/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/190719.mbx T R O U B L E D C O M P A N Y R E P O R T E R Friday, July 19, 2019, Vol. 23, No. 199 Headlines 1989 3AVE: Aug. 1 Plan Confirmation Hearing 4L TECHNOLOGIES: S&P Cuts ICR to 'CCC'; Ratings on Watch Negative ACRISURE LLC: S&P Assigns 'CCC+' Debt Rating to $300MM Senior Notes AEGERION PHARMA: Court Rules on Whiteford Novelion RSA Dispute AEGERION PHARMACEUTICALS: Sept. 5 Plan Confirmation Hearing AERKOMM INC: Prospectus Okayed for Secondary Listing on Euronext ALLIED WELDING: Case Summary & 20 Largest Unsecured Creditors ALPHATEC HOLDINGS: May Issue 5.2 Million Shares Under Plans ALPHATEC HOLDINGS: Registers 4.8M Shares for Possible Resale AMERICAN HOME: U.S. Trustee Disbands Creditors' Committee AMISTAD READY MIX: To Pay Unsecureds 50% in 20 Quarterly Payments ATRM HOLDINGS: Signs Dividend Agreement with Lone Star BANGY TAXICAB: Plan Confirmation Hearing Scheduled for Aug. 21 CADIZ INC: Water Asset Has 9.1% Stake as of July 11 CALLON PETROLEUM: S&P Places 'B' ICR on Watch Pos. on Carrizo Deal CAMBER ENERGY: Working to Complete SEC Required Lineal Financials CARRIZO OIL: S&P Affirms 'B+' ICR on Callon Merger; Outlook Stable CENTER CITY HEALTHCARE: U.S. Trustee Forms 7-Member Committee CITGO HOLDING: Moody's Rates Proposed $1.37B Sr. Sec. Notes Caa1 CLEAVER-BROOKS INC: Moody's Cuts CFR to B2 & Alters Outlook to Neg. COAST TO COAST: Plan Outline OK'd; August 22 Plan Hearing Set CONTINENTAL WHOLESALE: Plan Confirmation Hearing Set for Aug. 21 CYTORI THERAPEUTICS: Will Become Plus Therapeutics, Inc. DAMINI ENTERPRISES: Case Summary Unsecured Creditor DAVID & SUKI: U.S. Trustee Objects to Proposed Plan Outline DDS 2019: Serralles to Get $1-Mil. Under New Plan DK ENTERPRISES: Case Summary & 8 Unsecured Creditors DORIAN LPG: BW Group Lowers Stake to 11.9% as of July 15 ESTEP CONSTRUCTION: U.S. Trustee Unable to Appoint Committee EYEPOINT PHARMACEUTICALS: Appoints Wendy DiCicco as Director FEH INC: S&P Alters Outlook to Negative on Continued Outflows FOOTHILLS EXPLORATION: Secures $236,250 in Convertible Loan FULL X TECH: Case Summary & 20 Largest Unsecured Creditors GATHERING PLACE: Unsecureds to Recover 100% in Latest Plan GRASSO BROS: Case Summary & 20 Largest Unsecured Creditors GREEN GROUP: Objects to Florida Funding-Proposed Plan Disclosures GREENSTREET LLC: Case Summary & Largest Unsecured Creditors H2D MOTORCYCLE: Case Summary & 20 Largest Unsecured Creditors HOVNANIAN ENTERPRISES: Receives Noncompliance Notice from NYSE INSIGHT TERMINAL: Case Summary & 11 Unsecured Creditors INVERSIONES CARIBE: Condado 2 Objects to Disclosure Statement JAGUAR HEALTH: Reduces Merger-Related Debt by $6.1 Million JAGUAR HEALTH: Reduces Merger-Related Debt by $6.1 Million JOERNS WOUNDCO: U.S. Trustee Unable to Appoint Committee LIT'L PATCH: Case Summary & 16 Unsecured Creditors LITCHFIELD LASER: Latest Plan Discloses Stipulation with Newton SB LOTUS BUSINESS: Case Summary & 4 Unsecured Creditors LUCEY BOILER: Case Summary & 20 Largest Unsecured Creditors MANNKIND CORP: Issues Shares in Exchange for $1.6 Million Notes MED PARENTCO: Moody's Assigns B3 CFR, Outlook Stable MONEYONMOBILE INC: Completes $1.5 Million Financing MVK INTERMEDIATE: Moody's Assigns B2 CFR, Outlook Stable NEOVASC INC: Provides Further Update on Reducer Program NEW WAY TRANSPORT: U.S. Trustee Unable to Appoint Committee NORTHEAST SOMERSET: Case Summary & 17 Unsecured Creditors NOVABAY PHARMACEUTICALS: Issues Letter to Stockholders OCALA INN: Aug. 20 Plan and Disclosure Statement Hearing ORIGIN AGRITECH: Posts RMB1.2 Million Net Income in H1 FY2019 PATRIOT PEST: Aug. 20 Plan Confirmation Hearing PERMCLIP PRODUCTS: Case Summary & 16 Unsecured Creditors PERPETUAL ENERGY: Moody's Alters Outlook on Caa2 CFR to Stable POWER SOLUTIONS: General Counsel and VP Human Resources Resigns PULMATRIX INC: Polaris Venture Lowers Stake to 2% as of Feb. 5 RADER LODGE: Unsecureds to Get Paid From Remaining Sale Proceed REAGOR-DYKES MOTORS: CDK Global Objects to Disclosure Statement REAGOR-DYKES MOTORS: Eighty Second Street Objects to Plan Outline REAGOR-DYKES MOTORS: Ford Motor Objects to Disclosure Statement REAGOR-DYKES MOTORS: Jeff Hunter Objects to Disclosure Statement REAGOR-DYKES MOTORS: Patti Sue Noel Objects to Disclosure Statement RENT-A-CENTER INC: Moody's Upgrades CFR to Ba3, Outlook Stable ROWLEY SOLAR: Case Summary & 7 Unsecured Creditors RUBEN JASSO TRUCKING: New Plan Discloses 3NT Cash Flow Projection SADEX CORPORATION: Raytheon to Recoup 50.7% Under Joint Plan SHREE HARIHAR: Case Summary & 5 Unsecured Creditors SOFTWARE OPS: U.S. Trustee Unable to Appoint Committee SONDA ENTERPRISES: Case Summary & 3 Unsecured Creditors SPI ENERGY: Appoints Anthony Chan as its Chief Financial Officer STEARNS HOLDINGS: Disclosure Statement Hearing Set for Aug. 22 TRIDENT TPI: Moody's Confirms B3 CFR, Outlook Negative VALERITAS HOLDINGS: Settles Patent Dispute with Roche Diabetes WEATHERFORD INTERNATONAL: Proskauer Rose Represents Equityholders WEATHERLY OIL: Unsecureds Unlikely to Get Distribution Under Plan WILLOWOOD USA: Unsecureds to Get Paid From Litigation Proceeds XENETIC BIOSCIENCES: Prices $15-Mil. Underwritten Public Offering [^] BOOK REVIEW: Bankruptcy and Secured Lending in Cyberspace ********* 1989 3AVE: Aug. 1 Plan Confirmation Hearing ------------------------------------------- The Disclosure Statement explaining the Chapter 11 Plan of 1989 3AVE LLC, dba 1989 3 Ave LLC, is preliminarily approved. A hearing will be held on August 1, 2019 at 2:00 p.m., or as soon thereafter as counsel can be heard, before the Honorable Nancy Hershey Lord in Courtroom 3577 (NHL) at the United States Bankruptcy Court for the Eastern District of New York, 271-C Cadman Plaza East, Brooklyn, New York 11201, to consider final approval of the disclosure statement and confirmation of the Plan. Any objections to the Combined Hearing Motion must be filed and served on or before July 29, 2019 at 5:00 p.m. (Eastern Time). About 1989 3Ave Based in Elmhurst, New York, 1989 3Ave, LLC, a privately held company engaged in activities related to real estate, filed a voluntary Chapter 11 Petition (Bankr. E.D.N.Y. Case No. 18-47234) on Dec. 19, 2018. In the petition signed by Bo Jin Zhu, manager, the Debtor disclosed assets totaling $23,000,106 and liabilities totaling $24,761,785. The case is assigned to Hon. Nancy Hershey Lord. William X. Zou, Esq., in Flushing, New York, is the Debtor's counsel. 4L TECHNOLOGIES: S&P Cuts ICR to 'CCC'; Ratings on Watch Negative ----------------------------------------------------------------- S&P Global Ratings lowered the issuer credit and issue-level ratings on 4L Technologies to 'CCC' from 'B' and placed all ratings on CreditWatch with negative implications, reflecting a high probability of default within the next 12 months. S&P withdrew the ratings on the previously proposed first-lien credit facilities due 2022 because the transaction did not close. The CreditWatch placement follows 4L Technology's announcement that it has lost two major customers (one within in each of its wireless and imaging segments) and lowered its expectation on pro forma annualized EBITDA to the $87 million-$96 million range. The company also retained the services of Kirkland & Ellis LLP and Jefferies LLC to evaluate its balance sheet alternatives and strategic options. The company has organized a lender call for the week of July 22, 2019. S&P expects to resolve its CreditWatch placements once it obtains additional information regarding the firm's restructuring or strategic alternative plans. ACRISURE LLC: S&P Assigns 'CCC+' Debt Rating to $300MM Senior Notes ------------------------------------------------------------------- S&P Global Ratings assigned its 'CCC+' debt rating to Acrisure LLC's $300 million senior notes maturing in 2026. The recovery rating is '6', indicating S&P's expectation for negligible (0%) recovery of principle in the event of a default. S&P said, "We expect Acrisure to use the proceeds to fund future acquisitions. The ratings on Acrisure Holdings Inc. and its core subsidiaries -- including our 'B' long-term issuer rating, 'B' first-lien credit facility debt ratings, and 'CCC+' unsecured debt rating -- are unaffected by the new senior notes issuance. Our 'B' long-term issuer credit ratings on Acrisure LLC continue to reflect its fair business risk profile and highly leveraged financial risk profile assessments." The company competes in a highly competitive, fragmented, and cyclical middle-market insurance brokerage industry. Top-line growth--driven by sustained acquisition activity (102 deals completed in 2018; 17 in first-quarter 2019) along with cross-selling opportunities and geographic expansion--continues to be robust with relatively stable EBITDA margins. This results in a rising level of absolute cash flow generation. S&P expects Acrisure's organic growth to be near 4% for 2019 and 2020, which is modestly higher than 2018 and in line with its historical near-term run-rate trends. For the 12 months ended March 31, 2019, Acrisure generated total revenues of $1.3 billion and pro forma adjusted EBITDA of $543 million (a near 35% margin) per S&P's calculations (which excludes certain add-back items). S&P expects total revenue to exceed $1.6 billion for full-year 2019 and $2.0 billion in 2020. S&P said, "Our financial risk profile assessment assumes a debt-intensive capital structure, combining debt and debt-like instruments. Including this transaction, we expect adjusted leverage (on our adjusted pro forma basis) of 7.0x and EBITDA cash interest coverage of 1.7x for the 12 months ended March 31, 2019. While the latter credit metric reflects a degree of underlying strain at time of issuance arising from a lag in funding deployment and higher debt, we believe key measures will be essentially be in line with our existing expectations for financial leverage (9.0x-10.0x; 7.0x excluding preferred treated as debt) and EBITDA cash interest above 2.0x within 12 months." AEGERION PHARMA: Court Rules on Whiteford Novelion RSA Dispute -------------------------------------------------------------- Novelion Therapeutics Inc. (NASDAQ:NVLN), a biopharmaceutical company dedicated to developing new standards of care for individuals living with rare metabolic diseases ("Novelion"), announced that on July 16, 2019, the Supreme Court of British Columbia ("BC Court") issued its decision in response to the previously announced petition filed by Whitefort Capital Master Fund, LP ("Whitefort") against Novelion, as respondent, seeking a declaration that Novelion breached section 301(1) of the Business Corporations Act of British Columbia ("s. 301(1) of the BCA") in entering into a Restructuring Support Agreement ("RSA") with, among others, Aegerion Pharmaceuticals, Inc. ("Aegerion") on May 20, 2019 in connection with Aegerion's Chapter 11 plan of reorganization in the United States Bankruptcy Court, Southern District of New York Case No. 19-11632 (the "Aegerion Bankruptcy Case"). The BC Court dismissed the action filed by Whitefort, finding that "Novelion entering into the RSA is not a transaction contemplated by s. 301(1)" of the BCA. About Novelion Therapeutics Novelion, through its subsidiary Aegerion Pharmaceuticals, is a global biopharmaceutical company dedicated to developing and commercializing therapies that deliver new standards of care for people living with rare diseases. With a global footprint and an established commercial portfolio, including MYALEPT(R)(metreleptin) and JUXTAPID(R)(lomitapide), its business is supported by differentiated treatments that treat severe and rare diseases. Novelion is the parent company of Aegerion, its operating subsidiary. References to "we," "our" and the "Company" refer to the entire enterprise, whose assets and operations reside at Aegerion. About Aegerion Pharmaceuticals Aegerion Pharmaceuticals is a global biopharmaceutical company dedicated to developing and commercializing therapies that deliver new standards of care for people living with rare diseases. With a global footprint and an established commercial portfolio, including MYALEPT (metreleptin) and JUXTAPID (lomitapide), the Company's business is supported by differentiated treatments that treat severe and rare diseases. On November 29, 2016, Aegerion entered into a merger transaction with non-debtor Novelion Therapeutics Inc. (formerly QLT Inc.), a publicly traded company formed under the laws of the Province of British Columbia. As a result of that transaction, Aegerion became an indirect wholly owned subsidiary of Novelion. Aegerion Pharmaceuticals, Inc., and U.S. affiliate Aegerion Pharmaceuticals Holdings, Inc., sought Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 19-11632) on May 20, 2019. The Lead Debtor estimated $100 million to $500 million in assets and the same range of liabilities as of the bankruptcy filing. The Hon. Martin Glenn is the case judge. The Debtors tapped Willkie Farr & Gallagher LLP as legal advisor; Moelis & Company LLC as financial and restructuring advisor; AP Services, LLC as financial advisor and chief restructuring officer; and Prime Clerk LLC as claims and noticing agent and administrative advisor. The ad hoc group of convertible noteholders tapped Latham & Watkins LLP and King & Spalding LLP as legal advisors; and Ducera Partners LLC as financial advisor. The U.S. Trustee for Region 2 on May 29 appointed two creditors to serve on the official committee of unsecured creditors in the Chapter 11 cases of Aegerion Pharmaceuticals, Inc. and its affiliates. AEGERION PHARMACEUTICALS: Sept. 5 Plan Confirmation Hearing ----------------------------------------------------------- The Amended Disclosure Statement explaining the Chapter 11 Plan of Aegerion Pharmaceuticals, Inc., et al., is approved as containing adequate information. The Confirmation Hearing shall be held before this Court commencing on September 5, 2019 at 10:00 a.m. (prevailing Eastern Time). Any objections or responses to the proposed confirmation of the Plan will be filed and served no later than August 22, 2019 at 4:00 p.m. (prevailing Eastern Time). About Aegerion Pharmaceuticals Aegerion Pharmaceuticals is a global biopharmaceutical company dedicated to developing and commercializing therapies that deliver new standards of care for people living with rare diseases. With a global footprint and an established commercial portfolio, including MYALEPT (metreleptin) and JUXTAPID (lomitapide), the Company's business is supported by differentiated treatments that treat severe and rare diseases. On November 29, 2016, Aegerion entered into a merger transaction with non-debtor Novelion Therapeutics Inc. (formerly QLT Inc.), a publicly traded company formed under the laws of the Province of British Columbia. As a result of that transaction, Aegerion became an indirect wholly owned subsidiary of Novelion. Aegerion Pharmaceuticals, Inc., and U.S. affiliate Aegerion Pharmaceuticals Holdings, Inc., sought Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 19-11632) on May 20, 2019. The Lead Debtor estimated $100 million to $500 million in assets and the same range of liabilities as of the bankruptcy filing. The Hon. Martin Glenn is the case judge. The Debtors tapped Willkie Farr & Gallagher LLP as legal advisor; Moelis & Company LLC as financial and restructuring advisor; AP Services, LLC as financial advisor and chief restructuring officer; and Prime Clerk LLC as claims and noticing agent and administrative advisor. The ad hoc group of convertible noteholders tapped Latham & Watkins LLP and King & Spalding LLP as legal advisors; and Ducera Partners LLC as financial advisor. The U.S. Trustee for Region 2 on May 29 appointed two creditors to serve on the official committee of unsecured creditors in the Chapter 11 cases of Aegerion Pharmaceuticals, Inc. and its affiliates. AERKOMM INC: Prospectus Okayed for Secondary Listing on Euronext ---------------------------------------------------------------- The French Autorite des Marches Financiers (AMF) has granted on July 17, 2019 visa number 19-372 on Aerkomm Inc.'s prospectus relating to the admission of Aerkomm's common stock to listing and trading on the Professional Segment of the regulated market of Euronext Paris. The attention of investors is drawn to the risk factors described in the prospectus. Aerkomm's common stock is scheduled to begin trading on Euronext Paris on July 23, 2019 under the symbol "AKOM" and will be denominated in Euros on Euronext Paris. This listing will not alter Aerkomm's share count, capital structure, or current stock-listings on the OTCQX, where it also trades under the symbol "AKOM." Jeffrey Wun, CEO of Aerkomm said, "We are pleased to be listing our shares on Euronext Paris. This listing will bring us closer to prospective customers of our in-flight entertainment and connectivity services in the European region and may allow us to broaden our base of shareholders. We are excited to reach this important milestone and look forward to raising awareness of Aerkomm's business among potential customers and investors in the weeks and months ahead." About Aerkomm Aerkomm Inc. -- http://www.aerkomm.com-- is a full-service development stage provider of in-flight entertainment & connectivity (IFEC) solutions, intended to provide airline passengers with a broadband in-flight experience that encompasses a wide range of service options. Those options include Wi-Fi, cellular, movies, gaming, live TV, and music. The Company plans to offer these core services, which it is currently still developing, through both built-in in-flight entertainment systems, such as a seat-back display, as well as on passengers' own personal devices. Chen & Fan Accountancy Corporation, in San Jose, California, the Company's auditor since 2017, issued a "going concern" qualification in its report dated March 22, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has suffered recurring loss from operations that raises substantial doubt about its ability to continue as a going concern. As of March 31, 2019, the Company had $47.18 million in total assets, $7.55 million in total liabilities, and $39.62 million in total stockholders' equity. Aerkomm reported a net loss of $6.68 million for the nine months ended Dec. 31, 2018, following a net loss of $6.24 million for the nine months ended Dec. 31, 2017. ALLIED WELDING: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: Allied Welding, Inc. P.O. Box 410 Chillicothe, IL 61523 Business Description: Founded in 1964, Allied Welding, Inc. -- https://www.alliedwelding.net -- provides assembly, packaging, precision CNC machining, welding, powder coating, and plasma cutting services. Allied Welding is an ISO 9001:2008 certified company having a 78,000 sq. ft. manufacturing facility located in Chillicothe, Illinois. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Central District of Illinois (Peoria) Case No.: 19-81007 Judge: Hon. Thomas L. Perkins Debtor's Counsel: Sumner Bourne, Esq. RAFOOL, BOURNE & SHELBY, P.C. 411 Hamilton Blvd #1600 Peoria, IL 61602 Tel: (309) 673-5535 Email: sbnotice@mtco.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Terry R. Nelson, president. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at: http://bankrupt.com/misc/ilcb19-81007.pdf ALPHATEC HOLDINGS: May Issue 5.2 Million Shares Under Plans ----------------------------------------------------------- Alphatec Holdings, Inc. filed a Form S-8 registration statement with the Securities and Exchange Commission to register the offer and sale of an additional aggregate 5,150,000 shares of Common Stock for issuance under the Alphatec Holdings, Inc. 2016 Employment Inducement Award Plan, Alphatec Holdings, Inc. 2016 Equity Incentive Plan, and Alphatec Holdings, Inc. 2007 Employee Stock Purchase Plan. With respect to the Inducement Plan, the Company previously registered (i) 350,000 shares of Common Stock on Form S-8 filed with the Commission on Oct. 5, 2016, (ii) 600,000 shares of Common Stock on Form S-8 filed with the Commission on Dec. 12, 2016, (iii) 600,000 shares of Common Stock on Form S-8 filed with the Commission on March 30, 2017, (iv) 1,000,000 shares of Common Stock on Form S-8 filed with the Commission on Oct. 24, 2017, and (v) 600,000 shares of Common Stock on Form S-8 filed with the Commission on May 21, 2018. With respect to the Equity Plan, the Company previously registered (i) 1,083,333 shares of Common Stock on Form S-8 filed with the Commission on Oct. 5, 2016, and (ii) 5,000,000 shares of Common Stock on Form S-8 filed with the Commission on May 21, 2018. With respect to the Purchase Plan, the Company previously registered (i) 500,000 shares of Common Stock on Form S-8 filed with the Commission on May 12, 2017, (ii) 58,333 shares of Common Stock on Form S-8 filed with the Commission on March 31, 2017, (iii) 700,000 shares of Common Stock on May 6, 2016, (iv) 700,000 shares of Common Stock on Form S-8 filed with the Commission on March 5, 2015, (v) 1,500,000 shares of Common Stock on Form S-8 filed with the Commission on June 9, 2014, (vi) 700,000 shares of Common Stock filed with the Commission on March 12, 2013, (vii) 350,000 shares of Common Stock on Form S-8 filed with the Commission on Nov. 7, 2007. A full-text copy of the prospectus is available for free at: https://is.gd/FQsLky About Alphatec Holdings Carlsbad, California-based Alphatec Holdings, Inc., through its wholly owned subsidiaries, Alphatec Spine, Inc., and SafeOpSurgical, Inc., is a medical device company that designs, develops, and markets technology for the treatment of spinal disorders associated with disease and degeneration, congenital deformities, and trauma. The Company's mission is to improve lives by providing innovative spine surgery solutions through the relentless pursuit of superior outcomes. The Company markets its products in the U.S. via independent sales agents and a direct sales force. Alphatec reported a net loss attributable to common shareholders of $42.46 million for the year ended Dec. 31, 2018, compared to a net loss attributable to common shareholders of $2.29 million for the year ended Dec. 31, 2017. As of March 31, 2019, Aphatec had $119.41 million in total assets, $27.62 million in total current liabilities, $42.55 million in long-term debt, $1.77 million in operating lease liability, $14.60 million in other long-term liabilities, $23.60 million in redeemable preferred stock, and total stockholders' equity of $9.25 million. "We have incurred significant net losses since inception and relied on our ability to fund our operations through revenues from the sale of our products, debt financings and equity financings, including our private placement in March 2018 ("2018 Private Placement"). As we have incurred losses, a successful transition to profitability is dependent upon achieving a level of revenues adequate to support our cost structure. This may not occur and, unless and until it does, we will continue to need to raise additional capital. At December 31, 2018, our principal sources of liquidity consisted of cash of $29.1 million and accounts receivable (net) of $15.1 million. We believe that our current available cash, combined with the availability of our expanded credit facility with Squadron Capital ... and draws on our revolving credit facility, will be sufficient to fund our planned expenditures and meet our obligations for at least 12 months following our financial statement issuance date," the Company said in its 2018 Annual Report. ALPHATEC HOLDINGS: Registers 4.8M Shares for Possible Resale ------------------------------------------------------------ Alphatec Holdings, Inc., filed a Form S-3 registration statement with the U.S. Securities and Exchange Commission relating to the sale or other disposition of up to 4,838,710 shares of common stock or interests therein by Squadron Medical Finance Solutions LLC and Tawani Holdings LLC, the selling stockholders. The Company will not receive any of the proceeds from the sale of the shares of its common stock by the selling stockholders. The Company will, however, receive the proceeds from the sale of shares of its common stock to some of the selling stockholders to the extent they exercise for cash their warrants. The Company will pay the expenses incurred in registering the shares, including legal and accounting fees. The price or prices at which the selling stockholders may sell the shares will be determined by the prevailing market price for the shares or in negotiated transactions. The selling stockholders may sell shares directly to purchasers or through brokers or dealers. The Company's common stock trades on the Nasdaq Global Select Market under the symbol "ATEC." On July 12, 2019, the last reported sales price for the common stock was $4.35 per share. A full-text copy of the preliminary prospectus is available for free at: https://is.gd/TQhjPf About Alphatec Holdings Carlsbad, California-based Alphatec Holdings, Inc., through its wholly owned subsidiaries, Alphatec Spine, Inc., and SafeOpSurgical, Inc., is a medical device company that designs, develops, and markets technology for the treatment of spinal disorders associated with disease and degeneration, congenital deformities, and trauma. The Company's mission is to improve lives by providing innovative spine surgery solutions through the relentless pursuit of superior outcomes. The Company markets its products in the U.S. via independent sales agents and a direct sales force. Alphatec reported a net loss attributable to common shareholders of $42.46 million for the year ended Dec. 31, 2018, compared to a net loss attributable to common shareholders of $2.29 million for the year ended Dec. 31, 2017. As of March 31, 2019, Aphatec had $119.41 million in total assets, $27.62 million in total current liabilities, $42.55 million in long-term debt, $1.77 million in operating lease liability, $14.60 million in other long-term liabilities, $23.60 million in redeemable preferred stock, and total stockholders' equity of $9.25 million. "We have incurred significant net losses since inception and relied on our ability to fund our operations through revenues from the sale of our products, debt financings and equity financings, including our private placement in March 2018 ("2018 Private Placement"). As we have incurred losses, a successful transition to profitability is dependent upon achieving a level of revenues adequate to support our cost structure. This may not occur and, unless and until it does, we will continue to need to raise additional capital. At December 31, 2018, our principal sources of liquidity consisted of cash of $29.1 million and accounts receivable (net) of $15.1 million. We believe that our current available cash, combined with the availability of our expanded credit facility with Squadron Capital ... and draws on our revolving credit facility, will be sufficient to fund our planned expenditures and meet our obligations for at least 12 months following our financial statement issuance date," the Company said in its 2018 Annual Report. AMERICAN HOME: U.S. Trustee Disbands Creditors' Committee --------------------------------------------------------- The U.S. trustee for Region 21 on July 15 disbanded the official committee of unsecured creditors appointed in American Home Products LLC's Chapter 11 case. On July 11, the representative of Strategic America, one of the two members of the creditors' committee, communicated to the U.S. trustee that it no longer wants to serve on the committee. About American Home Products American Home Products LLC -- https://www.louvershop.com/ -- is the holding company for The Louver Shop. It provides custom interior plantation shutters, exterior shutters, and window treatments. American Home Products, based in Gainesville, Ga., filed a Chapter 11 petition (Bankr. N.D. Ga. Case No. 19-21054) on May 29, 2019. In the petition signed by Gregory Bangs, chief financial officer, the Debtor estimated $1 million to $10 million in assets and $10 million to $50 million in liabilities. The Hon. James R. Sacca oversees the case. The Debtor tapped