/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/141018.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 18, 2014, Vol. 18, No. 290 Headlines AGFEED USA: Cash Balance Slides to $7.53 Million at Aug. 31 ALLONHILL LLC: Suffers $209,201 Net Loss in August ATLS ACQUISITION: Cash Balance Down to $13.20MM at August 31 COLDWATER CREEK: Incurs $17.48 Million Net Loss at August 31 GLOBAL AVIATION: Lists $1.92 Million Net Revenue in August GLOBAL AVIATION: Ends September with Zero Cash NATROL INC: Net Loss Down Further to $403,302 in August OPTIM ENERGY: Net Income Increases to $3.66 Million at August 31 PITT PENN: Cash Balance Increases to $41,076 at August 31 SCOOTER STORE: Net Loss Decreases to $83,941 in August SEARS METHODIST: Cash Balance Dips to -$996,916 at August 31 SIMPLEXITY LLC: Net Loss Decreases to $68,491 in June ********* AGFEED USA: Cash Balance Slides to $7.53 Million at Aug. 31 ----------------------------------------------------------- AgFeed USA, LLC, et al., on Sept. 30, 2014, filed their monthly operating report for the month of August 2014. The Debtors' statement of operations showed a net loss of $688,897 in August on zero revenue, an increase from the $595,524 net loss incurred for the previous month. The Debtors declared total assets of $10.95 million, total liabilities of $4.91 million, and a total shareholders' equity of $6.04 million. The Debtors had $8.04 million cash at August 1. They reported zero receipts and $498,845 in total disbursements for the month. The Debtors spent $24,039 in Restructuring Professional Fees. At month end, the Debtors had $7.53 million cash. A copy of the monthly operating report is available at: http://bankrupt.com/misc/AgFeedUSAmorAugust.pdf About AgFeed Industries AgFeed Industries, Inc., has 21 farms and five feed mills in China producing more than 250,000 hogs annually. In the U.S., the business included 10 sow farms in three states and two feed mills producing more than one million hogs a year. AgFeed's revenue in 2012 was $244 million. AgFeed and its affiliates filed voluntary petitions under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 13-11761) on July 15, 2013, with a deal to sell most of its subsidiaries to The Maschhoffs, LLC, for cash proceeds of $79 million, absent higher and better offers. The Debtors estimated assets of at least $100 million and debts of at least $50 million. Keith A. Maib signed the petition as chief restructuring officer. Hon. Brendan Linehan Shannon presides over the case. Donald J. Bowman, Jr., and Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor, serve as the Debtors' counsel. BDA Advisors Inc. acts as the Debtors' financial advisor. The Debtors' claims and noticing agent is BMC Group, Inc. The U.S. Trustee has appointed a five-member official committee of unsecured creditors to the Chapter 11 cases. The Creditors' Committee tapped Lowenstein Sandler as lead bankruptcy counsel and Greenberg Traurig, LLP, as co-counsel. CohnReznick LLP serves as the Creditors' Committee's financial advisor. An official committee of equity security holders was also appointed to the Chapter 11 cases. The Equity Committee tapped Sugar Felsenthal Grais & Hammer LLP and Elliott Greenleaf as co-counsel. Jefferies Leveraged Credit Products and Claims Recovery Group are represented by Lawrence J. Kotler, Esq., and Catherine B. Heitzenrater, Esq., at Duane Morris, LLP. ALLONHILL LLC: Suffers $209,201 Net Loss in August -------------------------------------------------- Allonhill LLC, on Sept. 19, 2014, filed a monthly operating report for August 2014. The Debtor suffered a net loss of $209,201 on zero revenue in August, a big decrease from the $672,259 net loss incurred for the previous month. At Aug. 31, t he Debtor recorded $9.31 million in total assets, $32.94 million in total liabilities, and a total shareholders' equity of -$23.63 million. The Debtor started the month with a cash balance of $7.44 million. It recorded total receipts of $15,293 and total disbursements of $222,037. The disbursements include professional fees of $206,109. At month end, the Debtors had a cash balance of $7.23 million. A copy of the monthly operating report is available at: http://bankrupt.com/misc/AllonhillmorAugust.pdf About Allonhill LLC Allonhill LLC, a professional services firm based in Denver, Colorado, that previously provided loan due diligence and credit risk management services for institutions that invest in, sell, securitize or service mortgage loans, sought protection under Chapter 11 of the Bankruptcy Code on March 26, 2014. The case is In re Allonhill, LLC, Case No. 14-bk-10663 (Bankr. D. Del.). The Debtor's general counsel is Hogan Lovells US LLP. Local counsel to the Debtor are Neil B. Glassman, Esq., Justin R. Alberto, Esq., and Evan T. Miller, Esq., at Bayard, P.A., in Wilmington, Delaware. William & Connolly LLP as well as Haddon, Morgan, and Foreman, P.C., serve as special appellate counsel. Upshot Services LLC serves as the Debtor's claims and noticing agent. EKS&H LLP is tax accountant and auditor to the Debtor. The Debtor disclosed $19,205,062 in assets and $32,918,294 in liabilities as of the Chapter 11 filing. Roberta A. DeAngelis, U.S. Trustee for Region 3, notified the Bankruptcy Court that she was unable to appoint an official committee of unsecured creditors in the case of Allonhill, LLC. The U.S. Trustee explained that there were insufficient response to the communication/contact for service on the committee. * * * The Debtor won an extension of its exclusive right to file a plan through July 24, 2015. ATLS ACQUISITION: Cash Balance Down to $13.20MM at August 31 ------------------------------------------------------------ ATLS Acquisition, LLC, and its affiliates, filed, on Oct. 7, 2014 a monthly operating report for August 2014. The Debtors suffered a net loss of $10.04 million in August over net revenues of $18.82 million, a big increase from the $3.28 million net loss incurred in July. At August 31, the Debtors posted total assets of $124.50 million, total liabilities of $75.45 million, and a total shareholders' equity of $49.05 million. At August 1, the Debtors had $14.82 million cash. They recorded total receipts of $18 million and total disbursements of $19.62 million. At month end, the Debtors had $13.20 million cash. A copy of the monthly operating report is available at: http://bankrupt.com/misc/ATLSAcquisitionmorAugust.pdf About Liberty Medical Entities that own diabetics supply provider Liberty Medical led by ATLS Acquisition, LLC, sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 13-10262) on Feb. 15, 2013, just less than three months after a management buy-out and amid a notice by the lender who financed the transaction that it's exercising an option to acquire the business. Liberty has been in business for 22 years serving the needs of both type 1 and type 2 diabetic patients. Liberty is a mail order provider of diabetes testing supplies. In addition to diabetes testing supplies, the Debtors also sell insulin pumps and insulin pump supplies, ostomy, catheter and CPAP supplies and operate a large mail order pharmacy. Liberty operates in seven different locations and has 1,684 employees. Dennis A. Meloro, Esq., at Greenberg Traurig, LLP, serves as the Debtor's counsel; Ernst & Young LLP to provide investment banking advice; and Epiq Bankruptcy Solutions, LLC, as claims and noticing agent for the Clerk of the Bankruptcy Court. An official committee of unsecured creditors has been appointed in the case and consists of LifeScan, Inc., Abbott Laboratories, and Teva Pharmaceuticals USA, Inc. They are represented by Joseph H. Huston Jr., Esq., Maria Aprile Sawczuk, Esq., and Camille C. Bent, Esq., of Stevens & Lee P.C. as well as Bruce Buechler, Esq., S. Jason Teele, Esq., and Nicole Stefanelli, Esq. of Lowenstein Sandler LLP. The Committee has tapped Mesirow Financial Consulting, LLC, as financial advisors. * * * ATLS Acquisition, LLC, et al., filed with the U.S. Bankruptcy Court for the District of Delaware a