/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/061007.mbx T R O U B L E D C O M P A N Y R E P O R T E R Saturday, October 7, 2006, Vol. 10, No. 239 Headlines ADELPHIA COMMS: Files Monthly Operating Report for August 2006 ALLIED HOLDINGS: Earns $2.1 Million in August 2006 AMES DEPARTMENT: Posts $408,000 Net Loss for Period Ended July 1 AMES DEPARTMENT: Posts $107,000 Net Loss for Period Ended July 29 ASARCO LLC: Discloses $1,202,416 Total Advances to Subsidiaries ASARCO LLC: Earns $69.5 Million in August 2006 CALPINE CORPORATION: Earns $92.2 Million in July 2006 DELPHI CORPORATION: Posts $533 Million Net Loss in August 2006 ENTERGY NEW ORLEANS: Earns $1.5 Million in August 2006 FLYI INC: Posts $490,610 Net Loss in August 2006 FLYI INC: Independence Air Earns $6.8 Million in August 2006 NORTHWEST AIRLINES: Posts $943 Million Net Loss for August 2006 PERFORMANCE TRANSPORT: Files August 2006 Monthly Operating Report VESTA INSURANCE: Posts $16,423 Net Loss for August 2006 VESTA INSURANCE: Gordon Gaines Earns $116,204 in August 2006 ********* ADELPHIA COMMS: Files Monthly Operating Report for August 2006 -------------------------------------------------------------- In a regulatory filing with the Securities and Exchange Commission, Adelphia Communications Corporation discloses that it adopted a liquidation basis of accounting in August 2006 as a result of the sale of its assets on July 31, 2006, to Time Warner NY Cable, LLC, and Comcast Corporation. ACOM's Senior Vice President and Chief Accounting Officer, Scott D. MacDonald, explains that under the liquidation basis of accounting, assets are recorded at their estimated realizable amounts and liabilities that will be paid in full are recorded at the present value of amounts to be paid. Liabilities subject to compromise are recorded at their face amounts until they are settled, at which time they will be adjusted to their settlement amounts. In connection with the adoption of liquidation basis of accounting, ACOM recorded a preliminary estimated accrual for costs during the liquidation period of $145,289,000, Mr. MacDonald relates. The estimate is subject to change. ACOM also discloses that it expects to pay approximately $1,800,000,000 of claims in the third quarter of 2006 in accordance with the Plan of Reorganization for the Parnassos Debtors and the Century-TCI Debtors, of which approximately $1,600,000,000 relates to prepetition debt obligations. ACOM has paid $1,650,000,000 of those claims as of August 31, 2006. Adelphia Communications Corporation, et al. Consolidated Statement of Net Liabilities In Liquidation (Unaudited) As of August 31, 2006 (Dollars in thousands) ASSETS Cash and cash equivalents $5,925,307 Restricted cash 91,536 Short-term investments 3,416,922 Receivable for securities 5,228 Proceeds from Sale Transaction held in escrow 700,573 TWC Class A Common Stock 4,750,147 Other assets 241,541 ---------- Total Assets $15,131,254 ========== LIABILITIES AND NET LIABILITIES IN LIQUIDATION Accounts payable $21,404 Income and other taxes payable 605,599 Accrued liquidation costs 145,289 Other accrued liabilities 389,301 Liabilities subject to compromise 16,722,583 ---------- Total liabilities $17,884,176 ---------- Net Liabilities in Liquidation ($2,752,922) ========== Adelphia Communications Corporation, et al. Unaudited Consolidated Statement of Changes in Net Liabilities In Liquidation Month Ended August 31, 2006 (Dollars in thousands) Stockholders' deficit at July 31, 2006 ($2,402,824) Effects of adopting liquidation basis of accounting: Accrual of liquidation costs (145,289) Initial adjustment of assets to estimated realizable values (13,044) Adjustment of liabilities subject to compromise to face value (181,594) ---------- Net effect of adopting liquidation basis of accounting (339,927) ---------- Liquidation activities: Adjustment to gain on Sale Transaction (6,041) Settlement of liabilities subject to compromise (599) ---------- Net change from liquidation activities (6,640) ---------- Changes in fair values of assets and liabilities: Change in estimate of net realizable value of assets 960 Interest income 38,258 Interest expense (42,749) ---------- Net change in fair values of assets and liabilities (3,531) ---------- Net change in net liabilities in liquidation (350,098) ---------- Net liabilities in liquidation at August 31, 2006 ($2,752,922) ========== Based in Coudersport, Pa., Adelphia Communications Corporation (OTC: ADELQ) -- http://www.adelphia.com/-- is the fifth-largest cable television company in the country. Adelphia serves customers in 30 states and Puerto Rico, and offers analog and digital video services, high-speed Internet access and other advanced services over its broadband networks. The Company and its more than 200 affiliates filed for Chapter 11 protection in the Southern District of New York on June 25, 2002. Those cases are jointly administered under case number 02-41729. Willkie Farr & Gallagher represents the ACOM Debtors. PricewaterhouseCoopers serves as the Debtors' financial advisor. Kasowitz, Benson, Torres & Friedman, LLP, and Klee, Tuchin, Bogdanoff & Stern LLP represent the Official Committee of Unsecured Creditors. Adelphia Cablevision Associates of Radnor, L.P., and 20 of its affiliates, collectively known as Rigas Manged Entities, are entities that were previously held or controlled by members of the Rigas family. In March 2006, the rights and titles to these entities were transferred to certain subsidiaries of Adelphia Cablevision, LLC. The RME Debtors filed for chapter 11 protection on March 31, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10622 through 06-10642). Their cases are jointly administered under Adelphia Communications and its debtor-affiliates chapter 11 cases. (Adelphia Bankruptcy News, Issue Nos. 151; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). ALLIED HOLDINGS: Earns $2.1 Million in August 2006 -------------------------------------------------- Allied Holdings, Inc. Unaudited Consolidated Balance Sheet As of August 31, 2006 (In Thousands) Assets Current Assets: Cash and cash equivalents $228 Receivables, net of allowances 46,591 Related party receivables 18,290 Inventories 5,096 Prepayments and other current assets 24,768 -------- Total current assets 94,973 Property and equipment, net 123,236 Goodwill, net 3,545 Deferred income taxes 63 Other noncurrent assets 22,042 Investment in related parties 24,710 -------- TOTAL ASSETS $268,569 ======== Liabilities and Stockholders' Deficit Current liabilities not subject to compromise DIP facility $150,938 Canadian revolving credit facility 505 Accounts and notes payable 32,542 Deferred income taxes 80 Accrued liabilities 54,996 -------- Total current liabilities $239,061 Long-term liabilities not subject to compromise Postretirement benefits 4,308 Other long-term liabilities 20,596 -------- Total long-term liabilities 24,904 Liabilities subject to compromise 199,347 Stockholders deficit (194,743) -------- Total liabilities & stockholders deficit $268,569 ======== Allied Holdings, Inc. Unaudited Consolidated Statement of Operations For the Month Ended August 31, 2006 (In Thousands) Revenues $75,676 Operating Expenses Salaries, Wages & Fringe benefits 38,704 Operating supplies & expenses 15,275 Purchased transportation 9,473 Insurance & claims 3,264 Operating tax & licenses 2,338 Depreciation & amortization 2,244 Rents 592 Communications & utilities 501 Other operating expenses 501 Loss on disposal of operating assets, net 1 -------- Total Operating Expenses 72,893 -------- Operating Income (Loss) 2,783 Other Income (Expense) Interest expense (1,911) Investment income 8 Foreign exchange gains, net 