/raid1/www/Hosts/bankrupt/TCR_Public/070526.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, May 26, 2007, Vol. 11, No. 124
Headlines
ACCEPTANCE INSURANCE: Files April 2007 Operating Report
ALLIED HOLDINGS : March 31 Balance Sheet Upside-Down by $215MM
CALPINE CORP: Posts $216 Million Net Loss in March 2007
FEDERAL-MOGUL: April 30 Balance Sheet Upside-Down by $1.6 Billion
GRANITE BROADCASTING: Posts $2.5 Million Net Loss in April 2007
MORTGAGE LENDERS: Reports $13.4 Million Net Loss in March 2007
VESTA INSURANCE: Florida Select Files April 2007 Operating Report
VESTA INSURANCE: Gaines Posts $188,192 Net Loss in April 2007
*********
ACCEPTANCE INSURANCE: Files April 2007 Operating Report
-------------------------------------------------------
Acceptance Insurance Companies Inc. filed its monthly operating
report for April 2007 with the United States Bankruptcy Court
for the District of Nebraska on May 17, 2007.
The Debtor reported a net income of $20,306 and revenue of $7,290
for the month ended April 30, 2007.
At April 30, 2007, Acceptance Insurance Companies Inc.'s balance
sheet showed:
Total Current Assets $1,678,568
Total Assets $35,042,542
Total Liabilities $138,189,723
Total Shareholders' Deficit ($103,147,181)
A full-text copy of Acceptance Insurance Companies Inc.'s April
2007 Monthly Operating Report is available at no charge at:
http://ResearchArchives.com/t/s?2032
Headquartered in Council Bluffs, Iowa, Acceptance Insurance
Companies Inc. -- http://www.aicins.com/-- owns, either directly
or indirectly, several companies, one of which is an insurance
company that accounts for substantially all of the business
operations and assets of the corporate groups.
The company filed for chapter 11 protection on Jan. 7, 2005
(Bankr. D. Nebr. Case No. 05-80059). The Debtor's affiliates --
Acceptance Insurance Services Inc. and American Agrisurance Inc.
-- filed separate chapter 7 petitions (Bankr. D. Nebr. Case Nos.
05-80056 and 05-80058) on Jan. 7, 2005. John J. Jolley, Esq., at
Kutak Rock LLP, represents the Debtor in its restructuring
efforts. When the Debtor filed for protection from its creditors,
it listed $33,069,446 in total assets and $137,120,541 in total
debts. The Debtors' exclusive period to file a plan expires on
Aug. 9, 2007.
ALLIED HOLDINGS : March 31 Balance Sheet Upside-Down by $215MM
--------------------------------------------------------------
Allied Holdings, Inc.
Unaudited Consolidated Balance Sheet
As of March 31, 2007
(In Thousands)
Assets
Current Assets:
Cash and cash equivalents $26,278
Receivables, net of allowances 46,978
Related party receivables 19,807
Inventories 4,767
Deferred income taxes 1,907
Prepayments and other current assets 20,484
---------
Total current assets 120,221
Property and equipment, net 128,933
Goodwill, net 3,545
Other noncurrent assets 32,883
Investment in related parties 19,990
---------
TOTAL ASSETS $305,572
=========
Liabilities and Stockholders' Deficit
Current liabilities not subject to compromise:
Borrowings under Canadian revolving
credit facility $372
DIP facility 205,000
Accounts and notes payable 29,304
Accrued liabilities 54,004
---------
Total current liabilities 288,680
Long-term liabilities not subject to compromise
Postretirement benefits 14,221
Deferred income taxes 1,926
Other long-term liabilities 17,286
---------
Total long-term liabilities 33,433
Liabilities subject to compromise 198,965
Stockholders' deficit (215,506)
---------
Total liabilities & stockholders' deficit $305,572
=========
Allied Holdings, Inc.
