/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/160912.mbx T R O U B L E D C O M P A N Y R E P O R T E R Monday, September 12, 2016, Vol. 20, No. 256 Headlines 1601 W. SUNNYSIDE: Selling Scottsdale Condo Unit for $125K 2013 COLONIAL: Maltz to Auction Bronx Property 5 STAR INVESTMENT: Trustee Selling Mishawaka Property for $42K 5 STAR INVESTMENT: Trustee Selling Mishawaka Property for $88K ABENGOA BIOENERGY: Claims Bar Date Set for September 28 ABENGOA BIOENERGY: Creditors' Panel Taps MelCap as Advisor ADA GIRON: Sale of 2851 Property to Masons for $75K Approved ADA GIRON: Sale of 2853 Property to Masons for $100K Approved ADVANCED MICRO: S&P Affirms 'CCC+' CCR,Outlook Stable AIR CANADA: S&P Raises CCR to 'BB-'; Outlook Stable ALGODON WINES: Accumulated Deficit Raises Going Concern Doubt ALLISON TRANSMISSION: Moody's Gives Ba3 Sr Unsecured Notes Rating ART AND ARCHITECTURE: Court Allows Jones Day $59K Admin Claim ASPEN GROUP: Inks $3 Million Credit Agreement With Leon Cooperman ATLANTIC & PACIFIC: Sale of Assets to Romano for $350K Approved AVANTOR PERFORMANCE: Moody's Hikes Corporate Family Rating to B1 BANNER GLASS: Tiger Capital to Auction Assets on Sept. 20 BASIC ENERGY: Lenders Temporarily Waive Term Loan Default BEAZER HOMES: Announces Preliminary Operating Results BEAZER HOMES: S&P Assigns 'B-' Rating on Proposed $300MM Notes BELIEVER'S BIBLE: Wants to Use Rehabber's Cash Collateral BIOLIFE SOLUTIONS: Borrows Add'l $1 Million from WAVI Holdings BIOLIFE SOLUTIONS: T. Girschweiler Owns 30.2% Stake as of Aug. 31 BIOLIFE SOLUTIONS: WAVI Holding Holds 39.5% Stake as of Aug. 25 BIOSTAGE INC: Recurring Losses Raises Going Concern Doubt BLACKBOARD INC: Moody's Affirms B2 Corporate Family Rating BON-TON STORES: Incurs $38.7 Million Net Loss in July 30 Quarter BORDER EXPRESS: Seeks to Employ Sparkman Shepard as Attorneys BORDER EXPRESS: Wants Unsecured Financing for Sept. 7 Payroll BOREAL WATER: Expects to Close Water Agreement by Oct. 7 BOULEVARD ENTERTAINMENT: Taps Demetra Gregory-McKie as Bookkeeper BREMAR DEVELOPMENT: Hires Stearns Weaver as Counsel BROOKLYN RENAISSANCE: Court Narrows Claims in JJCC Suit BUFFINGTON MASON: Sale of Texas Property for $3.5M Approved CAPITOL BC RESTAURANTS: Taps Best Buy as Auctioneer CCH JOHN EAGAN: Oct. 19 Plan Confirmation Hearing CHC GROUP: Hires Sage-Popovich as Inventory Appraisers CHICAGO ROAD: Wants to Employ Thomas W. Lynch P.C. as Counsel CHRISTOPHER COLLINS: Oct. 13 Plan Confirmation Hearing CHRISTOPHER MARTIN RIDGEWAY: Sept. 19 Disclosure Statement Hearing CHURCH HILL: Seeks Authorization to Use FTB Cash Collateral CLEAR CREEK RETIREMENT: U.S. Trustee Forms 5-Member Committee COBALT INTERNATIONAL: Employs Legal and Financial Advisors COLUCCI TILE: Exclusive Plan Filing Period Extended to Oct. 10 COMSTOCK RESOURCES: S&P Lowers Rating on Sr. Secured Notes to 'D' CONGREGATION ACHPRETVIA: Wants Jan. 11 Plan Exclusivity Extension CORNED BEEF EXPRESS: Hires Robinson Brog as Counsel CORNERSTONE TOWER: Seeks Nov. 9 Plan Exclusivity Extension DAVID FAIRWEATHER: U.S. Trustee Directed to Appoint Ch. 11 Trustee DELL TECHNOLOGIES: S&P Assigns 'BB+' CCR, Outlook Stable DODGE CITY VETERINARY: Wants Nov. 7 Plan Exclusivity Extension DOMINION STEEL: Hires Waldron & Schneider as General Counsel DOMINION STEEL: Names William West as Accountant DRM SALES: Online Auction of Assets on Oct. 15 Approved DYNCORP INTERNATIONAL: S&P Affirms 'CCC+' CCR; Outlook Stable EDUARDO MENDOZA: Hires Nelson Robles-Diaz as Counsel EMR ELECTRIC: Asks for Sept. 27 Plan Filing Period Extension ENERGY FUTURE: Computershare Says Outline Vague on Make-Whole Term ENERGY FUTURE: Plan Outline Fuzzy on Make-Whole Claims, DTC Says ENERGY FUTURE: Selling 36-Acre North Main Property for $2.77M ESTEPHAN G SARKIS: Unsecureds Likely To Recoup 100% Under Plan ESTEPHAN SARKIS: Ch. 11 Plan Proposes $60K Payment to Unsecureds FINTON CONSTRUCTION: Can Use Cash Collateral Through Sept. 28 FLINTKOTE COMPANY: 3rd Circuit Won't Rehear Ruling Frederick Case FLORIDA GLASS: Names Leon Williamson as Counsel FOUR DIA: Wants to Use CapitalSpring Cash Collateral FPMI SOLUTIONS: Auction of Excess Furniture and Equipment Approved FREEFALL ADVENTURES: Robair Offers $20K for Beech 95-B55 Airplane GEI HOLDINGS: Selling Three New Jersey Properties for $783K GENERAL PRODUCTS: Hilco to Auction Russellville Assets GEORGE HENRY: Unsecured Creditors to Recover 10% Under Plan GLORI ENERGY: Decrease in Cash Raises Substantial Doubt GLOYD GREEN: Selling Midway Cabin to West for $414K GREYSTONE LOGISTICS: Reports Record Sales for Fiscal 2016 GULFMARK OFFSHORE: Joined Barclays CEO Energy Power Conference HAGGEN HOLDINGS: Committee Sues Comvest for Asset-Stripping HALCON RESOURCES: Wins Confirmation of Chapter 11 Plan HANCOCK FABRICS: Selling De Minimis Assets to Datamax for $118K HANJIN SHIPPING: Troubles Leave $14-Bil. in Cargo Stranded at Sea HARRINGTON & KING: Has Interim Nod to Use Inland Bank Cash HECK INDUSTRIES: Has Until October 26 to File Chapter 11 Plan HOMETOWN HARDWARE: Has Until Sept. 13 to Use Cash Collateral HOVNANIAN ENTERPRISES: Tender Offer & Consent Solicitation Expire J&E LAND: Pearce to Auction Two Shopping Centers on Oct. 13 JACKSON MASONRY: Selling Nashville Property for $475K JACOB KOBY KHAKSHOURI: Court Approves Disclosure Statement JAMES ALFORD: Plan Confirmation Hearing on Oct. 25 JAMES ANTHONY DEAL: Dec. 1 Plan Confirmation Hearing JAMES EMERSON DAVIS: Court Overrules Objection to Claim #4 JEFF BENFIELD: Can Use Cash Collateral Until Sept. 21 KARLEE COMPANY: SSG Acted as Co-Investment Banker in Asset Sale KEMET CORP: Unit Winds Down KFM's Operations KIDS ONLY II OF LAFAYETTE: Objects to RREF Disclosures, Ch. 11 Plan KIDS ONLY III OF LAFAYETTE: Objects to RREF-Proposed Ch. 11 Plan LAW-DEN NURSING: Repair Ongoing, 1st PCO Report Says LBJ HEALTHCARE: Care Within Standards, PCO 2nd Report Says LDI MANAGEMENT: Can Use IRS Cash Collateral on Final Basis LEO MOTORS: Equity Ownership in LGM Down to 81.8% LIFE PARTNERS: Locke Lord Should be DQ'd, Vida Says LIZA HAZAN: Amended Plan Proposes 41%-100% Recovery for Unsecureds LONG-DEI LIU: No Issues for July-August, 2nd PCO Report Says LUCAS ENERGY: Alan Dreeben Holds 11.6% Stake as of Aug. 25 LUCAS ENERGY: Ilios Oil Reports 9.2% Equity Stake as of Aug. 25 LUCAS ENERGY: Scott Lake, et al., Hold 5.3% Stake as of Aug. 25 LUSIGNAN SECURITY: Has Until Nov. 3 to Use Cash Collateral MAGNESIUM CORP: District Court Won't Halt $26.2M Sale MARK DEQUESNAY: Oct. 13 Plan Confirmation Hearing MARVIN FLICKER: Sale of Camono Property for $1.2M Approved MCGEE EQUIPMENT: Western Objects to Treatment of Claim Under Plan MDI CREATIVE: To Sell Millwork, Furniture Units to Fund Ch. 11 Plan METROPOLITAB BAPTIST: Sale of DC Condo Unit for $435K Approved MICHAEL JOSEPH KILROY: Disclosure Statement Hearing Oct. 5 MIX 1 LIFE: To Acquire 100% of BMP's Interest in Brand Assets MOLYCORP INC: Has Court OK to Tap Excess Insurance Policy MORGANS HOTEL: Amends Schedule 13E-3 Transaction Statement NAMAL ENTERPRISES: TD Bank Wants to Prohibit Cash Collateral Use NEPHROGENEX INC: Proposes Protocol for Sale of All Assets NORFE GROUP: Needs Until Nov 13 to File Chapter 11 Plan NORMAN EDWARD MCMAHON: Sale of Sewell Property for $175K Approved OAKS OF PRAIRIE: Has Until Oct. 31 to Use Cash Collateral OI SA: Creditors Said to Oppose Proposed Restructuring Plan PALMER FARMS: Wants Authorization to Use GWB Cash Collateral PEEK, AREN'T YOU: Unsec. Creditors to Have 23% Recovery Under Plan PENNHILL FARMS: Unsecureds' Projected Recovery Down to 4.6% PITNEY BOWES: Moody's Cuts Preference Shelf Rating to (P)Ba2 POSITIVEID CORP: Accumulated Losses Raise Going Concern Doubt POWELL VALLEY: Wants Plan Filing Period Extended to December 14 PROFESSIONAL DIVERSITY: Covenant Problems Raise Going Concern Doubt RELIABLE RACING: Can Use Cash Collateral Until Sept. 19 REVEREND C.T. WALKER: 181 West Offers $9M for New York Property REVEREND C.T. WALKER: Has $8M Contract to Sell NY Properties SAMSON RESOURCES: BE Aviation Offers $2.75M for Learjet 45XR SAMUEL WYLY: SEC Eyes Contempt for Failure to Pay $101-Mil. SANDERS NURSERY: Exclusive Solicitation Period Extended to Nov. 28 SCORPION PERFORMANCE: Has Until Oct. 26 to File Plan SEQUENOM INC: Camber Capital Sells Entire Stake to LabCorp SEQUENOM INC: Common Stock Delisted From NASDAQ SEQUENOM INC: Consummates Merger With LabCorp SEQUENOM INC: Eight Directors Resigned SOFINTEK INC: Court Authorizes Cash Collateral Use SOUTHERN SEASON: Can Use Cash to Pay for Trailing Expenses STEVE MURPHY: Unsecureds to be Paid from Cash on Hand SYDELL INC: Hires J. Michael Levengood as Counsel TAMARA MELLON: Files $4MM Breach of Contract Suit v. Jimmy Choo THIRTEEN EAST: Directed to Submit Proposed Order for Cash Use TOM GJURAJ: Ch. 11 Plan Proposes $15K Payment to Unsecureds TPP ACQUISITION: Meeting to Form Creditors' Panel Set for Sept. 13 TPP ACQUISITION: Wants $46.8-Mil. DIP Loan From Monroe Capital TROJE'S TRASH: Sale of Assets to Vermillion for $5.3M Approved UNITED MOBILE: Can Use Cash Collateral Until Nov. 17 UNIVERSAL NUTRIENTS: Has Interim Approval to Use Cash Collateral UTSTARCOM HOLDINGS: Smart Soho, et al., Amend Purchase Agreement VALERITAS HOLDINGS: Liquidity Issues Raise Going Concern Doubt VANGUARD HEALTHCARE: Regulators Sue Over Quality of Care VINOD GOPAL PATEL: Sept. 21 Disclosure Statement Hearing WEST CABINET: Court Allows Cash Collateral Use Through Oct. 31 WEST TEXAS: Auction of $2M Worth of Assets Denied WILLIAM DEL BIAGGIO: 9th Circ. Affirms Freeman Claim Subordination WRIGHTWOOD GUEST: Sale of Los Angeles County Property Approved WRWM PARTNERSHIP: Sale of Pennsylvania Property for $150K Okayed YVONNE BLANCE ENEA: To Surrender Residence to Secured Creditor ZIO'S RESTAURANT: Hires Auction Nation as Auctioneer [*] Long-time Bankruptcy Judge Robert Martin Retiring [^] BOND PRICING: For the Week From Sept. 5 to 9, 2016 ********* 1601 W. SUNNYSIDE: Selling Scottsdale Condo Unit for $125K ---------------------------------------------------------- 1601 West Sunnyside Drive #106, LLC, filed with the U.S. Bankruptcy Court for the District of Idaho a notice disclosing the proposed private sale of its condominium unit 1709 located at 3500 N. Hayden Road, Scottsdale, Arizona, to Karen and Alfonso Chiaramonte for $125,000. Objection deadline is within 21 days of the date of service of the notice. The real property will be sold free and clear of all liens, claims, and encumbrances, as authorized by 11 U.S.C. Section 363(f)(3). The Trustee says the sale complies with Section 363(f)(3) because the real property is being sold for more than the consensual lien and outstanding real property taxes, which together total approximately $62,075. The claims secured by these liens will be paid from closing. Wells Fargo Home Mortgage holds a mortgage encumbering the Real Property in the amount of approximately $61,715. Real property taxes for the year 2015 have been paid. The Debtor estimates that it will pay about $360 in real property taxes, pro rated through the closing of sale, for current year property taxes. Subject to Court approval, the Trustee requests to pay at closing from the real property sale proceeds, the Wells Fargo Home Mortgage deed of Trust encumbering the Real Property, pro-rated property taxes pro-rated as of the date of closing, realtor fees, closings costs, outstanding property taxes and water assessments, and any and all other reasonable costs of sale. The Trustee proposes that the purchase price be distributed in the following approximate amounts at the time of closing: a. Real Property Taxes: $360 b. Real Estate Commissions at 5%: $6,250 c. Home Warranty: $500 d. Escrow Fees: $699 e. Homeowners Insurance: $820 The Debtor believes the purchase price is approximate to the fair market value of the property based upon his discussion with his realtor and current market conditions. The property has been exposed to the market since July 21, 2016. This is the highest and best offer Debtor received. The sale will close on Sept. 29, 2016, if approved by the Court. About 1601 West Sunnyside 1601 West Sunnyside Drive #106, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Idaho Case No. 15-40587) on June 15, 2015. The Debtor tapped Randal J. French, Esq., at Randal J. French, P.C., in Boise, Idaho, as counsel. 2013 COLONIAL: Maltz to Auction Bronx Property ---------------------------------------------- 2013 Colonial, LLC, asks the U.S. Bankruptcy Court for the Southern District of New York to authorize the auction sale of real property located at 2013 Colonial Ave., Bronx, New York to be conducted by Maltz Auctions, doing business as Matz Auction. A hearing on the Motion is set for Sept. 13, 2016 at 10:00 a.m. Objection deadline is Sept. 12, 2016 at 12:00 p.m. The property is a building consisting of eleven apartment rental units. It constitutes a "single asset real estate". The Debtor's chapter 11 filing was precipitated by, among other considerations, the desire to propose, confirm and consummate a plan of reorganization or liquidation that resolves the claim of Customers Bank. The Debtor's building is encumbered by a first mortgage lien by Customers in an unliquidated amount as of the Petition Date. Customers Bank subsequently files a proof with the Court in the total amount of $5,655,360. In its Proof of Claim, Customers Bank asserted that its claim is secured by a first-priority lien interest in the Debtor's building in an unknown amount. Based on a recent appraisal obtained by Customers Bank, the "as is" fair market value of the Debtor's building is $2,4000,000 as of May 23, 2016. To resolve the case and seek to obtain the highest value of the Debtor's building, the Debtor has entered into a Stipulation with Customers Bank that, among other things, provides for the consensual sale of the Debtor's building and a carve-out from the Customers Bank's lien for the estate and its creditors ("Customers' Stipulation"). The Customers' Stipulation is being presented to the Court on Sept. 13, 2016. By application dated Aug. 30, 2016, the Debtor seeks to employ Malts, as its auctioneer to market the Debtor's building and conduct a public auction sale of the building on Nov. 10, 2016, at 10:00 a.m. (PET), at New York LaGuardia Airport Marriott Hotel, 102-05 Ditmars Blvd., East Elmhurst, New York. The Debtor asks the Court to approve the auction sale of the Debtor's building in accordance with the Customers' Stipulation and the Terms and Conditions of Sale. The pertinent terms of the Customers' Stipulation are as follows: a. The Debtor will operate the property in the ordinary course of business consistent with previous Cash Collateral Budgets and will seek the entry of a new Cash Collateral Order during the sale period; b. Customers Banks agrees to the following carve-out from the proceeds of the sale of the property and the Customers' lien: (i) typical adjustments for real estate taxes, including the satisfaction of any outstanding tax liens on the property; (ii) typical charges to the seller in a real estate transaction in the Bronx for the payment of recording fees, conveyance taxes and similar charges; (iii) the payment up to $20,000 for administrative, professional fees to Debtor's counsel McCarthy Fingar, only after and to the extent the retainer McCarthy Fingar is currently holding is fully applied to cover its chapter 11 professional fees, and as allowed by the Bankruptcy Court; (iv) the payment to the Office of the United States Trustee for quarterly fees due; and (v) reasonable legal fees, not to exceed $3,500, to counsel for the Debtor related to the real estate closing itself; c. Following the closing on the sale of the property, the debtor is authorized to distribute, without further order of the Court, the net proceeds of sale of the property to Customers Bank on account of, in reduction of, and up to the amount of the Customers Bank's lien and the Debtor is authorized to pay all amounts from the carve-out, except those that may require a further order of the Court; and d. The Debtor will ask approval to have the bankruptcy case dismissed followed completion of the sale closing. The proposed Terms and Conditions of Sale of the Debtor's building are as follows: a. to register to bid, prospective bidders must present a bank check in the amount of $150,000 made payable to the Debtor; b. the successful bidder must close title on Dec 15, 2016, time being of the essence as to the successful bidder; c. the successful bidder must pay all county, state or other property transfer taxes in connection with the sale of the Debtor's building; and d. the Debtor's building is being sold "a is," where is," "with all faults," and without any representatives or warranties of any kind. A copy of the Customers' Stipulation and the Terms and Conditions of Sale attached to the Motion is available for free at: http://bankrupt.com/misc/2013_Coloniral_49_Sales.pdf The Debtor has used its sound business judgment to determine that sale of the Debtor's building at the scheduled auction sale is appropriate and in the best interests of the Debtor's estate. The Debtor has a duty to maximize the value of its assets for the benefit of the estate and its creditors and the Debtor believes that it will obtain the highest value for the benefit of its creditors through the sale of the building at the auction. About 2013 Colonial 2013 Colonial LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 16-22715) on May 24, 2016. The petition was signed by Michael Gianatasio, managing member. The case is assigned to Judge Robert D. Drain. The Debtor estimated both assets and liabilities in the range of $1 million to $10 million. 5 STAR INVESTMENT: Trustee Selling Mishawaka Property for $42K -------------------------------------------------------------- Douglas R. Adelsperger, Trustee for 5 Star Investment Group, LLC, and affiliates ask the U.S. Bankruptcy Court for the Northern District of Indiana to authorize the sale of real estate located in St. Joseph County (Indiana), commonly known as 1306 E. Borley Avenue, Mishawaka, Indiana ("Real Estate"), to Tammy Properties, LLC for $42,000. The Debtor, 5 Star Investment Group, LLC, listed the value of the Real Estate on its Schedule A at approximately $41,100, which is based on the 2014/2015 tax assessed value of the Real Estate. The Real Estate is subject to a tax lien for delinquent real estate taxes for the 2014 Fall installment that was due and payable in 2015, in the approximate sum of $611 ("2014 Fall Tax Lien"). The Real Estate is also subject to a tax lien for real estate taxes for 2015 that are due and payable in 2016, in the approximate sum of $1,278 ("2015 Tax Lien"). The Real Estate is also subject to the following mortgages ("Investor Mortgages"): a. A first priority mortgage in favor of Christ Eicher dated Oct. 30, 2012 ("Eicher Mortgage"). The Eicher Mortgage was recorded on Feb. 12, 2013 in the Office of the Recorder of St. Joseph County, Indiana, as Instrument No. 1304260; b. A second priority mortgage in favor of Shannon Long dated Feb. 21, 2014 ("Long Mortgage"). The Long Mortgage was recorded on March 28, 2014 in the Office of the Recorder of St. Joseph County, Indiana, as Instrument No. 1406901; and c. A third priority mortgage in favor of Midland IRA, Inc., FBO Nancy Lynn Cook #1635401 dated July 25, 2014 ("Cook Mortgage"). The Cook Mortgage was recorded on Aug. 27, 2014 in the Office of the Recorder of St. Joseph County, Indiana, as Instrument No. 1421128. Upon information and belief, the outstanding balances owed pursuant to the Investor Mortgages are: a. The Eicher Mortgage is approximately $25,000; b. The Long Mortgage is approximately $30,000; and c. The Cook Mortgage is approximately $29,233. On July 21, 2016, the Court entered its order granting the application to employ Tiffany Group Real Estate Advisors, LLC, as the bankruptcy estates' broker, authorizing the employment of Tiffany Group to assist the Trustee with the marketing and sale of real estate, including the Real Estate at issue in the Motion. Pursuant to the Listing Agreement approved by the Court, Tiffany Group is entitled to receive a commission of 5% of the total purchase price for all sales that were obtained solely through the efforts of the Tiffany Group. On Sept. 2, 2016, pursuant to the sole efforts of the Tiffany Group, the Trustee entered into a purchase agreement for the sale of the Real Estate to Tammy Properties for the total sale price of $42,000 ("Purchase Agreement"). A copy of the Purchase Agreement attached to the Motion is available for free at: http://bankrupt.com/misc/5_Star_465_Sales.pdf Pursuant to the Purchase Agreement, the Purchaser is purchasing the Real Estate "as is and where is and will all faults". Pursuant to the Listing Agreement with Tiffany Group, Tiffany Group is entitled to receive a commission of 5% of the total sale price for the Real Estate, or $2,100, to be paid at closing. The Trustee will disburse the proceeds from the sale of the Real Estate, first to pay the costs and expenses of the sale, including the commission owed to Tiffany Group in the approximate sum of $2,100, and second to pay all real estate taxes and assessments outstanding and unpaid at the time of the sale, including the Tax Liens. The Trustee will retain the excess proceeds from the sale of the Real Estate until further Order of the Court. The Trustee has attempted to fully investigate the marketability and value of the Real Estate, and in his business judgment, believes that the proposed private sale of the Real Estate to the Purchaser represents the best way to obtain the highest and best offer attainable for the sale of the Real Estate. The Trustee represents that the proposed sale is fair and equitable and in the best interests of the Consolidated Bankruptcy Estate, and represents the best way to obtain a reasonable recovery for the Consolidated Bankruptcy Estate. Against this background, the Trustee asserts that sound business reasons justify the Trustee's decision to sell the Real Estate to the Purchaser for the total sale price of $42,000 and, therefore, requests that the Court approve the sale, pursuant to the Purchase Agreement, that it enter an Order granting the Motion, and waive the requirements of Bankruptcy Rule 6004(h). The Purchaser can be reached at: TAMMY PROPERTIES, LLC 826h Stafford Lawn Indianapolis, IN 46260 Telephone: (317) 259-4122 Facsimile: (317) 259-4123 About 5 Star Investment Group 5 Star Investment Group, LLC, and its 10 affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ind. Lead Case No. 16-30078) on Jan. 25, 2016. 5 Star estimated its assets at up to $50,000 and its liabilities between $1 million and $10 million. The Debtor's counsel is Katherine C. O'Malley, Esq., at Cozen O'Connor, in Chicago, Illinois. The cases are assigned to Judge Harry C. Dees, Jr. On Feb. 29, 2016, Douglas R. Adelsperger was appointed as Chapter 11 trustee in each of the bankruptcy cases. On March 23, 2016, the Court entered an order consolidating the bankruptcy cases for purposes of administration only. 5 STAR INVESTMENT: Trustee Selling Mishawaka Property for $88K -------------------------------------------------------------- Douglas R. Adelsperger, Trustee for 5 Star Investment Group, LLC and affiliates, ask the U.S. Bankruptcy Court for the Northern District of Indiana to authorize the sale of real estate located in St. Joseph County, Indiana, commonly known as 318 N. Wenger Street, Mishawaka, Indiana, to Kimberly Bonds for $88,100. The property is more particularly described as: Lot Numbered 109 in Wenger Realty Co.'s Addition to the City of Mishawaka, in St. Joseph County, Indiana, as per plat thereof recorded Sept. 13, 1904 in Plat Book 8, page 182 in the Office of the Recorder of Saint Joseph County, Indiana ("Real Estate"). The Debtor, 5 Star Investment Group V, LLC, listed the value of the Real Estate on its Schedule A at approximately $54,900, which is based on the 2014/2015 tax assessed value of the Real Estate. The Real Estate is also subject to these mortgages ("Investor Mortgages"): (a) A first priority mortgage in favor of James Shetler dated June 30, 2011 ("Shetler Mortgage"). The Shetler Mortgage was recorded on Aug. 11, 2011 in the Office of the Recorder of St. Joseph County, Indiana, as Instrument No. 1120445; and (b) A second priority mortgage in favor of Victor Graber dated Dec. 31, 2013 ("Graber Mortgage"). The Graber Mortgage was recorded on Jan. 13, 2014 in the Office of the Recorder of St. Joseph County, Indiana, as Instrument No. 1400960. Upon information and belief, the outstanding balances owed pursuant to the Investor Mortgages are: (a) The Shetler Mortgage is approximately $35,418; and (b) The Graber Mortgage is approximately $54,583. Accordingly, the total outstanding balance of the Investor Mortgages is approximately $90,001. Prior to the Petition Date, the Real Estate was subject to a lease ("Lease"), with an option to purchase, in favor of Tenant. Pursuant to the option to purchase under the Lease, the Tenant deposited with the Debtor, 5 Star Investment Group V, LLC, a non-refundable lease purchase payment of $3,450 ("Deposit"). In the event the Tenant exercised her rights pursuant to the option to purchase under the Lease, the Deposit was to be applied to the full purchase price, as stated in the Lease. The Trustee and the Tenant have agreed that the Lease, including the option to purchase, has expired and that the Tenant did not exercise her rights pursuant to the option to purchase. Accordingly, the Tenant has no interest in the Real Estate, other than her rights as a month-to-month tenant pursuant to Ind. Code Section 32-31-1-2. On Aug. 31, 2016, pursuant to the sole efforts of the Trustee, the Trustee entered into a purchase agreement ("Purchase Agreement") for the sale of the Real Estate to the Tenant for the total sale price of $88,100. A copy of the Purchase Agreement attached to the Motion is available for free at: http://bankrupt.com/misc/5_Star_462_Sales.pdf On July 21, 2016, the Court entered its Order Granting Trustee's Application to Employ Tiffany Group Real Estate Advisors, LLC as the Bankruptcy Estates' Broker, authorizing the employment of Tiffany Group Real Estate Advisors, LLC, to assist the Trustee with the marketing and sale of the real estate. Pursuant to the Listing Agreement approved by the Court, Tiffany Group is not entitled to any commissions for sales of real estate to tenants occupying properties that were obtained solely through the efforts of the Trustee, his counsel, the Committee and/or the Committee's counsel. Accordingly, the Tiffany Group is not entitled to a commission on the sale of the Real Estate to the Tenant. Pursuant to the Purchase Agreement, the Tenant is purchasing the Real Estate "as is and where is and with all faults". Additionally, pursuant to the Purchase Agreement, the Tenant is entitled to a credit of $3,450 against the total purchase price for the Deposit the Tenant previously paid pursuant to the Lease. The Trustee will disburse the proceeds from the sale of the Real Estate, first to pay the costs and expenses of the sale, and second to pay all real estate taxes and assessments outstanding and unpaid at the time of the sale, including the Tax Liens. The Trustee will retain the excess proceeds from the sale of the Real Estate until further Order of the Court. The Trustee has attempted to fully investigate the marketability and value of the Real Estate, and in his business judgment, believes that the proposed private sale of the Real Estate to the Tenant represents the best way to obtain the highest and best offer attainable for the sale of the Real Estate. The Trustee represents that the proposed sale is fair and equitable and in the best interests of the Consolidated Bankruptcy Estate, and represents the best way to obtain a reasonable recovery for the Consolidated Bankruptcy Estate. Against this background, the Trustee asserts that sound business reasons justify the Trustee's decision to sell the Real Estate to the Tenant for the total sale price of $88,100 and, therefore, requests that the Court approve the sale, pursuant to the Purchase Agreement, that it enter an Order granting the Motion, and waive the requirements of Bankruptcy Rule 6004(h). The Purchaser can be reached at: Kimberly Bonds 318 N, Wenger Street Mishawaka, IN 46544 Telephone: (574) 855-9746 E-mail: Luv JTK2U@aol.com About 5 Star Investment Group 5 Star Investment Group, LLC, and its 10 affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ind. Lead Case No. 16-30078) on Jan. 25, 2016. 5 Star estimated its assets at up to $50,000 and its liabilities between $1 million and $10 million. The Debtor's counsel is Katherine C. O'Malley, Esq., at Cozen O'Connor, in Chicago, Illinois. The cases are assigned to Judge Harry C. Dees, Jr. On Feb. 29, 2016, Douglas R. Adelsperger was appointed as Chapter 11 trustee in each of the bankruptcy cases. On March 23, 2016, the Court entered an order consolidating the bankruptcy cases for purposes of administration only. ABENGOA BIOENERGY: Claims Bar Date Set for September 28 ------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Missouri set Sept. 28, 2016, at 5:00 p.m. (prevailing Central Time) as deadline for each person or entity to file proofs of claim against Abengoa Bioenergy US Holding LLC and its debtor-affiliates. The Court also set Dec. 12, 2016, at 5:00 p.m. (prevailing Central Time) as last day for governmental units to file their claims against the Debtors. In addition, the Court established Oct. 17, 2016, at 5:00 pm. (prevailing Central Time) as deadline for all persons or entities holding any right to payment constituting an actual, necessary cost or expense of administering the Debtors' Chapter 11 cases or preserving the estates under Section 503(b) and 507(a)(2) of the Bankruptcy Code. For more information, contact (i) the Debtors' counsel, DLA Piper LLP (US) at (302) 468-5700; the Court appointed claims agent, Prime Clerk LLC at (855) 650-724; or visit the case website maintained by Prime Clerk at https://cases.primeclerk.com/abengoa. About Abengoa Bioenergy US Holding, LLC. Abengoa Bioenergy is a collection of indirect subsidiaries of Abengoa S.A., a Spanish company founded in 1941. The global headquarters of Abengoa Bioenergy is in Chesterfield, Missouri. With a total investment of $3.3 billion, the United States has become Abengoa S.A.'s largest market in terms of sales volume, particularly from developing solar, bioethanol, and water projects. Spanish energy giant Abengoa S.A. is an engineering and clean technology company with operations in more than 50 countries worldwide that provides innovative solutions for a diverse range of customers in the energy and environmental sectors. Abengoa is one of the world's top builders of power lines transporting energy across Latin America and a top engineering and construction business, making massive renewable-energy power plants worldwide. On Nov. 25, 2015, in Spain, Abengoa S.A. announced its intention to seek protection under Article 5bis of Spanish insolvency law, a pre-insolvency statute that permits a company to enter into negotiations with certain creditors for restricting of its financial affairs. The Spanish company is facing a March 28, 2016, deadline to agree on a viability plan or restructuring plan with its banks and bondholders, without which it could be forced to declare bankruptcy. Gavilon Grain, LLC, et al., on Feb. 1, 2016, filed an involuntary Chapter 7 petition for Abengoa Bioenergy of Nebraska, LLC ("ABNE") and on Feb. 11, 2016, filed an involuntary Chapter 7 petition for Abengoa Bioenergy Company, LLC ("ABC"). ABC's involuntary Chapter 7 case is Bankr. D. Kan. Case No. 16-20178. ABNE's involuntary case is Bankr. D. Neb. Case No. 16-80141. An order for relief has not been entered, and no interim Chapter 7 trustee has been appointed in the Involuntary Cases. The petitioning creditors are represented by McGrath, North, Mullin & Kratz, P.C. On Feb. 24, 2016, Abengoa Bioenergy US Holding, LLC and five affiliated debtors each filed a Chapter 11 voluntary petition in St. Louis, Missouri, disclosing total assets of $1.3 billion and debt of $1.2 billion. The cases are pending before the Honorable Kathy A. Surratt-States and are jointly administered under Bankr. E.D. Mo. Case No. 16-41161. The Debtors have engaged DLA Piper LLP (US) as counsel, Armstrong Teasdale LLP as co-counsel, Alvarez & Marsal North America, LLC as financial advisor, Lazard as investment banker and Prime Clerk LLC as claims and noticing agent. ABENGOA BIOENERGY: Creditors' Panel Taps MelCap as Advisor ---------------------------------------------------------- The Official Committee of Unsecured Creditors of Abengoa Bioenergy Biomass of Kansas, LLC asks for authorization from the U.S. Bankruptcy Court for the District of Texas to retain MelCap Partners, LLC as financial advisor and investment banker, effective August 19, 2016. The Committee requires MelCap to: (a) review and evaluate the marketing and sale process undertaken by the Debtor and its financial advisor, both pre- and post-bankruptcy; (b) review and evaluate the Debtor's proposed auction process and bidding procedures; (c) review and evaluate the process for selecting any "stalkinghorse bidder" and the terms and conditions of any "stalking-horse" offer; (d) review and evaluate offers for the Debtor's assets received from any qualified bidder; and (e) perform all other appropriate services that the Committee may request and MelCap may agree to provide in this case. MelCap will be paid at these hourly rates: Albert D. Melchiorre, president $550 Marc A. Fleagle, vice president $350 Matthew J. Roberts, associate $250 Matthew M. Sweet, analyst $150 Evans J. Lyons, analyst $150 MelCap will also be reimbursed for reasonable out-of-pocket expenses incurred. Albert D. Melchiorre, president and founder of MelCap, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. MelCap can be reached at: Albert D. Melchiorre MELCAP PARTNERS, LLC 1684 Medina Road, Ste 102 Medina, OH 44256 Tel: (330) 239-1990 Fax: (330) 239-1991 About Abengoa Bioenergy US Holding, LLC. Abengoa Bioenergy is a collection of indirect subsidiaries of Abengoa S.A., a Spanish company founded in 1941. The global headquarters of Abengoa Bioenergy is in Chesterfield, Missouri. With a total investment of $3.3 billion, the United States has become Abengoa S.A.'s largest market in terms of sales volume, particularly from developing solar, bioethanol, and water projects. Spanish energy giant Abengoa S.A. is an engineering and clean technology company with operations in more than 50 countries worldwide that provides innovative solutions for a diverse range of customers in the energy and environmental sectors. Abengoa is one of the world's top builders of power lines transporting energy across Latin America and a top engineering and construction business, making massive renewable-energy power plants worldwide. On Nov. 25, 2015, in Spain, Abengoa S.A. announced its intention to seek protection under Article 5bis of Spanish insolvency law, a pre-insolvency statute that permits a company to enter into negotiations with certain creditors for restricting of its financial affairs. The Spanish company is facing a March 28, 2016, deadline to agree on a viability plan or restructuring plan with its banks and bondholders, without which it could be forced to declare bankruptcy. Gavilon Grain, LLC, et al., on Feb. 1, 2016, filed an involuntary Chapter 7 petition for Abengoa Bioenergy of Nebraska, LLC ("ABNE") and on Feb. 11, 2016, filed an involuntary Chapter 7 petition for Abengoa Bioenergy Company, LLC ("ABC"). ABC's involuntary Chapter 7 case is Bankr. D. Kan. Case No. 16-20178. ABNE's involuntary case is Bankr. D. Neb. Case No. 16-80141. An order for relief has not been entered, and no interim Chapter 7 trustee has been appointed in the Involuntary Cases. The petitioning creditors are represented by McGrath, North, Mullin & Kratz, P.C. On Feb. 24, 2016, Abengoa Bioenergy US Holding, LLC and five affiliated debtors each filed a Chapter 11 voluntary petition in St. Louis, Missouri, disclosing total assets of $1.3 billion and debt of $1.2 billion. The cases are pending before the Honorable Kathy A. Surratt-States and are jointly administered under Bankr. E.D. Mo. Case No. 16-41161. The Debtors have engaged DLA Piper LLP (US) as counsel, Armstrong Teasdale LLP as co-counsel, Alvarez & Marsal North America, LLC as financial advisor, Lazard as investment banker and Prime Clerk LLC as claims and noticing agent. ADA GIRON: Sale of 2851 Property to Masons for $75K Approved ------------------------------------------------------------ Judge Donald R. Cassling of the U.S. Bankruptcy Court for the Northern District of Illinois authorized Ada A. Giron to sell real property located at 2851 W. Cermak, Chicago, Illinois ("2851 Property") to James Mason and Margaret Mason for $75,000. The sale is free and clear of any liens, claims, interests, assessments and encumbrances. Judge Cassling authorized and directed the Debtor to sell the 2851 Property, including the land as more particularly described in the Contract, the improvements thereon, and all personal property specified in the Contract to Masons. The sale of the 2851 Property to Masons is authorized to occur on substantially the same terms and conditions set forth in the Contract accepted on Aug. 9, 2016 between the Debtor and the Masons. The Masons will pay Debtor the purchase price upon the closing of the transactions under the Contract, subject to adjustments and pro-rations as set forth in the Contract, as follows: (i) The Masons have paid an initial earnest money deposit in the amount of $1,000, which amount will be contributed toward the Masons' obligation to pay the purchase price under the Contract. (ii) The balance of the purchase price, subject to pro-rations and adjustments as set forth in the Contract, will be paid at closing and distributed (or caused to be distributed) as set forth in the Order. The Debtor is authorized to and will pay and/or satisfy at closing (and will cause any title company or other closing agent handling the closing of the transactions under the Sale Contract to pay), from the purchase price, in order of priority, (i) reasonable closing costs; (ii) any and all taxes and outstanding sewer and other utility liens running with the 2851 Property as provided under the Contract; (iii) the balance of the mortgage lien to Waterfall Olympic Master Fund (serviced through KeyBank) at closing to Waterfall Olympic Fund. Any proceeds from the sale will be tendered to Waterfall Olympic Master Fund (serviced through KeyBank) at closing and that Waterfall Olympic Master Fund be granted a general unsecured claim as to any deficiency balance remaining. Ada A. Giron sought Chapter 11 protection (Bankr. N.D. Ill. Case No. 15-07521) on March 3, 2015. The Debtor tapped Paul M. Bach, Esq., and Penelope N. Bach, Esq., at Sulaiman Law Group, LTD., as counsel. ADA GIRON: Sale of 2853 Property to Masons for $100K Approved ------------------------------------------------------------- Judge Donald R. Cassling of the U.S. Bankruptcy Court for the Northern District of Illinois authorized Ada A. Giron to sell real property located at 2853 W. Cermak, Chicago, Illinois, to James Mason and Margaret Mason for $100,000. The sale is free and clear of any liens, claims, interests, assessments and encumbrances. Judge Cassling authorized and directed the Debtor to sell the 2853 Property, including the land as more particularly described in the Contract, the improvements thereon, and all personal property specified in the Contract to the Masons. The sale of the 2853 Property to the Masons is authorized to occur on substantially the same terms and conditions set forth in the Contract accepted on Aug. 9, 2016 between the Debtor and the Masons. The Masons will pay the Debtor the purchase price upon the closing of the transactions under the Contract, subject to adjustments and pro-rations as set forth in the Contract, as follows: (i) The Masons has paid an initial earnest money deposit in the amount of $1,000, which amount shall be contributed toward the Masons' obligation to pay the purchase price under the Contract. (ii) The balance of the purchase price, subject to pro-rations and adjustments as set forth in the Contract, will be paid at closing and distributed (or caused to be distributed) as set forth in the Order. The Debtor is authorized to and will pay and/or satisfy at closing (and will cause any title company or other closing agent handling the closing of the transactions under the Sale Contract to pay), from the purchase price, in order of priority, (i) reasonable closing costs; (ii) any and all taxes and outstanding sewer and other utility liens running with the 2853 Property as provided under the Contract; and (iii) the balance of the mortgage lien to Byline Bank at closing to Byline Bank. Any proceeds from the sale will be tendered to Byline Bank at closing and that Byline Bank be granted a general unsecured claim as to any deficiency balance remaining. Ada A. Giron sought Chapter 11 protection (Bankr. N.D. Ill. Case No. 15-07521) on March 3, 2015. The Debtor tapped Paul M. Bach, Esq., and Penelope N. Bach, Esq., at Sulaiman Law Group, LTD., as counsel. ADVANCED MICRO: S&P Affirms 'CCC+' CCR,Outlook Stable ----------------------------------------------------- S&P Global Ratings affirmed its 'CCC+' corporate credit rating on Sunnyvale, Calif.-based Advanced Micro Devices Inc. The outlook is stable. In addition, S&P assigned its 'CCC' issue-level rating to the company's senior unsecured convertible notes due in 2026. S&P also affirmed its 'CCC' senior unsecured issue level rating. The senior unsecured recovery rating remains '5', indicating S&P's expectation of modest recovery (in the lower half of the 10%-30% range) in the event of a payment default. The ratings reflect AMD's vulnerable business risk profile: weak PC industry conditions, intense competition from Intel, and challenges to grow in targeted enterprise, and embedded and semi-custom product markets to offset PC business declines. It also reflects S&P's expectation that AMD will experience a gradual return to revenue growth, supported by new product introductions in 2016 and 2017. "Considering mid-year 2016 new product introductions and its solid revenue share within the gaming-console semiconductor products market, we expect AMD's revenues and EBITDA will strengthen over our 2017 forecast horizon, with a return to low-single-digit revenue growth and EBITDA margins," said S&P Global Ratings credit analyst John D. Moore. S&P Global Ratings also expects free cash flow will remain weak at about break-even to negative $50 million annually in 2016 and 2017, including payments related to AMD's recently amended five-year wafer-supply agreement with Globalfoundries Inc. (GF). AMD agreed to pay GF $100 million in four quarterly installments beginning in the December 2016 quarter. Once completed, the current recapitalization transaction should reduce interest expense by about $60 million annually, partially offsetting the GF installment payment cash outflows in 2017. AMD expects to generate free cash flow for the year ending Dec. 31, 2016. The stable rating outlook reflects AMD's moderating weakness and improving prospects to stabilize its operating performance. It also considers AMD's vulnerable business profile. Ongoing competitive pressures could reverse its recent improvement in the weak PC microprocessor market as well as new product markets. Although unlikely over 2016 and 2017, S&P could lower the rating if AMD's liquidity weakens such that its cash balances decline to less than $600 million, or if its business declines persist further, impairing its liquidity position. S&P could raise the rating if AMD achieves sustained revenue and margin growth and preserves its liquidity. AIR CANADA: S&P Raises CCR to 'BB-'; Outlook Stable --------------------------------------------------- S&P Global Ratings said it raised its corporate credit rating on Air Canada to 'BB-' from 'B+'. The outlook is stable. In addition, S&P Global Ratings assigned its 'BB+' issue-level rating (two notches above the corporate credit rating) and '1' recovery rating (90%-100%) to Air Canada's proposed US$300 million revolving credit facility due 2021 and US$720 million term loan due 2023. S&P expects the issue and recovery ratings to be unchanged if the deal is upsized by another C$300 million. The company will use proceeds from the refinancing to redeem some of its secured debt (term loan, first-lien, and second-lien notes). Finally, S&P Global Ratings raised its issue-level rating on the company's US$400 million unsecured notes to 'BB-' (the same as corporate rating) from 'B' and revised its recovery rating on the notes to '3' (50%-70%, higher end of range) from '5'. Furthermore, S&P has raised its ratings on these enhanced equipment trust certificates (EETCs): -- The 2015-2 class A EETCs one notch to 'A+' from 'A'; -- The 2015-1 class B EETCs to 'BBB+' from 'BBB'; -- The 2013-1 series B and 2015-2 series B EETCs to 'BBB' from 'BBB-'; and -- The 2013-1 series C and 2015-1 series C to 'BB' from 'BB-'. Finally, the ratings on 2013-1 series A and 2015-1 series A are unchanged at 'A', and the rating on 2015-2 series AA is unchanged at 'AA', as they are constrained by their respective liquidity provider ratings. "The upgrade on Air Canada reflects our revision of the company's business risk profile to fair from weak," said S&P Global Ratings credit analyst Aniki Saha-Yannopoulos. "The company continues to maintain its above-average profitability in 2016, in line with 2015 levels, in spite of some weakness in the western Alberta markets and pricing pressures in certain international markets," Ms. Saha Yannopoulos said. Air Canada has been successful in maintaining its adjusted EBITDA margins above 18% due to the company's fleet flexibility, geographic diversity, and management's focus on cost control. As a result, S&P expects the company to generate adjusted EBITDA in excess of the C$2.5 billion generated in 2015. In addition, S&P expects Air Canada to maintain its aggressive financial risk profile, while the company continues with its large capital expenditure program. Air Canada is Canada's largest domestic and international full-service airline. The company is also the 15th-largest commercial airline in the world, serving more than 41 million customers annually. As of June 30, 2016, Air Canada operated a mainline fleet of 169 aircraft and Air Canada Rouge, the company's wholly owned leisure carrier, owns 44 aircraft. In addition, it has capacity purchase agreements with regional airlines that operate under Air Canada Express. S&P's fair business risk profile assessment reflects the company operating in the North American airline sector, which S&P considers high risk due to cyclical demand, significant competition, high operating leverage, and capital intensity. Furthermore, the passenger airline industry is susceptible to outside events such as war, terrorism, and epidemics. Air Canada's operating cost structure compares favorably with that of other legacy North American airline carriers; the company has reduced its margin of difference through cost-cutting measures. Air Canada's financial risk profile remains aggressive; to calculate debt leverage measures, we net all cash on hand in excess of C$1 billion given the company's minimum liquidity requirements per covenants. Even though the company's funds from operations (FFO) to net debt measure has improved, S&P expects Air Canada's financial risk profile to be constrained by the company's free cash flow deficit, which primarily reflects high capital expenditures for new aircraft deliveries. The stable outlook reflects S&P's view that Air Canada will sustain healthy profitability, in spite of some pressure in the domestic market, as the company continues to focus on its profitable international traffic, operational discipline and cost reduction, and fleet flexibility. S&P's outlook also takes into account its expectation that its credit ratio (FFO to debt) will remain between 25%-30%, in line with the intermediate financial risk profile. Although unlikely in the next 12 months, S&P could raise the ratings if increasing cash flow results in Air Canada sustaining adjusted FFO to debt of more than 30% and free operating cash flow to debt exceeding 10%, and S&P believes the ratios will be maintained at those levels. S&P could lower the ratings if the company's profitability metrics show deterioration from current levels, either due to higher-than-expected costs the airline incurs or negative impact of industry headwinds on Air Canada's operating results. S&P could also consider a negative rating action if it perceives the company's credit metrics weakening and FFO to debt deteriorates below 20% on a sustained basis. ALGODON WINES: Accumulated Deficit Raises Going Concern Doubt ------------------------------------------------------------- Algodon Wines & Luxury Development Group, Inc., filed its quarterly report on Form 10-Q, disclosing a net loss of $3.29 million on $339,056 of sales for the three months ended June 30, 2016, compared with a net loss of $3.82 million on $269,275 of sales for the same period in the prior year. The Company's balance sheet at June 30, 2016, showed $7.73 million in total assets, $3.98 million in total liabilities, and a stockholders' equity of $3.75 million. As reflected in the Company's condensed consolidated financial statements, the Company has generated significant losses which have resulted in a total accumulated deficit of approximately $63 million, raising substantial doubt that it will be able to continue operations as a going concern. The Company's independent registered public accounting firm included an explanatory paragraph in their report for the years ended December 31, 2015 and 2014, stating that the Company has incurred significant losses and need to raise additional funds to meet its obligations and sustain its operations. The Company's ability to execute its business plan is dependent upon its generating cash flow and obtaining additional debt or equity capital sufficient to fund operations. If the Company is able to obtain additional debt or equity capital (of which there can be no assurance), the Company hopes to acquire additional management, as well as increase the marketing of the Company's products and continue the development of its real estate holdings. The Company's business strategy may not be successful in addressing these issues and there can be no assurance that they will be able to obtain any additional capital. If they cannot execute their business plan on a timely basis (including acquiring additional capital), the Company's stockholders may lose their entire investment in them, because they may have to delay vendor payments and/or initiate cost reductions, which would have a material adverse effect on the Company's business, financial condition and results of operations, and ultimately the Company could be forced to discontinue its operations, liquidate and/or seek reorganization under the U.S. bankruptcy code. A copy of the Form 10-Q is available at: https://is.gd/UQ3chX New York-based Algodon Wines & Luxury Development Group, Inc., operates Algodon Mansion, a Buenos Aires-based luxury boutique hotel property. This lifestyle related real estate development company has also redeveloped, expanded and repositioned a winery and golf resort property called Algodon Wine Estates for subdivision of a portion of this property for residential development. ALLISON TRANSMISSION: Moody's Gives Ba3 Sr Unsecured Notes Rating ----------------------------------------------------------------- Moody's Investors Service assigned a Ba3 rating to Allison Transmission, Inc.'s (Allison) proposed $750 million offering of senior unsecured notes and a Ba1 rating to the amended and extended $1.4 billion secured term loan due 2022, as well as a $400 million secured revolving credit facility due 2021. Proceeds from the $750 million unsecured note offering, the new term loan, and cash on hand will be used to repay the company's existing $2.4 billion term loan. The Ba2 rating on the existing term loan and revolver will be withdrawn upon closing of the transactions. Allison's Corporate Family Rating (CFR) and Speculative Grade Liquidity rating are unchanged at Ba2 and SGL-1 respectively. The rating outlook is stable. RATINGS RATIONALE The assignment of a Ba1 rating to the new secured debt (compared with the Ba2 rating of the existing credit facilities) reflects the improved recovery prospects that secured creditors would enjoy as a result of the significant increase in unsecured debt ($750 million), and the related decrease in secured debt (from $2.2 billion to $1.4 billion. Allison's Ba2 CFR reflects Moody's expectation that the company will maintain its position as the global leader in designing and manufacturing automatic transmissions used in class 6 and 7 trucks, buses and motor homes. This position enables the company to maintain a healthy operating profile despite the current slowdown in the North American medium-duty truck market. For the last twelve months through June 2016 EBITA margins approached 30%, free cash flow approximated $450 million and EBITA/interest stood at 5.8 times. Moody's said, “Allison's robust operating position is balanced against financial policies that we expect will distribute capital to shareholders (dividends and share repurchases) so that the company remains within its net debt/EBITDA target of 3.0 to 3.5 times. This equates with a Moody's adjusted debt/EBITDA of approximately 3.5 to 4.0 times.” The stable outlook reflects Allison's ability to maintain its strong competitive position, and its high returns and cash generation despite the cyclical downturn affecting its core North American market. “While we expect the company to continue to maintain solid credit metrics for its rating category and a very competitive position in its end markets, an upgrade during the intermediate term is unlikely. Given the company's current financial policies which result in a target ratio of debt to EBITDA of 3.5 to 4.0x (after Moody's standard adjustments and assuming the current cash level is maintained), an upgrade would not result solely from performance and credit metric improvements. Rather, the current balance between business risk and financial policies limit further upward momentum. However, if additional balance sheet strengthening develops over time and is sustainable, the ratings could be upgraded. Metrics that might contribute to a higher rating include debt/EBITDA below 3.0x while maintaining its currently strong level of EBITA margins and solid free cash flow generation.” Moody's said. Factors which could result in a lower rating include debt / EBITDA above 4.0x and EBITA / interest below 3.5x. Other potential factors include more aggressive returns of capital to shareholders, higher target leverage levels, a significant drop in EBITA margins or a meaningful decline in free cash flow including as a result of adverse changes in working capital management. The principal methodology used in these ratings was Global Automotive Supplier Industry published in June 2016. ART AND ARCHITECTURE: Court Allows Jones Day $59K Admin Claim ------------------------------------------------------------- In the case captioned In re: ART AND ARCHITECTURE BOOKS OF THE 21st CENTURY, dba ACE GALLERY, Chapter 11, Debtor, Case No. 2:13-bk-14135-RK (Bankr. C.D. Calif.), Judge Robert Kwan of the United States Bankruptcy Court for the Central District of California, Los Angeles Division, determined that Jones Day is entitled to allowance of its administrative expense claim in the amount of $59,628.50 for fees and expenses pursuant to 11 U.S.C. Section 503(b)(1)(A), which will be paid in accordance with the terms of the confirmed plan of reorganization, and Jones Day is ordered to submit a proposed order for allowance and payment of this claim within 14 days of the date of entry of this Memorandum Decision pursuant to Rule 9014 of the Federal Rules of Bankruptcy Procedure and Rule 58 of the Federal Rules of Civil Procedure. Jones Day, Former Counsel for David R. Haberbush, Solely in His Capacity as Court-Appointed Responsible Officer for Ace Museum, filed a motion for allowance and payment of administrative expenses, which seeks allowance of the firm's claim for payment of its services for Mr. Haberbush as administrative expenses of $78,344.17. The court notes that the billing entries in support of the Motion only show claimed fees and expenses of $78,138.50. The Motion was opposed by Plan Agent Sam S. Leslie and Jones Day filed a reply thereto. Judge Kwan finds that there were some services rendered by Jones Day to Haberbush that were actual and necessary costs of the administration of the bankruptcy estate, including Jones Day's interpretation of the Appointment Order and the resolution of the issue related to the form of the Appointment Order. Judge Kwan, however, disallowed the portion of Jones Day's claims for fees and expenses of $18,510 relating to insurance and real estate matters, which the court finds to be unreasonable and unnecessary costs of administration. A full-text copy of the Memorandum Decision dated August 24, 2016 is available at https://is.gd/jyjdJG from Leagle.com. Art and Architecture Books of the 21st Century, Debtor, is represented by Jerome S. Cohen, Esq. -- jsc@cohenbordeaux.com -- Cohen & Bordeaux, LLP, Carolyn A. Dye, Thomas M. Geher, Esq. -- TGeher@jmbm.com -- Jeffer Mangels Butler & Mitchell LLP, David W. Meadows, Esq. -- david@davidwmeadowslaw.com -- Law Offices of David W. Meadows. United States Trustee (LA), U.S. Trustee, represented by Alvin Mar. OFFICIAL COMMITTEE OF UNSECURED CREDITORS, Creditor Committee, is represented by Asa S. Hami, Esq. -- ahami@sulmeyerlaw.com -- Sulmeyer Kupetz, A Prof Corp, Daniel A. Lev, Esq. -- dlev@pierceatwood.com -- Pierce Atwood LLP, David J. Richardson, Esq. -- drichardson@sulmeyerlaw.com -- Sulmeyer Kupetz, Victor A. Sahn, Esq. -- vsahn@sulmeyerlaw.com -- Sulmeyer Kupetz, Esq. -- swerth@sulmeyerlaw.com -- Sulmeyer Kupetz. Official Committee Of Unsecured Creditors, Creditor Committee, is represented by David S. Kupetz, Esq. -- dkupetz@sulmeyerlaw.com -- Sulmeyer Kupetz, Jessica Vogel, Esq. -- jvogel@sulmeyerlaw.com -- Sulmeyer Kupetz. Art and Architecture Books of the 21st Century, dba Ace Gallery, filed for a voluntary Chapter 11 petition on Feb. 19, 2013, in the U.S. Bankruptcy Court for the Central District of California, Case No. 13-14135. The petition was signed by Douglas Chrismas, president. Judge Robert Kwan presides over the case. Joseph A. Eisenberg, Esq., at Jeffer Mangels Butler & Mitchell LLP, serves as counsel. The Debtor reported $1 million to $10 million in assets and $10 million to $50 million in debts. ASPEN GROUP: Inks $3 Million Credit Agreement With Leon Cooperman ----------------------------------------------------------------- Aspen Group, Inc., entered into a $3 million revolving line of credit agreement with Leon Cooperman on Aug. 31, 2016. Under the LOC, Mr. Cooperman agreed to lend the Company up to a maximum of $3 million on a revolving basis for up to three years. The Company paid Mr. Cooperman a facility fee of $60,000 and issued Mr. Cooperman a Revolving Promissory Note. In addition, the Company will pay to Mr. Cooperman interest monthly on the principal amount of the Note outstanding at a rate of 12% per annum, and a commitment fee monthly on the undrawn portion of the Note at a rate of 2% per annum. The Company borrowed $750,000 under the LOC and used $248,783 to repay its prior $250,000 revolving credit line with a commercial bank. In connection with the Agreement, the Company issued to Mr. Cooperman 750,000 five-year warrants. The Warrants are exercisable at $0.20 per share. Meanwhile, Mr. Michael Mathews, the chairman of the Board and chief executive officer of Aspen Group, presented at the 5th Annual Gateway Conference in San Francisco. A copy of the presentation used at the conference is available at: https://is.gd/QjGmkX About Aspen Group Denver, Colo.