially complete. A hospitality group and
construction company have been chosen and negotiations are
ongoing at this time."
Holly Holdings Inc., headquartered in Bala Cynwyd, has three
wholly owned subsidiaries; Navtech Industries Inc. of Shiprock,
N.M.; Nightlife Printing and Promotions Inc. and American
Publishers Company Inc. of New Hyde Park, N.Y., as well as a
majority owned subsidiary, Country World Casinos Inc. of Denver.
Navtech Industries Inc. is a manufacturer and tester of
electronic components for casino equipment, hotel equipment and
signage. Nightlife Printing and Promotions Inc. is engaged in a
color "print on demand" commercial offset printing
business. American Publishers Company Inc. is a wholesaler,
marketing educational products to schools and libraries
throughout the United States. Country World Casinos Inc. is a
development corporation, whose plan is to construct a casino in
Black Hawk, Colo., as well as a hotel complex.
This press release contains forward-looking statements. All
forward-looking statements involve risks and uncertainties,
including, without limitation, the risks detailed in the
Company's filings and reports with the Securities and Exchange
Commission. Such statements are only predictions and actual
events or results may differ materially from those projected.
CONTACT: Holly Holdings, Bala Cynwyd William Patrowicz,
610/617-0400 or Martin E. Janis & Company, Inc., Chicago
Elliott Jacobson, 312/943-1100
Delta Petroleum Corp. and the Trustee in Bankruptcy for name="UNDERWRITERS">Underwriters Financial Group Inc. reach
DENVER, CO --May 30, 1997--Delta Petroleum Corp.
("Delta")(NASDAQ:DPTR, Frankfurt Stock Exchange:DPE)
announced today that it has entered into an agreement with Snyder
Oil Corp. ("SOCO") and the Trustee in the Bankruptcy
for Underwriters Financial Group ("UFG").
Under the agreement, SOCO will substitute a lien upon
UFG-ownedDelta common stock for its existing lien upon Amber
Resources Co. ("Amber") common stock which is owned by
Delta. The SOCO lien secures a promissory note from UFG in favor
of SOCO. The agreement must be approved by the Bankruptcy Court
to become effective. The agreement will allow Delta to remove the
approximately $2,670,000 currently encumbering its Amber stock as
a current liability from its balance sheet thereby adding a like
amount to Delta's shareholders' equity.
Previously, under a series of agreements between UFG and Delta
beginning in 1992, Delta acquired 72% of Amber from UFG subject
to a promissory note owed by UFG to SOCO. Delta also held Delta
common stock owned by UFG as collateral to assure that UFG would
discharge the promissory note to SOCO. Management of Delta has
the right to vote the UFG-owned Delta shares. SOCO held the
shares representing 72% of Amber also as collateral to assure the
repayment of the promissory note by UFG.
Although Delta was not obligated to pay the promissory note,
Delta recorded an aggregate of about $2,670,000 representing
principal and accrued interest on the promissory note as a
current liability. UFG defaulted on the promissory note due SOCO
and in December of 1995 filed under Chapter 11 in the U.S.
Bankruptcy Court of the Southern District of New York. Monthly
accrual of interest was charged against income until the UFG
Under the May 23, 1997 agreement, SOCO will release its lien
on the Amber shares owned by Delta in exchange for a lien on the
Delta shares owned by UFG which are currently held by Delta as
collateral. Delta will simultaneously release its lien upon the
UFG- owned Delta shares.
The agreement also imposes certain restrictions upon sale of
the UFG-owned Delta common stock into the public market which are
in addition to any restrictions provided by SEC Rule 144 as it
applies to affiliates.
The accompanying pro forma combined, condensed Consolidated
Balance Sheet combines Delta's condensed Consolidated Balance
Sheet at March 31, 1997 and the effect of the agreement with
Delta, SOCO and UFG as if the agreement had been signed and
approved by the UFG Bankruptcy Court on March 31, 1997. There is
no assurance that the May 23, 1997 agreement will be approved by
the UFG Bankruptcy Court.
The pro forma combined, condensed Consolidated Balance Sheet
should be read in conjunction with the historical financial
statements of Delta.
Pro Forma Combined, Condensed
Consolidated Balance Sheet
March 31, 1997
Current assets $ 949,916 -
949,916 Property and
equipment (net) 9,530,924 -
Other assets 869,815 -
869,815 Total assets 11,350,655
liabilities 3,746,822 (2,669,642)
Long-term debt - -
- Total liabilities 3,746,822
Preferred stock - -
- Common stock 51,376
921 52,297 Additional
capital 22,273,379 2,668,721
Other equity 28,374 -
deficit (14,749,296) -
equity $ 7,603,833 2,669,642
Delta Petroleum Corp. is an oil and gas exploration and
development company based in Denver. Delta's current activities
include continued development of its producing properties in
Wyoming's Wind River Basin, Oklahoma's Anadarko Basin, and
Colorado's Piceance Basin. Delta is also participating in 3D
seismic programs and drilling in the Sacramento Basin and
preparing for the development of its proved undeveloped federal
units located offshore California. To request a copy of the
company's current Form 10-QSB and for further information,
contact the individual listed below.
CONTACT: Delta Petroleum Corp. David Castaneda, 303/293-9133