/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/220801.mbx T R O U B L E D C O M P A N Y R E P O R T E R Monday, August 1, 2022, Vol. 26, No. 212 Headlines 109 JEROME AVE: Capital Contributions to Fund Plan Payments 2377 NW KEARNEY: Kenneth Eiler Appointed as Subchapter V Trustee 4TH STREET MEDICAL: September 7 Plan & Disclosure Hearing Set 4TH TAP BREWING: Files for Chapter 7 Bankruptcy 942 PENN RR: Wins Access to Cash Collateral 99 BELMONT: Unsecureds Unlikely to Get Full Payment in LFC Plan AEARO TECHNOLOGIES: 3M Taps Big Firms to Lighten $33B Debt Load AEARO TECHNOLOGIES: 3M Unit Seeks Chapter 11 Bankruptcy ALPHA METALLURGICAL: S&P Raises ICR to 'B' on Debt Extinguishment APARTMENT INCOME: Egan-Jones Retains BB+ Senior Unsecured Ratings ARTESIAN FUTURE: Unsecured Creditors to Split $50K in Plan AUGUSTUS INTELLIGENCE: Amended Liquidating Plan Confirmed by Judge AUTO WHOLESALE: Gets Interim OK to Hire James B. Miller as Counsel AVAGO TECHNOLOGIES: Egan-Jones Retains BB+ Sr. Unsecured Ratings B&G PROPERTY: Case Summary & 18 Unsecured Creditors B.E.C BARAJAS: Seeks Cash Collateral Access BERWICK CLINIC: PCO Says Patient Care "Compromised" BLACK DIAMOND ENERGY: Files Bare-Bones Chapter 11 Petition BLACKBERRY LIMITED: Egan-Jones Retains CCC Sr. Unsecured Ratings BLACKSTONE OILFIELD: Files Chapter 11 Subchapter V Case BLUEPRINT INVESTMENT: Unsecureds to be Paid in Full in Plan BUCKHARDT TECHNOLOGIES: Wins Cash Collateral Access Thru Sept 2 BUCKINGHAM TOWER: Seeks Cash Collateral Access CALICOMP CORP: Court OKs Deal on Cash Collateral Access CALIFORNIA INDEPENDENT: Taps Fritzsche Associates as Accountant CARL MILLER: Wins Continued Cash Collateral Access CELSIUS NETWORK: Customers Write Pleas to Court to Get Crypto Back CELSIUS NETWORK: Seeks Bid For Crypto Custodian GK8 By August 15 CELSIUS NETWORK: U.S. Trustee Appoints Creditors' Committee CITE LLC: Sub V Trustee Has Cash Collateral Access Thru Aug 28 CLASSIC REFRIGERATION: Files for Chapter Amid $3M Judgment CLASSIC REFRIGERATION: Wins Cash Collateral Access Thru Aug 24 COLORADO WORLD: Seeks to Hire Bonnie Bell Bond as Legal Counsel CORSICANA BEDDING: $58MM in DIP Loans Win Final OK COTTAGE GROVE: Wins Cash Collateral Access Thru Jan 2023 CROSS RIDGE: Wins Cash Collateral Access Thru Aug 5 CS GROUP: Wins Cash Collateral Access Thru Aug 31 DENTAL LAND: Unsecureds Will Get 5.1% in Subchapter V Plan DGS REALTY: Seeks to Continue Using Cash Collateral Thru Oct 31 DIOCESE OF ROCHESTER: Objects to About 100 Sexual-Abuse Claims EMPIRE INVESTMENTS: Files Bare-Bones Chapter 11 Petition ENJOY TECHNOLOGY: Asurion Eyes Purchase of Co. For $110 Mil. EQT CORP: Egan-Jones Retains BB+ Senior Unsecured Ratings FMC TECHNOLOGIES: Egan-Jones Retains BB Senior Unsecured Ratings FREE SPEECH: Case Summary & 20 Largest Unsecured Creditors GAP INC: Egan-Jones Retains B+ Senior Unsecured Ratings GLOBAL ALLIANCE: Aug 3 Hearing on Continued Cash Collateral Use GS MORTGAGE 2016-GS3: Fitch Affirms CCC Rating on Class F Certs HARSCO CORP: Egan-Jones Retains BB- Senior Unsecured Ratings HAWAIIAN HOLDINGS: Egan-Jones Retains CCC- Sr. Unsecured Ratings HOWMET AEROSPACE: Egan-Jones Retains BB Senior Unsecured Ratings HUCKLEBERRY PARTNERS: U.S. Trustee Unable to Appoint Committee IGLESIA CRISTIANA: Files Bare-Bones Chapter 11 Petition INFOW LLC: Hook Defamation Trial in Texas Begins INFOW LLC: Jury Hears $150 Mil. Damages Bid as Jones Trial Starts INSYS THERAPEUTICS: Ex-Exec. Seeks Compasionate Release JHW ALPHIA: S&P Affirms 'CCC+' ICR, Off CreditWatch Negative JODY INC: Unsecured Creditors Will Get 100% of Claims in 5 Years JT MEAT & GROCERY: Unsecureds Will Get 100% of Claims in Plan KHAF CORPORATION: Unsecureds to Get $2K per Month for 60 Months LIEB PROPERTIES: Wilson Seeks Case Trustee or Chapter 7 Conversion LIVEWELL ASSISTED: Wins Cash Collateral Access Thru Aug 31 LIZARD IN LOS ANGELES: Files Bare-Bones Chapter 11 Petition LTL MANAGEMENT: Talc Claimants Spar Over Chapter 11 Path MARINE WHOLESALE: Seeks to Hire Trojan and Company as Accountant MARINE WHOLESALE: Taps Haberbush LLP as Bankruptcy Counsel MARINE WHOLESALE: Taps Neville Peterson as Special Tax Law Counsel MASTEN SPACE SYSTEMS: NASA Contractor Enters Chapter 11 MASTEN SPACE: Case Summary & 20 Largest Unsecured Creditors MICROCHIP TECHNOLOGY: Egan-Jones Retains BB+ Sr. Unsecured Ratings MOHAMED A. EL RAFAEI: UST Appoints Jason Gold as Ch. 11 Trustee MOUNTAIN PROVINCE DIAMONDS: S&P Downgrades ICR to 'SD' MOUNTAINSKY LANDSCAPING: Starts Subchapter V Case NATIONWIDE FREIGHT: Wins Cash Collateral Access Thru Aug 31 NORTH EAST FREIGHTWAYS: LandAir Files for Chapter 7 Bankruptcy NORTHWEST SENIOR: Won't Indemnify Committee Financial Adviser NOV INC: Egan-Jones Retains B+ Senior Unsecured Ratings OCTAGON 66: Fitch Assigns BB- Rating on Class E Debt OLIVER DEVELOPMENT: Unsecureds Will Get 100% in Subchapter V Plan OSMOSE UTILITIES: S&P Alters Outlook to Negative, Affirms 'B' ICR PELCO STRUCTURAL: Unsecureds to Recover 1.37% to 6.57% in Plan PENN NATIONAL: Egan-Jones Retains B- Senior Unsecured Ratings PEYTO EXPLORATION: Egan-Jones Hikes Sr. Unsecured Ratings to BB+ PLATFORM II LAWNDALE: Wins Interim Cash Collateral Access RED RIVER: Committee Says Plan & Disclosure Inaccurate RED RIVER: TBK Bank Says Plan Patently Unconfirmable RHCSC COLUMBUS: No Decline in Resident Care, 5th PCO Report Says RHCSC DOUGLAS: No Decline in Resident Care, 5th PCO Report Says RHCSC GAINESVILLE: No Decline in Care, 5th PCO Report Says RHCSC ROME: No Decline in Resident Care, 5th PCO Report Says RHCSC SAVANNAH: No Decline in Resident Care, 5th PCO Report Says RHCSC SOCIAL: No Decline in Resident Care, 5th PCO Report Says RKJ HOTEL: Bid to Use Cash Collateral Denied RUSSIAN MEDIA: Court OKs Deal on Cash Collateral Access SAS AB: Cityjet, CFM International Out as Committee Members SHENANDOAH TELECOM: Egan-Jones Retains BB Sr. Unsecured Ratings SPUDDOG FARM: Gets OK to Hire David Jennis as Bankruptcy Counsel SS&C TECHNOLOGIES: Egan-Jones Retains BB Senior Unsecured Ratings TD SYNNEX: Egan-Jones Retains BB+ Senior Unsecured Ratings TEXAS MARINE: Wins Cash Collateral Access Thru Aug 22 THOMAS BEESON: Court Directs Chapter 11 Trustee Appointment TITLE PIPE: Real Estate Platform Starts Subchapter V Case TORINO CAMPUS: Seeks to Hire Brian K. McMahon as Counsel VALARIS PLC: Reactivates 4 Floaters a Year After Chapter 11 VANTAGE SPECIALTY: S&P Upgrades ICR to 'B-', Outlook Stable VECTOR GROUP: Egan-Jones Retains CCC+ Senior Unsecured Ratings VENGA HOLDINGS: S&P Assigns 'B' Long-Term ICR, Outlook Stable WATSONVILLE HOSPITAL: PCO Files Third Interim Report WEINBERG CAPITAL: Case Summary & Seven Unsecured Creditors WESTERN AUSTRALIAN: Sept. 6 Disclosure Statement Hearing Set WEYERBACHER BREWING: Court OKs Cash Collateral Access Thru Aug 16 YUM! BRANDS: Egan-Jones Retains BB+ Senior Unsecured Ratings ZHR BROS: Voluntary Chapter 11 Case Summary [^] BOND PRICING: For the Week from July 25 to 29, 2022 ********* 109 JEROME AVE: Capital Contributions to Fund Plan Payments ----------------------------------------------------------- 109 Jerome Ave, LLC filed with the U.S. Bankruptcy Court for the District of New Jersey a Disclosure Statement describing Chapter 11 Plan dated July 28, 2022. The Debtor is a limited liability company of the state of New Jersey. It has two members, Barbara and Joseph Safdieh. The Debtor's only asset is residential real property located at 109 Jerome Avenue, Deal, New Jersey 07723 (the "109 Jerome Property"). The Debtor filed Chapter 11 because the 109 Jerome Property was scheduled to be sold at a sheriff sale in connection with a mortgage foreclosure action that had been initiated against the Debtor by Maxim Credit Group LLC. The 109 Jerome Property is worth far more than the amount owed to Maxim. Chapter 11 was filed in order to preserve the equity in the property for the benefit of all creditors and equity holders. The 109 Jerome Property was appraised by Robert Lamar Stack, MAI, FRICS who was hired by Maxim, He opined that the market value of the 109 Jerome Property was $8,000,000 as of October 14, 2020. The Debtor believes that the value has increased substantially since then and is now in excess of $10,000,000. Class 1 consists of the Allowed Secured Claim of US Bank Cust/PC8Firsttrust Ban in the amount as of the Petition Date of $124,410.92. The Allowed Claim in this Class shall be paid in full without interest as follows: $15,551.37 on the Effective Date and a like amount every three months thereafter until paid in full. Class 2 consists of the Disputed Secured Claim of Maxim Credit Group, LLC in the amount as of the Petition Date of $5,291,498.39. The Claim shall be fixed as of Confirmation by adding to the Petition Date Claim interest at the rate of 6.5% per year which amounts to $28,662.28 per month, provided however that if Maxim objects to the interest rate, the Court shall determine the proper rate of interest (the "Adjudicated Rate") and the monthly payments will be adjusted accordingly. The Claim as increased shall be paid based upon a twenty-year amortization with a balloon final payment in 5 years in bimonthly payments, applied first to interest at the annual rate of 6.5% (or the Adjudicated Rate, whichever is higher) and the balance to principal, commencing on the Effective Date and ending on the fifth anniversary date of the Effective Date at which time the then outstanding amount due shall be paid in full. The Debtor estimates that the bimonthly payments to commence on the Effective Date will be approximately $80,719.60. Class 3 consists of the Allowed Secured Claim of Rosenthal & Rosenthal, Inc in the amount as of the Petition Date of $340,778.41 (the "Rosenthal Claim"). The Rosenthal Claim shall be paid in full together with interest as follows: $100,000.00 on the Effective Date; interest shall accrue and be paid monthly at an annual rate of 6.5%; the remaining principal ($287,943.51) shall be paid in 24 months as follows: (i) six months after the Effective Date - $75,000; (ii) 12 months after the Effective Date - $75,000, (iii) 18 months after the effective date - $75,000; (iv) 24 months after the Effective Date – the balance owed inclusive of accrued interest, penalties and fees. Class 7 consists of Membership Interests of Joseph and Safdieh. The holders of the membership interests shall retain their ownership and be unaffected by the Plan. The payments to be made under the Plan shall be funded by capital contributions made by the Managing Member. The Managing Member has access to funds by virtue of friends and relatives who have the means to provide the necessary funding. The Balloon Payment to Maxim will be funded by either refinancing the 190 Jerome Property or selling it. If the Debtor has not obtained a written commitment from a legitimate financial institution on or before 3 months prior to the due date of the final payment to Maxim, the Debtor shall be listed for sale with a licensed real estate broker and marketed for its fair market value. The amount owed on account of Allowed Claims shall be paid at the time of closing. A full-text copy of the Disclosure Statement dated July 28, 2022, is available at https://bit.ly/3cMdNt7 from PacerMonitor.com at no charge. About 109 Jerome Ave 109 Jerome Ave LLC is the fee simple owner of a real property located at 109 Jerome Ave, Deal, NJ 07723-1356 valued at $10 million (based on Debtor's opinion). The Debtor filed Chapter 11 Petition (Bankr. D.N.J. Case No. 22-13417) on April 27, 2022. In the petition signed by Joseph Safdieh, managing member, the Debtor disclosed $10 million to $50 million in assets and $1 million to $10 million in liabilities. Timothy P. Neumann, Esq. Of BROEGE, NEUMANN, FISCHER & SHAVER LLC is the Debtor's Counsel. 2377 NW KEARNEY: Kenneth Eiler Appointed as Subchapter V Trustee ---------------------------------------------------------------- Gregory M. Garvin, the United States Trustee for Region 18, appointed Kenneth S. Eiler as Subchapter V Trustee for 2377 NW Kearney, LLC. To the best of the United States Trustee's knowledge, Mr. Eiler's connections with the Debtor, creditors, and other parties-in interest, their respective attorneys and accountants are limited to the connections set forth in Mr. Eiler's Verified Statement. The Subchapter V trustee can be reached at: Kenneth S. Eiler 515 NW Saltzman Rd., PMB 810 Portland, OR 97201 Telephone: (503) 292-6020 E-mail: kenneth.eiler7@gmail.com About 2377 NW Kearney 2377 NW Kearney, LLC filed Chapter 11 Petition (Bankr. D. Ore. Case No. 22-31209) on July 26, 2022. In the petition signed by Jacqueline Alexander, member, the Debtor disclosed $1 million to $10 million in assets and liabilities. The Hon. David W. Hercher oversees the case. The Law Offices of Keith Y. Boyd serves as the Debtor's counsel. 4TH STREET MEDICAL: September 7 Plan & Disclosure Hearing Set ------------------------------------------------------------- 4th Street Medical Building, LLC, filed with the U.S. Bankruptcy Court for the Northern District of California a Combined Chapter 11 Plan of Reorganization and Disclosure Statement. On July 26, 2022, Judge Charles Novack tentatively approved the Disclosure Statement and ordered that: * September 7, 2022 at 11:00 a.m. is the final hearing on the adequacy of the Disclosure Statement, Chapter 11 Plan confirmation hearing and continued status conference. * August 26, 2022 is fixed as the last day to file and serve any objections to the confirmation of the Chapter 11 Plan. * August 26, 2022 is fixed as the last day to submit ballots to Debtor's counsel. * August 31, 2022 is fixed as the last day to file a ballot summary and memorandum in support of Plan confirmation. A full-text copy of the order dated July 26, 2022, is available at https://bit.ly/3bby8rv from PacerMonitor.com at no charge. Attorney for Debtor: Steven M. Olson, Esq. Bluestone Faircloth & Olson, LLP 1825 4th Street Santa Rosa, CA 95404 Telephone: (707) 526-4250 Facsimile: (707) 526-0347 Email: steve@bfolegal.com About 4th Street Medical Building 4th Street Medical Building, LLC, a single asset real estate, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 22-10124) on March 28, 2022. In the petition signed by Ruth Skidmore, chair of managers, the Debtor disclosed up to $10 million in both assets and liabilities. 4TH TAP BREWING: Files for Chapter 7 Bankruptcy ----------------------------------------------- Paul Thompson of Austin Business Journal reports that North Austin beer maker 4th Tap Brewing Cooperative on July 20, 2022 made the gutting decision to file for Chapter 7 bankruptcy. Unlike a Chapter 11 bankruptcy, in which a business seeks to restructure its finances and reorganize, a Chapter 7 bankruptcy indicates a business is seeking to liquidate its assets. 4th Tap has been operating its brewery and taproom in warehouse space at 10615 Metric Blvd. since 2015, co-founder John Stecker said. The bankruptcy filing listed less than $50,000 in estimated assets against $1 million to $10 million in liabilities. Stephen Sather of Barron & Newburger PC is representing 4th Tap in the bankruptcy. Because the bankruptcy was an emergency filing, it doesn't include all of 4th Tap's assets. Mr. Stecker estimated the company has about $500,000 in total assets, adding that much of 4th Tap's debt is internal. The brewery is currently closed, Mr. Stecker said, and it's unclear if it will reopen to sell off inventory. "It is up to the trustee to determine whether he wants to temporarily operate the business to liquidate the inventory," Mr. Sather said. Mr. Stecker described the bankruptcy as heartbreaking after dedicating the better part of a decade to the business. He said the decision to file for bankruptcy was the result of a powerful "one-two punch" of economic burdens, caused by the business disruptions of the Covid-19 pandemic and ever-rising rents in that fast-growing sector of North Austin. About 4th Tap Brewing Co-op 4th Tap Brewing Cooperative is an Austin, Texas-based brewing company. 4th Tap Brewing Cooperative filed a Chapter 7 bankruptcy petition (Bankr. W.D. Tex. Case No. 22-bk-10451) on July 20, 2022. The Debtor's counsel: Stephen W. Sather Barron & Newburger, PC 512-476-9103 ext 220 ssather@bn-lawyers.com 942 PENN RR: Wins Access to Cash Collateral ------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Florida authorized Barry E. Mukamal, the Chapter 11 Trustee of 942 Penn RR, LLC, to use cash collateral in accordance with his stipulation with 1250916 Ontario Limited and Immokalee Real Estate Holdings, LLC. The Trustee is permitted to use the cash collateral from the date of his appointment, June 27, 2022, to pay ordinary and necessary expenses to operate the Debtor's business, based on the sound exercise of his business judgment. To the extent it is determined Immokalee and Ontario possess valid, perfected, enforceable, and otherwise non-avoidable liens, Immokalee and Ontario are granted properly perfected, valid and enforceable security interests in post-petition collateral, which are not subject to any claims, counterclaims, defenses, setoff, recoupment, or deduction, and which are otherwise unavoidable and not subject to recharacterization or subordination pursuant to any provision of the Code, any agreement, or applicable non-bankruptcy law, for the benefit of Immokalee and Ontario, with the same validity and priority their prepetition liens attached to the prepetition collateral. The Replacement Liens will (1) be properly perfected, valid and enforceable liens without any further action by Debtor, Trustee or Immokalee and Ontario and without the execution, filing or recordation of any financing statements, security agreements, mortgages or other documents or instruments; and (2) remain in full force and effect notwithstanding any subsequent conversion or dismissal of the case. Any Replacement Liens granted will be at all times subject and junior to all unpaid fees due to the Office of the United States Trustee pursuant to 28 U.S.C. section 1930; and all unpaid fees required to be paid to the Clerk of the Bankruptcy Court. The Trustee is authorized to pay fees due to the Office of the United States Trustee pursuant to 28 U.S.C. section 1930. A final hearing on the Cash Collateral Motion is set for September 13 at 9:30 a.m., at the C. Clyde Atkins U.S. Courthouse, 301 N. Miami Avenue, Courtroom 8, Miami, FL 33128. A copy of the order is available at https://bit.ly/3z6HNHG from PacerMonitor.com. About 942 Penn RR 942 Penn RR, LLC is the fee simple owner of a real property also known as 942 Pennsylvania, Avenue, Miami Beach, Fla., valued at $1.62 million. 942 Penn RR filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 22-14038) on May 23, 2022. In the petition filed by Raziel Ofer, manager, the Debtor disclosed $1,617,630 in total assets and $27,179,541 in total liabilities. Judge Robert A. Mark oversees the case. The Law Office of Mark S. Roher, PA serves as the Debtor's counsel. 99 BELMONT: Unsecureds Unlikely to Get Full Payment in LFC Plan --------------------------------------------------------------- LFC Aquisition I LLC filed with the U.S. Bankruptcy Court for the Eastern District of New York a Disclosure Statement describing Plan of Liquidation for 99 Belmont LLC dated July 26, 2022. The Debtor's primary asset is property located at 99 Belmont Avenue, Brooklyn, New York (the "Real Property"), which consists of 2 residential dwellings and a single commercial space on the ground floor. Prior to the Petition Date, on February 27, 2017, the Debtor entered a Promissory Note in favor of HAB Bank in the principal amount of $400,000 (the "Note"). In connection with the Note, the Debtor executed a mortgage in favor of Hab, which pledged the Real Property as collateral to secure, among other things, payments due HAB (the "Mortgage" and, together with the Note, the "Loan"). The Loan was thereafter assigned to LFC, and, as a result LFC holds a valid, perfected first priority security interest on the Real Property, together with all rents generated from the Real Property, and on certain personal property of the Debtor. Prior to the Petition Date, the Debtor defaulted on its obligations under the Loan. As a result of the Debtor's default, LFC filed a Summons and Verified Complaint, in the Supreme Court of New York, Kings County (the "State Court"). On February 2, 2022, the State Court entered a Judgment of Foreclosure and Sale in favor of LFC. Thereafter, the Debtor filed the instant Bankruptcy Case. LFC is the proponent of the Plan within the meaning of section 1129 of the Bankruptcy Code. The terms of LFC's Plan are based upon, among other things, the Debtor's filed schedules, and LFC’s ability make the distributions contemplated under the Plan. Class 1 Claim consists of the Secured Claim of LFC secured by a mortgage lien on substantially the Debtor's Real Property located at 99 Belmont Avenue, Brooklyn, New York. The Holder of the Allowed Class 1 Claim, through its designee, shall receive (i)(A) title to the Real Property free and clear of all liens, claims, encumbrances and interests, or (B) Sale Proceeds sufficient to pay its Secured Claim; (ii) exclusive standing to pursue, abandon, and settle all Causes of Action; and (iii) exclusive standing to object, allow and settle all Claims filed against the Debtor. Class 1 is Impaired. Class 2 Claim consists of the Secured Claim of New York City Water Board secured by a statutory lien on substantially the Debtor's Real Property located at 99 Belmont Avenue, Brooklyn, New York. Class 2 is Unimpaired, and Holders of Class 2 Claims are conclusively presumed to have accepted the Plan. Therefore, Holders of Class 2 Claims are not entitled to vote to accept or reject the Plan; provided, however, that all Class 2 Claims shall be subject to Allowance under the provisions of the Plan. Class 3 Claims shall consist of those Allowed Other Priority Claims accorded priority in right of payment under section 507(a) of the Bankruptcy Code, other than a Claim of a governmental unit of the kind specified in section 507(a)(8) of the Bankruptcy Code. Holders of Allowed Priority Unsecured Claims may not receive a full distribution under the Plan. Class 3 is Impaired. Class 4 shall consist of Allowed General Unsecured Claims. Allowed General Unsecured Claims may not receive a full distribution under the Plan. Class 4 is Impaired. Class 5 shall consist of Allowed Equity Interests in the Debtor. Equity Interest Holders shall not receive any distribution under the Plan. All Equity Interests shall be cancelled upon the Effective Date. Class 5 is Impaired. Payments under the Plan will be paid from either the Sale Proceeds, Cash turned over by the Debtor to the Disbursing Agent, and/or Cash to be contributed by Secured Creditor. The Sale Transaction will be implemented pursuant to sections 363 and 1123(a)(5)(D) of the Bankruptcy Code. Prior to or on the Effective Date, the Property shall be sold to the Purchaser free and clear of all Liens (except permitted encumbrances as determined by the Purchaser), with any such Liens, Claims and encumbrances to attach to the Sale Proceeds and disbursed in accordance with the provisions of the Plan. All Cash necessary for LFC to make payments required pursuant to the Plan will be funded from a combination of cash derived from the Sale and cash to be provided by LFC. A full-text copy of the Disclosure Statement dated July 26, 2022, is available at https://bit.ly/3PHa7qZ from PacerMonitor.com at no charge. Counsel to LFC Aquisition: Silverman Law PLLC Brett S. Silverman, Esq. 4 Terry Terrace Livingston, New Jersey 07039 brett@getconciergelaw.com 646.779.7210 About 99 Belmont 99 Belmont LLC's primary asset is property located at 99 Belmont Avenue, Brooklyn, New York (the "Real Property"). It filed a Chapter 11 bankruptcy petition (Bankr. E.D.N.Y. Case No. 22-40236) on Feb. 10, 2022. Vivian Sobers, Esq. of SOBERS LAW, PLLC, is the Debtor's counsel. AEARO TECHNOLOGIES: 3M Taps Big Firms to Lighten $33B Debt Load --------------------------------------------------------------- Brian Baxter of Bloomberg Law reports that 3M Co. has turned to at least three large law firms for assistance as it faces mounting liabilities from litigation. The company retained Wachtell, Lipton, Rosen & Katz to advise it on a tax-free spin-off of its $45 billion health care business by the end of 2023, 3M announced Tuesday. The company will keep a roughly 20% stake in the medical supplies company that it will sell off over time, 3M said in a statement. White & Case is advising 3M on a bankruptcy proceeding it has initiated for Aearo Technologies LLC, an Indianapolis-based company bought by 3M in 2008 that allegedly made faulty combat earplugs. Kirkland & Ellis is advising Aearo in its Chapter 11 proceedings in Indiana. Kirkland has had a role on nearly 5% of cases involving 3M in US federal courts within the past five years, as well as almost 4% for Aearo, per Bloomberg Law data. 3M faces roughly $33 billion in liabilities stemming from court fights over Aearo's earplugs and chemical compounds called per- and polyfluoroalkyl substances, or PFAS, Bloomberg reported in February. The company's bid to put Aearo into bankruptcy while steering clear of insolvency itself is a strategy that Johnson & Johnson and Purdue Pharma LP followed, according to Bloomberg. Both companies faced litigation over the liability shield they sought to raise in bankruptcy court. 3M is executing that strategy after hiring former Deutsche Bank AG executive Steven Reich earlier this year to be its new chief counsel for enterprise risk management. Reich, a former Big Law partner and Justice Department official, previously served as the top US in-house lawyer for Deutsche Bank during a time when the German financial services giant was facing a variety of legal and regulatory challenges. Reich works with 3M's new chief legal affairs officer, Kevin Rhodes, who took over in February after the company’s longtime law department leader Ivan Fong decamped for the top legal job at medical device maker Medtronic PLC. Bankruptcy Case Ice Miller is serving as co-counsel to Aearo in its bankruptcy case, for which 3M has committed $240 million to help fund, in addition to another $1 billion earmarked for a trust to resolve the defective earplug litigation. An Aearo Chapter 11 petition lists 20 plaintiffs’ law firms representing mass tort claimants, including lead counsel Seeger Weiss and Pensacola, Fla.-based Aylstock, Witkin, Kreis & Overholtz. Both firms issued a joint statement Tuesday criticizing 3M’s move to put Aearo into bankruptcy and pledged to fight the petition. "3M's bankruptcy maneuver is further proof that they value their profits and stock price more than the well-being of veterans who fought and served our country," the firms said. "Considering that juries have ruled in favor of 13 out of 19 service members whose cases went to trial and awarded nearly $300 million in damages, the trust to resolve earplug litigation claims is woefully underfunded and not the ‘efficient and equitable resolution' that 3M is desperately pretending it is." The Aearo matter isn't the only legal challenge that 3M has faced in recent months. Earlier this 2021, 3M joined other defendants in a $215 million privacy settlement to end class action litigation related to the collection of personal identification data on drivers using two Southern California toll roads. 3M subsequently hired Sooji Seo, an attorney and former chief privacy officer at Dell Technologies Inc., to serve as its new privacy chief. Seo and Reich both work with 3M's new chief legal affairs officer, Kevin Rhodes, who took over in February after the company's longtime law department leader Ivan Fong decamped for the top legal job at medical device maker Medtronic PLC. About Aearo Technologies Aearo Technologies -- https://earglobal.com/en -- is a 3M company that designs, manufactures, and sells personal protection equipment. The Company offers prescription and non-prescription safety eye wear, face shields, hard hats, and respirators. Aearo serves customers worldwide. To address claims related to the Combat Arms Earplugs Version 2, Aearo Technologies LLC and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ind. Lead Case No. 22-02890) on July 26, 2022. In the petition filed by John R. Castellano, as authorized signatory, Aearo Technologies estimated assets and liabilities between $1 billion and $10 billion each. 3M is not a debtor in the Chapter 11 cases. 3M has committed $1 billion to fund a trust allocated for Combat Arms claims. Kirkland & Ellis LLP is serving as legal counsel and AlixPartners LLP is serving as restructuring advisor to Aearo Technologies. Ice Miller LLP, is serving as bankruptcy co-counsel to the Debtors. Kroll is the claims agent. PJT Partners is serving as financial advisor and White & Case LLP is serving as legal counsel to 3M. AEARO TECHNOLOGIES: 3M Unit Seeks Chapter 11 Bankruptcy ------------------------------------------------------- 3M (NYSE: MMM) on July 26 announced that its Aearo Technologies subsidiary and related entities have voluntarily filed for bankruptcy, to help establish a trust funded by 3M to resolve claims related to the Combat Arms Earplugs Version 2. Aearo Technologies and related entities, all of which are wholly-owned 3M subsidiaries, have voluntarily initiated chapter 11 proceedings seeking court supervision to help establish a trust -- funded by 3M -- to efficiently and equitably resolve all claims determined to be entitled to compensation. 3M and Aearo Technologies believe the Combat Arms Earplugs were effective and safe when used properly, but nevertheless face increasing litigation, including approximately 115,000 filed claims and an additional 120,000 claims on an administrative docket as of June 30, 2022. The well-established chapter 11 process is intended to achieve an efficient and equitable resolution, reduce uncertainty, and increase clarity for all stakeholders, while reducing the cost and time that could otherwise be required to litigate thousands of cases. 3M and its other businesses have not filed for chapter 11 and will continue to operate as usual. Aearo Technologies will also continue to operate in the ordinary course. "We have great respect for the brave men and women who protect us, and remain committed to the military as an active partner and valued customer going forward," said 3M chairman and chief executive officer Mike Roman. "We determined that taking this decisive action now will allow 3M and Aearo Technologies to address these claims in a way that is more efficient and equitable than the current litigation." The company believes that, absent the actions taken today, the claims could take years, if not decades, to litigate on a case-by-case basis. With this change in strategy, this process is intended to resolve claims related to Combat Arms Earplugs in a manner that is more efficient and equitable to all parties. Announcement Details Aearo Technologies was acquired by 3M in 2008 and has since operated as a wholly-owned subsidiary of 3M. 3M has entered into a funding agreement with Aearo Technologies to establish a trust to resolve all claims determined to be entitled to compensation, and to support Aearo Technologies as it continues to operate during the chapter 11 process. The claims largely relate to the previous generation Combat Arms Earplugs manufactured by Aearo Technologies, as well as discontinued Aearo Technologies mask and respirator products utilized to reduce workplace exposure to asbestos, silica, coal mine dust or occupational dusts. Aearo Technologies has indemnified 3M for obligations related to the claims. 3M has committed $1 billion to fund the trust, based on the analysis of an experienced estimator of claims in chapter 11. 3M has also committed an additional $240 million to fund projected related case expenses. 3M will provide additional funding if required under the terms of the agreement. As a result, 3M recorded a total pre-tax charge of $1.2 billion, or $1.66 per share, and reflected it as an adjustment in arriving at its results, adjusted for special items. First Day Motions In conjunction with the chapter 11 process, Aearo Technologies will file customary first day motions with the bankruptcy court seeking authority to continue operating in the normal course of business, without interruption or disruption to its customers, vendors, and employees. The Aearo Technologies chapter 11 cases were filed in the U.S. Bankruptcy Court for the Southern District of Indiana. Additional information is available on resolvingearpluglitigation.com and www.3mearplugsfacts.com. Court filings and information about the chapter 11 cases are available on a separate website administered by Aearo Technologies' claims agent, Kroll; information is also available by calling (855) 639-3375 (Toll-Free US/ Canada) or +1 (347) 897-3818 (International); or by emailing aearotechnologiesinfo@ra.kroll.com. About Aearo Technologies Aearo Technologies -- https://earglobal.com/en -- is a 3M company that designs, manufactures, and sells personal protection equipment. The Company offers prescription and non-prescription safety eye wear, face shields, hard hats, and respirators. Aearo serves customers worldwide. To address claims related to the Combat Arms Earplugs Version 2, Aearo Technologies LLC and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ind. Lead Case No. 22-02890) on July 26, 2022. In the petition filed by John R. Castellano, as authorized signatory, Aearo Technologies estimated assets and liabilities between $1 billion and $10 billion each. 3M is not a debtor in the Chapter 11 cases. 3M has committed $1 billion to fund a trust allocated for Combat Arms claims. Kirkland & Ellis LLP is serving as legal counsel and AlixPartners LLP is serving as restructuring advisor to Aearo Technologies. Ice Miller LLP, is serving as bankruptcy co-counsel to the Debtors. Kroll is the claims agent. PJT Partners is serving as financial advisor and White & Case LLP is serving as legal counsel to 3M. ALPHA METALLURGICAL: S&P Raises ICR to 'B' on Debt Extinguishment ----------------------------------------------------------------- S&P Global Ratings raised its issuer credit rating on U.S.