-based Aspen Group, Inc., was founded in Colorado in 1987 as the International School of Information Management. On Sept. 30, 2004, it was acquired by Higher Education Management Group, Inc., and changed its name to Aspen University Inc. On May 13, 2011, the Company formed in Colorado a subsidiary, Aspen University Marketing, LLC, which is currently inactive. On March 13, 2012, the Company was recapitalized in a reverse merger. Aspen's mission is to become an institution of choice for adult learners by offering cost-effective, comprehensive, and relevant online education. Approximately 88 percent of the Company's degree-seeking students (as of June 30, 2012) were enrolled in graduate degree programs (Master or Doctorate degree program). Since 1993, the Company has been nationally accredited by the Distance Education and Training Council, a national accrediting agency recognized by the U.S. Department of Education. Aspen Group reported a net loss of $2.24 million on $8.45 million of revenues for the year ended April 30, 2016, compared to a net loss of $4.26 million on $5.22 million of revenues for the year ended April 30, 2015. As of April 30, 2016, Aspen had $4.50 million in total assets, $2.69 million in total liabilities and $1.81 million in total stockholders' equity. ATLANTIC & PACIFIC: Sale of Assets to Romano for $350K Approved --------------------------------------------------------------- Judge Robert D. Drain of the U.S. Bankruptcy Court for the Southern District of New York authorized The Great Atlantic & Pacific Tea Company, Inc., and affiliates to sell liquor store assets and licenses to Deanna M. Romano for $350,000, plus inventory. The sale is free and clear of liens, claims, interests and encumbrances. An auction and sale of the Acquired Assets was conducted on Aug. 3, 2016. A sale hearing was held on Aug. 26, 2016. Judge Drain authorized the Debtors to transfer the Acquired Assets, including the assignment of certain unexpired leases of the Debtors in connection therewith, in accordance with the terms of the Purchase Agreement. A copy of the Purchase Agreement attached to the Order is available for free at: http://bankrupt.com/misc/The_Great_Atlantic_3146_Order.pdf The 14-day stay provided in Bankruptcy Rules 6004(h) and 6006(d) is waived. The Purchaser: Deanna M. Romano 24 Fredon Greendell Rd. Newton, NJ 07860 Attn: Pasquale Romano, Jr. E-mail: romanos@embarqmail.com The Purchaser's attorney: John D. Williams, Esq. LAW OFFICE OF JOHN D. WILLIAMS 18 Church St., Suite 2015 Newton, NJ 07860 E-mail: jdwesq@mac.com About Atlantic & Pacific Based in Montvale, New Jersey, The Great Atlantic & Pacific Tea Company, Inc., and its affiliates are one of the nation's oldest leading supermarket and food retailers, operating approximately 300 supermarkets, beer, wine, and liquor stores, combination food and drug stores, and limited assortment food stores across six Northeastern states. The primary retail operations consist of supermarkets operated under a variety of well known trade names, or "banners," including A&P, Waldbaum's, SuperFresh, Pathmark, Food Basics, The Food Emporium, Best Cellars, and A&P Liquors. The Company employs approximately 28,500 employees, over 90% of whom are members of one of twelve local unions whose members are employed by the Debtors under the authority of 35 separate collective bargaining agreements. Then with 429 stores, A&P and its affiliates filed Chapter 11 petitions (Bankr. S.D.N.Y. Case No. 10-24549) on Dec. 12, 2010, and in 2012 emerged from Chapter 11 bankruptcy as a privately held company with 320 supermarkets. On July 19, 2015, with 300 stores, A&P and 20 affiliated debtors each filed a Chapter 11 petition (Bankr. S.D.N.Y.) after reaching deals for the going concern sales of 120 stores. The Debtors are seeking joint administration under Case No. 15-23007. As of Feb. 28, 2015, the Debtors reported total assets of $1.6 billion and liabilities of $2.3 billion. The Debtors tapped Weil, Gotshal & Manges LLP as counsel, Evercore Group L.L.C., as investment banker, FTI Consulting, Inc., as financial advisor, Hilco Real Estate, LLC, as real estate advisor, and Prime Clerk LLC, as claims and noticing agent. Judge Robert D. Drain of the U.S. Bankruptcy Court for the Southern District of New York issued an order directing joint administration of the Chapter 11 cases of The Great Atlantic & Pacific Tea Company, Inc., and its debtor affiliates under Lead Case No. 15-23007. AVANTOR PERFORMANCE: Moody's Hikes Corporate Family Rating to B1 ---------------------------------------------------------------- Moody's Investors Service upgraded the Corporate Family Rating (CFR) to B1 from B2 and the probability of default rating (PDR) to B1-PD from B2-PD of Avantor Performance Materials Holdings S.A. (Avantor). Moody's also affirmed the first lien senior secured TL at B1 and upgraded the second lien senior secured TL to B3 from Caa1, and assigned B1 ratings to the $170 mil delayed draw TL, all issued by Avantor's subsidiary Avantor Performance Materials Holdings, Inc. The proceeds of the $400 million incremental TL will be used to refinance NuSil Technology, LLC's existing senior secured TL facility and to pay associated fees and expenses; the proceeds of the delayed draw TL will be used to finance a pending acquisition, expected to close within the next 120 days. The outlook on the ratings is stable. "The merger with Nusil, a leader in high margin specialty silicone products, combined with a pending acquisition expands Avantor's branded and specialty revenue profile while also modestly delevering the balance sheet," according to Joseph Princiotta, VP- Senior Credit Officer at Moody's and lead analyst responsible for Avantor's ratings. Ratings Upgraded: Avantor Performance Materials Holdings S.A. -- Corporate Family Rating to B1 from B2 -- Probability of Default to B1-PD from B2-PD -- Ratings Outlook Stable Ratings Affirmed: Avantor Performance Materials Holdings, Inc. -- $1,070 mm Sr. Sec. TL (Including $400m add-on) due 2022 – affirmed B1 (LGD3) -- $75m Sr. Sec. Revolver (Including $25m add-on) due 2021 – affirmed B1 (LGD3) Ratings Upgraded: Avantor Performance Materials Holdings, Inc. -- $165m 2nd Lien TL due 2023 -- to B3 (LGD6) from Caa1 (LGD5) -- Ratings Outlook Stable Ratings Assigned: Avantor Performance Materials Holdings, Inc. -- $200m Delayed Draw TL due 2022- B1 (LGD3) RATINGS RATIONALE NuSil's is a leader in high margin specialty silicone products and is the largest supplier for implantable silicone medical devices in the US and Europe with long-term exclusive contracts with its two largest medical device customers. The re-approval of silicone breast implants by the US Food and Drug Administration ("FDA") for cosmetic surgery in 2006 has reduced the risk of another regulatory ban or significant product liability litigation over the rating horizon. However, Moody's views the company as susceptible to headline risk and notes the FDA advisories on silicone and silicone gel-filled breast implants in 2011. Avantor's B1 CFR reflects the stability and stickiness of the combined company's branded and specialty revenue base, long-lived customer relationships and a strong reputation with customers, strong P&L performance in recent quarters, a relatively new and impressive management team, and the establishment and stability of positive free cash flow generation. The ratings also reflect the recent repositioning of Avantor's manufacturing footprint, along with other cost and pricing actions that have resulted in a significant increase in EBITDA margins since the new management team took the helm in mid-2014. Avantor's competitive strengths also include FDA registered, ISO certified, cGMP manufacturing sites in North America, Europe and India that provide best-in-class global supply chain quality and security management systems to large pharma customers. Avantor's products are often specified into customer's processes at various stages of drug product life cycles contributing to a certain 'stickiness' due to costs and risks of changing suppliers after regulatory approvals. The ratings remain constrained due to high leverage, despite improvements on this metric, as well as the private equity ownership. Other negative factors include the company's small scale, limited segment diversification, and significant customer concentration with large pharma companies and distributors. However, this risk is mitigated by long term relationships and ongoing attention to customer service excellence. The merger with Nusil, combined with the effects of the pending acquisition, are expected to improve profitability and leverage; Moody's estimates pro forma leverage of roughly 4.6x (including Moody's adjustments), compared to 5.3x at the time of the dividend recap and downgrade in June of this year. In addition, Moody's expects leverage to improve going forward and for the company to achieve Moody's prior upgrade triggers in a reasonable timeframe, probably in a year or less. (Adjusted debt includes standard adjustments for unfunded pensions of $11 million and capitalized rents of $18 million). Moreover, modest capital expenditures and absence of a regular dividend result in cash flow metrics that are stronger than debt-to-EBITDA metrics would suggest, with retained-cash-flow to total debt exceeding 10% in the near term and free-cash-flow to total debt in the mid-to high-single digits percentage range. Moody's expects these metrics to trend positively, reflecting debt reduction with free cash flow and the aforementioned favorable operational factors. Metrics give pro forma annualized credit to certain actions by management, mainly the optimization of the U.S. and European manufacturing footprint and certain cost reduction and pricing actions recently implemented, Moody's added. The ratings anticipate management will pursue bolt-on acquisitions to build on or add to core strengths, but that acquisitions will be not be large in scale and not materially add to debt or stress the balance sheet. Since 2014, commensurate with a new senior management team, the company has refocused efforts on execution, customer service, R&D, procurement, and implementation of price increases in select customer accounts and markets, and is nearing completion on a comprehensive plan to streamline and optimize manufacturing and R&D. These actions are already evident in better margins and the operational changes are expected to further improve margins and cash flow going forward. Moody's considers Avantor's liquidity position to be good with expected on cash the balance sheet at close of $79 million and is expected to generate positive free cash flow going forward for debt reduction. Strong free cash flow and an anticipated $25 million increase to $75 million revolving credit facility should cover the company's ongoing basic cash needs, working capital needs, the step up in capital expenditures, and still allow for further debt reduction. The stable outlook reflects Moody's expectation that metrics trend favorably as robust free cash flow is applied to debt reduction and as operations benefit from organic growth and the likelihood that ongoing actions by management further improve operations. Moody's expects leverage, in the absence of bolt-on acquisitions, to decline to 4.0x in the near term. Moody's is unlikely to upgrade the CFR as it is constrained at the B1 level due to the private equity ownership and the risk that future policies might shift and allow for a more leveraged balance sheet and large dividends. “Moody's would change the outlook to negative or downgrade the CFR if debt is not reduced over the next few quarters and metrics fail to trend favorably, which could occur if the company were to make additional early acquisitions or if the current favorable trends in operations were to reverse, which we don't expect to happen. Continuation of high leverage, or if free cash flow were to deteriorate to neutral or near neutral, we would consider a downgrade to the ratings.” Moody's said. Incorporated in Luxembourg, Avantor's operational headquarters are located in Pennsylvania, USA. For the financial year-end (FYE) December 2015, Avantor's Moody's-adjusted revenues and EBITDA were approximately $456 million and $92 million, respectively and on an unaudited basis. The company has approximately 1,200 employees producing over 12,000 products across four broad product categories (pharmaceutical, laboratory, microelectronic and diagnostic products). Approximately 54% of Avantor's revenues are generated from the US and Canada; 16% from Europe; 13% from India; 8% from Asia; and 3% from Latin America. The principal methodology used in these ratings was Global Chemical Industry Rating Methodology published in December 2013. Avantor manufactures and markets high-purity fine chemicals and advanced materials for a range of applications and products are marketed under various registered or trademarked brand names such as J. T. Baker, Macron Fine Chemicals, Rankem, BeneSphera, and POCH. Avantor was formed in 2010 when funds managed or advised by private equity firm New Mountain Capital LLC (unrated) acquired Mallinckrodt Baker from Covidien International Finance S.A. (A3 Stable). In 2011, Avantor completed the strategic acquisitions of India-based RFCL Limited and Poland-based POCH S.A. NuSil Investments, LLC, through its operating subsidiary NuSil Technology, LLC, manufactures specialty silicone materials and is the largest global supplier of resins for breast implants. New Mountain Capital owns 60% of NuSil's equity. Management and other employees own the remaining 40%. NuSil generated $179 million in revenue for the twelve months ended August 31, 2016. BANNER GLASS: Tiger Capital to Auction Assets on Sept. 20 --------------------------------------------------------- By order of the U.S. Bankruptcy Court, Tiger Capital Group's Commercial & Industrial division will conduct an online auction on Sept. 20 of glass installation equipment, inventory, a vehicle fleet and real property formerly owned by Banner Glass, Inc. The sale features a large quantity of shop equipment as well as a fleet of more than 30 well-maintained vehicles -- including Ford, Chevrolet and GMC pickups, vans and cars as new as 2014. Additionally, an approximate 6,400-square-foot commercial building in the Crescent Design District of Leesburg, Va., partially occupied by an existing tenant, is available for sale through Marcus & Millichap. Online bidding will commence Sept. 13 at http://www.SoldTiger.com/ and will close in rapid succession, live auction style, on Sept. 20, beginning at 10:30 a.m. (ET). Previews of the assets will be held Sept. 19 from 10:00 a.m. to 4:00 p.m. (ET) at 8726 Baltimore-National Pike in Ellicott City, and at 305 Industrial Ct. S.E. in Leesburg. "This is an excellent opportunity for individuals, automobile dealers, glass companies and other business owners to acquire high quality, lightly used work trucks and tools," said Wayne Hecht, Field Operations Manager at Tiger Group's Commercial & Industrial division. "This sale also offers businesses and real estate investors a unique opportunity to acquire a tenanted commercial property that offers prospects for residential redevelopment." Vehicles up for bid include two 2014 Ford Transit Connect vans; a 2012 Ford Fusion; a 2010 Ford Focus SE; eight Ford-150 Pickups as new as model year 2013; two Ford F-250 Super Duty pickups; seven Ford E-250 Super Duty cargo vans, most from 2013 and 2011 model years; six Ford E-150 vans, as new as 2013; as well as GMC Sierra pickups and Savana vans. Available shop equipment includes vertical air compressors, glass cutting tables, wet belt abrasive sanders and other power and hand tools, in addition to ladders, bench vises, bench grinders, shop vacs and other equipment. Material handling equipment, including hydraulic pallet jacks and hand trucks, will also be offered for sale. Glass inventory includes windshields, flat glass, tempered glass and mirrored glass. Office furniture, computers, and plotters will also be available. The two-bay warehouse, located at 305 Industrial Ct. S.E., in Leesburg, is about 40 miles from central Washington, D.C. The offering from Marcus & Millichap presents investors and others with an opportunity to acquire a centrally-located 6,396-square-foot building on a 20,473- square-foot lot. The former Banner Glass bay is approximately 3,896 square feet and is built out as a glass shop with administrative offices. The 2,500-square foot tenanted bay is occupied by an automotive upholsterer who has been there long-term and is now on a month-to-month lease. Zoning allows for future residential development. For a full catalog of the items offered and details on how to schedule a site visit and bid, go to: http://www.SoldTiger.com/ Banner Glass filed for Chapter 11 bankruptcy protection (Bankr. D. Md. Case No. 16-19233) in July 2016. BASIC ENERGY: Lenders Temporarily Waive Term Loan Default --------------------------------------------------------- Basic Energy Services, Inc., and certain of its subsidiaries entered into the Temporary Limited Waiver and Consent to the Term Loan Credit Agreement dated as of Feb. 17, 2016, by and among Basic, as borrower, the lenders party thereto and U.S. Bank National Association, as administrative agent for the Lenders. Pursuant to the First Limited Waiver and Consent, the Lenders temporarily waived the event of default under the Term Loan Agreement requiring Basic to cause not less than 95% of the term loan priority collateral to become subject to a perfected, first priority lien in favor of the Administrative Agent for the benefit of the secured parties to the Term Loan Agreement on or prior to Aug. 31, 2016. Also pursuant to the First Limited Waiver and Consent, the Administrative Agent and the Lenders consented to the sale by Basic Energy Services, LP to the Texas Department of Transportation of a 0.513 acre tract of land situated in Howard County, Texas and the related partial release of lien that would have otherwise resulted in a violation the Term Loan Agreement. The Sale Consent is conditioned upon the proceeds from the asset sale being deposited into the escrow account established in connection with entry into the Term Loan Agreement. The First Limited Waiver and Consent becomes effective beginning on the date that certain conditions have been satisfied and ending on the earliest to occur of (i) the occurrence of or existence of any event of default under the Term Loan Agreement, other than the Collateral Anticipated Event of Default, (ii) notice from the Administrative Agent or Required Lenders (as defined in the Term Loan Agreement) of the occurrence or existence of any Temporary Limited Waiver Default (as defined in the First Limited Waiver and Consent) or (iii) the later of Sept. 13, 2016, or such later date as the Required Lenders and Basic may agree in their respective sole discretion. In consideration for the Lenders providing the Collateral Waiver and the Sale Consent, Basic will pay the interest on the principal amount of all outstanding obligations under the Term Loan Agreement at a fluctuating rate per annum equal to the default rate under the Term Loan Agreement, so long as any Collateral Anticipated Event of Default or any other event of default is continuing. In addition, so long as any Collateral Anticipated Event of Default or any other event of default is continuing, (i) Basic is not permitted to take any action under any loan document that is conditioned upon there being no default or event of default existing at the time of such action and (ii) neither the Administrative Agent nor any Lender is required to facilitate or otherwise permit any action under any loan document that is conditioned upon there being no default or event of default existing at the time of that action. Minimum Liquidity Temporary Limited Waiver and Consent On Sept. 1, 2016, Basic and certain of its subsidiaries entered into the Temporary Limited Waiver and Consent to the Term Loan Agreement. Pursuant to the Second Limited Waiver and Consent, the Lenders temporarily waived the event of default under the Term Loan Agreement requiring Basic and its consolidated subsidiaries to maintain unrestricted cash balances and cash equivalents of not less than $50,000,000 as of any date. The Second Limited Waiver and Consent becomes effective beginning on the date that certain conditions have been satisfied and ending on the earliest to occur of (i) the occurrence or existence of any event of default under the Term Loan Agreement, other than the Liquidity Anticipated Event of Default or the Collateral Anticipated Event of Default, (ii) notice from the Administrative Agent or the Required Lenders of the occurrence or existence of any Temporary Limited Waiver Default (as defined in the Second Limited Waiver and Consent), (iii) the later of Sept. 13, 2016, or such later date as the Required Lenders and Basic may agree in their respective sole discretion or (iv) as of any date the unrestricted cash balances and cash equivalents of Basic and its consolidated subsidiaries is less than $45,000,000. In consideration for the Lenders providing the Liquidity Waiver, Basic will pay the interest on the principal amount of all outstanding obligations under the Term Loan Agreement at a fluctuating rate per annum equal to the default rate under the Term Loan Agreement, so long as the Liquidity Anticipated Event of Default, the Collateral Anticipated Event of Default or any other event of default is continuing. In addition, so long as the Liquidity Anticipated Event of Default or any other event of default is continuing, (i) Basic is not permitted to take any action under any loan document that is conditioned upon there being no default or event of default existing at the time of such action and (ii) neither the Administrative Agent nor any Lender is required to facilitate or otherwise permit any action under any loan document that is conditioned upon there being no default or event of default existing at the time of that action. About Basic Energy Energy Services, Inc. provides a wide range of well site services in the United States to oil and natural gas drilling and producing companies, including completion and remedial services, fluid services, well servicing and contract drilling. These services are fundamental to establishing and maintaining the flow of oil and natural gas throughout the productive life of a well. The Company's broad range of services enables us to meet multiple needs of its customers at the well site. Basic Energy reported a net loss of $242 million in 2015 compared to a net loss of $8.34 million in 2014. As of June 30, 2016, Basic Energy had $1.07 billion in total assets, $1.14 billion in total liabilities, and a $62.4 million total stockholders' deficit. "If we are unable to generate sufficient cash flow or are otherwise unable to obtain the funds required to make principal and interest payments on our indebtedness, or if we otherwise fail to comply with the various covenants in instruments governing any existing or future indebtedness, we could be in default under the terms of such instruments. In the event of a default, the holders of our indebtedness could elect to declare all the funds borrowed under those instruments to be due and payable together with accrued and unpaid interest, secured lenders could foreclose on any of our assets securing their loans and we or one or more of our subsidiaries could be forced into bankruptcy or liquidation. If our indebtedness is accelerated, or we enter into bankruptcy, we may be unable to pay all of our indebtedness in full. Any of the foregoing consequences could restrict our ability to grow our business and cause the value of our common stock to decline," the Company warned in its annual report for the year ended Dec. 31, 2015. * * * The TCR reported on March 14, 2016, that Moody's Investors Service downgraded Basic Energy Services, Inc.'s Corporate Family Rating (CFR) to Caa3 from Caa1, its senior unsecured notes rating to Ca from Caa2, and lowered its Speculative Grade Liquidity Rating to SGL-4 from SGL-3. The outlook remains negative. As reported by the TCR on Aug. 17, 2016, S&P Global Ratings lowered its long-term corporate credit rating on TX-based oilfield services company Basic Energy Services Inc. to 'CC' from 'CCC-'. "The downgrade follows Basic's announcement on Aug. 15, 2016, that it has decided to defer the coupon payment on its senior unsecured notes maturing 2019," said S&P Global Ratings credit analyst Christine Besset. "The payment due date was Aug. 15, 2016, and Basic is using the 30-day grace period provided in the notes' indenture because the company is in the process of restructuring its balance sheet," she added. BEAZER HOMES: Announces Preliminary Operating Results ----------------------------------------------------- In conjunction with its proposed senior offering, Beazer Homes USA, Inc., announced the following results for the first two months of its fiscal fourth quarter. New orders rose 23% compared to the same period of the prior fiscal year, primarily driven by an improved absorption pace, as community count was relatively flat over the time period. Additionally, the Company continues to expect its fourth quarter backlog conversion ratio to be between 75% to 80%. About Beazer Homes USA Headquartered in Atlanta, Beazer Homes is a geographically diversified homebuilder with active operations in 13 states within three geographic regions in the United States. The Company's homes meet or exceed the benchmark for energy-efficient home construction as established by ENERGY STAR and are designed with Choice Plans to meet the personal preferences and lifestyles of its buyers. In addition, the Company is committed to providing a range of preferred lender choices to facilitate transparent competition between lenders and enhanced customer service. The Company's active operations are in the following states: Arizona, California Delaware, Florida, Georgia, Indiana, Maryland, Nevada, North Carolina, South Carolina, Tennessee, Texas and Virginia. Beazer Homes is listed on the New York Stock Exchange under the ticker symbol "BZH." As of June 30, 2016, the Company had $2.31 billion in total assets, $1.67 billion in total liabilities and $641 million in total stockholders' equity. * * * Beazer carries a 'B-' issuer credit rating, with "negative" outlook, from Standard & Poor's. In June 2015, Moody's Investors Service upgraded Beazer Homes USA, Inc.'s Corporate Family Rating to B3 from Caa1 and its Probability of Default Rating to B3-PD from Caa1-PD. As reported by the TCR on Sept. 4, 2015, Fitch Ratings had affirmed the ratings of Beazer Homes USA, Inc. (NYSE: BZH), including the company's Issuer Default Rating (IDR), at 'B-'. Beazer's 'B-' IDR reflects the company's execution of its business model in the current moderately recovering housing environment, land policies, and geographic diversity. BEAZER HOMES: S&P Assigns 'B-' Rating on Proposed $300MM Notes -------------------------------------------------------------- S&P Global Ratings said it assigned its 'B-' issue-level rating (same as the corporate credit rating) to Atlanta-based homebuilder Beazer Homes USA Inc.'s proposed $300 million senior unsecured notes due 2022. The recovery rating is '4', indicating S&P's expectation of average (30% to 50%, upper half of the range) recovery in the event of payment default. The company will use the proceeds to fund the repayment of its existing secured notes, with any remaining proceeds for general corporate purposes. S&P's corporate credit rating on Beazer reflects S&P's view of the company's business risk as vulnerable, due largely to its view of the sector's cyclical nature and the company's relatively small platform compared with most public homebuilding peers. S&P assess the company's financial risk as highly leveraged, because debt to EBITDA was about 8x as of June 30, 2016. Ratings List Beazer Homes USA Inc. Corporate Credit Rating B-/Stable/-- New Rating Beazer Homes USA Inc. Senior Unsecured $300 mil sr notes due 2022 B- Recovery Rating 4H BELIEVER'S BIBLE: Wants to Use Rehabber's Cash Collateral --------------------------------------------------------- Believer's Bible Christian Church, Inc., asks the U.S. Bankruptcy Court for the Northern District of Georgia for authorization to use cash collateral. Rehabber's Financial, Inc., d/b/a Aztec Financial, asserts a first priority lien on the Church and its revenue to secure a claim of approximately $1,300,000. The Debtor believes that the Internal Revenue Service and the Georgia Department of Revenue have filed tax liens on the Church. The Debtor relates that it is unaware of any other party asserting an interest in the cash collateral. The Debtor tells the Court that it needs to use the cash collateral to meet its ordinary operating expenses and maintain the Church. The Debtor further tells the Court that it has no other source of income other than the cash collateral. The Debtor's projected Budget covers the period from September 2016 to February 2017. The Budget provides for total expenses in the amount of $236,742. The Debtor proposes to grant Rehabber's Financial with replacement liens in revenue generated post-petition of the same kind, extent, and priority as those existing prepetition. The Debtor further proposes to make regular monthly mortgage payments to Rehabber's Financial in the amount of $5,000, and to escrow sums for 2016 taxes. A full-text copy of the Debtor's Motion, dated Sept. 2, 2016, is available at https://is.gd/2L39fk About Believer's Bible Christian Church Believer's Bible Christian Church, Inc., a Christian Reformed Church, operates a church in various buildings located at 3685 and 3715 Campbellton Rd. S.W. Atlanta, Georgia. It also owns a rental property located at 2288 Fairburn Road, Atlanta, as well as two vacant parcels and one parcel with an unexpired billboard lease. Believer's Bible Christian Church, which was established in 1983, filed a chapter 11 petition (Bankr. N.D. Ga. Case No. 16-65531) on Sept. 2, 2016. The Debtor estimated $1 million to $10 million in assets and liabilities. The Debtor's attorney: William A. Rountree, Esq. MACEY, WILENSKY & HENNINGS, LLC 303 Peachtree Street, N.E., SUite 4420 Atlanta, GA 30308 Tel: (404) 584-1200 Fax: (404) 681-4355 E-mail: Wrountree@maceywilensky.com BIOLIFE SOLUTIONS: Borrows Add'l $1 Million from WAVI Holdings -------------------------------------------------------------- As previously disclosed, BioLife Solutions, Inc., is a party to a commitment letter dated May 12, 2016, with WAVI Holding AG pursuant to which WAVI agreed to make a series of advances on June 1, 2016, Sept. 1, 2016, Dec. 1, 2016, and March 1, 2017. Pursuant to the Commitment Letter, on May 12, 2016, the Company entered into a promissory note in favor of WAVI whereby the Company agreed to pay WAVI the principal amount of all Advances under the Note, plus interest. The Note is unsecured, carries an annual interest rate of 10% and matures on June 1, 2017. WAVI is not obligated to pay any Advance if an event of default has occurred or is occurring. In addition, if an event of default has occurred, WAVI may, at its option, declare the Note to be immediately due and payable, together with all unpaid interest, without further notice or demand. The Note also provides that the Company will not permit any liens on its assets, subject to certain exceptions. On Sept. 1, 2016, the Company borrowed $1,000,000 as an advance under the Note, which will be subject to the terms and conditions of the Note. About BioLife Solutions Bothell, Washington-based BioLife Solutions, Inc., develops and markets patented hypothermic storage and cryo-preservation solutions for cells, tissues, and organs, and provides contracted research and development and consulting services related to optimization of biopreservation processes and protocols. BioLife reported a net loss of $4.99 million on $6.44 million of product sales for the year ended Dec. 31, 2015, compared to a net loss of $3.30 million on $6.19 million of product sales for the year ended Dec. 31, 2014. As of June 30, 2016, BioLife had $10.6 million in total assets, $3.00 million in total liabilities and $7.54 million in total shareholders' equity. BIOLIFE SOLUTIONS: T. Girschweiler Owns 30.2% Stake as of Aug. 31 ----------------------------------------------------------------- Thomas Girschweiler was granted on May 4, 2015, stock options exercisable at $2.06 for 15,000 common shares of BioLife Solutions, Inc., through May 4, 2025. The options vested on May 4, 2016. On March 15, 2016, Mr. Girschweiler was granted stock options exercisable at $1.90 for 10,000 common shares of the Company through March 15, 2026. The options vest on March 15, 2017. On Aug. 8, 2016, Mr. Girschweiler exercised warrants to acquire 71,428 shares of the Company at an exercise price of $0.84 per share. Immediately thereafter, Mr. Girschweiler transferred the 71,428 shares to Taurus4757 GmbH. As of Aug. 31, 2016, Mr. Girschweiler beneficially owns 4,407,427 shares of BioLife Solutions, consisting of 2,716,091 shares of common stock held indirectly through Taurus, 71,429 shares of common stock issuable upon exercise of warrants held directly, 1,544,194 shares of common stock issuable upon exercise of warrants held indirectly through Taurus and 75,713 shares of common stock issuable upon exercise of stock options held directly and exercisable within 60 days. Those shares represent a total of 30.2% of the Company's outstanding shares of common stock. Mr. Girschweiler has the sole power to vote or direct the vote of, and to dispose or direct the disposition of, the entirety of the number of shares. Except for Taurus with respect to the securities held by Taurus, there are no other persons known to have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, those securities. As of Aug. 31, 2016, Taurus beneficially owns 4,260,285 shares of the Issuer, consisting of 2,716,091 shares of common stock held directly by Taurus, and 1,544,194 shares of common stock issuable upon exercise of warrants held directly by Taurus. Those shares represent a total of 29.5% of the Company's outstanding shares of common stock. Taurus has the sole power to vote or direct the vote of, and to dispose or direct the disposition of, the entirety of the number of shares. Except for Girschweiler, there are no other persons known to have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, those securities. A full-text copy of the regulatory filing is available at: https://is.gd/eL0Pcv About BioLife Solutions Bothell, Washington-based BioLife Solutions, Inc., develops and markets patented hypothermic storage and cryo-preservation solutions for cells, tissues, and organs, and provides contracted research and development and consulting services related to optimization of biopreservation processes and protocols. BioLife reported a net loss of $4.99 million on $6.44 million of product sales for the year ended Dec. 31, 2015, compared to a net loss of $3.30 million on $6.19 million of product sales for the year ended Dec. 31, 2014. As of June 30, 2016, BioLife had $10.6 million in total assets, $3.00 million in total liabilities and $7.54 million in total shareholders' equity. BIOLIFE SOLUTIONS: WAVI Holding Holds 39.5% Stake as of Aug. 25 --------------------------------------------------------------- In an amended Schedule 13D filed with the Securities and Exchange Commission, WAVI Holding AG disclosed that as of Aug. 25, 2016, it beneficially owns 6,003,285 shares, consisting of: (a) 3,676,074 shares of common stock held directly by it; and (b) 2,327,211 shares of common stock issuable upon exercise of warrants held directly by it, of BioLife Solutions, Inc., representing 39.5 percent of the shares outstanding. As of Aug. 25, 2016, Walter Villiger, chairman of Wavi Holding, beneficially owns 6,074,714 shares of the Company, consisting of 3,676,074 shares of common stock held indirectly through WAVI, 71,429 shares of common stock issuable upon exercise of warrants held directly, and 2,327,211 shares of common stock issuable upon exercise of warrants held indirectly through WAVI. Those shares represent a total of 39.8% of the Company's outstanding shares of common stock. Mr. Villiger has the sole power to vote or direct the vote of, and to dispose or direct the disposition of, the entirety of the number of shares. Except for WAVI with respect to the securities held by WAVI, there are no other persons known to have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, such securities. WAVI has the sole power to vote or direct the vote of, and to dispose or direct the disposition of, the entirety of the number of shares. Except for Mr. Villiger, there are no other persons known to have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, those securities. A full-text copy of the regulatory filing is available at: https://is.gd/Ck8ypo About BioLife Solutions Bothell, Washington-based BioLife Solutions, Inc., develops and markets patented hypothermic storage and cryo-preservation solutions for cells, tissues, and organs, and provides contracted research and development and consulting services related to optimization of biopreservation processes and protocols. BioLife reported a net loss of $4.99 million on $6.44 million of product sales for the year ended Dec. 31, 2015, compared to a net loss of $3.30 million on $6.19 million of product sales for the year ended Dec. 31, 2014. As of June 30, 2016, BioLife had $10.6 million in total assets, $3.00 million in total liabilities and $7.54 million in total shareholders' equity. BIOSTAGE INC: Recurring Losses Raises Going Concern Doubt --------------------------------------------------------- Biostage, Inc., filed with the Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $2.71 million on $28,000 of revenues for the three months ended June 30, 2016, compared to a net loss of $4.50 million on $73,000 of revenues for the same period in 2015. For the six months ended May 31, 2016, the Company listed a net loss of $5.18 million on $28,000 of revenues, compared to a net loss of $7.12 million on $73,000 of revenues for the same period in the prior year. As of June 30, 2016, the Company had $9.42 million in total assets, $1.94 million in total liabilities and a total stockholders' equity of $7.48 million. The Company has incurred substantial operating losses since its inception, and as of June 30, 2016 has an accumulated deficit of approximately $29.9 million. The Company is currently investing significant resources in development and commercialization of products for use by clinicians and researchers in the field of regenerative medicine. The Company expects to continue to incur operating losses and negative cash flows from operations in 2016 and in future years. Management believes that the Company's cash at June 30, 2016 will be sufficient to meet the Company's obligations through December 31, 2016 and into early 2017. These conditions raise substantial doubt about the Company's ability to continue as a going concern The Company will need to raise additional funds in 2016 and in future years to fund its operations. Cash requirements and cash resource needs will vary significantly depending upon the timing and the financial and other resource needs that will be required to complete ongoing development and pre-clinical and clinical testing of products as well as regulatory efforts and collaborative arrangements necessary for the Company's products that are currently under development. The Company will seek to raise necessary funds through a combination of publicly or private equity offerings, debt financings, other financing mechanisms, or strategic collaborations and licensing arrangements. The Company may not be able to obtain additional financing on terms favorable to them, if at all. The Company's operations will be adversely affected if it is unable to raise or obtain needed funding and may materially affect the Company's ability to continue as a going concern. A copy of the Form 10-Q filed with the U.S. Securities and Exchange Commission is available at: https://is.gd/mFoJHg Biostage, Inc., formerly Harvard Apparatus Regenerative Technology, Inc., is a biotechnology company. The Company is engaged in developing bioengineered organ implants based on its Cellframe technology. Its Cellframe technology consists of a biocompatible scaffold that is seeded with the recipient's own cells. It is developing its Cellframe technology to treat life-threatening conditions of the esophagus, trachea or bronchus that are caused due to cancer, infection, trauma or congenital abnormalities. Its Cellframe technology is engineered to stimulate the body's signaling pathways and natural healing process to regenerate and restore organ function. BLACKBOARD INC: Moody's Affirms B2 Corporate Family Rating ---------------------------------------------------------- Moody's Investors Service affirmed Blackboard Inc.'s B2 Corporate Family Rating and B2-PD Probability of Default Rating. Moody's assigned a B1 rating to Blackboard's new $135 million first-lien revolving credit facility and new $984 million first-lien term loan "B-4". Moody's also assigned a Caa1 rating to Blackboard's new $365 million second-lien notes. The B-4 term loan amends and extends the maturity of the existing, $934 million B-3 term loan, while the new second-lien debt replaces an equal amount of existing unsecured notes. (In the event certain holders of the existing notes elect not to exchange their notes for second-lien debt, Moody's will keep the notes' Caa1 rating outstanding. Similarly, in the event that term loan B-3 lenders do not amend and extend into the new B-4 term loan, Moody's will keep the B-3 loan's B1 rating outstanding.) The incremental $50 million of term loan proceeds will be used to pay down an equivalent obligation at a subsidiary of Blackboard's ultimate parent company, which formed the subsidiary earlier this year in order to effect the $260 million acquisition of Higher One, whose assets will be contributed to Blackboard simultaneously with this transaction. Blackboard's outlook remains negative. Issuer: Blackboard, Inc. -- Probability of Default Rating, Affirmed B2-PD -- Corporate Family Rating, Affirmed B2 -- Senior secured first-lien credit facilities maturing 2020 and 2021, Assigned B1 (LGD3) -- Senior secured second-lien notes maturing 2022, Assigned Caa1 (LGD5) Outlook, Remains Negative RATING RATIONALE The B2 CFR reflects Blackboard's continued high debt-to-EBITDA leverage (including Moody's standard adjustments), which, although it will show measurable improvement as a result of this transaction, is still approximately 7.0 times (down from more than 7.5 times), high for the CFR. Additionally, Blackboard has displayed stagnant growth in its core domestic product, and weak free cash flow, which will be burdened by integration costs for the recently acquired Sequoia and Higher One businesses, as well as by higher interest costs associated with the new debt. The amend-and-extend and exchange transaction improves Blackboard's debt-maturity profile and provides a larger, $135 million revolver, which should be undrawn at this transaction's closing early in the fourth quarter, a strong cash-flow period for the company. The B2 CFR is supported by Blackboard's high level of revenue visibility, with 85% of LTM June 2016 revenues coming from recurring products and services, and underpinned by its 92% renewal rates in 2015. Meanwhile, the operating contributions from Sequoia and Higher One's CASHNet business provide revenue diversification, good margins, and a modest amount of growth to Blackboard's top line, which has been stagnant for many quarters. But the acquisitions will come with incremental integration, legal, and transition costs. Moody's expects their integration will have a significant negative impact on Blackboard's short-term cash flow, turning FCF-to-debt leverage to virtually zero in calendar 2016. Growth in Blackboard's North American Higher Education ("NAHE") and K-12 business segments has long been flat, even negative, with particular weakness in the K-12 business of late. Meanwhile, NAHE's weakness has been due in part to the delayed launch of the Blackboard Ultra software, which was finally released in mid-2016. However, given operating seasonality tied to the academic year, revenue and EBITDA growth from the new Ultra product launch is not expected until mid-2017. Moody's considers Blackboard's liquidity adequate, given our expectations for flat to negative free cash flow due to increased M&A-related expenses, modest cash balances, and significant availability under the new $135 million revolver, despite pronounced seasonal utilization. In order to capture growth opportunities in a vertical that is rapidly adopting new technologies, the company has focused not on debt reduction but rather on spending initiatives to support revenue growth that has yet to materialize, and Moody's negative outlook is based partly on this development. Moreover, ongoing high leverage is weak compared to Blackboard's software peers, and has constrained the company as it navigates through a highly competitive environment. The negative outlook, then, also reflects Moody's view that the company will need to demonstrate improved top line and profit measures and show seamless transition and integration with regard to its expanding business model over the ratings horizon. The ratings could be downgraded if measurable improvements in revenue fail to materialize, Moody's-adjusted debt-to-EBITDA leverage does not hold below 7.0 times, liquidity declines materially, or the company pursues acquisitions that add to financial leverage. The B2 CFR could be upgraded if the company were to demonstrate meaningful revenue growth, free-cash-flow-to-debt reaches high-single-digit percentages, and debt-to-EBITDA were to improve to near 5.0 times on a sustained basis. The principal methodology used in these ratings was Software Industry published in December 2015. BON-TON STORES: Incurs $38.7 Million Net Loss in July 30 Quarter ---------------------------------------------------------------- The Bon-Ton Stores, Inc. filed with the Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $38.7 million on $559 million of net sales and other income for the 13 weeks ended July 30, 2016, compared to a net loss of $39.6 million on $571 million of net sales and other income for the 13 weeks ended Aug. 1, 2015. For the 26 weeks ended July 30, 2016, the Company reported a net loss of $76.6 million on $1.16 billion of net sales and other income compared to a net loss of $73.6 million on $1.19 billion of net sales and other income for the 26 weeks ended Aug. 1, 2015. As of July 30, 2016, Bon-Ton Stores had $1.48 billion in total assets, $1.52 billion in total liabilities and a $38.5 million total shareholders' deficit. In the second quarter of 2015, the Company recognized a gain on insurance recovery of $748 related to a fire at one of the Company's stores, which is shown separately in the accompanying consolidated statements of operations. The Company is party to legal proceedings and claims that arise during the ordinary course of business. In the opinion of management, the ultimate outcome of any such litigation and claims will not have a material adverse effect on the Company's financial position, results of operations or liquidity. At July 30, 2016, the Company had $7.0 million in cash and cash equivalents and $224.8 million available under our Second Amended Revolving Credit Facility (before taking into account the minimum borrowing availability covenant under such facility). Excess availability was $265.2 million as of the comparable prior year period. The unfavorable excess availability comparison primarily reflects the repayment of our mortgage facility in January 2016, partially offset by improved cash flows from operating activities. The Company's quarterly report on Form 10-Q is available from the SEC Web site at https://is.gd/dFAh7B About Bon-Ton Stores The Bon-Ton Stores, Inc., with corporate headquarters in York, Pennsylvania and Milwaukee, Wisconsin, operates 270 stores, which includes nine furniture galleries and four clearance centers, in 26 states in the Northeast, Midwest and upper Great Plains under the Bon-Ton, Bergner's, Boston Store, Carson's, Elder-Beerman, Herberger's and Younkers nameplates. The stores offer a broad assortment of national and private brand fashion apparel and accessories for women, men and children, as well as cosmetics and home furnishings. For further information, please visit the investor relations section of the Company's Web site at http://investors.bonton.com. Bon-Ton Stores reported a net loss of $57.05 million on $2.71 billion of net sales for the fiscal year ended Jan. 30, 2016, compared to a net loss of $6.97 million on $2.75 billion of net sales for the fiscal year ended Jan. 31, 2015. * * * As reported in the TCR on Dec. 4, 2015, Moody's Investors Service downgraded Bon-Ton Stores's Corporate Family Rating to Caa1 from B3. The company's Speculative Grade Liquidity rating was affirmed at SGL-2. The rating outlook is stable. The downgrade considers the continuing and persistent negative pressure on Bon-Ton's revenue and EBITDA margins which has been accelerating during the course of fiscal 2015. As reported by the TCR on Aug. 22, 2016, S&P Global Ratings raised its corporate credit rating on the York, Pa.-based The Bon-Ton Stores Inc. to 'CCC+' from 'CCC'. The outlook remains negative. "The upgrade reflects our view of Bon-Ton's somewhat improved liquidity after refinancing its A-1 ABL term loan tranche with an extended maturity to March 2021 and enhanced liquidity from the additional $50 million in borrowing capacity to address upcoming debt maturity in 2017. BORDER EXPRESS: Seeks to Employ Sparkman Shepard as Attorneys ------------------------------------------------------------- Jared Sharp, Interim Director and President of Border Express, Inc., filed with the U.S. Bankruptcy Court for the Northern District of Alabama an amended application to employ these Chapter 11 attorneys: Tazewell T. Shepard, III, Esq., Kevin M. Morris, Esq., and Tazewell T. Shepard, IV, Esq., of Sparkman, Shepard & Morris P.C. The attorneys will: -- assist in drafting a disclosure statement and plan of reorganization; -- file any motions and adversary proceeding complaints as may be necessary to the proper administration of the Estate during the Chapter 11 case; -- represent the Estate in any resulting trial and the various hearings through confirmation; and -- prepare necessary orders and documents. The hourly billing rate for Mr. Shepard is $350, for Mr. Morris is $295 and for Mr. Shepard, IV, is $250. According to the Amended Application, the attorneys are "disinterested person" as that term is defined in Section 101(13) of the Bankruptcy Code. Tazewell T. Shepard, Esq., states that he and his law firm have no connection, financial or otherwise, with the Debtor, the Debtor's creditors or any other party in interest and that he knows of no conflict or potential conflict of interest with his proposed appointment as attorney for the debtor-in-possession, except for unrelated certain matters. Sparkman Shepard can be reached at: Tazewell T. Shepard, III, Esq. Kevin M. Morris, Esq. Tazewell T. Shepard, IV, Esq. SPARKMAN, SHEPARD & MORRIS P.C. 303 Williams Ave. SW, Suite 1411 Huntsville, AL 35801 E-mail: kevin@ssmattorneys.com taze@ssmattorneys.com ty@ssmattorneys.com About Border Express, Inc. Border Express, Inc. d/b/a Frizzle's Restaurant filed a chapter 11 petition (Bankr. N.D. Ala. Case No. 16-82288) on August 11, 2016. The petition was signed by Jared Sharp, president. The Debtor is represented by Jarrod M. Maddox, Esq., at Jones Walker, LLP. The Debtor estimated assets and liabilities at $0 to $50,000 at the time of the filing. The Company is an Alabama corporation and owns and operates a restaurant in Huntsville, Alabama, doing business as "Frizzle's Restaurant." BORDER EXPRESS: Wants Unsecured Financing for Sept. 7 Payroll ------------------------------------------------------------- Border Express, Inc., asks the U.S. Bankruptcy Court for the Northern District of Alabama for authorization to obtain unsecured post-petition financing from RREF CB SBL II-AL KKI, LLC. RREF CB is the 90% owner of the Debtor's stock, following a purchase of 450 shares of the Debtor's stock at a public sale held on May 31, 2016. The Debtor relates that its most recent payroll came due on August 24, 2016. The Debtor further relates that it lacked sufficient funds to make this payroll and was able to obtain interim approval from the Court to obtain an unsecured loan from its RREF CB, in an amount not to exceed $6,195.69, to pay these wages. The Debtor adds that RREF CB timely funded this unsecured loan and the Debtor was able make its payroll as scheduled. The Debtor tells the Court that its next scheduled payroll comes due on Sept. 7, 2016. The Debtor again anticipates that it will not have sufficient funds to make this payroll. The Debtor contends that it again obtained interim approval from the Court to obtain an unsecured loan from RREF CB, in an amount not to exceed $6,500.00, to pay these wages. The Debtor further contends that RREF is prepared to timely fund this unsecured loan so that Debtor will be able to make its payroll as scheduled. The relevant terms, among others, of the proposed financing are: (1) Commitment: Amount not to exceed $12,695.69. (2) Interest Rate: 0% per annum (3) Maturity Date: October 31, 2016. The Debtor tells the Court that it has no ability to obtain financing on terms more favorable than those proposed by RREF CB. The Debtor further tells the Court that without the provision of the contemplated financing, the Debtor will be forced to cease operations and will lose the going concern value of its business. A full text copy of the Debtor's Motion, dated Sept. 1, 2016, is available at https://is.gd/hivaW8 A full-text copy of the proposed Promissory Note, dated Sept. 1, 2016, is available at https://is.gd/d6qvjH About Border Express Border Express, Inc., doing business as Frizzle's Restaurant, filed a chapter 11 petition (Bankr. N.D. Ala. Case No. 16-82288) on August 11, 2016. The petition was signed by Jared Sharp, president. The Debtor is represented by Jerrod M. Maddox, Esq., at Jones Walker, LLP. The Debtor estimated assets and liabilities at $0 to $50,000 at the time of the filing. BOREAL WATER: Expects to Close Water Agreement by Oct. 7 -------------------------------------------------------- Boreal Water Collection, Inc. and BB Development XXVIII LLC entered into a contract for sale (purchase agreement) on Jan. 6, 2016, of an artesian spring, water supply and existing facility located in the Town of Callicoon, New York. Boreal Water is the successor to Leisure Time Spring Water, Inc., which had a first right of refusal regarding the premises. On Sept. 6, 2016, the parties entered into an addendum to the Contract of Sale, the Second Addendum to Purchase Agreement between BB Development XXVIII LLC, as seller, and Boreal Water Collection, Inc., as purchaser. The Addendum provides that time is of the essence and closing of the transaction (purchase of the artesian spring) will be no later than 10 a.m., Friday, Oct. 7, 2016. Boreal Water Collection, Inc. agreed to the immediate release of the Contract Deposit or "Downpayment" of $60,000 to BB Development XXVIII LLC; forever releasing its rights to the Contract Deposit (should the transaction not close). Boreal is to pay the sum of $25,000 to the Seller on or before 5 p.m., Friday Sept. 9, 2016; described as non-refundable "Additional Earnest Money" "applicable to the purchase price of the subject property." The Company "shall continue to pay all sums due Seller each month as contained in the Water Agreement commencing September of 2016 no later than the 20th day of each month." The parties reserve all rights regarding Notice of Termination of the Water Agreement. About Boreal Water Kiamesha Lake, N.Y.-based Boreal Water Collection, Inc., is a personalized bottled water company specializing in premium custom bottled water. Boreal Water reported a net loss of $886,000 on $2.41 million of sales for the year ended Dec. 31, 2014, compared with net income of $613,000 on $2.15 million of sales for the year ended Dec. 31, 2013. As of March 31, 2015, the Company had $3 million in total assets, $2.68 million in total liabilities, and $314,000 in total stockholders' equity. Terry L. Johnson, CPA, in Casselberry, Florida, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2014. The accounting firm noted that the Company has incurred a deficit of approximately $3.6 million and has used approximately $800,000 of cash due to its operating activities in the two years ended Dec. 31, 2014. The Company may not have adequate readily available resources to fund operations through Dec. 31, 2015. This raises substantial doubt about the Company's ability to continue as a going concern. BOULEVARD ENTERTAINMENT: Taps Demetra Gregory-McKie as Bookkeeper ----------------------------------------------------------------- Boulevard Entertainment Greenville, LLC, seeks authority from the U.S. Bankruptcy Court for the District of South Carolina to employ Demetra Gregory-McKie as a bookkeeper and preparer of monthly operating reports for the debtor-in-possession. Ms. Gregory-McKie's fee is $35 per hour. She assures the Court that she does not hold or represent an interest adverse to the bankruptcy estate, and is a "disinterested person" as defined in Section 101(14) and (31) of the Bankruptcy Code. About Boulevard Entertainment Boulevard Entertainment Greenville, LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.S.C. Case No. 16-03313) on July 1, 2016. The Debtor is represented by Robert H. Cooper, Esq., at The Cooper Law Firm. BREMAR DEVELOPMENT: Hires Stearns Weaver as Counsel --------------------------------------------------- Bremar Development, LLC seeks authorization from the U.S. Bankruptcy Court for the Southern District of Florida to employ Stearns Weaver Miller Weissler Alhadeff & Sitterson, P.A. as bankruptcy counsel, nunc pro tunc to the August 17, 2016 petition date. The Debtor requires Stearns Weaver to: (a) give advice to the Debtor with respect to its powers and duties as debtor-in-possession and the continued management of its business operations; (b) advise the Debtor with respect to its responsibilities in complying with the U.S. Trustee's Operating Guidelines and Reporting Requirements and with the rules of the Court; (c) prepare motions, pleadings, orders, applications, adversary proceedings, and other legal documents necessary in the administration of the case; (d) protect the interests of the Debtor in all matters pending before the Court; and (e) represent the Debtor in negotiations with its creditors in the preparation and confirmation of a plan. Stearns Weaver will be paid at these hourly rates: Kristopher Pearson $540 Associates $320-$365 Paralegals $300-$325 Stearns Weaver will also be reimbursed for reasonable out-of-pocket expenses incurred. Stearns Weaver received from the Debtor a pre-petition retainer in the total amount of $35,000, plus $1,717 for the filing. Kristopher E. Pearson, shareholder of Stearns Weaver, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. Stearns Weaver can be reached at: Kristopher E. Pearson, Esq. STEARNS WEAVER MILLER WEISSLER ALHADEFF & SITTERSON, P.A. Museum Tower Building, Suite 2200 150 West Flagler Street Miami, FL 33130 Tel: (305) 789-3200 Fax: (305) 789-3395 E-mail: kpearson@stearnsweaver.com About Bremar Development Bremar Development, LLC, filed a chapter 11 petition (Bankr. S.D. Fla. Case No. 16-21328) on Aug. 17, 2016. The petition was signed by Jorge D. Marrero, sole managing member. The Debtor is represented by Kristopher E. Pearson, Esq., at Stearns Weaver Miller Weissler Alhadeff & Sitterson, P.A. The case is assigned to Judge Laurel M. Isicoff. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. BROOKLYN RENAISSANCE: Court Narrows Claims in JJCC Suit ------------------------------------------------------- In the case captioned JJCC Real Estate LLC, Plaintiff, v. Brooklyn Renaissance, LLC, Defendant, Adv. Pro. No. 16-01073-cec (Bankr. E.D.N.Y.), Chief Judge Carla E. Craig of the United States Bankruptcy Court for the Eastern District of New York granted the Defendant's Motion to Dismiss with respect to the second and fourth causes of action and denied with respect to the first and third causes of action. Brooklyn Renaissance, LLC, filed a motion to dismiss the complaint filed by JJCC Real Estate LLC. The Plaintiff and the Defendant entered into a contract for the sale of real property, including the building located at 557 Union Street, in Brooklyn, New York, by the Defendant to the Plaintiff. The Plaintiff refused to close based upon its contention that the Defendant had not provided title insurance as required by the contract. The Defendant declared a default under the contract for sale and retained the Plaintiff's deposit as liquidated damages. The Plaintiff commenced this adversary proceeding seeking the return of its deposit, arguing that the Defendant had breached the contract for sale by failing to deliver marketable title at closing. the Defendant responded by filing the Motion to Dismiss. On the Second Cause of Action of Unjust Enrichment Claim, in order to state a claim for unjust enrichment under New York law, a plaintiff must allege, "(1) that the defendant benefited; (2) at the plaintiff's expense; and (3) that equity and good conscience require restitution. Judge Craig finds that neither party disputes the existence of a valid, enforceable contract and its application to the subject matter at issue. The Plaintiff and the Defendant entered into the PSA on August 30, 2015. The dispute involves the retention of the Deposit, which is covered by the PSA. The Plaintiff's unjust enrichment claim is based on the same factual allegations and seeks the same amount of damages as its breach of contract claims. The Plaintiff did not seek to rescind the contract before filing suit, and the Plaintiff's core claims rest on the allegation that it had performed its obligations under a valid, enforceable contract the scope of which clearly covers the instant dispute. Therefore, the Plaintiff's second cause of action for unjust enrichment must be dismissed, Judge Craig ruled. The Plaintiff's fourth cause of action for fraud also fails, Judge Craig said, noting that the Plaintiff has failed to adequately plead fraud in accordance with Rule 9(b). In addition, this cause of action is duplicative of the breach of contract claims and does not assert any injury or seek any remedy distinct from those claims, and must be dismissed for that reason as well. A full-text copy of the Opinion dated August 18, 2016 is available at https://is.gd/WBIBnq from Leagle.com. JJCC Real Estate LLC, Plaintiff, is represented by Robert J. Spence, Esq. -- Spence Law Office, P.C.. Brooklyn Renaissance, LLC, Defendant, is represented by Steven R. Schoenfeld, Esq. -- srs@ddw-law.com -- DelBello Donnellan Weingarten Wise & Wiederkehr LLP. About Brooklyn Renaissance Brooklyn Renaissance, LLC, which manages various parcels of real property located in Kings, New York and Suffolk County, New York, sought Chapter 11 bankruptcy protection (Bankr. E.D.N.Y. Case No. 15-43122) on July 6, 2015 in Brooklyn. James McGown, the managing member, signed the petition. The case is assigned to Judge Nancy Hershey Lord. The Debtor estimated $10 million to $50 million in assets and less than $10 million in debt. The Debtor tapped Jonathan S. Pasternak, Esq., at DelBello Donnellan Weingarten Wise & Wiederkehr, LLP, in White Plains, New York, as counsel. BUFFINGTON MASON: Sale of Texas Property for $3.5M Approved ----------------------------------------------------------- Judge Tony M. Davis of the U.S. Bankruptcy Court for the Western District of Texas authorized Buffington Mason Park, Ltd., to sell approximately 20 acres of real property and three lots located in Harris County, Texas to Jabez Development, LP, for $3,500,000. The sale is free and clear of all claims. A hearing on the Motion was held on Aug. 22, 2016. The sale hearing was conducted on Aug. 29, 2016. At the closing, any ad valorem taxes owed by the Debtor for years prior to 2016 will be paid in full. At the closing the Debtor will cause to be paid the United States Trustee ("UST") fees as follows: $10,400 as an estimated payment for the third quarter of 2016. At the closing the Debtor will retain $32,500 ("Retained Funds") for payment of administrative expense claims of professionals hired by the Debtor and any fees owed to the UST for quarters after the third quarter of 2016. At the Closing the Debtor will cause to be paid all costs of closing, including fees for a title policy and fees incurred by the title company will be paid. The funds remaining after the payment of any ad valorem taxes, UST fees, Retained Funds and cost of closing will the "Remaining Funds". At the closing, United Development IV, LP ("UDF") will deliver to the Title Company written instructions for disbursement of the Remaining Funds to UDF or entities designated by UDF and the Title Company will make disbursements at the in accordance with such written instruction. About Buffington Mason Park Buffington Mason Park, Ltd., is a Texas limited partnership formed on or about Aug.25, 2008 for single family residential development. It is part of the Buffington Land Group, Ltd. Its general partner is Buffington Mason Park Management, LLC, which owns a 0.5% interest, and its limited partner is Buffington Land, Ltd., which holds 99.5%. Buffington Mason Park, Ltd., sought Chapter 11 protection (Bankr. W.D. Tex. Case No. 16-10396) on April 1, 2016. Judge Tony M. Davis is assigned to the case. The Debtor estimated assets in the range of $1 million to $10 million and $100 million to $500 million in debt. Stephen W. Sather, Esq., at Barron & Newburger, P.C. serves as the Debtor's counsel. The petition was signed by T. Blake Buffington, Jr., VP of general partner. CAPITOL BC RESTAURANTS: Taps Best Buy as Auctioneer --------------------------------------------------- Capitol BC Restaurants, LLC seeks authorization from the U.S. Bankruptcy Court for the District of Masachusetts to employ Joseph Benigno and Best Buy Auctioneers Appraisers & Liquidators to market and sell personal property in Newark, Delaware. The Debtor requires Best Buy to collect the Personal Property and then stage and auction the Personal Property at Best Buy's warehouse and via the internet. The Debtor will file a separate motion to sell the Personal Property by public auction. Upon completion of the public sale, Best Buy will submit an application seeking compensation for services rendered and for reimbursement of expenses. Best Buy's application for compensation will be submitted to the Court and will request compensation that will not exceed 10% of the first $100,000 realized from the sale of the Personal Property, 4% of the next $400,000, and 3% of the balance. Additional expenses that Best Buy may charge include fees of 4% of the purchase price in the event the particular property is sold using the internet auction mechanism, and 4% of the purchase price in the event that the high bidder uses a credit card to pay the purchase price. Joseph Benigno, principal of Best Buy, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. Best Buy can be reached at: Joseph Benigno BEST BUY AUCTIONEERS APPRAISERS & LIQUIDATORS 11 Russell Avenue South River, NJ 08882 Tel: (877) 788-7572 About Capitol BC, LLC Capitol BC, LLC filed a Chapter 11 bankruptcy petition (Bankr. M.D.N.C.. Case No. 15-10411) on June 10, 2016. Hon. Joan N. Feeney presides over the case. Murphy & King professionals represents the Debtor as counsel. In its petition, the Debtor estimated $1 million to $10,000 million in assets and $10 million to $50 million in liabilities. The petition was signed by Bruce A. Erickson, CRO. No official committee of unsecured creditors has been appointed in the case. CCH JOHN EAGAN: Oct. 19 Plan Confirmation Hearing ------------------------------------------------- Judge Erik P. Kimball of the U.S. Bankruptcy Court for the Southern District of Florida conducted a hearing on August 31, 2016, to consider approval of the Second Amended Disclosure Statement for First Amended Plan of Reorganization for CCH John Eagan II Homes, L.P. The Court finds that the Disclosure Statement contains "adequate information" regarding the Plan in accordance with 11 U.S.C. Section 1125(a), and accordingly, the Disclosure Statement is approved. October 19, 2016, at 2:00 p.m., is scheduled as confirmation hearing and hearing on fee applications. The deadline for filing objections to claims is Oct. 5. The deadline for filing ballots accepting or rejecting the Plan is Oct. 12. The deadline for filing objections to confirmation is Oct. 14. The deadline for the Debtor to file a report of Plan Proponents and confirmation affidavit is Oct. 14. Prior to the Disclosure Statement hearing, the Debtor filed a First Amended Disclosure Statement dated Aug. 30, 2016, a full-text copy of which is available at http://bankrupt.com/misc/15-31082-381.pdf to include projections based on the two options provided by Class 5 claimants (Unsecured Claims of Trade Creditors) in the Plan. The First Amended Disclosure Statement provides projections based on 100% of Class 5 claimants selecting Option 1, projections based on 50% of Class 5 claimants selecting Option 1 and 50% selecting Option 2, and provides projections based on 100% of Class 5 claimants selecting Option 2. Class 5 Allowed Unsecured Claims of Trade Creditors may elect to be paid an amount equal to 90% of their Allowed Claim, without interest, within 90 days of the Effective Date, in full satisfaction of the claim, or may elect to be treated in accordance with the treatment provided for General Unsecured Claims in Class 8 of the Plan. Beginning one year following the Effective Date, Class 8 Class 8 Allowed General Unsecured Claimants will be paid equal monthly payments over the next 48 months totaling 100% of their Allowed General Unsecured Claim, without interest. About CCH John Eagan Headquartered in Palm Beach Gardens, Florida, CCH John Eagan II Homes, L.P., owns and operates a 180 unit multifamily apartment complex in Atlanta, Georgia commonly known as Magnolia Park Apartments Phase II. It filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case No. 15-31082) on Dec. 1, 2015, and is represented by Eric A. Rosen, Esq., at Fowler White Burnett, P.A. At the time of the filing, the Debtor estimated its assets at between $1 million and $10 million and liabilities at between $10 million and $50 million. Judge Erik P. Kimball presides over the case. The petition was signed by Yashpal Kakkar, managing member, CCH John Eagan II Partners, LLC, GP. CHC GROUP: Hires Sage-Popovich as Inventory Appraisers ------------------------------------------------------ CHC Group Ltd. and its debtor-affiliates seek authorization from the U.S. Bankruptcy Court for the Northern District of Texas to employ sage-popovich, inc. ("SPI") as inventory appraisers, nunc pro tunc to the August 8, 2016 retention date. The Debtors require SPI to: (a) perform on-site inspections at 8 major stations of the Company in 5 countries, with test counts at 50% by reported cost or estimated value, and audits of the Company to include inventory, certifications, manuals and tech library, evaluation of computer, security, fire and environmental protection systems, sampling of documents required for commercially reasonable trace, and a review of third party vendors (the "Physical Audit"). (b) prepare and present a report following the Physical Audit providing Fair Market Value, Net Orderly Liquidation Value, Forced Liquidation Value in US dollars for the Spare Parts and findings related to parts tracking, documentation, inventory levels, and overall systems. FMV, NOLV and FLV will be shown by location, fleet type, condition and by type of part. Tooling and other named ineligibles will be specifically excluded. NOLV will be figured for an 18 month time frame; FLV will be figured on an auction basis over 4 to 6 months. Further, the Report will track in transit and out for repair items, as reported by the Company, and report on the levels of same; (c) in addition, the Report will include: audit discussion, sampling results, recommendations, value definitions, value discussion, valuation methodology, parts excluded, market research, appraisal assumptions and limiting conditions, discussion of marketing time and exit strategy. SPI will be paid at these daily rates: Nick Popovich $3,500 Audit Team Leader $1,500 Consultants (domestic) $1,000 Consultants (international) $1,200 Support Staff $250 SPI will operate on a fixed fee of $320,000 for physical audit/report, plus reasonable out of pocket expenses. Those expenses will be charged as incurred, and include reimbursement for reasonable travel and out-of-pocket expenses including, but not limited to, airfares, hotels, meals, ground transport, parking, shipping, costs of reproduction, typing, wireless access, computer usage, legal counsel and other direct expenses. Air travel in excess of five hours will be in business class. The Debtors' non-Debtor affiliate 38286 Bermuda Ltd. paid SPI an initial retainer of $223,000. Brian Bolin, sales director of SPI, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. The Bankruptcy Court will hold a hearing on the application on September 22, 2016, at 9:00 a.m. Objections, if any, are due on September 15, 2016 at 4:00 p.m. SPI can be reached at: Brian Bolin SAGE-POPOVICH, INC. P.O. Box One Valparaiso, IN 46384 Tel: (219) 464-8320 About CHC Group Ltd. Headquartered in Irving, Texas, CHC is a global commercial helicopter services company primarily servicing the offshore oil and gas industry. CHC maintains bases on six continents with major operations in the North Sea, Brazil, Australia, and several locations across Africa, Eastern Europe, and South East Asia. CHC maintains a fleet of 230 medium and heavy helicopters, 67 of which are owned by it and the remainder are leased from various third-party lessors. CHC Group Ltd. and 42 of its wholly-owned subsidiaries each filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Tex. Case No. 16-31854) on May 5, 2016. As of Jan. 31, 2016, CHG had $2.16 billion in total assets and $2.19 billion in total liabilities. The Debtors have hired Weil, Gotshal & Manges LLP as counsel, Debevoise & Plimpton LLP as special aircraft counsel, PJT Partners LP as investment banker, Seabury Corporate Advisors LLC as financial advisor, CDG Group, LLC as restructuring advisor, and Kurtzman Carson Consultants LLC as claims and noticing agent. The Office of the U.S. Trustee on May 13, 2016, appointed five creditors of CHC Group Ltd. to serve on the official committee of unsecured creditors. CHICAGO ROAD: Wants to Employ Thomas W. Lynch P.C. as Counsel ------------------------------------------------------------- Chicago Road Corporation seeks authority from the U.S. Bankruptcy Court for the Northern District of Illinois to employ Thomas W. Lynch, P.C., as Counsel to the Debtor, nunc pro tunc to the Petition Date. As counsel, the Lynch Firm will: a. render legal advice with respect to the powers and duties of the Debtor-in-Possession; b. negotiate, draft, and pursue all documentation necessary in this case; c. prepare, on behalf of the Debtor, all applications, necessary pleadings, orders reports, and other legal papers with respect to this proceeding, and to render other legal services as may be necessary; d. perform necessary legal work regarding approval of the disclosure statement(s) and plan; e. appear in Court and protecting the interests of the Debtor before the Court; f. assist with any disposition of the Debtor's assets, by sale or otherwise; g. attend all meetings and negotiating with representatives of creditors, the United States Trustee, and other parties-in-interest; h. provide legal advice regarding bankruptcy law, corporate law, corporate governance, transactional, tax, labor, litigation, and other issues to the Debtor in connection with the Debtor's ongoing business operations; and i. perform other necessary legal work as required for this case. The current hourly rates of the Lynch Firm are: Professional Rate per hour ------------ ------------- Thomas W. Lynch $300 Laxmi P. Sarathy $300 Legal assistants/ $60 paralegals Prior to the Petition Date, the Lynch Firm received a total of $1,717 for filing fees and $1,100 for attorney's fees from Robert Terzich, President of the Debtor. Thomas W. Lynch assures the Court that his firm has no connections with the creditors, any other party in interest, their respective attorneys and accountants, the United States Trustee or any person employed in the office of the United States Trustee. The Lynch Firm can be reached at: Thomas W. Lynch, Esq. THE LAW OFFICES OF THOMAS W. LYNCH, P.C. 9231 S. Roberts Road Hickory Hills, IL 60457 Telephone: (708) 598-5999 Facsimile: (708) 598-6299 E-mail: twlpc@worldnet.att.net About Chicago Road Chicago Road Corporation is an active Illinois Corporation that owns a movie theater/ entertainment center located in Dolton, Illinois. Chicago Road filed a chapter 11 petition (Bankr. N.D. Ill. Case No. 16-26185) on August 15, 2016. CHRISTOPHER COLLINS: Oct. 13 Plan Confirmation Hearing ------------------------------------------------------ Judge K. Rodney May of the U.S. Bankruptcy Court for the Middle District of Florida issued an order conditionally approving the disclosure statement explaining Christopher R. Collins' Chapter 11 plan of reorganization. Any written objections to the Disclosure Statement must be filed no later than seven days prior to the date of the hearing on confirmation. If no objections are filed within the time fixed, the conditional approval of the Disclosure Statement will become final. Any objections or requests to modify the Disclosure Statement will be considered at the Confirmation Hearing. The court will conduct a hearing on confirmation of the Plan, including timely filed objections to confirmation, objections to the disclosure statement, motions for cramdown, applications for compensation, and motions for allowance of administrative claims on October 13, 2016, at 11:00 a.m. An election of application of Bankruptcy Code Section 1111(b)(2) by a class of secured creditors may be made at any time prior to the conclusion of the Confirmation Hearing. The hearing may be adjourned from time to time by announcement made in open court without further notice. If the Plan is not confirmed, the court will also consider dismissal or conversion of the case. At the hearing, in a small business case, the debtor may seek to extend the time for confirmation of the plan, pursuant to the provisions of 11 U.S.C. Section 1121(e). Parties in interest must submit their written ballot accepting or rejecting the Plan no later than eight days before the date of the Confirmation Objections to confirmation must be filed with the court no later than seven days before the date of the Confirmation Hearing. The Debtor must file a ballot tabulation no later than three days before the date of the Confirmation Hearing. All creditors and parties in interest that assert a claim against the Debtor, which arose after the filing of the Chapter 11 case, including all professionals seeking compensation from the estate of the Debtor pursuant to Bankruptcy Code Section 330, must file motions or applications for the allowance of those claims with the court no later than fourteen days after the entry of this order. Applications for payment of administrative expenses will be heard at same date and time as the Confirmation Hearing if the applicant has served notice of the hearing on the application (expressly stating the total amount requested) on all creditors at least 21 days before the hearing. Three days prior to the Confirmation Hearing, the Debtor must file a confirmation affidavit which will contain the factual basis upon which the Debtor relies in establishing that each of the requirements of Bankruptcy Code Section 1129 are met. The bankruptcy case is In re: Christopher R. Collins, Case No. 8-15-bk-10581-KRM (Bankr. M.D. Fla.). CHRISTOPHER MARTIN RIDGEWAY: Sept. 19 Disclosure Statement Hearing ------------------------------------------------------------------ The U.S. Bankruptcy Court for the Eastern District of Louisiana held a hearing on the disclosure statement explaining Christopher Martin Ridgeway's plan on Sept. 6, 2016. Appearances were made by Robin Cheatham, Esq., counsel for Debtor, Cherie Nobles, Esq., counsel for Stryker Corporation and Howmedica Osteonics, Corp., Leann Moses, Esq., counsel for Whitney Bank, and Mary Langston, Esq., counsel for the United States Trustee. The Court at the conclusion of the hearing directed the Debtor to file a redline version of his Amended Disclosure Statement no later than Sept. 13. Objections to the Amended Disclosure Statement must be filed no later than Sept. 15. A hearing on the approval of the Amended Disclosure Statement will be held on Sept. 19, at 2:00 p.m. A confirmation hearing is tentatively set for Oct. 26, at 9:00 a.m. Christopher Martin Ridgeway filed a Chapter 11 bankruptcy petition (Bankr. E.D. La. Case No. 16-10643) on March 23, 2016, and is represented by Robin B. Cheatham, Esq., at Adams & Reese LLP, in New Orleans, Louisiana. CHURCH HILL: Seeks Authorization to Use FTB Cash Collateral ----------------------------------------------------------- Church Hill Emergency Medical Services, Inc., asks the U.S. Bankruptcy Court for the Eastern District of Tennessee for authorization to use cash collateral. The Debtor is indebted to First Tennessee Bank in the amount of $887,573 as of the Petition Date. The Debtor relates that it has yet to determine if First Tennessee Bank has an interest in the monies which it seeks the Court's permission to use. The Debtor further relates that to the extent First Tennessee Bank has an interest in such monies, the monies constitute cash collateral. The Debtor proposes to grant First Tennessee Bank a security interest in all of the Debtor's assets in which First Tennessee Bank held a prepetition lien or secured interest, to the extent of the priority of First Tennessee Bank's prepetition liens and to the extent of the Debtor's use of cash collateral following the Petition Date. The Debtor wants to use is cash and/or cash generated from the postpetition collection of its accounts for the month of September 2016, to pay for expenses such as telephone service, in the amount of $1,286, water in the amount of $180, and electricity in the amount of $600, among others. A full-text copy of the Debtor's Motion, dated Sept. 2, 2016, is available at https://is.gd/dt0B4i First Tennessee Bank is represented by: Robert C. Goodrich, Jr., Esq. BURR & FOREMAN, LLP 511 Union Street Nashville, TN 37219 Email: bgoodrich@burr.com About Church Hill Emergency Medical Services, Inc. Church Hill Emergency Medical Services, Inc. filed a chapter 11 petition (Bankr. E.D. Tenn. Case No. 16-51275) on August 30, 2016. The petition was signed by Mark Johnson, director. The Debtor is represented by Mark S. Dessauer, Esq., at Hunter, Smith & Davis. The case is assigned to Marcia Phillips Parsons. The Debtor disclosed total assets at $1.46 million and total debts at $840,000 as of August 25, 2016. CLEAR CREEK RETIREMENT: U.S. Trustee Forms 5-Member Committee ------------------------------------------------------------- Gail Brehm Geiger, Acting U.S. Trustee for Region 18, on Sept. 6 appointed five creditors to serve on the official committee of unsecured creditors of Clear Creek Retirement Plan II LLC. The committee members are: (1) Barbara J. Morrett E-mail: Bmorrrett12@gmail.com (2) Robert L. Doremus Sound Investments P.O. Box 2661 Gig Harbor, WA 98335 Tel: (253) 307-3725 Fax: (253) 858-2313 E-mail: bob@sound-investments.com (3) Grant Brooker Bennett Truck Transport, LLC 1001 Industrial Parkway McDonough, GA 30253 Tel: (770) 914-2718 Fax: (678) 569-1265 E-mail: grant.brooker@bennettig.com (4) George Makari E-mail: gmakari@yahoo.com (5) Leonard Glaser Glaser Family Limited Partnership 5414 NE 81st Ave, Apt 313T Vancouver, WA 98862 Tel: (360) 896-0100 Fax: (360) 896-0828 E-mail: lglaser@ransier.com Official creditors' committees have the right to employ legal and accounting professionals and financial advisors, at a debtor's expense. They may investigate the debtor's business and financial affairs. Importantly, official committees serve as fiduciaries to the general population of creditors they represent. About Clear Creek Clear Creek Retirement Plan II LLC sought protection under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the Western District of Washington (Tacoma) (Bankr. W.D. Wash., Case No. 16-40547) on Feb. 12, 2016. The petition was signed by Rusty D. Fields, manager. The Debtor is represented by John R. Rizzardi, Esq., at Cairncross & Hempelmann, P.S. The case is assigned to Judge Brian D. Lynch. The Debtor disclosed total assets of $9.88 million and total debts of $8.56 million. COBALT INTERNATIONAL: Employs Legal and Financial Advisors ---------------------------------------------------------- Cobalt International Energy, Inc., announced that it has retained Goldman, Sachs & Co. and Lazard Ltd, as financial advisors, and Davis Polk & Wardwell LLP and Kirkland & Ellis LLP, as legal advisors, to assist the Company in analyzing and evaluating potential strategic alternatives and initiatives to improve liquidity, including the Company's previously announced plans to sell its Angolan assets, as disclosed in a Form 8-K report with the Securities and Exchange Commission. About Cobalt Cobalt International Energy, Inc. is an independent exploration and production company with operations currently focused in the deepwater U.S. Gulf of Mexico. In January 2016, the Company achieved initial production of oil and gas from the Heidelberg field. The Company's exploration efforts in the U.S. Gulf of Mexico have resulted in four oil and gas discoveries including the North Platte, Shenandoah, Anchor, and Heidelberg fields, each of which are in various stages of appraisal and development. The Company also has a non-operated interest in the Diaba Block offshore Gabon. As of June 30, 2016, Cobalt had $3.84 billion in total assets, $2.64 billion in total liabilities and $1.19 billion in total stockholders' equity. The Company reported a net loss of $694.42 million in 2015, a net loss of $510.76 million in 2014 and a net loss of $589.02 million in 2013. COLUCCI TILE: Exclusive Plan Filing Period Extended to Oct. 10 -------------------------------------------------------------- Judge Gregory L. Taddonio of the U.S. Bankruptcy Court for the Western District of Pennsylvania extended Colucci Tile and Marble, Inc.'s exclusive period to file a chapter 11 plan and disclosure statement to October 10, 2016. The Debtor previously sought the extension of its exclusive period to file a chapter 11 plan and disclosure statement, contending that it needed additional time to present a viable Plan of Reorganization despite having met all operating requirements since filing for protection under Chapter 11. About Colucci Tile and Marble, Inc. Colucci Tile and Marble, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Pa. Case No. 16-21389) on April 12, 2016. The petition was signed by Carl J. Hilbert, president. The case is assigned to Judge Gregory L. Taddonio. At the time of the filing, the Debtor estimated its assets at $100,000 to $500,000, and debts at $1 million to $10 million. COMSTOCK RESOURCES: S&P Lowers Rating on Sr. Secured Notes to 'D' ----------------------------------------------------------------- S&P Global Ratings said that it lowered its issue-level rating on exploration and production company Comstock Resources Inc.'s 10% senior secured notes due 2020 to 'D' from 'B'. The recovery rating remains '2' indicating S&P's expectation of substantial (70% to 90%, lower half of the range) recovery in the event of the default. The issue-level rating on the company's 7.75% and 9.5% senior unsecured notes due 2019 and 2020 respectively, remains 'D' (recovery rating: '6'). The corporate credit rating on Comstock remains 'SD'. The downgrade of the 10% senior secured notes follows the Sept. 6, 2016, closing of an exchange offer involving the company's secured and unsecured notes. The new senior secured notes will mature in 2020 and bear interest at the rate of 10% per year, if the company elects to pay in cash, or 12.25% per year if the company elects to pay interest in kind (PIK). S&P views the exchange as distressed as holders of the new notes may receive interest at a later date than originally promised if the PIK feature is exercised by the company. S&P expects to review the corporate credit rating and issue-level ratings on the new and old debt issues when S&P assess the likelihood of further debt exchanges as low. S&P's analysis will incorporate the company's new capital structure and current liquidity position, while still taking into account its challenging operating environment and high leverage. RATINGS LIST Comstock Resources Inc. Corporate credit rating SD/--/-- Rating Lowered Comstock Resources Inc. To From Sr secd 10% notes due 2020 D B Recovery rating 2L 2L CONGREGATION ACHPRETVIA: Wants Jan. 11 Plan Exclusivity Extension ----------------------------------------------------------------- Congregation Achpretvia Tal Chaim Shar Hayushor, Inc. asks the U.S. Bankruptcy Court for the Southern District of New York to extend its exclusive periods to file a plan of reorganization and solicit acceptances to the plan, to January 11, 2017 and March 10, 2017, respectively. The Debtor's current Exclusivity Period and Acceptance Period expire on September 13, 2016 and November 10, 2016, respectively. The Debtor relates that since the Petition Date, the Debtor has been focused on defending itself against 163 East 69 Realty and preserving the Property for the Debtor’s estate and its creditors. The Debtor further relates that it removed the State Court Action to the Bankruptcy Court, to have the Bankruptcy Court make a determination as to whether the Prepetition Contract is valid or can be rescinded. In response, 163 East 69 Realty filed a Motion to Dismiss seeking to dismiss the Debtor’s chapter 11 case, or in the alternative, abstain from hearing the State Court Action and have it remanded to the Supreme Court. The Debtor contends that it has determined, together with 163 East 69 Realty, that it was in their best interests to seek a settlement of the Motion to Dismiss rather than continue with an evidentiary hearing in front of the Bankruptcy Court. The Debtor further contends that it had agreed in principle with 163 East 69 Realty to resolve the Motion to Dismiss by remanding the State Court Action to the Supreme Court to determine the validity of the Prepetition Contract or, in the alternative, to seek a determination from the Attorney General as to whether the Prepetition Contract is valid. The Debtor adds that its counsel and 163 East 69 Realty's counsel are still in the process of documenting the settlement and once the settlement is finalized, the parties will present the settlement to the Court for approval. The Debtor tells the Court that upon a determination of the Prepetition Contract, whether from the Supreme Court or the Attorney General, the Debtor will then be in a position to determine its reorganization possibilities. About Congregation Achpretvia Tal Chaim Shar Hayushor, Inc. Congregation Achpretvia Tal Chaim Sharhayu Shor, Inc., in Brooklyn, New York, filed for Chapter 11 bankruptcy protection (Bankr. S.D.N.Y. Case No. 16-10092) on Jan. 15, 2016. The petition was signed by Harold Friedlander, vice president. Judge Michael E. Wiles presides over the case. Arnold Mitchell Greene, Esq., at Robinson Brog Leinwand Greene Genovese & Gluck P.C., serves as the Debtor's counsel. The Congregation listed total assets of $18 million and total liabilities of $472,502. CORNED BEEF EXPRESS: Hires Robinson Brog as Counsel --------------------------------------------------- Corned Beef Express, LLC asks for permission from the Hon. Shelley C. Chapman of the U.S. Bankruptcy Court for the Southern District of New York to employ Robinson Brog Leinwand Greene Genovese & Gluck P.C. as counsel, effective July 22, 2016. The Debtor requires Robinson Brog to: (a) provide advice to the Debtor with respect to its powers and duties under the Bankruptcy Code in the continued operation of its business and the management of its property; (b) negotiate with creditors of the Debtor, preparing a plan of reorganization and taking the necessary legal steps to consummate a plan, including, if necessary, negotiations with respect to financing a plan; (c) appear before the various taxing authorities to work out a plan to pay taxes owing in installments; (d) prepare on the Debtor's behalf necessary applications, motions, answers, replies, discovery requests, forms of orders, reports and other pleadings and legal documents; (e) appear before this Court to protect the interests of the Debtor and its estate, and representing the Debtor in all matters pending before this Court; (f) perform all other legal services for the Debtor that may be necessary herein; and (g) assist the Debtor in connection with all aspects of this chapter 11 case. Robinson Brog will be paid at these hourly rates: Shareholders $450-$665 Associates $365-$465 Paralegals $175-$300 Robinson Brog will also be reimbursed for reasonable out-of-pocket expenses incurred. Robinson Brog will receive its customary fees, subject to the submission of appropriate applications and the approval of the Court. Prior to the Petition Date, Robinson Brog received one payment from the Debtor totaling $21,717, which included the $1,717 filing fee, of which $4,384.50 was expended in pre-filing counseling and then in preparing the petitions and other documents for filing with the Court. Accordingly, as of the Petition Date, Robinson Brog holds a retainer of $15,615.50 for the Debtor. A. Mitchell Greene, shareholder of Robinson Brog, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. Robinson Brog can be reached at: A. Mitchell Greene, Esq. ROBINSON BROG LEINWAND GREENE GENOVESE & GLUCK P.C. 875 Third Avenue New York, NY 10022 Tel: (212) 603-6399 Fax: (212) 956-2164 E-mail: amg@robinsonbrog.com Corned Beef Express, LLC, filed a Chapter 11 bankruptcy petition (Bankr. S.D.N.Y. Case No. 16-12096) on July 22, 2016. The Debtor is represented by Arnold Mitchell Greene, Esq. of Robinson Brog Leinwand Greene Genovese & Gluck, P.C. In its petition, the Debtor estimated $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. CORNERSTONE TOWER: Seeks Nov. 9 Plan Exclusivity Extension ---------------------------------------------------------- Cornerstone Tower Service, Inc. asks the U.S. Bankruptcy Court for the District of Nebraska to extend its exclusive period to file its Plan and Disclosure Statement to November 9, 2016. The Debtor relates that its Plan and Disclosure was due on September 10, 2016. The Debtor further relates that it is continuing efforts to resolve claims of various creditors and has not yet completed those resolutions. About Cornerstone Tower Service, Inc. Headquartered in Grand Island, Nebraska, Cornerstone Tower Service, Inc., filed for Chapter 11 bankruptcy protection (Bankr. D. Neb. Case No. 16-40787) on May 13, 2016. The petition was signed by James Scheer, president. Judge Thomas L. Saladino presides over the case. John C. Hahn, Esq., at Jeffrey, Hahn, Hemmerling & Zimmerman serves as the Debtor's bankruptcy counsel. The Debtor estimated assets at $1 million to $10 million and liabilities at $1 billion to $10 billion. The Office of the U.S. Trustee apppointed IRZ Consulting LLC, Towerkraft Engineering, P.C., and Paulsen Inc. to serve on the Official Committee of Unsecured Creditors. DAVID FAIRWEATHER: U.S. Trustee Directed to Appoint Ch. 11 Trustee ------------------------------------------------------------------ The United States Bankruptcy Court for the District of Maryland issued an order granting the U.S. Trustee's Motion to Direct Appointment of Chapter 11 Trustee in the Chapter 11 case of David Fairweather and Jane L. Fairweather. The bankruptcy case is In re: DAVID FAIRWEATHER, Case No. 14-18615-TJC and JANE L. FAIRWEATHER, Case No. 14-20847-TJC (Bankr. D. Md.). DELL TECHNOLOGIES: S&P Assigns 'BB+' CCR, Outlook Stable -------------------------------------------------------- S&P Global Ratings said that it assigned its 'BB+' corporate credit rating to Round Rock, Texas-based Dell Technologies Inc. The rating outlook is stable. At the same time, S&P affirmed its 'BB+' corporate credit on Dell Inc. and subsequently withdrew the rating at the company's request. S&P's rating on Dell reflects S&P's view that the combined Dell and EMC Corp. entity would be one of the largest technology companies globally, with leadership positions across the PC, servers, storage, and virtualization software markets, and improved sales channels covering small to midsize businesses and large enterprises. Offsetting factors include the combined company's high pro forma adjusted leverage of about 4x; the integration risks, albeit moderate, that the business combination poses; and the weaker PC, storage and virtualization software business growth prospects due to a delayed PC refresh cycle and the enterprise businesses' ongoing transitioning of their IT infrastructure to cloud service providers from their private data centers. The rating also reflects Dell's commitment to repay debt with proceeds from noncore asset sales and free operating cash flow (FOCF) generation, such that pro forma adjusted leverage would decline from the current 4x level. The EMC acquisition follows Dell's leveraged buyout (LBO) by its founder and CEO Michael Dell and Silver Lake Partners in October 2013 for approximately $25 billion. Dell has been successful in its deleveraging plan, with leverage of about 2x as of fiscal year ended Jan. 29, 2016, down from pro forma leverage in the 5x area at the time of the LBO transaction. "The stable outlook indicates our expectation that Dell will be able to successfully integrate its acquisition of EMC, maintain market leadership in its product categories, and achieved identified cost savings, leading to leverage declining to the low- to mid-3x area within 12-18 months," said S&P Global Ratings' credit analyst David Tsui. S&P would lower its corporate credit rating on Dell if the company's business conditions deteriorate significantly or if it encounters acquisition integration challenges, leading to materially weaker-than-expected revenue growth and profitability, and adjusted leverage exceeding 4x. S&P would raise its rating on Dell by one notch to 'BBB-' if the company is able to execute its plan of achieving the targeted cost savings and repay debt, leading to leverage sustained below 3x, while committing to a financial policy that would preclude it from taking on incremental debt that would jeopardize its investment-grade ('BBB-' and above) debt ratings. DODGE CITY VETERINARY: Wants Nov. 7 Plan Exclusivity Extension -------------------------------------------------------------- Dodge City Veterinary Hospital, Inc. asks the U.S. Bankruptcy Court for the Middle District of Louisiana to extend its exclusive periods to file a chapter plan and solicit acceptances to the plan, to November 7, 2016 and January 6, 2017, respectively. The Debtor's exclusive period to file a Plan expired on September 8, 2016. The Debtor's exclusive period to obtain acceptances of the Plan currently expires on November 7, 2016. The Debtor tells the Court that Livingston Parish, where the Debtor's real and personal property necessary to conduct its business is located, experienced severe flooding. The Debtor further tells the Court that its building had considerable structural damage, and that much of its equipment, furniture and fixtures was damaged or destroyed. The Debtor adds that some business records were lost or misplaced. The Debtor contends that it was negotiating a sale of substantially all of its assets to an unrelated third party, and that the negotiations were suspended due to the flood. The Debtor further contends that the sale would allow for a cash payment of approximately 70% of the total debt at closing. The Debtor says that the buyer has expressed that it still wishes to pursue the sale and is suspending negotiations pending an assessment of the damage, determination of insurance coverage, and other effects on the business. About Dodge City Veterinary Hospital, Inc. Headquartered in Denham Springs, Louisiana, filed for Chapter 11 bankruptcy protection (Bankr. M.D. La. Case No. 16-10559) on May 11, 2016. The petition was signed by Scott F. Smith, president. Judge Douglas D. Dodd presides over the case. Michael B. Grissom, Esq., at B. Michael Grissom, Attorney at Law, serves as the Debtor's bankruptcy counsel. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. DOMINION STEEL: Hires Waldron & Schneider as General Counsel ------------------------------------------------------------ Dominion Steel Specialties, Inc. seeks authorization from the Hon. David R. Jones of the U.S. Bankruptcy Court for the Southern District of Texas to employ Waldron & Schneider, LLP as general counsel. The Debtor requires Waldron & Schneider to: (a) assist the Debtor in the counseling and professional advice regarding continued operation of its business and management of its property and duties and responsibilities as a Debtor; (b) assist the Debtor in preparing on behalf of Debtor all necessary applications, notices, answers, adversaries, orders, reports and other legal papers; (c) assist the Debtor in negotiation of a Plan satisfactory to parties in interest, and to prepare a Disclosure Statement which will be submitted to parties in interest; and (d) assist the Debtor in performing all other legal services for Debtor which may be necessary and appropriate. Waldron & Schneider will be paid at these hourly rates: Attorneys $185-$300 Paraprofessionals $110 Waldron & Schneider will also be reimbursed for reasonable out-of-pocket expenses incurred. Kimberly A. Bartley, partner of Waldron & Schneider, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. Waldron & Schneider can be reached at: Kimberly A. Bartley, Esq. WALDRON & SCHNEIDER, L.L.P. 15150 Middlebrook Drive Houston, TX 77058 Tel: (281) 488-4438 Fax: (281) 488-4597 E-mail: kbartley@ws-law.com About Dominion Steel Specialists Dominion Steel Specialists, Inc. filed a chapter 11 petition (Bankr. S.D. Tex. Case no. 16-34107) on August 18, 2016. The petition was signed by Robert R. Comeaux, Jr., president. The case is assigned to Judge David R. Jones. The Debtor is represented by Kimberly Anne Bartley, Esq., at Waldron & Schneider, L.L.P. The Debtor disclosed total assets at $3.39 million and total liabilities at $3.09 million. DOMINION STEEL: Names William West as Accountant ------------------------------------------------ Dominion Steel Specialties, Inc. asks for authorization from the U.S. Bankruptcy Court for the Southern District of Texas to employ William G. West, P.C., CPA as accountant. The Debtor requires the accountant to: (a) prepare monthly operating reports as required; and (b) reconstruct the books and records of the Debtor to the extent necessary in order to prepare reports and provide accounting advice. William G. West will be the lead accountant in the case. The accountant will be paid at these hourly rates: William G. West $300 Roger D. Martin $260 William A. Potter $230 Paraprofessionals $125 The accountant will also be reimbursed for reasonable out-of-pocket expenses incurred. William West assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. The accountant can be reached at: William G. West WILLIAM G. WEST, P.C., C.P.A. 12345 Jones Road, Suite 214 Houston, TX 77070 Tel: (281) 807-7811 About Dominion Steel Specialists Dominion Steel Specialists, Inc. filed a chapter 11 petition (Bankr. S.D. Tex. Case no. 16-34107) on August 18, 2016. The petition was signed by Robert R. Comeaux, Jr., president. The case is assigned to Judge David R. Jones. The Debtor is represented by Kimberly Anne Bartley, Esq., at Waldron & Schneider, L.L.P. The Debtor disclosed total assets at $3.39 million and total liabilities at $3.09 million. DRM SALES: Online Auction of Assets on Oct. 15 Approved ------------------------------------------------------- Judge Ronald B. King of the U.S. Bankruptcy Court for the Western District of Texas authorized DRM Sales & Supply, LLC, and affiliates to sell personal property at an auction to be conducted by PPL Group, LLC, on Oct. 15, 2016. The sale is free and clear of any and all liens. The Debtor owns various pieces of equipment and machinery it uses in its business operations. This equipment and machinery include front loaders, fork-lifts, welder equipment, pipe racks, and pipe cat walks. The Debtor also owns office furniture and equipment will be included with the auction ("Estate Assets"). The Debtor will also include in the auction any vehicles not previously sold in accordance with the Debtor's Motion for Authority to Sell Personal Property of the Estate or turned over to Community National Bank in accordance with the Global Settlement and Liquidation Agreement ("Vehicles"). DRM Transportation Services, LLC, an affiliate of the Debtor, will likewise place trucks, tractors, trailers, and other machinery and equipment into the auction ("DRM Transportation Assets"). Judge King authorized the Debtor and DRM Transportation Services, LLC to sell the Estate Assets, Vehicles, and DRM Transportation Assets through an auction conducted by the PPL Group and in accordance with the auction agreement. With respect to any ad valorem taxes for calendar year 2015 and prior related to the property described in the Debtors' Motion that have not been objected to prior to or at the time of the sale, such amount will be paid at or prior to the closing from the sale proceeds or the Debtors will provide evidence to the Taxing Authorities relating to resolution of any disputed taxes at a prior contested judicial or administrative proceeding. The tax liens for all tax years including 2016 will attach to the sale proceeds. With respect to the estimated amount of ad valorem taxes for calendar year 2016 related to the property described in the Debtors' Motion, the 2016 estimated ad valorem taxes will be calculated for escrow purposes by multiplying the tax rate for the Taxing Authority by the sales price of the personal property, and such amount will be escrowed ("Tax Escrow") by the Debtors pending resolution (by agreement, including the consent of Community National Bank, or Court order) of the amounts owed and of the priority of the respective Taxing Authorities' liens. The amount of the Tax Escrow will not be dispositive of the amount of the Taxing Authorities' claims, and all rights of the Debtors and their estates to challenge the amount of such claims are hereby reserved. In addition, the holders of ad valorem property tax liens retain all of their state-law rights to enforce the liens that secure the 2016 taxes and to pursue collection of all amounts owed pursuant to state law if the 2016 taxes are not timely paid. The 14 day stay provided by Rule 6004(h) of the Federal Rules of Bankruptcy Procedure is waived. About DRM Sales & Supply DRM Sales & Supply, LLC's business consists of buying and distributing steel casing pipe, tubing, and other such supplies used in the drilling operations of oil rigs engaged in the exploration for oil and gas throughout the United States. DRM Sales & Supply sought Chapter 11 protection (Bankr. W.D. Tex. Case No. 16-70028) in Midland, Texas, on Feb. 26, 2016. David R. Langston, Esq., at Mullin Hoard & Brown, L.L.P., serves as counsel to the Debtor. The Debtor estimated assets of $1 million to $10 million and debt of $10 million to $50 million. DYNCORP INTERNATIONAL: S&P Affirms 'CCC+' CCR; Outlook Stable ------------------------------------------------------------- S&P Global Ratings said it revised the rating outlook on DynCorp International Inc. to stable from positive. At the same time, S&P affirmed its ratings, including the 'CCC+' corporate credit rating, on the company. The outlook revision reflects S&P's belief that the recent loss of the INL-Air Wing contract will make it more difficult for DI to achieve S&P's expectations of revenue and earnings growth over the next few years, reducing the likelihood of an upgrade. On Sept. 1, 2016, the company was notified by the State Dept. that the new INL-Air Wing contract, which could be worth up to $10 billion over the up to 11-year contract term, was being awarded to a competitor, AAR Corp. INL-Air Wing is a major contract for DI and although the current contract expires in October 2016, the company is negotiating with the State Dept. for an extension through October 2017. "The stable rating outlook reflects the improved liquidity following the recent refinancing and expectations of fairly stable revenues and higher margins over the next 12 months," said S&P Global Ratings credit analyst Christopher Denicolo. "We expect credit ratios to remain weak in 2016, with debt to EBITDA of 8.5x-9.5x, but to improve with higher earnings as less profitable contracts end and are replaced with new business. However, there is some uncertainty around our forecast because it depends on new business wins, which may be difficult in the very competitive government services market." S&P could raise the rating if DI is ultimately able to retain the INL-Air Wing contract, win new business, improve margins, and reduce debt such that debt to EBITDA declines below 8x and S&P no longer believes the company's leverage is unsustainable. S&P could lower the rating if the company is not winning new business as expected, resulting in liquidity deteriorating significantly. EDUARDO MENDOZA: Hires Nelson Robles-Diaz as Counsel ---------------------------------------------------- Eduardo Mendoza Corporation seeks authorization from the U.S. Bankruptcy Court for the District of Puerto Rico toe employ Nelson Robles-Diaz Law Offices, P.S.C. as counsel. The Debtor requires Robles-Diaz to: (a) prosecute the motions and applications filed; (b) advise/represent the Debtor with respect to its duties, rights and powers; (c) advise/represent the Debtor in negotiations with creditors; (d) advise/represent the Debtor in analyzing the claims; (e) advise/represent the Debtor with respect to its various investigations of claims, causes of action and other matters; (f) advise/represent the Debtor with respect to any negotiations and litigation that may be necessary, and at hearings and other proceedings; (g) advise/represent the Debtor with respect to pleadings and applications as may be necessary in furtherance of the Debtor's interests and objectives; and (h) advise/representing the Debtor with respect to such other matters as may be required and are deemed to be in the interests of the Debtor in accordance with the applicable law. Robles-Diaz will be paid at these hourly rates: Nelson Robles-Diaz $250 Paralegals and Law Clerks $40-$50 Robles-Diaz will also be reimbursed for reasonable out-of-pocket expenses incurred. The Debtor and Robles-Diaz agreed on a $12,000 retainer. Nelson Robles-Diaz assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. Nelson Robles-Diaz can be reached at: Nelson Diaz Robles, Esq. NELSON ROBLES-DIAZ LAW OFFICES PSC P.O. Box 192302 San Juan, PR 00912 Tel: (787) 294-9518 Fax: (787) 294-9519 E-mail: nroblesdiaz@gmail.com Eduardo Mendoza Corporation, filed a Chapter 11 bankruptcy petition (Bankr. D.P.R. Case No. 16-06672) on August 22, 2016, disclosing under $1 million in both assets and liabilities. The Debtor is represented by Nelson Robles Diaz, Esq. EMR ELECTRIC: Asks for Sept. 27 Plan Filing Period Extension ------------------------------------------------------------ EMR Electric Motor Rewind, L.P. and EMR Holdings, L.L.P. ask the U.S. Bankruptcy Court for the Southern District of Texas to extend their exclusive periods to file a chapter 11 plan and solicit acceptances to the plan, to September 27, 2016 and December 31, 2016, respectively. The Debtors' current exclusive filing period was slated to expire on September 8, 2016. Their current exclusive solicitation period is set to expire on November 7, 2016. The Debtors relate that prior to the Petition Date and throughout their cases, they have diligently evaluated, in consultation with their professionals, a number of options to address their financial issues. The Debtors further relate that these efforts included engaging in discussions regarding restructuring the Debtors' businesses and balance sheet. The Debtors believe that they can become a profitable enterprise and propose a feasible, confirmable plan of reorganization. The Debtors tell the Court that they need additional time to finalize their plan of reorganization. The Debtors further tell the Court that they have consulted with New Century Financial, their largest alleged creditor, and New Centurty Financial does not oppose the requested extension. About EMR Electric Motor Rewind, L.P. Headquartered in Corpus Christi, Texas, EMR Electric Motor Rewind, L.P., is a manufacturing and equipment repair company. EMR Holdings, L.L.P., owns 99% of EMR Electric Motor Rewind, L.P. EMR Electric Motor Rewind, L.P. -- fdba Electric Motor Rewind, LP, EMR Electrical Group, Inc., fdba Electric Motor Rewind, Inc., fdba EMR Energy Services Management, Inc., fdba EMR Energy Services, L.P. -- filed for Chapter 11 bankruptcy protection (Bankr. S.D. Tex. Case No. 16-20184) on May 11, 2016. At the time of the filing, EMR Electric Motor estimated both assets and liabilities in the range of $1 million to $10 million. EMR Holdings estimated assets of $0 to $50,000 and debts of $1 million to $10 million. The Chapter 11 petitions were signed by Raymond Lopez, authorized representative. Judge Marvin Isgur presides over the case. William B Kingman, Esq., at the Law Offices of William B. Kingman, PC, serves as the Debtors' bankruptcy counsel. ENERGY FUTURE: Computershare Says Outline Vague on Make-Whole Term ------------------------------------------------------------------ Computershare Trust Company, N.A., and Computershare Trust Company of Canada, in its capacity as indenture trustee for the EFIH Second Lien notes issued by Energy Future Intermediate Holding Company LLC and EFIH Finance Inc. pursuant to the Indenture dated as of April 25, 2011, on Sept. 7, 2016, filed an objection to the Disclosure Statement explaining the Disclosure Statement for Energy Future Holdings Corp.'s Third Amended Joint Plan of Reorganization. The EFIH Second Lien Trustee and the ad hoc group of EFIH Second Lien Noteholders tell the Court that they have been working constructively with the Debtors and NextEra on the terms of a settlement that would enable the EFIH Second Lien Noteholders to support a modified Plan. Those negotiations continue in earnest, and while the EFIH Second Lien Trustee and the ad hoc group of EFIH Second Lien Noteholders are hopeful that a final resolution can be reached, the parties have not yet executed definitive documentation. As a result, the EFIH Second Lien Trustee is constrained to file this objection to the current version of the Disclosure Statement on file. As currently drafted, Computershare continues, the Disclosure Statement contains numerous ambiguous provisions and fails to provide adequate information regarding the specifics of the treatment of the EFIH Second Lien Notes (who are impaired under the Plan) and the ability of the EFIH Second Lien Trustee and the EFIH Second Lien Noteholders to collect on their Allowed EIFH Second Lien Note Claims. Absent additional disclosure on each of these points, the Disclosure Statement currently cannot be approved. Under the terms of the Plan, the EFIH Second Lien Notes are deemed impaired under the Plan and are entitled to vote. Pursuant to section 1124 of the Bankruptcy Code, a claim is impaired if it alters the "legal, equitable, and contractual rights to which such claim or interest entitles the holder." The Disclosure Statement, however, fails to provide any information as to how the EFIH Second Lien Notes are impaired under the Plan or the effect of the impairment and the means of collection on allowed EFIH Second Lien Note Claims. Computershare relates that through discussions with the Debtors, the EFIH Second Lien Trustee understands that the "impairment" arises because the liens securing the EFIH Second Lien Notes will be released on the Effective Date and the notes will be cancelled. The Debtors provide no legal basis for doing so without the consent of the EFIH Second Lien Noteholders, and it is not clear how the Debtors will be able to "cram-down" a rejecting class of EFIH Second Lien Noteholders while still releasing their liens. To provide holders of EFIH Second Lien Note Claims with the requisite adequate information to vote on the Plan, the Disclosure Statement should clearly explain that the Debtors intend to release the EFIH Second Lien Noteholders liens on the Effective Date -- as well as any other legal, contractual, or equitable rights being impacted under the Plan. Computershare contends the Disclosure Statement should also identify the effect of any such impairment -- including how the release of liens and cancellation of the EFIH Second Lien Notes impacts the EFIH Second Lien Trustee's ability to prosecute the pending appeal of the Makewhole Claim, defend the appeal in the Intercreditor Litigation and manage any distributions it may need to hold back on account of the Intercreditor Litigation. Matt Chiappardi, writing for Bankruptcy Law360, reported that several EFH noteholders contend that the language in the Disclosure Statement could undermine their appeal of nearly $1 billion in make-whole claims the bankruptcy court has rejected. Computershare explained that the current Plan stripped the important language in the Original Confirmed Plan -- which was negotiated between the Debtors and the EFIH Second Lien Indenture Trustee -- that clarified that the EFIH Second Lien Notes and the EFIH Second Lien Indenture would remain in full force and effect post-Effective Date to pursue the Makewhole Claim and any other claims with respect to the pending litigation and appeals. Instead, the current Plan only provides that the cancellation of notes will not impact the ability of indenture trustees to appear in the Chapter 11 Cases or any proceeding in which they are a party, provided this provision does not affect the discharge of claim or result in any expense or liability to the Debtors. To the extent the Debtors intend, through the Plan, to abrogate the EFIH Second Lien Trustee's rights in the pending Intercreditor Litigation, the appeal of the Makewhole Claim, or any other claims or rights arising under the Indenture, this information needs to be directly and explicitly disclosed. Under the Plan, the Reorganized Debtors have agreed to assume liability for payment of the EFIH Second Lien Note Makewhole Claims if those claims are allowed after the Effective Date. Computershare contends that several provisions in the Plan and the proposed Ballots, however, eliminated key language from the Original Confirmed Plan and therefore could be read to undermine the EFIH Second Lien Trustee's appellate rights to continue to pursue the Makewhole Claim and collect on the Makewhole Claim if allowed after the Effective Date. Computershare enumerates those provisions: -- The injunction provision of the Plan, which enjoins the pursuit of any claims that are released or discharged under the Plan, without including the clarifying language from the Original Confirmed Plan that carved out the EFIH Second Lien Notes Trustee's pursuit of the appeal of the Makewhole Claims. See Original Confirmed Plan Sec. VIII.F ("The Plan shall not enjoin or otherwise prevent . . . the EFIH Second Lien Notes Trustee from prosecuting any appeal of any order with respect to any Makewhole Claims or any other Claims held by such parties."). -- The release language in the Ballots, which provides that holders who "(A) vote to accept the Plan, (B) fail to submit a ballot by the EFH/EFIH Voting Deadline, or (C) submit the ballot but abstain from voting to accept or release the Plan without checking the [appropriate] box" will be deemed to consent to the releases set forth in Article VIII.D of the Plan, potentially causing holders of EFIH Second Lien Note Claims to inadvertently release their Makewhole Claims and any other claims. -- The release of the liens and the cancellation of the EFIH Second Lien Notes, both of which, as discussed above, need to remain in place to ensure that the holders of the EFIH Second Lien Note Claims can collect on the Makewhole Claims when allowed, or some other means must be provided for their payment. -- The provisions regarding the treatment of any EFIH Second Lien Claims that are allowed as unsecured claims, which directly conflict with the allowance and payment of the EFIH Second Lien Makewhole Claim when ultimately allowed. While Class B6 Claims (General Unsecured Claims against the EFIH Debtors) arguably include any unsecured EFIH Second Lien Makewhole Claim, the allowance of Class B6 Claims derived from the EFIH Second Lien Notes actually excludes any Makewhole Claims, Computershare says. "Each of these conflicting provisions must be reconciled for holders of EFIH Second Lien Note Claims to properly vote on the Plan. And the extent the Debtors are trying to impede the EFIH Second Lien Trustee's right to pursue the appeal and collect on any allowed Makewhole Claim, this is directly relevant to how holders of EFIH Second Lien Note Claims will vote, and must be prominently disclosed in the Disclosure Statement," Computershare tells the Court. The Plan and the Disclosure Statement must also explain when the Makewhole Claim would be paid, if allowed after the Effective Date. Presumably, it should be paid promptly after its allowance, but there is no reason for any ambiguity, Computershare added. Computershare is represented in the case by: Laura Davis Jones, Esq. Robert J. Feinstein, Esq. PACHULSKI STANG ZIEHL & JONES LLP 919 N. Market Street, 17th Floor P.O. Box 8705 Wilmington, DE 19899-8705 Telephone: (302) 652-4100 Facsimile: (302) 652-4400 E-mail: ljones@ pszjlaw.com rfeinstein@ pszjlaw.com - and - Thomas Moers Mayer, Esq. Gregory A. Horowitz, Esq. Joshua K. Brody, Esq. KRAMER LEVIN NAFTALIS & FRANKEL LLP 1177 Avenue of the Americas New York, NY 10036 Telephone: (212) 715-9100 Facsimile: (212) 715-8000 E-mail: tmayer@kramerlevin.com ghorowitz@kramerlevin.com jbrody@kramerlevin.com - and - Stephanie Wickouski, Esq. BRYAN CAVE LLP 1290 Avenue of the Americas New York, New York 10104-3300 Telephone: 212-541-1114 Facsimile: 212-904-0514 E-mail: stephanie.wickouski@bryancave.com In August 2016, the Bankruptcy Court confirmed the Amended Plan of Reorganization for Texas Competitive Energy Holdings (TCEH). That Plan contemplates a tax-free spin of the company's competitive businesses, known as TCEH and including Luminant and TXU Energy, along with supporting business services. The Court is scheduled to consider the Plan for EFH and Energy Future Intermediate Holdings, which owns an indirect 80% interest in Oncor, on Dec. 1, 2016. About Energy Future Energy Future Holdings Corp., formerly known as TXU Corp., is a privately held diversified energy holding company with a Portfolio of competitive and regulated energy businesses in Texas. Oncor, an 80 percent-owned entity within the EFH group, is the largest regulated transmission and distribution utility in Texas. The Company delivers electricity to roughly three million delivery points in and around Dallas-Fort Worth. EFH Corp. was created in October 2007 in a $45 billion leverage buyout of Texas power company TXU in a deal led by private-equity companies Kohlberg Kravis Roberts & Co. and TPG Inc. On April 29, 2014, Energy Future Holdings and 70 affiliated companies sought Chapter 11 bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10979) after reaching a deal with some key financial stakeholders to keep its businesses operating while reducing its roughly $40 billion in debt. The Debtors' cases have been assigned to Judge Christopher S. Sontchi (CSS). The Debtors are seeking to have their cases jointly administered for procedural purposes. As of Dec. 31, 2013, EFH Corp. reported assets of $36.4 billion in book value and liabilities of $49.7 billion. The Debtors have $42 billion of funded indebtedness. EFH's legal advisor for the Chapter 11 proceedings is Kirkland & Ellis LLP, its financial advisor is Evercore Partners and its restructuring advisor is Alvarez & Marsal. The TCEH first lien lenders supporting the restructuring agreement are represented by Paul, Weiss, Rifkind, Wharton & Garrison, LLP as legal advisor, and Millstein & Co., LLC, as financial advisor. The EFIH unsecured creditors supporting the restructuring agreement are represented by Akin Gump Strauss Hauer & Feld LLP, as legal advisor, and Centerview Partners, as financial advisor. The EFH equity holders supporting the restructuring agreement are represented by Wachtell, Lipton, Rosen & Katz, as legal advisor, and Blackstone Advisory Partners LP, as financial advisor. Epiq Systems is the claims agent. Wilmington Savings Fund Society, FSB, the successor trustee for the second-lien noteholders owed about $1.6 billion, is represented by Ashby & Geddes, P.A.'s William P. Bowden, Esq., and Gregory A. Taylor, Esq., and Brown Rudnick LLP's Edward S. Weisfelner, Esq., Jeffrey L. Jonas, Esq., Andrew P. Strehle, Esq., Jeremy B. Coffey, Esq., and Howard L. Siegel, Esq. An Official Committee of Unsecured Creditors has been appointed in the case. The Committee represents the interests of the unsecured creditors of only of Energy Future Competitive Holdings Company LLC; EFCH's direct subsidiary, Texas Competitive Electric Holdings Company LLC; and EFH Corporate Services Company, and of no other debtors. The Committee has selected Morrison & Foerster LLP and Polsinelli PC for representation in this high-profile energy restructuring. The lawyers working on the case are James