McDonald Hopkins LLC as bankruptcy counsel; Kelley & Clements LLC as co-counsel with McDonald; and Wayne Tanner of Aurora Management Partners, Inc., as chief restructuring officer. AMISTAD READY MIX: To Pay Unsecureds 50% in 20 Quarterly Payments ----------------------------------------------------------------- Amistad Ready Mix, Inc. filed a small business disclosure statement explaining its proposed chapter 11 plan of reorganization. Class 7 under the plan consists of the general unsecured claims. The Class 7 claims consist of the claims of general unsecured creditors totaling $83,648.12. Allowed claims will receive 50% of their stated balance in 20 equal quarterly payments beginning Oct. 1, 2021. Each payment shall be made the 7th day of each following quarter. The estimated quarterly payments are $2091. The Plan is feasible as a result of the income generated from Debtor's business operations and assets. The principal risk that creditors will incur under the Debtor’s Plan is that the Debtor is unable to generate enough revenue to sustain operations and make its plan payments. A secondary risk is that the economy enters into a recession causing the construction industry to slow down. A copy of the Disclosure Statement is available at https://tinyurl.com/y6xq4rn3 from Pacermonitor.com at no charge. About Amistad Ready Mix Amistad Ready Mix Inc., a ready-mix concrete supplier based in Del Rio, Texas, filed a Chapter 11 petition (Bankr. W.D. Tex. Case No. 18-52645) on Nov. 5, 2018. In the petition signed by Sergio Galindo, president, the Debtor estimated assets of $1 million to $10 million and liabilities of the same range. The case is assigned to Judge Ronald B. King. Smeberg Law Firm, PLLC, is the Debtor's counsel. ATRM HOLDINGS: Signs Dividend Agreement with Lone Star ------------------------------------------------------ ATRM Holdings, Inc., Lone Star Value Investors, LP and Lone Star Value Co-Invest I, LP entered into a Series B Preferred Stock Dividend Agreement, pursuant to which the Company issued to the Holders a total of 17,914.2 shares of Series B Preferred Stock, par value $0.001 per share, of the Company. The Company previously issued shares of Series B Preferred Stock to the Holders. Dividends on those shares have accrued through Dec. 31, 2018 but have not been paid. Pursuant to the Dividend Agreement, the Company and the Holders have agreed that the Preferred Stock will be issued in lieu of payment and in full satisfaction of such accrued dividends. On July 17, 2019, the Company entered into two waivers with LSV Co-Invest I, LP and one waiver with Lone Star Value Management, LLC, pursuant to which the parties thereto agreed (i) that the closing of the previously announced merger with Digirad Corporation would not constitute an event of default under the terms of two promissory notes issued by the Company to LSV Co-Invest I on Jan. 12, 2018 and June 1, 2018 for the principal amounts of $500,000 and $900,000, respectively, or under the terms of a promissory note issued by the Company to LSVM on Dec. 17, 2018 for the principal amount of $300,000, (ii) that neither LSV Co-Invest I nor LSVM would be entitled to accelerate any payment under such notes as a result of the closing of the Merger and (iii) upon the closing of the Merger, the Company would be permitted to amend its governing documents in accordance with the terms of the Merger Agreement. About ATRM Holdings Through ATRM Holdings, Inc.'s wholly-owned subsidiaries, KBS, Glenbrook and EdgeBuilder, the Company -- http://www.atrmholdings.com/-- manufactures modular buildings for commercial and residential applications in production facilities located in South Paris and Waterford, Maine; operates a retail lumber yard located in Oakdale, Minnesota; and manufactures structural wall panels, permanent wood foundation systems and other engineered wood products for use in construction of residential and commercial buildings in a production facility located in Prescott, Wisconsin. For more information, visit www.atrmholdings.com. ATRM Holdings reported a net loss attributable to common shareholders of $5.23 million for the year ended Dec. 31, 2018, compared to a net loss attributable to common shareholders of $9.08 million for the year ended Dec. 31, 2017. As of March 31, 2019, the Company had $10.99 million in total assets, $20.93 million in total liabilities, and a total shareholders' deficit of $9.94 million. BDO USA, LLP, in San Diego, California, the Company's auditor since 2019, issued a "going concern" qualification in its report dated June 26, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has suffered recurring losses from operations and has a net capital deficiency, among other matters, that raise substantial doubt about its ability to continue as a going concern. BANGY TAXICAB: Plan Confirmation Hearing Scheduled for Aug. 21 -------------------------------------------------------------- Bangy Taxicab Corp. issued an order approving Bangy Taxicab Corp.'s disclosure statement in support of its plan of reorganization. A hearing will be held on August 21, 2019 at 3:00 p.m. for confirmation of the plan. August 14, 2019 is fixed as the last day for filing and serving written objections to confirmation of the Plan, and for submitting ballots accepting or rejecting the plan. The Troubled Company Reporter previously reported that the plan incorporates the terms of a settlement agreement reached with the main creditor in the case, Melrose Credit Union. The agreement provides a down payment of a lump sum of $60,000 and monthly payments of $5,000 over a period of 12 months, for a total of $120,000. Said lump sum payment will be made from personal funds of the corporate principal's son Abraham Bangiyev and funds accumulated on the Debtors DIP account up though the date of the approval of the settlement agreement. A copy of the Disclosure Statement is available at https://tinyurl.com/y66frro8 from Pacermonitor.com at no charge. About Bangy Taxicab Corp. Bangy Taxicab, Corp. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 18-44530) on Aug. 3, 2018. At the time of the filing, the Debtor estimated assets of less than $500,000 and liabilities of less than $1 million. CADIZ INC: Water Asset Has 9.1% Stake as of July 11 --------------------------------------------------- In a Schedule 13G filed with the Securities and Exchange Commission, Water Asset Management LLC disclosed that as of July 11, 2019, it beneficially owns 2,458,219 shares of common stock of Cadiz Inc., which represents 9.1 percent based on 26,933,432 shares of Common Stock outstanding as of May 29, 2019 as reported in the Issuer's Definitive Proxy Statement on Form DEFC14A, filed with the Securities and Exchange Commission on June 17, 2019. The shares of Common Stock are held by investment funds to which Water Asset serves as investment manager. No person other than the Reporting Person and the investment funds is known to have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, the shares of Common Stock. A full-text copy of the regulatory filing is available for free at: https://is.gd/utyQgw About Cadiz Founded in 1983 and headquartered in Los Angeles, California, Cadiz Inc. -- http://www.cadizinc.com/-- is a land and water resource development company with 45,000 acres of land in three areas of eastern San Bernardino County, California. Virtually all of this land is underlain by high-quality, naturally recharging groundwater resources, and is situated in proximity to the Colorado River and the Colorado River Aqueduct, California's primary mode of water transportation for imports from the Colorado River into the State. The Company's properties are suitable for various uses, including large-scale agricultural development, groundwater storage and water supply projects. The Company's main objective is to realize the highest and best use of its land and water resources in an environmentally responsible way. Cadiz Inc. reported a net loss and comprehensive loss of $26.27 million for the year ended Dec. 31, 2018, compared to a net loss and comprehensive loss of $33.86 million for the year ended Dec. 31, 2017. As of March 31, 2019, Cadiz had $73.92 million in total assets, $155.3 million in total liabilities, and a total stockholders' deficit of $81.41 million. CALLON PETROLEUM: S&P Places 'B' ICR on Watch Pos. on Carrizo Deal ------------------------------------------------------------------ S&P Global Ratings placed all of its ratings on Callon Petroleum Co., including its 'B' issuer credit rating, on CreditWatch with positive implications. The CreditWatch positive placement follows the company's announcement that it is acquiring Carrizo Oil & Gas Inc. for $3.2 billion, including the assumption of about $1.7 billion of debt and Carrizo's preferred stock. S&P expects Callon to fund the acquisition with $1.3 billion of equity and borrowings from a new fully underwritten credit facility. S&P said, "The CreditWatch positive placement reflects our expectation that the acquisition of Carrizo will materially improve the scale, scope, and diversity of Callon's business. It also reflects our belief that the company's credit measures will remain adequate and begin to improve in 2020 as it integrates the acquisition. The Carrizo acquisition will meaningfully expand Callon's acreage position in the Permian Basin of West Texas to approximately 120,000 net acres while also providing the company with approximately 80,000 net acres in the Eagle Ford Basin in South Texas, which will improve its asset diversity. Pro forma for the transaction, the company's production for the first quarter of 2019 would have averaged about 102.3 thousand barrels of oil equivalent per day (Mboe/d) with an over 70% oil cut, providing for strong profitability measures. Additionally, based on our preliminary assumptions, Callon's average funds from operations (FFO) to debt could exceed 20% over the next two years due to its increased production with a heavy weighting toward liquids. "The CreditWatch placement reflects that we would likely raise our issuer credit rating on Callon by one notch to 'B+' following the close of the Carrizo acquisition assuming there are no material changes to our current assumptions and we continue to expect the company to sustain FFO to debt of more than 20%. Given our current assumptions, the limited market risk, the approval of both companies' boards, and the pro forma company's agreed upon credit facility with its lenders, we believe there is a high probability that the transaction will close as proposed and lead us to raise our rating on Callon. Our analysis will include the impact of the acquisition on the company's operating performance and profitability as it focuses on crude oil production as well as its financial effects. We intend to resolve the CreditWatch positive placement around the close of the acquisition, which we expect will occur in the fourth quarter of 2019." CAMBER ENERGY: Working to Complete SEC Required Lineal Financials ----------------------------------------------------------------- Camber Energy, Inc. said in a press release that it its recently acquired subsidiary Lineal Star Holdings, LLC (www.LinealStar.com) is working with its auditors to prepare Lineal's financial statements, which must be filed with the Securities and Exchange Commission within approximately 75 of the closing of the Agreement and Plan of Merger. Louis G. Schott, the interim CEO of Camber stated, "We are continuing to work towards completing the audit of the financials of Lineal as required by SEC rules and requirements and anticipate it will be filed on a timely basis." About Camber Energy Based in San Antonio, Texas, Camber Energy, Inc. (NYSE American: CEI) -- http://www.camber.energy-- is an 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 anticipated project development in the Texas Panhandle. Camber Energy reported net income of $16.64 million for the year ended March 31, 2019, following a net loss of $24.77 million for the year ended March 31, 2018. As of March 31, 2019, the Company had $8.58 million in total assets, $2.40 million in total liabilities, and $6.17 million in total stockholders' equity. Camber Energy received on July 2, 2019, a deficiency letter from NYSE American LLC stating that the Company is not in compliance with the continued listing standards as set forth in Section 103(f)(v) of the NYSE American Company Guide. The Deficiency Letter indicated that the Company's securities have been selling for a low price per share for a substantial period of time. CARRIZO OIL: S&P Affirms 'B+' ICR on Callon Merger; Outlook Stable ------------------------------------------------------------------ S&P Global Ratings affirmed its 'B+' issuer credit rating on Carrizo Oil & Gas Inc. The outlook is stable. The rating affirmation follows Callon's announcement of a merger with Carrizo Oil & Gas Inc. in a $3.2 billion transaction financed with $1.3 billion of Callon equity and the assumption of Carrizo's debt. S&P said, "The rating affirmation reflects the expectation that we will equalize our issuer credit rating on U.S.-based Carrizo Oil & Gas Inc. with that of Callon Petroleum after the merger closes. The rating on Callon was put on CreditWatch positive, reflecting the likelihood that we will raise the issuer credit rating to 'B+' after the merger closes. As a result, we are affirming the rating on Carrizo given the likelihood that the rating of the combined entity will be the same as the existing one on Carrizo. "The stable outlook on Carrizo reflects the likelihood that the rating on Callon will be raised to 'B+' when the merger closes. The expectation is supported by the improved scale and diversity of the combined entity, while maintaining financial measures appropriate for the rating. If the terms of the merger change such that the combined entity would not be rated 'B+', we would review the ratings on Carrizo." CENTER CITY HEALTHCARE: U.S. Trustee Forms 7-Member Committee ------------------------------------------------------------- Andrew Vara, acting U.S. trustee for Region 3, on July 15 appointed seven creditors to serve on the official committee of unsecured creditors in the Chapter 11 cases of Center City Healthcare, LLC. The committee members are: (1) Conifer Revenue Cycle Solutions, LLC Attn: Tom Arnst 3560 Dallas Parkway Dallas, TX 75034 Phone: 469-803-4175 (2) Medline Industries, Inc. Attn: Shane Reed 3 Lakes Drive Northfield, IL 60093 Phone: 262-367-7501 Ext. 2252 Fax: 866-914-2729 (3) Veolia Energy Philadelphia, Inc. Attn: Tom Herlihy 2600 Christian Street Philadelphia, PA 19146 Phone: 215-875-6900 (4) Medtronic USA, Inc. Attn: Bob Zbylicki 800 53rd Avenue Northeast, MS SLK 27 Columbia Heights, MN 55421-1200 Phone: 763-505-5116 (5) Crothall Healthcare, Inc. Attn: Stacy Hall 1500 Liberty Ridge Drive, Suite 210 Wayne, PA 19087 Phone: 610-576-5196 Fax: 610-576-5213 (6) Global Neurosciences Institute, LLC Attn: Donald Damico 3100 Princeton Pike, Bldg. 3, Suite D Lawrenceville, NJ 08648 Phone: 215-962-9600 Fax: 215-239-3037 (7) Pennsylvania Association of Staff Nurses and Allied Professionals Attn: Nick Alpers One Fayette Street, Suite 472 Conshohocken, PA 19428 Phone: 610-567-2907 Fax: 610567-2915 Official creditors' committees serve as fiduciaries to the general population of creditors they represent. They may investigate the debtor's business and financial affairs. Committees have the right to employ legal counsel, accountants and financial advisors at a debtor's expense. Proposed counsel to the Committee: Thomas M. Horan, Esq. FOX ROTHSCHILD LLP 919 North Market Street, Suite 300 Wilmington, DE 19899 Telephone: 302-654-7444 Facsimile: 302-6568920 Email: thoran@foxrothschild.com -- and -- Andrew H. Sherman, Esq. Boris I. Mankovetskiy, Esq. SILLS CUMMIS & GROSS P.C. One Riverfront Plaza Newark, NJ 07102 Telephone: 973-643-7000 Facsimile: 973-643-6500 Email: asherman@sillscummis.com bmankovetskiy@sillscummis.com About Center City Healthcare Center City Healthcare, LLC is a Delaware limited liability company that operates Hahnemann University Hospital. Its parent company is Philadelphia Academic Health System, LLC, which is also the parent company of St. Christopher's Healthcare, LLC and its affiliated physician groups. Center City Healthcare and its affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 19-11466) on June 30, 2019. At the time of the filing, the Debtors disclosed assets of between $100 million and $500 million and liabilities of the same range. The case has been assigned to Judge Kevin Gross. The Debtors tapped Saul Ewing Arnstein & Lehr LLP as legal counsel; EisnerAmper LLP as restructuring advisor; SSG Advisors, LLC as investment banker; and Omni Management Group, Inc. as claims and noticing agent. CITGO HOLDING: Moody's Rates Proposed $1.37B Sr. Sec. Notes Caa1 ---------------------------------------------------------------- Moody's Investors Service assigned a Caa1, LGD4 rating to CITGO Holding, Inc.'s proposed up to $1.37 billion in senior secured notes due 2024 and up to $500 million in proposed senior secured term loan B due 2023. Proceeds from the transactions will be used to refinance $1.87 billion in senior secured notes due 2020. The outlook is stable. Assignments: Issuer: CITGO Holding, Inc. Senior Secured Bank Credit Facility, Assigned Caa1 (LGD4) Senior Secured Regular Bond/Debenture, Assigned Caa1 (LGD4) RATINGS RATIONALE Citgo Holding's Caa1 ratings and stable outlook primarily reflect the location of the company's assets in the United States and certain protections to lenders provided by the company's credit agreements. These protections are in place to ring-fence the company from its ultimate owner, Petroleos de Venezuela S.A. (PDVSA), with clauses for limitations on increase in debt leverage, dividends, minimum cash, new business associations, change of control, and proceeds from asset sales clauses. In addition, the company's refineries continue to generate good financial results, fund capital spending internally, maintain a solid liquidity profile and access to capital markets, including cash and committed bank facilities. However, Moody's notes that Citgo Holding remains vulnerable to US sanctions against Venezuela and the political situation in that country, which could affect the company's operating and financial activities. Citgo Holding, based In Delaware, US, is holding company with no direct operations and no significant assets other than its ownership of 100% of the capital stock of Citgo Petroleum Corporation (B3 stable) and 100% of the limited liability company interests of Citgo Holding Terminals, Southwest Pipeline Holding and Midwest Pipeline Holding, all operating companies. PDVSA is the ultimate controlling shareholder of Citgo Holding. The principal methodology used in these ratings was Refining and Marketing Industry published in November 2016. CLEAVER-BROOKS INC: Moody's Cuts CFR to B2 & Alters Outlook to Neg. ------------------------------------------------------------------- Moody's Investors Service downgraded its ratings for Cleaver-Brooks, Inc. including the company's Corporate Family Rating (CFR to B3 from B2) and Probability of Default Rating (to B3-PD from B2-PD), and the ratings for Cleaver's senior secured notes (to B3 from B2). The ratings outlook has been revised to stable from negative. RATINGS RATIONALE The downgrades reflect sales and earnings pressures that have resulted in a deteriorating set of credit metrics and a weakening of the company's balance sheet that limits near-term financial flexibility. Moody's anticipates elevated financial leverage with debt-to-EBITDA expected to remain at or above 6.5x during fiscal 2020. The downgrades also consider on going weakness in industrial watertube markets as well as Moody's expectation of limited cash generation by Cleaver over the next 12 months. The B3 CFR broadly reflects Cleaver's high financial leverage, its small revenue base, a heavy reliance on cyclical boiler markets and Moody's expectations of an adequate liquidity profile. These risks are somewhat mitigated by Cleaver's good standing within packaged boiler markets as well as the generally stable nature of Cleaver's aftermarket and business services segments, which combined account for about 35% of sales. Litigation risk relating to significant asbestos claims represent an additional area of concern for creditors but management has attempted to mitigate this risk through insurance and indemnification by the company's prior owner. Cleaver faced a number of sales and margin headwinds during fiscal 2019 (ended March 2019) including significantly higher steel input costs, operational challenges at its Camus facility, and weak demand in industrial watertubes. Moody's believes some of these challenges will remain in place during fiscal 2020, albeit to a lesser degree, and that this will result in a relatively weak set of credits over the next 12 months. In particular, Moody's anticipates continued demand pressures and an aggressive pricing environment in industrial watertubes, as well as on-going vulnerability to unexpected increases in steel prices, notwithstanding upward pricing actions undertaken in early calendar 2019 which should help counter at least a portion of the aforementioned. Cash generation has been notably weak over the last 2 years (cumulative cash use of $5 million) and Cleaver's ability to sustainably generate positive free cash flow over the next 12 to 18 months will be an important rating consideration. The stable outlook reflects modest growth in packaged boilers and business services, which will offset the topline pressure in industrial watertubes. The stable outlook does not anticipate any cash outflows or the posting of collateral to fund asbestos litigation in the next twelve months. Any ratings upgrade would be predicated on improved cash generation such that FCF-to-Debt is expected to remain consistently at or near the mid-single-digits. The ratings could be upgraded if Debt-to-EBITDA is expected to be sustained at or below 5.75x. An inability to generate positive free cash flow during fiscal 2020 or a weakening of Cleaver's liquidity profile involving an increased reliance on the ABL facility or a possible breach of financial covenants could result in a downgrade. The ratings could also be downgraded if an unfavorable asbestos litigation ruling is deemed to impair Cleaver's business or liquidity profile. The ratings could also come under pressure if Debt-to-EBITDA is expected to be sustained above 7.25x The following summarizes Moody's rating actions and ratings: Issuer: Cleaver Brooks, Inc. Corporate Family Rating, downgraded to B3 from B2 Probability of Default Rating, downgraded to B3-PD from B2-PD $375 million senior secured notes due 2023, downgraded to B3 (LGD4) from B2 (LGD4) Outlook, Changed to Stable from Negative Headquartered in Thomasville, Georgia, Cleaver Brooks Inc., manufactures integrated proprietary boiler room systems including boilers, burners, controls, components and accessories. The boilers provide hot water, steam and, in some instances, localized energy critical to operations in industrial, institutional and commercial applications in a wide range of markets including energy and petrochemical, healthcare, food and beverage, and government. The company is owned by Harbour Group. Revenues for the twelve months ended March 2019 were approximately $400 million. The principal methodology used in these ratings was Global Manufacturing Companies published in June 2017. COAST TO COAST: Plan Outline OK'd; August 22 Plan Hearing Set ------------------------------------------------------------- Bankruptcy Judge Victoria S. Kaufman approved Coast to Coast Holdings, LLC's first amended disclosure statement describing its first amended chapter 11 plan. The hearing to consider confirmation of the Debtor's Chapter 11 Plan is set for August 22, 2019, at 1:00 p.m. The deadline for parties in interest to file an objection to the Plan and to submit their ballots for voting to accept or reject the Plan is August 2, 2019. As previously reported by the Troubled Company Reporter, under the plan, creditors will get payment from property sale proceeds. A full-text copy of the First Amended Disclosure Statement dated July 3, 2019, is available at https://tinyurl.com/y3m872ql from PacerMonitor.com at no charge. About Coast to Coast Holdings Coast to Coast Holdings, LLC, is a limited liability company formed under the laws of Wyoming. Its primary asset is a real property with a four-bedroom, five-bath house located at 1140 Henry Ridge Motorway, Topanga, California. Coast to Coast Holdings sought protection under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 19-10112) on Jan. 16, 2019. At the time of the filing, the Debtor estimated assets of $1 million to $10 million and liabilities of $1 million to $10 million. The case is assigned to Judge Victoria S. Kaufman. The Debtor tapped Levene, Neale, Bender, Yoo & Brill LLP as its legal counsel. CONTINENTAL WHOLESALE: Plan Confirmation Hearing Set for Aug. 21 ---------------------------------------------------------------- Bankruptcy Judge Catherine Peek McEwen conditionally approved Continental Wholesale Diamonds LLC's disclosure statement referring to its proposed chapter 11 plan. The Court will conduct a hearing on confirmation of the Plan on August 21, 2019 at 9:30 AM in Tampa, FL − Courtroom 8B, Sam M. Gibbons United States Courthouse, 801 N. Florida Avenue. Any written objections to the Disclosure Statement must be filed and served no later than seven days prior to the confirmation hearing. Ballots accepting or rejecting the plan must be filed no later than eight days before the confirmation hearing. About Continental Wholesale Continental Wholesale -- https://www.continentalwholesalediamonds.com -- is a wholesale jewelry manufacturer that has previously sold exclusively to fine jewelry stores across the country. Continental Wholesale Diamonds now offers certified diamonds, engagement rings, wedding bands, diamond stud and hoop earrings and gold and silver designer jewelry at wholesale prices. Continental Wholesale Diamonds LLC filed a Chapter 11 petition (Bankr. M.D. Fla. Case No. 18-11002) on Dec. 24, 2018. In the petition signed by Andrew Meyer, authorized representative, the Debtor estimated $1 million to $10 million in assets and $1 million to $10 million in liabilities. The case is assigned to Judge Catherine Peek McEwen. The Debtor is represented by James W. Elliott, Esq. at McIntyre Thanasides BringGold. No official committee of unsecured creditors has been appointed in the Chapter 11 case. CYTORI THERAPEUTICS: Will Become Plus Therapeutics, Inc. -------------------------------------------------------- Cytori Therapeutics, Inc., announced a new direction and identity. Since the beginning of 2019, the Company has successfully evaluated and transformed its pipeline to place a stronger emphasis on product candidates that can maximize returns for shareholders and make a clinically meaningful impact for patients. Plus Therapeutics, Inc. plans to create and realize this value by developing drugs for niche and orphan markets, initially in oncology, that address significant unmet or substantially underserved medical needs and that represent global revenue opportunities estimated to be $250 million or more. The Company intends to focus its development activities in ways that can leverage the U.S. FDA's accelerated regulatory pathways and enable the company to apply its in-house expertise in nanoparticle drug design, complex formulation, and drug manufacturing and scale-up. "Our core development concept will be to combine known active pharmaceutical ingredients, or drugs, with new delivery approaches and/or formulations, resulting in innovative therapies with improved safety, efficacy, and/or convenience," said Marc H. Hedrick MD, president and CEO. The Company's initial development focus will be on DocePLUS (formerly ATI-1123) -- a complex, injectable, patented, albumin-stabilized pegylated liposomal docetaxel -- for which a U.S. Phase 1 clinical trial has been completed and published. The Company has previously announced that it has received feedback from the U.S. FDA that a 505(b)(2) new drug application appears to be an acceptable regulatory approach for DocePLUS. Plus Therapeutics intends to submit a Phase 2 clinical trial protocol in Small Cell Lung Cancer patients with platinum-sensitive disease who progressed at least 60 days after initiation of first-line chemotherapy to the U.S. FDA in the second half of 2019. Coinciding with this new focus on DocePLUS, the company has determined that DoxoPLUS (formerly ATI-0918) –- a generic pegylated liposomal doxorubicin -- no longer satisfies the aforementioned development and revenue criteria. As a result, the Company has elected to focus on divesting DoxoPLUS and are currently presenting this opportunity to external parties. To complement and reinforce the new company direction, a new company brand will be established. The Company has created, designed, and launched a new company visual identity, mission, vision, values, website, and social media sites based on the brand promise of 'Delivering More For Patients'. "We took a holistic approach to branding the company under the new Plus Therapeutics name," said Russ Havranek, vice president, marketing and portfolio management. "We believe that Plus Therapeutics will clearly align, drive, and navigate the business forward, ultimately helping patients who are battling cancer and other life-threatening diseases." The Company has reserved a new stock symbol, PSTV, and plans to submit notice of the company name change to the Nasdaq Stock Exchange. The Company expects to trade under the new symbol within the next few weeks. Until then, the company intends to continue to trade on Nasdaq under its current stock symbol, CYTX. About Cytori Based in San Diego, California, Cytori -- http://www.cytori.com/-- is developing, manufacturing, and commercializing nanoparticle-delivered oncology drugs. Cytori is focused on the liposomal encapsulation of anti-neoplastic chemotherapy agents or other drugs which may enable the effective delivery of the agents to target sites while reducing systemic toxicity and improving pharmacokinetics. Cytori's pipeline consists of ATI-0918 pegylated liposomal doxorubicin hydrochloride for breast cancer, ovarian cancer, multiple myeloma, and Kaposi's sarcoma, a complex/hybrid generic drug, and ATI-1123 patented albumin-stabilized pegylated liposomal docetaxel for multiple solid tumors. Cytori reported a net loss of $12.63 million for the year ended Dec. 31, 2018 compared to a net loss of $22.68 million for the year ended Dec. 31, 2018. As of March 31, 2019, Cytori had $24.61 million in total assets, $20.75 million in total liabilities, and $3.85 million in total stockholders' equity. BDO USA, LLP, in San Diego, California, the Company's auditor since 2016, issued a "going concern" qualification in its report dated March 29, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that Cytori has suffered recurring losses from operations that raise substantial doubt about its ability to continue as a going concern. DAMINI ENTERPRISES: Case Summary Unsecured Creditor --------------------------------------------------- Debtor: Damini Enterprises, Inc. 2829 Oakwood Boulevard Melvindale, MI 48122 Business Description: Damini Enterprises, Inc. is a privately held company in the traveler accommodation industry. The Company previously sought bankruptcy protection on Nov. 10, 2013 (Bankr. E.D. Mich. Case No. 13-60548). Chapter 11 Petition Date: July 16, 2019 Court: United States Bankruptcy Court Eastern District of Michigan (Detroit) Case No.: 19-50370 Judge: Hon. Marci B. McIvor Debtor's Counsel: Jeffrey S. Grasl, Esq. GRASL PLC 31800 Northwestern Hwy., Suite 350 Farmington Hills, MI 48334 Tel: (248) 385-2980 Email: jeff@graslplc.