joint plan of reorganization and an accompanying disclosure statement, which propose to fund a liquidating trust with proceeds from the sale of the Debtors' assets. A full-text copy of the Disclosure Statement dated Aug. 15, 2014, is available at http://is.gd/aLMnQP COLDWATER CREEK: Incurs $17.48 Million Net Loss at August 31 ------------------------------------------------------------ Coldwater Creek, Inc., et al., filed, on Sept. 25, 2014, their monthly operating report for the period from Aug. 3 to 30, 2014. The Debtors incurred $17.38 million in net losses in August over net sales of $2.29 million, a reversal from the $80.49 million net income listed at Aug. 2. At Aug. 30, the Debtors had total assets of $33.31 million, total liabilities of $126.29 million, and a total shareholders' equity of -$92.98 million. The Debtors started the period with a cash balance of $16.19 million. They reported $20.42 million in total receipts and $18.80 million in total disbursements. At Aug. 30, the Debtors had $17.56 million cash. A copy of the monthly operating report is available at: http://bankrupt.com/misc/ColdwaterCreekmorAugust.pdf About Coldwater Creek Coldwater Creek is a multi-channel retailer that offers its merchandise through retail stores across the country, its catalog and its e-commerce Web site, http://www.coldwatercreek.com/ Originally founded in Sandpoint, Idaho in 1984 as a direct, catalog-based marketer, Coldwater evolved into a multi-channel specialty retailer operating 334 premium retail stores, 31 factory outlet stores and seven day spa locations throughout the United States. As of the bankruptcy filing, the Debtors domestically employ a total of approximately 5,990 employees throughout their retail locations, corporate headquarters and distribution, design and call centers. Coldwater Creek Inc. and its debtor-affiliates sought Chapter 11 bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10867) on April 11, 2014, to liquidate their assets. Coldwater Creek Inc. disclosed assets of $721,468,388 plus undetermined amount and liabilities of $425,475,739 plus undetermined amount. Affiliate Coldwater Creek U.S. Inc. estimated $100 million to $500 million in assets and liabilities. The Debtors have drawn $37.5 million and have approximately $10 million in letters of credit outstanding under a senior secured credit facility (ABL facility) provided by lenders led by Wells Fargo Bank, National Association, as agent. The Debtors also owe $96 million, which includes accrued interest and approximately $23 million representing a prepayment premium payable, under a term loan from lenders led by CC Holding Agency Corporation, as agent. Aside from the funded debt, the Debtors have accumulated a significant amount of accrued and unpaid trade and other unsecured debt in the normal course of their business. The Debtors have tapped Young Conaway Stargatt & Taylor, LLP, and Shearman & Sterling LLP as attorneys, Perella Weinberg Partners LP as financial advisor, Alvarez & Marsal as restructuring advisor, and Prime Clerk LLC as claims and noticing agent. The U.S. Trustee for Region Three named seven creditors to serve on the official committee of unsecured creditors. Lowenstein Sandler LLP represent the Committee. GLOBAL AVIATION: Lists $1.92 Million Net Revenue in August ---------------------------------------------------------- Global Aviation Holdings, Inc., et al. filed, on Sept. 26, 2014, a monthly operating report for August 2014. The Debtors recorded a net revenue of $1.92 million for the month. The Debtors declared total assets of $500.13 million, total liabilities of $349.42 million, and total equity of $150.7 million. The Debtors started August with $839,027 cash. They posted total receipts of $823,050 and total disbursements of $234,489. As a result, the Debtors had $1.42 million cash at the end of the month. A copy of the monthly operating report is available at: http://bankrupt.com/misc/GlobalAviationHoldingsmorAugust.pdf About Global Aviation Holdings Global