M. Peck, Esq., Brett H. Miller, Esq., and Lorenzo Marinuzzi, Esq., at Morrison & Foerster LLP; and Christopher A. Ward, Esq., Justin K. Edelson, Esq., Shanti M. Katona, Esq., and Edward Fox, Esq., at Polsinelli PC. * * * In December 2015, the Bankruptcy Court confirmed the Debtors' Sixth Amended Joint Plan of Reorganization. In May 2016, certain first lien creditors of TCEH delivered a Plan Support Termination Notice to the Debtors and the other parties to the Plan Support Agreement, notifying the parties of the occurrence of a Plan Support Termination Event. The delivery of the Plan Support Termination Notice caused the Confirmed Plan to become null and void. Following the occurrence of the Plan Support Termination Event as well as the termination of a roughly $20 billion deal to sell the Debtors' stake in Oncor Electric Delivery Co., the Debtors filed the Plan of Reorganization and the Disclosure Statement with the Bankruptcy Court on May 1, 2016. On May 11, they filed an amended joint plan of reorganization and a related disclosure statement. In June 2016, Judge Sontchi approved the disclosure statement explaining Energy Future Holdings Corp., et al.'s second amended joint plan of reorganization of the TCEH Debtors and the EFH Shared Services Debtors. On Aug. 27, 2016, Judge Sontchi confirmed the Chapter 11 exit plans of two of Energy Future Holdings Corp.'s subsidiaries, power generator Luminant and retail electricity provider TXU Energy Inc. ENERGY FUTURE: Plan Outline Fuzzy on Make-Whole Claims, DTC Says ---------------------------------------------------------------- Delaware Trust Company, as indenture and collateral trustee for the first-lien notes issued by Energy Future Intermediate Holding Company LLC and EFIH Finance Inc. objects to the proposed Disclosure Statement for the Debtors' Third Amended Joint Plan of Reorganization As It Applies to the EFH Debtors and EFIH Debtors. Delaware Trust tells the Court that the Disclosure Statement is simply inaccurate, stating in some places, for example, that the claims of the Trustee and the Noteholders are unimpaired, when in fact the Plan now provides that those claims are impaired. The Disclosure Statement also does not adequately disclose how the claims of the Trustee and Noteholders will be treated in several other respects, such as whether the holders of those claims will retain their liens after the Plan's effective date; whether any make-whole claims that may be allowed on appeal as unsecured claims will be allowed under the Plan; whether the Plan purports to impair the rights of the Trustee and the Noteholders with respect to the claims-allowance process, the pending appeals they are pursuing, or their subordination agreements with other creditors; and when and how any claims that are allowed will be paid. Finally, the Disclosure Statement discloses the Debtors' position on various issues, e.g., asserting that the Plan satisfies the requirements for confirmation and reserving the Debtors' rights to seek to dismiss the Trustee's pending make-whole appeal as "equitably moot" if the Plan is confirmed and goes effective, but -- unlike the disclosure statement for the prior, confirmed plan -- does not adequately inform creditors and parties in interest of the Trustee's position on those issues, or of how the Plan could affect them if the Trustee and the Noteholders prevail in the make-whole appeal. Delaware Trust explains that, to the extent the make-whole and/or other EFIH First Lien Note Claims are ultimately allowed, Reorganized EFIH may have to satisfy liabilities of several hundred million dollars to the Trustee and the Noteholders. If the make-whole claims of the Trustee and the Noteholders are allowed on appeal after the EFH Effective Date, Reorganized EFIH would be obligated under the Plan to pay those claims in full in cash—an amount that could exceed $550 million, including interest. That could affect and/or reduce the value of the Plan Sponsor NextEra's investment in Reorganized EFH and Reorganized EFIH. According to Delaware Trust, while most of the consideration under the Plan to be paid to EFIH and EFH creditors is in the form of cash, and the Plan is clear that these distributions will not be reduced if the Trustee's and the Noteholders' make-whole claims are allowed on appeal, some of the consideration may also be in the form of stock in NextEra. The value of that stock could be reduced if the make-whole claims of the Trustee and the Noteholders are allowed on appeal. Accordingly, the Disclosure Statement should adequately disclose these potential consequences of the Plan. Delaware Trust also objects to certain of the related relief requested in the Debtors' motion seeking approval of the Disclosure Statement and other relief. Delaware Trust points out that although the Plan provides that the Trustee and Noteholders are not "Releasing Parties" under the Plan's non-debtor release provisions, the form of ballots the Debtors ask the Court to approve in the Proposed Order include provisions that purport to transform the Trustee and Noteholders into "Releasing Parties" unless they affirmatively opt out of the releases. The Proposed Order would set a voting record date that is not consistent with the Federal Rules of Bankruptcy Procedure. The solicitation procedures the Debtors ask the Court to approve would allow the claims of the Trustee and Noteholders in the amount of only $1.00 for voting purposes, which is impermissible under the Bankruptcy Code and Rules and at the very least misleading. Those provisions should likewise be corrected. Counsel for Delaware Trust Company as trustee: Norman L. Pernick, Esq. J. Kate Stickles, Esq. COLE SCHOTZ P.C. 500 Delaware Avenue, Suite 1410 Wilmington, DE 19801 Telephone: 302-652-3131 Facsimile: 302-652-3117 E-mail: npernick@coleschotz.com kstickles@coleschotz.com - and - Warren A. Usatine, Esq. COLE SCHOTZ P.C. Court Plaza North 25 Main Street Hackensack, NJ 07602 Telephone: 201-489-3000 Facsimile: 201-489-1536 E-mail: wusatine@coleschotz.com - and - Philip D. Anker, Esq. WILMER CUTLER PICKERING HALE AND DORR LLP 7 World Trade Center 250 Greenwich Street New York, NY 10007 Telephone: 212-230-8800 Facsimile: 212-230-8888 E-mail: Philip.Anker@wilmerhale.com - and - Keith H. Wofford, Esq. Mark Somerstein, Esq. ROPES & GRAY LLP 1211 Avenue of the Americas New York, NY 10036-8704 Telephone: 212-596-9000 Facsimile: 212-596-9090 E-mail: Keith.Wofford@ropesgray.com Mark.Somerstein@ropesgray.com - and - D. Ross Martin, Esq. Andrew Devore, Esq. ROPES & GRAY LLP 800 Boylston Street, Prudential Tower Boston, MA 02199-3600 Telephone: 617-951-7000 Facsimile: 617-951-7050 E-mail: Ross.Martin@ropesgray.com Andrew.Devore@ropesgray.com - and - James H. Millar, Esq. DRINKER BIDDLE & REATH LLP 1177 Avenue of the Americas, 41st Floor New York, NY 10036-2714 Telephone: 212-248-3264 Facsimile: 212-248-3141 E-mail: James.Millar@dbr.com - and - Todd C. Schiltz, Esq. DRINKER BIDDLE & REATH LLP 222 Delaware Ave, Suite 1410 Wilmington, DE 19801-1612 Telephone: 302-467-4200 Facsimile: 302-467-4201 E-mail: Todd.Schiltz@dbr.com In August 2016, the Bankruptcy Court confirmed the Amended Plan of Reorganization for Texas Competitive Energy Holdings (TCEH). That Plan contemplates a tax-free spin of the company's competitive businesses, known as TCEH and including Luminant and TXU Energy, along with supporting business services. The Court is scheduled to consider the Plan for EFH and Energy Future Intermediate Holdings, which owns an indirect 80% interest in Oncor, on Dec. 1, 2016. About Energy Future Energy Future Holdings Corp., formerly known as TXU Corp., is a privately held diversified energy holding company with a Portfolio of competitive and regulated energy businesses in Texas. Oncor, an 80 percent-owned entity within the EFH group, is the largest regulated transmission and distribution utility in Texas. The Company delivers electricity to roughly three million delivery points in and around Dallas-Fort Worth. EFH Corp. was created in October 2007 in a $45 billion leverage buyout of Texas power company TXU in a deal led by private-equity companies Kohlberg Kravis Roberts & Co. and TPG Inc. On April 29, 2014, Energy Future Holdings and 70 affiliated companies sought Chapter 11 bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10979) after reaching a deal with some key financial stakeholders to keep its businesses operating while reducing its roughly $40 billion in debt. The Debtors' cases have been assigned to Judge Christopher S. Sontchi (CSS). The Debtors are seeking to have their cases jointly administered for procedural purposes. As of Dec. 31, 2013, EFH Corp. reported assets of $36.4 billion in book value and liabilities of $49.7 billion. The Debtors have $42 billion of funded indebtedness. EFH's legal advisor for the Chapter 11 proceedings is Kirkland & Ellis LLP, its financial advisor is Evercore Partners and its restructuring advisor is Alvarez & Marsal. The TCEH first lien lenders supporting the restructuring agreement are represented by Paul, Weiss, Rifkind, Wharton & Garrison, LLP as legal advisor, and Millstein & Co., LLC, as financial advisor. The EFIH unsecured creditors supporting the restructuring agreement are represented by Akin Gump Strauss Hauer & Feld LLP, as legal advisor, and Centerview Partners, as financial advisor. The EFH equity holders supporting the restructuring agreement are represented by Wachtell, Lipton, Rosen & Katz, as legal advisor, and Blackstone Advisory Partners LP, as financial advisor. Epiq Systems is the claims agent. Wilmington Savings Fund Society, FSB, the successor trustee for the second-lien noteholders owed about $1.6 billion, is represented by Ashby & Geddes, P.A.'s William P. Bowden, Esq., and Gregory A. Taylor, Esq., and Brown Rudnick LLP's Edward S. Weisfelner, Esq., Jeffrey L. Jonas, Esq., Andrew P. Strehle, Esq., Jeremy B. Coffey, Esq., and Howard L. Siegel, Esq. An Official Committee of Unsecured Creditors has been appointed in the case. The Committee represents the interests of the unsecured creditors of only of Energy Future Competitive Holdings Company LLC; EFCH's direct subsidiary, Texas Competitive Electric Holdings Company LLC; and EFH Corporate Services Company, and of no other debtors. The Committee has selected Morrison & Foerster LLP and Polsinelli PC for representation in this high-profile energy restructuring. The lawyers working on the case are James M. Peck, Esq., Brett H. Miller, Esq., and Lorenzo Marinuzzi, Esq., at Morrison & Foerster LLP; and Christopher A. Ward, Esq., Justin K. Edelson, Esq., Shanti M. Katona, Esq., and Edward Fox, Esq., at Polsinelli PC. * * * In December 2015, the Bankruptcy Court confirmed the Debtors' Sixth Amended Joint Plan of Reorganization. In May 2016, certain first lien creditors of TCEH delivered a Plan Support Termination Notice to the Debtors and the other parties to the Plan Support Agreement, notifying the parties of the occurrence of a Plan Support Termination Event. The delivery of the Plan Support Termination Notice caused the Confirmed Plan to become null and void. Following the occurrence of the Plan Support Termination Event as well as the termination of a roughly $20 billion deal to sell the Debtors' stake in Oncor Electric Delivery Co., the Debtors filed the Plan of Reorganization and the Disclosure Statement with the Bankruptcy Court on May 1, 2016. On May 11, they filed an amended joint plan of reorganization and a related disclosure statement. In June 2016, Judge Sontchi approved the disclosure statement explaining Energy Future Holdings Corp., et al.'s second amended joint plan of reorganization of the TCEH Debtors and the EFH Shared Services Debtors. On Aug. 27, 2016, Judge Sontchi confirmed the Chapter 11 exit plans of two of Energy Future Holdings Corp.'s subsidiaries, power generator Luminant and retail electricity provider TXU Energy Inc. ENERGY FUTURE: Selling 36-Acre North Main Property for $2.77M ------------------------------------------------------------- Energy Future Holdings Corp. and affiliates filed with the U.S. Bankruptcy Court for the District of Delaware a notice indicating that debtor Luminant Generation Co., LLC is selling approximately 36 acres in Tarrant County, Texas ("North Main Property") to Tarrant Regional Water District for $2,765,516. Pursuant to the June 30, 2016 order approving the sale of de minimis assets, any recipient of the notice may object to the proposed sale within 10 calendar days of service of the notice. Objections must be submitted to counsel for the Debtors, Kirkland & Ellis, LLP. A copy of the Notice is available for free at: http://bankrupt.com/misc/Energy_Future_9474_Sales.pdf About Energy Future Energy Future Holdings Corp., formerly known as TXU Corp., is a privately held diversified energy holding company with a Portfolio of competitive and regulated energy businesses in Texas. Oncor, an 80 percent-owned entity within the EFH group, is the largest regulated transmission and distribution utility in Texas. The Company delivers electricity to roughly three million delivery points in and around Dallas-Fort Worth. EFH Corp. was created in October 2007 in a $45 billion leverage buyout of Texas power company TXU in a deal led by private-equity companies Kohlberg Kravis Roberts & Co. and TPG Inc. On April 29, 2014, Energy Future Holdings and 70 affiliated companies sought Chapter 11 bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10979) after reaching a deal with some key financial stakeholders to keep its businesses operating while reducing its roughly $40 billion in debt. The Debtors' cases have been assigned to Judge Christopher S. Sontchi (CSS). The Debtors are seeking to have their cases jointly administered for procedural purposes. As of Dec. 31, 2013, EFH Corp. reported assets of $36.4 billion in book value and liabilities of $49.7 billion. The Debtors have $42 billion of funded indebtedness. EFH's legal advisor for the Chapter 11 proceedings is Kirkland & Ellis LLP, its financial advisor is Evercore Partners and its restructuring advisor is Alvarez & Marsal. The TCEH first lien lenders supporting the restructuring agreement are represented by Paul, Weiss, Rifkind, Wharton & Garrison, LLP as legal advisor, and Millstein & Co., LLC, as financial advisor. The EFIH unsecured creditors supporting the restructuring agreement are represented by Akin Gump Strauss Hauer & Feld LLP, as legal advisor, and Centerview Partners, as financial advisor. The EFH equity holders supporting the restructuring agreement are represented by Wachtell, Lipton, Rosen & Katz, as legal advisor, and Blackstone Advisory Partners LP, as financial advisor. Epiq Systems is the claims agent. Wilmington Savings Fund Society, FSB, the successor trustee for the second-lien noteholders owed about $1.6 billion, is represented by Ashby & Geddes, P.A.'s William P. Bowden, Esq., and Gregory A. Taylor, Esq., and Brown Rudnick LLP's Edward S. Weisfelner, Esq., Jeffrey L. Jonas, Esq., Andrew P. Strehle, Esq., Jeremy B. Coffey, Esq., and Howard L. Siegel, Esq. An Official Committee of Unsecured Creditors has been appointed in the case. The Committee represents the interests of the unsecured creditors of only of Energy Future Competitive Holdings Company LLC; EFCH's direct subsidiary, Texas Competitive Electric Holdings Company LLC; and EFH Corporate Services Company, and of no other debtors. The Committee has selected Morrison & Foerster LLP and Polsinelli PC for representation in this high-profile energy restructuring. The lawyers working on the case are James M. Peck, Esq., Brett H. Miller, Esq., and Lorenzo Marinuzzi, Esq., at Morrison & Foerster LLP; and Christopher A. Ward, Esq., Justin K. Edelson, Esq., Shanti M. Katona, Esq., and Edward Fox, Esq., at Polsinelli PC. * * * In December 2015, the Bankruptcy Court confirmed the Debtors' Sixth Amended Joint Plan of Reorganization. In May 2016, certain first lien creditors of TCEH delivered a Plan Support Termination Notice to the Debtors and the other parties to the Plan Support Agreement, notifying the parties of the occurrence of a Plan Support Termination Event. The delivery of the Plan Support Termination Notice caused the Confirmed Plan to become null and void. Following the occurrence of the Plan Support Termination Event as well as the termination of a roughly $20 billion deal to sell the Debtors' stake in Oncor Electric Delivery Co., the Debtors filed the Plan of Reorganization and the Disclosure Statement with the Bankruptcy Court on May 1, 2016. On May 11, they filed an amended joint plan of reorganization and a related disclosure statement. In June 2016, Judge Sontchi approved the disclosure statement explaining Energy Future Holdings Corp., et al.'s second amended joint plan of reorganization of the TCEH Debtors and the EFH Shared Services Debtors. On Aug. 27, 2016, Judge Sontchi confirmed the Chapter 11 exit plans of two of Energy Future Holdings Corp.'s subsidiaries, power generator Luminant and retail electricity provider TXU Energy Inc. ESTEPHAN G SARKIS: Unsecureds Likely To Recoup 100% Under Plan -------------------------------------------------------------- Estephan G. Sarkis filed with the U.S. Bankruptcy Court for the Northern District of California a combined plan of reorganization and disclosure statement dated Aug. 17, 2016. Under the Plan, general unsecured creditors will get a pro rata portion of up to $60,000, likely to result in a 100% recovery of allowed claims, in quarterly payments over five years. Class 2(a) General Unsecured Claims represent deficiency claims for sold out junior lienholders after properties were foreclosed. An objection to each claim was filed and served on the claimants. Bosco Credit LLC withdrew it's proof of claim; Real Time Resolutions failed to oppose the claim objection an order sustaining the Objection has been entered. Holders of allowed claims of general unsecured creditors (including allowed claims of creditors whose executory contracts or unexpired leases are being rejected under the Plan) will receive a pro rata share of a fund totaling $60,000, created by the Debtor's payment of $3,000 per quarter for a period of up to 20 quarters, starting Oct. 1, 2016. Pro rata means the entire amount of the fund divided by the entire amount owed to creditors with allowed claims in this class. Creditors in Class 2(a) may not take any collection action against the Debtor so long as the Debtor is not in material default under the Plan. This class is impaired and is entitled to vote on confirmation of the Plan. The Debtor has indicated above whether a particular claim is disputed. If the Plan is confirmed, the payments promised in the Plan constitute new contractual obligations that replace the Debtor's pre-confirmation debts. Creditors may not seize their collateral or enforce their pre-confirmation debts so long as Debtor performs all obligations under the Plan. If the Debtor defaults in performing Plan obligations, any creditor can file a motion to have the case dismissed or converted to a Chapter 7 liquidation, or enforce their non-bankruptcy rights. The Debtor will be discharged from all pre-confirmation debts (with certain exceptions) if Debtor makes all Plan payments. The Disclosure Statement is available at: http://bankrupt.com/misc/canb15-43733-82.pdf The Plan was filed by the Debtor's counsel: Ruth Elin Auerbach, Esq. Law Office of Ruth Auerbach 77 Van Ness Ave Suite 201 San Francisco, CA 94102 E-mail: attorneyruth@sbcglobal.net Estephan G Sarkis filed for Chapter 11 bankruptcy protection (Bankr. N.D. Cal. Case No. 15-31412) on Nov. 12, 2015. ESTEPHAN SARKIS: Ch. 11 Plan Proposes $60K Payment to Unsecureds ---------------------------------------------------------------- Property manager Estephan G. Sarkis filed with the U.S. Bankruptcy Court for the Northern District of California a combined plan of reorganization and disclosure statement, which propose a pro-rata payment of up to $60,000 to general unsecured creditors in quarterly payments over five years. According to the Debtor, the payment to general unsecured creditors will likely result in a 100% recovery of allowed claims. The Franchise Tax Board, a general unsecured creditor holding a $10,810.29 claim, will receive 100% of its claim in quarterly installments of $3,000 until the claim, with interest at the Federal rate from the effective date of the plan, has been paid in full. The Chapter 11 case was filed to stop the foreclosure proceedings started by Trojan Capital. The Debtor had two loans against his property at 3391 Jordan, in Oakland, California, with Citibank, the predecessor-in-interest of Trojan. A full-text copy of the Combined Plan and Disclosure Statement dated Sept. 6, 2016, is available at http://bankrupt.com/misc/15-43733-94.pdf Estephan G Sarkis filed a Chapter 11 petition (Bankr. N.D. Cal. Case No. 15-31412) on November 12, 2015. The Debtor is represented by: Ruth Elin Auerbach Law office of Ruth Auerbach 77 Van Ness Ave., Suite 201 San Francisco, CA 94102 FINTON CONSTRUCTION: Can Use Cash Collateral Through Sept. 28 ------------------------------------------------------------- Judge Laurel M. Isicoff of the U.S. Bankruptcy Court for the Southern District of Florida authorized Finton Construction, Inc. to use cash collateral through Sept. 28, 2016. The Debtor was authorized to use cash collateral in accordance with the approved Budget, which covered the months of August 2016 to December 2016. The Budget provided for total operating expenses in the amount of $114,305 for the month of September 2016. A full-text copy of the Order dated Sept. 2, 2016, is available at https://is.gd/3rUjDU About Finton Construction Finton Construction, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 16-19221) on June 30, 2016. The petition was signed by John Finton, president. The case is assigned to Judge Laurel M. Isicoff. The Debtor is represented by David L. Merrill, Esq., at Merrill PA. At the time of the filing, the Debtor estimated its assets at $0 to $50,000 and debt at $1 million to $10 million. FLINTKOTE COMPANY: 3rd Circuit Won't Rehear Ruling Frederick Case ----------------------------------------------------------------- Martin O'Sullivan, writing for Bankruptcy Law360, reported the U.S. Court of Appeals for the Third Circuit said it would not rehear its decision to uphold a lower court's ruling that Flintkote Co. is shielded from owing damages for alleged property contamination to a small business. 8 E. Frederick Place LLC was seeking to sue Flintkote over pollution to a roughly 6-acre parcel of land in New Jersey that Flintkote used to operate a rubber manufacturing facility from 1945 to 1972 and that Frederick has owned since 1984. As reported by the Troubled Company Reporter on July 20, 2015, Delaware District Judge Leonard P. Stark tossed out the request of 8 E. Frederick Place, LLC, asking the District Court to reconsider its Memorandum and Order issued on January 16, 2015, related to the bankruptcy proceedings of The Flintkote Company and Flintkote Mines Limited. Frederick Place filed a claim against the Debtors' bankruptcy estate, alleging that the Debtors are liable for polluting property it currently owns in Cedar Knolls, New Jersey. The Debtors previously owned that property and used it as a site for a rubber manufacturing facility. Frederick Place on May 23, 2011, filed a Motion for Relief from Stay, seeking to pursue various federal and state environmental claims against the Debtors in New Jersey state court. On June 6, 2012, the Bankruptcy Court granted two motions for summary judgment filed by the Debtors and denied Frederick Place's Motion for Relief from Stay. The District Court entered a Memorandum on January 16, 2015, affirming the Bankruptcy Court Order. Frederick Place presented its Motion for Reconsideration on February 13, 2015. Frederick Place argued that the Court should reconsider its Memorandum, and reverse the Bankruptcy Court's Order, because (1) the New Jersey Supreme Court recently issued Morristown Assocs. v. Grant Oil Co., 106 A.3d 1176 (N.J. 2015), which provides further guidance on the New Jersey Spill Compensation and Control Act (the "Spill Act"); (2) the Court applied an incorrect standard of review to the Bankruptcy Court's Order; and (3) the Court failed to take into consideration the public policy of the state of New Jersey. The Debtors argued that Morristown provides no new analysis regarding the Spill Act that affects this Court's reasoning in the Memorandum. The Debtors also maintained that the Court's Memorandum plainly applied the correct de novo standard of review. They said that Frederick Place's remaining arguments improperly rehash points of law that the District Court already decided. According to Judge Stark, Frederick Place has not demonstrated an intervening change in the controlling law, the discovery of new evidence that was not previously available, or the need to correct a clear error of law or fact or to prevent manifest injustice. A copy of the District Court's July 14, 2015 Memorandum Order is available at http://bit.ly/1RCHB9Kfrom Leagle.com. 8 E. Frederick Place LLC is represented by Learon John Nelson Bird, Esq., at Fox Rothschild LLP. About The Flintkote Company Headquartered in San Francisco, California, The Flintkote Company is engaged in the business of manufacturing, processing and distributing building materials. Flintkote Mines Limited is a subsidiary of Flintkote Company and is engaged in the mining of base-precious metals. The Flintkote Company filed for Chapter 11 protection (Bankr. D. Del. Case No. 04-11300) on April 30, 2004. Flintkote Mines Limited filed for Chapter 11 relief (Bankr. D. Del. Case No. 04-12440) on Aug. 25, 2004. Kevin T. Lantry, Esq., Jeffrey E. Bjork, Esq., Dennis M. Twomey, Esq., Jeremy E. Rosenthal, Esq., and Christina M. Craige, Esq., at Sidley Austin, LLP, in Los Angeles; James E. O'Neill, Esq., and Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington, Del., represent the Debtors in their restructuring efforts. Elihu Inselbuch, Esq., at Caplin & Drysdale, Chartered, in New York, N.Y.; Peter Van N. Lockwood, Esq., Ronald E. Reinsel, Esq., at Caplin & Drysdale, Chartered, in Washington, D.C.; and Philip E. Milch, Esq., at Campbell & Levine, LLC, in Wilmington, Del., represent the Asbestos Claimants Committee as counsel. James J. McMonagle, is the legal representative for future claimants. The FCR has retained Dr. Timothy Wyant as claims evaluation consultant. The FCR is represented by James L. Patton, Jr., Esq., and Edwin J. Harron, Esq., at Young Conaway Stargatt & Taylor, LLP; and Reginald W. Jackson, Esq., at Vorys, Sater, Seymour & Pease LLP. When Flintkote filed for protection from its creditors, it estimated more than $100 million each in assets and debts. When Flintkote Mines Limited filed for protection from its creditors, it estimated assets of $1 million to $50 million, and debts of more than $100 million. The Debtors' Chapter 11 cases were re-assigned to Judge Mary F. Walrath in line with the retirement of former Bankruptcy Judge Judith Fitzgerald. FLORIDA GLASS: Names Leon Williamson as Counsel ----------------------------------------------- Florida Glass of Tampa Bay, Inc. seeks authorization from the U.S. Bankruptcy Court for the Middle District of Florida to employ Leon A. Williamson, Jr. of the law firm of Law Office of Leon A. Williamson, Jr., P.A. as counsel, nunc pro tunc to May 12, 2016. The Debtor requires Mr. Williamson to: (a) take all action necessary to protect and preserve the estate of the Debtor including the prosecution of actions on its behalf, and objecting to claims filed against the Estate, if appropriate; (b) prepare, on behalf of the Debtor, applications, answers, orders, reports and papers, required in connection with the administration of the Estate; (c) counsel the Debtor with regard to its rights and obligations as Debtor in Possession; (d) prepare and file schedules of assets and liability; (e) prepare and file a Plan of Reorganization and Disclosure Statement; and (f) perform all other necessary legal services in connection with this Chapter 11 case. Mr. Williamson will be reimbursed for reasonable out-of-pocket expenses incurred. Mr. Williamson assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. Mr. Williamson can be reached at: Leon A. Williamson, Jr., Esq. LAW OFFICE OF LEON A. WILLIAMSON, JR., P.A. 306 S. Plant Avenue, Ste. B Tampa, FL 33606 Tel: 813-253-3109 Fax: 813-253-3215 E-mail: leon@lwilliamsonlaw.com Florida Glass of Tampa Bay, Inc. Florida Glass of Tampa Bay, Inc. filed a Chapter 11 petition (Bankr. M.D. Fla. Case No. 16-06874), on August 9, 2016. The petition was signed by Joseph Muraco, president. The Debtor's counsel is Leon A. Williamson, Jr., Esq. at the Law Office of Leon A. Williamson, Jr., P.A., of Tampa, Florida. At the time of filing, the Debtor had $1 million to $10 million in estimated assets and $10 million to $50 million in estimated liabilities. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/flmb16-06874.pdf FOUR DIA: Wants to Use CapitalSpring Cash Collateral ---------------------------------------------------- Four Dia, LLC, asks the U.S. Bankruptcy Court for the Northern District of Texas for authorization to use cash collateral. The Debtor relates that only CapitalSpring SBLC, LLC, could assert a security interest in its accounts and all proceeds arising from the collection thereof. The Debtor is indebted to CapitalSpring in the amount of $5,044,143. The Debtor contends that without the use of the cash collateral, it would be unable to pay its operating expenses, which, in turn, would force it to cease operating. The Debtor further contends that its business and its assets are far more valuable as a going concern than they would be if the Debtor was forced to cease operations. The Debtor's projected Budget for the period Sept. 1, 2016 to Sept. 30, 2016 provides for total expenses in the amount of $77,846. The Debtor proposes to grant CapitalSpring with a replacement lien in Accounts and cash collateral generated post-petition. A full-text copy of the Debtor's Motion, dated Sept. 4, 2016, is available at https://is.gd/VFVeRT Four Dia, Inc., is represented by: Russell W. Mills, Esq. HIERSCHE, HAYWARD, DRAKELEY & URBACH, P.C. 15305 Dallas Parkway, Suite 700 Addison, TX 75001 Telephone: (972)701-7000 E-mail: rmills@hhdulaw.com CapitalSpring SBLC, LLC, can be reached at: CAPITALSPRING SBLC, LLC 5949 Sherry Lane, Suite 785 Dallas, TX 75225 CapitalSpring SBLC, LLC is represented by: Benjamin E. Grant, Esq. WAGSTAFF LLP 290 Cedar Abilene, TX 79601-5720 Telephone: (325) 677-6291 E-mail: bgrant@wagstafflaw.com About Four Dia Four Dia, LLC, filed a chapter 11 petition (Bankr. N.D. Tex. Case No. 16-33459-11) on Sept. 2, 2016. The Debtor is represented by Russell W. Mills, Esq., at Hiersche, Hayward, Drakeley & Urbach, P.C. Four Dia was formed on October 8, 2014 as a Texas limited liability company and continues to operate using that corporate structure. It operates a 62-room hotel located at 5750 Sherwood Way in San Angelo, Texas which is operated under a Wyndham Hotel Group franchise. Four Dia employs approximately 16 persons on a full or part-time basis. FPMI SOLUTIONS: Auction of Excess Furniture and Equipment Approved ------------------------------------------------------------------ Judge Brian F. Kenney of the U.S. Bankruptcy Court for the Eastern District of Virginia authorized FPMI Solutions, Inc., to sell excess furniture and equipment at public auction. No objections have been filed. About FPMI Solutions Headquartered in Alexandria, Virginia, FPMI Solutions, Inc., is a government contractor that operates as a business partner to organizations. The company's federal solutions include human capital management, human capital outsourcing, and learning services. Its global/commercial solutions include strategic HR consulting solutions, recruitment process outsourcing and executive search, temporary service providers, shared services, and learning services. FPMI Solutions sought Chapter 11 protection (Bankr. E.D. Va. Case No. 16-12142) on June 20, 2016. Judge Robert G. Mayer presides over the case. The Debtor estimated assets and liabilities in the range of $1,000,000 to $10,000,000. The Debtor tapped Paul Sweeney, Esq., at the Ymkas, Vidmar, Sweeney & Mulrenin, LLC, as counsel. The petition was signed by R. Mark McLindon, chief executive officer. FREEFALL ADVENTURES: Robair Offers $20K for Beech 95-B55 Airplane ----------------------------------------------------------------- Freefall Adventures and its affiliates ask the U.S. Bankruptcy Court for the District of New Jersey to authorize the private sale of Beech Model 95-B55, T42A Airplane, Serial No. TC823, together with log books, maintenance and flight manuals to Robair, LLC for $20,000, subject to higher and better offers. The Debtors owned and operated several airplanes and a skydiving jump center based in Williamstown, New Jersey. Through the Chapter 11 cases, the Debtor sold several airplanes and the skydiving jump center and to streamline their operations and liquidate certain non-essential assets so that the Debtor can ultimately propose and confirm a Chapter 11 plan. Among Freefall Adventures' remaining assets is the Beech, which the Debtors believe has a market value of approximately $20,000. There are no liens or encumbrances on the Beech. As part of the Debtors' overall strategy to liquidate certain of their assets to fund a Chapter 11 plan, the Debtors seek authority to sell the Beech. The sale will enable the Debtors to avoid payment of unnecessary administrative claims and expenses associated with the continued ownership of the Beech such as maintenance and insurance. The Debtors intend to sell the Beech as the result of good faith, arm's length negotiations to Robair. None of the Debtors' officers or principals will receive any benefit from the sale of the Beech. A purchase agreement has been executed and is available upon written request from the Debtor's counsel. The Debtors have marketed the Beech for a number of years and the present offer is the highest and best offer they received to date. Moreover, they believe that they will be able to maximize the sale price of the Beech by completing a private sale rather than including the Beech in an auction. The Debtors propose these procedures to complete the sale of the Beech: a. The Debtors will maintain a list of all parties that express an interest in the Beech, with each person's contact information and determine if any of such parties will submit a higher and better offer than Robair. The offer from Robair is subject to higher and better offers. b. If an objection is filed, the Debtors will not complete a sale absent a resolution with the objecting party or further order of the Court. Counsel for the Debtor: Arthur J. Abramowitz, Esq. SHERMAN, SILVERSTEIN, KOHL, ROSE & PODOLSKY, P.A. 308 Harper Drive, Suite 200 Moorestown, NJ 08057 Telephone: (856) 662-0700 About Freefall Adventures Williamstown, New Jersey-based Freefall Adventures operates out of Cross Keys Airport in Monroe Township and is a mainstay in the regional skydiving community. Freefall Adventures sought Chapter 11 protection (Bankr. D. N.J. Case No. 14-30235) on Oct. 2, 2014. Judge presides over the Andrew B. Altenburg Jr. The Debtor estimated assets in the range of $0 to $50,000 and $1 million to $10 million in debt. The Debtor tapped Lewis G. Adler, Esq. at the law Office of Lewis Alder as counsel. The petition was signed by John Eddowes, authorized individual. GEI HOLDINGS: Selling Three New Jersey Properties for $783K ----------------------------------------------------------- GEI Holdings, LLC, asks the U.S. Bankruptcy Court for the District of New Jersey to authorize the private sale of its properties located at 137-139 Carolina Ave, Irvington, NJ, to David J. Tucker for $249,000; at 229 Columbia Avenue, Irvington, NJ, to Jamal Hawkins for $249,000; and at 140-142 Huntington Terrace, Newark, NJ, to Linda Gindi for $285,000. The Debtor is the sole owner of the following properties: a. Carolina Property b. Huntington Property c. Columbia Property d. 250 Clinton Place, Newark, NJ e. 252 Clinton Place, Newark, NJ f. 433-434 Leslie Street, Newark, NJ As of the Petition Date, the Debtor valued its interest in the properties is $810,000. On Aug. 5, 2016, Gloria R. Buckley legal counsel filed a notice of appearance for creditor Wilmington Trust, N.A. On Aug. 9, 2016, the Creditor filed a Relief Stay Motion. On Aug. 10, 2016 the case was reassigned from Hon. Judge Vincent Papalia to Hon. Judge John K. Sherwood. On Aug. 10-12, 2016, the Creditor filed a Motion for Relief from Stay with regards to Debtor's properties. A hearing date was set for Aug. 23, 2016. The Debtor has entered into 3 separate arms-length contracts to sell the Carolina Property, Huntington Property and Columbia Property. The total purchase price for the purchased assets will be $783,000. A copy of the Contracts of Sale attached to the Motion is available for free at: http://bankrupt.com/misc/GEI_HOldings_30_Sales.pdf Said properties are encumbered by a mortgage held by a single creditor; Wilmington Trust National Association as Trustee on Behalf of the Holders of B2R Mortgage Trust 2015-1 Mortgage Pass-Through Certificates, in the total amount of $927,294. From the proceeds of the Sale, the Debtor proposes to pay the costs of the sale, including reasonable attorney's fees, real estate commissions and taxes. In addition, the Debtor proposes to pay creditors that have an undisputed secured interest in the property order of priority, as of the date of closing. Based on the results of its analysis of the Debtor's ongoing and future business prospects, the Debtor's management has concluded that a sale of substantially all of Debtor's assets as a going concern, is the best method to maximize recoveries and ensure that the value of the Debtor's assets is maintained for the benefit of creditors and its estate. Maximization of asset value is a sound business purpose, warranting authorization of the sale. After taking into account the disputes between the parties that will be resolved as part of the proposed sale and the avoidance of delay, the terms of the sales, represent the highest and best offer for the purchased assets. The Debtor believes that the purchase price represents a fair value for the purchased assets. Additionally, by selling the purchased assets to the Buyers by private sale, the Debtor will avoid the significant administrative expenses associated with the approval and management of an auction process, as well as the costs of advertising and soliciting bids from other parties where the Debtor believes that a reasonable offer has been made for the purchased assets by the Buyers. To preserve the value of the purchased assets and limit the costs of administering and preserving such assets, it is critical that the Debtor close the sales as soon as possible after all closing conditions have been met or waived. Accordingly, the Debtor requests that the Court waive the 10-day stay period under B.R. 6004(h). The Purchasers can be reached at: David J. Tucker 137-139 Carolina Avenue Irvington, NJ 07111 Jamal Hawkins 110 Renner Avenue Newark, NJ 07112 Linda Gindi 131 8th Street Brooklyn, NY 11215 Counsel for the Debtor: Robert B. Davis, Esq. DAVIS LAW CENTER, LLC 48 Van Buren Street, 2nd Floor Newark NJ 07105 Telephone:(917) 315-7566 Facsimile:(973) 850-3064 E-mail: rob@davislawcenterllc.com GEI Holdings, LLC, sought Chapter 11 protection (Bankr. D.N.J. Case No. 16-24991) on Aug. 4, 2016. GENERAL PRODUCTS: Hilco to Auction Russellville Assets ------------------------------------------------------ General Products Corp., and affiliates ask the U.S. Bankruptcy Court for the Eastern District of Michigan to authorize the public auction sale of the remaining equipment and other assets at their Russellville, Kentucky facility, to be conducted by Hilco Industrial, LLC ("Hilco"). Prior to the Debtor's bankruptcy filing, it operated three facilities located in Angola, Indiana, Russellville Facility and Mexico. The Russellville Facility's sole customer was Eaton Corp. ("Eaton"). Prior to the Petition Date, Eaton provided the Debtor with notice that it was insourcing all production from the Russellville Facility. Eaton's last day of production for the Russellville Facility was June 30, 2016. Since that date, the Debtor has worked to idle the Russellville Facility. Upon receiving the insourcing notification from Eaton and confirming with the proposed stalking horse bidder for the Debtor's assets comprising its Angola, Indiana and Mexico operations ("Angola/Mexico Stalking Horse") that it was not interested in the Russellville Facility or its assets without any current business, the Debtor commenced efforts to locate a buyer for the Russellville Facility. The Debtor recently reached an agreement with PTL Logistics to serve as the stalking horse bidder for the Russellville Facility real property, subject to higher and better bids and Court approval. The Debtor filed its motion to approve the sale and procedures related to soliciting higher and better bids. However, conditions of the agreement with the stalking horse include that the closing occur as expeditiously as possible and that the Debtor provide occupancy of the Russellville Facility at closing. In order to provide occupancy of the Russellville Facility, the Debtor must first complete a liquidation of the remaining equipment and other personal property in the facility. Certain of the personal property in the Russellville Facility is contemplated to be purchased by the Angola/Mexico Stalking Horse pursuant to the Asset Purchase Agreement between the parties. However, the remaining personal property at the Russellville Facility ("Russellville Assets") must be sold or auctioned to interested bidders. The Debtor obtained proposals from several reputable equipment marketing firms and determined, after significant consultation and input from the Creditors' Committee and MB Financial Bank, N.A., the Debtors' secured lender with an interest in the Russellville Assets, that the proposal from Hilco provided the most favorable terms for the Debtor and its estate and would likely lead to maximizing the proceeds realized from the Russellville Assets. Contemporaneous with the filing of the Motion, the Debtor has filed an application to employ Hilco as its auctioneer pursuant to the terms of the Asset Marketing Agreement dated as of Aug. 24, 2016. A copy of the list of assets to be sold and the AMA attached to the Motion is available for free at: http://bankrupt.com/misc/General_Products_288_Sales.pdf The AMA contemplates that Hilco would sell the Russellville Assets in a manner it determines is likely to maximize the value of the assets, including by conducting an online public auction of the Russellville Assets on Oct. 13, 2016. Under the AMA, Hilco is providing a guaranteed return to the Debtor of $350,000 ("Guaranty Amount"), which will be paid to the Debtor no later than 2 days prior to the auction. Upon payment of the Guaranty Amount, Hilco will be entitled to retain the first $425,000 in proceeds from the sale of the Russellville Assets. Subsequently, Hilco and the Debtor will split all remaining proceeds from the sales of the Russellville Assets with 20% to be paid to Hilco and 80% to the Debtor. Additionally, Hilco will be entitled to charge a buyer's premium of 16% on all sales. Pursuant to the AMA, Hilco agrees to market, at its expense, the Russellville Assets and the auction and take such other steps as it deems necessary to maximize the value of the Russellville Assets. Further, given Hilco's compensation structure, it is incentivized to maximize such value. The Debtor believes Hilco has appropriate expertise in handling auction sales and is well qualified to handle and conduct the online auction sale in this case. Hilco's Russellville Assets with priority over all claims. All sales of the Russellville Assets will be on a cash basis pursuant to bids received during the online auction. The Debtors have a sound business justification for selling the Russellville Assets at this time, namely that the Russellville Facility is idle and must be sold in short order in order to maximize value of that asset. Because of the cost of maintaining an idle facility, it is even more critical that the Debtor complete the liquidation of the Russellville Facility on an expedited basis. Without completing a liquidation of the personal property and equipment in the Russellville Facility, the Debtor will be unable to provide occupancy of the Russellville Facility at closing. Accordingly, the Debtors ask the Court's approval to sell the Russelville Assets in accordance with the AMA. About General Products General Products Corporation and General Products Mexico, LLC, both based in Livonia, MI, sought Chapter 11 protection (Bankr. E.D. Mich. Case Nos. 16-49267 and 16-49269) on June 27, 2016. The Hon. Thomas J. Tucker (16-49267) and Walter Shapero (16-49269) preside over the cases. Rachel L. Hillegonds, Esq. and John T. Piggins, Esq., at Miller Johnson, as bankruptcy counsel. General Products Corporation estimated $50 million to $50 million in both assets and liabilities. General Products Mexico estimated $50,000 to $50 million in both assets and liabilities. The petition was signed by Andrew Masullo, president and CEO. The Office of the U.S. Trustee appointed 5 creditors of General Products to serve on the official committee of unsecured creditors. GEORGE HENRY: Unsecured Creditors to Recover 10% Under Plan ----------------------------------------------------------- George Henry Richards filed with the U.S. Bankruptcy Court for the Northern District of California a combined plan of reorganization and disclosure statement dated Aug. 16, 2016. Under the Plan, general unsecured creditors will be paid 10% of their allowed claims in monthly payments over 60 months. If the Plan is confirmed, the payments promised in the Plan constitute new contractual obligations that replace the Debtor's pre-confirmation debts. Creditors may not seize their collateral or enforce their pre-confirmation debts so long as Debtor performs all obligations under the Plan. If Debtor defaults in performing Plan obligations, any creditor can file a motion to have the case dismissed or converted to a Chapter 7 liquidation, or enforce their non-bankruptcy rights. Debtor will be discharged from all pre-confirmation debts (with certain exceptions) if Debtor makes all Plan payments. Enforcement of the Plan, discharge of the Debtor, and creditors’ remedies if Debtor defaults are described in detail in Parts 5 and 6 of the Plan. Class 2(a) Small Claims includes any creditor whose allowed claim is $1,200 or less, and any creditor in Class 2(b) whose allowed claim is larger than $1,200 but agrees to reduce its claim to $1,200. Each creditor will receive on the Effective Date of the Plan a single payment equal to 10% of its allowed claim. Creditors in this class may not take any collection action against Debtor so long as Debtor is not in material default under the Plan. Claimants in this class are impaired and are entitled to vote on confirmation of the Plan, unless their claims are paid in full with interest on the Effective Date of the Plan. Class 2(b) (Other) General Unsecured Claims Creditors will receive 10% of their allowed claim in 60 equal monthly payments (a total of $337.13 in monthly payments), due on the 1st day of the month beginning on the month after the Effective Date. Creditors in this class may not take any collection action against Debtor so long as Debtor is not in material default under the Plan. This class is impaired and is entitled to vote on confirmation of the Plan. The Debtor has indicated above whether a particular claim is disputed. The Disclosure Statement is available at: http://bankrupt.com/misc/canb14-30320-142.pdf The Plan was filed by the Debtor's counsel: Matthew D. Metzger, Esq. BELVEDERE LEGAL, PC 1777 Borel Pl., Suite 314 San Mateo, CA 94402 Tel: (415) 513-5980 Fax: (415) 513-5985 E-mail: mmetzger@belvederelegal.com George Henry Richards filed for Chapter 11 bankruptcy protection (Bankr. N.D. Calif. Case No. 14-30320). GLORI ENERGY: Decrease in Cash Raises Substantial Doubt ------------------------------------------------------- Glori Energy Inc. filed with the Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $3.25 million on $1.23 million of total revenues for the three months ended June 30, 2016, compared to a net loss of $4.92 million on $2.63 million of total revenues for the same period in 2015. For the six months ended June 30, 2016, the Company listed a net loss of $6.65 million on $2.43 million of total revenues, compared to a net loss of $7.90 million on $5.20 million of total revenues for the same period in the prior year. As of June 30, 2016, the Company had $13.50 million in total assets, $13.36 million in total liabilities and a total stockholders' equity of $136,000. At June 30, 2016, the Company had a working capital deficit of $6.4 million, made up of current assets of $5.5 million and current liabilities of $11.9 million. Cash has decreased from $8.4 million at December 31, 2015 to $3.1 million at June 30, 2016 due to the net cash used in operating activities of $3.3 million, the repayment of debt of $316 thousand, capital expenditures of $1.4 million and other uses of $300 thousand. As of August 2016, the Company does not have lines of credit available to it. As a result of the negative operating cash flows, the Company will need to raise capital over the next six to nine months to fund its operations and to repay or refinance the term note of $10.2 million, owed by GEP, which matures March 2017. The Company may have difficulty obtaining such additional financing as a result of the decrease in oil prices, its negative cash flows from operations and the significant decrease in its share price. The significant risks, uncertainties, significant working capital deficit, historical operating losses and resulting cash used in operations raise substantial doubt about the Company's ability to continue as a going concern. A copy of the Form 10-Q is available at the SEC at: https://is.gd/JRBSWv Glori Energy Inc. (NASDAQ: GLRI) is an energy technology and oil production company based in Houston. The Company deploys its AERO technology to increase the amount of oil that can be produced from conventional fields at a substantially lower cost than traditional enhanced oil recovery methods. GLOYD GREEN: Selling Midway Cabin to West for $414K --------------------------------------------------- Gloyd W. Green asks the U.S. Bankruptcy Court for the District of Utah to authorize the sale of a cabin property located at 5132 North Larkspur Road, Midway, Utah, to Terry West for $414,000. The Debtor and West entered into Real Estate Purchase Contract ("REPC") dated Aug. 23, 2016. The pertinent terms and conditions of the REPC are as follows: a. The Buyer will pay the purchase price in cash at closing, with the option of credit bidding a portion of the purchase price through an offset of the Buyer's Class A-6 Secured Claim in accordance with 11 U.S.C. Section 363(k). b. The Seller will purchase a one-year home warranty plan for Buyer's benefit at a cost not to exceed $530. c. Title will be conveyed at closing by warranty deed. d. The property will be sold in an "as is, where is" condition, without warranty as to the condition of the property or the suitability for the Buyers. e. The Seller will provide Buyer with a standard form owner's insurance policy at closing. The Debtor requests authority to pay the following at closing: 1. All applicable commissions, closing costs and title fees associated with the transaction and customary in the industry, including a realtor's commission to Kathy Collings and the firm of Berkshire Hathaway Home Services Utah ("Realtors") in the amount of 6% of the selling price as set forth in the listing agreement; 2. All accrued and pro-rated real estate taxes and other assessments which may be owed as of the date of closing; and 3. All amounts needed for satisfaction in full of the Class A-6 Secured Claim in the event the Buyer does not credit bid the Class A-6 Secured Claim. The Debtor asks the Court to approve bidding procedures for the sale of the property: a. All competing offers or bids for the property must be in writing and must be received by the Debtor's counsel no later than 5:00 p.m. on Sept. 29, 2016. b. Along with the written offer or bid, each bidder must also submit to Debtor's counsel by the same deadline a $2,000 deposit that will be applied to the purchase price if the bid is successful and will be returned to the bidder if the bid is not successful, together with written evidence of a commitment for financing or other evidence of ability to consummate the proposed purchase of the property. c. A "Qualified Bidder" will be any bidder who submits the foregoing items to Debtor's counsel on or before the foregoing deadline, and any competing offer or bid so submitted will be a "Qualified Bid." d. In the event that a qualified bid is not received by Debtor's counsel, the Debtor will ask the Court to approve the sale to the Buyer on the terms set forth in the REPC at the hearing on the Motion, which is scheduled for Oct. 4, 2016, commencing at the hour of 9:30 a.m. e. In the event that a qualified bid is received by the Debtor's counsel, Debtor's counsel will conduct an auction ("Auction") of the Property. The auction will take place at 10:00 a.m. on Oct. 3, 2016, in the lobby near the ground floor elevators on the south end of the Bankruptcy Court at 350 South Main Street, Salt Lake City, Utah. The auction will be limited to the buyer and all qualified bidders. f. The Debtor's counsel will conduct the auction by announcing the highest and best qualified bid. The auction will then be opened to competing bids. The Debtor's counsel will entertain competing bids for the property in such successive rounds as Debtor's counsel determines in his sole discretion to be appropriate so as to obtain the highest and best bid for the property. The Debtor's counsel may also set opening bid amounts in each round of bidding as he determines appropriate. g. At the Auction, the Debtor and his counsel will review each bid on the basis of financial and contractual terms and the factors relevant to the sale process, including the speed and certainty of closing the sale, and then identify the person submitting the highest and best offer for the property ("Successful Bidder" and "Successful Bid"). h. The Debtor will present the successful bid to the Court for approval at the hearing on the Motion, which will be conducted at 9:30 a.m. on Oct. 4, 2016. A copy of the Real Estate Purchase Contract attached to the Motion is available for free at: http://bankrupt.com/misc/Gloyd_Green_139_Sales.pdf Counsel for the Debtor: Chris L. Schmutz, Esq. SCHMUTZ & MOHLMAN, LLC 190 North Main #100 Bountiful, UT 84010 Telephone: (801) 298-4800 Facsimile: (801) 298-4804 E-mail: chrisschmutz.pc@gmail.com Gloyd W. Green sought Chapter 11 protection (Bankr. D. Utah Case No. 15-25181) on June 3, 2015. GREYSTONE LOGISTICS: Reports Record Sales for Fiscal 2016 --------------------------------------------------------- Tulsa-based Greystone Logistics, Inc., reported sales for the fiscal year ended May 31, 2016, of $26,340,405 compared to $22,293,922 in fiscal year 2015, an increase of $4,046,483, or 18.2%. Greystone's sales to its major customer in fiscal year 2016 were 41% of total sales compared to 51% in the prior year. Pallet sales to a new major customer increased from zero to 15% of total sales in fiscal year 2016. Greystone's net income was $836,134 in fiscal year 2016 compared to $609,569 in fiscal year 2015. Greystone recorded net income available to common stockholders for fiscal year 2016 of $271,426, or $.01 per share, compared to $57,565, or $0.00 per share, in fiscal year 2015. Warren Kruger CEO stated, "We anticipate driving top line sales during the next fiscal year and will continue to be diligent and cognizant of our need to drive down costs of production through innovation, automation, and scale focusing on providing returns that our shareholders' expect. Since last quarter's announcement of a new machine, two additional new machines have been placed into production to accommodate growing demand for Greystone's products. Much of this demand is for a newly designed pallet being manufactured and sold to a lease pool customer that rents the pallets. The combination of strength, standardization, ease of cleaning, and recyclability are driving customer conversion from wood to plastic. Greystone has the best engineered injection molded pallet line in the world with innovative designs allowing superior racking strength, high coefficient of friction anti-skid solutions, proprietary freezer additives allowing for use in environments of -30 degrees Fahrenheit, and utilizing 100% recycled and recyclable plastic content." A full-text copy of the press release is available for free at: https://is.gd/aPXao3 About Greystone Logistics Tulsa, Okla.