Unaudited Consolidated Statement of Operations
For the Month Ended March 31, 2007
(In Thousands)
Revenues $75,669
Operating Expenses
Salaries, Wages & Fringe benefits 37,028
Operating supplies & expenses 15,921
Purchased transportation 8,716
Insurance & claims 3,570
Operating tax & licenses 2,335
Depreciation & amortization 2,771
Rents 695
Communications & utilities 724
Other operating expenses 1,001
Loss on disposal of operating assets, net --
---------
Total Operating Expenses 72,761
---------
Operating Income (Loss) 2,908
Other Income (Expense)
Interest expense (3,636)
Investment income 4
Foreign exchange gains, net 227
Equity in earnings of subsidiaries 428
---------
(2,977)
---------
Loss before reorganization items and income taxes (69)
Reorganization items (1,897)
---------
Loss before income taxes (1,966)
Income tax benefit -
---------
NET LOSS ($1,966)
=========
The Debtors disclose cash disbursements totaling $6,491,125
during March 2007.
About Allied Holdings
Based in Decatur, Georgia, Allied Holdings Inc. (AMEX: AHI, other
OTC: AHIZQ.PK) -- 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. 50; Bankruptcy Creditors' Service, Inc.
http://bankrupt.com/newsstand/or 215/945-7000)
Plan Update
The Court confirmed the Debtors' Joint Plan of Reorganization with
the Yucaipa Entities and Teamsters National Automobile
Transportation Industry Negotiating Committee on May 12, 2007.
The Plan Proponents expect their Joint Plan to become effective on
June 1, 2007.
CALPINE CORP: Posts $216 Million Net Loss in March 2007
-------------------------------------------------------
Calpine Corporation
Consolidated Condensed Balance Sheet
As of March 31, 2007
ASSETS
Current assets:
Cash and cash equivalents $1,505,000,000
Accounts receivable, net 742,000,000
Inventories 103,000,000
Margin deposits & other prepaid expense 502,000,000
Restricted cash, current 301,000,000
Current derivative assets 220,000,000
Other current assets 80,000,000
--------------
Total current assets 3,453,000,000
Property, plant and equipment, net 13,419,000,000
Restricted cash, net of current portion 192,000,000
Investments 167,000,000
Long-term derivative assets 340,000,000
Other assets 1,023,000,000
--------------
Total assets $18,594,000,000
==============
LIABILITIES AND STOCKHOLDERS' DEFICIT
Current liabilities:
Accounts payable $566,000,000
Accrued interest payable 219,000,000
Debt, current 5,000,000,000
Current derivative liabilities 354,000,000
Income taxes payable 36,000,000
Other current liabilities 333,000,000
--------------
Total current liabilities 6,508,000,000
Debt, net of current portion 3,123,000,000
Deferred income taxes, net 601,000,000
Long-term derivative liabilities 479,000,000
Long-term liabilities 301,000,000
--------------
Total liabilities not subject to compromise 11,012,000,000
Liabilities subject to compromise 14,930,000,000
Minority interests 269,000,000
Stockholders' equity (deficit):
Common stock 1,000,000
Additional paid-in capital 3,268,000,000
Additional paid-in capital, loaned shares 117,000,000
Additional paid-in capital, returnable shares (117,000,000)
Accumulated deficit (10,837,000,000)
Accumulated other comprehensive loss (49,000,000)
--------------
Total stockholders' deficit (7,617,000,000)
--------------
Total liabilities and stockholders' deficit $18,594,000,000
==============
Calpine Corporation
Consolidated Condensed Statement of Operations
For the period ending March 31, 2007
Revenue:
Electricity and steam revenue $404,000,000
Sales of purchased power and gas
for hedging and optimization 150,000,000
Mark-to-market activities, net (37,000,000)
Other revenue 18,000,000
--------------
Total revenue 535,000,000
Cost of revenue:
Plant operating expense 70,000,000
Purchased power and gas expense
for hedging and optimization 140,000,000
Fuel expense 281,000,000
Depreciation and amortization expense 40,000,000
Operating plant impairments 0
Operating lease expense 5,000,000
Other cost of revenue 15,000,000
--------------
Total cost of revenue 551,000,000
Gross profit (loss) (16,000,000)
Equipment, development project & other impairments 2,000,000
Sales, general and administrative expense 12,000,000
Other operating expenses 0
--------------
Income (loss) from operations (30,000,000)
Interest expense 101,000,000
Interest (income) (7,000,000)
Minority interest expense 0
Other (income) expense, net (4,000,000)
--------------
Income before reorganization items
and provision for income taxes (120,000,000)
Reorganization items 111,000,000
--------------
Income before provision for income taxes (231,000,000)
Provision (benefit) for income taxes (15,000,000)
--------------
Net income (loss) ($216,000,000)
==============
About Calpine Corporation
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 previously produced a portion of its fuel consumption
requirements from its own natural gas reserves. However, in July
2005, the company sold substantially all of its remaining domestic
oil and gas assets to Rosetta Resources Inc.