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Nareshkumar Patel, manager. The Debtor lists Quast Janke & Company as its sole unsecured creditor holding a claim of $710. A full-text copy of the petition is available for free at: http://bankrupt.com/misc/mieb19-50370.pdf DAVID & SUKI: U.S. Trustee Objects to Proposed Plan Outline ----------------------------------------------------------- John P. Fitzgerald, III, Acting United States Trustee for Region 4, filed a response to David & Suki, Inc.'s disclosure statement. The Trustee complains that the Disclosure Statement does not discuss the absolute priority rule or the new value exception. Section 1129(b)(2)(B) of the Code provides, with respect to a class of unsecured claims, that to be fair and equitable, a plan must either provide that each unsecured creditor will receive property of a value, as of the effective date of the plan, equal to the allowed amount of such claim or, if such class of unsecured claims is not being paid in full (which is the case here) any claim or interest that is junior (the two shareholders) is not receiving any property. Courts recognize an exception to the absolute priority rule where there is a fresh contribution of capital (which is not the case here). In this case, there is only one class of unsecured creditors. The absolute priority rule will not apply if the class votes to accept the plan of reorganization. However, the "adequate information" standard requires that the Disclosure Statement inform the Class 2 creditors of the absolute priority rule and the new value exception. A copy of the Trustee's Response is available at https://tinyurl.com/y44zlem6 from Pacermonitor.com at no charge. The Troubled Company Reporter previously reported that under the plan, the administrative expenses and priority tax claims would be paid in full, and the prepetition creditors holding nonpriority unsecured claims would share pro rata in periodic distributions totaling $240,000 for a return of approximately 8% on account of the allowed amount of their claims. A copy of the Disclosure Statement is available at https://tinyurl.com/y3ttvec3 from Pacermonitor.com at no charge. About David & Suki David & Suki, Inc. is a privately-held company whose principal place of business is located at 5863 N. Washington Blvd. Arlington, Virginia. David & Suki sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Va. Case No. 18-11631) on May 4, 2018. In the petition signed by David A. Hicks, president, the Debtor estimated assets of less than $50,000 and liabilities of $1 million to $10 million. Judge Klinette H. Kindred presides over the case. The Debtor hired Tyler, Bartl & Ramsdell, PLC as its legal counsel; and the Law Office of William B. Lawson, P.C., as special counsel. DDS 2019: Serralles to Get $1-Mil. Under New Plan ------------------------------------------------- DDS 2019, LLC, f/k/a Death's Door Spirits, LLC, and DDD 2019, LLC, f/k/a Death's Door Distillery, LLC, filed a Joint Combined Disclosure Statement and First Amended Plan of Reorganization. Class 4 (Unsecured Claim of Serralles USA, LLC) are impaired. Class 4 consists of the Allowed Unsecured Claim of Serralles USA, LLC, filed against DDS in the aggregate amount of $5,135,913.31. The assets remaining in DDS after payment of Class 3 Claims will be insufficient to pay the Allowed Class 4 Claim in full. Class 4 will receive payment of $1,000,000 within fourteen (14) days of the Effective Date. Class 1 (Unsecured Claims of DDD) are impaired. Class 1 consists of the Allowed Unsecured Claims of DDD as listed on Schedule II. All Allowed Class 1 Claims will be paid in full within fourteen (14) days of the Effective Date. Class 2 (Equity in DDD) are impaired. Class 2 consists of the interest of DDS, the holder of the equity interest in DDD. On the Effective Date, DDD will distribute all assets remaining in DDD, including cash and any other remaining assets not yet liquidated, to DDS except for Disputed Claims Escrow. DDD will distribute any funds remaining in the Disputed Claims Escrow to DDS within five (5) days of payment of the last Class 1 Claim that becomes an Allowed claim, or within five (5) days of the entry of an order disallowing the last Class 1 Claim, as applicable. DDS shall retain its equity interests in DDD. Class 3 (Non-lnsider Unsecured Claims of DDS) are impaired. Class 3 consists of the Allowed Non-lnsider Unsecured Claims of DDS as listed on Schedule II. All Allowed Class 3 Claims will be paid in full within fourteen (14) days of the Effective Date. All Class 3 Claims will be Allowed Claims on the Effective Date. Class 3 will receive no interest on their claims. Class 5 Claim: Class 5 consists of the equity interests in DDS. Equity will retain all equity interests in DDS post-confirmation. Class 5 is not impaired. Assets to Fund the Plan. The list of assets to be used to pay Allowed Claims is attached hereto as Schedule V II. The list of assets that Debtors anticipate will remain with and vest in the Debtors post-confirmation is attached hereto as Schedule V II. A full-text copy of the Disclosure Statement dated July 11, 2019, is available at https://tinyurl.com/y5t42b33 from PacerMonitor.com at no charge. About Death's Door Spirits Death's Door Spirits, LLC and Death's Door Distillery, LLC, produce and supply vodka, gin, white whiskey, peppermint schnapps, and dessert liquor. They market and sell their products through retailers and online. Death's Door Spirits and Death's Door Distillery sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Wis. Case Nos. 18-13912 and 18-13915) on Nov. 21, 2018. At the time of the filing, Death's Door Distillery estimated assets of $1 million to $10 million and liabilities of $1 million to $10 million. Death's Door Spirits estimated less than $1 million in assets and $1 million to $10 million in liabilities. The Debtors tapped DeMarb Brophy LLC as their legal counsel. DK ENTERPRISES: Case Summary & 8 Unsecured Creditors ---------------------------------------------------- Three affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- DK Enterprises of GA, Inc. (Lead Case) 19-21389 3085 Wills Mill Way Cumming, GA 30041 DK Enterprises of Cumming 141, LLC 19-21390 DK Enterprises of Roswell, LLC 19-21391 Business Description: DK Enterprises is the holder of all of the membership interests in four separate single purpose limited liability companies that operate as Atlanta Bread Company franchisees, including DK 141 and DK Roswell. DK 141 operates an Atlanta Bread Company franchise located in The Collections at Forsyth, 141 Peachtree Parkway, Suite 116, Cumming, GA. DK Roswell operates an Atlanta Bread Company franchise located at Stonebridge Square Shopping Center, 640 West Crossville Road, Suite 100, Roswell, GA. The other two locations were operated by DK Enterprises of Cumming, LLC, which operated an Atlanta Bread Company franchise located at the Cumming Marketplace, 908 Buford Road, Cumming, GA, and DK Enterprises of Dunwoody, LLC, which operated an Atlanta Bread Company franchise located at Perimeter Pointe, 1155 Mount Vernon Highway, Suite 1200, Atlanta, GA 30338. DK Cumming and DK Dunwoody have ceased operating and filed petitions under Chapter 7. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Northern District of Georgia (Gainesville) Judge: Hon. James R. Sacca Debtors' Counsel: G. Frank Nason, IV, Esq. LAMBERTH, CIFELLI, ELLIS & NASON, P.A. 1117 Perimeter Center West Suite N313 Atlanta, GA 30338-5456 Tel: (404) 262-7373 Fax: (770) 804-9561 Email: fnason@lcenlaw.com DK Enterprises of GA's Estimated Assets: $50,000 to $100,000 DK Enterprises of GA's Estimated Liabilities: $1 million to $10 million The petition was signed by Dean Ditmar, president. A full-text copy of DK Enterprises of GA's petition containing, among other items, a list of the Debtor's eight unsecured creditors is available for free at: http://bankrupt.com/misc/ganb19-21389.pdf DORIAN LPG: BW Group Lowers Stake to 11.9% as of July 15 -------------------------------------------------------- In a Schedule 13D/A filed with the U.S. Securities and Exchange Commission, each of Sohmen Family Foundation and BW Group Limited disclosed that it may be deemed to be the beneficial owner of, and may be deemed to have shared voting and dispositive power over, 6,568,972 common shares of Dorian LPG Ltd. as of July 15, 2019, which represents 11.9% of the total outstanding Common Shares. This percentage is based on 55,167,708 Common Shares outstanding as of May 24, 2019, according to the 2019 10-K. As of July 15, 2019, BW Euroholdings Limited may be deemed to be the beneficial owner of, and may be deemed to have shared voting and dispositive power over, 6,568,872 Common Shares, which represents 11.9% of the total outstanding Common Shares. As of July 15, 2019, BW LPG Limited and BW LPG Holding Limited may be deemed to be the beneficial owner of, and may be deemed to have shared voting and dispositive power over, 100 Common Shares, which represents 0.0% of the total outstanding Common Shares. Other than the sales of an aggregate of 1,257,588 Common Shares by Euroholdings from June 26, 2019 through July 11, 2019, no transactions in Common Shares were effected during the past 60 days by the Reporting Persons. A full-text copy of the regulatory filing is available for free at: https://is.gd/zWQrSm About Dorian LPG Stamford, Connecticut-based Dorian LPG Ltd. -- http://www.dorianlpg.com/-- is a liquefied petroleum gas shipping company and an owner and operator of modern very large gas carriers. Dorian LPG's fleet currently consists of twenty-three modern VLGCs. Dorian LPG has offices in Stamford, Connecticut, USA; London, United Kingdom; Copenhagen, Denmark; and Athens, Greece. Dorian LPG reported a net loss of $50.94 million the year ended March 31, 2019, a net loss of $20.40 million for the year ended March 31, 2018, and a net loss of $1.44 million for the year ended March 31, 2017. As of March 31, 2019, Dorian LPG had $1.62 billion in total assets, $712.68 million in total liabilities, and $912.68 million in total shareholders' equity. ESTEP CONSTRUCTION: U.S. Trustee Unable to Appoint Committee ------------------------------------------------------------ The U.S. Trustee, until further notice, will not appoint an official committee of unsecured creditors in the Chapter 11 case of Estep Construction, Inc., according to court dockets. About Estep Construction Inc. Established 1995, Estep Construction, Inc. -- https://estepconstruction.com -- is a general contractor in Apopka, Fla. Estep Construction sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 19-03112) on May 10, 2019. At the time of the filing, the Debtor had estimated assets of less than $50,000 and liabilities of between $1 million and $10 million. The case is assigned to Judge Cynthia C. Jackson. The Bill Porter Law Firm is the Debtor's bankruptcy counsel. EYEPOINT PHARMACEUTICALS: Appoints Wendy DiCicco as Director ------------------------------------------------------------ EyePoint Pharmaceuticals, Inc. has appointed Wendy DiCicco, CPA, to the Company's Board of Directors and Audit Committee, where she will serve as Chair of the Committee. Ms. DiCicco is a highly experienced and proven financial executive with extensive experience in the healthcare and biotechnology industries. She most recently was chief operating and financial officer of Centinel Spine, a privately-held designer, developer and worldwide distributor of spinal implants, where she established the Company's international operations, and was instrumental in both the recapitalization of the Company with $132.5 million in equity and debt and in corporate development initiatives resulting in the purchase of the ProDisc spinal product and its commercialization in 20 countries. "Wendy has had a highly successful career as a C-suite executive leading financial and operational organizations at numerous global, commercial-stage healthcare companies," said Goran Ando, M.D., Chairman of the Board of Directors of EyePoint Pharmaceuticals. "We will greatly benefit from Wendy's extensive strategic and financial expertise as we continue to expand our commercial launch efforts for our two ophthalmic products for ocular diseases. The entire Board and management team are delighted to welcome Wendy to EyePoint." "EyePoint is at a transformative stage as they execute on two parallel commercial launches of products that have the potential to address serious unmet needs in ocular diseases," commented Ms. DiCicco. "I am honored to join the Board of Directors and help support the Company through this new period of commercial and operational growth." Ms. DiCicco currently serves on the Board of Directors of Carmell Therapeutics, a private biotechnology company producing plasma-based bioactive materials for accelerated healing in bone and connective tissue injuries, and is a financial, executive and board advisory consultant for several emerging growth companies. She previously served as president and chief operating officer of Camber Spine Technologies where she significantly expanded the Company's operations, infrastructure and commercial organization. Prior to Camber Spine, she held several chief financial officer roles at Nuron Biotech, Quench USA, Globus Medical and Kensey Nash Corporation. Her career started in public accounting at Deloitte & Touche. Ms. DiCicco received a B.S. in accounting from Philadelphia College of Textiles and Science and is a licensed CPA. She is also an appointed Board Leadership Fellow and Corporate Governance Fellow of the National Association of Corporate Directors (NACD). About EyePoint Pharmaceuticals EyePoint Pharmaceuticals, formerly pSivida Corp. -- http://www.eyepointpharma.com-- headquartered in Watertown, MA, is a specialty biopharmaceutical company committed to developing and commercializing innovative ophthalmic products in indications with high unmet medical need to help improve the lives of patients with serious eye disorders. With the approval by the FDA on Oct. 12, 2018 of the YUTIQ three-year treatment of chronic non-infectious uveitis affecting the posterior segment of the eye (NIPU), the Company has developed the majority of the FDA-approved sustained-release treatments for eye diseases. The Company reported a net loss of $44.72 million for the six months ended Dec. 31, 2018. For the year ended June 30, 2018, the Company reported a net loss of $53.17 million, compared to a net loss of $18.48 million for the year ended June 30, 2017. As of March 31, 2019, the Company had $81.85 million in total assets, $61.97 million in total liabilities, and $19.87 million in total stockholders' equity. Deloitte & Touche LLP, in Boston, Massachusetts, the Company's auditor since 2008, issued a "going concern" opinion in its report on the consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company's limited currently available cash, cash equivalents and available borrowings, together with its history of losses, and the uncertainty in timing of cash receipts from its newly launched products raise substantial doubt about the Company's ability to continue as a going concern. FEH INC: S&P Alters Outlook to Negative on Continued Outflows ------------------------------------------------------------- S&P Global Ratings revised its outlook on FEH Inc. to negative from stable. At the same time, S&P affirmed its 'BB+' issuer credit and senior secured debt ratings. The rating agency revised the recovery rating on the debt issues to '4', indicating its expectation for an average (40%) recovery in the event of a default, from '3'. FEH's AUM experienced a higher degree of volatility during the last 15 months ending in March 2019 as the company displayed a significant amount of net outflows while markets fluctuated meaningfully during the same period. Since the end of 2017, the company exhibited net outflows in each of the five quarters up to March 2019, totaling almost $14 billion in lost AUM while average AUM went from $119.5 billion to $103.4 billion (bottoming at $100 billion during January 2019 amid market volatility). S&P said, "The negative outlook reflects our expectation that the company's organic growth will continue to be pressured during the next 12 months while AUM remains concentrated in the global value strategy and leverage remains close to 3.0x. "We could lower the rating if the company exhibits net outflows or modest investment performance while the AUM base remains concentrated. Alternatively, we could lower the ratings if leverage rises above 4x as a result of lower cash flow generation, further debt issuances, or a combination of them. "We do not anticipate raising the ratings in the next 12 months. That said, we could revise the outlook to stable if the company exhibits meaningful organic growth and good investment performance while operating with leverage below 3x." FOOTHILLS EXPLORATION: Secures $236,250 in Convertible Loan ----------------------------------------------------------- Foothills Exploration, Inc. closed on a convertible redeemable loan transaction with an unaffiliated lending entity in the principal amount of $236,250, before giving effect to certain transactional costs including legal fees yielding a net of $236,250. The Holder is entitled, at its option, at any time after the 180th daily anniversary of the Note, to convert all or any amount of the principal face amount of this Note then outstanding into shares of the Company's common stock at a price for each share of Common Stock equal to 55% of the lowest trading price of the Common Stock as reported on the National Quotations Bureau OTC Marketplace exchange which the Company's shares are traded or any exchange upon which the Common Stock may be traded in the future, for the 20 prior trading days including the day upon which a Notice of Conversion is received by the Company or its transfer agent (provided such Notice of Conversion is delivered by fax or other electronic method of communication to the Company or its transfer agent after 4 p.m. Eastern Standard or Daylight Savings Time if the Holder wishes to include the same day closing price). Interest on any unpaid principal balance of this Note will be paid at the rate of 12% per annum. Interest will be paid by the Company in Common Stock. Holder may, at any time, after the 180th daily anniversary of the Note, send in a Notice of Conversion to the Company for Interest Shares based on the formula described above. The dollar amount converted into Interest Shares will be all or a portion of the accrued interest calculated on the unpaid principal balance of this Note to the date of such notice. The maturity date for this Note is July 11, 2020, and is the date upon which the principal sum, as well as any accrued and unpaid interest, will be due and payable. This Note may be prepaid or assigned with the following penalties/premiums: (i) during the initial 60 calendar day period after the issuance of the Note, by making a payment to the Holder of an amount in cash equal to 125% multiplied by the principal, plus accrued interest; (ii) during the 61st through 120th calendar day period after the issuance of the Note, by making a payment to the Holder of an amount in cash equal to 135% multiplied by principal, plus accrued interest; (iii) during the 121st through 180th calendar day period after the issuance of the Note, by making a payment to the Holder of an amount in cash equal to 145% multiplied by principal, plus accrued interest. The Company may not prepay any amount outstanding under this Note after the 180th calendar day after the issuance of the Note. Any amount of principal or interest due pursuant to this Note, which is not paid by the Maturity Date, will bear interest at the rate of the lesser of (i) 24% per annum or (ii) the maximum amount permitted by law from the due date thereof until the same is paid. If this Note is not paid by the Maturity Date, the outstanding principal due under this Note will increase by 10%. Interest will commence accruing on the date the Note is fully paid and will be computed on the basis of a 360-day year and the actual number of days elapsed. Net proceeds obtained in this transaction will be used to retire two convertible notes with existing lenders and for general corporate and working capital purposes. No broker-dealer or placement agent was retained or involved in this transaction. About Foothills Exploration Foothills Exploration, Inc. -- http://www.foothillspetro.com/-- is a growth stage oil and gas exploration and production company with a focus in the acquisition and development of undervalued and underdeveloped properties. The Company's assets are located across well-established plays in the U.S. Rocky Mountain region. Foothills Exploration incurred a net loss of $6.58 million in 2018 following a net loss of $6.49 million in 2017. As of March 31, 2019, the Company had $14.15 million in total assets, $24.44 million in total liabilities, and a total stockholders' deficit of $10.28 million. RBSM LLP, in Henderson, Nevada, the Company's auditor since 2015, issued a "going concern" opinion in its report dated April 16, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has an accumulated deficit, recurring losses, and expects continuing future losses, and has stated that substantial doubt exists about the Company's ability to continue as a going concern. FULL X TECH: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------- Debtor: Full X Tech, Corp. 9931 N.W. 10th Terrace Miami, FL 33172 Business Description: Full X Tech, Corp. is a privately owned company in Miami, Florida, that wholesales computers, computer equipment, cellphones, telephones, network devices, and printers. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Southern District of Florida (Miami) Case No.: 19-19461 Judge: Hon. Robert A. Mark Debtor's Counsel: Ariel Sagre, Esq. SAGRE LAW FIRM, P.A. 5201 Blue Lagoon Drive, Suite 892 Miami, FL 33126 Tel: 305-266-5999 Fax: 305-265-6223 Email: law@sagrelawfirm.com Estimated Assets: $500,000 to $1 million Estimated Liabilities: $1 million to $10 million The petition was signed by Cristhian Villagomez, president. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at: http://bankrupt.com/misc/flsb19-19461.pdf GATHERING PLACE: Unsecureds to Recover 100% in Latest Plan ---------------------------------------------------------- The Gathering Place of Columbus filed a small business amended disclosure statement for its first amended plan of reorganization dated July 12, 2019. This first amended plan modifies the treatment of the general unsecured claims in Class 9. Holders of allowed non-priority unsecured claims in Class 9 will receive an aggregate amount equal to 100% of their claims. Payments will be made quarterly over a four-year period on the following schedule, with the first payment being made in January 2020: Year Payment Per Quarter Total 2020 $1,000 $4,000 2021 $3,000 $12,000 2022 $3,000 $12,000 2023 $4,500 $18,000 To the extent that the $4,500 payment due in October 2023 will not be sufficient to pay any remaining balance owed to the holders under this Class, the Debtor will make one additional quarterly payment on or before the end of January 2024 for any remaining amount due. If any payment to a creditor in a given quarter would be less than $5.00, the Debtor is authorized to hold that payment until the next quarter and pay both installments at the same time. A copy of the Amended Disclosure Statement dated July 12, 2019 is available at https://tinyurl.com/y37z8n2s from Pacermonitor.com at no charge. A copy of the First Amended Plan is available at https://tinyurl.com/y4jot94w from Pacermonitor.com at no charge. About The Gathering Place of Columbus The Gathering Place of Columbus is an Ohio non-profit 501(c)(3) religious organization serving the Columbus area, operating out its church facility located at 3550 E. Deshler Ave., Columbus, OH 43227. It was founded in May of 1993, as an Ohio non-profit corporation then known as Romans Church of God of the Apostolic Faith, Inc. Effective Jan. 1, 2014, the organization merged with another Ohio non-profit corporation called The Gathering Place of Columbus. The Gathering Place of Columbus sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Ohio Case No. 18-55347) on August 24, 2018. At the time of the filing, the Debtor estimated assets of $1 million and liabilities of $1 million. Judge C. Kathryn Preston presides over the case. GRASSO BROS: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------- Debtor: Grasso Bros. Land Company, Inc. dba M & J Land Company, Inc. 3515 Union Road St. Louis, MO 63125 Business Description: Grasso Bros. Land Company, Inc. is a privately held real estate developer in St. Louis, Missouri. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Eastern District of Missouri (St. Louis) Case No.: 19-44433 Judge: Hon. Barry S. Schermer Debtor's Counsel: John Talbot Sant, Jr., Esq. AFFINITY LAW GROUP, LLC 1610 Des Peres Road, Suite 100 St. Louis, MO 63131 Tel: (314) 872-3333 Email: tsant@affinitylawgrp.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Mary Grasso, president. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at: http://bankrupt.com/misc/moeb19-44433_creditors.pdf A full-text copy of the petition is available for free at: http://bankrupt.com/misc/moeb19-44433.pdf GREEN GROUP: Objects to Florida Funding-Proposed Plan Disclosures ----------------------------------------------------------------- Green Group 11 LLC objects to the approval of disclosure statement explaining the Chapter 11 Plan proposed by Florida Corporate Funding, Inc., for the Debtor. Green Group points out that the Disclosure Statement does not set forth any of the background, which, among other things, is extremely relevant to FCF's ownership of the 850 Greene Property because the proceeds of the sale of the 850 Greene Property are property of the Debtor's estate (which may provide additional funds to the Debtor's estate) and does not set forth the reasons why FCF is entitled to any distribution whatsoever. Green Group further points out that FCF is required to describe litigation in which it is involved if such litigation will have a material effect on its Plan, but fails adequately describe either its state court litigation, which is on appeal, or its objection to Claims 7 and 9. Green Group complains that FCF is a creditor of Zizi, not a creditor of the Debtor, it asserts a judgment lien against the 220 Greene Property, and asserts ownership of the 850 Green Property as a result of the Sheriff's sale, by asserting rights against the entire value of the 220 Greene Property, it ignores the Debtor's rights to the sale proceeds of 850 Greene. About Green Group 11 Green Group 11 LLC is the owner and operator of a grocery store located at 220 Greene Avenue Brooklyn, NY 11238. Green Group 11 LLC, based in Brooklyn, NY, filed a Chapter 11 petition (Bankr. E.D.N.Y. Case No. 19-40115) on Jan. 8, 2019. The Hon. Nancy Hershey Lord oversees the case. Ira R. Abel, Esq., at the Law Office of Ira R. Abel, serves as bankruptcy counsel. In the petition signed by Michael Kandhorov, manager, the Debtor estimated $6,000 in assets and $1,895,562 in liabilities. GREENSTREET LLC: Case Summary & Largest Unsecured Creditors ----------------------------------------------------------- Three affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Greenstreet LLC (Lead Case) 19-12654 910 Boylston Ave. Seattle, WA 98104 First Hill Partners LLC 19-12655 910 Boylston Ave. Seattle, WA 98104 East Hill Summit LLC 19-12656 910 Boylston Ave. Seattle, WA 98104 Business Description: The Debtors are three affiliates that collectively own real estate and conduct activities. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Western District of Washington (Seattle) Judges: Hon. Christopher M. Alston (19-12654 and 19-12656) Hon. Marc Barreca (19-12655) Debtors' Counsel: Thomas A. Buford, Esq. BUSH KORNFELD LLP 601 Union St, Ste 5000 Seattle, WA 98101 Tel: 206-292-2110 Email: tbuford@bskd.com - and - James L. Day, Esq. BUSH KORNFELD LLP 601 Union St Ste 5000 Seattle, WA 98101 Tel: 206-292-2110 Email: jday@bskd.com Greenstreet LLC's Estimated Assets: $1 million to $10 million Greenstreet LLC's Estimated Liabilities: $500,000 to $1 million First Hill Partners' Estimated Assets: $1 million to $10 million First Hill Partners' Estimated Liabilities: $1 million to $10 million East Hill Summit's Estimated Assets: $1 million to $10 million East Hill Summit's Estimated Liabilities: $1 million to $10 million The petitions were signed by Alan B. Clark, manager. A full-text copy of the petition containing, among other items, a list of the Debtor's 10 unsecured creditors is available for free at: http://bankrupt.com/misc/wawb19-12654.pdf A full-text copy of the petition containing, among other items, a list of the Debtor's 13 unsecured creditors is available for free at: http://bankrupt.com/misc/wawb19-12655.pdf A full-text copy of the petition containing, among other items, a list of the Debtor's 13 unsecured creditors is available for free at: http://bankrupt.com/misc/wawb19-12656.pdf H2D MOTORCYCLE: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Two affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- H2D Motorcycle Ventures, LLC 19-26914 1925 S. Moorland Road New Berlin, WI 53151 JHD Holdings, Inc. 19-26915 3223 N. Pontiac Drive Janesville, WI 53545 Business Description: H2D Motorcycle and JHD Holdings are privately owned companies that offer new and pre-owned motorcycles. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Eastern District of Wisconsin (Milwaukee) Judge: Hon. Beth E. Hanan Debtors' Counsel: Robert L. Rattet, Esq. RATTET PLLC 202 Mamaroneck Avenue, Suite 300 White Plains, NY 10601 Tel: 914-381-7400 Fax: 914-381-7406 Email: jpasternak@rattetlaw.com rrattet@rattetlaw.com H2D Motorcycle's Total Assets: $5,698,014 H2D Motorcycle's Total Liabilities: $5,803,573 JHD Holdings' Total Assets: $4,384,528 JHD Holdings' Total Liabilities: $7,244,391 The petitions were signed by Eric Pomeroy, CEO. A full-text copy of H2D Motorcycle's petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at: http://bankrupt.com/misc/wieb19-26914.pdf A full-text copy of JHD Holdings' petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at: http://bankrupt.com/misc/wieb19-26915.pdf HOVNANIAN ENTERPRISES: Receives Noncompliance Notice from NYSE -------------------------------------------------------------- Hovnanian Enterprises, Inc. received written notification from the New York Stock Exchange that the Company is not in compliance with the continued listing standard set forth in Section 802.01B of the NYSE's Listed Company Manual because Hovnanian's average global market capitalization was less than $50 million over a consecutive 30 trading-day period and its most recently reported stockholders’ equity was also less than $50 million. As set forth in the Notice, as of July 11, 2019, Hovnanian's 30 trading-day average global market capitalization was approximately $49.5 million. In accordance with the NYSE rules, the Company intends to notify the NYSE within 10 business days of receipt of the Notice that it intends to submit a plan within 45 days from receipt of the Notice advising the NYSE of definitive action the Company has taken, or is taking, which would bring the Company into conformity with the NYSE's continued listed standards within 18 months of receipt of the Notice. The NYSE will review the Plan and, within 45 days of its receipt, determine whether the Company has made a reasonable demonstration of an ability to come into conformity with Section 802.01B in the 18-month cure period. If the NYSE accepts the Plan, Hovnanian's Class A common stock will continue to be listed and traded on the NYSE during the 18-month cure period, subject to the Company's compliance with other continued listing standards, and the Company will be subject to quarterly monitoring by the NYSE for compliance with the Plan. The Notice has no immediate impact on the listing of Hovnanian's Class A common stock, which will continue to trade on the NYSE during the applicable cure period, subject to the Company's compliance with the other listing requirements of the NYSE. The Notice does not affect the ongoing business operations of Hovnanian, compliance with its debt instruments or its reporting requirements under the rules and regulations of the SEC. About Hovnanian Enterprises Hovnanian Enterprises, Inc., founded in 1959 by Kevork S. Hovnanian and headquartered in Matawan, New Jersey, designs, constructs, markets, and sells single-family detached homes, attached townhomes and condominiums, urban infill, and active lifestyle homes in planned residential developments. The Company is a homebuilder with operations in Arizona, California, Delaware, Florida, Georgia, Illinois, Maryland, New Jersey, Ohio, Pennsylvania, South Carolina, Texas, Virginia, Washington, D.C. and West Virginia. The Company's homes are marketed and sold under the trade names K. Hovnanian Homes, Brighton Homes. Hovnanian Enterprises reported net income of $4.52 million for the year ended Oct. 31, 2018, compared to a net loss of $332.2 million for the year ended Oct. 31, 2017. As of April 30, 2019, Hovnanian had $1.75 billion in total assets, $2.23 billion in total liabilities, and a total deficit of $484.47 million. * * * In July 2018, S&P Global Ratings raised its corporate credit rating on Red Bank, N.J.-based Hovnanian Enterprises to 'CCC+' from 'CC'. The rating outlook is negative. S&P said "The upgrade of Hovnanian reflects the conclusion of the proposed exchange offering for any and all of its $440 million 10% senior secured notes and $400 million 10.5% senior secured notes." In August 2018, Moody's Investors Service affirmed Hovnanian Enterprises' ratings, including its 'Caa1' Corporate Family Rating. Moody's said the rating action reflects Moody's view that the controversy surrounding the company's financing with interest payment restrictions and related derivatives market considerations appears to have been resolved and risks of potential near-term default events have somewhat subsided. In January 2019, Fitch Ratings affirmed the ratings of Hovnanian Enterprises, including the company's Issuer Default Rating, at 'CCC'. Fitch said HOV's rating is influenced by the company's execution of its business model, land policies, and geographic, price point and product line diversity. INSIGHT TERMINAL: Case Summary & 11 Unsecured Creditors ------------------------------------------------------- Two affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Insight Terminal Solutions, LLC 19-32231 fka Insight Energy Solutions, LLC 6100 Dutchmans Lane, 9th Floor Louisville, KY 40205-3284 Insight Terminal Holdings, LLC 19-32232 6100 Dutchmans Lane, 9th Floor Louisville, KY 40205 Business Description: Insight Terminal Solutions -- http://insightterminals.com-- is an Oakland, CA-based company that provides terminal and stevedoring services at the Oakland Bulk and Oversized Terminal (OBOT) for a variety of bulk agriculture and mineral commodities. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Western District of Kentucky (Louisville) Judges: Hon. Joan A. Lloyd (19-32231) Hon. Alan C. Stout (19-32232) Debtors' Counsel: Andrew David Stosberg, Esq. MIDDLETON REUTLINGER 401 South Fourth Street, Suite 2600 Louisville, Ky 40202 Tel: 502-625-2734 Fax: 502-588-1944 Email: astosberg@middletonlaw.com Insight Terminal Solutions' Estimated Assets: $1 million to $10 million Insight Terminal Solutions' Estimated Liabilities: $10 million to $50 million Insight Terminal Holdings' Estimated Assets: $0 to $50,000 Insight Terminal Holdings' Estimated Liabilities: $1 million to $10 million The petitions were signed by John J. Siegel, Jr., manager. A full-text copy of Insight Terminal Solutions' petition containing, among other items, a list of the Debtor's 11 unsecured creditors is available for free at: http://bankrupt.com/misc/kywb19-32231.pdf Insight Terminal Holdings lists Autumn Wind Lending LLC as its sole unsecured creditor holding an unknown amount of claim. A full-text copy of the petition is available for free at: http://bankrupt.com/misc/kywb19-32232.pdf INVERSIONES CARIBE: Condado 2 Objects to Disclosure Statement ------------------------------------------------------------- Secured creditor Condado 2, LLC, objects to disclosure statement explaining the Chapter 11 plan of Inversiones Caribe Delta. Condado points out that the Disclosure Statement in this case does not provide sufficient adequate information that would creditors to make an informed judgment as to the reasonableness of the Plan of Reorganization. Condado further points out that the Disclosure Statement does not inform or take into account the potential scenario where the Objection to Claim is denied and the Debtor has to pay the total amount in Proof of Claim No. 7, which is the main claim in the instant case. Attorneys for Condado: Sonia E. Colon, Esq. Gustavo A. Chico-Barris, Esq. Camille N. Somoza, Esq. PO Box 195168 San Juan, PR 00919-5168 Telephone: (787) 766-7000 Facsimile: (787) 766-7001 Email: scolon@ferraiuoli.com gchico@ferraiuoli.com csomoza@ferraiuoli.com About Inversiones Caribe Inversiones Caribe owns a parcel of land in Dorado, Puerto Rico, which is valued at $6 million, and a commercial property in Ponce, Puerto Rico, which is valued at $1.4 million. Inversiones Caribe Delta filed a Chapter 11 petition (Bankr. D.P.R. Case No. 19-00388) on Jan. 29, 2019. In the petition signed by Carlos F. Muratti, president, the Debtor disclosed $7,415,061 in assets and $3,619,549 in liabilities. The case has been assigned to Judge Brian K. Tester. Carmen D. Conde Torres, Esq., at C. Conde & Assoc., is the Debtor's counsel. The case is jointly administered with the Chapter 11 case of Preserba Compania de Desarrollos, Inc. (Case No. 19-00387). JAGUAR HEALTH: Reduces Merger-Related Debt by $6.1 Million ---------------------------------------------------------- Jaguar Health, Inc. has reduced debt incurred to effect the 2017 merger of Jaguar Animal Health, Inc. and Napo Pharmaceuticals, Inc. from approximately $10.5 million to approximately $4.4 million, thereby strengthening the Company's balance sheet. The Company accomplished this reduction in indebtedness through the issuance of approximately 1,119,440 shares of common stock, at a weighted average price of approximately $5.58 per share, to Chicago Venture Partners L.P. pursuant to exchange agreements entered into between the Company and CVP from May 29, 2019 through July 12, 2019. Following the Merger, which became effective July 31, 2017, Jaguar Animal Health's name changed to Jaguar Health, Inc. and Napo Pharmaceuticals, Inc. began operating as a wholly-owned subsidiary of Jaguar focused on human health and the ongoing commercialization of, and development of follow-on indications for, Mytesi (crofelemer), the Company's FDA-approved drug product indicated for the symptomatic relief of noninfectious diarrhea in adults with HIV/AIDS on antiretroviral therapy. "We are pleased about this further reduction of the Company's liabilities as we continue to focus on our planned clinical and commercial milestones and value recognition for our important assets and pipeline opportunities, which include our commercial product, Mytesi, launched directly into the specialty market for people living with HIV/AIDS, and our deep pipeline of potential follow-on opportunities for this first-in-class anti-secretory agent, crofelemer," Lisa Conte, president and chief executive officer of Jaguar, stated. As announced June 3, 2019, the Company has received a one-year extension on the Original Debt, which was previously scheduled to mature on Dec. 31, 2019. The extension of the maturity date was part of a larger restructuring of the Original Debt following the acquisition of the Original Debt by CVP. As consideration for such restructuring, which included among other things the extension of the maturity date by means of an exchange of the Original Debt for new secured debt with a maturity date of Dec. 31, 2020, Jaguar paid CVP a fee of approximately $2.3 million in the form of additional debt. The Additional Debt is not included in the Original Debt. As Jaguar announced May 29, 2019, the Company recently extinguished all of the approximately $6.4 million in secured promissory notes that were outstanding as of Dec. 31, 2018, which notes the Company originally issued to CVP in July 2017 through March 2018. About Jaguar Health Jaguar Health, Inc. -- http://www.jaguar.health/-- is a commercial stage pharmaceuticals company focused on developing novel, sustainably derived gastrointestinal products on a global basis. Its wholly-owned subsidiary, Napo Pharmaceuticals, Inc., focuses on developing and commercializing proprietary human gastrointestinal pharmaceuticals for the global marketplace from plants used traditionally in rainforest areas. Jaguar Health's principal executive offices are located in San Francisco, California. Jaguar Health reported a net loss of $32.14 million for the year ended Dec. 31, 2018, compared to a net loss of $21.96 million for the year ended Dec. 31, 2017. As of March 31, 2019, Jaguar Health had $40.66 million in total assets, $24.86 million in total liabilities, $9 million in series A convertible preferred stock, and $6.79 million in total stockholders' equity. BDO USA, LLP, in San Francisco, California, the Company's auditor since 2013, issued a "going concern" opinion in its report dated April 10, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has suffered recurring losses from operations and an accumulated deficit that raise substantial doubt about its ability to continue as a going concern. JAGUAR HEALTH: Reduces Merger-Related Debt by $6.1 Million ---------------------------------------------------------- Jaguar Health, Inc. has reduced debt incurred to effect the 2017 merger of Jaguar Animal Health, Inc. and Napo Pharmaceuticals, Inc. from approximately $10.5 million to approximately $4.4 million, thereby strengthening the Company's balance sheet. The Company accomplished this reduction in indebtedness through the issuance of approximately 1,119,440 shares of common stock, at a weighted average price of approximately $5.58 per share, to Chicago Venture Partners L.P. pursuant to exchange agreements entered into between the Company and CVP from May 29, 2019 through July 12, 2019. Following the Merger, which became effective July 31, 2017, Jaguar Animal Health's name changed to Jaguar Health, Inc. and Napo Pharmaceuticals, Inc. began operating as a wholly-owned subsidiary of Jaguar focused on human health and the ongoing commercialization of, and development of follow-on indications for, Mytesi (crofelemer), the Company's FDA-approved drug product indicated for the symptomatic relief of noninfectious diarrhea in adults with HIV/AIDS on antiretroviral therapy. "We are pleased about this further reduction of the Company's liabilities as we continue to focus on our planned clinical and commercial milestones and value recognition for our important assets and pipeline opportunities, which include our commercial product, Mytesi, launched directly into the specialty market for people living with HIV/AIDS, and our deep pipeline of potential follow-on opportunities for this first-in-class anti-secretory agent, crofelemer," Lisa Conte, president and chief executive officer of Jaguar, stated. As announced June 3, 2019, the Company has received a one-year extension on the Original Debt, which was previously scheduled to mature on Dec. 31, 2019. The extension of the maturity date was part of a larger restructuring of the Original Debt following the acquisition of the Original Debt by CVP. As consideration for such restructuring, which included among other things the extension of the maturity date by means of an exchange of the Original Debt for new secured debt with a maturity date of Dec. 31, 2020, Jaguar paid CVP a fee of approximately $2.3 million in the form of additional debt. The Additional Debt is not included in the Original Debt. As Jaguar announced May 29, 2019, the Company recently extinguished all of the approximately $6.4 million in secured promissory notes that were outstanding as of Dec. 31, 2018, which notes the Company originally issued to CVP in July 2017 through March 2018. About Jaguar Health Jaguar Health, Inc. -- http://www.jaguar.health/-- is a commercial stage pharmaceuticals company focused on developing novel, sustainably derived gastrointestinal products on a global basis. Its wholly-owned subsidiary, Napo Pharmaceuticals, Inc., focuses on developing and commercializing proprietary human gastrointestinal pharmaceuticals for the global marketplace from plants used traditionally in rainforest areas. Jaguar Health's principal executive offices are located in San Francisco, California. Jaguar Health reported a net loss of $32.14 million for the year ended Dec. 31, 2018, compared to a net loss of $21.96 million for the year ended Dec. 31, 2017. As of March 31, 2019, Jaguar Health had $40.66 million in total assets, $24.86 million in total liabilities, $9 million in series A convertible preferred stock, and $6.79 million in total stockholders' equity. BDO USA, LLP, in San Francisco, California, the Company's auditor since 2013, issued a "going concern" opinion in its report dated April 10, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has suffered recurring losses from operations and an accumulated deficit that raise substantial doubt about its ability to continue as a going concern. JOERNS WOUNDCO: U.S. Trustee Unable to Appoint Committee -------------------------------------------------------- No official committee of unsecured creditors has been appointed in the Chapter 11 case of Joerns WoundCo Holdings, Inc. as of July 15, according to a court docket. About Joerns WoundCo Holdings Joerns WoundCo Holdings, Inc. -- http://www.joerns.com/-- manufactures, distributes, and services healthcare beds, therapeutic surfaces, patient handling products, and negative pressure wound therapy devices, with a number of brands, including Ultracare XT bed frame and Hoyer lifts. Founded as the Joerns Brothers Furniture Company in 1889, the company entered the healthcare industry in 1960. Joerns and its affiliates have 130 distribution locations and other facilities located throughout the United States. The company is headquartered in Charlotte, N.C. and has approximately 1,100 employees in the United States. Joerns and 12 affiliates each filed petitions seeking voluntary relief under Chapter 11 of the Bankruptcy Code on June 24, 2019. The lead case is In re Joerns WoundCo Holdings, Inc. (D. Del. Lead Case No. 19-11401). The Debtors estimated assets on a consolidated basis of $100 million to $500 million and liabilities of the same range as of the bankruptcy filing. The Debtors tapped White & Case LLP as restructuring counsel; Fox Rothschild LLP as local restructuring counsel; Moelis & Company as investment banker and financial advisor; and Conway Mackenzie, Inc., as restructuring advisor. Epiq Corporate Restructuring, LLC, is the claims and noticing agent. LIT'L PATCH: Case Summary & 16 Unsecured Creditors -------------------------------------------------- Debtor: Lit'l Patch of Heaven Inc. 8330 Clarkson St. Thornton, CO 80229 Business Description: Lit'l Patch of Heaven Inc. owns and operates a senior living facility in Thornton, Colorado. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court District of Colorado (Denver) Case No.: 19-16119 Judge: Hon. Michael E. Romero Debtor's Counsel: Aaron A. Garber, Esq. WADSWORTH GARBER WARNER CONRARDY, P.C. 2580 West Main Street, Suite 200 Littleton, CO 80120 Tel: 303-296-1999 Fax: 303-296-7600 Email: agarber@wgwc-law.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $500,000 to $1 million The petition was signed by Jeff Kraft, CEO. A full-text copy of the petition containing, among other items, a list of the Debtor's 16 unsecured creditors is available for free at: http://bankrupt.com/misc/cob19-16119.pdf LITCHFIELD LASER: Latest Plan Discloses Stipulation with Newton SB ------------------------------------------------------------------ Litchfield Laser Skin Care, LLC filed its second amended disclosure statement in connection with its chapter 11 plan dated July 12, 2019. This latest filing discloses that the Debtor has entered into a stipulation with its creditors, including Newton Savings Bank. The Debtor has entered into a stipulation with Newton SB determining that Newton SB holds an allowed secured claim in the amount of $15,000 and an allowed unsecured claim in the amount of $10,145.32. Newtown SB will receive the value of its secured claim over the course of the Plan, and will retain the lien on its collateral for the full amount of its secured claim. This class will be paid in full, by means of monthly installment payments beginning on the Effective Date within 60 months from the Effective Date. This class will also receive interest at the rate of 2.67% per annum. Such payments will begin on Oct. 1, 2019. Accordingly, the Debtor will make payments to this class in the amount of $ 267.34 per month, from Oct. 1, 2019 through Sept. 30, 2024. The Debtor may elect to pay off this class in full at any time after the Effective Date, with a corresponding abatement of interest. A copy of the Second Amended Disclosure Statement dated July 12, 2019 is available at https://tinyurl.com/y6p2knhs from Pacermonitor.com at no charge. About Litchfield Laser Skin Care Litchfield Laser Skin Care, LLC sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Conn. Case No. 18-50661) on May 25, 2018. In the petition signed by Dr. Elizabeth Galan, owner, the Debtor estimated assets of less than $50,000 and liabilities of $1 million. LOTUS BUSINESS: Case Summary & 4 Unsecured Creditors ---------------------------------------------------- Debtor: Lotus Business L.L.C. dba Triton Stone of Fort Lauderdale 800 NW 65th St Fort Lauderdale, FL 33309-2006 Business Description: Lotus Business L.L.C. is a privately held home improvement company that supplies marble, granite, tile, and natural stone. Chapter 11 Petition Date: July 16, 2019 Court: United States Bankruptcy Court Southern District of Florida (Fort Lauderdale) Case No.: 19-19402 Judge: Hon. John K. Olson Debtor's Counsel: Chad T. Van Horn, Esq. VAN HORN LAW GROUP, P.A. 330 N. Andrews Ave #450 Ft Lauderdale, FL 33301 Tel: 954-765-3166 Fax: 954-756-7103 E-mail: Chad@cvhlawgroup.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Josh Kessler, manager. A copy of the Debtor's list of four unsecured creditors is available for free at: http://bankrupt.com/misc/flsb19-19402_creditors.pdf A full-text copy of the petition is available for free at: http://bankrupt.com/misc/flsb19-19402.pdf LUCEY BOILER: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: Lucey Boiler Company PO Box 3239 Chattanooga, TN 37404 Business Description: Lucey Boiler Company is a privately held company in Chattanooga, Tennessee in the steel fabrication business. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Eastern District of Tennessee (Chattanooga) Case No.: 19-12926 Judge: Hon. Nicholas W. Whittenburg Debtor's Counsel: David J. Fulton, Esq. SCARBOROUGH & FULTON 620 Lindsay Street, Suite 240 Chattanooga, TN 37403 Tel: 423-648-1880 Fax: (423) 648-1881 Email: djf@sfglegal.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Richard Steven Troxler, vice president. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at: http://bankrupt.com/misc/tneb19-12926_creditors.pdf A full-text copy of the petition is available for free at: http://bankrupt.com/misc/tneb19-12926.pdf MANNKIND CORP: Issues Shares in Exchange for $1.6 Million Notes --------------------------------------------------------------- MannKind Corporation and MannKind LLC, the Company's wholly owned subsidiary, entered into an exchange agreement with Deerfield Private Design Fund II, L.P. and Deerfield Private Design International II, L.P. pursuant to which the Company agreed to, among other things, (i) repay $2,420,000 aggregate principal amount under the 9.75% Senior Convertible Notes due 2019 held by Deerfield and pay accrued and unpaid interest on the entire principal amount of the Tranche 4 Notes that had been outstanding, and (ii) issue an aggregate of 1,514,423 shares of the Company's common stock to Deerfield in exchange for $1,574,999 aggregate principal amount of Tranche 4 Notes. The exchange price per Exchange Share is $1.04, which was the closing price of the Company's common stock on July 17, 2019 as reported on the Nasdaq Stock Market. The principal amount being repaid and exchanged under the Tranche 4 Notes represents the principal amount that would have otherwise become due and payable on July 18, 2019 under the Tranche 4 Notes. On July 18, 2019, the Company repurchased for $433,333 a warrant to acquire 3,333,334 shares of the Company's common stock, originally issued to the holder thereof on Dec. 26, 2018. The Warrant had an exercise price of $1.60 per share and an expiration date of Dec. 26, 2019. Following the repurchase of the Warrant, the Warrant was cancelled and is no longer issued and outstanding. About MannKind Corp MannKind Corporation (NASDAQ: MNKD) -- http://www.mannkindcorp.com -- focuses on the development and commercialization of inhaled therapeutic products for patients with diseases such as diabetes and pulmonary arterial hypertension. MannKind is currently commercializing Afrezza (insulin human) Inhalation Powder, the Company's first FDA-approved product and the only inhaled rapid-acting mealtime insulin in the United States, where it is available by prescription from pharmacies nationwide. MannKind is headquartered in Westlake Village, California, and has a state-of-the art manufacturing facility in Danbury, Connecticut. The Company also employs field sales and medical representatives across the United States. MannKind incurred a net loss of $86.97 million in 2018, following a net loss of $117.3 million in 2017. As of March 31, 2019, the Company had $100.96 million in total assets, $288.96 million in total liabilities, and a total stockholders' deficit of $188 million. Deloitte & Touche LLP, in Los Angeles, California, issued a "going concern" qualification in its report dated Feb. 26, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2019, citing that the Company's available cash resources and continuing cash needs raise substantial doubt about its ability to continue as a going concern. MED PARENTCO: Moody's Assigns B3 CFR, Outlook Stable ---------------------------------------------------- Moody's Investors Service assigned a B3 Corporate Family Rating and a B3-PD Probability of Default Rating to MED ParentCo., LP. Concurrently, Moody's assigned B2 ratings to the company's proposed first lien credit facilities and Caa2 ratings to the proposed second lien credit facilities. The outlook is stable. Proceeds from the transaction will be used to fund Goldman Sachs Merchant Banking Division's purchase of MyEyeDr from Altas Partners and Caisse de dépôt et placement du Québec, and pay for fees and expenses associated with the transaction. "The secondary buyout doubles the company's debt load compared to the prior capital structure, bringing pro-forma leverage to 8 times on a lease-adjusted basis," said Moody's analyst Raya Sokolyanska. "While we expect MyEyeDr to continue operating at high leverage levels as a result of its ongoing debt-financed roll-up strategy, the company's solid execution, good liquidity and the optical sector's stability partly mitigate these inherent financial risks," added Sokolyanska. Moody's took the following rating actions for MED ParentCo., LP.: -- Corporate Family Rating, Assigned B3 -- Probability of Default Rating, Assigned B3-PD -- $125 million Gtd. Sr. Secured 1st Lien Revolving Credit Facility expiring 2024, Assigned B2 (LGD3) -- $845 million Gtd. Sr. Secured 1st Lien Term Loan due 2026, Assigned B2 (LGD3) -- $211 million Gtd. Sr. Secured 1st Lien Delayed Draw Term Loan due 2026, Assigned B2 (LGD3) -- $360 million Gtd. Sr. Secured 2nd Lien Term Loan due 2027, Assigned Caa2 (LGD5) -- $90 million Gtd. Sr. Secured 2nd Lien Delayed Draw Term Loan due 2027, Assigned Caa2 (LGD5) -- Stable outlook Following the close of the transaction, all ratings of the prior rated entity CVS Holdings I, LP including the B3 CFR will be withdrawn. RATINGS RATIONALE MyEyeDr's B3 CFR is constrained by the company's small scale and debt-financed growth strategy that is expected to result in continued high leverage. The ratings also incorporate financial policy risks related to private equity ownership, such as debt-financed dividends distributions. Pro-forma for the buyout transaction, Moody's lease-adjusted debt/EBITDA is estimated at 8.0 times for the twelve months ended March 31, 2019, including adjustments for acquisitions expected to close through August 2019. Pro-forma Moody's-adjusted EBITA/interest expense is estimated at 1.3 times. These metrics use standard operating lease adjustments, as well as Moody's EBITDA calculation, which incorporates MyEyeDr's acquisition add-backs but does not add certain credit agreement items that Moody's considers to be normal course of business, such as integration and acquisition expenses. The ratings also incorporate Moody's view that while e-commerce penetration in the optical retail sector will remain low, traditional optical retailers will face margin and market share pressure over time from growing online competition. Nevertheless, the credit profile is supported by the recession-resilient and growing demand for optometrist services and eyewear products due to aging demographics and the growing prevalence of myopia. Further, the company's track record of profitable growth through its roll-up strategy partially mitigates the associated execution risk. Over the next 12-18 months, Moody's projects earnings growth to result in improved credit metrics, including debt/EBITDA of 7.1 times, EBITA/interest expense of 1.4 times, and FCF/ debt of 4 percent. Moody's expects the company to have good liquidity over the next 12-18 months, including modestly positive free cash flow, access to delayed draw facilities to fund acquisitions, solid undrawn revolver availability, a springing-covenant only debt structure and lack of near-term maturities. The stable outlook reflects Moody's expectations for good liquidity and solid earnings growth driven by new office expansion and positive comparable sales. The ratings could be upgraded if financial policies become less aggressive, while the company maintains consistent organic revenue growth, solid EBITDA margins and good liquidity. Quantitatively, the ratings could be upgraded if Moody's-adjusted debt/EBITDA trends towards 7 times including adjustments for the impact of acquisitions, EBITA/interest expense is maintained above 1.5 times, and FCF/debt is maintained above 5%. The ratings could be downgraded if liquidity deteriorates for any reason, including limited revolver availability. More aggressive financial policies, declines in comparable sales performance or lower returns on acquisition spending compared to prior years could also lead to a downgrade. Quantitatively, the ratings could be downgraded if Moody's expects EBITA/interest expense (including pro-forma acquisition adjustments) to be maintained at or below 1 times. The first lien credit facility is expected to include a maximum first lien leverage test of the greater of 8.1x or 35% cushion to the most recent four quarters, with respect to the revolving credit facility only, which will be tested if borrowings exceed 35% of total revolver availability. The first lien credit facility is expected to contain covenant flexibility for transactions that could adversely affect creditors, including incremental facility capacity of at least $161 million, the ability to release a guarantee when a subsidiary is not wholly owned, lack of "blocker" restrictions on collateral leakage through transfer to unrestricted subsidiaries, and step downs in the asset sale prepayment requirement to 50% and 0% if the First Lien Leverage Ratio is equal to or less than 4.75x and 4.25x, respectively. Because optometry practices are not subsidiaries or guarantors but have master service agreements with the borrower, there is also no direct creditor claim on the optometry assets. The EBITDA definition includes add-backs such as (1) uncapped additions of pro-forma run-rate cost savings and synergies related to acquisitions and initiatives; (2) uncapped additions for full annualized estimated benefit from new contracts entered into during any four quarter period; (3) EBITDA from Optometry Affiliation or Optometry Practice Opening expected to be realized within 36 months. The proposed terms and the final terms of the credit agreement can be materially different. The principal methodology used in these ratings was Retail Industry published in May 2018. MONEYONMOBILE INC: Completes $1.5 Million Financing --------------------------------------------------- MoneyOnMobile, Inc. completed on June 30, 2019 a $1,500,000 financing in consideration for the issuance of (i) Senior Secured Notes; and (ii) five year warrants to purchase 69,592,665 shares of Common Stock at an exercise price equal to $0.02158 per share, pursuant to a subscription agreement entered into on various dates starting March 13, 2019 and ending June 30, 2019. The Company will use those proceeds to continue to fund its legal case to regain control of its operations in India. Series H Preferred Stock - Amendment On June 30, 2019, the Company amended its Series H Preferred Stock. The amendment removed the ownership limitation on both voluntary and mandatory beneficial conversions of the Company's Common Stock in the event of a Series H Preferred conversion. This amendment was executed as a result of the Company receiving written consent from the majority of the holders of the Company's Series H Preferred Stock. About MoneyOnMobile MoneyOnMobile, Inc., headquartered in Dallas, Texas -- http://www.money-on-mobile.com/-- is a global mobile payments technology and processing company offering mobile payment services through its Indian subsidiary. MoneyOnMobile enables Indian consumers to use mobile phones to pay for goods and services or transfer funds from one cell phone to another. It can be used as simple SMS text functionality or through the MoneyOnMobile application or internet site. MoneyOnMobile has more than 335,000 retail locations throughout India. MoneyOnMobile reported a net loss of $13.09 million for the year ended March 31, 2017, following a net loss of $19.72 million for the year ended March 31, 2016. The Company's balance sheet at Dec. 31, 2017, showed $27.67 million in total assets, $30.02 million in total liabilities, $1.22 million in preferred stock Series D, $5.70 million in preferred stock Series F, and a total stockholders' deficit of $9.27 million. Liggett & Webb, P.A., in New York, issued a "going concern" opinion in its report on the Company's consolidated financial statements for the year ended March 31, 2017, noting that the Company has experienced recurring operating losses and negative cash flows from operating activities. These conditions raise substantial doubt about the Company's ability to continue as a going concern. MVK INTERMEDIATE: Moody's Assigns B2 CFR, Outlook Stable -------------------------------------------------------- Moody's Investors Service assigned a B2 Corporate Family Rating and a B2-PD Probability of Default Rating to MVK Intermediate Holdings, LLC. Moody's also assigned B2 (ratings to the company's proposed $60 million senior secured first lien revolving credit facility and $335 million first lien senior secured term loan. The outlook is stable. Proceeds from the facilities noted above and a new $340 million first lien term loan at Wawona Farm Company, LLC (not rated by Moody's), together with a significant cash equity investment from private equity firm Paine Schwartz Partners (PSP), and a material equity rollover from Dan Gerawan, will be used to finance the merger of existing PSP portfolio company, Wawona Packing Company LLC, with Gerawan Farming. Proceeds will also be used to refinance existing Wawona Packing Company LLC debt and to pay transaction fees. MVK will be organized into an "OpCo" and "PropCo" structure such that MVK's subsidiary, Wawona Farm Company LLC, will own the farmland and MVK's subsidiary, Wawona Packing Co. LLC ("OpCo"), will own the farming and packaging operations. Moody's assigned the following ratings: MVK Intermediate Holdings, LLC: Corporate Family Rating at B2; Probability of Default at B2-PD; $60 million senior secured first lien revolving credit facility due 2024 at B2 (LGD 4); $335 million senior secured first lien term loan due 2026 at B2 (LGD 4); The outlook is stable. RATINGS RATIONALE The B2 CFR reflects MVK's cash flow volatility due to seasonality of business, relatively small scale, and customer concentration with 46% of sales generated from its top 5 customers. The rating also reflects that MVK will have high financial leverage (Debt/EBITDA) at approximate 5.8x by year-end 2019 after working capital needs subside. That said, Moody's expects leverage to improve to about 5.5x within 12 -18 months, reflecting debt paydown and earnings growth. The rating is also supported by the company's strong position in the US conventional and organic stone fruit market (primarily peaches and nectarines), positive secular trends in organic and healthy living, strong profit margins, good liquidity and solid cash flows. The stable outlook reflects Moody's view that MVK will benefit from positive trends in the stone fruit market and maintain strong margins. The outlook also reflects Moody's view that the company's financial leverage will steadily improve due to debt repayment and earnings growth. The ratings could be downgraded if MVK's operating margin declines, cash flows deteriorate, market share declines, or liquidity weakens. Ratings could also be downgraded if debt to EBITDA is sustained above 5.5 times. The rating could be upgraded if the company successfully integrates the two businesses, improves revenues, and reduces leverage such that debt to EBITDA is sustained below 4.0x. The principal methodology used in these ratings was Protein and Agriculture published in May 2019. Wawona, founded in 1948, is a U.S. grower, packer and supplier of organic and conventional stone fruit products (peaches, nectarines, plums, citrus) located in Cutler, CA. Gerawan Farming, founded in 1938, is a third-generation U.S. grower, packer and supplier of conventional stone fruit products (peaches, nectarines, tree nuts, plums, and citrus) located in Fresno, CA. Wawona and Gerawan generate combined revenue of approximately $350 million per year. Upon close of the transaction, MVK will own over 17,000 acres of farmland in the highly desirable San Joaquin Valley in California, making it the largest stone fruit producing farm in the U.S. NEOVASC INC: Provides Further Update on Reducer Program ------------------------------------------------------- Neovasc Inc. provided a further update on its Neovasc Reducer program for the treatment of refractory angina. As previously announced, following guidance recently received from the FDA, Neovasc intends to seek the FDA's designation of the Reducer as a HUD for CCS Class IV refractory angina patients. If it is possible and if the FDA grants HUD designation for the Reducer for CCS Class IV patients, and if a subsequent HDE application is approved by the FDA as well, Neovasc expects to begin commercializing the Reducer in the U.S. by early 2020. The maximum total U.S. annual addressable market with a Reducer HDE under a CCS Class IV would be limited, by statute, to a maximum number of patients per year in the U.S. with the most severe refractory angina, and is therefore limited to an estimated US$80 million of potential revenue per year. "Should the FDA grant the Class IV HUD designation to the Reducer, we expect to be in a position to offer treatment to those patients with CCS Class IV refractory angina in early 2020," said Fred Colen, CEO of Neovasc. "We view this as a significant market opportunity for Neovasc. Concurrently, we will explore an alternate investigational device exemption clinical study design, in conjunction with our supportive U.S. cardiologists, with the intent of further expanding the patient population to CCS Class III patients and to seek full approval for the CCS Class IV patients over time." There can be no assurance that the HUD or HDE applications that Neovasc plans to file will be approved by the FDA, that the FDA will classify the Reducer for CCS Class IV refractory angina patients as a HUD, or that such applications will be approved on the timelines described above. In the event that the HUD and HDE applications are approved by the FDA, there can be no assurance that Neovasc will be successful in commencing commercialization of the Reducer in the U.S. on the timeline described above or at all, or of the total addressable market size for the Reducer. About Neovasc Inc. Based in Richmond, British Columbia, Neovasc Inc. -- http://www.neovasc.com-- is a specialty medical device company that develops, manufactures and markets products for the rapidly growing cardiovascular marketplace. Its products include the Neovasc Reducer, for the treatment of refractory angina, which is not currently available in the United States and has been available in Europe since 2015, and the Tiara, for the transcatheter treatment of mitral valve disease, which is currently under clinical investigation in the United States, Canada and Europe. Neovasc reported a net loss of US$108.04 for the year ended Dec. 31, 2018, compared to a net loss of US$22.90 million for the year ended Dec. 31, 2017. As of March 31, 2019, Neovasc had US$16.09 million in total assets, US$18.89 million in total liabilities, and a total deficit of US$2.80 million. Grant Thornton LLP, in Vancouver, BC, the Company's auditor since 2002, issued a "going concern" opinion in its report on the Company's consolidated financial statements for the year ended Dec. 31, 2018, stating that the Company incurred a net loss of US$108.04 million during the year ended Dec. 31, 2018, and as of that date, the Company's liabilities exceeded its assets by US$9.67 million. These conditions, along other matters, raise substantial doubt about the Company's ability to continue as a going concern. NEW WAY TRANSPORT: U.S. Trustee Unable to Appoint Committee ----------------------------------------------------------- The U.S. Trustee, until further notice, will not appoint an official committee of unsecured creditors in the Chapter 11 case of New Way Transport, Inc., according to court dockets. About New Way Transport Inc. New Way Transport, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 19-03707) on June 5, 2019. At the time of the filing, the Debtor had estimated assets of less than $50,000 and liabilities of less than $1 million. The case is assigned to Judge Cynthia C. Jackson. Bartolone Law, PLLC is the Debtors bankruptcy counsel. NORTHEAST SOMERSET: Case Summary & 17 Unsecured Creditors --------------------------------------------------------- Debtor: Northeast Somerset LLC 399 Campus Drive Somerset, NJ 08873 Business Description: Northeast Somerset LLC classifies its business as Single Asset Real Estate (as defined in 11 U.S.C. Section 101(51B)). Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court District of New Jersey (Trenton) Case No.: 19-23895 Judge: Hon. Kathryn C. Ferguson Debtor's Counsel: John Joseph LoSordo, Esq. LAW OFFICE OF JOHN J. LOSORDO, ESQ., LLC 58 Village Court Hazlet, NJ 07701 Tel: 732-888-0077 Fax: 732-888-0072 Email: john@jlosordolaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Venkataramana Mannam, managing member. A full-text copy of the petition containing, among other items, a list of the Debtor's 17 unsecured creditors is available for free at: http://bankrupt.com/misc/njb19-23895.pdf NOVABAY PHARMACEUTICALS: Issues Letter to Stockholders ------------------------------------------------------ NovaBay Pharmaceuticals, Inc.'s president and CEO Justin Hall has issued the following letter to stockholders: To My Fellow Stockholders: The second quarter of 2019 was transformative for NovaBay. As we look forward to the third quarter and remainder of 2019, I would like to take a moment to update you on the progress we've made in the first half of the year. NovaBay has made considerable advancements toward our goals of increasing Avenova accessibility and enhancing the patient experience, while maintaining product affordability in an evolving reimbursement environment. To achieve these goals, we have improved the efficiency of both our prescription sales and our buy-and-build channels, and launched a new direct-to-consumer channel on Amazon.com, making prescription-strength Avenova available for the first time without a prescription. I would like to reiterate that with Avenova, NovaBay is selling a terrific product that is widely accepted by medical professionals as well as their patients. All of our current initiatives are designed to accelerate our time to profitability and build upon Avenova's foundation as the leading prescription lid and lash spray. As the only commercially available pure hypochlorous acid formulation, we are confident Avenova is the best product to treat the chronic bacterial infections that affect approximately 85% of all dry eye sufferers. Avenova is free from the bleach impurities found in other hypochlorous products, is soothing to the eye, and is safe and effective for long-term use. Since we launched Avenova in 2014, more than 850,000 prescriptions have been written by more than 15,000 physicians. That said, we have barely tapped the large addressable market for bacterial dry eye. The trend toward higher-deductible health plans has impacted branded prescription drugs industrywide and is challenging our commercial goals. Under our prescription sales strategy, we have made Avenova 40mL continuously available to patients regardless of health insurance coverage for $60 or less through the use of coupons and rebates. Higher deductible health plans have necessitated greater usage of rebates and coupons to maintain Avenova's affordability, however I would like to remind doctors and patients alike that no one should ever pay more than $60 for a 40mL bottle of Avenova at the pharmacy. Through our Partner Pharmacy Program, or through our coupon and rebate program, we guarantee this pricing for every patient. Avenova Direct is the same strength hypochlorous formulation as prescription Avenova in a 20mL size at the affordable price of $29.99 on Amazon.com. In the first quarter of 2019, we were challenged by the costs of maintaining an expanded commercial organization. Earlier this year we made a strategic shift by significantly reducing the number of field sales representatives by about three-quarters and redeploying our remaining representatives in territories that account for about 95% of retail pharmacy sales. This shift allows us to effectively utilize our streamlined commercial resources to reach higher-prescribing physicians while reducing our 2019 budget by an estimated $3.6 million, which supports our goal of profitability. I want to share updates on our efforts to increase sales by enhancing our three sales channels while also reducing the cost of sales: Direct-to-Consumer Model: In an effort to improve patient access, Avenova Direct was launched on June 1, 2019 to U.S. customers exclusively on Amazon.com. This channel offers NovaBay with stable gross-to-net pricing and provides customers with easy access to our product. This model capitalizes on a trend to sell pharmaceutical products directly to consumers in response to high-deductible health plans, allowing customers to forego a time-consuming doctor visit and trip to the pharmacy. We are promoting this program through complementary social media marketing to target consumers in specific demographics, as well as to ophthalmologists, optometrists, and current and former Avenova patients. Prescription Channel: Since the start of the year we have doubled the number of pharmacies in our Partner Pharmacy Program to 16, putting us on track to increase Avenova sales through retail pharmacies from one-quarter to one-half of all sales. Our partner pharmacies provide patients with a quality experience that includes a relatively short time between receiving the initial prescription and filling it, fast refills and home delivery. The combination of a pre-negotiated price along with a reduction in coupon and rebate usage improves our gross-to-net and per-script profitability. Buy-and-Sell Channel: We are increasing the number of optometrists and ophthalmologists utilizing our buy-and-sell channel under which they directly sell prescription Avenova in the 20mL size at a suggested retail price of $30, making it convenient for patients to buy Avenova during their office visit and providing eye care specialists with a new source of revenue. We are encouraging more eye-care professionals to become resellers of Avenova through an extensive email campaign that provides ways to incorporate Avenova into their practices. Additionally, we have made ordering the product easier for physicians through our updated website Avenova.com. We are gratified by the warm reception we have received from Avenova patients and ophthalmology key opinion leaders, some of which are available on Avenova.com. I want to share excerpts from an email recently sent by ophthalmologist Dr. Lisa Arbisser: Avenova is the ONLY true pure hypochlorous acid. It is the product of the human white [blood] cell with the antiseptic activity of iodine (betadine) but without the toxicity. One of the most important attributes of hypochlorous acid is its ability to penetrate bacterial biofilm, an essential attribute for complete cure which antibiotics lack. Additionally, it kills all infective organisms on contact theoretically eliminating the development of resistance. The other essential quality is that, unlike with the use of antibiotics, it does not disrupt the biome but lowers or eliminates all the organisms present permitting restoration of normal flora more rapidly and completely. This is a proven advantage for eyelid infection and overgrowth of opportunistic infectious agents responsible for blepharitis. In summary, we are encouraged by our progress in commercializing a product with many important competitive advantages in a large market. We are actively taking steps to adapt to an industrywide change in the reimbursement environment to make Avenova accessible and affordable under appropriate economics to NovaBay. Our refined programs are focused on driving revenues through the most efficient sales channels with the goal of achieving positive cash flow and profitability. On behalf of my colleagues at NovaBay Pharmaceuticals and our board of directors, I want to thank our stockholders for their continued support. Sincerely, Justin Hall Chief Executive Officer and General Counsel About NovaBay Pharmaceuticals Based in Emeryville, California, NovaBay Pharmaceuticals -- http://www.novabay.com/-- is a medical device company predominately focused on eye care. The Company is currently focused primarily on commercializing Avenova, a prescription product sold in the United States for cleansing and removing foreign material including microorganisms and debris from skin around the eye, including the eyelid. Novabay reported a net loss and comprehensive loss of $6.54 million for the year ended Dec. 31, 2018, compared to a net loss and comprehensive loss of $7.40 million for the year ended Dec. 31, 2017. As of March 31, 2019, Novabay had $9.72 million in total assets, $8.59 million in total liabilities, and $1.12 million in total stockholders' equity. OUM & CO. LLP, in San Francisco, California, the Company's auditor since 2010, issued a "going concern" opinion in its report dated March 29, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has experienced operating losses for most of its history and expects expenses to exceed revenues in 2019. The Company also has recurring negative cash flows from operations and an accumulated deficit. All of these matters raise substantial doubt about its ability to