970 Equity in earnings of subsidiaries 534 -------- (399) -------- Income before reorganization items and income taxes 2,384 Reorganization items (190) -------- Income (Loss) before income taxes 2,194 Income tax expense - -------- NET INCOME (LOSS) $2,194 ======== The Debtors disclosed cash disbursements totaling $3,973,254 during August 2006. Headquartered in Decatur, Georgia, Allied Holdings, Inc. -- http://www.alliedholdings.com/-- and its affiliates provide short-haul services for original equipment manufacturers and provide logistical services. The Company and 22 of its affiliates filed for chapter 11 protection on July 31, 2005 (Bankr. N.D. Ga. Case Nos. 05-12515 through 05-12537). Jeffrey W. Kelley, Esq., at Troutman Sanders, LLP, represents the Debtors in their restructuring efforts. Henry S. Miller at Miller Buckfire & Co., LLC, serves as the Debtors' financial advisor. Anthony J. Smits, Esq., at Bingham McCutchen LLP, provides the Official Committee of Unsecured Creditors with legal advice and Russell A. Belinsky at Chanin Capital Partners, LLC, provides financial advisory services to the Committee. When the Debtors filed for protection from their creditors, they estimated more than $100 million in assets and debts. (Allied Holdings Bankruptcy News, Issue No. 31; Bankruptcy Creditors' Service, Inc. http://bankrupt.com/newsstand/ or 215/945-7000). AMES DEPARTMENT: Posts $408,000 Net Loss for Period Ended July 1 ---------------------------------------------------------------- Ames Department Stores, Inc., and Subsidiaries Unaudited Consolidated Condensed Balance Sheet At July 1, 2006 (In Thousands) ASSETS Current Assets: Cash and cash equivalents $11,365 Restricted cash 58,509 Receivables 870 --------- Total current assets 70,744 Fixed Assets - --------- Total Assets $70,744 ========= LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities: Accounts payable: Trade $47,394 Other 10,265 --------- Total accounts payable 57,659 Self-insurance reserves 25,369 Accrued expenses 19,657 Liabilities subject to compromise 846,442 --------- Total liabilities 949,127 Stockholders' equity (deficit) Common stock 295 Additional paid-in capital 533,393 Accumulated deficit (1,411,149) Treasury stock (922) --------- Total stockholders' deficit (878,383) --------- Total liabilities and stockholders' deficit $70,744 ========= Ames Department Stores, Inc., and Subsidiaries Unaudited Consolidated Condensed Statement of Operations For the Five Weeks Ended July 1, 2006 (In Thousands) Total revenue $78 Costs and expenses Wind down expenses and other costs 386 Gain on Sale of Assets - Write off of excess reserves - Professional fees 100 --------- Loss before income taxes (408) Income tax provision - --------- Net Loss ($408) ========= Ames Department Stores, Inc., and Subsidiaries Unaudited Consolidated Condensed Statement of Cash Flows For the Five Weeks ended July 1, 2006 (In Thousands) Cash flows from operating activities: Net loss ($408) Expenses not requiring the outlay of cash: Gain on the sale of assets - --------- Cash provided by operations (408) Changes in working capital: Decrease in receivables 151 Decrease in accrued exp. and other liabilities (294) Decrease in accounts payable (370) Increase in Restricted Cash (19) --------- Net cash provided by operating activities (940) Cash flows from financing activities: Change in liabilities subject to compromise 271 Proceeds from the sale of assets - --------- Net cash used by financing activities 271 Decrease in cash and cash equivalents (669) Cash and cash equivalents, beginning of period 12,034 --------- Cash and cash equivalents, end of period $11,365 ========= Ames Department Stores filed for chapter 11 protection on Aug. 20, 2001 (Bankr. S.D.N.Y. Case No. 01-42217). Albert Togut, Esq., Frank A. Oswald, Esq. at Togut, Segal & Segal LLP and Martin J. Bienenstock, Esq., and Warren T. Buhle, Esq., at Weil, Gotshal & Manges LLP represent the Debtors in their restructuring efforts. When the Company filed for protection from their creditors, they listed $1,901,573,000 in assets and $1,558,410,000 in liabilities. (AMES Bankruptcy News, Issue No. 85; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). AMES DEPARTMENT: Posts $107,000 Net Loss for Period Ended July 29 ----------------------------------------------------------------- Ames Department Stores, Inc., and Subsidiaries Unaudited Consolidated Condensed Balance Sheet At July 29, 2006 (In Thousands) ASSETS Current Assets: Cash and cash equivalents $10,894 Restricted cash 58,526 Receivables 895 --------- Total current assets 70,315 Fixed Assets - --------- Total Assets $70,315 ========= LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities: Accounts payable: Trade $47,393 Other 9,883 --------- Total accounts payable 57,276 Self-insurance reserves 25,216 Accrued expenses 19,550 Liabilities subject to compromise 846,763 --------- Total liabilities 948,805 Stockholders' equity (deficit) Common stock 295 Additional paid-in capital 533,393 Accumulated deficit (1,411,256) Treasury stock (922) --------- Total stockholders' deficit (878,490) --------- Total liabilities and stockholders' deficit $70,315 ========= Ames Department Stores, Inc., and Subsidiaries Unaudited Consolidated Condensed Statement of Operations For the Four Weeks Ended July 29, 2006 (In Thousands) Total revenue $91 Costs and expenses Wind down expenses and other costs 198 Gain on Sale of Assets - Write off of excess reserves - Professional fees - --------- Loss before income taxes (107) Income tax provision - --------- Net Loss ($107) ========= Ames Department Stores, Inc., and Subsidiaries Unaudited Consolidated Condensed Statement of Cash Flows For the Four Weeks ended July 29, 2006 (In Thousands) Cash flows from operating activities: Net loss ($107) Expenses not requiring the outlay of cash: Gain on the sale of assets - --------- Cash provided by operations (107) Changes in working capital: Increase in receivables (25) Decrease in accrued exp. and other liabilities (260) Decrease in accounts payable (383) Increase in Restricted Cash (17) --------- Net cash provided by operating activities (792) Cash flows from financing activities: Change in liabilities subject to compromise 321 Proceeds from the sale of assets - --------- Net cash used by financing activities 321 Decrease in cash and cash equivalents (471) Cash and cash equivalents, beginning of period 11,365 --------- Cash and cash equivalents, end of period $10,894 ========= Ames Department Stores filed for chapter 11 protection on Aug. 20, 2001 (Bankr. S.D.N.Y. Case No. 01-42217). Albert Togut, Esq., Frank A. Oswald, Esq. at Togut, Segal & Segal LLP and Martin J. Bienenstock, Esq., and Warren T. Buhle, Esq., at Weil, Gotshal & Manges LLP represent the Debtors in their restructuring efforts. When the Company filed for protection from their creditors, they listed $1,901,573,000 in assets and $1,558,410,000 in liabilities. (AMES Bankruptcy News, Issue No. 85; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). ASARCO LLC: Discloses $1,202,416 Total Advances to Subsidiaries --------------------------------------------------------------- ASARCO LLC informs the Court that it has failed to disclose certain advances made to certain of its debtor and non-debtor subsidiaries in its monthly operating reports from August 2005 though July 2006, aggregating to $1,202,416. Summary of Postpetition Payments Made to Funded Entities August 9, 2005 - July 31, 2006 Name Payment ---- ------- Parent Company Asarco, Inc. $138,273 Bankrupt Entities ASARCO Consulting 358,939 ASARCO Master, Inc. 92,649 Encycle/Texas, Inc. 55,573 ASARCO Oil and Gas Company 18,184 Encycle, Inc. 1,200 AR