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. The Debtors' exclusive period to file chapter 11
plan of reorganization expires on June 20, 2007. (Calpine
Bankruptcy News, Issue No. 49; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000).
Calpine Corp. has until June 20, 2007, to file a plan, and until
Aug. 20, 2007, to solicit acceptances of that plan.
FEDERAL-MOGUL: April 30 Balance Sheet Upside-Down by $1.6 Billion
-----------------------------------------------------------------
Federal-Mogul Global, Inc., et al.
Unaudited Balance Sheet
As of April 30, 2007
(In millions)
Assets
Cash and equivalents $69.8
Accounts receivable 648.3
Inventories 413.6
Deferred taxes 192.3
Prepaid expenses and other current assets 86.5
--------
Total current assets 1,410.5
Summary of Unpaid Postpetition Debits (33.2)
Intercompany Loans Receivable (Payable) 1,662.6
--------
Intercompany Balances 1,629.4
Property, plant and equipment 787.8
Goodwill 930.4
Other intangible assets 343.2
Insurance recoverable 870.8
Other non-current assets 522.1
--------
Total Assets $6,494.2
========
Liabilities and Shareholders' Equity
Short-term debt $418.0
Accounts payable 228.9
Accrued compensation 58.8
Restructuring and rationalization reserves 18.5
Current portion of asbestos liability -
Interest payable 4.4
Other accrued liabilities 252.8
--------
Total current liabilities 981.6
Long-term debt -
Post-employment benefits 736.7
Other accrued liabilities 547.4
Liabilities subject to compromise 5,822.0
Shareholders' equity:
Preferred stock 1,050.6
Common stock 658.1
Additional paid-in capital 7,988.2
Accumulated deficit (11,434.3)
Accumulated other comprehensive income 143.9
Other -
--------
Total Shareholders' Equity (1,593.4)
--------
Total Liabilities and Shareholders' Equity $6,494.2
========
Federal-Mogul Global, Inc., et al.
Unaudited Statement of Operations
For the Month Ended April 30, 2007
(In millions)
Net sales $269.2
Cost of products sold 217.8
--------
Gross margin 51.5
Selling, general & administrative expenses (42.4)
Amortization (1.2)
Reorganization items (11.0)
Interest expense, net (16.4)
Other expense, net 18.0
--------
Earnings before Income Taxes (1.6)
Income Tax (Expense) Benefit (0.4)
--------
Earnings before cumulative effect of change
in accounting principle (2.0)
--------
Net Earnings (loss) ($2.0)
========
Federal-Mogul Global, Inc., et al.
Unaudited Statement of Cash Flows
For the month ended April 30, 2007
(In millions)
Cash Provided From (Used By) Operating Activities:
Net earning (loss) ($2.0)
Adjustments to reconcile net earnings (loss) to net cash:
Depreciation and amortization 13.1
Adjustment of assets held for sale and
other long-lived assets to fair value 0.8
Asbestos charge -
Summary of unpaid postpetition debits -
Cumulative effect of change in acctg. principle -
Change in post-employment benefits (17.3)
Decrease (increase) in accounts receivable (10.1)
Decrease (increase) in inventories 7.0
Increase (decrease) in accounts payable (4.9)
Change in other assets & other liabilities (23.1)
Change in restructuring charge -
Refunds (payments) against asbestos liability -
--------
Net Cash Provided From Operating Activities (36.4)
Cash Provided From (Used By) Investing Activities:
Expenditures for property, plant & equipment (0.3)
Proceeds from sale of property, plant & equipment -
Proceeds from sale of businesses -
Business acquisitions, net of cash acquired -
Other -
--------
Net Cash Provided From (Used By) Investing Activities (0.3)
Cash Provided From (Used By) Financing Activities:
Increase (decrease) in debt 46.0
Sale of accounts receivable under securitization -
Dividends -
Other 0.7
--------
Net Cash Provided From Financing Activities 46.7
Increase (Decrease) in Cash and Equivalents 10.0
Cash and equivalents at beginning of period 59.8
--------
Cash and equivalents at end of period $69.8
========
About Federal-Mogul Corporation
Headquartered in Southfield, Michigan, Federal-Mogul Corporation
-- http://www.federal-mogul.com/-- is an automotive parts company
with worldwide revenue of some $6 billion. Federal-Mogul also has
operations in Mexico and the Asia Pacific Region, which includes,
Malaysia, Australia, China, India, Japan, Korea, and Thailand.