Aviation Holdings Inc. -- http://www.glah.com-- the parent company of North American Airlines and World Airways, sought Chapter 11 bankruptcy protection on Nov. 12, 2013. North American Airlines, founded in 1989, operates passenger charter flights using B767-300ER aircraft. Founded in 1948, World Airways -- http://www.woa.com-- operates cargo and passenger charter flights using B747-400 and MD-11 aircraft. The parent of World Airways Inc. and North American Airlines Inc. implemented a prior Chapter 11 reorganization in February 2013. The new case is In re Global Aviation Holdings Inc., 13-12945, U.S. Bankruptcy Court, District of Delaware (Wilmington). The prior case was In re Global Aviation Holdings Inc., 12-bk-40783, U.S. Bankruptcy Court, Eastern District New York (Brooklyn). Peachtree City, Georgia-based Global blamed the new bankruptcy on decreased flying for the government that reduced revenue for the first nine months of this year to $354 million from $486 million in the same period of 2012. The 2013 petition shows assets and debt both exceeding $500 million. In the first bankruptcy, Global listed $589.8 million in assets and debt of $493.2 million. In the 2013 case, the Debtors were represented by Kourtney Lyda, Esq., at Haynes and Boone, LLP, in Houston, Texas; and Christopher A. Ward, Esq., at Polsinelli PC, in Wilmington, Delaware. The first lien agent is represented by Michael L. Tuchin, Esq., at Klee, Tuchin, Bogdanoff & Stern LLP, in Los Angeles, California. Wells Fargo Bank, National Association, agent to the second lienholders and third lienholders, is represented by Mildred Quinones-Holmes, Esq., at Thompson Hines LLP, in New York. World Airways Inc. ceased operations on March 27, 2014, after its bankrupt parent was unable to secure necessary funding to keep the charter operator airborne. GLOBAL AVIATION: Ends September with Zero Cash ---------------------------------------------- Global Aviation Holdings, Inc., et al., filed, on Sept. 29, 2014, their monthly operating report for the month of September 2014. The Debtors had $1.42 million cash at Sept. 1. They listed $411,987 in total receipts and $1.83 million in total disbursements. At the end of the month, the Debtors had zero cash. A copy of the monthly operating report is available at: http://bankrupt.com/misc/GlobalAviationHoldingsmorSeptember.pdf About Global Aviation Holdings Global Aviation Holdings Inc. -- http://www.glah.com-- the parent company of North American Airlines and World Airways, sought Chapter 11 bankruptcy protection on Nov. 12, 2013. North American Airlines, founded in 1989, operates passenger charter flights using B767-300ER aircraft. Founded in 1948, World Airways -- http://www.woa.com-- operates cargo and passenger charter flights using B747-400 and MD-11 aircraft. The parent of World Airways Inc. and North American Airlines Inc. implemented a prior Chapter 11 reorganization in February 2013. The new case is In re Global Aviation Holdings Inc., 13-12945, U.S. Bankruptcy Court, District of Delaware (Wilmington). The prior case was In re Global Aviation Holdings Inc., 12-bk-40783, U.S. Bankruptcy Court, Eastern District New York (Brooklyn). Peachtree City, Georgia-based Global blamed the new bankruptcy on decreased flying for the government that reduced revenue for the first nine months of this year to $354 million from $486 million in the same period of 2012. The 2013 petition shows assets and debt both exceeding $500 million. In the first bankruptcy, Global listed $589.8 million in assets and debt of $493.2 million. In the 2013 case, the Debtors were represented by Kourtney Lyda, Esq., at Haynes and Boone, LLP, in Houston, Texas; and Christopher A. Ward, Esq., at Polsinelli PC, in Wilmington, Delaware. The first lien agent is represented by Michael L. Tuchin, Esq., at Klee, Tuchin, Bogdanoff & Stern LLP, in Los Angeles, California. Wells Fargo Bank, National Association, agent to the second lienholders and third lienholders, is represented by Mildred Quinones-Holmes, Esq., at