Mexican Explorations 810 Covington Land Company 810 ALC, Inc. 750 American Smelting and Refining 750 AR Sacaton, LLC (Arizona) 750 Government Gulch Mining Company 750 Salero Ranch, Unit III 750 Non-Bankrupt Entities ASARCO Exploration Company 298,011 AR Sacaton, LLC (Delaware) 210,882 Asarco Exploration Co., Canada 12,500 ASARCO Santa Cruz, Inc. 10,803 Green Hill Cleveland Mining 125 Alta Mining and Development 112 AR Silver Bell, Inc. 105 ---------- TOTAL $1,202,416 ========== James R. Prince, Esq., at Baker Botts L.L.P., in Dallas, Texas, relates that the Advances made to the non-debtor subsidiaries were used to cover ordinary expenses like security guard services, utilities, property maintenance and repair expenses, mineral and licensing fees, state and local taxes and registration fees. The Advances made to various debtor subsidiaries were used to cover operating and reorganization expenses. Mr. Prince asserts that the Advances of discrete funds to cover the cash needs of the subsidiaries helped preserve ASARCO's investments in those entities and allowed all of the Debtors in the jointly administered Chapter 11 cases to continue to comply with their obligations as debtors. Furthermore, to the extent that the funds covered the cash needs of certain subsidiaries holding valuable assets for sale, ASARCO and its estate will benefit because the vast majority of those sales proceeds will be received by ASARCO as their sole shareholder. Headquartered in Tucson, Arizona, ASARCO LLC -- http://www.asarco.com/-- is an integrated copper mining, smelting and refining company. Grupo Mexico S.A. de C.V. is ASARCO's ultimate parent. The Company filed for chapter 11 protection on Aug. 9, 2005 (Bankr. S.D. Tex. Case No. 05-21207). James R. Prince, Esq., Jack L. Kinzie, Esq., and Eric A. Soderlund, Esq., at Baker Botts L.L.P., and Nathaniel Peter Holzer, Esq., Shelby A. Jordan, Esq., and Harlin C. Womble, Esq., at Jordan, Hyden, Womble & Culbreth, P.C., represent the Debtor in its restructuring efforts. Lehman Brothers Inc. provides the ASARCO with financial advisory services and investment banking services. Paul M. Singer, Esq., James C. McCarroll, Esq., and Derek J. Baker, Esq., at Reed Smith LLP give legal advice to the Official Committee of Unsecured Creditors and David J. Beckman at FTI Consulting, Inc., gives financial advisory services to the Committee. When the Debtor filed for protection from its creditors, it listed $600 million in total assets and $1 billion in total debts. The Debtor has five affiliates that filed for chapter 11 protection on April 11, 2005 (Bankr. S.D. Tex. Case Nos. 05-20521 through 05-20525). They are Lac d'Amiante Du Quebec Ltee, CAPCO Pipe Company, Inc., Cement Asbestos Products Company, Lake Asbestos of Quebec, Ltd., and LAQ Canada, Ltd. Details about their asbestos-driven chapter 11 filings have appeared in the Troubled Company Reporter since Apr. 18, 2005. Encycle/Texas, Inc. (Bankr. S.D. Tex. Case No. 05-21304), Encycle, Inc., and ASARCO Consulting, Inc. (Bankr. S.D. Tex. Case No. 05-21346) also filed for chapter 11 protection, and ASARCO has asked that the three subsidiary cases be jointly administered with its chapter 11 case. On Oct. 24, 2005, Encycle/Texas' case was converted to a Chapter 7 liquidation proceeding. The Court appointed Michael Boudloche as Encycle/Texas, Inc.'s Chapter 7 Trustee. Michael B. Schmidt, Esq., and John Vardeman, Esq., at Law Offices of Michael B. Schmidt represent the Chapter 7 Trustee. (ASARCO Bankruptcy News, Issue No. 30; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). ASARCO LLC: Earns $69.5 Million in August 2006 ---------------------------------------------- ASARCO LLC, et al. Balance Sheet As of August 31, 2006 ASSETS Current Assets: Cash $278,301,000 Restricted Cash 24,134,000 Accounts receivable, net 142,216,000 Inventory 300,129,000 Prepaid expenses 19,374,000 Deferred income tax assets 0 Other current assets 15,455,000 ------------- Total Current Assets 779,607,000 Net property, plant and equipment 411,602,000 Other Assets Investments in subs 77,447,000 Advances to affiliates 13,398,000 Prepaid pension & retirement plan 76,592,000 Non-current deferred tax asset 40,954,000 Other 136,335,000 ------------- Total assets $1,535,936,000 ============= LIABILITIES Postpetition liabilities: Accounts payable $48,214,000 Accrued liabilities 26,914,000 Debtor-in-possession financing 0 ------------- Total postpetition liabilities 75,128,000 Prepetition liabilities: Not subject to compromise - credit 863,000 Not subject to compromise - other 124,301,000 Advances from affiliates 28,683,000 Subject to compromise 876,655,000 ------------- Total prepetition liabilities 1,030,503,000 ------------- Total liabilities $1,105,631,000 ------------- OWNERS' EQUITY (DEFICIT) Common stock 508,325,000 Additional paid-in capital 104,578,000 Other comprehensive income (122,212,000) Retained earnings: filing date (531,162,000) ------------- Total prepetition owners' equity (40,472,000) Retained earnings: post-filing date 470,777,000 ------------- Total owners' equity (net worth) 430,305,000 Total liabilities and owners' equity $1,535,936,000 ============= ASARCO LLC, et al. Consolidated Statement of Operations Month Ending August 31, 2006 Sales $156,766,000 Cost of products and services 85,947,000 ------------- Gross profit 70,819,000 Operating expenses: Selling and general & admin expenses 5,697,000 Depreciation & amortization 2,351,000 Provision accretion expense of asset retirement obligation 143,000 ------------- Operating income 62,629,000 Interest expense 30,000 Interest income (1,561,000) Reorganization expenses 2,809,000 Other miscellaneous (income) expenses (9,573,000) ------------- Income (loss) before taxes 70,923,000 Income taxes 1,418,000 ----------- Net income (loss) $69,504,000 =========== ASARCO LLC, et al. Consolidated Cash Receipts & Disbursements Month Ending August 31, 2006 Receipts $157,110,000 Disbursements: Inventory material 66,510,000 Operating disbursements 44,965,000 Capital expenditures 3,758,000 ------------ Total disbursements 115,233,000 Operating cash flow 41,877,000 Reorganization disbursements 2,518,000 ------------ Net cash flow 39,360,000 Net payments to secured Lenders 0 ------------ Net change in cash 39,360,000 Beginning cash balance 263,075,000 ------------ Ending cash balance $302,435,000 ============ Headquartered in Tucson, Arizona, ASARCO LLC -- http://www.asarco.com/-- is an integrated copper mining, smelting and refining company. Grupo Mexico S.A. de C.V. is ASARCO's ultimate parent. The Company filed for chapter 11 protection on Aug. 9, 2005 (Bankr. S.D. Tex. Case No. 05-21207). James R. Prince, Esq., Jack L. Kinzie, Esq., and Eric A. Soderlund, Esq., at Baker Botts L.L.P., and Nathaniel Peter Holzer, Esq., Shelby A. Jordan, Esq., and Harlin C. Womble, Esq., at Jordan, Hyden, Womble & Culbreth, P.C., represent the Debtor in its restructuring efforts. Lehman Brothers Inc. provides the ASARCO with financial advisory services and investment banking services. Paul M. Singer, Esq., James C. McCarroll, Esq., and Derek J. Baker, Esq., at Reed Smith LLP give legal advice to the Official Committee of Unsecured Creditors and David J. Beckman at FTI Consulting, Inc., gives financial advisory services to the Committee. When the Debtor filed for protection from its creditors, it listed $600 million in total assets and $1 billion in total debts. The Debtor has five affiliates that filed for chapter 11 protection on April 11, 2005 (Bankr. S.D. Tex. Case Nos. 05-20521 through 05-20525). They are Lac d'Amiante Du Quebec Ltee, CAPCO Pipe Company, Inc., Cement Asbestos Products Company, Lake Asbestos of Quebec, Ltd., and