-based Greystone Logistics, Inc. (OTC BB: GLGI.OB - News) -- http://www.greystonelogistics.com/-- manufactures and sells plastic pallets through its wholly owned subsidiary, Greystone Manufacturing, LLC. Greystone sells its pallets through direct sales and a network of independent contractor distributors. Greystone also sells its pallets and pallet leasing services to certain large customers direct through its President, Senior Vice President of Sales and Marketing and other employees. As of May 31, 2016, Greystone had $19.9 million in total assets, $20.6 million in total liabilities, and a total deficit of $724,000. GULFMARK OFFSHORE: Joined Barclays CEO Energy Power Conference -------------------------------------------------------------- Quintin Kneen, president & chief executive officer of GulfMark Offshore, Inc. presented on Sept. 8, 2016, at the Barclays CEO Energy Power Conference held in New York, New York. Copies of the presentation slides used at the presentation are available for free at https://is.gd/vM8cUH About Gulfmark GulfMark Offshore, Inc., a Delaware corporation, was incorporated in 1996. The Company provides offshore marine support and transportation services primarily to companies involved in the offshore exploration and production of oil and natural gas. The Company's vessels transport materials, supplies and personnel to offshore facilities, and also move and position drilling and production facilities. The majority of our operations are conducted in the North Sea, offshore Southeast Asia and offshore the Americas. The Company currently operates a fleet of 73 owned or managed offshore supply vessels, or OSVs, in the following regions: 30 vessels in the North Sea, 13 vessels offshore Southeast Asia, and 30 vessels offshore the Americas. The Company's fleet is one of the world's youngest, largest and most geographically balanced, high specification OSV fleets. The Company's owned vessels have an average age of approximately nine years. Gulfmark reported a net loss of $215 million in 2015 following net income of $62.4 million in 2014. As of June 30, 2016, Gulfmark had $1.12 billion in total assets, $587 million in total liabilities, and $541 million in total stockholders' equity. * * * As reported by the TCR on March 15, 2016, Standard & Poor's Ratings Services lowered its corporate credit rating on Houston-based, marine transportation services company GulfMark Offshore Inc. to 'CCC' from 'B-'. The TCR also reported on Feb. 26, 2016, that Moody's Investors Service downgraded GulfMark Offshore Inc.'s (GulfMark) Corporate Family Rating (CFR) to Caa3 from B3, Probability of Default Rating (PDR) to Caa3-PD from B3-PD, and senior unsecured notes to Ca from Caa1. HAGGEN HOLDINGS: Committee Sues Comvest for Asset-Stripping ----------------------------------------------------------- Matt Chiappardi, writing for Bankruptcy Law360, reported that the official committee of unsecured creditors in the Haggen Holdings LLC bankruptcy case launched an adversary action accusing the Company's former principal stakeholder, Comvest Partners, of a "Machiavellian scheme" to strip assets from the company before it filed for Chapter 11 protection last year. The Committee filed a 145-page, 78-count complaint, saying Comvest hatched a scheme in the wake of Haggen's acquisition of 146 supermarkets from Albertsons LLC in 2014 that "covertly siphoned away valuable real estate assets. About Haggen Holdings Headquartered in Bellingham, Washington, Haggen was founded in 1933 as a single grocery store. From 1933 to 2014, Haggen grew into a 30 store family-run grocery chain, with stores located in the northwestern United States. From 2011 to 2014, Haggen reduced its store base to 18, including a stand-alone pharmacy location. Haggen rapidly expanded in 2014 and 2015, and, as of the Petition Date, Haggen owned and operated 164 stores through three operating companies: Haggen, Inc., Haggen Opco North, LLC and Haggen Opco South, LLC. Haggen Holdings, LLC, and its affiliates filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 15-11874 to 15-11879) on Sept. 8, 2015, with the intention of reorganizing, or selling as a going concern, their stores for the benefit of their creditors. The petitions were signed by Blake Barnett, the chief financial officer. The Debtors estimated assets of $50 million to $100 million and estimated liabilities of $10 million to $50 million. Young, Conaway, Stargatt & Taylor, LLP, is serving as the Debtors' local counsel. Stroock & Stroock & Lavan LLP serves as the Debtors' general counsel. Alvarez & Marsal North America, LLC, acts as the Debtors' financial advisor. Kurtzman Carson Consultants LLC serves as the Debtors' claims and noticing agent. T. Patrick Tinker, assistant U.S. Trustee for Region 3, appointed seven creditors to the official committee of unsecured creditors. Pachulski Stang Ziehl & Jones LLP serves as counsel to the Committee. Giuliano, Miller & Company, LLC, serves as tax advisors to the Committee. HALCON RESOURCES: Wins Confirmation of Chapter 11 Plan ------------------------------------------------------ Jeff Montgomery, writing for Bankruptcy Law360, reported that Halcon Resources Corp. reported next-day plans to emerge from bankruptcy, one day after overcoming limited U.S. Securities and Exchange Commission objections and winning confirmation of a modified prepackaged Chapter 11 plan in Delaware bankruptcy court. Company attorney Joseph H. Smolinsky of Weil Gotshal & Manges LLP told Judge Brendan Lyman Shannon the exit from Chapter 11 was driven by concern for the company's stock, which has continued to trade on the New York Stock Exchange despite its retreat to Chapter 11. A copy of the Court's Findings of Fact, Conclusions of Law, An Order (I) Approving The Debtors (A) Disclosure Statement, (B) Solicitation Of Votes And Voting Procedures, And (C) Forms Of Ballots, And (I) Confirming The Amended Joint Prepackaged Chapter 11 Plan Of Halcon Resources Corporation, et al. Under Chapter 11 Of The Bankruptcy Code, is available at http://bankrupt.com/misc/deb16-11724 As reported by the Troubled Company Reporter on Aug. 1, 2016, under the Restructuring Plan, the Company will eliminate approximately $1.8 billion in long-term debt and will reduce annual interest expense by more than $200 million. The Restructuring Plan also provides that existing holders of Halcon common stock will receive 4.0% of the common stock of the reorganized Company (subject to dilution set forth in the Restructuring Plan). Halcon sought bankruptcy protection after a successful solicitation for support of the Restructuring Plan from the Company's 13.0% 3rd Lien Notes due 2022, its three tranches of senior unsecured notes comprised of its 9.75% Senior Notes due 2020, its 8.875% Senior Notes due 2021, and its 9.25% Senior Notes due 2022, its 8.0% Convertible Note due 2020 and its 5.75% Series A Perpetual Convertible Preferred Stock. This solicitation resulted in overwhelming support for the Restructuring Plan with the Company having received acceptances from more than 95% in number and over 99% in aggregate amount of claims and interests in each Affected Stakeholder class that voted on the Plan. In addition, as previously announced, Halcon also reached an agreement with holders of more than 51% in aggregate principal amount of its 8.625% and 12.0% 2nd Lien Notes due 2020 and 2022 regarding certain amendments to the indentures governing such notes in exchange for the commitment of such holders to support the Restructuring Plan. At the time of the bankruptcy filing, Halcon said the Restructuring Plan is expected to conclude in approximately 45 to 60 days. About Halcon Resources Halcon Resources Corporation is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States. Halcon Resources and 21 of its subsidiaries each filed a voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case Nos. 16-11724 through 16-11745) on July 27, 2016. The petitions were signed by Stephen W. Herod as president. The Debtors listed assets of $2.84 billion and debts of $3.14 billion as of March 31, 2016. The Debtors have hired Young Conaway Stargatt & Taylor, LLP and Weil, Gotshal & Manges LLP as co-counsel; PJT Partners LP as investment banker; Alvarez & Marsal North America, LLC as restructuring advisor; and Epiq Bankruptcy Solutions, LLC as claims, noticing and solicitation agent. HANCOCK FABRICS: Selling De Minimis Assets to Datamax for $118K --------------------------------------------------------------- Hancock Fabrics, Inc., and its affiliates, filed with the U.S. Bankruptcy Court for the District of Delaware a notice indicating its plans to sell de minimis assets to Datamax System Solutions for $118,250. The de minimis assets to be sold by the Debtors consist of certain point-of-sale, scanning, and data collection equipment, along with ancillary equipment and accessories. On May 24, 2016, the Court approved the Order Authorizing and Approving Expedited Procedures for the Sale or Abandonment of De Minimis Assets ("Sale Order"), whereby the Court authorized the Debtors to sell de minimis assets. As part of the marketing process, the Debtors contacted parties known to be interested in similar assets and established the sale price through an iterative solicitation process. The Debtors propose to sell the De Minimis Assets to Datamax for $118,250 on a final cash sale, as is where is basis. Datamax has no connection to the Debtors. Any parties may object to the proposed sale within 10 business days following service of the notice by writing to the Debtors' counsel, Richards, Layton & Finger, P.A. and O'Melveny & Myers LLP. About Hancock Fabrics Hancock Fabrics, Inc., is a specialty fabric retailer operating stores under the name "Hancock Fabrics". Hancock has 4,500 full-time and part time employees. The Baldwyn, Mississippi-based company is one of the largest fabric retailers in the United States, operating 260 stores in 37 states as of October 31, 2015 and an internet store under the domain name http://www.hancockfabrics.com/ Hancock Fabrics, Inc. and six of its affiliates, retailer of fabric, sewing and accessories, filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 16-10296 to 16-10302) on Feb. 2, 2016. Dennis Lyons, the senior vice president and chief administrative officer, signed the petitions. Judge Brendan Linehan Shannon is assigned to the jointly administered cases. The Debtors have engaged O'Melveny & Myers LLP as general counsel, Richards, Layton & Finger, P.A., as local counsel, Clear Thinking Group LLC as financial advisor, Retail Consulting Services, Inc. d/b/a Real Estate Advisors as real estate advisors and Kurtzman Carson Consultants, LLC as claims and noticing agent. The Debtors disclosed total assets of $151.4 million and total debts of $182.1 million. The Debtors owe its trade vendors approximately $21.2 million as of Jan. 31, 2016. HANJIN SHIPPING: Troubles Leave $14-Bil. in Cargo Stranded at Sea ----------------------------------------------------------------- Costas Paris and Erica E. Phillips, writing for The Wall Street Journal, reported that the financial woes of one of the world's biggest shipping lines have left as much as $14 billion worth of cargo stranded at sea, sending its owners scurrying to try to recover their goods and get them to customers, according to industry executives, brokers and cargo owners. According to the report, since Hanjin Shipping Co. of South Korea filed for bankruptcy protection, dozens of ships carrying more than half a million cargo containers have been denied access to ports around the world because of uncertainty about who would pay docking fees, container-storage and unloading bills. Some of those ships have been seized by the company's creditors, the report related. Samsung Electronics Co., which makes the Galaxy smartphone and other devices, said it has cargo valued at about $38 million stranded on Hanjin ships in international waters, the report said. Samsung said it is considering chartering 16 cargo planes to fulfill its shipment contracts, mostly to the U.S., the report related. Though Hanjin accounts for only about 3.2% of global container capacity, the disruption, which comes as retailers prepare to stock their shelves for the holiday season, is expected to be costly, as companies scramble to book their goods on other carriers, the report further related. Analysts don't expect the snarl to leave U.S. retailers with inventory shortfalls for the holidays, but the longer the logjam drags on, the greater the risk, the report said. About Hanjin Shipping Hanjin Shipping Co., Ltd. is mainly engaged in the transportation business through containerships, transportation business through bulk carriers and terminal operation business. The Debtor is a stock-listed corporation with a total of 245,269,947 issued shares (common shares, KRW 5000 per share) and paid-in capital totaling KRW 1,226,349,735,000. Of these shares 33.23% is owned by Korean Air Lines Co., Ltd., 3.08% by Debtor and 0.34% by employee shareholders' association. The Company operates approximately 60 regular lines worldwide, with 140 container or bulk vessels transporting over 100 million tons of cargo per year. It also operates 13 terminals specialized for containers, two distribution centers and six Off Dock Container Yards in major ports and inland areas around the world. The Company is a member of "CKYHE," a global shipping conference and also a partner of "The Alliance," another global shipping conference to be launched in April 2017. As a result of the severe lack of liquidity, Hanjin applied to the Seoul Central District Court 6th Bench of Bankruptcy Division for the commencement of rehabilitation under the Debtor Rehabilitation and Bankruptcy Act on Aug. 31, 2016. Hanjin filed in the U.S. a voluntary petition under Chapter 15 of the Bankruptcy Code on Sept. 2, 2016 to seek recognition of its Korean restructuring. The Chapter 15 case (Bankr. D.N.J. Case No. 16-27041) is pending before Judge John K. Sherwood. Cole Schotz P.C. serves as counsel to Tai-Soo Suk, the Chapter 15 petitioner and the duly appointed foreign representative of Hanjin Shipping. HARRINGTON & KING: Has Interim Nod to Use Inland Bank Cash ---------------------------------------------------------- Judge Deborah L. Thorne of the U.S. Bankruptcy Court for the Northern District of Illinois authorized The Harrington & King Perforating Co., Inc. and Harrington & King South, Inc., to use Inland Bank and Trust's cash collateral on an interim basis. The Debtors are indebted to Inland Bank in the amount of $4,057,788. Judge Thorne acknowledged that the Debtor's use of cash collateral will prevent immediate and irreparable harm to the Debtor's estate and enhance the possibility of maximizing the value of the Debtor's business and assets. The approved Budget covers the period beginning with the week ending September 2, 2016 and ending with the week ending September 16, 2016. The Budget provides for total cash disbursements in the amount of $220,725. Inland Bank was granted replacement liens in addition to its prepetition liens, and an allowed claim, to the extent the adequate protection of the interests of Inland Bank in the prepetition collateral proves insufficient, with priority over all claims, subject to Carveout. The Carveout consists of: (a) all fees required to be paid to the Office of the United States Trustee; and (b) with respect to each Carveout Professional, the allowed fees and disbursements as may be awarded to such Carveout Professional from time to time. A further hearing on the Debtor's Motion was scheduled on September 7, 2016 at 10:00 a.m. A full-text copy of the Interim Order, dated September 2, 2016, is available at https://is.gd/G99FHi About The Harrington & King Perforating Co., Inc. The Harrington & King Perforating Co., Inc. and Harrington & King South Inc. are in the business of manufacturing perforating metal sheets and rolled coils of varying gauges and types to produce hole patterns of various sizes, shapes, and spacing. Most of the work is done to customer specifications and consists of high value-added jobs, not typical of most metal punching. The products are used in automotive, acoustics, architecture, food and pharmaceutical straining and filtering, interior design, manufacturing, safety flooring, pollution control, transportation and mining cleaning and grading, electronics and other fields. The Debtors sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ill. Case Nos. 16-15650 and 16-15651) on May 7, 2016. The petitions were signed by Greg McCallister, chief restructuring officer and chief operating officer. The cases are jointly administered under Case No. 16-15650. The cases are assigned to Judge Deborah L. Thorne. The Debtors estimated both assets and liabilities in the range of $1 million to $10 million. The Debtors are represented by William J. Factor, Esq., at FactorLaw. HECK INDUSTRIES: Has Until October 26 to File Chapter 11 Plan ------------------------------------------------------------- Judge Douglas D. Dodd of the U.S. Bankruptcy Court for the Middle District of Louisiana extended Heck Industries, Inc.'s exclusive periods to file a plan and obtain acceptance of its plan, to October 26, 2016 and December 26, 2016, respectively. The Debtor previously sought the extensions of its exclusive periods to file a chapter 11 plan and obtain acceptances to the plan, contending that its plan will largely depend on the negotiations among the Debtor, its secured lenders, and the Official Committee of Unsecured Creditors. The Debtor further contended that the plan will also depend on the outcomes of certain adversary proceedings which have been filed in connection with the chapter 11 bankruptcy proceeding. About Heck Industries, Inc. Heck Industries, Inc., sought Chapter 11 protection (Bankr. M.D. La. Case No. 16-10516) on April 29, 2016. The case is assigned to Judge Douglas D. Dodd. William E. Steffes, Esq., Noel Steffes Melancon, Esq., and Barbara B. Parsons, Esq., at Steffes, Vingiello & McKenzie, L.L.C., serve as the Debtor's bankruptcy counsel. The Debtor is the owner of a concrete supply business which has operated throughout Louisiana since 1957. The Debtor's chapter 11 case was precipitated by a severe strain on collection of its accounts receivable due to, among other things, unfortunate weather conditions hampering the Debtor's ability to complete numerous jobs awarded to it. The Debtor estimated $1 million to $10 million in assets and debt at the time of the filing. The United States Trustee appointed Continental Cement Company, Holcim (US) Inc., and Savard Labor & Marine, Inc. to serve on the Official Committee of Unsecured Creditors. The Official Committee of Unsecured Creditors are represented by Armistead M. Long, Esq., at Gordon Arata McCollam Duplantis & Eagan, LLC. HOMETOWN HARDWARE: Has Until Sept. 13 to Use Cash Collateral ------------------------------------------------------------ Judge Deborah J. Saltzman of the U.S. Bankruptcy Court for the Central District of California authorized Hometown Hardware & Garden, Inc. to use cash collateral until Sept. 13, 2016, pursuant to the Stipulation between the Debtor and secured lender Capital Bank. A continued hearing on the Debtor's Motion is scheduled on Sept. 13, 2016 at 2:00 p.m. Judge Saltzman directed the Debtor to file a 90-day cash flow budget with the Court no later than September 8, 2016. A full-text copy of the Order, dated Sept. 2, 2016, is available at https://is.gd/dk98ad About Hometown Hardware & Garden Hometown Hardware & Garden, Inc. filed a chapter 11 petition (Bankr. C.D. Cal. Case No. 16-21359) on Aug. 25, 2016. The petition was signed by Gregory Guller, president. The Debtor is represented by Tuan Le, Esq., at the Law Office of Steve Lopez. The case is assigned to Judge Deborah J. Saltzman. The Debtor estimated total assets at $1 million to $10 million and total liabilities at $500,000 to $1 million at the time of the filing. HOVNANIAN ENTERPRISES: Tender Offer & Consent Solicitation Expire ----------------------------------------------------------------- Hovnanian Enterprises, Inc., disclosed that the tender offer of its wholly-owned subsidiary, K. Hovnanian Enterprises, Inc., to purchase for cash any and all of its 8.625% Senior Notes due 2017 and related solicitation of consents expired Sept. 7, 2016, at 8:30 a.m., New York City time. Notes tendered in the Tender Offer were less than 90% of the aggregate outstanding principal amount of Notes on July 29, 2016, which was a condition to the Tender Offer and Consent Solicitation. As a result, K. Hovnanian will not accept for purchase or pay for any Notes tendered pursuant to the Tender Offer and the proposed amendments to the indenture under which the Notes were issued that were the subject of the Consent Solicitation will not be effected. K. Hovnanian has instructed the depositary and information agent to promptly return all Notes previously tendered to the tendering holders. Concurrently with the launch of the Tender Offer and Consent Solicitation, the Company and K. Hovnanian entered into financing commitments with affiliates of a certain investment manager. K. Hovnanian intends to use a portion of the net cash proceeds of the Financings to call the Notes for redemption at the closing of the Financings, which is expected to occur on Sept. 8, 2016. The Notes will be redeemed for cash at a price equal to 100% of the principal amount of the Notes plus a make-whole payment together with accrued and unpaid interest on the Notes up to, but excluding, the redemption date. K. Hovnanian expects to deposit funds sufficient to pay the Redemption Price and to satisfy and discharge the Notes Indenture on the closing date of the Financings. Upon satisfaction and discharge of the Notes Indenture, the restrictive covenants and events of default contained therein will cease to have effect. The aggregate outstanding principal amount of the Notes is $121,043,000. About Hovnanian Enterprises Red Bank, New Jersey-based Hovnanian Enterprises, Inc. (NYSE: HOV) -- http://www.khov.com/-- founded in 1959 by Kevork S. Hovnanian, is one of the nation's largest homebuilders with operations in Arizona, California, Delaware, Florida, Georgia, Illinois, Kentucky, Maryland, Minnesota, New Jersey, New York, North Carolina, Ohio, Pennsylvania, South Carolina, Texas, Virginia and West Virginia. The Company's homes are marketed and sold under the trade names K. Hovnanian Homes, Matzel & Mumford, Brighton Homes, Parkwood Builders, Town & Country Homes, Oster Homes and CraftBuilt Homes. As the developer of K. Hovnanian's Four Seasons communities, the Company is also one of the nation's largest builders of active adult homes. Hovnanian Enterprises reported a net loss of $16.1 million on $2.14 billion of total revenues for the year ended Oct. 31, 2015, compared to net income of $307 million on $2.06 billion of total revenues for the year ended Oct. 31, 2014. As of Jan. 31, 2016, Hovnanian had $2.55 billion in total assets, $2.69 billion in total liabilities and a $143 million total stockholders' deficit. * * * As reported by the TCR on April 22, 2016, Moody's Investors Service downgraded the Corporate Family Rating of Hovnanian Enterprises, Inc. to Caa2 and Probability of Default Rating to Caa2-PD. The downgrade of the Corporate Family Rating reflects Moody's expectation that Hovnanian will need to dispose of assets and seek alternative financing methods in order to meet its upcoming debt maturity wall. Hovnanian carries a 'CCC+' corporate credit rating from S&P Global Ratings. As reported by the TCR on Aug. 3, 2016, Fitch Ratings has affirmed the ratings of Hovnanian Enterprises, Inc. (NYSE: HOV), including the company's Long-Term Issuer Default Rating (IDR) at 'CCC' following the recently announced financing commitments and proposed tender offer for its existing unsecured notes. J&E LAND: Pearce to Auction Two Shopping Centers on Oct. 13 ----------------------------------------------------------- Two shopping centers in Walker County, Alabama, are being sold in an online auction as part of the ongoing liquidation of J&E Land Company. Pearce & Associates will market the retail properties individually in an online auction scheduled to end Thursday, Oct. 13. Medical Plaza East Shopping Center, located at 4331 Highway 78 East, Jasper, Alabama, is located near Walker Baptist Medical Center, has 67,000 square feet of leasable space. It currently has 13 tenants, including an Alabama ABC Store. "This is a great location, surrounded by businesses that generate traffic, including auto dealerships, restaurants, hotels and medical practices," said Chip Pearce, president of the auction company. Also selling will be Walston Bridge Plaza, a 16,275-square-foot shopping center at 301 Walston Bridge Road in Jasper. "Both of these shopping centers are tremendous opportunities for investors. In each case, we will provide bidders with detailed information, which includes copies of leases, tenant payment history, surveys and environmental reports," said Mr. Pearce. Bidders will be required to submit a deposit of $25,000 via cashier's check or bank wire transfer. Deposits of non-winning bidders will be returned within 24 hours of the end of the auction. Mr. Pearce will provide a bid center on Thursday, October 13, where bidders may bring deposits and get assistance with registration and bidding. The bid center will be located at the Hampton Inn on Industrial Parkway in Jasper, Alabama. Individuals seeking additional information may visit http://auctionbypearce.com/or call 205-664-4300. Jasper-based J&E Land Company filed for Chapter 11 bankruptcy protection (Bankr. N.D. Ala. Case No. 13-02081) in 2013, citing debts of more than $7.4 million. The liquidation is being administered by George E. Shoup, III, of Development Specialists, Inc., as the Plan Trustee of the Liquidating Trust. Pearce & Associates, based in Alabaster, markets real estate and other assets throughout Alabama, primarily through online auctions. Clients include estate executors, business owners, attorneys, bankruptcy trustees and individuals. The firm also has ongoing contracts with many cities and counties for the sale of surplus materials. Development Specialists, Inc. (DSI) is a national provider of management consulting and financial advisory services, including turnaround consulting, fiduciary roles, financial restructure, litigation support, wind-down oversight and forensic accounting services. JACKSON MASONRY: Selling Nashville Property for $475K ----------------------------------------------------- Jackson Masonry, LLC, asks the U.S. Bankruptcy Court for the Middle District of Tennessee to authorize the sale of real property located at 657 Old Hickory Boulevard, Nashville, Tennessee to Contract Properties, LLC, for $475,000. A hearing on the Motion is set for Oct. 4, 2016. The objection deadline is Sept. 22. The Debtor is indebted to Franklin Synergy Bank ("Lender") pursuant to a Commercial Line of Credit Agreement and Note ("Note") and a Business Loan Agreement ("Loan Agreement"), each dated Feb. 9, 2016. On June 28, 2016, the Lender filed a proof of claim in the case (ECF Claim No. 6), which reflects an outstanding balance on the Note of $238,150 due as of the Petition Date. The Note is secured by a Commercial Open-Ended Deed of Trust dated February ("Deed of Trust") dated Feb. 9, 2016, which granted the Lender a lien on the property. The Debtor desires to sell the property under terms and conditions of the Debtor's and Purchaser's Purchase and Sale Agreement ("Agreement"). A copy of the Agreement attached to the Motion is available for free at: http://bankrupt.com/misc/Jackson_Masonry_237_Sales.pdf The Terms of the Agreement are summarized as follows: a. Purchase Price: $475,000 b. Earnest Money: $5,000 c. Closing Date: Oct. 15, 2016 d. Brokers' Commission: The Wilson Group ("Broker"), whose retention as exclusive broker for the sale of the property was approved by the Court on June 13, 2016, will be paid a 3% commission on the purchase price. The Debtor further requests the authority to use the proceeds from the sale of the property to pay at closing (i) the lien of the Lender; (ii) any other claims that constitute liens on the property; and (iii) allowed commissions to Brokers. The Debtor has determined in its business judgment that a sale of the property is in the best interest of creditors and the estate. The offer is the highest and best offer for the property presented to the Debtor. About Jackson Masonry Jackson Masonry, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Tenn. Case No. 16-02065) on March 24, 2016. The petition was signed by Rogers Jackson, member. The Debtor is represented by Griffin S. Dunham, Esq., at Dunham Hildebrand, PLLC. The case is assigned to Judge Keith M. Lundin. The Debtor estimated both assets and liabilities in the range of $1 million to $10 million. JACOB KOBY KHAKSHOURI: Court Approves Disclosure Statement ---------------------------------------------------------- Judge Richard M. Neiter of the U.S. Bankruptcy Court for the Central District of California approved the Amended Fourth Amended Disclosure Statement explaining Jacob Koby Khakshouri's Fourth Amended Plan. Both the Lender and U.S. Trustee filed limited objections to the Disclosure Statement. At the hearing, Gary E. Klausner, Esq. -- gek@lnbyb.com -- of Levene Neale Bender Yoo & Brill, who represents the Lender, indicated that the negotiated changes in the Disclosure Statement were satisfactory to the Lender and resolved all of the Lender's objections. Kenneth Lau, who appeared on behalf of the U.S. Trustee, stated that the U.S. Trustee was satisfied with the changes in the Disclosure Statement and had no further objections. Carolyn Dee appeared on behalf of Sam Leslie, Examiner. The Court advised the parties that this case would be assigned to a new judge, and the parties would have to confer with the new judge regarding, among other things, obtaining a hearing date for confirmation of the Debtor's Amended Fourth Amended Plan. Based upon the Court's review of the records, pleadings, and papers on file, the statements of counsel regarding the resolution of any objections to the Motion, and for good cause shown, the Debtor's Motion to Approve the Disclosure Statement is granted, and the Amended Fourth Amended Disclosure Statement is approved. The bankruptcy case is In re: JACOB KOBY KHAKSHOURI, Case No. 2:14-bk-14592-RN (Bankr. C.D. Calif.). The Debtor is represented by: Alan F. Broidy, Esq. LAW OFFICES OF ALAN F. BROIDY, APC 1925 Century Park East, 17th Floor Los Angeles, CA 90067 Phone: (310) 286-6601 Fax: (310) 286-6610 Email: alan@broidylaw.com JAMES ALFORD: Plan Confirmation Hearing on Oct. 25 -------------------------------------------------- Judge Edward Ellington of the U.S. Bankruptcy Court for the Southern District of Mississippi approved the disclosure statement explaining James H. Alford, Jr.'s Plan of Reorganization and scheduled a hearing on confirmation of the Plan for October 25, 2016, at 1:30 p.m. The 12th day of October, 2016, is fixed as the last day for filing objections to the confirmation of the Plan of Reorganization. James Alford filed a Chapter 11 petition (Bankr. W.D. La. Case No. 11-30714) on April 26, 2011. JAMES ANTHONY DEAL: Dec. 1 Plan Confirmation Hearing ---------------------------------------------------- Judge John S. Dalis of the U.S. Bankruptcy Court for the Southern District of Georgia approved the disclosure statement explaining James Anthony Deal and Margaret V. Deal's First Amended Chapter 11 Plan, and scheduled for December 1, 2016, at 10:30 AM, a hearing on confirmation of the Plan and Discharge, if applicable. November 23 is fixed as the last day for filing written acceptances or rejections of the Plan. The Debtors and their attorney must appear. In the event they fail to appear, or if the plan is not confirmed at said hearing, a hearing will thereupon be held to determine whether the case should be dismissed or converted to Chapter 7. The bankruptcy case is In re: James Anthony Deal and Margaret V. Deal, Debtors, Case No. 14−50778−JSD (Bankr. S.D. Ga.). JAMES EMERSON DAVIS: Court Overrules Objection to Claim #4 ---------------------------------------------------------- In the case captioned In re JAMES EMERSON DAVIS, Debtor(s), No. 16-10249 (Bankr. N.D. Calif.), Judge Alan Jaroslosky of the United States Bankruptcy Court for the Northern District of California overruled the Debtor's objection to Claim No. 4. In 2006, the Debtor borrowed $461,000 from the First National Bank of Arizona secured by his real property in Mendocino County. Claim #4 in this case has been filed by Specialized Loan Servicing, LLC, as servicer of that loan. Davis challenges SLS's standing to assert the claim, arguing that it has not provided evidence of any agency or other relationship with the current holder of Davis' note, or any evidence as to how it came into possession of the note. Judge Jaroslosky held that in this case, SLS has established that Fist National Bank of Arizona endorsed the note in favor of First National Bank of Neveda, which endorsed the note in favor of Countrywide Home Loans, Inc., which endorsed the note in blank, and that SLS now holds the note. SLS accordingly has standing to enforce the note. There is also no legal basis for Davis' argument that SLS must show exactly how it came into possession of the note, Judge Jaroslosky said. A full-text copy of the Memorandum dated August 30, 2016 is available at https://is.gd/0xahRD from Leagle.com. James Emerson Davis, Debtor, is represented by Michael C. Fallon, Esq. -- Law Offices of Michael C. Fallon. Office of the U.S. Trustee/SR, U.S. Trustee, is represented by Lynette C. Kelly, Office of the United States Trustee. JEFF BENFIELD: Can Use Cash Collateral Until Sept. 21 ----------------------------------------------------- Judge J. Craig Whitley of the U.S. Bankruptcy Court for the Western District of North Carolina authorized Jeff Benfield Nursery, Inc., to use cash collateral on an interim basis, until September 21, 2016. The Debtor's approved monthly cash Budget provides for total operating expenses in the amount of $326,679. The Debtor's Lenders were granted valid, attached, choate, enforceable, perfected and continuing security interests in, and liens upon all the Debtor's postpetition assets of the same character and type, to the same extent and validity as the liens and encumbrances of the Lenders attached to the Debtor's assets prepetition. Judge Whitley made no ruling on the Internal Revenue Service's request for the monthly payment of $9,366 as adequate protection, opting to consider it further at the final hearing. A final hearing on the use of cash collateral will be held on Sept. 21, 2016 at 2:00 p.m. A full-text copy of the Interim Order, dated Sept. 2, 2016, is available at https://is.gd/BcrnNC About Jeff Benfield Nursery Jeff Benfield Nursery, Inc., filed a chapter 11 petition (Bankr. W.D.N.C. Case No. 09-40311) on April 17, 2009. The petition was signed by Jeffrey L. Benfield, president. The Debtor is represented by David G. Gray, Esq., at Westall, Gray, Connolly & Davis, P.A. The case is assigned to Judge George R. Hodges. The Debtor disclosed total assets at $9,428,325 and total liabilities at $9,370,095. KARLEE COMPANY: SSG Acted as Co-Investment Banker in Asset Sale --------------------------------------------------------------- SSG Advisors, LLC, acted as the co-investment banker to KARLEE Company, Inc., in the sale of substantially all of its assets to an affiliate of Resilience Capital Partners. The sale was effectuated under UCC Article 9 and closed in August 2016. KARLEE specializes in high complexity, close tolerance sheet metal fabrication, machined parts and assemblies for the aerospace, communications, commercial goods, defense and medical equipment industries. The Company offers customers a full range of services from e-business to total supply chain management, prototyping and concurrent engineering. KARLEE had historically performed well, generating enough cash flow to meet its debt service requirements. However, in 2013, the Company encountered issues during an ERP system conversion which led to strained liquidity. SSG was retained by KARLEE in March 2016 to evaluate strategic alternatives and conduct a comprehensive marketing process to strategic and financial buyers in order to structure the optimal solution for the Company. Several parties engaged in a thorough review of the business and submitted offers for KARLEE. Resilience's offer to acquire substantially all of KARLEE's assets, as well as provide the appropriate capital going forward, should allow KARLEE to reach its full growth potential. SSG's experience in identifying buyers and running a thorough and expedited sale process enabled key stakeholders to maximize value. The acquisition of KARLEE will complement Resilience's portfolio company, Porter's Group, LLC, a leading provider of metal fabrication solutions serving the security, military, mining, heavy equipment and trucking industries. Porter's Group is also the largest metal fabricator of ATMs in North America. Based in Cleveland, Ohio, Resilience invests in niche-oriented manufacturing, value added distribution and business service companies with sustainable market positions and clear paths to cash flow improvement. Other professionals who worked on the transaction include: -- Jay H. Krasoff and Scott W. Johnson of Chiron Financial, LLC, co-investment banker to KARLEE Company, Inc.; -- John J. Kane and Jason B. Binford of Kane Russell Coleman & Logan PC, counsel to KARLEE Company, Inc.; -- Bill Patterson, Chris Lang and Jon Daniels of Bridgepoint Consulting, LLC, Chief Restructuring Officer and Financial Advisor to KARLEE Company, Inc.; -- Melissa S. Hayward of Franklin Hayward LLP, counsel to the KARLEE Company, Inc. equity holders; -- Nicholas S. Pappas of Bruner & Pappas, L.L.P., counsel to Southside Bank; -- Daniel C. Garner of Hunton & Williams LLP, counsel to Triumph Commercial Finance; and -- William R. Stewart, Jr., Ari M. Friedman, Catherine E. Arney, Jennifer M. Hayes, Christopher M. Matgouranis, Todd R. Miller and Mark D. Tupa, Jr. of Jones Day, counsel to Resilience Capital Partners. About SSG Capital Advisors SSG Capital Advisors is an independent boutique investment bank that assists middle-market companies and their stakeholders in completing special situation transactions. It provides its clients with investment banking services in the areas of mergers and acquisitions, private placements, financial restructurings, valuations, litigation and strategic advisory. KEMET CORP: Unit Winds Down KFM's Operations -------------------------------------------- KEMET Electronics Corporation, a wholly-owned subsidiary of KEMET Corporation, made the decision on Aug. 31, 2016, to wind down operations of its wholly-owned subsidiary, KEMET Foil Manufacturing, LLC. Operations at KFM's Knoxville, Tennessee plant are expected to end as of Oct. 31, 2016. KFM supplies formed foil to the Company's Film & Electrolytic Business Group, as well as to certain third party customers. The Company anticipates that FEBG will achieve significant raw material cost savings by purchasing its formed foil from suppliers that have the advantage of lower utility costs. The Company expects to achieve annual cost savings related to these actions of approximately $2.5 to $3.0 million beginning in the third quarter of fiscal year 2017. The Company said this action will result in a pre-tax charge during the second fiscal quarter ending Sept. 30, 2016, of $6.0 to $9.1 million relating to the wind down consisting of a non-cash impairment charge of approximately $5.0 to $5.6 million; cash severance charges of $0.5 million for approximately 20 employees; and anticipated cash charges for contract termination costs in the range of $0.5 to $3.0 million. About KEMET KEMET, based in Greenville, South Carolina, is a manufacturer and supplier of passive electronic components, specializing in tantalum, multilayer ceramic, film, solid aluminum, electrolytic, and paper capacitors. KEMET's common stock is listed on the NYSE under the symbol "KEM." KEMET reported a net loss of $53.6 million on $735 million of net sales for the fiscal year ended March 31, 2016, compared to a net loss of $14.1 million on $823 million of net sales for the fiscal year ended March 31, 2015. As of June 30, 2016, Kemet had $671 million in total assets, $583 million in total liabilities and $88.4 million in total stockholders' equity. * * * As reported by the TCR on March 26, 2013, Moody's Investors Service downgraded KEMET Corp.'s Corporate Family Rating to 'Caa1' from 'B2' and the Probability of Default Rating to 'Caa1-PD' from 'B2- PD' based on Moody's expectation that KEMET's liquidity will be pressured by maturing liabilities and negative free cash flow due to the interest burden and continued operating losses at the Film and Electrolytic segment. As reported by the TCR on Aug. 9, 2013, Standard & Poor's Ratings Services lowered its corporate credit rating on KEMET to 'B-' from 'B+'. "The downgrade is based on continued top-line and margin pressures and lagging results from the restructuring of the Film & Electrolytic [F&E] business, which combined with cyclical weak end-market demand, has resulted in sustained, elevated leverage well in excess of 5x, persistent negative FOCF, and diminishing liquidity," said Standard & Poor's credit analyst Alfred Bonfantini. The TCR reported in August 2014 that S&P revised its outlook on KEMET to 'stable' from 'negative'. S&P affirmed the ratings, including the 'B-' corporate credit rating. KIDS ONLY II OF LAFAYETTE: Objects to RREF Disclosures, Ch. 11 Plan ------------------------------------------------------------------- Kids Only II of Lafayette, LLC, objects to the disclosure statement explaining the Chapter 11 plan of liquidation proposed by RREF PEBP-LA, LLC, complaining, among other things, that the Disclosure Statement omitted the following information: -- claim amount listed for RREF; -- valuation for the daycare as a going concern or as real estate; -- estimates for unsecured creditors; and -- definition of "Accelerated Marketing Plan." Moreover, the Debtor complains that the RREF Plan provides for the liquidation through an auction of the assets of the Debtor in a time period of less than 45 days. That procedure favors the interests of RREF as first mortgage holder over other creditors and the equity interests, the Debtor's counsel, Tom St. Germain, Esq., at Weinstein & St. Germain, LLC, in Lafayette, Louisiana, asserts. Since the Debtor's daycare has the most value as a going concern, the auction of the daycare in less than 45 days, especially if the sale is to be for real estate only, will likely not produce sufficient funds to pay all creditors and may not even be enough to pay RREF's claim in full, Mr. St. Germain further asserts. The U.S. bankruptcy court will hold a hearing on September 13 to consider approval of the Chapter 11 Plan. The U.S. Bankruptcy Court for the Western District of Louisiana will hold the hearing at 10:00 a.m., at the Bankruptcy Court, Suite 100, 214 Jefferson Street, Lafayette, Louisiana. The court will also consider at the hearing the final approval of the disclosure statement, which it conditionally approved on August 8. The court order set a September 6 deadline for creditors to cast their votes and file their objections. Under the proposed plan, all creditors are expected to receive 100% of their allowed claims. About Kids Only II of Lafayette Kids Only II of Lafayette, LLC, and Kids Only III of Lafayette, LLC, provide childcare services. Kids Only II of Lafayette, LLC filed a Chapter 11 bankruptcy petition (Bankr. W.D. La. Case No. 15-51354) on October 20, 2015. Kids Only III of Lafayette, LLC, filed a separate Chapter 11 petition (Bankr. W.D. La. Case No. 15-51355) on October 20, 2015. Both Debtors are represented by Thomas E. St. Germain, Esq., at Weinstein & St. Germain, LLC, in Lafayette, Louisiana. RREF II PEBP-LA, LLC, a secured creditor, is represented by Laura F. Ashley, Esq., at Jones Walker LLP, in New Orleans, Louisiana. KIDS ONLY III OF LAFAYETTE: Objects to RREF-Proposed Ch. 11 Plan ---------------------------------------------------------------- Kids Only III of Lafayette, LLC, objects to the disclosure statement explaining the Chapter 11 plan of liquidation proposed by RREF PEBP-LA, LLC, complaining, among other things, that the Disclosure Statement omitted the following information: -- claim amount listed for RREF; -- valuation for the daycare as a going concern or as real estate; -- estimates for unsecured creditors; and -- definition of "Accelerated Marketing Plan." Moreover, the Debtor complains that the RREF Plan provides for the liquidation through an auction of the assets of the Debtor in a time period of less than 45 days. That procedure favors the interests of RREF as first mortgage holder over other creditors and the equity interests, the Debtor's counsel, Tom St. Germain, Esq., at Weinstein & St. Germain, LLC, in Lafayette, Louisiana, asserts. Since the Debtor's daycare has the most value as a going concern, the auction of the daycare in less than 45 days, especially if the sale is to be for real estate only, will likely not produce sufficient funds to pay all creditors and may not even be enough to pay RREF's claim in full, Mr. St. Germain further asserts. Mr. Germain also points out that the RREF Plan provides for a flat fee of $15,000 to be paid to auctioneer's attorney. This amount, he says, appears excessive for what appears to be only a few thousand dollars' worth of work. The Auctioneer's attorney should be compelled to file a fee application for work performed on behalf of the estate. Under the RREF Plan, all creditors are expected to receive 100% of their allowed claims. The following lists all classes containing Debtors secured prepetition claims and their proposed treatment under the Plan: The holders of Class 5 general unsecured claims will receive expected distributions under the Plan of 100% of their allowed claims. The Court will set a claims bar date prior to the closing of the sale of the 700 Property and 224 Property, and all these claims will be paid pro rata at the closing, unless an objection has been filed to such claims. In the event that there are any disputed claims at such time, cash equivalent to the pro rata amount of such claim shall be placed in escrow, and shall be distributed upon the adjudication of such claim. The Plan will be funded by the liquidation of the 700 Property and 224 Property. Lamar P. Fisher and Fisher Auction Company together with a headquarter broker of the Auctioneer's choosing shall implement an extensive Accelerated Marketing Plan to advertise the sale of the 700 Property and 224 Property to conduct the Auction sale. The Auction shall take place at the 700 Property on October 27, 2016. A full-text copy of the Disclosure Statement is available at http://bankrupt.com/misc/lawb15-51354-85.pdf About Kids Only III Kids Only III of Lafayette, LLC sought protection under Chapter 11 of the (Bankr. W.D. La. Case No. 15-51355) on October 20, 2015. The Debtor tapped Thomas E. St. Germain, Esq. of Weinstein Law Firm as its counsel. RREF II PEBP-LA, LLC, is represented by Laura F. Ashley, Esq., at Jones Walker LLP, in New Orleans, Louisiana. LAW-DEN NURSING: Repair Ongoing, 1st PCO Report Says ---------------------------------------------------- Deborah L. Fish, as the Patient Care Ombudsman appointed for Law-Den Nursing Home, Inc., has issued a First Report for the period of September 1, 2016 to September 6, 2016. The Ombudsman observed that the Debtor has continued the same quality of care post-petition as it did pre-petition. The PCO finds no issue within the facility, the residents' personal care, and the supplies. As regards security, the PCO reported that one of the facility's third floor doors is currently being repaired. The PCO directs the Debtor to advise when the repair has been completed. About Law-Den Nursing Home Law-Den Nursing Home, Inc. filed a Chapter 11 petition (Bankr. E.D. Mich. Case No. 16-52058) on August 30, 2016, and is represented by Clinton J. Hubbell, Esq., at Hubbell Duvall PLLC, in Southfield, Michigan. At the time of its filing, the Debtor had estimated assets of $0 to $50,000 and estimated liabilities of $1 million to $10 million. The petition was signed by Todd Johnson, administrator. LBJ HEALTHCARE: Care Within Standards, PCO 2nd Report Says ---------------------------------------------------------- Constance Doyle, as the Patient Care Ombudsman for LBJ Healthcare Partners Inc., filed a Second Interim Report for the period of July 1, 2016, through August 31, 2016. The Patient Care Ombudsman finds that all care provided to the residents/clients by LBJ Healthcare Inc., at the Villa Luren Resident Home is within the standard of care. The Ombudsman observes that there is no change in staff, structure, and physician coverage within the adult residential facility. Residents are self-sufficient and no issues observed or reported for the two-month period. Headquartered in Whittier, Calif., LBJ Healthcare Partners Inc., fdba Bayshore Villa Healthcare Partners, Inc., aw Brian Buenviaje, aw Rosalinda Buenviaje, filed for Chapter 11 bankruptcy protection (Bankr. C.D. Cal. Case No. 16-15197) on April 21, 2016, with $49,370 in estimated total assets and $1.27 million in estimated total liabilities. The petition was signed by Brian Buenviaje, president and CEO. Judge Vincent P. Zurzolo presides over the case. Robert M. Aronson, Esq., at the Law Office of Robert M. Aronson, serves as the Debtor's bankruptcy counsel. LDI MANAGEMENT: Can Use IRS Cash Collateral on Final Basis ---------------------------------------------------------- Judge Bill Parker of the U.S. Bankruptcy Court for the Eastern District of Texas authorized LDI Management, Inc., to use the Internal Revenue Service's cash collateral on a final basis. The Debtor previously sought to use cash collateral through July 31, 2017, and asserted that the use of cash collateral was necessary for it to continue to operate its business. The Debtor further asserted that without the use of cash collateral, it will not be able to pay postpetition operating expenses and obtain services needed to carry on its business in a manner that will avoid irreparable harm to the Debtor's estate. The Internal Revenue Service previously contended that the Debtor was indebted for 940 and 941 taxes for periods ending September 2014 through September 2015, with the unpaid balance of $201,292. The IRS was granted replacement liens co-extensive with its prepetition liens, in all currently owned or after-acquired property and assets of the Debtor, of the same kind that the IRS had prepetition. The approved Monthly Cash Collateral Budget provided for total payroll in the amount of $66,940 and total expenses in the amount of $9,701. A full-text copy of the Final Order, dated Sept. 2, 2016, is available at https://is.gd/SJbihk About LDI Management LDI Management, Inc., filed a chapter 11 petition (Bankr. E.D. Tex. Case No. 16-60485-11) on Aug. 4, 2016. The Debtor is represented by Mark A. Castillo, Esq., Joshua L. Shepherd, Esq., and Bryan C. Assink, at Curtis Castillo PC. The Debtor provides medical services to certain residents of The Linderian Company, Ltd., which operates a skilled nursing facility in Longview, Texas by the name of Summer Meadows. LEO MOTORS: Equity Ownership in LGM Down to 81.8% ------------------------------------------------- LGM Co. Ltd., a subsidiary of Leo Motors, Inc., entered into securities purchase agreements with accredited investors, pursuant to which LGM increased its capital to 5,233,732,500 Korean Won (KRW) (approximately $4,736,400 U.S. Dollars) through the sale of equity securities. As a result of the sale, the Company's equity ownership percentage in LGM decreased from 99.3% to 81.8%, as disclosed in a regulatory filing with the Securities and Exchange Commission. About Leo Motors Headquartered in Hanam City, Gyeonggi-do, Republic of Korea, Leo Motors, Inc., a Nevada corporation, is currently engaged in the research and development of multiple products, prototypes and conceptualizations based on proprietary, patented and patent pending electric power generation, drive train and storage technologies. In 2011, the Company determined its investment in Leo B&T Inc. an investment account was impaired and recorded an expense of $4.5 million. During the 2012 year the Company had a net non operating income largely from the result of the forgiveness of debt for $1.3 million. Leo Motors reported a net loss of US$4.49 million on US$4.29 million of revenues for the year ended Dec. 31, 2015, compared to a net loss of US$4.48 million on US$693,000 of revenues for the year ended Dec. 31, 2014. As of June 30, 2016, Leo Motors had US$7.42 million in total assets, US$6.1 million in total liabilities and US$1.30 million in total equity. LIFE PARTNERS: Locke Lord Should be DQ'd, Vida Says --------------------------------------------------- Kali Hays, writing for Bankruptcy Law360, reported that Life Partners Holdings' financier and asset adviser Vida Capital has demanded that Locke Lord LLP be disqualified as counsel to a third party in Life Partners' ongoing bankruptcy. Vida tells a Texas court that the firm is conflicted as counsel to Vida in other matters. Vida says the firm acted as counsel to Transparency Alliance LLC, an affiliate of BroadRiver Asset Management LP and a creditor in Life Partners' Chapter 11 bankruptcy, and has a clear conflict of interest. About Life Partners Holdings Headquartered in Waco, Texas, Life Partners Holdings, Inc. -- http://www.lphi.com/-- is the parent company engaged in the secondary market for life insurance, commonly called "life settlements." Since its incorporation in 1991, Life Partners, Inc., has completed over 162,000 transactions for its worldwide client base of over 30,000 high net worth individuals and institutions in connection with the purchase of over 6,500 policies totaling over $3.2 billion in face value. LPHI is a publicly traded company incorporated in Texas and its common stock has been delisted from the NASDAQ (formerly trading under the symbol LPHI). Life Partners Holdings sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Tex. Case No. 15-40289) on Jan. 20, 2015. The case is assigned to Judge Russell F. Nelms. J. Robert Forshey, Esq., at Forshey & Prostok, LLP, serves as counsel to the Debtor. LPHI disclosed $2,406,137 in assets and $52,722,308 in liabilities as of the Chapter 11 filing. The official committee of unsecured creditors formed in the case tapped Munsch Hardt Kopf & Harr, P.C., as counsel. Tracy A. Bolt of BDO USA, LLP was named as examiner for the Debtor's case. At the behest of the U.S. Securities and Exchange Commission, the U.S. Trustee, and the Creditors Committee, the Court ordered the appointment of a Chapter 11 trustee. On March 13, 2015, H. Thomas Moran II was appointed as Chapter 11 trustee in LPHI's case. The trustee is represented by Thompson & Knight LLP. The Chapter 11 trustee signed Chapter 11 bankruptcy petitions for LPHI's subsidiaries on May 19, 2015: Life Partners Inc. (Case No. 15-41995) and LPI Financial Services, Inc. (Case No. 15-41996). Life Partners is estimated to have $100 million to $500 million in assets and more than $1 billion in debt. LPI Financial estimated less than $50,000. LIZA HAZAN: Amended Plan Proposes 41%-100% Recovery for Unsecureds ------------------------------------------------------------------ Liza Hazan filed with the U.S. Bankruptcy Court for the Southern District of Florida an amended disclosure statement that proposes that unsecured creditors holding allowed claims will receive distributions which the Debtor has valued at dividend of 41% to 100% of total allowed claims accrued for up to 60 months and paid every six months with the first payment due in month six, while undisputed unsecured claims are paid 100% within two years of the petition date, or by Jan. 11, 2018. A full-text copy of the Amended Disclosure Statement dated Sept. 6, 2016, is available at http://bankrupt.com/misc/15-56723-81.pdf Liza Hazan filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case No. 16-10389) on Jan. 11, 2016, and is represented by Joel M. Aresty, Esq., in North Miami, Florida. LONG-DEI LIU: No Issues for July-August, 2nd PCO Report Says ------------------------------------------------------------ Constance Doyle, as the Patient Care Ombudsman for Long-Dei Liu, has issued a Second Interim Report for the period of July 1, 2016 through August 31, 2016. The Patient Care Ombudsman finds that all care provided to the patients by Long-Dei Liu, M.D. is well within the standard of care. Dr. Liu is affiliated with two hospitals (Fountain Valley and South Coast Global in Santa Ana) where all his deliveries in the practice of Obstetrics and Gynecology occur. On July 2016, Dr. Liu reported that business is slow but he is still doing deliveries at the two hospitals he is associated. The PCO noted that there are no issues identified. There are no changes in staff, no equipment issues, cleanliness is maintained and the atmosphere is welcoming. About Long-Dei Liu Orange, Calif.-based Long-Dei Liu filed for Chapter 11 bankruptcy protection (Bankr. C.D. Cal. Case No. 16-11588). Judge Theodor Albert presides over the case. Long-Dei Liu, MD, is a single practitioner who has practiced obstetrics and gynecology since 1981. LUCAS ENERGY: Alan Dreeben Holds 11.6% Stake as of Aug. 25 ---------------------------------------------------------- Alan W. Dreeben disclosed in a Schedule 13D filed with the Securities and Exchange Commission that as of Sept. 1, 2016, he beneficially owns in aggregate 1,795,634 shares of common stock of Lucas Energy, Inc., representing 11.6% of the 15,449,206 shares of the Company's issued and outstanding Common Stock on that date as confirmed by the Company's Transfer Agent. Mr. Dreeben is partner/director of Republic National Distributing Company, a wholesale beverage alcohol distributor. Mr. Dreeben was appointed as a member of the Board of Directors of Lucas Energy on Aug. 26, 2016. Effective Aug. 25, 2016, the Company closed the transactions contemplated by that certain Asset Purchase Agreement, entered into between the Company and twenty-three sellers, including Mr. Dreeben, as a seller, and Segundo Resources, LLC, as a seller and as a representative of the Sellers named therein, dated Dec. 31, 2015. Pursuant to the Purchase Agreement, the Company acquired working interests in producing properties and undeveloped acreage in Texas and Oklahoma, including varied interests in two largely contiguous acreage blocks in the liquids-rich Mid-Continent region of the United States, and related wells, leases, records, equipment and agreements associated therewith. In consideration for the purchase of the Assets, the Company assumed approximately $30.6 million of commercial bank debt, issued the Sellers (a) 552,000 shares of Series B Redeemable Preferred Stock (convertible into 3,941,280 shares of Common Stock, the "Series B Preferred Stock")) and (b) 13,009,664 shares of restricted Common Stock (of which 1,780,634 shares were issued to Mr. Dreeben); and (ii) paid the Sellers $4,975,000 in cash. A full-text copy of the regulatory filing is available at: https://is.gd/pJTvf9 About Lucas Energy Based in Houston, Texas, Lucas Energy (NYSE MKT: LEI) -- http://www.lucasenergy.com/-- is a growth-oriented, independent oil and gas company engaged in the development of crude oil, natural gas and natural gas liquids in the Hunton formation in Central Oklahoma in addition to the Austin Chalk and Eagle Ford formations in South Texas. Lucas Energy reported a net loss of $25.4 million for the year ended March 31, 2016, compared to a net loss of $5.12 million for the year ended March 31, 2015. As of June 30, 2016, Lucas Energy had $14.73 million in total assets, $12.91 million in total liabilities and $1.82 million in total stockholders' equity. Hein & Associates LLP, in Houston, Texas, issued a "going concern" qualification on the consolidated financial statements for the year ended March 31, 2016, citing that the Company has incurred significant losses from operations and had a working capital deficit of $9.6 million at March 31, 2015. These factors raise substantial doubt about the Company's ability to continue as a going concern. LUCAS ENERGY: Ilios Oil Reports 9.2% Equity Stake as of Aug. 25 --------------------------------------------------------------- In a Schedule 13G filed with the Securities and Exchange Commission, Ilios Oil, LLC and Mr. John Benjamin Azar, the manager and sole owner of Ilios LLC, disclosed that as of Aug. 25, 2016, they beneficially own 1,425,099 shares of common stock, $0.001 par value per share, of Lucas Energy, Inc., representing 9.2 percent of the shares outstanding. A full-text copy of the regulatory filing is available for free at https://is.gd/yXc7Uf About Lucas Energy Based in Houston, Texas, Lucas Energy (NYSE MKT: LEI) -- http://www.lucasenergy.com/-- is a growth-oriented, independent oil and gas company engaged in the development of crude oil, natural gas and natural gas liquids in the Hunton formation in Central Oklahoma in addition to the Austin Chalk and Eagle Ford formations in South Texas. Lucas Energy reported a net loss of $25.4 million for the year ended March 31, 2016, compared to a net loss of $5.12 million for the year ended March 31, 2015. As of June 30, 2016, Lucas Energy had $14.73 million in total assets, $12.91 million in total liabilities and $1.82 million in total stockholders' equity. Hein & Associates LLP, in Houston, Texas, issued a "going concern" qualification on the consolidated financial statements for the year ended March 31, 2016, citing that the Company has incurred significant losses from operations and had a working capital deficit of $9.6 million at March 31, 2015. These factors raise substantial doubt about the Company's ability to continue as a going concern. LUCAS ENERGY: Scott Lake, et al., Hold 5.3% Stake as of Aug. 25 --------------------------------------------------------------- Scott Lake Energy, L.P., Scott Lake Energy, LLC, and Donald Rowden disclosed that as of Aug. 25, 2016, they beneficially own 820,968 shares of common stock of Lucas Energy, Inc., representing 5.3 percent of the shares outstanding. A full-text copy of the regulatory filing is available at https://is.gd/juHxk3 About Lucas Energy Based in Houston, Texas, Lucas Energy (NYSE MKT: LEI) -- http://www.lucasenergy.com/-- is a growth-oriented, independent oil and gas company engaged in the development of crude oil, natural gas and natural gas liquids in the Hunton formation in Central Oklahoma in addition to the Austin Chalk and Eagle Ford formations in South Texas. Lucas Energy reported a net loss of $25.4 million for the year ended March 31, 2016, compared to a net loss of $5.12 million for the year ended March 31, 2015. As of June 30, 2016, Lucas Energy had $14.73 million in total assets, $12.91 million in total liabilities and $1.82 million in total stockholders' equity. Hein & Associates LLP, in Houston, Texas, issued a "going concern" qualification on the consolidated financial statements for the year ended March 31, 2016, citing that the Company has incurred significant losses from operations and had a working capital deficit of $9.6 million at March 31, 2015. These factors raise substantial doubt about the Company's ability to continue as a going concern. LUSIGNAN SECURITY: Has Until Nov. 3 to Use Cash Collateral ---------------------------------------------------------- Judge Christopher J. Panos of the U.S. Bankruptcy Court for the District of Massachusetts authorized Lusignan Security Agency, Inc., to use cash collateral through Nov. 3, 2016. The approved Budget covers the months of September 2016 and October 2016, and provides for total expenses in the amount of $121,350 for September 2016 and $100,750 for October 2016. Judge Panos held that the Internal Revenue Service will retain its lien on the Debtor's property, as security for the Debtor's obligation to the IRS. The IRS was also granted a continuing post-petition security interest in the Debtor's assets and all their substitutions after the Petition Date, to the extent of any diminution in the value of the prepetition property. The Debtor was directed to, among other things, make monthly adequate protection payments to the IRS in the amount of $5,150, until such time as the Debtor's plan of reorganization is confirmed or a superseding Order is issued. The Debtor has until Oct. 21, 2016, 4:30 p.m., to file an amended cash use budget, a form of proposed order, and any other submission in support of a request for continued use of cash collateral beyond Nov. 3, 2016. A further hearing on the continued use of cash collateral is scheduled on Nov. 3, 2016 at 10:45 a.m. The deadline for the filing of objections to the Debtor's continued use of cash collateral is set on Oct. 31, 2016 at 4:30 p.m. A full-text copy of the Order, dated Sept. 2, 2016, is available at https://is.gd/Mbj9Yx About Lusignan Security Agency Lusignan Security Agency Inc. filed a chapter 11 petition (Bankr. D. Mass. Case No. 16-40065) on January 21, 2016. The petition is signed by William F. Lusignan, president. The Debtor is represented by James P. Ehrhard, Esq., at Ehrhard & Associates, P.C. The Debtor estimated assets and liabilities at $0 to $50,000 at the time of the filing. MAGNESIUM CORP: District Court Won't Halt $26.2M Sale ----------------------------------------------------- Martin O'Sullivan, writing for Bankruptcy Law360, reported that a New York federal district judge has declined to freeze the sale of a stake held by Magnesium Corp. of America's court-appointed trustee in a $213 million judgment against Renco Group Inc. and its owner over allegations that they drove the magnesium producer into bankruptcy in 2001. U.S. District Judge Denise Cote denied an emergency motion by a group of Renco noteholders seeking to stay an August order by U.S. Bankruptcy Judge Mary Kay Vyskocil approving the $26.2 million sale. About MagCorp Magnesium Corporation of America, a unit of Renco Group Inc., was the largest single producer of magnesium in the United States. The Company filed for chapter 11 protection (Bankr. S.D.N.Y. Case No. 01-14312) on Aug. 2, 2001. The Debtors sold substantially all of their assets to U.S. Magnesium, LLC, in an 11 U.S.C. Sec. 363 asset sale transaction. Judge Robert Gerber ordered the case converted to a chapter 7 liquidation on Sept. 24, 2003. When the Company filed for Chapter 11 protection from its creditors, it listed debts and assets of more than $100 million. Lee E. Buchwald is the Chapter 7 trustee. He is represented by Nicholas F. Kajon, Esq., at Stevens & Lee, P.C. MARK DEQUESNAY: Oct. 13 Plan Confirmation Hearing ------------------------------------------------- Judge K. Rodney May of the U.S. Bankruptcy Court for the Middle District of Florida issued an order conditionally approving the disclosure statement explaining Mark A. deQuesnay and Rosalind T. deQuesnay's Chapter 11 plan of reorganization. Any written objections to the Disclosure Statement must be filed no later than seven days prior to the date of the hearing on confirmation. If