-based metallurgical (met) coal producer Alpha Metallurgical Resources Inc. to 'B' from 'B-'. The stable outlook reflects S&P's expectation that Alpha Met will sustain leverage below 2x in the next 12 months as it continues to consolidate its position as a major U.S. met coal supplier, following its transition from thermal coal. Alpha Met's capital structure compares favorably with that of most peers. The company currently has no funded debt within its capital structure following the prepayment of the $300 million balance outstanding on its term loan due 2024. S&P said, "We now project Alpha Met's adjusted leverage will remain comfortably below 1x in 2022 and close to 1x in 2023. This compares favorably with adjusted leverage of 1.8x as of Dec. 31, 2021, and our previous projection of 1.3x in 2023. At present, S&P Global Ratings' adjusted debt of $477 million is composed of asset retirement obligations, pension and postretirement benefits, workers compensation/self-insurance, and other contingent considerations. We expect some of these obligations will gradually decline following the closure of most of the company's thermal coal mines. Alpha Met also has an undrawn asset-based lending facility (ABL) of $155 million, which we do not rate." Alpha Met will likely generate robust cash flows to fund its capital allocation policy, which is currently skewed toward asset improvements and shareholder return. The company could generate about $900 million-$1.1 billion of cash flow from operations (CFO) in 2022 as favorable market conditions for met coal continue to spur record profits for companies in the coal industry. These projected funds, along with available cash of $159 million as of March 31, 2022, are sufficient to fund capital expenditure (capex) of $170 million-$190 million and various shareholder value-creation initiatives. Alpha Met continues to invest in enhancing both the quality of its operating assets and its shareholder value. Some of its mine development programs include Glen Alum and Cedar Grove No. 3, which will replace Horse Creek Eagle and Cedar Grove No. 2, respectively. These projects and other prep plant upgrades are expected to contribute about 560,000 incremental short tons annually on completion. The company also increased its share repurchase program by another $450 million in May 2022 to $600 million. In addition, the company announced the commencement of shareholder distributions in May 2022, with dividends fixed at $1.50 per share annually. Based on our projections, S&P expects Alpha Met has enough of a cash flow buffer to support its newly enhanced shareholder return initiatives. In addition, the company has the flexibility to scale back these initiatives in a market downturn to preserve liquidity, as it did in 2020 and 2021 when it suspended dividends and share repurchases in response to adverse market conditions. Alpha Met is still establishing its track record of operating as a pureplay met coal company. Alpha Met has almost completed its switch to a pureplay met coal company, with only one active thermal coal mine as of July 2022, compared with seven active mines in 2016. Met coal shipments will now account for more than 90% of total sales from 2022 onward, compared with 14% in 2016. S&P said, "Although the company is not entirely new to the met coal market, we consider the switch to being a pure play met coal producer as a significant overhaul of Alpha Met's business and the company has a limited track record of both operating and financial performance relative to Warrior Met Coal, its closest peer in this market. As a result, we holistically view Alpha Met as one notch lower than the initial combination of its business and financial risk profiles." S&P said, "The stable outlook reflects our expectation that Alpha Met will sustain leverage below 2x in the next 12 months as it continues to consolidate its position as a major U.S. met coal supplier, following its transition from thermal coal. We believe it will generate robust cash flows to support its capital allocation policy. "We could raise our rating on Alpha Met in the next 12 months if the company achieves credit measures in line with our expectations and improves its operational efficiency." Such a scenario will be consistent with: -- Leverage sustained below 3x -- A track record of delivering positive free operating cash flows -- EBITDA margins consistently above 15% S&P said, "We could lower our rating on Alpha Met in the next 12 months if the company pursued a large project, acquisition, or extensive shareholder returns, which would involve the use of debt. In such a scenario, we would expect leverage to increase to 5x." ESG credit indicators: E-4, S-3, G-2 APARTMENT INCOME: Egan-Jones Retains BB+ Senior Unsecured Ratings ----------------------------------------------------------------- Egan-Jones Ratings Company on July 11, 2022, retained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Apartment Income REIT LP. Aimco Properties, L.P. Headquartered in Denver, Colorado, Apartment Income REIT LP. Aimco Properties, L.P. provides real estate services. ARTESIAN FUTURE: Unsecured Creditors to Split $50K in Plan ---------------------------------------------------------- Artesian Future Technology, LLC, filed with the U.S. Bankruptcy Court for the Northern District of California a Plan of Reorganization for Small Business dated July 26, 2022. The Debtor is a North Carolina limited liability company that operated in Oakland, California and Durham, North Carolina. Prior to February, 2022, the Debtor manufactured high end computers and related parts for gaming and cryptocurrency mining. The Debtor proposes in this Subchapter V Plan to liquidate its assets and enter into a global settlement of all claims against its founder, Noah Katz, and the estate's blanket secured creditors, Belinda Novik and Barry Katz. The settlement funds the Plan with a combination of contributed proceeds of collateral and a monthly cash infusion over the Plan term. Under the Plan, the Debtor will pay its allowed priority claims for employee wages and benefits and consumer deposits in full, in cash on the Plan's Effective Date. Allowed priority tax claims will be paid in full in equal monthly installments with interest by April 1, 2027. Allowed unsecured claims will receive a pro rata share of $50,000 paid upon, or as soon as practicable after, the Effective Date. Secured creditors J.P. Morgan Chase, N.A. and Navitas will retain their liens against collateral and their legal, equitable and contractual rights without modification. Secured creditors Belinda Novik and Barry Katz will retain the lien that secured their collateral but agree to allow the use of their collateral to pay allowed non-tax priority claims as a Carve Out and will, in exchange for their Further Contribution as part of the Global Compromise receive an assignment of all claims and causes of action the estate may hold against them, Noah Katz, or any other person or entity and any defenses to claims the estate may hold upon the completion of payments under the Plan. The Plan Proponent's financial projections show that the Debtor will have projected disposable income of $193,296.35 plus a monthly contribution equal to the present value payments to holders of allowed tax claims with interest paid in equal installments until April 1, 2027. The final Plan payment is expected to be paid on or before April 1, 2027. This Plan of Reorganization proposes to pay creditors of the Debtor from the proceeds of the inventory liquidation, a sale of the Debtor's interest in the Tesla (or a provision of equivalent value to be supplied by Belinda Novik and Barry Katz), cash on hand, refunds from credit card charges reversed, the Carve Out from collateral and, if necessary, the Further Contribution, an infusion of capital from Belinda Novik and Barry Katz necessary to pay the holders of allowed priority tax claims under the Plan. Non-priority unsecured creditors holding allowed claims will receive distributions, which the proponent of this Plan has valued at approximately .0166 cents on the dollar. This Plan also provides for the payment of administrative and priority claims. Class 3 consists of Non-priority unsecured creditors. Holders of allowed non-priority unsecured claims shall receive a pro rata distribution of $50,000 on the Effective Date. This Class is impaired. Class 4 consists of Equity security holders. The equity security holders of the Debtor shall retain their interests without modification. The Debtor will liquidate all of its assets to cash as follows: * The Debtor will sell its half interest in the 2018 Tesla Model X it co-owns with Noah Katz, recover the credit balance on the credit card account that the Debtor used to pay creditors pre petition, obtain a refund from Bank of America of funds in the Debtor's pre-petition bank account and combine those funds with the funds in its DIP (post-petition bank account. Total proceeds from these items are referred to as "Unencumbered Cash." * The Debtor will complete the sale of assets from its Oakland and North Carolina warehouses and any other assets against which Belinda Novik and Barry Katz hold a lien. The proceeds of these sales are referred to as "Encumbered Cash." A full-text copy of the Plan of Reorganization dated July 26, 2022, is available at https://bit.ly/3BsqweO from PacerMonitor.com at no charge. Attorney for the Plan Proponent: Robert G. Harris, Esq. Michael W. Malter, Esq. Julie H. Rome-Banks, Esq. Binder & Malter, LLP 2775 Park Avenue Santa Clara, CA 95050 Tel: (408) 295-1700 Fax: (408) 295-1531 Email: Rob@bindermalter.com Michael@bindermalter.com Julie@bindermalter.com About Artesian Future Technology Artesian Future Technology, LLC, doing business as Artesian Builds, is a customized personal computer maker in Oakland, Calif. Artesian Future Technology filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Cal. Case No. 22-40396) on April 22, 2022, listing total assets of $1.27 million and total liabilities of more than $3 million. Mark M. Sharf serves as Subchapter V trustee. Judge Charles Novack oversees the case. Michael W. Malter, Esq., at Binder & Malter, LLP and Edward Webb, a partner at BPM, LLP, serve as the Debtor's legal counsel and chief restructuring officer, respectively. AUGUSTUS INTELLIGENCE: Amended Liquidating Plan Confirmed by Judge ------------------------------------------------------------------ Judge John T. Dorsey has entered findings of fact, conclusions of law and order confirming the Revised First Amended Plan of Liquidation of Augustus Intelligence, Inc. The Debtor has proposed the Plan in good faith and not by any means forbidden by law, thereby satisfying Section 1129(a)(3) of the Bankruptcy Code. In determining that the Plan has been proposed in good faith, the Court has examined the totality of the circumstances surrounding the filing of the Chapter 11 Case and the formulation of the Plan. The Debtor's good faith is evident from the facts and record of the Chapter 11 Case and the record of the Confirmation Hearing. The Plan was proposed with the legitimate and honest purpose of maximizing the value of the Debtor's Estate and making distributions to its Creditors and Equity holders pursuant to the terms of the Plan. The Plan was the product of negotiations and discussions conducted at arm's length among the Debtor, Creditors, Equity holders and the Subchapter V Trustee and United States Trustee. Further, the Plan's classification, exculpation, release, and injunction provisions have been negotiated in good faith and at arm's length, are consistent with sections 105, 1122, 1123(b)(6), 1129, and 1142 of the Bankruptcy Code, and are each necessary for the Debtor to consummate its value-maximizing Plan. The Plan is confirmed as a consensual plan under Section 1191(a) of the Bankruptcy Code, and the Plan is incorporated into this Confirmation Order. The Subchapter V Trustee is discharged and she shall have no further obligations or duties with respect to this Debtor or in this Chapter 11 Case. In the event of any inconsistency between the Plan and the provisions of this Confirmation Order, the provisions of this Confirmation Order are controlling. A copy of the Plan Confirmation Order dated July 26, 2022, is available at https://bit.ly/3cTiTne from Stretto, the claims agent. Co-Counsel for the Debtor: ARCHER & GREINER, P.C. Bryan J. Hall 300 Delaware Avenue, Suite 1100 Wilmington, Delaware 19801 Tel: 302.777.4350 E-mail: bjhall@archerlaw.com - and - THOMPSON COBURN HAHN & HESSEN LLP Mark T. Power Joseph Orbach 488 Madison Avenue New York, New York 10022 Tel: (212) 478-7200 E-mail: mpower@thompsoncoburn.com jorbach@thompsoncoburn.com About Augustus Intelligence Augustus Intelligence Inc. develops artificial intelligence software technology. Augustus offers its customers and prospective customers an integrated, all-in-one artificial intelligence solution to be used in conjunction with the customers' existing technology in order to maximize efficiencies and improve profitability. Augustus Intelligence Inc. filed a petition for relief as a small business debtor under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 21-10744) on April 24, 2021. As of March 31, 2021, the Debtor disclosed total assets of $10,110,349 and total liabilities of $2,763,109. The Hon. John T. Dorsey is the case judge. ARCHER & GREINER, P.C., led by Bryan J. Hall, is the Debtor's counsel. HAHN & HESSEN LLP is the co-counsel. RYNIKER CONSULTANTS, LLC, is the financial advisor. STRETTO is the claims agent, maintaining the page https://cases.stretto.com/augustus/court-docket The Office of the United States Trustee for Region 3 appointed Natasha M. Songonuga, Esq., as the Subchapter V Trustee in the Debtor's case. AUTO WHOLESALE: Gets Interim OK to Hire James B. Miller as Counsel ------------------------------------------------------------------ Auto Wholesale of Boca, LLC received interim approval from the U.S. Bankruptcy Court for the Southern District of Florida to hire the law firm of James B. Miller, P.A. as its bankruptcy counsel. The firm's services include: a. advising the Debtor with respect to its powers and duties and the continued management of its affairs; b. advising the Debtor with respect to its responsibilities in complying with the U.S. Trustee's Operating Guidelines and Reporting Requirements and with the rules of the court; c. preparing legal documents; d. protecting the interests of the Debtor and the estate in all matters pending before the court; and e. representing the Debtor in negotiations with its creditors in the preparation of a Chapter 11 plan. The firm will charge $550 per hour for the services of its attorney, James Miller, Esq., and $150 per hour for paralegal services. Mr. Miller disclosed in court filings that his firm is "disinterested" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: James B. Miller, Esq. James B. Miller, P.A. 19 West Flagler St. #416 Miami, FL 33130 Tel: 305-374-0200 Email: bkcmiami@gmail.com About Auto Wholesale of Boca Auto Wholesale of Boca, LLC filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 22-15627) on July 22, 2022, listing $3,350,652 in assets and $5,733,534 in liabilities. Linda Marie Leali serves as Subchapter V trustee. Judge Erik P. Kimball presides over the case. James B. Miller, Esq., at James B. Miller, P.A. represents the Debtor as counsel. AVAGO TECHNOLOGIES: Egan-Jones Retains BB+ Sr. Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on July 11, 2022, retained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Avago Technologies Ltd. Headquartered in San Jose, California, Avago Technologies Ltd. manufactures semiconductor products such as optoelectronics, radio-frequency and microwave components, and application-specific integrated circuits. B&G PROPERTY: Case Summary & 18 Unsecured Creditors --------------------------------------------------- Debtor: B&G Property Investments, LLC 724 S Central Ave, Suite 106 Medford, OR 97501 Chapter 11 Petition Date: July 29, 2022 Court: United States Bankruptcy Court District of Oregon Case No.: 22-60998 Judge: Hon. Thomas M. Renn Debtor's Counsel: Christopher N. Coyle, Esq. VANDEN BOS & CHAPMAN, LLP 319 SW Washington Suite 520 Portland, OR 97204 Tel: 503-241-4869 Email: chris@vbcattorneys.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $10 million to $50 million The petition was signed by Keith Boyd as manager. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/JBAX5OA/BG_Property_Investments_LLC__orbke-22-60998__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 18 Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ 1. Allen Thomashefsky, Trustee Investment Loan $488,294 129 Almond Street Ashland, OR 97520 Tel: 541-261-7700 Email: allen@drtom.net 2. Art & Pam Lumley Investment Loan $114,008 14 Hawthorne Street Medford, OR 97501 Tel: 541-840-8777 Email: artist_lumley@yahoo.com 3. Bob & Ina Swangard Investment Loan $399,312 2885 Arline Way Eugene, OR 97403 Email: rjswangard@comcast.net 4. Charles McGlade Investment Loan $965,000 4055 Spring Blvd. Eugene, OR 97405 Tel: 541-913-1273 Email: cmcglade@ridgelinemc.com 5. Curtis & Kathy Liu Investment Loan $394,136 5624 Griffin Drive Hahira, GA 31632 Tel: 229-794-1478 Email: cliu11@windstream.net 6. DEGI II Productions Development Fees $439,710 PO Box 4667 Medford, OR 97501 Tel: 503-676-9859 Email: degidesigng@gmail.com 7. Dennis Wartenbee Investment Loan $296,377 4332 S. Ambrosia Court Chandler, AZ 85248 Tel: 541-756-2252 Email: rolson@meritaf.com 8. Forge Trust Co., fba Investment Loan $162,260 Allen Thomashefsky 129 Almond Street Ashland, OR 97520 Tel: 541-261-7700 Email: allen@drtom.net 9. Grove Trust Investment Loan $389,681 PO Box 4707 Medford, OR 97501 Tel: 503-676-9859 Email: Degidesigng@gmail.com 10. Iler, LLC Investment Loan $75,000 724 S. Central Avenue Suite 115 Medford, OR 97501 Tel: 541-500-1859 Email: patrick@wildbroker.com 11. Joe & Frankie Franell Land Payments $500,000 34010 Beach Shore Drive Hermiston, OR 97838 Tel: 541-289-1993 Email: ffranell@yahoo.com 12. John Morrison Investment Loan $44,232 PO Box 7047 Cave Creek, AZ 85327 Email: johnmorrison1086@gmail.com 13. Mike Zoller Investment Loan $300,000 3259 Coker Butte Road Medford, OR 97504 Tel: 541-944-7060 Email: mike.riverhawkboats@yahoo.com 14. Stan & Susan Ruff Investment Loan $399,808 1920 SE 44th Avenue Portland, OR 97215 Tel: 541-510-6509 Email: stanruff@gmail.com 15. Terry Matthews Investment Loan $402,537 1581 South A Street Springfield, OR 9747 Tel: 541-915-3670 Email: terrymatthews@bul lfrogenterprises.com 16. United Consulting Investment Loan $34,000 Group, LTD 625 Holcomb Bridge Road Norcross, GA 30071 Tel: 678-860-6426 Email: jsunderland@unitedconsulting.com 17. Wartenbee Family LP Investment Loan $996,729 P.O. Box 563 Sioux Falls, SD 57101 Tel: 605-366-7535 Email: dean@ntecorp.com 18. William Chancelor Phillips Investment Loan $50,000 217 Baywood Way Hiram, GA 30141 Tel: 678-953-1970 Email: chancelorphillips@gmail.com B.E.C BARAJAS: Seeks Cash Collateral Access ------------------------------------------- B.E.C Barajas Excavating Construction, LLC asks the U.S. Bankruptcy Court for the District of Colorado for authority to use cash collateral, on an interim basis, through August 31. The Debtor requests a further hearing prior to August 31, on its access to cash collateral on a continued and final basis. The Debtor explains it must use cash collateral to continue its business operations post-petition and maintain its inventory and operations. The Debtor proposes to use cash collateral in accordance with the budget, with a 5% variance, on an interim basis until such time as the Court schedules a final hearing on the use of cash collateral. Pre-petition, on June 29, 2020, the Debtor entered into a Business Loan Agreement, Promissory Note, Guaranty and Commercial Security Agreement with First-Citizens Bank & Trust Company for a loan in the original principal balance of $906,632. In accordance with the Security Agreement, the Debtor granted the Bank a secured interest in substantially all of the Debtor's assets, including its accounts, accounts receivables, proceeds and certain vehicles. The Bank duly perfected its interest by filing a UCC-1 financing statement with the Colorado Secretary of State on July 16, 2020, Document No.20202081673. As of the Petition Date, the Debtor's books and records reflect the Banks is owed at least $659,917, plus accrued interest on account of its secured claim in addition to unsecured claims. Pursuant to C.R.S. section 38-22-127, certain of the Debtor's funds and accounts are subject to a statutory trust in favor of subcontractors, material suppliers, and laborers. Expenditure of such funds will not constitute use of cash collateral. The Debtor's primary assets are its accounts receivables used to pay subcontractors, material suppliers, and laborers as well as funding operations. On the Petition Date, the Debtor had $939,159 in receivables, which the Debtor believes may be subject to claims arising under the Trust Fund Statute and adjustments for doubtful or uncollectible accounts. The Debtor also has a $1,579,982 receivable balance for retainage amounts withheld until completion of projects and expiration of any warranty periods. As adequate protection, the Debtor will provide the Bank with a post-petition lien and superpriority administrative expense claim, subject to customary carve out for professional fees and Chapter 7 expenses, if converted, on all post-petition accounts receivables and contracts derived from the operation of the business and assets, to the extent that the use of the cash results in a decrease in the value of the Bank's interest in the collateral pursuant to 11U.S.C. section 361(2). All replacement liens will hold the same relative priority to assets as did the prepetition liens. A copy of the motion is available at https://bit.ly/3zgXqMN from PacerMonitor.com. About B.E.C Barajas Excavating Construction B.E.C Barajas Excavating Construction, LLC is a Denver-based company, which operates in the utility system construction industry. B.E.C Barajas Excavating Construction filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Colo. Case No. 22-12574) on July 17, 2022, disclosing $4,834,092 in total assets and $4,618,845 in total liabilities. Mark David Dennis serves as Subchapter V trustee. Katharine S. Sender, Esq., at Cohen & Cohen is the Debtor's counsel. BERWICK CLINIC: PCO Says Patient Care "Compromised" --------------------------------------------------- Deborah L. Fish, the Patient Care Ombudsman for Berwick Clinic Company LLC, filed with the U.S. Bankruptcy Court for the Eastern District of Michigan a first report for the period July 25 to July 28, 2022, regarding the Debtor's health care facility. The PCO noted that six of the Debtor's seven clinics were closed on July 22, five days after the Chapter 11 filing, without notice to patients and the remaining medical providers. An estimated 5,000 patients or more are no longer being serviced by the Debtor. Accordingly, the quality of patient care provided to patients of the Debtor has declined significantly or is otherwise being materially compromised since the bankruptcy filing. As of July 22, the three primary care clinics, the obstetrics/gynecology clinic and pain management clinic were closed. Currently, the Debtor has only one remaining clinic, the Vascular Clinic, which has two providers, Dr. John Guerriero D.O. and Michael Levandowski MSN CRNP. The remaining clinic is overwhelmed with patients' calls, prescription requests and needs from the other clinics. Based on the calls with patients and doctors, these are a few of the immediate general patient concerns: * Issues relating to notice of closure, most of the patients heard via newspaper or social media, primarily face book although some may not know yet. * Issues relating to patient support options and alternative providers. * How will the elderly patients be communicated with and what additional support, if any, will they be given. A copy of the Ombudsman Report is available for free at https://bit.ly/3zHzL9x from PacerMonitor.com. The Ombudsman may be reached at: Deborah L. Fish Allard & Fish, P.C 1001 Woodward Avenue, Suite 850 Detroit, MI 48226 Telephone: 313-309-3171 E-mail: dfish@allardfishpc.com About Berwick Clinic Company Berwick Clinic Company, LLC operates a health care business. Berwick Clinic Company filed Chapter 11 petition (Bankr. E.D. Mich. Case No. 22 45589) on July 18, 2022. In the petition signed by Priyam Sharma, principal, the Debtor disclosed $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. Judge Lisa S. Gretchko oversees the case. Robert Bassel, Esq., is the Debtor's counsel. BLACK DIAMOND ENERGY: Files Bare-Bones Chapter 11 Petition ---------------------------------------------------------- Black Diamond Energy of Delaware Inc. filed for chapter 11 protection in the Western District of Pennsylvania, without stating a reason. According to court documents, Black Diamond Energy estimates between 1 and 49 creditors. The bare-bones petition states funds will be available to unsecured creditors. About Black Diamond Energy Black Diamond Energy of Delaware Inc. -- https://www.blackdiamondenergy.com/ -- provides natural gas drilling programs for investor partners. It specializes in coalbed methane play in the Powder River Basin. Black Diamond Energy of Delaware Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Pa. Case No. 22-21448) on July 26, 2022. In the petition filed by Eric Koval, as president, the Debtor estimated assets up to $50,000 and liabilities between $10 million and $50 million. Donald R. Calaiaro, of Calaiaro Valencik, is the Debtor's counsel. BLACKBERRY LIMITED: Egan-Jones Retains CCC Sr. Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on July 12, 2022, retained its 'CCC' foreign currency and local currency senior unsecured ratings on debt issued by BlackBerry Limited. EJR also retained its 'C' rating on commercial paper issued by the Company. Headquartered in Waterloo, Canada, BlackBerry Limited provides intelligent security software solutions. BLACKSTONE OILFIELD: Files Chapter 11 Subchapter V Case ------------------------------------------------------- Blackstone Oilfield Services LLC filed for chapter 11 protection in the District of New Mexico without stating a reason. The Debtor filed as a small business debtor seeking relief under Subchapter V of Chapter 11 of the Bankruptcy Code. According to court filings, Blackstone estimates between 1 and 49 creditors. The petition states funds will be available to unsecured creditors. A meeting of creditors under 11 U.S.C. Section 341(a) is slated for Aug. 25, 2022, at 9:30 AM at US Trustee: Teleconference # 1-877-520-1744, Passcode: 4678370. About Blackstone Oilfield Services Blackstone Oilfield Services LLC is a licensed and bonded freight shipping and trucking company running freight hauling business. On July 26, 2022, the Debtor filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code (Bankr. D.N.M. Case No. 22-10605). The Debtor has elected to proceed under subchapter V of chapter 11. Brian Foltyn has been appointed as Subchapter V trustee. Joseph Yar, of Velarde & Yar, is the Debtor's counsel. BLUEPRINT INVESTMENT: Unsecureds to be Paid in Full in Plan ----------------------------------------------------------- Blueprint Investment Fund, LLC, filed with the U.S. Bankruptcy Court for the District of Colorado a Disclosure Statement in support of the Plan of Reorganization dated July 28, 2022. Debtor owns undeveloped real property located at 29973 Hilltop Drive, Evergreen, CO 80439 ("Property"). Debtor purchased the Property in 2018 and granted Builders Capital d/b/a Construction Loan Services, II, LLC ("Builders Capital") a secured lien in the Property. Debtor currently holds the Property with undeveloped lots. Debtor intends to horizontally develop the single multi-family parcel with 47 townhome lots. Prior to bankruptcy, disputes arose with third parties as to easement and access rights affecting the Property. To resolve these access rights, Debtor initiated lawsuits in the District Court of Jefferson County, Colorado. These issues have since been resolved but created a significant delay in the project's development. All cases were resolved pre-petition and have been dismissed except for one lawsuit where the parties have reached an executed stipulation granting Debtor and access easement, which will be filed with this Court for approval. The Plan provides for 100% of the Allowed Claims of the Debtor. The Plan will be effectuated by the development and financing of the Property. It is anticipated that the development and financing will pay the Allowed Secured Claims of the Debtor within 30 days of the Effective Date, the majority of which have already been paid in full and released. Class 1 consists of the Secured claim of DIP Lender. DIP Lender asserts a Secured Superpriority Claim against the assets of Debtor, including the Property in the amount up to $5 Million, plus fees, costs and interest allowed pursuant to the DIP Agreement. Class 1 is not impaired under the Plan. Class 2 consists of the Allowed Secured Claims and other expenses paid in full from the Initial Disbursement of the DIP Loan. Any such secured claims were secured by the Property but have now been released. Class 2 is not impaired under the Plan. Class 3 consists of the Allowed Secured Claim of West Jefferson County Metropolitan District, as more particularly set forth in Proof of Claim No. 5-1. This secured claim is secured by the Property. Debtor shall pay this claim in full following the Effective Date from fund held in Debtor's DIP account to fully satisfy District's Secured Claim. District's claim was not filed until after direct disbursement of the DIP Funds. Class 3 is not impaired under the Plan. Class 4 shall be comprised of holders of Allowed General Unsecured Claims. Class 4 is not impaired under the Plan. Class 4 shall receive payment in full for any allowed amounts over the term of the Plan. Provided, however, that holders of Class 4 Claims holding a Disputed Claim as of the Effective Date shall not share in the monthly distribution unless and until the claim is Allowed. The estimated payout for Class 4 Allowed Claims is 100%. Any Allowed Claims shall be paid within six months of entry of a non appealable order resolving the disputed claim or if no court order is necessary then 6 months from the date the parties reach a fully executed agreement. Class 5 consists of Convenience Claims. Except to the extent that the holder of an Allowed Convenience Claim agrees to less favorable treatment or has been paid on account of such Claim prior to the Effective Date, each holder, if any, of an Allowed Convenience Claim shall receive Cash in an amount equal to 100% of such Allowed Convenience Claim on the later of the Effective Date or the date such Claim becomes an Allowed Convenience Claim, or as soon thereafter as is practicable. Payments and distributions under the Plan will be funded by Debtor's financing and net revenue, and any cash remaining in the Debtor's Debtor-in-possession account after paying administrative claims. The most recent Monthly Operating Report shows that the Debtor has $571,571.00 in cash on hand. The Plan Proponent believes that Debtor will have enough cash on hand on the effective date of the Plan to pay all the remaining claims and expenses that are entitled to be paid on that date. A full-text copy of the Disclosure Statement dated July 28, 2022, is available at https://bit.ly/3zbCZk8 from PacerMonitor.com at no charge. Attorney for the Debtor: Katharine S. Sender, Esq. Cohen & Cohen, P.C. 1720 S. Bellaire St; Ste 205 Cohen & Cohen, P.C. Denver, CO 80222 Telephone: (303) 933-4529 Facsimile: (866) 230-8268 Email: ksender@cohenlawyers.com About Blueprint Investment Fund Blueprint Investment Fund is a Denver-based company primarily engaged in activities related to real estate. It is the fee simple owner of a real property located at 29973 Hilltop Drive, Evergreen, Colo., having an appraised value of $4.9 million. Blueprint Investment Fund filed its voluntary petition for Chapter 11 protection (Bankr. D. Colo. Case No. 22-11059) on March 30, 2022, listing $4,900,146 in assets and $1,816,387 in liabilities. Joseph Libkey Jr., managing member, signed the petition. Cohen & Cohen, P.C., led by Katharine S. Sender, Esq., serves as the Debtor's legal counsel. BUCKHARDT TECHNOLOGIES: Wins Cash Collateral Access Thru Sept 2 --------------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division, authorized Buckardt Technologies, Inc., dba Konsultek, to use cash collateral on an interim basis in accordance with the budget through September 2, 2022. BMO Harris Bank, N.A. asserts a senior valid blanket lien upon the Debtor's assets. It holds a senior security interest in all of the Debtor's assets by way of a valid lien duly filed of which the amount due and owing totals no less than $381,719. The other potential lien holders are Funding Circle, the Small Business Administration, Internal Revenue Service, and Ingram Micro, Inc. In return for the Debtor's continued interim use of cash collateral, and for any diminution in value of the Prepetition Secured Lender's interest in the cash collateral from and after the Petition date, the Prepetition Secured Lender will receive a security interest in and replacement lien upon all of the Debtor's now existing or hereafter acquired property. The Prepetition Secured Lender and all other subordinate lien holders are granted replacement liens, attaching to the Collateral, but only to the extent of their prepetition liens and only to the extent of priority that existed on the date of filing. The liens granted will be valid, perfected, and enforceable without any further action by the Debtor and/or the Prepetition Secured Lender and need not be separately documented. The further hearing on the matter is scheduled for September 8 at 11 a.m. A copy of the order is available at https://bit.ly/3POpCgZ from PacerMonitor.com. About Buckardt Technologies, Inc. Buckardt Technologies, Inc. is an information and security technology consulting firm. Buckardt sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 22-04420) on April 18, 2022. In the petition signed by Judith A. Buckardt, president, the Debtor disclosed up to $50,000 in assets and up to $10 million in liabilities. Judge Lashonda A. Hunt oversees the case. Richard G. Larsen, Esq., at SpringerLarsenGreene, LLC is the Debtor's counsel. BUCKINGHAM TOWER: Seeks Cash Collateral Access ---------------------------------------------- Buckingham Tower Condominium, Inc. f/k/a Buckingham Owners, Inc. asks the U.S. Bankruptcy Court for the Southern District of New York for authority to use cash collateral and provide adequate protection to secured lender, Titan Capital ID, LLC. The Debtor requires the use of cash collateral to effectively meet its obligations including payment of common charges to the Condo Association which maintains the common areas and insures the condominium building. The Debtor's financial predicament began in 2008. The sponsor of the cooperative association obtained a mortgage and, despite collecting common charges from the shareholders, neglected to make payments. The mortgage holder sought to foreclose. The shareholders learned of this and ousted the sponsor from control. Titan Capital ID, LLC acquired the foreclosure judgment by assignment. According to Titan, its role was initially to serve as a "bridge lender" to provide interim financing. This role was extended to essentially a "long term" lender through a series of forbearance agreements. With Titan anxious to be paid off, the sponsor (which owned a block of apartments) and the Debtor reviewed various "exit" options. It was determined that conversion of the Building's apartments from cooperative apartments (where the interest holder owns stock assigned to the apartment) to condominiums (where the interest holder owns title through a deed), would be the most efficient path to satisfy Titan. Since 2018, approximately 65 apartments have been converted from cooperative apartments to condominiums (in blocks of at least 10). Upon the conversion, Titan received payments in exchange for a release. The Debtor's assets consist of the 24 cooperative apartments that have not been converted to condominiums. Substantially all of them are occupied by the individual shareholder or homeowners. Titan alleges that approximately $2.28 million is due. The Debtor believes the 24 apartments are worth in excess of $5 million (at least $200,000 each). The Debtor's goal is to formulate a plan that satisfies Titan but also permits (i) the shareholders, many of whom are elderly, to continue to reside in the Building if they wish to; and (ii) those that wish to leave with the fair value for their units (which upon information and belief far exceeds the amount due to Titan). The Debtor is exploring funding a plan through the sale of some of the apartments in a block, common charges generated, refinancing or a combination thereof. Since the filing, the Debtor has continued in the management of its property as a debtor-in-possession pursuant to Sections 1107 and 1108 of the Bankruptcy Code. Heidi Sorvino serves as Sub-Chapter V Trustee. Other than Titan, the Debtor's liabilities are limited. There is a second mortgage holder who was a former owner of units who paid more than his share of the "release price" to Titan (i.e. it paid more than its pro rata share to Titan). Upon information and belief, approximately $300,000 is due to the second mortgage holder. As adequate protection, Titan will receive Replacement Liens (to the extent of any diminution in the value of their liens as of the Petition Date), and will also receive (i) a superpriority administrative expense claim in an amount equal to the cash collateral expended less amounts required or used to fund the Carveout as well as (ii) the adequate protection payments set forth in the Budget. A copy of the Debtor's motion is available at https://bit.ly/3bipmHZ from PacerMonitor.com. About Buckingham Tower Condominium Buckingham Tower Condominium Inc., a condominium association, is in the business of owning and managing the common areas of the premises at 615 Warburton Avenue, Yonkers, NY and also owning and managing 25 sponsored apartment buildings . Each apartment is worth approximately $165,000. Buckingham Tower Condominium Inc. filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 22-22403) on June 30, 2022. In the petition filed by Jose Guerrero, as president, the Debtor estimated assets and liabilities between $1 million and $10 million. Anne J. Penachio, Esq., at Penachio Malara LLP, is the Debtor's counsel. CALICOMP CORP: Court OKs Deal on Cash Collateral Access ------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of California, San Jose Division, approved the stipulation filed by Calicomp Corporation and the U.S. Small Business Administration authorizing the Debtor to use cash collateral. The Debtor is permitted to use the SBA's cash collateral to pay for the Debtor's ordinary and necessary post-petition operating expenses, and under the Conditions set forth in the Stipulation, and until and unless (a) the case is converted to a case under Chapter 7 of the Bankruptcy Code; (b) the case is dismissed; (c) a trustee other than the existing duly appointed Subchapter V Trustee, Mark Scharf, is appointed in the above captioned case; (d) any order approving the Stipulation is reversed, revoked, modified, amended, stayed, rescinded or supplemented; and (f) the date of confirmation of a plan of reorganization. As adequate protection for the Debtor's use of cash collateral, the SBA is granted a valid, binding, enforceable and perfected continuing replacement lien and security interest in and on any and all of the Collateral subject to its prepetition lien, to the same extent, validity and priority held by the SBA on the Petition Date. A copy of the order is available at https://bit.ly/3JfrFII from PacerMonitor.com. About Calicomp Corporation Calicomp Corporation sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 22-30319) on June 29, 2022. In the petition signed by Rodney Wang, CFO, the Debtor disclosed up to $1 million in both assets and liabilities. Judge Stephen L. Johnson oversees the case. Gregory A. Rougeau, Esq., at Brunetti Rougeau LLP is the Debtor's counsel. CALIFORNIA INDEPENDENT: Taps Fritzsche Associates as Accountant --------------------------------------------------------------- California Independent Petroleum Association received approval from the U.S. Bankruptcy Court for the Eastern District of California to hire Fritzsche Associates, Inc. to perform tax and audit services for fiscal years 2021 and 2022. The firm will render these services: a. prepare the tax information returns for fiscal years 2021 and 2022; b. prepare combined financial statements in conformity with generally accepted accounting principles; c. audit the combined financial statements of the Debtor and its wholly owned subsidiary, CNGPA, which comprise the combined statements of activities and combined statements of cash flows for the tax years ending July 31, 2022; d. evaluate the appropriateness of the accounting policies used and the reasonableness of significant accounting estimates made by management; and e. ensure that the combined financial statements are free of material misstatement, whether from errors, fraudulent financial reporting, misappropriation of assets, or violations of laws or governmental regulations that are attributable to management or employees. The firm will be paid as follows: -- a flat fee of $5,800 for the preparation of the tax information returns for fiscal year 2021; -- a flat fee of $4,500 for preparing the tax information returns for fiscal year 2022; and -- a flat fee of $42,000 for auditing and preparing the audit reports for the Debtor's financial statements for fiscal years 2021 and 2022. As disclosed in court filings, Fritzsche Associates is "disinterested" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: James Fritzsche, CPA Fritzsche Associates, Inc. 1511 Corporate Way, Suite 220 Sacramento, CA 95831 Phone: +1 916-422-2111 Email: jim@saccpa.com About CIPA California Independent Petroleum Association (CIPA) -- www.cipa.org -- is a non-profit, non-partisan trade association representing approximately 500 independent crude oil and natural gas producers, royalty owners, and service and supply companies operating in California. CIPA filed a petition for Chapter 11 protection (Bankr. E.D. Calif. Case No. 21-23169) on Sept. 5, 2021, listing $2,097,356 in assets and $1,194,070 in liabilities. CIPA CEO Rock Zierman signed the petition. Judge Christopher D. Jaime oversees the case. The Debtor tapped Ian S. Landsberg, Esq., at Sklar Kirsh, LLP as bankruptcy counsel; Manatt, Phelps & Phillips, LLP and Alcorn Law Corporation as special counsels; and Fritzsche Associates, Inc. as accountant. CARL MILLER: Wins Continued Cash Collateral Access -------------------------------------------------- The U.S. Bankruptcy Court for the District of New Jersey authorized Carl Miller Funeral Home, Inc. to continue using cash collateral on an interim basis through September 7, 2022. The Court said the Debtor's authority to use cash collateral on an interim basis going forward will be extended to September 7 and incorporating all of the terms and conditions previously set forth in the Cash Collateral Orders dated February 8, 2022 and May 23, 2022. The Debtor will pay to FMM Bushnell, LLC, the secured creditor, an adequate protection payment on or before August 15, 2022, in the amount of $4,000. As previously reported by the Troubled Company Reporter, FMM is the holder of a secured commercial loan made on or about May 22, 2008, by Alternative Business Credit, LLC to the Debtor in the original principal amount of $495,000. The Loan is secured by, among other things, a duly and timely perfected first priority lien and senior security interest in all of the Debtor's assets and property, as well certain assets not owned by the Debtor. A copy of the order is available at https://bit.ly/3Sd80Ni from PacerMonitor.com. About Carl Miller Funeral Home, Inc. Carl Miller Funeral Home, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Case No. 22-10479) on January 20, 2022. In the petition signed by Pamela M. Dabney, shareholder and president, the Debtor disclosed up to $100,000 in assets and up to $10 million in liabilities. Judge Andrew B. Altenburg, Jr. oversees the case. Jenny R. Kasen, Esq., at Kasen & Kasen, P.C. represents the Debtor as counsel. FMM Bushnell, LLC, as lender, is represented by Alana Bartley, Esq. at Drake Loeb PLLC. CELSIUS NETWORK: Customers Write Pleas to Court to Get Crypto Back ------------------------------------------------------------------ MarketWatch reports that some customers of crypto lender Celsius Network, which filed for bankruptcy earlier this month, have written to the Bankruptcy Court for the Southern District of New York, with a hope of getting their funds back. As digital assets crashed, Celsius, which said it had more than 1.7 million users as of June, halted withdrawals since June 12. The crypto lender allowed consumers to buy, borrow or deposit their cryptocurrencies and earn interest of up to 18.6% annually. Most "high yield" savings accounts in U.S. dollars offer annual percentage yields closer to 1% or less, according to Bankrate. Celsius has a roughly $1.2 billion hole in its balance sheets, according to bankruptcy filings. It had $5.5 billion total liabilities as of July 13, including more than $4.7 billion owed to Celsius's users. The company had $4.3 billion of total assets, according to a filing. In bankruptcy