LAQ Canada, Ltd. Details about their asbestos-driven chapter 11 filings have appeared in the Troubled Company Reporter since Apr. 18, 2005. Encycle/Texas, Inc. (Bankr. S.D. Tex. Case No. 05-21304), Encycle, Inc., and ASARCO Consulting, Inc. (Bankr. S.D. Tex. Case No. 05-21346) also filed for chapter 11 protection, and ASARCO has asked that the three subsidiary cases be jointly administered with its chapter 11 case. On Oct. 24, 2005, Encycle/Texas' case was converted to a Chapter 7 liquidation proceeding. The Court appointed Michael Boudloche as Encycle/Texas, Inc.'s Chapter 7 Trustee. Michael B. Schmidt, Esq., and John Vardeman, Esq., at Law Offices of Michael B. Schmidt represent the Chapter 7 Trustee. (ASARCO Bankruptcy News, Issue No. 30; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). CALPINE CORPORATION: Earns $92.2 Million in July 2006 ----------------------------------------------------- Calpine Corporation Condensed Consolidating Balance Sheet As of July 31, 2006 ASSETS Current assets: Cash & cash equivalents $877,289,000 Accounts receivable, net 1,043,724,000 Margin deposits & other prepaid expense 294,486,000 Inventories 169,006,000 Restricted cash 479,516,000 Current derivative assets 329,687,000 Current assets held for sale 383,892,000 Other current assets 131,029,000 -------------- Total current assets 3,708,629,000 Restricted cash, net of current portion 199,458,000 Notes receivable, net of current portion 154,261,000 Project development costs 26,319,000 Investments 67,118,000 Deferred financing costs 165,545,000 Prepaid lease, net of current portion 196,876,000 Property, plant & equipment, net 13,932,203,000 Goodwill 45,160,000 Other intangible assets, net 51,967,000 Long-term derivative assets 582,364,000 Other assets 618,150,000 -------------- Total assets $19,748,050,000 ============== LIABILITIES & STOCKHOLDERS' DEFICIT Current liabilities: Accounts payable $566,372,000 Accrued payroll and related expense 43,311,000 Accrued interest payable 180,072,000 Income taxes payable 99,073,000 Notes payable & other borrowings 181,833,000 Preferred interests 9,124,000 Capital lease obligations 286,209,000 CCFC financing 783,528,000 CalGen financing 2,510,519,000 Construction/project financing 1,997,850,000 DIP Facility 3,500,000 Current derivative liabilities 490,625,000 Other current liabilities 301,012,000 -------------- Total current liabilities 7,453,028,000 Notes payable and other borrowings 467,362,000 Preferred interests 579,122,000 Capital lease obligations 319,000 Construction/project financing 420,050,000 DIP Facility 994,750,000 Deferred income taxes 350,037,000 Deferred revenue 143,796,000 Long-term derivative liabilities 735,889,000 Other liabilities 150,955,000 -------------- Total liabilities not subject to compromise 11,295,308,000 Liabilities subject to compromise 14,954,756,000 Minority interests 265,922,000 Stockholders' equity (deficit): Common stock 569,000 Additional paid-in capital 3,268,855,000 Additional paid-in capital, loaned shares 258,100,000 Additional paid-in capital, returnable shares (258,100,000) Accumulated deficit (9,928,138,000) Accumulated other comprehensive loss (109,222,000) -------------- Total stockholders' deficit (6,767,936,000) -------------- Total liabilities & stockholders' deficit $19,748,050,000 ============== Calpine Corporation Condensed Consolidating Statement of Operations For period ending July 31, 2006 Revenue: Electricity and steam revenue $625,693,000 Sales of purchased power & gas for hedging and optimization 168,506,000 Mark-to-market activities, net (13,825,000) Other revenue 4,334,000 -------------- Total revenue 784,708,000 Cost of revenue: Plant operating expense 31,265,000 Royalty expense 2,481,000 Transmission purchase expense 5,060,000 Purchased power and gas for hedging and optimization 135,110,000 Fuel expense 380,872,000 Depreciation & amortization expense 37,058,000 Operating plant impairments Operating lease expense 1,358,000 Other cost of revenue 2,690,000 -------------- Total cost of revenue 595,894,000 -------------- Gross profit 188,814,000 Equipment, development project & other impairment (26,000) Project development expense 1,864,000 Research and development expense 1,319,000 Sales, general and administrative expense 14,118,000 -------------- Income (loss) from operations 171,539,000 Interest expense 74,094,000 Interest (income) (6,461,000) Minority interest expense 2,927,000 (Income) loss from repurchase of debt issuances Other (income) expense, net 2,686,000 -------------- Loss before organization items, benefit for income taxes and cumulative effect of a change in accounting principle 98,293,000 Reorganization items 4,346,000 -------------- Loss before benefit for income taxes and cumulative effect of a change in accounting principle 93,947,000 Provision (benefit) for income taxes 1,723,000 -------------- Net income $92,224,000 ============== Headquartered in San Jose, California, Calpine Corporation (OTC Pink Sheets: CPNLQ) -- http://www.calpine.com/-- supplies customers and communities with electricity from clean, efficient, natural gas-fired and geothermal power plants. Calpine owns, leases and operates integrated systems of plants in 21 U.S. states and in three Canadian provinces. Its customized products and services include wholesale and retail electricity, gas turbine components and services, energy management and a wide range of power plant engineering, construction and maintenance and operational services. The Company filed for chapter 11 protection on Dec. 20, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-60200). Richard M. Cieri, Esq., Matthew A. Cantor, Esq., Edward Sassower, Esq., and Robert G. Burns, Esq., Kirkland & Ellis LLP represent the Debtors in their restructuring efforts. Michael S. Stamer, Esq., at Akin Gump Strauss Hauer & Feld LLP, represents the Official Committee of Unsecured Creditors. As of Dec. 19, 2005, the Debtors listed $26,628,755,663 in total assets and $22,535,577,121 in total liabilities. (Calpine Bankruptcy News, Issue No. 27; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). DELPHI CORPORATION: Posts $533 Million Net Loss in August 2006 -------------------------------------------------------------- Delphi Corporation, et al. Unaudited Consolidated Balance Sheet As of August 31, 2006 (In Millions) ASSETS Current assets: Cash and cash equivalents $855 Restricted cash 105 Accounts receivable, net General Motors and affiliates 1,448 Other third parties 1,624 Non-Debtor subsidiaries 326 Notes receivable from non-Debtor subsidiaries 359 Inventories, net Productive material, work-in-process and supplies 932 Finished goods 315 Prepaid expenses and other 297 ------- TOTAL CURRENT ASSETS 6,261 Long-term assets: Property, net 2,535 Investment in affiliates 375 Investments in non-Debtor subsidiaries 3,468 Goodwill 152 Other intangible assets 40 Pension intangible assets 678 Other 336 ------- TOTAL ASSETS $13,845 ======= LIABILITIES AND STOCKHOLDERS' DEFICIT Current liabilities not subject to compromise: Secured debt in default $2,492 Accounts payable 1,266 Accounts payable to non-Debtor subsidiaries 316 Accrued liabilities 1,423 ------- TOTAL CURRENT LIABILITIES 5,497 Long-term liabilities not subject to compromise: Debtor-in-possession financing 250 Employee benefit plan obligations and other 758 ------- TOTAL LONG-TERM LIABILITIES 1,008 Liabilities subject to compromise 16,206 ------- TOTAL LIABILITIES 22,711 Stockholders' deficit: Common stock 6 Additional paid-in capital 2,761 Accumulated deficit (10,134) Minimum pension liability (1,452) Accumulated other comprehensive loss 5 Treasury stock, at cost (3.2 million shares) (52) ------- TOTAL