Thompson Hines LLP, in New York. World Airways Inc. ceased operations on March 27, 2014, after its bankrupt parent was unable to secure necessary funding to keep the charter operator airborne. NATROL INC: Net Loss Down Further to $403,302 in August ------------------------------------------------------- Natrol, Inc., et al., filed, on Sept. 30, 2014, their monthly operating report for August 2014. The Debtors posted $402,302 in net losses over $7.75 million in net sales for August, a big improvement from the $1.39 million net loss incurred in July. The Debtors declared total assets of $123.55 million, total liabilities of $91.42 million, and a total shareholders' equity of $32.14 million. The Debtors had a cash balance of $8.74 million at August 1. They listed total receipts of $13.83 million and total disbursements of $8.06 million. The disbursements include Bankruptcy Related Professional Fees of $1.01 million. They had a closing book balance of $6.17 million at August 31. After taking into account outstanding checks of $908,143, the Debtors had an ending cash balance (bank) of 7.08 million. A copy of the monthly operating report is available at: http://bankrupt.com/misc/NATROLINCaug2014mor.pdf About Natrol, Inc. Headquartered in Chatsworth, Calif., Natrol, Inc. -- http://www.natrol.com-- is a wholly owned subsidiary of Plethico Pharmaceuticals Limited. Plethico Pharmaceuticals Limited (BSE: 532739. BO: PLETHICO) engages in the manufacturing, marketing and distribution of pharmaceutical and allied healthcare products around the world. Natrol products are made in the U.S. Established in 1980, Natrol, Inc. has been a global leader in the nutrition industry, and a trusted manufacturer and marketer of a superior quality of herbs and botanicals, multivitamins, specialty and sports nutrition supplements made to support health and wellness throughout all ages and stages of life. Natrol products are available in health food stores, drug and grocery stores, and mass-market retailers, and through Natrol.com and other online retailers. Natrol distributes products nationally through more than 54,000 retailers as well as internationally in over 40 other countries through distribution partners. Natrol, Inc., and its six affiliates sought bankruptcy protection on June 11, 2014 (Case No. 14-11446, Bankr. D. Del.). The case is assigned to Judge Brendan Linehan Shannon. The Debtors are represented by Robert A. Klyman, Esq., and Samuel A. Newman, Esq., at GIBSON, DUNN & CRUTCHER LLP, in Los Angeles, California; and Michael R. Nestor, Esq., Maris J. Kandestin, Esq., and Ian J. Bambrick, Esq., at YOUNG CONAWAY STARGATT & TAYLOR, LLP, in Wilmington, Delaware. The Debtors' Claims and Noticing Agent is EPIQ SYSTEMS INC. The Debtors requested that the Court approve the employment of (i) Jeffrey C. Perea of the firm Conway MacKenzie Management Services, LLC as chief financial officer and for CMS to provide temporary employees to assist Mr. Perea in carrying out his duties; (ii) Stephen P. Milner of the firm Squar, Milner, Peterson, Miranda & Williamson LLP as chief restructuring officer and for CMS to provide temporary employees to assist Mr. Milner in carrying out his duties; (iv) BDO USA, LLP as auditor; (v) TaxGroup Partners as tax services provider. The U.S. Trustee for Region 3 on June 19 appointed five creditors of Natrol, Inc. to serve on the official committee of unsecured creditors. The Committee tapped to retain Otterbourg P.C. as lead counsel; (ii) Pepper Hamilton LLP as Delaware counsel; and (iii) CMAG as financial advisors. OPTIM ENERGY: Net Income Increases to $3.66 Million at August 31 ---------------------------------------------------------------- Optim Energy, LLC, and its affiliates, on Oct. 10, 2014, filed a monthly operating report for August 2014. The Debtors' consolidated statement of operations showed a net income from operations of $4.75 million on operating revenues of $32.64 million for August. After taking into account reorganization costs of $1.09 