filings, Celsius noted that its customers transferred ownership of their crypto to the company, a move experts say could potentially hint at its plans to request its users be treated as unsecured creditors in the bankruptcy process. In letters to the bankruptcy court, many Celsius customers said they felt lied to by the company and by Alex Mashinsky, its chief executive. "Every Friday AMA (Ask me anything) on YouTube, Celsius continued to tell people they were better than a bank. Safer, with better returns. As well as tell us they had billions in liquid cash," wrote Brian Kasper, one of the platform's customers. "I watched every single AMA each Friday since sign-up, and week in and week out Alex would talk about how Celsius is safer than banks because they supposedly don't rehypothecate and use fractional reserve lending like the banks do," Stephen Richardson wrote in a letter to the court. He described himself as a Celsius customer since 2019, with more than six figures worth of crypto on the platform. "I am embarrassed, ashamed, and disgusted by the utter lack of transparency from a company that claims to be an 'open book' and highly transparent compared to any and all banks," Richardson wrote. A social media thread on Reddit emerged about a week ago to show how Celsius clients can contact the bankruptcy court and trustee. It isn't clear if the posting has been a catalyst of individual letters to the court. Flori Ohm, a single mother of two daughters headed to college next year, wrote in another letter: "I and my family are severely impacted both in financial and mental health by the bankruptcy and locked up cryptos. I always check the app if my cryptos are still there. I can't focus [on] my job or sleep." "I have supported my parents and my daughters by myself for [my] whole life. I am struggling hard [to make a] living," she wrote. Stephen Bralver, another Celsius customer, said he has less than $1,000 left in a Wells Fargo checking account to support his family, after Celsius froze all withdrawals. Bralver called for a release of his funds with Celsius, saying that "this is an EMERGENCY situation, simply to keep a roof over my family and food on their table." In a letter filed on July 21, Sean Moran, a resident in Ireland, wrote that he lost his farm, and that his family was left homeless because of Celsius's bankruptcy. "Family are distraught with my decisions of trusting Celsius and promising them a better future," he wrote. Yet, the Celsius bankruptcy hasn't shaken some crypto investors' confidence in the rather nascent asset class. "I still have full faith in crypto, but do not have faith in the management of Celsius with the current team," wrote customer Brad Ungar, in his letter to the bankruptcy court. "I would sincerely request that you let all Celsius depositors withdraw their cryptocurrency 100%, rather than converting our claims into dollar amounts on a fixed date," Ohm wrote. In a presentation posted by Celsius on its bankruptcy website, the company said it intends to give customers the option, "at the customers' election, to recover either cash at a discount or remain 'long' crypto." About Celsius Network Celsius Network LLC -- http://www.celsius.network/-- is a financial services company that generates revenue through cryptocurrency trading, lending, and borrowing, as well as by engaging in proprietary trading. Celsius helps over a million customers worldwide to find the path towards financial independence through a compounding yield service and instant low-cost loans accessible via a web and mobile app. Celsius has a blockchain-based fee-free platform where membership provides access to curated financial services that are not available through traditional financial institutions. The Celsius Wallet claims to be one of the only online crypto wallets designed to allow members to use coins as collateral to get a loan in dollars, and in the future, to lend their crypto to earn interest on deposited coins (when they're lent out). Crypto lenders such as Celsius boomed during the COVID-19 pandemic, drawing depositors with high interest rates and easy access to loans rarely offered by traditional banks. But the lenders' business model came under scrutiny after a sharp sell-off in the crypto market spurred by the collapse of major tokens terraUSD and luna in May 2022. New Jersey-based Celsius froze withdrawals in June 2022, citing "extreme" market conditions, cutting off access to savings for individual investors and sending tremors through the crypto market. The list of major crypto firms that have filed for bankruptcy protection in 2022 now includes Celsius Network, Three Arrows Capital and Voyager Digital. Celsius Network LLC and its subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 22-10964) on July 14, 2022. In the petition filed by CEO Alex Mashinsky, the Debtor estimated assets and liabilities between $1 billion and $10 billion. Joshua A. Sussberg, of Kirkland & Ellis LLP, is serving as legal counsel, Centerview Partners is serving as financial advisor, and Alvarez & Marsal is serving as restructuring advisor. Kirkland & Ellis LLP is serving as legal counsel, Centerview Partners is serving as financial advisor, and Alvarez & Marsal is serving as restructuring advisor to Celsius. Stretto, the claims agent, maintain the page https://cases.stretto.com/celsius CELSIUS NETWORK: Seeks Bid For Crypto Custodian GK8 By August 15 ---------------------------------------------------------------- Bankrupt crypto lender Celsius Network LLC is seeking initial bids for its digital asset custody subsidiary GK8 Ltd. In connection with the exploration of a potential sale of the GK8 Assets, the Debtors are asking the Court to approve bidding procedures that provides for this timeline: * Aug. 15, 2022, at 4:00 p.m. prevailing Eastern Time, as the deadline for all initial bids; * Sept. 21, 2022, at 4:00 p.m. prevailing Eastern Time, as the deadline for binding bids; * Sept. 23, 2022, at 10:00 a.m. prevailing Eastern Time, as the date by which the Debtors may conduct the auction; and * Sept. 29, 2022, as the date for a hearing to approve one or more sales (if any) of the GK8 Assets. The Debtors may select a Stalking Horse Bidder and provide bid protections if the Debtors believe, in an exercise of their business judgement, that doing so will maximize the value of the estate. GK8 is a non˗Debtor subsidiary of the Debtors that provides a digital, self-custody platform for financial and crypto institutions to securely manage and store blockchain-based assets. The sale (if any) will be consummated pursuant to Section 363 of the Bankruptcy Code, and the sale proceeds will be distributed to holders of claims pursuant to the Debtors' chapter 11 plan. The Debtors believe that the Bidding Procedures will best facilitate a competitive marketing process, thereby maximizing recoveries for all creditors. Prior to the Petition Date, the Debtors engaged Centerview Partners LLC to lead a marketing process designed to identify potential bidders for and maximize the value of the GK8 Assets. The Debtors, in consultation with Centerview, developed a list of 29 parties whom they believed may be interested in, and whom the Debtors reasonably believed would have the financial resources to consummate, a sale. The list of parties in discussion includes strategic parties, other companies in the cryptocurrency ecosystem, scaled fintech companies, and traditional financial institutions. As of July 25, 2022, approximately 15 parties have been restricted in connection with the evaluation of a transaction for the GK8 Assets. Restricted parties were granted access to a virtual data room populated with diligence materials to facilitate their assessment of the GK8 Assets. Some of these parties were also given the opportunity to discuss with GK8's management team. Centerview and the Debtors will continue to work with all interested parties (and any additional parties) to provide diligence materials and support the marketing process. About Celsius Network Celsius Network LLC -- http://www.celsius.network/-- is a financial services company that generates revenue through cryptocurrency trading, lending, and borrowing, as well as by engaging in proprietary trading. Celsius helps over a million customers worldwide to find the path towards financial independence through a compounding yield service and instant low-cost loans accessible via a web and mobile app. Celsius has a blockchain-based fee-free platform where membership provides access to curated financial services that are not available through traditional financial institutions. The Celsius Wallet claims to be one of the only online crypto wallets designed to allow members to use coins as collateral to get a loan in dollars, and in the future, to lend their crypto to earn interest on deposited coins (when they're lent out). Crypto lenders such as Celsius boomed during the COVID-19 pandemic, drawing depositors with high interest rates and easy access to loans rarely offered by traditional banks. But the lenders' business model came under scrutiny after a sharp sell-off in the crypto market spurred by the collapse of major tokens terraUSD and luna in May 2022. New Jersey-based Celsius froze withdrawals in June 2022, citing "extreme" market conditions, cutting off access to savings for individual investors and sending tremors through the crypto market. The list of major crypto firms that have filed for bankruptcy protection in 2022 now includes Celsius Network, Three Arrows Capital and Voyager Digital. Celsius Network LLC and its subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 22-10964) on July 14, 2022. In the petition filed by CEO Alex Mashinsky, the Debtor estimated assets and liabilities between $1 billion and $10 billion. Joshua A. Sussberg, of Kirkland & Ellis LLP, is serving as legal counsel, Centerview Partners is serving as financial advisor, and Alvarez & Marsal is serving as restructuring advisor. Kirkland & Ellis LLP is serving as legal counsel, Centerview Partners is serving as financial advisor, and Alvarez & Marsal is serving as restructuring advisor to Celsius. Stretto, the claims agent, maintain the page https://cases.stretto.com/celsius CELSIUS NETWORK: U.S. Trustee Appoints Creditors' Committee ----------------------------------------------------------- The U.S. Trustee for Region 2 on July 27 appointed an official committee to represent unsecured creditors in the Chapter 11 cases of Celsius Network, LLC and its affiliates. The committee members are: 1. Caroline G. Warren Email: carolinegwarren@gmail.com 2. Thomas DiFiore Email: tomdif@gmail.com 3. Scott Duffy for ICB Solutions Email: ICBSolutions@proton.me 4. Christopher Coco Email: Christopher.j.coco@gmail.com 5. Andrew Yoon Email: celsiusbankruptcycase@gmail.com 6. Mark Robinson Email: markrobinson55@gmail.com 7. Keith Noyes for Covario AG Email: brokerage@covar.io 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. About Celsius Network Celsius Network LLC -- http://www.celsius.network/-- is a financial services company that generates revenue through cryptocurrency trading, lending, and borrowing, as well as by engaging in proprietary trading. Celsius helps over a million customers worldwide to find the path towards financial independence through a compounding yield service and instant low-cost loans accessible via a web and mobile app. Celsius has a blockchain-based fee-free platform where membership provides access to curated financial services that are not available through traditional financial institutions. The Celsius Wallet claims to be one of the only online crypto wallets designed to allow members to use coins as collateral to get a loan in dollars, and in the future, to lend their crypto to earn interest on deposited coins (when they're lent out). Crypto lenders such as Celsius boomed during the COVID-19 pandemic, drawing depositors with high interest rates and easy access to loans rarely offered by traditional banks. But the lenders' business model came under scrutiny after a sharp sell-off in the crypto market spurred by the collapse of major tokens terraUSD and luna in May 2022. New Jersey-based Celsius froze withdrawals in June 2022, citing "extreme" market conditions, cutting off access to savings for individual investors and sending tremors through the crypto market. The list of major crypto firms that have filed for bankruptcy protection in 2022 now includes Celsius Network, Three Arrows Capital and Voyager Digital. Celsius Network LLC and its subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 22-10964) on July 14, 2022. In the petition filed by CEO Alex Mashinsky, the Debtor estimated assets and liabilities between $1 billion and $10 billion. The Debtors tapped Joshua A. Sussberg, Esq., at Kirkland & Ellis LLP as legal counsel; Centerview Partners as financial advisor; and Alvarez & Marsal as restructuring advisor. Stretto, the claims agent, maintains the page https://cases.stretto.com/celsius CITE LLC: Sub V Trustee Has Cash Collateral Access Thru Aug 28 -------------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division, gave Robert Handler, the Subchapter V Trustee of Cite LLC, authority to use cash collateral in which A. Robert Abboud and Company (ARACO) asserts an interest, in accordance with the budget, with a 10% variance through August 28, 2022. The Subchapter V Trustee is authorized to operate the Debtor's business, primarily including its restaurant, and use cash (a) for the disbursements set forth under the Trustee Operating Budget, or (b) for any disbursement(s) expressly authorized by separate Court order, to and including August 28, 2022. The Debtor may use cash in an amount equal to up to 10% more than a particular corresponding "category" in the Budget, measured on a cumulative, monthly basis, provided that cash is available. In the event expenses for a particular month come in under the amount set forth in the Budget, the amounts will roll forward and be available in future months and may be used to offset any overages up to 10% for future months, provided the overage corresponds to a prior month's underage in the same expense category. In the event ARACO consents, in writing, to the use of cash in a manner or amount which does not conform to the Budget, the Debtor will be authorized pursuant to the Order to expend cash for the Non-Conforming Use without further Court approval. As adequate protection for the Debtor's use of cash collateral, ARACO and Republic Bank are granted post-petition liens, security interests and mortgages in and on the property of the Debtor and its estate, including all property acquired by the Debtor or its estate after the Petition Date, to the same extent, validity, perfection, enforceability, and priority of the liens, security interests, and mortgages of such Secured Creditor in the Pre-petition Collateral as of the Petition Date. If and to the extent the adequate protection of the interests of the Secured Creditors, or either of them, in the Post-petition Collateral pursuant to the order proves insufficient, the Secured Creditor(s) will be granted an administrative expense claim under section 507(b) of the Bankruptcy Code. As further adequate protection, the Trustee will make the adequate protection payments to the Secured Creditors indicated in the Budget, in the amounts of $14,000 per month to Republic Bank and $4,000 per month to ARACO, with the August adequate protection payments must be received by the Secured Creditors by no later than August 22, 2022. The matter is continued for status hearing on August 24 at 10 a.m. via Zoom for Government. A copy of the order and the Debtor's budget for August 2022 is available at https://bit.ly/3Ja1tiy from PacerMonitor.com. The budget provides for total cash disbursements, on a weekly basis, as follows: $64,945 for the week starting August 7, 2022; $38,232 for the week starting August 14, 2022; $117,651 for the week starting August 21, 2022; and $51,929 for the week starting August 28, 2022. About Cite LLC Cite LLC, an American restaurant business, filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 21-13730) on Dec. 3, 2021. In the petition signed by Evangeline Gouletas, managing member, the Debtor disclosed $5,517,547 in total assets and $7,945,223 in total liabilities. Judge Janet S. Baer oversees the case. The Golding Law Offices, PC serves as the Debtor's counsel. Robert Handler has been appointed as Subchapter V Trustee of Cite LLC. CLASSIC REFRIGERATION: Files for Chapter Amid $3M Judgment ---------------------------------------------------------- Classic Refrigeration SoCal Inc. filed for chapter 11 protection in the District of Central California. The Debtor filed as a small business debtor seeking relief under Subchapter V of Chapter 11 of the Bankruptcy Code. The Debtor is in the business of designing, constructing, equipping, servicing and maintaining large cold storage units throughout Southern California, from Bakersfield to Mexico and from Palm Springs to the Pacific Ocean. The Debtor has around a dozen "service performance" agreements with its customers that set forth the specific performance criteria for the services expected from the Debtor. Those agreements govern service obligations related to 900 locations throughout Southern California. The Debtor operates out of its headquarters location at 1450 E. Walnut Avenue, Unit A, Fullerton, CA 92831. In order to meet the service requirements of its customers, however, only a relatively small number of its 93 employees work at that location, primarily in the engineering and design aspects of the Debtor's business. Instead, most of the Debtor's employees are distributed throughout Southern California so they are available to respond promptly to any service request from a customer. Substantially all of the Debtor's 93 employees are members of one of several applicable unions. On July 18, 2022, after a jury trial in district court, a judgment was entered for Hill Phoenix, Inc. against (a) the Debtor and Mr. [___] Lowe on a claim under the California Uniform Trade Secrets Act, and (b) Mr. Lowe and Mr. [___] Rogers on claims for breach of contract and fiduciary duty. The jury awarded Hill Phoenix zero damages against Mr. Rogers and Mr. Lowe, and $2.875 million against the Debtor. The day after the Debtor and Mr. Rogers appealed the judgment to the Ninth Circuit on July 20, 2022, Hill Phoenix obtained a writ of execution on the judgment against the Debtor. On that same day, July 20, 2022, Hill Phoenix recorded the judgment with the California Secretary of State. While the appeal is pending, Hill Phoenix is simultaneously seeking over $80,000 in costs against the Debtor and Mr. Rogers, and over $1 million in fees against Mr. Rogers. This bankruptcy was necessary in order to preserve the jobs of the Debtor's 93 employees and the value of the Debtor's business pending appeal. According to court filing, Classic Refrigeration estimates between 100 and 199 creditors. The petition states funds will be available to unsecured creditors. About Classic Refrigeration SoCal Classic Refrigeration SoCal Inc. -- https://classicsocal.com/ -- is a commercial refrigeration company. Classic Refrigeration SoCal, Inc., filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-11239) on July 25, 2022. In the petition filed by David Rogers, as chief financial officer, the Debtor estimated assets between $1 million and $10 million and liabilities between $1 million and $10 million. Robert Paul Goe has been appointed as Subchapter V trustee. Jeffrey Garfinkle, of Buchalter, A Professional Corporation, is the Debtor's counsel. CLASSIC REFRIGERATION: Wins Cash Collateral Access Thru Aug 24 -------------------------------------------------------------- The U.S. Bankruptcy Court for the Central District of California, Santa Ana Division, authorized Classic Refrigeration SoCal Inc. to use cash collateral on an interim basis, pending a final hearing, through August 24, 2022. The Debtor is permitted to use cash collateral in the form of cash and cash equivalents on hand, and hereafter generated, that is subject to a duly perfected lien in favor of the U.S. Small Business Administration. The Debtor needs cash to pay ordinary and necessary expenses in accordance with the interim budget, with a 20% variance. As adequate protection, the SBA is granted a replacement lien against the Debtor's personal property assets and the proceeds thereof, to the same extent, priority and validity as the lien held by the SBA as of the Petition Date. Any diminution in the value of the SBA's collateral pursuant to the subject SBA loan over the life of the bankruptcy case will entitle the SBA to a super-priority claim pursuant to 11 U.S.C. sections 503(b), 507(a)(2) and 507(b). The Debtor will make $731 in monthly adequate protection payments to the SBA. Hill Phoenix, Inc.'s claim to a junior judgment lien against property of the estate pending final hearing will be adequately protected by a replacement lien in same priority as existed pre petition, without any adjudication at this time of ultimate allowability. A final hearing on the matter is scheduled for August 24 at 10 am.. A copy of the order is available at https://bit.ly/3oG1Vvi from PacerMonitor.com. About Classic Refrigeration SoCal Inc. Classic Refrigeration SoCal Inc. is in the business of designing, instructing, equipping, servicing and maintaining large cold storage units throughout Southern California. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-11239) on July 25, 2022. In the petition signed by David Rogers, chief financial officer, the Debtor disclosed $6,000,000 in total assets and $7,000,000 in total liabilities. Judge Theodor Albert oversees the case. Jeffrey K. Garfinkle, Esq., and Carolyn Djang, Esq., at Buchalter, a Professional Corporation, is the Debtor's counsel. COLORADO WORLD: Seeks to Hire Bonnie Bell Bond as Legal Counsel --------------------------------------------------------------- Colorado World Resorts, LLC seeks approval from the U.S. Bankruptcy Court for the District of Colorado to hire the Law Office of Bonnie Bell Bond, LLC to serve as legal counsel in its Chapter 11 case. The firm's services include: a. providing the Debtor with legal advice with respect to its rights and duties under Chapter 11; b. assisting the Debtor in the development of a plan of reorganization or sale of its property; c. preparing and filing legal papers, reports and actions, which may become necessary; d. representing the Debtor in any litigation, which it determine is in the best interest of the estate; e. performing other necessary legal services. The firm received a retainer in the amount of $12,000. As disclosed in court filings, Bonnie Bell Bond does not represent interests adverse to the Debtor's estate. The firm can be reached through: Bonnie Bell Bond, Esq. Law Office of Bonnie Bell Bond, LLC 8400 E Prentice Ave Ste 1040 Greenwood Village, CO 80111-2922 Tel: (303) 770-0926 Email: bonnie@bellbondlaw.com About Colorado World Resorts Colorado World Resorts, LLC, a company in Greenwood Village, Colo., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Colo. Case No. 22-12558) on July 15, 2022, listing $10 million to $50 million in both assets and liabilities. Ranko Mocavic, manager and member of Colorado World Resorts, signed the petition. Judge Michael E. Romero oversees the case. Bonnie Bell Bond, Esq., at the Law Office of Bonnie Bell Bond, LLC is the Debtor's counsel. CORSICANA BEDDING: $58MM in DIP Loans Win Final OK -------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Texas, Fort Worth Division, authorized Corsicana Bedding, LLC and its debtor-affiliates to, among other things, use cash collateral and obtain senior secured superpriority postpetition financing, on a final basis. The Debtor sought authority to obtain postpetition financing pursuant to the DIP Facilities, consisting of: A. a senior secured super-priority asset-based revolving credit facility by and among the Borrowers, the Guarantors, Wingspire Capital LLC as administrative agent, and the lenders from time to time party thereto in an aggregate principal amount (subject to availability) of up to $40 million in revolving commitments available for borrowing by the Borrowers subject to the applicable Borrowing Base. B. a senior secured super-priority term loan facility by and among the Borrowers, the Guarantors, Blue Torch Finance, LLC, as administrative agent and collateral agent, and the lenders party thereto from time to time, in an aggregate principal amount of up to $18 million in term loan commitments, which will be available as term loans upon entry of the Interim Order and satisfaction of the other conditions set forth therein in an interim amount not to exceed $9.75 million, which amount is inclusive of the $3 million Protective Advances prior to entry of the Final Order, and the remainder of the DIP Term Loan Facility available upon entry of the Final Order to the extent set forth therein. The Debtors are authorized on a final basis to execute and deliver the DIP Loan Documents and to immediately borrow, incur, and guarantee (as applicable), (i) loans under the DIP Revolver Facility, pursuant to the terms and conditions of the Revolver DIP Documents, the Final Order and the Approved Budget, up to an aggregate principal amount of up to $40 million in DIP Revolving Commitments; and (ii) DIP Term Loans, pursuant to the terms and conditions of the DIP Term Documents, the Final Order and the Approved Budget, in an aggregate principal amount not to exceed $18 million, with such Final DIP Term Loan to be made upon entry of this Final Order and satisfaction of other conditions set forth in the DIP Term Documents and in accordance with the Approved Budget. The Debtors require the use of cash collateral to operate and maintain their businesses in the ordinary course of business. Corsicana Bedding, LLC and certain of its affiliates, as borrowers, Corsicana Parent Co., LLC, designated as "Holdings" thereunder, certain other parties designated as "Guarantors" thereto, the financial institutions from time to time party thereto, and Wingspire, as administrative agent are parties to a Credit Agreement, dated as of April 28, 2021. The Prepetition ABL Credit Agreement provided the Prepetition ABL Obligors with an asset-based revolving credit facility with $40 million of maximum aggregate availability to the borrowers thereunder, subject to a borrowing base (as reduced by reserves), as set forth in the Prepetition ABL Credit Agreement. As of the Petition Date, approximately $18.5 million in principal was outstanding under the Prepetition ABL Facility. Corsicana Bedding, as borrower, and certain of its affiliates designated therein as "Guarantors" and Blue Torch, as administrative agent and collateral agent are parties to a Financing Agreement, dated as of April 28, 2021. Pursuant to the Prepetition Term Loan Agreement, the Prepetition Term Loan Lenders made term loans in the aggregate principal amount of $128,500,000, exclusive of the Protective Advance. As of the Petition Date, $129.4 million of indebtedness under the Prepetition Term Loan Agreement was outstanding, which amount includes the Applicable Premium (as such term is defined in the Prepetition Term Loan Agreement) in the amount of $2.5 million, capitalized interest in the amount of $164,295, and accrued and unpaid interest through the Petition Date in the amount of $1.12 million. Wingspire, in its capacity as Prepetition ABL Agent, and Blue Torch, in its capacity as Prepetition Term Loan Agent, inter alia, are parties to an Intercreditor Agreement, dated as of April 28, 2021. The Prepetition ABL Agent and the Prepetition Term Loan Agent acknowledge and agree that the Prepetition Intercreditor Agreement is a valid and enforceable "subordination agreement" under section 510(a) of the Bankruptcy Code and other applicable non-bankruptcy law and is, as of the Petition Date, binding on the Prepetition ABL Agent, the Prepetition ABL Lenders, the Prepetition Term Loan Agent, the Prepetition Term Loan Lenders and each of the other parties thereto. As adequate protection for the Debtors' use of cash collateral, the Prepetition ABL Secured Parties are granted valid and perfected postpetition replacement security interests in and liens upon the DIP Collateral. The Prepetition Term Loan Secured Parties are granted valid and perfected postpetition replacement security interests in and liens upon the DIP Collateral. Subject to the Approved Budget, the Debtors are authorized to pay to the Prepetition ABL Lenders on the first business day of each calendar month after the entry of the Interim Order, an amount equal to all accrued and unpaid prepetition or postpetition interest (at the non-default rate), fees, and costs under the Prepetition ABL Documents. The Prepetition Secured Parties are also granted allowed superpriority administrative expense claims pursuant to sections 503(b), 507(a), and 507(b) of the Bankruptcy Code which will be allowed claims against each of the Debtors, with priority (except as otherwise provided therein) over any and all administrative expenses and all other claims against the Debtors now existing or hereafter arising, of any kind specified in sections 503(b) and 507(b) of the Bankruptcy Code, and all other administrative expenses or other claims arising under any other provision of the Bankruptcy Code. A copy of the order is available at https://bit.ly/3cQJCAU from PacerMonitor.com. About Corsicana Bedding Corsicana Bedding, LLC, is a U.S.-based manufacturer of mattresses and foundations. The Company is headquartered in Texas and operates manufacturing facilities located in Texas, Arizona, Connecticut, Florida, North Carolina, Tennessee, Washington, and Wisconsin. Corsicana Bedding and its affiliates sought Chapter 11 bankruptcy protection (Bankr. N.D. Tex. Lead Case No. 22-90016) on June 25, 2022. Corsicana Bedding disclosed total assets of $151 million against total liabilities of $260 million as of May 30, 2022. The Hon. Edward L. Morris is the case judge. The Debtors tapped Haynes and Boone, LLP as bankruptcy counsel; and Houlihan Lockey, Inc. and CR3 Partners, LLC, as financial advisors. Donlin Recano & Company, Inc., is the claims agent. COTTAGE GROVE: Wins Cash Collateral Access Thru Jan 2023 -------------------------------------------------------- The U.S. Bankruptcy Court for the District of Oregon authorized Cottage Grove Center, LLC to use cash collateral with respect to the real properties located at 1340 Birch Avenue in Cottage Grove, Oregon, and 4335 Smith Way in Springfield, Oregon, in accordance with the Debtor's stipulation with its creditor, Cottage Grove Sunrise, LLC. The Court said the Debtor's authority to use cash collateral will terminate on the earlier of: (i) the effective date of any confirmed Chapter 11 plan of reorganization; (ii) dismissal of the case; (iii) the Debtor's default and failure to cure the same with respect to any term, provision or condition of the Stipulation; (iv) conversion of the case to one under Chapter 7 of the Bankruptcy Code; (v) appointment of a Chapter 11 Trustee; or (vi) January 31, 2023. From the cash collateral derived from the Subject Property, commencing upon execution of the Stipulation, and continuing on the first day of each month thereafter, the Debtor will reserve amounts for the expenses for the Subject Property amounting to $7,099 and timely pay those expenses when due. Beginning on July 25, 2022, and on the 25th of every month thereafter until an event of termination, the Debtor will tender $2,500 per month as adequate protection for the Debtor's use of the cash collateral. The further hearing on the matter is scheduled for July 25 at 9:30 a.m. A copy of the order is available at https://bit.ly/3oZNin3 from PacerMonitor.com. About Cottage Grover Center Cottage Grove Center LLC is a Single Asset Real Estate (as defined in 11 U.S.C. Section 101(51B)). Cottage Grove Center sought Chapter 11 bankruptcy protection (Bankr. D. Ore. Case No. 22-60332) on March 24, 2022. In the petition filed by Richard J. Gordon as managing member, Cottage Grove Center listed estimated assets up to $50,000 and estimated liabilities between $1 million and $10 million. Judge Thomas M. Renn oversees the case. Ted A. Troutman, Esq., at Troutman Law Firm P.C., is the Debtor's counsel. CROSS RIDGE: Wins Cash Collateral Access Thru Aug 5 --------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Tennessee authorized Cross Ridge Precision Inc. to use cash collateral on an interim basis in accordance with the budget and provide adequate protection to FirstBank through 12 p.m. on August 5, 2022. The Court said if counsel for the United States Trustee file a notice of noncompliance with the Second Interim Cash Collateral Order concerning the Debtor's reporting and document obligations, the Debtor's right to use the cash collateral will terminate at 12 p.m. on August 5. If no notice of noncompliance is filed, the terms of the Second Interim Cash Collateral Order automatically will extend to 5 p.m. on August 11, 2022. A further hearing on the matter is scheduled for August 11 at 10 a.m. A copy of the order and the Debtor's July 2022 budget is available at https://bit.ly/3BpTQ5G from PacerMonitor.com. About Cross Ridge Precision Inc. Cross Ridge Precision Inc. is a machinery parts manufacturer in Oak Ridge, Tennessee. Cross Ridge sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Tenn. Case No. 22-30839) on June 1, 2022. In the petition signed by LJ Elliott, president, the Debtor disclosed $2,281,505 in assets and $3,391,704 in liabilities. Judge Suzanne H. Bauknight oversees the case. William E. Maddox, Jr., Esq., at William E. Maddox, Jr. LLC is the Debtor's counsel. CS GROUP: Wins Cash Collateral Access Thru Aug 31 ------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Texas, Galveston Division, authorized CS Group LLC to use cash collateral on an interim basis, in accordance with the budget, with a 10% variance through August 31, 2022. The Debtor reserves all rights with respect to further use of cash collateral including the right to modify the Order. The Court said the Order may be modified by agreement between the Debtor and its secured lenders, Alecs Young, Rodolpho Ruiz, Ryan Kasemeyer, Walter Alvarez, and Jet Lending, LLC. The final hearing on the matter is scheduled for August 10 at 11 a.m. As previously reported by the Troubled Company Reporter, CS Group argued it is essential to the continued operation of its businesses to have the ability to utilize cash collateral to maintain insurance, clean and maintain its properties, and otherwise repair individual units to relet them. The Debtor believes adequate protection will be provided through the maintenance of existing collateral levels or otherwise. The proposed utilization of cash collateral will not, in any event, impair the Lenders' position. The Debtor believes the Lenders' interests are adequately protected by equity cushions in the Properties and the continued insurance maintenance, repair and insurance of the collateral. A copy of the order and the Debtor's August 2022 budget is available at https://bit.ly/3vod8Vj from PacerMonitor.com. The Debtor projects $17,340 in total cash in and $19,270 in total disbursements for the month. About CS Group LLC CS Group LLC owns three rental properties in Galveston County, Texas: a. 912 Church St., Galveston, Texas; b. 918 Winnie St., Galveston, Texas; and c. 732 1st Ave. N., Texas City, Texas. CS Group LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 22-80112) on June 6, 2022. In the petition signed by Carolina Dupuis, managing member, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Jeffrey P. Norman oversees the case. Vianey Garza, Esq., at Dore Rothberg McKay, PC is the Debtor's counsel. DENTAL LAND: Unsecureds Will Get 5.1% in Subchapter V Plan ---------------------------------------------------------- Dental Land Pediatrics, LLC filed with the U.S. Bankruptcy Court for the District of Maryland an Amended Chapter 11 Subchapter V Plan dated July 26, 2022. Dental Land Pediatrics LLC was formed on July 15, 2013. It is a privately owned pediatric dental practice focused on treating the oral health of children from infancy through teen years. The practice treats patients in Maryland. Dental Land Pediatrics, LLC defaulted on its Bank of America N.A., project finance loan soon after opening due to low patient volume and lack of revenue. This resulted in Debtor being unable to meet its financial goals and maintain current payments on its loan. The loss of $46,518.95, the judgment and the likelihood that Bank of America N.A., would not agree to any further loan modifications lead the Debtor to seek protection under the Federal Bankruptcy Code. The value of the property to be distributed under the Plan during the term of the Plan is not less than the Debtor's projected disposable income for that same period. Unsecured creditors holding allowed claims will receive distributions, which the Debtor has valued at approximately 0.051 cents on the dollar. The Plan also provides for the payment of secured, administrative, and priority claims. Class 4 consists of Allowed General Unsecured Claim. After payments of Classes 1, 2, and 3, pro-rata to unsecured. General unsecured claimants will receive distributions in month 24 (April 2024). This Class is Impaired. The allowed unsecured claims total $369,722.00. This Class will receive a distribution of 5.1% of their allowed claims. Distributions to unsecured claimants are based on projections. The actual distribution to unsecured claimants will vary and will be based on debtor's actual disposable income. During the term of this Plan, the Debtor shall submit the disposable income (or value of such disposable income) necessary for the performance of this plan to the supervision and control of the Subchapter V Trustee or debtor for distribution to claimants as provided for under the plan. If the plan is a consensual plan the debtor will supervise and control the disposable income and make plan payments under the plan. If the plan in a non-consensual plan the Subchapter V Trustee will supervise and control the disposable income and make payments under the plan. The term of this Plan begins on the confirmation date of this Plan and ends on the 36th month subsequent to that date or upon completion of plan funding, which is approximately $206,356.02. A full-text copy of the Subchapter V Plan dated July 26, 2022, is available at https://bit.ly/3Q89tCZ from PacerMonitor.com at no charge. Debtor's Counsel: Frank Morris II, Esq. Law Office of Frank Morris II 8201 Corporate Drive, Suite 260 Landover, MD 20785 Tel: (301) 731-1000 Fax: (301) 731-1206 Email: frankmorrislaw@yahoo.com About Dental Land Pediatrics Dental Land Pediatrics, LLC, a pediatric dental clinic in Bowie, Md., filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Md. Case No. 22-12169) on April 24, 2022, listing up to $50,000 in assets and up to $1 million in liabilities. Michael Wolff serves as Subchapter V trustee. Judge Lori S. Simpson oversees the case. The Debtor tapped Frank Morris, II, Esq., at the Law Office of Frank Morris II as bankruptcy counsel; Winstead Tax Group, LLC as tax counsel; and Comprehensive Business of Northern Virginia, LLC as accountant. DGS REALTY: Seeks to Continue Using Cash Collateral Thru Oct 31 --------------------------------------------------------------- DGS Realty, LLC asks the U.S. Bankruptcy Court for the District of New Hampshire for authority to continue using cash collateral and provide adequate protection to PHH Mortgage Services through October 31, 2022. PHH Mortgage Services, as servicer for U.S. Bank National Trust Association, as Trustee for Lehman Brothers Small Balance Commercial Mortgage Pass-Through Certificates, Series 2006-3, is the cash collateral lien holder of the Debtor. PHH Mortgage holds or claims to hold a blanket first priority mortgage of record on the real estate