no objections are filed within the time fixed, the conditional approval of the Disclosure Statement will become final. Any objections or requests to modify the Disclosure Statement will be considered at the Confirmation Hearing. The court will conduct a hearing on confirmation of the Plan, including timely filed objections to confirmation, objections to the disclosure statement, motions for cramdown, applications for compensation, and motions for allowance of administrative claims on October 13, 2016, at 11:00 a.m. An election of application of Bankruptcy Code Section 1111(b)(2) by a class of secured creditors may be made at any time prior to the conclusion of the Confirmation Hearing. The hearing may be adjourned from time to time by announcement made in open court without further notice. If the Plan is not confirmed, the court will also consider dismissal or conversion of the case. At the hearing, in a small business case, the debtor may seek to extend the time for confirmation of the plan, pursuant to the provisions of 11 U.S.C. Section 1121(e). Parties in interest must submit their written ballot accepting or rejecting the Plan no later than eight days before the date of the Confirmation Objections to confirmation must be filed with the court no later than seven days before the date of the Confirmation Hearing. The Debtor must file a ballot tabulation no later than three days before the date of the Confirmation Hearing. All creditors and parties in interest that assert a claim against the Debtor, which arose after the filing of the Chapter 11 case, including all professionals seeking compensation from the estate of the Debtor pursuant to Bankruptcy Code Section 330, must file motions or applications for the allowance of those claims with the court no later than fourteen days after the entry of this order. Applications for payment of administrative expenses will be heard at same date and time as the Confirmation Hearing if the applicant has served notice of the hearing on the application (expressly stating the total amount requested) on all creditors at least 21 days before the hearing. Three days prior to the Confirmation Hearing, the Debtor must file a confirmation affidavit which will contain the factual basis upon which the Debtor relies in establishing that each of the requirements of Bankruptcy Code Section 1129 are met. The bankruptcy case is In re In re: Mark A duQuesnay and Rosalind T. duQuesnay, Debtors, Case No. 8:15-bk-9705-KRM (Bankr. M.D. Fla.). MARVIN FLICKER: Sale of Camono Property for $1.2M Approved ---------------------------------------------------------- Judge Marc Barreca of the U.S. Bankruptcy Court for the Western District of Washington authorized Marvin Flickner, doing business as Elger Grocery Bay, and Laurie Flickner to sell Elger Bay Grocery and real property located at 1992 South Elger Bay Road, Camano Island, Washington, tax parcel numbers R33130-027-4100/806397 and C600 282 829 002/556918 for $1,189,000. The Debtors may sell the Properties, and that all claims filed in the chapter 11 case and classes 1, 2, 3, and 4 will be paid in full. Closing costs, fees and commissions can be ordered to be paid out of the financing funds. The secured creditor will be paid in full or for such other relief as the court deems proper. After all that is stated is paid through closing, the Debtor will be paid the balance of the proceeds as stated upon the final settlement statement. The 10-day stay provision pursuant to Bankruptcy Rule 4001(a)(3) is waived. Counsel for the Debtors: Riley D. Lee, Esq. 3325 Smokey Pint Drive, #103A Arlington, WA 98223 Telephone: (360) 658-7575 Facsimile: (360) 658-2599 MCGEE EQUIPMENT: Western Objects to Treatment of Claim Under Plan ----------------------------------------------------------------- Western Equipment Finance, Inc., objects to McGee Equipment Rental and Sales, Inc.'s plan and disclosure statement, complaining that the Plan needs to address the possibility of a non-dischargeable debt owed to Western and provide for full payment of the same. In the section of the Plan detailing treatment for the various classes of creditor claims, Western's claim treatment is detailed under "Class 5: Disputed Claims" as follows: Claim of Western Equipment Finance, Inc. The claim filed by Western Equipment Finance, Inc., claim 33, is filed as secured for $78,952.29. The Debtor's intent was to surrender the collateral which consist of welding machines. Several of the welding machines are missing, lost or misplaced. The claim filed is the amount due after surrender of the collateral. An adversarial complaint has been filed, 16-05003, by Western Equipment Finance, Inc. The Debtor will treat the claim as a general unsecured claim regardless of the outcome of the adversarial. Western filed an adversary action against the Debtor on February 12, 2016. The relief requested in the Complaint is for a non-dischargeable Judgment in the amount of $78,952.29 for conversion of Western's collateral. According to Western, the current proposed plan treatment of "[t]he Debtor will treat the claim as a general unsecured claim regardless of the outcome of the adversarial" is unacceptable and violates the provisions of Title 11 Chapter 11 United States Code. Accordingly, Western asks that the Debtor's First Amended Plan and Disclosure Statement not be approved in its present form. The Troubled Company Reporter previously reported that the Debtor's First Amended Plan and Disclosure Statement dated Aug. 8, 2016, provide that allowed unsecured claims will share on a pro rata basis distributions totaling $60,000, which will be paid on a quarterly basis beginning the end of the first quarter after confirmation. Quarterly payments will be $3,000 per quarter. The Debtor has received a Deep Water Horizon settlement; net settlement proceeds to the Debtor is $250,000. The Debtor will use the proceeds from the Deep Water Horizon claim to apply directly to priority claims -- totaling $455,887 -- which payment will be made within 30 days of confirmation of the plan. The payment from the Deep Water Horizon settlement is not sufficient to pay priority claims in full and the Debtor will then pay priority claims as per the provisions outlined in the Plan. A copy of the First Amended Disclosure Statement is available at: http://bankrupt.com/misc/lawb15-51380-0276.pdf Western is represented by: Anton L. Hasenkampf, Esq. Craig Cousins, Esq. Patrick M. Wartelle, Esq. Leake & Andersson, LLP 1100 Poydras Street, Suite 1700 New Orleans, LA 70163-1701 Tel: (504) 585-7500 Fax: (504) 585-7775 Email: ccousins@leakeandersson.com ahasenkampf@leakeandersson.com pwartelle@leakeandersson.com About McGee Equipment McGee Equipment Rental & Sales, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D. La. Case No. 15-51380) on Oct. 23, 2015. The petition was signed by Jacob Jarrell Lacour, controller and general manager. The company is in the business of equipment rental and sales. At the time of the filing, the Debtor disclosed $3.58 million in assets and $3.91 million in liabilities. The Debtor is represented by William C. Vidrine, Esq., at Vidrine & Vidrine, PLLC, in Lafayette, Louisiana. MDI CREATIVE: To Sell Millwork, Furniture Units to Fund Ch. 11 Plan ------------------------------------------------------------------- MDI Creative, Inc.'s Amended Disclosure Statement, dated Sept. 6, 2016, proposes to pay Class 4 Creditors (Unsecured Tax Claims) and Class 5 Creditors (all allowed General Unsecured Claims) in full out of the closing proceeds of sale of its millwork and furniture division and museum contracts at the end of a 12-month period. The company is a full service design and build millwork firm for commercial and museum uses. It has provided services and product to such entities as Chickamauga National Battlefield, National Infantry Museum, Greater Atlanta Christian Academy, Life University, Caribou Coffee, Martin Luther King Museum, Suntrust Bank, Nationsbank, Lucent Technologies, Cox Communications and the University of Georgia. The Debtor anticipates that the sale of the millwork/furniture aspect of its business will be in the range of $2,000,000 to $2,500,000. The Debtor also anticipates that the sale of museum contracts will generate sales proceeds in the range of $10,000,000. In the event the Debtor is unable to sell its assets and pay off creditors in full by the end of the twelve-month period, Debtor will cease operations and auction or otherwise sell off all its assets that can be sold (tangible personal property such as equipment and inventory) and net proceeds will be paid over to the Internal Revenue Service and Georgia Labor Department on a pro rata basis. A full-text copy of the Amended Disclosure Statement is available at http://bankrupt.com/misc/15-56723-81.pdf MDI Creative, Inc., filed a Chapter 11 Petition (Bankr. N.D. Ga. Case No. 15-56723) on April 10, 2015, and is represented by George M. Geeslin, Esq., in Atlanta, Georgia. At the time of filing, the Debtor's estimated assets is $0 to $50,000 and estimated liabilities is $1 million to $10 million. The petition was signed by Pat Malone, CEO. A list of the Debtor's 20 largest unsecured creditors is available for free at http://bankrupt.com/misc/ganb15-56723.pdf METROPOLITAB BAPTIST: Sale of DC Condo Unit for $435K Approved -------------------------------------------------------------- Judge S. Martin Teel, Jr., of the U.S. Bankruptcy Court for the District of Columbia authorized Metropolitan Baptist Church to sell its condominium unit located at 1210 R Street, N.W., Washington, D.C., outside the ordinary course of business to William B. Fitzgerald for $435,000. The sale is free and clear of any liens and interests. At settlement, the Debtor is authorized and ordered to disburse up to $425,000 of the proceeds from the sale of the property to the Industrial Bank to the extent necessary to satisfy Industrial Bank's lien. About Metropolitan Baptist Church Headquartered in Largo, Maryland, Metropolitan Baptist Church is a not-for-profit religious corporation, originally incorporated in the District of Columbia in 1892. Metropolitan Baptist Church sought the Chapter 11 protection (Bankr. D. D.C. Case No. 16-00040) on Feb. 5, 2016. Judge Martin S. Teel, Jr., presides over the case. The Debtor estimated assets in the range of $1 million to $10 million and $10 million to $50 million. Wendell W. Webster, Esq., at Webster & Fredrickson, PLLC, serves as the Debtor's counsel. The petition was signed by Harry T. Jones, Jr., Chair, Board of Trustees. MICHAEL JOSEPH KILROY: Disclosure Statement Hearing Oct. 5 ---------------------------------------------------------- Debtor Michael Joseph Kilroy on Oct. 5, 2016, at 11:00 a.m. will seek approval from the U.S. Bankruptcy Court for the Central District of California of the Disclosure Statement describing his Plan Dated August 25, 2016. Objections to approval of the Disclosure Statement are due 14 days prior to the hearing. The case is In re Michael Joseph Kilroy, Chapter 11, Debtor and Debtor in Possession, Case No. 2:15-bk-15708-RK (Bankr. C.D. Cal.). Counsel for the Debtor is J.P Fritz, Esq., at Levene, Neale, Bender, Yoo & Brill L.L.P., in Los Angeles, California. MIX 1 LIFE: To Acquire 100% of BMP's Interest in Brand Assets ------------------------------------------------------------- Mix 1 Life, Inc., and BrandMark Products, Inc., entered into an amended Letter of Intent on Aug. 26, 2016, to acquire 100% of BMP's interest in their brand assets, including all of BMP's distribution and manufacturing contracts, for an aggregate purchase price of 10,000,000 restricted shares of common stock of the Company. This Amended LOI revises the original Letter of Intent filed with the Securities and Exchange Commission on April 28, 2016. BrandMark Products Inc. focuses on the purchase of licensing rights of major brands. The BrandMark business model is to build a diverse portfolio of high quality, competitively priced food brands with annualized target revenues between $25 million and $50 million for "each brand" license. The business strategy is 'Brand Extension'. The Company will purchase all rights to distribute and commercialize the Brand Assets globally. Closing of the Asset Purchase Agreement is scheduled for Sept. 30, 2016. A full-text copy of the Letter of Intent is available for free at: https://is.gd/i6i6TN About Mix 1 Life Mix 1 Life, Inc. (formerly Antaga International Corp) was incorporated under the laws of the State of Nevada, U.S. on June 10, 2009. The Company's operations are based in Scottsdale, Arizona. On Aug. 27, 2013, Antaga International Corp. entered into a Definitive Agreement with Mix1 LLC, an Arizona corporation, under which the Company acquired 100% of certain assets owned by Mix in exchange for 3,333,333, post reverse, newly issued shares of common stock in the Company. Mix 1 is an emerging beverage and nutritional supplements company currently with a product line of natural, ready-to-drink protein shakes. The Company's shakes offer a complete and balanced macronutrient mix and are intended to be consumed as a post work out, snack replacement, meal supplement or a meal replacement. Mix 1 beverages have a high protein content (on average 26 grams per serving) and are unique due to their fruit-based flavors, relatively low calorie count and superior taste. The Company's shakes have a twelve month shelf life with no need for refrigeration and are currently served in a twelve ounce PET (polyethylene terephthalate) bottle. As of May 31, 2016, Mix 1 Life had $20.97 million in total assets, $8.16 million in total liabilities and $12.81 million in total shareholders' equity. The Company reported a net loss of $17.7 million for the year ended Aug. 31, 2015, compared to a net loss of $1.99 million for the year ended Aug. 31, 2014. KWCO, PC, in Odessa, TX, the Company's independent accounting firm, issued a "going concern" qualification on the consolidated financial statements for the year ended Aug. 31, 2015, citing that the Company's operating losses since inception raise substantial doubt about its ability to continue as a going concern. MOLYCORP INC: Has Court OK to Tap Excess Insurance Policy --------------------------------------------------------- Jeff Montgomery, writing for Bankruptcy Law360, reported that Molycorp Inc. received a Delaware bankruptcy court's approval to tap an excess insurance policy for settlement of a 4-year-old Colorado putative class lawsuit targeting the company's stock sales and allegedly inflated claims about production at its California rare earth mine. Scant details were available on the prospective settlement, according to the report, but documents filed in Colorado federal court said the parties in the case would file a motion for preliminary approval of a settlement stipulation by Sept. 28. About Molycorp, Inc. Molycorp Inc. -- http://www.molycorp.com/-- is a global rare earths and rare metals producer. Molycorp owns several prominent are earth processing facilities around the world. It has a workforce of 2,530 employees at locations on three continents. Molycorp's Mountain Pass Rare Earth Facility in San Bernadino County, California, is home to one of the world's largest and richest deposits of rare earths. Molycorp has corporate offices in the United States, Canada and China. CEO Geoffrey R. Bedford, and other senior management members are located in Molycorp's corporate offices in Toronto, Canada. Other senior management members are located at its U.S. corporate headquarters in Greenwood Village, Colorado. Molycorp reported a net loss of $623 million in 2014, a net loss of $377 million in 2013 and a net loss of $475 million in 2012. As of March 31, 2015, the Company had $2.49 billion in total assets, $1.78 billion in total liabilities and $709 million in total stockholders' equity. Molycorp and its North American subsidiaries, together with certain of its non-operating subsidiaries outside of North America, filed Chapter 11 voluntary petitions in Delaware (Bankr. D. Del. Lead Case No. 15-11357) on June 25, 2015, after reaching agreement with a group of lenders on a financial restructuring. The Chapter 11 cases of Molycorp and 20 affiliated debts are pending before Judge Christopher S. Sontchi. The agreement provides for a financial restructuring of the Company's $1.7 billion in debt and provides up to $225 million in gross proceeds in new financing to support operations while the Company completes negotiations with creditors. The Company's operations outside of North America, with the exception of non-operating companies in Luxembourg and Barbados, are excluded from the filings. Molycorp Rare Metals (Oklahoma), LLC, with operations in Quapaw, Oklahoma, also is excluded from the filings as it is not 100% owned by the Company. Molycorp is being advised by the investment banking firm of Miller Buckfire & Co. and is receiving financial advice from AlixPartners, LLP. Jones Day and Young, Conaway, Stargatt & Taylor LLP act as legal counsel to the Company in this process. Prime Clerk serves as claims and noticing agent. Secured creditor Oaktree Capital Management L.P., consented to the use of cash collateral and to extend postpetition financing. On July 8, 2015, the U.S. trustee overseeing the Chapter 11 case of Molycorp Inc. appointed eight creditors of the company to serve on the official committee of unsecured creditors. The Creditors Committee tapped Ashby & Geddes, P.A. and Paul Hastings LLP as attorneys. * * * Molycorp, Inc.'s Fourth Joint Amended Plan of Reorganization has been confirmed by the U.S. Bankruptcy Court for the District of Delaware. The Plan contemplates two possible outcomes: (1) the sale of substantially all of the Debtors' assets if certain conditions set forth in the Plan are satisfied and (2) (a) the sale of the assets associated with the Debtors' Mountain Pass mining facility in San Bernardino County, California; and (b) the stand-alone reorganization around the Debtors' other three business units. Judge Christopher Sontchi of the U.S. Bankruptcy Court for the District of Delaware on April 8, 2016, issued a findings of fact, conclusions of law, and order confirming the Fourth Amended Joint Plan of Reorganization of Molycorp, Inc., and its debtor affiliates. On April 13, 2016, Judge Sontchi directed the appointment of a Chapter 11 trustee to oversee the operations of Industrial Minerals LLC, Molycorp Advance Water Technologies LLC, Molycorp Minerals LLC, PP IV Mountain Pass II Inc., PP IV Mountain Pass Inc., and RCF Speedwagon Inc. Each of the bankruptcy cases of the companies are no longer jointly administered with Molycorp's case under Case No. 15-11357. On May 2, 2016, the Court entered an order in the Molycorp Minerals Debtors' cases approving the appointment of Paul E. Harner as chapter 11 trustee for Molycorp Mineral Debtors' bankruptcy estates. On Aug. 31, 2016, Molycorp reported that its confirmed Fourth Joint Amended Plan became effective as of that date. Molycorp emerged from Chapter 11 protection as a newly reorganized business, now known as Neo Performance Materials. MORGANS HOTEL: Amends Schedule 13E-3 Transaction Statement ---------------------------------------------------------- A fifth amendment to the 13E-3 transaction statement was filed with the Securities and Exchange Commission on Sept. 7, 2016, jointly by (i) Morgans Hotel Group Co., (ii) Trousdale Acquisition Sub, Inc., (iii) SBEEG Holdings, LLC, and (iv) Yucaipa Hospitality Investments, LLC. On Aug. 4, 2016, the Company filed with the SEC a definitive proxy statement on Schedule 14A, regarding, among other things, a proposal to adopt that certain Merger Agreement by and among the Company, SBE and Merger Sub, dated as of May 9, 2016. Concurrently with the filing of the Amendment No. 5, the Company filed with the SEC certain additional Soliciting Material on Schedule 14A which contain certain amendments to the Proxy Statement. A full-text copy of the regulatory filing is available at: https://is.gd/sXaEri About Morgans Hotel Group Based in New York, Morgans Hotel Group Co. (Nasdaq: MHGC) -- http://www.morganshotelgroup.com/-- is widely credited as the creator of the first "boutique" hotel and a continuing leader of the hotel industry's boutique sector. Morgans Hotel Group operates and owns, or has an ownership interest in, Morgans, Royalton and Hudson in New York, Delano and Shore Club in South Beach, Mondrian in Los Angeles and South Beach, Clift in San Francisco, Ames in Boston, and Sanderson and St Martins Lane in London. Morgans Hotel Group and an equity partner also own the Hard Rock Hotel & Casino in Las Vegas and related assets. Morgans Hotel Group also manages hotels in Isla Verde, Puerto Rico and Playa del Carmen, Mexico. Morgans Hotel Group has other property transactions in various stages of completion, including projects in SoHo, New York and Palm Springs, California. Morgans Hotel reported net income attributable to common stockholders of $5.45 million on $220 million of total revenues for the year ended Dec. 31, 2015, compared to a net loss attributable to common stockholders of $66.6 million on $234 million of total revenues for the year ended Dec. 31, 2014. As of June 30, 2016, Morgans Hotel had $512 million in total assets, $737 million in total liabilities and a total deficit of $225 million. NAMAL ENTERPRISES: TD Bank Wants to Prohibit Cash Collateral Use ---------------------------------------------------------------- TD Bank, N.A., asks the U.S. Bankruptcy Court for the Middle District of Florida to prohibit Namal Enterprises, LLC, fdba Red Roof Inn Kissimmee, fda Blue Inn LBVS's use of cash collateral. TD Bank contends that the Debtor is indebted to it in the original principal amount of $2,000,000 by virtue of a Promissory Note, which is secured by a Mortgage encumbering the Debtor's real property commonly known as the Blue Inn Hotel located at 4970 Kyngs Heath Road, Kissimmee, Florida. TD Bank further contends that the Mortgage granted to it a security interest in all of the rents, profits, and income generated from the Property. TD Bank says that the Promissory Note is also secured by a Security Agreement, which grants to TD Bank a security interest in all of the Debtor's personal property, which includes the Debtor's cash accounts. TD Bank further says that it has a first priority lien on the Debtor's cash collateral by virtue of the Mortgage and Security Agreement. TD Bank tells the Court that it has not consented to the use of the cash collateral and that the Court has not authorized the use of the cash collateral. TD Bank further tells the Court that it opposes the use of the cash collateral unless the Debtor provides adequate protection for its use of the cash collateral, accounts for any cash collateral received post-petition, and agrees to certain other restrictions to protect TD Bank's interest. A full-text copy of TD Bank's Motion, dated Sept. 2, 2016, is available at https://is.gd/jdfP6o TD Bank, N.A., is represented by: Daniel F. Blanks, Esq. NELSON MULLINS RILEY & SCARBOROUGH LLP 50 N. Laura Street, Suite 4100 Jacksonville, FL 32202 Telephone: (904)665-3656 E-mail: daniel.blanks@nelsonmullins.com About Namal Enterprises, LLC, fdba Red Roof Inn Kissimmee, fda Blue Inn LBVS. Namal Enterprises, LLC fdba Red Roof Inn Kissimmee fdba Blue Inn LBVS filed a chapter 11 petition (Bankr. M.D. Fla. Case No. 16-07190) on August 22, 2016. The petition was signed by Syed Raza, manager. The Debtor disclosed total assets at $3.14 million and total liabilities at $1.88 million. The Debtor is represented by Richard J. McIntyre, Esq. and Katie Brinson Hinton, Esq., at McIntyre Thanasides Bringgold, et. al. NEPHROGENEX INC: Proposes Protocol for Sale of All Assets --------------------------------------------------------- NephroGenex, Inc., asks the U.S. Bankruptcy Court for the District of Delaware to authorize bidding procedures in connection with the sale of substantially all assets. Since the execution of its engagement agreement with the Debtor on April 29, 2016, Cassel Salpeter & Co., LLC, has worked closely with the Debtor and its professionals, consultants and members of the Debtor's Board of Directors to identify buyers that might be interested in acquiring the Debtor's assets. Through this, Cassel Salpeter developed a list of over 275 entities that Cassel Salpeter believed may have interest in the Debtor's 2 formulations of Pyridorin. This target list includes (i) parties that previously have been approached by the Debtor or its advisors regarding a potential transaction with the Debtor; (ii) additional parties Cassel Salpeter has identified as potential buyers. Cassel Salpeter has also spoken to several creditors and interest holders that have sought to provide input regarding the sale process. Cassel Salpeter has been willing to speak with parties-in-interest regarding the Debtor's ongoing sale efforts. To date, approximately 65 nondisclosure agreements ("NDAs") and 191 non-confidential presentations have been circulated, and 18 NDAs have been executed. Those entities that have executed NDAs have been provided access to a virtual data room ("Data Room") containing, among other things, pre-clinical and clinical data for Pyridorin, information pertaining to the structure of the clinical studies and correspondence with the U.S. Food and Drug Administration. Moreover, parties requesting additional information have been provided access to the Debtor's management, consultants and intellectual property counsel. After approximately 10 weeks of active marketing, Cassel Salpeter informed parties in the Data Room that, in order to be considered as potential "stalking horse" purchaser, parties were required to submit written indications of interest on or before July 19, 2016 at 5:00 p.m. Unfortunately, on Aug. 23, 2016, before the documentation was finalized, the bidder informed the Debtor that it would not proceed with the anticipated transaction. Accordingly, the Debtor, after consultation with its professionals, determined to seek approval for an auction process to be conducted without a stalking horse purchaser. The Debtor's objective throughout its sale process has been to obtain maximum exposure of its assets to potential buyers, and it will consider any transaction that will result in obtaining the highest or otherwise best value for the assets. To that end, the Debtor has developed the bidding procedures ("Bidding Procedures") to provide potential buyers with maximum flexibility in proposing acquisition transaction, which can take the form of, among other things, a sale under Section 363 of the Bankruptcy Code of a transaction through chapter 11 plan. The Debtor intends to solicit bids for its assets in accordance with the Bidding Procedures. The Bidding Procedures reflect the Debtor's objective of conducting auction in a controlled, but fair and open, manner, while ensuring the highest or otherwise best bid is generated for the assets. The material terms of the Bidding Procedures are as follows: a. Bid Deadline: Nov. 10, 2016 at 5:00 p.m. (ET) b. Bid Requirements: (i) a modified Trade Agreement marked against the Form Asset Purchase Agreement; (ii) an offer to purchase the assets upon the terms set forth in its modified Trade Agreement; and (iii) a proposal to implement an acquisition transaction through a Plan. c. Qualifying Bids: The Debtor will make a determination regarding whether a timely submitted bid is a qualifying bid, and will notify the qualifying bidder whether their bids have been determined to be qualifying bids by no later than 2 calendar days from the date of such notification to modify its bid to increase the purchase price or otherwise improve the terms of the qualifying bid. d. Auction: In the event that the Debtor timely receives more than one qualifying bid, the Debtor will conduct an auction. e. Sale Hearing: Nov. 17, 2016 at 10:00 a.m. (ET) f. Deposits: All deposits will be returned to each bidder not selected by the Debtor as successful bidder or back-up bidder. The auction will be governed, among others, by the following procedures: a. the auction will be held on Nov. 14, 2016 at 10:00 a.m. (ET) at the offices of Cole Scholtz P.C., 500 Delaware Ave., Suite 1410, Wilmington, Delaware; b. Only a stalking horse purchaser and the other qualifying bidders with qualifying bids will be entitled to make any subsequent bids at the auction; c. the auction bidders will appear in person at the auction, or through a duly authorized representative; d. only the Debtor, the auction bidders and all creditors of the Debtor, together with the professional advisors to each of the foregoing parties, may attend the auction; e. the Debtor and its professional advisor will direct and preside over the auction, which will be transcribed; f. bidding on the assets will commence at the amount of the baseline bid, and the auction bidders may submit successive bids in increments of 2% of the baseline bid; and g. upon conclusion of the auction, the Debtor will determine, subject to Court approval, the offer for the assets that is the highest or otherwise the best from among qualifying bids submitted at the auction. To facilitate the sale, the Debtor seeks authority to assume and assign to any acquire in a Sale the Assumed Contracts in accordance with the Assumption and Assignment Procedures. The Assumption and Assignment Procedures Order are detailed and provide for the following, among other things: a. The identification of contracts that potentially could be assumed and assigned in connection with the sale and corresponding proposed cure amounts. b. At least 14 calendar days for counterparties to the Assumed Contracts to object. c. Notice after the auction of the identity of the proposed assignee, with the opportunity for counterparties to object to the adequate assurance of future performance provided by such proposed assignee. d. The deemed consent of counterparties to the proposed assumption and assignment and cure amounts if such counterparties fail to timely object to the proposed assumption, assignment and cure amounts. The Bidding Procedures Order, if approved, will establish the following timeline, which the Debtor believes is appropriate to arrive at a value maximizing transaction: a. Bidding Procedures Hearing: Oct. 2, 2016 at 2:00 p.m. (ET) b. Sale Notice and Assumption Notice Deadline: Oct. 7, 2016 c. Sale Objection and Assumption Notice Deadline: Oct. 28, 2016 at 4:00 p.m. (ET) d. Bid Deadline: Nov. 10, 2016 at 5:00 p.m. (ET) e. Auction: Nov. 14, 2016 at 10:00 a.m. (ET) f. Adequate Assurance Objection Deadline: Nov. 16, 2016 at 12:00 noon (ET) g. Sale Hearing: Nov. 17, 2016 10:00 a.m. (ET) h. Outside Closing Date: 14 business days after entry of the Sale Order. A copy of the proposed Bidding Procedures Order, Asset Purchase Agreement and Notice attached to the Motion is available for free at: http://bankrupt.com/misc/Nephrogenex_Inc_147_Sales.pdf The Debtor is committed to considering all rational and viable proposals to obtain the highest and best value for its assets. The open and fair auction and sale process contemplated in the Bidding Procedures will ensure that the Debtor's estate receives the highest and best value available by allowing the market to test the purchase price of the assets. Additionally, the Debtor believes that the notice procedures are reasonable and adequate under the circumstances. Therefore, the Debtor asks that the Court approve the Bidding Procedures, including the dates established for the auction and the sale hearing. About NephroGenex Raleigh, N.C.-based NephroGenex, Inc., is a drug development company that focuses on developing novel therapies for kidney disease. It develops Pyridorin (pyridoxamine dihydrochoride), a therapeutic agent, which is in Phase III clinical study for the treatment of diabetic nephropathy. It filed for Chapter 11 bankruptcy protection (Bankr. D. Del. Case No. 16-11074) on April 30, 2016, listing $4.9 million in total assets as of April 30, 2016, and $6.2 million in total debts as of April 30, 2016. The petition was signed by John P. Hamill, chief executive officer and chief financial officer. David R. Hurst, Esq., at Cole Scotz P.C. serves as the Debtor's bankruptcy counsel. Cassel Salpeter & Co. LLC is the Debtor's investment banker and financial advisor. Kurtzman Carson Consultants LLC is the Debtor's claims and noticing agent. NORFE GROUP: Needs Until Nov 13 to File Chapter 11 Plan ------------------------------------------------------- Norfe Group, Corp., asks the U.S. Bankruptcy Court to extend by 60 days the exclusive periods during which only the Debtor may file and solicit acceptances of a plan of reorganization through Nov. 13, 2016 and Feb. 9, 2017, respectively. The Debtor submits that the Court's resolution of these contested matters, that are scheduled to be heard on Oct. 3, 2015, is necessary in order to present a feasible Plan: (a) Puerto Rico Asset Portfolio 2013-1 International, LLC's proof of claim number 5 and the objection thereto, and (b) the extent of PRAPI's alleged rights and security interest in the rental income arising from Debtor's Shopping Center operating under the name of Paseo Del Plata, at Dorado, Puerto Rico. Moreover, the Debtor asserts that it is in the process of evaluating various alternatives for financing, with a bearing on the nature and feasibility of the Plan. About Norfe Group Norfe Group Corp. filed a Chapter 11 bankruptcy petition (Bankr. D.P.R. Case No. 16-00285) in Old San Juan, Puerto Rico, on Jan. 20, 2016. The petition was signed by David Efron, president. The firm scheduled $17,269,436 in total assets and $31,441,591 in total liabilities. The Debtor tapped Charles Alfred Cuprill, Esq., at Charles A Cuprill, PSC Law Office, as counsel. CPA Luis R. Carrasquillo & Co., P.S.C., serves as financial consultant. NORMAN EDWARD MCMAHON: Sale of Sewell Property for $175K Approved ----------------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Pennsylvania authorized Norman Edward McMahon to sell his property located at 160 Essex Ave., Sewell, New Jersey to Eric Marchesano for $175,000. The sale is free and clear of all liens. Pursuant to the terms of the Contract for Sale of Real Estate, the proceeds will be distributed to all taxes and other unavoidable liens of taxing authorities against the property, the commission of $10,500 due to Berkshire Hathaway Fox & Roach Realtors, and any additional settlement costs chargeable to the Debtor, with any remainder payable to the Debtor, into an escrow account pending distribution under a Chapter 11 Plan of Reorganization. The proceeds will therefore be retained by the Debtor in his counsel's IOLTA account. A copy of the Contract for Sale of Real Estate attached to the Order is available for free at: http://bankrupt.com/misc/Norman_McMahon_69_Order.pdf The Purchaser can be reached at: Eric McMahon 121 Wilson Ave., Sewell, NJ 08080 Norman Edward McMahon filed a Chapter 13 bankruptcy petition (Bankr. E.D. Penn. Case No. 16-11874) on March 18, 2016. The case was later converted to Chapter 11. The Debtor is the owner and president of Payall Solutions, LLC, a payroll processing firm. The Debtor is represented by: DAVID A. SCHOLL, Esq. 512 Hoffman Street Philadelphia, PA 19148 Tel: 610-550-1765 OAKS OF PRAIRIE: Has Until Oct. 31 to Use Cash Collateral --------------------------------------------------------- Judge Thomas M. Lynch of the U.S. Bankruptcy Court for the Northern District of Illinois authorized The Oaks of Prairie Point Condominium Association to use cash collateral on an interim basis, during the period Sept. 1, 2016 through Oct. 31, 2016. The approved Budget for the months of September 2016 and October 2016, provided for total projected expenses in the amount of $31,079 for September 2016 and $43,238 for October 2016. Judge Lynch held that the items identified in the approved Budget as "exterior repairs" will not be paid without further approval from Illinois State Bank. The Debtor was directed to pay Illinois State Bank the sum of $10,729 on or before Sept. 15, 2016, and again on or before Oct. 15, 2016. Illinois State Bank was granted a valid and perfected, enforceable security interest in and to the Debtor's post-petition accounts, assessments and other receivables to the extent and priority of its alleged pre-petition liens, but only to the extent of any diminution in the value of such assets from the Petition Date through October 31, 2016. A full-text copy of the Interim Order, dated Sept. 2, 2016, is available at https://is.gd/JzcU8G About The Oaks of Prairie Point Condominium Association The Oaks of Prairie Point Condominium Association is an Illinois corporation that owns and operates condominium buildings located in Lake in the Hills, Illinois, known as "The Oaks of Prairie Point Condominium". The Oaks of Prairie Point Condominium sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 16-80238) on Feb. 3, 2016. The Debtor is represented by Thomas W. Goedert, Esq., at Crane, Heyman, Simon, Welch & Clar, in Chicago, Illinois. The petition was signed by Donna Smith, property manager. The case is assigned to Judge Thomas M. Lynch. The Debtor estimated assets and liabilities at $1 million to $10 million at the time of the filing. OI SA: Creditors Said to Oppose Proposed Restructuring Plan ----------------------------------------------------------- Cristiane Lucchesi, writing for Bloomberg News, reported that creditors of Oi SA, the Brazilian phone company that filed for bankruptcy with $20 billion of debt, view the restructuring plan the company presented as unfairly benefiting shareholders, said two people with direct knowledge of the matter. According to the report, the main issue is the right Oi has to redeem bondholders' convertibles anytime it wants, the people said, asking not to be named because the position isn't public yet. Creditors argue that the option for early redemption gives current shareholders power to avoid dilution if the company manages to stage a turnaround, but leaves bondholders with a large stake if things go badly, the people said, the report related. The Rio de Janeiro-based operator proposed converting up to 32.3 billion reais ($10.1 billion) of bondholders' debt into convertible bonds with a face value of 10 billion reais, the report further related. Lenders would get 85 percent of the company if Oi doesn't pay off the debt in three years -- leaving current shareholders in control of the company for that time span, and potentially benefiting from any recovery, the people said, the report added. The creditors also oppose the 10-year grace period suggested for bank debt, considered too long, and the option shareholders have of using proceeds from asset sales to pay bondholders' convertibles, which could avoid dilution, the people said, the report noted. The plan will need to change to be approved by creditors, the report said, citing the people. About Oi SA Headquartered in Rio de Janeiro, and operating almost exclusively within Brazil, the Oi Group provides services like fixed-line data transmission and network usage for phones, internet, and cable, Wi-Fi hot-spots in public areas, and mobile phone and data services, and employs approximately 142,000 direct and indirect employees. Ojas N. Shah filed a Chapter 15 petition for Oi S.A. (Bankr. S.D.N.Y. Case No. 16-11791), Oi Movel S.A. (Bankr. S.D.N.Y. Case No. 16-11792), Telemar Norte Leste S.A. (Bankr. S.D.N.Y. Case No. 16-11793), and Oi Brasil Holdings Cooperatief U.A. (Bankr. S.D.N.Y. Case No. 16-11794) on June 21, 2016. The case is assigned to Judge Sean H. Lane. The Chapter 15 Petitioner is represented by John K. Cunningham, Esq., and Mark P. Franke, Esq., at White & Case LLP, in New York; and Jason N. Zakia, Esq., Richard S. Kebrdle, Esq., and Laura L. Femino, Esq., at White & Case LLP, in Miami, Florida. PALMER FARMS: Wants Authorization to Use GWB Cash Collateral ------------------------------------------------------------ Palmer Farms, Incorporated, and its affiliated debtors ask the U.S. Bankruptcy Court for the District of Arizona for authorization to use cash collateral. The Debtors are indebted to Great Western Bank, N.A., in the amount of over $4,400,000. Great Western Bank applied for a receiver to take possession of Debtors Palmer Farms and Palmer Cattle and noticed a trustee's sale of the farm property for Sept. 6, 2016. The Debtors tell the Court that they require the use of all cash generated from their operations to continue operation of their businesses, including the protection, management, and maintenance of estate assets. The Debtors further tell the Court that their businesses generate cash proceeds through crops harvested, and through subleases of farm land. They add that Debtor Palmer Cattle has also generated revenue from raising and selling cattle. The Debtors propose to grant Great Western Bank with replacement liens in the Debtors' collateral to the same extent, validity, and priority as existed prepetition. The Debtors contend that to successfully reorganize, they must be able to operate their businesses and generate proceeds to pay ordinary and necessary expenses. The Debtors further contend that without authority to use operating cash, including cash collateral, they will not be able to: (1) pay ordinary and necessary operating expenses including payment of wages to their employees; (2) purchase water, seed, chemicals and fertilizer necessary to continue farming operations; and (3) propose a successful plan of reorganization. A full-text copy of the Debtors' Motion, dated Sept. 2, 2016, is available at https://is.gd/Ugs1Bz Palmer Farms, Incorporated, and Palmer Cattle, LLC, are represented by: Michael McGrath, Esq. Isaac D. Rothschild, Esq. Jeffrey J. Coe, Esq. MESCH CLARK ROTHSCHILD 259 North Meyer Avenue Tucson, AZ 85701 Telephone: (520) 624-8886 E-mail: mmcgrath@mcrazlaw.com irothschild@mcrazlaw.com jcoe@mcrazlaw.com Marco D. Palmer and Elena D. Palmer are represented by: Dennis J. Clancy, Esq. RAVEN, CLANCY & MCDONAGH, P.C. 182 N. Court Ave. Tucson, AZ 85701-1002 Telephone: (520)628-8700 E-mail: dclancy@ravlaw.com About Palmer Farms, Incorporated Palmer Farms, Incorporated, Palmer Cattle, LLC, Marco Duane Palmer and Elena Pavlovna Palmer filed chapter 11 petitions (Bankr. D. Ariz. Case Nos. 4:16-bk-10202-BMW, 4:16-bk-10201-BMW, and 4:16-bk-10206-SHG, respectively) on Sept. 2, 2016. Palmer Farms and Palmer Cattle are represented by Michael McGrath, Esq., Isaac D. Rothschild, Esq., and Jeffrey J. Coe, Esq., at Mesch Clark Rothschild. Marco D. and Elena P. Palmer are represented by Dennis J. Clancy, Esq., at Raven, Clancy & McDonagh, P.C. Marco and Elena Palmer are husband and wife and live in Thatcher, Arizona. Marco is a fifth generation farmer who has farmed in Thatcher for over 40 years. Marco Palmer is the former vice-president of the irrigation district in Thatcher, Arizona. In about 2010, the Palmers expanded into cattle ranching. Palmer Farms operates a farm on approximately 1200 acres in Thatcher, Arizona. Farms primarily grows cotton and durum wheat and employs four employees. Palmer Farms currently subleases about 500 acres to Danny Curley. Palmer Cattle is a cattle ranch but does not currently own any cattle. The ranch owns equipment and feed and has the capacity to raise cattle, however, in July of 2014, Great Western Bank, N.A. directed Palmer Cattle to not purchase any cattle, despite knowing that Palmer Cattle had acquired a large amount of feed and equipment for the cattle operation. PEEK, AREN'T YOU: Unsec. Creditors to Have 23% Recovery Under Plan ------------------------------------------------------------------ Peek, Aren't You Curious, Inc., on Oct. 6, 2016, at 10:00 a.m., will seek approval from the U.S. Bankruptcy Court for the Northern District of California, in San Francisco, of a Disclosure Statement explaining a Chapter 11 Plan of Liquidation that promises 23 cents on the dollar for unsecured creditors. After exhausting all avenues for obtaining a strategic investor or buyer, in mid-November 2015, Charlotte Russe expressed interest in acquiring several of Peek's retail locations and manufacturing assets. After a series of meetings and expedited due diligence, Charlotte Russe offered to purchase some of Peek's assets pursuant to an Agreement for Purchase and Sale of Assets dated Feb. 4, 2016. Under the terms of the APA, Charlotte Russe initially agreed to acquire these assets: * 8 of Peek's 21 retail stores1; * Inventory at Peek's distribution centers and in transit; * Ecommerce assets and associated contracts; and * Intellectual property associated with the design and manufacturing of Peek's brand and product lines. The primary financial goal of the proposed sale was to maximize returns to unsecured creditors by: (a) minimizing operations losses and the accrual of post-bankruptcy rent and other administrative expenses, (b) reducing the pool of lease rejection claims through assignment of leases, and (c) maximizing the recoveries from store inventory not sold to Charlotte Russe. Peek filed this proceeding in order to close the sale to Charlotte Russe pursuant to 11 U.S.C. Sec. 363. The Court approved the 363 Sale to Charlotte Russe by an order dated March 14, 2016. Peek closed the 363 Sale on March 18, 2016 and thereafter ceased operations at its nine remaining locations. Thus, Peek has no ongoing business operations. Peek has on hand funds totaling approximately $1.3 million to pay creditors. Peek intends to distribute these funds to creditors according to the priorities set forth in the Bankruptcy Code, inter alia, 11 U.S.C. Sec. 507 in a liquidating Chapter 11 plan. Further to that end, on Aug. 25, 2016, Peek filed its proposed Chapter 11 Plan of Liquidation. The principal purpose of the Plan is to set forth how any remaining assets of Peek's estate will be liquidated and the proceeds distributed to its creditors. The Plan contemplates that the remaining assets of the Debtors' estate will be distributed to creditors in the manner dictated by the Bankruptcy Code. That is, creditors who hold liens on specific assets, if any, will be paid from the proceeds of their collateral. After those secured claims are satisfied, all unencumbered assets will be distributed in accordance with the priorities established in Section 507 of the Bankruptcy Code. Where there is not enough cash to pay all creditors of equal priority in full, pro rata distributions will be made to allowed claim holders, and no distributions will be made to any creditors that are junior in priority. The Plan estimates that holders of secured claims owed $109,665 will recover 100 percent. General unsecured creditors owed $3,014,510 will have a 23 percent recovery. Holders of late claims totaling $493,262 will have a 0 percent to 23 percent recovery. Interest holders won't receive anything. A copy of the Disclosure Statement explaining the Debtor's Chapter 11 Plan of Liquidation dated August 25, 2016, is available for free at: http://bankrupt.com/misc/canb16-30146_Peek_191_DS.pdf About Peek, Aren't You Curious Peek, Aren't You Curious, Inc., designed, manufactured and sold apparel, accessories, shoes, and gifts for girls, boys, and babies. Peek sought protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Cal. Case No. 16-30146) on Feb. 5, 2016. The petition was signed by Maria C. Canales, CEO. As of its bankruptcy filing, Peek sold high-end children's clothing through 21 retail stores in 10 states (one of which closed on Jan. 23, 2016), a wholesale relationship with Nordstrom department stores, and an Ecommerce platform. The bankruptcy case is assigned to Judge Hannah L. Blumenstiel. The Debtor tapped Nuti Hart LLP as its legal counsel; Gordon Brothers Retail Partners LLC as liquidation agent; DJM Realty Services LLC as real estate consultant; and Donlin, Recano & Company Inc. as claims and noticing agent. At the time of the filing, the Debtor estimated its assets and debt at $1 million to $10 million. PENNHILL FARMS: Unsecureds' Projected Recovery Down to 4.6% ----------------------------------------------------------- PennHill Farms, Inc., on Aug. 26, 2016, filed a Second Amended Disclosure Statement that says unsecured creditors would recover 4.6% under its Plan of Reorganization. The prior iteration of the Disclosure Statement expected a 5.4% recovery for unsecured creditors. According to the Second Amended Disclosure Statement, assuming that the total Class 3 general unsecured claims equal $665,000, the payout to the claimants will be approximately 4.6% of their allowed claims. The figure may go up or down depending on the amount of litigation required to confirm the Plan, additional fees or costs incurred by the estate, and any amendments to claims filed by creditors. The Debtor will continue to pursue sales opportunities for all of its assets through Dec. 31, 2016, and additional sales will likely increase the payout to creditors. The Debtor says the payout to unsecured creditors is much less in a Chapter 7 case due to these factors: (1) Bob Pohlod is waiving his administrative claim for postpetition rent of the Pennsylvania property if the Plan is confirmed; and (2) the Citiwide Banks secured claim may be increase if the Plan is not confirmed. A copy of the Second Amended Disclosure Statement (filed Aug. 25, 2016) to accompany the Plan of Reorganization dated April 15, 2016 is available at: http://bankrupt.com/misc/cob14-22139_Pennhill_430_2nd_Am_DS.pdf About PennHill Farms PennHill Farms, Inc., filed for Chapter 11 bankruptcy protection (Bankr. D. Colo. Case No. 14-22139) on Sept. 3, 2014, estimating assets and liabilities between $1 million and $10 million. The petition was signed by Susan Pohlod, vice president. Judge Howard R Tallman presides over the case. Headquartered in Parker, Colorado, PennHill Farms was formed in 1998 by Robert M. Pohlod, who is the Debtor's sole shareholder and director. The Debtor is a wholesale tree nursery with a tree growing farm in Pennsylvania. The Debtor's business model included growing trees in Pennsylvania then shipping the trees to the PennHill nursery in Parker, Colorado for sale to wholesale buyers. The Debtor grew and sold a wide variety of trees such as evergreen trees, ornamental trees, and shade trees. The majority of the tree sales were placed through the Colorado offices to wholesale businesses in Colorado. The Debtor operated successfully for 15 years growing trees in Pennsylvania, then shipping and selling trees in Colorado. Lee M. Kutner, Esq., Kutner Brinen Garber, P.C., serves as the Debtor's bankruptcy counsel. PITNEY BOWES: Moody's Cuts Preference Shelf Rating to (P)Ba2 ------------------------------------------------------------ Moody's Investors Service downgraded Pitney Bowes, Inc.'s ("Pitney Bowes") senior unsecured debt ratings to Baa3 from Baa2, and downgraded the short term rating to P-3 from P-2. As part of the rating action, Moody's downgraded the preferred instrument rating at Pitney Bowes International Holdings to Ba2 from Ba1. The rating outlook is stable. RATINGS RATIONALE The downgrade reflects the slower than anticipated revenue and cash flow contributions from the company's digital commerce and software businesses, which have not grown to overcome the secular declines in the company's legacy mailing business. Despite Pitney Bowes' efforts to improve its operating platforms and cost structure, the company's adjusted Debt/EBITDA leverage has recently risen above 3.0 times, while free cash flow generation remains depressed amid restructuring expenses. Still, by Moody's estimates, even if the company's strategic efforts play out over the next two years, its credit metrics would not be within the current expectations for the Baa2 rating category. Moody's recognizes Pitney Bowes' strong leadership in its postal metering business and a demonstrated commitment to maintain strong credit protection measures. The small and mid-sized business segment contributes meaningfully to Pitney Bowes' profit through its receivables financing programs, but the equipment financing business weighs on the company's credit profile given the need to refinance large annual debt maturities. Moody's anticipates that the company will apply a measured approach to its free cash flow allocation and will continue paying down its debt balances in line with the declining finance receivables associated with its mailing business. Pitney Bowes also faces challenges from the secular decline in mail delivery that is shrinking the installed equipment base, while emerging competitors pressure pricing. Though Pitney Bowes is refocusing its strategy around its longstanding mailing and shipping strengths and business intelligence it has built up over the last century, it needs to record strong digital commerce revenue growth to overcome the declines of the mailing business. The stable outlook reflects Moody's view that despite the anticipated deterioration of revenues in the core mailing business, the company is in a position to address its business challenges through expense management and longer term cash flow generating potential. The ratings could be downgraded if the persistent revenue contraction is not reversed, if adjusted debt to EBITDA remains above 3.0 times for an extended period or if free cash flow to debt percentage remains in the low single digits. The rating would also be pressured if the company prioritizes shareholder payouts over maintaining conservative financial policies. Considering the secular pressure on the legacy mailing business, a near term upgrade is unlikely. The ratings could be upgraded if there is tangible progress in driving revenue growth, operating margin improvement, adjusted debt/EBITDA leverage is maintained below 2 times and free cash flow to adjusted debt percentage grows to double digits. Ratings Actions: Issuer: Pitney Bowes Inc. -- Senior Unsecured Regular Bond/Debenture, Downgraded to Baa3 from Baa2 -- Issuer Rating, Downgraded to Baa3 from Baa2 -- Senior Unsecured Shelf, Downgraded to (P)Baa3 from (P)Baa2 -- Preferred Shelf, Downgraded to (P)Ba2 from (P)Ba1 -- Preference Shelf, Downgraded to (P)Ba2 from (P)Ba1 -- Subordinate Shelf, Downgraded to (P)Ba1 from (P)Baa3 -- Senior Unsecured Commercial Paper, Downgraded to P-3 from P- 2 -- Senior Unsecured Medium-Term Note Program, Downgraded to (P)Baa3 from (P)Baa2 Issuer: Pitney Bowes International Holdings -- Preferred Stock, Downgraded to Ba2 from Ba1 Outlook Actions: Issuer: Pitney Bowes Inc. -- Outlook, Remains Stable Issuer: Pitney Bowes International Holdings -- Outlook, Remains Stable Based in Stamford, CT, Pitney Bowes is a leading global provider of integrated mail, messaging and document management solutions that includes postage meters, mailing equipment and related document messaging services and software, mail and marketing services. The principal methodology used in these ratings was Diversified Technology Rating Methodology published in December 2015. POSITIVEID CORP: Accumulated Losses Raise Going Concern Doubt ------------------------------------------------------------- PositiveID Corporation filed with the Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $1.91 million on $1.85 million of revenue for the three months ended June 30, 2016, compared to a net loss of $2.93 million on $51,000 of revenue for the same period in 2015. For the six months ended June 30, 2016, the Company listed a net loss of $3.19 million on $3.51 million of revenue, compared to a net loss of $3.38 million on $182,000 of revenue for the same period in the prior year. As of June 30, 2016, the Company had $2.86 million in total assets, $16.21 million in total liabilities and a total stockholders' equity of $13.35 million. The Company has incurred operating losses prior to and since the merger that created PositiveID. The operating losses during 2015 and for the three and six months ending June 30, 2016 are the result of research and development expenditures, selling, general and administrative expenses related to Company's molecular diagnostics and Caregiver® products. The Company expects its operating losses to continue through 2016. These conditions raise substantial doubt about our ability to continue as a going concern. A full-text copy of the Form 10-Q is available for free at: https://is.gd/OuI00k About PositiveID Delray Beach, Fla.