continue as a going concern. OCALA INN: Aug. 20 Plan and Disclosure Statement Hearing -------------------------------------------------------- Bankruptcy Judge Jerry A. Funk conditionally approved Ocala Inn Management, Inc.'s disclosure statement with respect to its chapter 11 plan dated July 9, 2019. Creditors and other parties in interest must file written ballots accepting or rejecting the Plan no later than 10 days before the date of the Confirmation Hearing. Any objections to Disclosure or Confirmation must be filed and served seven days before the confirmation hearing. August 20, 2019 is fixed for the hearing on final approval of the disclosure statement and for the hearing on confirmation of the plan. The hearing will be held at 11:30 A.M., in 4th Floor Courtroom D, 300 North Hogan Street, Jacksonville, Florida. About Ocala Inn Management Ocala Inn Management, Inc. owns a hotel located at 3767 NW Blitchton Road, Ocala, Fla., valued by the company at $1.97 million. Ocala Inn Management sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 19-00875) on March 13, 2019. It previously sought bankruptcy protection (Bankr. M.D. Fla. Case No. 12-02468) on April 12, 2012. At the time of the filing, the Debtor disclosed $3,057,592 in assets and $1,201,280 in liabilities. Judge Jerry A. Funk oversees the case. The Debtor tapped the Law Offices of Mickler & Mickler, LLP as its legal counsel. The U.S. Trustee, until further notice, will not appoint an official committee of unsecured creditors in the Chapter 11 case. ORIGIN AGRITECH: Posts RMB1.2 Million Net Income in H1 FY2019 ------------------------------------------------------------- Origin Agritech Limited announced its unaudited financial results for the first half of FY2019 ended March 31, 2019. The Company reported net revenue of RMB82.2 million (US$12.2 million) during the first half year of FY2019, compared to RMB3.6 million for the first half year of FY2018. The cancellation of the second closing of the seed business sales announced in July, 2018 means that the Company is now back to the commercial corn seed business. This seed business reported the total gross profit of RMB19.0 million (US$2.8 million) for the first half of FY2019. Total operating expenses for the first half year of FY2019 was RMB18.1 million (US$2.7 million), down 57% from RMB42.0 million for the same period a year ago. The decrease was mainly due to the turnaround effort over the last year, especially in the general and administrative expenses. Selling and marketing expense for the first half year of FY2019 was RMB2.5 million (US$0.4 million), compared to RMB0.7 million a year ago as the result of the Company's returning to the seed business. General and administrative expenses declined 70% to RMB8.4 million (US$1.3 million), down from RMB28.2 million a year ago. The significant decline in G&A expenses resulted from the efforts to turn around the business through strategic redirection and organization restructuring. Research and development expenses for the first half year of FY2019 was RMB7.1 million (US$1.0 million), down from RMB13.1 million a year ago as we have been refocusing our R&D efforts during our turnaround effort. Total operating income for the first half year of FY2019 was RMB0.9 million (US$0.1 million), a significant turnaround from the operating loss of RMB42.8 million reported a year ago. Interest expense was RMB2.3 million (US$0.3 million) during the first half year of FY2019, down from RMB4.1 million a year ago. Other income of RMB2.3 million (US$0.3 million) was mainly the rentals the Company received. The Company rents out portion of its headquarters building. The other income of RMB18.4 million reported for the first half year of FY2018 includes mainly the gain from an asset sales, government subsidies, and the office rental income. Net income attributable to the Company for the first half year of FY2019 was RMB1.2 million (US$0.2 million), compared to the net loss of RMB25.3 million, representing a significant turnaround, especially in the operating expenses control as well as the gross profit from the seed business. Diluted earnings per share for the first half of FY2019 was RMB0.30 (or US$0.044), compared to the loss per share of RMB10.18 during the same period a year ago. As of March 31, 2019, the Company had RMB283.15 million in total assets, RMB239.54 million in total liabilities, and RMB43.6 million in total equity. As of March 31, 2019, cash and cash equivalents were RMB5.8 million (US$0.8 million), an increase of RMB3.8 million from the cash and cash equivalents of RMB2.0 million as of Sept. 30, 2018. The current portion of long-term debt is RMB78.6 million (US$11.7 million), which is secured with the Company's headquarters' building. The advances from customers increased to RMB59.4 million (US$8.8 million), compared to RMB6.3 million as of Sept. 30, 2018. The increase in the advances from customers was due to the Company's return to the seed business. During the first half year of FY2019, the Company improved its overall balance sheet by completing an equity financings of US$7.74 million through the announced deals with Longhan Investment Management Co and Tiger Capital Fund SPC. The equity financing includes the issuance of 1,397,680 ordinary shares and warrants to purchase 1 million of the Company's ordinary shares. The total equity of the Company increased to RMB43.6M (US$6.5 million), compared to the negative equity of RMB23.3 million as of Sept. 30, 2018. Regarding the earlier equity financing with L2 Capital, the Company has withdrawn the F3 registration statement filing with SEC dated November 2018, and there are no further outstanding shares or warrants relating to the equity financing with L2 Captial. As of March 31, 2019, total current assets of RMB75.1 million (US$11.2 million) largely were comprised of the inventories of RMB64.4 million (US$9.6 million) and non-current assets of RB208.1 million (US$30.9 million) mainly represented the balance of plant and equipment of RMB167.9 million (US$24.9 million), long-term investment of RMB16.3 million (US$2.4 million), and land use rights of RMB14.9 million (US$2.2 million). As of March 31, 2019, total current liabilities of RMB218.2 million (US$32.4 million) were mainly the balance of the current portion of long-term debt of RMB78.6 million (US$11.7 million), which was secured by the Company's headquarter building, and advances from customers of RMB59.4 million (US$8.8 million). A full-text copy of the press release is available for free at: https://is.gd/Uzekp6 About Origin Founded in 1997 and headquartered in Zhong-Guan-Cun (ZGC) Life Science Park in Beijing, Origin Agritech Limited (NASDAQ GS: SEED) -- http://www.originseed.com.cn/-- is an agricultural biotechnology company, specializing in crop seed breeding and genetic improvement, seed production, processing, distribution, and related technical services. Origin operates production centers, processing centers and breeding stations nationwide with sales centers located in key crop-planting regions. Product lines are vertically integrated for corn, rice and canola seeds. Origin Agritech reported a net loss of RMB152.79 million for the year ended Sept. 30, 2018, following a net loss of RMB106.26 million for the year ended Sept. 30, 2017. BDO China Shu Lun Pan Certified Public Accountants LLP, in Shenzhen, The People's Republic of China, the Company's auditor since 2011, issued a "going concern" qualification in its report dated June 3, 2019, on the Company's consolidated financial statements for the year ended Sept. 30, 2018, citing that the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. PATRIOT PEST: Aug. 20 Plan Confirmation Hearing ----------------------------------------------- The disclosure statement explaining the Chapter 11 small business plan filed by Patriot Pest Management, Inc., is conditionally approved. August 20, 2019, 10:30 AM is set for the hearing on final approval of the disclosure statement and for the hearing on confirmation of the plan, which will be held at Donald Stuart Russell Federal Courthouse, 201 Magnolia Street, Spartanburg, South Carolina. August 13, 2019 is set as the last day for filing written acceptances or rejections of the plan. August 13, 2019 is set as the last day for filing and serving written objections to the disclosure statement and confirmation of the plan. A full-text copy of the Disclosure Statement is available at https://tinyurl.com/yy6nyyh8 from PacerMonitor.com at no charge. About Patriot Pest Management Inc. Patriot Pest Management, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.S.C. Case No. 19-00248) on Jan. 11, 2019. At the time of the filing, the Debtor estimated assets of less than $500,000 and liabilities of less than $500,000. The case is assigned to Judge Helen E. Burris. The Cooper Law Firm is the Debtor's legal counsel. PERMCLIP PRODUCTS: Case Summary & 16 Unsecured Creditors -------------------------------------------------------- Debtor: Permclip Products Corporation 1130 Military Road Buffalo, NY 14217-1844 Business Description: Permclip Products Corporation -- http://www.permclip.com/-- is a manufacturer of file folder fasteners and filing accessories for the office products industry. The Company uses a thermoplastic resin fusion system that permanently embeds the non-woven fabric overlay deep into the fibers of the folder, locking onto the cellulose pulp fibers. The Company was founded in Buffalo, New York in 1971. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court Western District of New York (Buffalo) Case No.: 19-11423 Judge: Hon. Carl L. Bucki Debtor's Counsel: Arthur G. Baumeister, Jr., Esq. BAUMEISTER DENZ LLP 172 Franklin St., Suite 2 Buffalo, NY 14202 Tel: 716-852-1300 Fax: 716-852-1344 Email: abaumeister@bdlegal.net Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Thomas J. Corey, president. A full-text copy of the petition containing, among other items, a list of the Debtor's 16 unsecured creditors is available for free at: http://bankrupt.com/misc/nywb19-11423.pdf PERPETUAL ENERGY: Moody's Alters Outlook on Caa2 CFR to Stable -------------------------------------------------------------- Moody's Investors Service changed Perpetual Energy Inc.'s outlook to stable from negative. Moody's also assigned a Caa3 to the C$15.7 million add-on to the 2022 senior unsecured notes. The Caa2 Corporate Family Rating, Caa2-PD Probability of Default Rating, SGL-4 Speculative Grade Liquidity Rating, and Caa3 rating on the existing C$17.9 million senior unsecured notes due 2022 were affirmed. "The change in outlook to stable from negative for Perpetual reflects the refinancing of the July 2019 senior notes to 2022, which alleviated near-term liquidity concerns", said Paresh Chari VP-Senior Analyst. Affirmations: Issuer: Perpetual Energy Inc. Corporate Family Rating, Affirmed Caa2 Probability of Default Rating, Affirmed Caa2-PD Speculative Grade Liquidity Rating, Affirmed SGL-4 Senior Unsecured Regular Bond/Debenture, Affirmed Caa3 (LGD5) Assignments: Issuer: Perpetual Energy Inc. Senior Unsecured Regular Bond/Debenture, Assigned Caa3 (LGD5) Withdrawals: Issuer: Perpetual Energy Inc. Senior Unsecured Regular Bond/Debenture, Withdrawn , previously rated Caa3 (LGD5) Outlook Actions: Issuer: Perpetual Energy Inc. Outlook, Changed To Stable From Negative RATINGS RATIONALE Perpetual's Caa2 CFR reflects 1) the liquidity challenges presented by the maturities of its revolver in November 2020, C$45 million second lien term loan due March 2021, and C$34 million unsecured notes due January 2022; and 2) its very small size in terms of production and reserves. Perpetual is supported by 1) solid retained cash flow to debt of about 25% and EBITDA to interest at about 4.5x in 2020; and 2) its marketing diversification contract (expiring October 2022) that sells about 80% of its natural gas production to markets outside of the weak Alberta natural gas market. In accordance with Moody's Loss Given Default (LGD) Methodology, the C$34 million senior unsecured notes due 2022 are rated Caa3, one notch below the Caa2 CFR, due to the amount of priority ranking debt of the unrated C$55 million secured borrowing base revolver and C$45 million secured term loan. Perpetual's liquidity is weak (SGL-4). At March 31, 2019 Perpetual had no cash, Tourmaline Oil Corp. (unrated) shares worth about C$20 million (net the C$14 million Tourmaline share loan) and C$12 million available under its C$55 million revolver due November 2020. Moody's expects breakeven free cash flow through Q4 2020. Perpetual has limited flexibility to sell assets. Perpetual will need to address its revolver maturity and has no sources of liquidity outside of the C$20 million of Tourmaline shares. The stable outlook reflects its view that Perpetual will maintain current production and credit metrics through 2020. The ratings could be upgraded if liquidity becomes adequate, retained cash flow to debt is above 15% and production rises towards 15,000 boe/d. The ratings could be downgraded if liquidity deteriorates, or if retained cash flow to debt falls below 5% Perpetual is a public Calgary, Alberta-based independent exploration and production company with average daily net production in Q1 2019 of about 9,000 barrels of oil equivalent per day of which about 82% is natural gas. Insiders, including the CEO, own about 46% of Perpetual's equity and hold about two-thirds of the senior unsecured notes due 2022. The principal methodology used in these ratings was Independent Exploration and Production Industry published in May 2017. POWER SOLUTIONS: General Counsel and VP Human Resources Resigns --------------------------------------------------------------- William Buzogany, general counsel and vice president of Human Resources of Power Solutions International, Inc., provided notice that he is resigning from the Company, effective July 17, 2019, to allow him to pursue other interests. Mr. Buzogany's decision to resign is not based upon any disagreement with the Company on any matter relating to the respective operations, policies, or practices of the Company, according to Power Solution's Form 8-K filed with the Securities and Exchange Commission. In connection with Mr. Buzogany's departure from the Company, the Company has entered into a consulting agreement and release with Mr. Buzogany, dated July 17, 2019. Pursuant to the Consulting Agreement, Mr. Buzogany agreed to release certain claims he may have against the Company and other released parties and will receive certain payments from the Company, including (i) a severance payment equal to $189,000, less applicable withholdings, in 12 equal monthly installments of $15,750; and (ii) if Mr. Buzogany timely elects COBRA health insurance continuation coverage, the Company will pay a proportional share of the premiums owed by Mr. Buzogany as if Mr. Buzogany were still employed by the Company for a period of 12 months. In addition, Mr. Buzogany agreed to provide certain consulting services to the Company until such time as either Mr. Buzogany or the Company terminates such Consulting Period and will be compensated at a rate of $27,250 per month for his time. Mr. Buzogany will be paid severance in six equal monthly installments of $27,250 upon termination of the Consulting Period and will be compensated at an hourly rate of $250 thereafter for ongoing assistance with pending or future legal matters as requested by the Company. About Power Solutions Headquartered in Wood Dale, Illinois, Power Solutions International, Inc. designs, engineers, and manufactures emissions-certified, alternative-fuel power systems. PSI provides integrated turnkey solutions to global original equipment manufacturers in the industrial and on-road markets. The Company's unique in-house design, prototyping, engineering and testing capacities allow PSI to customize clean, high-performance engines that run on a wide variety of fuels, including natural gas, propane, biogas, gasoline and diesel. Power Solutions reported a net loss available to common stockholders of $85.47 million for the year ended Dec. 31, 2017, a net loss available to common stockholders of $47.47 million for the year ended Dec. 31, 2016, and a net loss available to common stockholders of $2.89 million for the year ended Dec. 31, 2015. As of Dec. 31, 2017, Power Solutions had $247.01 million in total assets, $214.84 million in total liabilities, and $32.17 million in total stockholders' equity. BDO USA, LLP, in Chicago, Illinois, the Company's auditor since 2018, issued a "going concern" qualification in its report dated May 16, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2017, citing that the Company has suffered recurring losses from operations and significant uncertainties exist about the Company's ability to refinance, extend, or repay outstanding indebtedness, the circumstances of which raise substantial doubt about the Company's ability to continue as a going concern. Power Solutions has determined to restate its consolidated financial statements for certain historical periods in light of the identification of errors in revenue recognition and certain other areas. As a result of the pending restatements, the Company was unable to complete its financial statements and file its Annual Report on Form 10-K for the year ended Dec. 31, 2018 by the prescribed due date for that filing. PULMATRIX INC: Polaris Venture Lowers Stake to 2% as of Feb. 5 -------------------------------------------------------------- In a Schedule 13D/A filed with the Securities and Exchange Commission, these entities and individuals reported beneficial ownership of shares of common stock of Pulmatrix, Inc. as of Feb. 5, 2019: Shares Percent Beneficially of Reporting Person Owned Class ---------------- ------------ -------- Polaris Venture Partners V, L.P. 502,131 2.5% Polaris Venture Partners 9,801 0.0% Entrepreneurs' Fund V, L.P. Polaris Venture Partners Founders' 3,453 0.0% Fund V, L.P. Polaris Venture Partners Special 5,013 0.0% Founders' Fund V, L.P. Polaris Venture Management 520,398 2.6% Co. V, L.L.C. Polaris Venture Partners IV, L.P. 225,369 1.1% Polaris Venture Partners 4,225 0.0% Entrepreneurs' Fund IV, L.P. Polaris Venture Management 229,594 1.2% Co. IV, L.L.C. Jonathan A. Flint 749,992 3.8% Terrance G. McGuire 760,851 3.8% The percentages are based on 19,859,245 shares of the Issuer's Common Stock outstanding as of July 8, 2019 and as adjusted to reflect an additional 231,967 shares of Common Stock that would be outstanding following the exercise of the warrants beneficially owned by each of PVP V, PVPE V, PVPFF V, PVPSFF V, PVM V, PVP IV, PVPE IV and PVM IV and 10,859 shares of Common Stock that would be outstanding following the exercise of vested options (as of July 8, 2019) beneficially owned by McGuire. The Reporting Persons have ceased to be the beneficial owner of more than 5% of the class of securities due to dilution resulting from increases in the total number of shares of Common Stock outstanding. Flint and McGuire are the managing members of PVM V and PVM IV and McGuire is also a director of the Issuer. The Reporting Persons are making this single, joint filing because they may be deemed to constitute a "group" within the meaning of Section 13(d)(3) of the Exchange Act. On June 5, 2018, McGuire was granted an option to purchase up to 124,000 shares of the Issuer's Common Stock, respectively, 25% of the shares subject to such option will vest on the one-year anniversary of such grant and the remaining 75% of shares subject to this option vests in 36 equal monthly installments following the one-year anniversary of such grant. A full-text copy of the regulatory filing is available for free at: https://is.gd/RBSS6A About Pulmatrix Pulmatrix, Inc. -- http://www.pulmatrix.com/-- is a clinical stage biotechnology company focused on the discovery and development of novel inhaled therapeutic products intended to prevent and treat respiratory diseases and infections with significant unmet medical needs. The Company's proprietary product pipeline is focused on advancing treatments for serious lung diseases, including Pulmazole, inhaled anti-fungal itraconazole for patients with ABPA, and PUR1800, a narrow spectrum kinase inhibitor for patients with obstructive lung diseases including asthma and chronic obstructive pulmonary disease. Pulmatrix's product candidates are based on iSPERSE, its proprietary engineered dry powder delivery platform, which seeks to improve therapeutic delivery to the lungs by maximizing local concentrations and reducing systemic side effects to improve patient outcomes. Pulmatrix incurred a net loss of $20.56 million in 2018, following a net loss of $18.05 million in 2017. As of March 31, 2019, Pulmatrix had $13.99 million in total assets, $3.79 million in total liabilities, and $10.19 million in total stockholders' equity. Marcum LLP, in New York, NY, the Company's auditor since 2015, issued a "going concern" qualification in its report dated Feb. 19, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company continues to have negative cash flow from its operations, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. RADER LODGE: Unsecureds to Get Paid From Remaining Sale Proceed ---------------------------------------------------------------- Rader Lodge, Inc., filed a Chapter 11 plan and accompanying disclosure statement. Class 3 - Allowed Unsecured Claims. The allowed Unsecured Claims of LVNV Funding, LLC, and Four Rivers Development, Inc., are in the total amount of $45,870.20. The remaining proceeds of sale or refinance will be used to pay the Unsecured Creditors. The Debtor's total assets $251,577.58 consisting of cash in bank, accounts receivable - all uncollectible, office furniture, office fixtures, 2013 Kawasaki 4-wheeler atv, 115 jon boat, 90 hp 28' pontoon boat, 90 hp 20' pontoon boat, feeders and real estate. A full-text copy of the Disclosure Statement dated July11, 2019, is available at https://tinyurl.com/y3rbmkdp from PacerMonitor.com at no charge. About Rader Lodge Rader Lodge, Inc., filed a Chapter 11 bankruptcy petition (Bankr. D. Kan. Case No. 19-10128) on Jan. 29, 2019, estimating under $1 million in both assets and liabilities. The Debtor is represented by Edward J. Nazar, Esq., at Hinkle Law Firm, L.L.C. REAGOR-DYKES MOTORS: CDK Global Objects to Disclosure Statement --------------------------------------------------------------- CDK Global, LLC, objects to the Modified Disclosure Statement for the First Amended Joint Plan of Reorganization of Reagor-Dykes Motors, LP. CDK points out that the Modified Disclosure Statement fails to list CDK's postpetition administrative claim in Section 7.1, though CDK filed proofs of claims noting that it has administrative claims. According to CDK, the Disclosure Statement fails to account for how the Debtors will assume and rehabilitate dealerships who have lost their franchises or their locations during the course of these proceedings. CDK complains that the Plan fails to describe whether it will look to CDK to provide dealer management services, and if and when it plans to pay for any such services. CDK asserts that the Modified Disclosure Statement fails to address all administrative claims, and adds that CDK itself has an unaddressed administrative claim that will be reduced to a subsequent motion. Attorneys for CDK Global, LLC: Robert H. Nunnally, Jr., Esq. Wisener Nunnally Roth, L.L.P. 245 Cedar Sage Drive, Suite 240 Garland, TX 75040 Tel: 972.530.2200 Fax: 972.530.7200 About Reagor-Dykes Motors Dykes Auto Group -- https://www.reagordykesautogroup.com/ -- is a dealer of automobiles headquartered in Lubbock, Texas. The Company offers new and used vehicles, automobile parts, and other related accessories, as well as car financing, leasing, repair, and maintenance services. Some of its new vehicles include brands like Ford, Toyota, GMC, Cadillac, Chevrolet and Buick. Reagor-Dykes Motors, LP, based in Lubbock, TX, and its debtor-affiliates sought Chapter 11 protection (Bankr. N.D. Tex. Lead Case No. 18-50214) on Aug. 1, 2018. In its petition, the Debtors estimated $10 million to $50 million in both assets and liabilities. The petition was signed by Bart Reagor, managing member of Reagor Auto Mall I, LLC, general manager and Rick Dykes, managing member of Reagor Auto Mall I, LLC, general partner. The Hon. Robert L. Jones oversees the case. Mullin Hoard & Brown, L.L.P., led by David R. Langston, Esq., is serving as bankruptcy counsel to the Debtor. BlackBriar Advisors LLC personnel is serving as CRO for the Debtor. REAGOR-DYKES MOTORS: Eighty Second Street Objects to Plan Outline ----------------------------------------------------------------- Eighty Second Street Investments, LLC, and Lubbock Windmill Real Estate, LLC, object to the approval of the Modified Disclosure Statement for First Amended Joint Plan of Reorganization for Reagor-Dykes Auto Group. Eighty Second Street complains that the Debtors failed to pay the $351,553.14 and subsequently vacated the premises. According to Eighty Second Street, the listing does not include the administrative claim of Eighty Second Street and Lubbock Windmill. Attorney for Eighty Second Street: R. Byrn Bass, Jr., Esq. 1500 Broadway, Suite 505 Lubbock, Texas 79401 Tel: (806) 785-1250 Fax: (806) 771-1260 Email: bbass@bbasslaw.com About Reagor-Dykes Motors Dykes Auto Group -- https://www.reagordykesautogroup.com/ -- is a dealer of automobiles headquartered in Lubbock, Texas. The Company offers new and used vehicles, automobile parts, and other related accessories, as well as car financing, leasing, repair, and maintenance services. Some of its new vehicles include brands like Ford, Toyota, GMC, Cadillac, Chevrolet and Buick. Reagor-Dykes Motors, LP, based in Lubbock, TX, and its debtor-affiliates sought Chapter 11 protection (Bankr. N.D. Tex. Lead Case No. 18-50214) on Aug. 1, 2018. In its petition, the Debtors estimated $10 million to $50 million in both assets and liabilities. The petition was signed by Bart Reagor, managing member of Reagor Auto Mall I, LLC, general manager and Rick Dykes, managing member of Reagor Auto Mall I, LLC, general partner. The Hon. Robert L. Jones oversees the case. Mullin Hoard & Brown, L.L.P., led by David R. Langston, Esq., is serving as bankruptcy counsel to the Debtor. BlackBriar Advisors LLC personnel is serving as CRO for the Debtor. REAGOR-DYKES MOTORS: Ford Motor Objects to Disclosure Statement --------------------------------------------------------------- Ford Motor Credit Company LLC objects to the approval of the Modified Disclosure Statement for First Amended Plan of Reorganization of Reagor-Dykes Motors, LP, and its debtor affiliates. According to Ford Credit, the Debtors fail to discuss the effect of Ford Credit's postpetition replacement lien on the non-Chapter 5 claims and how the Debtors are able to pursue these claims in the case of a reorganization or transfer these claims to a liquidating trust for the benefit of unsecured creditors free and clear of Ford Credit's lien. Ford Credit points out that the Disclosure Statement omits any analysis of the estate's liabilities, and instead recites the total amount of claims set forth in its Bankruptcy Schedules. Ford Credit further points out that the Debtors fail to disclose filed claims which would more fully set forth the universe of claims. Ford Credit asserts that the Debtors' ability to implement the reorganization alternative under the Amended Plan is an uncertain gamble, not a feasible plan. Ford Credit complains that the Amended Plan cannot be confirmed to the extent that the reorganization alternative contemplates that any of Debtors' shareholders maintain some ownership interest in the Reorganized Debtors. Attorneys for Ford Motor: Duane M. Geck, Esq. Donald H. Cram, Esq. SEVERSON & WERSON A Professional Corporation One Embarcadero Center, Suite 2600 San Francisco, California 94111 Telephone: (415) 398-3344 Facsimile: (415) 956-0439 Email: dhc@severson.com -- and -- Keith A. Langley, Esq. Brandon K. Bains, Esq. LANGLEY LLP 1301 Solana Blvd Building 