The Company filed for chapter 11 protection on Oct. 1, 2001
(Bankr. Del. Case No. 01-10582). Lawrence J. Nyhan Esq., James F.
Conlan Esq., and Kevin T. Lantry Esq., at Sidley Austin Brown &
Wood, and Laura Davis Jones Esq., at Pachulski, Stang, Ziehl,
Young, Jones & Weintraub, P.C., represent the Debtors in their
restructuring efforts. When the Debtors filed for protection from
their creditors, they listed $10.15 billion in assets and
$8.86 billion in liabilities. Federal-Mogul Corp.'s U.K.
affiliate, Turner & Newall, is based at Dudley Hill, Bradford.
Peter D. Wolfson, Esq., at Sonnenschein Nath & Rosenthal; and
Charlene D. Davis, Esq., Ashley B. Stitzer, Esq., and Eric M.
Sutty, Esq., at The Bayard Firm represent the Official Committee
of Unsecured Creditors.
On March 7, 2003, the Debtors filed their Joint Chapter 11 Plan.
They submitted a Disclosure Statement explaining that plan on
April 21, 2003. They submitted several amendments and on June 6,
2004, the Bankruptcy Court approved the Third Amended Disclosure
Statement for their Third Amended Plan. On July 28, 2004, the
District Court approved the Disclosure Statement. The estimation
hearing began on June 14, 2005. They then submitted a Fourth
Amended Plan and Disclosure Statement on Nov. 21, 2006, and the
Bankruptcy Court approved that Disclosure Statement on Feb. 6,
2007. The confirmation hearing is set for June 8, 2007.
(Federal-Mogul Bankruptcy News, Issue No. 137; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or
215/945-7000).
GRANITE BROADCASTING: Posts $2.5 Million Net Loss in April 2007
---------------------------------------------------------------
Granite Broadcasting Corporation
Unaudited Condensed Consolidated Balance Sheet
As of April 30, 2007
ASSETS
Current assets:
Cash and cash equivalents $31,534,498
Restricted cash equivalents 1,034,678
Accounts receivable, net 19,640,593
less allowance for doubtful accounts
of $465,465
Current portion of film contract rights 6,238,051
Other current assets 9,016,187
------------
Total current assets 67,464,007
Property and equipment, net 54,442,611
Film contract rights, net 8,041,398
of current portion
Other non current assets 472,067
Deferred financing fees, less
accumulated amortization
of $11,349,566 8,833,731
Intangible assets, net 298,834,782
------------
Total Assets $438,088,596
============
LIABILITIES AND STOCKHOLDERS' DEFICIT
Current Liabilities:
Accounts Payable $1,021,557
Other accrued liabilities 13,169,774
Current portion of film contract
rights payable 6,626,945
Current portion of long-term debt 2,827,555
Other current liabilities 3,334,996
------------
Total current liabilities not
subject to compromise 26,980,827
Long-term debt, net of current portion 22,288,893
Film contract rights payable, net of 13,779,392
current portion
Deferred tax liability 50,063,012
Other non current liabilities 3,860,697
------------
Total liabilities not subject 116,972,821
to compromise
Liabilities subject to compromise 519,699,617
Redeemable preferred stock 199,546,412
Accrued dividends on redeemable
preferred stock 120,003,907
Stockholders' deficit:
Common stock 199,572
Additional paid-in capital 503,697
Accumulated deficit (517,961,755)
Treasury stock, at cost (875,675)
------------
Total stockholders' deficit (518,134,161)
------------
Total liabilities and stockholders' deficit $438,088,596
============
Granite Broadcasting Corporation
Unaudited Condensed Consolidated Statement of Operations