STOCKHOLDERS' DEFICIT (8,866) ------- TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT $13,845 ======= Delphi Corporation, et al. Unaudited Consolidated Statement of Operations Month Ended August 31, 2006 (In Millions) Net sales: General Motors and affiliates $950 Other customers 619 Intercompany non-Debtor subsidiaries 48 ------- Total net sales 1,617 ------- Operating expenses: Cost of sales 1,617 U.S. employee special attrition program charges 372 Selling, general and administrative 83 Depreciation and amortization 53 Goodwill and long-lived asset impairment charges - ------- Total operating expenses 2,125 ------- Operating loss (508) Interest expense (32) Other expense, net - Reorganization items (4) Income tax benefit (expense) - Equity income from non-consolidated subsidiaries 2 Equity income from non-Debtor subsidiaries, net of tax 9 Cumulative effect of accounting charge, net of tax - ------- NET LOSS ($533) ======= Delphi Corporation, et al. Unaudited Consolidated Statement of Cash Flows Month Ended August 31, 2006 (In Millions) Cash flows from operating activities: Net loss ($533) Adjustments to reconcile net loss to net cash provided by operating activities: Depreciation and amortization 53 Pension and other postretirement benefit expenses 123 Equity income from unconsolidated subsidiaries, net (2) Equity income from non-Debtor subsidiaries, net of tax (9) Reorganization items 4 U.S. employee attrition program charges 372 Changes in operating assets and liabilities: Accounts receivable, net (28) Inventories, net 51 Prepaid expenses and other (11) Accounts payable, accrued and other long-term debts (30) Pension contributions (1) Other postretirement benefit payments (25) Receipts (payments) for reorganization items, net (3) Other (1) ------- Net cash used in operating activities (40) Cash flows from investing activities: Capital expenditures (14) Increase in restricted cash (31) Proceeds from sale of property 2 Other 10 ------- Net cash used in investing activities (33) Cash flows from financing activities: Repayments under cash overdraft (4) Repayments of borrowings under other debt (1) ------- Net cash used in financing activities (5) ------- Decrease in cash and cash equivalents (78) Cash and cash equivalents at beginning of period 933 ------- Cash and cash equivalents at end of period $855 ======= Based in Troy, Mich., Delphi Corporation -- http://www.delphi.com/ -- is the single largest global supplier of vehicle electronics, transportation components, integrated systems and modules, and other electronic technology. The Company's technology and products are present in more than 75 million vehicles on the road worldwide. The Company filed for chapter 11 protection on Oct. 8, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in their restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP, represents the Official Committee of Unsecured Creditors. As of Aug. 31, 2005, the Debtors' balance sheet showed $17,098,734,530 in total assets and $22,166,280,476 in total debts. (Delphi Bankruptcy News, Issue No. 43; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). ENTERGY NEW ORLEANS: Earns $1.5 Million in August 2006 ------------------------------------------------------ Entergy New Orleans, Inc. Balance Sheet As of August 31, 2006 (in thousands) ASSETS Current Assets: Cash and cash equivalents $12,985 Cash - Temporary cash investments - ----------- Total cash and cash equivalents 12,985 Accounts receivable: Customer 73,383 Allowance for doubtful accounts (18,558) Associated companies 14,622 Other 7,494 Accrued unbilled revenues 29,033 ----------- Total accounts receivable 105,974 Deferred fuel costs 30,593 Fuel inventory 3,530 Materials and supplies 6,718 Prepayments and other 3,939 ----------- Total current assets 163,739 Other Property and Investments Investment in affiliates 3,259 Non-utility property at cost 1,107 ----------- Total other property and investments 4,366 Utility Plant Electric 745,387 Natural gas 192,822 Construction work in progress 54,415 ----------- Total Utility Plant 992,624 Less - accumulated depreciation and amortization 435,065 ----------- Utility plant - net 557,559 Deferred Debits and Other Assets Regulatory assets: Other regulatory assets 171,678 Long term receivables 1,090 Other 22,402 ----------- Total deferred debits and other assets 195,170 ----------- TOTAL ASSETS $920,834 =========== LIABILITIES: Postpetition liabilities: Taxes payable $4,684 Accounts payable 42,112 DIP credit facility 42,749 ----------- Total postpetition liabilities 89,545 Current liabilities: Currently maturing long-term debt - Notes payable - Accounts payable: Associated companies 64,300 Other 82,003 Customer deposits 12,871 Taxes accrued 13,765 Accumulated deferred income taxes 3,819 Interest accrued 3,448 Energy efficiency program provision - Other 3,342 ----------- Total current liabilities 183,548 Non-current liabilities: Accumulated deferred income taxes & taxes accrued 110,760 Accumulated deferred investment tax credits 3,288 SFAS 109 regulatory liability - net 59,626 Other regulatory liabilities - Accumulated provisions 10,448 Pension liability 40,660 Long-term debt 229,869 Other 4,300 ----------- Total non-current liabilities 458,951 ----------- Total Liabilities 732,044 Commitments and Contingencies: SHAREHOLDERS' EQUITY Preferred stock without sinking fund 19,780 Common stock, $4 par value, authorized 10,000,000 shares; issued and outstanding 8,435,900 shares in 2005 and 2004 33,744 Paid-in capital 36,294 Retained earnings -- prepetition 99,593 Retained earnings -- postpetition (621) ----------- Total shareholders equity 188,790 ----------- TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $920,834 =========== Entergy New Orleans, Inc. Statement of Operations Month Ended August 31, 2006 (in thousands) Operating Revenues Domestic electric $54,293 Natural gas 5,669 ----------- Total operating revenues 59,962 Operating Expenses: Operation and maintenance Fuel 21,994 Purchased power 15,264 Other operation and maintenance 12,859 Taxes other than income taxes 3,423 Depreciation and amortization 2,924 Other regulatory charges - net 347 ----------- Total operating expenses 56,811 ----------- Operating income 3,151 Other income: Allowance for equity funds used during construction 63 Interest and dividend income 255 Miscellaneous - net (46) ----------- Total other income 272 Interest and other charges: Interest on long-term debt 61 Other interest-net 541 Allowance for borrowed funds used during construction (52) ----------- Total interest and other charges 550 Income (loss) before income taxes 2,873 Income taxes 1,279 ----------- NET INCOME $1,594 =========== Entergy New Orleans, Inc. Cash Receipts and Disbursement Statement Month Ended August 31, 2006 Beginning cash balance $31,664,092 Cash receipts 66,917,593 Cash disbursements (85,596,094) ----------- Net cash flow (18,678,501) ----------- ENDING CASH BALANCE $12,985,591 =========== Headquartered in Baton Rouge, Louisiana, Entergy New Orleans Inc., -- http://www.entergy-neworleans.com/-- is a wholly owned subsidiary of Entergy Corporation. Entergy New Orleans provides electric and natural gas service to approximately 190,000 electric and 147,000 gas customers within the city of New Orleans. Entergy New Orleans is the smallest of Entergy Corporation's five utility companies and represents about 7% of the consolidated revenues and 3% of its consolidated earnings in 2004. Neither Entergy Corporation nor any of Entergy's other utility and non-utility subsidiaries were included in Entergy New Orleans' bankruptcy filing. Entergy New Orleans filed for chapter 11 protection on Sept. 23, 2005 (Bankr. E.D. La. Case