1, Suite 1545 Westlake, Texas 76262 Telephone: 214.722.7171 Facsimile: 214.722.7161 Email: bbains@l-llp.com About Reagor-Dykes Motors Dykes Auto Group -- https://www.reagordykesautogroup.com/ -- is a dealer of automobiles headquartered in Lubbock, Texas. The Company offers new and used vehicles, automobile parts, and other related accessories, as well as car financing, leasing, repair, and maintenance services. Some of its new vehicles include brands like Ford, Toyota, GMC, Cadillac, Chevrolet and Buick. Reagor-Dykes Motors, LP, based in Lubbock, TX, and its debtor-affiliates sought Chapter 11 protection (Bankr. N.D. Tex. Lead Case No. 18-50214) on Aug. 1, 2018. In its petition, the Debtors estimated $10 million to $50 million in both assets and liabilities. The petition was signed by Bart Reagor, managing member of Reagor Auto Mall I, LLC, general manager and Rick Dykes, managing member of Reagor Auto Mall I, LLC, general partner. The Hon. Robert L. Jones oversees the case. Mullin Hoard & Brown, L.L.P., led by David R. Langston, Esq., is serving as bankruptcy counsel to the Debtor. BlackBriar Advisors LLC personnel is serving as CRO for the Debtor. REAGOR-DYKES MOTORS: Jeff Hunter Objects to Disclosure Statement ---------------------------------------------------------------- Jeff Hunter Motors, Inc., d/b/a Jeff Hunter Toyota, objects to the approval of the Modified Disclosure Statement for First Amended Plan of Reorganization of Reagor-Dykes Motors, LP, and its debtor affiliates. According to Jeff Hunter Toyota, the Debtors have not given all material information so that Jeff Hunter Toyota can make an intelligent decision as to whether to vote for or against the plan. Jeff Hunter Toyota does not know, with certainty, which property is going to comprise the Liquidation Trust and how it will be provided. Attorney for Jeff Hunter Motors: Michael S. Uryasz, Esq. GREAK LAW, P.C. 8008 Slide Road, Suite 30 Lubbock, Texas 79424 Tel: (806) 783-0081 Fax: (888) 242-1325 Email: muryasz@greaklaw.com About Reagor-Dykes Motors Dykes Auto Group -- https://www.reagordykesautogroup.com/ -- is a dealer of automobiles headquartered in Lubbock, Texas. The Company offers new and used vehicles, automobile parts, and other related accessories, as well as car financing, leasing, repair, and maintenance services. Some of its new vehicles include brands like Ford, Toyota, GMC, Cadillac, Chevrolet and Buick. Reagor-Dykes Motors, LP, based in Lubbock, TX, and its debtor-affiliates sought Chapter 11 protection (Bankr. N.D. Tex. Lead Case No. 18-50214) on Aug. 1, 2018. In its petition, the Debtors estimated $10 million to $50 million in both assets and liabilities. The petition was signed by Bart Reagor, managing member of Reagor Auto Mall I, LLC, general manager and Rick Dykes, managing member of Reagor Auto Mall I, LLC, general partner. The Hon. Robert L. Jones oversees the case. Mullin Hoard & Brown, L.L.P., led by David R. Langston, Esq., is serving as bankruptcy counsel to the Debtor. BlackBriar Advisors LLC personnel is serving as CRO for the Debtor. REAGOR-DYKES MOTORS: Patti Sue Noel Objects to Disclosure Statement ------------------------------------------------------------------- Patti Sue Noel, Independent Executor of the Estate of M.I. "Jack" Morris, Deceased, a creditor and party in interest, joined by Jack Morris Ford Lincoln Mercury, Inc., objects to the approval of the Disclosure Statement for First Amended Joint Plan of Reorganization for Reagor Dykes Auto Group. The Movant points out that the Disclosure Statement does not identify with adequate specificity who the so-called Plan Sponsor is. The Movant asserts that the Disclosure Statement provides essentially no information about an individual identified as Ron Blaylock. According to the Movant, the Disclosure Statement does not reflect whether and to what extent Mr. Dykes has been approved to remain as a dealer principal or an owner of any reorganized debtor or successor entity. The Movant complains that the Disclosure Statement does not provide full and adequate disclosure of the nature and extent of what operating assets are on hand to operate a viable Texas motor vehicle dealer/dealership. Counsel for the Movants: Roger S. Cox, Esq. UNDERWOOD P.O. Box 9158 Amarillo, TX 79101 Tel: (806) 242-9651 Fax: (806) 379-0316 Email: roger.cox@uwlaw.com About Reagor-Dykes Motors Dykes Auto Group -- https://www.reagordykesautogroup.com/ -- is a dealer of automobiles headquartered in Lubbock, Texas. The Company offers new and used vehicles, automobile parts, and other related accessories, as well as car financing, leasing, repair, and maintenance services. Some of its new vehicles include brands like Ford, Toyota, GMC, Cadillac, Chevrolet and Buick. Reagor-Dykes Motors, LP, based in Lubbock, TX, and its debtor-affiliates sought Chapter 11 protection (Bankr. N.D. Tex. Lead Case No. 18-50214) on Aug. 1, 2018. In its petition, the Debtors estimated $10 million to $50 million in both assets and liabilities. The petition was signed by Bart Reagor, managing member of Reagor Auto Mall I, LLC, general manager and Rick Dykes, managing member of Reagor Auto Mall I, LLC, general partner. The Hon. Robert L. Jones oversees the case. Mullin Hoard & Brown, L.L.P., led by David R. Langston, Esq., is serving as bankruptcy counsel to the Debtor. BlackBriar Advisors LLC personnel is serving as CRO for the Debtor. RENT-A-CENTER INC: Moody's Upgrades CFR to Ba3, Outlook Stable -------------------------------------------------------------- Moody's Investors Service upgraded Rent-A-Center, Inc.'s Corporate Family Rating to Ba3 from B1 and Probability of Default rating to Ba3-PD from B1-PD and assigned a Ba3 rating to its proposed $200 million Senior Secured Term Loan. At the same time, Moody's upgraded Rent-A-Center's Speculative Grade Liquidity Rating to SGL-2 from SGL-3. The ratings outlook remains stable. Moody's expects that proceeds from the proposed term loan along with borrowings under a proposed $300 million Asset-based Revolver ("ABL," unrated) will be used to refinance existing indebtedness and for general corporate purposes. The ratings are subject to completion of the refinancing and review of final documentation. The ratings on Rent-A-Center's existing debt are unchanged and will be withdrawn upon completion of the refinancing transaction, including the Ba1 on its Senior Secured Credit Facility and B2 ratings on its Senior Unsecured debt. "The upgrade of Rent-A-Center's Corporate Family and Speculative Grade Liquidity Ratings reflect its improved liquidity due to the pending refinancing, along with continued improvement in operating performance and credit metrics as a result of the successful implementation of its strategic turnaround plan and significant debt reduction," stated Mike Zuccaro, Moody's Vice President. "The proposed refinancing transaction will address looming debt maturities, and at the same time, the Company will use balance sheet cash to reduce debt by more than half, reducing pro forma lease-adjusted debt-to-EBITDA to around 1.5 times for the LTM period ended March 2019, with EBIT coverage of interest around 4.0 times ." Upgrades: Issuer: Rent-A-Center, Inc. Corporate Family Rating, Upgraded to Ba3 from B1 Probability of Default Rating, Upgraded to Ba3-PD from B1-PD Speculative Grade Liquidity Rating, Upgraded to SGL-2 from SGL-3 Assignments: Issuer: Rent-A-Center, Inc. Senior Secured 1st Lien Term Loan B, Assigned Ba3 (LGD4) Outlook Actions: Issuer: Rent-A-Center, Inc. Outlook, Remains Stable RATINGS RATIONALE Rent-A-Center, Inc.'s credit profile (Ba3 stable) reflects its solid position in the consumer rent-to-own industry and its historical track record of maintaining relatively strong and stable debt protection measures. The Company's operating performance and credit metrics have significantly improved over the past year as a result of the implementation of its strategic turnaround plans and significant debt reduction. Following the completion of its refinancing, Moody's expects Rent-A-Center to maintain good liquidity, with balance sheet cash, operating cash flow and excess revolver availability more than sufficient to support all cash flow needs over the next twelve months, including capital expenditures and a planned quarterly dividend of $0.25 per share that is set to begin in October 2019. Constraining factors include the need to demonstrate that recent turnaround efforts are sustainable through cycles, and that the severe performance declines in 2016 and 2017 are not indicative of a permanent increase in volatility. Also considered are the moderate business risks associated with the rent-to-own industry due to its focus on cash and credit constrained consumers, as well as the potential impact from government legislation or litigation that may occur from time to time. The stable outlook reflects Moody's expectation for successful completion of the refinancing transaction and continued operating and credit metric improvement over the next 12-18 months. The Ba3 rating assigned to the proposed Senior Secured Term Loan reflects Moody's expectation that it will have a first priority lien on substantially all tangible and intangible assets of the borrowers and guarantors, except cash, inventory and accounts receivable, on which it will have a second lien behind the proposed ABL, as well as a first lien on all capital stock of material domestic subsidiaries and 65% of the voting stock of each foreign subsidiary. The term loan is expected to be guaranteed by all material domestic subsidiaries. Over time, ratings could be upgraded if the Company demonstrates the willingness to maintain a conservative financial policy, that improved operating performance and credit metrics are sustainable at or near current levels, and that it can consistently generate ample free cash flow after dividends. Ratings could be downgraded if the Company's operating performance or liquidity were to unexpectedly weaken, through declining earnings, free cash flow turning negative, or an inability to complete the refinancing transaction. Rent-A-Center, Inc., with headquarters in Plano, Texas is one of the largest operators of consumer rent-to-own stores in North America with approximately 3,350 Company operated stores and kiosks located in the U.S., Canada, Mexico and Puerto Rico. Rent-A-Center also franchises 318 rent-to-own stores that operate under the "Rent-A-Center," "ColorTyme" and "RimTyme" banners. Revenue exceeded $2.6 billion for the twelve month period ended March 31, 2019. The principal methodology used in these ratings was Retail Industry published in May 2018. ROWLEY SOLAR: Case Summary & 7 Unsecured Creditors -------------------------------------------------- Debtor: Rowley Solar LLC 61 Pleasant Street, No. 1386 Newburyport, MA 01950 Business Description: Rowley Solar LLC is a privately held company that conducts energy research to develop new products or processes. Chapter 11 Petition Date: July 17, 2019 Court: United States Bankruptcy Court District of Massachusetts (Boston) Case No.: 19-12419 Judge: Hon. Frank J. Bailey Debtor's Counsel: Alan L. Braunstein, Esq. RIEMER & BRAUNSTEIN, LLP 100 Cambridge Street, 22nd Floor Boston, MA 02114 Tel: (617) 880-3516 Email: abraunstein@riemerlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Bonni Berkowitz, member. A copy of the Debtor's list of seven unsecured creditors is available for free at: http://bankrupt.com/misc/mab19-12419_creditors.pdf A full-text copy of the petition is available for free at: http://bankrupt.com/misc/mab19-12419.pdf RUBEN JASSO TRUCKING: New Plan Discloses 3NT Cash Flow Projection ----------------------------------------------------------------- Ruben Jasso Trucking, LLC, filed its first amended disclosure statement describing its chapter 11 plan. This latest filing provides an exhibit showing a cash flow projection annually of the Debtor's only customer, its operating company affiliate 3NT, LLC. The 3NT, LLC projection shows gross income building up from $6,205,850.82 annually in 2019-2020 to $9 million annually in 2023-2024, while its total of cost goods sold and total business expenses comes out at $6,068,769.75 in 2019-2020 and gradually expands to $8,754,364.63 in 2023-2024. All years show a projected profit after paying enough rent to RJT to support the plan fully. A copy of the First Amended Disclosure Statement is available at https://tinyurl.com/yxkboaow from Pacermonitor.com at no charge. About Ruben Jasso Trucking Ruben Jasso Trucking, LLC, is a privately held company in El Paso, Texas, in the general freight trucking business. Ruben Jasso Trucking filed a Chapter 11 bankruptcy petition (Bankr. W.D. Tex. Case No. 18-31630) on Sept. 28, 2018. In the petition signed by Ruben Jasso, managing member, the Debtor estimated $1 million to $10 million in assets and liabilities. The case is assigned to Judge Christopher H. Mott. The Debtor hired E.P. Bud Kirk, Esq., at Law Office of E.P. Bud Kirk, as counsel. SADEX CORPORATION: Raytheon to Recoup 50.7% Under Joint Plan ------------------------------------------------------------ Shawn K. Brown, as the Chapter 11 Trustee and Sadex Corporation filed a joint disclosure statement in support of their joint plan of reorganization dated July 12, 2019. Under the joint plan, Raytheon will receive distributions on account of the Raytheon Claim equal to $1,000,000. Raytheon will receive a distribution in the amount of $450,000 on the Effective Date. The initial Raytheon Distribution will be paid from the cash held by the Reorganized Debtor as of the Effective Date. In addition to the Initial Raytheon Distribution, Raytheon will receive monthly installments equal in the aggregate to $550,000 payable in 60 substantially equal monthly payments of $9,167 each. The first Monthly Raytheon Distribution will be paid by the Reorganized Debtor to Raytheon on the first day of the first calendar month immediately following the Effective Date, with a like installment being paid to Raytheon on the first day of each successive calendar month until all such monthly installments have been paid. Estimated recovery for Raytheon is 50.7%. As reflected in the monthly operating reports, the Debtor has operated successfully since the petition date and has generated profits despite the additional expenses associated with administration of the chapter 11 case. A copy of the Joint Disclosure Statement dated July 12, 2019 is available at https://tinyurl.com/y6z7g5hk from Pacermonitor.com at no charge. About Sadex Corporation Sadex Corporation filed a Chapter 11 petition (Bankr. N.D. Tex. Case No. 14-44622), on Nov. 14, 2014. The case is assigned to Judge Michael Lynn. The Debtor's counsel is J. Robert Forshey, Esq., at Forshey & Prostok, LLP, of Fort Worth, Texas. The petition was signed by Harlan E. Clemmons, president. At the time of filing, the Debtor had $100,000 to $500,000 in estimated assets and $1 million to $10 million in estimated liabilities. A list of the Debtor's five largest unsecured creditors is available for free at http://bankrupt.com/misc/txnb14-44622.pdf SHREE HARIHAR: Case Summary & 5 Unsecured Creditors --------------------------------------------------- Debtor: Shree Harihar Corp. 1805 John A. Papalas Drive Lincoln Park, MI 48146 Business Description: Shree Harihar Corp. is a privately held company in the traveler accommodation industry. The Company previously sought bankruptcy protection on Nov. 10, 2013 (Bankr. E.D. Mich. Case No. 13-60550). Chapter 11 Petition Date: July 16, 2019 Court: United States Bankruptcy Court Eastern District of Michigan (Detroit) Case No.: 19-50369 Judge: Hon. Marci B. McIvor Debtor's Counsel: Jeffrey S. Grasl, Esq. GRASL PLC 31800 Northwestern Hwy., Suite 350 Farmington Hills, MI 48334 Tel: (248) 385-2980 Email: jeff@graslplc.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Nareshkumar Patel, manager. A full-text copy of the petition containing, among other items, a list of the Debtor's five unsecured creditors is available for free at: http://bankrupt.com/misc/mieb19-50369.pdf SOFTWARE OPS: U.S. Trustee Unable to Appoint Committee ------------------------------------------------------ No official committee of unsecured creditors has been appointed in the Chapter 11 case of Software Ops LLC as of July 16, according to a court docket. About Software Ops Based in Scottsdale, Arizona, Software Ops LLC -- http://www.softwareops.com/-- a full service company that builds mobile app systems for both startups and enterprise businesses, filed a voluntary Chapter 11 petition (Bankr. D. Ariz. Case No. 19-06831) on June 3, 2019. The petition was signed by Joseph Michels, manager. At the time of filing, the Debtor had estimated assets of $100,000 to $500,000 and estimated liabilities of $1 million to $10 million. The case is assigned to Hon. Scott H. Gan. The Debtor's counsel is Thomas H. Allen, Esq., at Allen Barnes & Jones, PLC, in Phoenix. The Chapter 11 cases of Software Ops and Joseph L. Michels and Lynn M. Michels are jointly administered under Case No. 19-06831. SONDA ENTERPRISES: Case Summary & 3 Unsecured Creditors ------------------------------------------------------- Debtor: Sonda Enterprises, Inc. 17355 Raupp Road Melvindale, MI 48122 Business Description: Sonda Enterprises, Inc. is a privately held company in the traveler accommodation industry. The Company previously sought bankruptcy protection on Nov. 10, 2013 (Bankr. E.D. Mich. Case No. 13-60551). Chapter 11 Petition Date: July 16, 2019 Court: United States Bankruptcy Court Eastern District of Michigan (Detroit) Case No.: 19-50373 Judge: Hon. Marci B. McIvor Debtor's Counsel: Jeffrey S. Grasl, Esq. GRASL PLC 31800 Northwestern Hwy., Suite 350 Farmington Hills, MI 48334 Tel: (248) 385-2980 Email: jeff@graslplc.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Nareshkumar Patel, manager. A full-text copy of the petition containing, among other items, a list of the Debtor's three unsecured creditors is available for free at: http://bankrupt.com/misc/mieb19-50373.pdf SPI ENERGY: Appoints Anthony Chan as its Chief Financial Officer ---------------------------------------------------------------- SPI Energy Co., Ltd. has appointed Anthony S. Chan as its chief financial officer, effective July 15, 2019. Mr. Chan is a seasoned CPA and an established executive with 30 years of professional experience in auditing and SEC reporting, SOX and FCPA compliance, enterprise risk management, business reorganization and mergers and acquisitions. Since 2013, Anthony has advised public and private companies across various industries as their CFO or CFO consultant, focusing on business reorganization, capital raise as well as internal controls and risk management. He was an audit partner specializing in the delivery of assurance and advisory services to public companies with operations in China; and had spent more than a decade at Big Four accounting firms delivering assurance and M&A consulting services. Currently, Mr. Chan is a member of the Board of Directors of the New York State Society of CPAs, Board of Trustees of the Foundation for Accounting Education and the editorial advisory board for the CPA Journal. Mr. Xiaofeng Peng, chief executive officer of SPI Energy, stated, "We are delighted to have Anthony step into the role of CFO. Anthony is a proven leader and we believe his audit background along with his public company experience will help us establish a solid foundation for effective corporate governance and risk management; strengthen our compliance culture and internal control environment; streamline our process flow and improve our operational efficiency." Mr. Peng added, "Anthony's appointment is critical to the successful re-build of SPI Energy as we expand our business platform in the U.S. and refine our business plan to focus on sustainable earnings growth and profitability." About SPI Energy SPI Energy Co., Ltd. -- http://www.spisolar.com/-- is a global provider of photovoltaic solutions for business, residential, government and utility customers and investors. The Company develops solar PV projects that are either sold to third party operators or owned and operated by the Company for selling of electricity to the grid in multiple countries in Asia, North America and Europe. The Company's subsidiary in Australia primarily sells solar PV components to retail customers and solar project developers. The Company has its operating headquarters in Hong Kong and Santa Clara, California and maintains global operations in Asia, Europe, North America, and Australia. SPI Energy reported a net loss attributable to shareholders of the Company of $12.28 million for the year ended Dec. 31, 2018, compared to a net loss attributable to shareholders of the Company of $91.08 million for the year ended Dec. 31, 2017. As of Dec. 31, 2018, SPI Energy had $188.73 million in total assets, $188.65 million in total liabilities, and $70,000 in total equity. Marcum Bernstein & Pinchuk LLP, in Beijing, China, the Company's auditor since 2018, issued a "going concern" opinion in its report dated April 30, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. STEARNS HOLDINGS: Disclosure Statement Hearing Set for Aug. 22 -------------------------------------------------------------- A hearing will commence on Aug. 22, 2019, at 10:00 a.m. (Eastern Time) before the Hon. Shelley C. Chapman of the U.S. Bankruptcy Court for the Southern District of New York, One Bowling Green, Courtroom 623, New York, New York 10004, to consider approval of the adequacy of the disclosure statement of Stearns Holdings LLC and its debtor-affiliates explaining their joint Chapter 11 plan of reorganization. Objections to the approval of the Debtors' disclosure statement, if any, must be filed not later than 4:00 p.m. (Eastern Time) on Aug. 9, 2019. About Stearns Holdings Stearns Lending, LLC is a provider of mortgage lending services in Wholesale, Retail, Strategic Alliances, Non-Delegated Correspondent and Financial Institutions sectors throughout the United States. Stearns Lending is an equal housing lender and is licensed to conduct business in 49 states and the District of Columbia. Additionally, Stearns Lending is an approved HUD (United States Department of Housing and Urban Development) lender; a Single Family Issuer for Ginnie Mae (Government National Mortgage Association); an approved Seller/Servicer for Fannie Mae (Federal National Mortgage Association); and an approved Seller/Servicer for Freddie Mac (Federal Home Loan Mortgage Corporation). Stearns Lending is also approved as a VA (United States Department of Veterans Affairs) lender, a USDA (United States Department of Agriculture) lender, and is an approved lending institution with FHA (Federal Housing Administration). Stearns Lending is located at 4 Hutton Centre Drive, 10th Floor, Santa Ana, CA 92707. Stearns Holdings, LLC and six subsidiaries, including Stearns Lending, LLC, each filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 19-12226) on July 9, 2019. Stearns estimated assets of $1 billion to $10 billion and liabilities of the same range as of the bankruptcy filing. Stearns' cases have been assigned to the Honorable Shelley C. Chapman. Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal advisor to Stearns, PJT Partners is serving as its financial advisor and Alvarez & Marsalis serving as its restructuring advisor. Prime Clerk LLC is the claims and noticing agent, maintaining the sites https://cases.primeclerk.com/stearns and http://www.stearnsrestructuring.com/ TRIDENT TPI: Moody's Confirms B3 CFR, Outlook Negative ------------------------------------------------------ Moody's Investors Service confirmed the B3 Corporate Family Rating and B3-PD Probability of Default Rating of Trident TPI Holdings, Inc. Moody's also assigned a Caa2 rating to the proposed $345 million senior unsecured notes and confirmed B2 senior secured bank credit facilities. The outlook is negative. The proceeds from the notes will be used to acquire three manufacturing facilities from Amcor Limited (Baa2 Stable) as well as a Brazilian closure liner manufacturer, Geraldiscos and a portfolio company of Aksia Group SGR SpA, Lameplast SpA and pay fees and expenses associated with the transaction. This concludes the review for possible downgrade initiated on April 24, 2019 when Trident announced that it had entered into an agreement to buy the facilities from Amcor for $215 million in a cash transaction. Assignments: Issuer: Trident TPI Holdings, Inc. Senior Unsecured Notes, Assigned Caa2 (LGD5) Outlook Actions: Issuer: Trident TPI Holdings, Inc. Outlook, Changed To Negative From Rating Under Review Confirmations: Issuer: Trident TPI Holdings, Inc. Probability of Default Rating, Confirmed at B3-PD Corporate Family Rating, Confirmed at B3 Senior Unsecured Notes, Confirmed at Caa2 (LGD5) from (LGD6) Senior Secured Term Loan; Confirmed at B2 (LGD3) RATINGS RATIONALE The confirmation of the corporate family rating and negative outlook reflects the increased integration and operating risk and elevated leverage resulting from the company's acquisitiveness counterbalanced by the strategic value of the proposed acquisitions. The five proposed acquisitions follow four acquisitions which were completed over the previous 12 to 18 months. The proposed acquisitions generate over 15% of LTM March 31, 2019 revenue and EBITDA while the previous acquisitions generated approximately 20% at the closing date. Additionally, the proposed acquisitions significantly increase currency risk. Pro forma leverage remains elevated at approximately 7.5 times (excluding synergies). Additionally, most of the acquired companies have a high customer concentration of sales. Trident will need to show significant progress on its operating and integration plan over the next 12 months and continue to generate positive free cash flow to avoid a downgrade. The ratings could be upgraded if the company sustainably improves credit metrics within the context of a stable operating and competitive environment while also maintaining good liquidity. Specifically, the ratings could be upgraded if: -- Debt/EBITDA declines below 5.5 times -- EBITDA to interest expense increases above 3.0 times -- Funds from operations to debt increases above 8.5% -- Adequate backup liquidity is obtained The ratings could be downgraded if the company fails to show significant progress on its integration and operating plans. The ratings could also be downgraded if the operating and competitive environment or liquidity deteriorate or if the company undertakes another large debt-financed acquisition. Specifically, the ratings could be downgraded if: -- Debt/EBITDA remains above 6.5 times -- EBITDA to interest expense declines below 2.0 times -- Funds from operations to debt declines below 6.0% Weaknesses in Trident's credit profile include its relatively small scale (revenue), competitive and fragmented industry, high leverage and the lack of contractual cost pass-throughs on the majority of business. The company also has a concentration of sales in certain product lines and generates approximately 29% of revenue from the top ten customers. Strengths in Trident's credit profile include a concentration of sales in relatively stable end-markets and some long-term customer relationships. Additionally, the company's high concentration of sales to the food and beverage and healthcare end markets does generate better than average margins. Moody's expects Trident to maintain adequate liquidity over the next 12 months. The company is also expected to have full availability under its $100 million asset-based revolver. The revolver expires in October 2022 and is subject to a borrowing base limitation. Moody's considers the revolver to be small given the pro forma revenue base of the company and the projected interest expense and capital spending. The company's working capital needs peak in the first and fourth calendar quarters. The revolver has a springing fixed charge covenant of 1.0 time if availability falls below either 10% of the commitment or $5 million. Covenant cushion is expected to be good over