For the Period from April 1 to 30, 2007
Net revenues $9,422,378
Station operating expenses 7,322,145
Corporate expense 805,091
Non-cash compensation expense 5,593
Depreciation 573,215
Amortization of intangible assets 284,426
------------
Operating income 431,908
Other expenses (income):
Interest expense 1,101,388
Interest income (4,202)
Non-cash interest expense 214,349
Other 71,875
------------
Loss before reorganization items (951,502)
Reorganization items 1,501,611
------------
Net loss ($2,453,113)
============
Granite Broadcasting Corporation
Unaudited Condensed Consolidated Statement of Cash Flows
For the Period from April 1 to 30, 2007
Cash flows from operating activities:
Net loss ($2,453,113)
Adjustments to reconcile net loss to net
cash provided by (used in) operating
activities:
Amortization of intangible assets 284,426
Depreciation 573,215
Non-cash compensation expense 5,593
Non-cash interest expense 214,349
Film amortization 944,074
Change in assets and liabilities:
Decrease in accounts receivable 182,424
Increase in accrued liabilities 1,310,672
Increase in accounts payable 225,806
Decrease in film contract rights and
other assets 252,643
Decrease in film contract rights payable
and other liabilities (509,518)
------------
Net cash provided by operating
activities 1,030,571
------------
Cash flows from investing activities:
Capital expenditures (472,395)
------------
Net cash used in investing
activities (472,395)
------------
Cash flows from financing activities
Payment of Malara Broadcast Group
senior credit facility (1,113,659)
------------
Net cash used in financing activities (1,113,659)
Net decrease in cash and cash equivalents (555,483)
Cash and cash equivalents, beginning of period 33,124,659
------------
Cash and cash equivalents, end of period $32,569,176
============
Headquartered in New York, Granite Broadcasting Corp.
-- http://www.granitetv.com/-- owns and operates, or provides
programming, sales and other services to 23 channels in 11
markets: San Francisco, California; Detroit, Michigan; Buffalo,
New York; Fresno, California; Syracuse, New York; Fort Wayne,
Indiana; Peoria, Illinois; Duluth, Minnesota-Superior, Wisconsin;
Binghamton, New York; Utica, New York and Elmira, New York. The
company's channel group includes affiliates of NBC, CBS, ABC, CW
and My Network TV, and reaches approximately 6% of all U.S.
television households.
The company and five of its debtor-affiliates filed for chapter 11
protection on Dec. 11, 2006 (Bankr. S.D.N.Y. Case No. 06-12984).
Ira S. Dizengoff, Esq., at Akin, Gump, Strauss, Hauer & Feld, LLP,
represents the Debtors in their restructuring efforts. When the
Debtors filed for protection from their creditors, it estimated
assets of $443,563,020 and debts of $641,100,000. (Granite
Broadcasting Corp. Bankruptcy News, Issue No. 20; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/
or 215/945-7000).
Plan Update
The Debtors filed their Prepackaged Plan and Disclosure Statement
on Dec. 11, 2006. On Feb. 12, 2007, they filed an Amended
Disclosure Statement and the Court approved the adequacy of that
Disclosure Statement on Feb. 14, 2007. On March 2, 2007, the
Debtors filed an Amended Plan of Reorganization. The hearing to
consider confirmation of the Debtors' plan started on April 16,
2007.
MORTGAGE LENDERS: Reports $13.4 Million Net Loss in March 2007
--------------------------------------------------------------
Mortgage Lenders Network USA, Inc.