at 74 Regional Drive, Concord, New Hampshire and 72 Regional Drive, Concord, New Hampshire and a collateral assignment of the rents thereof. The PHH Mortgage First Priority Mortgage and Rent Assignment secure the payment of $2,078,589, which is evidenced by a promissory note in the original principal amount of $862,500. The Debtor will not spend or use more than $10,066 per month during the period between September 1, 2022 and October 31, 2022, without the written consent of the secured lender, as appropriate. The cash collateral will be used solely and exclusively for the purpose of paying the mortgage and taxes of the Debtor in the ordinary course of business to the extent provided for in the Budget and such other costs and expenses as may be authorized in writing by the Secured Lender, as appropriate. The Debtor will provide PHH Mortgage with adequate protection for any loss or diminution in value of the cash collateral securing their claims to the extent such claims qualify as secured claims under Bankruptcy Code Section 506 pending the further order or orders of the Court. PHH Mortgage is being paid $6,750 per month plus real estate tax escrow in the amount of $2,802 each month as adequate protection payments beginning on February 1, 2022, and on the same date of each month thereafter during the Use Term. These are the Debtor's normal monthly payments. The Proposed Order includes a "winding down" proviso under which the Court reserves the right to enter such further orders as may be necessary regarding the use of cash collateral to provide for payment of any administrative claims for wage and trade creditors who have supplied goods or services to the debtor during the period of operation under the order (and any stipulation) which remain unpaid at the time of termination of authorized cash collateral usage, and which goods or services have created additional collateral for the secured claimant. A copy of the motion is available at https://bit.ly/3PL82dW from PacerMonitor.com. About DGS Realty Based in Concord, New Hampshire, DGS Realty, LLC, is a real estate limited liability company. Formed around May 10, 2017, the company is owned by David H. Booth, Manager, Stephen W. Booth, and Gregory A. Booth, each having a 1/3 interest. The company is an affiliate of Walter H. Booth Clause 4 Trust, which sought bankruptcy protection (Bankr. D.N.H. Case No. 16-11598) on Nov. 16, 2016. DGS Realty filed a Chapter 11 petition (Bankr. D.N.H. Case No. 18-10024) on Jan. 11, 2018. In the petition signed by David H. Booth, the Manager, the Debtor estimated assets and debts between $1 million and $10 million. Representing the Debtor is Eleanor Wm Dahar, Esq., at Victor W. Dahar Professional Association. DIOCESE OF ROCHESTER: Objects to About 100 Sexual-Abuse Claims -------------------------------------------------------------- Will Astor of Rochester Beacon reports that the Roman Catholic Diocese of Rochester objected to nearly 100 claims filed by sexual-abuse survivors in its ongoing Chapter 11 bankruptcy, a move that could shave tens of millions off any payout it makes in the case. The objections come late in the nearly three-year-old case and long after the claims were first filed. They also come as tensions between survivors and the diocese build as both sides joust over a settlement offer that survivors scorn as too little, too late. In the offer, the diocese proposes to pay survivors a total of $145.75 million, with its insurance carriers covering $105 million of that amount. Scorning the claim objections as raised on legal technicalities and a contradiction of Rochester Diocese Bishop Salvatore Matano's professed concern for survivors, an attorney representing survivors in the case vowed to vigorously fight the objections. Such objections in diocesan bankruptcies are "unheard of and a pretty big deal in my opinion," says Leander James, an attorney representing 76 abuse survivors in the Rochester Diocese bankruptcy. In a statement, the diocese says that it does not question the veracity of survivors' claims but maintains that it is not responsible for acts committed by parties not legally tied to the diocese, and thus needs to object to the claims as part of its "fiduciary responsibility." As of July 22, 2022, the diocese had filed 97 claim objections. If all were to be disallowed, it would reduce the diocese payout by as much as $30 million. Each of the 97 claim objections cites an affidavit filed by Rochester Diocese chancellor Rev. Daniel Condon. The filing lists various schools, diocese-affiliated organizations and Catholic teaching orders as legally separate entities and maintains that the diocese is not responsible for offenses committed by employees or officials of such unrelated parties. Noting that under church law all Catholic organizations operating in diocesan precincts serve under the authority and at the pleasure of diocesan bishops, James rejects the diocese's stance as disingenuous but virtually certain to add significant costs to a bankruptcy that has already racked up more than $7 million in expenses. In New York, parishes, schools and other affiliates of the states Catholic dioceses are legally registered as separate corporations. The bishop of each diocese is named as the head of each parish corporation. If all the late-filed bankruptcy claim objections were litigated, says James, each would add many billable hours to fees charged by lawyers representing the diocese as well as expenses tied to discovery requests for documents and records, amounts that add to the $7 million that the diocese has so far spent on the bankruptcy and would further reduce damages recovered by survivors. Rather than independently litigating hundreds of claims against diocesan affiliates, James says survivors are seeking to reach a global settlement in the bankruptcy in which such related parties would contribute along with the diocese and its liability carriers. In pursuing the claim objections, the diocese maintains in its statement that it seeks to resolve "this matter justly, charitably and in a timely manner." The diocese asked for Chapter 11 court protection in September 2019, a month after New York's Child Victims Act went into effect. Signed into law in February of that year, the CVA took effect in August 2019. The law opened a roughly two-year window in which adults who suffered abuse decades ago as children but failed to file a claim within the seven-year statute of limitations could seek damages from their alleged abusers. The CVA opened a floodgate, sending hundreds of such claims against the Rochester Catholic Diocese and affiliated organizations like parishes in the diocese's 12-county region. The diocese currently faces 475 claims by sex-abuse survivors in the Chapter 11. Rochester Diocese parishes and other church affiliates in the diocese are fighting some 300 separately filed sex-abuse claims in area state courts. The Rochester Bankruptcy Court has set a Jan. 27, 2022 court date for a hearing to be held on the diocese's $146 million settlement offer. The length of the timeline seems to suggest that the court, which ordered the diocese, its insurers and the case’s official creditors committee into a still-ongoing mediation nearly two years ago, would like to see the dispute settled without further litigation. The bankruptcy's official creditors committee is a body made up of survivors and appointed by the U.S. Trustee to look out for survivors' interest in the bankruptcy. It has filed objections to the settlement, complaining that it is financially inadequate and was arrived at in negotiations between the diocese and its liability carriers with no input from survivors. One of the diocese's insurance carriers, the Continental Insurance Co., last week filed an answer to the creditors committee, asserting that the diocese's insurance coverage is less than the creditors committee claims and that it actually owes nothing. Also filing a brief last week, maintaining that survivors would be better off to accept the settlement, was diocese liability carrier Lloyds of London. The recent offer came months after Bankruptcy Judge Paul Warren rejected a $35 million diocesan offer, which survivors also disparaged as having been arrived at without their input. The diocese, insurers and the creditors committee have been involved in the mediation since 2020. Survivors have voiced frustration with the talks, complaining that they have too long been stalled with no results. Warren ordered the mediation after insurers asked him for leave to file a state court case in which they planned to avoid responsibility for covering for at least some sex-abuse claims against the diocese. As the mediation continued to bog down, in late March the creditors committee pulled out of a Bankruptcy Court agreement inked early in the case that had kept state court claims against parishes and other legally separate diocese affiliates frozen pending the outcome of the bankruptcy. The resumption of several hundred long-dormant state court claims against diocesan affiliates, which are proceeding on separate tracks from the diocese's Chapter 11, puts new pressure on the parties to reach a mutually acceptable agreement. Whether any such agreement will materialize before the Jan. 28 settlement-offer hearing is not clear. Earlier this month, Warren appointed a second mediator, an expert in insurance law, who is to serve alongside the Nevada bankruptcy judge who has been overseeing the mediation since its start two years ago. Two new mediation sessions are slated to be held this week at the Perinton offices of Harris Beach PLLC on July 27 and 28, 2022. The diocese's statement cites the upcoming sessions as "a continuing effort to arrive at a consensual plan of reorganization that will provide fair compensation for those who have been harmed." Insurers have agreed to participate in this week's sessions but are not committed to any further talks beyond those two, Warren's order states. About The Diocese of Rochester The Diocese of Rochester in upstate New York provides support to 86 Roman catholic parishes across 12 counties in upstate New York. It also operates a middle school, Siena Catholic Academy. The diocese has 86 full-time employees and six part-time employees and provides medical and dental benefits to an additional 68 retired priests and two former priests. The diocese generated $21.88 million of gross revenue for the fiscal year ending June 30, 2019, compared with a gross revenue of $24.25 million in fiscal year 2018. The Diocese of Rochester filed for Chapter 11 bankruptcy protection (Bankr. W.D.N.Y. Case No. 19-20905) on Sept. 12, 2019, amid a wave of lawsuits over alleged sexual abuse of children. In the petition, the diocese was estimated to have $50 million to $100 million in assets and at least $100 million in liabilities. Bond, Schoenec & King, PLLC and Bonadio & Co. serve as the diocese's legal counsel and accountant, respectively. Stretto is the claims and noticing agent. The U.S. Trustee for Region 2 appointed an official committee of unsecured creditors in the diocese's Chapter 11 case. Pachulski Stang Ziehl & Jones, LLP and Berkeley Research Group, LLC serve as the committee's legal counsel and financial advisor, respectively. EMPIRE INVESTMENTS: Files Bare-Bones Chapter 11 Petition -------------------------------------------------------- Empire Investments LLC d/b/a Empire Investments Team, LLC, filed for chapter 11 protection in the Northern District of California without stating a reason. According to court filing, Empire Investments estimates between 1 and 49 unsecured creditors. The petition states funds will not be available to unsecured creditors. A meeting of creditors under 11 U.S.C. Section 341(a) is slated for Aug. 16, 2022 at 11:30 AM via Tele/Videoconference - www.canb.uscourts.gov/calendars. Proofs of claim are due by Nov. 14, 2022. About Empire Investments Empire Investments LLC, doing business as Empire Investments Team LLC, is a real estate company in California. Empire Investments LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 22-50645) on July 25, 2022. In the petition filed by Teri Nguyen, as managing member, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $100,000 and $500,000. Vinod Nichani, of Nichani Law Firm, is the Debtor's counsel. ENJOY TECHNOLOGY: Asurion Eyes Purchase of Co. For $110 Mil. ------------------------------------------------------------ James Nani of Bloomberg Law reports that bankrupt Enjoy Technology Inc., a retail startup founded by former Apple Inc. executive Ron Johnson, has been approved to have Asurion LLC serve as the lead bidder for all of the company's assets at $110 million. U.S. Bankruptcy Judge J. Kate Stickles said she would approve Nashville-based technology insurance company Asurion as the stalking horse bidder for most of Enjoy's US assets during a hearing Tuesday in the US Bankruptcy Court for the District of Delaware. If more bidders emerge, an auction will be held on Aug. 9. A sale hearing is scheduled for Aug. 12, according to court documents. About Enjoy Technology Enjoy Technology, Inc. provides a commerce-at-home experience for consumers through their network of mobile retail stores. It is based in Palo Alto, Calif. Enjoy Technology and affiliates, Enjoy Technology Operating Corp. and Enjoy Technology, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 22-10580) on June 30, 2022. In the petition signed by Tiffany N. Meriweather, chief legal officer and corporate secretary, Enjoy Technology, Inc. disclosed $111,661,000 in total assets and $69,956,000 in liabilities. Judge J. Kate Stickles oversees the cases. The Debtors tapped Cooley, LLP and Richards, Layton, and Finger P.A. as legal counsels; Centerview Partners, LLC as investment banker; and Todd Zoha of AP Services, LLC as chief financial officer. Stretto, Inc. is the claims, noticing agent and administrative advisor. Asurion, LLC, a Delaware Limited Liability Company, as DIP lender, is represented by Gibson, Dunn & Crutcher LLP, Bass, Berry & Sims PLC, and Pachulski Stang Ziehl & Jones, LLP. The U.S. Trustee for Regions 3 and 9 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases on July 11, 2022. The committee is represented by Howard Cohen, Esq. EQT CORP: Egan-Jones Retains BB+ Senior Unsecured Ratings --------------------------------------------------------- Egan-Jones Ratings Company on July 11, 2022, retained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by EQT Corporation. Headquartered in Pittsburgh, Pennsylvania, EQT Corporation is an integrated energy company with emphasis on Appalachian area natural-gas supply, transmission, and distribution. FMC TECHNOLOGIES: Egan-Jones Retains BB Senior Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on July 15, 2022, retained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by FMC Technologies, Inc. Headquartered in Houston, Texas, FMC Technologies, Inc. provides oilfield services and equipment. FREE SPEECH: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------- Debtor: Free Speech Systems LLC 3019 Alvin Devane Blvd., Ste 300 Austin, TX 78741 Business Description: Free Speech is part of the radio and television broadcasting industry. Chapter 11 Petition Date: July 29, 2022 Court: United States Bankruptcy Court Southern District of Texas Case No.: 22-60043 Judge: Hon. Christopher M. Lopez Debtor's Counsel: Raymond W. Battaglia, Esq. LAW OFFICES OF RAY BATTAGLIA, PLLC 66 Granburg Circle San Antonio, Texas 78218 Tel: (210) 601-9405 Email: rbattaglialaw@outlook.com - AND - SHANNON & LEE LLP Total Assets as of May 31, 2022: $14,327,587 Total Liabilities as of May 31, 2022: $79,160,756 The petition was signed by W. Marc Schwartz as chief restructuring officer. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/ABES5AY/Free_Speech_Systems_LLC__txsbke-22-60043__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ 1. Elevated Solutions Group Trade Claim $319,148 28 Maplewood Drive Cos Cob, CT 06870 2. Christopher Sadowski Potential $90,000 c/o Copycat Legal PLLC Lawsuit 3111 N. University Drive STE 301 Coral Springs, FL 33065 Daniel DeSouza Tel: 877-437-6228 Email: dan@copycatlegal.com 3. Atomial LLC Trade Claim $75,600 1920 E. Riverside Dr. Suite A-120 #124 Austin, TX 78741 4. Cloudflare, Inc Trade Claim $61,273 Dept LA 24609 Pasadena, CA 91185-4609 5. Jacquelyn Blott Legal Fees $58,280 200 University Blvd Suite 225 #251 Round Rock, TX 78665 6. Joel Skousen Trade Claim $35,035 PO Box 565 Spring City, UT 84662 7. eCommerce CDN, LLC Trade Claim $27,270 221 E 63rd Street Svannah, GA 31405 8. Paul Watson Trade Claim $25,000 9 Riverdale Road Ranmoor Sheffield South Yorkshire S10 3FA UK 9. Brennan Gilmore Litigation Claim $50,000 c/o Civil rights Clinic 600 New Jersey Avenue, NW Washington, DC 20001 Andrew Mendrala Tel: 202-662-9065 Email: andrew.mendrala@georgetown.edu 10. Greenair, Inc. Trade Claim $12,240 23569 Center Ridge Rd Westlake, OH 44145 11. Edgecast, Inc Trade Claim $11,726 Dept CH 18120 Palatine, IL 60055 12. Ready Alliance Group, Inc. Trade Claim $9,431 PO Box 1709 Sandpoint, ID 8386 13. Getty Images, Inc Trade Claim $9,201 PO Box 953604 St. Louis, MO 63195-3604 14. RatsMedical.com Trade Claim $9,185 c/o Rapid Medical 120 N Redwood Rd North Salt Lake, UT 84054 15. David Icke Books Limited Trade Claim $9,000 c/o Ickonic Enterprises Limited St. Helen's House King Street Derby DE1 3EE UK 16. WWCR Trade Claim $9,000 1300 WWCR Ave Nashville, TN 37218-3800 17. JW JIB Productions, LLC Trade Claim $7,000 2921 Carvelle Drive Riviera Beach, FL 33404 18. CustomTattoNow.com Trade Claim $5,389 16107 Kensington Dr. #172 Sugar Land, TX 77479 19. AT&T Utilities Claim $3,973 PO Box 5001 Carol Stream, IL 60197-5001 20. Justin Lair Trade Claim $3,240 1313 Lookout Ave Klamath Falls, OR 97601 GAP INC: Egan-Jones Retains B+ Senior Unsecured Ratings ------------------------------------------------------- Egan-Jones Ratings Company on July 14, 2022, retained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by Gap, Inc. Headquartered in San Francisco, California, Gap, Inc. operates as a clothing retailer. GLOBAL ALLIANCE: Aug 3 Hearing on Continued Cash Collateral Use --------------------------------------------------------------- The U.S. Bankruptcy Court for the Central District of California authorized Global Alliance Distributors, Inc. to use cash collateral on an interim basis in accordance with its stipulation with Kapitus LLC. The Debtor is authorized to use receivables and cash collateral to pay ordinary and necessary operating expenses in accordance with the terms of the Stipulation and the budget, which amends the budget attached to the Stipulation, on an interim basis through August 3, 2022. During the Interim Period, the Debtor must transfer $500 a week to Susan K. Seflin, the Subchapter V trustee. The funds must be held in the trust account of the Subchapter V Trustee pending court approval of a fee application and authorization to apply the funds held in trust to any approved fees and costs of the Sub V Trustee. Kapitus has agreed to subordinate its ownership and security interests in the funds held in trust by the Subchapter V Trustee to the Subchapter V Trustee's right to seek authorization to apply the funds to any court approved fees and costs. Any excess funds held by the Subchapter V Trustee following final approval of all fees and costs must be returned to the Debtor and Kapitus' ownership and security interests in any returned funds will remain intact. As additional adequate protection to other secured parties with an interest in cash collateral, those parties are granted replacement liens upon all post-petition assets of the bankruptcy estate, to the same extent, validity and priority of such parties' pre-petition liens and security interests in the Debtor's assets. The replacement liens are deemed duly perfected and recorded under all applicable laws without the need for any notice or filings. The grant of replacement liens does not limit the right of parties to seek additional adequate protection of their interests and will not be deemed a determination by the Court of the sufficiency of adequate protection provided to such parties. A further continued hearing on the matter is scheduled for August 3 at 11:30 a.m. A copy of the order and the Debtor's budget is available at https://bit.ly/3vke7Wv from PacerMonitor.com. The Debtor projects $718,000 in total monthly income and $702,671 in total monthly expenses. About Global Alliance Distributors Founded in 2010, Global Alliance Distributors Inc. operates a distribution center that distributes primarily Latino books and magazines to approximately 250 supermarkets throughout California, Nevada, Arizona and Florida. It also distributes seasonal items, including, but not limited to, school supplies, sporting goods and equipment, snacks and candies. The Company also operates a logistic business that provides cargo deliveries using independent contractors. Its logistical clients are two major distribution companies, A&C, which is currently the largest international magazine distributor in the world, and Sally Beauty Supplies, a national cosmetics manufacturer. Global Alliance Distributors Inc. sought Chapter 11 bankruptcy protection (Bankr. C.D. Cal. Case No. 22-12552) on May 5, 2022. In the petition filed by Alberto Fabara, as CEO, Global Alliance estimated assets between $500,000 and $1 million and estimated liabilities between $1 million and $10 million. The case is handled by Honorable Bankruptcy Judge Deborah J. Saltzman. The Law Offices of Sheila Esmaili serves as the Debtor's counsel. GS MORTGAGE 2016-GS3: Fitch Affirms CCC Rating on Class F Certs --------------------------------------------------------------- Fitch Ratings has affirmed 13 classes of GS Mortgage Securities Trust (GSMS) 2016-GS3 Commercial Mortgage Pass-Through Certificates series 2016-GS3. In addition, the Rating Outlooks on eight classes were revised to Stable from Negative. GSMS 2016-GS3 Debt Rating Prior ---- ------ ----- A-3 36251PAC8 LT AAAsf Affirmed AAAsf A-4 36251PAD6 LT AAAsf Affirmed AAAsf A-AB 36251PAE4 LT AAAsf Affirmed AAAsf A-S 36251PAH7 LT AAAsf Affirmed AAAsf B 36251PAJ3 LT AA-sf Affirmed AA-sf C 36251PAL8 LT A-sf Affirmed A-sf D 36251PAM6 LT BBB-sf Affirmed BBB-sf E 36251PAR5 LT B-sf Affirmed B-sf F 36251PAT1 LT CCCsf Affirmed CCCsf PEZ 36251PAK0 LT A-sf Affirmed A-sf X-A 36251PAF1 LT AAAsf Affirmed AAAsf X-B 36251PAG9 LT AA-sf Affirmed AA-sf X-D 36251PAP9 LT BBB-sf Affirmed BBB-sf KEY RATING DRIVERS Stable Performance and Loss Expectations: Overall pool performance and base case loss expectations have remained relatively stable since Fitch's prior rating action. Fitch's current ratings incorporate a base case loss of 6.60%. The Outlook revisions to Stable from Negative reflects the performance stabilization for the majority of the properties affected by the pandemic. The Negative Outlook on class E reflects performance concerns on the Cool Springs Commons loan; a downgrade is possible if occupancy fails to improve and/or if the loan transfers to the special servicer. Fitch has identified 10 Fitch Loans of Concern (FLOCs; 35.7% of the pool balance), including one specially serviced loan (0.9%). Twelve loans (36%) are on the master servicer's watchlist for declines in occupancy, pandemic-related performance declines, upcoming rollover and/or deferred maintenance. One previously specially serviced loan, 345 West 14th Street, was liquidated since the prior rating action with an approximate $490,000 loss, which was better than expected. Largest Contributors/Increases to Base Case Loss: The largest contributor to Fitch's loss expectations is the Hamilton Place loan (6.2%), which is secured by a super-regional mall located in Chattanooga, TN. The loan was transferred to special servicing in April 2020 for imminent monetary default at the borrower's request due to the pandemic and was returned to the master servicer in May 2022. The sponsor, CBL & Associates Properties, Inc. (CBL), subsequently filed for Chapter 11 bankruptcy in November 2020 but exited bankruptcy in November 2021. Dillard's, Belk and JCPenney serve as non-collateral anchors and the larger collateral tenants include Barnes & Noble and H&M. As of March 2022, overall mall occupancy was 98.2% and collateral occupancy was 94.6% compared to 91% at issuance. According to the sponsor's 2021 annual report, in-line tenant sales were $465 psf in 2021, compared with $418 psf in 2019 and $406 psf in 2018. An updated total tenant sales report was not provided; however, individual stores did report sales which are generally trending downward for larger tenants, such as Barnes & Noble, Victoria's Secret and Express. CBL purchased the non-collateral Sears in 2017 and has redeveloped the space into retail and hotel uses. The retail includes Dick's Sporting Goods, Dave and Buster's and Cheesecake Factory. The hotel is Chattanooga's first Aloft-branded Marriott hotel, with a rooftop bar that opened in June 2021. Additionally, a new restaurant Party Fowl opened in March 2021 in the space vacated by Bar Louie. Fitch's base case loss expectation of 31% reflects a 15% cap rate and 5% stress to the YE 2021 NOI. The largest increase in Fitch's loss expectation since the prior rating action is the Cool Springs Commons loan (4%), which is secured by a suburban office with 301,697 sf located in Brentwood, TN, approximately 15 miles south of the Nashville CBD. Occupancy declined to 26% as of April 2022 from 97% at YE 2020 due to Community Health Systems (66% of NRA) and Comprehensive Health Management (6%) vacating at their lease expirations in 2021. The previous largest tenant at the property, Community Health Systems, built a 240,000-sf facility in Antioch, TN which was completed in 2017. The borrower deposited $2.5 million in a critical tenant reserve fund to avoid a cash trap requirement due to a major tenant vacating. Fitch's base case loss expectation of 22% reflects a 10% cap rate and 50% stress to the YE 2020 NOI to account for the tenant departures and declining occupancy. Increasing Credit Enhancement (CE): As of the July 2022 distribution date, the pool's aggregate balance has been reduced by 13.1% to $928.3 million from $1.07 billion at issuance. Of the 35 loans in the transaction at issuance, 32 loans remain. There are two loans (2.1%) that have defeased. Six loans (40.1%) are full-term, interest-only and 13 loans (31.2%) that had initial partial interest-only periods have expired. The transaction has experienced realized losses to date totaling approximately $490,000 (0.04% of the original pool), and cumulative interest shortfalls are affecting the non-rated class G. Pool Concentration: The top 10 loans comprise 67.1% of the pool. All of the remaining loans mature in 2026. Based on property type, the largest concentrations are retail at 33.4%, office at 29.8% and hotel at 15.3%. There are four retail loans (20.5%) in the top 15, two of which are backed by regional malls, which have exposure to JCPenney, Macy's, Dillard's, Belk and previously Bloomingdale's. Credit Opinion Loans at Issuance: At issuance, the top two loans were assigned investment grade credit opinions. The loans, 10 Hudson Yards and 540 West Madison, are still considered to have characteristics consistent with credit opinion loans. RATING SENSITIVITIES Factors that could, individually or collectively, lead to negative rating action/downgrade: Sensitivity factors that lead to downgrades include an increase in pool-level losses from underperforming or specially serviced loans/assets. Downgrades to the 'AA-sf' and 'AAAsf' categories are unlikely due to increasing CE and expected continued amortization, but may occur should interest shortfalls affect these classes. Downgrades to the 'BBB-sf' and 'A-sf' categories would likely occur if a high proportion of the pool defaults and/or transfers to special servicing and expected losses for the pool increase sizably. Downgrades to classes E and F would occur with greater certainty of losses, as losses are realized or if Cool Springs Commons does not increase in occupancy and/or transfer to the special servicer. Fitch has identified both a baseline and a worse-than-expected, adverse stagflation scenario based on fallout from the Russia-Ukraine war whereby growth is sharply lower amid higher inflation and interest rates; even if the adverse scenario should play out, Fitch expects virtually no impact on ratings performance, indicating very few rating or Outlook changes. However, for some transactions with concentrations in underperforming retail exposure, the ratings impact may be mild to modest, indicating some changes on sub-investment grade notes. Factors that could, individually or collectively, lead to positive rating action/upgrade: Sensitivity factors that lead to upgrades would include stable to improved asset performance coupled with paydown and/or defeasance. Upgrades to the 'A-sf' and 'AA-sf' categories could occur with large improvement in CE and/or defeasance, and with the stabilization of performance amongst the FLOCs. Upgrades to the 'BBB-sf' category would also consider these factors, but would be limited based on sensitivity to concentrations or the potential for future concentrations. Classes would not be upgraded above 'Asf' if there is a likelihood of interest shortfalls. An upgrade to classes E and F are not likely until the later years in a transaction and only if the performance of the remaining pool is stable and there is sufficient CE to the class. HARSCO CORP: Egan-Jones Retains BB- Senior Unsecured Ratings ------------------------------------------------------------ Egan-Jones Ratings Company on July 14, 2022, retained its 'BB-' foreign currency and local currency senior unsecured ratings on debt issued by Harsco Corporation. Headquartered in Camp Hill, Pennsylvania, Harsco Corporation is an industrial services and engineered products company. HAWAIIAN HOLDINGS: Egan-Jones Retains CCC- Sr. Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on July 14, 2022, retained its 'CCC-' foreign currency and local currency senior unsecured ratings on debt issued by Hawaiian Holdings, Inc. EJR also retained its 'C' rating on commercial paper issued by the Company. Headquartered in Honolulu, Hawaii, Hawaiian Holdings, Inc. provides transportation services. HOWMET AEROSPACE: Egan-Jones Retains BB Senior Unsecured Ratings ---------------------------------------------------------------- Egan-Jones Ratings Company on July 15, 2022, retained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by Howmet Aerospace Inc. Headquartered in Pittsburgh, Pennsylvania, Howmet Aerospace Inc. provides engineered metal products. HUCKLEBERRY PARTNERS: U.S. Trustee Unable to Appoint Committee -------------------------------------------------------------- The U.S. Trustee for Region 21, until further notice, will not appoint an official committee of unsecured creditors in the Chapter 11 case of Huckleberry Partners, LLC, according to court dockets. About Huckleberry Partners Huckleberry Partners, LLC owns and operates a shopping center called Waterford Commons, which is located at 12789 Waterford Lakes Parkway, Orlando, Fla. It is a member-managed company -- the only member with decision making authority is Henry James Herborn, III. Huckleberry Partners sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-02159). In the petition filed by Henry James Herborn, III, managing member, the Debtor disclosed between $1 million and $10 million in both assets and liabilities. Judge Grace E. Robson oversees the case. Justin M. Luna, at Latham, Luna, Eden & Beaudine, LLP, serves as the Debtor's counsel. IGLESIA CRISTIANA: Files Bare-Bones Chapter 11 Petition ------------------------------------------------------- IGLESIA CRISTIANA HEFZI-BA (IS.62) INC. filed for chapter 11 protection in the District of Puerto Rico without stating a reason. According to court filings, Iglesia Cristiana estimates between 1 and 49 creditors. The bare-bones petition states that funds will be available to unsecured creditors. A meeting of creditors under 11 U.S.C. Section 341(a) is slated for Sept. 9, 2022 at 09:00 AM via Telephonic Conference Information for AUST/Trial Attys. Proofs of claim are due by Dec. 8, 2022. About Iglesia Cristiana Helfzi-BA IGLESIA CRISTIANA HEFZI-BA (IS.62) INC. sought bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.P.R. Case No. 22-02170) on July 26, 2022. In the petition filed by Deborah Magaly Alvarez Alvarez, as pastora, the Debtor estimated assets between $1 million and $10 million and liabilities between $100,000 and $500,000. Juan Carlos Bigas Valedon, of JUAN C BIGAS LAW OFFICE, is the Debtor's counsel. INFOW LLC: Hook Defamation Trial in Texas Begins ------------------------------------------------ Jim Vertuno of The Associated Press reports that a Texas jury was selected Monday, July 25, 2022, in a civil trial that will determine for the first time how much Infowars host Alex Jones must pay Sandy Hook Elementary School parents for falsely telling his audience that the deadliest classroom shooting in U.S. history was a hoax. Opening statements were set for Tuesday, July 26, 2022. The trial in Austin -- where the conspiracy theorist lives and broadcasts his show -- follows months of delays. Jones has racked up fines for ignoring court orders and he put Infowars into bankruptcy protection just before the trial was originally set to start in April. At stake for Jones is another potentially major financial blow that could put his constellation of conspiracy peddling businesses into deeper jeopardy. He has already been banned from YouTube, Facebook and Spotify over violating hate-speech policies. The trial involving the parents of two Sandy Hook families is only the start for Jones; damages have yet to be awarded in separate defamation cases for other families of the 2012 massacre in Newtown, Connecticut. The lawsuits do not ask jurors to award a specific dollar amount against Jones, but attorneys for the families suggested they could seek $100 million or more in compensatory and punitive damages. Family members of the shooting victims and Jones were not in the courtroom Monday. "We're very glad the day is here," said Mark Bankston, attorney for the families suing Jones. "We’re looking forward to telling our clients’ story." During Monday's, July 25, 2022, jury selection, several in the initial pool of more than 100 jury candidates said they held strong beliefs on free speech and questioned whether any punitive damages would be fair. A few others said they would struggle to assign damages that could reach $100 million or higher. Yet others said that although they also believe in the principles of free speech, they would not have a problem assigning damages — even a large amount of money — for blatant falsehoods that might have caused harm. It is unclear whether Jones will attend any of the scheduled two-week trial. His attorney, Andino Reynal, said Jones has a "medical issue" that his legal legal team advised him not to be there for jury selection. Reynal didn't elaborate and said it's "up in the air" whether Jones will be in court. In questioning the jury pool, Reynal acknowledged Jones is a "very polarizing" and "controversial" figure, but also noted he'd ask the jury to cap damages at $1. Most of jury pool raised their hand when asked if they had heard of Jones, and nearly two dozen agreed when Reynal asked who among them had a “firm negative impression” of him. A total of 16 people were selected for the Texas jury, which includes four alternates. That total panel includes seven women and nine men. "We're very happy with the jury we've seated," Reynal said. "It's a very important First Amendment case. On trial right now is not just people's freedom of speech, but it's also people's freedom to listen. To choose what they watch on television, to make those choices for themselves, instead of having a personal injury lawyer make those choices for them." Courts in Texas and Connecticut have already found Jones liable for defamation for his portrayal of the Sandy Hook massacre as a hoax involving actors aimed at increasing gun control. In both states, judges have issued default judgements against Jones without trials because he failed to respond to court orders and turn over documents. The Texas trial begins about two months after a gunman killed 19 children and two teachers at Robb Elementary School in Uvalde, which is about 145 miles (235 kilometers) southwest of Austin. It was the deadliest school shooting in the nearly 10 years since Sandy Hook. The 2012 Connecticut shooting killed 20 first graders and six educators. Families of eight of the victims and an FBI agent who responded to the school are suing Jones and his company, Free Speech Systems. Jones has since acknowledged that the shooting took place. During a deposition in April, Jones insisted he wasn't responsible for the suffering that Sandy Hook parents say they have endured because of the hoax conspiracy, including death threats and harassment by Jones' followers. "No, I don't (accept) responsibility because I wasn't trying to cause pain and suffering," Jones said, according to the transcripts made public this month. He continued: "They are being used and their children who can't be brought back (are) being used to destroy the First Amendment." Jones claimed in court records last 2021 that he had a negative net worth of $20 million, but attorneys for Sandy Hook families have painted a different financial picture. Court records show that Jones' Infowars store, which sells nutritional supplements and survival gear, made more than $165 million between 2015 and 2018. Jones has also urged listeners on his Infowars program to donate money. Initial testimony Tuesday is expected to include Daniel Jewiss, who was the Connecticut State Police lead investigator of Sandy Hook, and Daria Karpova, a producer at Infowars. About InfoW LLC InfoW, LLC, also known as InfoWars, is an American far-right conspiracy theory and fake news website that is owned by Alex Jones. InfoW and affiliates, IWHealth, LLC and Prison Planet TV, LLC, filed petitions under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 22-60020) on April 18, 2022. Melissa A. Haselden serves as Subchapter V trustee. In the petition filed by W. Marc Scwartz, chief restructuring officer, InfoW listed up to $50,000 in assets and up to $10 million in liabilities. Judge Christopher M. Lopez oversees the cases. Kyung S. Lee, Esq., is the Debtor's legal counsel. * * * In June 2022, U.S. Bankruptcy Judge Christopher M. Lopez agreed to sign an order approving dismissal of the cases of InfoW LLC, IWHealth LLC and Prison Planet TV LLC, all entities that hold intellectual property assets connected to Jones' podcast network. Mr. Jones was criticized for abusing the bankruptcy system by having his companies file for bankruptcy in April 2022 to limit their liability after a defamation judgment against him and InfoWars for making false statements about the Sandy Hook Elementary School shooting. The Debtors later reached an agreement with the U.S. Trustee for the dismissal of the Chapter 11 cases in light of the dismissal with prejudice of the Debtors from the lawsuits against them by the Texas and Connecticut plaintiffs. INFOW LLC: Jury Hears $150 Mil. Damages Bid as Jones Trial Starts ----------------------------------------------------------------- Christine DeRosa of Law360 reports that the right-wing conspiracy theorist Alex Jones and his company Free Speech Systems should pay $150 million in damages for lying about the 2012 Sandy Hook shooting being a hoax in a crass attempt to drive up product sales, counsel for victims told a Texas jury during opening arguments Tuesday, July 26, 2022, in the defamation case. The proceeding focused on damages comes after a Texas state judge agreed last October that Jones and his company committed defamation and intentional infliction of emotional distress. A full-text copy of the article is available at https://www.law360.com/bankruptcy/articles/1515197/jury-hears-150m-damages-bid-as-alex-jones-trial-begins About InfoW LLC InfoW, LLC, also known as InfoWars, is an American far-right conspiracy theory and fake news website that is owned by Alex Jones. InfoW and affiliates, IWHealth, LLC and Prison Planet TV, LLC, filed petitions under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 22-60020) on April 18, 2022. Melissa A. Haselden serves as Subchapter V trustee. In the petition filed by W. Marc Scwartz, chief restructuring officer, InfoW listed up to $50,000 in assets and up to $10 million in liabilities. Judge Christopher M. Lopez oversees the cases. Kyung S. Lee, Esq., is the Debtor's legal counsel. * * * In June 2022, U.S. Bankruptcy Judge Christopher M. Lopez agreed to sign an order approving dismissal of the cases of InfoW LLC, IWHealth LLC and Prison Planet TV LLC, all entities that hold intellectual property assets connected to Jones' podcast network. Mr. Jones was criticized for abusing the bankruptcy system by having his companies file for bankruptcy in April 2022 to limit their liability after a defamation judgment against him and InfoWars for making false statements about the Sandy Hook Elementary School shooting. The Debtors later reached an agreement with the U.S. Trustee for the dismissal of the Chapter 11 cases in light of the dismissal with prejudice of the Debtors from the lawsuits against them by the Texas and Connecticut plaintiffs. INSYS THERAPEUTICS: Ex-Exec. Seeks Compasionate Release ------------------------------------------------------- Khadrice Rollins of Law360 reports that one of the former Insys executives convicted in an opioid kickback scheme told a Boston federal court that he should be granted compassionate release from prison, saying in a court filing that his continued incarceration is "baffling but not surprising." Lawyers for Rich Simon said on Monday, July 25, 2022, that he should serve the remainder of his 33-month sentence in home confinement or have any remaining time on his sentence applied to his supervised release term. The filing, which follows a previous submission by Simon himself and requests made directly to the prison warden, cites his good behavior during confinement. About Insys Therapeutics Headquartered in Chandler, Ariz., Insys Therapeutics Inc. -- http://www.insysrx.com/-- is a specialty pharmaceutical company that develops and commercializes innovative drugs and novel drug delivery systems of therapeutic molecules that improve patients' quality of life. Using proprietary spray technology and capabilities to develop pharmaceutical cannabinoids, Insys is developing a pipeline of products intended to address unmet medical needs and the clinical shortcomings of existing commercial products. Insys is committed to developing medications for potentially treating anaphylaxis, epilepsy, Prader-Willi syndrome, opioid addiction and overdose, and other disease areas with a significant unmet need. As of March 31, 2019, Insys had $172.6 million in total assets, $336.3 million in total liabilities, and a total stockholders' deficit of $163.7 million. Insys Therapeutics and six affiliated companies filed petitions seeking relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 19-11292) on June 10, 2019. The Debtors' cases are assigned to Judge Kevin Gross. The Debtors tapped Weil, Gotshal & Manges LLP and Richards, Layton & Finger, P.A., as legal counsel; Lazard Freres & Co. LLC as investment banker; FTI Consulting, Inc. as financial advisor; and Epiq Corporate Restructuring, LLC as claims agent. Andrew Vara, acting U.S. trustee for Region 3, on June 20, 2019, appointed nine creditors to serve on an official committee of unsecured creditors in the Chapter 11 cases. Akin Gump Strauss Hauer & Feld LLP, and Bayard, P.A., serve as the Committee's attorneys; and Province, Inc., is the financial advisor. * * * Insys sold its epinephrine 7mg and 8.5mg unit-dose nasal spray products and naloxone 8mg unit-dose nasal spray products and certain equipment and liabilities to Hikma Pharmaceuticals USA Inc. for $17 million. It sold for $12.2 million to Chilion Group Holdings US, Inc., its (i) CBD formulations across current pre-clinical, clinical, third-party grants and investigator initiated study activities (including any future activities or indications), (ii) THC programs of Syndros oral dronabinol solution, and (iii) Buprenorphine products. Insys sold to BTcP Pharma, LLC for $52 million in royalty payments plus other amounts all strengths, doses and formulations in the world (except for the Republic of Korea, et al.). Insys sold to Pharmbio Korea, Inc., for $1.2 million in cash specific intellectual property, records and certain other assets related to strengths, doses and formulations of the Subsys Product in the Republic of Korea, Japan, China, Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, Timor-Leste, and Vietnam. After selling substantially all of their assets, the Debtors filed a Chapter 11 Plan and Disclosure Statement. Judge Kevin Gross on Jan. 16, 2020, confirmed the Debtors' Plan of Liquidation. JHW ALPHIA: S&P Affirms 'CCC+' ICR, Off CreditWatch Negative ------------------------------------------------------------ S&P Global Ratings removed all of its ratings on U.S.