-based PositiveID Corporation has historically developed, marketed and sold RFID systems used for the identification of people in the healthcare market. Beginning in early 2011, the Company has focused its strategy on the growth of its HealthID business, including the continued development of its GlucoChip, its Easy Check breath glucose detection device, its iglucose wireless communication system, and potential strategic acquisition opportunities of businesses that are complementary to its HealthID business. PositiveID reported a net loss attributable to common stockholders of $11.5 million on $2.94 million of revenues for the year ended Dec. 31, 2015, compared with a net loss attributable to common stockholders of $8.22 million on $945,000 of revenues for the year ended Dec. 31, 2014. As of March 31, 2016, PositiveID had $3.61 million in total assets, $17.9 million in total liabilities, and a total stockholders' deficit of $14.3 million. Salberg & Company, P.A., in Boca Raton, Florida, issued a "going concern" qualification on the consolidated financial statements for the year ended Dec. 31, 2015, citing that the Company reported a net loss, and used cash for operating activities of approximately $11,404,000 and $4,507,000 respectively, in 2015. At Dec. 31, 2015, the Company had a working capital deficiency, a stockholders' deficit and an accumulated deficit of approximately $10,694,000, $11,842,000 and $144,161,000 respectively. These matters raise substantial doubt about the Company's ability to continue as a going concern. POWELL VALLEY: Wants Plan Filing Period Extended to December 14 --------------------------------------------------------------- Powell Valley Health Care, Inc. asks the U.S. Bankruptcy Court for the District of Wyoming to extend its exclusive periods to file a plan and obtain acceptance of its plan, through December 14, 2016 and February 14, 2016, respectively. The Debtor relates that its exclusive period to file a plan of reorganization will expire on September 14, 2016. The Debtor further relates that its exclusive period to obtain acceptance of its plan will expire on November 14, 2016. The Debtor contends that it is exploring settlement negotiations with its Official Committee of Unsecured Creditors and other creditor groups. The Debtor further contends that it is in the process of seeking the Court's approval to retain a financial advisor that will be critical in assisting the Debtor with determining the feasibility of any proposed plan of reorganization. The Debtor tells the Court that it needs additional time to negotiate with creditors and work with its financial advisor prior to formulating the final terms of its plan of reorganization. About Powell Valley Health Care, Inc. Powell Valley Health Care, Inc. provides healthcare services to the greater-Powell, Wyoming community. The Company filed for Chapter 11 bankruptcy protection (Bankr. D. Wyo. Case No. 16-20326) on May 16, 2016. The petition was signed by Michael L. Long, CFO. The Debtor is represented by Bradley T. Hunsicker, Esq., at Markus Williams Young & Zimmermann LLC. The case is assigned to Judge Cathleen D. Parker. The Debtor estimated assets and debts at $10 million to $50 million at the time of the filing. No trustee or examiner has been appointed in the case. The United States Trustee appointed Larry Heiser, Veronica Sommerville, Michelle Oliver, and Joetta Johnson to serve on the Official Committee of Unsecured Creditors. The Official Committee of Unsecured Creditors tapped Spencer Fane LLP as counsel. PROFESSIONAL DIVERSITY: Covenant Problems Raise Going Concern Doubt ------------------------------------------------------------------- Professional Diversity Network, Inc., filed its quarterly report on Form 10-Q, disclosing a net loss of $806,269 on $6.85 million of total revenues for the three months ended June 30, 2016, compared with a net loss of $778,279 on $10.40 million of total revenues for the same period in 2015. The Company's balance sheet at June 30, 2016, showed $37.37 million in total assets, $16.47 million in total liabilities, and a stockholders' equity of $20.90 million. The Company had an accumulated loss of approximately $43,136,000 at June 30, 2016. During the six months ended June 30, 2016, the Company generated a net loss of approximately $2,246,000, used cash in operations of approximately $2,233,000, and expects that it will continue to generate operating losses for the foreseeable future. On March 30, 2016, the Company entered into a Master Credit Facility Agreement (the "Master Credit Facility") with White Winston Select Asset Funds, LLC ("White Winston") providing for a revolving credit facility (the "Facility") in the principal amount up to the lesser of $5,000,000 or 75% of the outstanding balance of the Company's eligible customer receivables. On June 30, 2016, the Company closed the Master Credit Facility and received an initial disbursement of $1,572,576 (before deduction of related fees and expenses). As of June 30, 2016, the Company had drawn approximately $435,000 more than its availability under the Master Credit Facility, accordingly, the Company's ability to receive additional funds under the Master Credit Facility is fully at White Winston's discretion. The Company may use the proceeds of the Master Credit Facility for working capital needs and to pay the costs, fees and expenses in connection with the Master Credit Facility. If revenues continue to decline, the outstanding balance of eligible receivables may not be sufficient to support the outstanding loan balance. If the Company is unable to meet its obligations under the Master Credit Facility, they would be in default and would need White Winston to agree to a waiver. Management makes no assurances that White Winston would provide a waiver if needed, which would result in a default in accordance with the terms of the Master Credit Facility. The Company's obligations under the Master Credit Facility are secured by a first priority lien in all of the Company's consolidated tangible and intangible property, including all receivables from the operations of its business and all of the outstanding ownership interests in each of the Company's direct and indirect subsidiaries. These factors raise substantial doubt about the Company's ability to continue as a going concern. The Company's ability to continue as a going concern is dependent on management's plans. Its ability to execute its operating plan beyond September 2016 is dependent on White Winston agreeing to additional advances under the Master Credit Facility, controlling operating costs and capital requirements, completing the transaction with CFL, if the Company is unable to access the Master Credit Facility, obtaining additional funding via the sale of equity and/or debt securities. A copy of the Form 10-Q is available at: https://is.gd/VAHBqU Chicago-based Professional Diversity Network, Inc., develops and operates online professional networking communities that serve diverse professionals in the United States and employers seeking to hire diverse talent. The Company's subsidiary, National Association of Professional Women (NAPW) is one of the largest, most recognized networking organizations of professional women in the country, spanning more than 200 industries and professions. RELIABLE RACING: Can Use Cash Collateral Until Sept. 19 ------------------------------------------------------- Judge Robert E. Littlefield, Jr. of the U.S. Bankruptcy Court for the Northern District of New York, authorized Reliable Racing Supply, Inc., to use cash collateral on an interim basis through Sept. 19, 2016, under the terms of the Court's First Interim Order. TD Bank was authorized to transfer from the Debtor In Possession Account such funds that exceed the DIP Balance of $40,000 to the Debtor's Excess Cash Account at TD Bank. TD Bank was further authorized to apply the funds in the Excess Cash Account to the amount due pursuant to the TD Bank Loan Documents, upon the expiration of the Court's Order. A further interim hearing on the Debtor's Motion is scheduled on Sept. 19, 2016 at 9:30 a.m. A full-text copy of the Interim Order, dated Sept. 2, 2016, is available at https://is.gd/YjG3CE About Reliable Racing Supply Reliable Racing Supply, Inc., sells ski, bike and snowboard equipment through its store Inside Edge Ski, Board & Bike located at 643 Upper Glen Street, Queensbury, New York. It also sells ski racing products to its consumers through its Wintersports online catalog. Reliable Racing Supply, Inc., doing business as Inside Edge Ski & Bike, filed a chapter 11 petition (Bankr. N.D.N.Y. Case No. 16-10619) on April 7, 2016. The petition was signed by John Jacobs, president. The case is assigned to Judge Robert E. Littlefield, Jr. The Debtor disclosed assets of $2.98 million and liabilities of $2.55 million as of Feb. 29, 2016. The Debtor is represented by Meghan M. Breen, Esq., at Lemery Greisler, LLC. REVEREND C.T. WALKER: 181 West Offers $9M for New York Property --------------------------------------------------------------- Reverend C.T. Walker Housing Development Fund Corp., asks the U.S. Bankruptcy Court for the Eastern District of New York to authorize the Contract of Sale in connection with the sale of real property located at 179-183 West 135th Street, New York, New York, also known as 181 West 135th Street, New York, New York and Section 7, Block 1920, Lot 7 ("Premises"), to 181 West 135th, LLC, or its designee, for $9,000,000, subject to higher and better offers. A hearing on the Motion is set for Sept. 22, 2016 at 12 p.m. Objection deadline is Sept. 15, 2016 at 5:00 p.m. (EST). The Debtor operates its business at the Premises through Prestige Management, Inc., its proposed real property management company. Since its formation in 1986, the company has been in the business of providing affordable, low-income housing for individuals and families at the Premises. In addition, as part of its acquisition and financing of repairs at its business location provided space to the Young Men's Christian Association of Greater New York ("YMCA") for operation of its "Youth Center" under a perpetual lease with an annual rent of $1. The Debtor was compelled to file for chapter 11 relief because of its severe financial distress. The source of the Debtor's financial troubles can be attributed to a single factor, the expiration of the Debtor's J-51 real property tax exemption for the Premises ("Tax Exemption"). Before the Petition Date, the Debtor's operation had been incurring losses as a result of the loss of the Tax exemption of about $250,000 per year for the past 10 years. As of the Petition Date, the Debtor was losing approximately $20,000 per month on average and could not continue to sustain such losses. Furthermore, prepetition The City of New York commenced a tax lien foreclosure proceeding against the Debtor through the sale of a tax lien certificate on the real property to Bank of New York Mellon as Custodian and Agent of 2 trusts for payment of the back taxes. Attempts by the Debtor to have the expired tax exemption restored was denied by the New York City Department of Housing and Preservation Development. The Debtor believes that filing the chapter 11 case is the only viable alternative to preserve and maximize the value of its real property for the benefit of all its creditors by enabling the Debtor to liquidate its assets in an orderly manner for the highest and best value. Since the Petition Date, the Debtor has continued in the operation of its business in the ordinary course of business. In July 2016, the YMCA surrendered its lease, vacated the Premises and removed its operations as a Youth Center across the street from the real property. The Debtor has taken possession and control of the space (basement and first through thirds floors) previously occupied by the YMCA at the Premises. To the best of its knowledge and belief, as of the Petition Date, the Debtor has 5 creditors asserting liens against its assets, including the Premises as follows: a. The Debtor and HPD are parties to a First Mortgage on the Premises, dated Nov. 25, 1987, recorded Aug. 1, 1989 at Reel 1606, in the original amount of $828,903; b. The Debtor and HPD are parties to a Subordinate Mortgage on the Premises, dated Nov. 25, 1987, recorded Aug. 1, 1987 at Reek 1606, in the original amount of $686, 400. The secured claim of HPD is valid, undisputed and constitute a valid and enforceable lien and security interest in the Premises, subordinate to the First Mortgage. The HPD First Mortgage and Subordinate Mortgage claims is approximately $1,515,000, plus interest; c. The Debtor is indebted to the NYCTL 1998-2 and 2013-A Trusts and Bank of New York Mellon as Collateral Agent and Custodian for nonpayment of New York City real property taxes with respect to (i) Tax Lien Certificate No. 1A made by The City of New to The Bank of New York Mellon, dated Aug. 8, 2013 in CRFN:2013000318672; and (ii) Tax Lien Certificate No 1B made by The City of New to The Bank of New York Mellon, dated Aug. 12, 2015 in CRFN: 2015000294856. The combined lien claims of the trusts on the Petition Date was approximately $4,200,000; d. The Debtor is indebted to the NYC Department of Finance, as evidence by the filing of a real property tax lien against the Premises. The approximate amount due to the Department of Finance is $351,130; and e. The Debtor is indebted to The NYC Water Board for the statutory water and sewer charges resulting in a lien against the Premises. The approximate amount due to the Water Board is $170,920. In addition to the secured liens, the Debtor is a party to a Declaration of Covenants II and Restrictive Covenants as described: a. Declaration of Covenant II, dated as of Nov. 25, 1987, between the Debtor and The City of New York, which governs (i) the procedures for rent registration of Lower Income Units, (ii) income restrictions on prospective tenants of Lower Income Units, (iii) certifications of annual income of all tenants of Lower Income Units and (iv) the remedy of The City of New York in the event of a violation of the Declaration of Covenants. This Declaration of Covenants is subject to the 2 mortgages of the Premises between the Debtor and HPD; b. Restrictive Covenant, dated as of July 31, 1993, between the Debtor and the YMCA with regard to the YMCA's creation and use of the Youth Center, its purposes, limitations on use restrictions, non-profit status and obligation upon sale; and c. Housing Development Grant Covenants Addendum, dated Oct. 27, 1987, between The City of New York, the Debtor and the YMCA, restricting the Debtor and the YMCA for 20 years period from (i) converting any units at the Premises to condominiums or cooperative ownership, (ii) barring discrimination against prospective tenants on the bases of eligibility for housing assistance or minor children and (iii) establishing the number and criteria for Lower Income Units and tenants. Since the Petition Date, the Debtor has investigated several means of disposing of the Premises for the benefit of the estate. Only 181 expressed interest acquiring the Premises as a "stalking horse" bidder. The Debtor has agreed to the terms of the Contract of Sale which contemplates the purchase and sale of the Debtor's Premises to Buyer or its designee, subject to higher and better offers. A copy of the Contract of Sale attached to the Motion is available for free at: http://bankrupt.com/misc/Reverend_24_Sales.pdf Salient provisions of the Contract of Sale are: a. Purchased Asset: Real property known as and situated at 179-183 West 135th Street, New York, New York, also known as 181 West 135th Street, New York, New York and Section 7, Block 1920, Lot 7. b. Purchase Price: $9,000,000 c. Bid Deposit: $1,150,000 d. Closing Date: 30 days from the date of entry of Order approving the sale. e. Terms: "as is," "where is," without representation or warranty, free and clear of all liens, covenants, claims, interests and encumbrances. Other conditions of the sale require that immediately upon consummation of the sale, the Premises' name will be changed. In connection with sale of the Premises under the Contract of Sale, the Buyer and the Debtor will execute customary transfer documents, the form of which will be agreed to between signing and closing, including, without limitation, a Bill of Sale. The Debtor has utilized and requests the Court approve its proposed Bidding Procedures for the Premises in the Sale Order, which include, among others, the following: a. Participation Requirements: Each interested person or entity must deliver (i) a Good Faith Deposit of $900,000; and (ii) proof of financial wherewithal to consummate a sale transaction. b. Deposit Requirements: Potential bidder must deposit with the Debtor a Good Faith Deposit. c. Qualification of Bids: A bid received from a potential bidder that meets the requirements will be considered a qualified bid and each potential bidder that submits a qualified bid will be considered a qualified bidder. The Buyer is a qualified bidder and the Contract of Sale executed by the Buyer is a qualified bid. d. Baseline Bid: Prior to the auction, the Debtor will select the highest or best qualified bid or qualified bids for the assets to serve as the starting point at the sale. e. Time and Place for Sale: At the offices of Debtor's counsel, Windels Marx Lane & Mittendorf, LLP, 156 West 56th Street, 22nd Floor, New York, New York. The auction date is to be scheduled. Only a qualified bidder who has submitted a qualified bid will be eligible to participate at the sale. f. Selection of Successful Bid: At the Sale Hearing, the Debtor will present the successful bid to the Court for approval. g. Return of Deposit: The Good Faith Deposit of all qualified bidders will be held in escrow by the Debtor, and with respect to the Buyer, will be held by the Referee until its release to Debtor's counsel, and will not become property of the Debtor's bankruptcy estate absent further order of the Court. The Debtor will retain the Good Faith Deposit of the successful bidder and the party with the next higher or otherwise best bid until the closing of the sale transaction. Upon the return of the Good Faith Deposit, their respective owners will receive any and all interest that will have accrued thereon. The Debtor believes that the proposed Bidding Procedures provide an appropriate framework for selling the Premises and will enable the Debtor to review, analyze and compare all bids received to determine which bid and combination of bids is in the best interests of the Debtor's estate and creditors. The Debtor is proceeding by Order scheduling a hearing on shortened notice rather than by notice of motion because the Debtor believes that approval of the sale and scheduling of the auction sale and Sale Hearing must occur as soon as possible. Any delay will only diminish the value that can be realized by the Debtor's estate from the sale of the Premises. Therefore, waiver of the 14-day stay would help to maximize the value received by the Debtor's estate. The Purchaser is represented by: A. Mitchell Greene, Esq. ROBINSON BROG LEINWAND GREENE GENOVESE & GLUCK P.C. 875 Third Avenue, 9th Floor New York, NY 100122 Telephone: (212) 603-6399 Facsimile: (212) 956-2164 About Reverend C.T. Walker Housing Development Fund Reverend C.T. Walker Housing Development Fund Corp. operates its business through Prestige Management, Inc., its proposed real property management company. Since its formation in 1986, the company has been in the business of providing affordable, low-income housing for individuals and families at 179-183 West 135th Street, New York, New York. Reverend C.T. Walker Housing Development Fund Corp. sought Chapter 11 protection (Bankr. E.D. N.Y. Case No. 16-43014) on July 7, 2016. Judge Elizabeth S. Stong presides over the case. The Debtor estimated assets and liabilities in the range of $1 million to $10 million. The Debtor tapped Charles E Simpson, Esq. at the Windels Marx Lane & Mittendorf, LLP as counsel. The petition was signed by Rev. Reginald L. Bachus, president. REVEREND C.T. WALKER: Has $8M Contract to Sell NY Properties ------------------------------------------------------------ Reverend C.T. Walker Housing Development Fund Corp. asks the U.S. Bankruptcy Court for the Eastern District of New York to authorize the Contract of Sale in connection with the sale of real property located at 179-183 West 135th Street, New York, also known as 181 West 135th Street, New York, and Section 7, Block 1920, Lot 7 ("Premises"), to 181 West 135th, LLC, or its designee, for $9,000,000, subject to higher and better offers. A hearing on the Motion is set for Sept. 22, 2016 at 12 p.m. The objection deadline is Sept. 15, 2016 at 5:00 p.m. (EST). The Debtor operates its business at the Premises through Prestige Management, Inc., its proposed real property management company. Since its formation in 1986, the company has been in the business of providing affordable, low-income housing for individuals and families at the Premises. In addition, as part of its acquisition and financing of repairs at its business location provided space to the Young Men's Christian Association of Greater New York ("YMCA") for operation of its "Youth Center" under a perpetual lease with an annual rent of $1. The Debtor was compelled to file for chapter 11 relief because of its severe financial distress. The source of the Debtor's financial troubles can be attributed to a single factor, the expiration of the Debtor's J-51 real property tax exemption for the Premises ("Tax Exemption"). Before the Petition Date, the Debtor's operation had been incurring losses as a result of the loss of the Tax exemption of about $250,000 per year for the past 10 years. As of the Petition Date, the Debtor was losing approximately $20,000 per month on average and could not continue to sustain such losses. Furthermore, prepetition The City of New York commenced a tax lien foreclosure proceeding against the Debtor through the sale of a tax lien certificate on the real property to Bank of New York Mellon as Custodian and Agent of 2 trusts for payment of the back taxes. Attempts by the Debtor to have the expired tax exemption restored was denied by the New York City Department of Housing and Preservation Development. The Debtor believes that filing the chapter 11 case is the only viable alternative to preserve and maximize the value of its real property for the benefit of all its creditors by enabling the Debtor to liquidate its assets in an orderly manner for the highest and best value. Since the Petition Date, the Debtor has continued in the operation of its business in the ordinary course of business. In July 2016, the YMCA surrendered its lease, vacated the Premises and removed its operations as a Youth Center across the street from the real property. The Debtor has taken possession and control of the space (basement and first through thirds floors) previously occupied by the YMCA at the Premises. To the best of its knowledge and belief, as of the Petition Date, the Debtor has 5 creditors asserting liens against its assets, including the Premises as follows: a. The Debtor and HPD are parties to a First Mortgage on the Premises, dated Nov. 25, 1987, recorded Aug. 1, 1989 at Reel 1606, in the original amount of $828,903; b. The Debtor and HPD are parties to a Subordinate Mortgage on the Premises, dated Nov. 25, 1987, recorded Aug. 1, 1987 at Reek 1606, in the original amount of $686, 400. The secured claim of HPD is valid, undisputed and constitute a valid and enforceable lien and security interest in the Premises, subordinate to the First Mortgage. The HPD First Mortgage and Subordinate Mortgage claims is approximately $1,515,000, plus interest; c. The Debtor is indebted to the NYCTL 1998-2 and 2013-A Trusts and Bank of New York Mellon as Collateral Agent and Custodian for nonpayment of New York City real property taxes with respect to (i) Tax Lien Certificate No. 1A made by The City of New to The Bank of New York Mellon, dated Aug. 8, 2013 in CRFN:2013000318672; and (ii) Tax Lien Certificate No 1B made by The City of New to The Bank of New York Mellon, dated Aug. 12, 2015 in CRFN: 2015000294856. The combined lien claims of the trusts on the Petition Date was approximately $4,200,000; d. The Debtor is indebted to the NYC Department of Finance, as evidence by the filing of a real property tax lien against the Premises. The approximate amount due to the Department of Finance is $351,130; and e. The Debtor is indebted to The NYC Water Board for the statutory water and sewer charges resulting in a lien against the Premises. The approximate amount due to the Water Board is $170,920. In addition to the secured liens, the Debtor is a party to a Declaration of Covenants II and Restrictive Covenants as described: a. Declaration of Covenant II, dated as of Nov. 25, 1987, between the Debtor and The City of New York, which governs (i) the procedures for rent registration of Lower Income Units, (ii) income restrictions on prospective tenants of Lower Income Units, (iii) certifications of annual income of all tenants of Lower Income Units and (iv) the remedy of The City of New York in the event of a violation of the Declaration of Covenants. This Declaration of Covenants is subject to the 2 mortgages of the Premises between the Debtor and HPD; b. Restrictive Covenant, dated as of July 31, 1993, between the Debtor and the YMCA with regard to the YMCA's creation and use of the Youth Center, its purposes, limitations on use restrictions, non-profit status and obligation upon sale; and c. Housing Development Grant Covenants Addendum, dated Oct. 27, 1987, between The City of New York, the Debtor and the YMCA, restricting the Debtor and the YMCA for 20 years period from (i) converting any units at the Premises to condominiums or cooperative ownership, (ii) barring discrimination against prospective tenants on the bases of eligibility for housing assistance or minor children and (iii) establishing the number and criteria for Lower Income Units and tenants. Since the Petition Date, the Debtor has investigated several means of disposing of the Premises for the benefit of the estate. Only 181 expressed interest acquiring the Premises as a "stalking horse" bidder. The Debtor has agreed to the terms of the Contract of Sale which contemplates the purchase and sale of the Debtor's Premises to Buyer or its designee, subject to higher and better offers. A copy of the Contract of Sale attached to the Motion is available for free at: http://bankrupt.com/misc/Reverend_24_Sales.pdf The salient provisions of the Contract of Sale are: a. Purchased Asset: Real property known as and situated at 179-183 West 135th Street, New York, New York, also known as 181 West 135th Street, New York, New York and Section 7, Block 1920, Lot 7. b. Purchase Price: $9,000,000 c. Bid Deposit: $1,150,000 d. Closing Date: 30 days from the date of entry of Order approving the sale. e. Terms: "as is," "where is," without representation or warranty, free and clear of all liens, covenants, claims, interests and encumbrances. Other conditions of the sale require that immediately upon consummation of the sale, the Premises' name will be changed. In connection with sale of the Premises under the Contract of Sale, the Buyer and the Debtor will execute customary transfer documents, the form of which will be agreed to between signing and closing, including, without limitation, a Bill of Sale. The Debtor has utilized and requests the Court approve its proposed Bidding Procedures for the Premises in the Sale Order, which include, among others, the following: a. Participation Requirements: Each interested person or entity must deliver (i) a Good Faith Deposit of $900,000; and (ii) proof of financial wherewithal to consummate a sale transaction. b. Deposit Requirements: Potential bidder must deposit with the Debtor a Good Faith Deposit. c. Qualification of Bids: A bid received from a potential bidder that meets the requirements will be considered a qualified bid and each potential bidder that submits a qualified bid will be considered a qualified bidder. The Buyer is a qualified bidder and the Contract of Sale executed by the Buyer is a qualified bid. d. Baseline Bid: Prior to the auction, the Debtor will select the highest or best qualified bid or qualified bids for the assets to serve as the starting point at the sale. e. Time and Place for Sale: At the offices of Debtor's counsel, Windels Marx Lane & Mittendorf, LLP, 156 West 56th Street, 22nd Floor, New York, New York. The auction date is to be scheduled. Only a qualified bidder who has submitted a qualified bid will be eligible to participate at the sale. f. Selection of Successful Bid: At the Sale Hearing, the Debtor will present the successful bid to the Court for approval. g. Return of Deposit: The Good Faith Deposit of all qualified bidders will be held in escrow by the Debtor, and with respect to the Buyer, will be held by the Referee until its release to Debtor's counsel, and will not become property of the Debtor's bankruptcy estate absent further order of the Court. The Debtor will retain the Good Faith Deposit of the successful bidder and the party with the next higher or otherwise best bid until the closing of the sale transaction. Upon the return of the Good Faith Deposit, their respective owners will receive any and all interest that will have accrued thereon. The Debtor believes that the proposed Bidding Procedures provide an appropriate framework for selling the Premises and will enable the Debtor to review, analyze and compare all bids received to determine which bid and combination of bids is in the best interests of the Debtor's estate and creditors. The Debtor is proceeding by Order scheduling a hearing on shortened notice rather than by notice of motion because the Debtor believes that approval of the sale and scheduling of the auction sale and Sale Hearing must occur as soon as possible. Any delay will only diminish the value that can be realized by the Debtor's estate from the sale of the Premises. Therefore, waiver of the 14-day stay would help to maximize the value received by the Debtor's estate. The Purchaser is represented by: A. Mitchell Greene, Esq. ROBINSON BROG LEINWAND GREENE GENOVESE & GLUCK P.C. 875 Third Avenue, 9th Floor New York, NY 100122 Telephone: (212) 603-6399 Facsimile: (212) 956-2164 About Reverend C.T. Walker Housing Development Fund Reverend C.T. Walker Housing Development Fund Corp. operates its business through Prestige Management, Inc., its proposed real property management company. Since its formation in 1986, the company has been in the business of providing affordable, low-income housing for individuals and families at 179-183 West 135th Street, New York, New York. Reverend C.T. Walker Housing Development Fund Corp. sought Chapter 11 protection (Bankr. E.D.N.Y. Case No. 16-43014) on July 7, 2016. Judge Elizabeth S. Stong presides over the case. The Debtor estimated assets and liabilities in the range of $1 million to $10 million. The Debtor tapped Charles E Simpson, Esq. at the Windels Marx Lane & Mittendorf, LLP as counsel. The petition was signed by Rev. Reginald L. Bachus, president. SAMSON RESOURCES: BE Aviation Offers $2.75M for Learjet 45XR ------------------------------------------------------------ Samson Resources Corp. and affiliates, ask the U.S. Bankruptcy Court for the District of Delaware to authorize the sale of Learjet 45XR, Serial No. 45-306 ("Airplane"), to BE Aviation, LLC ("Buyer") for $2,750,000. The Debtors engaged JBA Aviation, Inc., as a broker ("Broker"). The efforts undertaken by the Broker have borne out the value of the proposed sale. On April 11, 2016, the Debtors filed the Debtors Motion for Entry of an Order Authorizing Debtors to Sell Aircraft Free and Clear of All Liens, Claims, and Encumbrances. On April 29, 2016, the Court entered the Order Authorizing Debtors to Sell Aircraft Free and Clear of All Liens, Claims, and Encumbrances ("First Order") approving the sale of the Aircraft to Avpro, Inc. ("Initial Buyer") on the terms set forth in the letter of intent ("First Letter of Intent") attached to the First Order. The First Letter of Intent provided that after executing a mutually agreeable purchase and sale agreement, the Initial Buyer would have the opportunity to conduct an inspection and either accept or reject the Aircraft in its sole discretion. Unfortunately, the Initial Buyer determined not to pursue the transaction after its inspection. Despite this setback, the Debtors found a replacement buyer and now, based on the second letter of intent ("Letter of Intent"), wish to enter into a purchase and sale agreement ("Purchase Agreement") with BE Aviation. A copy of the Purchase Agreement attached to the Motion is available for free at: http://bankrupt.com/misc/Samson_Resources_1307_Sales.pdf The salient terms of the Purchase Agreement are: a. Purchased Asset: Learjet 45XR, Serial No. 45-306 b. Purchase Price: $2,750,000 c. Deposit: $100,000 d. Closing Date: Sept. 21, 2016 e. Transaction Cost and Expenses: Buyer and Seller will each pay 50% of all escrow fees. f. Terms: Free and clear of all liens, claims and encumbrances The Debtors will owe the Broker 2 percent of the gross sales price, or $55,000, in exchange for its services, plus reimbursement of certain expenses in the amount of approximately $5,000. In an effort to best position the sale for success and circumvent the risk of the Buyer backing out of the transaction, under the terms of the Letter of Intent, the Buyer does not have the opportunity to reject the Aircraft now that the Purchase Agreement is executed. Rather, the Buyer was allowed to review the inspection report and test the Aircraft prior to executing the Purchase Agreement. The Debtors believe that the proposed sale properly maximizes value for their stakeholders while efficiently capitalizing on the Buyer's interest in purchasing the Aircraft. The Debtors' estates will be relieved of ongoing liabilities associated with owning the Aircraft, including lease payments for the hangar in which the Aircraft is stored, insurance premiums, salary and benefits of the staffed pilot and contracted co-pilots, maintenance fees, and licensing obligations. Moreover, the Debtors' estates will receive a direct cash influx from the Buyer by consummating the sale, which the Debtors have agreed to segregate on account of the Aircraft being unencumbered. Therefore, a separate, court-supervised marketing and auction process is not necessary and would be highly cost-inefficient. The Purchaser can be reached at: Stewart H. Jones, Manager BE AVIATION, LLC c/o Jones Industrial Holdings, Inc. 2200 Post Oak Blvd., Suite 1250 Houston, TX 77056 Telephone: (713) 600-9300 E-mail: sjones@jonesindustrial.com About Samson Resources Samson Resources Corporation, et al., filed Chapter 11 bankruptcy petitions (D. Del. Lead Case No. 15-11934) on Sept. 16, 2015. Philip W. Cook, the executive vice president and CFO, signed the petition. The Debtors estimated assets and liabilities of more than $1 billion. Samson is an onshore oil and gas exploration and production company with interests in various oil and gas leases primarily located in Colorado, Louisiana, North Dakota, Oklahoma, Texas, and Wyoming. The Operating Companies operate, or have royalty or working interests in, approximately 8,700 oil and gas production sites. Samson was acquired by KKR and Crestview from Charles Schusterman in December 2011 for approximately $7.2 billion. The investor group provided approximately $4.1 billion in equity investments as part of the purchase price. Kirkland & Ellis LLP represents the Debtors as general counsel. Klehr Harrison Harvey Branzburg LLP is the Debtors' local counsel. Alvarez & Marsal LLC acts as the Debtors' financial advisor. Blackstone Advisory Partners L.P. serves as the Debtors' Investment banker. Garden City Group, LLC, serves as claims and noticing agent to the Debtors. Andrew Vara, acting U.S. trustee for Region 3, appointed three creditors of Samson Resources Corp. and its affiliated debtors to serve on the official committee of unsecured creditors. The Committee has tapped White & Case LLP as counsel and Farnan LLP as local counsel. * * * The Debtors, on May 16, 2016, filed a new debt-for-equity Chapter 11 Plan, a copy of whose Disclosure Statement is available at http://bankrupt.com/misc/SAMSONds0517.pdf The Plan contemplates an exchange of First Lien Claims for new first lien debt (including commitments under a new reserve-based revolving credit facility), Cash (including proceeds from Asset Sales, if any), and new common equity. In a subsequent filing, the Creditors Committee submitted a motion in court seeking the termination of the Debtors' exclusivity periods to file, and solicit acceptances for that, a Chapter 11 plan. As reported in the May 26, 2016 edition of The Troubled Company Reporter, the Committee claimed that "the Debtors' Amended Plan on file represents a no win choice for unsecured creditors: vote for the plan and get less than one would in a Chapter 7 liquidation; fight the plan and either get nothing or end up six months down the road with no plan and administrative expenses running out of control." SAMUEL WYLY: SEC Eyes Contempt for Failure to Pay $101-Mil. ----------------------------------------------------------- The American Bankruptcy Institute, citing Nate Raymond of Reuters, reported that the U.S. securities regulators said they want the executor of Charles Wyly's estate held in contempt for failing to pay the $101.2 million owed as a result of the late Texas businessman's fraud. According to the report, in a letter filed in Manhattan federal court, the U.S. Securities and Exchange Commission said Donald Miller, Charles Wyly's son-in-law, had taken no steps in his role as executor to pay the sum after being ordered to do so in February 2015. The SEC said the estate had failed to seek a stay of the judgment pending appeals by it and former billionaire Sam Wyly, Charles Wyly's brother, of a federal jury's verdict two years ago finding them liable for securities fraud, the report related. The commission asked U.S. District Judge Paul Oetken to order Miller to demonstrate why the estate could not pay the sum, and to hold him in contempt if he failed to do so, the report further related. The SEC said it would also seek an order requiring the repatriation of sufficient assets from offshore trusts at issue in the case to pay the judgment, the report said. Those trusts have a net worth of $350 million, the SEC said, citing Charles Wyly's widow, the report added. The case is U.S. Securities and Exchange Commission v. Wyly et al, U.S. District Court, Southern District of New York, No. 10-5760. About Sam Wyly Sam Wyly is a lifelong entrepreneur and author. His first book, 1,000 Dollars & An Idea, is a biography that tells his story of creating and building companies, including University Computing, Michaels Arts & Crafts, Sterling Software, and Bonanza Steakhouse. His second book, Texas Got It Right!, co-authored with his son, Andrew, was gifted to roughly 450,000 students and teachers, thought leaders, and readers, and continues to be a best-seller in its Amazon category. Samuel Wyly filed for Chapter 11 bankruptcy protection (Bankr. N.D. Tex. Case No. 14-35043) on Oct. 19, 2014, weeks after a judge ordered him to pay several hundred million dollars in a civil fraud case. In September 2014, a federal judge ordered Mr. Wyly and the estate of his deceased brother to pay more than $300 million in sanctions after they were found guilty of committing civil fraud to hide stock sales and nab millions of dollars in profits. About Caroline Wyly Caroline Wyly is the widow of business tycoon Charles Wyly. She and her brother-in-law Sam Wyly sought Chapter 11 bankruptcy protection as leverage to settle a looming tax bill and a $329 million claim from the Securities and Exchange Commission. Her bankruptcy is In re Caroline D. Wyly, 14-35074, in U.S. Bankruptcy Court, Northern District Texas (Dallas). SANDERS NURSERY: Exclusive Solicitation Period Extended to Nov. 28 ------------------------------------------------------------------ Judge Tom R. Cornish of the U.S. Bankruptcy Court for the Eastern District of Oklahoma extended Sanders Nursery & Distribution Center, Inc.'s exclusive period for obtaining acceptance of its chapter 11 plan of reorganization from August 30, 2016 to November 28, 2016. The Debtor previously sought the extension of its exclusive solicitation period, contending that BFN Operations, LLC had filed an objection to the confirmation of the Debtor's Plan and sought authority to propose a competing plan. The Debtor contended that it needed an extension of its exclusive period for obtaining acceptance of its plan to allow sufficient time to complete its prosecution of the plan. The Debtor further contended that it intends to utilize the extended Exclusivity Period to prepare for a contested confirmation hearing, including conducting additional discovery, and attempt to negotiate with BFN Operations regarding the potential for a mutually acceptable, consensual resolution of this case. About Sanders Nursery & Distribution Center, Inc. Headquartered in Tahlequah, Oklahoma, Sanders Nursery & Distribution Center, Inc., filed for Chapter 11 bankruptcy protection (Bankr. E.D. Okla. Case No. 15-81312) on Dec. 4, 2015. The petition was signed by Burl Berry, vice president. Judge Tom R. Cornish presides over the case. Brandon Craig Bickle, Esq., at Gable & Gotwals, P.C., serves as the Debtor's bankruptcy counsel. The Debtor estimated its assets and liabilities at $1 million to $10 million at the time of the filing. SCORPION PERFORMANCE: Has Until Oct. 26 to File Plan ---------------------------------------------------- Judge Paul M. Glenn of the U.S. Bankruptcy Court for the Middle District of Florida extended Scorpion Performance, Inc.'s exclusive period to file a plan of reorganization and solicit acceptances to the plan, to October 26, 2016 and December 25, 2016, respectively. The Debtor previously sought the extension of its exclusive periods to file a plan of reorganization and solicit acceptances to the plan, contending that it needed an extension of the Exclusivity Periods until the Court sets the deadlines for the sale of its assets, and rule on the Sale Motion and the consummation of the proposed transaction. About Scorpion Performance, Inc. Scorpion Performance, Inc., filed a Chapter 11 petition (Bankr. M.D. Fla., Case No. 15-05579) on December 30, 2015. The petition was signed by Angela M. Stopiano, president. The Debtor has tapped Jon Polenberg, Esq., at Polenberg Cooper PLLC as its legal counsel. The Debtor disclosed assets at $3.93 million and debts at $1.36 million. SEQUENOM INC: Camber Capital Sells Entire Stake to LabCorp ---------------------------------------------------------- In an amended Schedule 13D filed with the Securities and Exchange Commission, Camber Capital Management LLC and Stephen DuBois disclosed that as of Sept. 6, 2016, they ceased to beneficially own any shares of common stock of Sequenom, Inc. As previously disclosed, the Reporting Persons review their holdings in the Company on a continuing basis. On Sept. 6, 2016, the Reporting Persons tendered all of their shares of the Company to Laboratory Corporation of America Holdings in connection with LabCorp's offer to acquire all of the outstanding shares of the Company in a cash tender offer pursuant to a definitive agreement and plan of merger, dated July 26, 2016, between LabCorp and the Company. The Reporting Persons sold 17,325,000 Shares to LabCorp on Sept. 6, 2016, at a price of $2.40 per share in connection with the tender offer. A full-text copy of the regulatory filing is available at: https://is.gd/gAxfJr About Sequenom Sequenom, Inc. (NASDAQ: SQNM) -- http://www.sequenom.com/-- is a life sciences company committed to improving healthcare through revolutionary genetic analysis solutions. Sequenom develops innovative technology, products and diagnostic tests that target and serve discovery and clinical research, and molecular diagnostics markets. The company was founded in 1994 and is headquartered in San Diego, California. Sequenom reported a net loss of $16.3 million on $128 million of total revenues for the year ended Dec. 31, 2015, compared to net income of $1.01 million on $152 million of total revenues for the year ended Dec. 31, 2014. As of June 30, 2016, Sequenom had $97.3 million in total assets, $152 million in total liabilities and a $54.5 million total stockholders' deficit. SEQUENOM INC: Common Stock Delisted From NASDAQ ----------------------------------------------- The NASDAQ Stock Market LLC filed with the Securities and Exchange Commission a Form 25-NSE Notification of Removal from Listing and/or Registration under Section 12(b) of the Securities Exchange Act of 1934, as amended, to effect the delisting of shares of the Sequenom, Inc.'s common stock from NASDAQ. As a result of the Company's merger with Laboratory Corporation of America Holdings, and Savoy Acquisition Corp., the Company no longer fulfills the numerical listing requirements of the NASDAQ Global Select Market. The Company's common stock, which previously traded under the symbol "SQNM", ceased to be traded on NASDAQ prior to the opening of trading on Sept. 7, 2016. In addition, the Company intends to file with the SEC a Certification on Form 15 under the Exchange Act requesting the Shares be deregistered and that the Company's reporting obligations under Sections 13(a) and 15(d) of the Exchange Act be terminated. About Sequenom Sequenom, Inc. (NASDAQ: SQNM) -- http://www.sequenom.com/-- is a life sciences company committed to improving healthcare through revolutionary genetic analysis solutions. Sequenom develops innovative technology, products and diagnostic tests that target and serve discovery and clinical research, and molecular diagnostics markets. The company was founded in 1994 and is headquartered in San Diego, California. Sequenom reported a net loss of $16.3 million on $128 million of total revenues for the year ended Dec. 31, 2015, compared to net income of $1.01 million on $152 million of total revenues for the year ended Dec. 31, 2014. As of June 30, 2016, Sequenom had $97.3 million in total assets, $152 million in total liabilities and a $54.5 million total stockholders' deficit. SEQUENOM INC: Consummates Merger With LabCorp --------------------------------------------- Sequenom, Inc., closes its merger agreement with Laboratory Corporation of America Holdings, and Savoy Acquisition Corp., a direct wholly owned subsidiary of LabCorp ("Purchaser"), on Sept. 7, 2016. As previously disclosed, the parties entered into an Agreement and Plan of Merger on July 26, 2016. Pursuant to the Merger Agreement, on Aug. 9, 2016, the Purchaser commenced a tender offer to purchase all outstanding shares of the Company's common stock, including the associated preferred stock purchase rights at a price of $2.40 per share, net to the seller in cash, without interest and subject to applicable tax withholding, upon the terms and subject to the conditions set forth in the Offer to Purchase, dated Aug. 9, 2016, and in the related Letter of Transmittal. LabCorp announced that the offering period of the Offer had expired at 12:01 a.m., Eastern time, on Sept. 7, 2016, and that as of that time, based on the information provided by the depositary for the Offer, 82,901,857 Shares were validly tendered and not withdrawn prior to the expiration of the offering period (including Shares tendered through notices of guaranteed delivery), representing approximately 69% of the outstanding Shares as of that time (or approximately 67% of outstanding Shares excluding notices of guaranteed delivery), which Shares were sufficient to have met the minimum condition of the Offer and to enable the Merger to occur under Delaware law without a vote of the Company's stockholders. On Sept. 7, 2016, Purchaser accepted for payment, and paid for, all Shares validly tendered and not properly withdrawn during the offering period. On Sept. 7, 2016 pursuant to the terms of the Merger Agreement and following the completion of the offering period, the Purchaser merged with and into the Company upon the filing on that date of a certificate of merger with the Secretary of State of the State of Delaware, with the Company continuing as the surviving corporation and a direct wholly owned subsidiary of LabCorp. In the Merger, Shares not tendered and accepted for payment in the Offer (other than Shares owned by LabCorp, Purchaser or the Company and Shares held by stockholders who are entitled to demand, and who properly perfect their appraisal rights with respect to such Shares) were converted into the right to receive the same $2.40 per Share, net to the holder in cash, without interest and subject to applicable tax withholding, paid in the Offer. Each of the Company's stock options that were outstanding and unexercised as of immediately prior to the Effective Time and held by an individual who, as of the Effective Time, was an active employee, director or consultant of the Company, accelerated and became fully vested and exercisable effective immediately prior to the Effective Time. As of the Effective Time, each Company Option that was then outstanding and unexercised was cancelled and converted into the right to receive cash (without interest) in an amount equal to the product of (i) the total number of Shares subject to the vested portion of such Company Option immediately prior to the Effective Time (taking into account any acceleration of vesting), multiplied by (ii) the excess, if any, of (x) the Merger Consideration over (y) the exercise price payable per Share under such Company Option. No holder of a Company Option that had an exercise price per Share that was equal to or greater than the Merger Consideration was entitled to any payment with respect to such cancelled Company Option before or after the Effective Time. Pursuant to the Merger Agreement, each restricted stock unit providing for settlement in Shares that was outstanding as of immediately prior to the Effective Time and held by an individual who, as of the Effective Time, was an active employee, director or consultant of the Company, accelerated and became fully vested effective immediately prior to the Effective Time. In lieu of any issuance of Shares in settlement of such Company RSU, as of the Effective Time, each Company RSU that was outstanding was cancelled and converted into the right to receive cash (without interest) in an amount equal to the product of (i) the total number of Shares issuable in settlement of the vested portion of such Company RSU immediately prior to the Effective Time (taking into account any acceleration of vesting) multiplied by (ii) the Merger Consideration. Each award of Shares that was subject to vesting or forfeiture or repurchase by the Company that was outstanding as of immediately prior to the Offer Acceptance Time accelerated and became fully vested such that the Company's right of reacquisition or repurchase, as applicable, lapsed in full effective immediately prior to the Offer Acceptance Time. As of the Offer Acceptance Time, each Share underlying each Company Restricted Stock Award was treated as an outstanding Share for purposes of the Merger Agreement, including for purposes of tendering pursuant to the Offer. The total consideration to be paid is expected to be approximately $300 million, of which approximately $200 million has been paid by Purchaser in accordance with the terms of the Offer for Shares that were validly tendered and not properly withdrawn in the offering period. These amounts exclude fees and expenses related to the Offer and the Merger. LabCorp provided the Purchaser with sufficient funds to purchase all Shares accepted for payment in the offering period of the Offer and all shares purchased in the Merger. In connection with the closing of the Merger, Sequenom and Wells Fargo Bank, National Association entered into a First Supplemental Indenture, dated as of Sept. 7, 2016, to the Indenture, dated as of Sept. 17, 2012, between the Company and the Trustee, relating to the Company's 5.00% Convertible Senior Notes due 2017, and a First Supplemental Indenture, dated as of Sept. 7, 2016, to the Indenture, dated as of June 9, 2015, between the Company and the Trustee, relating to the Company's 5.00% Convertible Exchange Senior Notes due 2018. Each of the Supplemental Indentures provides that, at and after the effective time of the Merger, for all conversions in respect of the applicable series of Notes that occur after the effective time of the Merger, the right to convert each $1,000 principal amount of the 2017 Notes or the 2018 Notes, as applicable, into shares of common stock of the Company and cash in lieu of fractional shares of common stock will be changed into the right to convert such principal amount of such Notes into a number of "Units of Reference Property" (i.e., the per share Merger Consideration) of $2.40 in cash equal to the Conversion Rate (as defined in the Indentures, respectively) in effect prior to the effective time of the Merger and an amount of cash in lieu of any fractional Unit of Reference Property equal to the product of (i) such fractional Unit of Reference Property and (ii) $2.40 in cash. About Sequenom Sequenom, Inc. (NASDAQ: SQNM) -- http://www.sequenom.com/-- is a life sciences company committed to improving healthcare through revolutionary genetic analysis solutions. Sequenom develops innovative technology, products and diagnostic tests that target and serve discovery and clinical research, and molecular diagnostics markets. The company was founded in 1994 and is headquartered in San Diego, California. Sequenom reported a net loss of $16.3 million on $128 million of total revenues for the year ended Dec. 31, 2015, compared to net income of $1.01 million on $152 million of total revenues for the year ended Dec. 31, 2014. As of June 30, 2016, Sequenom had $97.3 million in total assets, $152 million in total liabilities and a $54.5 million total stockholders' deficit. SEQUENOM INC: Eight Directors Resigned -------------------------------------- Effective as of Sept. 7, 2016, each of Kenneth F. Buechler, Myla Lai-Goldman, Richard A. Lerner, Ronald M. Lindsay, David Pendarvis, Catherine J. Mackey, Charles P. Slacik and Dirk van den Boom resigned as a director of Sequenom, Inc., and from any committees of the Company's Board of Directors on which they then served. In addition, pursuant to the Merger Agreement and effective as of immediately after the Effective Time, on Sept. 7, 2016, Glenn A. Eisenberg, Samuel F. Eberts III, Sandra D. van der Vaart, William B. Haas and Benjamin R. Miller were appointed to the Board of Directors of the Company. Further, pursuant to the Merger Agreement, effective as of the Effective Time, on Sept. 7, 2016, Samuel F. Eberts III became chairperson, president and secretary of the Company, replacing Dirk van den Boom as chief executive officer, president and principal executive officer of the Company, and Glenn A. Eisenberg became executive vice president and treasurer of the Company, replacing Carolyn D. Beaver as senior vice president and chief financial officer and principal financial and accounting officer of the Company. Each of Glenn A. Eisenberg and Samuel F. Eberts III is an officer of LabCorp. About Sequenom Sequenom, Inc. (NASDAQ: SQNM) -- http://www.sequenom.com/-- is a life sciences company committed to improving healthcare through revolutionary genetic analysis solutions. Sequenom develops innovative technology, products and diagnostic tests that target and serve discovery and clinical research, and molecular diagnostics markets. The company was founded in 1994 and is headquartered in San Diego, California. Sequenom reported a net loss of $16.3 million on $128 million of total revenues for the year ended Dec. 31, 2015, compared to net income of $1.01 million on $152 million of total revenues for the year ended Dec. 31, 2014. As of June 30, 2016, Sequenom had $97.3 million in total assets, $152 million in total liabilities and a $54.5 million total stockholders' deficit. SOFINTEK INC: Court Authorizes Cash Collateral Use -------------------------------------------------- Judge Robert J. Faris of the U.S. Bankruptcy Court for the District of Guam authorized Sofintek Inc., d.b.a. Skydrenaline Zone to use Cash Collateral, including existing bank deposits, accounts receivable and cash proceeds from its ongoing business operations, to meet normal and customary operating expenses associated with the Debtor's business. The authorization to use Cash Collateral was effective as of June 22, 2016, Judge Faris required the Debtor to account for all expenditures and receipts to the creditors in its monthly operating reports, and to incur no expenses out of the ordinary course of business without the prior written consent of the Court. A full-text copy of the Order, dated September 2, 2016, is available at https://is.gd/Bnth7D About Sofintek Inc. Sofintek Inc., d.b.a. Skydrenaline Zone, filed a Chapter 11 bankruptcy petition (Bankr. D. Guam Case No. 1:16-bk-00072) on June 24, 2016. Mark Williams, Esq., at The Law Office of Mark E. Williams, P.C., serves as the Debtor's bankruptcy counsel. The petition was signed by Eutemio Ohno, president. Judge Robert J. Faris presides over the case. The Office of the U.S. Trustee on July 15 appointed three creditors of Sofintek Inc. to serve on the official committee of unsecured creditors. The committee members are: (1) Reaction Co., Daniel J. Berman, and Michael K. Stephenson. At the time of filing, the Debtor estimated assets at $500,001 to $1 million and liabilities at $500,000 to $1 million. SOUTHERN SEASON: Can Use Cash to Pay for Trailing Expenses ---------------------------------------------------------- Judge Benjamin A. Kahn of the U.S. Bankruptcy Court for the Middle District of North Carolina, authorized Southern Season, Inc. to use cash collateral on a final basis. The Debtor was authorized to use cash collateral to pay Permitted Trailing Expenses, subject to the terms of the Court's Sale Order. The Debtor was further authorized to use cash collateral to pay expenditures other than Permitted Trailing Expenses, solely if it receives the express written consent of SummitBridge National Investments IV, LLC, and the Official Committee of Unsecured Creditors, or by further Order of the Court. A full-text copy of the Final Order, dated Sept. 2, 2016, is available at https://is.gd/mfQEwP About Southern Season Southern Season, Inc., was founded in 1975 and is a premier retail destination for specialty food and gifts. It currently operates its flagship retail store located in Chapel Hill, North Carolina, and its three "Taste of Southern Season" stores in Asheville, Raleigh, North Carolina and Charleston, South Carolina. Southern Season sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D.N.C. Case No. 16-80558) on June 24, 2016. The petition was signed by Clay Hammer, CEO. On Aug. 8, 2016, John Fioretti of ABTV was appointed as the Debtor's Chief Restructuring Officer. The CRO has the full and complete authority to manage the affairs of the Debtor. The Debtor is represented by John Paul H. Cournoyer, Esq., at Northen Blue, LLP, and Richard M. Hutson, II, Esq., at Hutson Law Offices, P.A. The case is assigned to Judge Benjamin A. Kahn. At the time of the filing, the Debtor disclosed $9.82 million in assets and $18.3 million in liabilities. STEVE MURPHY: Unsecureds to be Paid from Cash on Hand ----------------------------------------------------- Steve and Celeste Murphy's Third Amended Disclosure Statement explaining their Plan of Liquidation dated Sept. 6, 2016, propose to pay unsecured non-priority creditors, owed $6,157,050, 100% of their claim from the current cash on hand. The Debtors own a portfolio of real estate holdings and currently holds cash in the amount of $12,637,000 consisting of sales proceeds of $10,000,000 from the sale of 23 of the minority interests the Debtor owned, approximately $800,000 from the sales of real estate that occurred during the time the case was opened, and $1,837,500 from the sale of 7 LLC Interests which was approved by the Court on August 11, 2016. These funds are currently being held in the Debtor in Possession account. Because of limitations in the Operating Agreements and the lapse of the period in which the Joint Stipulation allowed the marketing of the Membership Interests, only the Non Debtor Members could purchase the 7 Membership Interests in which the Debtor had a minority interest. The Court approved the sale of the 7 LLC Interests on August 11, 2016. for the purchase price of $1,837,500 pursuant to the terms of the Operating Agreements. The Debtors' Second Amended Disclosure Statement provided that Unsecured Non-Priority Creditors will be paid in full, 85% of their claim from the Proceeds of the current cash on hand and the balance from liquidation of the remaining Debtors Property. A full-text copy of the Third Amended Disclosure Statement is available at http://bankrupt.com/misc/13-80740-358.pdf About Steve and Celeste Murphy Steve Murphy and Celeste Murphy filed a Chapter 11 bankruptcy petition (Bankr. N.D. Ill. Case No. 13-80740) on March 7, 2013. The case judge is the Hon. Thomas M. Lynch. Michael J. Davis at BKN Murray LLP serves as the Debtors' counsel. SYDELL INC: Hires J. Michael Levengood as Counsel ------------------------------------------------- Sydell, Inc. dba Spa Sydell seeks authorization from the U.S. Bankruptcy Court for the Northern District of Georgia to employ the Law Office of J. Michael Levengood, LLC as counsel. The Debtor requires counsel to: (a) advise the Debtor with respect to its powers and duties as a Debtor and Debtor-in-possession in the continued management and operation of its business and property; (b) attend meetings and negotiate with representatives of creditors and other parties in interest and advise and consult on the conduct of the Chapter 11 Case, including all of the legal and administrative requirements of operating in Chapter 11; (c) take necessary action to protect and preserve the Debtor's estate, including the prosecution of actions on their behalf, the defense of any actions commenced against the estates, negotiations concerning all litigation in which the Debtor may be involved and objections to claims ﬁled against the estate; (d) review and prepare on behalf of the Debtor all documents and agreements as they become necessary and desirable; (e) review and prepare on behalf of the Debtor all motions, administrative and procedural applications, answers, orders, reports and papers necessary to the administration of the estate; (f) negotiate and prepare on the Debtor's behalf a plan of reorganization, disclosure statement and all related agreements and/or documents and take any necessary action on behalf of the Debtor to obtain conﬁrmation of such plan; (g) review and object to claims; analyze, recommend, prepare, and bring any causes of action created under the Bankruptcy Code; (h) advise the Debtor in connection with any sale of assets; (i) appear before this Court, any appellate courts, and the U.S. Trustee, and protect the interests of the Debtor's estate before such courts and the U.S. Trustee; and (j) perform all other necessary legal services and give all other necessary legal advice to the Debtor in connection with this Chapter 11 Case. Mr. Levengood will be compensated at $395 per hour. Mr. Levengood will be reimbursed for reasonable out-of-pocket expenses incurred. Mr. Levengood received retainer payments from the Debtor totaling $13,000 for work to be done with respect to this Chapter 11 case, against which the Firm has applied $5,280.50. The Firm currently holds a balance of $7,719.50 as an advance payment for services to be rendered and expenses to be incurred in connection with its representation of the Debtor. Mr. Levengood assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estate. Mr. Levengood can be reached at: John Michael Levengood, Esq. LAW OFFICE OF J. MICHAEL LEVENGOOD, LLC 150 S. Perry Street, Suite 208 Lawrenceville, GA 30046 Tel: (678) 765-1745 Fax: (678) 606-5031 E-mail: mlevengood@levengoodlaw.com About Sydell, Inc. d/b/a Spa Sydell Sydell Inc. d/b/a Spa Sydell filed a chapter 11 petition (Bankr. N.D. Ga. Case No. 09-83407) on September 3, 2009. The petition was signed by Reina Bermudez, authorized individual. The Debtor is represented by David G. Bisbee, Esq., at the Law Office of David G. Bisbee. The Debtor estimated assets and liabilities at $1,000,001 to $10,000,000 at the time of the filing. TAMARA MELLON: Files $4MM Breach of Contract Suit v. Jimmy Choo --------------------------------------------------------------- Y. Peter Kang, writing for Bankruptcy Law360, reported Tamara Mellon, the co-founder of women's luxury shoe brand Jimmy Choo, filed a $4 million breach-of-contract suit against her former employer in New York state court, accusing it of coercing a boycott by artisan shoemakers in order to disrupt her rival startup. Ms. Mellon claims Jimmy Choo PLC and related entities breached an employment agreement signed when the brand was acquired by Labelux Group GmbH in 2011. Tamara Mellon Tamara Mellon Brand, LLC, is headquartered in New York, New York. Tamara Mellon is a Jimmy Choo co-founder. Ms. Mellon set up her eponymous label in 2013, after severing ties with Jimmy Choo. The Company filed for Chapter 11 bankruptcy protection (Bankr. D. Del. Case No. 15-12420) on Dec. 2, 2015, estimating its assets and liabilities at $1 million and $10 million each. The petition was signed by Tamara Mellon, CEO. Derek C. Abbott, Esq., and Daniel B. Butz, Esq., at Morris, Nichols, Arsht & Tunnell LLP serve as the Company's bankruptcy counsel. THIRTEEN EAST: Directed to Submit Proposed Order for Cash Use ------------------------------------------------------------- Judge Christopher J. Panos of the U.S. Bankruptcy Court for the District of Massachusetts directed Thirteen East Main Corporation to submit a Proposed Order granting the Use of Cash Collateral on an interim basis. The Troubled Company Reporter had reported earlier that the Debtor sought authorization to use rental income generated by the Property to maintain its finances and to provide necessary funding for its continued reorganization, such as maintaining the properties, making the required mortgage payments and providing for payments to utilities. The Debtor proposed a Budget that covers the months of August 2016 through October 2016, providing for total expenses in the amount of $2,025 for each of the months of August through October. About Thirteen East Main Corporation Thirteen East Main Corporation filed a Chapter 11 bankruptcy petition (Bankr. D. Mass. Case No. 16-41294) on July 22, 2016. The petition was signed by Nathan Till, president. The Debtor is represented by James P. Ehrhard, Esq. at Ehrhard & Associates, PC. The Debtor estimated assets and liabilities at $100,001 to $500,000 at the time of the filing. Judge Christopher J. Panos presides over the case. TOM GJURAJ: Ch. 11 Plan Proposes $15K Payment to Unsecureds ----------------------------------------------------------- Tom Gjuraj filed with the U.S. Bankruptcy Court for the District of Connecticut a first amended disclosure statement proposing to pay each creditor holding a a non-priority unsecured allowed claim its pro rata share of $650 without interest for six years for a total of $15,600. Allowed unsecured claims based on a review of unsecured claims are estimated at approximately $155,317. The Debtor is an individual residing in Norwalk, Connecticut. His assets relating to real estate include a multifamily property located at 66 Lockwood Stamford, Connecticut, a residence located at 37 Hillwood Place, Norwalk, Connecticut, and his interest in Gjuraj Holdings, LLC, which owns a multifamily property located at 46 Saint Mathias Street, in Bridgeport, Connecticut. As a result of a reduced income, in part due to the loss of tenants, the Debtor fell behind on payments on the mortgage for his Residence and the Property, resulting in two foreclosure