Balance Sheet
As of March 31, 2007
Assets:
Cash and Cash Equivalents $16,724,261
Mortgage loans held for sale 64,402,796
Portfolio loans 10,288,602
Allowance for loan losses (24,416,021)
Capitalized Mortgage Servicing rights, net 0
Retained interests in securitization,
at fair value 0
Furniture, fixtures, equipment,
an software, net 20,560,533
Deferred Costs 0
Principal & Interest Advances 1,783,732
Interest in subsidiaries 13,025,892
Other Assets 17,195,920
------------
Total Assets $119,565,717
============
Liabilities:
Accounts Payable prepetition $14,450,548
Accounts Payable postpetition 485,121
Accrued Expenses - Payroll 995,249
Accrued Expenses - Other 18,428,133
Warehouse Borrowings 83,653,265
Convertible Debt 1,500,000
Servicing & Working Capital Advances 54,408,435
Capital Lease Liability 6,258
Other liabilities 32,478,858
------------
Total Liabilities 206,405,865
Stockholders' Equity:
Common Stock 625,000
Additional Paid-In Capital 1,829,770
Retained Earnings (89,294,918)
------------
Total Stockholders' Equity (86,840,148)
------------
Total Debts & Stockholders' Equity $119,565,717
============
Mortgage Lenders Network USA, Inc.
Schedule of Cash Receipts and Disbursements
Month Ended March 31, 2007
Cash - Beginning of Month $1,556,332
Receipts:
Net Servicing Inflows 2,352,032
Warehouse and Loan Sale Inflows 94,297
Sale of Fixed Assets 0
Sale of Other Assets 0
Other Inflows 112,666
Transfers from Cash Collateral 0
------------
Total Receipts 2,558,996
Disbursements:
Net Payroll 895,077
Payroll Taxes 53,300
Medical Coverage Sub/ FSA Witholding 27,005
Operating Expenses 479,652
Rent 134,260
Utilities 0
Insurance 0
Administrative & Selling 0
Other 0
Professional Fees Escrow Account 0
Professional Fees Paid 255,726
U.S. Trustee Fees 0
DIP Fees 0
Transfers to Cash Collateral 0
------------
Total Disbursements 1,845,020
Net Cash Flow 713,976
------------
Cash - End of Month $2,270,308
============
Mortgage Lenders Network USA, Inc.
Income Statement
Month Ended March 31, 2007
Revenue
Gain on Sale - Subprime ($11,814,031)
Gain on Sale - SRP/MBS (215,056)
Mortgage origination income 200
Net Warehouse interest income 352,121
Servicing income, net 625,774
Other Income 201,600
------------
Total Revenues ($10,849,391)
------------
Expenses
Salaries $681,387
Overtime/Temp Help 15,340
Bonus/Incentives (39,200)
Benefits 75,582
Rent Expense 124,432
Telephone 24,778
Repairs & Maintenances 5,389
Office & Supplies Expense 134,026
Postage/Express Mail 40,016
Service Bureau 220,160
Consulting Fees 59,326
Insurance 43,244
Loan Loss/Foreclosure Exp. (959)
Appraisal/Credit Expenses 2,625
Travel & Entertainment 161,689
Meetings/Seminars/Education (2,500)
Membership Fes/Dues/Filings 13,607
Advertising - Other 25,781
Interest Expense - Other 4,246
Legal/Regulatory Expese (41,527)
Miscellaneous Expenses 72,981
------------
Total Expenses Before Depreciation 1,620,424
Depreciation Expense 288,990
------------
Net Profit Before Reorganization Items (12,758,806)
Reorganization Items
Professional Fees 626,629
------------
Total Reorganization Items 626,629
Income Taxes 0
------------
Net Income (Loss) ($13,385,435)
============
During March, the Debtor paid $626,629 in professional fees to
Scouler Andrews. Since the Petition Date, the Debtor has paid
$979,135 to Scouler Andrews, $100,000 to Pachulski, Stang, Ziel,
Young, and $25,000 to The Trumbull Group.
About Mortgage Lenders Network
Middletown, Conn.-based Mortgage Lenders Network USA Inc. --
http://www.mlnusa.com/-- is a privately held company offering
a full range of Alt-A/Non-Conforming and Conforming loan products
through its retail and wholesale channels. The company filed for
chapter 11 protection on Feb. 5, 2007 (Bankr. D. Del. Case No.
07-10146). Pachulski Stang Ziehl Young Jones & Weintraub LLP
represents the Debtor. Blank Rome LLP represents the Official
Committee of Unsecured Creditors. In the Debtor's schedules of
assets and liabilities filed with the Court, it disclosed total
assets of $464,847,213 and total debts of $556,459,464.