million, the Debtors had a net income of $3.66 million for the month. At Aug. 31, the Debtors posted total assets of $961.64 million, total liabilities of $759.01 million, and a total shareholders' equity of $202.63 million. Optim Energy LLC recorded $24,493 in total receipts and $2.07 million in total disbursements for the month. A copy of the monthly operating report is available at: http://bankrupt.com/misc/OPTIMENERGYaug2014mor.pdf About Optim Energy Optim Energy, LLC, and its affiliates are power plant owners principally engaged in the production of energy in Texas's deregulated energy market. Optim owns and operates three power plants in eastern Texas: the Twin Oaks plant in Robertson County, Texas, the Altura Cogen plant in Harris County, Texas and the Cedar Bayou plant in Chambers County, Texas. The Altura and Cedar Bayou plants are fueled by natural gas, and the third is coal- fired. Optim Energy and its affiliates sought Chapter 11 protection from creditors (Bankr. D. Del. Lead Case No. 14-10262) on Feb. 12, 2014. The Debtors have tapped Bracewell & Giuliani LLP and Morris, Nichols, Arsht & Tunnell LLP as attorneys; Protiviti Inc. as restructuring advisors; and Prime Clerk LLC as claims agent. Optim Energy, LLC scheduled $6,948,418 in assets and $716,561,450 in liabilities. Optim Energy Cedar Bayou 4, LLC, disclosed $183,694,097 in assets and $717,646,180 in liabilities as of the Chapter 11 filing. The Debtors have $713 million of outstanding principal indebtedness. On Feb. 27, 2014, Roberta A. DeAngelis, U.S. Trustee for Region 3, notified the Bankruptcy Court that she was unable to appoint an official committee of unsecured creditors in the Debtors' cases. The U.S. Trustee explained that there were insufficient responses to her communication/contact for service on the committee. PITT PENN: Cash Balance Increases to $41,076 at August 31 --------------------------------------------------------- Pitt Penn Holding Company, Inc., on Sept. 23, 2014, filed its monthly operating report for the month of August 2014. The Debtors posted a net loss of $15,960 on zero revenue for August. The Debtors reported $9.83 million in total assets, $15.15 million in total liabilities, and -$5.44 million in total shareholders' equity. The Debtor started the month with a cash balance of $30,820. It reported total receipts of $26,00 and total disbursements of $15,743. Among the disbursements were professional fees of $2,173. At August 31, the Debtor had $41,076 cash. A copy of the monthly operating report is available at: http://bankrupt.com/misc/PittPennHoldingmorAugust.pdf About Pitt Penn Pitt Penn Holding Co., Inc., and Pitt Penn Oil Co., LLC, each filed voluntary petitions for Chapter 11 relief (Bankr. D. Del. Case Nos. 09-11475 and 09-11476) on April 30, 2009. Industrial Enterprises of America, Inc., f/k/a Advanced Bio/Chem, Inc., filed for Chapter 11 protection (Bankr. D. Del. Case No. 09-11508) on May 1, 2009. EMC Packaging, Inc., filed a voluntary petition for Chapter 11 relief (Bankr. D. Del. Case No. 09-11524) on May 4, 2009. Unifide Industries, LLC, and Today's Way Manufacturing LLC, each filed a voluntary petition for Chapter 11 relief (Bankr. D. Del. Case Nos. 09-11587 and 09-11586) on May 6, 2009. PPH, PPO, EMC, Unifide, and Today's Way are each subsidiaries of IEAM. The cases are jointly administered under Case No. 09-11475. Christopher D. Loizides, Esq., at Loizides, P.A., in Wilmington, Del., represents the Debtors as counsel. In its petition, Industrial Enterprises disclosed total assets of $50,476,697 and total debts of $17,853,997. Industrial Enterprises originally operated as a holding company with four wholly owned subsidiaries, PPH, EMC, Unifide, and Today's Way. PPH, through its wholly owned subsidiary, PPO, was a leading manufacturer, marketer and seller of automotive chemicals and additives. EMC's original business consisted of converting hydrofluorocarbon gases R134a and R152a into branded private label refrigerant and propellant products. Unifide was