-based JHW Alphia Holdings Inc. (Alphia) from CreditWatch, where it placed them with negative implications on March 18, 2022. Its outlook is positive. S&P said, "We affirmed our 'CCC+' issuer credit rating on the company. We also affirmed our 'CCC+' issue level rating on Alphia's secured first-lien credit facilities. We maintained our '3' recovery rating on the secured first-lien credit facilities, reflecting our expectation of a meaningful recovery in the event of a payment default (50%-70%; rounded estimate: 60%). "The positive outlook reflects the possibility that we may upgrade Alphia's rating over the next 12 months if it restores its profitability and cash flow." Alphia obtained covenant relief, completed liquidity enhancing transactions, and delivered restated financials and an unqualified audit for fiscal year 2021 following the data integrity issues it uncovered in February 2022 after the implementation of its new enterprise resource planning (ERP) software. Alphia remediated the accounting mismatch from the ERP implementation and has taken appropriate measures to restore its liquidity, including through an equity infusion and a sale-leaseback transaction. Additionally, it is on track to restore its profitability through visibility of its costs and more efficient operations after fixing its ERP issues. Following the completion of the equity infusion and sale leaseback transactions, Alphia improved its liquidity and paid down debt.The company raised $55 million of preferred stock and closed on a $165 million sale and leaseback transaction in the first half of fiscal year 2022. These transactions allowed Alphia to prepay its term loan by $100 million, repay $24.6 million of outstanding borrowings under its revolver, and pay down its accounts payable, resulting in a cash balance of $41.2 million as of June 30, 2022. The company currently has $81.2 million of liquidity with the inclusion of $40.0 million of revolver availability, which compares with $4 million as of mid-March. S&P said, "We expect Alphia will deleverage in fiscal year 2022 and forecast S&P Global Ratings-adjusted leverage of about 9x for fiscal year 2022, which incorporates our treatment of its $55 million newly issued preferred shares, along with existing $137.7 million of preferred shares (including accrued dividends), and capitalized operating leases as debt-like instruments (about 4x when excluding the preferred shares and operating leases). We treat the new preferred instruments as debt-like because we do not view them as permanent capital given their five-year redemption." S&P said, "We believe Alphia has taken appropriate measures to restore its profitability and cash flow generation and expect its performance will improve in fiscal year 2022.Following a review with external parties and the implementation of improved processes and training, we believe the company has addressed the data integrity issues related to its new ERP implementation. Alphia is now on one ERP system, down from three previously, which will likely support more efficient operations. Therefore, management's visibility into the company's demand and cost pressures has improved, enabling it to take the necessary actions to improve its customer service levels and mitigate the effects of inflation. The company implemented price increases to offset its rising ingredient and freight costs and expects to recover its lost profitability. Management is closely tracking actual price spreads relative to costs to ensure margins are in line with expectations. Additionally, the company has taken other measures to improve its profitability, including by lowering its headcount and plant costs. Consequently, Alphia's gross and EBITDA margins began to recover in the first half of fiscal year 2022. "We expect the company to gradually restore its profitability. Alphia has contractual pass-through arrangements with its customers, largely on a quarterly basis, which mitigates some of the risk from longer-term commodity cost inflation. Nonetheless, it remains exposed to shorter-term volatility given the lag in its pricing pass through. We forecast the company's S&P Global Ratings-adjusted EBITDA margins will be positive in fiscal year 2022, which compares with negative S&P Global Ratings-adjusted EBITDA in fiscal year 2021. We do not expect Alphia will generate material cash flow in the near term but do expect it cash flow generation will improve as it realizes the benefits of management's pricing actions and its working capital requirements return to normal." Trends in the premium pet food industry remain favorable and will likely support improving earnings and cash flow generation over the longer term. Strong pet ownership trends in the U.S. continue to provide the company with demand tailwinds, which support S&P's expectation for strong revenue growth for the remainder of fiscal year 2022. High rates of pet adoption during the COVID-19 pandemic fueled even higher demand for premium pet food, which is an industry that was expanding at a high-single-digit percent rate before the pandemic. S&P said, "We believe Alphia is well positioned to capture the benefits from these supportive industry growth trends given its scale and capabilities, as well as its long-standing relationships with top customers (average tenure of over 10 years). We expect the supportive sector demand trends, along with price increases, will lead to a double-digit percent rise in the company's revenue in fiscal year 2022. Furthermore, the industry is relatively resilient to economic downturns because of brand loyalty and the continued humanization of pets. "The positive outlook on Alphia reflects that we may raise our ratings over the next 12 months if it continues to restore its profitability and cash flow." S&P could upgrade the rating if the company: -- Restores profitability, including maintaining S&P Global Ratings-adjusted EBITDA margins of at least mid-single digit percent from revenue growth and management's inflation mitigation actions; -- Maintains interest coverage of at least 1.5x; and -- Generates positive free cash flow through higher profitability and improved working capital management. S&P could take a negative rating action if the company does not continue to improve operating performance, including achieving at least mid-single digit EBITDA margin and positive free operating cash flow in fiscal 2022. S&P believes this could occur if: -- Its profitability does not improve due to lower demand, higher inflation, or additional operational missteps; or -- The company suffers a material loss of customers because they choose to switch their production in house or experiences a significant decline in its service levels. ESG credit indicators: E2-S2-G4 S&P said, "Governance factors are a negative consideration in our credit rating analysis of JHW Alphia Holdings Inc., given the accounting inaccuracies and poor ERP implementation. Alphia's inability to track expenses amid the ERP implementation demonstrates weak management and internal controls, which led to inaccurate financial statements, ultimately hurting management's ability to make sound business decisions. We may reassess our governance factor if the company demonstrates sustained improvements in profitability and does not experience further issues with its ERP system." Environmental, social, and governance (ESG) credit factors for this change in credit rating/outlook and/or CreditWatch status: -- Risk management, culture, and oversight JODY INC: Unsecured Creditors Will Get 100% of Claims in 5 Years ---------------------------------------------------------------- Jody, Inc., filed with the U.S. Bankruptcy Court for the Western District of Pennsylvania a Small Business Chapter 11 Plan of Reorganization dated July 26, 2022. The Debtor is a real estate holding company and rents real estate to generate income. The Debtor holds multiple parcels of real estate. The Debtor has a multi-unit commercial that is located at 400 S. Water Street, Kittanning, PA. This property is subject to a lien by ARBA Credit Investors, L.P. The Debtor fell behind on payments to ARBA and ARBA began to exercise its rights, including executing on an assignment of rents. ARBA has continued to collect the rents for this property during the pendency of this Chapter 11 case and the Debtor is due a credit in the amount of that collection. The Debtor is going to sell 400 S. Water Street, Kittanning, PA to pay ARBA in full. In the event that the property cannot be sold, it will be surrendered to ARBA in satisfaction of all obligations to ARBA. Class 1 shall consist of the Allowed Secured Claim of Somerset Trust Company. Somerset has a first-priority lien on 12509 Lincoln Way N. Huntington, PA 15642 in the amount of $90,000.00. Payments to this Creditor and Class were current as of the Petition Date and continue to remain current throughout the bankruptcy. The Debtor has leased this property to James A. & Linda L. Fortnay. They make the contractual payments and pay the utilities and taxes on the property. They will continue to make contractual payments on behalf of the Debtor, unmodified, until this Claim is paid in full in accordance original contract. The lien will be retained until the completion of the payments in accordance with the original contract. The Allowed Secured Claim of ARBA Credit Investors, L.P. shall be classified as Class 2. The Debtor will sell 400 S. Water Street, Kittanning, PA to pay this claim in full. The Debtor shall have 12 months following the effective date of this plan to sell this real estate. ARBA has a fully secured claim in the real estate. The Debtor has disputed this claim as to amount only. ARBA executed on an assignment of rents and is collecting rent from the tenants of the real estate. ARBA's filed claim does not reflect credit for any payments collected post-petition. Class 3 shall consist of all of the secured and priority tax claims entitled to priority treatment under Section 507(a)(8) of the Bankruptcy Code. Unless the holder of such claim agrees otherwise, it must receive the present value of the Claim in regular installments paid over a period not exceeding 5 years from the Petition Date. Class 4 consists of General Unsecured Claims. The total amount scheduled for this Class is approximately $2,000.00. This Class will be Impaired. The Creditors in this Class will be paid a in full or a dividend of 100% of the Allowed Claims. This will be paid over 5 year in 5 equal payments. This Class will not be entitled to interest on their claims. The claims in this Class are not entitled to post-petition interest, attorney's fees, or costs. The equity ownership in the Debtor shall be retained. The equity owners shall retain full voting and management rights over the Debtor after Confirmation of the Plan. The plan will be implemented by the Debtor. The Debtor will fund the plan from its disposable income and make payments over the life of the plan. The Debtor will continue to operate its business and lease real estate. The Debtor sell or surrender property to satisfy the secured claim of ARBA. The Debtor is funding this plan with its income paying creditors 100% over a 5-year period to this Plan. A full-text copy of the Plan of Reorganization dated July 26, 2022, is available at https://bit.ly/3cSZseg from PacerMonitor.com at no charge. Debtor's Counsel: David Z. Valencik, Esq. CALAIARO VALENCIK 938 Penn Avenue, Suite 501 Pittsburgh, PA 15222-3708 Phone: (412) 232-0930 Email: dvalencik@c-vlaw.com About Jody, Inc. Jody, Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Penn. Case No. 22-20805) on April 27, 2022. The petition was signed by John P. Oliver as president. At the time of filing, the Debtor estimated $1 million to $10 million in assets and $500,000 to $1 million in liabilities. David Z. Valencik, Esq. at CALAIARO VALENCIK represents the Debtor as its counsel. JT MEAT & GROCERY: Unsecureds Will Get 100% of Claims in Plan ------------------------------------------------------------- Platzer, Swergold, Goldberg, Katz & Jaslow, LLP ("Platzer") and JT Meat & Grocery Corp. (the "Debtor") filed with the U.S. Bankruptcy Court for the Southern District of New York a Disclosure Statement in support of Plan of Liquidation dated July 26, 2022. The Debtor is a corporation organized and existing under the laws of the State of New York. The Debtor owned and operated a supermarket which was located at 1472 Boston Road, Bronx, New York 10460 (the "Premises"). Prior to the Petition Date, the Debtor commenced an action against its landlord, 1472 Boston Road, LLC (the "Landlord"), with the Supreme Court for the State of New York, County of Bronx, docketed under Index No. 27171-2018E (the "State Court Action") whereby the Debtor had asserted certain causes of action against the Landlord for, inter alia, specific performance regarding an option to purchase the Premises subject to its lease (the "Lease") with the Landlord and for payment for damages sustained to the Premises, which the Debtor asserted was required to be remedied by the Landlord pursuant to the terms of the Lease. The Debtor filed this bankruptcy case to preserve its most significant asset, the Lease. As a result of the Landlord Settlement, the Premises was surrendered back to the Landlord and the Debtor ceased operating its grocery business at the Premises. With the conclusion of the Landlord Adversary Proceeding and GT Adversary Proceeding, the Debtor is now able to propose its Plan. Class 1 Allowed Priority Claims shall consist of the claims of New York State Department of State, New York State Department of Labor and New York City Department of Finance in the approximate collective sum of $1,186. Allowed Class 1 Claims shall be paid 100% from the Plan Fund on the Effective Date or such reasonable time thereafter. Class 1 Allowed Priority Claims are not impaired under the Plan. Class 2 Allowed Unsecured Claims shall consist of the Allowed Unsecured Claims of the Debtor in the approximate collective sum of $170,000. Class 2 Allowed Unsecured Claims shall receive 100% of their Allowed Class 2 Claims from the Plan Fund on the Effective Date or such reasonable time thereafter. Class 2 Claims are impaired under the Plan. Class 3 Equity Interests shall consist of the Equity Interest Holders of the Debtor. Class 3 Equity Interests shall Class 3 equity interests shall share, equally, the residual of the Plan Fund, upon completion of payment to Allowed Administrative Claims, Allowed Class 1 Priority Claims, Allowed Class 2 Unsecured Claims and Statutory Fees under 28 U.S.C. §1930. Class 3 Claims are impaired under the Plan. The Plan is to be implemented consistent with §1123 of the Code. The Debtor intends to implement the Plan through its cash availability and the Plan Reserve Fund in the approximate sum of $1,133.267.00. A full-text copy of the Disclosure Statement dated July 26, 2022, is available at https://bit.ly/3Q18BQh from PacerMonitor.com at no charge. Counsel for the Debtor: Clifford A. Katz, Esq. Platzer, Swergold, Levine, Goldberg, Katz & Jaslow, LLP 475 Park Avenue South, 18th Floor New York, NY 10016 Tel.: (212) 593-3000 About JT Meat & Grocery Corp. JT Meat & Grocery Corp. is a privately held company in the grocery stores business. JT Meat & Grocery Corp. filed its voluntary petition under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 20-10060) on Jan. 10, 2020. In the petition signed by Kevin Tavera, president, the Debtor estimated $1 million to $10 million in assets and $500,000 to $1 million in liabilities. Clifford A. Katz, Esq. At PLATZER, SWERGOLD, LEVINE, GOLDBERG, KATZ & JASLOW, LLP, represents the Debtor as counsel. KHAF CORPORATION: Unsecureds to Get $2K per Month for 60 Months --------------------------------------------------------------- Kharf Corporation, filed with the U.S. Bankruptcy Court for the Northern District of Texas a Plan of Reorganization under Subchapter V dated July 26, 2022. The Debtor is primarily located in North Texas and is a full service carpet and flooring supplier, providing residential and commercial flooring services through retail storefronts and installations. The Debtor's revenue has declined during the COVID-19 pandemic, which led to the Debtor's inability to fully service its debt and ultimately the filing of this case. Further, Debtor was the victim of fraud which affected its revenue. Under this Plan, Secured Creditors will receive payment of 100% of their Allowed Secured Claims and Unsecured Creditors will receive a pro rata distribution of $2,000.00 per month to their Allowed Unsecured Claims. Therefore, pursuant to the liquidation analysis all Creditors will receive at least as much under this Plan as they would in a Chapter 7 liquidation. Class 11 consists of Allowed Claims of Insiders (New Plan Investments, LLC). Allowed Claims of Insiders shall be paid in full and in cash within 3 months after all other Allowed Claims in Classes 1-10 are paid in full. The Debtor believes the only Claimant in this Class is New Plan Investments, LLC. Class 12 consists of Allowed General Unsecured Claims. Class 12 Claimants shall be paid a pro rata distribution of $2,000.00 per month over 60 months from the Effective Date, without interest. These Claims will be paid in equal monthly installments commencing on the first day of the first month following the Effective Date and continuing on the first day of each month thereafter. The Debtor scheduled total Unsecured Claims of $1,800,951.10. Class 13 consists of Equity Interests. Class 13 Equity Interests shall be retained. The Debtor intends to make all payments required under the Plan from available cash and income from the business operations of the Debtor. A full-text copy of the Plan of Reorganization dated July 26, 2022, is available at https://bit.ly/3oFHxui from PacerMonitor.com at no charge. Attorneys for Debtor: Joyce W. Lindauer State Bar No. 21555700 Joyce W. Lindauer Attorney, PLLC 1412 Main St. Suite 500 Dallas, Texas 75202 Telephone: (972) 503-4033 Facsimile: (972) 503-4034 About Khaf Corporation Khaf Corporation operates a flooring and remodeling business with three locations in the D/FW Metroplex in Texas. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 22-40941) on April 27, 2022. In the petition signed by Jessica Concepcion, owner, the Debtor disclosed up to $1 million in assets and up to $10 million in liabilities. Judge Edward L. Morris oversees the case. Joyce W. Lindauer, Esq., at Joyce W. Lindauer Attorney, PLLC is the Debtor's counsel. LIEB PROPERTIES: Wilson Seeks Case Trustee or Chapter 7 Conversion ------------------------------------------------------------------ Wilson Construction & Properties, Inc., asks the U.S. Bankruptcy Court for the Eastern District of Tennessee to convert to Chapter 7 the Chapter 11 case of Lieb Properties, LLC, or in the alternative, appoint a Chapter 11 Trustee. On July 8, 2022, the Court entered the Order Approving Sale of Real Property Free And Clear Of All Liens And Encumbrances, authorizing the Debtor to sell its property to Wilson free and clear of all liens and encumbrances, with liens attaching to the sale proceeds, in consideration of $775,000. A closing of the sale to Wilson of the Property was scheduled on July 20, 2022, at the Offices of Tallent Title Group. Lindsey Lieb failed to attend the closing, which was rescheduled for July 29, 2022, at 11:00 a.m. In requesting the conversion of the Debtor's case to Chapter 7, or the appointment of a Chapter 11 trustee, Wilson cites (a) gross mismanagement of the estate by failing to close the sale of the Property, thereby risking the potential loss to the estate of more than $200,000, and (b) the continuing loss to or diminution of the estate and the absence of a reasonable likelihood of rehabilitation. The Court will consider the motion on August 1, 2022, at 2:00 p.m. A copy of the motion is available for free at https://bit.ly/3vr5kSu from PacerMonitor.com. Attorneys for Wilson Construction: Maurice K. Guinn, Esq. Gentry, Tipton & McLemore, P.C. P.O. Box 1990 Knoxville, TN 37901 Telephone: (865) 525-5300 E-mail: mkg@tennlaw.com About Lieb Properties Lieb Properties, LLC filed a Chapter 11 bankruptcy petition (Bankr. E.D. Tenn. Case No. 21-31866) on Dec. 2, 2021, disclosing as much as $1 million in both assets and liabilities. Judge Suzanne H. Bauknight oversees the case. The Debtor is represented by Lynn Tarpy, Esq., at Tarpy, Cox, Fleishman & Leveille, PLLC. LIVEWELL ASSISTED: Wins Cash Collateral Access Thru Aug 31 ---------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of North Carolina, Raleigh Division, authorized Livewell Assisted Living, Inc. to use cash collateral on an interim basis in accordance with the budget, with a 10% variance, through August 31, 2022. The Debtor requires the use of cash collateral to continue its ongoing operations. The budget provides for $360,000 in actual revenue and $321,272 in total expenses for August 2022. The possible lienholders of the Debtor's cash collateral are: Creditor Balance owed -------- ------------ U.S. Small Business Administration $510,017 Itria Ventures $54,483 Forward Financing $114,062 Vox Funding $80,300 Delta Bridge Funding $33,973 Wynwood Capital Group $44,970 United Fund USA $24,481 Seabrook Funding $52,465 EBF Holdings $66,960 CFG Merchant Funding $95,153 Green Grass Capital $47,680 The secured creditors are granted liens in after-acquired revenue to the same extent and priority as they had prior to the filing of the case. A further hearing on the matter is scheduled for August 24 at 11 a.m. A copy of the order is available at https://bit.ly/3PKIyxa from PacerMonitor.com. About Livewell Assisted Living Livewell Assisted Living, Inc., a part of the continuing care retirement communities industry, filed its voluntary petition for Chapter 11 protection (Bankr. E.D.N.C. Case No. 22-00264) on Feb. 7, 2022, listing up to $500,000 in assets and up to $10 million in liabilities. Justin Beckett, president, signed the petition. Judge David M. Warren oversees the case. Travis Sasser, Esq., at Sasser Law Firm represents the Debtor as legal counsel. LIZARD IN LOS ANGELES: Files Bare-Bones Chapter 11 Petition ----------------------------------------------------------- Lizard In Los Angeles LLC filed for chapter 11 protection in the Central District of California, without stating a reason. According to court filings, Lizard In Los Angeles LLC estimates between 1 and 49 creditors. The petition states funds will be available to unsecured creditors. A meeting of creditors under 11 U.S.C. Section 341(a) is slated for Aug. 29, 2022, at 9:00 AM at UST-LA2, TELEPHONIC MEETING. CONFERENCE LINE:1-866-816-0394, PARTICIPANT CODE:5282999. About Lizard In Los Angeles Lizard In Los Angeles LLC is a boutique lifestyle hotel with a focus on design and culture, oriented towards high- end domestic and international business travellers. Lizard In Los Angeles LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-14049) on July 26, 2022. In the petition filed by Jack Deng, as authorized representative, the Debtor estimated assets between $10 million and $50 million and liabilities between $1 million and $10 million. David B Golubchik, of Levene, Neale, Bender, Yoo & Golubchik L.L.P., is the Debtor's counsel. LTL MANAGEMENT: Talc Claimants Spar Over Chapter 11 Path -------------------------------------------------------- Vince Sullivan of Law360 reports that the attorneys for Johnson & Johnson's bankrupt talc unit, LTL Management, and the committee representing talc claimants presented arguments Tuesday, July 26, 2022, in New Jersey court in support of their competing visions for the Chapter 11 case and how to best determine the amount of liability the debtor has related to talc injuries. During a hearing in Trenton, LTL Management LLC attorney Gregory M. Gordon of Jones Day said the court should approve a hybrid approach that includes an estimation process as well as continuing mediation he argued would help build support for the parties' respective positions while facilitating settlement discussions. About LTL Management LTL Management, LLC, is a subsidiary of Johnson & Johnson (J&J), which was formed to manage and defend thousands of talc-related claims and oversee the operations of Royalty A&M. Royalty A&M owns a portfolio of royalty revenue streams, including royalty revenue streams based on third-party sales of LACTAID, MYLANTA/MYLICON and ROGAINE products. LTL Management filed a petition for Chapter 11 protection (Bankr. W.D.N.C. Case No. 21-30589) on Oct. 14, 2021. The case was transferred to New Jersey (Bankr. D.N.J. Case No. 21-30589) on Nov. 16, 2021. The Hon. Michael B. Kaplan is the case judge. At the time of the filing, the Debtor was estimated to have $1 billion to $10 billion in both assets and liabilities. The Debtor tapped Jones Day and Rayburn Cooper & Durham, P.A., as bankruptcy counsel; King & Spalding, LLP and Shook, Hardy & Bacon LLP as special counsel; McCarter & English, LLP as litigation consultant; Bates White, LLC as financial consultant; and AlixPartners, LLP as restructuring advisor. Epiq Corporate Restructuring, LLC, is the claims agent. An official committee of talc claimants was formed in the Debtor's Chapter 11 case on Nov. 9, 2021. On Dec. 24, 2021, the U.S. Trustee for Regions 3 and 9 reconstituted the talc claimants' committee and appointed two separate committees: (i) the official committee of talc claimants I, which represents ovarian cancer claimants, and (ii) the official committee of talc claimants II, which represents mesothelioma claimants. The official committee of talc claimants I tapped Genova Burns LLC, Brown Rudnick LLP, Otterbourg PC and Parkins Lee & Rubio LLP as its legal counsel. Meanwhile, the official committee of talc claimants II is represented by the law firms of Cooley LLP, Bailey Glasser LLP, Waldrep Wall Babcock & Bailey PLLC, Massey & Gail LLP, and Sherman Silverstein Kohl Rose & Podolsky P.A. A full-text copy of the Bloomberg Article is available at https://news.bloomberglaw.com/bankruptcy-law/j-j-talc-claimants-seek-to-write-their-own-compensation-plan About Johnson & Johnson Johnson & Johnson is an American multinational corporation founded in 1886 that develops medical devices, pharmaceuticals, and consumer packaged goods. It is the world's largest and most broadly based healthcare company. Johnson & Johnson is headquartered in New Brunswick, New Jersey, the consumer division being located in Skillman, New Jersey. The corporation includes some 250 subsidiary companies with operations in 60 countries and products sold in over 175 countries. The corporation had worldwide sales of $82.6 billion in 2020. MARINE WHOLESALE: Seeks to Hire Trojan and Company as Accountant ---------------------------------------------------------------- Marine Wholesale and Warehouse, Co. seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Trojan and Company Accountancy Corp as its accountant. The firm will render these services: a. prepare financial statements; b. provide payroll and monthly bookkeeping services; and c. assist the Debtor in preparing monthly operating reports and other financial documents during the pendency of its bankruptcy case. The firm will charge a monthly flat fee of $1,450. Donald Trojan, a certified public accountant and president of Trojan and Company, disclosed in a court filing that his firm is "disinterested" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Donald J. Trojan, CPA Trojan and Company Accountancy Corporation 3351 Cerritos Avenue Los Alamitos, CA 90720 Phone: (562) 598-5600 About Marine Wholesale and Warehouse Co. Marine Wholesale & Warehouse Co. is a multi-channel wholesale distribution company in San Pedro, Calif., which serves clients in the global duty free and travel retail space. Marine Wholesale and Warehouse sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 22-13785) on July 12, 2022. In the petition signed by Jennifer Hartry, vice president and secretary, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Sheri Bluebond oversees the case. David R. Haberbush, Esq., at Haberbush, LLP, Neville Peterson, LLP, and Trojan and Company Accountancy Corp. serve as the Debtor's bankruptcy counsel, special tax law counsel and certified public accountant, respectively. MARINE WHOLESALE: Taps Haberbush LLP as Bankruptcy Counsel ---------------------------------------------------------- Marine Wholesale and Warehouse, Co. seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Haberbush, LLP as its bankruptcy counsel. Haberbush will render these legal services. (a) advise, consult, prosecute for and defend the Debtor concerning issues arising in regard to the conduct of the estate, the Debtor's rights and remedies with regard to the estate's assets, and the claims of secured, priority and unsecured creditors. (b) appear for and represent the Debtor's interest in obtaining court approval for the hiring of professionals, and advise the Debtor regarding the liquidation of the estate's property; (c) investigate and prosecute, if appropriate, preference, fraudulent transfer, and other actions arising under the Debtor's avoiding powers; (d) assist in the preparation of legal papers; (e) advise, consult and represent the Debtor in such legal actions as are necessary concerning the use and disposition of property of the estate; (f) advise, consult, prosecute for and defend the Debtor concerning claims made against the estate or claims made by the estate; (g) seek approval of a plan of reorganization; and (h) advise, consult and assist the Debtor with the U.S. Trustee Guidelines, the Local Bankruptcy Rules of the bankruptcy court, Bankruptcy Code, and the Federal Rules of Bankruptcy Procedure. Haberbush received a retainer of $40,000 from the Debtor. The hourly rates of Haberbush's attorneys and staff are as follows: David R. Haberbush $495 per hour Richard A. Brownstein $495 per hour Louis H. Altman $440 per hour Vanessa M. Haberbush $275 per hour Lane K. Bogard $250 per hour Alexander H. Haberbush $200 per hour In addition, Haberbush will be reimbursed for out-of-pocket expenses incurred. David Haberbush, Esq., a partner at Haberbush, disclosed in a court filing that his firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: David Haberbush, Esq. Haberbush, LLP 444 West Ocean Boulevard, Suite 1400 Long Beach, CA 90802 Telephone: (562) 435-3456 Facsimile: (562) 435-6335 Email: dhaberbush@lbinsolvency.com About Marine Wholesale and Warehouse Co. Marine Wholesale & Warehouse Co. is a multi-channel wholesale distribution company in San Pedro, Calif., which serves clients in the global duty free and travel retail space. Marine Wholesale and Warehouse sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 22-13785) on July 12, 2022. In the petition signed by Jennifer Hartry, vice president and secretary, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Sheri Bluebond oversees the case. David R. Haberbush, Esq., at Haberbush, LLP, Neville Peterson, LLP, and Trojan and Company Accountancy Corp. serve as the Debtor's bankruptcy counsel, special tax law counsel and certified public accountant, respectively. MARINE WHOLESALE: Taps Neville Peterson as Special Tax Law Counsel ------------------------------------------------------------------ Marine Wholesale and Warehouse, Co. seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Neville Peterson, LLP as its special tax law counsel. The firm will advise, consult, prosecute for and defend the Debtor in relation to the claim of the Alcohol and Tobacco Tax and Trade Bureau (TTB), including any adversary or other proceedings involving the claim of the TTB for taxes and penalties. The attorneys who will be handling the case and their hourly rates are: John M. Peterson, Esq. $725 Michael K. Tomenga, Esq. $675 Patrick B. Klein, Esq. $300 John Peterson, Esq., a partner at Neville Peterson, disclosed in a court filing that his firm is a "disinterested person" as that term is defined in Sec. 101(14) of the Bankruptcy Code. The firm can be reached through: John M. Peterson, Esq. Neville Peterson LLP One Exchange Plaza 55 Broadway, Suite 2606 New York, NY 10006 Office: (212) 635-2730 Mobile: (646) 287-8461) Email: jpeterson@npwny.com About Marine Wholesale and Warehouse Co. Marine Wholesale & Warehouse Co. is a multi-channel wholesale distribution company in San Pedro, Calif., which serves clients in the global duty free and travel retail space. Marine Wholesale and Warehouse sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 22-13785) on July 12, 2022. In the petition signed by Jennifer Hartry, vice president and secretary, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Sheri Bluebond oversees the case. David R. Haberbush, Esq., at Haberbush, LLP, Neville Peterson, LLP, and Trojan and Company Accountancy Corp. serve as the Debtor's bankruptcy counsel, special tax law counsel and certified public accountant, respectively. MASTEN SPACE SYSTEMS: NASA Contractor Enters Chapter 11 ------------------------------------------------------- Masten Space Systems Inc. filed for chapter 11 protection in the District of Delaware. According to the resolution authorizing the bankruptcy filing, the Debtor will file with the Bankruptcy Court a motion seeking approval of, among other things, (a) a sale of the Company's SpaceX launch credit pursuant to a stalking horse asset purchase agreement with Intuitive Machines, LLC and (b) a sale of the Company's remaining assets to one or more purchases. The Company intends to engage in a marketing process to resolicit parties for their interest in the Company's assets, to ensure the APA provides the highest or otherwise best offer for the Company's assets. According to SpaceNews, Masten Space Systems is a company developing a lunar lander for a NASA mission. The company is one of five that had won Commercial Lunar Payload Services (CLPS) awards from NASA to deliver payloads to the lunar surface. NASA issued an award originally valued at $75.9 million Masten in April 2020 to deliver a suite of experiments to the lunar surface using its XL-1 lander. The mission, originally scheduled for 2022, was pushed back to November 2023 because what the company said in June 2021 were pandemic-related supply chain issues. "NASA received notification its payloads slated for delivery aboard Masten Mission One may be impacted by Masten business operations. The agency is working closely with the company to ensure that any potential changes comply with Federal Acquisition Regulations," NASA said in a July 29 statement, according to Space News. "In the event Masten Space Systems is unable to complete its task order, NASA will manifest its payloads on other CLPS flights." NASA added that of the revised value of the award of $81.3 million, the agency paid Masten $66.1 million to date. According to SpaceNews, industry sources reported Masten Space Systems encountered financial problems recently, forcing it to furlough its staff for the month of July and lay off many of the people working on the XL-1 project. "Masten intends to use the Chapter 11 process to streamline Masten's expenses, optimize its operations and conduct sale processes that maximize value for its unsecured creditors," Sean Bedford, general counsel of Masten Space Systems, said in a statement to SpaceNews. "We are hopeful that this process will enable Masten to continue operations and deliver value for its customers and the space industry." The filing lists as its largest creditor SpaceX, who has a contract to launch the XL-1 lander. Masten owes SpaceX $4.6 million, according to the filing. Other major creditors include Psionic, a developer of navigation systems; another lunar lander company, Astrobotic; NuSpace, an aerospace components supplier; and propulsion company Frontier Aerospace. According to court filing, Masten Space Systems estimates between 50 and 99 creditors. The petition states funds will not be available to unsecured creditors. About Masten Space Systems Masten Space Systems Inc. -- https://www.masten.aero -- is a space infrastructure company enabling sustainable access and utilization of the Moon, Mars, and beyond. On July 29, 2022, Masten Space Systems Inc. filed for chapter 11 protection (Bankr. D. Del. Case No. 22-10657). In the petition filed by David Masten, as president and chief technology officer, the Debtor estimated assets and liabilities between $10 million and $50 million each. Morris James LLP, is the Debtor's counsel. Alston & Bird LLP is the Debtor's corporate counsel. Gavin/Solmonese LLC is the financial advisor. MASTEN SPACE: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: Masten Space Systems, Inc. f/d/b/a Masten, Masten Space 1570 Sabovich St Mojave, CA 93501 Case No.: 22-10657 Business Description: Masten Space is an aerospace manufacturer company in Mojave, California that is developing lunar landers, terrestrial landers, rocket engines, and space technologies. Chapter 11 Petition Date: July 28, 2022 Court: United States Bankruptcy Court District of Delaware Judge: Hon. Brendan Linehan Shannon Debtor's Counsel: Jeffrey R. Waxman, Esq. MORRIS JAMES LLP 500 Delaware Avenue Suite 1500 Wilmington, DE 19801 Tel: 302-888-6800 Email: jwaxman@morrisjames.com Debtor's Corporate Counsel: ALSTON & BIRD LLP Debtor's Financial Advisor: GAVIN/SOLMONESE LLC Estimated Assets: $10 million to $50 million Estimated Liabilities: $10 million to $50 million The petition was signed by David Masten as president and chief technology officer. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/CP3CV3Q/Masten_Space_Systems_Inc__debke-22-10657__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ 1. Space Exploration Vendor Debt $4,621,875 Technologies Corp. 1 Rocket Road Hawthorne, CA 90250 Jessica Comfort Email: jessica.comfort@spacex.com 2. Psionic, LLC Vendor Debt $2,780,000 1100 Exploration Way Hampton, VA 23666 Robin Loeffer Email: rloeffler@psionic.ai 3. Astrobotic Technology Inc. Vendor Debt $2,724,567 1016 North Lincoln Avenue Pittsburgh, PA 15233 Email: ap@astrobotic.com 4. NuSpace Vendor Debt $1,694,738 4401 Donald Douglas Drive Long Beach, CA 90808-1732 Email: lmyers@nuspace.us 5. Frontier Aerospace, Inc. Vendor Debt $1,168,259 4109 Guardian Street, Unit A Simi Valley, CA 93063 Email: accountsreceivable@frontier.us 6. Space Micro Vendor Debt $951,019 15378 Avenue of Science San Diego, CA 92128-3451 Email: mdowd@spacemicro.com 7. Agile Space Industries Vendor Debt $770,000 1514 Main Ave Durango, CO 81301 Andrew Thompson Email: andrew.thompson@agilespaceindustries.com 8. Rock West Composites, Inc. Vendor Debt $751,461 7625 Panasonic Way San Diego, CA 92154 Email: karen.turley@1rockwest.com 9. Marotta Controls, Inc. Vendor Debt $704,472 76 Boonton Ave. PO Box 427 Montville, NJ 07045 Ryan Hourihan Email: rhourihan@marotta.com 10. Airbus Defence and Vendor Debt $524,600 Space Netherlands B.V Mendeiweg30 Leiden CS 2333 Netherlands Marloes Van Put Email: m.van.put@airbusds.nl 11. Arde, Inc. Vendor Debt $506,776 875 Washington Ave. Carlstadt, NJ 07072 Sean Grover Email: s.grover@ardeinc.com 12. Quartus Engineering Inc. Vendor Debt $455,757 10251 Vista Sorrento Parkway, Suite 250 San Diego, CA 92121-3776 Andrea Cuneo, Chief of Staff Tel: (858) 875-6039 Email: andrea.cuneo@quartus.com 13. ABSL Power Trade $386,596 Solutions, Inc. 1751 S. Fordham St, Suite 100 Longmont, CO 80503 Email: sara.youngwirth@eas.enersys.com 14. Wallace & Smith Contractors Vendor Debt $322,099 3325 Landco Drive Bakersfield, CA 93308 Paul Cooper, President Email: cjoiner@wallacesmith.com, CCooper@wallacesmith.com 15. Norman Filter Company Vendor Debt $195,525 3394 Paysphere Circle Chicago, IL 60674 Jeff Burkett Tel: (800) 207-6045 Email: jeffburkett@normanfilters.com 16. Columbia Tool and Die Vendor Debt $177,000 301 Old Barnwell Rd West Columbia, SC 2917 Damon Groom Email: d.groom@columbiatoolanddie.com 17. Ecliptic Enterprises Corporation Vendor Debt $150,000 398 W Washington Blvd # 100 Pasadena, CA 91103 Tel: (626) 798-2436 Email: ecapulong@eclipticenterprises.com 18. Moog CSA Engineering Vendor Debt $117,117 75 Remittance Drive, Dept 3161 Chicago, IL 60675-316 Eric Stellrecht Email: estellrecht@moog.com 19. MDA Space & Vendor Debt $106,830 Robotics Ltd Atlas Building (R27) Fermi Avenue, Harwell Campus Didcot Oxfordshire OX110QX Jason Grow Email: jason.gow@mdaspace.uk 20. P3 Technologies LLC Vendor Debt $97,370 840 jupiter Park Drive Suite 110 Jupiter, FL 33458 Phil Pelfrey Email: phil.pelfrey@p3-tech.com MICROCHIP TECHNOLOGY: Egan-Jones Retains BB+ Sr. Unsecured Ratings ------------------------------------------------------------------ Egan-Jones Ratings Company on July 11, 2022, retained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Microchip Technology Incorporated. Headquartered in Chandler, Arizona, Microchip Technology Incorporated designs, manufactures, and markets microcontrollers, related mixed-signal and memory products, and application development systems for high-volume embedded control applications. MOHAMED A. EL RAFAEI: UST Appoints Jason Gold as Ch. 11 Trustee --------------------------------------------------------------- John P. Fitzgerald, III, Acting United States Trustee for Region 4, appointed H. Jason Gold as the Chapter 11 Trustee for Mohamed A. El Rafaei case. The Court previously directed the United States Trustee to appoint a person to serve as Chapter 11 Trustee in this case. The bond required of the Chapter 11 Trustee is fixed, at this time, at $10,000. The bond may require adjustment as the Trustee collects and liquidates assets of the estate, and the Trustee is directed to inform the Office of the United States Trustee when changes to the bond amount are required or made. About Mohamed A. El Rafaei Mohamed A. El Rafaei sought Chapter 11 protection (Bankr. E.D. Va. Case No. 20-12583) on Nov. 23, 2020. The Debtor is represented by Christopher L. Rogan and James P. Campbell. MOUNTAIN PROVINCE DIAMONDS: S&P Downgrades ICR to 'SD' ------------------------------------------------------ S&P Global Ratings lowered its issuer credit rating (ICR) on Canada-based Mountain Province Diamonds Inc. (MPV) to 'SD' (selective default) from 'CCC-'. At the same time, S&P Global Ratings lowered its issue-level rating on the company's senior secured second-lien notes due December 2022 to 'D' (default) from 'CCC-', reflecting its view that the repurchase transaction constitutes a debt restructuring. MPV announced below-par repurchases of a portion of its 8% senior secured second-lien notes due December 2022. S&P Global Ratings considers the repurchases tantamount to a default and distressed exchange based on the discount to par, and views MPV's liquidity as constrained in advance of the maturity of the rest of the company's secured notes due in less than six months. The downgrade reflects MPV's below-par debt repurchases for a portion of its 8% senior secured second-lien notes due December 2022. The company repurchased US$26.4 million of principal amount of notes for cash at approximately 96% to par value in a privately negotiated transaction with certain noteholders. This represents about 9% of the US$300 million notes outstanding (no other debt on the balance sheet as of March 31, 2022). S&P siad, "We do not believe the company will have sufficient liquidity to repay the remaining notes outstanding on maturity within six months. We also do not expect MPV will have capital market access to refinance the notes at par. In view of these factors, we consider the debt repurchases as a distressed transaction and default because investors received less than par on the originally promised principal repayment of the debt. And as a result, we have lowered our rating on these notes to 'D' from 'CCC-'. "We also lowered our ICR on MPV to 'SD' from 'CCC-' because the default only affected the senior secured notes due December 2022. We plan to reevaluate the ICR in the near term based on our conventional assessment of default risk. Our review will focus on the long-term viability of MPV's capital structure and liquidity position. We will likely keep the secured notes rating at 'D' until we believe the likelihood of further repurchases is remote." MOUNTAINSKY LANDSCAPING: Starts Subchapter V Case ------------------------------------------------- MountainSky Landscaping LLC filed for chapter 11 protection in the District of Colorado. The Debtor filed as a small business debtor seeking relief under Subchapter V of Chapter 11 of the Bankruptcy Code. According to court filings, MountainSky Landscaping estimates between 50 and 99 creditors. The petition states funds will be available to unsecured creditors. About MountainSky Landscaping MountainSky Landscaping LLC offers complete outdoor living and gardening designs for residential and commercial sectors. On July 26, 2022, the Debtor filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code (Bankr. D. Col. Case No. 22-12744). The Debtor has elected to proceed under subchapter V of chapter 11. In the petition filed by Peter Churchill, as manager and member, the Debtor estimated assets between $100,000 and $500,000 and estimated liabilities between $1 million and $10 million. Joli A. Lofstedt has been appointed as Subchapter V trustee. David Wadsworth, of Wadsworth Garber Warner Conrardy, P.C., is the Debtor's counsel. NATIONWIDE FREIGHT: Wins Cash Collateral Access Thru Aug 31 ----------------------------------------------------------- The U.S. Bankruptcy Court for the District of Illinois, Eastern Division, authorized Nationwide Freight Systems, Inc. to use cash collateral on further interim basis through August 31, 2022. In exchange for the Debtor's use of cash collateral, PNC Bank National Association, Vox Funding, LLC and Forward Financing, LLC are granted, as adequate protection for their purported secured interests in the Debtor's property, the following: 1. The Debtor will permit the Secured Creditors to inspect, upon reasonable notice and within reasonable hours, the debtor's books and records. By August 10, 2022, the Debtor must also provide PNC and any other Secured Creditor that requests it, the following information: a. Current A/R aging report; b. Balance sheet for the Debtor; and c. An analysis of the proposed budget showing the actual amounts that the debtor expended and received compared to the amounts on the budget. 2. The Debtor must maintain and pay premiums for insurance to cover all of its assets from fire, theft and water damage and upon request provide proof of insurance to any Secured Creditor who asks for it. Without limiting or waiving the Secured Creditors' rights to request additional adequate protection, the Secured Creditors are granted valid, perfected, enforceable security interests in and to the Debtor's post-petition assets, including all proceeds and products which are now or hereafter become property of the bankruptcy estate to the extent and priority of their alleged pre-petition liens, if valid, but only to the extent of any diminution in the value of those assets. No later than August 4, the Debtor must pay PNC $10,000, plus the monthly interest accruing on the PNC Note at the non-default contract rate of interest, as additional adequate protection to PNC for the use of its cash collateral during the period covered the order covers. The payment is without prejudice to any party's right to dispute how PNC should apply the payment and PNC's right to seek additional adequate protection. PNC must provide the Debtor with a calculation the monthly interest by August 1. A further interim hearing on the motion is scheduled for August 29 at 10 a.m. A copy of the order is available at https://bit.ly/3b89Gr2 from PacerMonitor.com. About Nationwide Freight Systems, Inc. Nationwide Freight Systems, Inc. is an asset-based transportation and logistics provider located in Elgin, Illinois. It provides transportation, logistics, and distribution services to the printing, retail, hospitality and textile industries, and also to many manufacturing and wholesale companies of various sizes. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 22-06364) on June 6, 2022. In the petition signed by Robert D. Kuehn, president, the Debtor disclosed up to $1 million in assets and up to $10 million in liabilities. Judge Benjamin A. Goldgar oversees the case. David K. Welch, Esq., at Burke, Warren, Mackay and Serritella, PC is the Debtor's counsel. NORTH EAST FREIGHTWAYS: LandAir Files for Chapter 7 Bankruptcy -------------------------------------------------------------- Fred Thys of Valley News reports that LandAir, a trucking company with Vermont facilities in Windsor and Williston, has filed for bankruptcy. The company, whose legal name is North East Freightways and which is headquartered in North Easton, Massachusetts, filed for Chapter 7 bankruptcy -- which means the company will be liquidated -- in federal Bankruptcy Court in Massachusetts July 14, 2022. Vermont Labor Commissioner Michael Harrington had written to the company on July 7, 2022 about reports that it had abruptly shut its doors. LandAir was founded as Allied Air Freight in 1968 by Fred Spencer, according to the company website, which says Spencer partnered with airlines and airfreight forwarders at Burlington International Airport. The family eventually sold LandAir to a private equity firm. Spencer died in January. The company specialized in shipping loads smaller than a truckload but larger than a parcel. In the industry, such companies are known as LTLs, standing for "less than truckload." LandAir had 135 drivers and 450 employees, according to FreightWays, an industry publication that first reported that the company was shutting down. The company said only one of its Vermont locations -- a 20-door truck terminal on Ruth Carney Drive in Windsor -- was among the 11 properties that needed immediate attention out of concerns for vandalism or because of the presence of hazardous materials. The company also owns an 18-door truck terminal in Williston. The company said it has $1.3 million in assets and $44.4 million in debt, including $33.8 million it owes to the Los Angeles private equity firm that owns LandAir, Corbel Capital Partners. Harrington, the labor commissioner, said his department contacted the company "so that we could get the names and contact information for employees so that we can make sure we provide services." Harrington said the department also wants to make sure employees get all the pay and benefits they are due. "It obviously takes a different turn because they filed in bankruptcy court," Harrington said. "And so that does cause us to look at other ways that we can work with the company to make sure the employees get what they are entitled to." Harrington said his department has now obtained a list of Vermont employees from attorneys for LandAir and has begun reaching out to the employees to provide unemployment compensation and reemployment services. He said his office has been in touch with the Attorney General's Office in case the state wants to file a claim on behalf of employees, as it did when Koffee Kup Bakery folded last year. In the Koffee Kup case, a federal bankruptcy judge ordered the company to deliver more than $800,000 in back pay to its employees. Harrington said fewer than 50 Vermont employees are affected by LandAir's bankruptcy. Most of the thresholds triggering a requirement for employers to notify state and local officials and employees of layoffs under the federal WARN act and Vermont's Notice of Potential Layoff Act are when 50 or more employees are affected, Harrington said. But he added that, if a small company closes a facility completely, it may still have to comply with the warnings required by federal and state law. As of Monday, July 25, 2022, LandAir had not filed a WARN act notice of impending layoffs in Vermont. About North East Freightways North East Freightways, doing business as LandAir, is a trucking company headquartered in North Easton, Massachusetts. North East Freightways sought bankruptcy protection under Chapter 7 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case Number 22-10992) on July 14, 2022. The case is overseen by Honorable Bankruptcy Judge Christopher J. Panos. The Debtor's counsel: Justin Kesselman Arent Fox LLP Tel: (617) 973-6100 E-mail: justin.kesselman@arentfox.com NORTHWEST SENIOR: Won't Indemnify Committee Financial Adviser ------------------------------------------------------------- Northwest Senior Housing, the operator of Dallas' Edgemere retirement community, has asked a Texas bankruptcy judge to reject a request by the unsecured creditors committee in its Chapter 11 case that the Debtor be required to indemnify the committee's proposed financial adviser. Both Northwest Senior Housing Corp. and the U.S. Trustee's Office said in court filings that they had no objection to the committee's retention of Ankura Consulting Group, but that a provision requiring Northwest to indemnify Ankura against lawsuits should be removed. According to the United States Trustee, it does not challenge Ankura's disinterest or scope of work but it solely objects to the indemnification. "Forcing the Debtor to indemnify the committee's professionals creates a conflict of interest for the Debtor's professional," the U.S. Trustee said. According to the Debtor, the Engagement Letter represents a contractual agreement between the Committee and Ankura that provides a third party (the Debtors and their estates) will pay certain defense costs; this agreement reached between the Committee and Ankura cannot bind the Debtors nor their estates who all are non-parties. Northwest says it strongly opposes the implication that it can be required to offer indemnification rights to professionals retained by the Committee, a potential adverse party. About Northwest Senior Housing Corp. Northwest Senior Housing Corporation, doing business as Edgemere, is a Texas non-profit corporation and is exempt from federal income taxation as a charitable organization described under Section 501(c)(3) of the Internal Revenue Code of 1986, as amended. Northwest Senior Housing Corporation was formed for the purpose of developing, owning and operating a senior living community now known as Edgemere. Northwest Senior Housing Corporation and its affiliates sought Chapter 11 bankruptcy protection (Bankr. N.D. Tex. Lead Case No. 22-30659) on April 14, 2022. The petitions were signed by Nick Harshfield, treasurer. At the time of the filing, Northwest Senior Housing listed $100 million to $500 million in both assets and liabilities. Judge Michelle V. Larson oversees the cases. Polsinelli, PC and FTI Consulting Inc. serve as the Debtors' legal counsel and business advisor, respectively. Kurtzman Carson Consultants, LLC, is the Debtors' notice, claims and balloting agent and administrative advisor. The Official Committee of Unsecured Creditors tapped Foley & Lardner LLP as counsel, and Ankura Consulting Group, LLC, as financial advisor. NOV INC: Egan-Jones Retains B+ Senior Unsecured Ratings ------------------------------------------------------- Egan-Jones Ratings Company on July 14, 2022, retained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by NOV Inc. Headquartered in Houston, Texas, NOV Inc offers equipment and components used in oil and gas drilling and production operations, oilfield services, and supply chain integration services to the upstream oil and gas industry. OCTAGON 66: Fitch Assigns BB- Rating on Class E Debt ---------------------------------------------------- Fitch Ratings has assigned ratings and Rating Outlooks to Octagon 66, Ltd. Octagon 66, Ltd. A LT NRsf New Rating B-1 LT AAsf New Rating B-2 LT AAsf New Rating C-1 LT A+sf New Rating C-2 LT A+sf New Rating D LT BBB-sf New Rating E LT BB-sf New Rating F LT NRsf New Rating Subordinated Notes LT NRsf New Rating TRANSACTION SUMMARY Octagon 66, Ltd. (the issuer) is an arbitrage cash flow collateralized loan obligation (CLO) that will be managed by Octagon Credit Investors, LLC. Net proceeds from the issuance of the secured and subordinated notes will provide financing on a portfolio of approximately $550.0 million of primarily first lien senior secured leveraged loans. KEY RATING DRIVERS Asset Credit Quality (Negative): The average credit quality of the indicative portfolio is 'B+'/'B', which is in line with that of recent CLOs. Issuers rated in the 'B' rating category denote a highly speculative credit quality; however, the notes benefit from appropriate credit enhancement and standard U.S. CLO structural features. Asset Security (Positive): The indicative portfolio consists of 99.0% first-lien senior secured loans and has a weighted average recovery assumption of 74.5%. Fitch stressed the indicative portfolio by assuming a higher portfolio concentration of assets with lower recovery prospects and further reduced recovery assumptions for higher rating stresses. Portfolio Composition (Positive): The largest three industries may comprise up to 40.0% of the portfolio balance in aggregate while the top five obligors can represent up to 12.5% of the portfolio balance in aggregate. The level of diversity required by industry, obligor and geographic concentrations is in line with other recent U.S. CLOs. Portfolio Management (Neutral): The transaction has a 3.1-year reinvestment period and reinvestment criteria similar to other U.S. CLOs. Fitch's analysis was based on a stressed portfolio created by making adjustments to the indicative portfolio to reflect permissible concentration limits and collateral quality test levels. Cash Flow Analysis (Positive): Fitch used a customized proprietary cash flow model to replicate the principal and interest waterfalls and assess the effectiveness of various structural features of the transaction. In Fitch's stress scenarios, all classes of notes could withstand the appropriate default rates for their respective ratings assuming their respective recoveries. RATING SENSITIVITIES Factors that could, individually or collectively, lead to negative rating action/downgrade: Variability in key model assumptions, such as decreases in recovery rates and increases in default rates, could result in a downgrade. Fitch evaluated the notes' sensitivity to potential changes in such a metric. The results under these sensitivity scenarios are between 'BB+sf' and 'AA+sf' for class B, between 'BB-sf' and 'A+sf' for class C-1, between 'B+sf' and 'A+sf' for class C-2, between less than 'B-sf' and 'BBBsf' for class D, and between less than 'B-sf' and 'BBsf' for class E notes. Factors that could, individually or collectively, lead to positive rating action/upgrade: Variability in key model assumptions, such as increases in recovery rates and decreases in default rates, could result in an upgrade. Fitch evaluated the notes' sensitivity to potential changes in such metrics; results under these sensitivity scenarios are 'AAAsf' for class B notes, between 'A+sf' and 'AAsf' for class C-1 notes, between 'A+sf' and 'AAsf' for class C-2 notes, 'A+sf' for class D notes, and 'BBB+sf' for class E notes. OLIVER DEVELOPMENT: Unsecureds Will Get 100% in Subchapter V Plan ----------------------------------------------------------------- Oliver Development Corporation filed with the U.S. Bankruptcy Court for the Western District of Pennsylvania a Small Business Plan under Subchapter V dated July 26, 2022. The Debtor owns and operates commercial rental real estate in Armstrong County and Allegheny County. Debtor has operated since May of 1980 through the present; its operations are ongoing. The Debtor commenced the instant Chapter 11 Case due to an inability to pay its largest mortgage holder. The lender commenced a foreclosure proceeding and in response, the Debtor sought relief under the Bankruptcy Code by filing the instant case. The Plan proposes to all claims in full unless otherwise agreed. The Debtor estimates approximately 100% will be paid on account of general unsecured claims pursuant to the Plan. Class 1 consists of the Secured Claim of Arba Credit Investors. LP. This claim is expected to be paid in full via the sale of property owned by Jody Inc., an affiliate of the Debtor and co debtor of this claim. Class 2 consists of the Secured Claim of Armstrong County Tax Claim Bureau. Debtor will pay 100% of Bureau claimant's allowed claim upon the sale of a parcel of real property. Class 3 consists of the Secured Claim of County of Allegheny. Debtor will pay 100% of claimant's allowed claim upon the sale of a parcel of real property. Class 6 consists of General Unsecured Claims with a total claim amount of $3,537.43. Debtor will pay 100% of Claim Amount $3,537.43 claimant's allowed claim upon the sale of two parcels of real property. This Class is unimpaired. All Plan obligations will be funded by a sale of real property known as 11660 Parkway Drive Irwin, PA 15642 with proposed sale price of $l45,000.00. The Debtor's financial projections demonstrate the Debtor's ability to make all future Plan payments in the aggregate amount of $435,650.08 (the "Plan Funding"). The final Plan payment is expected to be paid on the closing date of the sale of real property. A full-text copy of the Small Business Plan dated July 26, 2022, is available at https://bit.ly/3BziJM6 from PacerMonitor.com at no charge. Debtor's Counsel: Sy O. Lampl, Esq. Robert O Lampl Law Office, LLC 223 Fourth Avenue, 4th Fl. Pittsburgh, PA 15222 Tel: (412) 392-0330 Fax: (412) 392-0335 Email: slampl@lampllaw.com About Oliver Development Corporation Oliver Development Corporation filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Penn. Case No. 22-20803) on April 27, 2022. At the time of filing, the Debtor estimated $500,001 to $1 million in assets and $100,001 to $500,000 in liabilities. Sy Oscar Lampl, Esq. at Robert O Lampl Law Office represents the Debtor as counsel. OSMOSE UTILITIES: S&P Alters Outlook to Negative, Affirms 'B' ICR ----------------------------------------------------------------- S&P Global Ratings affirmed its 'B' issuer credit rating on Osmose Utilities Services Inc. and revised its rating outlook to negative from stable. S&P said, "We also affirmed our 'B' issue-level ratings on the company's first-lien term loan and revolving line of credit. The recovery ratings remain '3', indicating our expectation for meaningful recovery. "The negative outlook reflects the risk of elevated adjusted debt leverage above our threshold of 6.5x this year due to inflationary cost pressures. Although we anticipate 2022 EBITDA margins to decline from 2021 levels, we assume operating performance will improve as Osmose recoups higher costs through price increases, with adjusted debt leverage decreasing to around 6.5x in 2023." Osmose continues to pass through higher costs to its customers but will likely experience some EBITDA margin pressure in 2022 versus 2021. The company has been negatively affected by inflationary headwinds and labor constraints this year. A change in mix of pole inspection and treatment and pole reinforcement work has decreased EBITDA margins in 2022. Labor costs will likely remain elevated this year, along with higher costs of wood preservatives, pesticides, copper, and fuel. Although Osmose has access to a relatively diverse supplier base, there is a lag in terms of timing as to when the company can pass costs through to customers. S&P expects organic revenue growth, along with increasing profitability, will increase earnings and improve adjusted debt to EBITDA toward 6.5x in 2023. S&P said, "We anticipate solid free operating cash flow (FOCF) generation for 2022. Although we expect modest margin pressure this year, we expect Osmose to generate FOCF to debt above 3% in 2022. Despite higher interest costs in 2022 versus 2021, we assume seasonal working capital outflows will reverse during the year, and the company will generate positive FOCF. In addition, we assume slightly lower capital expenditures this year, which should also benefit FOCF. "Osmose benefits from its good liquidity position. We expect Osmose to maintain adequate liquidity over the next 12 months. Following the company's dividend recapitalization in 2021, Osmose has maintained good availability under its $100 million revolver due June 2026. We assume the company will maintain good liquidity, with limited debt maturities over the next several years." The negative outlook on Osmose reflects the uncertainty surrounding the length of the impact of inflationary pressures on operating performance. Although the company's essential services generate strong recurring revenues and positive free operating cash flow, we believe adjusted debt to EBITDA could be elevated in 2022. S&P could lower its ratings on Osmose over the next 12 months if it believed the company's FOCF would decline such that FOCF to debt fell below 3% on a sustained basis. This could occur because of an unexpected drop in the company's operating performance tied to, for example, prolonged project delays or losing material contracts due to competition combined with ongoing inflationary pressures. In addition, S&P could also lower the ratings if the company's adjusted debt to EBITDA remained above 6.5x on a sustained basis. S&P could revise the outlook to stable over the next 12 months if it believed the company's adjusted debt to EBITDA would decline and remain below 6.5x and free operating cash flow remain positive. This could occur if the company's EBITDA margins rebounded to close to 2021 levels. ESG Credit Indicators: E-2, S-2, G-3 PELCO STRUCTURAL: Unsecureds to Recover 1.37% to 6.57% in Plan -------------------------------------------------------------- Pelco Structural, LLC filed with the U.S. Bankruptcy Court for the Western District of Oklahoma a Disclosure Statement for Chapter 11 Plan of Reorganization dated July 28, 2022. The Debtor is an Oklahoma limited liability company formed in 2004 and managed from Edmond, Oklahoma. The Debtor manufactures large steel pole assemblies utilized in traffic control, utility, lighting, and communications at a 192,000 square foot facility located in Claremore, Oklahoma, which facility is leased by the Debtor. A significant contributing factor to the Debtor's bankruptcy filing was a judgment entered in Exelon's favor against the Debtor in the amount of $2,749,932.82. Prior to the Petition Date, Exelon perfected a judgment lien against the Debtor's assets and obtained an order from the United States District Court for the Northern District of Illinois severely limiting the Debtor's ability to utilize such assets. Pursuant to the settlement with Exelon, Exelon will support the Debtor's Plan, the terms of which provide the Debtor with the opportunity to avoid time-consuming and costly litigation, while satisfying Exelon's secured claim at a significant discount. Specifically, the Debtor will be able to satisfy Exelon's $2,799,973.44 secured claim by paying $1,900,000.00 over time. Pelco Industries has agreed to subordinate its liens to the liens of Exelon as part of the settlement. The Exelon settlement is extremely financially and strategically important to the Debtor. The Exelon settlement allows the Debtor to propose a confirmable plan that places its business on sound footing, keeps its employees working, and provides for significant payments to creditors. Class 1 consists of the Exelon Secured Claim against the Debtor in the amount of $2,799,973.44 plus any portion of the Pelco Industries Secured Claim assigned to Exelon. Distributions will be made on the Exelon Secured Claim in the total amount of $1,900,000.00, $100,000.00 of which will be paid on the Effective Date, with the remaining $1,800,000.00 paid in 60 monthly payments of $30,000.00 per month, with the first such payment being due on the final day of the month following the month of the occurrence of the Effective Date and the remaining 59 payments being due on the final day of each month thereafter, until paid in full. Class 2 consists of the Pelco Industries Secured Claim held by Pelco Industries against the Debtor, which, after the assignment pursuant to the Assignment and Subordination Agreement, is deemed Allowed in the amount of $5,600,068.00. Pelco Industries, or its designee, shall receivePelco Industries, or its designee, shall receive the New Equity Interests; and Cash distribution of $4,100,068.00 in principal, with interest of 4.495% per annum, paid monthly over 16 years. Class 3 consists of the Secured Claim of Wells Fargo Bank, N.A., in the amount of $37,542.00. To the extent the Class 3 Claim is Allowed, except to the extent such Allowed Class 3 Claim has been paid before the Effective Date or the holder agrees to a different treatment, in satisfaction of its Allowed Class 3 Claim, the holder thereof shall receive monthly payments of $3,000.00, with interest of 4.75% per annum, until any Allowed Class 3 Claim is paid in full. Class 4 consists of the Secured Claim of W.W. Grainger, Inc., in the amount of $11,829.37. To the extent the Class 4 Claim is Allowed, except to the extent such Allowed Class 4 Claim has been paid before the Effective Date or the holder agrees to a different treatment, in satisfaction of its Allowed Class 4 Claim, the holder thereof shall receive monthly payments of $1,000.00 per month, with interest of 4.75% per annum, until any Allowed Class 4 Claim is paid in full. Class 5 consists of Unsecured Claims. This Class shall receive payment in Cash of its Pro Rata Share of $250,000.00 within 60 days of the later of (i) the Effective Date or (ii) the date such Class 5 Claim is Allowed; and receipt of its Pro Rata Share of 10% of the Albert Litigation Net Recovery paid within 120 days after the receipt of such funds by the Reorganized Debtor. Class 5 Claims are impaired and entitled to vote to accept or reject the Plan. The allowed unsecured claims total $18,277,325.10. This Class will receive a distribution of 1.37% to 6.57% of their allowed claims. Class 6 consists of Interests in the Debtor. On the Effective Date, the Interests will be cancelled without further notice to, approval of, or action by any entity, and each Holder of an Interest shall not receive any distribution or retain any property on account of such Interest. The Debtor's Cash on hand as of the Effective Date and proceeds generated from ongoing operations shall be used as the primary source to (i) fund the payment of expenses and other costs of operation; and (ii) fund distributions and other payments required under the Plan. A full-text copy of the Disclosure Statement dated July 28, 2022, is available at https://bit.ly/3oHQrrc from PacerMonitor.com at no charge. Attorneys for the Debtor: Clayton D. Ketter, Esq. Jason M. Kreth, Esq. Phillips Murrah P.C. Corporate Tower, 13th Floor 101 North Robinson Avenue Oklahoma City, OK 73102 Telephone: (405) 235-4100 Facsimile: (405) 235-4133 Email: cdketter@phillipsmurrah.com jmkreth@phillipsmurrah.com About Pelco Structural LLC Pelco Structural LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Okla. Case No. 21-11926) on July 16, 2021. In the petition signed by Stephen P. Parduhn, president and CEO, the Debtor disclosed up to $50 million in both assets and liabilities. Clayton D. Ketter, Esq., at Phillips Murrah P.C., is the Debtor's counsel. Pelco Industries, Inc., as lender, is represented by Stephen J. Moriarty, Esq., at Fellers, Snider, Blankenship, Bailey & Tippens, P.C. Exelon Business Services Company, LLC, as lender, is represented by Kiran A. Phansalkar, Esq. at Conner & Winters, LLP; and Charles S. Stahl, Jr., Esq., and Joseph P. Kincaid, Esq., at Swanson, Martin & Bell, LLP. PENN NATIONAL: Egan-Jones Retains B- Senior Unsecured Ratings ------------------------------------------------------------- Egan-Jones Ratings Company on July 12, 2022, retained its 'B-' foreign currency and local currency senior unsecured ratings on debt issued by Penn National Gaming, Inc. EJR also retained its 'B' rating on commercial paper issued by the Company. Headquartered in Wyomissing, Pennsylvania, Penn National Gaming, Inc. owns and operates casinos, hotels, and racetracks facilities. PEYTO EXPLORATION: Egan-Jones Hikes Sr. Unsecured Ratings to BB+ ---------------------------------------------------------------- Egan-Jones Ratings Company on July 11, 2022, upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Peyto Exploration & Development Corporation to BB+ from BB. Headquartered in Calgary, Canada, Peyto Exploration & Development Corporation is an oil and gas exploration and production company. PLATFORM II LAWNDALE: Wins Interim Cash Collateral Access --------------------------------------------------------- Platform II Lawndale LLC sought and obtained entry of an order from the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division, authorizing the use cash collateral on an interim basis in accordance with the budget for the months of July and August 2022, less $10,000 for a sign deposit. The Debtor requires the use of cash collateral for the maintenance and preservation of its self-storage facility in Chicago's West Logan Square neighborhood through the payment of ordinary and necessary expenses related to the operation of the Debtor's property as well as specific extraordinary maintenance and repair expenses. Before the Petition Date, the onset of the pandemic interfered with the Debtor's efforts to lease the self-storage facility. Due to the Debtor's inability to generate sufficient rental revenue, it could not service its debt. As a result, Greenlake Real Estate Fund, LLC, the Debtor's lender, filed a foreclosure lawsuit with a scheduled sale leading to the filing of the Chapter 11 Case. Greenlake purports to hold a first priority lien and security interest in the Debtor's cash receipts through a security interest and assignment of rents granted by the Debtor under an Open-End Mortgage, Security Agreement, Assignment of Rents and Leases and Fixture Filing dated May 18, 2018, and recorded with the Cook County Recorder of Deeds on May 22, 2018, securing the repayment of a $6,250,000 promissory note dated May 18, 2022. The Debtor granted Greenlake a lien and security interest in, to, and against the Property. Greenlake alleges it duly perfected its lien on the Property, which Greenlake purports to be enforceable against the Debtor, the Property, and the Rents under the terms of the Mortgage. The Debtor submits that it is appropriate to make adequate protection payments to Greenlake. The Debtor is unaware of any other party asserting a properly perfected security interest in the Property. On April 14, 2022, Greenlake obtained a judgment in the foreclosure lawsuit filed against the Debtor and other parties and caused the state court to schedule a sale on July 12, 2022. Greenlake alleges the Debtor owed it $10,281,810 as of the Petition Date, as provided for in the foreclosure judgment. The Debtor proposed to use $98,065, subject to adjustments based on actual bills received, but in no event greater than the amount received as rents, other revenues, and equity advances for essential operating expenses per the itemization of the proposed expenditures. During the the month of August from the date of the entry of an order granting this Motion, the Debtor proposed to use $111,903, subject to adjustments based on actual bills received, but in no event greater than the amount received as rents, other revenues, and equity advances for essential operating expenses per the itemization of the proposed expenditures. The Court said that for the period from July 11 through July 31, 2022, and the period from August 1 to August 31, 2022, the Debtor will furnish a statement of projected revenues and anticipated expenses, and the Debtor may pay the Budgeted Expenses under the terms of the Order. To the extent that receipts received by the Debtor exceed the amounts paid for Budgeted Expenses, the Debtor will be required to hold any monies in its operating account. The Debtor's payment of Budgeted Expenses, including the adequate protection payment to Greenlake, constitutes adequate protection for using Cash Collateral. The Debtor will deliver the budgeted adequate protection payment to Greenlake for each month on or before July 31 and August 15, respectively. As adequate protection, Greenlake is granted a replacement lien on the Debtor's rents, accounts and accounts receivables. As further adequate protection for Greenlake's interests in the Pre-Petition Collateral, and consistent with section 552 of the Bankruptcy Code, the Debtor will grant Greenlake, to the extent not heretofore granted, a replacement lien on the Debtor's rents, accounts, and accounts receivables derived from the Property, which are of the same type or nature as the Pre-Petition Collateral, coming into existence or acquired by the Debtor respecting the Property on or after the Petition Date. The Post-Petition Liens granted to Greenlake under the terms of the Order will be valid and perfected as of the date of the Order, without the need for the execution or filing of any further document or instrument otherwise required to be executed or filed under applicable non-bankruptcy law. The Debtor's authority to use Cash Collateral will terminate on the earlier of (a) the date of entry by the Court of an order modifying or otherwise altering the effectiveness of the Order, (b) an Event of Default (as defined below), or (c) the expiration of the Budget Period. These events constitute an Event of Default: a. Entry of an order converting the Debtor's Chapter 11 case to a case under Chapter 7 of the Bankruptcy Code, which order is not stayed within 10 days of the entry of such order; b. The entry of an order dismissing the Debtor's Chapter 11 case, which is not stayed within 10 days of the entry of such order; and c. The Debtor's failure to comply with any provision of the Order. A further status hearing on the matter is scheduled for August 25 at 9:30 a.m. A copy of the motion is available at https://bit.ly/3cBQ8LS from PacerMonitor.com. A copy of the order and the Debtor's budget is available at https://bit.ly/3Safhh3 from PacerMonitor.com. The Debtor projects $14,900 in total operating revenue and $98,065 in total expenses for July; and $30,300 in total operating revenue and $111,903 in total expenses for August. About Platform II Lawndale LLC Platform II Lawndale LLC is an Illinois limited liability company that owns a self-storage facility at 1750 North Lawndale Avenue in Chicago's West Logan Square neighborhood. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 22-07668) on July 11, 2022. In the petition signed by Scott Krone, manager, the Debtor disclosed up to $50 million in both assets and liabilities. Gregory J. Jordan, Esq., at Jordan & Zito LLC is the Debtor's counsel. RED RIVER: Committee Says Plan & Disclosure Inaccurate ------------------------------------------------------ The Official Committee of Unsecured Creditors objects to the Disclosure Statement for the Second Amended Chapter 11 Plan for Red River Waste Solutions, LP. The Committee objects to the Disclosure Statement as an attempt by the Debtor to take the Union Bank Settlement -- what was a heavily negotiated document -- and modify it by inserting entirely new provisions, concocted out of whole cloth by the Debtor without any forewarning to the Committee, regarding how the Committee's professional fees should be paid, to the detriment of those professionals and to the detriment of general unsecured creditors. The Committee agrees with the implementation of the Union Bank Settlement. The Committee does not agree, however, with the Plan and the Disclosure Statement's attempt to implement the Union Bank Settlement by crafting entirely new language, not found anywhere in the Union Bank Settlement (because such language was not agreed to) pertaining to the payment of the Committee's professional fees. Moreover, Committee's professionals should be treated appropriately and paid upon the Effective Date or as soon as cash is available from the Liquidation Trust, prior to (rather than part of) the Liquidation Trust Waterfall. The Committee's professionals never agreed to the contrary, and the Debtor's attempt to insert language into the Plan that is not present in the Union Bank Settlement is inappropriate. The Committee asserts that given the Plan and Disclosure Statement's entirely new effort to reduce the general unsecured creditors' recovery in this case -- the recovery that was previously agreed to in the Union Bank Settlement -- it is incorrect to suggest that the Committee supports the Plan in its current form. The Committee reserves its right to enforce the Union Bank Settlement, and anything in the Disclosure Statement and the Plan to the contrary is inaccurate. The Committee requests certain revisions to the Disclosure Statement and Plan to make it clear that Union Bank's deficiency claim does not participate as a General Unsecured Claim. While the Committee believes that this point is not controversial, the defined terminology in the Plan could cause confusion. The Committee states that the Plan provides in Article I.B.2 (page 12) and Article V.B.4.(t), (u), and (v) (page 48) that Subordinated Claims, Preferred Interests, and Common Interests shall not receive any distribution until all Allowed Claims in senior classes are paid in full or satisfied. Those sections (and the corresponding sections of the Disclosure Statement) should be modified to include Administrative Expenses, including Professional Claims, as needing to be paid in full or satisfied before those classes receive a recovery. A copy of the Committee's objection dated July 26, 2022, is available at https://bit.ly/3cTiTne from Stretto, the claims agent. Counsel to the Official Committee of Unsecured Creditors: WOMBLE BOND DICKINSON (US) LLP Todd A. Atkinson 811 Main Street, Suite 3130 Houston, Texas 77002 Telephone: (346) 998-7801 Facsimile: (346) 998-5901 Email: todd.atkinson@wbd-us.com Matthew P. Ward 1313 North Market Street, Suite 1200 Wilmington, Delaware 19801 Telephone: (302) 252-4320 Facsimile: (302) 252-4330 Email: matthew.ward@wbd-us.com About Red River Waste Solutions Red River Waste Solutions LP is a company in Dripping Springs, Texas, that provides waste management services. It also offers solid waste and garbage pickup, recycling, industrial waste collection, disposal, and landfill management services. Red River Waste Solutions sought Chapter 11 protection (Bankr. N.D. Tex. Case No. 21-42423) on Oct. 14, 2021, listing up to $50 million in assets and up to $100 million in liabilities.Â Â James Calandra, chief restructuring officer of Red River Waste Solutions, signed the petition. Judge Morris oversees the case. Marcus Alan Helt, Esq., at McDermott Will & Emery LLP, is the Debtor's legal counsel.Â Stretto, Inc., is the claims and noticing agent. The Debtor's official committee of unsecured creditors tapped Womble Bond Dickinson (US) LLP as legal counsel and Rock Creek Advisors, LLC as financial advisor. RED RIVER: TBK Bank Says Plan Patently Unconfirmable ---------------------------------------------------- TBK Bank, SSB f/k/a Triumph Savings Bank d/b/a Triumph Commercial Finance objects to the Disclosure Statement for the Second Amended Chapter 11 Plan for Red River Waste Solutions, LP. TBK has significant concerns that the Debtor is trying to transfer additional collateral (including TBK's Truck Collateral) over to Platform, outside of the confines of the Court-approved sale and the Sale Order, in order to avoid a downward purchase price adjustment (or some other negative impact) related to the sale. TBK claims that to the extent the Debtor seeks to force TBK into the so-called TBK Secured Note and/or the so-called Platform Lease, then the Debtor must provide copies of each document pursuant to the Disclosure Statement process. Accordingly, TBK must be afforded the opportunity to review copies of the TBK Secured Note and the Platform Lease before it can be deemed to have adequate information with regard to each. TBK points out that the Disclosure Statement appears to be inconsistent with regard to TBK. To be sure, Article I(B)(2) on page 10 states that TBK will get: (a) cash on Effective Date or when due, (b) the return of its collateral, or (c) sale proceeds from liquidation. However, Article IV(L) on page 28 no longer contemplates a sale of TBK's Collateral. Instead, it seems to suggest that TBK will get (x) payment of claim in cash, (y) return of the vehicles, or (z) issuance of a secured note. Quite simply, the Disclosure Statement fails to adequately inform TBK of how the Debtor proposes to treat it pursuant to the Plan. TBK asserts that the Debtor seems to suggest that it will attempt to surcharge TBK's Collateral for a post-Effective Date sale. This is improper and the Debtor must disclose all costs proposed to surcharge and the legal and factual basis for such surcharge after the close of the bankruptcy. TBK further asserts that Article II(D) suggests that TBK's Collateral should be valued at $510,000. Leaving aside the inconsistency of collateral values that the Debtor has set forth in its Schedules, motions for valuation, a stale desktop appraisal and the Debtor's acknowledgement of receipt of TBK's Credit Bids for its collateral – each of which reflect higher values than that suggested in the Disclosure Statement - the Debtor must disclose how the amount was calculated. TBK states that the Disclosure Statement describes a Plan that is patently unconfirmable. Although TBK will raise additional significant confirmation issues at the confirmation hearing, the Plan is patently unconfirmable because it cannot overcome the typically simple hurdles of section 1129(a)(2), section 1129(a)(3) and section 1129(a)(11). A copy of TBK's objection dated July 26, 2022, is available at https://bit.ly/3SaYiLG from Stretto, the claims agent. Attorneys for TBK Bank: Michael S. Held State Bar No. 09388150 J.Machir Stull State Bar No. 24070697 JACKSON WALKER LLP 2323 Ross Avenue, Suite 600 Dallas, Texas 75201 T:(214) 953-6000 F: (214) 953-5822 About Red River Waste Solutions Red River Waste Solutions LP is a company in Dripping Springs, Texas, that provides waste management services. It also offers solid waste and garbage pickup, recycling, industrial waste collection, disposal, and landfill management services. Red River Waste Solutions sought Chapter 11 protection (Bankr. N.D. Tex. Case No. 21-42423) on Oct. 14, 2021, listing up to $50 million in assets and up to $100 million in liabilities.Â Â James Calandra, chief restructuring officer of Red River Waste Solutions, signed the petition. Judge Morris oversees the case. Marcus Alan Helt, Esq., at McDermott Will & Emery LLP, is the Debtor's legal counsel.Â Stretto, Inc., is the claims and noticing agent. The Debtor's official committee of unsecured creditors tapped Womble Bond Dickinson (US) LLP as legal counsel and Rock Creek Advisors, LLC as financial advisor. RHCSC COLUMBUS: No Decline in Resident Care, 5th PCO Report Says ---------------------------------------------------------------- Melanie S. McNeil, Esq., the duly appointed Patient Care Ombudsman for RHCSC Columbus AL Holdings LLC, a debtor-affiliate of Regional Housing & Community Services Corp., filed with the U.S. Bankruptcy Court for the Northern District of Georgia a Fifth Patient Care Ombudsman report regarding the Debtor's personal care home. The Debtor, Regional Housing & Community Services Corp., is the governing body for the six personal care homes located in Georgia. The U.S. Trustee has appointed Melanie S. McNeil, Esq. to serve as the Patient Care Ombudsman for the residents who live in the facilities located in Georgia. This report covers Debtor facility known as The Landings of Columbus which is licensed for 64 beds. An Ombudsman Representative for the Office of the State Long-Term Care Ombudsman visited the facility and reported as follows: * The OR visited with fifteen residents, one family member, the person in charge, direct care staff, and the activities staff. The OR did not receive any complaints. Most residents were in their rooms during the visit. The staff remains stable. * The building was mostly clean, but the OR mentioned to the person in charge that the carpeting was stained and appeared unkempt in several areas. The facility was decorated for the season and inviting. The facility exterior was somewhat unkempt with moderately high grass and bushes that have not been trimmed. * The OR received no concerns about food supplies. The OR observed no concerns with medications or medication security. The staff person advised the OR that one resident had died and one moved out of the facility since the last visit. * HFR concluded a monitoring visit June 23, 2022 with no rule violations noted. The Patient Care Ombudsman is not aware of any significant change in facility conditions or decline in resident care for this personal care home since the last visit. A copy of the Fifth Ombudsman Report is available for free at https://bit.ly/3SdbX4B from PacerMonitor.com. The Ombudsman may be reached at: MELANIE S. MCNEIL 2 Peachtree Street NW, 33rd Floor Atlanta, GA 30303 Telephone: 404-657-5327(O) 404-416-0211 (Cell) Facsimile: 404-463-8384 Email: Melanie.McNeil@osltco.ga.gov About Regional Housing & Community Services Regional Housing & Community Services Corp. and its affiliates filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Lead Case No. 21-41034) on Aug. 26, 2021. At the time of the filing, Regional Housing & Community Services listed as much as $100,000 in both assets and liabilities. Judge Paul W. Bonapfel oversees the cases. The Debtors tapped Scroggins & Williamson, P.C. as legal counsel; GGG Partners, LLC as interim management services provider; and SLIB II, Inc., doing business as Senior Living Investment Brokerage, as investment banker. Kurtzman Carson Consultants, LLC is the claims, noticing and balloting agent. Greenberg Traurig, LLP serves as counsel for indenture trustee, UMB Bank, N.A. RHCSC DOUGLAS: No Decline in Resident Care, 5th PCO Report Says --------------------------------------------------------------- Melanie S. McNeil, Esq., the duly appointed Patient Care Ombudsman for RHCSC Douglas AL Holdings LLC, a debtor-affiliate of Regional Housing & Community Services Corp., filed with the U.S. Bankruptcy Court for the Northern District of Georgia a Fifth Patient Care Ombudsman report regarding the Debtor's personal care home. The Debtor, Regional Housing & Community Services Corp., is the governing body for the six personal care homes located in Georgia. The U.S. Trustee has appointed Melanie S. McNeil, Esq. to serve as the Patient Care Ombudsman for the residents who live in the facilities located in Georgia. This report covers Debtor facility known as The Landings of Douglas which is licensed for 58 beds. An Ombudsman Representative for the Office of the State Long-Term Care Ombudsman visited the facility and reported as follows: * The OR visited ten residents, and also met with the person in charge, direct care and activities staff. In the South dining room the OR observed a hole in the wall where an electrical outlet was open and a pipe was exposed. Staff said they tried to cover it up with furniture. A continuing concern is that no activities are provided in the memory care unit. The OR was told that if residents want muffins or doughnuts they must buy their own. The OR was told that the evening meal is sandwiches. The Resident care has not declined since the last visit. * The HFR website shows no new surveys since the Landings of Douglas was surveyed on August 26, 2021, with no violations cited. The Patient Care Ombudsman reports no decline in resident care since the last visit. A copy of the Fifth Ombudsman Report is available for free at https://bit.ly/3BqVQdS from PacerMonitor.com. The Ombudsman may be reached at: MELANIE S. MCNEIL 2 Peachtree Street NW, 33rd Floor Atlanta, GA 30303 Telephone: 404-657-5327(O) 404-416-0211 (Cell) Facsimile: 404-463-8384 Email: Melanie.McNeil@osltco.ga.gov About Regional Housing & Community Services Regional Housing & Community Services Corp. and its affiliates filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Lead Case No. 21-41034) on Aug. 26, 2021. At the time of the filing, Regional Housing & Community Services listed as much as $100,000 in both assets and liabilities. Judge Paul W. Bonapfel oversees the cases. The Debtors tapped Scroggins & Williamson, P.C. as legal counsel; GGG Partners, LLC as interim management services provider; and SLIB II, Inc., doing business as Senior Living Investment Brokerage, as investment banker. Kurtzman Carson Consultants, LLC is the claims, noticing and balloting agent. Greenberg Traurig, LLP serves as counsel for indenture trustee, UMB Bank, N.A. RHCSC GAINESVILLE: No Decline in Care, 5th PCO Report Says ---------------------------------------------------------- Melanie S. McNeil, Esq., the duly appointed Patient Care Ombudsman for RHCSC Gainesville AL Holdings LLC, a debtor-affiliate of Regional Housing & Community Services Corp., filed with the U.S. Bankruptcy Court for the Northern District of Georgia a Fifth Patient Care Ombudsman report regarding the Debtor's personal care home. The Debtor, Regional Housing & Community Services Corp., is the governing body for the six personal care homes located in Georgia. The U.S. Trustee has appointed Melanie S. McNeil, Esq. to serve as the Patient Care Ombudsman for the residents who live in the facilities located in Georgia. This report covers Debtor facility known as The Landings of Gainesville which is licensed for 50 beds. An Ombudsman Representative for the Office of the State Long-Term Care Ombudsman visited the facility and reported as follows: * The OR visited with nine residents, the Office Manager, housekeeping staff, and direct care staff. Residents appeared well cared for and expressed satisfaction when possible. The OR did not receive any complaints. The quality of care appeared to be good. * The building inside was very good. The outside of the building was not as over-grown as on the last visit. The OR noted that snacks and hydration were available to the residents. The OR did not note any decline in resident care since the last visit. * Since the last report, HFR conducted a monitoring visit dated June 10, 2022 at which they found that the facility failed to comply with fire and safety rules because the grass was around two feet high, and the facility had a resident that required physical restraints. The Patient Care Ombudsman has noted in this Fifth report no decline in resident care for this personal care home since the last visit. A copy of the Fifth Ombudsman Report is available for free at https://bit.ly/3Bnj58K from PacerMonitor.com. The Ombudsman may be reached at: MELANIE S. MCNEIL 2 Peachtree Street NW, 33rd Floor Atlanta, GA 30303 Telephone: 404-657-5327(O) 404-416-0211 (Cell) Facsimile: 404-463-8384 Email: Melanie.McNeil@osltco.ga.gov About Regional Housing & Community Services Regional Housing & Community Services Corp. and its affiliates filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Lead Case No. 21-41034) on Aug. 26, 2021. At the time of the filing, Regional Housing & Community Services listed as much as $100,000 in both assets and liabilities. Judge Paul W. Bonapfel oversees the cases. The Debtors tapped Scroggins & Williamson, P.C. as legal counsel; GGG Partners, LLC as interim management services provider; and SLIB II, Inc., doing business as Senior Living Investment Brokerage, as investment banker. Kurtzman Carson Consultants, LLC is the claims, noticing and balloting agent. Greenberg Traurig, LLP serves as counsel for indenture trustee, UMB Bank, N.A. RHCSC ROME: No Decline in Resident Care, 5th PCO Report Says ------------------------------------------------------------ Melanie S. McNeil, Esq., the duly appointed Patient Care Ombudsman for RHCSC Rome AL Holdings LLC, a debtor-affiliate of Regional Housing & Community Services Corp., filed with the U.S. Bankruptcy Court for the Northern District of Georgia a Fifth Patient Care Ombudsman report regarding the Debtor's personal care home. The Debtor, Regional Housing & Community Services Corp., is the governing body for six personal care homes located in Georgia. The U.S. Trustee has appointed Melanie S. McNeil, Esq. to serve as the Patient Care Ombudsman for the residents who live in the facilities located in Georgia. This report covers the Debtor facility known as The Gardens of Rome which is licensed for 60 beds. An Ombudsman Representative for the Office of the State Long-Term Care Ombudsman visited the facility and reported as follows: * The OR visited with 14 residents, the person in charge, and direct care staff. The OR did not receive any complaints on this visit. The OR noted that the quality of care appeared to be good. The facility has several temporary residents from the emergency closure of Majestic Manor in Walker County. The OR noted that all residents seem content. The OR did not note any decline in resident care since the last visit. * HFR completed a monitoring inspection on June 9, 2022 with no rule violations cited. The Patient Care Ombudsman is not aware of any significant change in facility conditions or decline in resident care for this personal care home since the last visit. A copy of the Fifth Ombudsman Report is available for free at https://bit.ly/3JhTj7B from PacerMonitor.com. The Ombudsman may be reached at: MELANIE S. MCNEIL 2 Peachtree Street NW, 33rd Floor Atlanta, GA 30303 Telephone: 404-657-5327(O) 404-416-0211 (Cell) Facsimile: 404-463-8384 Email: Melanie.McNeil@osltco.ga.gov About Regional Housing & Community Services Regional Housing & Community Services Corp. and its affiliates filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Lead Case No. 21-41034) on Aug. 26, 2021. At the time of the filing, Regional Housing & Community Services listed as much as $100,000 in both assets and liabilities. Judge Paul W. Bonapfel oversees the cases. The Debtors tapped Scroggins & Williamson, P.C. as legal counsel; GGG Partners, LLC as interim management services provider; and SLIB II, Inc., doing business as Senior Living Investment Brokerage, as investment banker. Kurtzman Carson Consultants, LLC is the claims, noticing and balloting agent. Greenberg Traurig, LLP serves as counsel for indenture trustee, UMB Bank, N.A. RHCSC SAVANNAH: No Decline in Resident Care, 5th PCO Report Says ---------------------------------------------------------------- Melanie S. McNeil, Esq., the duly appointed Patient Care Ombudsman for RHCSC Savannah Holdings LLC, a debtor-affiliate of Regional Housing & Community Services Corp., filed with the U.S. Bankruptcy Court for the Northern District of Georgia a Fifth Patient Care Ombudsman report regarding the Debtor's personal care home. The Debtor, Regional Housing & Community Services Corp., is the governing body for six personal care homes located in Georgia. The U.S. Trustee appointed Melanie S. McNeil, Esq. to serve as the Patient Care Ombudsman for the residents who live in the facilities located in Georgia. This report covers Debtor facility known as The Gardens of Savannah which is licensed for 46 beds. An Ombudsman Representative for the Office of the State Long-Term Care Ombudsman visited the facility and reported as follows: * The OR visited with five residents, the person in charge, and direct care workers. The OR did not receive any complaints during the visit. The OR noted that staff seemed attentive to residents. Residents were dressed and the OR did not detect any odors. No decline in resident care was reported since the last visit. * A complaint survey from June 2022, was posted on the HFR website. The report noted that the facility had failed to notify the local fire department that they have two non-ambulatory residents. The Patient Care Ombudsman is not aware of any significant change in facility conditions or decline in resident care for this personal care home since the last visit. A copy of the Fifth Ombudsman Report is available for free at https://bit.ly/3Jf3ji2 from PacerMonitor.com. The Ombudsman may be reached at: MELANIE S. MCNEIL 2 Peachtree Street NW, 33rd Floor Atlanta, GA 30303 Telephone: 404-657-5327(O) 404-416-0211 (Cell) Facsimile: 404-463-8384 Email: Melanie.McNeil@osltco.ga.gov About Regional Housing & Community Services Regional Housing & Community Services Corp. and its affiliates filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Lead Case No. 21-41034) on Aug. 26, 2021. At the time of the filing, Regional Housing & Community Services listed as much as $100,000 in both assets and liabilities. Judge Paul W. Bonapfel oversees the cases. The Debtors tapped Scroggins & Williamson, P.C. as legal counsel; GGG Partners, LLC as interim management services provider; and SLIB II, Inc., doing business as Senior Living Investment Brokerage, as investment banker. Kurtzman Carson Consultants, LLC is the claims, noticing and balloting agent. Greenberg Traurig, LLP serves as counsel for indenture trustee, UMB Bank, N.A. RHCSC SOCIAL: No Decline in Resident Care, 5th PCO Report Says -------------------------------------------------------------- Melanie S. McNeil, Esq., the duly appointed Patient Care Ombudsman for RHCSC Social Circle AL Holdings LLC, a debtor-affiliate of Regional Housing & Community Services Corp., filed with the U.S. Bankruptcy Court for the Northern District of Georgia a Fifth Patient Care Ombudsman report regarding the Debtor's personal care home. The Debtor, Regional Housing & Community Services Corp., is the governing body for the six personal care homes located in Georgia. The U.S. Trustee has appointed Melanie S. McNeil, Esq. to serve as the Patient Care Ombudsman for the residents who live in the facilities located in Georgia. This report covers the Debtor facility known as The Gardens of Social Circle which has three buildings on its campus. An Ombudsman Representative for the Office of the State Long-Term Care Ombudsman visited the facility and reported as follows: * The OR met with the person in charge. The OR also met with sixteen residents in Building I. Building II had no residents, and the OR met with six residents of Building III. The OR received no complaints. * When the OR visited Building I, most residents were in their rooms watching TV or lying down. The OR observed the facility and residents' rooms seemed to be clean and smelled fresh. The OR observed the lunch menu that was posted with a mixture of fruits, vegetables, and proteins. * The OR visited Building III and spoke with four residents. They stated that the food was good and the staff was good to them. Two residents were observed in their rooms. Residents were dressed. The clothes were clean and neat. The facility was clean and tidy. * The OR indicated that the two buildings with residents had adequate food and supplies. The OR noted no decline in resident care since the last visit. * HFR conducted a complaint survey at Gardens of Social Circle I on March 1, 2022 with a deficiency cited for a resident who was not wearing a helmet as the doctor had prescribed. HFR conducted a monitoring survey of Building I on June 8, 2022 with no rule violations cited. A monitoring survey was conducted at Building II on June 7, 2022 with no rule violations cited. A monitoring survey was conducted at Building III on July 13, 2022 with no rule violations cited. The Patient Care Ombudsman reports no decline in resident care since the last visit. A copy of the Fifth Ombudsman Report is available for free at https://bit.ly/3JjFXaU from PacerMonitor.com. The Ombudsman may be reached at: MELANIE S. MCNEIL 2 Peachtree Street NW, 33rd Floor Atlanta, GA 30303 Telephone: 404-657-5327(O) 404-416-0211 (Cell) Facsimile: 404-463-8384 Email: Melanie.McNeil@osltco.ga.gov About Regional Housing & Community Services Regional Housing & Community Services Corp. and its affiliates filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Lead Case No. 21-41034) on Aug. 26, 2021. At the time of the filing, Regional Housing & Community Services listed as much as $100,000 in both assets and liabilities. Judge Paul W. Bonapfel oversees the cases. The Debtors tapped Scroggins & Williamson, P.C. as legal counsel; GGG Partners, LLC as interim management services provider; and SLIB II, Inc., doing business as Senior Living Investment Brokerage, as investment banker. Kurtzman Carson Consultants, LLC is the claims, noticing and balloting agent. Greenberg Traurig, LLP serves as counsel for indenture trustee, UMB Bank, N.A. RKJ HOTEL: Bid to Use Cash Collateral Denied -------------------------------------------- The U.S. Bankruptcy Court for the District of Nevada denied as moot the Emergency Motion for Entry of Interim and Final Orders Determining Extent of Cash Collateral and Authorizing Debtor's Use of Cash Collateral Pursuant to 11 U.S.C. section 363, Fed. R. Bankr. P. 4001(b), and LR 4001(b) filed by RKJ Hotel Management, LLC for the reasons set forth on the record by the Court in its oral ruling on July 26, 2022. At the behest of RSS WFCM2020-C55-MI RHM, LLC, the Court agreed to dismiss the Debtor's case. A copy of the order is available at https://bit.ly/3OBuIvz from PacerMonitor.com. About RKJ Hotel Management RKJ Hotel Management, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Nev. Case No. 21-10593) on Feb. 9, 2021. Jeff Katofsky, member and authorized representative, signed the petition. The Debtor disclosed assets of between $10 million and $50 million and liabilities of the same range. Judge Natalie M. Cox oversees the case. The Debtor tapped Garman Turner Gordon, LLP as its legal counsel. RSS WFCM2020-C55 MI RHM, LLC, a lender, is represented by Ryan J. Works, Esq., and Amanda M. Perach, Esq., at McDonald Carano LLP; and Jonathan E. Aberman, Esq., and Brian Moore, Esq., at Dykema Gossett PLLC. RUSSIAN MEDIA: Court OKs Deal on Cash Collateral Access ------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of New York authorized Russian Media Group, LLC to use cash collateral on an interim basis in accordance with its stipulation with TD Bank, N.A. Prior to the Petition Date, the Debtor entered into a Promissory Note dated March 30, 2017, with TD Bank, whereby the Lender loaned the principal sum of $85,000 to the Debtor. The obligation was evidenced by a Business Loan Agreement dated March 30, 2017 and secured pursuant to, inter alia, a Commercial Security Agreement dated March 30, 2017. The Security Agreement, among other things, granted to the Lender a security interest in all of the Debtor's assets. The Lender's security interest in the collateral was perfected pursuant to a UCC-1 Financing Statement filed on April 24, 2017 with the Secretary of State of Connecticut, bearing filing number 0003175446. The Lender holds a first priority perfected security interest in the collateral to secure the Debtor's indebtedness to the Lender under the Loan Documents, not subject to any offset, claim or defense by the Debtor. As of Petition Date, the Debtor owes the Lender not less than $35,116, plus interest, costs, fees, attorney's fees and other charges pursuant to the Loan Documents which continue to accrue, and the Debtor acknowledged that the Claim constitutes an allowed claim against the Debtor's estate subject to section 506(c) of the Bankruptcy Code. The Lender has agreed to allow the use of cash collateral in accordance with the monthly budget, with a 10% variance. As adequate protection, the Lender would retain its first priority liens and security interests in the collateral and the proceeds thereof, the Lender's liens and security interests would be deemed valid, perfected and enforceable on the Petition Date, and such liens and security interests would continue in full force and effect, and continue to encumber the collateral. As further adequate protection, the Debtor will pay $1,000 to the lender per month starting February 2022. These events constitute an "Event of Default:" a. Reversal, stay, vacature or modification of the Stipulated Order; b. Appointment of a Chapter 11 trustee in, or dismissal or conversion of, the Debtor's case to a Chapter 7 case; c. The filing of any motion by the Debtor seeking to prime or subordinate any lien or security interest of the Lender to encumber any or all collateral subject to such lien or security interest without the consent of the Lender; d. Failure to comply with the terms of the Stipulated Order; e. Failure to comply with the terms, conditions and covenants contained in the Loan Documents; f. Failure to maintain insurance as is required by the terms of the Loan Documents; g. Failure to make any payment to Lender in accordance with the terms of the Stipulated Order; h. Failure to timely file Monthly Operating Reports; i. Failure of an Order Authorizing Use of Cash Collateral to be entered by April 30, 2022; j. Failure to confirm a plan of reorganization or liquidation by October 1, 2022, provided that the Debtor will have the right to seek to extend this deadline for cause shown; and k. Commencement of a Lien Challenge as against the Lender. The Debtor's ability to use cash collateral will terminate on the date which is the earliest to occur of: (a) on October 1, 2022; or (b) the entry of an order by the Court confirming a chapter 11 plan. A copy of the order is available at https://bit.ly/3cLYwbI from PacerMonitor.com. About Russian Media Group Russian Media Group, LLC, a Brooklyn, N.Y.