actions being commenced against him. In an effort to save both his Residence and the Property, the Debtor commenced the Chapter 11 case. On the effective date, the automatic stay under Section 362 of the Bankruptcy Code will not be in effect so Wells Fargo Bank, N.A., which holds a $689,435 secured claim, can pursue its rights under applicable non-bankruptcy law to seek title to the Debtor's residence. The Debtor intends to continue pursuing a loan modification with Wells Fargo outside of bankruptcy. The Debtor intends to primarily use his income, rental income and income from his company as necessary to further the payments under the Plan. A redlined version of the First Amended Disclosure Statement dated Sept. 6, 2016, is available at http://bankrupt.com/misc/15-51297-109.pdf Tom Gjuraj filed a Chapter 11 petition (Bankr. D. Conn. Case No. 15-51297) on September 14, 2015, and is represented by Matthew K. Beatman, Esq., at Zeisler & Zeisler, P.C., in Bridgeport, Connecticut. TPP ACQUISITION: Meeting to Form Creditors' Panel Set for Sept. 13 ------------------------------------------------------------------ William K. Harrington, United States Trustee for Region 13, will hold an organizational meeting on Sept. 13, 2016, at 10:30 a.m. in the bankruptcy case of TPP Acquisition, Inc. The meeting will be held at: Office of the U. S. Trustee Program Earl Cabell Federal Building 1100 Commerce Street, Room 976 Dallas, Texas 75242 The sole purpose of the meeting will be to form a committee or committees of unsecured creditors in the Debtors' case. The organizational meeting is not the meeting of creditors pursuant to Section 341 of the Bankruptcy Code. A representative of the Debtor, however, may attend the Organizational Meeting, and provide background information regarding the bankruptcy cases. To increase participation in the Chapter 11 proceeding, Section 1102 of the Bankruptcy Code requires that the United States Trustee appoint a committee of unsecured creditors as soon as practicable. The Committee ordinarily consists of the persons, willing to serve, that hold the seven largest unsecured claims against the debtor of the kinds represented on the committee. Section 1103 of the Bankruptcy Code provides that the Committee may consult with the debtor, investigate the debtor and its business operations and participate in the formulation of a plan of reorganization. The Committee may also perform other services as are in the interests of the unsecured creditors whom it represents. TPP ACQUISITION: Wants $46.8-Mil. DIP Loan From Monroe Capital -------------------------------------------------------------- TPP Acquisition, Inc. d/b/a The Picture People, asks the U.S. Bankruptcy Court for the Northern District of Texas for authorization to obtain postpetition financing from DIP Lenders Monroe Capital Corporation and Monroe Capital Partners Fund, LP, and DIP Agent Monroe Capital Management Advisors, LLC, and use cash collateral. The Debtor is indebted to Monroe Capital Management Advisors, LLC, as Prepetition Agent, and Monroe Capital Partners Fund, LP and Monroe Capital Corporation, as lenders, in the amount of $41.2 million, plus interest accrued and accruing at the default rate, costs, expenses, fees, other charges and other obligations, including, without limitation, on account of cash management, credit card, depository, investment, leasing, hedging and other banking or financial services secured by the Prepetition Financing Documents. To secure the prepetition debt, the Debtor granted continuing security interests and liens to the Prepetition Agent and the Prepetition Lenders upon substantially all of its property, including all or substantially all of the Debtor's cash collateral, which consists of all amounts on deposit in the Debtor's banking, checking, or other deposit accounts and all proceeds of the prepetition collateral, to secure the Prepetition Debt. The material provisions of the DIP Facility, among others, are: (a) Borrowing Limit: The DIP Credit Facility shall consist of a $46.8 million senior secured superpriority term loan credit facility. (b) Fees: (i) DIP Closing Fee: $100,000 (ii) Unused Line Fee: 0.5% per annum (c) Termination Date: All obligations under the DIP Credit Facility, accrued or otherwise, will be due and payable in full on the earliest of: (i) December 31, 2016; (ii) the date of consummation of a sale and/or other disposition, including any dispositions pursuant to court-authorized going-out-of- business sale, of all or substantially all of the working capital assets of the Debtor under Section 363 of the Bankruptcy Code; or (iii) the effective date of any plan. (d) Interest Rates: Borrower agrees to pay interest on the unpaid principal amount of each Loan for the period commencing on the date of such Loan until such Loan is paid in full as follows: (i) at all times while such Loan is a Base Rate Loan, at a rate per annum equal to the sum of the Base Rate from time to time in effect plus the Applicable Margin for Base Rate Loans; and (ii) at all times while such Loan is a LIBOR Loan, at a rate per annum equal to the sum of the LIBOR Rate applicable to each Interest Period for such Loan plus the Applicable Margin for LIBOR Loans. (e) Use of Proceeds: Upon entry of the Interim Order, the proceeds of the DIP Credit Facility will be used to finance: (i) the payment of transaction expenses; (ii) the payment of fees, expenses and costs incurred in connection with the Debtor’s chapter 11 cases subject to the Budget; (iii) the payment of any adequate protection payments approved in the Interim Order or Final Order; and (iv) working capital, capital expenditures, and other general corporate purposes of the Debtor subject to the Budget and any permitted variance. (v) Upon entry of the Final Order, in addition to the above, the proceeds of the DIP Credit Facility will be used for the repayment of all indebtedness, other than letters of credit, under the Prepetition Credit Agreement. (f) Adequate Protection: The Prepetition Secured Lenders shall receive the following adequate protection: (i) replacement liens and security interests on the DIP Collateral, subject only to the Carve Out and the DIP Liens,, only to the extent of any diminution in the value of the Collateral; (ii) an adequate protection super-priority administrative claim under Section 507(b) of the Bankruptcy Code, subject to the Carve Out and the DIP Superpriority Claim, only to the extent of any diminution in the value of the Prepetition Collateral; (iii) payment of all accrued and unpaid interest at the non-default rate under the Prepetition Credit Agreement; (iv) reimbursement on a current basis, for all reasonable and documented out-of-pocket costs and expenses of the financial advisors and outside attorneys engaged by the Prepetition Agent and Prepetition Lenders, solely to the extent permitted under the Prepetition Credit Agreement; (v) funded escrow accounts in the sum of $250,000 to secure any contingent indemnification obligations under the Prepetition Credit Agreement; and (vi) access to the Debtor’s records and regular reporting, including in connection with the sale process. The DIP Credit Agreement provides for Sale Process Milestones, which requires the Debtor to, among other things: (1) obtain entry of the Interim Order on or before the day that is 6 calendar days after the Petition Date; (2) obtain entry of the Final Order on or before the day that is 30 calendar days after entry of the Interim Order; (3) obtain entry of an order approving bidding procedures on or before the day that is 21 calendar days after the Petition Date; (4) receive binding bids for the consummation of a 363 Sale on or before October 24, 2016; (5) conduct an auction with respect the Sale Motion on or before October 26, 2016; (6) conduct a hearing and obtain entry of an order approving the sale of the Debtor’s assets under the Sale Motion on or before October 28, 2016; (7) achieve entry of an order of the Court approving the sale to the highest and/or best bidder on or before October 31, 2016; and (8) consummate the Sale by November 4, 2016. The Debtor tells the Court that its need to use Cash Collateral and to obtain credit pursuant to the DIP Facility is immediate and critical in order to enable the Debtor to continue operations and to administer and preserve the value of its estate. The Debtor further tells the Court that its ability to maintain business relationships with landlords, vendors, suppliers and customers, to pay its employees, and to otherwise finance operations requires the availability of capital from the DIP Facility and the use of Cash Collateral, the absence of any of which would immediately and irreparably harm the Debtor, its estate, creditors and equity holders, and the possibility for a successful reorganization. A full-text copy of the Debtor's Motion, dated Sept. 2, 2016, is available at https://is.gd/oXfjn9 TPP Acquisition, Inc., d/b/a The Picture People, is represented by: Robert D. Albergotti, Esq. Ian T. Peck, Esq. Jarom J. Yates, Esq. HAYNES AND BOONE, LLP 2323 Victory Avenue, Suite 700 Dallas, TX 75219 Telephone: (214) 651-5000 E-mail: robert.albergotti@haynesboone.com ian.peck@haynesboone.com jarom.yates@haynesboone.com Monroe Capital Management Advisors LLC can be reached at: MONROE CAPITAL LLC 311 South Wacker Drive, Suite 6400 Chicago, IL 60606 Attention: Nathan Harrell Telephone: (312) 523-2378 Monroe Capital Management Advisors LLC is represented by: Donald E. Rothman, Esq. RIEMER & BRAUNSTEIN LLP Three Center Plaza Boston, MA 02108 Telephone: (617) 880-3556 About TPP Acquisition, Inc., d/b/a The Picture People TPP Acquisition, Inc. d/b/a The Picture People filed a chapter 11 petition (Bankr. N.D. Tex. Case No. 16-33437-hdh-11) on Sept. 2, 2016. The Debtor is represented by Robert D. Albergotti, Esq., Ian T. Peck, Esq., and Jarom J. Yates, Esq., at Haynes and Boone, LLP. TROJE'S TRASH: Sale of Assets to Vermillion for $5.3M Approved -------------------------------------------------------------- Judge Kathleen H. Sanberg of the U.S. Bankruptcy Court for the District of Minnesota authorized Troje's Trash Pick-Up, Inc., to sell substantially all assets to Vermillion State Bank for $5,300,000, payable by credit bid under 11 U.S.C. Sec. 363(k). The sale is free and clear of any and all liens, claims, encumbrances and interests of any kind or nature whatsoever. An auction was conducted on Aug. 8, 2016. Assets included in the sale are the Debtor's cash, cash equivalents, securities and investments. About Troje's Trash Pick-Up Troje's Trash Pick-Up Inc. is a trash hauler with a principal place of business at 6010 S. Concord Blvd., Inver Grove Heights, Minnesota. It also conducts a roll-off business. Troje's Trash Pick-Up filed a Chapter 11 petition (Bankr. D. Minn. Case No. 16-30037) on Jan. 7, 2016. The petition was signed by Dennis Troje, president. The Debtor is represented by Steven Nosek, Esq., at Steven B. Nosek, P.A. The case is assigned to Judge Kathleen H. Sanberg. The Debtor estimated assets and liabilities in the range of $1 million to $10 million. UNITED MOBILE: Can Use Cash Collateral Until Nov. 17 ---------------------------------------------------- Judge Barbara Ellis-Monro of the U.S. Bankruptcy Court for the Northern District of Georgia authorized United Mobile Solutions, LLC, to use cash collateral on a final basis, through Nov. 17, 2016. The Debtor contended that Respondents T-Mobile USA, Inc., et al., may assert an interest in the Debtor's cash collateral. The Debtor further contended that it required the use of cash collateral to pay its payroll, purchase inventory and pay its other operating expenses. The approved Budget covered the months of September through November, and provided for total expenses in the amount of $595,171 for September; $635,291 for October; and $663,386 for November. Respondents T-Mobile USA, Inc., et. al., were granted, among others, a security or consignment interest in, and lien upon all the postpetition property of the Debtor and the estate, and all proceeds thereof to the same extent, validity, amount and priority as Respondents' prepetition security or consignment interests and liens upon such collateral. A full-text copy of the Final Order, dated Sept. 2, 2016, is available at https://is.gd/DuJRvw About United Mobile Solutions United Mobile Solutions, LLC, filed a chapter 11 petition (Bankr. N.D. Ga. Case No. 16-62537) on July 20, 2016. The Debtor is a carrier master dealer that operates and manages approximately 20 retail cellular phone stores. The Debtor's corporate offices are located in Norcross, Georgia. The Debtor is represented by Cameron M. McCord, Esq., at Jones & Walden, LLC. T he Debtor estimated its assets at less than $50,000 and its liabilities at more than $1 million at the time of the filing. UNIVERSAL NUTRIENTS: Has Interim Approval to Use Cash Collateral ---------------------------------------------------------------- Judge Mark X. Mullin of the U.S. Bankruptcy Court for the Northern District of Texas, authorized Universal Nutrients, LLC to obtain post-petition financing from Exeter International, LLC, and use cash collateral on an interim basis. Judge Mullin granted the Debtor's Motion on the same terms and conditions and with all attendant forms of security and adequate protection set forth in the Court's Interim Order, through and including the final hearing on the Debtor's Motion which is scheduled on September 6, 2016 at 11:00 a.m. Judge Mullin held that only the Official Committee of Unsecured Creditors has standing to object to the final approval of the Debtor's Motion, and that such objections, if any, will be limited to the following issues: (1) The amount of Carve-out that will be available to the Official Committee and its professionals and any limitations or exclusions from such carve-out; (2) Exclusion of section 506(c) charges against the Lender’s collateral; (3) The period for the Committee to review the prepetition claims and liens of the Lender; (4) Granting Lender a lien against any Chapter 5 causes of action under the Bankruptcy Code; (5) Any indemnification of the Lender by the estate or the Debtor; and (6) Any payment of Lender's fees. The Official Committee has until 9:00 a.m., on Sept. 6, 2016, to file its written objections. A full-text copy of the Interim Order, dated Sept. 2, 2016, is available at https://is.gd/R9MjPP Exeter International, LLC is represented by: Joe E. Marshall, Esq. 5001 Spring Valley Road, Suite 400 E Dallas, TX 75244-3910 Telephone: (972) 393-3900 E-mail: jmarshall@marshalllaw.net About Universal Nutrients Universal Nutrients, LLC filed a chapter 11 petition (Bankr. N.D. Tex. Case No. 16-43070) on August 5, 2016. The petition was signed by Chet Burks, manager. The Debtor is represented by Richard W. Ward, Esq. The case is assigned to Judge Mark X. Mullin. The Debtor estimated assets and debts at $10 million to $50 million at the time of the filing. The Debtor is a Texas limited liability company engaged in the business under the tradename of Uni*Well of manufacturing and developing various nutraceutical products, OTC pharmaceuticals, and specialty biochemicals with expertise in development and fulfillment of productivity products, functional shots, sports nutrition, nutrient deficiency products, elderly nutrition, children's nutrition, gender-specific nutrition, energy products, anti-stress products, anti-aging products, internal beauty products, and condition-specific products in the form of liquids, powders, gels, tablets, and capsules. The Debtor has its principal office at 14801 Sovereign Dr., Fort Worth, Texas 76155 and is a wholly owned subsidiary of Universal Group Holdings, LLC, a Texas limited liability company. UTSTARCOM HOLDINGS: Smart Soho, et al., Amend Purchase Agreement ---------------------------------------------------------------- In an amended Schedule 13D filed with the Securities and Exchange Commission, Gu Guoping, Shanghai Phicomm Communication Co., Ltd., Phicomm Technology (Hong Kong) Co., Limited and The Smart Soho International Limited disclosed that as of Sept. 2, 2016, they beneficially owned 11,739,932 ordinary shares, par value US$0.00375 per share, of UTStarcom Holdings Corp., representing 32.2 percent of the shares outstanding. On Sept. 2, 2016, The Smart Soho International Limited or "Acquirer", Phicomm HK and the Sellers entered into a further amendment to the Purchase Agreement dated Nov. 4, 2015. Pursuant to the Fifth Amendment, the parties to the Purchase Agreement agreed that the closing under the Purchase Agreement will take place as soon as practicable as will be agreed among the parties to the Purchase Agreement, but in no event later than Oct. 31, 2016 (the "New Termination Date"). In connection with the execution and delivery of the Fifth Amendment, Acquirer released to the Shah Sellers the sum of US$1,000,000 previously deposited in the escrow account established pursuant to the Fourth Amendment to the Purchase Agreement, together with any interest earned thereon. The Fifth Amendment provides that if the closing does not occur by the New Termination Date and the Purchase Agreement is terminated due to a failure by either the Acquirer or any Seller to perform any covenant or satisfy any condition to be performed or satisfied by applicable party, no party will be subject to any penalty, termination fee obligation or any other liability or obligation to the other parties under the Purchase Agreement. Pursuant to the Fifth Amendment, each party and persons acting on behalf of a party may initiate or encourage the sale of any Ordinary Shares held by such party to one or more potential purchasers, participate in discussions or negotiations regarding such sales, to furnish information and take other action to facilitate inquiries or proposals that could reasonably be expected to lead to those potential sales with the option, in each party's sole discretion, to sell and transfer such Ordinary Shares to a purchaser or purchasers. However, no party may enter into or conclude a Third Party Deal prior to the New Termination Date. The Fifth Amendment also continues the standstill provisions entered into in connection with the Third Amendment until the earlier of the closing under, and termination of, the Purchase Agreement, and the Shah Sellers also agreed to extend the duration of their consent to Phicomm's and Acquirer's share pledges to the Fund until the closing date under the Purchase Agreement. A full-text copy of the regulatory filing is available at: https://is.gd/SaylSw About UTStarcom, Inc. UTStarcom, Inc. (Nasdaq: UTSI) -- http://www.utstar.com/-- is a global leader in IP-based, end-to-end networking solutions and international service and support. The Company sells its solutions to operators in both emerging and established telecommunications markets around the world. UTStarcom enables its customers to rapidly deploy revenue-generating access services using their existing infrastructure, while providing a migration path to cost-efficient, end-to-end IP networks. The Company's headquarters are currently in Alameda, California, with its research and design operations primarily in China. UTStarcom reported a net loss of $20.7 million on $117 million of net sales for the year ended Dec. 31, 2015, compared to a net loss of $30.3 million on $129 million of net sales for the year ended Dec. 31, 2014. VALERITAS HOLDINGS: Liquidity Issues Raise Going Concern Doubt -------------------------------------------------------------- Valeritas Holdings, Inc., filed with the Securities and Exchange Commission its quarterly report on Form 10-Q disclosing a net loss of $10.47 million on $4.88 million of net revenues for the three months ended June 30, 2016, compared to a net loss of $16.15 million on $4.60 million of net revenues for the same period in 2015. For the six months ended June 30, 2016, the Company listed a net loss of $27.36 million on $9.89 million of net revenues, compared to a net loss of $40.67 million on $8.75 million of net revenues for the same period in the prior year. As of June 30, 2016, the Company had $48.73 million in total assets, $67.52 million in total liabilities and a total stockholders' deficit of $18.79 million. The Company has incurred losses each year since inception and has experienced negative cash flows from operations in each year since inception. As of June 30, 2016, the Company had $20.4 million in cash and cash equivalents and an accumulated deficit of $405.2 million. The Company's restructured senior secured debt includes a liquidity covenant whereby the Company must maintain a cash balance greater than $5.0 million. The Company's cash balance will not be sufficient to satisfy the Company's operations for the next 12 months from June 30, 2016 or maintain its liquidity covenant, which raises substantial doubt about the Company's ability to continue as a going concern. A copy of the Form 10-Q is available at the SEC at: https://is.gd/Ew1tay Valeritas Holdings, Inc., (formerly Cleaner Yoga Mat, Inc.) is a commercial-stage medical technology company focused on developing innovative technologies to improve the health and quality of life of people with Type 2 diabetes. The Company designed its first commercialized product, the V-Go Disposable Insulin Delivery Device, or V-Go, to help patients with Type 2 diabetes who require insulin to achieve and maintain their target blood glucose goals. V-Go is a small, discreet and easy-to-use disposable insulin delivery device that a patient adheres to his or her skin every 24 hours. V-Go enables patients to closely mimic the body's normal physiologic pattern of insulin delivery throughout the day and to manage their diabetes with insulin without the need to plan a daily routine around multiple daily injections. VANGUARD HEALTHCARE: Regulators Sue Over Quality of Care -------------------------------------------------------- Katy Stech, writing for The Wall Street Journal Pro Bankruptcy, reported that health regulators have sued nursing-home chain Vanguard Healthcare LLC, accusing it of providing poor patient care at some of its 13 locations, costing government insurance programs tens of millions of dollars. According to the report, in their lawsuit, officials from the U.S. Department of Health and Human Services said the Brentwood, Tenn., company provided a level of patient care "that caused serious physical and emotional harm to highly vulnerable elderly, disabled and low-income residents at [its] facilities." In the case at hand, government officials are pushing for the nursing-home operator to pay the government about $56.5 million in damages, the report related. Specifically, the lawsuit filed in U.S. District Court in Nashville, Tenn., said Vanguard provided "nonexistent, grossly substandard and/or worthless" patient care between January 2010 and December 2015, the report further related. The company had billed state and federal insurance programs, which paid for some residents' care, the report said. William L. Norton III, Vanguard Healthcare's bankruptcy lawyer, told WSJ the company denies wrongdoing and that its facilities have passed recent inspections. He said he intends to fight the bill of about $56.5 million submitted by program administrators, WSJ added. About Vanguard Healthcare Vanguard is a long-term care provider headquartered in Brentwood, Tennessee, providing rehabilitation and skilled nursing services at 14 facilities in four states (Florida, Mississippi, Tennessee and West Virginia). Vanguard Healthcare, LLC and 17 of its subsidiaries each filed a?Chapter 11 bankruptcy petition (Bankr. M.D Tenn. Lead Case No.?16-03296) on May 6, 2016. The petitions were signed by William D. Orand, the CEO. Vanguard estimated assets in the range of $100 million to $500 million and liabilities of up to $100 million. The Debtors have hired Bradley Arant Boult Cummings LLP as counsel and BMC Group as noticing agent. The Hon. Randal S. Mashburn is the case judge. The U.S. trustee for Region 8 on May 24 appointed seven creditors of Vanguard Healthcare, LLC, to serve on the official committee of unsecured creditors, which is represented by Bass, Berry & Sims PLC as its legal counsel and CohnReznick LLP as financial advisor. The United States Trustee for Region 8 has appointed Laura E. Brown as Patient Care Ombudsman for Vanguard Healthcare, LLC. VINOD GOPAL PATEL: Sept. 21 Disclosure Statement Hearing -------------------------------------------------------- Judge Erik P. Kimball of the U.S. Bankruptcy Court for the Southern District of Florida will convene a hearing on Sept. 21, 2016, at 2:00 p.m., to consider approval of the disclosure statement explaining Vinod Gopal Patel's plan. Deadline for objections to the Amended Disclosure Statement are due Sept. 14. The Debtor's Aug. 31, 2016 Amended Disclosure Statement, a full-text copy of which is available at http://bankrupt.com/misc/13-80740-358.pdfproposes that holders of Allowed Unsecured Claims against the Debtor will receive in full satisfaction, release and exchange for the Allowed Claim, Pro Rata and pari passu participation, monthly prorate distributions of 100% of the Projected Disposable Income that will be paid under the plan during a five year period. The Debtor has determined that after payment of his monthly obligations to Class 1 Allowed Priority Claims, consisting of the Internal Revenue Service's $2,508 claim, and Class 2 Allowed Secured Claim of Banesco USA, all necessary living expenses, at this time, a surplus of $250 per month remains. The Debtor manages a hotel and believes that the current operations can support his salary and a disposable income that will fund the payments under the proposed plan. Vinod Gopal Patel, a hotel manager, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 16-13703) on March 16, 2016, and is represented by Joe M. Grant, Esq., and Adam D. Marshall, Esq., at Marshall Socarras Grant P.L., in Boca Raton, Florida. WEST CABINET: Court Allows Cash Collateral Use Through Oct. 31 -------------------------------------------------------------- Judge Gregory R. Schaaf of the U.S. Bankruptcy Court for the Eastern District of Kentucky authorized West Cabinet, Inc. to use cash collateral from Sept. 1, 2016 through Oct. 31, 2016. The approved Budget covers the months of September and October, and provides for total expenses in the amount of $66,949 for September and $62,864 for October. The expenses provided for in the Budget include accounting fees, in the amount of $100 for each month; legal fees, in the amount of $1,000 for each month; and United States Trustee fees, in the amount of $325 for each month, among others. The Debtor was directed to make monthly adequate protection payments to the Internal Revenue Service in the amount of $400. The Cash Collateral Creditor was granted replacement liens in postpetition collateral, subject only to any valid and enforceable, perfected, and non-avoidable liens of other secured creditors. A full-text copy of the Order, dated Sept. 2, 2016, is available at https://is.gd/L7QMLS About West Cabinet West Cabinet, Inc., sought protection under chapter 11 of the Bankruptcy Code (Bankr. E.D. Ky. Case No. 16-60324) on March 25, 2016. The petition was signed by Mary Beth Golden, vice-president. The Debtor is represented by Jamie L. Harris, at DelCotto Law Group PLLC. At the time of the filing, the Debtor estimated its assets and debts at less than $1 million. WEST TEXAS: Auction of $2M Worth of Assets Denied ------------------------------------------------- Judge Ronald B. King of the U.S. Bankruptcy Court for the Western District of Texas denied West Texas Poly & Pump, LLC's sale of personal property via an auction using PPL Group, LLC. The assets proposed to be sold are described as substantially all assets. A copy of the list of assets to be sold attached to the Motion is available for free at: http://bankrupt.com/misc/West_Texas_56_Sales.pdf The Debtor's opinion of estimated sale proceeds from said auction will be $2,000,000. The personal property is encumbered by a lien in the approximate amount of $1,500,000 held by Prosperity Bank. About West Texas Poly and Pump West Texas Poly and Pump, LLC, sought Chapter 11 protection (Bankr. W.D. Tex. Case No. 16-70059) on April 26, 2016. Judge Ronald B. King is assigned to the case. The Debtor estimated assets in the range of $1 million to $10 million and $500,000 to $1 million in debt. James Samuel Wilkins, Esq., at Willis & Wilkins, LLP, serves as the Debtor's counsel. The petition was signed by Brian Burris, CEO. WILLIAM DEL BIAGGIO: 9th Circ. Affirms Freeman Claim Subordination ------------------------------------------------------------------ In the case captioned LIQUIDATING TRUST COMMITTEE OF THE DEL BIAGGIO LIQUIDATING TRUST, Plaintiff-Appellee, v. DAVID FREEMAN, Defendant-Appellant, No. 13-17500 (9th Cir.), the United States Court of Appeals for the Ninth Circuit affirmed the order of the district court affirming the bankruptcy court's judgment in properly subordinating Freeman's claim under Section 510(b). David Freeman filed a general unsecured claim against Del Biaggio's bankruptcy estate seeking damages of an undetermined amount arising from his fraud in the Holdings transaction. In a later amended proof of claim, Freeman sought damages of $38,632,075. This amount included Freeman's initial $31 million investment in Holdings securities, the $5 million of subordinated debt he issued to Holdings in exchange for the promissory note, and the $2,632,075 paid in the first capital call. In response, the Liquidating Trust Committee of the Del Biaggio Liquidating Trust, the entity charged with prosecuting claims objections in Del Biaggio's bankruptcy, filed a counterclaim against Freeman and sought summary judgment. The counterclaim sought subordination and disallowance of Freeman's claim based on 11 U.S.C. Section 510(b). The bankruptcy court granted the Committee's motion for summary judgment, finding Freeman's claim was subject to mandatory subordination under Section 510(b). After determining that Holdings was an "affiliate" of Del Biaggio via his ownership in Forecheck, the court concluded that Section 510(b) applied to Freeman's fraud claim because the plain language of the statute covers claims arising from the purchase of the securities of a debtor's affiliate. The bankruptcy court further reasoned that subordinating Freeman's claim under Section 510(b) served the purposes of the statute, because as an investor in Holdings, he bargained for both a greater share of profits and a greater share of risks than Del Biaggio's unsecured creditors. The court also determined that the claims of Del Biaggio's other creditors were senior to Freeman's claim based on its conclusion that notes or shares issued by a subsidiary create no claim to the assets of a parent. Freeman appealed to the district court, which in turn affirmed the order and judgment of the bankruptcy court. Freeman timely appealed here. A full-text copy of the Opinion dated August 22, 2016 is available at https://is.gd/H1MtRM from Leagle.com. Merle C. Meyers, Esq. -- mmeyers@meyerslawgroup.com and Michele Thompson, Esq. -- mthompson@meyerslawgroup.com -- Meyers Law Group, P.C., San Francisco, California, for Defendant-Appellant. Michael M. Lauter, Esq. -- mlauter@sheppardmullin.com, Michael H. Ahrens, Esq. -- mahrens@sheppardmullin.com and Steven B. Sacks, Esq. -- ssacks@sheppardmullin.com -- Sheppard, Mullin, Richter & Hampton LLP, San Francisco, California, for Plaintiff-Appellee. About William del Baggio Menlo Park, California-based BDB Management LLC and its affiliates filed for Chapter 11 protection on June 7, 2008 (Bankr. N.D. Calif. Lead Case No. 08-31001). William J. del Biaggio, III, an interest holder of the companies, filed for personal chapter 11 bankruptcy on June 6, 2008. Judith Whitman, Esq., at Diemer Whitman and Cardosi LLP, represents the Debtors in their restructuring efforts. When the Debtors filed for protection from their creditors, they listed $50 million to $100 million in assets and $50 million to $100 million in debts. The TCR reported on July 9, 2008, that Sara L. Kistler, acting U.S. Trustee for Region 17, appointed R. Todd Nelson as the chapter 11 trustee in BDB Management LLC and its debtor- affiliates' bankruptcy cases. Sand Hill Capital Partners III, the investment fund that Mr. Del Biaggio co-founded, also filed for chapter 7 bankruptcy. Sand Hill disclosed $10.6 million in debts. Established in 1996, Sand Hill Capital has four debt funds under management, of which two are actively investing. Sand Hill has provided debt financing and equity co-investing in multiple portfolio companies of top-tier venture capital firms, including Broadcom, a semiconductor company specializing in VoIP, wireless networking, and broadband communications solutions; Commerce One, a provider of On-Demand Supplier Relationship Management solutions and The Open Supplier Network; IBahn, a provider of secure broadband-to-go at premium hospitality locations; and Odwalla, maker of fruit drinks and snacks. WRIGHTWOOD GUEST: Sale of Los Angeles County Property Approved -------------------------------------------------------------- Judge Scott C. Clarkson of the U.S. Bankruptcy Court for the Central District of California authorized the Chapter 11 Trustee of Wrightwood Guest Ranch, LLC, to sell parcels of land located in Los Angeles County, California to GREF-Wrightwood, LLC for $8,500,000. A copy of the legal description of the property attached to the Order is available for free at: http://bankrupt.com/misc/Wrightwood_Guest_378_Order.pdf A sale hearing was held on July 19, 2016 at 1:30 p.m. The sale of the property is free and clear of all liens, claims and interests in such property other than the Senior Permitted liens, including without limitation (i) the asserted lien(s) of Lee Smith recorded Aug. 6, 2015 as Instrument Nos. 15-962790, 15-962791, 15-962792, 15-962793, 15-962794, 15-962795, 15-962796, 15-962798, 15-962799, 15-962800, 15-962801 and Aug. 26, 2015 as Instrument Nos. 15-1054051, 15-1054052; and (ii) the asserted lease of Wrightwood Canopy Tour, LLC disclosed by Memorandum of Lease recorded Dec. 19, 2011 as Instrument No. 2011-1715126. The property, as of the closing date, will remain subject to the following liens and claims: (i) that certain deed of trust senior to GreenLake Real Estate Fund LLC's lien or liens recorded July 3, 2006 as Instrument No. 06-1463204 in favor of Countrywide Bank, N.A. (now known as or assigned to Bank of America, N.A.), but only as to Parcel 3 (APN 3065-006-019); (ii) a deed of trust senior to GreenLake's lien or liens recorded Dec. 28, 2006 as Instrument No. 06-2882180 in favor of Cal-X-Inc., a California corporation, which according to public records was assigned to the Reid K. Alexander Family Trust dated Nov. 7, 1996 by assignment recorded Jan. 30, 2008 as Instrument No. 20080179044, but only as to Parcel 2 (APN 3065-006-017); (iii) a deed of trust senior to GreenLake's lien or liens recorded February 17, 2009 as Instrument No. 20090213059 in favor of Ralph Rocca Construction, but only as to Parcel 1 (APN 3065-033-019); and (iv), subject to the abstract of judgment of SWG, Inc. recorded Aug. 31, 2015 as Instrument No. 15-1074713 and the mechanic's lien recorded Oct. 24, 2011 as Instrument No. 2011438024, ("Permitted Senior Liens"). No executory contract or unexpired lease of any portion of the property under which the Debtor was the lessor or a party, is being assumed or assigned. The 14-day stay period set forth in Rule 6004(h) of the Federal Rules of Bankruptcy Procedure is waived. About Wrightwood Guest Ranch Wrightwood Guest Ranch LLC, a California limited liability company, provides recreational services such as Snow Play, Zip Line, endurance races, logging and other outdoor events at a 300-acre property it owns in Wrightwood area of Los Angeles County. WGR also operates a wedding and special event center at a 2.45-acre property at Wrightwood area. WGR is 60% owned by Richard and Judy Halllett and 40% owned by GREF WGR I, LLC, an affiliate of secured creditor GreenLake Real Estate Fund, LLC. WGR owns 100% of the interests in Wrightwood Guest Ranch Holdings, LLC, which in turns owns 100% of the interests in Wrightwood Canopy Tours, LC. Being concerned about GreenLake's threat of foreclosure, unsecured creditors Masterpiece Marketing, Larry Rundle, and Snyder Dorenfeld, filed an involuntary petition against Wrightwood Guest Ranch LLC (Bankr. C.D. Cal. Case No. 15-17799) on Aug. 5, 2015. The Petitioners' counsel is Douglas A Plazak, Esq., at Reid & Hellyer, APC, in Riverside, California. The Bankruptcy Court on Aug. 31, 2015, granted Wrightwood Guest Ranch's request for relief under Chapter 11 and vacated the Involuntary Petition filed against the Debtor. The case is assigned to Judge Scott C. Clarkson. The Debtor tapped Walter & Wilhelm Law Group as bankruptcy counsel; Hall & Company as accountants; and Baker, Manock & Jensen as special counsel. * * * The Debtor filed a proposed Plan and Disclosure Statement on Oct. 26, 2015. On Dec. 4, 2014, it filed an amended Plan and Disclosure Statement. Under the Plan, the Debtor intends to pay unsecured creditors 100 percent of their allowed claims, together with interest at a rate of 1.5 percent. Part of the creditor payments will be made in semi-annual installments over the course of the next 60 months; the remainder will be paid "with a balloon payment due at the end of the sixtieth month following the Effective Date." WRWM PARTNERSHIP: Sale of Pennsylvania Property for $150K Okayed ---------------------------------------------------------------- Judge Eric L. Frank of the U.S. Bankruptcy Court for the Eastern District of Pennsylvania authorized WRWM Partnership, LLC, to sell its property located at 935 W. Cypress Avenue, Kennett Square, Pennsylvania, to Steven A. Kopp for $149,500. The property will be sold, transferred free and clear of all liens, encumbrances and interests as follows: a. M&T Bank, the lienholder on the property, has consented to a free and clear sale of the property and has agreed to release its mortgage interest and lien in and/or against the property provided all net proceeds are paid to M&T at closing on the sale of the property. Net proceeds are defined as gross sales proceeds less real estate taxes, normal closing costs, a $2,500 carve-out for a judgment lien on the property, and a $4,000 carve-out to the Debtor's estate for the Debtor's legal fees associated with the sale of the property. The Debtor anticipates net proceeds not to be less than $119,962, which will be paid to M&T at the time of closing on the sale of the property from the sale proceeds. b. The Debtor's counsel, which is owed substantial legal fees, has consented to reduce its fees to the amount of $4,000, to be paid from proceeds of the sale at closing so that the sale of the property can proceed free and clear pursuant to Section(f)(2) and Section 363(b)(1) of the Code. c. The judgment holder holding a security interest on the property, Landis & Setzler, P.C., has consented to reduce its judgment to the amount of $2,500, to be paid from proceeds of the sale at closing so that the sale of the property can proceed free and clear pursuant to Section(f)(2) and Section 363(b)(1) of the Code. d. The outstanding real estate taxes on the property will be paid out of the proceeds of the sale at closing with such taxes for tax year 2015 and years prior being paid to the Chester County Tax Claim Bureau and with real estate taxes for tax year 2016 being paid directly to the individual taxing authorities. To the extent that an error is made at the time of closing and any real estate tax is not paid in full at the closing, any unpaid real estate tax will be preserved and remain a valid first lien on the property notwithstanding the sale of the property pursuant to the Order. e. All other liens, claims, or encumbrances which are real estate municipal/county taxes and other municipal/county fines/liens assessed against the property will be paid so that the property may be sold free and clear pursuant to Section(f)(1) and Section 363(b)(1) of the Code. These total approximately $19,684. The Debtor is authorized to distribute to M&T Bank the full remainder of the purchase price at closing once the closing costs, $2,500 judgment lien in favor of Landis & Setzler, P.C., taxes, municipal bills and/or fines, and $4,000 carve out for Debtor's counsel have been paid. The 14 day stay provisions as set forth in F.R.B.P. 6004(h) are waived. About WRWM Partnership WRWM Partnership, LLC, filed for Chapter 11 bankruptcy protection (Bankr. E.D. Pa. Case No. 16-11997) on March 24, 2016, estimating under $1 million in both assets and liabilities. The Debtor has remained in possession of its assets and continued management of its business as a debtor-in-possession pursuant to Sections 1107 and 1108 of the Bankruptcy Code. An official committee of unsecured creditors has not yet been appointed. YVONNE BLANCE ENEA: To Surrender Residence to Secured Creditor -------------------------------------------------------------- Yvonne Blanche Enea filed with the U.S. Bankruptcy Court for the Northern District of California a combined plan of reorganization and disclosure statement, which propose the surrender of the Debtor's property located at 2493 Roundhill, in Alamo, California, to its secured creditor, Primestar, to satisfy the secured creditor's claim. The Plan proposes that Fremon Bank, which holds a $500,000 claim secured by the Roundhill Property, will be paid nothing. Prior to confirmation, the Debtor will obtain an order or stipulation fixing the secured amount of Fremont Bank's claims at zero. To the extent the lien is determined to be unsecured, the Plan says it was discharged in the Debtor's prior Chapter 7 case, No. 11-46922, filed on June 28, 2011, discharge entered November 23, 2011. The Debtor has no general unsecured creditors. The Debtor had been negotiating a loan modification with Bank of America which held the first deed of trust on her residence. The parties had reached an agreement to forgive most or all of the arrearage claim and for modification of the mortgage payments, but before the paperwork could be completed, Bank of America sold the loan and the Debtor had to start over with the new lender. While this was progressing, the lender started foreclosure, and the Chapter 11 case was filed to prevent the foreclosure sale on the Debtor's home. The Debtor's daughter and son-in-law have moved into the Debtors home and are helping her since she has had a number of health issues and is unable to work. The Daughter and son-in-law will provide the funds necessary to fund this plan for the next few years, while the Debtor's health issues are stabilized and her housing needs can best be assessed. They will then sell or refinance the house and pay off the current mortgage holder in full. A full-text copy of the Combined Plan and Disclosure Statement dated Sept. 6, 2016, is available at http://bankrupt.com/misc/15-51297-109.pdf Yvonne Blanche Enea filed a Chapter 11 petition (Bankr. N.D. Cal. Case No. 16-40196) on January 26, 2016, and is represented by Ruth Elin Auerbach, Esq. ZIO'S RESTAURANT: Hires Auction Nation as Auctioneer ---------------------------------------------------- Zio's Restaurant Company, LLC, and its debtor-affiliates have hired Auction Nation, LLC, to sell by auction all furniture, fixtures, and equipment at any of the store locations to be closed by them, free and clear of all liens, claims, and encumbrances. On the Petition Date, the Debtors filed motions to reject leases and close five of their restaurants: * Store No. 605, Independence MO * Store No. 607, Humble, TX * Store No. 608, Webster, TX * Store No. 613, Albuquerque, NM * Store No. 623, San Antonio, TX The Debtors said they are evaluating the remaining 11 operating locations for closure as well. "Employment of the Auctioneer is necessary to assist the Debtors in liquidating the FF&E for the benefit of these estates. If the FF&E is not sold and remains at the closed locations, rent may continue to accrue and the FF&E will depreciate in value. The Debtors believe the Auctioneer is duly-qualified to, and will, facilitate an expeditious, profitable sale of the FF&E for the benefit of their estates," said David W. Parham, Esq., at Akerman LLP, one of the Debtors' attorneys. The lienholders whose valid claims are secured by valid liens on the FF&E will have their liens transferred to the proceeds of those sales in the order and priority as they existed on the Petition Date. In exchange for Auction Nation's services, the firm will be compensated on a commission basis of 30% of gross hammer price, less returns. The Debtors' expenses will be deducted from their net proceeds from each auction. For onsite auctions, Auction Nation will be compensated on a commission equal to 30% of the final gross hammer collected price, less any returns. No removal or other expenses will be charged to the Debtors. For retrieval of FF&E situations, while in stores, the removal fee for removal and transportation of assets to Auction Nation's warehouse facility would cost the Debtors $2,500 per store. If multiple stores could be picked up in a radius of about 45 miles, the price will go down significantly per store, providing they are picked upon on the same day, in accordance with the Auction Agreement. The Debtors believe that the Auction Nation does not hold or represent an interest adverse to these estates, and is disinterested as that term is defined in Section 101(14) of the Bankruptcy Code. Store Closure Procedures The Debtors request the Court approve these store closing procedures: a. Upon 72 hour notice to any affected landlord of the Debtors' decision to reject a lease, the Debtors may cease operations at the related location and liquidate any FF&E at the location. The Debtors will contemporaneously move to reject the applicable lease, however, rejection of the lease will not be approved absent further order of the Court; b. The Debtors will file notice of their intent to close with the Court and serve notice on the affected landlord and master service list; and c. If any party-in-interest informs the Debtors that it opposes closing of any particular store location, then the Debtors will operate the store pending a hearing on either the store closure or rejection of that lease. About Zio's Restaurant Founded in 1994 in Oklahoma City, Oklahoma, Zio's Restaurant Company, LLC, et al., have operated a full-service chain restaurant since 2007. Zio's focuses on providing Italian cuisine in a casual and comfortable open-aire piazza. Zio's offers appetizers, soups and salads, pastas, specialties, calzones and sandwiches, pizzas, drinks, wine, desserts, kid's menu, pronto lunches, and gluten free menu options. As of the Petition Date, there were 15 stores, all of which operate in leased premises located in Texas, Oklahoma, Missouri, Kansas, New Mexico and Colorado. The Debtors employ 875 personnel. At one time, the Zios' concept was expanded to 21 locations. The Debtors' business operations are, and have been, managed by FMP SA Management Group, LLC pursuant to a management agreement. FMP, a privately held company based in Hollywood Park, Texas, is a multi-concept developer and operator of independent restaurant chains. Zio's Restaurant is the sole member of each of Debtors FMPRG # 601, LLC, FMPRG # 602, LLC, FMPRG # 603, LLC, FMPRG # 604, LLC, FMPRG # 605, LLC, FMPRG # 606, LLC, FMPRG # 607, LLC, FMPRG # 608, LLC, FMPRG # 609, LLC, FMPRG # 610, LLC, FMPRG # 611, LLC, FMPRG # 613, LLC, FMPRG # 615, LLC, FMPRG # 618, LLC, FMPRG # 623, LLC, and FMPRG # 624, LLC. Zio's Restaurant Company, LLC and 16 of its subsidiaries commenced Chapter 11 cases on Sept. 7, 2016, in the U.S. Bankruptcy Court for the Western District of Texas (Bankr. W.D. Tex. Proposed Lead Case No. 16-52041). The cases are assigned to Judge Ronald B. King. [*] Long-time Bankruptcy Judge Robert Martin Retiring ----------------------------------------------------- The American Bankruptcy Institute, citing Ed Treleven of Wisconsin State Journal, reported that U.S. Bankruptcy Judge Robert Martin, who has served for 38 years, most of them as chief judge of the federal bankruptcy court in Madison, announced that he is retiring at the end of the month. According to the report, Judge Martin has been a bankruptcy judge in the Western District of Wisconsin since 1978, and was its chief judge until 2012. The district currently has two bankruptcy judges, the report said. In addition, Judge Martin has served as a visiting judge in bankruptcy courts in the northern districts of Illinois and Iowa, the report related. Judge Martin is a graduate of Cornell College in Iowa and in 1969, graduated from the University of Chicago Law School, the report further related. He worked in private practice for Ross & Stevens in Madison from 1970 to 1978 before his appointment to the bench, the report said. Judge Martin is the former president of the National Conference of Bankruptcy Judges, a fellow of the American College of Bankruptcy and former national director of the Turnaround Management Association, the report further related. He has co-authored several books on bankruptcy law and taught bankruptcy-related courses at the UW Law School, the report said. He also frequently lectures on bankruptcy and commercial law, the report added. [^] BOND PRICING: For the Week From Sept. 5 to 9, 2016 ------------------------------------------------------ Company Ticker Coupon Bid Price Maturity ------- ------ ------ --------- -------- A. M. Castle & Co CAS 7.000 58.375 12/15/2017 ACE Cash Express Inc AACE 11.000 50.250 2/1/2019 ACE Cash Express Inc AACE 11.000 50.500 2/1/2019 Affinion Investments LLC AFFINI 13.500 47.875 8/15/2018 Alpha Appalachia Holdings Inc ANR 3.250 0.200 8/1/2015 Alpha Natural Resources Inc ANR 7.500 0.938 8/1/2020 Alpha Natural Resources Inc ANR 4.875 0.500 12/15/2020 Alpha Natural Resources Inc ANR 7.500 0.938 8/1/2020 Alpha Natural Resources Inc ANR 7.500 6.000 8/1/2020 American Eagle Energy Corp AMZG 11.000 13.438 9/1/2019 American Eagle Energy Corp AMZG 11.000 13.375 9/1/2019 American Gilsonite Co AMEGIL 11.500 71.500 9/1/2017 American Gilsonite Co AMEGIL 11.500 70.750 9/1/2017 Amyris Inc AMRS 6.500 28.411 5/15/2019 Arch Coal Inc ACI 7.000 4.000 6/15/2019 Arch Coal Inc ACI 7.250 3.500 6/15/2021 Arch Coal Inc ACI 7.250 3.100 10/1/2020 Arch Coal Inc ACI 9.875 2.097 6/15/2019 Arch Coal Inc ACI 8.000 2.750 1/15/2019 Arch Coal Inc ACI 8.000 2.639 1/15/2019 Armstrong Energy Inc ARMS 11.750 41.107 12/15/2019 Armstrong Energy Inc ARMS 11.750 39.500 12/15/2019 Aurora Diagnostics Holdings LLC / Aurora Diagnostics Financing Inc ARDX 10.750 68.000 1/15/2018 Avaya Inc AVYA 10.500 26.375 3/1/2021 Avaya Inc AVYA 10.500 32.640 3/1/2021 BPZ Resources Inc BPZR 6.500 3.017 3/1/2015 BPZ Resources Inc BPZR 6.500 3.017 3/1/2049 Bank of America Corp BAC 7.800 99.892 9/15/2016 Bank of America Corp BAC 5.400 99.100 9/15/2030 Basic Energy Services Inc BAS 7.750 38.000 2/15/2019 Baxter International Inc BAX 1.850 101.279 6/15/2018 Baxter International Inc BAX 5.375 107.307 6/1/2018 Baxter International Inc BAX 1.850 100.056 1/15/2017 Caesars Entertainment Operating Co Inc CZR 10.000 53.500 12/15/2018 Caesars Entertainment Operating Co Inc CZR 12.750 53.250 4/15/2018 Caesars Entertainment Operating Co Inc CZR 10.000 53.250 12/15/2018 Caesars Entertainment Operating Co Inc CZR 5.750 40.000 10/1/2017 Caesars Entertainment Operating Co Inc CZR 5.750 12.250 10/1/2017 Caesars Entertainment Operating Co Inc CZR 10.000 52.750 12/15/2018 Caesars Entertainment Operating Co Inc CZR 10.000 54.375 12/15/2018 Caesars Entertainment Operating Co Inc CZR 10.000 52.750 12/15/2018 CalAtlantic Group Inc CAA 10.750 100.125 9/15/2016 Chassix Holdings Inc CHASSX 10.000 8.000 12/15/2018 Chassix Holdings Inc CHASSX 10.000 8.000 12/15/2018 Claire's Stores Inc CLE 8.875 19.550 3/15/2019 Claire's Stores Inc CLE 7.750 15.250 6/1/2020 Claire's Stores Inc CLE 10.500 64.833 6/1/2017 Claire's Stores Inc CLE 7.750 14.875 6/1/2020 Cliffs Natural Resources Inc CLF 5.950 105.237 1/15/2018 Colonial Bank/ Montgomery AL CNB 9.375 1.015 6/1/2011 Community Choice Financial Inc CCFI 10.750 47.851 5/1/2019 Creditcorp CRECOR 12.000 40.450 7/15/2018 Creditcorp CRECOR 12.000 40.000 7/15/2018 Cumulus Media Holdings Inc CMLS 7.750 40.795 5/1/2019 DynCorp International Inc DCP 10.375 82.897 7/1/2017 EPL Oil & Gas Inc EXXI 8.250 16.200 2/15/2018 EXCO Resources Inc XCO 7.500 50.973 9/15/2018 Eagle Rock Energy Partners LP / Eagle Rock Energy Finance Corp EROC 8.375 50.126 6/1/2019 Endeavour International Corp END 12.000 1.017 3/1/2018 Endeavour International Corp END 12.000 0.006 6/1/2018 Endeavour International Corp END 12.000 1.017 3/1/2018 Energy & Exploration Partners Inc ENEXPR 8.000 1.970 7/1/2019 Energy & Exploration Partners Inc ENEXPR 8.000 1.970 7/1/2019 Energy Conversion Devices Inc ENER 3.000 7.875 6/15/2013 Energy Future Holdings Corp TXU 9.750 29.000 10/15/2019 Energy Future Holdings Corp TXU 11.250 96.500 11/1/2017 Energy Future Holdings Corp TXU 10.875 96.500 11/1/2017 Energy Future Holdings Corp TXU 10.875 60.125 11/1/2017 Energy Future Intermediate Holding Co LLC / EFIH Finance Inc TXU 10.000 3.443 12/1/2020 Energy Future Intermediate Holding Co LLC / EFIH Finance Inc TXU 10.000 3.750 12/1/2020 Energy Future Intermediate Holding Co LLC / EFIH Finance Inc TXU 9.750 29.000 10/15/2019 Energy XXI Gulf Coast Inc EXXI 11.000 41.750 3/15/2020 Energy XXI Gulf Coast Inc EXXI 9.250 11.000 12/15/2017 Energy XXI Gulf Coast Inc EXXI 7.500 10.125 12/15/2021 Energy XXI Gulf Coast Inc EXXI 7.750 10.500 6/15/2019 Energy XXI Gulf Coast Inc EXXI 6.875 10.750 3/15/2024 Entergy Arkansas Inc ETR 5.900 99.900 6/1/2033 FBOP Corp FBOPCP 10.000 1.843 1/15/2009 FXCM Inc FXCM 2.250 39.500 6/15/2018 FairPoint Communications Inc/Old FRP 13.125 1.879 4/2/2018 Federal Farm Credit Banks FFCB 0.850 100.000 9/18/2017 Fleetwood Enterprises Inc FLTW 14.000 3.557 12/15/2011 Forbes Energy Services Ltd FES 9.000 20.650 6/15/2019 Goldman Sachs Group Inc/The GS 2.647 99.990 9/20/2016 Goodman Networks Inc GOODNT 12.125 44.000 7/1/2018 Goodrich Petroleum Corp GDPM 8.875 14.500 3/15/2018 Goodrich Petroleum Corp GDPM 8.875 0.900 3/15/2019 Goodrich Petroleum Corp GDPM 8.875 14.375 3/15/2018 Goodrich Petroleum Corp GDPM 8.875 0.900 3/15/2019 HCP Inc HCP 6.300 100.087 9/15/2016 Horsehead Holding Corp ZINC 10.500 82.500 6/1/2017 Horsehead Holding Corp ZINC 9.000 19.875 6/1/2017 Horsehead Holding Corp ZINC 10.500 81.125 6/1/2017 Horsehead Holding Corp ZINC 10.500 81.125 6/1/2017 Illinois Power Generating Co DYN 7.000 38.045 4/15/2018 Illinois Power Generating Co DYN 6.300 40.000 4/1/2020 Iracore International Holdings Inc IRACOR 9.500 57.750 6/1/2018 Iracore International Holdings Inc IRACOR 9.500 57.750 6/1/2018 IronGate Energy Services LLC IRONGT 11.000 22.500 7/1/2018 IronGate Energy Services LLC IRONGT 11.000 22.750 7/1/2018 IronGate Energy Services LLC IRONGT 11.000 23.375 7/1/2018 IronGate Energy Services LLC IRONGT 11.000 23.375 7/1/2018 JPMorgan Chase & Co JPM 1.644 100.050 9/21/2016 Kellwood Co KWD 7.625 80.590 10/15/2017 Key Energy Services Inc KEGX 6.750 26.000 3/1/2021 Las Vegas Monorail Co LASVMC 5.500 5.000 7/15/2019 Lehman Brothers Holdings Inc LEH 2.000 3.834 3/3/2009 Lehman Brothers Holdings Inc LEH 5.000 3.834 2/7/2009 Lehman Brothers Holdings Inc LEH 1.600 3.834 11/5/2011 Lehman Brothers Holdings Inc LEH 4.000 3.834 4/30/2009 Lehman Brothers Holdings Inc LEH 1.500 3.834 3/29/2013 Lehman Brothers Holdings Inc LEH 2.070 3.834 6/15/2009 Lehman Brothers Inc LEH 7.500 1.226 8/1/2026 Liberty Interactive LLC LINTA 1.000 86.500 9/30/2043 Light Tower Rentals Inc LHTTWR 8.125 42.500 8/1/2019 Linc USA GP / Linc Energy Finance USA Inc LNCAU 9.625 21.375 10/31/2017 Linn Energy LLC / Linn Energy Finance Corp LINE 8.625 22.250 4/15/2020 Linn Energy LLC / Linn Energy Finance Corp LINE 6.500 22.024 5/15/2019 Linn Energy LLC / Linn Energy Finance Corp LINE 12.000 44.000 12/15/2020 Linn Energy LLC / Linn Energy Finance Corp LINE 7.750 22.012 2/1/2021 Linn Energy LLC / Linn Energy Finance Corp LINE 6.250 22.250 11/1/2019 Linn Energy LLC / Linn Energy Finance Corp LINE 6.500 22.250 9/15/2021 Linn Energy LLC / Linn Energy Finance Corp LINE 6.250 84.000 11/1/2019 Linn Energy LLC / Linn Energy Finance Corp LINE 6.250 22.000 11/1/2019 Logan's Roadhouse Inc LGNS 10.750 7.855 10/15/2017 Lumbermens Mutual Casualty Co KEMPER 9.150 0.001 7/1/2026 Lumbermens Mutual Casualty Co KEMPER 8.300 0.001 12/1/2037 Lumbermens Mutual Casualty Co KEMPER 8.450 0.446 12/1/2097 MF Global Holdings Ltd MF 3.375 21.000 8/1/2018 MF Global Holdings Ltd MF 9.000 21.125 6/20/2038 MModal Inc MODL 10.750 10.125 8/15/2020 Midstates Petroleum Co Inc / Midstates Petroleum Co LLC MPO 10.750 4.500 10/1/2020 Midstates Petroleum Co Inc / Midstates Petroleum Co LLC MPO 9.250 4.500 6/1/2021 Midstates Petroleum Co Inc / Midstates Petroleum Co LLC MPO 12.000 11.250 6/1/2020 Midstates Petroleum Co Inc / Midstates Petroleum Co LLC MPO 10.750 4.092 10/1/2020 Midstates Petroleum Co Inc / Midstates Petroleum Co LLC MPO 10.750 4.092 10/1/2020 Modular Space Corp MODSPA 10.250 41.430 1/31/2019 Modular Space Corp MODSPA 10.250 41.500 1/31/2019 National CineMedia LLC NATCIN 7.875 103.302 7/15/2021 Nine West Holdings Inc JNY 8.250 17.000 3/15/2019 Nine West Holdings Inc JNY 6.875 17.310 3/15/2019 Nine West Holdings Inc JNY 6.125 15.800 11/15/2034 Nine West Holdings Inc JNY 8.250 18.500 3/15/2019 Nuverra Environmental Solutions Inc NESC 9.875 12.500 4/15/2018 OMX Timber Finance Investments II LLC OMX 5.540 12.175 1/29/2020 Optima Specialty Steel Inc OPTSTL 12.500 88.500 12/15/2016 Optima Specialty Steel Inc OPTSTL 12.500 88.875 12/15/2016 Orexigen Therapeutics Inc OREX 2.750 27.688 12/1/2020 Peabody Energy Corp BTU 6.000 24.250 11/15/2018 Peabody Energy Corp BTU 6.250 24.250 11/15/2021 Peabody Energy Corp BTU 6.500 24.250 9/15/2020 Peabody Energy Corp BTU 4.750 2.250 12/15/2041 Peabody Energy Corp BTU 6.000 17.250 11/15/2018 Peabody Energy Corp BTU 6.250 23.750 11/15/2021 Peabody Energy Corp BTU 6.250 23.750 11/15/2021 Peabody Energy Corp BTU 6.000 13.125 11/15/2018 Penn Virginia Corp PVAH 7.250 15.165 4/15/2019 Penn Virginia Corp PVAH 8.500 41.250 5/1/2020 Permian Holdings Inc PRMIAN 10.500 30.000 1/15/2018 Permian Holdings Inc PRMIAN 10.500 29.750 1/15/2018 Pernix Therapeutics Holdings Inc PTX 4.250 21.950 4/1/2021 Pernix Therapeutics Holdings Inc PTX 4.250 21.950 4/1/2021 PetroQuest Energy Inc PQ 10.000 70.250 9/1/2017 Prospect Holding Co LLC / Prospect Holding Finance Co PRSPCT 10.250 42.500 10/1/2018 Prospect Holding Co LLC / Prospect Holding Finance Co PRSPCT 10.250 42.000 10/1/2018 Quicksilver Resources Inc KWKA 9.125 1.500 8/15/2019 Quicksilver Resources Inc KWKA 11.000 2.810 7/1/2021 RAAM Global Energy Co RAMGEN 12.500 1.950 10/1/2015 Rex Energy Corp REXX 8.875 40.026 12/1/2020 Rolta LLC RLTAIN 10.750 17.500 5/16/2018 SAExploration Holdings Inc SAEX 10.000 63.000 7/15/2019 SBA Telecommunications Inc SBAC 5.750 102.575 7/15/2020 Samson Investment Co SAIVST 9.750 4.125 2/15/2020 SandRidge Energy Inc SD 8.750 38.000 6/1/2020 SandRidge Energy Inc SD 7.500 6.625 2/15/2023 SandRidge Energy Inc SD 7.500 6.750 3/15/2021 SandRidge Energy Inc SD 8.750 6.750 1/15/2020 SandRidge Energy Inc SD 8.125 6.625 10/15/2022 SandRidge Energy Inc SD 8.750 41.000 6/1/2020 SandRidge Energy Inc SD 8.125 6.500 10/16/2022 SandRidge Energy Inc SD 7.500 6.500 2/16/2023 SandRidge Energy Inc SD 7.500 6.250 3/15/2021 SandRidge Energy Inc SD 7.500 6.250 3/15/2021 Sequa Corp SQA 7.000 15.000 12/15/2017 Sequa Corp SQA 7.000 14.000 12/15/2017 Sidewinder Drilling Inc SIDDRI 9.750 7.000 11/15/2019 Sidewinder Drilling Inc SIDDRI 9.750 6.750 11/15/2019 Speedy Group Holdings Corp SPEEDY 12.000 39.500 11/15/2017 Speedy Group Holdings Corp SPEEDY 12.000 39.500 11/15/2017 Springleaf Finance Corp AMGFIN 5.750 100.125 9/15/2016 SquareTwo Financial Corp SQRTW 11.625 15.400 4/1/2017 Stone Energy Corp SGY 1.750 53.000 3/1/2017 SunEdison Inc SUNE 5.000 55.750 7/2/2018 SunEdison Inc SUNE 3.375 6.575 6/1/2025 SunEdison Inc SUNE 0.250 6.563 1/15/2020 SunEdison Inc SUNE 2.000 6.500 10/1/2018 SunEdison Inc SUNE 2.750 7.875 1/1/2021 SunEdison Inc SUNE 2.625 6.625 6/1/2023 SunEdison Inc SUNE 2.375 7.600 4/15/2022 TMST Inc THMR 8.000 7.900 5/15/2013 Talos Production LLC / Talos Production Finance Inc TALPRO 9.750 45.950 2/15/2018 Talos Production LLC / Talos Production Finance Inc TALPRO 9.750 46.250 2/15/2018 TerraVia Holdings Inc TVIA 6.000 61.375 2/1/2018 Terrestar Networks Inc TSTR 6.500 10.000 6/15/2014 TetraLogic Pharmaceuticals Corp TLOG 8.000 26.015 6/15/2019 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 11.500 31.125 10/1/2020 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 10.250 6.550 11/1/2015 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 15.000 6.760 4/1/2021 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 10.250 6.700 11/1/2015 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 11.500 30.750 10/1/2020 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 15.000 6.700 4/1/2021 Texas Competitive Electric Holdings Co LLC / TCEH Finance Inc TXU 10.250 6.750 11/1/2015 Toys R Us Inc TOY 10.375 101.125 8/15/2017 Triangle USA Petroleum Corp TPLM 6.750 22.900 7/15/2022 Triangle USA Petroleum Corp TPLM 6.750 21.500 7/15/2022 UCI International LLC UCII 8.625 22.625 2/15/2019 Venoco Inc VQ 8.875 1.000 2/15/2019 Verso Paper Holdings LLC / Verso Paper Inc VRS 11.750 17.000 1/15/2019 Verso Paper Holdings LLC / Verso Paper Inc VRS 11.750 17.000 1/15/2019 W&T Offshore Inc WTI 8.500 30.960 6/15/2019 Walter Energy Inc WLTG 9.500 20.500 10/15/2019 Walter Energy Inc WLTG 9.500 20.500 10/15/2019 Walter Energy Inc WLTG 9.500 20.500 10/15/2019 Walter Energy Inc WLTG 9.500 20.500 10/15/2019 Warren Resources Inc WRES 9.000 1.147 8/1/2022 Warren Resources Inc WRES 9.000 1.147 8/1/2022 Warren Resources Inc WRES 9.000 1.147 8/1/2022 iHeartCommunications Inc IHRT 10.000 63.000 1/15/2018 ********* 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. 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. 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 2016. 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 ***