a leading marketer and seller of automotive chemicals and additives. Today's Way manufactured and packaged the products which were sold by Unifide. Norman L. Pernick was appointed as the chapter 11 trustee for the Debtors. The trustee tapped Cole, Schotz, Meisel, Forman & Leonard, P.A., as counsel, and CohnReznick LLP as his exclusive financial advisor. SCOOTER STORE: Net Loss Decreases to $83,941 in August ------------------------------------------------------ The Scooter Store Holdings, Inc., et al., filed, on Sept. 29, 2014, a monthly operating report for August 2014. The Debtors' consolidated statement of operations showed a net loss of $83,941 in August on zero sales, a small decrease from the $108,224 net loss incurred for the previous month. At Aug. 31, the Debtors posted total assets of $1.48 million, total liabilities of $120.36 million, and a total shareholders' deficit of $118.89 million. The Debtors had $1.27 million cash at the beginning of the month. They listed total receipts of $34,614, total operating disbursements of $33,239 and total non-operating disbursements of $123,545. The Debtors recorded a closing book balance of $1.15 million. After taking into account outstanding checks of $49,463, the Debtors had an ending cash balance (bank) of $1.20 million. A copy of the monthly operating report is available at: http://bankrupt.com/misc/ScooterStoremorAugust.pdf About The Scooter Store The Scooter Store is a supplier of power mobility solutions, including power wheelchairs, scooters, lifts, ramps, and accessories. The Scooter Store's products and services provide today's seniors and disabled persons potential alternatives to living in nursing homes or other care facilities. Headquartered in New Braunfels, Texas, the Scooter Store has a nationwide network of distribution centers that service products owned or leased by the Company's customers. It has 57 distribution centers in 41 states. Scooter Store Holdings Inc., and 71 affiliates filed for Chapter 11 bankruptcy (Bankr. D. Del. Lead Case No. 13-10904) in Wilmington. The closely held company listed assets of less than $10 million and debt of more than $50 million. Affiliates of private equity firm Sun Capital Partners, based in Boca Raton, Florida, purchased a majority voting interest in the debtors in 2011. Scooter Store is 66.8 percent owned by Sun Capital Partners Inc., owed $40 million on a third lien. In addition to Sun's debt and $25 million on a second lien owing to Crystal Financial LLC, there is a $25 million first-lien revolving credit owing to CIT Healthcare LLC as agent. Crystal is providing $10 million in financing for bankruptcy. SEARS METHODIST: Cash Balance Dips to -$996,916 at August 31 ------------------------------------------------------------ Sears Methodist Retirement System, Inc., on Oct. 9, 2014, filed its monthly operating report for the month of August 2014. The Debtor reported a net loss of $246,008 with a net revenue of $483,182 for the month, a reversal from the net profit of $604,301 recorded in the previous month. At August 31, the Debtor had $36.79 million in total assets, $105.99 million in total liabilities, and -$69.20 million in total shareholders' equity. The Debtor started August with $93,738 cash. It listed $6,804 in total receipts and $1.10 million in total disbursements. At month end, the Debtor had a cash balance of -$996,916 cash. A copy of the monthly operating report is available at: http://bankrupt.com/misc/SearsMethodistmorAugust.pdf About Sears Methodist As a leading Texas senior living icon established on Christian principles, Sears Methodist Retirement System Inc. provides secure, rewarding, and luxurious residency to seniors. The system includes: (i) eight senior living communities located in Abilene, Amarillo, Lubbock, Odessa and Tyler, Texas; (ii) three veterans homes located in El Paso, McAllen and Big Spring, Texas, managed by Senior Dimensions, Inc., pursuant to contracts between SDI and the Veterans Land Board of Texas; and (iii) Texas