-based company doing business as TRN-WMNB, filed a petition for Chapter 11 protection (Bankr. E.D.N.Y. Case No. 21-41741) on July 1, 2021, listing $625,956 in assets and $1,532,402 in liabilities. Sam Katsman, vice-president of Russian Media Group, signed the petition. Judge Elizabeth S. Stong oversees the case. The Law Offices of Alla Kachan, P.C. and Wisdom Professional Services Inc. serve as the Debtor's legal counsel and accountant, respectively. SAS AB: Cityjet, CFM International Out as Committee Members ----------------------------------------------------------- The U.S. Trustee for Region 2 disclosed in a notice filed with the U.S. Bankruptcy Court for the Southern District of New York that as of July 27, these creditors are the remaining members of the official committee of unsecured creditors in the Chapter 11 cases of SAS AB and its affiliates: 1. Airbus SAS 2 rond-point Emile Dewoitine, 31700 Blagnac, France Email: robert.de-gasperis@airbus.com Attention: Robert de Gasperis, VP Contracts 2. Dr. Malte Daniels Edelhofdamm 44 13465 Berlin, Germany Email: md@daniels-invest.de Attention: Dr. Malte Daniels 3. Jackson Square Aviation Ireland Limited 5th Floor, 3 Ballsbridge Park Ballsbridge Dublin D04 C7H2 Ireland Email: ROpeka@JSA.com Attention: Ryan Opeka, Executive Vice President and General Counsel to Jackson Square Aviation 4. Viasat, Inc. 2501 Gateway Road Carlsbad, CA 92008 Email: Colin.Ward@viasat.com Attention: Colin Ward, Esq., VP Chief Litigation Counsel 5. Flying Food Group, LLC 212 N. Sangamon St., Suite 1A Chicago, IL 60607 Email: mnoffke@flyingfood.com Attention: Mark Noffke, Vice President, Finance Cityjet DAC Indus House and CFM International SA were previously identified as members of the creditors committee. Their names no longer appear in the new notice. About Scandinavian Airlines SAS SAB -- https://www.sasgroup.net -- Scandinavia's leading airline, with main hubs in Copenhagen, Oslo and Stockholm, is flying to destinations in Europe, USA and Asia. Spurred by a Scandinavian heritage and sustainable values, SAS aims to be the global leader in sustainable aviation. The airline will reduce total carbon emissions by 25% by 2025, by using more sustainable aviation fuel and its modern fleet with fuel-efficient aircraft. In addition to flight operations, SAS offers ground handling services, technical maintenance and air cargo services. SAS is a founder member of the Star Alliance, and together with its partner airlines offers a wide network worldwide. SAS AB and its affiliates, including Scandinavian Airlines Systems Denmark-Norway-Sweden and Scandinavian Airlines of North America Inc., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 22-10925) on July 5, 2022. In the petition filed by Erno Hilden, as authorized representative, SAS AB estimated assets between $10 billion and $50 billion and liabilities between $1 billion and $10 billion. The Debtors tapped Weil, Gotshal & Manges LLP as global legal counsel; Mannheimer Swartling Advokatbyra AB as Swedish legal Counsel; FTI Consulting as financial advisor; and Seabury Securities, LLC and Skandinaviska Enskilda Banken AB as investment bankers. Seabury is also serving as restructuring advisor. Kroll Restructuring Advisors is the claims agent. SHENANDOAH TELECOM: Egan-Jones Retains BB Sr. Unsecured Ratings --------------------------------------------------------------- Egan-Jones Ratings Company on July 15, 2022, retained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by Shenandoah Telecommunications Company. Headquartered in Edinburg, Virginia, Shenandoah Telecommunications Company provides telecommunications services through its subsidiaries. SPUDDOG FARM: Gets OK to Hire David Jennis as Bankruptcy Counsel ---------------------------------------------------------------- Spuddog Farm Properties, LLC received approval from the U.S. Bankruptcy Court for the Middle District of Florida to hire David Jennis, P.A. as its legal counsel. The firm's services include: (a) taking all necessary action to protect and preserve the estate of the Debtor, including the prosecution of actions on its behalf, the defense of any actions commenced against the Debtor, negotiations concerning any litigation in which the Debtor may be involved, and objecting, when appropriate, to claims filed against the estate; (b) preparing legal papers; (c) advising the Debtor with regard to its rights and obligations; (d) preparing and filing schedules of assets and liabilities; (e) preparing and filing a Chapter 11 plan and corresponding disclosure statement, if required; and (f) performing all other necessary legal services in connection with the Debtor's Chapter 11 case. The firm's hourly rates range from $120 to $175 for paralegals and from $200 to $500 for attorneys. David Jennis received $11,738 to satisfy its pre-bankruptcy fees and costs, and to serve as a retainer for post-petition services. Daniel Etlinger, Esq., an attorney at David Jennis, disclosed in a court filing that his firm neither holds nor represents any interest adverse to the Debtor or its estate. The firm can be reached through: Daniel E. Etlinger, Esq. David Jennis, P.A. d/b/a/ Jennis Morse Etlinger 606 East Madison Street Tampa, FL 33602. Tel: (813) 229-2800 Email: ecf@JennisLaw.com About Spuddog Farm Properties Spuddog Farm Properties, LLC is in the business of owning and leasing property comprising a vacation home rental property and a farm in Temperanceville, Va., and a vacant land in Hallwood, Va. Spuddog Farm Properties sought protection under Chapter 11, Subchapter V of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-01341) on July 5, 2022. The case is jointly administered with the Chapter 11 case (Bankr. M.D. Fla. Case No. 22-01326) filed by Karen W. Hall, one of the managing members, on July 1, 2022. At the time of the filing, Spuddog Farm Properties listed $1 million to $10 million in both assets and liabilities. Daniel E. Etlinger, Esq., at David Jennis, P.A. (doing business as Jennis Morse Etlinger), is the Debtor's legal counsel. SS&C TECHNOLOGIES: Egan-Jones Retains BB Senior Unsecured Ratings ----------------------------------------------------------------- Egan-Jones Ratings Company on July 15, 2022, retained its 'BB' foreign currency and local currency senior unsecured ratings on debt issued by SS&C Technologies, Inc. Headquartered in Windsor, Connecticut, SS&C Technologies, Inc. develops financial software solutions. TD SYNNEX: Egan-Jones Retains BB+ Senior Unsecured Ratings ---------------------------------------------------------- Egan-Jones Ratings Company on July 11, 2022, retained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by TD SYNNEX Corp. Headquartered in Fremont, California, TD SYNNEX Corp provides information technology supply chain services. TEXAS MARINE: Wins Cash Collateral Access Thru Aug 22 ----------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, authorized Texas Marine Supplies, LLC to use cash collateral on an interim basis in accordance with the budget through August 27, 2022. The Debtor requires the use of cash collateral to finance its operation. As previously reported by the Troubled Company Reporter, a search in the Texas Secretary of State shows that allegedly secured positions are held by by (1) LG Funding; (2) Delta Bridge Funding; (3) Everest Business Funding; and (4) an unidentified creditor (Filing No. 22-0004217311). As adequate protection, the parties are granted replacement liens on all post-petition cash collateral and post-petition acquired property to the same extent and priority they possessed as of the Petition Date. A final hearing on the matter is scheduled for August 24 at 11 a.m. A copy of the order is available at https://bit.ly/3b89Gr2 from PacerMonitor.com. About Texas Marine Supplies, LLC Texas Marine Supplies, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 22-32055) on July 25, 2022. In the petition signed by Gilberto Sanchez Zamora, director, the Debtor disclosed up to $500,000 in both assets and liabilities. Judge Jeffrey P. Norman oversees the case. Robert C Lane, Esq., at The Lane Law Firm is the Debtor's counsel. THOMAS BEESON: Court Directs Chapter 11 Trustee Appointment ----------------------------------------------------------- Judge Janet S. Baer of the U.S. Bankruptcy Court for the Northern District of Illinois entered an order directing the U.S. Trustee to appoint a disinterested individual to serve as Chapter 11 Trustee for Thomas E. Beeson and Donna L. Beeson's Chapter 11 case. That Chapter 11 Trustee, Judge Baer said, is authorized and directed to perform all duties and obligations under Section 1106(a) of the Bankruptcy Code. Judge Baer held that the Motion of T2 Beeson Corner I, LLC to Dismiss or Convert the Chapter 11 Case to Chapter 7 is continued to August 10, 2022, at 2 p.m. for further hearing. About the Beesons Thomas E. Beeson and Donna L. Beeson operate a nursery business through their wholly owned corporation, Beeson Plantation, Inc. Through Plantation, the Beesons utilize the South Parcel located at 1300 Half Day Road, Deerfield, Illinois, for retail nursery operations and the property at 12526 W. Highway 22, Bannockburn, Illinois, for its wholesale nursery operations. Thomas E. Beeson and Donna L. Beeson filed a Chapter 11 petition (Bankr. N.D. Ill. Case No. 16-00783) on January 11, 2016, and are represented by: Joseph A. Baldi, Esq. Julia D. Loper, Esq. Baldi Berg, Ltd. 20 N. Clark St., Suite 200 Chicago, IL 60602 Tel: (312) 726-8150 The Debtors filed their Plan of Reorganization on Jan. 5, 2017. TITLE PIPE: Real Estate Platform Starts Subchapter V Case --------------------------------------------------------- Title Pipe Inc. filed for chapter 11 protection in the District of Idaho. The Debtor filed as a small business debtor seeking relief under Subchapter V of Chapter 11 of the Bankruptcy Code. According to the Company's Web site, Title Pipe is the first and only security-focused, neutral real estate collaboration platform that eliminates wire fraud and identity theft opportunities for every transaction. The U.S. Trustee has appointed a Subchapter V trustee: Matthew W. Grimshaw Grimshaw Law Group, P.C. 800 W. Main Street, Ste. 1460 Boise, ID, 83702 E-mail: matt@grimshawlawgroup.com Tel: (208) 391-7860 According to court documents, Title Pipe Inc. estimates between 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Title Pipe Inc. Title Pipe Inc. -- https://www.titlepipe.com/ -- is a software company in Idaho that provides a secure and interactive experience for everyone in the transaction. On July 26, 2022, the Debtor filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code (Bankr. D. Idaho Case No. 22-00328). The Debtor has elected to proceed under subchapter V of chapter 11. In the petition filed by Mark A. Rodeghiero, as CEO, the Debtor estimated assets between $100,000 and $500,000 and liabilities between $1 million and $10 million. Patrick John Geile, of FOLEY FREEMAN, PLLC, is the Debtor's counsel. TORINO CAMPUS: Seeks to Hire Brian K. McMahon as Counsel -------------------------------------------------------- Torino Campus, LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to hire employ Brian McMahon, Esq., an attorney at Brian K. McMahon, PA to handle its Chapter 11 case. The attorney will render these legal services: (a) advise the Debtor with respect to its powers and duties; (b) advise the Debtor with respect to its responsibilities in complying with the U.S. Trustee's Operating Guidelines and Reporting Requirements and with the rules of the court; (c) prepare legal papers; (d) protect the interest of the Debtor in all matters pending before the court; and (e) represent the Debtor in negotiation with its creditors in the preparation of a Chapter 11 plan. The Debtor will pay Mr. McMahon $400 per hour. Mr. McMahon disclosed in a court filing that he is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Brian K. McMahon, Esq. Brian K. McMahon, PA 1401 Forum Way, 6th Floor West Palm Beach, FL 33401 Telephone: (561) 478-2500 Facsimile: (561) 478-3111 Email: brian@bkmbankruptcy.com About Torino Campus Torino Campus, LLC, a company in Palm City, Fla., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 22-15442) on July 15, 2022. In the petition filed by Jose Toledo, managing member, the Debtor listed as much as $10 million in both assets and liabilities. Judge Mindy A. Mora oversees the case. Brian K. McMahon, Esq., at Brian K. McMahon PA, is the Debtor's counsel. VALARIS PLC: Reactivates 4 Floaters a Year After Chapter 11 ----------------------------------------------------------- Offshore Magazine reports that Valaris has successfully reactivated four deepwater floaters just over a year after emerging from Chapter 11. The reactivations started in fourth-quarter 2021 and included semisubmersible VALARIS DPS-1 for Woodside Energy in Australia and drillships VALARIS DS-4 for Petrobras in Brazil, VALARIS DS-9 for Exxon Mobil in Angola and VALARIS DS-16 for Occidental in the US Gulf of Mexico. Deepak Bisht, Valaris senior director of technical support, said, "The VALARIS DPS-1, DS-4, DS-9 and DS-16 have all commenced operations for their respective customers. The leadership, collaboration and commitment displayed by Valaris personnel at all levels was exemplary and allowed us to move forward safely and efficiently. This has set the bar high for the organization as we venture into more rig reactivations." About Valaris PLC Valaris plc (NYSE: VAL) provides offshore-drilling services. It is an English limited company with its corporate headquarters located at 110 Cannon St., London. On the Web: http://www.valaris.com/ On Aug. 19, 2020, Valaris and its affiliates sought Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 20-34114). The Debtors had total assets of $13,038,900,000 and total liabilities of $7,853,500,000 as of June 30, 2020. The Debtors tapped Kirkland & Ellis LLP and Slaughter and May as their bankruptcy counsel, Lazard as investment banker, and Alvarez & Marsal North America LLC as their restructuring advisor. Stretto is the claims agent, maintaining the page http://cases.stretto.com/Valaris Kramer Levin Naftalis & Frankel LLP and Akin Gump Strauss Hauer & Feld LLP serve as legal advisors to the consenting noteholders while Houlihan Lokey Inc. serves as their financial advisor. VANTAGE SPECIALTY: S&P Upgrades ICR to 'B-', Outlook Stable ----------------------------------------------------------- S&P Global Ratings raised the issuer credit rating on Vantage Specialty Chemicals Inc. to 'B-' from 'CCC+'. S&P said, "In addition, we raised our issue-level rating on the company's first-lien credit facilities, including a revolving credit facility and a term loan to 'B-' from 'CCC+', and the issue-level rating on the company's second-lien credit facility to 'CCC' from 'CCC-'. The '3' and '6' recovery ratings on both are unchanged, respectively. "The stable outlook reflects our expectation that Vantage will maintain adequate liquidity and credit metrics consistent with our current rating over the next 12 months." The company's debt leverage is sustainable. Resultant of an acquisitive financial strategy, the company's debt levels remain high. However, since the latter part of 2021, the company's S&P Global Ratings-adjusted debt-to-EBITDA ratio has sequentially improved to more sustainable levels as compared to the heightened levels of 2020, owing to higher revenues and earnings. This is driven by continued demand strength in the food and personal care segments, a favorable mix shift towards higher-value product applications, strategic pricing actions, and successful pass-through of rising input costs primarily through contractual mechanisms, while facing inflationary and supply chain pressures. S&P said, "We expect improvements in leverage to continue as the company benefits from additional earnings and targeted synergies from the acquisitions of JEEN International and Botanicals Plus (collectively "JEEN") in March 2022. Additionally, we expect the company to use free cash flow to reduce some of the debt it took on to fund the acquisition." S&P expects adequate liquidity and positive free cash flows over the next 12 months. S&P said, "We expect the company's liquidity to remain adequate for the next 12 months supported by available cash balances, positive free cash flows, and availability of a $75 million revolving credit facility. The springing covenant on the facility was tested on March 31, 2022, due to high utilization of the facility, but the company remains compliant with adequate cushion, and we do not expect it to breach the covenant in the next 12 months." On the other hand, the company will be faced with refinancing risk of its first lien term loan that is scheduled to mature in October 2024. Vantage continues to be a domestic producer mainly of natural chemicals and derivatives. The company has grown in size with multiple acquisitions in recent years, which have increased its end-market diversity and expanded presence in segments including food and personal care. With the acquisition of JEEN in March 2022, the company expanded towards higher margin products and customers in the personal care space. While Vantage has production facilities outside of the U.S., its revenues and EBITDA remain primarily concentrated in the U.S., posing a strong geographic concentration risk. S&P said, "We believe this risk is heightened if the U.S. were to slip into a recession and consumer spending slows. Vantage's key operating facilities are concentrated in Illinois. Disruption of operations at any one of these locations would hurt operating results, which we view as a risk factor. Vantage has long-standing relationships with its top customers." Vantage's margins are relatively low but its position in niche markets is strong. Due to relatively constrained pricing power, Vantage has lower margins than commodity chemical peers such as LSB Industries Inc. Given the relatively large investments required in a small niche market, barriers to entry are high, which should help protect Vantage's market positions. Vantage's business also benefits from the high proportion of contractual sales, with cost pass-throughs in its commodity-like oleochemical business, as well as its ability to pass on cost increases in its specialty derivatives business. However, as a result of Vantage's relatively lower margins and size, moderate customer and low geographic diversification, S&P continues to assess its business as weak. S&P sid, "The stable outlook reflects our expectation that Vantage will continue to improve its EBITDA, which will reduce weighted average debt-to-EBITDA to between 6x-7x over the next 12 months. While the company will remain highly leveraged, we consider leverage to be more sustainable than it was previously. The rating reflects the company's demonstrated ability to improve earnings supported by relatively stable demand, despite higher raw material costs and supply chain headwinds. We expect EBITDA margins to approach the mid-teen percent area, and the company to generate positive free cash flows and maintain adequate liquidity over the next 12 months. We have not factored into our analysis any distributions to shareholders or significant debt-funded capital spending or acquisitions. "We could lower the ratings over the next 12 months if Vantage's EBITDA margins decline significantly, possibly as a result of weaker-than-expected end-market demand, the company not being able to adequately pass-through increases in raw material costs, or a large debt-funded acquisition such that the S&P Global Ratings' debt-to-EBITDA ratio approaches double digits. We could also lower ratings if liquidity weakened such that sources were below 1.2x uses, cash flows turned negative, or we believed covenant compliance could become uncertain. If any of the company's maturities become current (under 12 months) we could also take a negative rating action. "We could take a positive rating action over the next 12 months if improvements in profitability lead to EBITDA margins approaching the high-teen percent area, such that the ratio of funds from operations (FFO) to debt approaches the mid-teen percent area and weighted average debt-to-EBITDA remains below 6.0x. We would also need to believe the company is consistently generating positive free cash flow, has sufficient liquidity over the next 12 months, and has improved its debt maturity profile, and that the private equity sponsor would support maintaining credit metrics at these levels." ESG credit indicators: E-2, S-2, G-3 S&P said, "Governance is a moderately negative consideration in our credit rating analysis on Vantage Specialty Chemicals Inc., as is the case for most rated entities owned by private-equity sponsors. We view financial sponsor-owned companies with highly leveraged financial risk profiles as demonstrating corporate decision making that prioritizes the interests of the controlling owners, typically with finite holding periods and a focus on maximizing shareholder returns." VECTOR GROUP: Egan-Jones Retains CCC+ Senior Unsecured Ratings -------------------------------------------------------------- Egan-Jones Ratings Company on July 15, 2022, retained its 'CCC+' foreign currency and local currency senior unsecured ratings on debt issued by Vector Group Ltd. EJR also retained its 'B' rating on commercial paper issued by the Company. Headquartered in Miami, Florida, Vector Group Ltd. operates as a holding company. VENGA HOLDINGS: S&P Assigns 'B' Long-Term ICR, Outlook Stable ------------------------------------------------------------- S&P Global Ratings assigned its 'B' long-term issuer credit and issue ratings to Marlink's parent, Luxembourg-based Venga Holdings, and the senior secured term loan B (TLB) it has issued through its fully owned financing subsidiary Venga Finance. S&P said, "The stable outlook reflects our expectation that favorable growth drivers and the company's well established leading very small aperture terminal (VSAT) position, low churn, and seasoned management will support steady organic revenue growth of 4%-6% in 2022-2023, following a good recovery in 2021 with pro forma growth of 7%. Furthermore, we expect expanding margins, positive free operating cash flow (FOCF), and fully adjusted debt to EBITDA decreasing to about 6.0x in 2023 from 6.5x in 2022." European satellite services provider Marlink has issued a $815 million, seven-year TLB and $150 million, 6.5-year revolving credit facility (RCF) to refinance its existing debt structure and fund Apax Partners and management's sale of a majority stake to Providence Equity Partners. S&P said, "The rating is constrained by Marlink's high S&P Global Ratings-adjusted leverage, leveraged buyout ownership, and highly competitive niche market. We forecast S&P Global Ratings-adjusted debt to EBITDA at 6.5x in 2022 (6.9x excluding our incremental lease adjustment for satellite capacity commitments). In our view, the company's private-equity ownership will foster an aggressive capital structure. However, at this stage we do not forecast dividend payments, and we think leverage will materially reduce thanks to consistent top-line growth and margin expansion. "We think the maritime SatCom services industry is a small, very fragmented market.The industry is experiencing high competition, including from satellite operator and Marlink's supplier Inmarsat and asset-light companies like Marlink. Moreover, Marlink's lack of infrastructure ownership, in our view, reduces barriers to entry, while more difficult business trends in adjacent segments to satellite communication, like airlines and video, could lure new competitors including satellite operators into Marlink's niche, in our view. "Our rating factors Marlink's solid established position and good track record of market share expansion, diversifying its customer base and improving its business mix. Marlink has leading market positions in the fragmented and competitive maritime SatCom services industry, where technology substitution risk is limited given satellites are the only suitable technology when communicating at sea. Marlink has a 24% market share in the maritime SatCom market, ahead of Inmarsat and Speedcast, and is the No. 1 maritime VSAT provider. We think Marlink differentiates itself from competition through its proprietary VSAT platform and full end-to-end service portfolio, distributed and maintained through a worldwide ground network (including teleports and equipment within) and sales, installation and maintenance workforce. This subscription-based model results in very high contract renewal rates of more than 95%. In addition, Marlink's well-seasoned management team has successfully shifted the sales mix toward more value-added VSAT technology, diversified the revenue base across various verticals, and reduced customer concentration. "We forecast steady organic revenue growth, driven by increasing demand for data traffic and overall digitization in the maritime segment. We think that secular trends in data connectivity for remote areas and the currently under-connected maritime industry will continue to drive growth. Other factors should contribute to the group's expected organic growth, such as an expanding number (more than 7,200 VSAT vessels at June 2022) of equipped vessels across verticals--including shipping, yachting, offshore, mining, fishing, and the recovering cruise segment--as well as ever-increasing satellite capacity supply and an improving sales mix. We expect the current macroeconomic environment will benefit some verticals such as oil and gas, mining, and offshore during 2022 on the back of rising commodity prices. The steady shift to VSAT from mobile satellite services (MSS) translates into higher revenue visibility, because VSAT has higher margins, contract length is usually three-to-five years, and churn is low given the better technology and higher switching costs. In addition, acquisition opportunities in this fragmented market will likely complement organic growth. "We expect steady EBITDA margin expansion spurred by an improved sales mix and organic revenue growth. Marlink operates a scale business and its leading VSAT position allows it to better absorb costs for satellite capacity procurements, critical hardware, and labor required to maintain a technological edge and a global presence. Its reported EBITDA margins (after lease, before management adjustments, and nonrecurring) of about 22% for 2022 in our forecasts should further expand, spurred by organic growth and increasing penetration of the more value-added VSAT platform (69% of revenue in 2021 up from 48% in 2016). "Marlink's technology-agnostic model provides agility since it can bundle various technologies, increase redundancy, and offer a proprietary product. Marlink does not operate any satellites and competes, in particular, against its main supplier Inmarsat. That said, we do not view this as a material disadvantage, given ever-increasing satellite capacities, several existing fixed satellite service (FSS) suppliers that are looking to increase utilization rates on their infrastructure, and new satellite technologies like low-earth orbit (LEO) that appear more opportunity than risk at this stage. Marlink's assets base is limited to a network of owned and leased teleport facilities, as well as VSAT antennas that are leased to customers. In this context, securing bandwidth capacity with satellite network operators (SNOs) is key, including various signings in the first half of 2022 such as the multiyear contract extension with Eutelsat, SES's next generation medium earth orbit (MEO) technology, and Oneweb new partnership operating LEO technology. We believe Marlink has a sound track record of managing supply costs, leveraging its scale to procure at the best prices from an abundance of supply and suppliers. "The stable outlook reflects our anticipation of ongoing revenue and EBITDA growth, driven by increased VSAT penetration, an expanding number of vessels equipped, and steadily positive FOCF after leases. In addition, we forecast adjusted debt to EBITDA will decline to about 6.5x in 2022 and below 6x from 2023. "In our view, rating downside would emerge if reported FOCF deteriorates toward break even, or if the S&P Global Ratings-adjusted leverage rises consistently to above 6.5x. This could be driven by insufficient growth traction or fiercer competition than we expect." Rating upside would emerge if the S&P Global Ratings-adjusted leverage drops and is sustained at less than 5x and reported FOCF to adjusted debt strengthens toward 10%. ESG credit indicators: E-2,S-2,G-3 WATSONVILLE HOSPITAL: PCO Files Third Interim Report ---------------------------------------------------- Tamar Terzian, the appointed Patient Care Ombudsman for Watsonville Hospital Corp., et al., filed with the U.S. Bankruptcy Court for the Northern District of California a third interim report for the period May 15 to July 15, 2022, regarding the Debtors' hospital. The PCO conducted a third site visit for two consecutive days and had an opportunity to meet with the hospital administration (e.g. CNO, COO, Supervising Nurses, etc.), as well as specific discussions with the department supervising nurses, patients, visitors and other hospital staff. The PCO discussed with administration the staff's continuous effort in implementing the antibiotic stewardship program, as well as clinical initiatives work group, which the PCO discussed in the Second Interim Report. These programs are currently in place and have increased the infection control of the Hospital. The PCO notes the two issues that continue, which are also currently national issues, are that the Hospital is having difficulty obtaining enough nursing staff and difficulty obtaining sufficient blood supply due to the national shortage. With respect to staffing, since the last visit, the Hospital has had approximately 29 new hires across various departments, and the Hospital continues to train and fill open positions. The PCO toured all the nursing units for each department. The PCO did not observe any infection control violations or Health Insurance Portability and Accountability Act ("HIPAA") breaches. Most of the nursing staff has been employed by the Hospital for several years, are well trained, and have significant experience in performing their job duties. The PCO observed patient care in the emergency department and determined that the nurses and staff worked together to assure patient care. This Department continued to provide quality patient care and transfers patients to another hospital if the patient care would be compromised or a higher level of care or specialty is required. During the PCO's visit to this ED department there were six patients receiving care. The staffing was appropriate and included physicians, residents and nurses. The PCO observed activities over two consecutive days in the Intensive Care Unit. This unit appears it would be well served with additional staff and an interventionist and/or additional physician. As the patients in this unit are critically ill, the staff also need to timely transfer any patient who need a higher level of care or specialty care unavailable at this Hospital. The PCO recommends that the physicians make this determination sooner and make transfers earlier, generally. Besides the continued staffing shortage, there are no other areas of concern in the neonatal ICU department. The PCO notes that the nursing staff ratio was sufficient based on the census during the PCO's visit. The PCO will be reviewing the treatment and activities of transfer of patients timely. The expectation is the PCO will conduct a fourth site visit in the next few weeks in order to ensure appropriate protocols are followed, as are put in place. The PCO will remain engaged with clinical leadership and the quality department to monitor staffing coverage. A copy of the Ombudsman Report is available for free at https://bit.ly/3Bs3fty from Stretto, the claims agent. The Ombudsman may be reached at: Tamar Terzian, Esq. Epps & Coulson, LLP 1230 Crenshaw Blvd., Suite 200 Torrance, CA 90501 Telephone: (213) 929-2357 Facsimile: (213) 929-2394 Email: tterzian@eppscoulson.com About Watsonville Hospital Corporation Watsonville Hospital Corporation and its affiliates operate Watsonville Community Hospital, a 106-bed acute care facility located in Watsonville, Cal. The hospital, which is the only acute care facility in the area, provides emergency, cardiac, pediatric, surgical, pharmaceutical, laboratory, radiological and other critical services. Watsonville Hospital Corporation and its affiliates filed petitions for Chapter 11 protection (Bankr. N.D. Cal. Lead Case No. 21-51477) on Dec. 5, 2021. Jeremy Rosenthal, chief restructuring officer, signed the petitions. In its petition, Watsonville Hospital Corporation listed as much as $50 million in both assets and liabilities. Judge Elaine M. Hammond oversees the cases. The Debtors tapped Pachulski Stang Ziehl & Jones, LLP as bankruptcy counsel; Hooper, Lundy & Bookman, PC and Bartko Zankel Bunzel & Miller as special counsels; Cowen and Company, LLC as investment banker; and Force Ten Partners, LLC as restructuring advisor. Jeremy Rosenthal of Force Ten Partners serves as the Debtors' chief restructuring officer. Bankruptcy Management Solutions, Inc., doing business as Stretto, is the Debtors' claims, noticing and solicitation agent and administrative advisor. The U.S. Trustee for Region 17 appointed an official committee of unsecured creditors on Dec. 22, 2021. Perkins Coie, LLP and Sills Cummis & Gross, PC serve as the committee's attorneys. WEINBERG CAPITAL: Case Summary & Seven Unsecured Creditors ---------------------------------------------------------- Debtor: Weinberg Capital Investments, LLC 1641 Viewmont Drive West Hollywood, CA 90069 Business Description: Weinberg Capital is the fee simple owner of two real properties located in Los Angeles and Oroville, California having an aggregate current value of $1.12 million. Chapter 11 Petition Date: July 29, 2022 Court: United States Bankruptcy Court Central District of California Case No.: 22-14101 Judge: Hon. Sandra R. Klein Debtor's Counsel: Matthew Abbasi, Esq. ABBASI LAW CORPORATION 6320 Canoga Ave. Suite 220 Woodland Hills, CA 91367 Tel: (310) 358-9341 Fax: (310) 709-5448 Email: matthew@malawgroup.com Total Assets: $1,115,000 Total Liabilities: $1,869,768 The petition was signed by Ahmad Anthony Nowald as manager. A full-text copy of the petition containing, among other items, a list of the Debtor's seven unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/DZN7MDQ/Weinberg_Capital_Investments_LLC__cacbke-22-14101__0001.0.pdf?mcid=tGE4TAMA WESTERN AUSTRALIAN: Sept. 6 Disclosure Statement Hearing Set ------------------------------------------------------------ Judge George R. Hodges has entered an order within which September 6, 2022 at 09:30 AM, in the U.S. Courthouse, Main Courtroom, First Floor, 100 Otis Street, Asheville, NC is the hearing to consider approval of the disclosure statement of Western Australian Holdings, LLC. In addition, August 30, 2022 is fixed as the last date to file and serve written objections to the disclosure statement. A full-text copy of the order dated July 26, 2022, is available at https://bit.ly/3OG0JTj from PacerMonitor.com at no charge. Counsel for the Debtor: Jason L. Hendren, Esq. Rebecca F. Redwine, Esq. Benjamin E.F.B. Waller, Esq. Hendren Redwine & Malone, PLLC 4600 Marriott Drive, Suite 150 Raleigh, NC 27612 Tel: (919) 573-1422 Fax: (919) 420-0475 Email: jhendren@hendrenmalone.com rredwine@hendrenmalone.com bwaller@hendrenmalone.com About Western Australian Holdings Western Australian Holdings, LLC -- https://www.majorsestate.com/ -- operates a 200-acre mountain ranch. Based in Clyde, N.C., the company conducts business under the name Majors Estate. Western Australian Holdings sought Chapter 11 bankruptcy protection (Bankr. W.D.N.C. Case No. 22-10058) on April 27, 2022. In the petition filed by Timothy F. Majors, manager, the Debtor listed up to $10 million in assets and up to $50 million in liabilities. Judge George R. Hodges oversees the case. Hendren Redwine & Malone, PLLC and David M. Cole, CPA, LLC serve as the Debtor's legal counsel and accountant, respectively. WEYERBACHER BREWING: Court OKs Cash Collateral Access Thru Aug 16 ----------------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Pennsylvania authorized Weyerbacher Brewing Company, Inc. to use cash collateral, on an interim basis, in accordance with the budget through August 16, 2022. As adequate protection, the secured lenders are granted a replacement perfected security interest under 11 U.S.C. Section 361(2) to the extent the Lenders' cash collateral is used by the Debtor, to the extent and validity and with the same priority in the Debtor's post-petition collateral, and proceeds thereof, that the Lenders held in the Debtor's pre-petition collateral, subject to payments due under 28 U.S.C. section 1930(a)(6). To the extent any other creditor holds or asserts a lien position in cash collateral, that creditor will receive a replacement lien to the same extent, priority and validity as it existed pre-petition. To the extent the adequate protection provided for proves insufficient to protect the Lenders' interests in and to the cash collateral, they will have a super-priority administrative expense claim, pursuant to 11 U.S.C. Section 507(b), senior to any and all claims against the Debtor under Section 507(a), whether in this proceeding or in any superseding proceeding, subject to payments due under 28 U.S.C. section 1930(a)(6). The replacement liens and security interests granted are automatically deemed perfected upon entry of the Order without the necessity of the Lenders taking possession, filing financing statements, mortgages or other documents. A further interim hearing on the matter is scheduled for August 16, 2022 at 11 a.m. A copy of the order and the Debtor's budget is available at https://bit.ly/3bepoRm from PacerMonitor.com. The budget provides for total cost of goods cash outflow, on a weekly basis, as follows: $8,736 for the week ending August 5, 2022; $45,640 for the week ending August 12, 2022; and $28,500 for the week ending August 19, 2022 . About Weyerbacher Brewing Co. Weyerbacher Brewing Company, Inc., sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Pa. Case No. 22-11665) on June 27, 2022. In the petition signed by Daniel Weirback, president, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Patricia M. Mayer oversees the case. Albert A. Ciardi III, Esq., at Ciardi Ciardi & Astin, P.C., is the Debtor's counsel. YUM! BRANDS: Egan-Jones Retains BB+ Senior Unsecured Ratings ------------------------------------------------------------ Egan-Jones Ratings Company on July 11, 2022, retained its 'BB+' foreign currency and local currency senior unsecured ratings on debt issued by Yum! Brands, Inc. Headquartered in Louisville, Kentucky, Yum! Brands, Inc, owns and franchises quick-service restaurants worldwide. ZHR BROS: Voluntary Chapter 11 Case Summary ------------------------------------------- Debtor: ZHR Bros LLC 19925 NE 39th Place Unit 204 Miami, FL 33180 Business Description: ZHR Bros is primarily engaged in renting and leasing real estate properties. Chapter 11 Petition Date: July 29, 2022 Court: United States Bankruptcy Court Southern District of Florida Case No.: 22-15912 Judge: Hon. Robert A. Mark Debtor's Counsel: Zachary Malnik, Esq. THE SALKIN LAW FIRM P.A. PO Box 15580 Plantation, FL 33318 Tel: 954-423-4469 Email: zachary@msbankrupt.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Zachary Gindi as president. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/KU4EHOY/ZHR_Bros_LLC__flsbke-22-15912__0001.0.pdf?mcid=tGE4TAMA [^] BOND PRICING: For the Week from July 25 to 29, 2022 ------------------------------------------------------- Company Ticker Coupon Bid Price Maturity ------- ------ ------ --------- -------- ACRES Commercial Realty Corp ACR 4.500 99.500 8/15/2022 Accelerate Diagnostics AXDX 2.500 63.000 3/15/2023 Ahern Rentals Inc AHEREN 7.375 76.213 5/15/2023 Ahern Rentals Inc AHEREN 7.375 76.683 5/15/2023 Avaya Holdings Corp AVYA 2.250 58.500 6/15/2023 BPZ Resources Inc BPZR 6.500 3.017 03/01/2049 Basic Energy Services Inc BASX 10.750 3.500 10/15/2023 Basic Energy Services Inc BASX 10.750 15.000 10/15/2023 Bed Bath & Beyond Inc BBBY 3.749 41.144 08/01/2024 Buckeye Partners LP BPL 6.375 80.904 1/22/2078 Buffalo Thunder Development Authority BUFLO 11.000 55.756 12/09/2022 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 6.625 8.894 8/15/2027 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 21.785 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 27.000 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 6.625 9.168 8/15/2027 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 21.255 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 21.900 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 32.000 8/15/2026 Diebold Nixdorf Inc DBD 8.500 46.589 4/15/2024 EnLink Midstream Partners LP ENLK 6.000 69.750 N/A Energy Conversion Devices Inc ENER 3.000 7.875 6/15/2013 Energy Transfer LP ET 6.250 81.563 N/A Enterprise Products Operating LLC EPD 4.875 81.487 8/16/2077 Envision Healthcare Corp EVHC 8.750 31.977 10/15/2026 Envision Healthcare Corp EVHC 8.750 31.142 10/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 11.500 29.757 7/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 10.000 66.326 7/15/2023 Exela Intermediate LLC / Exela Finance Inc EXLINT 11.500 29.517 7/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 10.000 66.326 7/15/2023 Federal Farm Credit Banks Funding Corp FFCB 0.080 99.184 08/04/2022 Federal Home Loan Mortgage Corp FHLMC 4.000 99.211 07/05/2024 Federal Home Loan Mortgage Corp FHLMC 4.000 99.209 07/05/2024 Florida Power & Light Co NEE 1.280 91.677 03/01/2071 GNC Holdings Inc GNC 1.500 0.802 8/15/2020 GTT Communications Inc GTTN 7.875 8.250 12/31/2024 GTT Communications Inc GTTN 7.875 7.000 12/31/2024 General Electric Co GE 4.200 71.375 N/A Goldman Sachs Group Inc/The GS 5.000 91.500 N/A Lannett Co Inc LCI 7.750 29.998 4/15/2026 Lannett Co Inc LCI 4.500 29.727 10/01/2026 Lannett Co Inc LCI 7.750 29.963 4/15/2026 MAI Holdings Inc MAIHLD 9.500 30.000 06/01/2023 MAI Holdings Inc MAIHLD 9.500 30.000 06/01/2023 MAI Holdings Inc MAIHLD 9.500 30.000 06/01/2023 MBIA Insurance Corp MBI 13.772 11.228 1/15/2033 MBIA Insurance Corp MBI 13.772 11.228 1/15/2033 Macy's Retail Holdings M 6.700 96.453 7/15/2034 Macy's Retail Holdings M 6.700 96.453 7/15/2034 Morgan Stanley MS 1.800 79.868 8/27/2036 National Commerce Corp CSFL 6.500 92.720 6/30/2027 Nine Energy Service Inc NINE 8.750 62.477 11/01/2023 Nine Energy Service Inc NINE 8.750 63.199 11/01/2023 Nine Energy Service Inc NINE 8.750 63.201 11/01/2023 OMX Timber Finance Investments II LLC OMX 5.540 0.783 1/29/2020 Patriot National Bancorp PNBK 6.250 71.742 6/30/2028 Patriot National Bancorp PNBK 6.250 71.742 6/30/2028 Plains All American Pipeline LP PAA 6.125 76.375 N/A Renco Metals Inc RENCO 11.500 24.875 07/01/2003 Revlon Consumer Products REV 6.250 10.000 08/01/2024 RumbleON Inc RMBL 6.750 48.056 01/01/2025 Sears Holdings Corp SHLD 8.000 1.310 12/15/2019 Sears Holdings Corp SHLD 6.625 3.735 10/15/2018 Sears Holdings Corp SHLD 6.625 3.971 10/15/2018 Sears Roebuck Acceptance SHLD 7.000 1.139 06/01/2032 Sears Roebuck Acceptance SHLD 7.500 1.063 10/15/2027 Sears Roebuck Acceptance SHLD 6.500 1.043 12/01/2028 Sears Roebuck Acceptance SHLD 6.750 0.746 1/15/2028 Shift Technologies Inc SFT 4.750 29.750 5/15/2026 TPC Group Inc TPCG 10.500 54.030 08/01/2024 TPC Group Inc TPCG 10.500 53.500 08/01/2024 TerraVia Holdings Inc TVIA 5.000 4.644 10/01/2019 Vroom Inc VRM 0.750 26.500 07/01/2026 Wayfair Inc W 0.375 92.994 09/01/2022 Wesco Aircraft Holdings WAIR 8.500 50.403 11/15/2024 Wesco Aircraft Holdings WAIR 13.125 31.205 11/15/2027 Wesco Aircraft Holdings WAIR 8.500 49.970 11/15/2024 fuboTV Inc FUBO 3.250 35.500 2/15/2026 ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR editor holds some position in the issuers public debt and equity securities about which we report. Each Tuesday edition of the TCR contains a list of companies with insolvent balance sheets whose shares trade higher than $3 per share in public markets. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. On Thursdays, the TCR delivers a list of recently filed Chapter 11 cases involving less than $1,000,000 in assets and liabilities delivered to nation's bankruptcy courts. The list includes links to freely downloadable images of these small-dollar petitions in Acrobat PDF format. Each Friday's edition of the TCR includes a review about a book of interest to troubled company professionals. All titles are available at your local bookstore or through Amazon.com. Go to http://www.bankrupt.com/books/to order any title today. Monthly Operating Reports are summarized in every Saturday edition of the TCR. The Sunday TCR delivers securitization rating news from the week then-ending. 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., Philadelphia, Pa., USA. Randy Antoni, Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Joel Anthony G. Lopez, Psyche A. Castillon, Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and Peter A. Chapman, Editors. Copyright 2022. 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 ***