No. 05-17697). Elizabeth J. Futrell, Esq., and R. Partick Vance, Esq., at Jones, Walker, Waechter, Poitevent, Carrere & Denegre, L.L.P., represent the Debtor in its restructuring efforts. Carey L. Menasco, Esq., Philip Kirkpatrick Jones, Jr., Esq., and Joseph P. Hebert, Esq., at Liskow & Lewis, APLC, represent the Official Committee of Unsecured Creditors. When the Debtor filed for protection from its creditors, it listed total assets of $703,197,000 and total debts of $610,421,000. (Entergy New Orleans Bankruptcy News, Issue No. 24; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). FLYI INC: Posts $490,610 Net Loss in August 2006 ------------------------------------------------ FLYi Inc. Consolidated Balance Sheet As of August 31, 2006 ASSETS Current assets Cash $1,211,356 Short term investments - Net accounts receivable 379,627,803 IC Notes receivable 4,252,000 ----------- Total Current Assets 385,091,159 ----------- Other assets Restricted cash - Long term investments 7,435,000 Other assets 14,055,412 ----------- Total Other Assets 21,490,412 ----------- TOTAL ASSETS $406,581,571 =========== Liabilities not subject to compromise - Liabilities subject to compromise Secured debt - Priority debt - Unsecured debt $250,482,471 ----------- Total Liabilities 250,482,471 ----------- Owner Equity Common stock 1,088,716 Additional paid in capital 158,254,512 Treasury stock (35,717,477) Prepetition retained earnings 39,858,773 Postpetition retained earnings (7,385,424) ----------- Net Owners' Equity 156,099,100 ----------- TOTAL LIABILITIES AND OWNER'S EQUITY $406,581,571 =========== FLYi Inc. Statement of Operations August 2006 Revenues - Other (income) expenses Interest income ($4,593) Interest expense (3,592) Other miscellaneous - ----------- Net Profit (Loss) before reorganization items 8,185 Reorganization items Professional fees 498,795 U.S. Trustee Quarterly Fees - Income Taxes - ----------- Net Profit (Loss) ($490,610) =========== Headquartered in Dulles, Virginia, FLYi, Inc., aka Atlantic Coast Airlines Holdings, Inc. -- http://www.flyi.com/-- is the parent of Independence Air Inc., a small airline based at Washington Dulles International Airport. The Debtor and its six affiliates filed for chapter 11 protection on Nov. 7, 2005 (Bankr. D. Del. Case Nos. 05-20011 through 05-20017). Brendan Linehan Shannon, Esq., M. Blake Cleary, Esq., and Matthew Barry Lunn, Esq., at Young, Conaway, Stargatt & Taylor, represent the Debtors in their restructuring efforts. Brett H. Miller, Esq., at Otterbourg, Steindler, Houston & Rosen, P.C., represents the Official Committee of Unsecured Creditors. As of Sept. 30, 2005, the Debtors listed assets totaling $378,500,000 and debts totaling $455,400,000. (FLYi Bankruptcy News, Issue No. 26; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). FLYI INC: Independence Air Earns $6.8 Million in August 2006 ------------------------------------------------------------ Independence Air Inc. Consolidated Balance Sheet As of August 31, 2006 ASSETS Current assets Cash $46,851,003 Short term investments 95,850,000 Restricted cash 1,570,975 Net accounts receivable 98,342,810 Net expandable parts and fuel 62,636 Net prepaid expenses 5,672,822 Deferred tax asset (1) ----------- Total current assets 248,350,245 ----------- Other assets Restricted cash 14,327,725 Aircraft deposits 12,662,000 Other assets 420,099 ----------- Total other assets 27,409,824 ----------- TOTAL ASSETS $275,760,069 =========== LIABILITIES Liabilities not subject to compromise Accounts payable $4,112,791 Air traffic liability 833,822 Accrued liabilities 1,914,602 Amounts due to insiders 67,917 ----------- Total Postpetition Liabilities 6,929,132 ----------- Liabilities subject to compromise Secured debt 1,124,556 Priority debt 10,429,235 Unsecured debt 392,177,384 Other accruals 17,927,277 ----------- Total prepetition liabilities 421,658,453 ----------- Total Liabilities 428,587,585 ----------- Owner Equity Common stock - Treasury stock 7,435,000 Owner's equity account - Prepetition retained earnings (243,575,613) Postpetition retained earnings 83,313,098 ----------- Net Owners' Equity (152,827,515) ----------- TOTAL LIABILITIES AND OWNER'S EQUITY $275,760,069 =========== Independence Air Inc. Statement of Operations August 2006 Revenues Operating Revenue Passenger revenue - Other revenue $250 ----------- Total operating revenues 250 ----------- Operating expenses Insider compensation 23,333 Wages 89,433 Fringes and benefits 148,321 Aircraft fuel (3,764) Aircraft maintenance and materials 94,073 Facilities rents 39,271 Landing fees 17,596 Depreciation and amortization - Others (7,225,272) Retirement & restructuring charge 56,988 ----------- Total operating expense (6,760,022) ----------- Net operating income (loss) 6,760,272 ----------- Net Profit (Loss) before other income & expenses 6,760,272 ----------- Other (income) expenses Interest income (524,994) Interest expense 4,115 Other miscellaneous (77,639) ----------- Total other (income) expense (598,518) ----------- Net Profit (Loss) before reorganization items 7,358,790 ----------- Reorganization items Professional fees 498,795 Income Taxes - ----------- Net Profit (Loss) $6,859,995 =========== Headquartered in Dulles, Virginia, FLYi, Inc., aka Atlantic Coast Airlines Holdings, Inc. -- http://www.flyi.com/-- is the parent of Independence Air Inc., a small airline based at Washington Dulles International Airport. The Debtor and its six affiliates filed for chapter 11 protection on Nov. 7, 2005 (Bankr. D. Del. Case Nos. 05-20011 through 05-20017). Brendan Linehan Shannon, Esq., M. Blake Cleary, Esq., and Matthew Barry Lunn, Esq., at Young, Conaway, Stargatt & Taylor, represent the Debtors in their restructuring efforts. Brett H. Miller, Esq., at Otterbourg, Steindler, Houston & Rosen, P.C., represents the Official Committee of Unsecured Creditors. As of Sept. 30, 2005, the Debtors listed assets totaling $378,500,000 and debts totaling $455,400,000. (FLYi Bankruptcy News, Issue No. 26; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). NORTHWEST AIRLINES: Posts $943 Million Net Loss for August 2006 --------------------------------------------------------------- Northwest Airlines Corporation Unaudited Condensed Consolidated Balance Sheet As of August 31, 2006 ASSETS Current assets: Cash and cash equivalents $1,396,000,000 Unrestricted short-term investments 584,000,000 Restricted cash, cash equivalents & short-term investments 685,000,000 Accounts receivable, net 703,000,000 Flight equipment spare parts, net 119,000,000 Prepaid expenses & other 381,000,000 --------------- Total current assets 3,868,000,000 Property and equipment: Flight equipment, net 7,223,000,000 Other property & equipment, net 730,000,000 --------------- Total property & equipment 7,953,000,000 Flight Equipment under capital leases, net 22,000,000 Other assets: Intangible pension asset 363,000,000 International routes 634,000,000 Investments in affiliated companies 39,000,000 Other 910,000,000 --------------- Total other assets 1,946,000,000 --------------- Total Assets $13,789,000,000 =============== LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Air traffic liability $1,714,000,000 Accounts payable & other liabilities 1,385,000,000 Current maturities of long-term debt & capital lease obligations 140,000,000 --------------- Total current liabilities 3,239,000,000 Long-term debt 2,897,000,000 Deferred Credits & other liabilities: Long-term pension & postretirement Health care benefits 135,000,000 Other 116,000,000 --------------- Total deferred credits & other liabilities 251,000,000 Liabilities subject to compromise 14,980,000,000 Preferred redeemable