the next 12 months. The term loan amortization is approximately $9 million annually. The nearest significant debt maturities is the revolving credit facility which expires in October 2022. All domestic assets are fully encumbered by the secured capital structure, leaving only assets of foreign subsidiaries as a source of alternative liquidity. Trident manufactures many products which are generally disposed of after use (food, specialty and healthcare products) which could result in some environmental damage. Additionally, there will be an increasing emphasis on recyclability and, potentially, manufacturing plastic products from more biodegradable substrates. The company will need to continue to focus on building quality products and adapting to an evolving regulatory environment. As a manufacturer, Trident has certain social risk factors including employee health and safety risks and demographic and societal trends. Governance risk are high given the private equity ownership and concomitant aggressive financial policies. Headquartered in Wayne, Pennsylvania, Trident is a manufacturer of plastic packaging and materials as well as tubing products for the food, healthcare and consumer goods markets. The pro forma healthcare business segment (43% of sales) will manufacture medical compounds, films and medical tubing. The pro forma food packaging business segment (24% of sales) will manufacture polystyrene thermoformed foam packaging, such as egg cartons and foam food trays. The pro forma specialty packaging segment (33% of sales) will produce aerosol gasket, pump components, closure liners, medical pouches and industrial specialty films. The majority of pro forma revenue is expected to continue to be generated from Americas (66% of sales, excluding Latin Americas), but Trident also has operations in Europe (25% of sales), Asia (4% of sales), and Latin America(4% of sales). For the twelve months ended March 31, 2019, sales were approximately $875 million. Trident is a portfolio company of Genstar Capital and does not publicly disclose financial information. The principal methodology used in these ratings was Packaging Manufacturers: Metal, Glass, and Plastic Containers published in May 2018. VALERITAS HOLDINGS: Settles Patent Dispute with Roche Diabetes -------------------------------------------------------------- Valeritas Holdings, Inc. entered into a confidential settlement agreement with Roche Diabetes Care, Inc., whereby the Company and Roche agreed to terminate their previously disclosed Inter Partes Review proceedings related to one of its patents (US Patent No. 6,736,795), which expires on Sept. 23, 2020 and dismiss with prejudice all claims and counterclaims asserted by the Company and Roche in connection with their previously disclosed dispute surrounding the Patent. In exchange for the Settlement, Roche has granted the Company a non-exclusive, worldwide, license to use the Patent, upon the terms and conditions set forth in the Settlement. The License will be valid from the date of the Settlement until the Patent expires and/or is no longer enforceable. In connection with the Settlement, the Company will pay to Roche an undisclosed amount in multiple payments over time determined not to be material to the Company. About Valeritas Holdings Valeritas -- http://www.valeritas.com-- is a commercial-stage medical technology company focused on improving health and simplifying life for people with diabetes by developing and commercializing innovative technologies. Valeritas' flagship product, V-Go Wearable Insulin Delivery device, is a simple, affordable, all-in-one basal-bolus insulin delivery option for patients with type 2 diabetes that is worn like a patch and can eliminate the need for taking multiple daily shots. V-Go administers a continuous preset basal rate of insulin over 24 hours, and it provides discreet on-demand bolus dosing at mealtimes. It is the only basal-bolus insulin delivery device on the market today specifically designed keeping in mind the needs of type 2 diabetes patients. Headquartered in Bridgewater, New Jersey, Valeritas operates its R&D functions in Marlborough, Massachusetts. Valeritas incurred a net loss of $45.92 million in 2018, following a net loss of $49.30 million in 2017. As of March 31, 2019, Valeritas had $59.59 million in total assets, $58.12 million in total liabilities, and $1.46 million in total stockholders' equity. Friedman LLP, in East Hanover, New Jersey, the Company's auditor since 2016, issued a "going concern" opinion in its report dated March 5, 2019, on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has recurring losses and negative cash flows from operations. These conditions, among others, raise substantial doubt about the Company's ability to continue as a going concern. WEATHERFORD INTERNATONAL: Proskauer Rose Represents Equityholders ----------------------------------------------------------------- Pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure, the law firm of Proskauer Rose, LLP provided notice that it is representing the Ad Hoc Committee of Equity Security Holders in the Chapter 11 cases of Weatherford International PLC, et al. As of July 10, 2019, the members of the Ad Hoc Committee of Equityholders and their disclosable economic interests are: (1) Silver Point Capital, L.P., on behalf of its affiliated funds 2 Greenwich Plaza, 1st Fl. Greenwich, CT 06830 * Ordinary shares: 84,708,310 (2) Latigo Partners 450 Park Ave. New York, NY 10022 * Ordinary shares: 71,980,840 (3) Funds, accounts, and other clients managed by affiliates of Apollo Global Management 9 West 57th St., 43rd Fl. New York, NY 10019 * Ordinary shares: 44,311,678 * A&R revolving credit facility loans: $11,728,931.36 * Purchased credit default swaps for $1 million (4) Diameter Master Fund LP 24 W. 40th St., 5th Fl. New York, NY 10018 * Ordinary shares: 20,000,000 * Net zero position on credit default swaps (5) Paloma Partners Management Company, on behalf of managed funds 2 American Lane Greenwich, CT 06831 * Ordinary shares: 19,300,000 * Net sold credit default swaps on unsecured notes for $2.9 million (6) Weiss Multi-Strategy Advisers, LLC 320 Park Avenue, 20th Fl. New York, NY 10022 * Ordinary shares: 10,000,000 Proskauer continues to represent each member of the Ad Hoc Committee of Equityholders in its individual capacity but refers to the collection of its clients as the “Ad Hoc Committee of Equityholders” for administrative convenience. Proskauer does not undertake to represent the interests of, and is not a fiduciary for, any other creditor, party in interest, or other entity. No member of the Ad Hoc Committee of Equityholders has or is a party to any agreement to act as a group or in concert with respect to its interests in Weatherford Parent, and each member of the Ad Hoc Committee of Equityholders has the unrestricted right to act as it chooses in respect of such interests without respect to the actions or interests of any other party. In addition, neither the Ad Hoc Committee of Equityholders nor any member of the Ad Hoc Committee of Equityholders (a) assumed any fiduciary or other duties to any other equity security holder or person and (b) does not purport to act, represent, or speak on behalf of any other entities in connection with the Chapter 11 Cases. Additional holders of equity securities of Weatherford Parent may become individual clients of Proskauer and members of the Ad Hoc Committee of Equityholders and certain members of the Ad Hoc Committee of Equityholders may cease to be members in the future. The Ad Hoc Committee of Equityholders, through its undersigned counsel, reserves the right to amend or supplement this verified statement as necessary for that or any other reason in accordance with the requirements set forth in Bankruptcy Rule 2019. Counsel to the Ad Hoc Committee of Equityholders can be reached at: PROSKAUER ROSE, LLP Martin J. Bienenstock, Esq. Timothy Q. Karcher, Esq. Chris Theodoridis, Esq. Joshua A. Esses, Esq. Eleven Times Square New York, NY 10036-8299 Telephone: (212) 969-3000 Facsimile: (212) 969-2900 Email: mbienenstock@proskauer.com tkarcher@proskauer.com ctheodoridis@proskauer.com jesses@proskauer.com A copy of the Rule 2019 filing is available at Pacermonitor.com at http://bankrupt.com/misc/Weatherford_International_164_Rule2019.pdf About Weatherford Weatherford (NYSE: WFT), an Irish public limited company and Swiss tax resident -- http://www.weatherford.com/-- is a multinational oilfield service company providing innovative solutions, technology and services to the oil and gas industry. The Company operates in over 80 countries and has a network of approximately 650 locations, including manufacturing, service, research and development and training facilities and employs approximately 26,000 people. Weatherford reported a net loss attributable to the company of $2.81 billion for the year ended Dec. 31, 2018, compared to a net loss attributable to the company of $2.81 billion for the year ended Dec. 31, 2017. As of March 31, 2019, Weatherford had $6.51 billion in total assets, $10.62 billion in total liabilities, and a total shareholders' deficiency of $4.10 billion. On July 1, 2019, Weatherford International plc, Weatherford International, LLC, and Weatherford International Ltd. sought Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 19-33694). Thbe Hon. David R. Jones is the case judge. The Debtor tapped Hunton Andrews Kurth LLP and Latham & Watkins LLP as counsel; ALVAREZ & MARSAL NORTH AMERICA LLC as financial advisor; and LAZARD FRERES & CO. LLC as investment banker. PRIME CLERK LLC is the claims agent. WEATHERLY OIL: Unsecureds Unlikely to Get Distribution Under Plan ----------------------------------------------------------------- Weatherly Oil & Gas, LLC, files a further amended Chapter 11 Plan and accompanying disclosure statement to provide that pursuant to the Final DIP Order, Class 3 Secured Parties claims and liens have been allowed in full and therefore, given the value of the prepetition collateral, in the event of a conversion to Chapter 7, parties junior to the Class 3 Secured Parties are unlikely to receive any distributions. Only through confirmation of the Plan are Holders of Class 4 General Unsecured Claims likely to receive any recovery. The Debtor supports confirmation of the Plan and recommends all Holders of Claims entitled to vote on the Plan to vote to accept the Plan. The Official Committee of Unsecured Creditors opposes confirmation of the Plan and recommends all Holders of Claims entitled to vote on the Plan to vote to reject the Plan. Unsecured Claims (Class 4) are impaired. Each Holder of an Allowed General Unsecured Claim will receive, in full and final satisfaction, settlement, release, and discharge of, and in exchange for, such General Unsecured Claim, its Pro Rata share of 40% of the proceeds of the Company Claims Account pursuant to the terms of the Liquidation Trust Agreement; and each Holder of an Allowed Secured Parties Deficiency Claim will receive, in full and final satisfaction, settlement, release, and discharge of, and in exchange for, such Secured Parties Deficiency Claim, its Pro Rata share of (i) 20% of the proceeds of the Company Claims Account pursuant to the terms of the Liquidation Trust Agreement; (ii) any funds returning to the Debtor on account of any posted bonds and/or letters of credit; and (iii) if the Holders of Allowed General Unsecured Claims and the Holders of Allowed State Environmental Claims have been paid in full, 100% of the remaining proceeds of the Company Claims Account pursuant to the terms of the Liquidation Trust Agreement. Secured Parties Claims (Class 3) are impaired. Each Holder of an Allowed Secured Parties Claim will receive, in full and final satisfaction, settlement, release, and discharge of, and in exchange for, such Secured Parties Claim, on the Effective Date, the Holder’s Pro Rata share of the Secured Parties Pool. Any outstanding Secured Parties Claim remaining after exhaustion of the Secured Parties Pool shall be deemed an Allowed Secured Parties Deficiency Claim and the Holder of such Allowed Secured Parties Deficiency Claim shall be entitled to vote and receive treatment as a Holder of an Allowed Unsecured Claim pursuant to Class 4. State Environmental Claims (Class 5) are impaired. Each Holder of an Allowed States’ Claim will receive, in full and final satisfaction, settlement, release, and discharge of, and in exchange for, such States’ Claim, its share of 40% of the proceeds of the Company Claims Account pursuant to the terms of the Liquidation Trust Agreement. Intercompany Claims (Class 6) are impaired. On the Effective Date, all Intercompany Claims shall be released, canceled or waived. No Distribution shall be made on account of the Intercompany Claims. Equity Interests in the Debtor (Class 7) are impaired. On the Effective Date, all Equity Interests in the Debtor shall be canceled. No Distribution shall be made on account of the Equity Interests in the Debtor. Except as otherwise provided in the Plan or the Confirmation Order, on the Effective Date, the Debtor shall transfer the Liquidation Trust Assets to the Liquidation Trust, and all such assets shall vest in the Liquidation Trust on such date, to be administered by the Liquidation Trustee in accordance with the Plan and the Liquidation Trust Agreement. Except as set forth in Section III.J of the Plan, the Liquidation Trust Assets shall be transferred to the Liquidation Trust free and clear of all Claims, Liens, and encumbrances to the fullest extent provided by section 363 or 1123 of the Bankruptcy Code. A full-text copy of the Disclosure Statement dated July 11, 2019, is available at https://tinyurl.com/y6l7328a from PacerMonitor.com at no charge. A redlined version of the Disclosure Statement dated July 11, 2019, is available at https://tinyurl.com/y4bdfzyr from Epiq11.com at no charge. The Plan was filed by Matthew D. Cavenaugh, Esq., Elizabeth C. Freeman, Esq., Kristhy M. Peguero, Esq., and Veronica A. Polnick, Esq., at Jackson Walker L.L.P., in Houston, Texas, on behalf of the Debtor. About Weatherly Oil & Gas Weatherly Oil & Gas, LLC -- https://www.weatherlyop.com -- is a Fort Worth-based oil and natural gas company primarily focused on exploiting natural resources in the Ark-La-Tex region. Weatherly is operated by an affiliate Weatherly Operating, LLC. Weatherly Oil & Gas filed a voluntary petition under Chapter 11 of the US Bankruptcy Code (Bankr. S.D. Tex. Case No. 19-31087) on Feb. 28, 2019. In the petition signed by Scott Pinsonnault, chief restructuring officer, the Debtor estimated $50 million to $100 million in assets and $100 million to $500 million in liabilities. The Debtor tapped Jackson Walker LLP as its legal counsel; Tenoaks Energy Partners, LLC as sales agent; Ankura Consulting Group, LLC, as restructuring advisor; and Epiq Corporate Restructuring LLC as notice and claims agent. The Office of the U.S. Trustee on March 15 appointed three creditors to serve on the official committee of unsecured creditors in the Chapter 11 case of Weatherly Oil & Gas, LLC. The Committee retained Jones Walker LLP as counsel and Conway MacKenzie, Inc., as financial advisor. WILLOWOOD USA: Unsecureds to Get Paid From Litigation Proceeds -------------------------------------------------------------- Willowood USA Holdings, LLC, et al., files a Chapter 11 Plan and accompanying Disclosure Statement. Class 4 - General Unsecured Claims are impaired. Each Holder of an Allowed Class 4 Unsecured Claim will receive interests in the Litigation Trust and the Litigation Trust will distribute the Litigation Trust Proceeds, in full and final satisfaction of such Allowed Class 4 Unsecured Claim as follows: (1) The Tier 2 Distribution of the Litigation Trust Proceeds shall be split equally among (i) Tree Line in reduction of the Deficiency Claim and (ii) Holders of Allowed Class 4 Unsecured Claims, (2) As is further described in the Plan, the Tier 3 Distribution of the Litigation Trust Proceeds shall be shared Pro Rata by Holders of an Allowed Class 4 Unsecured Claims, including Distributions to Tree Line on account of the Deficiency Claim. Class 2 - Secured Claim and Unsecured Deficiency Claim of Tree Line are impaired. The Debtors shall remit to Tree Line Distributable Cash. In addition, Tree Line shall receive interests in the Litigation Trust and the Litigation Trust shall distribute the Litigation Trust Proceeds to Tree Line as follows: (a) the first $300,000.00 of Litigation Trust Proceeds, defined as a Tier 1 Distribution; (b) the next $2,500,000.00 of Litigation Trust Proceeds, defined as a Tier 2 Distribution, shall be split equally among (i) Tree Line, in reduction of the Deficiency Claim and (ii) Holders of Allowed Class 4 Unsecured Claims; (c) As is further defined in the Plan, the Tier 3 Distribution of the Litigation Trust Proceeds shall be shared Pro Rata by Holders of Allowed Class 4 Unsecured Claims, including Distributions to Tree Line on account of the Deficiency Claim. Class 5 - Intercompany Claims are impaired. On the Effective Date, all Intercompany Claims shall be eliminated and the Holders of Intercompany Claims shall not receive or retain any property under the Plan on account of such Claims. Class 6 - Intercompany Interests are impaired. On the Effective Date, all Intercompany Interests held by the Debtors shall be deemed automatically cancelled, released, and extinguished without further action by the Debtors or the Plan Administrator, and the Holders of Intercompany Interests shall not receive or retain any property under the Plan on account of such Interests. Class 7 - Equity Interests in the Debtors are impaired. Class 7 Equity Interest has been paid by the Debtors prior to the Effective Date or agrees to alternate treatment, each Holder of an Allowed Class 7 Equity Interest shall receive interests in the Litigation Trust and be paid its Pro Rata share of any Sale Proceeds and Litigation Trust recoveries. The Litigation Trust shall be funded with the following amounts on the Effective Date: (a) $250,000 deposited unencumbered into a segregated escrow account held by Debtors' counsel; (b) The Minimum Unsecured Creditor Reserve shall be deposited unencumbered into the Litigation Trust Account solely for distribution to unsecured creditors in accordance with the Plan; and (c) Upon the later of the final allowance of the Committee's professionals' final fees or the Effective Date of the Plan, from the Expenses Account, an amount equal to $750,000 minus the total allowed Committee's professionals' fees shall constitute additional Trust Administration Funds. A full-text copy of the Disclosure Statement dated July 11, 2019, is available at https://tinyurl.com/y2t5teoz from PacerMonitor.com at no charge. Attorneys for the Debtors are Michael J. Pankow, Esq., and Joshua M. Hantman, Esq., at Brownstein Hyatt Farber Schreck, LLP, in Denver, Colorado. About Willowood USA Holdings Willowood USA, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Colo. Case No. 19-11320) on Feb. 27, 2019. The case is jointly administered with the Chapter 11 case of Willowood USA Holdings, LLC (Bankr. D. Colo. Case No. 19-11079). At the time of the filing, the Debtor estimated assets of $10 million to $50 million and liabilities of the same range. The case is assigned to Judge Kimberley H. Tyson. Brownstein Hyatt Farber Schreck, LLP, is the Debtor's legal counsel; r2 advisors, llc, is the chief restructuring officer; and Piper Jaffray & Co., is the investment banker. Bankruptcy Management Solutions, Inc. d/b/a Stretto, is the claims and noticing agent. The Office of the U.S. Trustee on March 12, 2019, appointed an official committee of unsecured creditors in the Debtor's Chapter 11 case. The committee tapped CKR Law LLP and was substituted by Montgomery McCracken Walker and Rhoads LLP, as counsel; Kutner Brinen, P.C. as local co-counsel; and PricewaterhouseCoopers LLP as its financial advisor. XENETIC BIOSCIENCES: Prices $15-Mil. Underwritten Public Offering ----------------------------------------------------------------- Xenetic Biosciences, Inc. announced the pricing of an underwritten public offering of 2,300,000 shares of its common stock (or pre-funded warrants to purchase common stock in lieu thereof) and warrants to purchase up to 2,300,000 shares of the Company's common stock. Each share of common stock is being sold together with one warrant to purchase one share of common stock at a combined price to the public of $6.50 per share and warrant. Gross proceeds, before underwriting discounts and commissions and estimated offering expenses, are expected to be approximately $15.0 million. The warrants will be immediately exercisable at a price of $13.00 per share of common stock and will expire five years from the date of issuance. The warrants are expected to begin trading on the Nasdaq Capital Market on July 19, 2019 or as soon thereafter as practicable, under the symbol "XBIOW." The warrants also provide that if the weighted-average price of common stock on any trading day on or after 30 days after issuance is lower than the then-applicable exercise price per share, each warrant may be exercised, at the option of the holder, on a cashless basis for one share of common stock. The shares of common stock and the accompanying warrants, can only be purchased together in the offering, but will be issued separately and will be immediately separable upon issuance. The offering is expected to close on or about July 19, 2019, subject to customary closing conditions. Maxim Group LLC is acting as sole book-running manager in connection with the offering. Xenetic also has granted to the underwriter a 45-day option to purchase up to an additional 345,000 shares of common stock and/or warrants to purchase up to 345,000 shares of common stock, at the public offering price less discounts and commissions. The offering is being conducted pursuant to the Company's registration statement on Form S-1 (File No. 333-231508) previously filed with and subsequently declared effective by the Securities and Exchange Commission. A prospectus relating to the offering will be filed with the SEC and will be available on the SEC's website at http://www.sec.gov. Electronic copies of the prospectus relating to this offering, when available, may be obtained from Maxim Group LLC, 405 Lexington Avenue, 2nd Floor, New York, NY 10174, at (212) 895-3745. About Xenetic Biosciences Lexington, Massachusetts-based Xenetic Biosciences, Inc., is a clinical-stage biopharmaceutical company focused on the discovery, research and development of next-generation biologic drugs and novel orphan oncology therapeutics. Xenetic's lead investigational product candidate is oncology therapeutic XBIO-101 (sodium cridanimod) for the treatment of progesterone resistant endometrial cancer. Xenetic Biosciences reported a net loss of $7.30 million for the year ended Dec. 31, 2018, compared to a net loss of $3.59 million for the year ended Dec. 31, 2017. As of March 31, 2019, Xenetic Biosciences had $16.45 million in total assets, $4.93 million in total liabilities, and $11.51 million in total stockholders' equity. Marcum LLP, in Boston, Massachusetts, the Company's auditor since 2015, issued a "going concern" qualification in its report dated March 29, 2019 on the Company's consolidated financial statements for the year ended Dec. 31, 2018, citing that the Company has had recurring net losses and continues to experience negative cash flows from operations. These conditions raise substantial doubt about its ability to continue as a going concern. [^] BOOK REVIEW: Bankruptcy and Secured Lending in Cyberspace ------------------------------------------------------------- Author: Warren E. Agin Publisher: Bowne Publishing Co. List price: $225.00 Review by Gail Owens Hoelscher Red Hat Inc. finds itself with a high of 151 5/8 and low of 20 over the last 12 months! Microstrategy Inc. has roller-coasted from a high of 333 to a low of 7 over the same period! Just when the IPO boom is imploding and high-technology companies are running out of cash, Warren Agin comes out with a guide to the legal issues of the cyberage. The word "cyberspace" did not appear in the Merriam-Webster Dictionary until 1986, defined as "the on-line world of computer networks." The word "Internet" showed up that year as well, as "an electronic communications network that connects computer networks and organizational computer facilities around the world." Cyberspace has been leading a kaleidoscopic parade ever since, with the legal profession striding smartly in rhythm. There is no definition for the word "cyberassets" in the current Merriam-Webster. Fortunately, Bankruptcy and Secured Lending in Cyberspace tells us what cyberassets are and lays out in meticulous detail how to address them, not only for troubled technology companies, but for all companies with websites and domain names. Cyberassets are primarily websites and domain names, but also include technology contracts and licenses. There are four types of assets embodied in a website: content, hardware, the Internet connection, and software. The website's content is its fundamental asset and may include databases, text, pictures, and video and sound clips. The value of a website depends largely on the traffic it generates. A domain name provides the mechanism to reach the information provided by a company on its website, or find the products or services the company is selling over the Internet. Examples are Amazon.com, bankrupt.com, and "swiggartagin.com." Determining the value of a domain name is comparable to valuing trademark rights. Domain names can come at a high price! Compaq Computer Corp. paid Alta Vista Technology Inc. more than $3 million for "Altavista.com" when it developed its AltaVista search engine. The subject matter covered in this book falls into three groups: the Internet's effect on the practice of bankruptcy law; the ways substantive bankruptcy law handles the impact of cyberspace on basic concepts and procedures; and issues related to cyberassets as secured lending collateral. The book includes point-by-point treatment of the effect of cyberassets on venue and jurisdiction in bankruptcy proceedings; electronic filing and access to official records and pleadings in bankruptcy cases; using the Internet for communications and noticing in bankruptcy cases; administration of bankruptcy estates with cyberassets; selling bankruptcy estate assets over the Internet; trading in bankruptcy claims over the Internet; and technology contracts and licenses under the bankruptcy codes. The chapters on secured lending detail technology escrow agreements for cyberassets; obtaining and perfecting security interests for cyberassets; enforcing rights against collateral for cyberassets; and bankruptcy concerns for the secured lender with regard to cyberassets. The book concludes with chapters on Y2K and bankruptcy; revisions in the Uniform Commercial Code in the electronic age; and a compendium of bankruptcy and secured lending resources on the Internet. The appendix consists of a comprehensive set of forms for cyberspace-related bankruptcy issues and cyberasset lending transactions. The forms include bankruptcy orders authorizing a domain name sale; forms for electronic filing of documents; bankruptcy motions related to domain names; and security agreements for Web sites. Bankruptcy and Secured Lending in Cyberspace is a well-written, succinct, and comprehensive reference for lending against cyberassets and treating cyberassets in bankruptcy cases. ********* 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. 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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. TCR subscribers have free access to our on-line news archive. Point your Web browser to http://TCRresources.bankrupt.com/and use the e-mail address to which your TCR is delivered to login. ********* 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 2019. 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. *** End of Transmission ***