Senior Management, Inc. ("TSM"), Senior Living Assurance, Inc. ("SLA") and Southwest Assurance Company, Ltd. ("SWAC"), which provide, as applicable, management and insurance services to the System. Sears Methodist Senior Housing, LLC, is the general partner of, and controls .01% of the interests in, Canyons Senior Living, L.P. ("CSL"). Sears Methodist and its affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Tex. Lead Case No. 14- 32821) on June 10, 2014. The cases are assigned to Judge Stacey G. Jernigan. The Debtors' counsel is Vincent P. Slusher, Esq., and Andrew Zollinger, Esq., at DLA Piper LLP (US), in Dallas, Texas; and Thomas R. Califano, Esq., Gabriella L. Zborovsky, Esq., and Jacob S. Frumkin, Esq., at DLA Piper LLP (US), in New York. The Debtors' financial advisor is Alvarez & Marsal Healthcare Industry Group, LLC, while the Debtors' investment banker is Cain Brothers & Company, LLC. The Debtors' notice, claims and solicitation agent is GCG Inc. The Debtors have sought and obtained an order authorizing joint administration of their Chapter 11 cases. The U.S. Trustee has appointed five members to the Official Committee of Unsecured Creditors. The Committee is represented by Clifton R. Jessup, Jr., Esq., and Bryan L. Elwood, Esq., at Greenberg Traurig, LLP, in Dallas, Texas. SIMPLEXITY LLC: Net Loss Decreases to $68,491 in June ----------------------------------------------------- Simplexity, LLC, et al., filed, on Oct. 2, 2014, a monthly operating report for the month of June 2014. Simplexity LLC reported a net loss of $68,491 in June, a large decrease from the $960,179 net loss incurred in the previous month. At June 30, the Debtor posted $23.43 million in total assets, $102.36 million in total liabilities, and -$78.93 million in total shareholders' equity. Simplexity, LLC had $11.71 million cash at June 1. It posted total receipts of $212,166 and total disbursements of $261,831. The disbursements include professional fees of $559,245. At month end, the Debtor had $11.66 million cash. A copy of the monthly operating report is available at: http://bankrupt.com/misc/SimplexitymorJune.pdf About Simplexity Simplexity, LLC, a defunct cellphone activator, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 14-10569) on March 16, 2014. The case is before Judge Kevin Gross. The Debtors' counsel is Kenneth J. Enos, Esq., and Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor, LLP, in Wilmington, Delaware. Prime Clerk LLC serves as claims and noticing agent. Simplexity hired Rutberg & Co. as investment banker. Simplexity LLC and Simplexity Services LLC both estimated $10 million to $50 million in assets, and $50 million to $100 million in liabilities. The U.S. Trustee for Region 3 appointed five members to an official committee of unsecured creditors. Peter S. Partee, Sr., Esq., and Michael P. Richman, Esq., at Hunton & Williams LLP, in New York; and Christopher A. Ward, Esq., and Shanti M. Katona, Esq., at Polsinelli PC, in Wilmington, Delaware, represent the Committee. ********* 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 by e-mail. 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 the nation's bankruptcy courts. The list includes links to freely downloadable of these small-dollar petitions in Acrobat PDF documents. 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. The Sunday TCR delivers securitization rating news from the week then-ending. ********* 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., Washington, D.C., USA. Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Valerie Udtuhan, Howard C. Tolentino, Carmel Paderog, Meriam Fernandez, Joel Anthony G. Lopez, Cecil R. Villacampa, Sheryl Joy P. Olano, Psyche A. Castillon, Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and Peter A. Chapman, Editors. Copyright 2014. 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 $975 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 Peter A. Chapman at 215-945-7000 or Nina Novak at 202-362-8552. *** End of Transmission ***