stock subject to compromise 278,000,000 Common Stockholders' Equity (Deficit) Common stock 1,000,000 Additional paid-in capital 1,503,000,000 Accumulated deficit (6,779,000,000) Accumulated other comprehensive income (loss) (1,568,000,000) Treasury stock (1,013,000,000) --------------- Total common stockholders' equity (deficit) (7,856,000,000) --------------- Total Liabilities & Stockholders' Equity (Deficit) $13,789,000,000 =============== Northwest Airlines Corporation Unaudited Condensed Consolidated Statement of Operations For Month Ended August 31, 2006 Operating Revenues Passenger $904,000,000 Regional carrier revenues 127,000,000 Cargo 85,000,000 Other 95,000,000 --------------- Total Operating Revenues 1,211,000,000 Operating Expenses Aircraft fuel and taxes 345,000,000 Salaries, wages, and benefits 224,000,000 Selling and marketing 68,000,000 Aircraft maintenance materials and repair 66,000,000 Other rentals and landing fees 51,000,000 Depreciation and amortization 41,000,000 Aircraft rentals 17,000,000 Regional carrier expenses 120,000,000 Other 112,000,000 --------------- Total Operating Expenses 1,044,000,000 Operating Income (Loss) 167,000,000 Other Income (Expense) Interest expense, net (48,000,000) Investment income 10,000,000 Reorganization items, net (1,074,000,000) Other, net 2,000,000 --------------- Total other income (expense) (1,110,000,000) --------------- Income (Loss) Before Income Taxes (943,000,000) Income tax expense (benefit) - --------------- Net Income (Loss) ($943,000,000) =============== Northwest Airlines Corporation Unaudited Condensed Consolidated Statements of Cash Flows For Month Ended August 31, 2006 Cash Flows from Operating Activities: Net income (loss) ($943,000,000) Adjustments to reconcile net loss to net cash provided by (used in) operating activities: Depreciation and amortization 41,000,000 Pension and other postretirement benefit contributions less than expense 17,000,000 Changes in certain assets & liabilities (66,000,000) Long-term vendor deposits/holdbacks 22,000,000 Reorganization items 1,074,000,000 Other, net (11,000,000) --------------- Net cash provided by operating activities 134,000,000 Cash Flows from Reorganization Activities: Net cash provided by (used in) reorganization activities (2,000,000) Cash Flows from Investing Activities: Capital expenditures (8,000,000) Proceeds from sales of short term investment 10,000,000 Decrease (increase) in restricted cash, cash equivalents & short-term investments (70,000,000) Other, net - --------------- Net cash provided by (used in) investing activities (68,000,000) Cash Flows from Financing Activities: Proceeds from long-term debt 1,225,000,000 Payments of long-term debt and capital lease obligations (1,018,000,000) Other, net (22,000,000) --------------- Net cash provided by (used in) financing activities 185,000,000 --------------- Increase (Decrease) in Cash and Cash Equivalents 249,000,000 Cash & cash equivalents at beginning of period 1,147,000,000 --------------- Cash & cash equivalents at end of period $1,396,000,000 =============== Northwest Airlines Corp. (OTC: NWACQ) -- http://www.nwa.com/-- is the world's fourth largest airline with hubs at Detroit, Minneapolis/St. Paul, Memphis, Tokyo and Amsterdam, and approximately 1,400 daily departures. Northwest is a member of SkyTeam, an airline alliance that offers customers one of the world's most extensive global networks. Northwest and its travel partners serve more than 900 cities in excess of 160 countries on six continents. The Company and 12 affiliates filed for chapter 11 protection on Sept. 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17930). Bruce R. Zirinsky, Esq., and Gregory M. Petrick, Esq., at Cadwalader, Wickersham & Taft LLP in New York, and Mark C. Ellenberg, Esq., at Cadwalader, Wickersham & Taft LLP in Washington represent the Debtors in their restructuring efforts. The Official Committee of Unsecured Creditors has retained Akin Gump Strauss Hauer & Feld LLP as its bankruptcy counsel in the Debtors' chapter 11 cases. When the Debtors filed for protection from their creditors, they listed $14.4 billion in total assets and $17.9 billion in total debts. (Northwest Airlines Bankruptcy News, Issue Nos. 40; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). PERFORMANCE TRANSPORT: Files August 2006 Monthly Operating Report ----------------------------------------------------------------- Performance Transportation Services, Inc., and its debtor-affiliates filed with the U.S. Bankruptcy Court for the Western District of New York their Monthly Operating Statement for the period August 1 to 31, 2006. The Operating Statements do not include a Balance Sheet or Statement of Operations. The Debtors, however, disclosed a $2,932,900 operating net loss for the period. Performance Logistics Group, Inc. In re. Leaseway Motorcar Transport Company, et al. U.S. Operations Cash Flow For the Month Ended August 31, 2006 Book balance: Opening book balance, 08/01/06 $11,007,720 ----------- Receipts Customers 19,957,414 Miscellaneous receipts 189,929 ----------- Total receipts 20,147,343 ----------- Disbursements Payroll, payroll taxes & fringe benefits 11,386,185 Insurance & cargo losses 3,044,085 Fuel and fuel taxes 3,671,977 Parts, tires, other operating supplies & expenses 3,688,952 Licenses, permits & tolls 1,521,755 Tractor, trailer lease payments 154,135 Building, land, service vehicles and other rents 360,583 Interest & bank fee payments 1,560,709 Income, franchise & property taxes 1,989 Misc/DIP Line (Draw) / Repayments - Capital expenditures 439,400 Professional Fees 997,894 ----------- Total Disbursements 26,827,664 ----------- Closing Book Balance, End of Month $4,327,399 =========== A full-text copy of the Debtors' August 2006 Operating Statements is available for free at http://ResearchArchives.com/t/s?1307 Headquartered in Wayne, Michigan, Performance Transportation Services, Inc. -- http://www.pts-inc.biz/-- is the second largest transporter of new automobiles, sport-utility vehicles and light trucks in North America. The Company provides transit stability, cargo damage elimination and proactive customer relations that are second to none in the finished vehicle market segment. The company's chapter 11 case is administered jointly under Leaseway Motorcar Transport Company. Headquartered in Niagara Falls, New York, Leaseway Motorcar Transport Company Debtor and 13 affiliates filed for chapter 11 protection on Jan. 25, 2006 (Bankr. W.D.N.Y. Case No. 06-00107). James A. Stempel, Esq., James W. Kapp, III, Esq., and Jocelyn A. Hirsch, Esq., at Kirkland & Ellis, LLP, and Garry M. Graber, Esq., at Hodgson Russ LLP represent the Debtors in their restructuring efforts. David Neier, Esq., at Winston & Strawn LLP, represents the Official Committee of Unsecured Creditors. When the Debtors filed for protection from their creditors, they estimated assets between $10 million and $50 million and more than $100 million in debts. (Performance Bankruptcy News, Issue No. 14; Bankruptcy Creditors' Service, Inc. http://bankrupt.com/newsstand/or 215/945-7000) VESTA INSURANCE: Posts $16,423 Net Loss for August 2006 ------------------------------------------------------- Vesta Insurance Group, Inc. Income Statement Month ending August 31, 2006 Revenue from Total Sales $0 Less: Cost of Sales 0 ------------ Gross Profit 0 Less: Operating Expenses 61,382 ------------ Net Profit Operations (61,382) Non-Operating Income (Expenses) Interest Income 49,959 Legal Expense (5,000) ------------ Net Profit (Loss) ($16,423) ============ Vesta Insurance Group, Inc. Schedule of Cash Receipts and Disbursements Month ending August 31, 2006 Cash On