The Debtor's exclusive period to file a chapter 11 plan expires on
June 5, 2007. (Mortgage Lenders Bankruptcy News, Issue No. 11;
Bankruptcy Creditors' Service Inc. http://bankrupt.com/newsstand/
or 215/945-7000).
VESTA INSURANCE: Florida Select Files April 2007 Operating Report
-----------------------------------------------------------------
Florida Select Insurance Agency, Inc.
Income Statement
Month Ending April 30, 2007
Revenue from total sales $0
Cost of sales 0
-------------
Gross Profit 0
Operating expenses 0
-------------
Net profit -- operations 0
Non-operating income/expenses
Interest earned 4,179
-------------
Net profit (loss) $4,179
=============
Florida Select Insurance Agency, Inc.
Cash Receipts & Disbursements
Month Ending April 30, 2007
Cash on hand (Beginning) $3,292,440
Receipts:
Account receivables 0
Management fees 0
Loan proceeds 0
Sale of property 0
Interest earned 4,179
-------------
Total receipts 4,179
Business disbursements 0
-------------
Surplus or deficit 4,179
-------------
Cash on Hand $3,296,619
=============
About Florida Select
Based in Birmingham, Alabama, Florida Select Insurance Agency,
Inc. -- http://www.floridaselect.com/-- provides residential
insurance for Florida and South Carolina property owners. Florida
Select is an affiliate of Vesta Insurance Group, Inc. The company
filed for chapter 11 protection on April 24, 2007 (BAnkr. N.D.
Ala. Case No. 07-01849). Rufus Dorsey, IV, Esq., at Parker Hudson
Rainer & Dobbs LLP, represents Florida Select.
About Vesta Insurance
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 an 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.
On Oct. 11, 2006, both Vesta and Gaines filed separate Plans of
Liquidation and Disclosure Statements. They filed an amended Plan
on Nov. 7, 2006, and a Second Amended Plan on Nov. 10, 2006. The
Court approved the Disclosure Statements of Vesta and Gaines on
Nov. 10, 2006. On Dec. 22, 2006, the Court confirmed the Third
Amended Plans of Vesta and Gaines.
(Vesta Bankruptcy News, Issue No. 21; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).
VESTA INSURANCE: Gaines Posts $188,192 Net Loss in April 2007
-------------------------------------------------------------
J. Gordon Gaines, Inc.
Income Statement
Month Ended April 30, 2007
Revenue from Total Sales $0
Less:
Cost of Sales
------------
Gross Profit 0
Less:
Operating Expenses 214,793
------------
Net Loss Operations (214,793)
Non-Operating Income (Expenses)
Interest Earned 3,485
Non-operational income 23,116
Sale of Property -
------------
Net Loss ($188,192)
============
J. Gordon Gaines, Inc.
Schedule of Cash Receipts and Disbursements
Month Ended April 30, 2007
Cash On Hand (Beginning) $1,108,066
Cash Receipts:
Accounts Receivable 0
Management Fees 0
Loan Proceeds 0
Sale of Property 0
Interest Earned 3,485
Miscellaneous Income 0
Non-operational Income 23,116
Funding Under Post-confirmation Agreement 105,004
------------
Total Receipts 131,605
Cash Disbursements:
Business Disbursements Form BA-02(B) 319,797
---------
Surplus Or Deficit (188,192)
---------
Cash on Hand (End) $919,874
===========
About Vesta Insurance
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 an 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.
On Oct. 11, 2006, both Vesta and Gaines filed separate Plans of
Liquidation and Disclosure Statements. They filed an amended Plan
on Nov. 7, 2006, and a Second Amended Plan on Nov. 10, 2006. The
Court approved the Disclosure Statements of Vesta and Gaines on
Nov. 10, 2006. On Dec. 22, 2006, the Court confirmed the Third
Amended Plans of Vesta and Gaines.
(Vesta Bankruptcy News, Issue No. 21; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).
*********
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*********
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
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Copyright 2007. All rights reserved. ISSN: 1520-9474.
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