Hand (Beginning) $5,823,080 Cash Receipts: Accounts Receivable 0 Cash Sales 0 Loan Proceeds 0 Sale of Property 0 Interest 49,959 ------------ Total Receipts 49,959 Cash Disbursements: Financing costs, fees, interest 0 Advertising 0 Automobiles/Vehicles (repair and maintenance) 0 Bank Fees 45 Commissions/Contract Labor 0 Insurance Expense 0 Interest Paid 0 Inventory Purchased 0 Legal Fees 5,000 Postage 0 Rent/Lease Payments on Real Estate 0 Repairs and Maintenance 0 Salaries/Wages (portion paid to J.G. Gaines, Inc.) 61,337 Secured Loan Payments 0 Supplies 0 Taxes 0 Unsecured Loan Payments 0 Utilities 0 Others 0 ------------ Total Disbursements 66,382 Surplus or Deficit (16,423) ------------ Cash on Hand (End) $5,806,657 ============ Headquartered in Birmingham, Alabama, Vesta Insurance Group, Inc. (Other OTC: VTAI.PK) -- http://www.vesta.com/-- is a holding company for a group of insurance companies that primarily offer property insurance in targeted states. Wyatt R. Haskell, Luther S. Pate, UV, and Costa Brava Partnership III, L.P., filed an involuntary chapter 7 petition against the Company on July 18, 2006 (Bankr. N.D. Ala. Case No. 06-02517). The case was converted to a voluntary chapter 11 case on Aug. 8, 2006 (Bankr. N.D. Ala. Case No. 06-02517). Eric W. Anderson, Esq., at Parker Hudson Rainer & Dobbs, LLP, represents the Debtor. R. Scott Williams, Esq., at Haskell Slaughter Young & Rediker, LLC, represents the petitioning creditors. In its schedules of assets and liabilities, Vesta listed $14,919,938 in total assets and $214,278,847 in total liabilities. J. Gordon Gaines, Inc., is a Vesta Insurance-owned unit that manages the company's numerous insurance subsidiaries and employs the headquarters workers. The Company filed for chapter 11 protection on Aug. 7, 2006 (Bankr. N.D. Ala. Case No. 06-02808). Eric W. Anderson, Esq., at Parker Hudson Rainer & Dobbs, LLP, represent the Debtor in its restructuring efforts. In its schedules of assets and liabilities, Gaines listed $19,818,094 in total assets and $16,046,237 in total liabilities. On Aug. 1, 2006, the District Court of Travis County, Texas entered the Order appointing the Texas Commissioner of Insurance as Liquidator of Vesta Insurance's Texas-domiciled subsidiaries: Vesta Fire Insurance Corporation; The Shelby Insurance Company; Shelby Casualty Insurance Corporation; Texas Select Lloyds Insurance Company; and Select Insurance Services, Inc. (Vesta Bankruptcy News, Issue No. 7; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). VESTA INSURANCE: Gordon Gaines Earns $116,204 in August 2006 ------------------------------------------------------------ J. Gordon Gaines, Inc. Income Statement Month ending August 31, 2006 Revenue from Total Sales $78,762 Less: Cost of Sales 0 ------------ Gross Profit 78,762 Less: Operating Expenses 10,000 ------------ Net Profit Operations 68,762 Non-Operating Income (Expenses) Interest Earned 3,994 Non-operational income 43,448 ------------ Net Profit (Loss) $116,204 ============ J. Gordon Gaines, Inc. Schedule of Cash Receipts and Disbursements Month ending August 31, 2006 Cash On Hand (Beginning) $968,498 Cash Receipts: Accounts Receivable 0 Management Fees 78,762 Loan Proceeds 0 Sale of Property 0 Interest Earned 3,994 Non-operational Income 43,448 Funding by Texas Receiver 1,077,201 Intercompany insurance operations 1,582,180 ------------ Total Receipts $2,785,585 Cash Disbursements: Financing costs, fees, interest 1,213 Advertising 0 Automobiles/Vehicles (repair and maintenance) 0 Bank Fees 0 Commissions/Contract Labor 0 Insurance Expense 126,489 Interest Paid 0 Inventory Purchased 0 Legal Fees 5,000 Postage 5,000 Rent/Lease Payments on Real Estate 132,163 Repairs and Maintenance 0 Salaries/Wages (portion paid to J.G. Gaines, Inc.) 632,519 Secured Loan Payments 0 Supplies 21,233 Taxes 0 Unsecured Loan Payments 0 Utilities 34 Others 1,582,180 ------------ Total Disbursements 2,505,831 Surplus or Deficit 279,754 ------------ Cash on Hand (End) $1,248,252 ============ Headquartered in Birmingham, Alabama, Vesta Insurance Group, Inc. (Other OTC: VTAI.PK) -- http://www.vesta.com/-- is a holding company for a group of insurance companies that primarily offer property insurance in targeted states. Wyatt R. Haskell, Luther S. Pate, UV, and Costa Brava Partnership III, L.P., filed an involuntary chapter 7 petition against the Company on July 18, 2006 (Bankr. N.D. Ala. Case No. 06-02517). The case was converted to a voluntary chapter 11 case on Aug. 8, 2006 (Bankr. N.D. Ala. Case No. 06-02517). Eric W. Anderson, Esq., at Parker Hudson Rainer & Dobbs, LLP, represents the Debtor. R. Scott Williams, Esq., at Haskell Slaughter Young & Rediker, LLC, represents the petitioning creditors. In its schedules of assets and liabilities, Vesta listed $14,919,938 in total assets and $214,278,847 in total liabilities. J. Gordon Gaines, Inc., is a Vesta Insurance-owned unit that manages the company's numerous insurance subsidiaries and employs the headquarters workers. The Company filed for chapter 11 protection on Aug. 7, 2006 (Bankr. N.D. Ala. Case No. 06-02808). Eric W. Anderson, Esq., at Parker Hudson Rainer & Dobbs, LLP, represent the Debtor in its restructuring efforts. In its schedules of assets and liabilities, Gaines listed $19,818,094 in total assets and $16,046,237 in total liabilities. On Aug. 1, 2006, the District Court of Travis County, Texas entered the Order appointing the Texas Commissioner of Insurance as Liquidator of Vesta Insurance's Texas-domiciled subsidiaries: Vesta Fire Insurance Corporation; The Shelby Insurance Company; Shelby Casualty Insurance Corporation; Texas Select Lloyds Insurance Company; and Select Insurance Services, Inc. (Vesta Bankruptcy News, Issue No. 7; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). ********* 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. A list of Meetings, Conferences and Seminars appears in each Wednesday's edition of the TCR. Submissions about insolvency- related conferences are encouraged. Send announcements to conferences@bankrupt.com/ On Thursdays, the TCR delivers a list of recently filed chapter 11 cases involving less than $1,000,000 in assets and liabilities delivered to nation's bankruptcy courts. The list includes links to freely downloadable images of these small-dollar petitions in Acrobat PDF format. Each Friday's edition of the TCR includes a review about a book of interest to troubled company professionals. All titles are available at your local bookstore or through Amazon.com. Go to http://www.bankrupt.com/books/to order any title today. Monthly Operating Reports are summarized in every Saturday edition of the TCR. For copies of court documents filed in the District of Delaware, please contact Vito at Parcels, Inc., at 302-658-9911. For bankruptcy documents filed in cases pending outside the District of Delaware, contact Ken Troubh at Nationwide Research & Consulting at 207/791-2852. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter is a daily newsletter co-published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland, USA. Marie Therese V. Profetana, Shimero Jainga, Joel Anthony G. Lopez, Melvin C. Tabao, Robert Max Quiblat, Rizande B. Delos Santos, Cherry A. Soriano-Baaclo, Christian Q. Salta, Jason A. Nieva, Lucilo M. Pinili, Jr., Tara Marie A. Martin and Peter A. Chapman, Editors. Copyright 2006. All rights reserved. ISSN: 1520-9474. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR subscription rate is $725 for 6 months delivered via e- mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are $25 each. For subscription information, contact Christopher Beard at 240/629-3300. *** End of Transmission ***